New rent-controlled apartments to tackle St. Pete affordable housing crisis
ST. PETERSBURG, Fla. - Dozens of St. Petersburg families now have affordable rent controlled apartments to call home thanks to a creative partnership aimed at combating the area’s growing affordable housing crisis.
Today, officials cut the ribbon on the new SkyWay Lofts apartments in South St. Petersburg.
Rents for the 65-unit complex, built by Blue Sky Communities, are capped by income limits.
"Our mission is to create affordable housing and the way that you know it is affordable is if folks can afford to pay 30 percent Of their income towards their housing costs," said Scott Macdonald, executive Vice President of Blue Skies Communities. "It’s getting harder and harder to do that, not only in St. Petersburg, but all over the state."
One bedroom units start as low as $346 for the lowest earning tenants, well below starting prices for neighboring complexes. Just across 34th Street, one-bedroom apartments at the Addison Skyway Marina are listed above $2,200.
Highlighting the overwhelming demand for affordable housing, Macdonald said more than 1,800 people applied for their new 65-unit affordable housing complex.
"We started taking applications in late 2021 and within two days we were more than full," said Macdonald. "The need is there."
Across the Bay Area renters are struggling to find affordable housing.
Rashida Strober said she feels blessed to be among the few to secure a spot at SkyWay. Her brand new two-bedroom apartment means she can finally afford to raise her daughter in the South St. Pete neighborhood she once called home.
"I lived there for 10 years, but I had to move because the rents kept going up," said Strober. "I grew up in St. Petersburg. I went from being homeless to getting my master’s at the University of South Florida. I worked really, really hard, but even still it’s been hard."
Rent in the Tampa Bay Area is up 31% year over year, according to Redfin.
As renters try to keep pace with soaring prices, local officials are scrambling to find solutions to help keep long time residents from being priced out of their neighborhoods. State law prohibits local governments from passing rent control measures.
"In the last year or two we've seen rents skyrocket. New developments go up, and the rents are just incredibly high for folks and our salaries haven't kept up," said Pinellas County Commission Chairman Charlie Justice. "By partnering with folks like Blue Sky, we can lower the cost of rent and make housing attainable and again. Not only is it attainable, but it's really high quality stuff that people are happy to live in."
Without the ability to keep landlords from continuing to hike at will, Pinellas and St. Pete leaders are finding creative ways to put a cap on rents for some of the areas the lowest earners.
"The way we bring costs down for this particular development is the county bought the land, so we have eliminated the cost of land for the developer. By doing that, their costs to construct the project go down, and then they can lower the costs that they're charging the tenants," explained Justice.
Using federal, state, county and city funds, local leaders have helped pave the way for more affordable housing. Pinellas County owns the land so, according to officials, any housing built will stay affordable in perpetuity.
SkyWay Lofts’ apartments are reserved for residents earning less than 80 percent of area median income.
Of the 65 units, 12 are designated for households making up to 30 percent of the AMI. Forty units are reserved for households making up to 60 percent of AMI, and 13 for households earning up to 80 percent of AMI.
Rents for one-bedroom units range from $346-$1,039, and two-bedroom units range from $402-$1,234 depending on income level.
"All of these units are affordable. From the folks making $23 an hour and even down to the folks making $8 an hour," said St. Pete Mayor Ken Welch. "It’s really uplifted this community. This was an old, decrepit hotel that now is 65 very nice apartments for our families. We need a lot of this kind of partnership."
Pinellas County leaders say more projects like the SkyWay Lofts are on the way. The county has approved funding support for nine affordable housing developments since 2020. Using the Penny for Pinellas housing program, 874 units are in various stages of development. Over the last five years, Pinellas has also supported construction or rehab of more than 2,000 affordable units.
Though the units at SkyWay Lofts are full, Macdonald said those hoping to live there should join their wait list.
"Don't be discouraged by the numbers. The waitlist is lengthy, but your number will eventually come up, and we're going to stay in contact with you," said Macdonald.
Blue Sky is already working on another affordable housing community in West St. Petersburg. Macdonald said they plan to break ground on the new Bear Creek Commons late this year or early next year.
To learn more about finding affordable housing in Pinellas County visit https://advantagepinellas.org/homes-for-pinellas/residents/