Title
Approval of Resolutions Authorizing Two 8-Year Multifamily Housing Property Tax Exemption Agreements Between the City Of Olympia and Fourth Street's Cottages, LLC for Cottage Apartments
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Move to approve resolutions authorizing two 8-Year multifamily housing property tax exemption agreements between the City Of Olympia and Fourth Street's Cottages, LLC for Cottage Apartments
Report
Issue:
Whether to approve resolutions authorizing two 8-Year multifamily housing property tax exemption agreements between the City Of Olympia and Fourth Street's Cottages, LLC for Cottage Apartments
Staff Contact:
Jacinda Steltjes, Housing Division Manager, Community Planning & Economic Development, 360.753.8482
Presenter(s):
None - Consent Calendar Item.
Background and Analysis:
Project Summary
Fourth Street's Cottages, LLC is requesting an 8-year multi-family property tax exemption (MFTE) for a market-rate housing project being constructed at 414 Franz Anderson Rd. SE, parcel number 41700600100, and 422 Franz Anderson Rd. SE, parcel number 41700700000, in Olympia's Eastside residential target area. The project will produce 50,447 square feet of residential space and 12,777 square feet of parking for the project's residents. The project, known as Cottage Apartments, will produce 58 market-rate housing units which are anticipated to become available beginning February 2027.
8-Year Multi-Family Tax Exemption Program
The City's 8-Year Multi-Family Tax Exemption (MFTE) program, which permits market-rate housing units, was revised in January 2024 to reposition the program as a tool intended to increase affordable housing. Olympia Municipal Code 3.57, formerly OMC 5.86, now requires all applicants for the 8-Year MFTE program to pay a fee in lieu of producing affordable housing units- defined as units that cost low-income households whose annual gross income does not exceed ...
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