Photo by Brandon Macz: The board will also decide on terms of a development agreement to swap its Site D for the Atlas Clothing building, where Capitol Hill Housing would build 78 units of affordable housing.
Photo by Brandon Macz: The board will also decide on terms of a development agreement to swap its Site D for the Atlas Clothing building, where Capitol Hill Housing would build 78 units of affordable housing.

The Sound Transit Board of Directors meets 1:30-4 p.m. Thursday, Aug. 23, in the Ruth Fisher Boardroom of Union Station, 401 S. Jackson St.

The Sound Transit Board is slated to approve business terms for two transit-oriented developments on Thursday that will add more than 300 affordable housing units in Capitol Hill and First Hill.

Capitol Hill land swap

The transit board approved plans for swapping its Capitol Hill Station surplus Site D with a commercial property on Broadway owned by Seattle Central College back in November.

The college had long wanted to purchase and develop the property north of campus for expanding its STEM and IT programs, but Site D was earmarked for affordable housing. The college was granted the right of first refusal in 2011.

Seattle Central in late December issued a Request for Letters of Interest from developers interested in partnering with the college to redevelop the 1515-1519 Broadway sites, and its South Annex/International Programs building at 907-909 Pine Street.

Capitol Hill Housing will now develop 78 affordable housing where the old Atlas Clothing building currently stands under a four-party agreement the Sound Transit Board is considering on Thursday.

Sound Transit will convey Site D to the State Board of Community and Technical Colleges (SBCTC) under the property exchange agreement, in exchange for the Atlas site, which would then be conveyed to CHH for its mixed-use affordable housing development. The units will be restricted to households with annual incomes no more than 60 percent of the area median income for King County.

CHH will pay SBCTC $2 million for the Atlas site, which is the difference in appraised fair market value between it and Site D ($6 million). The public corporation will also pay Sound Transit at least $700,000 for the fair market value of the commercial/retail space to be developed on Broadway, according to the terms of the agreement being voted on Thursday.

While a Dec. 2, 2019 closing date is anticipated, the agreement provides a one-year extension if CHH needs more time to acquire funding for the property purchase.

First Hill

While Sound Transit never pulled the trigger on a First Hill light rail station, it did purchase property at 1400 Madison St. in anticipation of doing so back in 2001.

The transit board approved negotiating a zero-cost land transfer valued at $8.6 million to Plymouth Housing Group and Bellwether Housing for a joint affordable housing development last November.

The 12-story project would be the first 100-percent affordable high-rise in Seattle.

Plymouth Housing, which focuses on people experiencing chronic homelessness, with mental and physical health afflictions, proposes constructing 111 units for people making 30 percent of area median income. Bellwether proposes 197 units for households making 30-60 percent of AMI, with 30 of those units sized for families.

Under the terms of the development agreement being considered by the transit board on Thursday, at least 250 units will serve people at or below 60 percent AMI, and at least 80 units will be at or below 30 percent AMI. At least 8 percent of the units need to be two- and three-bedroom options.

Plymouth and Bellwether will also need to program at least 4,000 square feet of retail and other nonresidential use on the ground floor.

While there is no cost for the land transfer, it is expected to take three city and county funding cycles to cover the development’s expense, as well as two rounds of federal low income housing tax credit applications. Plymouth and Bellwether are expected to have all awards secured by June 2021, or Sound Transit could terminate the development agreement.