Results of an in-depth survey show that 80 to 82 percent of Gateway Towers and College Hill Courts residents want to return to the Westside neighborhood when new housing is complete, and about half want to live in the Westside area during construction.
Carmen Chubb, president of master developer Columbia Residential, said the firm’s housing plans can easily accommodate this.
The Sept. 26 City Council meeting was “tense” as members of the council accused the Chattanooga Housing Authority of promoting gentrification and Jim Crow laws by forcing public housing residents out of Westside as new mixed-use and mixed-income units are planned.
“It does change the narrative,” said Council Chair Raquetta Dotley.
CHA and Columbia Relocation surveyed 75 percent of residents in the two buildings and presented results to the Chattanooga City Council Economic Development Committee alongside the mayor’s chief of staff Jermaine Freeman.
CHA has continuously maintained that its residents will not lose their homes in the Westside community. It has contracted with two firms to assist residents as they are relocated for construction and then moved back home into the new buildings.
The survey’s biggest surprise was that 65 percent of College Hill Courts residents want a path to homeownership.
“This was certainly a bright spot that we learned about through the surveys,” said Ms. Chubb.
“People have ambitions,” Chair Dotley said.
Mr. Freeman said the city has a first-time homebuyer grant program in partnership with Chattanooga Neighborhood Enterprise, which offers up to $10,000 toward closing costs and a $50,000 loan for people who earn less than 80 percent the area median income. The CNE grant includes financial counseling.
Ms. Chubb said a resident’s right to return to redeveloped public housing is supported by Columbia and CHA and by federal Housing and Urban Development and the Choice Neighborhoods program.
“Not only a right ... We will facilitate their return,” she said.
There are two exceptions: people listed on the lifetime sex offender registry and people convicted of making methamphetamine on federally assisted housing property.
Ms. Hill said that the council’s demands in September brought attention to an important matter and gave the community time to get involved.
“Thank you, thank you Housing Authority,” Ms. Hill said.
The 600 units in the two buildings will be demolished and 1,700 affordable-housing units built.
Thirty-five percent of the units, or 629 units, are designated for people who earn 0 to 30 percent of the AMI.
Forty percent of the units, or 709 units, are designated for people who earn 81 percent or higher of the AMI. These top-bracket units will be sold at market value. There is no screening for these, but Ms. Chubb said they are usually bought by people who earn 80 to 90 percent of the AMI.
Columbia Residential is the master developer of Westside Evolves portion of the One Westside Plan, which also includes The Bend development on the river.
Short-term vacation rental units are not allowed in the Westside Evolves master plan. Single units with an attached accessory dwelling unit, a design that supports homeownership, it was stated, are allowed.
The City Council is being asked to approve a $135 million Tax Increment Financing (TIF) district that couples the Westside Evolves project with The Bend at the former Alstom site.
The second reading of the item is Tuesday, Oct. 31.
The TIF would pay for up to 50 percent of the infrastructure at The Bend site, including five miles of new roads.
The Bend will have one million square feet of office and industrial space, 500 square feet of retail, 1,500 residential units, 500 hotel rooms, nine acres of riverfront park space and a marina.
After the city and the county approve the One Westside economic plan, the Industrial Development Board must approve it.