Last night, Cary Town Council approved the 2024-2025 Cary Housing & CDBG Annual Action Draft Plan, which recommends awards totaling over $7.2 million. This blend of federal and local funds will facilitate the construction of 226 new affordable housing units and the preservation of 29 existing affordable homes. The awards will also assist 446 people maintain housing stability and build organizational capacity in Cary nonprofits focusing on housing and community development. Cary will submit the draft plan to the U.S. Department of Housing and Urban Development for final approval. Rooted in Partnerships and a People First approach, this investment will further the goals of the Cary Housing Plan and Imagine Cary Community Plan, ensuring all Cary citizens can enjoy the high quality of life Cary has to offer.
See Council Meeting here.
Here’s an overview of the plan and where the funds are going:
New Housing Opportunities
refers to funds used to create new affordable housing supply including property acquisition, development incentives, predevelopment costs, and funding gap subsidies in the form of grants and loans to housing developers. The plan allocates $2,195,000 for these initiatives.
Housing Rehabilitation & Affordability Preservation
refers to funds used to preserve Cary’s existing affordable (market or restricted, owned and rental) housing stock. In addition to other initiatives, this area includes funding for the Healthy Homes Cary Program and a community land trust pilot with the Raleigh Area Land Trust. The plan allocates $2,030,000 for these initiatives.
Housing Stability Support
refers to funds used to support residents going through financial hardship including support in workforce development, digital equity, and senior center programming. In addition to these initiatives, this area includes funding for the Stable Homes Cary Program, Oasis Utility Bill Fund, and Play it Forward, in partnership with lead agency Dorcas Ministries. The plan allocates $1,208,777 for these initiatives.
Nonprofit Capacity Building
refers to funds used to support the organizational capacity of nonprofits working across the housing continuum in Cary. This area includes scholarships to attend the North Carolina Center for Nonprofits Management Institute as well as direct support for strategic planning and staff development to facilitate growth and increase impact. The plan allocates $1,864,200 for these initiatives.
Greenwood Forest Baptist Church Mixed-Use
110 SE Maynard & 10 Kilmayne, $400,000
Greenwood Forest Baptist Church (GFBC) has requested funds to support pre-development soft costs for the proposed mixed-use development on church and town-owned land. GFBC is partnering with Cary-based nonprofit. The Carying Place and developer DHIC, Inc. to build on the GFBC property at the corner of Kildaire Farm Road and SE Maynard Road. The proposal includes 65-80 multi-family units, new day care facilities, and office space to increase community programming capacity. The majority of the units will be managed by DHIC and affordable to residents earning at or below 80% AMI; 20 units will serve The Carying Place clients, most of whom are at or below 50% AMI. Wake County has committed to support the daycare facilities with $900,000 in funding. As the project proforma becomes final, the development team is likely to pursue further funding to support the affordability from both Cary and Wake County. The development’s funding stack will also include philanthropic donations and bank financing. GFBC also intends to apply for an allocation of 9% tax credits through the Low-Income Housing Tax Credit (LIHTC) program. These credits are awarded annually by the North Carolina Housing Finance Agency on a competitive basis.
Rose Park Manor Senior Housing Development
128 SW Maynard $750,000
Beacon Management Corporation is a leading affordable housing developer, focused on housing options that support seniors in the Carolinas. Town Council approved a previous funding request to Beacon in the amount of $2,000,000; however, due to increased development costs and to make community upgrades to the proposal, Beacon has asked for additional funding in the amount of $750,000 for a total of $2,750,000 in the form of a forgivable loan. This proposal will provide 81 units for residents 55 years and older earning 30%, 50% and 60% of the AMI. For 2024 Wake County has also committed to support this development with a loan in the amount of $1,510,000 and an additional award of $830,000 now being considered for a total potential Wake County commitment of $2,340,000. Additionally, this development has already received an allocation of 9% tax credits through the Low-Income Housing Tax Credit (LIHTC) program.
White Oak Foundation Senior Housing
1609 White Oak Church Road, $1,000,000
White Oak Foundation has requested funding to support the pre-development soft costs for 60 affordable senior housing units. Town Council approved the White Oak Planned Development District (PDD) in 2018 which includes these 60 senior housing units, 30 townhomes, a small daycare, and community facilities. This award supports the realization of the PDD vision. This proposal will provide 60 units for residents 55 years and older with a household income at or below 80% of the Area Median Income. This proposed development helps to fill a critical need for affordable senior housing in Cary. Development plan review and permitting will continue over the next year with a target groundbreaking of late 2025.
Healthy Homes Cary- Rebuilding Together of the Triangle
Scattered Site, $750,000
Through the Healthy Homes Cary program, Cary provides low- and moderate-income homeowners with funding for home improvements which help residents age in place, preserve safe and sanitary housing, correct hazardous structural conditions, eliminate blight, and improve accessibility for persons with disabilities. In partnership with Rebuilding Together of the Triangle, this program is funded through a combination of CDBG and Cary general funds. To offset costs, the program also uses a combination of volunteer labor and discounted materials to make repairs, disability modifications, and home performance upgrades to homes owned by low-income homeowners. Since the establishment of the Healthy Homes Cary Program, other communities including the Town of Apex and Wake Forest have adopted Cary’s model. Cary is supportive of other communities adopting and funding this approach to keep residents in their homes and provide high-quality housing options for all.
The Carying Place Homeless Prevention Duplex Acquisition & Renovation
$520,000
The Carying Place (TCP) supports families with children that are experiencing homelessness (or at risk of homelessness) in their journey to independence and self-sufficiency through the Journey Home program. Since its inception, TCP has served over 535 Cary families. Based on housing capacity, the program supports 13 families at one time. The Carying Place is requesting funding to add to their transitional housing portfolio with the acquisition and renovation of one additional duplex or triplex. With this award, TCP would target a purchase near public transportation, TCP programming, and local resources. The program serves households at or below 80% AMI with most participants below 50% AMI and experiencing housing instability due to post-pandemic economic pressure. The award includes $130,000 in prior unused CDBG-CV funds. In the event these funds are not applicable to the ultimate property selection, the balance of the award would be from prior unused CDBG funds or Cary General Funds. TCP’s funding stack could also include philanthropic donations and private bank financing.
The Carying Place Homeless Prevention Housing Renovations
Scattered Site, $190,000
TCP is also requesting funding to execute renovations on their transitional housing portfolio. Reinvestment in existing properties is based on facility condition assessments and life-cycle requirements. All 13 units will be assessed for reinvestment and critical maintenance priorities. TCP has been able to continue its program to renew/replace major building components at its 13 residential units through the renewal and replacement grants provided in the past. With these funds TCP has sustained high quality affordable housing standards in all its properties to enhance the experience of families participating in their programs. In the event HUD allocates additional CDBG funds for 2024-25, those funds will be utilized in this category and reduce the general funds allocated. In the event HUD allocates less than $650,000 in CDBG for 2024-25, the total category allocation will remain the same and an increase in general funds will be allocated to account for the difference.
Raleigh Area Land Trust Affordable Homeownership
Scattered Site, $525,000
The Raleigh Area Land Trust (RALT) is organized as a Community Land Trust (CLT). RALT works to expand affordable homeownership opportunities for first-time homebuyers with household incomes at or below 80% AMI. The CLT model is used nationally to help new affordable housing supply and homeownership opportunities through shared equity where the CLT retains land ownership, and the homeowner owns the home. The CLT leases the land to the homeowner through a long-term ground lease, conveying most rights and responsibilities available to traditional homeowners. To preserve the long-term affordability, the lease limits the resale price of the home should the owner decide to sell. Homeowners agree to share the equity back with the CLT so that the same opportunity and affordable price that was available to them can be made available to another income-qualifying household. RALT has requested funds to acquire and renovate up to four units. Homeowners will be required to complete training and individual counseling provided by the nationally certified DHIC Homeownership Center. RALT’s funding stack also includes philanthropic donations and private bank financing.
Passage Home Workforce Development
513 Branch Street, Raleigh, $92,187
Passage Home, Inc. is requesting funding to support their housing stability services. This program includes food security, short term rental assistance, eviction prevention, transportation, and childcare assistance. It also includes case management to help clients obtain employment with benefits, social services, and sustainable housing. The program serves households at or below 80% AMI with most participants below 50% AMI and experiencing housing instability due to post-pandemic economic pressure. This program serves 10-15 Cary residents per year.
Kramden Institute Digital Equity Program
Classes will be held at Dorcas Ministries, $21,590
Kramden Institute is a regional nonprofit organization, established in 2003, with the mission to provide technology tools and training to bridge the digital divide. Kramden has awarded thousands of computers to families across North Carolina. Kramden expanded its programs in 2014 to include educational programs for members of the community who lack basic computing skills. They offer adult computer classes, STEM after-school programs, and technology camps. This award will allow Kramden Institute to partner with Dorcas Ministries in Cary to deliver digital skills training and devices to Spanish speaking residents. Four rounds of Kramden’s Computer Basics course will be held at Dorcas over two years. All classes will be taught in Spanish by one of Kramden’s Technology Instructors. Kramden’s four-week course teaches participants the skills needed to use a computer for work, telehealth, education, and more. Everyone who completes the course will receive a free refurbished laptop. With the skills and knowledge gained through the course, Hispanic residents of Cary will be equipped to thrive in the community. This program is projected to serve 60 Cary residents. In the event these prior unused CDBG funds are not applicable to the ultimate beneficiaries, the balance of the award would be from Cary General Funds.
White Oak Senior & Community Center Programming
1621 White Oak Church Road, $150,000
The White Oak Foundation’s mission is to keep families in their homes by saving them from foreclosure and educating potential homebuyers & renters as a HUD-certified counseling agency. In addition to those services, White Oak ensures families have food to eat through a bi-monthly Food Bank distribution and hot meals to seniors as a Wake County Meals on Wheels hub. Their funding request will enable White Oak to continue its public service and intervention efforts for Cary residents with household income at or below 80% AMI with many participants below 50% AMI. This program serves approximately 225 Cary residents per year.
A Doorway to Hope
Scattered Site, $50,000
A Doorway to Hope is a Cary-based nonprofit providing targeted emergency assistance to hundreds of Cary households including a summer food security program, produce box delivery, and essential household items supply. A Doorway to Hope works in partnership with other Cary nonprofits to complement existing facility-based services and provide focused street/neighborhood outreach. The program serves households at or below 80% AMI with most participants below 50% AMI and experiencing housing instability due to post-pandemic economic pressure. These funds will support outreach services for hundreds of Cary residents in need.
Stable Homes Cary- Relocation Seed Fund
Location: Dorcas Ministries, 187 High House Road
Recommendation: $800,000 (Prior Unused American Rescue Plan Act-ARPA-Funds)
As the oldest nonprofit service provider in Cary, Dorcas Ministries provides compassionate assistance to area residents to empower people to become stable and self-sufficient. Their portfolio of programming includes financial assistance and case management to area residents. On March 14, Council approved the establishment of the Stable Homes Cary Program that will scale up Dorcas’ current case-management based model to serve more residents in need and seed a fund to assist tenants who have been notified by the property owner that relocation will be required. This assistance will directly support residents’ potential relocation-related expenses.
Triangle Family Services Homelessness Support & Prevention Services
Scattered Site, $50,000
Triangle Family Services is requesting funding to support their rehousing initiatives and homelessness prevention services. Triangle Family Services’ program includes street outreach as well as case management to help clients obtain employment with benefits, social services, and sustainable housing. Triangle Family Services is based in Raleigh and works in partnership with Cary-based organizations focused on supporting the unsheltered. The program serves households at or below 80% AMI with most participants below 50% AMI and experiencing housing instability due to post-pandemic economic pressure. These services are anticipated to serve 10-15 Cary residents per year.
The Carying Place Journey Home Program Capacity Building
Scattered Site, $169,200
The Carying Place (TCP) supports families with children that are experiencing homelessness, or at risk of homelessness, in their journey to independence and self-sufficiency through the Journey Home program. Families are paired with a volunteer team of Support Partners that provide weekly guidance in managing personal finances, setting attainable goals, seeking permanent affordable housing, and maintaining their employment. Since its inception, TCP has served over 535 Cary families. Based on housing capacity, the program supports 13 families at one time. The Carying Place is requesting funding to build their organizational capacity to scale up the Journey Home Program. The program serves households at or below 80% AMI with most participants below 50% AMI and experiencing housing instability. This assistance will support additional staff, technological needs, strategic planning, and other program-related expenses.
Stable Homes Cary Program Capacity Building
Scattered Site, $1,650,000
As the oldest nonprofit service provider in Cary, Dorcas Ministries provides compassionate assistance to area residents to empower people to become stable and self-sufficient. Their portfolio of programming includes financial assistance and case management to area residents. Financial assistance may be offered to cover expenses associated with housing, necessary bills, and career advancement. They also administer Cary’s Parks and Recreation scholarship program, Play it Forward, and the Oasis Emergency Utility Assistance Program. On March 14, Council approved the establishment of the Stable Homes Cary Program that will scale up Dorcas’ current model to serve more residents in need. This assistance will support additional staff, technological needs, strategic planning, and other program-related expenses.