Johnson County is in the process of repairing a 15-unit apartment complex in Iowa City after the Board of Supervisors committed $500,000 to support affordable housing. The complex cost the county $1.7 million.
In the summer of 2024, the county purchased the property located at 1102 Hollywood Blvd. to use it as a residential affordable housing option, but the property needed repairs before anyone could inhabit it.
In January, the county committed $500,000 to support affordable housing projects, and the repairs to the apartment complex are anticipated to cost $420,000. Rachel Carr, Johnson County Social Services community service manager, said the money for the property’s repairs was funded through the county’s general fund.
According to the Board of Supervisors contract proposal, the repairs they will take part in include replacing furnaces, air conditioning units, water heaters, electrical service in each unit, and improving basement waterproofing.
The county will also add heat shielding near stoves and ovens, fix sidewalks, make sure gutters and downspouts function properly, and vent bathroom exhausts to the outside, an item lower on the county’s list of refurbishment priorities.
Johnson County Social Services Director Lynette Jacoby said the repairs will also include a new HVAC system, which will increase the structure’s energy efficiency.
“We're making good advances with green initiatives,” Jacoby said. “We're being kind to the environment, and then in the long run, to be more affordable utility bills for the residents of that apartment complex.”
McComas-Lacina Construction was given the contract to complete the repairs without a formal bidding process. Low-rent housing projects are exempt from a competitive bidding process under Iowa Code.
Other county projects that McComas-Lacina Construction has worked on include the renovation of the county administrative offices and the construction of the Health and Human Services facility.
“MLC has already begun work, and we expect it will be completed soon, weather permitting,” Board of Supervisors Chair Jon Green wrote in an email to The Daily Iowan.
This funding is part of an ongoing effort to address the growing housing affordability crisis for low-income families and individuals. The project will provide residents with improved living conditions and help alleviate the county’s shortage of affordable housing options. More than 60,000 people utilize housing subsidies in Iowa, and 2.8 percent are in Johnson County, and over 740 evictions have been recorded in 2023, according to previous reporting from the DI.
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“The shortage of affordable housing is indeed a crisis, one with many causes and that will require many different lines of attack to address,” Green said. “Given the insanity of the federal government and the hostility of the state government, I don't know what the future holds, but I hope this is a foundational step to greater things in the future.”
As far as maintaining the property, Carr said they are in the process of releasing a request for proposal for a nonprofit or a municipality to take over property management responsibilities. He said the request for proposals should be coming out within the next two weeks.
Part of what the proposals will show is the design of the rent, ensuring it's affordable for renters in the community.
For rent to be considered affordable, tenants should not pay more than 30 percent of their income, so ideal proposals will prioritize keeping rents low so people who have low incomes will be able to rent at an affordable rate and not be cost-burdened.
Johnson County invests in affordable housing annually through housing trust funds or a general assistance program. Investments will continue, as well as a search for other opportunities throughout the community, but because of budgetary constraints, no additional investments will be made, Carr added.
Jacoby said there are plans to look at other properties in the future, but it isn't the county’s job to be a property manager.
“This really just scratches the surface, but we're really pleased that it does add 15 additional units to accommodate a smaller-size family,” Jacoby said. “We know that there is a tremendous need for those units. So, this is one solution.”
The housing need, Jacoby said, is the reason why the county is continuing to find solutions that keep people off the streets and in some form of shelter.
“There's really a strong need for a continuum of solutions that addresses the housing needs in our community, meaning we need to invest in emergency shelter,” Jacoby said. “We need to invest in prevention so people can maintain stable housing and not face eviction.”