Citing what they called "high construction costs," the Idaho Housing and Finance Association has turned thumbs down on an affordable housing project for Ketchum, but city officials said they're not giving up on the initiative.
The Idaho Mountain Express reports that the project—Washington Place—was proposed for a quarter-acre of property on Ketchum's First Street, currently owned by the Ketchum Urban Renewal Agency. The project would include four stories, totaling 23 rental units.
But IHFA deemed the $600,000 construction price tag to be too high and the demand for new affordable units to be too low.
But Ketchum officials told the Mountain Express that the IHFA's logic is the exact reason why the project should be completed.
“It is exactly [because] of this high cost of construction, housing and living that Ketchum is applying for these credits in the first place,” Ketchum officials wrote in their response. “The target population for Washington Place is declining because of the lack of affordable housing—to us, this signifies a need to get units built."
Ketchum officials said they hoped to refine their proposal and resubmit the project in September.