Asheville City Council has doubled down on subsidizing an affordable housing project just south of downtown after the private developer said construction will cost more and take at least two years longer than initially planned.
On Tuesday, council members voted unanimously to approve over $5 million in tax incentives and low-interest loans for a planned 221-apartment complex at 319 Biltmore Avenue, which the council first greenlit in 2022.
At that time, Charlotte-based developer Laurel Street Residential promised it would not ask Asheville for any handouts beyond the land itself. The city agreed to sell the property for $1, having bought it from Duke Energy for $5.3 million in 2020. But according to Sasha Vrtunski, the city’s affordable housing officer, increases in construction costs have outpaced the growth of projected rents, making the project no longer financially feasible without additional taxpayer support…