Cottonwood City Council voted to back a Low Income Housing Tax Credit application by the developers of the Verde Plaza II apartment complex. The new complex would sit next-door to Verde Plaza I on South Seventh Street.
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The Cottonwood City Council voted 5-0 on March 18 to support a Low Income Housing Tax Credit application by Terra Realty and Management of Colorado to expand the Verde Plaza Apartments onto adjoining city-owned property.
Councilmen Stephen DeWillis and Bob Marks were absent.
Cottonwood City Council Member Christopher Dowell speaks at a regular city council meeting on Tuesday, March 18. The council voted to back a Low Income Housing Tax Credit application by the developers of the Verde Plaza II apartment complex. The new complex would sit next-door to Verde Plaza I on South Seventh Street.
Daulton Venglar/Larson Newspapers
The city had previously supported the developer’s prior successful LIHTC application to the Arizona Department of Housing in 2022, which provided funding to renovate 52 units at Verde Plaza and add 18 additional units. Terra Realty reported on Dec. 31 that the complex is now at 100% occupancy. The city also provided Terra Realty with a $250,000 loan as part of the previous application, and would provide another loan of $100,000 as part of the current application process.
The LIHTC program will require that the units be rented at prices afford able to households earning at or below 60% of the area median income for 30 years. ADOH is required to approve only three applications annually outside Maricopa and Pima counties; Terra Realty’s previous application in 2024 was not approved.
Cottonwood Vice Mayor Felicia Coates speaks at a regular city council meeting on Tuesday, March 18. The council voted to back a Low Income Housing Tax Credit (LIHTC) application by the developers of the Verde Plaza II apartment complex. The new complex would sit next-door to Verde Plaza I on South Seventh Street.
Daulton Venglar/Larson Newspapers
Ryan Bigelow, the city’s acting director of Strategic Initiatives, said that Terra is proposing to construct the expanded complex on a parcel of city-owned land adjacent to Verde Plaza that it would lease from the city and that city staff are not currently planning any other uses for that parcel.
“That application from the developer is due April 1 and then we would hope to hear back by June 2 on whether this program was awarded,” Bigelow said.
Ryan Bigelow, Director of Strategic Initiatives at the city of Cottonwood, speaks at a regular city council meeting on Tuesday, March 18. The council voted to back a Low Income Housing Tax Credit (LIHTC) application by the developers of the Verde Plaza II apartment complex. The new complex would sit next-door to Verde Plaza I on South Seventh Street. Daulton Venglar/Larson Newspapers
“I’m in support of this, it’s needed and it would be really helpful if we could get this done,” Mayor Ann Shaw said.
“I’m also in favor of council proceeding here, they’ve done an excellent job over there with Verde Plaza I,” Councilwoman Joy Mosley said.
The council approved the resolution to support Terra Realty’s application unanimously.
Cottonwood City Council Member Joy Mosley speaks at a regular city council meeting on Tuesday, March 18. The council voted to back a Low Income Housing Tax Credit (LIHTC) application by the developers of the Verde Plaza II apartment complex. The new complex would sit next-door to Verde Plaza I on South Seventh Street.
Daulton Venglar/Larson Newspapers
