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Durham Strategic Plan Dashboard

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Status Indicator: In Progress | On Hold | Complete/Ongoing

Initiative: 3.22 Advance rental housing programs

Connected, Engaged, & Inclusive Communities

Description

The Housing & Neighborhood Services Department is invested in advancing rental housing programs for low- to moderate-income households. This initiative is nested within the Forever Home, Durham plan of building 1,600 new affordable rental homes and preserving 800 affordable rental homes. We manage the following programs in support of this initiative: 1) Forever Home, Durham Projects, 2) American Rescue Plan Act (ARPA) Affordable Housing Projects, and 3) the HOME Investment Partnerships Program - American Rescue Plan (HOME-ARP) funded project.

Key Measures & Data Analysis

The Department is managing numerous programs within the "advance rental housing programs" initiative. The charts depict the rental units developed and preserved goals within the Forever Home, Durham initiative year-to-date for FY26. There are 3 categories: 1) number of units completed, 2) number of units underway, and 3) number of units planned (not yet under contract with developer)

  • Our goal is to create 1,600 new rental units developed. We anticipate we will have a surplus of 28 additional units created, for a total of 1,628 new rental units.
  • Our goal is to create 800 rental units preserved. We anticipate we will have a surplus of 275 additional units created, for a total of 1,075 new rental units.

 

For the latest information about the Forever Home, Durham initiative, please visit: https://www.durhamnc.gov/4593/Forever-Home-Durham 

Rental Units Created

Why is it important?

The Community Development Department believes all residents deserve access to decent and suitable affordable housing that meets their needs. We invest in various projects that create and preserve affordable rental housing for low- to moderate-income households within the City of Durham.

What have we been doing?

Through this initiative, we have been continuing to manage the following projects:

1. Forever Home, Durham Projects

    • The $160 million Forever Home, Durham plan spans from 2019-2025. The goals within the plan that are relevant to this initiative include creating 1,600 new rental units and preserving 800 rental units.
    • Within the goal of creating 1,600 new rental units, we have:
      • Completed: 7 projects
      • Underway: 7 projects
      • Planned: 2 projects
    • Within the goal of preserving 800 rental units, we have:
      • Completed: 6 projects
      • Underway: 5 projects
      • Planned: 1 project
    • We are diligently working to get the projects that are currently planned to an underway status.
    • For the latest information about the Forever Home, Durham initiative, please visit: https://www.durhamnc.gov/4593/Forever-Home-Durham

2. American Rescue Plan Act (ARPA) Affordable Housing Projects

    • The City of Durham and Durham County are using a portion of their American Rescue Plan allocation to fund the critical need for affordable housing. Through an Interlocal Cooperation Agreement (ILA), Durham County conveyed $13.5 million to the City of Durham, which the City matched, for a total investment of $27 million to assist in developing new affordable housing units in Durham. The funds will serve households earning less than 80% of the Area Median Income (AMI) as defined by the U.S. Department of Housing and Urban Development (HUD).
    • The City of Durham hosted a competitive application process and made selections of 7 projects to be funded.
    • ARPA funding was committed to all 7 projects by the December 31, 2024, obligation deadline and construction is underway. For more information about the City of Durham's American Rescue Plan Act (ARPA) funding, please visit: https://www.durhamnc.gov/4529/American-Rescue-Plan
    • Of the committed 7 projects, we have:
      • Completed: 1 project
        • Fitts-Powell Apartments 14 units
      • Underway: 6 projects
        • Southside Phase III & IV and Sankofa Landing Apartments anticipated to be completed by FY26-end

3. HOME Investment Partnerships Program - American Rescue Plan (HOME-ARP)

    • The City of Durham was awarded approximately $4.3 million in HOME-ARP funding.
    • A requirement of the funding was to develop an Allocation Plan that describes how we will distribute funding, including how the funds will address the needs of qualifying populations.
    • The City of Durham's HOME-ARP Allocation Plan was approved by the U.S. Department of Housing and Urban Development (HUD) in Spring 2023.
    • Through the development of the City's Strategic Plan to End Homelessness, the Durham Community Safety Department (DCSD) and Durham Continuum of Care (CoC) are evaluating other eligible uses for HOME-ARP funding. Management of this funding source has transitioned to DCSD.

What's next?

In the coming months, we will work towards the following: 

1. Forever Home, Durham Projects 

  • The Department will continue advancing support of additional developments, that are currently underway and prioritizing moving along the remaining projects that are in a planning status.
    • Anticipated contracts for the Villages of Hayti (FY2026 Q4) and Tribute Rising projects (FY2026 Q4).

2. American Rescue Plan Act (ARPA) Affordable Housing Projects 

  • The Department will continue to support completion of the 7 ARPA affordable housing projects by ensuring all ARPA funding is spent prior to the U.S. Department of Treasury's expenditure deadline of December 31, 2026.
    • This includes the monitoring construction remaining 6 developments underway:
      • Southside III
      • Southside IV
      • McKissick Square
      • Sankofa Landing
      • Sandy Ridge Station
      • Hariett's Place

3. HOME Investment Partnerships Program - American Rescue Plan (HOME-ARP) 

  • Durham Community Safety Department (DCSD) is now managing the HOME-ARP funding source and reevaluating eligible uses to support implementation of the Strategic Plan to End Homelessness.

Budget and Management Services Department
Office of Performance and Innovation
Strategy and Performance Division