By Jennifer McGraw

SACRAMENTO (CBS13) — Finding affordable housing may get a little easier now that Sacramento is waiving some fees to encourage new developers to build.

“There is totally a need in Sacramento for housing. We are having a housing crisis,” said Holly Wunder Stiles.

She’s the director of an LGTBQ senior living facility waiting to be built.

“We’ve been paused for quite a while due to the lack of funding,” she said.

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By waiving city fees for 53 units, it may give the facility on the corner of 16th and F streets a viable future.

“It’s a definite help and it brings our project that much closer to beginning to start construction,” said Wunder Stiles.

By reducing the fees, the city is hoping for further construction of hundreds of units across Sacramento.

“Sixteenth and F [streets], that corner Lavender Court, and who it will serve to save $450,000 on that project is a very significant deal,” said Sacramento City Councilman Steve Hansen.

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So how much do current fees cost?

For a 200-unit apartment, it could currently cost developers in the central city up to nearly $1.9 million. Under the new proposal, some of those fees would be waived.

Developers who take advantage of the reduction in fees will have to guarantee long-term affordable housing for at least 30 years from moderate- to low-income rates.

“If you’re not extremely low-income and you want to live in this community, you work in a restaurant, you have a family, this is housing for you,” Hansen added.

The city says it’s gaining nothing by having empty lots and now hope the reduction in fees will build future revenue.

“Hearing about the outcomes that can be produced by communities like that is absolutely why we have to pass this tonight,” Hansen said.

The council approved to move forward with waving some of the fees, but will not exclude school and flood control fees.

The city will be taking a loss of about $1 million per 100 units built.

This resolution takes effect on Dec. 30.

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