Sam Schauerman's 56-unit Roosevelt Estates is one of several housing developments being planned within Crescent City limits. | File Photo: Jessica C. Andrews

Crescent City received recognition from California Gov. Gavin Newsom on Friday that could mean $650,000 in funding for more housing projects within city limits, according to City Manager Eric Wier.

Though he wasn’t yet aware that Crescent City had achieved the designation, Wier told the Wild Rivers Outpost that it comes at a time when developers are working to bring more than 300 housing units within the city limits to fruition.

“It opens up funding doors,” he said, noting that a 27-unit senior housing project, Harbor Point Apartments, is slated to start construction next week. “It’s been things like this that have paved the way for the housing projects that we have before us.”

Crescent City’s Prohousing Designation gives the city exclusive access to state grant dollars as well as an advantage in the scoring process for the Department of Housing and Community Development’s funding programs.

The Crescent City Council on March 4 approved a resolution authorizing staff to apply for the Prohousing Designation as well as the Prohousing Incentive Program grant. According to a city staff report, the Prohousing Designation enables the city to apply for $650,000 in PIP dollars. In January, HCD announced that about $9.48 million in PIP was available statewide.

Crescent City was one of 10 communities to receive the designation, according to HCD's announcement Friday. The others include Berkeley, Brea, Fairfield, Pinole, Rancho Cucamonga, Richmond, South Lake Tahoe, West Hollywood and Los Angeles County.

Established through the 2019-2020 Budget Act, 47 California communities have Prohousing Designations.

In its announcement Friday, HCD praised Crescent City’s dedication to increasing its housing supply, noting that its permitting process “does not exceed four months.” HCD also praised Crescent City’s use of general fund dollars to subsidize application costs for developers who are submitting proposed housing projects for review.

In addition to the DANCO Group’s Harbor Point Apartments slated for 655 H Street, Synergy Community Development Corporation is developing Battery Point Apartments at Gary and E streets. That complex will include 162 low-income housing units, 40 of which will be for seniors.

Southern California-based developer GreenShoots Communities spending more than $3 million to rehab Valhalla Townhomes on Pacific Avenue. According to Wier, that project includes making several of of the 46 units ADA accessible.

A 33-unit complex near from LNL Design & Construction also received approval from the Crescent City Planning Commission. According to Wier, that development will be near 3rd and F streets.
Finally, the Crescent City Council last month approved a zoning change that will enable Sam Schauerman to develop 56 moderate-income units on his property at 1405 California Street.

According to Ethan Lawton, a planner with SHN who is working with Crescent City, Schauerman’s Roosevelt Estates development will allow the city to meet its moderate-income and above moderate-income housing unit allocation outlined in its 6th Cycle Housing Element.

On Friday, Wier called the recent housing development in Crescent City unprecedented.

“With the housing crisis and the cost of rents we’re seeing across the community, this will go a long ways to stabilize that and provide needed homes for our residents,” he said. “As far as the Prohousing Designation, that’s another tool in our tool bag and one we’ll take full advantage of as it will open future opportunities.”

According to its Regional Housing Needs Allocation (RHNA), Crescent City will need to plan for at least 189 housing units between 2022 and 2030.

California needs to plan for 2.5 million new homes over the next eight years to meet the need of residents, HCD stated Friday.

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