Tempe City Council authorized the city to take the next steps in buying properties to be used as a non-congregate bridge shelter and affordable housing.
At the April 4 city council meeting, Tempe held the first public hearing on a purchase agreement with Blue Reef Properties LLC for the acquisition of Apache Inn, 1915 E. Apache Blvd, a 60-room inn.
Along with the agreement, the ordinance would also declare an emergency so that it may become effective immediately. This emergency clause requires its own vote with approval of at least six council members and may require two votes for the item.
Deputy Community Health and Human Services Director Irma Hollamby Cain wrote in a staff report the ordinance needs to become effective immediately because of the funding for this purchase.
Tempe received a $7.3 million American Rescue Plan Act grant from Maricopa County to acquire a building to be used as a non-congregate bridge shelter, with Apache Inn identified as the most suitable facility available.
“The owner was approached and indicated interest in selling to the city if the purchase price and other details were agreeable,” Hollamby Cain wrote.
A tenant is currently operating a rehabilitation center in the facility and is willing to sell to the city, with an option to buy the property. Tempe commissioned a property appraisal in January, verifying the purchase price of just over $9 million.
Of this total, just over $8 million has been appropriated from Tempe’s general government capital improvements fund and the remaining $900,000 will be funded from HOME ARPA to be awarded to the city in April 2024.
Tempe needs to fund escrow by April 30 to proceed with the acquisition, but the county’s grant funding agreement terminates on June 30.
Hollamby Cain explained it is highly unlikely the city will be able to find a substitute property before the expiration, hence the need for the emergency clause, which would waive the 30-day cure period required after the second public hearing on the agreement.
In a separate but companion item as part of its acquisition of Apache Inn, Tempe is required to purchase the adjacent property at 1911 E. Apache Blvd. for $1.65 million to allow for an expansion of the proposed non-congregate shelter programming or for other related operations.
This funding would come from the county ARPA funds, and the agreement also has an emergency clause to make it effective immediately.
“This lot will be combined with the Apache Inn site and will allow for a larger redevelopment site in the future once the non-congregate shelter grant requirements are fulfilled in 10 years,” Hollamby Cain stated.
City council also held the first public hearing for this separate purchase at the April 4 meeting.
During the public hearings for these purchases, council did not engage in any discussion and there were no public comments received. The next and final public hearings are scheduled for the April 25 meeting.
Reporter Caroline Yu can be reached at cyu@iniusa.org. To voice your opinion on this story, connect with us at AzOpinions@iniusa.org.
Meet Caroline Caroline Yu joined Independent Newsmedia, Inc., USA, in 2020 as a summer intern covering Scottsdale. As an intern, she continued her coverage of Scottsdale, Paradise Valley and Tempe. After graduating in 2022, Caroline became a full-time reporter for Scottsdale and Paradise Valley. She is currently reporting for the Tempe market.
Community: She is a supporter of the environment and tries to get involved with related community events.
Education: Arizona State University with a BA in Journalism and Mass Communications, with a minor in French.
Random Fact: She used to be a ballet dancer for 10 years.
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