2004 Action Plan
Hollenden Place Narrative
E. Hollenden Place
Passage Home, Inc. plans to purchase a 24-unit apartment building off Capital
Boulevard and Spring Forest Road in northeast Raleigh (see map page 41).
Passage Home, Inc. is a 501(c) 3 nonprofit organization located in Raleigh, NC
whose mission is to help homeless families transition to permanent, independent
housing. Total project cost is $1,953,500. Wake County intends to make a
combination of grant and loan funds in the amount of $568,275. Passage Home is
expected to receive a $508,425 loan from the City of Raleigh Passage Home is also
requesting funds from the NC Housing Finance Agency.
Ten units will be permanent housing for men transitioning from The Healing Place,
an alcohol and drug abuse treatment center in Raleigh. The two nonprofits
received a 2003 Continuum of Care Grant from HUD in the amount of $400,000 for
this program. Thirteen units will be used to permanently house families who are
formerly homeless. One unit will be reserved for an on-site manager. Because of
the populations to be housed, the building will be a substance free zone.
Wake County recommends a combination loan/grant of $568,275 for Hollenden
Place, $268,275 will be a grant, $300,000 will be a loan at 0% interest, repaid
over 30 years. The funding is from two sources: $143,750 in HOME funds and
$424,525 in County funds. Hollenden Place is recommended because it provides
23 additional units to families and individuals earning less than 30% of the MFI
($21,400 for a family of 4). This is a subsidy of $24,700/unit or $68/unit per
month for the lifetime of a 30-year loan. It has an effective support services plan
and is the first permanent housing development to offer a substance free zone in
Wake County.
F. Rental Assistance for Families
Funds for at least 20 vouchers will be available to area nonprofits as a pilot project. The
vouchers will be sponsor-based; this means that the vouchers will not be tied to a specific
unit or person, but to a specific nonprofit organization. The pilot program will run for 2
years. The vouchers will be available for nonprofits to use for persons who are making 30%
or less MFI, transitioning from homelessness and will be employed or disabled. The
nonprofit(s) that administers the vouchers must provide a realistic plan for transitioning
persons assisted with County vouchers off after 2 years. The County has budgeted
$241,638 in County CIP funds for this activity. The maximum amount of subsidy per
voucher is $452, but it is anticipated that most vouchers will be less than this maximum.
HCR has issued a request for letters of interest to Wake County nonprofits. The Housing
Committee will recommend the nonprofit partner(s). Responses were received from Alliance
of AIDS Services, Passage Home and CASA.