Summary (Updated 5/18/26): City Council partially approved the proposed CDBG-DR affordable housing awards, voting to fund District East Commons and 319-B Biltmore while declining to move forward with Terrace at River Hills after a motion to fund the project failed for lack of a second. This is unfortunate – this was the most “shovel-ready” of the three proposed. The decision reflects a wariness on the part of City Council to commit CDBG-DR resources to multifamily affordable housing when uncertainty remains about whether there are sufficient funds to support single-family home repairs. We will be posting more about this issue soon.

Original Summary: The City should approve the proposed CDBG-DR affordable housing awards because they would create hundreds of long-term affordable homes and help reduce displacement pressures during post-Helene recovery.

The Facts: City Council is considering nearly $18 million in CDBG-DR disaster recovery funding for three affordable housing developments that would collectively create 331 affordable housing units. 

The recommended projects are:

• Terrace at River Hills – 126 units
• District East Commons – 93 units
• 319-B Biltmore – 112 units

The City’s presentation notes that eligible projects must reserve at least 5% of units at rents affordable to households at or below 30% Area Median Income (AMI). The majority of the units proposed will be at or below 50% AMI.

The City explicitly frames these investments as part of a broader anti-displacement strategy intended to stabilize residents, preserve generational wealth, and reduce housing insecurity after the storm. 

You can read the staff report here and see the presentation slides here.

Our Assessment: No affordable housing proposal is perfect, and Asheville still faces enormous housing affordability challenges. But on balance, these investments represent a meaningful and constructive use of disaster recovery funding.

The projects provide long-term affordability protections, leverage additional state and federal funding, and create housing at affordability levels that are increasingly difficult to build in Asheville’s current market.

Just as importantly, the presentation reveals that the City plans to pair renter-focused multifamily housing investments with expanded homeowner repair programs intended to help existing residents remain in place after Helene. (It’s worth noting that there are several available strategies for the City to address both the need for more multifamily rental housing and single-family home repair. It’s unclear to us that the City has landed on the best available strategy that will maximize returns on both of these critical needs. We will have more analysis on this issue in future reports.)

The bottom line is that this is a positive step. While the City needs to continue strengthening anti-displacement protections and community accountability, these housing awards move Asheville in the right direction.

The Ask: We invited you to join us in urging City Council to continue prioritizing deeply affordable housing and anti-displacement recovery investments.

Report Back

Resolution authorizing the award of Community Development Block Grant – Disaster Recovery multi-family housing funds to Commonwealth Development Corporation (District East Commons), and Laurel Street (319B Biltmore).

• Adopted Unanimously

Resolution authorizing the award of Community Development Block Grant – Disaster Recovery multi-family housing funds to Mountain Housing Opportunities/South Creek Development (Terrace at River Hills).

• Ullman moved for a vote, but motion died for lack of a second

Total GAP Supporter Actions Taken: 22

Recipients and Responses:

Asheville City Council

• Mayor Esther Manheimer: No response
• Vice Mayor Antanette Mosley: No response
• City Council Member Bo Hess: No response
• City Council Member Kim Roney: No response
• City Council Member Maggie Ullman: No response
• City Council Member Sage Turner: No response
• City Council Member Sheneika Smith: No response