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The city of Portland has authorized the transfer of the Fairfield Apartments, along with rehabilitation financing of up to $8.5 million, to Home Forward for improvement and preservation of affordable housing units.

The Portland Housing Bureau purchased the Fairfield Apartments, a four-story mixed-use building at 1103-1121 S.E. Harvey Milk St., from the Portland Development Commission in 2010. The bureau currently operates the 112-year-old property as a single room occupancy building; Home Forward is the manager.

In 2021, the Portland Housing Bureau and Home Forward entered into agreements granting the latter acquisition and development rights for the purpose of renovating the building and preserving 75 units of affordable housing.

鈥淭his masonry structure requires significant rehabilitation to meet current life, fire and safety codes and increase livability for its residents,鈥� Portland Housing Bureau interim Director Molly Rogers told the Portland City Council during a meeting on Wednesday.

The rehabilitation’s scope of work includes seismic and structural improvements, roof and window replacements, plumbing and electrical upgrades, elevator replacement, installation of a new egress stair, and creation of a community room and office space for resident services and property management.

Peter Meijer Architect is designing the $36.15 million project, and Walsh Construction is the general contractor. Construction is set to begin in February and finish in April 2024.

The property is currently home to extremely-low-income residents, of whom 96 percent earn less than 30 percent of area median income and 43 percent have no income, Rogers said during the meeting.

The project will reduce the number of units from 82 to 75. At completion, the building will hold 66 single room occupancy apartments and nine studios. All units will receive new flooring, cabinets, countertops and plumbing fixtures. The shared kitchen on floors 2-4 will be relocated. Restrooms will be modified to become ADA-accessible.

All 75 units will be designated as permanent supportive housing with rents supported by the U.S. Department of Housing and Urban Development via project-based vouchers. All units will be reserved for individuals earning up to 30 percent of area median income.

Residents will need to vacate the building during construction.

鈥淐urrent residents are receiving relocation assistance from Home Forward and have the option to return to the Fairfield after project completion,鈥� Rogers said.

Upon project completion, the Urban League of Portland will provide resident services such as peer recovery and mentorship, life skills classes, financial capability education, and more.

As permanent supportive housing, all 75 units will receive funding for services up to $10,000 per household per year from the Joint Office of Homeless Services. Individuals who are either homeless or at risk of becoming so will be referred to the Fairfield Apartments through the Joint Office’s coordinated access system, Rogers said.

Ivory Mathews, executive director of Home Forward, said the organization has worked closely with the Portland Housing Bureau on the project. It will have a special focus on serving LGBTQ individuals and victims of domestic violence, she added.