Daily Pilot
The roar of planes taking off from nearby John Wayne Airport Thursday afternoon did little to dampen enthusiasm for a new 76-unit housing complex taking shape on the grounds of an underutilized Travelodge in Costa Mesa.
Officials, developers and nonprofit leaders assembled for a ceremonial groundbreaking at 1400 Bristol St., where the construction of 120 motel rooms into studio and one-bedroom apartments is already underway and anticipated to wrap by spring.
One of the units was available for tours, showcasing a bedroom and living room with a full bathroom and kitchen.
“This is not a shelter, it’s a place where people are getting permanent supportive housing and will be able to live here as long as they shall live,” Costa Mesa Mayor John Stephens said, thanking the city’s many partners in the effort. “Together, we’re transforming people’s lives.”
The Avon River Apartments will provide stable housing and wrap-around services for tenants, most of whom are living unhoused or in shelters, on a 3.5-acre parcel that has recently undergone a sea change, thanks to California’s Project Homekey.
A pandemic-era program that created vacant motor inn lodging into temporary dwellings for at-risk residents, Homekey is now seeking to create longer-term solutions through a coordination of local, county and state funds with area nonprofit service providers and developers that specialize in building affordable units.
Costa Mesa jumped on board, transitioning a former Motel 6 on Newport Boulevard into 88 units of affordable housing for at-risk individuals, seniors and veterans that has already begun to take in its first tenants. The city is eyeing a third motel for potential conversion.
For the Bristol Street project — which cost an estimated $45.4 million — city leaders in 2023 allocated $4 million. Later that year, officials in Newport Beach, a partner in Costa Mesa’s bridge shelter, agreed to chip in $3 million in exchange for 12 units on the property.
That funding was pooled with nearly $29 million in Project Homekey funding, secured with help from Assemblymember Cottie Petrie-Norris (D-Irvine), and another $6.8 million in housing funds and vouchers committed by county leaders, including Orange County Supervisor Katrina Foley. CalOptima Health contributed nearly $500,000 to help spur the project to completion.
A total of 48 units are anticipated to be occupied through the county’s voucher program, while the city of Costa Mesa will be able to refer occupants for another 16 units.
Leading the construction is Midway City-based nonprofit developer American Family Housing (AFH), which will also supply the on-site service providers and lead assistance programs and efforts at the Avon River Apartments.
Milo Peinemann, the nonprofit’s chief executive, said tenants will initially sign a one-year lease for a one bedroom or studio and will be able to receive social engagement and assistance with medical care or workforce training.
Pom & Olive, a Mediterranean restaurant leasing a building on the property, will provide job opportunities to interested residents, while AFH is also hashing out plans for an on-site garden and other resident amenities.
While many occupants will stay past the initial lease term, others may eventually segue to an even more independent living situation.
“Some will always live here; that means it’s a right-matched resource for their needs,” Peinemann said. “Others may want to move out — family reunification is a big goal for some people. Everyone will have different goals.”
Newport Beach Mayor Joe Stapleton said his city was proud to be a partner in the endeavor.
“When people have affordable, stable housing with supportive services on site, they have the best chance to restart their lives,” he said. “This project demonstrates what can be accomplished when cities, the county, state and partners work together.”