Last week, the NOFA team formerly recommended approval of the terms and conditions included in the proposed agreement, which pertains to Wakeland Housing's Lillian Place development. Wakeland, which is planning to build the project in the East Village Redevelopment District, is the first developer to have requested funding through the Affordable Housing NOFA process that was announced in February. The developer has asked for a $5.45-million NOFA subsidy and also plans to apply for Affordable Housing Program funds and 9% tax credits.

Lillian Place will bring a mix of affordable housing to the East Village, as it is designed to include 74 multifamily units designated for low- and moderate-income families. The complex is slated to rise on J Street between 14th and 15th streets. Construction is expected to begin in late 2004.

Back in February, city officials called the NOFA "the first step in the implementation plan for San Diego's comprehensive affordable housing strategy." Eighty-five percent of the $55 million in funds is earmarked for projects planned for households that earn at or below 80% of the area median income, and financing from the NOFA is only being offered to those projects that are unable to obtain adequate funding from traditional sources.