SIOUX CITY, Iowa (KCAU) — Plans by a Siouxland developer to build housing for the homeless remain on track after council members agreed to provide $450,000 in HOME American Rescue Plan Act funding.

Arch Icon, the developer behind the Everett Apartments, plans to build three new low-income apartments in the vacant lot next to the Everett school property which they converted to apartments back in 2019. The units are expected to be priced between $600 and $925.

The funds would provide a 0%, 20-year forgivable loan with the apartments reserved for homeless qualifiers for 15 years. Additionally, Heartland Counseling Services would provide on-site support services.

“It’s difficult when you’re doing low-income housing tax credit developments like we do to get them to fit in,” said Icon, “But this is a good source of funding that works really well with that and between Center of Siouxland and Heartland Counseling I think it’ll be a really good fit for both the space and services.”

The project still must secure tax credits through the Iowa Finance Authority to move forward. The project cost stands at $8 million.