A rendering of pelican place | Klar and Klar architects

After years of planning, an affordable townhome community is advancing with the help of newly approved funding.

At a Thursday meeting, the St. Petersburg City Council unanimously approved $2.18 million in funding for Habitat for Humanity of Tampa Bay Gulfside to build Pelican Place, a 40-unit affordable townhome community at 2100 18th Avenue South.

The funding is coming from previously allocated Tax Increment Financing (TIF) dollars from the South St. Petersburg Redevelopment District Fund.

The property, valued at $1.43 million and located across from Tangerine Plaza, was sold to Habitat for Humanity for $10, bringing the city’s total financial commitment to over $3.6 million for the project, or $90,000 per unit.

pelican place, a proposed 40-unit affordable townhome community, will be built at 2100 18th Avenue South | google earth

First announced in 2022, Pelican Place will be reserved for households earning up to 80% of the Area Median Income (AMI).

Habitat for Humanity is working with Clearwater-based design firm Klar and Klar Architects on the $15.6 million project, which is expected to break ground in 2026.

“This is another major step forward for our work to bring affordable homeownership opportunities in St. Pete,” Mike Sutton, President and CEO of Habitat for Humanity Tampa Bay Gulfside, said in a press release.

"We are so appreciative of the financial commitment and support from the City of St. Pete as we continue to build more local homes for local families. Townhome communities allow Habitat to build more units and create more impact for deserving families looking for that opportunity to own a home in the area they love."

The two-story Pelican Place townhomes, consisting of 10 two-bedroom and 30 three-bedroom units, are expected to be sold at a median price of $300,000.

Each homeowner will need to complete the Habitat homeownership program, which includes 38 homebuyer education classes and 350-450 sweat equity hours. Upon completion of the program, each household will earn a 0% interest, fixed-rate mortgage to ensure affordability throughout the life of the home loan.

“When you include a home loan at 0% interest on the mortgage, HOA fees of $150 a month, plus taxes and insurance, they will be paying around $1,200 to $1,300 a month,” Sutton informed City Council during the meeting.

“These families are also building equity and generational wealth from day one because of that 0% interest on the mortgage.”

Site plan for Pelican Place, a 40-unit townhome community, planned for 2100 18th Avenue South | Habitat for Humanity

He explained Habitat also receives additional funding from private philanthropists and emphasized the recruitment process for future homeowners will target qualified residents living in the South St. Pete CRA.

“I really hope that other developers that are coming to us for CRA dollars hear this - you are actively trying to recruit CRA residents to purchase these properties,” Councilmember Brandy Gabbard commented.

The new development marks one of many affordable developments the local Habitat for Humanity division has worked on. Habitat recently celebrated the opening of the Shell Dash Townhomes, a 10-unit affordable townhome complex in St. Pete's Campbell Park neighborhood.

Habitat is currently building an 11-unit townhome community called The Grove on 18th Avenue South. It’s expected to be completed this fall.