Press Release: Yampa Valley Housing Authority Selects Servitas as Partner to Develop Workforce Housing at U.S. Forest Service Site on Hilltop Parkway
STEAMBOAT SPRINGS, CO – August 20, 2024 – The Yampa Valley Housing Authority (YVHA), is pleased to announce it has selected Servitas, a leading developer known for its cutting-edge housing solutions, as its partner in developing 84 much-needed workforce rental units at the U.S. Forest Service’s Administrative parcel on Hilltop Drive. The development is anticipated to provide 18 units for U.S. Forest Service staff, 10 units for City of Steamboat Springs employees, and 56 units that will be affordable to a broad segment of the local workforce and local retirees, from 50% -140% of Area Median Income (AMI), including educators, healthcare workers, public safety officers, and service industry employees.
Identifying a private development partner is an important milestone in moving this project, bringing a boost of capacity to the public partners, who have made significant progress to date. The United States Forest Service (USFS) is authorized under the 2018 Farm Bill to lease administrative sites for purposes including development of workforce housing. In April 2024, USFS offered the City of Steamboat Springs (the City) the Right of First Refusal to lease the Hilltop Administrative Site. In June 2024, the City and YVHA signed a Memorandum of Understanding that authorizes YVHA to lead project planning on behalf of the City, enter into a public-private partnership with a developer, and share in the pre-development costs.
Servitas, with an impressive track record of over 40 public-private housing partnerships, will bring its expertise to this pivotal project, marking its fifth workforce housing development and its fourth in Colorado, including the U.S. Forest Service workforce housing project in Dillon, CO
“Partnering with Servitas allows us to leverage their expertise and resources to create a development that not only meets the immediate housing needs of our workforce but also enhances the capacity of the Housing Authority,” said Jason Peasley, Executive Director of YVHA. “This project is a testament to the power of public and private sectors coming together to address complex challenges.”
This pioneering partnership brings together three public entities, each playing key roles to tackle the pressing issue of affordable housing in Steamboat Springs:
- The U.S. Forest Service manages the land, known as the Hilltop Administrative Site, and is working through a process to lease the land to the City of Steamboat Springs under an authority created in the 2018 Farm Bill.
- The City of Steamboat Springs has already exercised its right of first refusal to lease the land from the U.S Forest Service and will serve as the leaseholder for the land.
- YVHA will act as the developer having signed a Memorandum of Understanding (MOU) with the City of Steamboat Springs. YVHA will contract with Servitas to provide turnkey development services including design, construction, and cost and completion guarantees.
The significance of this unique partnership was highlighted in a July 16th memo from The White House: “The United States Forest Service (USFS) is announcing plans to lease Forest Service land to build workforce housing—the first-ever such projects in the nation. USFS is planning to lease strategically positioned sites for workforce housing developments in Steamboat Springs, Colorado, and Ketchum, Idaho, to create new affordable housing. USFS is actively exploring additional federal land that can be leveraged to support workforce housing, including in high-cost areas across the country.”
“Hilltop is the latest opportunity to develop affordable and attainable housing that will remain within reach of local workers for decades to come,” said City Manager Gary Suiter. “Community housing needs require innovative partnerships like this, blending private and public entities, to provide meaningful housing opportunities for the local workforce.”
Comprehensive community engagement about the development will start in October to ensure feedback from neighbors and other interested parties about this infill project.
The development will feature all-electric, energy-efficient designs, proximity to public transportation and the Core Trail, and easy access to Rita Valentine Park where residents can enjoy modern, comfortable, sustainable living spaces and outdoor amenities to enhance future residents’ quality of life.
Request for Proposal Process
YVHA identified Servitas through a rigorous and competitive process. Before embarking on this project, YVHA ordered a third-party housing demand study to assess the need for rental units across varying income types. YVHA issued a Request for Proposals in May 2024 and received seven proposals from developers in July. The proposals were evaluated by a selection team comprising YVHA board members and staff from YVHA and the City of Steamboat Springs. Using a combined qualitative and quantitative evaluation system and interviews, the selection team chose Servitas.
Other Servitas Projects in Colorado
- Whetstone Workforce Housing: In partnership with Gunnison County, Servitas is developing a 100% deed-restricted community on 15 acres of county-owned land, 1.5 miles south of Crested Butte. Rents are set to average 125% of Area Median Income (AMI) and will be deed-restricted in perpetuity.
- Telluride Workforce Housing: Servitas is developing approximately 39 units of attainable housing in partnership with the Town of Telluride, its first public-private partnership in the town. The site is adjacent to Telluride’s historic district and includes both for-sale and for-rent units, with restrictions set between 80% and 150% of AMI.
- Summit County Workforce Housing: In partnership with Summit County, the Town of Dillon, and the U.S. Forest Service, Servitas is developing a new housing community on USFS land to support the local workforce. The property, leased under the Agricultural Improvement Act, will feature affordable workforce housing and a new administrative facility for the USFS.
Public Comment on Hilltop
The U.S. Forest Service is accepting public comments on the Hilltop project until August 23rd. Comments can be submitted through the project’s website at https://www.fs.usda.gov/project/?project=66411 or mailed to USDA Forest Service, Attn: Patricia Hesch, 925 Weiss Dr., Steamboat Springs, CO 80487.
YVHA Public-Private Partnerships
YVHA has successfully entered several public-private partnerships to develop affordable housing in Steamboat Springs. Notable past projects include:
- The Reserves: A 48-unit development for low-income residents, completed in 2017, with Overland Property Group as the partner. Managed by Mission Rock Residential.
- Alpenglow Village: A 72-unit mixed-income development completed in 2020, partnered with Overland Property Group. Managed by Mission Rock Residential.
- Sunlight Crossing: A 90-unit development targeting the “missing middle,” partnered with Gorman & Company, who also manages the property.
- Anglers Four Hundred: A 75-unit development for low-income residents, partnered with Overland Property Group. Managed by Mission Rock Residential.
For more information about this project and future updates, please visit https://yvha.org or contact us at inquiry@yvha.org.
About Yampa Valley Housing Authority (YVHA):
Established in 2003 by the Routt County Board of County Commissioners and the Steamboat Springs City Council, the Yampa Valley Housing Authority addresses the ongoing need for affordable housing in the region. YVHA advocates for and provides safe, affordable housing to low- and moderate-income residents in Routt County, believing that housing is the foundation of a thriving community. Learn more at https://yvha.org.
About Servitas:
Servitas is a nationally recognized developer specializing in workforce and student housing. With extensive experience in public-private partnerships, Servitas provides comprehensive services to higher education and municipal partners, delivering projects that contribute to the broader community and support the social and professional development of residents. Learn more at https://servitas.com.
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