City to help relocate Camp Mak-A-Dream ahead of affordable housing project
Martin Kidston
(Missoula Current) A local nonprofit and the City of Missoula on Friday reached an agreement to help the organization make a smooth transition to a new location as the city and its development partners prepare to build an affordable housing project at the program's current location.
Camp Mak-A-Dream has been leasing city-owned land at 2110 Johnson Street since 2012, when the city purchased the property from Montana Rail Link. The city's original purchase included plans to build a neighborhood park, which has been completed, and construct housing on the remaining half of the parcel.
That work, dubbed Franklin Crossing, is set to begin as soon as United Housing Partners and the Missoula Housing Authority secure the necessary funding, and the agreement with Camp Mak-A-Dream includes a vacation date of April 15, 2027.
“This is a unique situation overall,” said Micheal Hicks, project manager with the Missoula Redevelopment Agency. “The city has been operating in a landlordish capacity. That's why the city is coming forward to negotiate these terms.”
Under normal terms, Hicks said a private property owner who is redeveloping an occupied building is required to tailor a relocation package for the tenant. The cost of that package typically is incurred by the developer.
But since the city owns the land and has partnered with a private developer to build housing, it's fronting the relocation assistance for Camp Mak-A-Dream. The agreement approved by MRA's Board of Commissioners on Friday would see the city purchase the organization's building for $468,000, it's appraised value in 2025.
The city will also reimburse Camp Mak-A-Dream for moving expenses, along with a rent subsidy not to exceed $65,000 – a figure based in part on the nonprofit's needed office space.
“That rent subsidy would essentially subsidize the difference between Camp's current monthly rent of $375 and the actual rent they'd pay in their own space,” said Hicks.
Once Camp Mak-A-Dream vacates the property next year, it would clear the slate for the Franklin Crossing project. The roughly $70 million development will include 192 apartments, with 60 units reserved for those earning 30% and 60% of the area median income, and 132 units for those earning between 60% and 70% of the median income.
While the project already has cleared a number of funding hurdles, the developers are still working to close out their capital stack.
“This is a pretty unusual situation,” said MRA Director Ellen Buchanan. “Typically, when we get involved in relocation with a private entity that is purchasing the property and is relocating the tenant so they can redevelop, they're required to provide us with a relocation plan that's acceptable. In this case, we own the property.”
Representatives with Camp Mak-A-Dream praised the arrangement on Friday.
“We've been working on this for more than two years,” said Camp board member Andrew Larson. “The city has been super fair to us over the years. This wouldn't happen if we didn't come together to work toward this.”