Palm Beach County Moves Forward with Affordable Housing Projects Despite Record-High Costs

Palm Beach County is moving forward with two affordable housing developments in West Palm Beach, despite concerns over construction costs nearing $500,000 per unit—a figure more commonly associated with single-family homes than rent-restricted apartments.

After heated debate, county commissioners ultimately approved additional funding for both projects: Legacy at 45th Street and Coleman Park Renaissance. Together, the complexes will add 91 income-restricted units to an area where demand far outpaces supply.

Why the High Price Tag?

The soaring costs stem from a combination of supply chain disruptions, construction delays, material inflation, and regulatory hurdles. Developers for both projects—Palm Beach County Housing Authority and Neighborhood Renaissance—are nonprofit organizations that had already invested millions before encountering unanticipated expenses.

Among the cost drivers:

• Delays with prefab materials and steel container construction

• Utility upgrades, including FPL-mandated underground electrical lines

• Infrastructure upgrades required for underinvested areas

• Inflation and contractor pass-through costs

Legacy at 45th Street – 48 Units Near Cacti Park

Located near Cacti Park, the spring training home of the Washington Nationals and Houston Astros, Legacy at 45th Street was originally projected to cost $16 million. Now expected to exceed $21 million, the project will include 48 apartments—34 of which will receive county assistance.

• Per-unit cost: $438,541

• County contribution: Over $7 million, including federal ARPA loan funding

• Rents: $1,404 (1BR) and $1,688 (2BR), both below HUD fair-market rates

• Permanent affordability: Rents will remain restricted indefinitely

Despite frustration from several commissioners, including Sara Baxter and Marci Woodward—who noted the unsustainable cost model—the commission reversed an initial “no” vote to keep the project alive.

Coleman Park Renaissance – 43 Units in a Historic Neighborhood

The second project, Coleman Park Renaissance, is a $21.5 million initiative bringing 43 units to the historically Black neighborhood of Coleman Park. The development spans both sides of Tamarind Avenue and includes:

• Per-unit cost: $438,541

• County contribution: $751,076 in gap funding

• Rents as low as $299/month, with 12 units reserved for special-needs households and those earning extremely low incomes

Neighborhood Renaissance, the nonprofit sponsor, noted the complex challenges of building in underinvested communities—including parcel assembly, infrastructure gaps, and rising contractor fees.

Rejecting the funding would have left a half-finished complex on a prominent city corridor and risked worsening blight in a neighborhood long overdue for investment.

Why This Matters

Palm Beach County is facing an urgent housing crisis. With increasing rents and limited affordable inventory, nonprofit-led projects like these fill a gap the private market isn’t addressing.

These developments will:

• Provide stable, below-market rents to low-income residents

• Offer permanent rent restrictions, unlike other subsidized projects that expire after 30 years

• Contribute to neighborhood revitalization and equitable development

What’s Next for County Housing Policy?

While the commission ultimately approved the funding, officials made it clear that they will be more critical of high-cost projects going forward. Future proposals may face stricter cost evaluations and expectations for transparency on overruns.

But for now, both projects are moving forward—giving dozens of Palm Beach County residents access to affordable, dignified housing in a market where that’s increasingly hard to come by.

What do you think about these income-restricted housing projects? Should Palm Beach County be doing more to expand affordable housing options?

If you’re curious about local rental trends or want to learn more about what’s being developed in our communities, I’m always happy to share insights or connect you with helpful resources.