St. Pete launches affordable housing push

The City of St. Petersburg has released new guidelines for a major affordable rental housing initiative tied to its $159.8 million Sunrise St. Pete disaster recovery program, opening the door for developers and landlords to compete for federal funding aimed at rebuilding and preserving housing after Hurricanes Idalia and Helene.

The new Affordable Rental Housing Program will use federal Community Development Block Grant Disaster Recovery funding from the U.S. Department of Housing and Urban Development to support the construction, rehabilitation and resiliency upgrades of multifamily housing projects across the city. Officials say the program is designed to expand affordable housing inventory while strengthening properties against future storms.

According to the city, the funding is part of the broader Sunrise St. Pete initiative, a long-term recovery program created after the 2024 hurricane season. The city received the allocation directly from HUD, making St. Petersburg one of only two Florida cities to secure a direct federal disaster recovery award of that scale.

The newly released multifamily guidelines outline how developers can apply for funding through a Request for Applications process expected to award money to projects that create or preserve affordable rental units within city limits.

The program targets developments with at least 10 units and prioritizes projects serving low-to-moderate income households. Federal rules require at least 70% of the total disaster recovery funding to benefit households earning up to 80% of area median income.

City officials have repeatedly said affordable housing emerged as one of the largest unmet needs identified after Hurricanes Idalia and Helene damaged homes and strained an already tight housing market.

A draft city action plan released earlier this year estimated that roughly two-thirds of the federal allocation would ultimately support housing-related initiatives, including rental housing, home repair, resiliency projects and buyouts in vulnerable areas.

The multifamily guidelines establish requirements for developers seeking funding, including longterm affordability restrictions, compliance monitoring and federal reporting obligations. The city can fund new construction, rehabilitation, adaptive reuse and mitigation improvements designed to reduce future storm damage.

The program will also require developers to disclose potential conflicts of interest and comply with federal procurement and fair housing rules. Appeals, complaints and exception requests must follow formal procedures established through the Sunrise St. Pete program.

The city’s housing strategy arrives as St. Petersburg continues wrestling with rising rents, redevelopment pressure and a shortage of workforce housing. Local housing data initiatives and city planning efforts have repeatedly highlighted widening affordability gaps across Pinellas County.

Applications for the Affordable Rental Housing Program will be awarded competitively, with city officials evaluating projects based on factors including affordability levels, resiliency measures, readiness and community impact.

The guidelines released this month are version 1.1 of the program framework and follow earlier drafts published in March. Additional information and application materials are available through the city’s Affordable Rental Housing Program page.