Affordability at the Salt Flats

As part of the Proposition 123 Land Banking Grant, the Salt Flats project must meet strict affordability requirements. At least 70% of the homes built on the site must meet the definition of affordable, meaning they are priced within reach of households at specific income levels as defined by the U.S. Department of Housing and Urban Development. The remaining 30% of homes can be built as attainable or market-rate units, which helps offset costs and makes the overall project financially viable.

Attainable, or workforce housing, is designed for households that earn too much to qualify for traditional affordable housing programs but still struggle to find housing in today’s market. These are often nurses, police officers, firefighters, teachers, and skilled trade workers — people who are essential to our community but are increasingly priced out of Grand Junction’s housing market.

By blending affordable, attainable, and market-rate housing across the Salt Flats site, the project creates a neighborhood that reflects the real mix of incomes and families in Grand Junction. This variety is important not just for fairness, but also for the health of the community — ensuring that the people who work here, serve here, and raise their families here can also afford to live here.

What is Affordable Housing?

It’s important to know that housing affordability and affordable housing are not the same thing.

Housing affordability describes the general cost of housing in the market compared to what people earn. For example, when home prices or rents rise faster than wages, housing becomes less affordable for everyone.
Affordable housing, on the other hand, has a specific legal definition. These are homes that are intentionally created and protected to remain within reach for households at certain income levels.

Affordable housing is built with long-term protections and guidelines that make sure it truly serves the community members who need it most. To qualify as affordable housing, a unit must meet four key elements:

Income Restricted – Affordable housing is reserved for households within certain income limits, as set by the U.S. Department of Housing and Urban Development (HUD). For rental units, households must typically earn 60% or less of the Area Median Income (AMI). For homeownership opportunities, the maximum income is 100% of AMI.

AMI is adjusted by household size. For example, in Grand Junction a family of four could earn up to $61,200 to qualify for an affordable rental, or up to $102,000 to qualify for an affordable home purchase. With the average local wage at about $54,000, most working families in Grand Junction would meet these income requirements.
Price Restricted – Affordable housing must have a rent or sale price capped so that local families can realistically afford it. These price limits are tied to the Area Median Income (AMI) and set by the U.S. Department of Housing and Urban Development (HUD).

For rental housing, the maximum rent (including utilities) is capped at the 60% AMI level and adjusted by bedroom size. For example:
- A studio apartment could not exceed $1,071/month
- A two-bedroom apartment could not exceed $1,377/month

For homes for sale, affordability is calculated to ensure that monthly housing costs (mortgage, utilities, insurance, etc.) remain within reach. A household earning about $102,000 (100% AMI for a family of four) could afford a home priced around $325,000, or about $2,400/month with all costs included.
These limits ensure that affordable homes and apartments stay priced for the households that need them most.

3. Long-Term Affordability – Affordable housing isn’t just affordable when it’s first built — it’s required to stay affordable for the long term. Through legal agreements, these homes are guaranteed to remain affordable for 30 to 99 years, depending on the type of funding or program used.

This ensures that affordable homes continue serving families well into the future, even as the housing market changes. Instead of rising to full market prices after a few years, these units stay within reach for working families, seniors, and future generations of Grand Junction residents.

4. Cost-Burden Standard – Affordable housing is designed so that households spend no more than 30% of their income on housing costs. This includes rent or mortgage payments, plus essential expenses like utilities and insurance.

This standard ensures families are not “cost-burdened,” meaning they still have enough income left for food, transportation, healthcare, and other daily needs.

For example, a household earning $54,000 per year (about the average in Grand Junction) should pay no more than $1,350 per month for housing and utilities. Affordable housing programs are built around this standard to make sure working families can live securely without being stretched too thin.

To see a full 2025 Income and Maximum Rental Table for Mesa County by AMI and bedrooms - click here.

To put it into perspective, affordable housing in Grand Junction serves a broad range of our community. For seniors, veterans, and minimum-wage earners at or below 30% AMI, these units provide stability. At 40% AMI, they support daycare workers, para-educators, and hospitality staff. At 60% AMI, they make housing possible for agricultural workers, EMTs, and those in sales and retail. At 80% AMI, they support firefighters, teachers, and social workers. And at 100% AMI, they provide options for nurses and police officers.

Affordable housing isn’t about “them” or “low-income” — it’s about creating homes for all members of our community who need to live, work, and thrive here, ensuring Grand Junction remains both safe and economically diverse.

Attainable/Workforce Housing

In Grand Junction, attainable or workforce housing is generally defined as:

Rental units affordable to households earning 60–80% of the Area Median Income (AMI).
Homeownership units affordable to households earning 100–120% of AMI.

To put this into perspective, most new market-rate rentals in Grand Junction are priced at about 85–90% AMI — out of reach for many working families. On the ownership side, the average home price is now around $420,000, and new construction typically costs even more.

Attainable housing fills the gap for households that earn too much to qualify for traditional affordable housing programs but still can’t keep up with market prices. This often includes teachers, nurses, police officers, firefighters, and skilled trades workers — people our community depends on every day.

By including attainable housing at Salt Flats, alongside affordable and market-rate homes, the project helps ensure that a full range of Grand Junction’s workforce has a place to call home.

Understanding Market-Rate vs. Affordable Housing

Most of the new rental housing built in Grand Junction over the past five years has been market-rate housing. Market-rate simply means the price of rent is set by what the market will bear, without any limits or protections to keep it affordable for local families. Developers and property owners set rents based on demand, construction costs, and what they believe people are willing to pay.

Because of this, market-rate housing is not the same as affordable housing. Affordable housing has income limits, rent caps, and long-term agreements to make sure it remains accessible to households at a range of incomes. Market-rate housing does not have these restrictions, which means rents often end up higher than what many working families can afford.

While new market-rate units do add supply to the community, they typically do not meet the needs of lower- and middle-income households. That’s why affordable housing is so important — to ensure that teachers, service workers, first responders, families, and seniors can all find a home within reach.