Salt Flats Project

No. The City secured state and grant funding to help cover the cost of backbone public infrastructure (roads, water, sewer, drainage) that makes the site buildable. For example, the City received a $2.2 million Proposition 123 Land Banking Grant to purchase the property, a $2 million “More Housing Now” grant, and a seller contribution to fund Phase 1 infrastructure.

The City will continue to explore ways to reduce infrastructure costs for internal streets and utilities so developers can achieve lower rents for residents. However, developers remain responsible for building and financing their own internal streets, utilities, and site improvements. Even if additional grants or outside funding are secured, developers would still be required to participate financially in those improvements.

In short, the City leveraged outside dollars to unlock the site, but private and nonprofit developers pay for vertical construction and project-specific infrastructure — ensuring that long-term costs are not shouldered by local taxpayers.

No — the City did not use eminent domain. The Salt Flats property was purchased through a voluntary sale agreement with En-Sim QOF, LLC (the parent company of Enstrom Candies). The seller retained a portion of the land for its own expansion, and the northern 21.78 acres was subdivided and sold to the City.

The purchase was supported by a Proposition 123 Land Banking Grant and a City match, making it a collaborative transaction. 

The City of Grand Junction is not a real estate developer and does not buy and sell property for profit. However, like many communities, the City sometimes acquires strategic properties to serve public needs. Examples include land for parks, trails, fire stations, the new Community Recreation Center, and now the Salt Flats site for housing.

In the case of Salt Flats, the City purchased the land with the help of a Proposition 123 Land Banking Grant. The goal wasn’t for the City to develop housing itself, but to make the site ready for private and nonprofit developers by addressing high land and infrastructure costs that had kept it vacant for decades.

The City’s role is to provide support, vision and encourage development, while the developers are responsible for financing, construction, and management of the housing. This partnership model ensures the community gets the housing it needs without the City acting as a traditional developer.

No — the Salt Flats project is not a “tiny house” development, and it is not a traditional “housing project.” It is a mixed-income, master-planned neighborhood that will include a variety of housing types and sizes: apartments, townhomes, and for-sale homes, ranging from studios to four-bedroom family units. At least 70% of the homes will be affordable under state requirements, but the site will also include attainable and market-rate homes to create balance.

As for taxes: This project will not raise property taxes. The City purchased the land using a state grant (Proposition 123 Land Banking) and secured additional state funding through the More Housing Now grant for infrastructure. Developers are responsible for financing, construction, and ongoing management. Once built, most of the housing will contribute to the tax base through property taxes, sales taxes, and utility revenues — just like any other neighborhood.

Salt Flats is designed to add housing choices without adding tax burdens — while ensuring that local families, seniors, and workers can afford to stay in Grand Junction.

No — the Salt Flats project is not being forced by the state. It is a locally driven project that the City of Grand Junction chose to pursue in order to meet our community’s housing needs.

Here’s where the state comes in: In 2022, Colorado voters approved Proposition 123, which dedicates a share of state income tax revenue to help communities expand affordable housing. These dollars are administered through the Colorado Housing and Finance Authority (CHFA) and the Department of Local Affairs (DOLA).

Prop 123 is optional — no community is required to participate. But those that do gain access to several important funding tools, including:

• Land Banking – Grants and low-interest loans for cities, nonprofits, and housing authorities to buy and hold land for affordable housing (this is how the City purchased the Salt Flats property).

• Concessionary Debt and Equity – Flexible financing to lower the cost of building affordable housing.

• Homeownership Support – Programs that help local families access down payment assistance or more affordable mortgage products.

• Expedited Review – A requirement for participating jurisdictions to streamline approvals for affordable housing developments.

These resources are not just for the City — they are also available to local developers, nonprofits, and housing authorities who are building affordable or attainable housing in Mesa County. Several of the Salt Flats development partners, such as Volunteers of America, Rural Homes, and Brikwell, plan to use these state funding tools (alongside federal Low-Income Housing Tax Credits, private financing, and local incentives) to bring their projects to life.

The key point: The state provides funding opportunities through Prop 123, but it does not force communities to build specific projects. Salt Flats came forward because the City recognized the need for housing, saw an opportunity to leverage state resources, and chose to act.

By combining local planning, state funding tools, and private sector development, Grand Junction can create the variety of housing our community needs — without shouldering the full financial burden on local taxpayers.

That’s a good and fair question. At this time, most affordable housing development in Grand Junction has occurred in the mid- and east side of town. There are a few reasons for this:

• High land costs: In areas like the Redlands, the cost of land is significantly higher. That raises the overall cost basis for development, which makes it very difficult for affordable housing to pencil out — since rents and sale prices are capped.

• Access to jobs and transportation: Affordable housing works best when located near transit, schools, services, and major job centers. The Redlands has fewer employment hubs and less frequent transit service, which can make it challenging for working families who need to be closer to jobs and amenities.

• Private market choices: Affordable housing developers — both nonprofit and private — have not yet selected sites in that part of town, partly because of the cost and location challenges.

That said, the City has made it a goal to identify City-owned properties across town, including in areas where affordable housing access is limited. As part of this effort, the City will be working through its property list to determine whether certain parcels are feasible for housing by completing due diligence such as environmental reviews, geotechnical studies, and infrastructure assessments. This process takes time and resources, and without a dedicated funding source for housing, it becomes more challenging because the City must prioritize the highest and best use of its limited housing funds.

It is possible that affordable housing could be developed in the Redlands in the future, especially as new tools, funding sources, and incentives become available. In the meantime, areas with lower land costs or zoning that allows more density often see more activity, since these factors increase the likelihood of projects being financially feasible.

Research from the National Association of Realtors (NAR) and numerous independent studies has consistently shown that affordable and mixed-income housing does not lower nearby property values. In fact, when housing is well-designed, well-managed, and supported with infrastructure improvements, neighborhoods often see property values stabilize or increase.

The Salt Flats project is planned as a mixed-income community with a variety of housing types — not a single, concentrated “housing project.” At least 70% of homes will be affordable and reserved for people earning the average wages in our community: teachers, firefighters, nurses, veterans, seniors, retail and service workers. For example:

• A family of four earning 80% AMI (~$61,200) could purchase a home for about $262,000.

• A two-person household earning 60% AMI (~$50,000) could rent a 2-bedroom apartment for $1,377 or a 1-bedroom for $1,147 (utilities included).

These are the same price points that match what local families, seniors, and workers can actually afford — keeping housing tied to Grand Junction’s economy and workforce.

In addition, the project includes infrastructure investments like upgraded roads, sidewalks, and bike lanes, and the City’s Parks and Recreation Department is working with the master developer to explore a new neighborhood park. Far from lowering property values, these kinds of improvements typically strengthen nearby neighborhoods by increasing amenities and making the area more attractive.

Salt Flats is about providing homes for the people who already live and work here — while making investments that improve the neighborhood as a whole.

While new housing is being built in Grand Junction, the reality is that our community has been under-developing housing for more than 30 years — a pattern seen across much of the United States. This long-term shortfall has left us with a housing gap of more than 4,000 units across all income levels, but approximately 2300 units is needed for households earning between $30,000 to $60,000. In other words - that is most of our community. 

In addition, most of the new construction in recent years has been market-rate apartments or large single-family homes. That means many households don’t have the options they need. For example, a senior couple looking to downsize into a small 2-bedroom, 1-bath townhome may only be able to find a 3- or 4-bedroom, 2-bath large house, which doesn’t fit their needs or budget. Families, individuals, seniors, and veterans all need different types and sizes of housing, and right now those options are extremely limited.

The Salt Flats project helps address both the supply shortage and the lack of diversity by creating a mix of affordable rentals, attainable for-sale homes, and some market-rate units — in a variety of sizes from studios to four-bedroom family homes. At least 70% of the homes will be affordable, with long-term deed restrictions to ensure they remain that way for decades.

In short, Salt Flats is about making sure the people who already live, work, and retire in Grand Junction have a range of housing choices that fit their needs, so they can stay in the community they call home. To learn more information about Who the Housing will Serve and/or Affordability at the Salt Flats sections under Project Information.

While “slums” or “projects” often get a bad reputation from housing built decades ago, it’s important to know that affordable housing today is very different. Over the last 30 years, federal and state programs have created strict requirements and oversight to make sure affordable housing is safe, well-designed, and well-managed.

For example, developments that use Low-Income Housing Tax Credits (LIHTC) or other funding must follow detailed design standards, long-term affordability agreements (30–99 years), and undergo regular inspections and compliance checks. Across our own community, many of the apartments and homes funded through these programs are some of the most attractive, well-maintained properties in Grand Junction.

It may surprise people to learn that privately owned, market-rate housing does not have to meet the same ongoing oversight standards. Affordable housing developments, by contrast, must demonstrate compliance year after year to keep their funding.

The Salt Flats project will follow these modern best practices and is being developed as a mixed-income neighborhood — not a single “housing project.” It will include affordable rentals, attainable for-sale homes, and some market-rate units, creating a balanced community designed to reflect the people who already live and work in Grand Junction.

The Salt Flats project is designed to serve Grand Junction residents and workers who are already struggling to find housing they can afford. Like all affordable housing, it has strict rules and requirements. Residents must provide proof of income, identification, and documentation before they can qualify. For example, households applying for HUD programs (like Section 8) must submit:

• Government-issued identification (driver’s license, state ID, or Social Security card).

• Proof of income such as pay stubs, W-2s, or tax returns.

• Background and rental history checks.

For affordable rental units at Salt Flats, families will have to show they meet the income requirements set by HUD, such as earning less than 60% of the Area Median Income. For homeownership, buyers must prove they fall under 100% AMI. For the units that are attainable and/or market-rate - simliar to other rental and homeownership incomes, background checks, etc are all completed. These safeguards ensure the homes are serving local working families, seniors, and veterans, not people being from elsewhere.

It’s also important to remember that the housing affordability crisis is national. Both conservative-leaning and liberal-leaning cities are facing the same challenges, and many are taking action. For example:

• Salt Lake City, Utah – expanding affordable and workforce housing near transit corridors.

• Boise, Idaho – investing in mixed-income housing to support rapid growth.

• Billings, Montana – partnering with nonprofits to create affordable rental homes.

• Tulsa, Oklahoma – using land banking and state grants to support attainable housing.

This isn’t a partisan issue — it’s an economic one. Communities across the country, red and blue alike, are working to make sure their teachers, nurses, first responders, service workers, seniors, and veterans have a safe and stable place to live. Salt Flats is one step toward ensuring that Grand Junction families can live where they work and remain part of the community they support every day.