A 250-unit apartment complex is planned for city-owned land near downtown Chandler, financed by up to $57.5 million in bonds from the Chandler Industrial Development Authority. The IDA will hold a public hearing and vote on the financing at its June 9 meeting.

The project, called Haven on Hamilton Apartments, would be built at 73 S. Hamilton Street, with the address expected to update to 77 S. Hamilton Street upon completion as listed in the agenda.

Project overview

The developer is Brinshore Development, an Illinois-based affordable housing firm that submitted its application in November 2024. The building will sit on city-owned land under a ground lease between the city and the developer, meaning Chandler retains ownership of the property while a private company builds and operates the apartments.

The project is located near downtown Chandler, close to the Arizona Avenue corridor and the Chandler Fashion Center area, placing it near jobs, retail, and transit routes.

How the financing works

The IDA is issuing up to $57.5 million in revenue notes to finance construction of the complex. Of that total, up to $47.5 million qualifies as tax-exempt bonds under federal law, which allows the developer to borrow at lower interest rates. The remaining $10 million covers taxable portions, reserves, and issuance costs.

In exchange for the tax-exempt financing, the project must comply with federal affordability requirements. The specific income limits and rent restrictions will be spelled out in a regulatory agreement the IDA must approve as part of the bond authorization Resolution 2026-01. The full terms have not been released publicly.

The IDA also approved a discounted fee schedule for the project, reducing its standard administrative fees. The modified fees detailed in Resolution 2026-02 include a $3,000 application fee, a $59,375 closing fee, and a $9,875 annual fee.

Why it matters

Chandler, like most cities in Maricopa County, faces a housing supply shortage that has pushed rents and home prices higher. The Haven on Hamilton project would add 250 rental units in a location near jobs, retail, and transit, in a city where the median rent for a two-bedroom apartment exceeds $1,600 per month.

Because the bonds are structured as tax-exempt, the units must carry affordability restrictions for a set period. The exact income limits and duration of those restrictions have not been disclosed. If the restrictions are set at levels that serve households earning 60 to 80 percent of area median income, the project could address a segment of the housing market that private development often does not serve.

The city’s role as landowner gives Chandler long-term leverage. Under the ground lease, the city retains ownership of the site while the developer builds and operates the apartments. When the lease term ends, the land and improvements revert to the city.

Board action

The IDA board must vote on two resolutions: Resolution 2026-01 authorizing the bond issuance and Resolution 2026-02 approving the discounted fee schedule. The board previously found the project to be “in the public interest” when it preliminarily approved the fee discount. Greenberg Traurig, a national law firm, serves as bond counsel.

The public hearing is required under federal tax law for any tax-exempt bond issuance. The TEFRA hearing notice was posted on May 30.

Context

This is not the IDA’s first housing bond. The authority regularly uses tax-exempt bond financing for multifamily development. Its May 12 meeting included discussion of an unrelated IRS audit involving $437.9 million in industrial development bonds for Intel Corporation. The Haven on Hamilton bond is smaller in scale and targets affordable rental housing rather than corporate infrastructure.

Brinshore Development, the project’s developer, specializes in affordable housing and has completed projects in multiple states. The nearly 19 months between the application and the vote reflects the time required for IRS review, public notice, and coordination among the developer, the city, and bond counsel.

What’s next

The public hearing and votes are scheduled for 7:30 a.m. on Tuesday, June 9, at the Chandler City Council Chambers, 88 E. Chicago Street. The meeting is also accessible via Microsoft Teams.