Habitat for Humanity to build up to 30 homes in Santa Fe

Apr. 10—Santa Fe Habitat for Humanity staff, while eager to build homes, need more space to put them.

"We definitely have a land deficit, so we're scrambling right now to find buildable parcels within and around Santa Fe," executive director Kurt Krahn said in an interview Wednesday.

On Monday, the organization announced a bright spot in the dark: An expected influx of federal funds will help the nonprofit build an estimated 25 to 30 affordable units — likely duplexes — on a six-acre parcel of land by Frank S. Ortiz Dog Park, west of downtown.

Carlos and Sylvia Garcia donated the land to Habitat for Humanity in late 2022, but because the lot is hilly, builders knew development would be a challenge. Development costs are projected to exceed $50,000 per lot — "a lot of money" for a nonprofit reliant on donations and grants, Krahn said.

However, U.S. Sen. Martin Heinrich has helped by securing a $1.1 million earmark for the project in the federal transportation and housing spending bill signed into law in March.

"As a member of the Senate Appropriations Committee, I have the opportunity to directly advocate for federal resources that deliver for working families in New Mexico — and that's exactly what this legislation does," Heinrich wrote in a March news release, where he touted securing $114 million total for 82 projects in New Mexico, including infrastructure and affordable housing projects and funding for law enforcement and first responders.

"With this legislation, we will grow New Mexico's middle class and connect families to careers they can build their families around," Heinrich wrote.

The land donation and federal funds will give a "substantial" boost to the nonprofit, Krahn said.

Santa Fe Habitat for Humanity has built over 130 homes since its founding in 1987 and has historically built six to eight homes per year, Krahn said.

"The possibility of having enough parcels in one location for us to build for the next two to three years is amazing," he said. "We of course want to increase our production, and always need to do that, so having this ... hopefully will change our dynamic for a long time."

The local organization has begun preliminary work on development plans for the site but is "at least a year or more out" from construction and does not have a final cost estimate for the project, which will need additional funding, Krahn said.

The project will preserve access to the dog park, a concern of some neighbors, land donor Carlos Garcia said.

The affordable housing will be a "win-win" for neighbors of the dog park and the broader community, he said.

"We are happy to be able to give back to a community that has been so good to us for over so many years," Garcia, who owns the Garsa Group real estate investment group in Santa Fe, said.

While staff is excited, Habitat for Humanity still has "an immediate need for land," Krahn added.

"We definitely need buildable land that is shovel-ready," he said.

Demand for the homes is certainly high. Various leaders have described a shortage of affordable housing as among the most pressing issues in the Santa Fe area. Habitat for Humanity has hundreds of people on its list waiting to apply for the next round of homes, Krahn said.

The organization serves people who live or work in Santa Fe County and earn below 80% of the area median income, a metric tied to household size published annually by the U.S. Department of Housing and Urban Development. In Santa Fe County, 80% of the area median income translates to one person earning $47,800 per year, a two-person household earning $54,600 per year, or a family of four earning $68,250 per year.

Habitat for Humanity is the only builder in town focused on homeowners making below 80% of the area median income, Krahn said. All homes built by the nonprofit are energy efficient, all-electric and have solar panels, so they are "net-zero" or "net-plus" energy, meaning they produce at least as much energy as they use, helping low-income homeowners save on utility bills.