Salt Lake City funds new, affordable senior housing community in Sugar House

A fast-growing section of Salt Lake City is getting another development, this time focusing on affordable housing for seniors.

The Housing Authority of Salt Lake City announced Wednesday it is moving forward with a plan to develop a new senior housing community just east of Fairmont Park. It comes after the Utah Housing Corporation agreed to set aside $20 million in federal low-income housing tax credits to support the construction of the Fairmont Heights Senior Community.

Construction isn't expected to begin until early 2026 after it goes through the final planning and city approval stages but the current plan is to build 110 new units designated for affordable housing for residents who are 62 and over.

The forthcoming Fairmont Heights Senior Community will replace a two-story business office building at 2257 S. 1100 East, directly east of Fairmont Park.

Half of the units will be built in an initial phase and will feature 40 one-bedroom and 15 two-bedroom layouts, available for seniors making 80% or below the area's median income. Most of these units will be set aside for seniors with 50% or below the area median income, which would cap rent somewhere between $600 and $1,150 per month, according to the Housing Authority.

A second phase will complete the remaining 55 units.

"The goal is to keep seniors in the neighborhoods they raised their families and where their families are now," said Britnee Dabb, deputy director of the Housing Authority of Salt Lake City.

Like most new housing developments, the project will also include several amenities such as a recreation facility, indoor pool, pickleball courts and a designated dog park. Housing officials note the development will be located near two big grocery stores, a medical facility and several businesses in the Sugar House Business District, on top of its proximity to the park.

Lincoln Avenue Communities — a California-based developer focused on affordable housing projects — is also tied to the project, as is the Housing Assistance Management Enterprise, a sector of the Housing Authority of Salt Lake City. It would be Lincoln's first project in Utah; the company owns over 120 properties in 26 states.

The new community will also add to the list of projects coming to the Sugar House Business District. The Utah Transit Authority has plans to extend its S-Line streetcar east, to create a new terminus at the intersection of Simpson Avenue and Highland Drive, which will be at the northern boundary of the new community.

UTA expects service to begin in 2026, so the new station should be open by the time the new units open.