A plan for a low-income apartment complex will still be considered by Sarasota City Commissioners later this month, but city staff will no longer ask for the right to conduct independent inspections of the units. Developer Harvey Vengroff, who just a week ago walked out of a public hearing about the project and said he would withdraw an application for a comprehensive plan amendment, now will leave the project’s future in the hands of city commissioners.

City Manager Tom Barwin said the hope in asking for inspections had been to assure a change in the city future land-use map was approved, but instead it divided the board. On Wednesday, Barwin and members of his staff met with Vengroff. “I hope it’s clear the city wants to make this happen,” said Barwin, noting a shortage of affordable housing in the city. Staff will no longer recommend putting a requirement for inspections, and will accept third-party insurance inspections of the structure to assure the development meets safety and health standards. Vengroff is fine with that. He felt the inspections requirement would be unfair to put on his development and not any other ones, and noted that city code inspection has the right to inspect for violations on any property, including Vengroff’s projects, if there is probable cause to do so.

Barwin notes that the community in the past has discussed ordinances that would allow city inspection of apartment units, something that was successful in other jurisdictions where Barwin has worked. But without having a citywide rule, a requirement singling Vengroff’s development out will not be proposed anymore. The original push had come as critics of Vengroff cited past code violations, but Barwin now feels confident in the quality of development being proposed. Barwin also noted that should the land-use designation on this property change, it will be the first time a ‘downtown edge’ designation would be given to a property north of Fruitville Road. 

Vengroff said that any history of code violations involves minor issues like uncut grass, and a certain amount of that is to be expected when he is managing 1,600 properties in the region that all cater to low- and middle-income families. His hope now, though, is that the city is as committed as staff claims regarding a plan to bring 393 units online that will serve as workforce housing. He said this kind of designation change on the property should not be viewed as a give-away, as allowing him to build 50 units an acre in six-story apartment buildings actually will provide less return on investment. Using quick estimates, he said building about 400 affordable apartments would be worth about $20 million, but if he build 200 condominium units on the property, which he could do under the existing zoning, he could sell each one for $200,000 and make $40 million. “We are doing this because working people deserve a place to live, and they are not getting that in Florida,” he said.

The hearing on the property was continues until the May 16 meeting of the Sarasota City Commission.