Gainesville City Council gave the final sign-off Tuesday night for a rezoning necessary to redevelop the public housing complex on Atlanta Street into both affordable and market-rate units.
The Gainesville Housing Authority has partnered with Walton Communities LLC, which has developed similar housing projects in other Georgia cities, to bring $10 million in cash to the redevelopment through a tax credit program.
Residents began receiving vouchers in March that will allow them to get subsidized housing elsewhere, and all are likely to be relocated before the year ends.
Beth Brown, executive director of the Housing Authority, said for Green Hunter Homes it would take about $18.1 million to upgrade the substandard 131-unit public housing complex built in the 1950s, making it cheaper to demolish them and rebuild.
Construction of some 265 new public, affordable and market-rate units over three phases could begin by 2017 with move-in dates in 2018.
The Housing Authority remains the owner of the land, and all interests will revert to it after 15 years.