Submitted by Thurston County Public Health & Social Services
Thurston Regional Housing Council (RHC) led collaboration across Thurston County jurisdictions to complete the funding of a brand new permanent supportive housing facility in Olympia. In early 2023, City of Olympia issued a public solicitation to construct the facility on property owned by Olympia on Franz Anderson Rd. The Low Income Housing Institute (LIHI) was selected to build and operate the permanent supportive housing facility.
The majority of the $28.8 million needed to fund construction came from Washington State Low Income Housing Tax Credit Equity, the Washington State Department of Commerce Housing Trust Fund and the remainder was funded through regional collaboration led by Thurston Regional Housing Council. Thurston County contributed $3.5 million, City of Lacey contributed $3 million, and City of Tumwater contributed $275 thousand to the funding. Thurston Regional Housing Council also awarded $1.5 million to the construction through the annual request for proposals funding process.
“Although this new facility will be located within Olympia city limits, permanent supportive housing facilities like these serve the broader Thurston County community and provide lasting results,” said Michael Althauser, RHC Vice Chair and Tumwater City Councilmember. “Thurston Regional Housing Council saw the regional benefit and worked together to ensure the project would be funded.”
The facility will include 70 units for couples and singles, one unit for an on-site property manager, common space areas, and some parking. Tenants of the building will be offered supportive services from the Low-Income Housing Institute (LIHI) and SeaMar. Permanent supportive housing is defined in RCW 36.70A.030(31) as low barrier, subsidized, rental housing for extremely low-income populations experiencing homeless or at risk of homelessness. It’s paired with on-site or off-site voluntary services designed to support a person living with a complex and disabling behavioral health or physical health condition.
“Permanent supportive housing is essential for building a community where no one is left behind,” said Emily Clouse, RHC Chair and Thurston County Commissioner. “This project represents a collective commitment to meeting the needs of our most vulnerable neighbors by addressing the root causes of homelessness with dignity, compassion, and real solutions.”
In 2022, City of Olympia and Thurston County purchased property on Franz Anderson Rd. for use as housing. Franz Anderson Tiny Home Village was built on one parcel and opened in the summer of 2023. The remaining five parcels are where the new facility will be built.
“This new facility is fulfilling the vision the City of Olympia had when the Franz Anderson property was purchased. Olympia will continue to oversee this project while managing the contract with the Low Income Housing Institute,” said Dani Madrone, RHC Member and Olympia City Councilmember. “This is an example how collaboration and creative funding can make big things happen. It’s a regional accomplishment to be proud of.”
Construction of the permanent supportive housing facility is expected to begin in September 2025 and completed after 15 months of construction.
