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Former homeless shelter sold for affordable housing, to be demolished within six months 

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Following several contentious meetings on what to do with the former Community Assistance Center (CAC) properties on Record Street, Reno City Council members approved the sale of properties to Ulysses Acquisition for $3.375 million to construct an affordable housing development. 

Community members have been critical of the city after the facilities, which were completed in 2008 for $20 million, were abandoned and left to fall into disrepair. Advocates consistently asked for the city to fix up the property and use it as an emergency shelter or for women, but after water damage and vandalism, the buildings were deemed “uninhabitable.” 

The facility included a men’s shelter and triage center and was vacated in February 2023 after the Nevada Cares Campus opened. Fixing the building would have cost over $10.1 million, nearly four times the amount previously reported by city staff. 

The city manager’s office never submitted any insurance claims despite its dilapidation and consistent break-ins. 

The CAC came back before the council earlier this year after developer Bash Capital proposed purchasing the property for workforce housing aimed at Tesla employees. 

Following community pushback, the council agreed to open the project for proposals. In a 4-3 vote, the Ulysses proposal was selected from the four offers received. Ulysses proposed creating 136 units with rents at rates affordable for those making 60% of the average median income and a childcare facility. Ulysses offered a $3.4 million seller’s note to be paid out over 15 years.  

Part of the contract includes $600,000 be paid at close of escrow, and demolition of the CAC must occur within six months of closing. In addition, construction must be completed within five years, and no less than 100 units are to be built within the project. 

Council member Jenny Brekhus said she believes the developers are working in good faith, but she questioned why there needed to be a provision to demolish within six months. “I think council needs to see this project to a certain point of readiness to make sure it doesn’t implode,” she said. 

Brekhus said she would delay the demolition until they’ve entered the permitting phase and received financing: “We know those are good structures.” 

Council member Kathleen Taylor said she believed the demolition requirement was necessary to protect the site’s security and saw no issue with it. 

Council member Devon Reese said he would like to see the building completed in fewer than five years, not only to open affordable housing but also to show the surrounding neighborhood that the city is making investments in revitalizing the area. “I think it’s important for that neighborhood to see the revitalization component of the work we do,” he said. 

The city’s Revitalization Manager Bryan McArdle said he believes the project will likely be constructed before the five-year deadline because of the six-month demolition requirement. He added that it would be in Ulysses’s best interest to get the project up and running after demolition occurs. 

“They want to see the project developed as fast as possible,” McArdle said. “If they don’t develop the property in five years, we would claw back the project and find another future for it.” 

Heather Lafferty of Ulysses said it is a really unique opportunity that they are “very excited to be a part of.” 

“We understand the need for affordable housing — I’ve worked in affordable housing for the past 25 years and have just witnessed the increase in need that has happened in cities like Reno across the country,” she said. “So to have the opportunity to be a part of the solution with all of you is really very exciting.” 

The council approved the sale, which includes a deed restriction to keep the property affordable for the next 99 years. 

Kelsey Penrose
Kelsey Penrose
Kelsey Penrose is a proud Native Nevadan whose work in journalism and publishing can be found throughout the Sierra region. She received degrees in English Literature and Anthropology from Arizona State University and is currently pursuing a Masters in Creative Writing with the University of Nevada, Reno at Lake Tahoe. She is an avid supporter of high desert agriculture and rescue dogs.

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