Developer to offer lower-priced units, $10K stipends in rezoning push

Developer Core Spaces will offer low-income units and relocation stipends in its new University of Arkansas student housing proposal, Fayetteville Flyer first reported.

Why it matters: Fayetteville's student housing is booming while options for lower-wage earners are shrinking — especially near the city's center.

The big picture: Seventeen student-focused complexes have added more than 10,000 beds in Fayetteville since 2009 — with 2,620 more approved and under construction, and several others pending or stalled.

State of play: A 719-bed building between Hill and University avenues proposed by Core of Chicago was among one that's been rejected. The planning commission denied its request for rezoning nearly three acres in May.

• Core's new proposal will include 37 units intended for the general public with rent based on 50% of the area median income. A one-bedroom unit would cost $891 per month; a two-bedroom, about $1,020.
• Reality check: The average rent for multifamily housing in NWA was $1,075 per month in the second half of 2024, according to the Arvest Skyline Report.

Core also proposes to give first right of refusal for those units to residents who now live in the apartments that would be demolished.

• Each leaseholder would receive $10,000 to cover moving expenses.

• Tenants who move out before construction is set to begin would not receive the money or the right of refusal, Andrew Savoy, vice president of development with Core, told the Flyer.

What they're saying: "I hope that this sets a precedent as an example for other projects of what you can do," Fayetteville's economic development director Devin Howland told the Flyer.

• "We listened to the community and we're proud to propose this revised project in tandem with a unique Community Housing program designed to better meet Fayetteville's evolving housing needs," Savoy said in a news release shared with Axios.

What's next: Core's appeal for rezoning the property will be reviewed by the city council on August 5.