Local leaders celebrated construction commencing on the largest mixed-income development in Pinellas County history Wednesday.
Once complete, the multi-phased Skytown Apartments will feature 2,084 housing units, 80,920 square feet of commercial space, 22,500 square feet of accessory self-storage and 4,000 parking spaces at the southwest corner of 34th Street and 30th Avenue South. The 34.3-acre site in St. Petersburg’s Skyway Marina District was formerly home to the Ceridian business campus.
Altis Cardinal has officially broken ground on the $120.4 million first phase, which includes 401 apartments, the city’s first Sprouts grocery store and nearly 12,000 square feet of retail space. The development firm will dedicate 60 of those units for households earning up to 80% of the area median income (AMI), and 61 will have a 120% limit.
“When a person walks into an apartment complex or a project like this, you can’t tell whose 80% (AMI), whose 120% or whose market-rate,” said Commissioner Renee Flowers. “It’s really an opportunity and a way to build up the community, making sure that it includes the economic factors of all residents.”
Flowers, who represents the area, and her colleagues on the county commission dedicated $5.5 million to the Sky Town in January. The subsidy stems from Penny for Pinellas sales tax coffers and ensures income restrictions for 50 years.
In April, St. Petersburg contributed $4.5 million from the Housing Capital Improvement Fund to the $800 million project’s first phase. Sprouts will celebrate its grand opening at the sprawling site in November, and Coral Gables-based Altis Cardinal expects Sky Town to welcome residents in the fall of 2027.
Mayor Ken Welch thanked the county, Altis Cardinal and the many project partners for their “collaboration and shared commitment to create affordable and workforce housing.” He believes the development aligns with one of his “pillars for progress,” Housing Opportunities for All, by “ensuring St. Pete residents have a safe and stable environment to call home.”
“The Sky Town development marks a new era for the Skyway Marina District,” Welch said. “This public-private project is an example of how forward-thinking investments can strengthen neighborhoods, attract workforce talent and expand opportunities for residents.”
A three-person household earning up to $75,150 annually would qualify for one of Sky Town’s affordable apartments. Flowers said the county was “specifically honing in on those who really are looking for affordable, attainable housing and have found difficulty doing so.”
“They will all have an opportunity to take advantage of the amenities that will be encompassed within the facility,” she added.
The first phase will feature 9,000 square feet of ground-level amenity space, including a resort-style pool, a 1,200-square-foot rooftop terrace with a 1,500-square-foot Sky Lounge and a courtyard encompassing 20,000 square feet.
Flowers noted that apartments capped at 120% of the AMI – $112,680 for a family of three in St. Petersburg – would serve first responders, teachers and people who “want to remain in this community, but need to be able to afford to live in this community.”
“We want to make sure we have that good mixture,” Flowers said of income limits. “Business and capitalism say that you want to make a profit. But when that partnership is put together, it allows for them (the developer) to do some of the things we have put on the front burner within our community.”
Altis Cardinal purchased the site for $40 million in 2021. Sky Town, once dubbed Skyway Village, initially lacked an affordable and workforce housing component, and the developer pledged not to request public subsidies.
City council members debated what now constitutes affordable housing when approving their funding in April. St. Petersburg, which contributed less to the project than Pinellas County, will provide $75,000 for each of Sky Town’s affordable units. That number drops to $37,500 when including workforce housing.
However, Councilmember Richie Floyd noted that allowable monthly rents at 120% AMI are now over $2,800 for a two-bedroom apartment. “Affordable housing is not affordable for everybody,” said Councilmember Deborah Figgs-Sanders.
While she agreed that allocating 121 of 401 total units to affordable and workforce housing provides a community benefit, Figgs-Sanders also questioned if that would be the final tally when the project calls for a total of 2,084 apartments.
Housing Development Manager Mark Van Lue declined to speculate, as economics will dictate the development’s evolution over several years. He pledged to continue advocating for a subsidized housing component in Sky Town’s future phases.
“I think adding market-rate units along with affordable units is working,” said Council Chair Copley Gerdes at the time. “Market-rate units help, too. And thank you to the developer for working with us on this – you didn’t have to do this.”
This content provided in partnership with StPeteCatalyst.com
