The city of Spokane Valley, in partnership with Habitat for Humanity Spokane, has applied for a $1 million Connecting Housing to Infrastructure Program grant from the Washington state Department of Commerce to offset utility infrastructure costs for a 23-unit affordable housing development off Carnahan Road, in Spokane Valley.

The city has applied for the grant on behalf of Habitat for Humanity. Habitat intends to use the $1 million of the CHIP grant funding to pay for utility infrastructure installation on the Homeownership at Carnahan project, located at 228 S. Carnahan Road, between Second Avenue and Third Avenue, near Interstate 90. 

According to planning documents on file with the city of Spokane Valley, the multifamily development consists of 23 lots on a 1.3-acre parcel, each with a 1,200-square-foot, two-story triplex unit featuring three bedrooms. The project consists of shared amenities, including a playground, garden, and community center. 

The total estimated cost of the project is $7.5 million.

The development will create affordable housing for households earning no more than 80% area median income, documents on file with the city of Spokane Valley show.

Construction is expected to begin in September 2026, with the first certificate of occupancy expected in July 2027, planning documents show. 

Design plans are currently in the preliminary design and permitting phase. No contractor has been named on the project.

Habitat for Humanity plans to complete the development in two phases — 12 units in Phase 1 and 11 units in Phase II.