City and Borough of Juneau officials on Monday discussed plans to redevelop Telephone Hill as a potential site for workforce housing, saying the parcel’s size, walkability and existing utilities make it uniquely able to support higher-density housing. Staff told the assembly that developer solicitations have not yet been issued and that outreach would be expanded as directed and timed to follow the start of demolition.

The discussion centered on why Telephone Hill was prioritized over other city-owned sites, how the city will solicit developers, and what trade-offs the assembly may face between project cost, density and affordability. ‘‘Telephone Hill really does have the opportunity to move the needle on a need that we have identified, time and time again in all of our studies, and that’s workforce housing because of its location, the walkability, transit center right there,’’ a city staff member said. City staff contrasted Telephone Hill with other CBJ parcels downtown, including 450 Whittier and the Second and Franklin site.

Why it matters: Juneau officials and residents framed the item against an ongoing housing shortage and the need for projects that can quickly add units downtown. Assemblymembers and members of the public pressed staff on outreach strategy, the possibility of casting a wider geographic net for developers, preservation of historic elements and the feasibility of relocating older structures rather than demolishing them.

Details from the meeting

Outreach and solicitation
Staff said the city’s manager’s office will lead outreach to developers and that Leland Consulting Group is involved in carrying out community outreach and developer engagement. The manager explained that the outreach list is straightforward to compile and that solicitations have not yet gone out, adding there is ‘‘no reason why we wouldn’t be able to reach a developer further field’’ beyond the Pacific Northwest but practical considerations (travel, expertise) informed initial emphasis.

Timing: staff said active outreach and developer meetings are planned to occur after demolition has been initiated so proposals reflect a project that is already underway, rather than a site that still requires demolition.

Trade-offs: the manager repeatedly framed decisions as trade-offs among cost, affordability and density. She said some proposals that meet deep-affordability goals may require tax credits and the city’s affordable housing fund, which can constrain where the deepest affordability is achievable.

Other CBJ parcels
Assemblymembers and members of the public urged the city to pursue development across multiple CBJ-owned parcels rather than choosing a single site. Staff confirmed Second and Franklin and 450 Whittier remain candidates for housing; the assembly previously approved working with a developer on a potential Second and Franklin project and is awaiting proposals.

Relocation and historic elements
Assemblymembers asked whether historic houses or the telephone switchboard on the hill could be preserved or relocated. Staff said the city has not conducted engineering to estimate relocation costs, that disturbing older structures would trigger hazardous-material precautions, and that many structures may be too fragile to move. On the switchboard, staff said they could ‘‘make those accommodations’’ if provided with the relevant resources or contacts.

Public concerns
Members of the public and assemblymembers also raised concerns about directing engagement and advocacy to people living in a homeless shelter and an encampment on Teal Street. One assemblymember expressed disappointment that the same public energy was not directed toward those residents.

Logistics and next steps
Staff reiterated that solicitations have not been released; the manager’s office will compile outreach contacts and begin engagement once it receives direction. The manager described a timeline that prioritizes initiating demolition so that developer conversations occur with a project under way. No formal motions or votes were recorded on the item. The assembly set its next meeting date for Dec. 1.

Ending
City staff characterized the property as a ‘‘unique gem’’ for potential high-density housing downtown while acknowledging difficult trade-offs lie ahead. Assemblymembers thanked members of the public for attending and noted continuing disagreement about the best path forward for the sites discussed.