Portland — The City Council approved an amendment to deed covenants for Doherty Commons Phase 3 that allows the developer to construct the third phase either as rental housing or as for-sale units, depending on what proves financially viable.

Mary Davis, director of the Housing & Community Development Division, told councilors that phase 1 is complete, phase 2 (20 for‑sale units) is under construction, and phase 3 had been designed as rental housing. The amendment before the council allows the developer flexibility to switch to for‑sale homeownership for Phase 3 if needed without returning to council for a covenant change; it does not, Davis said, contemplate a mixed rental/for‑sale arrangement — the project will be either rental or for‑sale.

Public commenter George Roe urged clarity on what concessions the city is making and whether the amendment could alter affordability commitments; Davis replied that staff and the developer could provide detailed finance and eligibility numbers as needed and that sales for Phase 2 were progressing.

The council approved the amendment by voice vote with no recorded opposition.

What’s next: Staff said the developer will finalize the Phase 3 model based on financing and demand; city staff will continue to track eligibility and convey any necessary documentation to the council.

Quote: “The amendment before you would adjust covenants... Phase 3 was designed to be rental housing. Initially the developers requested the amendment to allow them to switch to for sale units,” Mary Davis said.