Posted on: November 26, 2025
Source: Journal Advocate; Author: Callie Jones
Developer and outgoing Planning Commission chair say studies show more affordable housing is needed in Sterling
The third time was the charm for Volker Development. In a split 5-2 vote, the Sterling City Council on Tuesday approved the developer’s request for a conditional use permit for a multi-family development, known as Sugar Commons, on the site of the former Sykes building at 777 N. Fourth St.
The approval of the permit comes after it first failed to get enough votes in October, with two members voting against it and two members absent, and a delay of the request at the council’s Nov. 18 meeting due to a shortage of council members.
Volker’s plan is to construct a housing complex with 54 units of 1-3 bedrooms each, for families and individuals who make 30-70% of the area’s median income. It would bring an investment of over $22 million and provide new, high-quality housing and contribute to neighborhood reinvestment goals.
The property’s existing zoning allows for multi-family housing as a conditional use, but the developer has indicated willingness to seek a zoning change once they have finalized the purchase of the land.
During the portion of the meeting for comments from non-scheduled citizens, Sheri LePore, of Precision Homes of Colorado, questioned the need for more affordable housing in Sterling given that there are 41 vacancies at Sterling Housing Authority alone.
“The thought of building 54 more units frightens me. Our community resources are already stretched thin,” she said. “I feel like this is being shoved down our throat. Sterling doesn’t have people to fill the units we have already, we bring in 54 more of those from out of state, or out of county, or from the Metro area, they are going to hit our resources even harder. That scares me. I love our police force, our fire chief, everyone, they do a great job in our business but they’re already stretched thin. To bring further people to town that don’t contribute scares me. We need to support the people who are here, our resources are for people who are here.”
Kristi Knowles, who was elected to the council in November and is currently the chair of the Sterling Planning Commission but will be stepping down when she takes her council position, pushed back on LePore’s comments.
“To say that these people don’t contribute is frankly very offensive to me and it should be to all of you as well,” she said to the council, prefacing her comments by stating that she was not speaking on behalf of the Planning Commission.
She shared that last year the Planning Commission had a study done that “clearly indicated that we need affordable housing” and pointed out that for LePore there is a financial aspect to this because it would bring competition to her business.
“People are not being able to find homes regardless of what someone might tell you. The housing assessment is clear, it was professionally done,” Knowles said.
Later, during a public hearing, LePore apologized if she offended anyone on council, saying it was not her intention, “but I will not apologize for my personal feelings.” She thanked Lauren Schevets, managing director of development for Volker, for the presentation she gave earlier in the meeting saying it was very hard to find a lot of that information online and it would be helpful to have that before the project is brought up for discussion. She also pointed out that Sterling’s housing stats are not easily available online like they are for the Metro area and questioned if information collected on Sterling’s current rental rates is correct.
During her presentation, Schevets shared that the company had its own market study done that also found more housing is needed in Sterling. She also noted that while they do have to accept vouchers if someone has one, this development will not be an emergency shelter, transitional housing, permanent supportive housing, public housing or Section 8 housing, or market-rated luxury housing. It will serve “Sterling’s working class,” she said, noting that based on income requirements those who live there could be an Amazon delivery driver, a Department of Corrections officer, an elementary school teacher, a firefighter, a grocery store or retail employee, or a construction worker.
Council member Dean Haynes asked about rental prices, which will be anywhere from $573 at current rent to $1591 based on income, and questioned whether this will be much different than what’s already available and not being used. Schevets responded saying they have heard from people living in the community who have expressed interest in living at the site and they have found that people want newer and higher-quality housing than what currently exists in the market.
“It just provides alternative choices,” she said.
Council member Albert Delgado asked if anyone from the state of Colorado would be eligible to rent a unit at the site. Schevets said anyone from anywhere in the country would be eligible under federal fair housing regulations, just like any other housing in Sterling.
He also asked what will happen if the units aren’t filled. Schevets was confident they will be given the interest they’ve heard from community members and said if not they have reserves to backfill if they have a shortage of revenue and it will be up to the property manager to get it back on track.
Before the vote was taken, council member Luke Janes pointed out that had the property already been zoned as high-density residential there would be no action needed by the council for the company to begin its development.
“Really it’s not so much about this development specifically, just about whether or not council believes that this property should qualify as high-density residential,” he said, adding “when council casts their votes on this I just hope that everyone keeps in mind that you don’t have to say you are in support of this project, you would just be in support that this property be zoned high-density residential if any project of a similar capacity were to be put there. If you can’t come up with good reasons why it shouldn’t be…I hope those are stated clearly because I am concerned that if this were to fail there would be ramifications for the city in the future.”
In the end, Haynes and Delgado remained the two no votes on the issue stating that the request does not comply with the requirements of the conditional use chapter of the city code, is not consistent with the intent and purpose of the city ordinance regarding conditional uses, is not consistent with the city’s comprehensive master plan and is not compatible with surrounding land uses.
In other business, the council:
• Accepted a bid from BCS Fabrication, in Loveland, for the purchase of a lowline pedestrian bridge structure, in the amount of $63,478.54. Funds for the project are being provided by donated funds, matched with funds from the Hotel Tax Fund;
• Approved a resolution opting out of the requirements of the EV Charger Code created by House Bill 24-1173. Instead the city will use its existing permitting process to review applications for EV charging systems;
• Approved a special event permit for the Sterling Elks Lodge for a Northeast Colorado Cattlemen fundraiser on Dec. 5; and
• Approved renewal of a tavern liquor license for Henry’s Pub & Club and a retail liquor license for Elm Street Liquor, LLC.
At the close of the public portion of the meeting, City Manager John Sheldon thanked outgoing Mayor Matt Foos and council members Delgado and Janes for their service and dedication to the city.
The meeting concluded with council going into executive session to receive legal advice on specific legal questions related to a potential lease to own of city owned real property.
Read the full article, here.
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