Controversial Dallas homeless housing project sparks community meeting

Dallas City Council Member Zarin D. Gracey held another community meeting about the latest potential plans for a vacant hospital property at 2929 South Hampton Road.

The city of Dallas purchased the 12-acre property in 2022 for $6.5 million, using bond funds designated for homeless housing.

The purchase of the facility and land was specifically aimed at providing permanent housing and key services on-site for formerly homeless individuals, according to the city.

The property has sat vacant for two years as residents have continued to voice their opposition citing a lack of communication about the project beforehand, as well as safety concerns and the area's need for affordable single-family housing instead.

The meeting on Tuesday afternoon at the Hampton Illinois Library presented three options the city is now considering for the property amid community backlash: continue with its plans, create a mix-used property that includes some housing for formerly homeless people, or sell the property and use the money to finish funding a stalled project also aimed at housing the homeless.

Vernell Henderson said she wanted to listen to her city representative and stressed she is 100% against any housing of formerly homeless individuals at the vacant hospital.

Henderson appeared somewhat more at ease upon hearing the facility, according to the city of Dallas, would not be operated as a ‘walkup’ homeless shelter.

“Maybe they have been reformed, I don’t know exactly what the criteria is going to be, but I think you’re right here by a senior adult complex that’s within walking distance for these people to cause some harm to children and elderly,” said Henderson. “Find a better place. Put it by the Hospital District where if they need medical help, they’ll be close to a medical facility.”

Gracey, who was elected in 2023, says he ‘inherited’ District 3 projects already in the works, including 2929 S. Hampton Rd. and Independence Boulevard, and is trying to take a step back and listen to his constituents.

Residents have expressed opposition to the proposal for the S. Hampton Dr. vacant hospital, accusing the city of not adequately communicating plans before purchasing the property or moving forward with plans to transform the property.

“When we started this process, I think the intended use of the property was not fully communicated before they purchased the property,” said Gracey. “This is now an opportunity for the community to have their voices heard.”

Gracey says he also hopes the listening sessions will show his colleagues on the council that the concerns are bigger than just ‘not in my backyard.’

The city’s Housing and Homeless Solutions Committee meeting on March 25 provided the three options and the city’s next steps in the process.

 Option One would continue with current plans to create 100 units in the hospital’s main building, create a community kitchen, education programming and office space offering wrap-around services for formerly homeless people.

The project would also include space to house formerly homeless hospice patients and those living with disabilities.

The first option would still require re-zoning.

Option Two would redevelop and subdivide the property, utilizing a portion for different public purposes, potentially including affordable housing units and retail, while still setting aside approximately 100 units for formerly homeless individuals.

In Option Three, the city would sell the property at auction and use funds to help complete the District’s 3 other homeless housing projects at Independence Boulevard.

Gracey says he wants to make sure his district does not end up with two stalled and unfunded housing projects meant to help homeless individuals.

Each option could impact the tax-exempt status of the bonds, according to city staff.

City staff told committee members they favor Option 2.

Gracey is on the record leaning toward Option 2 or Option 3.

City staff reported that interest shown earlier by an individual reportedly representing several medical professionals looking to potentially reopen the building as a hospital never materialized.

Dallas County Commissioner Elba Garcia is also on record opposing any form of housing for homeless people.

“While I support homeless assistance services, the reality is this is not the right location,” she said.

Garcia says her constituents have been clear in their stance. She supports creating affordable housing on the parcel.

“The county will only help if it’s affordable housing for sale,” said Garcia.

 The city’s Housing and Homelessness Solutions committee is allowing up to six months of community feedback before bringing back the issue in June.