TUCSON, Ariz. (KGUN) — The community is celebrating the opening of Milagro on Oracle, the first of several affordable housing developments from the City of Tucson's El Pueblo Housing Development.
The complex provides housing for seniors and people experiencing homelessness, and almost all of Milagro's 63 units already have residents ready to move in.
"If I had my way, I'd be in there right now," said Gerhard Shake, a future resident.
Shake has been living in transitional housing at St. Francis Shelter for about a year. He said he is eager to move in with his dog next week.
When asked what he's most looking forward to when he moves into his unit, Shake responded: "Peace."
Nineteen of the units at Milagro were reserved for people experiencing homelessness. Shake said this need is crucial for the city to address.
“Because if not, half the city would be living on the street," Shake said. "Street people get treated like crap 95% of the time, and when I was out for 8 days, there were a lot of people like me. The rent just got too darn high, and they could not afford to pay it, so they end up on the street.”
Milagro offers an opportunity for anyone 55 or older to pay just 30% of their income on housing.
"This is intended for folks who are making low income, so below 80% with an average of 60% of the area median income," said Sarah Meggison, housing development manager for the City of Tucson.
In Pima County, that’s about $37,500.
51 units at Milagro are currently pre-leased, and a waitlist will be created once all units are filled.
Tucson Mayor Regina Romero joined the community for the ribbon-cutting Thursday afternoon. She pointed out a couple of noteworthy achievements from the project to KGUN 9: the historical preservation of the site and the jobs it created.
"Besides housing permanently 63 low-income seniors, we created more than 700 jobs in the 18 months that we built and rehabbed this location," Romero said.
She added that more jobs will continue to be created to maintain the location's operations.
“We wanted to make sure that we preserve the historic structures that add so much beauty to Oracle Road and Miracle Mile,” Romero said.
The new complex repurposes the historic No-Tel Motel and Don Motel.
"It felt great to be able to do some rehab, but also build a brand-new building at the same time," said Mike Walters, superintendent at Gorman General Contractors, who helped lead the project.
He explained that when reconstructing the No-Tel Motel, they converted two hotel rooms into one apartment.
The entire project was made possible through the federal Low-Income Housing Tax Credit (LIHTC), making it Tucson’s first LIHTC project in the last 10 years.
"When we received $18 million from the Arizona Department of Housing, we were like, this is a miracle," Romero said.
She reminded the community that "Milagro" means "miracle" in Spanish, and a miracle is exactly how future residents like Shake feel.
"It is a miracle because I never thought I'd be in a place like this," Shake said.
Now, the city has eight more affordable housing projects in the works.
Meggison said the next one with El Pueblo Housing Development will be Sugar Hill on Stone, which they plan to break ground on in early spring.
Milagro is located at 2445 N. Oracle Rd. in the Thrive in the 05 zone.
Individuals interested in renting a unit can call (520) 771-0704 or visit www.milagroonoracle.com.
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Maria Staubs joined KGUN 9 as a multimedia journalist and producer in July of 2024. Her passion for writing and storytelling stems from anchoring her middle school’s news show and editing her high school’s yearbook. She holds a bachelor's degree in journalism and mass communication with a minor in film and media production, as well as a master's degree in mass communication. You can email Maria at maria.staubs@kgun9.com or reach out to her on X/Twitter or Instagram.
