$38M affordable housing complex breaks ground in Tampa

Developers broke ground Thursday on a $38 million affordable housing complex in Tampa’s Palm River-Clair Mel area. 

Hillsborough County officials gathered to celebrate Blue Sky Communities’ new Rio Palma Apartments — a 90-unit community dedicated to housing the county’s most vulnerable residents, a release from the county says.

Rio Palma Apartments, at 7200 Causeway Blvd. in Tampa, will consist of 16 one-bedroom apartments, 50 two-bedroom, and 24 three-bedroom apartments, the release says. Five apartments will be fully equipped for people with disabilities and nine will be set aside to house the formerly homeless.

Designs for the apartments include modern, energy-efficient features and in-unit washers and dryers. The complex will offer an exercise room, community center and playground, the release says. Rio Palma Apartments is anticipated to open to the public this winter and is already taking applications online, accepting section 8 housing vouchers and other forms of agency rental assistance. 

Blue Sky purchased the land for Rio Palma Apartments in 2025 for $2.5 million, according to Hillsborough County Property Appraiser records,

Half of the community’s 90 units will be rented at below-market rates for those making 60% to 80% of the area median income — around $50,000 for a two-person household — while the remaining units will be set aside for those making 30% to 50% of the area median income. 

Hillsborough County contributed $1.2 million in State Housing initiative (SHIP) and Home Investment Partnership Program (HOME) funding to the project, according to the release.

Hillsborough County Affordable Housing Services administers federal and state funding to develop effective affordable housing and community development strategies for low- and moderate-income residents. Likewise, Tampa-based Blue Sky Communities’ mission is to partner with governments and nonprofits to develop affordable housing. Founded in 2012, Blue Sky Communities has created 30 communities housing more than 3,000 families.