Boise's Lusk District affordable housing project gets $2.5M from Micron for geothermal heat

BOISE — The Lusk District Redevelopment, a J. Fisher Companies affordable housing project between Capitol Boulevard and Lusk Street in Boise, got a $2.5 million boost from Micron Technology on Tuesday, Oct. 27. The City of Boise said the money fills a financing gap and moves the project closer to heating more than 300 new affordable homes with the city's geothermal system, which the city calls the first effort by a U.S. city to use geothermal heat for multifamily affordable housing.

What's planned in the Lusk District

The project covers about three acres at 1025 S. Capitol Blvd. and 1020 S. Lusk St., where the city has owned 110 aging apartments known as Capitol Campus. According to the Capital City Development Corp. (CCDC) project page, the plan includes:

337 affordable apartments, restricted to an average of 60% of area median income. About 10,000 square feet of retail or food and beverage space along Lusk Street. A 361-space public parking garage that ParkBOI will run for residents, visitors, nearby businesses and Boise State University. A pedestrian-focused, multi-story design that works around the site's floodplain limits, plus new streetscapes, utilities and stormwater upgrades.

The city says 10% of the homes will be set aside for people leaving homelessness. The project is part of the city's Housing Land Trust Program, and J. Fisher Companies (JF Development Group LLC) was picked as the development partner in 2023 after a formal procurement process.

Why geothermal heat matters here

Boise has the country's largest direct-use geothermal system, which already heats and supplies hot water to about 100 downtown buildings. In February, the city won $1 million from the Bloomberg Philanthropies Mayors Challenge to pilot expanding that system to affordable apartments. The city said at the time that residents could see savings of up to 80% on utility costs, and that the project will also explore using geothermal for cooling.

"Boise is showing that affordable housing can lead on clean heat, not wait for it," said Jake Wood, managing director of affordable housing development at J. Fisher Companies, in the city's announcement.

"Building more homes that Boiseans can afford takes partners who are willing to roll up their sleeves and invest in solutions," said Mayor Lauren McLean.

April Arnzen, president of the Micron Foundation, said the Lusk Housing District "will add more than 300" homes that working families can afford, and that Micron is partnering with the U.S. Department of Housing and Urban Development, the City of Boise and J. Fisher Co. to help close the financing gap.

Funding and timeline

Beyond Micron's gift, funding includes tax credits and private activity bonds through the Idaho Housing and Finance Association, plus investments from the City of Boise, CCDC and J. Fisher Co., KTVB reported. CCDC is helping pay for the public improvements through its Type 3 Participation Program in the Shoreline Urban Renewal District.

Earlier city and CCDC pages targeted a fall 2026 start, but the city now says groundbreaking is expected in spring 2027. The city's housing page says construction should take about 36 months.

Living near the Lusk District

The Lusk District sits just east of Ann Morrison Park, near Boise State University, and the Idaho Press has reported that the area's master plan aims to make it a "distinct downtown neighborhood." The new garage joins other ParkBOI work around town, like the 9th & Front garage upgrades, and another big Boise housing proposal is the CBH Radiance plan for 6,800 homes near Micron.

Thinking about living close to all of this? Explore the Boise city guide, browse new home communities in Boise and homes for sale in Boise, or catch up on more Boise growth news. Thank you for reading Treasure Idaho.