All three District 2 City Councilors are pushing to continue redeveloping the Rose Quarter as the State of Oregon is warning it may not be able to fund its share of the project.
Elana Pirtle-Guiney, Sameer Kanal, and Dan Ryan have introduced a resolution to allow the Albina Vision Trust to redevelop six city-owned acres near the Moda Center and Memorial Coliseum, which is in the heart of District 2.
The nonprofit organization has proposed a sweeping plan to redevelop the area with caps over a widened I-5 freeway that would support a new street network with additional residential and office buildings. It is intended to help heal the damage done to Portland’s historic Black community by the original construction of the freeway and Memorial Coliseum, which displaced thousands of Black residents and businesses.
But the Oregon Transportation Commission, which oversees ODOT, has been told the State has not yet secured nearly enough money to complete the I-5/Rose Quarter Improvement Project, which includes the freeway caps.
As first reported by The Oregonian/OregonLive, draft internal project reports say the cost of the project has increased to $3.2 billion, more than that 50% more than the most recent estimate.
“Yet the state has secured just $480 million for the project, all of which has already been used or allocated for spending, resulting in a funding gap that may exceed $3 billion and raising questions about whether the project will proceed as planned,” the Oregonian/OregonLive reported on Aug. 7.
The Commission is scheduled to discuss the future of the project – including the funding shortfall – during its meeting on Aug. 13. Whether to complete the project as planned will be decided by the 2027 Oregon Legislature.
“That’s really a question for the Legislature,” Interim Project Director Monica Blanchard was quoted as saying. “The need is still there for the project, and so we are carrying forward with the direction that we have right now. But we anticipate it to be a discussion in the legislative session in ‘27.”
A link to the Commission meeting agenda and materials can be found at https://www.oregon.gov/odot/get-involved/pages/otc_main.aspx.
The Commission meeting will take place two days after the City Council first considers the resolution introduced by the District 2 Councilors.
“The resolution prioritizes a community-oriented development approach, including negotiation with Albina Vision Trust, which has an established, community-led vision for Lower Albina,” reads the Impact Statement for the resolution, in part. “It reflects a commitment to restorative development, wealth-building, and addressing historic harms experienced by Black Portlanders.”
A link to the City Life Committee agenda and resolution can be found at https://www.portland.gov/council/agenda/city-life-committee.
The Albina Vision Trust has already completed its first project in the Rose Quarter area, the $66.7 million Albina One affordable housing project at 1771 N. Flint Ave. intended to offer homes to previously displaced residents who want to move back to the neighborhood.
Funded by Metro affordable housing bonds and the Portland Housing Bureau. It includes a mix of studio, 1-, 2-, and 3-bedroom apartments. Rents for 32 of the units are limited to 32% of the Area Medium Income. The remaining 62 are limited to 60%.
“The Albina Vision Trust is honored to serve as the catalyst in bringing the realization of Albina One to our community and to our city. It reflects what we can accomplish when aspirations, dreams, and commitment to the greater good drive our efforts, our resolve and our resources,” Board Chair Michael Alexander said at the Sept. 6, 2025, opening ceremony.