CHANDLER - Officials here have waived or reduced building fees for the developer of an $8 million housing project for fixed-income seniors, City Administrator Jim Moffeit said.

"Because this is a corporate effort, and because we think it's a good thing for our citizens, we asked our engineer to get a good price on the inspections," he said. "That was about $3,000."

The city waived its 5-percent "park land" fee on SilverLeaf at Chandler. Texas developer Solutions Plus purchased permits for seven buildings, seven water meters, and seven sewer taps, Moffeit said.

"When this project is done, the city is only going to own the water and sewer system. Normally, he would have to pay a fee of 5 percent for inspections. Instead, he's only going to pay about $5,000 in inspection fees that could have run about $10,000.

"The city is not losing anything because we worked with our engineer and building inspector to get the price down."

SilverLeaf at Chandler is a government-subsidized apartment community being built on FM 2010, just west of FM 315 North. City officials expect the development to spur economic growth as Tyler sprawl continues west.

"It's something that's needed," Moffeit said. "We have a lot of older people here, some who end up going to Tyler. This property should bring about 30 percent of people who are already here. The other 70 percent are going to buy groceries here, they're going to use local banks, they're going to spend money here."

SilverLeaf is for tenants 55 and older who are on fixed income. More than 70 units are expected to be built in the initial building phase, Moffeit said.

"The project will cost about $7 million and will go on our tax rolls at $3 million. It will create two to four jobs."

Chandler's Economic Development Foundation, which Moffeit chairs, provided a $100,000 loan to Solutions Plus in April to help cover the cost of infrastructure. On Nov. 10, the city approved a resolution "declaring support" for SilverLeaf to apply for HOME funds from the Texas Department of Housing and Community Affairs in 2010.

The program provides grants and loans to help governments and agencies build affordable housing to low-income families.