Santa Fe's weak apartment market is forcing Tres Santos, one of the city's newest residential developments, to consider dropping its 55-year age restriction and allow persons of any age to live in the apartment complex.

Tres Santos is a four-story, 136-unit apartment complex that was completed about a year ago. Renting started in late July 2008. The lease-up is going slowly, with only about 39 percent of the units occupied.

Rents at Tres Santos range from $670 to $845 per month.

The apartment complex is northwest of the St. Michael's Drive/St. Francis Drive interchange. It's just off Pacheco Street, east of a McDonald's restaurant.

Tres Santos was developed and is still owned by business partners Carol Robertson Lopez, Nancy Long and Don Tishman, who provided the financing for Tres Santos.

Steve Maurice, a spokesman for Tishman, said that he and his partners wanted to make Tres Santos available "to as many people as possible."

By dropping the age restriction, "we're trying to broaden our market," Maurice said.

He also said that a recent market study indicated that half of the apartment market has been lost because elderly homeowners who might like to move into a complex like Tres Santos have been unable to sell their houses.

Tres Santos was financed in part with tax-exempt bonds issued by the New Mexico Finance Authority and was originally age- and income-restricted. The income restriction will remain in place. Tenants of the development may earn no more than about $28,000 annually to qualify.

The change in Tres Santos' leasing standards comes as Santa Fe's apartment market is suffering through a serious decline.

According to CB Richard Ellis' Albuquerque/Santa Fe Market Survey, the Santa Fe apartment market has declined in May "to an unprecedented 83.34 percent weighted average occupancy."

The study indicates Santa Fe's occupancy rate is typically in the mid-90 percent range, but the economy "has been hard hit by declines in construction activity and job losses and reduced hours among service workers."

In addition, "efficiency units have been particularly hit since these are favored unit types among city's construction and service workers who often reside permanently outside of the area," the study said.

At a recent meeting of the tenants of Tres Santos, several residents spoke up to criticize the planned change that would drop the stipulation that a renter be 55 or older to live in the apartment.

One resident, who asked not to be identified, said, "This was built as a community of seniors. There is no reason we can't remain a senior project."

Another tenant, who also asked that his name not be used, said, "I don't want kids running in and out of here. There are a lot of people who don't want to be around kids."

Yet another tenant, also unidentified, said she'll feel she moved into Tres Santos under "false pretenses" if the age restriction is discontinued.

If Tres Santos does drop its age restriction, there will be at least one other apartment complex in Santa Fe that does require tenants to be 55 or older — that's Casa Villita, at 3330 Calle Po Ae Pi in Santa Fe.

Casa Villita started leasing its units in May 2008 and has also has been experiencing a slow lease-up, said Katy Goldsmith, the property manager.

"We do have a few units remaining at this time," she said. "But we don't at this time plan on any changes as far as our
55-plus policy goes. Nor have we done that at our other 55-plus GSL properties."