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The Bluebird Village community-housing project proposed for the site of City Hall in downtown Ketchum includes 51 rental units and a variety of amenities.

The Bluebird Village workforce-housing project in Ketchum is entering the next phase of the approval process today, Oct. 4.

In a meeting that starts at 4 p.m., the Ketchum City Council will consider affirming the Planning and Zoning Commission’s approval of the project’s design and whether to approve a height bonus to accommodate the fourth floor of the two buildings.

The City Council will also consider approving an amendment to the zoning code that would change a mandatory 10-foot structural setback on the fourth floor of projects that are 100% community housing to an average setback of 10 feet.

The Bluebird Village project is based on approval of the code change.

In the high-profile housing project, Seattle-based GMD Development is working in partnership with the nonprofit Ketchum Community Development Corp. to develop two four-story buildings totaling approximately 68,000 square feet at 480 East Ave. The site includes Ketchum City Hall and Police Department, both of which are slated to be moved this fall.

The two buildings—with maximum heights of approximately 51 feet and 49 feet—would include a combination of studio, one-bedroom, two-bedroom and three-bedroom units. The deed-restricted residential units would be built on three floors over ground floors that include offices, commercial spaces, 46 parking spaces and 133 bicycle spaces.

The project takes advantage of development bonuses in city code for buildings that are 100% community housing, including a density bonus and a provision that it is eligible to reach a height of 52 feet.

The P&Z unanimously approved the design-review application for the project on Aug. 10. It also unanimously approved a conditional-use permit to allow the project’s property management office to be on the ground floor.

Ketchum code requires that the City Council approve buildings that are higher than 48 feet or have a fourth floor. The P&Z’s approval of the project is conditioned on the City Council’s approval of the fourth floor and building heights.

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