LANCASTER, Pa. (WHTM) — A new affordable housing project in Lancaster is one step closer to reality.

“We’ve really kind of run out of old buildings to rehab, so the next wave of growth over the last few years has been vacant lots, parking lots, or underutilized properties like the one on College Ave.,” said Steven Funk, architect and member of the city’s Historical Commission.

Lancaster City Council approved the $16.4 million, 64-unit development just last week. Steven Funk is a member of the city’s Historical Commission, which also reviews any demolition or new project.

Get daily news, weather, breaking news and alerts straight to your inbox! Sign up for the abc27 newsletters here.

“We’re really looking at the context of where the proposed building is to be built and whether it’s compatible with existing with the surrounding areas,” Funk said.

This includes considering everything from materials like stone or brick to building size and height. Funk says this latest project passed all their criteria.

“[Neighbors’] concern with this very large building within a residential neighborhood is being too close to their property lines,” Funk said.

He says it’s about 6 feet along one section and 12 feet along the rest. Residents on Chestnut Street, whose backyards border the property, say the project should be scaled back.

“Having the buildings so close together, I wanted to make sure if there was a fire in either the houses nearby or the building itself, that everyone would be safe,” said Andrew Allwine of Lancaster City.

The project still has some regulatory hurdles to go through and an appeal from neighbors before it can go forward.