A $70 million plan to add housing for 373 students integrated with an entrepreneurship program at the University of Hawaii at Manoa is set for development following City Council approval Wednesday.

The project, to be carried out and financed by a private developer, involves two historic former Atherton YMCA buildings just beyond the Ewa edge of campus, at the corner of University Avenue and Metcalf Street, so a special form of zoning approval for UH to extend its campus boundary was needed.

The Council’s 8-0 approval followed overwhelmingly favorable testimony for the project, which would modify and reuse one building, the three-story Charles Atherton House, and replace the adjacent three-story Mary Atherton Richards House with a new six-story building with student housing and an expanded Pacific Asian Center for Entrepreneurship.

UH officials have described the project as a first-of-its-kind “live, learn, work” facility on campus with apartments, co-working offices, meeting rooms, classrooms and prototyping labs featuring 3D printers, scanners, sewing machines and laser cutters.

Texas-based Hunt Development Group is building the project for a fee. The Wisconsin-based Public Finance Authority is responsible for financing the project using tax-free bonds and repaying the bonds from operating revenue.

The land is owned by the UH Foundation, a nonprofit fundraising arm of the university that bought the 1-acre property in 2017 from the YMCA of Honolulu for $8 million.

As part of the Council’s approval, UH will be allowed to exceed the height limit of 25 feet to 30 feet for the property with its new building to rise 66 feet.

Councilwoman Radiant Cordero expressed concerns about the developer and rental rates for students, but endorsed the plan.

“I just want to make sure (student housing) affordability is prioritized in this project,” she said.

Cordero acknowledged that Hunt is an experienced development company, but noted that it was involved in a public-private partnership that fell apart with the Hawaii Public Housing Authority last year over redeveloping Mayor Wright Homes, a debacle in which each partner blamed the other.

The UH complex, which could be finished by mid-2023, is expected to help mint entrepreneurs who start companies, create jobs and diversify the local economy.

Richard Wacker, UH Foundation chairman, told the Council on Wednesday that the project is crucial.

“I’m strongly convinced that this is the best path to improve the resilience of our economy, to provide better-paying jobs to help the people of our state, and provide the kind of jobs that let our children stay in or come home to Hawaii instead of pursuing careers elsewhere,” he said.