Agenda - Council - 06/28/2016 - Laserfiche WebLink

Home

* Support the continued participation of project -based subsidy programs by engaging property owners and emphasizing the community benefits of participation. * Include preservation opportunities, goals, and incentives in the housing element of comprehensive plans and in the housing action plans for Livable Communities Act participants. Address hQ�V"naturally occurring" orU0sUhs'd'ze'U affordable hoUs'0{] DleGtsf�e re{]'Q0/s hQUs'D{] Deeds In recent years, conversation in the housing industry has increasingly included what is known as unsubsidized affordable housing or "naturally occurring" affordable housing. The rents that the housing can demand in the private market given the properties' quality, location, age, size, or amenities remain low enough to be affordable to low- and moderate - income households, who might otherwise qualify to live in publicly subsidized housing. UnoubSidiz8drentals constitute nearly 0in10units affordable t0households 8t0[below 50% of area median income, or approximately 120,000 housing units in the region." Many of these properties also offer appealing locations, proximate to natural resources such as rivers, lakes, and parks. Because this proximity would be difficult to replicate in today'o economic environment, preservation of these properties becomes important. As is at risk of loss. a result, a large share of our Much of this stock was built in the 1900S,1970S,and 1980S when construction quality varied considerably. Many ofthese properties are now facing not just routine maintenance and repair but the need for replacement of major systems such aoroofing and electrical, mechanical, and plumbing systems. While owners need infusions ofcapital to maintain these properties, many lack interest insecuring orare unable tosecure funding from the sources that create publicly subsidized affordable housing. region's supply of existing unsubsiclized affordable housing Encouraging owners of unsubsiclized affordable housing to keep their properties in good condition and to maintain their "natural" affordability is an important part of the region's 0v8[8U strategy to maintain 8 range of housing choices. Gt[8t8gi8S will likely involve 8 mix of light to deep public interventions. For example, theotate\u Low -Income Rental Classification (tax class 4d), an existing but underused tool that can provide favorable tax benefits for owners making property improvements, could possibly be tied to a guarantee of the ongoing use ofproperties auhousing for low- and moderate -income households. "TWo:omwrmmes