8.0. HRSR 06-30-2003 Item # 8.0.
•
City of
Elk
River
MEMORANDUM
TO: Housing & Redevelopment Authority (�
FROM: Heidi Hall, Economic Development Assistant -N'` '
DATE: June 30, 2003
SUBJECT: Housing Work Plan: Session Ill
City of St. Cloud Presentation
Attachments
• 2003 Housing Work Plan Schedule
S Background
The HRA accepted the attached Housing Work Plan at its March meeting. The purpose of
the work plan is to gather information and examples of housing programs and partnership
possibilities. The housing work plan corresponds with the completion of the
Comprehensive Plan and the Planning Department's housing stock inventory/analysis.
Both documents will be used to determine the housing needs of Elk River. The work plan
will culminate with staff recommendations for Elk River housing programs based on Elk
River's needs.
City of Fridley Presentation
Grant Fernelius,Assistant HRA Director for the City of Fridley,presented to the HRA in
May on Fridley's housing programs and also provided the following
challenges/opportunities to developing a housing program:
• The State is cutting resources for some housing related programs.
• There is increasing competition for outside dollars;many cities face the same
demands.
• Leveraging local dollars is very important.
• For cities,like Fridley,without a sizable staff it is important to develop
partnerships.
• Non-profit agencies are good resource to fill this need, and administer programs
in several cities cost effectively.
• Marketing and public awareness of programs is critical (e.g. City newsletter;
direct mail;referrals through inspections and code enforcement).
• Building public support for programs is also very important.
• Fill a niche rather than compete with the private sector.
Mr. Fernelius stated that the Elk River HRA is doing the appropriate research regarding the
potential development of a housing program in Elk River. Mr. Fernelius stated that Fridley
did similar research before developing their program.
Issue
This month,Wendy Hulsebus,Housing Development Manager for the St. Cloud HRA,will
provide the HRA with a Central MN example of what other cities have done in the area of
housing. Ms. Hulsebus has prepared a Power Point presentation for the HRA and will be
available for any questions the HRA may have.
Future Work Plan sessions include presentations from the Central MN Housing Partnership,
Tri-CAP and Habitat for Humanity.
•
•
n .td n 'tr. nit n n n n r
N N rn o 0
so co
i-o co
x x x °
0
co , o p ▪ w
N n a Nm W • N O-
N O 0 !'S' O oo �y
N GC O N Np N N N a
O CI m' O ^,' O Op O CCD
O NO W Oe OW W OW a.
W
O / Ur0
g:1,..t..), x .Wi��., � 9 z R (. Fh
X 4 5 znrnN Z Pd & P 4 »,•
O A r3 r , W RI.. rye 4 0 ,y 0 5• n
O
• O " n (It) p
y Q° w Chi• �" 5'Ox O ,'`� W x .;• N' ri,
c4 cc C N. C o.‘•. M -a • 0 w
• a.y° c. N xc O C .1 co
0
c
4. o °o "
+ N
x y d 0
0 ,.3
'- b d � n7 ' W
c.14 0 w N `c 0
Z
�C y
0 E o"A
c N
• b 0
0
5 w -1 0 m
-v .o
n W me '1
», », x ,-4 n n 7
o 171 (D
a 0 n c
Ii. co 0
0
b as h
co
w
co
•-c
n
'
,... — o-, — ,, .r, 1-, I-, •-+ 1-, — I-, — I-
� � � � p O - � . O .,
N N N NJ N E m N NJ N NJ N N CD
^ hh� p
N w ,-, N co W W Pte, r W r
p p O O . o 0 0 0 O
•
,
0
-Wa i4 9 Veudaf,meat 2U ie t4 ,Scant?
• Identify type of housing need-Market Study
- Rental,Single Family Homeownership
• Specific area challenges
- High land costs
Creativity and Connections Lack of developers
Y - NIMBYism
• Potential Partnerships
Presented by Bruce Thielman.Deputy Director - Non-Profits
And Wendy Hulsebus,Housing Development Manager
- Experienced Developers
St Cloud HRA
- Power Companies,local employers,banks etc.
2114at'a uz a 714mre? 'eatae ga«usuy Red Oaleed
Affordable Housing Market Rate Houses
alliillIlIllIIIIIIIIIMIMIIIMMIIIMIMIIIIIM 411111111..1111111111111=111111111111
• LIHTC tax credit program MHFA
• r • HOME Funds
,iiiii, • Project Based Assistance
. _ - .. • Preservation of existing affordable housing
I����� _ •Sunset of 4(d)program
•Older LIHTC properties
u • Management of Assistance Programs
abstwood village Home$135000
Same Buller 2 Blocks/bawl „,. • Partnering with local non-profits
528,000 Deferred Loan Similar At ZtA5,000
No Financing Available
17/ e4/r/4/0414d` elia9e 70evrtoteord gamceatzweato 'aee
• All rents at FMR � • Target income
• 2 BR Rents$547 ,11” - The lower the income,the more partners needed.
• 3 BR Rents$625 L. •A, of employment
• Project Based Assistance , „ . ,' • Area lenders willing to learn and facilitate
• MARIF Units$400 rent process
• First Mortgage US Bank '
• Richman Group Equity "'t " •• Acceptance of market to new housing choices
• MHFA Deferred Loan
• GMHF Deferred Loan
•
1
. ,
s
si aiteeet i meG bar to. 4 a'zda��
• 1.100 to 1.200 Sq Ft • Access to Gap and Downpayment Loans
finished plus • Price of Home/Lot
expansion space - How far out of reach and what is making it
• All Appliances expensive,ie land,location,size of lot
• Seeded yards ! e °= '" • Pool of buyers
• Two-car garages ,.i • - Credit issues,household income,family size
• Private Park I • Rental Choices
maintained by Home . • Stability of Population
Owner s Association
0
4aftd e ® ® , Ze�cuood`Pi€ye ' iomed
• What is making land expensive?
Cost of raw land Original Zoning PUD Agreement
110 _- Cost of infrastructure Lot Size 9,000 sq.ft. 7,900 sq.ft.
- Type of development 75ft frontage 60 ft frontage
• TIF financing to help with infrastructure Units 70 80
• Smaller streets,new urbanism,smaller lots, Street Width 36ft curb to curb 30 ft curb to curb
appropriate amenities
• Buy a few lots in a private development Setbacks 10 feet 10%lot width
Sidewalk Both sides One side
4o d4 Deaea/zed 2Outztood 771t7)
• Private Developer completed site ,
improvements 1 168 total units of which 320 units
are affordable housing units
• Private Builders contracted with HRA to build is acres in 300 acre PUD {t
in development Si)single family,84 townhome,156 `
• Private Electric Co-op donated materials
rental units
• City of St.Cloud and City Council behind Higher density,narrowerstreets
project with TIF district approved by City
incomelevetsof30%to70%of 11,,,,,,;::::,
ea median incomes are served. �
S
2
•
•
n �/ IL' o
• City of St.Cloud TIF $1,970.000 • Single Family Homes
• MHFA $1.000.000 •Enforcement Note(0%int.due on sale)$13,000
• GMHF $1.000,000 •Deferred Loan(0%int.due on sale) $12,500
• HRA $1,190,000 -Avg Assistance Available per lot $25,500
Total Acquisition Cost $5,160,000 -Avg Lot Price $32,100
Total For Sale Units 164 • Town homes
Avg Cost per Unit $27,180 •Enforcement Note(0%int.due on sale)$6,382
Total Rental Units 156 •Deferred Note(0%int.due on sale) $15,000
Avg Cost per Unit $4,500
-Avg Assistance Available per unit $21,382
-Avg Lot Price $24,750
110
•
3