affordable housing master plan implementation: … · affordable housing master plan...

Affordable Housing Master Plan Implementation:

Developing a Housing Conservation District

Joint Zoning Committee and Long-

Range Planning Committee Meeting

October 17, 2017

Poverty Rates by Census Tracts

2

Affordable Housing Master Plan, 2015

• Objective 1.1: Produce and preserve a sufficient supply of affordable rental housing to meet current and future needs.

• 1.1.1: Encourage the construction and preservation of affordable rental housing through land use/zoning policy, financial and technical assistance.

• 1.1.3: Make every reasonable effort to prevent the loss of market-rate affordable rental housing.

• 1.1.4: Encourage and incentivize the distribution of affordable housing throughout the County.

History


3

AHMP Objective 1.1: Produce and preserve a sufficient supply of affordable rental housing to meet current and future needs.

To implement this objective, the County Board directed staff to:

• Update zoning standards for Accessory Dwelling Units (in progress)

• Study clusters of market-rate affordable housing (MARKs) and develop tools to preserve their affordability

• Explore opportunities for “Missing Middle” housing (future effort)

History


4

MARK Definition

MARK: Housing units that have market rents that are affordable to low- and moderate-income households by virtue of the age, location, condition and/or amenities of the property. These units are not regulated by the County or any other public agency, so there is no assurance that lower-income households live in these lower-rent housing units. In addition, there is no guarantee that these homes will remain affordable to lower-income households.

# of Bedrooms Studio 1-Bedroom 2-Bedroom 3-Bedroom

80% AMI Rents

$1,546 $1,656 $1,986 $2,295


5

2,7800

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

20,0002

00

0

20

01

20

02

20

03

20

04

20

05

20

06

20

07

20

08

20

09

20

10

20

11

20

12

20

13

20

14

20

15

20

16

Aff

ord

able

Ho

usi

ng

Un

its

Affordable Housing Supply 2000-2016 - Countywide

MARKs up to 60% AMI

MARKs from 60% to 80%

Committed Affordable

History: MARK Report

• April 2017: MARK Report presented to County Board• Supply of MARKs is declining


6

History: MARK Report

• Nine main clusters of MARKs

• Recommended creation of a planning tool: Housing Conservation District (HCD)


7

Developing the HCD

Phase I

• Accept/Adopt Part 1 of HCD Study

• Adopt GLUP Amendment

• Adopt AHMP Amendment

• Adopt Zoning Ordinance Amendment for Townhouse Development

Phase II• Adopt Zoning Ordinance Amendment for Renovation Tool

Phase III


• Adopt Zoning Ordinance Amendment for Additional Density via Addition, Infill, Partial Conservation/Partial Redevelopment, and Redevelopment

• Pilot Tax Reimbursement Program


8

PHASE I(Adoption in December 2017)

Phase I






9

Part 1 of HCD Study: Existing Tools

• Voluntary Coordinated Housing Preservation and Development District (VCHPDD)

• Nonconforming properties may complete minor additions by use permit

• Per State requirements, must dedicate at least 20% units as affordable for a minimum of 10 years

• Examples: Buckingham Village III, Buchanan Gardens, & Larkspur, where nonprofit developers provided longer affordability terms

• Site Plan bonus density• Modification to height generally not possible• Costs likely outweigh scale of potential benefits

• Partial Property Rehabilitation Tax Exemption• Exemption for multifamily buildings 25+ years old on the increase

in assessed value due to improvements for 10 years (and phased out over the following five years)


10

Part 1 of HCD Study: Analyzing Existing Tools

• Use VCHPDD as a model to encourage renovation/minor addition projects that can extend life and viability of MARK properties

• Potential opportunities to streamline affordable housing creation/preservation and provide more predictability

• Administrative or use permit review (possibly expedited) could potentially be more viable and attractive


11

Part 1 of HCD Study:Key Findings

• Many MARK buildings/properties are nonconforming for:• Density (at least 43% have more units than permitted by current

zoning)• Parking (have fewer spaces than required)

• Several MARKs listed on Arlington’s Historic Resources Inventory (HRI) are also eligible for inclusion on the National Register of Historic Places (NR) and/or as Arlington County local historic districts

• MARK properties have been lost since Report was published• By-right townhouse development in Westover• New multifamily housing in Cherrydale

• Rent increases continue• Density is a tool that can help provide affordable housing

• Other financial tools often needed as well• MARKs are typically set amid lower- to medium-scale development


12

Part 1 of HCD Study: Density Implications

• Experience from Columbia Pike: takes an average of 3-4 market rate units to subsidize 1 affordable unit

RA14-26 Example: • Assuming a 1 acre site:

• Suggested need for a range of possible development strategies along this spectrum

Base Zoning Site Plan Bonus Density (+25%)

3 x Density 4 x Density

24 du/acre maximum

30 du/acremaximum

72 du/acre 96 du/acre


13

Part 1 of HCD Study: Spectrumof Tools

Renovation + Units

InfillAddition Redevelopment

Sample:

• Establish policy direction for Zoning Ordinance amendments in Phases II and III


14

Phase I: GLUP Amendment

• GLUP Note

• HCD boundaries (mapped in booklet)

• Properties within HCD boundaries may be eligible to use future HCD zoning and financial tools (implemented via Phases II and III)

• Townhouse development requires site plan approval within HCD boundaries


15

Phase I: GLUP AmendmentHCD Goals

• Implement the Affordable Housing Master Plan via the General Land Use Plan.

• Encourage the retention and renovation of existing rental affordable housing units.

• Provide opportunities for the creation of new affordable units (either rental or ownership) when redevelopment occurs.

• Maintain the character of established multi-family areas, considering historic buildings, tree canopies, mix of affordability, and mix of rental vs. ownership housing.

• Signal that a variety of tools is available to achieve the above.


16

Phase I: GLUP AmendmentHCD Objectives

• Provide committed affordable (CAF) rental housing up to 60% AMI.

• Preserve market-rate affordable housing up to 80% AMI.

• Provide ownership housing between 80% and 120% AMI.

• Preserve buildings listed on the Historic Resource Inventory (HRI) or National Register.

• Incorporate sustainable building practices.

• Encourage renovation and infill development while accommodating redevelopment.

• Ensure projects are compatible to their surroundings.

• Ensure any new density could be supported by transit.

• Encourage creation of underrepresented housing forms.

• Remove zoning barriers to reinvestment.


17

Phase I: GLUP AmendmentHCD Boundaries

• MARK Report sites:• Zoned “RA”• Low-Medium and Medium GLUP

• Limit properties not included in MARK Report

• Include nearby CAFs

• Exclude site plan properties

• Follow lot lines, roadways, natural barriers, zoning, and GLUP district boundaries

• Include market-rate buildings with rents from 80-85% AMI

• Incorporate Lee Highway properties


18

Phase I: AHMP Amendment

The Affordable Housing Master Plan provides the policy basis for the establishment of the Housing Conservation Districts.

Additional text is proposed under policy 1.1.3 on page 19:

“In furtherance of this policy the County has established a Housing Conservation District in the General Land Use Plan to encourage the retention and renovation of existing rental affordable housing units, and to provide opportunities for the creation of new affordable units when redevelopment occurs.”


20

Phase I: Overall Policy Direction

TIER 2

TIER 3

Density Changes: May add new units if permitted by current zoning.

Density Changes: May add new units beyond what is permitted by current zoning.

Density Changes: May add new units beyond what is permitted by current zoning.

TIER 1

RENOVATION MINOR ADDITION

RENOVATION MINOR ADDITION ADDITION INFILL

PARTIAL CONSERVATION / PARTIAL REDEVELOPMENT

REDEVELOPMENT / NEW CONSTRUCTION


19

Phase I: Policy Directions

Physical

change to

site

Additional

density

Affordability

requirements

Approval

review

Tier 1 Renovation / Minor

Addition

Least

Tier 2 Renovation / Minor

Addition

Addition

Infill

Tier 3 Partial Conservation /

Partial

Redevelopment

Redevelopment / New

ConstructionGreatest


21

Three Tier Approach: Tier 1

Renovation / Minor Addition

Goal:Encourage investment in, and retention of, existing housing resources while minimizing physical impacts to sites and neighborhoods

Incentive:• Density and parking nonconforming properties Conforming

properties• Ability to construct minor additions (up to 30% of existing building

footprint)


22


VCHPDD (Existing) Proposed Renovation Tool

Review Process

Use Permit Administrative if meets standards, including HRI Important/NR-listed

Use Permit to modify standards

Additional Density

May add density up to zoning maximum

May add density up to zoning maximum

Additional Height

No greater than zoning or existing height

No greater than zoning or existing height

Building Additions

Reviewed on a case-by-case basis

May not exceed 30% of existing building footprint

Parking Reviewed on a case-by-case basis

No parking for existing units; existing parking must meet zoning design standards. New units require parking, unless a use permit is approved.

Design Principles

Case-by-case review Additions at side or rear yard


23


Eligibility:• Retain existing building(s)• No fewer units than existed at adoption of HCD• Will implement a Tenant Relocation Plan• Minimum 20% of units will be affordable below 80% AMI for 10 yearsReview Process:• Administrative • Historic Preservation staff review for HRI Essential / Important or NR-listed

• Yield review to State Historic Preservation Office or National Park Service for projects pursuing state/federal rehabilitation tax credits

• May modify zoning requirements by use permit


24

PHASE II(Adoption in February/March 2018)

Phase II• Adopt Zoning Ordinance Amendment for Renovation/Minor Addition Tool


25

ZOA for Renovations / MinorAdditions

LARKSPUR (HOWARD MANOR) LARKSPUR (HOWARD MANOR)

COLONIAL VILLAGE

BUCKINGHAM


26


Additions to Enlarge Units


27


Addition to Add New Units, When Consistent with Zoning Requirements


28

PHASE III(Adoption in June/July 2018)

Phase III


• Adopt Zoning Ordinance Amendment for Additional Density via Addition, Infill, Partial Conservation/Partial Redevelopment, and Redevelopment

• Pilot Tax Reimbursement Program


29

Part 2 of HCD Study: Form Modeling

• Help identify appropriate: • Additional Density• Height • Setbacks• Lot Coverage


30

Part 2 of HCD Study: Economic Modeling

• Develop high-level pro formas to help estimate the number of affordable units that could reasonably be obtained under different scenarios

• Consultant has verified construction cost estimate assumptions

• Iterative process of modeling economics against building form


31


InfillAddition

Goal:Provide development options that encourage the retention of existing multi-family buildings while maintaining affordability.

Infill

The Trove (Wellington)


32


Partial Conservation / Partial Redevelopment

Goal:Where larger impacts to existing sites occur, ensure that development is at a scale appropriate to the setting and that in exchange for more extensive development, more affordable units are provided onsite.

Redevelopment / New Construction


33


Partial Conservation / Partial Redevelopment


34


TIER 3: Redevelopment / New Construction


35

Phase IIIReview Process Considerations

Administrative Review (for changes with the least impact):• Need clear standards and thresholds• How to be permissive yet maintain historic value for HRI/NR-listed

properties• Simplified review could expedite housing creation

Use Permit Review (for changes with the potential for greater impacts):• Potential impacts assessed on a case-by-case basis, within

established criteria• Consideration of historic resources built into review process• Additional review and uncertainty may serve as a disincentive to

development and housing creation


36

Phase IIINew Financial Incentive

Pilot property tax reimbursement program

• Targeted to MARK property owners within HCD• Properties subject to local, state, or federal affordability

restrictions would not be eligible• 80% AMI affordability• 10 to 15 year commitment to program• Reimbursement proportional to the number of units committed to

program• Defined program budget (limited participation)

Funding source needs to be identified


37

PHASE IFURTHER DETAILS(Adoption in December 2017)

Phase I






38

Phase I: Townhouse ZOA

• Reclassify townhouse development as a special exception use within those RA14-26, RA8-18, and RA6-15 zones that are within HCD boundaries

• Existing GLUP and Zoning Ordinance provisions for townhouse development:

*Special exception use within the boundaries of the Fort Myer Heights North Special District


39


• Townhouse development impacts areas of traditional multi-family housing• Replaces limited land zoned for multi-family buildings with single-

family dwelling arrangements• Vertical form of townhouse development is inconsistent with

horizontal form of traditional garden apartments and designed open spaces

• Townhomes usually include private garages, resulting in:• Curb cuts that reduce street parking opportunities and create

new hazards for pedestrians, cyclists, and motorists• Creation of private driveways that impact building layout,

surrounding properties, and add impervious surfacing

Special exception site plan review is needed to ensure that potential impacts are addressed.


40



41


• When consistent with zoning district standards, allow existing townhouses in HCD to complete interior alterations, additions, and expansions without requiring site plan approval


42

HCD Boundaries For Discussion

Option A: Contiguous MARKs Option B: Broader Boundaries

Westover Area


43



Penrose Area


44



Central Lee Highway Area


45

Phase I: Summary

Phase I


• Policy Direction for Phases I-III


• Goals

• Objectives

• Boundaries




46

October 12 Housing Commission Check-In

October 17 LRPC/ZOCO

October 18 HALRB Check-In

November 18 Request to Advertise (Phase I)December 2017 Commission final consideration

December 16, 2017 County Board adoption

Dec. 2017/Jan. 2018 RTA Phase II

Feb./Mar. 2018 Commission and County Board final consideration of Phase II

June/July 2018 Phase III implementation

*Schedule subject to change based on results of analysis, community feedback and other factors*

HCD Implementation

affordable housing master plan implementation: … · affordable housing master plan...

Documents