Attachment 1

 

STRATEGY:  Develop and implement necessary regulatory and administrative functions for establishing affordable housing strategies in all applicable development review applications.

 

 

 

Recommended action:  The zoning ordinance should be amended to revise the current density bonus to provide increased density of up to 100% of that allowed by zoning district or the upper density limit specified in the Comprehensive Plan, whichever is less with a maximum allowed density not to exceed eighteen (18) dwelling units per acre.

 

EXAMPLE:  A ten acre site is zoned R-4 with a Comp Plan Density of three to six dwelling units per acre.  The applicant proposes a density increase to six units per acre or a total of sixty (60) units.  The proposed density bonus would allow this increase without rezoning if the applicant develops 10 of the additional 20 units as affordable.   NOTE: If the Comp Plan upper density had been 12 units per acre in this example, the density bonus would have been limited to 8 units per acre or 100% of the zoning district.

 

The request and approval for the increased density would require that one half additional units be affordable and give the County or its designees a 90-day priority marketing period.  During this period the sale or rental would be restricted to low- to moderate-income households.  By using County funds to provide downpayment assistance, the County or its designee would have first right-of-refusal for a subsequent sale.  If the County or its designee does not exercise this option, the downpayment assistance with interest will be repaid at the time of sale. If the designated affordable units are for rent, the owner/manager would be expected to enter into an agreement with the County specifying the maximum rents and eligible household incomes of tenants.  The Office of Housing would monitor compliance through annual reports.

 

 

 

STRATEGYSet specific targets for the development of affordable units for low-and moderate-income families with sufficient flexibility to allow for negotiation based on the development’s size, location, timeline, and nature of surrounding area.  At a minimum, 15% of all units developed under rezoning and special use permits should be affordable as defined by the County’s Office of Housing and Housing Committee or a comparable contribution should be made to achieve the affordable housing goals of the County

 

 

 

Total additional units            Percent of additional units to be proffered (all fractions rounded up)

1-3 units                              0%

4-11 units                            25%     

12-20 units                          30%

21-35 units                          35%

36-50 units                          40%

>50 units                             45%

 

 

The cash amount is calculated using the 2004 median sales price of new homes sold, $175,000 (the affordable target), 10% representing sharing of developer/builder profit, the number of proposed units, and 15% of the proposed units.  The calculation follows:

 

2004 median sales of new homes sold     $290,000

            Less                                         $175,000

DIFFERENCE                                      $115,000

            Times                                                 .10 (contribution of profit)

Contribution per units                             $ 11,500

            Times 15% of total units                                    9 (assuming 60 units)

Total cash proffer                                  $103,500

            Divided by total units                 _____60

Per unit proffer                                   $   1,725

 

NOTE:  In this example, the contribution of cash proffers would likely assist six homebuyers with downpayment assistance under the current Homebuyer Assistance Program.

 

 

 

STRATEGYDevelop strategies and mechanisms including security instruments for the initial sale of affordable units to promote long-term affordability and protect direct monetary investments from public resources.

 

 

 

 

STRATEGYExpand existing partnerships/programs and create new alliances with the private sector including nonprofit and for-profit housing providers and lenders.

 

 

 

STRATEGYSeek additional resources including those through the state and federal governments for the development and/or financing of affordable housing.

 

§         The County of Albemarle currently contributes $250,000 annually to the Albemarle Affordable Housing Fund for investment toward affordable housing projects and programs.

§         The Office of Housing and Housing Committee should prepare a case based on demand supporting an increase in local general funds for affordable housing initiatives in future County budgets.

§         The County should look for opportunities that involve public/private partnerships, specifically those involving nonprofit organizations that may be eligible for Community Development Block Grant Funding to support development of affordable housing.

§         The County should continue to support rental projects seeking Low-income Housing Tax Credits particularly those targeted to those populations where there is a documented increase in demand for affordable rental units.

 

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