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Senthil Sankaran Principal with Amazon's Housing Equity Fund shares, "...there's really a need to balance both new construction and preservation... Preservation isn’t necessarily cheaper than building brand new affordable housing, since market-rate interests who’d want to renovate or redevelop naturally affordable properties may bid up acquisition prices. But preservation “helps from a time frame standpoint,” in that “you're keeping families in homes” where they already live. Besides Seattle affordable housing initiatives, this article also looks into Nashville and Washington, D.C. #seattlewa #nashville #washingtondc #afforablehousing #residentialrealestate

Corporate pledges to tackle affordable housing once captured headlines, but the promised game-changers may not have made the desired impact. Technology giants like Amazon, Microsoft, and Google injected substantial funds – in loans rather than grants – to foster affordable housing. However, the majority of these investments leaned towards developments for higher-income households, not those at risk of homelessness. https://lnkd.in/gikh6wpQ With corporate interest waning and increasing construction costs, is there still hope for affordable housing initiatives? What are your thoughts on this? #affordablehousing #housingforall Ken Semler Jennifer Castenson Gary Fleisher Matthew Haas Rochelle Mills Scarlet Bennett Tate Williams Oscar Paul Matthew Churnock Katie Goar Eric Benavides Candice Delamarre Konstantin Daskalov Sean Armstrong Eric Fancher, Jr. Krista Egger Anthony Gude, Ben Hershey Joe Swenson John A. Provo Dennis McMahon Vamsi Kumar Kotla Gilbert Meier Jay Parsons Michael Mathews, Stuart Emmons

Investing in affordable housing requires a comprehensive approach beyond just constructing new developments and receiving tax credits. Instead of solely building new structures, it is important to partner with developers who address the root causes of unaffordability. This includes renovating existing buildings to improve the quality of life for residents. Real change happens when leadership is committed to solving the problem and creating opportunities for innovative collaboration. The social impact in corporate can be enhanced by individuals who have empathy and firsthand experience with the issue.

Welcome to TL:DR (Too Long; Didn't Read), a newsletter series where we condense larger-scoped news topics for your convenience. In this edition, we delve into Massachusetts $6.5 Billion Housing Bond Bill. What's the Issue: The Massachusetts House of Representatives has approved a $6.5 billion housing bond bill, known as the Affordable Homes Act. This bill aims to tackle the state's housing crisis by increasing the funding for affordable housing development, and improving existing housing infrastructure. This decision marks a significant step beyond Governor Maura Healey's initial $4.1 billion proposal, reflecting the growing urgency to address housing affordability and availability in Massachusetts. Why it's Important: This bill is pivotal in addressing Massachusetts' severe housing shortage. As housing prices continue to rise, low and middle income families struggle to find affordable homes. The substantial investment proposed aims to stabilize the housing market, support economic growth, and ensure that more residents have access to affordable housing options. By increasing funding for housing projects, the bill seeks to alleviate the financial burden on families and promote long-term housing stability. How it Impacts Housing: The bill allocates $2 billion for the rehabilitation, repair, and modernization of over 40,000 public housing units, ensuring these homes are safe and livable. An additional $1 billion will expand the Massachusetts Water Resources Authority's service area, supporting further housing development and improving water quality. The Affordable Housing Trust Fund will receive $800 million to create or preserve affordable housing for households earning up to 110% of the area median income, and the Housing Stabilization and Investment Fund will be allocated $425 million to support preservation and new construction projects. The bill also includes $150 million for municipalities to convert commercial properties into residential housing and $50 million to help communities comply with multifamily zoning requirements under the MBTA Communities Act. Notably, it introduces measures to allow accessory dwelling units (ADUs) in single-family zones, promoting denser housing development and providing more housing options.

"Why [Invest] in Chicago's Far South Side" Tuesday's Edition: Affordable Housing Great commentary by Leon Walker on solutions to addressing the affordable housing crisis, which I say is one of the top existential threats to our economy. Mr. Walker mentions this crisis is a multi-billion dollar issue that every level of government and private sector must invest their resources to address. Whoever would have thought that the wealthiest country in the world would have the greatest challenge of housing its own citizens. So innovation to solve some our greatest societal challenges will not come from our federal government, which in my opinion is by design. To quote former Chicago Mayor Rahm Emmanuel's book, "The Nation City: Why Mayors Are Running The World", "...cities, rather than the federal government, stand at the center of innovation and effective governance. Cities are now improving education, infrastructure, job conditions, and environmental policy." In former Mayor Lori Lightfoot Administration, Lightfoot allocated over $1.2 billion toward affordable housing projects and was the first major city to revise its Qualified Allocation Plan (QAP) to include equity requirements for BIPOC participation. Currently in Mayor Brandon Johnson's Administration, they are moving away from the reliance on tax increment financing districts and leaning toward taxable and tax exempt bonds to fund affordable housing. So what does this mean for Chicago? To ensure ongoing innovation, the city should form an Office of Research and Innovation on ways to creatively solve our challenges with the support of the private sector and without over taxing our residents and businesses. We need to rethink how our city operates and generates revenue in this 21st century and let go of processes that are outdated and expensive to manage. So what does this mean for Chicago's far south side? One way to rethink Chicago's operations is to view all of Chicago as essential business and entertainment districts and not just downtown. The greatest example is New York City (NYC) as it is home to several central business districts within its five boroughs with Midtown and Manhattan being the largest. What if Chicago started to think about expanding its central business districts into areas throughout the city, with a primary focus on affordable and mixed-income housing. What if we improved our community areas to think about mini-central business and entertainment districts that includes housing, offices, retail, public transit, and recreation similar to downtown. Michigan Avenue and South Halsted streets on Chicago's far south side are corridors to consider. This gives more opportunities for small to mid-sized businesses to thrive since they cannot afford downtown costs and could live close to work, which saves on travel costs. https://lnkd.in/gManzNUH

"New York’s Social Housing Authority would still rely on the private sector. The authority would issue bonds for purchase by private investors, and companies would bid to do the construction. Nonprofit and for-profit developers would likely oversee the work. New York’s proposal would also build mixed-income housing, but it differs in a few key ways. Rents would be affordable to households making up to 165 percent of the area’s median income, and annual rent increases on affordable units would be capped at 2 percent. Critics say that would limit the market value of the bonds and potentially scare away investors." This framework has its gaps (e.g., potentially discouraging potential bondholders due to the lower yields), but it's encouraging in that it does at least show policymakers in Albany willing to consider some creative options with these public-private-partnership models.

A new platform, but not sure how this works commercially re so many externalities in Build to Rent models. Most density bonuses / overlays are approved by government, some states channel referrals to housing authorities that require an LMA between developer and authority. Holding a developer or investor to account for a Build to Rent model via a 30 year commitment, and then to be monitored via a third party platform is interesting. Does it remove a planner's or government role here? Also, it says for the platform to function NHFIC would commit to channelling money through a wider pool (private) of not-for-profit providers. Not sure how Community Housing Providers would feel about that? There is barely enough funding for a fraction of the unmet demand of 640,000 homes anyway. Also, to quote "It could create a new housing asset type that investors could buy through their self-managed super fund and then bequeath to a grandchild as an unencumbered dwelling when the affordability requirement expired at the end of the fixed term, which should be a minimum of 30 years". That's a very long time. Would love to hear other people's opinions... #buildtorent #affordablehousing

We’re thrilled to be partnering with Allivate Impact Capital & Amazon Equity Housing Fund to invest in Atrium Court, a socially & environmentally impactful project bringing 271 affordable apartments to Seattle's Othello neighborhood. This transit-oriented project is located just steps from the Othello Link Light Rail Station. Our #OpportunityZone investment, from an investment vehicle jointly sponsored and managed by Allivate Impact Capital and CEI-Boulos Capital Management, along with debt financing from the Amazon Housing Equity Fund ensures all apartments will be income-restricted for 99 years, accessible to individuals and families earning between 50% and 80% of the area median income. Housing Diversity Corporation is the lead construction developer for Atrium Court, along with developer partner Nitze-Stagen & Company, Inc..The project, located 7324 MLK Jr. Way in the vibrant multicultural Othello neighborhood, will begin construction later this month. Beyond housing, Atrium Court will foster community with thoughtfully designed retail spaces for locally-owned businesses, creating a vibrant hub for residents and neighbors alike. This project aligns perfectly with our mission of promoting equitable economic development, and we look forward to seeing its positive impact on the Othello community. Some key highlights to share: - 271 affordable apartments: Offering stability and opportunity for low- and moderate-income families. - Prime location: One block from the Othello Link Light Rail Station, increasing accessibility for residents. - Mixed-use development: Promoting pedestrian activity and a vibrant community atmosphere. - Long-term affordability: Income-restricted for 99 years, ensuring lasting affordability. Let's celebrate this step towards a more equitable and thriving Seattle!  #AffordableHousing #CommunityDevelopment #ImpactInvesting https://lnkd.in/gE9h6EW7  

Think about this. You spend years and hundreds of thousands of dollars to secure the approvals and permits necessary to build your affordable housing project, only to end up having to fight to keep those approvals AFTER construction started. All this does is to drive developers, lenders, and investors out of that market, compounding the city's affordable and workforce housing problems. From the piece: "We have projects that have been completed already. We didn’t sit back and wait for the court to say we were doing the right thing in order to do the right thing. We were doing what we were supposed to do." https://lnkd.in/dPckgzqS

The housing crisis in Cincinnati demands immediate attention, and developers have a powerful tool at their disposal—the Low-Income Housing Tax Credits (LIHTC) program. In the face of a 31,200-unit shortage, this program is a game-changer.   Why LIHTC Matters: ✅ Increased Affordable Housing: LIHTC opens doors to new, high-quality housing that's both desirable AND affordable. With rents capped at 30-80% of the area median income (AMI), it's a practical solution to address the housing shortage.   💼 Economic Growth: Affordable housing projects funded by LIHTC provide homes to those in need while stimulating the local economy. Job creation and development go hand in hand, fostering economic growth and attracting new commercial investments.   🌟 Strengthened Communities: By meeting residents' needs, developers contribute to the social fabric of neighborhoods. Strengthened communities become more desirable places to live, creating a positive impact on the overall quality of life. How LIHTC is Utilized:   Introduced in 1986 as part of the Tax Reform Act, LIHTC provides developers with the opportunity to apply for government-issued tax credits when building affordable housing, which can be sold to investors to offset the costs of development. Without this program, developers would struggle to recoup their investments in affordable housing. Leveraging LIHTC is a win-win. It offers financial incentives for developers while addressing the urgent need for more affordable housing, ultimately improving lives. Kingsley + Co. 🤝 Community:   At Kingsley + Co. our mission is clear: improving communities through thoughtful developments. Our use of LIHTC has already made a significant impact on housing in Cincinnati. By building high-quality, affordable units, we're actively bridging the housing gap. While proud of our past achievements in this space, we have exciting projects on the horizon, reinforcing our dedication to helping Cincinnati thrive.   Learn more about our mission at www.kingsleyandcompany.com