SSC2011_Kate Little PPT

SSC2011_Kate Little PPT

• 1.
  Financing Affordable andWorkforce Housing in Location-Efficient Areas September 26, 2011 Northside BeltLine Trail, completed April 2010
• 2.
  Atlanta BeltLine Overview
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  WHAT IS THEATLANTA BELTLINE?Key ElementsTrails33 of Network TrailsParks1300 + new acresJobs & Economic Development30k jobsTransit 22-mile loopAffordable & Workforce Housing5,600 UnitsHistoric PreservationPublic Art &StreetscapesEnvironmental Clean-up 1100 + acres
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  BELTLINE FUNDINGAnticipated FundingSources
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  Capital CostsSource: TADRedevelopment Plan, Nov 2005
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  TAX ALLOCATION DISTRICTHowdoes the BeltLine TAD work?When the TAD was adopted in 2005, the City, County, and Public Schools agreed to forego tax revenue generated in the TAD at the time of adoption for the next 25 years.As new development happens because of the BeltLine, additional tax revenue is generated. This additional tax revenue helps pay for the BeltLine.After 25 years, the City, County and Public Schools receive all tax revenue, which is higher than it would have been without the BeltLine.Tax Revenue32120052030
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  Affordable Housing TrustFund
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  LEGISLATIVE FRAMEWORKCity Councilestablished the BeltLine Affordable Housing Advisory Board (“BAHAB”)
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  BeltLine TADauthorizing legislation requires 15% of net bond proceeds capitalize the BeltLine Affordable Housing Trust Fund (“BAHTF”)
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  5,600 unitgoal established by City Council
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  State TaxAllocation District restrictions: capital expenses within the Tax Allocation District (“TAD”)BAHAB GUIDING PRINCIPLESFacilitate housing near jobs for working families who are otherwise priced out of the in-town housing market
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  Serve asa catalyst for the revitalization of communities around the BeltLine
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  Help mitigateinvoluntary economic displacement
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  Other key principles:BAHTFPOLICY FRAMEWORK - OUTLINEMajor BAHTF components: Down payment assistance, Grants to develop & preserve affordable housing, and Funds for property acquisition for future affordable housing.
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  Affordability Target: AMIfor Rental and Owner Occupied
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  Location: Based onhousing need/market conditions, Near existing/planned transit, and Equitable distribution of units throughout the Beltline
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  Sustainability:Community Land Trust,and Specified periods of minimum affordability for rental and owner occupied units and longer occupancy requirements where subsidies are utilized.
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  Mitigate economic displacement:Possible tools include: Inclusionary zoning, CLTs, Preservation of existing subsidized housing, local/state Housing Trust Fund with dedicated funding, Educational Campaign, property tax reform, etc. Affordable Housing Trust Fund Financing 15% of TAD bond proceeds dedicated to the BeltLine Affordable Housing Trust Fund
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  Incentive gap financing(other developer equity and sources of financing needed)
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  Early application inthe process (fully funded financial plan not necessary)
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  More than justfinancial incentives
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  Master planning preparescommunities for land use and zoning densities
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  Parking requirement relief(in process)
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  Transit, parks, trailsTrustFund Status (As of 7/25/2011)
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  Affordable Housing TrustFund Financing Key Learning ChallengesCoordinating with other key resources – especially HOPE VI / Choice Neighborhoods and LIHTC;
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  Convincing Banks toprovide Mixed Income Housing Financing
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  Building housing inmore affluent areas of the TAD where little or no affordable housing currently exists
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  Facilitating long-term affordability
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  Mitigating displacement inareas outside of the TAD
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  Spending bond proceedsin a down marketA Solution to Long-Term Affordability:Community Land Trust(CLT)
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  CLT’s and theBeltLine: Atlanta Land Trust Collaborative (ALTC):A New Vision for CLTs in AtlantaALTC Goals: Create favorable climate for CLT development.
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  Nurtureformation of at least two neighborhood-based, resident-controlled CLTs within the next three years.
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  Performstewardshipfunctions of a CLT in neighborhoods where local capacity does not exist to carry out these functions.A Smart Way to DevelopExtends the impact of public investment.
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  Helps limit theimpacts of gentrification.
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  Deepens the opportunityfor community engagement.
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  Promotes neighborhood stabilitySolutionto Building Housing in Affluent Areas:Property Acquisition Strategy
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  Property Acquisition StrategyforAffordable HousingNeed:
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  Create affordable housingin the following locations:
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  higher land priceareas – especially in north and east Atlanta
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  near transit implementation
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  Must spend time-sensitivedollars before subsequent bond issuance; incentives intended to promote development, not as effective given current market conditions.
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  Take advantage offalling land costsProperty Acquisition Strategy for Affordable HousingLocation principles: Required:Near transit: within ¼ mile of BeltLine ROW or MARTA stationPreferred:Within historically strong markets to promote equitable distribution of affordable housing: block groups with median household incomes greater than 60% of AMI (in green).
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  Acquisitions allowed outsidegreen for (a) properties along a BeltLine segment for imminent transit implementation, or (b) mixed-income developments with a significant market rate component;
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  Acquisitions that donot displace residential tenantsAdditional Recommendations Consider taxable (vs. tax-exempt) bonds;
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  Establish inclusionary zoningor flexible zoning codes to permit higher densities that support affordable housing;
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  Focus on landbanking and property acquisitionQUESTIONS?Contact Info: http://www.livealongthebeltline.com/www.beltline.orgAtlanta Beltline Inc.: 404.614.8300