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Seeds of a solution evident in housing crisis

Posted on July 29, 2010 by Staff

Anne Ehlers

The shadow of the housing crisis is still looming large over North Carolina. With next year’s foreclosure starts projected at above 70,000 and more than two million North Carolinians still lacking quality, affordable housing, the challenge seems insurmountable at times. But, while challenges test our collective spirit, they often inspire innovative and progressive solutions.

Witness the recent decisions of the state legislature to extend and expand our state’s Foreclosure Prevention Program, add greater protections for homeowners and homebuyers against predatory real estate practices and create a statewide Sustainable Communities Task Force to promote connections between affordable housing, transportation and economic development.

In the same fashion, local municipalities are finding that the time is ripe to address the issue of affordable housing and the concept of providing a range of affordable choices. In Raleigh, the city is revamping its development code and has put together a group of local experts and stakeholders to investigate ways to provide incentives for developing affordable and mixed-income housing. In Charlotte, after recent heated community battles over proposed affordable-housing developments, city leaders are working to rewrite the city’s “locational” policy that guides where assisted multifamily housing can be built.

While it is heartening to see affordable housing taking a higher profile in the public and political consciousness, there remains a great need for local leaders to be bold in their decision-making. It is not enough to create policies that dictate only the location for certain types of affordable housing, as with Charlotte’s locational policy. Leaders need to look at the issue of housing policy holistically and as part of a greater economic-development strategy. They need to create policies that promote the development of quality housing choices in areas where they are needed – near transit, jobs and in areas where little affordable housing is available or few safe, quality housing choices exist. Housing is inextricably connected with a community’s economic well-being, its public health, the welfare of its schools, its environmental impact and its overall social harmony.

There is little reason to avoid affordable-housing developments and every reason to support, encourage and invest in their growth. The days of unattractive, obvious developments are long gone. The issue of appearance is irrelevant as today’s affordable housing is thoughtfully designed to complement the existing community. Developers and property managers have set the highest standards for tenant screening and maintenance, and research shows these developments have little to no effect on surrounding home values. Residents of affordable housing include seniors living on social security, persons with disabilities, teachers, police officers, nursing assistants and young professionals just starting out.

Indeed, such developments have proven to be significant assets in community redevelopment. Investing millions of dollars in new, attractive and well-maintained developments entices other businesses and organizations to put down roots in the community as well. And, much like the domino effect, the community begins to thrive. When affordable housing is part of a comprehensive community-development strategy, it helps provide stability and economic opportunity for all.

For these and other reasons, policymakers should consider several strategies that stimulate development of affordable housing – especially in expensive, high-growth areas. One option is for counties to purchase additional land when buying space for new schools and then sell it to developers for affordable rental housing. Another option is to utilize a transit-oriented development strategy and require affordable housing to be built in proximity to transit stations. Finally, providing subsidies to assist in purchasing land in more expensive areas will help make financing more feasible.

The bottom line: All North Carolinians (regardless of status or income) deserve a safe, affordable place to lay their heads at night. Happily, well-developed, comprehensive locational policies ensure that affordable housing is an asset to its community, provides economic opportunity to its residents and gives people a choice about where they live. All that we lack is the political will to make this “win-win” solution reality on a large scale.

Anne Ehlers is the development and communications coordinator at the N.C. Housing Coalition.

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