A New Paradigm for Housing in Greater Boston

1. A New Paradigm for Housing in Greater Boston Center for Urban and Regional Policy Northeastern University May 2000

2. The Housing Crisis • The affordability crisis: • The building and rehabilitation time and costs • Community resistance to new and rehabbed housing • The need to build a complete ladder of housing affordability

3. The Goal To increase the supply of housing in the Greater Boston region so that people at all income levels have access to well-located, reasonably priced homes.

4. The Levels of the Housing Issue Building What kinds of units are most appropriate for the Greater Boston context? State How can state entities provide the necessary incentives for affordable housing - as well as the wider range of housing types? MunicipalityWhat can cities and towns do to encourage housing production and rehabilitation? NeighborhoodHow can we make sure that new and rehabbed housing improves all neighborhoods? Region How can we encourage cities and towns in the metropolitan region to collaborate on short-, middle-, and long-range planning? Nation How can our state and municipal leaders provide leadership on funding and other important federal concerns? CommunityHow can we expand the capacity of communities agencies and organizations to develop new housing?

5. The issues to consider Factors of ProductionHow can we overcome Greater Boston’s high labor and land costs to provide new and rehabilitated housing at all rungs of the housing l;adder? FinancingHow can we create a steady stream of funding needed to make all kinds of housing a reality -- and how can we make sure that our resources are not lost to administrative costs? Community contextHow can we build and rehab housing that meets the highest standards for community development and overcomes resistance to new units? RegulationHow can we streamline zoning and regulatory requirements and simplify the funding process?

6. Building on assets, reinforcing current effortsGreater Boston already has the tools for a strong housing policy Strong leadership Innovative approaches to government CDC’s and other nonprofits New England town villages Boston’s legacy of three-deckers A clear mandate for change New models of regional collaboration Community-building resources

7. Housing for AllOur Changing Population... • Working Families • New Families • Elderly • Students • Young Couples • Singles

8. Level 1: Building What are our choices for development of housing? • Single Family Residences • Three Deckers • Larger Multiple Housing Units • Cooperative Housing

9. Barrier: Tried and true models of multifamily housing have disappeared from public policy Paradigm shift: Make three-deckers and other owner-occupied forms of multi-family structures the cornerstone of new community development At the building level . . . Three-deckers redux

10. Three Decker ReduxWhy Now? • Rapid growth in immigrant population • Importance of owner occupancy in multifamily dwellings • Affordability for owners & renters • Ideal for infill development • Fits Boston’s housing heritage • Provides foundation for urban villages

11. Three-Decker ReduxHere’s How to Do It • Zoning Changes -- Open all infill parcels to three-deckers • Changes in Regulation -- Provide logistical support • Changes in Financial Incentives -- Fannie Mae, MHFA, Freddie Mac • Recruitment of a new generation of owner-occupants

12. Level 2: Neighborhood • What strategies can we follow to gain neighborhood support for new housing of all types? • Stricter enforcement of “anti-snob zoning” ordinances • Financial incentives to spur low- and moderate-income housing in all communities • Carefully focused plans to provide new housing of all types at strategic nodes - especially transit centers - to produce traditional New England town villages

13. Barrier: NIMBYism Many communities resist construction of new housing because of: fears about the effect of density on quality of life greater public service costs Paradigm shift: Town Villages Reinvigorate Greater Boston’s legacy as a region of ‘town villages’: Foster a mix of uses within a half-mile radius of traditional town centers Create ‘overlay districts’ that consolidate planning and development in these areas Offer financial and permitting incentives to develop here At the neighborhood level . . .It takes a village

14. Town villagesWhy Now? • A strong imperative for developing population density that supports local merchants • A model of community development that fits into the tradition of New England villages • Changing demographics - growing elderly and youth populations - require locating a mix of activities and building types near each other • A growing need to encourage transit ridership

15. Town villagesHere’s How To Do It • Create a model ‘overlay district’ to spur clustering of residences and merchants, walkable streets, parks and civic structures • Provide bonuses to housing builders that locate near transit nodes • Offer relief from parking and other building strictures near transit stations

16. Level 3: Community • How can we expand the capacity of communities, agencies and organizations to develop new housing? • Focus on the benefits that new development can bring to a community • Collaboration between local housing providers, businesses, schools, civic groups, developers, and local officials • Resources for Communities that support development

17. Barrier: Many communities lack the capacity to promote housing development & there is limited support for new growth Paradigm shift: Create partnerships with CDC’s, businesses, and others with experience in housing development At the community level . . . Building capacity

18. Civic Capacity Why Now? • Proliferation of employment centers outside of central city • Need for revitalization of older communites • Build on expertise and experience of community housing providers • Smart Growth

19. Civic Capacity Here’s How to Do it • Create a resource guide that supports mixed-use, mixed income housing development with financial and technical assistance • Build coalitions between local government officials, developers, and citizens • Identify community resources for new housing development

20. Level 4: Municipality What can cities and towns do to encourage housing production and rehabilitation? • Changes in zoning and permitting processes that promote housing development at increased densities and for mixed-use in identified areas • Establishment of local housing Czars • Facilitation of land assembly through inventory, and tax relief • Expand housing opportunties for local residents so that individuals can live and work in the same community

21. Barrier: Housing development often entails extra costs for infrastructure and public services Paradigm shift: Communities want to build additional housing but need support. Provide additional state funds for infrastructure and public services to cities and towns that build new housing At the municipal level . . . Good neighbor bonus

22. Good neighbor bonusWhy now? • The current state surplus creates an opportunity to support housing development that will ultimately benefit the metropolitan region • Towns and cities should receive encouragement for providing housing for their residents (workers?) • There is widespread support from local governments for housing development when there are incentives and a clear policy direction • The economic benefits of planned, targeted residential growth are significant

23. The municipal bonusHere’s How to Do It • Support for Executive Order 418

24. Level 5: Region

25. Barrier: The region lacks clear goals for short-, middle-, and long-term housing construction and rehabilitation Paradigm shift: base housing and other state subsidies on the ability of community clusters to set - and meet - diverse housing goals At the regional level . . . Raising the bar

28. Levels 3 and 6:Municipality and state How can state entities provide the necessary incentives for affordable housing - as well as the wider range of housing types? (How fit in with 3-decker?) • Improve coordination of State and local departments responsible for development permits and building codes • Have local ZBAs adopt model local rules • Density Bonuses for multi-family developments • Inclusionary Zoning • Enforce Chapter 40B at neighborhood level

29. Barrier: Zoning and building regulations prevent (through what?) the construction of the full range of housing units Paradigm shift: Allow housing construction and adaptations that take advantage of our older housing stock, recognize character of community and preserve natural landscape At the municipal and state levels . . . Zoned Out

30. Zoning for SupplyWhy Now?

32. Level 5: Region

33. Barrier: The prevailing understanding of ‘metropolitan’ housing policy asks too much in a diverse region Paradigm shift: Encourage clusters of cities and towns to create ‘compacts’ to develop joint housing initiatives At the regional level . . .Community clusters

34. Community ClustersWhy now?

35. Community clustersHere’s how to do it

36. Level 6: State

37. Barrier: Funding of housing is unreliable, which is a major problem in a cyclical At the state level . . . Money when it matters

40. Level 7: Federal

41. Barrier: Funding for housing is fragmented into too many programs Paradigm shift: Create a single source system for funding housing Governor Cellucci, Mayor Menino, and others need to lead a national campaign for the return to single-source funding for affordable housing The state should lead the way with consolidation of its housing programs At the federal level . . . Funding Madness