Denver Affordable Housing Thread (rent, hotels, new house)

[SQL]

Since this seems to be a hot button issue, I wanted to create a thread to discuss and post news regarding Denver's municipal government's efforts to make housing more affordable for lower and middle income citizens.

There seems to be a lot in the news lately, hence the idea for this thread.

Denver to developers: Want to build higher? Add more affordable housing – The Denver Post

new building heights plan adopted for the area near Denver’s new 38th and Blake transit station proposes that the city offer a deal to developers hungry to break ground in the burgeoning neighborhood: Include affordable housing, and the city would allow them to build higher — up to 16 stories.

The first-of-its-kind recommendation for a focused affordable housing incentive is part of the 38th & Blake Station Area Height Amendments, which the City Council approved 13-0 Monday night.

Denver council approves creation of city’s first affordable-housing fund – The Denver Post

An affordable housing proposal aimed at raising more than $150 million in the next decade from property taxes and new development impact fees prompted drawn-out debate in recent months.

But after drawing a counter-proposal and heavy doses of second-guessing, the measure won an easy victory Monday night.

[ponyupgrl]

Originally Posted by SQL

Denver council approves creation of city’s first affordable-housing fund – The Denver Post

What a load of yuck...

And business interests and some developers have opposed the new development impact fees, also called “linkage fees.” The one-time fees would range from $1,500 for a standard new house to six or even seven figures for large hotels and office buildings.

How genius - more fees for builders to pass on to buyers, making the cost of housing go up even more

[SQL]

Originally Posted by ponyupgrl

What a load of yuck...



How genius - more fees for builders to pass on to buyers, making the cost of housing go up even more

[Dreaming of Hawaii]

Originally Posted by ponyupgrl

What a load of yuck...

Please explain what bothers you about creating a fund for affordable housing. Looks to me like a win/win situation -- the city will approve certain development by having the developer pay into this fund. It's not coming out of taxpayers pockets.

[MN_Ski]

Its the concern that the developers will increase rents/cost in order to make up for these Fees.

So in the end, the median rent will just continue to grow, and developers will be more hesitant to build more inventory. We wouldn't have as many housing issues if the inventory matched the demand, making market rate more affordable.

[ponyupgrl]

Originally Posted by Dreaming of Hawaii

Please explain what bothers you about creating a fund for affordable housing. Looks to me like a win/win situation -- the city will approve certain development by having the developer pay into this fund. It's not coming out of taxpayers pockets.

Not true - if you read it, part of the plan is a property tax increase.

Also, the developers aren't going to just eat the cost. They'll just pass the increase onto whoever is buying the new properties. Which just increases housing costs. Which is what they're trying to avoid in the first place.

[jwiley]

Originally Posted by MN_Ski

Its the concern that the developers will increase rents/cost in order to make up for these Fees.

So in the end, the median rent will just continue to grow, and developers will be more hesitant to build more inventory. We wouldn't have as many housing issues if the inventory matched the demand, making market rate more affordable.

Rent going up have very little to do with cost and more to do with demand, if the cost gets high enough people stop coming here or people leave the cost of rent will go down, just like if the population boom continues it will continue to go up.

Depending on who you ask there are reasons to believe that it has already started to slow down, but it will take time to see when or if the rents come down.

[jwiley]

Originally Posted by ponyupgrl

Not true - if you read it, part of the plan is a property tax increase.

Also, the developers aren't going to just eat the cost. They'll just pass the increase onto whoever is buying the new properties. Which just increases housing costs. Which is what they're trying to avoid in the first place.

Developer cannot just decide to price their properties higher, there have to be comparables in the area to justify the price, and there have to be buyers willing to pay the higher prices. Now always easy unless the appraiser is getting kickbacks.

[Dirty-Mill]

Originally Posted by MN_Ski

Its the concern that the developers will increase rents/cost in order to make up for these Fees.

So in the end, the median rent will just continue to grow, and developers will be more hesitant to build more inventory. We wouldn't have as many housing issues if the inventory matched the demand, making market rate more affordable.

More government intervention seems to always lead to less affordable housing.

[wilberry]

they should build a development people can actually afford, mini homes , mini streets, mini , 7 elevens, mini schools and mini people .