As a refresher, these are the types of residential subdivisions that allow for a 50% reduction in lot size in exchange for setting aside additional open space. This subdivision type is attractive because it generally results in a product that comes at an affordable price point; exactly what the market is dictating be built. Ironically, this action by the City Council, to limit this type of subdivision, comes at a time when according to the City of Charlotte’s own data, is exactly what they need. Again, we know prices are up, interest rates are up, and AD&C loans are coming in at 13-15%. This just adds to the bad news for those attempting to create affordable housing.
But here’s more to consider. The language on page 4-16 (although there appears to be a typographical error but the intent seems relatively clear) goes further by disallowing the pairing of the benefits of higher densities of the conservation provision with those of the Voluntary Mixed Income provision. This action would likely shut the door on this type of development.
We also want to share that the effective elimination of this provision is one of three interrelated matters currently before council:
Bottom line? We will be very actively encouraging Members of Council to take action on these all at once as the loss of density under the first two provisions must be made up by the creation of the third to ensure any hope of meeting housing supply needs, allowing better subdivision types, and keeping the intent of the UDO intact.
Currently the vote on the Conservation Subdivision provision is scheduled for May 20th.
My take: First and foremost, I want to send a huge shout out and thank you to all of the HBAGC members and other folks from the industry that made it out to last night’s meeting. What a showing! You gave of your time, the most valuable asset you own, and I can’t tell you how much I appreciate it. Last night got a little weird though. There were twelve people signed up to speak on the amendment, four in support and eight in opposition. But as the hearing unfolded and we were waiting our turn to speak, the testimony took an odd turn. The majority of folks who turned out lived in the Extra Territorial Jurisdiction (ETJ) and were there to rail against the UDO in general, not the amendment in question. Several Members of Council tried to interject, but by the time order had been restored, our time was up. Joe Padilla from Smith Douglas Homes and I were left dazed and confused. Eventually voices of reason prevailed and the council suspended the rules in order to let Joe and I say our peace. By that point though, several Members of Council had already addressed several of the issues and made some of our points for us – which wasn’t a bad thing. Next steps will include following up with Members of Council to encourage an outcome that preserves the ability to develop and build attainable housing for current and future residents.
2. Member Spotlight Featuring Jon Morris, Senior Partner – Beacon Partners
We’re proud to feature Jon Morris with Beacon Partners as our April Member Spotlight. Here’s a peek at his bio:
“Jon’s energy and passion for life are contagious,” is the opening for Jon’s biography on the Beacon Partner’s website. It goes on to describe him as thorough, passionate, and determined. Once you know him well, this is a true reflection of what he stands for. His responsibilities with Beacon Partners include overseeing the leasing, acquisition, and development platform for their industrial business, which is primarily focused on the Carolinas. He is also tasked with following existing clients as they expand geographically.
His personal goal in relation to this industry when we asked him about the value of REBIC’s advocacy in driving the health of the Charlotte region is as follows: “We need to get the UDO to a spot where we grow our density, as a key component to creating affordable housing. If we cave to NIMBY-ism and limit demand by crimping the supply of residences (single family, townhomes, apartments or otherwise), we will drive up housing prices and further erode affordability [options]. We have learned that lesson from California, Seattle, Austin, Denver, and numerous other peer cities. Let’s employ that wisdom in our policymaking.”
Take the time to read his entire bio!
Rob Nanfelt
Executive Director, REBIC