[00:00:01]
ITEMS TICKET TO BEFORE WE DIVE INTO THE BULK OF TODAY'S MEETING, WHICH WILL BE A PRESENTATION AND DISCUSSION, UM, BUT THE VERY FIRST PART IS GONNA BE AS AN OFFICIAL TASK FORCE GOING THROUGH THE ROLL CALL, UH, OF NUMBERS, AND THEN APPROVING THE MINUTES FROM LAST WEEK'S MEETING.UH, I'LL START CALLING THE, GOING THROUGH THE ROLL CALL.
IF YOU'RE HERE, PLEASE STAY PRESENT.
AND THEN WHEN WE'RE DONE WITH THAT, I'LL ASK THE FOLKS WHO WEREN'T HERE LAST TIME, IF YOU COULD, UH, BRIEFLY INTRODUCE YOURSELF.
SO THERE'S A COUPLE TASK ENFORCE MEMBERS WHO THIS IS THEIR FIRST MEETING.
UH, JENNIFER RA, PRESENT CHIEF AND SABRINA WHEELER.
WILL IS HERE FOR BILL AND KATHLEEN EVANS PRESENT.
UH, JEAN HANNAH, I THINK I SAW ON ZOOM.
AND SUSAN SCHLESINGER ABSENT, I THINK.
OH, SUSAN ON THE KNEW I WAS HERE.
DID YOU NOT FOLLOW? I YOU GOODMAN? THERE YOU GO.
IS SUSAN ON THE ZOOM? SUSAN ASHA'S THERE.
UH, AND THEN THE FOLKS WHO WEREN'T HERE LAST TIME, UM, I WILL AND KISH WILL, DO YOU WANNA START, UH, ON TOP? YEP.
WE'LL GO, UH, WILL FIRST INTRODUCE YOURSELF.
UM, MY NAME IS WILL MCCARTHUR.
I'M THE DATA AND RESEARCH MANAGER AT THE EXECUTIVE OFFICE OF HOUSING
UM, STEPPING IN FOR FIELD, FIELD
UM, THANK YOU ALL FOR THE, THE FLEXIBILITY AND FOR INVITING EACH PART, THIS PROCESS.
GREAT TO SEE SOME FAMILIAR FACES AND EXCITED TO YOU.
I GANDHI, I'M A MEMBER OF THE HOUSING JUSTICE COALITION.
WE'VE BEEN THINKING ABOUT THIS OF HOUSING AND I'M REALLY EXCITED ABOUT THIS JUSTICE MOVING FORWARD.
UM, I'M ALSO A MASTER'S IN CITY PLANNING STUDENT, MIT, UM, AND, UH, PREVIOUSLY WORKED IN THE, UH, AS WE HAD A THESIS, UM, AND HAVE ON BACK TEAM.
I'M TOM EVANS, THE EXECUTIVE DIRECTOR OF THE CAMBRIDGE INVOLVEMENT AUTHORITY.
UM, BEEN INVOLVED IN, UH, HOUSING PROJECT BULLET IN KENDALL SQUARE.
AND THEN, UM, MORE RECENTLY, UH, SOME SITES UP ON NORTH MASS APP.
SO EXCITED TO SEE WHAT, UM, DIRECTION THIS GIVES US FOR OUR PROJECT.
SO NOW THERE'S MOVING FORWARD.
AND I DID SEE WE A REQUEST ONLINE TO SPEAK UP AND SPEAK MORE CLEARLY.
I THINK THE AUDIO'S A LITTLE TOUGH FOR THE FOLKS ON ZOOM.
WE'RE HOPE WE'RE LOOKING INTO OTHER OPTIONS FOR FUTURE MEETINGS, BUT FOR NOW, JUST TRY YOUR BEST TO SPEAK LOUD.
ANY OTHER MEMBERS WHO WEREN'T HERE LAST MEETING? EVAN, I KNOW YOU'RE A MEMBER.
WE HERE FOR THE LAST MEETING, SO YOU WANNA INTRODUCE YOURSELF LY YEAH.
I'M THE LEGISLATIVE AID TO MAYOR ENSEMBLE SKI KEEP, UM, GREAT WELCOME.
UH, I'M GONNA PASS IT TO COUNCILOR ZERBE FOR, UH, THE REVIEW OF THE MINUTES FROM THE LAST MEETING.
UH, AND I ALSO JUST WANNA APPRECIATE THAT OUR, WE'VE GOT, UH, COMMUNITY MEMBERS ALSO JOINING US, SO THANK YOU FOR BEING HERE AND TO THOSE ONLINE.
UH, SO WE'RE GONNA DO APPROVAL OF PREVIOUS MEETING MINUTES, SO YOU SHOULD HAVE GOTTEN A COPY VIA EMAIL BEFORE THE MEETING.
WHAT WE'RE GONNA DO IS, UNLESS THERE IS A MOTION TO AMEND ON THE FLOOR RIGHT NOW, WE'RE GONNA GO AHEAD AND MOVE A ROLL CALL VOTE ON ADOPTION OF THE MINUTES.
I HAVE A QUESTION SINCE I DON'T HAVE AVAILABILITY RIGHT NOW ON THE HERE, UH, COULD I FIND THAT UP ON, UM, MINE, UNDER THE CITY COUNCIL STUFF FOR ANYONE? SO THEY WILL BE, THEY WILL BE POSTED AFTER APPROVAL.
WE ALSO SEND THEM OUT IN ADVANCE BY EMAIL JUST SO THAT YOU GUYS HAVE
YEAH, I JUST DON'T HAVE AVAILABILITY TO A COMPUTER RIGHT NOW, COURTESY OF HRI FOR RIGHT NOW.
THERE IS A COPYRIGHT IN FRONT OF YOU.
DO WE NEED A ROLL
UNLESS THERE'S A MOTION TO AMEND.
UH, SARAH, WHAT? GO AHEAD AND MOVE THE ROLL CALL.
[00:05:02]
HERE.UM, THE NEXT, WE'RE JUST GONNA BRIEFLY GO OVER THE, UH, GROUP AGREEMENTS AND TASK FORCE PURPOSE.
IF WE COULD GO ONTO THE NEXT SLIDE.
THESE ARE ALSO ALL IN THE, UH, BACKUPS.
YOU HAVE, UM, GROUP AGREEMENTS, UH, OVER LAST TIME BRIEFLY.
ONE, ONE MIC PLEASE WON'T SPEAK.
STEP UP, STEP BACK AND FIND YOURSELF SPEAKING A LOT.
UH, TRY TO LET OTHER FOLKS SPEAK IF YOU'RE, YOU'RE NOT, TRY TO, UH, SPEAK UP.
TRY TO BE AS PRESENT AND RESPECTFUL AS YOU CAN.
UH, WORKING IS MORE IMPORTANT THAN, THAN BEING ALWAYS RIGHT.
UH, WE'RE TRYING TO ASSUME BEST INTENT, UH, OF YOURSELF.
LIVE KNOWLEDGE, TECHNICAL LAW, KNOWLEDGE, HISTORICAL KNOWLEDGE IS ALL IMPORTANT, IS ALL VALID.
AND HONOR EACH OTHER'S TIME BY, UM, TRYING TO BE CONCISE AND ON TOPIC.
UH, AND THEN PUT ON THE NEXT SLIDE JUST TO REVIEW THE TASK FORCE PURPOSE.
UM, WE, FOLKS, WE WERE HERE LAST TIME, WE HAVE UP ON THE SCREEN, UM, TO, UH, ON OUR SOCIAL HOUSING GOALS.
AND SAY FOR TODAY'S MEETING IN PARTICULAR, WE'RE GONNA, THIS THAT LAST PAUSE IN TERMS OF THINKING ABOUT ALIGNMENT WITH THE CITY'S HOUSING GOALS AND WHAT ARE THE OTHER CITY'S, UH, AFFORDABLE HOUSING PROGRAMS, HOW DO THEY FIT INTO THIS FRAMEWORK AROUND SOCIAL HOUSING? WHAT NICHE DOES SOCIAL HOUSING, UH, WELL, WHAT DOES SOCIAL HOUSING PROGRAMS SERVE THAT ISN'T ALREADY BEING SERVED BY OTHER AFFORDABLE HOUSING PROGRAMS? AND WHAT IS THE NEED IN CAMBRIDGE? AND WHAT WOULD SOCIAL HOUSING, FAST FORWARD SOCIAL HOUSING PROGRAMS SERVE IS ESPECIALLY GONNA BE THE, THE PART OF THIS PURPOSE THAT WE'RE FOCUSING ON TODAY.
UM, AND WITH THAT, WE'LL BEGIN MOVE ON TO THE, THE NEXT PART OF THE AGENDA, WHICH WAS, UH, UPDATES AND REFLECTIONS FROM, UH, THE LAST MEETING.
UH, AND FOR THAT, I'M GONNA TURN IT OVER TO CLAUDIA AIKEN, WHO'S, UH, JOINING US VIA ZOOM AND FAIA, DO YOU JUST WANNA GIVE A BIG BRIEF INTRO AGAIN WITH YOURSELF FOR THE FOLKS WHO AREN'T HERE? AND THEN YOU COULD DIVE INTO THE, THE REFLECTIONS FROM THE LAST MEETING.
CAN YOU ALL HEAR ME OKAY? YEP.
FOR FOLKS WHO WEREN'T HERE LAST TIME, I'M CLAUDIA AIKEN.
I AM DIRECTOR OF NEW RESEARCH PARTNERSHIPS AT THE HOUSING SOLUTIONS LAB, WHICH IS BASED AT THE NYU FURMAN CENTER.
AND WE ARE PROVIDING SOME RESEARCH AND ADVISORY SUPPORT TO THE TASK FORCE AS YOU ALL MEET.
SO TODAY I'M JUST GONNA BE BRIEFLY SHARING SOME RESPONSES THAT YOU ALL GAVE IN A REFLECTION KIND OF FORM THAT WE ASKED YOU TO FILL OUT.
UM, SO I WILL BE PRETTY BRIEF AND THEN THERE WILL BE, UM, A LITTLE TIME, UH, TO TO HEAR YOUR FEEDBACK TOO ON, ON THIS PORTION.
UM, IN THAT GOOGLE FORM, UH, WE ASKED ABOUT YOUR DEFINITION OF SOCIAL HOUSING AND IN PARTICULAR, HOW KIND OF THE, UM, PILLARS THAT I INTRODUCED LAST TIME RESONATED WITH YOU.
UH, WE ASKED ABOUT THE MODELS YOU'RE MOST INTERESTED IN LEARNING MORE ABOUT.
WE ASKED ABOUT THE BENEFITS AND RISKS IN YOUR EYES OF SOCIAL HOUSING BROADLY AND ALSO SPECIFIC TO THE CAMBRIDGE CONTEXT.
AND THEN FINALLY WE ALSO ASKED, UM, WHETHER YOU HAD TAKEAWAYS FROM INTERNATIONAL MODELS THAT MIGHT BE RELEVANT IN THE US DESPITE OUR VERY DIFFERENT KIND OF, UM, HOUSING ECOSYSTEM.
SO ON THE DEFINITIONS QUESTION, WE HEARD FROM YOU THAT SOCIAL HOUSING IS PUBLIC, WHETHER THAT MEANS PUBLICLY FINANCED OR PUBLICLY OWNED OR CONTROLLED.
UM, ONE PERSON SAID IT IS SELF-SUSTAINING SO IT GENERATES ENOUGH INCOME TO SUPPORT ITSELF AND IDEALLY MORE PRODUCTION AS WELL.
UM, MULTIPLE FOLKS MENTIONED IT IS MIXED INCOME.
SO THERE IS SOME SOCIOECONOMIC INTEGRATION THAT IS HAPPENING POTENTIALLY BECAUSE THERE ARE BROAD ELIGIBILITY CRITERIA IN SOCIAL HOUSING.
WE HEARD THAT IT'S DE COMMODIFIED.
[00:10:01]
SO THERE IS REDUCED EXPOSURE TO THE SPECULATION THAT HAPPENS IN THE PRIVATE MARKET AND CAN DRIVE UP HOUSING COSTS.UM, AND THERE ARE PERMANENT OR LONG-TERM AFFORDABILITY RESTRICTIONS.
A COUPLE FOLKS MENTIONED THAT SOCIAL HOUSING SHOULD BE HIGH QUALITY, IT SHOULD BE WELL-BUILT.
UM, AND SOMEONE MENTIONED THAT PART OF THAT IS HAVING RESIDENT SUPPORTS AND WE ALSO HEARD THAT IT'S DEMOCRATIC, SO THERE'S GREATER RESIDENT PARTICIPATION AND DECISION MAKING POTENTIALLY.
UM, THERE'S ALSO PUBLIC ACCOUNTABILITY.
WE HEARD FROM YOU THAT YOU'RE MOST INTERESTED IN LEARNING MORE ABOUT MIXED INCOME MODELS.
THAT WAS DEFINITELY THE MOST FREQUENT RESPONSE.
UM, HOUSING AUTHORITY LED MODELS.
SOMEONE MENTIONED COOPERATIVE AND OR FULLY TENANT GOVERNED HOUSING.
UH, A COUPLE FOLKS MENTIONED BEING INTERESTED IN ACQUISITION BASED MODELS.
SO NOT NECESSARILY BUILDING NEW HOUSING, BUT ACQUIRING EXISTING HOUSING AND CONVERTING IT TO SOCIAL HOUSING.
UM, ALSO INTERVENING IN MARKET RATE PROJECTS THAT HAVE STALLED BECAUSE OF LACK OF FINANCING OR WHATEVER REASON.
AND THEN ONE PERSON ALSO MENTIONED BEING INTERESTED IN QUASI-PUBLIC CDA PARTNERSHIPS AND I WOULD LOVE TO HEAR MORE ABOUT THAT.
SO, UM, FOLKS SAW POTENTIAL BENEFITS OF SOCIAL HOUSING, UM, AS THEY DEFINED IT.
ONE BEING JUST MORE SUPPLY, MORE HOUSING AND POTENTIALLY ALSO FILLING A DEFICIT FOR MODERATE INCOME HOUSEHOLDS.
UM, LOTS OF FOLKS MENTIONED AFFORDABILITY.
UM, POTENTIALLY REDUCED OUT MIGRATION OF MODERATE INCOME HOUSEHOLDS FROM CAMBRIDGE.
AND ALSO IF A CERTAIN SCALE WAS ACHIEVED, POTENTIALLY EVEN DOWNWARD PRESSURE ON RENTS MARKET WIDE.
UM, SOCIOECONOMIC INTEGRATION WAS MENTIONED AS A BENEFIT, GREATER DIVERSITY AT THE PROJECT LEVEL, BUT ALSO IN CAMBRIDGE AS A WHOLE PUBLIC BUY-IN.
SO FOLKS THOUGHT THAT POTENTIALLY, UM, SOCIAL HOUSING WOULD GENERATE THIS GREATER PUBLIC SUPPORT FOR PUBLIC HOUSING, UM, AND ALSO POTENTIALLY REDUCE STIGMA AS COMPARED TO PUBLIC HOUSING AS IT EXISTS NOW.
UM, SEVERAL FOLKS TALKED ABOUT FINANCIAL SUSTAINABILITY.
UM, SO THE FACT THAT SOCIAL HOUSING COULD BE A COUNTERCYCLICAL KIND OF INVESTMENT, UM, THAT IT COULD BE SELF-SUPPORTING OR EVEN REVENUE GENERATING POTENTIALLY.
AND ALSO, UH, POTENTIALLY REDUCE THE COSTS OF HAVING TO RECAPITALIZE DOWN THE LINE.
AND THEN FINALLY, UM, EMPOWERMENT.
SO THE IDEA THAT RESIDENTS, IF THEY HAVE GREATER CONTROL OVER THEIR HOUSING, THEY WILL BE EMPOWERED, HAVE MORE AGENCY, AND SO ON.
UM, LOTS OF RISKS AS WELL THAT WE HEARD ABOUT.
A BIG ONE WAS POTENTIALLY A FAILURE TO SERVE THE LOWEST INCOME RESIDENTS.
SO FOLKS THAT MAYBE SOCIAL HOUSING WOULD NOT, UM, SERVE THIS GROUP AND THAT IT COULD ALSO KIND OF CANNIBALIZE FUNDING THAT CURRENTLY GOES TOWARDS HOUSING PROJECTS FOR THE LOWEST INCOME.
UM, RESPONDENTS ALSO HIGHLIGHTED DEVELOPMENT RISKS.
SO IF YOU'RE DOING PUBLIC DEVELOPMENT, YOU OF COURSE BEAR THE RISKS OF A PRIVATE DEVELOPER.
UM, BUT AT THE SAME TIME, YOU MIGHT BE HANDICAPPED BY ADDITIONAL REQUIREMENTS AROUND PROCUREMENT AND, UM, WAGES, UH, THAT MIGHT MAKE IT EVEN RISKIER.
UM, THERE'S MAINTENANCE RISKS AS WELL.
SO THE RISK OF NOT COMMITTING OR EVEN HAVING SUFFICIENT FUNDS, UM, TO DO MAINTENANCE AND, UH, REHAB DOWN THE LINE.
UM, FOLKS MENTIONED THE RISK OF DISPUTE OR DISAGREEMENT.
SO IF, UM, THERE IS RESIDENT GOVERNANCE, MAYBE THOSE RESIDENTS CAN'T COME TO A CONSENSUS AND THAT MIGHT HAVE CONSEQUENCES OR RESIDENTS COULD RESIST RENT INCREASES AND THAT COULD LEAD TO FINANCIAL RISK.
UM, AND THEN ONE PERSON ALSO MENTIONED EROSION OF PUBLIC SUPPORT POTENTIALLY.
SO IF EARLY PROJECTS DON'T GO WELL, MAYBE THAT COULD LEAD TO PUBLIC SKEPTICISM OR CYNICISM.
AND THEN SPECIFIC TO CAMBRIDGE, UM, SOME BENEFITS ARE THAT YOU GUYS HAVE AGENCIES THAT ARE VERY HIGH CAPACITY AND HAVE ALREADY USEFUL POWERS AND EXPERTISE, UM, THAT MIGHT SUPPORT SOCIAL HOUSING, UH, AS WELL AS SOME STRONG NONPROFIT DEVELOPERS.
AND AS WE'LL HEAR ABOUT, UM, A REALLY STRONG COMMITMENT TO HOUSING AFFORDABILITY AT THE CITY LEVEL.
SOME DRAWBACKS ARE THAT IT'S JUST A VERY EXPENSIVE PLACE TO BUILD, BOTH IN TERMS OF LAND COSTS, UM, BUT ALSO PROPERTY TAXES AND CONSTRUCTION COSTS.
[00:15:01]
PUBLIC CONSTRUCTION IS EVEN MORE EXPENSIVE BECAUSE OF THE STATE REGULATORY ENVIRONMENT.UM, THERE'S ALSO THIS NIMBYISM OPPOSITION TO DEVELOPMENT, UM, THAT A SOCIAL HOUSING DEVELOPER WOULD ALSO FACE POTENTIALLY.
UM, AND THEN ONE PERSON MENTIONED THAT IN THEIR EXPERIENCE, MARKET RATE UNITS IN SOME OF THE OLDER MIXED INCOME BUILDINGS, THEY HAVE HAVE BEEN MORE VULNERABLE TO MARKET UPS AND DOWNS.
UM, AND THAT MIGHT SIGNAL A LACK OF DEMAND, BUT MAYBE SOME MORE EXPLORATION NEEDED THERE.
AND THEN FINALLY, UM, SOME TAKEAWAYS.
YOU ALL FLAGGED FROM INTERNATIONAL MODELS, UM, ONE BEING AROUND RED TAPE.
UM, SO FOLKS THOUGHT THAT INTERNATIONAL MODELS MIGHT HAVE SUCCEEDED IN REDUCING SOME OF THE COMPLIANCE BURDENS THAT PUBLIC DEVELOPERS BEAR.
UM, AND SO WE'RE ABLE TO STREAMLINE IN A WAY THAT MAYBE THE US HAS NOT BEEN ABLE TO DO.
UM, SOCIAL INTEGRATION AS BEING A KEY TAKEAWAY FROM SOCIAL HOUSING SYSTEMS ABROAD.
UM, AT THE SAME TIME, YOU KNOW, NOT ESCAPING MAYBE THOSE MAINTENANCE RISKS.
UM, AND THAT CAUSING, UM, PROBLEMS POTENTIALLY, UM, COST RENTS.
SO THE IDEA THAT RENTS SHOULD COVER, UM, THE DEVELOPMENT AND ACTUAL OPERATING COSTS, UM, OF SOCIAL HOUSING.
SOMEONE SAID, JUST DON'T BE AFRAID OF IT.
AND SO I JUST WANNA CLOSE ON FOR ME THIS HIGHLIGHTED SOME KEY MAYBE TENSIONS AND DECISION POINTS THAT THIS TASK FORCE WILL HAVE TO KIND OF GRAPPLE WITH.
UM, ONE BEING THIS DECISION POINT BETWEEN ACQUISITION VERSUS NEW CONSTRUCTION.
ANOTHER, UM, MIXED INCOME WHERE YOU KIND OF CURATE THE INCOME TIERS, UM, VERSUS TRYING TO ACHIEVE INCOME MIXING BY SETTING BROAD ELIGIBILITY CRITERIA.
UM, ALSO LIKE WHO IS DOING THE DEVELOPMENT? ARE YOU HARNESSING AN EXISTING ENTITY OR SET OF ENTITIES OR CREATING SOMETHING NEW FROM SCRATCH? UM, THIS VERY IMPORTANT POTENTIAL TRADE OFF BETWEEN USING LIMITED RESOURCES TO SERVE THOSE WHO HAVE THE GREATEST AND DEEPEST NEEDS VERSUS USING PUBLIC RESOURCES TO, UM, FILL THIS GAP, UM, THAT MAY BE HAPPENING AT MODERATE OR MIDDLE INCOMES.
UM, OR, YOU KNOW, USING PUBLIC RESOURCES FOR CROSS SUBSIDIZATION.
AND THEN FINALLY, JUST HOW MUCH RISK TO TAKE ON IN THE PUBLIC SECTOR.
UM, YOU COULD ASSUME ALL THE RISK OF A DEVELOPER OR THERE MIGHT BE WAYS TO PARTNER WITH PRIVATE OR NONPROFIT DEVELOPERS AS WELL.
AND SO I WANNA END THERE, BUT WOULD JUST LOVE ANY THOUGHTS ON WHAT OTHER TENSIONS OR TRADE-OFFS MIGHT BE MISSING FROM THIS LIST, BECAUSE I THINK WE WILL BE GETTING INTO THOSE, UM, IN FUTURE SESSIONS VERY SOON.
I THINK IT'S ESSENTIAL BECAUSE IT HASN'T REALLY BEEN DONE IN THE PAST AND, UH, UH, DONE A LOT OF WORK IN BOTH BOSTON AND CAMBRIDGE, THAT WE VET THE DEVELOPERS THAT WE USE AND THAT WE CONNECT WITH, THAT WE LOOK AT THEIR TRACK RECORD, THAT WE LOOK AT HOW THEY'VE MAINTAINED AND ESTABLISHED BUILDINGS, UM, HOW THEY'VE TREATED TENANTS OR HOW THEY'VE TREATED PEOPLE WHO HAVE BOUGHT INTO THEIR CONDO SITUATIONS.
THERE IS NOT ENOUGH OF THAT THAT HAPPENS.
WELL, THANK, THANK YOU SO MUCH FOR THIS SUMMARY.
I THINK IT A REALLY INTERESTING SET OF INTENTIONS THAT WE'LL BE NAVIGATING.
I'LL JUST SAY MAYBE TWO QUICK POINTS THAT ARE COMING UP FOR ME WHEN I REVIEW THIS.
ONE IS I'M NOT SURE ALL OF THESE ARE, YOU KNOW, EITHER ORBS ON THEM OR BOTH.
AND, UM, SO SOME OF THESE MIGHT VARY BY PROJECT AND GOALS OR PARTICULAR PROJECTS.
SOME OF THESE MIGHT VARY, UM, BY TIMESCALE LIKE THE EXISTING ENTITIES, WHICH IS CREATING NEW, SOME OF THESE ALSO THE COST RENTS, WHICH IS A, A BIG, YOU KNOW, SEA CHANGE IN HOW WE TREAT RENTS.
THE OTHER THING I JUST WANT THE TENSION I WOULD WANNA HIGHLIGHT ON MIGHT TELL ME THIS ON THIS SLIDE IS RENTAL FROM OWNERSHIP.
AND I, I WOULD JUST HIGHLIGHT, ENCOURAGE US TO FOCUS ON RENTAL EARLY ON.
I, I I THINK THAT, UM, THE UNIVERSE OF TYPES OF PROJECTS WE CAN TALK ABOUT IS SO BROAD THAT I DO THINK THE MIXED INCOME MODELS THAT WE'RE MOST INTERESTED IN ARE MOST LIKELY RENTAL MODELS.
AND I THINK THAT WOULD HELP NARROW OUR FOCUS WHEN WE TALK ABOUT EACH OF THESE INDIVIDUAL QUESTIONS.
UM, BUT I DON'T SEE THAT THE DECISION POINTS HERE.
UM, SUSAN HAS HER HAND RAISED ON THE ZOOM, SUSAN, ANOTHER TENSION, I DON'T KNOW WHETHER IT'S A TENSION, BUT ANOTHER FACTOR THAT I THINK ABOUT
[00:20:01]
IS WE'RE USED TO WITH, UM, PRODUCING LOW MODERATE INCOME HOUSING TO TRY TO LEVERAGE, UM, OTHER SOURCES OF INCOME STATE AND FEDERAL MONEY, WHICH HELPS REDUCE THE AMOUNT OF MONEY THE CITY PUTS INTO THE HOUSING AND THE THEREFORE ALLOWS US TO CREATE MORE HOUSING.AND I THINK THAT MAY BE A TENSION, UM, WITH THE SOCIAL MODEL, SOCIAL HOUSING MODEL, UNLESS IT'S, UH, THERE'S A LOT MORE CLARITY ABOUT WHAT THE STATE CONTRIBUTION IN REALITY MIGHT BE.
YOU KNOW, ONE THING THAT DIDN'T COME OUT FROM THE QUESTIONS OR SOME OF THE OTHER ELEMENTS OF SOCIAL HOUSING SUCH AS GREEN SOCIAL HOUSING, FAIR LABOR PRACTICES, UM, NEIGHBORHOOD INTEGRATIONS.
I, I THINK THOSE ARE ALSO IMPORTANT ELEMENTS THAT ALSO RAISE CERTAIN TENSIONS POTENTIALLY WITH THE DEGREE OF AFFORDABILITY THAT CAN BE ACHIEVED.
UM, AND SO I THINK THERE'S, WE, WE HAVEN'T YET GOT INTO THOSE OTHER GOALS OF SOCIAL HOUSING, BUT THEY'RE, THEY'RE ALSO THERE AND MAY MAY REPRESENT SOME INTENTIONS.
WELL, THAT WAS A GREAT, UH, INTRO TO OUR DISCUSSION TODAY, WHICH IS SORT OF THINKING ABOUT THE NICHE THAT THAT SOCIAL HOUSING WOULD LIKE COMPARED TO SOME OF THE CITY'S OTHER PROGRAMS. AND, AND TO THAT I THINK TURNED IT OVER WELL, JEN.
YEAH, THANK YOU AND THANKS CLAUDIA.
UH, WE CAN GO TO THE NEXT SLIDE.
SO WE'RE GONNA TALK ABOUT OUR EXISTING HOUSING STRATEGIES, UH, TODAY.
WE HAVE A LOT OF INFORMATION TO SHARE.
UH, WE'RE GONNA TRY AND GET THROUGH IT, UH, YOU KNOW, EFFICIENTLY AS WE CAN AND BUILDING IN TIME FOR DISCUSSION.
BUT THIS IS REALLY MEANT TO SET US UP FOR A MUCH LARGER DISCUSSION NEXT TIME, UH, ABOUT WHERE WE WANT TO FOCUS, BUT MAKING SURE WE'RE ALL WORKING FROM SORT OF THE SAME, UM, BASELINE OF INFORMATION.
SO GONNA START JUST GOING THROUGH SOME OVERALL CONTEXT FOR CAMBRIDGE FIRST, UH, VIA THE NEXT ONE.
SO WE LOOKED AT, UM, A NUMBER OF DEMOGRAPHICS AND SORT OF THE TOP LINE TAKEAWAY, WHICH NONE OF THIS SHOULD COME AS A SURPRISE IS THAT CAMBRIDGE IS MOSTLY RENTER OCCUPIED, UM, AND IS AN INCOME DIVERSE COMMUNITY AND HOUSING COSTS ARE HIGH, UH, ACROSS THE BOARD.
WE ALSO SEE THE MOST COST BURDEN FOR THOSE HOUSEHOLDS THAT ARE BELOW 80% OF THE HOUSEHOLD AREA, MEDIAN FAMILY INCOME.
UH, SO WE'LL GO INTO A LITTLE BIT MORE DETAIL ABOUT DEMOGRAPHIC BEFORE WE GET INTO SOME OF OUR PROGRAMS AND STRATEGIES.
SO LIKE I SAID, MOSTLY RENTERS WERE TWO, ABOUT TWO THIRDS, UM, RENTER OCCUPIED VERSUS OWNER OCCUPIED.
UM, AND ACROSS THE POPULATION ABOUT 122,000 AND HAVE ABOUT 55,000 HOUSING UNITS
UM, IT'S ALSO EVEN EVEN'S ALSO FAIRLY INCOME DIVERSE.
SO WHAT YOU'RE LOOKING AT HERE ARE SORT OF, UM, EACH FOUR YEAR PERIODS LOOKING AT THE BREAKDOWN OF, UM, PEOPLE INTO THE DIFFERENT INCOME BRACKETS.
SO THE DARKER THE BLUE, THE LOWER THE INCOME BRACKETS.
SO THE DARKEST BLUE ON THE LEFT IS THE BELOW 30% OF THE HOUSEHOLD AREA MEETING FAMILY INCOMES.
AND THE LIGHT BLUE IS GONNA BE, THE LIGHTEST WAS GONNA BE OVER 120%.
UM, YOU'LL SEE THIS GOES FROM 2008 TO 2022.
UM, NOT DRAMATIC CHANGES BETWEEN THEM.
YOU KNOW, A BIT OF AN INCREASE IN THAT SORT OF MIDDLE 50 TO 80% AND A LITTLE BIT OF A DECREASE, UM, IN THAT UPPER.
UM, THE NEXT ONE, AND YOU'LL SEE HERE, UM, ALSO COME AS NO SURPRISE MEETING RENTS CONTINUE TO INCREASE.
UH, THERE, UH, IN THIS SORT OF SNAPSHOT IN TIME IN 2025 ASKING RENTS WERE BETWEEN $2,700 A MONTH FOR A ONE BEDROOM UP TO $3,600 FOR A THREE BEDROOM.
UM, AND THE NEXT ONE YOU'LL SEE, UM, HOME SALE PRICES HAVE ALSO INCREASED SOME MORE DRAMATICALLY THAN OTHERS.
SO THE GREEN LINE ARE THE CONDOS, WHICH IS THE LEAST EXPENSIVE HOUSING OPTION FOR HOME OWNERSHIP.
UH, YOU SEE THE DARKEST BLUE IS A SINGLE FAMILY HOME, WHICH IS THE MOST, MOST EXPENSIVE AND HAS ALSO SEEN, SO THAT MOST DRAMATIC, UM, INCREASE.
MOST RECENTLY THOSE PERCENTAGE INCREASES ARE LIKE AVERAGE ANNUALIZED INCREASES OR WHAT, WHAT ARE THE INCREASES? SO THIS IS, UM, THESE ARE MEDIAN SALES PRICES FROM I THINK A POINT IN TIME EACH OF THESE YEARS AND THEY ARE
[00:25:01]
NOT ADJUSTED FOR INFLATION.AND THEN WE LOOKED AT THE YEAR OVER YEAR GROWTH INCREASE YEAR OVER YEAR.
UM, SO WE WANNA GO TO THE NEXT SLIDE.
SO ALSO ONE THIRD OF HOUSEHOLDS IN CAMBRIDGE ARE CONSIDERED COST BURDEN.
SO THAT MEANS THEY'RE PAYING MORE THAN 30% OF THEIR INCOME FOR HOUSING.
AND AS YOU SEE ON THE RIGHT THERE, THAT BURDEN IS SORT OF DISPROPORTIONATELY, UM, FELT AMONGST THOSE WHO ARE BELOW 80%, UM, A MI, BUT EVEN REALLY BELOW A HUNDRED PERCENT A MI.
UM, SO IN THOSE BELOW 80%, YOU'VE GOT TWO THIRDS OR MORE ROUGHLY OF THE HOUSEHOLDS IN THOSE BRACKETS ARE COST, HOUSING COST BURDEN.
AND IF YOU GO TO THE NEXT SLIDE, UM, AFFORDABLE HOUSING IS ALSO TYPICALLY THE TOP ISSUE FOR PEOPLE IN CAMBRIDGE.
SO IN THE ANNUAL RESIDENT SURVEY, UM, THIS, YOU KNOW, YEAR OVER YEAR, UM, AFFORDABLE HOUSING IS, IS RANKED AS SORT OF THE TOP, UM, CONCERN FOR MOST PEOPLE AND AS MOST RECENTLY AS 20 25, 40 6%, UM, OF PEOPLE ANSWERING THE SURVEY STATE AFFORDABLE HOUSING TO SERVE THEIR COP FOR THE CITY TO WORK.
AND LIKEWISE, THE CITY ALSO HAS PRIORITIZED FUNDING FOR AFFORDABLE HOUSING.
SO SINCE, UM, FISCAL YEAR 24, IF AN OVER $40 MILLION A YEAR HAVE GONE TO HOUSING, UM, A LITTLE OVER HALF OF THAT COMING DIRECTLY FROM CITY FUNDS, FROM THE BUDGET AND THE REMAINDER COMING, UM, FROM A CPA.
AND THE COMMITMENT IS REALLY TO TRY AND HELP PRESERVE SOCIOECONOMIC DIVERSITY, UM, AS MUCH AS WE CAN PREVENT OR REVERSE DISPLACEMENT, MAINTAIN FAMILY HOUSEHOLDS AND, UM, PROTECT THOSE VULNERABLE RESIDENTS, UM, INCLUDING THOSE AT RISK OF HOMELESSNESS.
AND THE NEXT SLIDE, UM, YOU KNOW, ALL OF THIS LEADS TO A REALLY MULTIFACETED APPROACH TO ADDRESSING HOUSING NEED.
SO THE CITY DOES THIS BY SUBSIDIZING THE CREATION OF NEW AFFORDABLE HOUSING.
UM, SUBSIDIZING, PRESERVING EXISTING AFFORDABLE HOUSING.
AND WE'LL GO INTO MORE DETAIL ON SOME OF THOSE STRATEGIES IN A MOMENT.
UH, SUPPORTING RESIDENTS WITH BROAD HOUSING, UM, POLICIES AND PROGRAMS, ADOPTING ZONING TO THE SUPPORT AFFORDABLE HOUSING GOALS OR HOUSING IN GENERAL AND LEVERAGING CITY OWNED PROPERTIES FOR HOUSING.
AND, UH, A BIG PART OF THIS IS THE AFFORDABLE HOUSING TRUST, WHICH HELPS FUND THESE AFFORDABLE HOUSING PROGRAMS AND PROJECTS.
AND SO THE TRUST IS GENERALLY FOCUSED ON, UM, SERVING HOUSEHOLDS BELOW 80% A MI, BUT THEY WILL GO UP TO 120%, BUT THEY DON'T FUND ANYTHING OVER THAT.
THEY PRIORITIZE PROJECTS WITH LONG-TERM AFFORDABILITY, WITH SUSTAINABLE DESIGN, WITH FAMILY SIZE UNITS.
UM, THE FUNDING TENDS TO GO TO THREE AREAS.
NEW AFFORDABLE HOUSING PRODUCTION EXPIRING USE PRESERVATION AND RECAPITALIZATION AND REHAB OF EXISTING AFFORDABLE HOUSING STOCK.
AND WE WILL SPEND SOME MORE TIME FOCUSING ON THOSE, UH, IN THE PRESENTATION.
AND THEN THE TRUST FUNDING ALSO HELPS THAT DEVELOPERS LEVERAGE OTHER FUNDS.
AND THE TYPES OF FUNDING INCLUDE ACQUISITION, PRE-DEVELOPMENT, CONSTRUCTION, AND PERMANENT LINES.
AND THEN THE NEXT SLIDE JUST SHOWS SOME OF THE HOUSING, UH, PROGRAM INCOME LIMITS.
SO I'M NOT GONNA GO INTO MUCH DETAIL HERE, BUT JUST FOR REFERENCE, THIS IS SHOWING THAT, YOU KNOW, OUR INCLUSIONARY HOUSING RENTAL PROGRAM IS SERVING HOUSEHOLDS UP TO 80% OF AREA MEDIAN INCOME.
AND THEN THE HOME OWNERSHIP RESALE HOMEBRIDGE ARE GOING UP TO A HUNDRED PERCENT.
AND THEN THE MIDDLE INCOME RENTAL PROGRAM TO 120%.
AND IF YOU GO TO THE NEXT SLIDE, THIS CITY'S COMMITMENT TO AFFORDABLE HOUSING HAS RESULTED IN OVER 4,500 NEW YORK RESERVE UNITS SINCE 2005.
UM, BUT YOU CAN SEE THE BREAKDOWN THEN OF THE DARKEST BLUE IS THOSE, THE HOUSING PRESERVATION THAT'S IN, YOU KNOW, THROUGH RECAPITALIZATION AND REHAB.
THE LIGHTER BLUE ARE THE EXPIRING USES THAT WE'VE BEEN ABLE TO PRESERVE.
THE GREEN IS THE NEW AFFORDABLE HOUSING BUILT THROUGH THE INCLUSIONARY ZONING PROGRAM.
AND THE YELLOW IS, UM, NEW AFFORDABLE HOUSING THAT'S BUILT THROUGH CITY FUNDS.
SO THAT WAS A SORT OF QUICK HIGH LEVEL OVERVIEW OF SOME OF THE CONTEXT AND DEMOGRAPHICS.
[00:30:01]
FEW MINUTES HERE TO, TO TALK ABOUT IF THERE'S ANYTHING THAT REALLY STOOD OUT TO YOU AND THEN WE'LL GET INTO MORE OF THE DETAILS ON THOSE DIFFERENT STRATEGIES.UM, YEAH, I'M GOING TO KEEP SAYING THIS 'CAUSE IT'S REALLY IMPORTANT.
MOST OF THE PEOPLE THAT I SERVE, MOST OF THE PEOPLE I DEAL WITH ARE WAY BELOW 80 A OR NINE EVEN WAY BELOW THE STATS THAT SOMETIMES INCLUSIONARY USES, WHICH ARE 50 A HUNDRED, WHICH ARE REASONABLE FOR SOMEONE WHO HAS MIDDLE INCOME.
MOST OF THE PEOPLE I SERVE NEVER EVEN HIT MIDDLE INCOME.
AND QUITE HONESTLY, A LOT OF THEM ARE PEOPLE WHO WERE BORN IN CAMBRIDGE, RAISED IN CAMBRIDGE, WORKED IN CAMBRIDGE, AND RETIRED IN CAMBRIDGE.
QUITE HONESTLY, I THINK THAT THEY REALLY NEED A PREFERENCE TO BE HERE.
I'M NOT ORIGINALLY FROM HERE, I HAVE JUST LIVED HERE FOR 45 YEARS.
BUT IF WE'RE GONNA TALK ABOUT A MI PLEASE, LET'S TALK ABOUT REAL A MI.
BECAUSE I REALLY THINK, AND I'M NOT BEING HOSTILE A DAI IS KIND OF NEVER, NEVER LAND FOR MANY PEOPLE.
NOT JUST PEOPLE THAT I SERVE WHO ARE, YOU KNOW, DOING FOOD STAMPS AND ALL THIS OTHER STUFF THAT'S AT RISK, BUT PEOPLE WHO ARE TRYING TO BUY THE PEOPLE WHO ARE TRYING TO RENT, YOU'RE NOT REALLY AT A-D-A-M-I, NOT WITH WHAT'S GOING ON EITHER STRUCTURALLY IN CAMBRIDGE WITH HOUSING OR WHAT'S GOING ON NATIONALLY WITH HOUSING.
SO I REALLY LIKE TO SEE US USE SOME MORE.
AND I KNOW IT'S DIFFICULT TO DO THIS TO USE A MORE REALISTIC FIGURE BECAUSE I DON'T THINK 80 A 80 I REACHES ANYBODY.
IT DOESN'T EVEN REACH ANYBODY IN NEW YORK.
I HAVE TO BE REALLY HONEST ABOUT THAT.
NO, THAT, I THINK THAT'S A GOOD POINT.
AND AS WE MOVE FORWARD IN TALKING ABOUT WHO WE'RE THE, WHO WE'RE TARGETING AND HOW WE'RE THINKING ABOUT AFFORDABILITY, I THINK IT WILL BE IMPORTANT TO THINK ABOUT, UH, THAT BREADTH OF, UH, INCOME LEVELS.
UM, OTHER THOUGHTS, THINGS THAT STOOD OUT TO YOU ABOUT THE DEMOGRAPHICS IN PARTICULAR, UM, OR WHERE YOU THINK THAT WE MAY HAVE THE MOST NEED BASED ON THAT? I THINK WE'RE HEARING THE VERY LOW, UM, INCOME THAT DON'T REACH SOME OF THESE LEVELS THAT THESE PROGRAMS TARGET.
UM, ONE QUESTION WHICH IS, UH, LIKE INCOME DISTRIBUTION WOULD BE INTERESTING TO SEE HOW IT COMPARES TO SOME COMPARISON REACHING.
SO I HAVE THE SENSE THAT, SO THE SOMETHING LIKE 45, 40 8% OR ABOVE 120% OF A MI, THEY PAY A HUNDRED PERCENT OF A AMI SOMEWHERE IN THE MIDDLE.
IT SEEMS LIKE WE MIGHT SKEW TOWARDS HIGH IN, I DON'T REALLY HAVE A SENSE OF HOW WE ARE IN THE MIDDLE OF THE LOW END.
SO IT MIGHT BE INTERESTING BECAUSE WE'RE KIND OF TAKEN AS GIVEN WHO LIVES HERE AS OPPOSED TO WHO MIGHT LIVE HERE.
UM, THE OTHER, UH, AND THAT ALSO RELATES TO SOME EXTENT TO THE HOME OWNERSHIP RATE, UM, IN TERMS OF WHAT THE OPTIONS ARE.
UH, AND THE OTHER THING ON THE COST BURDEN, I THINK IT'S IMPORTANT TO THE, THE 30% OF AMIS IS A WELL-KNOWN STANDARD.
50 OF MEAN 50 30% OF INCOME, BUT 50% OF INCOME SEVERE CROSS BURDENS ARE ALSO IMPORTANT TO RECOGNIZED.
AND TYPICALLY THE, THE LOWER INCOME HOUSEHOLDS ARE MUCH MORE LIKELY TO BE SEVERELY CROSS BURDEN.
BUT IT MIGHT BE HELPFUL TO SEE THAT AS WELL.
I NOTICED YOU HAD NUMBERS ON THE SIDE AND, AND THE, THE NUMBERS OF HOUSEHOLDS IN WHICH CATEGORIES WAS ALSO IMPORTANT TO RECOGNIZE THAT THEY WERE YEAH.
SKEWED TOWARDS THE LOWER, THE TRUTHFUL.
UM, CHRIS, AND THEN, YEAH, I JUST TO PICK UP ON DREW'S POINT, AND I THINK TO, TO REINFORCE THE, THE, THE GREATEST NEED IS AT THE LOWEST LEVELS.
THERE IS NEED ACROSS THE ENTIRE INCOME RANGE.
AND SO I THINK, YOU KNOW, IF YOU LOOK AT NUMBERS THERE AND YOU LOOK AT WHAT SOME OF THE DEMAND THAT WE SEE ON, SAY, INCLUSIONARY OUR HOME OWNERSHIP PROGRAMS WOULD SEND TO SERVE FOLKS BETWEEN 15 A HUNDRED PERCENT OF A MI COMPARED TO WHAT'S ON THE CAMBRIDGE HOUSING AUTHORITY WAITING LIST, BUT TENDS TO BE UNDER 50%.
THE NUMBERS ARE REALLY VERY DIFFERENT.
UH, MUCH MORE SKEWED TO LOW SPEAKS TO WHERE A LOT OF THAN
'CAUSE I THINK CAMBRIDGE IS AN INTERESTING PLACE WHERE YOU HAD LIKE UNITS THAT WERE MAYBE DESIGNED AND ORIGINALLY OCCUPIED BY FAMILIES AND THEY'RE OCCUPIED BY LOTS OF STUDENTS TOGETHER AS ROOMMATES VERSUS MICRO UNITS VERSUS YEAH.
LIKE GENUINELY LARGE FAMILY SIZE HOUSING, WHICH I'M CHARLOTTE, LIKE MARGARET SEES QUITE A BIT.
JUST CURIOUS IF YOU HAVE A SENSE OF WHERE YOU HAVE LIKE TYPOLOGY MISMATCH.
YEAH, I DON'T, I DON'T KNOW OF ANYONE ELSE.
UM, CHRISTIE ONE THING I'D SAY THAT THERE NOT SO MUCH TYPOLOGY, BUT I THINK IF YOU LOOK AT THE CHANGES OVER TIME, YOU CAN SEE HOUSEHOLD ARE SHRINKING.
WE CAN LOOK AT OVER THE LAST, YOU KNOW, SEVERAL DECADES HOUSEHOLD ON AVERAGE NOW MAYBE AROUND TWO PERSONS PER HOUSEHOLD.
AND THAT'S VERY DIFFERENT ABOUT 34 YEARS NOW.
DO YOU SEE MOVEMENT WHEN YOU BRING ON LIKE A, LIKE A NEW DEVELOPMENT THAT HAS LOTS OF ONES AND TWOS? DO YOU SEE LIKE CHURN IN
[00:35:01]
THE TRIPLE DECKER LIKE IN THREE BEDROOM TRIPLE DECKER MOVEMENT OF PEOPLE LIKE MAKING DIFFERENT HOUSING CHOICES THAT MIGHT BE LIKE, YOU DON'T HAVE A CRYSTAL BALL AND YOU CAN'T SEE THE, BUT IT'S JUST, I WAS SAY THAT LEVEL OF GRANULARITY BASED UPON THAT.CERTAINLY THERE ARE FOLKS IN THE MARKET FOR WHO, WHEN THERE'S AN AFFORDABLE OPPORTUNITY THAT COMES UP THAT MAY PULL FOLKS OUT OF THE MARKET IS A LITTLE LARGER UNITS.
BUT I ALSO THINK THAT IT'S A QUESTION OF RENT AND WHERE ARE RENT FOR THOSE UNITS EVEN FOR AFFORDABLE COMPARED TO A, YOU KNOW, A THREE BEDROOM THAT'S SPLIT BETWEEN THREE, FOUR, BOTH THAT ALL HAVE INCOME.
THOSE, I THINK THEY'RE STILL MORE AFFORDABLE.
ANECDOTALLY, I THINK IT'S DEFINITELY THE CASE.
WHEN I WAS FIRST SELECTED TO THE COUNCIL, I WAS LIVING WITH THREE OTHER ROOMMATES IN A FOUR BEDROOM APARTMENT AND THEN TRIP AND WE WAS THERE, TRIP FOLKS WOULD BE DOWN TO LIVE IN A STUDIO IF THEY WERE AFFORDABLE.
WELL, UM, FIRST JUST THANK YOU TO CITY SAT, BUT I'M WRONG FOR PUTTING US FISH TOGETHER.
UM, I THINK ONE THING THAT STRUCK ME IS THIS IS ALL INFORMATION ABOUT FOLKS WHO HAVE BEEN ABLE TO STAY HERE.
AND WE SHOULD KEEP IN MIND, I THINK THE CITY BROADLY DOES A GREAT JOB OF THIS WITH THE CH A'S STORIES FROM THE CAN'T WAIT LIST AND THE FACT THAT SOME LOCAL PREFERENCES ACCOMMODATE FOLKS WHO STILL HAVE KEEP TIES TO HAVEN'T BEEN ABLE TO STAY HERE.
JUST WE SHOULD KEEP IN MIND THAT THIS IS NOT THE FULL UNIVERSE OF FOLKS WHO COULD BENEFIT FROM SOCIAL HOUSING IN CAMBRIDGE AND ACROSS MASSACHUSETTS.
THERE ARE A LOT OF FOLKS WHO HAVE LIVED IN CAMBRIDGE AT SOME POINT AND I THINK WOULD LOVE, WOULD LOVE TO BE BACK.
SO JUST WANTED TO SORT OF EMPHASIZE THAT POINT.
THAT EVERYONE IN THIS GROUP COULD BE STABLY HOUSED, EVERYONE REPRESENTED ON THESE SLIDES AND THAT THAT'S STILL WOULDN'T MEAN THAT ALL THE DEMAND STATEMENT EXACTLY.
THERE'S A LOT OF NEED JUST HERE, BUT, UM, IT'S GREATER THAN JUST THE BRIDGE.
UM, AND IF WE'RE LOOKING TO CREATE HOUSING, YOU KNOW, I, CAN I ASK A QUESTION ABOUT THAT WAY? WHAT'S THE PEAK POINT? HOW, HOW MANY PEOPLE DO YOU ESTIMATE MAYBE SITTING ON THAT RIGHT NOW? I I WOULD DEFER TO CHA ON THAT, BUT I KNOW THAT YOU ALL PUT UP THE STORIES FROM
SO WE, WE PRODUCED A REPORT THAT WILL WAS TALKING ABOUT IS FROM A FEW YEARS AGO WHERE, I'M SORRY, I CAN BARELY READ.
UM, THE REPORT THAT WILL IS TALKING ABOUT BILL WAS A PUBLICATION THAT THE HOUSING AUTHORITIES DID THAT THE CAN'T WAIT LIST PEOPLE WHO'VE BEEN WA ON THE HOUSING AUTHORITIES WAITING LIST FOR MANY YEARS, KIND OF MAKING, YOU KNOW, REALLY PUTTING US A FACE AND A STORY, UM, BEYOND THE, BEYOND JUST THE NUMBER BECAUSE THE NUMBER REPRESENTS SO MANY NEEDS AND HOPES AND ASPIRATIONS AND, AND CHALLENGES THAT THE FAMILIES.
BUT THE WAITING LIST ITSELF IS SOMEWHERE NEAR, UM, I THINK AT THE MOST RECENT NUMBER I'VE SEEN IS OVER 14,000 DISCREET APPLICATIONS ON THE HOUSEHOLD AUTHORITY.
AND PROBABLY ABOUT SIX OR 7,000 OF THAT ARE FOLKS WHO HAVE SOME KIND OF CAMBRIDGE TIE, WHETHER IT'S WORK, UM, LIVE OR, UM, UM, TAKING A LONG TIME CONNECTION TO THE CITY.
THE REASON WHY I ASKED WAS THIS LAST TIME I CHECKED AND THIS WASN'T THAT LONG, IT WAS 10,000.
UM, I BELIEVE IN BOSTON RIGHT NOW, WE EITHER 22 OR 25.
AND THEN, UM, I WANNA MOVE ON.
SO MARGARET, AND THEN, UH, I SEE SUSAN HAS HER HAND UP AS WELL.
SO I, ONE, ONE OF THE THINGS, I SAW A STATISTIC RECENTLY THAT 25% OF THE POPULATION IN CAMBRIDGE ARE STUDENTS.
AND SO I WONDERED, YOU KNOW, PARTICULARLY AROUND THE RED BURDEN NUMBER, YOU KNOW, OR IN ANY NUMBER YEAH.
HOW THE STUDENTS KIND OF SKEWS THE STORY.
AND THEN I, AND THAT FEEDS INTO ANOTHER PIECE THAT WOULD BE INTERESTING IS TENURE.
YOU KNOW, HOW LONG HAS SOMEBODY ACTUALLY LIVED IN, UM, THE CITY, YOU KNOW, AND, AND, UH, AND YOU KNOW, WHAT THEIR PROFILES ARE.
AND IF I, IF THERE'S A WAY TO THEN LOOK AT TENURE VERSUS, YOU KNOW, HOUSING BURDEN AND, AND THOSE KINDS OF THINGS.
BUT I, I WONDER WHERE THE STUDENTS FALL IN THE HOUSING BURDEN CATEGORY.
YOU KNOW, MY, MY KIDS WHEN THEY WERE STUDENTS WOULD SAY THEY WERE THERE, BUT YEAH.
BUT YOU'RE THE ONE, WE HAVE A LOT OF GRAD STUDENTS WHO ARE HERE WITH VERY LOW STIPENDS WHO ALSO STRUGGLE TO PAY FOR HOUSING AND, BUT YEAH.
ONE THING WE'VE THOUGHT ABOUT A LOT, UH, ON THE TRUST IS, UM, NOT ONLY INCOME LEVEL, BUT UM, HOUSING COMPOSITION AND WHERE WE SHOULD BE CONCENTRATING FUNDS.
AND WE'VE ALWAYS FELT THAT THE NEED FOR LARGER UNITS, FOR FAMILY UNITS, FOR, UM, YOU KNOW, HOUSING THAT CAN ACCOMMODATE KIDS, GOING TO OUR SCHOOLS AND PLAYING IN OUR PARKS IS REALLY OUT OF THE REACH OF MOST, IF NOT A HUNDRED PERCENT OF PEOPLE BELOW 80% OF MEDIAN INCOME IF YOU MATCH THE RENTS UP WITH, WITH HOUSING SIZE.
SO, UM, I THINK HOUSING COMPOSITION IS REALLY IMPORTANT.
THE OTHER AREA WE'VE REALLY THOUGHT A LOT ABOUT IS HOW TO DO, UM, HOUSING FOR ANY SPECIAL NEEDS
[00:40:01]
CATEGORY FOR, FOR, UM, UNHOUSED PEOPLE FOR SERVICE ENRICHED HOUSING, BECAUSE THAT'S NOT SOMETHING THAT THE MARKET WILL EVER SUPPLY.UM, AND THE SAME THING WITH LARGER UNITS, THAT'S JUST NOT A MARKET RATE.
CREATING THREE BEDROOMS, FOUR BEDROOMS IS NOT SOMETHING THAT THE MARKET'S GONNA DO IN CAMBRIDGE.
SO I THINK THE COMPOSITION OF WHO WE'RE TRYING TO SERVE HOUSEHOLD WISE IS REALLY IMPORTANT TO THINK ABOUT AS WELL.
AND WE'RE GONNA MOVE ON TO DIVING INTO SOME OF OUR STRATEGIES, BUT I WANTED TO TAKE A MOMENT.
WE HAVE ANOTHER, UM, TASK FORCE MEMBER WHO HAS JOINED US, I BELIEVE
YOU LIKE TO INTRODUCE YOURSELF? UM, CL GASTON, RIGHT.
WHAT ELSE? I DON'T KNOW WHAT ELSE OTHER PEOPLE SAID.
UM, AND I'M GONNA HAND IT OVER TO, UM, OUR, OUR HOUSING STAFF.
SO WE HAVE ALEX F, SENIOR HOUSING PLANNER, AND THEN CHRIS KOTTER, CHIEF OF HOUSING WHO ARE GONNA TAKE US THROUGH, UM, THE PRESENTATION ON OUR HOUSING STRATEGIES.
AND WE A COUPLE OF WEEKS FOR DISCUSSION IN THERE.
YEAH, I'LL, I'LL START IT OFF.
UM, SO, UM, WE WANTED TO, TO HELP BRAINSTORM ON, ON HOW SOCIAL HOUSING CAN, UM, WORK IN CAMBRIDGE.
WE WANTED TO START OUT WITH JUST KIND OF A HIGH LEVEL OVERVIEW OF THE CITY'S EXISTING HOUSING PRODUCTION AND PRESERVATION STRATEGIES, UM, TO BOTH HELP PEOPLE UNDERSTAND WHAT WE'RE ALREADY DOING AND ALSO DISCUSS WHERE THERE MAY BE OPPORTUNITIES FOR SOCIAL HOUSING TO FILL, UM, GAPS OR AUGMENT OUR EXISTING EFFORTS.
UM, SO AS KIND OF LIKE A FRAMEWORK FOR HELPING TO UNDERSTAND, UM, OUR EXISTING STRATEGIES, WE TEND TO EVALUATE WHERE SOCIAL HOUSING PROGRAMS COULD FIT IN.
UM, WE TRIED TO COMPARE THE EXISTING STRATEGIES TO THOSE CORE ELEMENTS OF SOCIAL HOUSING THAT WE DISCUSSED AT OUR LAST MEETING.
SO AS A REMINDER, THOSE CORE ELEMENTS ARE, UH, PUBLIC BACKING THAT IS LIKE PUBLIC FUNDING OR LONG-TERM CONTROL OR OWNERSHIP OF HOUSING, UM, AFFORDABILITY.
SO SOME AMOUNT OF HOUSING THAT'S AFFORDABLE TO LOW, MODERATE AND MIDDLE INCOME HOUSEHOLDS.
MARKET INSULATION, UM, HOUSING THAT'S OUTSIDE THE SPECULATIVE MARKET AND DE COMMODIFIED, UM, COMMUNITY CONTROL.
SO, UH, THE PUBLIC AND OR RESIDENTS ARE EMPOWERED TO MAKE DECISIONS ABOUT THEIR HOUSING, UM, AND MIXED INCOME.
UM, SO HOUSING THAT'S, UM, AVAILABLE TO HOUSEHOLDS AT VARYING INCOME LEVELS, POTENTIALLY INCLUDING THOSE WHO CAN AFFORD THE MARKET.
UM, SO WE, WE WILL TAKE A LOOK AT BOTH OUR HOUSING PRODUCTION AND PRESERVATION STRATEGIES, WHICH WE THINK COMPARE, UM, UH, COMPARED TO LIKE OTHER LOCAL SCHOOLS LIKE TAX, TAX POLICIES OR HOUSING ASSISTANCE MORE CLOSELY COMPARE TO SOCIAL HOUSING.
UM, SO THE PRODUCTION STRATEGIES THAT WE'LL DISCUSS ARE, UM, BOTH PUR, UH, PURPOSE BILL, UM, ALL AFFORDABLE RENTAL AND HOME OWNERSHIP HOUSING, UM, INCLUSIONARY HOUSING, UH, THE CONVERSION OF MARKET RATE HOUSING THROUGH AFFORDABLE HOUSING, UM, HOMEBRIDGE LIMITED EQUITY CO-OPS AND COMMUNITY LAND TRUSTS.
AND, UM, THEN OUR PRESERVATION STRATEGIES, WHICH INCLUDE PROTECTING, UM, AFFORDABLE HOUSING WITH EXPIRING, UM, AFFORDABILITY RESTRICTIONS, RECAPITALIZING EXISTING AFFORDABLE HOUSING PROJECTS, AND, UM, AND OUR AFFORDABLE HOME OWNERSHIP RESALE PROGRAM.
SO WE'LL GO THROUGH, UM, EACH OF THESE AND JUST PROVIDE A REALLY HIGH LEVEL OVERVIEW, UM, OF, AND, AND COMPARE THE STRATEGIES TO THE, THE CORE ELEMENTS OF SOCIAL HOUSING.
UM, AND I GUESS I WILL SAY LIKE OUR, YOU KNOW, WE A LOT OF THE, THE, THE, THE COMPARABILITY TO THE, THE ELEMENTS OF SOCIAL HOUSING IS SOMEWHAT UP FOR INTERPRETATION, BUT WE TRIED TO KIND OF GRADE EACH OF, UM, THESE STRATEGIES ACROSS THOSE CORE ELEMENTS.
UM, SO THE FIRST ONE IS, UM, CITY SUPPORTED A HUNDRED PERCENT AFFORDABLE RENTAL PROJECTS, WHICH ARE TYPICALLY DEVELOPED BY NONPROFIT COMMUNITY DEVELOPMENT CORPORATIONS AND HAVE RECENTLY BEEN ABLE TO TAKE ADVANTAGE OF THE, UM, CITYWIDE AFFORDABLE HOUSING OVERLAY, UM, TO GET STREAMLINED PERMITTING AND DENSITY BONUSES.
UM, THE LOCAL FUNDING FOR THESE PROJECT PROJECTS TYPICALLY COVERS 25 TO 30% OF THE TOTAL DEVELOPMENT COSTS.
[00:45:01]
TO LEVERAGE OTHER STATE AND FEDERAL FUNDING SOURCES.UM, YOU KNOW, MOST CRITICALLY THE LOW INCOME HOUSING TAX CREDIT, UH, USUALLY, UM, THE PROJECTS ARE USUALLY 30 TO A HUNDRED UNITS.
UM, AND WE, WE CURRENTLY, YOU KNOW, MOSTLY AS A RESULT OF THE AFFORDABLE HOUSING OVER OVERLAY, HAVE A REALLY DEEP PIPELINE OF THESE PROJECTS WITH FIVE CURRENTLY UNDER CONSTRUCTION AND 15 MORE AT SOME, SOME STAGE OF REDEVELOPMENT.
UM, AND SO JUST KIND OF COMPARING THEM TO THOSE, UM, CORE ELEMENTS OF, OF SOCIAL HOUSING, UM, YOU KNOW, THEY, THEY HAVE, UM, SIGNIFICANT, THESE PROJECTS HAVE SIGNIFICANT LOCAL, UM, STATE AND FEDERAL SUPPORT.
THEY'RE, UM, DEEPLY AFFORDABLE.
THEY SERVE A RANGE OF, UM, INCOMES FROM BELOW 30% UP TO 80% TYPICALLY.
UM, AND THEY'RE TYPICALLY PERMANENTLY AFFORDABLE.
SO THEY, THEY COMPARE HIGHLY TO THOSE ELEMENTS OF SOCIAL HOUSING.
UM, MANY, UM, DEVELOPERS HAVE RESIDENTS ON THEIR, UH, ON THEIR BOARDS.
UM, BUT, UH, YOU KNOW, WE, WE DON'T SEE THINGS LIKE, UM, YOU KNOW, FULL RESIDENT CONTROL OF HOUSING.
SO, UM, IT'S IN A, UH, MEDIUM ON THAT GRADE ON THAT, UM, ELEMENT.
AND THEN, YOU KNOW, TYPICALLY THESE PROJECTS HAVE NO MARKET GRADE UNITS.
UM, THEY DO THOUGH HAVE A RANGE OF, UM, THEY DO SERVE A RANGE OF, UM, BELOW, UH, OR LOW TO MODERATE INCOME HOUSEHOLDS.
THERE'S SOME AMOUNT OF, UM, MIXED INCOME, BUT IT'S ALL, UM, BELOW MARKET.
UM, SO THE NEXT ONE IS, UH, A HUNDRED PERCENT AFFORDABLE HOME OWNERSHIP.
UM, THESE ARE ALSO TYPICALLY DEVELOPED BY, UM, LOCAL NONPROFIT COMMUNITY DEVELOPMENT CORPORATIONS.
UM, AND YOU KNOW, BUYERS, UH, WILL PURCHASE UNITS IN THESE BUILDINGS, UM, AT BELOW MARKET, UM, PRICES.
AND, UM, THEY, UM, AGREE TO A, A, A PERMANENT RESALE RESTRICTION.
UM, IT ALLOWS FOR, UM, A NEW BUYER LATER ON TO BUY AT A PORTABLE PRICE, UM, BECAUSE THERE IS, UM, NO DEDICATED FEDERAL, UM, FUNDING SOURCE FOR A HUNDRED PERCENT HOME OWNERSHIP HOUSING.
UM, THERE'S SIGNIFICANT LOCAL FUNDING REQUIRED AND, UM, THERE ARE STATE SOURCES OF FUNDING.
BUT, UM, TYPICALLY CAMBRIDGE HASN'T USED THOSE BECAUSE THEY DO, UM, UM, LIMIT THE, UM, THE, THE, UM, RESTRICT THE LENGTH OF THE AFFORDABILITY RESTRICTION.
UM, THESE PROJECTS ARE TYPICALLY AROUND 10 UNITS.
UM, AND WE CURRENTLY HAVE TWO, UM, ACTIVE PROJECTS, ONE UNDER CONSTRUCTION AND ONE, UM, THAT'S IN PREDEVELOPMENT.
AND SO, UM, YOU KNOW, THINKING ABOUT THE, THE SYNERGIES WITH THE, WITH THE, UM, SOCIAL HOUSING ELEMENTS, UM, THEIR, UM, THEIR SIGNIFICANT PUBLIC FUNDING, THEIR GENERALLY, UM, A AFFORDABLE, PRETTY AFFORDABLE, BUT THEY, THEY GENERALLY DO NOT SERVE THE LOWEST INCOME HOUSEHOLDS, UM, BECAUSE THEY'RE, UH, THE DOWN PAYMENT REQUIREMENTS.
UM, AND, UM, THEY, UM, ARE PERMANENTLY AFFORDABLE OF LONG-TERM, UM, RESALE TERM OR PERMANENT RESALE RESTRICTIONS.
UM, THEY, WE DID, WE DID FEEL LIKE THESE TYPES OF PROJECTS DO HAVE, UM, HIGH LEVELS OF, OF RESIDENT CONTROL BECAUSE OF, UM, THE ABILITY FOR OWNERS TO PARTICIPATE IN CONDO ASSOCIATIONS AND, UM, HAVE REAL SAY IN, IN DECISIONS IN THEIR BUILDINGS.
UM, AND THEY, WHILE THEY'RE GENERALLY, UM, INITIALLY, UH, ONLY AVAILABLE TO PEOPLE WHO ARE BELOW A CERTAIN, UM, INCOME LEVEL, THEY, UM, ARE NOT, UM, THE, THEY RESIDENTS ARE NOT REQUIRED TO ANNUALLY INCOME RECERTIFY.
SO THEIR INCOME CAN RISE TO, UM, HIGHER LEVEL AND THEY CAN STAY IN THEIR HOUSING.
UM, AS COMPARED TO THE, THE RENTAL PROJECTS WHERE USUALLY TENANTS ARE REQUIRED TO, THEY INCOME RECERTIFY EVERY YEAR, AND IF THEY'RE, IF THEY'RE, UH, YOU KNOW, INCOMES GO UP TOO MUCH, THEY, THEY, THEY HAVE TO MOVE.
UM, SO NEXT STRATEGY IS INCLUSIONARY ZONING OR INCLUSIONARY HOUSING.
UM, WHICH IS REALLY A, A ZONING, UM, TOOL THAT REQUIRES, UM, PROJECTS THAT ARE OVER 10 UNITS OR 20,000 SQUARE FEET IN CAMBRIDGE TO SET ASIDE 20% OF THEIR, UH, WELLING AREA FOR, UM, AFFORDABLE UNITS.
UM, AND SO, AND THESE ARE, THESE ARE MARKET RATE PROJECTS.
SO THE REQUIREMENT, IT APPLIES TO ANY HOUSING DEVELOPMENT OVER 10, ANY UNITS OR 10,000 SQUARE FEET.
[00:50:01]
REQUIRES THE, THE MARKET RATE DEVELOPERS TO SUBSIDIZE THE, UH, THOSE UNITS THROUGH THE MARKET RENTS THAT THEY'RE COLLECTING ON THE REST OF THE HOUSE OF THE HOUSING IN THE BUILDING.UM, THESE PROJECTS RANGE WIDELY IN, IN TERMS OF THEIR SIZE, UM, FROM 10 UNITS UP, WE'VE HAD PROJECTS OR AT AROUND 500 UNITS, AND WE CURRENTLY HAVE 11 ACTIVE PROJECTS THAT ARE FOUR THAT ARE EITHER UNDER CONSTRUCTION OR HAVE A BUILDING PERMIT THAT'S GRANTED AND, AND SEVEN THAT ARE IN SOME STATE OF, UM, GETTING THEIR BUILDING PERMIT RIGHT NOW.
UM, SO THESE, THESE PROJECTS ARE NOT, THERE'S NO PUBLIC BACKING FOR THEM.
UM, SO THEY'RE, THEY'RE NOT, UM, DON'T, NOT, NOT SIMILAR IN THAT WAY TO PUBLIC TO SOCIAL HOUSING.
UM, THEY ARE, UM, YOU KNOW, THE, THE AFFORDABLE UNITS IN THEM, WHICH IS TYPICALLY AROUND 20% OF THE UNITS, ALTHOUGH THE REQUIREMENTS REALLY AROUND THE FLOOR AREA AND NOT UNITS THAT THOSE AFFORDABLE UNITS ARE.
UM, FOR RENTAL PROJECTS FOR PEOPLE, FOR HOUSEHOLDS BETWEEN 50% AND 80% OF AREA MEDIAN INCOME AND FOR HOME OWNERSHIP PROJECTS FOR HOUSEHOLDS UP TO A HUNDRED PERCENT OF AREA MEDIAN INCOME.
UM, THEY'RE, THEY, THE, THE AFFORDABLE UNITS IN THOSE PROJECTS ARE PERMANENTLY AFFORDABLE.
UM, AND, UM, BUT THERE'S NO RESTRICTION ON THE MARKET RATE, UM, COMPONENTS OF THOSE BUILDINGS.
UM, THERE'S, YOU KNOW, THE, IN TERMS OF COMMUNITY CONTROL IN, IN RENTAL BUILDINGS, THERE REALLY IS NO COMMUNITY CON CONTROL OR RESIDENT CONTROL.
BUT IN HOME OWNERSHIP PROJECTS, THE, UM, YOU KNOW, THE, THE AFFORDABLE, UM, UNITS ARE PART OF A CONDO ASSOCI, THE, THE CONDO ASSOCIATION, JUST LIKE THE REST OF THE, UM, OWNERS IN THE BUILDING.
AND SO THEY DO HAVE, UM, SAY IN, IN DECISION MAKING AROUND IN THEIR BUILDINGS.
UM, AND, UM, THESE PROJECTS ARE ALL INCOME WITH, YOU KNOW, AROUND 20% OF UNITS, UM, BEING AFFORDABLE AND THE RESTING THE PROJECT BEING MARKET RATE.
UM, SO THE, UM, NEXT STRATEGY IS CONVERSION OF EXISTING, UH, RENTAL HOUSING TO AFFORDABLE HOUSING.
UM, SO THERE, THIS, THIS STRATEGY INVOLVES AN AFFORDABLE HOUSING DEVELOPER PURCHASING AND EXISTING MARKET RATE BUILDING AND CONVERTING THE MARKET RATE UNITS TO AFFORDABLE UNITS.
UM, AND BASICALLY AS, UH, YOU KNOW, UNITS WILL TURN OVER OVER TIME, UM, THOSE TENANTS WILL BE REPLACED WITH LOW TO MODERATE INCOME TENANTS, UM, WHO, UM, WILL EVENTUALLY FULLY OCCUPY THE BUILDING.
UM, THIS STRATEGY AS TO THE AFFORDABLE HOUSING STOCK, UM, UM, AND BY, BY PRESERVING EXISTING BUILDINGS AND CREATES AFFORDABLE HOUSING WITHIN THAT EXISTING HOUSING STOCK.
UM, AND, AND LOOKING LOCAL FUNDING FOR THIS REALLY VARIES A LOT, BUT SOME RECENT, UM, RECENT DEALS HAD THEIR LOCAL FUNDING IS COVERED 40 TO 60% OF THE TOTAL DEVELOPMENT COSTS.
AND, UM, THEY, THEY, THEY MAY ALSO HAVE SOME STATE AND AND GLOBAL FUNDING, UM, UH, IN, IN THOSE PROJECTS.
UM, THE, THE SIZE OF PROJECTS RANGES FROM 20 TO A HUNDRED UNITS.
UM, AND THERE'S, UM, I BELIEVE CURRENTLY TWO, UH, PROJECTS THAT ARE, UM, ARE EITHER RECENTLY ACQUIRED, ONE OF THOSE RECENTLY ACQUIRED, AND ONE THAT I BELIEVE IS, UM, IN THE PROCESS OF BEING ACQUIRED, UM, OR RECENTLY WAS, UM, BUT ANNUALLY THIS LIKE REALLY VARIES AND, UM, IT'S NOT QUITE AS, UM, YOU KNOW, UH, THERE, THERE AREN'T QUITE, QUITE AS MANY PROJECTS THIS TYPE AS COMPARED TO, UM, NEW DEVELOPMENT OF, OF, UM, RENTAL RENT OF, UH, A HUNDRED PERCENT RENTAL HOUSING.
UM, SO THESE, THESE HAVE, YOU KNOW, SIGNIFICANT PUBLIC BACKING, UM, SIGNIFICANT AFFORDABILITY.
UM, THEY'RE GENERALLY PERMANENTLY AFFORDABLE, SO INSULATED FROM THE MARKET.
UM, THEY, THE, THE, UM, YOU KNOW, DEVELOPERS THAT DO THESE PROJECTS ARE, YOU KNOW, OFTEN THE LOCAL NONPROFITS OR THE, THE CAMBRIDGE HOUSING AUTHORITY, WHICH HAVE RESIDENTS ON THEIR BOARDS.
SO THERE'S SOME AMOUNT OF COMMUNITY OR RESIDENT CONTROL.
UM, AND, BUT THEY GENERALLY ARE FULLY AFFORDABLE AND, UM, DO REQUIRE, UH, UM, UNITS, HOUSEHOLDS ARE REQUIRED TO ANNUALLY RECERTIFY THEIR INCOME.
UH, SO I'LL PASS IT OVER TO CHRIS FOR THE NEXT SLIDE.
SO I'M GONNA TALK A LITTLE BIT ABOUT SOME OF OUR, UH, HOME OWNERSHIP PROGRAMS AND, AND
[00:55:01]
PROGRAMS THAT WE'RE INVOLVED WITH WHERE THERE IS RESIDENT CONTROL.UH, SO, UH, RATHER THAN A RENTAL CITY ASSISTED RENTAL HOUSING, SO STARTING WITH HOMEBRIDGE, THIS IS OUR PROGRAM, UH, THAT ALLOWS, UH, UH, RESIDENTS TO PURCHASE HOMES ON THE OPEN MARKET WITH CITY ASSISTANCE.
SO WITH A PREAPPROVAL, UH, ELIGIBLE BUYERS CAN BUY, UH, HOMES WITH, UH, UH, ESSENTIALLY A PREAPPROVAL FROM THE CITY.
AND, AND FUNDING THAT COMES IN THE FORM OF THE, UH, LONG-TERM INVESTMENT IN THE UNIT, UH, UNITS ARE REQUIRED TO REMAIN AFFORDABLE WITH LONG-TERM FEES.
RESTRICTIONS THAT REQUIRE THEM, UH, TO BE SOLD IN, IN BIOLOGICAL HOUSEHOLDS IS, IS DIFFICULT FOR ALL OUR HOME OWNERSHIP PROGRAMS. UM, THE, UH, IT IT'S OPEN TO RESIDENTS.
UH, THE RANGE, UH, OF ASSISTANCE IS GONNA BE SOMEWHERE BETWEEN 15 AND 65% OF THE PURCHASE PRICE.
I'LL NOTE, UH, YOU MENTIONED LEVERAGE EARLIER.
THIS IS A PROGRAM THAT THERE IS NO LEVERAGE.
SO, UH, IT'S CAPITAL INTENSIVE, IT'S AN EXPENSIVE PROGRAM.
SOMEONE'S BUYING A $900,000 HOME ON THE MARKET.
UH, SAW THE, THE SLIDE THERE WITH THE HOME PRICES, UH, ALL THE, THE SUBSIDIES COMING FROM THE AFFORDABLE HOUSING TRUST, UH, THROUGH THE HOME BRIDGE PROGRAM.
SO, UH, WE TYPICALLY SEE 10 TO 12, UH, PURCHASES, UH, A YEAR, I THINK MAXED OUT AT 20 A YEAR OR TWO AGO.
SO, UH, WHILE IT'S IAN, THERE'S A LOT OF DEMAND FOR IT.
IT'S NOT SOMETHING THAT, UH, IS EASILY SCALABLE WITHOUT A TON OF RESOURCES.
BUT, UH, AN IMPORTANT COMPONENT OF OUR PROGRAM.
WE TALK ABOUT, UH, OUR RANGE OF PROGRAMS FOR HOMEOWNER, WHICH ARE, UM, SO FUNDED THROUGH AFFORDABLE HOUSING TRUST.
AND, UH, IT YOU SEE THERE, THE RANGE, UH, SHOULD THE SLIDES ALL IN THERE.
SO, UH, 10, 10 PURCHASES A YEAR, THEN WE MAXED OUT AT 20.
SO, UH, A LOT OF, UH, FUNDING A LOT OF PUBLIC, UH, INVESTMENT, UH, IN THIS PROGRAM.
UH, IT IS BECAUSE IT IS WORKING WITH FIRES WHO ARE LOOKING ON THE MARKET, UH, SERVING FOLKS IN THE KINDA 60 TO 120% OF MEDIAN RANGE.
SO REALLY MODERATE MIDDLE INCOME, UH, HOME BUYERS NOT SOMETHING THAT SCALES WELL FOR FOLKS.
160% OF MEDIAN, UH, BUT WITH THE LONG-TERM RESTRICTION UNITS, UH, ARE INSULATED FROM THE MARKET.
THEY REMAIN AFFORDABLE PERMANENTLY.
SO THESE ARE, UH, FOLKS THAT ARE BUYING INTO, UH, CONDOMINIUMS, WHICH ARE BY DEFINITION RESIDENT CONTROL, UH, AND MIXED INCOME WHERE, UH, BEING THESE ARE UNITS THAT ARE, UH, BEING PURCHASED ON THE MARKET.
SO, UH, IN BUILDINGS THAT HAVE GOT, UH, MOSTLY MARKET RATE BUILDINGS, I'LL NOTE THAT, UH, NUMBER OF THE PURCHASES THAT WE SEE ARE IN BUILDINGS THAT ALSO HAVE OTHER AFFORDABLE UNITS THAT ARE, UH, THEY'RE, UH, UNDER THE INCLUSIONARY PROGRAM.
UH, WE WANTED TO MENTION LIMITED EQUITY CO-OPS.
UH, I, I THINK THAT THE, THE CO-OPS SYSTEM, KIND OF OUR, THE CITY'S FIRST FORAY INTO RESIDENT CONTROL HOUSING OR HOME OWNERSHIP, UH, CO-OPS, THE CITY'S INVOLVED WITH DATE FROM BEFORE THE END OF RENT CONTROL MORE THAN 30 YEARS AGO.
SO OUR INVOLVEMENT AT THIS POINT IS MORE, UH, TO SUPPORT, TO, UH, HELP WITH RENOVATIONS, RECAPITALIZATION, UH, AND THEN TO, TO MAKE AVAILABLE, UH, AND HELP THEM MARKET, UH, IN IDENTIFYING NEW RESIDENTS WHEN CO-OP SHARES TURN OVER.
UH, THESE ARE OLDER BUILDINGS, SO LONGER TERM AFFORDABILITY.
SO, UH, THEY'RE A LITTLE BIT DIFFERENT THAN WHAT WE'D BE LOOKING AT TODAY.
UH, AFTER THE RENT CONTROL, THE CITY'S APPROACH TO, UH, HOME OWNERSHIP REALLY SHIFTED.
THE RESIDENT CONTROL HOUSING WOULD'VE SHIFTED TO HOME OWNERSHIP, UH, WHICH BECAME MORE FEASIBLE WITHOUT THE, THE REQUIRES OF RENT CONTROL.
UH, THE, UH, THESE ARE, UH, IT'S KINDA A THIRD OPTION.
IT'S NOT RENTAL HOUSING, IT'S NOT HOME OWNERSHIP.
UH, THESE ARE, UH, RESIDENTS THAT ARE SHAREHOLDERS IN THE CORPORATION THAT OWNS THE BUILDING.
SO THEY ARE, THEY COMPRISE THE CORPORATION AND ALL HAVE, UH, LEASES FOR THEIR UNITS FROM THE CORPORATION.
UH, AGAIN, IT WAS SOMETHING THAT, THAT GOES BACK TO THE EIGHTIES WHEN, UH, THERE WAS A DESIRE TO DO RESIDENT CONTROLLED HOUSING AND, UH, MORE OF A OWNERSHIP FORM, UH, WHEN THAT WAS NOT, UH, REALLY FEASIBLE OR POSSIBLE WITH THEIR OWN CONTROL, UH, LIMITS IN PLACE.
THE, UH, RANGE OF CO-OPS THAT WE SEE VARIES GREATLY.
UH, THE INCOME LIMITS WILL VARY.
CO-OP BY CO-OP, UH, WE'VE GOT CO-OPS THAT RANGE FROM, UH, SIX UNITS, I THINK TO MORE THAN 50 UNITS.
UM, THEY WERE FUNDED WITH, UH, FEDERAL FUNDS IN SOME CASES.
AND THEN MORE RECENTLY WE, WE'VE BEEN WORKING WITH THE AFFORDABLE HOUSING TRUST TO, UH, FUND RENOVATIONS OR REHAB WHEN WE DID FOR SPECIFIC CO-OPS.
UH, THERE IS NO PIPELINE ACTIVITY.
'CAUSE AGAIN, WE WERE TALKING ABOUT RESIDENT, UH, OWNED HOUSING.
WE'RE LOOKING MORE AT OWNERSHIP WHERE THERE'S MORE ACCESS TO CAPITAL, BETTER RESOURCES FOR OWNERS, UH, AND, AND REALLY CAN BE MORE AFFORDABLY OFFERED TO REP TO, TO RESIDENTS WITH LOWER DOWN PAYMENTS THAN, UH, WOULD BE POSSIBLE WITH CO-OP BUY-INS, GIVEN ACCESS TO FINANCING AND ALL THAT BUYER PROGRAMS THAT ARE AVAILABLE THROUGH
[01:00:01]
THE STATE.UH, SO, BUT WE ARE, UH, CONTINUING TO WORK WITH 'EM AND, UH, UH, MAKE AVAILABLE THE UNITS.
WE'RE GONNA TURN IT OVER TO SOME OF THESE BUILDINGS.
SO IF THE LOCAL FUNDING IS A LITTLE DIFFERENT NOW, 'CAUSE WE MORE AT, AT PRESERVATION AND RENOVATION THEN AND CREATION.
THE AFFORDABILITY IS, UH, LOCKED UP.
THESE ARE LONG TERM AFFORDABLE, SO THEY'RE INSULATED FROM THE MARKET, UH, WATER CONTROL BECAUSE RESIDENTS, UH, CONTROL THE BUILDING, UH, IN THE SAME WAY THAT OWNERS WOULD CONTROL A CONDOMINIUM.
SO THE, THE MODEL IS VERY DIFFERENT IN TERMS OF HOW OPERATIONS THAN THE BUILDING WOULD BE, UH, UNDERTAKEN.
UH, AND THEN, UH, THE MIX OF INCOME VARIES BA BASED ON THE CO-OP.
A LOT OF THE FOLKS THAT WERE INVOLVED WITH ARE ALL LIMITED EQUITY CO-OPS.
SO, UH, THEY ARE SIMILAR TO THE ALL AFFORDABLE HOME OWNERSHIP, BUT THEY'RE ALL, ALL ARE DEEMED RESTRICTED UNITS.
AND, UH, OCCUPANCY IS, IS ON, UH, SALE OR TRANSFER LIMITED HOUSEHOLDS UNDER 80% OF MEDIAN.
QUESTION ABOUT HOW MANY OF THESE, UH, ABOUT HOW MANY OF THESE UNITS ARE THERE? THERE'S, THERE'S NOT A TON.
I I OFFHAND I'D SAY THERE'S ABOUT A HUNDRED OR 120 TOTAL AND MAYBE SIX OR EIGHT BUILDINGS ACROSS THE CITY.
AND AGAIN, THEY'RE ALL GONNA VARY AND LOOK DIFFERENTLY 'CAUSE THEY'RE ALL SET UP A HUNDRED DIFFERENT POSITIONS GOING BACK, UH, WAYS.
UH, SO THE, YOU WANTED TO MENTION COMMUNITY LAND TRUSTS.
SO WE ARE, UH, IN DISCUSSIONS WITH THE CAMBRIDGE COMMUNITY LAND TRUSTS, UH, WHICH IS RECENTLY FLOORING, UH, AND LOOKING TO GET UP AN OPERATIONAL.
AND WE'RE EXCITED TO BE TALKING WITH 'EM ABOUT WAYS THAT THE CITY CAN STEP IN AND TRY TO HELP THEM, UH, PUT TOGETHER A PROGRAM AND SUPPORT JUST ANOTHER OPTION TO CREATE, UH, THE NEW DE RESTRICTED HOUSING THAT WOULD BE AFFORDABLE, UH, AND, UH, UH, RESTRICTED TO, TO OWNERS.
AND I THINK THAT THEY'RE LOOKING TO COME UP WITH A PROGRAM AND THEN TO COME UP WITH, UH, PILOT PROJECTS THAT WE CAN HOPEFULLY BE PART OF TO CREATE MORE AFFORDABLE HOUSING IN THE CITY.
SO, UH, THE COT MODEL IS SOMETHING THAT EXISTS IN OTHER COMMUNITIES.
WE'RE, UH, AGAIN, EXCITED TO TRY TO, UH, CREATE, UH, A PIPELINE HERE.
UH, BUT IT'S REALLY LOOKING TO, UH, SEPARATE THE OWNERSHIP OF LAND, TO WRITE DOWN THE COST OF, OF HOUSING TO AN AFFORDABLE LEVEL, UH, MAINTAINING THAT LONG-TERM AFFORDABILITY, AFFORDABLE CONTROL, UH, IN THIS CASE THROUGH, UH, UH, LAND LEASE, UH, UH, TO, UH, PULL THE VALUE OUT IN THE SAME WAY THAT WE MIGHT OTHERWISE DO WITH A DEEP RESTRICTION AND AFFORDABILITY AND FRICTION.
UH, SO IT WILL, UM, BE SIMILAR TO ALL AFFORDABLE OWNERSHIP IN THAT, THAT IT WOULD BE, UH, CONDOMINIUMS, UH, THERE'D BE, UH, UH, BOARD THAT WOULD OVERSEE DECISIONS.
THERE'D BE, UH, A COMMUNITY LAND TRUST, UH, UH, BOARD THAT WOULD BE THERE IN THE SAME WAY THAT, UH, UH, NONPROFIT BOARD MIGHT BE THERE.
UM, SO WE ARE WORKING NOW TO COME UP WITH, UH, A MODEL WITH THEM AND OR IN DISCUSSIONAL
AND HOPEFULLY THAT WILL COME TOGETHER.
UH, SO AT THIS POINT THERE IS NO PUBLIC BACKING, BUT WE ARE HOPING TO, TO FIND A WAY TO DO THAT.
THE AFFORDABILITY, A LOT OF THESE THINGS ARE OPEN TO DISCUSSION.
WE GOTTA REALLY FIGURE OUT WHAT THE APPROACH SHOULD BE AND WHERE THE, THE, THE PUBLIC FUNDS WAS SLOT IN AND WHAT THE REQUIREMENTS WOULD BE.
UM, BUT THE MODEL WOULD BE, UH, LONG-TERM AFFORDABILITY.
CLTS ARE ANOTHER WAY TO CREATE LONG-TERM TEAM RESTRICTED AFFORDABLE HOUSING.
AGAIN, JUST THROUGH A DIFFERENT MECHANISM AND A DIFFERENT TYPE NONPROFIT, UH, WITH A LOT OF COMMUNITY CONTROL AND DEPENDING ON THE MODEL, UH, UH, A MIX OF INCOMES.
SO MORE TO COME ON THIS, BUT WE WANTED TO MENTION IS SOMETHING THAT, THAT WE'RE EXCITED TO BE GETTING TO THINK ABOUT WITH, WE RECENTLY FORMED CAMBRIDGE QUEEN LAND, THUS NEXT SLIDE.
UH, NOW I'LL SHIFT A LITTLE BIT TO TALK ABOUT WAYS IN WHICH WE'RE, UH, INVOLVED WITH, UH, AFFORDABLE HOUSING IN AN ONGOING WAY.
LOOKING AT THAT PRESERVATION, UH, IN THE WAY THAT TO ENSURE THAT WE MAINTAIN ACCESS AND AVAILABILITY OF THE HOUSING THAT HAS BEEN CREATED IN THE PAST.
BECAUSE WE LOOK AT THE COST TO CREATE NEW HOUSING, THE MOST, UH, EFFECTIVE THING WE CAN DO IS TO MAKE SURE THAT WE'RE NOT LOSING THE, THE AFFORDABLE HOUSING THAT WE ALREADY HAVE.
AND SO WE INVEST IN IT TO MAKING SURE THAT WE DON'T LOSE, UH, DEEP OR 50,000 IS SOMETHING, WHAT'S BEEN A HIGH PRIORITY FOR THE CITY OVER THE YEARS.
UH, STARTING WITH, UH, WHAT WE CALL EXPIRING USE PRESERVATION.
THESE ARE TYPICALLY OLDER, UH, BUILDINGS THAT HAVE RECEIVED SOME TYPE OF PUBLIC ASSISTANCE IN THE PAST THAT HAD TIME LIMITED AFFORDABILITY REQUIREMENTS, UH, WHICH, UH, YOU KNOW, FROM TIME TO TIME ARE AT RISK OF ITS FIRING.
AND, UH, IN SOME CASES DO EXPIRE AND BUILDINGS CAN GET CONVERTED TO MARKET GRADE HOUSING.
UH, WE HAD, UH, UH, UH, IN 10 OR 12 BUILDINGS, UH, OVER THE LAST, UH, 15 YEARS THAT WERE AT RISK OF THIS.
UH, I THINK ALL THINK ARE WHAT A PRIORITY OF OURS, UH, OVER THE LAST, UH, IN 2010 AND 2020 TO ENSURE THAT WE'RE, UH, NOT LOSING UNITS.
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WE HAVE ABOUT 1200 UNITS THAT WERE AT RISK, UH, DURING THAT TIME.BUT WITH THE STRATEGIC INVESTMENT, UH, OF FUNDING FROM THE AFFORDABLE HOUSING TRUST, WE ABLE TO RESERVE THOSE UNITS AND, UH, YOU KNOW, AT, AT A, UH, AN AMOUNT THAT WOULD BE, UH, I GUESS A FRACTION OF WHAT IT WOULD TAKE TO REPLACE THOSE UNITS WE'RE LOOKING TO, TO ADD THOSE UNITS.
NOT TO EVEN MENTION THAT THE IMPACT THAT WILL HAVE ON THE TENANTS OF BUILDINGS WILL CONVERGE TO MARKET RATE AND THE, UH, POTENTIAL FOR DISPLACEMENT THERE.
SO AS WE LOOK AT WHAT WE ARE DOING WITH, UH, THE PUBLIC FUNDING, UH, FOR HOUSING AND CAMBRIDGE, WE'RE ALWAYS AWARE OF, UH, PRESERVATION NEEDS, UH, STARTING WITH PRIORITIES OF, UH, UH, ISSUES TO ENSURE THAT WE'RE JUST TRYING TO ACT ON THOSE WHERE WE, WE SEE THE, THE BUILDINGS TO BE THAT.
UH, WE, AS I SAID, UH, HAD A LOT OF SUCCESS WITH THIS OVER THE LAST 15 YEARS.
AND WHAT CONSIDER UNITS THAT WE'RE AT RISK.
SO, UH, NO LARGE SCALE, UH, PRIORITIES, PROJECTS THAT WE'RE LOOKING AT NOW FOR OVER THE LAST FIVE OR EIGHT YEARS, WE'VE SHIFTED MORE TO PRODUCTION.
WE SEE THAT IN SOME OF THE, THE PIPELINE MENTIONED EARLIER.
UH, BUT WHEN WE THINK ABOUT THIS FROM THE SOCIAL HOUSING, UH, PERSPECTIVE, THERE'S A, YOU KNOW, A LOT OF PUBLIC BACKING, UH, DEEP AFFORDABILITY.
UH, SO MARKET, UH, IS, UH, INSULATION ONE THAT THE RESTRICTIONS ARE PRESERVED, THE GOAL THAT, UH, CREATE LONG-TERM AFFORDABLE HOUSING WITH, UH, LONG-TERM RESTRICTIONS.
SO WE'RE NOT LOOKING AT MARKET RISK THERE.
UH, AND THEN, UH, IN CONTROL AND MIXED INCOME STATUS IS REALLY REFLECT WHAT WE EXPECT IN, UH, CITY ASSISTED NEW, UH, AFFORDABLE RENTAL HOUSING.
ANOTHER THREAT THAT WE SEE TO, UH, EXISTING HOUSING IN CAMBRIDGE IS THAT THE NEED FOR RENOVATION AND RECAPITALIZATION.
SO, UM, FROM TIME TO TIME, WE'RE WORKING WITH OWNERS, UH, RENTAL PROPERTY OWNERS AND OR, UH, HOMEOWNERS OR CONDOMINIUM ASSOCIATIONS TO TRY TO RECAPITALIZE OR BRINGING NEW RESOURCES TO, UH, RENOVATE, UH, UH, BUILDINGS PERIODICALLY TO ENSURE THAT THEY REMAIN, UH, AT THE LEVEL THAT WE WANT AND THAT THEY'RE, UH, NOT AT RISK OF BEING, UH, UH, I GUESS BECOMING PHYSICALLY OBSOLETE, UH, IN A WAY THAT MIGHT THREATEN US THE HOUSE.
AND SO IT'S ANOTHER RISK THAT WE ARE, UH, WATCHING, UH, WITH, UH, OWNERS ON THIS.
UM, AND EVERY 20 TO 40 YEARS OR SO, YOU MIGHT SEE A CAPITAL INFUSION WHERE YOU BETTER DO A FAIR AMOUNT OF WORK IN THE BUILDING.
AND ONE OF THE THINGS THAT WE WILL DO, UH, IS, UH, LOOK AT FUNDING REQUESTS WHERE THERE'S A NEED FOR, FOR A NEW SUBSIDY TO COME IN, SOMETHING BEYOND, UH, THAT, UH, WHAT, UH, RENOVATION THAT CAN BE FUNDED WITH OTHER SOURCES, DEBT THAT MIGHT COME IN, OR RESERVES THAT MIGHT BE WITH THE PROJECT.
UH, AND, UH, SOMETHING THAT, UH, DOES REQUIRE, UH, COMMITMENTS OF THE CITY AND OTHER SOURCES PERIODICALLY JUST TO, TO TEE, KEEP THE AFFORDABLE HOUSING THAT WE HAVE IN, IN THE, THE CITY, UH, UH, IN GOOD CONDITION.
SO AGAIN, THE CONNECTIONS HERE ON SOCIAL HOUSING KIND MIRROR ARE THE WHAT CAN EXPECT FOR AFFORDABLE RENTAL HOUSING.
UH, AND, UM, WE HAVE GOT A HANDFUL OF PROJECTS UNDERWAY NOW THAT WE'RE LOOKING AT CAPITALIZATION REQUESTS.
UH, AND THEN IN THE SAME WAY, UH, WE TALK ABOUT RECAPITALIZATION RENOVATION FOR THE RENTAL HOUSING.
UH, WE ALSO HAVE A, WHAT WE CALL OUR AFFORDABLE, UH, HOME OWNERSHIP RESALE PROGRAM, WHERE WE ARE, UH, DOING THE SAME THING WITH THE AFFORDABLE, UH, HOME OWNERSHIP STOCK.
SO WHEN, UH, DEED RESTRICTED AFFORDABLE OWNERSHIP UNITS ARE TURNING OVER, WE'LL VERY OFTEN, UH, REPURCHASE THEM WITH NON-PROFIT PARTNERS, UH, TO STEP IN TO DO NEED RENOVATIONS TO AGAIN, RE SUBSIDIZE, UH, REINVEST IN UNITS SO THAT THERE NEEDS TO BE THE AFFORDABLE RESOURCE, UH, THAT WE, UH, EXPECT IT TO BE.
AND THEN, UH, WE'LL, UH, MAKE THAT UNIT AVAILABLE TO A NEW BUYER.
SO I THINK THAT WE, UH, SYNERGY HERE WILL MATCH UP WITH THE AFFORDABLE HOME OWNERSHIP PROGRAMS GOING A LOT OF PUBLIC INVESTMENTS.
UH, THE AFFORDABILITY, UH, TRACKS.
THERE'S, UH, INSULATION FROM THE MARKET, UH, COMMUNITY CONTROL, AGAIN, WELL, THIS IS HOME OWNERSHIP AGAIN.
UH, WE TYPICALLY SEE IN, IN THE RANGE OF 12 TO 20 UNITS A YEAR, DEPENDING ON HOW, UH, HOW MANY OWNERS WANT TO SELL, UH, UH, ANY GIVEN YEAR.
AND SO HERE WE, WE HAVE LINED UP, UH, JUST A SUMMARY OF KIND OF OUR MAPPING OF THE DIFFERENT PROGRAMS OR STRATEGIES THAT THE CITY HAS AGAINST THE, UM, THE SOCIAL HOUSING, UH, UH, CONSIDERATIONS.
JUST SO YOU CAN KIND OF GET A SENSE ALL IN ONE PLACE HOW WE SCORE THE, THE PUBLICITY PROGRAMS RELEVANT TO THESE CONSIDERATIONS FOR SOCIAL HOUSING.
WE'RE TYPICALLY NOT, I'M NOT SURPRISING.
I THINK YOU LOOK AT MARKET INSULATION, YOU KNOW, MOST OF THE THINGS THAT, THAT THE CITY IS
[01:10:01]
INVOLVED WITH, WITH, UH, AFFORDABLE HOUSING REQUIRE YEAH.SO THERE'S GONNA BE, YOU KNOW, A STRONG CORRELATION WITH MARKET, UH, INSULATION, YOU KNOW, COMMUNITY CONTROL VARY BASED UPON THE PROGRAM, THE TYPE OF BUILDING, UH, MIX OF INCOME, SAME THING, YOU KNOW, AND I SHOULD KNOW IF IT'S THE SAME THING ALEX MENTIONED THAT AS WE LOOK AT EVEN SOME OF OUR RENTAL PROJECTS THAT HAVE GOT MIX OF INCOMES, YOU KNOW, THEY'RE ALL UNDER 80 OR A HUNDRED PERCENT OF MEDIAN, BUT THERE ARE MIXES OF INCOME THERE.
BUT I THINK WHEN WE THINK WE'RE THINKING ABOUT THIS, WE WERE THINKING MORE FROM THE PERSPECTIVE OF, UH, MARKET AND, UH, INCOME RESTRICTED.
YOU KNOW, EVERYTHING THAT WE DO IS GONNA HAVE, UH, BE STRONGLY, UH, UH, RELYING ON INCOME RESTRICTIONS, UH, TO TARGET THE RESOURCES TO WHERE IT FITS MOST.
THE, AND, AND THEN, YOU KNOW, GIVEN THE COST THAT YOU SEE, THE PUBLIC BACK'S GONNA BE HIGH BECAUSE THERE'S GONNA BE A, A FAIR AMOUNT OF NEED FOR CITY FUNDING IN ADDITION TO A LOT OF THE OTHER SOURCES THAT, UH, ARE AVAILABLE TO, TO INVEST IN HOUSING.
JUST GIVE QUICK CLARIFYING QUESTION.
CAN YOU SHARE A BIT MORE ABOUT THAT DECISION TO DEFINE MIXED INCOME TO MEAN SOME MARKET AND SOME DATA RESTRICTED, AFFORDABLE? I'M THINKING BACK TO THE POINT THAT TREATY MADE EARLIER, THAT 80% AM MI IS ACTUALLY QUITE SUBSTANTIAL.
WELL, I, I THINK IT'S ACTUALLY, WE TALKED ABOUT IT AND I THINK IT'S, YOU KNOW, WE ALMOST LANDED ON, I THINK IT'S SOMETHING THAT WE NEED TO TALK ABOUT WITH THIS TASK FORCE.
BECAUSE, YOU KNOW, I CAN THINK OF A BUILDING, I THINK OF THE BUILDING THAT TRUST I JUST ESTABLISHED.
YOU KNOW, I THINK THERE'S A MIX THERE OF, YOU KNOW, TIER THAT ARE 130% MEDIAN, 30 TO 60% MEDIAN 60, 80, 80 TO A HUNDRED.
SO THAT, THAT'S A PRETTY WIDE RANGE OF, YOU KNOW, WHEN YOU THINK ABOUT 130 IS OFTEN TARGETED FOLKS WITH VERY LOW INCOME, NO INCOME WITH VOUCHERS, YOU KNOW, AND REALLY THE ONLY PIECE YOU'RE MISSING THERE IS THE A HUNDRED PLUS.
SO, YOU KNOW, AND AS WE LOOK AT PAY 120 AND OVER, REALLY THAT'S MARKET.
SO, YOU KNOW, WE COULD SAY PRETTY EASILY THAT THAT'S A MIXED INCOME BUILDING AND THAT YOU'VE GOT A WIDE RANGE OF INCOMES THERE.
BUT WHEN WE TALK ABOUT IT HERE, I THINK WE, WE'VE BEEN, UH, HEARING AS WE LOOK AT MODELS, UH, YOU KNOW, UH, UH, COMPONENT OF MARKET HOUSING IN SOCIAL HOUSING MODELS, AND REALLY, SO WE DON'T SEE THAT IN A LOT OF THE BUILDINGS THAT WE'RE USING CITY FUNDS THAT ARE IN THE, THE, UH, HOUSING PROGRAMS. NOW, THERE ARE SOME EXAMPLES, THEY TEND TO BE OLDER, BUT TYPICALLY WHAT WE'RE INVESTING IN NOW IS, IS ALL INCOME STREAM DEVELOP.
AND SO AS WE THINK ABOUT SOCIAL HOUSING, I THINK IT'S SOMETHING THAT WE WANT TO TALK ABOUT HERE.
IS SOCIAL HOUSING SOMETHING THAT WOULD BE, UH, INCOME RESTRICTED IN THE WAY THAT WE'RE TALKING ABOUT NOW? OR IS HAVING THAT, THAT KIND OF UNRESTRICTED MARKET COMPONENT, SOMETHING THAT, THAT IS AN IMPORTANT CONSIDERATION.
SO MIXED INCOME WAS KIND OF OUR BEST TAKE ON THIS, BUT IT'S SOMETHING I THINK THAT WE WANT TO TALK ABOUT HERE.
AND THAT WAS ONE OF THE THINGS THAT CLAUDIA NOTED TOO, WAS THE DIFFERENT TYPES OF MODELS THAT ARE, YOU KNOW, WHERE YOU'RE, YOU'RE DEFINING THE INCOME LEVELS VERSUS SOME OF THE LIKE EUROPEAN MODELS WHERE IT'S JUST OPEN.
SO THAT IS SOMETHING I THINK IN THE NEXT MEETING WE'RE GONNA WANNA GET INTO IS WHAT DO WE MEAN HERE? WHERE, WHAT ARE WE TARGETING? WHAT IS THE GOAL? UH, SO WANNA GO THE, WE CAN KEEP GOING THROUGH SOME CLARIFYING QUESTIONS.
WE ALSO HAVE SOME DISCUSSION PROMPTS, UM, BUT WE HAVE A DECENT AMOUNT OF TIME TO DISCUSS AT THIS POINT.
UM, BUT IS IT HELPFUL TO LEAVE THIS SLIDE UP? UH, OR YOU WANNA MOVE ON TO THE DISCUSSION POINTS? I THINK SUSAN
OH, SUSAN HAS HER HAND UP AS WELL.
UM, I THINK THIS IS REALLY INTERESTING.
UM, I THINK THERE, CHRIS, THERE'S PROBABLY SOME OTHER EXAMPLES.
I THINK FINCH HAS ALSO A MIXED INCOME RENTAL.
WE, I THINK WE CALLED IT, UM, HOUSING FOR WORKING PEOPLE OR SOMETHING AT THE TIME THAT GOES UP TO A HUNDRED PERCENT.
AND I THINK THERE ALSO SOME EXPERIENCES THAT STAFF HAS HAD ABOUT TO, ABOUT MARKETING, UM, MA MIXED, UH, CLOSER TO MARKET RATE UNITS IN SOME DEALS THAT ARE SORT OF ANOMALOUS DEALS AND OUTSIDE THIS ANALYSIS AND HAD SOME DIFFICULTY RENTING THOSE.
SO CHRIS, I'D LIKE TO ASK YOU ABOUT THAT.
BUT THE MOST, BUT THE THING I'M MOST INTERESTED IN IS WE'VE LAID OUT THESE ATTRIBUTES OF, UM, WHAT SOCIAL HOUSING COULD BE.
I'D LOVE TO SEE SPECIFIC PROJECTS THAT ARE DEFINED AS SOCIAL HOUSING AND AN UP AND RUNNING, HOW THEY WOULD FIT INTO THIS METRICS THAT IS, IS DOES ALL SOCIAL HOUSING GET HIGH IN ALL OF THESE CATEGORIES? COULDN'T POSSIBLY BE, 'CAUSE THE INCOME MIX IS DIFFERENT, BUT IF THERE ARE REALLY GOOD EXAMPLES OF WHAT PEOPLE ON THE TASK FORCE DEFINE
[01:15:01]
AS SOCIAL HOUSING DEVELOPMENTS THAT EXIST IN THE UNITED STATES, IT'D BE REALLY GOOD TO RATE THOSE AS WELL IN THIS KIND OF MATRIX.SO I DON'T KNOW WHETHER THAT'S POSSIBLE.
BUT I'D BE VERY INTERESTED IN SEEING IT.
YEAH, THAT'S, THAT'S A GREAT IDEA.
I THINK WE CAN LOOK AT THAT AND TAKE SOME OF THE OTHER MODELS THAT ARE OUT THERE.
AND NO, I DON'T THINK THEY WOULD ALL RANK HIGH ON ALL OF THIS.
I THINK YOU PROBABLY SEE DIFFERENT DEGREES OF HOW WELL THEY ALIGN WITH EACH OF THESE, UH, ELEMENTS.
BUT I DON'T KNOW THAT THERE ARE US MODELS THAT WOULD BE HIGH FOR EACH ONE OF THESE.
PARTICULARLY WE SEE, WE DON'T SEE A LOT OF REAL LIKE TENANT GOVERNANCE COMMUNITY CONTROL SO FAR IN THE US MODELS.
BUT, UM, THAT WOULD BE AN INTERESTING THING TO TAKE A LOOK AT AND WE CAN BRING BACK TO THIS GROUP.
I WAS MAYBE GOING TO THE DISCUSSION PROBLEM ON THE NEXT SLIDE.
DO YOU MIND GO TO THE NEXT SLIDE? YEAH, I HAD SOMETHING IN THIS SLIDE.
UM, WHAT SUSAN WAS SAYING THAT IT WOULD ALSO BE USEFUL TO SEE NOT ONLY THE SCORING, BUT EVEN WITHIN EACH OF THESE, YOU TALKED A LITTLE BIT ABOUT WHAT THE CAPITAL STACK LOOKED LIKE.
BUT TO ACTUALLY VISUALLY SEE, YOU KNOW, WHAT THE CAPITAL STACK LOOK LIKE.
UM, BOTH FOR OUR CURRENT PROGRAMS IN TERMS OF THE SPLIT BETWEEN PUBLIC, PRIVATE, UH, INDIVIDUAL, YOU KNOW, BECAUSE THEN IT GETS REALLY AT THE AFFORDABILITY ISSUE WERE MENTIONING ON THE, ON THE LIMITED CO-OP, UM, EQUITY IN THE, IN THE, IN THE BANK, YOU KNOW, THE BANKABILITY OF THAT AND THE ABILITY OF HOW MUCH PUBLIC RESOURCES, BECAUSE YOU KNOW, WE'RE GOING TO HAVE TO ALSO TRY TO BALANCE, YOU KNOW, WHAT DO YOU DO WITH THE FINITE RESOURCE AND HOW, AND WHAT YOU GET FOR THAT RESOURCE.
AND HOW MUCH OF IT IS DIRECTED TO SOLVING A MARKET PROBLEM, AND HOW MUCH IS IT TO, TO ADDRESS THE RED BURDEN THAT FOLKS HAVE TO REACH EARLIER PROBLEM.
BUT JUST BEFORE GOING INTO, YEAH.
AS FAR AS DATA THAT WOULD BE INTERESTING TO LOOK AT, IT'S JUST, UM, THE COMPOSITION OF, OF THE STOCK OF HOUSING AND FROM ALL THESE CATEGORIES.
WOULD JUST BE INTERESTING DATA.
I MEAN, I, I'VE SEEN NUMBERS ON SOME OF HOW MUCH INCLUSIONARY HAS PRODUCED AND, UM, HOW MUCH THE, UM, UH, CONTRIBUTIONS FROM HOW THAT TRUST IS PRODUCED.
THAT WOULD JUST BE INTERESTING TO KIND OF LIKE, LIKE THE LANDSCAPE OF, UH, UH, MARKET INSULATED HOUSING, WHAT IT COMPOSED OF.
IF WE CAN, WE CAN, UH, PROVIDE SOME INFORMATION.
I THINK WE'RE ROUGHLY 9,000 UNITS IN THE CITY, KIND OF WITH THE VARYING, UM, CATEGORIES.
BUT WE CAN, UM, UH, BRING THAT BACK TO THE FUTURE MEETING.
UH, AND JUST FOR SUSAN'S QUESTION, UH, ABOUT THE DEMAND, YOU KNOW, AS WE LOOK AT THE, UH, BUILDINGS OR PROGRAMS THAT ARE SERVING THE RANGE OF INCOME, WE, WE DO SEE LESS DEMAND FOR THE, THE HIGHER INCOME TIERS.
SO IF YOU THINK OF, UH, THE FINCH BUILDING THAT, THAT SHE MENTIONED, WHICH IS OWNED BY HR, I THINK AGAIN, THERE ARE POOR INCOME TIERS AND YOU KNOW, CERTAINLY WE SAW BIGGEST DEMAND AMONG APPLICANTS PUT A LOW INCOME UNIT.
SO THE UNDER 30, UNDER 50%, I KNOW UNDER 80 TO HUNDREDS TIER, I THINK THERE ARE FEWER APPLICANTS.
AND THAT TRACKS WHAT WE SEE THIS BLUE SHARE PROGRAM ON
SO ONE, ONE PAINTER REFORM, BUT CHRIS SAID, I THINK THE INTERESTING THING AT THE FINCH THAT'S LIKE ATYPICAL FOR CAMBRIDGE AND WOULD BE WORTHWHILE, JUST LIKE UNDERSTANDING THE CAMBRIDGE CONTEXT AND HOW DIFFERENT IT IS FROM THE REST OF THE STATE, IS THAT THOSE EIGHTIES TO HUNDREDS WERE AFFORDABLE TO MOBILE VOUCHER HOLDERS AND MOSTLY WENT TO MOBILE VOUCHER HOLDERS.
SO YOU'RE ACTUALLY GETTING, LIKE, THOSE ARE FOLKS WHO, EVEN THOUGH THEY HAVE THIS INCREDIBLY USEFUL TOOL, CAN'T OTHERWISE STAY IN CAMBRIDGE, AND THAT IT'S LIKE A UNIQUE TO LAYER TWO THINGS TOGETHER TO MAKE AN OPPORTUNITY FOR THEM.
THE OTHER QUESTION I WAS JUST GONNA ASK, TO MARGARET'S POINT I THINK WOULD BE INTERESTING TO ACTUALLY CIRCLE BACK TO THE TENSIONS THAT CLAUDIA WENT THROUGH AT THE BEGINNING OF LIKE, 'CAUSE IN THAT CAPITAL STOCK, WE'RE GONNA HAVE A LOT OF TRADE OFFS, RIGHT? AND SO I THINK ACTUALLY THINKING ABOUT WHEN WE SAY AFFORDABLE, WHEN WE, SO ALL THESE BANDS LIKE THIS WHERE IT SAYS THIS IS WHERE IT'S AFFORDABLE, THAT MEANS WHERE THE RENT IS NOT WHO'S, THERE'S NO FLOOR, THERE'S NOT LIKE, YOU'RE NOT ALLOWED TO LIVE THERE BELOW THAT.
BUT UNDERSTANDING LIKE, WHAT DO WE MEAN LIKE AN INCOME BASED RENT OR A BUDGET BASED RENT? DO WE, WHAT, WHAT DO WE ACTUALLY MEAN WHEN WE MEAN AFFORDABLE? AND HOW ARE WE LIKE BALANCING THE, LIKE IF YOU WANT MORE AFFORDABILITY, YOU GIVE UP FOR INFLATION.
LIKE WHAT DO YOU, WHAT DO YOU GIVE UP TO GET SOMETHING? I THINK ACTUALLY EXPLORING SOME OF THOSE TENSIONS IN EXISTING MODELS WITH
I, I JUST ADD, PICK UP ON THAT POINT.
I THINK THAT THE VOUCHER HOLDERS IN THOSE UNITS ACTUALLY SPEAKS A LITTLE BITS IN DEMAND TOO.
'CAUSE YOU KNOW, THE VOUCHER HOLDERS ARE COMING INTO THOSE UNITS BECAUSE THERE'S NOT AS MUCH DEMAND
SO VOUCHER YOU'RE ABLE TO GIVE INPUT, WHICH JUST, WHICH IS GREAT.
AND THAT'S, THAT'S, WE SEE THAT A LOT IN OUR MIDDLE INCOME RENTAL UNITS
[01:20:01]
AS WELL.AND I THINK THE OTHER PIECE WHICH WE SHOULD TALK ABOUT IS WHEN WE SEE THE MIDDLE INCOME, UH, RENTS, WHAT WE HEAR FROM A LOT OF FOLKS IN THAT A HUNDRED PERCENT RANGE OR 120, 30% OF INCOME IS MORE THAN THEY WANNA PAY PER RENT.
IF THEY'LL, THEY WILL HAVE OTHER OPTIONS.
AND SO WHEN WE LOOK AT HOW WE'RE PRICING RENTS, INCOME BASED RENTS ARE 30%, IT'S GONNA BE VERY DIFFERENT FOR SOMEONE THAT A HUNDRED PERCENT FOR SOMEONE THAT 40% OF ME.
AND TO YOUR POINT, KATHLEEN, I THINK OUR PLAN FOR THE NEXT MEETING, WHICH IS IN JUST A FEW WEEKS, IS TO REALLY DIG INTO THOSE QUESTIONS, UM, AND TO DIG INTO THOSE TENSIONS.
I THINK A BIG ROLE OF THIS GROUP IS TO BE WEIGHING THOSE TRADE OFFS AND THERE'S, THERE'S A LOT OF TRADE OFFS AND THEY'RE NOT EASY, UM, TRADE OFFS.
BUT YEAH, WE'RE PLANNING NEXT TIME TO HAVE MOSTLY DISCUSSION AROUND SOME OF THOSE KEY DECISIONS THAT WE THINK WE NEED TO MAKE BEFORE WE CAN SORT OF BREAK INTO WORKING GROUPS AND, UM, GET INTO THIS FURTHER, UH, HAVE, YEAH, I, I HAVE SOME COMMENTS MAYBE, AND I DON'T TRY TO, I HAVE A FEW DIFFERENT THINGS I WANTED TO SAY, BUT FIRST RESPONDING TO THIS DISCUSSION, WHICH I FOUND REALLY INTERESTING.
UM, I THINK ONE THING THAT'S CLARIFYING FOR MY OWN, THE WAY I'M THINKING ABOUT SOCIAL HOUSING, I WOULDN'T NECESSARILY USE THESE VIBE AS THE, THE GREEN OF WHAT SOCIAL HOUSING NEEDS TO MEET.
I WOULD USE THE PUBLIC CONTROL OR PUBLIC DEVELOPMENT.
I WOULDN'T NECESSARILY SAY PUBLIC BACKING.
UM, I WOULD SAY PERMANENT AFFORDABILITY AND MARKET INSTALLATION AND COMMUNITY CONTROL.
AND I THINK THESE MIXED INCOME AFFORDABILITY ARE THINGS THAT ARE IN SOME WAYS INTENTION WITH EACH OTHER.
AND I THINK FOR ME, THE, THE WHERE SOCIAL HOUSING LANDS IN OUR CONTEXT IS LARGELY IN RESPONSE TO THE NEEDS ASSESSMENT THAT WE JUST SAW AND HOW SOCIAL HOUSING TARGET.
I THINK ONE THING THAT'S REALLY IMPORTANT IS THAT SOCIAL HOUSING IS, YOU KNOW, NOT NECESSARILY WHOLLY DISTINCT FROM ALL THE MODELS THAT WE ARE ALREADY DOING, BUT IT'S TRYING TO FILL THE GAPS THAT WE'RE, THAT WE'RE SEEING IN EXISTING MODELS.
IT HAS TO HAVE, IT HAS TO LIVE UP TO A MUCH GREATER STANDARD IN CERTAIN ELEMENTS THAT COMMUNITY CONTROL, WHICH I'M GONNA TALK, TALK ABOUT IN ONE SECOND, UM, AND HOPEFULLY ALSO ALLOWS THE ENTITY THAT'S DOING THIS TO BE FLEXIBLE AND NIMBLE AND, YOU KNOW, NOT PUT EXTRA BARRIERS IN THE WAY SO TO, TO MEET THE NEEDS THAT WE IDENTIFY NOW, BUT ALSO THAT THAT ENTITY IS SORT OF CONTINUOUSLY IDENTIFYING.
AND THAT'S SOMETHING THAT SORT OF PEOPLE TALK ABOUT IN THEIR, THEIR RESPONSES.
AND THERE'S LOTS OF ADDITIONAL BARRIERS TO PUBLIC DEVELOPMENT.
I THINK THAT'S WHERE THAT MIGHT COME IN.
UM, I, I DO WANT TO JUST TALK ABOUT GOVERNANCE QUICKLY BECAUSE I, I, I, I, I REALLY APPRECIATED THIS CHART AND HOW IT WAS LAID OUT.
I DO THINK THE WAY GOV COMMUNITY COMMUNITY CONTROL ASSESSED HERE WAS A LITTLE DIFFERENT THAN THE WAY I WOULD CONSIDER IT.
AND IT WAS MOSTLY JUST SAYING WHAT LEVEL OF OWNERSHIP OR WHAT LEVEL OF, YOU KNOW, DIRECT CONTROL DOES RESIDENT HAVE.
I THINK GOVERNANCE HAS MANY MORE LAYERS THAN JUST THAT.
AND I THINK IN PARTICULAR, JUST THINKING ABOUT RENT HOUSING, YOU KNOW, GOVERNANCE CAN LOOK LIKE, YOU KNOW, ACCOUNTABILITY OF MANAGEMENT GIVEN LOOK LIKE OVERSIGHT OF MANAGEMENT, SELECTION OF THE MANAGEMENT COMPANY.
UM, IT CAN LOOK LIKE PRESENCE ON THE BOARD AS WELL.
IT CAN LOOK LIKE BUDGETS, SENATE COUNCILS FEELING LIKE TO WHAT DEGREE YOU'RE ABLE TO REALIZE THEIR OWN COMMUNITY IN THAT BUILDING.
IT ALSO LOOKS LIKE SOMETHING THAT IS A REALLY HUGE BENEFIT OF INCOME RESTRICTED OR JUST ALL AFFORDABLE HOUSING, WHICH IS IN, IS SECURE TENURE.
YOU KNOW, ONE OF, YOU KNOW,
UM, SO I THINK ALL THOSE THINGS CAN ACTUALLY BE PART OF RESIDENT CONTROL.
SO ELEMENTS THAT YOU CONTROL THAT YOUR LANDLORD CAN, OR YOUR, THE PERSON WHO OWNS YOUR BUILDING CANNOT, UH, AFFECT OR HAS LESS, LESS CONTROL OVER.
SO I JUST WANNA, I THINK THOSE ARE THE THINGS THAT WE SHOULD DISCUSS IN THERE.
AND I WOULD, I WOULD, I, I DON'T KNOW IF THERE'S LIKE A SINGLE SPECTRUM OF COMMUNITY CONTROL THAT'S, THAT'S SUITABLE, BUT I I I, I KNOW IT'S CHALLENGING PATH HERE, THIS CHART.
I JUST, I JUST WANNA HIGHLIGHT THOSE THINGS.
UM, AND THEN FINALLY, OH, JUST WITH MIXED INCOME, I, I WELL SAY, I THINK ONE OF THE, ONE OF THE BENEFITS OF MIXED INCOME IS TRYING TO ENVISION A NEW FINANCING MODEL WHERE WE CAN BRING IN THESE MARKET RATE UNITS THAT POTENTIALLY ALLOWS FOR LOST PUBLIC FINANCING THAT POTENTIALLY DEALS FUTURE THAT ACTUALLY COST PRINT.
BUT I ALSO THINK THERE'S A PART OF IT, WHICH IS THIS OUTBREAK ON OF LIKE SOCIAL MIXING AND KIND MIXING.
I THINK WHEN, WHEN WE TALK ABOUT THAT, I THINK THEN IN INCLUSIVE BUILDING MAY NOT MEET ALL THE INCOME MIXING OF THE REQUIREMENTS OF MIXED INCOME BECAUSE WE KNOW THE SORT OF STORIES OF ISOLATION BECAUSE THAT 20% MAYBE ISN'T SUFFICIENT OR THE WAY THAT PEOPLE ARE, ARE TREATED OR FEEL, UM, PRODUCTIVE CONTINGENT.
SO I THINK THERE'S THE, THERE'S SORT OF DIFFERENT ELEMENTS OF MIXED INCOME THAT WE MAY WANNA DISCUSS AS WE MOVE FORWARD.
I'M SORRY, I KEEP HAVING TO RAISE MY HAND.
WE THANK YOU KAVA, BECAUSE KA TALKED ABOUT A FEW THINGS I DON'T WANNA TALK ABOUT A LITTLE BIT MORE TOO.
I KNOW IT'S INCREDIBLY IMPORTANT TO HAVE A SUCCESSFUL BUILDING.
IT'S VERY IMPORTANT AND IT HAS TO BE SUCCESSFUL IN LOTS OF WAYS.
AND THE BOTTOM LINE IS WE'VE GOT A GROWING HOMELESS POPULATION HERE THAT IS LOCAL, THAT IS HOMEGROWN, THAT CAN NO LONGER AFFORD TO LIVE HERE.
THAT IS SOMETHING THAT WE TRULY, TRULY SHOULD NOT THROW UNDER
[01:25:01]
THE BUS.THESE PEOPLE REALLY, THEY'RE FROM HERE.
BUT MORE IMPORTANTLY, AND I'M REALLY GENUINELY CONCERNED, THE REALITIES ARE THAT THE AMIS DO NOT WORK.
YOU NEED TO LOOK AT ANOTHER VARIABLE ABOUT WHAT IS ABOUT INCOME, WHAT IS ABOUT MEASUREMENT OF INCOME, WHAT IS ABOUT HOUSEHOLD SUBS.
THERE ARE PEOPLE IN MY BUILDING THAT ARE DOUBLED UP AND TRIPLED UP AND BELIEVE ME, MANAGEMENT KNOWS ABOUT IT AND LOOKS THE OTHER WAY BECAUSE THEY KNOW THERE'S NO OTHER PLACE FOR THESE PEOPLE TO BE.
SO IF YOU'RE TALKING ABOUT PEOPLE LEADING, NEEDING LESS ROOM AND LESS SPACE, I'M SORRY, KRISTEN, I DON'T AGREE WITH YOU BECAUSE I'M MEETING PEOPLE ALL THE TIME WHO NEED MORE SPACE, WHO HAVE LARGER FAMILY UNITS GIVEN WHATEVER CULTURES THEY'RE COMING FROM AND WHATEVER NECESSITIES THEY'RE COMING FROM, THERE'S THAT, THERE'S NUMBER ONE.
NUMBER TWO, AS MUCH AS I WOULD LOVE TO SEE INCLUSIONARY AS BEING THIS WONDERFULLY SUCCESSFUL THING, IT IS NOT WONDERFULLY SUCCESSFUL FOR LOW INCOME PEOPLE.
AND I'VE BEEN SITTING NOW ON INCLUSIONARY LISTS FOR OVER 10 YEARS WITH MOBILE HEALTH CERTIFICATE.
AND I WOULD LOVE TO LOOK AT A UNIT THAT MEETS THE REQUIREMENTS THAT I NEED, NOT ONLY AS A DISABLED PERSON, BUT IN TERMS OF THE FACT THAT AT 72 I STILL WORK AND A LOT OF PEOPLE WILL CONTINUE TO WORK.
AND GIVEN THE FACT THAT, UM, MUSICIANS DON'T RETIRE, THEY JUST DIE.
WE CONTINUE TO WORK MUSICIANS AND ACTORS.
BUT THE REALITY IS, I THINK WE HAVE TO LOOK AT A FEW VARIABLES HERE, NOT THE TRADITIONAL VARIABLES.
AND UNDERSTAND, I KNOW HOW BRILLIANT YOU ARE AND I KNOW HOW MUCH INCLUSIONARY TRIBES I GET IT.
AND THE FACT THAT WE HAVE IT IS WONDERFUL.
I COME OUT OF PLACES LIKE BROOKLINE TRYING TO HELP PEOPLE WHERE THERE IS ZERO INCLUSIONARY, EVEN THOUGH THEY'RE SUPPOSED TO BE.
BUT I JUST WANNA SAY THIS BECAUSE IT'S, WE HAVE TO LOOK BEYOND TRADITIONAL WAYS OF LOOKING AT HOUSING AND THE PEOPLE WHO LOOK IN THESE HOUSING.
AND THAT IS PART OF WHAT KISH WAS JUST TALKING ABOUT, BECAUSE IT DOESN'T REALLY, WHAT PEOPLE ARE REALLY LIVING WITH IN THIS CITY DOESN'T NECESSARILY MEET WHAT IT LOOKS LIKE ON PAPER.
UM, IT JUST DOESN'T, AND I KNOW I SAID THIS IN THE FIRST MEETING, I THINK IT WOULD BE A REALLY, REALLY GOOD IDEA.
AND WE COULD DO THIS IN A LOT OF DIFFERENT WAYS TO DO A CITYWIDE CANVASSING OF WHAT PEOPLE NEED FOR HOUSING HERE.
AND I KNOW THAT ON THE OTHER END OF THAT IS MAYBE P PEOPLE DON'T WANNA LOOK AT THAT BECAUSE IT LOOKS A LITTLE FRIGHTENING AND A LITTLE NIGHTMARISH.
AND I GET THAT BECAUSE IT KIND OF IS.
BUT WE NEED TO LOOK AT WHAT PEOPLE REALLY NEED FOR HOUSING.
AND THERE MAY BE SOMEBODY WHO CAN DO THE 100 A MI, GOD BLESS, ENJOY THAT.
BUT THERE ARE A LOT OF PEOPLE HERE WHO EVEN HAVE TWO INCOMES WHO CANNOT MEET THAT.
AND CERTAINLY I CAN'T MEET THAT GIVEN WORKING FOR A NONPROFIT, AND I CAN'T, I DON'T KNOW WHO ELSE IN THIS ROOM.
MAYBE SOME PEOPLE CAN, SOME PEOPLE CAN'T.
BUT HERE'S THE THING, CAMBRIDGE IS GOING TO CONTINUE TO HAVE A GROWING HOMELESS RATE, AND IT'S NOT NECESSARILY GOING TO BE THE WAY A COUPLE OF CITY COUNCILORS VIEW IT AS HOMELESS PEOPLE COMING INTO CAMBRIDGE.
THESE PEOPLE ARE ALREADY HERE, AND SOME OF THEM HAVE BEEN HERE FOR 45 AND 50 YEARS IN VARIOUS STATES OF HOMELESSNESS.
WE HAVE TO LOOK AT A BROADER WAY OF LOOKING AT IT, NOT JUST THE MATHEMATICS, BUT I DO UNDERSTAND THE MATHEMATICS.
MY DAD WAS IN THE BUILDING BUSINESS, BUT HERE'S THE DEAL, IT'S NOT JUST ABOUT THAT.
AND I REALLY JUST DON'T WANNA BE LIKE A BROKEN RECORD.
WE'RE TALKING ABOUT PEOPLE HERE.
WE'RE TALKING ABOUT PEOPLE BADLY HOUSED ALREADY IN THE CITY.
I KNOW THERE ARE PEOPLE IN THIS ROOM WHO KNOW WHAT HAPPENED TO THE BUILDING.
I LIVE IN 15 FLOORS, FLOODED OUT, AND HRI GOT AWAY WITH IT.
BUT THE REALITIES ARE, WE HAVE TO LOOK AT THIS IN A BROADER WAY THAN WE'RE LOOKING AT IT.
IT'S NOT JUST ABOUT THE NUMBERS.
AND YOU DON'T HAVE TO AGREE WITH ME ABOUT THE NUMBERS, IT'S FINE WITH ME, BUT IT, IT ISN'T JUST ABOUT SUCCESS RATES.
WE HAVE TO DEAL WITH THE FACT THAT PART OF WHAT ME BEHIND SOCIAL HOUSING IS THAT PEOPLE WHO ARE IN TREMENDOUS POVERTY AND DIFFICULTY IN THIS SITUATION IN THE CITY ARE VERY ISOLATED.
AND SOCIAL HOUSING WOULD HELP THEM TREMENDOUSLY.
AND EVEN A LOT OF MIDDLE INCOME PEOPLE WHO ARE JUST BARELY MIDDLE INCOME ARE IN THE SAME PLACE.
[01:30:01]
UH, AND, AND I THINK, THANK YOU.I THINK, UM, THOSE ARE GOOD POINTS AND THAT WE NEED TO, WE GET FOCUSED ON NUMBERS, UM, AND DATA.
UH, BUT WE'RE, WE'RE TALKING ABOUT REAL PEOPLE, UM, WHO, YOU KNOW, MANY OF WHICH ARE IN VERY, YOU KNOW, DIFFICULT SITUATIONS.
AND YOU KNOW, AS WE LOOK AT THIS, I THINK WE WANNA MAKE CLEAR THOUGH, THAT WE'RE NOT LOOKING TO SORT OF SWAP OUT ALL THE EXISTING THINGS THE CITY'S DOING AROUND HOUSING, MANY OF WHICH ARE TARGETING SORT OF THAT DEEPER AFFORDABILITY NEEDS OR, UM, YOU KNOW, WHERE THERE'S KIND OF THE GREATEST NEED WITH SOCIAL HOUSING.
BUT WE'RE HOPING THIS CAN HELP ALLEVIATE, UM, SOME OF THE NEED.
UM, SO I THINK WE WANT, WE HAVE A, MAYBE A COUPLE MORE MINUTES HERE, AND THEN WE JUST HAVE LIKE ANOTHER SLIDE, UM, AND THEN ANOTHER SORT OF CHANCE TO DISCUSS.
BUT I THINK THIS HAS BEEN A REALLY GOOD, UH, DISCUSSION AND SETTING US UP WELL FOR THE NEXT MEETING.
UM, ANY OTHER THOUGHTS ON THIS SO FAR, OR AREAS WHERE YOU REALLY SEE A GAP BETWEEN WHAT WE'RE DOING NOW AND WHAT WE WANT TO BE DOING? GO TO THE NEXT SLIDE, PLEASE.
WE'RE GETTING, YEAH, YOU CAN GO AHEAD.
UM, AND I THINK WE'VE GOTTEN AT SOME OF THIS ALREADY THROUGH THIS DISCUSSION, UH, BUT, AND OTHER THOUGHTS HERE, PARTICULARLY AROUND LIKE, WHERE ARE THE GAPS BETWEEN WHAT WE'RE DOING AND WHERE WE WANT BE GOING, GUY THAT, THAT, SO JUST A COUPLE
THE, THE CHART IS VERY GOOD ABOUT LAYING OUT, KNOW THE DIFFERENT APPROACHES AND WHERE THEY FIT THESE CATEGORIES, BUT WHAT'S MISSING FROM THE CHART WAS IN THE PRESENTATION.
WHAT'S THE SCALE, WHAT'S HAPPENING NOW? YEAH.
AND SO IF YOU PUT, YOU KNOW, YOU LOOK AT THAT CHART, YOU SAY THAT, YOU KNOW, THE A HUNDRED PERCENT AFFORDABLE IS BY FAR ON THE LARGEST CATEGORY OF UNITS.
I THINK IT'S MOSTLY UNDER 50% OF A MI SECOND CATEGORY IS INCLUSIONARY, WHICH IS ABOVE 80.
UH, AND THEN YOU HAVE A SPATTERING OF HOME OWNERSHIP UNITS.
AND SO, AND, AND THEN LOOK AT THOSE TWO ALSO, WHAT INCOME BANDS THEY'RE SERVING.
SO THERE'S KIND OF HOW BIG IS PROGRAM, WHAT INCOME BANDS THEY SERVING.
AND, AND THE OTHER PIECE GOES FROM FAR WAS SAYING IS I THINK WHAT, WHAT'S THE KIND OF SUB COST PER UNIT? UM, AND SO, SO WHAT, HOW MUCH BANG IS FOR YOUR BUCK? YOU'RE GETTING, I DON'T KNOW THAT IT'S GONNA TELL US THE ANSWERS, BUT I THINK IT GIVES US A BETTER SENSE OF WHERE, WHERE THE EFFORTS ARE GOING RIGHT NOW.
AND, AND ONE OF THE THINGS I JUST, I, I'D LIKE TO PUT A PIN IN IS THAT WHEN I THINK ABOUT SOCIAL HOUSING, I THINK ABOUT WHEN PEOPLE, UH, ARE DRAWN TO THIS CONCEPT LOOKING AT PLACES LIKE VIENNA AND, AND IN EUROPE WHERE 40% OF THE HOUSING STOCK FALLS INTO SOCIAL HOUSING CATEGORY.
IT'S THAT SCALE OF THE PROGRAM THAT PROVIDES DOWNWARD PRESSURE ON MARKET RENTS.
SO IN SOME SENSE, THERE'S A QUESTION OF SCALABILITY.
AND I THINK THE SCALABILITY PIECE THOUGH ALSO THEN HAS TO BE ALIGNED WITH THOSE GOALS.
AND SO, FOR EXAMPLE, INCLUSIONARY STANDS OUT AS ONE THAT IS, YOU KNOW, PRETTY HIGH, PRETTY SCALE.
I MEAN, I DON'T JUST ESTIMATING BASED ON HOW MANY DEVELOPMENTS THERE ARE, MIGHT BE TWO TO 400 INCLUSIONARY, WHICH IS GREAT, BUT MORE THAN THAT, 1600.
1600 IN THE PIPELINE? UH, NO LITTLE THREE.
BUT I MEAN, IN THE PIPELINE THERE WAS, OH YEAH, YEAH, THAT'S RIGHT.
SO LIKE, ANYWAY, SO, BUT THERE, THERE'S A LOT, BUT THEY PROBABLY RANK LOW ON SOCIAL HOUSING IN TERMS OF YEAH.
SO I JUST THINKING ABOUT ULTIMATELY THE, THE KIND OF ROLE IS KIND OF CREATING SCALE.
UH, AND, AND THE, AND THE ROLE OF SCALE TOO IS IT'S NOT JUST ABOUT AFFORDABILITY TODAY.
SO AFFORDABILITY 20 YEARS FROM NOW.
AND SO I THINK IN SOME SENSE THE, THE PROGRAM MAY NOT ACHIEVE AFFORDABILITY TODAY BECAUSE OF THE COST OF ACQUISITION DEVELOPMENT, BUT IT MAY BE MORE AFFORDABILITY FIGURE.
SO HOW DO, HOW DO YOU FACTOR IN KIND A FUTURE IMPACT ON THE HOUSING MARKET IN CAMBRIDGE AND NOT JUST TODAY? BECAUSE IF YOU HAVE SAY, YOU KNOW, MIXED INCOME DEVELOPMENT THAT'S 20% AFFORDABLE, 80% MARKET, BUT IT'S OWNED BY THE CITY OF CAMBRIDGE AND YOU'RE MANAGING THAT TO AFFORDABILITY 20 YEARS FROM NOW, THAT MIGHT BE MORE LIKE 50 50 OR 60 40.
UH,
IMPACT AND THINGS LIKE THAT, THAT SCENARIO BIG.
SO WE'RE WORKING ON BRINGING ON A FINANCIAL CONSULTANT THAT WILL HELP US DO THAT AND, YOU KNOW, CREATE PROFORMAS AND REALLY DIG INTO THE FINANCIAL SIDE OF THINGS.
UM, SO HOPING IN A MONTH THERE'S MORE LIKE SIX WEEKS, UM, WE'LL HAVE SOMEONE ON BOARD.
SO I SOUND IN MY HANDS, UH, BUILDING OFF THE SCALE, I MEAN, KNOWING THAT, I THINK ONE OF THE CONCERNS IS THAT THEY START TAKING FUNDS OUT OF THESE PROGRAMS OR OTHER HOUSING FUNDS, UM, THEN LOOKING AT A MIXED INCOME MODEL THAT THERE'S A LOSS AS FAR AS WHAT WE'RE DOING, UM, UM, COMPONENT.
SO I THINK ONE THING IS INTERESTING ABOUT SCALING WITH, UM, MARKET RATE HOUSING AND POTENTIALLY, UH, MARKET RATE INVESTMENT AND
[01:35:01]
OTHER SOURCES OF EQUITY IS WHAT YOU CAN DO WITH A LITTLE BIT OF PUBLIC ASSISTANCE.UM, WORKING WITH MARKET INVESTMENT TOOLS TO GET A MIXED INCOME HOUSING, UH, PRODUCT THAT COULD SCALE AND COULD GET WHAT TO, WHAT THEY'RE SAYING IS HOW MUCH ON A PER UNIT BASIS, UM, IS NEEDED TO SUBSIDIZE AN INDIVIDUAL UNIT OR HOW, HOW MUCH ON THE OVERALL PROJECT, UM, IS NEEDED.
SO I THINK THAT THAT'S, TO ME, THAT'S ONE OF THE INTERESTING THINGS THAT MAKES SOCIAL MODEL SOCIAL HOUSING DIFFERENT THAN A LOT OF THESE OTHER MODELS IS THAT, UM, MIXTURE SOURCES.
IT'S ALMOST, UM, A FEW, ALMOST EIGHT YEARS AGO THERE WAS TALK ABOUT THE SUPER INCLUSIONARY CONCEPT, UM, IN THE ZONING CONVERSATIONS.
WHAT, WHAT ARE WAYS TO DO, UM, PRIVATE DEVELOPMENT THAT GOES MUCH DEEPER, UM, ON THE INCLUSIONARY SIDE, BOTH, UH, AS FAR AS WHO CAN AFFORD IT AND HOW MANY UNITS AND MAYBE THERE'S A WAY TO INVEST IN THAT SIDE OF OTHERWISE STALLED OUT MARKET RATE PROJECTS.
YEAH, I, I WOULD GONNA, I MEAN, I THINK THAT, I MEAN, THAT GETS AT THE TENSION BETWEEN KIND OF A MARKET SOLUTION AND SOCIAL HOUSING INCOME AND KIND OF GOVERNANCE.
'CAUSE I THINK IT WOULD BE DIFFICULT TO ACHIEVE SOME OF THAT WITH A REAL SPEAK.
I WAS SAYING THAT SORT OF POINTS TO THE TENSION THAT WOULD EXIST BETWEEN A A, A MARKET, A PARTNER SOLUTION THAT WOULD BE DELIVERING AFFORDABLE UNITS AND MARKET RATE UNITS WITH L LESS PUBLIC MONEY, BUT LESS GOV LESS, LESS TENANT GOVERNANCE.
AND IT COULD BE THAT WE END UP WITH A, WITH A RANGE OF, OF SOCIAL HOUSING THAT KIND OF CHECKS IN DIFFERENT BOXES.
BUT I WANTED TO KIND OF GO BACK TO THE CONVERSATION ABOUT WHAT, WHAT THE COST OF, YOU KNOW, RENT WOULD BE IN SOCIAL HOUSING.
'CAUSE WE'VE TALKED ABOUT, WELL, THE COST WILL BE BASED OFF THE COST OF THE BUILDING.
AND SO THEN THE OPERATING COST OF THE BUILDING IS SOMEWHERE AROUND $14,000 PER YEAR JUST TO COVER OPERATING COSTS WITHOUT COVERING THE COST TO ACTUALLY BUILDING, BUILDING THE DEBT DEBT SERVICE WITH THE DEBT SERVICE AND ALL OF THAT.
AND YOU KNOW, A TYPICAL RESIDENT IN PUBLIC HOUSING WHO'S SOMEWHERE BETWEEN 30 AND 50% IS MAYBE COVERING 40% OF THE OPERATING COSTS, NEVERMIND THE DEBT SERVICE COSTS.
AND SO THEN IF YOU'RE LOOKING TO AUGMENT THAT WITH THE MARKET SIDE OF THE EQUATION, YOU ALMOST HAVE TO PAY MORE THAN MARKET COST TO OFFSET THE THAT.
AND, AND THAT'S WHERE THE TEETER TOT GETS VERY, VERY TRICKY.
AND WHEN WE GET IN THE FINANCIAL FORECASTING, BUT JUST KIND OF LEVELING SETTING AGAINST OF, YOU KNOW, WHAT, HOW HARD THE NET'S GONNA BE TO TRY TO SOLVE, IT'S JUST LOOKING AT WHAT EACH OF THOSE PROGRAMS ARE RESULTING IN TERMS OF AFFORDABILITY AT, YOU KNOW, WHAT, WHAT IS IT, WHAT IS THE RENT OR THE HOUSING BURDEN FOR THAT YEAR ON THAT MODEL.
AND YOU KNOW, AND IT'S GONNA GO UP AS YOU GO UP, YOU KNOW, WHETHER IT'S INCLUSIONARY, WHETHER IT'S HOME OWNERSHIP VERSUS, YOU KNOW, THE DEEP AFFORDABILITY.
AND I WAS GETTING AT SORT OF THE SAME ISSUE, BUT IT, LIKE, ONE THING WE'VE THOUGHT ABOUT IN THE MOMENTUM FUND, WHICH IS LIKE, IT'S LARGELY MARKET ORIENTED.
THERE ARE SOME INCLUSIONARY UNITS, THERE'S A PUBLIC INVESTMENT TO SORT OF IN INDUCE PRIVATE INVESTMENT, BUT IS ADDING LIKE A 50% OF A MI TO YOUR THAT HAS VOUCHERS.
THERE IS SOME, THERE IS SOME LIKE MORAL HAZARD IN SAYING, WE'RE GONNA DEVELOP 30% A MI UNITS THAT DON'T HAVE OPERATING SUBSEA.
LIKE THAT'S A VERY PRECARIOUS POSITION TO BE PUTTING PEOPLE IN.
SO THINKING ABOUT LIKE HOW PEOPLE, MEANING THE LENDERS NO MEANING ATTENDANCE, RIGHT? YEAH.
BECAUSE THEY CAN'T EVEN AFFORD IT.
AND KNOWING THAT THERE'S LIKE NO MARGIN, RIGHT? AND SO I THINK JUST THINKING ABOUT WHETHER THERE'S ANY WAY TO LAYER THOSE THINGS, I THINK IT'S AN INCREDIBLY DIFFICULT CLIMATE TO BEGIN THINKING ABOUT THAT RIGHT NOW.
BUT SOMETHING TO THINK ABOUT IN THE FUTURE.
I DO THINK THAT ONE THING WE KEEP HEARING IS THAT LIKE THE SCALE VERSUS TENANT CONTROL ARE, THOSE TO ME FEEL LIKE THEY'RE VERY MUCH IN TENSION AS WE WANT TO DO THE THINGS THAT ARE AT SCALE.
YOU HAVE TO SORT OF BOLT SOMETHING ONTO THE SIDE OF LIKE MARKET DEVELOPMENT, BUT THEN YOU LOSE CONTROL.
SO THAT'S JUST A QUESTION FOR WHEN WE DO TALK ABOUT THOSE THINGS.
AND THE OTHER QUESTION IS JUST FOR THE CITY IS MORE LIKE, I THINK, SO MASS HOUSING, SOME PROGRAMS THAT WE'VE BUILT, WE'VE BUILT IN INFLECTION POINTS OF LIKE, AT A CERTAIN POINT YOU WANNA REVISIT LIKE WHAT IS THE AFFORDABILITY THAT SHOULD BE THERE? THAT'S WHAT WE DID WITH OUR COMMONWEALTH BUILDER PROGRAM THAT DOESN'T WORK IN CAMBRIDGE.
UM, BUT YOU KNOW, THERE'S OTHER PLACES WHERE LIKE THAT'S WHAT HAPPENED WITH THE 13 A PROGRAM AND THEN YOU'RE IN A CRISIS.
SO JUST THINKING ABOUT IF YOU SET A A, A SET OF TIERS TODAY AND YOU LOCK THAT IN, DO YOU LOCK YOURSELF UP OUT OF FUTURE OPTIONALITY OR IS THAT A GOOD THING? THAT'S A GOOD QUESTION.
I, I WON'T ANSWER IT BECAUSE IT MAY IT MORE COMPLICATED.
[01:40:01]
YEAH.SOME OF THE WAYS IN WHICH WE DO THAT, I THINK, OR YOU KNOW, MAYBE BEYOND THE, THE, THE SCALE HERE, BUT THINKING ABOUT, YOU KNOW, WHERE YOU CAN BRING IN MORE RECAPITALIZE AND BRING IN MORE PRIVATE INVESTMENT RATHER THAN MORE PUBLIC INVESTMENT.
THINKING ABOUT SOME OF THOSE THINGS THAT MAY SEEM KIND, SEEM KIND OF INTUITIVELY SET SOMETHING UP, BUT TRYING TO PRESERVE SOME OF THAT OPTIONALITY LATER TO, TO BETTER LEVERAGE THINGS IN THE FUTURE.
UM, HAVE, WELL, UM, I THINK BUILDING OFF OF MARGARET'S POINT, AND CHRIS, I SEE YOUR POINT ABOUT SOME OF THE FLEXIBILITY THAT PRIVATE INVESTMENT COULD HAVE.
I THINK IT WOULD BE REALLY INTERESTING FOR OUR FINANCE CONVERSATION IF IT'S POSSIBLE TO LOOK AT ONE OF THE PROFORMAS FROM ONE OF BHAS SORT OF RECAPITALIZED AND DENSIFIED, UM, THEIR PUBLIC HOUSING STOCK PROJECTS.
BECAUSE I THINK THOSE ARE SOME OF THE ONLY PROJECTS THE COMMONWEALTH THAT I'M AWARE OF THAT HAVE SUCCESSFULLY PAIRED HOUSING THAT'S AFFORDABLE FOLKS WITH 0:30 AM I LIST OUR RATE UNITS AND I THINK HAVE A LOT OF THE COMPONENTS OF SOCIAL HOUSING THAT WE'RE TALKING ABOUT HERE.
SO IF, IF THERE'S ANY WAY THAT WE COULD LOOK AT ONE OF THEIR PERFORMANCE THAT WOULD REALLY EXTRACTIVE LIKE BUNKER HILL.
BUNKER HILL OR I THINK THEY HAVE SOME PIPELINE PROJECTS TOO THAT ARE MORE SIMILAR TO THIS DEVELOPMENT ENVIRONMENT, UH, WILD AMOUNTS OF PUBLICNESS
UH, THERE, AS, AS WE'VE DISCUSSED, I THINK THERE ARE TRADE OFFS,
THEY'RE, THEY'RE REVOLVING LOAN FUND WHERE THEY'RE GONNA ACTUALLY E OUT SOME RETURN OF CAPITAL, I THINK THEN BECOMES TO POOL THAT HOPEFULLY, YOU KNOW, SPUR SOME DEEPER, YOU KNOW, EITHER DEEPER AFFORDABILITY AT THOSE SITES OR MORE UNITS.
SO IT ABSOLUTELY SHOULD BE LOOKED AT.
COULD YOU PUT MYSELF ON THAT? I WAS GONNA REFERENCE THAT LAST POINT, WHICH I THINK ONE OF THE, IN INSTRUCTIVE PARTS OF HOW BHJ HAS APPROACHED THE RECENT PROJECT IS THEY ARE ABLE TO CAPTURE MORE OF THE CASH FLOW FROM YEAH.
THE PROJECT THAT THEY PREVIOUSLY WERE IN THEIR PREVIOUS PARTNER OF PUBLIC PRIVATE.
AND I THINK THAT'S AN INTERESTING LESSON AND JUST TO SPEAK TO THIS TENSION THAT PEOPLE HAVE POSITED BETWEEN SCALE AND TRYING TO REDUCE MARKET MARKET TOOLS AND, UH, TENANT GOVERNANCE.
I DON'T THINK WE NEED TO TRADE OFF THOSE THINGS IF WE'RE CONCE RECEIVING OF THE DEVELOPER OF THIS MARKET RATE HOUSING AS A PUBLIC ENTITY.
SO I THINK IT'S BECAUSE I THINK THERE'S CERTAIN, THERE'S AN ASSUMPTION THAT YOU'RE SAYING THIS HAS TO BE A PRIVATE DEVELOPER DOING THIS, BUT WHY COULDN'T A SOCIAL HOUSING DEVELOPER THAT IS BOUGHT PUBLIC, PUBLIC BE DOING MORE TRADITIONAL MARKET? I MEAN, THAT'S WHAT THE ACTORS IN, IN, IN VIENNA ARE DOING.
THEY'RE ACTING IN, THAT'S WHY THEY EXERT DOWN PRESSURE.
'CAUSE THEY'RE ACTING IN SORT OF THE SAME MARKETPLACE.
AND I THINK, UM, BUT THEY ARE PUBLICLY ACCOUNTABLE.
I DON'T THINK THEY NECESSARILY HAVE TO BE IN AS WHAT I WAS TRYING TO TALK ABOUT WITH GOVERNANCE BEFORE.
THEY DON'T NEED TO BE, YOU KNOW, WHOLLY GOVERNED AND BY THE TENANTS.
THEY, BUT THEY, THEY HAVE, THEY HAVE ELEMENTS OF GOVERNANCE THAT CURRENT FORMS OF PUBLIC AND AFFORDABLE HOUSING MAY NOT HAVE.
UM, SO I THINK THAT'S THE, I HOPE THAT WE CAN HOPEFULLY NOT HAVE THIS FULLY, INTENTIONALLY WITH EACH OTHER.
LAND MAKES THAT HARD TO FULLY SCALE, TO HAVE LIKE LOTS OF THOSE DEVELOPMENTS.
YOU WERE SORRY, WE'VE BEEN THERE A LOT.
WELL, I WAS GONNA ANSWER THE, THE POINT ABOUT, UM, UNITS PENCILING AND FIGURING OUT NOT WANTING TO, TO SET IT UP IN A WAY THAT'S NOT SUSTAINABLE.
I THAT PERHAPS ONE OF THE BIG UNIQUE THINGS ABOUT SOCIAL HOUSING IS THE, THE SPLIT CAN CHANGE OVER TIME, WHEREAS IN AN INCLUSIONARY BUILDING, IT'S GONNA BE 80 20 FOREVER, 80% MARKET AREA, 20% AFFORDABLE.
WITH A SOCIAL HOUSING BUILDING, YOU CAN CHANGE THOSE PERCENTAGES OVER TIME AS YOU PAY DOWN THE DEBT SERVICE.
MAYBE IT GOES FROM, YOU KNOW, 30% AFFORDABLE TO 40% AFFORDABLE, OR YOU HAVE MORE 80% A MI, 50% A MI.
AND AS YOU PAY DOWN THE DEBT SERVICE, YOU'RE ABLE TO DO MORE 30% A MI THAT WE ACTUALLY HAVE THE WAY TO, TO STRUCTURE THIS DIFFERENTLY ACROSS TIME AS, AS THE UNIQUE AND TO SOCIAL HOUSING'S ADVANTAGE HERE THAT YOU CAN CHANGE THE, THE MIXES A LITTLE BIT.
I I THINK THAT'S A GREAT PLACE TO, UM, MOVE.
WE JUST HAVE LIKE ONE MORE SLIDE AND THEN I THINK WE CAN TAKE A FEW MORE MINUTES FOR DISCUSSION BEFORE WE WRAP UP.
YEAH, I I MEAN, I I HATE TO KIND OF, UM, INTERRUPT THIS DISCUSSION BECAUSE IT'S REALLY GOOD AND THESE, THIS NEXT SLIDE'S REALLY QUICK AND IT'S KIND OF A LITTLE BIT ON SOME OF OUR OTHER ADDITIONAL STRATEGIES.
SO I'LL JUST RUN THROUGH IT REALLY QUICK.
UM, AND THEN WE CAN GO BACK TO THE DISCUSSION.
BUT, UM, WE JUST WANTED TO TALK A LITTLE BIT ABOUT SOME OTHER STRATEGIES AS TO TRY TO PROMOTE, UM, HOUSING AND, AND AFFORDABLE HOUSING.
UM, SO THE FIRST BROAD THING IS THE ZONING.
WE, UH, AS WE TALKED ABOUT BEFORE, WE HAVE THE AFFORDABLE HOUSING OVERLAY THAT STREAMLINES PERMITTING FOR ALL ON AFFORDABLE BUILDINGS AND ALLOWS, UM, AFFORDABLE HOUSING PRODUCTS TO HAVE MORE DENSITY.
UM, WE ALSO HAVE A, UM, THE INCENTIVE ZONING, UM,
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UH, COORDINATES, WHICH BASICALLY TRIES TO CAPTURE AND, AND HARNESS SOME OF THE COMMERCIAL INVESTMENT IN THE CITY AND DIRECT AND BASICALLY REQUIRES COMMERCIAL DEVELOPMENT OVER 30,000 SQUARE FEET TO CONTRIBUTE, UM, A CERTAIN, UH, A LARGE AMOUNT OF, OF FUNDING TO, UM, OF THE AFFORDABLE HOUSING TRUST.UM, THE, WE ALSO HAVE THE, THE RECENTLY, RELATIVELY RECENTLY PASSED MULTIFAMILY ZONING ORDINANCE, UM, THAT ALLOWS MULTIFAMILY CITYWIDE AND, UM, REQUIRES, UM, YOU KNOW, 20% AFFORDABLE, UM, UH, FLOOR AREA IN, UM, PROJECTS THAT ARE OVER, UH, FOUR, FROM FOUR TO SIX STORIES.
UM, THE, THE CITY ALSO, UM, YOU KNOW, OFTEN USES, UM, THE PUBLIC LAND THAT IT OWNS TO, UM, YOU KNOW, GIVE, GIVE THAT TO, UM, DEVELOP AFFORDABLE HOUSING DEVELOPERS TO, TO HELP, UM, SUBSIDIZE THE COST OF BUILDING AFFORDABLE HOUSING.
UM, AND THEN THE, THE CITY ALSO HAS A, A REALLY ROBUST HOUSING ASSISTANCE, UM, PROGRAM THAT TAKES MANY FORMS. BUT, UM, YOU KNOW, WE DO A LOT OF, UM, HOUSING SEARCH WORK, UM, OF, YOU KNOW, EVICTION, UM, PROTECTION, YOU KNOW, HAVE O OTHER PROGRAMS TO HELP, UM, TENANTS WHO ARE, UM, STRUGGLING WITH, UM, KEEPING THEIR HOUSING.
UM, AND THEN FINALLY WE JUST WANTED TO TOUCH ON TAX POLICY.
I MEAN, CAMBRIDGE HAS ONE OF THE LOWEST TAX RATES IN THE STATE, SO THAT DOES HELP KEEP, UM, UH, HELP KEEP, UM, HOME OWNERSHIP HOUSING FOR LONG-TERM HOMEOWNERS AFFORDABLE.
UM, WE ALSO HAVE THE RESIDENT EXCEPTION THAT ALSO HELPS TO KEEP, UM, HOUSING AFFORDABLE FOR HOMEOWNERS.
AND WE HAVE ALSO JUST GENERALLY BEEN LOOKING MORE RECENTLY AT OTHER, UM, APPROACHES TO, UM, USING PROPERTY TAXES, UM, TO HELP, UM, YOU KNOW, TO HELP LOWER OPERATING COSTS FOR, UM, AFFORDABLE HOUSING DEVELOPERS AND AFFORDABLE HOUSING DEVELOPMENT.
IF WE GO TO THE NEXT SLIDE, I THINK WE TAKE LIKE FIVE MINUTES.
UM, WE'VE, I THINK WE HAD A REALLY GREAT DISCUSSION, UM, WHICH TODAY WE'VE TOUCHED ON A NUMBER OF THESE THINGS, BUT ARE THERE ANY STRATEGIES THAT WE'RE NOT CURRENTLY DOING OR THAT HAVEN'T COME UP TODAY THAT, UH, WE WANT TO EXPLORE? SO I DIDN'T TALK ABOUT THE LAST TIME SOME KIND OF
YOU SHOULDN'T HAVE TO ASK, UM, SOME TYPE OF OPPORTUNITY TO PURCHASE AN ACT, WHETHER IT'S A COMMUNITY OPPORTUNITY TO PURCHASE OR A TENANT OPPORTUNITY TO PURCHASE OR, UM, YEAH, AND YOU KNOW, I I MEAN THAT, YOU KNOW, WE HAVE SUCH A WONDERFUL MENU, UM, BUT UH, THAT WAS SOMETHING THAT WAS REFERENCED LAST, UH, THAT'S A GOOD THING.
UM, FROM FORM CENTRAL HOUSING ACROSS THE COUNTRY.
NOTABLY SEATTLE HAS BEEN COUPLED WITH A NEW SOURCE OF FUNDING THAT HAS SORT OF COME WITH THE PILOT.
IN THEIR CASE THERE'S A COMPENSATION TAX THAT WE WOULD NOT BE ABLE TO PASS.
BUT I JUST WONDER, UM, YOU KNOW, I THINK AT LEAST SORT OF COUPLING THIS WITH THE CONVERSATION AROUND, UH, SOURCES, ESPECIALLY WHEN WE TALK ABOUT, UH, YOU KNOW, LIMITED USE OF PUBLIC FUNDS, UM, YOU KNOW, HAVE THE, THE REAL ESTATE PARENTS REVIEW DISCUSSION, UM, FOR A LONG TIME.
BUT I, I THINK IT, IT MIGHT JUST BE WORTH HAVING KNOW OUR DISCUSSION.
UM, UM, I THINK THERE IT'S LIMITED BUT THERE ARE SOME VERY LARGE DEVELOPMENTS, LARGE PITIES PRI PRIMARILY THAT MAY PROVIDE SOME FLEXIBILITY BEYOND INCLUSIONARY, ESPECIALLY IF THERE'S SOME CONVERSATION ABOUT WHAT MIGHT BE CHANGING ABOUT INCLUSIONARY TO, UM, GET LAND AVAILABLE THAT'S GONNA DO SOMETHING DIFFERENT THAN SOME OF THE OTHER TOOLS.
UM, SO WHETHER THAT'S A SET ASIDE OF LAND THAT COULD GO TO A SPECIAL NEEDS TYPE HEALTH SPECIAL NEEDS PROJECT THAT MIGHT NOT FIT IN AN INCLUSIONARY MODEL, UM, OR JUST SOME, SOME FLEXIBILITY IN HOW INCLUSION IS DELIVERED IN A LARGER PROJECT TO GET TO SOCIAL HOSPITALS.
UH, YEAH, JUST WANTED TO ECHO FIVE POINTS REAL QUICK ON TOPA TENANT OPPORTUNITY TO PURCHASE.
UH, REALLY PLEASED TO SAY THE HOUSE AND THE SENATE EACH PASSED VERSIONS OF TOPA AND THE ECONOMIC DEVELOPMENT BILL.
IT'S EXPECTED THE FINAL BILL WILL BE VOTED ON IN OCTOBER, SO THAT BODES REALLY WELL.
UM, ANOTHER THING WE COULD BE DOING THAT, YOU KNOW, WHEN I SAW ALL THE THINGS THAT THE CITY OF CAMBRIDGE IS DOING, IT WAS SO IMPRESSIVE AND I JUST DID HAVE THE THOUGHT IN THE BACK OF MY HEAD.
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THE UNIVERSITIES AND GRADUATE STUDENT HOUSING IS SOMETHING WE ALWAYS TALK ABOUT AND THAT CAN HELP TAKE PRESSURE OFF OF THE EXISTING HOUSING STOCK.COMPLETELY AGREE WITH THE POINT ON NEW FUNDING.
YOU KNOW, YOU THINK OF WHAT WE DID WITH THE FAIR SHARE AMENDMENT AND THAT WAS A MASSIVE AMOUNT OF MONEY THAT HAS BEEN TRANSFORMATIVE AND TRANSPORTATION AND EDUCATION.
I WOULD LOVE FOR US TO HAVE A CONVERSATION ON THAT LARGE SCALE OF BILLIONS OF DOLLARS STATEWIDE HOUSING.
UM, 'CAUSE THAT CAN MAKE SUCH A BIG DIFFERENCE.
UH, AND I ALSO, WHEN WE TALK ABOUT ALL THESE INCREDIBLE THINGS, SO MANY PEOPLE AT THE TABLE ARE DOING, YOU KNOW, I WANNA MAKE THE SUGGESTION THAT AS POLICY MAKERS WE SHOULD BE ADDITIVE.
YOU KNOW, WE SHOULDN'T, I DON'T WANNA SET UP A COMPETITION AGAINST ONE GOOD PROGRAM VERSUS SOCIAL HOUSING.
IF WE RECOGNIZE THE NEED IS EXTRAORDINARY AND WE NEED MORE MONEY.
UM, LET'S TALK ABOUT SOCIAL HOUSING AS SOMETHING IN ADDITION, UH, TO EVERYTHING ELSE.
WANTED TO ECHO, UH, WHAT CHRIS SAID WHEN, YOU KNOW, WE LOOKED AT ALL THE CHART WITH ALL THE COLORS ABOUT HOW SOCIAL NEEDS ARE BEING ADDRESSED.
YOU KNOW, I THINK THE QUESTION IS MORE THAN JUST WHAT NEEDS CAN SOCIAL HOUSING ADDRESS THAT AREN'T BEING ADDRESSED, BUT ARE THERE PARTS OF THOSE NEEDS THAT SOCIAL HOUSING COULD ADDRESS MORE EFFICIENTLY THROUGH THAT MODEL? AND THEN FINALLY, ECHOING SOMETHING THAT JUVAN AND, UH, CHRIS AND SEVERAL OTHERS NOTED, UM, I THINK THERE'S THIS INTERESTING OPPORTUNITY, AND MAYBE IT CAN BE ADDED TO THE LIST OF TENSIONS REGARDING IN SOCIAL HOUSING, WHAT DOES IT LOOK LIKE ON DAY ONE AND WHAT MIGHT THAT PUBLICLY OWNED PUBLICLY CONTROLLED BUILDING LOOK LIKE 10, 20, 40 YEARS OUT? UM, AND DO BUILDINGS START OFF WITH A CERTAIN KIND OF AFFORDABILITY? AND THEN OVER TIME AS THE BUILDING BECOMES SUSTAINABLE, UM, DOES THE AFFORDABILITY INCREASE? AND IS THERE SOME LOGIC TO THAT? BUT ALL OF THAT IS STUFF I ALREADY HEARD THAT I JUST WANTED TO ECHO.
YEAH, THAT WAS A GOOD SUMMARY.
UM, ANYTHING ELSE QUICKLY TO ADD TO THE LIST? WE HAVE PLENTY MORE OPPORTUNITIES TO GET INTO THIS AND THINK ABOUT OTHER STRATEGIES.
UM, I JUST WANT TO THANK ALL, UH, CBD FOR ALL THE HOMEWORK THEY DID.
I THINK THIS WAS A GOOD DISCUSSION BECAUSE WE, YOU KNOW, WE HAD A LOT OF TOOLS IN FRONT OF US THAT WE CRITIQUED A LITTLE BIT, BUT AL ALSO, I THINK IT GAVE US A PLATFORM TO HAVE THE DISCUSSION.
AND ALSO I AGREE WITH REPRESENTATIVE
I MEAN, I KIND OF KNOW, I KNOW ABOUT ALL THOSE THINGS, BUT TO SEE 'EM ALL IN ONE PLACE, UM, YOU KNOW, IT'S REALLY, WE'RE REALLY VERY FORTUNATE AND IT'S VERY COOL THAT WE'RE TALKING ABOUT, OKAY, HOW DO WE EVEN DO THAT BETTER? HOW DO WE FILL THOSE GAPS? I THINK THAT'S A GREAT PLACE TO WRAP UP.
NEXT MEETING, AUGUST 26TH, THREE TO FIVE AGAIN HERE.
UM, REALLY MOSTLY DISCUSSION, UM, FOR THAT MEETING.
WE ARE AGAIN GONNA SEND A FOLLOW-UP SURVEY JUST SO YOU HAVE A LITTLE MORE TIME TO REFLECT ON SOME OF THE QUESTIONS THAT, UH, WE HAD TODAY AND THAT WE CAN USE THAT TO HELP INFORM FUTURE DISCUSSION.
AND VERY EXCITING, YOU ALL NEED TO TAKE THE CONFLICT OF INTEREST TRAINING.
UM, SO I THINK, I'M NOT SURE IF, I DON'T KNOW HOW IT'S BEING DETERMINED, WHO NEEDS TO DO IT, WHO DOESN'T, I ASSUME CITY STAFF HAVE ALREADY DONE IT AND COUNSELORS.
UM, BUT YOU WILL BE GETTING THAT EMAIL TO YOU, SO THAT IS NOT SPAM.
SO AN ONLINE TRAINING OR YEAH, IT'S ONLINE.
OH, I DON'T KNOW, YOU HAVE TO TAKE IT A CERTAIN, LIKE THREE MONTHS AGO.
I THOUGHT WE WERE, I THOUGHT I REALIZE WE, YES, YES.
UM, AND ALSO JUST WANTED TO, AGAIN, THANK JI, EVAN AND ADAM, UM, FOR ALL THE LOGISTICS THAT GO INTO MAKING THESE MEETINGS RUN SMOOTHLY.
UM, WE HAVEN'T HAD PUBLIC COMMENT YET.
AT THE, AT THESE MEETINGS WE WILL AT SOME FUTURE MEETINGS, AT THE NOTES AT THE OTHERS THAT WE'RE WORKING ON GETTING A WEBPAGE FOR THE TASK FORCE WHERE THE RECORDINGS WILL LIVE, WHERE THE PRESENTATIONS WILL LIVE.
SO IF THERE'S FOLKS IN YOUR ORGANIZATIONS WHO WANNA KNOW WHAT'S GOING ON, YOU'LL BE ABLE TO JUST SHARE THE LINK TO THE WEB WEBSITE, WHETHER THEY HAVE TO LIKE GO THROUGH THE OPEN MEETING PORTAL.
ALSO FOR ANY MEMBERS OF THE PUBLIC WATCHING, WE'RE WORKING ON GETTING THAT SET UP TO MAKE THESE RECORDINGS AND SURVEYS MORE ACCESSIBLE.
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ANY OTHER ANNOUNCEMENTS? ALL RIGHT.THANK YOU ALL FOR BRINGING YOUR TIME AND EXPERTISE AND INTRO, UH, TO THE SORT OF, UH, REALLY LOOKING FORWARD TO THIS.