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HomeMy WebLinkAbout04 Housing Chapter 12-31-19 4-1 4. Housing Chapter Highlights • Changing needs and preferences in Edina regarding housing type, size, style, and location will have implications both in areas of change and areas of stability citywide. • Affordability will remain a central issue and challenge for Edina in the coming years, as it seeks to provide a range of housing options to meet the needs of Edina residents at all life stages and income levels. • There is a need to provide affordable housing to a broad range of people who wish to live, work, and attend school in Edina. The city will preserve, create, and maintain an equitable community that promotes racial, ethnic, and socioeconomic diversity. • The City of Edina has taken proactive steps regarding affordability via its 2005 Housing Succession Plan and the subsequent adoption of its 2015 Affordable Housing Policy and subsequent 2019 New Multi-Family Affordable Housing Policy, but evaluation is needed to determine if this is sufficient. Introduction Housing and residential neighborhoods provide a core part of the identity of Edina for its residents, in terms of its role in providing basic shelter, community character, livability, a means of wealth creation, and proximity to jobs, services, and amenities. Likewise, housing policy for the city has shaped how housing has grown, what it looks like, how property is valued, and even who lives here. Although the housing patterns throughout Edina have been largely established for decades, they are not static. The high land values that characterize this community have attracted continued investment in properties – from extensive renovation to teardowns to larger scale infill development. This reflects the changing needs and preferences of residents, as well as the need for thoughtful guidance for change. The housing vision for Edina guides policies related to housing affordability, choice, quality, and community context. Even as the city contemplates changes to the housing stock to meet existing and future housing needs, it is important to note that majority of residential neighborhoods in Edina are guided to remain predominantly single family housing. Growth and change will be directed to designated areas, as described in the Land Use Chapter. Future housing policy will strike a balance between maintaining existing housing and adding needed new options. This chapter provides an overview of (1) existing housing conditions, (2) trends and challenges related to housing, (3) future housing needs including the need for affordability, (4) goals and policies, and (5) an implementation plan. Chapter Content This chapter focuses on the following aspects of housing: • Housing supply and community growth • Housing affordability • Housing quality and design • Housing choice The chapter provides an overview of existing housing conditions, existing and future needs, goals and policies, and an implementation plan to meet identified goals. Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-2 Existing Conditions Past and Future Growth Population and housing growth trends in the City of Edina help define both the existing housing stock and future growth opportunities. Forecasts included here were produced by the Metropolitan Council through the regional planning process and with input from the City of Edina Planning Division. Forecasts continue to be revised as needed. Beginning in the late 1800s, Edina developed east to west. By the early 1980s, it was largely built out. Since then new housing primarily has been constructed as infill within existing neighborhoods and in redevelopment areas. Population trend data shows this. Over the 50-year period from 1960 to 2010, the population of Edina increased approximately 68%. The vast majority of this growth was within the first two decades. Between 1980 to 2010, it only grew 4%. The Great Recession (2007-2009) impacted Edina’s housing market, as it did in other communities throughout the nation. The rate of adding new housing units slowed, and housing values declined. Due to historically strong demand for its housing, Edina was impacted less severely than many other communities and recovered faster. Since then, there has a significant increase in growth, responding to both the city’s strong market position and pent-up demand. The population is expected to grow by 16% or 8,600 between 2020 and 2040. These forecasts are modified versions of those in Edina’s original 2015 System Statement, adjusting for higher-than-expected growth rates in Edina over the past few years. Metropolitan Council forecasts at the local and regional level are adjusted as needed, to reflect new information and market changes. The current forecasts reflect mutual agreement between the Metropolitan Council and Edina regarding implications of market-driven growth trends. In contrast to population, the number of households and housing units have grown much faster. From 1960 to 2010 they increased 168%. They are expected to grow by 24% or 5,800 from 2020 to 2040. Household size declined from 3.69 people per household in 1960 to 2.31 in 2010. This reflects a national trend toward smaller family size and fewer children per household. It now takes more housing units to house the same number of people as it did in the past. Source: US Census and Metropolitan Council 28501 44046 46073 46070 47425 47941 51804 55000 60000 63600 7723 13005 17961 19860 20996 20672 22309 24000 27700 29800 0 10000 20000 30000 40000 50000 60000 70000 1960 1970 1980 1990 2000 2010 2016 2020 2030 2040 Figure 4.1: Edina Population and Households Population Households Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-3 Factors Contributing to Housing Growth See Chapter 2 Community Profile for a full overview of demographic and economic factors contributing to growth and change in Edina. Implications for housing are summarized below: Demographic Changes Demographic change in Edina in recent years has been characterized by: • Aging population • Families with school-aged children • Increasing racial and ethnic diversity The median age in Edina is older than in surrounding communities, and the percentage of residents over 65 has been increasing for decades, particularly relative to the percentage under 20. As of 2016, the percent of 65+ residents was more than 20% of the population, and the median age is 46.7. With a growing percentage of residents in the 45-64 age cohort, this is only expected to increase over time. However, a limiting factor for the growth of the 65+ population could be the availability of appropriate and affordable options for seniors seeking to transition from single family housing to other housing types. The appeal of the area to families with school-aged children is tied closely to the strength of the Edina Public Schools which draws its student body not only from residents, but also from the surrounding communities via open enrollment. As a result, while the median age of the population continues to increase, the number of children has as well. The population under 20 has increased since 2000, both in absolute terms and as a percentage of the population and was around 25% of the population in 2016. While not above statewide averages, it is notable for Edina, particularly considering the strong growth at the other end of the age range. Compared to other communities, married couples are a large and growing percentage of overall households. A limiting factor in accommodating this demand is the availability of affordable housing options for young families wishing to move to Edina. Not all growth in enrollment is due to the resident population. Edina has seen an increase in open enrollment as well. The following chart shows the relationship between the resident population of students and overall district enrollment. Steady upward trends have influenced strong growth in home values in the city. Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-4 Source: Star Tribune, Minnesota Department of Education Racial and ethnic diversity has increased gradually but steadily for decades. While still a relatively small percentage of the population, it is likely to continue to grow, given regional forecasts for demographic change. Evidence suggests that the youngest generations are typically more diverse than older ones. While the overall percentage of people reporting minority status in Edina is 13.5%, it is 24% of Edina Public Schools students, an increase of over 10% in the last ten years. International immigrants moving to Edina are also more likely to be both young and diverse, compared to the native born population. Housing Stock The city has a diverse housing mix that appeals to a variety of household types. The majority of the housing stock (57%) are single family detached units, with the remainder being single family attached and duplex (7%), multifamily with 3-19 units (6%), and multifamily with 20+ units (31%). The substantial percentage of the multifamily housing stock in larger buildings reflects the fact that most multifamily is concentrated in a few higher density locations, such as the Greater Southdale area, where guidance and land values support larger scale development. Over half of the housing stock (55%) was built in the 1960s and earlier, so is approaching 50 years old. As housing stock ages, continued investment is needed to address maintenance needs as well as changing tastes and preferences. Housing condition and building permit data suggests that this is happening. The vast majority of housing in the city is of average or better condition, and many properties have been substantially upgraded over the years. Housing Market The housing market in Edina has been consistently strong over the years. The housing stock is higher valued compared to the rest of the region and has retained that value over time. In 2016, the median home value in Edina was over $424,000, compared to $220,000 regionally. Like the rest of the regional and national housing market, Edina saw declines in sales prices and volumes during the recent recession (2007-2009). However, median housing sales prices in Edina recovered and exceeded pre-recession levels by 2015, a year earlier than the Twin Cities region. This points to the fact that the impact was less, and the recovery quicker, than the market overall. 0 1000 2000 3000 4000 5000 600070008000 9000 10000 Figure 4.2: Edina Resident Student Population and District Enrollment Trends Resident Students Enrollment Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-5 Source: Minneapolis Area Association of Realtors The rental market is similarly strong. Particularly post-recession, there has been pent up demand for new rental properties, resulting in a wave of new construction of multifamily rentals. Median rents in Edina are above regional medians: $1,280/month compared to $980/month, based on 2016 numbers. As of this writing, rents are significantly higher, as much as $2,500 or more, and reflect the newest units which tend to be higher priced. Like much of the market, rental vacancy rates are low, in the 1-3% range, though this will likely change as more units are constructed. $0 $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 $450,000 $500,000 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Figure 4.3: Median Home Sales Price Edina Twin Cities Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-6 Housing Units and Affordability Housing affordability is one of the most important factors related to the housing stock. Broadly defined, affordability means that the intended residents can pay for the cost of housing without expending a disproportionate share of their income (generally greater than 30%). In practice, the City focuses on policies and interventions regarding affordability for low income households, as they typically have the most challenges in finding affordable options. The definition of affordability for low income households can be found in the box on this page. The main categories focus on rental property, where there is a desire to also include affordable ownership in the plan. Therefore, there are several main categories of affordable housing, detailed below: • Subsidized housing. These units received some sort of subsidy for construction and/or renovation, with the criteria that rents are limited to be affordable to households with incomes at or below 80% of Area Median Income and home mortgages are affordable to households with incomes at or below 120% Area Median Income. Properties meeting these criteria are included in the count of units in Table 4.1. • Naturally Occurring Affordable Housing (NOAH). These are both ownership and rental units with below market costs for occupants, but not due to any policy or regulation. They are a substantial percentage of the affordable housing stock in the Twin Cities, and include single family homes, apartments, and other housing types. However, as they are not protected, their values and rents can rise depending on property and market conditions. There is no official tally of these in the area. • Senior housing. While most affordable housing cannot be restricted based on demographics of residents, senior housing is an exception. This housing has age guidelines for residents, and often features appropriate supporting services – ranging from optional programs to full service. The exact type and configuration of senior housing will vary based the market and resident needs and preferences. • Supportive housing. Supportive housing integrates services with housing. It is typically targeted at vulnerable groups, such as people with disabilities, people experiencing homelessness, or people dealing with addictions or having other specialized medical needs. • Congregate living. Congregate living features independent living units for residents, with shared activities and services in common areas. This model may be used in senior or supportive housing developments. Definition: Affordability The Metropolitan Council measures affordability using Area Median Income (AMI), the midpoint of the seven-county Twin Cities metropolitan region income distribution. Low income affordability is defined at three levels: • Extremely low income (30% of AMI) • Very low income (50% of AMI) • Low income (80% of AMI) This is further broken down by household size. The US Department of Housing and Urban Development has calculated levels of affordability based on these criteria. In 2018, a four-person household is considered extremely low income if its household income is below $28,300 per year. Edina’s median household income is significantly higher than the regional AMI, which compounds issues with the availability of affordable housing. Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-7 Table 4.1 summarizes existing housing data. As of 2016, Edina had about 23,510 housing units, 60% of which were single family and 40% of which are multifamily. Most homes in the city are owner occupied (72%). The percentages of multifamily and rental units have been increasing gradually, whereas the number of single family homes has remained fairly static. According to Metropolitan Council housing data, about 32% of housing units in Edina are affordable to households with incomes at or below 80% of area median income (AMI). While this is a substantial number, it is significantly below the countywide average of 63%. Additionally, according to the US Census, around 29% of all households in Edina are cost burdened. Cost burden, as defined by the US Department of Housing and Urban Development, is based on the percentage of households whose typical housing expenditures are more than 30 percent of their income. This threshold has been used to indicate a point at which households may have difficulty affording other basics such as food, clothing, transportation, and medical care. There are 560 publicly subsidized affordable housing units in Edina, most of which are designated for seniors. Table 4.2 provides additional detail as to the specific developments which include these units. Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-8 Table 4.1: Housing Conditions in 2016 Housing Units Number % of Total Housing Units Total 23,510 100% – Owner Occupied 16,880 72% – Rental 6,630 28% – Single Family Homes 14,177 60% – Multifamily Homes 9,333 40% Publicly Subsidized Total Subsidized 560 2.4% – Senior Housing 393 1.7% – Housing for People with Disabilities 0 0.0% – All Other Publicly Subsidized Units 167 0.7% Affordable Units Total Affordable Housing Units at 80% AMI and below 7,525 32% – Housing Units affordable to households with incomes at or below 30% Area Median Income (AMI) 1,351 6% – Housing Units affordable to households with incomes between 31 and 50% Area Median Income (AMI) 2,254 10% – Housing Units affordable to households with incomes between 51 and 80% Area Median Income (AMI) 3,920 17% Source: Metropolitan Council and Housing Link Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-9 Table 4.2: Subsidized Affordable Housing in Edina, 2016 Name and Location Description Eligibility Funding 66 West 3330 W 66th Street 39 affordable units supportive housing facility – 39 studio apartments Young adults experiencing homelessness at or below 30% AMI City, County, MHFA, MEF, FHF Crossroads of Edina (formerly Oak Glen) 5515 Oak Glen Road 26 affordable units in 64 unit apartment building – 4 1-bedroom and 22 3-bedroom Families at or below 30% AMI HUD Section 8 (PBA); MHFA Edina Lodge 6312 to 6314 France Ave S 6 affordable units in duplexes and triplexes 60% AMI MHFA Interlodge 5141 William Ave 6 affordable units in duplexes 30% AMI County and MHFA South Haven 3400 Parklawn Ave 100 affordable apartments, 1-bedroom Seniors at or below 30% AMI LIHTC, HUD Section 202 Summit Point/Woodhaven 5010 Summit Ave 29 affordable apartments, 1-bedroom Seniors at or below 30% AMI LIHTC, HUD Section 202 Yorkdale Townhomes W 76th St & York Ave S 90 affordable units: 10 1-bedroom, 56 2- bedroom, 20 3- bedroom, 4 4-bedroom Families at or below 30% AMI LIHTC, County, MHFA Yorktown Continental 7151 York Ave S 264 affordable units, 262 1-bedroom, 2 2- bedroom Seniors at or below 30% AMI LIHTC, MHFA Source: Housing Link - https://www.housinglink.org/ In addition to the affordable housing developments in Table 4.2, some primarily market rate developments contain affordable units. These include Aurora on France (4005 W 65th/6500 France), Aria (3200 Southdale Circle), and Yorktown Gardens (7151 York). The total number of anticipated units between these projects is around 26. As shown in Table 4.3 and the following chart, the percentage of households that are experiencing cost burden has gradually risen since 1990, reaching the greatest proportion in 2010. The trend is mixed: the percentage of renters experiencing cost burden has been slowly decreasing since 1990 while the percentage of owners experiencing cost burden has fluctuated over the past 3 decades. Of all cost burdened households in Edina, about 10% of households spend 50% or more of their household income on housing, which is qualifies as severe housing cost burden. It is important to note that cost burden is also present in households making greater than Area Median Income, which explains the gap between percentages presented in Table 4.3 (for cost burdened Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-10 households making 80% or less of AMI) and the following graph. Roughly 9% of households making at least 80% AMI ($75,000 or more) experience cost burden. Table 4.3: Edina Households Experiencing Cost Burden, 2016 Category Households in Bracket Percent of Total Households Existing households experiencing housing cost burden with incomes below 30% AMI 1,328 6% Existing households experiencing housing cost burden with incomes between 31 and 50% AMI 1,228 5% Existing households experiencing housing cost burden with incomes between 51 and 80% AMI 1,341 6% Source: Metropolitan Council, US Census Source: Metropolitan Council, US Census 25%26% 31%29% 19%19% 28%26% 43%43%43%39% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 1990 2000 2010 2016 Figure 4.4: Percent of Edina Households Experiencing Cost Burden All Households Owner Households Renter Households Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-11 Figure 4.5: Owner Occupied Housing Estimated Market Value Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-12 Trends and Challenges • Affordability across a range of household types. As a desirable community with high land values, affordability is a challenge for Edina. This includes low income households, first time homeowners, young families, seniors seeking to downsize, and many other groups. Lack of affordable housing prevents new people from moving into the community, and may force existing households to relocate when they face a lifestyle change. This is further emphasized by demographic changes, in particular the aging of the population, and the fact that wages have not kept up with inflation and the rising cost of housing. • Designing walkability as part of new development. Especially in developed communities like Edina, residents are frequently looking for a location where they can easily access what they need daily. Public input received during recent planning processes supports this: 61% of Vision Edina participants indicated a stronger preference for alternative modes (including walking and biking) than for driving, and participants in the Pedestrian & Bicycle Master Plan identified a number of barriers that kept them from being able to walk and bicycle as much as they would prefer. Designing for walkability includes proximity to retail and services, walkable and bikeable routes, connections to parks and community services, access to transit, and other amenities. In Edina in particular, there is an exceptionally strong relationship between housing and the school district, which attracts many residents to the city. Post-recession Edina: A Community of Learning. Edina has a prized education system of high-quality public schools. The Housing chapter of the Comprehensive Plan recognizes the importance of extending the benefits of education to the entire community. Particularly in the case where there are housing projects with public participation, due to partnerships and subsidy, there is an opportunity to educate about the important role of housing to a community, and how they related to other features. The close relationship between education and housing is a unique opportunity to highlight how they reinforce and work together in the community. Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-13 housing patterns show that particularly in the case of multifamily development, residents are often looking for these amenities within walking distance of their home. Additionally, walkable development patterns can help reduce the traffic impact of denser housing patterns by accommodating at least some trips through walking, biking, or transit rather than automobile. • Accommodating affordability in a high property value community. The high values of land in Edina complicate the provision of affordable housing in several ways. There is limited supply of NOAH, since most unsubsidized housing in Edina does not qualify as affordable. Also, acquiring land to preserve or construct housing is so expensive, that even dedicated resources (such as funds from the inclusionary zoning policy proceeds) are not sufficient to create impact. Additionally, the factors that contribute to the maintenance of high values are not accidental. Edina has worked for decades to protect and grow value, sometimes to the extent of excluding types of development or even people. Because Edina is a welcoming and inclusive city, it will strive to provide housing for households with a broader range of incomes. • Mitigate impacts of new development on existing neighborhoods. As a fully developed community, any new development will occur within an area with existing character and context. Particularly when new or different housing types are introduced to meet needs, there is an interest to ensure it is an asset to the community, and any impacts to surrounding properties are adequately mitigated. For instance, there has been increased interest in higher intensity mixed use development in recent years. This has provided residents with easy access to transit, retail, and services, as well as opportunities to live and work in spaces with close proximity. High density developments are already present in Edina, but more are likely to occur. Managing these uses to mitigate any potential conflicts is important. Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-14 • Maintaining community character. With the changing ways people are living, working, and using spaces, there will be changes in how land uses function – both in new and renovated spaces. Edina is frequently on the forefront of innovative practices, particularly related to sustainability and technology. However, this will require some flexibility in development standards. One of the goals of innovating may be to find ways to accommodate missing housing types or to let housing be produced more affordably. Examples of housing types may include “missing middle” housing options – a range of multi-unit or clustered housing types compatible in scale with single-family homes that help meet the growing demand for walkable urban living. These housing options may include co-housing, duplexes, triplexes, fourplexes, and other smaller scale multifamily types. Ways to reduce housing costs could include modular building styles that take advantage of efficiencies in the construction process. • Combatting social isolation. While not a housing issue per se, the way people live their lives now has become more isolated and disconnected than in the past. This has contributed to any number of societal problems, from political polarization to a rise in the suicide rate. How do we help connect communities back together through shared spaces and functions, including accommodating diversity in various forms? This can be addressed through how residential areas are designed and built, to support social interaction and community connectivity. Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-15 • Planning for housing in strong markets. Many traditional public sector interventions in the housing market were originally designed to work in areas where the private sector is absent or underperforming. However, these same tools can be effective in a place like Edina, though they may require creative approaches and partnerships. In general, Edina needs approaches that are focused on leveraging private investment in existing and future development. The city’s inclusionary housing policy is a key example of this, but will need to be supported by addressing the barriers to creating affordable housing, such as zoning restrictions that limit housing density. • Accommodating housing needs of a changing population. The City of Edina is seeing changes in its demographics, particularly in terms of increased racial and ethnic diversity, and overall aging on the population. In particular, there are specific needs related to a growing senior population. This includes options for residents to safely age in place, including receiving in-home medical care and other supportive services. Special housing types that accommodate health and mobility limitations, including congregate housing (independent living with shared activities) and memory care, will be needed. Housing Needs Analysis Between 2020 and 2040, it is projected that around 5,800 new households will be added to the City of Edina. What type of units will be constructed will depend on housing needs, community preferences, and market realities. This section provides an overview of recent housing studies for Edina and summarizes existing and project housing needs within the city. Future Housing Needs Edina’s Cities of the Future (2015) report described trends that are shaping the demand for housing in the city. It envisions a future where housing is integrated into mixed use neighborhoods, better meeting the needs of smaller households with fewer children, and an aging population. Characteristics of new housing may include: Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-16 • New housing options primarily are provided as attached (multifamily) apartments and townhouses and small detached lots, with a variety of sizes, uses, and resident types. • Low rise, high density buildings with smaller apartments that are adaptable to provide opportunities to work at home, and to meet the needs of people with disabilities. • Neighborhoods providing walking access to residents, retail, office, culture, entertainment, restaurants, schools, community centers, and green space. • Smart buildings and sites ensuring wise resource use with low energy and water consumption, and integrated recycling and composting systems. • Outdoor spaces integrating pedestrians, cyclists, playgrounds and ecology. • Recognition that cars are guests in the streets and are respectful of other users. The study notes that mixed use neighborhoods are becoming a better match with existing and expected future housing needs than traditional suburban neighborhoods. However, investing in Edina’s single family housing stock remains popular, as evidenced by the teardown trend. Demographic changes are driving demand for different housing types, including smaller units which are more affordable, and have lower costs for maintenance, energy and water. As population density increases, and citizens are using their neighborhoods more intensely, there will be a transformation of streets to spaces shared by automobiles and other uses, more areas will become car free, and there will be other initiatives that improve safety on the streets. The shift in desired housing, combined with changes in working modes, means that more people are self-employed and/or work remotely, this may be from home, a local co- working space or even a coffee shop. People are more often mixing work and leisure time, and therefore want to work within their community, where they also recreate and engage in social activities. Outside of this report, a couple other housing concepts that have been identified during the planning process include: • “Missing middle” housing. This encompasses housing between the scale of low and high densities, providing both an option to meet needs, and a built form type that can transition between adjacent districts of different levels of scale and intensity. These may include co-housing, duplexes, triplexes, fourplexes, and other smaller scale multifamily types. • Lifecycle housing. Ensuring there is a full range of housing options for all stages of life, from starter homes through continuum of care, so people can live their whole lives in Edina as they choose. Community Priorities for Housing Vision Edina Strategic Vision and Framework and Vision Edina Community Engagement Report (both 2015) outlines directions for housing from the City’s community visioning process, reflecting community input. Results are summarized below. Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-17 Residential Development Mix The issue of residential property development was repeatedly raised throughout the Vision Edina process. The City has been faced with a number of redevelopment pressures and challenges across numerous areas. Residents strongly favor a continued focus on the single- family housing nature of the majority of the city neighborhoods, but there is increasing concern about the trend and impact of so-called ‘teardowns’ on the community. There is also recognition of some need for additional multifamily options to create more diversity in housing affordability. This would provide increased options at all stages of life and attract younger residents. Issues • Residential neighborhoods continue to serve as the defining characteristic of the city, and there is a high desire to protect and enhance such neighborhoods. • Residents take a great deal of pride in their homes, and express concern about the escalating redevelopment pressures facing some neighborhood areas. • Edina continues to face competition from neighboring communities that claim to offer a similar quality of life while also offering more available land for development. • The community must balance the needs of the families that have defined its character, with an aging population that desires to ‘age in place.’ Strategic Actions • Further encourage the development of neighborhood associations and the overall neighborhood concept. Define the unique character and brand of each of the well-established neighborhoods, and explore innovative planning guidelines to allow preservation and enhancement of the desired neighborhood visual appeal. • Pursue further planning and development options that protect and locate key amenities, such as parks and community facilities, within the neighborhood framework to allow neighborhood centers and focus points to further evolve. • Continue to explore options for new multifamily housing throughout the city in mixed-use areas and near public spaces, including areas such as Southdale, Pentagon Park and Grandview. • Work to create affordable housing options close to transit, shopping and employment centers. Big Ideas for Housing Bridging between the Vision Edina process and the City’s comprehensive plan update, the Big Ideas initiative in 2017 looked to draw out some of the major areas of focus that needed to be addressed in the comprehensive plan. Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-18 From the major strategic focus areas identified in the Vision Edina process, Residential Development and Live and Work (two of the most housing-related ones) were ranked about in the middle of the pack. Participants were asked to identify Big Ideas associated with each of these focus areas. Those with the most votes for these two focus areas included: Residential Development Mix • Affordable housing that is really life cycle housing; supports the values of equity, balance, and diversity • Neighborhoods all need a node. Nodes should all be different. • Cooperative housing; separate living space that include communal areas such as gardens, kitchens, gathering spaces • Affordable single family homes Live and Work • Campus grouping jobs and housing with environmental amenities and attention to beauty (low- scale residential and business) • Enable live and work nodes attractive to emerging technology and medical device companies (for example, the Centennial Lakes development) Edina Affordable Housing Policy In November 2015, the City of Edina adopted an Affordable Housing Policy. The focus of this policy is on a proactive and inclusionary approach to providing affordable housing in the city. This was in response to the City’s recognition of the need to provide affordable housing in order to maintain a diverse population and to provide housing for those who live or work in the city. The policy will be reviewed and adjusted from time to time to better align with the City’s affordable housing allocation and market conditions. Additionally, the Edina HRA has adopted guidelines for affordable housing development that apply to projects that are supported by tax increment financing. As of March 2019, the Affordable Housing Policy was revised and renamed the New Multi-Family Affordable Housing Policy to clarify its focus and intent. Existing and Projected Housing Needs Based on an analysis of existing conditions and the studies summarized above, it is anticipated that the following housing types likely will be the most needed in the coming years: • Affordable housing. As of 2016, around 29% of households in Edina experienced cost burden, paying more than 30% of their incomes on housing costs. The percentage for renters was even higher, at around 39%. With an aging population and an influx of families with children, the need for affordable housing will increase. Addressing the affordable housing needs of existing and future residents will continue to be a priority. • Housing for families with children, including first-time homebuyers. The strength of the school district in Edina attracts families with school aged children. While some of these households can afford to purchase homes in Edina, affordability will be a growing need, based on regional trends where housing costs are rising faster than incomes and feedback from Edina residents with family members who are unable to find housing they can afford in the city. There will be a continued need for housing options that work for families, including affordably priced ones. This may be in the form of maintenance of existing single-family residences, or newer Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-19 options, including “missing middle” type multifamily housing developments, such as duplexes, triplexes, and condominiums. • Lifecycle and senior housing. With an aging population, Edina will see continued and expanded need for housing options that work at all life stages. This may include senior and assisted living housing options, so that residents are able to stay in Edina throughout their lives. Senior housing co-ops, housing with services provided, and/or multigenerational housing models may appeal to these residents. • Housing in walkable and livable communities. In metropolitan areas, there is a growing interest in housing that is located within walking distance of retail, services, parks, and other destinations. Particularly in areas like Greater Southdale, there is the opportunity to add housing into a mixed-use community, which in turn can help reduce dependence on automobile travel. • Smaller household types. There is a growing need for housing for smaller households, including childless couples, single professionals, and empty nesters. In additional to multifamily style housing, other types – such as “missing middle” or accessory dwelling units – may appeal to these households. While housing constructed in Edina will largely be driven by market forces, the City of Edina has an opportunity to influence developers through policy, regulatory guidance, partnerships, and strategic investments. The implementation section later in this chapter provides more detail on how these housing needs will be addressed. For comparison with how nonresidential development is being guided by the City, see the Economic Competitiveness Chapter. Affordable Housing Allocation Affordable housing is a primary concern in Edina, particularly given the high property values that tend to push housing prices out of the reach of many households. The Metropolitan Council has recognized that affordable housing is a regional issue and has allocated forecasted affordable housing needs to each community. One of the primary factors used in assigning these forecasts was the presence of low wage jobs, a primary source of employment for residents of lower cost affordable housing. Edina’s allocation was influenced by the fact that it has a high ratio of jobs to affordable units. This suggests that employers in this area may have trouble finding all the workers they need for these jobs, and workers may have trouble finding housing near where they work. Being cost burdened is not uniquely associated with low income households. Cost burden can affect households at virtually all income levels, depending on the relative cost of housing. And all housing has been subsidized at some point through public investment in community building, services, and infrastructure – not to mention mortgage programs and terms that making homeownership more accessible. Edina has had relatively few units affordable to low income households added over the past decade. However, some were added in 2015 and 2016. Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-20 Source: Metropolitan Council, US Census Housing Performance Scores are a measure of how a community is progressing toward its affordable housing allocation. It reflects the amount of affordable housing constructed over the previous decade, as well as preservation and rehabilitation of existing affordable housing, housing policies and ordinances, and characteristics of the existing housing stock. Edina’s 2017 score is 91 out of 100, reflecting both recent housing development and its affordable housing policy approach. The Metropolitan Council prioritized housing affordability in Thrive MSP 2040, and the 2021-2030 Allocation of Affordable Housing Need for Edina reflects the city’s share of the region’s forecasted population that will need new affordable housing. Housing is considered “affordable” when no more than 30% of household income goes to housing, so households with different income levels have different thresholds of “affordable.” Edina’s share of the regional need for new affordable housing is 1,220 units by 2030, as shown in Table 4.4. This represents a significant increase from the number in the previous comprehensive plan, which, it must be acknowledged, was not achieved. It is also higher than the original allocation in the System Statement, as it was increased along with the overall population and household forecasts, due to higher- than-expected growth rates in the city. As the total expected housing growth for Edina is around 7,500 units, this represents a substantial share of overall net new housing as well. This number is in addition to existing affordable housing units in Edina, as identified earlier in this chapter. The total is further allocated by three tiers of affordability. These are based on how much households at certain percentages of Area Median Income (AMI) can pay for housing without becoming cost burdened by spending more than a third of their income on housing costs. For instance, as of 2018, the income limits for a four-person household were $28,300 (30% AMI), $47,150 (50% AMI), and $71,900 (80% AMI). These amounts will continue to be adjusted over time as median income changes. 0 5 10 15 20 25 30 35 40 45 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Figure 4.6: Affordable New Units Added by Year Owner Renter Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-21 Table 4.4: New Affordable Housing Allocation Income Range New Units At or below 30 AMI 508 From 31 to 50 AMI 325 From 51 to 80 AMI 387 Total Number 1,220 Source: Metropolitan Council The corresponding affordable purchase price for a household at 80% AMI is approximately $236,000, as of 2018. It is anticipated that new units will be acquired through construction of new subsidized housing units, participation in land trusts, subsidized acquisition of existing units, and other strategies. To meet Metropolitan Council housing plan requirements, Edina must demonstrate it has sufficient land guided for development at minimum densities (units/acre) high enough to make affordable housing a viable option. The cost to build per unit typically decreases as the number of units per acre increases. Lower per unit costs make development an option for affordable housing developers as well as market- rate developers. According to the Metropolitan Council, any residential future land use designation that has a minimum density of eight units per acre or more will count towards affordable housing allocation calculations. Table 4.5 includes the future land use designations for Edina and the minimum units per acre. Table 4.5: Residential Future Land Use Designations Land Use Minimum Density (units/acre) Qualify for Affordable Housing Low Density Residential 1 No Low Density Attached Residential 4 No Medium Density Residential 5 No High Density Residential 20 Yes Greater Southdale District Residential 50 Yes Neighborhood Node* 10 Yes Office Residential* 20 Yes Mixed-use Center* 12 Yes Community Activity Center* 90 Yes Regional Medical Center* 50 Yes *Mixed use Table 4.6 demonstrates that Edina has well beyond the necessary minimum land guided for residential development to meet the affordable housing allocation. This land includes net guided residential acres within the change areas. For categories that are mixed use, only the percentage allocated for residential is included here. See Table 3.7 for comparison. Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-22 Table 4.6: Development Capacity for Affordable Housing Allocation Land Use Net Acres Min Units/Acre Min % Residential Potential Units Low Density Residential 6.84 1 100% 0 Low Density Attached Residential 2.72 4 100% 0 Medium Density Residential 2.48 5 100% 0 High Density Residential 81.45 20 100% 1,629 Greater Southdale District Residential 68.12 50 100% 3,406 Neighborhood Node* 7.17 10 30% 22 Office Residential* 111.75 20 50% 1,118 Mixed-use Center* 20.77 12 50% 125 Community Activity Center* 113.32 90 50% 5,099 Regional Medical Center* 22.16 50 50% 554 Total 437 - - 11,952 *Mixed use This does not mean that all the allocated land will be used for affordable housing redevelopment, nor that the market would necessarily support the creation of these units. However, it does demonstrate that Edina may have capacity for development beyond the 2040 forecasts. This may inform future policy decisions if the rate of is faster than anticipated. Goals and Policies Housing Supply and Community Growth Goal 1: Accommodate all planned residential growth in the city based on planned infrastructure investments and other community goals and assets. 1. Seek to accommodate the total new households projected to locate in the city by the year 2040. 2. Acknowledge the interrelationship between land use, transportation, and public school enrollments, and support development of housing in areas accessible to a range of transportation options, including bicycle, pedestrian, and transit. 3. Recognize that successfully reaching affordable housing goals assists the city in achieving related community goals, including: a. Accommodating housing for families with children in Edina schools; b. Maintaining community character and supporting a strong tax base; c. Fostering diversity by addressing disparities; d. Supporting Edina businesses’ ability to remain competitive in regional and global markets and attract quality employees; e. Providing lifecycle housing opportunities to allow residents to remain in the city throughout all life stages f. Addressing climate change through higher density development patterns that help reduce vehicle emissions (see Energy and Environment Chapter) Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-23 Housing Affordability The City of Edina is committed to aid and secure affordable lifecycle housing for a diverse community. Safe, secure, and affordable housing is essential to the healthy development of individuals, families, businesses, and communities. Goal 2: Encourage the development and maintenance of a range of housing options affordable to residents at all income levels and life stages. 1. Encourage the production of additional affordable housing units and retention of existing affordable housing units to meet the city’s housing needs and its Metropolitan Council affordable housing need allocation of 1,220 units. 2. Encourage the preservation and maintenance of, and improvements to, existing subsidized and naturally occurring affordable housing (NOAH). 3. Support tenant rights to ensure that renters are treated fairly and equitably by landlords. 4. Revisit height and density zoning requirements if needed to make the development of affordable housing financially feasible in areas guided for redevelopment. 5. Promote the preservation and production of affordable housing through the areas of Edina accessible to transit by addressing financial and zoning barriers. 6. Increase housing stability and security of residents living in affordable housing. 7. Engage Edina residents, through Edina Neighborhood Associations, faith institutions, the Senior Center, and other community organizations, in a dialogue about the city’s commitment to affordable housing, with the intention to educate and engage all Edina residents about this issue and public policies to address it. 8. Engage the Planning Commission and the Human Rights and Relations Commission to annually review with staff and report to the City Council the City’s progress in meeting affordable housing and diversity goals as set out in this Chapter, in order to measure the success of the Affordable Housing Plan and recommend changes required to better advance those goals. 9. Promote owner-occupied units over rental units when providing affordable housing. 10. Recognize that housing is a long term investment and promote housing policies that offer enduring opportunities for medium and low income residents to house themselves, emphasizing home ownership. Housing Quality and Design Goal 3: Continue to support high quality design of residences and residential neighborhoods in a way that furthers sustainability, character, and livability, and maintains long term investment. 1. Provide an attractive living environment and promote housing that is compatible in quality, design, and intensity within neighborhoods in order to ensure the vitality and health of single- family and multifamily/mixed-use neighborhoods. 2. Where appropriate and guided by city policy, encourage the development of walkable neighborhoods that provide a range of daily needs within walking distance, potentially reducing reliance on cars. 3. Housing should support and be supported by surrounding land uses, traffic capacity and patterns, public facilities, and connections to open space and natural resource features. 4. Maintain some of Edina’s lower square footage housing stock in order to attract new residents and retain existing residents, including providing affordable options. Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-24 5. Encourage the use of green and sustainable building materials and methods, to reduce the environmental impact of residential construction and maintenance. 6. Support healthy housing options through missing middle planning, neighborhood community, and building design and maintenance, as well as walkable and livable neighborhoods that encourage active living. Housing Choice Goal 4: Support the development of a wide range of housing options to meet the diverse needs and preferences of the existing and future Edina community. 1. Promote increased housing opportunities and a diversity of housing types by promoting the creative and innovative use of land guided for residential/commercial mixed-use while promoting transit use and other mobility alternatives. 2. Promote a vision of community that is inclusive of a range of ages, incomes, abilities, and other demographics, and offers a range of housing options. 3. Promote affordable and workforce housing that includes a range of housing prices and options, based on the principle that those who contribute to the community should have the opportunity to live here. Also, this housing vision strengthens and reinvigorates community institutions and makes the city an attractive destination for young families. 4. Promote lifecycle housing to support a range of housing options that meet people’s preferences and circumstances in all stages of life. 5. Protect and maintain lifecycle housing that is important for attracting young families. 6. Retain and expand housing ownership options, while also supporting a balance between ownership and rental households. 7. Support the development of both mixed income and 100% affordable housing throughout Edina where there is access to transit. Implementation Plan Housing Strategies Housing Supply and Community Growth 1. Assign responsibility for implementing all of the housing plan policies. Provide an annual progress report. 2. Create a financing plan for implementing all of the housing plan policies. 3. Develop a housing implementation strategy to guide future housing priorities and actions. Housing Affordability 1. Provide active leadership to meet affordable housing needs for residents and workforce through land use and fiscal policies, and to manage funds accordingly. 2. Collaborate with the public, nonprofit, and private sectors in planning and developing housing, especially focused on the provision of mixed income, affordable, and other housing types the marketplace does not sufficiently provide. 3. Encourage long-term management strategies for affordable housing, in cooperation with affordable housing organizations, to ensure the continuation of its affordability features to Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-25 successive households. 4. Continue to fund and expand financial and technical support of community land trusts that provide affordable housing within the city. 5. Expand educational outreach to the larger metropolitan community about programs that are available in Edina to foster affordability and maintenance. 6. Address any regulatory barriers that unnecessarily decrease housing affordability without a counterbalancing benefit to the community. 7. Continue to implement the City’s inclusionary affordable housing policy, and ensure that any accumulated funds are invested appropriately in expanding affordable housing options. 8. Within appropriate areas, support flexibility in official controls to allow densities that are compatible with providing affordable housing options for residents. 9. Investigate the need for, and implement as deemed appropriate and practicable, tenant protections, including rental licensure and tracking, tenant notification requirements, or other approaches. 10. Identify additional creative funding approaches, such as socially oriented investing models, use of tax credits, modified forms of tax increment financing, and other alternative financing structures. 11. Review existing subsidized housing affordability agreements and use of housing vouchers to determine status. 12. Provide a mortgage assistance program to specifically target income-eligible workers employed within the city to enable them to live in the city. The City may choose to collaborate with other organizations to develop this program. 13. Support the use of rental assistance programs for income-eligible households within the city. 14. Ensure race and equity are addressed in the dissemination and publicizing of information on affordable units. 15. Develop marketing plans for subsidized affordable rental and ownership units targeted geographic areas or groups in the metropolitan area who may be unlikely to consider renting or purchasing housing in Edina due to inaccessibility of information or concerns about discrimination. 16. Expand awareness and understanding of affordable housing. 17. Engage the Edina community through neighborhood associations, faith institutions, Early Childhood, Senior Center, and other community resident and business organizations in regularly scheduled dialogues, education, and presentations on the city's need and commitment to provide affordable housing. Housing Quality and Design 1. Maintain and update a citywide survey of housing conditions, to determine where additional investment may be needed. 2. Encourage repairs and improvements to existing single-family homes that avoid tear-downs, extend their useful life, and ensure that they are designed and maintained in a manner that complements the dwelling’s character and is compatible with adjacent homes and the character of the surrounding neighborhood. 3. Consider program of assisting income eligible property owners with rehabilitating their homes to extend their useful life in a manner that also complements the dwelling’s character and is compatible with the character of the surrounding neighborhood. Housing Choice 1. Support the development of a program that will assist workers employed within the city to live in the city and attract new residents to the area. 2. Offer resources to support senior residents seeking to age-in-place. 3. Assist neighborhoods in retaining starter housing stock that can accommodate young families. Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-26 City programs and policies can promote such features as housing affordability, sidewalks, and proximity to recreational amenities such as parks (including pocket parks), playgrounds and community gardens that act as magnets to encourage young families to settle in the city. 4. Develop and implement fair housing policy. Partners and Programs The City has many existing and potential partners to collaborate in the effort to create affordable housing in the city. Some of these partners are: Edina Housing Foundation. Edina Housing Foundation (EHF) is a nonprofit corporation founded in 1984 under the auspices of the Edina City Council. It has five members all residents of Edina and appointed by the Edina City Council. The EHF provides a variety of financial and policy support to promote affordable housing in the city of Edina. Actions and programs include Come Home 2 Edina; a second mortgage program for home ownership; investments in property to potentially create affordable single and multi-family housing in the city and grants/loans to build new affordable housing. The Foundation supports with yearly grants Home Senior Services for elderly residents that need help keeping up their homes. The EHF also recommends policy changes on affordable housing to the city council. The full time position in the city of Edina of Affordable Housing Manager is financially supported by the EHF. • West Hennepin Affordable Housing Land Trust (WHAHLT) WHAHLT is a nonprofit community land trust organization originally established by the City of Minnetonka to sustain and preserve affordable homeownership opportunities for working households. This program provides affordable homeownership opportunities using the community land trust model, which removes the market value of the land from the mortgage equation, thereby reducing the cost of a home significantly. Since 2007, the City of Edina provided annual funding to the organization to purchase three properties within the city to create perpetually affordable housing through WHAHLT’s Homes Within Reach program. Between 2007 and 2017, 12 homes in Edina have been acquired through this program. The West Hennepin Affordable Housing Land Trust has a program known as Homes Within Reach (HWR) in the western suburbs of Hennepin County. HWR offers the opportunity for people to live in communities in which they work and or reside, creating stable communities and households, through the advantages of homeownership. By preserving and recycling available resources, the program maximizes the public and private investment being made in workforce housing. • Metropolitan Council. The Metropolitan Council provides access to a number of housing assistance programs, including those using federal funds. The Metropolitan Council’s Livable Communities Act (LCA) is a voluntary, incentive-based approach to help the Twin Cities metropolitan area address affordable and lifecycle housing needs while providing funds to communities to assist them in carrying out their development plans. Through funds provided by the Livable Communities Act (LCA), the Metropolitan Council awards grants to participating communities in the seven-county area to help them remediate polluted sites, promote compact and connected development and redevelopment and increase the supply of affordable housing. Funds are distributed through four LCA accounts: Tax Base Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-27 Revitalization Account, Livable Communities Demonstration Account, Local Housing Incentives Account, and Transit Oriented Development. Through the Metro Housing and Redevelopment Authority (HRA), the Metropolitan Council also administers a range of housing assistance programs. Edina participates in several Metro HRA programs, including: o Housing Choice Voucher Rent Assistance Program, also known as Section 8, which is federally funded and provides rental assistance for low income households through direct payments to landlords. o Family Affordable Housing Program (FAHP), which provides scattered site affordable housing in suburban communities. o Additional specialized programs are available for people with disabilities and special needs to fund supportive housing options, such as Shelter + Care, Bridges Rental Assistance, Housing Opportunities for People with AIDS (HOPWA) Rental Assistance, and others. • Hennepin County. Hennepin County provides emergency/short-term support for residents “in a financial crisis that poses a direct threat to their physical health or safety.” This assistance can provide emergency or temporary shelter; housing costs like rent payments, damage deposits, home repairs and utility bills; and foreclosure prevention, moving expenses and transportation to relocate, and extra food support for people on special diets. • Minnesota Housing. Minnesota Housing, the state’s housing finance agency, provides a range of programs to support affordable housing ownership options. These programs, which typically have income limit eligibility requirements for participants, include: o Start Up is a first-time homebuyer program meant to promote affordable interest rates and help homeowners cover their down payments and closing costs. o Step Up is a loan program meant to promote affordable interest rates, with assistance for home purchases and rehabilitation. o Deferred Payment Loan is meant for first-time homebuyers to help reduce the cost of homeownership. o Monthly Payment Loan is a supplementary program to provide additional home purchase assistance, in addition to other Minnesota Housing programs. o Mortgage Credit Certificate reduces the cost of mortgages by allowing homeowners to claim a mortgage tax credit. • Real Estate Developers. As addressed in the City’s affordable housing policy, affordable units are required to be addressed as part of mixed income developments, or to pay into a fund to pay for the construction of units elsewhere. Examples of this are already in existence in the Greater Southdale area. Nonprofit developers who specialize in affordable housing may be more equipped to navigate the various state and federal funding sources that are used to fund permanently affordable units. • Land Bank Twin Cities. Land Bank Twin Cities works with developers, nonprofit service providers, and local governments to assist with real estate related transactions designed to benefit low income people and other disadvantaged groups. They offer support via brokering and negotiating property purchases, land banking and holding property, and financing/lending for a property or project. Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-28 • Private Foundations and Funds. Minnesota has a strong tradition of local and regional philanthropy. Opportunities may exist to partner with private foundations and funds to advance mission-driven, innovative approaches to meeting housing needs. • Alternative Ownership Structures. Community land trusts, cohousing communities, cooperative housing, and other alternative ownership models can help control costs and lock in affordability over the long term – in part by separating out the value of the land from that of the housing, and by introducing a structure to manage values over the long term. There are limitations to how much these can be used in high value areas like Edina, but they certainly should be considerations when the city is considering its affordable housing strategy. • Housing Justice Center. Founded in 1999, the Housing Justice Center (HJC, formerly known as the Housing Preservation Project, or HPP) is a nonprofit public interest advocacy and legal organization whose primary mission is to preserve and expand affordable housing for low income individuals and families. HJC seeks to prevent the loss of affordable rental housing by conversion to market rate, demolition, foreclosure, and other causes. HJC also seeks to foster expanded affordable housing opportunities. Additional housing tools and strategies that may be used by the City of Edina are included in the following Additional Housing Tools section. Additional Housing Tools In the following table are a number of additional housing tools and strategies, divided up by the type housing goal or need they may help fulfill. This is meant as a resource to supplement the main ones provided in the Housing chapter. For tools that specify funding is for affordable housing at or below 80% AMI, this is inclusive of housing at the 30% and 50% AMI levels as well. Table 4.7: Housing Implementation Tools Housing Goal/Need Implementation Opportunity/Available Tool Circumstance and Sequence of Use Development of affordable housing (up to 80% AMI) Planned Unit Development (PUD) The City may consider a PUD application for project that includes affordable housing at or below 80% AMI, in locations guided at appropriate densities and land use categories as shown on the future land use map. Tax Abatement The City may consider tax abatement for development proposals including housing affordable at or below 80% AMI, in locations guided at appropriate densities and land use categories as shown on the future land use map. Tax-Increment Financing (TIF) The City may consider TIF for proposals for housing affordable at or below 80% AMI, in locations guided at appropriate densities and land use categories as shown on the future land use map. Housing Bonds It is unlikely the City will consider issuing housing bonds to support affordable housing development, as it is not regularly used here. However, this is still a potential tool that may be considered for projects meeting multiple city goals. Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-29 Site Assembly The City may consider assembling a site for affordable housing at or below 80% AMI. This could include acquiring and holding land as well as sub-allocating such monies to a qualified developer approved by the City Council. Consolidated Request for Proposals (RFP) The City may consider supporting an application to RFP programs for housing affordable at or below 80% AMI in locations guided at appropriate densities and land use categories as shown on the future land use map. Community Development Block Grant (CDBG) The City has supported the use of CDBG funds to develop affordable housing opportunities at or below 60% AMI in the past, and may consider using for future projects which are consistent with city policy and meet program criteria. HOME Investment Partnerships Program (HOME) The City may consider supporting an application to HOME to fund activities to build, buy, or rehabilitate affordable housing at or below 60% AMI for locations guided at appropriate densities and land use categories as shown on the future land use map. Livable Communities Demonstration Account (LCDA) The City has supported the use of LCDA funds to develop affordable housing opportunities in the past, and will consider using it for future projects affordable at or below 80% AMI which are consistent with city policy and meet program criteria. Inclusionary Zoning Policy The City has already adopted an inclusionary zoning policy supporting the construction of affordable housing at or below 60% AMI and will continue to use and modify this tool as needed to support the development of affordable housing. Affordable Housing Incentive Fund (AHIF) The City has supported the use of AHIF to develop very low income affordable housing opportunities at or below 30% AMI, and will consider using it for future housing projects which are consistent with city policy and meet program criteria. Preserving existing affordable housing stock 4d Tax Program The City has a 4d pilot program with an affordable housing rehabilitation component that will be reviewed and possibly expanded. This program may be used to provide reduced tax rates for properties with housing affordable at or below 60% AMI. Landlord Education for Inclusive Housing Policies Landlord education can provide information for how to maintain and manage affordable housing. The City may partner with other agencies to offer educational resources to landlords of existing affordable rental properties at 80% AMI or lower. Land Bank Twin Cities and Community Land Trusts Land banks and land trusts can be used to maintain existing affordable housing stock at or below 80% AMI, including naturally occurring affordable housing. The City may consider working with the Land Bank Twin Cities or other land trusts on affordable housing preservation. Project Based Rental Assistance The City may consider supporting the use of project based rental assistance programs, such as Section 8, to maintain affordable options at or below 80% AMI in the city. Rental Rehabilitation Grants and Loans The City may partner with other agencies to offer resources to landlords for rehabilitation grants and/or loans for existing affordable rental properties at or below 80% AMI, when consistent with city goals and policies. Low Income Housing Tax Credit Properties (LIHTC) The City has supported the use of LIHTC to develop affordable housing opportunities and will consider using it for future Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-30 projects affordable at or below 60% AMI. This will include exploring options for expiring LIHTC properties. Single Family Rehabilitation Grants and Loans The City may partner with other agencies to offer resources to homeowners for home rehabilitation grants/loans, when consistent with city goals and policies. Income may be a criterion used to determine eligibility. Supporting young/first-time homeowners Start-Up Loan Program Minnesota Housing provides this program to assist first- time homebuyers with financing a home purchase and down payment through a dedicated loan program. The City may partner to offer education about the availability of this program. Single Family Rehabilitation Grants and Loans The City may partner with other agencies to offer resources to homeowners for home rehabilitation grants/loans when consistent with city goals and policies. Maintaining homeownership Foreclosure Prevention Counseling The City may partner with other agencies to offer foreclosure prevention resources to homeowners and educate homeowners about opportunities for assistance. Step-Up Loan Program Minnesota Housing provides this program to assist non first-time homebuyers to purchase or refinance a home through a dedicated loan program. The City may partner to offer education about this program to potential applicants. Senior housing Planned Unit Development (PUD) The City may consider a PUD application for senior housing in locations guided at appropriate densities and land use categories as shown on the future land use map. Expedited Pre-application Process The City may consider creating a pre-application process to identify ways to minimize unnecessary delay for senior housing and affordable projects prior to formal application process. Site Assembly The City may consider assembling a site for senior housing. This could include acquiring and holding land as well as sub-allocating such monies to a qualified developer approved by the City Council. Zoning Ordinance The City may review the zoning ordinance and identify policies or regulations that may inhibit senior housing development. Tax Abatement The City may consider tax abatement for a senior housing project with units affordable at or below 80% AMI. Tax-Increment Financing (TIF) The City may consider using TIF to finance this housing type, when the project is consistent with other city goals and policies, particularly for affordable housing at or below 80% AMI. Housing Bonds It is unlikely the City will consider issuing housing bonds to support senior housing development. However, this may be an option for projects meeting multiple city goals and policies. Consolidated RFP The City may consider supporting an application to RFP programs for senior housing affordable at or below 80% AMI in locations guided at appropriate densities and land use categories as shown on the future land use map. Community Development Block Grant (CDBG) The City has supported the use of CDBG funds to develop affordable housing opportunities at or below 60% AMI in the past, and may consider using it for future affordable senior Edina Comprehensive Plan Housing Chapter Draft 12/31-19 4-31 housing projects which are consistent with city policy and meet program criteria. Livable Communities Demonstration Account The City may consider supporting or sponsoring an application to Livable Communities Account programs for affordable senior housing at or below 60% AMI to address above housing needs and goals. Increasing the livability of the city Home Improvement Loans Minnesota Housing offers this program to assist homeowners in financing home maintenance projects to accommodating a physical disability or select energy efficiency improvement projects. The City may partner to educate about this program. ADU Ordinance The City may consider developing an ordinance permitting the construction of accessory dwelling units or guest homes in specific zoning districts, if consistent with overall city goals and policies Program or Framework The City may consider working with stakeholders to develop guiding principles, frameworks, and action plans to consider and incorporate the needs of existing and potential residents into development decisions. Fair Housing Policy The City has an adopted Fair Housing Policy and will continue to use it in the future and modify as needed. Housing-related Organizations, Partnerships, and Initiatives The City will consider participation in housing-related organizations, partnerships, and initiatives.