The document outlines a conference on increasing housing supply and affordability in Chapel Hill, highlighting the challenges such as declining rental affordability, rising home prices, and limited housing supply. It presents a plan with over $28 million allocated for affordable housing projects, aiming to develop and preserve over 600 units, particularly for low-income households. Key strategies include funding initiatives, policy creation, and partnerships to address the significant rental supply gap and improve access to affordable housing in the community.

1. Increasing Housing Supply & Affordability
State of the Community Half-Day Conference
May 23, 2024

2. Presenter
Sarah Viñas
Director, Affordable Housing
and Community Connections
Town of Chapel Hill

3. AGENDA
Definitions & Context
What's Ahead
Our Approach & Plan

4. WHAT IS AFFORDABLE HOUSING?

5.  To qualify, household
income typically must fall
below 80% of the Area
Median Income (AMI)
WHAT IS AFFORDABLE HOUSING?
FAMILY SIZE INCOME LIMIT
1 $ 59,300
2 $ 67,800
3 $ 76,250
4 $ 84,700
5 $ 91,500
6 $ 98,300
7 $ 105,050
8 $ 111,850

6. HOUSEHOLDS SERVED BY AFFORDABLE HOUSING

7. WHAT DOES AFFORDABLE HOUSING LOOK LIKE IN CHAPEL HILL?

8. 8
|
HR&A
Advisors
Chapel
Hill
Affordable
Housing
Plan
–
Town
Council
Presentation:
September
2023
HOUSING CHALLENGES
DECREASING ACCESS TO HOME-OWNERSHIP
DECLINING RENTAL AFFORDABILITY
DISPLACEMENT PRESSURES
LIMITED HOUSING SUPPLY 6-7%
Net increase in homes since 2010; One of slowest
growth communities in region
36%
Increase in median home sales prices since 2020
78%
Renter households earning under $75k are
cost-burdened
32%
Decrease in Black homeownership since 2010
Source(s): ACS 5-Year Survey 2010-2021, SOCDS Building Permits Database

9. 9
|
HR&A
Advisors
Chapel
Hill
Affordable
Housing
Plan
–
Town
Council
Presentation:
September
2023
Less than
$25K
Less than
$35K
Less than
$50K
Renter Households Units
Cumulative Rental Supply Gap (2021)
1,900
units
Supply gap
for renters
earning
<$50,000/yr
HOUSING CHALLENGES

10. OUR APPROACH & PLAN
Fund Projects
Initiate Development & Preservation
Own & Manage Housing
Create & Implement Policies

11. OVER $28M ALLOCATED OVER PAST 5 YEARS
Fund Affordable Housing Projects

12. Perry Place:
24 units, COMPLETED Spring 2023
Weavers Grove:
102 units, Under Construction
PEACH Apartments:
10 units, Groundbreaking Summer 2024
Longleaf Trace:
48 units, Groundbreaking Summer 2026
TOWN-SUPPORTED DEVELOPMENT PROJECTS
Fund Affordable Housing Projects

13.  Plan to establish $20 Million Fund
 Historic partnership with UNC Health
 Will support preservation and
development of >600 units
 Self-Help Ventures Fund selected as Fund
Administrator
 Anticipate Summer 2024 launch
Fund Affordable Housing Projects
AFFORDABLE HOUSING LOAN FUND
Fund Affordable Housing Projects

14. Trinity Court
Homestead Gardens
Tanyard Branch Trace
 3 Town projects will break ground in 2024
 Total of ~200 units
 More than 1/3 of units will serve <30% AMI
 4 additional projects in planning phases
that could total ~450 units
TOWN-INITIATED DEVELOPMENT
Initiate Development and Preservation

15.  300 units in 12 neighborhoods
 Serve primarily <30% AMI households
 Aging portfolio in need of renovation and
redevelopment
 15 countries and 13 global languages
represented
 41% heads of household elderly and/or
disabled
PUBLIC HOUSING
Own and Manage Housing

16.  Expedited Review
 LUMO Update
 Source of Income Protection
 Employee Housing
 Inclusionary Housing
KEY POLICY EFFORTS
Create & Implement Policies

17.  ~900 homes and $10.8M approved to date
 ~10% of all homeownership units
 ~7% of all rental units
 285 built, $4.9M received
 In 2023, 381 affordable units approved in
market rate developments (11.5% of total)
 ~100 affordable units coming online by
2026
INCLUSIONARY HOUSING
Create & Implement Policies

18. OUR PLAN FOR THE NEXT 5 YEARS

19. AFFORDABLE HOUSING PLAN RECOMMENDATIONS

20. $50 million could results in >900 units developed and >400 units
preserved
*At least a third of units developed and
preserved are anticipated to serve
households earning 30% AMI and below.
AFFORDABLE HOUSING INVESTMENT STRATEGY

21. PROJECT PIPELINE

22.  Visit:
www.chapelhillaffordablehousing.org
 Sign up for our newsletter
 Contact us at:
housingandcommunity@townofchapelhill.org
LEARN MORE

23. Panelists
Delores Bailey
Executive Director,
EmPOWERment Inc.
Kimberly Sanchez
Executive Director,
Community Home Trust
Lee Bowman
Principal,
The Legion Company