Perk Up Your Pub

PERK UP
YOUR PUB
ROBERT SUGAR
CREATIVE DIRECTOR
AURAS DESIGN
EDITOR
FPO MAGAZINE

Covers and TOC design
is sexy, but structure
and navigation are
much more important
for every magazine.

ART • CRAFT • T R AV E L • INTERIOR DESIGN

April 2009

2009 Art
& Design

and navigation are issue

much more important
for every magazine.
Artists’
Spaces
Magazines, true to the loft living
in cumberland, Md.
preserving a Heritage
original meaning of the in newport, r.i.
crafting a Dream House
in Asheville, n.c.
word, are packages. A r t s to u r
san Antonio

66 Arts Focus
Versatile polymer clay

AS66 cover.indd 2 1/14/09 3:16:07 PM

ART • CRAFT • T R AV E L • INTERIOR DESIGN

April 2009

2009 Art
& Design

and navigation are issue JUNE 2007
VOLUME 13
NUMBER 5

much more important
62
for every magazine. Ceramics to score for ”Crouching Tiger,

Artists’
Hidden Dragon” won an
See, Hear Oscar.
FEATURES
and Play “Clay provides an artist

Spaces
with an unparalleled degree

72 62 Lofty Aspirationsfunc- of flexibilitysays.shape and
Cultures have created
tional, decorative ceram-
Ruth and for thousands of years.
Rick Snyderman make
form,” Hall
in
Creating
ics musical instruments from it

That’s why the
a home aboveis also successful
Music their an ancient offers challenges, “but clay
Philadelphia galleries. Cathleen
loft living art. Today, Barry Hall fires
McCarthy pays a visit.
clay in pursuit of art and
is up to the task, with its
wide varieties of densities,
Pittsburgh
in cumberland, Md. music, creating instruments strengths and acoustic prop-
72 The to admire their beauty and erties.” grew up perform-
Most Celebrates
Intimate is no gimmick. The ingHalla musical family. “I
sound.
Art 2007 in Glass
preserving a Heritage
packaging is the most
This in
A new exhibition retraces the
“magical combination” started working with clay
in newport, r.i. American studio jewelry movement. about 15 continuing he says,
of the ancient Greeks’
Shirley Moskow leads you through
four basic ele-
In a
years ago,”
effort to
revitalize its artist commu-
“and soon became obsessed
the engaging history. nity, Pittsburgh, Pa., returns
with its musical capabili-
crafting a Dream House to its roots as the glass-
ties, making it my mission
making capital of the world
This “Oriente” vase, des
by Dino Martens, is par
an exhibition at the Car
in Asheville, n.c. 78 Through The Glass that in a yearlong celebration.
to explore all of the sounds

important thing about 78 A r t s to u r
… Clearly
Classical composer and glass

his life and his living space to
ments—
The Moclay can produce.”
To highlight the city’s prog-
He and his wife Beth,
ress, the annual Glass Art
along with other advocates,
collector Stephen Goldman devotes perform as The Burnt held in
Society conference,
Pittsburgh this year, is titled
Earth Ensemble on ceramic
Museum of Art during t
Year of Glass.
temporary Glass Gal
including Hank Mu
Adams.
san Antonio championing the arts. Kay Harwell
Fernandez tells the story. water,
earth,
“Transformational Matters.”
instruments including
n Glass Group Show

your magazine.
The city has organized June 1-Aug. 20: featu

66
air and fire—create a “crys- fiddles, flutes, didjeridus and
Arts Focus exhibitions, demonstra- Lindsay O’Leary and
tal lattice that is extremely
tions and other Charlson at the Pitts
Versatile polymer clay strong and acoustically reso-The Pittsburgh
nant,” Hall says. He makes Glass Center
events, taking place Center for the Arts.
will showcase at more than 50 n 37th Annual Glass
this point in the exhibition
venues throughout Society Conference
he curated at Brookfield numerous
glass artists 2007, all under the 7-9: “Transformation
Craft Center in Connecti- throughout the
Year of Glass, banner “Pittsburgh Matter” examines gl
AS66 cover.indd 2 cut, and in From Mud to
1/14/09 3:16:07 PM
Celebrates Glass!” innovations through
Music: Making and Enjoying including Rob
Scavuzzo, who The following is tures, demonstration
Ceramic Musical Instruments, gave a live
just a sampling of and exhibitions.
published by the American demonstration
in February. the best the city has n “Transformation 7
Ceramic Society.
to offer: 7-Dec. 31: the Socie
The book shows ancient
JUNE 2007 • AMERICANSTYLE 5n “Allure of Japanese Contemporary Craft
and modern instruments

Left and above right: SibiLa Savage
Glass,” May 4-Sept. 16: the the biennial Elizabet
and includes a CD on drums. Combining sight
Pittsburgh Glass Center fea- Raphael Founders P
which Hall and other seri- and sound, the liner of their
Barry Hall plays a tures the work of contem- focusing on glass art
AS55_ads.indd 5 ous musicians play wind, 3/19/07 “TerraAM
CD, 9:20:16 Cotta,” includes
globutubular horn he porary Japanese artists who For more inform
made. He also made the
string and percussion photos of their imagina-
practice in every method visit www.pittsburgh
double ball globutubular instruments. The CD has tively designed instruments.
horn at right. and technique. center.org or www.v
a piece by Tan Dun, whose — W ay n e C o u n t r y m a n
n “Viva Vetro! Glass Alive! pittsburgh.com.
Venice and America, 1950- — C l A i r e P AT T e r S
2006,” May 12-Sept. 16:
featuring 125 works exam-
ining the links between White nigh
Venetian and American

In This Session:
6 Steps to Building a Magazine

In This Session:
3 Kinds of Design

In This Session:
3 Kinds of Design
Archetypes and Why They Matter

In This Session:
3 Kinds of Design
Mission Into Content

In This Session:
3 Kinds of Design
Elements of Branding

In This Session:
3 Kinds of Design
Elements of Branding
C/P/R

6 Steps to Building
a Better Pub

6 Steps to Building
a Better Pub
Mission

6 Steps to Building
a Better Pub
Mission
Archetype

6 Steps to Building
a Better Pub
Mission
Archetype
Scope

6 Steps to Building
a Better Pub
Mission
Archetype
Scope
Structure

6 Steps to Building
a Better Pub
Mission
Archetype
Scope
Structure
Navigation

6 Steps to Building
a Better Pub
Mission
Archetype
Scope
Structure
Navigation
Branding

6 Steps to Building
a Better Pub
Mission Business Plan
Archetype Market
Scope Vertical Channels
Structure Value Proposition
Navigation Packaging
Branding Branding

6 Steps to Building
a Better Pub
Audience Mission Business Plan
Cover Archetype Market
TOC Scope Vertical Channels
Issue Map Structure Value Proposition
Style Navigation Packaging
Branding Branding Branding

The 3 “C”s of Design
Concept

Concept
Comp

Concept
Comp
Creative

C O N C E P T L E V E L

Archetype Attention


Archetype Attention

Book Structure


Archetype Attention

Book Structure

Typographic Structure

46 U R B A N L A N D / J A N U A R Y 1 9 9 7 U R B A N L A N D / J A N U A R Y 1 9 9 7 46

A look at the evolution,

Building Who Can operational styles, and
accomplishments of the

the
Bay Area’s nonprofit
housing sector – and a
special tribute to one of its

Housing
shining lights.

for Those Afford It E. Toby Morris, John Landis,
and Michael Smith-Heimer

T
he nine-county San Fran- some. Like their market-rate counter- In addition, nonprofits must deal regional public/private housing part- housing developers typically operate
cisco Bay Area is home to parts, affordable projects often are with constant changes in federal, state, nerships (such as the Boston Partner- “lean and mean.” In 1994, the typi-
more than 60 nonprofit opposed by neighbors who are con- and local funding programs. Most ship) provide a stable conduit for debt cal Bay Area entrepreneurial nonprofit
organizations that are in cerned about traffic and overdevelop- nonprofits today also find themselves and equity financing. In California, operated with a development and
the business of developing ment. But market-rate projects do not competing with each other for allo- nonprofit developers must negotiate administrative staff of ten and a budg-
affordable housing, (which have to contend with the added con- cations of federal low-income hous- separately with cities, foundations, con- et of approximately $1.5 million.
is defined as housing that is afford- cern that they will attract poor people ing tax credits. In 1995, the state Tax ventional lenders, and alternative
financing sources to patch together
able to with households with 80 per- from other cities (or even regions), Credit Allocation Committee award- financing deal by deal. The silver lin- Community-Based Nonprofit Devel-
cent or less of an area’s median income, reduce property values, increase crime, ed tax credits to _____ [TK] non- ing is that these developers have had to opers. These organizations—-like their
as determined by the U.S. Department and generally lead to neighborhood profit projects out of _____ [TK] become strongly grounded in the ins entrepreneurial counterparts—-are
of Housing and Urban Development). deterioration—-all arguments that, project applications. and outs of project finance and that principally developers and managers of
Nonprofit developers have produced incidentally, have been demonstrated Many nonprofits are suffering they have assembled an innovative sup- affordable housing projects. However,
nearly 15,000 affordable housing units to be false. from a sort of mission creep. Ten years port community of architects, con- they usually limit their operations to
since 1980. In 1994, affordable mul- Affordable projects, just like mar- ago, most of them had a single mis- sultants, and local officials. While one or two cities or neighborhoods.
tifamily housing production actually ket-rate projects, must qualify for financ- sion: to produce market-quality afford- raising project capital remains an ardu- Through boards of directors that typ-
exceeded market-rate housing pro- ing. They must meet all local zoning able housing. Today, many of the ous process, nonprofits have become
increasingly innovative in finding, and ically are composed of local officials
duction (see Figure 1). and building codes and, at least in Cal- projects they develop include daycare in some cases creating, new financing and residents, they have developed
The nonprofit sector’s solid record ifornia, are not exempt from impact centers, job training and counseling sources. ongoing relationships with local gov- other half have shifted to nondevel-
is all the more amazing considering fees. Nonprofits typically must pay the services, and retail to serve residents. opment activities. Only six entirely At Modesto
Many of the Bay Area’s active ernment officials. They tend to be
that its developers face the same prob- going rate for developable land—-which Construction and operating funds for new nonprofit housing developers have Estates, efficient
nonprofit housing developers began smaller in size than entrepreneurial
lems as other builders—-and then is at a premium in the Bay Area. such extras are rarely available from come into existence since 1988. space use makes
in the late 1960s and 1970s as com- nonprofits and to make greater use of
the public sector, forcing these devel- Several factors account for this sec- these twonhous-
munity development corporations outside financial consultants.
opers to stretch already limited hous- tor’s rich diversity and staying power. es affordable but
or tenant advocacy organizations. not small.
ing funds. Today, most can be classified in one Community Development Corpora- The Bay Area has long been a region
of three categories: entrepreneurial tions. About 30 percent of the afford- of diverse neighborhood groups con-
developers, community-based devel- able housing developers in the Bay cerned about issues of social justice
Basically Independent opers, or community development Area are community-based develop- and neighborhood improvement.
In California, nonprofit housing devel- corporations (CDCs). ment corporations. These organiza- Over the years, many of these groups
opment is distinct from public sector tions typically undertake a wide array have found success in focusing their
or private sector housing development. Entrepreneurial Nonprofit Develop- of activities in addition to housing efforts on the production of small-
Although they rely heavily on public ers. These nonprofits typically devel- development, including the provision scale affordable housing. Gradually, a
and philanthropic sources for project op, own, or manage properties in a of social and health services, tenant distinct network of nonprofits
financing, most nonprofit developers number of cities. Their primary skills advocacy and organizing, and local emerged. Helping in these efforts is
operate independently of local gov- are the same as those of private devel- economic development. the large number of local govern-
This house ernment, state government, or region- opers: assembling land, obtaining enti- The Bay Area nonprofit housing ments—-more than 100—-many of
looks like it al umbrella organizations. Their tlement, putting together viable sector is quite stable. Of the 52 devel- which have used federal community
costs big independent style of operation has project financing, and managing the opers in business in 1988, 38 were still development block grants to seed
bucks–but both advantages and disadvantages. asset. Like their private sector coun- active in 1994. Half of those no longer community development organiza-
it doesn’t! In many other parts of the nation, terparts, entrepreneurial nonprofit active have gone out of business; the tions and promote rental housing pro-


The nine-county San Francisco Bay cally must pay the going rate for nonprofit housing developers typi- eral community development block

Building
Area is home to more than 60 non- developable land—-which is at a pre- cally operate “lean and mean.” In grants to seed community develop-
profit organizations that are in the mium in the Bay Area. 1994, the typical Bay Area entre- ment organizations and promote

Housing for
business of developing affordable In addition, nonprofits must deal preneurial nonprofit operated with rental housing production.
housing, (which is defined as housing with constant changes in federal, state, a development and administrative There is also an issue of need.
that is affordable to with households and local funding programs. Most staff of ten and a budget of approx- With median housing prices in Cal-
Those Who Can with 80 percent or less of an area’s
median income, as determined by the
nonprofits today also find themselves
competing with each other for allo-
imately $1.5 million. ifornia more than double those in
the rest of the nation, state and local

Least Afford It U.S. Department of Housing and
Urban Development). Nonprofit
developers have produced nearly
cations of federal low-income hous-
ing tax credits. In 1995, the state Tax
Credit Allocation Committee award-
Community-Based Nonprofit
Developers. These organizations—-
like their entrepreneurial counter-
policy has long been focused on find-
ing ways to increase housing pro-
duction, particularly rental housing
15,000 affordable housing units since ed tax credits to _____ [TK] non- parts—-are principally developers production. Under California law, 20
1980. In 1994, affordable multifam- profit projects out of _____ [TK] and managers of affordable housing percent of tax increment funds raised
E. Toby Morris, John Landis, ily housing production actually project applications. projects. However, they usually limit in redevelopment districts must be
and Michael Smith-Heimer exceeded market-rate housing pro- Many nonprofits are suffering their operations to one or two cities used to fund the construction of
duction (see Figure 1). from a sort of mission creep. Ten or neighborhoods. Through boards affordable housing.
The nonprofit sector’s solid record years ago, most of them had a single Creating interesting variation in roof of directors that typically are com-
A look at the evolution, is all the more amazing considering
that its developers face the same prob-
mission: to produce market-quality
affordable housing. Today, many of
line helps make simple structures
more pleasing.
posed of local officials and residents,
they have developed ongoing rela- Production and Products
operational styles, and lems as other builders—-and then
some. Like their market-rate coun-
the projects they develop include day-
care centers, job training and coun- disadvantages.
tionships with local government offi-
cials. They tend to be smaller in size
A few very large players dominate the
affordable housing sector. More than
accomplishments of the terparts, affordable projects often are
opposed by neighbors who are con-
seling services, and retail to serve
residents. Construction and operat-
In many other parts of the nation,
regional public/private housing part-
than entrepreneurial nonprofits and
to make greater use of outside finan-
40 percent of new units produced
between 1988 and 1994 were devel-
Bay Area’s nonprofit cerned about traffic and overdevel-
opment. But market-rate projects do
ing funds for such extras are rarely nerships (such as the Boston Part-
nership) provide a stable conduit for
cial consultants. oped by just three organizations:
available from the public sector, forc- BRIDGE Housing Corporation,
housing sector – and a not have to contend with the added ing these developers to stretch already debt and equity financing. In Cali-
fornia, nonprofit developers must
Community Development Corpo- Mid-Peninsula Housing Coalition,
concern that they will attract poor limited housing funds. negotiate separately with cities, foun- rations. About 30 percent of the and Eden Housing. Their combined
special tribute to one of its people from other cities (or even dations, conventional lenders, and affordable housing developers in the production averaged 827 units per
regions), reduce property values, alternative financing sources to patch Bay Area are community-based devel-
shining lights. increase crime, and generally lead to
Basically Independent together financing deal by deal. The opment corporations. These organi-
neighborhood deterioration—-all silver lining is that these developers zations typically undertake a wide
In California, nonprofit housing have had to become strongly ground-
arguments that, incidentally, have array of activities in addition to hous-
development is distinct from public ed in the ins and outs of project
been demonstrated to be false. ing development, including the pro-
sector or private sector housing devel- finance and that they have assembled
Affordable projects, just like mar- vision of social and health services,
opment. Although they rely heavily an innovative support community of
ket-rate projects, must qualify for tenant advocacy and organizing, and
on public and philanthropic sources architects, consultants, and local offi-
financing. They must meet all local cials. While raising project capital local economic development.
for project financing, most nonprof-
zoning and building codes and, at remains an arduous process, non- The Bay Area nonprofit housing
it developers operate independently
least in California, are not exempt profits have become increasingly sector is quite stable. Of the 52 devel-
of local government, state govern-
from impact fees. Nonprofits typi- innovative in finding, and in some opers in business in 1988, 38 were
ment, or regional umbrella organiza-
cases creating, new financing sources. still active in 1994. Half of those no
This house looks like it costs big tions. Their independent style of
Many of the Bay Area’s active longer active have gone out of busi-
bucks–but it doesn’t! operation has both advantages and
nonprofit housing developers began ness; the other half have shifted to
in the late 1960s and 1970s as com- nondevelopment activities. Only six
munity development corporations or entirely new nonprofit housing devel-
tenant advocacy organizations. Today, opers have come into existence since
most can be classified in one of three 1988. year. At Modesto Estates,
categories: entrepreneurial develop- Several factors account for this Apartment and townhouse units efficient space use makes
ers, community-based developers, or sector’s rich diversity and staying accounted for 80 percent of produc- these twonhouses afford-
community development corpora- power. The Bay Area has long been tion between 1988 and 1994 (see able but not small.
tions (CDCs). a region of diverse neighborhood Figure 2). Also produced were sin-
groups concerned about issues of gle-room-occupancy hotels (14 per-
Entrepreneurial Nonprofit Devel- social justice and neighborhood cent), single-family homes (4
opers. These nonprofits typically improvement. Over the years, many percent), and shelter beds (2 percent).
develop, own, or manage properties of these groups have found success Of the total units, 88 percent were
in a number of cities. Their primary in focusing their efforts on the pro- rental units.
skills are the same as those of private duction of small-scale affordable Roughly two-thirds of the units
developers: assembling land, obtain- housing. Gradually, a distinct net- produced during this period involved
ing entitlement, putting together work of nonprofits emerged. Helping new construction, and one-third
viable project financing, and manag- in these efforts is the large number of involved the acquisition and rehabil-
ing the asset. Like their private sec- local governments—-more than itation of existing structures. Acqui-
tor counterparts, entrepreneurial 100—-many of which have used fed- sition-only projects are not covered


under the low-income housing tax cred- tently been targeted more toward Between 1988 and 1993, the pro-
it program, and thus are rarely under- lower-income households. duction pendulum swung toward
taken. very low-rent family housing, a prod-
The target market for more than Financing in the Driver’s Seat uct that was favored by the state Tax
half of the affordable units produced As is the case for all types of housing, Credit Allocation Committee. More
since 1988 has been very low-income the availability of financing drives recently, the share of special needs
households—-those with incomes less affordable housing production and housing (housing for very large fam-
than 50 percent of the area median. product choice. Before 1986, about ilies and for people with disabilities,
Income targeting has improved sig- half of the affordable units produced substance abuse problems, and AIDs)
nificantly since the mid-1980s, with in the Bay Area were oriented toward has been rising, spurred in part by
newly constructed units targeted the elderly. Federal subsidies for eld- the availability of federal funds for
toward very low-income households erly housing were available through housing combined with supportive
rising from 35 percent in the late the Section 202 program, and neigh- services.
1980s to nearly 60 percent in 1994. borhood opposition was muted. Although many nonprofits would
Rehabilitation projects have consis- prefer to incorporate market-rate

Don Terner: An Appreciation
Don Terner, 55, died this April, when the plane on initially opposed BRIDGE projects later became their
which he, Secretary of Commerce Ron Brown, and 33 champions.
other business leaders were traveling crashed in Bosnia. Terner convinced people to see the residents of
Don Terner passionately believed that all Americans BRIDGE projects as people like themselves. He was
are entitled to decent, safe, and affordable housing. To fond of saying that BRIDGE didn’t build low-income
Terner, all meant all, and he devoted his professional life, housing—-it built affordable housing for teachers,
first on the East Coast and later in California, to ful- police officers, and store clerks. Terner saw BRIDGE
filling that obligation. tenants as people, not renters. BRIDGE staff mem- different funding sources. The 30 $24,240 per unit, made up the next
bers report that he knew by sight everyone who lived
colorful exterior trim and artistic
Terner was best known as the committed, dynamic projects summarized in Figure 4 all largest share. At $22,993 per unit,
in a BRIDGE development. Nor did Terner stereo-
flourishes improve an otherwise sim-
president of San Francisco’s BRIDGE Housing Corpo- required multiple funding sources, soft costs accounted for only 16 per-
type the business community as indifferent or unfeel-
ple facsade.
ration. Beginning in 1984 with a grant from the San with more than half of them requir- cent of new construction costs—-a
Francisco Foundation, he built BRIDGE from an idea ing. He worked tirelessly to convince lenders and ing four or more sources. For new share that is comparable to, and in
into the nation’s largest nonprofit develop- business interests of the importance of sup-
units in their projects, almost all
of the projects built between construction projects in 1993 and many cases lower than, that of mar-
er of affordable housing. (Over its 12-year porting and financing affordable housing. 1988 and 1995 have been exclu- 1994, tax credits were by far the ket-rate projects. Among eight reha-
life, BRIDGE has developed more than Terner came to California in 1975 from sively affordable. The low-income largest source of funds. Next in bilitation projects, site acquisition
5,000 affordable housing units; one of its New York, where he started and ran UHAB, housing tax credit program favors importance were state grants and costs constituted the largest cost share,
projects, Pickleweed Apartments in Mill a self-help housing rehabilitation and devel- all-affordable projects, particular- loans, then local government grants averaging more than $29,000 per
Valley, received a 1988 ULI Award for opment organization that worked in the ly in states such as California and loans, and then private financing. unit. Hard costs made up the next
Excellence.) poorest areas of New York City. Before he where the competition for tax cred- Proceeds from the syndication of tax largest share (39 percent of total
Terner’s idea was that affordable hous- joined BRIDGE, Terner served as director of its is intense. Recent projects credits contributed an average of development costs), followed by soft
ing should be exactly the same as market- the California Department of Housing and approved for tax credits have had to $58,218 per unit of new construc- costs (12 percent).
provide units serving households with
rate housing. It should have the same Community Development under Governor tion. State grants and loans—-all of New Challenges
average incomes that are only 25 per-
designs and features, be located in the same Jerry Brown. During his tenure there, he cent of the median income. which have since dried up—-pro-
neighborhoods, and be integrated into the larger com- made the agency an advocate for fair-share and afford- Developing housing, whether vided $30,094 per unit. Private
F I G U R E 1
munity. Terner recognized that to make this idea work able housing. For him, getting housing built was as affordable or market rate, takes a lot financing accounted for less than one-
he would have to combine the real estate and develop- important as administering policies and programs, and Affordable versus Market-Rate
of money, particularly in the Bay sixth of total funding. Funding for
ment skills of the private sector with the nonprofit sec- he sometimes appeared at local city council meetings Multifamily Housing Production
Area, where land costs, labor costs, acquisition and rehabilitation proj-
tor’s traditional access to lower-cost public financing on behalf of specific projects. in the Bay Area: 1988–1994
and entitlement costs all run far above ects in 1993 and 1994 was provided
sources. He recruited the best and the brightest of a What I remember most about Don Terner is how national averages. Figure 4 is a con- primarily by state grants (30 percent),
Annual Multifamily Construction
committed young generation to BRIDGE to become he inspired people to want to do their best for people solidated sources of funds statement private lenders (28 percent), and local
(Number of Units in Thousands)
something new: nonprofit developers. who were not as fortunate. I watched him inspire and for a representative sample of 30 redevelopment programs (26 per-
Terner’s greatest skill was that he could get people continue to inspire—-whether by words or example— affordable housing projects developed cent). 14

to look beyond stereotypes. Bay Area suburbs, like most -business leaders, lenders, government officials, students, in 1993 and 1994. The sample Housing development costs in the 12

in the United States, had long resisted low-income hous- neighborhood groups—-and even BRIDGE staff mem- includes 1,136 units in 19 new con- Bay Area are extremely high, a fact 10

ing. Terner convinced suburban city councils that well- bers who had surely heard it all a thousand times before. struction projects (at an average cost driven home by Figure 5, which pres- 8

designed affordable housing projects would be Don Terner brought out the best in the people he of $145,255 per unit) and 312 units ents a consolidated uses of funds 6

community assets, not problems. BRIDGE projects have worked with and for. His warmth, boundless energy, in 11 acquisition and rehabilitation statement for a sample of 22 afford- 4

won numerous design and planning awards, and Tern- and limitless optimism will be sorely missed by all who projects (at an average cost of able housing projects developed in 2

er took great pride in the fact that many of those who knew him.—-John Landis† $69,611 per unit). 1993 and 1994. Hard costs consti- 0
1988 1989 1990 1991 1992 1993 1994
The most difficult aspect of devel- tuted the largest share of the 14 new
Key: ■ Affordable Units ■ Market-Rate Units
oping affordable housing is meshing construction projects, averaging
Source: E. Toby Morris, San Francisco Bay Area Non-Profit Housing Development Organizations, 1996.
$89,708 per unit. Site acquisition, at


F I G U R E 2 F I G U R E 3
under the new system, Bay Area non-
Nonprofit Affordable Housing Pro- Nonprofit Affordable Housing Pro-
profits have received less than half of
duction in the Bay Area by Unit duction in the Bay Area by Target
their historical share. Faced with a
Type, 1988—1994 Group, 1988—1994
Shelter
permanent reduction in their primary
Beds source of development capital, Bay
2%
Area nonprofit housing developers Other
6%
Single-
are aggressively exploring new sources, Mixed
Apartment
Family and particularly tax-exempt 501(c)3 bond 18%
Units Townhouse Families
4% Units
financing. 43%
80% Annual production of affordable Elderly
Single- 19%
Room housing in the Bay Area has quadru-
Occupancy pled over the past decade. This Special
14% Needs
growth has not come without stress. 13%
The high volume of production of
affordable housing has exposed short-
Source: E. Toby Morris, San Francisco Bay Area Non-Profit Source: E. Toby Morris, San Francisco Bay Area Non-Profit
comings in the management styles of
Housing Development Organizations, 1996. Housing Development Organizations, 1996.
a good number of nonprofit housing
developers. While the large produc-
After ten years of impressive growth, ties have slashed their spending on
Bay Area nonprofit housing developers
ers remain strong, many of the medi-
general assistance. These reductions
are facing new challenges. The most press- um-size and small producers find
already have begun to threaten the
ing issues concern low-income housing their organizations stretched to the
viability of some developments, with
tax credit allocations, the property and limit. Nowhere is this more true than
single-room-occupancy buildings
asset management capacity of nonprofit in property and asset management
developers, and the ability of some having been particularly affected.
practices. At the same time, many
existing projects to continue operat- Additional cutbacks in AFDC enact-
affordable housing developments are
ing. ed at the federal level in August will
approaching middle age, and the need
In 1996, California modified its weaken demand at operating devel-
to devise more effective ways of man-
system of allocating tax credits to opments even further. The need of
aging them is becoming evident. A
favor the state’s lower-cost areas. This nonprofit developers to attend to
number of collaborative regional ini-
change made Bay Area projects potential difficulties with existing
tiatives are underway to improve the
immediately less competitive. In the projects will likely slow the pace of
management capacity of nonprofit
first rounds of tax credit allocations new construction.
developers.
Bay Area nonprofit housing
Finally, many operating develop-
Colorful exterior trim and artistic developers are in for some trying
ments may be in for rough times.
flourishes improve an otherwise times. However, although individ-
After four years of revenue shortfalls,
simple facsade. ual organizations may succumb, the
a number of the state’s urban coun-
nonprofit housing sector as a whole
will almost certainly weather the
storm. Given its long record of
resiliency and strategic adaptation,
the region’s nonprofit housing sec-
tor could well emerge even stronger.

E. Toby Morris is a San Francisco-based
architect. John Landis is an associate
professor of city and regional planning
at the University of California at Berke-
ley. Michael Smith-Heimer is a lectur-
er in city and regional planning at the
University of California at Berkeley.
This article draws on information pub-
lished in San Francisco Bay Area Non-
Profit Housing Development
Organizations: Findings from a 1994
Survey, by E. Toby Morris (Berkeley:
Institute of Urban and Regional Devel-
opment, University of California at
Berkeley), 1996.

57 U R B A N L A N D / J A N U A R Y 1 9 9 7


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