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HOUSING A CHANGING CITY:
BOSTON 2030
Center for New Urbanism: March 31, 2017
2
A Growing City
Population will be more than
700,000 for the 1st time since
1950’s
– Household sizes were much larger
We expect 48,000+ new households
– Requires 4,000 – 6,000 new units
of housing per year
Challenge for a city that has been
densely developed for more than
100 years
3
While we grow,
demographics are changing
Growing number of seniors
– 53 percent increase in senior population
between 2010 – 2030
Students, millennials, + individuals living in
traditional workforce housing
– 101,013 individuals sharing housing, driving
up rents and sale prices
Boston has 28,400 low income households who
are rent burdened.
We expect 9,750 new low-income households
by 2030
38,200 households will need affordable
housing
3
4
How we’re responding
October 2014:
Housing a Changing City: Boston 2030
53,000 new units by 2030
– 20,000 middle income
– 6,500 affordable
– 5,000 seniors
– 18,500 dorm beds (5,000 middle income)
5
Results to date
More than 40,000 units in
development process:
• 19,238 units permitted or
completed
• 21,865 units in development
review + permitting process.
To date, we have started or
completed:
• Low income: 1,515 units
• Middle income: 5,574
• Senior: 264 units
• Dorm beds: 3,548
6
Early successes
• As 12,000 new units came on line, rents
for existing stock decreased 4 percent
citywide 2015-2106.
• Demand for new housing units remains
strong: average rents rose 18 percent
between 2015 - 2016
6
7
Early successes
Market responding at all levels
• Increased interest in middle-income markets as developers
move out of the downtown core:
– More than 1/3 of production in more moderately priced
neighborhoods
– This has allowed us to reach 83 percent of our target rate of
production for middle income
City and developers all collaborating to
increase production
• Extra ZBA hearings for small projects
• Technical upgrades at ISD have shortened timelines and
streamlined process
• BRA has embarked on planning exercises for strategic growth
areas
8
Early successes
Quickly moving resources for affordable
housing
• Since Mayor Walsh took office, the City has committed more than
$100m to affordable housing
• More than 1.4m sf of City-owned land either currently on the market
or under agreement with developers
• Allowing us to meet our affordable housing goals – we are at 93
percent of target for this point in the plan
Transit oriented development
• 74 percent of housing starts from 2014 to date within 5 minute walk
to transit
Healthy dorm pipeline
• Nearly 3,600 beds permitted; pipeline of private development taking
shape
Through New Urbanism’s mirror:
What’s working?
9
10
Honoring + preserving
neighborhoods
Strategic Planning areas
– Use underutilized land along
transit corridors to accommodate
growth
– Create new, dense neighborhoods,
planned with appropriate open
space and access to transit
Restrictive zoning
– While increasing density + height
along transit, rezone adjacent
neighborhoods for lower height
• Reduce neighborhood impact
• Preserves buildings and character
11
Creating mixed income neighborhoods
Support mix of housing types +
income levels
– Inclusionary Development creates
affordable housing in expensive
neighborhoods
– Investing affordable housing
dollars in all neighborhoods
SPA’s such as JP/Rox support a
variety of affordability types
– 40 percent affordability
– Combines w density + market rate
housing
11
12
Considering transportation
Creating housing near transit
– 74 percent of new units within
5 minute walk to transit
GoBoston2030 sets aggressive
mobility goals to connect
neighborhoods
– Every Boston neighborhood to
be interconnected using all
modes of travel
– All homes within 10-minute
walk of rail station, bus,
Hubway + car share
12
13
Adaptive Reuse
• Reuse historic buildings for
housing wherever possible.
• Zoning allows higher density
than new construction
• Surplus schools created
thousands of affordable
elderly apartments.
• Boston institutions have taken
part
– Churches
– Schools
– Municipal buildings
13
14
City resources to preserve
neighborhoods
Neighborhood Homes Initiative
– Use City owned land to create
moderately-priced 2-3 family homes
– Pre=approved designs compatible with
neighborhood character
Designate City-owned buildings for
housing + other amenities
– Limit or forbid demolition
• Fowler Clark Farm
• Charlestown Armory
• Upham’s Corner Comfort Station
• Meridian Street Library
14
15
Commitment to open space
• Since 2014, nearly 300,000 sf City
property used for urban ag, urban
wilds, community gardens, and open
space
– Additional 150,000 sf in process
• Administration goal: every resident in
Boston living within ten minute walk to
a park
• Parks budget increased every year
since Mayor Walsh took office
• $60m from the sale of Winthrop
Square will renovate Boston Common
+ Franklin Park.
15
Garrison Trotter Urban Farm
16
Boston’s Main Streets
16
• Supporting Main Streets key to
Boston’s growth: vital districts become
attractive destinations for buyers +
renters
• 20 districts critical to maintaining
Boston’s neighborhoods’ unique sense
of place.
• Independent 501c(3)s, flexibly funded
allow neighborhoods to make their own
choices
• Walkability of districts keeps dollars in
the community + offers amenities to
residents.
Through New Urbanism’s mirror:
What’s NOT working? 17
18
Regional challenges
Nearly 20 percent of Boston’s housing
stock is deed-restricted affordable
– Highest in the nation
Of 31 municipalities in Greater Boston,
only 8 meet or exceed the State’s 10
percent 40b threshold
– If every community met 40b, would
create 11,500 affordable units
– If every community matched Boston,
would create 56,700
Doing well regionally with economic
development; housing has not
followed suit
It is time for a regional housing plan
19
The need for speed
Growth requires 6,000 new units annually
– Land acquisition, labor, materials
expensive
– Developers build at lowest cost
– Generic architecture replaces good
design; City has not been demanding
enough
– Challenging to create a sense of place at
speed
But if we sacrifice speed, risk displacement
– Supply + demand means the market will
continue to escalate
– Affordability diminishes
19
20
Sprawl
Even in a dense, old, built
city, we have sprawl
– South Bay
– American Legion Highway
Can diminish economic
life of Main Streets
districts
Need to be mindful of
permitting + impact on
existing neighborhoods
20
21
Challenge of building for diversity
High costs + demand make it
challenging to build for a mix of
income levels
– Major downtown development
skewing high-end.
– Mid-market areas of the city:
production costs $416,000/unit
– Rent + sales prices in outer
neighborhoods often need
subsidy to be feasible.
– Some neighborhoods are still too
segregated
21
$1,800
$2,600
$3,400
$4,200
$1,725
$1,848
$2,094
$2,340
$0
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
$4,000
$4,500
$5,000
0BR
450 nsf
1BR 650
nsf
2BR 850
nsf
3BR
1,050 nsf
Rent Required For Financial Viability
100% AMI Affordable Rent
COSTS OF PRODUCTION IN MIDDLE-CLASS AFFORDABLE
MARKET AREAS
22
Takeaways
• Continue the practice of identifying areas of growth
and preservation
• In areas of growth, insist on public amenities and
infrastructure
• Be intentional about small commercial growth and
walkability
• Create regional connectivity
• Don’t lose Boston
– Resist big box growth
– Limit demolition
22
Thank you so much!
@BostonNeighbor bit.ly/HousingBoston203023

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2017 Urbanism Summit Closing Plenary | Sheila Dillon - Housing a Changing City - Boston 2030

  • 1. HOUSING A CHANGING CITY: BOSTON 2030 Center for New Urbanism: March 31, 2017
  • 2. 2 A Growing City Population will be more than 700,000 for the 1st time since 1950’s – Household sizes were much larger We expect 48,000+ new households – Requires 4,000 – 6,000 new units of housing per year Challenge for a city that has been densely developed for more than 100 years
  • 3. 3 While we grow, demographics are changing Growing number of seniors – 53 percent increase in senior population between 2010 – 2030 Students, millennials, + individuals living in traditional workforce housing – 101,013 individuals sharing housing, driving up rents and sale prices Boston has 28,400 low income households who are rent burdened. We expect 9,750 new low-income households by 2030 38,200 households will need affordable housing 3
  • 4. 4 How we’re responding October 2014: Housing a Changing City: Boston 2030 53,000 new units by 2030 – 20,000 middle income – 6,500 affordable – 5,000 seniors – 18,500 dorm beds (5,000 middle income)
  • 5. 5 Results to date More than 40,000 units in development process: • 19,238 units permitted or completed • 21,865 units in development review + permitting process. To date, we have started or completed: • Low income: 1,515 units • Middle income: 5,574 • Senior: 264 units • Dorm beds: 3,548
  • 6. 6 Early successes • As 12,000 new units came on line, rents for existing stock decreased 4 percent citywide 2015-2106. • Demand for new housing units remains strong: average rents rose 18 percent between 2015 - 2016 6
  • 7. 7 Early successes Market responding at all levels • Increased interest in middle-income markets as developers move out of the downtown core: – More than 1/3 of production in more moderately priced neighborhoods – This has allowed us to reach 83 percent of our target rate of production for middle income City and developers all collaborating to increase production • Extra ZBA hearings for small projects • Technical upgrades at ISD have shortened timelines and streamlined process • BRA has embarked on planning exercises for strategic growth areas
  • 8. 8 Early successes Quickly moving resources for affordable housing • Since Mayor Walsh took office, the City has committed more than $100m to affordable housing • More than 1.4m sf of City-owned land either currently on the market or under agreement with developers • Allowing us to meet our affordable housing goals – we are at 93 percent of target for this point in the plan Transit oriented development • 74 percent of housing starts from 2014 to date within 5 minute walk to transit Healthy dorm pipeline • Nearly 3,600 beds permitted; pipeline of private development taking shape
  • 9. Through New Urbanism’s mirror: What’s working? 9
  • 10. 10 Honoring + preserving neighborhoods Strategic Planning areas – Use underutilized land along transit corridors to accommodate growth – Create new, dense neighborhoods, planned with appropriate open space and access to transit Restrictive zoning – While increasing density + height along transit, rezone adjacent neighborhoods for lower height • Reduce neighborhood impact • Preserves buildings and character
  • 11. 11 Creating mixed income neighborhoods Support mix of housing types + income levels – Inclusionary Development creates affordable housing in expensive neighborhoods – Investing affordable housing dollars in all neighborhoods SPA’s such as JP/Rox support a variety of affordability types – 40 percent affordability – Combines w density + market rate housing 11
  • 12. 12 Considering transportation Creating housing near transit – 74 percent of new units within 5 minute walk to transit GoBoston2030 sets aggressive mobility goals to connect neighborhoods – Every Boston neighborhood to be interconnected using all modes of travel – All homes within 10-minute walk of rail station, bus, Hubway + car share 12
  • 13. 13 Adaptive Reuse • Reuse historic buildings for housing wherever possible. • Zoning allows higher density than new construction • Surplus schools created thousands of affordable elderly apartments. • Boston institutions have taken part – Churches – Schools – Municipal buildings 13
  • 14. 14 City resources to preserve neighborhoods Neighborhood Homes Initiative – Use City owned land to create moderately-priced 2-3 family homes – Pre=approved designs compatible with neighborhood character Designate City-owned buildings for housing + other amenities – Limit or forbid demolition • Fowler Clark Farm • Charlestown Armory • Upham’s Corner Comfort Station • Meridian Street Library 14
  • 15. 15 Commitment to open space • Since 2014, nearly 300,000 sf City property used for urban ag, urban wilds, community gardens, and open space – Additional 150,000 sf in process • Administration goal: every resident in Boston living within ten minute walk to a park • Parks budget increased every year since Mayor Walsh took office • $60m from the sale of Winthrop Square will renovate Boston Common + Franklin Park. 15 Garrison Trotter Urban Farm
  • 16. 16 Boston’s Main Streets 16 • Supporting Main Streets key to Boston’s growth: vital districts become attractive destinations for buyers + renters • 20 districts critical to maintaining Boston’s neighborhoods’ unique sense of place. • Independent 501c(3)s, flexibly funded allow neighborhoods to make their own choices • Walkability of districts keeps dollars in the community + offers amenities to residents.
  • 17. Through New Urbanism’s mirror: What’s NOT working? 17
  • 18. 18 Regional challenges Nearly 20 percent of Boston’s housing stock is deed-restricted affordable – Highest in the nation Of 31 municipalities in Greater Boston, only 8 meet or exceed the State’s 10 percent 40b threshold – If every community met 40b, would create 11,500 affordable units – If every community matched Boston, would create 56,700 Doing well regionally with economic development; housing has not followed suit It is time for a regional housing plan
  • 19. 19 The need for speed Growth requires 6,000 new units annually – Land acquisition, labor, materials expensive – Developers build at lowest cost – Generic architecture replaces good design; City has not been demanding enough – Challenging to create a sense of place at speed But if we sacrifice speed, risk displacement – Supply + demand means the market will continue to escalate – Affordability diminishes 19
  • 20. 20 Sprawl Even in a dense, old, built city, we have sprawl – South Bay – American Legion Highway Can diminish economic life of Main Streets districts Need to be mindful of permitting + impact on existing neighborhoods 20
  • 21. 21 Challenge of building for diversity High costs + demand make it challenging to build for a mix of income levels – Major downtown development skewing high-end. – Mid-market areas of the city: production costs $416,000/unit – Rent + sales prices in outer neighborhoods often need subsidy to be feasible. – Some neighborhoods are still too segregated 21 $1,800 $2,600 $3,400 $4,200 $1,725 $1,848 $2,094 $2,340 $0 $500 $1,000 $1,500 $2,000 $2,500 $3,000 $3,500 $4,000 $4,500 $5,000 0BR 450 nsf 1BR 650 nsf 2BR 850 nsf 3BR 1,050 nsf Rent Required For Financial Viability 100% AMI Affordable Rent COSTS OF PRODUCTION IN MIDDLE-CLASS AFFORDABLE MARKET AREAS
  • 22. 22 Takeaways • Continue the practice of identifying areas of growth and preservation • In areas of growth, insist on public amenities and infrastructure • Be intentional about small commercial growth and walkability • Create regional connectivity • Don’t lose Boston – Resist big box growth – Limit demolition 22
  • 23. Thank you so much! @BostonNeighbor bit.ly/HousingBoston203023