Affordable Housing

KC topics that don't fit anywhere else.
flyingember
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Re: Affordable Housing

Post by flyingember »

FangKC wrote:
Thu Jul 25, 2019 8:49 pm

The Oak Park-Northwest/Palestine East neighborhood shown is Indiana to Cleveland, and Linwood to 39th Street. The image is labeled Palestine West, but that is incorrect.
You're confusing three different neighborhoods.

Here's the map
https://drive.google.com/file/d/0B1yGWT ... sp=sharing

That square is neighborhood #61

Palestine East is #62 (east of Cleveland), Oak Park Northwest is #58 (west of Indiana)
The Foxcroft and Glen Arbor neighborhood is south of St. Joseph's Medical Center (I-435), north of W. 115th Street, east of State Line, and west of Wornall Road
I'll save the description, just look at the map I linked, but it doesn't go to 115th St, nor is it the first neighborhood south of St. Joseph's.

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FangKC
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Re: Affordable Housing

Post by FangKC »

flyingember wrote:
Fri Jul 26, 2019 3:51 pm
FangKC wrote:
Thu Jul 25, 2019 8:49 pm

The Oak Park-Northwest/Palestine East neighborhood shown is Indiana to Cleveland, and Linwood to 39th Street. The image is labeled Palestine West, but that is incorrect.
You're confusing three different neighborhoods.

Here's the map
https://drive.google.com/file/d/0B1yGWT ... sp=sharing

That square is neighborhood #61

Palestine East is #62 (east of Cleveland), Oak Park Northwest is #58 (west of Indiana)
Thank you for the correction. I didn't have access to that map. I only saw that Palestine East label on Google maps, and no label for Palestine West appears there.

https://www.google.com/maps/@39.0639508 ... ,15z?hl=en
Last edited by FangKC on Fri Jul 26, 2019 4:30 pm, edited 1 time in total.

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FangKC
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Re: Affordable Housing

Post by FangKC »

flyingember wrote:
Fri Jul 26, 2019 3:51 pm

I'll save the description, just look at the map I linked, but it doesn't go to 115th St, nor is it the first neighborhood south of St. Joseph's.

I was giving general area so people who didn't know where it was could get a sense of where the neighborhoods are--not the precise borders.

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FangKC
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Re: Affordable Housing

Post by FangKC »

Residents in KC’s urban core neighborhood feel harassed by predatory buyers

https://fox4kc.com/2019/07/25/residents ... ry-buyers/

brewcrew1000
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Re: Affordable Housing

Post by brewcrew1000 »

Not sure where to put this but has anyone noticed more homeless people this summer? I am seeing larger groups living and roaming together, there is a decent sized camp under the bridge at West Pennway and 35. I am seeing more camps being built up around Penn Valley Park.

The guy at Costco who waves and has the sign will work for food is homeless and i see him roaming all over midtown and working in a pack of other homeless people.

Not sure what the solution is and they are generally harmless but I really think the homelessness situation in the city has gotten worse.

earthling
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Re: Affordable Housing

Post by earthling »

I don't think it's growing as much as shifting around. Homeless used to practically run downtown streets until CID formed. There used to be a tent city along MO River near I435 years ago that was broken up. It's shifted but not necessarily higher. Something to still address with aid no matter if more or less.

According to this there are fewer in MO than in 2012 and shrinking. It shows KC area and others but not the change....
https://endhomelessness.org/homelessnes ... /missouri/

Denver area has almost more than all of MO combined. Over the years there has been a battle between Denver and Minneapolis. MSP was shipping homeless partly to Denver with a 'bus ticket forward' program. Denver responded saying they'd send 2 for every 1 MSP sent. Not sure what has happened since, has been a while.

The Veteran homeless program for tiny homes along Troost seems to be a good way to address. We need broader programs like that. And programs to help abled ones to become self-sufficient.

kcjak
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Re: Affordable Housing

Post by kcjak »

brewcrew1000 wrote:
Mon Aug 19, 2019 12:57 pm
Not sure where to put this but has anyone noticed more homeless people this summer? I am seeing larger groups living and roaming together, there is a decent sized camp under the bridge at West Pennway and 35. I am seeing more camps being built up around Penn Valley Park.

The guy at Costco who waves and has the sign will work for food is homeless and i see him roaming all over midtown and working in a pack of other homeless people.

Not sure what the solution is and they are generally harmless but I really think the homelessness situation in the city has gotten worse.
There's been a group of 5-6 homeless guys living in Roanoke Park near the community center. One of the guys approached my a month or so ago asking for work and told me there were several of them living in the park and didn't want housing assistance, just wanted to live off the grid. They've been leaving trash, blankets, etc. throughout the park and going to the bathroom throughout. I took my son to the playground a couple of weekends ago and it was completely empty on a beautiful afternoon. Neighbors have said they feel uneasy taking their kids to play and I have to agree - we won't be back.

brewcrew1000
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Re: Affordable Housing

Post by brewcrew1000 »

^Is this the older playground by the Tennis Courts or the new one with ZipLine?

Wonder if the trash is making its way on the hiking trails at Roanoake. I really love those trails and our kids love it.

The trash really pisses me off, its only a matter of time before we start seeing needles

kcjak
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Re: Affordable Housing

Post by kcjak »

brewcrew1000 wrote:
Mon Aug 19, 2019 1:25 pm
^Is this the older playground by the Tennis Courts or the new one with ZipLine?

Wonder if the trash is making its way on the hiking trails at Roanoake. I really love those trails and our kids love it.

The trash really pisses me off, its only a matter of time before we start seeing needles
The older playground near the tennis courts (although the equipment is pretty new). No way I would even think about doing the trails at this point - one of the tents has been near the northern part of the trail that overlooks Karnes Blvd and the smell from the human excrement the day I was at the playground was overpowering. I'm going to bring it up at our next neighborhood association meeting.

alejandro46
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Re: Affordable Housing

Post by alejandro46 »

https://cityscenekc.com/streetcar-linke ... city-hall/
The PIEA is asking the city to allow it to offer up to the maximum property tax abatement allowed by state law, 25 years at 100 percent, for developers who follow the guidelines of a proposed city affordable housing ordinance being considered by the Council.

Currently, the PIEA, like other development agencies, is restricted by the city to offer a maximum property tax abatement of 75 percent for 10 years and 37.5 percent for 15 years.

The affordable housing legislation currently being considered by the Council would require any residential developer seeking city tax incentives to reserve at least 15 percent of the total number of units in their project as affordable housing.

The city would define affordable as units available to households with incomes at or below 80 percent of the median income for all Kansas City households. Rents, including utilities, could be no more than 30 percent of an eligible household income.

Would be nice if we could combine this proposal along with (a) eliminating minimum parking requirements and (b) imposing some minimum height requirements/density bonuses.

kcjak
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Re: Affordable Housing

Post by kcjak »

I took a side street on the way to work this morning and was surprised to see four small homes clustered in a lot that used to be a community garden - on the NW corner of 32nd/Oak (behind the original Lamar's). Anyone have any info? Looks like a nice little development for possible affordable housing.

alejandro46
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Re: Affordable Housing

Post by alejandro46 »

https://www.cnbc.com/2021/02/04/want-to ... cheap.html

Want to own an apartment building? Buy a distressed hotel for pennies on the dollar

Communities are desperate for more affordable housing, but the cost for developers is just too high. Land, labor and materials were pricey before the coronavirus pandemic, and they are even more so now.

That is why some creative developers are now turning to hotels – and it appears to be a match made in real estate heaven.


The stay-at-home culture of the pandemic has hit the hotel sector hard. The share of hotels behind on their mortgages rose to just over 18% in December, up from less than 2% a year ago, according to Fitch Ratings. Hotels are suffering even more than retail real estate.

But that creates an opportunity for investors, like David Peters in Minneapolis, who is buying distressed hotels at bargain basement prices, and converting them to affordable apartments.

“Apartments around here, you might pay $120,000 a door, and we can purchase these hotels probably $30,000 to $40,000 a door, and maybe put $10,000 a door into the renovations,” said Peters.

Suite hotels are cheaper to convert, as they already have kitchens. Standard rooms don’t require all that much work, either. The demand for these affordable units is only getting stronger.

“What we saw when the pandemic struck was even more demand for the micro-apartment style of affordable housing,” Peters said.

Peters bought a hotel on the outskirts of Minneapolis just before the pandemic struck. He converted it into small apartment units. He left some rooms as hotel units so he didn’t have to deal with changing the zoning.

“When we purchased this hotel we were sitting at very low occupancy, and within a matter of a couple of months, as we were renovating units, and even some of the units before we renovated them, we were able to get people into them,” Peters said.

The shortage of affordable housing is now critical. So-called Class C housing stock is now 96% occupied nationally and 99% occupied in the Midwest, according to RealPage, a property management software company. Pricier, so-called Class A apartments, are more plentiful.

“Land and construction costs preclude virtually any construction of new market-rate product at that Class C price point. New development just isn’t financially feasible,” said Greg Willett, chief economist at RealPage. “All the Class C product that exists consists of older properties where rents are simply under the rates for newer communities.”

Class C housing stock is decreasing even more, as investors buy older buildings and upgrade them in order to achieve higher rents. The difference in monthly rent between a Class A and Class C property averages around $600, according to Willett.

That price difference is critical to renters like Michelle Wickstrom, who recently moved into Peters’ Minneapolis apartment property. Wickstrom said she was relieved to find it.

“It’s hard to find anything that’s affordable or within my price range,” Wickstrom said. “There’s not a lot of low-income housing or anything in this area.”

Zoning is different for hotels and multifamily apartments, so sometimes the deals can be tricky. Peters, however, says that if developers work closely with local municipalities, they can get the deals done.

“I think it really is community by community and opportunity by opportunity, but I know that they’re very excited, because the last thing they want to have is a building with 120 units, and it’s sitting empty,” he said.

Peters has two other deals in the works, another in Minnesota and one in Sioux Falls, South Dakota. The property in South Dakota had an appraised value of about $6 million in 2017. Peters is expecting to acquire it for $3.2 million because the owners defaulted on their loan.

It is not difficult to find capital for the projects, he said, as investors in today’s low interest rate environment are looking to real estate for higher returns.

“We can offer the potential residents a better value, and we can offer the investors a good solid return, so I’ve actually seen a fairly high amount of interest in it,” Peters said.

earthling
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Re: Affordable Housing

Post by earthling »

^Hotels can also be converted to 'co-living' with less effort. Focus on robust full-featured shared kitchens/living rooms in common areas and add small kitchenette with space for decent fridge in rooms as well as microliving space efficiency methods. In large cities with high rents, they are much more affordable to live in - have been popular in Europe for years. And the common living rooms/kitchens help address growing loneliness issues with singles.

Some can be pretty high end, attracting professionals to digital nomads. Some attract/target seniors or 55+. Some more affordable and less high end might attract like-minded of whatever interest. Have read reviews on some in Europe and there's a high expectation for social responsibility with tenants, such as keeping kitchen in order after use. Might be why not as common in US. US versions might require extra staff, and some do have weekly room cleaning staff like hotels. If single, would you live in one?

They are also great for nomads not intending to stay more than a few months as there's typically no hotel/hostel tax.

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FangKC
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Re: Affordable Housing

Post by FangKC »

Land Bank Dollar Sale, new Housing Department highlight City’s commitment to helping unhoused persons
The Land Bank will soon be helping provide homes for those who are unhoused or at-risk of becoming homeless. Properties would be sold for $1 provided that the new property owners fully rehabilitate the property, eliminate all blight, and provide housing to the homeless and to individuals who make $18,000 annual income or less, or families who make 30% or less of the federal guide to annual median income. “This is part of our work to provide long-term and affordable solutions for those experiencing homelessness and those in need of affordable housing,” said City Manager Brian Platt. “This initiative will dramatically increase our affordable housing supply and focuses on the most vulnerable families in our community.”

...
https://www.kcmolandbank.org/index_htm_ ... elease.pdf

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FangKC
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Re: Affordable Housing

Post by FangKC »

The power of cute, affordable townhouses

https://www.cnu.org/publicsquare/2021/0 ... townhouses

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FangKC
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Re: Affordable Housing

Post by FangKC »

The dispiriting housing boom
...
By the numbers: America has a record-low number of homes available for sale — just 1.03 million, according to the latest NAR data. That compares to a peak of more than 4 million at the height of the last housing bubble, in July 2007.

The total number of active listings this week is down a record 54% from the same week a year ago, per Realtor.com. That in turn has helped to drive national prices up 17.2% over last year.
...
https://www.axios.com/housing-boom-bubb ... gn=organic

earthling
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Re: Affordable Housing

Post by earthling »

The double edged sword is that on one hand the shortage should encourage refurbing dilapidated but functional enough homes for re-use hopefully even in areas like E Side. While it might bring better demographic mixture into traditionally stressed neighborhoods (and maybe retailers 'following the money'), it still will probably mean a net decline (or other forms of challenges) for affordable housing.

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KCtoBrooklyn
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Re: Affordable Housing

Post by KCtoBrooklyn »

The housing market is truly crazy in KC right now, as it is for most of the country. There is low inventory nationwide, but I have seen some recent lists and statistics where KC ranks particularly high for being a competitive market and having low inventory.

I wonder why that is the case for KC, which doesn't typically fall on the list of hottest real estate markets. A possible explanation would be if we were building relatively few new units, but that doesn't appear to be the case. Perhaps KC is growing at a higher rate than the census estimates? Another explanation could be KC being a hot market for investors buying up homes for rentals or Airbnbs.

Here is a look at Months of Inventory over the past 10 years. We have been in low inventory for a few years, but it has really sunk in the last year, down to 0.8 Months. Average sales price of a home has doubled in those 10 years, from under $150k to nearly $300k.

Image

It will be interesting to see how long this continues and what impact it has on development if the market stays like this for a while.

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beautyfromashes
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Re: Affordable Housing

Post by beautyfromashes »

There is a huge switch in this metro towards urban living and demand that traditionally went to the suburbs is coming back to the core. That's happening on top of record housing demand. Prices will continue to soar.

flyingember
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Re: Affordable Housing

Post by flyingember »

beautyfromashes wrote:
Mon Apr 12, 2021 11:30 am
There is a huge switch in this metro towards urban living and demand that traditionally went to the suburbs is coming back to the core. That's happening on top of record housing demand. Prices will continue to soar.
What's your source? I'm would love to see it.

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