Title
Resolution to Direct the Ann Arbor Housing Commission to Continue Community Engagement around Development Options for the AAHC-Owned Properties at 3432 - 3440 Platt Road and 3435 - 3443 Springbrook to Support Affordable Housing in the City
Memorandum
On April 1, 2019, Ann Arbor City Council adopted Resolution R-19-138 directing the City Administrator to collaborate with the Ann Arbor Housing Commission (AAHC) to provide coordinated analysis on the feasibility of city-owned properties as potential locations for affordable housing. This resolution incorporated previous resolutions R-19-110, R-19-111 and R-19-116.
Jennifer Hall, Executive Director of the Ann Arbor Housing Commission led the analysis along with support from a staff team and several contractors to determine the feasibility for 11 sites including review of land use and zoning, environmental conditions, financial resources, site -specific costs, and overall risk among other factors. The analysis, three potential portfolio scenarios, and next step recommendations were presented to City Council at the Nov.18, 2019 City Council meeting.
Through the analysis, the 4 parcels of developable land between Platt and Springbrook has the potential to support up to 14 single family affordable housing units. The properties are in an excellent location for public transportation and some neighborhood amenities but it does not score competitively for Low-Income Housing Tax Credits, which is the largest source of funding for affordable housing. However, the property is eligible for other federal funds as well as local funds for affordable housing. If the site is developed as affordable housing it will require significant local subsidy to make the project financially feasible.
The analysis included the option to sell the property to Habitat for Humanity to develop for-sale housing with resale restrictions to ensure long-term affordability as well as the option to develop small rental modular houses that are green, energy efficient and a potential demonstrate site for zero-energy housing.
Because the group of properties runs between single family housing and the AAHC met with many of the adjacent owners and renters prior to developing its property across the street on Platt road, the AAHC would like to engage the adjacent neighbors and broader community in a discussion around different types of affordable housing, including affordable homeownership and net-zero rental options.
The staff team is requesting that City Council direct the Ann Arbor Housing Commission to continue community engagement around development options at 3432 - 3440 Platt Road and 3435 - 3443 Springbrook to best support affordable housing in the City.
Staff
Prepared by: Teresa Gillotti, Director, Office of Community and Economic
Development
Reviewed by: Jennifer Hall, Executive Director, Ann Arbor Housing Commission
Derek Delacourt, Community Services Area Administrator
Approved by: Howard S. Lazarus, City Administrator
Body
Whereas, City Council adopted Resolution R-19-138 directing the City Administrator to collaborate with the Ann Arbor Housing Commission (AAHC) to provide coordinated analysis on the feasibility of city-owned properties as potential locations for affordable housing;
Whereas, The extensive analysis was completed and presented to City Council on November 18, 2019; and
Whereas, 3432 - 3440 Platt Road and 3435 - 3443 Springbrook is adjacent to single-family residences, and would benefit from additional community engagement around the optimal development of this site in support of affordable housing in the City;
RESOLVED, That City Council direct the Ann Arbor Housing Commission to continue community engagement around development options at 3432 - 3440 Platt Road and 3435 - 3443 Springbrook to best support affordable housing in the City; and
RESOLVED, That the City Administrator be authorized to take the necessary actions to implement this resolution.