Title
Resolution to Direct the Ann Arbor Housing Commission to Determine Feasibility of using 1510 E. Stadium for Temporary or Permanent AAHC or Other City Office Space
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 scenarios, and next step recommendations were presented to City Council at the Nov.18, 2019 City Council meeting.
Through the analysis 1510 E. Stadium has the potential to support 8-12 affordable housing units. The property is 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.
Because the feasibility analysis is a portfolio analysis of many city properties, this property is a lower priority for development as affordable housing than other city properties. In consideration of this fact, the AAHC would like to hire an architect to determine the suitability of renovating the property and adding an addition that is ADA accessible as an alternative to building new office/maintenance space at 2000 S. Industrial. This information will help City Council consider the optimal future use of this site.
The staff team is requesting that City Council direct the Ann Arbor Housing Commission to hire an architect to determine the cost of renovating the existing building and the cost of adding an ADA accessible addition for temporary or permanent AAHC office and maintenance facilities or other City office space and report back to City Council to consider the optimal use of this property to 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;
Whereas, The analysis found that 1510 E. Stadium is suitable for affordable housing but would require a significant local subsidy to make it feasible; and
Whereas, The site might be suitable for temporary or permanent Ann Arbor Housing Commission offices and maintenance garage or other city uses;
RESOLVED, That City Council direct the Ann Arbor Housing Commission to hire an architect, using AAHC funds, to determine the cost of renovating the existing building and the cost of adding an ADA accessible addition for temporary or permanent AAHC office and maintenance facilities or other City office space and report back to City Council to consider the optimal use of this property to support affordable housing in the City; and
RESOLVED, That the City Administrator be authorized to take the necessary actions to implement this resolution.