Housing

The Problems

One of the biggest issues facing everyday Ashevillians is a lack of affordable housing. In just the last year, median rents in Asheville went up by 20%. At the same time, hotel construction in the city is exploding, and we have the highest proportion of homes used as Short Term Rentals (STRs) in the country.

This means that many Ashevillians struggle to find affordable housing. People hoping to buy a home are being forced to move farther out into the county, while renters are struggling to find enough roommates to pay rent, or abruptly losing their leases when their landlord turns their home into an Airbnb.

With supply low, and costs high, many of Asheville’s workers can no longer afford to live here. These are our musicians, artists, bartenders, and small business owners. And when they leave Asheville, we lose the diverse culture that makes this an incredible place to live.

My Solutions

Rather than building more hotels or high-end condominiums that will serve as second homes for wealthy out-of-towners we need to responsibly increase the housing supply for our locals. Here’s what I suggest:

  • The city has identified several sites along major corridors (Patton Avenue, Tunnel Road) for development. We must place a priority on mixed-use development, which includes a dense blend of both housing and commercial spaces, specifically designed for locals. This development must include affordable housing as a non-negotiable, including live-work units for our artists and entrepreneurs, as well as shops and services for the residents. Furthermore, it is imperative that this development not only include access to public transit, but alternative transit as well, including greenways, bike paths, and sidewalks.

  • The City’s new Down Payment Assistance Program is an example of a great step aimed at increasing homeownership and financial stability. But we need to dramatically expand this program to include live-work units and to make it available to more people.

  • Create a continuous and sustainable revenue stream for the Housing Trust Fund using fees collected from new development. These fees are paid by the developer and can be used by the city to fund affordable housing initiatives.

  • Provide incentives to create density in new development. By easing height and maximum density allowances, we can require developers to include affordable units in their proposals.

  • Provide incentives for existing homeowners to build accessory dwelling units on their property to increase housing stock for local renters.

  • Convert our existing public housing into co-ops using funds from the Housing Trust Fund.

  • Re-write our zoning bylaws to require that a portion of all new multi-family housing development be affordable. Conditional zoning requirements are currently the only mechanism we have to requiring affordable units. This situation arises when a developer asks for permission to re-zone a piece of property to allow for a new type of development. Instead, we should consider rewriting the bylaws to mandate that a percentage of units be affordable in all new development.

  • Finally, the city must consider additional means to fund and incentivize housing by demanding that Raleigh allow us to re-negotiate not only the terms, but also the allocation of TDA funds.

Sources:


https://www.huduser.gov/portal/datasets/fmr/fmrs/FY2019_code/2019summary.odn

https://smartasset.com/financial-advisor/where-investors-are-taking-advantage-of-short-term-rental-market