SW 12 th Avenue Road and Alley Construction Before work began on - - PowerPoint PPT Presentation

SW 12th Avenue Road and Alley Construction

• Before work began on the Courtyards on 12th duplexes, the Delray Beach

Downtown Master Plan called for improvements to SW 12th Avenue, SW 14th Avenue, and the Alleys to eliminate blighted conditions providing a secondary circulation system to distribute traffic

• Parking for the duplexes was relocated to the back of the units (along the

alley) for further street beautification and promotion of a pedestrian environment

• Construction began on Courtyards on 12th after the road work was completed

Background of Duplex Renovations

• The CRA acquired five duplexes

along SW 12th Avenue in 2011 and 6th duplex in 2014

• Renovation of the duplexes reduced

slum and blight and increased the local affordable housing stock

221/223

Before After

(parking was moved to the rear)

Before After

Before After

Before

After

The Delray Beach Community Land Trust

• Established in 2005 as a non-profit to preserve the affordability of homeownership

and leased units

• The DBCLT staff has over 10 years of experience with the organization
• The organization manages other rental properties including single-family homes

and duplexes acquired through the City of Delray Beach and its own efforts

• DBCLT demonstrated expertise in tenant screening selection and property

management through past expriences

• The DBCLT’s mission is aligned with the Delray Beach CRA’s mission to provide

quality affordable housing

Innovation/Problem Solving

Innovation

• Addresses need for quality workforce housing
• Capacity building of DBCLT , a local non-profit housing provider
• Comprehensive approach to redevelopment by combining adjacent infrastructure

improvements and complete rehabilitation of six duplexes (12 total rental units) for greater impact

• CRA is assured that partnership is mutually benefitting because of commitment to

affordable housing

Problem Solving

• High housing costs outpacing the increase in income made South Florida home to the

highest percentage of cost-burdened renters in the country

• Provides return on investment (ROI) for the education of younger residents returning

to the community who are not mortgage ready

• If buildings are not well maintained, potential negative impacts on redevelopment

efforts will occur

Impact on the Community

• CRA partnership with DBCLT protects public capital improvements
• Ensures maintenance of affordability period for the twelve units
• Greater impact when renovations are combined with infrastructure

improvements for complete neighborhood approach

• Results:
• Increased property values
• Community pride and placemaking
• Maintenance of a variety of

permanent housing stock

• Prevents duplicative work

RFPs for Ground Lease/Management

• CRA leveraged TIF funds (approx. $601,500) and in-kind

resources with the City for the infrastructure improvements, spent $490,000 to acquire the six duplexes, and invested $766,515 for the renovations

• Despite significant capital investment in the properties,

adjacent roadways, and alleys, the neighborhood is still in transition and the CRA’s ownership of the duplexes stabilizes the area and re-establishes a neighborhood identity

• The CRA issued a Request for Proposals (RFP) once the

renovations were completed with the objective to enter into an agreement with a qualified non-profit entity specializing in affordable housing to manage, operate, and maintain the duplexes through a ground lease/management agreement with the CRA

The DBCLT and CRA Partnership

• The DBCLT was the successful respondent to the RFPs
• Under the Agreement, the property insurance, real estate

taxes, legal fees, etc. are to be paid by the DBCLT on a reimbursable basis to the CRA and rents the Courtyards

• n 12th units at a rate not to exceed fair market values in

the State of Florida with a base rent in the pro forma of $900.00 per month to maintain affordability

• All other funds collected through the management of the

properties will be used by the DBCLT to cover the costs

• f managing and maintaining the properties, as well as to

support the organization’s programs and operations.

• Resell the duplexes would provide a more immediate ROI

but retaining ownership and partnering with the DBCLT is a long-term investment in the community

Applicability to Other Communities

• Identification of affordable housing needs through local organization familiar

with challenges of affordable housing delivery in redevelopment area

• Quality maintenance provided through entity that is fully invested in the

community with pipeline of eligible end-users

• DBCLT has opportunity to gain experience towards self-sufficiency and be

more competitive with for-profit management companies

• Increase portfolio to pursue future partnerships with private developers or

financial institutions

Other Exemplary Aspects

• Structural and Sustainable Design

– Impact Resistant windows and doors for increased safety during hurricane season – All energy efficient appliances for lower utility costs

• Development without Displacement

– Duplex rented to income qualified families from Delray Beach

• Infrastructure

Improvements provides enhanced circulation and pedestrian environment supporting urban lifestyle attractive to Millennials and younger residents