Could this Affordable Housing RFP in Rockland, Maine lead to some quality affordable workforce housing?
I believe municipalities like Bangor should take more of an active role in creating affordable housing. One of the biggest obstacles that Bangor faces in that effort is funding. This might be a vehicle for getting around that.
Here’s a project I’m watching to see how it turns out. Are there lessons here Bangor could learn?
Developer Provides:
- Development Costs: The developer bears the costs associated with redeveloping the property, including construction, renovation, and any related expenses.
- Financing: Securing the necessary financing for the project is the developer’s responsibility. This includes exploring funding options like MaineHousing.
- Project Proposal: The developer must create a detailed proposal outlining the project, including the number, size, and type of housing units, affordability restrictions, and a development schedule.
- Maintenance and Management: Long-term maintenance and management of the property will fall under the developer’s purview.
- Preservation of Historic Character: The developer is expected to incorporate and preserve the historic character of the former McLain School in their development plans.
- Experience and References: The developer’s experience in similar projects, especially with affordable housing and historic buildings, along with references, are required.
- Potential Return on Investment: The developer’s ROI would come from:
- Revenue generated by rents or sale of housing units.
- Potential appreciation of the property value.
- Tax benefits or incentives associated with affordable housing development.
Municipality Provides:
- Property Availability: The city makes the property available for redevelopment through the RFP process.
- Zoning and Regulatory Adjustments: The city has amended zoning ordinances to facilitate housing development on the property, such as allowing higher density and reducing parking requirements.
- Sewer Infrastructure: The city has invested in infrastructure improvements, such as installing a sewer line, to support the redevelopment.
- Potential Financial Assistance: The city is open to providing financial assistance through a Tax Increment Financing (TIF) district, which could return a percentage of new taxes generated by the project.
- Streamlined Approval Process: The city outlines the necessary review and approval processes for redevelopment.
- Potential Return on Investment: The municipality’s ROI is less direct but includes:
- Increased housing availability, addressing community needs.
- Economic development through increased activity and investment.
- Increased tax revenue from the developed property (even with potential TIF).
- Revitalization of a potentially underutilized property.
- Social benefits from providing affordable workforce housing.
