2009-08-31_Minutes - Laserfiche WebLink

Home

HRA Meeting Minutes – Monday, July 27, 2009 Page 2 attached hereto and made a part thereof A bench handout was provided, , providing an overview of the presentation by Mr. Matt Mullins, with Maxfield Research, Inc. The presentation summarized the Comprehensive Multi-family Housing Needs Analysis as recently completed for the City of Roseville’s HRA. Mr. Mullins highlighted key demographic trends; current housing market conditions; demand for multi-family housing products; recommended development concepts; challenges and opportunities; and recommended City development priorities. Member Pust arrived at this time, approximately 6:14 p.m.; and Codes Coordinator Don Munson also arrived at approximately this time. Mr. Mullins noted that the United Properties project appeared to still be moving forward, now in phases. Mr. Mullins provided comparisons between Roseville’s housing supply versus other metropolitan communities; and highlighted the housing needs analysis, making recommendations for each type of housing in the community: single-family/detached townhomes; multi-family townhomes/twin homes; general occupancy rental housing; and senior housing, with projections over the next ten (10) years for demands for each type of housing, opining that the highest demand would be for active adult senior housing and affordable active senior subsidized housing. Mr. Mullins reviewed Maxfield’s recommended development plan for the City of Roseville over the next ten (10) years; noting the lack of available land available, requiring that housing to be pursued through redevelopment efforts. Mr. Mullins noted that 20-25% of a home’s purchase price was represented by land value, and projected demand therefore indicated move up and/or executive level homes. For multi-family homes, Mr. Mullins recommended multi-family homes, not condominiums in the current market, with anticipated sales point for those homes at $275,000 to $300,000 for development in 2012 and beyond. Mr. Mullins noted that there didn’t appear to be an indication for general occupancy rental housing at this time; however, opined that luxury rental building efforts may be indicated after 2009 and beyond, since the existing stock was not meeting today’s targeted audience for an upscale market. Member Tracy questioned whether the current vacancy rate in the Lexington Apartments was lower than other rental units. Mr. Mullins advised that of the 254 units at the Lexington, they currently only had six (6) vacancies; that some of their units were townhome-style units; and that their clientele did include a number of students from the two (2) area colleges. Mr. Mullins advised that the rents were in the high range ($895 - $1,200); and that with a 2-3% vacancy rate, it would indicate the need for similar rental units. Mr. Mullins addressed current construction costs and rents at $1.25 - $1.35 per square foot; an overabundance of smaller 2-3 bedroom single family units, with larger, more affordable units needed. Specific to senior housing needs, Mr. Mullins advised that trends indicate more demand for active senior housing now; however, in 2013 and beyond, more assisted living and memory care housing would be in demand. Mr. Mullins noted that this housing could be a mixture of affordable and/or market rate units, as there appeared to be a niche for both types of product, and that the demand for senior cooperatives was strongly indicated; however, if Applewood Point pursued their additional Phase II, this would address a lot of that demand. Mr. Mullins noted that this housing not only served seniors, but freed up the current housing stock for new households moving into the community. Mr. Mullins addressed various challenges and opportunities facing Roseville, with over 20% of the City’s current population was 65+, with a projected increase to 25+% in the near future. Mr. Mullins discussed current economic conditions and impacts to housing development, and minimal redevelopment projected due to those economies. Mr. Mullins suggested that the City establish development priorities, such as increasing housing densities, mixed use concepts for redevelopment, affordable housing with larger unit sizes, and the need to prepare for the “boomers” driving household growth for the next 10-15 years. Mr. Mullins suggested that, depending on available funding, the City consider taking advantage of current reduced land values, and “land bank” properties as they become