Developers would have to provide more affordable units under Wu proposal
The Dorchester Reporter details Wu's proposal, which calls for increasing the minimum number of "affordable" units developers have to provide from the current 13% to 20%.
And most of the units would have to be available to people making up to 60% of the Boston area median income, rather than the current 70%.
The proposal would also reduce the minimum number of units in a new building that would trigger the requirement from ten to seven, and increase the housing "linkage" fees developers of commercial buildings have to pay.
The proposal would not affect projects whose developers have already filed plans with the city.
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Single family homes
Single family homes are the most luxury type of development. Any SFH development in the city (and they do happen) needs to pay into the affordable housing fund.
And this is stupid. It just makes it more expensive to build much needed housing.
It makes it more expensive?
For Who? The developers right? So their profit margins are smaller as they provide more affordable housing for the city. Or they could raise the cost of the "not affordable" units and keep their profit margins - if people are willing to pay that extra cost, the developer is fine. Let the market figure it out.
It makes it more expensive to develop, so less housing gets built, and the housing that does get built is even more expensive.
Or they could raise the cost
That is exactly what will happen further pricing out the middle class and even upper middle class.
Yup, it just stops housing development
Absolutely agreed. It's just raises the bar/cost for housing. So instead of some market rate housing getting developed, none (market rate or affordable) gets developed at all. This is at least what has happened on the West coast, with these so-called "inclusionary zoning" type of rules.
It sounds good on paper, but doesn't produce more total housing in practice. The perfect NIMBY cover!!
For affordable housing condos in Boston are the monthly condo fees somehow discounted or subsidized?
I just don't quite understand how a 60 or 70% median income person/family can pay a mortgage plus a market rate (particularly new construction or any semi/plus high rise), monthly condo fee and have any cash left over...
They’re discounted/subsidized by the
Non-affordable units in the building.
Figured it had to be but have never seen in actual print
Condo fees are
Condo fees are the same. The HOA treats affordable units the same as market-rate units.
A 60% income homebuyer ($60k for a single person) can definitely afford a $250k affordable unit. Mortgage, fees, and taxes would be less than 1BR rent.