Season 2, Episode 47 - Affordable Housing Initiatives in El Paso County

Affordable Housing Initiatives in El Paso County

 

This week, Scott Anderson sat down with Randi Davis, the community development analyst for El Paso County, Colorado. The discussion offered a deep dive into the landscape of affordable housing in the region, shedding light on several crucial programs and initiatives. Here, we'll expand on these key points to offer a comprehensive understanding of the county's efforts in making homeownership and affordable living more accessible to its residents.

A Lifelong Commitment to Housing:  Randi Davis' passion for housing extends far beyond her current role. She began her career as a plans manager for a custom home builder, a role that allowed her to assist people in building their dream homes. Transitioning into the nonprofit sector, Davis spent 14 years with the Rocky Mountain Community Land Trust, focusing on affordable homeownership and housing education. Her extensive background provides an invaluable perspective on the challenges and opportunities within the housing sector.

Randi Davis’s current role falls under the umbrella of the Economic Development Department in El Paso County. This department adopts a holistic approach to community development, encompassing business incentives, nonprofit incentives, community development block grants, and housing initiatives. By integrating these various aspects, the county aims to foster a balanced and thriving community.

One of the standout programs Davis highlighted is the "Turnkey Plus Down Payment Assistance Program". This initiative provides up to 5% of the purchase price for homebuyers, helping cover closing costs, down payments, and additional fees. Uniquely, this program extends assistance to families earning up to $162,000 and doesn't limit participants to first-time homebuyers. This down payment assistance is fully forgivable, offering significant long-term benefits for homeowners.

Supporting Affordable Housing Developments:  Another critical element of El Paso County’s housing strategy is its support for affordable housing developments. The county leverages tools like the Housing Trust Fund and private activity bonds to encourage developers to build affordable housing units. These resources form part of a complex "funding stack" essential for financing large-scale housing projects.

Private activity bonds are of particular note. They allow investors to fund affordable housing developments by offering tax-free returns, thus making the projects more attractive and viable. However, these bonds are limited and allocated based on population, placing a constraint on how many developments can be supported each year.

New Developments on the Horizon:  El Paso County is poised to see several new affordable housing developments come online by the end of this year. Among these are:

• The Village at Solid Rock - A collaboration between Solid Rock CDC, Solid Rock Community Church, Commonwealth Development, and Greccio Housing. This initiative will bring 77 units to the 80910 zip code.
• Panorama Heights - Managed by Cohen-Esrey Development, this project will add 133 units in the south end of town.
• Paloma Gardens - Developed by Volunteers of America, this project will feature 75 units of senior affordable housing.
• Silver Key Apartments - Another senior housing project coming online with 50 units.

Despite these efforts, the need for affordable housing remains pressing. Recent studies indicate that the region needs approximately 6,000 to 7,000 new housing units annually to meet the demand adequately. The 300 units coming online this year are a positive step but far from the solution.

The Importance of Affordable Housing:  Affordable housing is not merely a social issue; it’s a cornerstone of economic stability. As Davis explains, high rental costs can prevent families from affording other essentials like groceries, medical care, and transportation. By providing affordable rent options, the county can help ensure that residents can live healthier, more balanced lives.

The El Paso County Housing Authority, which plays a crucial role in these housing initiatives, is composed of volunteer board members. Currently, there is an opening for a representative from the building industry. This is an excellent opportunity for individuals experienced in the housing market and familiar with local building codes to contribute meaningfully to their community.

Additionally, Davis mentioned an exciting new development—a comprehensive map of affordable rental properties in the area. This tool will be available on the El Paso County website, offering detailed information about affordable housing complexes, including management contacts and other essential details.

El Paso County’s multifaceted approach to affordable housing, from direct assistance programs to large-scale developments, highlights its commitment to fostering a community where everyone has a place to call home. For those interested in learning more or getting involved, additional resources can be found on the El Paso County website.