{"id":5371,"date":"2016-09-26T07:44:20","date_gmt":"2016-09-26T13:44:20","guid":{"rendered":"http:\/\/admin.patheos.com\/blogs\/janetheactuary\/?p=5371"},"modified":"2016-09-26T07:52:25","modified_gmt":"2016-09-26T13:52:25","slug":"todays-nonsense-affordable-housing-politics-in-detroit","status":"publish","type":"post","link":"https:\/\/www.patheos.com\/blogs\/janetheactuary\/2016\/09\/todays-nonsense-affordable-housing-politics-in-detroit.html","title":{"rendered":"Today’s nonsense: “Affordable housing” politics in Detroit"},"content":{"rendered":"\n<\/head>

\"view<\/p>\n

This would be nothing unusual in many metro areas: \u00a0a requirement that builders of new housing who seek out tax incentives promise to allocate a share of their units as \u201caffordable\u201d according to federal guidelines of affordability for low- and\/or moderate-income families.<\/p>\n

Specifically, we\u2019re talking about a requirement that \u201cany new residential development receiving tax incentives have at least 20 percent of units reserved for affordable housing.\u201d \u00a0The specific deal described in the Detroit News<\/a> is for a project where<\/p>\n

Up to 270 of the units, representing 20 percent of the total number of units, would be reserved as affordable, according to the proposal.<\/p>\n

Generally, the affordable housing units appear to be aimed at singles with annual incomes ranging from $28,140 to $56,280; and couples whose annual incomes could range from $32,160 to $64,320, according to income data provided by the city and Bedrock. Those are income levels based on Wayne County residents and not the city of Detroit, where the median income is much lower. But the Wayne County standard is used by the city in affordable housing developments, officials said. . . .<\/p>\n

[M]onthly rents could be as a low for $650 for one person and maybe $900 for a couple. On the high end, monthly rent could be $940 for single person and $1,600 for a couple, according to the formula to be used in the proposal.<\/p><\/blockquote>\n

Now, the article in question relates specifically to the fact that the builder, Bedrock Detroit, has multiple projects underway, and seeks to designate 20% of the total number of units across all these projects as \u201caffordable,\u201d rather than creating 20% affordable units in all projects, including the high-end buildings.<\/p>\n

But \u2014 well, it\u2019s more than a little peculiar to me that Detroit, of all places, is worried about affordable housing<\/em>. \u00a0Take a look at its listings at apartments.com<\/a>: \u00a0rents start at $200\/month. \u00a0OK, sure, that\u2019s on a rent-to-own basis if you agree do do the needed repairs yourself. \u00a0But for $312 per month<\/a> you can get yourself a 1 bedroom which claims to be in good repair and fully applianced. \u00a0And for $422<\/a> you\u2019ve got a renovation in midtown. \u00a0Set a budget of $500\/month and you\u2019ve got lots of choices. \u00a0Are these apartments typical? \u00a0According to rentjungle.com<\/a> (first google hit),<\/p>\n

As of August 2016, average apartment rent within the city of of Detroit, MI is $992.
\nOne bedroom apartments in Detroit rent for $877 a month on average and two bedroom apartment rents average $1132.<\/p><\/blockquote>\n

Another source, a 2014 Crain\u2019s article<\/a>, cites significantly lower rates:<\/p>\n

Monthly rent for a one-bedroom apartment increased by 2.09 percent to $620 and by 1.74 percent to $744 for a two-bedroom Detroit apartment in 2013, according to Apartment List.<\/p><\/blockquote>\n

Granted, this data is older, but it leads me to wonder if the first source was actually for the metro area.<\/p>\n

So why is the government sticking its nose in and requiring that developers build apartments at what is, essentially market rate?<\/p>\n

Mind you, there\u2019s lots of talk about \u201cgentrification\u201d in all kinds of places, but it seems to me that you\u2019re out of touch with reality if you think that gentrification is a real risk in Detroit. \u00a0Heck, Detroit could benefit from gentrification, and a lot of it, given how many middle-class and wealthy residents its lost over the last 50 years.<\/p>\n

And if there is a market for this, or any other, builder to create units that rent for twice, three times, however much higher than the market rate, that\u2019s a good thing<\/em>. \u00a0Detroit could benefit heavily from an influx of wealthy folk, paying property taxes, shopping at its stores (and creating the base for new ones), supporting its institutions. \u00a0And there is so unbelievably much vacant land this new construction cannot possibly impact the availability of units at lower prices.<\/p>\n

To be sure, there are plenty of homeless, or people living in shelters, or living doubled-up, or in poor housing conditions of whatever kind (e.g., insufficiently heated, leaky roof), but that\u2019s not a matter of \u201chousing affordability\u201d \u2014 it\u2019s a matter of people having income so low that they cannot afford even the basic utility and maintenance costs of housing.<\/p>\n

So why is the city council requiring \u201caffordable\u201d units in the manner of high-cost cities? \u00a0And, in particular, why this odd exchange of requiring affordability when, if the units are in high demand, they\u2019d really have been better off, oh, say, just not giving them the frickin\u2019 tax break in the first place<\/strong>? \u00a0After all, it\u2019s not as if Detroit\u2019s tax coffers are overflowing; they could actually use the cash.<\/p>\n

My best guess: \u00a0it\u2019s like in the GEICO commercial, \u201cwhen you\u2019re a politician, you give out tax breaks and mandate affordable housing in return. \u00a0It\u2019s what you do.\u201d<\/p>\n

\u00a0<\/p>\n

image: \u00a0a view down Woodward, own photo.<\/p>\n

\u00a0<\/p>\n<\/body><\/html>\n","protected":false},"excerpt":{"rendered":"

This would be nothing unusual in many metro areas: \u00a0a requirement that builders of new housing who seek out tax incentives promise to allocate a share of their units as \u201caffordable\u201d according to federal guidelines of affordability for low- and\/or moderate-income families. Specifically, we\u2019re talking about a requirement that \u201cany new residential development receiving tax […]<\/p>\n","protected":false},"author":2209,"featured_media":2713,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[397,9],"class_list":["post-5371","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized","tag-affordable-housing","tag-detroit"],"yoast_head":"\nToday's nonsense: "Affordable housing" politics in Detroit<\/title>\n<meta name=\"description\" content=\"This would be nothing unusual in many metro areas: \u00a0a requirement that builders of new housing who seek out tax incentives promise to allocate a share of\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" 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