Loading...
6.a 6. Housingv' -.q Housing affordability is an issue every community needs to address. In Scandia, about 30% of all households spend 30% or more of the household income on housing, and are considered to experience housing cost burden (shown in Figure VI -A). About half of all cost -burdened households have incomes at or below 80% AMI; the other half have incomes higher than 80% AMI. Housing affordability has become a growing concern in Scandia, detailed in Appendices D and E. Only 15% of all households experienced housing cost burden in 1990; in 2015, that percentage doubled to 30%. High housing costs can make it difficult for young families to move into the community or for older residents on fixed -incomes to age in their community. Figure VI -A— Housing Cost Burden Percent of Housholds Experienceing Housing Cost Burden in Scandia 60% 50% 48% 40% 33% 30% 28% 27% 25 0 30% 30% 27% /0 20% 15% 14% 16% 15% 10% 0% Census 1990 Census 2000 ACS 2006-2010 ACS 2011-2015 ■ All households experiencing cost burden ■ Owners experiencing cost burden ■ Renter households experiencing cost burden Source: US Census and American Community Survey 1. Housing Units Housing in Scandia is predominantly single family detached, which is characteristic of rural communities. Approximately 94% of the occupied housing stock in Scandia are detached single family, compared to 4% attached single family residences. There is a limited amount of multifamily housing in Scandia. Multifamily units make up roughly 2% of the city's housing stock with 0.6% of being duplexes, triplexes, and quads and 1.4% being larger, five units or more buildings. These data are noted in Table VI -C. Household Household Type Type Units Percentage Single -Family Detached 1,428 94% Townhomes (single-family attached) 59 4% Duplex, triplex and quad 9 0.6% Multifamily (5 units or more) 21 1.4% Total Households 1,518 Source: American Community Survey, 2011-2015 As shown in Figure VI -B, over 70% of the city's housing stock has been built since 1970 with almost a quarter of all units built between 1970 and 1979. About a third of Scandia's DRAFT Scandia 2040 Comprehensive Plan Housing Prepared by: Bolton & Menk, Inc. Page 44 housing units were built in the last 25 years (1990-2015). The proportion of the city's oldest housing units built in 1939 or earlier, has decreased from 19% of the city's total stock in 2000 to 12% in 2015. 25% 20% 15% 10% 5% 0% L ti 0 re vi-ts — Hee or Mouse Year Structure Built by Tenure u I I I IN. 0 tip'° s° °�°° y°°o yC5 y°�o y°°o Source: American Community Survey, 2011-2015 ■ Owner ■ Renter There has been little housing development in Scandia since 2010, though the pace of development has increased in 2015 and 2016, shown in Figure III -C. Most development since 2000 has been in single family, detached homes. Figure VI -C— Residential Building Permits New Housing Units Permitted by Scandia 160 140 120 100 80 60 - 40 - 20 - 0 - 2000-2004 2005-2009 2010-2014 2015-2016 ■ Duplex, triplex and quad ■ Multifamily (5 units or more) ■ Single -Family Detached ■ Townhomes (single-family attached) Source: Metropolitan Council 2. Housing Demographics Table VI -D illustrates the distribution of owner -occupied and renter -occupied households in Scandia by age. The largest cohort of owners is the 55 to 64 -year old range, making up about 34% of all homeowners in Scandia. This cohort also makes up the largest share of renter households, representing 42% of all renters. About 60% of all households in Scandia are owned or rented by residents age 55 or older. In contrast, approximately 6% of all DRAFT Scandia 2040 Comprehensive Plan Housing Prepared by: Bolton & Menk, Inc. Page 45 households are headed by persons under the age of 35, and about 20% of all household are headed by persons under the age of 45. Age Distribution of Owners Householder Age Owners Renters 15-24 10 0 25-34 53 28 35-44 132 23 45-54 342 20 55-64 448 63 65-74 311 17 75 or Older 71 0 Total Households 1,367 151 Source: American Community Survey, 2011-2015 Scandia has a high rate of homeownership; 90% of all housing units are owner occupied. Figure VI -D shows historical homeownership rates in the city; the current homeownership rate in Scandia is estimated to be the lowest rate the city has seen in 25 years. Figure VI -D — Housing Ownership Housing Tenure 100% 0°° 8% 1 80% 60% ■ Renter 40% 94% 92% ■ Owner 20% 0% - - 1990 2000 2010 2015 Source: US Census, American Community Survey 3. Housing Values Housing values in Scandia are higher compared to other areas in the region. Scandia has higher values than both Forest Lake and Washington County, as shown in Figure III -E. Scandia's median housing value is $293,700, compared to $230,100 in Forest Lake and the County average of $243,600. About 13% of the city's housing market is valued below $200,000 while about 23% are valued above $400,000. While high home values can be beneficial to homeowners and the city, they can price out young families, lower -wage workers like teachers and health care assistants, and seniors on fixed -incomes. DRAFT Scandia 2040 Comprehensive Plan Housing Prepared by: Bolton & Menk, Inc. Page 46 Figure WE — Housing Values 25% 20% D 0 15% a� 10% ai a 5% 0% 1.1 111 IMI L III III III Co�°, �o�°� ote ri °oc pp' pp' pp' pp' pp' p) pp' °o yhpp ��hp°pp pp �ppp°pp`'°p, 1:2 1:2� ■ Forest Lake ■ Scandia ■ Washington County Source: Metropolitan Council Tabulation of American Community Survey Data. DRAFT Scandia 2040 Comprehensive Plan Housing Prepared by: Bolton & Menk, Inc. Page 47 Figure VI -F - Owner Occupied Units by Value Owner -Occupied Housing by Estimated Market Value S c a n d i a METROPOLITAN C O U N C I L -_----------------------: • • � • • ' r s a t r -:--.:---------------------------------------------- t • • w • • r • • Forest Scan.01 • • : • • rr • • a • • ir'• • • • •• • •• • • • • • • • 1 It ` • • . ; s• . •• . • bee. .00 ' • • of •. •� 1 . •o• • • • • •I•• •� '0 1� County Boundaries City and Township Boundaries Lakes and Major Rivers Street Centerlines DRAFT Scandia 2040 Comprehensive Plan Prepared by: Bolton & Menk, Inc. Owner -Occupied Housing Estimated Market Value, 2015 $238,500 or Less $238,501 to $350,000 $300,001 to $450,000 Over $450,000 1 inch = 1.1926 miles „f Source: MetroGIS Regional Parcel Dataset, 2015 estimated market values for taxes payable in 2016. Note: Estimated Market Value includes only homesteaded units with a building on the parcel. Housing Page 48 • • � • • ' r s a t r •; t • • w • • r % • Forest Scan.01 • • : • • rr • • - Lake • ir'• • •• • •• • • • • • • i •• • • 1 It ftee . ; s• . •• . • bee. .00 ' • • of •. •� 1 . •o• • • • • •I•• •� '0 . ' •• •' ' • Marine on. ••j •• • • • • • • ! • St. Croix • Hugo . . • • • May. Twp. • j • .• • i • •• • • 000 •��i . • w • • j •• n � �•I , 1� County Boundaries City and Township Boundaries Lakes and Major Rivers Street Centerlines DRAFT Scandia 2040 Comprehensive Plan Prepared by: Bolton & Menk, Inc. Owner -Occupied Housing Estimated Market Value, 2015 $238,500 or Less $238,501 to $350,000 $300,001 to $450,000 Over $450,000 1 inch = 1.1926 miles „f Source: MetroGIS Regional Parcel Dataset, 2015 estimated market values for taxes payable in 2016. Note: Estimated Market Value includes only homesteaded units with a building on the parcel. Housing Page 48 C. Projected Housing Needs The City of Scandia is anticipated to see modest population growth, and an additional 1,000 households, by 2040. Exact housing needs and demand for new housing development will be influenced by the actual population growth and average household size. The amount of land needed to accommodate new housing units will be influenced by several factors, including the desire for accessory dwelling units and the location of new units. Most of the city's housing growth is anticipated to take place in the Village Neighborhood designation, which permits higher density residential development than General Rural or Agricultural. Accessory dwelling units on existing lots can also accommodate the city's projected population growth without greatly increasing the demand for developable land. Figure VI -G — Household Projections Household Projections in Scandia 2 1,910 ,100 1,700 1,498 1,518 1,294 1,060 851 408 1970 1980 1990 2000 2010 2020 2030 2040 t Number of Households Appendix A details the housing needs and gaps identified by respondents to the 2017 Community Survey. Residential development was noted as one of the top priorities for the city for the next 20 years. Most survey respondents expressed a desire for mid-range, single-family homes on larger lots. When asked to identify gaps, the most common response was about the lack of senior or assisted living (45% of survey responses). As noted in Appendix B, focus group participants also expressed a desire for housing north of Highway 97, north/west of the current village center and around Big Marine Lake. There was interest in senior housing options, which ranged from care facilities to varying house sizes (smaller single family, townhomes) and lot configurations, such as accessory dwelling units. To accommodate projected housing needs, the Future Land Use plan expands the Village Neighborhood designation north and west, a reflection of both public comments and orderly, contiguous residential expansion. This designation accommodates smaller homes and smaller lot sizes, blending into the historical character of the Village Center. The zoning ordinance also includes density bonuses for the development of life -cycle housing, where the housing units are designated for residents age 55 or older or are affordable to households with incomes less than 120% of AMI. Large lot, single family homes are the primary housing type permitted in General Rural, Agricultural Core, and the St. Croix River zoning districts to preserve the city's rural character. DRAFT Scandia 2040 Comprehensive Plan Housing Prepared by: Bolton & Menk, Inc. Page 49 D. Affordable Housing Allocation The Affordable Housing Allocation reflects the region's forecasted population that will need affordable housing. According to the Metropolitan Council's affordable housing allocation, Scandia's share of affordable housing need is zero units, noted in Table VI -E. Affordable At or below 30 AMI 0 From 31 to 50 AMI 0 From 51 to 80 AMI 0 Total Number 0 While the City of Scandia does not have an affordable housing allocation, residents have expressed a concern about the lack of affordable housing in the city. High housing costs were identified in the Community Survey as one of the top three challenges facing Scandia. About 37% of existing housing units are affordable to households with incomes at or below 80% AMI. As mentioned in the previous section, Scandia offers a density bonus for the development of affordable housing (up to 120% AMI) in the Village Neighborhood zoning district. The City will work with developers and Washington County to inform residents of available programs and identify opportunities for implementation. E. Housing Implementation Plan There are a variety tools that aid the development of affordable housing. Table VI -F lists several of the tools available to the City of Scandia. DRAFT Scandia 2040 Comprehensive Plan Housing Prepared by: Bolton & Menk, Inc. Page 50 DRAFT Scandia 2040 Comprehensive Plan Housing Prepared by: Bolton & Menk, Inc. Page 51 Table VI -F — Housing Implementation Housing Goal/Need Available Tool Opportunity and Sequence of Use Potential Partners Assist first-time homebuyers with financing a Start -Up Loan home purchase and down payment assistance Minnesota Housing Program through a dedicated loan program Home Assist homeowners in financing home Washington Multi- Improvement maintenance projects to accommodating a County CDA, Loans physical disability Minnesota Housing Generational Community Develop an ordinance permitting the Living ADU Ordinance construction of accessory dwelling units or Property Owners guest homes in specific zoning districts Work with groups and stakeholders to develop Senior advocacy Program or guiding principles, frameworks, and action groups or Framework plans to consider and incorporate the needs of networks, older residents into development decisions residents Assist homeowners in financing home Home maintenance projects like roof repair, Washington Improvement plumbing and electrical work, accommodating County CDA, Loans a physical disability, or select energy efficiency Minnesota Housing Maintaining improvement projects Existing Housing Units Subsurface Sewage Assist homeowners with noncompliant Washington Treatment System subsurface sewage treatment systems County Repair Grant/Loan Encourage development of new housing units, Tax Increment redevelopment and/or infrastructure Washington Financing improvements through the creation of a TIF County CDA New Housing district Construction Provide gap financing for new or GROW Fund redevelopment projects affordable to owner or Washington renter households at or below 60%AMI Count HRA y The City will review zoning and subdivision ordinances to identify the potential opportunities for cluster development and flexible development that will encourage Planning Other City Ordinances affordable housing. Commission and The City will review its zoning and subdivision City Council ordinances to identify any regulations that inhibit the housing priorities in this document. This effort is slated for completion by 2020. DRAFT Scandia 2040 Comprehensive Plan Housing Prepared by: Bolton & Menk, Inc. Page 51