HACK A HOUSE • 10/02/20

We Build CommunitiesAffordable Housing, Community Development

Affordable Housing, Community Development

Lauren Excell

Aakanksha Chaudhary

Awoenam Mauna-Woanya

Julia Lind

Vasu Patel

Penn NorthBaltimore, MD

1 Background and challenges facing Penn North

2 Our motivation, approach, and solution

3 Predicted bene�ts of our solution in enabling housing a�ordability

4 Future possibilities

TABLE OF CONTENTS

40,000 $20,637

35%

SOURCE: PENN-NORTH COMMUNITY, APARTMENTS.COM

RESIDENTS MEDIAN ANNUAL HOUSEHOLD INCOME

POPULATION IN POVERTY

PENN NORTH, BALTIMORE

$500 - $1400

MONTHLY RENT

IMAGE CREDIT: GOOGLE MAPS

Redlining Suburbanization White L, Black Butter�y

Forces Against Affordable Housing

Racially segregated neighborhoods throughout

the 20th century

Impactful demographic changes left the city

economically struggle in the mid-20th century

Physical discrimination resulting in wealth and

quality-of-life gaps

IMAGE CREDIT: BALTIMORE SUN, 2010

15.4%Black unemployment was up 9.6 percentage points from February to June

Job layoffs due to COVID-19, mainly in the service sector, have disproportionately affected the Black and Latinx communities.

Latino unemployment was up 10.1 percentage points from February to June

14.5%White unemployment was up 7 percentage points from February to June

10.1%Unemployment rates by race

SOURCE: LA TIMES

Our Inside Out ApproachWe aim to address systemic problems facing the Penn North community.

Our Inside Out ApproachWe aim to address systemic problems facing the Penn North community.

Vacant Plot

Penn NorthBaltimore, MD

Open �oor plan on the �rst �oor provides

commercial and retail space with �exibility

in the event of tenant turnover.

Exterior hallways allow for open air

ventilation to reduce disease transmission.

Mixed-Use Developments

TWO-STORY BUILDING THREE-STORY BUILDING

OPEN AIR CIRCULATION

• Flexible �rst �oor space can be used by community

organizations, local businesses,

non pro�ts, etc.

• Restaurants and grocery stores will reduce food deserts

• Business presence will reduce distance to jobs and reduce

reliance on transportation and

enable �nancial savings

Supporting Local Businesses

Modular Prefabricated Residential Units

One bedroom / one bathroom Two bedroom / one bathroom

Integrated Project Delivery

Mutual contract along with shared pool of pro�ts binds major stakeholders to work together on project goals instead of focusing on individual pro�ts.

Acting as a single entity reduces change orders accounting to construction delays and overruns from uncertainties in material pricing, irregularities in design or construction process.

Residential modules can �t together to form developments of varying sizes.

Modular Prefabricated Residential Units

1. Hire local workers to work on prefabrication and construction

2. Train workers in the trades by collaborating with Universities like North American Trade Schools for

crash-course in modular construction

3. Provide education to aid in career advancement and job security

4. Connect with job opportunities by partnering with local AEC associations

Providing a path to steady, higher income

Training & Hiring Local Workers

8k/yrApproximate Number of Jobs

Added Per Year

Creating jobs in construction and renovation, through training programs and by encouraging small businesses, can increase household income.

Approximate Increase in Household Income

80%$36,000Lowest 10%: 64,100

ANNUAL WAGE FOR CONSTRUCTION LABORERS IN MAY 2019

MEDIAN WAGE IN PENN NORTH IS $20,000 PER ANNUM

SOURCE: US BUREAU OF LABOR STATISTICS 2019

Financing Options

Rent Subsidies

Deferred payment

subsidy loan

Tax Credits&

Tax exempt lending

$20,000

With our approach, we project higher income, lower rent for Penn North residents

CURRENT Annual Median Income

$36,000PROJECTED Annual Median Income

$500 to $1400CURRENT Monthly Rent

$450 to $750PREDICTED Monthly Rent for New A�ordable Housing Median Income

15% to 25%PREDICTED % of Annual Income to Pay

Annual Rent

30% to 84%CURRENT % of Annual Income to

Pay Rent

Overall ImpactWe are creating a resilient community to empower every person, regardless of race or background.

8000 New Jobs~80% Annual

Income Increase

Transition Zone: Fight Racial

Discrimination

Train Future Generations in

Trade

Decrease Construction Cost

by 20% to 34%

Increase Construction Speed by 50%

Support Local Business

Reduce Transportation

Cost

We Build CommunitiesAffordable Housing, Community Development

Thank you

Appendix

Future: Scalability of Inside Out Approach

Though every neighborhood o�ers unique challenges and

demands unique solutions, Our Transition Zone built by

Modular Construction methods o�ers the required �exibility

for these unique solutions by allowing easy repurposing of

variety of development plot sizes based on a single design.

We plan on applying our Inside Out approach across Baltimore

to strengthen communities in the �ght against racial injustice.

602,000people (2018)

-1.5%population decline (2017/2018)

$51,000median household income (2018)

Black

te (non-Hispanic)

White (Hispanic)

+ (non-Hispanic)

61%

28%

3%

3%

47.5%homeownership rate (2018)

BALTIMORE, MARYLAND

SOURCE: DATAUSA.IO

IMAGE CREDIT: GOOGLE MAPS

PENN NORTH, BALTIMORE

+50%Increase in Construction Speed

Off-site construction with Prefab modular construction and IPD helps project achieve

Potential to Reduce RFIs/Change Orders

by 100%Construction Cost Reductions

-34%

SOURCE: MCKINSEY & COMPANY

~ 32%

Renovation will help existing owners get a fair price, increase land value, and attract people to these areas (reducing gentrification)

Capatalized Bene�ts of Lead Remediation and Asbestos Removal

SOURCE: THE VALUE OF HEALTHY HOME, BILLINGS & SCHNEPEL (2017)

Rent SubsidiesTenant Annual Income $20,000

30% of monthly income (affordable rent amount)

$500

Market rent for tenant's rental unit

$750

Utilities $90

Total rent $840

Federal Housing Administration contribution

$340

We aim to address systemic problems facing the Penn North community

SOURCE: BALTIMORE BLACK WORKER CENTER

By building mixed use a�ordable housing, we will develop integrated communities to encourage connection and growth