Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Eagle County,Colorado
December 10-15, 2006
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
About ULI
Established in 1936Independent nonprofit education and research organizationMission: ULI’s mission is to provide leadership in the responsible use of land and in creating and sustaining thriving communities worldwideMore than 34,000 members worldwideRepresenting the entire spectrum of land use and real estate development disciplines
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Special Thanks
Harry Frampton
Economic Council of Eagle County
Don CohenKathy Chandler-HenryTori Franks
The Mayors and Members of the town councils of Eagle County
More than 56 community members we interviewed
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Our Assignment
Our assignment was to look at the current and future housing conditions in Eagle County and provide direction on how best to address the need for work-force housing, including side effects, such as transportation
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
The PanelTony Salazar (Chair)President – West Coast DivisionMcCormack Baron SalazarLos Angeles, California
Gary AltergottPrincipalMorris ArchitectsHouston, Texas
Richard D. CentolellaPrincipalEDSASanta Monica, California
William CollinsConsultantCollins Planning AssociatesJackson, Wyoming
Diana M. GonzalezHomestead Reuse Plan CoordinatorMiami-Dade County, FloridaMiami, Florida
Vincent W. McBrienManaging DirectorGryphon Realty CapitalChicago, Illinois
Steven E. SpickardSenior Vice PresidentEconomics Research AssociatesSan Francisco, California
Brad WiblinDirectorBRIDGE Southern CaliforniaSan Diego, California
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
The Process
Four TeamsMarket BackgroundOrganizing for SuccessImplementationPlanning & Design
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Market BackgroundMarket Background
Vincent McBrienSteven Spickard
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Economic BaseHistorical
• Hunting and Fishing• Ranching• Mining
Today• Ski Operation (+ Golf, Other Recreation)• Resort Lodging, F&B, Retail• Second Homes• Construction – Development and
Redevelopment
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Rental Market SegmentsTypes of Housing Units Assistance?
Rental Market Rate
FinancialEntry-Level Rental Assistance
Required
Winter SummerNov. - April. May - Oct. Subsidized by
Seasonal Rental Some EmployersSki Resort Driven Construction
"Ski Bums"/"Kids" High % Hispanic
High % Hispanic
Sources of Demand (People and Households)
Primarily Service Industry WorkersWant to be Full-time Residents
(But Potentially Holding Multiple Part-time or Seasonal Jobs)
Full-time Residents(But Potentially Holding Multiple
Part-time or Seasonal Jobs)
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Ownership Market SegmentsTypes of Housing Units Assistance?
Very Expensive Market Rate
Expensive Market Rate
Move-up Ownership Market Rate
FinancialEntry-Level For-Sale Assistance
Required
Working Middle Class
Working Couples/Young Families(Often Interested in Schools, Space,
Yards, and Garages)
Aspiring to Middle Class
Sources of Demand (People and Households)
Second-Home Buyers Looking for Lifestyle and Investment
Equity RichLong Term Homeowners
Independently Wealthyand Retirees
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
The Economy Requires the Whole Area (I-70 + Hwy 24 Corridors)
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Will the Private Market Solve the Problem?
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
No, Because There are Market Imperfections
1. Land is Constrained. Expansion of Supply is Extraordinarily Expensive.
2. Global Investment Push is an Uncontrollable Exogenous Force.
3. If You Allow the Market to Reach Equilibrium, You Might Not Like the Result!
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Projected Full-Time Resident Population Growth for Eagle
County
15,700 more permanent residents (2005 to 2015)31,400 more permanent residents (2005 to 2005)
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Projected Eagle County Job Growth
18,265 more jobs (2005-2015)36,763 more jobs (2005-2025)Most new jobs in service sector paying $30,000 and $80,000 per year
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Projected New Housing Units Needed For Full Time
Residents of Eagle County
3,500 units current reported shortage of work force housing units600 new housing units needed annually (2005-2025)Majority of the new housing units are needed for workforce housing sector
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Average Increase in Home Prices Over Last Five Years
(2000-2005)
Single family up 15% ($465,700 to $535,350)Condominium up 31% ($279,500 to $365,000)Continuing upward pressure on home values due to
Limited developable land Booming second home market in Eagle County
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Single Family Affordability Example
10152542Additional Hours per week worked to make up gap
$ 1,654 $ 2,014 $ 2,509 $ 2,914 Monthly Affordability Gap $ 3,814 $ 3,814 $ 3,814 $ 3,814 Monthly Total Housing Costs$535,350 $535,350 $535,350 $535,350
Average Single Family Home Price (2005)
$303,385 $252,821 $183,295 $126,411 Affordable housing price$ 2,160 $ 1,800 $ 1,305 $ 900 Monthly housing budget$ 86,400 $ 72,000 $ 52,200 $ 36,000 Annual Wages
120%100%80%50%% of AMI
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Organizing for SuccessWorkforce housing is a challenge that transcends any of our abilities to solve
alone.”…Richard Syron, Chairman and CEO of Freddie
Mac
Bill CollinsDiana Gonzalez
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Impact on Community
Impact of lack of housing Communities ultimately pay the priceWithout affordable housing, businesses are not able to recruit and retain workers
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Housing Progress to Date
As of 2004 over 2,100 units of targeted housingSignificant participation of local businesses
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Methods of Development
Increased DensityDeed RestrictedDevelopment RegulationsSubsidized landRevision to zoning codeInfill HousingMixed Income DevelopmentMixed Use DevelopmentDown Payment Assistance
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Financing Mechanisms
Colorado Housing Finance AuthorityMortgage Revenue Bond ProgramMortgage Credit Certificate ProgramIndustrial Revenue BondsHUD Subsidized rents and Section 8Taxable bonds issued by Eagle CountyRural Development 515 and 521 programsMountain Valley Residential ServicesReal Estate Transfer TaxTax exemption to enhance affordability63-20 Tax Free Bond FinancingLow Income Housing Tax CreditEmployer supported financing programs
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Goals for Moving Forward
1. Consolidated vehicle for delivery of workforce housing
2. Improve coordination and communication
3. Improve quality of information4. Promote Countywide
coordination 5. Work with local governments
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Eagle County Housing Coalition
Finance and Construct HousingBuy, Sell and Lease PropertyLevy TaxesAccess State and Federal ResourcesTake Advantage of Tax Exceptions
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Potential Programs
PartnershipsHousing DevelopmentGrants and LoansPhilanthropic CommunityTraining/Education
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Regional VoiceCoordinated EffortsSustained FocusShared Resources
Needs to be More
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Executive Director & Staff
Development ExperienceAdministrative AbilitiesPolitical Skills
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Board of DirectorsResource BoardTask Forces
Structure
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Board of Directors
Elected OfficialsRed CliffMinturnVailAvonEagleGypsumEagle County
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Resource Board
Diversity of ParticipationExpertisePublic AgenciesPrivate Partners
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Task Forces
Specific TasksPublic Private Expertise
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Funding
Operating ExpensesLocal GovernmentsVail ResortsBeaver CreekEconomic CouncilSales Commissions
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Funding
Dedicated RevenueSales TaxProperty TaxReal Estate Transfer Tax
Community Wide Effort
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
ImplementationImplementation
““Give Us the Tools and WeGive Us the Tools and We’’ll Finish the Jobll Finish the Job””Winston ChurchillWinston Churchill
Brad Wiblin
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Guiding Principles
Healthy vibrant regions have a diverse workforce and a range of housing choices for residents at all income levelsThe development of significant quantities of workforce and affordable housing in the Eagle Valley can help to insure a more sustainable communityThe housing challenges in the Eagle Valley did not materialize overnight, but tangible results can be achieved in the near term with a coordinated effort
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Guiding Principles
Below are principles that if applied to this housing challenge will insure this housing will be a valued community wide asset.
High Quality DesignWell LocatedSustainable Development PracticesTargeted to Specific Market SegmentServes a Range of IncomesPerceived as a Community AssetCreation of a Community not a BuildingProvide Appropriate Services
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
ToolsMany have been used here with varying degress of success
Land Use Planning and Regulatory ReliefInclusionary Housing ProgramsZoningDensityFee Waivers
Financing
63-20 CorporationsIn-Lieu Fees Linkage FeesBond FinancingLow Income Housing Tax CreditsHousing Trust Fund / Dedicated Source
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Structures for Production
Public / Private / Nonprofit CooperationBy taking advantage of what Government does well and combining it with the strengths of the private sector, affordable housing production can leverage the regions creativity and resources
Land MiningThe Eagle County Housing Coalition can play an important role in advocating for land recycling. Many of these opportunities will require multi-year efforts to achieve, a role not well suited to the private sector
Ground LeasePublic agencies like the proposed ECHC, can maintain long-term control through a ground lease that includes performance criteria. This structure can also help to make rental housing more competitive with for-sale housing so long as the landowner is willing to take the long view
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Structures for Production
Land BankingThe ECHC can assemble and acquire land as it becomes available, in preparation for future affordable housing development
Mixed-Income DevelopmentCreating apartments that provide a range of housing, from market-rate to affordable in one development can be more acceptable to adjacent neighbors that 100 % affordable projects, and provide a better long term return on investment
Carry-Back FinancingPay off the land cost over time using a percentage rent structure. This can allow land owners to participate in long term appreciation
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Structures for Production
Timber Ridge, A Local Example
City of Vail provides land for redevelopmentCity provides entitlements - upzone for additional densityPrivate sector development partner takes construction and market risk and pays off City debt used to acquire landReplacement housing, plus a large quantity of new workforce housing adds to rental and workforce housing stockAmenity Rich – Pedestrian bridge over I70 to allow residents to walk to jobs and amenities at VailMixed-Income development – Market rate housing helps off-set workforce housing costsCity, County and Vail Resorts provide gap financingCommunity Accepts density in return for well located, high quality housing mixed-income development
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Planning & DesignPlanning & Design
Richard CentolellaGary Altergott
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
“Everyone needs a place to call home. When night falls, every person confronts the need for a place that is safe, decent and restful, a place to stow one’s possessions, to clean up, to recharge for the challenges of the next day……These are basic human needs that require the physical space we call home, whether for a night or a lifetime.”
Henry CisnerosChairman and CEO, American City Vista
Former HUD Secretary, Clinton Administration
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Guiding Principles
• Produce Livable and Flexible Housing Units
• Accommodate the Daily Needs and Activities of the Residents
• Separate Public Spaces from Private Spaces thru Site Design and Architecture
• Respect the Existing Visual Quality of the Region
• Protect the Existing Unique Qualities of Each Town or Community
• Provide Sufficient Land Area in Logical Locations for Residential Uses
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
The ProcessIdentify the Potential Development
Sites• Locate new development close to an
existing town/village, preferably adjoining or close to the town center
• Utilize already disturbed sites or sites with existing inventory identified for re-development
• Locate near existing or future Public Transportation Hubs
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
The ProcessIdentify the Potential Development
Sites• Locate new development close to an
existing town/village, preferably adjoining or close to the town center
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
The ProcessIdentify the Potential Development
Sites• Locate new development close to an
existing town/village, preferably adjoining or close to the town center
• Utilize already disturbed sites or sites with existing inventory identified for re-development
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
The ProcessIdentify the Potential Development
Sites• Locate new development close to an
existing town/village, preferably adjoining or close to the town center
• Utilize already disturbed sites or sites with existing inventory identified for re-development
• Locate near existing or future Public Transportation Hubs
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Establish Planning and Development Design Guidelines
• Utilize Traditional Neighborhood Design for several reasons:• Higher densities in an acceptable
manner• Creates a sense of community• Creates a sense of safety• Creative site design and detailing
establish an aesthetic excellence and pride in community
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
• Integration of Public Open Space and connectivity to the existing town/village center
Establish Planning and Development Design Guidelines
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
• Integration of Public Open Space and connectivity to the existing town/village center
• Mixed-income neighborhoods and…• Mixed-uses to create a “Village”
atmosphere
Establish Planning and Development Design Guidelines
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
• Integration of Public Open Space and connectivity to the existing town/village center
• Mixed-income neighborhoods and…• Mixed-uses to create a “Village”
atmosphere• Compatible architectural design in a
“Mountain Village” vernacular (i.e.. Beaver Creek)
Establish Planning and Development Design Guidelines
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
• Include necessary neighborhood and community services and amenities:• Community Center• Post Office• Day Care Center• Teen Center• Village Green• Bike/Hike/Walking Trails (connect to
the regional system)
Establish Planning and Development Design Guidelines
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
• Utilize sustainable/green building design practices and technology to reduce utility and maintenance costs to the residents
Establish Planning and Development Design Guidelines
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
• Utilize sustainable/green building design practices and technology to reduce utility and maintenance costs to the residents
• Define specific Housing Types• Seasonal/Temporary Resident• Permanent/Mid-Income Resident• Service Industry Resident
Establish Planning and Development Design Guidelines
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
EAGLE COUNTY IMPLEMENTATION MATRIX
DEFINITION OF TERMSUser Need
LifestyleExperienceService
Housing Type TransitDevelopment
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Dotsero Gypsum Eagle Wolcott Edwards Avon Minturn/ Redbluff Valley VailUser Need Priority Need #1 Service Lifestyle Lifestyle Lifestyle Lifestyle Service Seasonal #2 Service Seasonal Seasonal Seasonal Lifestyle Lifestyle #3 Heroes Heroes Heroes
Housing Type Priority Need #1 Home Home Home Home/Townhome Condo Rental Apartment Rental Apartment #2 Townhome Townhome Townhome Condo Townhome Townhome Condo #3 Condo Condo Condo Rental Apartment Home
Transit Priority Need #1 Link to hub Link to hub Link to hub Link to hub Adjacent Adjacent TOD #2 Adjacent Adjacent Link to hub
DevelopmentType 4 Type 4 Type 3/4 Type 3/4 Type 2/3 Type 1/2 Type 1
Site Selection Criteria #1 Single Family Single Family Single Family Single Family Mixed Use Mixed Use-midrise Mixed Use-high density #2 Mixed Use Mixed Use Mixed Residential #3
Sustainability Criteria #1 Sustainable Community Sustainable Community Sustainable community Sustainable community Financial performance Sustainable Building Sustainable Building #2 Financial performance Financial performance #3
MATRIX
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Transit
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
DevelopmentVail
Type 1 Transit Oriented Design
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Development
Vail
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Development
Edwards
Type 2/3 Single/Multifamily Residential
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Development
Edwards
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Development
Edwards
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
DevelopmentEagle
Type 4 Single Family Residential
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
DevelopmentEagle
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Development
Eagle
Urban Land Institute
Eagle County Colorado
Advisory Services Panel
Eagle County,Colorado
December 10-15, 2006