Aldermen Willing to Help with Housing Project

FAYETTEVILLE — A nonprofit group with plans to build homes for people of modest means in southeast Fayetteville could get a $1 million boost from the city to help pay for the project.

Partners for Better Housing, which was founded by the Fayetteville Housing Authority, asked city officials earlier this year to help pay for streets, sidewalks and storm drain pipes in a development just east of Walker Park called the Houses at Willow Bend.

Members of the City Council’s Street Committee expressed a desire Tuesday to help with the project. It’s now up to the council to sign off on the plan.

At A Glance

Policy Change

Also on Tuesday, the Street Committee considered making the “Street Committee” the “Transportation Committee.” In addition to reviewing street plans, the committee would also look at sidewalk, trail, bikeway and transit improvement and make recommendations to the City Council.

Source: Staff Report

Ordinarily, a private developer would be responsible for building infrastructure in a new subdivision.

Committee members said on Tuesday the Willow Bend project is different, because it’s geared toward people with low to moderate income.

“We’ve had this need in our city for a long time for affordable housing,” said Adella Gray, Ward 1 alderwoman.

“I feel strongly that this is something the city needs to do,” she added.

City Plan 2030 lists creating opportunities for attainable housing as one of its six goals.

The long-range plan mentions how home prices have increased faster than individual incomes in recent years.

According to U.S. Census Bureau estimates, median monthly housing costs in Fayetteville increased 12.6 percent between 2005 and 2011 (from $637 to $717), while median household income fell 7 percent (from $37,001 to $34,393).

Rob Sharp, a Fayetteville architect and chairman of Partners for Better Housing’s board, said help from the city will go a long way toward making the houses more affordable. Sharp estimated a $1 million contribution would lower the sale price of a 768-square-foot, two-bedroom, one-bathroom house from $104,290 to $92,202. He said that type of house is intended to be affordable for a household with an annual income of $25,207. Fifty to 76 houses, ranging from two-bedroom, one-bath to three-bedroom, two-bath are planned.

Sharp said city backing will also make it easier for Partners for Better Housing to go to a bank and get a loan. The group is still working out how to finance the project.

At least one street connection is planned off Washington Avenue, on the west side of the roughly 7-acre property. Other streets could be built off Seventh Street to the north and Wood Avenue to the east, although those connections will require acquiring land from other property owners in the area.

City Council members are scheduled to consider helping with the project May 21.

Matthew Petty, Ward 2 alderman, emphasized even if any resolution is approved it doesn’t guarantee funding.

“This isn’t the final decision,” Petty said. “It means up to $1 million. There are any number of things that could affect that.”

Chris Brown, city engineer, said it would be up to Partners for Better Housing to pay upfront infrastructure costs.

“Ultimately, it will be a reimbursement from the city after the improvements are constructed,” Brown said.

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