Denver Lots: The Alternative Housing Bulletin Board - News & Views
Denver Seeks Affordable Home Solution. Zoning Change Spurs Projects On City Owned Lots
The Denver Post January 5, 2004. Karen E. Crummy - Staff Writer.
Working class families face a daunting task when it comes to buying affordable homes in Denver but city officials are working on a plan to change that. Partnering with private designers and developers the city has an opportunity to take up to 300 city owned vacant lots and transform them into single-family homes.
All that's required is changing a zoning law so homes can be built on smaller properties. The lots "are an untapped resource that we have," said Myrna Hipp, the city's deputy director of economic development. "We need to find a way to redo a zoning law so that the process is more predictable for developers."
Escalating housing costs have outpaced wages, leaving more and more Denver residents searching for affordable homes. The city owns hundreds of parcels of surplus land, ranging from slivers to full lots. The vast majority of the larger properties came into the city's hands during the Depression in the 1930s and a decade or two later when people could not pay their taxes, said Kurt Schumacher, deputy director of asset management. Of those, anywhere from 150 to 300 lots may be suitable for building single-family homes.
The city-owned properties measure about 25 feet by 125 feet, the size lots were originally platted in Denver. But revisions to zoning laws in the 1950s changed the frontage requirements from 25 feet to 37 feet, leaving countless single lots unusable. Exceptions are granted for so called nonconforming lots if a previous structure was on the property. Otherwise, a person wanting to build on the land must go to the Board of Adjustment and seek a variance. That process takes six to eight months, and there is no guarantee a variance will be awarded.
"Because of the time and uncertainty, developers are usually opposed to these type of projects," asset management leasing agent Derek Brown said. So the city is exploring ways to streamline the process. Instead of a variance, a developer may be granted an exception. The board will still be involved, but developers could rely on specific criteria when deciding to buy and build on a property. "There are a lot of obstacles now," said Howard Hutson, co-owner of Alternative Housing Group LLC. "If the process was more reliable, it would allow more single family homes - quality homes - in disadvantaged areas."
The Board of Adjustment is showing initial support for the idea but is waiting to see specific proposals. "We would be in favor of having something in place to streamline the process as long as it meets all the legalities," said Janice Tilden, the board's director, noting that the board is also awaiting the arrival of Peter Park, the city's new planning director.
Affordable housing in Denver has become increasingly hard to find. Between 1990 and 2000, the average home price increased from $79,000 to $225,000 - or about 11 percent a year - according to the city's Housing and Neighborhood Development Services. The median price of a single family home in 2003 was about $230,000.
The skyrocketing price of land and building supplies, higher unemployment, escalating costs of resale housing, increasing rents and the unwillingness of some neighborhoods to accept diverse housing arrangements have all contributed to the problem, according to the agency.
Howard Hutson and his Alternative Housing Group have dedicated much of the past two years to building affordable housing for the working class, primarily in Denver's inner city.
A two-bedroom house they built on the 3700 block of Franklin Street is 18 feet by 56 feet. Wide windows and doors are in the back of the house so parents can watch their kids in the backyard, and there is a full basement with plumbing set up.
On the 4300 block of Clayton Street, the group constructed a similar 1,000-square-foot house, with an equal-size basement ready to finish.
The homes are called "pre-fab," but Hutson emphasized that they are not the modular or "double-wide" mobile homes scattered throughout many poorer areas. Although they are built in a factory in one or more parts and transported to a site, they do not resemble rectangle-like blocks, with low-pitched roofs. Nor do they lack attics or basements.
These system built houses are set on a full foundation and usually in the style of a miner's cottage and look much like other Victorian-influenced homes in the older neighborhoods. They also tend to have thicker walls than stick homes because they must be sturdy enough to transport. The outsides of the homes are fire-retardant and each house comes with a 40-year warranty.
Windows are long and high to keep living spaces bright while protecting privacy. Hallways are limited and nonliving space is kept under 5 percent of the house. Many homes have as much as 20 percent of unusable space.
"It's a different mind-set to build on an inner-city lot," Hutson said. "We're trying to maximize the usable living space without being obtrusive and invasive." The price tag for these homes: anywhere from $145,000 to $170,000. In comparison, 1,000- to 1,300 square-foot homes in some of Denver's poorest neighborhoods are at the high end of that scale, according to sales data obtained by the Alternative Housing Group from Metrolist during the period of May 1 to Nov. 25, 2002.
In the Clayton neighborhood, homes were selling at $159,000 and in Cole for $162,000. In Swansea, comparable homes sold for $165,000. And many of those lack the quality and amenities of the new homes according to Mr. Hutson.
Jacky Morales-Ferrand, the city's new director of Housing and Neighborhood Development Services, said she is working on coordinating Denver's housing programs so that more people can buy homes. "We haven't been good at packaging everything readily for first time homeowners," she said. "But we are now working on bringing all our resources to the table and form partnerships when we see new opportunities."
For instance, if a new home is put in a neighborhood, the city can help a buyer with down-payment assistance and offer rehabilitation and home-improvement assistance. "So it isn't about just one home infill; it's about the community improving as well," she said. That is why there is serious concern that any changes to the zoning ordinance include design criteria, such as the pitch of the roof, attic storage and neighborhood character.
"We want to protect the neighborhoods. We don't want developers just throwing in a flat-roofed mobile home between two homes," Brown said. "Our intent is to incorporate design review and standards so quality is adhered to." But when the property is privately owned, Brown admits that may be difficult. "There are some significant challenges," he said. "But we are going to try."
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