Dear County Board members:
I oppose the approval of the zoning request and the $20 million in county AHIF funds to build these two apartment buildings in west Columbia Pike area located at 1010 S. Frederick Street, off Columbia Pike. APAH a nonprofit developer has requested about $20 million in county loans from the Arlington Housing Investment Fund (AHIF).
I have spoken several times against excessively costly affordable housing projects that are simply not affordable to low income people in Arlington. This is yet another such wasteful project. Please reject this proposal and send APAH back to the drawing board to come up with lower priced units for low income persons, namely those earning below 40-percent of the area median income (AMI) which is roughly $30,000 to $43,000 a year income).
Please read over details in the staff report presented to you:
l. 80 percent of the 229 units in the two new buildings are only affordable to persons earning above 60-percent AMI ($45,000 for a single person and $64,400 for a family of four).
2. Only 4 percent of the units are affordable to low income persons making less than 40-percent AMI. You have set your housing goal that at least 25% of new CAF units be affordable to 40-percent AMI renters: NONE of the AHIF projects for new CAFs have come close to your 25% goal.
3. Each new unit will cost about $$394,000 each–nearly four hundred thousand bucks. The $90 million total cost is very high–$7 million in developers fee, $6 million in “soft costs,” and $10 million in land/acquisition costs. The hard construction costs are $67 million or $227,000 per apartment which are well above Washington, DC regional costs. Are they building the Taj Mahal or affordable basic housing?
4. The land is quite expensive at $10 million or $44,000 per apartment. APAH claimed publicly that it owns the parking lot land and that the land is free. In fact, it does not own the land at all and it will cost taxpayers $10 million to buy a parking lot in western Columbia Pike. There are entire commercial buildings for sale in that area for less than $10 million.
Approving AHIF projects to build very expensive new CAFs which ipso facto cannot be rented to low income people in Arlington is a terrible waste of our public local dollars that could be used better t provide other forms of housing assistance to the needy rather than subsidies for developers and contractors like APAH.