Mixed Ownership
The third model is the mixed income, low-density ownership and rental community exemplified by the Homes at Monterey Place in the Dixwell neighborhood of New Haven. Monterey Place is a 346 unit mixed public and moderate-income housing program which replaced in the same location the high rise 475 unit Elm Haven public housing project built in the late 1940’s. The development is a mix of single-family detached, garden style and 3-story multifamily units, ranging from one to four bedrooms. The setting is very attractive and, in effect, presents itself as a small community with five internal streets and well-landscaped areas. The development was financed through a Hope VI HUD program and is nationally recognized as a model project. The developer and manager is Beacon/Corcoran Jennison of Boston.
The advantages of this model are many:
- The phasing is manageable and the relocation can, therefore, be spread over a period of time avoiding the crisis management associated with large-scale public housing relocation. With sequential development of different housing styles (mid-rise, duplex, etc.) in the same location, families can be moved in groups as units are finished.
- The mixed-income aspect provides a desirable environment for the relocated families and others needing moderate income housing, including ownership.
- Neighborhood acceptance is likely, given that the design and physical improvements are compatible with the existing neighborhood and any articulated plans for economic and residential development.
The disadvantages are:
- This approach requires a subsidy in order to achieve marketability for the non-public housing units. The Homes at Monterey were funded though the HOPE VI program which is threatened by being phased out, requiring identification of a different funding/grant source. The level of subsidy is a function of the cost of non-public housing units to be integrated and the gap to develop same for moderate income tenants and buyers.
- In order for this model to function efficiently, development of a minimum of 100 units will be required. Therefore, a large site must be located in a neighborhood that will be acceptable to the private, moderate income market. Given that the 100 units may be composed of only 50% public housing, the requirement may entail finding two such sites and building double the units needed in order to satisfy the public housing relocation need.