How To Use Affordable Housing As Your Secret Weapon
Today, the economy can be extremely unpredictable and stressful. Diversifying your business model can help you become recession-proof, even when times get tough.
Incorporating affordable housing subsidies into your projects can be a great tool to help strengthen your position no matter what gets thrown at you—whether it's economic downturn, new rules, and regulations, or a pandemic. Plus, you’ll be helping the members of the community that you serve.
Does Boston have an affordability crisis?
Boston is a wonderful, exciting place to live with a diverse population that is constantly growing and changing. However, Boston is geographically limited by the ocean. That makes Boston real estate extremely valuable and competitive—which usually means expensive, too.
Therefore, the city is experiencing an affordability crisis across the board. Housing expenses are a very important, very real problem for the residents of Boston.
What can real estate developers do about the affordability crisis?
First, start by familiarizing yourself with affordable housing. Figure out how the process works and what the rules and requirements are. Once you understand it, you can figure out how affordable housing might fit into your business plan.
Next, consider how you can increase the density of your projects. Increasing the density or height of your projects allows you to provide more housing units overall, and therefore more affordable housing units.
Furthermore, consider providing a higher percentage of affordable units than just the minimum requirements. Find ways to work affordability into your plans wherever you can in a way that makes sense for your business and your projects.
Lastly, if you are politically inclined, consider sharing your voice with the political administration. Let our politicians know what the community needs and what direction you’d like to see affordable housing go so that the policies work for everyone.
What are the benefits of incorporating affordable housing into your business model?
From a business perspective, diversifying your business model can help strengthen your business in a poor economy. Providing a mix of higher-income and affordable housing units can diversify your income source and put your business in a better position during hard times.
From a human perspective, providing affordable housing units is a great cause to support. It can be extremely fulfilling to see young families and grateful individuals move into their brand-new, affordable homes in the beautiful city of Boston.
The affordability crisis can be challenging and controversial to talk about, but it is important to start the conversation. It is important that we work together to get the policies and housing in place so that we can find a solution that works for everyone.