We don’t often think of manmade structures as part of the environment, and yet they are. Humans, also not often thought of as part of the environment, dwell in these structures. Many others dwell without them, something humans have termed as “homelessness” -a loss of human habitat accepted by too many of the fortunate as resulting from the moral failings of the homeless. Humans and housing are a part of our environment, whether it’s accepted or not.
This week the Georgia Conservancy hosted a panel on “The Economics of Housing in Georgia” on their weekly Facebook Live this past Tuesday May 19th at 12 noon. You can watch the 1 hour live here. If the privilege of time escapes you, please see the GreenATLiens summary below.
The Economic Impact of Housing in Georgia
This panel consisted of three presentations, one by the Georgia Conservancy, one by Bleakly Advisory Group, and one by Electric Cities of Georgia. A Q&A followed the presentations to discuss housing development issues in Georgia further.
Georgia Conservancy presentation by Katherine Moore, VP of Programs & Sustainable Growth Program Director
Takeaways
The majority of Georgians’ income does not match the rising costs of housing. The difference between an affordable home for the workforce and the average home price is a staggering $159K. In the Atlanta area 30-40% of households are considered “cost burdened” or spend a third or more of their income on housing. Georgia will grow by 4 million people by 2040. Taking into consideration high home prices vs. low wages, cost burdened households, and population growth, raising the state minimum wage and lowering the cost of housing will be crucial to Georgia’s future resilience.
Bleakly Advisory Group presentation by Geoff Koski, President
Takeaways: We’re experiencing dramatic demographic and generational changes that directly affects housing in Georgia. Household size has been shrinking steadily over the decades, and our housing supply is primarily built for the American nuclear family that is no longer the norm. Younger generations prefer walkability and work from home options, which makes housing and the amenities surrounding housing more important. This market is willing to pay more to live in “walkable” areas. Investing in downtown areas has been shown to improve cities’ economic growth even more than large shopping malls.
Electric Cities of GA presentation by Mill Graves, Director of Economic Development
Takeaways: It’s important for cities to develop a well balanced tax base that’s a mix of housing, industries, retail, as well as investing in their downtown and quality of life enhancement (such as parks). Doing so will provide a more stable tax base for cities to fund programs that enhance the lives of residents. Holistic economic development required hard and soft infrastructure (see slide 5 for factors cities can control). Housing diversity is especially important given the demographic changes we’ve been experiencing over the decades of smaller households as well as expected economic hardship as a result of COVID-19 that will make more affordable housing more heavily demanded. Mixed use and walkability will be increasingly important going forward to meet the demand of residents.
Q&A Led by Nick Johnson, GA Conservancy Senior Plannter
What is example of a community or a project that you’d like to lift up for having done really great housing projects that support local economic development in a thoughtful way?
Geoff: Two that I can think of that are not necessarily Atlanta-centric are West Point and Rome, Georgia. West Point has a great historic core. Buildings had been sitting there for decades without being fully used and through concentrated efforts they now have 30 or 40 new housing units above retail in their downtown core. In Rome, Georgia they’ve done a lot on the affordable housing side and focused on downtown housing that I think can serve as a model throughout the state. (main emphasis: mixed use, focus on inner city center, walkability, affordability)
Mill: Thomasville, Georgia brought in a lot of progressive housing types into their urban development. Providing quality affordable housing within a quarter mile from downtown it’d been just a great project overall that other rural communities can aspire to.
Katherine: I’d like to give a nod to Georgia’s Mill villages and Mill neighborhoods. These are tremendous opportunities for fresh eyes. They are walkable in and among themselves. Mills can lend themselves as loft opportunities and we see this again and again across the state.
What are some ways that you can promote affordability on top of just promoting good housing policy and housing diversity.
Geoff: I’m a big fan of land banking. Granted cities and counties already have a lot on their plate trying to figure out this year’s and next year’s budget. But in a perfect world cities and counties are out there looking for ways to bank land for housing and using resources and federal government grants to buy land or even buy buy units in their historical downtown. If it’s under public control, especially if you’re controlling the housing units, you have the ability to control how much a person is going to pay for those housing units. Through downtown development authorities and other avenues land banking can then be aggressive in getting that land developed to provide housing. Once the city or the public sector controls the dirt underneath there’s a potential opportunity to impact how much a resident is going to pay for that. In doing so you have the ability to really impact what kind and what price of units are being built.
Mill: I’d completely second Geoff on that one as far as a really effective strategy and one that honestly we’ve always utilized at ECG. It’s an extremely effective strategy and one I think that is going to work for those communities that are able to do it. From a bigger picture what most communities may be able to allocate some of their resources towards are really identifying redevelopment opportunities in their communities. This should be a priority for every city across the state if they can is really to identify where these redevelopment opportunities are and take a strong look at your housing.
In addition encourage specific areas that allow the types of housing that we know can be more affordable such as duplexes and fourplexes and things of that nature that for most municipalities of Georgia are not allowed by regulations and ordinances. What I’ve seen in other communities across the country is places where they’ve established areas in their downtown or within certain neighborhoods that have been historically low income allowing that type of development to encourage more affordable housing in those spaces.
Do you have any experience in land bank resources being put to use through community land trust?
Geoff: The work Amanda Rhine is doing at the Atlanta Land Bank comes to mind. I know Brunswick has set up a community land trust recently. I would look into what Amanda has been doing here in Atlanta.
Mill: Amanda’s work is a great case study. Albany, GA has one. Athens land trust could probably be a good resource as well.
How has the pandemic affected housing?
Geoff: The other shoe hasn’t dropped yet on housing and the economy. Housing prices and rental payments have held up pretty well so far. If you just look at the numbers through the beginning of May you would hardly know we’re in the middle of a a pandemic with 15% unemployment. It just seems unreasonable to think that’s always going to be the case over the next 12-18 months. So there’s a lot that remains to be seen. It will impact housing no doubt.
The demographics I talked about, they’re not going to change. We’re still going to have small households and a mismatch between our household makeup and our housing stock. That’s not going to change with COVID. We’re still going to have a tremendous amount of smaller households looking for smaller and different housing. What that looks like at the “end” of all of this I think we’re still working through that and waiting to see what happens when that other shoes drops on the economic side of housing. It’s a bit early to tell but again the demographics are going to drive the future of housing to a large degree. So, we’ll see.
Mill: Geoff you’re completely right, the demographics are always in the driver’s seat with respect to this so COVID’s not really going to change a lot of that. We’re probably going to see more renters I would imagine coming out of this and just in general communities that kind of have a monoculture of a housing product. When I got ot a lot of my communities there’s a whole lot of single family. If there’s any sort of struggle coming out of this with respect to foreclosures and things of that nature I think those communities with fewer diversity of housing types are going to take a hit. There’s a lot that remains to be seen. If anything [COVID] could potentially be an impetus to accelerate some stuff around retail evolution which we’ve already been seeing but also with housing. The biggest challenge I see is from the government regulation side to allow some of these types of housing. That for me is one of the biggest challenges moving forward and I think COVID-19 could be an impetus to really push that discussion to the forefront. Whether it’s something around your downtown built environment or just your housing a lot of people are going to come out of this worse off than when they went into it and so a lot of cities will be looking at this. andsaying what can we do to help and there’s a lot we can do on the housing front.
Geoff: You’re probably hearing and will continue to hear a lot about resiliency. The colloquial evolution of resiliency is “don’t put all your eggs in one basket.” If something fails and that’s where all your eggs are then we’re in trouble, so disperse the risk I guess you may say. Thinking about that in terms of housing is essential coming out of this. The more resilient cities, towns, and counties that have a wide variety of housing means that you’ve got a variety of housing ready to go no matter what the case whether we’re in a pandemic or not your housing stock is ready to accept the future. But if it’s all in one basket and the future heads in a different direction you’re left behind. So that’s just something to think about generally whether it’s retail, housing, your budget, whatever it may be is to think about that resiliency and how you can disperse the risk when things take a turn for the worst.
This was an extremely informative hour-long panel by the GA Conservancy, and the information shared here will be highly valuable when joining local groups such as the Housing Justice League to advocate for affordable housing.
A few action items
- Sign the Beltline For All petition by the Housing Justice League (HJL) to support efforts for affordable housing around the Atlanta Beltline.
- Donate to their Eviction Defense efforts, or send their Eviction Defense Manual PDF to a friend or family member who may need it.
- Become a member of the Housing Justice League for as little as $1 a month.
- Follow @housingjusticeleague on Instagram to stay in the loop with housing justice issues and actions in Atlanta.
That’s a wrap! Hope you enjoyed this week’s Friday for Future feature on housing! Stay green, ATLiens!
































































































