Inclusionary zoning (IZ) allows developers to construct denser projects than what is allowed by-right on a given site by mandating that a percentage of the housing units be set aside for households earning less than the area median income (AMI).
The 2015 income eligibility limits, based on an area median income (AMI) of $109,200
Eighty percent of AMI has been the benchmark for IZ units at new developments in the city, and with a 2015 AMI of $109,200 for the DC area, it has become increasingly apparent that households in this income bracket can often afford to rent at market rate. The Campaign for Inclusionary Zoning has been advocating since January 2015 for the Zoning Commission to reconsider these standards in order to serve a larger swath of residents who earn up to 60 percent AMI and are languishing on IZ lottery waiting lists.
Last night, the Commission voted in favor of lowering the standard affordability threshold for IZ rental units to 60 percent of AMI. Essentially, this means that one-bedroom IZ apartments will rent to this group for $1,100 a month, which is affordable for a family of two earning $52,000 annually, rather than the current average of $1,600. Renters will still be required to make a minimum of 40 percent AMI.
The Department of Housing and Urban Development calculates AMI for jurisdictions nationwide, and for 2016, that amount has decreased for the DC-VA-MD metropolitan area, to $108,600. Although expanding the affordability of IZ rental units is an important step, DC may be overdue for examining the overall efficacy of the program.
The IZ standards on for-sale units will not be affected by the approved amendment, and developments which have already been approved will also be unaffected. When considered with the current pace of development in the city, this change is expected to create over 2,600 apartments affordable to low-income households over the next 5-10 years.
The amendment will be enacted following a 30-day public review period.
This article originally published at http://dc.urbanturf.com/articles/blog/zoning_commission_votes_to_make_inclusionary_zoning_more_inclusive/11497
Most Popular... This Week • Last 30 Days • Ever
Approximately 16,550 units delivered in DC between January 2019 and August 2021.... read »
UrbanTurf has compiled virtual looks at large new developments around the DC region.... read »
The seven-bedroom home hit the market on Friday and was under contract by Sunday.... read »
This year will likely go down as the year that prices for houses in DC reached new he... read »
Dubbed OZMA, the 13-story project will include roughly 7,900 square feet of ground fl... read »
The preferred mortgage product among most home buyers is the fixed-rate mortgage. How... read »
STAY DC provides rental aid and utility payment grants to at-risk District residents ... read »
The planned 8-unit development would be located on K Street right along the Potomac R... read »
Landmark Theatres is in the final stages of negotiations that would have it operating... read »
The 12,000 square foot replica of 1600 Pennsylvania Avenue went under contract last w... read »
With this weekend's DC houseboat tour a day away, UrbanTurf thought it only fitting t... read »
President Obama travels to Denver this morning to sign the stimulus bill that has bee... read »
In this week's installment of Ask An Agent, a reader wonders if there is a rule for h... read »
As The Wharf prepares to begin construction, DC's houseboat community heads to its ne... read »
In this week's installment of Ask An Agent, a reader asks a fairly common question th... read »
DC Real Estate Guides
Short guides to navigating the DC-area real estate market
We've collected all our helpful guides for buying, selling and renting in and around Washington, DC in one place. Visit guides.urbanturf.com or start browsing below!
Intro guides for first-time home buyers
Awesome and unusual real estate from across the DC Metro