For in-depth information on Affordable Housing and its impact, please view the Orange Dot Report 6.0"

Problem Statement:

Charlottesville and Albemarle County face significant affordable housing shortages, with rising housing costs burdening low- to moderate-income residents. This scarcity exacerbates economic disparities and limits access to essential services and opportunities. While UVA recognizes that it should not and cannot solve the problem alone, it recognizes the part that it plays, its role in the community and seeks to contribute to alleviating this housing crisis by leveraging its land resources and fostering partnerships to develop affordable housing solutions.

Inputs:

• Land Resources: UVA and the UVA Foundation have identified specific land parcels in Charlottesville and Albemarle County suitable for affordable housing development. 

• Advisory Group Expertise: An Affordable Housing Advisory Group, comprising UVA officials, community leaders, housing experts, and local government representatives, provides guidance on development strategies and community engagement. 

• Community Engagement: Ongoing dialogues with local residents, housing advocacy organizations, and other stakeholders ensure that the development aligns with community needs and promotes transparency. 

• Development Principles: Guidelines co-created with the community emphasize sustainability, inclusivity, and responsiveness to local housing demands. 

Outputs:

• Affordable Housing Units: Construction of 1,000 to 1,500 units over ten years, offering a mix of rental and ownership opportunities to cater to diverse income levels. 

• Mixed-Use Developments: Incorporation of retail spaces, community services, and recreational areas within housing projects to foster vibrant, self-sustaining communities. 

• Economic Opportunities: Engagement of local contractors, suppliers, and workforce in the development process to stimulate the local economy and create job opportunities. 

Eventual Outcomes:

• Enhanced Housing Affordability: Increased availability of affordable housing options reduces financial strain on low- to moderate-income families, improving their quality of life.

• Community Development: Mixed-use projects contribute to neighborhood revitalization, providing residents with access to essential services and fostering a sense of community.

• Economic Growth: Local economic stimulation through job creation and business opportunities associated with the housing developments.

• Strengthened University-Community Relations: UVA's proactive involvement in addressing local challenges reinforces its commitment to social responsibility and enhances its relationship with the surrounding community.

Key Metrics to Measure

1. Percentage of families who are housing burdened in the Blue Ridge (Thomas Jefferson) Health District.

• According to the Orange Dot Report 6.0 (Mitchell, Claibourn, and Schuyler, 2024) both homeownership and renting come with expenses that need to be matched by an income to comfortably support them. Housing burden describes the percentage of a household’s income that goes towards housing expenses. A family is considered burdened if 30% or more of their income goes towards these expenses, and severely burdened if housing expenses are over 50%. The figure below shows that over half (56%) of families earning less than the Self-Sufficiency Standard are housing burdened, with 32% of those families being severely burdened. On the other side, 93% of self-sufficient families are not housing burdened, making an income that adequately meets these needs.

• 

2. Number of new affordable housing units developed within the community. 

3. Number of affordable housing units or preserved within the community. 

   • The Blue Ridge Health District continues to address affordable housing challenges through a series of impactful projects at various stages of development. In Albemarle County, Hickory Hope Apartments, are under construction, with the first phase of 70 affordable units focusing on incomes between 30%-80% of the area median income. In Charlottesville, Kindlewood (formerly Friendship Court) has already completed Phase 1 of its redevelopment, providing modern, tiered-affordability housing, with Phase 2 set to begin soon.

   • Charlottesville is seeing development progress at 501 Cherry Avenue, funded with $6.8M from Virginia housing loans, and the MACAA Site Redevelopment on Park Street, supported by $4.065M in funding

Accomplishments:

Piedmont and Wertland & 10 St: The first two affordable housing developments (Piedmont in Albemarle County and Wertland & 10th St in Charlottesville city) are moving steadily ahead.

• The developers, Piedmont Housing Alliance (PHA), and Preservation of Affordable Housing (POAH) are working on pre-development activities such as site planning, community engagement, early design concepts, and rezoning.
• We are also negotiating partnership agreements with the developers, which will hold them accountable for creating high quality communities that will be affordable and well maintained for many decades.
• Each site is unique and continues to progress on its own timeline. The timing for construction depends on financing and entitlements. Based on conversations with the developers, construction likely will not commence before 2026 at Wertland & 10th St and 2027 at Piedmont at the earliest.

North Fork: North Fork is a very different site from the initial two properties in size and scale. Project phasing and affordability mix will look different at North Fork compared to Piedmont and Wertland & 10th St.

• The schedule is tentative, with a Request for Qualifications (RFQ) anticipated this fall and a Request for Proposals (RFP) early next year.
• Compared to the initial two properties, we anticipate more market rate and middle-income housing in addition to affordable at this site.

Ongoing Initiatives:

• Advisory Group Meetings
  • The Advisory Group meets as we have information to share. Our last meeting was on October 14, 2024.
• Promoting the Initiative/Responding to Requests for Participation
  • We continue to promote the affordable housing initiative and to highlight the partnership that is our foundation. 
    • Pace Lochte and Fred Missel presented at the White Ruffin Byron Center for Real Estate Conference in early November. 
• Continued Negotiations with Developers
  • We continue to negotiate with the selected development partners to establish business terms, structure, and partnership agreements. This work includes oversight of all legal and land transfer documentation.
• Financing and Construction Planning
  • The developers will be charged with designing, financing, constructing, and operating/maintaining the housing units. The timeline for construction will depend on the rezoning process and the financing. 

Upcoming Milestones: 

• Finalized Partnership Agreements
  • UVAF aims to complete the negotiation of partnership terms with both PHA and POAH to solidify the commitments and responsibilities of all parties involved
• Community Engagement Events
  • As the development plans take shape, we look forward to more of the community engagement process.
• Request for Proposals (RFP) for North Fork
  • The RFP for North Fork will follow the RFQ.