Housing Call: August 15, 2023 – North Carolina Housing Coalition

NCHC Updates

We are accepting nominations for our 2023 NC Housing Coalition Awards. Each year at the NC Affordable Housing Conference breakfast, we recognize organizations and individuals who have gone above and beyond the call of duty to advocate for affordable housing. Traditionally we give out people-focused awards, but this year we want to feature work people and organizations are doing around the state that is focused on growing the housing movement in North Carolina. If you or someone you know has excelled in one of the following areas, please submit a nomination using the link in the call notes! The deadline for nominations is August 25.

Following up on last month’s “What If?” analysis, the Coalition has co-written a full policy brief with the NC Budget & Tax Center on how dedicated revenue sources for the Housing Trust Fund (HTF) could generate millions of more dollars for affordable housing in North Carolina. The brief includes the history of the HTF, the tens of millions we have already missed out on by underfunding the HTF, and the likely impact of creating dedicated HTF revenue streams on affordable housing dollars for the state. Download the brief here.

Federal Updates

Congress is on August recess and will reconvene after Labor Day. Interested in learning how you can advocate for increased Federal funding for affordable housing? Check out NLIHC’s August Recess Toolkit here.

State Legislative Update

The House and Senate are back in Raleigh and have voting sessions on the calendar for tomorrow (Wednesday, 8/15).

We’re expecting to see a budget by August 21st at the earliest. House Speaker Moore has indicated that the budget won’t become law until September. We know the House and Senate have agreed on the big ticket items and are hashing out smaller details now.

Local Community Updates

Yesterday August 14 – Congresswoman Valerie Foushee and HUD Deputy Secretary Adrianne Todman toured DHIC’s Greenfield Place in Chapel Hill and participated in a round table discussion regarding the affordable housing landscape and the challenges and opportunities that service providers, developers and organizations who finance affordable housing are seeing. The discussion highlighted the increasing need for additional funding, and opportunity for creativity and flexibility when using funding in order to address the mounting need for housing and housing support. Participants in yesterday’s event included several directors of housing authorities across the region and surrounding areas – Durham, Oxford, Burlington – NCHFA leadership, DHIC staff, HUD field office leadership, and several others.

Avery, Mitchell and Yancey (AMY) Wellness Foundation recently celebrated the opening of a nine-unit workforce housing development in Spruce Pine. Ellis Lofts is centrally located in walking distance to Blue Ridge Regional Hospital. The foundation hopes that the addition of this affordable housing will help businesses to hire and retain employees.

Truist recently announced a $15M investment in the Housing Impact Fund II – a social impact equity fund that seeks to preserve naturally occurring affordable housing throughout Charlotte. The Fund has raised a total of $66.8M from institutional investors like Truist, Atrium Health, PNC Bank, and Honeywell and aims to preserve 1200 units over the next two years. The first iteration of the Housing Impact Fund was formed in 2020 and invested $58M towards the acquisition of 800 units of naturally occurring affordable housing in opportunity-rich areas across Charlotte.

City Council meetings in Durham and Fayetteville last week paved the way for future affordable housing:

Fayetteville City Council unanimously approved funding for four affordable housing developments.
- $5.4M in ARPA and HOME-ARP funding towards the Step Up on Eastern motel conversion project that will create 137 supportive housing units for unsheltered residents.
- $1.25M in ARPA funds to support needed renovations at Fayetteville Gardens, a 40-year old Project-Based Section 8 apartment complex with 100 units;
- A $1.8M in HOME funds to support the renovation of 32 units of income-restricted senior housing at Hillside Manor; and
- Up to $400K in HOME Funds towards repairs and rehab that will create 8 units of income-restricted housing at a nuisance property.
- Durham City Council approved rezonings and annexations for 4 housing developments, including 2 that will contribute to the city’s stock of affordable units:
  - A rezoning for the development of Fairhaven Walk in Durham’s Braggtown neighborhood. The developer proposes building 192 affordable apartments (30-60% AMI) with a daycare onsite. They are seeking a 4% bond deal and the City’s affordable housing bond will provide $3.3M in gap financing.
  - Annexation for 61 townhomes on Clayton Road to receive water and sewer. Nine of the townhomes will be affordable to households earning no more than 80% AMI.

The growing need for affordable housing ignited conversation at a recent Southport Town Council meeting. The town says they have faced difficulties with hiring employees, citing high area rents keeping many entry-level workers from being able to obtain housing. Leaders from Brunswick Habitat and the The Brunswick Partnership for Housing advocated at the meeting for the county and local municipalities to increase communication and collaboration so they can address the issue collectively. The Cape Fear COC saw an increase of over 200 people experiencing homelessness in the region between 2022 and 2023.