HomeMy WebLinkAbout014 - Appendix M - Affordable Housing PlanAffordable Housing Plan
Block B – 519 East Babcock Street
5.21.2024
Project Description
The Block B project is a site plan applicatfon to redevelop 5 parcels located downtown on East Babcock.
The Block B project proposed to construct a multf-story mixed use building that features two commercial
spaces, 46 residentfal units and 80 parking spaces. The project site is designated “Community Core” in
the growth policy and zoned Central Business District (B-3).
Project site
The subject property is located on the north side of East Babcock Street between South Church Avenue
& South Wallace Avenue. The project site consists of five parcels. The project site totals 39,353 SF (0.90
Acres).
The project site is designated “Community Core” in the growth policy and zoned Central Business District
(B-3). This Site Plan applicatfon seeks to meet the spirit and intent of the B-3 district, which envisions a
“vibrant mixed-use district that accommodates infill development, provides for a range of commercial
uses and encourages the integratfon of multffamily residentfal uses”. Adjacent land uses are zoned B-3 as
well. The Site’s proximity to Main Street, public transportatfon, shopping, banking, restaurants, school,
and services all contribute to make this an ideal locatfon for urban infill and a place to call home.
The Block B Site plan proposes to take advantage of the Affordable Housing Ordinance – Shallow
Incentfves but rather than providing the required two units (5% at 120% AMI) on site the project is
proposing to dedicate two parcels of developable land to the City as allowed by UDC Sectfon
38.380.020.B. The identffied propertfes are located within city limits on North 19th Avenue and total
0.58 acres. Preliminary studies have identffied the ability to place up to 36 dwelling units on the
proposed parcels. The City has hired a third-party consultant to conduct a study to determine if the value
of the land is equal or greater to the cost of producing those two units. This study is currently ongoing.
The main incentfve that is being taken advantage of with this applicatfon is the allowance for additfonal
height. The maximum building height in the B-3 district is 70’ outside the core area (excluding
penthouses for stairs and elevators). Utflizing this incentfve, the project would be entftled to an
additfonal 30’ of height for a maximum of 100’ or two additfonal stories. The Block B project is proposed
at 90’ tall utflizing 20’ of additfonal height.
Proposed Land to be Dedicated North 19th Avenue N
Response to Affordable Housing Plan Requirements (38.380.040)
1.Informatfon required.
a. The total number of affordable homes, and market rate homes in the proposed development.
Response: The project proposes to take advantage of the shallow affordable housing
incentives. 5% of the total 46 units equates to 2 units (2.3 rounded down). This project
proposes to dedicate land instead of providing affordable housing units onsite. There is an
ongoing study by a third-party reviewer to analyze this option.
b. The table in 38.380.020 to be applied to the affordable housing plan.
Response: This project will meet the requirements for the Shallow Incentives outlined in table
38.380.020-2 (below). This project is a mixed-use project containing multi-household
dwellings. This project proposes to dedicate land instead of providing affordable housing units
onsite. There is an ongoing study by a third-party reviewer to analyze this option.
c. The number of bedrooms in each proposed low income affordable home, and market rate home
in the development.
Response: This project proposed proposes a mix of two, three, and four-bedroom units. The
applicant proposes to dedicate land instead of providing the units on site. This option is being
evaluated by a third party to ensure the land is of equal or greater value than the required 2
units sold at 120% of AMI.
d. Whether each affordable home will be offered for rental or for sale.
Response: The applicant proposes to dedicate land instead of providing the units on site.
Subsequent planning and site design will determine the mix a future project on the donated
site.
e. The locatfon of affordable lots or units in the development.
Response: The identified properties are located within city limits on North 19th Avenue and
total 0.58 acres. Preliminary studies have identified the ability to place up to 36 dwelling units
on the proposed parcels.
f. The applicable AMI and maximum rental or sales price applicable to each low income affordable
home.
Response: The project will take advantage of the shallow incentives and therefore 5% of the
units at 120% AMI in Gallatin County, which for 2023 correlates to $488,700 for two-bedroom
and $548,300 for a three-bedroom unit. Again, the applicant is proposing to dedicate land
instead of providing the units onsite. The third party is analyzing if the proposed property is of
greater or equal value to providing the two units. Preliminary studies indicate that up to 36
dwelling units could be placed on this site.
g. A descriptfon of the requested incentfves from sectfon 38.380.030.
Response: The Applicant is requesting to take advantage of the Shallow Incentives, specially
the two additional stories allowed under section 38.380.030.C.3.C for the B-3 zoning district.
This increases the maximum height and allows for more flexibility in the floor-to-floor heights
of the building. This project is proposing to be shorter than allowed with these incentives.
h. Any other informatfon that is reasonably necessary to evaluate the compliance of the affordable
housing plan with the requirements of this division, as determined by the review authority.
Response: No Additional information has been identified.
i. If the development is to be constructed in phases:
(1) The required informatfon may include specific commitments for the first phase of
development and estfmates for later phases of development, provided the combinatfon of
committed and estfmated low-income affordable homes in the development equals or exceeds
the minimum required to qualify for the incentfves requested.
Response: This project will be built in one phase. The land will be dedicated prior to the start
of construction.
(2) As the number of low-income affordable homes for each later phase is finalized, the
developer must submit an update to the affordable housing plan including or updatfng the
informatfon required in this sectfon. The review authority shall review and approve, approve
with conditfons, or deny the update using the criteria in this sectfon.
Response: This project will be built in one phase. The land will be dedicated prior to the start
of construction.
2.Development standards for affordable homes.
a. The number of affordable homes must meet or exceed the minimum standards needed to
qualify for the applicable incentfve in sectfon 38.380.030.
Response: The applicant is meeting the requirements to qualify for the applicable incentives.
b. The mix of bedrooms per unit in affordable homes must be as similar as possible to the mix of
bedrooms per unit of the market-rate homes in the development.
Response: This project proposes a mix of dwelling units. Based on preliminary studies the
proposed land will be able to fit up to 36 dwelling units on it.
c. Access to shared amenitfes and services by residents of the affordable homes must be the same
as to those in market rate homes in the development.
Response: The applicant is proposing the land dedication option.
d. If the development is to be constructed in phases, and the developer has requested affordable
housing incentfves, at least 75 percent of the dwelling units in each phase must be affordable
homes, unless the city has received adequate legal or financial assurance that any shortiall
during earlier phases will be constructed before approval of the final phase of development.
Response: This project will be built in one phase. The land will be dedicated prior to the start
of construction.