The NHP Foundation Enters Colorado Affordable Workforce Housing Market with 3 Deals in The Mountain Resort Region
Ground-up construction aims to build nearly 800 units of much-needed affordable housing despite challenges
NEW YORK, Jan. 4, 2024 The NHP Foundation ("NHPF"), a national not-for-profit provider of affordable housing, is expanding its footprint west with development deals in the works in two different mountain resort area towns which present unique opportunities and challenges. NHPF has previously created or preserved housing as far west as Texas.
The Mountain Resort region of Colorado is home to some of the nation's top ski and recreational areas, notably Vail and Aspen, yet is notoriously short on housing inventory, particularly workforce housing affordable to the thousands of employees who make up a labor pool including police personnel, teachers, restaurant staffers, childcare workers, etc.
"The area finds itself in desperate need of quality housing of all kinds," according to Neal Drobenare, Sr. VP at NHPF and lead developer for the Colorado properties, adding that NHPF is up to the task, having made a name for itself in undertaking and completing difficult housing challenges.
In an area where close to 50% of all housing is vacation homes, what is available to rent to those on fixed incomes is priced out of reach for most. At the same time, the high altitude and prolonged freezing temperatures present construction cost and labor challenges.
Add to the equation the scarcity of available land to build and the current anti-density zoning, and the area finds itself in desperate need of quality housing of all kinds, according to Neal Drobenare, Sr. VP at NHPF and lead developer for the Colorado properties, who added that NHPF is up to the task, having made a name for itself in undertaking and completing difficult housing challenges.
NHPF has committed resources to three affordable housing endeavors now in pre-development to bring a potential total of 350+ apartments, townhouses and duplexes to the region.
101 W Main in Frisco, a town at the geographical entry point to the resort destinations, has had a long and unfortunate development history, particularly with for-profit entities. This area, well known as a hotbed of "vehicular homelessness", is a high-need location with a parcel of land available currently featuring a 1970's era office building. NHPF has agreed to construct 45-50 workforce housing units on the site, as well as providing office space on the ground floor of the new building for these service providers or other businesses. The project is applying for funding through the Low Income Housing Tax Credit program and the state's new Proposition 123 programs, which dedicate a percentage of state income tax revenue to fund affordable housing. The new development will also provide an easement offering direct access to Ten Mile Creek behind the property for all to enjoy. Separately, NHPF has worked with the Town to inform zoning incentives for affordable housing to minimize cost and streamline the permitting process.
Galena Street in Frisco: The Town has also entered into a Development Agreement with NHPF that will enable it to develop workforce housing on another Town-owned site. At 602 Galena, NHPF plans to construct up to 54 units of workforce housing.
Town of Granby Highway 40 Workforce Housing Project in Grand County: An area that is rapidly growing, the Town of Granby has roughly 30 acres off of its main highway (40) on which to build workforce housing. NHPF has been selected as the master developer by the Town in partnership with Summit Homes Construction, a local developer and homebuilder. Under the agreement, NHPF and Summit Homes will construct up to 258 units of which 120 will be rental apartments, and 138 will be a mix of townhouses, single family homes, and duplexes for sale. The 5-phase master planned community will provide jobs and revenue to the area for many years to come.
Drobenare and his team are looking forward to delivering on the promise of each of these high-need, high-opportunity developments, working with the various municipalities, consultants and service providers over the coming months.
The team has already overcome many of the challenges including zoning, previous design issues and development deals gone awry. The organization is perfectly poised to meet the challenges of securing labor and funding. NHPF envisions a 2024 construction start in both communities.
About The NHP Foundation
Headquartered in New York City with offices in Washington, DC, and Chicago, IL, The NHP Foundation (NHPF) was launched on January 30, 1989, as a publicly supported 501(c)(3) not-for-profit real estate corporation. NHPF is dedicated to preserving and creating sustainable, service-enriched multifamily housing, and single-family homes that are both affordable to low and moderate income families and seniors, and beneficial to their communities. NHPF's Construction Management Group provides in-house resources dedicated to infrastructure review, infrastructure development and cost management. Through Family-Centered Coaching, NHPF's subsidiary Operation Pathways engages with, and assists, families experiencing poverty and other hardship, to problem-solve together. Through partnerships with major financial institutions, the public sector, faith-based initiatives, and other not-for-profit organizations, NHPF has over 10,000 units, in 16 states and the District of Columbia. For more information, please visit http://www.nhpfoundation.org.