Leveraging Property Owned by Faith-Based Organizations to Create Affordable Homes and Public Benefit
The rising acquisition cost of developable land, among other factors like the rise in construction material costs and shortage in skilled construction labor, has been driving the cost of residential development, impacting developers’ ability to create affordable homes. Through effective partnerships and informed decision-making processes, faith-based organizations (FBOs) who own underutilized or vacant property are able to repurpose their property to create affordable homes and public benefit.
This white paper aims to assist FBOs and community stakeholders interested in advancing this strategy with: 1) understanding what it takes to successfully undertake this solution; and 2) becoming familiar with different paths that can be pursued to implement this solution. These strategies include establishing development partnerships with potential ownership opportunities and entering into long-term ground lease agreement, requiring the development of a project with an affordable housing component.