City Of Boulder Affordable Housing Program Changes?

The City of Boulder Affordable Housing Program may present some changes for developers soon. There’s a chance that the city will increase the number of required units sold as part of the City of Boulder Affordable Housing Program instead of allowing developers to pay cash-in-lieu fees.

The city seems to be concerned both about the funding of the program and also the distribution and availability of homes within the program. This could affect developers intending to build boulder condos and projects like The Boulder Peloton.

According to the Boulder County Business Report:

Part of the program – known as inclusionary zoning – requires residential developers to contribute at least 20 percent of their projects’ total units toward affordable housing. Developers have the option of building affordable units at the project, building them elsewhere or making cash-in-lieu payments to the city.

In 2008, developers can pay $106,149.47 cash-in-lieu for each required permanently affordable attached unit or $123,133.78 for each detached unit. If the developer wants to locate more than half of the required units off site via the cash-in-lieu option, a 50 percent premium is applied to the above rates for those units.

The Peloton reportedly paid the city about four million cash-in-lieu to fulfill half of its 76 required affordable units off site.

City council members are becoming concerned that if the cash-in-lieu option is used as a means to meet city requirements for the program, many of the intentions of the affordable housing program are lost.

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