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Brave New US Housing Policy PLACE Initiative Presentation
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Category Archives: Zoning
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Open in new tab Housing Density and Pandemic: Study the Facts
June 7, 2020
Portland City Council held hearings on three policies involving housing density in May and June. One of them–the Residential Infill Project–has been FIVE YEARS in the making. A number of neighbors point to the current pandemic as a reason NOT to amend zoning regulations that would add more density to their single-family neighborhood (or historic district in the case of Central City 2035). I think that would be a big mistake as there is abundant evidence that density is NOT dangerous! In fact, denser communities give their residents better infrastructure to shelter in place.
Facts Don’t Support Argument
Congress for New Urbanism journal editor Rob Steuteville’s Facts Don’t Support the Density is Dangerous Narrative was the first data I saw on the topic. Two comparisons that were particularly telling were:
• Suburban Montgomery County, PA v. Philadelphia, PA. As of Friday April 3, the county had one case per 2,924 people where Philadelphia had one case per 3,940 people. So Montgomery County had a greater infection rate, yet it has one-seventh the density.
• In New York City infection rates in Stanten Island were approximately the same as Manhattan—with 8.5 times the density.
I’ve taken quotes from a few more studies that may be helpful in assuaging our neighbors’ fears that further density in their neighborhood may fuel pandemics.
Density Is Not Destiny
Vancouver, BC is nearly 3x denser than Portland, OR, but it had a lower rate of infection–45 v 54; Seattle, which is about half as dense, had a rate of 205. Photo: Global News
In Density is Not Destiny: Covid in Cascadia in City Observatory Joe Cortwright states “Vancouver [BC] is in the same region, and roughly the same size as Portland and Seattle. It is far denser, and yet it has performed the best of the three in fighting the spread of the Corona virus. It should be pretty compelling evidence that density is not a determining factor of whether one is vulnerable to the pandemic or not..”
The New Face of Urban Density
In late April, San Francisco had only 1300 confirmed COVID-19 cases compared to 8450 in Los Angeles. Photo: AARP Guide
Liam Dillon, LA Times staff writer in Coronavirus: The New Face of Urban Density writes “At the same time, there’s lots of evidence that shows density isn’t destiny. . . “An analysis by New York University’s Furman Center found no relationship between the coronavirus and overall population density within New York City, with neighborhoods in Manhattan, the city’s densest borough, having some of the lowest infection rates.” “. . . The same is true for America’s next densest big city, San Francisco, which. . . [in late April] had reported only about 1,300 confirmed cases — compared with more than 8,450 in the city of Los Angeles.” The LA Times continues to track figures throughout the state and the ratio holds today.
Evidence from China
Some of China’s densest cities–Shenghai, Zhuhai (shown here), Shenzhen, Beijing and Tianjin–have managed to keep the lowest infection rates. Photo: Shutterstock
On a World Bank Blog, Wanli Fang and Sameh Wahba’s write in Urban Density Is Not the Enemy in the Coronavirus Fight: Evidence from China:
“. . .To find out whether or not population density is a key factor in the spread of the coronavirus, we collected data for 284 Chinese cities.” They found that China’s densest cities tended to have the lowest infection rates. They surmised that “Higher densities, in some cases, can even be a blessing rather than a curse in fighting epidemics. . .For instance, in dense urban areas where the coverage of high-speed internet and door-to-door delivery services are conveniently available at competitive prices, it is easier for residents to stay at home and avoid unnecessary contact with others.”
Crowding Is Dangerous and New Zoning Policies Will Help
The NYU Furman Center study and the China study too, did find that the virus is more prevalent in areas where more people are crowding into homes—say six people into a two-bedroom apartment. So it’s CROWDING that is dangerous, not density.
Crowding exists in Portland too, BUT rarely in the neighborhoods where neighbors are expressing the greatest concern. Adopting the housing policies under discussion: Expanding Opportunities for Affordable Housing and Residential Infill Project and Re-adoption of Central City 2035 will likely help to lessen, not exacerbate, such over-crowding in the Portland lower-income neighborhoods that currently experience it.
There is abundant evidence that density is NOT dangerous! In fact, denser communities give their residents better infrastructure to shelter in place. Regardless of whether you support proposed infill housing policies or not. I hope you will continue to educate yourselves! Please study the facts!
———————
Mary Vogel, CNU-A/PlanGreen consults on climate resiliency and climate justice. She is also co-founder of Portland, OR Small Developer Alliance, a group related to CNU and the Incremental Development Alliance. She welcomes your response to this blog.
Missing Middle Housing Since the 1700’s
May 22, 2018 I just returned from the 26th Annual Congress of the Congress for the New Urbanism in Savannah, GA where I took the opportunity to go on the “Missing Middle Housing: Found!” walking tour with Savannah architect, Eric Brown, his two young staff members and about two dozen Congress attendees. It was revealing!
As a city that has preserved a great deal of its 285-year history in its buildings and neighborhood layout, Savannah (founded 1733) is an ideal place to understand how what we now call “Missing Middle Housing” was an integral part of the development of our towns and cities in this nation since the 1700s. Duplexes, triplexes, fourplexes along with carriage houses and lane houses coexisted nicely beside single family homes and mansions.
Since the current top priority of the Portland Small Developer Alliance is to get fourplexes allowed as a use by right in all Portland neighborhoods, I will focus on fourplexes first. I believe the images speak for themselves but do read the captions!
This fourplex with 2-way shared stoops was built as worker housing. It fits in well with the mix of homes, including single family, on this well-landscaped street. Photo by Mary Vogel/PlanGreen.
This is the same street as the previous photo. The grey/blue building in the background is also a fourplex–with each entry having its own stoop. It has Single Family homes on either side. Photo by Mary Vogel/PlanGreen.
This series of four row houses seemed common in the 1800s when these were built. They are each painted a separate color and at least one has a canopy over the stoop. Each have English Basements that are often rented out separately. Photo by Mary Vogel/PlanGreen.
While many of Savannah’s row houses from the 1800s came in sets of four, some are in sets of three–as illustrated below. I’m calling this a triplex!
This series of three row houses, while part of one structure, are sold separately as fee simple–as are the fourplex row houses above. They may have been workers housing for the staff of the elegant Single Family home next to it on the left. Photo by Mary Vogel/PlanGreen.
The realtor is advertising this structure as three floors–implying that each could be separate units. The bottom floor is used for a business (a day spa). And the flogs make it appear that there may be separate households sharing the other two floors. Photo by Mary Vogel/PlanGreen.
Duplexes were somewhat common too. They came in a variety of forms.
These duplexes with English Basements are being sold by different realty companies. This corner lot structure first appeared to be one large single family home. Photo by Mary Vogel/PlanGreen.
Another duplex that first appears to be a single family home. Note the difference in setback from the structure on the left. Photo by Mary Vogel/PlanGreen.
This double row house has substantial English basements that are often separately occupied–offering rental income or business space for the owners. Photo by Mary Vogel/PlanGreen.
Some of the row houses had simple signs about original ownership. I was surprised about how many seemed to be built for women. Photo by Mary Vogel/PlanGreen.
I talked to the current occupants of this home, originally built for Margaret Dibble. The woman of the couple had served many years on the neighborhood association board and was excited that CNU was in town. Although the siding of this home is different, it shares a wall with the Bridget Carey house. Photo by Mary Vogel/PlanGreen.
Although many of the English basements serve as ADUs, I found this one off a courtyard that appeared to be a shared space.
There appear to be two apartments off of this enchanting shared courtyard. Photo by Mary Vogel/PlanGreen.
This corner single family home has a carriage house in the rear–a lovely accessory dwelling unit or ADU. Photo by Mary Vogel/PlanGreen.
It appears that a second story was added over an original carriage house. Today, the upper story has a separate entrance, leaving one to believe that it holds two small apartments. Photo by Mary Vogel/PlanGreen.
Apartment buildings were an occasional part of the scene too.
This small apartment building was the only place I saw off-street parking on my tour–and that was likely added afterwards as the building probably had neighboring structures that were torn down to make way for it. Photo by Mary Vogel/PlanGreen.
I saw a number of drivers parallel park on the street while I was taking these photographs. They did not appear to have been circling to find a place as there were empty places on the street–even though I was photographing during “rush hour”.
I hope that the above images make a compelling case that fourplexes, triplexes, duplexes, ADUs and small apartment buildings can fit nicely into a neighborhood. They were certainly part of our early historic heritage–a heritage that I hope we will learn from as we now make single family-only neighborhoods a part of our history–a part of our history that has proved unsustainable. Let’s give our young people the opportunity to share our close-in walkable neighborhoods with housing prices that allow them to thrive. Let’s give our small developers the opportunity to build in ways that make sense for our current desire for 20-minute neighborhoods. The survival of our planet may depend upon it!
FOR PSC COMMISSIONERS READING THIS POST
The following is an amendment proposed by Portland Small Developer Alliance that we would like you to sponsor:
PSC Proposed Amendment to RIP
Allow four housing units on all residentially-zoned lots, by right, if within walking distance along a continuous pedestrian network to transit. Four units is considered by the Federal Housing Administration for mortgage lending to be a “house.” It is common sense to synchronize our zoning regulations with existing federal policy and definition. Given the high cost of land and development in Portland, new single-family houses on full-size lots affordable to average residents cannot be built. Dividing up the costs of site acquisition, design, permitting costs, impact fees, construction, and lending by four units allows the resulting cost per new home constructed to be affordable to a middle-class Portland household. Unit counts have a tiny impact on the surrounding community compared to building scale; within the regulated size of new projects, we should allow more units. Allowing a fourth unit gives us the opportunity to make the units we build more affordable to more people while still maintaining the scale and character of the neighborhoods we all enjoy.
Residential Infill Project Needs Improvements
May 8, 2018
Residential Infill Project Testimony to Portland Planning and Sustainability Commission
I’m Mary Vogel of PlanGreen and Portland Small Developer Alliance. I work for the small developers pro bono because I want to see a world where young people have the same opportunity for a livable planet in neighborhoods of their choice that much of my generation has had.
Now, speaking for the group: Our focus is on providing housing opportunity in all neighborhoods across Portland, in a small-scale incremental way that fits in with the surrounding context. So the proposed Residential Infill Project has an immense impact on what we do.
We found that there are some major issues with the RIP proposal that fundamentally work against the stated goals of the project, and aren’t in line with how small-scale infill development works. On the screen are five areas we think are most important to improve before the RIP is adopted.
Number one:
On the left is the Dekum Charles, a fourplex by Woodsong Partners, that neighbors are happy to see in their neighborhood. http://dekumcharlescondos.com
This table shows what costs look like when you hold the land acquisition costs stable across four housing types. The fourplex at $360,000 is about a third what the single family home costs—a price far more manageable by the average Portland household.
Number two:
Pictured is Citizen Flats, another project by Woodsong Partners that neighbors asked about investing in–they liked it so much. http://citizenflatscondos.com
Please help us implement a market-based solution to HOUSING AFFORDABILITY that we had prior to the vast downzoning to SF of 1959—not just “AFFORDABLE HOUSING” that depends upon a subsidy that’s been shrinking for the last 50 years.
Here’s a link to the YouTube video of the first hearing, testimony begins at 2:25:00.
You can get more talking points to testify to the Planning and Sustainability Commission yourself on May 15 at http://pdxsmalldevelopers.org/news/.
PDX Climate Action Plan 2015 Needs Urban Design
June 24, 2015 Testimony of Mary Vogel, PlanGreen to Portland City Council
There is a great deal to like in the Portland/MultCo Climate Action Plan 2015 and I applaud it as far as it goes. But one of the things missing is attention to URBAN DESIGN not just Urban Form. It needs to include implementation actions on evaluating existing land use policies that shape urban design for impact on climate change. That mandate could be included on p. 80, Urban Form and Transportation Chapter under either Decision-Making or Planning Scenarios Evaluation.
Here’s one example! We need to change a policy that:
NW Townhouses w/short driveways and garages that dominate the sidewalk. The trees are on the wrong side of the sidewalk and offer no protection or additional shade to the pedestrian. They will not last long in their present location. Cars parked in these driveways will block pedestrian passage altogether. Photo by PlanGreen
Promotes private automobile use
Leads to less community interaction
Makes our sidewalks less safe and useable for pedestrians
This NW Portland sidewalk is partially blocked by this van. Note the driveway apron that usurps 1.5 public parking spaces on the street.
Displaces on-street parking spaces that make pedestrians feel safer
Usurps public parking space
Makes sidewalks less useable by pedestrians
This SW neighborhood street is adjacent downtown. It has the requisite off-street parking, but no street trees or landscaping to protect residents from the freeway above–or give them incentive to walk anywhere.
Disrupts the look and feel of the neighborhood
Displaces street trees that both protect and add comfort for the pedestrian
Displaces garden space that could be used to grow food
That is the requirement for off-street parking for every new house more than 500’ from a transit stop. Please make sure that a review of this policy and other existing policies is part of the Climate Action Plan. That will greatly strengthen the plan!
I’m adding a couple of examples that were not in my original testimony in order to show both the worst and best of Portland’s central city urban design with regard to parking.
I know you’re thinking this is the BACK of the property but its the FRONT on a street in one of the densest neighborhoods in Portland, OR–NW 24th Ave. Similar streetscapes are not uncommon in NW Portland.
Even Portland’s numerous graffiti artists don’t seem to find these garage doors compelling places for their art–even though the doors front a street in one of the densest and most popular neighborhoods in Portland.
Most pedestrians don’t find this wasteland a compelling place to be either. In fact, they cross the street in order to avoid them. How does such awful urban design continue to exist in one of the most popular neighborhoods in Portland?
This NW Pettygrove condo building w/garage has a single curb-cut and is an example of how off-street residential parking should be handled–if it is necessary at all.
Okay, we can keep some off-street parking. In really popular neighborhoods that folks from the suburbs flock to on evenings and weekends, residents with cars can really benefit from off-street parking. This 12 unit condo building with it’s single driveway and garage exists immediately adjacent another abomination like the one above at NW 23rd & Pettygrove in Portland. This building is an example of how off-street parking should be done–if it is done at all.
Let me know your thoughts! I will pass them on to Portland policymakers and planners.
Land Value Tax for Downtown Portland
Testimony given May 19, 2014 to Strategic Advisory Committee on the West Quadrant Plan
Neighbors in the West End portion of downtown Portland are tired of walking by block-long stretches of surface parking lots while some of our historic buildings are razed for redevelopment. One solution to this problem that the City of Portland should seriously consider is taxing land at a higher rate than buildings.
Taxing land and buildings at the same rate per square foot means that as long as you don’t put any buildings on your land, your tax bill is going to remain relatively low. If you’re a speculator, this means that you only need a modest amount of revenue from people driving into the city for work or to go shopping in order to sit on that land indefinitely. Or you might hold out until someone comes along offering your “pie-in-the-sky” price. Either way, the effect is to keep the land out of the hands of many of those with genuine interest in putting it to productive use.
By taxing land at or near its development potential, however, owners of land being used at less than maximum productivity would be paying a disproportionate amount in taxes in order to keep it that way.
Aside from the obvious goal of raising money to pay for public services, we levy taxes
- to discourage a particular behavior in favor of another (taxes on cigarettes and alcohol discourage consumption and thus promote lower health care costs), or
- because a given resource is scarce while demand for it is high (i.e., the gasoline tax).
But if the city is trying to encourage development—and to attract the 70,000 more downtown residents it seeks by 2030—it hardly makes sense to place the greater tax on development behavior.
A Good Illustration: The block between SW 11th & 12th and SW Taylor and Yamhill that the
Parking Lot at Rear of Medical Dental Building pays 5x less taxes/sf than the building.
Medical Dental Building at 833 SW 11th Avenue (built 1928) sits on provides a good illustration. It is a block with a 10 story commercial building, a 2 story parking garage and a surface parking lot.
When you look closely at the property tax bill for each, it becomes clear that the conventional property tax deters development and risk-taking.
- The surface parking lot spans 20,000 sf, and its owner pays $1.33 per-square-foot of land in annual property taxes to the city.
- The 1928 parking garage on the same block spans roughly half the area (10,000 sf), and despite the lot’s structural improvements, pays only a bit more than the surface lot in property tax —$1.37 per-square-foot of land.
- The Medical Dental Building (which occupies 10,000 sf of the block), however, pays $6.13 per-square-foot of land—a rate almost 5 times higher than the surface parking lot.
12 West pays 42-45x more than the parking lot diagonal from it.
An illustration that takes into account newer construction is the corner of SW 12th & Washington where 1227 SW Washington, aka 12 West (2009), is assessed $59.90 per sf of land compared to the surface parking lot diagonally across from it that is assessed only $1.42 per sf of land occupied[i]. 12 West has a tax liability that is 42x that of the surface lot.
Parking Lot Diagonal to 12West pays 42-45x less than 12West
This is completely backwards. From the city’s perspective, the Medical Dental building and 12 West are the best and most preferable uses of land in their respective locations, while the surface lot is the least. And yet, looking at the tax figures one would think exactly the opposite. By simply taxing land at a higher rate than improvements, owners would be motivated to maximize the productivity of land. Parking lots would still exist of course, but they would be condensed into above- or underground garages rather than surface parking lots. In this way, by removing the penalty for development, two-rate taxation is actually a form of economic stimulus.
But two-rate taxation is about more than encouraging dense urban development and reducing sprawl. As Rick and Walt Rybeck note in Break the Boom and Bust Cycle http://bit.ly/R1CPVm, two-rate taxation also addresses the root cause of the boom-and-bust cycle of the real estate market:
Higher land taxes discourage land speculation by making it less profitable. Prior to the Great Depression, there was a nationwide real estate boom and bust. Not surprisingly, land values in major U.S. cities declined drastically. Between 1930 and 1940, land values declined in New York, 21 percent; Milwaukee, 25 percent; Cincinnati, 26 percent; New Orleans, 27 percent; Cleveland, 46 percent; Los Angeles, 50 percent, and Detroit, 58 percent. But Pittsburgh adopted a two-rate property tax in 1914. As evidence that this reform reduces speculation, Pittsburgh’s decline in total land values was only 11 percent between 1930 and 1940.
After increasing the tax differential between land and building taxes in the late 1970s (land was taxed at a rate 5.77 times higher than buildings), Pittsburgh also saw significantly increased development activity at a time when most cities its size were experiencing declines.
There are obstacles to implementation. Current law requires state enabling legislation for the two-tier land tax that I am suggesting, but there are indications that Gov. Kitzhaber would favor that.
Appendix – from Portland Maps
833 SW 11th Ave. – Medical Building
$61,291.51 taxes on 78,148 square feet on 10,000 sf of land or $6.13 sf of land
| Market Value | $4,976,640.00 |
| Assessed Value | $2,542,330.00 |
837 SW 11th Ave. – structured parking lot
$13,751.20 taxes on 20,000 sf on 10,000 sf of land or $1.38 sf of land
| Market Value | $1,251,810.00 |
| Assessed Value | $570,390.00 |
804 SW 12th Ave – City Center Parking on SW 12th between SW Yamhill & Taylor
$26,664.86 taxes on 20,000 sf or $1.33 sf of land
[i] I was not able to easily find the taxes paid on the 3 parcels that make up this corner where a City Center Parking lot operates because Portland Maps just said “No address is avaialble.” So I used the tax figure for the grassy lot next to it at SW 11th & Washington which is $1.42 per sf. This figure is higher than that for the City Center Parking lot at SW 12th & Yamhill which is $1.33 per sf. If $1.33 per sf is used, then 12West is assessed 45 times more per sf than the parking lot.
I have been a friend of Rick Rybeck (cited above) and admired his work for a long time. But, I want to acknowledge that I borrowed the approach of looking at individual parcels and some of the language above from the Streets MN blog Tax Land, Not Buildings by Chris Keimig. Thanks, Chris!
Camas Council: Consider Trends Before You Decide!
Below is the Draft Testimony of Mary Vogel,CNU-A, principal of PlanGreen, regarding the Lacamas Northshore proposal that Carolyn Foster covered in her blog earlier in August.
I know that you are concerned with the city’s economy—in the long term, not just today. I suspect that you believe that the proposed master 
plan will help the city’s economy. But I want you to consider some future trends before you make up your minds.
Maureen McAvey, Senior Resident Fellow for the Urban Land Institute (ULI) in Washington, DC was in Portland last year to discuss the ULI publication “What’s Next? Real Estate in the New Economy“. The event notice read: A paradigm shift is unfolding over the course of this decade, driven by an extraordinary convergence of demographic, financial, technological and environmental trends. Taken together, these trends will dramatically change development through 2020. My notes indicate that McAvey said:
- More single-family homes are being occupied by renters, changing the feel and politics of suburban communities
- Seventy-five percent of households in the Portland area do not have children under 18
- 47 percent are non-families
- Twenty-somethings on tight budgets prefer places to congregate with friends — in parks, bars, restaurant clusters and building common areas — and can tolerate smaller living spaces.
Arthur C. Nelson, one of the nation’s most prescient housing market researchers, says declining homeownership, tighter lending standards, a sell-off of single-family houses by the nation’s fastest growing demographic — senior citizens—and even rising household sizes due to more multigenerational living will have an impact on the market you may be trying to attract with the single family home portion of the plan.
Nelson, professor of city and regional planning at the University of Utah, reports that the US faces a massive oversupply of large-lot single family houses and an undersupply of multifamily units. By 2020, Nelson sees 1.5 to 2 million homes from seniors coming on the market, and between 2020 and 2030, there will be a national net surplus of 4 million homes that they cannot sell. And Nelson believes those are conservative figures for what has been dubbed “The Great Senior Sell-Off.”
The 2009 American Housing Survey (AHS) found that 28 percent of houses are attached, 29 percent are detached on small lots, and 43 percent are detached on large lots. Three studies — by National Association of Realtors, the Robert Charles Lesser & Co. (RCLCo),
and Nelson — all found a nearly identical, imbalance in US housing supply and demand. Only 24 to 25 percent of Americans would prefer to live in large-lot single-family houses (see graph “Housing preference versus supply”).
Consequently, there’s an oversupply of approximately 28 million units in what developer, professor and author Christopher Lineberger calls “the drivable suburbs.” Attached housing and small-lot housing, on the other hand, are undersupplied — by about 12 million and 13.5 million units, respectively.
Source: RCLCo Consumer Survey
This imbalance is likely to grow in the years to come, reports Nelson. The generation that is currently moving into the housing market — Millennials — is the most urban-oriented cohort since World War II. Melina Druggall with RCLCo reported at a National Association of Home Builders conference in January 2011 that 81 percent of Gen Y renters want to live in an urban setting. (Wall Street Journal reported that number as 88% at that time and they were quoted in numerous sources such as Better Cities & Towns and Grist).
Ninety percent of the increase in the demand for new housing will be households without children, and 47 percent will be senior citizens (the latter resulting from the rising tide of Baby Boomers who started turning 65 last year). Both of these demographic groups—the Millennials and the Boomers—lean toward multifamily and away from large-lot SFH.
Referring to a recent National Association of Realtors (NAR) finding on percentage of households that prefer to live downtown or in mixed-use city or suburban neighborhoods, Nelson says “Back in ‘70s or ‘80s, people wanted drivable suburbs. Now 70 percent want to walk to discernable destinations, from transit to grocery stores. This wasn’t the case until recently.” Nelson believes the most popular locations will be mixed-use, walkable, transit-friendly neighborhoods.
This Lacamas Northshore master plan is being portrayed as both walkable and mixed-use, but the concept plan I’ve seen so far indicates to me that it is not. The zoning proposal shows a segregation of uses. Business parks, by their very nature, are drive-to! The single-family and the multi-family seem quite segregated from each other and all are segregated from the shopping area.
Rendering courtesy of NBBJ. Amazon Headquarters adjacent downtown Seattle, WA
As far as economic development is concerned, there is increasing evidence that the kind of high tech, light industrial firms that you hope to attract are choosing to locate near where their employees want to live. Consider the choice of Amazon to locate adjacent to downtown Seattle and Adobe Systems to locate in downtown San Jose.
I hope you will take into account the “extraordinary convergence of demographic, financial, technological and environmental trends” that ULI talks about before making your decision on this zoning change and the future development that it presages. I agree that a master plan with changed zoning is what is now most desirable for this area–but NOT the kind of segregation of uses we see in this plan. I urge you to delay approval of a zoning change–until you can get it right!