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Boston Globe
25-04-2025
- Business
- Boston Globe
Massachusetts needs more affordable housing, study says. Lots of it.
The figure makes clear the bleak reality: the state's affordable housing system is no longer a reliable safety net. It is a rare commodity awarded only to a lucky few who, in some instances, quite literally 'The reality is that we need thousands and thousands more units of affordable housing for people of every income, every household size, in every place in Massachusetts,' said Jessie Partridge Guerrero, director of data services at the Metropolitan Area Planning Council, which wrote the report with Housing Navigator Massachusetts, a nonprofit that created a statewide centralized affordable housing waitlist. 'It's not necessarily shocking information, but the scale of that number certainly puts into perspective how far away we are from solving this problem.' Unsurprisingly, the state's 'affordability gap,' as researchers describe it, is the worst for the state's poorest residents. Advertisement Of those 441,000 households who qualify for affordable housing but can't access it, some 44 percent are considered extremely low-income, meaning they make 30 percent of the area median income — in Greater Boston that's $48,950 for a family of four — or less. Advertisement Those residents qualify for the government's deepest affordable housing subsidies such as The Stone Mill Lofts in Lawrence, an old mill building converted into energy-efficient affordable housing. David L. Ryan/Globe Staff The result is families who end up paying huge portions of their income toward rent, or endure overcrowded apartments, illegal or unsafe units, or in extreme cases, homelessness. For families who earn just a little more — 'very low income' households between 30 and 50 percent of the AMI — there are even fewer resources, the report found, because most state and federal programs target either the poorest residents or middle income earners, not anyone in between. Section 8 and public housing are designated for the state's poorest families, and the popular state affordable programs Chapter 40B and inclusionary zoning typically build units for people earning 80 percent of AMI. The people in between, 30 to 50 percent AMI earners, make too much money for public housing, and too little for inclusionary zoning units. The result is that 81 percent of those households do not live in affordable housing, the report found. 'We call it the missing middle,' said Jerome DuVal, executive director of Housing Navigator. 'We have programs for people earning more than them, and programs for people earning much less. But in this push to build more, we've missed some folks who need an affordable home.' And while the state has a shortage of affordable units for families, the greatest need is for homes that can house 'small households' with one or two members. That, the reports' authors say, is at least a positive note, because those homes are smaller, cheaper, and easier to build. Advertisement The underlying problem is that the state has not built nearly enough affordable housing in recent decades. At the same time, the price of market-rate homes has soared, and 'naturally occurring affordable housing' like older triple-decker units that rented for cheap, have been flipped, upgraded, or simply had rents raised. Classic three-deckers and other small multi-family buildings, which have long provided a stock of relatively affordable rental housing in Eastern Massachusetts, have in recent years been increasingly converted to more expensive for-sale condos. David L. Ryan/Globe Staff And income growth has not kept up with the pace of housing price growth, meaning more people than ever qualify for affordable housing. The aim of the report, said DuVal, is to encourage state policymakers to consider solutions to the state's deep housing shortage will stimulate building for people at all income levels. Simply building market-rate housing, while important, won't provide immediate relief for the people who need it the most. 'The urgency to build a lot more housing is real,' said DuVal. 'But we want to make sure that its not just about more. It's also about ensuring we build the right kinds of housing for the right people in the right places.' Andrew Brinker can be reached at
Boston Globe
11-04-2025
- Business
- Boston Globe
The state is buying equity in multifamily housing projects, starting in Milton
The administration (The city of Boston, meanwhile, is splitting $100 million to spark housing construction between the MassHousing program and Boston Housing Authority work.) Advertisement 'We have so many projects that are permitted, ... that are ready to go, but can't pencil out from a financing perspective,' Driscoll said. 'They're sitting on the bench. This tool, for us, is to get those projects off the bench.' Advertisement Driscoll said she's hopeful MassHousing can attract pension funds, universities, or philanthropies to invest alongside the state in these projects. 'We want this to be contagious,' Driscoll said. 'We want to grow the funding tool.' To Corcoran president Sean McReynolds, the roughly $50 million East Milton project probably wouldn't be starting next month without the state support. The project is going up via the state's Chapter 40B law, which allows denser development in return for a certain amount of affordable units (though this project did receive pushback from neighbors over its size). Twenty-three of the apartments will be income-restricted. The $30 million loan from MassHousing and Berkadia, with funds from mortgage buyer Freddie Mac, will be used to buy out an existing construction loan within three years, and the $5 million in equity will buy out Fidelity Investments for its stake on a similar timetable, he said. Eventually, the state would be paid back, likely in 13 years. 'It's a huge relief,' McReynolds said. 'It provides the project the needed long-term financing. ... Given the turmoil or turbulent times we have with tariffs and interest rates, ... we certainly needed this.' This is an installment of our weekly Bold Types column about the movers and shakers on Boston's business scene. Jon Chesto can be reached at
Boston Globe
04-03-2025
- Business
- Boston Globe
Zoning laws aren't the only reason for the housing shortage
Advertisement It may well be appropriate for the municipal government to favor corporate growth over the chosen lifestyle of its suburban neighbors. But I think Boston's leaders should at least acknowledge the economic trade-off they are making and whose interests they are furthering — blaming local zoning regulations doesn't just benefit the family who can't afford the rent in Boston, as deserving as they undoubtedly are. Get The Gavel A weekly SCOTUS explainer newsletter by columnist Kimberly Atkins Stohr. Enter Email Sign Up Rev. John E. Hickey Cambridge Fewer people, less competition What's the worst problem caused by the Massachusetts housing shortage? People sleeping on the streets? People who can't afford to feed their kids after they pay the rent? People crowded into unsafe quarters? No, according to the editorial, the worst problem posed by the housing crisis is that people leave the state. Why? What's wrong with people leaving? On the contrary, people leaving the state brings us closer to a solution. Every family that leaves is one fewer family that competes for scarce housing. Ken Olum Sharon You're asking the wrong question The editorial on housing is accurate in describing the nature of the problem: No, homeowners in Massachusetts do not need 2-acre lots. However, the question itself ('Do homes really need 2-acre lots?) is flawed. There is no 'need' for lots of that size. But that is not the issue. Inherent to the American dream is freedom of choice. The question is this: Should people have the freedom to live on a 2-acre lot? Advertisement John J. Sudol Andover Build more housing, but towns need more say Most Massachusetts residents agree that we need more housing — and fewer 2-acre lots. However, to make that happen democratically, the towns, state government, and developers need to work together. Unfortunately, the intense pressure for new housing is preventing a democratic process. Towns make the following claims: ▪ The new MBTA Communities Act, a law requiring cities and towns to develop multifamily housing near public transit, is an unfunded mandate, according to the Massachusetts state auditor. And some towns claim the law's restrictions on town zoning by-laws is unconstitutional. ▪ There is unequal compliance; affluent towns have more leverage to fight the law than towns threatened by loss of state grants. ▪ An older Massachusetts state statute, Chapter 40B, can potentially hamper negotiations between towns and developers. In towns where less than 10 percent of the housing stock is affordable, developers can bypass town zoning laws as long as at least 20 to 25 percent of the resulting units are affordable. In some cases, this could hinder towns' abilities to preserve their character. ▪ Increasing a town population too fast means local governments may struggle to guarantee there are adequate services in place, such as the police, fire department, and schools. ▪ Many find the new apartment complexes to be huge, unattractive, industrial-looking buildings. They might be financially appealing to developers but are uncomplimentary to New England towns. Massachusetts, please listen to your constituents. While most towns have agreed to build housing, they would like more say in how it happens. Unfortunately, the state isn't listening. In my opinion, the state is being alarmingly unfair. Advertisement Constance Mannal Ashland
