1. Growth Management & Multi-Family Housing
Town Council Workshop December 14, 2016
Growth Management & Multi-Family Housing

2. Scarborough’s Growth Management History
The History – Rapid Single-Family Housing Growth

3. Impacts of Growth
New SF homes w/ school-aged children overburdening existing school facilities
Late ‘90s/early ‘00s – Middle School & High School acute capacity issues
Lead to major H.S. addition, modulars at M.S., Wentworth, and Eight Corners
Other municipal service & building stresses create growing pains in variety of departments

4. Strategic Tools Control Pace of New Housing
2001 – Est. Growth Management Ordinance
Moderate pace of housing development – particularly housing contributing to school & service capacity issues
Establish Impact Fees & Mitigation
School Impact Fee on New Housing (varies based on unit type & impact)
Traffic Impact Fees (‘95, ‘06, ‘11)
Other Development Requirements

5. Growth Management Ordinance: Key Points
Establishes “Annual Allocation” of 135 Growth Permits
Limits individual developments to 20% of annual allocation
Directs housing to growth areas (max. of 50 available for limited growth areas)
Includes “Reserve Pool” of Permits - Special Projects:
Developments using incentives (affordable housing & dev. transfer)
Affordable housing projects
Contract zones & previously approved projects

6. Growth Management Track Record

7. Growth Management Track Record

8. Impact Fee – Track Record
$3.9 Million in School Impact Fees collected & used for debt service since 2001
Transportation Impact Fees:
Payne Rd/114 Area $2.6 Million
Dunstan Corner $590,000
Oak Hill $365,000
Haigis/Route 1 $215,000
Recreation Contributions – open space donations, fees to fund neighborhood parks etc.

9. Housing Dynamics
‘06 Comprehensive Plan – identified housing types, choices & diversity as high need
Zoning followed – allowing housing variety in types, sizes, neighborhood styles & settings
Housing market, lifestyles & economics – driving demand for housing diversity & MF living
Millennials, singles, empty-nesters – interested in 1 & 2 bedrooms, attached housing & rental
Developers are responding

10. Zoning has Matched Demand
Diversity of MF projects –
MF in mixed housing /use projects
Avesta – affordable MF & historic preservation
MF for independent elderly
High-end MF
MF in commercial areas

11. The Reserve Pool GM Ordinance Reserve Pool – 215 Permits
Exists for special projects & zoning incentives
Intended for projects that don’t work under annual allocation
Hasn’t been in demand
Now in demand
Council to monitor & replenish

12. Reserve Pool Considerations
We’ve zoned for these projects
Majority of approved & pending MF projects – qualify for Reserve Pool permits
Forecasted school & municipal demands – can inform treatment under GM Ordinance
Likely valuations key factor
Economic Development inter-play

13. School & Municipal Services
Studio & 1 bedroom units = avg. 1.2 people
2 bedroom units = avg. 1.8 people
10% or less occupied by school-aged children
School Facilities - Low contributor to school population & pay impact fees
Public Works – Private development sites w/ private maintenance – low demands
Public Safety – Will vary by project type –
moderate demands

14. School & Municipal Services
Community Services – Will vary by project – open space contribution & fees thru PB
Transportation – Traffic less than commercial – impact fees & off-site improvements per PB review
Traffic Peak Hr. Comparison
Office = 2.1 Trips / 1000 SF
Retail = 10.7 Trips / 1000 SF
SF Dwelling = 1.1 Trips / Unit
MF Unit = 0.65 Trips / Unit

15. Valuation Recent sale of older complexes = $160K/unit
Projects proposed for HPZ generate similar values to commercial development
Former Gateway Square could generate $27 to $45 million in valuation
Positive ROI

16. MF as Economic Development Catalyst
Creates interest & activity in development corridor
Generates taxable value similar to commercial development
Attracts workforce to Scarborough & region
Creates opportunities for transit
Sparks demand for goods & services

17. Summary
GM Ordinance – Exists to pace housing construction to moderate impacts on school facilities & municipal services
Zoning has allowed for range of housing types, styles & choices – development community responding to market & zoning
1 & 2 bedroom MF development – like office-style commercial development in value, low to moderate service demands & positive ROI
Reserve Pool – Exists for MF type projects outside the annual allocation - if replenished

18. Next Steps
MF Project Expected thru Contract Zoning – proposal for high-end MF project at former Gateway Square site
December 21st TC Meeting
Consider Increasing Reserve Pool Permits – to accommodate qualifying approved & proposed MF projects
January TC Meetings
Provide Follow Up Analysis & Response to Questions
Ongoing