micro housing: who needs it?

ANDREW

Age: 25

Architecture

KAREN

Age: 27

Interiors

JUSTIN

Age: 29

Graphics

MicroHousing: Who needs it???

Luxury Housing

Student Residence

Halls

Affordable Housing

Living Gap

Market Rate Affordability

?

What we are seeing… • Increased housing demand • Production not keeping pace

What we need… Affordability for emerging workforce, small families, single income households, divorcees and retirees.

widows grads undergrads emerging professionals

service workers creatives divorcees seniors

today’s focus •  who needs it? •  what is micro-housing? •  how planning can help

Amsterdam experience

Micro-Housing: Who Needs It?

2013 Housing Report Card Database

Special thanks to Barry B and his team at the Dukakis Center for Urban and Public Policy

100%

50%

0%

Housing Child Care Food College Health Care

2005 – 2011 cost of living going up

Percent change from 2005 - 2011 Greater Boston Housing Report Card 2013 * SNEAPA data, percent change from 2000 - 2011

+ 14%

$

+ 16%

$

+ 28%

$$

+ 168%

$$

$$

$$

$$

$$

$$

+ 66%*

$$

$1500

$ 1000

$ 500

1990 2000 2010

1990 – 2010 Nominal rents going up

1990 – 2010 Data from Greater Boston Housing Report Card 2013

Up 80% $642 /month

$786 /month

$1160 /month

2009 – 2013 Home prices going up

Single Family Home

+4 % +4%

Condominium

Annual Median Prices for Greater Boston Metropolitan Area p.41 Greater Boston Housing Report Card 2013

+ 46%

Double & Triple

Deckers

50%

25%

0%

+15%

0%

-15%

2000 – 2011 Incomes stagnating/declining

Home Owner Income

+ .9% -13.1%

Renter Income

2000 – 2011 Median Income Greater Boston Metropolitan Area p.20 Greater Boston Housing Report Card 2013

Housing Cost Burden

Over 25% are paying more than 50% of their income on rent

1990 – 2010 p.20 Greater Boston Housing Report Card 2013

Greater Boston Demographics: 1 in 3 are between 20 and 34 years old

1990 – 2010 p.20 Greater Boston Housing Report Card 2013

20-34 yrs 33%

Over 40% are over 45 years old

45-64 yrs 27%

+27% in 10 years

65+ yrs 13%

2011 Data p. 20 Greater Boston Housing Report Card 2013

We need buildings with

elevators...

Nearly 40 % are single person households

2011 p.20 Greater Boston Housing Report Card 2013

Do I want roommates?Not really...

More small households, fewer children

16.9% Single living with others

37% Live alone

25.3% Families with no children under 18

23.2% Families with

children under 18

2011 Data p. 20 Greater Boston Housing Report Card 2013

Over 75% don’t live with children

Greater Boston housing supply Postwar

neighborhoods built for much larger families

City of Boston 272,000 units

* 2007-2011 American Community Survey, Greater Boston 5 county data

1 Bed 25.8%

2 Bed 34.2%

3 Bed 22.5%

4+ Bed 10.8%

Studio 6.7%

More than 2/3 are

larger units

Figure 10: Share of Housing Units by Number of Bedrooms 2008-2012 Source: American FactFinder – 2008–2012 American Community Survey

Greater Boston – 1.4 million units

3 Bed 33.6%

4+ Bed 22.9%

Studios are only 2.1%!


More than 80% are 2 Beds or above

City of Newton – 32,344 units

3 Bed+ 65%

2Bed 23%

Studios are only 1%!

* 2008 -2012 American Community Survey, Newton data

More than 87% are 2 beds or above

1 Bed 11%

Newton 2030 : Change by age Seniors increase every

decade

* MAPC Projection Data

Newton 2030 : Change by household size

* MAPC Projection Data

seniors widows

We need smaller units for moderate income groups!

divorcees inno workforce

service workers creatives grads undergrads

Resulting in a pressing shortage

Effects of small unit shortage

Students & emerging professionals

2x rent

I’d like to live alone

* 50% undergrads and 80% graduate students live in market-rate housing, data from Dukakis Institute

Family

Priced out

Widows and seniors

I want to downsize

Can’t move

Family

Effects of small unit shortage

Price wars

2x rent

Baby boomers Lots of college debt

Leaving suburbs for city

Millennials & couples

priced out

Increase the inventory of small units within the City of Boston


1 Bed 25.8%

2 Bed 34.2%

3 Bed 22.5%

4+ Bed 10.8%

Studio 6.7%

Adding 30,000

studios is only 10%

What is micro-housing?

Below the minimum

500 s.f. 750 s.f. 900 s.f.

BOSTON UNIT SIZE Studio 1-BR 2-BR

‘METRO UNIT’ 450 s.f. 625 s.f. 850 s.f.

Rent at $4 per sf per month $ 2000 $ 3000 $ 3600

Micro 300 s.f. $ 1200

$2000/mo is 60% of a person’s income making $50,000/

year

ADD Inc research initiative

Proprietary Research Studies

How small would you go to live in Boston? 250 SF?

450 SF?

Design and price matter more than quantity of space


What would you share?

WE DON’T COOK THAT MUCH


How about multi-functional furniture?


What kind of common space?

• Small lobby/party space

• Laundry • Outdoor space with bbq grills

We don’t need much!


Prototype 300 s.f Unit

Ma. Building Code (2009 IBC) mandates

220 s.f. occupiable floor area

WHATS IN 2012 FULL SCALE MOCK-UP

MOMU

172 units in 3 projects

KAREN

Units at 425 sf 450 sf 350 sf

Innovation District

380 s.f. studio

service workers

Divorcee/ widowers

Innovation workforce

Studios address priority

populations

275 Albany Street, South End, Boston

399 Congress - Micro Studio with sleeping niche

330 sf

1350 Boylston Street Units

440 sf Studio

Compact 1 bedrooms

550 s.f.

seniors couples divorcees

Harvard Square Micros

500 sf 1 BR

K

LR

BR BATH

w

s

500 sf 1 BR

1+ bedrooms too!

Today’s families

680 s.f.

710 sf 1 BD + Den

1350 Boylston Street Units

How planning can help

Multi-family master plan zones near transit

1.  Density incentives for smaller units

2.  Expedited permitting for more low & middle income

units (deed-restricted)

3.  Reduced parking ratios

4.  Reduced infrastructure improvements (open space,

traffic mitigation, stormwater, etc.)

Educate your town

Data is compelling

So is design!

Your ideas?

micro housing: who needs it?

Real Estate