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Ordinances and Resolution Adopted at December 15, 2009 Council Meeting:
O-4222 - Revisions to affordable housing and development incentive regulations. Effective April 1, 2010.
O-4223 - Amending KMC Chapter 5.88 regarding multi-family housing property tax exemption. Effective April 1, 2010.
O-4224 - Relating to Transportation and Park Impact Fees and amending KMC 27.04 and 27.06. Effective April 1, 2010.
O-4225 - Relating to sewer capital facility charges and amending KMC 15.12. Effective April 1, 2010.
R-4790 - Intent to designate residential targeted areas and providing notice of a public hearing.
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View past meeting information here.
View a summary of the proposed code amendments
here.
View a
list or
map of zoning designations that would be affected. Click
here to review the Kirkland Zoning Code.
Project Background
Even though the economy is slow and housing prices have recently declined, the cost of housing is still beyond the reach of many families. In response to this, the City Council requested that staff and the Planning Commission study code amendments that would ensure that affordable units are constructed in the City of Kirkland.
In May 2004, the City Council adopted a package of incentives to promote more affordable housing. These incentives include the ability to build more housing units, site development flexibility, tax exemptions and fee waivers for projects that include some affordable housing units in market rate housing developments. They are available in multifamily zones with density limits. More recently, the ability to access significant height increases was adopted in exchange for development of affordable housing units as part of the Totem Lake and Rose Hill business district rezones. The TL 10B and RH 2B zones are examples of the height increases available if 10% of residential units are affordable.
Little residential development has occurred in the zones where the affordable housing incentives are in place and only a few projects have taken advantage of the incentives. This project will look at the feasibility of requiring affordable housing as part of market rate multifamily developments by providing increases in development capacity and other incentives in exchange for providing affordable units.
What is Affordable Housing?
Housing is considered “affordable” when the monthly cost of housing does not exceed 30% of the monthly income of the parties paying for the housing. This standard is often applied when determining the amount that can be borrowed to finance the purchase of a home. The median (or average) income for a single person in King County in 2009 is $59,010. It is $84,300 for a family of four. The following chart shows what affordable rents and sales prices would be at various levels of median income, based on 2009 median income for King County.
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50% Median |
60% Median |
70% Median |
80% Median |
100% Median |
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Single Person
(Studio) |
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Income |
$29,505 |
$35,406 |
$41,307 |
$47,208 |
$59,010 |
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Affordable Rent |
$701 |
$848 |
$985 |
$1,143 |
$1,438 |
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Affordable Sales Price* |
$91,450 |
$114,500 |
$137,500 |
$160,550 |
$201,050 |
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Family of 4
(3 Bedroom) |
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Income |
$42,150 |
$50,580 |
$59,010 |
$67,440 |
$84,300 |
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Affordable Rent |
$961 |
$1,172 |
$1,367 |
$1,593 |
$2,015 |
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Affordable Sales Price* |
$128,950 |
$161,850 |
$194,750 |
$227,650 |
$285,550 |
*Affordable Sales Price assumes: 10% down payment, 30 year fixed mortgage at 5.5%
Why Does the City Care if Affordable Housing Exists?
King County and all the cities within it are required to adopt Comprehensive Plans under the Growth Management Act. Housing is one of many elements that must be included in the Plan. The City is assigned a growth target for new housing as part of the Countywide Planning Policies process, as well as a target for affordable housing. Kirkland’s Housing Element includes the following goals from the Countywide Planning Policies:
- Twenty-four percent of growth in new households affordable to low income households (earning up to 50% of the King County median); and
- Seventeen percent of growth in new households affordable to moderate income households (earning between 50% and 80% of the King County median).
The market and other policies of the City have been moderately successful at providing rental housing affordable to moderate income households. However, the City has never achieved its affordable housing goals.
The City Council has also stated a vision that those who work in Kirkland should have an opportunity to live here. Approximately one third of the jobs in the City in 2008 were lower paying retail and service sector jobs. The Salaries by Job and Comparison to Income Needed to Afford Housing shows salaries for a variety of jobs in the Seattle-Bellevue-Everett Metropolitan Statistical Area and how they compare to median income, as well as how they compare to the cost of rental and for-sale housing.