Montgomery County Rental Housing Study: Neighborhood Assessment June 2016
Montgomery County Rental Housing Study: Neighborhood Assessment June 2016
COUNTY RENTAL
HOUSING STUDY
NEIGHBORHOOD ASSESSMENT
June 2016
AGENDA
Next Steps
WORK COMPLETED
Socioeconomic Analysis
Rental Housing Supply Analysis
Rental Housing Demand Analysis
Affordability Analysis
Model Neighborhood Assessment
TABLE OF CONTENTS
Introduction
Goal of Assessment
Data Utilized
Glossary of Terms
Existing Conditions
Methodology and Approach
Results of Assessment
Next Steps
DATA UTILIZED
Source
ESRI Business Analyst Online
ESRI Business Analyst Online
ESRI Business Analyst Online
ESRI Business Analyst Online
ESRI Business Analyst Online
ESRI Business Analyst Online
ESRI Business Analyst Online
ESRI Business Analyst Online
U.S. Census Bureau, ACS 5-year Estimates
U.S. Census Bureau, ACS 5-year Estimates
U.S. Census Bureau, ACS 5-year Estimates
U.S. Census Bureau, ACS 5-year Estimates
U.S. Census Bureau, ACS 5-year Estimates
Description
Total Population
Total Households
Average Household Size
Average Family Size
Median Age
Age 65+
Median Household Income
Per Capita Income
Population Growth (2010-2014)
Median Gross Rent
Average Renter Income
Percentage of Renter Households
Cost Burden
Date
2015
2015
2015
2015
2015
2015
2015
2015
2014
2014
2014
2014
2014
Data Provider
APD Urban Planning and Management
APD Urban Planning and Management
APD Urban Planning and Management
APD Urban Planning and Management
APD Urban Planning and Management
APD Urban Planning and Management
APD Urban Planning and Management
APD Urban Planning and Management
APD Urban Planning and Management
APD Urban Planning and Management
APD Urban Planning and Management
APD Urban Planning and Management
APD Urban Planning and Management
2014
2014
U.S. Census Bureau, ACS 5-year Estimates; U.S. Census Bureau, Center for
Economic Studies Longitudinal Employer-Household Dynamic
Montgomery County Planning Department
Montgomery County Planning Department
U.S. Census Bureau, ACS 5-year Estimates
U.S. Census Bureau, ACS 5-year Estimates
U.S. Census Bureau, ACS 5-year Estimates
Montgomery County Planning Department
Montgomery County Planning Department
APD Urban Planning and Management
Montgomery County Planning Department
Montgomery County Planning Department
U.S. Census Bureau, ACS 5-year Estimates; DHCA Rental Single Family Units
Job-Housing Balance
Proximity to Existing Public Transit
Proximity to Future Public Transit
Public Transit Commuters
Average Travel Time
Lack of Vehicle Availability
Limited Access to Transit
County Land Availability
Underutilized Parcels
Vacant Parcels
Public Amenities
Rental Units by Threshold
2014
2015
2015
2014
2014
2014
2015
2015
2015
2015
2015
2014
U.S. Census Bureau, ACS 5-year Estimates; DHCA Rental Single Family Units
2014
U.S. Census Bureau, ACS 5-year Estimates; DHCA Rental Single Family Units
U.S. Census Bureau, ACS 5-year Estimates; DHCA Rental Single Family Units
2014
2014
U.S. Census Bureau, ACS 5-year Estimates; DHCA Rental Single Family Units
U.S. Census Bureau, ACS 5-year Estimates; DHCA Rental Single Family Units
U.S. Census Bureau, ACS 5-year Estimates; DHCA Rental Single Family Units
2014
2014
2014
GLOSSARY OF TERMS
Affordability
Cost Burdened
Neighborhood
METHODOLOGY AND
APPROACH
APPROACH
Define
Identify
Select
Analyze
TYPOLOGY ASSESSMENT
DEFINE
IDENTIFY
SELECT
ANALYZE
10
DEFINE
Established Suburbs
11
12
13
14
15
16
Average Renter Income A developer would look at median renter income to determine if an area can absorb affordable or market rate units.
Percentage of Renter
Households
Cost Burden
Percentage of MultiFamily Rental Units
Percentage of SingleFamily Rental Units
Jobs-Housing Balance
Proximity to Existing
Metro Red Line
Proximity to Future
Public Transit
Public Transit
Commuters
Average Travel Time
A developer would target areas with a high percentage of renters for new development.
High cost burdened areas suggest a need for affordable housing.
A developer would look at concentrations of rental units or housing to determine if an area demands rental housing.
Areas that have existing concentrations of non-owner occupied housing could be identified for affordable rental units.
Accessibility and proximity to employment is an important factor for households seeking affordable rental housing. Rents may
be lower the further you go into the suburbs, but higher transit costs can still make those areas more expensive places to live
for employed residents.
A developer would consider walkability as a consideration in developing affordable rental housing near the existing Metro Red
Line.
A developer would consider walkability as a consideration in developing affordable rental housing near the Future Purple Line.
Areas in Montgomery County that see a high usage of public transit can be helpful in identifying areas that demand affordable
housing.
Longer commute times may indicate a demand for affordable housing near job centers.
Lack of Vehicle
Households without vehicles is one of many indicators of lower income households.
Availability
Limited Access to
A renter seeking affordable housing would be more inclined to seek housing in communities that have transit options.
Transit
County Land
Availability of non park County owned land as an asset to delivering affordable housing projects.
Availability
Underutilized or Vacant A developer seeking to build new housing would search a community for underutilized parcels that have potential for higher
Parcels
density.
The presence of public amenities within the neighborhood (parks, schools, hospitals, libraries) is an important factor16when
Public Amenities
developing housing. Additionally, potential tenants would want to see these amenities near their homes.
Description
Population growth between Census 2010 and 5-Year ACS Estimates (2009-2014) within identified
geography
Average gross rent within identified geography
Jobs-Housing Balance
ESTABLISHED SUBURBS
(KENSINGTON)
CONCENTRATION OF EXISTING
RENTAL FACILITIES
(GERMANTOWN)
NEIGHBORHOOD
ASSESSMENT
FUTURE PURPLE LINE LONG BRANCH
EXISTING METRO LINE NORTH BETHESDA
ESTABLISHED SUBURB KENSINGTON
CONCENTRATION OF EXISTING RENTAL HOUSING - GERMANTOWN
19
LONG BRANCH
(FUTURE PURPLE METRO LINE)
20
21
Source: ESRI, 2015
22
RENTAL TYPOLOGY
LONG BRANCH (FUTURE PURPLE LINE)
RENTAL UNITS BY THRESHOLD
Income
Threshold
$28,900
$48,150
$61,650
$96,300
$115,560
N/A
Rent
Threshold Total
$723
$1,204
$1,541
$2,408
$2,889
N/A
Supply
99
1,700
630
111
24
Share of
Total
3.9%
66.1%
24.5%
4.3%
0.9%
0.2%
2,570
100.0%
23
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
24
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
26
1-person household
28.8%
7-person household
3.8%
2-person household
26.4%
6-person household
2.7%
5-person household
7.9%
4-person household
9.4%
1-person household
4-person household
7-person household
3-person household
21.1%
2-person household
5-person household
3-person household
6-person household
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
27
RENTAL AFFORDABILITY
LONG BRANCH (FUTURE PURPLE LINE)
Surplus of Units at:
Very Low Income (50%)
Low Income (80%)
Shortage of Units at:
Extremely Low Income (30%)
Median Income (100%)
Moderate Income (120%)
Above Moderate Income
(Above 120%)
28
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
KEY FINDINGS
LONG BRANCH (FUTURE PURPLE LINE)
50% of rental units are 1-2 bedroom units but generally are not affordable to
renter households earning below 50% AMI
Older housing units observed to not be well maintained
Most rental units are located on or near main thoroughfares (Piney Branch,
around Houston Avenue, and on or near Flower Avenue and Greenwood
Avenue)
Vacant lots are typically small, and are often being used as side lots by
current residents (single family detached) in southeastern part of
neighborhood
Commercial properties tend to be one story, suburban scale
Underutilized parcels located primarily on Piney Branch
29
CONSIDERATIONS
LONG BRANCH (FUTURE PURPLE LINE)
Densities do not match market opportunity
Need for more 3+ bedroom units
Shortage of units for households at or above 100% AMI
Preservation of garden-style or small multi-family apartments may be more
financially feasible
37% of rental units are small multi-family apartments (5-8 unit buildings)
29% of rental units are garden apartments
Public private partnerships for TOD redevelopment could boost affordability
25% of renters do not have vehicles
Targeted infill development (accessory dwellings)
Small vacant parcels scattered throughout neighborhood
30
NORTH BETHESDA
(EXISTING METRO LINE)
31
32
Source: ESRI, 2015
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
33
RENTAL TYPOLOGY
NORTH BETHESDA (EXISTING METRO LINE)
RENTAL UNITS BY THRESHOLD
Income
Threshold Rent Threshold Total
$28,900
$723
$48,150
$1,204
$61,650
$1,541
$96,300
$2,408
$115,560
$2,889
N/A
N/A
Supply Share of
108
233
592
1,872
404
Total
2.7%
5.9%
15.0%
47.5%
10.3%
729
18.5%
3,938
100.0%
34
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
35
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
37
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
1-person household
45.94%
5-person household
0.52%
4-person household
4.48%
3-person household
17.57%
2-person household
31.50%
1-person household
2-person household
3-person household
5-person household
6-person household
7-person household
4-person household
38
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
RENTAL AFFORDABILITY
NORTH BETHESDA (EXISTING METRO LINE)
Surplus of Units at:
Low Income (80%)
Median Income (100%)
Moderate Income (120%)
Shortage of Units at:
Extremely Low Income (30%)
Very Low Income (50%)
Above Moderate Income
(Above 120%)
39
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
KEY FINDINGS
NORTH BETHESDA (EXISTING METRO LINE)
High costs have kept households at or below 30% AMI from securing price
appropriate housing
63% of existing rental housing affordable to households between 50-100%
AMI; however these units are generally occupied by households with
incomes at or greater than 120% AMI
Vacant parcels are opportunity for new high density rental development
(i.e. Citadel and Marinelli; near Montrose and Hoya)
Recent/pending developments will continue to reshape the market
Phase I of Pike and Rose has been completed; currently in Phase II
Office building on Montrose and Hoya
40
CONSIDERATIONS
NORTH BETHESDA (EXISTING METRO LINE)
Commercial corridor redevelopment mixed use potential
Availability of underutilized parcels adjacent to or within 1 mile of Metro
line either redeveloped or proposed redevelopment
Focus MPDU requirements for fewer units, but highly subsidized
44% of renters are cost burdened even though 90% of renters have
household incomes at or above 80% AMI
Take advantage of transportation infrastructure
Creation of receiving area for off-site programming if appropriate, and if
so, where should this go?
41
KENSINGTON
(ESTABLISHED SUBURB)
42
43
Source: ESRI, 2015
Kensington
County
-4.68%
3.43%
$1,213
$1,611
$47,838
$60,276
32.59%
33.36%
45.63%
51.54%
80.25%
79.53%
19.75%
13.30%
2.60
1.30
No
N/A
No
N/A
13.15%
15.50%
34.07 min 34.40 min
37.43%
17.48%
Yes
N/A
25
N/A
7 (16.66 acres)
N/A
46 (6.75 acres)
N/A
17
1,079
44
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
RENTAL TYPOLOGY
KENSINGTON (ESTABLISHED SUBURB)
RENTAL UNITS BY THRESHOLD
Income
Threshold
$28,900
$48,150
$61,650
$96,300
$115,560
N/A
Rent
Threshold Total
$723
$1,204
$1,541
$2,408
$2,889
N/A
Supply
3
163
188
132
20
44
Share of
Total
0.5%
29.6%
34.2%
24.0%
3.6%
8.0%
550
100.0%
45
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
46
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
47
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
48
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
49
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
RENTAL AFFORDABILITY
KENSINGTON (ESTABLISHED SUBURB)
Surplus of Units at:
Very Low Income (50%)
Low Income (80%)
Median Income (100%)
Shortage of Units at:
Extremely Low Income (30%)
Moderate Income (120%)
Above Moderate Income
(Above 120%)
50
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
KEY FINDINGS
KENSINGTON (ESTABLISHED SUBURB)
CONSIDERATIONS
KENSINGTON (ESTABLISHED SUBURB)
Development character an important issue
Restrict low density rentals to underutilized/vacant parcels near core of
neighborhood
Provide more flexibility for development along major corridors
Rental Assistance Program to make neighborhood more accessible
46% of renters are cost burdened
Credit counseling program for income qualifying households
Infill Development on low density rental communities to capture family
market
20% of rental units are single family rentals; less than 5% of rentals are
3+ bedrooms
Renovation of older housing stock necessary to address aging in place
30% of renters are 65 or older
52
GERMANTOWN
(CONCENTRATION OF
RENTAL UNITS)
53
54
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
Germantown
County
3.49%
3.43%
$1,553
$1,611
$62,698
$60,276
46.44%
33.36%
51.40%
51.54%
81.29%
79.53%
12.61%
13.30%
1.39
1.30
No
N/A
No
N/A
10.59%
15.50%
41.37 min
34.40 min
11.15%
17.48%
Yes
N/A
115
N/A
4 (38.53 acres)
N/A
60 (232.25 acres)
N/A
14
1,079
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
55
RENTAL TYPOLOGY
GERMANTOWN (CONCENTRATION OF EXISTING RENTAL UNITS)
RENTAL UNITS BY THRESHOLD
Total
Income
Threshold
$28,900
$48,150
$61,650
$96,300
$115,560
N/A
Rent
Threshold Total
$723
$1,204
$1,541
$2,408
$2,889
N/A
Supply
239
1,114
3,260
2,861
98
Share of
Total
3.1%
14.6%
42.8%
37.6%
1.3%
46
0.6%
7,618
100.0%
56
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
57
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
59
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
60
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
RENTAL AFFORDABILITY
GERMANTOWN (CONCENTRATION OF EXISTING RENTAL UNITS)
Surplus of Units at:
Very Low Income (50%)
Low Income (80%)
Median Income (100%)
Shortage of Units at:
Extremely Low Income (30%)
Moderate Income (120%)
Above Moderate Income
(Above 120%)
61
Sources: APD Urban Planning and Management LLC, 2015; Montgomery County, 2015; RKG Associates, 2015; ESRI, 2015; U.S. Census 2010; 2010-2014 ACS 5-Year Estimates
KEY FINDINGS
GERMANTOWN (CONCENTRATION OF EXISTING RENTAL UNITS)
New senior housing in development (Churchill Senior Living Facility Phase II)
Recent/planned development will continue to affect the rental market
Century Technology Campus (office space)
Infrastructure completed for Black Hill Development (mixed use development)
Pricing structure of rental units does not match renters ability to pay
Value alternative rather than destination location
Need for rental units for households at or below 30% AMI and at or above
100% AMI is almost the same
Scale of delivery should not be equal, though
62
CONSIDERATIONS
GERMANTOWN (CONCENTRATION OF EXISTING RENTAL UNITS)
Colocation on publicly held land (i.e. emergency services)
Limited access/proximity to community amenities
Access to existing public transportation/services critical
Limited MARC service available
No Metro rail lines
Potential for employer-based housing programs
Several large employers are located in or within a mile of Germantown
neighborhood
Fewer MPDU units with deeper subsidies
51% of renters are cost burdened
Vacant industrial parcels could be rezoned as medium density for potential
redevelopment
63
MODEL NEIGHBORHOOD
SUMMARY
64
Households by Tenure
Model Neighborhoods
100%
90%
33.36%
36.29%
80%
50.84%
All Households
70%
66.22%
61.60%
60%
50%
40%
66.64%
63.71%
30%
49.16%
20%
33.78%
38.40%
10%
0%
Long Branch
North Bethesda
Owner Occupied
Kensington
Germantown
County
Renter Occupied
65
3.5%
90%
16.9%
19.7%
18.7%
20.8%
83.1%
80.3%
81.3%
79.2%
North Bethesda
Kensington
Germantown
County
80%
70%
60%
50%
96.5%
40%
30%
20%
10%
0%
Long Branch
Multifamily
Conversion
66
1.0%
0.2%
3.4%
10.9%
90%
80%
22.1%
25.8%
41.9%
39.5%
32.1%
70%
3.2%
60%
50.7%
50%
40%
30%
34.4%
31.5%
36.4%
46.2%
20%
39.5%
10%
22.7%
20.7%
North Bethesda
Kensington
27.0%
10.9%
0%
Long Branch
3+ Bedrooms
2-Bedrooms
1-Bedroom
Germantown
County
Efficiency
67
42
Minutes
40
38
36
41.37
40.08
34
32
33.90
34.07
North Bethesda
Kensington
34.40
30
Long Branch
Germantown
County
68
10.6%
9.6%
90%
80%
5.0%
12.6%
10.6%
15.5%
13.1%
25.8%
8.9%
30.7%
All Workers
70%
60%
50%
84.4%
40%
30%
75.6%
74.3%
63.7%
59.7%
20%
10%
0%
Long Branch
North Bethesda
Personal Vehicle
Kensington
Public Transit
Germantown
County
Other
69
DISCUSSION
Q &A
70
NEXT STEPS
71
THANK YOU
72
73
74
75
76
77
78
79
80