For home builders, 2020 offered unprecedented hurdles.
Construction halted at the start of the COVID pandemic. Social distancing limited workers on site. Permitting agencies moved to online reviews.
Despite these challenges, the Mixed Income Housing Bonus program thrived.
In 2020 the program far outpaced the results of 2019. More developments sought the bonus, made payments to the City, and built affordable homes.
In 2020, 33 developments earning the bonus received building permits. Those developments:
- Paid $3.6 million to the City
- Began construction on 17 affordable homes
- Will add 142 “bonus” market-rate units to Philadelphia’s housing stock
Another 45 developments planning to use the bonus received zoning permits. If completed, those developments:
- Will pay $13.4 million to the City
- Will build 22 affordable homes
- Will build about 445 “bonus” market-rate units
In all, 78 developments – more than three times the 2019 number – worked with the program. In addition, the first four affordable units in the program were completed.
Since 2019 developers have made, or will make, nearly $20 million in payments through the program. These funds will support housing programs and services throughout the city.
All the developments that will provide affordable homes are in appreciating markets. Those homes will help preserve affordability in those neighborhoods.
The residents in the bonus units will help support Philadelphia’s businesses and its economy. Nearly three-quarters of those units are in commercial mixed use zoning districts. Nearly half are in Center City.
The Mixed Income Housing Bonus program is producing resources and affordable homes that the City would not otherwise have. We are excited about adding more funds and homes to the pipeline in 2021!