State DHCR Issues Housing Needs Study for Mid-Hudson Region

Report Identifies Region's Strengths and Weaknesses in Affordable Housing and Community Development Endeavors

ALBANY, NY (10/20/2008)(readMedia)-- The State Division of Housing and Community Renewal (DHCR) has released a report on the housing needs of Dutchess, Orange, Putnam, Sullivan and Ulster Counties. The Mid-Hudson Affordable Housing Needs Study is the fifth in a series of nine regional reports being prepared by DHCR, which will issue a Statewide Affordable Housing Needs Study once the regional reports have been completed.

To research the housing needs of the Mid-Hudson, DHCR staff traveled throughout the region meeting with local government officials and housing professionals from pertinent county and city departments, including planning, community development, economic development and housing. Affordable housing developers from the private sector, both for profit and not-for-profit, also participated and provided their insights into the region's housing needs.

Governor David A. Paterson said DHCR's Housing Needs Studies "represent a new level of outreach to and coordination with local officials who best understand the needs of their communities. These reports will provide us with a powerful tool to help determine how New York State's housing and community development programs can best be targeted to meet the needs of our residents."

DHCR Commissioner Deborah VanAmerongen said a regional approach was taken because "although the entire State is facing a shortage of affordable housing, the causes, effects and solutions are very different from region to region. These studies will help us to truly understand the housing needs of communities across the State."

STRENGTHS, WEAKNESSES CITED

The Mid-Hudson Report found a number of impediments to the development of affordable housing, including NIMBYism (Not In My Back Yard), a term used to describe community opposition, in this case, to the development of affordable housing units based on the fear that such residences will adversely affect home values and neighborhood stability. According to study participants, developers face significant barriers at the local level securing needed approval of potential affordable housing projects. This resistance may have led to a dearth of diverse housing stock in the Region, specifically in regards to the scarcity of multi-family units.

To combat the stigma associated with affordable housing, Governor Paterson and DHCR launched a public service campaign and website (www.affordablehousingworks.org) that highlights the new generation of affordable housing, which is attractive, fits in to communities, and helps to stabilize property taxes and stimulate the local economy.

Foreclosure rates were also discussed by participants in the Region. Attendees said the negative impact of foreclosure is particularly pronounced in a densely populated city like Newburgh. Orange County participants reported that there were 209 foreclosures in the first three months of 2008, twice the amount seen in the same period a year earlier. DHCR has implemented a new $25 million foreclosure prevention program this year which will help address high foreclosure rates and the devastating impact they can have on communities.

Participants also identified an influx of higher-income residents from New York City as a contributing factor to skyrocketting home prices and rents in the Region in recent years.

There was good news as well, however, as the report also identified a number of strengths and assets unique to the region that can assist in affordable housing and community development endeavors, including:

• Strong housing organizations with very experienced staff, including nine Neighborhood and Rural Preservation Companies,

• Not-for-profit and for-profit developers committed to creating housing opportunities,

• Transportation infrastructure, including Stewart International Airport,

• Bucolic settings along the Hudson River,

• Mix of rural, suburban and urban communities.

David Church, commissioner of Orange County Department of Planning said, "I am pleased to have played a role in DHCR's Mid-Hudson Regional Housing Needs Study, and I applaud DHCR for reaching out to local officials and housing experts to gain our insights. This study should help coordinate efforts between local governments and the state to find a solution to the shortage of affordable housing we face."

Kevin O'Connor, executive director of the Rural Ulster Preservation Company (RUPCO) said, "Never before has the State reached out in such a way. Involving local organizations to provide input on the issues we face makes DHCR's housing needs study a valuable and powerful tool for our efforts to address the affordable housing shortage."

Gail Webster, executive director of Hudson River Housing, said, "The housing problems we face in the Mid-Hudson Region are very different from the problems faced in New York City or in Upstate New York, so we are very pleased that DHCR has taken a regional approach that will help us to focus on and address the unique conditions of our area."

All the completed regional studies are available on the DHCR website -www.nysdhcr.gov - under "key documents."

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