Skyline Village - hb 4079/2336 Draft project summary a mixed-Use, Mixed-Income Community Executive Summary

Access to affordable housing continues to be one of the most critical issues facing all of Central Oregon. The housing crisis in the region will only continue to become exacerbated. Whether it is the number of severely rent burden families, stagnated incomes, rising housing costs and invariably the lack of opportunities for home ownership for those making median incomes. Affordable housing is at the crux of maintaining living communities.

Under the leadership of Representative Jack Zika, the State’s Department of Land Conversation and Development recently awarded the City of Redmond a chance to build an affordable housing pilot project on 40-acres in the NE side of town. The project is an exciting opportunity to create a new neighbor to advance the City’s housing objectives.

The project’s vision is to ultimately serve as a model affordable housing development for communities in both Central Oregon and around the state. The project will result in nearly 500-housing units, which would constitute a mix of both market-rate and affordable/workforce housing types. The project would incorporate commercial uses, day care, parks, trail connectivity and transit opportunities. Additionally, the project’s location would benefit both the City and the County by serving as a catalyst to kick-off development in the Eastside Framework Plan.

Two unique aspects of the project include the support from the development community and master developer concept. As part of the application process, the City assembled a team of eight local developers who expressed interest in all or portions of the project. The City’s approach to construct and manage the project is to select a master developer to coordinate all aspects of build-out.

The project’s success will hinge on a variety of factors including continued collaboration with the County and developing adequate infrastructure to serve the site. Although many tasks have been completed, the immediate need includes a commitment from the County regarding donation of the 40 acres to enable the land use entitlement process to begin. In conjunction with perfecting entitlements, an RFP for a master developer will be issued and ongoing reporting requirement to the state monitored.

The endeavor has significant direct and indirect fiscal impacts to the City. The City will continue to invest time and staffing resources to address the project’s complexities. However, delivering a successful project to the community and long-term impacts will be immeasurable. As such, the City continues to embrace this unique opportunity with the end goal of producing a project to that will help address the every growing housing instability in the region.

Special thanks to Representative Jack Zika for this sponsorship of HB 2336, Land Conservation and Development Commission, and the Department of Land Conservation and Development for their continued support. 4079 Site Vicinity / redmond

city of redmond northeastern redmond

Retail recreation

4079 site healthcare employment

4079 site

skyline village Project context - Redmond housing redmond’s housing context redmond as a whole Across Central Oregon the price of housing continues to escalate at levels that far outpace wages. Over the last few years, housing prices have increased more than 52% and over that same timespan wages have only grown by an average of 2 to 3 percent per year.

The average sales price of a single-family home in Redmond is approximately $330,000. The average annual wage in Redmond is approx $40,000 (the average median family income for a family of four in Deschutes County is $69,900). The City’s poverty level is around 30%. Currently, residential land costs in Redmond is $40,000 per acre to $100,000 per acre. This fact, by far, is the biggest barrier to developing affordable housing.

redmond’s housing context a closer look

42% of Redmond’s households are cost burdened (with 59% of renters and 27% of owners paying more than 30% of their income on housing). Taken from Redmond’s recently completed Housing Needs Analysis, the need for affordable, accessible housing units is a continued struggle for Redmond households, especially households having extremely low-incomes to middle-incomes. 38% of Redmond’s households have extremely low-income or very low-income, with annual household incomes below $35,000. This equates to $870 in monthly housing costs. As reference, median gross rent in Redmond was $893 from the 2012-2016 period. Redmond currently has a deficit of about 800 units affordable to households in this income group. Currently, 60% of this group is considered cost burdened while 33% of homes are considered severely cost burdened. 42% of Redmond’s households have low-income or middle-income. Low-income to middle- income ranges from $35,000 to $83,000. This income group can afford between $870 to $2,100 in monthly housing costs. The group affordable to the lower end of this spectrum of monthly housing costs may struggle to find affordable rental housing. Owner-occupied housing is accessable to middle-income households at Redmond’s median home sales price of $330,000. That said, some of the households in this group are likely part of the 42% of all households that are cost burdened.

The need for more affordable housing amongst households with extremely low-income to middle- income will be crucial over the next 20 years. Two decades into the future, Redmond is projected to add 2,600 more households with extremely low-income to very low-income. In that same time period, Redmond is projected to grow by 2,900 of households with low- and middle- incomes. Project context - land use context

Skyline Village is located within the northeastern periphery of the City project neighbor context of Redmond on Exclusive Farm Use zoned land. Approximately 13 lots exist within 250 feet of the site.

Skyline Village’s surrounding 13 neighbors include: Notice area • Five of these lots are in the M2 - Heavy Industrial Zone • Six lots are within the Exclusive Farm Use - Tumalo/Redmond/Bend 4079 Subzone • Two lots are within the Rural Residential - 10 Acre Minimum site zone, one of which is owned by Deschutes County (High Desert Sports Complex) and the other is Missing Link Family Golf Center

Skyline Village is a catalytic development that will jump start Redmond’s Eastside Framework Legend Plan (EFP); a joint urbanization plan adopted by the City of Redmond and Deschutes County. redmond’s planning context - plan eastside framework plan (efp) The City of Redmond has effectively utilized framework and area plans to manage growth since the 2007 UGB Expansion process. Skyline Village will be located within Redmond’s Eastside Framework Plan. The EFP provides a general land use plan identifying a future development pattern for an 1,800- acre area within the City of Redmond Urban Reserve Area (URA). It is located north of the Roberts Field Airport and Oregon Highway 126, and generally east of NE 9th Street. All of the EFP plan area, except for the southwesterly 266 acres and ten acres north of Antler Avenue on the west Plan area boundary, are outside of the present City Limits and Urban Growth Boundary (UGB).

The EFP envisions a mixed-use community, providing basic services and activities within a short travel distance. The mixed-use pattern reflects those of adjacent urban lands, with residential development toward the north and east, and industrial and employment activities to the south and southwest. Skyline Village is the anchoring project that will build upon the mixed-use and residential intentions set by the EFP to grow Redmond’s housing and commercial development. project context HB 4079/Hb 2336 In 2016, the Oregon Legislature passed House Bill 4079 (HB 4079) forming a pilot program that aims to help cities build affordable housing. The program allowed two cities to add new housing units on lands currently outside their UGBs without going through the prescribed UGB expansion process. The City of Redmond identified land within the Eastside Framework Plan to develop the pilot program and Redmond began the application process with City Council and Deschutes County approval.

HB 4079 directed the Land Conservation and Development Commission (LCDC) to set up a process to select two pilot projects: one for a city with a population less than 25,000, and one for a city with a population greater than 25,000. The LCDC adopted rules that provide the details on the pilot program process and project requirements (see section overview critera below). The first step for cities was to submit a pre-application to DLCD by November 1, 2017. Initially, only Bend was awarded the project. HB2336 was subsquently introduced and adopted to also award the pilot project to the City of Redmond. pilot project selection overview in brief criteria minimum requirement pilot project site • adjacent to ugb • no high value farmland • unit density requirements • compliance with goals 5,7, & 11 pilot project housing on site • at least 30% of units must be affordable • phased to build alongside market-rate • affordability for 50 years • amenities available for all ensure afforability within UGB • criteria from state of oregon public facilities & service on the project site • public facilities and services can be reasonably provided • fixed route or demand response transit, or service commitment natural resources and farm and forestland • buffered from land in farm, forest zones • apply oar 660-23 for goal 5 resources

8 project vision skyline village

City section northeast taxlot 1513000000103 zone Exclusive Farm Use -

Alfalfa Subzone

Rezoned to R4 concept visualization and map project vision

Apartments

195 Units

Bedrooms: 1/3

Bathrooms: 1/2

fourplexes 14 structures with 4 units = 56 Bedrooms: 2 Bathrooms: 1.5

townhomes/ cottages 149/75 Bedrooms: 2 Bathrooms: 2/1

studios above commercial/Day Care

10 units

Bedrooms: 1 Bathrooms: 1