Becoming a Landlord Part 1

11

Becoming a Landlord Part 1Becoming a Landlord Part 1

National Alliance to End National Alliance to End HomelessnessHomelessness

Washington, DCWashington, DC July 9, 2007July 9, 2007

Michelle FlynnMichelle FlynnThe Road Home, Salt Lake City, UtahThe Road Home, Salt Lake City, Utah

2

Utah Overview Population 2.5 million Highly Urban/ Highly Rural (1.9 million along Wasatch

Front) Conservative voters/legislators (R-76; D-28) Fair Market Rent for a 2 Bedroom is $714; a renter

would need to make $14.73/hour; minimum wage is $5.15

2006 SL County average rent is $774, up $133 from 2005; vacancy rate is 5%

Utah Homeless Count – 3,250 PIT;15,000 annual .6% of total population

86 % or 2,816 of those are in Salt Lake County

3

Overview of The Road Home

5,799 clients served in 2006:

Emergency Shelter (500 / 850 per night) Central Intake and Assistance Housing (225 households daily)

Transitional (traditional and subsidy) Permanent scattered site (S+C, PSH, other)

4

Why did we get into the housing business? Necessity Length of stay in Emergency Shelter Reason for lengthy stays in Emergency

Shelter Analyze shelter stays which reflect national

statistics 12 % of individuals utilize 56% of shelter nights

5

How The Road Home Got Into Housing Emergency Shelter and 12 units of TH in 1995 225 + units of scattered site housing in 2007

Added more Transitional Housing Began rental subsidy program in 2001 Increased partnerships in S+ C and PSH

Providing on-site services at new 100 unit PSH project for chronic in 2007; new 84-unit project in early 2008

Developing our own new project with 210 apartments to open in spring/summer 2008

6

Considerations for Growth in Housing Agency Capacity

Staff Budget Board

Experience Property operation Property management Services

7

Considerations p. 2 Agency Mission and Articles of Incorporation Track record, community reputation, audit WHY? What Type of Housing? Analyze your own agency statistics Market Study to show the need Is the timing right? Do you have buy-in from

your team, board, community, donors?

8

Considerations p. 3 – FUNDING!

9

Developing Our Own Project: Acquisition and Renovation of a Hotel property Private Donations $9.5 million Holiday Inn with 291 rooms in operation Made the offer end of December 2006 Due diligence crucial (Jan to May 2007)

Environmental Structural and building system analysis Funding Zoning

10

The New Housing Development p. 2Environmental Phase 1 and Phase 2 Meth/other testing

Structural and Building Analysis Architectural services donated Electrical, plumbing, structural, roof,

mechanical, etc.

11

The New Housing Development p. 3Important funding questions reflect your

mission and experience Should we seek tax credits? Should we seek project based vouchers? Should we seek other government funds? Acquisition and renovation/conversion

funding is the easy part?!?! Yes! Operating and service funding projections are

crucial

12

The New Housing Development p. 4Zoning Political Support Design Advisory Committee

Businesses located next to and near the property Four local churches Principal of local elementary school and school

district homeless liaison Community Council representatives

13

The New Housing Development p. 5 Facility Development Committee meets weekly

during due diligence Key staff (Exec. Dir., CFO, Programs) Realtor Attorney Banker Construction Company Financial investment Environmental Architect Key donors

14

The New Housing Development p. 6Plan of ActionSome of the Decisions to be Made Property management in-house or contract Landscape and maintenance in-house or

contract Retail or other rental space on property Management structure Separation of property management and

case management

15

Creating the Program

Tenant screening and selection Supportive services plan Policy and procedures manual Safety and security Maintaining the facility Tenant participation and involvement Agency partner involvement Staff job descriptions and training…

16

Next Steps

Closing Date of August 30, 2007 Then the fun begins! Renovation and conversion Building partnerships Solidifying funding Planning on-site services Engaging the local community

17

The Best Places to Get Help!

Local Housing Authorities Board / Volunteer Experts Partner Agencies State / County Housing Depts. On-site visits to other communities Corporation for Supportive Housing!

www.csh.org Toolkit for Developing/Operating Supportive Hsg

18

Contact Information:

Michelle C. FlynnAssociate Executive Director of ProgramsThe Road Home210 South Rio Grande StreetSalt Lake City, Utah 84101(801) 328-8759

[email protected]

Becoming a Landlord Part 1

Documents

Transcript of Becoming a Landlord Part 1