Jim Little, Pensacola News Journal
A new model to build affordable housing got the green light from the Pensacola City Council on Monday afternoon.
The Pensacola City Council, meeting as the Community Redevelopment Agency board, unanimously approved donating three properties to the Northwest Florida Community Land Trust in a 5-0 vote.
Under the agreement, the Home Builders Association of West Florida will build two new homes and rehabilitate a third that will be sold as affordable homes to individuals making 120% or less than the area median income. The homes can only be resold in the future to individuals at a price that is affordable for that same level of income.
Officials have praised the Northwest Florida Community Land Trust concept as a way to solve the problem of affordable homes "being lost to the market" as home values rise, leaving them unaffordable when resold at market rates.
The city plans to use the structure for other affordable housing projects that involve home ownership, such as the former Malcolm Yonge Gym property.
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The legal arrangement ensures that a home can only be sold to people with income levels that the land trust sets as qualified buyers. Housing costs are typically considered affordable at one-third of an individual's monthly income, so at current income levels, a housing cost of about $2,079 a month or less would be considered affordable for an individual making 120% of the area median income, according to 2024 income levels published by the Florida Housing Finance Corporation.
The agreement with the city requires the homes be built or remodeled to a "like-new" condition within one year and sold to income-qualified individuals within 18 months.
Northwest Florida Community Land Trust was created by Pensacola Habitat for Humanity, but the Homebuilders of Association of West Florida is building the first project under the trust.
Jennifer Mancini, executive director of the Home Builders Association of West Florida, told the council they hope to have the homes completed in time for the Parade of Homes in October.
"We want to encourage other people to do this," Mancini said. "Obviously, I don't want to say it was our idea, but the more the merrier. I'd love to see more organizations do this, and we're happy to lead the way and show by example."
Pensacola Habitat for Humanity CEO Sam Young told the council that the Northwest Florida Community Land Trust is using its funds to acquire property at a "good clip" and that the organization is willing to partner with other groups willing to build affordable housing.
"This is an opportunity for me to advertise to any builders or developers who would like to come develop on our land trust property, and certainly donate labor and materials as the HBA is, we'd be happy to entertain those conversations," Young said.
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