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HomeMy WebLinkAbout2022-05-05 Info Packet City Council I nformation Packet May 5, 2022 IP1.Council Tentative Meeting S chedule Miscellaneous IP2.Memo from Neighborhood & Development Services Director: A ffordable Housing Grant funding (C W J ) Update IP3.Memo from Associate Planner: Analysis of I owa City's Residential Development in 2021 IP4.Memo from Historic Preservation Commission: Montgomery Butler House IP5.Quarterly I nvestment Report: J anuary - March 2022 IP6.Press Release: City's Electric B us Bash moved to Chauncy Swan Parking Ramp Draft Minutes IP7.Airport Commission: April 21 IP8.Historic P reservation Commission: A pril 14 May 5, 2022 City of Iowa City Page 1 Item Number: 1. May 5, 2022 Council Ten tative Meeting Sched u l e AT TAC HM E NT S : Description Council Tentative Meeting S chedule City Council Tentative Meeting Schedule Subject to change May 5, 2022 Date Time Meeting Location Tuesday, May 17, 2022 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Wednesday, May 18, 2022 9:30 AM Work Session - Strategic Planning East Side Recycling Center 2401 Scott Blvd SE Monday, June 6, 2022 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, June 21, 2022 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, July 12, 2022 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Monday, July 18, 2022 4:30 PM Joint Entities Meeting TBD Hosted by City of Coralville Tuesday, August 2, 2022 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, August 16, 2022 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, September 6, 2022 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, September 20, 2022 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Monday, October 3, 2022 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Monday, October 17, 2022 4:30 PM Joint Entities Meeting City Hall, Emma J. Harvat Hall Hosted by City of Iowa City 410 E. Washington Street Tuesday, October 18, 2022 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, November 1, 2022 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, November 15, 2022 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Tuesday, December 6, 2022 4:00 PM Work Session City Hall, Emma J. Harvat Hall 6:00 PM Formal Meeting 410 E. Washington Street Item Number: 2. May 5, 2022 Memo from Neig h b orhood & Devel opmen t Services Director: Afford able Housin g G ran t fundin g (C W J) Update AT TAC HM E NT S : Description Memo from Neighborhood & Development Services Director: Affordable Housing Grant funding (C W J ) Update Item Number: 3. May 5, 2022 Memo from Associate Pl anner: Anal ysis of Iowa City's Resid ential Develop ment in 2021 AT TAC HM E NT S : Description Memo from Associate Planner: Analysis of I owa City's Residential Development in 2021 Date: April 27, 2022 To: Geoff Fruin, City Manager From: Kirk Lehmann, Associate Planner Re: Analysis of Iowa City’s Residential Development in 2021 Introduction: This memo analyzes Iowa City’s residential development in 2021. It utilizes data from residential subdivisions and building permits to analyze how Iowa City grew last year, how this compares to the previous 30 years, and its future implications. Key takeaways include: • 2021 (and 2020) saw some of the lowest levels of residential lot creation in a decade. • In 2021, building permit activity rebounded somewhat from a recent low in 2020. However, permit activity also outpaced the creation of new lots which diminished the lot supply. • If residential growth continues at this pace, the City will only accommodate up to 4,973 new residents by 2030, compared to a projected demand of 10,240 new residents. • While redevelopment can provide additional housing, the City will still likely experience unmet demand and deplete its supply of vacant lots in the process. Where housing demand remains unmet, the City may see impacts to its population growth and the growth of surrounding communities, which has implications on the City’s sustainability and housing affordability goals. One of the fundamental aspects of planning is being able to accommodate new growth. Staff believes it is important to continue encouraging residential development in areas that have access to City services, as well as in the City’s growth planned areas. Background: Residential development is the process by which land is prepared for new homes, either through building on vacant land or redeveloping occupied land. It involves a series of steps where each provides more certainty to the size, type, and appearance of the development. This memo focuses on the following two steps towards the end of the land development process: • Final Plats: A type of subdivision, a final plat is a permanent record that delineates the precise location and dimensions of features such as lots, streets, easements, and other elements pertinent to the transfer of property. • Building Permits: Building permits are the final administrative approval of building plans that allow the construction of homes. While other steps in the process provide insight into future development, such as anticipated build-out based on zoning, these steps provide the best glimpse into expected development in the near future. Analysis: This memo distinguishes between three types of development. Single-family development includes one principal dwelling unit on a lot, though they may be detached or attached (such as townhomes) and may include an accessory dwelling unit. Duplex development includes two principal units on a single lot. Multi-family development includes three or more principal dwelling April 27, 2022 Page 2 units on a single lot, which may include apartments or condominiums. In buildings with a mix of residential and non-residential uses, all dwellings are considered multi-family. Final Plat Activity In 2021, the City Council approved three subdivisions with residential components encompassing 41.2 acres. Residential lots were platted in the east and northwest areas of the City, with a single multi-family lot platted in the northwest. Most new single-family lots are zoned Low Density Single- Family Residential (RS-5) while most new duplex lots are zoned High Density Single -Family Residential (RS-12). The multi-family lot is zoned Low Density Multi-Family Residential (RM-12). These subdivisions created lots that can accommodate 65 single-family units, 12 duplex units, 32 multi-family dwelling units. It also created one 4.5-acre outlot reserved for future development. However, one of these subdivisions was a replat of an existing subdivision, resulting in a reduction of three units from what was originally platted. In 2021, the residential lots platted will accommodate the lowest number of anticipated dwelling units since the aftermath of the Great Recession (long-term trends are shown in Attachment 1). On average, lots accommodating 130 single-family units, 6 duplex units, and 140 multi-family units were platted annually from 2011 to 2020. The number of single-family lots platted in 2021 was half this amount and the anticipated number of multi-family dwelling units was less than a quarter of this amount. Figure 1 shows residential lots subdivided by type from 2011 to 2021. Figure 1: Residential Lots Subdivided by Housing Type (in Anticipated Dwelling Units), 2011-2021 From 1990 to 2020, lots created accommodate an average of 138 single-family units, 10 duplex units, and 124 multi-family units each year. This suggests that the production of single-family and duplex lots has decreased over time, while the production of multi -family lots has increased. However, lot creation tends to occur in cycles lasting about 10 years with a recent peak in 2015, as visible in Attachment 1. The City appears to be in the low point of its development cycle. If past trends hold, development may increase over the next few years to peak around 2025. Building Permit Activity With regards to building activity, the City issued permits for approximately 334 dwelling units in 2021, including 133 single-family units, 6 duplex units, and 195 multi-family units. Figure 2 shows residential building permits issued by type from 2011 to 2021. 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Multi-Family 64 209 76 7 144 98 279 206 204 108 32 Duplex 0 16 0 2 18 0 14 12 0 0 12 Single Family 79 111 154 254 259 169 31 105 79 56 65 0 50 100 150 200 250 300 350 400 450 Anticipated Dwelling Units April 27, 2022 Page 3 Figure 2: Residential Building Permits Issued by Housing Type (in Dwelling Units), 2011-2021 Trends for building permits vary more by type than for subdivisions: - Single-Family: The number of single-family building permits is the highest since 2017 but is only slightly above the 10-year average (132) and is below the long-term average (145). - Duplex: Permits for duplex units are lower than both the 10-year annual average (10) and long-term annual average (22). However, only a small number of duplexes are built each year which causes numbers to fluctuate widely. Prior to the 2005 zoning code update, duplex building permits were approximately twice as common. - Multi-Family: Permits for more multi-family units were issued in 2021 than in 2020, but the number is still below both the 10-year average (379) and long-term average (270). Attachment 2 shows long-term trends in building permit activity. Similar to platting patterns, single- family and duplex building permits occur in cycles, but they have trended downward the past 30 years. However, multi-family construction has increased over time, especially following the adoption of the Downtown and Riverfront Crossings Master Plan in 2012. This led to redevelopment in the Riverfront Crossings District, which is reflected in the recent peak in multi- family permit activity that culminated in nearly 900 multi-family units permitted in 2016 alone. Development Potential Since 1990, the number of new building permits has exceeded the creation of new lots for all development types. Building permits for single-family units exceeded single-family lot creation by 293 and for duplex units exceeded duplex lot creation by 165. As a result, the supply of vacant single-family and duplex lots has trended down over time. These trends are less clear for multi- family, as redevelopment makes it difficult to estimate the number of vacant lots over time. As of December 31, the City had approximately 460 vacant single-family lots, of which 359 are actively being developed or are available for development. 320 lots were platted in 2014 or later, while another 39 lots are in subdivisions platted before 2014. 20 duplex lots are currently vacant, 16 of which were platted in 2014 or later. Some older residential lots are unlikely to develop as they are owned by adjacent properties owners and act as a single lot. Most single-family vacant lots available for development are in the northeast, southeast, and south portions of the City. Lots in the southwest, northwest, and north tend to have lower rates of vacant lots with only 3.2% to 5.5% of lots platted since 1990 remaining undeveloped. 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Mixed Use Multi-Family 51 100 27 37 47 340 150 169 59 0 40 Multi-Family 76 140 488 218 499 556 203 163 417 49 155 Duplex 18 16 8 14 6 12 8 10 8 8 6 Single Family 80 143 171 176 137 172 157 109 80 97 133 0 100 200 300 400 500 600 700 800 900 1000 1100 1200 Dwelling Units PermittedMulti-Family, Mixed Use April 27, 2022 Page 4 At the end of 2021, the City also had approximately 20 vacant multi-family lots which are anticipated to accommodate 314 new multi-family units. 16 of these lots were platted in 2014 or later, while the other 4 lots were platted prior to 2014. Currently, undeveloped multi-family lots in the northeast and southeast may accommodate the greatest number of units based on current plats and concept plans. Based on development trends since 2011, the supply of vacant lots would last around 2.7 years for single-family units, 3.7 years for duplex units, and 1.3 years for multi-family units (though this does not account for redevelopment near downtown, which would extend this timeframe). Discussion: Looking back, 2021 (and 2020 before it) marks some of the lowest levels of residential lot creation since the end of the Great Recession. It also reflects broader trends such as building permit activity outpacing the creation of new lots. This has resulted in a diminishing lot supply which does not seem to be keeping up with demand. Ripple effects can include increased competition for a limited supply of residential lots, which increases lot prices. Despite this, the number of dwelling units developed has increased over the past 30 years, primarily due to increased multi-family activity and redevelopment. Looking forward, the Metropolitan Planning Organization of Johnson County (MPO) projects a demand for 10,240 new residents in Iowa City by 2030. However, if trends from 2020 and 2021 continue, the City would only be able to accommodate new population as follows: • 3,030 new residents based on residential lot creation trends in 2020 and 2021 (in 605 single-family units, 60 duplex units, and 700 multi-family units); or • 4,973 new residents based on building permit trends in 2020 and 2021 (in 1,150 single-family, 70 duplex, and 1,020 multi-family dwelling units) In either case, the City would entirely deplete its current supply of available vacant single-family and multi-family lots and would still only accommodate less than half its projected demand for new housing. While some additional multi-family units may be created through redevelopment, it may not be enough to offset this deficit. If Iowa City cannot meet its demand for housing, it may see slower population growth along with other repercussions. First, excess demand may locate in nearby cities, such as Tiffin or North Liberty, which have seen a proliferation of new residential lots. This can create negative environmental impacts as homes shift further from employment centers and car dependence and traffic congestion increases. Other impacts include rising housing prices. When supply does not meet demand, Iowa City becomes less affordable. Regardless of the cost when built, the City needs new homes to help meet its housing demand if it is to achieve affordability. Accommodating new residential growth is a fundamental aspect of planning for the future of Iowa City. Staff believes it is important to continue to encourage residential growth in areas that have access to City services, such as in infill locations, as well as in the City’s designated growth areas which are anticipated to become part of the City in the future. Attachments: 1. Residential Lots Subdivided by Housing Type (in Anticipated Dwelling Units), 1990-2021 2. Residential Building Permits Issued by Housing Type (in Dwelling Units), 1990-2021 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Multi-Family 194 0 44 22 20 4 262 28 89 434 118 233 54 413 117 169 11 142 31 0 60 64 209 76 7 144 98 279 206 204 108 32 Duplex 12 0 40 6 22 116 8 0 0 0 2 0 24 26 4 0 0 8 6 0 0 0 16 0 2 18 0 14 12 0 0 12 Single-Family 75 264 167 359 205 49 89 110 46 174 92 63 281 108 300 193 173 77 65 81 0 79 111 154 254 259 169 31 105 79 56 65 0 50 100 150 200 250 300 350 400 450 500 550 600 650 Anticipated Dwelling UnitsAttachment 1: Residential Lots Subdivided by Housing Type (in Anticipated Dwelling Units), 1990-2021 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Multi-Family, Mixed Use*17 82 45 42 56 0 16 51 100 27 37 47 340 150 169 59 0 40 Multifamily 203 140 312 235 335 166 218 185 97 152 267 310 402 486 220 141 138 83 85 71 80 76 140 488 218 499 556 203 163 417 49 155 Duplex 2 10 12 20 28 16 28 26 32 44 26 34 34 60 52 62 18 26 16 10 8 18 16 8 14 6 12 8 10 8 8 6 Single Family 136 143 214 223 206 149 90 110 154 209 139 129 148 193 149 160 137 133 114 127 108 80 143 171 176 137 172 157 109 80 97 133 0 100 200 300 400 500 600 700 800 900 1000 1100 1200 Dwelling UnitsAttachment 2: Residential Building Permits Issued by Housing Type (in Dwelling Units), 1990-2021 * not collected prior to 2004 Item Number: 4. May 5, 2022 Memo from Historic Preservation Commission : Montg omery Bu tler Hou se AT TAC HM E NT S : Description Memo from Historic Preservation Commission: Montgomery Butler House Item Number: 5. May 5, 2022 Q u arterly Investment Rep ort: Jan u ary - March 2022 AT TAC HM E NT S : Description Quarterly I nvestment Report J anuary - March 2022 Item Number: 6. May 5, 2022 Press Rel ease: City's El ectric Bus Bash moved to Ch auncy Swan Parking Ramp AT TAC HM E NT S : Description Press Release: City's Electric B us Bash moved to Chauncy Swan Parking Ramp Item Number: 7. May 5, 2022 Airport Commission : April 21 AT TAC HM E NT S : Description Airport Commission: April 21 Item Number: 8. May 5, 2022 Historic Preservation Commission : April 14 AT TAC HM E NT S : Description Historic P reservation Commission: A pril 14 MINUTES PRELIMINARY HISTORIC PRESERVATION COMMISSION APRIL 14, 2022 EMMA HARVAT HALL MEMBERS PRESENT: Kevin Boyd, Carl Brown, Sharon DeGraw, Cecile Kuenzli, Jordan Sellergren, Noah Stork, Deanna Thomann MEMBERS ABSENT: Margaret Beck, Kevin Larson, Frank Wagner STAFF PRESENT: Jessica Bristow OTHERS PRESENT: Bu Wilson RECOMMENDATIONS TO COUNCIL: By a vote of 7-0 the Commission recommends that Council direct staff to form and support a working group to investigate possible reuses of the Montgomery-Butler House as approved by this Commission and the Parks and Recreation Commission. CALL TO ORDER: Chairperson Boyd called the meeting to order at 5:30 p.m. PUBLIC DISCUSSION OF ANYTHING NOT ON THE AGENDA: There was none CONSENT AGENDA: CERTIFICATE OF APPROPRIATENESS: 1110 East College Street Bristow described the house as being a two-story gable-roofed cottage in the East College Historic District. There is a screened porch addition on the back of the building. The proposed project is to remove the porch and replace it with a one-story addition to serve as a multipurpose room with a bathroom. The owner is committed to matching the addition to the house, and that sustainable practices are used in the build. The addition will be set in from the corners of the house, with a pair of windows on the west side, a triplet of windows that match those on the front of the house, a smaller window, and an entry stoop. The siding and trim will match the lower level and the foundation will match the existing foundation. The addition is designed to mimic the roof on the front porch. All materials will be wood to match the house. The window and door products still need to be approved, but staff is confident that this will not be a problem. There will be an accessibility lift attached to the rear stoop. The railing will match the rest of the project. Boyd invited the applicant to speak about the project and Bu Wilson came forward. She stated that she and her husband want to retain the character and fit of the neighborhood. MOTION: Sellegren moved to approve a Certificate of Appropriateness for the project at 1110 East College Street as presented in the application, on the condition that the door and window products are approved by staff. DeGraw seconded the motion. The motion carried on a vote of 7-0 (Beck, Larson, Wagner absent). HISTORIC PRESERVATION COMMISSION April 14, 2022 Page 2 of 4 109 and 119 East College Street Bristow stated that the project is for signage on the Tower Addition at 109 East College. She noted that the sign code calls for no more than 90 square feet and must be a set percentage of the wall space. Three signs are being proposed, and all are aluminum with white polycarbonate base letters. They all meet the requirements of the sign code so city staff recommends approval. MOTION: DeGraw moved to approve a Certificate of Appropriateness for the project at 109 East College Street as presented in the application. Sellegren seconded the motion. The motion carried on a vote of 7-0 (Beck, Larson, Wagner absent). CONSENT AGENDA: MONTGOMERY BUTLER HOUSE Boyd said this is the 3rd conversation about this building. He stated that he spoke with the Parks and Recreation Commission, and they supported a working group to make decisions about this property. He gave a brief history of the property and asked for support to take this recommendation to City Council. MOTION: Thomann moved to approve the memo about creating a working group to explore the uses of the Montgomery Butler House as written. Brown seconded the motion. The motion carried on a vote of 7-0 (Beck, Larson, Wagner absent). CERTIFICATE OF NO MATERIAL EFFECT: 1113 East College Street Bristow stated that this property has a barn garage in the back. There are water issues, so the foundation needs to be replaced. Staff recommended a slight curb to mitigate future water problems. 422 Brown Street The front of the house has an enclosed porch, and an apartment with a basement patio. The poured concrete retaining wall will be replaced with concrete block. Bristow added that owners were informed that the railing will need to meet the guidelines if it is reconstructed. 1027 East College Street Bristow said this is a roof replacement. 505 Clark Street Bristow said this property has an historic garage. The door is being replaced along with other repairs. 111 East College Street: This is a minor alteration to an approved project. Bristow said there is a pair of solid steel doors they had planned to keep but were found to be rusted through. They will be replaced with a pair of doors that match another set that was already approved. The entry to 109 E College will also be changed with a door instead of an entry alcove. HISTORIC PRESERVATION COMMISSION April 14, 2022 Page 3 of 4 508 South Summit Street: This project is a rear addition and entry porch. Bristow said they will not be installing French doors, but a single door and small window instead. 1415 Davenport Street: This was a work without permit that was discovered. Bristow said they are building a small sauna with reclaimed windows. Per building code, it will be moved 3 feet away from house. CONSIDERATION OF MINUTES FOR MARCH 10, 2022: MOTION: Sellegren moved to approve the minutes of the Historic Preservation Commission’s March 10, 2022, meeting, as written. Brown seconded the motion. The motion carried on a vote of 7-0 (Beck, Larson, Wagner absent). COMMITTEE INFORMATION: Boyd stated that he wrote a letter on behalf of the committee supporting Iowa City’s state designation as a Cultural & Entertainment District. COMMISSION DISCUSSION: 1) Staff recommends continuing the annual awards presentation. If approved, this will be the 39th annual event. Bristow noted that this takes quite a bit of staff time, and they will need involvement from the commission to reduce that burden. The process of accepting submissions and reviewing nominations was discussed. 2) Terms are ending for Kuenzli, Sellergren, and DeGraw. Several other spots are also open. ADJOURNMENT: Kuenzli moved to adjourn the meeting. DeGraw seconded. The meeting was adjourned at 6:30 pm. Minutes submitted by Kathy Fitzpatrick HISTORIC PRESERVATION COMMISSION April 14, 2022 Page 4 of 4 HISTORIC PRESERVATION COMMISSION ATTENDANCE RECORD 2021-2022 NAME TERM EXP. 06/10 7/08 7/21 8/12 9/09 10/14 11/18 12/9 01/13 2/15 3/10 4/14 BECK, MARGARET 6/30/24 -- X X X X X X X X X X O/E BOYD, KEVIN 6/30/23 X X X X X X X X X O/E X X BROWN, CARL 6/30/23 O/E X O/E X X O/E O/E X O/E O/E X X BURFORD, HELEN 6/30/21 X -- -- -- -- -- -- -- -- -- -- -- DEGRAW, SHARON 6/30/22 X O/E O/E X X X X O/E X X X X KUENZLI, CECILE 6/30/22 X X X O/E X X X X X O/E X X KIPLE, LYNDI 6/30/22 X X -- -- -- -- -- -- -- -- -- -- LARSON, KEVIN 6/30/24 -- X X O/E X O/E X X O X O O PITZEN, QUENTIN 6/30/21 X -- -- -- -- -- -- -- -- -- -- -- SELLERGREN, JORDAN 6/30/22 O/E X X X X X O/E X X X X X STORK, NOAH 6/30/24 -- X X X O/E X X X X X O/E X THOMANN, DEANNA 6/30/23 -- O/E X X O/E X O/E O/E X X O/E X WAGNER, FRANK -- -- -- X X X X X X X X O/E WU, AUSTIN 6/30/23 X -- -- -- -- -- -- -- -- -- -- -- KEY: X = Present O = Absent O/E = Absent/Excused --- = Not a Member