Miami Affordable Housing Market At Crisis Stage
Miami needs at least 50,000 units of affordable housing to stave off a crisis. A nonprofit hopes to meet about one-quarter of that need by 2024.
According to the Connect Capital Miami report, 71% of households in the City of Miami are renters, and 61% of those are cost-burdened, meaning they are paying more than 30 percent of their income in rent.
National Mortgage News says the report suggests one pathway for development is the preservation of naturally occurring affordable housing (NOAH) — older, distressed rental properties that are privately owned and not subsidized. These are the properties that are sold and demolished when a neighborhood goes through gentrification. For example, the percentage of NOAH units in Wynwood plummeted from 96% to 58% between the years 2000-2015, according to a recent study by the Urban Institute.
The study came three days after the Florida Senate approved the HB 7103 bill, which allows cities to require developers to set aside a percentage of units in new developments for low-income residents but requires any associated costs to be offset by incentives such as waived fees.
