City program incentivizes affordable housing through height bonuses and adjusted ownership requirements

In a recent meeting at Columbus City Hall, officials discussed significant developments in the Housing Council 2025 initiative, aimed at addressing the pressing need for affordable housing in Franklin County. The atmosphere was charged with anticipation as council members reviewed new legislative measures designed to encourage both density and affordability in housing projects.

One of the standout proposals is a height bonus program, which incentivizes developers to include affordable units on-site by allowing them to build taller structures. This initiative aims to strike a balance between increasing housing density and ensuring that affordable options are available for residents. While no projects have yet utilized this program, officials expressed optimism that the first application could emerge in the coming year.

Another key topic was the single-family pilot program, which has undergone legal adjustments to better align with the realities of large-scale home ownership developments. Previously, the legislation required that at least 20% of multi-family units be rented to affordable renters. Now, for projects involving 100 or more owner-occupied structures, developers can meet a new requirement of providing 30% of those units at or below 120% of the Area Median Income (AMI). This change is intended to promote affordable home ownership while maximizing the number of available dwellings across various price points.

As the meeting progressed, officials shared data on the housing tech team's recent inspections of over 2,700 properties, highlighting that only 1.5% of city parcels currently benefit from the abatement program. This program allows for property tax relief on new builds and rehabilitation projects, providing a financial incentive for developers to invest in affordable housing. The total appraised value of these parcels is approximately $11.8 billion, with an estimated payment value of $97 million.

The council also reported on monitored units, revealing that they are currently tracking 220 units at or below 60% AMI, 518 units at or below 80% AMI, and 221 units at or below 100% AMI. While the home ownership product under the new affordability requirement has just been approved, officials are eager to share more comprehensive data in future meetings.

As the discussions wrapped up, the council's commitment to fostering affordable housing solutions was evident. With new programs and legislative adjustments in place, Columbus is poised to make strides in addressing the housing challenges faced by its residents, paving the way for a more inclusive community.