North Raleigh Today

The City Council of Raleigh took a significant step towards addressing the affordable housing crisis on Tuesday, Feb. 6. By authorizing an option to purchase and approving a request for gap funding, the Council paved the way for the development of The Cottages of Idlewild, the city's first affordable "cottage court" community.

"The proposed project will be developed by the Raleigh Area Land Trust, Inc. (RALT) and consist of 18 affordable housing units," said a spokesperson from RALT. "These will serve residents with lower incomes, earning up to 30 percent to 80 percent of Area Median Income (AMI). Our goal is to serve more than 200 people over the next 30 years."

The project aims to provide affordable housing options for 18 families and approximately 60 individuals. The development will be located on three City-owned parcels totaling 1.17 acres on Idlewild Avenue and East Lane Street.

"The City Council's action provides RALT with an opportunity to obtain site control of these parcels," explained the spokesperson. "However, full conveyance to RALT will only occur after all terms and conditions of the Option to Purchase have been satisfied, City Council authorizes such conveyance, and all statutory requirements have been met."

To offset increased development costs, RALT is seeking $770,000 of additional gap funding from Wake County. This funding will ensure that the project can move forward smoothly.

The scope of the project has also been modified to increase affordability. Originally, the proposal included 17 units, but it has now been revised to include 18 units. These units will cater to different income levels, with four rental units for residents at or below 30 percent, 60 percent, and 80 percent of the AMI, and 14 for-sale units for first-time homebuyers with an AMI at or below 50 percent and 60 percent of the AMI.

"This represents a deeper level of affordability and provides opportunities for individuals and families with lower household incomes to secure housing," stated the spokesperson.

Furthermore, the project will be developed based on the Community Land Trust Model. Under this model, buyers will only purchase the home and lease the land at a nominal rate for a minimum of 99 years. This ensures perpetual affordability of the land and lower property tax bills.

"The resale price of homes will also be restricted to ensure that they remain affordable to future generations," added the spokesperson. "This creates opportunities for individuals and families to develop equity and generational wealth."

The City is enthusiastic about bringing much-needed affordable housing to the community. Residents can learn more about the City's efforts to tackle the affordable housing crisis by visiting the Affordable Housing 101 webpage. To stay updated on Raleigh Housing news, individuals can sign up for email alerts under the topic "Community Development News."

By investing in the development of The Cottages of Idlewild, the City Council has taken a significant step towards providing affordable housing options for its residents. The project's focus on increased affordability and the use of the Community Land Trust Model ensures that the homes will remain accessible to future generations. With the support of RALT and potential additional funding from Wake County, this project will serve as a model for future affordable housing developments in the city.