One “40B” Project Approved, One Pending
In May 2023, recalculation of the Subsidized Housing Index (based on 2020 Census results) showed that Concord fell below the threshold of 10% affordable units. Almost immediately, developers filed a proposal with Mass Housing (the responsible State agency) for a multifamily project at 320 Baker Avenue, to be called NOVO Riverside Commons. This is a “40B development,” which would be built under a section of State housing law permitting developers to override local zoning if a municipality falls below the 10% affordable housing threshold.
The site is on the edge of the large Baker Avenue office complex, abutting a small pond and the railroad tracks. The site is an appropriate one for multi-family housing, within walking distance of the West Concord train station once a bridge is built across the Assabet River. The Riverside Commons project provides 51 affordable units, Importantly, Riverside Commons helps meet Concord’s climate goals because it will be “all electric.” Creation of the affordable housing units is a major step forward in Concord’s Housing Production Plan.
The other units would be market rate, but within reach of many households who cannot afford to buy a home in Concord. In April 2024, the Zoning Board of Appeals issued a comprehensive permit for the project, which has now been added to the Town’s subsidized housing inventory, taking the percentage of affordable units over 12%. The developer has decided not to build a proposed multi-story garage for the office complex, and will share some of the office parking spaces with the new housing development. The developer is seeking permits for these changes from the Natural Resources Commission and the Zoning Board of Appeals, and hopes to begin construction late in the first quarter or early in the seconds quarter of 2025.
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A second 40B application was filed in the fall of 2023 for the current site of Camp Thoreau. After reviewing the site and proposal, the Foundation recommended that the project not receive State support. The location puts a large number of additional homes close to the largest existing multi family housing project in town (The Prescott) and over two miles from West Concord center—-clearly contrary to the intent of transit oriented development spurred by the MBTA zoning law. The development does not appear to be fossil fuel free, would require major alterations in land forms, and would create substantial additional traffic and vehicle pollution along Rte. 62. Based on comments by the Planning Board and Town staff, the Select Board submitted a similar recommendation to the State. However, the State allowed the project to proceed in December. The developer has responded to concerns about septic, drainage and placement of the entrance road, but is also proposing an increase in the number of units in the complex. The Zoning Board of Appeals has scheduled discussion of the revised proposal for October 30 .
Updated: 10/29/24
Legislative Developments
Special Town Meeting in January 2023 reauthorized the real estate transfer fee, changing the previously approved language to exempt the amount of sales below $1,000,000. Our legislators (Sen. Barrett, Reps. Cataldo and Gentile) promptly filed home rule petitions to obtain Legislative approval for the transfer fee and a previously approved building permit surcharge for affordable housing. Other cities and towns that have approved a transfer fee include Amherst, Arlington,Boston, Chatham, Martha’s Vineyard, Nantucket, Provincetown, Truro and Wellfleet. Boston, Cambridge and Somerville
A bill that would permit any municipality in the State to adopt a real estate transfer fee under certain conditions was submitted by Senator Comerford and Representative Connolly. (S .1771/H.2747). The Concord transfer fee could be implemented as written if this bill had passed.
The Concord Housing Foundation has strongly supported the local option real estate transfer fee, the only viable option to generate significant local funds to save small houses and increase the number of affordable units. You can see legislative testimony by CHF Boards member Lise Holdorf here—-Holdorf Testimony.
In October 2023, Governor Healey submitted a multi-faceted housing bond bill designed to greatly stimulate housing production in Massachusetts. The bill contained important policy provisions——-including authorization for communities to adopt a real estate transfer fee . Analysis of real estate sales data confirmed that Concord can expect to realize $2 million per year or more from its transfer fee. The Foundation, Concord housing agencies and the Select Board submitted support letters. Community, religious and business organizations spoke in favor, Only the real estate industry provided significant testimony against the bill, citing a questionably relevant study of the implementation of a transfer fee in the city of Toronto during the 2008 “housing crash.
The Housing Committee reported favorably on the bill, making no changes in the transfer fee language. The bill was later approved by the Committee on Bonding, Capital Expenditures and State assets. But the transfer fee did not survive in the version of the Governor’s bill which passed both houses of the Legislature at the very end of the session.. Despite strong support from many legislators, it appears that real estate industry opposition was effective in getting Legislative leaders to remove the transfer fee from the final bill..
But the story is not over. The LOHA (Local Options for Housing Affordability) coalition will be filing a transfer fee bill after the new Legislature convenes in January 2025. Legislators from towns that have passed a transfer fee continue to support it, and LOHA will be working to expand its coalition and refine its message. Stay tuned. Because home rule petitions expire at the end of each Legislative session, it will be necessary for Concord Town Meeting to again pass our proposed transfer fee in 2025.
Updated: 10/29/24
Five Year Housing Production Plan Accepted by Select Board
Every five years, Concord and other Massachusetts municipalities must produce a document called a Housing Production Plan (HPP). The last HPP was developed in 2015, and the new plan has been delayed by COVID. It contains a detailed analysis of Concord’s demography, housing inventory and housing market. The new report submitted for Select Board review on December 19 can be found HERE.
No surprise, the report shows that the number of units in the official Subsidized Housing Inventory (SHI) has been effectively static for the last decade, while Concord housing prices grow further out of reach, even for current residents. To buy a single family home at the median price in 2020 would require (using standard criteria) a household income of $283,000. In an interesting analysis, the report finds that many “new” homes in Concord were tear downs. In the process, homes with an average of 1,473 square feet selling for $591,000 were replaced by homes averaging 3,917 square feet and selling for $1,460,000.
Because of delays in issuing the 2020 Census results, the report does not contain an updated calculation of the SHI. But with a recent small decline in the number of SHI units while permits were issued for 205 new housing units, Concord will almost certainly fall below the 10% SHI threshold used to determine the applicability of Section 40B. This shortfall would permit developers to override some zoning rules with dense new developments so long as the project contains enough affordable units.
The way forward is difficult. With the death of Junction Village, two single family units and the five homes at Assabet Bluff are the only units now in the pipeline. A new project at the Junction Village site, and a small number of units on existing Concord Housing Authority land are at least several years in the future.
The HPP looks beyond subsidized housing to consider how homes could become generally more affordable in Concord. Suggestions include:
Allowing duplexes “as of right” in all residential zones
Revisiting regulations (including the Thoreau Depot District) to encourage more housing in multiple use districts
Considering smaller lot sizes and increasing sewer capacity
The HPP is comprehensive in considering environmental protection, climate change, and making Concord a more inclusive community. The report lays out a complex web of options for the community. Now it is up to Concord citizens, the Planning Board, and the Select Board to choose and implement options which will reverse trends that price still more citizens out of Concord.
Added to website: December 2022
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