Arlington County Board Increases Housing Investments in FY 2023 Budget

Together with other concerned Arlington organizations and citizens, AHS asked the County Board to increase investments in affordable housing in the FY 2023 budget.

The Board responded by accepting many of our requested changes on Tuesday, April 26 when they approved the final budget. Highlights of the budget include:

• Increased funding for the Affordable Housing Investment Fund (AHIF), bringing the total in the FY 2023 budget up from $16.9 million in FY 2022 to $18.7 million

• The creation of two new full-time staff positions to provide additional capacity for housing development and oversight of the County’s growing committed affordable housing portfolio

• $14.3 million in Housing Grant support

• Additional funding for permanent supportive housing and eviction protection

As we look toward an inclusive and sustainable future for our community, AHS is pleased to see the County’s increased investment in affordable housing.

Our full letter to the County reads:

April 4, 2022 

Dear Chair Cristol and Board Members,

The Alliance for Housing Solutions would like to thank you for your ongoing commitment to affordable housing and related programs in the FY2023 draft budget. The steady funding for AHIF and Housing Grants and the increase for Permanent Supportive Units are very welcome. The recent increase in FTEs for inspections and planning are strong indicators of long-term foundational support for quality and quantity in our housing portfolio and programs.

The momentum of several housing advances in the past months, from the Barcroft Apartments purchase and the large-scale Marbella Apartments project to the use of the new bonus height provision, and the inclusion of affordable units in the Pentagon City Sector Plan, demonstrate the County is building the capacity to increase the pace of growth called for in the Affordable Housing Master Plan.

These commitments build on the progress and leadership shown in this past year and through the many ways County staff and leaders supported our diverse communities during COVID and set the pace for realizing our goals. To maintain this momentum and deliver on the County’s housing and equity goals, AHS believes that investing in additional housing staff and committing to increasing AHIF funding in FY2024 and beyond are critical funding considerations for the upcoming budget. AHS shares these recommendations:

Staffing:
We are concerned, even with the recent addition of compliance and planning FTEs, that County staff may not have the time and capacity to carry out the volume and complexity of housing work in the coming year. In 2023 alone, staff will be addressing projects including Barcroft, Park Shirlington, and Crystal Houses, as well as planning processes including Plan Langston Blvd, both the Missing Middle Housing and Housing Grant studies, the Regional Fair Housing Plan, the Serrano after-action report, and the Analysis of Aging Properties. This workload raises the question: Are there enough staff and expert resources to carry out this quantity of work and at the level of excellence Arlington expects? The decision not to undertake the NOFA process this year is an indicator of the existing shortfall of time and staff.

 As Arlington’s CAF portfolio grows and development deals become more complex, the County must equip staff to ensure our community has the capacity to meet the 2040 Affordable Housing Master Plan goals, while maintaining housing quality, as well as fostering innovation. To better address these many needs, we recommend that the County create a Deputy Director position for the Housing Division. This would bring additional capacity to handle the increasing number of projects and situations that require the Housing Division leadership’s attention. We hope the Manager and Board will give serious consideration to this new position.

AHIF Funding:
In addition, we know that for the FY2024 budget and beyond, AHIF funding will need to increase substantially to close the gap between the current CAF portfolio and the AHMP goals of more than 15,000 affordable units in Arlington. The Housing staff’s recent Implementation Framework states:

“…the County would likely need to finance around 440 new [CAF] units a year for the next 19 years. Currently, the cost per unit for County-funded CAF projects is between $85,000 and $112,500 per unit. The estimated resources to fund that level of production would be between $37.4 and $49.5 million annually. For reference, the average annual funding for the County Loan Fund from 2016 through 2020 was $27.4 million.”

In addition, the County’s 2020 Housing Needs Analysis found that there are over 13,000 Arlington households earning under 50% of the AMI. At present, the County has a deficit of 9,500 rental units affordable at the 50% AMI level and below.

While these are extraordinarily challenging times, Arlington also has extraordinary opportunities to achieve a new level of housing supply and affordability needed across our county. Now we must respond to these plans to advance our shared goals and the work of keeping Arlington a welcoming community for all, by leveraging the resources necessary to bring them to fruition.

Again, we thank the Board and the County Manager for your ongoing commitment to providing the range of housing necessary to sustain our community. It is our hope that Housing Equity will continue to be a high priority in the County’s work throughout this year and as we look to 2024. We appreciate your efforts to protect Arlington tenants, as well as to empower our dedicated County staff, and support our non-profit housing development partners, who are all working to fulfill our shared vision of keeping Arlington a diverse and inclusive, world-class urban community.

 Sincerely,

Jenny Denney Lawson    
Chair, Board of Directors  

Martha Bozman
Interim Executive Director                              

AHC, Inc.
APAH
Coalition for Smarter Growth
Habitat for Humanity of Washington DC & NOVA
NVAHA
THRIVE
Wesley Housing
Susan English
Mary Hynes
Detta Kissel
Dave Leibson
Joan McDermott
Pat McGrady
Sueyen Rhee
Kathryn Scruggs
Daniel Weir

Arlington County Board Passes Redevelopment Plan for Marbella Apartments

On February 28, 2022, the Arlington County Board voted 5-0 to move forward with the phased redevelopment of the Marbella Apartments as well as $21,400,000 in loan financing (Affordable Housing Investment Fund) for the first phase of the project. A portion of the Marbella’s existing apartments will be redeveloped into two new 12-story buildings with a resulting 555 committed affordable homes (CAFs)—an unprecedented number for one location in the County. All 555 homes will remain affordable for 75 years and will include much-needed family-sized and senior units. In addition to the nearly 500 new units on the site, approximately 60 existing older garden-style apartments will be renovated to better serve the current families in need of affordable housing.

The project will also help achieve digital equity in Arlington by providing hard-wired, free internet access to all residents. The new buildings will meet many green building goals including an array of rooftop solar panels and a green roof, as well as native plantings and stormwater management features.

The Marbella’s developer, Arlington Partnership for Affordable Housing (APAH), will now begin applying for financing and permitting for the first phase of the project, which will begin construction in 2023.

The Marbella is an ideal location for affordable housing because it ensures that residents have convenient access to the Rosslyn and Courthouse Metro stations, bus transit, restaurants, parks, and employment.

 AHS applauds this important step forward for affordable housing in Arlington and urged the County Board to support the project.

AHS’s full letter to the County Board reads:

February 11, 2022

Hon. Katie Cristol
2100 Clarendon Boulevard
Arlington, VA 22201

Dear Ms. Cristol, 

The Alliance for Housing Solutions is writing to support the Marbella Apartments redevelopment project to be considered by the Board on Feb. 12.  We would like to thank you, the other Board members, and County staff for maintaining affordable housing as a priority.   

The Marbella Apartments will provide 555 newly constructed units, which will be committed affordable units (CAFs) for a period of 75 years. The developer also proposes to preserve and renovate the remaining garden-style apartments in the complex.  Use of the new Zoning Ordinance amendment allowing additional height is an important component of the success of this project.  We applaud the number of family-sized units planned for these buildings and the depth of affordability of the units, as well as the designation of 125 senior-restricted apartments. 

The Marbella Apartments project is an excellent example of appropriate in-fill development for this site and will provide housing, employment access, and community opportunities, to hundreds of low-wage families in this resource-rich neighborhood.  It will advance County priorities of equity and sustainability, two important goals in Arlington’s Affordable Housing Master Plan.   

We urge the Board to support this important project in the Radnor-Fort Myer Heights neighborhood, and once again thank you for your continued commitment to affordable housing throughout Arlington.    

Thank you for your consideration,

Jenny Denney Lawson
Chair, Board of Directors

Martha Bozman
Interim Executive Director

Arlington County Board Adopts Pentagon City Sector Plan

On February 12, 2022, the Arlington County Board voted 5-0 to approve a new vision for the future of the rapidly developing Pentagon City neighborhood. Along with several other local groups, the Alliance for Housing Solutions recommended that the County adopt the Sector Plan.

The Sector Plan will add much-needed new housing in an area not currently prepared to handle the density expected from the arrival of Amazon’s HQ2. In an unprecedented move, the Plan requires at least 10% of net newly constructed rental units in Pentagon City to be affordable at up to 60% of Area Median Income (AMI) and 10% of owner units affordable up to 80% of AMI, all for a period of 30 years.AHS also applauds the Sector Plan’s eye toward sustainability, which thoughtfully considers public spaces and tree canopy as well as walkability and bikability.  

 AHS believes Pentagon City is an ideal location for increased density in Arlington due to its proximity to mass transit, a major airport, and employment opportunities. We will continue to provide updates as the process moves forward with specific site plans and opportunities for community engagement. 

AHS’s full letter to the County reads:

February 9, 2022 

Hon. Katie Cristol
2100 Clarendon Boulevard
Arlington, VA 22201

Dear Chair Cristol, 

The Alliance for Housing Solutions is in full support of the draft Pentagon City Sector Plan that the County Board will be considering at its February 12, 2022, meeting. AHS would like to commend Arlington County Planning Division staff and the staff of several other departments who joined forces to produce this Sector Plan. The Pentagon City area is a rapidly developing segment of Arlington and yet it lacks a comprehensive planning document. 

This Sector Plan process offered the Arlington community at large and the local neighbors, in particular, the opportunity to articulate our collective values regarding housing supply, green space, transportation, biking/walking, community services, and more. We thank the Livability 22202 coalition of adjacent civic associations, and other local groups, as well as County Planning Staff, for their efforts to gather and distill expressed needs and goals of the Pentagon City area from hundreds of Arlington participants. 

Housing supply is at crisis levels throughout Arlington, and acutely so since Amazon arrived in Pentagon City, where average rents have been rising rapidly and the area is gentrifying quickly. Low-rent housing is disappearing and the area is not well planned to handle the expected density in the years to come. 

By today’s standards, Pentagon City still has relatively low density, considering its adjacency to multiple forms of public transportation, business, retail, and a major airport. This Sector Plan includes important new expansions in planned density that will result in many new housing units on underutilized space, especially on surface parking lots at the River House complex, while proactively preserving green space and improving walkability and bikability across the area.  

Currently, there are a total of 342 committed affordable housing units (CAFs) in the study area, of which 300 are age-restricted units located in the Claridge House building. There are 42 more CAFs being designated as part of previous site plans in the larger National Landing area, and 35 more CAFs in production, for a total of only 377 CAFs in the Pentagon City area. Arlington’s Affordable Housing Master Plan calls for 2,200 CAFs in the greater Pentagon City/Crystal City area. This Sector Plan will go a long way to adding much-needed housing supply, including affordable units. 

In a bold and new way, this plan establishes a threshold of at least 10% of all net new residential density be designated for on-site affordable units. It should be stated that it is unprecedented to require a 10% minimum CAF count in a Sector Plan, and AHS applauds staff for including this important element among the community benefits it will require from developers.  

That said, the County should further explore how these future CAF units could be retained after their 30-year period of affordability ends. What kind of creative and outside-the-box thinking can we bring to this challenge? It should also be noted that this is a minimum requirement in the Plan, meaning that as individual sites come for site plan review, the County will have an opportunity to further negotiate the required CAFs on a case-by-case basis, for example requesting more on-site units, or a higher percentage of family-sized CAFs, or that some CAF units be available at less than 60% AMI.

According to the draft Sector Plan, much of the new residential density will be located on the surface parking lots scattered on the River House site. This is a prudent use of space – to concentrate additional density near where it already exists, while permanently preserving the surrounding open space and protecting the lower-density residential areas found in the larger Pentagon City area. As per the language in this Plan, these scattered green spaces will be consolidated over time and secured as public green/open space - whereas today, they are privately controlled green spaces and, as such, they could be developed by-right at any time and would be lost as open space forever. The Plan will also require a minimum tree canopy be maintained or restored as sites are redeveloped, along with streetscape and bikability improvements.

In conclusion, the proposed Pentagon City Sector Plan reflects the current vision of the Pentagon City area, and it anticipates the needs of future residents in a planned, organized manner. By including on-site affordable units, along with the emphasis on a sustainable, walkable neighborhood, this Sector Plan will expand opportunity and housing choice and help Pentagon City evolve into an even more livable neighborhood for its current and future renters and owners of all income levels.

AHS encourages the County Board to adopt the draft Pentagon City Sector Plan.

Jenny Denney Lawson
Chair, Board of Directors

Martha Bozman
Interim Executive Director

Arlington Approves Construction of New Detached Accessory Dwellings

Also known as backyard cottages or in-law suites, accessory dwellings are helpful tools for providing additional housing options throughout our community. Although they are not required to be rented at affordable rates, they are more likely than other new apartments to be affordable given their modest size and features.

On May 18, the Arlington County Board voted unanimously to allow homeowners to build new detached accessory dwellings. They also amended the County’s Zoning Ordinance to make it easier to convert existing buildings into accessory dwellings.

According to the official press release, the approved changes include:

• Minimum side and rear yard setback distances of 5 feet for new detached accessory dwellings on interior lots; and

• Minimum side yard setback distance of 5 feet, and a minimum rear yard setback distance of 10 feet, for new detached accessory dwellings on corner lots.

The Alliance for Housing Solutions strongly supports the County Board’s adoption of a zoning amendment to allow the creation of new detached Accessory Dwellings.

AHS recommended that the County adopt a one-foot setback for both existing and new accessory dwellings, and, should they choose not to adopt a one-foot setback, to allow a provision to “grandfather” expansions to existing buildings with smaller setbacks with the ability to expand to the allowable size and height for AD conversions as long as the expansion does not reduce the current setback. The County Board ultimately chose not to take the Alliance for Housing Solutions’ recommendations and instead adopted the staff-recommended five-foot setback.

According to ARLnow’s reporting, “A March draft of the policy estimated that 44 percent of Arlington’s one-family residential lots would be eligible to build [accessory dwellings] under these rules.”

While most anticipate that additions of accessory dwellings will happen slowly, AHS believes it is a step in the right direction to add desperately needed housing stock to our community.

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Background on Accessory Dwellings in Arlington

Accessory Dwellings (ADs) can help increase rental housing options in Arlington by providing modestly priced apartments in single-family neighborhoods throughout the County.

Although they are not subsidized or rent restricted in any way, the small size and modest amenities of ADs will naturally mean they rent for relatively reasonable and affordable rents. AD rentals also provide an income stream for homeowners that can help them afford the cost of living in Arlington.

ADs can provide a valuable alternative for renters who cannot afford higher-end apartments or who prefer to live in a single-family neighborhood environment – teachers, caregivers, recent college graduates, retirees and others.

Since 2009, ADs located within single-family homes have been allowed in Arlington, and in 2017 the County Board approved conversion of existing detached accessory buildings (garages, offices, etc.) to be used as ADs, as long as only internal renovations are needed.

The May 18, 2019, decision allows construction of new detached ADs.

Arlington’s zoning ordinance allows construction of any detached accessory building not used as housing (detached garages are most common), one foot from the side and rear property lines. There are thousands of these buildings throughout Arlington’s single-family neighborhoods – County staff has estimated about 4,500 existing garages, half of which are located one foot from the property line.

Even with this existing rule in place existing buildings located less than five feet from the property line would be limited to the current rule of only internal renovations even if they are substantially smaller than what is otherwise allowed. A small existing building could be expanded to create a larger garage, but not a larger Accessory Dwelling.

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Rationale for Recommended One-Foot Setback

The following is an excerpt from the letter AHS sent to Arlington County Board prior to their May 18, 2019 decision.

1. Consistency and simplicity

County zoning rules are already confusing for homeowners and contractors to navigate. Keeping AD rules consistent with the rules for other accessory buildings such as garages will create a much more easily understandable system of rules and reduce the potential for inadvertent violations. Confusing and limiting rules could also cause homeowners to give up pursuing an Accessory Dwelling in the first place. We know this was the case after the adoption of the original AD ordinance that went into effect in 2009 – less than 20 of these units were created in the decade following enactment. This was the main driver for the updates approved in 2017, which simplified the regulations and removed barriers. After this experience, we should not set up a similar situation with detached ADs that will approve them in concept but create unreasonable rules that limit their creation.

2. Equal treatment for cars and people

The proposed setback rules for ADs will create a system in Arlington that favors creating garages over creating apartments. Developers who build new homes, many of which are including detached garages due to favorable lot coverage rules, may decide that the five-foot setback requirement is too limiting and will instead build a more standard garage as an accessory building. Owners of existing garages will have the ability to expand their garage to accommodate more cars and a playroom or office, because the rules allow for an accessory building to be up to 560/650 square feet (depending on the zoning district) and up to 1.5 stories tall.

3. Larger setbacks should be optional, not required

The Virginia building code requires that any dwelling unit with a setback of less than five feet have certain fire-resistance ratings and a limited number of wall openings (windows and doors). Those with setbacks below three feet are not allowed any wall openings. So even if Arlington requires only a one-foot setback these other rules will be in place to limit the impact of the buildings on neighbors in terms of both safety and privacy.

Some owners considering an AD will decide that a larger setback will be worth the trade-off to avoid complying with these fire safety regulations, which do increase the costs of construction and renovation. Other owners will find a 1-foot, 2-foot, 3-foot, or 4-foot setback is needed to make the building feasible for any number of reasons such as design, consistency with existing structures, locations of trees, etc. This should be something that each owner decides based on their individual circumstances. Providing maximum flexibility will create the greatest number of ADs and the greatest impact on housing options and affordability in Arlington.

4. A smaller setback will accommodate more conversions of existing buildings

In earlier public meetings on this issue, staff shared an estimate of 4,500 existing detached garages in Arlington, with half of these garages at a one-foot setback from the property line. Although we do not have data on the specifics, it is very likely that the vast majority of the remaining half of these garages are also at setbacks less than the five feet that is recommended by staff.

Enacting a five-foot setback requirement for newly constructed ADs would then place almost all existing detached garages into a limited “grandfathering” status where conversion to an Accessory Dwelling could be done with only internal renovations. Because many of these existing garages are small, one-story structures they may not be suitable for use as an AD without some sort of expansion. As noted above, these structures could be expanded at their current setback in order to create a larger garage, but under the staff’s proposal they cannot be expanded if the building will be used for an AD.

A result of this grandfathering limitation could be that more existing garages are demolished in order to create new structures at the five-foot setback. Any infrastructure associated with the existing structure – driveways, walkways, electricity and plumbing, would also have to be moved and would create more disruption to existing neighborhoods than would a more limited expansion of the existing structure. Allowing greater flexibility for expansions of existing structures could help reduce the need for these demolitions and would likely result in a greater number of conversions taking place.

5. Several other communities use a setback of less than five feet

The staff’s Board Report on this proposal provides a summary of setback standards in other jurisdictions (see p. 6 of the report). While very few of the jurisdictions shown allow the setback of one foot, and five feet is the most common, there are several that require less than five feet in many circumstances:

• Washington, D.C. does not specify a minimum setback

• San Jose allows no setback for the first story

• Minneapolis allows three feet in most circumstances

• Santa Cruz allows three feet for one-story structures

• Berkeley allows four feet

We note that the staff’s analysis chose to consider only a one-foot, five-foot, or ten-foot setback rather than a more refined sliding scale that would have considered a setback such as three feet. Should the County Board decide not to adopt the one-foot setback standard that we are recommending, AHS urges consideration of a more refined approach with a compromise such as three feet. Although it would not capture most of the existing structures (as our recommendation would), the three-feet compromise would meet many of the goals specified by staff in selecting the five-foot setback while still allowing maximum flexibility for at least a portion of the existing accessory structures to be converted. As we noted above, three feet is also the limit in the building code for allowing any wall openings along the side facing the setback, so this compromise has some basis in existing regulations.

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The Alliance For Housing Solutions periodically sends policy/action alerts to let constituents know about upcoming decisions that affect housing affordability in our community. These emails include AHS recommendations and information about how to make your voice heard.

County Considers Accessory Dwelling Setback Requirements

Also known as backyard cottages or in-law suites, accessory dwellings are helpful tools for providing additional housing options throughout our community. Although they are not required to be rented at affordable rates, they are more likely than other new apartments to be affordable given their modest size and features.

The County took a step toward approval of new detached Accessory Dwelling units at its April 25 recessed meeting with the approval of a Request to Advertise Accessory Dwelling zoning changes.

The key issue for analysis and approval has been the setbacks that would be required for new Accessory Dwellings.

In late 2017, staff recommended that new detached ADs be allowed at the same setbacks as currently allowed for other accessory buildings such as garages, which is one foot from the side and rear property lines. At that time the County Board asked staff to do further analysis on the setback option sprior to approving construction of new external ADs.

The board did allow conversions of existing detached structures to become ADs as long as only internal modifications were needed.

After conducting research on setbacks used in other jurisdictions, staff returned with a proposal to allow new ADs with a side and rear setback of five feet, rather than the original one foot proposed in 2017.

At the April 25, 2019 meeting the County Board voted to advertise an option for them to approve the original 1-foot setbacks as well as the staff recommendation of 5 feet (any distance between 1-5 feet can be approved).

The board will make their final decision at the May 18 County Board meeting.

Learn more about Accessory Dwellings and how they can benefit a community.