200-UNIT MULTIFAMILY (STICK) RENTAL DEVELOPMENT. ..........c..essscsseesseeseseeesseetseeeseceeees 28
200-UNIT MULTIFAMILY (PODIUM) RENTAL DEVELOPMENT ..........ccssssssssssssssesssseesesesseees 28
POTENTIAL HOUSING TRUST FUNDING STRATEGIES... ccc ssscsssssessessseessesssessssesssseseeseees 31
APPENDIX 1 occ ccesssstsssssssesssssessssesessseesssessssessessssssssessssessssesssessssesesseseesssessssessseesecsssessssessseesesessssesseeesens 33
City of Nashua
Inclusionary Zoning:
Financial Feasibility Analysis
September 1, 2021
PREPARED FOR:
City of Nashua
Community Development Division
229 Main Street, Nashua, NH 03060
PREPARED BY:
RKG Associates, Inc.
e Cc ity Devel t
City of Nashua Planning and Zoning
. sone Building Safet
Community Development Division Code Enforcement
Urban Programs
City Hall, 229 Main Street, PO Box 2019 Conservation Commission
Nashua, New Hampshire 03061-2019 Transportation
www.nashuanh.gov FAX
589-3095
589-3090
589-3080
589-3100
589-3085
589-3105
880-0100
589-3119
Date: September 22, 2021
ECONOMIC DEVELOPMENT ($5,000) FOR THE PURPOSE OF FUNDING SALARIES
e Budget Review Committee — anticipated recommendation for final passage
R-21-168
Endorsers: Mayor Jim Donchess
Alderman-at-Large Michael B. O’Brien, Sr.
Alderman Patricia Klee
Alderman Richard A. Dowd
Alderman Jan Schmidt
Alderman Linda Harriott-Gathright
Alderman Skip Cleaver
Alderman-at-Large Lori Wilshire
ESTABLISHING AN OPIOID ABATEMENT EXPENDABLE TRUST FUND FUNDED BY APPROPRIATIONS AND
9(b). COMMUNICATIONS REQUIRING FINAL APPROVAL
From: Mayor Jim Donchess
Re: Multi Year Interpreting Services Contract in the amount not to exceed $3,500 funded from accounts 55699
Other Contracted Services (Police Department)
From: Mayor Jim Donchess
Re: Engineering Consulting in the amount not to exceed $2,600,000 funded from accounts SFR Loan
(Engineering Department)
From: Mayor Jim Donchess
Re: Postage Machine Lease in the amount not to exceed $6,000.60 funded from accounts 55607
Postage & Delivery (Library)
AGENDA MEETING OF THE BOARD OF ALDERMEN SEPTEMBER 28, 2021
7:30 PM Aldermanic Chamber and by Zoom
Join Zoom Meeting: https://us02web.zoom.us/j/87809222661? pwd=UnBPS24 1loW9id VIXb20vR2pzT29XUT09
Meeting ID: 878 0922 2661 Passcode: 209661
Join by phone: 1-929-205-6099
Meeting ID: 878 0922 2661 Passcode: 209661
If for some reason you have problems with connectivity, please contact us at (603) 589-3329 and someone will assist you. The
public may also view the meeting via Channel 16.
Financial Feasibility Analysis
STRATEGIES
CONSIDER PAYMENT IN LIEU OF UNITS IN CERTAIN CIRCUMSTANCES
¢ A payment in lieu of units allows for the city to elect to receive a cash
payment to the Housing Trust fund instead of having the units delivered
Payment in lieu strategies oftentimes are used to avoid affordable units
being concentrated in select areas
The approach also is common to alleviate an additional financial burden
when a ‘partial unit’ is calculated
¢ 75-unit development with a 10% IZ requirement = 7.5 units
Financial Feasibility Analysis
STRATEGIES
CREATE SEPARATE THRESHOLDS FOR DOWNTOWN
¢ City priority (from previous plan) is to increase diversity Downtown since
it already has higher share of affordability than other parts of Nashua
¢ Cost to develop housing is higher in Downtown, particularly due to the
need for structured (podium) parking
¢ Th city should consider a lower inclusionary requirement for Downtown
into the near future to continue to promote development while balancing
price diversity citywide
Financial Feasibility Analysis
STRATEGIES
ASSOCIATES INC
TARGET THE ‘MISSING MIDDLE’ IN CURRENT DEVELOPMENT TRENDS
¢ Recent development has focused on 100% affordable housing and
100% market rate housing
* No development has targeted the ‘missing middle’ incomes
¢ The analysis reveals that delivering to this group is financially
challenging and there are no Federal programs to help
¢ Targeting the IZ policy to this cohort creates a stronger continuum
