How Will We Generate New Affordable Housing?

1. The numbers are in….
Now what?
1. Find Ways to Reduce Your Obligation
2. Look at All Your Options

2. Vacant Land Adjustment – N.J.S.A 5:93-4.2
• A review of all vacant land in the municipality less
environmental constraints and preserved lands
• The total amount of vacant land multiplied by a
“reasonable” inclusionary zone standard/20% =
Realistic Development Potential (RDP)
• Example: Obligation is 200 units, vacant land is 25
acres multiplied by 8 units to the acre = 200 x 20% =
40 units
• New Obligation is 40 units; must address unmet need
of 160 units

3. Durational Adjustment – N.J.S.A. 5:93-4.3
• When a community has insufficient water or sewer
to provide to inclusionary zones
• The obligation is deferred until water and/or sewer
is available
• When sewer or water is available, priority must be
given to affordable housing
• Overlay zoning triggered by availability of water
and/or sewer may be necessary

4. Inclusionary Zoning
• Minimum 6 units / acre with 20% set-aside for
owner-occupied/ 15% set-aside for renter-
occupied units
• For Rental Credits: Minimum 12 units/acre with
20% set-aside for owner-occupied/ 15% set-aside
for renter occupied units

5. Can be applied over current zone and only
triggered if property redevelops
Target older strip malls, office complexes,
under-utilized properties
May incentivize redevelopment

6. Redevelopment Plans offer flexibility
PILOT programs and other negotiations
may provide incentives for higher than
minimum set-asides, i.e. 20% for rentals
Focused design standards may help
address neighborhood character

7. Can provide for affordable housing in
single family neighborhoods
Has added bonus of helping homes to
become more affordable for owner
Units must be deed restricted
Recommend an affordable housing trust
fund to assist in producing units

8. Purchase, deed-restrict and sell or rent the
unit
Can be single family or multi-family
Can apply to municipally-owned and
general foreclosures
Need seed money to start the program
Groups like Habitat for Humanity can help

9. Leverage municipally-owned property
Reduce need for overall unit counts
Many reputable and experienced
developers working with LIHTC

10. Can utilize existing properties or homes
owned by the municipality
Research if any exist that haven’t been
counted
Can use money in your trust fund to assist
service providers in purchasing a home