Nov 16, 2012|
Greg Bialecki, Massachusetts Secretary of Housing and Economic Development
Transcript - Not for consumer use. Robot overlords only. Will not be accurate.
Well yesterday we talked about the governor's plans to develop multifamily. Housing in Massachusetts. Today we're joined by great by Lackey he has the Massachusetts secretary of housing and development. Greg good morning welcome to the show -- Good good so tell us all about the governor's plan tee and noted involves developing 101000. Multifamily housing units each year tells about it. -- right so most importantly it's really a goal for all of us it's not a government culturally a -- that. Governor -- and asking our community. But really the private sector the -- decided. He talked yesterday about there are public housing. To talk about the virtues of public -- -- -- their separate conversation. But there are. In that case this is all private housing project about the fact that Massachusetts. Under produces. Multi Billy -- don't particularly apartments. One of the lowest in the country at that during yeah there's not enough for a young people. To stay here and we're looking to -- So the what you indeed there seems to be appealing that Americans want a live in the cities. As opposed to the suburbs I've always been a suburb guy but you're you're the governor's plan is largely based on changing demographics. Well it is and what you know very -- And north eastern and it report. And highlight the changes in demographics. Innovation companies that are here on young people. Young talent working in them 25 to thirty year old yeah. I don't -- your old. People do. And Boston and Cambridge and Somerville. Even on -- 2495. They want to live even as those suburban communities. They wanna live in -- sort urban villages. Places where. -- or some of our former don't count get revitalized. It out like pot and other small ones like market in the world all elements of four. With what is the governor doing -- to provide financial incentives because that was written about but I couldn't find any details -- must be. Tax credits or something that they this state is doing to encourage that type of real state development activity. Right now what's interesting as. It is a case where -- and listen to your shovel into your shell your your market guy you this -- interest in case where. -- mark that we don't have to pay people. Don't wanna build multifamily housing market. Once the building -- really housing I can line up. A bunch of developers who want to build that I showed you a lot of young people who want to rent bit and a market rate -- up. The number one reason that we are under produced and multifamily Massachusetts. Is government regulation. What kind of regulation to give us an example. Locals don't think -- really look we're -- were 351. Even count the Massachusetts. Can't -- is determined by that local -- and most of our cities and towns. Do not allow the construction. A multifamily residential. Anywhere in their community. Like my town I live in that -- Greg and they did some developers trying to put in a forty B we don't want. Right so we have bad. If you look traditionally and that's been the stereotype or Massachusetts. Maybe it's good for the state -- we hear you about. Need more young people staying here and so -- good for the state but not good at a local community. Not because it -- our school system of a sudden you get people that are paying any taxes. And they're put in 500 kids in the public schools. Well -- that -- and the -- destroyed but if you look at the particular that's been the story line but if you look at the particular example and we're finding that there's more and more communities source saying. You know what let's let's go at -- and look at that a little more closely. Analysts look at what's actually happening here so for example. You know the demographics you know for the 25 to 35 year old crowd were talking about yeah. If you put a hundred apartment yet it's better bill than those kinds of young professionals. There's not going to be a lot of all kids in those buildings that Greg by what he. And that's a fact do we know how. Maybe not ran out -- -- right away though Greg but you know late if you put a -- -- 25 year old and a building together they're gonna they're gonna make babies. Well and that and a whole lot gonna buy a house and maybe it's in your community and radiates help it's not -- it's so the point is. We're talking Q there's some communities that feel strongly about it yeah. And they're not interest it and it and that's fine we're not going to try to -- the law that makes them. Changed their mind what we're saying is word -- we have identified. A. A group of communities is not just the Boston Cambridge Somerville. It's the actually right down the road from -- -- in mid -- interest bit. In putting -- housing in their historic. -- other traditional down count yeah that's the restaurants and shops they are they need track at. You want to revitalization. You want to do a radio -- saying let's were starting -- let's start with the communities were finding their more than people. I think it. At this conference that the governor spoke -- and announced the goal. Account of -- was -- out of Reading kind of a classic yeah new England's number about right off I 95 that -- And an award for one of the that's suburbs in the country last year. They are putting. They agreed they changed their zoning to put 200. And if -- apartment units and their downtown Detroit at a commuter rail station they've made the decision that when you know that was the right thing. To do and it meant that they're gonna have more there. Restaurants and that is cream shop and so what we're gonna do better and there are different I was gonna do better -- -- Financial incentives that we are talking about very governors -- about you are not directed to the private marketplace is that developers. There's a demand for this product developers one of all the what we're saying is those communities. Better thinking maybe some multifamily would be OK for a swift and let you of those communities. Some financial incentives. To tip them over and -- supporting. Them chorus. So what are the incentives 'cause I know they have to -- they have to take -- if they take the government incentives. They have to provide some of -- housing has to be low income housing in the 10%. We have different programs that have different criteria but for the new program we announced this week it would be 10%. What Matt ready in case for example what is written. Do it but the 10%. They actually and they actually and a 20%. 20% affordable under that -- and they're under a program has been around for -- called forty are. And under that program. They got a payment. Cash payment for every unit. Out permanent a few thousand dollars for every unit permanent. And there's also promised by the speed there's a formula about anticipating how many school kids. Would come into the system -- and if there's more than expected or -- and this state actually. Make up the education costs. Of those additional student so that ensures people there's going to be some new school kids. Actually you may know I don't know if this situation and that built for a lot of 128495. Communities we used to worry about too many located. Now -- worried about they don't have enough well it got spilling their schools and they have a cost. Of seeing and maintaining building where they're not spilling the classrooms so it's a decision we're not that it we're not trying to convince any community. You do something that as an extent that we are standing let. We police work well that's the second lot. At whether or some. Multifamily housing was about what's a reasonable amount -- your community that your comfortable with but maybe slump. Does some things that revitalized as -- downtown. Haiti in the town of east that a small town -- a classic New England suburb. And they had an historic buildings. That they are now there were probably gonna be torn down and -- And they are going to be renovated that was apartments in the community very happy about that. And -- make the community a better place so we're looking again the tradition all. Has been one of conflict the state wants housing community -- And worst saying what -- what it whether there -- some win win and whether some communities that have a natural inclination is heaters and -- interest and then what we can do. Well help pay for planning money sometimes -- communities have difficulty visualizing. What with this. He'd do structure look like in the air quaint old downtown will help them hired architect. Children at. Also infrastructure in some cases communities are concerned that the traffic water and -- demands. I would be too much for the talent and we say well let -- a city. Infrastructure upgrades associated with -- app because that will be our part of the -- All right well great you did a great job explaining the governor's plan thank you very much for your time. That's Greg by Lackey he's in Massachusetts secretary of housing and development. Joining us today on -- It is you've heard of these Avalon community that if they're all over the place today there and some nice suburbs as well. Are those don't they have 10% low income in the inside those buildings -- -- what's the difference. It is probably not he's just he wants morbid permanent. In areas yet near commuter rail so we develop our work for a -- Massachusetts's. Is a flat population for twenty years via our population has changed and when he yours you'll be right back when we come back Kathy -- from kiplinger's magazine. She's got some stocks to talk about that you have never heard of before that's next.