The URL can be used to link to this page

Home My WebLink AboutMesa Planning HousingP&Z Commission and Council Joint Work Session Housing Joint Work Session March 23, 2015 Why have a Housing Plan? Joint Work Session March 23, 2015 Emerging Markets Because… •Existing entitlements transforms Town into a mixed-use center •Town will begin to attract a variety of household types •Market trends support more diverse demand Existing Entitlements –based on 72% use Joint Work Session March 23, 2015 Emerging Markets Economic Demographics Because… •Within 30-minute drive of over 108 million square feet of office space Major Employment Cores: Westlake, TX Area SOURCE: CoStar; RCLCO 3 1 2 4 5 Joint Work Session March 23, 2015 Emerging Markets Executive Housing Corridor Summary Because… •As Westlake adds commercial uses, it will emerge as a premier executive housing corridor •Highest quality employers will require diverse housing options for wide range of professionals Median Home Value by Block Group: Dallas-Fort Worth Metroplex SOURCE: ESRI Joint Work Session March 23, 2015 Emerging markets Executive Housing Corridor Summary •About 90% of Westlake's affluent households are between 35 and 64 •Unlike other executive housing corridors, the Westlake area attracts a limited amount of young professionals and retirees. Households Earning over $200K by Age: Dallas Executive Housing Corridors SOURCE: ESRI Note: Westlake Executive Housing Corridor includes areas within a 15-minute drive of Westlake Town Hall. 0% 10% 20% 30% 40% 50% Under 25 25-34 35-44 45-54 55-64 65-74 75 and over Westlake Plano Las Colinas Central Dallas Joint Work Session March 23, 2015 Emerging Markets New Home Demand Summary Existing Westlake Households and Annual New Home Demand: Incomes over $200K, Homes Priced over $500K SOURCE: ESRI; MetroStudy; RCLCO •Inclusion of diverse products will allow the Town to capture these affluent households, and will help the Town avoid traditional subdivision development. •Need to emphasize high price point yet diverse residential product options. 3 64 34 17 71 109 44 54 0 20 40 60 80 100 120 Young Families (25-34)Mature Professionals (35-54)Empty-Nesters (55-64)Retirees (65+) Existing Westlake HH, Incomes over $200K Annual New Home Demand: North of Sotuhlake Blvd. Potential households attracted to Westlake with alternative product preferences Potential households attracted to Westlake with alternative product preferences Joint Work Session March 23, 2015 Emerging Markets New Home Demand Summary Annual New Home Demand: Northeast Fort Worth Submarket: 2015 –2030 SOURCE: ESRI; MetroStudy; RCLCO 0 3 107 594 340 606 0 100 200 300 400 500 600 700 Less than $150K $150,000 - $199,999 $200,000 - $249,999 $250,000 - $349,999 $350,000 - $499,999 $500,000 and above •Majority of new home demand in Northeast Fort Worth area is concentrated at prices below $500K •By embracing alternative product types that maximize land value, the area will be able to attract a greater variety of affluent households (premium pricing with close proximity to employment core), while more value-priced products can be accommodated in areas to the north and west of Westlake. Westlake Target HouseholdsEmployee Housing outside of Westlake Joint Work Session March 23, 2015 Why is this important? Joint Work Session March 23, 2015 Joint Work Session March 23, 2015 Rising Land Values Home Value Rises Supply Decreases in High Demand Context Increased Improvement Value Size of Improvement will Increase, or Nature of Improvement Changes, or The Use will Change R-1 = 1 ac. PD 3-5 = 5,000 if detached, 0 if attached R-2 = 2 ac. R-1, PD 3-1, & PD4 = 30,000 –1 ac + PD 1-3 = 23,500, average = 30,000 PD 1-2 = 400 (322 lots) R-5 = 5 ac. PD 3-1 = 12,000 –15,000 PD 3-6 = 6,000 –12,000 PD 3-9 = 248 MF. R-1 = 1 ac. NOTE: Spatial chaos and potential instability leads to weakening of price point advantage Pre-Workshop #3-5 July 16, 2014 Residential Zoning Today PD 3-1 = 20,000 Joint Work Session March 23, 2015 •Diversity of product & price point •Incoherent form •Potential Land Use conflicts = lower price point R-1 = 1 ac. PD 3-5 = 5,000 if detached, 0 if attached R-2 = 2 ac. R-1, PD 3-1, & PD4 = 30,000 –1 ac + PD 1-3 = 23,500, average = 30,000 PD 1-2 = 400 (322 lots) R-5 = 5 ac. PD 3-1 = 12,000 –15,000 PD 3-6 = 6,000 –12,000 PD 3-9 = 248 MF. R-1 = 1 ac. Pre-Workshop #3-5 July 16, 2014 Commercial/ Residential Mix Freeway/ Residential Encroachment Freeway/ Residential Encroachment Unplanned Response to Current Zoning PD 3-1 = 20,000Residential Isolation Joint Work Session March 23, 2015 R-1 = 1 ac. PD 3-5 = 5,000 if detached, 0 if attached R-2 = 2 ac. R-1, PD 3-1, & PD4 = 30,000 –1 ac + PD 1-3 = 23,500, average = 30,000 PD 1-2 = 400 (322 lots) R-5 = 5 ac. PD 3-1 = 12,000 –15,000 PD 3-6 = 6,000 –12,000 PD 3-9 = 248 MF. R-1 = 1 ac. Pre-Workshop #3-5 July 16, 2014 Value Diversification Home Value Diversification of Emerging Internal Housing Markets Unplanned Response to Current Zoning Joint Work Session March 23, 2015 PD 3-1 = 20,000 Historic Value Joint Work Session March 23, 2015 Unplanned Response to Current Zoning Home Value Diversification of Abutting Housing Markets •Values within Westlake = $1 mil.+ •Values surrounding Westlake between $340,000 and $740,000 •Influence of Edge Development •Inevitable exhaustion of Adjacent Land Supply •Potential residential re-zoning in Westlake R-1 = 1 ac. PD 3-5 = 5,000 if detached, 0 if attached R-2 = 2 ac. R-1, PD 3-1, & PD4 = 30,000 –1 ac + PD 1-3 = 23,500, average = 30,000 PD 1-2 = 400 (322 lots) R-5 = 5 ac. PD 3-1 = 12,000 –15,000 PD 3-6 = 6,000 –12,000 PD 3-9 = 248 MF. R-1 = 1 ac. Pre-Workshop #3-5 July 16, 2014 Current Higher Price Potential Lower Price Effect on Westlake High Price Market Joint Work Session March 23, 2015 PD 3-1 = 20,000 How does the Housing Plan help? Joint Work Session March 23, 2015 Housing Plan Objectives 1.Preserve value in a changing context: What is necessary to assure that Westlake continues to capture the higher-end market? Education, amenity, and context associations are essential to preservation of value. 2.Diversify the higher-income market to attract younger buyers: What can Westlake do to get more of these buyers in Town? They are buying nearby, but not in Westlake given the lack of product diversity. They are seeking quality in product and place, but not necessarily large lots. 3.Meet future housing needs of an aging population: How does Westlake provide high-quality products to accommodate life stage changes? Must they leave the community? 4.Mitigate value encroachment: As Westlake grows toward 170 and Keller, how do we keep this from eroding value overall by generating lesser comps? Joint Work Session March 23, 2015 Housing Plan: Residential Distribution The configuration of sub markets (sub- markets strung out along Dove Road) without spatial definition will only corrupt each other.By a logical array about the Town Common, the sub markets can co exist and overall value is preserved. Existing Market Older & Younger Market Older & Younger Market Transitional Market:Incentivize return to residential use through commercial development sf. transfer mechanism. Younger Market:see note below. Close to Park, School, Trails Young Married/ Single Market Create spatially contiguous, identifiable sub-markets in locations that support value. Joint Work Session March 23, 2015 Housing Plan Sub-market Program Joint Work Session March 23, 2015 Housing Products #1 Town Home Residences: Caruth Homeplace, Park Cities, Texas: Older Low Maintenance/ High Security Buyer. Product •Two to three story common wall town homes •Street facing carriage garage and entry courts •Prices range from $800,000 -$1.3+ Market Audience •70% empty-nesters and retirees, 30% young single professionals and couples •Main purchase motivations include proximity to Highland Park community and reduced maintenance. Joint Work Session March 23, 2015 Housing Products #2 Garden Residences: Westlake Towne Estates, Ft. Worth: Older High End, Low Maintenance Buyer. Product •Two to three story fee simple housing •Street facing carriage garage and entry courts •Prices range from $800,000 -$1M+ Market Audience •50% empty-nesters and retirees, 50% young single professionals and couples •Main purchase motivations include security and limited home maintenance Joint Work Session March 23, 2015 Housing Product #3 Montgomery Farm: Allen, Texas: Younger High End Buyer Product •Townhomes, 1-2 story Villas •Strong environmental ethic in home design and land planning. 40% community open space •Prices range from $600,000 -$1M+ Amenities •Specialty shopping, office employment, open space, trails, public art in close proximity to housing •Access to operating farm, tree farm, art activities, land conservancy Joint Work Session March 23, 2015 Housing Product #4 East Shore: The Woodlands, Texas Product •Condo: $400,000 -$600,000+ •Estate Homes: $1.8M -$4M+ •Row Homes: $500,000 -$700,000+ Concept •169-acre enclave located near The Woodlands Town Center •Close proximity to employment core and town center, variety of housing types •Serves as a transitional district between residential sections and employment concentration Joint Work Session March 23, 2015 What does this mean going forward? Joint Work Session March 23, 2015 Protecting the contextual assets, protects/ supports value. Land Use Transect Joint Work Session March 23, 2015 Land Use Plan The Land Use Plan is less about land use and more about context, hence community districts. Joint Work Session March 23, 2015 Comprehensive Decision Making The configuration of sub markets (sub- markets strung out along Dove Road) without spatial definition will only corrupt each other.By a logical array about the Town Common, the sub markets can co exist and overall value is preserved. spatially contiguous, identifiable sub-markets Joint Work Session March 23, 2015 contextual awareness Lasting high-end housing market