The Crested Butte News Serving the Gunnison Valley since 1999
“We recognize that housing is a regional issue”
[ By Kendra Walker ]
In an effort to provide more affordable housing options for local workers, the town of Crested Butte is pursuing an “InDeed” deed restriction purchase program from existing housing stock, and is looking for partners to bring the program to fruition in the north valley. The Mt. Crested Butte Town Council is interested in collaborating, and discussed the idea with Crested Butte’s community development director Troy Russ during their December 1 meeting.
“We all know the housing challenges in the valley,” said Russ. “We recognize that housing is a regional issue.”
In the north valley, the median home price is $864,940; however, the median per capita income is only $37,603. With the growing income disparities between housing costs and incomes, the north valley currently holds 42 percent of the jobs but only 23 percent of the employees actually live in the north valley. “We need our employees to live in the north end of the valley,” said Russ.
Of the 4,393 total housing units in the north valley, about 45 percent of those are owner-occupied but only 7 percent are deed-restricted units, said Russ. With an InDeed program, public resources could be utilized to purchase deed restrictions on existing buildings. “When you look at those housing stocks it starts to make more sense,” said Russ. “We think it’s a far more feasible and valid program to develop in the north valley.”
Crested Butte has looked at existing InDeed programs in Vail and Summit County, where the program pays the property owner between 10 percent and 20 percent of the property’s value to place a deed restriction on it to preserve it for local workers.
Crested Butte has committed $50,000 each year for the next five years to an InDeed program, but is looking for additional funding resources. “We really want to work with our valley partners. Collaboratively, we can put together the resources to create a very effective program,” said Russ. If Mt. Crested Butte decides to contribute funds, their amount would be at their discretion, he said.
The Mt. Crested Butte council gave the partnership an initial thumbs-up.
“I love the idea of getting involved with this and figuring it out,” said council member Steve Morris.
“This is within what we wanted to accomplish with some of our STR [short-term rental] dollars. We need to have an internal conversation to see if there is a certain percentage of the fund we can use,” said council member Roman Kolodziej. Mt. Crested Butte has a 2.9 percent excise lodging tax on short-term rentals and hotels, with the funds designated for affordable housing projects. “I would hope that we’re not just creating another governmental entity that’s going to cost a lot of money to run,” Kolodziej added.
“Do you foresee us prioritizing rentals over owner-occupied?” asked council member Lauren Koelliker.
“That’s where Crested Butte would suggest is the most strategic way,” said Russ.
Jennifer Kermode of the Gunnison Valley Regional Housing Authority (GVRHA) chimed in, saying, “I think this is a great program. Troy has done a phenomenal job in putting the initial draft together. It’s certainly an important tool in the toolbox for us to have. The housing authority is certainly supportive of seeing this program develop.”
“It sounds like we have some interest in pursuing this with you, Troy,” said mayor Janet Farmer.
Russ said the town is working to solicit partners over the next couple months. In addition to Mt. Crested Butte, Crested Butte’s goal is to partner with Gunnison County, the Valley Housing Fund and the GVRHA toward the InDeed program. Partnership meetings would tentatively take place February through June 2021 for a potential project launch in Fall 2021.
