Sketch plan submitted to planning commission 

[  By Katherine Nettles  ]

A major step has been taken this fall for developing a large community housing project in the North Valley. Earlier this month the Whetstone project team quietly submitted their land use change sketch plan for the Whetstone Community Housing project for review by the Gunnison County Planning Commission and Board of Commissioners. 

The project timeline suggests possible planning commission review sometime between October and December. The process will include public hearings and several rounds of discussion and review between the two boards. If approved for the next phase, preliminary plan, on the journey to a final plan, construction could begin as early as 2023.

The Whetstone project proposal is located on a 13-acre, county-owned parcel on the west side of Highway 135 across from Brush Creek Road. The three project goals as stated in the sketch plan application are: “Supporting the local economy, with reliable housing for the workforce; Providing housing security for essential members of the community who have been facing housing challenges such as overcrowding, low quality/high utility cost, rising rents, or being frequently forced to move (due to home sales and conversions to short term rental); and Supporting environmental goals by reducing commuting and improving energy efficiency through green building and modern construction techniques. 

The sketch plan for a major impact development submitted on September 9 includes 231 units spread across eight separate zones, with a central “greenway” of continuously landscaped area running throughout a series of open spaces. There will be connectivity between the greenway, a central park, a natural landscape area, and pedestrian paths as alternatives to the neighborhood streets. 

The homes are designed to be a mix of various types and sizes, for both rental and ownership purposes at different income levels. The largest number of units and parking spaces would be a series of 85 to 100 apartments to the north, closest to Highway 135 and public transit with 120 to 140 parking spaces. The homes for rent would be intended for households earning below 120% area median income (AMI), and homes for sale would be for households earning below 200% AMI. 

The sketch plan application shows higher density in the center of the site and alongside the highway. Lower density would occur along the eastern, southern and western borders. Home types range from one to three bedrooms. 

Gunnison County issued a press release on September 27 formally announcing their application had been submitted, and assistant county manager for Community and Economic Development Cathie Pagano said she is reviewing the application and has also sent it out for referral agency comments.

The Town of Crested Butte and the county have entered a Memorandum of Understanding (MOU) to assess town water and sanitary sewer infrastructure capabilities to serve the development. That assessment identified capacity and some challenges, and the county has requested a more extensive analysis and review process to determine if the town would permit a connection or if one of the two identified water and sewer alternatives have to be pursued.  

Pagano commented on the lack of discussion in recent Gunnison County commissioner meetings prior to or immediately following the application submission to begin the land use change process. “It has not come up in recent BOCC meetings because the BOCC will also be the final decision maker on the project and we seek to maintain appropriate legal boundaries,” she said in an e-mail on September 26. “The Board is aware that the application has been submitted and that it will begin the land use change permit process.”

The project team has since also updated the project website, which can be viewed at  https://whetstonehousing.weebly.com/learn.html 

It is not on the planning commission’s October 6 agenda, but the commission’s October 20 agenda is not yet finalized. Pagano said, “We’ll know more next week once we’ve received the referral comments back and I can determine if the application is ready for a work session.”

Cost is more than expected…

[  By Mark Reaman  ]

The first step in Crested Butte’s effort to build the Sixth and Butte affordable housing project began last week, and it will cost more than initially anticipated. Despite the price jump, town staff said there is enough money in the town’s affordable housing fund to soak up the increase.

Part of the property was formerly used as a dump, so state-approved clean-up work in the form of a VCUP (Voluntary Clean-Up) and Soils and Materials Management Plan (SMMP) is necessary on about an acre of land known as TP-5 before actual construction can begin. 

That work started Wednesday, September 7 and was originally estimated to cost $1.3 million. However, two bids were received above the estimate and the actual cost will be closer to $1.85 million with Lacy Construction doing the work. Lacy Construction participated in previous VCUP work on the old town dump. Additional landfill charges also come into play so the council approved a price adjustment for the work of $700,000 raising the cleanup portion of the project to $2 million.

In a memo to the town council, community development director Troy Russ explained that about 15,000 cubic yards of soil will be removed as part of the clean-up process. He said that the town’s affordable housing budget could handle the price adjustment because some items anticipated to happen this year have been delayed. For example, $415,000 was budgeted to relocate a house from Seventh and Maroon to an affordable housing lot in Paradise Park but that will not happen. He said also that the town had anticipated receiving a state grant for the project for $2.5 million but was actually awarded almost $3 million instead. 

“As such, a budget amendment is not needed at this time,” he informed the council.

The clean-up work is expected to be completed by the end of October. Crested Butte housing director Erin Ganser explained that the town will begin construction of off-site improvements next spring. That will include things like the extension of a water main, creation of a bus stop and a new Four-way Stop at Sixth and Butte. If the developer of the rental apartment complex is successful in its application for low-income housing tax credits in May, construction is anticipated to start in the late summer or fall of 2023 and take approximately 24 months.

But taking other community needs, like multi-use rec field, into account 

[  Kendra Walker  ]

The Mt. Crested Butte town council is looking at its options for developing on the town’s 17-acre parcel known as Parcel F. Past town hall and adjacent to the Village at Mt. Crested Butte (formerly known as North Village), the council made it clear during their August 2 meeting that affordable housing is a priority for the parcel. 

“There was discussion about putting in some housing, leaving it as open space, or putting recreational facilities on it,” said town manager Greg Sund. “There’s lots of ideas but it is the largest single piece of property that we own that we can do something with.”

Community Development director Carlos Velado added, “It’s not an either/or situation. It doesn’t have to be just housing or open space or just a park. It can be a mix.”

Sund explained that given the sloped geography of the parcel, there are around 6 or 7 acres that could possibly be developed, especially for housing. This area is approximately where the town campground is currently located. “In reality the property does drop off in every direction,” he said. 

Parcel F is also located within the existing Village at Mt. Crested Butte Planned Unit Development (PUD). According to Mt. CB communications and marketing officer Marisa Maudsley, the applicant, North Village Associates has requested a land trade to accommodate the proposed site plan for The Village at Mt. Crested Butte in exchange for increasing the existing Parcel F frontage along Gothic Road. “Town is open to collaborating with the applicant to further community housing goals within the project; however, there are no collaborations proposed at this time,” she clarified with the Crested Butte News. 

Kristin Engle, executive director of the West Elk Soccer Association (WESA) asked the council to consider a multi-use field on Parcel F. “Not just for soccer but things like lacrosse and for youth and adult programming,” she said. 

Engle explained that there are over 200 local youth who participate in the WESA programming every year. “There are about 12 teams this fall season, in addition to the two high school boys’ soccer teams,” she said. “We are practicing on five fields at the north end of the valley…we conduct practices of about 60 hours a week and in 2021 we supported 50 home games in Crested Butte. The development of this would help take the burden and overuse of the five fields.”

“I appreciate your comments, but I can’t help but feel our primary concern is housing,” said council member Janet Farmer. “Right now the housing situation is so critical. Parcel F is sort of the low hanging fruit that we have where we could start finding developers, jump onto it, and find grants and get started ASAP. And to me that’s my number one priority.”

Velado explained that it would take significant excavation to put a full-size field onto the property, given the slope. 

“So not impossible, but it’s impractical,” noted mayor Nicholas Kempin. “Would a field that is smaller than needed for 11 on 11 play, but is maybe large enough to serve as a practice venue, be valuable, or no?” he asked Engle. 

“There’s a dire need for multi-use fields,” she said. “Ideally we’d all love a full-size field but if that can’t work, we’re asking it not to be off the table.”

“Have you approached the entities about Brush Creek?” asked Farmer, noting the four Brush Creek owners, the town of Crested Butte, town of Mt. Crested Butte, Gunnison County and Crested Butte Mountain Resort. “I see that space as much more functional for what you want. It’s relatively flat and it’s 13 or 14 acres.” 

“I would like to possibly explore an answer of what would it take with housing and the field in the space,” said council member Dwayne Lehnertz. 

“At the end of the day, I do appreciate that the whole valley is in definite need of field space,” said council member Alec Lindeman. “But it’s so true that the direction from our constituents has been the need for affordable housing.” 

“There’s a clear priority for housing…but maybe it doesn’t have to be mutually exclusive,” said Kempin. “Could staff see what a smaller sized community housing project looks like with open space and if there’s room for a field of some sort? With workforce housing as the priority, what sort of combination and trade-offs could be done?”

Town staff agreed to the council’s direction and will continue the discussion at a future meeting.

Parks and Rec the majority of the tenants

[  By Mark Reaman  ]

One of the more unusual ways the town of Crested Butte has addressed the affordable housing issue was to purchase the Ruby Bed and Breakfast and turn the property into a place for working locals. The original idea was use it for seasonal employees of the town, such as Parks and Rec crew members working in the summer. To some extent, that is how it has worked out with the majority of the tenants being town employees.

Bought for $2.3 million in 2021, the Ruby has six rooms. Five can accommodate double occupancy while the other one can accommodate triple occupancy. Currently, six people are settled in five of the rooms and a sixth space was just released to house a qualifying person. Five of the six current occupants are town employees. Two are full-time, year-round employees and three are part-time seasonal coaches in the CB recreation department.

Crested Butte housing director Erin Ganser said that while the 3,300-square-foot property can handle up to 13 people, most interested parties are single occupants. The property is managed by the Gunnison Valley Regional Housing Authority (GVRHA).

“Five rooms have an en suite bathroom while the fifth has its own bathroom that can be locked, but is accessed from a common hallway,” Ganser said of the layout. “We furnished each room with a bed, dresser, desk and chair as well as a small refrigerator so that tenants can store their food separately. There is a common kitchen and two living room areas, and a shared laundry. Wi-Fi and all utilities are included in the rent. The kitchen is fully equipped with cooking equipment and tenants supply their own utensils, dishes, as well as pillows and linens. 

“Tenants are required to clean up after themselves and GVRHA cleans the common areas twice per month,” Ganser continued. “Both common living rooms have a TV with a YouTube account and Amazon Firestick for community use. Because it is a common living arrangement, we ask that people be respectful when choosing what to watch on the common TV, be mindful of volume and observe reasonable quiet hours from 10 p.m. to 8 a.m.”

Pets are not permitted but emotional/service animals are allowed. Each tenant may have one vehicle with the limited parking being a first-come, first served basis. There are no parking spaces for trailers.

“We changed the restrictions around the allowance for visitors as it was not well received,” Ganser explained of the original rule to not permit any overnight guests. “Consistent with GVRHA’s other properties, guests are allowed. If they stay longer than two weeks, we ask that they be added to the lease. Additionally, as a common living property, we ask that guests are not given door codes or keys, and that they are accompanied by the hosting tenant when they are coming and going from the property or hanging out in the common areas.”

As the property enters its second season housing local workers, Ganser said there has been some turnover as expected. “We get the impression that tenants are happy with the arrangement and appreciate that it is available,” said Ganser. “We’ve been able to use the property to help respond to a staff member with a housing emergency, and are pleased that lease up for this season was faster than fall 2021. Those that left either were seasonal or at the end of their lease. Our goal for the property was to house seasonal workers; however, a couple have stayed on from winter season into this summer.”

Since the goal was to have a place for town employees to live, Ganser said the property is serving that purpose. “Having access to housing did help Parks and Rec hire coaches for recreation programs,” she said. “Our initial target was for full-time seasonal summer parks staff, and we are hoping to see that group use the space more in the future as we remain very understaffed in those positions. 

“We’re still learning what works best with the building, what is best received by our target tenants, and our goals for the property,” Ganser concluded. “Town works closely with the GVRHA to problem solve and explore solutions, and we actively seek feedback from tenants to learn how it is working from their perspective.”

The rent is $500 single occupancy and all tenants must be employed in Gunnison County. The town pays the GVRHA $1,000/month to manage the space.

Annexing to Gunnison next step…

[  By Mark Reaman  ]

Another parcel of land between Gunnison and Crested Butte has been picked up for future workforce housing. The Valley Housing Fund purchased a piece of property just north of Gunnison last week that is hoped to provide more affordable housing units in the future.

While in the very early stages of the planning process, the 3.5-acre parcel is located just north of the Gunnison city limits, adjacent to and west of Highway 135. The next step is to go through an annexation process with the city. If successful, that will allow the future housing to be tied into city utilities like sewer and water.

VHF executive director Lauren Koelliker said that it is too early to know specifically how many units might eventually be placed on the land and no request for proposals has yet been formulated. 

“Annexation is the first step to re-zone the land as residential. The land is currently located outside of city limits and is zoned agricultural,” she explained. “There are several details that need to be worked through before this process can begin, but it is an ideal parcel. It is a flat parcel, on an existing bus route, and is also close enough to bike or walk to downtown, the grocery store, the university, etc.”

 The Valley Housing Fund paid approximately $210,000 to purchase the land from Colorado State University. It is the largest property acquisition for the VHF so far. Koelliker estimated that going vertical with new housing units is at least two years in the future.

Once annexed, the goal is to determine how much and what sort of workforce housing would best fit on the property in conjunction with other housing units in the pipeline. That could include rentals and/or for-sale units.

VHF board president Scott Desmarais said the initial plan is to ultimately provide 24 to 36 new affordable homes and apartments on the site. “Of course, VHF’s immediate focus is the completion of the Paul Redden Workforce Housing Project in Crested Butte which is on track to welcome new residents in late September/October this year,” he emphasized. “VHF needs to raise $1 million from local community donations to help cover the costs of the project. VHF has already committed over $300,000 of its own funds to deliver the only new affordable housing in Crested Butte this year. We are excited with both these significant projects.”

$1.3 million for eight new bedrooms

[  By Mark Reaman  ]

If all goes as expected, the Valley Housing Fund could complete the Paul Redden Workforce Housing Project by this fall and three new homes providing eight new deed restricted bedrooms could be online for “essential workers” in the Crested Butte M district on the north side of town at 114 Butte Avenue. It is the only new affordable housing planned to be completed  for the this year in Crested Butte..

According to new VHF board president Scott Desmarais, down payments on two three-bedroom and one two-bedroom manufactured homes were authorized by the VHF board last week and once in place they will be rented to local workers. “We are now going through the BOZAR (Board of Zoning and Architectural Review) process and preparing to line up the site prep,” he explained. “Town has been supportive and is open to lowering tap fees and permit costs once deed restriction details are finalized. Hopefully, they and others in the community will continue to be generous with funding and availability for required services given the importance of affordable housing for our community.”

The budget for the project is $1.3 million. VHF paid $525,000 for the Redden property two years ago. The homes are coming in at about $170,000 each and $300,000 is budgeted for preparing the site, transportation of the homes and removal of the exiting two trailers and a barn on the property.

The schedule calls for two of the new units to arrive in September and a third in early October. Desmarais said the goal is to get them all filled with local workers and their families by October or late fall.

The project also provides immediate opportunities for someone looking for affordable housing alternatives according to Desmarais. “One of the trailers could potentially still provide housing, and the barn could be a useful addition to someone’s property in the valley. We plan to sell both this trailer and the barn for a minimal amount with new owners bearing the cost of removing them from the property in late July or early August,” he noted. The other trailer will be disposed of in a responsible manner.

“We have done a lot of work talking to various organizations and individuals in need of affordable housing and decided it would be best right now to rent these new Redden Project homes to essential personnel (e.g., teachers, health care workers, managers and their families) and other members of our local working community,” Desmarais said. “We will continue to work with local institutions/organizations like the school district and Gunnison Valley Health, but for now, it makes sense to rent to individuals most in need of affordable housing opportunities with standard deed restrictions. Those requirements would likely include things like being essential personnel for the community and making at least 80% of income locally.

“We want to provide options for those who would not be able to afford to live in Crested Butte without these opportunities,” he continued. “Since VHF is a private non-profit foundation and not a government entity, we can be flexible in our approach to income levels. The details will be finalized in the coming months.”

The actual rent amounts have not yet been determined, but the expectation is that they will be in line with deed restricted rents being collected at other such projects in the valley.

Ultimately, VHF may decide to sell the homes to qualified residents with the standard deed restrictions over the next two to three years. That could help generate additional funding for new affordable housing projects. 

Desmarais said that the VHF board is bringing on new members from across the valley and has expanded its capacity by hiring Lauren Koelliker as its first full-time executive director. The bylaws of the organization have been amended so that various local government entities will not be required to assign representatives to the board. VHF’s new website — www.vallyhousingfund.org — is live and the non-profit is actively engaging members of the community to raise funds to cover the total cost of the Redden Project and to facilitate innovative ways to support new workforce housing projects.

Desmarais added that since its inception, the VHF has contributed to the completion of nine local, affordable housing projects, helping to deliver 143 affordable housing units to date through investments of nearly $2 million. “VHF has continued to make strategic investments in low-cost land over the years, including the Redden property and the Wilson property located just north of Gunnison which we are currently in the process of purchasing,” he said.

Completion now anticipated for June ‘22

[ By Kendra Walker ]

Even with signs of construction activity still apparent up at the Homestead subdivision, the much-anticipated Mt. Crested Butte affordable housing project is experiencing major delays. A project that was anticipated to be ready for move-in by the end of this year is now projected for spring or summer of 2022.

The developer of the 22-unit Homestead affordable housing subdivision project, Lance Windell of Homestead Housing, LLC, has informed the town of Mt. Crested Butte that there have been delays in receiving construction materials, such as insulating concrete forms (ICFs) and roof trusses, despite some of the materials being ordered early. After several emails and phone call attempts to Windell over the past month, the Crested Butte News received a brief reply by email this week.

“All we can really say at this point is construction on the project is still proceeding. Prospect Homestead has experienced materials and labor delays and shortages just like the rest of the local construction industry,” wrote Windell. “We have been and are continuing to cooperate with the Town on the project in good faith.”

“The Town is working with the builder to focus their energy on buildings four, five, and six,” said town manager Isa Reeb. “This includes getting them dried-in before winter so work can be completed by spring. Regarding these buildings, the Town continues to be the regulatory agency, so we are working with the builder’s team to ensure building codes and design guidelines are being followed. We are also working with the builder to determine the schedule for buildings one, two, three, seven, and eight. These buildings are a work in progress, and we will share more when negotiations are complete.”

Since construction began, there have also been some design changes that could be contributing to the delays. “Any change proposed first goes through a regulatory review and then if this proposed change meets regulation, the town will request that the builder get permission from the buyer(s) prior to any final approval from the town,” explained Mt. Crested Butte’s communications and marketing officer Marisa Maudsley. “For example, the garage door height on one duplex does not meet the design guideline requirements for Homestead and will have to be changed. Additionally, the developer is proposing to change the roofing material from metal to an asphalt shingle, similar to the two existing triplexes in Homestead.

This is technically allowed, but the town has yet to approve the proposed design changes from the developer since they have not provided sufficient information to approve this change.”

The developer owns the land, but is still under contract with the town, which states the developer must build 22 units and sell at prices predetermined in the contract. “If the developer does not meet the obligations of the contract, then the property goes back to the town,” said Maudsley.

The town also said that the Gunnison Valley Regional Housing Authority (GVRHA) is working with each buyer to ensure they have an alternative housing solution. In June 2020, the GVRHA held a lottery for pre-qualified applicants and the available 20 units were claimed and purchased.

The town purchased two of the Homestead units to be used for town employee housing. At that time, the units were anticipated to be ready for move-in within the year, and town manager Isa Reeb’s employment contract included a three-bedroom Homestead unit for move-in by December, for which she would pay $1,500 a month.

However, the town has changed their plan. “The town is no longer purchasing a unit in building four so another family in the lottery can move in earlier,” said Maudsley. “This process has not yet been started with the housing authority and broker, but it is in the works.

Reeb has found housing in the interim and the town council has agreed to provide Reeb with a stipend of $1,000/month for housing until something comes along for the town to purchase.

Gates sees project as example of what he can do in the future…

[ By Mark Reaman ]

Walking around what just more than a year ago was a vacant lot filled with scrub, the dream of a dynamic neighborhood filled with local workers now appears close to becoming reality.

The latest affordable housing project in the valley is on the cusp of accepting its first residents later this month. Phase one of the Paintbrush development located in Gunnison near the Gunnison Rec Center is just about completed with the hope that final inspections will be done next week and then people can start moving into the first 13 units by the end of September.

In what most would admit has been a remarkably fast construction schedule, Paintbrush will go from coming out of the ground on July 20 of 2020 to filling 77 units by Thanksgiving of 2021. The 14 buildings look good with stone and wood exteriors and light, airy apartments with solid appliances and fixtures.

Owned and financed by Houston’s Gary Gates and Gatesco Inc., the project is in some ways meant to make a statement and prove a point. Gates, who has had a house in the North Valley for years, was met with sometimes heavy resistance to his Corner at Brush Creek affordable housing proposal located south of Crested Butte. That project ended in a stalemate after many public meetings and hundreds of hours of public comment.

“We wanted to knock this out of the park and exceed expectations,” Gates explained while touring the project last week. “I wanted to prove we could do a quality project and do it fast. I don’t want to do just one of these projects, I want to build off this. And I guarantee you that no one will be able to do it for less money than me. I don’t want to make any money on this today, I just don’t want to lose money. I don’t need a construction or project fee. I want to be part of the solution to the housing problem. I’ve always wanted to do something like this to help solve a problem.”

Gates made it clear he would focus on the housing element of the developments but expected the local governments to deal with the ramifications of the growth such as transit or school expansions.

Paintbrush a blip in the portfolio
Gates said he is getting close to owning more than 9,000 rental units in the Houston area. The Gunnison Valley projects would be less than 1 percent of his real estate holdings. But his business allows him to do things like buy construction materials in bulk at significant discounts. He can utilize the knowledge and time of his Gatesco employees to help keep costs down. He said while no one would believe it, his construction costs are coming in at close to half of the perceived market rate.

“Other than some leeway on the land, I don’t want any government money for these things,” he insisted. “I don’t have any partners so I can be quick and not worry about some things that other people do since it’s all my money. For example, I didn’t ask for a break on the (water and sewer) tap fees with the city on this project and that helped speed it up. Now I have the basic architectural plans and can use them for future projects. We can adjust some things so they fit better in a particular neighborhood, but we have the basic design. We learned some things, but the foundation is set.”

Gates said he still owns the first property he purchased in 1986 and he never intends to sell it. The same holds true for his Gunnison County projects. “I build for the long haul so it’s not cheap rental construction,” he emphasized. “I want this working 30 years from now.”

Gates said his contacts through his Houston properties came in handy at times. He said he could get a big discount on supplies, for example, by purchasing them up front with longtime partners. “I had the ability to keeps costs down,” he said.

Speed and efficiency
Onsite project manager Arie Bogaard said while it has been just 15 months to see 77 units close to completion, the goal is to be even faster in the future. “Like everyone, we had to deal with manpower shortages at times that pushed us back,” he explained. “We had some supply issues, but Gary was able to pivot and, if for example something like the trusses weren’t available up here for months, we found them somewhere else in the country and made sure they got here. Material costs went up pretty high like they did everywhere, but Gary didn’t let that get in the way either. Overall, we had to be creative at times, but it has really come together. There have been lots of moving parts the last few months, but it has gone very well despite that.”

According to Bogaard, the biggest delays were with cement and asphalt but those eventually came through as well.
General contractor A.J. Cattles said the project has gone up quickly for a mountain construction project and an emphasis on using local contractors and workers was part of the reason. He estimated more than 70 percent of the workers on Paintbrush have been local.
Gates said more than 350 people have expressed interest in preliminary applications to rent one of the units. Bogaard added that some of those could be from the same family but it is far more than was expected for a 77-unit project. Any one organization, such as Gunnison Valley Health, Vail Resorts or Gunnison County are allowed to claim up to 10 units each under so-called master leases for their employees.

Gates explained that there are 77 units in the development with 69 of them under a deed-restriction requiring, among other things, employment in the county. There are eight free market units but Gates and Bogaard said even the free market rents would be similar to the others given current market conditions.

“To meet regulations, we are in what is considered a pre-application phase,” explained Bogaard. “That started in January and people have been coming in to get on that list since January. People will walk by and ask to get one of the units. We will move to formal applications soon and then make the selections. Most of the units are deed restricted so people have to meet certain work hour and income requirements. Everything from the efficiencies to the single family homes is rentals with a minimum of three-month leases.”

Wide range of incomes
Given the income parameters, Bogaard said most of the renters will make between 80 and 200 percent of Area Median Income (AMI). The units will be pet friendly and monthly rent includes all utilities except for Internet and cable. The smallest unit is a 375-square-foot efficiency while the largest is a 1,745 square foot single family home that includes the garage.

“Given the number of people in the pre-qualification stage we don’t see it being hard to fill,” admitted Bogaard. “We just have to be cautious that all the appropriate deed restrictions are met.”

Walking the property, Bogaard pointed out a big irrigation pipe that was installed and buried and he promised that nearby neighbors would continue to have access through the property. He also wanted the neighbors to feel like their properties wouldn’t feel squeezed as a result of the new development. Landscaping will likely be put in next summer.

“We learned some things with Paintbrush,” concluded Gates. “We can probably cut a few more costs and build faster. But I am pleased. I believe we have knocked this one out of the park and exceeded every expectation. I understand the county took some risk going with me on the project. I wanted to exceed their expectations.”

As for the future…
“I want to do more. But I won’t lose money on these projects,” Gates promised as he eyes a future with a potential Western Colorado University housing project adjacent to Paintbrush, a small housing development near the county fairgrounds, and the county’s 14-acre Whetstone parcel opportunity that is in the early stages of planning across the highway from the Corner at Brush Creek. “We can make a real difference in the housing problem.”

Envisioning 180 to 200 homes; construction by 2023

[ By Katherine Nettles ]

A significant affordable housing development of mixed architectural styles using gardens, parks, pocket parks, a central green belt and community meeting places could well be standing at the county-owned Whetstone parcel across from Brush Creek and adjacent to Riverland Industrial Park within just a few years. The county has moved from an initial series of site walk-throughs and community input meetings into a planning and design stage for the parcel. The next step is an implementation strategy, with a goal to submit a sketch plan to the county by the end of the year and ideally begin construction in 2023.

Following a design charrette in late August involving more than 30 people, county officials and project specialists unveiled a vision that is coming together for the project during a work session update with county commissioners on Tuesday, September 14. It seems that during the charrette, facilitated by the county’s consultant team, three groups of architects, landscape architects, neighbors, nearby business owners and other community members came up with three very similar visions.

Gunnison County sustainability coordinator John Cattles shared a summary vision for 180 to 220 homes “for a diverse mix of local individuals and families to live and work,” and serving a range of incomes “possibly up to 200 percent of AMI (Area Median Income).”
Gunnison County Community Economic and Development director Cathie Pagano also shared what the vision is not: A transportation hub with intercept parking; a school expansion area; a camping area; ball fields or a large public space; or single family detached affordable housing. Pagano said time was given to consider those possibilities, but ultimately, the group did not think the parcel was an appropriate location for those uses.

“We do want to accommodate green spaces, garden spaces and community spaces,” she said.

Project consultant Willa Williford agreed that on the first day of the design charrette there was a lot of discussion on camping and detached housing, but by the second day participants could see that those would be challenges.

Danica Powell from Trestle Strategy Group, another project consultant, said the design charrette included some diversity, equity and inclusion specialists as well. After an initial site visit, the charrette participants broke into three groups and began drawing. The similar ideas included more density closer to Hwy 135, and less density to the west approaching the Slate River and Whetstone Mountain; scenic views from all angles; a grid of connecting streets through the community; and a greenway through the center of it with a playground.

Themes around the building design included some relationship to Riverland’s industrial characteristics, with more industrial style (flat roofs) to the east and mountain-style homes incorporated to the west side.

County commissioner Liz Smith brought up how much people care about preserving place and character at the north end of the valley, and Cattles said the site actually lends itself well to offering views and preserving view sheds.

County commissioner chairperson Jonathan Houck said he believes there is a great need for rentals, and people who do not wish for ownership. “Once you create a little more capacity for those lower end rentals,” he predicted the market might also course correct somewhat for other rentals in the valley. “Lots of people in this community rent,” he said, “regardless of income range.” Houck said the project needed to represent that.

Smith said there is also need for people to be able to advance, using a rental or an ownership opportunity as a stepping-stone to a higher value home at a different point in time.

Both Smith and Houck discussed the importance of secure housing in which residents can trust that they won’t be displaced by a sale or use change. All agreed that within the deed restriction agreement, the language will make certain that this housing will be for people who do earn their income locally.

“At a very basic level, we haven’t built enough housing to keep up with the population growth,” said Cattles.

Other key takeaways for the sketch plan include ample snow storage; renewable energy and sustainability; concern for height, parking and density; sense of privacy and opportunity for connection; pet friendliness; pocket parks, hopes for a corner store, park, playground, and functional storage spaces.

“I think what you’ve heard from us is a general sense of comfort with the criteria, the mission and scope,” concluded Houck. He said he expected the financial feasibility coming soon to help balance all the visions.

Immediate next steps are an engagement with school age kids on October 20 (Crested Butte Second Graders and an after school activity in Gunnison) and outreach to valley employers, including Riverland businesses, Western Colorado University and Crested Butte Mountain Resort. Then a financial feasibility outreach will take place, speed-dating style, with 10-12 interested developers.
Additionally, community walkabouts on the site are tentatively scheduled for September 30 and October 5. A website will also be live in the coming weeks.

Getting another Anthracite Place to address lower income workers?

[ By Mark Reaman ]

With the continued focus on planning for an affordable housing project in Crested Butte at the corner of Sixth and Butte, town council received a financing primer from local housing consultant Willa Williford on Monday, August 16.

The basic conclusion is that the town will end up subsidizing any project that is expected to include a lot of rental units in order to keep rents reasonable for those making below the area median income (AMI). Williford highlighted people making between 50 and 80 percent of AMI and pointed out at the 80-percent level rents should be under $1,266 a month. Right now, she estimated a typical two-bedroom unit in the North Valley was renting for $1,500 a month and a one-bedroom for $1,100. Councilmembers Will Dujardin and Jason MacMillan said they felt those estimates were low.

The goal is to come up with a plan for the site later this fall and then start construction next spring with potentially having people move in by 2023.

Williford went through a number of ways to finance housing projects using state and federal money. Using a LIHTC (Low-Income Housing Tax Credit) mechanism like what was done with Anthracite Place is probably the most financially beneficial for a big project. Williford dispelled the myth that tenants in such buildings can never exceed the original income limits without being forced to leave. “They have to meet income eligibility at the time of the application but can grow their income without penalty after that. They don’t have to turn down raises or bonuses for fear of getting evicted. That’s a myth.”

LIHTC brings in private investors by giving them 10 years of credits against federal income taxes. That provides the cash to build a project, but it comes with many federal strings. Williford provided several examples of budgets using LIHTC funds and it appeared that a 40-unit rental project might provide the best initial bang for the buck.

“Spoiler alert! There is no silver bullet,” Williford emphasized. She said the number of units could vary but investors wanted to minimize their risk with filling the units so the 40-unit project might be best suited for a LIHTC project. She indicated investors are wary of big projects in counties the size of Gunnison but also said some resort communities like Steamboat Springs and Summit have been successful building larger developments recently. In that scenario, all the people living there would start off making less than 80 percent AMI and average about 60 percent.

Williford told the council that all strategies should be pursued to get affordable housing in the region. Building a project in town was just one element of a strategic plan that included potential projects in the county and Mt. Crested Butte, buying deed restrictions on free market homes and looking for creative funding mechanisms.