You really can create great neighborhoods with

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1 Debunking the Myth: You really can create great neighborhoods with (Editor s Note: What follows is a summary report based on a soon-to-be published booklet produced by the U.S. Environmental Protection Agency, the NATIONAL ASSOCIATION OF REALTORS and the Local Government Commission.) Concentrated development is an increasingly popular development strategy that combines density, vibrant walking environments and accessibility to jobs, shopping and residences to create healthy neighborhoods. Across the country, cities, regions and states are recognizing that this type of development activity can expand consumer choice, protect environmental quality, and increase economic opportunity and quality of life. Activity on the part of the public sector to support Smart Growth and concentrated development is in part the result of a recognition that consumer preferences and demographics are shifting. Increasing numbers of Americans are demanding neighborhoods where they can walk to meet their daily social, civic, recreation, retail needs; where they have a variety of housing and transportation choices; where they have opportunities for greater social interaction. Consequently, Americans are becoming more accepting of higher density neighborhoods, and communities and developers are recognizing that higher density, mixed-use neighborhoods are an increasingly competitive product in the real estate markets. Smart Growth produces places that are highly desirable. We want to live in neighborhoods that offer convenience, value and a high quality of life. We desire neighborhoods that provide a variety of housing options: Apartments, town homes, and single-family residences so that as our households change in size and preference, we have the option to remain in our neighborhood. We want neighborhoods where there is open space and environmental amenities such as clean air and clean water. Providing these amenities requires building more compactly than we have been accustomed to in recent decades. In short, it requires higher density residential developments. 54 ON COMMON GROUND SUMMER 2003

2 DENSITY AND OUR COMMUNITY Density provides a variety of different benefits to our communities and cities: 1. Density makes walkable neighborhoods Walkable neighborhoods have possible residential and non-residential land uses close to each other. Shops, houses, restaurants, schools, etc. are located within close proximity to each other, providing people the convenience to go out to eat, walk to school, or purchase a quart of milk within a 5-10 minute walk. 2. Density supports housing choice and affordability Higher density gives developers the flexibility to integrate diverse housing types in a given development, primarily by expanding allowable housing types to include both single and multifamily units. One common result of higher density is expanded housing choice. Higher density means less land per unit, reduced site preparation, and lower per unit infrastructure costs, all factors that reduce the hard costs of construction. This generally allows developers to provide more housing at a lower cost to the homeowner. 3. Density expands transportation choices Higher density development expands transportation choices by making it easier to use non-automobile transportation walking, bicycling, bus or rail, by locating activities closer together. Transportation choice gives people the freedom to select from a variety of transportation modes as they complete their daily travel. Transportation choice makes it possible for Following are four density-related myths that are addressed and then put to rest. Myth #1: Density creates traffic congestion In the absence of other modes of transportation rail or bus transit, walking, and bicycling any development will add to neighborhood trips and congestion. To counteract this trend, communities need to increase the viability of non-auto modes of transportation. This counters congestion by providing options for people to make trips either on foot, by bicycle or rail and bus transit, rather than only by car. Density makes a wider range of transportation choices viable. The following features help increase non-auto travel: Sidewalks on both sides of all streets. Pedestrian routes that are straight, direct, and unimpeded. Parking behind structures and buildings closer to the sidewalk. Windows and doors of buildings facing the street and sidewalk directly, providing eyes on the street that enhances safety. Myth #2: Density clashes with existing communities It is possible to integrate density into a neighborhood so that it does not engender public disapproval. One poorly designed dense development can become a lightning rod for community opposition to density in successive years. New higher density development should fit into the vicinity into which it is being introduced. Successful dense developments will incorporate public participation into the design and approval process to ensure that community goals are met. Rather than increasing opposition, a well-run public process will result in less opposition and more certainty for builders. Myth #3: Density-driven development will cost more in the long run Many jurisdictions are concerned about the fiscal impact of new development particularly residential development. Concerns arise that new dense developments will overtax existing resources schools, roads and cost the community much more than lower density developments. In truth, dense developments help use existing resources most efficiently and cost the community much less than the same number of units accommodated in lowdensity development. Myth #4: Density eats up privacy and green space Well-designed dense residential developments include public and private spaces and provide residents with the opportunity and space to gather and socialize. Common open and civic spaces can include plazas, small parks, and squares within a development. Private open space includes balconies, courtyards, porches, and gardens connected to residences that overlook or are adjacent to the public realm: Streets, alleys, and parks. 55

3 persons to choose the means of travel that makes most sense for them. 4. Density helps minimize air pollution Since higher density communities can provide greater transportation choice, it is often the case that their residents drive less. One San Francisco study found that people in compact neighborhoods made 42-percent fewer auto trips than their counterparts in less compact neighborhoods. 1 Also, with activities closer together, vehicle trips are shorter with less vehicle miles traveled, less pollution is produced. 5. Density enables protection of open space and provision of parkland Density allows communities to accommodate greater amounts of development on a given parcel(s) of land. This compact development relieves some of the pressure to develop open spaces. As a result, communities are able to preserve existing open space, create internal neighborhood parks and protect environmentally-sensitive lands. 6. Density helps protect water quality As communities employ density to protect open space, they also achieve water quality benefits. Density protects water quality by minimizing the impervious surface per household. This in turn reduces storm water runoff. 7. Density reduces infrastructure cost It is cheaper to serve more households in a smaller, denser area than to serve the same number of households across a larger, dispersed geographic area. Communities are recognizing the redundancy of paying for new infrastructure when existing infrastructure is underutilized. Making Density Work To make density work, to make it acceptable and even sought after, requires working with the community to create a well-designed, wellplanned development. Planning and designing as a team can minimize the perceived negative impacts of density, and maximize positive outcomes. Let s take a look at two case studies that show how planning and community involvement lead to new neighborhoods that enhance a community s quality of life: Belmont Dairy in Portland, Oregon, and RiverStation & Heritage Landing in Minneapolis, Minnesota. Belmont Dairy Portland, Portland, OR OR T he Belmont Dairy is a mixed-use urban infill project in the Portland, Oregon, neighborhood of Sunnyside. Located approximately 1.5 miles southeast of downtown, Belmont Dairy has expanded housing and retail choices for residents of the Sunnyside Neighborhood, spurred reinvestment, and created a vibrant anchor for a changing 56 ON COMMON GROUND SUMMER 2003

4 t Dairy neighborhood. This project helps achieve the vision set forth by its developers to create a model demonstration of how dense development enhances community quality of life. After 70 years as a functioning dairy, the 2.5- acre site was burdened by environmental contamination and abandoned in the early 1990s. Where most people saw a wasteland, the developers, community residents and public officials saw a vibrant community center that would include a mix of housing and retail. The reason for such optimism was obvious despite neglect. The site s proximity to downtown, access to transit and location within an established business district made development viable from both the market and policy perspective. Phase 1 of the Belmont Dairy project was completed in 1997 and involved the conversion of the abandoned 70-year-old dairy facility into 19 market-rate apartments and 26,000 square feet of ground-level retail, including a 24-hour specialty grocer, restaurants and several shops. Also, as part of Phase 1, the developer constructed a new apartment building attached to the dairy that contains 66 units of affordable housing and 19 market-rate lofts. Phase 2 of the project, completed in 1999, consisted of 30 townhouses adjacent to the dairy building. The row houses are all twobedroom/two-bath units ranging from 1,326 to 1,715 square feet and sold in 1998 for prices between $198,000 and $269,000, compared to the neighborhood (Southeast Portland) average of $139,700 (which includes all for-sale housing). Design is used to emphasize the site s historic connection to the neighborhood and create a pedestrian-friendly streetscape. The brick walls of the dairy were saved, the scale of the anchor building maintained, and the name and logo of the project remind the community of the project s roots. Buildings are oriented to the street, with balconies and small patios facing the sidewalks. The row houses feature a landscaped pedestrian courtyard providing each unit with a small private garden area with planting beds and stone paving enclosed by an ornamental iron fence. This creates a pedestrian-oriented streetscape and improves security by providing eyes on the street. Garages are accessed from the rear so that pedestrians on the street see front porches, balconies and bay windows, not a wall of garage doors. Belmont Dairy has brought benefits to existing residents by adding retail and stimulating reinvestment. It has also ensured that new residents are able to benefit from all the advantages of the Sunnyside neighborhood. Belmont Dairy is the cornerstone of revitalization for Sunnyside neighborhood: The apartments have a low vacancy rate, all row houses have been sold, and the retail space, anchored by Zupan s Market, has created new destinations accessible on foot. 57

5 RiverStation and The RiverStation and Heritage Landing developments are adjacent mixed-use urban infill projects, located in the warehouse district of Minneapolis, Minnesota. These developments have introduced residential development into the warehouse district, supporting the City s objective of creating a 24-hour downtown. The two developments occupy 9.75 acres, onehalf mile from downtown. The rail yard that formerly occupied the site had been abandoned for several decades, sitting vacant until the Minneapolis Community Development Agency (MCDA) acquired and sold the parcel in two pieces for residential development. The project went through public review, largely with the Downtown Residents Association. The Riverfront Warehouse District was involved in design charrettes for the site. While there have been negative reactions to density elsewhere in the city, the neighborhood associations and business district did not voice strong opposition to the project. At the time, there were few residential properties nearby. Heritage Landing was completed in 2000 and includes 229 rental apartments, ranging from 750 to 3,200 square feet in size. Twenty percent of units are affordable, reserved for households with 50 percent of the median income ($76,700 in 2002). The market-rate apartments in the Heritage Landing rent for between $1,000 and $1,900 while the one-bedroom affordable units rent for $705 per month. Street-level retail (grocer/delicatessen, florist and dry cleaner) and outdoor seating for the restaurants add to street activity. The project retains several of the site s historic features including a 19th century battered stone wall that connects the building to the neighborhood. Heritage Landing has been noted for its distinctive architectural details: Warehouse type canopies, steel lintels, mansard metal roofs, and arched windows that soften the appearance and mass of the building. (See photo above.) RiverStation is under construction with expected completion in 2003 and has 347 for-sale market-rate condominiums. These units range in size from 860-1,500 square feet and sell for about $210 per square foot ($180,000 - $315,000). It was constructed on a brownfield and incorporates green design elements in its construction. The site has underground parking, a unique on-site storm water treatment design, and an open space area between adjacent buildings. Proximity of both developments to downtown Minneapolis and adjacency to several major bus lines makes transportation around the region relatively smooth without a car. Recreational trails on the Mississippi River are a few blocks away, providing links to miles of river trails and recreation opportunities (canoeing, kayaking or rowing) on the Mississippi. Both projects use mostly underground parking, which creates a more pleasant streetscape. When proposed, RiverStation was the largest residential project with individually owned units in the Twin Cities. Heritage Landing then added rental units along with commercial space. Both properties have been selling and renting quickly. The units at RiverStation have been selling at an average pace of two per week for four years. The occupancy rate at Heritage Landing is currently 98 percent. The result has been a new neighborhood that provides housing for downtown workers and students as well as easily accessible shops and restaurants, all bringing a new energy to the neighborhood and moving the City closer to its goal of creating a 24-hour downtown. 58 ON COMMON GROUND SUMMER 2003

6 Heritage Landing Lessons Learned With good planning, design, and community involvement, higher-density developments can be successful in a range of existing small towns, suburbs, and cities. Furthermore, local officials and community leaders can change opposition to density into a constructive discussion of community goals and how density can help achieve it. Several lessons on how to create higher density emerge from these case studies of successful communities: A. Community involvement is essential. The community worked closely with the developer of the Belmont Dairy project to ensure that it constituted a welcome addition to the neighborhood. B. Design makes the difference. Good design is crucial to creating development that makes a positive impact on a neighborhood. Incorporating existing buildings, using architecture that refers to local traditions, stepping down density to blend in to singlefamily neighborhoods, and creating visual interest for pedestrians all make higher-density projects more appealing and ultimately more acceptable. C. Density can stimulate revitalization. RiverStation and Heritage Landing helped spark the creation of a neighborhood in an old industrial area. Initial investment in housing is often followed by other services and businesses. D. Dense housing is in high demand. Many renters and potential homebuyers want higherdensity housing, as evidenced by the strong sales/rentals and prices for these projects. Welldesigned density is every bit as marketable as low density, and may even appreciate in value more rapidly. E. Shared open space fosters community. Open space, such as courtyards, provide a good way for neighbors to get to know each other. Seeing the same people on a regular basis makes it easy to strike up conversations, which in turn makes it easier to work together on larger issues of mutual concern. F. Higher-density projects can break the rules on parking. Belmont Dairy provides shared parking, and RiverStation and Heritage Landing provide all of their residential parking underground. The public sector can promote such innovations by lowering parking requirements, providing incentives for structured or underground parking, and encouraging shared parking. G. People will drive less if they have options. These projects met objections that density generates parking shortages and traffic congestion by successfully creating transportation options. At the Zupan s Market at Belmont Dairy, over 40 percent of patrons arrive on foot or by bicycle. Whether small towns or big cities, affordable housing or market-rate condos, this article shows that density was successfully introduced in a way that fit community character and benefited existing neighborhoods. These efforts can inspire other communities around the country to use density to create transportation and housing choices, protect open space and the environment, improve return on public investments, and create great, Smart Growth neighborhoods. 1 Holtzclaw, John. Using Residential Pattern and Transit to Decrease Auto Dependence and Costs. Natural Resources Defense Council, San Francisco, CA For a copy of the full report, please send a request to Gerry Allen at NAR either by to gallen@realtors.org or by fax to