Rental Housing Market Potential

Table 26: Income-Restricted Communities in Buckeye, 11/2021

Name Address Total Units Type Expiration Date Winpisinger Apartments 12025 Shaker Boulevard 42 HUD Multifamily 2021 Kappa House II Apartments 12300 Shaker Boulevard 36 HUD Multifamily 2021 Ivy Plaza 11103 Kinsman Road 34 HUD Multifamily 2021 Therapeutic Community 11410 Buckeye Road 8 HUD Multifamily 2023 Shaker Boulevard Gardens 2781-83 E. 108th Street 73 HUD Multifamily 2025 Kappa House 12450 Shaker Boulevard 69 HUD Multifamily 2030 Jaelot Apartments 12730 Shaker Boulevard 160 HUD Multifamily 2034 Shaker Colony Apartments 10502 Shaker Boulevard 36 LIHTC 2018 (expired) Ethel-Forest #1 12515 Forest Avenue 2 LIHTC 2018 (expired) Erieview Homes II 3223 E. 119th Street 57 LIHTC 2022 Shaker Boulevard Gardens 10708 Shaker Boulevard 73 LIHTC 2024 Livingston Park Apartments 3072 Livingston Road 180 LIHTC 2025 Buckeye Homes I 9623 Yeakel Avenue 38 LIHTC 2026 Cleveland New Construction II 9903 Kennedy Avenue 45 LIHTC 2027 Buckeye Homes II 10323 Crestwood Avenue 35 LIHTC 2027 Cleveland NSP Homes I 2819 E. 124th Street 41 LIHTC 2027 Cleveland New Homes 11802 Buckeye Road 65 LIHTC 2031 Cleveland New Homes II 9901 Manor Avenue 30 LIHTC 2033 St. Luke's Apartments Phase I 11311 Shaker Boulevard 72 LIHTC 2041 St. Luke's Apartments Phase II 11311 Shaker Boulevard 65 LIHTC 2043 Emerald Alliance VI 11529 Buckeye Road 65 LIHTC N/A Cleveland Green Homes II LP 2919 E. 123rd Street 29 LIHTC N/A

Source: HUD, PolicyMap, Urban Partners

An exciting new income-restricted mixed-use project coming to Buckeye in 2022 is the rehabilitation and reuse of the former Audubon School. This LIHTC-funded development will involve 85 one- and two-bedroom affordable units combined with 25,000 to 30,000 SF of commercial space.

Rental Housing Market Potential Market-Rate Our rental housing market research has revealed that available apartments in Buckeye are extremely limited. Rentals include several multi-family complexes throughout the neighborhood, both new and older. Both types of complexes have extremely low vacancy rates. This indicates that demand is quite strong in the area for rental housing, despite the area’s loss of population.

As a result of these market conditions, it appears that new rental housing is potentially a viable development opportunity for an evolving Buckeye. This could take the form of additional newly built market-rate apartments that would serve upper-income renters seeking to live in the neighborhood. At the same time, due to the neighborhood’s significant supply of vacant housing—over 3,000 units as indicated by the Census—there also appears to be a

particular opportunity for more cost-sensitive rehabilitated market-rate apartments in existing structures that could house middle-income residents. Such rehabbed units could occur in vacant or underutilized buildings, including twin homes popular in the neighborhood and spaces above ground-floor uses along the neighborhood’s commercial corridors.

Affordable Despite the significant supply of affordable units in Buckeye, 50.2% of renter households in the Study Area are paying more than 30% of their incomes on housing. Waiting lists exist for HUD affordable housing in the area. Furthermore, the affordable status of several complexes have or will be expiring. If not renewed, the units will become market-rate, resulting in a loss of affordable housing. The pending Audubon School project, with its 85 new LIHTC units, will offset some of this potential loss.

Considering the lack of available affordable housing, there appears to be a need and opportunity for additional affordable rental units in Buckeye, potentially as additional LIHTC housing restricted to residents with incomes not to exceed 60% AMI. However, these tax credits are extremely competitive, particularly with a recent award, and thus, additional LIHTC projects in the near future will be difficult to execute. Therefore, consideration should be made for affordable units to be incorporated into new multi-family residential projects as mixed-income developments containing a combination of market-rate and below-market units. Developer incentives or bonuses can help offset the additional expense of these affordable units.