By SUZANNE ROIG The Bulletin
The latest effort to build affordable housing for Bend’s workforce uses low-cost loans issued by the Bend Chamber of Commerce.
The two-bedroom, modern looking home on SE Wilson Avenue is expected to be complete by this winter. A family of three earning an annual income of $102,840 qualified to occupy the home. It was built in partnership with the Bend-Redmond Habitat for Humanity and the chamber’s loan program.
Affordable housing is the No. 1 issue facing workers in Bend, and in a 2022 survey of chamber members, a vast majority have said it’s been an obstacle in recruitment, said Katy Brooks, Bend Chamber of Commerce CEO. The median sales price of a single family home in Bend in July was $749,000.
The loan program was two years in the making, Brooks said. The chamber looked at similar affordable housing programs, but none were chamber driven, Brooks said.
The loan program is the result of a $500,000 revolving fund stemming from a Providence Health Plan donation. The chamber has partnered with nonprofit housing groups, builders, developers and employers to identify land throughout the city on which to use the loan money.
“We interacted with dozens of builders and developers in Central Oregon and elsewhere to identify at what point low interest funding would be most effective,” Brooks said. “Most of the earliest money is the most expensive, but every situation and every build is a bit different. That’s why we made the loan so flexible.”
The loans are for 18 to 24 months, Brooks said, and can be used to offset land acquisition, pre-development and construction costs in a market burdened by high cost of land, construction supplies, labor and lending, according to the chamber.
“Our development community has told us that high interest rates make it hard for them to build the homes we need right now,” said Bend Mayor Melanie Kebler. “I appreciate the Bend Chamber taking up this issue and look forward to learning more from the implementation of their low-interest loan program.”
The chamber loan fund should help provide cost relief for developers of affordable housing, said Carly Colgan, Bend-Redmond Habitat for Humanity CEO.
“It will play a pivotal role in helping us bridge the gap for middle income earners who often find themselves priced out of the open market yet are unable to access traditional affordable homeownership programs,” Colgan said. “These funds will enable us to build homes for this vital part of Bend’s workforce, contributing to a more inclusive and balanced community where individuals and families at all income levels can thrive.”
Originally Published Here: https://www.bendbulletin.com/localstate/bend-chamber-supports-low-income-housing-with-low-interest-loans/article_ca4ebb2a-656e-11ef-a9ba-336a84488efb.html