Building CLT Homes, Building Credit

Community Resources Manager Camille Dixon on financial assistance for buyers in the Oakland Community Land Trust pipeline

Excavation is underway at Frazier North Residences, four new-construction, energy-efficient single-family houses on Frazier Street, as part of the Oakland Community Land Trust (CLT). Two of these homes will be reserved for households with special needs, such as those recovering from addiction or abuse, and one for a household experiencing homelessness. 

At the same time, buyers in our pipeline are gearing up for homeownership—for these and other homes coming to the market in the CLT. This requires a kind of financial excavation, says Community Resources Manager Camille Dixon, who works with individuals in preparation for purchasing a home.  

“The first thing we do is an initial meeting where we determine a budget, set SMART goals, obtain their personal documentation—taxes, income, bank statements, bills, all those things the bank is going to want when they purchase a home.” 

Through the Oakland CLT, Frazier North Residences will remain affordable to 80% AMI buyers permanently.

For prospective buyers, the focus is on “attacking credit, raising the score, and erasing things that are affecting it,” says Dixon.  

Financial assistance can be crucial for buyers in our pipeline, some of whom are well below the area median income (AMI). 

“That’s huge,” says Dixon. “It’s hard for someone who earns less than 50% AMI to qualify for a mortgage.”  

The CLT model is also a motivating factor for prospective buyers, who get to know the community and homes throughout the process. 

“We listen to the dreams and expectations of the buyer,” says Dixon. “What type of home do you want? Is your family growing or is it just you? Do you want to stay put or are you looking for a starter home? We want the home to fit their needs.” 

To learn more about permanently affordable homes in Oakland, visit our Community Land Trust page. 

OPDC Awarded PHARE Funds for Community Land Trust

THE FUNDS WILL BE USED FOR PERMANENTLY AFFORDABLE HOMES AND TO ADDRESS HISTORIC RACIAL DISPARITIES IN HOMEOWNERSHIP

Last week, Governor Tom Wolf announced the recipients of a new round of funding for housing programs through the Pennsylvania Housing Affordability and Rehabilitation Enhancement (PHARE) fund.

OPDC was among the 245 housing and community development initiatives across 67 counties selected by the Pennsylvania Housing Finance Agency (PHFA) to share a portion of the total $48.4 million in funding for fiscal year 2021-22.

“This program ensures that communities are able to preserve existing housing and create new housing so all Pennsylvanians have access to affordable, safe housing statewide,” said Gov. Wolf. “This funding will ensure that the money is applied where the need is greatest and can accomplish the most good.”

OPDC will use the $150,000 in PHARE funds to reclaim abandoned vacant land and increase affordable homeownership opportunities in Oakland neighborhoods. Each new home will be permanently affordable through the Oakland Community Land Trust, a nonprofit, community-supporting system of land ownership.

This work will build on 2020 PHARE/RTT support, which allowed us to provide additional funding to BIPOC homebuyers. BIPOC families have been and continue to be displaced from Oakland residential neighborhoods where they have resided for generations, many as long-term renters. The displacement is happening because of gentrification.

According to a 2020 report by City of Pittsburgh Department of City Planning, the number of residents that identify as Black has been declining in all Oakland neighborhood areas in the past two decades. The same study describes the vulnerability of Black residents to displacement—78% of Black households rent.

By investing in permanently affordable new home construction, we can continue to provide homes for purchase as we address racial disparities in homeownership.   

For more information on equitable development and neighborhood stability in Oakland, visit our Oakland Community Land Trust page.

OPDC Statement on Board Resignations

The following statement was provided to the press by Eric Macadangdang, Secretary, OPDC Board of Directors, in response to outgoing board President Jake Oresick’s letter to Pittsburgh leadership:

“Oakland Planning and Development Corporation is a community-based organization that for over 40 years has invested in Oakland’s residential neighborhoods, supported Oakland’s residents and job seekers with active programming and services, advocated for and promoted affordable housing and equitable development strategies, and coordinated collaborative planning and programming efforts with Oakland’s many stakeholders.

“At a recent board retreat, we took a fresh approach to prioritizing equity and diversity in our programming and centering the needs of Oakland’s most vulnerable residents. At this morning’s board meeting, four board members chose to resign in protest. This was not an outcome any of us desired, but we are invigorated with OPDC’s renewed commitment to building an Oakland that helps all its neighbors thrive.”

Council Bill 2021-1906, “Oakland Crossings,” Meets Opposition at Final Public Hearing

Council Bill 2021-1906 and DCP-MPZC-2021-01666

Council Should set this bill aside in favor of passing the proposed zoning from the Oakland Plan

On May 25, 2022, City Council held a public hearing on Council Bill 2021-1906, formerly known as “Oakland Crossings,” which makes way for high-end, market-rate development in Oakland. 

OPDC joined Oakland residents and community organizations from around Pittsburgh in fierce opposition to the bill, which has been heavily criticized since it was introduced last fall for disregarding inclusionary zoning, affordable housing requirements, and equitable development. 

Residents took issue with the “extreme dimensions” requested by developer Walnut Capital, which are “totally out of scale with adjacent residential areas,” according to community member Elena Zaitsoff. 

Referring to a 3-D model, community member Millie Sass added, “The people are small next to the structures. Developers will always build to what is permitted.” 

Mayor Ed Gainey, who intervened to reduce the footprint of the zoning change, include affordable housing, and remove the most noxious uses, received praise for his efforts. Even so, residents and community organizations urged Council to set the bill aside in favor of passing the proposed zoning from the Oakland Plan. 

“The pressure is on from Walnut Capital,” said Greenfield community member Barb Warwick. “Not only would [the bill] be a slap in the face to residents and community groups who have sacrificed their time and energy to create the [Oakland Plan], it would set a terrible precedent of large-scale developers throwing their weight, money, and power around in order to bully through projects at the expense of local communities.”  

For more, check out Executive Director Wanda Wilson’s full testimony. Check back on the project page for updates on Council committee dates and the date it will be on their agenda for a vote.