Rainier Valley

Homeownership Program
and Annual TOD Report
2/4/2021
 Why we are here

• Provide an annual update on the performance of the TOD

program
• Consider actions associated with a proposed Property Transfer
Agreement with the City of Seattle that would result in Sound
Transit transferring 10 surplus property sites to the City of
Seattle at no cost for the development of affordable housing

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Annual TOD Report
 Equitable TOD Policy Goals

• Increase ridership
• Support growth plans
• Engage communities
• Integrate TOD into transit planning
• Create housing, especially
affordable housing
• Encourage safe and easy access
to transit

4
 State statute on surplus property

80 80 80
≥80% of suitable ≥80% of created units Units must serve
property must be first must be affordable those earning ≤80% of
offered for affordable area median income
housing creation

5
 The Goal: Stations Serving Communities

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 Partnership focus

Cities

Station Station context Station area

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 2020 Land Use Planning highlights

Program
• Co-developed outline for
station experience design
guidelines
• Began study of integrated
retail in transit facilities
• Began study of joint
development strategies for
parking facilities
Example: Retail integration typology

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 2020 Land Use Planning highlights

Projects
• Station co-planning and joint
development assessments
on West Seattle and Ballard,
Tacoma Dome Link
• Completed joint
development assessments
on BRT projects, and
transitioned into partnering
negotiations
Example: Kenmore Park & Ride

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 2021 Land Use Planning preview

Program
• Complete Station
Experience Design
Guidelines
• Improve agency’s ability to
evaluate and make
decisions about joint
development and integrated
retail

Example: Design considerations for joint development interface

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 2021 Land Use Planning preview

Projects
• Advance early station planning
on Everett Link
• Publish station co-planning and
joint development assessments
on West Seattle and Ballard,
Tacoma Dome Link
• Continue partnering on potential
BRT joint development sites
Example: Joint development assessment

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 Development highlights
Forecasted housing production
on Sound Transit property*

2,100 Homes built or in

process
2250
2000
1750

$1.1
1500
Total public and private 1250 Negotiating
investment in projects 1000
BILLION built or in process
750 Awarded

500
Under

$ 63
250 construction
Total revenue for 0 Built
transit from projects Affordable Total Housing
MILLION built or in process Housing

12 *Exact number may change based on unit mix in final project

 State statute compliance

86%
of property suitable for
619 Homes started
construction*
housing first offered to
Qualified Entities Number of homes by income levels
served in projects*
300
250

100%
of homes on property
200
150
100
transferred to Qualified Entities 50
are affordable
0
≤30% 50% 60% 80% >80% Staff
Area Median Income (exempt)

13 *On property transferred to Qualified Entities for affordable housing

 2020 Development highlights

Program
• Completed a needs assessment and evaluated potential
approaches towards the affordable housing revolving loan fund
• Began a property portfolio evaluation to inform a TOD pipeline
work plan
• Refreshed processes for TOD design review and construction
oversight
• Established planning approaches with jurisdictions for next batch
of Agency TOD opportunities in Kent, Federal Way, Redmond, and
Lynnwood

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 2020 Development highlights (cont.)

Projects that opened in 2020

110 Homes opened

Long-term affordable
Other affordable Capitol Hill B-N
Market rate 110 100% 2020
100% units affordable opened units

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 2020 Development highlights (cont.)

Projects that broke ground in 2020

619 Homes starting

construction

1%
Long-term affordable
Other affordable Roosevelt Central First Hill
Market rate 254 100% 2023 365 100% 2023
99% units Affordable* opens units Affordable* opens

16 *Including staff units

 2020 Development highlights (cont.)

Project development milestones

• Began negotiations at OMF East TOD site
• Received FTA disposition approval for 12 small
sites in Rainier Valley for affordable housing
• Board approved development strategies at
Angle Lake and 10 small surplus sites in
Rainier Valley

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 2021 Development preview

Projects anticipated to open in 2021

458 Homes opening

21%
Long-term affordable
Other affordable Capitol Hill A, B-S, C Beacon Hill
Market rate 319 21% 2021 139 20% 2021
79% units affordable opens units affordable opens

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 2021 Development preview (cont.)

Projects expected to be ready to break ground in 2021

118 Home starting

construction

Long-term affordable
Other affordable Capitol Hill Atlas site
Market rate 118 100% 2023
100% units affordable opens

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 2021 Development preview (cont.)

Advancing specific projects

• Releasing Angle Lake TOD Site RFPs in SeaTac
• Finalizing OMF East TOD site terms with developer
Active planning for TOD sites
• Federal Way Transit Center in Federal Way
• Kent/Des Moines Station in Kent
• Overlake Village in Redmond
• Lynnwood City Center in Lynnwood
• U District TOD and Mount Baker Station East Portal sites in Seattle

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 M2021-08: Rainier Valley
affordable housing sites –
key business terms
 TOD sites
10 sites
• Sites are 2,300-14,000 square feet;
fenced and vacant
• Near Othello, Columbia City and Mt.
Baker light rail stations
• Smaller sites can accommodate 2
homes; larger up to 40 homes
• Most sites were federally funded

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 Project background
Key milestones
• Summer 2019: Extensive equitable
engagement effort
• Sept. 2020: FTA approved disposition
method that allows for federal interest to be
extinguished with transfer to City of Seattle
for affordable housing
• Oct. 2020: Board authorized staff to
negotiate the terms of a no cost transfer to
City of Seattle for affordable housing

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 Action 1: Key business terms
Category Agreement
Sale price Transfer at no cost; City will pay closing costs, transfer taxes,
recording fees, and title insurance premiums.
Affordable • 100% of housing units will be sold or rented to households
housing whose adjusted income is at or below 80% AMI
• At least 100-150 homes or units will be created across the
sites.
• Sites will restricted to use as affordable housing for a term of
50 years.
• Groundfloor community or nonprofit space permitted where
required by local zoning code. Other groundfloor uses may
be allowed on a case by case basis.

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 Action 1: Key business terms (cont.)
Category Agreement
Sustainability • Evergreen Sustainable Development Standard v3.0.1
• LEED Mid-rise v4 or LEED Residential v4.1 Gold level
• Or approved equivalent
FTA Approval • The parties agree to comply with the FTA letter of approval
and to cooperate with any requests for information by FTA in
connection with FTA’s approval of the transfer and
monitoring for compliance.

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 Action 1: Key business terms (cont.)
Category Agreement
Community Seattle Office of Housing will:
engagement • Affirmatively engage developers and homebuyer readiness
organizations led by/serving people of color
• Make good faith effort to achieve community goals identified
in equitable engagement effort
Development • Issue request for proposals on all 10 sites within 10 years
timeline • Issue request for proposals on first 3 sites within 180 days of
property transfer
Funding • OH will make $10 million in funding available to develop
commitment affordable housing on the sites

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 Action 2: Delegation of authority to CEO

Action would authorize CEO to:

• Execute Property Transfer Agreement and related documents
• Approve any amendments as necessary
• All subject to Board-approved key business terms

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 Thank you.

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