Des Moines cuts red tape for builders, but will it deter affordable home construction?

Kim Norvell
The Des Moines Register

Des Moines' new zoning code will make it easier and quicker for developers to build in the city, while also preserving or increasing property values, city officials say.

But some worry the changes will discourage developers from building affordable housing, making it more difficult to provide units for the thousands of people in Polk County who need them.

The proposed requirements for new single-family homes — including minimum house sizes, single-car garages and full basements — would push construction costs to at least $225,000 per home, according to data provided by Greater Des Moines Habitat for Humanity. That's $75,000 more than the nonprofit organization spends to provide housing to Des Moines' most needy families. 

Volunteers with Habitat for Humanity work on a home as part of a community of 23 homes near Birdland Marina on Wednesday, May 22, 2019, in Des Moines. The city of Des Moines is updating its zoning code for the first time in more than 50 years, but some of the changes will make it difficult to build affordable housing in Des Moines.

The average person purchasing a newly built home at that price would need to earn $60,000 to $70,000 a year to qualify for a 30-year mortgage in today's market, said Habitat's Executive Director Lance Henning.

Considering Des Moines' median household income is $49,999, more than half of all Des Moines households would "be priced out of buying a new home," he said. 

"In a community already facing a significant housing shortage, the proposed zoning will exacerbate the issue," Henning said. "There are lots of fantastic Des Moines residents who are being squeezed out and priced out of having a place to live." 

Polk County is short about 8,000 affordable housing units, according to the Polk County Housing Trust Fund. Habitat's homes are sold to families earning between 30% and 60% of the area median income, or about $25,000 to $48,000 per year for a family of four.

New homes would match neighborhood character

Released this month, the 300-page document is an updated version of the city's zoning code — its regulations for development and construction — that has been in place since 1965. Des Moines will go through a six-month public comment period before the changes are considered by the city council. 

The proposed code puts an emphasis on creating neighborhoods with a variety of uses and green space that are accessible by pedestrians and cyclists, said Phil Delafield, assistant city manager. He pointed to Ingersoll Avenue and the East Village as examples. 

"Those are all successes that we're hoping to emulate throughout the city," he said.

A view of downtown Des Moines from the Register drone overlooking the new Bridge District development on Thursday, May 24, 2018, in Des Moines.

Consultants from Chicago spent 19 months examining every city street to determine appropriate scale and design guidelines based on the character of each neighborhood.

They identified what uses would be allowed on each parcel in Des Moines. For example, large-scale commercial developments could not be built next to a cluster of single-family homes, while multi-family apartment units would be targeted along transit routes.

They also identified the specific architecture that would be required in each of the city's neighborhoods. New homes built in Beaverdale would be brick cottages, while those in Union Park would be pre-war bungalows, Craftsman-style homes or Victorians. 

►More:Meet the team working to turn around Des Moines' urban neighborhoods

Specific details like building materials, windows, facade layout and roof types are laid out based on the type of development. 

Having higher standards on things like building materials and architecture will improve and protect property valuations citywide, said Des Moines' Planning Administrator Mike Ludwig.

"There's a goal of improving the quality of urban design in the city, which raises a bar for development quality," he said. "From a developer's standpoint, if they see that as an increase in cost to them, we believe we're saving time with our processes and how this code is set up."

It could cut approval period by 60 days

If developers follow the code exactly as it's written — with a building that follows the site's zoning and design features that fit the site's location — projects can be approved internally by city staff. Staff has 30 days to approve a project or go back to the developer with changes. 

Currently, developers must go in front of at least two city boards and the city council before projects are approved. That can take up to 90 days or longer, Ludwig said. 

"There are a number of developers that choose not to develop in these infill sites in our neighborhoods because of the lengthy process," said real estate attorney Larry James Jr., who provided input on the code through a steering committee.

But some of those standards may be too stringent for developers who want to bring low-cost housing to the city's working class residents.

The proposed code would require one-story homes have 1,400 square feet of finished space above grade, while a two-story home would need 1,800 square feet. Homes also would be required to have a full basement and a single-car garage.

"Right now (Habitat for Humanity) would not meet any of those requirements," Henning said.

Habitat's most common floor plan is a 1,110-square-foot ranch with a partial basement and a shed. The nonprofit organization typically does not build garages due to cost, Henning said. 

Their homes cost about $150,000 to build and are sold at the appraised value of about $140,000. 

Jack Hatch, whose company Hatch Development Group focuses on bringing affordable housing to urban neighborhoods, said having more requirements on any project would limit developers' choices. It's already time consuming to bring quality, affordable housing to Des Moines, he said.

Hatch relies on financing through state, local and federal tax credits to build affordable units. It took nine layers of financing to bring about his Woodland Avenue Brickstones project at 15th Street and Woodland Avenue. The $6.5 million building has 56 units for a mix of low-income and market rate renters. 

"The last thing I want are more restrictions and minimum standards that jack up the price and make it more difficult — not impossible — but just more difficult," Hatch said. "If the city wants to put minimum standards that are above the building standards that exist today, then they should back it up with an incentive package."

Volunteer Rey Munoz of Des Moines helps put siding on a home with Habitat for Humanity that is part of a community of 23 homes near Birdland Marina on Wednesday, May 22, 2019, in Des Moines. The city of Des Moines is updating its zoning code for the first time in more than 50 years, but some of the changes will make it difficult to build affordable housing in Des Moines.

'It's going to end up helping everyone'

The proposed code allows for deviation from all of its listed requirements, including size. Developers are entitled to bring forward projects that may need different zoning or have a different design not listed in the new code.

They would follow the current process instead of getting approval directly from city staff. 

"If they want to do something that's different from what the code is asking, there is still a process that is almost identical to the process that exists today," Delafield said.

But Henning wonders how much time — and, ultimately, money — would be tacked on if he strays from the code requirements and is asked to go through a cumbersome process.

The proposed zoning code is meant to be a "living" document that is subject to change if issues arise, Delafield. More than 300 amendments have been added to the city's existing 54-year-old code. 

The city council is tentatively scheduled to vote on the changes Sept. 9, with implementation planned in late October.

"We are at a point as a community where we can ask to raise the bar and we no longer have to accept poor design and low-quality materials," James said. "It's going to end up helping everyone because it's going to increase the taxable property value of our entire community." 

Other zoning code changes

Bicycle parking — All new developments, including apartments, restaurants, bars, retail shops and parking lots, would be required to have dedicated bicycle parking, at minimum an illuminated bicycle rack near the front entrance. 

Electronic billboards — An earlier version of the proposed zoning code put a strict ban on all new electronic billboards, but it was later revised. Now, new electronic billboards would be allowed only in major commercial corridors such as Army Post Road, 63rd Street and Southeast 14th Street.

Short-term rentals — Short-term rentals like Airbnb would be allowed in Des Moines neighborhoods. Owners who wish to rent their space would have to register with the city and apply for a conditional use permit. Home rentals would be limited to 90 days out of the year. Rentals would only be allowed in 10 percent of units in an apartment or condo building.

No more PUDs — The proposed code eliminates the need for planned unit developments in the city. Instead, a large-scale development plan would be used for developments more than 5 acres.

Schedule of public meetings

Des Moines will host a series of public meetings on the proposed zoning code. Unless otherwise noted, meetings are held in the second floor board room at the Richard A. Clark Municipal Service Center, 1551 E. Martin Luther King, Jr. Parkway. Meeting dates are subject to change, and will be posted online at plandsm.org. Comments can also be submitted on the website.

  • June 5 — Developer meeting, 1 to 3 p.m.
  • June 5 — Public meeting, 6 to 8 p.m., Des Moines Central Library, 1000 Grand Ave.
  • June 6 — Plan and zoning commission workshop, 4 to 6 p.m. 
  • June 11 — Steering committee workshop, 1 to 5 p.m. 
  • June 20 — Plan and zoning commission workshop, 4 to 6 p.m. 
  • June 25 — Steering committee workshop, 1 to 5 p.m. 
  • July 18 — Plan and zoning commission public hearing, 6 p.m.
  • Aug. 1 — Plan and zoning commission public hearing and recommendation, 6 p.m. 
  • Sept. 9 — City council public hearing, 4: 30 p.m., City Hall, 400 Robert D. Ray Drive

​​​​​​​