Trust Funds Sought To Add Three Units At West Harwich Schoolhouse

HARWICH – The developer who is converting the former West Harwich schoolhouse property into 10 units of housing is seeking financial assistance from the affordable housing trust to establish three of those units as affordable housing.

John Carey, who purchased the former schoolhouse property from the town three years ago, told the trust last week he is trying to find a way to move forward with his plans for a second building there in which he will place the three units.

“When I was permitting it a few years ago, it was a different time and interest rates were lower and building costs were lower,” Carey told the trust. “It doesn’t make sense to borrow the money to build the second building. It would be a net loss.”

But Carey said instead of scrapping the second building and eliminating three housing units, having seen the financial support the trust provided to help the Harwich Fire Association create three affordable units in the former fire station on Bank Street, he would like a similar agreement for his property.

The trust provided the fire association with $150,000 per unit to help cover the cost of creating its units. The schoolhouse units would also be deed restricted and similar in pricing to the units on Bank Street, Carey said.

Carey emphasized the support he has received for his project from the select board, planning board, historic district and historical commission and the water department. He told the trust that adding the three units of affordable housing would increase the town’s subsidized housing inventory (SHI), which is at 4.98 percent, as the town seeks to meet the state goal of 10 percent. Approximately 280 more units are necessary to reach that target.

The draft version of the town’s updated housing production plan calls for 33 units of affordable housing to be created each year until it reaches the 10 percent mark. Carey said with the three affordable housing units, the town would be able to add all 10 units to SHI list.

Town Planner Christine Flynn said she has reached out to the Massachusetts Executive Office of Housing and Liveable Communities, and learned Carey would have to go through the Local Initiative Program (LIP) for all 10 units to be applied to the SHI list. Carey had not pursued the LIP process when obtaining his permits from the town.

The LIP program encourages the creation of affordable housing by providing technical assistance to communities and developers who work to create affordable rental units. A LIP proposal requires the support of the select board. Carey said he would pursue the LIP process avenue, and Flynn said she would assist.

AHT member Bob Spencer wanted to know why Carey, in his letter of intent to the trust, was using 80 percent of the area median income as the cap for accessing the housing. Spencer suggested 100 percent. Carey said he was under the impression 80 percent was maximum to get all 10 units approved on the SHI.

Richard Waystack praised the work Carey has conducted on the historic schoolhouse building. Waystack said while there is a lot of discussion in town about building affordable housing, Carey has “a shovel in the ground.” To get 10 units on the SHI is a step forward, it’s one-third of the annual goal contained in the housing production plan, Waystack said.

“Getting 10 units, it’s huge, that amount of money is a homerun,” Waystack said.

AHT Chair Larry Ballantine said he visited Carey’s project at the former schoolhouse a few days ago, and given its rapid progress, Ballantine said he’d like to move this request along quickly. The Carey request also included an additional $50,000 to assist with utility costs for the project.

“What John is asking for is short money,” added Ballantine.

AHT member Claudia Williams wanted to know how the money would be spent. Trust member Brendan Lowery said Carey had put together a budget detailing the high cost of bringing town water 220 feet from the main to the smaller building at the back of the lot.

Spencer said every step the trust takes in doling out funds sets a precedent, but he added this request seems reasonable and he would be comfortable with it to get 10 units on the town’s inventory. The affordable apartments would be two one-bedroom units and one two-bedroom unit, all larger than the ones at the former fire station.

Speaking as an individual, Select Board member Jeffrey Handler said he’s impressed by Carey’s progress.

“I want him on my team in Harwich. It’s hard not to support what this young man is doing, or going to do, based on the past work he has done,” said Handler. “He’s a doer, he has attention to detail, he crunches his numbers, and he knows what he’s doing, and he’s a true professional ... I would stand behind him 100 percent.”

The trust approved a motion to acknowledge and accept the proposal. The trust members agreed they would examine the status of funding available, and plan on addressing Carey’s request at their next meeting.