This week the Council, by a vote of 7-2, enacted Bill 29-20, called the “More Housing at Metrorail Stations Act,” a major new housing initiative for which Friends of White Flint advocated.
Councilmember Hans Riemer, chair of the Council’s Planning, Housing and Economic Development (PHED) Committee, and Councilmember Andrew Friedson, member of the PHED Committee, were the lead sponsors of Bill 29-20. Councilmembers Evan Glass, Nancy Navarro, Council President Sidney Katz, Councilmember Gabe Albornoz, Council Vice President Tom Hucker and Councilmember Craig Rice were cosponsors .Councilmember Will Jawando and Council Vice President Tom Hucker voted against the bill.
Presently, there are no high-rise developments underway on any Metro station property in Montgomery County, nor have there been for many years. The legislation will respond to this problem by providing a payment in lieu of taxes (PILOT) for a period of 15 years for new high-rise development that includes at least 50 percent rental housing. The PILOT would exempt 100 percent of the property tax that would otherwise be due for a project constructed on property leased from WMATA at a Metro Station in the County. WMATA does not pay property taxes to Montgomery County. The legislation allows a new development on a Metro station property to retain that property tax exemption for 15 years. The developers would continue to pay impact taxes and to pay into the special White Flint Taxing District.
According to Metro, station properties in the County have the capacity to deliver at least 8,600 units of housing, which would provide a significant contribution to the County’s long-term housing shortage. The high-rise buildings also would include between 1,200 to 1,300 Moderately Priced Dwelling Units (MPDU).
“This effort is about turning housing targets into actual housing units, making ridership goals actual transit riders, and transforming outdated parking lots into vibrant communities for actual people,” said Councilmember Andrew Friedson. “It’s about building modern, sustainable, inclusive communities in true smart growth fashion. Few things would be more impactful to meeting our affordable housing, environmental and economic development goals than maximizing transit-oriented development at Metro stations.”
Montgomery County is not producing nearly enough housing to keep up with demand. Since 2010, the County’s population has grown by approximately 8,000 people per year, but the County has only added about 2,700 new housing units per year.