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2. HRSR 02-01-2016
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2. HRSR 02-01-2016
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City Government
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HRSR
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2/1/2016
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HOUSING DEMAND ANALYSIS <br /> TABLE HD-5 <br /> SUBSIDIZED INDEPENDENT SENIOR HOUSING DEMAND <br /> ELK RIVER <br /> 2015&2020 <br /> 2015 2020 <br /> Age 65+Households w/Incomes<$20,000 223 220 <br /> (times)Percent of Income Qualified Seniors Needing/Desiring Subsidized Senior Housing x 30% 30% <br /> (equals)Demand Potenital from Market Area residents = 67 66 <br /> (plus)Demand From Ouside the Market Area(40%) + 45 44 <br /> (equals)Total Demand Potential for Subsidized Senior Housing in Market Area 112 110 <br /> (minus)Existing&Pending Subsidized Senior Units in Market Area* - 118 118 <br /> (equals)Total Market Area Subsidized Senior Housing Demand Potential = 0 0 <br /> *Competitive subsidized units,minus a 7%vacancy rate. <br /> Source: Maxfield Research&Consulting,LLC <br /> We anticipate that at least 40%of the demand for subsidized senior housing in Elk River will <br /> come from seniors currently residing in surrounding communities who would move to the Elk <br /> River to be near their family or for other reasons. Including demand from outside of Elk River <br /> increases total demand potential to 112 units in 2015 and 110 units in 2020. <br /> From this potential demand, we subtract the existing number of competitive housing units in <br /> Elk River. Currently, there are only two identified subsidized senior buildings in the Market <br /> Area with a total of 122 units and are both fully occupied with waiting lists. Subtracting these <br /> units, minus a 3%vacancy factor, results in sufficient subsidized units in Elk River in both 2015 <br /> and 2020. The existing subsidized housing units are sufficiently serving the Elk River market <br /> through 2020. <br /> Estimated Demand for Congregate Senior Housing <br /> Table HD-6 presents our demand calculations for congregate housing in Elk River in 2015 and <br /> 2020. <br /> The potential age- and income-qualified base for congregate senior housing includes all senior <br /> (65+) households with incomes of$35,000 as well as homeowner households with incomes <br /> between $25,000 and $35,000 who would qualify with the proceeds from the sales of their <br /> homes. The proportion of eligible homeowners is based on the homeownership rates of areas <br /> seniors, as identified in the demographics section of this study. The number of age, income, <br /> and asset-qualified households in Elk River is estimated to be 1,282 households in 2015. <br /> Adjusting to include appropriate capture rates for each age cohort (1.5%of households age 65 <br /> to 74 and 11.0%of households age 75 and older) results in a local demand potential for 65 <br /> congregate units in 2015. <br /> MAXFIELD RESEARCH&CONSULTING,LLC 90 <br />
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