Weavers Grove Case Statement November 2022

STRENGTHENING THE FABRIC OF OUR COMMUNITY

You can be part of an exciting new opportunity: a mixed-income community that offers affordable homeownership to Habitat families and to market-rate homebuyers. Weavers Grove is designed to encourage interaction in a diverse, closely knit community - creating what research shows are economic and social benefits for our entire region. Of the 237 homes, 101 are for Habitat homeowners, making Weavers Grove one of few developments in the nation that is setting a new precedent for mixed-income living.

Habitat for Humanity of Orange County, as the lead developer, is combining multiple funding sources for the $30M project. Your financial support of the $7.5M Weavers Grove Campaign is a critical accelerator for realizing this innovative vision.

vision & purpose the plan benefits of mixed-income

REALIZING THE VISION

Buying a home at the lower end of the market is difficult in Chapel Hill and becoming harder. Too many people who work jobs that are important to the fabric of our community – at area universities, hospitals and health care, local government, small businesses, public schools, daycares – cannot find decent local housing. Workers commute long distances from other counties, or struggle to raise their families in unaffordable, unsafe, substandard homes that are detrimental to family stability and strong educational outcomes for children.

Orange Habitat has been working toward the Weavers Grove project for over a decade: acquiring a 32-acre parcel of land in Chapel Hill, working with local governments to align the vision, and managing financial resources. Long-term financial health has enabled Habitat’s significant impact over 37 years, and now those years of careful stewardship help launch the Weavers Grove development.

PROMISE & POSSIBILITY FOR A WHOLE COMMUNITY

We know that stable housing in a thriving community creates promise and possibility for families. Our plan is for 237 single family homes, townhouses, duplexes, and condominiums. The 101 Habitat homes will be owned by people who live or work in Orange County. The remaining market-rate homes will offer new opportunities for Chapel Hill homebuyers, at price ranges lower than today’s median home price.

As with any Habitat home, Weavers Grove Habitat homeowners must qualify for a Habitat mortgage, go through a rigorous screening process, and contribute hundreds of hours of sweat equity in lieu of a down payment. Habitat will assist in forming a joint Homeowners Association for the entire community and has educational programs to help new homeowners learn to manage homeowner responsibilities.

MLK Blvd.

Timberlyne Shopping Center

East Chapel Hill High School

Weaver Dairy Rd

Sunrise Rd I-40 vision & purpose the plan benefits of mixed-income

ADVANTAGES OF MIXED-INCOME COMMUNITIES

Decreasing barriers so we create an Orange County where everyone has a safe and decent place to live fuels the work we do at Habitat.

But Weavers Grove is not just a group of homes – it is a shift in the way we think about strengthening security and opportunity by intentionally building connections in a mixed-income community.

Children in low-income families that move to better neighborhoods gain positive long-term outcomes.

Source: Chetty et al., 2015

Weavers Grove amenities will appeal to and serve a diverse homeowner base – fostering neighborly interaction, enabling healthy recreation, and supporting families as they strive for safe, stable environments for their children.

Weavers Grove is a unique neighborhood with a focus on creating a thriving, multi-faceted community that contributes to the vibrant life of Chapel Hill and Orange County.

vision & purpose benefits of mixed-income

to the plan

Research shows that growing up in a mixedincome neighborhood makes a profound difference in the lives of children from lowerincome families. A landmark study of long-term adult outcomes by Harvard economist Raj Chetty demonstrates the enormous positive impact in upward economic mobility.

“In places where kids of different economic backgrounds are mixing in the same environment, those tend to be places where kids from low-income backgrounds rise up further in the income distribution.”

- Harvard economist Nathaniel Hendren

STRENGTHENING FAMILIES: AFFORDABLE, LIFE-CHANGING COMMUNITY

Weavers Grove Habitat homes will be affordable to people earning 30-80% of the area median income (AMI), approximately $25,900-$69,100/year for a family of four.

The 32-acre Weavers Grove site is in a critical location near public transportation, employment, and great schools, which will create positive changes in each family’s life.

Affordable Life-Changing Community

We are building a new way to live as a community in a diverse, inclusive setting that reflects and contributes to the vitality and sustainability of Chapel Hill and Orange County.

Living closer to work contributes to a family’s quality of life, our schools, our towns, and the local tax base. For example, people can get to work in inclement weather, attend children’s activities, and be part of the fabric of our community.

vision & purpose benefits of mixed-income the plan

A minimum wage employee would have to work 141 hours per week to afford the average rent in Chapel Hill. Homeownership is out of reach for many working families at any income level. The market-rate homes in Weavers Grove are important to our vision for all people to live in safe, decent homes.

In Chapel Hill, 75% of existing housing is too expensive for those who fall below 80% AMI.

100%

1 in 3

Habitat Homeowner Survey: Benefits Go Far Beyond Shelter

say homeownership has contributed to positive changes in their family’s life.

Habitat is the only local organization offering the stability of homeownership to people working at this income level in Orange County. weather, the

start or complete education or training programs; another one-third plan to pursue more education.

4 in 5 80%

feel better about their children’s future.

say their children now have a quiet place to study (an increase of 40%).

Shared community space is a key aspect of the Weavers Grove plan. People of different backgrounds, income levels, and ages can interact and form a sense of belonging on the lawns, playgrounds, and pavilion spaces.

A majority of Habitat homeowners report feeling connected to their community, with many becoming involved in and taking leadership roles in their neighborhoods. Weavers Grove will enhance these strong connections among all homeowners.

resources & timeline community impact invest in the future

Habitat is leveraging multiple financial resources to create the Weavers Grove community in a key location in Chapel Hill where families can live close to work, schools, and transportation. The total cost of the development is $30M. The funding model combines revenues from the sale of Habitat-owned lots to market-rate builders, annual fundraising allocations, government grants, financing sources, and philanthropy. Your gift to the $7.5M Weavers Grove Campaign is the essential accelerator for achieving this bold vision.

The proposed campaign has multi-pronged timelines for Town approvals, construction permitting, and building phases for Habitat. We anticipate Habitat home construction commencing in 2023 and continuing for approximately five years. To meet the need, Habitat is preparing to increase new home construction from today’s 12 homes per year to 20 homes per year by 2023.

HOMEOWNERSHIP BENEFITS OUR WHOLE COMMUNITY

For more than 37years, Habitat for Humanity of Orange County has helped families build and own quality homes in safe and supportive communities. In 2021, Habitat celebrated its 300th home. Chapel Hill and Orange County individuals, businesses, volunteers, and faith communities have provided consistent financial and volunteer support.

Orange Habitat has always been a creative leader in seeking forward-thinking approaches to safe, affordable local homeownership, particularly as housing stock and available land have become more scarce and more expensive. Examples include a focus on green-certified building to maximize efficiency and reduce energy costs for homeowners; Crescent Magnolia in Hillsborough, the first example of age-restricted senior homeownership among 1,200 Habitat affiliates nationwide; and the Home Preservation program, which offers transformational repair and rehabilitation services to help older adults on fixed incomes stay in their homes.

Habitat helps homeowners build strength, stability, and self-reliance. Stable housing is a foundation for improved health, better education outcomes for children, and improved financial savings opportunities. Our entire community benefits when families live in quality and affordable homes.

$115,000

857

families served since 1984 (as of FY21)

90%+ of Habitat homes are still occupied by their original homeowners

average home equity owned by Habitat homeowners vision & purpose benefits of mixed-income the plan

MONA DANIELS

Seeking to move out of public housing and into a safe and stable home with her children, Mona Daniels applied to Habitat and moved into her home in 1996. She has since paid off her mortgage, retired from her job at The Cedars retirement community, and has had the financial freedom to put her children through college. Mona is proud that her four children have obtained twelve advanced degrees among them.

REGINA MILLER

“Since our home is close to work and school, we have more time together. I am able to assist with homework and school projects and attend sporting events. I feel I have accomplished a sense of security for my family, finally. I’m hopeful that by taking on a leadership role in our community as secretary of our Homeowners Association, I am setting an example my children can follow and can be someone they’re proud of.” - Regina Miller, Habitat homeowner since 2018.

INVEST IN INNOVATION FOR THE FUTURE

Weavers Grove is an innovative approach to building community among mixedincome homeowners, and has few comparable developments in the country. We know that homeownership has a positive impact on a family’s financial stability, health, education, and community life. It builds equity and wealth generation, breaking the cycle of poverty that may have existed in a family for generations.

Weavers Grove will deepen Habitat’s impact on the affordable housing crisis in Chapel Hill by increasing the number of new homes built each year. Our community gains a stable, diverse, and self-reliant group of families who will contribute to the vibrant fabric of Chapel Hill and Orange County for years to come.

“I

convinced

the best model for building strong communities comes from mixed-income, mixed-use development that enables people to live near the places where they work. I encourage the community to support this visionary project.”

benefits of mixed-income

am

that

- Jonathan Reckford Chapel Hill native & Chief Executive Officer, Habitat for Humanity International vision & purpose

the plan

Your investment in the Weavers Grove campaign creates more Habitat homeownership in an ideal location in Chapel Hill, on a large scale, and on one of the last available tracts of land in town. You help create a new way to live together as neighbors.