KulshanCLT awarded funds to build permanently affordable homes in Ferndale
Your support makes projects like this possible! Thank you.
BELLINGHAM, WA, August 15, 2022 – Kulshan Community Land Trust (KulshanCLT) is excited to announce it has achieved another milestone in providing affordable homes in Whatcom County – this time in the City of Ferndale. KulshanCLT has just purchased 8.2 acres of land in Ferndale close to transportation, jobs, and services to develop 50 or more homes. The parcel is situated at 2039 Thornton Road near the new overpass which will be a key access point into the city.
American Rescue Plan Act (ARPA) funding makes this investment possible
The seller of this property generously waited an entire year to close while KulshanCLT worked with Whatcom County staff on funding approval. KulshanCLT was able to utilize $1,250,757 in American Rescue Plan Act (ARPA) funding from Whatcom County for the acquisition. Ultimately, at least 50 permanently affordable homes will be able to be built on the 8.2 acre parcel. This represents KulshanCLT’s largest project to date.
The vision for this development is for a mix of single-family homes, zero-lot-line townhomes, and co-op homes. KulshanCLT is also seeking a partner(s) to build and manage affordable multi-family rental units and an early childhood center. Dean Fearing, KulshanCLT Executive Director, has long wanted to build in Ferndale. “We’re excited for the opportunity to create more permanently affordable homes for Ferndale families.”
KulshanCLT is growing to serve more families
KulshanCLT creates housing for a diverse population by applying the community land trust strategy, serving families and individuals who otherwise wouldn’t have the opportunity to own a home.
Through KulshanCLT’s program, low- to moderate-income households have the opportunity to purchase a home that is affordable for them. The sense of belonging and security that brings positively impact surrounding neighborhoods and communities through increased civic engagement and investment.
With increasing home prices impacting our local economy, KulshanCLT has embarked on a bold vision to create first time homebuying opportunities for 35 or more families within the next three years. These are families earning 50 – 120% of area median income who want the opportunity to put down roots but have been priced out of that opportunity. Home prices continue to increase at unprecedented rates compares to incomes needed to purchase a home. KulshanCLT will focus on building homes for families earning up to $110,000 annually.
Ferndale is an extremely competitive housing market
KulshanCLT plans to build 50+ homes on this lot in Ferndale.
Mayor Greg Hansen is a supporter of KulshanCLT building in Ferndale. Mayor Hansen says, “Affordable Housing is one of the most pressing issues in the City of Ferndale and I am excited and grateful to see this project moving forward. This is exactly the sort of collaboration we need if we are going to ensure that Ferndale remains a community for all, not just all who can afford it.”
According to Redfin, in June 2022, Ferndale is an extremely competitive housing market. Home prices were up 19.5% compared to last year, and the median home price was $640K. On average, homes in Ferndale sell after 6 days on the market and most homes get multiple offers, often with waived contingencies. The average homes sell for about 3% above list price and go pending in around 5 days.
KulshanCLT is seeking big impact on affordable housing availability
“Starter homes no longer exist in Whatcom County. But there is hope. With the support of KulshanCLT and our community partners, families gain both emotional and financial stability through homeownership. It is sometimes people’s first opportunity to build wealth,” adds Fearing.
With high home prices throughout Whatcom County and a rental vacancy rate of less than 1%, KulshanCLT has experienced more people seeking services. KulshanCLT Executive Director Dean Fearing notes, “A record number of families are on our wait list. We have 60 homes in the pipeline that will be constructed in the coming 5-6 years; this project in Ferndale is a huge addition that will enable KulshanCLT to have a much bigger impact in our community.”
“Strong community partnerships mean we can grow our capacity to meet those needs. We’re so thankful for financial support from local businesses, institutions, and individuals that have enabled 10 families to become first-time homeowners within the past year,” says Fearing.
Supporters of affordable housing can donate online or via mail to 1715 C Street, Ste 201, Bellingham, WA 98225. Every hour and dollar spent on a KulshanCLT home is a lifetime investment in sustainable homeownership and community stability.
KulshanCLT and partners are filling the gap in the housing continuum
“Donations enable us to continue our work using the Community Land Trust Model,” adds Nicole Walker, KulshanCLT Board President and Senior Loan Officer with Umpqua Bank. “Our homes will help first time homebuyers for generations to come, and this rare ARPA grant opportunity for the Ferndale project will leverage our community’s support and partnerships.”
About Kulshan CLT
KulshanCLT strengthens community by holding land in trust for permanently affordable homeownership and other community needs. Since KulshanCLT began in 1999, the community land trust has empowered more than 220 low- to moderate-income households (80% of the Area Median Income [AMI] and below) to purchase affordable homes in Whatcom County. By maintaining ownership of the land beneath the homes and coordinating down payment assistance funding from multiple sources, KulshanCLT makes each home affordable, then ensures that the homes will remain affordable for future buyers as well.
If you’d like to donate to see more permanently affordable housing in Whatcom County, click here.
