Several new developments across the region are now in the planning or construction phases, pointing to a possible easing of the longstanding affordable housing crisis over the next few years. But the housing shortage has been exacerbated by a variety of causes, and local housing experts say it’ll take “multiple solutions” to tackle the problem.

Available, affordable housing is scarce in the North Country and has been for years. The shortage is due to a variety of factors, but boils down to a small housing stock and premium costs — two pressures that Adirondack Roots (formerly the Housing Assistance Program of Essex County) Executive Director Megan Murphy said are being felt nationwide.

“The causes are similar to some things seen across the country. It’s not just our area that’s experiencing a shortage of housing,” Murphy said. “There was a decrease in the number of building permits over time after the 2008 (financial crisis) and so that is one of the things, is that replacement didn’t really keep up. That is something that’s a trend that’s seen in other areas as well.”

Murphy said that other localized factors contribute to the shortage, such as the high volume of seasonal residents and second-home owners in the Adirondacks who can afford to pay more for housing as well as the general lack of proper multi-family housing in rural areas. Short-term vacation rentals have “taken certain housing out of the market,” she said — many spaces that could be used as apartments or single-family homes are instead being rented out to visitors.

The gap between the average income of a family and the average cost of a home is what prevents people in the North Country from being able to purchase a home. According to Murphy, in Essex County, the gap between the average annual family income and the average cost of a house is around $80,000, while in Franklin County it is around $10,000 — much smaller, but still prohibitive.

Even with numerous housing developments on the horizon — both affordable and market-value — Murphy said that the housing shortage cannot be solved quickly.

“There is a lot of interest in new multi-family developments in our area, but it will take time. It’s the same with single-family housing. We’re seeing a recognition that it’s an expensive region to own a single-family home now,” Murphy said. “It’s hard and it takes a long time. It doesn’t just materialize.”

Murphy said that it takes several approaches to effectively confront the housing crisis.

“It’s multiple factors that have come together at a specific time to create a shortage for us,” she said. “It’ll take multiple solutions. There’s been a positive shift in people’s attitudes in approaching this creatively. The thing about housing is it takes time. I think we will see that. We’re starting to see that.”

Multiple solutions, accordingly, are in the works. Local developments range from apartment buildings to market-value single-family homes to a proposed luxury resort with a helipad and spa — all at different stages of planning and construction, all aimed at people earning different incomes and living different lifestyles in the Tri-Lakes region.

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Lake Placid

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MacKenzie Overlook, an affordable housing complex in Lake Placid, opened to residents this March following the 2023 FISU Winter World University Games, filling its 60 units from a pool of around 150 applicants. The building’s rent rates are scaled to income. For example, according to the development’s website, a one-person household earning $21,480 annually pays $481 a month in rent for a one-bedroom apartment, while a one-person household earning $42,960 annually pays $853 a month in rent for a one-bedroom apartment.

Another housing development, Fawn Valley in North Elba, is setting its sights on move-in day. Consisting of six single-family homes and 16 townhouse units across four buildings, the residences will be sold — not rented. The development is not considered “affordable housing,” as its units are designated for households earning up to 200% AMI, which is about $167,400. Eight of the townhouse units will be reserved for employees of the local school district and hospitals — four units for LPCSD staff and four units for the two Adirondack Health-run hospitals in Lake Placid and Saranac Lake.

Homestead Development Corporation, which built the development, is required by the state to have an HOA for the townhouse portion of the development. The state’s Attorney General needs to approve the HOA in order for the units to be sold, and according to Homestead Development board member and North Elba Town Councilor Emily Kilburn-Politi, that application has been in limbo at the AG’s office for around 200 days. Without HOA approval, Fawn Valley cannot be marketed, let alone sold. This means no social media, no websites and no applications. Once the HOA is approved, Homestead Development can start conducting presales, taking deposits and moving mortgages forward. The six single-family homes in the development have already been sold, as they are not a part of the homeowner’s association.

“(We’re) stuck in a bunch of red tape at the New York state government level,” Kilburn-Politi said. “Everything is definitely still moving forward.”

A cooperative housing development off of Averyville Road in Lake Placid — the Hundred Acre Wood Cooperative — is in planning stages, and its board hopes to provide “quality, affordable homes for an estimated 20 to 40 households,” according to a document provided to the Enterprise by the co-op board last month. The goal of the co-op is to reduce barriers to homeownership in Lake Placid, and shares in ownership will be “affordable and payable in small amounts over time,” the board document said. The co-op board will host a public information session on Jan. 7, 2024 from 3:30 to 5 p.m. at the Lake Placid Beach House.

Another development — Peninsula Village — proposed by Massachusetts-based developer Dakota Partners to the Lake Placid-North Elba Joint Review Board last month — would add 60 apartments and 20 townhouses to the housing stock. This project is also in its infancy. Planned for the land behind Hannaford and the Cold Brook Plaza, Peninsula Village would offer its apartments to those who make between roughly 30% and 80% AMI, similar to MacKenzie Overlook. Construction would be funded through the New York state Division of Housing and Community Renewal’s Low Income Housing Tax Credit Program, the same program that helped fund MacKenzie Overlook. The 20 townhouses would not be classified as affordable housing and would be sold at market rate. They would be constructed after the apartments are built and leased.

The Peaks at Lake Placid housing development was slated to be built on Barn Road. Purchased for $5.3 million in 2021 by local developer Joseph Barile, the property was going to be one of the largest housing developments to ever be built in Lake Placid, with 265 apartments for rent and 90 condominiums. The apartments would have been income-restricted. However, after four years of planning the project, Barile put the land up for sale in June, putting the project on hold. Another developer who purchases all or part of the property could — with approval from the town, village and APA — build something other than what Barile got approval to build. No new buildings have been constructed on the site yet. The property, which is listed by CBRE, still appears to be on the market.

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Saranac Lake

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In Saranac Lake, the 70-unit, two-building The Lofts and The Carry project are expected to be built on 1.1 acres between Broadway and Depot Street. Thirty-five of the apartments will be set aside for artists who meet certain eligibility requirements. Others would be available to people making less than 60% of Franklin County’s AMI, while others will be available to people earning up to 130% AMI. The county’s AMI is around $53,000.

It is unclear at this time if there will still be 35 apartments set aside for artists. In a July 2022 Harrietstown Town Council meeting, the council asked Sean Kearney, vice president of project developers the Kearney Group, to reduce the number from 35. The Kearney Group had already agreed to reduce the number from 50 to 35 apartments in 2021. Kearney told the council that, while artists would get preference for the apartments, the apartments would eventually be opened to other applicants if the project did not attract 35 artists to live there.

The project received $6.5 million in funding from the Division of Housing and Community Renewal last year, one of 16 developments in New York to receive funding that year. The project was also awarded a $100,000 grant through the village’s Energize Downtown Fund, which was set up by the Downtown Revitalization Initiative and is facilitated by the Franklin County Economic Development Corporation. The project also negotiated a payment in lieu of taxes (PILOT) agreement with the town of Harrietstown in September 2022. Under this agreement, the Kearney Group will pay a base of $70,000 per year to the town for 30 years, with a 2% increase every year.

Kearney said in July 2022 that the plan was to break ground in the spring of 2023. Village Code Enforcement Officer Christopher McClatchie told the Enterprise on Monday that the building foundations are currently being laid.

“This project will still be a couple of years in the making before completion but progress is being made,” McClatchie said.

The Kearney Group could not be reached for comment by deadline Monday.

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Tupper Lake

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In Tupper Lake, the former Oval Wood Dish factory was sold in 2021 to developers who intended to turn the 126,000 square foot space across nine buildings into 80 units of affordable workforce housing as well as a co-working space and a new production facility for Raquette River Brewery. The project has received significant state tax credits and funding to help with the estimated $40 million project, including a combined $2.95 million through the Restore New York Communities Initiative, a 9% affordable housing tax credit, $1.95 million through the state’s Downtown Revitalization Initiative, $2.5 million in Regional Economic Development Council awards and $500,000 from the Northern Border Regional Commission.

The Lahinch Group, which is behind the project, is also planning to redevelop the land and buildings behind the factory into 71 market rate units and 2,500 square feet of commercial space called Oval Lofts.

Developers plan to break ground on the first phase of the project — the redevelopment of the factory — in early 2024. Construction is expected to last 14 to 16 months.

There are 80 affordable workforce housing units planned at this site, as well as a co-working space and a new production facility for Raquette River Brewery.

Additionally, the Park Street Residences, developed by the Northern Forest Center, will consist of eight long-term rental units for the local workforce in the former Plaza Hotel. The not-for-profit organization also purchased a nearby single-family home to renovate and rent. All of the nine rentals are expected to be offered at rates between $800 and $1,600 a month, depending on the size. The renovations are expected to cost around $1 million and are projected to be finished in 2024.

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Keene

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In Keene, the Both Meadow project will see four new single-family homes built by Adirondack Roots in partnership with the town of Keene and the Keene Housing Task Force. The homes will be sold, not rented, and will be designated for households at or below 100% AMI. Former town supervisor Tom Both and his wife, Alaina, sold the land at a discount to Adirondack Roots as a location for affordable housing years ago. The project received funding recently via the New York state Affordable Homeownership Opportunity Program, which is administered through the state Division of Homes and Community Renewal. The project is projected to start construction in the next year — according to Murphy, Adirondack Roots is currently meeting with the state every two weeks to keep the project on track.

“We would love for them all to be built next year,” she said. “Definitely by spring 2025.”

The Keene Housing Task Force also considered a site on Gilmore Hill Road owned by the Adirondack Land Trust for affordable housing in August 2022. Task force member and town Councilor Teresa Cheetham-Palen told the Enterprise in October that the project is “still a possibility,” though remains in early stages, as she is “trying to come up with a way to make the financing work.”

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Wilmington

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Adirondack Roots is slated to build six apartments in three townhouses on a 9-acre plot of land along state Route 86 in Wilmington. The project will be funded with a $1.3 million grant the organization received from the New York state Division of Housing and Community Renewal’s Small Rental Development Initiative in October. The units, as per grant guidelines, will be rented to households at or below 80% of the area median income, or AMI. The AMI in Essex County is currently $80,100, making 80% AMI $64,080.

The six units will not take up all of the lot. Some of the lot will remain untouched due to its proximity to the AuSable River, while the rest will remain developable. Town supervisor Roy Holzer said in October that there is a possibility of single-family houses being built on that remaining land. All housing built on the land will be available perpetually to locals.

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Jay

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Florida-based developer Eric Stackman first proposed a resort-style development in the town of Jay in October 2021. The proposal originally included 20 townhomes, 60 villas with an optional guest suite, 18 estates with an optional guest suite, and either six mansions or hotels containing 17 rooms each. A revised proposal from April 2023 includes 18 estate homes, 37 townhomes, a greenhouse with a farm, six guest houses, a retreat cabin, a streamside cabin, a fire tower, a clubhouse and restaurant. The plans also included the possibilities of a spa and wellness center, an events center with a parking area and a helipad. After filing an initial permit application for the project with the Adirondack Park Agency in October 2021, a public comment period for the project in December 2021 produced nearly 200 pages of comments that were mostly opposed to the project.

That application was met with with a NIPA — or Notice of Incomplete Permit Application — and Stackman’s two following applications were, as well. The luxury development — which Stackman said in December 2021 is targeted toward second home owners — will need to be resubmitted to the APA for a fourth time for a chance of approval. John Burth, an environmental program specialist with the APA and the author of Stackman’s third NIPA, told the Enterprise in May that Stackman has yet to address some requests outlined in his second NIPA issued in September 2022 — including the submission of a site design that details all proposed vegetative clearing, development and soil disturbance.

APA Public Information Officer Keith McKeever confirmed Monday that the APA has not yet received a fourth application from Stackman.

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(Editor’s note: This story is part of an ongoing series that began in 2022 exploring the affordable housing crisis and how it’s impacting the Tri-Lakes region. Readers who want to share their story about how the housing crisis has impacted them can contact the Enterprise newsroom at news@adirondackdailyenterprise.com.)