A Florida bill intended to incentivize affordable housing has gained the attention of Fort Pierce city leaders and residents for allowing a proposed development reaching 17 stories on South Hutchinson Island.
The Live Local Act, a state law passed in 2023, allows developers to circumvent local governmental approvals, such as height restrictions, if a project contains at least 40% affordable housing.
The Fort Pierce City Commission fears that provision might allow the construction of five high-rises slated for the Causeway Cove Marina on the Indian River Lagoon at the southeast base of the Fort Pierce South Bridge.
To qualify for the zoning exemption, more than 400 of the project’s proposed 1,000 apartment units need to be set aside for affordable housing.
That would mean those units would have to house people who earn 120% or less of the area median income. The median family income in Fort Pierce is $87,800, according to Fannie Mae.
What counts as affordable housing?
Housing is considered “affordable” when the occupant is paying no more than 30% of their income on housing costs, such as rent or mortgage payments.
Those who spend over that threshold are considered “housing cost burdened,” according to the Department of Housing and Urban Development.
About 57% of middle-class Floridians are considered cost burdened under the HUD definition.
The affordable housing shortage is even more stark for extremely low-income renters, meaning those living under the federal poverty line.
In Florida, there are roughly 26 available units for every 100 extremely low-income renters, data from the National Low Income Housing Coalition show.
Fort Pierce is no exception. Roughly 26% of the city lives below the poverty line — that’s more than double the rate in Port St. Lucie, according to Census Bureau data.
The Live Local Act
Gov. Ron DeSantis signed the Live Local Act into law despite widespread pushback from local governments, such as the Florida League of Cities, which represents 411 local governments, including Fort Pierce.
The bill overwhelmingly passed the Legislature in 2023, 40-0 in the Senate and 103-6 in the House.
“The act aims to significantly bolster the availability of affordable housing options for Florida’s dedicated workforce, allowing them to reside in the very communities they tirelessly serve,” according to the Florida Housing Coalition.
Fort Pierce commissioners decried the bill, saying it has tied their hands from stopping the five high-rises proposed for South Hutchinson Island.
“It’s a developer’s dream,” said Mayor Linda Hudson.
However, the sky’s not the limit for development — but it can get close.
Under the law, developers can build up to the maximum height allowed on any property within a mile of the project. The tallest building within the one-mile radius of Causeway Cove tops out at 192 feet. That’s more than four times taller than the zoning district’s normal height limit.
What is the Florida Housing Finance Corporation?
The Live Local Act also provides $406 million for the construction of affordable and multifamily housing.
Those funds are distributed by a private-public partnership with the Florida Housing Finance Corporation, which oversees the state’s two largest affordable housing programs:
The Finance Corporation is tasked with helping developers overcome the hurdles of building affordable housing.
Here’s some of what the Finance Corporation can do under the bill:
“Every $1 million in tax credit contribution funds approximately 20 additional units of affordable housing for families and elders throughout the state,” according to the Finance Corporation.
Jack Lemnus is a TCPalm enterprise reporter. Contact him at jack.lemnus@tcpalm.com, 772-409-1345, or follow him on X @JackLemnus.
This article originally appeared on Treasure Coast Newspapers: Here’s how much affordable housing Fort Pierce high rise needs to circumvent local laws
Reporting by Jack Lemnus, Treasure Coast Newspapers / Treasure Coast Newspapers
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