The vote on a contentious housing project on two lots — one on Durant Avenue and the other on Channing Way — was postponed by the Zoning Adjustments Board last Thursday.
The proposed development initially drew opposition from local residents due to the building’s height. Developer William Schrader Jr. of the Austin Group LLC, however, has since agreed to modify his plan due to changes in a city fee policy, shortening the building size from eight stories to six. He will present the new plan to the Zoning Board next week, according to Councilmember Jesse Arreguin.
This decision to modify the original plan appears to be a direct result of the City Council’s recent 6-1 vote to lower the amount of the previous Affordable Housing Mitigation Fee, originally approved last October. Developers must pay the fee for the Housing Trust Fund unless they offer a certain number of affordable housing units.
The council’s decision lowers the per unit price that developers pay from $28,000 to $20,000 in hopes of encouraging further development in Berkeley and increasing the city’s fund for low-income housing, according to Arreguin.
Before the council approved the fee decrease, most developers chose not to pay the fee and instead chose to add more units for low-income housing so they could evade it.
“Since the decision to set the price at $28,000, no developer has decided to pay the fee,” said Arreguin. “Some people don’t believe we should’ve reduced the fees … But we were not getting any money. We have no revenue to build affordable housing, and the Housing Trust Fund desperately needs revenue.”
Igor Tregub, a commissioner on the Housing Advisory Commission, previously expressed concern about lowering the fees but appeared content with the recent development.
“I’m happy to see money coming into the fund,” Tregub said. “I’m just as concerned about the Housing Trust Fund as the City Council. The question will remain if future developers follow suit.”
Stephen Stine, however, whose mother stays in the Stuart Pratt Manor community for seniors located next door to the proposed development, is not as optimistic about the revised and shorter building plan.
“This is not a victory for anybody but the developer,” Stine said. “The six-story building will still eliminate many residents’ view. We’ve been fighting the six-story plan from day one.”
Though acknowledging room for improvement, Arreguin saw this as a positive step forward for the city of Berkeley and the Housing Trust Fund.
“I’m encouraged by the direction of the project is going, and I believe lowering the fee led to that,” Arreguin said. “I will continue to try to compromise with developers and residents to ensure that the character of the area is preserved.”
Schrader is scheduled to present the modified plan to the Zoning Adjustments Board on March 14, according to Arreguin.
Contact Matt Trejo at [email protected].