Analysis of Housing Stock

Current Housing Considerations

The housing stock of the City of Hopkins is described by the following data from the 1990 U.S. Census of Housing and by the subsequent text.

Housing Stock

Overall, the housing stock in Hopkins is in good condition and there is no section of the community that has a noticeable concentration of physically deteriorated units. Although the older units located between Downtown and Highway 7 need more ongoing maintenance due to age, there is apparent pride in ownership of these single-family structures, and they are generally well maintained.

A great number of rental apartments and townhouses have been built since the 1950's in Hopkins, and proper maintenance of these units is a concern of the City. The City does have standards for the maintenance of rental housing that go beyond the Building Code. The provisions of the code require periodic inspections of rental units and repair of identified deficiencies.

Tenure

One of the unusual facts about the Hopkins housing stock is the high percentage of renter-occupied units compared to owner-occupied units. According to data from the Metropolitan Council from 1996, 65% of the housing in Hopkins was renter-occupied and 35% of the units were owner-occupied.

Housing Affordability

The median home value in Hopkins in 1990 was slightly above the metropolitan area mean. The median rent was also slightly above the median rent cost. Purchase by first-time buyers of housing in Hopkins frequently occurs because of the numerous small, older homes in Central Hopkins and modest ranch-style homes in the East End Neighborhood. Parts of the Interlachen Neighborhood, Park Valley and the Peaceful Valley Neighborhoods are also affordable. Interlachen, Park Valley, and Peaceful Valley also offer opportunities for move-up buyers. Much more expensive homes are available in the Bellgrove and Knollwood Neighborhoods. The relatively large number of rental apartments and townhouses also offer choices for households who do not wish to or cannot afford to purchase homes.

The City of Hopkins owns and maintains 86 dwelling units rented to low-income households. They are in two buildings near Downtown (76 units in one building, 10 in the other).

A small percentage of low income individuals in Hopkins receive rent assistance through the Federal Section 8 Rent Assistance Program administered by the Metropolitan Housing and Redevelopment Authority. This program, however, does not meet the need for housing affordability in Hopkins or elsewhere as levels of funding have been reduced annually throughout the past two decades.

Market Response to the Hopkins' Housing Stock

Despite the aging of much of Hopkins' housing stock and the shortage in older units of some contemporary conveniences, houses generally sell relatively quickly in Hopkins and rental vacancy rates are very low. In 1999, local apartment unit managers reported vacancy rates of approximately .5%. However, there is a growing concern that the size and design of many Post-War houses may combine with the physical deterioration to produce a downward spiral of conditions, values and market response.

Presently, Hopkins' convenient location and the numerous job opportunities and social/cultural amenities of the western suburbs seem to be keeping the housing market strong. The City must take efforts to protect its housing stock from influences such as excessive traffic or incompatible land uses which could threaten neighborhoods.

Residential Rehabilitation Loan and Grant Program

In response to the need to promote private reinvestment in the aging housing stock, the City has been administering a program of grants and loans to owner-occupants with lower incomes. For the past 25 years, this program has assisted in the improvement of over 200 housing units in all parts of the City. The program is funded by the City's share of County administered Community Development Block Grant funds.

Development Standards

The Hopkins Zoning Ordinance includes five districts that allow detached housing on parcels ranging in minimum size from 6,000 to 40,000 square feet. Five other districts allow attached housing including duplexes, four-unit buildings, townhouses, and apartments at densities ranging from 3,500 to 1,000 square feet of lot area per unit (12 to 43 dwelling units per net acre). The R-4 and R-5 districts allow for very urban uses with minimal amounts of open area.

Housing Construction

Since 1980, 1,354 new housing units have been built in Hopkins as the City has become nearly fully developed in its residential areas, and only a modest number of new units have been created through land redevelopment. The focus of the community is now on housing maintenance. In a few areas, new construction on infill lots will continue to occur.

Expected Housing Market Trends

In 1992, the City of Hopkins completed a detailed housing analysis. Many of the projections found in that report are still valid today. Factors still likely to effect the housing market in Hopkins include:

Rental Market

• Increases in the older population group (over 75 years old) as well as single-parent families with lower incomes will create a demand for lower cost rental units and a greater demand for services.

First-time Home Buyers

• The expected regional decrease in first-time homebuyers may impact housing prices based on supply and demand.

Move-up Market

• Continued increases in the middle age group may result in continued demand for move-up housing. However, the projected regional decrease in the number of first-time homebuyers may make it more difficult for those trying to sell their homes to move up.
• If it becomes difficult to sell existing housing, middle age owners may find it necessary to remodel their existing homes rather than acquire new housing.

Young Seniors Market

• This group tends to use a variety of housing options such as existing single-family homes, condominiums, and rental housing.

Older Seniors Market

• The older seniors, over 75 years old, will grow significantly in the next 10 to 20 years. This group, whether remaining in single-family homes or moving into other forms of housing will demand additional services such as personal care, home maintenance and transportation.
• A significant percentage of the older seniors population has low incomes.

Housing Issues

The following housing issues were identified from observations and from discussions with City staff and community representatives.

• What will need to be done to maintain overall housing quality Hopkins?
• What should be the role of the City in helping to maintain the quality of housing in Hopkins?
• Should additional renter-occupied housing be discouraged in Hopkins?
• Should the City reduce the allowable densities of multiple-family residential development?
• How can the City preserve its single-family housing stock?

Housing Plan

The objectives of the Hopkins Housing Plan are as follows:

1. Preserve the quality of the community's residential neighborhoods.
2. Participate in the development of affordable housing for the elderly so that people who have lived in the community for decades can remain and also to make single-family houses available for young families.
3. Participate in programs to provide the City's fair share of housing for the economically disadvantaged.
4. Preserve the supply of existing single-family homes.

Neighborhood Preservation

• The City regards the preservation and protection of its existing residential neighborhoods as its most important task. Therefore, the City will work to protect the integrity and long-term viability of its neighborhoods and strive to reduce the potential negative impacts of nearby commercial or industrial land development through zoning, site plan reviews, and code enforcement.
• The City will strictly enforce its municipal regulations pertaining to housing and yard maintenance so as to protect residential property.
• The City will support housing maintenance through continued administration of applicable programs.
• The City will continue to enforce its maintenance code for multiple-family housing.
• To protect residential areas adjacent to downtown Hopkins, the Downtown will be kept in a compact arrangement.
• The infilling of vacant parcels in and near residential neighborhoods and the rehabilitation of existing developed land will be in accordance with uses specified in the Comprehensive Plan.
• Land uses that are inconsistent with the Comprehensive Land Use Plan and incompatible with housing will be improved or removed where possible and the land reused in conformance with the Comprehensive Plan.
• The City will enforce high standards for all multiple-family residential development. Included will be the aspects of building massing, parking location, access, traffic impact, landscaping, exterior architectural design, fencing, trash handing, and parking ratios.
• Both stability and growth of neighborhoods are keys to the success of any economic development efforts of a city. Neighborhoods provide employees for existing and potential businesses, a market for the retail sector, and create an image of the community, which is a reflection upon the local business. Neighborhoods are also a reflection upon a community's social and economic standards of living and overall quality of life, which in turn impacts economic growth.

Housing Redevelopment

There is a limited number of locations in the community where it may be appropriate to allow and encourage housing redevelopment. In these locations, the City has indicated its land use intentions through the Land Use Plan and the Zoning Ordinance and Map. The City will allow the private market to respond to those local controls and will, on a case-by-case basis, consider financial participation in housing redevelopment projects when that is the only means of achieving needed and demonstrable public benefits consistent with this Comprehensive Plan.

Housing for the Elderly

Hopkins will monitor the number of elderly households in the City and will gauge the demand for elderly rental and elderly owner-occupied housing units by monthly cost through surveys conducted by the Hopkins Housing and Redevelopment Authority. When it is determined that there is a significant housing market in Hopkins and the immediate surrounding community of elderly households that is not likely to be properly served by the private sector, the Hopkins HRA will consider establishing a process to meet that demand. The HRA will check the availability of outside and local funds with which to assist a private developer in leveraging private financing for such a project. Prospective sites for new housing for the elderly should have transit service nearby and be within walking distance of convenience shopping.

Housing Assistance

• The City will participate in the rent assistance program of Hennepin County and the Twin Cities Metropolitan Housing Authority and advertise those programs locally.
• The City will consider using such tools as revenue bonds, tax increment financing, and Community Development Block Grants (along with other public funding sources as may be available) to provide its "fair share" of rental housing for low-income households, especially the elderly. The City will enter into such partnerships to improve the quality of such housing and/or ensure that rents remain perpetually within low-income target limits. The City will not jeopardize the quality of existing housing and neighborhoods through the siting of subsidized housing.

Metropolitan Livable Communities Act (LCA)

The Metropolitan Livable Communities Act (LCA) was adopted by the State Legislature to address housing affordability issues facing the Twin Cities Metropolitan Area. Hopkins chose to participate in the LCA, which makes the City eligible for financial assistance programs not open to communities who choose not to participate.

As a part of the LCA program, the Metropolitan Council established a set of housing benchmarks and noted the current index of the community. The following applies to the City of Hopkins:

As Table 3 shows, Hopkins has already met the goals of the Livable Communities Act. Hopkins' housing stock is more diverse, more affordable and developed at a higher density than other communities of similar location and stage of development. As a fully developed city, Hopkins realizes that the mix of its housing stock cannot be altered significantly. Therefore, the City is committed to preserving the existing housing stock and enhancing it when appropriate with new or redeveloped properties which meet the needs of Hopkins' residents.

Housing Principles

As a part of the LCA program, Hopkins adopted the following principles:

• A balanced housing supply, with housing available to all income levels.
• The accommodation of all racial and ethnic groups in the purchase, sale, rental and location of housing within the community.
• A variety of housing types for people in all stages of the housing life-cycle.
• A community of well-maintained housing and neighborhoods, including ownership and rental housing.
• Housing development that respects the natural environment of the community while striving to accommodate the need for a variety of housing types and costs.
• The availability of a full range of services and facilities for its residents, and the improvement of access to and linkage between housing and employment.

Housing Goals

In participating in the LCA program, the City of Hopkins has agreed to the goals identified in Table 4. Additionally, the City of Hopkins has adopted action steps related to the overall goal of assuring strong and well maintained neighborhoods as part of the Strategic Plan for Economic Development and the 1992 Housing Analysis. The following are activities identified in those documents that are pertinent today.

• Work within the provisions of the Housing Special Service District Legislation to continue improving properties in the Westbrooke area.
• Continue and/or expand existing housing programs.
• Examine and improve housing maintenance codes and actively enforce these codes.
• Utilize the resources of the City's Community Relations Coordinator to improve the perception of the City's multi-family housing.
• Facilitate development that will help meet "special housing needs" such as handicapped units, three-bedroom units, housing for empty-nesters and high market value housing.
• Maintain and improve public infrastructure in neighborhoods.
• Monitor the effectiveness of the Truth in Housing Ordinance to ensure that it is helping to maintain and upgrade residential housing stock.
• Encourage the use of existing rental rehabilitation and single-family housing loan programs available through the Minnesota Housing Finance Agency (MHFA).
• Continue to investigate possible sources of funds for the local rental rehabilitation loan program.
• Continue to offer first-time home buyer mortgage funds through MHFA.
• Continue to offer the Residential Rehabilitation Loan/Grant Program and promote the program extensively.
• Continue to locally administer the Section 8 Rental Assistance Program.
• Identify those properties that should be demolished and determine the proper approach to ensuring their removal.
• Aggressively enforce the Nuisance Abatement Ordinance/Housing Code in regard to dilapidated housing units.

In order to meet these goals over the next decade, the City of Hopkins will utilize a variety of assistance programs. Programs are detailed in the Implementation Section of the Comprehensive Plan.

Comprehensive Plan

Downtown Design Guidelines

East End Study

Fences

Light Rail

Signs

Zoning Applications

Zoning Ordinances

Zoning Map

Copyright City of Hopkins 2007-2008