|
Presentation Delivered by Ann Golob, Director of the Long Island Index
Smart Growth Agenda Implementation Workshop -- April 11, 2007
For the associated PowerPoint, click here
Slide 2 - Long Island has a number of very strong, positive aspects to its story –
The vast majority of residents, 82%, consider Long Island an excellent or good place to live.
87% identify strongly with Long Island.
Slide 3 - And 78% feel that there is a strong sense of community on the Island.
These are strengths that other regions struggle to emulate.
Slide 4 - Long Islanders identify strongly with their region and one reason is the presence of robust, vibrant downtown communities. To measure the health of these downtowns, we looked at vacancy rates for various business districts across the Island. While rates varied widely, our average of roughly 7% is comparable to the national rate. Next year we hope to expand our research efforts on our downtowns because we believe they are one of the vital keys to Long Island’s growth for the next generation.
Slide 5 - But rises in property taxes and housing costs are taking a toll.
More and more people are struggling to get by. In 2006, 21% of the people we surveyed said they had a very difficult time paying their rent or mortgage (that’s the blue section of the bar chart). Those results are triple what it was just four years ago.
If you look at the blue and green sections together – in 2006, almost 60% of Long Islanders find it either “somewhat” or “very” difficult to pay their housing costs. n With this background, it is not surprising when we asked Long Islanders about taxes 84% said they were an extremely or very serious problem.
Slide 6 - The cost of a home has soared out of the reach of moderate-income families. We compared the percent of homes sold in different price ranges versus the percent of the population that can afford these homes. Typically a home is described as affordable if the price is no more than 2.5 times the buyer’s annual household income.
On the left you see the results for households earning over $200,000. In the year 2000, these households (the orange line) made up 6% of the population, and suitable houses for them (the green bar) comprised 10% of the housing stock. In 2006, it was up to over 40%.
At the other end of the chart we have households earning less than $100,000. In 2000, these households represented 70% of the population, and 60% of the houses were within their price range. By 2006 only 1% was in their range.
Slide 7 - This map shows the problem quite graphically. In 2000, we see the percentage of houses affordable to the 70% of the population that earns less than $100,000. The more green you see – the more homes available. In 2000, there was a substantial number of affordable properties . . .
Slide 8 - Five years later, there were virtually none.
This means a young couple starting out or a teacher in one of our schools or a policeman or a construction worker or a recently graduated professional with high student loans to repay – none of them could purchase a home here.
Slide 9 - The housing problem is compounded by a shortage of rentals, which comprise only 17% of Long Island’s housing market—far less than in other nearby suburbs. For example, we have only half the number of rental properties as Westchester.
Further exacerbating the issue, we have the second highest rents in the state and the 14th highest in the United States. So, it’s tough to find housing options on Long Island if you’re don’t have a pretty high income.
Slide 10 - What happens in these situations? People leave. And on Long Island the Index has found for several years now that high housing costs and taxes are driving people out.
54% of Long Islanders consider it “somewhat” or “very” likely that they will move away within the next five years. This is up from 45% in 2004 and about comparable to last year’s findings.
Slide 11 - Also consistent with last year, people aged 18-34 are most likely to leave, 69% in this year’s survey. The loss of these vital members of our work force represents a serious threat to our region’s economy.
Slide 12 - But leaving is not an easy decision – over half said it would be difficult to come to that decision.
Over 40% would find it difficult to feel at home elsewhere.
And, among those who are considering leaving, people are not rejecting the suburban lifestyle. 55% said they are looking for another suburban community to live in.
Slide 13 - Other regions that have similar affordability issues to ours – because we are certainly not alone – have looked to create greater density. For example in Silicon Valley, in order to maintain their pre-eminence as a high-tech region, an alliance has promoted lower cost, higher-density housing and the creation of walk-able, mixed-use communities. In seven years the average density of new development more than tripled.
In 2005, nearly 40% of all new development was located within one-quarter mile of transit facilities.
This is very different than the majority of the housing being built on Long Island. Yet Long Islanders are NOT opposed to new housing patterns. In 2004 our survey showed solid support for government action to increase affordable housing and make zoning changes to allow rentals in downtown areas and near transportation facilities.
Slide 15 - Long Islanders want to stay here. We would like our children to be able to find homes and build their futures here. But the financial pressure is considerable.
We are open to new ideas and we are looking for opportunities to turn these ideas into reality.
Thank you.
|
|
Vision
Long Island |