BUILDING GREAT PLACES INVESTING IN PEOPLE PROVIDING HOUSING FOR ALL 905 North Capitol Avenue
Multifamily Housing Incentive
Tax and Fee Waiver
Erik L. Soliván
Housing
Director
Banu San
Deputy Director
City Council Meeting
March 18, 2025
Item 8.2
City Council Approved MHIP on December 10, 2024
• 50% reduction in the Building and Structure Construction Tax and the Commercial-Residential-Mobile Home-Park Building Tax. • Reduction of IHO in-lieu fee to $0 for approved multifamily housing developments that include at least 5% of units onsite at up to 100% of the Area Median Income, for developments listed in the MHIP memorandum, which was previously granted only for downtown high-rise developments.
2 Multifamily Housing Incentive Program (MHIP)
3 905 North Capitol Avenue
Developed by The Hanover Company
7-Story located at 905 North Capitol Avenue
328 market-rate rental units
17 restricted affordable units at 100% of the
Area Median Income
3,000 square feet of office space
Inclusionary Housing Ordinance In-Lieu Fee $4,043,883
50% Reduction of Commercial-Residential-Mobile Home-
Park and Building and Structure Construction Taxes on the Residential Portion of the Building
$861,139
Total Tax and Fee Waiver $4,905,022
4 Proposed Tax and Fee Waiver
BUILDING GREAT PLACES INVESTING IN PEOPLE PROVIDING HOUSING FOR ALL 905 North Capitol Avenue
Multifamily Housing Incentive
Tax and Fee Waiver
Erik L. Soliván
Housing
Director
Banu San
Deputy Director
City Council Meeting
March 18, 2025
Item 8.2