North Charleston’s Affordable Housing Initiative Faces Financial and Policy Challenges

North Charleston’s Affordable Housing Promise Faces Hurdles

NORTH CHARLESTON, S.C. – It’s been more than two years since the city of North Charleston made the commendable decision to donate land to a nonprofit with hopes of building affordable housing units. However, those lands remain empty, and funding challenges continue to pose significant barriers to bringing this dream to fruition.

The four lots in question are located on Luella Avenue and Varner Lane in the Liberty Hill neighborhood and are now owned by The Charity Foundation, a nonprofit closely associated with the local Missionary Baptist Church. At the helm is the determined Rev. Nelson B. Rivers III. “The city was not willing to donate this when we started. It took a while, but we were persistent. I mean, if nothing else, I am that,” Rivers shared with optimism.

Aiming for Affordable Housing Solutions

The Charity Foundation has focused its efforts on four key strategies: Relevance (STEM education), Readiness, Real Estate, and Resources. Among these strategies, the foundation aims to “develop safe, desirable and affordable housing to accommodate the growing workforce” in the area. This mission resonates deeply with North Charleston residents like Tremella Smalls, who shared her frustration about the housing situation. “I’m going through anxiety sometimes just thinking about how are you going to pay this? How’s this going to get paid?” she said, alluding to her challenge of spending an entire paycheck on rent.

Smalls’ experience highlights the struggles many locals face, especially with the booming population and increasing demand for housing. “Three years ago, my downtown apartment rent jumped nearly $600,” she recalled. For her and many others, the prospect of more affordable housing is incredibly important. “That would mean everything to me at this point. You want to feel comfortable in your own home, and at this point, sometimes I don’t,” Smalls emphasized.

Progress Made, But Challenges Persist

The Charity Foundation has already successfully completed two homes on city-donated properties: one on Mint Street that sold for less than its construction cost and another on Lecque Street, rented to a person with “unique needs” for several hundred dollars below market rate. “We’ve got this far, and we plan to go the rest of the way, and it won’t take as long to go where we’re going as it took us to get where we are,” Rivers articulated, filled with a sense of determination.

In September 2021, the finance committee of North Charleston unanimously approved the donation of the lots on Luella and Varner after witnessing the success on Mint Street. The city’s investment in these lands, totaling around $20,000 in the late 1990s, now represents a golden opportunity for affordable housing. In October 2021, the city council voted overwhelmingly in favor of the land transfer, allowing The Charity Foundation to acquire the plots for a mere $10 for two and $0 for the others.

Financing and Policy Hurdles

Despite these initiatives, progress has hit some snags. According to the nonprofit’s first proposal, they estimated the construction timeline would not exceed two years from when the property was deeded. However, challenges arose when they were unable to secure bank financing due to an initial reverter clause present in the deed. Rivers noted, “You’re going to make us overcome a bigger hurdle.”

Plans to ensure stricter policies regarding land donation are currently under discussion, led by city officials, including District 9 Councilman Kenny Skipper. Skipper has expressed cautious optimism: “I would say that the city is moving in the right direction,” he stated. The city’s executive office is now working towards a policy to guide future property transfers, but no concrete framework has been established yet.

The Future of Affordable Housing in North Charleston

While some delays are inevitable, Rivers remains hopeful about the future. He is in discussions with various financial institutions, looking to raise an estimated $1.2 million needed to build six total units. “I would hope by the end of ’24 we will know when we can start something in ’25, but it all depends on these many conversations bearing fruit,” Rivers shared cautiously.

As the local government and The Charity Foundation enhance their efforts to turn the empty lots into thriving, affordable neighborhoods, residents like Tremella Smalls are holding onto that hope. “It would change my life,” she said about the potential new homes. With the city facing increasing scrutiny over its charitable partnerships, it’s essential for all stakeholders to work together efficiently to ensure that affordable, attainable housing becomes a reality in North Charleston.