Habitat starts build on new home in Minnetonka as battle remains for more development

Minnetonka affordable housing fight heats up

MINNETONKA, Minn. -- Habitat for Humanity has started construction on its first home project in Minnetonka in 22 years, and with help from a local church, is hoping this is just the start of a burgeoning project that could lead to a dozen more.

"It's totally amazing," Chad Dipman, Habitat's Land Development Director, explained to WCCO. "It's the families who will really have won the opportunity to afford an ownership unit in the community of Minnetonka, which is exceedingly rare."

Just how rare? According to the city officials, only 2.4 percent of units are available for rent or sale right now. The average monthly rent, meanwhile, is at $1,549, which is more than $100 more than the Twin Cities ($1,397). Home sales, moreover, present even more of a disparity: the median home sale last year in Minnetonka was $479,000, while across the Twin Cities it was $339,000.

"There are many people working in Minnetonka right now, or potentially going to school, who can't afford to live here," Dipman said. "They're commuting in and out and incurring that expense and hassle. We're always in the pursuit of land, and if we can do that in partnership with patient and willing landowners, so much the better."

For this project the willing landowner is Mills Church, a historic congregation dating back to the 1800s that owns more than 5 acres of prime real estate off Minnetonka Boulevard. According to a Concept Plan submitted to the city, a parking lot and open space could become two six-unit townhome buildings, while two single-family homes could be constructed on vacant lots on Elm Lane.

The concept plans, however, are still in development and no official rezoning request has been submitted to the city.

"I didn't come to feel the way I think about this overnight," Pastor David Landt told WCCO earlier this summer. "Seeing in our own congregation how financial stress about housing and rent really cripples families - it is a really serious problem. Can I continue to call this a community church if so many people can't afford to live here? Not so much."

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Rezoning the land will need approval from the city council, which has also engaged prospective residents with the Homes Within Reach program, as well as offered down payment assistance.

Take a trip around the neighborhood, however, signs against rezoning line the streets like sidewalks. Many of those concerned homeowners told WCCO they insist their opposition is simply related to how many affordable housing homes are being proposed - not that the church is offering land for this cause.

"It has nothing to do with the people who might be potentially coming to this site. They'd be welcome with open arms just like everyone else who buys a house in Minnetonka," Mike Mahady said. "I think the practicality of it is there is not enough land, enough area, and it's imposing on the people who live here who counted on this all being all R-1 (zoned for one residential home per lot)."

Nearly 1,200 people have also signed a petition against rezoning.

"If they would hold to it R-1 standards or even perhaps R-2, that would be fine," Mahady said, and warned that changing the makeup of the neighborhood would also cheat the new residents from what Minnetonka is all about. "We wanted a treed area, lower density, good schools. Those are the reasons we chose to be in Minnetonka."

Pastor Landt said Mills Church is hoping to submit a formal application for rezoning later this year, at which time the Planning Commission and City Council can make an official recommendation and vote. 

For families who are interested in applying for homeownership programs through Habitat for Humanity, visit here.

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