DC ‘Vacant to Vibrant’ Properties Remain Vacant

Roughly two dozen properties auctioned off under Washington, D.C.’s Vacant to Vibrant program are still vacant, report Justin Wm. Moyer and Danny Nguyen in The Washington Post. “The program aimed to ‘produce and preserve affordable housing and create homeownership opportunities,’ according to promotional materials.”

According to the article, the city sold 56 sites in 2018 and 2019 in an effort to support the development of workforce housing. “Half of the 56 properties are inhabited and no longer owned by the city. The rest remain undeveloped, uninhabited or badly in need of repair. More than half of those vacant properties have returned to District ownership. In some cases, those who won auctions never took possession.”

“Joseph Schilling, who studies housing policy at the Urban Institute, said the program’s checks and balances are ‘consistent with how other cities have tried to tackle vacant properties,’ but the 1½-year deadline given to most of the developers was probably too short.” Developers are not required to provide proof of financing for a project beyond the purchase price, and the city has not penalized developers who have not fulfilled their agreements.

In contrast, a similar program in Baltimore has yielded more successful results. According to former Baltimore Housing Commissioner Michael Braverman, this was “because it identified developers who had a history of building affordable housing and partnered them with affordable housing nonprofits and community members. The program also helped developers secure financing and relaxed zoning requirements.” Baltimore also strictly enforced a system of fines for developers who failed to meet their deadlines.