2013 Fall Newsletter - Kulshan Community Land Trust

BUYING A HOME
IN BELLINGHAM
creating opportunities, stability, and
community for local middle class families
LAFAYETTE HOMES GRACE BIRCHWOOD
infill lots for ten working families in the
Kulshan Community Land Trust, in
Lafayette-Indiana district since 2011, joining
collaboration with its longtime business partner
twelve other KulshanCLT homeowners
The Cascade Joinery, begins construction this
who purchased homes in the Birchwood
winter on three new super energy efficient,
neighborhood. Like the Madrona and Indiana
permanently affordable homes in the Birchwood Street homes across the street – including
neighborhood. The three 1,200 square foot,
two homes built by Habitat for Humanity
three-bedroom, two-bath homes will be built to
of Whatcom County, the Lafayette home
Evergreen Sustainable Development Standards
site is ideally located adjacent to trails and
and will be affordable to a family of four earning parks, close to jobs, schools, transportation
up to $55,800, with a purchase price of $180,000 options and downtown Bellingham.
or less. Community investment gap financing
covers the balance of construction and land costs. “KulshanCLT impacts our community by
expanding homeownership opportunities to
When completed in 2014 KulshanCLT will
continued on inside cover
have created eight new compact homes on
inside this issue:
Kulshan Community: Fall 2013
Learning to
share... all
over again
Homeowner
stories
Heroes
among us
Housing
Reserve Fund
KulshanCLT’s
Lafayette Homes
will include three
new compact homes.
Illustration by Rick
Mullen/Presentation
Art Studio.
creating opportunities...
continued from cover
families like ours,” said Matt Kauffman, President of
the Board of Trustees and Human Resources Assistant
Manager at The Community Food Co-op, who
purchased the new Madrona Street home with his
wife, Jill, for their family of four last year. “We have
gotten to know so many neighbors here in ‘Kulshan
Corner’, as we affectionately refer to this end of the
street that folks use to connect to the trail at the
top of the bluff. KulshanCLT is proving that super
energy efficient, affordable homes using the CLT
model are a welcome addition and a good neighbor.”
Growing energy efficient, affordable, infill homes for
low-income homebuyers is a balancing act, according
to Lafayette Street homes architect, Greg Robinson.
Greg was part of The Cascade Joinery design-build
team in 2010 that provided generous pro-bono work
designing and building the Madrona Street home.
The proposed Lafayette homes build on many of
the innovative green building standards that earned
the Madrona home LEED for Homes Platinum
and near net zero energy operating efficiency.
“We learned that applied energy modeling and
relatively small investments in thoughtful design and
“What excites me most about the Lafayette
homes is the opportunity they provide to refine
the energy efficient, affordable home model.”
—Jeff Aslan, prospective homebuyer and Sustainable
Connections Business Energy Project Advisor
good siting and appropriate sizing and placement
of windows make a big difference in overall energy
performance. Reducing the amount of lumber for
wall framing and attention to proper caulking and
sealing of wall and roof penetrations are simple,
low tech solutions that yield big dividends with
relatively low cost.” To maximize energy performance,
KulshanCLT will work to secure private foundation
funding to install a solar array on each home.
Prospective homebuyers have shared their enthusiasm
for the possibility of purchasing one of these
cutting-edge homes. “What excites me most about
the Lafayette homes is the opportunity they provide
to refine the energy efficient, affordable home model,
homes that showcase innovative new technologies
that promote green building and affordability as
hand-in-hand,” according to Jeff Aslan, Sustainable
Connections Business Energy Project Advisor and
prospective homebuyer applicant. “If I am one of
the successful buyers, owning a Lafayette home
would bring me closer to reaching my goal of living
a net zero carbon lifestyle. I rent in the Birchwood
neighborhood, and really like the community feel
and the accessibility of getting everywhere by bike.”
We at KulshanCLT are grateful to be building more
new homes again with our longtime partners The
Cascade Joinery and Greg Robinson Architect. “The
Cascade Joinery shares KulshanCLT’s vision – and the
community’s vision, of growing a community everyone
can afford,” said John Miller, Cascade Joinery CEO.
“Together we are strengthening community with energy
efficient, affordable homes for working families today,
homes that provide a lasting legacy of energy efficiency
and affordability for generations of working families.”
BUILDING COMMUNITY
Learning to share...
all over again
Anyone who has been a parent will
tell you: sharing isn’t something
that comes naturally to everyone.
Sometimes it has to be learned.
Our society needs to learn how
to share. Again. Decades ago, we
learned how investing in fair wages
and stable employment would
pay off in the form of a thriving
middle class and a prosperous
economy. Those investments
aren’t taking place today, and the
middle class is languishing. The
dream of the middle class — home
ownership — is all but out of
reach. There’s no way a family just
starting out could afford a home
in Bellingham in today’s market.
Or is there? For decades, in both
good markets and bad, Kulshan
CLT has helped nearly a hundred
and fifty families purchase homes.
There are always challenges,
but today’s circumstances are
different. It’s never been harder for
middle class families to purchase
homes in Bellingham. Nor has
it ever been more important.
What does home ownership mean
to you? I equate it with having a
stable family life, being self-reliant,
and being part of a community.
A healthy community is a rich
tangle of overlapping interests,
skills, resources and backgrounds.
Growing up in the 1970s my
neighbors reflected the diversity
of my town and we shared in the
prosperity of our interdependence.
An investment in KulshanCLT is an
investment in affordable homeownership
that helps grows a middle class
community to become ever more diverse,
vibrant, and rewarding to all of
the people who live there.
—Dean Fearing, Executive Director
Today, we have to work harder to
thrive ‘in the middle.’ Arguably,
many of our community’s most
urgent issues pit outside interests
seeking short-term economic gains
by exploiting a community working
to find its footing and grow the
‘middle’ as the economy rebounds.
How do we find our way with
enduring community investments
that ‘rise the tide to float all ships”?
KulshanCLT is such an investment,
a ‘virtuous cycle’ that sustains a
feedback loop of ever-increasing
benefits. With 110 homes in trust
– and growing, we have generated
over $25 million in homebuying
so far, including $1 million in
homebuyer downpayments,
$15 million in mortgages with
local lenders and $9 million in
community investment embedded in
properties to keep homes affordable
for generations of homebuyers.
You are a community investor
when you put your financial
gifts and resources to work at
KulshanCLT. As you will read
in this newsletter, the stake you
share in our properties increases in
value while homes become more
affordable when resold to families
with lower incomes. You empower
others to hone their leadership
skills, progress in their careers, and
serve their community. You put our
recovering local construction sector
to work building new KulshanCLT
homes and rehabbing others to
bring into the trust. By sharing
you create enduring value by rising
the tide and sustaining the cycle.
We are all community builders,
creating through our choices
the neighborhoods our children
and their children will enjoy
for years to come. As they will
learn to share, I’m hoping we
will, too. We’re worth it.
Our mission
Kulshan Community Land Trust
strengthens community by holding
land in trust for permanently
affordable homeownership and other
community needs, and by offering
financial and educational services
to people of limited means.
Our values
urban vitality
Contributing to urban vitality
by adding affordable homes to
neighborhoods served with jobs
and transportation options.
graceful neighborhoods
Partnering with others to create
affordable homeownership that blends
gracefully into neighborhoods.
growing community
Preserving affordable homeownership
for people working and living
in our community, and for our
children and grandchildren.
building momentum
Putting good ideas into action.
More homes every year. Making
a difference together.
Board of Trustees
Matt Kauffman, President*
Duane Jager, Treasurer
Alexandra Wiley, Secretary*
Christina Dillavou, Trustee
Dan Dunne, Trustee
Jen Green, Trustee*
Daniel Hammill, Trustee*
Shenandoah Myrick, Trustee
David Webster ,Trustee
* KulshanCLT homeowner
Staff
Erin Bren, Project Development Intern
Jill Clark, Development Director
Dean Fearing, Executive Director
Christina Olson, Homeownership
Coordinator
Nikki Quinn, Outreach &
Homeownership Specialist
KulshanCLT is a 501c3 nonprofit
organization registered with the
State of Washington, EIN # 911995485. All gifts are tax-deductible
to the extent provided by law.
Kulshan Community
News, Vol. 13, No. 1
HOMEOWNER STORIES
all we hoped for and more
LILLY AND JONATHAN DUKES It was our good-luck daily ritual: We would walk
“A monthly housing payment
through Matthei Place on our evening stroll hoping, someday, one of these beautiful
affordable on our teacher and
homes would be ours. Renting on the edge of Fairhaven and committed to our
tight-knit, walkable community, we would imagine the future joys of owning our
social worker salaries is like
own home in this neighborhood that already felt like home. We reached out to
icing on the cake.“
KulshanCLT, and, what seemed like a blink of an eye, our dream became a reality
in July when we purchased our Matthei Place home! Owning our home is all we
hoped for and more. A monthly housing payment affordable on our teacher and
social worker salaries is like icing on the cake. Nikki Quinn has been our housebuying angel, and was by our side from application to closing. We are so honored
to join the KulshanCLT family, and feel privileged to contribute to our community, and to steward the land
to ensure sustainable, affordable housing for generations. We are always singing the praises of KulshanCLT!
YORK NEIGHBORS
Hunter, Jack , Tonia,
Neva and Quinn
“Now I walk to
work at the local
business I own,
my kids and I
enjoy dinner
together, and
we even have
time to tend
our garden!”
growing our garden
TONIA FRANCIS With four kids who range between the ages of 3 and 15 years,
my commute from our home in the county to work, school and activities was not
only exhausting, but costly. I was spending $700 a month on gas, and because of our
commute we were never able to share evening meals together as a family. When I
looked into buying an affordable home in Bellingham, it became painfully apparent
the increased cost of living in town was beyond my means as a self-employed person.
So was qualifying for a home loan. Then I heard about KulshanCLT and applied.
Soon my family fell in love with a KulshanCLT resale close to downtown, and just
blocks from work, friends and school. Nikki and Christina were extremely helpful
throughout the (sometimes) emotional process, and my loan officer, Carla Lee with
Banner Bank, was amazing. Now I walk to work at the local business I own, my
kids and I enjoy dinner together, and we even have time to tend our garden! We are
truly blessed and thankful for the quality of life KulshanCLT has made possible.
4 CORNWALL PARK NEIGHBOR
Jenny Greenleaf
part of the
community
BIRCHWOOD NEIGHBORS Heron Paulson-Quick and Tsena Paulson
JENNY GREENLEAF I was very pleasantly surprised
and amazed when I was told I could afford to
buy my dream home; a beautiful, well-cared-for
KulshanCLT resale on a wonderfully landscaped
and sunny lot in a great neighborhood. I am a single
woman earning a modest salary working for a local
nonprofit organization. After nine years of renting
and saving, and two non-KulshanCLT house offers
later, I purchased my KulshanCLT home in late
2012. With the incredible help of Christina Olson
and Nikki Quinn, the homebuying process built my
confidence and life skills, as I learned to budget, save
and plan for future improvements to my 1920s-era
Craftsman. Owning my own home, caring for it
for future homeowners, and feeling a part of my
community has given me renewed perspective and
a positive direction to my life. I am truly blessed.
“Now I know
I am home.”
solar powered
TSENA PAULSON A solar array producing green energy on the roof of my
beautiful, new energy-efficient home? I’m still pinching myself ! When my
daughter Heron and I learned that we qualified to purchase one of the new super
energy-efficient Indiana Street homes was like an amazing opportunity had
landed in our lap. News of the solar array came just as we moved in, culminating
the wild ride of homebuilding. Decisions—from flooring and cabinetry to door
handles—has been wonderfully fun and slightly nerve wracking. Heron was
especially excited to paint her room, meet our new neighbors, and try out the new
dish washer (it’s the simple things!). We are deeply thankful to all of you who
made the dream of homeownership possible for us. Our gratitude is equal to our
commitment to furthering the vision of KulshanCLT as long-term Bellingham
renters-now-home-owners. We love our new home, the neighborhood, and this
opportunity to put down roots and contribute to generating green energy.
‘SARAH’ “Pride of ownership. Control over my
surroundings. Affordable house payments. These
are some of the joys of owning my beautiful
new KulshanCLT home. In the last ten years I
have paid over $70,000 in rent with nothing to
show for it. Owning my own home gives me the
opportunity to build equity and, in turn, financial
stability. Homeownership gives me a greater
sense of community, a chance to get to know my
neighbors and put down roots. KulshanCLT has
been welcoming, helpful and supportive from day
one. Christina and Nikki walked me through the
homebuyer process, and helped me calculate what
I could afford. Taking the cost of the land out of
the equation made buying a home a reality for
me. By incorporating so many energy-efficient
features, KulshanCLT has ensured that my
home will not only be comfy and cozy, but more
affordable in the long run. A garden, a fenced
yard for a dog, painting walls any color I like: now
I know I am home. Thank you KulshanCLT!” 5
COLUMBIA NEIGHBORS
Kara, Leo and
Sara Swanson
family friendly
KARA, LEO AND SARA SWANSON Every parent
dreams of having a safe home for your family. A
fenced backyard. A good school. Quality, convenient
daycare. These are the important things that matter
to me, a single full-time working mother with two
children, Sara, age 6 and Leo, age 3. When the rent
went up (again) on the house we were renting in
the County and I knew we would have to move
(again), the thought of buying a house seemed
impossible, especially with my income and credit
history. Then a friend told me about KulshanCLT
and I inquired about a couple of resale homes that
sparked my interest. There were many tears of relief
when I finally got that call from Josh Henry at
Guild Mortgage that my loan was approved. I am
overjoyed with our beautiful three-bedroom home
with a fenced back yard, just blocks from Columbia
elementary school and my son’s home daycare.
Everyone at KulshanCLT was amazingly helpful and
I feel blessed and grateful to now have an affordable
home in a wonderful, kid-friendly neighborhood.
“I feel blessed and
grateful to now have an
affordable home in a
wonderful, kid-friendly
neighborhood.”
stepping stones
STEPHANIE STRAIGHT Following
a divorce I knew I would have
to refinance my home to pay my
former spouse his portion of home
equity. As a single mom supporting
my two children on a self-employed
musician’s salary, every bank I tried to
refinance with turned me down, even
after I picked up two extra part-time
jobs. I continued to pay the monthly
mortgage – with a double-digit interest
rate, and saved enough to make some
improvements, including installing
double-paned windows to save on
energy costs. With time running out
and fearing bankruptcy, a friend told
me about KulshanCLT. I applied
and was able to refinance and bring
my home into the trust through its
Home Recovery Program. I now have
an affordable house payment and
interest rate, and am grateful for the
chance to keep my home and know it
will always be affordable to families
like mine. Thank you KulshanCLT!
YORK NEIGHBORS Ella and Stephanie Straight
6 FEATURED FAMILY
Laura and Justin Krupa
Good thing we like roller coasters, especially the ride that
brought us to the Sunnyland home of our dreams. We applied
the second we saw the KulshanCLT resale home online,
but learned two other families were vying to purchase it.
As those fell through and we queued up to the front of the
homebuying line, a lease agreement on our rental threw a
wrench into things, nearly stopping us in our tracks. Thanks
to KulshanCLT’s awesome twosome Christina Olson and
Nikki Quinn, plus fabulous financing our family qualified
for, we closed in record time and moved in by year end. We
are so grateful to the previous KulshanCLT homeowner, who
had purchased in 2003 and lovingly made improvements and
updates during her nine years in the home. The big, beautiful
back yard has blossomed this spring as we welcomed baby
Mazzy in May to join brother Enzo, age 2. Next year – the
vegetable garden! As we put down roots in the town we have
fallen in love with, it’s great to know this home will always be
affordable to families like ours. Thank you Kulshan CLT!
return on investment
The KulshanCLT homeseller
more than tripled her original
investment, including capital
improvements made during
eight years of ownership.
The value of the original
community investment
grew more than 45%.
The resale price of the home
was under $182,000
The Krupa family qualified
to purchase the home
with an income more than
15% less than the first
KulshanCLT homeowner.
SUNNYLAND NEIGHBORS
Laura, Mazzy, Justin and Enzo (hiding) Krupa
how the home equity cycle works
So that...
homeowners build
equity on their
investment over time...
So that...
community investment
embedded in the
property increases
in value forever…
So that...
successive homebuyers
(especially those with
lower incomes) can
qualify to purchase homes...
sold
So that...
affordability
increases each
time the home
is sold...
7
FOCUS ON COMMUNITY BUILDERS
LEADERSHIP TRANSFORMS
An interview with Dan Hammill
Dan Hammill purchased his Sunnyland home in
May 2006 after renting in the York neighborhood
where he served as President of the York
Neighborhood Association. In his role as Volunteer
Program Director at Whatcom Volunteer Center,
Dan serves as annual event director and manages
a staff member, interns and volunteers. A film
director with several films under his belt and a stint
teaching documentary video production at WWU’s
Fairhaven College, Dan is currently working on a
full-length documentary about Bellingham’s Good
Time Girls. Dan is an impassioned community
advocate, chairing or serving on a variety of
local candidate campaigns and initiatives.
How have you grown personally from serving on
the KulshanCLT Board
of Trustees?
I was honored to be
elected to the KulshanCLT
Board of Trustees in early
2011. KulshanCLT’s
tripartite board – one-third
KulshanCLT homeowners,
one-third members and
one-third community
at-large folks, nurtures
leadership and provides
training and mentoring
for young, inexperienced
and historically
underrepresented
community members. The
inclusivity of KulshanCLT’s
Board has given me a place
Dan Hammill at his Sunnyland home
and voice at the table,
a chance to learn from
experienced board members,
“My leadership roles as a KulshanCLT
and an opportunity to
Trustee and Community Development
serve in a governance and
leadership capacity.
Advisory Board Chair put me face to
face with ways our community is ending
homelessness and providing affordable
housing for those who need it.”
How has owning your
KulshanCLT home
had an impact on your
leadership growth?
KulshanCLT
homeownership is both a blessing and a
responsibility: A blessing because owning a home
is something I value as a community member
and a responsibility because it has made me
consider my role around providing affordable
homes, housing and associated services for
everyone, especially our low-income neighbors.
How have you deepened your understanding of
issues associated with low-income housing and
homelessness?
When we are successful addressing affordable
housing people thrive, neighborhoods improve,
connections are made, and good things happen.
My leadership roles as a KulshanCLT Trustee
and Community Development Advisory Board
Chair, plus my professional role as a Program
Director at Whatcom Volunteer Center and
Project Homeless Connect steering member put
me face to face with ways our community is ending
homelessness and providing affordable housing for
those who need it. It was an honor to manage the
campaign for the Bellingham Home Levy Fund
initiative in 2012, to work hard to see it succeed
and pass with 57 percent of the overall vote. I
think that every kid in our community should
succeed in school and in life and that all begins
with a safe, stable place for families to call home.
You are among more than 10 KulshanCLT
homeowners who are transforming your
neighborhood with more owner-occupied homes.
How has the Sunnyland neighborhood changed
since you purchased your home?
When I moved into my KulshanCLT home in
2006, this edge of the neighborhood was a little
like the Wild West. In the first six months, I called
911 for arson, prostitution, domestic violence and
assault. Seven years later, our neighborhood has
turned around. Our household was a driving force
in leading that change. Families got to know each
other and watch out for each other. Troublemakers
fled while neighbors stood together to grow a
neighborhood that’s safe, family-friendly, and
stable. Now, Sunnyland is very desirable. With
walkable amenities like Trader Joe’s, Kulshan
Brewery, multiple eateries, annual events like
the Sunnyland Stomp, as well as its proximity to
downtown, Sunnyland is THE place to live.
8 hEROES AMONG US
A homeowner’s reflection on leadership
The audience roared with applause as Peter Frazier, Board Vice
President, announced, “Stand back and be amazed to see what
he can accomplish,” and Alex Ramel approached the podium to
accept the award. The occasion was RE-Sources for Sustainable
Communities’ 10th Annual Environmental Heroes Banquet,
where Alex was one of this year’s awardees, and prepared to
address the crowd. “I’m feeling bashful and humble,” said
Alex, “alongside those I consider my mentors,” referring to
the other 2013 awardees, including Charlie Maliszewski, Jean
Melious, Saul Weisberg, Seth Fleetwood and Dan McShane.
Alex shared his thoughts on what it means to be a hero by
reflecting on the latest Batman movie he watched with his son,
Alden. “In some stories, the superhero protects the community,
which is portrayed as powerless. The story is all about the
superhero and not about the community. But in this story, the
hero inspires the community, which rises to the challenge and is
shown to be a city of heroes all along. I think that more closely
reflects real world heroism, that is certainly how it works here.”
Following a stint with ICLEI-Local Governments for
Sustainability where he helped dozens of local governments
conduct baseline greenhouse gas emissions inventories,
Alex joined Sustainable Connections. As Energy & Policy
Manager, he was one of the architects of the Community
Energy Challenge. He has been an advocate for a district
heating system on the Bellingham Waterfront and has
worked alongside local government to improve regulations for
renewable energy, green building and smart growth practices.
Alex volunteers with the local chapter of the Washington
Conservation Voters (WCV) where he works to promote
environmental candidates and initiatives. “In my work with
WCV and Sustainable Connections, I am only one person
in a team of committed people that work together to make
this an amazing community,” said Alex. “This community
rises to the challenge. I accept this Environmental Heroes
Award on behalf of a community full of heroes. Thank you.”
That’s Alex Ramel. Empowering community and inspiring
the best in people are core values that Alex brings to life in
his professional and civic pursuits. He cut his teeth honing
leadership skills during his tenure on KulshanCLT’s Board of
Trustees, which he joined soon after purchasing a Roosevelt
neighborhood home in 2003. At the time he was mid-way
through completing an Environment Policy degree at WWU’s
Huxley College of the Environment, working part-time at The
Community Food Co-op, and raising his young son, Alden.
Alex credits the relationships he grew with fellow Trustees
and Paul Schissler, then KulshanCLT Executive Director,
to mentor and encourage his professional development and
which led to career-building work he did as an intern with the
City of Bellingham’s Office of Environmental Resources. “I
developed Bellingham’s Greenhouse Gas Emissions Inventory
and Local Climate Protection Plan, and worked closely
with Sustainable Connections to implement the Bellingham
Green Power Community Challenge,” according to Alex.
“I was also able to provide research which helped the City create
innovative infill options that were used to shape KulshanCLT’s
new home development, Matthei Place. Being part of the project
planning team in 2005, working with Zervas Group Architect
Sharon Robinson to incorporate green building practices into
affordable home design was cutting-edge at the time. The whole
experience was a real confidence booster and taught me so much.”
Left, Alex and Alden in 2003.
Right, Alex and Alden in 2011.
“In this story, the hero inspires
the community, which rises to the
challenge and is shown to be a city of
heroes all along.”
9
HOUSING RESERVE FUND
Impact investing in energy efficient homes
$
2
The money is invested
in dozens of energy
efficient home
improvements.
3
The community investment
helps create a more vibrant,
diverse community. Over time,
the loans are repaid to the fund.
4
The initial investment is repaid.
Individual investors receive
a return based on a rate they
selected when they made
their initial investment.
continued on next page
10 $
More than one-third of KulshanCLT’s 110
homeowners have participated in community
weatherization opportunities, including the
Community Energy Challenge (CEC), to
make energy efficiency upgrades that improve
the comfort, safety and sustainability of home.
While they have made more than $93,000
in collective home improvements in the last
three years, many homeowners lack sufficient
cash resources or don’t qualify for free or
reduced-cost programs to complete projects
that would reduce annual energy costs and
improve the future resale value of their home.
Utilizing short-term, low-cost loans of the
Housing Reserve Fund, homeowners will
Community members
invest money in local
affordable housing.
Their dollars are matched by
the Industrial Credit Union.
$
“The idea started percolating when some of our
donors reached out to see if there was a way
they could make a philanthropic investment
in the form of a low-interest loan to help
finance our homeowners’ mortgages,” said
Jill Clark, Development Director. “As more
donors came on board, they were excited
by the big impact they could make with a
modest investment. We recognized that the
community land trust model and strategy
– where the community owns the land, and
homeowners build equity on their investment
over time – offered an innovative opportunity
to connect people, social change, and finance
with empowerment of our homeowners.”
1
$
We are excited to announce the Housing
Reserve Fund. The HRF blends community
investor funds from people like you with
FDIC-insured matching funds through
Industrial Credit Union to create a pooled
investment fund for KulshanCLT homeowners
to borrow at low rates to make energy efficient
home improvements. Long term - and with
your participation - the Housing Reserve Fund
will fund KulshanCLT homeowner mortgages.
Industrial
Credit Union
$
Imagine a local investment that provides
you with a financial return, leverages
community assets while providing good
paying jobs for our community, AND helps
KulshanCLT homeowners improve the
energy efficiency and comfort of home.
THE PArRISH FAMILY
The Parrish family – Josh, Jessa, Eliot
and Carter, purchased their Sunnyland
neighborhood home in March 2008 from
KulshanCLT homeowner Christian Martin.
Using KulshanCLT’s resale formula price,
Christian benefited from his four-year
investment in the home. The community
investment from the original purchase
kept the home affordable for Jessica and
Josh, who likewise have built equity while
keeping it affordable for future homebuyers.
As their family of four grew to five with
the birth of Basil in 2009, they were eager
to increase the square footage of their
home. Using savings and sweat equity,
Josh and Jessica converted their garage
into a workshop to free up space for an
extra bedroom. Built in 1920, the onestory home is solid and sound but lack of
insulation and air leakage around doors,
windows and other penetrations was
significant, leaving the home drafty and
resulting in exorbitant winter heating bills.
The Parrishes save by enjoying a carless
lifestyle, bicycling as their primary
transportation mode to work, school,
errands, just about everywhere! “There’s
a built-in freedom to stop and smell
the roses when your primary mode of
transportation is bicycle,” says Josh,
who works for McNett, an outdoor gear
manufacturer based in Bellingham.
Jessa and Josh took advantage of
KulshanCLT’s participation in the Community
Energy Challenge in 2011. During their
KULSHANCLT
RESALE PRICE:
home assessment and blower-door test,
they discovered that a modest investment
in ceiling, floor and wall insulation, coupled
with air sealing around doors, windows and
plumbing penetrations would likely result
in more than $700 in annual energy savings.
Replacement with Energy Star water heater
and appliances would save them even more.
“Using savings, plus a small loan from the
HRF, we could make the recommended
improvements right away and enjoy years of
warm, energy efficient comfort in our home,”
said Josh. “We’re adding value to our home.
We not only save a bundle in annual energy
costs and reduce our carbon footprint, but
improve the future resale value of our home.”
$169,000
*
PROPOSED HOUSIN
RESERVE FUND LOA G
N
$3,500
**
JOSH AND JESSA’S
EQUIT Y BUILT TO D
ATE
$20,000
***
* estimated price, including value of proposed energy efficient improvements, if the Parrishes chose to sell to another income-qualified homebuyer in the next year or two
** 5% interest with three-year payoff period
*** based on KulshanCLT’s shared equity formula. Including proposed improvements, the Parrishes have more than quadrupled their original home investment
complete weatherization projects, and their small monthly loan
payments would be offset by monthly energy cost savings.
The Parrish family, above, is one of a dozen KulshanCLT
homeowners who plan to use the HRF to make
home improvements. Their story illustrates how the
proposed improvements benefit the homeowner with
increased home equity and the community with a
sustainable and ever-increasing affordable home.
Investors in the HRF will enjoy philanthropic and financial
benefits. Risk is minimized as community investor deposits
are pooled together and matched by FDIC-insured
funds at Industrial Credit Union, who handles all the
paperwork and ensures that investor transactions are
professional, timely and safe. The HRF offers flexibility,
including sliding scale interest rate and terms to align with
investor income goals and social capital return goals.
“Industrial Credit Union is eager to work with KulshanCLT
and its community investors to launch the Housing
Reserve Fund,” said Terri Salstrom, CEO. “ICU has the
resources to manage the fund and minimize investor
risk while building assets to better serve our members.
Plus, we’re +improving affordable, energy efficient homes
to last for generations of low-income neighbors.”
11
Kulshan Community Land Trust
1303 Commercial St Ste 6
Bellingham, WA 98225
www.KulshanCLT.org
Save the date!
Annual Party and Celebration
Friday Nov. 8, 6-9pm
The Leopold Ballroom
Free for Members
KULSHANCLT
CALENDAR
October- December 2013
THANK YOU CAZ ENERGY SERVICES
“KulshanCLT adds stability and vitality to our
community with compact, energy efficient,
affordable homes located close to where
people want to live, near available jobs and
transportation options. We at CAZ Energy
Services appreciate KulshanCLT’s commitment
to helping homeowners improve the energy
efficiency of their homes and are grateful to be
among the hundreds of community members
and businesses supporting their consistent
and steady success creating affordable homes
working people can afford forever.”
Dan Dunne and James Reider
Co-owners, CAZ Energy Services
October
November
Ciao Thyme Dinner
In the Kitchen
207 Unity St
Wednesday, Oct. 3
6-9 pm
KulshanCLT Annual Celebration
The Leopold Ballroom
1224 Cornwall Avenue
Friday, Nov. 8, 6-9 pm
Sponsors: CAZ Energy, The Leopold
Make a Difference Day
Location TBD
Saturday, Oct. 26
9 am - 1 pm
December
Art Walk at KulshanCLT
1303 Commercial, 3rd floor
Friday, Dec. 6, 6-10 pm
Sign up for homebuyer education classes and view
more news and events at www.KulshanCLT.org.