Workforce housing means housing that is affordable and close to a worker’s job. As initially conceived, workforce housing was built for essential community employees (i.e., police officers) and offered at affordable prices says Maxwell Drever. Today, the “rule of thumb” is that those who dwell in workforce housing should earn between 60% to 120% of their area median income, and to the extent possible, residents should be essential to the areas in which they live. Today’s workforce housing residents are a far more diverse group, including young professionals, construction workers, retail salespeople, office workers, and many more.
The need for seven million affordable workforce housing units
With real estate prices at an all-time high and inflation rearing its “ugly head,” workforce housing for low-income groups has become extremely difficult to find. Estimates show that seven million “affordable” workforce housing units would need to be available to meet current demand.
Broken Hotel to Affordable Workforce Housing conversions
Legendary impact real estate investor Maxwell Drever has developed a brilliant solution that carries the potential to lessen this growing problem. He is also purchasing closed-down “broken” hotels and converting them into high-quality, affordable workforce housing. Moreover, his developments are resort-like, with amenities created using the former hotels’ swimming pools, gyms, and common areas.
Why is the solution brilliant?
Hotel occupancy rates did crate during Covid-19. As a result, many failed. These failures caused the land and building values to drop. Quite the opposite of what has happened to the rest of the real estate market. Maxwell Drever saw the value of a hotel room converting to an apartment. A lobby turning into a common space. A hotel pool becoming a luxury spa and so on. Maxwell and his Drever Atelier Partners currently have three conversion projects at various stages of development. He envisions a resort-like environment for each, and monthly rental costs beginning at $550 per month.
So, if there are let’s say five thousand qualified conversion candidates nationwide with each averaging 200 rooms. That’s one million units.
The Benefits of Workforce Housing
Higher Community Involvement
The proximity of work and home makes those living in workforce housing more likely to become active in local activities and a stakeholder in community affairs.
Live and work in the same area.
Poor living conditions are one of the biggest reasons people quit their jobs and move. However, by providing the workforce with housing options. Unhappy workers wishing to move become happy workers who want to stay and establish roots in their local community.
Saves Time and Fuel Resources
Workforce housing is a built-in environmentally sound savings plan in that it cuts daily commutes to negligible levels, and also saving time, and lessens energy consumption.