Habitat for Humanity Greater Boston completed construction of these six townhouses at 47-57 Regent St. in Roxbury last spring. The nonprofit works on up to 15 projects each year and is hoping to break ground on a larger development this year.
Known for building affordable housing for some of the lowest-income individuals in neighborhoods like Roxbury and Dorchester, Habitat for Humanity Greater Boston is undergoing significant changes, including a push to make the nonprofit operate more like a for-profit developer.
As part of its efforts, the Habitat chapter has plans to embark on larger-scale housing projects in upcoming months, including building up to 25 homes on a vacant parcel of city-owned land in Boston.
If the project moves forward as planned, Habitat leaders are planning to make it the centerpiece of the annual Habitat for Humanity convention next year, which the Greater Boston chapter is hosting for the first time.
“We’re modeling Habitat after a for-profit real estate development company,” said Bruce A. Percelay, current president of the board of directors for Habitat for Humanity Greater Boston. “We’re bringing in experts from their respective fields to put together a team that will enable us to become an efficient and productive developer.”
Percelay, who is president of The Mount Vernon Co. in Boston, has gathered a team of architects, construction experts, housing developers and real estate attorneys to help with future projects.
The team includes William B. Payton, of Payton Construction, one of the largest construction companies in Boston; Michael E. Liu, a vice president and principal of The Architectural Team in Chelsea, an award-winning developer of multifamily properties; Lawrence H. Curtis, of Winn Development in Boston, experts in affordable housing; and Barrando Butler, a corporate attorney for The DeWolfe Cos. in Lexington.
“That team is now in place, and we are now embarking on larger development projects that will enable us to benefit from the economies of scale that would benefit any private developer,” said Percelay.
Percelay declined to identify the location of the city-owned parcel that Habitat is eyeing for the 25-home development because the group has not submitted an official proposal to the city.
According to sources, Habitat leaders are interested in a 20,000-square-foot vacant lot and the group’s leaders have already talked with city officials about the project. The housing development would feature attached rowhouses and a courtyard leading to four separate attached buildings.
‘The Next Level’
If the Boston affiliate proceeds with the development, it would be the largest urban project ever completed by a Habitat chapter in the New England region, according to Habitat leaders. Typical Habitat projects in New England involve single-family or two-family homes, although some projects feature multiple units. Some of the bigger Habitat projects across the country include a 30-unit rowhouse project in Baltimore, and a 15-unit co-operative in New York City.
Even though a larger project is ambitious, Habitat leaders are optimistic that the Greater Boston chapter can make it work. The group has been very successful in raising funds, said Laura MacNeil, the New England regional representative for Habitat for Humanity, and so far its biggest challenge over the years has been site acquisition.
“They’re certainly capable of it,” said MacNeil, referring to the Greater Boston chapter’s plans for a bigger project.
In the past, Habitat has completed housing projects in Dorchester and Roxbury, but the group has started to expand its territory focusing on communities surrounding Boston. According to the group’s Web site, the organization serves 30 cities and towns surrounding Boston including Arlington, Cambridge, Chelsea, Dedham, Newton and Stoneham.
“When the affiliate was started in 1987, we decided to concentrate on Dorchester and Roxbury because we felt those were the areas that had the most need,” said Tom Hippler, who served as Habitat’s president for the last two years and has been on the board for seven. “But … the need isn’t just in those neighborhoods.”
In recent years, the organization has also built and rehabilitated a greater number of homes. Five years ago, the Boston chapter typically completed one or two homes a year.
“Now we’re working on between 10 to 15 homes a year,” said Hippler. In 2001, Habitat finished constructing seven homes, and was near completion on six others.
“The organization has been growing,” said Hippler, who is vice president of real estate law at Stop & Shop. “We’re building more homes … We have a much stronger board in order to allow us to better fulfill what we see is our mission, which is to address the lack of affordable housing in Greater Boston.”
One of the main challenges for the group has been finding land and properties for their projects. With the hot real estate market, the problem has become more acute as property owners hesitate to donate land or sell at lower prices to the nonprofit. And Habitat projects still face opposition from neighbors who fear that a Habitat home in their backyard could affect their property values.
Sources also said that the Boston affiliate struggled in the mid-1990s because of the economy and because board members, all of whom are volunteers, were not experts in real estate development issues. Today, with real estate experts on board, the Greater Boston chapter is getting a much-needed boost, they said.
“We really have some very experienced and very talented development and construction [professionals] who can really take our affiliate to the next level,” said Hippler.
In addition to the larger development project, Habitat leaders have their sights set on the 2003 convention, which the Greater Boston chapter will be hosting next June. There is talk of using the larger Boston housing project as a case study at the convention. The four-day convention is expected to draw up to 750 Habitat leaders from across the country and is scheduled to take place at Harvard University’s Kennedy School of Government.
