Philadelphia Shelters Don't Drop Property Prices, Study Finds
Press Type: Press Release Associated Program: Housing
Today, January 31, Philadelphia homeless services provider Project Home is releasing an important new study showing that property values around their service sites have appreciated more quickly than other parts of the city. This is contrary to a common argument, used by groups opposing the construction of new homeless services, that it will hurt the value of their homes.
"Opposition to homeless services is often driven by fear of a negative impact on property values," said Maria Foscarinis, executive director of the National Law Center on Homelessness & Poverty. "This study is significant because it provides evidence that this fear can be unfounded. I hope that both Philadelphia and other communities around the country will be able to use this study to work with neighborhood groups and improve the siting of housing and services for homeless people."
Below is the full press release about the study, commissioned by Project H.O.M.E. in Philadelphia. NLCHP can serve as a media contact to discuss the national impact of the study and Not-In-My-BackYard (NIMBY) opposition.
Does Ending Homelessness Increase Property Values?
Project H.O.M.E releases report completed by Econsult and Wharton real estate economist Kevin Gillen showing that neighborhoods around Project H.O.M.E. facilities have better-than-average house price appreciation.
FOR IMMEDIATE RELEASE
Director of Public Policy, Project H.O.M.E.
215-232-7272 or 215-439-1618 (cell)
Vice President, Econsult Corporation
Philadelphia, PA. (January 31, 2008) - Project H.O.M.E today formally released a new report, "Project H.O.M.E.'s Economic and Fiscal Impact on Philadelphia Neighborhoods," which illustrates a link between neighborhoods in which Project H.O.M.E. is located and property price appreciation of 6.8 percent annually - 1.8 percent better than the City's historical average. In an effort to ensure that the research was done with the utmost of integrity, Project H.O.M.E. enlisted Econsult Corporation to perform this analysis.
Today, Kevin Gillen presents his methodology, findings, and conclusions. S. Mary Scullion, Executive Director of Project H.O.M.E., and Joan Dawson McConnon, Associate Executive Director, will talk about why we undertook this inquiry and what we have learned. "We believe that ending homelessness is good for everyone in a community, and that working together to bring an appropriate project - in this case, one that helps people regain their lives - into a neighborhood strengthens it," noted S. Mary Scullion. The study shows that Project H.O.M.E.'s presence is correlated with a $31,000 increase in housing wealth to neighbors and a $8.5 million revenue boost to the City to fund services.
The formal release for this study will be held on Thursday, January 31, at the Ivy Room at Kate's Place, a Project H.O.M.E. residence at 1929 Sansom Street, in Center City. Over lunch, guests will have the opportunity to hear from S. Mary Scullion, Joan Dawson McConnon, and Kevin Gillen, and to discuss the project in detail.
According to the Center for Urban Community Services, Philadelphia lacks more than 10,000 units of housing to meet the needs of people who are homeless. There is a real need to reduce community opposition while building political will and funding resources to bring new projects to fruition. "The data strongly indicate that the presence of a Project H.O.M.E. facility does not adversely affect property values," said Econsult's Gillen. "To the contrary, the reduction in the incidence of homelessness and the investment in real estate by Project H.O.M.E. is actually correlated with increases in neighborhood house values over time."
"Our motto is that 'None of us are home until all of us are home,'" said Sister Mary Scullion, Executive Director of Project H.O.M.E. "and when all of us are home, good things happen."
About Project H.O.M.E
Since 1989, Project H.O.M.E. has helped more than 7,000 people break the cycle of homelessness and poverty by providing a continuum of care that includes street outreach, supportive housing and comprehensive services that focus on health care, education and employment. We also work to prevent homelessness and poverty through comprehensive neighborhood revitalization in North Philadelphia. These efforts include the renovation of vacant or deteriorated houses which are then sold to first-time homebuyers, economic reinvestment along the Ridge Avenue Corridor, greening of vacant lots, adult and youth education and enrichment programs at the Honickman Learning Center and Comcast Technology Labs and community-based health care services.
Econsult Corporation was founded in Philadelphia in 1979 for the purpose of providing high quality economic research and statistical & econometric analysis in support of litigation. Today our practice has expanded beyond litigation to include economic consulting services to assist business and public policy decision-makers. Econsult's academically distinguished consultants and affiliates combine quantitative expertise and experience with customized approaches designed to meet client's needs. The firm brings unrivaled expertise in estimating economic impacts, quantifying and evaluating real estate market trends, performing financial-feasibility assessments and financing options, and planning and implementing varying development strategies.
For more information go to www.projecthome.org or contact Laura Weinbaum, Director of Public Policy, at 215-232-7272 or firstname.lastname@example.org.