By: Laura Searfoss, Senior Program Director, Enterprise

New transit investment presents incredible opportunities for our region: more resilient and equitable communities, shorter and easier commutes, and access to more places to live near transit. The Purple Line construction of an east-west light rail between Montgomery and Prince George’s counties will strengthen physical, social, and economic connections across the DMV.

The often-touted economic benefits of new or expanded transit, however, have a checkered history, especially in communities of color. As highlighted in a recent Baltimore Sun op-ed, “Purple Line must not jeopardize affordable housing,” we don’t need to look far across the Greater Washington region to see patterns of exclusion and displacement due to large-scale transit investment. Recognizing the importance of preserving affordability in communities near new transit, nearly all jurisdictions in the Greater Washington—including Montgomery and Prince George’s counties—have policies that prioritize affordable homes near transit.

In 2014, the Purple Line Corridor Coalition was formed to ensure the economic benefits of the new light rail extend into surrounding communities. The coalition spurs collaboration between cross-sector partners to realize shared goals and achieve greater impact.

The coalition has seen the power of what private and philanthropic placed-based capital can do, especially when coupled with local public funding. In three short years, the Purple Line Capital Pool supported the creation or preservation of about 1,100 affordable homes. In many cases, it provided early stage, below-market loans to buy a property or support pre-development work—critical capital that helps move a project forward but can be hard to come by. This pool, administered by the National Housing Trust, leveraged more than $104 million. 

With the Purple Line about three years from operations, now is the time to accelerate investments in Purple Line communities to stabilize households and preserve affordability.

Earlier this year, Enterprise Community Partners released a Capital Needs and Nonprofit Analysis for the Purple Line. The study calls for bigger, bolder, cross-sector investment in affordable homes and significantly more place-based capital. The study estimates a need for $740 million, in addition to the $2 billion already in Maryland’s housing system, to meet the Purple Line Corridor Coalition’s goal to stabilize or add homes for at least 17,000 households earning $72,000 or below before 2027.

It reinforces that every sector has a role to play in reaching our region’s housing goals and many of HAND’s calls to action for the private and philanthropic sectors: providing direct funding for housing preservation and development; creatively deploying resources to invest in housing development and services; and using their influence for advocacy and policy change.

Request for Qualifications: Right of First Refusal

The Prince George’s County Department of Housing and Community Development is seeking responses (“Qualification Statements”) from qualified non-profit and mission-oriented for-profit developers (“Developers”) with strong affordable rental housing track records and demonstrated experience in acquiring, owning, operating, rehabilitating, and developing quality rental housing with affordability covenants who are interested in serving in a pool of qualified parties to serve as assignees or designees (the “Roster of Responders”) to exercise DHCD’s Right of First Refusal (“ROFR”). For more information on the ROFR and to respond to this request, please review the ROFR developer bench application. The proposal closing date is January 31, 2022.