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HomeMy WebLinkAboutHousing Needs Assessment Bowen Update - Final (1) DRF HOUSING NEEDS ASSESSMENT UPDATE 2022 City of Wilmington & New Hanover County, North Carolina BOWEN NATIONAL RESEARCH Table of Contents: 1 Table of Contents I. Introduction II. Executive Summary III. Study Areas IV. Demographic Analysis V. Housing Supply Analysis VI. Housing Gap / Demand Estimates Addendum A – Phone Survey of Conventional Rentals Addendum B – Qualifications BOWEN NATIONAL RESEARCH I-1 I. INTRODUCTION A. PURPOSE New Hanover County and the City of Wilmington originally retained Bowen National Research in April of 2020 for the purpose of conducting a Housing Needs Assessment of New Hanover County, North Carolina. Subsequently, in September of 2022, we were again retained to provide an update of the following work elements of the original assessment: • Present and evaluate past, current and projected demographic characteristics. • Determine current characteristics of major housing components within the market (for-sale/ownership and rental housing alternatives). • Provide housing gap estimates by tenure and income segment. By accomplishing the study’s objectives, government officials, area stakeholders, and area employers can: (1) better understand the area’s evolving housing market, (2) establish housing priorities, (3) modify or expand local government housing policies, and (4) enhance and/or expand the area’s housing market to meet current and future housing needs. B. METHODOLOGIES The following methods were used by Bowen National Research: Study Area Delineation The study area includes all of New Hanover County. For the purposes of this analysis, we have defined the study areas as the County Study Area (CSA) which is all of New Hanover County that includes the city of Wilmington and the Primary Study Area (PSA) which is the city of Wilmington, exclusively. Maps of the study areas are provided in Section III of this report. Demographic Information Demographic data for population, households, housing, and crime was secured from ESRI, the 2010 and 2020 U.S. Census, the U.S. Department of Commerce, and the American Community Survey. This data has been used in its primary form and by Bowen National Research for secondary calculations. All sources are referenced throughout the report. Estimates and projections of key demographic data for 2022 and 2027 were also provided. It should be noted that data throughout the report is provided for various points in time, depending upon the availability and applicability of such data. BOWEN NATIONAL RESEARCH I-2 Housing Supply Documentation Between September and December of 2022, Bowen National Research conducted telephone research, as well as online research, of the area’s housing supply. The following data was collected on each multifamily rental property: 1. Property Information: Name, address, total units, and number of floors 2. Owner/Developer and/or Property Manager: Name and telephone number 3. Population Served (i.e., seniors vs. family, low-income vs. market-rate, etc.) 4. Available Amenities/Features: Both in-unit and within the overall project 5. Years Built and Renovated (if applicable) 6. Vacancy Rates 7. Distribution of Units by Bedroom Type 8. Square Feet and Number of Bathrooms by Bedroom Type 9. Gross Rents or Price Points by Bedroom Type 10. Property Type 11. Quality Ratings 12. GPS Locations Information regarding for-sale housing was collected by Bowen National Research staff during the aforementioned research period. Home listings were obtained through local tax assessor offices and the local Multiple Listing Service. Information regarding the for-sale housing inventory includes property address, sales/asking price, square footage, number of bedrooms and bathrooms, price per square foot, and the number of days on market, when available. Housing Demand Based on the current and projected demographic data and taking into consideration the housing data from our survey of area housing alternatives, we are able to project the potential number of new units the county can support. The following summarizes the metrics used in our demand estimates. • Rental Housing – We included renter household growth, the number of units required for a balanced market (units needed for a healthy market with 4% to 6% available), the need for replacement housing, commuter/external market support and step-down support as the demand components in our estimates for new rental housing units. As part of this analysis, we accounted for vacancies reported among all surveyed rental alternatives. We concluded this analysis by providing the number of units that the market can support by different income segments and rent levels. • For-Sale Housing – We considered potential demand from new owner household growth, the number of units required for a balanced market (units needed for a healthy market with 2% to 3% available), the need for replacement housing, commuter/external market support and step-down BOWEN NATIONAL RESEARCH I-3 support in our estimates for new for-sale housing. We accounted for the available supply of for-sale housing to yield a net support base of potential for-sale housing. Demand estimates were provided for multiple income stratifications and corresponding price points. The income stratification used in this analysis were based on predetermined income limits selected by the client. The annual household income limits were based on published HUD income restrictions for the local market. C. REPORT LIMITATIONS The intent of this report is to collect and analyze significant levels of data for Wilmington and New Hanover County. Bowen National Research relied on a variety of data sources to generate this report. These data sources are not always verifiable; however, Bowen National Research makes a concerted effort to assure accuracy. While this is not always possible, we believe that our efforts provide an acceptable standard margin of error. Bowen National Research is not responsible for errors or omissions in the data provided by other sources. We have no present or prospective interest in any of the properties included in this report, and we have no personal interest or bias with respect to the parties involved. Our compensation is not contingent on an action or event resulting from the analyses, opinions, or use of this study. Any editing or misrepresentation of this data or report is strictly prohibited. BOWEN NATIONAL RESEARCH II-1 II. EXECUTIVE SUMMARY The purpose of this report is to provide an evaluation of the housing needs of New Hanover County, North Carolina. Specifically, this report serves as a reduced scope update to the original Housing Needs Assessment completed by Bowen National Research in November of 2020. To that end, we conducted an update that considers the following: • Demographic Characteristics and Trends • Existing Housing Stock Costs and Availability of both Rental and For-Sale Product • Quantifiable Housing Gap/Demand Estimates Based on these metrics, we were able to identify housing needs by affordability and tenure (rental vs. ownership). Geographic Study Areas This report focuses on New Hanover County, referred to as the County Study Area (CSA), which includes Wilmington. Additional analysis is provided for the city of Wilmington, referred to as the Primary Study Area (PSA). A map illustrating the study areas is shown below. An enlarged map is included on page III-3 of this report. BOWEN NATIONAL RESEARCH II-2 Demographics Population and Household Growth in New Hanover County have been Very Positive, Outpacing State Averages since 2010 and are Projected to Continue to Grow Rapidly Through 2027 – Between 2010 and 2020, the population within the CSA (New Hanover County) increased by 23,032 (11.4%), which reflects a larger increase than the corresponding rates for the PSA (City of Wilmington) and the state of North Carolina (7.2% and 9.5%, respectively). In 2022, the population of the CSA is estimated to be 232,445, which reflects an increase of 3.0% over the 2020 population. This 3.0% increase constitutes a larger rate of increase than the state (2.2%) during this time period. Between 2022 and 2027, the population of the CSA is projected to increase by an additional 9,149 people, or 3.9%, which exceeds the corresponding projected rate of increase for the state (2.9%) over the next five years. (see Figure 1) There are approximately 101,300 households within the CSA (New Hanover County) in 2022. The number of households in the CSA grew between 2010 and 2020, increasing by 12,054 (14.0%). This represents a larger rate of increase than that for the state overall (11.1%) during this time period. Over the next five years, the number of households within the CSA is projected to increase by 4,382 households, or 4.3%, which represents a considerably greater growth rate than the state (3.2%). The growth rate of households (4.6%) in the PSA (City of Wilmington) is also projected to exceed the growth rate of the state from 2022 to 2027. The recent and projected continued growth in households in both the CSA and PSA will add to the overall demand for housing in the area over the next five years. (see Figure 2) 10.9% 3.9% 4.6% 14.0% 3.3% 4.3% 11.1% 2.4%3.2%0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% 14.0% 2010-2020 2020-2022 2022-2027 Household Trends (2010-2027) PSA CSA North Carolina Figure 1 Figure 2 BOWEN NATIONAL RESEARCH II-3 Household Growth is Projected to Remain Positive Among Most Household Age Groups Through 2027 within the County, with Aging Millennials (Ages 35 to 44) and Seniors (Ages 65 and Older) Representing the Greatest Projected Growth – In 2022, household heads between the ages of 55 and 64 comprise the largest share (17.1%) of all households in the CSA (New Hanover County). Household heads between the ages of 35 and 44 (16.5%) and those between the ages of 65 and 74 (16.2%) comprise the next largest shares of the total households. Collectively, senior households (age 55 and older) constitute over two-fifths (45.6%) of all households within the CSA. Projections for 2027 indicate that the greatest growth of household heads by age will occur among those 75 and older with an increase of 3,072 households (24.6% increase) within the CSA. Significant growth is also projected to occur for households age 35 to 44 (6.7%) and households age 65 to 74 (5.5%), while those between the ages of 45 and 54 (3.5%) and under 25 years of age (2.7%) will experience more moderate growth. Declines are projected over the next five years among the household heads ages 25 to 34 (5.7%) and 55 to 64 (3.0%). The projected significant increase in senior households age 65 and older (3,972 households) within the county indicates a likely increase in demand for senior- oriented housing of both independent and assisted-living types, while the expected growth in households between the ages of 35 and 54 (1,665 households) will likely contribute to demand for family-oriented housing. The table below illustrates projected household growth by age cohort for the PSA (City of Wilmington) and CSA (New Hanover County) over the next five years. (see Figure 3) 3,072 900 -513 549 1,116 -917 175 1,509 621 -269 336 789 -608 166 -1,000 -500 0 500 1,000 1,500 2,000 2,500 3,000 3,500 75+ 65-74 55-64 45-54 35-44 25-34 <25 Change in Household Heads by Age (2022-2027) PSA CSA Figure 3 BOWEN NATIONAL RESEARCH II-4 Most New Hanover County Renter Household Growth is Projected to Occur Among Higher Income Households Earning $50,000 or More, Yet Lower Income Households Earning Less Than $30,000 Will Comprise a Large Share of Renter Households – In 2022, nearly two-fifths (37.1%) of all renter households in the CSA (New Hanover County) have annual incomes below $30,000. As such, affordable rental housing plays a particularly important role in the area. Although the number of these low-income renter households is projected to decrease by 2,662 households in the CSA between 2022 and 2027, they will continue to comprise nearly three-tenths (29.8%) of all renter households in the CSA. Renter households earning $50,000 or more annually are projected to increase by 4,777 households, or an increase of 28.9%. The projected trend of increased income among renter households is similar to that within both the PSA (City of Wilmington) and state for the time period. Given the lack of available affordable rentals and the large growth among higher income renter households in the market, there will be a significant need for housing to meet the needs of a variety of household income levels. (see Figure 4) Notable Owner Household Growth is Projected to Occur Among High-Income Households – In 2022, over two-thirds (68.3%) of owner households in the CSA (New Hanover County) earn $60,000 or more, while only 11.6% earn less than $30,000. Between 2022 and 2027, owner households in the CSA earning $100,000 or more are projected to increase by 8,062 households, or an increase of 29.3%. This represents the only income segment in the CSA projected to experience growth as all other income segments are projected to decline over the next five years. By 2027, the total number of owner households in the CSA is projected to increase by 2,741 households, or an increase of 4.7%. As such, the CSA will likely experience an overall increase in demand among for-sale product in the market and the income levels of owner households will need to be considered to ensure the appropriate mix of income- appropriate housing is available in the county. (see Figure 5) 20.3% 13.7% 10.8%10.9% 9.0% 20.4% 14.9% 17.1% 12.7% 10.5%11.8% 8.9% 22.1% 16.9% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% <$20,000 $20k- $29,999 $30k- $39,999 $40k- $49,999 $50k- $59,999 $60k- $99,999 $100,000+ Share of Renter Households by Income (2027) PSA CSAFigure 4 4.5%3.3%4.6%5.5%5.0% 15.7% 61.4% 4.2%3.5%4.2%5.1%5.7% 19.2% 58.0% 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% <$20,000 $20k- $29,999 $30k- $39,999 $40k- $49,999 $50k- $59,999 $60k- $99,999 $100,000+ Share of Owner Households by Income (2027) PSA CSAFigure 5 BOWEN NATIONAL RESEARCH II-5 Housing Supply With Nearly 21,000 Renter Households and Nearly 14,000 Owner Households Considered Housing Cost Burdened Within the County, Housing Affordability Remains a Critical Component to the Local Housing Market - Cost burdened households pay over 30% of income toward housing costs, while severe cost burdened households pay over 50% of income toward housing. The CSA’s (New Hanover County) 2022 estimated median home value of $312,103 is well above the state’s estimated value of $238,552, despite very comparable median household incomes. In addition, the average gross rent of $1,108 for the CSA is higher than the state’s average gross rent of $1,005. As such, the shares of cost-burdened renter households (49.1%) and owner households (23.9%) in the CSA are higher than the corresponding shares for the state (42.7% and 19.2%, respectively). Furthermore, over one-fourth (26.5%) of renter households and one-tenth (10.0%) of owner households in the CSA are severe cost burdened. Within the PSA (City of Wilmington), the shares of households with affordability issues closely resemble the shares within the CSA. Overall, the county has an estimated 20,993 renter households and 13,992 owner households that are cost burdened. With an estimated total of nearly 35,000 cost burdened households (17,184 severe cost burdened) in the county, affordable housing alternatives should be part of future housing solutions. Household Income, Housing Costs and Affordability 2022 Households Median Household Income Estimated Median Home Value Average Gross Rent Share of Cost Burdened Households* Share of Severe Cost Burdened Households** Renter Owner Renter Owner PSA 54,806 $54,746 $314,417 $1,065 50.4% 23.7% 26.5% 9.8% CSA 101,299 $63,926 $312,103 $1,108 49.1% 23.9% 26.5% 10.0% North Carolina 4,262,494 $63,994 $238,552 $1,005 42.7% 19.2% 20.4% 7.7% Source: American Community Survey (2016-2020); ESRI *Paying more than 30% of income toward housing costs **Paying more than 50% of income toward housing costs With a Large Portion of the Nearly 33,000 People Living in Poverty Consisting of Children, Affordable Family Housing Should be a Priority in the County - Approximately 14.6% of the population in the CSA (New Hanover County) suffers from poverty, which reflects a slightly higher overall poverty rate when compared to the state (14.0%) and a lower rate than the PSA (18.8%). People less than 18 years of age have the highest poverty rate (18.0%) in the CSA, followed by individuals between 18 and 64 years (15.4%). Those age 65 and older have the lowest poverty rate in the CSA (8.4%). Poverty rates by age cohort within the PSA (City of Wilmington) are considerably higher than the corresponding rates in the CSA and the state, with the highest rate occurring among children less than 18 years of age (23.7%). Overall, the CSA has approximately 32,800 individuals that are affected by poverty. Of these, the data illustrates that households with children present are the most disproportionately affected group. As such, it appears there is a significant need for affordable housing options oriented toward a variety of household types, particularly family-oriented housing within the PSA. Table 1A 11___ BOWEN NATIONAL RESEARCH II-6 While Occupancy Rates of Market-Rate Rentals (Operating without Government Income or Rent Limits) Remain Stable and High, There are no Longer Any Available Affordable Rental Alternatives (e.g., Tax Credit or Government-Subsidized)– Overall, 90 multifamily apartments were surveyed as part of this update. Of the 17,035 units at the surveyed properties, 674 are vacant, resulting in an overall occupancy rate of 96.0%. This is slightly higher than 95.9% occupancy rate from the original (2020) survey of this market, meaning the availability of multifamily rental housing is diminishing slightly. While the market-rate rental inventory maintains several hundred available units and has maintained a relatively high and stable occupancy level over the last two years, all surveyed affordable rentals that operate under either the Low-Income Housing Tax Credit program or with a government subsidy are now fully occupied and many of these affordable housing alternatives maintain wait lists. As a result, there is clear pent-up demand for rental housing that serves households with incomes of up to 80% of Area Median Housing Income (earning up to approximately $68,000 for a family of four). The lack of available housing serving these lower income households is likely contributing to the large number of renters living in cost burdened housing situations in the market. The following table (see Table 1) summarizes the recently surveyed product by program type for the PSA (City of Wilmington) and CSA (New Hanover County) and compares occupancy rates with those from the 2020 study. Project Type Current Survey - 2022 2020 Occupancy Rate Occupancy Rate Change 2020 to 2022 Projects Surveyed Total Units Vacant Units Occupancy Rate PSA (City of Wilmington) Market-rate 52 11,449 510 95.5% 95.2% 0.3% Market-rate/Tax Credit 1 360 5 98.6% 63.5% 35.1% Tax Credit 11 1,143 0 100.0% 97.3% 2.7% Tax Credit/Government-Subsidized 3 223 0 100.0% 98.7% 1.3% Market-rate/Tax Credit/ Government-Subsidized 1 204 0 100.0% - - Government-Subsidized 6 629 0 100.0% 99.7% 0.3% Total 74 14,008 515 96.3% 95.7% 0.6% CSA (New Hanover County) Market-rate 66 14,336 669 95.3% 95.5% -0.2% Market-rate/Tax Credit 1 360 5 98.6% 63.5% 35.1% Tax Credit 13 1,283 0 100.0% 97.7% 2.3% Tax Credit/Government-Subsidized 3 223 0 100.0% 98.7% 1.3% Market-rate/Tax Credit/ Government-Subsidized 1 204 0 100.0% - - Government-Subsidized 6 629 0 100.0% 99.7% 0.3% Total 90 17,035 674 96.0% 95.9% 0.1% Source: Bowen National Research Additional details of the area’s multifamily rental housing supply are included in Section V of this report. Table 1 BOWEN NATIONAL RESEARCH II-7 Median Collected Rents Escalated Rapidly Over the Past Two Years, Particularly Among Market-Rate Rentals - From 2020 to 2022, the median collected rent for nearly all bedroom types in the CSA (New Hanover County) increased substantially. Among the most common unit configurations, median collected rent increased by 53.3% ($955 to $1,464) in the one-bedroom, one-bath units, while median collected rent among the two-bedroom, two-bath units increased by 44.7% ($1,225 to $1,773) during the past two years. Median collected rents among the three-bedroom, two-bath units, which also comprise a significant share of the overall supply in the CSA, increased by 47.6% ($1,300 to $1,919). With the exception of the three-bedroom, one-and-a-half bath units, median collected rents have increased between 25.0% and 67.9% in the CSA depending on unit configuration. While the overall occupancy rate in the CSA (95.4%) is generally considered healthy, the rapid increase in median collected rents illustrates not only the ability to obtain premium rents in the market, but the high level of demand for market- rate apartments in the area. Although the median rents of the Tax Credit supply in the PSA and CSA are well below the median rents of the market-rate multifamily supply, which is to be expected, median collected rents among all Tax Credit bedroom types have increased since 2020. Among the five most common bedroom/bathroom configurations, median Tax Credit rents in the CSA have increased between 7.4% and 19.7% since 2020, even though the residents of these Tax Credit units have not experienced household income increases at these levels. Despite these increases, Tax Credit housing remains a value in the market, which is likely contributing to its strong level of demand. Tables 2 and 3 below illustrate key vacancy and rent data for the most common bedroom types among the market-rate and Tax Credit supply within the county. Tables with the full inventory of surveyed properties are included on pages V- 9 and V-11. Market-rate Bedroom Baths Current Survey - 2022 2020 Survey % Change Median Collected Rent Units Distribution Vacant Units % Vacant Median Collected Rent % Vacant Median Collected Rent CSA (New Hanover County) One-Bedroom 1.0 4,367 29.8% 205 4.7% $1,464 5.4% $955 53.3% Two-Bedroom 2.0 6,179 42.1% 277 4.5% $1,773 4.7% $1,225 44.7% Three-Bedroom 2.0 1,297 8.8% 70 5.4% $1,919 4.0% $1,300 47.6% Source: Bowen National Research Tax Credit Bedroom Baths Current Survey - 2022 2020 Survey % Change Median Collected Rent Units Distribution Vacancy % Vacant Median Collected Rent % Vacant Median Collected Rent CSA (New Hanover County) One-Bedroom 1.0 348 26.4% 0 0.0% $662 2.3% $610 8.5% Two-Bedroom 1.0 393 29.8% 0 0.0% $760 2.8% $654 16.2% Two-Bedroom 1.5 211 16.0% 0 0.0% $760 5.2% $665 14.3% Two-Bedroom 2.0 144 10.9% 0 0.0% $750 0.0% $698 7.4% Three-Bedroom 2.0 132 10.0% 0 0.0% $904 0.0% $755 19.7% Source: Bowen National Research Table 2 Table 3 BOWEN NATIONAL RESEARCH II-8 The Median Sale Price of Homes in the County Increased 63.8% Since 2016, Making Housing More Difficult to Attain, Particularly for Lower-Income Households - The number of homes sold on an annual basis in the CSA (New Hanover County) averaged 4,962 homes between 2016 and 2021. The number of homes sold each year in the CSA increased year over year with the exception of a decrease in 2020 (12.9%). In 2021, over 6,100 homes were sold in the CSA, which represents a 39.4% increase over 2020. Based on data through November 2, 2022, it is projected that approximately 5,120 homes will be sold in the CSA in 2022 at the current rate. While this represents a 16.6% decrease from 2021, the projected number of homes sold for the current year would surpass the six-year average by 3.2%. Regardless of recent fluctuations in sales volume, the median sale price for homes in the CSA increased each year during the time period. Overall, the median home price in the CSA increased by 63.8% since 2016, and as of November 2022 the current median price for homes sold in the CSA was $390,000. As such, affordability of for-sale housing in the county may become a challenge for many households, including first-time homebuyers, if this trend continues. (see Figure 6) *Through November 2, 2022 Additional details of historical homes sales of the market are included starting on page V-15. $225,000 $250,000 $275,000 $300,000 $325,000 $350,000 $375,000 $400,000 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 2016 2017 2018 2019 2020 2021 2022* CSA Annual Sales/Median Price (2016-2022*) Number Sold Median Price Figure 6 BOWEN NATIONAL RESEARCH II-9 New Hanover County has Limited Availability Among its For-Sale Housing Stock, Particularly Among Product Priced Below $300,000 – The 816 available homes in the CSA (New Hanover County) represent an availability rate of 1.4%, which is lower than the 1.6% rate from 2020. As such, for-sale housing is becoming less available in the county. Regardless, the 1.4% availability rate is below the typical 2.0% to 3.0% range for a healthy, well balanced market. Within the CSA, nearly nine-tenths (87.7%) of the available for-sale product is priced above $300,000. This is a notable increase from the 73.5% share of higher-priced product from 2020. Only 12.3% of the available supply in the CSA is priced under $300,000, totaling just 100 units, which is a decline from the 26.5% share of 247 units available at this price range in the CSA just two years ago. The number of days on market (days a home has been listed) for all listed homes in the CSA (67 days) declined dramatically from the 118 days on market from 2020. As such, despite the increased inventory of higher priced homes, the sales period is shorter than in the recent past, indicating an increased level of demand for for-sale housing. The diminished available inventory of product priced under $300,000 places even greater challenges for low- to moderate-income households to find and secure a for-sale housing alternative. With the projected increase in the number of households in the PSA (4.6%) and CSA (4.3%) over the next five years, it will be critical that additional for-sale product is introduced into the market in order to accommodate demand and possibly slow the increase in pricing. (see Table 4 and Figure 7) CSA (New Hanover County) - Available For-Sale Housing by Price List Price Current (2022) Original (2020) Number Available Percent of Supply Average Days on Market Number Available Percent of Supply Average Days on Market Up to $99,999 1 0.1% 233 0 0.0% - $100,000 to $149,999 4 0.5% 70 20 2.1% 66 $150,000 to $199,999 13 1.6% 38 38 4.1% 67 $200,000 to $249,999 21 2.6% 44 90 9.7% 64 $250,000 to $299,999 61 7.5% 36 99 10.6% 68 $300,000+ 716 87.7% 70 684 73.5% 136 Total 816 100.0% 67 931 100.0% 118 Source: Multiple Listing Service 58 189 684 18 82 716 0 150 300 450 600 750 Up to $199,999 $200k-$299,999 $300,000+ New Hanover County Available For-Sale Housing by Price 2020 Study 2022 Study Table 4 Figure 7 BOWEN NATIONAL RESEARCH II-10 Overall CSA (New Hanover County) Housing Needs We compared various demand drivers with the existing and planned residential product in the market to derive housing gap estimates. This analysis was done at various affordability levels and for both rental and for-sale housing alternatives. Given many factors (shifts in household incomes, housing units added/removed from the inventory, changes in housing conditions, shifts in commuting patterns, increases in Area Median Income levels, etc.) contribute to changes between housing gap estimates between the two time periods, readers are cautioned from drawing conclusions on the specific factors that are influencing the changes in housing gaps between affordability levels. The following table (see Table 5) summarizes the approximate housing gaps (units needed) in the CSA (New Hanover County) over the next 10 years (2022 to 2032) and compares those results with the housing gap estimates from the original (2020) study of the county. Housing gap estimates for the city of Wilmington are provided in Section VI of this report. CSA (New Hanover County) Housing Gap Estimates – Number of Units Needed Housing Segment Current Units Needed (2022-2032) Original (2020-2030) Percent of AMHI Annual Income Rent/Price Range Re n t a l s ≤ 30% < $25,560 < $639 2,344 2,787 31%-50% $25,561-$42,600 $640-$1,065 1,792 1,968 51%-60% $42,601-$51,120 $1,066-$1,278 1,772 1,231 61%-80% $51,121-$68,160 $1,279-$1,704 2,359 1,431 81%-120% $68,161-$102,240 $1,705-$2,256 3,002 1,796 121%+ $102,241+ $2,557+ 878 1,563 TOTAL UNITS 12,147 10,776 Fo r -Sa l e ≤ 30% < $25,560 < $85,200 1,294 1,228 31%-50% $25,561-$42,600 $85,201-$142,000 1,670 862 51%-60% $42,601-$51,120 $142,001-$170,400 1,784 1,165 61%-80% $51,121-$68,160 $170,401-$227,200 2,216 1,471 81%-120% $68,161-$102,240 $227,201-$340,800 3,746 3,659 121%+ $102,241+ $340,801+ 6,165 4,632 TOTAL UNITS 16,875 13,017 Note: Number of units assumes product is marketable, affordable and in a marketable location. Variations of product types will impact the actual number of units that can be supported. Additionally, incentives and/or government policy changes could encourage support for additional units that exceed the preceding projections. There is an estimated overall housing gap of 12,147 rental units (up from 10,776 units in 2020) and a gap of 16,875 for-sale units (up from 13,017 units in 2020) within the county over the next 10 years. These both represent increases in housing gaps since the 2020 study, with the rental housing gap increasing by 1,371 (12.7%) and the for-sale housing gap increasing by 3,858 (29.6%) over the past two years. The greatest rental housing gap in the overall county is for product affordable to households earning between 81% and 120% of Area Median Household Income (households generally earning between $68,161 and $102,640), while the greatest for-sale housing gap in the county appears to be for higher income households (households generally earning $102,241 or more). Regardless, significant rental and for-sale housing gaps exist among all affordability levels and future housing efforts should address this broad need. Table 5 BOWEN NATIONAL RESEARCH II-11 Numerous factors impact a market’s ability to support new housing product. This is particularly true of individual housing projects or units. Certain design elements, pricing structures, target market segments (e.g., seniors, workforce, families, etc.), product quality and location all influence the actual number of units that can be supported. As a result, the preceding estimates should be used as a general guideline for establishing housing priorities and goals for New Hanover County. Demand estimates could exceed those shown in the preceding table if the community changes policies or offers incentives to encourage people to move into the market or for developers to develop new housing product. BOWEN NATIONAL RESEARCH III-1 III. STUDY AREAS This updated Housing Needs Assessment addresses the residential housing needs of New Hanover County, North Carolina. To this end, this study focuses on the demographic and economic characteristics, as well as the existing housing stock, of New Hanover County. Additionally, because of the unique characteristics that exist within certain areas of the county, we provide additional analysis of Wilmington to understand trends and attributes that affect the city. The following summarizes the various study areas used in this analysis. County Study Area - The County Study Area (CSA) is comprised of the overall New Hanover County (including the city of Wilmington), which encompasses approximately 201.48 square miles. Primary Study Area - The Primary Study Area (PSA) includes only the city of Wilmington. It encompasses approximately 52.43 square miles. Maps showing New Hanover County and North Carolina, as well as delineating the boundaries of the various study areas are shown on the following pages. BOWEN NATIONAL RESEARCH IV-1 IV. DEMOGRAPHIC ANALYSIS A. INTRODUCTION This section of the report evaluates key demographic characteristics for the Primary Study Area (PSA, City of Wilmington), the County Study Area (CSA, county overall), and North Carolina (statewide). Through this analysis, unfolding trends and unique conditions are often revealed regarding populations and households residing in the geographic areas. This section is comprised of two major parts: population characteristics and household characteristics. Population characteristics describe the qualities of individual people, while household characteristics describe the qualities of people living together in one residence. It is important to note that 2000, 2010, and 2020 demographics are based on U.S. Census data (actual count), while 2022 and 2027 data are based on calculated estimates provided by ESRI, a nationally recognized demography firm. These estimates and projections are adjusted using the most recent data available from the 2020 Census count, when available. The accuracy of these estimates depends on the realization of certain assumptions: • Economic projections made by secondary sources materialize; • Governmental policies with respect to residential development remain consistent; • Availability of financing for residential development (i.e., mortgages, commercial loans, subsidies, Tax Credits, etc.) remains consistent; • Sufficient housing and infrastructure are provided to support projected population and household growth. Significant unforeseen changes or fluctuations among any of the preceding assumptions could have an impact on demographic estimates/projections. B. POPULATION CHARACTERISTICS Population by numbers and percent change (growth or decline) for selected years is shown in the following table. (see Table 6) It should be noted that some total numbers and percentages may not match the totals within or between tables in this section due to rounding. Total Population 2010 Census 2020 Census Change 2010-2020 2022 Estimated Change 2020-2022 2027 Projected Change 2022-2027 Number Percent Number Percent Number Percent PSA 107,669 115,451 7,782 7.2% 119,306 3,855 3.3% 124,212 4,906 4.1% CSA 202,670 225,702 23,032 11.4% 232,445 6,743 3.0% 241,594 9,149 3.9% North Carolina 9,535,419 10,439,314 903,895 9.5% 10,671,320 232,006 2.2% 10,981,049 309,729 2.9% Source: 2010, 2020 Census; ESRI; Urban Decision Group; Bowen National Research Table 6 BOWEN NATIONAL RESEARCH IV-2 Between 2010 and 2020, the population within the CSA (New Hanover County) increased by 23,032 (11.4%), which reflects a larger increase than the corresponding rates for the PSA (City of Wilmington) and the state of North Carolina (7.2% and 9.5%, respectively). In 2022, the population of the CSA is estimated to be 232,445, which reflects an increase of 3.0% over the 2020 population. This 3.0% increase constitutes a larger rate of increase than the state (2.2%) during this time period. By 2027, the population of the CSA is projected to increase by an additional 9,149 people, or 3.9%, which exceeds the corresponding projected rate of increase for the state (2.9%) over the next five years. Overall, there has been consistent and considerable growth in the CSA and PSA since 2010, and projections through 2027 indicate substantial, continued growth within New Hanover County. This trend of population growth will continue to contribute to the ongoing demand for housing for the foreseeable future. The following graph (see Figure 8) compares the percent change in population since 2010 and projected through 2027 for the PSA (City of Wilmington), the CSA (New Hanover County), and the state of North Carolina. 7.2% 3.3%4.1% 11.4% 3.0%3.9% 9.5% 2.2%2.9% 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% 2010-2020 2020-2022 2022-2027 Population Trends (2010-2027) PSA CSA North CarolinaFigure 8 BOWEN NATIONAL RESEARCH IV-3 Population by age cohorts for selected years is shown in the following table (see Table 7): Population by Age <25 25 to 34 35 to 44 45 to 54 55 to 64 65 to 74 75+ Median Age PSA 2010 37,892 (35.2%) 16,107 (15.0%) 12,743 (11.8%) 13,349 (12.4%) 12,439 (11.6%) 7,757 (7.2%) 7,382 (6.9%) 34.9 2022 37,796 (31.7%) 18,075 (15.2%) 14,185 (11.9%) 12,730 (10.7%) 13,869 (11.6%) 12,298 (10.3%) 10,353 (8.7%) 37.5 2027 38,700 (31.2%) 16,950 (13.6%) 15,727 (12.7%) 13,357 (10.8%) 13,511 (10.9%) 13,388 (10.8%) 12,579 (10.1%) 38.9 Change 2022-2027 904 (2.4%) -1,125 (-6.2%) 1,542 (10.9%) 627 (4.9%) -358 (-2.6%) 1,090 (8.9%) 2,226 (21.5%) N/A CSA 2010 65,758 (32.4%) 29,563 (14.6%) 26,831 (13.2%) 27,286 (13.5%) 25,139 (12.4%) 15,584 (7.7%) 12,509 (6.2%) 37.2 2022 68,179 (29.3%) 32,366 (13.9%) 30,480 (13.1%) 27,722 (11.9%) 29,297 (12.6%) 25,865 (11.1%) 18,536 (8.0%) 39.9 2027 70,066 (29.0%) 30,535 (12.6%) 32,749 (13.6%) 28,816 (11.9%) 28,595 (11.8%) 27,529 (11.4%) 23,304 (9.6%) 41.1 Change 2022-2027 1,887 (2.8%) -1,831 (-5.7%) 2,269 (7.4%) 1,094 (3.9%) -702 (-2.4%) 1,664 (6.4%) 4,768 (25.7%) N/A North Carolina 2010 3,220,236 (33.8%) 1,246,588 (13.1%) 1,327,143 (13.9%) 1,368,636 (14.4%) 1,138,749 (11.9%) 697,559 (7.3%) 536,508 (5.6%) 37.3 2022 3,302,730 (30.9%) 1,445,072 (13.5%) 1,378,266 (12.9%) 1,334,845 (12.5%) 1,366,753 (12.8%) 1,107,846 (10.4%) 735,808 (6.9%) 39.2 2027 3,353,927 (30.5%) 1,417,328 (12.9%) 1,446,195 (13.2%) 1,328,289 (12.1%) 1,323,839 (12.1%) 1,197,371 (10.9%) 914,100 (8.3%) 39.8 Change 2022-2027 51,197 (1.6%) -27,744 (-1.9%) 67,929 (4.9%) -6,556 (-0.5%) -42,914 (-3.1%) 89,525 (8.1%) 178,292 (24.2%) N/A Source: 2010 Census; ESRI; Urban Decision Group; Bowen National Research N/A – Not Applicable In 2022, the median age for the population of the CSA (New Hanover County) is 39.9 years, which represents a 7.3% increase over the 2010 median age (37.2 years). Overall, the population of the CSA is slightly older than the PSA (37.5 years) and the state (39.2 years). The median age for the population of the CSA is projected to increase by 3.0% by 2027, at which time the median age for the population in New Hanover County will be 41.1 years. This increase in median age within the CSA is largely due to the tremendous growth in the population cohorts of people aged 75 years and older (25.7%) and people between the ages of 65 and 74 (6.4%). This significant growth among the oldest cohorts by age is also projected to occur within the PSA (City of Wilmington). Aside from the population aged 65 years and older, there is also considerable growth in the CSA projected among the age cohorts of 35 to 44 years (7.4%), 45 to 54 years (3.9%), and less than 25 years (2.8%). Only two age cohorts in the CSA are projected to decrease between 2022 and 2027, which includes individuals ages 25 to 34 years (5.7%) and those 55 to 64 years (2.4%). These trends likely indicate an overall increasing need for a variety of housing types in New Hanover County and Wilmington, particularly senior-oriented housing. Table 7 BOWEN NATIONAL RESEARCH IV-4 The following graph (see Figure 9) compares the projected change in population by age cohort between 2022 and 2027. Poverty status by age cohort based on 2016-2020 American Community Survey data is shown in the following table (see Table 8): Population and Share Below Poverty Level by Age Cohort (2016-2020) <18 18 to 64 65+ Overall PSA Number 4,972 14,993 2,118 22,083 Percent 23.7% 19.9% 10.1% 18.8% CSA Number 7,548 21,863 3,394 32,805 Percent 18.0% 15.4% 8.4% 14.6% North Carolina Number 452,422 807,494 152,020 1,411,936 Percent 20.0% 13.0% 9.2% 14.0% Source: U.S. Census Bureau, 2016-2020 American Community Survey; Urban Decision Group; Bowen National Research Approximately 14.6% of the population in the CSA (New Hanover County) suffers from poverty, which reflects a slightly higher overall poverty rate when compared to the state (14.0%) and a lower rate than the PSA (18.8%). Among the three age cohorts illustrated in the preceding table, those less than 18 years of age have the highest poverty rate (18.0%) in the CSA, followed by individuals between 18 and 64 years (15.4%). Those age 65 and older have the lowest poverty rate in the CSA (8.4%). Poverty rates by age cohort within the PSA (City of Wilmington) are considerably higher than the corresponding rates in the CSA and the state, with the highest rate occurring among children less than 18 years of age (23.7%). Overall, the CSA has approximately 32,800 individuals that are affected by poverty. Of these, the data illustrates that households with children present are the most disproportionately affected group. As such, it appears there is a significant need for affordable housing options oriented toward a variety of household types, particularly family- oriented housing within the PSA. 4,768 1,664 -702 1,094 2,269 -1,831 1,887 2,226 1,090 -358 627 1,542 -1,125 904 -2,000 -1,000 0 1,000 2,000 3,000 4,000 5,000 75+ 65-74 55-64 45-54 35-44 25-34 <25 Change in Population by Age (2022-2027) PSA CSAFigure 9 Table 8 BOWEN NATIONAL RESEARCH IV-5 The following graph (see Figure 10) compares the poverty rate by age/overall for the PSA (City of Wilmington), the CSA (New Hanover County) and the state. C. HOUSEHOLD CHARACTERISTICS Households by numbers and percent change (growth or decline) for selected years are shown in the following table (see Table 9): Total Households 2010 Census 2020 Census Change 2010-2020 2022 Estimated Change 2020-2022 2027 Projected Change 2022-2027 Number Percent Number Percent Number Percent PSA 47,541 52,731 5,190 10.9% 54,806 2,075 3.9% 57,350 2,544 4.6% CSA 86,055 98,109 12,054 14.0% 101,299 3,190 3.3% 105,681 4,382 4.3% North Carolina 3,745,143 4,160,833 415,690 11.1% 4,262,494 101,661 2.4% 4,400,229 137,735 3.2% Source: 2010, 2020 Census; ESRI; Urban Decision Group; Bowen National Research There are approximately 101,300 households within the CSA (New Hanover County) in 2022. The number of households in the CSA grew between 2010 and 2020, increasing by 12,054 (14.0%). This represents a larger rate of increase than that for the state overall (11.1%) during this time period. Over the next five years, the number of households within the CSA is projected to increase by 4,382 households, or 4.3%, which represents a considerably greater growth rate than the state (3.2%). The growth rate of households (4.6%) in the PSA (City of Wilmington) is also projected to exceed the growth rate of the state from 2022 to 2027. The recent and projected continued growth in households in both the CSA and PSA will add to the overall demand for housing in both markets over the next five years. The following graph (see Figure 11) compares the percent change in households between 2010 and 2027. 23.7%19.9% 10.1% 18.8%18.0%15.4% 8.4% 14.6% 20.0% 13.0%9.2% 14.0% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% Under 18 18-64 65+Overall Poverty Rates by Age/Overall (2022) PSA CSA North Carolina 10.9% 3.9%4.6% 14.0% 3.3%4.3% 11.1% 2.4%3.2%0.0%2.0%4.0%6.0%8.0%10.0%12.0%14.0% 2010-2020 2020-2022 2022-2027 Household Growth Trends (2010-2027) PSA CSA North Carolina Figure 10 Table 9 Figure 11 BOWEN NATIONAL RESEARCH IV-6 Household heads by age cohorts for selected years are shown in the following table (see Table 10): Household Heads by Age <25 25 to 34 35 to 44 45 to 54 55 to 64 65 to 74 75+ PSA 2010 5,220 (11.0%) 8,667 (18.2%) 7,367 (15.5%) 7,921 (16.7%) 7,768 (16.3%) 5,171 (10.9%) 5,427 (11.4%) 2022 5,041 (9.2%) 9,728 (17.7%) 8,271 (15.1%) 7,547 (13.8%) 8,637 (15.8%) 8,202 (15.0%) 7,380 (13.5%) 2027 5,207 (9.1%) 9,120 (15.9%) 9,060 (15.8%) 7,883 (13.7%) 8,368 (14.6%) 8,823 (15.4%) 8,889 (15.5%) Change 2022-2027 166 (3.3%) -608 (-6.3%) 789 (9.5%) 336 (4.5%) -269 (-3.1%) 621 (7.6%) 1,509 (20.4%) CSA 2010 6,998 (8.1%) 15,009 (17.4%) 14,695 (17.1%) 15,637 (18.2%) 15,106 (17.6%) 10,042 (11.7%) 8,566 (10.0%) 2022 6,533 (6.4%) 16,130 (15.9%) 16,743 (16.5%) 15,599 (15.4%) 17,334 (17.1%) 16,450 (16.2%) 12,510 (12.3%) 2027 6,708 (6.3%) 15,213 (14.4%) 17,859 (16.9%) 16,148 (15.3%) 16,821 (15.9%) 17,350 (16.4%) 15,582 (14.7%) Change 2022-2027 175 (2.7%) -917 (-5.7%) 1,116 (6.7%) 549 (3.5%) -513 (-3.0%) 900 (5.5%) 3,072 (24.6%) North Carolina 2010 192,967 (5.2%) 588,691 (15.7%) 712,155 (19.0%) 771,236 (20.6%) 673,801 (18.0%) 443,532 (11.8%) 362,761 (9.7%) 2022 183,075 (4.3%) 664,661 (15.6%) 730,666 (17.1%) 734,593 (17.2%) 785,361 (18.4%) 684,066 (16.0%) 480,072 (11.3%) 2027 187,656 (4.3%) 651,586 (14.8%) 760,555 (17.3%) 726,411 (16.5%) 752,706 (17.1%) 730,728 (16.6%) 590,587 (13.4%) Change 2022-2027 4,581 (2.5%) -13,075 (-2.0%) 29,889 (4.1%) -8,182 (-1.1%) -32,655 (-4.2%) 46,662 (6.8%) 110,515 (23.0%) Source: 2010 Census; ESRI; Urban Decision Group; Bowen National Research In 2022, household heads between the ages of 55 and 64 comprise the largest share (17.1%) of all households in the CSA (New Hanover County). Household heads between the ages of 35 and 44 (16.5%) and those between the ages of 65 and 74 (16.2%) comprise the next largest shares of the total households. Collectively, senior households (age 55 and older) constitute over two-fifths (45.6%) of all households within the CSA. This is a slightly higher share of senior households when compared to the PSA (44.3%) and a nearly identical share to the state overall (45.7%). Within the PSA (City of Wilmington), there is a significant share of household heads under the age of 35 (26.9%). This is notable because this age cohort is more likely to be renters when compared to older age cohorts. Projections for 2027 indicate that the greatest growth of household heads by age will occur among those 75 and older with an increase of 3,072 households (24.6% increase) within the CSA. Significant growth is also projected to occur for households age 35 to 44 (6.7%) and households age 65 to 74 (5.5%), while those between the ages of 45 and 54 (3.5%) and under 25 years of age (2.7%) will experience more moderate growth. Declines are projected over the next five years among the household heads ages 25 to 34 (5.7%) and 55 to 64 (3.0%). The projected significant increase in senior households age 65 and older (3,972 Table 10 BOWEN NATIONAL RESEARCH IV-7 households) indicates a likely increase in demand for senior-oriented housing of both independent and assisted-living types, while the expected growth in households between the ages of 35 and 54 (1,665 households) will likely contribute to demand for family-oriented housing. The following graph (see Figure 12) illustrates the projected change in households by age between 2022 and 2027. Households by tenure for selected years are shown in the following table (see Table 11): Households by Tenure Household Type 2000 2010 2022 (Estimated) 2027 (Projected) Number Percent Number Percent Number Percent Number Percent PSA Owner-Occupied 25,696 54.0% 24,028 50.5% 24,727 45.1% 25,811 45.0% Renter-Occupied 21,845 46.0% 23,513 49.5% 30,079 54.9% 31,539 55.0% Total 47,541 100.0% 47,541 100.0% 54,806 100.0% 57,350 100.0% CSA Owner-Occupied 55,672 64.7% 51,436 59.8% 58,543 57.8% 61,284 58.0% Renter-Occupied 30,383 35.3% 34,618 40.2% 42,756 42.2% 44,397 42.0% Total 86,055 100.0% 86,054 100.0% 101,299 100.0% 105,681 100.0% North Carolina Owner-Occupied 2,597,616 69.4% 2,497,890 66.7% 2,797,501 65.6% 2,909,051 66.1% Renter-Occupied 1,147,527 30.6% 1,247,253 33.3% 1,464,993 34.4% 1,491,178 33.9% Total 3,745,143 100.0% 3,745,143 100.0% 4,262,494 100.0% 4,400,229 100.0% Source: 2000 Census; 2010 Census; ESRI; Urban Decision Group; Bowen National Research In 2022, owners comprise a majority (57.8%) of households in the CSA (New Hanover County), while renter households comprise a majority (54.9%) of households in the PSA (City of Wilmington). Between 2010 and 2022, the number of owner households in the CSA increased by 7,107, or an increase of 13.8%. By comparison, renter households in the CSA have increased by 8,138 households, or an increase of 23.5%, during the same time period. It is notable that over four-fifths (80.7%) of the growth in renter households in the CSA, or an increase of 6,566 households, has occurred in the PSA. Between 2022 and 2027, considerable growth is projected to occur among both owner households (4.7%) and renter households (3.8%) in the CSA. This represents an additional 3,072 900 -513 549 1,116 -917 175 1,509 621 -269 336 789 -608 166 -1,000 -500 0 500 1,000 1,500 2,000 2,500 3,000 3,500 75+ 65-74 55-64 45-54 35-44 25-34 <25 Change in Household Heads by Age (2022-2027)PSA CSAFigure 12 Table 11 BOWEN NATIONAL RESEARCH IV-8 4,382 total households, or an increase of 4.3%, in the CSA by 2027. Of these additional households, over three-fifths (62.6%), or 2,741 households, are projected to be owner households. The following graph (see Figure 13) illustrates household tenure within the PSA, CSA, and state of North Carolina. Median household income for selected years is shown in the following table (see Table 12): Median Household Income 2010 Census 2022 Estimated % Change 2010-2022 2027 Projected % Change 2022-2027 PSA $41,764 $54,746 31.1% $67,448 23.2% CSA $46,450 $63,926 37.6% $80,265 25.6% North Carolina $44,080 $63,994 45.2% $76,356 19.3% Source: 2010 Census; ESRI; Urban Decision Group; Bowen National Research The median household income of the CSA (New Hanover County) is estimated to be $63,926 in 2022, which is significantly higher than the median household income in the PSA ($54,746) and nearly identical to the state overall ($63,994). Between 2022 and 2027, the median household income in the CSA is projected to increase by 25.6%, at which time the median household income will be approximately $80,265. This represents an increase above that of the state of North Carolina (19.3%) and the PSA (23.2%). It is notable that, by 2027, the median household income in the CSA is projected to surpass the median household income of the state overall ($76,356). The projected increase in median household income over the next five years will likely have an impact on the housing market in New Hanover County and Wilmington. 45.1%57.8%65.6% 54.9%42.2%34.4% 0.0% 20.0% 40.0% 60.0% 80.0% 100.0% PSA CSA North Carolina Households by Tenure (2022) Owner-Occupied Renter-Occupied Figure 13 Table 12 BOWEN NATIONAL RESEARCH IV-9 The distribution of renter households by income is illustrated in Table 13: Renter Households by Income <$10,000 $10,000 - $19,999 $20,000 - $29,999 $30,000 - $39,999 $40,000 - $49,999 $50,000 - $59,999 $60,000 - $99,999 $100,000+ PSA 2010 4,174 (17.8%) 4,680 (19.9%) 3,978 (16.9%) 2,990 (12.7%) 2,384 (10.1%) 1,611 (6.9%) 2,953 (12.6%) 743 (3.2%) 2022 (Estimated) 3,742 (12.4%) 4,065 (13.5%) 4,490 (14.9%) 3,436 (11.4%) 3,555 (11.8%) 2,536 (8.4%) 5,053 (16.8%) 3,201 (10.6%) 2027 (Projected) 3,247 (10.3%) 3,160 (10.0%) 4,327 (13.7%) 3,401 (10.8%) 3,432 (10.9%) 2,831 (9.0%) 6,437 (20.4%) 4,706 (14.9%) Change 2022-2027 -495 (-13.2%) -905 (-22.3%) -163 (-3.6%) -35 (-1.0%) -123 (-3.5%) 295 (11.6%) 1,384 (27.4%) 1,505 (47.0%) CSA 2010 5,382 (15.5%) 6,346 (18.3%) 5,778 (16.7%) 4,673 (13.5%) 3,672 (10.6%) 2,419 (7.0%) 4,970 (14.4%) 1,376 (4.0%) 2022 (Estimated) 4,580 (10.7%) 5,170 (12.1%) 6,117 (14.3%) 4,928 (11.5%) 5,454 (12.8%) 3,488 (8.2%) 7,665 (17.9%) 5,355 (12.5%) 2027 (Projected) 3,672 (8.3%) 3,908 (8.8%) 5,625 (12.7%) 4,668 (10.5%) 5,238 (11.8%) 3,949 (8.9%) 9,824 (22.1%) 7,512 (16.9%) Change 2022-2027 -908 (-19.8%) -1,262 (-24.4%) -492 (-8.0%) -260 (-5.3%) -216 (-4.0%) 461 (13.2%) 2,159 (28.2%) 2,157 (40.3%) North Carolina 2010 195,552 (15.7%) 268,561 (21.5%) 209,437 (16.8%) 164,848 (13.2%) 128,251 (10.3%) 77,774 (6.2%) 154,380 (12.4%) 48,450 (3.9%) 2022 (Estimated) 140,609 (9.6%) 201,712 (13.8%) 187,127 (12.8%) 177,140 (12.1%) 157,109 (10.7%) 118,500 (8.1%) 298,927 (20.4%) 183,868 (12.6%) 2027 (Projected) 107,726 (7.2%) 159,053 (10.7%) 155,949 (10.5%) 160,455 (10.8%) 148,782 (10.0%) 128,261 (8.6%) 360,036 (24.1%) 270,915 (18.2%) Change 2022-2027 -32,883 (-23.4%) -42,659 (-21.1%) -31,178 (-16.7%) -16,685 (-9.4%) -8,327 (-5.3%) 9,761 (8.2%) 61,109 (20.4%) 87,047 (47.3%) Source: 2010 Census; ESRI; Urban Decision Group; Bowen National Research In 2022, an estimated share of 37.1% of all renter households in the CSA (New Hanover County) have annual incomes below $30,000. This represents a slightly greater share of such households than the state (36.2%). Within the PSA (City of Wilmington), the share of renter households earning less than $30,000 annually (40.8%) is greater than the CSA as a whole. As such, affordable rental housing plays a particularly important role in the area. Although the number of these low-income renter households is projected to decrease by 2,662 households in the CSA between 2022 and 2027, they will continue to comprise nearly three-tenths (29.8%) of all renter households in the CSA. It is notable that all household income segments in the CSA earning less than $50,000 annually are projected to decrease over the next five years. Conversely, renter households earning $50,000 or more annually are projected to increase by 4,777 households, or an increase of 28.9%. The projected trend of increased income among renter households is similar to that within both the PSA and state for the time period. Overall, this indicates that there will likely be an increase in demand for market-rate rental housing in the CSA, while affordable rental housing will remain a vital need for a significant share of renter households in New Hanover County. Table 13 BOWEN NATIONAL RESEARCH IV-10 20.3% 13.7% 10.8%10.9% 9.0% 20.4% 14.9% 17.1% 12.7% 10.5%11.8% 8.9% 22.1% 16.9% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% <$20,000 $20k- $29,999 $30k- $39,999 $40k- $49,999 $50k- $59,999 $60k- $99,999 $100,000+ Share of Renter Households by Income (2027) PSA CSA The following graph (see Figure 14) illustrates the distribution of renter households by income for 2027. The distribution of owner households by income is included in the following table (see Table 14): Owner Households by Income <$10,000 $10,000 - $19,999 $20,000 - $29,999 $30,000 - $39,999 $40,000 - $49,999 $50,000 - $59,999 $60,000 - $99,999 $100,000+ PSA 2010 1,066 (4.4%) 1,687 (7.0%) 2,164 (9.0%) 2,218 (9.2%) 2,228 (9.3%) 2,168 (9.0%) 5,327 (22.2%) 7,170 (29.8%) 2022 (Estimated) 780 (3.2%) 855 (3.5%) 1,213 (4.9%) 1,455 (5.9%) 1,801 (7.3%) 1,701 (6.9%) 4,704 (19.0%) 12,219 (49.4%) 2027 (Projected) 614 (2.4%) 539 (2.1%) 859 (3.3%) 1,176 (4.6%) 1,412 (5.5%) 1,301 (5.0%) 4,057 (15.7%) 15,852 (61.4%) Change 2022-2027 -166 (-21.3%) -316 (-37.0%) -354 (-29.2%) -279 (-19.2%) -389 (-21.6%) -400 (-23.5%) -647 (-13.8%) 3,633 (29.7%) CSA 2010 2,188 (4.3%) 3,600 (7.0%) 4,565 (8.9%) 4,898 (9.5%) 5,005 (9.7%) 5,023 (9.8%) 13,217 (25.7%) 12,941 (25.2%) 2022 (Estimated) 1,731 (3.0%) 2,041 (3.5%) 2,998 (5.1%) 3,438 (5.9%) 4,341 (7.4%) 4,004 (6.8%) 12,484 (21.3%) 27,505 (47.0%) 2027 (Projected) 1,288 (2.1%) 1,305 (2.1%) 2,174 (3.5%) 2,602 (4.2%) 3,133 (5.1%) 3,468 (5.7%) 11,748 (19.2%) 35,567 (58.0%) Change 2022-2027 -443 (-25.6%) -736 (-36.1%) -824 (-27.5%) -836 (-24.3%) -1,208 (-27.8%) -536 (-13.4%) -736 (-5.9%) 8,062 (29.3%) North Carolina 2010 131,928 (5.3%) 229,206 (9.2%) 255,998 (10.2%) 264,219 (10.6%) 246,324 (9.9%) 235,866 (9.4%) 610,174 (24.4%) 524,175 (21.0%) 2022 (Estimated) 86,315 (3.1%) 148,555 (5.3%) 178,900 (6.4%) 202,664 (7.2%) 200,172 (7.2%) 220,390 (7.9%) 690,748 (24.7%) 1,069,758 (38.2%) 2027 (Projected) 68,493 (2.4%) 118,965 (4.1%) 144,818 (5.0%) 170,691 (5.9%) 171,824 (5.9%) 205,597 (7.1%) 692,240 (23.8%) 1,336,424 (45.9%) Change 2022-2027 -17,822 (-20.6%) -29,590 (-19.9%) -34,082 (-19.1%) -31,973 (-15.8%) -28,348 (-14.2%) -14,793 (-6.7%) 1,492 (0.2%) 266,666 (24.9%) Source: 2010 Census; ESRI; Urban Decision Group; Bowen National Research Figure 14 Table 14 BOWEN NATIONAL RESEARCH IV-11 4.5%3.3%4.6%5.5%5.0% 15.7% 61.4% 4.2%3.5%4.2%5.1%5.7% 19.2% 58.0% 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% <$20,000 $20k- $29,999 $30k- $39,999 $40k- $49,999 $50k- $59,999 $60k- $99,999 $100,000+ Share of Owner Households by Income (2027) PSA CSA In 2022, an estimated share of 68.3% of owner households in the CSA (New Hanover County) earn $60,000 or more, while only 11.6% earn less than $30,000. These are nearly identical shares of such households when compared to the PSA (City of Wilmington) and slightly more weighted toward the higher earning households when compared to the state. Between 2022 and 2027, owner households in the CSA earning $100,000 or more are projected to increase by 8,062 households, or an increase of 29.3%. This represents the only income segment in the CSA projected to experience growth as all other income segments are projected to decline over the next five years. By 2027, the total number of owner households in the CSA is projected to increase by 2,741 households, or an increase of 4.7%. As such, the CSA will likely experience an overall increase in demand among for-sale product in the market and the income levels of owner households will need to be considered to ensure the appropriate mix of income-appropriate housing is available in the county. The following graph (see Figure 15) illustrates the distribution of owner households by income for 2027. Figure 15 BOWEN NATIONAL RESEARCH V-1 V. HOUSING SUPPLY ANALYSIS This housing supply analysis considers both rental and for-sale housing. Understanding the historical trends, market performance, characteristics, composition, and current housing choices provide critical information as to current market conditions and future housing potential. The housing data presented and analyzed in this section includes primary data collected directly by Bowen National Research and secondary data sources including American Community Survey (ACS), U.S. Census housing information, and data provided by various government entities and real estate professionals. While there are a variety of housing options offered in the County Study Area (CSA, New Hanover County), we focused our analysis on the most common housing alternatives. The housing structures included in this analysis are: • Rental Housing – Rental properties consisting of multifamily apartments (generally with 10 or more units within a structure) were identified and surveyed. • For-Sale Housing – For-sale housing alternatives, both recent sales activity and currently available supply, were inventoried. This data includes single- family homes, condominiums, mobile homes, and other traditional housing alternatives. It includes stand-alone product as well as homes within planned developments or projects. For the purposes of this analysis, the housing supply information is presented for the CSA (New Hanover County), as well as for the PSA (City of Wilmington), and compared with the state of North Carolina. Maps illustrating the location of various housing types are included throughout this section. BOWEN NATIONAL RESEARCH V-2 A. Overall Housing Supply (Secondary Data) This section of analysis on the area housing supply is based on secondary data sources such as the U.S. Census, American Community Survey and ESRI, and is provided for the CSA (New Hanover County), the PSA (City of Wilmington), and the state of North Carolina, when applicable. When possible, data from the 2020 Census is used in conjunction with ESRI estimates to provide the most up-to-date data. Note that some small variation of total numbers and percentages within tables may exist due to rounding. Housing Characteristics The estimated distribution of the area housing stock by tenure within the PSA, CSA, and the state of North Carolina for 2022 are summarized in the following table (see Table 15): Occupied and Vacant Housing Units by Tenure 2022 Estimates Total Occupied Owner Occupied Renter Occupied Vacant Total PSA Number 54,806 24,727 30,079 7,616 62,422 Percent 87.8% 45.1% 54.9% 12.2% 100.0% CSA Number 101,299 58,543 42,756 16,149 117,448 Percent 86.3% 57.8% 42.2% 13.7% 100.0% North Carolina Number 4,262,494 2,797,501 1,464,993 570,716 4,833,210 Percent 88.2% 65.6% 34.4% 11.8% 100.0% Source: 2010, 2020 Census; ESRI; Urban Decision Group; Bowen National Research In total, there are an estimated 117,448 housing units within the CSA (New Hanover County) in 2022. Based on ESRI estimates and 2020 Census data, of the 101,299 total occupied housing units in the CSA, 57.8% are owner occupied, while the remaining 42.2% are renter occupied. While owner- occupied units comprise a majority of the housing units in the CSA, there is a considerably higher share of renter-occupied housing units in the CSA when compared to the state of North Carolina (42.2% versus 34.4%). Approximately 13.7% of the housing units within the CSA are classified as vacant, which is a slightly higher share of vacant units when compared to the corresponding share in the state (11.8%). Vacant units are comprised of a variety of units including abandoned properties, rentals, for-sale, and seasonal housing units. Within the PSA (City of Wilmington), there are an estimated 62,422 total housing units in 2022. Of the 54,806 occupied units, a majority (54.9%) are renter occupied. This represents a significantly higher share of renter-occupied housing units when compared to the CSA (42.2%) and state (34.4%). Approximately 12.2% of the housing units in the PSA are classified as vacant, which is a slightly smaller share of vacant units when compared to the CSA (13.7%). Table 15 BOWEN NATIONAL RESEARCH V-3 The following graph (see Figure 16) illustrates households by tenure within the PSA, CSA, and state of North Carolina in 2022. Based on the 2016-2020 American Community Survey (ACS) data, the following is a distribution of all renter- and owner-occupied housing by units in structure for the PSA, CSA, and the state (see Table 16). Renter-Occupied Housing by Units in Structure Owner-Occupied Housing by Units in Structure 4 Units or Less 5 Units or More Mobile Home/ Other Total 4 Units or Less 5 Units or More Mobile Home/ Other Total PSA Number 12,579 14,620 758 27,957 24,658 801 184 25,643 Percent 45.0% 52.3% 2.7% 100.0% 96.2% 3.1% 0.7% 100.0% CSA Number 19,943 19,152 1,691 40,786 54,644 1,389 1,179 57,212 Percent 48.9% 47.0% 4.1% 100.0% 95.5% 2.4% 2.1% 100.0% North Carolina Number 717,984 490,802 172,957 1,381,743 2,319,782 30,299 299,768 2,649,849 Percent 52.0% 35.5% 12.5% 100.0% 87.5% 1.1% 11.3% 100.0% Source: American Community Survey (2016-2020); ESRI; Bowen National Research Compared to the state of North Carolina, the CSA (New Hanover County) has a much higher share (47.0% vs. 35.5%) of the rental supply within multifamily structures with five or more units and a slightly lower share (48.9% vs. 52.0%) of the rental supply within structures of four units or less. As such, multifamily rentals of five or more units in a structure are a critical component to meeting the housing needs of the renter households in New Hanover County. This is particularly true within the PSA (City of Wilmington) where over half (52.3%) of all renter-occupied structures are multifamily units of five or more units in a structure. Among owner-occupied housing in the CSA, a vast majority (95.5%) of the housing units are within structures of four units or less, with the remaining balance split between multifamily units (2.4%) and mobile homes or other similar structures (2.1%). 45.1%57.8%65.6% 54.9%42.2%34.4% 0.0% 20.0% 40.0% 60.0% 80.0% 100.0% PSA CSA North Carolina Households by Tenure (2022) Owner-Occupied Renter-Occupied Figure 16 Table 16 BOWEN NATIONAL RESEARCH V-4 In an effort to better understand the composition of the vacant housing units in New Hanover County, the following table (see Table 17) illustrates the shares of vacancies by type for the CSA based on 2020 American Community (ACS) estimates: Vacancy Status by Type – New Hanover County Vacancy Status Estimate Distribution For Rent 2,591 17.1% For-Sale Only 897 5.9% Renter/Sold, Not Occupied 1,749 11.6% Seasonal or Recreational 7,463 49.3% Other Vacant 2,427 16.0% Total 15,127 100.0% Source: American Community Survey (2016-2020) As the preceding table illustrates, nearly one-half (49.3%) of all vacant housing units in the county are classified as “seasonal or recreational” units. Due to the significant influence of tourism on the local economy and the nature of these short-term housing units, it is not unusual for them to experience high vacancy rates. ACS estimates indicate that there are 2,591 vacant rental units and 897 for-sale housing units within the county. Given the estimated total occupied units by tenure for 2022, the vacancy rate for the county’s rental housing supply is 5.7%, while the vacancy rate for the owner housing is 1.5%. It is worth noting that while the actual circumstances of the “Other Vacant” units is unknown, it is likely that some of these 2,427 units in the county consist of abandoned, blighted and uninhabitable units that could serve as adaptive reuse or renovation projects, or be razed (cleared) for new development. The following table (see Table 18) compares key housing age and conditions of each study area and the state based on 2016-2020 American Community Survey (ACS) data. Housing units built over 50 years ago (pre-1970), overcrowded housing (1.01+ persons per room), or housing that lacks complete indoor kitchens or bathroom plumbing are illustrated for each study area by tenure. It is important to note that some occupied housing units may have more than one housing issue. Housing Age and Conditions Pre-1970 Product Overcrowded Incomplete Plumbing or Kitchen Renter Owner Renter Owner Renter Owner Number Percent Number Percent Number Percent Number Percent Number Percent Number Percent PSA 6,325 22.6% 8,521 33.2% 596 2.1% 76 0.3% 677 2.4% 141 0.5% CSA 7,707 18.9% 11,434 20.0% 732 1.8% 163 0.3% 804 2.0% 221 0.4% North Carolina 338,936 24.5% 593,946 22.4% 56,231 4.1% 33,798 1.3% 22,723 1.6% 14,243 0.5% Source: American Community Survey (2016-2020); ESRI; Urban Decision Group; Bowen National Research Table 17 Table 18 BOWEN NATIONAL RESEARCH V-5 The age of the existing housing stock in the CSA (New Hanover County) is slightly more current compared to the state overall. Typically, homes that are newer, appraise at a higher value. The fact that critical elements of the house, like plumbing, electrical, the roof, and appliances are newer and therefore less likely to break down, can generate savings for a buyer. Additionally, well- maintained older homes within a historic district or that have landmark status, can further add value to housing. Alternatively, housing with deferred maintenance and in disrepair that are often associated with older homes can become a detriment to value. With just over 800 substandard units (lacking complete plumbing or kitchens) in the PSA (Wilmington) and 1,025 such units in the overall CSA (New Hanover County), housing conditions remain a challenge for a portion of the local housing market. The following table (see Table 19) compares key household income, housing cost, and housing affordability metrics of each study area and the state. It should be noted that cost burdened households pay over 30% of income toward housing costs, while severe cost burdened households pay over 50% of income toward housing. Household Income, Housing Costs and Affordability 2022 Households Median Household Income Estimated Median Home Value Average Gross Rent Share of Cost Burdened Households* Share of Severe Cost Burdened Households** Renter Owner Renter Owner PSA 54,806 $54,746 $314,417 $1,065 50.4% 23.7% 26.5% 9.8% CSA 101,299 $63,926 $312,103 $1,108 49.1% 23.9% 26.5% 10.0% North Carolina 4,262,494 $63,994 $238,552 $1,005 42.7% 19.2% 20.4% 7.7% Source: American Community Survey (2016-2020); ESRI *Paying more than 30% of income toward housing costs **Paying more than 50% of income toward housing costs The CSA’s (New Hanover County) 2022 estimated median home value of $312,103 is well above the state’s estimated value of $238,552, despite very comparable median household incomes. In addition, the average gross rent of $1,108 for the CSA is higher than the state’s average gross rent of $1,005. As such, the shares of cost-burdened renter households (49.1%) and owner households (23.9%) in the CSA are higher than the corresponding shares for the state (42.7% and 19.2%, respectively). Furthermore, over one-fourth (26.5%) of renter households and one-tenth (10.0%) of owner households in the CSA are severe cost burdened. Within the PSA (City of Wilmington), the shares of households with affordability issues closely resemble the shares within the CSA. Overall, the county has an estimated 20,993 renter households and 13,992 owner households that are cost burdened. With an estimated total of nearly 35,000 cost burdened households (17,184 severe cost burdened) in the county, affordable housing alternatives should be part of future housing solutions. Table 19 BOWEN NATIONAL RESEARCH V-6 Based on 5-year ACS data, the following table (see Table 20) illustrates the change in gross rents in New Hanover County between 2014 and 2020. Note that rents paid are tenant portions of rents and do not include government subsidies. Gross Rents in CSA (New Hanover County) Gross Rent 2014 2020 Change from 2014 to 2020 Number of Units Percent of Units Number of Units Percent of Units Absolute Change Percent Change Less than $300 1,409 3.8% 1,394 3.4% -15 -1.1% $300-$499 1,876 5.1% 2,110 5.2% 234 12.5% $500-$749 7,954 21.5% 4,159 10.2% -3,795 -47.7% $750-$999 10,752 29.1% 9,419 23.1% -1,333 -12.4% $1,000-$1,499 10,931 29.5% 16,143 39.6% 5,212 47.7% $1,500+ 2,883 7.8% 5,906 11.2% 3,023 104.9% No Cash Rent 1,197 3.2% 1,655 3.3% 458 38.3% Total 37,002 100.0% 40,786 4.1% 3,784 10.2% Median (dollars) $902 - $1,060 - $158 17.5% Source: American Community Survey (2010-2014), (2016-2020); ESRI; Urban Decision Group; Bowen National Research As the preceding table illustrates, nearly one-third (30.4%) of rental units in the CSA (New Hanover County) had rents less than $750 per month in 2014. In 2020, the share of units with gross rents less than $750 declined to 18.8%, or a reduction of 3,576 units. Conversely, the share of units with rents in excess of $1,000 per month increased by 13.5 percentage points between 2014 and 2020. As such, over half (50.8%) of the rental units in 2020 had gross rents of $1,000 or more, with the largest overall share (39.6%) having rents between $1,000 and $1,500. This shift from lower to higher gross rents resulted in a median rent increase of $158 between 2014 and 2020, or a 17.5% increase in median rent. While this illustrates that premium rental rates are obtainable in the CSA, this results in a significant share of cost burdened and severe cost burdened renter households in New Hanover County. Table 20 BOWEN NATIONAL RESEARCH V-7 B. Housing Supply Analysis (Bowen National Research Survey) Multifamily Rental Housing Between September and December of 2022, Bowen National Research surveyed (by telephone) numerous multifamily rental housing projects within New Hanover County. Data collected during our survey is presented in aggregate format for the Primary Study Area (PSA, City of Wilmington) and County Study Area (CSA, New Hanover County). While these rentals do not represent all multifamily rental housing projects in the market, they provide significant insight as to the market conditions of commonly offered multifamily rental product. We believe this survey represents a good base from which characteristics and trends of multifamily rental housing can be evaluated and from which conclusions can be drawn. Projects that were identified, inventoried, and surveyed operate under a number of affordable housing programs including Low-Income Housing Tax Credit (LIHTC), HUD Section 8, and Rural Development Section 515 programs. Such programs are structured to serve households with incomes of up to 80% of Area Median Household Income. Market-rate projects were also included. Market- rate properties do not operate with any programmatic income or rent limits and instead, operate on the unrestricted open market. Managers and leasing agents at each project were surveyed to collect a variety of property information including vacancies, rental rates, design characteristics, amenities, utility responsibility, and other features. A total of 90 multifamily apartment projects were surveyed within the CSA (New Hanover County). This survey was conducted to establish the overall strength of the rental market and to help identify potential housing needs in the market. Overall, a total of 674 vacant units were identified among the 17,035 multifamily rental units surveyed in the CSA, resulting in an occupancy rate of 96.0%. The overall occupancy rate of 96.3% in the PSA (City of Wilmington) is slightly higher than in the CSA. Because the multifamily units surveyed in the PSA comprise over four-fifths (82.2%) of the total units surveyed for the CSA, the county-wide data is primarily driven by the PSA. The following table (see Table 21) summarizes the surveyed multifamily rental supply for the PSA and CSA. Note, some properties operate as mixed-income (e.g., market-rate/Tax Credit) projects that concurrently serve households at various income levels. BOWEN NATIONAL RESEARCH V-8 Project Type Current Survey - 2022 2020 Occupancy Rate Occupancy Rate Change 2020 to 2022 Projects Surveyed Total Units Vacant Units Occupancy Rate PSA (City of Wilmington) Market-rate 52 11,449 510 95.5% 95.2% 0.3% Market-rate/Tax Credit 1 360 5 98.6% 63.5% 35.1% Tax Credit 11 1,143 0 100.0% 97.3% 2.7% Tax Credit/ Government-Subsidized 3 223 0 100.0% 98.7% 1.3% Market-rate/Tax Credit/ Government-Subsidized 1 204 0 100.0% - - Government-Subsidized 6 629 0 100.0% 99.7% 0.3% Total 74 14,008 515 96.3% 95.7% 0.6% CSA (New Hanover County) Market-rate 66 14,336 669 95.3% 95.5% -0.2% Market-rate/Tax Credit 1 360 5 98.6% 63.5% 35.1% Tax Credit 13 1,283 0 100.0% 97.7% 2.3% Tax Credit/ Government-Subsidized 3 223 0 100.0% 98.7% 1.3% Market-rate/Tax Credit/ Government-Subsidized 1 204 0 100.0% - - Government-Subsidized 6 629 0 100.0% 99.7% 0.3% Total 90 17,035 674 96.0% 95.9% 0.1% Source: Bowen National Research Overall, the CSA (New Hanover County) has 674 vacant units resulting in an overall occupancy rate of 96.0%. This is nearly identical to the 95.9% occupancy rate from the original (2020) survey of this market. While the overall occupancy rate has gone virtually unchanged over the past two years, it is important to point out that all Tax Credit and government-subsidized projects are fully occupied within the county. All 674 vacancies in the county are market-rate units. Occupancy characteristics and trends within the PSA (City of Wilmington) are very similar to overall county metrics. In typical well-balanced rental housing markets, the occupancy rate is generally between 94.0% and 96.0%. As such, the market-rate projects appear to be the only project type in the PSA and CSA operating with an optimal level of vacancies. There are virtually no vacancies among the Tax Credit and government-subsidized projects in the PSA, and as such, many low-income residents must seek housing alternatives within market-rate multifamily rental units, non-conventional housing units (i.e., mobile home, single-family home, duplex, etc.) or buying a home. These options, which are typically more costly, can result in a higher share of cost burdened or severe cost burdened households in the PSA and CSA. Each multifamily rental housing segment is evaluated in the following pages. Table 21 BOWEN NATIONAL RESEARCH V-9 Market-rate Housing Within the CSA (New Hanover County), a total of 90 projects were surveyed. Of these, 66 properties exclusively offer market-rate units, while two mixed- income properties (same properties as the PSA) offer at least one market-rate unit. Of the 74 total properties surveyed in the PSA (City of Wilmington), 52 properties exclusively offer market-rate units, while two additional mixed- income properties offer at least one market-rate unit. The following tables (see Tables 22 and 23) summarize the units by bedroom/bathroom type for the PSA and CSA. Market-rate Bedroom Baths Current Survey - 2022 2020 Survey % Change Median Collected Rent Units Distribution Vacant Units % Vacant Median Collected Rent % Vacant Median Collected Rent PSA (City of Wilmington) Studio 1.0 250 2.1% 32 12.8% $1,336 2.2% $875 52.7% One-Bedroom 1.0 3,653 31.0% 156 4.3% $1,470 5.6% $950 54.7% One-Bedroom 1.5 322 2.7% 12 3.7% $1,610 7.3% $959 67.9% Two-Bedroom 1.0 774 6.6% 28 3.6% $1,150 4.0% $828 38.9% Two-Bedroom 1.5 599 5.1% 14 2.3% $1,345 1.3% $999 34.6% Two-Bedroom 2.0 4,393 37.3% 189 4.3% $1,815 5.0% $1,210 50.0% Two-Bedroom 2.5 369 3.1% 12 3.3% $1,891 10.9% $1,445 30.9% Three-Bedroom 1.5 20 0.2% 0 0.0% $1,250 10.0% $1,315 -4.9% Three-Bedroom 2.0 1,002 8.5% 50 5.0% $1,997 4.4% $1,300 53.6% Three-Bedroom 2.5 129 1.1% 8 6.2% $1,667 0.7% $1,320 26.3% Three-Bedroom 3.0 191 1.6% 11 5.8% $2,100 0.8% $1,515 38.6% Three-Bedroom 3.5 22 0.2% 0 0.0% $2,535 23.5% $1,945 30.3% Four-Bedroom 4.0 50 0.4% 3 6.0% $3,120 - - - Total Market-rate 11,774 100.0% 515 4.4% - 5.0% - - Source: Bowen National Research Market-rate Bedroom Baths Current Survey - 2022 2020 Survey % Change Median Collected Rent Units Distribution Vacant Units % Vacant Median Collected Rent % Vacant Median Collected Rent CSA (New Hanover County) Studio 1.0 250 1.7% 32 12.8% $1,336 2.2% $875 52.7% One-Bedroom 1.0 4,367 29.8% 205 4.7% $1,464 5.4% $955 53.3% One-Bedroom 1.5 322 2.2% 12 3.7% $1,610 7.3% $959 67.9% Two-Bedroom 1.0 774 5.3% 28 3.6% $1,150 3.5% $920 25.0% Two-Bedroom 1.5 599 4.1% 14 2.3% $1,345 1.3% $1,005 33.8% Two-Bedroom 2.0 6,179 42.1% 277 4.5% $1,773 4.7% $1,225 44.7% Two-Bedroom 2.5 369 2.5% 12 3.3% $1,891 10.9% $1,455 30.0% Three-Bedroom 1.5 20 0.1% 0 0.0% $1,250 10.0% $1,315 -4.9% Three-Bedroom 2.0 1,297 8.8% 70 5.4% $1,919 4.0% $1,300 47.6% Three-Bedroom 2.5 129 0.9% 8 6.2% $1,667 0.7% $1,320 26.3% Three-Bedroom 3.0 283 1.9% 13 4.6% $2,200 1.3% $1,515 45.2% Three-Bedroom 3.5 22 0.2% 0 0.0% $2,535 23.5% $1,945 30.3% Four-Bedroom 4.0 50 0.3% 3 6.0% $3,120 - - - Total Market-rate 14,661 100.0% 674 4.6% - 4.7% - - Source: Bowen National Research Table 22 Table 23 BOWEN NATIONAL RESEARCH V-10 The 674 identified vacant units in the CSA (New Hanover County) result in a 4.6% vacancy rate, nearly identical to the 4.7% rate among the market-rate supply from 2020. As such, the market-rate supply has remained stable and healthy. Among the two most common bedroom/bathroom configurations, vacancy rates have declined. One-bedroom/one-bathroom vacancy declined from 5.4% in 2020 to 4.7% in 2022, while two-bedroom/two-bathroom vacancy declined from 4.7% to its current rate of 4.5%. These trends illustrate increasing demand for these common unit types. From 2020 to 2022, the median collected rent for nearly all bedroom types in the CSA increased substantially. Among the most common unit configurations, median collected rent increased by 53.3% ($955 to $1,464) in the one-bedroom, one-bath units, while median collected rent among the two-bedroom, two-bath units increased by 44.7% ($1,225 to $1,773) during the past two years. Median collected rents among the three-bedroom, two-bath units, which also comprise a significant share of the overall supply in the PSA, increased by 47.6% ($1,300 to $1,919). With the exception of the three-bedroom, one-and-a-half bath units, median collected rents have increased between 25.0% and 67.9% in the CSA depending on unit configuration. While the overall occupancy rate in the CSA (95.4%) is generally considered healthy, the rapid increase in median collected rents illustrates not only the ability to obtain premium rents in the market, but the high level of demand for market-rate apartments in the area. Additionally, as some configurations have above average occupancy rates, such as the two-bedroom, one-and-a-half bath units (97.7%), development opportunities may exist for a variety of bedroom/bathroom configurations of market-rate units in the market. The following graph (see Figure 17) illustrates median market-rate rents among common bedroom types offered in the PSA and CSA. $1,470 $1,150 $1,815 $1,997 $1,464 $1,150 $1,773 $1,919 $0 $250 $500 $750 $1,000 $1,250 $1,500 $1,750 $2,000 1-Br/1.0-Ba 2-Br/1.0-Ba 2-Br/2.0-Ba 3-Br/2.0-Ba Market-Rate Median Collected Rents PSA CSA Figure 17 BOWEN NATIONAL RESEARCH V-11 Tax Credit Housing Tax Credit housing is developed under the Low-Income Housing Tax Credit (LIHTC) program. Typically, these projects serve households with incomes of up to 60% of Area Median Household Income (AMHI), although recent federal legislation allows for some units to target households with incomes of up to 80% of AMHI. A total of 18 surveyed multifamily projects in the CSA (New Hanover County) offer Low-Income Housing Tax Credit (LIHTC or Tax Credit) units. Most (16) of these surveyed projects are located within the PSA (City of Wilmington). Five projects operate as mixed-income properties, with market-rate and/or government-subsidized units. It is worth noting that six of the 18 properties surveyed are age-restricted. This section focuses only on the non-subsidized Tax Credit units (units that do not have a concurrent subsidy), while the Tax Credit units operating with concurrent subsidies are discussed in the government-subsidized section of this report (starting on page V-12). The following table (see Table 24) summarizes the breakdown of non- subsidized Tax Credit units surveyed for each study area. Tax Credit Bedroom Baths Current Survey - 2022 2020 Survey % Change Median Collected Rent Units Distribution Vacancy % Vacant Median Collected Rent % Vacant Median Collected Rent PSA (City of Wilmington) One-Bedroom 1.0 290 24.6% 0 0.0% $661 3.1% $610 8.4% Two-Bedroom 1.0 327 27.7% 0 0.0% $760 3.3% $704 8.0% Two-Bedroom 1.5 211 17.9% 0 0.0% $760 5.2% $715 6.3% Two-Bedroom 2.0 144 12.2% 0 0.0% $750 0.0% $698 7.4% Three-Bedroom 1.0 67 5.7% 0 0.0% $845 2.7% $810 4.3% Three-Bedroom 2.0 124 10.5% 0 0.0% $904 0.0% $715 26.4% Four-Bedroom 1.5 16 1.4% 0 0.0% $770 0.0% $757 1.7% Total Tax Credit 1,179 100.0% 0 0.0% - 2.9% - - CSA (New Hanover County) One-Bedroom 1.0 348 26.4% 0 0.0% $662 2.3% $610 8.5% Two-Bedroom 1.0 393 29.8% 0 0.0% $760 2.8% $654 16.2% Two-Bedroom 1.5 211 16.0% 0 0.0% $760 5.2% $665 14.3% Two-Bedroom 2.0 144 10.9% 0 0.0% $750 0.0% $698 7.4% Three-Bedroom 1.0 67 5.1% 0 0.0% $845 2.7% $810 4.3% Three-Bedroom 2.0 132 10.0% 0 0.0% $904 0.0% $755 19.7% Four-Bedroom 1.5 16 1.2% 0 0.0% $770 0.0% $757 1.7% Four-Bedroom 2.0 8 0.6% 0 0.0% $1,100 0.0% $995 10.6% Total Tax Credit 1,319 100.0% 0 0.0% - 2.5% - - Source: Bowen National Research Table 24 BOWEN NATIONAL RESEARCH V-12 The non-subsidized Tax Credit units are 100.0% occupied within the PSA (City of Wilmington) and CSA (New Hanover County). By comparison, the vacancy rate in the PSA for the Tax Credit product in 2020 was 2.9%, and although this still represented a high occupancy rate of 97.1%, some units were available for low-income households in the area. Although not illustrated in the table, the demand for this type of housing is further supported by the fact that the 12 of the surveyed Tax Credit projects in the CSA maintain a wait list, with up to 100 or more households on any one wait list. Additionally, wait lists among the age- restricted properties ranged from 24 to 70 households. Although the median rents of the Tax Credit supply in the PSA and CSA are well below the median rents of the market-rate multifamily supply, which is to be expected, median collected rents among all bedroom types have increased since 2020. Among the five most common bedroom/bathroom configurations, median Tax Credit rents have increased between 7.4% and 19.7% since 2020. Despite these increases, Tax Credit housing remains a value in the market, which is likely contributing to its strong level of demand. The following graph (see Figure 18) illustrates the median non-subsidized Tax Credit rents among common bedroom types offered in the PSA and CSA. Government-Subsidized Housing A total of 10 projects were surveyed within the county that offer at least some units that operate with a government subsidy, of which four projects also operate with Tax Credits. It is worth noting that five of these projects are age restricted. Government-subsidized housing typically requires residents to pay 30% of their adjusted gross income toward rent and generally qualifies households with incomes of up to 50% of Area Median Household Income (AMHI). Note that all of the government-subsidized projects that were surveyed are located in the PSA (City of Wilmington), therefore, the following tables only illustrate the supply in the PSA. $661 $760 $760 $904 $662 $760 $760 $904 $0 $200 $400 $600 $800 $1,000 1-Br/1.0-Ba 2-Br/1.0-Ba 2-Br/1.5-Ba 3-Br/2.0-Ba Tax Credit Median Collected Rents PSA CSA Figure 18 BOWEN NATIONAL RESEARCH V-13 The government-subsidized product surveyed in the PSA (City of Wilmington) is summarized in the following table (see Table 25). Subsidized Tax Credit Bedroom Baths Current Survey – 2022 % Vacant 2020 Units Distribution Vacancy % Vacant PSA (City of Wilmington) One-Bedroom 1.0 57 13.4% 0 0.0% 2.2% Two-Bedroom 1.0 218 51.2% 0 0.0% 1.7% Two-Bedroom 1.5 28 6.6% 0 0.0% - Two-Bedroom 2.0 11 2.6% 0 0.0% 0.0% Two-Bedroom 2.5 1 0.2% 0 0.0% - Three-Bedroom 1.0 41 9.6% 0 0.0% 0.0% Three-Bedroom 1.5 36 8.5% 0 0.0% 0.0% Three-Bedroom 2.0 3 0.7% 0 0.0% 0.0% Three-Bedroom 2.5 19 4.5% 0 0.0% - Four-Bedroom 2.0 12 2.8% 0 0.0% 0.0% Total Subsidized Tax Credit 426 100.0% 0 0.0% 1.2% Government-Subsidized Bedroom Baths Current Survey - 2022 % Vacant 2020 Units Distribution Vacancy % Vacant PSA (City of Wilmington) Studio 1.0 82 13.0% 0 0.0% 0.0% One-Bedroom 1.0 346 55.0% 0 0.0% 0.5% Two-Bedroom 1.0 149 23.7% 0 0.0% 0.0% Three-Bedroom 1.5 52 8.3% 0 0.0% 0.0% Total Subsidized 629 100.0% 0 0.0% 0.3% Source: Bowen National Research Within the PSA, both the subsidized Tax Credit units and the government- subsidized units are fully occupied. By comparison, the occupancy rate for the subsidized Tax Credit units in 2020 was 98.8%, while the government- subsidized units had an occupancy rate of 99.7% at that time. Of the 10 projects surveyed, nine projects maintain wait lists. Wait list among the age-restricted properties ranged from eight to 52 households, while general-occupancy projects have wait lists of up to 166 households and time estimates of up to two or years or more. It should also be noted that one project which is restricted to the homeless and veterans currently maintains a wait list of approximately 150 households. As such, very low-income renter households (earning 50% or less of AMHI) have very few options available for subsidized housing. Potential renters likely must choose from either the non-subsidized multifamily housing options or non-conventional housing options, such as single-family homes and duplexes. Based on this analysis, it is clear that there is pent-up demand for subsidized housing in the county. A map illustrating the location of all multifamily apartments surveyed within New Hanover County is included on the following page. Table 25 BOWEN NATIONAL RESEARCH V-15 C. For-Sale Housing Supply 1. Introduction Bowen National Research obtained for-sale housing data from the local Multiple Listing Service provider for the PSA (City of Wilmington) and CSA (New Hanover County). The historical and available for-sale data which we collected and analyzed includes the distribution of housing by bedrooms and price point. While this sales/listing data does not include all for-sale residential transactions or supply in the study areas, it does consist of the majority of such product and therefore, it is representative of market norms for for-sale housing product. The following table (see Table 26) summarizes the available and recently sold homes for each study area: Sold/Currently Available For-Sale Housing Supply Status Number of Homes Median Price 2022 2020 PSA (City of Wilmington) Sold* 5,309 $328,000 $248,000 Available** 309 $464,865 $399,900 CSA (New Hanover County) Sold* 12,359 $343,000 $262,000 Available** 816 $519,923 $399,900 Source: Multiple Listing Service *Sales from July 1, 2020 to November 2, 2022 **As of December 2, 2022 Within the CSA (New Hanover County), 12,359 homes were sold between July 2020 and November 2022 at a median price of $343,000. This represents an annual average of approximately 5,300 homes sold in the CSA during this time period and an increase over the annual average between 2016 and 2020 (4,818). In addition, the median price of the homes sold in the CSA increased by 30.9% compared to the median price between 2016 and 2020 ($262,000). The available for-sale housing stock consists of 816 units with a median price of nearly $520,000. These available homes in the CSA yield a vacancy/availability rate of 1.4%, which is a decrease from the rate in 2020 (1.6%). Table 26 BOWEN NATIONAL RESEARCH V-16 Within the PSA (City of Wilmington), over 5,300 homes were sold between July 2020 and November 2022 at a median price of $328,000. This equates to an average of approximately 2,275 homes sold in the PSA annually during this time period, which is an increase over the annual average between January 2016 and June 2020 (1,974). Additionally, the median price of the homes sold in the PSA have increased by 32.3% compared to the median price between 2016 and 2020 ($248,000). The PSA’s available for-sale housing stock consists of 309 units with a median price of nearly $465,000. Overall, the 309 available homes in the PSA yield a vacancy/availability rate of 1.2% when compared to the number of owner-occupied units in the PSA (24,727). This vacancy rate is below the normal range of 2.0% to 3.0% for a well-balanced for-sale/owner-occupied market, and represents a slight decrease in the vacancy rate compared to 2020 (1.3%). This low vacancy rate is an indication of a likely shortage of for-sale housing in the PSA and can contribute to an increase in home prices. Overall, it appears that the PSA and CSA have a shortage of for-sale housing with a trend of increased pricing. In general, this apparent shortage of for- sale housing will likely make it difficult for many households to locate homes that suit their individual needs and contribute to continued increases in pricing. For low-income households and many first-time homebuyers, these factors will create affordability issues within the for-sale housing market. With the projected increase in the number of households in the PSA (4.6%) and CSA (4.3%) over the next five years, it will be critical that additional for-sale product is introduced into the market in order to accommodate demand and possibly slow the increase in pricing. 2. Historical For-Sale Analysis Through the local Multiple Listing Service, we identified 34,040 housing units within the CSA (New Hanover County) that were sold between January 2016 and November 2022. Of these, 14,191 (41.7%) were within the PSA (City of Wilmington). In an effort to understand the health of a for- sale housing market, it is important to understand numerous historical metrics of the for-sale housing supply, including trends in both annual home sales volume (number of homes sold) and annual median home sale prices. The following table (see Table 27) illustrates the annual sales activity from January 2016 to November 2022 for the PSA and CSA, with full year sales volume projections for 2022 shown in parenthesis. BOWEN NATIONAL RESEARCH V-17 Sales History by Year (2016 through 2022*) Year PSA (City of Wilmington) CSA (New Hanover County) Number Sold Percent Change Median Sale Price Percent Change Number Sold Percent Change Median Sale Price Percent Change 2016 1,904 - $220,000 - 4,568 - $238,125 - 2017 1,872 -1.7% $240,000 9.1% 4,788 4.8% $253,000 6.2% 2018 2,005 7.1% $249,300 3.9% 4,820 0.7% $265,000 4.7% 2019 2,133 6.4% $259,275 4.0% 5,055 4.9% $277,500 4.7% 2020 1,804 -15.4% $275,000 6.1% 4,404 -12.9% $285,000 2.7% 2021 2,635 46.1% $305,000 10.9% 6,138 39.4% $325,000 14.0% 2022* 1,838* (2,206) -16.3% $375,000 23.0% 4,267* (5,120) -16.6% $390,000 20.0% Source: Multiple Listing Service *As of Nov. 2, 2022 (Full year projection shown in parenthesis) The number of homes sold on an annual basis in the CSA (New Hanover County) averaged 4,962 homes between 2016 and 2021. The number of homes sold each year in the CSA increased year over year with the exception of a decrease in 2020 (12.9%). In 2021, over 6,100 homes were sold in the CSA, which represents a 39.4% increase over 2020. Based on data through November 2, 2022, it is projected that approximately 5,120 homes will be sold in the CSA in 2022 at the current rate. While this represents a 16.6% decrease from 2021, the projected number of homes sold for the current year would surpass the six-year average by 3.2%. Regardless of recent fluctuations in sales volume, the median sale price for homes in the CSA increased each year during the time period. Overall, the median home price in the CSA increased by 63.8% since 2016, and as of November 2022 the current median price for homes sold in the CSA was $390,000. (see Figure 19) By comparison, the number of homes sold on an annual basis in the PSA (City of Wilmington) averaged 2,059 homes between 2016 and 2021. While the number of homes sold in the PSA in 2020 (1,804) was significantly less than the average, this is likely due to the economic effects that resulted from the COVID-19 pandemic that occurred during that year. In 2021, the number of homes sold (2,635) increased by 46.1% year over year in the PSA and surpassed the six-year average by 28.0%. As of November 2, 2022, over 1,800 homes have been sold in the PSA which equates to an annualized projection of 2,206 home sales for the current year. Regardless of the number of homes sold in the PSA each year since 2016, the median sale price increased every year. These annual increases in median price ranged between 3.9% (2018) and 10.9% (2021). As of November 2022, the median price of homes sold in the PSA was $375,000, or a 23.0% increase over the median price in 2021. As such, the largest year over year increases in median sale prices in the PSA occurred in the last two years (including 2022). Overall, the median sale price in the PSA increased by 70.5% since 2016. (see Figure 20) Table 27 BOWEN NATIONAL RESEARCH V-18 *Through November 2, 2022 *Through November 2, 2022 The distribution of homes recently sold between July 1, 2020 and November 2, 2022 by price point for each study area is summarized in the following table (see Table 28). Sales History by Price (July 1, 2020 to November 2, 2022) Sale Price PSA (City of Wilmington) CSA (New Hanover County) Number Sold Percent of Supply Average Days on Market Number Sold Percent of Supply Average Days on Market Up to $99,999 77 1.5% 16 86 0.7% 17 $100,000 to $149,999 290 5.5% 15 325 2.6% 15 $150,000 to $199,999 638 12.0% 15 906 7.3% 15 $200,000 to $249,999 667 12.6% 15 1,510 12.2% 14 $250,000 to $299,999 656 12.4% 19 1,871 15.1% 15 $300,000+ 2,981 56.1% 22 7,661 62.0% 22 Total 5,309 100.0% 20 12,359 100.0% 19 Source: Multiple Listing Service $225,000 $250,000 $275,000 $300,000 $325,000 $350,000 $375,000 $400,000 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 2016 2017 2018 2019 2020 2021 2022* CSA Annual Sales/Median Price (2016-2022*) Number Sold Median Price $200,000 $225,000 $250,000 $275,000 $300,000 $325,000 $350,000 $375,000 $400,000 0 500 1,000 1,500 2,000 2,500 3,000 2016 2017 2018 2019 2020 2021 2022* PSA Annual Sales/Median Price (2016-2022*) Number Sold Median Price Figure 20 Figure 19 Table 28 BOWEN NATIONAL RESEARCH V-19 Over half (56.1%) of the recently sold product within the PSA (City of Wilmington) has pricing above $300,000, which is an increase in the share of such product compared to the time period between 2016 and 2020 (36.0%). In the CSA (New Hanover County), the share of recently sold product priced above $300,000 (62.0%) is even greater than within the PSA. By contrast, the share of recently sold product priced below $150,000 in the PSA (7.0%) has decreased significantly compared to the time period between 2016 and 2020 (20.1%). The lack of recent sales among this lower priced product (less than $150,000) is even more pronounced in the CSA where such sales only account for 3.3% of the 12,359 home sales since July 2020. Of the recently sold product in the PSA priced between $150,000 and $300,000, there is a relatively even distribution of shares (between 12.0% and 12.6%) among individual price points. In the CSA, there is a wider distribution of shares, with product between $250,000 and $299,999 comprising the largest share (15.1%). Overall, the recent home sales in the PSA and CSA have been dominated by higher priced product (over $300,000), with the lower priced product (less than $150,000) comprising a very small share. Additionally, it appears this trend has increased since 2020. The distribution of recent home sales by price point within each study area is illustrated in the following graph (see Figure 21). 77 290 638 667 656 2,981 86 325 906 1,510 1,871 7,661 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 Up to $99,999 $100k- $149,999 $150k- $199,999 $200k- $249,999 $250k- $299,999 $300,000+ Sales History by Price (July 2020 to November 2022) PSA CSA Figure 21 BOWEN NATIONAL RESEARCH V-20 The following table (see Table 29) illustrates recent home sales by bedroom type: Sales History by Bedroom Type (July 1, 2020 to November 2, 2022) Bedrooms Number Sold Average Baths Average Square Feet Average Year Built Price Range Median Sale Price Median Price per Sq. Ft. Average Days on Market PSA (City of Wilmington) One-Br. 165 1.25 683 1979 $44,900 - $575,000 $235,500 $370.37 28 Two-Br. 1,317 2.0 1,171 1982 $56,000 - $1,800,000 $206,000 $180.60 17 Three-Br. 2,454 2.5 1,738 1982 $65,000 - $5,225,000 $320,000 $190.30 16 Four-Br. 1,108 3.25 2,752 1990 $95,000 - $3,995,000 $475,000 $188.37 24 Five+-Br. 265 4.5 4,066 1990 $145,000 - $5,000,000 $740,000 $200.78 45 Total 5,309 2.5 1,893 1984 $44,900 - $5,225,000 $328,000 $189.71 20 CSA (New Hanover County) One-Br. 424 1.25 633 1982 $44,900 - $805,000 $265,000 $449.01 24 Two-Br. 2,022 2.0 1,145 1985 $56,000 - $1,800,000 $230,000 $199.18 17 Three-Br. 6,229 2.5 1,718 1992 $65,000 - $5,225,000 $320,000 $192.31 16 Four-Br. 2,936 3.5 2,584 2001 $95,000 - $9,500,000 $450,000 $183.20 23 Five+-Br. 748 4.5 3,537 2002 $145,000 - $10,000,000 $629,571 $188.41 33 Total 12,359 2.5 1,903 1993 $44,900 - $10,000,000 $343,000 $192.67 19 Source: Multiple Listing Service Within the CSA (New Hanover County), over half (50.4%) of recent home sales have been three-bedroom units. Four-bedroom units (23.8%) and two- bedroom units (16.4%) comprise the next largest shares of recent sales in the CSA. While three-bedroom units in the CSA have the same median sale price ($320,000) as three-bedroom homes in the PSA, the median price per square foot of these homes in the CSA ($192.31) is slightly higher than those in the PSA ($190.30). It is interesting to note that, although the overall median sale price ($343,000) and median price per square foot ($192.67) of recent home sales in the CSA are higher than that in the PSA, the median sale price and price per square foot of four- and five-bedroom homes in the CSA are less than the PSA. As is the case with the PSA, the very low average number of days on market (19 days) and increases in pricing in the CSA indicates a strong level of demand among for-sale product in New Hanover County, as a whole. Among the recent homes sold in the PSA (City of Wilmington), the largest share (46.2%) has been three-bedroom homes, which average 1,738 square feet in size, have an average year built of 1982, and a median sale price of $320,000. Two-bedroom homes, which constitute the second largest share (24.8%) of recent home sales in the PSA are, on average, much smaller (1,171 square feet) and have a lower median sale price ($206,000). Four- bedroom homes comprise over one-fifth (20.9%) of recent sales, despite having a significantly greater median sale price ($475,000). This is due primarily to the much larger average size (2,752 square feet) of these homes. While the overall median price of recent home sales (July 2020 to November 2022) increased by 32.3% over the previous time period Table 29 BOWEN NATIONAL RESEARCH V-21 (January 2016 to June 2020), the largest increase occurred among the five- or-more-bedroom homes (42.3%). Because this bedroom type comprises a small share (5.0%) of the overall sales in the PSA, much of the overall median price increase can be attributed to the increases among two- bedroom (37.3%) and three-bedroom (37.6%) homes. Despite the significant increase of median sale prices in the PSA, the overall average number of days on market for the recently sold product is only 20 days. This is considered extremely low and illustrates the strong demand for the for- sale housing product in the PSA. The distribution of recent home sales by bedroom type within the various study areas is shown in the following graph (see Figure 22): 165 1,317 2,454 1,108 265424 2,022 6,229 2,936 748 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 One-Br.Two-Br.Three-Br.Four-Br.Five+-Br. Sales History by Bedrooms (July 2020 to November 2022) PSA CSA Figure 22 BOWEN NATIONAL RESEARCH V-23 3. Available For-Sale Housing Supply Utilizing data from the local Multiple Listing Service, we identified 816 housing units within the CSA (New Hanover County) that were listed as available for purchase as of December 2, 2022. Of these, 309 (37.9%) are located in the PSA (City of Wilmington). While there are likely some other for-sale residential units available for purchase, such homes were not identified during our research due to the method of advertisement or simply because the product was not actively marketed. Regardless, the available inventory of for-sale product identified in this analysis provides a good baseline for evaluating the for-sale housing alternatives offered in the subject markets. The following table (see Table 30) summarizes the distribution of available for-sale residential units by price point within the various study areas: Available For-Sale Housing by Price (As of December 2, 2022) List Price PSA (City of Wilmington) CSA (New Hanover County) Number Available Percent of Supply Average Days on Market Number Available Percent of Supply Average Days on Market Up to $99,999 1 0.3% 233 1 0.1% 233 $100,000 to $149,999 3 1.0% 55 4 0.5% 70 $150,000 to $199,999 8 2.6% 29 13 1.6% 38 $200,000 to $249,999 14 4.5% 53 21 2.6% 44 $250,000 to $299,999 40 12.9% 46 61 7.5% 36 $300,000+ 243 78.6% 75 716 87.7% 70 Total 309 100.0% 69 816 100.0% 67 Source: Multiple Listing Service Within the CSA (New Hanover County), nearly nine-tenths (87.7%) of the available for-sale product are priced above $300,000. Only 12.3% of the available supply in the CSA is priced under $300,000, totaling just 100 units. Nearly four-fifths (78.6%) of available for-sale homes within the PSA (City of Wilmington) are priced above $300,000. This represents a larger share of product in this price range compared to the share (74.3%) in June 2020. Only 21.4% of the available supply in Wilmington is priced below $300,000, which is a decrease in the share (25.6%) from June 2020. Although this represents a very small share of affordable product in the PSA, the share of homes priced below $300,000 in the CSA (12.3%) is roughly half that of the PSA. This also represents a significant decline compared to the share in June 2020 (26.5%). Although the number of days on market for homes priced above $300,000 in the PSA (75 days) and CSA (70 days) are slightly higher than the overall average for each study area (69 and 67 days, respectively), both are still considered relatively low and illustrate the significant level of demand for product of this price point in the area. The average days on market for the price points below $300,000 are considerably less and would indicate there is also substantial demand for affordable housing options in the PSA and CSA. Table 30 BOWEN NATIONAL RESEARCH V-24 The distribution of available homes for each study area by price point is illustrated in the following graph (see Figure 23): The available for-sale housing by bedroom type within the various study areas is summarized in the following table (see Table 31): Available For-Sale Housing by Bedroom Type (As of December 2, 2022) Bedrooms Number Available Average Baths Average Square Feet Average Year Built Price Range Median List Price Median Price per Sq. Ft. Average Days on Market PSA (City of Wilmington) One-Br. 9 1.25 739 1954 $139,999 - $560,000 $365,000 $487.80 85 Two-Br. 61 2.0 1,209 1972 $94,500 - $705,000 $289,900 $245.96 62 Three-Br. 121 2.5 1,795 1987 $150,000 - $6,200,000 $443,000 $256.54 56 Four-Br. 93 3.25 2,776 1996 $190,000 - $2,495,000 $578,710 $219.98 79 Five+-Br. 25 4.5 4,035 1984 $350,000 - $5,250,000 $753,900 $246.88 108 Total 309 2.75 2,125 1985 $94,500 - $6,200,000 $464,865 $246.88 69 CSA (New Hanover County) One-Br. 31 1.25 645 1975 $139,999 - $699,900 $399,900 $668.34 93 Two-Br. 103 2.0 1,124 1978 $94,500 - $1,995,000 $339,000 $300.22 59 Three-Br. 342 2.5 1,827 1995 $150,000 - $6,200,000 $449,759 $248.02 58 Four-Br. 252 3.5 2,673 2006 $190,000 - $13,900,000 $618,900 $231.26 73 Five+-Br. 88 4.75 3,633 2003 $350,000 - $9,659,000 $962,000 $293.39 83 Total 816 3.0 2,150 1997 $94,500 – $13,900,000 $519,923 $253.30 67 Source: Multiple Listing Service 1 3 8 14 40 243 1 4 13 21 61 716 0 100 200 300 400 500 600 700 800 Up to $99,999 $100k- $149,999 $150k- $199,999 $200k- $249,999 $250k- $299,999 $300,000+ Available For-Sale Housing by Price PSA CSA Figure 23 Table 31 BOWEN NATIONAL RESEARCH V-25 The median price per square foot for available product in the CSA (New Hanover County) was slightly higher ($253.30) then the PSA (City of Wilmington) price per square foot ($246.88). Regardless of bedroom type, the current overall median price per square foot of the available homes in the PSA increased by 35.1% over the median price per square foot in June 2020. In the CSA (New Hanover County), the increase in median price per square foot (40.8%) between the two time periods is larger than the increase in the PSA. Despite significant increases in pricing since 2020 in both the PSA and CSA, the average number of days on market for both areas (69 and 67 days, respectively) are considered relatively low. Among specific bedroom types, three-bedroom homes have the lowest days on market in the PSA (56 days) and CSA (58 days). As this bedroom type comprises the largest share of available homes and has the lowest days on market in both study areas, it would appear that the demand for this bedroom type is very high in Wilmington and New Hanover County. Regardless of bedroom type, it appears the demand among for-sale housing is strong within New Hanover County. It is notable, however, that due to the significant increase in price of for-sale housing within the PSA and CSA, many low-income residents will likely have difficulty locating income-appropriate for-sale housing in the area. The distribution of available homes by bedroom type within the study areas is shown in the following graph (see Figure 24): A map illustrating the location of available for-sale homes within the various study areas is included on the following page. 9 61 121 93 2531 103 342 252 88 0 50 100 150 200 250 300 350 One-Br.Two-Br.Three-Br.Four-Br.Five+-Br. Available For-Sale Housing by Bedrooms PSA CSA Figure 24 BOWEN NATIONAL RESEARCH V-27 D. Planned & Proposed In order to assess housing development potential, we evaluated recent residential building permit activity and identified residential projects in the development pipeline within New Hanover County. Understanding the number of residential units and the type of housing being considered for development in the market can assist in determining how these projects are expected to meet the housing needs of the county. The following table (see Table 32) illustrates single-family and multifamily building permits issued in New Hanover County during the past 10 years (2022 data was not available): Housing Unit Building Permits for New Hanover County: Permits 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Multifamily Permits 934 912 827 712 1,173 557 582 1,625 1,609 1,735 Single-Family Permits 659 981 922 1,100 1,210 1,701 1,336 1,381 1,486 1,666 Total Units 1,593 1,893 1,749 1,812 2,383 2,258 1,918 3,006 3,095 3,401 Source: SOCDS Building Permits Database at http://socds.huduser.org/permits/index.html Within New Hanover County, an average of approximately 2,300 total residential building permits were issued annually between 2012 and 2021. Since 2019, the total number of permits issued in the county increased substantially (over 3,000 annually). In 2021, over 3,400 total permits were issued, which represents the most permits issued in any year during this 10-year time period. Of these, slightly more than half (51.0%) were for multifamily units. It is notable that nearly 5,000 multifamily permits were issued in the county in the last three years alone, which is significant considering that 5,697 multifamily permits were issued in the prior eight years combined (between 2012 and 2018). In addition, the number of single-family permits issued in the county increased each year since 2018, with 1,666 single-family permits issued in 2021. The individual projects that are either under construction or planned for development within the county are summarized on the following pages. Table 32 BOWEN NATIONAL RESEARCH V-28 Multifamily Housing Based on interviews with planning representatives, there are 18 rental housing projects planned, proposed, or under construction within the PSA (City of Wilmington) and eight rental housing projects in the development process in the CSA (New Hanover County). Note that the status of some projects may have changed since the information was collected and does not include the identification of senior care or student housing. (see Table 33) Rental Housing in Pipeline Project Name & Address Type Units Developer Status/Details PSA (City of Wilmington) Barclay Place Apartments II 2544 Croquet Drive Market-rate 96 Cameron Management Under Construction: Preleasing began late fall 2022; First move-in winter 2022; One- to three- bedroom units; ECD spring 2023 Riverwood 3510 Corder Drive Market-rate 41 Matrix Development Under Construction: Opened 120 units in spring 2022; Occupancy in fall 2022 was 66%; One- to three-bedroom units; ECD fall 2022 Ansley Park I & II 3612 Salinger Court Market-rate 163 SRS Real Estate Partners Under Construction: Phase I opened 133 units in spring 2022; Occupancy for Phase I in fall 2022 was 41%; Phase II under construction; One- to three-bedroom units; ECD summer 2023 Wilmington Waterfront 19 Cowan Street Market-rate 276 Kettler Under Construction: Studio to two-bedroom units; ECD 2023 Metropolitan at Riverwalk 19 Harnett Street Market-rate 293 Kettler Under Construction: Studio to two-bedroom units CenterPoint 1531 Eastwood Road Market-rate 351 Swain & Associates & Beach Company Under Construction: One- to three-bedroom units; ECD 2024 City Block II 814 North 3rd Street Market-rate 56 City Block Apartments, LLC Planned: Delayed due to cost of materials; One- bedroom units Starway Village I & II 2346 Carolina Beach Road Tax Credit 276 Bradley Developers Planned: Allocated 2021; One- to three-bedroom units; ECD 2023 Paseo 821 South College Road Market-rate 298 Bella Vista Development Group & Craig Davis Properties Planned: Construction may start in late 2022 or early 2023; ECD 2024 Switchyard 3804 Market Street Market-rate 192 PBW Holdings, LLC Proposed: One- and two-bedroom units Hawthorne at the Point II 3215 Midvale Drive Market-rate 42 N/A Proposed: Phase I opened 176 units in 2020; Occupancy in fall 2022 was 96%; One- to three- bedroom units; Phase II proposed in late 2022; Two- and three- bedrooms units Avenue Military Cutoff Road Market-rate 500 The Carroll Companies Proposed: Approved in 2018 but put on hold; As of summer 2022, is again moving forward; One- to three-bedroom units N/A - Not available ECD - Estimated completion date Table 33 BOWEN NATIONAL RESEARCH V-29 (Continued) Rental Housing in Pipeline Project Name & Address Type Units Developer Status/Details PSA (City of Wilmington) Helm 1010 North 4th Street Market-rate 94 Bush Watson Proposed: Studio to two-bedroom units Residences at Galleria 6730-6800 Wrightsville Avenue Market-rate 366 State Street Companies Proposed: One- to three-bedroom units Hamlet at Barclay West (AKA Pointe at Barclay) 3152 South 17th Street Market-rate & Affordable 563 Middleburg Communities, LLC Proposed: One- to three-bedroom units Proximity at Watermark 4216 River Road Market-rate 248 Cape Fear Development Partners Proposed: Rezoning approved by city council fall 2022 Proximity at Dram Tree Point Dawson Street and Surrey Street Market-rate 300 Cape Fear Development Partners Proposed: Submitted rezoning request summer 2022 Cottages at Riverlights 5759 River Road Market-rate 279 Capstone Communities Under Construction: ECD spring 2023 CSA (New Hanover County) Reserve at Beaumont Oaks 115 Beaumont Oaks Drive Wilmington Market-rate 238 Logan Developers Under Construction: ECD early 2023 Estrella Landing 4615 Gordon Road Wilmington Tax Credit 84 Terroir Development, LLC Under Construction Wrightsboro Commons 2525 Castle Hayne Road Wilmington Market-rate 226 BRC Wrightsboro Commons, LLC Proposed: Project delayed fall 2022 Hanover Reserve 1308 Crooked Pine Road Wilmington Market-rate 312 TDR-HL, LLC Proposed: Approved for construction Comet Apartments 9000 Market Street Wilmington Market-rate 256 WPE Holdings, LLC/Comet Development Proposed: Approved for construction Middle Sound West 7241 Market Street Ogden Market-rate 288 Tribute Companies Under Construction: Mixed-use commercial and office with apartments on top Proximity Lake Park Boulevard and St. Joseph Street Carolina Beach Market-rate 261 GHK Cape Fear Development Proposed: Town council approved rezoning in late 2021 Timbers at Whiskey Branch 5601 South College Road/ 132 NC Highway Wilmington Market-rate 250 Dry Pond Partners, LLC Proposed: Delayed N/A - Not available ECD - Estimated completion date BOWEN NATIONAL RESEARCH V-30 For-Sale Housing There are five confirmed for-sale housing projects of notable size planned and/or under construction within the PSA (City of Wilmington) and 17 confirmed for-sale housing projects of notable size planned and/or under construction within the CSA (New Hanover County County). Note that the status of some projects may have changed since the information was collected and does not include the identification of senior for-sale housing. These developments are summarized as follows: (see Table 34) For-Sale Housing in Pipeline Project Name & Address Product Type Lots/Units Developer Status/Details PSA (City of Wilmington) Woodlands at Echo Farms 4114 Echo Farms Boulevard Single-family 51 Dream Finders Homes Under Construction: Three- to five- bedroom units; From 2,225 to 3,353 square feet; Starting $410,000 to $600,000 Pacific Place Pacific Road Single-family 39 Blanton Custom Homes Under Construction: Finishing up construction; Three- to five-bedroom units; From 2,639 to 3,506 square feet; Starting $720,000 to $870,000 Woodlands Grove at Echo Farms 1105 McCarley Boulevard Single-family 87 Dream Finders Homes Planned: Currently selling lots; Two- to four-bedroom units; From 1,912 to 3,225 square feet; Starting $415,000 to $488,000 Cottages at Bradley Creek 311 Hooker Road Single-family N/A Mungo Homes Planned: Construction to begin late 2022; High $500,000s Bradley Heights 261 Giles Avenue Townhome 61 Bradley Heights, LLC Proposed: One- and two-bedroom units; No other information available CSA (New Hanover County) Riverside 432 Tributary Circle Wilmington Single-family 93 D.R. Horton Under Construction: Additional phases planned; Three- and four-bedroom units; From 1,475 to 2,368 square feet River Bluffs 3571 Hansa Drive Castle Hayne Combination 742 N/A Under Construction: Phases 1 and 2 are complete; Phases 3 and 4 consist of 91 units in a subdivision; Phase 4 is 37.2 acres and zoned for performance development Congleton Farms 1220 Lt. Congleton Road Wilmington Single-family 150+ Mungo Homes Under Construction: Two- to six-bedroom units; From 1,910 to 3,904 square feet; High $400,000s to $630,000 Scotts Hill Village/ Courtyards at Scotts Hill Village 339 Victoria Charm Drive Wilmington Single-family 227 Mungo Homes Under Construction: Built in several phases; Last phase not yet under construction Hanover Lakes 287 Hanover Lakes Drive Wilmington Single-family 230 Bill Clark Homes Under Construction: Two- and three- bedroom units; From 1,489 to 3,803 square feet; Starting $385,000 to $500,000 Bountiful Village 561 Bountiful Lane Castle Hayne Single-family 35 N/A Under Construction: Lots from $125,000 to $2.3 million; Project is halfway complete (15 units built); Some already sold (not sure how many) N/A - Not available Table 34 BOWEN NATIONAL RESEARCH V-31 (Continued) For-Sale Housing in Pipeline Project Name & Address Product Type Lots/Units Developer Status/Details CSA (New Hanover County) Sidbury Station 5730 Sidbury Road Castle Hayne Single-family 200+ D.R. Horton Project is being built in four phases; Phase 1 is completed, and Phase 2 is proposed Homestead Estates at River Oaks Penny Royal Drive Wilmington Single-family 107 Bill Clark Homes Under Construction: Three- to four- bedroom units; From 2,159 to 3,954 square feet; Starting $540,000+ Reserve at Beaumont Oaks (FKA Oaks at Murray Farm) 8300 block of Shiraz Way and Old Market Street Porters Neck Single-family & Townhome 62/34 Logan Developers, Incorporated Under Construction: Three- to five- bedroom units; From 1,866 to 3,299 square feet; Starting $510,000 to $650,000; ECD 2025 Grand Bay Townhomes 6220 River Road Wilmington Townhome 72 D.R. Horton Under Construction: Three-bedroom units; From 1,497 to 1, 895 square feet; Starting $355,000 to $440,000 Parsons Mill Farm 4534 Huntsman Court Castle Hayne Single-family 52 Mungo Homes Phase 1- 3 is completed; Phase 4 is under construction; Phase 5 is proposed Tarin Woods 5936 Appomattox Drive Wilmington Single-family 150 Cabiness & Cates Communities Under Construction: Phases 1 and 2 are completed; Phase III proposed approximately 150 homes The Manors/The Cottages 1137 Eventide Boulevard Wilmington Townhome 24 N/A Under Construction: Townhomes (24) under construction Sunset Reach 1330 Rockhill Road Castle Hayne Single-family & Townhome 73/9 N/A Under Construction: Estimated home prices $600,000 to $1.5 million Cape Landing II Blue Clay Road Castle Hayne Single-family 126 American Homesmith & Hardison Building Company Planned: Phase 1 (built) 71 lots; Phase 2 planned (55 lots) Sidbury Station 6010 Sidbury Road Castle Hayne Single-family & Townhome 655/103 N/A Proposed: Currently under review; To be built in three phases Timbers at Whiskey Branch 5601 South College Road Wilmington Combination 210 Trusst Builder Group Proposed: Single-family homes, townhomes, duplexes, triplexes; Expansion of Whiskey Branch; No other details available N/A - Not available ECD - Estimated completion date BOWEN NATIONAL RESEARCH VI-1 VI. HOUSING GAP/DEMAND ESTIMATES INTRODUCTION This section provides housing gap estimates for both rental and for-sale housing within the overall CSA (New Hanover County) as well as the PSA (City of Wilmington). While this assessment includes demand from a variety of sources and focuses on the housing demand drivers within New Hanover County, consideration is also given to potential support that may originate from outside the county. Housing to meet the needs of both current and future households in the market will most likely involve multifamily, duplex, and single-family housing alternatives. There are a variety of financing mechanisms that can support the development of housing alternatives such as federal and state government programs, as well as conventional financing through private lending institutions. These different financing alternatives often have specific income and rent/price restrictions, which affect the market they target. We evaluated the market’s ability to support rental and for-sale housing based on six levels of income/affordability. While there may be overlap among these levels due to program targeting and rent/price levels charged, we have established specific income stratifications that are exclusive of each other in order to eliminate double counting demand. We used HUD’s published income and rent limits (2022) for the Wilmington, NC HUD Metro FMR area. The following table (see Table 35) summarizes the income segments used in this analysis to estimate potential rental and for-sale housing demand. Household Income/Wage & Affordability Levels (2022) Percent AMHI Income Range* Hourly Wage** Affordable Rents*** Affordable Prices^ ≤ 30% < $25,560 < $12.29 < $639 < $85,200 31%-50% $25,561-$42,600 $12.30-$20.48 $640-$1,065 $85,201-$142,000 51%-60% $42,601-$51,120 $20.49-$24.58 $1,066-$1,278 $142,001-$170,400 61%-80% $51,121-$68,160 $24.59-$32.77 $1,279-$1,704 $170,401-$227,200 81%-120% $68,161-$102,240 $32.78-$49.15 $1,705-$2,556 $227,201-$340,800 121%+ $102,241+ $49.16+ $2,557+ $340,801+ AMHI – Area Median Household Income * Based on approximate HUD limits for the Wilmington HUD Metro FMR Area (4-person limit) ** Assumes full-time employment 2,080 hours/year (Assumes one wage earner household) *** Based on assumption tenants pay up to 30% of income toward rent (not including tenant-paid utilities) ^Based on assumption homebuyer can afford to purchase home priced three times annual income after 5% down payment While different state and federal housing programs establish income and rent restrictions for their respective programs, in reality, there is potential overlap between windows of affordability between the programs. Further, households that respond to a certain product or program type vary. This is because housing markets are highly dynamic, with households entering and exiting by tenure and economic profile. Further, qualifying policies of property owners/management Table 35 BOWEN NATIONAL RESEARCH VI-2 and financial institutions impact the households that may respond to specific project types. As such, while a household may prefer a certain product, ownership/management and financial institution’s qualifying procedures (i.e., review of credit history, current income verification, criminal background checks, deposit/down payment requirements, etc.) may affect housing choices that are available to households. Regardless, we have used the preceding income segmentations as the ranges that a typical project or lending institution would use to qualify residents, based on their household income. Ultimately, any new product added to the market will be influenced by many decisions made by the development and/or management. This includes eligibility requirements, design type, location, rents/prices, amenities and other features. As such, our estimates assume that the rents/prices, quality, location, design, and features of new housing product are marketable and will appeal to most renters and homebuyers. While this study considers current market considerations such as the available housing stock, households living in substandard housing, and people currently commuting into the market, it also accounts for residential units in the development pipeline and forecasted household growth over the next 10 years (2022 to 2032). Therefore, it serves to provide estimates of the number of housing units that will be needed over the next several years to address housing needs within the market. A. RENTAL HOUSING GAP ESTIMATES The primary sources of demand for new rental housing include the following: • New Housing Needed to Meet Projected Household Growth • Additional Units Required for a Balanced Market • Replacement of Substandard Housing • External (Outside County) Commuter Support • Step-Down Support A full description of these demand components and the assumptions used in this analysis are included in the original (2020) Housing Needs Assessment. BOWEN NATIONAL RESEARCH VI-3 The overall New Hanover County rental housing gap estimates by affordability level are shown in Table 36. New Hanover County, North Carolina Rental Housing Gap Estimates by Affordability Level 2022 to 2032 Percent of AMHI 30% 31%-50% 51%-60% 61%-80% 81%-120% 121%+ Household Income < $25,560 $25,561- $42,600 $42,601- $51,120 $51,121- $68,160 $68,161- $102,240 $102,241+ Rent Range <$639 $640-$1,065 $1,066-$1,278 $1,279-$1,704 $1,705-$2,556 $2,557+ Household Growth -4,886 -1,072 -212 1,700 3,352 4,220 Balanced Market 1,316 906 442 466 50 42 Replacement Units 2,104 724 178 94 62 22 External Support 2,626 1,808 878 930 1,236 1,040 Step-Down Support 1,184 -540 952 754 312 -2,662 Pipeline Units 0 -34 -466 -1,585 -2,010 -1,784 Current (2022) Housing Gap (Units) 2,344 1,792 1,772 2,359 3,002 878 Original (2020) Housing Gap (Units) 2,787 1,968 1,231 1,431 1,796 1,563 New Hanover County’s overall rental housing gap estimate (which includes the city of Wilmington) over the next 10 years is 12,147 units. This is an increase of 1,371 additional units needed since the original 2020 study, which showed an overall county-wide rental housing gap of 10,776. This represents a 12.7% increase in the housing gap in just the past two years. Housing gaps by affordability level range from a low of 878 among the highest income households to 3,002 among households with incomes between 81% and 120% of AMHI. The largest increases in housing gaps by affordability level since the 2020 study are for housing that is affordable to households earning between 61% and 80% of AMHI (originally 1,431 units, increased to 2,359 units) and those earning between 81% and 120% of AMHI (originally 1,796 units, increased to 3,002 units). Regardless of these changes, housing gaps exist among all affordability levels, despite the amount of new product added to the market and currently in the development pipeline. We also calculated the housing gap estimates for the city of Wilmington, which are shown in Table 37 on the following page. Table 36 BOWEN NATIONAL RESEARCH VI-4 City of Wilmington, North Carolina Rental Housing Gap Estimates by Affordability Level 2022 to 2032 Percent of AMHI 30% 31%-50% 51%-60% 61%-80% 81%-120% 121%+ Household Income < $25,560 $25,561- $42,600 $42,601- $51,120 $51,121- $68,160 $68,161- $102,240 $102,241+ Rent Range <$639 $640-$1,065 $1,066-$1,278 $1,279-$1,704 $1,705-$2,556 $2,557+ Household Growth -2,980 -280 -116 1,088 2,272 2,942 Balanced Market 1,030 636 292 38 50 36 Replacement Units 1,978 610 140 78 50 18 External Support 1,050 646 298 334 418 318 Step-Down Support 806 -500 462 626 262 -1,656 Pipeline Units 0 0 -416 -1,134 -1,558 -1,333 Current (2022) Housing Gap (Units) 1,884 1,112 660 1,030 1,494 325 Original (2020) Housing Gap (Units) 1,603 1,383 778 399 618 566 The city of Wilmington has an overall rental housing gap of 6,505. Like the overall county, the city of Wilmington has experienced an increase in its housing gap estimates since the original (2020) study of the area. At that time, the city’s rental housing gap estimate was 5,347 units. This has increased by 1,158 units, representing an increase of 21.7% since 2020. While there have been some rental housing gap increases or decreases among the various levels of affordability, there have been notable housing gap increases for housing affordable to households earning between 61% and 80% of AMHI (originally 399 units, increased to 1,030 units) and for households earning between 81% and 120% of AMHI (originally 618 units, increased to 1,494 units). These are significant increases, despite the fact that each of these two income segments experienced new units being developed and have more than 1,000 units in the development pipeline for each of these two affordability segments. It is critical to understand that these estimates represent potential units of demand by targeted income level. The actual number of rental units that can be supported will ultimately be contingent upon a variety of factors including the location of a project, proposed features (i.e., rents, amenities, bedroom type, unit mix, square footage, etc.), product quality, design (i.e., townhouse, single-family homes, or garden-style units), management, and marketing efforts. As such, each targeted segment outlined in the previous table may be able to support more or less than the number of units shown in the table. The potential number of units of support should be considered a general guideline to residential development planning. Table 37 BOWEN NATIONAL RESEARCH VI-5 B. FOR-SALE HOUSING GAP ESTIMATES This section of the report addresses the gap for for-sale housing alternatives in New Hanover County and within the city of Wilmington. Like the rental housing demand analysis, the for-sale housing analysis considers individual household income segments and corresponding housing price ranges. Naturally, there are cases where a household can afford a higher down payment to purchase a more expensive home. There are also cases in which a household purchases a less expensive home although they could afford a higher purchase price. The actual support for new housing will ultimately be based on a variety of factors such as price points, square footages, amenities, design, quality of finishes, and location. Considering these variations, this broad analysis provides the basis in which to estimate the potential demand of new for-sale housing within the county and city. There are a variety of market factors that impact the demand for new homes within an area. In particular, area and neighborhood perceptions, quality of school districts, socioeconomic characteristics, mobility patterns, demolition and revitalization efforts, and availability of existing homes all play a role in generating new home sales. Support can be both internal (households moving within the market) and external (households new to the market). Overall, we have considered the following specific sources of demand for new for-sale housing in New Hanover County and Wilmington. • Household Growth • Units Required for a Balanced Market • Replacement Housing for Functionally Obsolete/Substandard Housing • External Market Support of Commuters from Outside the County • Step-Down Support A full description of these demand components and the assumptions used in this analysis are included in the original (2020) Housing Needs Assessment. BOWEN NATIONAL RESEARCH VI-6 For-sale housing gap estimates are provided for the overall county in Table 38 below. New Hanover County, North Carolina For-Sale Housing Gap Estimates by Affordability Level 2022 to 2032 Percent of AMHI 30% 31%-50% 51%-60% 61%-80% 81%-120% 121%+ Household Income < $25,560 $25,561- $42,600 $42,601- $51,120 $51,121- $68,160 $68,161- $102,240 $102,241+ Price Range <$85,200 $85,201- $142,000 $142,001- $170,400 $170,401- $227,200 $227,201- $340,800 $340,801+ Household Growth -3,278 -3,028 -1,918 -1,252 -818 15,770 Balanced Market 326 344 214 320 386 290 Replacement Units 174 94 30 36 42 54 External Support 2,190 2,378 1,114 836 2,118 702 Step-Down Support 1,882 1,882 2,344 2,276 2,018 -10,408 Pipeline Units 0 0 0 0 0 -243 Current (2022) Housing Gap (Units) 1,294 1,670 1,784 2,216 3,746 6,165 Original (2020) Housing Gap (Units) 1,228 862 1,165 1,471 3,659 4,632 The overall for-sale housing gap in the county is for 16,875 units over the 10- year projection period of 2022 to 2032. This is a significant increase of 3,858 units (29.6%) from the 13,017 for-sale housing gap estimate from just two years earlier. While all price segments and affordability levels have housing gaps of more than 1,200 units, the largest housing gaps are for households earning 121% or more of AMHI (6,165 units), households earning between 81% and 120% AMHI (3,746 units), and households earning between 61% and 80% of AMHI (2,216 units). The highest of these affordability levels has also seen the greatest increase in housing gap estimates since the 2020 study, increasing by more than 1,500 units in the past two years. With housing gaps increasing among virtually all of the affordability levels, housing needs are a growing problem for virtually all household income levels in the county. Table 38 BOWEN NATIONAL RESEARCH VI-7 The for-sale housing gap estimates for the city of Wilmington are illustrated in the following table (see Table 39). City of Wilmington, North Carolina For-Sale Housing Gap Estimates by Affordability Level 2022 to 2032 Percent of AMHI 30% 31%-50% 51%-60% 61%-80% 81%-120% 121%+ Household Income < $25,560 $25,561- $42,600 $42,601- $51,120 $51,121- $68,160 $68,161- $102,240 $102,241+ Price Range <$85,200 $85,201- $142,000 $142,001- $170,400 $170,401- $227,200 $227,201- $340,800 $340,801+ Household Growth -1,356 -1,076 -666 -974 -892 7,108 Balanced Market 138 140 88 114 118 268 Replacement Units 92 50 16 14 16 24 External Support 1,866 1,986 934 504 626 422 Step-Down Support 550 -364 1,126 1,578 2,022 -4,912 Pipeline Units 0 0 0 0 0 0 Current (2022) Housing Gap (Units) 1,290 736 1,498 1,236 1,890 2,910 Original (2020) Housing Gap (Units) 654 516 605 641 1,732 1,840 The city of Wilmington has an overall for-sale housing gap of 9,560 units, representing a significant increase over the 5,988 housing gap estimate from 2020. The increase of 3,572 housing units needed over the projection period represents an increase of 59.7% since the original (2020) study. The housing gaps among each affordability level has increased, indicating a growing demand for housing regardless of price. The largest housing gaps continue to be for product serving the highest income segments, with a gap of 1,890 units for households earning between 81% and 120% of AMHI and 2,910 units for households earning 121% or higher of AMHI. Overall, there is potential support for a variety of residential development alternatives in both the city of Wilmington and for all of New Hanover County. It is important to understand that the housing demand estimates shown in this report assume no major changes occur in the local economy and that the demographic trends and projections provided in this report materialize. While recent notable increases in home mortgage rates may slow home buying and building, we anticipate that such rates will normalize at some point in the near future and that the strong level of demand for for-sale housing will continue to exist. Table 39 ADDENDUM A: PHONE SURVEY OF CONVENTIONAL RENTALS BOWEN NATIONAL RESEARCH Addendum A-1 Map ID — New Hanover County, North Carolina Survey Date: October 2022 Map ID Prop Type VacantRating Quality Built YearProperty Total Units Occ. Rate 1 17 Social Apts.MRR 2021 270 9 96.7% 2 34 North Apts.MRR 1977 187 2 98.9% 3 Abbotts Run MRR 2001 264 0 100.0% 4 AHEPA 408 Apts.GSS 1998 50 0 100.0% 5 Alexandra Apts.TMG 1980 204 0 100.0% 6 Amberleigh Shores MRR 2014 282 19 93.3% 7 Amberleigh South MRR 2021 280 23 91.8% 8 Annexe at the Reserve MRR 2016 144 4 97.2% 9 Ansley Park Apts. I & II MRR 2021 133 79 40.6% 10 Antiqua Apts.MRR 2000 200 21 89.5% 11 Arboretum West Apts.MIN 2020 360 5 98.6% 12 Avalon MRR 2007 457 21 95.4% 13 Barclay Place Apts. I MRR 1997 164 0 100.0% 14 Birchwood Park MRR 2001 172 5 97.1% 15 Braxton Place Apts.MRR 1999 210 10 95.2% 16 Canebreak Apts.TAX 2005 32 0 100.0% 17 Canterbury Woods Apts.MRR 1974 198 0 100.0% 18 Cape Fear Hotel Apts.GSS 1924 53 0 100.0% 19 Cape Harbor MRR 1996 360 0 100.0% 20 Chateau Terrace Apts.MRR 1963 128 0 100.0% 21 City Block MRR 2014 112 1 99.1% 22 Clear Run MRR 1990 288 19 93.4% 23 Colonial Parke Apts.MRR 1970 236 0 100.0% 24 Cottages at College Acres MRR 2021 122 6 95.1% 25 Creek at Forest Hills Apts.MRR 1973 198 0 100.0% 26 Cypress Cove TAX 2018 200 0 100.0% 27 Cypress Pond at Porters Neck Apts.MRR 2004 264 13 95.1% 28 Deer Brook Apts.MRR 1999 152 1 99.3% 29 Element Barclay MRR 2017 405 7 98.3% 30 Ellington Farms MRR 2015 96 0 100.0% 31 Flats on Front MRR 2020 273 6 97.8% 32 Forest Hills MRR 1967 260 0 100.0% 33 Glenmeade Village MRR 1969 104 0 100.0% 34 Hadden Hall GSS 1992 79 0 100.0% 35 Harbor Station Townhomes MRR 1979 384 35 90.9% 36 Harbour Ridge MRR 1984 84 5 94.0% 3Bowen National Research A- N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A Map ID — New Hanover County, North Carolina Survey Date: October 2022 Map ID Prop Type VacantRating Quality Built YearProperty Total Units Occ. Rate 37 Hawthorne at Murrayville MRR 2008 204 0 100.0% 38 Hawthorne at Oleander MRR 2021 223 0 100.0% 39 Hawthorne at Smith Creek MRR 2020 318 8 97.5% 40 Hawthorne at the Pointe I MRR 2020 176 7 96.0% 41 Hawthorne at the Station MRR 2014 192 2 99.0% 42 Headwaters at Autumn Hall MRR 2012 286 3 99.0% 43 Hillcrest Apts.GSS 1941 256 0 100.0% 44 Hudson Renaissance MRR 2022 198 28 85.9% 45 Indy West MRR 2019 254 6 97.6% 46 James A Walker TGS 1923 37 0 100.0% 47 Jervay Communities TGS 2003 82 0 100.0% 48 Kent Street TAX 1992 12 0 100.0% 49 Lake Ridge Commons TAX 2012 75 0 100.0% 50 Landing at Lewis Creek MRR 2022 117 45 61.5% 51 Lockwood Village TAX 2015 53 0 100.0% 52 Mayfaire Flats MRR 2017 240 15 93.8% 53 Meridian Village MRR 1994 103 2 98.1% 54 Mill Creek I & II MRR 1998 364 30 91.8% 55 Myrtle Landing Townhomes MRR 2017 144 0 100.0% 56 New Hanover Village MRR 1971 100 0 100.0% 57 New Providence Park MRR 2008 336 19 94.3% 58 Oasis at Riverlights MRR 2021 250 7 97.2% 59 One Midtown MRR 2015 223 3 98.7% 60 Overlook at RiverPlace MRR 2020 79 4 94.9% 61 Park at Three Oaks MRR 2006 201 7 96.5% 62 Pier 33 MRR 2020 282 9 96.8% 63 Pines of Wilmington MRR 1970 233 0 100.0% 64 Pleasant Grove Village & Townhomes MRR 2000 117 0 100.0% 65 Pointe at Taylor Estates TAX 2008 48 0 100.0% 66 Preserve at Pine Valley MRR 1976 219 9 95.9% 67 Quad MRR 1998 136 4 97.1% 68 Reserve at Beaumont Oaks MRR 2022 0 0 69 Reserve at Forest Hills MRR 1994 516 4 99.2% 70 Reserve at Mayfaire MRR 2005 264 14 94.7% 71 Riverwood Apts.MRR 2022 120 41 65.8% 72 Robert R. Taylor Senior Homes TAX 2008 96 0 100.0% 4Bowen National Research A- N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A Map ID — New Hanover County, North Carolina Survey Date: October 2022 Map ID Prop Type VacantRating Quality Built YearProperty Total Units Occ. Rate 73 Sand Ridge I, II, III MRR 1987 172 4 97.7% 74 Sawmill Point MRR 2017 280 8 97.1% 75 SECU Lakeside Reserve GSS 2019 40 0 100.0% 76 Shipyard at Wilmington MRR 2018 96 2 97.9% 77 Solomon Towers GSS 1972 151 0 100.0% 78 South Front I & II MRR 1939 250 30 88.0% 79 Spring Branch TAX 1973 100 0 100.0% 80 St. Andrews Reserve MRR 1999 390 22 94.4% 81 Still Meadow Village MRR 1999 280 7 97.5% 82 Tesla Park MRR 2003 288 26 91.0% 83 Tidewater Townhomes TGS 1971 104 0 100.0% 84 Townhomes at Beau Rivage MRR 2018 120 15 87.5% 85 Village at Greenfield TAX 1940 429 0 100.0% 86 Village Green MRR 1984 138 2 98.6% 87 Vineyard Pointe TAX 2005 58 0 100.0% 88 White Oak TAX 2005 60 0 100.0% 89 Willow Pond TAX 1994 40 0 100.0% 90 Woodbridge Pointe TAX 2019 80 0 100.0% 5Bowen National Research A- N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 1 514 S 17th St, Wilmington, NC 28401 Phone: (833) 701-0026 Contact: Kyle Total Units:270 UC:0 Occupancy:96.7%Stories:4 Year Built:2021w/Elevator 17 Social Apts. BR: Target Population: Rent Special: Notes: Preleasing 4/2021, opened 6/2021, 90% occupancy 6/2022; Rents change daily 0, 1, 2 9Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 2 603 Plum Nearly Ln, Wilmington, NC 28403 Phone: (910) 799-8580 Contact: Shaneida Total Units:187 UC:5 Occupancy:98.9%Stories:3 Year Built:1977 34 North Apts. BR: Target Population: Rent Special: Notes: 5 units under renovation 0, 1, 2 2Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 3 511 Cobblestone Dr, Wilmington, NC 28405 Phone: (844) 493-1875 Contact: Austin Total Units:264 UC:0 Occupancy:100.0%Stories:3 Year Built:2001 Abbotts Run BR: Target Population: Rent Special: Notes: Rent range due to upgrades & floorplan 1, 2, 3 0Vacant Units:Waitlist:1 mos AR Year: Family Yr Renovated:2015 None 4 109 N Kerr Ave, Wilmington, NC 28405 Phone: (910) 793-6555 Contact: Krystal Total Units:50 UC:0 Occupancy:100.0%Stories:3 Year Built:1998w/Elevator AHEPA 408 Apts. BR: Target Population: Rent Special: Notes: HUD Section 202 PRAC 1 0Vacant Units:Waitlist:52 HH AR Year: Senior 62+Yr Renovated: None 5 111 Darlington Ave, Wilmington, NC 28403 Phone: (910) 762-1272 Contact: Ellie Total Units:204 UC:0 Occupancy:100.0%Stories:1 Year Built:1980 Alexandra Apts. BR: Target Population: Rent Special: Notes: Market-rate (1 unit); Tax Credit & HUD Section 8 (203 units) 2, 3 0Vacant Units:Waitlist:60 HH AR Year: Family Yr Renovated:2020 None 6Bowen National Research A- Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 6 115 Amberleigh Drive, Wilmington, NC 28411 Phone: (910) 821-8252 Contact: Matao Total Units:282 UC:0 Occupancy:93.3%Stories:2,3 Year Built:2014 Amberleigh Shores BR: Target Population: Rent Special: Notes: Rents change daily 1, 2, 3 19Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 7 115 Amberleigh Dr, Wilmington, NC 28411 Phone: (910) 821-8252 Contact: Matao Picture Not Available Total Units:280 UC:0 Occupancy:91.8%Stories:2,3,4 Year Built:2021 Amberleigh South BR: Target Population: Rent Special: Notes: Rents change daily; Preleasing 05/2020; 1st units in 2021, still in lease-up 1, 2, 3 23Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 8 315 Covil Ave, Wilmington, NC 28403 Phone: (910) 335-2839 Contact: Steven Total Units:144 UC:0 Occupancy:97.2%Stories:3 Year Built:2016 Annexe at the Reserve BR: Target Population: Rent Special: Notes: Rents change daily 0, 1, 2, 3 4Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 9 3612 Beverly Cover Way, Wilmington, NC 28412 Phone: (910) 795-2925 Contact: Sharice Total Units:133 UC:163 Occupancy:40.6%Stories:3 Year Built:2021 Ansley Park Apts. I & II BR: Target Population: Rent Special: Notes: Preleasing 03/2021, still in lease-up; 163 additional units UC, ECD Summer 2023; Rent range due to floor level 1, 2, 3 79Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 10 3810 Portofino Ct, Wilmington, NC 28412 Phone: (833) 321-0871 Contact: Melanie Total Units:200 UC:0 Occupancy:89.5%Stories:2 Year Built:2000 Antiqua Apts. BR: Target Population: Rent Special: Notes: Rents change daily 0, 2 21Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 7Bowen National Research A- Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 11 347 Arboretum Dr, Wilmington, NC 28405 Phone: (833) 395-0599 Contact: Ruben Total Units:360 UC:0 Occupancy:98.6%Stories:3 Year Built:2020 Arboretum West Apts. BR: Target Population: Rent Special: Notes: Market-rate (324 units); Income-restricted, not LIHTC (36 units); Preleasing 4/2020, opened 5/2020 1, 2 5Vacant Units:Waitlist:INR units; 6 HH AR Year: Family Yr Renovated: One month rent free 12 327 Guinevere Ln, Wilmington, NC 28405 Phone: (910) 254-4645 Contact: Emily Total Units:457 UC:0 Occupancy:95.4%Stories:3 Year Built:2007 Avalon BR: Target Population: Rent Special: Notes: 1, 2, 3 21Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 13 2545 Croquet Dr, Wilmington, NC 28412 Phone: (910) 793-1993 Contact: Michelle Total Units:164 UC:0 Occupancy:100.0%Stories:2 Year Built:1997 Barclay Place Apts. I BR: Target Population: Rent Special: Notes: Rent range due to location +$25 for pond view & 1st floor units 1, 2, 3 0Vacant Units:Waitlist:32 HH AR Year: Family Yr Renovated:2013 None 14 4395 Birchwood Dr, Wilmington, NC 28403 Phone: (910) 392-9811 Contact: Allison Total Units:172 UC:0 Occupancy:97.1%Stories:3 Year Built:2001 Birchwood Park BR: Target Population: Rent Special: Notes: Rent range due to floor level 1 5Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 15 4191 Hearthside Dr, Wilmington, NC 28412 Phone: (910) 793-3010 Contact: April Total Units:210 UC:0 Occupancy:95.2%Stories:3 Year Built:1999 Braxton Place Apts. BR: Target Population: Rent Special: Notes: 1, 2 10Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 8Bowen National Research A- Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 16 4901 Amy Dr, Wilmington, NC 28403 Phone: (910) 392-8101 Contact: Rita Total Units:32 UC:0 Occupancy:100.0%Stories:1 Year Built:2005 Canebreak Apts. BR: Target Population: Rent Special: Notes: Tax Credit 1, 2 0Vacant Units:Waitlist:24 mos AR Year: Senior 55+Yr Renovated: None 17 1302 Canterwood Dr, Wilmington, NC 28401 Phone: (910) 791-3782 Contact: Calila Total Units:198 UC:0 Occupancy:100.0%Stories:2 Year Built:1974 Canterbury Woods Apts. BR: Target Population: Rent Special: Notes: 1, 2, 3 0Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 18 121 Chestnut St, Wilmington, NC 28401 Phone: (910) 762-0487 Contact: Rhonda Total Units:53 UC:36 Occupancy:100.0%Stories:9 Year Built:1924w/Elevator Cape Fear Hotel Apts. BR: Target Population: Rent Special: Notes: PBV/PBRA 0, 1 0Vacant Units:Waitlist:None 1980AR Year: Senior 62+Yr Renovated:2020 None 19 7113 Cape Harbor Dr, Wilmington, NC 28411 Phone: (910) 597-2152 Contact: Byron Total Units:360 UC:0 Occupancy:100.0%Stories:3 Year Built:1996 Cape Harbor BR: Target Population: Rent Special: Notes: Rent range attributed to upgrades & floor level; Rents change daily 1, 2, 3 0Vacant Units:Waitlist:None AR Year: Family Yr Renovated:2010 None 20 1201 Columbus Cir, Wilmington, NC 28403 Phone: (910) 762-1055 Contact: Susan Total Units:128 UC:0 Occupancy:100.0%Stories:2 Year Built:1963 Chateau Terrace Apts. BR: Target Population: Rent Special: Notes: Rent range based on floorplan & unit updates 0, 1, 2, 3 0Vacant Units:Waitlist:2 HH AR Year: Family Yr Renovated: None 9Bowen National Research A- Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 21 814 N 3rd St, Wilmington, NC 28401 Phone: (910) 463-9747 Contact: Dale Total Units:112 UC:0 Occupancy:99.1%Stories:5 Year Built:2014w/Elevator City Block BR: Target Population: Rent Special: Notes: Rent range due to floorplan 1, 2 1Vacant Units:Waitlist:1-br; 2 HH AR Year: Family Yr Renovated: None 22 5300 New Centre Dr, Wilmington, NC 28403 Phone: (910) 597-2153 Contact: Amanda Total Units:288 UC:0 Occupancy:93.4%Stories:2,3 Year Built:1990 Clear Run BR: Target Population: Rent Special: Notes: Rents change daily 1, 2, 3 19Vacant Units:Waitlist:None AR Year: Family Yr Renovated:2010 None 23 5034 Hunt Club Rd, Wilmington, NC 28403 Phone: (910) 791-8632 Contact: Arial Total Units:236 UC:0 Occupancy:100.0%Stories:2 Year Built:1970 Colonial Parke Apts. BR: Target Population: Rent Special: Notes: 1, 2 0Vacant Units:Waitlist:Yes AR Year: Family Yr Renovated: None 24 4716 College Acres Dr, Wilmington, NC 28403 Phone: (910) 398-3213 Contact: Robert Total Units:122 UC:0 Occupancy:95.1%Stories:2,3 Year Built:2021 Cottages at College Acres BR: Target Population: Rent Special: Notes: 3, 4 6Vacant Units:Waitlist:None AR Year: Student Yr Renovated: None 25 2247 Wrightsville Ave, Wilmington, NC 28403 Phone: (910) 375-5347 Contact: Brad Total Units:198 UC:0 Occupancy:100.0%Stories:2,3 Year Built:1973 Creek at Forest Hills Apts. BR: Target Population: Rent Special: Notes: Does not accept HVC; Rent range based on unit upgrades & floor levels; Rents change daily 0, 1, 2, 3 0Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 10Bowen National Research A- Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 26 331 S Turners Run, Wilmington, NC 28405 Phone: (910) 833-5043 Contact: Jeff Total Units:200 UC:0 Occupancy:100.0%Stories:2,3 Year Built:2018 Cypress Cove BR: Target Population: Rent Special: Notes: Tax Credit; Preleasing 11/2018, opened 12/2018 1, 2, 3 0Vacant Units:Waitlist:12 HH AR Year: Family Yr Renovated: None 27 211 Cypress Pond Way, Wilmington, NC 28411 Phone: (833) 543-2071 Contact: Felicia Picture Not Available Total Units:264 UC:0 Occupancy:95.1%Stories:3 Year Built:2004 Cypress Pond at Porters Neck Apts. BR: Target Population: Rent Special: Notes: Rents change daily 1, 2, 3 13Vacant Units:Waitlist:None AR Year: Family Yr Renovated: 50% off 1st months rent on select units if move-in by 11/15 28 703 Grathwol Dr, Wilmington, NC 28403 Phone: (910) 791-4912 Contact: Nick Total Units:152 UC:0 Occupancy:99.3%Stories:2,3 Year Built:1999 Deer Brook Apts. BR: Target Population: Rent Special: Notes: Rent range due to renovated units 1, 2, 3 1Vacant Units:Waitlist:2 HH AR Year: Family Yr Renovated: None 29 1605 Barclay Pointe Blvd, Wilmington, NC 28412 Phone: (910) 936-1170 Contact: Michelle Total Units:405 UC:0 Occupancy:98.3%Stories:3 Year Built:2017w/Elevator Element Barclay BR: Target Population: Rent Special: Notes: 1, 2, 3 7Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 30 505 Vorils Ln, Wilmington, NC 28411 Phone: Contact: Mike Picture Not Available Total Units:96 UC:0 Occupancy:100.0%Stories:3 Year Built:2015 Ellington Farms BR: Target Population: Rent Special: Notes: 1, 2, 3 0Vacant Units:Waitlist:3 HH AR Year: Family Yr Renovated: None 11Bowen National Research A- Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 31 1045 N Front St, Wilmington, NC 28401 Phone: (910) 685-8701 Contact: Joe Total Units:273 UC:0 Occupancy:97.8%Stories:5 Year Built:2020w/Elevator Flats on Front BR: Target Population: Rent Special: Notes: Preleasing 4/2020, opened 1st units 6/2020, leased-up at 95% occupancy in 6/2022 1, 2, 3 6Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 32 505 Alpine Dr, Wilmington, NC 28403 Phone: (910) 375-5380 Contact: Ali Total Units:260 UC:0 Occupancy:100.0%Stories:2 Year Built:1967 Forest Hills BR: Target Population: Rent Special: Notes: Rents change daily 1, 2, 3 0Vacant Units:Waitlist:3 HH AR Year: Family Yr Renovated:2005 None 33 1518 Village Dr, Wilmington, NC 28401 Phone: (910) 762-8108 Contact: Roselyn Total Units:104 UC:0 Occupancy:100.0%Stories:2 Year Built:1969 Glenmeade Village BR: Target Population: Rent Special: Notes: Rent range based on unit location 1, 2, 3 0Vacant Units:Waitlist:Yes AR Year: Senior 55+Yr Renovated: None 34 3610 Caswell St, Wilmington, NC 38403 Phone: (910) 792-1210 Contact: Sharon Total Units:79 UC:0 Occupancy:100.0%Stories:3 Year Built:1992w/Elevator Hadden Hall BR: Target Population: Rent Special: Notes: HUD Sections 8 & 202 1 0Vacant Units:Waitlist:32 HH AR Year: Senior 62+Yr Renovated: None 35 4901 Randall Pkwy, Wilmington, NC 28403 Phone: (910) 756-3533 Contact: Shannon Total Units:384 UC:0 Occupancy:90.9%Stories:1,2 Year Built:1979 Harbor Station Townhomes BR: Target Population: Rent Special: Notes: 1, 2 35Vacant Units:Waitlist:None AR Year: Family Yr Renovated:2019 $50 off every month of lease OR $ 1500 credit off in 3 months 12Bowen National Research A- Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 36 1436 Harbour Dr, Wilmington, NC 28401 Phone: (910) 791-6665 Contact: Brittany Total Units:84 UC:0 Occupancy:94.0%Stories:2 Year Built:1984 Harbour Ridge BR: Target Population: Rent Special: Notes: 1, 2, 3 5Vacant Units:Waitlist:None AR Year: Family Yr Renovated:2010 $300 off 1st month's rent 37 5418 Sirius Dr, Wilmington, NC 28405 Phone: (910) 796-3222 Contact: Tabitha Total Units:204 UC:0 Occupancy:100.0%Stories:3 Year Built:2008w/Elevator Hawthorne at Murrayville BR: Target Population: Rent Special: Notes: Rent range based on floor level, balconies, and upgrades 1, 2, 3 0Vacant Units:Waitlist:14 HH AR Year: Family Yr Renovated: None 38 5335 Oleander Dr, Wilmington, NC 28403 Phone: (336) 275-9511 Contact: Kristian Total Units:223 UC:0 Occupancy:100.0%Stories:4 Year Built:2021w/Elevator Hawthorne at Oleander BR: Target Population: Rent Special: Notes: Preleasing 3/2020, opened 9/2021, 100% occupancy 12/2021; Rents change daily 1, 2, 3 0Vacant Units:Waitlist:9 HH AR Year: Family Yr Renovated: None 39 4645 Gordon Rd, Wilmington, NC 28411 Phone: (844) 301-0915 Contact: Isabella Total Units:318 UC:0 Occupancy:97.5%Stories:3 Year Built:2020w/Elevator Hawthorne at Smith Creek BR: Target Population: Rent Special: Notes: Preleasing 11/2019, opened 1st units 2/2020, still in lease-up 1, 2, 3 8Vacant Units:Waitlist:None AR Year: Family Yr Renovated: 2-br: One month's rent free 40 3215 Midvale Dr, Wilmington, NC 28412 Phone: (910) 406-6607 Contact: McKenzie Total Units:176 UC:0 Occupancy:96.0%Stories:2 Year Built:2020 Hawthorne at the Pointe I BR: Target Population: Rent Special: Notes: Preleasing & opened 4/2020 1, 2, 3 7Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 13Bowen National Research A- Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 41 531 Old Maccumber Station Rd, Wilmington, NC 28405 Phone: (844) 825-4026 Contact: Olivia Total Units:192 UC:0 Occupancy:99.0%Stories:3 Year Built:2014w/Elevator Hawthorne at the Station BR: Target Population: Rent Special: Notes: 1, 2 2Vacant Units:Waitlist:None AR Year: Family Yr Renovated: One month's rent is free 42 612 Council St, Wilmington, NC 28403 Phone: (910) 392-1222 Contact: Ryan Total Units:286 UC:0 Occupancy:99.0%Stories:3 Year Built:2012 Headwaters at Autumn Hall BR: Target Population: Rent Special: Notes: Rent range due to floorplan, floor level, and upgrades 1, 2, 3 3Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 43 1402 Meares St, Wilmington, NC 28401 Phone: (910) 341-7715 Contact: Valerie Total Units:256 UC:0 Occupancy:100.0%Stories:1 Year Built:1941 Hillcrest Apts. BR: Target Population: Rent Special: Notes: Public Housing 0, 1, 2, 3 0Vacant Units:Waitlist:36 mos AR Year: Family Yr Renovated: None 44 1027 Ashes Dr, Wilmington, NC 28405 Phone: (910) 216-0173 Contact: Sidney Picture Not Available Total Units:198 UC:0 Occupancy:85.9%Stories:4 Year Built:2022w/Elevator Hudson Renaissance BR: Target Population: Rent Special: Notes: Preleasing 1/2022, opened 5/2022, still in lease-up 0, 1, 2 28Vacant Units:Waitlist:None AR Year: Family Yr Renovated: 1-br $500 off; 2-br one-month rent free 45 3938 Independence Blvd, Wilmington, NC 28412 Phone: (910) 665-7209 Contact: Leigh Total Units:254 UC:0 Occupancy:97.6%Stories:3,4 Year Built:2019w/Elevator Indy West BR: Target Population: Rent Special: Notes: Preleasing & opened 8/2019; Rents change daily; Rent range based on floorplan, floor level & view 1, 2, 3 6Vacant Units:Waitlist:None AR Year: Family Yr Renovated: Move-in within 30 days get 50% off rent 14Bowen National Research A- Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 46 1020 Rankin St, Wilmington, NC 28401 Phone: (910) 763-0406 Contact: Amber Total Units:37 UC:0 Occupancy:100.0%Stories:4 Year Built:1923w/Elevator James A Walker BR: Target Population: Rent Special: Notes: Tax Credit & HUD Section 8 (29 units); Tax Credit & Key (8 units) 1, 2 0Vacant Units:Waitlist:8 HH AR Year: Senior 55+Yr Renovated:2010 None 47 903 Dawson St, Wilmington, NC 28401 Phone: (910) 763-0051 Contact: Ella Total Units:82 UC:0 Occupancy:100.0%Stories:1,2,3 Year Built:2003w/Elevator Jervay Communities BR: Target Population: Rent Special: Notes: Tax Credit; PBV/PBRA 1, 2, 3 0Vacant Units:Waitlist:36-60 mos AR Year: Family, Senior 62+Yr Renovated: None 48 2026-2028 Kent St, Wilmington, NC 28403 Phone: (910) 762-5004 Contact: Sherry Total Units:12 UC:0 Occupancy:100.0%Stories:2 Year Built:1992 Kent Street BR: Target Population: Rent Special: Notes: Tax Credit 2 0Vacant Units:Waitlist:100 HH AR Year: Family Yr Renovated:2016 None 49 4160 Lake Ave, Wilmington, NC 28403 Phone: (910) 794-3033 Contact: Sarah Total Units:75 UC:0 Occupancy:100.0%Stories:3 Year Built:2012w/Elevator Lake Ridge Commons BR: Target Population: Rent Special: Notes: Tax Credit 1, 2 0Vacant Units:Waitlist:50 HH AR Year: Senior 55+Yr Renovated: None 50 1630 Lewis Landing Ave, Wilmington, NC 28405 Phone: Contact: Carter Picture Not Available Total Units:117 UC:75 Occupancy:61.5%Stories:3 Year Built:2022 Landing at Lewis Creek BR: Target Population: Rent Special: Notes: 75 additional units UC, ECD late 2022; Preleasing 5/2022, opened 7/2022, still in lease-up 1, 2, 3 45Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 15Bowen National Research A- Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 51 4900 S College Rd, Wilmington, NC 28412 Phone: (910) 793-3550 Contact: Kayla Total Units:53 UC:0 Occupancy:100.0%Stories:3 Year Built:2015 Lockwood Village BR: Target Population: Rent Special: Notes: Tax Credit 1, 2 0Vacant Units:Waitlist:53 HH AR Year: Family Yr Renovated: None 52 1813 Sir Tyler Dr, Wilmington, NC 28405 Phone: (833) 763-1524 Contact: Taylor Total Units:240 UC:0 Occupancy:93.8%Stories:4 Year Built:2017w/Elevator Mayfaire Flats BR: Target Population: Rent Special: Notes: Rent range based on unit amenities & floor level 0, 1, 2 15Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 53 2620 Northchase Pkwy SE, Wilmington, NC 28405 Phone: (910) 601-2582 Contact: Lacy Total Units:103 UC:0 Occupancy:98.1%Stories:2 Year Built:1994 Meridian Village BR: Target Population: Rent Special: Notes: 2, 3 2Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 54 414 Mill Creek Ct, Wilmington, NC 28403 Phone: (910) 597-2156 Contact: Haley Total Units:364 UC:0 Occupancy:91.8%Stories:2,3 Year Built:1998 Mill Creek I & II BR: Target Population: Rent Special: Notes: Rents change daily; Rent range based on entrance & unit upgrades 1, 2, 3 30Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 55 7220 Myrtle Grove Rd, Wilmington, NC 28409 Phone: (910) 390-6271 Contact: McKenzie Total Units:144 UC:0 Occupancy:100.0%Stories:2 Year Built:2017 Myrtle Landing Townhomes BR: Target Population: Rent Special: Notes: 2, 3 0Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 16Bowen National Research A- Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 56 2402 Flint Dr, Wilmington, NC 28401 Phone: (910) 799-2779 Contact: Kim Total Units:100 UC:0 Occupancy:100.0%Stories:2 Year Built:1971 New Hanover Village BR: Target Population: Rent Special: Notes: 2, 3 0Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 57 4413 Cohan Cir, Wilmington, NC 28405 Phone: (910) 799-6996 Contact: Rachel Total Units:336 UC:0 Occupancy:94.3%Stories:3 Year Built:2008 New Providence Park BR: Target Population: Rent Special: Notes: 1, 2, 3 19Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 58 4027 Watercraft Ferry Ave, Wilmington, NC 28412 Phone: (910) 777-5447 Contact: Abby Total Units:250 UC:0 Occupancy:97.2%Stories:3,4 Year Built:2021w/Elevator Oasis at Riverlights BR: Target Population: Rent Special: Notes: Preleasing 2/2022, opened 5/2022, still in lease-up 1, 2, 3 7Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 59 2945 Midtown Way, Wilmington, NC 28403 Phone: (910) 766-8528 Contact: Mike Total Units:223 UC:0 Occupancy:98.7%Stories:3,4 Year Built:2015w/Elevator One Midtown BR: Target Population: Rent Special: Notes: Rents change daily 1, 2, 3 3Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 60 14 Grace St, Wilmington, NC 28401 Phone: (910) 442-8116 Contact: Layla Total Units:79 UC:0 Occupancy:94.9%Stories:13 Year Built:2020w/Elevator Overlook at RiverPlace BR: Target Population: Rent Special: Notes: Preleasing 7/2020, opened 1st units 9/2020 0, 1, 2 4Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 17Bowen National Research A- Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 61 124 Amaryllis Dr, Wilmington, NC 28411 Phone: (910) 686-7368 Contact: Maryann Total Units:201 UC:0 Occupancy:96.5%Stories:3 Year Built:2006 Park at Three Oaks BR: Target Population: Rent Special: Notes: 1, 2 7Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 62 901 Nutt St, Wilmington, NC 28401 Phone: (910) 505-9094 Contact: Jenna Total Units:282 UC:0 Occupancy:96.8%Stories:6 Year Built:2020w/Elevator Pier 33 BR: Target Population: Rent Special: Notes: Preleasing 7/2020, opened 12/2020 0, 1, 2, 3 9Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 63 1002 Mayflower Dr, Wilmington, NC 28401 Phone: (910) 795-2408 Contact: Kelly Total Units:233 UC:0 Occupancy:100.0%Stories:2 Year Built:1970 Pines of Wilmington BR: Target Population: Rent Special: Notes: Higher rents renovated units 1, 2, 3 0Vacant Units:Waitlist:3 HH AR Year: Family Yr Renovated:2015 None 64 4505 Prior Dr, Wilmington, NC 28412 Phone: (910) 789-0340 Contact: Susan Total Units:117 UC:0 Occupancy:100.0%Stories:2 Year Built:2000 Pleasant Grove Village & Townhomes BR: Target Population: Rent Special: Notes: Phase II 2008, phase III 2009 1, 2, 3 0Vacant Units:Waitlist:10 HH AR Year: Family Yr Renovated: None 65 516 Taylor St, Wilmington, NC 28401 Phone: (910) 762-4110 Contact: Rhonda Total Units:48 UC:0 Occupancy:100.0%Stories:3 Year Built:2008 Pointe at Taylor Estates BR: Target Population: Rent Special: Notes: Tax Credit; Key Program (4 units, designated disabled) 2, 3 0Vacant Units:Waitlist:25 HH AR Year: Family, Disabled Yr Renovated: None 18Bowen National Research A- Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 66 3314 Wickslow Rd, Wilmington, NC 28412 Phone: (910) 519-1741 Contact: James Total Units:219 UC:0 Occupancy:95.9%Stories:2 Year Built:1976 Preserve at Pine Valley BR: Target Population: Rent Special: Notes: Rents change daily 1, 2, 3 9Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 67 734 N MacMillian Ave, Wilmington, NC 28403 Phone: (910) 790-9484 Contact: Katheryn Total Units:136 UC:0 Occupancy:97.1%Stories:3 Year Built:1998 Quad BR: Target Population: Rent Special: Notes: Rents change daily 1, 2, 3 4Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 68 115 Beaumont Oaks Dr, Wilmington, NC 28411 Phone: Contact: Kathy Picture Not Available Total Units:0 UC:238 Occupancy:Stories:3 Year Built:2022 Reserve at Beaumont Oaks BR: Target Population: Rent Special: Notes: 238 units UC, ECD 2/2023, Preleasing 8/2022, still in lease-up 1, 2, 3, 4 0Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 69 361 Darlington Ave., Wilmington, NC 28403 Phone: (910) 335-2830 Contact: Steven Total Units:516 UC:0 Occupancy:99.2%Stories:3 Year Built:1994 Reserve at Forest Hills BR: Target Population: Rent Special: Notes: Rents change daily 1, 2, 3 4Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 70 1411 Parkview Cir, Wilmington, NC 28405 Phone: (910) 256-4019 Contact: Erin Total Units:264 UC:0 Occupancy:94.7%Stories:3 Year Built:2005 Reserve at Mayfaire BR: Target Population: Rent Special: Notes: Rents change daily; Rent range based on floorplan & unit upgrades 1, 2, 3 14Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 19Bowen National Research A- Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 71 3510 Corder Dr, Wilmington, NC 28412 Phone: (833) 871-3196 Contact: Jenna Picture Not Available Total Units:120 UC:86 Occupancy:65.8%Stories:3 Year Built:2022 Riverwood Apts. BR: Target Population: Rent Special: Notes: Preleasing 1/2022, opened 4/2022, still in lease-up; 86 additional units UC, ECD 11/2022 1, 2, 3 41Vacant Units:Waitlist:None AR Year: Family Yr Renovated: Sign a 10 month or 12 month ease get 1/2 month rent free 72 1308 N 5th St, Wilmington, NC 28401 Phone: (910) 762-1707 Contact: Kim Total Units:96 UC:0 Occupancy:100.0%Stories:3 Year Built:2008w/Elevator Robert R. Taylor Senior Homes BR: Target Population: Rent Special: Notes: Tax Credit 1, 2 0Vacant Units:Waitlist:70 HH AR Year: Senior 55+Yr Renovated: None 73 1192 Harbour Dr, Wilmington, NC 28401 Phone: (855) 705-4774 Contact: Ericka Total Units:172 UC:0 Occupancy:97.7%Stories:2,3 Year Built:1987 Sand Ridge I, II, III BR: Target Population: Rent Special: Notes: 1, 2, 3 4Vacant Units:Waitlist:None AR Year: Family Yr Renovated:2000 None 74 1015 Nutt St, Wilmington, NC 28401 Phone: (833) 455-5003 Contact: Megan Total Units:280 UC:0 Occupancy:97.1%Stories:4 Year Built:2017w/Elevator Sawmill Point BR: Target Population: Rent Special: Notes: Rents change daily 1, 2 8Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 75 2126 W Lake Shore Dr, Wilmington, NC 28401 Phone: (910) 763-4424 Contact: Katrina Total Units:40 UC:0 Occupancy:100.0%Stories:1 Year Built:2019 SECU Lakeside Reserve BR: Target Population: Rent Special: Notes: Permanent Support Housing; Preleasing 5/2019, opened 6/2019, 100% occupied 7/2019; Serves chronically homeless & homeless veterans; HOME Funds (40 units) 1 0Vacant Units:Waitlist:150 HH AR Year: Homeless, Veteran Yr Renovated: None 20Bowen National Research A- Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 76 719 Galley Ln, Wilmington, NC 28412 Phone: (910) 729-6838 Contact: Giovanni Total Units:96 UC:0 Occupancy:97.9%Stories:3 Year Built:2018 Shipyard at Wilmington BR: Target Population: Rent Special: Notes: 1, 2, 3 2Vacant Units:Waitlist:None AR Year: Family Yr Renovated: $99 off 1st month's rent 77 15 Castle St, Wilmington, NC 28401 Phone: (910) 341-7717 Contact: Rebecca Total Units:151 UC:0 Occupancy:100.0%Stories:11 Year Built:1972w/Elevator Solomon Towers BR: Target Population: Rent Special: Notes: Public Housing 0, 1, 2 0Vacant Units:Waitlist:24 mos AR Year: Family Yr Renovated:2005 None 78 1400 S 2nd St, Wilmington, NC 28401 Phone: (910) 251-2391 Contact: Mia Total Units:250 UC:0 Occupancy:88.0%Stories:2 Year Built:1939 South Front I & II BR: Target Population: Rent Special: Notes: Rent range based on floorplan & phase 1, 2 30Vacant Units:Waitlist:None AR Year: Family Yr Renovated:2012 None 79 4615 Greentree Rd, Wilmington, NC 28405 Phone: (910) 791-0498 Contact: Jody Total Units:100 UC:0 Occupancy:100.0%Stories:2 Year Built:1973 Spring Branch BR: Target Population: Rent Special: Notes: Tax Credit 1, 2, 3, 4 0Vacant Units:Waitlist:95 HH AR Year: Family Yr Renovated:2017 None 80 814 St Andrews Dr, Wilmington, NC 28412 Phone: (833) 262-0346 Contact: Tandy Total Units:390 UC:0 Occupancy:94.4%Stories:3 Year Built:1999 St. Andrews Reserve BR: Target Population: Rent Special: Notes: Does not accept HCV 1, 2, 3 22Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 21Bowen National Research A- Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 81 4632 Still Meadow Dr, Wilmington, NC 28412 Phone: (910) 793-1984 Contact: Jessica Total Units:280 UC:0 Occupancy:97.5%Stories:3 Year Built:1999 Still Meadow Village BR: Target Population: Rent Special: Notes: Does not accept HCV; Phase II built in 2004 1, 2, 3 7Vacant Units:Waitlist:None AR Year: Family Yr Renovated:2019 None 82 4510 Tesla Park Dr, Wilmington, NC 28412 Phone: (833) 225-8984 Contact: Jessica Total Units:288 UC:0 Occupancy:91.0%Stories:3 Year Built:2003 Tesla Park BR: Target Population: Rent Special: Notes: Does not accept HCV; Rent range based on unit amenities & unit location 1, 2 26Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 83 355 Greendale Dr, Wilmington, NC 28405 Phone: (910) 762-1404 Contact: Ruby Total Units:104 UC:0 Occupancy:100.0%Stories:1,2 Year Built:1971 Tidewater Townhomes BR: Target Population: Rent Special: Notes: Tax Credit; HUD Section 8 1, 2, 3, 4 0Vacant Units:Waitlist:166 HH AR Year: Family Yr Renovated:2006 None 84 100 Beau Rivage Dr, Wilmington, NC 28412 Phone: (833) 266-0419 Contact: Elaina Total Units:120 UC:0 Occupancy:87.5%Stories:2 Year Built:2018 Townhomes at Beau Rivage BR: Target Population: Rent Special: Notes: Rent range based on units with backyards & location; Opened 1/2018, stabilized occupancy 1/2019 2 15Vacant Units:Waitlist:None AR Year: Family Yr Renovated: None 85 1519 Lake Branch Dr, Wilmington, NC 28401 Phone: (910) 763-3359 Contact: Kathy Total Units:429 UC:0 Occupancy:100.0%Stories:1 Year Built:1940 Village at Greenfield BR: Target Population: Rent Special: Notes: Tax Credit; Accepts HCV 1, 2, 3 0Vacant Units:Waitlist:100 plus AR Year: Family Yr Renovated:2000 None 22Bowen National Research A- Properties Surveyed — New Hanover County, North Carolina Survey Date: October 2022 86 820 MacMillen Ave, Wilmington, NC 28403 Phone: (910) 392-0303 Contact: Heather Total Units:138 UC:0 Occupancy:98.6%Stories:3 Year Built:1984 Village Green BR: Target Population: Rent Special: Notes: Does not accept HCV 1, 2, 3 2Vacant Units:Waitlist:None AR Year: Family Yr Renovated:2009 None 87 4917 Vineyard Ln, Wilmington, NC 28403 Phone: (910) 395-0098 Contact: Maria Total Units:58 UC:0 Occupancy:100.0%Stories:2 Year Built:2005 Vineyard Pointe BR: Target Population: Rent Special: Notes: Tax Credit 1, 2, 3 0Vacant Units:Waitlist:87 HH AR Year: Family Yr Renovated: None 88 7235 Darden Rd, Wilmington, NC 28411 Phone: (910) 686-4567 Contact: Thersa Total Units:60 UC:0 Occupancy:100.0%Stories:2 Year Built:2005w/Elevator White Oak BR: Target Population: Rent Special: Notes: Tax Credit 1, 2 0Vacant Units:Waitlist:6 Years Now closed AR Year: Senior 55+Yr Renovated: None 89 3508-3525 Frog Pond Pl, Wilmington, NC 28403 Phone: (844) 669-3264 Contact: Sherry Total Units:40 UC:0 Occupancy:100.0%Stories:2 Year Built:1994 Willow Pond BR: Target Population: Rent Special: Notes: Tax Credit; HUD VASH (2 units); HOME Funds (40 units) 2, 3 0Vacant Units:Waitlist:12 mos AR Year: Family Yr Renovated:2018 None 90 5025 Carolina Beach Rd, Wilmington, NC 28412 Phone: (910) 833-5466 Contact: Shenita Total Units:80 UC:0 Occupancy:100.0%Stories:2,3 Year Built:2019 Woodbridge Pointe BR: Target Population: Rent Special: Notes: Tax Credit; Preleasing 7/2019, opened 9/2019, 100% occupied 3/2020 1, 2, 3, 4 0Vacant Units:Waitlist:59 HH AR Year: Family Yr Renovated: None 23Bowen National Research A- Utility Allowance — New Hanover County, North Carolina Survey Date: October 2022 Source: Wilmington Housing Authority Effective: 07/2021 Monthly Dollar Allowances Garden Townhome 0 BR 1 BR 2 BR 3 BR 4 BR 5 BR 2 BR 3 BR1 BR 4 BR0 BR 5 BR Natural Gas +Base Charge Bottled Gas Electric Oil Heating Natural Gas Cooking Bottled Gas Electric Other Electric +Base Charge Air Conditioning Bottled Gas Natural Gas ElectricWater Heating Oil Water Sewer Trash Collection Internet* Alarm Monitoring* Cable* 19 21 2724 29 32 19 21 24 322729 11 1111 11 1111 11 11 11 1111 11 45 51 66 7260 78 7266455160 78 2118101215 24 12 18 24152110 41 50 62475635 623541475650 Heat Pump 10169 1412910 1612151514 4124 8644 12610108 27999212730 301521159 155 1012558 15812510 36 5151362820431717202843 16 16 16161616161616161616 191128911159 23151923 28 9 26 22917171322138 268 42 4221 662433212466335757 12 19101016261612 222219 26 15 18 26 35 41 50 15 18 26 35 41 50 573150373044445031573730 40 54 61 544768404740 684061 26 2626262626262626262626 20 20202020 20202020202020 202020202020202020202020 0 000 00000000 * Estimated- not from source 24Bowen National Research - Utility Allowance: NC-Wilmington (07/2021)A- BOWEN NATIONAL RESEARCH Addendum B-1 ADDENDUM B: QUALIFICATIONS The Company Bowen National Research employs an expert staff to ensure that each market study includes the highest standards. Each staff member has hands-on experience evaluating sites and comparable properties, analyzing market characteristics and trends, and providing realistic recommendations and conclusions. The Bowen National Research staff has national experience and knowledge to assist in evaluating a variety of product types and markets. Primary Contact and Report Author Patrick Bowen, President of Bowen National Research, has conducted numerous housing needs assessments and provided consulting services to city, county and state development entities as it relates to residential development, including affordable and market-rate housing, for both rental and for-sale housing, and retail development opportunities. He has also prepared and supervised thousands of market feasibility studies for all types of real estate products, including housing, retail, office, industrial and mixed-use developments, since 1996. Mr. Bowen has worked closely with many state and federal housing agencies to assist them with their market study guidelines. Mr. Bowen has his bachelor’s degree in legal administration (with emphasis on business and law) from the University of West Florida and currently serves as Trustee of the National Council of Housing Market Analysts (NCHMA). Housing Needs Assessment Experience Location Client Completion Year Dublin, GA City of Dublin Purchasing Departments 2018 Evansville, IN City of Evansville, IN - Department of Metropolitan Development 2018 Beaufort County, SC Beaufort County 2018 Burke County, NC Burke County Board of REALTORS 2018 Ottawa County, MI HOUSING NEXT 2018 Bowling Green, KY City of Bowling Green Kentucky 2019 Evansville, IN City of Evansville, IN - Department of Metropolitan Development 2019 Zanesville, OH City of Zanesville Department of Community Development 2019 Buncombe County, NC City of Asheville Community and Economic Development Department 2019 Cleveland County, NC Cleveland County Government 2019 Frankstown Twp., PA Woda Cooper Companies, Inc. 2019 Taylor County, WV Taylor County Development Authority 2019 Lac Courte Oreilles Reservation, WI Lac Courte Oreilles Ojibwa Community College 2019 Owensboro, KY City of Owensboro 2019 Asheville, NC City of Asheville Community and Economic Development Department 2020 Evansville, IN City of Evansville, IN - Department of Metropolitan Development 2020 Youngstown, OH Youngstown Neighborhood Development Corporation (YNDC) 2020 BOWEN NATIONAL RESEARCH Addendum B-2 (continued) Housing Needs Assessment Experience Location Client Completion Year Richlands, VA Town of Richlands, Virginia 2020 Elkin, NC Elkin Economic Development Department 2020 Grand Rapids, MI Grand Rapids Area Chamber of Commerce 2020 Morgantown, WV City of Morgantown 2020 Erwin, TN Unicoi County Economic Development Board 2020 Ferrum, VA County of Franklin (Virginia) 2020 Charleston, WV Charleston Area Alliance 2020 Wilkes County, NC Wilkes Economic Development Corporation 2020 Oxford, OH City of Oxford - Community Development Department 2020 New Hanover County, NC New Hanover County Finance Department 2020 Ann Arbor, MI Smith Group, Inc. 2020 Austin, IN Austin Redevelopment Commission 2020 Evansville, IN City of Evansville, IN - Department of Metropolitan Development 2021 Giddings, TX Giddings Economic Development Corporation 2021 Georgetown County, SC Georgetown County 2021 Western North Carolina (18 Counties) Dogwood Health Trust 2021 Carteret County, NC Carteret County Economic Development Foundation 2021 Ottawa County, MI HOUSING NEXT 2021 Dayton, OH Miami Valley Nonprofit Housing Collaborative 2021 High Country, NC (4 Counties) NC REALTORS 2022 Evansville, IN City of Evansville, IN - Department of Metropolitan Development 2022 Barren County, KY The Barren County Economic Authority 2022 Kirksville, MO City of Kirksville 2022 Rutherfordton, NC Town of Rutherfordton 2022 Spindale, NC Town of Spindale 2022 Wood County, WV Wood County Development Authority & Parkersburg-Wood County Area Development Corporation 2022 Yancey County, NC Yancey County 2022 Cherokee County, NC Economic and Workforce Development, Tri-County Community College 2022 Rowan County, KY Morehead-Rowan County Economic Development Council 2022 The following individuals provided research and analysis assistance: Christopher Bunch, Market Analyst, has more than a decade of experience in conducting both site-specific market feasibility studies and broader housing needs assessments. He has conducted on-site market research of a variety of housing product, conducted stakeholder interviews and completed specialized research on housing market attributes including the impact of military personnel, heirs and estates and other unique factors that impact housing needs. Desireé Johnson is the Director of Operations for Bowen National Research. Ms. Johnson is responsible for all client relations, the procurement of work contracts, and the overall supervision and day-to-day operations of the company. Ms. Johnson also coordinates and oversees research staff and activities. She has been involved in the real estate market research industry since 2006. Ms. Johnson has an Associate of Applied Science in Office Administration from Columbus State Community College. BOWEN NATIONAL RESEARCH Addendum B-3 Pat McDavid, Research Specialist, has conducted housing research for housing needs assessments completed throughout the country. Additionally, he is experienced in analyzing demographic and economic data in rural, suburban and metropolitan communities. Mr. McDavid has been a part of the development of market strategies, operational and fiscal performance analysis, and commercial, industrial and government (local, state, and federal) client consultation within the construction and manufacturing industries. He holds a bachelor’s degree in Secondary Earth Science from Western Governors University. Gregory Piduch, Market Analyst, has conducted site-specific analyses in both metropolitan and rural areas throughout the country. He is familiar with multiple types of rental housing programs, the day-to-day interaction with property managers and leasing agents and the collection of pertinent property details. Mr. Piduch holds a Bachelor of Arts in Communication and Rhetoric from the University of Albany, State University of New York and a Master of Professional Studies in Sports Industry Management from Georgetown University. Jody LaCava, Research Specialist, has nearly a decade of real estate research experience. She has extensive experience in surveying a variety of housing alternatives, including rental, for-sale, and senior housing. She has experience in conducting on-site research of real estate, evaluating existing housing properties, conducting interviews, and evaluating community services. She has been involved in industry leading case studies, door-to-door resident surveys and special needs housing research. In-House Researchers – Bowen National Research employs a staff of in-house researchers who are experienced in the surveying and evaluation of all rental and for-sale housing types, as well as in conducting interviews and surveys with city officials, economic development offices and chambers of commerce, housing authorities and residents. No subconsultants were used as part of this assessment.