The Red River Community Housing Development Organization (Red River CHDO) and Red River Regional Council (RRRC) are hosting three half-day housing “Build Sessions” April 9-11. The upcoming Build Sessions will move the Region 4 rural housing study from research and analysis to ideation and action. The interactive sessions aim to engage critical stakeholders - regional leaders, elected officials, builders, lenders, policymakers, and others - in dialogue to identify solutions. This process will also identify players interested in implementing bold new ideas.
Kicking off the Build Sessions, Fourth Economy, the project consultant, will review work done to date and preliminary findings. Breakout groups will allow attendees to weigh in on topics they are most passionate about. All ideas will be used to develop an impactful, actionable implementation plan to change the trajectory of developing rural communities in the region.
The Build Sessions will be held 124:30 (includes lunch) as follows: Tuesday, April 9 at Minnkota Power, 5301 32nd Ave. S., Grand Forks Wednesday, April 10 at Minto Community Center, 114 Harvey Avenue Thursday, April 11 at Icelandic State Park Visitors Center, 5 miles west of Cavalier RSVP at https://dthr.short.gy/QMmrPx or by calling 701-352-3550.
The Build Sessions are part of the final stage of this three-stage study which also includes data analysis and a needs assessment. Community focus groups have been held the past month to learn the local challenges to new residential housing development. Preliminary takeaways from the Focus Groups include: Impact on Local Businesses: The lack of housing throughout the Red River Region has negative impacts on local businesses. Large and small employers are struggling to attract and retain employees due to a lack of available apartments, rental units, and starter homes. This problem especially affects schools, hospitals, farmers, and manufacturing companies.
Developer Desert: There is a lack of housing developers in the region limiting the volume of new housing that is built. External developers rarely build in the region due to high material and labor costs. When local housing developers have existed in the region, new residential development has occurred incrementally.
Lack of Available Lots: Many towns in the region lack available lots for new development. This issue is amplified by the region’s large floodplain, which is restricted from residential development. Many lots are undeveloped or vacant but are owned by out-of-town investors or families looking to hold them for future generations.
Little to No Housing on the Market: There is very little housing for sale in the region. Of the limited housing stock sold, most units change hands via word-of-mouth exchanges or 1-3 days after being posted on an online listing. Many regional workers, family members, and other residents are seeking housing units, creating consistent demand for the few units that do become available.
The study is being used to understand how the region and its municipalities can protect the existing housing stock and expedite much-needed new residential development. Housing is critical to a healthy economy. A shortage of housing stock is limiting economic growth and causing regional job and population loss in many of the region’s
“Our work is completely focused on action,” said Lisa Rotvold, Executive Director of the Red River CHDO. “We have found that the housing market in our small towns is dysfunctional. This study will document needs and identify solutions. It will become a tool to tell our stories, and advocate for the resources needed to turn the tide.”
New housing construction in most small towns has been stagnant for many years leaving an aged housing stock. Experts say the good news is that rents and home sales prices have remained low and quite affordable. The bad news is that low home values lead to appraisal gaps for new construction, and low rents don’t support the cost of building new rental housing. Both are now holding communities back from building the housing that is needed.
“We are eager to help our communities grow. Employers have been stressing the need to increase their workforce for several years, and the lack of available housing is a challenge,” said Dawn Mandt, Executive Director, RRRC. “Our corner of the state is positioned for extraordinary growth today and for the next several years.”