This article is an in depth review of affordable housing projects that have broken ground or expected to break ground that are designed to address the city’s affordable housing shortage. Once all the projects are completed, they will go a long way to negate the need to change the city’s zoning laws to double or triple density in establish neighborhoods.
UPZONING CONTROVERSY
It was on February 18, 2026 that the Albuquerque City Council voted 5 to 4 to reject a series of sweeping amendments that Mayor Tim Keller sought to the city’s zoning laws mandating upzoning in all established residential areas of the city. The debate exposed tensions between affordable housing activists, investors and developers on one side and on the other side were existing homeowners, property owners and neighborhood associations.
Supporters wanted to double or triple density to boost housing supply in all existing neighborhoods, eliminating rights to object or appeal by adjoining or affected property owners arguing that “flooding the market” with more housing would result in making more affordable housing available for sale or rent.
Opposing homeowners, property owners and neighborhood associations argued there was a need to preserve historical areas of the city, to preserve existing neighborhood character, tranquility and livability and to prevent gentrification and no property tax increases brought on by change in zoning, improvements or a new purchaser.
Supporters of the dramatic changes to the city’s zoning laws did not mention and essentially ignored the millions being spent on affordable housing projects that will have impact on the city affordable housing shortage.
EXTENT OF CITY’S HOUSING SHORTAGE
A recent study by Root Policy Research found that Albuquerque has a significant shortage of units for low-income renters. It is estimated that on the low side Albuquerque is in need of 13,000 units and on the high side 28,000 units to meet the demand for housing. Estimates rely on the city’s growth rate which reduces affordable housing demands given the fact that the city for the last 3 years has lost population and that trend is expected to continue.
Albuquerque is struggling with being able to provide sufficient “affordable housing” which is a major contributor to homelessness. A 2024 Denver-based Root Policy Research report, entitled “Albuquerque Region Housing Needs Assessment” found a significant shortage of units for low-income renters. The report found that residents are spending more than a third of their monthly income on housing and that occupied units, such as apartments and single-family homes, often had more residents than rooms available.
The link to a quoted or relied upon news source is here:
The most recent Point-In-Time (PIT) Report for the number of unhoused PERSONS experiencing homelessness in Albuquerque is 2,960 broken down in 3 categories:
- Emergency Shelters: 1,327
- Transitional Housing: 266
- Unsheltered: 1,367
Total: 2,960
The link to review the entire 62-page 2024 PIT report is here:
Notwithstanding the “Point In Time” finding that the city has 2,960 unhoused, the Mayor Keller Administration estimates that there are upwards 5,000 people who are unhoused and who are living on the streets in Albuquerque.
Over the past two decades, rent and house prices have risen faster than income nationwide, meaning low-income Americans are getting priced out and spending, at times, more than 30% of their paycheck to keep a roof over their heads, according to the U.S. Treasury Department.
MAJOR AFFORDABLE HOUSING PROJECTS IDENTIFIED
Following are the major affordable housing projects approved over the last two years that one completed will reduce the city’s affordable housing shortage:
WEST MESA RIDGE APARTMENTS
On April 21, 2026, it was reported that a new kind of affordable housing broke ground which is focused on providing more financial help for families with children. The West Mesa Ridge apartments by Coors and Fortuna on the west side will be a 128-unit affordable housing complex, with a preschool on site. The whole project will be built on a 12.5-acre plot of land, with one acre of that going to the early childhood center. The project is a partnership between the city, county, nonprofits, and state agencies. Construction is currently in progress after breaking ground last week, with an opening date of August 2027. Following the opening of this phase, a second phase will begin, which will have an additional 144 affordable units.
“CASITAS DEL CAMINO”
On March 26, 2026 a ground breaking ceremony was held on the $38 million affordable housing project known as “Casitas del Camino”. The project is a prime example of combining millions of dollars in federal, state, city and county government funds The project is located one block off West Central.
Over the next year, construction crews will renovate defunct public housing off West Central and 60th NW and build additional units, ultimately providing 88 new or refurbished apartments for low-income families. The project combines millions in federal, state, city and county government funds in an attempt to address what politicians and activists are calling a housing crisis.
Linda Bridge, the executive director of the Albuquerque Housing Authority said Casitas del Camino will provide what she called “truly affordable” housing for families. Families who make 60% of the Area Median Income (AMI) or less are eligible to live at Casitas del Camino. That amounts to a maximum of $49,000 a year for a family of three.
Forty-four units will be reserved for families earning 60% AMI or less, while 17 units are limited to families making 50% AMI or less. Twenty-seven units will be for the lowest-income residents who make 30% AMI or less. That’s approximately $24,700 a year for a family of three. The site will also include a playground, basketball court and community building.
THE STATE FAIR REDVELOPMENT DISTRICT INCLUDES $30 Million For AFFORDABLE HOUSING
The “State Fairgrounds District” is a 7 member board created by the legislature and chaired by the Governor that has redevelopment funding authority over the existing State Fair grounds for repurposing the 236-acre tract of land. On March 14, the State Fairgrounds District Board voted 6-1 to approve Phase 1 of the Master Plan giving their approval for the state to spend $114 million in appropriations from the Legislature once the fiscal year begins on July 1. The Phase 1 price tag is upwards of $200 million when combined with previously approved bonds. Phase 1 includes infrastructure maintenance for the State Fair and to add permanent retail space and housing. The investment is expected to generate $5.7 million a year in tax earnings which is double what the State Fair currently produces. At least $30 million of the budget is dedicated specifically for affordable housing of upwards .
HOUSING PROJECTS FUNDED BY CITY
On August 4, 2025, the Albuquerque City Council passed R-25-177, a measure to appropriate $7,562,000 in State Capital Outlay funding to three specific affordable housing projects in City Council District 2 represented by District 2 City Councilor Joaquín Baca. The funding, appropriated during the 2025 legislative session through House Bill 450, aims to expand housing options for low- to moderate-income residents.
The resolution allocates Capital Outlay funding from the State to projects that are designed to increase the number of “affordable, transitional, and supportive housing” units. The projects are contingent upon being formally designated as “Qualifying Grantees” and receiving final approval from the Mortgage Finance Authority (MFA) and the New Mexico Department of Finance/Local Government Division.
R-25-177, directs the funding toward three distinct projects in the Downtown and Barelas areas of the city. The largest portion, $5 million, will be used to convert the old Wells Fargo building located third and Lomas into the Lomas Towers. The adaptive reuse projects are expected to create between 100 and 120 rental units for residents earning up to 80% of the area median income. The conversion also includes plans for new commercial space to help revitalize downtown Albuquerque.
All three projects required final approval by the New Mexico Mortgage Finance Authority and Department of Finance.
The three projects identified to receive the $7.5 Million in funding are:
- WELLS FARGO BUILDING CONVERSION INTOLOMAS TOWERS APARTMENTS.
A $5 million appropriation for a major adaptive reuse project that will convert approximately 85% of the 14-story former Wells Fargo Building, situated at Third Street and Lomas, into the Lomas Towers Apartments. It will be a 100-120 workforce housing apartment complex. The project aims to address the city’s housing shortage by creating attainable housing for households earning 80% or less of the area median income while also revitalizing the downtown area with new residential and commercial spaces.
On December 19, 2025 it was reported that the sale of the Wells Fargo building, has gone through. The acquisition closed on December 5, marking a significant step in allowing the tower’s new owners to begin their plans to redevelop the structure into mixed-use housing. The new owners are local real estate firm Geltmore LLC and California-based affordable housing developer Lincoln Avenue Communities, a subsidiary of Lincoln Avenue Capital.
The finalized acquisition allowed the developers to access the building, seal off the ground floor and begin some interior demolition and asbestos abatement work as they secure funding and tax credits over the next several months. The structure is expected to be prepped and ready for construction by early summer 2026.
The prep work is the first tangible step in the transformation of the 13-story banking and office building into roughly 100 workforce affordable housing units. Half of the one- and two-bedroom apartments will be priced for those who make 70% or below Albuquerque’s median income and the other half will go to those who make 50% or below the area’s median income, according to Snow.
Twelve stories of the building are dedicated to affordable housing, which will include 60 one-bedroom apartments and 40 two-bedroom apartments. The ground floor will be renovated into office and retail space.
The apartments will be priced for those who make 70% of Albuquerque’s median income and capped at 80%, which for one person stands at $51,200 a year, according to the U.S. Department of Housing and Urban Development guidelines for 2025.
The second floor will include community amenity rooms and a fitness room for residents, while the ground floor will feature publicly accessible commercial, retail and office uses. Lincoln owns and will handle the residential portion of the project, while Geltmore owns the ground floor and land and will handle the commercial components,
- THE ROMERO
This is a $1,931,249 appropriation for a community-driven development in Barelas. The Portland-based developer, Palindrome Communities, estimates the total project cost to be $20.8 million. The project overlooks the Railyards at Second and Santa Fe. A three-story apartment complex is planned that will provide 69 units at varying rates of affordability, ranging from 30% to 80% of the city’s median income. That range means that a person who makes around $18,000 a year and a person who makes nearly three times that will be living side by side. The development will also include 7,521 square feet of commercial space and several live-work units, fostering local entrepreneurship and creating a new mixed-use hub.
- GIZMO ARTSPACE:
The resolution allocates $630,751 for the GIZMO Artspace project. The Gizmo building has historical significance. The building was once a J.C. Penney, which had its grand reopening in 1949. The $630,751 appropriated is not enough to renovate the upper floor into housing, but it’s the first step to getting the decades long-vacant building operable again. Plans are to renovate the vacant Gizmo building on Central into a hub for artists from all walks of life. The 53,000-square-foot, four-story building will house two galleries, 24 artist studios, a library, an art supply store, a print shop and six apartments.
Links to relied upon or quoted news sources are here:
https://www.koat.com/article/albuquerque-city-council-affordable-housing-projects/65601263
https://www.youtube.com/watch?v=lKTQqlUC9ak
https://www.youtube.com/watch?v=lKTQqlUC9ak
https://www.youtube.com/watch?v=lKTQqlUC9ak
UPTOWN CONNECT
On August 19, 2025 the Bernalillo County Commission approved $46 million in revenue bonds to help subsidize the construction of two apartment buildings that will bring more than 200 affordable housing units to Uptown. The project is intended to draw low-to-middle-income residents to the Uptown area immediately South of Coronado Center that is already filled with jobs, amenities and public transit.
The Uptown Connect project is estimated to cost $115 million in total, and through a combination of federal, state, municipal and private dollars, the project is almost fully funded. Palindrome Communities development company is the firm behind the project. Palindrome hopes to break ground in the first half of 2026 and be move-in ready by mid-2028, pending funding from the state.
The Uptown Connect apartment complex will include a four-story tower and a six-story tower. It is planned around ABQ Ride’s preexisting Uptown Transit Center at Indian School and Louisiana NE. The project is expected to increase ridership on city buses and lower single-person car ownership among residents. The neighborhood offers multiple grocery stores, banks, shopping centers and office buildings within a half mile, making it highly walkable for those who can afford it.
When completed, Uptown Connect will be the first affordable housing complex in the neighborhood. The new complex will feature primarily affordable housing. Fifty percent will be reserved for people who make $32,000 a year or less. There will also be 36 apartments that are not income restricted and that will be rented out at market rate. In addition to housing, Uptown Connect will revamp the transit center and add 11,000 and 8,000 square feet of commercial and office space.
The Bernalillo County commission will voted on final approval for the bonds in January 2026.
The link to the quoted or relied upon news source is here:
THE CALLE CUARTA PROJECT
On June 2, 2025, the Albuquerque City Council appropriated $2 million dollars for a transformative affordable housing development in Albuquerque’s North Valley known as the Calle Cuarta project. Located at Fourth and Candelaria, Calle Cuarta will deliver 61 affordable rental units for low-income individuals and families, ranging from studios to three-bedroom apartments. The development will also include ground-level retail space and four live-work units to support neighborhood vibrancy. The project is currently under construction and is expected to be completed this fall. City Councilors said that the project is now fully funded for enhancements like solar, EV charging, and landscaping.
The $2 Million investment ensures the addition of sustainability upgrades and community-focused features to benefit future residents. This includes $1.6 million in ARPA Emergency Rental Assistance funding and $380,000 in State Capital Outlay Funding. The funding builds on a prior $3.5 million investment from the City’s Workforce Housing Trust Fund and the donation of five acres of City-owned land to make this project a reality.
Links to relied upon or quoted news sources are here:
141 UNIT DOWNTOWN “SENDERO” AFFORDABLE HOUSING POJECT MOVES FORWARD
On January 8, 2026, it was reported that construction on a stalled housing project in Downtown Albuquerque will continue with a new developer. The project, called Sendero, was announced in 2022 under the name the Downtowner and was originally slated for completion in late 2025, though city officials said the project was delayed due to rising construction costs, financing challenges and market conditions. The Nonprofit affordable housing developer Sol Housing has now taken over the project, slated for a vacant lot on First and Silver SW, from Rembe Urban Design + Development.
The building will reserve some of its proposed 141 units for income-restricted affordable housing. City officials hope the project will be completed in 2027. The original development, Downtowner, had a budget of $30.1 million. City officials at the time had said the development would include 207 rental units, 11 work units and a coffee shop on its bottom floor.
Some of the units will be available for rent based on affordable housing standards set by the U.S. Department of Housing and Urban Development, Brunner said, though income restrictions have not yet been decided. The city had provided the land, a $1.8 million gap financing grant and a tax abatement valued at roughly $1.5 million over seven years for the previous project overseen by Rembe. Once complete, Sendero will include a ground-floor community space, bicycle parking, rooftop amenities and connections to the under-construction Albuquerque Rail Trail, a 7-mile loop connecting core parts of the city to pedestrians and bikers.
The link to the quoted or relied upon news source is here:
COMMERCIAL PROPERTY CONVERSIONS INTO HOUSING
There are two commercial office building being converted in to housing with city subsidized funding. Those conversions are as follows:
TWO PARK CENTRAL TOWER
On December 7, 2025, it was reported that the City has reached a development deal with the Houston company Silverstone Equity Partners that owns the vacant 10-story tower in the International District, a key step toward turning the building into housing. The 10-story, 101,000-square-foot Two Park Central Tower sold in August 2023 for just under $2 million. The Two Park Central Tower property tax bill is currently $87,090, but is expected to increase to $205,238 after the apartments are developed. On September 4, the City Council approved a seven-year tax abatement will save the developer a total of $744,332 on its property tax bills.
The development agreement between the city of Albuquerque and Silverstone Equity Partners follows the approval of a building permit for the development in October. The company plans to renovate the property into housing, bringing 110 studios and one-bedroom apartments to the tower that sits at San Mateo and Central NE. A groundbreaking is expected in January, 2026 with the project completion targeted for the first quarter of 2027.
The city has agreed to put $2 million into the project, which is expected to cost $23 million. The project, located at 300 San Mateo NE, will also benefit from a tax abatement the city approved in June, providing more than seven years of tax breaks valued at nearly $750,000.
As part of Silverstone’s plans for the building, 41 of the 110 units will be affordably priced for families making at or below 80% of the area’s median income. The remaining units will be market rate.
On January 8, a groundbreaking ceremony took place on the building as the start of the Serenade at Park Central project. Preparations are being made for full construction to begin in February. The development will feature over 100 new affordable housing units, market-rate apartments, commercial space and landscaping. City leaders believe this project will address Albuquerque’s housing shortage and safety concerns.
https://www.kob.com/new-mexico/__city_invests_2m_for_san_mateo_towers/
https://www.abqjournal.com/business/article_e799fed7-667d-4499-8384-da3823b8e242.html
BANK OF THE WEST TOWER
Another affordable housing development project is the old Bank of the West tower located at Central and San Mateo. Silverstone Equity Partners also owns the larger tower at the intersection. Decades ago it was originally a branch of the First National Bank. It is a 17 story a high-rise office building completed in 1963. When it was built it was the tallest building in the city. It is now the fifth tallest building in the state, and the tallest outside of Downtown Albuquerque. The developer intends to convert the 17-story tower into 160 apartments with “high-end” features like a roof deck, a pool and pickleball court.
TAX ABATEMENTS FOR MAJOR HOUSING DEVELOPMENT PROJECTS
The City of Albuquerque offers tax abatements for projects in the city’s 22 Metropolitan Redevelopment Areas (MRA’s). The majority of MRA’s in the city are in older parts of the city including the Downtown area or on Broadway.
How tax abatement works is that for seven years the city suspends or “freezes” the developer’s taxes at the amount they paid before the property gets any new buildings or upgrades. A developer might be transforming a vacant lot into new housing, for example, which dramatically increases the value of the property. Without the tax abatement, the property tax would have a corresponding increase.
Technically, the city takes the title of the property and leases it back to the developer, exempting the property from property taxes, and the developer makes a payment in lieu of taxes to Bernalillo County that is equivalent to the pre-development property tax. The city’s tax abatement program is relatively new, and about 10 properties have been approved for it.
After the seven years are up, the property taxes will be based on the property’s value at that moment and presumably go up. In the long term, the tax abatement program can increase city revenue because it can incentivize developers to build when they might otherwise leave the property vacant. Developers are required to get the tax abatement approved by city council before securing city building permits.
TAX ABATMENT PROJECTS OUTLINED
There are five major tax abatement projects approved by the city council in the last year. Those projects are as follows:
The 10-story Two-Park Central Tower near the corner of San Mateo and Central has been approved for a tax abatement by the City and it will now be converted into housing. Developer Route 66 Multifamily plans to turn the vacant office building into 110 apartments. Some of the apartments will be market value, and some might become affordable housing. The Two Park Central Tower property tax bill is currently $87,090.00 but is expected to increase to $205,238 after the apartments are developed. On September 4, 2024 the city council approved a seven-year tax abatement that could save the developer a total of $744,332 on its property tax bills.
The old Bank of the West Tower located at Central and San Mateo has also been approved for a tax abatement. The 17 story a high-rise office building is the fifth tallest building in the state, and the tallest outside of Downtown Albuquerque. Developer Route 66 plans to turn the commercial building into apartments.
A third and only project dedicated to affordable housing that has been approved for a tax abatement will be built at the corner of Central and Alcazar SE. The land has been vacant for almost 20 years. The 70-unit Somos Affordable Housing complex is being developed by Sol Housing. The nonprofit plans to set aside 84% of the units for income-restricted affordable housing. The tax abatement on this project will save the developer an estimated $514,376. The city already owns the land that the Somos project is being built on and will transfer ownership to Sol Housing after the abatement period ends. Felipe Rael, the executive director of Sol Housing, said this in a statement: “With the construction of 70 apartment homes and commercial space to support local small businesses, SOMOS can achieve the vision of the international marketplace, providing much needed housing and economic benefits to the International District. … The city’s support furthers this vision as we work to stabilize housing for 70 senior households.”
Another housing development project slated for a tax abatement will be undertaken by Titan Development. Titan Development. Titan is planning for a new long-term resident inn and food hall at the corner of Central and Cedar NE across from the Presbyterian Hospital complex. It is being proposed that the 126-unit residential development could be used by traveling nurses working across the street at Presbyterian Hospital. The tax abatement should save the developers an estimated $998,128 over seven years.
Sunlight Properties and Garfield Townhomes has also received council approval for a tax abatement for a townhome project in the University Heights neighborhood. The developers plan to build 16 townhomes on a vacant lot on Garfield. The current property tax bill of $1,509 would increase to an estimated $25,511 after development, so approval of the abatement will save the developer $151,209 over seven years.
NEW MEXICO LEGISLATURE APPROVES MILLIONS FOR HOUSING PROGRAMS
2024, 2025, 2026 were banner years for state appropriations to expand homeless and housing projects in the City of Albuquerque. During the 2024 and the 2025 legislative sessions, the New Mexico Legislature dedicated more than $300 million to various housing-related measures at different agencies, including revolving loans for builders, down-payment assistance and anti-homelessness programs. The Legislature specifically earmarked $110 million in the 2025 year’s budget of the $10.8 billion budget for affordable housing and homelessness assistance programs. During the 2026 legislative session, the New Mexico legislature appropriated $175 million for statewide housing and homelessness initiatives with the lions share going to Albuquerque.
Last year, the 2025 New Mexico Legislature approved upwards of $140 million for housing programs during the legislative session. $83 Million of that is earmarked for projects in the Albuquerque area for housing and the unhoused. On August 26, City, Bernalillo County and State Officials held a press conference to announce that $60 million of the $80 million will be allocated for housing and homelessness projects in the Albuquerque area that will be dedicated to getting 1,000 unhouse people off the streets by July, 2026.
More than $20 million of the funding will be used for expansion of the Gateway network of shelters and services. That includes $5 million for a 204-unit shelter for seniors; $6.5 million for Gateway West, which serves 660 people nightly; and additional funding for Gateway Young Adult.
Another $42.85 million of funding is earmarked to be spent as follows:
- $17.85 million for the purchase of the Poblana Place apartments in Bernalillo County for an 84-unit workforce housing complex for seniors and displaced youth;
- $1.5 million for a new mixed-income development Sombra del Oeste in southwest Albuquerque, adding 72 homes;
- $10 million to convert the iconic but vacant Wells Fargo building in downtown Albuquerque into the 13-story Lomas Tower, which will mean 100 residents for 140 people who earn less than 70% of the area median income (in Bernalillo County, that’s $44,800 for a one-person household);
- and$13.5 million for West Mesa Ridge A and B in the 700 block of Coors Boulevard, which will include 128 three-bedroom homes for residents earning from 30% to 80% of the area median income.
The link to relied upon or quoted news sources are here:
https://www.abqjournal.com/news/article_38b5041d-c3e9-4f66-b8e5-660fa8d37a47.html
APARTMENT CONSTRUCTION ON RISE
Albuquerque’s multifamily market will soon face pressure on key fundamentals as new supply continues to enter the market. In the first three months of 2025, occupancy stood at 95.3%, about 20 basis points below the fourth quarter of 2024, according to a Colliers market report. The occupancy rate remains stable overall: Albuquerque ranked 63rd out of the top 150 U.S. markets and improved by 1.7 percentage points during 2024. The city also holds the 17th highest occupancy rate among Western markets.
However, the influx of new supply is a growing concern. In the first quarter alone, 1,459 new apartments were delivered, increasing existing inventory by 2.6%. Even more multifamily units are expected to come online in the near term, which could further test the market’s ability to absorb new product and may lead to a modest rise in vacancy rates as the market digests this elevated supply.
At the end of the first quarter 2025, 993 units were under construction, of which 911 were scheduled to be completed in 2025. The largest projected development in the city in 2025 was the MultiGreen Properties’ which is 248-unit site in the West Mesa submarket. As more supply enters the market, Colliers projects that occupancy by the first quarter of 2026 will drop to about 94.1 percent.
Another big highlight in the first quarter was that sales volume was nearly cut in half from the previous three months’ almost $200 million in sales. And the amount was down by threefold compared with the first quarter of 2024’s nearly $400 million in volume. One major first-quarter sale was Dominion buying a 288-unit property for $22.8 million.
As far as rents go, they were up 1.5 percent annually, but still well below the city’s five-year average of 7.6 percent. Colliers forecasts that rent growth will remain below five percent at least until the first quarter of 2026.
https://www.kingsbarn.com/news/news-feed-details.asp?id=13439
COMMENTARY AND ANALYSIS
The answer to the city’s affordable housing shortage is not changes to the city’s zoning laws that would double or triple density in existing neighborhoods. The city neighborhoods are not broken! The answer to the city’s affordable housing shortage is to allow the development of the city’s commercial corridors into housing.
A survey of the city’s commercial corridors identified 6,050 properties documented along or adjacent to these corridors the following:
- 3,271 commercial premises, of which 740 (18%) are empty, closed, for lease, or abandoned
- 198 free-standing empty whole buildings with combined enclosed space of 1.9 million square feet
- 287 vacant lots totaling 217 acres
- 140 fast food outlets, 262 restaurants, 81 cannabis shops, but only 31 grocery stores. I can’t count high enough to include massage parlors and car washes.
- Large, paved parking lot areas underused all over the place
- Unhoused people concentrated or dispersed throughout
The survey was conducted by Jaemes Shanley with a link to his column and his survey in the postscript.
The term “affordable housing” is very misleading. It is a term way too often used by elected officials and politicians to simply declare a crisis with inflated numbers that shows there is not enough housing that allows the poor or low-income people to rent or buy a home and call their own. Housing prices and rental costs never come down. The more appropriate term that should be used is “subsidized” housing where it’s clear what is needed is subsidized government funding for those who cannot afford to buy outright or rent and need assistance.
The housing shortage crisis declared is related to economics, the development community’s inability to keep up with supply and demand and the public’s inability to purchase housing or qualify for housing mortgage loans. The shortage of rental properties has resulted in dramatic increases in rents. It is clear that the City of Albuquerque and the state of New Mexico are suffering from a shortage of housing, but that does not mean it is all affordable housing.
The blunt reality is that it is not at all realistic for the City, County nor the State to try and attempt to solve the housing shortage on their own with nothing but government financing and construction. Government’s responsibility is to provide essential services, such as police protection, fire protection and utilities and not to directly compete with the housing industry. It’s the market forces that must be relied upon to get the job done when it comes to housing of all kinds.
The approach that the City, the County and the State has taken in the form of tax deferrals, subsidies and low interest loans to the private sector as incentives to construct housing are the reasonable and responsible approach to help solve the current housing shortage in the city and the state.
City, County and State government can further help the private sector to build more housing by eliminating policies and zoning restrictions that unnecessarily drive-up housing costs so long as there is a preservation and respect for adjoining property owner’s rights and remedies. One area of reform to help the housing industry would be to address and reduce the states gross receipts tax on construction materials in order to bring down construction costs.
The City of Albuquerque needs to allow the redevelopment of its major commercial corridors for housing with the emphasis affordable housing.
The links to a related articles are here:
Click to access Albuquerque_Region_2024_Housing_Needs_Assessment.pdf