By ANNELI FOGT

Editor

It has been 10 years since islander and graphic designer Mike Masi bought his 7-acre plot of land on Gorsuch Road with the intention of turning more than half of it into an affordable housing development. After recently purchasing 18 water units, Masi now has a total of 31 from Water District 19 and has entered into a contract with Bellevue-based affordable housing developer Shelter Resources Inc., which will conduct a six-month feasibility study on the property.

“It was 10 years to the day (last Friday, Oct. 30) that I signed the contract and bought the 18 additional water shares,” Masi told The Beachcomber last week. “Yes, it’s very exciting, and hopefully it will be a great benefit to the island.”

The water district offered Masi the 18 units, previously called shares, earlier this year after deciding to release 20 units in large part because its conservation efforts had provided ample water. Masi said the 18 units have been added to the 13 he already had, for a total of 31. He was awarded the units in June and said he “went down to the wire” on the 120-day deadline to purchase them because he had been trying to secure an agreement with a development company to help him with the expense. Each water unit costs $10,650.

Shelter Resources Inc.’s Managing Director Joel Ing said that the development company is working with island-based nonprofit Shelter America Group in a joint venture. As a nonprofit, Shelter America is able to secure funding, while Shelter Resources, which is a private company that has built or renovated more than 4,600 apartment units in five states, provides the manpower and large-scale materials.

As part of the development agreement, Shelter Resources Inc. will fund the nearly $192,000 cost of the water shares in exchange for Masi entering into a contract. He said the development process could take years as funding will have to be secured from county, state and federal agencies.

“The process for funding is long and competitive,” Ing said. “We would seek funding from the county and … if successful, we then would seek state funding … then work up to the federal level for housing credits. All it takes is one of these saying, ‘No’ or, ‘There’s no money,’ then we have to go back the next year. I just finished a project that took three years, and that’s about as fast as you can go.”

Shelter America Group President and islander Chris Bric seconded Ing and said that the project is at least three or four years away from completion, but could be as many as five years away.

“It’s a long term project,” Bric said. “Michael was a key component, his persistence and long-term commitment to the project are to be respected.”

Before funding comes into the picture, the feasibility study must be completed. The study should conclude in late spring and will determine if the expected 41 “low-density, townhouse-style” units for either families or seniors will be possible, given the utilities, soil and water conditions at the property’s 4 buildable acres. Ing said he is optimistic about the project because of the need for affordable housing on-island, and the location of Masi’s property.

“We view Mike’s property as a really good opportunity for affordable housing for obvious reasons,” Ing said. “The island really needs it, he has the water shares and the location is great, close to town, but off the main highway and close to the Park-and-Ride lot, so it is great for commuters and those who would be using transit.”

If the feasibility study does not go through, a snag in funding is hit, or the project becomes too expensive, Ing said that the water shares could be returned to the district to be given to those of the long wait list.

Ing said that water shares act as a sort of natural way to control the island’s population, which makes development difficult. The island currently  has six affordable housing projects through Vashon Household which consist of both apartments and houses for rent and for sale. Vashon Household Executive Director Chris Szala said he and Masi have talked about Masi’s idea, and that it would likely be a “different sector” of affordable housing from Vashon Household, likely catering to more middle income families.

“We deal with those making 80 percent of the county’s median income and below,” Szala said. “It is not financially feasible (for Masi to do that). His houses will be more money than ours, probably around $135,000 or so.”

While Szala said Masi is catering to “a slightly different group of people,” he also said it is “a good niche” and something that the island does definitely still need.

Masi said in the June Beachcomber article that his vision is to build “workforce housing,” for those who may not be traditionally thought of as low-income, but have trouble finding an affordable home on Vashon.

Bric told The Beachcomber last week that the low-income characterization in King County is “unfortunate,” because the county is one of the most affluent in the state, so “low-income is not really that low income.”

“This will add value to Vashon and we’re delighted to be in this position, with the water shares secured,” Bric said.