Shelter Island affordable housing initiatives moving forward

The Community Housing Board continues to make progress on three major fronts to create affordable housing units and accessory dwelling units, or ADUs, which allow property owners to either adapt a main house to accommodate a tenant, or develop a housing unit that could be in a separate structure on their property.

Following a March public hearing, the Zoning Board of Appeals on April 23 approved an application to accommodate three two-story, two-family structures at 12 South Ferry Road, adjacent to the Shelter Island History Museum.

The second initiative is the expectation on Friday, May 16, of receiving responses to Requests for Qualifications (RFQs) from contracting companies interested in building units on three sites, including the land at 12 South Ferry Road. Besides building the units the RFQs are seeking bidders to manage the properties over a period of 30 years.

Community Housing Board (CHB) Chairwoman Elizabeth Hanley told her colleagues at the May 8 meeting she is anticipating one bidder will be the Community Development Corporation of Long Island (CDCLI), the same group that has been shepherding the Town through the Accessory Dwelling Units program. In cooperation with the CDCLI, Shelter Island has led the way to bringing in property owners interested in creating rental units on their property. Although the units are not held to the affordable rental standards set by Suffolk County, CHB members are hoping some will rent for less than market value and, in any case, create needed rental units on the Island.

The CDCLI has contractors with whom it has worked, Ms. Hanley said.

Based on questions she’s received from a couple of other contractors, she thinks one or two might submit a bid on the project. She predicted there would have to be some discussions with any bidders so both Town officials and bidders can be comfortable with a contract that meets the needs of both.

While that takes place, the Accessory Dwelling Units effort continues to move forward. Property owners have received grants of up to $125,000 each from a State program that allocated $2 million to the Town to renovate existing structures, or construct new ones as rental units.

Two ADU projects have been completed, with two others under construction. Nine more are in the pipeline and expected to successfully put $1.625 million to work. The CHB members say they are determined to use the remaining $375,000 by the end of 2025. When the State frees up additional grant money, the CHB hopes to have 16 more  participants in line to create ADUs.

Because of the success the CHB has had to date, members are optimistic a second grant could be awarded. For that reason, the CHB members continue to hold sessions with potential applicants, to fill the three open slots that remain with the first grant, and to line up others.