October 18, 2010
Nation's Building News

The Official Online Newspaper of NAHB

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Headlines At a Glance
KB Home to Show Its Green Tech Home at IBS; Builder Magazine, Martha Stewart Join in Project

At the upcoming International Builders’ Show in Orlando, KB Home and Builder magazine will build and open a “net zero” show home that generates as much power as it consumers. “It really captures the whole concept and whole idea of having something that’s more advanced and something that we can see production homes moving toward in the future,” said George Glance, president of KB Home in Central Florida. The house is using solar and thermal systems, plus water-conservation techniques to meet standards set by the U.S. Environmental Protection Agency’s WaterSense program. The hope is to lower, if not eliminate, the home’s utility bills, said Glance. Designer Martha Stewart is advising the KB Home GreenHouse team on colors, fixtures and other features. (www.orlandosentinel.com)
Orlando Sentinel (10/7/10); Mary Shanklin

Cedar City Fire Sprinkler Mandate Hitting Again Just as the Housing Industry Attempts to Rebound

“The sprinkler mandate has surfaced again as officials claim that the sprinklers are needed more than ever on new housing primarily because of cutbacks in local fire departments,” writes columnist Mike Henle. “The lobbying efforts in the sprinkler business are strong and intended to drum up more work during a recession; and there is a feeling that the move is also intended to add sprinklers as a retrofit in existing properties.” The sprinkler ordinance is about to become mandatory throughout the country. Jennie Hendricks of Century 21 Prestige Realty in Cedar City, Utah, cringed when hearing the law would take effect. “There are so many laws and entities attacking the housing industry right now, it’s sometimes hard to keep track,” Hendricks said. “From impact fees adding $10,000 to a building permit, to prairie dogs and desert tortoises, to new ordinances that require large dollar soils testing, government is not helping the housing industry pull out of the slump.” Demille, a native of Cedar City who has built cabins in Duck Creek and surrounding areas for years, was quick to say the new law would play havoc with his end of the business. “That will add an average of $20,000 to the cost of a new cabin,” said Demille, adding that the freezing of sprinkler lines in cold climate is a big concern. The North Las Vegas City Council is among those who have bucked the mandate and voted against the ordinance. “Knowing what I know about sprinkler systems, they only work below the sprinkler,” said councilman Robert Eliason. “I have a personal friend who had a structural fire in his home and sprinklers would not have made a difference because the fire was in the attic.” (www.thespectrum.com)
The Spectrum (10/12/10); Mike Henle

An Election That Could Shake Up Greater Boston’s Housing Market

If passed, a referendum question on the Massachusetts ballot would scuttle the state’s bluntly effective, though highly imperfect, affordable housing law that has been in effect for four decades now. Under Chapter 40B, developers who want to build new condos, apartments and homes in towns with a dearth of affordable housing are able to override local zoning obstacles. The typical pattern is a project with 75% market-rate units and 25% affordable set-asides. The fact is that housing construction across Greater Boston has been on a strong and steady decline since the 1980s. Complaining of ever higher school costs, many towns have locked out new, middle-class housing with zoning rules that reward developers for building McMansions. As the number of new subdivisions has fallen off, the more densely packed condo developments and apartment complexes that builders are pushing through with help of 40B are increasingly becoming the only game in town. Gutting the law would overnight wipe out plans for 12,000 new condos, apartments and single-family homes. (www.boston.com)
Boston Globe (10/18/10); Scott Van Voorhis

Amendment 4 Would Increase Voter Say in Development Approvals, But Cost Too Much, Opponents Say

If approved by 60% of state voters in Florida on the Nov. 2 ballot, Amendment 4 would require a vote on changes to cities’ and counties’ long-term blueprints for growth, known as comprehensive plans. Decisions to change those plans are now left to elected officials. But opponents of the constitutional amendment say that it would bring development across the state to a standstill at a time when state leaders are trying to revive Florida’s economy and lure jobs there. Meanwhile, thousands of routine decisions about utility systems and traffic patterns would be sent to voters, as well, resulting in costly special elections that will be paid for by taxpayers across the state, opponents warn. “I think that is one of the reasons that 22 editorial boards have opposed Amendment 4: not because they don’t share some of the concerns, but because they don’t agree with the solutions,” said Ryan Houck, executive director of Citizens for Lower Taxes and a Stronger Economy, the group leading the “No on 4” campaign. In 2005, the Florida Supreme Court found that Amendment 4 would result in a “substantial number of referenda each year” because it covered a broad range of growth plan changes. Florida TaxWatch, a Tallahassee based watchdog group, estimates extra elections would cost taxpayers between $44.6 million and $83.4 million each year. In all, cities and counties throughout Florida considered roughly 25,000 changes last year to their growth plans. That number was up from roughly 9,000 in a typical year. (www.palmbeachpost.com)
Palm Beach Post (10/14/10); Jennifer Sorentrue

Home Buyers Search Out Smaller Homes

First-time buyers are making new waves in the housing market as they opt for smaller and less expensive homes. In the housing market right now, it’s about buying small. Home owners surveyed by Better Homes and Gardens magazine say downsizing was becoming a bigger priority. Time.com reports that the change is generational, as well, with Generation Y (those born between 1982 and 1995) shoppers looking for simple starter homes, with minimal, but efficiently used space. Kermit Baker, the chief economist at the American Institute of Architects, notes, “We continue to move away from the McMansion chapter of residential design, with more demand for practicality throughout the home.” In today’s market, McMansions are simply out of place for both those looking for economical and environmentally friendly choices. (www.realtytimes.com)
Realty Times (10/12/10); Carla Hill

Energy-Efficient Homes, Courtesy of Federal Tax Credit

A retrofit tax credit lets owners of existing homes claim credits worth up to 30% of materials costs when they take certain steps to improve home efficiency. The maximum credit is $1,500 and the program expires on Dec. 31. With family budgets tight, home owners aren’t maxing out the credit, since doing so means spending $5,000 on qualifying materials (labor costs don’t apply toward the credit). Some are replacing a single door or changing out a few windows. “In these times, people may not look to do something aesthetic with their homes, or buy furniture or do anything that represents excess,” said Jennifer Schwab, director of sustainability for Sierra Club Green Home, a website with advice for home owners. “But this sort of thing is a necessary evil that’s also being recognized by our government as essential for our planet. So taking advantage of the incentives while they exist is a good thing.” The most popular qualifying jobs include insulating attics, sealing cracks and upgrading heating and cooling systems, according to Larry Laseter, president of WellHome, a home-efficiency contractor in 13 states. “These projects tend to have the fastest payback and produce the most comfort,” he says. Experts on home efficiency say there are no hard-and-fast rules for how best to use the program, since every home’s needs are unique. Still, a few rules of thumb apply. Start by tightening up the building shell, they say. Then move on to bigger-ticket items such as energy-efficient water heaters and boilers. (www.csmonitor.com)
Christian Science Monitor (10/18/10); G. Jeffrey MacDonald

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