An unexpected concentration of poor tenants at Fairfax County’s largest affordable-housing property has sparked worries that lower-than-expected rent revenue will force the county to pump more money into the apartment complex.
Fairfax County bought the 672-unit Wedgewood Apartments in November as part of its growing affordable-housing program. At more than $107 million, the four-decades-old complex in Annandale is the county’s most expensive acquisition since the program was established four years ago to preserve reasonably priced living space.
While housing officials pitched the dwellings as targeting “low and moderate income households,” early surveys on the actual income levels show that more than half the tenants bring in very low incomes, according to data from an April 17 memo from Department of Housing and Community Development Director Paula Sampson.
More than half of the Wedgewood tenants make less than 50 percent of the area median income, which amounts to a maximum $49,500 for a family of four and ranks as “very low,” according to the memo.
The low figure surprised county supervisors and led some of them to worry the correspondingly lower rent revenue will hurt their ability to pay for the complex.
“Nobody mentions the ongoing subsidies that are going to be required when you have 50 percent [of residents] making 53 percent or less” of the area median income, said Sully District Supervisors Michael Frey, a Republican. “Yes, you’re going to need subsidies.”
Democratic Supervisors Jeff McKay, of Lee District, and Sharon Bulova, of Braddock District, both were surprised by the lower incomes levels. Bulova and Housing spokeswoman Kristina Norvell said they don’t expect the lower incomes to hurt the project’s financing.
But McKay cautioned: “There better be some evidence that the debt service reflects our ability to offer units to the lower-income population.”
About half of the residents had been surveyed at the time of the memo.
Springfield District Supervisor Pat Herrity, a Republican, said the lower-than-expected incomes are another reason “why the county shouldn’t be in the homeownership business.”
MAKING MONEY
The area median income in Fairfax County, based on family size:
1 person: $63,300
2 people: $79,200
3 people: $89,100
4 people: $99,000
5 people: $106,920
Source: Fairfax County Department of Housing and Community Development
