Monday, July 7, 2025

Retirement Age

Ah, the "retirement age." So many meanings. Is it the period of time we are now entering where significant numbers will age out of work, to be followed by a dip in the size of the next generation to age out? Is it how old you must be to start collecting Social Security? Is it when you start "aging in place" whatever the hell that is?

Well, aging in place is the easiest to answer: it is a marketing ploy used by developers to force high density where it isn't wanted and doesn't belong. Think: the Life South property. This tactic is nothing new. We've been treated to "live-work-play" and "transit oriented development" and "mixed use," all marketing slogans used by developers to take our community where they want it to go---profits for themselves. Now we have the mantra of "age in place" and "affordable housing" to convince folks that hundreds of apartments should be built where none are needed. And they apparently have the shakers and movers at city hall, including the city manager, in their pocket. The DHA? Not so much. 

The plan is simple, use these marketing tactics to push the development over the line. Pressure has been applied, "deferral is denial" in an attempt to force a hasty decision, thought this has been walked back. A good mantra for those in the approval chain would be "make haste slowly" but that isn't likely to resonate with city hall. The actuality differs from the marketing promo. By quite a bit. First, the plan calls for a 55+ community of affordable apartments, whatever that means, with the implication this will have no impact on schools. After all how many 55+ have kids in schools? Well, that there is a fork in the road. Turns out, the rules for 55+ are pretty loosey goosey. Only one of the renting adults needs to be over 55, the other could be significantly younger and might well have school age children. Then there is the 80/20 rule, which says that up to 20% of the units could be rented to anyone of any age, which explains the developer's plan for three bedroom units. Even then there is the issue of enforcement. With resident owned 55+ units there is a HOA which is responsible for enforcing residency rules and is granted some means to effectuate enforcement. These are rentals, managed by a for-profit management firm whose primary objective is maximize profit by way of maximizing occupancy, a clear disincentive to enforcing the 80/20 rule. And will the city do anything? Hell no, they don't enforce sign ordinances or issue traffic citations. They're sure as hell not going to get involved here, and it isn't clear where they would even get the data needed to monitor residents' age. Same for DHA. 

Now if the developers were really committed to building something for that age-in-place crowd, they'd make it a 62+ development. Here we're talking a bit higher bar for the residents as both adults, assuming two, must be 62 or older. Even better, and easier to monitor, all residents must be 62+ and there is no 80/20 rule. Enforcement is stricter and it is much easier to implement oversight, And, at 62, you're getting pretty close to retirement age, or at least the minimum age to take Social Security. For now. You're not likely at this age to have school age children so there is no reason, no rationalization for three-bedroom units, allowing for more units in total. For developers isn't more better? Also, this is the time of life where many people are making the transition from work to fixed income. 

No one should be surprised if the developer pushes back on any suggestion that their age-in-place profit-taking scheme be compromised with a 62+ requirement. But here's the thing to watch for: how does the city manager react to such a suggestion?