Econsult Solutions, Inc. (ESI) was commissioned to conduct a market study to see if there would be demand for the Sycamore Homes project, an affordable housing development in South Harrisburg with an estimated cost of $3 million. The proposed development will be a new construction build, consisting of 23 single-occupancy studios that will have support services to address major social, economic, and health disparities within the minority communities in Harrisburg. The market study followed the model of the National Council of Housing Market Analysis as part of the requirements to secure grant funding for Sycamore Homes.
The Sycamore Homes project is led jointly by Fernandez Realty Group, a minority owned development company, and Latino Connection, a local organization focused on health equity and social determinants of health.
The lack of housing options in Dauphin County prevents members of marginalized groups from accessing housing ownership. Renters in Dauphin County also experience higher economic cost from housing than owner-occupied households. Furthermore, there has been a severe shortage of affordable homes in Dauphin County. For every 100 extremely low-income families, seniors, and people with disabilities, only 29 affordable units are available to them. The housing units with monthly rents below $1,000 declined by 17.1 percent in 2019 and units with monthly rent above $1,000 increased by 51.7 percent.
Besides housing accommodations, Sycamore Homes plans to offer resources that focus on education and employment opportunities, physical and mental health and wellness, and financial literacy.
The findings from the market study determined that there is a severe shortage of affordable homes in Dauphin County, with a considerable demand for rental housing in Harrisburg.
