Builders of Hope outlines Phase 2 of Valwood Park 'porches' project; council asks staff for maps, numbers

Builders of Hope, a national community development nonprofit, told the Farmers Branch City Council on April 29 that Phase 1 of its Porches at Valwood Park project has sold or placed under contract all five homes and that the nonprofit is proposing a Phase 2 build of roughly 10 homes with a tiered land-acquisition approach and resale restrictions to preserve affordability.

The presentation to the council focused on creating workforce housing priced below market by acquiring lots at subsidized costs and pairing those lots with smaller-footprint homes. James Armstrong, president and CEO of Builders of Hope Community Development Corporation, said the project “has really became a model for how inner suburban cities deal with their housing crisis.” Chris Lewis, Builders of Hope community development officer in operations, added that from “concrete pour to closing is a little over 4 months” for the smaller homes used in the project.

Why it matters: Council members said the project addresses a local shortage of workforce housing and could keep city workers and other service professionals in Farmers Branch. Council members pressed staff and Builders of Hope for concrete budget numbers, maps of city-owned lots, and confirmation of how the project would interact with Dallas County programs and tax-assessment practice.

Details of the proposal and questions from council

Builders of Hope described a tiered pricing scheme that would let the nonprofit subsidize land for a subset of homes so some units could sell at an entry-level price while others sell at higher market prices. The group proposed extending the affordability period to 10 years and adding a resale restriction that would prevent sale outside an income band during that period; if a homeowner sold early the city would recapture a portion of equity. As an example, Builders of Hope said a sale in year five might trigger a recapture equal to roughly half the homeowner’s realized equity under the current proposal.

Speakers emphasized buyer screening and post-sale counseling: Armstrong and Lewis said buyer household incomes for Phase 1 ranged between $60,000 and $80,000 and that Buyers of Hope provides pre-purchase counseling and homestead-exemption assistance. Lewis called the organization a long-term owner/operator: “This is not a build it, sell it, close it, and go. We do follow ups with our home buyers.”

Council reaction and staff direction

Council members generally expressed support but asked for more detail. Councilman Reid asked whether buyers are prepared for rising property taxes and was told Builders of Hope offers financial coaching and homestead-exemption assistance. Council members asked staff to provide: a map of city-owned lots and inventory, detailed pro forma spreadsheets showing the program’s budgetary impact, a Dallas County update on related programs, and options for dedicating 10 lots to the program or otherwise committing lots to Builders of Hope under a staged sale/dedication approach.

No formal vote was taken at the study session. Staff said it will return with the requested maps and financial breakdowns and coordinate timing for a Blue Ribbon committee and community engagement if the council gives formal direction to proceed.

Ending

Council members asked staff to return with the requested materials and to coordinate any interplay with Dallas County programs before any final dedication or sale of lots. Builders of Hope said it plans to host a Blue Ribbon committee through the summer and return with a report to council in August if given a green light to proceed.