Corte Madera explores employee housing after Marin Housing offers deed‑restricted unit; staff asked to develop program

The Corte Madera Town Council on Feb. 16 directed staff to further develop a potential employee housing program after staff described an available below‑market unit being held on the town’s behalf by Marin Housing.

Amy Lyle, director of planning and building, told the council the two‑bedroom condominium at 77 Parkview (a unit in a larger development) is being offered at $250,000 under Marin Housing’s below‑market program. Marin Housing purchased the unit and is temporarily holding it while the town decides how to proceed. Lyle said the recommended holding cost for the town is about $800 per month while staff works through the policy and legal details.

Lyle said the deed restriction on the unit would remain in perpetuity and requires affordability limits tied to area median income (AMI). Under the current rules she outlined, a two‑person household at the upper end of the intended 120% AMI cap would still be eligible up to an income threshold that yields rent parameters; she said the top theoretical rent for the two‑bedroom example — the maximum under program formula — would be roughly $4,000, though she noted the maximum is a legal cap, not an expectation of actual rent charged.

Lyle outlined program details the town would need to establish: eligibility and preference criteria (while complying with fair‑housing rules), a transparent lottery or point system that could give preference to public‑sector employees, a monitoring and reporting process, property management arrangements, and budget and legal review. She said Marin Housing staff has recommended a weighted lottery approach that gives town employees preference but keeps the selection process consistent with fair‑housing rules so the unit can also be offered to other public‑service workers and qualifying households if no town candidate is available.

Council members asked for more financial detail before any purchase. Questions included HOA dues, property taxes, insurance, necessary repairs and whether the town would incur ongoing carrying costs that could affect general funds. Lyle and Town Manager Adam Wolf said staff would explore funding sources, including the town’s affordable‑housing fund, which currently holds about $600,000 in fees collected from development activity and which may be an appropriate source if acquisitions are allowed under the fund’s rules.

Several council members suggested that any town‑owned employee housing should prioritize people who serve Corte Madera residents directly (town employees and public‑safety staff), and that occupants should vacate the unit if they stop working for the town. There was broad support for continuing to investigate the idea, but several council members asked staff to return with a full cost analysis and a policy that explains terms for occupancy, resale or re‑assignment.

Resident Roy Wolford spoke against using town funds without a full financial accounting and argued that offering a subsidized unit to town employees raises equity concerns. He asked for a detailed lifetime cost analysis and questioned whether the county’s prior workforce housing programs were discontinued for financial reasons.

The council did not vote to purchase the unit at the Feb. 16 meeting. It authorized staff to continue program development and affirmed the town would continue to cover the holding cost while staff returns with more complete financial options and a recommended program structure, likely in an April–May follow‑up. Lyle said the town has a short window to evaluate the offering while Marin Housing holds the unit.