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Select Board signs MOA with North Hill tying new units to $400,000 per affordable-unit payment to town trust
Summary
The board approved a memorandum of agreement with North Hill that would require a payment‑in‑lieu for a portion of new units enabled by the proposed zoning change: 10% of the incremental (delta) units at $400,000 per unit, payable to the Affordable Housing Trust when building permits are issued.
The Select Board approved a memorandum of agreement (MOA) with North Hill on Tuesday that ties a payment‑in‑lieu of affordable housing to any additional units enabled by a proposed zoning amendment.
Under the MOA the town and North Hill agreed on a baseline measure of units the site could build under existing zoning (calculated from baseline floor‑area), and then to treat any additional units permitted as the 'delta.' The MOA requires North Hill to pay the town the equivalent of 10% of those new delta units at $400,000 per unit; the parties round up fractional results to the next full unit for the payment calculation.
Town staff said the $400,000 figure was derived from the Massachusetts Qualified Allocation Plan’s development cost benchmarks (most recently published for 2022‑23) and escalated to current year dollars. Example: if the zoning amendment yields three additional F units subject to the 10% rule and rounding, the MOA would require a $1.2 million payment to the Affordable Housing Trust.
Town counsel confirmed the baseline unit calculation (33,663 sq ft assumed currently buildable, divided by 1,500 sq ft per average unit leading to 22 baseline units) and said Planning Department review would verify the final numbers at special‑permit stage. The MOA conditions payment obligation on final planning approvals and issuance of building permits.
Board discussion touched on whether the MOA preempts inclusionary zoning policy or should be codified in zoning rather than a standalone agreement; proponents said the MOA was intended to secure a tangible affordable‑housing benefit linked to the project before any special‑permit approvals and that the funds would go directly to the town’s Affordable Housing Trust.
Outcome: The Select Board voted to approve and sign the MOA. The MOA does not itself change zoning — the North Hill zoning amendment still requires Town Meeting action and Planning Board special‑permit review.
What’s next: If Town Meeting approves the North Hill zoning article and the project moves through Planning Board and building permit steps, the payment would be triggered per the MOA’s formula.
