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The City of Portland, Oregon

Portland Housing Bureau

Solving the unmet housing needs of the people of Portland.

Phone: 503-823-2375

fax: 503-823-2387

421 SW 6th Avenue, Suite 500, Portland, OR 97204

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City Completes 18-Month Review of Inclusionary Housing Program

A new report shows early success in producing affordable housing in the private market and outlines program adjustments to encourage continued development.


October 3, 2018 (Portland, OR) – A new report by the Portland Housing Bureau on the City’s Inclusionary Housing (IH) program shows that in the first 18 months, the City has permitted, or is in process to permit, at least 362 affordable units resulting from 43 development projects submitted under the IH program to date. Together these projects account for nearly 2,300 new housing units added to the city’s overall housing stock.

“Inclusionary Housing is the cornerstone of our work to ensure housing options for Portlanders at every income level,” said Housing Bureau interim director Shannon Callahan. “We’re proud of the progress so far and we’re working with our partners and the development community to ensure its continued success.”

As of February 1, 2017, all residential buildings in Portland proposing 20 or more units are required to provide a percentage of the new housing at rents affordable to households at 80% of median family income (currently $58,640 for a family of three), with an emphasis on households earning 60% MFI or less (up to $43,980 for a family of three).

The City estimates that the affordable housing that has been produced in privately financed projects under IH so far would be equivalent to a $32 million-dollar public subsidy, based on the average per-unit cost to the City to develop affordable rental housing. As an added benefit, many of these units are located in high-opportunity areas throughout the city.

The report also highlights development trends as well local housing market indicators. In Portland, multifamily permitting continues to advance despite signals that the market cycle is beginning to ebb, meanwhile, the pipeline of pre-IH units continues to decline as post-IH projects are increasing and moving through the land use and permitting process. Based on the analysis, the Housing Bureau makes a number of recommendations for program refinements in order to encourage this progress. Among other modest adjustments, the Housing Bureau has recommended maintaining the policy’s current inclusion rates in the neighborhoods outside the Central City and delaying the ramp up that was originally scheduled to go into effect on January 1, 2019 by another two years.

“I am pleased the Housing Bureau is continuing to monitor this program closely and making adjustments as needed to ensure it’s working to create more workforce housing for Portland and supporting the smart growth of our city,” said Mayor Ted Wheeler.

Click here to read the full report. Find more information and a map of the current of Inclusionary Housing project pipeline here.


Key Highlights:

  • 8,294 units (in buildings with 20+ units) from the pre-IH vested pipeline remain in some stage of permitting
  • 8,578 units (in buildings with 20+ units) have entered permitting, land use review, or pre-application/early assistance since IH went into effect
  • 362 affordable inclusionary housing units (in projects with 2,269 total units) have permitted or are close to permitting
  • Multifamily permitting in 2017 set a historic high at over 6,000 permits
  • Market indicators are signaling a shift in the market cycle based on factors unrelated to the IH program

Westwind Apartments Announced as Next Housing Bond Project

The project will be dedicated to providing Supportive Housing for homeless individuals in downtown.

The Portland Housing Bureau (PHB) has announced it is in the process of purchasing the Westwind Apartments for reconstruction with Portland’s Housing Bond.

The building at NW 6th Avenue and Flanders Street in Old Town currently provides 70 units of Single Room Occupancy (SRO) housing to extremely-low income and vulnerable tenants. PHB plans to replace the existing 70 units and pair the new housing with supportive services for individuals exiting homelessness. Multnomah County has committed $4 million toward the project.

“The Westwind provides an increasingly scarce type of housing that is vital to our efforts to tackling homelessness in the central city. Funding these kinds of housing solutions for our most vulnerable neighbors is extremely important to me,” said Mayor Ted Wheeler. “We’re thankful to Multnomah County for their generous partnership. Collaboration between the City of Portland and Multnomah County is essential to create supportive housing. I am confident we have the right infrastructure to address a fast-growing population with extreme needs.”

For decades, the Westwind’s low-cost, low-barrier housing has been a vital asset for many social service agencies operating in the central city. 

“I’m thrilled about the purchase of the Westwind. It has provided housing for some of our most vulnerable residents,” said Bond Oversight Committee member Susan Emmons, who previously served as the Executive Director at Northwest Pilot Project. “Because of its low-barrier housing, it became one of the only options for people that we served.  The location is important because it is so close to service providers who refer people to the building.” 

The Housing Bond, passed in 2016, promised 1,300 units of affordable housing by 2023. The Westwind will mark the fifth Bond project to move forward to date, totaling more than 630 units of permanently affordable housing planned or purchased under the Bond so far.

“The Westwind is one of the last remaining Single Room Occupancy buildings providing low-barrier unregulated affordable housing in the central city. We’re grateful to have this opportunity to buy it and replace the housing with safe, high-quality, long-lasting homes with support services,” said Portland Housing Bureau director Shannon Callahan. 

The project helps further the commitment by Portland and Multnomah County to create 2,000 units of Supportive Housing by 2028. Supportive Housing — which combines deep affordability with intensive care, including mental health and addiction services — is part of the local strategy for ensuring chronically homeless neighbors can leave our streets and remain stably housed. 

The Westwind acquisition marks the second supportive housing project in recent weeks that joins City and County funding. That speaks to the cooperation and coordination that meeting the 2,000-unit goal will require.

“The solution to chronic homelessness is supportive housing, and in places where people can reconnect with their community,” said Multnomah County Commissioner Lori Stegmann. “I’m thrilled the County’s contribution is making that possible for some of our most vulnerable neighbors.”

PHB expects to bring the acquisition to Portland City Council for approval later this fall. For more information, visit

Mayor Wheeler and Chair Kafoury Announce Funding Availability for Innovative Supportive Housing Pilot

The pilot will be the first time state and local agencies pair funding for housing development with service dollars in a targeted effort to address chronic homelessness.

The Portland Housing Bureau (PHB), together with the Joint Office of Homeless Services, Multnomah County Mental Health & Addiction Services, and Oregon Housing and Community Services, have announced more than $12 million in joint funding for project proposals that combine housing and mental health services in targeted effort to combat chronic homelessness.

The funding opportunity marks the first time funding to build affordable housing has been bundled with funding for the services residents will need to thrive in that housing. It also marks a first-of-its-kind partnership with the state.

“This innovative pilot is the first of its kind—leveraging state, county and city partnerships in a targeted effort to better use our dollars to address chronic homelessness, with an emphasis on providing crucial mental health services” says Mayor Wheeler. “Homelessness is a national humanitarian crisis. It will take more than cities—but regional, state-wide and federal partnerships to solve it.”

“Some people need more than an apartment key to rebuild their lives. They also need treatment and services,” says Multnomah County Chair Deborah Kafoury. “For those neighbors, the only answer to homelessness is a home of their own with the right support. This is exactly what this project represents, because nobody should have to deal with their crisis in full view of strangers.”

People experiencing mental health disabilities are the fastest growing segment of the population experiencing homelessness in Multnomah County.

PHB’s Notice of Funding Availability (NOFA), released today, calls on the development community and service providers for proposals that find cost efficiencies, demonstrate innovative design, and integrate support services in projects focused on homeless individuals experiencing mental illness.

Expanding Permanent Supportive Housing over the coming decade—by roughly 200 units a year—is a critical element of the local strategy to address chronic homelessness. Permanent Supportive Housing combines accessible, affordable housing and the supportive services, including mental health and addiction services. By packaging construction capital and support services funding together for the first time, the City and its partners hope to achieve a minimum of 50 PSH units through this pilot.

More importantly, they hope to encourage creative proposals for a replicable, cost-effective model that can be used to continue expanding Supportive Housing options, with a focus on projects that update the single-room occupancy (SRO) concept.

“The need for more permanent supportive housing exists across the entire state. And we know that it works. With that in mind, Oregon Housing and Community Services is thrilled to contribute $2 million to the City of Portland’s efforts to increase supportive housing and end homelessness and housing instability for Oregon’s most vulnerable community members,” said Margaret Salazar, Director of Oregon Housing and Community Services.


- Portland Housing Bureau - $10 million capital funding

- Oregon Housing and Community Services - $2 million from Mental Health Housing Fund

- Joint Office of Homeless Services & Multnomah County Mental Health & Addiction Services - $350K per year for services funding

For more information visit

City Awards $3.2 Million to Preserve Affordable Housing

The funding will support major rehabilitation work needed to preserve more than 200 housing units serving those exiting homelessness.

July 16, 2018 (Portland, OR) – The Portland Housing Bureau (PHB) has announced $3.2 million in funding awards to rehabilitate three residential buildings and preserve 214 units of affordable housing:

  • The Medford Hotel, owned by Central City Concern, with 60 affordable units of supportive housing services at 506 NW 5th Avenue. (Central Portland)
  • The Arbor Glen, owned by Human Solutions, with 97 affordable units serving families transitioning from homelessness at 2609 SE 145th Avenue. (East Portland)
  • The Rose Apartments, owned by REACH CDC, with 57 units serving previously homeless women. (SE Portland)

PHB released a Request for Interest (RFI) in January 2017 for applications from owners of City-regulated affordable housing projects in need of significant repair or rehabilitation. Projects with a minimum of 40 units that were at least eight years old and had identified capital replacement costs greater than $100,000 were considered. The proposals were ranked and scored based on need for rehabilitation. Three were selected for funding this year by the Housing Bureau and Mayor Ted Wheeler.

“Like any capital asset, these buildings wear out over time and need to be repaired or rehabilitated to continue serving low- and moderate-income residents with safe, habitable housing,” said Mayor Ted Wheeler.

PHB regulates more than 13,500 affordable housing units in more than 350 buildings. Since it was established in 2010, the Bureau has released nine solicitations, primarily awarding funding to projects that would add new affordable units to the housing stock. Responses to those solicitations, however, have also indicated a great need to preserve existing stock as well.

“These three buildings serve an important part of our efforts to house families and individuals transitioning from homelessness,” said Shannon Callahan, Interim Director of the Portland Housing Bureau. “It is an important part of the Housing Bureau’s mission to preserve our community’s affordable housing stock.” 

New Housing Bond Development Planned for Cully Neighborhood

The acquisition of a NE Portland property for development adds at least 50 new homes to a pipeline that now tops 560 Bond-funded housing units.

New Housing Bond Development Planned for Cully Neighborhood
The acquisition of a NE Portland property for development adds at least 50 new homes to a pipeline that now tops 560 Bond-funded housing units.


July 12, 2018 –  The Cully neighborhood will be the site of a new Housing Bond development, the Portland Housing Bureau (PHB) announced today. PHB is acquiring a 19,000-square foot property at 5827 NE Prescott to build at least 50 new units of affordable housing with funds from Portland’s Housing Bond.

The property is the fourth Bond project announced in the last 18 months, totaling more than 560 units of permanently affordable housing planned or purchased to date under the Bond.

“This opportunity to bring new housing to a critically important and underserved area is another strong step forward toward our Bond goals,” said Mayor Ted Wheeler. “My pledge to the public is to deliver the 1,300 units promised under the Bond by 2023. With the 50 new units planned for this site, plus hundreds more under active negotiation, we are making aggressive progress to meet our commitment well ahead of schedule.”

The property’s location in one of the city’s most diverse neighborhoods follows criteria for Bond expenditures established in a community framework adopted by City Council. Under the framework, the Bond should serve to prevent displacement and provide new housing opportunities, with a focus on communities of color, those experiencing homelessness, immigrant and refugee communities, and other populations disproportionately impacted by the housing emergency.

“This is a rapidly gentrifying area where families are facing a growing risk of being priced out,” said Portland Housing Bureau interim director Shannon Callahan. “Acquiring this property with the Bond allows us to create a permanent foothold of affordability in this neighborhood and stable housing for as many as 200 people.”

PHB will bring a final acquisition to Portland City Council for approval on July 18th at 10:35 am, and design work for the site is expected to begin next summer. For more information, visit