Is it time for single-room housing? Delray Beach, Lake Worth Beach hear company's plans

DELRAY BEACH — A new form of affordable housing may soon come to Delray Beach.

The housing is called multitenant housing units, or MTHUs, which are an enhanced version of single-room occupancy housing, also known as SROs. MTHUs are meant to serve nonfamily households, or people with an annual income of less than $35,000.

The housing units would have a projected monthly rent rate of about $600, and would go in the city’s West Settlers Historic District, an area established in 1894 as Delray’s first African American community.

On Thursday, Jan. 4, the City Commission will hold a public workshop to review a MTHU proposal from Jetta Investment Co. and sponsored by Commissioner Angela Burns. If approved with a majority vote by the commission, the process to vet a zoning change allowing for the units would begin.

An official with Jetta Investment also raised the issue of allowing them before the Lake Worth Beach City Commission in April.

Much of Delray Beach meets income levels for single-room apartments

In Delray Beach, according to the 2021 U.S. Census, 83% of households making less than $35,000 annually spend more than half of their income on rent. In comparison, according to Jetta Investments, of the households making more than $35,000 per year, only 9% spend more than half their income on rent.this figure compares to only 9% of those making more than $35,000 per year.

The projected monthly rent rate of about $600 would not require any tax breaks or government subsidies. In comparison, a studio apartment in Delray Beach costs about $1,800 per month.

The units are about 100 to 120 square feet, or the approximate size of an apartment bedroom. Residents would share private, single-occupancy bathrooms. And proposed upgrades, like shared kitchens and elevators, would be an option for seniors and tenants with disabilities.

In December, the Florida Housing Innovations Council, or the FHIC, released results from a poll conducted by the national firm American Pulse that showed voters in Delray Beach and Lake Worth Beach supported efforts to increase affordable housing options in their communities.

When asked if they agreed on efforts to increase affordable housing, according to the FHIC, 80% of Lake Worth Beach voters agreed, with 59% strongly agreeing. In Delray Beach that figure was 75% for “agree,” and 50% for “strongly agree.”

The study surveyed 315 active voters from Delray Beach in early October, and 250 active voters from Lake Worth Beach in early December. The polls showed that, with full information, these voters were in support of the proposed MTHUs.

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“Given the checkered history of SRO housing, it is understandable that there would be reservations with bringing this model back,” said Dr. Kurt Jetta, FHIC's president and founder.

“However, given today’s housing and affordability crisis and the significant advances in privacy and security technology, the new, upgraded MTHU model offers all of the benefits for meeting today’s housing challenges facing low-income residents and without any of the security or privacy concerns of the past.”

In October 2022, Jetta Investments presented the first version of a land-development regulation revision to accommodate MTHUs at a Delray Beach City Commission workshop, but the proposal failed to get any sponsorship from commissioners. Since then, according to Jetta Investments, the company has garnered additional community feedback and support.

In July, Burns sponsored a revised land-development regulation proposal. Also in support of expanding the number of MTHUs in Delray are State Sen. Lori Berman, State Reps. Mike Caruso and Joe Casello and Palm Beach County Commissioner Marci Woodward.

Single-room occupancy received cool reception in Lake Worth Beach

In Lake Worth Beach, the idea for MTHUs was presented in early April by Taniel Koushakjian of Jetta Investment.

“We’re talking about something that is not quite sexy,” Koushakjian said about MTHUS, previously known as microcommunal housing units. “We’re not talking about oceanfront property and water views. We’re talking about helping folks at the lower end of the economic status and giving them an option to stabilize their lives.”

But many residents opposed it. Some claimed that the units would degrade living standards for the community’s working class, while others argued that they were an opportunity for landlords to take advantage of families and individuals struggling to make ends meet.

Koushakjian then spoke during public comment at an April 18 commission meeting to address the backlash received after his presentation at the prior meeting.

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“It was clearly stated in my presentation that this housing option was for single individuals, not families, not couples, certainly not children,” he said. “People live in worse conditions now, and something needs to be done to get them off the street.”

Koushakjian ran out of time to continue his public comment at the April 18 meeting.

Jasmine Fernández is a journalist covering Delray Beach and Boca Raton at The Palm Beach Post. You can reach her at jfernandez@pbpost.com and follow her on X (formerly Twitter) at @jasminefernandz. Help support our work. Subscribe today.

Giuseppe Sabella is a reporter covering Boynton Beach and Lake Worth Beach at The Palm Beach Post, part of the USA TODAY Florida Network. You can reach him at gsabella@pbpost.com.

This article originally appeared on Palm Beach Post: Delray, Lake Worth hear plans for unique form of affordable housing