Basalt Town Council approves a dozen residential units

The Basalt Town Council approved to condominiumize 12 residential units at its Tuesday meeting.

The vote passed 5-1, with council member Angela Anderson abstaining due to a conflict of interest.

Fork Front Basalt, LLC, requested minor subdivision approval to condominiumize the 12 residential units approved to be constructed on Lot J of the Basalt Commercial Park Subdivision during a first reading during a July 23 meeting. 

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To condominiumize means to divide an existing building into multiple condos.

Of the 12 units approved in this project, three are required to be deed-restricted as category level units. After the July meeting, the council required the ordinance be amended to also deed-restrict three free-market units to resident occupied, making the development 50% deed-restricted.

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The Basalt Affordable Community Housing Commission reviewed the request and did not express any issues with the proposal.

During the second reading on Aug. 13, there was a brief discussion between council members.

“I appreciate him coming to the table with resident occupied again. I understand market conditions. I understand all that,” Mayor Pro Tem Ryan Slack said. “I would also emphasize in this housing study we just reviewed, I’d emphasize that rental units are important, so are for sale units. I totally understand. But I think the rental segment was very highlighted in all these presentations. I just don’t like taking away rental units.”

A housing study was presented by Michelle Bonfils Thibeault, Basalt planning director, and Sara Nadolny, Basalt senior planner, at the meeting before the vote on condominiumizing the dozen units. 

Some findings included:

1. “Free market homes are becoming increasingly unaffordable to the local community. The median sale price of a Basalt home in 2023 was $1.3 million, a 63 percent increase since 2018, and affordable to a household earning at least 320% of AMI. Although slightly more affordable than a home in Carbondale, Basalt homes are smaller and have a higher price per square foot. Nearly 90 percent of homes sold in Basalt from 2021 were only affordable to households earning over 150% of AMI. Over 30 percent were only affordable to households earning over 350 percent AMI.
2. Basalt and Carbondale have the highest median rents in the region. As reported by the American Community Survey (ACS), the median rent was $2,123 in Basalt and $2,177 in Carbondale in 2022, higher than Aspen, which had a median rent of $1,738. It must be noted, however, that ACS data is based on five-year averages and does not represent actual market rents that are higher. Lower median rent in Aspen is due to the presence of a significant number of income restricted rental housing. While low-income housing tax credit (LIHTC) developments can offer deeper affordability that bring rents down between $500 to $700 at 30 to 60% of AMI (Roaring Fork Apartments), Zillow and Redfin report median market rent as high as $5,000 to $7,000. New developments especially report much higher rents.”

In defense, Aaron Ward of Fork Front Basalt, LLC, said they are not actually taking away rental units.

“My plan gives me the flexibility to sell the deed-restricted units and hold onto the free market units for rental,” he said. “I could hold onto all 12 of them and continue to rent them as well. What this really does is provide flexibility for a debt carry for a lot of things. It provides me the ability to sell the unit to a teacher, the ability to sell to a hospital worker, a nurse, or someone who is needed in the community.”

Mayor David Knight also supported the ordinance.

“One thing about your request is you’re adding three RO units,” he said. “We already had the affordable and the free market, so you’re actually moving the needle in the right direction.”