Business News 4/16/03 More than 28,000 workers on the South Coast will have a chance to reduce their rental costs with the help of a new program introduced Tuesday by the Coastal Housing Partnership. Santa Barbara-based Coastal Housing Partnership, a nonprofit organization, has teamed up with some of the largest landlords on the South Coast to offer a Rental Assistance Program that will reduce rents on selected apartment units from $50 to $100 a month. The Towbes Group, Bartlein & Co. and Wolfe & Associates have agreed to reduce the monthly rent on new leases for those who are employed with one of the 65 companies that form the membership of the Coastal Housing Partnership. Member companies together have more than 28,000 employees. "This is the first time that anyone we know of is offering this kind of program in the area," said Jane Helmer, marketing director for the Coastal Housing Partnership. Founded in 1987, the organization has been helping member companies provide financial assistance and educational services to employees who want to buy a home on the South Coast. The high rental costs on the South Coast prompted the organization to expand its services to providing rental assistance, said Ms. Helmer. Rent for a two-bedroom, one-bath apartment in Santa Barbara reached $1,391 last year, according to Real Facts. In Goleta, the same-size unit was $1,473. Under the Coastal Housing Partnership's Rental Assistance Program, the participating landlords have agreed to reduce the monthly rent on new leases by $50 a month on studios and one-bedrooms. Two-bedroom units will be reduced by $75 a month, and rents on single-family homes will drop by $100 a month. Rental units classified as "affordable" or "senior" units are not eligible for the additional discount. The program is only open to those who are signing new leases and who are not currently renting at a participating property. While the amount of the rental discount may not be enough of an incentive to attract potential employees to relocate from outside the area, it still serves as a step in the right direction, said Jennifer Selland, president of Well-Run Concepts, a human resources consulting firm in Santa Barbara. "This shows the community is recognizing the housing problem and we're not just talking about it, we're actually doing something about it," Ms. Selland said. "I think other property owners may eventually join in. Who knows, they might be willing to offer more discounts. This could turn into healthy competition that benefits renters." Competition for tenants already has intensified in the last year as apartment vacancies on the South Coast have crept up. Many units have taken longer to rent, and landlords have been reducing rents to attract tenants. "I'm sure the market conditions certainly helped us in the timing of our program," said Ms. Helmer. "As nice as the landlords are, I'm sure that helped us." But Craig Zimmerman, president of The Towbes Group, said his company was committed to the program before higher vacancies started to set in. He said the decision to participate helps the community and it's also good for his business. "As a landlord, this gives us an opportunity to help out," he said. "But it's also a fantastic opportunity to get referrals from other companies that are members of the partnership. If you look at the member list, you'll see some of the biggest companies on the South Coast." |
Coastal Housing Partnership
PO BOX 50807 • Santa Barbara, CA 93150
t: 805-969-1025 • f: 805-882-1496