2023 CC YE Presentation
2023 Annual Report
The Hutchinson HRA (HHRA)was formed by the Hutchinson City
Council in 1969 to address a shortage of housing for low to moderate
income families and to address substandard areas in Hutchinson.
The HHRA owns and manages Park Towers Apartments.
The HHRA administered housing rehab programs throughout the
city to preserve housing stock and improve neighborhoods.
CITY CENTER OFFICE
111 Hassan Street SE
133 Third Ave. SW
Hutchinson, MN 55350
Hutchinson, MN 55350
(320) 234-4251
(320) 587-2168
Fax (320) 234-4240
FAX (320) 587-3748
Website www.hutchinsonhra.com
2023 HUTCHINSON YEARLY COMPARISONS:
RENTAL VACANCY RATE
Rental Data from the December 2023 Apartment Survey:
Hutchinson 2023 Vacancy Rates
Market Rate General Occupancy Vacancy Rate
Market Rate General
Occupancy (860
8.95%
16.00%
10.00%
units)
14.90%
7.07%
14.00%
8.00%
Subsidized (Non
12.00%
3.90%
3.60%
Market Rate) General
6.00%
10.31%
Occupancy (283
10.00%
9.00%
9.00%
4.00%
8.38%
units)
7.54%
8.00%
Senior Rental Housing
2.00%
Market Rate (190
6.00%
5.30%
4.60%
4.68%
0.00%
units)
4.07%
4.08%
3.60%
2023 Vacancy Rates
4.00%
2.76%
1.89%
1.85%
1.76%
1.83%
2.12%
1.76%
2.00%
1.00%
0.72%
Average Hutchinson Rents*
0.00%
Studio$486
200220032004200520062007200820092010201120122013201420152016201720182019202120222023
1 Bedroom$731
2 Bedroom$866
3 Bedroom$983
* October 2023 Survey.
2023 HUTCHINSON YEARLY COMPARISONS:
2023 Home Mortgage Rates:
HOME RESALES
Early in 2023, the 30-year fixed home mortgage rate was 6.48%
and ended at 6.61% according to Freddiemac.com.
Home Resales Data from
IƚƒĻ wĻƭğƌĻƭ
2023 Hutchinson Home Sale Price Ranges
0.8
/źƷǤ ƚŅ IǒƷĭŷźƓƭƚƓ
1.1
1.9
2011 through 2023
Under $50,000 = .8%
2.3
Year2023202220212020201920182017201620152014201320122011 2.7
$50,000 to 74,999 = 1.1%
4.2
8.3
tƩźĭĻ wğƓŭĻbƚ͵tĭƷ͵bƚ͵tĭƷ͵bƚ͵tĭƷ͵bƚ͵tĭƷ͵bƚ͵tĭƷ͵bƚ͵tĭƷ͵bƚ͵tĭƷ͵bƚ͵tĭƷ͵bƚ͵tĭƷ͵bƚ͵tĭƷ͵bƚ͵tĭƷ͵bƚ͵tĭƷ͵bƚ͵tĭƷ͵
$75,000 to 99,999 = 4.2%
Under $50,00020.8%20.7%41.1%72.0%10.3%71.9%92.7%103.0%154.2%185.7%2910.2%4415.3%3012.4%
4.5
$100,000 to 124,999 = 2.3%
$50,000 to $74,99931.1%41.3%51.3%102.9%51.6%113.1%103.0%154.6%267.3%175.4%3512.3%3311.5%3112.8%
$125,000 to 149,999 = 2.7%
17.8
$75,000 to $99,999114.2%113.7%133.5%102.9%82.5%154.2%226.6%3811.6%3911.0%3410.8%3612.7%6221.6%4619.0%
8.3
$150,000 to 174,999 =4.5%
$100,000 to $124,99962.3%72.3%102.7%195.5%278.6%4612.8%4613.8%5416.4%5816.3%5918.7%4917.3%5218.1%4819.8%
$175,000 to 199,999 = 8.3%
$125,000 to $149,99972.7%124.0%297.8%4914.4%5015.9%6718.7%7021.0%7623.1%6819.1%6821.5%5920.8%4114.3%3313.6%
$200,000 to 224,999 = 14.4%
$150,000 to $174,999124.5%217.0%349.1%5114.9%6420.3%7019.5%7321.9%5516.7%6016.8%5116.1%2910.2%165.6%229.2%
14.4
$225,000 to 249,999 = 12.5%
$175,000 to 199,999228.3%3010.0%5815.5%5516.0%5918.7%5515.3%3911.8%237.0%277.6%216.6%165.6%134.5%93.7%
9.8
$250,000 to 274,999 = 11.4%
$200,000 +20176.1%21270.9%22059.0%14241.4%10132.1%8824.5%6419.2%5817.6%6317.7%4815.2%3110.9%269.1%239.5%
$275,000 to 299,999 = 9.8%
Total264100.0%299100.0%373100.0%343100.0%315100.0%359100.0%333100.0%329100.0%356100.0%316100.0%284100.0%287100.0%242100.0%
11.4
12.5
$300,000 to 399,999 = 17.8%
$400,000 to 499,999 = 8.3%
aĻķźğƓ υЋЍЏͲЋЎЉυЋЍЍͲЉЉЉυЋЊЎͲЍЉЉυЊБЏͲЉЉЉυЊАЎͲЉЉЉυЊЏЊͲВЉЉυЊЎЌͲЎЉЉυЊЍЉͲЉЉЉυЊЌБͲАЎЉυЊЌЌͲЎЉЉυЊЋЊͲЉЉЉυЊЉЊͲЍЉЉυЊЉВͲВЎЉ
$500,000 plus = 1.9%
Sources:McLeod County Assessor's Office
2023 HUTCHINSON YEARLY COMPARISONS:
HUTCHINSON FORECLOSURES
250
McLeod County and Hutchinson
McLeod County
Foreclosure Counts
200
Hutchinson
200
176
159
142
150
135
135
93
100
77
75
62
53
50
45
42
44
40
39
50
27
28
34
25
24
19
18
14
1111
10
7
6
5
12
4
3
0
20072008200920102011201220132014201520162017201820192020202120222023
-50
SUMMARY OF HHRA 2023 ACCOMPLISHMENTS:
PARK TOWERS APARTMENTS MANAGEMENT -MULTIFAMILY,
SECTION 8 PROJECT BASED RENTAL ASSISTANCE PROGRAM (PBRA):
Park Towers Property Management
Tenant Demographics
Average age of head of household is 56.
16move-ins, and 13move-outs and one
46Sixty-two or older
transfer to a H/C unit in 2023.
47Disabled
Instituted a tenant text messaging system for
Income Categories:
snow removal and other important messages
27.5% Extremely Low (i.e. 1-person household $19,750 or less than)
for the tenants.
71.4%Very Low (i.e. 1-person household $19,751 -$32,900)
1.1%Low (i.e. 1-person household $32,901 -$52,650)
Asset Preservation, Property Improvements and Energy Conservation
Updated the security camera system.Replaced laundry room exhaust fan motor.
th
Replaced the 7floor Fireside room Mini Split. Boiler system (heat and water heater) repairs.
Repaired water softener system.Installed 57 unit, Federal Pacific Electric Panels.
Installed a mail room, secure parcel cabinet system.New vinyl planking was installed in 11 units at turns.
Water saver power flush toilets were installed in 11 units to save water and reduce toilet plugs.
1 H/C unit range, 1 refrigerator, and 2 A/C units were replaced.
SUMMARY OF HHRA 2023 ACCOMPLISHMENTS:
CITY CENTER OPERATIONS
Owner Occupied Rehabilitation Programs:
1.City Home Improvement Program Grants (TIF): This program was added in 2015 as a
flexible tool for rehab of single-family, owner occupied housing throughout the city. It has
multiple divisions to target different community needs.
Program Division Accomplishments:
City Home Repair Grant Program4 projects closed in 2023 (5 approved in 2022 but
completed in 2023)
Ten past City of Hutchinson Owner Occupied Rehab Program projects were completely
forgiven in 2023.
2.Minnesota Housing Rehab Loan Program (RLP)Zero project in 2023 but 2 application
processed. One will be moving forward in 2024.
SUMMARY OF HHRA 2023 ACCOMPLISHMENTS:
CITY CENTER OPERATIONS
House Move to Island View Heights Lot
The Hutchinson HRA moved a 2-bedroom, one-bathroom rambler that was donated
by the City of Hutchinson/EDA to an HHRA owned vacant lot.
It has an unfinished full basement with egress windows for expansion space. An
attached two-stall garage was added on to the home.
The house is scheduled to be completed spring 2024.
The home is to be owner-occupied and will be sold to a homebuyer that has a gross
household income at or below the McLeod County Area Median Income.
HUTCHINSON HRA PRIORITIES FOR 2024:
PARK TOWERS APARTMENTS MANAGEMENT:
Administer the RAD Multifamily, Section 8 PBRA program at Park Towers.
Staff training for RAD Multifamily, Section 8 PBRA program and new HUD program changes such as AFFH rule,
HOTMA, VAWA and NSPIRE inspections.
Housing Specialist getting a Minnesota Department of Labor and Industry issued Special Engineer boiler license.
Continue to install vinyl planking and power flush water saver toilets at unit turns.
Potential improvements: new door card entry system for the whole building, roof repairs to the building &
detached garage, and common areas flooring replacement.
Follow legislation that may require sprinklers in high rise residential buildings.
Support the Tenant Council activities.
HUTCHINSON HRA PRIORITIES FOR 2024:
CITY CENTER OPERATIONS:
City Center Operations, Owner Occupied Rehab:
Administer the City Home Improvement Grant Program (TIF available funds), Minnesota Housing Rehab Loan
Program and the Fix Up Fund Home Improvement Loan Program.
Follow rollout of new State housing programs and determine interest/need in Hutchinson.
Market available programs throughout the community.
Identify and determine interest of potential SCDP owner occupied rehab project.
City Center Operations, SCDP Rental Rehab Program:
Identify and determine interest of potential SCDP rental rehab projects.
City Center Operations, Housing Development
Investigate new innovative home building concepts, such as panel components and modular systems.
Explore other housing resources available to address the housing needs identified in the Maxfield
Strategic Plan.
Determine best use of the HHRA Island View Heights lots.
QUESTIONS?
Judy Flemming, Executive Director
(320) 234-4451 jflemming@hutchinsonmn.gov(City Center)
(320) 587-2168 jflemming@hutchtel.net(Park Towers)