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    You are at:Home»Business»Putting the ‘lord’ in ‘landlord’: US churches step up to build housing amid shortage | Housing
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    Putting the ‘lord’ in ‘landlord’: US churches step up to build housing amid shortage | Housing

    onlyplanz_80y6mtBy onlyplanz_80y6mtMarch 29, 2026005 Mins Read
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    Putting the ‘lord’ in ‘landlord’: US churches step up to build housing amid shortage | Housing
    Several faith-based institutions across the country are developing affordable housing as the US faces a shortfall of more than 4m homes. Illustration: Guardian Design / Getty Images
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    A parcel of land behind Little Rock AME Zion church in Charlotte, North Carolina, remained mostly empty for nearly a decade before the congregation approached the city with a proposal.

    The land sat unused while housing prices climbed and locals were being pushed out of their neighborhoods. So, the church proposed in 2018, why not develop housing there?

    About six years after the project was approved, Varick on 7th opened 105 apartment units, half of which were designated as affordable housing.

    “Little Rock has been a staple in this community for years addressing needs, not just affordable housing,” said the Rev Dr Derrill Blue, a pastor at Little Rock. “So we knew, because we had a longstanding relationship in this First Ward community, that this could be the next avenue we could take to address a community need.”

    Little Rock is just one of several faith-based institutions in the US that are developing their underutilized land at a time when the country faces a deep housing shortage.

    Increases in rental costs have outpaced inflation over the past several years and the US is facing a shortfall of more than 4m homes. This lack of supply, many experts believe, is among several reasons why home ownership is out of reach for so many households and why housing costs keep mounting.

    The growing movement has even gotten its own nickname: “Yes in God’s Back Yard”, or YIGBY for short – a play on the “Yes In My Back Yard” movement that advocates for greater housing development.

    Valerie White, the senior executive director of the New York-based office of Local Initiatives Support Corporation (LISC), said that churches are uniquely well-positioned to build housing because many of them already have the necessary land. LISC, one of the country’s largest community development organizations, has helped provide support between churches and developers for several YIGBY projects across the country.

    “Affordable housing project financing is very complex and it’s extremely expensive,” she said. “So if you already have the space and you’re just building a structure on top of it, it changes the cost dramatically.”

    Some churches have decided to develop unused parking lots or green space. Others have opted to demolish existing structures, often those that are dilapidated and in need of renovations, said Evita Chavez, a senior program officer who helps lead housing projects in LISC’s Bay Area office. In many cases, these churches are off-loading unused or underutilized space.

    “Their membership is ageing, and their membership numbers are declining. They’re seeing fewer people show up,” she said, of the churches she works with. “There’s a lot of folks who are trying to figure out how they can continue to support their mission in a way that’s going to continue to serve their communities, but may not look exactly like how they’ve been serving their communities in the past.”

    Leaders say a community’s trust in a church can help push housing projects forward at a quicker pace. Having a strong, existing relationship with neighbors is often instrumental to getting a project greenlit, said White. Churches are often institutions that the “community knows, they see, and most times, they trust”.

    “They’ve been the anchor in the community. They are very attuned to the needs of the community, of their congregation,” White said.

    But projects involving churches and other faith-based institutions are not immune to the typical zoning and funding obstacles that have historically stymied new housing construction.

    Housing projects often face restrictions from local zoning restrictions or pushback from the community. High interest rates, labor costs and construction costs have also made it more difficult to build.

    In 2016, the Christian Cultural Center partnered with real estate group the Gotham Organization to reimagine the megachurch’s massive 10-acre parking lot. But it wasn’t until November 2022 that the city approved the final rezoning necessary for the project in East New York, a neighborhood in Brooklyn. The entire development, called Innovative Urban Village, will cost about $1bn, according to Gotham’s website, and is expected to finish construction in 2031.

    The project isn’t “just about putting a roof over people’s head”, said Bryan Kelly, president of development at the Gotham Organization.

    “There were goals and virtues shared, such as creating a livable, walkable community,” Kelly said. The development also aims to ensure East New Yorkers that they will not be displaced from the neighborhood due to rising housing costs, he added.

    Bipartisan support for YIGBY legislation

    Legislation supporting the YIGBY movement has seen bipartisan support in certain states, such as Kentucky, and in Congress. Both the House and the Senate are now reviewing bills that would bolster the YIGBY movement and make it easier for churches to turn their empty land into housing by, for example, providing $50,000,000 in grants for YIGBY projects.

    Several states and cities have already passed legislation. In California, one law passed in 2023 allows faith-based institutions and non-profit colleges to override local zoning restrictions to build affordable, multi-family homes. Last year, the Florida legislature passed similar legislation, with requirements that 10% of new units be affordable.

    “I think the timing of all of this (legislation) is representative of the crisis that we’re in … to find a new, innovative, aggressive tool to address this growing crisis,” White said.

    Community interest in finalized YIGBY projects appears to be high. Rev Blue of Little Rock said leaders from nearly three dozen churches visited the congregation and Varick on 7th recently to learn how to start similar projects.

    Steven Robinson, deacon of Bethany Baptist Church in New York who has been involved in housing projects across the city for more than three decades, said the waiting list for one of the church’s senior housing facilities in Harlem has more than 800 people.

    He recalled how one visitor told him that residents in that complex “probably feel like they are as close to heaven as they’re ever going to get”.

    “The one thing about our teaching about Jesus Christ is that he always did more than was expected,” he said. “And that’s what my hope is: that whatever we do, our housing will always be more than they expect.”

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