If the unit pricing is set appropriately and units are adequately marketed, selling them should not be a problem. But if there is some dramatic economic shift during development or pricing is not appropriately set initially, it can be difficult and sometimes impossible for developers to find income-eligible buyers.
The Regional Housing Alliance of La Plata County, Colorado, which offers developers an in-lieu fee option as part of its ordinance, has built into its inclusionary housing regulations a clause that allows deed-restricted inclusionary units that have not sold at the specified below-market price after 120 days to revert to market price if the developer is willing to pay the specified cash in-lieu fee instead.
Jurisdictions facing this issue may need to revisit their pricing requirements; it could be that the initial pricing is too high to be affordable to low-income buyers. Similarly, they may need to evaluate the marketing efforts and assist developers in reaching the communities the housing was intended to target.
