New Study Finds Housing on the Gulf Coast Will Return to Pre-Katrina Levels by 2011

The Gulf Coast is on track to restore all the housing that was lost during Katrina, but the problem is whether or not that housing will be affordable. MPB's Phoebe Judge reports.

By 2011 there will be more houses and apartments to rent on the Gulf Coast than before Katrina, 104% of pre -Katrina levels. That’s the findings from a new housing study commissioned by the Mississippi Development Authority. The study was carried out by the Compass Group, an affordable housing consulting firm and the Southern Mississippi Planning and Development District. Charlie Wilkins is a principle at Compass Group,

“It’s a good report in the sense that the housing recovery is working. Its looks like we are going to get back at least as many units as we had before Hurricane Katrina. It’s a troubling report in that there are affordability problems that are fairly serious.”

Those affordability issues stem from a variety of factors, market rents have increased by over 200 dollars a month since the storm, new flood maps mean foundations have to be elevated, and insurance rates have skyrocketed. Lee Youngblood is with the MDA,

"We understand that affordability is a major concern that needs to be addressed. If you look at this study it says, hey there is a need for about 5000 affordable units out there by 2011. This study is going to help to kind of rifle shot that, and target that to where it is needed.”

Youngblood says there is no exact solution right now, but at least now there is a roadmap. Some thoughts that have been thrown around are providing greater rental assistance and expanding Section- Eight housing benefits. For MPB News, I’m Phoebe Judge in Gulfport.