High housing costs pose problem for UNC employees

Fewer than 40 percent of faculty and staff at the University live in the town in which they work.

And Gordon Merklein, executive director of real estate development at UNC, said the high cost of housing in Chapel Hill might be one factor — but local governments and the University are trying to change that.

Earlier this month, the Chapel Hill Town Council allocated $16,096 more than usual to the Community Home Trust, a nonprofit organization focused on providing affordable housing for county residents.

Robert Dowling, executive director of the organization, said about half of the residents in his homes are UNC employees.

Housing for students, faculty and staff is also set to be incorporated into the mixed-use Carolina North satellite campus, once development begins.

Merklein said the high cost of housing in town can be troublesome for UNC staff seeking homes in town.

“Chapel Hill, in general, is an expensive place to live,” he said.

“Housing prices are higher — it’s one of the highest per-capita places to live in the state. As such, that means (for) people who work at UNC who want to live in Chapel Hill — it becomes difficult for them because the housing is more expensive than, say, in neighboring (counties).”

According to a residential market study, the median price of a for-sale home in Chapel Hill in 2010 was $323,300 — 64 percent higher in cost than Durham, 63 percent higher than Raleigh and 34 percent higher than Cary when taxes, land cost and construction costs are factored into it.

The median single-family income in Chapel Hill, meanwhile, is $67,688, and the average salary for University employees covered by the State Personnel Act — most staff members — is $47,921.

Merklein said housing costs are an issue when it comes to hiring new employees.

“UNC recognizes that to keep a competitive workforce and to make UNC an attractive place to work, we’re at a disadvantage as an institution because of the high cost of living,” Merklein said.

“So it can be difficult to attract someone to choose UNC as a place to work because of the cost of housing in Chapel Hill.”

Jackie Overton, chairwoman of the employee forum, said a lack of affordable housing has been an issue for many years, and many low-wage employees who live elsewhere must add additional costs — in terms of gas and commute time — to their daily routines.

She said housekeepers, groundskeepers and bus drivers are among those most affected by limited affordable housing in the area.

Bridget Baucom, director of grounds services, said the majority of her staff doesn’t live in Chapel Hill, though cost may not be the only factor. She said many of them live in Durham, Pittsboro, Chatham County and Burlington.

Emily Hinkle, a Community Home Trust resident and five-year UNC employee, said she’s grateful for the organization because she otherwise wouldn’t be able to live in Chapel Hill.

But she said she might have lived elsewhere if she could.

“I would like a yard with a fence and a house that wasn’t attached,” she said.

“But that would’ve been way out of my price range.”

Linda Convissor, UNC’s director of local relations, said she has seen a similar trend in other home buyers.

“What I’ve seen is that there are people who can afford housing in Chapel Hill, but it may not be the kind of housing that they want,” she said.

“They may be able to live within the same commuting time in Durham or in Alamance County and be able to get more square footage in a house, or perhaps a single-family detached house — rather than a condo or a town house — for the same price.”

Merklein said finding solutions to the issue of affordable housing is essential to the University’s mission.

“In order for us to retain and attract a quality workforce of both faculty and staff — anything we can do to help in that arena will benefit the University.”

Contact the desk editor at university@dailytarheel.com.