Housing for the homeless
The financial crisis of 2007–08 fueled the growth of the small house movement. In several cities, an entrenched homeless population formed around "tent cities" or encampments that became semi-permanent housing. Homelessness in these communities was driven by foreclosures and expensive mortgages from the United States housing bubble.
Tiny houses became an affordable option for individuals who lost their homes. With their low cost and relative ease of construction, tiny houses are being adopted as shelters for the homeless in Eugene, OR; Olympia, WA; Ithaca, NY; and other cities. Communities of tiny houses offer residents a transition towards self-sufficiency. Communities such as Othello Village in Seattle, WA, originally lacked electricity and heat. In Seattle, non-profits have stepped in to help provide amenities.
Housing the homeless is said to be a cost-saving for municipalities. The long-term viability of tiny houses for homeless people is completely dependent on the structure and sustainability of the model. Strict zoning and land ownership laws make it difficult for this movement to take root. Benefits of access to housing include privacy, storage, safety, restoration of dignity and stability.
In Reno, Nevada, faith-based groups and community advocates have legislated new zoning for housing of homeless people in a tiny home community. Each tiny house would cost an estimated $3,800 to build, as well as an operating budget of $270,000 for case managers to help residents find more permanent housing and a project manager position.
One challenge besides zoning and funding has been a NIMBY response by communities. Communities may weigh concerns over tiny home communities becoming shantytowns or blighted neighborhoods that reduce property values of the surrounding neighborhoods. For cities such as Chicago, tiny houses are seen as an appealing option to close the gap in housing availability. Community planners also have concerns that communities don't devolve into shantytowns such as during the Great Depression in "Hoovervilles".
In California, the city of Richmond has engaged University of California-Berkeley students in the THIMBY (Tiny House In My Backyard) project with a pilot program for developing a model of six transitional tiny homes to be placed in the city. This is in-line with developing efforts in the San Francisco Bay Area to use micro-apartments and tiny houses in combating the housing crisis and Homelessness in the San Francisco Bay Area. Similar efforts of using tiny houses to house the homeless are also ongoing in Oakland through a partnership between the City of Oakland and Laney College.
In Edinburgh UK the Social Enterprise Social Bite asked Jonathan Avery of Tiny House Scotland to design a variation of his NestHouse tiny house to create a two bedroom version for its Homeless Tiny House Village in the Granton area of Edinburgh. The village was opened on May 17, 2018 by the Scottish Cabinet Secretary for Communities, Social Security and Equalities, Angela Constance MSP and features eleven NestHouse Duo tiny houses and a community hub building all built by Carbon Dynamic.
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