South Mountain Company

Martha’s Vineyard’s integrated design/build company

This blog provides up-to-date news of goings on at South Mountain Company and occasional musings from John Abrams (and others).

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Innovation, Strategic Planning & Starting With Why

By South Mountain Co. |


Last week, all 41 members of our company gathered in the Martha’s Vineyard Playhouse for a “Day of Business”. The purpose was to review and adjust our Mission and our Guiding Principles , and to engage in a strategic planning exercise to envision the next five years for our company. As partial preparation for this and the department-level visioning that proceeded it, Deirdre asked me to share some perspective on Innovation. The following is an edited version of a memo I wrote to the company.

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I don’t think of innovation as being in any way separate from daily work, meaning it’s not some special kind of work – it’s just what we do. Incremental innovation (small improvement to existing services) is happening every day at South Mountain. Every time we improve a system, an approach, a design, a use of technology – we’re innovating.

There are three other types of innovation often recognized by innovation thinkers. These past few years at SMCo have been chock full of each, big and small. The types, and just one example from recent times:

Sustaining innovation (significant improvement to existing services)
Example: The recent overhaul of our Management and Governance System . This will significantly expand internal participation, transparency, and engagement across the company.

Radical innovation (creating new markets)
Example: Establishing and building our Energy Technology business, which took solar from something we employed on our own projects to something we offered to residential, institutional, and commercial customers island-wide, including working people who we do not often serve with our design/build services.

Disruptive innovation (creating new products)
Example: Expanding our services to creating high performance buildings and campuses for island non-profits like Camp Jabberwocky, Martha’s Vineyard Community Services, and Island Grown Farm – a whole new kind of work for us with significant learning and community engagement rewards.

Innovation is harder than maintaining the status quo and is often accompanied by a healthy feeling of discomfort. Luckily, the drive to push through is baked into SMCo DNA. It’s a constant gravitational pull – a non-innovative SMCo would be unrecognizable to each of us.

It began that way. When I say (probably too often) that “we never know what we’re doing, never have,” it’s because innovation was the foundation of this company, and it still is. We’re always in the process of learning how to do what we’re doing.

We are also constantly building incrementally on the innovations of others, adding our innovations to theirs. We are forever prospecting our various networks and colleagues for innovative practices that we can employ and enhance.

My two favorite books about innovation are Innovation Secrets of Steve Jobs, by Carmine Gallo (a deeper, more comprehensive treatment of the same subject is Walter Isaakson’s book Steve Jobs) and Let My People Go Surfing, by Yvon Chouinard.

Jobs’ “Seven Secrets of Innovation” are:
1. Do What You Love. Think differently about your career.
2. Put a Dent in the Universe. Think differently about your vision.
3. Kick Start Your Brain. Think differently about how you think.
4. Sell Dreams, Not Products. Think differently about your customers.
5. Say No to 1,000 Things. Think differently about design.
6. Create Insanely Good Experiences. Think differently about your brand experience.
7. Master The Message. Think differently about your story.

Chouinard’s book does not position itself as a book about Innovation, but it emphatically is. A quote:

“While values should never change, every organization, business, government, or religion must be adaptive and resilient and constantly embrace new ideas and methods of operation.”

In the case of both Apple and Patagonia, Jobs’ first two “secrets” – Do What You Love and Put a Dent in the Universe – tower above the rest: be sure to work where your passion lies and be sure your work makes a difference. If you do just those two, you are bound to innovate. (How could you not if you’re in a position to make a difference about that which you love and care about?)

But what does innovation have to do with the strategic planning exercise we are about to engage in? The primary points of intersection, I think, are in visioning the future and setting goals to reach that future. Identifying the innovations that might make a difference. Creating goals that look ahead and that, if they manifest, will allow us to look back from an entirely new place.

Making an overall vision from which the goals derive may be more about another “I” word: Imagination. We must imagine a different future to create a platform on which to innovate. Visioning helps us to arrive at the place we imagined. John Lennon’s song “Imagine” is one of the most treasured and visionary songs ever. If we can imagine what we want, we can get there. Little things but big things too. Climb the 14ers out west (get to the top). Hike the Appalachian Trail (get to the end). Transition to SMCo Next Generation (get to the new beginning).

Our job is to imagine and define the visions that are the stage-set for our innovation goals.

Innovation is a survival mechanism too. Someone once said, “Either we become good at planting in the spring, or we learn how to beg in the fall.” Planting in the spring must be a hallmark of our practice.

Simon Sinek, in the book Start With Why, says that there are three parts to attracting people to your product or service and to inspiring team members to innovate: the What (what you do), the How (how you do it) and the Why (why you do it). The most successful companies, he maintains, are those that lead with – and consistently emphasize – the Why.

From its humble garage workshop beginnings to its extraordinary position in commerce today, Apple has always led with the Why:

“Everything we do, we believe in challenging the status quo. We believe in thinking differently.” Front and center, always, is their purpose. Only after that comes How: “The way we challenge the status quo is making our products beautifully designed, simple to use, and user-friendly.”The What is really just an afterthought: “By the way, we happen to make great computers.”

Most companies and organizations start with What, then get to How, and only later (if at all) get to Why. This is a fundamental oversight.

The best possible way for us to inspire innovation throughout our company is to focus our primary attention on Why. Why are we doing these things? When we nail the Why, we can begin to create pathways through which new capacities and new value can flow.

Innovation comes in all forms. Once we were beginning a new house on the site of a decrepit old one that the clients wanted torn down. We decided that one part, the oldest, was in fine condition and convinced our clients to let us move it and make it into a garage with a studio above. We built a slab-on-grade foundation to move it to. Now, when you move a house, you generally place steel beams under it, lift it, set it over a foundation, cut holes in the foundation for the beams, set it down, pull the beams, and patch the holes. In this case, with a slab on grade, was no place for the beams to go, no slots for them to lower into. The building could be placed over the foundation, but how would it be lowered in a way that would allow the beams to be pulled?

Our crew asked the mover, Mike Reid. He said, “come back Thursday morning and I’ll show you.” Our crew arrived, Mike and his helpers pulled in, and they started to unload blocks of ice from the back of the truck. They set the blocks of ice, which were taller than the steel beams, on the foundation, lowered the building onto the ice, pulled out the steel beams, said “You guys are all set here” and drove off. Twelve hours later the ice had melted and the building was sitting, fair and square, on the foundation.

Innovation, pure and simple…on ice!

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Note: I first saw Jon Foreman’s extraordinary land art, used as illustration here, on Mitch Anthony’s amazing blog Love and Work, which is one of the few blogs that I read, religiously, top to bottom, week after week on Friday afternoons. Highly recommend!

Get Out The Vote: Get it ALL-THE-WAY Out

By South Mountain Co. |


This is a memo I recently wrote to all SMCo employees in advance of a company meeting specifically devoted to Housing.

The effort to create an MV Housing Bank modeled after the MV Land Bank is now 16 months old. A broad coalition of islanders, young and old, has been engaged in a complex effort to make this happen. Abbie and I both serve on the Steering Committee of The Coalition to Create the MV Housing Bank, and have been deeply involved from the beginning.

The Goal To establish a regional Housing Bank that provides a reliable and significant source of long-term funding to advance year-round housing

Revenue Source A 2% transfer fee on all real estate sales paid by buyer. A minimum of the first $1,000,000 of the sales price will be exempt from this fee.

Projected Revenue $10-12 million per year

Governance & Operation
  • Seven elected commissioners (one from each town + one at-large)
  • Professional staff
  • Town Advisory Boards which must approve all spending in their town
What It Will Do
  • Receive and fund proposals
  • Provide grants, loans, loan guarantees, rental assistance, purchase restrictions, etc
    • Individuals, for profits and non-profits, and public entities will be eligible for funding
  • Buy and sell real estate
    • It will not develop, manage, or maintain.

Who It Will Serve Those in need of stable housing who make up to 240% of Area Median Income ($251K for a family of four) and below. This allows for the future certain rise in real estate costs (Nantucket is now at $3M median home sale price).

Requirements & Priorities
  • At least 75% of funding must be used to re-purpose previously developed properties with existing buildings
    • Reclaiming short-term rental (Airbnb) properties is the focus
  • All new construction must adhere to stringent environmental requirements (no fossil fuels, no new net nitrogen pollution, ecological restrictions) and priorities (honor smart growth principles, avoid priority habitats)
What Does It Take To Get It Done
  • Passage in at least 4 of the 6 towns at town meeting and town elections
  • Passage in the state legislature
  • Final ballot vote to adopt the legislation upon its return from Beacon Hill
Relevance

Existing subsidized affordable housing programs (like IHT and DCRHA) can’t come close to meeting the need. Over 1,000 households are currently in sub-standard housing.

On top of that, countless Vineyarders make too much money to qualify for limited current assistance but too little to enter the inflated housing market.

The housing bank will have both funds and tools with which to serve these people.

Here’s just one example that would be relevant to some of you: Let’s say that you can afford to spend $650,000 for a house, but you can’t find anything suitable for less than $900,000. You could apply to The Housing Bank for a $250,000 shared appreciation loan to make up that difference. The way that we envision this working is:

  • If you never sell that house, you never pay back the loan.
  • If you do sell the house, you pay back the loan and only a portion of the appreciation of that house during the time between the receipt of the loan and the sale.

This kind of program availability will fundamentally change the housing issue for a large number of Vineyarders.

The Lift

Passing the Housing Bank, in both the towns and at the state legislature, is a heavy lift. It is by no means certain. To date, our efforts have been focused on:

  • Designing the housing bank
  • Bringing it to the community, including countless meetings with town boards, organizations, businesses, etc
  • Gathering support
  • Drafting warrant articles and getting them on all six town meeting warrants and ballots
  • Drafting legislation (26 pages long) to submit to the legislature

Now our focus has changed. Between now and town meetings/ballot elections, it’s all about Getting Out The Vote! A major effort is underway to get people to the town meetings and the ballot box. The effort is particularly focused on younger members of the population, many of whom rarely or never go to town meetings and some of whom aren’t even registered.

The Ask

Although lawn signs are appearing and an extensive social media campaign is underway, this is primarily a person-to-person effort.

Here’s what we ask:

  • Browse the extensive information on our website: If you’re a person who likes the details, check out the Warrant Article. If you want a general overview, check out the FAQ. If you feel opposed to the Housing Bank, have a look at the Common Misconceptions section to see if you might have something wrong.
  • Personally talk to at least five people you know about the Housing Bank. Ask them to go to their town meeting and their town election and vote for the Housing Bank. Ask them to talk to five others. If someone asks a question you can’t answer, send them to Abbie or me.
  • Go to your town’s meeting and your town’s election and vote YES for the Housing Bank!

This is an exceptionally important moment in time for the Vineyard. Please join us in this effort. It will change the future of island life – for all of us – forever.

On Building Second Homes

By South Mountain Co. |

This piece was written for and published in Fine Homebuilding. Thanks to Kevin Ireton (former FH editor) for the idea and his stellar editing. As always, he held my feet to the fire.

“How can you justify devoting so much time and energy to building vacation homes for rich people?”

It’s a good question,and one that I’ve heard often during my nearly 50 years on Martha’s Vineyard. In resort communities, many don’t have a first home. They’re scrambling to find stable housing while more than half the houses sit empty much of the year. That’s a problem. And in light of our climate crisis, the significant materials and energy dedicated to building and operating those houses compounds the problem.

When I came here in the 1970s, designing and building homes was so thrilling that I was content to build anything that developed new skills and knowledge. Working with head and hands gave me great pleasure; the idea that people would pay me to do it felt like a bonus. After a few years, however, the joy of the work and the satisfaction of the results were no longer enough. By then second homes had become a staple of our company, South Mountain, and my colleagues and I began to ask ourselves how we could justify this work.

The answer came in 1980. It began with a phone call from a woman named Madeline, who asked if I would look at a piece of land with her. She was a 60-year-old librarian whose husband had recently died. They had no children, and they had always lived in rented apartments. Her dream was to own property. She had $7,000 in cash. A realtor showed her a lot priced at exactly that, but her friends advised against buying it due to its topography and location.

The steeply sloping parcel was adjacent to the main road from Vineyard Haven to Edgartown. Traffic on the road was noisy and constant. The property faced due south toward a beautiful little valley. Except for the proximity to the road, it was lovely. I suggested an earth-bermed, partially underground house and told her we could design the noise of traffic right out of the picture. She was excited. She bought it.

At about the same time, I was approached by a single mother who owned property in West Tisbury and wondered whether we could build a house she could afford. Her budget was too small, but we had heard that the Farmer’s Home Administration was providing 1% loans to those with low and moderate income. We hoped to bundle a nice passive-solar house for Cathy and the earth-bermed house for Madeline, though the Farmer’s Home fixed-expenditure cap did not take into account either the Vineyard’s high construction costs or the long-term energy savings our houses would realize. We applied anyway.

We created plans for simple, compact houses and submitted them to Farmer’s Home with a request that they raise the mortgage limit (from $40,000 to $48,000) on each house due to the energy savings, which we analyzed and documented. After some bureaucratic wrangling, the increase was approved. Unfortunately, it still wasn’t enough to build the houses, unless we cut our overhead and profit to nothing and reduced our labor rates to below cost. Additional subsidies were needed.

Enter David and Pat Squire, who had purchased land in Edgartown and designed a second home with a Boston architect. They asked if we would be interested in bidding on the construction, and I told them that South Mountain built only those projects that we designed and that we didn’t bid on construction projects. They persisted, and a radical thought occurred to me: What if we gave the Squires a bid that had an explicit “premium” built in to subsidize the two Farmer’s Home houses? I shared the idea with the Squires, and they invited us to submit such a bid.

Our bid, one of three, was roughly $40,000 more than the next highest. They chose us nonetheless, and we built their house. We also built the two small houses for Madeline and Cathy by making up the shortfall with our extra earnings from the Squire project. Dreams came true, and mortgage payments were under $200. The Squires’ philosophical alignment with our purpose led them to become strong supporters of affordable-housing efforts on the Vineyard. Years later, when the Island Affordable Housing Fund was established to raise money for affordable housing, David became an important board member.

That was the first and only time that South Mountain inflated the cost of a project to support affordable housing efforts, but the experience inspired an idea that shaped the future of our company. If we could become a reasonably profitable enterprise, we could devote a portion of our earnings to affordable housing work for our community, and we could engage our wealthy clients in the issue.

At that point, the work of building second homes became meaningful. From then on, I often told new clients that they could count on me to ask them, in the future, to help with the Vineyard’s affordable housing problem (which they exacerbate, of course). I have done that now for 40 years, and the response has been heartwarming millions of dollars donated for attainable year-round housing.

Building second homes also allowed us to experiment and take risks. One of these occurred in 1987 when, in response to a request from two long-time employees for a greater stake, I sold South Mountain to my employees (and myself). We became a worker-owned cooperative and began to introduce new values to our business activities. For example, we committed to the creation of lifelong living-wage jobs and family-first policies, such as flexible work arrangements and stellar benefits. We began to codify our commitment to our community by donating to essential nonprofits and engaging in pro-bono work. We became a triple bottom line company long before we’d ever heard the term, measuring our success not just by our profits but also by effects on people and the planet.

Our journey since then has been influenced by many others, but particularly by Patagonia, the outdoor clothing and gear company that has become the gold standard for corporate social and environmental responsibility. Just like our second homes, many of Patagonia’s products are nonessential. Not everyone needs a pair of $300 ski pants or a lifetime wetsuit. So the company balances that reality with its social and environmental contributions, its political advocacy, and its important innovations, such as pioneering the use of organic and recycled cotton, and buying back old garments to refurbish and resell for far less than new ones.

Inspiration from Patagonia and others, combined with our own cantankerous sense of justice, has helped South Mountain become at once a profitable business, an active agent of community change, and a supporter of the local economy that supports us.

Today our second-home work is unusual in several ways. First, we restrict the size of the houses we are willing to build. Only on rare occasions, on very large parcels, have we designed and built houses over 3500 sq. ft.

We also use our second-home work for de-facto research to advance the building industry, especially with regards to energy performance, comfort, health, and durability. By experimenting with the homes of our well-to-do clients, we’ve learned a lot about high-performance building. As a result, we set minimum performance standards for our buildings that are well above code. Now we mostly produce net-zero-possible buildings. We use reclaimed materials extensively and are beginning to reduce embodied carbon (a work in progress with net-zero carbon as the ultimate goal).

By elevating performance standards, we make models that others can emulate and that we can incorporate in our affordable housing work. For us, truly affordable housing differs from luxury housing in only three ways: it’s smaller, it’s less detailed, and it’s differently financed. The performance and quality are uncompromised.

Perhaps the biggest step we have taken with our second-home work is doing less of it. Over time, we diversified South Mountain’s work into five parts; here’s a rough breakdown over the past year in terms of dollars per category:
• Limited-use second homes: 10%
• Year-round, fully occupied homes: 20%
• Attainable workforce housing: 10%
• Institutional work for nonprofits: 35%
• Solar for homes and businesses not built by us: 25%

This is only one year, and it happens to be a year with an uncharacteristically small amount of second-home work, but it indicates a direction: less harm, more good. Causing no harm is impossible — we are part of the problem too — but we share our experiences and hope others will join our push to turn some of the negative impacts of building into positive benefits for communities and the environment.

An added benefit of our business practices is that the second-home clients we attract tend to share our values. We love working with them. They go from being clients to becoming partners in our efforts to make the Vineyard a better place. Many have become friends for life. The rewards of this work and these relationships have become deeply ingrained in our core purpose.

A Joyous Building

By South Mountain Co. |

When a pack of wide-eyed youngsters cut the ribbons for the Island’s new Early Education and Care Center (EECC) earlier this month, it was a crowning moment – for both Martha’s Vineyard Community Services (MVCS) and South Mountain. It concluded five years of intensive planning, design, permitting and construction. (Technically it was far longer – MVCS first contacted us about renovating or replacing their outgrown, outmoded, and problematic buildings in 1999. But it wasn’t until 2017 that the organization was ready to create a long-term vision for a new campus and raise the funds to make it happen).

The new building is a tremendous improvement, but ultimately, it’s the program that the building houses that’s more important than the building itself. In a recent Vineyard Gazette article, Louisa Hufstader writes that “Nearly half of the Island’s children aged five and younger have no place to go for care and education while their parents are working.” The new EECC is the Vineyard’s largest early child care provider, with space for 65 kids plus a home-based Head Start program that accommodates another 40.

The scruffiest of the ribbon-cutting bunch – with his long unruly blonde hair – was my three-year old grandson Rockland. Among those behind him was Heather Quinn.

In the summer of 2008, my daughter Sophie was working at the Art Cliff Diner. Heather worked there too. At the time my wife Chris was the director of the Chilmark Preschool. Sophie learned that Heather had early childhood training and was a licensed preschool teacher. She told her mom about her new friend and said she should offer her a job. Chris did, and Heather took it.

In 2010 Chris was diagnosed with brain cancer and had surgery to remove it. One day during recovery at Mass General, Chris had a conference call with her teachers at the Chilmark Pre-School. She told them it was unlikely she’d be back for a long time (which turned out to be never). She said, “Heather, I want you to be the director. Laurisa, Talia, and Kathie – I want you to support Heather in every way that you can, and I know you will.” Both things happened.

A few years later Heather was hired to be the director of Early Childhood Programs at MVCS. Due to under-staffing, Heather has been teaching this year (as director, she usually doesn’t). Remarkably, the class that she teaches is Rock’s. Full circle. The woman mentored by Chris (the grandmother Rock never knew, because she died six months before he was born) is now Rock’s teacher. One of those multi-generational serendipitous stories that the Vineyard is full of, right?

Just a few years before Sophie met Heather at the Art Cliff, a young architect named Ryan Bushey came to work at South Mountain. Over time he became a company owner and today he is our Director of Architecture.

Ryan was the architect for the new EECC. But he was really the conductor of a comprehensive orchestra that always played in tune, due in large part to his attentiveness, creativity, collaborative spirit, leadership, and dedication. He deftly wove together:

  • MVCS staff (whose input was invaluable)
  • their highly effective building committee (led by board member Stephanie Mashek)
  • a collection of consultants (including Boston early childhood specialists Studio G)
  • a team of engineers who designed the structure and mechanical systems
  • town and regional regulatory officials
  • SMCo interior designer Beth Kostman
  • SMCo production staff led by Director of Production Newell Isbell-Shinn and Project Lead Rocco Bellebuono
  • our construction partner The Valle Group (based in Falmouth)
  • and a host of trade partners who did a stellar job.
Photo by Lynn Christophers for the MV Times

The process was tremendously complex but there was little strife. Despite the pandemic, it was completed on time and on budget. When students and staff transitioned from the old center to this new one, they went from a building that couldn’t have been much worse to a one that – I say immodestly, but with conviction – couldn’t be much better. The contrast is stark.

The new building epitomizes high performance in terms of energy, comfort, health, safety, and durability. The envelope is super-insulated. The mechanical systems are designed to provide highly efficient fossil-fuel-free ventilation, heat, and cooling (as designed, the ventilation system exceeded pandemic standards and required no updating). All finishes and furnishings are non-toxic. And with the addition of solar during the next phase, the building will likely produce more energy than it consumes.

The project also minimizes the negative impact on the Island ecology.  Stormwater is managed carefully with permeable pavement and rain gardens. Wastewater is treated with a denitrification system. The native plantings will thrive without irrigation. 

This is a building full of light. Nobody fails to notice this when they enter. Large windows and generous skylights flood every nook and cranny with daylight.

It’s a tranquil place. The teachers say their job is easier now than it was in the past – the thoughtful design, soothing colors, beautiful equipment, environmental comfort – all of these promote ease and well-being for staff and students alike. Parents even say it lifts their mood at drop-off and pick-up.

Donors can be proud that it’s economical too. Approximately 90% of the work was done by islanders, which rarely occurs with Vineyard public and institutional buildings. According to a benchmarking study conducted by CHA Companies, the owner’s representative for the project, this building cost the same or less than lower quality, less efficient off-island buildings of similar scale and use. Americans have become accustomed to mediocre buildings fashioned by a lowest-bidder, race-to-the-bottom mentality. There is no good reason for this. This building will cost little to maintain and operate, and it should serve our community well for 100 years or more.

Aside from all that, the building has another quality that results from Ryan and Beth’s design approach. Sometimes I pick Rock up after school and take him to the nearby skate park where he loves to ride his scooter with his friends. When he leaves the classroom, he always bounds up the cushion sculpture in the center of the atrium and jumps off the top. Joyously.

It’s a joyous building.


Solutions On The Horizon

By South Mountain Co. |

Summer’s done. The west burns, the east floods, and there’s nowhere for working people to live on Martha’s Vineyard. Comparing the worldwide climate crisis to the local affordable housing shortage may seem like comparing the 20-year Afghanistan war to a Saturday night bar fight, but there’s a connection.

The current condition of each requires massive transformation to solve; the fundamental difference is scale. We know how to overcome climate change, but we don’t yet know if we will. We know how to solve the local housing crisis, too, and – lo and behold – there are two indications that we just might. The first is circumstantial; the second is intentional.

Something that is happening right now has never happened before: in each of the six island towns, there is, simultaneously, one or more significant affordable housing projects moving forward. In a recent editorial in the Martha’s Vineyard Times called “Making Progress,” most of the projects were listed. Here they are again, paraphrased for brevity:


  1. In Tisbury, Island Housing Trust (IHT) is in the construction phase of a 20-unit pocket neighborhood of affordable apartments at Kuehn’s Way. Proposed mixed-use development at the mini-golf course on State Road would also include affordable housing.

  2. Edgartown is planning 36 rentals and four homeownership opportunities on town-owned land at Meshacket Way.

  3. West Tisbury voters have approved the transfer of town-owned land at Lambert’s Cove and State Road to their affordable housing committee. And recently, IHT, the MV Land Bank, and developer William Cumming revealed plans for the old Olsen Farm that will include eleven housing units for members of the island workforce, especially teachers.

  4. Oak Bluffs is planning 60 units on its eight-acre Southern Tier property, and CapeBuilt plans to include affordable housing in its development on Lagoon Ridge off Barnes Road.

  5. Aquinnah and IHT will partner on four units on land abutting the town hall.

  6. Chilmark is in the early stages of planning for housing at Peaked Hill Pasture.

Others are being planned. Island Grown Initiative will build four units of farmworker housing at Island Grown Farms in Oak Bluffs. Most significantly of all, perhaps, the MV Hospital and Healthy Aging of Martha’s Vineyard have secured property and much of the funding for a large project for elders. It will house 70 people of mixed incomes at a complex using the innovative Green House model that has been successfully replicated nearly 400 times nationwide.

The combined result of this activity may produce roughly 250 new affordable and elderly housing opportunities. If they are all completed in the next five years, they would satisfy the ambitious Martha’s Vineyard Commission Housing Needs Assessment goal of producing 50 units of new community housing per year.

This unlikely convergence of tremendous parallel efforts is the first indication – the circumstantial one – that we will solve this crisis.

With all this development, there is opportunity to contribute to the solution of that bigger problem: our climate crisis. Buildings (their construction and operation) account for nearly 40% of all carbon emissions. With care, attention, and investment, we can make buildings responsible for significantly less carbon than the norm. It’s even possible to build carbon-neutral (and carbon positive!). We should be doing nothing less.

All of these projects need funding to bridge the significant gap between cost and affordability and to ensure health, comfort, durability, energy efficiency and reduced carbon content.

That brings us to the second indicator – the intentional one.

In November 2020, Coalition to Create the MV Housing Bank (CCMVHB) formed to establish a regional housing bank funded by a 2% transfer fee like the MV Land Bank. The effort has a full head of steam. We have joined forces with a dozen other cities and towns to craft statewide transfer fee legislation and are working with all six towns to pass warrant articles supporting the housing bank. A dedicated funding source producing $7-10 million annually for housing would allow for progress like we have never seen before.

All the projects listed earlier involve development or re-development. The housing bank could support these efforts financially, but it could take other approaches as well.

Think how many campground cottages, Edgartown bungalows, Chilmark colonials, and West Tisbury farmhouses could be purchased, re-furbished, taken off the short-term rental market, and made into stable year-round housing (rather than being demolished and replaced with mega-mansions to rent for a ton of money in the summer and sit empty and dark the rest of the year).

Consider how many people, way short on a down payment for one of the ridiculously priced fixer-uppers on the market today, could walk into the Housing Bank office and say, “How about one of those ‘shared appreciation loans’ for me? I’ll pay it back. I’ll work hard. I always have. You can count on me.”

We probably can, and it sure wouldn’t hurt to try. (Shared appreciation loans would provide down payment assistance to those struggling to enter our inaccessible housing market and would be repaid upon sale or re-financing – with some of the appreciation returning so the funds could be re-purposed in the future).

Our partner, the Land Bank (which has consistently supported affordable housing efforts and has volunteered to collect the housing bank funds using its existing apparatus), has transformed the island for our pleasure, health, stability, and well-being. That is precisely what the Housing Bank could do for people. Land Conservation and People Conservation. Two sides of the same coin. Currency for community. An investment in generations to come.

During the past 25 years, Vineyard non-profits and municipalities have slowed the march of the housing crisis through a variety of important finger-in-the-dike efforts. But if you want to get to Mexico and you’re heading for Canada, just slowing down won’t get you to where you’re going. You need to change direction. The Housing Bank will combine with current efforts to turn us all the way around.

When will the moment come that we see a similar light at the end of the climate tunnel?

The Two Best Vineyard Banks

By John Abrams |

Disclaimer: These words do not reflect the formal position of CCMVHB; they are my own.

One Exists. One doesn’t …yet.

In the 1980s the Vineyard experienced an explosion of population growth and development. Access to beaches and properties once enjoyed by all became limited. Islanders, sensing their way of life slipping away, got organized. After a grassroots campaign and an act by the Massachusetts State legislature, The Martha’s Vineyard Land Bank was established in 1986. Funded by a 2% transfer fee paid by buyers of Vineyard real estate, the Land Bank has transformed the island in diverse ways by buying and managing property for conservation and public access. It has expanded and created countless trail systems and provided new ways for the public to get to our beaches. It has initiated farming and affordable housing collaborations. It has helped to preserve wildlife habitats, pond and aquifer water quality, fishing and shellfishing – the essential ecological services we depend on.

The Land Bank has provided significant solutions, but their job is not complete; according to the Martha’s Vineyard Commission, nearly 16,000 acres of developable land remain up for grabs on the island, and it took the Land Bank more than three decades to protect 3,500.

Meanwhile, the pandemic real estate boom has intensified our affordable housing crisis. Despite 25 years of progress, the situation is worse than ever:
• There is a $780,000 gap between what the average Island family can afford and the median home sale price ($1.15 million in 2020).
• Only 38% of our housing stock is available for year-round occupancy
• Over 600 year-round residents and their families are waiting for year-round rentals, including 210 children.
• Rents are 30% above the statewide median costs while wages are 27% below the statewide median income.
• Over 300 year-round residents are currently on waiting lists to purchase homes within their financial reach.
• More than 1,200 Vineyard residents pay more than half their income for housing costs.

Another way of life is slipping away fast. Only a major long-term funding source can preserve it. It’s time for The Martha’s Vineyard Housing Bank, the other most important Vineyard bank. This is not to take anything away from the importance of existing local commercial banks; only to say that the Land Bank and the Housing Bank are the vital cornerstones of a balanced and prosperous future.

Island Housing Trust’s “Eliakim’s Way” neighborhood is West Tisbury.

We’ve tried before. A 2005 Gazette editorial stated: “The housing bank initiative has cleared its first major regional hurdle now that all six towns have thrown their support behind the idea, which aims to create a bank of money for affordable housing using a transfer fee on most real estate transactions. The Martha’s Vineyard Land Bank is the model . . . “

With overwhelming support from the Vineyard, the Housing Bank failed in 2005 in the state legislature due to the strong lobbying of the Massachusetts Association of Realtors, who disliked the concept of transfer fees. At the time, the median home sale price was approximately $500,000.

That was then. This is now.

With median real estate prices over $1,000,000 and the need greater than ever; there have been multiple calls for a renewed effort to establish a Housing bank.

They are being answered.

The Coalition to Create The MV Housing Bank (CCMVHB) is a citizens’ campaign to establish a regional Housing Bank for Martha’s Vineyard.

The campaign is led by a 12-person Steering Committee co-chaired by Julie Fay and Arielle Faria. (Other members include Kimberly Angell, Makenzie Brookes, Caitlin Burbidge, Stan McMullen, Elaine Miller, Lucy Morrison, Juliet Mulinare, Doug Ruskin, Abbie Zell, and me.)

We are supported by one paid staffer (Laura Silber, our Coalition Coordinator) and a growing “Coalition Council” whose members include selectpersons, town affordable housing committee members, county commissioners, business leaders, realtors, young professionals, housing activists, and those in need of housing – from every town.

Meanwhile, there is a dramatically different political climate in the Commonwealth. At this moment the towns and cities of Nantucket, Provincetown, Boston, Somerville, Brookline, and Concord have all passed Home Rule Petitions to create Housing Banks. All are based on transfer fees. A coalition of these communities has formed which includes the Vineyard. The island coalition is working closely with our state representatives – Dylan Fernandes in the House and Julian Cyr in the Senate.

To meet the goals of the Housing Production Plans created by the six towns in 2018, we will need to create hundreds of units of community housing during the years to come.

It is time for action.

The plan to model the new Housing Bank after the existing MV Land Bank means there is no identifiable group of people (besides the pool of unidentified future buyers of Vineyard real estate) who will be adversely affected, and because this would be an entirely new funding source, it would not tap into or alter existing funding streams like the short-term rental tax or Community Preservation Act funds.

Some ask why not try to use some of the existing Land Bank funds? Not only is it a flawed strategy to pit one good thing against another – conservation vs housing – but there just isn’t enough money; the Land Bank needs its funds. More than 60% of its budget goes to land management and to service existing debt; it needs the rest to continue its work.

Another common question is: will this lead to extensive new development? We will certainly need some. But the Vineyard has 18,000 existing buildings. Some of these can be purchased and re-purposed as affordable housing. Accessory dwellings (ADUs) can be built on developed properties. I hope the Housing Bank will prioritize expenditures on already-developed land and mechanisms like down-payment assistance for first-time homebuyers.

Winners of the “Jenney Way” housing lottery, crossing the threshold of their new home.

During the first half of 2021, CCMVHB is forming committees in each town, bringing the concept to town boards, and designing the new housing bank. During the year that follows, we expect to create warrant articles in all six towns and bring them to town meetings; if successful in all six towns, we will advance to the state legislature.

Between now and then, there are plenty of questions to answer: how much will the transfer fee be, who will be exempted from paying, who will be served, and for what uses will funding be available? In terms of governance, I hope the Housing Bank will adhere closely to the Land Bank structure – run by an elected commissioner from each town, a representative from the Commonwealth, and professional staff. Each town would have a Housing Bank Town Advisory Board which would have to approve development in its town. This combines regional vision and oversight with ultimate local control and is a tried-and-true method that has worked for the Land Bank for 35 years. There’s no need to re-invent this wheel.

Community consists of a place and those who have a relationship with it. Land conservation is important. People conservation is equally vital.

School teachers and social workers, farmers and fisherman, nurses and nannies, truck drivers and technicians, artists and arborists, plumbers and plasterers, carpenters and curmudgeons, troublemakers and troubleshooters, those of different ages, abilities, incomes, colors, religious beliefs, and gender identities – we need all of these people to maintain a living, breathing community.

Taking bold measures about affordable housing will ensure that the Vineyard community we know and love won’t recede like the eroding shoreline.

Support the CCMVHB effort by
– Visiting ccmvhb.org to learn more, and informing your peers.
– Emailing info@ccmvhb.org to join the Coalition.
– Making a donation to The MV Community Foundation earmarked for CCMVHB to cover campaign expenses
– Following our progress on Instagram and Facebook @ccmvhb.

An island united can get this done once and for all. Our two essential Banks, working side-by-side, can assure the future we all wish for rather than the one that circumstances will otherwise dictate.