Discussing Affordable Housing Solutions at the 2025 Bisnow Portland Multifamily Summit
May, 2025
The 2025 Portland Multifamily and Affordable Housing Summit took place this April, exploring topics ranging from the current state of Portland’s real estate market and capital development to the impact of cost of living relative to rent setting. Otak’s Matt Neish, architecture studio leader, participated in a panel focused on innovative solutions to address the region’s affordable housing needs.
“As always, we’re proud to be at the table, contributing our expertise and working with partners who are not only invested in the future of Portland, but are actively shaping it.”
– Matt Neish, Otak Architecture Studio Leader
A Panel on Housing Supply, Wage Gap, and Development Cost
Matt was joined by a diverse group of voices deeply engaged in this critical sector, including Margaret Salazar (REACH Community Development), Ernesto Fonseca (Hacienda CDC), and Madeline Kovacs (Adre), with moderation by Scott Rosenthal (Stoel Rives). The discussion highlighted the growing disparity between housing supply and the widening wage gap, with panelists pointing to rising vacancy rates as a symptom of income-based rent setting models that are misaligned with actual tenant earning capacity.
Impacts from Income and Cost of Living
Although recent state and local bond measures have helped bring more affordable units online, panelists noted that the persistent vacancy issue is influenced by rents being tied to area median income (AMI). As AMI is impacted by higher earners, rent rates are often inflated beyond what many households can sustainably afford. This is especially true as the cost of living continues to rise faster than wages. As a result, developers are seeing more tenants experiencing missed rent payments despite qualifying for initial income requirements.
Development Challenges and Cost Drivers
The panel also covered the complex funding and regulatory structures of affordable housing projects—which often cost up to 30% more than comparable market-rate developments. Factors contributing to this gap include extensive documentation requirements, prevailing wage and labor standards, and increased capital costs associated with layering multiple funding sources. Developers also face significant financial strain during the pre-development phase, often shouldering substantial upfront costs unless they can secure highly competitive pre-development grants.
Collaborating for Long-Term Solutions
Echoing broader themes at the summit, panelists agreed that addressing the region’s housing challenges—both in terms of affordable rental units and pathways to affordable homeownership—will require a collective, coordinated effort from public, private, and nonprofit sectors alike. Our architecture group continues to work closely with development partners to deliver affordable housing that not only meets critical demand but upholds high standards of design, functionality, and community cohesion.
Overall, the event served as a powerful reminder of both the complexity and urgency of the housing challenges facing our region. From market-rate development to deeply affordable housing, the conversations underscored the need for alignment and sustained collaboration across sectors. Otak remains committed to being part of the solution—leveraging design excellence to help expand access to housing and building more equitable communities across the Portland region.