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Modular housing expanding its footprint
Last month we addressed the matter of homelessness. One major reason that we have unhoused neighbors is the high cost of housing. Looking at apartment rentals, one-bedroom units in the Baltimore region typically average close to $1,500 per month. Purchasing a two-bedroom home in the area currently costs in the range of $235,000 to $255,000. The monthly mortgage, along with payments for utilities and insurance, would be above the $1,500 level. Whether renting or owning, these costs are well beyond the means of low-wage workers, even if they hold more than one job.
Some are looking at modular housing construction as one way of reducing the cost of renting or owning a home. Modular construction refers to a building technique that involves the use of components, panels or volumetric structures that are prefabricated in a factory setting and then transported to the construction site for assembly. The dimensions, of course, would be limited to what could be carried on a flat-bed truck.
Proponents of modular construction claim this approach lowers housing costs due to the efficiencies that can be realized through factory-based building components. It is also suggested that this type of construction can realize time savings at the site of 20 to 50% compared to traditional methods.
I recently had the opportunity to hear from a team of individuals on a mission to advance modular housing construction locally. They were Jennifer Dewees, a Baltimore Modular co-founder, who is President of the Maryland Center for Construction Education & Innovation, with extensive experience in construction management and workforce development. Another co-founder is Christina D. Long, AIA, who is also the founding principal of Vertical Architecture Enterprises, a full-service architecture practice in Baltimore. The third member of the team is Ethan Cohen, AICP, with extensive experience in architecture and economic development, including ten years with the City of Baltimore.
BMOD is part of a larger network that includes Morgan State University’s architecture, engineering, and construction expertise, as well as state and local departments of housing and community development.
The mission of the BMOD group is succinctly stated: “We strive to accelerate industrialized offsite construction in Baltimore – and the State of Maryland – to deliver affordable housing at scale.”
To realize this vision, BMOD is currently at work in Baltimore with the support of an EPA Thriving Communities Grant. This allows the team to work with a swath of communities in South Baltimore, including Westport, Cherry Hill, Brooklyn, and Curtis Bay. All of the work described going forward will be done in collaboration with representatives of the South Baltimore communities.
They envision Baltimore becoming a hub for off-site modular construction, creating a “green” factory and community center, including training space and childcare. Workforce development is also an essential component of the project, including “industry-recognized credentialing, pre-apprenticeships, and registered apprenticeships.” To round out BMOD’s description of their project, they intend to “design modular projects and services – to be tested in a rowhouse pilot project – as models for accessible, affordable, and sustainable solutions for Baltimore’s housing.” They mention designing modular products specifically designed to meet the needs of Baltimore’s vacants and infills. Modular housing has been around for a while. I learned that the Modular Building Institute was founded in 1983 and has been serving as the international nonprofit trade association for the modular construction industry.
So why hasn’t modular construction become more widely adopted?
There are some significant hurdles that would have to be overcome to expand modular’s footprint. There is the high upfront capital required to set up a factory with its specialized equipment. These are entry costs that traditional builders do not have to incur. Once in operation, the factories need a steady pipeline of projects. The BMOD team noted that it is not feasible to have a project constructing one housing unit; you need, say 20 units at a time, to stay viable.
Beyond these economic considerations, there are many regulatory and administrative issues to confront. Patchwork building codes across local jurisdictions, different inspection regimes, and certifications that are designed for site-built housing all limit the modular industry. Then there are some local zoning codes that actually discourage factory-built housing from taking hold in our cities and suburbs.
On the occasion of meeting the BMOD team, we also heard from Brian Gaudio, who is the CEO of Module, based in Pittsburgh, where he already has a factory producing modular components. His company has completed projects in Pittsburgh, Richmond and elsewhere. His company is proving that modular housing is viable and he will be a valuable resource for the Baltimore team.
Joe Nathanson is the retired principal of Urban Information Associates, a Baltimore-based economic and community development consulting firm. Since 2001, he has written a monthly column for The Daily Record and can be contacted at urbaninfo@comcast.net.
Editor’s note: This story has been updated to correct the spelling of the CEO of Module.
