With more than 1,000 news jobs and $1.3 billion in capital investment announced through the South Western Kentucky EDC in 2022 — and more on the way in 2023 — there is brimming anticipation that populations in Trigg, Christian and Todd counties will only see steady increases in the years ahead.
And more people means more commerce and a bigger tax base for communities.
Those people, however, need developed places to live, and the lack of such is a growing concern.
During Monday’s monthly convening of the county industrial conglomerate, Community & Development Services Executive Director Tom Britton painted an intricate picture of the housing climate in Hopkinsville — which, in theory, could be juxtaposed to places like Cadiz, Elkton, Oak Grove and Guthrie.
Per last year’s data, Britton said Hopkinsville officials permitted 88 multi-family units and 53 single-family units — the highest total in more than a decade.
And it’s still not enough.
With roughly 14,500 dwellings in Hopkinsville, and a 1% annual loss of dwellings, Britton warned that permitting is currently equal with decline — meaning there is no gain in new and ready property.
And currently, Britton added that new unit construction coming into 2023 sits at an average of $197,000 before land cost and utility infrastructure is considered. It was $136,000 for the same concepts in 2021.
In other words, it’s become too expensive for most developers and aspiring homeowners to build.
Yet, Britton said Hopkinsville is seeing some recent growth — particularly in subdivisions like Jockey, Concord Villas and the Hunter Estates near Canton Pike — and there are other developments that seem to be in progress.
The “sweet spot” for development in Hopkinsville, Britton said, is between $175,000 and $250,000 per unit, teetering between poor quality and general affordability.
There are also some headwinds to charge in creating this housing breakthrough. Britton noted any improvement in Hopkinsville could include an improved tax structure in Kentucky as opposed to neighboring Tennessee, better paying jobs for the 20% of city families living at or below poverty, an increase of quality local developers similar to what already exists, and improved availability of large land tracts.
However, Britton pointed out that south Christian County remains one of the most prolific agricultural bastions not just in Kentucky — but the entire country — and that the nine square miles and 2,000-plus parcels inside Hopkinsville’s city limits are up for proverbial grabs to willing buyers.
Other boons also exist for those seeking to live in the seat of Christian County, including a stable local tax rate with strong local budgets, intrepid utility infrastructure and housing developer incentives.
Outside of a few minor changes, Britton said zoning ordinances haven’t drastically changed in Hopkinsville since 1985 — and a lot has changed in the developer world over the last 38 years.
Furthermore, some of the homes available in Hopkinsville are 60 years wise or older — only creating a larger impetus for renovation or building.
Carter Hendricks, SWK EDC executive director, said the Clarksville/Montgomery County area embraced more than 2,000-plus units created last year, but also noted that Kentucky’s estimated two-bedroom rental housing wage to “live comfortably” sits at $16.18/hour — among the lowest rates in the country.
