Ronald O. Schaftel takes over as president of the Homebuilders Association of Maryland this week with one major goal for his 12-month term: counting land.
Schaftel, a Maryland land developer during the past 20 years, and his group have spent the past two years pushing legislation that would calculate how much land is available for building and how much local jurisdictions will need to meet future housing demands.
Next year, the homebuilders association will focus on getting the measure passed in Annapolis, he said.
The task won't be easy, and Schaftel knows it.
Gov.-elect Robert L. Ehrlich Jr., a Republican, takes office with a budget shortfall, and county governments don't want added costs imposed on them by lawmakers in Annapolis. But Schaftel and his group supported Ehrlich's campaign and have hopes that the new governor will embrace their cause.
Industry leaders said Schaftel - the first developer to lead the group in recent memory - has knowledge of the state that will help him champion their cause. He is co-owner of Southern Land Co., a Baltimore firm that prepares land to sell to homebuilders.
"He's a bright, articulate guy and he's well connected," said T. Kevin Carney, a past president of the organization and president of Thomas Builders in Columbia. "This is about giving back to the industry that has taken care of you, and he has that exact attitude."
The association he will be heading is a group of 1,200 homebuilders, contractors and other members of the real estate industry. They talk about little else but finding more lots on which to build homes.
Land-preservation concerns and worries about sprawl have pushed elected officials to limit development. That effort, Schaftel said, has kept the inventory of homes low and made it more difficult for buyers to find houses.
"The biggest issue facing builders and developers is the availability of buildable land in the state," said Schaftel, who takes over the unpaid post Wednesday and will serve as the homebuilders association's spokesman and cheerleader.
The bill would require each county government to survey the land that they have zoned for residential development. Schaftel's group estimates that it would cost each county $150,000.
An association-paid study by RESI, the research and consulting unit at Towson University, found last year that Baltimore County had 5,783 building lots. That was sufficient space to build 14,126 new housing units, which would accommodate Baltimore County's residential needs for eight to 10 years, according to the study.
County government leaders worry that the bill requiring a survey would impose costs on them that they can't afford. They were successful in lobbying against the bill this year and expect to renew the fight if it resurfaces next year.
They point to a real estate market that has done well during the past few years and argue that government is answering citizen concerns about environmental protection and sprawl. And they said land would become available if the market demands it.
"I think the economy responds and the land-use issues respond to particular needs," said David Bliden, executive director for the Maryland Association of Counties. "If there are citizen concerns and desires for increased inventory of available building lots, then that will occur, and history proves that out."
County leaders said they are not against counting the land - many said they already have done so. For example, Howard County officials said they have about 26,000 lots available for building. But they said they're concerned about the costs to maintain the database.
"The concept is a good idea," said Marsha McLaughlin, deputy director for the Howard County Planning and Zoning Department. "That's a lot of money in this budget period, and it's one of those things that you just can't spend the money and you're done. You have to update it."
Schaftel plans to spend as much time as he can talking about the homebuilding industry's impact on the economy.
The homebuilders association estimates that the construction of every 1,000 single-family homes generates about 2,448 full-time jobs and $79.4 million in wages. That construction also adds $42.5 million in combined federal, state and local revenue, according to the group. Up to 25,000 new homes are built in Maryland each year.
"I'm not sure the public understands how important it is to our economy," Schaftel said.
To help improve the image of the homebuilders' group, an executive from the group will serve next year on the board of the Greater Baltimore Alliance, which works to recruit and retain employers.
Schaftel and fellow homebuilders want economic development leaders to highlight available housing when recruiting employers.
The homebuilders' group has committed to donating $50,000 a year to the alliance during the next few years, said Ioanna Morfessis, the organization's president and chief executive officer.
"Housing is vital to economic growth and that's business retention and new business attraction," Morfessis said.
The homebuilders' association initially opposed and then worked with the Glendening administration on Smart Growth, the government plan to direct state money to designated areas in hopes of alleviating sprawl.
But the builders' group supported Ehrlich, and its political action committee donated $6,000 to the Ehrlich campaign and to Lt. Gov.-elect Michael S. Steele. Separate homebuilders association PACs in Harford and Cecil counties also contributed $1,500 each to the Ehrlich campaign.
Ehrlich spokesman Henry Fawell said the governor-elect supports the "concept of an inventory" but has not made a decision. "He looks forward to working with developers and county governments on the mechanics of the issue," Fawell said.
At a glance
Name: Ronald O. Schaftel
Age: 43
Education: 1981 graduate of University of Maryland; bachelor's degree with a concentration in engineering and business
Family: Married, three children
Career: Started Southern Land Co. in 1983 with partner David E. Altfeld; president of the Baltimore County division of the homebuilders association
Other officers of the group who assume their posts this week
President-elect: Ed Gold, Ryland Homes
First vice president: Don Sample, Universal Housing Corp.
Treasurer: Steve James, James Keelty & Co.
Secretary: Linda Veach, Bob Ward Co.
Immediate past president: Mike DeStefano, Sturbridge Homes