How ‘Historic’ Status Pays Off

Design standards and tax breaks boost the appearance and value of Eichlers in Orange
By Dave Weinstein
CA-Modern Insider
Among the Eichler homes that have been improved thanks to the historic district and use of the Mills Act is the above home in the Fairmeadow tract in Orange. An attic story added decades ago to conceal heat and AC was removed so the home would qualify for tax benefits reserved for homes that 'contribute' to a neighborhood's historic appearance. Photo: courtesy Carol Tink-Fox

Can you think of an ideal recipe for restoring a neighborhood of Eichler homes, many of which may have deteriorated or been badly altered over decades?

The city of Orange seems to have found such a recipe—with a result so tasty that close to a third of Eichler owners have gobbled it up.

In fact, so many Eichler homeowners in Orange have taken advantage of what's on the city's menu that service has been temporarily halted, causing worry about owners who had been lining up for a bite.

 

CA-Modern Insider
When Eichler owners Mario Cardona and Tiffany Chen Cardona bought their Eichler in Orange, the view from the front into the atrium had been blocked (above left). Restoring the glass (above right) was one of several changes they made thanks to the design guidelines and tax benefits. Photo: courtesy Mario Cardona and Tiffany Chen Cardona

But before getting into that, let's list the ingredients for this recipe:

• Owners who love their Eichlers. Check. (That's been the case for the Eichlers in Orange for many years.)

• Clear instructions for how to preserve and restore the homes—and standards that require owners to remodel exteriors visible from the street in appropriate ways, if and when they do remodel. Check. (The city of Orange adopted such guidelines and rules in 2018, when it made all three of the neighborhoods—Fairhaven [1960], Fairmeadow [1962], and Fairhills [1964]—historic districts.)

• And finally, how about some incentives to make the recipe truly irresistible? Check. (Orange OK'd use of the state's Mills Act to lower property taxes for homeowners who use the saving for historically appropriate home improvements.)

 

  CA-Modern Insider
Eichler owner Carol Tink-Fox of Orange also made use of the Mills Act tax breaks. Her project included replacing rotten atrium beams (as above) and some restoration to the home's façade to replace added lean-tos. Photo: courtesy Carol Tink-Fox
  

These savings can be substantial. Carol Tink-Fox, an architect who lives in Fairmeadow and has helped neighbors qualify for the Mills Act and do remodels, says the tax savings for her home is $6,000 a year.

Starting a decade ago, and accelerating once the Mills Act went into effect seven years ago, "the neighborhood has really come up in its presentation, the houses are just much better kept up, and the yards are nicer," Tink-Fox says.

As incentives from the Mills Act kick in, she adds, "I do think that there's a momentum, that kind of gets instilled. Once some people start doing things [to their homes], others are starting to make those improvements as well."

Anna Pehoushek, Orange's assistant community development director, says the district has helped lead to "a huge escalation in property values in these neighborhoods."