Mayor Tom Henry’s reversal of support for a plan to add rental homes reflects the difficulty of determining the best approach for a housing development in an old, poor section of the city.

Such an endeavor is difficult at any time. But the deep recession characterized by the inability of developers and buyers to get credit has left Renaissance Pointe at a standstill. Only a few homes have been built or renovated in the 36-block area, just south of city police headquarters at Creighton Avenue. So the decision to eliminate one option for development raises questions.

The rent-to-own plan sounded promising and would have encompassed just 50 of the 400 new homes planned for Renaissance Pointe.

At the same time, Henry and his staff have reasons to be concerned. Residents of many southeast neighborhoods saw property values and quality of life diminish as owner-occupied homes gave way to rentals. So widespread neighborhood opposition was understandable.

The 15-year term before renters could switch to mortgages and own the homes – largely a product of the complex federal tax credits that make it attractive to builders and developers – does seem too long. And, city officials say, the developer who proposed the rent-to-own homes didn’t follow through with the public relations effort necessary to bring neighbors on board.

Henry is right to show sensitivity to area residents, who have long believed city government does not place a priority on the southeast’s many needs.

From a political standpoint, Henry knows many residents still oppose the Harrison Square development begun under his predecessor, and a contentious debate is beginning over a local casino. Trying to push yet another unpopular project – even if it is worthy – just isn’t politically practical.

So now, city officials must work with private developers to continue to seek ways to get Renaissance Pointe moving, especially after national economic woes ebb and home-buying credit again becomes available.

Meanwhile, residents can take satisfaction that fundraising for the YMCA that will be the anchor for Renaissance Pointe is proceeding. And groundbreaking is expected to take place before the end of the year. From groundbreaking to completion will take about 18 months.

In order to start construction sooner, the board overseeing the Old Fort and Southeast Y’s – which the new Renaissance Pointe facility will replace – approved scaling back the project, eliminating a second floor and running track. The new plans call for a $7 million building that could be expanded in the future. The Y has raised more than $5.3 million toward the new building.

The Renaissance Pointe YMCA could well be the catalyst that spurs more home sales in the area. In the short term, eliminating the rent-to-own plan might slow development, but the promise of owner-occupied homes could well be better for long-term prospects.