Title
Sale of City-Owned Property for Affordable Housing
Action
Action:
A. Adopt a resolution approving the sale of the following city-owned properties to Habitat for Humanity of the Charlotte Region for $1.00 for the development of affordable, for-sale housing units:
- 1727 Pegram Street (parcel identification number 081-147-08, approximately 0.2 acres) in Council District 1,
- 1809 Taylor Avenue (parcel identification number 069-125-66, approximately 0.27 acres) in Council District 2,
- 2610 Dundeen Street (parcel identification number 069-062-42, approximately 0.15 acres) in Council District 2,
- 429 Coxe Avenue (parcel identification number 071-105-50, approximately 0.168 acres) in Council District 2, and
B. Authorize the City Manager, or his designee, to negotiate and execute all documents necessary to complete the sale of the property.
Body
Staff Resource(s):
Rebecca Hefner, Housing and Neighborhood Services
Warren Wooten, Housing and Neighborhood Services
Greg Crawford, General Services
Explanation
§ The city proposes to sell four city-owned in-fill properties to Habitat for Humanity of the Charlotte Region (Habitat) for $1.00 for the development of affordable for-sale homes as part of the Housing Innovation Challenge (Program), a two-year national design-build competition to develop scalable solutions to affordable homeownership by demonstrating new approaches to reducing housing construction costs, sustainable practices, and improved affordable housing accessibility.
§ Construction of the homes will be undertaken by Program finalists (university teams and their build partners) which will be announced during the Housing Innovation Summit, the Program’s national launch event planned to occur in Charlotte from May 19 through 21, 2026.
§ Each home will be built using various residential construction innovations such as fabrication using industrialized, hybrid offsite, or other innovative methods to deliver high design quality, affordability, and replicability. Various lot configurations will be explored, including duplexes and accessory dwelling units.
§ The two-year Program will culminate in 2027, with a closing event in Charlotte during which the then-completed homes will be showcased as a living laboratory and open for public tours. Following this, Habitat will sell the homes to eligible homebuyers earning 80 percent or below the area median income (AMI).
§ Each of the four properties (collectively and individually referred to as Property) are in neighborhoods experiencing significant change and were identified for single-family affordable housing development through an interdepartmental review of city-owned land.
§ Conveyance will be conditioned upon Habitat finalizing development and lot configuration plans satisfactory to the city, and will include the following terms and conditions:
- Number of Units: At least one for-sale affordable housing unit is required per Property; the final number will be determined by final lot configurations.
- AMI: 80 percent or below.
- Affordability Period: 15 years.
- Accessory Dwelling Units (ADU): Should any final lot configuration include for-rent ADUs, the ADU rental will be subject to the above stated AMI and affordability periods.
- Owner Occupancy: Habitat will identify eligible buyers for each Property and conduct the final sale. Each sale will include standard affordability protections and restrictions against uses other than owner occupancy, and owner-control if an ADU is involved.
- Delivery Date: While units are anticipated to be complete by the 2027 Program conclusion, units must be available for occupancy within three years of conveying the property to Habitat in alignment with standard city terms, after which the Property may revert to the city.
Background
§ The city’s Affordable Housing Funding Policy goals include encouraging innovations to help catalyze economic and social mobility, activate innovative approaches, and create scalable and replicable development opportunities including through delivery of affordable homeownership opportunities and testing new ideas.
§ The inaugural Housing Innovation Challenge, a collaboration with the Housing Innovation Alliance, Home Technology Ventures, and Meritage Homes, is a two-year national design-build competition program that brings together academia, industry, and civic partners to develop scalable solutions to help advance affordability by demonstrating new approaches to reducing housing costs and improving accessibility. It is the first coordinated competition to unite every link in the value chain around a shared goal to make housing more affordable.
§ The Phase I design and plan competition - open to universities, colleges, and vocational schools - kicked off in October 2025. Finalist teams, which will be chosen by a national jury of city officials, Housing Innovation Alliance members, and industry leaders, will be announced in Charlotte at the May 2026 Housing Innovation Summit and will work hand-in-hand with their build partners to complete the homes in partnership with the city and Habitat.
§ The conveyance of the four city-owned parcels to Habitat for affordable homeownership is consistent with the city’s Affordable Housing Funding Policy, City-Owned Real Estate and Facilities Policy, and the Guidelines for Evaluation and Disposition of City-Owned Land for Affordable Housing.
§ The Housing Committee received an overview of the Program and proposal to convey the Property to Habitat at the April 6, 2026, Committee meeting.
Fiscal Note
Funding: Proceeds from the sale will be deposited in the General Capital Projects Fund.
Attachments
Attachment(s)
Maps
Resolution