Title
Sale of City-owned Property on Spencer Street
Action
Action:
Adopt a resolution approving the private sale of a parcel on Spencer Street (parcel identification number 091-091-04) consisting of 1.37 acres of vacant land to Shea Real Estate Investments, LLC, a wholly owned subsidiary of Shea Homes which will include affordable units.
Body
Staff Resource(s):
Mike Davis, Engineering and Property Management
Tony Korolos, Engineering and Property Management
Pamela Wideman, Housing and Neighborhood Services
Explanation
* One of City Council's priorities is to build and preserve vibrant and diverse neighborhoods by expanding the supply of affordable housing through new construction and preservation of the existing housing stock.
* The sale of City property on Spencer Street for use as affordable housing furthers this goal by creating an affordable homeownership opportunity.
* The use of publicly owned land to achieve affordable homeownership for households earning 80 percent and below of the area median income is consistent with both the Housing Charlotte Framework and national best practices.
* This transaction is also consistent with the Council-adopted City-Owned Real Estate and Facilities Policy.
* The City-owned property is a vacant, 1.37-acre parcel currently zoned R-5 (single family) in Council District 1.
* An appraisal of the property on April 9, 2018, established a fair market value of $50,000.
* Shea Homes desires to purchase the City-owned, landlocked parcel coupled with adjacent parcels for the development of a diverse price point housing community.
* The offer from Shea Homes includes the following terms:
* Purchase price of $50,000,
* Earnest money deposit of $2,500 within 10 days of City Council's approval to accept the offer,
* Due diligence period of 240 days, and
* Closing to occur within 240 days from the end of the due diligence period.
* Additionally, the land will enable a HouseCharlotte approved purchaser to obtain a homeowne...
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