Fiscal Note
Sufficient Federal HOME/HOME Match funds are available for this project from previously authorized 2012 Movin' Out, Inc. HOME agreement which was approved as part of the CD Division’s 2012 Adopted Operating Budget.
Title
Approve up to $51,682 in previously authorized 2012 Movin' Out, Inc. HOME funds to assist Movin’ Out, Inc. to acquire the land at 805 Troy Drive for use as affordable rental housing.
Body
The CDBG Office assisted the Madison Area Community Land Trust (MACLT) with HOME funds in 2004 to purchase land located at 803-805 Troy Drive. MACLT developed a new construction duplex as owner-occupied housing, and the improvements were sold to two eligible homebuyers. The CDBG Office currently holds a mortgage of $51,681.91 with MACLT for the land only which has remained in permanent land trust status.
Earlier in 2012, the homeowner at 805 Troy Drive, had significant disabilities and accessibility modifications to his half of the duplex, passed away. He deeded the improvements at 805 Troy Drive to Movin’ Out, Inc. (MOI), a local community-based agency that provides permanent, affordable rental housing and homeownership opportunities for people who with disabilities. However, the land continues to be owned by MACLT. The deceased homeowner also had a roommate with significant disabilities. In order to help maintain the rental housing arrangement for this person, MOI which now holds title to 805 Troy Dr. placed an additional rental tenant with disabilities in this property.
At its meeting on September 25, 2012, the MACLT Board of Directors declined its option to purchase the property back from MOI for resale to another owner-occupant. MACLT’s Board felt it could not afford the holding costs of reselling an extensively modified property via the resale model. Furthermore, the MACLT Board wanted to honor the wishes of the deceased homeowner while also not displacing the current tenants.
As a result, MOI is prepared to acquire the land in order to...
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