Title
Resolution Approving Sale of 404 East Whittington Street
Body
Department: Neighborhood Development
Council District: 2
Public Hearing:
Advertising Date/By:
Contact 1 and Phone: Barbara Harris, 373-2509
Contact 2 and Phone: Cynthia Blue, 433-7376
PURPOSE:
The Department of Neighborhood Development is selling a rehabilitated single family house located at 404 E. Whittington Street. We have received an offer to purchase in the amount of $65,000 with $6,500 in second mortgage assistance and $1,500 in closing costs. City Council approval is requested to complete the sale transaction. The project meets the City MAP goal to maintain infrastructure and provide sustainable growth opportunities.
BACKGROUND:
As part of the revitalization program in the Ole Asheboro neighborhood, 404 E. Whittington Street was rehabilitated by the City with Neighborhood Stabilization Program funds.
The property appraised at $65,000. Lisa McMillan has offered $65,000, less a $6,500 deferred second mortgage which is forgivable over a 5 year affordability period with a requirement for owner occupancy, as required by the Neighborhood Stabilization Program, and $1,500 in City paid closing costs for the buyer.
Notice of the proposed sale was advertised for upset bid on July 21, 2016 and no upset bids were received.
The sale proceeds are NSP program income and will need to be returned to the NC Department of Commerce per the City’s grant agreement, as amended.
BUDGET IMPACT:
Net sale proceeds will be receipted as NSP program income in 221-2201-01.8616 and returned to the NC Department of Commerce.
RECOMMENDATION / ACTION REQUESTED:
The City Council is requested to consider the approval of these sale terms and authorize the City Manager to execute agreements.