Information Items:
Third Ward Park Update
Attached is a memo from County Manager Harry Jones that gives an update on the Third Ward Park planning process.
In Rem Orders -- Mobile Homes at 9233 Nations Ford Rd.
Staff Resource: Walter Abernethy, 704-336-4213
On September 27, 2004 City Council will be asked to approve In Rem demolition orders on thirty-two (32) mobile homes located at 9233 Nations Ford Road. The condition of these units is a source of concern for neighborhoods and businesses in the area.
Neighborhood Development's Code Enforcement Division inspected the 32 vacant units in January 2004 and found sub-standard conditions existed. The inspection noted rodent infestation, unsanitary living conditions, severe structural issues and illegal dumping. The abandoned and unsecured units have been a magnet for vagrants, prostitutes and drug activity. These conditions and the overall property dilapidation also contribute to community safety issues in the area.
The owners of the mobile home park have recently expressed an interest in demolishing and removing the units themselves. Neighborhood Development's Code staff has decided to move forward with the In Rem orders should the owner not follow through on demolishing the structures.
User Fee Stakeholder Committee
Staff Resource: Ruffin Hall, 704-336-3403A
User Fee Stakeholder Committee has been appointed by the City Manager to develop recommendations regarding the cost recovery policy for regulatory user fees. Recommendations will be brought forward no later than Council's annual winter retreat.
The representatives are:
- Economist and Committee Chair
- John Silvia, Wachovia Securities Chief Economist
- Development Community
- Tom Pearson, Pearson Development, REBIC
- Karla Knotts, Knotts Development, REBIC
- Chamber of Commerce
- Joe Polite, Chamber of Commerce Land Use Committee
- Neighborhood Representatives
- Nancy Pierce Shaver, Merry Oaks Neighborhood Association
- John Wall, Hidden Valley Neighborhood Association
- Environmental Community
- Vicki Bowman, Land Use and Environmental Planning Division of UNCC Urban Institute
- Affordable Housing Representative
- Fred Dodson, Charlotte Mecklenburg Housing Partnership
Hoskins, Johnston & Mecklenburg Mill Apartments
Staff Resources: Stanley Watkins, 704-336-3796, Stan Wilson, 704-336-3337, Anna Schleunes, 704-336-5802
We have been sharing communication with City Council over the past several months on two affordable housing developments - Hoskins Mill and Johnston Mill - that have been experiencing economic difficulty. We are at point on these projects, where Council action will be requested on September 27 to bring these projects to resolution.
Hoskins Mill Apartments
On August 10, 2004 LaMar Developers, LLC, the holder of the first and second mortgages on Hoskins Mill Apartments, acquired the 189 unit multi-family complex through foreclosure. The property is located at 201 South Hoskins Road in west Charlotte. Based on the City's third lien position, a total of $4.9 million of debt, a $1.6 million appraised value and a third party rehabilitation estimate of $4.2 million, it was not feasible for the City to bid on the property at foreclosure. Therefore, City staff reached an agreement with LaMar that will keep the 94 elderly units at the Hoskins Mill Apartments affordable for an additional 12 years.
Johnston Mill Apartments
The 90-unit Johnston Mill Apartment is located at 3315 North Davidson Street. Johnston Mill is still in bankruptcy and LaMar Developers, LLC is the holder of the first mortgage. As a condition of the agreement with LaMar, the City would acquire LaMar's first mortgage (up to $800,000 including interest and fees) for the Johnston Mill Apartments. Once the City acquires the property, it would be bid to a non-profit to own and manage as affordable housing. The City originally invested $3.3 million in the development.
Staff will be bringing a request before City Council on September 27, 2004 to a) approve the agreement between the City and LaMar Developers, LLC to maintain the elderly units at the Hoskins Mill Apartments as affordable housing; and b) authorize the City Manager to acquire the first mortgage from LaMar Development, LLC for up to $800,000 to maintain the Johnston Mill Apartments as affordable housing.
Mecklenburg Mill Apartments - Update
Mecklenburg Mill is a 60-unit apartment project located at 3327 North Davidson Street adjacent to Johnston Mill Apartments. The City is the sole lien holder on this property and pursuing foreclosure as well. It is anticipated that the City will acquire the property and bid it to a non-profit for long term use as affordable housing.
