Title
Vote to adopt a resolution declaring property surplus and authorizing the conveyance to Chatham Habitat for Humanity
Abstract
Introduction & Background: In efforts to improve access to affordable housing in the County, County and Habitat staff worked together to review parcels of land owned by either Chatham County or Chatham County Schools that would be well suited for the creation of additional affordable housing units. The subject property was identified in the search. Chatham County staff reached out to the schools to determine if there were plans for the property, and if there were no plans, would the schools consider conveying the property to the County so that the County could then convey it to Habitat. The schools indicated that there are no plans for the property and that it would be willing to turn the property over to the County. The schools have since authorized the sale of this property to the County at the value listed on County tax records ($23,560). Once acquired by the County, authorization is requested from the Board of Commissioners to convey the subject property to Chatham Habitat for the stated public purpose. The adoption of the proposed resolution would grant the approval and authority requested.
Discussion & Analysis: North Carolina General Statutes (NCGS) 160A-279 authorizes the county to convey real property, at a negotiated price, to a nonprofit organization to carry out a public purpose, while NCGS 160A267 governs the process by which the conveyance of real property takes place under this circumstance.
The provision of affordable home ownership to individuals of low to moderate income is a public purpose in which the county is authorized to engage. Habitat is a nonprofit organization that provides affordable home ownership to individuals who earn between 30% and 70% of Area Median Income as defined by the Department of Housing and Urban Development. Accordingly, the county is authorized to convey by private sale of real property to Habitat.
The private sale of real property to Habitat may be negotiated at an amount less than market value; however, in so doing, the sale must be conditioned such that the property will be put to a public purpose by Habitat and that when the public purpose discontinues, the real property reverts to the county. Additionally, if the real property is not put to the approved public purpose within 10 years of the conveyance, the property reverts to county ownership.
Approving the proposed resolution will allow the county to convey this property to Habitat at no cost will enable Habitat to construct housing at a lower price, which will enable Habitat to provide housing for low to moderate income families at an affordable price.
How does this relate to the Comprehensive Plan: Providing equitable access to high-quality housing is a stated objective of Plan Chatham. Additionally, the creation and preservation of quality affordable housing is a goal expressed by the Board of Commissioners. Conveying county property to Habitat for the creation of affordable housing supports this goal of the Board and is an objective of Chatham’s Comprehensive Plan.
Budgetary Impact: No budgetary impact is anticipated.
Recommendation/Motion: Motion to adopt a resolution declaring property surplus and authorizing the conveyance to Chatham Habitat for Humanity.