Title
Vote to adopt a resolution declaring Parcel Number 0062007 (774 Gees Grove Road, Siler City) surplus and conveying it to Chatham Habitat for Humanity
Abstract
Introduction & Background:
Chatham County owns a parcel of land identified in County tax records as Parcel Number 0062007, located at 774 Gees Grove Road, Siler City, NC 27344, in the western part of the county. The County acquired this property through foreclosure proceedings on March 1, 2012, and the deed is recorded in the Chatham County Registry at Book 1608, Page 687.
County staff have reviewed the parcel and determined it is not needed for any current or anticipated County purpose. Based on this review and ongoing efforts to expand access to affordable housing, the County has identified this property as a candidate for surplus designation and conveyance to Chatham Habitat for Humanity, a nonprofit housing developer.
Habitat for Humanity has expressed interest in the property and intends to use the site for the construction of an affordable home to be sold to a qualifying low- to moderate-income household in Chatham County.
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 160A-267 and NCGS 160D-1316 govern 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; 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.
The county has conveyed property to Habitat in the past - usually property that is in the possession of the county by way of foreclosure. The proposed property is owned by the county owing to foreclosure proceedings.
Approving the proposed resolution will allow the county to convey these three properties to Habitat at a below-market amount that will enable Habitat to construct housing at a lower cost, which will enable Habitat to provide these homes to 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 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 conveying to Chatham Habitat for Humanity.