Friday, June 1, 2007

Price Hill: Cedar Grove Phase II funded

1002 Seton Avenue

City Council has agreed unanimously to extend a $300,000 conditional loan to Price Hill Will (PHW) for Phase II of their Cedar Grove project.

The money will be spent on the Buy-Improve-Sell program to rehab four homes within the boundaries of Glenway, Seton, W Eighth and Sunset. PHW is allowed $75,000 per home for the purchase and rehab work. (Any costs above that are borne by PHW.)

The rehabbed homes are then sold to owner-occupiers, who are required to live there for at least three years. If the owner sells before the three years have elapsed, half of any profit from the sale goes back to PHW. Those funds would then be channeled into future projects.

Part of the subsidy from the city is meant to help keep prices low enough that the homes will become more attractive to those seeking to own a home.

PHW is undertaking this project because of fears of deteriorating housing stock, lowering homeownership rates, blight and crime in the neighborhood.

Phase I included the rehab of four homes, two of which have been purchased. Their first house, 1002 Seton Ave, sold for $60,500 last July.

The properties for Phase II have not yet been decided.

PHW expects that it can rehab and resell 50 homes over the life of this program.