Ypsilanti City Council approves housing commission purchase of Parkview Apartments
Parkview Apartments' half-boarded up management office. The complex will operate under new management following physical renovations.
Tom Perkins | For AnnArbor.com
The long process of rehabilitating Parkview Apartments took another significant step forward this week when the Ypsilanti City Council agreed to allow the Ypsilanti Housing Commission to purchase and operate the 144-unit housing project.
The vote also demonstrated the improved relationship between the two entities. When litigation over the property began, the council and housing commission's inability to work well together created one of the major stumbling blocks to moving forward.
“This here is a grand occasion for me,” said Mayor Pro-Tem Trudy Swanson-Winston, who lives near the project. “When I looked at it, I said ‘Hallelujah, at last!’”
The housing commission will take over the property from the U.S. Department of Housing and Urban Development for a nominal fee, per a settlement approved in May by U.S. District Judge Victoria Roberts between the Parkview Tenants Association and HUD.
The settlement brings to a close six years of litigation between multiple parties over the fate of the Hamilton Street complex.
The YHC is a city commission consisting of board members appointed by the mayor and approved by City Council. All of its property transactions must have the council’s support. With the approval of Tuesday’s resolution, the YHC will next set up a non-profit board to function as Parkview’s owner.
YHC Executive Director Walter Norris said the non-profit board will be made up of a voting majority of housing commission board members and the mayor or the mayor’s designee. The YHC commissioners could also appoint others to the non-profit board.
The council approved a 12-point agreement with stipulations for the purchase and general rules on how the complex will be governed and maintained. Norris credited City Manager Ed Koryzno and City Planner Teresa Gillotti with drafting a simple but effective document, which he said was previously one of the sticking points between the YHC and council.
The YHC is working with Baltimore-based developer Chesapeake Community Advisors, which has pledged to invest up to $12 million to renovate the complex into a mixed low- and middle-income complex.
The Ypsilanti Housing Commission will soon own and renovate Parkview Apartments
Tom Perkins | For AnnArbor.com
Chesapeake will receive $2.7 million - approximately $40,000 per unit - in an immediate HUD Up-Front grant, along with a Federal Housing Authority matching loan to renovate 68 of the 144 units.
The Washtenaw County Office of Community Development is contributing an additional $300,000 grant. Chesapeake is seeking federal low-income housing tax credits and private investments to help renovate the second half.
Roughly 30 units are currently occupied at Parkview. Those residents, and those who lived in the complex after July 30, 2007, will be provided with the first Section 8 vouchers and given the choice to move back in. Norris said tenants will likely be asked to move out by the end of the July while the townhouses are renovated.
Chesapeake is aiming to have the first 68 apartments ready by fall 2011.
Per the settlement, HUD will pay $700,000 in back taxes, and the YHC will pay the taxes from 2005. In addition, HUD agreed to pay all outstanding utility bills and other costs associated with the property.
All the parties involved expressed their strong desire to ensure the property never again slips into its current state of disrepair.
Council Member Pete Murdock requested the non-profit board report to council quarterly instead of “at least semi-annually” as the agreement before council stated.
The current management company, which was brought in by HUD, will no longer manage the complex. Council will also have the option to review the future management company’s contract when it’s up for renewal, and Norris said the management company will be under close scrutiny from the non-profit and YHC boards.
Further, Chesapeake will make a recommendation on a reputable management company. The potential company must be certified by the Michigan State Housing Development Authority.
“There will be a number of measures in there that will trigger review of management,” Norris said. “We feel strongly that this type of system will provide a positive response to the question of ‘How do we avoid problems and have a decent place for residents to reside and raise their families?’”
Mayor Paul Schreiber served on the housing commission for 11 years before being elected mayor. He said he would appoint himself to the non-profit board - should he be re-elected - to help ensure Parkview doesn’t fall back into disrepair.
“There’s just been so much work that’s gone into this and now we finally got what we want, but we have to make sure that its going to be successful,” Schreiber said.
In addition, a provision in the agreement calls for the non-profit to establish guidelines for potential tenants. Prior to the complex emptying, it was known as a haven for drug dealers and criminals.
Schreiber and Norris both expressed their approval of Chesapeake, which has development experience in Michigan and specializes in affordable housing.
"I have every confidence that they can make this a successful development," Schreiber said.
Tom Perkins is a freelance writer for AnnArbor.com. Reach the news desk at news@annarbor.com or 734-623-2530.
Comments
ronn oneal
Thu, Aug 12, 2010 : 6:07 a.m.
I cant believe the resident's that moved felt that this place is a dump, and they should knock it down but as soon as the housing specialist mention that they have 1st choice of coming back to live, those same people that talked trashed at meeting's and to the property mamager but now they have section 8 voucher's to live anywhere in the U.S.A. but They are the 1st to ask can they come back after renovation to the place they hate and did them so wrong.. You can take a person away from the south side but but can't every take the south side out of them.LOL Good luck resident's of Parkview apartment's.
tanya
Wed, Jun 23, 2010 : 10:45 a.m.
My hope is that with big brother not controlling it all, we will see an increase of family housing students from EMU and WCC, artists and low income, blue collar working family's that care about their community living at Parkview. This could very well be a huge stepping stone for the city to attract residents who can contribute to the image of Ypsilanti while raising their family's on a budget. Just because you are poor does not mean you are a criminal. Politicians and bankers are the real culprit to the decline in public housing.
Monica
Sat, Jun 19, 2010 : 8:15 p.m.
Good news for the remaining residents of Parkview Apartments. Thank you Ypsilanti City Council for taking this step to improve affordable housing in this community!
jjc155
Sat, Jun 19, 2010 : 9:08 a.m.
well its great that the back taxes are being paid to the city HOWEVER once the housing commisson retains ownership the property comes off the city taxes rolls, so there were be no more tax revenue from the property, which currently has its taxable value listed on the city's assessing website as just about 1.1million dollars, no sure what that works out for the city but I can tell you what it will be when the taxable value goes to zero, LOL. feel free to look up other housing commision properties on the city's website to compare.
Jay Thomas
Fri, Jun 18, 2010 : 9:24 p.m.
Why rebuild it at all? Why does Ypsi need more low income housing? It's mostly low income housing now! According to demographic numbers I just looked at only 48% of it's housing units are home owners (52% renters). Even including students that's still amazing. What they need to be doing is attracting more middle class people. My friend doesn't even have streetlights but they spend money on this. Ypsilanti is the crime capitol of the county. Stop rebuilding these housing projects and apartments and watch crime fall (no, not all the people living there are prone to crime BUT A LOT ARE).
drew_blows
Fri, Jun 18, 2010 : 2:38 p.m.
I am against any more new low income housing projects in Ypsi. I also challenge someone to list one low income housing project that they would fell comfortable living in. I think it will be extremely hard to do. Part of the problem with Parkview is that it is often the first and last impression people get when coming to Ypsi. History has show a large group of "low income people" living in one area does not make "good neighbors" and drain the area of vital resources and money. This part of Michigan already has one low income area close by with plenty of available housing = Detroit.
Kent2525
Fri, Jun 18, 2010 : 1:30 p.m.
The place is junk now and will be junk shortly after it is rebuilt. The nieghborhood is full of hookers and drug dealers and gun shots every night. The road in front of it is a 25mph and speeding is high. Their is a school just up the street, hookers hang around all the time and gun shots at night. Should be torn down.... And before anyone says, your not from around here. I am in this part of town all the time, day and night every night.
johnnya2
Fri, Jun 18, 2010 : 12:57 p.m.
The occupants are not the problem. Management is the problem. If a community does not fix the problems immediately, they are allowed to be considered the norm. Patroling what is going on in a community, making sure it is lit at night, holding those who break things responsible are all managements job. If they do that, the "bad seeds" will not want to live there. If they turn a blind eye, all bets are off.
tdw
Fri, Jun 18, 2010 : 12:09 p.m.
@Andy as a matter of fact,I do live in Ypsi and have had interaction with "those people" not all are bad but there's enough to ruin the place
AndyYpsilanti
Fri, Jun 18, 2010 : 12:02 p.m.
Wait, what I want to know from all the tax-money-pit commenter is; Why are you not rejoicing that Parkview has be wrestled away from HUD and the Feds? Doesn't it make you feel better that big bad Big Brother is out of the process? And I'd like to know who it is you think lives there and why they are so doomed to destroy the place again. You might note though, that almost no one lives there now, so by default, the new Parkview will be populated with new and different residents. Are they too doomed to destruction and debauchery? Do any of you, by chance, live in Ypsilanti and have a chance to interact with "those people"?
pseudo
Fri, Jun 18, 2010 : 11:08 a.m.
The back taxes and utilities are what HUD owes on the property. Its part of the deal because Ypsilanti has shouldered the burden of this property during litigation and HUD did not keep up its end of the bargin. These tax dollars aren't wasted, they are what the government has owed all along. As for the occupants destroying the place, I think there is a great deal riding on its appearance and safety for the second phase of development with conventional financing. The developer is a good one with a solid success rate. So this will either go well or they will tear down the remaining mess and leave an open land...and that urban farm (which don't make enough money to actually pay for land) can happen on HUD's dime. I'm fine with that and I would love to see more urban farms in Ypsi.
tdw
Fri, Jun 18, 2010 : 10:54 a.m.
@Alan I'm so sure it'll get destroyed because that's what has happened every time anything has deen done to improve it.I guess the occupants are the ones who live there
Alan Benard
Fri, Jun 18, 2010 : 10:33 a.m.
Could the commentators who are so sure a revitalized Parkview will be destroyed by "the occupants?" Who are the occupants, in your eyes? Can you define them? I'd love to year your definition.
CountyKate
Fri, Jun 18, 2010 : 9:36 a.m.
I agree with Lorie. I think the way they have this set up will improve the community as a whole. What is going to be key is having a stringent set of guidelines as to who gets to live there. The story says those guidelines have to be in place and as long as they are and are followed, this could prove to be a real boon to Ypsilanti. Low income does NOT have to mean high crime. It all depends on the management being strict about the guidelines.
jondhall
Fri, Jun 18, 2010 : 9:28 a.m.
Tear the place down, take it off the tax rolls, then let Janet Granholm build her new house there! This is a waste of time, effort and money. Take the vouchers to the suburbs! How many times does it take before someone learns a lesson?
tdw
Fri, Jun 18, 2010 : 8:55 a.m.
I'll be disroyed in short order.They put up a new fence several years ago.It did'nt take week a before it started to get trashed
bruceae
Fri, Jun 18, 2010 : 7:46 a.m.
You're going to dump a ton of tax dollars into this place and then let the same people back into the units that trashed them in the first place? What a total waste of money and they will be right back in this same condition in 5 years.
xmo
Fri, Jun 18, 2010 : 7:35 a.m.
What a money pit! HUD paying $700,000 in back taxes and utilities and YHC paying from 2005 on. Thank goodness it is only badly needed tax dollars that we are wasting here. Bulldoze the place and make it urban farm land!
pseudo
Fri, Jun 18, 2010 : 6:49 a.m.
I agree about the look of the place right now but this is specifically because of the way HUD handled it. I was there for the presentation and feel it is worthy of moving forward. This is huge victory for those tenants (their rights were being trampled by HUD) it is also a huge victory for Ypsilanti - 12M in investments, about 70 local construction jobs. An eye sore cleaned up and fixed. What wasn't clearly mentioned is that if the "other" financing doesn't go through (meaning the traditional financing for the second 1/2 - intended as mixed income housing) They will tear them down leaving a park-like setting of open space. I love that it won't be exclusively HUD vouchers/govt. sponsored housing in the long term. I think the projects on Ypsi's south side are terrible eyesores and people grinders. They are isolated and riddled with crime, visibly so. If they were to all go the way of Parkridge (renovated and opened up to people with more income), I would sleep a little easier at night about my tax money.
Carrie
Fri, Jun 18, 2010 : 5:49 a.m.
Where is Parkview located?