Implementing NSP-1 in Boston

A presentation for the

2009 NCDA Annual Conference

San Antonio, Texas

Before NSP

• Hendry Street Foreclosure Intervention Team (FIT) designated by Mayor Menino

• City of Boston acquisition and disposition of foreclosed properties in Hendry Street FIT area

• Designation of additional FIT areas in Dacia Street & Langdon St.

HENDRY STREET – SPRING 2008

HENDRY STREET – SPRING 2008

City REO Acquisitions

• 15 HENDRY, PURCHASED & SOLD FOR $69,000

• 17 HENDRY, PURCHASED FOR $100,000 & SOLD FOR $69,900

• 19 HENDRY, PURCHASED FOR $69,000 (3 condos @ $23,000) & SOLD AS 3-FAM FOR $87,050

• 21 HENDRY, PURCHASED FOR $69,000 (3 condos @ $23,000) & SOLD AS 3-FAM FOR $87,050

• 11 COLEMAN, NEGOGIATED PURCHASE PRICE OF $95,000 FOR DEVELOPER

HENDRY STREET – SPRING 2009

NSP-1 Allocation

• Boston received a direct allocation from HUD of $4,230,191

• Boston is one of only 4 communities in New England that received direct allocations (all 4 in MA)

• Boston also received a matching grant from the state’s NSP allocation

NSP-1 ActivitiesPrograms CITY NSP STATE NSP Total %

REO Reclamation Fund: Turnkey Ownership       

$1,000,000 $1,000,000 $2,000,000 24.2%

REO Reclamation Fund: Rental       

$500,000 $500,000 $1,000,000 12.1%

REO Reclamation Fund: Permanent Supportive Housing

       

$1,057,548 $1,057,548 $2,115,096 25.6%

Land Bank Acquisition Program       

$125,000 $125,000 $250,000 3.0%

REO Buyer Incentive       

$250,000 $250,000 $500,000 6.1%

REO Buyer Development/TA       

$146,500 $146,500 $293,000 3.5%

REO Purchase/Rehab       

$750,000 $750,000 $1,500,000 18.2%

NSP Program Cost Subtotal       

$3,829,048 $3,829,048 $7,658,096 92.7%

Grantee Administration & Planning $401,143 $201,529 $602,672 7.3%

Subtotal - NSP Funded Programs $4,230,191 $4,030,577 $8,260,768 100.0%

TURNKEY OWNERSHIP

1 MARION PLACEPURCHASE PRICE: $67,000APPRAISED VALUE: $75,000

SELL PRICE: $67,000*Not in NSP Target Area

22 ROCKWELL STREETPURCHASE PRICE: $192,000APPRAISED VALUE: $170,000

SELL PRICE: $170,000

REO PURCHASE/REHAB & SUPPORTIVE HOUSING

302 FULLER STREETPURCHASE PRICE: $176,000

50 BRADSHAW STREETPURCHASE PRICE: 5 CONDOS @

APPROX. $50,000 EACH

DOWNPAYMENT ASSISTANCE

71 WEST COTTAGE$25,000 – NSP/DACIA FIT

2999 WASHINGTON ST$15,000 – NSP

Change in Median Price, 2007-2008

42-44 WOODBINE STREETNEGOGIATED PURCHASE

PRICE FOR LOCAL CDC: $89,000

42-44 WOODBINE STREETNEGOGIATED PURCHASE

PRICE FOR LOCAL CDC: $89,000WILL BE FEATURED ON

THIS OLD HOUSE

21 DACIA STREETPURCHASED BY LOCAL CDC

DRGR – Projects & Activities

• All 8 budget programs (projects) set up in DRGR

• Only 2 activities set up so far:

• $9,999 for appraisals

• $26,450 for 8-hour homebuyer education courses

• Using City funds first, reimburse with NSP

For More Information:

Robert Gehret, Deputy Director

City of Boston

Department of Neighborhood Development

26 Court Street, 8thfloor

Boston, MA 02018

Phone: 617-635-0242

E-mail: bgehret.dnd@cityofboston.gov