Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Affordable Housing topic
No spam. Unsubscribe anytime.
Peoria donates downtown parcel to New Town for three affordable for‑sale homes
Summary
Council approved a development disposition agreement donating a city‑owned parcel to New Town CDC to build three for‑sale homes sold to income‑eligible buyers under a community land trust; council cited long‑term resale restrictions and reversion clauses to preserve affordability, and the vote passed 7‑0.
Peoria’s City Council on March 3 approved a development and disposition agreement (DDA) to transfer a small city‑owned parcel at 85th and Washington to New Town Community Development Corporation for construction of three for‑sale affordable homes to be preserved through a community land trust model.
Interim Deputy City Manager Chris Howlet described the site as an underutilized former car wash and said the DDA would transfer the land into New Town’s community land trust. Howlet said New Town plans to build three for‑sale units, sell the structures to income‑eligible buyers and retain ownership of the underlying land with long‑term (up to 99‑year) leases and resale restrictions to ensure ongoing affordability. "They have planned a three for sale affordable housing units," Howlet said.
Howlet told council the city used ARPA funds for site feasibility and environmental reviews and that New Town was successful in securing additional grant funding from the Maricopa County Home Consortium to lower development costs. Staff estimated the site contribution’s development value at about $261,000; Howlet said that cost would not be passed on to buyers. The DDA includes reversion clauses so the land would revert to the city if the homes are not built or not maintained as affordable.
Council members sought details about the land‑trust mechanics and income eligibility. Staff explained that buyers purchase the improvements and sign a long‑term lease for the land; each resale must be to another income‑eligible household under new lease terms. Regarding income thresholds, staff said the program targets roughly 80% of area median income (AMI) and gave an example: "80% of area median income, roughly around 73,000 for a family of four." Council approved the DDA by a recorded voice vote reported as 7‑0.
Staff said New Town intends to move to permitting after the DDA and aims to complete construction by the end of 2027 or mid‑2028 depending on milestones and financing. The DDA does not include final construction standards or schedules; those will be addressed in subsequent contracts and permit reviews.
