Commission approves 12-lot pilot to spur infill construction; staff to evaluate in six months

Commissioners voted to move forward with a 12-lot pilot program to get long-held vacant lots back into production and onto the tax rolls. The pilot bundles lots into packages and offers three acquisition paths: (1) market sale, (2) discounted sale with a city recapture/closing mechanism (city recoups a portion of lot value at closing), and (3) SHIP/infill pathway for buyers who qualify for housing assistance. The motion included a recommendation to advertise the disposition as a request for proposals and to limit builders to purchasing no more than two lots in the pilot packages.

Supporters described the plan as a market test to see whether local builders will build without heavy city conditions; one presenter said the program will "test the market" and added, "If this works, I got another 10 ready to go." Commissioners insisted on guardrails: a six-month evaluation and criteria to ensure homes are built as primary residences rather than speculative rental conversions. Housing director Sheila Ware informed the dais that "all of the lots listed are housing properties" and noted there are modest housing funds attached to some parcels that must be repaid or otherwise accounted for if a discounted sale occurs. Commissioners also discussed the limits state and federal funding rules place on local-preference preferences and the need to ensure CRA/housing funds are returned where applicable. The motion to proceed with the pilot and to advertise proposals passed 4 to 1.