Housing complex dedicated
Betty Saunders said she needed a one-story home because her husband Amos had spinal surgery that prevented him from climbing the steps in their old home in Uniontown They found a new home surrounded by other new homes in a new city subdivision where a ribbon-cutting ceremony took place on Thursday to mark the completion of the development.
City officials, the project developers and financing agency representatives gathered for the dedication of Uniontown Family Homes, a $7.5 million development consisting of 30 rent-to-own homes.
The ceremony was held at a clubhouse that was built in a 17-home subdivision on Diamond Street off of Bailey Avenue. The 13 other homes in the project were built on scattered lots. Most are in the Lafayette neighborhood and a few are in the East End.
Saunders opened her Diamond Street home in the Lafayette neighborhood so the people involved in planning the development could get a look at the fruit of their labor.
“I love my home. It’s lovely,” said Saunders. “It’s very nice.”
An active member of the East End Concerned Citizens Association, Saunders said she already has some ideas, such as forming a garden club, in her new neighborhood.
The neighborhood is the product of a partnership between the Fayette County Community Action Agency and PIRHL Developers of Cleveland, Ohio.
David Burg of PIRHL, an acronym for Partnership for Income Restricted Housing Leadership, said financing for the project was secured in December, the last home was completed in September and a waiting list is already starting to form.
Community Action executive director James Stark said all 30 homes are rented.
Rent ranges from about $300 to $735 a month depending on the renter’s income.
Renters who remain in their homes for the duration of the 15-year lease agreements would be given the opportunity to buy their homes for the balance of the outstanding construction debt, which would be well below market value, Burg said.
The development features 10 three-bedroom homes measuring about 1,260 square feet and 20 four-bedroom homes measuring about 1,420 square feet. There are six different types of homes with 15 style variations and 24 exterior color schemes. All the homes received Energy Star certifications for energy efficiency, Burg said.
NDC Real Estate Management of Pittsburgh is managing the properties.
He said the largest source of construction money in the complicated financing for the project was tax credits from the Pennsylvania Housing Finance Agency.
The tax credits provide $650,000 a year for 10 years, accounting for about 83 percent of the project funding, Burg said.
PNC Multi-Family Capital exchanged the credits for cash and provided the partnership with a $5 million loan to get construction started, he said.
The Uniontown Redevelopment Authority obtained a $500,000 grant for the project from the state Department of Community and Economic Development, Burg said.
After the houses are sold, the partnership will repay the $500,000 to the authority, which will be able to use it for a revolving loan fund, he said.
Several other lending agencies also provided loans and grants.
A small grant from the Community Foundation of Fayette County was part of the financing, Burg said.
Mayor Ed Fike said the development is taxable and will expand the city’s tax base in addition to providing high-quality homes.
“This is certainly a bright day in the city of Uniontown,” Fike said.
Burg said the rent-to-own development is a “perfect model to plant seeds for future residential development.”
Stark said the first discussion about the project was held in 2004. The goal of the development is to provide affordable housing options for residents and to help revitalize the city.