Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
I think I will research who owns the properties and attempt to start a dialog with them about what can be done to improve the situation.
When I say gentrification I am referring to younger, well educated, mostly white working professionals moving into and fixing up older houses in a predominantly black and working class neighborhood near downtown. I don't say that with any prejudice at all, it is just what I view as gentrification in the traditional sense.
Northbeachperson, I don't know where your cynicism is coming from. I have said nothing about wanting public upgrades to the street, or buyers remorse. I knew what I was buying into, and enjoy the sense of being a part of something that is improving with my help. I would consider one of the properties blighted with broken windows and a collapsing roof, but I never mentioned the street being blighted in my OP. I know there are avenues for fixing this through the city, but personally I would rather see private redevelopment rather than public demolition. We in Parkridge are already included in all of Knoxville's redevelopment districts and enjoy many benefits of public support for redevelopment. Please respond with respect rather than a paternalistic nihilism at my wanting to improve the neighborhood I live in.
I will probably try to maintain the yards and beds of the properties, pick up any trash that blows in, and try to contact the owners about getting them occupied. I will go to the city about the collapsing house and ask for it to be considered blighted. I will continue to participate in the neighborhood organization, and try to develop an action plan for dealing with long term vacancies that aren't listed for sale or rent in the neighborhood.
Anything else?
My cynicism comes from having dealt with this over the past three decades.
Any house with broken windows/collapsing roof absolutely needs to be reported to your Code Enforcement.
I guess my response was reading between the lines of your original. Usually when people hear the questions you asked: redevelopment, bring life to, etc. the next step is "And how much of other people's money will the town commit to this?".
You already sound like you have a governmental plan in place, but any private investment will hinge on a bunch of factors, mostly the appetite for risk an investor has and the value trends. If the houses are worth less than the ground those properties can be profitably re-developed. In some cases the house can be upgraded and flipped, if the purchase price is right or in some cases demolished and a new house built.
Banks will not go out of their way to rent, it doesn't add to the bottom line.
If a developer comes in watch out for a change in zoning category, from single family to townhouses or apartments. Many developers do that as a condition of development, they get a lot more profit from those and residents like you are left with the extra traffic, demand for services, loss of value of your SFH (yes townhouses and apartments in an area of SFH brings those values down). etc.
Too many rentals are also a drain on value for SFHs, the old number for a town/neighborhood from Fannie and Freddie was 23% rentals and caused new mortgage applications to get a second look and have a higher interest rate. I don't know what the number is now, maybe higher.
And finally, NOTIFY CODE ENFORCEMENT ABOUT THE HOUSE WITH BROKEN WINDOWS!!
Also, in zoning the operative phrase many use is "highest and best use" which usually in urban areas, or even smaller towns, means high density.
(yes townhouses and apartments in an area of SFH brings those values down). etc.
In an economic neighborhood boundary, or small area where SFH are predominant with an anticipation of change of use to a certain percentage of land use?
Also, in zoning the operative phrase many use is "highest and best use" which usually in urban areas, or even smaller towns, means high density.
For us, it is a property economic analysis (it can mean for rural and suburban districts, as well):
Highest and Best Use as Though Vacant - Among all reasonable, alternative uses, the use use that yields the highest present land value, after payments have been made for labor, capital, and coordination. The use of a property based on the assumption that the parcel of land is vacant or can be made vacant by demolishing any improvements.
Highest and Best Use as Though Improved - The use that should be made of a property as it exists. An existing property should be renovated or retained as is so long as it continues to contribute to the total market value of the property , or until the return from a new improvement would more than offset the cost of demolishing the existing building and constructing a new one.
There are four criteria the highest and best use must meet - legal permissibility, physical possibility, financial feasibility, maximum profitability.
What type of business or profession are you into, North Beach Person?
For us, it is a property economic analysis (it can mean for rural and suburban districts, as well):
Highest and Best Use as Though Vacant - Among all reasonable, alternative uses, the use use that yields the highest present land value, after payments have been made for labor, capital, and coordination. The use of a property based on the assumption that the parcel of land is vacant or can be made vacant by demolishing any improvements.
Highest and Best Use as Though Improved - The use that should be made of a property as it exists. An existing property should be renovated or retained as is so long as it continues to contribute to the total market value of the property , or until the return from a new improvement would more than offset the cost of demolishing the existing building and constructing a new one.
There are four criteria the highest and best use must meet - legal permissibility, physical possibility, financial feasibility, maximum profitability.
What type of business or profession are you into, North Beach Person?
In MD highest and best use is taken to mean the densest, built out use of the property allowed in the zoning classification. Many jurisdictions encourage people to build more than they want to using that interpretation.
If you have an area zoned, say, R-1 SFH, that is the "highest, best use" right now. Invariably when an area goes through the state mandated Comprehensive Plan review every seven years with the follow up changing in Zoning laws there will be factions encouraging that the R-1 be changed to R-6, or R-12, or R-whatever to increases density. Many times this will be an investor who has bundled adjacent SFH properties who believes he can realize a greater return if he demos and rebuilds high density multi-family. Many times those guys don't care if the surrounding areas are all SFH. It is surprising how many people think that doing that is a good idea. Many times they will be the ones that come to complain after it's done and construction is complete. Usually with the comment, 'How did that happen?". They don't like to be told that they supported it in the re-zoning.
I'm a Psych/Econ/Social Issues/US History teacher. Why?
In MD highest and best use is taken to mean the densest, built out use of the property allowed in the zoning classification. Many jurisdictions encourage people to build more than they want to using that interpretation.
I am sorry. I do apologize. I was referencing "us" as those who practice Real Estate Appraisal. I quoted the standard definitions. It meant to apply for all states, from a property economic (real estate appraisal) point of view. However; thank you for the additional description as it relates to zoning in your state.
If you have an area zoned, say, R-1 SFH, that is the "highest, best use" right now. Invariably when an area goes through the state mandated Comprehensive Plan review every seven years with the follow up changing in Zoning laws there will be factions encouraging that the R-1 be changed to R-6, or R-12, or R-whatever to increases density. Many times this will be an investor who has bundled adjacent SFH properties who believes he can realize a greater return if he demos and rebuilds high density multi-family. Many times those guys don't care if the surrounding areas are all SFH. It is surprising how many people think that doing that is a good idea. Many times they will be the ones that come to complain after it's done and construction is complete. Usually with the comment, 'How did that happen?". They don't like to be told that they supported it in the re-zoning.
I see.
In our market, SF-2 can mean uses that include all three: SFH and multi-unit residential properties. Condos, in my area, can enhance value of an adjacent subdivision of SFH, as they are both part of an economic neighborhood boundary. However; an apartment building can do the same -- and on the other hand, both uses can hurt the value of an adjacent subdivision of SFH.
I'm a Psych/Econ/Social Issues/US History teacher. Why?
Because, your posts indicated behavior that was familiar with many elements I can relate to. Therefore; I was curious to know if maybe you held an occupation in government or real estate.
Psych looks to be fun, in my opinion. I am taking a Psychology class this Spring. Social and Psych education directly assists with the understanding and the application of Economics -- I am engaged in economics.
No need to apologize. I'm somewhat of a ringer, I've been involved in local government as an elected official for much of the last 30 years.
I really disliked taking Psych. I really enjoy teaching it. Started the kids on Classical Conditioning today-I ring the bell, you touch your ear. Drives them crazy. Wed. I switch to Operant with a positive reinforcer-candy for touching your ear.
No need to apologize. I'm somewhat of a ringer, I've been involved in local government as an elected official for much of the last 30 years.
I really disliked taking Psych. I really enjoy teaching it. Started the kids on Classical Conditioning today-I ring the bell, you touch your ear. Drives them crazy. Wed. I switch to Operant with a positive reinforcer-candy for touching your ear.
lol...Sounds like you have a lot of fun "clowning" around in class.
I really enjoy taking psychology seminars related to economics. The last one I attended was for "generations."
This is all very interesting. I just got my undergraduates in Economics and Urban Planning, but I can't seem to find a good job in either one for now.
NBP, I don't think bundling of properties would be a consideration here although there has been bundling one block up at the corner with the bus stop and small apartment buildings. Although its not optimal I'm not really worried about that spreading any farther. 23% is an interesting number to know. How big is the jurisdiction over which it is calculated? Honestly, I think the big multifamily project on the edge of the neighborhood will get approved eventually. If looking at it from the highest and best use of density then it probably is. The developer has been saying repeatedly that the project can't go through without $20 million in affordable housing funding on a $25 million project.
Greenback, thank you for those terms and descriptions. I would just assume that the highest best use would be occupied for 2 of the 3 and I'm not sure about the last one. Vacant land goes for 8 or 10k for 1/12 acre lots, and I assume it would probably cost that to tear it down.
Greenback, thank you for those terms and descriptions. I would just assume that the highest best use would be occupied for 2 of the 3 and I'm not sure about the last one. Vacant land goes for 8 or 10k for 1/12 acre lots, and I assume it would probably cost that to tear it down.
The Cost Approach To Value will expand your economic thought process.
This is all very interesting. I just got my undergraduates in Economics and Urban Planning, but I can't seem to find a good job in either one for now.
NBP, I don't think bundling of properties would be a consideration here although there has been bundling one block up at the corner with the bus stop and small apartment buildings. Although its not optimal I'm not really worried about that spreading any farther. 23% is an interesting number to know. How big is the jurisdiction over which it is calculated? Honestly, I think the big multifamily project on the edge of the neighborhood will get approved eventually. If looking at it from the highest and best use of density then it probably is. The developer has been saying repeatedly that the project can't go through without $20 million in affordable housing funding on a $25 million project.
If I lived there I would be nervous. What you've just been told is the developer wants to change the neighborhood from` SFH/owner occupied (I know that's not the reality just now but that was the "vision') to a neighborhood of Section 8 apartments. If he can't do the project without those givebacks/vouchers it's not really a viable project.
Greenback, thank you for those terms and descriptions. I would just assume that the highest best use would be occupied for 2 of the 3 and I'm not sure about the last one. Vacant land goes for 8 or 10k for 1/12 acre lots, and I assume it would probably cost that to tear it down. That actually would be attractive to an investor who specialized in that type of project. It would depend on the market, of course, but there are several people here that do that. Buy a teardown, build a new house, sell for $300K and up.
The 23% used to be applied to small towns and within discreet larger neighborhoods in larger cities. Again, with the market now I don't know if that is still being done. It's really, in some ways, a form of redlining.
When we bought here about 1/2 or so of the houses were summer homes with over 1/2 of the rest, year round homes, being rentals. We had a heck of a time placing a mortgage. No bank would touch us so we had to do FHA.
I am not sure what advice I can give because the golden rule of real estate is location, location, location. Growing up in the Detroit area I have seen many neighborhoods start to go down hill and it just keeps going until nothing is left. I have relatives that held onto long, told themselves the neighborhood would come back some day and it hasn't. My father that is almost 70 yrs old now and finally realized his neighborhood is a lost cause. It's sad and maybe if the economy was better there might be a chance at revitalization but probably not and if it did, it won't happen in my father's lifetime. If you wanted to find my father's home, I wouldn't even have to give you the address, just the street. His home is the beautiful 3 story brick on a double lot with manicured landscaping among the empty lots and abandoned houses. He called several realtors, most were no shows and the one that showed up said if anyone was interested the house might sell for 5k. He put up a for sale sign and the next day someone stole it. Hang on and see if someone takes an interest in your neighborhood. I hope for your sake someone does, if not try to pay the house off as soon as possible and leave.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
