From the News Sentinel

Builders get $325,000 incentive in inner-city project

People buying new homes in the city’s Renaissance Pointe area can qualify for a variety of incentives. The companies building those homes may soon be able to do the same.

In a move officials say reflects a problem common to urban development — not a flaw in the city’s $16 million effort to revitalize the Hanna-Creighton neighborhood — Fort Wayne plans to make $325,000 in federal funds available to subsidize Renaissance Pointe’s three builders, which have begun or completed nine homes, most along John Street.

Well, KMPWA. This project has been doomed from the start. Another King Richard, (read: former Mayor Graham Richard) resume building project that is failing miserably. All the King’s horse and all the King’s men (heir Henry), are having one hell of a time doing damage control.

Heather Presley, the city’s deputy director of housing and neighborhood services, said the money will compensate builders who have been adversely affected by the difference between what it costs to build the homes and their appraised value as established by lenders, which helps establish sale prices.

“As the builders build, there’s nothing to compare the homes to (in the neighborhood),” Presley said, noting that appraisals are created by comparing the value of similar properties. That’s difficult in Renaissance Pointe, however, since few new homes have been built in the area for decades. The new homes that have been built are apparently too scattered or small in number to affect the appraisals, Presley said.

A new home in Renaissance Pointe may cost less to buy than it does to build — possibly costing builders thousands of dollars and making them reluctant to continue their participation in the project. To prevent that, the city will reimburse builders for a difference of up to $30,000 per home during construction of the first 11 houses.

Question. Why was Presley doing the talking, I thought Rachel Blakeman was a PIO? Granted the city is using federal dollars, however, if these *business people* had any fscking sense they would have thought twice before building in an area reeking of urban blight.

Renaissance Pointe homes start at about $130,000. Neighboring homes sell for sh*t. From the MLS listings of nearby homes for sale:

$4,500
2 Bed, 1 Bath
888 Sq. Ft.
0.15 Acres 3030 Pennsylvania St
Fort Wayne, IN 46803

$4,700
2 Bed, 1 Bath
714 Sq. Ft.
0.15 Acres 2906 McCormick Ave
Fort Wayne, IN 46803

$7,000
2 Bed, 1 Bath
1,048 Sq. Ft.
0.06 Acres 1910 Antoinette St
Fort Wayne, IN 46803

$7,500
2 Bed, 1 Bath
1,176 Sq. Ft.
0.18 Acres

$8,900
3 Bed, 1 Bath
1,418 Sq. Ft.
0.15 Acres 1404 Maumee Ave
Fort Wayne, IN 46803

And, some of the more ’spensive homes:

$59,900
3 Bed, 2 Bath
1,146 Sq. Ft.
1115 Hamilton Ave
Fort Wayne, IN 46803

$56,900
2 Bed, 2 Bath
1,105 Sq. Ft.
1954 Dellwood Dr
Fort Wayne, IN 46803

$49,900
3 Bed, 2 Bath
1,310 Sq. Ft.
2424 Bowser Ave
Fort Wayne, IN 46803

See what I mean?

Two home sales within Renaissance Pointe have fallen through because of the slump in the housing market , said Chris Palladino, director of Neighborhood Development and Finance for Mansur Real Estate of Indianapolis, which is helping with the project. More than $7.3 million has been invested in the area since work began last year, with another $2.1 million in infrastructure planned this year, Palladino added.

At least everyone in the mainstream media is playing the same flute.

Harrison condo purchases slowing

By Kevin Leininger
of The News-Sentinel

A weak housing market and other complications have slowed the purchase of condominiums in Harrison Square , casting doubt on when construction will begin on the housing and retail section of the downtown project.

Makes you think that people in Fort Wayne might not be as DUMB as Men’s Journal thinks we are? From the USA Today article “Looking for signs of intelligent life in Fort Wayne“

From what I’ve seen here of late, it’s not the citizens that are dumbasses. It’s a little higher up the food chain.

Oh wait a sec…

Dan O’Connell of the Fort Wayne/Allen County Convention and Visitors Bureau concedes that Fort Wayne is “sort of a vanilla city” but says he was “floored” by the study. He cites the museums and universities that call Fort Wayne home. “We’re spending $40-million-plus ($64 million, actually) on a new library. That says something about our citizens. We’re building a library, not a stadium.”

Shit Dan. And I thought I was heading somewhere with this..

Batter-up! - AWB

Last 5 posts by AWB

• Get your condo! - Financing is available for The Harrison - January 5th, 2009
• What does this define? - January 4th, 2009
• An incredible story - January 3rd, 2009
• Letter to the big three - January 2nd, 2009
• What is America's true form of government? - January 2nd, 2009

This entry was posted on Tuesday, May 13th, 2008 at 8:39 pm and is filed under City & County Government, Local Assholes. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.