Box 5, Folder 9, Document 40

Dublin Core

Title

Box 5, Folder 9, Document 40

Text Item Type Metadata

Text

November 14, 1968

Chicago Dwelling Association
130 North Wells Street
Chicago, Illinois 60606

Gentlemens

On November 13, I had the opportunity of seeing your Town
House Park project at 52nd Street and Blackstone in Chicago,
developed by National Homes Corporation of Lafayette, Indiana.

I was very favorably impressed with the project, particularly
the convenience of living conditions and the excellent environmental
atmosphere which has been created in development of the project.

This Committee is anxious to learn details of the legal
relationshipy mission and authority of your organization with
_ ¥espect to Chicago Housing Authority and the mechanics involved
“an the Town House Parks development.

As explained to me yesterday, which I would like to get
confirmed or otherwise ciarified:

(a) Your organization is a nonprofit subsidiary
of the Chicago Housing Authority and as such is
able to purchase land, from the Chicago Housing
“Rathority, at a write down, by direct negotiation
without having to go through bidding procedures.

(b) You then contract with National Homes, or some
other mobile home manufacturer, for purchase,
delivery and erection of the units, including

site development (landscaping, street lighting,
walks, patios, parking, etc.) on specified sites.

(c) You then select the occupants from
applications submitted to you and arange for the
purghase of the individul units, through a Federal
assisted cooperative, on a 38 year FHA insured

mortgage.


November 14, 1968 Page 2

(4d) That National Homes Acceptance Corporation,
or some other mortgagee, carries the long term mortgage
of the cooperative.

I am particularly interested in learning how the Chicego Housing
Authority obtains the sites which it sells to you, as a nonprofit
corporation, and to what extent is the original cost of the land
written down on resale to you. Also from what source are your
operating funds derived?

The Georgia Redevelopment Law requires that Urban Renewal land,
if disposed of to private developers for non-public uses, must go
through competitive bidding progedures. However, it siso permits
“puch land be sold to public or quasi-public bodies by negotiation.

i am also interested in learning if Illinois has a similar law,
and if so, how are you able to overcome this feature.

Any information which you can provide us on this general matter,
including perhaps a copy of your articles of incorporation, will be
very much appreciated,

Sincerely,

Malcolm D. Jones
Housing Coordinator

MDJ/me

ec: Chairman, Housing Resources Commit
Director of Governmental Liaison

7 ie 2S ee: ee eee ee |

|

|






Comments

Document Viewer