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Box 15, Folder 5, Document 50
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ECONOMIC DEVELOPMENT PARTICIPATION OF MODEL NEIGHBORHOOD, INC.
IN ATLANTA MODEL NEIGHBORHOOD PROGRAM
Es
General Statement
Model Neighborhood, Inc. is a private, non-profit corpora-
tion wholly owned by workers, residents, businessmen, and
home owners of an older section of Atlanta that forms a
portion of the City of Atlanta's Model Neighborhood Program.
Model Neighborhood, Inc. was incorporated under the laws
of the State of Georgia in February of 1968 for the
purpose of serving as a catalyst to and an instrument of
and for the economic development of a particular area of
Atlanta.
The Corporate Board of Trustees feels the need for grass-
roots participation in the Model Neighborhood Program and,
therefore, desires to be a vehicle through which the people
of the area can participate fully in the physical, social
and economic development of the Model Neighborhood area.
Board of Trustees
Edward Moody, Chairman Robert Allison
241 Doane Street, S. W. , 914 McDaniel Street, S. W.
Atlanta, Georgia 30315 Atlanta, Georgia
Board of Trustees (Continued)
Cc. G. Ezzard
245 Atlanta Avenue, S. E.
Atlanta, Georgia
George Grier
398 Glenn Street, S. W.
Atlanta, Georgia
Avery Shields
985 Smith Street, S. W.
Atlanta, Georgia
Maggie Evans
159 Little Street, S. E.
Atlanta, Georgia
Samuel W. Cochran
137 Vanira Street, S. E.
Atlanta, Georgia
Activities and Program Status
Nathaniel Protho
689 Ira Street
Atlanta, Georgia
W. M. Lewis
7ll Martin Street, S. E.
Atlanta, Georgia
Clark Martin
1065 McDaniel Street, S.W.
Atlanta, Georgia
Joe Stallings
1O1l Vanira Street, S. E.
Atlanta, Georgia
Austin Ford
1017 Capitol Avenue, S.E.
Atlanta, Georgia
Negotiations are underway for purchasing two parcels of
land from the Atlanta Housing Authority.
The tracts are
across the street from each other; together, they comprise
about four acres; both are zoned for commercial use.
Total
purchase price is $216,000.00 A firm commitment has been
obtained from a local bank
(Trust Company of Georgia) to
loan the corporation the down payment necessary to tie up
the land while development plans are being firmed up. The
corporation has raised from its membership and placed on
deposit sufficient funds to prepay the interest on the loan.
Arrangements for permanent financing (land and construction)
are under discussion with participating companies in the
insurance industry's one-billion dollar loan program. The
corporation is being assisted by the Trust Company of Georgia
in these negotiations. A preliminary market study prepared
for the corporation by Hammer, Green, Siler and Associates,
showed that the area could support 56,000 square ack: of
convenience goods retail space. Six hundred fifty new
units of public housing are now being occupied adjacent
to the site. Major oil companies are being contacted by
the corporation for possible leasing of combined gasoline
service and training facilities in the shopping center.
Tentative verbal commitments have been obtained from several
potential institutional tenants pending the working out
of space requirements and costs, and a number of area
residents have axenaauea desires to have the corporation
assist them to obtain financing for proprietorship businesses
Which would lease space in the center. The corporation
itself is considering establishing a cooperatively owned
retail drug store which would be a tenant of the center.
The Atlanta Housing Authority and the Chairman of the
Aldermanic Planning and Development Committee have endorsed
the project and are giving full support to the corporation's
efforts.
Representatives of the corporation are now negotiating
with one of the state's leading industrial firms to
establish a component assembly plant within the Model
Cities Area under the sponsorship of the corporation.
A proposal to the industrial firm to provide financing
for a feasibility study is now being prepared by the
Industrial Development Division of Georgia Tech at the
firm's suggestion. The corporation will request several
thousand dollars in the form of a loan or grant to under-
take the feasibility study.
Members of the Board of Trustees have met with the Federal
Housing Agency to express the corporation's interest in
the 221(H), housing rehabilitation program. The Board
was advised that approximately $1,000 in refundable "seed
money" would be required. Tentative agreement for a loan
for this purpose has been obtained from the Presbyterian
Church of the United States. A separate non-profit
corporation has been chartered with Emmaus House of the
Episcopal Church to undertake the 221(H) phase of the
program. Board members are now reviewing the City's plans
for redevelopment in the Mechanicsville and Summerhill
neighborhoods with the purpose in mind to coordinate the
corporation efforts with those of the City of Atlanta.
In other housing efforts, volunteer technical assistants
have been instructed to develop innovative alternatives
for possible housing demonstration projects within the
framework of the Federal 221(d) (3) program. Two area
churches have expressed desires to sponsor such projects.
Through its experience with its own program development,
its activities in the fields outlined above, its facilities
(shopping center) and capital resources obtained through
doing business and receiving loans and grants, the corporation
hopes to be the non-profit vehicle through which assistance
to area residents desiring to establish profit making small
businesses may be channeled. For example, a proportion of
the shopping center space sufficient to guarantee meeting
mortgage retirement needs (approximately 60 percent of the
space) will be leased only to well-established tenants; the
remainder will be made available as first priority to local
residents attempting new business ventures. Direct technical
assistance to such new enterprises has been provided by
various private and governmental groups inthe Atlanta area.
The corporation desires to contribute to redevelopment
efforts of the Model Neighborhood Area not only through
coordinating its own development programs with proposed
city activities, but also to act as liaison between area
residents and governmental agencies, to reiterate both
criteria and suggestions of proposals through a continuing
public information and idea exchange program. The corpora-
tion intends to directly involve area residents in the plan-
ning process,
-It is central to the Board's policy that the corporation
retain its "self-help" nature. The people of the Model
Neighborhood Area have the abilities needed to share in
the improvement of their own community, and demonstrate
self-reliance. The corporation can serve to spark
initiative and provide a framework within which the people
can help themselves only if decision-making remains in the
hands of the people. While the corporation will continue
to seek assistance from outside the community and will continue
to give assistance within the community, any assistance of-
fered will not be accapbabie unless it perpetuates this
self-help objective.
Model Neighborhood, Inc. seeks to join with the City of
Atlanta through the City's Model Neighborhood Program in
the physical, social, and economic development of the
Model Neighborhood.
The corporation has defined its purpose, listed activities
as formulated to date and stated progress made toward those
activities in the preceding pages. Major emphasis has been
and continues to be placed on the shopping center. Volunteer
technical assistance has been used to explore and implement
the corporation's ideas and desires, yet, such volunteer
assistance, while greatly appreciated remains the largest
roadblock to implementation. By its very nature, such
assistance is always at the leisure of the volunteers and
the program moves slowly as a consequence. Rapid progress
will be made only when the corporation has funds enough to
buy manpower.
The current critical need is capital to make the project
"operational". Sources to provide one hundred per cent
of land and construction eeu have been located. What
is ‘peeaea is money to buy manpower -- both staff and
technical consultants.
Staffing requirements are very minimal at this point; no
more than two full-time employees are necessary.
Technical assistance requirements include architectual,
legal, financial and managerial. It is estimated that as
much as $50,000 may be required eventually in order to make
the one-million dollar center operational.
LL.
1.0
Proposal
Work Statement.
Model Neighborhood, Inc., with the financial assistance
of the Model Neighborhood Program, will seek to accomo-
lish the following activities:
1.1 To construct and manage. a shopping center.
facility as described in Section I.
1.2 To provide vocational training through the
facilities of the shopping center.
1.3 To stimulate the development of Negro entrepreneur-—
ship through the selection of tenants for the shop-
ping center.
1.4 To sponsor the creation and ownership of a neigh-
borhood industry within the Model Neighborhood Area.
All of the above activities are in agreement with the
physical, social, and economic development goals of the
Model Neighborhood Program.
For Model Neighborhood, Inc. to be successful or to make
an attempt to successfully accomplish its activities
staffing and technical assistance are imperative.
2.0
Staffing.
The following staffing requirements are based on the
assumption that the corporation's activities listed in
section 1.0 will be implemented.
‘Staff
Corporate Director
Administrative Director
Secretary-Bookkeeper
Corporate Director. The corporate director
shall be the Chairman of the Board of Trustees.
He shall be responsible for liaison between the
corporate board and the administrative director
of the corporation.
Administrative Director. The administrative
director shall be responsible to the corporation's
Board of Trustees for performing the activities
determined by the Board to be in the best interest
of the corporation and the community. ‘He shall
account for all expenditure of corporate funds
and for the effective utilization of his time
and the time of his staff.
10
-3 Secretary-Bookkeeper. The secretary-—bookkeeper
shall maintain the administrative records of
the corporation, including financial accounts.
She shall also serve as secretary to the corporate
and administrative directors of the corporation
and as recording secretary to the Board -of Trustees.
Budget.
The following budget is for fiscal year 1969, beginning
August 1, 1968 and ending July 31, 1969.
-l Staff
Corporate Director $ 6,000
Administrative Director 12,000
Secretary-Bookkeeper 4,500
$22,500
-2 Travel
Corporate and Administrative expenses $ 300
$ 300
-3 Sundry Overhead
Telephone ($50 per month x 12) $ 600
Office Supplies ($30 per month x 12) 360
Duplicating ($35 per month x 12) 420
Postage ($10 per month x 12) 120
$ 1,500
BS
il
Contractural Services
Architectural Services $ 7,500
Legal Services ($l00per month x 12) 1,200
Accounting Services ($100 per month x 12) 1,200
General Consulting Services 2,000
TOTAL
$11,900
$36,200
IN ATLANTA MODEL NEIGHBORHOOD PROGRAM
Es
General Statement
Model Neighborhood, Inc. is a private, non-profit corpora-
tion wholly owned by workers, residents, businessmen, and
home owners of an older section of Atlanta that forms a
portion of the City of Atlanta's Model Neighborhood Program.
Model Neighborhood, Inc. was incorporated under the laws
of the State of Georgia in February of 1968 for the
purpose of serving as a catalyst to and an instrument of
and for the economic development of a particular area of
Atlanta.
The Corporate Board of Trustees feels the need for grass-
roots participation in the Model Neighborhood Program and,
therefore, desires to be a vehicle through which the people
of the area can participate fully in the physical, social
and economic development of the Model Neighborhood area.
Board of Trustees
Edward Moody, Chairman Robert Allison
241 Doane Street, S. W. , 914 McDaniel Street, S. W.
Atlanta, Georgia 30315 Atlanta, Georgia
Board of Trustees (Continued)
Cc. G. Ezzard
245 Atlanta Avenue, S. E.
Atlanta, Georgia
George Grier
398 Glenn Street, S. W.
Atlanta, Georgia
Avery Shields
985 Smith Street, S. W.
Atlanta, Georgia
Maggie Evans
159 Little Street, S. E.
Atlanta, Georgia
Samuel W. Cochran
137 Vanira Street, S. E.
Atlanta, Georgia
Activities and Program Status
Nathaniel Protho
689 Ira Street
Atlanta, Georgia
W. M. Lewis
7ll Martin Street, S. E.
Atlanta, Georgia
Clark Martin
1065 McDaniel Street, S.W.
Atlanta, Georgia
Joe Stallings
1O1l Vanira Street, S. E.
Atlanta, Georgia
Austin Ford
1017 Capitol Avenue, S.E.
Atlanta, Georgia
Negotiations are underway for purchasing two parcels of
land from the Atlanta Housing Authority.
The tracts are
across the street from each other; together, they comprise
about four acres; both are zoned for commercial use.
Total
purchase price is $216,000.00 A firm commitment has been
obtained from a local bank
(Trust Company of Georgia) to
loan the corporation the down payment necessary to tie up
the land while development plans are being firmed up. The
corporation has raised from its membership and placed on
deposit sufficient funds to prepay the interest on the loan.
Arrangements for permanent financing (land and construction)
are under discussion with participating companies in the
insurance industry's one-billion dollar loan program. The
corporation is being assisted by the Trust Company of Georgia
in these negotiations. A preliminary market study prepared
for the corporation by Hammer, Green, Siler and Associates,
showed that the area could support 56,000 square ack: of
convenience goods retail space. Six hundred fifty new
units of public housing are now being occupied adjacent
to the site. Major oil companies are being contacted by
the corporation for possible leasing of combined gasoline
service and training facilities in the shopping center.
Tentative verbal commitments have been obtained from several
potential institutional tenants pending the working out
of space requirements and costs, and a number of area
residents have axenaauea desires to have the corporation
assist them to obtain financing for proprietorship businesses
Which would lease space in the center. The corporation
itself is considering establishing a cooperatively owned
retail drug store which would be a tenant of the center.
The Atlanta Housing Authority and the Chairman of the
Aldermanic Planning and Development Committee have endorsed
the project and are giving full support to the corporation's
efforts.
Representatives of the corporation are now negotiating
with one of the state's leading industrial firms to
establish a component assembly plant within the Model
Cities Area under the sponsorship of the corporation.
A proposal to the industrial firm to provide financing
for a feasibility study is now being prepared by the
Industrial Development Division of Georgia Tech at the
firm's suggestion. The corporation will request several
thousand dollars in the form of a loan or grant to under-
take the feasibility study.
Members of the Board of Trustees have met with the Federal
Housing Agency to express the corporation's interest in
the 221(H), housing rehabilitation program. The Board
was advised that approximately $1,000 in refundable "seed
money" would be required. Tentative agreement for a loan
for this purpose has been obtained from the Presbyterian
Church of the United States. A separate non-profit
corporation has been chartered with Emmaus House of the
Episcopal Church to undertake the 221(H) phase of the
program. Board members are now reviewing the City's plans
for redevelopment in the Mechanicsville and Summerhill
neighborhoods with the purpose in mind to coordinate the
corporation efforts with those of the City of Atlanta.
In other housing efforts, volunteer technical assistants
have been instructed to develop innovative alternatives
for possible housing demonstration projects within the
framework of the Federal 221(d) (3) program. Two area
churches have expressed desires to sponsor such projects.
Through its experience with its own program development,
its activities in the fields outlined above, its facilities
(shopping center) and capital resources obtained through
doing business and receiving loans and grants, the corporation
hopes to be the non-profit vehicle through which assistance
to area residents desiring to establish profit making small
businesses may be channeled. For example, a proportion of
the shopping center space sufficient to guarantee meeting
mortgage retirement needs (approximately 60 percent of the
space) will be leased only to well-established tenants; the
remainder will be made available as first priority to local
residents attempting new business ventures. Direct technical
assistance to such new enterprises has been provided by
various private and governmental groups inthe Atlanta area.
The corporation desires to contribute to redevelopment
efforts of the Model Neighborhood Area not only through
coordinating its own development programs with proposed
city activities, but also to act as liaison between area
residents and governmental agencies, to reiterate both
criteria and suggestions of proposals through a continuing
public information and idea exchange program. The corpora-
tion intends to directly involve area residents in the plan-
ning process,
-It is central to the Board's policy that the corporation
retain its "self-help" nature. The people of the Model
Neighborhood Area have the abilities needed to share in
the improvement of their own community, and demonstrate
self-reliance. The corporation can serve to spark
initiative and provide a framework within which the people
can help themselves only if decision-making remains in the
hands of the people. While the corporation will continue
to seek assistance from outside the community and will continue
to give assistance within the community, any assistance of-
fered will not be accapbabie unless it perpetuates this
self-help objective.
Model Neighborhood, Inc. seeks to join with the City of
Atlanta through the City's Model Neighborhood Program in
the physical, social, and economic development of the
Model Neighborhood.
The corporation has defined its purpose, listed activities
as formulated to date and stated progress made toward those
activities in the preceding pages. Major emphasis has been
and continues to be placed on the shopping center. Volunteer
technical assistance has been used to explore and implement
the corporation's ideas and desires, yet, such volunteer
assistance, while greatly appreciated remains the largest
roadblock to implementation. By its very nature, such
assistance is always at the leisure of the volunteers and
the program moves slowly as a consequence. Rapid progress
will be made only when the corporation has funds enough to
buy manpower.
The current critical need is capital to make the project
"operational". Sources to provide one hundred per cent
of land and construction eeu have been located. What
is ‘peeaea is money to buy manpower -- both staff and
technical consultants.
Staffing requirements are very minimal at this point; no
more than two full-time employees are necessary.
Technical assistance requirements include architectual,
legal, financial and managerial. It is estimated that as
much as $50,000 may be required eventually in order to make
the one-million dollar center operational.
LL.
1.0
Proposal
Work Statement.
Model Neighborhood, Inc., with the financial assistance
of the Model Neighborhood Program, will seek to accomo-
lish the following activities:
1.1 To construct and manage. a shopping center.
facility as described in Section I.
1.2 To provide vocational training through the
facilities of the shopping center.
1.3 To stimulate the development of Negro entrepreneur-—
ship through the selection of tenants for the shop-
ping center.
1.4 To sponsor the creation and ownership of a neigh-
borhood industry within the Model Neighborhood Area.
All of the above activities are in agreement with the
physical, social, and economic development goals of the
Model Neighborhood Program.
For Model Neighborhood, Inc. to be successful or to make
an attempt to successfully accomplish its activities
staffing and technical assistance are imperative.
2.0
Staffing.
The following staffing requirements are based on the
assumption that the corporation's activities listed in
section 1.0 will be implemented.
‘Staff
Corporate Director
Administrative Director
Secretary-Bookkeeper
Corporate Director. The corporate director
shall be the Chairman of the Board of Trustees.
He shall be responsible for liaison between the
corporate board and the administrative director
of the corporation.
Administrative Director. The administrative
director shall be responsible to the corporation's
Board of Trustees for performing the activities
determined by the Board to be in the best interest
of the corporation and the community. ‘He shall
account for all expenditure of corporate funds
and for the effective utilization of his time
and the time of his staff.
10
-3 Secretary-Bookkeeper. The secretary-—bookkeeper
shall maintain the administrative records of
the corporation, including financial accounts.
She shall also serve as secretary to the corporate
and administrative directors of the corporation
and as recording secretary to the Board -of Trustees.
Budget.
The following budget is for fiscal year 1969, beginning
August 1, 1968 and ending July 31, 1969.
-l Staff
Corporate Director $ 6,000
Administrative Director 12,000
Secretary-Bookkeeper 4,500
$22,500
-2 Travel
Corporate and Administrative expenses $ 300
$ 300
-3 Sundry Overhead
Telephone ($50 per month x 12) $ 600
Office Supplies ($30 per month x 12) 360
Duplicating ($35 per month x 12) 420
Postage ($10 per month x 12) 120
$ 1,500
BS
il
Contractural Services
Architectural Services $ 7,500
Legal Services ($l00per month x 12) 1,200
Accounting Services ($100 per month x 12) 1,200
General Consulting Services 2,000
TOTAL
$11,900
$36,200
Comments