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Box 18, Folder 23, Complete Folder
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April 12, 1967
MEMORANDUM TO; Mr, Cecil A. Alexander, Chairman
Housing Resources Committee
During the past several weeks I have become increasingly concerned over
progress (or perhaps lack of it) being made in getting many of our proposed low cost
housing projects off the ground. Very few have actually made it, thus far. Recently
at least eight (8) developers have talked with me seriously about it. They are be-
coming quite apprehensive about the success of the program, unless some of the current
obstacles and roadblocks are removed and several have suggested withdrawing from the
program entirely,
The summary report on problem areas, recently prepared for the Executive
Group meeting of the Housing Resources Committee, April 16, tends te bring the problems
into sharp focus, Of legitimate proposals which have already been made, #900 units are
in jeopardy. The principal problems are the following:
l. Difficulty for developers in obtaining suitable land at prices
which make development of low cost housing economically feasible,
2. Constant opposition by single family home owners to apartment
and co-op developments anywhere in the general area in which they live.
3. Limitation on availability of sites considered “excellent” by FHA;
and FHA's extreme conservatism on approving sites in proximity to
other approved sites, for fear of glutting the market in such areas.
4%, Reluctance of the Planning Department to support necessary re-
zoning in certain areas for which general plans have been made or are
contemplated for other types of development in the future.
5. Opposition by NAACP and local Negro officials in HUD to construction
of additional low cost housing in areas which they consider occupied
predominately by Negroes, The effect of this is being also reflected
in FHA. This has reached a very serious and critical stage and is
extremely detrementai to the program.
6. Difficulty, politically, because of neighborheed objections to get
rezoning of avallabie sites fer low cost housing.
Mr. Cecil A. Alexander
Page 2,
One barometer of the seriousness of the problem is indicated by the decreasing
number of housing units permitted in Atlanta in recent years:
1963 = 91293: 1964 + 3629; 1965 - 2656; 1966 = 2382
Still another problem is the difficulty, with current facilities, in keeping
up with the program and timely foliow through on all proposed developments. On
February 20, we had 59 known proposals. Today we have 70 and the number is increasing.
It is virtually impossible under our present system for one person, myself, to timely
follow up on all projects as closely as is desirable or essential to insure their
successful execution.
Furthermore, our Committee Panels have not thus far proven very productive.
Keeping contact with them is awviaogy job within itself.
aomcam ing
Consequently, as the program progresses I am becoming more and more conscious
of the necessity for a change in procedures; and suggest the following:
A. An all out effort be made to resolve the current difficulty with HUD,
promoted by the NAACP. I do not see how the City can afford to lose on this issue, and
I doubt that it can be satisfactorily resolved at the local level, but will require
strong representations from the Mayor directeto Washington.
B. Implement John Cherry's initial suggestion of setting up teams of key
people (Realtor, Financier, Site Planner, Architect, Builder and when appropriate, a
Nonprofit Sponser)., This is perhaps the most practical approach to this complex
problem. Each team could thus be given a specific assignment of a certain number of
units to produce. Ten such teams with assignments of 500 units each seems appropriate
to start with. This would produce 5,000 units (or one year's goal for the program),
Such procedure would also permit a pyramiding of administration through the Housing
Resources Committee, in as much as we could then deal with only one selected individual
(Captain) of each team. This would also automatically broaden the base of responsibility
and effort among the several key people on each team, rather than leaving it all to
individual developers. Other developers, of course, would not be discouraged, and more
time would be available for lending assistance and advice to them when needed.
C. Initiate concrete steps toward creation of a Housing Development
Corporation, with adequate funds, and with mission similar to the one in Philadelphia.
D, Also, an educational program should be conducted for City officials
(Board of Aldermen and Planning Board) to thoroughly acquaint them as to needs for
housing and advantages of the program; and with the general public, explaining how the
people themselves can help rather than hinder the program. The latter should preferably
be done through lay groups. The Board of Aldermen should be specifically briefed on
the preblems confronting the Housing Resources Committee in accomplishment of its
mission and their whole hearted cooperation and suppert where needed, should be solicited.
E. A series of clear talking, straight from the shoulder, newspaper, TV,
and radio presentations are needed as to requirements and obstacles that need to be over=
come. This is very much in order now. (A typical example ef this need was illustrated
in the Zoning Committee hearing April 6, (#2-67+33-G) in which petition to rezone a
20-acre tract off Browns Mill Read from N-1 to A-1, to permit construction of 264 units
Mr. Cecil A. Alexander
Page 3.
of 221 d (3) co-op sales housing was denied, over ruling the Joing Planning Board
recommendation, because people in the general neighborhood apparently did not under-
stand what was proposed and about a dozen people from the area appeared in opposition
at the hearing. This opposition killed the rezoning and may cause the death of the
project). .
F. Rezoning is needed of substantial tracts of vacant Industrial and low
density Residential land to higher density Residential, with certain portions ear
marked for low cost housing. In this connection, major policy decisions are necessary
as to which is to have preference; continuation of existing zoning in anticipation of
future development, which may never materialize, or making suitable locations
available now to meet the City's urgent need for low cost housing. In this connection,
three specific plans, Collier Heights, Boulder Park and the Peyton Road area, all perhaps
well conceived at the time they were prepared, constitute the majority of the open land
area in the western part of the City and most ef it is currently reserved for single
family development at very low density. The current needs of the City for higher density
development, requires a reconsideration and evaluation of those plans. The R-4 Zoning
in the bulk of the Seventh Ward, much of it open land, is another example.
Recommend the precedures proposed in A - F above be placed in effect as
soon as possible.
Respectfully,
Malcolm D, Jones
Supervisor of Inspection Services
MDJteo
CC: “hayor Ivan Allen, Jr.
Mx, Dan E. Sweat, Jr.
THE VECTOR COMPANY
1204 KENESAW AVENUE =~ KNOXVILLE, TENNESSEE 37919 = (615) 588-2435
April 14, 1967
Mayor Ivan Allen
68 Mitchell Street S.W.
City Hall
Atlanta, Georgia
Dear Mayor Allen,
I am writing this letter to you as one of the developers for the proposed
low rent turnkey housing for your city and at the suggestion of Mr. Cecil
Alexander with whom I have discussed our problem or stalemate as it now
appears.
So that you might be able to more clearly uiew our position I will attempt
to give you a brief background: We and our real estate agents spent
many hours and days scouring Atlanta for the best possible sites from
September to November 1966, and we finally narrowed our findings to two;
one of which is the Skipper and Harwell Road site. In early November we
presented same to the Atlanta Housing Authority who together with the
Regional Housing Authority gave us approval for same per copy of letter
enclosed of November 21, 1966. I also wish to call to your attention the
fact that the regional officials together with the project planner from
HAA and two officials from Washington visited this site and all expressed
their approval of same.
Therefore, based on this approval, we proceeded to hire the firm of Good
and Goodstein, Architects, Knoxville, Tennessee, who have been the Archi-
tects for fifteen to twenty Low Rent Housing Projects in the past five
years, and therefore are cognizant of the requirements and procedures of
Low Rent Housing. The Architects, The Atlanta Housing Authority officials,
the Regional Authority officials and ourselves have had many meetings
during the past five and one half months in order to be able to present
our preliminary proposal which we did on March 30, 1967. We have all
worked together without any knowledge of there being any objection to the
proposed location. We have spent between $30,000.00 and $35,000.00 in
actual costs because we were assured that the property was approved by
everyone concerned and we have designed what we believe to be excellent
apartments costing nearly $20,000.00 per unit.
EARL SS. WORSHAM=- MELVIN T. GOLDBERGER - REAL ESTATE DEVELOPMENT
THE VECTOR COMPANY
1204 KENESAW AVENUE =- KNOXVILLE, TENNESSEE 37919 - (615) 588-2435
April 14, 1967
Page Two
We truly are very distressed that the project is being held in abeyance as
we had set up a time schedule for the various phases set up in the "Turh-
key" program, one of which being the "letter of intent" phase wherein we
are then able to exercise our land option and this stoppage places our
land purchase in a predicament as well as our aforementioned costs.
We are aware of the great and urgent need for this housing by the City
of Atlanta and your desire to cooperate in every manner and we wanted you
to know to what extent we had gone in attempting to help solve this
housing shortage and of course we stand ready and willing to assist in
whatever manner you think we might be able.
Hoping that you will be able to solve this dilemna in the very near future.
Yi. | Glonstage
The Vector Company
MTG :ned
ec:M.B. Satterfield
Cecil Alexander
EARL S, WORSHAM- MELVIN T. GOLDBERGER =- REAL ESTATE DEVELOPMENT
aoe OuBx
EOWIN L. STERNE -
CHAIRMAN
GEORGE 6. CRAFT
VICE CHAIRMAN
J. Be BLAYTON °
JOHN ©. CHILES
FRANK G. ETHERIDGE
024 HURT DUILOING
ATLANTA, GEORGIA 30303
JACKGON 3-GO74
November 21, 1966
Mr.. Stuart Davis ©
Schaffer Realty Company
‘66 Pryor Street, N. E.
Atlanta, Georgia 30303
Dear Mr. Davis:
\ouSx (oes
M, G. GATTERFIELD
EXECUTIVE DIRECTOR ANO GECAETARY
CARLTON GARRETT
DIRECTOR OF FINANCE
=~
GILBERT H. BOGGS
DIRECTOR OF HOUSING
GEORGE R. SANDER
TECHNICAL DIRECTOR
We have visited the proposed "turnkey" site on Harwell Road,
previously referred to as the Diplomat Apartments site, and
are prepared to receive a proposal from you in accordance
with Paragraph H Page 3 of Section 206.6 of the Low-Rent
_ Housing Manual.
Please let us know if there are any further questions.
Sincerely yours,
M. B. Satterfield
A Executive Direct
_MBS:dm — 3
// 2 Mr. John BE Lyle. ~
Housing Assistance Administration
i
MEMORANDUM TO; Mr, Cecil A. Alexander, Chairman
Housing Resources Committee
During the past several weeks I have become increasingly concerned over
progress (or perhaps lack of it) being made in getting many of our proposed low cost
housing projects off the ground. Very few have actually made it, thus far. Recently
at least eight (8) developers have talked with me seriously about it. They are be-
coming quite apprehensive about the success of the program, unless some of the current
obstacles and roadblocks are removed and several have suggested withdrawing from the
program entirely,
The summary report on problem areas, recently prepared for the Executive
Group meeting of the Housing Resources Committee, April 16, tends te bring the problems
into sharp focus, Of legitimate proposals which have already been made, #900 units are
in jeopardy. The principal problems are the following:
l. Difficulty for developers in obtaining suitable land at prices
which make development of low cost housing economically feasible,
2. Constant opposition by single family home owners to apartment
and co-op developments anywhere in the general area in which they live.
3. Limitation on availability of sites considered “excellent” by FHA;
and FHA's extreme conservatism on approving sites in proximity to
other approved sites, for fear of glutting the market in such areas.
4%, Reluctance of the Planning Department to support necessary re-
zoning in certain areas for which general plans have been made or are
contemplated for other types of development in the future.
5. Opposition by NAACP and local Negro officials in HUD to construction
of additional low cost housing in areas which they consider occupied
predominately by Negroes, The effect of this is being also reflected
in FHA. This has reached a very serious and critical stage and is
extremely detrementai to the program.
6. Difficulty, politically, because of neighborheed objections to get
rezoning of avallabie sites fer low cost housing.
Mr. Cecil A. Alexander
Page 2,
One barometer of the seriousness of the problem is indicated by the decreasing
number of housing units permitted in Atlanta in recent years:
1963 = 91293: 1964 + 3629; 1965 - 2656; 1966 = 2382
Still another problem is the difficulty, with current facilities, in keeping
up with the program and timely foliow through on all proposed developments. On
February 20, we had 59 known proposals. Today we have 70 and the number is increasing.
It is virtually impossible under our present system for one person, myself, to timely
follow up on all projects as closely as is desirable or essential to insure their
successful execution.
Furthermore, our Committee Panels have not thus far proven very productive.
Keeping contact with them is awviaogy job within itself.
aomcam ing
Consequently, as the program progresses I am becoming more and more conscious
of the necessity for a change in procedures; and suggest the following:
A. An all out effort be made to resolve the current difficulty with HUD,
promoted by the NAACP. I do not see how the City can afford to lose on this issue, and
I doubt that it can be satisfactorily resolved at the local level, but will require
strong representations from the Mayor directeto Washington.
B. Implement John Cherry's initial suggestion of setting up teams of key
people (Realtor, Financier, Site Planner, Architect, Builder and when appropriate, a
Nonprofit Sponser)., This is perhaps the most practical approach to this complex
problem. Each team could thus be given a specific assignment of a certain number of
units to produce. Ten such teams with assignments of 500 units each seems appropriate
to start with. This would produce 5,000 units (or one year's goal for the program),
Such procedure would also permit a pyramiding of administration through the Housing
Resources Committee, in as much as we could then deal with only one selected individual
(Captain) of each team. This would also automatically broaden the base of responsibility
and effort among the several key people on each team, rather than leaving it all to
individual developers. Other developers, of course, would not be discouraged, and more
time would be available for lending assistance and advice to them when needed.
C. Initiate concrete steps toward creation of a Housing Development
Corporation, with adequate funds, and with mission similar to the one in Philadelphia.
D, Also, an educational program should be conducted for City officials
(Board of Aldermen and Planning Board) to thoroughly acquaint them as to needs for
housing and advantages of the program; and with the general public, explaining how the
people themselves can help rather than hinder the program. The latter should preferably
be done through lay groups. The Board of Aldermen should be specifically briefed on
the preblems confronting the Housing Resources Committee in accomplishment of its
mission and their whole hearted cooperation and suppert where needed, should be solicited.
E. A series of clear talking, straight from the shoulder, newspaper, TV,
and radio presentations are needed as to requirements and obstacles that need to be over=
come. This is very much in order now. (A typical example ef this need was illustrated
in the Zoning Committee hearing April 6, (#2-67+33-G) in which petition to rezone a
20-acre tract off Browns Mill Read from N-1 to A-1, to permit construction of 264 units
Mr. Cecil A. Alexander
Page 3.
of 221 d (3) co-op sales housing was denied, over ruling the Joing Planning Board
recommendation, because people in the general neighborhood apparently did not under-
stand what was proposed and about a dozen people from the area appeared in opposition
at the hearing. This opposition killed the rezoning and may cause the death of the
project). .
F. Rezoning is needed of substantial tracts of vacant Industrial and low
density Residential land to higher density Residential, with certain portions ear
marked for low cost housing. In this connection, major policy decisions are necessary
as to which is to have preference; continuation of existing zoning in anticipation of
future development, which may never materialize, or making suitable locations
available now to meet the City's urgent need for low cost housing. In this connection,
three specific plans, Collier Heights, Boulder Park and the Peyton Road area, all perhaps
well conceived at the time they were prepared, constitute the majority of the open land
area in the western part of the City and most ef it is currently reserved for single
family development at very low density. The current needs of the City for higher density
development, requires a reconsideration and evaluation of those plans. The R-4 Zoning
in the bulk of the Seventh Ward, much of it open land, is another example.
Recommend the precedures proposed in A - F above be placed in effect as
soon as possible.
Respectfully,
Malcolm D, Jones
Supervisor of Inspection Services
MDJteo
CC: “hayor Ivan Allen, Jr.
Mx, Dan E. Sweat, Jr.
THE VECTOR COMPANY
1204 KENESAW AVENUE =~ KNOXVILLE, TENNESSEE 37919 = (615) 588-2435
April 14, 1967
Mayor Ivan Allen
68 Mitchell Street S.W.
City Hall
Atlanta, Georgia
Dear Mayor Allen,
I am writing this letter to you as one of the developers for the proposed
low rent turnkey housing for your city and at the suggestion of Mr. Cecil
Alexander with whom I have discussed our problem or stalemate as it now
appears.
So that you might be able to more clearly uiew our position I will attempt
to give you a brief background: We and our real estate agents spent
many hours and days scouring Atlanta for the best possible sites from
September to November 1966, and we finally narrowed our findings to two;
one of which is the Skipper and Harwell Road site. In early November we
presented same to the Atlanta Housing Authority who together with the
Regional Housing Authority gave us approval for same per copy of letter
enclosed of November 21, 1966. I also wish to call to your attention the
fact that the regional officials together with the project planner from
HAA and two officials from Washington visited this site and all expressed
their approval of same.
Therefore, based on this approval, we proceeded to hire the firm of Good
and Goodstein, Architects, Knoxville, Tennessee, who have been the Archi-
tects for fifteen to twenty Low Rent Housing Projects in the past five
years, and therefore are cognizant of the requirements and procedures of
Low Rent Housing. The Architects, The Atlanta Housing Authority officials,
the Regional Authority officials and ourselves have had many meetings
during the past five and one half months in order to be able to present
our preliminary proposal which we did on March 30, 1967. We have all
worked together without any knowledge of there being any objection to the
proposed location. We have spent between $30,000.00 and $35,000.00 in
actual costs because we were assured that the property was approved by
everyone concerned and we have designed what we believe to be excellent
apartments costing nearly $20,000.00 per unit.
EARL SS. WORSHAM=- MELVIN T. GOLDBERGER - REAL ESTATE DEVELOPMENT
THE VECTOR COMPANY
1204 KENESAW AVENUE =- KNOXVILLE, TENNESSEE 37919 - (615) 588-2435
April 14, 1967
Page Two
We truly are very distressed that the project is being held in abeyance as
we had set up a time schedule for the various phases set up in the "Turh-
key" program, one of which being the "letter of intent" phase wherein we
are then able to exercise our land option and this stoppage places our
land purchase in a predicament as well as our aforementioned costs.
We are aware of the great and urgent need for this housing by the City
of Atlanta and your desire to cooperate in every manner and we wanted you
to know to what extent we had gone in attempting to help solve this
housing shortage and of course we stand ready and willing to assist in
whatever manner you think we might be able.
Hoping that you will be able to solve this dilemna in the very near future.
Yi. | Glonstage
The Vector Company
MTG :ned
ec:M.B. Satterfield
Cecil Alexander
EARL S, WORSHAM- MELVIN T. GOLDBERGER =- REAL ESTATE DEVELOPMENT
aoe OuBx
EOWIN L. STERNE -
CHAIRMAN
GEORGE 6. CRAFT
VICE CHAIRMAN
J. Be BLAYTON °
JOHN ©. CHILES
FRANK G. ETHERIDGE
024 HURT DUILOING
ATLANTA, GEORGIA 30303
JACKGON 3-GO74
November 21, 1966
Mr.. Stuart Davis ©
Schaffer Realty Company
‘66 Pryor Street, N. E.
Atlanta, Georgia 30303
Dear Mr. Davis:
\ouSx (oes
M, G. GATTERFIELD
EXECUTIVE DIRECTOR ANO GECAETARY
CARLTON GARRETT
DIRECTOR OF FINANCE
=~
GILBERT H. BOGGS
DIRECTOR OF HOUSING
GEORGE R. SANDER
TECHNICAL DIRECTOR
We have visited the proposed "turnkey" site on Harwell Road,
previously referred to as the Diplomat Apartments site, and
are prepared to receive a proposal from you in accordance
with Paragraph H Page 3 of Section 206.6 of the Low-Rent
_ Housing Manual.
Please let us know if there are any further questions.
Sincerely yours,
M. B. Satterfield
A Executive Direct
_MBS:dm — 3
// 2 Mr. John BE Lyle. ~
Housing Assistance Administration
i
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