Title
Resolution to Exercise a Right of First Refusal to Purchase 166 Ashley Mews and Appropriate Funding ($150,000.00) (8 Votes Required)
Memorandum
Eight owner-occupied units within the Ashley Mews Condominium project were set aside as affordable as part of the Ashley Mews Planned Unit Development zoning approvals.
The City recorded Affordable Housing Covenants for each of the eight Ashley Mews affordable units which require that the units are sold at a restricted sale price to income-qualified buyers.
The City has a first right of refusal and may elect to purchase an affordable unit by notifying the owner within sixty days of receipt of written notice of the owner's intent to sell. The City must resell the unit to an income-qualified buyer who meets eligibility requirements.
The Office of Community and Economic Development manages these affordable units on behalf of the City, including identifying eligible income-qualified buyers and facilitating the transfer between buyer and seller when these units are sold.
Unit 44 of the Ashley Mews Condominium, commonly known as 166 Ashley Mews, Ann Arbor, Michigan, is an affordable unit restricted by an Affordable Housing Covenant. On February 27, 2025, the City received written notice that the owner of 166 Ashley Mews intends to sell the affordable unit.
Staff recommends that the City exercise its first right of refusal and purchase the 166 Ashley Mews property to expedite the purchasing process and promptly resell to an eligible buyer in collaboration with the Office of Community and Economic Development.
Budget/Fiscal Statement: This purchase of 166 Ashley Mews is not budgeted within the FY25 General Fund budget. It is recommended that the City utilize up to $150,000.00 of General Fund fund balance to purchase this property. The General Fund shall be made whole upon the sale of the property.
Staff
Prepared by: Nicole Vargas, Assistant City Attorney
Reviewed by: Derek Delacourt, Community Services Area Ad...
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