Bid Solicitation request for the purchase of Kearney house
Downtown Community Housing Incorporated (DCHI) is pleased to offer for sale Kearney House Apartments, a 32 unit, affordable, 7 story building in highly desirable Northwest Portland. Kearney House is unique in its provision of large family oriented units affordable by households with modest income. DCHI seeks capable and financially sound buyers with familiarity and strong management experience operating properties subject to the special requirements of Section 42 of the Internal Revenue Code pertaining to Low Income Housing Tax Credits.
Kearney House's 25 three-bedroom, two-bath and 7 two-bedroom units are subject to a Land Use Restrictive Covenant with the Oregon State Housing Division. These restrictions reflect conditions of the seller's project financing using federal low income housing tax credits (IRC Section 42). The initial Tax Credit Compliance Period (TCCP) expired at the end of 2011. However, income and rental restrictions in conformance with Section 42 will extend until December, 2036. Occupants of 30 of the units must, upon initial residency, make at or below 60% of median family income. Two HOME units are restricted to households making 50% or less until 2021, after which they may be rented to 60% families. Rents and income deemed to meet these requirements are set by the Department of Housing and Urban Development and the Oregon State Housing Division and are adjusted annually. The buyer must agree to maintain these income and rent restrictions through the periods indicated.
We want our buyer to be fully informed. This website offers access to all data relevant to understanding and appreciating the property, its past and expected future financial performance and the terms of its ongoing affordability requirements. The Building Features, Photos, & Background tab explains, in narrative and photos, the special character and unique qualities of the building and summarizes its distinguishing features. The Plans and Building Information tab summarized key building characteristics. It also provides drawings of the buildings elevations, floor plans and 3 typical unit plans and their distribution. The Unit Distribution, Income & Expenses tab show unit type and make up, distribution, area and rents. The Income and Expenses show what a buyer may expect in the future using currently allowable LIHTC/HOME restricted rents and current expenses adjusted to exclude expenses unique to current ownership. The tab Bid Timeline outlines the bid solicitation schedule, including open house dates. The Supporting Documentation tab provides a link to all documents considered relevant to a potential buyer's due diligence. The Submit Bid tab provides the prospective buyer with the required Letter of Intent form, its required attachments and instructions for submitting.