neighborhood stabilization program1

Neighborhood Stabilization ProgramNeighborhood Stabilization ProgramResource PanelResource Panel

March 12, 2009March 12, 2009

TKB Properties, LLC. TKB Properties, LLC.

Kevin LacasseKevin LacasseTim CoulombeTim Coulombe

Berlin, New Hampshire

Targeted NeighborhoodTargeted Neighborhood

NeighborhoodNeighborhood• The target neighborhood is known as the Lower East Side.The target neighborhood is known as the Lower East Side.

• Made up of multi family properties ranging from 2-6 units per building Made up of multi family properties ranging from 2-6 units per building with the greatest concentration being 3 family, 3 story buildings. with the greatest concentration being 3 family, 3 story buildings.

• Few single family residences mixed in. Few single family residences mixed in.

• Construction of most of these properties took place around the turn of Construction of most of these properties took place around the turn of the last century as work force housing to serve the needs of the then the last century as work force housing to serve the needs of the then growing paper mills. growing paper mills.

• Neighborhood is bounded by the newly purchased Laidlaw Property, Neighborhood is bounded by the newly purchased Laidlaw Property, Community Field, and within walking distance to downtown.Community Field, and within walking distance to downtown.

• Moderate traffic count road Moderate traffic count road

• Extremely high visibility as soon as one crosses the river from Main Extremely high visibility as soon as one crosses the river from Main Street Street

Need for NSP FundsNeed for NSP Funds

• Viewed many properties in January of 2008Viewed many properties in January of 2008

• Not fiscally responsible to purchaseNot fiscally responsible to purchase

• Many dilapidated propertiesMany dilapidated properties

• Rents did not support cost of acquisition and rehabRents did not support cost of acquisition and rehab

• Forced some current owners to close down buildings Forced some current owners to close down buildings because they could not afford to operate thembecause they could not afford to operate them

Project GoalsProject Goals• Use of local labor and materialsUse of local labor and materials• Energy efficiencyEnergy efficiency• Long term affordability as per HUD guidelinesLong term affordability as per HUD guidelines• Long term ownership and managementLong term ownership and management• Lead and Radon remediationLead and Radon remediation• Efficient use of fundsEfficient use of funds• Restore properties back on City tax rollsRestore properties back on City tax rolls• Stabilize neighborhood byStabilize neighborhood by

• Reducing crime rate – ArsonReducing crime rate – Arson• SquattersSquatters• Drug useDrug use• Supplying clean, affordable housing close to downtownSupplying clean, affordable housing close to downtown• Sponsor neighborhood clean up Sponsor neighborhood clean up • Prevent future foreclosure by increasing LTV and operating expensesPrevent future foreclosure by increasing LTV and operating expenses

FinancingFinancing

• Purchase all properties using private fundsPurchase all properties using private funds• NSP funds to cover all rehabilitation costsNSP funds to cover all rehabilitation costs

ImpactImpact

Nearly all targeted properties are vacant which will cause Nearly all targeted properties are vacant which will cause very limited displacement very limited displacement

““Facelift” on highly visible section of the cityFacelift” on highly visible section of the city

Revitalize not only targeted properties, but encourage Revitalize not only targeted properties, but encourage neighbors to clean theirs as well neighbors to clean theirs as well (Sponsor Clean up day)(Sponsor Clean up day)

Promotes pride in neighborhoodPromotes pride in neighborhood

As the City is demolishing blighted properties NEFH is As the City is demolishing blighted properties NEFH is replacing them with safe,clean, affordable housing close replacing them with safe,clean, affordable housing close to downtownto downtown

Energy EfficientEnergy Efficient

• Energy Audits (Jordan Institute)Energy Audits (Jordan Institute)• Each property will undergo:Each property will undergo:

Blower TestBlower Test

Thermal ImagingThermal Imaging

Itemized report and recommendationsItemized report and recommendations

• Use of Energy Star RatedUse of Energy Star Rated• AppliancesAppliances• Light fixturesLight fixtures• CFL Light bulbsCFL Light bulbs

• Programmable ThermostatsProgrammable Thermostats

Energy EfficientEnergy Efficient

Energy EfficientEnergy Efficient

Geothermal Geothermal (Where feasible)(Where feasible)

• Heating Heating • CoolingCooling• Domestic waterDomestic water

Energy EfficientEnergy Efficient

• SolarSolar• Domestic WaterDomestic Water• Not cost effective to use NSP for electricalNot cost effective to use NSP for electrical

Energy EfficientEnergy Efficient

• InsulationInsulation• Blown celluloseBlown cellulose• Spray foamSpray foam• PipePipe

• FiberglassFiberglass

• Rigid foam boardRigid foam board• Vapor BarriersVapor Barriers

Energy EfficientEnergy Efficient

• Water ConservationWater Conservation• Low flow toiletsLow flow toilets• Low flow shower headsLow flow shower heads• Low flow faucet filtersLow flow faucet filters

Snapshot of a few Targeted Snapshot of a few Targeted PropertiesProperties

632 Champlain Street632 Champlain Street

632 Champlain632 Champlain

• Five UnitFive Unit• ForclosedForclosed• VacantVacant• Large corner lot with paved drivewayLarge corner lot with paved driveway• Six garagesSix garages• Non Compliant to Life Safety CodeNon Compliant to Life Safety Code• TKB Properties purchased property on TKB Properties purchased property on

March 2, 2009March 2, 2009

606 Champlain606 Champlain

606 Champlain606 Champlain

• Two unitTwo unit• VacantVacant• Private salePrivate sale• Owner attempted to rehabilitate but could Owner attempted to rehabilitate but could

not due to economic turmoilnot due to economic turmoil• Could not be rehabbed with private capital Could not be rehabbed with private capital

alone. Market rents would make it fiscally alone. Market rents would make it fiscally irresponsibleirresponsible

• Property is now only a shellProperty is now only a shell

97 Grafton Street97 Grafton Street

97 Grafton Street97 Grafton Street

• This property is outlined in the City of This property is outlined in the City of Berlin’s application.Berlin’s application.

• The City proposes to demolish and de-The City proposes to demolish and de-densify the neighborhood.densify the neighborhood.

• Property could then be sold to abutterProperty could then be sold to abutter• This will allow parking for 590 Champlain This will allow parking for 590 Champlain • Victim to arson more than onceVictim to arson more than once

590 Champlain Street590 Champlain Street

590 Champlain Street590 Champlain Street

• Three unitThree unit• No parkingNo parking• Dilapidated Dilapidated • VacantVacant• Non compliant to Life Safety CodeNon compliant to Life Safety Code• On market for 189 days (re-listed)On market for 189 days (re-listed)

583 Champlain Street583 Champlain Street

583 Champlain Street583 Champlain Street

• Two unitTwo unit• Minimal parkingMinimal parking• Dilapidated Dilapidated • VacantVacant• On market for 189 days (re-listed)On market for 189 days (re-listed)

590 Goebel Street590 Goebel Street

590 Goebel Street590 Goebel Street

• Four unitFour unit• Ample parkingAmple parking• Absent Owner Absent Owner • VacantVacant• Victim of sub-prime mortgage at height of Victim of sub-prime mortgage at height of

marketmarket

183 Grafton Street183 Grafton Street

183 Grafton Street183 Grafton Street

• Three unitThree unit• Vacant Vacant • Short sale (3/2/09)Short sale (3/2/09)• Non compliant with Life Safety CodeNon compliant with Life Safety Code• Frozen plumbing systemFrozen plumbing system

Kevin LacasseKevin Lacasse603-530-2091603-530-2091

klacasse@nefamilyhousing.comklacasse@nefamilyhousing.com

Tim CoulombeTim Coulombe603-752-3244603-752-3244

tcoulombe@ne.rr.comtcoulombe@ne.rr.com