Via City of Phoenix
By InBusiness Phoenix
Phoenix City Council voted to enter into two purchase and sale agreements (PSAs) with local school districts in order to make ten acres of land available for more affordable housing units. The land will be purchased from the Isaac School District(4.56 acres for $3.1 million) and the Alhambra School District (5.54 acres for $2.3 million). In both cases, the City will then immediately sell the land in order for it to be developed into affordable, multi-family housing.
During the brief time Phoenix owns the property, the City will place a Land Use Restrictive Agreement (LURA) that requires the properties to be used for affordable housing for a minimum of 40 years.
Under Arizona law, a school district may only sell or lease school property to the State of Arizona, a county, a city, another school district or a tribal government agency required for a public purpose if the sale or lease of the property will not affect the normal operations of a school within the District. The City’s brief, yet crucial involvement in the PSA is a streamlined way to sell underutilized school district land while also speeding up affordable housing development. There will be no financial impact on the City.
