Box 5, Folder 10, Document 54

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May 2, 1968

The regular montly meeting of the Housing Coordinating
Group and Housing Resources Committee Executive Group was held
in Committee Room 2, City Hall, May 2, 1968, at 10:00 a.m,

Copies of the invitational notices, agenda, record of those
attending and reference documents are attached to the file copy
ef these minutes,

Chairman Cecil #. Alexander presided.

Mr. Alexander oper:3 the meeting by asking Mr. Archer Smith
to give the Committee a report on school construction. Mr. Smith
presented the following two proposals:

(1) Approach the State School Building Authority about them
leasing school buildings and then sub-leasing them to the City.
The State could lease the premises from the developer for 30/40
years and turn them over to the City of Atlanta on a Sub-lease
basis. It would take a political decision by the State to
re-vamp procedures to allow this. One advantage to this proposal
would be that it would apply to all school systems if they so
desire. (This was considered perhaps the simplest course
of action.)

(2) Have a local constitutional amendment passed allowing
the City School Board to enter into leases on a long term basis.
This local amendment would be the more solid way and the local
amendment would be easier to pass.

Mr. Alexander asked if the School Board had been approached
to see which course of action they would prefer? Mr. Smith
Stated that they had not, officially, but the School Board would
probably go along with either method. Mr. Jones suggested that
the Committee authorize the Legal Panel to contact the School
Board and see which they would prefer and then pursue that course.
A&A motion was made, seconded and adopted that the Legal Panel
be so authorized.

Mr. John Chapman appeared before the Committee to discuss
a proposal for building lcw-income housing. He said housing for
the lowest income families would probably need to be financed by
the Federal government; that housing for medium income families
could be financed through private corporations. He was suggesting
Gwelling units with rent. range-of $70-$80-$90 for 1, 2 or 3
bedrooms respectively. He proposed forming a limited profit
corporation, the members of which would each put up a certain
amount of front money, with the intent of building developments
Which would produce 4-5% profit, instead of the customery 14-
15% profit. He proposed using private conventional financing


entirely, with no connection with Federal assisted programs.

He advised he would try to contact several private corporations
about putting up money at a reasonable rate of interest and that
if he got enough response from private corporations that this
could be done, he would inform the Committee of the reaction

he received from this idea.

Mr. Alexander commented on and referred to an article by
Vincent T. Burke, in the Los fngeles Times, March 18, 1968,
relating how certain Negro families in Washington had been
assisted by a tiny non-profit "Home Buyers" group in obtaining
home ownership without any assistance from Federal programs
or organizations. (Ccpy of the article is attached to the
file copy of these minutes.) :

Mr. Persells reported to the Committee on the Honor Farm
No. 1 Site proposed concept. He presented a map showing
approximately 120 acres between the Federal Penitentiary and the
Thomasville Urban Renewal Project that the Federal government
proposes to turn over to the City for urban improvement,
including housing. He explained that the portion of the property
to be developed for housine and related commercial could be
either turned over directly by HUD to developers, turned over
to the City to put out for bids, or go to Atlanta Housing
Authority for development through process of Urban Renewal.
4 meeting of the Aldermanic Planning and Development Committee
is to be held to consider what should be done. Mr. Persells also
advised that « new park area is to be developed and an Elementary
School and a "Middle School" are to be constructed in the area,
The question was asked about how housing could be developed in
the shortest length of time. Mr. Persells responded we would
be unable to start building until a street and sewer system was
begun; that is the biggest delay. It was suggested that the land
could be sold to a developer and he could put in the street system
Simultaneous with the housing development. Two choices were

(1) The City or developers could go in and put in the
street and utilities at their expense of about $270,000.00.

(2) Have streets put in by the Housing Authority as an
Urban Redevelopment expense.

Mr. Persells explsined that fronaf financial standpoint and
time element, the most favorable sollution would be to have the
Housing Authority put in the street and sewer system at Urban
Redevelopment expeuse, because the schools would have to be built
any way, and the City would receive credit for the schools which
would more than pay for the expense of putting streets and sewers
in and that they could be put in while the developers were
getting their plans approved by the Federal government.


Mr. Persells advised that topographical maps and surveys
had already been made. He also reported that there was a small
triangle of land the Federal government doesn't own; stated there
were some titie difficulties and the only sure way and quickest
way to get clear title to the property would be condemnation
proceedings through the Urban Khenewal process. The Land to be
developed for housing and related commercial is to be offered
for sale on May 27, 1968, to developers, with proposals called
for. Additional land, 17 single-family lots, is to be added to
the Thomasville Urban Renewal Site for sale, with ground
breaking between May 20-28. Approximately 50 acres of the 129
acre tract of land would be available for housing.

Mr, Archer Smith, made a motion that a formal resolution
be drawn up that the Housing Resources Committee goes on record
as urging the support of the New-Town-In-Town project concept
conditioned upon a subStantial portion of the project to be
developed for lowest-income housing. If this condition is not
met, then the Housing Resources Committee goes on record as
opposed to the project as presently planned. Motion was seconded
and unanimously adopted, with instructions that copies go to the
Housing Authority, Mayor Ivan Allen, Jr., Members of the Board
of Aldermen and to Mr. Baxter, of HUD.

Mr. Howland announced that the CACUR non-profit housing
development corporation has now selected five units for re-
habilitation under 221 (h) and expected to have them under way
Within 60 days.

Mr. Alexander then asked Mr. Jones to explain a proposal
he had been working on for accelerated low-income housing develop-
ment in the Model Cities area.

Mr. Jones explained the concept and stated that a development
team waS very anxious to get a tract of about 10 acres for an
experimental housing development to start this summer. He
read a letter just received by the Mayor from Mr. H. Ralph
Taylor, Assistant Secretary, HUD, proposing a HUD sponsored
experimental ‘housing project in Model Cities area in selected
cities to be carried out by a prime contractor to be selected
by HUD; and inquiring if Atlanta desired to cooperate? Mr.

Jones explained that this tied indirectly with the proposal

he has been working on; that because of multiple ownerships,

it is virtually impossible for private developers to acquire

land in the Model Cities area for this purpose; that therefore

he has studied the area and looked at certain sites, with

others, including a representative of Model Cities, and has
selected two tentative sites, having badly dilapidated housing
which will in all probability be demolished any way, and has
marked these on a map for consideration of the Model Cities staff.

Mr. Jones proposed "advanced land acquisition" to be
requested in the Model Cities area on such a site to be ‘
slected so they would get started on construction of approximately
a 10 acre site as soon as possible. A motion was made,
seconded and adopted that the Housing Resources Committee
recommends that a Suitable site be selected in the Model Cities
area for accelerated development of low-income housing
(preferably under the experimental housing concept) and that
application be made to HUD for authority to acquire the site
under the "advance land acquisition" procedures; that copies
be provided the Planning and Development Commmittee, Mayor
and Board of Aldermen and HUD.

Mr. Persells stated that he concurred and that the Housing
Authority would gO in’soon with a request that the entire Model
Cities area be placed under a GNRP so that this could be done
as part of an Urban Renewal Project within the Model Cities area.
He requested support of the BRC to the Planning and Development
Committee, the Mayor and Board of Aldermen and to HUD on that
proposal so that the "advance land acquisition" could be legally
implemented. The Committee agreed to support the GNRP proposal
for this purpose.

Mr. flexander informed the Committee of ground-breaking
on the first Turnkey Housing project in ftlanta on Hollywood
Road, N.W. at 2:00 p.m. on May 9, 1968. All were invited; that
Mayor Ivan Allen, Jr., would officially break the ground for the
202-unit development. Copies of the announcement, prepared
by the Housing Authority were distributed.

It was announced that the report from the Ad Hoc Committee
on Low-income Housing Analysis will not be ready and that it
would be discussed at a later date,

Mr. flexander announced that a conference will be held
May 29th at the Dinkler all day, consisting of debates and
discussions on legal aspects, employment, workshops, etc., on
equal opportunity in housing.

Mr. Alexander explained briefly the progress made on
Package Zoning.

Question. was asked if a formal resolution has been adopted
by the ARC Executive Committee on the proposed Package Zoning
Plan, The Committee was advised that such resolution had already
been adopted supporting this plan. Mr. flexander also stated it
is anticipated that the plan would receive the support of
humerous civic and business organizations and radio and television.

Mr. Alexander read a Press Release from HUD afliouncing
authorization of trailers (mobile homes) for temporary housing
in Urban Redevelopment projects.

‘ir. Alexander also commented on the necessity for positive
action soon for improvement in the NASH-BANS area, through
Urban Renewal or otherwise.

The meeting adjourned at 12:00 noon.

Respectfully submitted,

Malcolm D. Jone
Housing Coordinator

Encls: fs stated (with file copy only)

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