There are a bunch of individual-owner LRA projects in works in Old North right now (as opposed to something like Crown Square where they included LRA properties in a larger development). I find people are surprised by how easy it is for an ordinary, non-pro developer wannabe to buy a $500 building from LRA and get a solid loan to rehab it. So I want to post some examples here. If anyone has questions, they are welcome to post or to reply to me offline at manzarbe "at" hotmail.com



I'm inspired today, because a new one just got started! A couple who live in South City are buying a convertible 2-family or single-family on N 19th in ONSL. This is a great historic building in a great location that has no back. However, the gut rehab budget is still around $150K, as the inside is in surprisingly great condition. The income is likely to be around $1000 for the two apartments. N 19th is a main pathway for people trickling down from Hyde Park to the bus routes (and future Metrolink) on Florissant. The location is also very convenient to 70/44 and McKinley Bridge, so apartment space is ultra-desirable here and easy to fill.



The apartment income gives the buyers immediate cash flow of $125/month. The project is also eligible for a whopping 40% tax credit for everything they put into it above the $500 purchase price. If they use the tax credit to pay down the loan, they will start netting $400/month. They will also be able to offer to buy the LRA lot next door at a very low price.



Here's a link to some "before" pics of this block. The project house is 3240, the third one down Note they are old pics. There are other rehabs in progress now, soon we will get Rob to update his pics!



http://builtstlouis.net/northside/old_north017.html

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That is great to hear! Please keep us posted on what's going on in the neighborhood.

barbara_on_19th wrote:There are a bunch of individual-owner LRA projects in works in Old North right now (as opposed to something like Crown Square where they included LRA properties in a larger development). I find people are surprised by how easy it is for an ordinary, non-pro developer wannabe to buy a $500 building from LRA and get a solid loan to rehab it. So I want to post some examples here. If anyone has questions, they are welcome to post or to reply to me offline at manzarbe "at" hotmail.com



I'm inspired today, because a new one just got started! A couple who live in South City are buying a convertible 2-family or single-family on N 19th in ONSL. This is a great historic building in a great location that has no back. However, the gut rehab budget is still around $150K, as the inside is in surprisingly great condition. The income is likely to be around $1000 for the two apartments. N 19th is a main pathway for people trickling down from Hyde Park to the bus routes (and future Metrolink) on Florissant. The location is also very convenient to 70/44 and McKinley Bridge, so apartment space is ultra-desirable here and easy to fill.



The apartment income gives the buyers immediate cash flow of $125/month. The project is also eligible for a whopping 40% tax credit for everything they put into it above the $500 purchase price. If they use the tax credit to pay down the loan, they will start netting $400/month. They will also be able to offer to buy the LRA lot next door at a very low price.



Here's a link to some "before" pics of this block. The project house is 3240, the third one down Note they are old pics. There are other rehabs in progress now, soon we will get Rob to update his pics!



http://builtstlouis.net/northside/old_north017.html

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Plans for 3240 have changed since Barbara posted this. The budget is going to be somewhat higher and we are going to owner-occupy, not use this home as a rental property. We bought the house and vacant lot next door from LRA and will use them as a single property once our state historic tax credits are approved. McKee owns half of the house next to us and a few lots across the street, but otherwise we are surrounded by rehab.



Electric, HVAC and plumbing are being installed this week. My wife is there today, laying hardwood floor in the back where the old floor had rotted away. Windows will be delivered tomorrow and will be installed over the course of the next week. Our masons have been slowed by the cold, but will continue tuckpointing and cleaning as the weather improves. Drywall is expected in a couple of weeks and exterior doors, too. A lot of the original trim was still in the house, but we'll have to get quite a bit milled, too.



This project has been difficult and at times frustrating, but very rewarding. If anyone would like to come look at the place or has questions about Old North or buying and renovating an LRA house, I'll be happy to answer the best I can. Oh, and bonus: one of my friends just bought me an early house warming gift - a St. Louis Style t-shirt (Old North St. Louis: Something's happening here). How cool is that?



See before and after pics here: http://web.mac.com/heidisever/3Walls/Th ... ter.html#1

Glad to hear the project is moving forward.

The housing market may have slowed rehabs in ONSL, but I happen to be closing on my little slice of rehab fun in the neighborhood on Tuesday. I snagged one of the houses recently purchased by the ONSLRG from LRA in pre-stabilization condition. (Another nearby house is also being purchased for full rehab.) Look for a dedicated blog coming soon. I've had my eye on this house since early 2007 when I first surveyed it for the Restoration Group during my internship. If you know me, you have heard me talk about it many times since. It's a dream come true.

Congrats, Matt.



Are you going to be doing much of the work yourself, or will ONSLRG handle the contracting?

I will be serving as my own GC. I will be doing a lot of the work myself, with the help of family and skilled friends.

Can't wait to see pics.

Two former LRA house purchases closed this week, including mine. The other buildings that were purchased from LRA are currently being stabilized and are offered for-sale for the cost of stabilization. All are historic tax-credit eligible. These are opportunities for someone that may want to do a rehab that is still fairly extensive, but not the full gut.

Any new rehabs/stabilizations underway?

Matt mentioned the 8 LRA houses that the Restoration Group purchased - two went to private buyers, one to Matt and another to a mason who has done a lot of work in Soulard, and the others were stabilized and are available for purchase. I don't know of any other LRA projects going on though, since financing is difficult to find these days and LRA requires full financing be in place before they will sell to an interested buyer. There are a few projects going on now where rehabbers bought from private sellers, though.

One is a restoration of a three story house with a storefront, where the rehabber completely took down the front of the house and relaid the brick. Restoration of the mansard roof is coming soon.

A family just moved into their rehab on Hebert, the neighborhood's most stable street. Work isn't done on the entire house yet, so that work is ongoing.

A couple closed a few months ago on a small house and are finalizing their drawings and getting contractors lined up to begin work.

Two huge owner-occupied two family rehabs are in progress and should be completed this quarter. These places look amazing.

Another huge building is quietly being rehabbed into multiple units by an owner-occupier. I don't know what stage he's in, but I hear he's doing some good work in there. Barbara (the OP) is still rehabbing her huge 6 family building, too.

And it was just announced that 17 new houses will be built in the neighborhood with a progressive, modern design that matches the scale, massing and setback of the neighborhood. The builder is pursuing LEED certification and are offering things such as geothermal heating, universal design and other nifty features. These are being constructed by Habitat for Humanity starting in late February. EcoUrban has expressed some interest in building in the same area and attended a meeting with the neighborhood last night to discuss some of these plans.

There may be more, but that's all I can think of off the top of my head.

Wow. Nice report. Thanks.

The above referenced former LRA properties are pictured below. Prices are very reasonable on these properties, and all are Historic Tax Credit and Real-Estate Tax Abatement eligible. If you are interested in one of these buildings, contact the Old North St. Louis Restoration Group at 314-241-5031, or info at onsl.org. Or, just send me a message and I can get you the details.

1300 Monroe. This building was pictured in a New York Times story about the decay of St. Louis back in 2007. Unfortunately, framing the building with the Arch in the background ignored the new houses and rehab apartments just a couple hundred feet away.







1217 N. Market. As you can see, there are new homes on this block and adjacent rehabs. This building is only about 1100 Sq. Ft., which would make for a pretty manageable rehab.





1309 N. Market. This building is probably in the worst shape of the group, but it presents a pretty clean slate in a building that is around 1400 Sq. Ft. It is also located across from and next to new homes and rehabs.This building may date from the early 1850's, making it one of the oldest, if not the oldest in the neighborhood.







1313 Benton. This house is on the same block as a rehab in progress, and is just a block from the Crown Square redevelopment project.







1312 Warren. This building was not bought from LRA, it was purchased at a tax sale a couple years back. It is wedged in between two of the Crown Square Apartment buildings that were completely renovated in 2007-2008. It did suffer a fire causing minor damage, but has been well boarded since.

I love that house on Monroe. It just looks so lonely.

DeBaliviere wrote:I love that house on Monroe. It just looks so lonely.

There's a way to fix that, you know. Wink wink nudge nudge. Matt can help you with the necessary paperwork whenever you are ready.

It just so happens that I do. Renderings and site plan. But not with me, so you will have to wait.

Personally, I'm fine with the houses. The form, massing, scale, and siting are proper for the neighborhood. I have no problem with not using brick, especially considering they are Habitat for Humanity Home, certainly a worthy cause.

Habitat said not to take the site plan verbatim. It's just to give an idea of where the houses are going. I'm not sure on the exact setback, but renderings show it matching existing buildings.