- The deed restrictions last for 30 years
- The units are being sold for $169,900 to $294,742
- All the buildings are three-story townhouses
EAST PROVIDENCE − Want to own a brand-new condo with central air on Taunton Avenue in East Providence, surrounded by shops and cafes?
And what if that condo was just $169,900, almost unheard of in the post-pandemic market?
That is the reality with 13 new three-story townhouses now being finished in a complex that goes down Ivy Street.
The income-restricted units range in price, up to $294,742, with a litany of requirements for would-be buyers, and the list of people who have already applied is long − 227 people.
The Ivy Place condos are being built by NeighborWorks Blackstone River Valley, a nonprofit housing developer. They should be complete by the fall.
The biggest catch is that all the units are income-restricted, ranging in maximum area median income (AMI) from 60% to 100%. More on that below.
Resource Development and Communications Director Meghan Rego said she expects about half of the current list of 227 people to make it through the income verification process and make it to the actual lottery.
Applications are open until June 16, so that number could still rise.
The property once held a movie theater, Real Estate Development Co-Director Bill Lewis said, before it was torn down and left an empty lot.
Interested?Here is the direct link to apply to the lottery
How much will the units be sold for?
The sale price of the units depends on both the type and the income bracket of the buyer
In all, there will be six separate lotteries:
- a single accessible unit at 80% of area median income ($232,900)
- four 3-bedroom units at 60% of area median income ($169,900)
- three 3-bedroom units at 80% of area median income ($232,900)
- one 3-bedroom unit at 100% of area median income ($294,742)
- two 2-bedroom “live/work” units at 80% of area median income ($207,900)
- two 2-bedroom “live/work” units at 100% of area median income ($263,900)
What do the units look like?
The 13 units are spread across three buildings, two on Ivy Street and one on Taunton Avenue, with all three buildings sharing a rear parking lot.
The other two buildings, with exteriors alternating red, yellow, green, blue and grey, have four townhouses each, with garages on the first floor. All of those units have three bedrooms.
East Providence Mayor Roberto DaSilva said the city has been supportive of the development, which benefited from an overlay district that reduced the amount of parking required, allowing the project to add more units.
“This is the concept we should be adopting on all commercial corridors,” he said. “We want people living there to make the downtown, the commercial areas, vibrant with people, alive. They took a vacant lot, an eyesore, and are now turning it into a commercial space, housing people who are just starting out.
His hope is that other developers will see East Providence is welcome to new development in its commercial corridors and consider transforming the empty lots and vacant buildings into new uses, DaSilva said.
What are live/work units?
There are four units in the dark green Taunton Avenue building.
All of them are “live/work” units, with the first floor zoned as a dedicated commercial space fronting on Taunton Avenue. On the third floor are the two bedrooms and a combined kitchen and living room space is on the second floor.
The Taunton Avenue building is plumbed differently than the other two buildings, with a commercial sprinkler system.
One of the 13 units in the complex is considered accessible and compliant with the Americans with Disabilities Act, and accessible for someone with mobility problems or using a wheelchair. While the townhouses are all three stories, the one accessible unit has an elevator.
The accessible unit is one of four regular units being sold to people at or below 80% of the area median income, going for $232,900.
The elevator cost an estimated $60,000. Were the accessible unit being sold on the market, Lewis estimated it would sell for $450,000 to $500,000.
What are the requirements to buy?
To be entered into the lottery and be allowed to buy one of the units, prospective buyers need to:
While the application is “easy,” it does require some documents, including a few pay stubs, a tax return from last year and, for anyone with a side hustle, evidence of income from those jobs, Rego said.
Some things that can disqualify buyers are high debt-to-income ratios and low credit scores, below 580 to 620, Lewis said.
The equation for a debt ratio is simple: Add all your monthly debts and divide by gross monthly income. Most lenders won’t extend a loan if a debt-to-income ratio is above 45%.
The income limitations depend on family size and recently increased after the Department of Housing and Urban…
Read More: Lottery opens for 13 affordable condos in East Providence