Developer plans homes in Sunrise for middle-income buyers
New Urban Communities Corporation plans to acquire city-owned land in Sunrise for a 28-home development earmarked primarily for middle-income buyers.
The Delray Beach-based developer will likely sell the single-family homes for prices “in the $400,000 range, which these days is pretty reasonably priced,” Tim Hernandez, co-founder of New urban communitiesTold The real deal.
“It’s less affordable now than when we started, with interest rates going up,” Hernandez said. “By the time we get it approved, I hope the mortgage rates will be descended.
Most of the 28 new homes would have deeds with income-based restrictions on their ownership under a pending development agreement between New Urban and the City of Sunrise.
New Urban agreed to the income-based deed restrictions largely because the city agreed to sell the development site at 1577 Sunset Strip to New Urban for $410,000 less than it paid seven years ago. year.
“The city feels like they’re selling it to us for a fair price, but that price comes with some restrictions,” Hernandez said. “They’re trying to remake this part of town, and we’re going with it. We’re trying to make a collaborative effort here.
In September of last year, the Sunrise City Commission approved a sale and purchase agreement under which the city would sell the Sunset Strip site to New Urban.
The commission on Tuesday approved an extension to New Urban’s deadline to obtain various city and county approvals for the 28-home development, as the sale and purchase agreement originally required them by Dec. 22.
New Urban now has until December 13, 2023 to obtain approvals for its pending development agreement with the city, a site plan for the Sunset Strip project, a rezoning, a flat proposal and an application for “units flexible” which would increase the allowable density of the project.
Under 30-year deed restrictions, New Urban would reserve seven of 28 planned homes for buyers who earn 80-100% of area median income (AMI), and another seven homes for buyers with 100-140% the AMI.
Buyers holding 100-140% of the AMI would also be eligible to acquire 11 homes with 15-year deed restrictions and three homes with no income-based deed restrictions. The median household income in Sunrise from 2016 to 2020 was $51,701 per year, according to the US Census Bureau.
The development agreement specifies that each home would have two stories with three bedrooms upstairs, two and a half bathrooms, and a one- or two-car garage. Planned homes range in size from 1,470 square feet to 1,870 square feet. They would encircle a common courtyard with a swimming pool and a playground.
New Urban has agreed to pay the city $500,000 for the vacant 3-acre development site in an area known as East Sunrise. The city purchased the site for $910,000 in 2015 from Living Faith Lutheran Churchaccording to Broward property records.
Sunrise then issued a formal request for proposals (RFP) to develop the site, and New Urban submitted the winning proposal.
“The city invested a lot of money in this area in terms of public improvements… They wanted something new [at 1577 Sunset Strip] to catalyze more investment there,” Hernandez said. TRD. “They also bought a few pieces [of property] north on Sunset Strip which they are also looking to redevelop. So that’s sort of the first.