ANAHEIM : City Seeks Developer to Restore Homes

The city is looking for a developer willing to buy and restore 10 historical homes as part of an effort to establish a neighborhood of such houses in the downtown area.

The deal works this way: For about $400,000, a developer can purchase 10 homes and 10 lots of land. The developer will restore and expand the 1920s and 1930s homes to city specifications, then sell the houses at a profit to people who will live there. The city will help finance loans for home buyers.

“The catch is we’re writing down the cost of the land to about $30,000 per property because it is so expensive to fix up the homes,” said Eric Nicoll, housing development manager. “It’s a good deal for somebody.”

The houses will be moved to Philadelphia, Cypress, Kroeger and Emily streets, an area east of City Hall where the city is trying to consolidate remaining historical homes. Seven or eight of the houses, most of which are of the California bungalow style, are in very poor condition, Nicoll said. The cost for restoring the homes is estimated at $65 per square foot, which approaches the cost of some new homes, he added.

The city Redevelopment Agency is picking up the cost for underground utilities, street lighting, sidewalks, alleys, curbs and some landscaping. Nicoll said the city would like the restoration to be finished in one year.

Six of the 10 houses are being moved from other lots in the downtown area to the historical neighborhood to make way for a 400-unit housing development scheduled to break ground next year.

After demolishing most of the downtown’s older commercial buildings in hopes that vacant lots would attract developers, city officials are now working to retain a historical flavor in the area.

“We have a commitment to try and restore what’s left,” Nicoll said.