The first residents of the new Chaska Yards affordable housing complex will soon be moving in after meeting eligibility requirements designed to help families and individuals buy and manage their first home.
One totally rehabilitated house and three newly constructed homes, situated on a lot in the heart of downtown Chaska, now sit empty. But they will eventually become a hub of activity and stand as a testament to a successful affordable housing partnership with the city of Chaska, Carver County Community Development Agency (CDA) and Metropolitan Council of the Twin Cities.
The Chaska Yards complex is the newest addition to the Carver County Community Land Trust that provides a gateway to homeownership for low- to moderate-income families or individuals.
Under the land trust arrangement, the organization retains ownership of the land and instead executes a 99-year lease with homebuyers, helping to reduce the cost of each home.
The agreement also stipulates that when the home is sold to another income-eligible buyer, the homeowner retains just 25% of the accumulated equity in the house while the remaining 75% stays with the trust.
“It’s a wonderful model for home ownership,” said Melodie Bridgeman, the CDA’s director of community development.
“The communal interest program is not for everybody,” admitted Kari Steen, Community Development specialist, “but it’s a fantastic, truly affordable opportunity.”
The key centerpiece of the Chaska Yards development is the historic Ernst/Reidelle house, which has been restored and completely renovated to modern standards.
The house, which was moved from Firemen’s Park to Walnut Street in 2014, retains 80 percent of the home’s original wood floors and the Chaska Brick exterior. The four-bedroom, three-bath house, featuring 2,796 square feet of living space, is listed at $304,900.
“The house sat vacant for quite a few years,” Steen explained. “The city tried to get a couple different contractors to rehab it, but it just didn’t work. That’s when they contacted the CDA.”
Bridgeman said the Chaska Yards project was launched as a result of that partnership and thanks to grant funding that made it all possible.
“It became an opportunity to do something different,” she noted.
The three new homes on the joint property — priced from $249,900 to $264,900 — are each 1,800 square feet in size and feature three bedrooms and three baths. There’s a shared garage building on the property that provides one indoor stall and one outdoor parking spot per unit.
The Chaska Yards project was completed by DDK Construction Inc. of Chaska in just under a year.
“They did a phenomenal job,” Bridgeman said.
According to Bridgeman, the land trust program targets households at 80% of the area’s median income. Prior to approval for buying a house, eligible buyers are required to complete an education program that helps ensure the homeowner’s ongoing financial stability.
A number of potential buyers are currently working their way through the approval process and meeting with lenders to wrap up purchase agreements.
Since 2009, the Carver County Community Land Trust has provided homeownership opportunities for low- to moderate-income families and individuals. They currently have 48 homes in 11 communities that are part of the land trust.
Unlike the Chaska Yards project, many of the homes in the land trust are existing homes in Carver County priced at or below $300,000. Program officials work with buyers to purchase the properties and renovate them. In those cases, the land trust ends up owning the land and executing a similar 75%-25% equity-sharing agreement that gets buyers into homes more quickly.
