NEWS
RELEASE
| PARTNERSHIP
RESULTS IN NEW SUBDIVISION IN BOONVILLE For Release 11-07-97
At the present time, the 46-lot subdivision has closed its first sale on a lot. Seven more are in the process of being sold, and closing on them is expected soon. Local financial institutions have expressed an interest in providing 95% financing for home purchases. The development cost of the land was estimated at $561,000 including land cost. The City contributed the land that was purchased with city funds of $100,000 and paid for part of the cost to administer the construction of the subdivision including engineering and planning.
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Build
it and they will come. That’s what has happened in Boonville for a new
46-lot subdivision. Lake Farrell Estates, a new subdivision in Boonville
has recently completed preparing the streets, lots and infrastructure for
the building of new homes. The significance of this development is that the
lots and homes will be more affordable than average as a result of a partnership
between the Missouri Housing Development Commission, the City of Boonville
and the Boonville Municipal Facility Authority.
Boonville
has, for the past several years, faced a shortage of housing that either
rents or sells in a range affordable to families with income of 80 to 115%
of median income. In February 1994, the city of Boonville hosted their own
public meeting "Boonville Forum for Affordable Housing Tomorrow" in order
to solicit input from citizens, potential housing developers, realtors, business
and civic leaders and pubic officials. The meeting was very well attended
and immediately there after the City embarked on a plan to increase the
availability of the affordable housing in Boonville.
In
Boonville, most of the housing built in new subdivisions sell for $85,000
and up. This is partially due to lot costs of $18,000 to $25,000 after the
infrastructure. In Lake Farrell Estates, lots will be approximately 10,000
square feet and will sell for approximately $12,000. The homes that will
be built on the sites will be sold for around $85,000.
In October of 1995, the
Missouri Housing Development Commission (MHDC) approved a loan of $461,000
to the Boonville Municipal Facility Authority for the development of the
lots for the subdivision. "Families who couldn’t quite afford to buy
a home will have a much greater opportunity to find safe, attractive affordable
housing thanks to this partnership that has resulted in the Lake Farrell
Estates," said James Kalthoff of MHDC. "This new housing subdivision is the
product of a mutually beneficial partnership between the state and the city
that will help meet a critical need for affordable housing in the Boonville
area."
The
Missouri Housing Development Commission is the state agency whose mission
is to provide quality, safe, affordable housing for low and moderate income
citizens of Missouri. More information about MHDC can be found on the web
at