More than 205 foreclosed Nashville homes could be purchased and rehabbed under a $30.5 million federal grant approved by the Metro Development and Housing Agency’s seven-member board Tuesday. (See related story.)
As part of the Neighborhood Stabilization Program established in the American Recovery and Reinvestment Act, 56 cities nationwide received grants to help shore up markets in depleted neighborhoods where foreclosures are hurting property values. Nashville was the only city in Tennessee to be selected.
According to MDHA Executive Director Phil Ryan, grant money will likely be directed to homes in Madison, and southeast and north Nashville.
“The purpose is to try and take neighborhoods where there is a concentration of abandoned houses and foreclosed houses and try to purchase some of those, fix them up and repair them, and get families back in them,” Ryan said.
Under the plan, a large chunk of the money is reserved for various affordable housing groups that would buy and refurbish at least 205 foreclosed homes. The remaining sum is designated to benefit some 100 homeowners, who would make down payments to turn vacant lots into affordable rental property.