Housing Resources buys Palisade’s Wine Valley Estates at bargain price
A nonprofit housing organization has acquired Wine Valley Estates in Palisade, but Housing Resources of Western Colorado still has to decide what to do with the property, which is admittedly more upscale than the organization normally considers.
Housing Resources bought Wine Valley Estates, which is divided into 30 lots of 9,000 to 12,000 square feet, on Jan. 30 for $1.49 million.
The subdivision is off the frontage road south of U.S. Highway 6.
The lots are a “little bigger than what we like to build on” for self-help housing, Executive Director Dan Whalen said.
Participants in the self-help housing program help build their own houses and those of their neighbors.
It’s possible that Housing Resources will build on the lots, but it’s also possible the organization will trade the property for other land more suitable for the Housing Resources’ goals, he said.
Housing Resources acquired the money for the transaction through NeighborWorks Capital, which operates a revolving loan fund for just such purposes by similar organizations around the country, Whalen said.
One home already has been built at Wine Valley Estates and another lot was sold before Housing Resources purchased the remaining lots, Whalen said.
If Housing Resources uses Wine Valley Estates, the organization will try to shield the other homes, Whalen said.
“We’ll do what we can not to get right up next to them,” he said.
The purchase was admittedly a bargain, the kind of which might become more common in the coming months as the economy tightens, Whalen said.
“If we were not there to at least buy the lots, they would have been much worse off” and the development might have gone into foreclosure, he said.
The NeighborWorks Capital revolving-loan fund will be repaid as Housing Resources disposes of the lots.