Holding Off on Historic Tax-Break Decision Gives Durham More Time

Preservation has been one of the key forces for economic development in Downtown Durham. But now City Council members are looking at tightening eligibility requirements for a tax-break program for historic landmarks, fearing revenue loses for the city. Council voted 6-0 last night to wait until May to decide whether to designate six properties as historic landmarks.

“The delay is supposed to buy time for city/county planners to come up with potential changes to the landmark program that could tighten eligibility requirements facing property owners," according to Ray Gronberg of the Herald-Sun.

In today's Durham paper Gronberg cited City Manager Tom Bonfield as saying that "it's possible the effort could take longer than six months, as there's ‘quite a bit of staff work’ facing officials in the City/County Planning Department.

“Council members signaled their intention to postpone debate on the applications before giving preservationists and downtown business leaders a chance during Monday night's meeting to speak on the idea.

“Once they did, it became apparent the move had opposition. Critics said the council shouldn't back away from a well-considered policy that has helped draw investment into troubled neighborhoods.

“Even downtown, ‘it's obvious that historic preservation has been the driving tool for economic development in this community,’ said John Compton, executive director of Preservation Durham.

“Another critic, Gary Kueber of Scientific Properties, noted that landmark-driven property tax breaks helped make his employer's renovation of the Golden Belt business center on East Main Street possible.

“Given that city officials tout the Golden Belt project as one of the signature efforts in the comeback of downtown and North-East Central Durham, it's ‘not consistent in my mind to damage the programs that have made [that] success possible,’ Kueber said.

“The delay came after council members and County Commissioners alike raised questions like month about the program, which gives owners of council-approved landmarks a 50 percent break on their property taxes.

“For both board, the worries about the program are financial. The six pending applications would cost the two governments a combined $41,902 in revenue each year.

“Some officials fret that given how many old homes still exist in Durham, the revenue loses could mount as more people take advantage of the program.

“But Compton noted that being a landmark isn't all benefit for a building's owner. The label in addition to a tax break means giving up some future redevelopment rights, and submitting plans for exterior renovations to a veto-wielding city/county Historic Preservation Commission.

“City Councilmen Mike Woodard and Howard Clement, who were among those who questioned the program last month, both said Monday they don't want to end it.

“Woodard agreed with preservationists that it's likely tax-break fueled repairs to some properties have actually boosted the local tax base. But he said he wants to see documentation of that, perhaps even as part of the process for reviewing applications.

“He also said the city's Office of Economic and Workforce Development perhaps deserves a role in the review process.

“The full council Monday. The vote went in the books as a 6-0 because Councilman Farad Ali abstained. Ali is co-owner of a house on North Mangum Street that's on one of the pending applications.”

Based on an article by Ray Gronberg
gronberg@heraldsun.com; 419-6648

Potential buyers learn about East Durham historic properties

Whenever there's an old home tour, you can normally find me volunteering as a docent (a tour guide) in one of my favorite established neighborhoods when I am not doing an Open House for one of my own real estate listings.


When Herald-Sun reporter Cliff Bellamy visited the old Gardner House at 1817 Vale St. during Preservation Durham's East Durham yesterday, I tried to help him imagine what the house could look like after the vinyl siding had been removed, the broken windows had been repaired and the old baseboard heaters were gone. And I was pleased to open today's Herald-Sun and see that he had shared some of my comments with his readers:


East Durham Open House visitors get advice, eyeful


By Cliff Bellamy
http://heraldsun.com/bookmark/3725552


DURHAM -- "Some floorboards inside the two-story home at 402 Clay Street are buckled, showing signs of age and neglect. Upstairs, a window in one of the rooms has been removed, exposing the sturdy lathe wall construction -- this was decades before drywall -- of this 1900 house.


"It needs work, but looking at the house from across Clay Street, the house, with its wraparound porch, already shows initial signs of new life. Preservation Durham, which owns the house, has scraped the old paint, exposing wood siding in good shape.


"The Clay Street house was among five Preservation Durham houses that are for sale and were open for inspection Sunday during the East Durham Open House Event. In addition to Preservation Durham houses, visitors also could tour several homes owners have restored and now occupy, and several houses for sale by area Realtors.


"The first stop-off for the tour was 201 S. Driver St., the home of Kim Sage and partner Karen Sage. The purpose of the tour was to let potential buyers know about the historic district tax credits and loans available for restoring the historic properties, and to "dispel some misconceptions about the area," said Aidil Collins, a Vale Street resident. One misconception is that this part of East Durham is not family-friendly, when it fact many families live in the area and maintain homes.


"The Sages have been in their home since 1988, and did about 95 percent of the restoration work themselves, said Kim Sage. While the area had some tough times in the 1990s, in the last few years she has seen the neighborhood reviving house by house.


"'We fell in love with the house,' Kim Sage said. 'We wanted to live in an integrated neighborhood. We were looking at starting a family. ... We bought it.'


"Other organizers of Sunday's event were Up Lift East Durham, Preservation North Carolina and residents in East Durham.


"Potential urban pioneers received plenty of advice about fixing and financing. Over at 118 S. Driver St., Todd Hershberger, who works for Trinity Design/Build, was volunteering, and gave visitors a demonstration in window restoration. Hershberger, using pry bars, pulled moulding away from a window, revealing some water damage underneath. He explained that a major challenge in restoring old windows is getting them to work as originally intended, and an enemy of that is layers and layers of old paint.


"Legacy Green, a local organization that seeks to provide 'environmentally sensitive, economically inclusive housing options in traditionally underserved communities,' is fixing up 102 S. Driver St. for sale. Tiffany Elder showed visitors the vaulted ceiling revealed after a drop-ceiling was taken out. Elder told visitors the area she was standing in would be transformed into a commons and kitchen area with a high ceiling. Legacy Green had papers available explaining financing for someone who might want to buy the house when it is restored.


"Elder pointed to recent renovations in the Burch Avenue neighborhood and examples of Legacy's success. 'I believe that socio-economically mixed neighborhoods are the best neighborhoods," Elder said.


"The Gardener House at 1817 Vale St., also a Preservation Durham House, still has vinyl siding covering the original work, old baseboard heaters and a broken window. Volunteer Lisa Janes pointed out how a room near the entrance could be converted into a nice parlor, with another entrance that could be cut away from the wall. 'There's just so much potential,' Janes said."

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I spoke volumes, but my one sound bite in the article was "There's just so much potential," Janes said. It's funny what a reporter will pick up on! :D