IS IT TRUE that the Lincoln Estates complex had 112 residential living units when the new owners picked it up from a bank that had repossessed it?…the reported sale price of around $2.6 million works out to $23,000 per unit which is a heck of a lot cheaper than the $240,000 per unit that the government paid to turn the old safe house into apartments?…there must be a reason that the Lincoln Estates complex was recorded as a “zero dollar” transfer back in 1999?… If government protocol was used in the construction the taxpayers may well have paid today’s equivalent of over $200,000 per unit or more than $20 million to build the place?…there would have plenty of pork to feed plenty of cronies well on such a job?…the reality of what Lincoln Estates is worth in the real world is the $23,000 per unit that the new owners just paid?…at a comparable cap rate of 8 percent and a scheduled rent of $900 per month per apartment, the new value of Lincoln Estates will likely exceed $10 Million, proving that private money is smart money and government money is just plain dumb?
IS IT TRUE that the saga of the Lincoln Estates affordable housing project is unfolding daily and the rats are scattering from the ship as reality is being exposed?…one reality that has come forward is that the complex was built using tax credits that were available back in 1999 when it was built?…we will assume that the construction company made a hefty return at the expense of the taxpayers and that the workers were paid according to the inflated government scale commonly known as “prevailing wages”?…it is likely that both the workers and the company were winners in this well subsidized project and the taxpayers lost?
IS IT TRUE that the daily management of the Lincoln Estates project was carried out by the Evansville Housing Authority after opening with smiling politicians mugging for the camera?…there were many tenants admitted to the apartments and the lion’s share of them were subsidized by the taxpayers?…even with guaranteed rent payments courtesy of the taxpayers, the complex always came up short financially?…eventually the complex failed and was repossessed by the bank that held the note?…we find it extremely interesting that the Evansville Housing Authority wanted to buy it from the bank after managing it into the ground years before but the bank was not interested in their low ball offer?
IS IT TRUE that today a new owner that is very hard to pin down has the deed may be converting this property into market rate properties?…after 18 years, many taxpayer dollars down the drain, countless tenant inflicted damages, and egg on many faces, Lincoln Estates is now in private a developers hands?…that so far the only winners are the people who got subsidized rent for all of these years and the original construction group?
IS IT TRUE that the question arises as to what the prospects for success for the new owners will be?…Lincoln Estates sits on the edge of downtown Evansville which is well poised to absorb this number of residential units due to the handful of medical students who will soon be studying in downtown Evansville?…one of the demographic statistics that has limited the ability of downtown Evansville to attract basic things like a grocery store, a pharmacy, or even a gas station has been the fact that there are not enough people with disposable income living there? …if the new owners adopt a new business plan to keep subsidized tenants out and charge market rates like the McCurdy is to the new tenants, they are very likely to have a profitable future?
IS IT TRUE that many people are blaming the new owners for the misfortune of relocation that is being suffered by the former tenants?…in reality, the blame for the failure of Lincoln Estates lies squarely on the backs of the Evansville Housing Authority and the other un-named stakeholder who failed to manage a Section 8 housing project in at least a break even way?
IS IT TRUE we wonder why Mayor Winnecke decided to sell the once not-for-profit Evansville Housing Authority to a group of for profit business people? …we wonder how money did the business investors pay the city to acquire the assets of the not-for-profit Evansville Housing Authority? …we wonder what city account was this money deposited in?
IS IT TRUE we wonder if you would like to know who were the owners of Lincoln Estates before Bayview Loaning Service LLC took over the ownership of this property in 2016?
IS IT TRUE the real question is now, “which public housing complex located in Evansville will be the next to fail?”
Todays “Readers Poll” questions is: Would you like to know who were the owners of Lincoln Estates before Bayview Loaning Service LLC took over the ownership of this property in 2016?