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In Ohio we have two examples of for profit developers trying to 'buy' 202s which have 5-7 years to expirations.  Both of these developments are in areas where they may be converted to other uses (one student housing, one comercial/student housing.

 

In one case, developer loaned/donated $500K to a tax exempt non profit.  The Board of the non profit then appointed the developer and two of his family members to become the 'new board' of the property.  Tenants believe that the 'new board' will run out the clock on senior only restrictions in 2017. 

 

We don't know the shape of the 2nd deal since no paperwork (only informed insider info) has surfaced. But the subject property is in a redevelopment area near a university that is fostering the development of student housing and across the street from a hospital.

 

Does anyone have any ideas about tools that tenants/stakeholders can use to block these developer based take overs of 202s or to compel the new owners to reinvest in the properties and extend eligibility.

 

PS:  the Ohio preservation community is also reeling from news of a deal that will displace 200 senior households from a property  near Kent State University where the new owners will market to students.  The seniors had month to month leases at a very affordable rate with no local/state/federal restrictions.  ie no protections!

 

 

 

 

 

 

 

 

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