Orleans trust declares 22 Old Tote surplus, approves transfer to Housing Assistance Corp with deed restrictions

The Orleans Affordable Housing Trust voted unanimously to declare 22 Old Tote Road surplus and to authorize staff to publish the disposition on the state central register, a step the trust’s staff said is required before a final sale can be executed. The action clears the way for a proposed transfer to Housing Assistance Corporation (HAC) for the nominal sum of $1, with HAC planning to invest roughly $474,000 to convert the building into four rental apartments.

A staff presenter said the trust bought the property in December 2025 for a fair-market value of $484,000 and that a 2024 town assessment put the value at $488,900; an appraisal obtained during the process came in at $500,000. Under the proposal HAC would acquire the building for $1 and fund the conversion work. "We do intend to enter into a purchase and sale and sell the property to Housing Assistance Corporation for the sum of a dollar," the presenter told trustees.

The trust reviewed how the project would count toward the town’s subsidized-housing inventory. One unit will be deed restricted and LIP-eligible (for households at or below 80% of area median income), and a second unit will be permanently deed restricted at up to 120% AMI; the two remaining units would be market-rate. The presenter explained the deed restrictions will be "floating" within the development, meaning the restricted designation can move among the four units so tenants who rise above eligibility thresholds need not be displaced from their unit if another eligible unit is available.

Trustees asked several operational questions about monitoring, notice periods for tenants who exceed income limits and whether the town can retain any future equity. The presenter said monitoring would be handled through the shared regional housing service office and that deed restrictions will spell out notice periods (the presenter said six months was typical but that the deed restriction language would specify exact timelines). Members raised whether the trust could require a future equity share or a right of first refusal on resale; staff said those options had been discussed but that the current project team and counsel had pushed back against adding such clauses for this transaction.

After discussion the trust approved the declaration of surplus by roll call; the vote was recorded with Mallerie, Scott, Susan, Tom, Fran, Mary and the chair voting in favor. Staff said the purchase-and-sale agreement and final deed-restriction documents will be returned to the trust for review next month.

Next steps: staff will post the disposition on the central register, finalize purchase-and-sale paperwork, and present final deed-restriction language to the trust for approval.