Developer Takes Hair Cut On Land For Senior Housing Development

In one of the better examples of how the credit crisis is affecting both senior housing developers and municipalities, the News Herald in Burke County, North Carolina ran an article recently detailing Morgantown’s repurchase of land from Steven D. Bell & Company.  According to the article, the 6.8 acre parcel was sold in 2006 for $462,000 and is being repurchased by the town for $303,443 and is being financed by the seller over three years.  Developer sells parcel back to municipality for .65 on the dollar and needs to provide seller financing for the transaction?  Doesn’t seem like the credit crunch is getting any better from those numbers or facts. 

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