Official documents released Monday show the University wants $18 million minimum for the Westmoreland Apartments – a price tag that has already discouraged two developers who previously expressed interest in using the property to create affordable low-income housing.
The “Request for Proposals for the purchase of Westmoreland Village” (RFP), released without fanfare on the University’s Web site, outlines the proposed terms for the sale of the 404 unit apartment complex situated on 20.57 acres of land approximately 3 miles west of campus.
It states two goals for the sale: to sell the property for the highest possible sale price, and so long as it does not “materially and adversely” affect the first goal, to find a buyer who will continue to provide housing for residents.
St. Vincent DePaul of Lane County Executive Director Terry McDonald said his organization had considered buying Westmoreland to create a mixed-use site, reserving some of the apartments for students and turning others into low-income affordable housing.
“At those kind of numbers there’s no way we could afford the property,” he said. “Our point was to create a mixed community, but at those kind of numbers I’d have to bump student rents up above $500.”
Richard Herman, executive director for Metropolitan Affordable Housing Corporation (Metro), a local non-profit that provides low-income tenants with affordable housing in Eugene, said the company had expressed initial interest to the University in purchasing the apartments. But after he received the request for proposals in an e-mail Monday, the price made it less plausible, he said.
“Well, I haven’t talked to my board, but right now I don’t think we’d be able to afford an $18 million property,” he said. “That’s a $1.8 million bond.”
Herman also said although the organization would probably not submit a proposal, it was committed to continuing discussion with the University. He suggested that if current Westmoreland tenants were left without options after the sale, Metro might be able to help provide alternative low-income rentals.
ASUO Campus Organizer Brett Rowlett said the Save Westmoreland Coalition was most interested in seeing the University’s goals for the request.
“It’s basically what we expected. It follows the actions of the UO administration so far,” he said. “I think it’s clear through the RFP what their intention is, and that’s to make as much money as possible.”
Vice President for Finance and Administration Frances Dyke, the University’s spokeswoman for the sale, was unavailable for comment Monday.
The request stipulates that proposals from buyers must be accompanied by a $1,000 non-refundable fee and a 10 percent refundable down-payment on the total amount the buyer is offering for the property.
All proposals are due by May 8, although the University has reserved the right to extend this deadline.
The University has submitted the request for proposal to civic agencies, such as the Oregon Housing and Community Services department and the Urban Services Manager with the city of Eugene, as well as to out-of-state companies such as Campus Advantage Inc., according to the document.
In the Eugene and Springfield area, the University has submitted the request to Bob Bennett Realty, Arlie & Company, Oregon West Management, Steve Hammerquist Real Estate, Bell Real Estate, Windermere Commercial Real Estate, Western Properties Investment Real Estate, Sperry Van Ness, Tim Verkler Real Estate and Umbrella Properties.
 

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