828.251.5702 • www.ashevillehabitat.org

Asheville Area Habitat for Humanity needs land.

Where? In partnership with the City of Asheville, Asheville Area Habitat for Humanity (AAHH) is contracting to purchase 16 acres of land in West Asheville, off Pisgah Road, for the construction of 55-69 AAHH homes. Our 55-unit plat layout features only single family houses while our 69-unit plat incorporates duplex units as well. AAHH currently refers to this property as the Cedar Hill Neighborhood.

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Why? This parcel is valued at $650,000 but available for purchase for just $300,000. The City of Asheville is partnering with Asheville Area Habitat for Humanity donating over 50% of the value of the property through a contractual agreement which will help to guarantee affordable homeownership for generations to come.

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When? The option to purchase this property expires December 31, 2011.

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What are the development costs? The cost of developing this property is approximately $1.6M.

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How can you help? AAHH is seeking partners to help us purchase this property with a cash donation and/or a pledge. Please consider making a three-year pledge to the Building a Way Home campaign designated for the purchase of the Cedar Hill property. In effect, your gift will already be doubled by our purchasing the property at 50% of value.

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How can we thank you? Neighborhood naming opportunities are available with a gift of $300,000. All gifts to the Building a Way Home campaign will be recognized in our Annual Reports, and gifts over $1000 will receive permanent signage in the Asheville Area Habitat for Humanity ReStore at 31 Meadow Road in Asheville.

What are the benefits to Asheville Area Habitat for

Humanity’s homeowner families?

AAHH partners with families who earn 30-70% of the area median income ($38,990 for a family of four).

Before the recession, AAHH faced an average of $35,000 per building lot cost versus an average of $25,000 per lot cost post-recessionary. This savings of $10,000 per lot is passed onto our homeowners keeping the cost of homeownership affordable for the families we serve.

When compared to a homeowner who buys a $170,000 home through conventional financing (4% interest) AAHH homeowners save $139,590 utilizing zero interest mortgages and investing in the construction of their home with at least 200 hours of “sweat equity”.

Mortgage Comparison

Habitat for Humanity Bank

Sales Price of House . . . . . . . . . . . . . . . . . . . . . . 170,000 . . . . . . . . . . . . . . . . . . . . 170,000

Financed Cost of House . . . . . . . . . . . . . . . . . . . 130,000 . . . . . . . . . . . . . . . . . . . . 170,000

10% Down . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0 . . . . . . . . . . . . . . . . . . . . . . . . . . 17,000

Closing Costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0 . . . . . . . . . . . . . . . . . . . . . . . . . . 1,750

Total Cash Needed at Closing . . . . . . . . . . . . . . 0 . . . . . . . . . . . . . . . . . . . . . . . . . . 18,750

Net Amount to Finance . . . . . . . . . . . . . . . . . . . 130,000 . . . . . . . . . . . . . . . . . . . . 153,000

30 Year Monthly Payment @ 4.0% (Excludes Property Taxes and Insurance) . . . . 361 . . . . . . . . . . . . . . . . . . . . . . . . 730

Private mortgage insurance . . . . . . . . . . . . . . . . 0 . . . . . . . . . . . . . . . . . . . . . . . . . . 6,630

Total Principal Paid on Loan . . . . . . . . . . . . . . . 130,000 . . . . . . . . . . . . . . . . . . . . 153,000

Total Interest Paid on Loan . . . . . . . . . . . . . . . . 0 . . . . . . . . . . . . . . . . . . . . . . . . . . 116,590

Total Amount Paid for House . . . . . . . . . . . . . . 130,000 . . . . . . . . . . . . . . . . . . . . 269,590

Savings with Habitat . . . . . . . . . . . . . . . . . . . . . 139,590

Cedar Hill

Pisgah View Road

→

Deaverview Road →→

• Provide a stable home environment for 45 families, eliminating stress, improving chronic health conditions, and establishing a sense of community • Improve children’s educational opportunities by eliminating frequent school changes and building stronger social networks in and out of school • Provide volunteers with meaningful volunteer work that positively impacts the community and the volunteers

• Improve 70 low income homeowners’ physical and mental well-being by remedying substandard housing conditions • Provide volunteers with meaningful volunteer work that positively impacts the community

• Keep 4,050 tons of recyclable material out of landfills • Provide the community with a source of affordable building supplies, furniture, etc.• Provide ReStore volunteers with meaningful work that positively impacts the community and the environment

Investment Opportunities FY 2012 - 2014Purpose Community Impact Human Impact

• Annual New Home Construction: 45 homes by 2014

• Neighborhood Revitalization Initiative: 70 projects by 2014

• Building A Way Home Campaign: Asheville Area Habitat ReStore Expansion 31 Meadow Road

• Underwrite construction activities

• Repair and rehab 70 homes for existing low-income homeowners

• Increase the capacity of the organization to build and preserve more homes

• Build 45 new Energy Star-rated homes that meet NC Silver Healthy Built standards • Spend over $3.4M purchasing goods and services in the local economy for new home construction • Generate $671,823 in real estate taxes from homeowners & AAHH • Generate $1.84M in homeowner mortgage payments back to AAHH to be recycled into the building program • Engage 6,000 volunteers in actions that support long-term solutions to the housing crisis

• Spend over $594,000 purchasing goods & services in the local economy for renovations• “Lift” entire communities in the county • Preserve existing affordable housing stock by repairing and improving existing homes• Improve property values and reduce unsightly neighborhoods

• Expand the retail square footage of the the ReStore generating $7.8M. Proceeds cover all fundraising & administrative costs, provide the foundation for every AAHH home built, build one Habitat house each year and keep 4,050 tons of material out of landfills.

Investment Area

9/14/11

• Provide the opportunity for 150 families to stabilize and live in a community of well-built environmentally-friendly homes • Reduce the opportunity for unsightly dumping and/or vandalism on vacant land

• Provide a healthy, productive working environment for employees and volunteers, and meeting rooms for private homeowner interviews and larger group meetings • Provide construction opportunities for volunteers in the warehouse during inclement weather

• Help eliminate the negative social and economic consequences of living in substandard housing for low-income individuals and families through awareness

• Provide volunteers with an opportunity to donate construction and non-construction expertise to improve AAHH’s capacity and effectiveness in serving even more Buncombe County families

Investment Opportunities FY 2012 - 2014Purpose Community Impact Human Impact

• Building A Way Home Campaign: Land (purchase or donation)

• Building A Way Home Campaign: 33 Meadow Road – Warehouse & Offices ✳ Winner of the 2011 Griffin Award from the Preservation Society of Asheville and Buncombe County for adaptive re-use of a building

• Event Sponsorships

• Undesignated funding

• Capitalize on lower land costs by purchasing land for 150 future Habitat homes

• Purchase and renovate the historic Southern Railway Building to add space for Construction and Deconstruction services and the relocation of AAHH’s administrative offices

• Underwrite the cost of staging and conducting special events

• Fund non-construction but critical activities for the affiliate: fiscal management, volunteer and family recruitment, homeowner education, advocacy in the community, grant writing, database management, staff training, etc.

• Reduce the average building lot cost of $35,000 (pre-recession) to $25,000 (recessionary) • Funnel $300,000 in FY12 to the City of Asheville’s Housing Trust Fund to support affordable housing initiatives

• Generate $49,500 from deconstruction fees and provide $600,000 in saleable goods• Relocate AAHH administrative offices (out of the ReStore) thereby increasing the store’s retail space • Provide a conference room for community organizations to use

• Assist AAHH in educating the public about the crisis of living in substandard housing and generate community support to triple the number of families served

• Build the capacity of the affiliate to serve more families and help ensure their success as homeowners; manage the affiliate’s finances; recruit more volunteers; track data more efficiently and accurately and train staff and volunteers

Investment Area