Our organization is a 501(c)(3) religious charity that provides drug treatment counseling, job training and other services for recovering addicts, ex-cons and the homeless. We are interested in acquiring an older hotel/motel to use as transitional housing and a treatment center.
Several properties in our town (Houston, Texas) have been listed for sale for years now, have been vacant for a lengthy amount of time and are in substantial disrepair, have significant code violations, or are in jeopardy of being declared uninhabitable.
We are would like to propose something like the following to the owners:
- We lease the building for some nominal amount per year for some minimum length;
- We underwrite the cost of repairs, maintenance and code compliance;
- We maintain and secure the property;
Of course, that is a simplified and abbreviated list, but we believe the benefits to the property owner are several:
Tax benefits. Wouldn't there be some benefit to the owner if the occupants were a non-profit in terms of property tax? Could the owner write off the fair market value of the lease?
Security. The property is often vandalized. Our residents would provide security, but also would be a natural inhibitor due to residency.
Maintenance. The property's is in continual and progressive disrepair. An active tenant would keep the property maintained and serviceable.
Satisfaction. The civic and moral satisfaction of providing a resource for the community's disenfranchised and outcast.
How can we make an offer to the owners of these properties that would be win-win. We understand that we may not be long-long-term tenants, but what does a deal that works for an owner of this type of property look like?
Thanks,
Ken