One of the most troubled properties managed by the Housing Authority of the City of Annapolis will have to wait even longer for much needed repairs after a developer's application error resulted in the state rejecting a request for tax credits.
Newtowne 20, a 78-unit property, has been slated for a $56.6 million redevelopment. The Hampstead Companies, a San Diego based developer, was awarded the contract for the project.
The private real estate company focuses on affordable housing and it planned to connect Newtowne 20 with Woodside Gardens, which it owns and is adjacent. Both would have been torn down and rebuilt.
Funding for the project would come from housing tax credits and Hampstead taking on long-term debt.
But those tax credits are no longer available after the Maryland Department of Housing and Community Development rejected Hampstead's application.
At Tuesday's monthly meeting, HACA commissioners expressed frustration and bewilderment about the delay.
Commissioner Sandra Chapman pressed Rowe on how a company has a technical oversight that results in the rejection of the application.
"I have a problem with this," Chapman said. "I don't understand how this was overlooked."
HACA Chairman Jeffrey Henderson said the agency "has its work cut out for it" moving forward. The board and new executive director — Sharon Land, who starts on Nov. 30 — will have to decide on how to proceed with Newtowne while coping with dwindling federal funds.
On top of those troubles, HACA is recovering from five high-level resignations over a two-month period. Two board members resigned and those positions have yet to be filled by Mayor Mike Pantelides.
Henderson put out a call for help near the end of the meeting for the residents of Newtowne 20.