Updated 9/21:

In furtherance of Mayor Brandon Scott’s efforts to streamline the sale of city-owned property and improve customer experience, the Department of Housing & Community Development (DHCD) has conducted a comprehensive review of its existing sales processes.  As a result of this review, the agency has developed a proposal that aims to reduce the timeframe for processing sales of city owned property which can range from 180 to 365 days down to 90 days by:

1. Providing a clear and consistent path for application review by updating our background review checklist and making the criteria publicly available for prospective buyers.
2. Establishing a requirement that applicants must submit documentation showing a   minimum of $90,000 in assets available per property for each vacant building included in the application.
3. Creating a fixed pricing model for properties that meet specific criteria.
4. Seeking pre-approval from the Board of Estimates (BOE) for identified properties and a corresponding standard Land Disposition Agreement (LDA).

Improvements have already been implemented to address the first two items and have been posted on the DHCD website. We are now seeking public comment on the proposal to create a fixed pricing model.

CREATE A FIXED PRICING MODEL FOR PROPERTIES THAT MEET SPECIFIC CRITERIA

After reviewing the sales data of the last five years and conducting a survey of how several municipalities manage the sale of City-owned property, DHCD proposes a fixed pricing model for certain City owned vacant buildings and lots in neighborhoods with stressed housing markets. Fixed pricing will increase transparency and streamline our disposition process in the city’s stressed neighborhoods, which are the most impacted by vacant properties. This will eliminate the need for protracted price negotiations for the majority of DHCD’s inventory of vacant properties, allowing these sales to move through our process much quicker.  Adopting this model will also allow DHCD to advertise accurate pricing for these properties online so that interested buyers can make more informed decisions when selecting properties.

The fixed pricing program will only apply to properties located within Baltimore City’s Housing Market Typology categories E-J and will be limited to up to 12 properties per application. Applicants cannot apply for additional properties under this program until the first 12 properties are completed. All vacant building sales must be for redevelopment for residential use. Please refer to the following chart for pricing information and additional criteria:

• If a property is assessed for less than the fixed price, the property will be sold for the assessed value. 
• For homeowner vacant building purchases, if the property is sold within the 6-year period, the original purchaser will be required to pay a pro-rated portion of $3,000 calculated based on the year that the property is sold.   
• Valuations or appraisals will still be required for commercial sites, RFP sites, stable/ competitive neighborhoods (housing market typology map Housing Market Typology areas A-D), site assemblages above 12 properties, and any other disposition programs.

* All Sales of vacant buildings require rehab of properties and issuance of a use and occupancy permit within 12 months from final settlement.  

These process innovations will significantly reduce the amount of time from application received to settlement by creating a clear, consistent, and transparent pricing model and process for all interested purchasers. Additionally, reducing subjectivity during application review and implementing a “no haggle” pricing model will create increased capacity for staff as there will be less time required to process applications for properties that meet the outlined criteria. We are presenting these proposals for public review and commentary prior to implementation.

Fixed Pricing Model Frequently Asked Questions