WILMINGTON, N.C. (WECT) - The new owner of the hurricane-battered Market North Apartments has asked the Wilmington Housing Authority issue up to $27 million in bonds to finance the “substantial rehabilitation construction” of the affordable housing complex.
Vitus Group, an affordable housing development company based in Seattle, Washington, purchased the approximately 202-unit property on Darlington Avenue in July of this year, ten months after Hurricane Florence damage displaced its more than 700 residents.
The complex has remained closed since the September 2018 storm. A spokesperson for Vitus previously said the first group of residents could move back in as soon as October of this year.
Last month, Wilmington Housing Authority adopted a resolution giving preliminary approval for the issuance of bonds, pending approval by Wilmington City Council. Federal tax law requires tax-exempt bonds issued to finance affordable housing be approved by the elected legislative body of the governmental unit that controls the issuer of the bonds.
Wilmington City Council is expected to consider a resolution allowing the issuance of the bonds at its meeting on Tuesday.
Vitus has agreed to repay the principal, premium, if any, and interest on the bonds, according to documents prepared for city council members. Neither the city nor the Housing Authority will have any liability for the bonds and the city’s debt ratios or legal debt limit with not be affected.