Most elected officials and civic leaders agree that home ownership is a key to stable neighborhoods. Many of Shreveport's declining neighborhoods lack adequate housing for its residents.
The City of Shreveport owns approximately 6,000 plus adjudicated properties. Most of these lots are vacant. The prior owners did not pay city/parish taxes which resulted in a loss of ownership.
In a press release on the Block by Block Initiative, Mayor Arceneaux stated:
"Shreveport's redevelopment agency, SIRA, will play a key role in returning vacant properties to commerce, strengthening neighborhood fabric and supporting local business growth."
SIRA (Shreveport Implementation and Redevelopment Authority, currently has a budget of $100,000 appropriated by the City Council. It has additional funds from donations.
SIRA does not have a full time director and no staff.
SIRA owns a five acre tract on Exposition Street donated by Chesapeake Energy. It is in the process of acquiring title to the old, abandoned YMCA in the 700 block of Pierre Avenue.
Developers seeking ownership of adjudicated properties are faced with expenses in clearing title which could be as expensive as $10,000 per lot. If SIRA becomes the owner of these adjudicated properties, the first big issue is who pays that cost.
The current cost of construction is a major challenge to building single family homes that are wanted and needed in many neighborhoods. Most estimates are $110 per square foot--at a minimum. This will build a very, very basic residence with no bells and whistles with the lowest cost fixtures and appliances. This estimate is for a house with siding, not an all brick unit.
The next challenge, which is just as great or probably greater, is mortgage financing to buy a residence. The reality is that many of the residents in areas where safe affordable housing is needed have low credit scores and low incomes. Thus, obtaining suitable mortgages to purchase these units is a major hurdle.
SIRA does not have the funds to clear the title to adjudicated properties.
SIRA does not have funds to subsidize developers with construction costs.
SIRA does not have the funds to finance homes or to make downpayment for potential purchasers.
Build Baton Rouge and the New Orleans Redevelopment Agency have been in existence for many years and have built up a track record of providing affordable safe housing and needed commerce. Both these agencies have successfully received major grants and donations to underwrite their efforts. Both of these agencies have additional advantages that SIRA lacks.
Mayor Arceneaux's optimism of SIRA playing a "key role in returning vacant properties to commerce, strengthening neighborhood fabric and supporting local business growth" is admirable. However, these goals are not realistically attainable without major funding which most likely must be from outside sources versus city monies approved by the city council.
John came to Shreveport in January of 1977 when he was transferred to Barksdale AFB.
He’s been active in Shreveport politics since deciding to make Shreveport his home.
John practiced law for 40 years and he now monitors local politics. He regularly attends Shreveport City Council and Caddo Parish Commission meetings.
John is published weekly in The Inquisitor, bi-monthly in The Forum News, and frequently in the Shreveport Times.
He enjoys addressing civic groups on local government issues and elections.