City buys land from Burgess’ church for $94,200

Pittsburgh Post-Gazette

The Housing Authority of the City of Pittsburgh paid $94,200 to purchase three parcels of land in Homewood from a church whose pastor is also a housing authority board member.

Officials with the Housing Authority said that was the appraised price for the land next to Nazarene Baptist Church, 7053 Hamilton Ave. The authority plans to create a mixed-income residential development and community center to be called the Kelly Hamilton Homes on the purchased land.

The Rev. Ricky Burgess, who is also a member of Pittsburgh City Council, has abstained from all board votes related to the purchase, including one on Thursday when housing authority board members voted to approve $10 million in bonds for the project. He said he wanted to “prevent even the appearance of impropriety.” All other board members voted in favor of the resolution to issue bonds.

Several women, some of whom said they were neighborhood residents, spoke prior to the vote, saying they had concerns about the project, such as the proposed density of the units.

Darrell Davis, chief development officer for the Housing Authority, said the agency has held numerous community meetings about the project to address residents’ concerns.

“There is not a question about this project we will not answer for the public,” he said.

Caster Binion, executive director of the Housing Authority, had previously said those three plots of land are needed because they are contiguous to other authority-owned land where housing will be built, and are vacant, and thus can be used without displacing existing residents. It’s also close to other neighborhood hubs such as the YMCA and Carnegie Library of Pittsburgh’s Homewood branch.

Documents from the housing authority show the properties were assessed by Trustmark Real Estate Services of Aliquippa.

Allegheny County property records online show that the three parcels were sold to the church for $600 in 2001, $1,000 in 2004 and $1,500 in 2010. The parcels were assessed by Trustmark for $31,350, $32,250 and $30,600, respectively.

Online real estate records show the sale was completed last month.

The 58 planned units are being developed by the Housing Authority of the City of Pittsburgh, its nonprofit development arm, Allies and Ross Management and Development Corp., and developer KBK Enterprises. There will be 16 market-rate units, 42 affordable units and a 2,530-square-foot community center when the project is complete.

At a groundbreaking ceremony for the homes in May, a number of residents protested the development.