The College Station city council and Habitat For Humanity agree to terminate a contract from July 2017 to build five homes for low income families.
Community services director Debbie Eller told the council that there was a mutual agreement to end the contract.
Councilmembers were told the average construction price more than doubled, from $187,000 to $448,000 dollars.
Habitat, which received a $794,000 dollar grant, will return to the city whatever they receive for selling the land on Renee Lane about three blocks north of College Station High School.
Eller said the city will be reimbursing the federal government $65,000 dollars because the project was not completed. When councilwoman Elizabeth Cunha learned the $65,000 will come from the sale of the land, she said “You do know how many non profits would have loved this money?”
Councilman Dennis Maloney called on Habitat and other providers of housing for low income families to consider changing their business model from building single family homes on lots that are “escalating in value constantly in College Station” to “vertical” housing.
The council did not hear from Habitat representatives. WTAW News invited a Habitat spokesman to provide a statement about the contract termination.
Click below to hear comments from the March 28, 2024 College Station city council meeting.