CLEVELAND - U.S. Senator Sherrod Brown (D-OH) announced a contract extension between the U.S. Department of Housing and Urban Development (HUD) and the Cuyahoga Land Bank.
The agreement will once again allow the land bank to buy distressed properties owned by HUD for $100 through September 2013.
The contract extension gives the land bank the opportunity to purchase homes that are valued at $20,000 or less, allowing it to either renovate or demolish vacant homes that have become a burden in their neighborhoods.
In December 2012, HUD announced it would not renew its contract with the land bank, instead opting to place the distressed homes on the open market.
However, Brown started talks with HUD in January for a contract extension.
"This agreement strikes an important balance, it betters Cleveland communities while protecting the interests of our tax payers," said Brown. "The winners in this deal are the residents of Cleveland because it will help stabilize the housing market as we redevelop, rebuild, and begin to re-grow our neighborhoods."
Cuyahoga Land Bank President Gus Frangos praised Brown's effort.
"This contract extension will allow the land bank to obtain more than 200 abandoned homes over the next several months," said Frangos. "We thank Sen. Brown for his hard work and help."
"This contract extension will help many Cuyahoga County neighborhoods that are suffering from foreclosures, and keep these distressed homes away from unscrupulous buyers looking to turn a quick profit."