By CRISTINA JANNEY
Hays Post
At its meeting Monday, the Hays USD 489 school board approved the sale of the former Washington school to Overland Park Group for $500,000.
OPG hopes to renovate the building into low-income apartments.
The district has purchased the Oak Park Medical Complex on 13th Street and is remodeling it for use by Early Childhood Connections, which is currently in the Washington building at 305 Main.
OPG is the owner of the Stonepost Apartments in Hays. Matt Gillam, OPG vice president of development, said his company has been looking at Hays for further low-income housing development for some time. Stonepost currently has a waiting list of 80 people.
The contract with OPG stipulates only $5,000 down for the property and a 365-day window in which to close. The contract is also contingent on the company being able to secure low-income housing tax credits for the property.
OPG will also be applying for historical status for the former school, which was built in 1926. The company hopes to receive additional historic preservation funding.
The property sits in a Neighborhood Revitalization District as well. It would go back on the tax roles, but it would qualify for a rebate on taxes for the increase in the value of the property for 10 years.
The district will be able to continue to use the building until the contract is finalized.
Application for 2019 low-income tax credits is in February, so Gillam said he needed to know from the board Monday if the contract was going to be approved.
Board member Lance Bickle said he thought the sale might be a good idea, but he was concerned about the short time frame in which to make a decision.
Board member Mike Walker echoed these concerns.
“I have a concern about the time frame, and I wish down payment was more than $5,000, but I am in favor of the project. I think you did a good of presenting it, and you have a good track record,” Walker said.
Board member Paul Adams was also concerned about the small down payment and potential delay in closing the contract. However, he said he appreciated OPG was going to preserve the historic nature of the building and acknowledged additional affordable housing was needed in the community.
Sophia Rose Young pointed to a report earlier in the evening that indicated about a third of students at Wilson Elementary received free and reduced-cost lunches. She said low-income housing would serve the district’s student population.
Turn-Key Properties also made an offer to purchase the property with the hopes of turning the former school into apartments. However, their offer was $200,000. No one from Turn-Key was present at the meeting Monday night.
The board approve the contract on a split vote, 5-1-1 with Bickle voting against and Greg Schwartz abstaining.