[Ord. No. 42-32 Preamble]
The City of Linden (the "City") has determined that certain properties in the City are substandard, and have been acquired, or in the future may be acquired by the City; and the City is desirous of entering into contracts, executing deeds and other related legal documents with qualified purchasers of such properties.
[Ord. No. 42-32 § 1]
There is hereby established a City of Linden Urban Homestead Program (the "Program"), which shall be administered by the Construction Code Department of the City, pursuant to the provisions of N.J.S.A. 40A:12-33 et seq. The selection criteria and regulations for participation in the Program by qualifying purchasers shall be as set forth herein.
[Ord. No. 42-32 § 2]
For purposes of the Program, which shall be entitled "The City of Linden Urban Homestead Program", the following minimum requirements shall apply:
a. 
The purchase price per property shall be one thousand ($1,000.00) dollars for all eligible applicants to be of low and moderate income (i.e. the low and moderate income standards for Union County established by the U.S. Department of Housing and Urban Development); and the purchase price shall be ten thousand ($10,000.00) dollars for all other applicants.
b. 
The purchase and rehabilitation of a home through the Program is not limited to Linden residents, however, buyers must commit to reside in the properties for a minimum of ten (10) years.
c. 
Rehabilitation of the property must commence within sixty (60) days of execution of an agreement to purchase, and receipt of financing; the work must not cease prior to completion for more than thirty (30) consecutive days; and all work must be completed within one hundred eighty (180) days following the receipt of financing.
d. 
The Program will be advertised by the City in accordance with the requirements of N.J.S.A. 40A:12-33, et seq. Applicants can pre-qualify for financing from the City of Linden Neighborhood Preservation Program, based upon completion of an application and supporting documents, minimum income and down payment requirements, acceptable credit and other program and lending criteria established by the Program; pre-qualified applicants will be eligible for participation in a lottery for each property to be conducted by an independent auditor. For each property, three (3) names will be drawn; the winner and two (2) back up applicants. Applications are restricted to only one (1) property at a time.
e. 
The lottery winner shall submit three (3) general contractor cost estimates (bids) for the scope of work/work write up prepared by the City of Linden Neighborhood Preservation staff, which shall review and approve the selection of the general contractor in accordance with Neighborhood Preservation Program guidelines.
f. 
Title to the property shall revert back to the City of Linden in the event the purchaser fails to close title, commence or complete the rehabilitation within the time period, or meet the residence requirements.
g. 
All conveyances shall be accomplished through a contract of sale and rehabilitation which contract shall be approved by the Municipal Council.
h. 
The City Neighborhood Preservation staff shall be responsible for construction monitoring. Construction completion will be determined by issuance of a certificate of occupancy and certification of completion by the Neighborhood Preservation staff and the City Housing Inspector. The City Housing Inspector and the Neighborhood Preservation staff shall have the responsibility for monitoring said properties to insure compliance with all the provisions of this chapter.
[Ord. No. 42-32 § 3]
a. 
The applicant shall submit proof of acquisition financing and demonstrate the financial means to repair and/or rehabilitate said property through application to the City Neighborhood Preservation Department.
b. 
The source of the rehabilitation funds shall be through an approved loan, mortgage or grant from the City Neighborhood Preservation Department and/or an accepted commercial financial institution; and/or other assets of the applicant.
c. 
The source of financing the acquisition of the property shall be through savings or other liquid assets of the applicant.
d. 
All other provisions of the rules and regulations promulgated by the City of Linden shall be consistent with the provisions of N.J.S.A. 40A:12-33, et seq.
[Ord. No. 42-32 § 4]
The Mayor is authorized to enter into contracts, execute deeds and other related legal documents as necessary with lenders and purchasers of City owned property under the Program upon their demonstration of financial capabilities in compliance with all other terms and regulations established by this chapter. The contracts shall be attested to by the City Clerk and approved as to form by the City of Linden Law Department.
[Ord. No. 42-32 § 5]
City Council shall be provided with an annual report by December 31st of each year identifying:
a. 
The number of contracts entered into;
b. 
The amount of said contracts;
c. 
The property addresses for such contracts.