Northeast News
February 28, 2012

Kansas City and the Bank of America are partnering together to alleviate the impact of vacant properties in Kansas City neighborhoods and the community at large. Bank of America has agreed to donate vacant, foreclosed properties to the city of Kansas City and nonprofit organizations for reuse, redevelopment and neighborhood revitalization.

“Bank of America is committed to a comprehensive neighborhood stabilization approach to help support our customers and the communities we serve and live in,” said Spence Heddens, Kansas City market president for Bank of America. “The programs we are announcing here have been customized to support strategies already championed by city leaders and Congressman Cleaver to maintain a strong and vibrant Kansas City.”

“Throughout our city, the worst recession in a generation has taken its toll,” Kansas City Mayor Sly James said. “Involving private partners, like Bank of America, is part of the solution. Our neighborhoods cannot be reborn as long as every other house is boarded up or in disrepair.”

Bank of America said it’s committed to working with the city to identify and assist homeowners who may be in danger of foreclosure and to carry on proactive programs of outreach and education. This includes person-to-person interaction at the bank’s mortgage customer assistance center opened recently in Overland Park, sponsorship and participation in foreclosure prevention events and ongoing support of nonprofit organizations offering home buyer education and foreclosure prevention counseling, among other efforts.

To address the growing issue of abandoned properties, Bank of America will engage in several measures in collaboration with the city of Kansas City.

Initiatives will include:
•Identifying vacant and abandoned properties and moving them through the foreclosure process so they can be returned to a stable, productive use
•Identifying low-value, vacant and abandoned properties and selling those properties to for-profit or nonprofit developers engaged in rehabilitation
•Bank of America will also allow the city to accept up to 50 donated properties and the bank will provide funding to pay for some or all of costs for demolition, deconstruction or repair.
•Bank of America will donate up to 25 vacant, habitable properties to the Homesteading Authority to support the city’s five-year Consolidated Plan with a strategic focus on the Green Impact Zone and the neighborhoods surrounding the East Patrol Division and Crime Lab development. Some of the property donations will provide opportunities for police officers and civilian employees of the police department to own homes in adjacent neighborhoods. Bank of America will include a financial contribution toward renovation of each home.
•Bank of America will offer a $25,000 grant as seed money to an approved nonprofit to start a neighborhood-based youth corps to cut weeds/grass on vacant properties. The bank will also partner with the city to support neighborhood functions.

“This was a team effort to build a partnership for the benefit of residents throughout Kansas City,” said Mayor Pro Tem Cindy Circo. “We are seeing real momentum toward finally tackling the difficult task of rebuilding and repopulating our urban neighborhoods.

“This is truly great news and moves us towards our goal of ensuring every Kansas Citian has a safe and healthy place to call home.”