Sliding Scale of Penalties for
Early Sale of a Lot Next Door
Property
All penalties payable to NORA:
♦
Owned 0-24 months: 20% of original
purchase price
♦
Owned 25-36 months: 10% of
original purchase price
♦
Owned 37-48 months: 3% of original
purchase price
♦
Owned 49-60 months: 1% of original
purchase price
Penalties can be waived:
♦
With death of owner
♦
Change in owners’ employment
outside Orleans Parish
♦
Transfer of homestead exemption to
another property in Orleans Parish
♦
Foreclosure or sale to settle a tax lien
New Orleans
Redevelopment
Authority (NORA)
Compiled by:
Community Safety Initiative
(CSI)
Information for Communities
Information for Communities
Information for Communities
Information for Communities
about NORA’s “Lot Next Door
about NORA’s “Lot Next Door
about NORA’s “Lot Next Door
about NORA’s “Lot Next Door
Program”
Program”
Program”
Program”
Possible Configurations/Options:
If two neighbors are interested in a mid-
dle property between them:
♦
the lot can be sub-divided with each side taking
50% of the property and incorporating it into
their existing lots by re-subdivision
♦
If splitting property is not feasible or neighbors
do not wish to split the property, it will be auc-
tioned off by NORA to the homeowner with the
highest bid over purchase price.
Condominiums/Townhouses:
♦
You have right to purchase adjoining units with
a common wall
♦
Primary entrances must be on same floor
Housing Price:
Fair Market Value as
determined by a timely appraisal, plus any of
NORA’s “reasonable” expenses
Fair Market Value:
Average price
(per square foot) of similar properties recently
sold in the immediate area
Guidelines for Properties of
Interest owned by NORA
♦ Property of interest must be zoned residentially,
consisting of no more than one lot capable of
development
♦ Your current residence must be owner-occupied
for a minimum of a year
♦ Property of interest must be physically adjacent
to an owner-occupied residential property
♦ A minimum one-side 75% common boundary
between the two properties is required
♦ No more than one lot may be transferred per
contiguous lot
♦ You must not have any outstanding
citations/violations/delinquent tax on ANY
property you own in Orleans Parish
♦ If property was bought for building new structure
or the expansion of an existing home, building
must start within 6 months of closing, with a
building permit as evidence
♦ You must bring property into compliance with
current housing/health/safety codes within 9
months
•
You must not sell the property for 5 years, and
the property must be maintained during that
time
The procedure for the “Lot
Next Door Program” requires
that NORA notify the owner
of record living next door
about...
♦
The adjoining property that is up for sale
♦
The purchase price of the property
♦
The process required to purchase the
property
♦
A notice that a 20% deposit (non-
refundable) must be made within 60 days
if interested in purchasing the property
If you are an interested
Buyer, then you must
provide NORA with a...
♦
Deposit of 20% of purchase price within
60 days
♦
Proof of owner-occupied status
♦
Description of how property is to be used
(must follow current zoning re-
quirements)
♦
Social Security card and Government
issued identification, showing
address as contiguous to property for sale
♦
Evidence of property ownership adjacent
to lot for sale by NORA
♦
Evidence of financial resources to comply
with NORA’s Lot Next Door program
NEXT STEPS:
-Upon acceptance of deposit, purchaser of
property has 60-90 days to submit all
supporting documentation and close the sale
NORA Contact Information
New Orleans Redevelopment
Authority
1340 Poydras Street
Suite 600
New Orleans, Louisiana 70112
tel: 504-658-4400
fax: 504-658-4551
Information Source:
New Orleans Redevelopment Authority
“Priorities, Policies, and Procedures for
the Acquisition and Transfer of Real Prop-
erty”, As approved by the Board of Com-
missioners, April 23, 2007