November 25, 2024 8:45 am

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City of Bothell to gift $6 million property to church for low-income housing

BOTHELL, Wash.—The Bothell City Council voted in favor of executing a Letter of Intent (LOI) to gift a city-owned property (Lot P South) to Bothell United Methodist Church (BUMC) which, if acquired, will be used to build affordable housing the church says.

Lot P South
Lot P South, the parcel of land the City of Bothell is proposing to gift to Bothell United Methodist Church (BUMC) to be used to build affordable housing units. Lynnwood Times | Kienan Briscoe.

The 5-2 decision took place at Council’s Regular Meeting on Tuesday, July 16, with all members but Councilwoman Jeanne Zornes and Councilman Benjamin Mahnkey voting in favor. The motion was brought forth by Deputy Mayor Rami Al-Kabra and seconded by Councilwoman Amanda Dodd.

“We have the opportunity to do something really special here,” Councilwoman Jenne Alderks said Tuesday. “This is the type of public-private partnership that I think many cities would dream of being able to do especially with a partner that is literally responsible for founding the city.”

On the opposing side, Councilwoman Zornes shared Tuesday that the gifting of the lot is a “generous give” especially considering the City had another offer for $10 million, moneys that could have gone to the City’s General Fund. Councilman Mahnkey also made the point that the City could have used the funds from selling the property for a “second [affordable housing] project.”

Zornes continued that BUMC has acted entitled to the property and has not expressed a shred of gratitude thus far. Another concern, she noted, is that “the community has not had the chance to weigh in.”

Jeanne Zornes
Bothell City Councilwoman Jeanne Zornes speaking at the council meeting on July 16, 2024. SOURCE: Snapshot from YouTube video of meeting.

“The, about, fifty thousand people who live in Bothell own that property, not the seven here on the dais,” said Councilwoman Zornes. “The community need to step in and say yes we want to do this and buy in…as a city we have not invited the people in to have that conversation with us. Most of the conversations have been behind closed doors.”

The city had the property appraised in 2022, when the fair market value was estimated at approximately $6 million, Kate Langsforf, Communications Officer for the City of Bothell informed the Lynnwood Times.

Despite its value, the council’s decision to gift the property to the church at no cost is considered to be the city’s financial contribution to the affordable housing project. While technically the City and BUMC will have 90 days from the execution of the LOI (October 14) to negotiate a purchase and sale contract for the property the provision that the land be conveyed at no cost is expected to remain in effect. Within those 90 days the LOI can also be terminated.

The Lynnwood Times reached out to Bothell City Council members asking if the city received any contribution from BUMC that may have influenced the decision to gift them the property free-of-charge but has not received response as of the publication of this article.

bothell property

The property, called Lot P South, is located at the southwest corner of Thorsk Street and Pop Keeney Way (zoned as downtown Bothell) and one of 13 city-owned properties the city acquired from the Northshore School District for $20.6 million back in 2010.

Eight of those properties have since been sold, totaling roughly $28 million so the city considers the gifting of Lot P South as not being a net loss.

Lot P South specifically was purchased for $1.9 million, is 1.67 acres (72,675 square feet), and generally level with all of the utilities located in public rights-of-way. Other properties the city owns are the two lots located by City Hall and Lots E, F, and G right off Bothell-Everett Highway.

When the city originally acquired the property the soil and groundwater were contaminated with petroleum. Cleanup efforts have been ongoing since 2010 and litigation has been pending regarding the contaminated replacement backfill. The first of those cleanup efforts were completed in June of 2023.

Sound Transit originally expressed interest in the property to be used as a parking garage to support future bus rapid transit, but that plan has since been postponed when project realignment deferred the park-and-ride to 2034. Shortly after, BUMC began proposing the usage of the lot for affordable housing.

BUMC first had their sights set on the civic block, next to City Hall, but back in June of 2021 the City Council declined the offer. In May of 2022 city staff solicited a proposal from the Bothell Urban Partnership. Negotiations for a Letter of Intent with BUMC began in July of 2023 and several studies, reviews, and analyses have been conducted since.

The council reviewed a draft Letter of Intent last month during a council study session.

The church’s vision for affordable housing coincides with the City of Bothell’s vision of updating its housing plan and many of the transferred/sold city-owned properties have been used for opening new housing options.

Current market rate apartments in downtown Bothell include Boulevard Place (291 units), The POP (118 units), Junction (130 units), Six Oakes (203 units), and Alexan (369 units). Currently there is only one affordable housing option – meaning it’s less than or equal to 50% of Area Medium Income: Samma Senior with just 76 units.

When calculating the total number of units, the number of affordable housing options is about 4%. BUMC’s affordable housing project is proposed to add an additional 200 units which would increase this percentage to 20%.

bothell property
Bothell Mayor Mason Thompson speaking at the council meeting on July 16, 2024. SOURCE: Snapshot from YouTube video of meeting.

“I am super excited for this project because I think this is a wonderful investment in Bothell,” Bothell Mayor Mason Thompson said. “This will help thousands of people with one of the biggest needs in our community and I’m proud that we get to do this, along with a really valued, long-term, community partner.”

Bothell United Methodist Church was founded on November 5, 1885 – 24 years before the City of Bothell was incorporated as a city. They have played an integral role in Bothell’s history since; from establishing a well-known food bank, Hopelink, hosting Bothell’s Boy Scout Troop 420 continuously since 1947, and providing nearby Bothell High School students with free meals who need them.

The purpose of BUMC, according to its website, is “becoming Christ in the Community,” transforming communities through peace, joy, hope, and love. The church also explicitly denounces systemic racism and welcomes all people regardless of race, sexual orientation, or gender identity.

Kienan Briscoe
Author: Kienan Briscoe

9 Responses

  1. In 2019 I bought a not-inexpensive townhome near this site.

    I am thrilled with the decision to build low-income housing here.

    We’re all in this together.

    Way to go, Bothell.

  2. We should not be gifting property to churches who don’t pay taxes. You’re essentially giving tax payer money to a church. If anything this should go to a non-religious organization.

    1. Hi Chris, are you referring to the fact that churches don’t pay IRS income taxes? Non-religious non-profits don’t pay IRS income taxes either.

      There are some key differences. Non-religious non-profits do need to do more reporting. However, I’ve heard that both religious and non-religious organizations are subject to similar WA property tax rules.

  3. Zornes wanted a thank you before it was even given? THAT Would be presumptive. She’s a joke.

  4. Great goverment giving taxpayers money away with no vote from the taxpayers. Let the voters vote on it that’s called democracy not communism. Remember it’s we the people not we the city council.

  5. Feels like a violation of Article 8 Section 7 of the Washington State constitution:

    “No county, city, town or other municipal corporation shall hereafter give any money, or property, or loan its money, or credit to or in aid of any individual, association, company or corporation, except for the necessary support of the poor and infirm”

    I suppose you could argue that this is for necessary support, but the city could almost certainly provide more support with the $10 million offer they turned down for this gift to the church.

    1. One council member talked about a $10 million offer. There’s no record of it and she seems to have made it up. Ask for details and listen to crickets.

  6. This church needs to understand affordable Housing and managing rents. Whatever they build it needs to meet the needs and entice tenants who earn 3X the rent. Hopefully this church will be the property management company. What often happens is that they property management allows people to lease with only 1.5 x the rent to fill vacancies becase in income level AMI it targets will not live there and choose to be rent burdened in the general community. Have less units to get real open spaces. Every unit gets a free parking spot.Enough parking for staff.make sure their are several areas for children to truly run ans play. Think of the aesthetics on the outside. Those square boxed ‘Affordable Housing buildings are so horrible. This church needs to make the committment to NOT lease to anyone that will make them rent burdened more than 40%.

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