Unified Development Ordinance, 31st Supplement, May 2024

CHAPTER 11. ​BUILDING AND HOUSING CODE | Article 11.8. ​Demolition by Neglect of Historic Landmarks and Structures Within Historic Overlay Districts

c. The purpose of the hardship hearing is to review the claimant’s submitted Economic Documentation, receive additional evidence concerning the claim of undue economic hardship, and to ascertain whether additional economic documentation is required. d. Following the Hardship Review Panel’s hearing on the claim, the panel shall consider all information received and cause to be made a determination of undue or no undue economic hardship. The panel shall prepare a written report of its determination that shall include findings of fact for such determination. e. If in the panel’s opinion a hardship exists, the panel’s report shall establish a monetary value of capital expenditure on the property that the panel believes would yield a return on the investment without economic hardship. If the panel believes the property cannot support any capital expenditure, it shall so state. The panel may also offer recommendations for relief of the economic hardship. 6. The determination of the Hardship Review Panel shall be final, subject to appeal as noted in Sec. 11.8.4.B. C. Economic Documentation 1. When a claim of undue economic hardship is made owing to the effects of this Article, the property owners must provide evidence describing the circumstances of hardship. The minimum evidence provided by the property owners shall include for all property: a. The property owner's knowledge of the landmark or historic overlay designation at the time of acquisition, or whether the property was designated subsequent to acquisition; b. Form of ownership or operation of the property (sole proprietorship, for-profit corporation or non-profit corporation, limited partnership, joint venture, etc.) or legal possession, custody, and control; c. Amount paid for the property, date of purchase, and party from whom purchased, including a description of the relationship between the owner and the person from whom the property was purchased, or other means of acquisition of title, such as by gift or inheritance, and any terms of financing between buyer and seller;

d. The annual gross and net income, if any, from the property for the previous 3 years; e. Itemized operating and maintenance expenses for the previous 3 years, including proof that adequate and competent management procedures were followed; f. Past capital expenditures during ownership of current owner; g. Depreciation deduction and annual cash flow before and after debt service, if any, for the previous 3 years; h. Remaining balance on any mortgage or other financing secured by the property and annual debt service, if any, during the previous 3 years; i. Real estate taxes for the previous 3 years and assessed value of the property according to the 2 most recent Wake County assessed valuations; j. All appraisals obtained within the previous 3 years by the owner or applicant in connection with the purchase, financing or ownership of the property; k. Any state or federal income tax returns on or relating to the property for the previous 3 years; l. Any listing of the property for sale or lease within the previous 3 years, price asked and any offers received, the name of the any real estate broker or firm engaged to sell or lease the property, and any advertisements placed for the sale or rent of the property; m. A report from a licensed engineer or architect with experience in rehabilitation as to the structural soundness of any structures on the property and their suitability for rehabilitation; n. An estimate of the cost of the required construction, alteration, repair, demolition, or removal required by the order; o. The estimated market value of the property in its current condition and such value after completion of the required construction, alteration, repair, or removals; p. A report from an architect, developer, real estate consultant, appraiser, or other professional experienced in rehabilitation as to the economic feasibility of rehabilitation or reuse of the existing structure on the property;

Supp. No. 31

11 – 38 Published May 2024

Part 10: Unified Development Ordinance City of Raleigh, North Carolina