Chattanooga officials have worked out a deal with the Chattanooga Housing Authority to sell, rather than develop, any property they get in a three-way land swap at the East Brainerd Elementary site.
The revised deal means that CHA won't build low-income housing on the site, and that's likely enough to gain City Council support.
Dan Thornton, head of the city's General Services Administration, said he met with CHA officials Thursday night and they agreed to take a percentage of the profits after both parties acquire and sell the land. The 9-acre East Brainerd site appraised in January for about $2.3 million.
Councilman Jack Benson, who put the brakes on a City Council vote Tuesday night because he was opposed to subdividing the parcel, said he can support it now. Four council members already had signaled support, so there's likely a council consensus to move the deal forward at Tuesday's council meeting.
The complicated property deal stems from the city's request for proposals to sell Dogwood Manor Apartments.
In the proposed swap, the city would trade away Dogwood and end up with 6.25 acres of the East Brainerd Elementary site.
The schools would get cash and CHA's former Poss Homes site near Howard School of Academics and Technology.
CHA would get Dogwood and 2.8 acres at the East Brainerd Elementary site, plus some cash.
The school board has yet to vote on the deal. One board member, David Testerman, released a statement Thursday saying he doesn't support the trade.
Read the full story in Saturday's Times Free Press.