Cottages of Idlewild

18-unit CLT-LEHC development, Raleigh, NC — active case study

Stub

This is the closest North Carolina precedent for Wellspring. 18 units, CLT ground lease, city gap funding, built for approximately $145,000/unit, serving 30–80% AMI households.

What We Know

  • 18 homes in Raleigh
  • CLT ground lease structure (likely through Raleigh Area Land Trust or similar)
  • City gap funding was part of the financing stack
  • ~$145,000/unit construction cost — significantly below market
  • Mix of AMI targeting

Open Questions

  • Which CLT holds the land?
  • What was the full financing stack (CDFI, HOME, CDBG, gap loan)?
  • What’s the governance structure — self-managed co-op or third-party management?
  • What’s the per-unit carrying charge and how does it compare to market rents?
  • How long did pre-development take?

Why It Matters

Raleigh is directly comparable to Durham — similar market, similar land costs, similar political environment. If Cottages of Idlewild penciled at $145K/unit, that’s a realistic benchmark for what Wellspring could target. Their financing stack is a model to study before we approach NCHFA, Durham’s housing office, or Self-Help.

To Research

  • Find the CLT partner
  • Locate financing documents or public records
  • Contact developer or property manager for lessons learned