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Overlooked clause derails Habitat for Humanity affordable housing project in Halifax

WATCH: A 24-year-old clause on five acres of land, recently acquired by Habitat for Humanity, restricts development in the area and is now jeopardizing the not-for-profit group's massive 78-unit affordable housing project. Jeremy Keefe reports – Nov 20, 2018

Five acres of land belonging to Habitat for Humanity isn’t going to be developed into a 78-unit affordable housing community as immediately as the not-for-profit group had intended due to a clause restricting development that recently came to light.

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The overlooked covenant was brought forward by Paradigm Investments who previously owned the land in question.

When they sold it to Cadillac Developments in 1994, a clause restricting the property to R2 zoning was put in, limiting the land to buildings like duplexes and forbidding multi-rental units like apartments.

READ MORE: Habitat for Humanity struggling with constant stream of construction material theft

The information was missed when Cadillac signed over the land to Habitat for $1, six years ago.

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“When the property was purchased by Habitat in 2012, the covenant didn’t appear anywhere on the deed,” said Steve Adams, District 11 Coun. Steve Adams.

“We have a number of Habitat homes in our community and this is an opportunity for another 78 families to own their own home.”

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Habitat for Humanity said in a statement that they have retained legal counsel after attempts to come to a resolution were unsuccessful.

They intend to file a court application with the aim of going forward on what they call the largest affordable housing community in the country.

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Adams said he’s offered to help the two parties come to an agreement and hopes one can be reached without it becoming a legal matter.

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“Hopefully, this will come to a conclusion that is without courts, without lawyers and with a settlement that is suitable for all,” he said.

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