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Street Scout reports 13 tiny homes measuring 600 square feet each are going to be built in a new development that will be known as Tempe Micro Estates. Tempe is just east of Phoenix. Construction is expected to start in April or May and be complete by the end of the year or early 2021. The homes are being built by the Newtown Community Development Corporation, a Tempe-based nonprofit. and they will sell for between $165,000 and $215,000 depending on the homeowner’s income. “This isn’t the solution, but it is a solution to affordable housing and workforce housing issues," Tempe Vice Mayor Lauren Kuby said.

Tempe Micro Estates will be built on three vacant lots near Rita Lane and Spence Avenue, which Tempe purchased with federal funds to spur the development of affordable housing. The homes will be sold for below market value, said Allen Carlson, Newtown’s executive director.

About half the homes will be available for people making less than 80% of the area's median income, which is $46,650 for a two-person household. Prices are still being finalized but Newtown estimates that homes will be between $165,000 and $185,000 for the lower income homeowners, Brewer said.

Prices will be more for those with higher incomes. Current estimates are between $200,000 and $215,000, but that could change, she said. Homeowners also will be required to pay $135 per month toward HOA and land lease fees. The homes are part of a Community Land Trust, which ensures the homes remain affordable in perpetuity and that homeowners can't sell them for a large profit.

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