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This Habitat for Humanity house was built accidentally on a city-owned lot on Quincy Street in Springfield. It was supposed to be built at 237 Quincy St., but is on the lot for 233 Quincy St.

(PETER GOONAN / THE REPUBLICAN)

SPRINGFIELD - The construction of a home for a low-income family in Old Hill by Greater Springfield Habitat for Humanity drew cheers in 2012, but had just one problem discovered the following year.

It was built on the wrong site.

Habitat, rather than build the house on a vacant lot owned by the nonprofit organization on Quincy Street, constructed the single-family home at an adjacent vacant lot at 233 Quincy St., owned by the city of Springfield.

"It's embarrassing," said Timothy Ryan, a Habitat board member, and a local lawyer. "But we have been very fortunate that the city has been so willing to work with us on finding a solution."

The mistake was not discovered until May 2013, when Habitat sought to finalize the transfer of the property to the family living there, Ryan said.

That solution began Monday when the City Council voted unanimously to give first-step approval to a home rule bill that, if passed by the state Legislature and Gov. Charlie Baker, will allow Springfield to sell the city-owned lot to Habitat for Humanity for $3,000 - after the fact of a house being built there.

Generally, the city must seek competing proposals for city-owned land, either through an auction or a formal request for proposals.

Ryan, a former Springfield city councilor, said the house on Quincy Street was among a few houses being built quickly by Habitat for low-income families displaced by the 2011 tornado.

He recalls there was even a press conference to celebrate the construction of the Quincy Street home in 2012, a time when the mistake was unknown, with Mayor Domenic J. Sarno among the attendees.

The mistake has not hurt the family, as they continue to live at the house even though the lot remains technically owned by the city, Ryan said. A formal agreement with the city holds the city harmless of any liability, he said.

A woman answering the door at the home Wednesday night declined to give her name but said she hopes to get additional information about the situation. She learned of the error after she was living in the house.

Geraldine McCafferty, the city's director of housing, said Habitat is among organizations helping low income people afford homes in Springfield, and working with the city on revitalization in the Old Hill area.

"The work Habitat does is great," McCafferty said. "They help low-income people into home ownership which is a big priority for the city. We are really happy the lawyers were able to figure out a way to resolve it."

Ryan said the home rule bill followed "productive, honest" discussions between city officials and Habitat. The price agreed upon, $3,000, was deemed a fair market value for a vacant lot in that area, officials said.

"Habitat is very appreciative of the city's good faith in working through this issue in a positive fashion," Ryan said.

Under Habitat's program, eligible low income families purchase the house and pay the taxes and insurance, but pay no interest, Ryan said. Generally, the monthly cost is less than the market rate cost of renting a similar sized apartment, he said.

Scenes from Habitat for Humanity groundbreaking on Quincy Street in 2012.