Bellingham City Seeks Nonprofit Partner for Transitional Housing Duplex

City recently learned it owns a duplex used for transitional housing for 36 years, now looking to transfer ownership to a mission-aligned nonprofit.

Published on Feb. 12, 2026

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The city of Bellingham, Washington has recently discovered that it owns a duplex in the Lettered Streets neighborhood that has been used for transitional housing by the Opportunity Council for the past 36 years. The city is now looking to quickly transfer ownership of the property to a nonprofit organization that can continue using it for transitional or supportive housing for people experiencing homelessness.

Why it matters

This case highlights the challenges cities can face in managing properties they own but may not have full awareness or oversight of, especially when those properties are being used by nonprofit organizations for community housing needs. Bellingham's efforts to find a new nonprofit partner to take over the duplex demonstrates the city's commitment to preserving transitional housing options, even as the current operator finds the property increasingly difficult to manage.

The details

The duplex, located at 1504 and 1506 I St., was originally a single-family home built in 1920 that was later converted into a two-unit, 1,100-square-foot property. Bellingham acquired the property in 1989 for $18,500 and gave it to the Opportunity Council under a quit-claim deed that requires the building to be transferred back to the city. Opportunity Council has been using the duplex for transitional housing for the past 36 years, but the organization's executive director says the property has become increasingly inefficient to operate and maintain as they focus on larger multifamily housing developments.

  • Bellingham acquired the duplex property in 1989.
  • Opportunity Council has been using the duplex for transitional housing for the past 36 years.
  • Opportunity Council recently decided it no longer wants to continue operating the duplex.

The players

City of Bellingham

The local government of Bellingham, Washington that recently discovered it owns the duplex property and is now looking to transfer ownership to a nonprofit organization.

Opportunity Council

A nonprofit organization that has been operating transitional housing out of the duplex property for the past 36 years, but has decided the property has become too inefficient to continue managing.

Greg Winter

The executive director of the Opportunity Council who stated the organization is recommending transferring ownership of the duplex to another mission-aligned nonprofit.

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What they’re saying

“As Opportunity Council advances larger multifamily housing developments (50-plus units), this small legacy property has become increasingly inefficient to operate and maintain, creating a disproportionate burden on our facilities team.”

— Greg Winter, Executive Director, Opportunity Council (The Bellingham Herald)

What’s next

The city of Bellingham has declared the duplex property as surplus, allowing it to be sold at below-market value to a nonprofit organization through a request for proposals process. Several nonprofit agencies that serve low-income and homeless individuals have been notified of the opportunity to acquire the property.

The takeaway

This case highlights the importance of cities maintaining clear records and oversight of properties they own, even when those properties are being utilized by nonprofit partners. Bellingham's efforts to find a new nonprofit operator for the transitional housing duplex demonstrates the city's commitment to preserving affordable housing options, even as the current operator faces challenges in managing the smaller property.