Lottery winner donates apartment complex to help families in crisis

Apr 22, 2012, 8:10 am (37 comments)

Powerball

Winner has given millions to charities since 2010

MARTINSBURG, W.Va. — Randy Smith, a West Virginia multimillion-dollar lottery winner turned philanthropist, listened Friday to how his donation of an apartment complex is turning into a sustainable community housing program for families in crisis.

Smith, 65, a former Berkeley County sheriff and magistrate, won a $79 million Powerball lottery in August 2010. The total dropped to $44 million after taxes when he opted for a lump-sum payment.

Since then, Smith has been giving away millions to charities, area fire, police and emergency service agencies, local causes and individuals.

In December, 2010, the United Way of the Eastern Panhandle benefited from Smith's largesse when he donated his 24-unit Mega-Apartment Complex in the 4000 block of Winchester Avenue.

A year later he donated the family home in which he grew up to honor of his parents, Edwin W. and Bertha D. Smith, and his late sister, Beverly Diane Smith, who lived in the residence until her death in 2011.

He said during a news conference Friday at the United Way headquarters on 218 W. King St. that he became aware of the shortage of emergency housing for families during his 12 years as a deputy sheriff and eight years as sheriff.

While praising the efforts of emergency shelters like Bethany House and the Union Rescue Mission, facilities for women and men, respectively, both had residency requirements that forced families to be split up.

Illness, loss of employment, fires and other misfortunes caused families to lose their homes. He said he wanted to provide a facility "that would keep families together at the worst of times."

Jan Callen, outgoing president and chief executive officer of the United Way of the Eastern Panhandle, said Smith's donation of the property — valued at $1 million, plus $100,000 in cash — made it "more than a donation; it made it a mission."

Callen said often when a charity is given real estate "it becomes an albatross around their necks."

The United Way's board of directors agreed to use the donation for a pilot project that would eventually meet Smith's intention of creating an ongoing emergency housing program for families in crisis and keep them in stable housing until their conditions improve.

A committee was formed, a consultant hired and the United Way partnered with the Community Networks, Inc., a local agency with a track record of helping homeless families.

It was new territory for a United Way organization, Callen said.

"Panhandle housing advocates have sought a sustainable solution, and the donation of this property provides the resources to develop one," he said.

Phenix Group LLC, a local property management company, was hired to manage the 24 rental units in the apartment complex.

The facility includes an emergency shelter apartment, nine, one-bedroom and 11, two-bedroom apartments, and the four-unit apartment house. Twenty units are currently occupied. Tenants pay rents that are $200 below market rates.

Rental income is projected to net the United Way's housing program more than $30,000 a year after expenses.

"The message here is that housing underpins everything that the United Way is doing," Callen said.

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Comments

VenomV12

I remember watching this guy on the TV show, he is a truly awesome and amazing person. 

What a great man.

steph219121's avatarsteph219121

We need more people like this man to win!

Littleoldlady's avatarLittleoldlady

That is what I call a REAL donation.  I wonder what 200.00 below market value equates to there?   In my county  the "fair housing market value" is around 600 per month.  I see why folks are without a place to stay. 

Piaceri

A big THANK YOU to Mr. Smith for showing people how to do a lottery win right. God bless.

Mr-Smith's avatarMr-Smith

Quote: Originally posted by Piaceri on Apr 22, 2012

A big THANK YOU to Mr. Smith for showing people how to do a lottery win right. God bless.

Your welcome..... lol...Jester Laugh

 

Not me but I had to do it........lol

Lucky SOB

great way to help others with lottery winnings. i just hope his money gets to where it needs to be and not all in the pockets of greedy people

Cletu$2's avatarCletu$2

Helping the needy,but not the greedy is what winning a lottery should be all about.Way to go Mr.Smith.

rdgrnr's avatarrdgrnr

There are still some good people in this country.

God Bless Randy Smith.

surimaribo24's avatarsurimaribo24

heads off for mr smith.

god bless .

CDanaT's avatarCDanaT

Finally, a great example of a person who won a large amount of money with the common sense to manage it. Constantly giving back and still maintaining a professional demeanor in doing so.....Thanks Randy....I hope to follow your lead within the year.

dr65's avatardr65

I think what initially drove Smith to donate his family home and especially his 24 unit complex to charity became transformed into something

more property management company friendly.

His main intentions were excellent and I applaud his kind hearted contribution, I'm sure he will continue in that direction.

What bothered me about the article was the fact that 20 of the 24 units are being rented at $200 below market value. The need for emergency

housing due to 'illness, loss of employment and other misfortunes' isn't remedied by a reduction of $200 off the going rate. The reasons for need

- no job, home destroyed by fire, illness, etc - are devasting to most both emotionally and financially. For most, I'm sure there is no money left

to see any benefit in what the ~good people~ at Phenix Group LLC and the United Way's housing program felt was a good thing for those in need.

The rental income, generating a net of $30,000 a year after expenses, is the true bottom line. It's an ongoing cycle. It's depressing when good

intentions are tarnished by too many cooks spoiling the stew.

dpoly1's avatardpoly1

Thank you Mr. Smith!
This is how charitable work was done before Wilson's income tax was passed into law.
Don't tell me to "prove it", do your own research!
Mr. Smith went public with his generosity. Many of the "evil 1%"  do this sort of thing, but do not go public.
I wish that the Grammar School whiners would get some maturity & not cry about the wealthy!

dallascowboyfan's avatardallascowboyfan

WTG Mr. Smith.......Hurray!

LottoLin

We need more MR. Smiths in this world, whether or not as winners of Lottery winners or people that came into money through their family inheirtance. It's a shame though that, Lottery winners can't take advantage of the Loop-holes the filthy rich do, so they don't have to pay all the taxes the Lottery winners have to pay. Look at Mr Smith he  won $79 million and after taxes he ended up with $49 million, that's  $30 million in taxes they took off, heck Mitt Romney doesn't pay that much taxes on all the millions he makes because of the loop holes he's entitled to, in the millionaire club. But if you win several million dollars you don't fit into that club so that rake you over the coals. Go figure.

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