JUDGE BLOCKS D.C. SALE OF 2 SCHOOL BUILDINGS

CONVERT THEM FOR HOMELESS, ADVOCATES SAY

Housing activists in the District won a court order yesterday that temporarily blocked Mayor Marion Barry from selling two abandoned schools they want converted into housing for low-income or homeless people.

Barry, who rejected the activists' demands to convert the buildings, had city officials take bids for the two schools during an afternoon auction at the Martin Luther King Jr. library.

But the city, saying that the ruling by D.C. Superior Court Judge Joseph M. Hannon "was not conducive" to getting the highest prices for the properties, rejected the bids last night and said it would reschedule the auction. No new date was announced.

In his ruling, Hannon directed that a hearing be held next week to determine if the activists' complaint has merit.

"We think this is a good sign," said Susie Sinclair-Smith, director of the Washington Legal Clinic for the Homeless. "We're extremely happy that the judge acknowledged the tragedy of people having to live in shelters."

During the auction, the Lenox School, at Third and M streets SE, drew a bid of $1.4 million, and the Morgan School, at 2428 17th St. NW, brought $875,000, city officials said. Barry has said money would be used to help reduce the city's budget deficit.

Housing activists have argued that it would be more valuable for the city to convert the schools into apartments for impoverished families, a move they contend would help Barry close troubled city-managed shelters such as the Capitol City Inn and Pitts Motor Hotel.

But Barry has dismissed those claims, and city officials said yesterday they are confident that the sales of the two schools soon will be completed.

"The money from the sale of these schools is being counted on to help balance the city's budget," said Lurma Rackley, a spokeswoman for the mayor. "And secondly, we don't believe these buildings are in any shape to be renovated for low-income housing. It would cost more to renovate the buildings than it would to rehabilitate some of our current sites."

Activists contend the city has ample federal funds to transform the schools into housing units; they estimate that a total of at least 50 units could be built at the two sites.

"Thank goodness the judge understands the housing problems here far better than the mayor," said Terry Lynch, executive direc-

tor of the Downtown Cluster of Congregations, which has advocated causes for the homeless. "The mayor is turning his back on the desperate housing needs of residents in this city."

Barry also is planning to auction about 15 other city-owned sites in the next few months, all to help reduce budget deficits. City officials say they expect to raise $10 million from the sales.

In July, Barry canceled plans to auction a 143-acre tract in Beltsville that is owned by the city and used by the University of the District of Columbia for agricultural experiments. University officials said they still needed the property for academic programs.

Articles appear as they were originally printed in The Washington Post and may not include subsequent corrections.