Agenda Packets - 1997/12/03 - Laserfiche WebLink

Home Browse Search

Item No. Meeting Date 12-3-97 Type of Business WK . WK:: Work Session;PH:Public Hearing; CA:Consent Agenda;EDAB:EDA Business Mounds View Economic Development Authority Work Session Staff Report To: Mounds View City Council From: Cathy Bennett, Director of Economic Development Item Title/Subject: Discussion of 8005 Groveland Road under the Housing Replacement Program Date of Report: November 24, 1997 Per EDA direction, I proceeded with the negotiations for the purchase of 8005 Groveland Road under the Housing Replacement Program. The first offer was at the assessed value of $73,600 which was turned down by the owners. From there I ordered an appraisal which came in at $85,000. The owner also had the property appraised at $90,000. On previous purchases the City has not purchased a home over the appraised value. The owners would be willing to sell somewhere in between the two appraisals. 111 I think it is important to evaluate what thegoal is of purchasing p chasing this home and what the replacement would be. We have looked at the lot and it is wide enough to subdivide for two lots for single family homes. Another alternative would be to sell for the construction of twin homes as a buffer from the Highway Commercial uses to low density.residential. This alternative would require a rezoning of the property. A third alternative would be to try and work with the property owner at 2833 Highway 10 and redevelop the area as a commercial use or with a row of townhomes which could again act as a buffer to the single family neighborhood. ( see attached map of area) The appraisal for the home at 8005 Groveland Road rated the house in good condition. Even though this home met the criteria under the housing replacement program as substandard in size, the policy question that should be considered is if the market can absorb the opportunities with this site or should the City purchase to facilitate the development that is envisioned and desired for the area. If the goal is to rehab for commercial or multi-family, I would suggest that we purchase the home as Highway 10 Redevelopment Program rather than Housing Replacement Program.