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<br />Item No: 7A <br />Meeting Date: Mar 12, 2007 <br />Type of Business: Business <br />Administrator Review: ____ <br />City of Mounds View Staff Report <br /> <br />To: Mounds View Economic Development Authority <br />From: James Ericson, Community Development Director <br />Item Title/Subject: Consideration of a Request for Demolition Assistance <br />for the Property Located at 2617 Sherwood Road <br /> <br />Introduction: <br /> <br />Gary and Margaret Krig are the owners of the property located at 2617 Sherwood Road. <br />Purchased in 2006, the Krigs desire to demolish the building and construct a new home in its <br />place. To help achieve their redevelopment vision, the Krigs have requested funding through <br />the City’s Housing Replacement Program. The program has two funding options, the first <br />being an acquisition of the property from a willing owner with the City coordinating the <br />demolition and marketing of the site to a developer for a new home, the second option <br />providing only demolition assistance to existing property owners who would like to tear down <br />their older, blighted home and construct a newer home in its place. The intent of the second <br />option is to encourage residents to stay in the community while promoting new housing to <br />enhance property values (and tax base) for the subject property and neighborhood in <br />general. <br /> <br />Discussion: <br /> <br />The house located at 2617 Sherwood Road has been the source of many enforcement <br />actions over the years, prior to the Krigs’ ownership. This report will not detail the past <br />enforcement history of the property or its previous owners, except to say that the home was <br />posted unfit for habitation with approved court orders to abate all code violations or face <br />condemnation by demolition. An offer was made by the City to acquire the property in 2005 <br />however the offer was rejected. Minimal work was subsequently done by previous owners to <br />avert demolition and the property was sold to the Krigs in 2006. <br /> Staff received a letter from Gary and Margaret Krig, the new owners of 2617 Sherwood <br />Road, requesting participation in the Housing Replacement Program (HRP). The Krigs have <br />requested Option #2 of the HRP. Option #2 provides for funding by the EDA for the <br />demolition of an existing home for the purposes of constructing a new home on the same lot. <br />The property is located a block west of Long Lake Road (see attached location map). The <br />owners do not presently occupy the property. Staff has completed an inspection of the <br />proposed property to verify the eligibility as outlined in the HRP policy. Item G of the HRP <br />policy states: <br /> <br />G. Property Eligibility Criteria <br />Program Staff shall evaluate each property for which an application is received to <br />determine its eligibility for the Program based on the criteria in this section. Program <br />Staff shall prepare property fact sheets for each property for which owners have <br />expressed an interest in participating in the Program, and shall make a drive by <br />inspection. Properties will be evaluated based on the following criteria outlined below. <br />To be eligible for participation, the house on the property must have one of the <br />characteristics noted in 1, 2, 3 or 4 below. <br />