WORKSHOP ITEM Erik J. Thorvig, Economic Development Coordinator
Title
DISCUSS POTENTIAL EDA PROPERTY ACQUISITIONS
Background
Several properties are currently for sale that are either within identified redevelopment areas in the 2040 Comprehensive Plan or are potential redevelopment sites.
8550 Van Buren St.
This property is the former Jimbo’s restaurant. It’s currently for sale for $207,777. Any new user will be required to bring the site into compliance with current zoning standards related to setbacks, landscaping, parking, etc. The building also has fire and building code issues that would need to be addressed prior to occupancy. These generally relate to handicap accessibility, kitchen equipment and plumbing, and fire suppression. Given the issues, staff believes a purchase by the EDA and demolition of the building is the most logical solution. The property is only one-third of an acre which would make it difficult to redevelop as a commercial use. The best long-term use of the site is for stormwater ponding or a single family house.
105th Ave. and Baltimore St.
This is a vacant lot along Highway 65, south of Culver’s restaurant. The asking price is $375,000 and has been for sale for over a year. Last August the EDA purchased the property at 1409 105th Ave. to plan for redevelopment of the corner of 105th Ave. and Highway 65. The area is identified as a redevelopment area in the 2040 Comprehensive Plan with the specific strategy of assembling properties from willing sellers. When the area was discussed at a city council workshop last summer, the city council discussed whether it made sense to purchase this property. Staff believes it makes sense to purchase the property to prevent a standalone development that could compromise redevelopment of the corner properties. Several developers have looked at this corner and having additional land under control of the EDA will make redevelopment of the corner more feasible.
8839 Central Ave.
This single family house recently came on the market as “For Sale by Owner”. The house was built in 1927 and is non-conforming based on the existing zoning. When contacted about price, the seller stated they didn’t have a set price. An office building exists directly to the south, and the EDA owns three properties to the south of the office building. The entire block from 87th Ave. and north is identified as a redevelopment area in the 2040 Comprehensive Plan with the specific strategy of assembling parcels from willing sellers. If acquired, the property would be held until a larger redevelopment could occur.
Recommendation
Discuss each property and provide staff direction whether to pursue purchase.