Sale of Property at 351 East 15th StreetTO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Sale of Property at 351 East 15th Street
DATE: November 10, 2009
Housing and Community Development Department Director David Harris recommends
City Council approval of the sale of the home at 351 East 15th Street to Michelle
Clemens for $85,000.
concur with the recommendation and respectfully request Mayor and City Council
approval.
chael C. Van Milligen
MCVM:jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
David Harris, Housing and Community Development Department Director
THE CITY OF Dubuque
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Masterpiece on the Mississippi
2007
TO: Michael Van Milligen, City Manager
FROM: David Harris, Housing and Community Development Department
SUBJECT: Sale of property at 351 East 15th Street
DATE: 3 November 09
Introduction
The purpose of this memorandum is to request the City Council's approval of the
attached resolution, authorizing sale of a house at 351 East 15th Street.
Background
The Housing Department purchased two single family residences from Elm Street
Development LLC, in January 08, to forestall commercial redevelopment of a residential
neighborhood and prevent demolition of otherwise good `vernacular'-style housing.
These were located at 1523 Elm and 351 East 15th Street. A third house, at 1567 Elm
Street, was purchased by DB&T's community development corporation, rehabilitated
and resold in November 08.
Discussion
Using private contractors and HEART Program students, the other two houses have
been rehabilitated and made available for sale. A buyer has now agreed to purchase
the property at 351 East 15th. She is a Section 8 Program homeownership voucher
participant who has graduated from our homebuyer education classes.
The home was purchased for $55 000; rehab costs totaled $22 000.. An additional
$6000 in lead paint remediation costs was made available as a grant through the Lead
Hazard Reduction Program. Sale price is $85 000. This "profit" will be applied to an
anticipated loss at sale of the property at 1523 Elm Street.
With a combination of first-time homebuyer and rehab grants and loans from the CDBG
Program and IFA Housing Trust Funds, the buyer, Michelle Clemens, will receive
$48 350 in City financing. American Trust will provide a $35 000 first mortgage. The
buyer's downpayment completes the financing package.
Action Step
The action requested of the City Council is to approve the attached resolution,
approving the sale of the home at 351 East 15th Street. Objectives included in this
project include provision of a rehabilitated home to an income-qualifying, first-time
homebuyer; preservation of historic housing; vocational training for HEART Program
students; and stabilization of the Washington Neighborhood through additional owner
occupancy.
RESOLUTION NO. 436-09
A RESOLUTION APPROVING THE SALE OF REAL ESTATE LOCATED AT
351 EAST 15T" STREET, IN THE CITY OF DUBUQUE, IOWA
WHEREAS, the City acquired the property at 351 East 15th Street for the
purpose of its rehabilitation and re-sale for owner-occupied housing; and
WHEREAS, such purpose supports the Washington Neighborhood revitalization
strategy as approved by the City Council; and
WHEREAS, a qualifying home buyer has signed an offer to purchase and
obtained financing.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF DUBUQUE, IOWA:
Section 1. That the City of Dubuque hereby approves the sale of the following
legally-described property:
"Wm Reisen Place," and Lot Two (2) of the South One-half (S'/2) of Lot 147 East
Dubuque Addition, in the City of Dubuque, County of Dubuque, Iowa, according to the
recorded Plat thereof,
at the cost of Eighty-five thousand dollars. ($85 000.)
Section 2. That the City of Dubuque be and is hereby authorized to provide a
Warranty Deed to the buyer, conveying the City's interest to Michelle Clemens for the
herein-described real estate.
Section 3. That the City Clerk be and she is hereby authorized and directed to
cause said Warranty Deed to be recorded in the Office of the Dubuque County
Recorder, together with certified copy of the Resolution.
Section 4. That the City Clerk be and she is hereby directed to forward a copy of
this Resolution to the Dubuque County Assessor and the Dubuque County Auditor.
16th
PASSED, APPROVED AND ADOPTED this = day of November, 2009.
Roy' D Buol, Mayor
Attest:
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Jeanne Schneider, CMC, City Clerk