Acceptance of Sheriff's Deed for 2015 Washington StreetMasterpiece on the Mississippi
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Purchase of Real Estate at 2015 Washington Street
DATE: July 13, 2010
MicMSael C. Van Milligen
Dubuque
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AU- Amedca
2007
Housing and Community Development Department Director David Harris recommends
City Council acceptance of the Sheriff's Deed for a two -story dwelling located at 2015
Washington Street that the City purchased for $81,063.51.
concur with the recommendation and respectfully request Mayor and City Council
approval.
MCVM:jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
David Harris, Housing and Community Development Department Director
Masterpiece an the Mississippi
TO: Michaek�y� n Milligen, City Manager
FROM: David Hay's Housing and Community Development Department
9 Y p p
SUBJECT: Purchase of real estate at 2015 Washington Street
DATE: 9 July 10
Dubuque
AD- America City
2007
Introduction
The purpose of this memorandum is to request the City Council's approval to accept the
Sheriff's Deed for a two -story dwelling located at 2015 Washington Street.
Background
The Housing Department made a $52 000 rehabilitation loan to Gronen Restoration in
2003 to completely renovate and restore this home. This was one of our earliest efforts
at reinvestment in the Washington Neighborhood. When completed, the home was
appraised at $148 000 and sold to an owner - occupant family.
Unfortunately, the owners' marriage failed and the property was sold. The buyer, Tanya
Avenarius, assumed the City's financing; the current balance on the loan is $47 579.
Subsequently, this owner defaulted on the first mortgage and foreclosure proceedings
were initiated. The Sheriff Sale was held on 8 July.
Discussion
The first lender bid $81 062.51 on the property; we bid an additional dollar and were
approved for purchase. Our Neighborhood Stabilization Program (NSP) Grant will be
used for this purpose. We have been working with a potential buyer and anticipate a
sale price of $92 000. Current assessed value is $113 000. Although we will lose most
of our loan, that balance will be attached to the property as a 5 -year forgivable third
mortgage. The benefits of purchasing the property include being able to 'control' the
sale and recruit a committed owner - occupant to the neighborhood. This serves to
forestall the efforts of the numerous firms which are now seeking to buy homes in the
area. Their typical approach is either to `flip' the property, providing high- interest land
contract financing; or to convert these homes to rentals. Neither approach generally
serves the long -term interests of the neighborhood.
Action Step
The action requested of the City Council is to approve the attached resolution,
authorizing acceptance of the Sheriff's Deed for the property located at 2015
Washington Street.
RESOLUTION NO. 258 -10
A RESOLUTION APPROVING THE ACCEPTANCE OF A SHERIFF'S DEED FOR THE
NORTHERLY 46 FEET OF LOT 20 IN STEINER'S ADDITION OR SUBDIVISON IN THE CITY
OF DUBUQUE, IOWA, ACCORDING TO THE RECORDED PLAT THEREOF, LOCATED AT
2015 WASHINGTON STREET
WHEREAS, the City of Dubuque has a secured interest in a property at 2015 Washington
Street; and
WHEREAS, this interest was subordinate to a first mortgage subject to forfeiture at a
foreclosure sale.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
DUBUQUE, IOWA:
Section 1. That the City of Dubuque hereby accepts the Sheriff's Deed attached hereto for
the property legally described as:
The Northerly 46 feet of Lot 20 in Steiner's Addition or Subdivision in the City of Dubuque,
County of Dubuque, Iowa, according to the recorded Plat thereof,
Section 2. That the City Clerk be and she is hereby directed to record this Resolution and
Sheriff's Deed to the Dubuque County Assessor and the Dubuque County Auditor.
PASSED, APPROVED AND ADOPTED this 19th day of July, 2010.
ttest: Jeanne Schneider, CMC, City Clerk
Roy Buol, Mayor
Preparedby: E.M. PALEN 770 IOWA ST DUBUQUE 563/589 -4403
individual ro..,.y Street Address City
Phone
Taxpayer CITY OF DUBUQUE 350 W 6TH ST DUBUQUE IA 52001.
Individual's Name Melling Address City State Zip
Retum Address:
SHERIFF'S DEED
In consideration of $ _ 81, 062.52 heretofore paid, I, KENNETH J. RUNDE
the following described property In DUBUQUE County, Iowa:
RECHOMBEIntainkiriateiMentrii
txmotiogaignautancoanxsuommancomeigemo this Deed Is itxgRazatglmaignftinatan
Issued on .TTTT Y 8, 7 010
In Cause Number
BAC HOME LOANS SERVICING, L.P. FICA COUNTRYWIDE HOME LOANS SERVICING, L.P.
TANYA L. AVENARIUS; CITY OF DUBUQUE, IOWA HOUSING & COMMUNITY DEVELOPMENT
Defendant DEPARTMENT; DOUG LEE STILL
Plaintiff
DUBUQUE County, Iowa, do hereby call and convey unto CITY OF DUBUQUE
THE NORTHERLY 46 FEET OF LOT 20 IN STEINER'S ADDITION OR SUBDIVISION IN THE
CITY OF DUBUQUE, IOWA, ACCORDING TO THE RECORDED PLAT THEREOF
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No Redemption
Date JULY 8, 2010
By Deputy Sheriff
On this 8TH day of JULY 2010 , before me a NOTARY FOR DUBUQUE COUNTY
In and for said County, personally appeared KENNETH .1. RUNDE Sheriff of said County,
to me personally known to be the Identical person whose name Is subscribed to the foregoing deed as grantor, and acknowledged
the execution thereof to be his voluntary act and deed as said for the purposes therein named.
STATE OF IOWA
DUBUQUE
COUNTY
(SEAL)
l d l PPO 'oN
JAMES O'BRIEN 300 MAXty . ST, .ST'E_, 334 _ _ DUBUQUE IA 52001
L 41 r _%'rrlrel�
Sheriff • DUBUQUE
, Sheriff of
County, Iowa
W Itnesa hand and seal, the day a
n ear last above written.
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Notary Public
ELAINE M. PALEN
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