Sale of Property at 2015 Washington StreetMasterpiece on the Mississippi
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Sale of property at 2015 Washington Street
DATE: October 8, 2010
Dubuque
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An- AmeilcaCUy
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2007
Housing and Community Development Director David Harris recommends that a Public
Hearing be set for November 1, 2010, for the purpose of disposing of City -owned real
property located at 2015 Washington Street to Jerry Chase and Julie Woodyard for the
appraised value of $91,000.
The property was purchased by Gronen Restoration in 2003 and completely renovated
and restored to its original condition. This was one of the City's earliest efforts at
reinvestment in the Washington Neighborhood. When completed in 2004 it was
appraised at $148,000 and sold to an owner - occupant family. The last family to own the
home subsequently defaulted on the mortgage. The City then acquired the home at
foreclosure sale for $81,062.51, using General Fund dollars.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Michael C. Van Milligen
MCVM:lw
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
David Harris, Housing & Community Development Department
Masterpiece on the Mississippi
TO:
FROM:
SUBJECT:
DATE:
Michael�V n Milligen, City Manager
David Hams, Housing and Community Development Department
Sale of property at 2015 Washington Street
5 October 10
Dubuque
bAd
A9- America City
2007
Introduction
The purpose of this memorandum is to request the City Council's approval of the
attached resolution, setting a Public Hearing for the purpose of disposing of City -owned
real property located at 2015 Washington Street.
Background
The property was purchased by Gronen Restoration in 2003 and completely renovated
and restored to its original condition. This was one of our earliest efforts at
reinvestment in the Washington Neighborhood. When completed in 2004 it was
appraised at $148 000 and sold to an owner - occupant family. The last family to own
the home subsequently defaulted on the mortgage. The City then acquired the home at
foreclosure sale, using General Fund dollars.
Discussion
Jerry Chase and Julie Woodyard, have signed an Offer to Buy and have agreed to
purchase the property and make this their new home.
The home was purchased for $81 062.51 at a foreclosure sale. Approximate appraised
value of the home is $91 000 which is the sale price. The home will be purchased with
a combination of City first -time homebuyer and rehab grants and loans totaling $24 000.
Owners have obtained a first mortgage from a local lender and will additionally commit
$4 550 as a downpayment. A $47 579 forgivable third mortgage will be assumed by
the buyer and placed on the property to insure homeownership for five years.
Action Step
The action requested of the City Council is to approve the attached resolution, declaring
the City's intent to dispose of the property and set the date for the public hearing to
receive comments on the proposed sale.
RESOLUTION NO. 408 -10
A RESOLUTION OF INTENTION TO DISPOSE OF CITY -OWNED PROPERTY,
SPECIFICALLY, 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, 2015 WASHINGTON STREET
WHEREAS, the City of Dubuque has purchased certain real property for purpose of its
rehabilitation and re -sale for owner - occupied housing; and
WHEREAS, the City received an offer to purchase this property from a qualifying family;
WHEREAS, such purpose supports the Neighborhood Stabilization Program and
Washington Neighborhood Revitalization strategy as approved by the City Council; and
WHEREAS, by accepting the selected offer the City's objectives of providing first -time
homeownership to a lower- income buyer and rehabilitation of a foreclosed home can be
realized;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
DUBUQUE, IOWA:
Section 1. That the City of Dubuque, Iowa, intends to dispose of its interest in the
following legally- described property:
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 of Dubuque, Iowa, proposes to dispose of its interest in the
above described real estate to Jerry Chase and Julie Woodyard for the sum of $91 000.
Section 3. That the City Clerk is hereby authorized and directed to cause this
Resolution and a notice to be published as prescribed by Iowa Code Section 364.7 of a
public hearing on the City's intent to dispose of the foregoing- described Property, to be
held on the 1st day of November , 2010, at 6:30 o'clock p.m. at the Historic Federal
Building, 350 West Locust, Dubuque, Iowa.
PASSED, APPROVED AND ADOPTED this 18th day f October , 2010.
Jeanne Schneider, CMC, City Clerk
Roy p : uol, Mayor