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Purchase of Property_1573 Washington StreetMasterpiece on the Mississippi Dubuque htril AN- AmericaCiry 2007 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Purchase of House for Deconstruction in Washington Neighborhood DATE: April 27, 2011 As part of the strategy for revitalizing the Washington area, selected properties have been identified for removal, due to dilapidated condition and infeasibility for rehabilitation. Housing and Community Development Department Director David Harris recommends City Council approval to purchase a house located at 1753 Washington Street for the appraised value of $43,000 from Tracy and Sam Puccio. Funds are available in the City budget under "Problem Properties Acquisition." Due to the substandard condition of the building, it will be deconstructed and removed. The property is adjacent to the Historic Washington Row Houses project, now under construction. The vacated lot will be redeveloped into off - street parking and as a screened storage area for trash containers at the rear alley. The cost for installation of the paved parking area is estimated at $16,000, which will be split between the Parking Division and the Housing's Row Houses construction budget. Six parking spaces will be developed and will be leased on a first - option basis to Row House owners, and otherwise to the general public. I concur with the recommendation and respectfully request Mayor and City Council approval. M hael C. Van Milligen MCVM:jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager David Harris, Housing and Community Development Department Director Masterpiece on the Mississippi Dubuque Wait AN- America city 1/ 2007 TO: Michael Van Milligen, City Manager FROM: David Harris, Housing and Community Development Department SUBJECT: Purchase of house for Deconstruction in Washington Neighborhood DATE: April 20, 2011 Introduction The purpose of this memorandum is to request City Council authorization to purchase a house located at 1753 Washington Street for the purpose of its deconstruction and removal. Background As part of the strategy for revitalizing the Washington area, selected properties have been identified for removal, due to dilapidated condition and infeasibility for rehabilitation. To date, three derelict houses have been purchased and deconstructed. These were located at 141 East 11 Street and 346 and 347 East 19 Street. The vacated parcels have been or will be sold to adjacent property owners, either for additional parking or green space. Discussion The fourth home proposed for acquisition and removal is located at 1753 Washington Street. It is in substandard condition, occupied by a large family and is not a candidate for rehabilitation. The family is in need of a larger dwelling and is currently searching for another home. The property is owned by Tracy and Sam Puccio. Historic Preservation Commission review will be required for issuance of the demolition permit, as the house is located in a conservation district. However, the house is a non - contributing structure and should receive approval according to district guidelines. This property is adjacent to the Historic Washington Row Houses project, now under construction. The Row Houses when completed will be individually sold to owner - occupants. The vacated lot will be redeveloped into off - street parking (see attached enhanced aerial photograph) and as a screened storage area for trash containers at the rear alley. The property has been appraised at $43 000. Funds for purchase and removal of the house are available from CIP No. 1011002 -73111 Problem Properties Acquisition in the Housing Department's budget. Costs for installation of the paved parking area, estimated at $16 000, will be split between the Parking Division 5 Street Ramp Re- tamping Project Alliant Energy Rebate and Housing's Row Houses construction budget. Six parking spaces will be developed. These will be leased on a first - option basis to Row House owners, and otherwise to the general public. Recommendation The completed Row House units are projected to sell at $85 000. However, no off - street parking is available. Only a rear courtyard offers outdoor use; this will be developed as an attractive patio area (see attached illustrations) and will not be conducive to outdoor storage of trash and garbage. Purchase of the adjacent property will provide for needed parking and enhance the marketability of the Row Houses project for owner - occupancies. Action Step The action requested of the City Council is to approve the attached resolution, authorizing the purchase of property located at 1753 Washington Street, from Tracy and Sam Puccio, for $43 000. cc: David Heiar, Economic Development Department Tim Horsfield, Parking Division RESOLUTION NO. 143-11 A RESOLUTION APPROVING THE ACQUISITION OF REAL ESTATE LOCATED AT 1753 WASHINGTON STREET, IN THE CITY OF DUBUQUE WHEREAS, the City of Dubuque intends to acquire certain properties located in the Washington Neighborhood Revitalization Area for the purpose of clearance of blighted structures; and WHEREAS, a purchase agreement has been finalized with the owner. 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 acquisition of the following legally described property: North 1 /2 , and the North 2 feet of the South 1 /2 of Lot 89 in East Dubuque, an Addition in the City of Dubuque, Iowa according to the recorded plats thereof At the cost of Forty -three thousand dollars ($43 000). Section 2. That the City of Dubuque be and is hereby authorized to accept a Quit Claim deed from the owner, conveying the owner's interest to the City of Dubuque, Iowa for the herein described real estate. Section 3. - That the City Clerk be and he is hereby authorized and directed to cause said Quit Claim 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 he is hereby directed to forward a copy of this Resolution to the Dubuque County Assessor and the Dubuque County Auditor. PASSED, APPROVED AND ADOPTED this, /I Attest ev' S. Firnstah , Acting City Clerk ay of May, 2011. Roy D. r ' ol, Mayor