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Sale of Property - 595 Angella Street_Initiate Copyright 2014 City of Dubuque Items to be set for Public Hearing # 1. ITEM TITLE: Sale of Property-595 Angella Street SUMMARY: City Manager recommending a public hearing be set for July 18, 2016, on the sale of property located at 595 Angella Street to Craig Nesteby. RESOLUTION of Intent to dispose of City of Dubuque real estate, setting a time and place for hearing and providing for the publication of notice thereof SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Adopt Resolution(s), Set Public Hearing for 7/18/16 ATTACHMENTS: Description Type City's intent to dispose of 595 Angella Street-MVM City Manager Memo Memo Staff Memo 595 Angella Staff Memo Notice of Hearing 595 Angella Supporting Documentation Resolution of Intent Resolutions THE CITY OF Dubuque UBE I erica .i Masterpiece on the Mississippi 2007-2012-2013 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Contract for Sale of Property Located at 595 Angella Street DATE: June 29, 2016 Housing and Community Development Department Director Alvin Nash recommends the City Council set a public hearing for July 18, 2016, on the sale of property located at 595 Angella Street to Craig Nesteby, a local contractor, to purchase the property for $250, remove the deteriorated frame and use the existing foundation to build a single family owner-occupied structure for himself. 595 Angella Street is a vacant/abandon property which the City of Dubuque took possession of in February 2015 through Court Order by filing for Petition for Title. Nesteby will be responsible for the removal and disposal of the deteriorated frame, construction of a single family home on the existing foundation within one-year of City Council approval, payment of the $250 bid price and maintenance the lot and public walks. Upon fulfillment of this agreement, the City then would deed the property over to Nesteby. The 21 year restrictive covenant has already been attached to the property with the following provisions: The real estate will be restricted for residential use for no more than one (1) private single-family residential use. The real estate must be owner occupied. Rental of the real estate is not allowed. No portion of the real estate can be rented as an apartment. I concur with the recommendation and respectfully request Mayor and City Council approval. Mic ael C. Van Milligen MCVM:jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Teri Goodmann, Assistant City Manager Alvin Nash, Housing & Community Development Department Director THE CITY OF Dubuque AII11-America CiI.ty UB E1 Masterpiece on the Mississippi 2007.2012.2013 TO: Michael Van Milligen, City Manager FROM: Alvin Nash, Housing and Community Development Department SUBJECT: Contract for Sale of Property Located at 595 Angella Street DATE: June 27, 2016 Introduction The purpose of this memo is to propose the Contract for Sale of the property located at 595 Angella Street to Craig Nesteby, a local contractor, to purchase the property, remove the deteriorated frame and use the existing foundation to build a single family owner-occupied structure for himself. 595 Angella Street is a vacant/abandon property in which the City of Dubuque took possession of in February 2015 through Court Order by filing for Petition for Title. Background The City of Dubuque took possession of 595 Angella Street in February 2015 through Court Order by Petition for Title. Previous to the City taking possession, the property was a construction project consisting of a foundation and partially framed structure that didn't meet required setbacks. The owner of the property had discontinued construction and was not maintaining the property. Upon taking possession of the property in February 2015, the Building Department offered the property for sale through a closed bidding process. There was limited response and the highest bidder was not accepted for the project. Staff review of the abstract indicated that the current foot print of the foundation and structure did not meet the required set-backs. A request was granted by the Zoning Adjustment Board for a variance on required set-back requirements. The adjoining property owner also submitted a proposal that was rejected because of their desire to convert the property into a single family college rental. The rental would have increased the number of people utilizing street parking which is already limited because of other rentals in the neighborhood. Discussion City staff recently received a bid proposal for $250 from Craig Nesteby, a local contractor, to purchase the property, remove the deteriorated frame and use the existing foundation to build a single family owner-occupied structure for himself. Upon approval of this proposal, a Real Estate Contract will be executed, as well as a contractual agreement. Nesteby will be responsible for the removal and disposal of the deteriorated frame, construction of a single family home on the existing foundation within one-year of City Council approval, payment of the $250 bid price and maintenance the lot and public walks. Upon fulfillment of this agreement, the City then would deed the property over to Nesteby. The 21 year restrictive covenant has already been attached to the property with the following provisions: The real estate will be restricted for residential use for no more than one (1) private single-family residential use. The real estate must be owner occupied. Rental of the real estate is not allowed. No portion of the real estate can be rented as an apartment. 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 for July 18, 2016, to receive comments on the proposed sale and recommend the City Council approve the Contract for Sale of the property to Craig Nesteby in accordance with the above discussion and attached Agreement. 2 RESOLUTION NO. 265-16 INTENT TO DISPOSE OF AN INTEREST IN CITY OF DUBUQUE REAL ESTATE, SETTING A TIME AND PLACE FOR HEARING AND PROVIDING FOR THE PUBLICATION OF NOTICE THEREOF WHEREAS, the City of Dubuque, Iowa (City) is the owner of 595 Angella Street (the Property) legally described as: Lot 21 of Quigley's Subdivision of Out Lot 709 in the City of Dubuque, Iowa, according to the recorded Plat of said Addition WHEREAS, City acquired the Property as vacant/abandoned property in which the City of Dubuque took possession of in February 2015 through Court Order by filing for petition for; and WHEREAS, City and Craig Nesteby entered into a Contract Agreement pursuant to which City will convey the Property to Craig Nesteby as approved by the City Council; and WHEREAS, conveying the Property to Craig Nesteby is consistent with the City's intent for this specific property; and WHEREAS, City desires to hold the required public hearing and conveyance of the Property to Craig Nesteby. 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: Lot 21 of Quigley's Subdivision of Out Lot 709 in the City of Dubuque, Iowa, according to the recorded Plat of said Addition Section 2. That the City of Dubuque,. Iowa, proposes to dispose of its interest in the Property to Craig Nesteby for the sum of Two Hundred Fifty dollars ($250.00). 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 Property to be held on the 18th day of July, 2016, at 6:30 o'clock p.m. at the Historic Federal Building, 350 West 6th Street, Dubuque, Iowa. Passed, approved and adopted this 5th day of Jul , 2016. Roy D. Buol7 Mayor ATTEST: A Allf,apw,AroorAW Iv Kevi . Firnstahl, Cit -Clerk CITY OF DUBUQUE, IOWA OFFICIAL NOTICE PUBLIC NOTICE is hereby given that the City Council of the City of Dubuque, Iowa, will th hold a public hearing on the 18 day of July, 2016, at 6:30 p.m. in the Historic Federal Building, 350 West 6th Street, second floor, Dubuque, Iowa, at which meeting the City Council proposes to dispose of an interest in the following described real propertyby sale to Dawn M. Adams: Lot 21 of Quigley’s Subdivision of Out Lot 709, in the City of Dubuque, Iowa, according to the recorded plat thereof (locally known as 595 Angella Street) At the meeting, the City Council will receive oral and written comments from any resident or property owner of said City to the above action. Written comments regarding the above public hearing may be submitted to the City Clerk’s Office, City th Hall, 50 W. 13 Street, on or before said time of public hearing. Copies of supporting documents for the public hearings are on file in the City Clerk’s Office, and may be viewed during normal working hours. Any visual or hearing impaired persons needing special assistance or persons with special accessibility needs should contact the City Clerk’s Office at (563) 589-4100 or TTY (563) 690-6678 at least 48 hours prior to the meeting. Dated this 8th day of July, 2016. Kevin S. Firnstahl, CMC City Clerk 1t 7/8