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Community & Economic Development
1865
1200 County -City Building, 227 West Jefferson, South Bend, Indiana 46601 -1830 Phone 574/235 -9371 Fax 574/235 -9021
To: Redevelopment Commission
From: Matthew Sikora, Economic Development Planner 5
Subject: Monroe Park Neighborhood — purchase offers
Date: October 25, 2011
This memo is an update and request to proceed regarding the proposed sale of five
Redevelopment -owned properties in the Monroe Park Neighborhood (a list of the properties
is attached for reference).
On June 28, 2011 the Redevelopment approved bid specs, fair - market valuation, and
advertising of legal notices to begin the disposition process for each of the five properties.
At the July 26, 2011 Redevelopment Commission meeting, staff reported that no bids had
been received on any of the properties and that they would thus be able to be sold at a
negotiated price less than the Minimum Offering Price. On September 27, 2011 the
Redevelopment Commission approved a contract with Bruce Gordon to list and market four
of the five properties. We have received offers on all five of the properties.
310 E South Street and 602 Carroll Street — We've received a cash offer of $5000 and
$10,000, respectively. A neighbor adjacent to the properties plans to install his mother in
one of the homes and maintain the other as a rental unit, keeping the current tenant (an
elderly woman renting through HDC) until such time as she decides to vacate. Both
properties will require maintenance /repairs of up approximately $7500, which is a part of the
reason for the lower bids. The bidder on these properties has a well- maintained home
(that's current in taxes and has had no code issues), is active in the neighborhood
association, and has expressed his desire to purchase these properties in an effort to
maintain the integrity of the neighborhood. As such, staff recommends accepting the offers
and requests permission to proceed with a Contract for Sale and associated documents
(including lease termination with HDC) necessary for the sale of these two properties.
628 Rush Street 609 Columbia Street and 620 Columbia Street — We've received one offer
for 628 Rush Street for $10,000 and a second offer for $40,000 for the three properties and
including 310 E South (or approximately, $10,000 per home). In both cases, it's been
determined that the offers are likely not coming from within the neighborhood but from out
of town (and out of state) investors looking to rent or turn them over. Staff, in consultation
with our real estate agent, requests a rejection of all offers at this time.
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Property
Size
Minimum Offering
Price
proposed Use
609 Columbia Street
1,144 ftz (S)
$15,500
018 - 3026- 093901
Lot: 58'x 46'
Residential projects that
are permitted within the
"SF1" and "SF2"
628 Rush Street
1,344 ft2 (S)
$17,500
Residential District
018 - 3031 -1183
Lot: 41'x 51'
zoning designation.
310 E. South Street
1,446 ftz (S)
$25,000
Strong emphasis will be
018 - 3026 -0936
Lot: 42'x 116'
placed during the review
process on compatibility
with the goals and
objectives of the Monroe
602 Carroll Street
1,823 ftz (D)
$27,000
Park Neighborhood and
018 - 3026 -0934
Lot: 54' x 100'
the South Bend Central
Development planning
area, with an added
preference for single -
620 Columbia Street
1,174 ftz (D)
$17,000
family structures.
018 - 3026 -0962
Lot: 40'x 153'
(S) = Single- family unit (D) = Duplex