Property acquired by the Coon Rapids Housing and Redevelopment Authority (HRA) in 1999 through the scattered sites acquisition program has been sold.
The HRA, which comprises the seven members of the Coon Rapids City Council, demolished the home on the property at 10223 Hanson Blvd. after it was purchased.
The lot has been sold to Richard Beyer, a Coon Rapids resident, for $50,000, which reflects current market value, according to Matt Brown, city community development specialist.
“It’s a gorgeous, wooded lot,” said Mayor Tim Howe, who chairs the HRA.
A licensed contractor, Beyer plans to build and occupy the house.
As such, he wanted to wait until the HRA approved the lot sale before designing a house plan, Brown wrote in his memo to the HRA.
The purchase and redevelopment agreement approved by the HRA requires Beyer to submit a house plan meeting the HRA’s design criteria by Feb. 15.
Under the HRA design criteria, the house must be single-family and owner-occupied with a minimum of three bedrooms and two full bathrooms, plus a full basement unless soil conditions prevent that.
Value added amenities such as greatrooms, dens or porches are required and energy efficient products and construction techniques are encouraged.
Assuming city staff approves the house plan, closing on the sale will take place by Feb. 15, according to Brown.
The agreement also requires completion of the house by Dec. 31, 2013 otherwise the title to the property reverts back to the HRA, Brown wrote.
Through its scattered sites acquisition program, the HRA purchases and demolishes blighted or substandard homes, in most cases foreclosed, and replaces them with higher quality houses.
Staff can negotiate the purchase of properties meeting certain criteria without coming to the HRA for approval.
• The purchase price is not more than $70,000.
• The properties are blighted and in substandard condition and the cost of fixing deficiencies exceeds the value of the property.
• Prior to the acquisition of each property, staff will conduct due diligence to protect the HRA’s interests.
Peter Bodley is at firstname.lastname@example.org