Number
130900
Version
SUBSTITUTE 1
Reference
Sponsor
ALD. MURPHY, BAUMAN, DAVIS and BOHL
Title
Substitute resolution authorizing the establishment of a pilot program to use real estate brokers to list, market and have limited management and monitoring responsibilities for tax-foreclosed residential property.
Analysis
This substitute resolution approves a pilot program under which the City will enter into listing contracts with a limited number of real estate brokers for up to nine months to market and have limited management and monitoring responsibilities for up to 100 vacant, City-owned residential properties that the City acquired by property tax foreclosure.
Body
Whereas, The Department of City Development ("DCD") is, under the Milwaukee Code of Ordinances ("MCO") 308-1-2-k and 304-49, responsible for attending to the operation, maintenance and repair of in-rem parcels, including habitable neighborhood properties (as defined in MCO 304-49), until they are sold; and
Whereas, In accordance with the City's standard offer to purchase form for residential units, the City currently pays a commission to brokers for bringing buyers to the City who close on the purchase of habitable neighborhood properties but, heretofore, those brokers have been buyer-brokers (not selling or listing brokers) and the City has not entered into listing contracts with the brokers; and
Whereas, In an effort to increase sales of City-owned, in-rem parcels, DCD now wants to experiment with the marketing of vacant, habitable, neighborhood parcels by engaging brokers, as selling/listing brokers, for a commission under listing contracts, under which the brokers will have certain marketing duties as well as certain inspection, monitoring and reporting duties; and
Whereas, In light of current economic conditions and the growing number of parcels in the City-owned inventory, the Common Council wishes to promote sales and to allow a trial period for the use of selling/listing brokers; now, therefore, be it
Resolved, By the Common Council of the City of Milwaukee, that the Common Council authorizes the trial use of selling/listing brokers, with up to five brokers to be selected by DCD through a Request for Qualifications process for professional services, for up to nine months, to market and have limited management responsibilities, with respect to up to 100 vacant (unoccupied), City-owned, habitable, neighborhood properties (MCO 304-49-2-b-1) that the City acquired by in-rem property tax foreclosure, understanding that per MCO 304-49-4-a, DCD will be using the selling/listing brokers to advertise and market the parcels for conveyance as allowed by MCO 304-49-4-a and 304-49-7; and, be it
Further Resolved, That DCD shall report back to the Common Council at the end of such nine-month period regarding the results of the pilot program; and, be it
Further Resolved, That the appropriate City officials and employees are directed to take such actions, as may be necessary or required, to effectuate the intent and direction of this resolution, including DCD Commissioner, or designee, entering into listing contracts and conveying as contemplated herein.
Drafter
DCD:MLB:mlb
11/15/13