Number
230434
Version
SUBSTITUTE 1
Reference
Sponsor
ALD. STAMPER
Title
Substitute resolution authorizing the sale of the City-owned tax deed property located at 1633-35 North 18th Street to its former owner and a relative of the former owner as joint purchasors, in the 15th Aldermanic District.
Analysis
This substitute resolution waives the City buyer policy which prohibits the sale of City-owned real estate to a buyer whose property has been acquired by means of property tax foreclosure during the past five years, and authorizes the Department of City Development to sell the City-owned property at 1633-35 North 18th Street to its former owner and their relative.
Body
Whereas, The neighborhood property at 1633-35 North 18th Street, Tax Key 363-0781-100, (the “Property”) was acquired by the City of Milwaukee (“City”) from Cassandra J. Roberson (“Former Owner”) through in rem property tax foreclosure in December of 2022; and
Whereas, The Former Owner desires to purchase the Property back from the City; and
Whereas, The General Buyer Policies in Milwaukee Code of Ordinances (“MCO”) Section 304-49-9 provide that, “unless otherwise authorized by a vote of the common council,” the City shall not convey a City-owned property to a “party who owned property in the city that, at any time within the past 5 years the city acquired by means of property-tax foreclosure;” and
Whereas, The Common Council of the City of Milwaukee (“Common Council”) desires to authorize the sale of the Property to the Former Owner; and
Whereas, The Former Owner owes the City $47,142.27 in back taxes, interest, penalty charges, and property management expenses; and
Whereas, The Former Owner would like to pay the debt owed to the City and acquire the property; and
Whereas, The Former Owner’s niece will be purchasing the home with the Former Owner and will owner occupy the other residential unit; and
Whereas, The Department of City Development (“DCD”) recognizes the benefit of the Former Owner’s relative being on title to assist with the financing of the purchase; and
Whereas, DCD understands that having another family party on title will help ensure the property stays within the family for as long as desired; and
Whereas, The Former Owner and relative have provided proof of funds showing they have access to sufficient funds to pay the debt owed to the City; now, therefore, be it
Resolved, That the City by its DCD is authorized to accept an offer to purchase the Property from the Former Owner and relative, provided that the purchasers meet the following conditions:
1) Former Owner and relative submit an offer to purchase the property to DCD’s real estate division no later than 15 days following certification of adoption of this resolution.
2) Offer price equals the sum of the following items: all back taxes, interest and penalty charges owed to the City; all outstanding special charges owed to the City; all property management fees.
3) Former Owner and relative provide, with the offer to purchase, documented evidence of financial ability to pay the full sales price at closing, subject to DCD verification.
4) Former Owner and relative satisfy all other general buyer policies in MCO 304-49-9.
5) Former Owner and relative close the sale no later than 60 days following the certification of adoption of this resolution; and, be it
Further Resolved, That sale closing shall be in accordance with DCD customary practice and MCO 304-49, including 30 percent disposition fee to the Redevelopment Authority of the City of Milwaukee and net sale proceeds being distributed per MCO 304-49-12; and, be it
Further Resolved, That if the sale does not close within 60 days of the date this resolution is certified, the offer shall require termination of the offer, and DCD shall market the property to others.
Drafter
DCD:Amy.Turim:aet
7/17/23