04. Resolution 4412 - Authority to Sell 3 Lots - Teton Terrace�►L
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DATE:
June 29, 1998
TO: Glen Neier, City Attorney
Theresa White, Clerk of Council
FROM: Susan Moyer, PECDD Housing Manager
SUBJECT: Resolutions to Sell City Lots
Glen, please prepare two resolutions for the July 6, 1998, council meeting to sell the following
city -owned lots:
Lots 4 and 5 in the plat of Woodland Court, a re -subdivision of Lots 27, 28 and 29, Block
1 of Green Acres, located in the SE 1/4 of the SE 1/4 of Section 17, Township 28 North,
Range 31 West, Principal Meridian, Montana, Flathead County, Montana to Pacific
Homes and Land lnc.for $8,000 cash per lot and a $14,000 zero interest deferred second
mortgage per lot (ultimately to be assumed by the homebuyer and assigned to the Glacier
Affordable Housing Foundation).
Lots 24, 25 and 26 in Teton Terrace in the NE 1/4 of Sec. 12, T28N, R22W, PM, M,
Flathead County, Montana to H & H Enterprises for $6,000 cash per lots 24 and 2jand
$3,000 per lot for lot 26 and zero interest deferred second mortgages in the amount of
$10,000 per lot (ultimately to be assumed by the home buyers and assigned to the Glacier
Affordable Housing Foundation.)
cc: Lawrence Gallagher, Director PECDD
c:\homebuyer\council\July 8 permission to sell
Post Office Box 1997 - Kalispell, Montana 59903-1997
Telephone (406) 758-7700 - FAX (406) 758-7758
RESOLUTION NO. 4412
A RESOLUTION AUTHORIZING THE MAYOR, FINANCE DIRECTOR AND CLERK OF
COUNCIL TO EXECUTE THE DOCUMENTS NECESSARY TO TRANSFER LOTS 24, 25
AND 26, TETON TERRACE, A SUBDIVISION OF PORTA VILLA #2, RECORDS OF
FLATHEAD COUNTY, LOCATED IN THE NEl/,, OF SECTION 12, T28N, R22W,
P.M.M, FLATHEAD COUNTY, MONTANA TO H & H ENTERPRISES.
WHEREAS, the City Council of the City of Kalispell
recognizes a need for affordable housing within the
City, and
WHEREAS, the creation of affordable housing opportunities
has been established as a goal by the City, and
WHEREAS, the City has applied for and received a Community
Block Grant in the amount of $400,000.00 and a
Montana Home Investment Partnership Program in the
amount of $400,000.00 and will use a portion of
each grant to fund site development and
construction assistance to build the three single
family detached residences on said property and
other single family detached residences on
remaining lots owned by the City within the Teton
Terrace Subdivision, and
WHEREAS, the City intends to utilize the lots created and
improved to make property available to low income
first time home buyers meeting certain eligibility
requirements established by the Planning, Economic
and Community Development Department of the City of
Kalispell, Glacier Affordable Housing and lending
institutions responsible for providing construction
financing, and
WHEREAS, the City of Kalispell, a municipal corporation owns
certain real property, to wit: LOTS 24, 25 AND 26,
TETON TERRACE, RECORDS OF FLATHEAD COUNTY, LOCATED
IN THE NEY44, OF SECTION 12, T28N, R22W, P.M.M,
FLATHEAD COUNTY, and
WHEREAS, the City intends to utilize the lots created and
improved to make property available to low income
first time home buyers meeting certain eligibility
requirements established by the Planning, Economic
and Community Development Department of the City of
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Kalispell, Glacier Affordable Housing and lending
institutions responsible for providing construction
financing, and
WHEREAS, the PECDD, Glacier Affordable Housing and local
lending institutions adopted a procedure whereby
reputable contractors within Flathead County
submitted competitive proposals to build pre -
designed single family detached residences on the
within described real property for sale to pre -
qualified individuals desiring to obtain affordable
housing, and
WHEREAS, based upon review of proposals submitted by said
contractors, H & H Enterprises submitted the most
acceptable proposal to build single family detached
residences on the above described real property,
and
WHEREAS, the Montana Board of Housing has agreed to provide
up to $2,400,000.00 for the purpose of providing
permanent financing to qualified first time home
buyers, and
WHEREAS, the proposed project, because it is directed at low
income first time home buyers, requires that
individual lots be sold at less than the fair
market value, and
WHEREAS, the property is not held in trust by the City of
Kalispell for a specific purpose and therefore does
not require an election in order to authorize its
sale, and
WHEREAS, the property is not necessary for the conduct of
City business nor for the preservation of property
owned by the City and it is in the best interest of
the City of Kalispell and its inhabitants to sell
said property to pre -qualified low income first
time home buyers as described herein.
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NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
KALISPELL, MONTANA AS FOLLOWS:
SECTION I. That the Mayor, Finance Director and Clerk of
Council are hereby authorized and directed to
execute all necessary legal documents to
transfer all right, title and interest that
the City has in LOTS 24, 25 AND 26 OF TETON
TERRACE, RECORDS OF FLATHEAD COUNTY, LOCATED
IN THE NEl/,, OF SECTION 12, T28N, R22W, P.M.M,
FLATHEAD COUNTY, MONTANA to H & H Enterprises
for Twelve Thousand Dollars ($12,000.00) cash
for Lots 24 and 25, and Three Thousand Dollars
($3,000.00) cash for Lot 26, together with a
Note in the amount of Ten Thousand Dollars
($10,000.00) for each Lot, bearing no
interest, secured by a Second Mortgage.
SECTION II. Said Note, secured by a Second Mortgage shall
be assumed by the purchaser of the respective
lots and be assigned to Glacier Affordable
Housing at the time of closing of the
permanent loan. Said Note shall be due on
sale or refinance of said property secured by
the Second Mortgage.
SECTION III. That the proceeds of the sale of the lots,
authorized herein, shall be used to complete
City obligations for the full development of
Teton Terrace Subdivision for the benefit of
low to moderate income buyers within the City
of Kalispell.
PASSED AND APPROVED BY THE CITY COUNCIL AND MAYOR OF THE CITY OF
KALISPELL THIS DAY OF , 1998.
William E. Boharski - Mayor
Attest:
Theresa White
Clerk of Council
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