Finance Committee - 9/5/2018 Page 11
Mayor Donchess
But they like this approach better, correct?
Alderman Caron
Ok and the other thing is would this be continued constantly or would you do an auction for 38 % West Hollis
Street which is small, how much money are you going to get for the market value for that, because it is in such
tough shape. It’s just a question because we haven't had this before, so | think it is important to understand
why we are shifting from one thing to another. | appreciate that if you went to local real estate agents and
nobody wanted to participate, well that is on them. My concern is that we tried to deal with our local
businesses and | appreciate your comments.
Mayor Donchess
With respect to 38, because the property is in such bad shape, what we really want at least | would say what
we really want is someone who will come in and do a good job rehabbing it, right? And there are certain non-
profits in the area that might be much more responsible owners and rehabbers of a property such as that
rather than someone who is just going to bid the most and then they'll milk it for whatever they can get out of it.
So in that instance, that property, there are others involved, but that one, we want to make sure we Sell to a
buyer of our choice as opposed to necessarily the highest bidder in order to reduce blight and slums in
downtown.
Alderman Caron
| agree, thank you.
Mr. Cummings
So just to echo what the Mayor was saying, the way you can do that and achieve that goal is through a P&S
process, a purchase & sales agreement where you can negotiate some of these terms and have them actually
in a binding contract as opposed to selling as is, whereas, absolute auction type sale where you are then once
we dispose of it, we are then left to whatever actually occurs there. So this gives the municipality more of an
opportunity and the direction of the potential future use of the site.
Mayor Donchess
Now this only authorizes the broker, this does not authorize the sale. So were we to arrive at a purchase price
or whatever with any potential buyer, that would have to come back to the Board of Aldermen for approval. So
all you are approving here is the idea of entering a contract with the broker. We would still have to approve the
sale. Why do you say no?
Mr. Cummings
Mr. Mayor if | may just add that it is my understanding that the Board of Aldermen already acted on a few of the
Broad Street Parkway properties in giving the ability for the City to sell them. So there was already a resolution.
Mayor Donchess
| am more focused on 38 West Hollis Street, at least with respect to 38 West Hollis Street, we would have to
come back and propose how we were going to go forward.
MOTION CARRIED
