Council to consider foreclosure orders for four long‑delinquent Portland properties

The Portland City Council heard a briefing March 5 on four properties referred for foreclosure because code‑enforcement liens are delinquent and owners have not remedied violations.

Foreclosure prevention manager Kevin Foster presented the cases and told the council the program’s goal is remediation and reuse; foreclosure is a last resort aimed at motivating owners to address nuisances that affect neighborhoods. Since the program began in 2016, Foster said 50 properties were referred; 42 paid off liens before sale, avoiding foreclosure. Ten properties proceeded to sale, returning proceeds to the city and other lienholders where applicable.

Properties presented: Foster described four residential sites with combined outstanding liens of roughly $265,000. Summaries given were: - 11514 SE Alder St. (vacant; mold, rodents, excessive yard debris; lien delinquent since Feb. 2008; owner’s son asked for additional time but had not returned a payment plan agreement) — staff said they will remove the property from the list if a payment plan is executed before second reading. - 111 NE Killingsworth St. (structurally fire‑damaged dwelling; graffiti; prior foreclosure action removed after owner paid in 2023; owner now in negotiations with Habitat for Humanity to demolish and build townhomes) — staff said foreclosure was previously averted at the last minute when liens were paid. - 10218 N Tyler Ave. (details reviewed in staff packet; part of coordinated city effort on vacant properties) — staff said the property has repeated nuisance complaints and police calls. - 4121 NE Grand Ave. (vacant lot, planned multi‑story development stalled; repeated complaints of vegetation and illegal camping; seven liens delinquent since 2020) — staff reported no owner engagement on this lot and repeated public nuisance calls.

Staff emphasized the city confirms properties are vacant before moving forward and that owners and parties of interest have received required notice. Foster described available alternatives before foreclosure: lien‑reduction review, payment plans up to 60 months, hardship accommodations and negotiated resolutions; once council authorizes foreclosure and the treasurer sets a sale, those options end until after sale redemption.

Council discussion: Councilors thanked staff but asked staff to improve communications with district councilors when status changes occur (Councilor Novick noted an earlier precedent where an owner paid at the last minute before sale). Councilor Dunphy urged sensitivity where elderly owners may have aged‑in‑place issues; councilors discussed using the program to remove blight while exploring options to make foreclosed parcels available for affordable housing.

Next steps: These four ordinances were introduced as first reading on March 5; council will consider final action at second reading on March 19. If council authorizes foreclosure, the treasurer will schedule a sale; owners may redeem property during the statutory redemption period after sale.