The City Commission on Oct. 23 asked staff to draft a uniform policy for sale or transfer of surplus city-owned residential lots, directing legal and finance staff to prepare standard templates and protective mechanisms such as deed restrictions, reverter clauses, performance mortgages and rights of first refusal.

Staff framed the discussion as seeking consistent, transparent safeguards that protect long-term community benefits and prevent speculative flipping. Staff recommended a tiered approach: for non-CRA lots, deed restrictions (for example five-year resale restrictions and owner-occupancy conditions) and right-of-first-refusal; for CRA lots, stronger tools such as reverter clauses or forgivable performance mortgages tied to construction timelines and occupancy.

Staff noted legal constraints (Florida law on disposition of surplus public property and the constitutional prohibition on gifts of public funds) and suggested templates that would set time frames: a common example presented was a 24-month build window and a five-year owner-occupancy or resale restriction if the city provides a subsidy or discounted sale. Staff said subordinate (forgivable) performance mortgages could be recorded as liens to preserve financing feasibility for buyers while protecting the city’s interests.

Vice Mayor Ashcraft agreed to serve as the commission point person to work with staff on drafting the policy and to coordinate with the city attorney and finance staff for template language that would be defensible and manageable. Commissioners asked that staff return a proposed policy resolution for commission consideration at a future meeting.