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Board affirms demolition order for 3 Locust, sets status for Sept. 11 while bank pursues insurance funds
Summary
After testimony that the fire-damaged house at State Line and Locust is unsafe, the board affirmed a demolition order for 3 Locust, set a Sept. 11 status check and agreed not to record the order immediately while the property's bank pursues insurance proceeds.
Hammond's board affirmed a demolition order for the fire-damaged property at State Line and Locust (3 Locust) and set a status review for Sept. 11 after hearing testimony that the structure remains unsafe and blighting to the neighborhood.
Jordan Pollock, the city building inspector, testified that his March inspection and subsequent visits found the roof and rear gable structurally compromised, and that conditions have not improved. Pollock said the structure remains unsafe and blighted.
An attorney representing Allied First Bank SBDBA ServBank told the board the bank acquired the property via sheriff's deed on July 25, 2024, and said the bank is pursuing insurance proceeds that could cover repair or demolition. The attorney requested a Sept. 11 status date to allow parallel proceedings over insurance distribution to conclude. The bank said it prefers to rehabilitate the property if insurance proceeds can be applied; the city noted that banks often perform property preservation but had not done so here.
City staff said they were prepared to affirm the demolition order but would hold off on recording the order as a courtesy if the bank returns on Sept. 11 with a plan and evidence of funds. The board approved a motion to affirm the order and set a status date of Sept. 11, 2025; staff said they would not record the order until after that status hearing if the bank can document progress.
The board asked the bank to return with a clear plan of action and a timeline if it obtains funds; if no plan or funds are available, the city retains authority to proceed with demolition and lien processes under the Unsafe Building Act.
