Shelby County Land Bank reports slight revenue dip, 38 demolitions and new online bidding; commission approves parcel sales and a short contract extension

Shelby County’s Land Bank presented its annual report to the Core City Neighborhoods and Housing Committee, summarizing inventory, sales activity, maintenance costs and new procedures intended to speed dispositions and remediation.

Esther Sykes Wood, land bank administrator, told commissioners the land bank acquired fewer delinquent-tax properties than in earlier years but reported higher average sale prices per parcel (average sale price about $6,838 in FY2025). The office recorded 38 demolitions, 54 board-and-secures, more than 11,000 service tickets on delinquent-tax properties, and over 25 community events during the fiscal year. Sykes Wood said the land bank revised sales procedures, implemented a reversion-review process tied to neighborhood conservation contracts and added online bidding with a public computer in its lobby to accept applications.

Sykes Wood gave a breakdown by commission district: District 8 led the number of sales with 213; District 10 had the highest percentage of inventory moved. She said some parcels received out-of-town buyers and that the land bank is screening properties before tax sale for environmental or financial liabilities; in the most recent tax sales the land bank placed dozens of properties on a “no-bid” list pending remediation funding.

Committee members approved two related resolutions on the consent docket. The committee approved a four-month extension of the countywide grounds maintenance services contract — a not-to-exceed expenditure of $548,208 to allow seasonal lot maintenance and to give purchasing time to reissue the RFP; commissioners Mills, Morrison, Brooks and Bradford voted aye. Officials said the RFP timeline was delayed by shifting procurement rules (LOS B vs. MBE) and DEI process changes that required re-drafting the solicitation.

The committee also approved the sale of 73 county-owned delinquent-tax parcels to identified purchasers for a combined total of $483,528.75 pursuant to Tennessee Code Annotated section 67-5-2507. Esther Sipeswood, land bank administrator, said the back taxes owed on those parcels totaled $960,271.16 and netted a negative back-tax collection of $476,742.41; 10 properties were purchased by five out-of-town buyers. Commissioners Mills, Morrison, Brooks and Bradford voted aye on the sale resolution.

Sykes Wood described operational challenges: higher contractor costs for debris pickup (previously collected by city pickup programs), delays in utility cutoffs that slow demolitions, and deed-processing times at the trustee’s office that can take two to six months before deeds issue after sale. She said the land bank has reconciled many historic transactions but still has parcels requiring data from the trustee to close reconciliations.

The Land Bank also reported strategic initiatives including participation in the Memphis Brownfields Coalition, bundling parcels for sale to developers (the first bundle was 45 parcels in District 7), work on the Building Home program and efforts to strengthen environmental review prior to tax sale. Commissioners did not take additional action on the annual report, which was presented as a discussion item.

The committee discussion included questions about sliver parcels (small, non-buildable lots) and the constraints the land bank faces after state law changes that removed a prior provision allowing some small parcels to be directly donated to adjacent landowners.