Council approves sale of 26920 Third Avenue N.; directs staff to seek split bids on 717 S. Fifth Street

The Clinton City Council voted Tuesday to approve the sale of city-owned property at 26920 Third Avenue North to John Nichols for $1,000 and to amend the public-bid procedure for 717 South Fifth Street to ask competing bidders whether they would accept a split parcel and split the high bid.

The sale of 26920 Third Avenue North was moved by Council member Oberyn during a public hearing. The council had no public speakers on that parcel; members voted via roll call to adopt the resolution as presented. John Nichols, the buyer identified in the resolution, spoke during the hearing and said the previous owner’s estate could delay closing “maybe four months.” Nichols also acknowledged he does not currently own land abutting the lot and said he was “well aware” of the site’s circumstances. Council staff noted the parcel has nearly 69 feet of frontage, is in a flood zone and poses development constraints because of front-yard setbacks.

On 717 South Fifth Street — a separate publicly owned lot that drew two competitive bids — the council held a public hearing and then considered a resolution resetting the sale procedure. Two bidders had submitted offers of $200 and $300 (dollars in transcript shorthand). Council members discussed whether staff should approach those bidders to ask if they would split the lot and accept half the high bid per parcel. Council member Schummers moved a resolution to amend the procedure to have staff approach the bidders to ask whether they would accept a split at half the high bid (roughly $150 each if $300 remained the high bid); the motion carried on roll call.

The nut graf: Both actions are routine dispositions of surplus city property, but the council added a procedural step for 717 South Fifth Street to attempt to address two competing bidders and the nonconforming nature of the lots. Council discussion cited the site’s nonconforming lot sizes, past alley vacations and practical constraints for building on narrow parcels.

Council members and staff noted historical and physical details during the hearings: staff located a 1916 alley vacation record affecting the Third Avenue parcel; council and staff said building on some of the small lots would be difficult because of multiple front-yard setbacks and floodplain concerns; for the 717 South Fifth Street parcel the two bids discussed were $200 and $300, and staff proposed dividing the high bid by square footage to set an initial split price. The council instructed staff to approach bidders first about splitting the lot; if bidders are unwilling, the resolution’s normal bid procedure will be followed. Roll-call votes on both resolutions were recorded as affirmative by the council members present.

Ending: Staff said they will return with results of outreach to bidders and any further recommended steps; the council closed both public hearings and moved on to the remainder of the agenda.