Council discusses selling former water-tank site at 3221 Holmans Lane, authorizes staff to pursue appraisals and legal review

Town staff presented council members with a request to explore selling the vacant parcel at 3221 Holmans Lane, the former site of a water tank the town demolished last year. The parcel is adjacent to New Yale’s facility in Jeffersonville, and town staff said New Yale has expressed interest in purchasing the site.

Town staff asked the council for authorization to obtain two appraisals, estimated at about $2,500 each, not to exceed $5,000 in total, so the town can establish a market basis for a sale. Staff also said there is an easement across the parcel for a water main that limits developable area, and the usable space is small.

Council members discussed options including whether the town should donate the parcel to an adjacent property owner if its appraised value is nominal, or seek some return to recognize prior taxpayer investment. Staff said state law provides different disposal and sale pathways depending on whether the property has market value and that staff would look for statute language that might allow donation to adjacent owners if appropriate.

Several council members said they expected appraisers to report whether appraisal costs could exceed the property value. Staff recommended returning to council after they receive appraisal estimates and legal guidance; the item was placed on the next meeting agenda for further action.

No formal ordinance or appropriation for appraisal costs was recorded in the minutes at this meeting; the council asked staff to move forward with outreach to appraisers and legal review and to return with findings.