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Council committee considers allowing licensed brokers to list city property; debate centers on transparency and process
Summary
The community planning committee considered a bill on April 1 that would permit, with council approval, city property authorized for sale to be listed and marketed through licensed real estate brokers in addition to sealed bids or auctions.
The community planning committee on April 1 considered an administrative bill (Administration Bill 3-2025) that would allow Lancaster City, when council has authorized the sale of a specific property, to sell that property using a licensed real estate broker in addition to the existing options of sealed bid and public auction.
Councilor Craig, who presented the measure, said the change would let the city place council-approved properties on the multiple-listing service (MLS) and use licensed brokers to expand market visibility when the council authorizes a sale. The draft language requires that council approve the use of a broker in each case and that any broker arrangement specify compensation, negotiation authority and the time period for solicitation.
Committee members and members of the public expressed mixed views. Supporters said a broker can increase exposure and produce competitive offers beyond the current sealed-bid model; opponents and some public commenters warned that using brokers can create a perception of privatized sales and urged clear checks, deed restrictions or stipulations to protect public-interest objectives (for example, prioritizing housing or nonprofit uses). A number of residents asked that the council provide a list of city-owned parcels and a public process for deciding which properties to sell.
Legal and procedural questions raised in committee included how broker compensation would be structured (staff said typical practice is to pay brokers upon sale and that any compensation would be specified in the council resolution authorizing broker use) and whether council would retain final approval of sale terms and any contingencies such as zoning approvals. Staff said council would still be required to approve any property sale; the administrative bill only provides an additional method for marketing and negotiating a sale once council has authorized disposition.
Members of the public urged a pause until the city finishes a broader administrative-code review; several asked that any change be limited to specific circumstances or subject to strict deed provisions. The community planning committee voted to forward the bill to the full council for consideration.
Sources: Community planning committee meeting, April 1, 2025; Councilor Craig presentation and committee Q&A.
