Albany council declares three Ninth & Jackson parcels surplus after nonprofit seeks land for housing

The Albany City Council voted to declare three small city-owned parcels at Ninth Avenue and Jackson Street surplus and directed staff to solicit proposals through an advertised "best-pitch" process after public comment from a local nonprofit seeking the sites for housing.

At the meeting, David Steele, executive director of Albany Helping Hands, told the council his organization "is coming before you this evening to remind the city council of our obligation in serving the city and our homeless population" and asked the council to consider selling vacant properties that surround Helping Hands' current facility to build a 70-unit apartment complex.

Staff told councilors the three parcels total about $145,000 in combined appraised value (individual appraisals ranged from roughly $45,000 to $50,000 per lot) and that the lots are zoned LI (Light Industrial). The staff presentation noted the city received appraisals at a combined $145,000 and that Linn County assessed value for the group was higher at $166,000.

Councilors asked whether a zone change would be necessary for Helping Hands' proposed residential use; staff said a zone change would likely be required and any sale contingent on successful land-use approvals. Staff described two disposal options: (1) an open "best-pitch" listing where prospective buyers present proposals on a set date, and (2) a more formal request for proposals (RFP) process with defined evaluation criteria. Staff recommended an open best-pitch approach and estimated the upfront city costs (appraisals, advertising and related expenses) at roughly $20,000 if the city pursued listing or a realtor commission.

Council discussion ranged from preserving the parcels for future city use to selling at market value with a process that evaluates community benefit. Several councilors emphasized they did not want to gift the land and urged sale at fair market value, while others suggested proposals that emphasize local job creation or affordable-housing outcomes. After debate, a councilor moved to declare the parcels surplus and direct staff to advertise for proposals; the motion was seconded and approved by voice vote.

Staff said it would proceed with the sale process as directed, including advertising proposals due on a future date to be set by council and notifying potentially interested commercial realtors. Staff also said it could return with recommended parameters or with an RFP draft if the council preferred a more formal approach.