Council approves sale and lease amendments to transfer city care‑center property to Kira (Cura)

The council unanimously approved a package of actions to move forward on a multi‑step transaction involving the city‑owned care center and two Rice Home Medical parcels.

City attorney Robert reviewed the background: the city previously approved in concept a transfer that would remove the care center from the city’s operating lease with CentraCare and convey the care center parcel to a buyer identified in the meeting as Kira (also referenced alongside the name Cura in staff remarks). The purchase agreement presented to council sets a nominal purchase price but includes a deed covenant requiring the buyer to operate the long‑term care facility for five years, per a planning commission request.

Council approved three separate but related items by recorded roll calls: (1) the city’s purchase agreement with Kira to convey the care‑center parcel, (2) a lease amendment removing the care center and two Rice Home Medical parcels from the CentraCare operating lease, and (3) acceptance of title and assumption of lease/option obligations for the two Rice Home Medical properties so the city can manage a future sale or other disposition. Council then introduced an ordinance to authorize the future sale of the Redwood Falls parcel, which will return to a future meeting for public hearing and final action.

Robert explained that one of the parcels subject to a third‑party option includes an appraisal process with an estimated purchase‑price range between $1,800,000 and $2,400,000 depending on appraisal outcomes; council-related steps to finalize any sale will return to a future meeting for further approvals. The transfer package was presented as consistent with prior council direction and charter requirements for sale of city real estate. Each of the package motions passed on unanimous roll calls (8‑0).