City to sell property seized for back taxes
Richard Gleeson
Northern News Services
NNSL (Apr 30/99) - The city will be calling for offers on a prime block of downtown real estate this week or next.
Three adjacent lots on the corner of 50th Street and 49th Avenue will be up for sale.
Two businesses -- Subway and Peppermint Twist -- operate on one of the lots. The other two are being used for parking.
The city will be selling the property the businesses are on by tender, to the highest bidder. The businesses currently lease the property. Subway has an agreement that gives it the right of first refusal in the case of the lot being sold.
Subway franchise owner John Williston appeared before council Monday. He reminded council that he has agreements in place to protect his business and asked that the process of selling the lots be as open as possible.
The two vacant lots will be sold through a request for proposals. The process allows the city to evaluate proposals for the property on the basis of more than the offer price alone.
The city took over the property in February, after the previous owner fell behind on tax payments to the tune of $509,500, including interest and penalties.
"We might be being a little hasty in disposing of both those properties right away," said Coun. Kevin O'Reilly, reasoning the city might want to hang onto one to use as a downtown parkette.
O'Reilly said he also wanted to know what development would occur on the properties before agreeing to put them up for sale, but said he was informed by administration that no restrictions beyond those contained in the property zoning, will be included in the bylaw. Any proposals received will be reviewed by council before any offer is accepted.
Responding to another question from O'Reilly, administrator Max Hall told council prospective purchasers could pursue all three properties by making offers on each conditional on securing a deal for all three.
At the request of Coun. David Ramsay, at Monday's noon meeting council will address concerns raised by the owner of another property in tax arrears, the Old Town Float Base.
