NOTICE TO RECEIVE SEALED BIDS FOR THE PURCHASE OF CITY OWNED PROPERTY AT 714 EAST 5TH STREET
The City will accept written sealed bids for the purchase of the property to be submitted to the office of the Spencer City Clerk, 418 2nd Av West, Spencer, Iowa, until 12:00 noon on Monday August 2nd, 2010. The bids shall be submitted in a sealed envelope labeled “714 East 5th Street Bid”. Thereafter the bids will be opened and reviewed by City staff and presented to the council for consideration at the regular City Council meeting on Monday evening August 2nd 2010.
The city will provide an abstract at its expense demonstrating remarkable title pursuant to the title standards of the Iowa State Bar Association and will convey the property be a municipal warranty deed.
The property is sold “AS IS” with all faults.
The residential structure on the property has been determined to be a substandard building by the Spencer City Council, Rehabilitation or demolition shall be accomplished on or before November 1, 2010. The successful bidder shall contractually agree to rehabilitate the property or to demolish the existing structure on or before November 1, 2010.
Demolition may include burying masonry portions of the structure in the basement to be covered with at least 18 inches of clean fill material.
The successful bidder shall provide to the city a performance bond or a deposit of cash or securities in the amount of $10,000.00 conditioned on rehabilitation or demolition of the structure on or before November 1st, 2010.
If the property is demolished, sanitary sewer and water connections shall be disconnected by the purchaser in accordance with City and Spencer Municipal Utilities requirements.
The City is exempt from real estate transfer tax and there are no property taxes levied separately against the property, therefore there will be no proration of real estate taxes.
Closing and transfer of possession shall be accomplished as soon after August 2, 2010, as is reasonably possible.
The transfer is subject to all existing easement and utilities.
The council will consider all bids received and, in its discretion select the best bid, or determine to reject all bids.
The city shall retain the risk of loss until any sale and transfer is closed. If the building on the property is significantly damaged or destroyed either the city or the buyer may declare the sale null and void.
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Theresa E. Reardon, City Clerk