PRESQUE ISLE, Maine — Instead of putting two tax-acquired properties up for bid, Presque Isle City Council unanimously decided in last week’s city council meeting to accept Big Bear Realty’s proposal to market the properties.
“We have been looking for options for some of our tax-acquired properties,” City Manager Martin Puckett said. “We have two pieces of property we could put up for bid … [in discussions] the concept of using a realtor came about.”
The Big Bear proposal for two city properties — a vacant lot at 28 Elm St. and a single-family home at 22 Allen St. — includes a minimum commission of $2,000 or 6 percent of the sale price.
Puckett explained that the Elm Street vacant lot had been used by the city fire department for training and all that remains is a basement.
“Right now it is not buildable, but with a little bit of earth work it should be,” he said, adding that the city also has $2,200 tied up in abatement costs.
The Allen Street single-family home has $5,500 due in delinquent taxes.
“Our planning and economic development department took a look at the property and did see it has some foundation issues,” Puckett said about the Allen Street house. “But the inside of the home has been updated and will make a very nice home.”
The city would like to work with Big Bear Realty for marketing other tax-acquired properties in the future, prompting some discussion among the city councilors about the $2,000 minimum commission, Puckett said.
At issue were concerns about the commission being more than what the property might sell for, with one councilor recalling a property that sold at bid for $500.
Kim Smith, city grant writer, pointed to a clause in the contract that addresses that issue.
“If the city does not meet the minimum amount to allow for the minimum commission, there would be a negotiated commission,” she said.
Councilor Jeffery Willette said that perhaps working with Big Bear Realty could be a help to the city.
“In the future, there could be properties that are worth a lot more than what we’re looking to get out of them,” he said. “We could be leaving money on that table. The realtor could see that and market the property accordingly.”
As part of the discussion, Puckett reminded councilors that when property taxes are delinquent, before the city acquires the property, they try to do everything they possibly can to avoid taking the property.
In other business, Galen Weibley, director of economic and community development, said there are potentially two new adult recreational marijuana shops coming to the city. The two shops have been conditionally approved by the state, but the city is still waiting for the businesses to file applications with the city.
As part of a several-month planning process, the city will hold another planning workshop session aimed at finalizing the city’s revitalization initiatives later this month. The public is invited to the next meeting at 3 p.m. March 24, in the Sargent Family Community Center.
The next regularly scheduled meeting of the Presque Isle City Council is at 6 p.m. April 7, in the Council Chambers at City Hall.
