HomeMy WebLinkAbout2020-12-28 21-061 Order
12/28/202021-061
12/28/2020
21-061
Finance
Order
030-058
Title, Order
Authorizing the Sale and Development of 42 Winter Street to Apollo Properties LLC
This Order would authorize the sale of 42 Winter Street to Apollo Properties, LLC. Council Order
20-338 authorized the City to take formal possession of 42 Winter Street for matured real estate tax
and utility liens. In November, the city issued a request for proposals (RFP) to purchase and
rehabilitate the property. The City received three offers and it is recommended that the city enter
into a development agreement with Apollo Properties, LLC., the high bidder. In addition to being the
high bidder, it was felt by staff that Apollo had the best proposal for the property.
Jonathan and Greg Hughes, of Apollo Properties, LLC, submitted an offer to purchase the property
for $35,001. If approved, the developers agree to expend a minimum of $73,000 to rehabilitate it as
single family home, obtain permits by May 1, 2021, and complete the work within one year of
obtaining the permits. In addition, the development agreement includes a reverter clause that
returns the property to the city if they fail to complete as agreed and that the property will always
pay property tax or a Payment in Lieu of Taxes. Apollo Properties, LLC has the experience necessary
to complete the rehabilitation and has contractors available to work on the property. Apollo
Properties, LLC intends to list the property on the housing market after the rehabilitation is complete.
This order addresses the Council goal of improving quality and quantity of housing to meet demand
for workforce housing, life cycle housing, and supportive housing within the community.
Finance Committee
12/21/2020
Recommend for passage
50
Consent
12/28/202021-061
CITY OF BANGOR ORDER
12/28/2020
21-061
Nichols
Authorizing the Sale and Development of 42 Winter Street to Apollo Properties LLC
WHEREAS, the City owns the property located at 42 Winter Street through matured real estate tax and utility
liens; and
WHEREAS, the City is seeking to sell the property and have it rehabilitated for single family housing; and
WHEREAS, a request for proposals was issued; and
WHEREAS, a bid to purchase and rehabilitate the property was received from Apollo Properties, LLC, in the
amount of $35,001 that would also require Apollo Properties, LLC to invest a minimum of $73,000 in the
rehabilitation of the property:
BE IT ORDERED BY THE CITY COUNCIL OF THE CITY OF BANGOR, THAT
The City Manager is hereby authorized, on behalf of the City of Bangor, to execute those documents
necessary for the transfer of the single family house located at 42 Winter Street (Map Lot 030-058) to Apollo
Properties, LLC., for the development of said property by the same under the following conditions:
1. That the developer shall purchase the property for $35,001 and spend a minimum of $73,000 on the
rehabilitation of the property,
2. That the property be rehabilitated as a single family home and brought into compliance with applicable
building and life safety codes,
3. That permits for the construction be obtained by May 1, 2021 and that development be completed within
one year of obtaining the permits,
4. That a reverter favoring the City and for the purpose enforcing the development conditions be contained in
any deed to Apollo Properties, LLC, and
5. That taxes or a payment in lieu of taxes (PILOT) always be paid upon the property.
The final agreement will be in a form approved by the City Solicitor's Office.
IN CITY COUNCIL
DECEMBER 28,2020
CO 21-061
Motion made and seconded for Passage
Vote: 9—0
Councilors Voting Yes: Davitt,Dubay,Fournier,Hawes,Nichols, Okafor, Schaefer, Sprague,Tremble
Councilors Voting No: None
Passed
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CIT CLERK