City of Moorhead decides to resell some buyout homesMoorhead, MN (WDAY TV) - After getting some new information, the City of Moorhead has decided it should be able to re-sell some homes it originally bought in flood buyouts. Now the city council is completely on board.
After getting some new information, the City of Moorhead has decided it should be able to re-sell some homes it originally bought in flood buyouts. Now the city council is completely on board.
Realigning a $600,000 levy that has yet to be built is causing the city to think twice about home acquisitions it's already made. The city council unanimously approved a resolution to consider the alternative levee alignment and potentially save five flood buyout homes.
Jon Brummer – Lives along Riverview Circle: “Keeping those homes for resale will allow for continuation of homes along the east side of Riverview circle.”
Jon Brummer lives along Riverview Circle. Facing a possible future buyout, he says the five homes located at 3500, 3502 and 3506 Riverview Circle, 30 36th Ave Circle and 3619 Rivershore Drive could save the neighborhood.
Jon Brummer: “We're hoping for this type of spring every year, but the next best thing for this neighborhood is to keep those homes in continuation at least on one side.”
We spoke with two of the five homeowners who were bought out. One refused to comment, while the other told WDAY he held no animosity towards the city. That it was the right decision at the time.
Michael Redlinger – Moorhead City Manager: “In this case we were very happy for the homeowners that they were able to sell. And maybe it's the best fit for somebody in the future. That they say after the levee is installed, they feel confident in the property and want to purchase it.”
The city paid 108% of market value for the five homes, or a cost of more than $1.6 million. However, the market value has dropped and the homes would likely sell for less than what the city paid.
Michael Redlinger: “We want to wrap up before snow-fall in the fall and at that point look at listing these properties and getting them sold.”
The homes will not be officially assessed until after the levee is complete and a proper price can be determined, which should be sometime this summer. If the homes are not sold, the city would continue with demolition at a cost of roughly 25-thousand dollars per parcel.