$50,000, it is likely it would be redeemed.
Moermond: there is no way this thing is worth that much. Ramsey County doesn’t
reflect the condition of the structure.
Staff report by Supervisor Joe Yannarelly: the building is a two-story, wood frame,
single-family dwelling with a detached one-stall garage on a lot of 4,792 square feet.
According to our files, it has been a vacant building since November 23, 2020. The
current property owner is Minnesota Premier Properties LLC, per AMANDA and
Ramsey County Property records. On February 23, 2022, an inspection of the building
was conducted, a list of deficiencies which constitute a nuisance condition was
developed and photographs were taken. An Order to Abate a Nuisance Building was
posted on March 10, 2022, with a compliance date of April 9, 2022. As of this date,
the property remains in a condition which comprises a nuisance as defined by the
legislative code. Taxation has placed an estimated market value of $20,000 on the
land and $189,00 on the building. Real estate taxes for the first half of 2022 have not
been paid; total due to date is $4,370.09 (includes penalty and interest). The vacant
building registration fees were paid by check on November 17, 2021. As of June 13,
2022, a Code Compliance Inspection has not been done. As of June 13, 2022, the
$5,000 performance deposit has not been posted. There have been three Summary
Abatement notices since 2020. There have been two work orders issued for
Boarding/securing and Tall grass/weeds. Code Enforcement Officers estimate the cost
to repair this structure exceeds $100,000. The estimated cost to demolish exceeds
$30,000. There’s another work order pending for tall grass.
Moermond: looks like it was a Form 4 by the St. Paul Fire Department.
Yannarelly: they identified hoarding conditions, flies, inaccessible bedrooms. Having
been out there I can say that the property has been trashed, occupied by squatters.
We’ve had to secure it.
Moermond: we have a low building value right now. With rehab if it is a decent prospect
the added value may be there to be worth an investment. The conditions are very bad
now. In order for an inspection to occur a junk out would need to happen and I don’t
know who has authority to do that. Those conditions were identified in July 2020 and if
it has continued to be occupied by squatters it has sat through 2 summers.
Barbee: my client isn’t the owner and we don’t have possession. We can’t do a trash
out until the redemption period expires. We can’t do a Code Compliance Inspection
which is what they’d want to see to decide if it was worth investing money in repair. If it
gets torn down then they’ll see a total loss on the loan. We’re in a tough position until
we become owner September 30. Even with the low value, I still think with the low
redemption amount, I think it would be a candidate for redemption. I don’t know MN
Premier Properties, but I assume they are an investor.
Moermond: the current tax value is $20,000 on the land and $189,000 on the building.
Barbee: even with $100,000 in repairs there will be some equity. There’s little my client
can do until that eviction is done.
Moermond: why can’t you seek expedited for feature? Policy?
Barbee: because it was served as occupied. I don’t know if it was tenants or squatters
but we have that affidavit it was served occupied so it didn’t get flagged as vacant.
Moermond: and yet it has been since July of 2020.