a compliance date of July 13, 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 $60,000 on the building.
Real estate taxes for the first half of 2022 have not been paid. Amount owed is
$2,292.78, which includes penalty and interest. The vacant building registration fees
were paid by assessment on November 1, 2021. A Code Compliance Inspection was
applied for on August 18, 2022 but has not been completed. The $5,000 performance
deposit was posted on August 18, 2022. There have been eight Summary Abatement
notices since 2019.There have been eight (8) WORK ORDERS issued for Tall
grass/weeds and Snow/ice.
Code Enforcement Officers estimate the cost to repair this structure exceeds
$100,000. The estimated cost to demolish exceeds $30,000.
Moermond: Mr. Dropps, your client GITSIT solutions LLC, what are they thinking about
their intentions? Where are they at with foreclosure?
Dropps: they are waiting on approval for the shortened redemption. They expect that
any time, then its five weeks. Then they would like to rehab the property. They are in
the process of obtaining bids. We do have one for the entire property and two for the
code violations on the exterior.
Moermond: the order they received int eh mail was an order to abate a nuisance in
building and in the meat of it is the characteristics the department uses to define it as
a nuisance. Then the road to fixing it is not just addressing those items its to bring it
up to minimum code compliance. That’s why there’s a requirement for that Code
Compliance application to be made. Those items are what need to be addressed to be
reoccupied. That is true of both Category 2 and Category 3 Vacant Buildings.
Magner: the definitive list of repairs is the Code Compliance Inspection which is what
the contractors need to pull permits and get the Code Compliance certificate. You
need that document which has the totality of the list of items.
Dropps: that makes sense. This isn’t the first time I’ve dealt with a Code Compliance
Inspection in St. Paul. I’m somewhat familiar with the process. It is only the second
one I’ve had go this far. It wasn’t until last week that GITSIT solutions knew it was
going to be theirs. That was on August 17th. They were waiting to order and pay for the
Code Compliance inspection until they knew it would be acquired. So they hurried and
applied for those things. We are a little behind the ball, they weren’t going to pay for
those things until they knew it would be acquired.
Dropps: so now we don’t want it demoed. I know rehabbing it will require all those items
on the Code Compliance Inspection. If we decide not to repair, we would sell the
property as is and I am familiar with the process of having to meet certain
qualifications for selling and purchasing.
Moermond: we want to make sure you know the difference between a Category 2 and
this, a Category 3. The code is a bit different for transfer of title. If you were decide you
weren’t going to rehab Mr. Magner will describe.
Magner: if they chose not to rehab the City would get a contractor and remove the
structures and return it to predevelopment state.
Moermond: and if they wanted to transfer the property to someone who does want to
rehab, the key is the title cant transfer until the Code Compliance certificate is issued.
That requires a different type of legal agreement?