01-010-O
ORDINANCE NO. __________

AN ORDINANCE AUTHORIZING SALE OF CERTAIN PROPERTY IN CENTRAL HILLSIDE TO THE NORTHERN COMMUNITIES LAND TRUST.

BY COUNCILOR ECKENBERG:

        The city of Duluth does ordain:

        Section 1. That the proper city officials are hereby authorized to enter into a development agreement, a copy of which is on file in the office of the city clerk as Public Document No. ____________, with the Northern Communities Land Trust pursuant to which the city will convey by quit claim deed the below-described property in St. Louis County, Minnesota, to the Trust who will develop the property for low and moderate income housing and to execute all documents necessary with regard to said conveyance: Lots 7 and 8, West 5th Street, DULUTH PROPER First Division.

        Section 2. This ordinance shall take effect 30 days from and after its passage and publication.


STATEMENT OF PURPOSE:  The purpose of this ordinance is to authorize the execution of an agreement to sell by quit claim deed City-owned property in the Central Hillside neighborhood to the Northern Communities Land Trust to allow them to develop low and moderate housing thereon.

The property consists of two lots in the Central Hillside which are excess of the City's needs. The City would convey these properties to the Trust at no cost. The Trust would then construct a duplex on each of the lots, consisting of one three bedroom unit suitable for home ownership and a one bedroom unit suitable for rental.

Under the City's agreement with the Trust, the housing would have to remain "affordable" for at least 25 years.