The Village of Mahomet Board of Trustees approved $135,000 to purchase the property located at 304 S. Elm Street Tuesday.
The .4 acres that is zoned residential was acquired by The Cox Property Group, LLC. in 2008 for $96,000.
According to Village Administrator Patrick Brown, the Village obtained an appraisal, which indicated the value of the property was between $107,500 and $115,00, “and technically up to that amount and still pay a “market” value for the home.”
“As you can guess, property in Mahomet like many places has been selling for above asking price in many cases including older homes that are not in the best shape,” Brown said in an email interview. “We paid a price to the owner that included complete removal of the structures, which has a significant cost above the value of the home as appraised.”
The Village said after the home is torn down and grading is restored by the previous owner, the land will extend the already existing green space next to the Village Administration Building from the purchase of five parcels, 511 E. Main St., 107 S. Jefferson St., 507 E. Main St., 201 S. Jefferson St. and 301 S. Jefferson St., for $475,000 in 2019.
“The two pieces are important together because it will provide the ability for an alley to be built as part of our Downtown Master Plan. The property is also important because it provides a connection to Brooks-Warfel Park from our larger open space park to the east,” Tuesday’s board packet reads.
Like the three lots purchased at 206 South Lincoln, 408 and 410 East Dunbar for $355,000 in 2020, the Village may hold onto the property until a developer willing to build according to the downtown master plan comes along. Like Lincoln and Dunbar, Elm is slated to become mixed use residential/commercial or residential only development with a parking lot between the envisioned amphitheater and the rowhouses.
The alley could connect Elm to Jefferson.
“The Village has no intention to be a “developer.” We were interested in property that was strategic to implementation of parts of the master plan. In the future some of those properties may be part of a request for proposals from actual developers so our vision can become a reality,” Brown wrote.
Because the land is within the Downtown TIF, the Village will be able to reimburse the $135,000 for the fiscal year 2023 with the increment (the difference between the taxable rate at the equalized assessed value within the TIF district in 2019 and the taxable rate of the equalized assessed value in any subsequent years) fund. The downtown TIF was established in 2019.
As long as a property is owned by a taxing body, it is not taxed for property taxes.
