AGENDA MEMORANDUM

Meeting Date: February 22, 2010

From:                          Ken Thomas, Housing & Economic Development Director

Subject:                      Purchase of Property at 615 W. Oak Terrace Dr. using Neighborhood Stabilization Program (NSP) Funds

Staff Recommendation:

Staff recommends the City Commission approve the contract to purchase foreclosed property located at 615 W. Oak Terrace Dr. with NSP funds from Lake County Government, for $38,900.

Analysis:

The NSP was established for the purpose of stabilizing communities that have suffered from foreclosures and abandonment.  The goal of the program is to purchase and resell the foreclosed and abandoned homes to eligible homebuyers. In addition, the subject property will be rehabilitated using NSP funding up to $15,000.  

As a partner of Lake County’s NSP program, we are submitting an application to purchase the subject property located at 615 W. Oak Terrace Dr.  Once the property is purchased, the City in conjunction with local realtors will pursue the sale of properties purchased with NSP funding.  The revenues from the purchase of this property will be kept in a separate fund account and used for eligible NSP activities.

Options:

1.  Approve the contract to purchase foreclosed property located at 615 W. Oak Terrace Dr. with NSP   funds from Lake County Government or;

2.  Such alternative action as the Commission may deem appropriate.

Fiscal Impact: 

Approximately $1,000 will be used for escrow/earnest money.  The earnest monies will be reimbursed by Lake County NSP funds at the closing when the subject property is purchased by the City of Leesburg.

Submission Date and Time:    2/19/2010 10:07 AM____

Department: ______________________ Prepared by:  ______________________                      Attachments:         Yes____   No ______ Advertised:   ____Not Required ______ Dates:   __________________________                      Attorney Review :       Yes___  No ____

Reviewed by: Dept. Head ________ Finance  Dept. ___JB_____________                                    Deputy C.M. ___________________                                          Submitted by: City Manager ___________________

Account No. _001-6255-554-3110__ Project No. ___NSP001__________ WF No. ______________________ Budget  ______________________ Available _____________________

RESOLUTION NO._______________

RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA, AUTHORIZING APPROVAL OF THE PURCHASE OF A FORECLOSED PROPERTY LOCATED AT 615 W. OAK TERRACE DRIVE, USING FUNDS FROM LAKE COUNTY GOVERNMENT NEIGHBORHOOD STABILIZATION PROGRAM (NSP)   FOR $ 38,900; AND PROVIDING AN EFFECTIVE DATE.

BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:

THAT the Commission hereby authorizes purchase of the foreclosed property at 615 West Oak Terrace Drive, Leesburg, Florida as prescribed in the agreement with Countrywide Home Loans Servicing LP whose address is 7105 Corporate Dr. Plano, TX 75024, executed by the City Manager, September 18, 2009.

 THAT this resolution shall become effective immediately.

PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the _22nd____ day of _February________ 2010.

                                                                                                                                                                                                                        __________________________________ 

                                                                             Mayor

ATTEST:

_______________________________

City Clerk