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11-29-79 agendaf c HOUSING AND REDEVELOPMENT AUTHORITY Office of Executive Director HRA Letter No. 4~ Agenda November 29, 1979 Housing and Redevelopment Authority Commissioners City of Richfield Commissioners: Subject: Authorization to Se11 Property at 7444 Bryant The Suburban Hennepin County Vocational Technical Institute, in cooperation with the HRA, has been substantially rehabilitating the HRA-owned four bedroom house located at 7444 Bryant Avenue South. The rehabilitation work has now been completed and inspected, and the house is ready to sell. On July 9, 1979, the HRA authorized the staff to advertise this property for resale in the amount of $52,800, under the FHA 235 program. This FHA program offers mortgages at less than current market interest rates to moderate income families. The staff received and reviewed six proposals to purchase this property. Four acceptable proposals were ranked in order of their eligibility under the Richfield New Home Program Guidelines. On August 21, 1979, the four ranked applications were submitted to United Mortgage Company. Only one applicant family reviewed by United Mortgage and FHA qualified for and was guaranteed a r~lortgage; The Petersens received preliminary approval of their mortgage from United Mortgage near the end of September. At about the same time, it was necessary for them to vacate their existing rental residence. Because they had received preliminary mortgage approval, the HRA leased 7444 Bryant to them, and they are thus already occu- pying the house. Mr & Mrs. Petersen have now received final ap- proval of their mortgage. It is recommended that the HRA adopt the attached resolution, authorizing sale of the property at 7444 Bryant Avenue South to Mr. and Mrs. Jerry Petersen, in the amount of $52,800. Respectfully submitted, ~'~~'~ 1 VO~L'~r~k,~21t`.2'1 Karl Nollenberger Executive Director KN/ j of cc: Acting Redevelopment Director Finance Coordinator . , HRA Resolution No. RESOLUTION APPROVING SALE OF PROPER'T'Y AT 7444 BRYANT AVEiJUE SOUTH t^7HEREAS, on July 9, 1979, the Housing and Redevelopment Authority of Richfield authorized the offering for sale of the property at 7444 Bryant Avenue South to a moderate income family for a purchase price of $52,800, the property being legally described as: Lot 12, Block 12 Irwin Shores Addition WHEREAS, the Housing and Redevelopment Authority of Richfield authorized the solicitation and acceptance of proposals for the purchase of the above described property by Resolution DTo. 124 on July 9, 1979; and, WHEREAS, aproposal was received from Jerry and Ann Petersen for the purchase of said property in the amount of $52,800; and, WHEREAS, this proposal was found to be acceptable by the Richfield Housing Authority, United Mortgage Company and the Federal Housing Administration; NOW, THEREFORE, BE IT RESOLVED by the Housing and P,edevelop- ment Authority that the above described proposal is hereby accepted and the Executive Director is authorized to sell the above described property in accordance with said proposal. Passed this 29th day of November, 1979. ^Loren L. Law CZairman ATTEST: V. L. I,uettinger Secretary