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BLIGHTED PROPERTIES DEMOLITION & <br /> FORGIVABLE RESIDENTIAL LOAN PROGRAM POLICY <br /> INTRODUCTION <br /> PURPOSE/BACKGROUND: The city of Elk River Housing and Redevelopment Authority(HRA)has <br /> developed a program to meet the untapped need for assistance with demolition and other redevelopment <br /> activities when either there is no current development plan or where future development visions are hindered <br /> by current blight. <br /> In some cases, despite a potential for future redevelopment,hazardous conditions or other public safety <br /> factors may become a community's immediate concern. Securing and maintaining vacant dilapidated <br /> structures is costly. Therefore, the Elk River HRA has created the Blighted Properties Demolition& <br /> Forgivable Residential Loan program to include loan funds for demolition activities when an imminent <br /> redevelopment opportunity does not currently exist. <br /> FUNDING AVAILABILITY: Available funding amounts vary per budget cycle. <br /> DEADLINES/REQUIREMENTS: The Blighted Properties Forgivable Residential Loan Program <br /> operates on a semi-annual application cycle. Applications are due February 1 and August 1 of each year. <br /> Completed applications and supporting documentation (3 copies)must be received by the city of Elk <br /> River by 4:30 p.m. on the due date to be considered for funding. An applicant may apply for more than <br /> one project,but an individual (separate) application must be completed for each site. NOTE: Electronic <br /> copies will not be accepted in place of paper. Please fill out the entire application. All applications <br /> must be complete upon submission in order to qualify for a loan. <br /> APPLICATION FEE: The applicant must submit an application fee of$100 at the time of submittal. <br /> QUALIFYING PROJECTS: A project qualifies for a loan if the following conditions are met: <br /> 1. Upon completion of the project, the property and structures will be owner-occupied dwellings; <br /> 2. The structures constitute a threat to public safety because of inadequate maintenance, dilapidation, <br /> obsolescence, or abandonment; <br /> 3. The structures are not listed on the National Register of Historic Places; <br /> 4. Upon completion of the demolition, the HRA reasonably expects that the property will be improved <br /> and these improvements will result in economic development benefits to the municipality. <br /> ELIGIBLE APPLICANTS: Eligible applicants for this program must be the owner of the property at the <br /> time of the application or before disbursement of funds. <br /> ELIGIBLE PROGRAM COSTS: The Demolition Loan Program can pay up to 75,000 of the <br /> acquisition and demolition costs for a qualifying site. "Demolition costs"means the costs of demolition, <br /> destruction, removal, and clearance of all structures and other improvements on the project site, including <br /> interior remedial activities, and proper disposal thereof. As used in this subdivision, "structure"has the <br /> meaning given it in section 116G.03, subdivision 11. Costs incurred before the loan is awarded are <br /> not eligible for payment. <br /> TERMS: Loans for acquisition and demolition costs may be made subject to the following terms and <br /> ii <br />