The Owatonna City Council has approved the purchase of a fourth property on the 100 block of East Fremont Street as a part of the city’s strategic plan.
Community Development Director Troy Klecker told the council during its Tuesday meeting that the property on 140 East Fremont St. has been listed for sale since March and sits in an area that has been identified as a good place for redevelopment into commercial space.
“Redevelopment is one of the City Council’s priorities in the strategic plan, and the [Economic Development Authority] and the [Housing and Redevelopment Authority] have been pursuing opportunities to redeveloped blighted properties and transitional areas,” Klecker said. “The 100 block of East Fremont has been identified as one of those transitional areas.”
Klecker said that there are a number of older residential homes on that block that currently sit amongst commercial and industrial businesses. The city has already purchased and demolished three homes on that portion of the street.
The council unanimously approved to enter into a purchase agreement to acquire the property, which will be paid for by the EDA. The purchase price is $68,000 and the closing costs range up to an additional $3,000. Klecker said that the intent would be to rent out the home to recoup costs until there is a redevelopment project slated for the site.
The house is a small home that was built in 1885 and currently sits across the street from Alexander Lumber and across the alley from commercial buildings. The area is zoned B-3 Commercial Business District and Klecker said it is in a prime place for future redevelopment.
“There have already been businesses in the area who have identified that they are wanting more space,” Klecker said. “This block is in a good position to transition from residential to commercial.”