The City of Kenai will open 11 parcels of land for sale this Saturday in the 2024 General Fund Land Sale Auction, which will be conducted live outcry. In total, 5.39 acres of raw land will be up for auction, 10 parcels within the City of Kenai and one in Sterling.
Per the Kenai City Council, who approved the auction in September, the properties are intended for residential use and have access to improved streets, have water and sewer utility access or are of adequate size for onsite water and wastewater systems, and come with a residential zoning designation.
Several of the properties listed were put up for auction in 2007 without much success.
“[During] the last land auction we had was in 2007. A fair number of these properties were involved in that auction and didn’t sell at that time,” said Kenai City Manager Terry Eubank. “So you know that means we’ve been sitting on them for 17 years without generating tax revenue or anything as well.”
Each lot has developed road access and utilities nearby, but potential buyers will need to conduct all relevant due diligence necessary to determine if a property will satisfy their anticipated needs prior to the sale.
On Dec. 7, bids may be placed online or by live outcry on location at the Kenai City Hall Council Chambers, located at 210 Fidalgo Ave. in Kenai.
According to ordinance documentation at the Sep. Council meeting, the City Manager is authorized to accept terms for sales and may accept a note secured by a deed of trust for a portion of the purchase price to expedite and facilitate the sale.
When asked whether the properties, if purchased, would be developed or potentially held by purchasers for speculative purposes, Eubank said he believed that, based on demand, they are likely to be developed for residential use as intended.
“We had long conversations about this but I think the chance for speculation on these 11 is relatively low. There’s a lot of demand right now for buildable lots [right now], and there’s been a lot of activity in the city,” said Eubank.
Proposed terms for the purchase of the properties include a 15% down payment, a fixed interest rate of prime plus 2%, and a maximum term of 10 years.
The properties going up for sale are:
1. KPB Parcel 06361018, Lot 3, Block 2, Salty Dog Heights Subdivision Part 1
2. KPB Parcel 04521047, Lot 6, Doyle Subdivision
3. KPB Parcel 04513025, Lot 2, Bloc 1, Kaknu Korners Subdivision
4. KPB Parcel 04317003, Government Lot 128 T6N R11W Sec 31
5. KPB Parcel 04310039, Lot 1, Block 3, Evergreen Subdivision Kim Addition
6. KPB Parcel 03910109, Lot 2, Block 7, Mommsen’s Subdivision Replat Addition No. 1 & 2
7. KPB Parcel 03910111, Lot 4, Block 7, Mommsen’s Subdivision Replat Addition No. 1 & 2
8. KPB Parcel 03910112, Lot 5, Block 7, Mommsen’s Subdivision Replat Addition No. 1 & 2
9. KPB Parcel 03906309, Lot 9, Block 11, Carl F. Ahlstrom Subdivision
10. KPB Parcel 03906310, Lot 10, Block 11, Carl F. Ahlstrom Subdivision
11. KPB Parcel 03906311, Lot 11, Block 11, Carl F. Ahlstrom Subdivision
The properties are also eligible for the City’s veterans discount of 25%.
