After a few extra months on the online auction site, the last of the 20 Alder Top Village Keishangita.’aan subdivision lots finally sold this month.
The new owners have access to the property, …
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After a few extra months on the online auction site, the last of the 20 Alder Top Village Keishangita.’aan subdivision lots finally sold this month.
The new owners have access to the property, though they will need a building permit to start construction.
As of April 10, no one had yet applied for a permit to put up a new home, said Amber Al-Haddad, the borough’s capital projects director who also oversees building permits. “Several people who purchased lots have reached out with questions about the process,” she said.
Bidders put in winning prices for 16 lots in the initial round, which closed in December. A few of the high bidders decided not to proceed with their purchase and those lots were relisted for sale.
As of the first week of March, when two more lots sold, the total climbed to 19 of the 20 lots, with just one parcel remaining available at publicsurplus.com, the commercial website the borough selected to manage the auction.
That final lot sold early this month, Borough Clerk Kim Lane reported.
Several winning bidders paid more than the minimum price, bringing in about $75,000 over the minimums. In total, the 20 lots earned $1.348 million for the borough, an average of about $67,400 for the roughly half-acre lots with a view of Shoemaker Bay.
The property is zoned single-family residential.
Development costs for leveling and preparing the property, putting in streets and installing buried utilities came to more than $4.2 million, but borough officials and the assembly did not embark on developing the land as a moneymaker. The intent was to open up more lots for residential development in a town with a tight housing market.
The borough will see additional income now that the land and, eventually, homes, are added to the property tax roll.
The Alder Top subdivision was carved out from the more than 130 acres the federal government gave to the borough in 1996.
The U.S. Bureau of Indian Affairs Wrangell Institute Native boarding school occupied the site from 1931 to 1975. The buildings were later removed and the land underwent an extensive environmental cleanup.
Additional acreage uphill from the subdivision could be developed and sold, though the borough has no immediate plans for additional spending to put in streets and utilities to open up more land. Officials have discussed the possibility of selling a large parcel to a single developer, who would then pay the cost of streets and utilities before selling individual lots.
The 20 lots in this first phase sold at prices ranging from $53,900 to $99,500. The most expensive lot sold for almost $30,000 above the minimum asking price.