A proposed land give-away intended to stimulate residential growth in the city of Gillett was put on hold Thursday by the City Council.
A plan to sell residential lots in the Ridgewood Heights Subdivision for $1 was referred back to the Planning Committee. The committee drafted an agreement with Northern Homes Development LLC, of Gillett, that would allow the developer to purchase the six lots in the subdivision for $1 apiece. The developer would, in turn, market the property by offering free land with every home construction contract, according to Alderperson Rick Raatz, chairman of the Planning Committee.
The city purchased the lots in 1991, and efforts to market them have been unsuccessful.
“We have had them listed for a number of years, and nothing has transpired, so the next route was looking at developers,” Raatz said.
City Attorney Tim Schmid said the city could be exposed to a taxpayers’ lawsuit for essentially giving away the land that taxpayers paid to purchase and improve.
“I know you want to get these properties on the tax rolls and develop residential units there, but I just don’t think this is a good way to do it,” Schmid said.
Two individuals who paid fair market value for the lots years ago objected to the $1 deal. Gary Hougas, who owns a lot, said the proposal created a monopoly for the developer at taxpayers’ expense.
Raatz argued the agreement would entice buyers to build on lots that have been vacant. He said other developers were not interested in developing the lots, so the Planning Committee drafted an agreement with Northern Homes Development.
Mayor Irene Drake suggested the proposal be discussed at the Planning Committee’s Feb. 24 meeting.
“This is not the place to hash out the details,” she said.
Alderperson Tod Anderson agreed, saying the city attorney brought up valid concerns.
“I would like to take a second look at it in committee,” he said.
The Planning Commission meets at 6:30 p.m. Feb. 24 at City Hall.


