Land deal irks some Neepawa property owners

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Petition circulated recently in connection to the sale of the property

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Picture by Eoin Devereux

The lot in question between McGill Street and Adelaide Crescent as it appeared on Friday, Aug. 17, 2018.

By Eoin Devereux

Neepawa Banner & Press

A deal that has sold a parcel of land between McGill Street and Adelaide Crescent in Neepawa has sparked a backlash from some nearby property owners.

Earlier this year, the Town of Neepawa sold the lots located in that area to a developer and builder for $20,000. On July 30, the trees on the property began being cut down. For a few people who live nearby, the removal of those trees was allegedly the first public acknowledgment they had that the land was even up for sale, let alone sold; and they’re not happy about that.

The land in question has been used as a green space for nearly 35 years by the people in the area. Darren Pudlo said that the sudden sale and how it was handled caught everyone in the area completely off-guard.

“We have a few concerns right now about how all of this was done. First, looking back at the selling of the property. One of the things that we were hoping for was someone to have let us know exactly what was going on prior to the sale, indicated Pudlo. “A note on the door, a phone call from a councillor would have been very beneficial in letting us know that the property was for sale.”

What’s the proper procedure?

The property in question was sold during the regular council meeting held on Tuesday, Mar. 20 of this year. Pudlo said the deliberation on that day is the only public discussions he’s been able to track down, regarding the land.

Blake McCutcheon, another nearby neighbour, said that brings up another issue, in that he believes the locals never had a chance to place a bid on the property themselves. He questions whether the proper procedures for the sale were followed.

“One, they should have gone looking for someone to value [the property] and they should have given it to three real estate [agencies],” McCutcheon said. “They have a policy and they chose not to follow their policy.”

The policy McCutcheon is citing is related to the Town of Neepawa land policy agreement, which discusses the method of sale for parcels of land declared surplus. In this document, it states that Council is to invite proposals from not less than three real estate agencies or brokers operating in Neepawa. Said proposals to include a recommendation on listing price on an evaluation of the fair market value of the surplus land, proposed term of listing agreement, services to be provided and the real estate commission payable by the town. As well, the agency/broker is to list the land on the Multiple Listing Service (MLS) and ensure that all prospective purchasers are made aware the “The highest or any offer may not necessarily be accepted”. McCutcheon believes there were several steps missed.

“There was no transparency in how they went out selling it. Because, as [Darren Pudlo] previously mentioned, it wouldn’t have been difficult for the council to actually make it transparent for the people in the community, to know what was happening,” noted McCutcheon.  “And then, the second thing that needs to be mentioned is that they seemed to sell it at a rather undervalued price. They sold it for $20,000.  So, in essence, what is being developed there is four 50 foot by 100 foot lots. So, divide that [monetary] amount by four and…[McCutcheon chuckles].”

Procedure was followed

According to Pudlo, the town’s stance on this was that it was posted on the Town of Neepawa website and for this type of land, it did not have to go through any real estate agencies. The Banner & Press contacted the Town of Neepawa for clarification on just what the procedures are related to a sale of land like this.

An official with the town stated that the land in question has been available for sale over three decades. They also noted that the interested developer actively enquired about the availability of the property. Since the land has already been sub-divided into available lots for sale; and with all the proper zoning bylaws for the area being followed, any type of public consultation regarding the sale is not required.

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The same lot, as it appeared in 2016.

Now what?

A petition has been circulating across the area the past few weeks, asking for individuals to support the local property owners effort to halt the work currently going on. As of Tuesday, Aug. 14, 45 people had signed it. Another letter, asking for a delay to the work, has also been given to town officials.

“Legally, this is going to be a challenge. To come to a legal conclusion here. But, it hasn’t stopped us from talking to our lawyers and, actually, we have a letter that we’re presenting [Presented on Tuesday, Aug. 14; the day of the interview] to the town,” said McCutcheon. “The letter simply states our concerns on how the process was handled and that we’d like the developer to temporarily stop and we’d like to have the opportunity to address our concerns that we have. We’d like to have an opportunity for the town to understand our concerns and that this property has been maintained. It’s not like it’s been an empty lot for many, many years. It’s been looked after for many years by Murray and Diane Watson, who did a tremendous job keeping it looking presentable. It’s been well used by our neighbourhood and our community. And that’s something that we’d like it to remain as, a green-space.”