Spencer, IA (KICD)–The Spencer City Council unanimously approved the purchase of up to 47 acres of land on the south end of town this week.
Staff was able to negotiate a purchase price of $12,000 per acre, which was the same price that the Holiday Inn Express Developers paid for it. Councilmember Ron Hanson shared some concern.
Councilmember Steve Bomgaars had similar concern.
According to city staff the primary purpose in purchasing this property is to be visionary and proactive in their approach in continuing to grow the community and meet some of their goals in achieving that growth. Two of those goals are to have the ability to continue growing our affordable housing stock that was identified in a recent housing needs study as well as affordable rentals.
Councilmember George Moriarty believes this was a hard to pass up opportunity.
The city will split all cost of acquisition and development of this property with Spencer Municipal Utilities. The total cost for acquisition and development is expected to come in below $1.5 million.