REAL PROPERTY SEALED BID LISTING 2014

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1 A L B A N Y C O U N T Y, N Y REAL PROPERTY SEALED BID LISTING 2014 SEALED BIDS ONLY! NO LIVE AUCTION MUST pre-register in Room 800 at 112 State Street Sealed Bids must be on Provided RFB FORM RFB FORMs due by 4:30 PM on May 15, 2014 DEPOSITS collected after RFB reviewed/recommended Updates and Info POSTED SEALED BID PUBLIC LISTING MAY 15, 2014 Tax Foreclosed County Owned Properties Blight and decay have added tax delinquencies and halted private r e h a b i l i t a t i o n efforts in our most c h a l l e n g e d neighborhoods. In an effort to spur and speed revitalization and reinvestment, the County has made significant changes to the Auction Process. Sealed Bids Only, Bidders must use the provided RFB FORM and submit bids in a sealed envelope, marked with the parcel number, by May 15, Bids will be opened and evaluated in May-June The successful bidder will be notified and required to bring a 20% deposit in certified funds. RFB can be withdrawn by bidder at any point prior to making a deposit without impacting other submitted bids. Sales must be approved by the County Legislature and County Executive. Please see item #3 of the terms and conditions posted on line. Escrow Funds required for Parcels 400 and above. Per item #8 in the terms and conditions, specified parcels have been segregated to ensure contributing factors to blight are addressed. An escrowed amount will be collected at closing, paid back to the bidder once work has been completed on roof repair, windows, weatherization and other conditions identified in the bidder s RFB. Side Lot Transfer Preference. The county will show a preference for abutting owners of vacant lots that will merge foreclosed parcels to eliminate the potential for future delinquencies. Bidders must be pre-qualified. In order to bid, you must register with the County in-person in Room 800 at 112 State Street. Photo ID will be required. Background checks will be run. PLEASE NOTE Vacant Building Registry Forms will be required at closing for buildings located in the City of Albany. See for more details or contact City Codes. You can questions regarding the County s auction process to: Bidders are required to examine the Property Folders in Room 800 at 112 State Street and do on-site inspections prior to bidding.

2 Page 2 Note Parcel Number! There are three distinct sections of the auction listing: PARCELS #1-299 These parcels will be bid at a LIVE AUCTION bid on Saturday, June 7, Please see website for more information. PARCELS # These parcels have condition issues of potential concern. In some cases the parcels may be subject to Emergency Demolition if not stabilized immediately after closing. DO YOUR RESEARCH! PARCELS # These properties will require a payment of funds at closing as specified in the property folders. These funds will be held in escrow and paid back to the bidder as rehabilitation work is completed. Failure to complete those repairs within the specified timeframe will result in forfeiture of the balance to the County: REAL PROPERTY SEALED BID F.A.Q.? When are Deposits due? After the initial review of the RFB submissions, the successful bidder will be contacted and required to submit a 20% deposit in Room 800 at 112 State Street.. Personal checks will not be accepted for deposits or closings. All payments must be in certified funds. RFB BIDS ONLY you can withdraw RFB Submissions prior to deposit deadlines if you submitted bids on multiple parcels. You can only submit one bid on each parcel, however. When will I be able to Close? All bids are subject to the review and approval of the County Legislature and County Executive. Successful Bidders cannot close until the certified copy of the resolution authorizing sale has been received by the Division of Finance. The Albany County Legislature meets monthly to review and approve resolutions. ALL DEPOSITS MUST BE IN CERTIFIED FUNDS CAN I BUY BEFORE THE COUNTY FORECLOSES? The County s Pre-Foreclosure lists are now posted on-line. These are properties not yet in County ownership, but are in the latter stages of foreclosure. Please see the website for more details. If you are purchasing any of the properties on the pre-foreclosure listing, please note that all taxes and liens remain due on these parcels.

3 REAL PROPERTY SEALED BID Page 3 A message from Albany County Executive Daniel P. McCoy Dear Prospective Bidder: We have streamlined the auction process and become more efficient by putting this portion of the Real Property Auction online. This has led to greater transparency and openness. My focus is how to serve the residents of Albany County in the best possible way. I believe that auctioning these properties through this process will help ensure responsible bidding and halt the cycle of blight. To further achieve this, we continue to pursue economic development on the county level. We are attracting businesses here to create jobs and new residents to make Albany County their home. They live, work and shop here. Albany County has so much to offer with top notch transportation, educational opportunities, businesses, hospitals, sports and concerts at such venues as the Times Union Center. If you already own property in Albany County, your faith in our community is helping to make it stronger. If you re new to Albany County, welcome to the neighborhood!

4 Page 4 REAL PROPERTY SEALED BID AUCTIONS Are they for you? There are properties with great potential and many with hidden costs. Remember, the former owner walked away from this property rather than pay the tax bill. You need to figure out why. If you have not seen a property, do not bid on it! If you have not fully researched what you are bidding on, you might be in for some unpleasant surprises. Check around the neighborhood, talk to adjacent property owners, local businesses, and neighborhood associations. Check the current code violations, water and sewer bills, and current taxes which will be your responsibility after closing. Make sure you have reviewed the County s Property file. Determine the short and long term potential of the property. You may want to adjust your bid accordingly. Do your research. You are buying foreclosed property by Quit Claim deed. You must fully research any property bid upon. The County will not refund deposits due to bidder mistakes or lack of knowledge about a parcel. SPECIAL NOTICE REGARDING WATER AND SEWER BILLS IN THE CITY OF ALBANY: Some of the water and sewer charges that appeared on City of Albany water bills in are now being collected and enforced by the Albany City Water Board. Those amounts are not payable to the County and may be due to the water board after you close. Please contact for information on past-due water bills. When you close with the County, water and sewer charges will become your responsibility and may be levied onto future Property Tax bills if unpaid. Auction Informational Meeting at 6:00PM 8:00PM THURSDAY, April 24 th Albany County Office Building 112 State Street, Cahill Room Albany, NY Albany County will hold a Public Informational Meeting on Thursday, April 24th to answer questions about the Sealed Bid process. The Property Folders are available for viewing any weekday from 8:30am-4:30pm at the Finance Office in Room 800 at 112 State Street in downtown Albany. Bidders MUST examine the property folders and visit the parcel on-site PRIOR to bidding. These are tax foreclosed parcels and have often been severely neglected by prior owners! If the County cannot confirm that you have inspected the file and the property on-site, the RFB will be rejected. To assist with speed of reviews and approvals, please submit all RFB Forms in sealed envelopes and put the parcel number and address on the outside of that envelope.

5 REAL PROPERTY SEALED BID Page 5 When can I close on my bid? BIDS MUST BE REVIEWED AND APPROVED Legislative Approval of Bids is Required Closings will be scheduled after certified copies of the Resolution authorizing sales are received by Finance usually days after bids are received. No closings can take place before the certified copy of that resolution is received in the Division of Finance Office. Please note that any bid can be rejected for any reason during this process. Recommended bidders from the sealed bid process will be contacted at the addresses and/or phone listed on registration materials to secure a 20% deposit by June 5th, After the bid is approved by the County Legislature, a letter will be generated with instruction for setting up closings. If you do not respond to the closing letter within 30 days you will lose your deposit. Approved bidders that fail to close will be blocked from bidding at future auctions. The County cannot delay closing while bidders complete research on any given parcel. Title work, closing costs not owed to the County, and Water and Sewer Charges not yet levied are examples of research that must be completed prior to your closing date. Know your Rights and Responsibilities Make sure you have read and understand the Terms and Conditions of the Auction!

6 Page 6 REAL PROPERTY SEALED BID AUCTION TERMS AND CONDITIONS Please note: There is no live auction bidding for the May 15th 2014 listing. All bids must be submitted in sealed envelopes on the Request for Bid Forms provided by the County (RFB 2014 on website) by May 15th. As such, the language in the attached terms and conditions referring to County Auctioneer, starting bids at the auction site, submission of Resolution 80 Forms, and recording of back-up bidders will not be used for these sealed RFB 2014 bids. Bidders can submit RFB FORMS on more that one property. Upon notification of results, the bidder may withdraw other RFB submissions up until the submission of the 20% deposit. 1) The County of Albany reserves the right to withdraw any or all parcels prior to the auction. 2) No bid shall be accepted for less than the sum of $100 or the minimum bid for the parcel announced at auction. The County reserves the right to reject any bid that is not an appreciable advancement over the preceding bid. The County Auctioneer s decision regarding any bidding disputes is final. 3) All sales are subject to approval by the Albany County Executive and the Albany County Legislature. The County Executive and/or the County Legislature may reject any sale for any reason. The proposed purchaser shall complete and submit the Questionnaire annexed hereto as Exhibit A, which will be reviewed by the County Executive and County Legislature as a part of the approval process. In considering the approval of all proposed sales the County Executive and County Legislature will consider the planned use of the property; whether or not it is to be owner occupied; whether or not the proposed purchaser intends to rehabilitate the property and the extent of the financial investment and timeframe for the rehabilitation. The County Executive and County Legislature will also consider in the approval process whether or not the proposed purchaser has previously purchased property from the County and, if so, whether or not the proposed purchaser has complied with the use, plans and any rehabilitation represented by the proposed purchaser as to be undertaken at the property (ies) previously purchased from the County. 4) The tax delinquent former owner(s), their immediate family member(s), or anyone acting on their behalf, bidding on a parcel must pay the amount of the delinquent tax liens foreclosed upon and all subsequent fees and interest or the bid price, whichever is greater. Successful bidders will be required to certify in the contract of sale that they are not the tax delinquent former owner(s), an immediate family member or someone acting on behalf of said tax delinquent former owner(s). No approved bidder shall transfer the property to the tax delinquent former owner(s), an immediate family member or anyone acting on behalf of said tax delinquent former owner(s) within a period of two years following sale at auction. A right of reacquisition shall exist on all auction sales allowing the County to reacquire any parcel violating this condition. 5) Persons or entities having lost title to property to the County by reason of delinquent tax foreclosure within the 24-month period preceding the auction are prohibited from IMPORTANT: PLEASE READ FULLY

7 REAL PROPERTY SEALED BID Page 7 AUCTION TERMS AND CONDITIONS bidding at auction. Any person or entity having unresolved Building Construction and Fire Safety Code violations in connection with other properties are prohibited from purchasing auction properties. Successful bidders will be required to certify in the contract of sale that neither of these prohibitions applies to them. 6) The County reserves the right to accept bids from potential bidders not attending the auction. The County may require certified funds to cover a bid on a specific parcel. These bidders may be required to sign a bid form upon notification accepting their bid. Where applicable, these bids will be announced as the starting bid at the auction. The County also reserves the right to record back-up bidders at auction. Once the successful bidder is recorded, the highest previously submitted bid will be recorded as the back-up bid. This designation will be noted by the auctioneer at the close of the bidding. In the event that the successful bidder does not close on the parcel, the backup bidder may be sold the parcel subject to the same approvals as all other bidders at auction. A previously recorded bid will be accepted as the back-up bid if that bid is higher than other qualifying bids at auction. 7) The successful bidder will be required to execute a contract of sale for the amount bid and to deposit with the County $100 or 20% of the amount bid, whichever is greater, as a down payment. Failure to make such deposit shall nullify the bid. The successful bidder must pay the balance of the purchase price by bank check or certified check to the Commissioner of Management and Budget, Harold L. Joyce Albany County Office Building, 112 State Street, Suite 800, Albany, New York 12207, within thirty (30) days from the date of a letter which will be mailed to the approved bidder by the Albany County Division of Finance stating that the deed to the parcel purchased is ready for delivery. If no response is received from the successful bidder, the County will send a certified letter notifying that bidder of the potential deposit forfeit. The County of Albany accepts no responsibility for failure of delivery or receipt of that letter. If the approved bidder fails to timely pay the balance of the purchase price, the deposit will be forfeited and the parcel offered for re-sale at a future public auction. In such event, the successful bidder may be held liable for any deficiency between the sum bid and sum for which the property is re-sold, together with any costs or expenses incurred on such re-sale. A successful bidder failing to close on the sale may be restricted from bidding at future auctions, in addition to being liable for any deficiency suffered by the county upon subsequent sale of the property. Bidders may be granted an extension on closings at the discretion of the County Executive. If an extension is granted, the bidder shall be liable for the pro-rated share of taxes on the property computed from the original closing date. 8) The County Executive may segregate specified parcels in the auction brochure and establish conditions set forth in the public record as a condition of the bids. These conditions may include, but are not limited to, requiring certified funds, a cashier s check, a deposit of $100 or 20% of the amount IMPORTANT: PLEASE READ FULLY

8 Page 8 REAL PROPERTY SEALED BID AUCTION TERMS AND CONDITIONS bid, whichever is greater, as a down payment at the time of the auction on specified parcels from the bidder and backup bidder on those specified parcels. The County is required to clearly note these conditions in the public record prior to recording bids on each parcel so affected. 9) All information aids provided by the County in connection with auctions, such as slides, tax maps, deeds, photos, auction listings, auction catalogs, auction signs, property record cards, etc., are for identification purposes only and are not intended as, nor do they constitute, a representation, guarantee, or warranty as to condition, location, dimensions, zoning, property use and/or size. 10) All properties, including any buildings or other improvements located thereon, are offered for sale and sold by the County AS IS without representation or warrant of any kind as to their condition, excepting where applicable, the HUD Lead Paint Disclosure for Residential Properties and any other disclosure required by law. All information and records concerning property condition had by the County is available for review by prospective bidders. Prospective bidder to whom the condition of a property is relevant to their bidding upon it are therefore cautioned to review such information and records and to consider having an inspector, contractor, architect, and/or engineer inspect the property prior to bidding. Albany County has acquired title to these properties through delinquent real property tax foreclosure proceedings In Rem in accordance with Article 11, Title 3 of the Real Property Tax Law of the State of New York and the right, title, interest, claim, lien, and equity of redemption of all persons therein have been presumptively extinguished under said provisions of law, which presumption will become conclusive after two years from the date of the recording of the deed thereof to the purchaser. The deed conveying title to the purchaser will be a quit claim deed from the County of Albany containing the assessment roll description of the parcel as it appeared on the delinquent tax roll for the year upon which the County acquired title by foreclosure and not a metes and bounds description. However, title conveyed to purchaser is subject to: (a) any state of facts an accurate survey or personal inspection of the premises would disclose; (b) all applicable zoning/ land use/ and building code regulations; (c) and easements, covenants, conditions and rights-of-way of record existing at the time of the levy of the tax, the non-payment of which resulted in the delinquent tax foreclosure proceedings by which Albany County acquired title; (d) current taxes and assessments and water and sewer charges to the extent hereinafter provided; and (e) any conditions established by the County Executive and set forth in the public record as a condition of the sale prior to recording bids. Since marketable and/or insurable title to and the actual dimensions and physical location of these properties is not warranted by the County, prospective bidders to whom obtaining insurable or marketable title to or the actual dimensions and/or physical location of a property is IMPORTANT: PLEASE READ FULLY

9 REAL PROPERTY SEALED BID Page 9 AUCTION TERMS AND CONDITIONS relevant to their bidding upon it are cautioned to consider having a title search and/or survey of the property performed or otherwise satisfying themselves in this regard prior to bidding. Successful bidders and/or their representative may not enter or perform any work upon the properties purchased by them at auction prior to the transfer of title at closing without the express written consent and agreement of the County. 11) All parcels will be conveyed by the County of Albany to the purchaser(s) thereof free and clear of all property and school taxes levied prior to January 1, 2014, excepting: (a) any village taxes; (b) any special assessments due and payable to the municipality in which the parcel is located; (c) any water and sewer charges levied against the parcel which are due and payable at the time of closing. The County has paid and thereby extinguished the January 2014 Property Tax due. The purchaser is responsible for paying the full amount of the property and school taxes levied against the parcel after January The purchaser is responsible for all future tax bills, including any and all other charges included on those tax bills. 12) If the successful bidder owes any outstanding delinquent taxes to Albany County, those delinquent taxes must be paid in full prior to closing on any purchases made at this auction. Failure to comply with this requirement will be grounds for disqualification and forfeiture of any deposits paid by the successful bidder. 13) In addition to the purchase price, the approved bidder must pay closing costs consisting of any taxes, fees and charges required by law to be paid to the County Clerk in connection with recording the deed and filing any related documentation. Closing costs will also include the title search fee paid by the County. 14) The approved successful bidder shall provide the information necessary to complete, and shall execute, the necessary forms and documents required for recording the deed in the County Clerk s Office. 15) All sales shall be final, absolute, and without recourse, and in no event shall Albany County be or become liable for any defects in title or for any cause whatsoever, and no claim, demand, or suit of any nature shall exist in favor of the purchaser, their heirs, successors, or assigns, against Albany County arising from such sales. 16) Since the County does not acquire title to personal property located upon a property when it is foreclosed upon for tax delinquency, personal property is not included in the sale and the disposition of personal property, if present, is solely the responsibility of the purchaser following the closing of the sale. 17) Eviction of the occupants of a property, if any, is solely the responsibility of the purchaser following the closing of the sale. IMPORTANT: PLEASE READ FULLY

10 Page REAL PROPERTY SEALED BID WHY DO I NEED A TITLE SEARCH/ INSURANCE? Liens are placed on properties to pay off debts when the property is sold. A title search is the process of examining all relevant records to confirm that the seller is the legal owner of a property and that no liens or other claims remain outstanding. T h e C o u n t y forecloses upon and conveys title to delinquent real property tax lien foreclosure auction properties by their local assessment roll d e s c r i p t i o n s. Purchasers of such properties are given a quit claim deed conveying only whatever right, title, and interest the County acquired in them as the result of the foreclosure process. Although the foreclosure process presumptively eliminates all former interests (with limited exceptions) in and liens against such properties, a title search by the prospective purchaser is advisable to confirm that this was in fact the case and that the County will be conveying clear title to the property. Title insurance is an option that is available to the purchaser at an additional cost t h r o u g h w h o m e v e r performed the title search, which provides the purchaser with an insurance policy in this regard. Please also read items 7, 8. and 9 in the Terms and Conditions carefully for more information! The County also does not guarantee title, property size, boundaries, actual location, permitted use(s), zoning, or physical condition, and sells such properties AS IS and WHERE IS. TITLE INSURANCE is the Bidder s Responsibility!

11 REAL PROPERTY SEALED BID Page THESE ARE TAX FORECLOSED PARCELS BUYER BEWARE! These properties came into County ownership due to unpaid taxes in many cases the assessed value exceeds the taxes that were owed. The former owner abandoned the property to foreclosure rather than sell it for $1,000 above taxes owed. You need to figure out why. Do your research and bid only on those that you have fully investigated: Buildings are bought AS IS no guarantee of condition; If you have not seen the property, do not bid; If you have not read the Property Folders, do not bid; Eviction of Occupants is the responsibility of the bidder after closing. It is a good idea to check: Current Water and Sewer Bills; Past Codes Violations; Current Year Tax Bill (will be prorated at closing); Zoning and Planning Allowed uses after closing prior use does not guarantee future zoning. When Coming to the Property Showings: Dress appropriately, many properties are in poor condition; Children are not allowed in these buildings; Bring flashlight, notepad, camera to document conditions that might affect your bid price.

12 Page REAL PROPERTY SEALED BID PARCELS #400 and above Escrowed Funds Required Bidders will be required to submit additional funds in escrow at closing on the parcels number 400 and above. The notice below has been posted to the property folders to establish conditions set forth in the public record. This parcel has been segregated into the 400+ numbering section for Conditional Bids. Please note the following conditions for closing, see item #8 of the terms and conditions: The amount of $ will be required at closing and will be held in escrow until necessary repairs are completed. As those repairs are made, the County will confirm completion and reimburse materials costs for the following: Installed Roofing Material Window Repair or Replacement Structural Repairs to prevent deterioration Weatherization to eliminate water intrusion Other Any remaining balance of escrowed funds will be returned to the bidder if the County inspection determines that contributing conditions to blight and decay have been addressed. Failure to complete repairs within the period specified in the bidders RFB Form will result in forfeit of these funds to the County. This notice, numbering sequence and website posting(s) regarding this parcel are considered clear notice in the public record prior to recorded bids.

13 REAL PROPERTY SEALED BID Page WHERE DO I BEGIN? In order to submit a sealed bid offer on the listed properties, you must begin with these three steps: 1. Come to Room 800 at 112 State Street view the property files and then register to bid. You will be given a bidder card and bidder number to use with any bids you submit. Photo ID will be required for registration; 2. Set up an appointment to view the property. Bidders must do on-site inspections prior to submitting bids; 3. Figure out what your cost of rehab will be for any building, what the zoned use is for vacant land, and add those costs to the bid form. Remember to include sweat equity where you are doing the work yourself! 4. Use the County provided RFB 2014 form on the website, or available at the County Offices. Bidders must be pre-qualified By registering you are certifying that you meet these basic criteria: No unresolved citations or Code Violations, no Vacant Building Court Actions within the past 3 years, no emergency demolitions of bidder-owned property; No Criminal Activity at any property owned by Bidder; No Delinquent Taxes; No abandonment of property to foreclosure within the past two years. Once registered, the County will perform background checks on all bidders to confirm that none of these conditions exist PRIOR to accepting bids. Deeds can only be recorded into the name of the registered bidder! New Section for Bids 400+ Invest in Success! The County will require escrow funds where property condition is noted as fair to poor, or other contributing factors to blight are noted. In these instances the bidder will be required to provide a certified funds check at closing. As repairs are made, these funds will be released back to the owner.

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