Colfax approves half lots in East View for $8,000

By LeAnn R. Ralph

COLFAX — If developers want a larger lot in the East View residential development, they can now purchase an additional half lot for $8,000.

The Colfax Village Board approved offering half lots for $8,000 at the September 11 meeting.

The six lots in Phase 1 are all zoned single-family residential and are 90 feet wide and a 160 feet deep, with an assessed value of $15,000 each.

The developer’s agreement with the village requires the finished homes, including the lot, have an assessed value of $175,000.

One house has already been built on Lot 6.

The lots are assessed at $14,900, but some developers have indicated they would be interested in a larger lot, said Lynn Niggemann, village administrator-clerk-treasurer.

The Colfax Plan Commission recommended at a meeting held September 6 that the village board offer an additional half lot for $8,000.

People planning to build a house would get the initial lot for free, as is the case with the existing lots, but then they would pay an additional $8,000 for another half of a lot, Niggemann said.

Village Trustee Carey Davis wondered if offering half lots would “trap” a half lot.

If the Lot 6 owner wants half of Lot 5, then a potential home builder could take Lot 4 and the other half of Lot 5, Niggemann said.

If the Lot 6 owner does not want half of Lot 5, a potential builder could put a new house on Lot 5 and then purchase half of Lot 4, Niggemann said.

In either case, Lots 1, 2 and 3 could be reconfigured to be somewhat larger to accommodate duplexes or twin homes, she said.

Village Trustee Annie Schieber wondered where the additional $8,000 for half lots would be put in the budget.

The money could be used for expansion in the Tax Incremental Finance District (TID) or could be applied to utilities that would be added to the TID, Niggemann said.

No matter what the money ends up being used for, it would go into the TIF fund balance, she said.

The Colfax Village Board unanimously approved a motion to charge $8,000 for a half lot.

Pay-as-you-go

Sewer and water utilities and street improvements will be needed for other phases of development in East View, Niggemann said.

Cedar Corporation has suggested using pay-as-you-go for the TIF, she said.

Under pay-as-you-go, the contractor would pay for improvements, but the property taxes generated by those improvements would be put in the TIF, as they normally are, but then would be paid back to the developer to cover the cost of improvements, Niggemann explained.

It would be a way of guaranteeing infrastructure development, said Gary Stene, village president.

The village “should be open to all options,” he said.

“Let’s see how we can make it work. Don’t tell me it can’t work,” Stene said.

“Everything is negotiable,” he said, adding that he wants Colfax to gain a reputation for being open to considering options.

The Colfax Village Board unanimously approved a motion to consider TIF incentives for developers.