The Carmel Redevelopment Commission has received two bids from developers to purchase the land behind the Carmel Fire Dept. headquarters.
The city was looking to sell the parking lot to a developer to turn it into for-sale condos. The CRC had the 3.3 acres of land appraised at around $3.7 million for the site, but the bids fell far short of that value.
One company, Onyx & East, bid $300,000, while another, an F.C.C. Development partnership, bid $1,000.
CRC Director Corrie Meyer said the bids might be lower than the value of the land because there are a lot of public infrastructure improvements that the developers would have to make, such as possibly building a parking garage, relocating a street, dealing with stormwater drainage and relocating utilities. It could be similar to how the CRC sold the Party Time Rental land to Anderson Birkla for $50,000 even though it purchased the property for $3 million in 2009. Anderson Birkla is building a parking garage and new roads.
“They are investing in the public infrastructure, which would offset the cost of the land,” Meyer said.
Meyer said the new project also would be required to accommodate city vehicles in the potential parking garage. It’s possible 200 condo units could be constructed.
“The commission has the right to reject these two proposals if they are not what we are looking for,” she said.