China Grove seeks upset bids on South Main Street property
Published 12:10 am Friday, May 5, 2023
CHINA GROVE — China Grove officials have opted to extend the bid process for a property on South Main Street to see if any higher bids are submitted.
The China Grove Town Council made the decision during its regularly-scheduled meeting on Tuesday. The property at 911 South Main St. has one rundown structure that’s missing its roof.
The land abuts the railroad tracks that run through town and that complicates any improvements since railway permission is needed for any construction.
Andrew Manus gave the town the property in 2018. It was declared surplus during China Grove’s regularly scheduled monthly meeting on April 4.
The property consists of two parcels of adjacent property. According to the town, the first parcel’s tax value is $81,530. The second parcel’s tax value is $35,250, for a combined value of $116,780. However, the current offer to purchase the property was for just $30,000.
State law permits China Grove to sell the property by upset bid after receipt of an offer. Starting the bidding process does not lock the town council into selling the property. Additionally, any or all bids can be rejected anytime until the final high bidder signs a purchase agreement.
With the current assessed property value, getting both properties back on the tax rolls would generate annual property tax revenues of $653.97.
The China Grove Town Council pointed to that revenue as justification for selling the property, as well as offloading the financial burden of maintaining the property from the town’s books.
Jason Overcash made the current offer to purchase the property.
Per the upset bid process, anyone wishing to upset the current bid must submit a sealed bid with an offer to the town clerk’s office within 10 days after the notice of sale is published. After the 10-day period, the clerk will open the bids, and the highest bid becomes the new offer.
If there is more than one bid of the same, highest amount, the first bid received will become the new offer.
If a qualifying bid is received, the process will essentially be on hold until 10 days have passed without any qualifying upset bids.
The town council must approve the sale before it can officially be closed.
The buyer must pay with cash, certified check or electronic funds transfer at the time of closing.
If no additional bids are submitted, town officials can choose to move forward with the sale to Overcash.