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Mitchell City Council to consider providing local housing nonprofit with $30K from sale of corner lot

Providing the Mitchell Area Housing Incorporated with money made from sale of the lot on 15th Avenue and Minnesota Street would be a funding source for the organization's goal of building workforce homes.

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Shown here is the lot that the city sold for $35,000, which $30,000 of the proceeds made could be going to help fund a new Mitchell housing nonprofit.
Sam Fosness / Republic
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MITCHELL — Proceeds that the city of Mitchell made from selling a lot on the corner of 15th Avenue and Minnesota Street could be going to a new local housing organization to help the nonprofit's mission of bringing more workforce housing.

The Mitchell City Council will consider authorizing $30,000 on Monday to the Mitchell Area Housing Incorporated, also known as MAHI. Monday’s meeting is scheduled for 6 p.m. at City Hall.

Among the projects that the Mitchell Area Housing Incorporated organization has been involved in since its creation include a proposed housing development on the south side of Lake Mitchell and breaking ground for a home on a corner lot along Foster Street and Birch Avenue near Hitchcock Park. Bringing more workforce housing options to Mitchell is the main goal behind the organization, according to MAHI leaders.

With the money made from the lot sale possibly going to MAHI, pending the council's approval, it’s one way the new organization would be getting funding for future projects.

In July, the Mitchell City Council approved the sale of the 15th Avenue and Minnesota Street lot for $35,000. The $35,000 offer was made by Moody Properties, LLC, a Mitchell-based company.

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The council's decision to approve the $35,000 offer on the lot that sits on the corner of 15th Avenue and Minnesota Street comes after the city listed it on the market roughly three months ago at price tag of $57,000

Prior to the council agreeing to sell the lot, the city was seeking to transfer it to Mitchell Area Housing Incorporated for the organization to get a new workforce house built there. However, several nearby residents pushed back on the plan for the home build, citing concerns of the proposed home potentially having a negative effect on existing property values in the area.

Residents who opposed the initial home build plan also claimed the lot was always intended to be utilized as a future park or green space.

After hearing the opposition, the city opted to list the lot on the market and field offers. Since the lot was listed in the spring, there had been two offers on the lot that the city considered. The initial listing price was $57,000, but it dropped to $42,000 at the time the $35,000 offer came in.

The first offer on the lot came in at $30,000, followed by the $35,000 offer that was approved.

Sam Fosness joined the Mitchell Republic in May 2018. He was raised in Mitchell, S.D., and graduated from Mitchell High School. He continued his education at the University of South Dakota in Vermillion, where he graduated in 2020 with a bachelor’s degree in journalism and a minor in English. During his time in college, Fosness worked as a news and sports reporter for The Volante newspaper.
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