Shawnee County will hold its first court foreclosure tax sale in over two years next week.
And at the top of the list of 23 properties available to the public online auction is the former Red Carpet Inn & Suites, 914 SE Madison St.
The auction is scheduled from 9 a.m. to 3 p.m. on October 27. Auctions will start at $ 38.
A civic development plan created by the Topeka Planning Department in 2020 suggested relocating city and county law enforcement – and possibly judicial – facilities to 914 SE Madison from their current locations.
However, Gretchen Spiker, acting director of media relations, said the city was not interested in purchasing the property.
“The town of Topeka is delighted that the building will be auctioned soon,” Spiker said. “The city has no plans to purchase the building but is delighted to be working with the future owner to hopefully bring new life and vision to this region.”
The way from the Red Carpet Inn to the public auction
Built in 1969 and owned by Dickinson, ND based at CPE Topeka Kansas 1031 Exchange 32984 LLC, the property has an estimated value of $ 690,000, including $ 224,360 for the land and $ 465,640 for the structure, according to the records of the website Shawnee County Assessor Steve Bauman.
The white concrete and steel structure has been vacant since 2005 and was destroyed in 2011, about a year after its current owner bought it, according to Topeka Capital-Journal records.
Records from the county assessor’s office show that property taxes for this address have been unpaid since 2015, with the amount owing reaching $ 252,364.78.
The city has issued nuisance and weeding violations to the property every year since 2017, as well as an overdue sewer charge violation every year since 2018.
Shawnee County Commissioners Kevin Cook, Aaron Mays and Bill Riphahn voted 3-0 on February 27, 2020 to allow Crowl’s office to start tax foreclosure litigation against dozens of properties, including 914 SE Madison.
The winning bid could come from Topeka, another state, or even another country.
“We hope this will be productive and for the best use,” Cook said of the upcoming auction. “Until that happens, you just don’t know.”
Crowl’s office filed a complaint on March 3, 2020, identifying 136 delinquent properties being considered for foreclosure, including 914 SE Madison. Taxes for some of these properties have since been paid resulting in delisting, but the old Red Carpet Inn & Suites building has remained.
Homeowners can still avoid selling these properties by paying their property tax bills until 5 p.m. the day before the auction.
Kansas law allows counties to sell overdue properties at auction if the owner does not pay county property taxes within two years of the due date for owners of commercial property and three years after the due date. deadline for residential property owners.
“Under these circumstances, this property has reached a public auction as quickly as possible,” Shawnee County Councilor Jim Crowl said. “This is a multi-step process designed to ensure due process for homeowners. It is not a quick process.”
From 2009 to 2019, Shawnee County held an auction each year on the first Tuesday in September in which it sold properties for which unpaid property taxes had not been paid.
Last year’s auction did not take place due to COVID-19.
How to participate in the Shawnee County public auction
Each property will start with a minimum bid of $ 38 to cover the cost of the deed registration. The auction will close at the end time, unless there continue to be active bids. In this case, the auction will continue until there are no more active auctions for at least three minutes.
The properties are sold as is without any warranty.
All properties must be paid for on the day of sale by 4:45 p.m. Payment must be made by wire transfer or automated clearinghouse through the CivicSource payment website. The buyer will receive a receipt upon payment.
What other properties are available?
While the former Red Carpet Inn & Suites is the most valuable item, according to the appraisal, the auction is primarily comprised of residential properties, valued at between $ 163,580 and $ 4,060, and vacant lots.
The only other two commercial properties are 2002 SE California Ave, the former location of Tacos El Mexicano, valued at $ 85,100, and 801 SW 21 St., a former Sonic Drive-In, valued at $ 34,850.
After the auction, winning bidders will receive a buyer affidavit via email that they must sign, under oath, that they meet the legal requirements to bid on a tax sale property. The affidavit must be notarized and returned to the adviser’s office before the deed is published.
Once the sale is confirmed by the court, an act of the sheriff will be drawn up and entered in the register of acts. The deed will be issued to the purchaser as indicated on the bidder’s registration request.
It can take up to 90 days to receive the registered deed at the property. It will also take longer for past due taxes from previous years to be purged from the property record.