The Town of Fort Frances has finally sealed the deal on an offer to purchase lot 21 on Erin Crescent. This is the first sale after the lot prices were approved by council for price reduction in March.
Lot 21 was initially $89,500 and then was reduced to $65,700. The town accepted an offer made on this lot, one day after the price reduction.
Lisa Slomke, municipal clerk, said those who purchased the lot were on her list of interested parties.
The owners of lot 21 now have five years to build, with the possibility of a two-year extension should they ask for it.
“The five-year building season doesn’t start until after the land transaction closes and the property transfers to the owners’ name,” Slomke said. “That’s when their building season would start.”
Slomke said she is still in touch with others who are interested in the Erin Crescent lots.
“There are a few people who pushed the brakes on moving ahead because of the unknowns of COVID, and that’s totally understandable,” Slomke said.
With Huffman Court, the town had a similar recent experience with selling land for residential development, minus the unknowns of COVID-19.
There were 16 lots at Huffman Court; Slomke sold 15 of them when she looked after the sales.
According to Slomke, it took the town around two and a half years to sell all the Huffman Court lots.
Currently, Erin Crescent has 26 lots that are yet to sell, but Slomke said she is optimistic the Erin Crescent lots will sell in a similar time span to that of Huffman Court.
“I think the unknown for everyone right now is how long COVID is going to continue to drive up building costs,” Slomke said. “From everybody that I’ve spoken with, that’s probably the one uncontrollable increase that we’ve seen from COVID.”
The lots in Huffman Court were between $39,000 and $65,000. Four lots on Erin Crescent will be more than $65,000. Erin Crescent currently has 12 lots under $50,000, with the lowest price being $46,900.
Four of the current lots on sale in Erin Crescent will be more than $65,000, with the most being $82,800.
Under the original lot prices, it was projected that the town would see $1.9 million in sales. After the adjustment to the lot prices, the town will get about $1.4 million.