Elkader accepts donation of 11 lots in Breezy Summit subdivision
By Kaitlyn Kuehl-Berns | Times-Register
At the Oct. 27 Elkader City Council meeting, council members Tony Hauber, Bob Garms and Daryl Bruxvoort passed a resolution accepting the donation of lots within the Breezy Summit Subdivision and established a process for selling the lots for future development. Mayor Josh Pope and council members Randy Henning and Deb Schmidt were absent from the meeting.
Resolution 2025-51 was approved to formally accept the donation of 11 lots from members of the Johnson family. Bruxvoort and other council members expressed appreciation for the donation.
The 11 lots vary in size from 0.23 to 0.52 acres, with assessed values ranging from $13,000 to $17,000. One lot is an outlier at an assessed value of just under $3,000.
Following acceptance of the donation, the council approved a process for selling the lots. Proposals would first be reviewed by the city’s housing committee, then final approval by city council through a resolution.
As part of the process, applicants will be required to pay $2,000 to cover expenses of abstract and attorney fees. Buyers will include their offer as part of the proposed.
According to the purpose statement of the Breezy Summit subdivision, the city’s objective is to support sustaining and increasing population by expanding local housing options. This need has been identified by community leaders through goal development and a Rural Housing Readiness Assessment.
Proposals must include applicant contact information, proof of financing, project descriptions and time line, estimated project cost, estimated assessed value and proposed resale price if applicable.
Priority will be given to projects that are single-family or duplex proposals, construction beginning within 24 months and completed within three years and have the financial capacity to complete the project or affordable housing projects.
The proposal also shared local housing incentives that would be available to prospective home buyers.
Incentives offered by the city of Elkader include:
- Three years of base water and sewer at a value of $810 per year.
- Three-year rebate on city portion of property taxes.
- Building permit fee waived at a value of $115 to $130.
- Water and sewer tap-on fee waived at a value of $250 each.
Another option for prospective buyers would be applying for the newly established revolving loan fund for new builds in Clayton County with the Clayton County Economic Development Group.
Purchasing through the Home for Iowa organization is another opportunity for prospective buyers. The non-profit organization offers affordable pre-built homes by employing and training incarcerated individuals in the state of Iowa. Five of the 11 lots are suitable for the Homes for Iowa or affordable housing program.
The amount of property tax the city of Elkader previously received from these lots is estimated to be around $1,670 per year.
Calculations completed by the Elkader city administrator estimate the average tax revenue collected by the city would be around $24,000 per house over 10 years.
If five houses are built, the estimated tax revenue over 10 years would be $120,000.
If eight houses are built, the estimated tax revenue over 10 years would be $192,000.
In addition to increasing tax revenue, the development of news homes would likely bring new families to the community who would contribute to the local workforce and economic growth.
Other action taken at the council meeting included passing the third reading of ordinance 2025-05. This ordinance amends section 167 relating to sign regulations of the code of ordinances to add the definition of an “advertising sign.”
Repairs to Oak Avenue NW and Cedar Street NW at a cost of $4,700 were also approved.
