Thursday, July 31, 2008

Bad economy halts all state land sales

by Michael Clancy - Jul. 29, 2008 10:48 AM
The Arizona Republic

The State Land Department has halted almost all land sales "for quite some time," a state official said.

The last attempted land sale, for a small parcel in northeast Phoenix on July 9, drew no interest.

Several previous sales attracted no bidders, including large parcels in or near the desirable Desert Ridge area of northeast Phoenix.

The State Land Department controls almost all undeveloped land in north and northeast Phoenix. It hoped to begin selling land north of Pinnacle Peak by now. That land, several Desert Ridge parcels and other pieces of land are now tentatively scheduled for sale in 2009.

Department officials have blamed the decline in interest on the economic downturn and the housing crisis.

No auctions are scheduled for August.

In September, only three small right-of-way auctions are scheduled.

In October, the State Land Department has scheduled three right-of-way sales, two in Pinal County and one in Pima. It has scheduled a 5-acre land sale to a church in Sierra Vista.

Beyond October, nothing is scheduled.

"You will not see us bringing new parcels to auction for quite some time," Deputy State Land Commissioner Jamie Hogue said after the failed auction this month.

The fiscal year that just ended had several parcels in northeast Phoenix and elsewhere that failed to sell.

Mark Winkleman, state land commissioner, said the department is continuing to talk to land owners about relieving their obligations.

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