HRA Meeting Date: October 2, 2025
To: Members of the Housing and Redevelopment Authority
From: Melissa Hanson, Housing Coordinator
Title
Consideration of the Sale of HRA owned Property at 2330 Elianna Drive.
Body
Action Requested:
The Northfield HRA is being asked to approve the attached Resolution for the sale of HRA owned property at 2330 Elianna Drive on the open real estate market.
Summary Report:
The City of Northfield’s Housing & Redevelopment Authority mission is to be a partner in providing a sufficient supply of affordable, adequate, safe and sanitary dwellings in Northfield.
Our goal is to create a community with housing opportunities available along the entire housing spectrum: from renters to homeownership, first-time homeowners, to senior living, workforce housing and empty-nesters. We strive to create affordable housing opportunities and strengthen our neighborhoods utilizing:
- Sustainability
- Innovation
- Partnerships
- Community Input
Housing Redevelopment Authority (HRA) Rental Property Transition Summary
In 2009, the HRA acquired two newly constructed townhomes (2330 and 2334 Elianna Drive) that were at the onset of foreclosure. In response to the 2008 Housing Crisis, the HRA established criteria to lease these homes as rentals, giving preference to families with children in the Northfield School District who had recently experienced foreclosure.
Over the years, the HRA added a small number of additional rental properties to its portfolio. Prior to this shift, the HRA's typical approach was to acquire, rehabilitate, and sell properties, using the proceeds to support other housing initiatives. However, after several years of managing rental properties, it became evident that the limited scale of the portfolio did not support long-term sustainability in property management.
In 2021, the HRA made the strategic decision to transition out of residential property management. As part of this effort:
- In 2022, the Community Action Center (CAC) purchased the property they had been leasing from the HRA.
- That same year, the HRA offered a first right of purchase to tenants in its remaining rental properties. One family chose to move out, after which Rice County Habitat for Humanity and the Star Fish Project collaborated to purchase, rehabilitate, and sell the home to a low-income household.
- In 2025, another tenant family successfully purchased the home they had been renting, leaving only one property in HRA’s rental property portfolio.
Selling 2330 Elianna Drive will be the final sale in the HRA’s rental property portfolio.
This transition concludes the HRA’s involvement in direct property management and reflects a return to its core focus on broader housing initiatives through partnerships and strategic investments
Alternative Options:
N/A
Financial Impacts:
Net proceeds are anticipated to be approximately $280,000 and will be deposited into the Local Housing Trust Fund.
Tentative Timelines:
N/A