By ALICIA FEYERHERM
Tiger Media Network
The Hays USD 489 Board of Education heard from bidders of the Felten property during Monday’s board meeting.
The 7.23 acre lot located north of the current Felten Elementary School football field was put out to bid, but the bids received were below the appraised value.
All four bidders of the property presented their plans.
First was Chester Mayhew Sr. and Chester Mayhew Jr.
“We believe there is a market for producing attainable, quality homes for working families,” Mayhew Jr. said.
The two have plans for 78 units. Those units would include two-bed, one-bath homes, duplexes, and three-bedroom two-bath homes. These would be slab homes, priced between $175,000 and $250,000.
Board President Curt Vajnar asked if the two had prior home development experience.
Mayhew Sr. said he is working on a development in Branson, Missouri. Mayhew Jr. owns the Cattleman Cafe restaurant on 27th and Indian Trail.
Next came Von Murtry and John Ziegler. Murty owns M&D Construction in Hays.
Phase 1 of their project would start closest to the elementary track with 19 homes. The lots would be sold to local contractors. Homes would be priced at approximately $250,000.
They plan to put the sewer in deep enough so local contractors can put in homes with basements if they choose to do so.
Lot sizes may vary once the development starts Phase 2.
“Our thoughts are, with these smaller homes, if they go over big, we’ll keep continuing going,” Murtry said. “If it doesn’t go over real big, we may have to make the lots a little bigger on Phase 2.”
Murtry said they could break ground within six months. Phase 1 could be completed in as soon as a year and a half.
“I don’t think it’s a 10-year project,” Murtry said.
Lance Johnson presented Land Inspire’s proposal.
Johnson, who now lives in Lawrence, grew up in Hays and attended elementary through high school in the district.
The development, named Trailhead at Oak, would be geared towards first-time homebuyers.
“It’s really based on a starting point,” Johnson said. “Attainable housing for those young families that will most likely attend the schools next door.”
The homes would be around 1,500 to 1,700 square feet, with two stories and a more modern feel. The development would include 38 single-family homes, as well as two “pocket parks” and a “common green.” These would be maintained through an HOA fee.
The homes would be priced around $300,000 and could be built out in about five years.
Finally, Matt Allen with Paul-Wertenberger Construction presented.
Allen started by providing an overview of costs required for development, including:
- Land costs of $6,500 to $9,500 per acre.
- Midwest Energy utility costs of $8,600 per lot (but are reimbursable to the developer after five years).
- Infrastructure (street, water, sewer, etc.) costs of $40,000 to $50,000 per lot.
- Design, zoning and construction administration costs of approximately $100,000.
Combined, this brings the cost of development before construction to approximately $1.5 million.
The design includes 26 slab homes ranging from 1,000 to 1,300 square feet— which would be priced at $250,000 to $300,000, which is comparable to the surrounding neighborhoods.
“There’s a little bit of a flood plain issue on the north side of this lot, so that’s why we’ve earmarked that as a stormwater retention pond,” Allen said.
This development would be targeted towards school employees.
“As long as the demand is there, we would want to work with people that are employees of USD 489, Hays Catholic schools, Fort Hays, Fort Hays Tech and if the demand is there, then those people want homes, they would have the first right of refusal,” Allen said.
Board member Ruth Ruder said the land was appraised at $630,000, yet all the bids came in around $200,000 to $250,000.
“It just doesn’t pencil out,” Allen said.
Allen explained it costs the same to build on this property as it would across town, so it comes down to the upfront expenses before you start construction.
Allen said the appraisal is likely based on the potential for commercial development.
Executive Director of Grow Hays Doug Williams agreed.
“In my 50 years in the real estate business, I’ve seen a lot of appraisals, and it kind of depends on the use,” Williams said.
He said commercial land will always sell for more than residential-use land.
“I’ve looked at this parcel, and I’ve had a hard time thinking of what commercial use could possibly go on there,” Williams said.
No action was taken, but the board will continue the discussion at the next meeting.
Other items from the meeting included:
- Approval of administrator/director contract language.
- Approval of a change order for $29,417 from iSi for additional asbestos removal found during the demolition phase at Felten Elementary.
- Approval of the replacement of students’ and staff iPads for Hays Middle School for $347,160 from Apple.
- Approval of HMS summer renovations for flooring from Vitztum Commercial Flooring Inc. for $184,560.
The next board meeting will be at 6:30 p.m. April 20 at the Rockwell Administration building.
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