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Watauga County To Auction Two Properties w/ Combined Tax Value of $1 Million, Acquired From NRSA Fiasco

By Jesse Wood

July 23, 2012. On Tuesday, the Watauga County Commissioners approved a motion to sell two properties, which were recently acquired by the county from the dissolution of the New River Service Authority (NRSA).

In September 2011, the NRSA approved a resolution requesting a Future Advance Deed of Trust from Watauga County, which was secured by two tracts with tax values at $955,400. When NRSA defaulted, unable to repay the loan, the properties were auctioned, and the county was the highest bidder with $454,000.  

With both commercial properties, the land is worth more than the buildings, and the minimum asking price for both properties, which will be sold separately, is $1.05 million combined. 

The property known as Lot 16 of the Hardin Addition to the Town of Boone is located on Oak Street is valued at $371,200 – with the land worth $201,300 and building $169,000. The other property is .596 acres lying on the southwest side of State Farm Road and northwest side of Shadowline Drive. It is valued at $584,200 – with the land worth $386,000 and the building $198,200. (See property descriptions below.)  

Though all the commissioners were in agreement to sell the property, Commissioner Vince Gable thought the asking price in the approved motion to start the bidding at $625,000 for the Shadowline property and $425,000 for the Oak Street property was too high.

Commissioner Nathan Miller said, “[The board] isn’t going to give it away. I wouldn’t sell it for less than tax value.”

Miller initially threw out two higher minimum bids for the property – $750,000 and $500,000 – but eventually seconded Blust’s motion to set the minimum asking price at $625,000 and $425,000.

Gable agreed but didn’t feel the minimum bid should be above tax value.

“We should start at tax value and look for upsets,” Gable said, adding that he didn’t want to scare off bidders and that the main goal of this sale was to recoup the county’s money.

“We want to make sure we get the money we put out and make sure we keep the interest level high. I don’t want to shut people down that are asking $500,000 because we are asking for $750,000.”

The motion passed 2-1 with Commissioner David Blust and Miller approving the motion to start the bidding at $625,000 and $425,000. The lone dissent was Gable. Democratic Commissioners Jim Deal and Tim Futrelle were absent.

The property will be advertised for sale at www.wataugacounty.org, and if the property isn’t sold in a timely fashion, the board will review the matter. 

Property Descriptions from Board Meeting Packet: 

Being all of the 0.596 acre tract of the Mack D. Brown and Fred C. Miller, Jr.
property lying on the Southwest side of the State Farm Road and on the
Northwest side of the Shadowline Road and being more particularly
described as follows: BEGINNING on an iron stake set in the Mack” D. Brown-
Fred C. Miller, Jr. and Shadowline, Inc. line, (said beginning point being
located North 78° 24′ West 44.27 feet from the Northwest corner of an office
building on the property being described; South 17° 07′ West 45.02 feet from
the Southwest corner of a building on the adjoining property of Mack D.
Brown and Fred C. Miller, Jr.; and South 30° 17′ East 79.77 feet from an iron
found, the Mack D. Brown et al corner); thence from the beginning and with
a new line through the Mack D. Brown and Fred C. Miller, Jr. property North
58° 12′ East 33.66 feet to a nail in the edge of a paved parking lot; thence
with the center of a traffic lane in said parking lot and continuing with a new
line through the Mack D. Brown and Fred C. Miller, Jr. property North 58° 12′
East 158.88 feet to a nail in the pavement; thence continuing with said new
line North 58° 12′ East 23.79 feet to an iron stake in the West margin of the
State Farm Road; thence with the margin of said road South 48° 34′ East
97.82 feet to a nail and washer in the edge of the pavement of Shadowline
Drive; thence with the North side of Shadowline Drive South 50° 13′ West
250.00 feet to an iron stake, the corner to the Shadowline, Inc. property;
thence with the Shadowline, Inc. property; thence with the Shadowline, Inc.
line North 30° 27′ West 128.40 feet to the BEGINNING containing 0.596 acre
by D.M.D. as shown on a plat dated March 27,1984 by Walter H. Burkett, RLS
No. L-1209 and being Plat #BS-8566 and entitled “Property of Fred Cecil
Miller and Mack D. Brown to be conveyed to New River Mental Health
Prevention Foundation.