2006 New Mexico Statutes - Section 3-46-34 — Disposal of property in urban renewal and land development areas.

3-46-34. Disposal of property in urban renewal and land development areas.

A.     A municipality may sell, lease or otherwise transfer real property or any interest therein acquired by it, and may enter into contracts with respect thereto, in an urban renewal or land development area for residential, commercial, industrial or other uses or for public use, or may retain such property or interest for public use, in accordance with the urban renewal or land development plan, subject to any covenants, conditions and restrictions, including covenants running with the land, and including the incorporation by reference therein of the provisions of an urban renewal plan or land development plan or any part thereof, as it may deem to be in the public interest or necessary to carry out the purposes of the Urban Renewal Law [ 3-46-1 to 3-46-45 NMSA 1978]; provided, that the sale, lease, other transfer or retention, and any agreement relating thereto, may be made only after the approval of the urban renewal or land development plan by the local governing body. The purchasers or lessees and their successors and assigns shall be obligated to devote the real property only to the uses specified in the urban renewal or land development plan and may be obligated to comply with other requirements which the municipality may determine to be in the public interest, including the obligation to begin within a reasonable time any improvements on real property required by the urban renewal or land development plan. The real property or interest shall be sold, leased, otherwise transferred, or retained at not less than its fair value for uses in accordance with the urban renewal or land development plan. In determining the fair value of real property for uses in accordance with the urban renewal or land development plan, a municipality shall take into account and give consideration to the uses provided in the plan; the restrictions upon, and the covenants, conditions and obligations assumed by the purchaser or lessee or by the municipality retaining the property; and the objectives of the plan for the prevention of and the recurrence of slum or blighted areas. The municipality in any instrument of conveyance to a private purchaser or lessee may provide that the purchaser or lessee shall be without power to sell, lease or otherwise transfer the real property without the prior written consent of the municipality and until he has completed the construction of any and all improvements which he has obligated himself to construct thereon. Real property acquired by a municipality which, in accordance with the provisions of the plan, is to be transferred, shall be transferred as rapidly as feasible in the public interest consistent with the carrying out of the provisions of the plan. The inclusion in any contract or conveyance to a purchaser or lessee of covenants, restrictions or conditions, including the incorporation by reference therein of the provisions of an urban renewal or land development plan or any part thereof, shall not prevent the filing of the contract or conveyance in the land records of the county in a manner as to afford actual or constructive notice thereof.   

B.     A municipality may dispose of real property in an urban renewal or land development area to private persons only under reasonable competitive bidding procedures as it shall prescribe or as hereinafter provided in this subsection. A municipality shall by public notice by publication once each week for two consecutive weeks in a newspaper having a general circulation in the community, prior to the execution of any contract to sell, lease, or otherwise transfer real property and prior to the delivery of any instrument of conveyance with respect thereto under the provisions of this section, invite proposals from and make available all pertinent information to private developers or any persons interested in undertaking to develop, redevelop, or rehabilitate an urban renewal or land development area, or any part thereof. The notice shall identify the area, and shall state that further information as is available may be obtained at the office designated in the notice. The municipality shall consider all development, redevelopment, or rehabilitation proposals and the financial and legal ability of the persons making such proposals to carry them out, and may negotiate with any persons for proposals for the purchase, lease or other transfer of any real property acquired by the municipality in the urban renewal or land development area. The municipality may accept any proposal it deems to be in the public interest and in furtherance of the purposes of the Urban Renewal Law; provided, that a notification of intention to accept the proposal shall be filed with the governing body not less than thirty days prior to any acceptance. Thereafter, the municipality may execute a contract in accordance with the provisions of Subsection A, and deliver deeds, leases and other instruments and take all steps necessary to effectuate the contract; provided that if the municipality accepts other than the highest bid, the acceptance must be approved by the state board of finance before the municipality may proceed.   

C.     If a municipality follows the procedure set out in Subsection B of this section and determines that the bids or proposals received are not in the public interest or that they are not in furtherance of the urban renewal or land development plan, or if there are no bids, then a municipality may dispose of real property in an urban renewal area to private persons under reasonable negotiating procedure as may be prescribed by the local governing body. The municipality shall consider all development, redevelopment or rehabilitation proposals and the financial and legal ability of the persons making such proposals to carry them out, and may negotiate with any persons for proposals for the purchase, lease or other transfer of any real property acquired by the municipality in the urban renewal or land development area. The municipality may accept any proposal it deems to be in the public interest and in furtherance of the purposes of the Urban Renewal Law; provided, that a notification of intention to accept the proposal shall be filed with the governing body for its approval not less than thirty days prior to any acceptance. Thereafter, the municipality may execute a contract in accordance with the provisions of Subsection A, and deliver deeds, leases and other instruments and take all steps necessary to effectuate the contract.   

D.     A municipality may temporarily operate and maintain real property acquired in an urban renewal or land development area pending the disposition of the property for development or redevelopment without regard to the provisions of Subsection A above, for any uses and purposes deemed desirable even though not in conformity with the urban renewal or land development plan.