Land Sale Procedures
1. Sale Schedule
Trust Land Office 2017 Spring Land Sale Bid Acceptance Period:
8:00 a.m., December 12, 2016 through 4:00 p.m., March 31, 2017
Trust Land Office 2017 Spring Land Sale Bid Opening:
10:00 a.m., April 4, 2017 at the Trust Land Office located at 2600 Cordova Street, Suite 100 in Anchorage, Alaska.
Trust Land Office 2017 Spring Land Sale Award Notifications will be mailed to the Apparent High Bidder within one week of the Bid Opening. It is not necessary to attend the bid opening for your bid to be considered.
2. Sealed Bid Procedures
The parcels will be sold and tentatively awarded to the highest qualified bidder (described below) after submission of sealed bids to the TLO. The minimum bid for each parcel is shown in the parcel description portion of this website. Each bid shall include a cashier’s check, money order, or completed TLO credit card voucher form made out to the Trust Land Office for at least five percent (5%) of the bid amount.
A qualified bidder must: be at least 18 years of age on or before the date of the auction; not have defaulted on a Trust land sale contract in the past three years; and be current on payments on any current Trust land sale contract. Two or more individuals may jointly submit a single bid; however, each bidder must be qualified. Successful bidders’ names will carry forward to the Contract for the Sale of Real Property (Contract) or Quitclaim Deed. No names will be added or removed before the Contract is executed. Upon approval by the TLO, additional names may be added through an Assignment and a $300.00 transaction fee.
A bidder does not have to be an Alaska resident or Alaskan corporation to bid on Trust land. Bidders may bid on and acquire more than one parcel. Corporations may purchase Trust land, but proof of corporate status and signatory authority by the person submitting the bid must be provided with subsequent documents.
You may not attempt to influence bidding by others, conspire with other bidders to reduce the price of a parcel, or otherwise act to defeat an open, fair-market bidding process. Bidders found colluding to reduce the purchase price will forfeit their bid deposits and be prosecuted to the full extent of the law under AS 38.05.950.
An employee or contractor of a State agency or other instrumentality of the State of Alaska, who gains knowledge of the disposal area at State expense, or is in a position to obtain inside information about the disposal process may not submit a sealed bid for an auction within the final 15 days of the bid acceptance period (11 AAC 67.005(c)).
The TLO does not offer a veteran’s discount for Trust land sales (AS 38.05.940) per regulations adopted under 11 AAC 99.040(c). Offering discounted land sales is inconsistent with the principle requiring Trust land to be managed for maximization of long-term revenue to the Trust. Provisions of law applicable to other State land that appear to be in conflict with the management of Trust land under Trust principles as described in the Alaska Mental Health Enabling Act (P.L. 84-830, 670 Stat. 709 (1956)) are inconsistent with Trust land sales and do not apply.
Sealed bids will be accepted by the Trust Land Office, located at 2600 Cordova Street, Suite 100, Anchorage, Alaska 99503, between 8:00 a.m., December 12, 2016 through 4:00 p.m., March 31, 2017. Bids received after the designated closing date and time will not be accepted and will be returned. Improperly submitted bids will be rejected. The Executive Director of the TLO may accept or reject any bid during the bid acceptance period.
Please make cashier’s checks and money orders payable to: Trust Land Office. No personal or two-party checks will be accepted. Do not send cash. Credit card payment information may be submitted on the credit card voucher form and will be processed on or after the bid opening date; the charge will display as ST OF AK DNR INTERNET on financial statements.
Each bid must include the following:
- A completed Trust Land Office 2017 Spring Land Sale Bid Response Form (copies of the form are acceptable) which must contain original bidder’s signature(s); and
- A bid deposit in the form of a cashier’s check, money order, or the TLO credit card voucher sufficient to cover the bid deposit.
Each bid packet must be submitted in a sealed envelope inside an outer envelope addressed to: Trust Land Office, 2600 Cordova Street, Suite 100, Anchorage, AK 99503.
The inner sealed envelope shall be clearly marked with the following information:
TLO 2017 Spring Land Sale
Address and mail the outer envelope to:
Trust Land Office
2600 Cordova Street, Suite 100
Anchorage, AK 99503
More than one bid can be submitted within the mailing envelope.
Note: All bid envelopes will be date and time stamped upon receipt. The TLO is not responsible for opening improperly marked bid envelopes.
Successful bids are not transferable to another party without the express written consent of the TLO and an assignment fee. Sealed bids and all bid information will be confidential and stored in a locked safe until the bid opening. A bidder may withdraw a bid before the bid opening date. To withdraw a bid, the bidder must do so in person or through an agent with properly executed power of attorney; in either case identification must be presented. A bid may be withdrawn until 8:30 a.m. on the bid opening date, April 4, 2017.
Please note: If you are the apparent high bidder but decline to purchase the parcel, you will forfeit the bid deposit.
Bid Opening/Apparent High Bidder Notification Procedures
- The bid opening for the TLO 2017 Spring Land Sale will begin at 10:00 a.m., April 4, 2017 in the TLO Conference Room, 2600 Cordova Street, Suite 100, Anchorage, Alaska. Attendance at the opening is not required, but the public is welcome to attend. Doors open at 9:45 a.m.
- Bids will be opened in an order determined by the number of bids received. The Parcel receiving the most bids will be opened first. Where an equal number of bids are received for more than one parcel, bids for the parcel with the lowest parcel number will be opened first.
- The eligible bidder who submitted a properly completed Bid Response Form with sufficient payment having the highest bid amount will be named the Apparent High Bidder. If the bid envelope and Bid Response Form list different parcel numbers, the Bid Response Form will take precedence.
- If there are two or more identical high bids for a parcel, the apparent high bidder will be determined by the earliest day received demonstrated by the TLO date stamp (not the postmark) on the sealed-bid envelope. If the receipt date is also identical, then the apparent high bidder will be determined by lottery.
- Following the auction, a list of Apparent High Bidders will be posted on the TLO website. Apparent High Bidders will also be notified by certified mail.
- If an Apparent High Bidder declines to purchase the parcel or otherwise fails to comply with the requirements under Section 4. Responding to the Intent to Award Notification before the deadline, the bidder forfeits the bid deposit and any rights to the parcel and will be requested to complete a Bid Relinquishment Form to release their obligations. The second highest bidder will then be given the opportunity to purchase the parcel.
- Unsuccessful bidders’ deposits will be returned by certified mail. No interest will be paid on the bid deposit while it is in the possession of the TLO.
- Bidders are responsible for keeping the TLO informed of their current address. The bid is subject to rejection if the TLO is unable to contact the bidder listed on the Bid Response Form.
3. Alternate Sale Procedures
No parcels offered in the 2017 Spring Land Sale are included in the Alternate Sale Procedures.
4. Responding to the Intent to Award Notification
Approximately one week after the bid opening, Apparent High Bidders will be notified of the award by certified mail. The notification will include an Intent to Award letter and a Declaration of Intent Form for the purchaser to complete. The TLO must receive a response with the completed Declaration of Intent Form and payment within 30 days of the mailing of the Intent to Award notification including one of the following.
For TLO Financing:
- $500 processing fee;
- additional payment to bring the total down payment to 10% of the purchase price; and
- completed Declaration of Intent Form.
After these items are received by the TLO, a Contract will be issued to the purchaser.
- $500 processing fee;
- payoff amount; and
- completed Declaration of Intent Form.
After these items are received by the TLO, a Quitclaim Deed will be issued to the purchaser.
Personal checks or credit cards may be used for the payments submitted with the Declaration of Intent. If a personal check is returned for non-sufficient funds, the purchaser will forfeit the original bid deposit and lose the opportunity to purchase the parcel. The TLO’s policy is to issue a Contract or Quitclaim Deed after the payment has cleared. If a cashier’s check, money order, or credit card is used, processing will be initiated sooner.
5. Purchase Information
Purchasers may elect to either make a lump sum payment for payoff or eligible purchasers can use TLO financing. All purchasers, whether financing through the TLO or payoff will pay a processing fee of $500 at the time of the Declaration of Intent is submitted.
Purchase by Contract
The Purchaser may elect to have monthly, quarterly, or annual payments. The first payment under a monthly payment schedule will be due within 30 days of the effective date of the Contract. The first payment under a quarterly payment schedule will be due three months after the effective date of the Contract. The first payment under an annual contract will be due 12 months after the effective date of the Contract. View a sample of the TLO’s Contract for the Sale of Real-Property.
Principal and interest payments will be set on a level-payment basis over a period of not more than 20 years according to the following financed principal amounts:
- $2,000 to $9,999.99, not more than 5 years;
- $10,000 to $14,999.99, not more than 10 years;
- $15,000 to $19,999.99, not more than 15 years; or
- $20,000 or more, not more than 20 years.
Every Contract requires a payment of at least $100 of principal each year. Interest charged on the unpaid balance is fixed throughout the term of the Contract and will be calculated based on the prime rate as reported in the Wall Street Journal on the first business day of the month in which the Contract is sent to the Purchaser, plus three percent (3%). Interest begins to accrue on the effective date shown on the face of the signed Contract.
Payments must be made by the due date. There is no prepayment penalty, but payments made more than 30 days in advance of the due date are considered to be additional payments, and the regular payment will still be required unless the TLO is specifically notified in writing. Late charges are described in the Contract. There is no fee for early payoff of the Contract. Payments are due whether or not the buyer receives a Courtesy Billing Notice from the Department of Natural Resources.
The TLO reserves the right to direct payments to a bank of its choice in the future. Purchasers using TLO financing will be responsible for paying any potential bank service fees in the future.
The TLO will not subordinate its interest to lenders providing construction loans; therefore, the Purchaser must either payoff the TLO prior to obtaining further loans or ensure the TLO is always in first position, ahead of all other loans.
Persons Ineligible for TLO Financing
In some cases the TLO will not offer financing to a purchaser. The circumstances under which a purchaser is ineligible to finance through the TLO are as follows:
- A Contract or lease was administratively foreclosed for cause within the past three years; or
- A Contract or lease is currently in default, in which case the purchaser is ineligible until the amount in default is paid in full.
The TLO has the right to review situations on a case-by-case basis and waive the above requirements.
6. Conditions of Purchase
Quitclaim / AS-IS, WHERE-IS Purchase
Alaska Mental Health Trust Land was conveyed from the State of Alaska to the Alaska Mental Health Trust Authority by Quitclaim Deed. The TLO does not warrant title. In addition, the Alaska Mental Health Trust reserves the mineral estate to the Trust. Purchasers are welcome to acquire title insurance at their expense. If for any reason the underlying title is not valid, all money paid to purchase the land will be refunded. The Trust has no further liability to the Purchaser for the termination of the Contract.
These parcels are of varying quality. It is strongly suggested that prior to bidding all prospective purchasers personally examine the parcels in which they are interested to determine if the land will meet their needs and desires. The Trust does not guarantee the condition or usefulness of the land offered.
Parcels are sold “AS-IS WHERE-IS” via Quitclaim Deed with all faults, and in the condition as of the date of the sale with no guarantees, expressed or implied, as to suitability or fitness for any intended use, availability of water, or for any other reason whatsoever. All purchasers have the responsibility to inspect the parcels and become thoroughly acquainted with the parcel’s condition. The purchaser’s submission of the bid constitutes acceptance of the parcel “AS-IS WHERE-IS.”
The purchaser is responsible for correctly locating the parcel. The TLO suggests that purchasers contract with a registered surveyor to locate the exact property boundaries. Inaccurate location of parcel boundaries by the purchaser is not justification for alteration of the parcel boundaries, does not vest any preference right to the land improperly entered, and may result in prosecution for trespass.
All maps shown in the TLO 2017 Spring Land Sale website and advertisements are intended to provide a graphic illustration of the parcels and should only be used for general location purposes.
The TLO makes no representations or warranty that it will construct or maintain access to any parcel. Some parcels being offered are not road accessible, however, legal access exists along a surveyed section line or a platted right-of-way. The Trust has no legal obligation to build roads to any parcel.
The location of legal access to a specific subdivision may be obtained from the Trust Land Office or the Department of Natural Resources (DNR) Public Information Centers. Please be advised that legal access to a parcel does not necessarily constitute practical, developable, or existing (constructed) access. Rights-of-way shown on subdivision maps designate areas reserved for road construction and access but do not necessarily indicate the existence of a constructed road.
It is the responsibility of the purchaser to review recorded plats/maps and surveys. Inquire at the Trust Land Office or one of the DNR Public Information Centers or appropriate borough land offices to see if there is legal access or a reserved right-of-way to a parcel.
All parcels offered in the TLO 2017 Spring Land Sale are subject to all platted and valid existing easements and reservations. The subdivision plats or surveys for the parcels may impose restrictions not listed on this website. Parcels are subject to rights-of-way, easements, setbacks, roads, trails, plat notes, and other restrictions. It is the Bidder’s responsibility to fully review the recorded subdivision plat or survey available at any of the DNR Public Information Centers listed in Section 10 and on the DNR website. Subdivision plats or surveys may be obtained from the DNR Public Information Centers; charges may apply. As noted above, the Trust reserves the mineral estate.
The TLO may identify some of the types of encumbrances that may be recorded on the survey plat or reserved by the United States, State of Alaska, or TLO in the parcel descriptions. It is the responsibility of the Bidder to review recorded plats/maps, surveys, and plat notes for specific information on easements, building setbacks, or other restrictions that may affect any parcel prior to submitting a bid.
Surface and Subsurface Resources
Except to the extent reasonably necessary to construct buildings and improvements on the parcel (or without prior written consent by the TLO), purchasers are not permitted to remove or sell from the parcel any surface resource such as timber, stone, gravel, sand, top soil, or any other material valuable for commercial or off-site purposes until a Quitclaim Deed is conveyed to the purchaser. As stated previously, the Trust reserves the mineral estate to all parcels. The commercial sale of timber in violation of this restriction is strictly prohibited and will be prosecuted to the full extent of the law.
Some Trust parcels may contain wetlands. Purchasers are responsible for obtaining any necessary permits from the U.S. Army Corps of Engineers prior to construction activities in wetlands.
It is the responsibility of the purchaser to properly locate improvements within the parcel. No improvements may be constructed within platted easements or rights of ways. It is the purchaser’s responsibility to obtain all necessary authorizations from federal, state, or local agencies prior to constructing any improvements.
Properties offered by the Trust are subject to taxes and assessments levied by local taxing authorities. After a Contract or Quitclaim Deed has been executed, the purchaser is liable for all taxes and assessments.
Sewer and Water
No individual water supply system or sewage disposal system shall be permitted on any lot unless such system is located, constructed, and equipped in accordance with the requirements of the Alaska Department of Environmental Conservation (ADEC). The parcels included in this offering may have some restrictions on the types of sewage disposal systems allowed. For more information regarding a particular parcel, please refer to the subdivision and or survey plat and contact the appropriate office of ADEC.
Eagle Nesting Sites
Federal law prohibits any disturbance of bald eagles or their nests and the U.S. Fish and Wildlife Service (USFWS) enforces this law. The USFWS has rules and regulations for construction and building activities near nesting sites. If there is an eagle nest on or near the parcel, please consult the USFWS concerning eagle nesting sites: https://www.fws.gov/alaska/eaglepermit/bg_eagle_protection_act.htm. Please direct all eagle or eagle nest inquires to the USFWS at (907) 786-3375.
7. Appeal Process
If a bidder believes there have been any irregularities in the bidding process, or wishes to appeal a TLO decision regarding the bid process or an award, the bidder may file an appeal. The written appeal must be received by the TLO within 20 days of the decision or action. The appeal must specify the reason for the appeal and why an alternate decision or action is consistent with Trust Land Management Regulations (11 AAC 99).
8. Errata Information
The TLO reserves the right to modify information posted on this website at any time without prior notice. Bidders shall be bound by the most current land sale terms and conditions at the time an offer is received. The policies, procedures, terms, and conditions posted on this website are intended for information purposes only and do not constitute an offer to sell. It is possible that this website may be modified after initial posting. It is the Bidder’s responsibility to check with the TLO for any changes or corrections prior to mailing and submitting a bid. Click here to view the Corrections/Update Page.
9. TLO’s Right to Withdraw Parcels or Cancel Sale
To protect the interest of the Trust, the TLO reserves the right to postpone or cancel any land offering. Individual parcels may be withdrawn from the sale process at any time prior to the TLO signing the final conveyance document. In the event that the TLO cancels a land offering, all fees and deposits paid to the TLO will be reimbursed to the bidder within 30 days.
Alaska Mental Health Trust Land Office
2600 Cordova Street, Suite 100
Anchorage, AK 99503
Phone: (907) 269-8658
Fax: (907) 269-8905
Alaska Department of Natural Resources:
Public Information Center
550 West 7th Avenue, Suite 1260
Anchorage, AK 99501
Phone: (907) 269-8400
Public Information Center
3700 Airport Way
Fairbanks, AK 99709
Phone: (907) 451-2705
Public Information Center
400 Willoughby Avenue, 4th Floor
Juneau, AK 99801
Phone: (907) 465-3400
Click on a link below to open the form.