Sale Procedures

Acceptance Period

Bids accepted August 15 – September 6, 2019. If the auction is converted from a sealed bid to an outcry/online auction, the outcry/online auction will occur/end on September 19, 2019.

Qualifications

18 years of age by bid submission; Corporate entities must be registered to do business in Alaska and in good standing.

Sealed Bid/Convertible to Outcry

The parcel will be sold and tentatively awarded to the highest qualified bidder after submission of sealed bids to the TLO. The minimum bid for the parcel is $3,634,000 (FMV based on recent appraisal). Each bid shall include a Bid Deposit in the form of a cashier’s check made out to the Trust Land Office for at least $100,000. A bid response form must also be included with the bid.

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., August 15, 2019 through 4:00 p.m. September 6, 2019. Bids received after the designated closing date and time will not be accepted and will be returned. Improperly submitted bids may be rejected. If the bidder does not meet the criteria for a qualified bidder, the bid will be rejected.  

Each bid must include the following:

1. A completed Trust Land Office Bid Response Form which must contain original bidder’s signature(s); and
2. A Bid Deposit in the form of a cashier’s check payable to the Trust Land Office for $100,000.

Each bid packet must be in a sealed envelope inside an outer mailing envelope.  The internal sealed bid envelope must be marked with the following: 

TLO Subport Land Sale
Bidder (s) Name_______________________
Email Address________________________

Phone Number_______________________

Address and mail the outer mailing envelope to:

Trust Land Office
2600 Cordova Street, Suite 100
Anchorage, AK  99503

All bid envelopes will be date and time stamped upon receipt. The TLO is not responsible for opening improperly marked bid envelopes.

Acceptable "Original bidder's signature(s)" that must be contained on the Bid Response form within the sealed envelope include the following:

1. 1.  Wet ink signature.
   2.  Scanned or digitized copy of a wet ink signature.
   3.  Valid Power of Attorney's signature for the actual bidder.

Successful bids are not transferable to another party without the express written consent of the TLO and are subject to a $500 assignment fee. Sealed bids and all bid information will be confidential and stored in a locked safe until the bid opening. If the bidder would like 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. All withdrawals shall be subject to a $1000 fee.  A bid may be withdrawn until 4 p.m., on the last day bids are accepted, September 6, 2019.

Bid Opening/Apparent High Bidder Notification Procedures

1. The bid opening for the TLO Subport Land Sale will begin at 10:00 a.m., September 9, 2018 at 2600 Cordova Street, Suite 100, Anchorage, Alaska. Attendance at the opening is not required, but the public may attend. Doors open at 9:45 a.m.  Those unable to attend in-person may call in to the bid opening conference line : 800-315-6338 with Access Code: 85611#.
2. A qualified bidder who submitted a properly completed Bid Response Form with sufficient payment having the highest bid amount will be named the Apparent High Bidder. 
3. If there are bids for the parcel that are within 5% of the Apparent High Bidder’s bid, Alternate Sale Procedures will take place and the Apparent High Bidder will be established by the same.
4. If no Alternate Sale Procedures are to take place the Apparent High Bidder will be posted on the TLO website. Apparent High Bidder will be notified by certified mail and/or email.
5. If an Apparent High Bidder declines to purchase the parcel or otherwise fails to comply with the Sale Requirements necessary to complete the sale before the deadline, the bidder forfeits the Bid Deposit and any rights to the parcel. The second highest bidder will then be given the opportunity to purchase the parcel.
6. 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.
7. 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.

Alternate Sale Procedures

In the event one or more bids is submitted within 5% of the Apparent High Bidder’s bid, Alternate Sale Procedures will take place.  Alternate Sale Procedures will be via outcry/online auction (TBD) to close on September 19, 2019. Bidding at the outcry/online auction will start at the highest bid received via sealed bid submittals.  Information regarding auction procedures will be provided prior to auction, if outcry/online auction is necessary. The highest bidding participant in the online/outcry auction will be named the Apparent High Bidder and conveyance of the parcel is subject to the Sale Requirements.  Only those who have submitted sealed bids in the initial offering may participate in the online/outcry auction. 

Sale Requirements and Conditions of Purchase

Within fifteen (15) business days of the conclusion of the Sealed Bid or Outrcry/Online Auction, Apparent High Bidder must increase deposit to 10% of the purchase price ($100,000 already submitted plus balance for a sum of 10% of purchase price) and complete a purchase and sale agreement.

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 may acquire title insurance at their expense, but TLO will have no obligation to cure any title defects.  The Trust has no further liability to the purchaser for the termination of the contract.

TLO will provide property information but disclaims and warranty or representation as to the accuracy or completeness of the information.  

Parcel is 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.”

Once Purchaser has submitted deposit and purchase and sale agreement, the terms of the purchase and sale agreement shall govern, including any inconsistencies between the purchase agreement and the instructions and information found in this document.