DEADLINE: 8TH JANUARY, 2021
THE KADUNA SOUTH LOCAL GOVERNMENT COUNCIL, KADUNA STATE
INVITATION TO BID AND APPROVED GUIDELINES FOR THE PUBLIC AUCTION OF KADUNA SOUTH LOCAL GOVERNMENT COUNCIL NON – ESSENTIAL RESIDENTIAL QUARTERS TO PUBLIC SERVANTS AND THE GENERAL PUBLIC
In pursuance of the housing policy of the Kaduna State Government, the Kaduna South Local Government Council has granted approval for the sale of Its non-essential residential houses.
All interested purchasers are advised to contact their Bankers and /or any Private Mortgage Institution for a facility.
To this end, the public Auction of non – essential Kaduna South Local Government Council residential houses will proceed as follows:
(A) Application Process:
(1) The application process starts when the payment terms and submission conditions, as listed below, are complied with;
(i) All public servants occupying the properties must complete Application forms, attached with receipt of proof of payment of N10,000.00 in favour of the Kaduna South Local Government CounciI, along with the following:
(a) Letter of Appointment into Public Office or Certificate of Election
(b) Letter of allocation of quarters by an appropriate Authority (where applicable);
(c) 4no. High resolution colour Passport Photographs.
(ii) All other bidders that are not political office holders must complete Application terms with receipt of proof of payment of N10,000.00 In favour of the Kaduna South Local Government Council, along with the following:
(b) Certificate of Incorporation, Memorandum and Articles of Association for Companies, and
(c) 4no. High resolution colour Passport Photographs.
(2) Dully completed application forms attached with the receipt must be submitted to;
The Ad – Hoc Secretariat of the Committee on the Sale of Kaduna South Local Government Council Non-Essential Residential Houses;
Kaduna South Local Government Council Secretariat, Makera- Kaduna
Tel+2349070584914
Email: kadunasouthlgc@kdsg.gov.ng
(3) The submitted form shall be promptly acknowledged and issued with serial number, and a copy of such acknowledgement returned to the applicant.
(4) Sale of houses is on as – is basis and, as herein advertised, is OPEN TO ALL KADUNA SOUTH LOCAL GOVERNMENT COUNCIL RESIDENTS AND INCORPORATED ASSOCIATIONS. Evidence of payment of application fee of N10,000.00 (Ten Thousand Naira only), payable at any of the licensed banks, must accompany each FREE application form.
(5) Each applicant shall be entitled to purchase only one residential unit
(B) Bidding Process:
(6) The bidding process will be conducted strictly in conformity with the following procedure:
(i) All houses occupied by public servants will be sold in an Open Auction whereby all residents of Kaduna South Local Government Council shall be given equal opportunity. A simple Auction System by way of competitive bidding shall be employed. All bids must be submitted with a bid bond by way of bank draft equal to 10% of bid value. All bids without a bid bond stand disqualified. The highest bidder shall be automatically declared the preferred bidder, along with the second highest bidder as the reserve bidder; with the bid bonds being retained and treated as nonrefundable 10% deposit. All other bid bonds shall be returned (un-cashed) to unsuccessful bidder(s)
(ii) The highest bid price will then be offered to the public servant in occupation to exercise the right of first refusal by effecting payment of 10% non – refundable deposit within fourteen (14 days. If the public servant fails to exercise the right of first refusal, the preferred bidder will be allowed to complete the transaction as envisaged.
(7) Within seven (7) days of the date of this publication, a copy of the previously processed Application Form, with the acknowledgements stamp and serial number clearly visible, is to be used by interested bidders to submit their bids in the public Auction.
(8) The bid (consisting of a duly completed, signed, and processed general application form and 10% bid bond by way of bank draft enclosed in a sealed envelope and submitted to the Ad- hoc Secretariat of the Committee on the sale of Kaduna South Local Government Council Non-essential Residential Houses In Kaduna South Local Government Council, Local Government Secretariat, Makera – Kaduna, Not later than 12:00noon on Friday, 8th January 2021, being the expiration date of the Stipulated seven (7) days from the date of publication. All bids on each housing unit will be opened in public on the same day beginning at 1:00pm, in the Council Chamber, Kaduna South Local Government Council Secretariat, Makera, Kaduna South, Kaduna.
(C) Auction Process
(9) All bids on each housing unit will be opened on the same day beginning at 1:00pm, in the Council Chamber, Kaduna South Local Government Council Secretariat, Makera, Kaduna South, Kaduna.
(10) No housing unit will be sold below the reserved price; being the open Market Value of the property.
(11) The preferred bidder will be determined by a simple evaluation of the highest bid submitted (provided that it is above the reserve price) and the bid bond will immediately become a 10% non – refundable deposit towards the purchase of the property.
(12) The second highest bidder will become the reserve bidder, provided that the submitted bid is above the reserve price.
(13) Public Servants will be given the right to match (within fourteen days) the winning bid on their currently occupied housing units, by effecting a non – refundable deposit equal to 10% of the winning bid value.
(14) Thereafter, a winning bidder will be declared.
(15) Bid bonds of all unsuccessful bids will be returned.
(16) Payment of 25% of purchase price (including 10% non-refundable deposit), must be made to the Kaduna South Local Government Council within 30 days of being declared winner.
(17) Balance of 75% must be paid by all purchasers within on additional 30 days; thus, all purchasers must effect full payment within 60 days of contract
(18) Each purchaser will be given custody of the original C-of-O Issued by the Kaduna State Government with his / her picture or RCN Number scanned thereon, unless paragraph 19 below applies.
(19) Lender(s) will have immediate custody of original C-of-O with Governor’s consent and legaI mortgage executed in their favour by the Kaduna State Government
(20) All transaction charges shall be for the account of the purchaser.
(21) In the event that a purchaser fails to comply with the payment terms, the non-refundable deposit (being 10% of the purchase price) will be forfeited to the Kaduna South Local Government Council, the contract of sale shall be rendered null and void, and the house declared unsold. Any payment in excess of the non-refundable deposit shall be refundable, less any administrative costs.
(22) In the case of houses offered to political office holders in occupation, they will be entitled to make subsequent payment from their Severance gratuity. However, failure to accept offer and/or comply with the payment terms will lead to eventual eviction and the forfeiture of deposit (if applicable).
(23) In the case of unsold houses offered for open auction, and where the highest bidder fails to comply with the terms of sale, bid bond of highest bidder will be forfeited, and the second highest bidder (“reserve bidder”) shall be invited to complete the transaction. The reserve bidder’s deposit shall be refunded with interest at Treasury Bill Rate +1%, if highest bidder completes transaction.
(24) If the reserve bidder fails to comply with the terms of sale, the bid bond shall also be forfeited and paragraph 6(i and ii) above shall apply thereafter.
(25) Subject to the implementation of the subsequent payment terms and conditions as in paragraph 16 -24 above, the winning bidder will take possession of the property Immediately upon completion of pull payment – being 100% of the bid offer amount.
(26) In order to ensure transparency and accountability, at each point the process, the particulars of the Auction, Including the names of the winning, preferred and reserve bidders will be published. Detailed property descriptions and relevant information will also be widely accessible, on the website of the Kaduna South Local Government Council and the Ad – Hoc Secretariat of the Committee on the sale of Kaduna South Local Government Council Residential Houses in Kaduna South Local Government Council Secretariat, Makera, Kaduna.
(27) The Kaduna State Government, at its sole and absolute discretion, reserves the right to withdraw any and all properties hereby advertised.
(28) All applicants at the venue of the bidding process are expected to wear their face marks and observe all necessary COVID-19 protocols.
COMMITTEE ON THE SALE OF LOCAL GOVERNMENT RESIDENTIAL HOUSES IN KADUNA SOUTH LOCAL GOVERNMENT COUNCIL, MAKERA
