"This is really an important step in going from vacant to vibrant" is how Mandan business development director Ellen Huber described the city commission's acceptance of 11 letters of interest for downtown lots.

The commission also heard an offer and proposed a counter offer made for the property on which the John Iverson building stands and the 50,000 square-foot adjacent east of the building at Tuesday's meeting.

The city requested letters of interest on five properties it has acquired through the diesel fuel contamination remediation process including: Furniture First lot, Engelter/Berger lot, Hedahl's lot, theater building and parcel east of Papa Murphy's. The letter were due March 9, but the commission allowed for four that turned up after the deadline.

Those showing interest included:Dakota Commercial & Development Co., of Grand Forks; The Cornerstone Group, Edina, MN; JAJ Ventures, Bismarck; Mountain Plains Equity Group, Billings, Mont.; Schlosser Home Contracting, Mandan; Steve Seehaver, Mandan; Sterling Companies, Fargo; Premier Real Estate Group, LLC, Mankato, Minn.; Mike Bullinger (Cityscapes Development, LLC) Fargo; Trixsounds, Bismarck; and McFall Publishing, Inc., Bismarck.

Most of the letters showed interest in assessing the potential development of all of the properties, though Seehaver, McFall and Trixsounds are interested in the theater building; Scholsser in Hedahl's; and JAJ in Furniture First.

The companies are now being asked to develop detailed plans for the properties to include purchase price. These plans are due by June 8, at which time they will be turned over to a committee for review with recommendations to be made to the city commission.

Developer Al Leingang is offering the city $33,826 for the approximate 17,000 square feet the John Iverson building sets on and $101,552 for the 50,000 square foot lot adjacent east of the building. Leingang is in the process of purchasing the building though no details were provided.

While this is less than what the city received for the site of the former elevator, city administrator Jim Neubauer said that the property the Iverson building is on is contaminated and it has a basement for which the property owner will be responsible.

While the commission, particularly Mayor Ken LaMont, was elated over the offer, there was concern over the purchase agreement that could leave the property tied up for two years without improvements.

Commissioner Tim Helbling made a motion to accept the offer contingent on Leingang entering into a lease with the city and have payments, to be determined by Neubauer and city attorney Malcolm Brown, which will go towards the purchase price. LaMont argued against the motion, saying he believed the commission should approve the offer as presented, but the motion was approved on a 4-1 vote.

(Reach reporter Gordon Weixel at 250-8255 or gordon.weixel@;bismarcktribune.com.)