A portion of what was to be the Northstar Center will land on the auction block Tuesday, May 6.
About 323 acres of the development is to be sold by the Sheriff at 10 a.m. at the courthouse.
The owners of the property had entered an agreement with their lender, Yam Capital, giving them more time to pay back the money owed. That agreement, however, has expired, and Yam Capital has decided to auction the property off.
Anyone purchasing the property will have to give the original owner 60 days to redeem the property before they can get full title to it.
A spokesman for Yam Capital would not say what the minimum bid would be, however, the amount is likely to be substantial.
Court records filed last year indicated that $9.031 million was owed on the development. That amount has been accruing interest at 30 percent since then.
Yam Capital could choose to sell the property for less than is owed on it. They could also sell the property for more. In that case, they would only get what they are owed from the sale. Remaining funds would go back to Citation Northstar.
Northstar Center was proposed to have been a 535-acre mixed-used development on U.S. Highway 2, just across the road from another proposed mixed-use development called Williston Crossings.
Neither project made it off the ground before oil took a nosedive in prices, spooking investors, and putting a number of projects, including those, on hold throughout the Bakken.
City officials at the time had promoted Northstar Center as a gateway to what was at that time America’s fastest-growing micropolitan.
The master plan for the development showed more than 2,000 dwelling units and more than 2.7 million square feet of commercial space. It would have also included extensive green space, including a 47-acre community park that was to be owned and maintained by williston, and 58 acres of passive open space.
The city does not own any of the space, however.
The 323 acres up for sale already has a substantial amount invested in infrastructure, totalling $16 million for roads, curbs, gutter, water and sewer.
The property is also already zoned for mixed multi-use.