Conveyance of Freehold and Leasehold Interests

The National Park Service (NPS) is revising portions of the regulations for conveyance of freehold and leasehold interests on lands administered by the NPS. The final rule will allow bids for freehold and leasehold interests on lands to be accompanied by earnest money equivalent to 2 percent of the appraised value or $2,500, whichever is greater, with the balance of the bid due within 45 days of the award. The NPS has experienced problems selling parcels of real estate under the current regulations, which require that bids be accompanied by certified checks, post office money orders, bank drafts or cashier's checks for the full amount of the bids. The changes to the regulations address this issue and will correct the problem identified with the previous regulations. With these changes, the NPS will be able to convey freehold and leasehold interests on federally owned lands. This final rule also provides for a time frame for submitting the balance of the bid and describes what occurs if the successful bidder is unable to obtain the necessary financing in the case of a freehold interest. The NPS is revising and amending the current regulations on action at close of bidding, by allowing 45 days from the time of bid award to submit the balance due. Failure to submit the full bid price within 45 days will result in forfeiture of $1,000 of the deposited bid amount and the property will be awarded to the next highest bid.