What would you do? Unusual Situation

[Greg P.]

Hello all. I'm in contract to purchase a house right across from a large retail center with a home depot, target etc. Come to find out, they are planning on buying the houses including the one I have under contract for a new development (on the whole street). Sounds like the city is going to pay appraised value whatever that means to the home owners and if some of the home owners don't want to do it then the city may force them to sell. The house I'm buying is $90k purchase, 40k rehab and ARV is $180k. Would you buy something like this in hopes of having the city pay a premium and should I fix it up or wait? Or just pass on it? They will be making offers within 3 months. Never dealt with something like this. Any advice would be appreciated. Thank you.