The Village of Dexter soon will own a $56,500 house that lets it expand an adjacent redevelopment site.

The property at 8077 Forest St. is next to the former DAPCO property on Broad Street.

Councilman Jim Carson said before the 6-0 vote that since the village could purchase the home and property “really cheap,” it’s possible that the house would be torn down and the property could be turned into a parking lot.

The house and 0.23-acre property will be paid for from the village’s restricted building reserve fund, with a total price of $57,388.50 when the closing costs are included.

Since the 1,286-square-foot house is in the village’s Downtown Development District, the DDA will create a repayment plan to reimburse the village, according to a memo from Village Manager Donna Dettling.

Unclear is the final use for the property.

“What are we going to do with this property, fix it, rent it, tear it down?” asked Councilman Joe Semifero.

Dettling said there’s no firm plan.

The village was made aware of two properties on Forest Street that were listed for sale as “short sales,” by the bank holding the mortgage.

“This acquisition will greatly enhance the redevelopment possibilities in this area,” Dettling’s memo states.

The closing is set for May 24.

A home inspection was performed on May 3 and it was determined that because of structural, plumbing and electrical deficiencies, the home needs about $30,000 in repairs to bring it up to code as a rental property.

Councilwoman Donna Fisher was absent from the meeting.

Lisa Allmendinger is a reporter with AnnArbor.com. She can be reached at lisaallmendinger@annarbor.com. For more Dexter stories, visit our Dexter page.