Demolition work has begun at 52 condemned units at the Walden Pond mobile home park.
The city took over the project from the mobile home park owners and hired Signature Construction.
Crews recently began working at the site on the corner of Palmetto Road and Oelsner Street, northwest of U.S. 19 and Main Street, said Sherman Applegate, the city's public works director.
City council members last month voted to pay $62,600 to Signature, the same contractor that cleared ramshackle mobile homes at U.S. 19 and Grand Boulevard in Port Richey.
The city waited for an asbestos survey before beginning demolition. Though no asbestos was found, the contractor must abide by regulations to safeguard against the cancer-causing substance.
The city can try to recoup its expenses through a lien on the limited partnership that owns the site, Assistant City Attorney Jim Lang has said. The city can foreclose if the lien is not paid.
Despite the cash-strapped city budget, money for demolition could come from the council's contingency fund, Applegate said.
Paul Beraquit, managing partner among four owners of Walden Pond LLC, pleaded for more time to clear sections of the site. Residents still occupy nearly a dozen units at the park.
"We're going forward," Beraquit told council members in October. "We're trying to do the right thing. We're not turning our backs."