Plans for a new retail, residential and office district near the Kansas River in North Lawrence are scheduled to take another step forward tonight.

City commissioners will formally consider a contract that would sell unused city property to a development group that has proposed building the project.

Developers have proposed turning the area near Johnny’s Tavern, 401 N. Second St., into a mixed-use district. But the first step is acquiring property from the city and a drainage district that own property near the levee.

The property is vacant ground that abuts the levee. The contract proposes selling the property for $1.75 per square foot. The city and the drainage district own about 4 acres in total. The sale would be contingent upon the project receiving the necessary approvals from the U.S. Army Corps of Engineers, which is responsible for ensuring the levee is protected.

Commissioners meet at 6:35 p.m. today at City Hall, Sixth and Massachusetts streets.