05/06/2021 EDAC Packet - Laserfiche WebLink

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ECONOMIC DEVELOPMENT ADVISORY COMMITTEE AGENDA ITEM 3B STAFF ORIGINATOR: Michael Grochala MEETING DATE: May 6, 2021 TOPIC: Sale of Lots 12-13, Block 2, Carole’s Estates 2nd Addition BACKGROUND City staff has continued to negotiate the sale of 2.01 acres of property (12-16, Block 2, Carole’s Estates), with Vaquero Ventures Management. There have been three major sticking points related to the discussions: 1. Restrictive Covenants. We have required as a condition of sale that the property cannot be used for automobile or truck repair or as a motor fuel facility. We are receptive to a retail store selling automotive parts may provide services ancillary to operation such as battery replacement. 2. Reconveyance. Our main goal in selling the property is to further economic development efforts to generate additional tax base for the community. We do not want to sell the property and have it held for investment or other purposes. We have included a clause that allows the City to reacquire the property if no permit is issued or if no construction begins within two years of closing. The acquisition price is the same as the sale price. 3. Road Relocation. Buyer has requested completion of the road realignment of 77th prior to closing. The City will not agree to that provision. As an alternative, both buyer and seller have agreed to negotiate a Road Relocation Escrow Agreement (RREA). The agreement will identify the scope of work to be undertaken, a schedule for improvements, cost allocation and any necessary conveyances, land use approvals and vacation proceedings. The agreement must be completed within 120 days of execution of the purchase agreement or either party may terminate the agreement. RECOMMENDATION Staff is requesting EDAC input on the proposed conditions of sale. ATTACHMENTS 1. General Location Map 2. Street Realignment and Concept Exhibit