Agenda Packets - 1988/10/03 - Laserfiche WebLink

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3t, 04 MEMO TO: MAYOR AND CITY COU FROM: CLERK -ADMINISTRATOR DATE: SEPTEMBER 20, 1988 SUBJECT: PROPERTY ACQUISITION NEGOTIATIONS FOR 8100 GROVELAND ROAD Staff has met with Mr. Julian Johnson and his attorney, Mr. Mike Hurley, regarding the City's proposed acquisition of 81CO Groveland Road. Our negotiations have comprised only one meeting which was extremely brief due to the some- what adamant position taken by Mr. Johnson and his attorney regarding this acquisition. Mr. Johnson has indicated that he will not willingly sell to the City of Mounds View the entire parcel known as 8100 Groveland Road but would sell the 77.5 foot strip of land running west from Sherwood Road for a distance of approxi- mately 448 feet. This is the parcel that the City needs at a mininum in order to accomplish an extension of Knollwood connecting onto Groveland Road on the southeast corner of the site. Mr. Johnson also stated that he would accept nothing less than $45,000 for this property based upon his analysis that he will loose a minimum of two lots which he ( LL, has valued at $25,000 to $35,000 each and hiri current values of lots being sold in the City of Mounds View. As you might recall, our appraisor indicated a value of $38,000 for the parcel Mr. Johnsor, is willing to sell to the City at this time, an amount $7,000 less than Mr. Johnson's asking price. Mr. Johnson and his attorney further agreed that should the City acquire the property at ':is price, Chey would provide a marketable title which would require a survey an updating of the Certificate of Title as this is Torrens property as well as a Warranty Deed. I consulted with City Attorney Meyers regarding the cost of performing a survey and legal work and he advised me that it would be no where near the $7,000 difference but would provide a value to the City of approximately $1,000. I also consulted with City Engineer Ric Minetor regarding the exact location of the right-of-way necessary for the road Extension. Mr. Minetor advised me that the City would need the north 60 feet of the 77.5 foot strip of land in order to construct the road extension and maintain alignment with Sherwood Road as it intersects with Groveland Road. Therefore, the City would have a 17.5 foot strip on the south side of the site which we could sell to the property owner on that side providing him with lots having a greater width, therefore, marketable value. I do not anticipate that this 17.5 foot strip could be sold to the property owner to the south for more than a few thousand dollars.