TITLE
Recommendation to authorize City Manager, or designee, to execute any and all documents necessary, including a Purchase and Sale Agreement (PSA) with Kathy M. Gaylord, as Successor Trustee of the Michael E. Crawley, Sr., and Patricia S. Crawley 1999 Trust (Seller), for the purchase of certain real property located at 1858 Atlantic Avenue (APN 7210-016-009) in the amount of $380,000; accept the Categorical Exemption CE 14-071; and
Increase appropriations in the Refuse Fund (EF 330) in the Public Works Department (PW) by $400,000. (District 6)
DISCUSSION
The City currently owns two parcels located at 1850-1854 Atlantic Avenue, Assessor Parcel Numbers 7210-016-900 & -901 (City Parcels) (Attachment) consisting of a former playground and parking lot previously utilized by the Long Beach Unified School District's Head Start Program. The property adjacent to the City Parcels, 1858 Atlantic Avenue (Subject Property), has recently been placed on the market for sale and presents an opportunity for the City to obtain an already constructed building for assembly with the adjacent City Parcels. The assembled site would total approximately 14,663 square feet. The proposed use of the property is for an educational environmental recycling demonstration depot.
The property owner has agreed to sell the Subject Property to the City for $380,000, which is the fair market value of the property, less immediate maintenance requirements, as determined by an independent appraisal. An additional amount up to $20,000 will be expended for acquisition costs, including appraisal, environmental investigation, and escrow and closing fees.
The acquisition of the subject property has been reviewed under the California Environmental Quality Act. A Categorical Exemption, CE 14-071 has been issued for this action.
This matter was reviewed by Deputy City Attorney Richard F. Anthony on August 25,2014 and by Budget Management Officer Victoria Bell on September 3,2014.
TIMING CONSIDERATIONS
City Council action is requested on September 16, 2014 in order to facilitate the purchase of 1858 Atlantic Avenue.
FISCAL IMPACT
The total cost of the property acquisition is estimated at $400,000, and is not currently budgeted. An appropriation increase of $400,000 in the Refuse Fund (EF 330) in the Public Works Department (PW) is requested as part of the recommended action. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
MICHAEL P. CONWAY
DIRECTOR OF ECONOMIC AND PROPERTY DEVELOPMENT
ARA MALOYAN
DIRECTOR OF PUBLIC WORKS
APPROVED:
PATRICK H. WEST
CITY MANAGER