Title
Approval of a Resolution Authorizing the Purchase of Real Estate Owned by Minh Do Thi Smith on 4th Avenue West in Olympia
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Move to approve the resolution authorizing the City Manager to execute all documents necessary to acquire two parcels of real estate from Minh Do Thi Smith, located on 4th Avenue West in Olympia.
Report
Issue:
Whether approve the resolution authorizing the City Manager to execute all documents necessary to acquire two parcels of real estate from Minh Do Thi Smith, located on 4th Avenue West in Olympia for mixed use.
Staff Contact:
Mike Reid, Economic Development Director, 360.480.9167
Annaliese Harksen, Deputy City Attorney, 360.753.8338
Presenter(s):
Mike Reid, Economic Development Director
Background and Analysis:
Minh Do Thi Smith (Seller) owns a total of approximately 0.16 acres of property located at 112 4th Avenue West (Parcel A) and 116 4th Avenue West (Parcel B) in Olympia.
Should the Council approve the purchase of the property currently owned by Ms. Smith, the City would initiate a feasibility study to determine if the site is appropriate for a mixed used development consisting of public and private benefit with uses such as residential, commercial, civic, and public parking.
The purchase price is Nine Hundred Fifty Thousand Dollars ($950,000.00). Two Hundred Fifty Thousand Dollars ($250,000.00) will be paid at closing. The remainder will be paid in three installments, the last of which is due on or before January 31, 2021. Interest will be paid on the declining principal balance at a rate of 3.375%.
Staff has concluded negotiations with the seller, and has prepared the Real Estate Purchase and Sale Agreement attached to this staff report.
The Comprehensive Plan and Downtown Strategy call for greater density in downtown. This acquisition is directly related to advancing that objective, as it would explore development on a surface parking lot.
The overall site is a cornerstone location as identified in the City’s Downtown Strategy for the redevelopment of surface parking to higher uses that can catalyze and add to the vibrancy of downtown.
In addition to replacing City surface parking lots, the site provides an opportunity to engage private sector partners in the area to explore possible redevelopment options.
The City’s intent is to honor and acknowledge the long-time Ben Moore’s establishment as part of the redevelopment
Neighborhood/Community Interests (if known):
The Comprehensive Plan and Downtown Strategy both had significant community interest and involvement.
Options:
1. Approve the resolution authorizing the City Manager to execute all documents necessary to acquire real estate from Minh Do Thi Smith.
2. Do not authorize the purchase of real estate from Minh Do Thi Smith.
3. Direct staff to seek other options for mixed use property.
Financial Impact:
The acquisition would be paid for in installments using general funds.
Attachments:
Resolution
Agreement
Map