Title
Approval of a Resolution Authorizing Amendment No. 1 to the Option to Purchase Real Estate Agreement for the Real Property Located at 3126 Pacific Avenue SE (Also Known as the Jungle Encampment)
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Move to approve the Resolution Authorizing Amendment No. 1 to the option to purchase Real Estate agreement between the City of Olympia and JJP Group LLC for the real property located at 3126 Pacific Avenue SE, Olympia, Washington.
Report
Issue:
Whether to approve the Resolution Authorizing Amendment No. 1 to the option to purchase Real Estate agreement between the City of Olympia and JJP Group LLC for the real property located at 3126 Pacific Avenue SE, Olympia, Washington.
Staff Contact:
Stacey Ray, Assistant City Manager, 360.753.8046
Presenter(s):
Consent Calendar Item
Background and Analysis:
The City of Olympia and JJP Group, LLC signed an Option to Purchase Real Estate Agreement (Option Agreement) on June 20, 2024, giving the City the option to buy real property located at 3126 Pacific Avenue SE. This property is commonly referred to as The Jungle encampment and contains the largest unhoused homeless encampment in Thurston County.
Staff have determined that the Property could support future uses such as temporary shelter, affordable housing, roadway access, wetlands protection, and open space - all of which benefit the entire Olympia community.
The Option Agreement currently expires on June 30, 2026. Both the City and JJP Group, LLC, wish to extend the option to purchase term for three years and amend the agreement, as allowed under Section 15.3 of the Option Agreement. Terms of the proposed Amendment No. 1 are:
* Option term is extended for three years to June 30, 2029.
* City will pay $80,000 per year for the extension.
* Option payments from 2024 and 2025 will not count toward the future purchase. price if the City exercises its right to pur...
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