Title
Approval of an Option to Purchase Real Estate Owned by Wonderland Holdings LLC, an Approximately 75-Acre Parcel Previously Known as Kaiser Heights
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Move to approve the Option to Purchase Real Estate from Wonderland Holdings LLC consisting of approximately 75-acres commonly known as Kaiser Heights, and authorize the City Manager to sign the Option to Purchase agreement.
Report
Issue:
Whether to approve the Option to Purchase Real Estate to secure an opportunity for the City to purchase the Wonderland Holdings property for a future park site.
Staff Contact:
Paul Simmons, Parks, Arts and Recreation Director, 360.753.8462
Mark Barber, City Attorney, 360.753.8223
Presenter(s):
Paul Simmons, Parks, Arts and Recreation Director
Background and Analysis:
Wonderland Holdings LLC owns a 75-acre parcel southwest of Ken Lake located between Kaiser Road SW and Lakemoor Drive, previously referred to as the proposed Kaiser Heights Development. The City desires to purchase this 75-acre parcel to expand its inventory of open space parks.
Wonderland Holdings LLC has listed the property for sale, and is interested in selling it to the City. Staff has concluded negotiations with the Seller and has prepared the Option to Purchase Real Estate agreement that is attached to the staff report. A summary of the Option terms are below:
Option Terms:
The initial cost of the option is $150,000, with the first Option term expiring on January 31, 2016. The option can be extended to October 1, 2016, with payment of an additional $150,000 Option fee on or before January 31, 2016. If the Option is exercised and the balance of the acquisition price is paid in full, the total acquisition price will be $1,100,000.
At closing, all Option to Purchase fees will be credited towards the purchase price of the property. Staff recommends that the Option payments be p...
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