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Item I2LAND AUTHORITY GOVERNING BOARD AGENDA ITEM SUMMARY Meeting Date:Division: August 15, 2007 Land Authority Bulk Item:Contact / Phone #: Yes No X Mark Rosch / 295-5180 __________________________________________________________________________________ Agenda Item Wording: Approval of a contract to purchase the Sea Grape Apartments Phase I site in Marathon (part of RE #103560-000200) as an affordable housing site. __________________________________________________________________________________ Item Background: The Sea Grape Apartments site is located near MM 50.5 on the oceanside in Marathon. The site is zoned Urban Residential with a habitat classification of disturbed with exotics. Marathon City Council Resolution 2004-035 supports acquisition of the site for affordable housing. The Carlisle Group submitted this site in response to the BOCC’s request for proposals for purchase/leaseback affordable housing sites. Carlisle proposes to develop the Phase I site with 56 affordable rental units using construction financing from the Florida Housing Finance Corporation. The proposed contract anticipates the following steps: 1) the Land Authority will purchase the site; 2) the Land Authority will transfer title to the BOCC; and 3) the BOCC will lease the property back to the Seller for development. Approval of this agenda item will allow staff to proceed with step 1. At this point the only identified impediment to closing this transaction is the presence of easement agreements creating affirmative obligations to provide road improvements and wastewater facilities. To protect the Land Authority and BOCC, the Seller must terminate these agreements prior to closing. __________________________________________________________________________________ Advisory Committee Action: 8/23/06 - The Committee voted 4/0 to approve the proposed purchase. __________________________________________________________________________________ Previous Governing Board Action: 10/18/06 - The Board tabled this item pending resolution of closing issues regarding easement agreements and the proposed lease from the BOCC. 6/16/04 - The Board approved adding the site to the Acquisition List. __________________________________________________________________________________ Contract/Agreement Changes: Originally the Seller required a simultaneous closing on both the Phase 1 and Phase 2 parcels (see Paragraph 15c). The Seller now wishes to waive this requirement. __________________________________________________________________________________ Staff Recommendation: 1) Approval of the contract and authorization to waive the simultaneous closing requirement in Paragraph 15c. 2) Approval to close the transaction once the above-referenced easement agreements are terminated. __________________________________________________________________________________ Total Cost:Budgeted: $947,238.50 Yes X No. Cost to Land Authority:Source of Funds: $947,238.50 Land Authority (Park Surcharge and Tourist Impact Tax Revenue) Approved By: Attorney X County Land Steward N/A. Documentation: Included: X To Follow: Not Required: . Disposition: Agenda Item ____ PURCHASE CONTRACTS 08/15/07 PurchaseEnvr. Audit, SurveyTitleAttorneyRecordingAcquisition PropertyPriceor Clean-upInsuranceFeeFeeTotal aca Key Acreag Ve$933,333.00$8,500.00$4,870.00$500.00$35.50$947,238.50 RE#00103560-000200 ( Sea Grape Apartments, Ltd. - Phase I)