Staff recommends authorizing development of a purchase agreement for approximately 59,071 square feet of property located in Section 26, Township 19, Range 24 for development of the western connection of the Magnolia Street Extension to US 27.
The City has identified the need for a transportation corridor parallel to Main Street and connecting Magnolia Street to US27. Staff has prepared preliminary design details for the development of the corridor. The Alliance Church property is a key component in the development of the corridor, connection, intersection improvement, and stormwater management. A traffic signal already exists at the intersection of Magnolia St and US27. The intersection will be upgraded to facilitate the additional turning movements that will be associated with the new corridor.
City staff acquired an appraisal of the largest of four properties owned by Alliance Church. The appraised value of that property is $329,906.76 (38,812.56 sq. ft. x $8.50/sq. ft.). Staff proposes purchasing the property at or below appraised value. The property is depicted as the large, triangular parcel being the most southerly of the outlined properties on the attached drawing.
The City also needs to acquire small sections of the other three adjacent properties shown on the map, which were not included in the appraisal. Staff recommends the City offer shared stormwater management and a driveway connection at the time of construction of the Magnolia Street Extension in exchange for these parcels.
The Alliance Church committee, after presenting this proposal to their board, may counteroffer for a cash purchase on these acquisitions. Given the $8.50 per square foot appraised value for the largest parcel, the fiscal impact of a cash purchase would be approximately $172,198., although there is a likelihood that the appraised value of these three adjacent parcels would be less than the appraised value of the main parcel, due to their configuration and proximities. Staff recommends appraisal of this additional property prior to development of a cash offer.
Staff requests approval to proceed with development of a purchase agreement with these assumptions. Staff will bring the purchase agreement to the City Commission for final approval.
1. Approve staff to proceed with development of a purchase agreement with the Christian and Missionary Alliance Church
2. Such alternative action as the Commission may deem appropriate
Funds for this project were appropriated for property acquisition associated with the Magnolia Street Extension project in the FY2005-06 and FY2006-07 adopted and proposed budgets respectively.
Department: ___Public Works_______
Prepared by: ___Lora Hollingsworth____
Attachments: Yes____ No ______
Advertised: ____Not Required ______
Attorney Review : Yes___ No ____
Reviewed by: Dept. Head ___L.H.___
Finance Dept. __________________
Deputy C.M. ___________________
City Manager ________RS__________
Account No. __031-5112-541-6110__
Project No. ___________________
WF No. ______328039__________