AGENDA MEMORANDUM

 

 

Meeting Date:           October 13, 2008

 

From:                          Kenneth L. Thomas, Director of Housing & Economic Development

 

Subject:                      Resolution authorizing the City Manager or designee to sell the City owned 75 acres and pay a broker's fee of 3.5%

 

 

Staff Recommendation:

Staff recommends City Commission approval to offer a broker’s fee of 3.5%.

 

Analysis:

The City Commission authorized the sale of 75 acres with the purpose of selling the land to obtain funding for various capital projects.  The property has been marketed as “for sale by owner” and the asking price is $55,000 per acre.  However, to increase the level of activity surrounding the sale of the property, it has been recommended for the City to offer a commission to brokers if they secure a buyer.  The commission fees vary from 3% to 4.5%; therefore, staff recommends a median approach of a 3.5% broker’s fee. 

 

In addition, when implementing the “for sale by owner” approach, all marketing responsibilities are on the owner.  Therefore, staff is recommending various marketing strategies to obtain buyers for the property as listed below:

 

 

 

 

Options:

1. Approve the provisions to provide a broker’s fee for the sale of the 75 acre property 

2.  Such alternative action as the Commission may deem appropriate

 

 

Fiscal Impact

If the property were to sell for the appraised value, the broker’s fee would be $144,375.

 

 

Submission Date and Time:    10/9/2008 3:03 PM____

 

Department: ______________________

Prepared by:  ______________________                     

Attachments:         Yes____   No ______

Advertised:   ____Not Required ______                     

Dates:   __________________________                     

Attorney Review :       Yes___  No ____

                                                

_________________________________           

Revised 6/10/04

 

Reviewed by: Dept. Head ________

 

Finance  Dept. _________JB_______                                     

                              

Deputy C.M. ___________________                                                                         

Submitted by:

City Manager ___________________

 

Account No. __________________

 

Project No. ___________________

 

WF No. ______________________

 

Budget  ___________­___________

 

Available _____________________


 

RESOLUTION NO._______________

 

A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG AUTHORIZING THE CITY MANAGER OR DESIGNEE TO MARKET THE CITY OWNED 75 ACRES AND PAY A BROKER'S FEE OF 3.5%.; AND PROVIDING AN EFFECTIVE DATE.

 

BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:

 

            THAT the City Commission hereby authorizes the City Manager and/or designee to market the City owned 75 acre property and offer a broker’s fee of 3.5%.

 

             THAT this resolution shall become effective immediately.

 

PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the __13th___ day of __October___ 2008.

 

 

 

                                                                            __________________________

                                                                             Mayor

 

ATTEST:

 

 

__________________________

City Clerk