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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 05/16/2000 - SECOND READING OF ORDINANCE NO. 50, 2000, AUTHORIZ 11 AGENDA ITEM SUMMARY ITEM NUMBER:DATE: May 16, 2000 FORT COLLINS CITY COUNCIL STAFF: Mark Sears SUBJE9econd Reading of Ordinance No. 50, 2000, Authorizing the Purchase of 6 Acres at 3301 East Prospect Road for Natural Area Purposes and Authorizing the Lease of the Property to the Seller, MBI Corporation, for a Period of up to Four Years. RECOMMENDATION: Staff recommends adoption the Ordinance on Second Reading. EXECUTIVE SUMMARY: Natural Resources and CSU have acquired the "Flatiron" gravel mine property to the south and west of this parcel for natural area purposes. The land was acquired over time at bargain prices and by donation. This 6-acre parcel with Flatiron's old office building had previously not been acquired due to the higher land value. This parcel is now one of the last pieces in the puzzle in the effort to preserve the entire river bottom on the east side of the Poudre River, from Timberline Road southeast to I-25. Ordinance No. 50, 2000, was unanimously adopted on First Reading on May 2, 2000. AGENDA ITEM SUMMARY ITEM NUMBER: 14 DATE: May 2, 2000 FORT COLLINS CITY COUNCIL STAFF: Mark Sears SUBJECT: First Reading of Ordinance No. 50, 2000, Authorizing the Purchase of 6 Acres at 3301 East Prospect Road for Natural Area Purposes and Authorizing the Lease of the Property to the Seller, MBI Corporation, for a Period of up to Four Years. RECOMMENDATION: Staff and the Natural Resouil s Adviod e omme adoption the Ordinance on First Reading. f FINANCIAL IMPACT: The City will purchase the MBI property for $340,000 from available funds that are already appropriated in the Natural Areas Program for the acquisition of natural areas. The City will then lease the property to MBI1i4epcey ith an option for an extension of up to two additional years his ist MBI will be responsible for all expenses including utilitie epair EXECUTIVE SUMMARY: Natural Resources recommends the purchase of 6 acres at 3301 East Prospect Road from MBI i Corporation. Natural Resources and CSU have acquired the "Flatiron" gravel mine property to the south and west of this parce r a area os h d was acquired over time at bargain prices and by don a ' s -acr "e t'= I on's old office building had previously not been acquired ue to high ,1 lue. s parcel is now one of the last pieces in the puzzle in the eff to s e n e river b om on the east side of the Poudre River, from Timberline Road sou east to - The purchase price of$340,000 represents the fair market value of the property as determined by Dennis Marion, M.A.I. Although this purchase price is a comparatively high price to pay for 6 acres of natural area, the visual benefit of removing the office building and restoring the site will be spread across the hundreds of acres of natural area surrounding this property. The property is in an ideal location for redevelopment. It is near I-25 on Prospect Road, which will be widened in a few years, and it is surrounded by natural area. The cost to acquire this parcel is expected to increase over time, so delay would likely result in increased expense. If this site were redeveloped, the negative visual impact to the surrounding natural area would be there for a very long time. (See attached site map.) DATE: May 2,2000 2 ITEM NUMBER: 14 The site will be leased back to MBI Corporation for 2 years at $18,000 per year with an option for a 2-year extension. This is a triple net lease meaning that MBI will be responsible for all I expenses including utilities, repairs, and maintenance. Since Prospect Road will be widened in 2003, Engineering will reimburse Natural Resources for the right-of-way and slope easement needed, a construction easement on the entire site to use it as a staging area, for renting the building as a construction office, and for restoration of the site. The total amount of this reimbursement is estimated to be $53,000, and will be funded by the Building Community Choices Capital Project Fund for Prospect Road. Once the widening of Prospect Road is completed,the building will be removed and the area restored to native vegetation. COPY COPY COPY