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SR-6C (56) , , . , .. e J~988 tl t? (--- CrtJ3 GS:SS:HS:sm 1/20/88 Santa Monica, California Council meeting: January 26, 1988 TO: Mayor and city council FROM: city staff SUBJECT: Recommendation to Adopt Resolutions Authorizing the Sale of City-owned Surplus Land Located at the southeasterly Corner of Ocean Park Boulevard and sixth Street, to Vacate Said Property, and to Set a Public Hearing for February 23, 1988. Introduction Staff recommends that the city Council adopt the attached resolutions. The first resolution waives public advertising and authorizes the sale of approximately 3,740.5 square feet of City-owned surplus land located at the southeasterly corner of Ocean Park Boulevard and sixth street. The second recomnu~nds I that the City Council vacate this property, which is , excess , street right-of-way, and set a public hearing for February 23, 1988, to hear any protests regarding the proposed vacation. Background The subject property, a partial lot known as Lot 11, BlOCk C, Vawter's Fourth Street Tract, was purchased by the City on January 10, 1968 for public use and street right-of-way as part of an Ocean Park Boulevard street development project. This property was not used in the street project and is no longer , required for the acquired purpose. (The property is shown and described on the attached assessorls map and engineerls drawing, respectively. ) No utility lines or appurtenant structures are - 1 - ~-C JAN 2 b l~&f. .....- \ e e ./ located on, above, or beneath the subject property. This property currently is zoned R-2. The property has an appraised investment value of $93,513 and an appraised fair market value of $58,053. The property is a substandard lot not suitable for independent development. Investment value represents the value of the property if developed in conjunction with an adjacent parcel. A reappraisal was completed to confirm property values following adoption of the resolution to downzone the Ocean Park area. Mr. Robert Flournoy and Mr. Jeffrey De coste, owners of Lot 10, which adjoins the subject property, have asked to purchase Lot 11 at the full investment value of $93,513. Staff recommends sale of this property to the owners of Lot 10 for these reasons: t I 1.. The appraised investment value and the purchase price of I $93,513 offered by the adjacent owners are significantly higher than the $58,053 appraised fair market value. 2. It is highly unlikely that any other parties would bid on the property as a result of a public bid process because the property has no developable value except as joined to neighboring Lot 10. 3. This substandard-sized lot of approximately 3,740.5 square feet is narrow and elongated and not suitable for independent development. The appraisal report identifies highest and - 2 - . e best use of the property as assemblage with adjoining property. 4. The sale price of $93,513 will be an addition to the city's Gas Tax Revenue fund. No revenue currently is generated from the property. 5. Sale of the property will add to the City's assessed valuation tax base. The city's share of property tax revenue will increase by approximately $160 annually following the property sale, as estimated by the city.s Finance Department. 6. City resources will not be required to maintain the property fOllowing its sale. 7. The City has no current or long-term plans for use of this property. As required by law, public agencies have been given first use consideration. These agencies have no use tor the property and the disposition can co~mence. BUdget/Financial Impact The sale price and annual property tax revenue represent a revenue gain for the city. Anticipated sales revenue of $93,513 will be deposited in the Gas Tax Revenue fund at account number 43-905-086-000-000. Annual property tax re.venue is estimated by the Finance Department to be approximately $160. No financial impact is associated with the vacation. However, property vacation must occur prior to property sale. - 3 - , . - Recommendation Staff recommends as follows: l. That, contingent upon property vacation, the city council adopt the attached resolution waiving public advertising and authorizing the City Manager to proceed with the sale of approximately 3,740.5 square feet of surplus City-owned land, otherwise known as Lot 11, Block C, Vawter's Fourth street Tract, city of Santa Monica, located at the southeasterly corner of Ocean Park Boulevard and Sixth Street to Mr. Robert Flournoy and Mr. Jeffrey De Coste, adjacent property owners, for the appraised investment value of $93,513. 2. That the City Council adopt the attached resolution to set a February 23, 1988 public hearing regarding the vacation of excess street right-of-way located at the southeasterly I corner of Ocean Park Boulevard and Sixth Street. t Attachments: Resolution to Sell Resolution to Set Vacation Hearing Assessor's map Engineer's drawing Prepared by: Stanley E. Scholl, Director of General Services Hope Smith, Senior Administrative Analyst srop6thx ~ - 4 - e - RESOLUTION NO. CITY COUNCIL SERIES A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA WAIVING AD- VERTISEMENT REQUIREMENTS AND AUTHOR- IZING THE SALE OF CITY-OWNED SURPLUS LAND LOCATED AT THE SOUTHEASTERLY CORNER OF OCEAN PARK BOULEVARD AND SIXTH STREET WHEREAS, on January 10, 1968, the City of Santa Monica purchased the property described in Section 2 of this Resolution for public use and street right-of-way; and WHEREAS, the City has determined that the property described in Section 1 of this Resolution is no longer needed for the purpose acquired and that said property is not needed for any public purpose; and WHEREAS, the city has received from Mr. Robert Flournoy and Mr. Jeffrey De Coste, owners of adjacent property, an offer to purchase the property described in Section 2 of this Resolution for $93,513, which is the propertyls appraised investment value; and WHEREAS, pursuant to Municipal Code section 2508A, real property may be sold without advertising for bids if the City Council, by resolution adopted by at least five affirmative votes, determines that to advertise for bids would be to no avail and would cause unnecessary expense and delay or would not be in the best interest of the city; and WHEREAS, appropriate public agencies have been notified of property availability but have no use for said property; and 1 . - WHEREAS, the substandard lot described in Section 2 of this Resolution is not suitable for independent development of any kind, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES RESOLVE AS FOLLOWS: SECTION l. Public advertising for bids of the property described in section 2 of this Resolution is hereby waived because an offer has been received from the adjacent property owners to purchase the property at appraised investment value and to advertise would cause unnecessary expense and delay, would be unlikely to bring a higher purchase price, and would not be in the best interest of the city. SECTION 2. Subject to complying with all applicable provisions of state and local laws, the city Manager is hereby authorized to sell the certain city-owned surplus land, hereafter described, to Mr. Robert Flournoy and Mr. Jeffrey DeCoste for the sum of $93,513. said property is described as follows: That portion of Lot 11 in Block C of Vawter's Fourth street Tract, in the City of Santa Monica, County of Los Angeles, state of California, as per map recorded in Book 3, Page 92 of Maps, in the Office of the County Recorder of said county, described as follows: The Point of Beginning being the Northernmost point of the following line: a line parallel to and 5.00 feet Northeast of the Southernmost 20.48 feet of the Southwesterly line of said 2 . -- Lot: thence southeasterly along this line to the Southwesterly line of said Lot: thence Northeasterly a distance of 145 feet along the Southeasterly line of said Lot to the Northeasterly line of said Lot; thence Northwesterly a distance of 18.48 feet along the Northeasterly line of said Lot; thence Southwesterly a distance of 62.97 feet along a line of bearing south 54906'33" West: thence Southwesterly a distance of 77.63 feet along a line of bearing south 55426'28" West; thence Southerly a distance of 13.46 feet to the Point of Beginning. SECTION 3. A public hearing shall be set for vacation of such property, and upon approval of the property vacation, the City Manager is instructed to execute all instruments necessary and do all other things necessary to effectuate this sale. SECTION 4. The city Clerk shall certify the adoption of this Resolution, and thenceforth and thereafter the same shall be in full force and effect. APPROVED AS TO FORM: ~M:. ~ ROBERT M. MYERS City Attorney 3 e " RESOLUTION NO. CITY COUNCIL SERIES A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA DECLARING ITS INTENTION TO ORDER VACATION OF THAT PORTION OF EXCESS STREET RIGHT-OF-WAY LOCATED AT THE SOUTHEASTERLY CORNER OF OCEAN PARK BOULEVARD AND SIXTH STREET WHEREAS I the City has determined that the property described in Section 1 of this Resolution is no longer needed for the purpose acquired and that said property is not needed for any PUblic use or street purpose; and WHEREAS, the owners of Lot 10, the lot adjacent to the subject property, have asked to purchase Lot 11, that portion of excess right-of-way owned by the city; and WHEREAS, vacation of this excess right-of-way must be completed before property sale occurs, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES RESOLVE AS FOLLOWS: SECTION l. The City Council of the City of Santa Monica declares its intention to order vacation of that portion of excess street right-of-way located at the southeasterly corner of Ocean Park Boulevard and sixth street and described as follows: That portion of Lot 11 in Block C of Vawter's Fourth Street Tract, in the City of Santa Monica, County of Los Angeles, 1 . - state of California, as per map recorded in Book 3, page 92 of Maps, in the Office of the County Recorder of said county, described as follows: The Point of Beginning being the Northernmost point of the following line: a line parallel to and 5.00 feet Northeast of the Southernmost 20.48 feet of the Southwesterly line of said Lot; thence Southeasterly along this line to the southwesterly line of said Lot; thence Northeasterly a distance of 145 feet along the Southeasterly line of said Lot to the Northeasterly line of said Lot; thence Northwesterly a distance of 18.48 feet along the Northeasterly line of said Lot; thence Southwesterly a distance of 62.97 feet along a line of bearing South 54006'33" West; thence Southwesterly a distance of 77.63 feet along a line of bearing South 55026'28" West; thence southerly a distance of 13.46 feet to the Point of Beginning. SECTION 2. The city Council of the City of Santa Monica, in vacating that property described in Section 1 of this Resolution, elects to proceed in accordance with the provisions of the California streets and Highway Code, Part 3, "Public streets, Highways, and Service Easements vacation Law, " Chapter 3, "General Vacation Procedure." SECTION 3. The hour of 7:30 p.m. of the 23rd day of February, 1988, in the City Council Chambers in City Hall, Santa Monica, California, be and the same hereby is fixed as the time and place when and where all persons interested in or objecting to the 2 . . proposed vacation may appear before the city Council and offer evidence in relation thereto. SECTION 4. The superintendent of Streets of the City of Santa Monica hereby is directed to cause notices of street vacation to be posted as required by the California streets and Highway Code Section 8323. SECTION 5. 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