Title
RESOLUTION NO. 26R-08-142: A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LAUDERHILL, FLORIDA, APPROVING A LETTER OF INTENT (“LOI”) ATTACHED AS EXHIBIT “A” AND PROVIDING THE CITY MANAGER WITH THE AUTHORITY TO NEGOTIATE AND EXECUTE A PURCHASE AND SALE AGREEMENT FOR THE PROPERTY LOCATED AT 1701 NW 31ST AVENUE, #G, LAUDERHILL, FLORIDA AT A PRICE NOT TO EXCEED THREE MILLION THREE HUNDRED THOUSANDS DOLLARS (“$3,300,000.00); PROVIDING THE CITY MANAGER AND CITY ATTORNEY WITH THE AUTHORITY TO DO ALL THINGS NECESSARY TO EFFECTUATE THIS RESOLUTION; AND PROVIDING FOR AN EFFECTIVE DATE (REQUESTED BY CITY MANAGER KENNIE HOBBS, JR.).
Body
Request Action:
A motion to authorize the City Manager and City Attorney to proceed with the negotiation and preparation of a Purchase and Sale Agreement between the City of Lauderhill and 1701 NW 31st, LLC, for the acquisition of the real property located at 1701 NW 31st Avenue, #G, Lauderhill, Florida 33311 (Folio No. 4942-31-00-0062) and NW 31st Avenue, Lauderhill, Florida 33311 (Folio No. 4942-31-41-0010), subject to final approval by the City Commission.
Need Summary Explanation/ Background:
The City of Lauderhill has been engaged in discussions with 1701 NW 31st, LLC regarding the potential acquisition of two parcels of real property located along NW 31st Avenue in Lauderhill. The proposed transaction is outlined in a Non-Binding Letter of Intent between the City, as Buyer, and 1701 NW 31st, LLC, as Seller. The Letter of Intent establishes the general terms for negotiating a formal Purchase and Sale Agreement and specifically provides that the transaction is subject to approval by the City Commission.
The proposed purchase price is $3,300,000. The property includes the land and associated improvements, buildings, structures, equipment, fixtures, development rights, easements, appurtenances, and other rights associated with the property.
Under the proposed terms, the City would provide an initial deposit of $100,000 within five (5) days of execution of the Purchase and Sale Agreement, followed by a second deposit of $100,000 within five (5) days after expiration of the Feasibility Period.
The Seller would also be required to provide the City with documentation necessary to conduct its due diligence, including leases, title information, surveys, building plans, environmental reports, zoning information, and other documents relating to the property.
The proposed transaction includes a Feasibility Period during which the City may inspect the property, perform due diligence, and obtain City Commission approval. If the City does not obtain the required approval within the applicable period, the City may terminate the transaction in accordance with the terms of the agreement.
Staff recommends that the City Commission authorize the City Manager and City Attorney to proceed with the negotiation and preparation of the Purchase and Sale Agreement for the acquisition of the subject property, consistent with the terms outlined in the Non-Binding Letter of Intent, with the final Purchase and Sale Agreement and acquisition remaining subject to City Commission approval.
Cost Summary/ Fiscal Impact:
The proposed acquisition price is $3,300,000, plus the City's applicable due diligence and closing expenses, including title examination and title insurance, survey costs, closing services, and the City's attorney's fees.
Account number 40119917-506154 Land Acquisition
Attachments:
1. Resolution
2. Letter of Intent - 1701 NW 31st Avenue
Budget Code Number(s): n/a
[ ] RFP/Bid [ ] Emergency Purchase [ ] SBE
[ ] Proposal/Quote [ ] State Grant Funds [ ] Local Preference
[ ] Piggyback Contract [ ] Federal Grant Funds
[ ] Sole Source [ ] Matching Required