PURCHASE OF REAL PROPERTY 14 (Resolution No )

Transcription

1 COLLEGE OF THE SEQUOIAS COMMUNITY COLLEGE DISTRICT Board of Trustees Meeting September 11, 2017 PURCHASE OF REAL PROPERTY 14 (Resolution No ) Status: Presented by: Action (Roll Call Vote) Christine Statton, Vice President, Administrative Services Issue College of the Sequoias is seeking to purchase real property located at: 1117, , and 1127 S. Mooney Blvd., Visalia, CA APN and vacant lot, NW corner of Mooney Blvd. & Tulare Avenue APN Background College of the Sequoias is interested in acquiring a triplex commercial rental building at 1117, , and 1127 S. Mooney Blvd in Visalia CA (APN ), along with the adjacent 15,324 square feet empty lot (APN ), both of which are located in a remaining land segment adjacent to the COS campus, and within the Woodland Dr/Noble Ave/Mooney Blvd/Tulare Ave quadrant. In the interest of maintaining an ownership presence on this South-East corner of the campus quadrant, administration recommends the purchase of the commercial building complex and adjacent lot that have recently become available for sale. Various inspections were conducted and the commercial building is deemed to be in good condition: An HVAC inspection was completed A pest inspection was completed A roof inspection was completed and a two-year roof certification was obtained. A preliminary title report has been received, and is being reviewed by administration and legal counsel An appraisal has been requested and is forthcoming A Phase 1 Environmental Site Assessment has been procured, and results are forthcoming. The District has received a copy of the prior Environmental Transaction Screen prepared in 2006, which revealed no evidence of potential environmental concerns. Rental income is estimated at $86,500/year gross. The lease amount for the lease-back of the bookstore to the current owner is to be negotiated at a reduced rate for the first six (6)

2 months, and gives the current owner the opportunity to lease back the unit for up to 30 months total at a slightly reduced rate, if the owner decides to stay longer. The other units may continue on their current leases for the next year, or until expiration or termination by the District. The building was built in 1961 and is 6,549 square feet of commercial space, located on a 13,685 square foot lot, and the adjacent empty lot south of the building - is 15,324 square feet. The building is comprised of three units: unit 1117 has 1,723 square feet, unit 1127 has 1,856 square feet, and unit has 2,970 square feet. Unit currently houses the Sequoias Bookstore, which is run by the current owner, and is unaffiliated with the District. Administration has conferred with the property owner, Joyce Reed, and the parties have agreed to a purchase price of $1,900,000. The owner would like a quick escrow and is seeking to complete the sale in mid-october. Parcel 1 APN owned by Joyce Reed Parcel 2 APN owned by Joyce Marie Reed, Corbin Austin Reed and Misty Dawn Bassham as joint tenants Administration proposes to fund the purchase using Linwood Reserve Fund, which currently has $2.22 million available. Recommended Action It is recommended that the Board of Trustees adopt Resolution No , approving the purchase of 1117, , and 1127 S. Mooney Blvd. APN , and the adjacent vacant lot on the corner of Mooney Blvd and Tulare Avenue APN , Visalia, CA for $1,900,000 plus closing costs, to be paid from Linwood Reserve Fund.

3

4

5 COLLEGE OF THE SEQUOIAS COMMUNITY COLLEGE DISTRICT RESOLUTION NO A RESOLUTION OF THE BOARD OF TRUSTEES REGARDING THE PURCHASE OF REAL PROPERTY BY THE COLLEGE OF THE SEQUOIAS COMMUNITY COLLEGE DISTRICT WHEREAS, College of the Sequoias desires to acquire real property on Mooney Blvd. near Tulare Avenue to accommodate possible future growth of the District; and WHEREAS, College of the Sequoias will purchase real property with funds from the Linwood Reserve Fund; and WHEREAS, the following real property is available for acquisition: 1117, , and 1127 S. Mooney Blvd. APN , and the vacant lot at the corner of Mooney Blvd. and Tulare Ave., APN , Visalia, CA WHEREAS, the following offer for the real property is acceptable to the Seller: $1,900, plus closing costs WHEREAS, the payment for the purchase of real property comes from funds available due to the sale of District property, now available in the Linwood Reserve Fund; and NOW, THEREFORE, BE IT RESOLVED that the Board of Trustees approves the purchase of the real property, and approves acceptance and recording of the Grant Deed when purchase is complete. Motion by: Seconded by: Ayes: Noes: Absent: I, Stan Carrizosa, Secretary of the Board Trustees, do hereby certify that the foregoing is a full, true and correct copy of a resolution passed and adopted by the Governing Board at its regularly called and conducted meeting held on September 11, Stan Carrizosa Secretary, Board of Trustees