City of Lafayette Staff Report
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1 City of Lafayette Staff Report For: Lafayette City Council By: Steven Falk, City Manager Date: April 12, 2016 Subject: Acquisition of Lorinda Lane Trail Easement Background The City of Lafayette established a trails master plan in 1983 with one goal, among others, to acquire trail easements up Lorinda Lane, near the western border of the City. The trail, when finally accomplished, would extend all the way to Lafayette Ridge and Briones Regional Park. The Moraga-Orinda Fire District currently owns two parcels on Lorinda Lane for which the City needs to acquire trail easements (blue sections, left). The City recently requested that MOFD grant easements to the City at no cost, but the District Board chose not to do so. MOFD now plans to place the properties on the open market for sale on beginning this Friday, April 15, Once the properties are sold, acquiring the necessary trail easements from two different private owners could be challenging and time consuming. Time is thus of the essence if the two agencies are to reach terms of an agreement for the City s acquisition of the easement. 1 of 4
2 The Properties and the Easements Recall that MOFD purchased, with assistance from the City of Lafayette, the parcels on Lorinda Lane for the purpose of a jointly-operated Fire Station 46. At MOFD s request, the City approved a lot line adjustment between a larger developed parcel and a substandard vacant parcel thereby allowing the development of the fire station on the vacant parcel. Because the proposal for Station 46 was abandoned, the District no longer has use for the properties. MOFD has indicated that it will put them on the open market for sale this weekend. As shown on the map below, MOFDs holdings include two parcels, Lot A and Lot B. Lorinda Lane lies along the eastern edge of the properties and is already encumbered by 25 wide roadway and utility easements. The City seeks to acquire a trail easement that sits atop those two other easements and thus represents no reduction in the developable portion of the land. 2 of 4
3 City staff, anticipating this matter, engaged Schell & Martin to prepare a legal description and document for the granting of the easement. It is attached. Note that the Trails Committee of the Parks Trails and Recreation Commission is tracking this matter and is supportive of the City s efforts to acquire the easement. Fiscal Implications Determining the value of a trail easement is notoriously difficult. Informed people, for instance, can disagree on the most fundamental question regarding whether a trail alongside a residence in Lamorinda adds to or diminishes the value of that property. In the instance of the Lafayette Moraga trail, there is substantial evidence suggesting that the presence of the trail alongside the property increases the value of the homes. Others would prefer not to have unannounced visitors moving along their property. Given that, and because the easements represent no reduction in the developable portions of the parcels, staff suggests that a reasonable price for the City to pay for these easements, which are 25 wide and (combined) about 450 long, is $10,000. Alternatives If the City and the District cannot quickly agree on price and terms for a trail easement, one alternative for the City to consider is engaging MOFD in a transaction to purchase the properties. Once purchased, the City could establish the easements on the properties and then turn around and sell them on the open market. According to Chief Healy, the asking price for the properties are ~$1.2M + ~$450,000 = ~$1.65M, but a transaction between the two agencies would benefit from the work of an appraiser to determine value. Appraisers typically require six to eight weeks to complete an evaluation. Staff notes that this alternative option should be less desirable to both agencies because it increases transaction costs and risk to both agencies, and delays the outcome by 60 or more days. Recommendation Staff recommends that the City Council direct the City Manager to offer $10,000 to MOFD for the acquisition of trail easements as described in Attachment A and process the acquisition if the offer is accepted. If the offer is rejected, staff recommends that the Council immediately reconvene to determine its options for purchasing the properties from MOFD, with the purpose to overlay trail easements before reselling the properties on the open market. 3 of 4
4 ATTACHMENT A Draft Grant of Trail Easement And Legal Descriptions For Lorinda Lane 4 of 4
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