HomeMy WebLinkAboutIX-02 Public Hearing - Sale of Property - Spiral Blvd. & Glendale Rd.
City Council Memorandum
To: Mayor Fasbender and City Council
From: Justin Fortney, City Planner
Date: June 5, 2023
Item: Public Hearing - Disposition of a portion of City Owed Land: Northwest of
Spiral Boulevard and Glendale Road PID 190350084010
City Council Action Requested
Hold a public hearing pertaining to disposition of City owned property located northwest
of Spiral Blvd and Glendale Road. Future action on a resolution establishing findings of
fact for the disposition as well as sale of the property to Northern State Services, LLC
(Richard Ries) is planned for the June 26th meeting.
Background Information
The City owns approximately 20 acres located west of Glendale Road that is bisected by
Spiral Blvd. Approximately 3.42 acres is located north and west of Spiral Blvd, with the
remaining acreage located south and east of Spiral Blvd.
Northern State Services recently purchased a 19.37-acre parcel directly to the north and
plans to split the property into two lots for residential homes. The property is zoned
Agriculture which establishes a 10-acre minimum lot size. The properties are outside of
the present and planned extension of the Metropolitan Urban Service Area (MUSA)
which establishes the boundary for municipal sewer and water service. Northern State
seeks acquisition to meet the minimum lot size of the Agricultural zoning district and to
establish frontage along Spiral Blvd to utilize an existing driveway access.
A purchase price of $60,960 has been offered based for the 3.42-acre parcel. The offer is
consistent with the price per s.f. paid for the adjoining property. As part of the land
purchase, the applicant agrees to plat the property which would establish dedicated right-
of-way for Spiral Blvd that does not presently exist and is desired by the City.
History
The 3.42-acres proposed for sale is part of a larger parcel the city uses for some material
storage and was a former dump site. The subject Property was separated from the parcel
with the construction of Spiral Blvd. This remnant is sloped, unusable, and too small to
be developed on its own. The city currently maintains it but has no use for it.
Upon acquisition of the City parcel the two lots would meet the minimum requirements
for a single-family home. There are no city utilities available currently and the location is
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out of the Municipal Services Area. With the future wastewater treatment plant
relocation, there may or may not be services accessible to these properties in the future.
City ordinance would require connection to future city utilities if they become available.
City Charter Provisions
Section 7.04 of the City Charter establishes the following provisions for the sale of real
property held by the City:
No real property of the City shall be disposed of unless the Council shall first
pass a resolution containing specific findings that the public interest requires that
the property be disposed of, and only after public notice and hearing of such
proposed disposition. The proceeds of any sales of such property shall be used, as
far as possible, to retire any outstanding indebtedness incurred by the City in the
purchase, construction or improvement of this property. If there is no such
outstanding indebtedness, the Council may by resolution designate some other
public use for the proceeds. Sales of real property owned by the City shall be
conducted in commercially reasonable manners.
Recommendation
Staff supports disposition of the property finding that the public interest requires disposal
and there is no present or anticipated use of the property. Staff further agrees with the
sales price offered.
Financial Impact:
Sale of the property will generate $60,960 in revenue as well as an increase in the
community’s annual tax base. City maintenance expenses for the property will cease.
Advisory Commission Discussion:
N/A
Council Commission Discussion:
N\A
Attachments:
• Proposed Plat – Draft
• Aerial Map
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City Property for disposition/ sale
3.42 acres NW of roadway
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Richard Reis Property
City Property for disposition/ sale
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