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HomeMy WebLinkAboutSR - - PURCHASE 2901 EAST KATELLA AVENUE1. SUBJECT Purchase of 993 square feet of property at 2901 E. Katella Avenue for the purpose of improving the critical intersection of Katella Avenue and Wanda Road. 2. SUMMARY This parcel is necessary for the improvement of the critical intersection of Katella Avenue and Wanda Road. 3. RECOMMENDED ACTION Authorize the Mayor and City Clerk to execute escrow and related documents concerning the purchase of property at 2901 E. Katella Avenue for the purpose of improving the intersection of Katella Avenue and Wanda Road. Purchase price is $95,600, plus related escrow costs. 4. FISCAL IMPACT Funds are available in the following accounts: 285.5011.56330.20073 (TSIP Area "C" — Katella Ave. / Wanda Rd. 2 nd Left Turn Addition) $ 67,106.00 550.5011.56330.20073 (CTFP Grant - Katella Ave. / Wanda Rd. 2 nd Left Turn Addition) $ 126,750.00 5. STRATEGIC PLAN GOAL(S) 1 d. Provide for a safe community — Assure the development of the City occurs in a fashion that maximizes public safety. 2d. Be a fiscally healthy community — Effectively manage and develop City assets. ITEM # dl 1 1/13/15 OPrinted on Recycled Paper 6. GENERAL PLAN IMPLEMENTATION Infrastructure Element Goal 3.0 Ensure adequate maintenance of public rights -of -way to enhance public safety and improve circulation. Policy 3.1: Continue to maintain and repair sidewalks and pavement surfaces on public rights - of -way. 7. DISCUSSION and BACKGROUND The project consists of the widening of the northwest and southwest quadrants of the intersection. This project will add one additional left turn pocket on eastbound Katella Avenue onto northbound Wanda Road and one right turn lane on westbound Katella Avenue onto northbound Wanda Road. Pavement rehabilitation, sidewalks, curbs and gutter, replacement of stamped concrete median, street trees, signing and striping, street lighting, and signal modifications are proposed for the project. The widening will require the acquisition of 993 square feet of landscaped area on the northwest quadrant of the intersection. City staff proceeded to obtain a real estate appraisal by a licensed real estate appraiser as part of the right -of -way purchase of 993 square feet and a temporary construction easement of 2,556 square feet from the property owner of 2901 E. Katella Avenue. The result of that appraisal is as follows: Purchase of real property and landscaping improvements $ 64,000 Temporary construction easement $ 6,000 Original Compensation Offer $ 70,000 Staff offered the property owner the total appraised amount ($70,000) as just and fair compensation for the subject property. The property owner countered back with an amount of $144,125. The property owner had retained the services of two landscape companies and that is where the major discrepancy was between the City's offer and the property owner's counter offer regarding re- landscaping the temporary construction easement area after the project is completed. Staff met with the property owners and after lengthy negotiations, both sides agreed to $95,600 as total compensation including the temporary construction easement. With the increase of total compensation, the owner will re- landscape the temporary construction easement area upon completion of the project and not the City. Thus, the City will remove this item from the scope of work for the project. In addition, with this counter offer, the owner will forgo their right to having a second appraisal done and the City reimbursing up to $5,000 for it as provided by law. Staff recommends the approval of the negotiated counter offer of $95,600. Tonight's action by the City Council will approve the purchase of a portion of the subject property and authorize the Mayor and City Clerk to execute escrow and related documents. The purchase price is $95,600, plus related escrow costs. OCTA is funding 75% of the property acquisition cost and per previous agreement the City of Villa Park is also contributing 25% of our matching portion of the funding. ITEM # 2 1/13/15 Q*Printed on Recycled Paper 8. ATTACHMENTS • Negotiated counter offer letter (signed by seller) JD;mw;ly N:\ADMIN\ADM1N \LYoung \LYoung \Council Items \COUNCIL\Jan - 2015 \1- 13\Agenda - 2901 E Katella purchase.doc ITEM # 2 1/13/15 Of Printed on Recycled Paper