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SR - - SALE SURPLUS LAND WASHINGTON AVENUE EAST HAMLIN STREETAGENDA ITEM May 13, 2014 �OUx•r5c ca' TO: Honorable Mayor and Members of the City Council THRU: John W. Sibley City Manager D FROM: Joe DeFrancesco, Y Public Wo rks Director ReviewedNeri red B . City Manager Finance Direct r To Be Presente y: J e eFrancesco X Cons Calendar _ City Mgr Rpts Council Reports _ Legal Affairs Boards /Crates _ Noticed Hrgs Admin Reports Plan/Environ 1. SUBJECT Sale of the surplus portion of the alley located on the south side of Washington Avenue and east of Hamlin Street. 2. SUMMARY The subject property was declared surplus by the City in Resolution No. 10784. Staff has appraised the subject property and recommends selling it to the adjacent property owner, as it has no identified need for City purposes. 13. RECOMMENDED ACTION Authorize the Mayor and City Clerk to execute quitclaim deed and related documents pertaining to the sale of this property to the Olson Company. 14. FISCAL IMPACT The City will benefit financially in the future by not having to maintain this property. 15. STRATEGIC PLAN GOAL(S) Id. 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. 16. GENERAL PLAN IMPLEMENTATION Infrastructure Element Goal 3.0 Ensure adequate maintenance of public rights -of -way to enhance public safety and improve circulation. ITEM #s 0-%9 1 5/13/14 COPrinted on Recycled Paper Policy 3.1: Continue to maintain and repair sidewalks and pavement surfaces on public rights - of -way. 7. DISCUSSION and BACKGROUND The subject property was acquired in fee by the City with a grant deed recorded August 30, 1972 (Book 10302, Page 447) as a portion of the access alley from the dead end of Washington Street to the Orange County Flood Control District channel. The subject property is 1,613 square feet. Staff has determined the subject property is excess land that is not needed for the access alley. With the removal of the subject property, the minimum width of the access alley is 30 feet which is adequate for the access purposes. Staff appraised the 1,613 square foot subject property at $30,000 (approximately $19 per square foot). The adjacent owner, the Olson Company, is planning to develop the vacant 3.95 acre parcel on the south side of the subject property with a 58 unit townhouse project. The Olson Company desires to acquire the surplus subject property to incorporate into their project. The Olson Company has proposed to improve the remaining dirt alley (approximately 7,500 square feet) and drainage improvement on Via Lardo Ave with approximately $40,000 of improvements as compensation for the subject property. These improvements include access alley grading, installation of a concrete V -ditch from the end of the Washington Street cul -de -sac to the Orange County Flood Control District channel, and installing fencing and gates at the entrance to the alley. Via Lardo improvements include curb & gutter on both sides of the street and storm drain facility construction. The above conditions must be met and improvements completed to the satisfaction of the City Engineer before recordation of the quitclaim deed to the Olson Company. Section 37350 of the Government Code of the State of California authorizes a city to purchase, lease, receive, hold, and enjoy real and personal property, and control and dispose of it for the common benefit. Although not specifically stated in the Orange Municipal Code, agreements involving acquisition or sale of any real property in which the property has a value of $30,000.00 have been brought to the City Council for approval per Section 1.43 of the City's Administrative Manual. Since the subject property is appraised at $30,000, this sale is being brought to the City Council for approval. Upon any transfer of the surplus property, the City will retain any underlying public utility easements it or some other entity may have. 18. ATTACHMENTS • Quitclaim Deed. JD;mw;ly N:\Public Works\ADMIN\ADMIN\LYoung \Council Items \COUNCIL\May - 2014 \5- 13\Agenda - Washington St sale.doc ITEM # 2 5/13/14 **Printed on Recycled Paper