HomeMy WebLinkAboutCOW 2007-05-14 Item 4B - Purchase - Land Acquisition for 57th Mini Park Extension COUNCIL AGENDA SYNOPSIS
ITEM No.
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5 Q 1� v Meeting Date Prepared by 1 11 Mayor's review Cori! review
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05/14/07 BF L 4
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ITEM INFORMATION
NUMBER: NUBER: 0 0 y I ORIGINAL AGENDA DA I'L: 05/14/07
AGENDA ITEM TITLE 57 Park Extension Acquisition
CA I"hGORY Discussion Motion Resolution Ordinance Bid Award Public Hearing Other
Mtg Date 5/14/07 Mtg Date 05/21/07 Mtg Date Mtg Date Mtg Date Mtg Date Mtg Date
SPONSOR Council Mayor
Adm Svcs DCD Finance Fire Legal P&R El Police PIT
SPONSOR'S The 2007 CIP project includes the acquisition of the 57 mini -park extension. The
SUMMARY land value has increased over time and has a new sewer system. The Parks
Recreation Director recommends this purchase but is under funded by $117,500.
REVIEWED BY COW Mtg. CA &P Cmte F &S Cmte Transportation Cmte
Utilities Cmte Arts Comm. Parks Comm. Planning Comm.
DAVIT;: 04/24/07
RECOMMENDATIONS:
SPONSOR /ADMIN. Recommends the purchase if funds can be located.
COMM1l rhE Forward to Committee of the Whole for consideration
COST IMPACT FUND SOURCE
EXPENDITURE REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED
$192,500 $75,000 $117,500
Fund Source: 301/00.594.760. .72
Comments: Finance Director has identified a possible funding source from the real estate transfer
tax (the first 1 /4 cent from the tax is dedicated to park land acquisition).
MTG. DATE RECORD OF COUNCIL ACTION
5/14/07
MTG. DATE ATTACHMENTS
05/14/07 Information Memo from Bruce Fletcher dated 5/8/07
Summary Appraisal Report
Community Affairs and Parks Committee minutes of 4/24/07
�11tA
(a/ l City of t Steven M. Mullet, Mayor
?A' Parks Recreation Department Bruce Fletcher, Director
190S MEMORANDUM
TO: Mayor Mullet
Tukwila City Council
FROM: Bruce Fletcher, Director of Parks Recreation 1
DATE: May 8, 2007
SUBJECT: 57 Park Extension Acquisition
The 2007 CIP project includes the 57 Mini -Park expansion acquisition in the budgeted
amount of $150,000. Back in March of 2004, land owner Todd Hiestuman offered to
donate Y2 of the land value of two riverfront lots to expand the mini -park. It was directed
by the 2004 City Council to investigate possible grants to obtain the matching funds for
the acquisition. The Parks and Recreation Department was successful with a grant award
of $75,000 from the King County Conservation Futures Grant.
Since there was a sewer project in the CIP manual, Mr. Hiestuman wanted to proceed
with the mini -park sale once the project was complete. The land value back in 2004
(without sewer) was estimated at $150,000.
With the sewer project near completion, the Parks and Recreation Department ordered an
appraisal summary report from Campos Appraisals, Inc. Based on the investigation and
analysis, Campos Appraisal has valued the market opinion at $385,000 land value for the
riverfront lots #7 and #8. The land value has increased significantly since 2004 and with
the increased value of an available sewer system.
Mr. Hiestuman has extended his offer of %2 the land value as a donation to the city. With
the current appraised land value, the city's CIP budget will be $117,500 under funded.
Finance Director Kevin Fuhrer, has identified a possible funding source from the real
estate transfer tax (the first cent from the tax is dedicated to park land acquisitions).
It is still the opinion of the Parks and Recreation Director that this riverfront purchase
would be a valuable asset to the surrounding community and the City of Tukwila. The
57 park extension acquisition will be forwarded to the Community of the Whole for
further discussion.
Cc: Rhonda Berry, City Administrator
Kevin Fuhrer, Finance Director
"Creating Community through People, Parks and Programs"
12424 42nd Ave. S. Tukwila, Washington 98168 Phone: 206-768-2822 Fax: 206- 768 -0524
CAMPOS APPRAISALS, INC.
INDEPENDENT REAL ESTATE APPRAISALS
RESIDENTIAL, MULTIFAMILY AND COMMERCIAL
3425 228th St SW, Brier, WA 98036 OFFICE: (425) 775-1 750
Mailing Address: P. O. Box 267 FAX: (425) 670 -2553
Mountlake Terrace, WA 98043 -026 7 www.camposabb.com
March 14, 2007
Bruce Fletcher
Director of Parks and Recreation
City of Tukwila
12424 42nd Avenue South
Tukwila, WA 98168
RE: Two future residential lots at 56xx S 133rd St, Tukwila, WA 98178, File No. C7 -0205,
Thomas Brothers Map 655 -G2, Census Tract #262.00, Section 14, Township 23 N,
Range 04 E, W. M.
Dear Bruce Fletcher,
Per our discussion I have completed the attached appraisal in summary report format of the
above referenced property. The objective of this appraisal is to provide an opinion of the Market
Value of the subject property under two scenarios: As Is individual lot values and bulk sale
value. These values are estimated as if owned in Fee Simple Estate for financing purposes.
The City of Tukwila is considering purchasing the two proposed residential lots to be used as a
future park. The 2 lots are part of an 8 lot short plat that is near completion. The two lots are
noted as Lot 7 and Lot 8 on the Todd Heistuman preliminary short plat map dated December
2003. They have lot sizes noted on this map of 6,563 and 6,500 sf respectively.
The appraisal is prepared in conformance with the Uniform Standards of Professional Appraisal
Practice (USPAP), typical banking appraisal standards, as well as requirements from the
Appraisal Institute.
The property is legally and physically described in the text of the attached report. Legal
description noted elsewhere in this report is from one of the last recorded deeds; it is for the
original entire tract of land that will become this short plat. No title report was reviewed. I have
no personal interest in the subject property. The appraisal report is intended to be an unbiased
document.
i;
14 Campus Appraisals. Inc. C7 -0205
The subject two single family building sites have all public utilities available. They are accessed
from S 133rd St. Both of the subject sites have river frontage on the Duwamish River and also
have views of the Foster Golf course. There is currently a 1917 house located approximately
where proposed lot 4 is. This house will be removed as part of constructing the short plat. I
viewed the property on March 14, 2007 which included a walk on site. Todd Heistuman was on
site at the time and I spoke with him about the subject lots and plat.
The following pages provide the necessary items to comply with the USPAP requirements for
this report type. In the addendum there are additional photographs of the subject property and
land comparables, and my qualifications.
Based upon my investigation and analysis, as detailed in this report, I have formed the following
Market Value opinions as of March 14, 2007:
AS IS
L 7 ONE HUNDRED NINETY THOUSAND DOLLARS $190,000 March 14, 2007
Lot 8 TWO HUNDRED FIFTEEN THOUSAND DOLLARS $215,000 March 14, 2007
AS IS BULK VALUE
H REE HUNDRED EIGHTY FIVE THOUSAND DOLLARS
$385,000
March 14, 2007
If you have any questions or require further investigation, please call Marc Campos at
425- 775 -1750.
Respectfully submitted,
9 Cevneea-
Marcos E. Campos, MAI, SRA
State Certified- General Real Estate Appraiser
1100850
Campos Appraisals. Inc. C7 -0205 15
Appraisal Summary Report
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LIMINAR SHORT PLAT MAP
Subject is Lots 7 and 8
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Community Affairs Parks Committee Minutes April 24. 2007 Pape 3
Questions were raised about flexibility on ratio calculation; providing dev to er e p s with some level
of predictability; holding the City to a higher standard than the State in reference to acreage
verses quality /functionality; and buying credits rather than measuring acreage and DCD
determining those credits
Committee members recommended that staff clarify some of the proposed amendment language
regarding regulatory agencies in addition to discussing this with the full Council.
FORWARD TO MAY 14 COW FOR DISCUSSION.
C. Mini Park Acquisition at 56XX S. 133rd
Bruce provided a brief overview of the history of the property acquisition in question which has
previously come before the Community Affairs and Parks Committee as well as the COW.
In 2004, Todd Heistuman and Eric Reinhardt, property owners of said land, offered to donate
one -half of the purchase price of the property, which was then valued at $150,000. Staff secured
$75,000 in funding from the King County Conservation Futures Grant allowing the City to
purchase the land.
Due to delays, the land was not purchased. Since 2004, the market value of the property has
increased substantially, and is currently valued at $385,000. Todd and Eric are now ready to sell,
and have expressed continued interest in donating one -half of the purchase price of the property.
Unfortunately, the City only has $75,000 of grant funds budgeted for the purchase, leaving an
additional $117,500 of the price unfunded. The City would need to appropriate a total of
$117,500 in order to acquire the land. Staff is seeking an appropriation recommendation from the
Committee to purchase the property.
The Committee believes that this is a policy decision that requires discussion among the entire
Council. Todd and Eric may bring additional information regarding purchase options to the
COW. FORWARD TO MAY 14 COW FOR DISCUSSION.
D. Update on Comp Plan Amendments
Due to DCD director transitioning, Jack Pace, Acting DCD Director will provide an update on Comp
Plan Amendments within two months.
INFORMATION ONLY.
E. 2007 First Ouarter Report
The Committee did not have comments regarding the 2007 First Quarter Reports. Bruce stated that the
scope of work has been released for the Parks Plan, and he will be bringing it to the next Community
Affairs and Parks Committee meeting. Jack shared that DCD is working with Parks and Recreation on
the Walk and Roll program, and that they are preparing for a very busy summer. INFORMATION
ONLY.
III. ANNOUNCEMENTS
IV. MISCELLANEOUS
Meeting adjourned at 6:32p.m.
Next meeting: Tuesday, May 15, 2007 5:00 p.m. Conference Room 3
Committee Chair Approval
Minutes by KAM.