To:               Mayor and City Council

 

From:           City Staff

 

Subject:        Authorization to Negotiate Terms and Conditions for Acquisition or

                    Sale of Interest in Real Property Located at 401 Ocean Avenue

 

 

Introduction

The City holds a 50% future interest subject to a life estate in the two-story 5,800 square foot Craftsman-style residence and property located at 401 Ocean Avenue.  The approximately 22,470 square foot land parcel is zoned SMR4, permitting single and multiple family residential use.

 

Discussion

The City has received an unsolicited offer to purchase its 50% interest in the single family residential property by representatives of the remainder interest holder.  The City may consider the sale of its interest, or the acquisition of the remainder interest and use of the property for various public purposes, or withhold any action pending termination of the life estate.

 

If City Council authorizes staff to discuss possible sale or acquisition of the City’s interest with its owners or representatives, staff would return to Council for further authorization to acquire the remainder interest or sell its property interest on behalf of the City.

 

Recommendation

It is recommended that City Council authorize staff to open preliminary discussions with the owners or representatives of the 50% interest holder in real property located at 401 Ocean Avenue for its possible sale or remainder interest acquisition by the City.

 

 

Prepared by: Jeff Mathieu, Director of Resource Management

                     Mark Richter, City Real Estate Manager