Broward County Commission Regular Meeting
Director's Name: Leonard Vialpando
Department: Public Works and Environmental Services
Division: Real Property and Real Estate Development
Information
Requested Action
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A. MOTION TO APPROVE Purchase and Sale Agreement between Broward County, as purchaser, and 2150 NE 7th Ave LLC, as seller, for the purchase of real property consisting of approximately 4.50 acres, located at 2150-2152 Northeast 7 Avenue, Dania Beach, for a purchase price of $3.5M per acre; authorize the Mayor or Vice-Mayor to execute the agreement and the County Administrator to attest to same; and authorize the Director of Housing and Urban Planning Division to execute and process all customary closing title documents. (Commission District 6)
B. MOTION TO ADOPT budget Resolution transferring funds from reserve within the Port Everglades Capital Fund from in the amount of $17,000,000, for the purpose of funding the purchase of real property including all closing costs. (Commission District 6)
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Why Action is Necessary
Approval of the Board of County Commissioners is required for the purchase of real property. Transferring funds from reserve requires approval of the Board of County Commissioners.
What Action Accomplishes
Approves the purchase of real property for use by Port Everglades. This action appropriates one-time funds from reserve for the purchase of land including closing costs.
Goal Related Icon(s)
☐County Commission
☐Go Green
☐MAP Broward
Previous Action Taken
None taken.
Summary Explanation/Background
THE PUBLIC WORKS AND ENVIRONMENTAL SERVICES DEPARTMENT, THE REAL PROPERTY AND REAL ESTATE DEVELOPMENT DIVISION, AND PORT EVERGLADES DEPARTMENT RECOMMEND APPROVAL OF THE ABOVE MOTIONS.
Broward County is acquiring a portion of the property located at 2150-2152 Northeast 7 Avenue, Dania Beach, identified by folio number 5042-26-38-0020, and consisting of approximately 9.69 acres. The County will acquire approximately 4.50 acres (subject to final survey) at a purchase price of $3,500,000 per acre, for an approximate total of $15,750,000 (4.50 acres), subject to final surveyed acreage, plus typical closing costs. The Purchase and Sale Agreement (“Agreement”) does not require a deposit from the County. The Agreement is contingent upon the County receiving satisfactory access to the property, including any required access and/or utility easements. The Agreement requires the Seller to provide any environmental reports, building condition reports, plans and specifications for the property in Seller’s possession within ten days after execution, and to remove all existing storage tanks from the property prior to the closing.
The Agreement includes a 30-day due diligence period, during which the County will, at its sole cost and expense, obtain a survey and conduct inspections, including an environmental assessment. The County has the right to terminate the Agreement as provided therein, including, among others, the right to terminate for any reason during the due diligence period or if the Seller defaults or fails to fail to provide clear title. The closing shall occur within ten business days following the completion of the due diligence period including any extensions thereof and any applicable cure periods.
Pursuant to Section 125.355(1)(b), Florida Statutes and Section 6.122(k) of the Broward County Administrative Code, two independent appraisals of the parcels were obtained. In accordance with Section 6.122(k), because the proposed purchase price exceeds the average value of the two appraisals by more than 10%, an extraordinary vote of the Board is required to approve the acquisition.
The Agreement (Exhibit 1) is being finalized and will be distributed as additional material prior to the Commission meeting.
All documents have been reviewed and approved as to legal sufficiency by the Office of the County Attorney.
Source of Additional Information
Darby P. Delsalle, AICP, Director, Housing and Urban Planning Division (954) 357-9792.
Fiscal Impact
Fiscal Impact/Cost Summary
This action transfers $17 million from the Port Everglades capital fund reserve to purchase the property including all closing costs.