I. RECOMMENDATION:
The City Manager recommends approval of Resolution No. SA-331 approving the Purchase and Sale Agreement ("PSA") between the Successor Agency to the former Redevelopment Agency of the City of Coalinga ("Successor Agency"), as seller, and and Slayer American Inc. ("Purchaser"), as buyer, for disposition of 657 and 667 E. Elm Avenue ("Property"), Property No. 12 of the Successor Agency's Long Range Property Management Plan ("LRPMP").
The Council has given direction to accept this PSA for sale of the Property. The City Attorney recommends that the attached contract be ratified.
II. BACKGROUND:
The City previously entered escrow on a sale of the Property, however the prior buyer failed to send the money to the title company necessary for closing and the transaction was subsequently cancelled. The offer from the current buyer, Slayer American Inc. was then accepted.
III. DISCUSSION:
The Purchaser desires to acquire the Property. Per the Dissolution Law, the Successor Agency must either submit the net proceeds of the sale to the County Auditor-Controller for distribution to the affected taxing entities, including the City of Coalinga, or spend the proceeds on recognized enforceable obligations. Under the term of the PSA, the Purchaser will acquire the Purchaser will acquire the Property from the Successor Agency for three hundred, twenty-five thousand dollars ($325,000) all cash with a ten thousand dollar ($10,000) deposit. Escrow is set to close 150 days after acceptance of the offer which was August 14, 2019.
IV. ALTERNATIVES:
Do not approve Resolution No. SA-331.
V. FISCAL IMPACT:
Net proceeds of the sale of the property will be submitted to the County Auditor-Controller for distribution to the affected taxing entities, including the City of Coalinga. | | |