ADMINISTRATIVE REPORT

Date: March 12, 2002
Author/Local:Karin Turnbull/7426

RTS No. 2590

CC File No. 5102

Council: March 26, 2002

TO:	Vancouver City Council
FROM:	Director of Real Estate Services
SUBJECT:	Sale of Residential Lot : 546 Prior Street

RECOMMENDATION

THAT Council accept the Offer to Purchase City-owned Lot F, Block 107, District Lot 196, Plan LMP45879 from Mate Construction Ltd. in the amount of $125,500, under the terms and conditions contained in the City's "Offer to Purchase" tender form, proceeds to be credited to the PEF.

GENERAL MANAGER'S COMMENTS

The General Manager of Corporate Services RECOMMENDS approval of the foregoing.

COUNCIL POLICY

The Vancouver Charter section 190(b) authorizes Council to dispose of City-owned property deemed to be surplus to the City's needs.

PURPOSE

The purpose of this report is to request Council approval to accept the offer to purchase City-owned property at 546 Prior Street (Appendix A).

BACKGROUND

The property was acquired by the City through Tax Sale on December 31, 1998. The condemned building on the property was demolished, leaving a vacant lot to be sold by Tender.

PRESENT SITUATION

The lot is zoned RT-3 (Two-Family Dwelling District) Strathcona/Kiwassa, and is held in the Property Endowment Fund. The lot is 25ft x 115 ft with no lane access located on a very busy part of Prior Street, in proximity of industrial lands of the False Creek Flats.

On May 13, 14 and 15, 2000, the lot was advertised for sale by tender with a tender closing of June 7, 2000. On the tender closing date no offers were received.

The property was advertised periodically and several offers were received, each of them being below market value; and one offer at $110,000 closer to market value. Then on March 5, 2002, an offer of $117,000 was presented by Stewart Real Estate Ltd. on behalf of Mate Construction Ltd. and Real Estate Services staff renegotiated the gross selling price to $125,500 with a commission of $2,500 to be paid to Stewart Real Estate Ltd. The offer had no subject conditions. The Director of Real Estate Services believes this offer to be representative of current market value in the area, and recommends this offer for acceptance.

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(c) 1998 City of Vancouver