ADMINISTRATIVE REPORT
Date: June 2, 2004
Author/Local: Linda Kemp/7426
RTS No. 4311
CC File No. 5102
Meeting Date: June 22, 2004
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TO: |
Vancouver City Council |
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FROM: |
Director of Real Estate Services |
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SUBJECT: |
Sale of CD-1 (Residential) Lot - 5464 Ormidale Street |
RECOMMENDATION
THAT Council accept the Offer to Purchase the City-owned property at 5464 Ormidale Street, legally described as PID: 013-361-899 Lot 29, Block 6, District Lots 36 and 49, Plan 2889, from Mehsem Holding Ltd. in the amount of $220,000.00 under the terms and conditions contained in the City's "Tender Form-Offer to Purchase" and this report. Funds to be credited to the Property Endowment Fund.
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 for the City-owned property at 5464 Ormidale Street (Appendix A).
BACKGROUND
The City has owned the subject property since 1915. The site is a approximately 33 feet x 105 feet and is encumbered with a 10 foot Greater Vancouver Sewerage and Drainage right of way along the northern length of the property. The lot had been leased to the Kingsway Ambulance Facility in 1987 and was subsequently assigned to the adjacent owner who in turn sub-leased to the Ambulance facility for their staff parking. The lease expired in 2003 and has been on a month-to-month holdover at $200 per month plus taxes since that time. It is felt that as the return on the property is low and the current real estate market is very strong that now would be a good time to sell the property as it is surplus to the City's needs.
PRESENT SITUATION
The property is zoned CD-1 (Comprehensive Development District) which effectively means the site can only be used for a single-family dwelling. The property was advertised for sale by tender in April and May 2004 in The Vancouver Sun, The Province and the Courier newspapers with the tender closing on May 18, 2004.
At the tender opening, only one offer for $192,000.00 was received. The offer was subsequently negotiated up to $220,000.00 from Mehsem Holding Ltd. The Director of Real Estate Services is of the opinion that the $220,000.00 offer represents current market value for the property and recommends this offer for acceptance.
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