Did you know this “Authorizing the acceptance of an assignment of an Offer to Purchase from Treysta Group, LLC for the purchase of property located at 3618-3630 Milwaukee Street.” means we are spending $1,250,000 on what?
WHAT ARE WE BUYING
Ah, two parcels of land between the East Transfer point/Swiss Colony property and the Voit Farm.
Most people opening this document probably wouldn’t figure it out, but once you figure it out its obvious.
HOW MUCH ARE WE BUYING IT FOR?
The fiscal note is here:
Funding in the amount of $1,250,000 ($1,200,000 purchase price and $50,000 for costs associated with the purchase of the Property including a Phase 1 and/or Phase 2 Environmental Site Assessment(s), an appraisal, an ALTA survey, proration of real estate taxes and other miscellaneous closing costs) is authorized to be used from the General Land Acquisition Fund (Munis:10772). The current balance in the General Land Acquisition Fund is $1,934,865.07. After the purchase of the former Griff’s property ($469,000) and Mt. Olive Residence ($210,000) are reflected in the financial system, the balance will be $1,255,865.07. The purchase approved through this resolution will reduce the balance to an estimated $5,865.07.
ARE WE PAYING TOO MUCH
What I really want to know is if we are paying too much? How much is that per acre? How big are the parcels? From reading the resolution I can see they haven’t done an appraisal.
3618 Milwaukee St is assessed at $499,500 – 221,930 sq ft (a little over 5 acres)
3630 Milwaukee St. is assessed at $293,000 – 130,375 sq ft (short of 3 acres)
So, why are we paying $1,200,000 for property assessed at $792,500, or over $400,000 over the assessed price? $150,000 per acre? For property assessed at $100,000/acre? I understand why the land is important but I haven’t heard a lot of discussion about what we have planned for this area.
CONCLUSION
Not sure. Need more info.
