Loading...
HomeMy WebLinkAbout13305e 'S ORDINANCE NO. 13,305 AN ORDINANCE AUTHORIZING THE CITY MANAGER TO NEGOTIATE FOR THE PURCHASE OF CERTAIN REAL PROPERTY IN THE CITY OF LITTLE ROCK OWNED BY COMMONWEALTH FEDERAL SAVINGS AND LOAN ASSOCI- ATION SITUATED IN BLOCK 103 ORIGINAL CITY, TO BE USED IN PROVIDING TOURIST MEETING AND ENTERTAINMENT FACILITIES; AND FOR OTHER PURPOSES BE IT ORDAINED BY THE BOARD OF DIRECTORS OF THE CITY OF LITTLE ROCK, ARKANSAS. SECTION 1. The City Manager is hereby authorized, acting for and on behalf of the City of Little Rock to negotiate with Commonwealth Federal Savings and Loan Association for the purchase of fee simple title to the following described parcels of real property situated in Little Rock, Pulaski County, Arkansas to be used for the public purpose of providing tourist meeting and entertainment facilities as authorized by law: Lots 7, 8 and 9, and the South 30 feet of Lot 10, Block 103, Original City of Little Rock. SECTION 2. In his negotiations for the acquisition of the property herein described, the City Manager is authorized to present an Offer to Purchase containing the following terms and conditions: 1. The City will agree to pay a total price of $1,100, 000 for the Association's property at the northwest corner of Fourth and Spring Streets in Little Rock. 2. To accomplish the acquisition, the City will first acquire through eminent domain proceedings the property at the southwest corner of Capitol Avenue and Broadway. This location is the only location suitable to Commonwealth Federal for a new headquarters facility. It is not possible to negotiate the acquisition by a voluntary conveyance of the Capitol Avenue and Broadway property; however, the City can condemn the property pursuant to its eminent domain power, paying a just compensation therefor. Based upon the large number of transactions in the area, we are advised by professional appraisers that a value of $20.00 per square foot is well established at this location. Therefore, we would anticipate that the property could be acquired through eminent domain for a value of approximately $525,000. 3. Following acquisition of the southwest corner of Capitol . Avenue and Broadway, the City will exchange this property to Commonwealth Federal Savings & Loan in return for a fractional undivided interest in the Commonwealth Federal -2- property at the northwest corner of Fourth and Spring Streets. The amount of such undivided interest shall be determined by a fraction, the numerator of which being the cost to the City of the Capitol Avenue and Broadway property and the denominator of which being $1,100, 000. 4. Commonwealth Federal will have possession of its existing property at Fourth and Spring Streets and of the newly acquired property at Capitol Avenue and Broadway for a period adequate to allow construction of new facilities at the Capitol and Broadway property (not anticipated to exceed 21 months). 5. As soon as Commonwealth Federal has completed construction of its new quarters at Capitol Avenue and Broadway and is prepared to deliver possession to the City of the property at Fourth & Spring Streets, the City will pay to Commonwealth Federal the difference between $1, 100, 000 and the cost to the City of the Capitol Avenue and Broadway property acquired pursuant to the eminent domain proceedings. An additional sum of $2, 625 shall be deducted from the amount paid to Commonwealth Federal by the City for each month Commonwealth Federal remains in possession of the Fourth and Spring property following delivery of title of the Capitol and Broadway property to Commonwealth. 6. All attached fixtures and special purpose equipment in the Commonwealth property will remain with the property, and Commonwealth Federal will then convey to the City its remaining undivided interest in the property at Fourth and Spring. 7. In the event the Capitol Avenue and Broadway property cannot be acquired by eminent domain by the City, the agreement with Commonwealth Federal shall be void and neither party shall have any rights or liabilities against the other by reason of the contract. SECTION 3. If the offer to purchase herein authorized is accepted by Commonwealth Federal Savings and Loan Association, the City Manager is author- ized to proceed to consummate the sale consistent with the conditions herein set forth and to execute for and on behalf of the City such documents as may be required to effectuate the purchase. SECTION 4. This Ordinance shall be in full force and effect from and after its passage. PASSED: July 19., 1977 ATTEST: —CLZ---4 V-Uity ler PPP