6.a.
TCEDC Agenda
- Meeting Date:
- 02/14/2024
- Title:
- property purchase within the Industrial Business District (GCAD ID 225440 and ID 225441).
- Submitted For:
- Kristin Edwards
- Submitted By:
- Kristin Edwards, Economic Development
- Department:
- Economic Development
ACTION REQUEST (Brief Summary)
Consider purchase of properties located within the Industrial Business District (GCAD ID 225440 and ID 225441).
BACKGROUND
The Texas City Economic Development Corporation (TCEDC) has historically purchased property located in the Industrial Business District – which cannot be used for residential or general retail purposes. The area is designated to support light industrial use.
TCEDC staff has been approached by a realtor representing Lamont Jackson, who owns two pieces of property in the IBD, one located at 112 9th Street South, and the other located at 118 9th Street South. The properties are listed as GCAD ID 225440 and 225441, respectively.
118 9th Street South - Considerations
A structure located on Mr. Lamont’s .09-acre property at 118 9th Street South was demolished due to unsafe conditions, with a total cost for the demolition of $10,900. Additionally, Mr. Lamont owes a total of $10,926.78 in delinquent taxes to Galveston County and the Texas City Independent School District. In addition to the taxes, the following costs totaling $1,123 are due:
To ‘Galveston County District Clerk’, the sum of $448.00;
To ‘Pearl Title Research’, the sum of $600.00; and
To ‘Linebarger Goggan Blair & Sampson, LLP’, the sum of $75.00.
In total, these costs come to $22,949.78. Given the TCEDC established price per square foot of $2.45/sf, the total conditional offer that would be made on the property would be $9,604.98. This amount would not cover the taxes owed on the property. If the property is not purchased by the TCEDC, it will likely go to public auction in the coming months.
112 9th Street South
Mr. Lamont owes only $621.51 in delinquent taxes on 112 9th Street. If he were to sell just this piece of property, he would also be responsible for the additional $1,123 in fees listed above.
With a conditional offer from the TCEDC of $2.45/sf, a total of $12,806.64, the payout to Mr. Lamont would be $11,062.13 for the sale of 112 9th Street South only. Jackson would be responsible for closing costs, and the delinquent taxes and fees owed in the amount of $1,744.51 would be deducted from the purchase price.
With Board approval, staff recommends a purchase of 112 9th Street South for the amount of $12,806.64.
Funding is available within the existing budget to purchase the property.
TCEDC staff has been approached by a realtor representing Lamont Jackson, who owns two pieces of property in the IBD, one located at 112 9th Street South, and the other located at 118 9th Street South. The properties are listed as GCAD ID 225440 and 225441, respectively.
118 9th Street South - Considerations
A structure located on Mr. Lamont’s .09-acre property at 118 9th Street South was demolished due to unsafe conditions, with a total cost for the demolition of $10,900. Additionally, Mr. Lamont owes a total of $10,926.78 in delinquent taxes to Galveston County and the Texas City Independent School District. In addition to the taxes, the following costs totaling $1,123 are due:
To ‘Galveston County District Clerk’, the sum of $448.00;
To ‘Pearl Title Research’, the sum of $600.00; and
To ‘Linebarger Goggan Blair & Sampson, LLP’, the sum of $75.00.
In total, these costs come to $22,949.78. Given the TCEDC established price per square foot of $2.45/sf, the total conditional offer that would be made on the property would be $9,604.98. This amount would not cover the taxes owed on the property. If the property is not purchased by the TCEDC, it will likely go to public auction in the coming months.
112 9th Street South
Mr. Lamont owes only $621.51 in delinquent taxes on 112 9th Street. If he were to sell just this piece of property, he would also be responsible for the additional $1,123 in fees listed above.
With a conditional offer from the TCEDC of $2.45/sf, a total of $12,806.64, the payout to Mr. Lamont would be $11,062.13 for the sale of 112 9th Street South only. Jackson would be responsible for closing costs, and the delinquent taxes and fees owed in the amount of $1,744.51 would be deducted from the purchase price.
With Board approval, staff recommends a purchase of 112 9th Street South for the amount of $12,806.64.
Funding is available within the existing budget to purchase the property.
ANALYSIS
Approve the purchase of one or more pieces of property located in the Industrial Business District (GCAD ID 225440 and ID 225441).