The Empire Parking Garage will have retail/office units available for sale.  In a separate action, staff is requesting that City Council approve a contract with Michael Walker, NAI Business Properties, to market the units on behalf of the city.  If the marketing is successful and a purchase offer is written, the attached resolution would allow the City Administrator to approve it or to negotiate to a final deal.  This action is requested because the lead-time for action by the Council is 2-3 weeks, which makes for a difficult property sale negotiation.     

The City Council may approve the resolution or not approve it.  If the Council declines to adopt the resolution, each offer and counteroffer will be submitted to the City Council.  This will make property sale negotiations slow and more difficult.  If the Council approves the Resolution, the City Administrator will be permitted to negotiate and approve the property sale and to execute the necessary documents to sell the property.  Staff will inform Council when units are sold and their sale price. 

The project budget anticipates earning at least $500,000 from the property sale. A higher net price will decrease the amount of FY 2014 and FY 2015 Tax Increment funds that are needed for the project.

Staff recommends that the City Council approve the Resolution that authorizes the City Administrator to negotiate the sale of the Empire Parking Garage retail units and to execute necessary documents.