11.I.
City Council Draft Agenda
- Meeting Date:
- 06/16/2026
- From:
- Bryce Doty, Real Estate Manager
TITLE:
Consideration and Adoption of Ordinance No. 2026-15: An ordinance of the City Council of the City of Flagstaff, authorizing the exchange of real property of substantially equal value with Leroux Retail, L.L.C.; providing for delegation of authority, repeal of conflicting ordinances severability, authority for clerical corrections, and establishing an effective date
STAFF RECOMMENDED ACTION:
At the June 16th Council Meeting:
1) Read Ordinance No. 2026-15 by title only for the first time
2) City Clerk reads Ordinance No. 2026-15 by title only (if approved above)
At the July 7th Council Meeting:
3) Read Ordinance No. 2026-15 by title only for the final time
4) City Clerk reads Ordinance No. 2026-15 by title only (if approved above)
5) Adopt Ordinance No. 2026-15
6) Approve Exchange Agreement
Executive Summary:
This ordinance authorizes an exchange of the North/South leg of the alley in Block 19 of Townsite of Flagstaff for real property which will create an East/West alley which will transect the entire block. Block 19 is bounded by Beaver to the West, Leroux St. to the East, Aspen to the South, and Birch St. to the North. The properties are of substantially equal value. A related Ordinance abandoning the City alley as public right of way is also on the agenda for consideration, a necessary step to enact the contemplated exchange.
Aligning the block's orientation to be more consistent with the rest of the Downtown alley system improves mobility and access throughout downtown. The property owner with whom the City is proposing to exchange with is currently seeking approval from the City for the construction of a hotel and parking garage. This exchange will also benefit access for the proposed development, but it is an exchange the City would pursue regardless of the proposed development. The proposed exchange benefits the adjacent development by providing better access to facilitate trash removal and the alignment of the proposed development's parking garage. The City is reserving an underground public utility easement within the City's exchange parcel, preventing the ability to build across the existing alley. The proposed exchange will not facilitate greater massing of the adjacent development than what could be achieved through the existing alley orientation.
A draft exchange agreement is currently attached for review. The final will be attached prior to the July 7th council meeting.
Aligning the block's orientation to be more consistent with the rest of the Downtown alley system improves mobility and access throughout downtown. The property owner with whom the City is proposing to exchange with is currently seeking approval from the City for the construction of a hotel and parking garage. This exchange will also benefit access for the proposed development, but it is an exchange the City would pursue regardless of the proposed development. The proposed exchange benefits the adjacent development by providing better access to facilitate trash removal and the alignment of the proposed development's parking garage. The City is reserving an underground public utility easement within the City's exchange parcel, preventing the ability to build across the existing alley. The proposed exchange will not facilitate greater massing of the adjacent development than what could be achieved through the existing alley orientation.
A draft exchange agreement is currently attached for review. The final will be attached prior to the July 7th council meeting.
Financial Impact:
None. The City alley will be exchanged for real property of substantially equal value at no cost to the City.
Policy Impact:
The exchange is consistent with policy.
Previous Council Decision or Community Discussion:
There have been no previous council decisions on this matter
Options and Alternatives to Recommended Action:
Do not approve the exchange. If the exchange is not approved, Council should also not approve the abandonment of the City alley to allow the existing alley configuration to remain.
Background and History:
The adjacent property owner has submitted a development application to construct a hotel and a parking garage. Through the development process, City Staff determined that an alley transecting the block from east to west would provide public benefit in addition to assisting the property owner's development. The property owner is amenable to exchanging the right of way necessary to create the east to west alley in exchange for the north to south leg of the existing alley.
Connection to PBB Priorities and Objectives:
Livable Community - Provide amenities and activities that support a healthy lifestyle.
Connection to Regional Plan:
Goal T.1. Improve mobility and access throughout the region.
Goal T.2. Improve transportation safety and efficiency for all modes.
Goal T.2. Improve transportation safety and efficiency for all modes.
Connection to Carbon Neutrality Plan:
DD-2: Create inclusive networks for walking and biking that are continuous, attractive, safe, comprehensive, and convenient for people of all ages.
Connection to 10-Year Housing Plan:
N/A