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ITEM 8 |
City Council Memorandum Cultural Development Memo No.
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Date: |
May 13, 2021 |
To: |
Mayor and Council |
Thru: |
Joshua H. Wright, Acting City Manager Debra Stapleton, Assistant City Manager |
From: |
Kim Moyers, Cultural Development Director |
Subject: |
Resolution No. 5473 authorizing a Development Agreement between Specht Commercial Properties, LLC, and the City of Chandler for the sale and redevelopment of City-owned real property located at 51 E. Boston Street; and introduction and tentative adoption of Ordinance No. 4971, adopting the provisions of a Purchase Agreement between Specht Commercial Properties, LLC, and the City of Chandler for the sale of 51 E. Boston Street, and authorizing the City Manager to sign all related documents as approved by the City Attorney. |
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Proposed Motion: |
Resolution No. 5473 Move City Council pass and adopt Resolution No. 5473 adopting the provisions of a Development Agreement between Specht Commercial Properties, LLC, and the City of Chandler for the sale and redevelopment of City-owned real property located at 51 E. Boston Street. Ordinance No. 4971 Move City Council introduce and tentatively adopt Ordinance No. 4971, adopting the provisions of a Purchase Agreement between Specht Commercial Properties, LLC, and the City of Chandler for the sale of 51 E. Boston Street, and authorizing the City Manager to sign all related documents as approved by the City Attorney. |
Background: |
51 E. Boston Street is located in Downtown Chandler on the east side of Arizona Avenue. The property is currently vacant and owned by the City. On December 1, 2020, a Request for Proposal (RFP) was issued for 51 E. Boston Street. The RFP outlined preferred specifications including experience, financial strength, enhancement of the downtown community, and the ability to act as a destination driver. A total of 5 proposals were submitted and vetted through an evaluation committee. Staff brought the recommendations to City Council in an Executive Session on March 22, 2021. City Council directed staff to negotiate a Development Agreement with Specht Commercial Properties, LLC, for the sale of 51 E. Boston Street. Per the Development Agreement, Specht Commercial Properties, LLC, will purchase the property for the appraised value of $460,000 and must operate a live comedy entertainment venue that may include, but is not limited to, live performances, classes, training, and sales of food, beverages, and merchandise incidental to live comedy entertainment for a term of at least five years. Furthermore, Specht Commercial Properties, LLC, must complete all improvements and begin operation of its live comedy entertainment venue no later than December 31, 2021. |
Financial Implications: |
Specht Commercial Properties, LLC, will purchase 51 E. Boston Street for the appraised value of $460,000, the proceeds of which will be deposited in the General Fund, Sale of Property Account (101.0000.4620). |
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