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File #: 971987    Version:
Type: Resolution Status: Passed
File created: 4/7/1998 In control: ZONING, NEIGHBORHOODS & DEVELOPMENT COMMITTEE
On agenda: Final action: 5/5/1998
Effective date:    
Title: Substitute resolution accepting an unsolicited offer from New Land Enterprises to purchase the unimproved and vacated street right-of-way at the northwest corner of East Lyon and North Van Buren Streets for assemblage with its adjoining property and the development of 45 condominiums.
Sponsors: ALD. D'AMATO, ALD. HENNINGSEN
Indexes: PROPERTY SALES
NUMB:
971987
VERS:
SUBSTITUTE 1
REF:
971816
XXBY:
ALD. D'AMATO AND HENNINGSEN
TITL:
Substitute resolution accepting an unsolicited offer from New Land Enterprises to purchase the unimproved and vacated street right-of-way at the northwest corner of East Lyon and North Van Buren Streets for assemblage with its adjoining property and the development of 45 condominiums.
ANLS:
- Analysis -
 
This substitute resolution authorizes the sale of vacated right-of-way to create a buildable parcel for condominium development in the Park East Redevelopment Project Area.
BODY:
Whereas, The City of Milwaukee ("City"), in Common Council File No. 951592 adopted on June 4, 1996, approved vacation of excess street right-of-way of irregular shape containing approximately 8,843 square feet of land at the northwest corner of East Lyon and North Van Buren Streets, title to which reverted to the City; and
 
Whereas, The City, in Common Council File No. 971816 adopted on March 20, 1998, approved vacation of an unimproved right-turn bypass containing approximately 1,500 square feet of land at the northwest corner of East Lyon and North Van Buren Streets, title to which reverted to the City; and
 
Whereas, The property owner abutting these vacated remnants, New Land Enterprises, has tendered a $50,000 offer to purchase and assemble the site for the construction of 45 condominiums to be priced from $150,000 to $285,000, provided that the City deliver environmentally clean land at closing and without title encumbrances of any kind from the Department of Natural Resources; and
 
Whereas, The Department of City Development ("DCD") has reviewed preliminary site and building plans, the development budget and developer's schedule, and determined that the proposed project appears feasible and conforms with the Redevelopment Authority of the City of Milwaukee's ("Authority") Plan for the Park East Area; and
 
Whereas, The DCD and the Authority have assisted the developer with obtaining Board of Zoning Appeals approvals, shared in the cost of environmental investigation, and undertaken removal of a leaking underground storage tank during the due diligence phase; and
 
Whereas, The DCD recommends acceptance of this unsolicited offer to purchase and develop the property received from New Land Enterprises because it represents adequate compensation, at two times the present assessment, and because such assemblage of land represents the best opportunity for the City in terms of density of appropriate development and the corresponding level of taxable investment to be made, in this case over $8 million; and
 
Whereas, The City Plan Commission considered disposition of the subject property at its meeting on April 20, 1998, and determined that the land is surplus to the City's needs; now, therefore, be it
 
Resolved, By the Common Council of the City of Milwaukee that the offer to purchase submitted by New Land Enterprises in the amount of $50,000 is accepted; and, be it
 
Further Resolved, That as a condition precedent to closing, the buyer shall be required to:
 
1. Obtain the Authority's review and approval of final site and building plans.
 
2. Deliver evidence of title to the abutting property, or in the alternative, demonstrate site control in the form of a valid and legally binding contract to purchase same.
 
3. Present firm financing commitments from a bona fide lender and satisfactory evidence of cash equity for the development; and, be it
 
Further Resolved, That the proceeds from this sale shall be credited to an account designated by the City Comptroller, net of reimbursement to the Authority for its advance of Phase 2 site assessment and underground storage tank removal funds; and, be it
 
Further Resolved, That any State of Wisconsin PECFA reimbursement received by the City shall be credited to the Authority in consideration of funds it advanced to accomplish soil and groundwater remediation at the property.
ZDPT:
 
DFTR:
DCD/GS
04/17/98