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RESOLUTION Authorizing the City Manager, by Order of the City Council Pursuant to San Leandro Municipal Code section 1-6-105, to Purchase 777 Alvarado Street (APN 075 0155 009 00) and to Appropriate $300,000 from General Fund Reserves for the Purchase (provides for the purchase of 777 Alvarado Street and appropriation of $300,000 from General Fund Reserves)
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Recitals
WHEREAS, the City of San Leandro (the "City") is guarantor on a lease agreement for 777 Alvarado Street, APN 075 0155 009 00 (the "Property"); and
WHEREAS, the State Department of Finance objected to the lease guarantee on the Recognized Obligations Payment Schedule based on a determination that the Redevelopment Agency was not the sole Guarantor of the lease for 777 Alvarado Street, APN 075 0155 009 00; and
WHEREAS, the City does not wish to continue to incur costs of approximately $300,000 over the nine remaining years of the lease; and
WHEREAS, in accordance with the option to purchase provided by the Lease Agreement, the City was provided three broker opinions of value, of which the median value was $275,400; and
WHEREAS, the City desires to purchase the Property.
NOW, THEREFORE, the City Council of the City of San Leandro does RESOLVE as follows:
1. The recitals above are hereby true and correct and incorporated herein.
2. Pursuant to City of San Leandro Municipal Code section 1-6-105, the City Manager is hereby authorized and directed to negotiate the purchase of the Property and the drafting of a purchase and sale agreement for such sale, subject to approval of said agreement as to form by the City Attorney.
3. The City Council appropriates $300,000 from General Fund Economic Uncertainty Reserve for this purchase.