REPORT TO CITY COUNCIL
To:Honorable Mayor and Members of the City Council
From:Jason Simpson, City Manager
Prepared by:Shannon Buckley, Assistant City Manager
Date:June 10, 2025
Subject:Vacant Land Purchase Agreement and Joint Escrow Instructions for Acquisition of Real Property: APN 377-231-040
Recommendation
Approve the Vacant Land Purchase Agreement and Joint Escrow Instructions, including Seller’s Counter Offer No. 1 and other related standard forms (the “Agreement”) in substantially the form attached, and confirm that the City Manager and Assistant City Manager are authorized to execute the Agreement in such final form as approved by the City Attorney and direct the City Manager to execute such other documents necessary to complete the transaction, including but not limited to, the Certificate of Acceptance.
Background
Following a closed session meeting on June 27, 2023, staff began negotiations to acquire an unimproved 1.03 acres (APN 377-231-040) located next to the current City Yard on Langstaff Street (the “Property”). The proposed acquisition would enable the expansion of the City Maintenance Facility.
Discussion
Based on that direction and in accordance with applicable law, City staff engaged in good-faith negotiations with the property owners, albeit that such negotiations have been off and on.
Recently, the parties reached an agreed-upon purchase price of $440,000.00, subject to approval by the City Council.
The negotiations are evidenced by the attached Agreement and related documents outlining the price and terms of payment for the City’s acquisition of the property. The Seller may want to conduct a 1031 property exchange, and the City is to cooperate at no additional cost to the City.
The Seller is required to deliver a clear title at closing.
Acquisition of Real Property
Escrow fees will be paid equally by the City and the Seller, and other costs shall be paid as is customary in real estate transactions in Riverside County. The acquisition of the Property will provide a public benefit by expanding parking at the City Maintenance Facility.
Fiscal Impact
The funding for the acquisition will come from the Fund 500 budget for property acquisition, amounting to $440,000.00.
Attachments
Attachment 1- Vicinity Map
Attachment 2 - Vacant Land Purchase Agreement and Joint Escrow Instructions City Manager's Office