FROM:
Development Services
SUBJECT:
Title
Option and Purchase and Sale Agreement for City owned property-14355 Foothill Blvd.
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RECOMMENDATION:
Recommendation
1. Approve the Option and Purchase and Sale Agreement in the amount of $265,000 with Ava Property Investments, LLC for city owned land located at 14355 Foothill Blvd, more specifically described as APN # 0230-051-03.
2. Authorize the City Manager to execute any documents necessary or appropriate to effectuate said approvals and/or agreement.
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COUNCIL GOALS:
• Provide a diverse range of housing types and levels of affordability while addressing homelessness in the community by construction of affordable high-quality multi-family housing.
• Promote economic development by pursuing business attraction, retention, and expansion.
DISCUSSION:
The City of Fontana acquired this parcel as part of the Foothill Boulevard widening project. The parcel, approximately 20,300 square feet, is located on the south side of Foothill Blvd, 300 feet east of Almond Avenue.
The property was deemed surplus in 2023. The only respondent to the notice was Ava Property Investments, LLC who seek to acquire the property for development. No project is included in this recommended action.
General Terms of Purchase:
• Option term expires on first anniversary of the Effective Date.
• The Purchase Price shall be $265,000.00, which was determined by a 3rd party appraisal commissioned by the City of Fontana.
• Buyer shall gain approval of a development project for the property prior to exercising the option to purchase.
Approval of the Option and Purchase Agreement and a successful close of escrow on the subject property will provide an opportunity for the development of new housing units in the city while also removing the burden of annual upkeep and maintenance of the property from the city.
FISCAL IMPACT:
This transaction will result in sale proceeds to the city in the amount of $265,000.00 upon the completion of the sale.
MOTION:
Approve staff recommendation.