Drafter
Clerk 06/08/2006
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AN ORDINANCE authorizing the sale of four parcels of surplus county-owned real property located in council districts 1, 5 and 7.
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STATEMENT OF FACTS.
A. King County holds in trust four parcels of surplus "tax title" property.
B. King County acquired the subject properties as a result of the annual foreclosure sale for delinquent real property taxes. The properties are held in trust until such time as they are sold.
C. Notices of the pending declaration that the subject projects were surplus to the county's needs were sent to county departments and none expressed an interest in owning the properties.
D. The facilities management division has declared the four properties surplus to the county's present and foreseeable needs.
E. The various cities were notified regarding the county's plan to surplus and sell the properties.
F. Parcels 1 and 2 are commercially zoned, parcel 4 has no sewer available at this time; parcel 3 is designated as an open space parcel; therefore they are not suitable for affordable housing under the Growth Management Act.
G. Pursuant to K.C.C. 4.56.140, the county may dispose of county property to another governmental agency by negotiation, upon such terms as may be agreed upon and for such consideration as may be deemed by the county to be adequate.
H. Under K.C.C. 4.56.070, when no county department or governmental agency has expressed a need for surplus real property and the property does not meet the criteria for affordable housing, the property may be declared surplus to the future foreseeable needs of the county and offered for sale. Such property may be sold through a direct negotiated sale if unique circumstances exist that make a direct negotiated sale in the best interests of the public under K.C.C. 4.56.100.
I.1. Unique circumstances make a direct sale of parcel 1 in the best interests of the public. The unique circumstances include:
a. Parcel 1 is a seven-thousand-two-hundred-seventy-one-square-foot alleyway located in Northgate, on the west side of 8th Avenue NE and south of Northgate Way. The property is twenty-four feet wide and is encumbered by numerous easements for sewers and other utilities;
b. The sewer installed in the parcel is an eight-inch sewer main, with two manholes located on the parcel, that conveys wastewater from the adjacent parcels;
c. Parcel 1 is physically segregated from other adjacent property by grade, fencing and jersey barriers.
d. Due to the small size and narrow configuration of the parcel, and the burden of the utility easements, it is not practical to build on the property due to the physical characteristics of the property and legal restrictions on construction activities on the property;
e. King County received a bid to purchase parcel 1 from the owner of adjacent property. The proposed purchaser has used the parcel as an access road to its property;
f. The proposed purchaser has a Master Use Permit application in review by the city of Seattle (application No. 3002984) to build two hundred to four hundred seventy-five residential units or an all retail development. Parcel 1 would provide access to this development; and
g. The offer by the proposed buyer is more than the appraised value of the parcel.
2. Due to the unique circumstances described in subsection I.1. of this statement of facts, the council finds and determines that it is in the best interest of the public to sell parcel 1 by direct negotiated sale as authorized by K.C.C. 4.56.100.
J. The county completed direct negotiation with the city of Auburn for the sale of parcel 2 directly to the city as authorized under K.C.C. 4.56.140.
K. The county completed direct negotiation with the city of Algona for the sale of parcel 3 directly to the city as authorized under K.C.C. 4.56.140.
BE IT ORDAINED BY THE COUNCIL OF KING COUNTY:
SECTION 1. A. The King County council finds and determines that unique circumstances exist that make the direct negotiated sale of parcel 1 to be in the best interests of the public. The King County executive is hereby authorized to execute the necessary documents to sell surplus parcel 1 by direct negotiated sale to the adjacent property owner.
B. The executive is hereby authorized to execute the necessary documents to sell surplus parcels 2 and 3 to the city of Auburn and the city of Algona, respectively.
C. In the event that a sale is not successfully concluded on parcels 1, 2, or 3, the executive is authorized to offer that parcel for sale by public sealed bid.
D. The executive is hereby authorized to execute the necessary documents and take the necessary actions to sell parcel 4 by public sealed bid.
SECTION 2. All parcels offered for sale by public sealed bid will be offered with the asking price being within range of the below-stated values. The actual sales price shall be deemed "acceptable" based on the asking price established at the time of sale. King County reserves the right to reject any and all offers.
PARCEL PROPERTY NAME / TAX ACCT. NO. LISTED VALUE
1 Northgate $72,000
292604-9454
2 Auburn $180,000
132104-9104
3 Algona $24,956
362104-9002
4 S 132nd St. $20,000