7.2 SR 12-18-1995 - Laserfiche WebLink

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Cass Property Page 2 October 30, 1995 the $2586 per acre amount. This belief was in spite of the fact that Mr. Cass had offered the land to the city for $2650 per acre which was substantially lower than his original price of $3000 per acre. I was not successful in getting Mr. Cass to agree with our logic and accept the $2588 per acre amount, but I was successful in arranging an appropriate timing for payment of the property. Under the terms of the purchase agreement, the city will pay $10,000 earnest money in October (50 percent returnable if the project is not approved), an additional $50,000 at the end of December, 1995, and the balance of approximately $246,500 to be paid on March 15, 1996. The payment of the balance in March, with zero interest, will make the city a few thousand dollars based on the interest revenue we will derive from our investments on a quarter of a million dollars. Interest revenue for three months is roughly half the difference between the $2650 asking price and the $2586 average sales rate that was identified in the appraisal. In general terms, the city hopes to use approximately 25 acres of the site for the development of youth recreation fields and parking areas in the next few years. The fields would be located on the northwestern side of the property. This area is somewhat limited due to the location of the wetlands and the abandoned judicial ditch No. 1. Nonetheless, we should be able to get at least four soccer fields, four youth baseball fields, and parking space into this area. Also in 1996, we plan to designate approximately 40 acres of the site for WWTP sludge disposal. Due again to the location of the wetlands and the abandoned judicial ditch No. 1., 30 of this 40 acres would be usable for disposal of sludge. This area is located in the southwest part of the property. Once this area has been fully utilized for sludge disposal, the land would then become available for the development of recreation fields. This would happen in about 15 to 20 years. Finally, most of the balance of the property in the northeastern part of the site is proposed to be platted and put on the market for single family home sites. This area is less usable for sludge purposes or recreation field purposes, and it is believed that residential sites could be marketed and sold in order to recapture some of the original purchase price of the property. (Only the north central part of this future residential area could be used for recreation fields if the approach to market residential sites is rejected by the City Council.) The balance of the property, approximately 10 acres south and east of the recreation fields, would be retained by the city as wetlands. If this project moves forward, approximately eight recreational fields will immediately be developed. Additionally, sludge land is available for eight more fields in 15 to 20 years. Finally, there is sludge land immediately north of this site that also will have reached its maximum usage in 15 or 20 years that also could then be developed into recreation fields. This availability of land could give the city an active athletic complex of approximately 25 fields that could meet our long term needs as a community. Again, this area would