Agenda Item Name:
Title
Budget Inn Acquisition Due Diligence
End
Presenter:
Ramon D. Gavarrete, P.E. and Claudia Tuck, LCSW
Description:
Request Board direction regarding findings and costs discovered in property due diligence
Recommended Action:
Recommended Action
That the Board approve one of the following three options: (1) direct staff to proceed with the acquisition of the Budget Inn pursuant to the terms and conditions of the Option Contract and approve the budget amendment; (2) Authorize staff to re-negotiate the Purchase Price with the Seller to be the average of the two appraisals ($2,162,500), authorize the Chair to sign the attached Amendment to Contract that revises the purchase price to be $2,162,500, and authorize the County Manager to close the transaction provided that the cost of the work to remove a possible underground tank does not to exceed $25,000.00 and the cost to construct fire, life-safety and accessibility improvements does not exceed $200,000.00; or (3) determine that the property is not suitable for the County's intended use based on the current condition of the property and direct staff to terminate Option Contract.
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Prior Board Motions:
October 6, 2020 and November 10, 2020
Fiscal Consideration:
Fiscal Consideration
Estimated cost of updating the fire safety system is $117,000.00, plus any additional costs disclosed by the life safety inspection to be performed by the Alachua County Building Department and the Fire Marshal. Addition of fire hydrant is not included in the estimated cost. Cost of removing or collapsing a possible septic tank on the back portion of the property could cost up to $25,000.00. At its November 10, 2020 meeting the Board approved a budget amendment for funding this acquisition in the amount of $2,361,705. The budget amendment was proposed to be funded with General Fund Reserves. Attach is a budget amendment in the amount of $138,295.00 that will bring the total amount to $2,500,000...
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