Discussion and possible action to: (a) authorize the sale of land located at 15814 North 83rd Avenue (APN# 200-53-629); and (b) approve a Development Agreement and an associated Real Estate Purchase Agreement with Dromedary CC, LLC.

The City of Peoria and Dromedary CC, LLC, have been in discussions since the RFP process in October 2022 to support increasing office inventory as part of an economic development strategy for office attraction and job creation.

The property will be purchased by Dromedary, LLC, the developer, to build small office product with a minimum of 20,000 SF, to accommodate multi-tenants with smaller office needs. This economic development project will provide inventory and enhance the corner of 83rd Avenue and Mariners Way.

The Property will be purchased from the City for the appraised value of $980,000, as determined by the appraisal completed on January 26, 2023, and as set forth in Section 8 of the Real Estate Purchase Agreement (Exhibit A). Opening of Escrow will occur within 30 days from a fully executed Development Agreement and associated Real Estate Purchase Agreement, and Buyers Earnest Money deposit of $49,000.

Upon City Council approval of this land sale, staff will work with the buyer to finalize the purchase agreement and complete all transactions as contemplated within the agreement.

• February 16, 2016 – Council Executive Session to commission an appraisal and title report for the property.
• March 30, 2016 – City completed appraisal.
• April 19, 2016 - Council Executive Session
• April 26, 2016 – City requested to purchase the property.
• June 21, 2016 – City Council requesting authorization to purchase the property.
• June 29, 2016 – City purchased property.
• December 14, 2016 – City completed appraisal.
• August 6, 2019 – City commissioned a title report.
• October 7, 2019 – City completed appraisal.
• January 26, 2023 – City completed appraisal.

Staff recommends that the Mayor and City Council authorize the sale of the property described in the attached Real Estate Purchase Agreement. Once the Development Agreement and Real Estate Purchase Agreement is complete, authorize the City Manager to negotiate additional terms deemed necessary and sign any documents necessary to complete the sale.

If approved, the sale price of $980,000 is to be deposited into the Half Cent Sales Tax Fund.