Discussion and possible action to: (a) authorize the acquisition of real property located at 8344 West Washington Street - APN 142-41-017A; and (b) approve a budget adjustment in the amount of $166,000 from contingency to the Economic Development Services Department’s operating budget.

The city seeks to acquire this 6,749 SF property located in Downtown Peoria to be used for city programming and/or potential development opportunities. City staff offered the property owner appraised value of $159,000 ($23.55/SF). The property owner has agreed to sell the property and execute a Real Estate Purchase Agreement (attached Exhibit A). Upon City Council approval of this purchase, staff will work with the seller to finalize the sale for a projected close of escrow in February 2026. Additional expenses include customary closing costs of $5,000, plus $2,000 for landscape and maintenance costs, which makes the total purchase price $166,000.

• December 6, 2025 – Appraisal received
• December 22, 2025 – Title Reports received

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

Staff recommends approving a $166,000 budget amendment from contingency to the Economic Development Services Department’s operating budget to cover the property acquisition cost of $159,000 plus customary closing costs of $5,000, and $2,000 for annual landscaping and maintenance costs.

The cost associated with the property acquisition totals $159,000 based on a recent appraisal, plus customary closing costs and landscaping/maintenance costs. If approved, acquisition will total $166,000.

This action is being paid for by available 1-time fund balance in the general fund over and above the required reserve.