Title
Resolution Authorizing Purchase of Property Located at 2300 Huffine Mill Road in Exchange for Borrow From City Remnant Property at 2350 Huffine Mill Road
Body
Department: Engineering & Inspections
Council District: 2
Public Hearing: N/A
Advertising Date/By N/A:
Contact 1 and Phone: Kenney McDowell 373-2302
Contact 2 and Phone: Ted Partrick 373-2308
PURPOSE:
Council approval is requested for the acquisition of the property at 2300 Huffine Mill Road and for the sale of borrow material at City property at 2350 Huffine Mill Road.
BACKGROUND:
The NCDOT has begun the construction of the Eastern Loop of I-85 in the vicinity of the T. Z. Osborne facility on Huffine Mill Road. In 2014, Council approved the sale of land for right-of-way for the Loop where it crosses the City facility. That sale of the land created a land-locked remnant portion on the west side of the loop and across the loop from the current facility. The sale price included compensation for the damage to the remnant portion. The latest appraisal for the remnant is $4,050.
The contractor performing the grading for the NCDOT is Flatiron/Blythe Development, AJV. They approached the City with a request to purchase borrow (excavated soil) to use for filling in the new grade for the adjacent loop and bridge structure. The borrow would be taken from the City's remnant property and is estimated to be approximately 250,000 cubic yards of soil. Following removal of the borrow, the site would be graded to drain to the existing natural drainage features at the edge of the property and planted per NCDNER requirements. Discussion between the contractor and staff revealed that the contractor was purchasing an adjacent property between the City's remnant and Huffine Mill Road for the purpose of taking borrow from that site. Staff proposed exchanging the borrow from the City's site for the title to the Huffine Mill Road property, and Flatiron/Blythe accepted the proposal.
The City's remnant site is approximately 24.746 acres of undeveloped vacant land with no road frontage. The Huffine Mill Road site, which has been purchased by Flatiron/Blythe, includes approximately 9.579 Acres and has 215 feet of road frontage. The frontage, which is adjacent to the new Huffine Mill Road/I-485 Urban Loop interchange, will provide full access to the combined sites. The new combined site will be approximately 34.325 Acres with access to the new interchange.
An engineer's estimate of the amount of borrow available on the City site is 250,000 cubic yard. The purchase price for the Huffine Mill Road property was $66,000. Flatiron/Blythe and staff have agreed that the value of the borrow will have a nominal value of $0.26 per cubic yard. If 250,000 CY of borrow cannot be obtained from the site, the City will pay Flatiron/Blythe $0.26/CY for the difference
BUDGET IMPACT:
Funding in the amount of $66,000 is available in Water Resources Capital Projects fund account 503-7024-02.6011 A15037. Funds will only be spent if Flatiron/Blythe is not able to take all the 250,000 CY of borrow from the site. It is anticipated by the Engineering & Inspections Department that no funds will be required.
RECOMMENDATION / ACTION REQUESTED:
Engineering & Inspections recommends approval to acquire the property at 2300 Huffine Mill Road in exchange for borrow from City remnant property at 2350 Huffine Mill Road.