Title
Resolution Authorizing City Attorney to Institute Proceedings to Condemn a Portion of the Property of Kotis Holdings, LLC Located at 1302 and 1314-1320 Lees Chapel Road in Connection with the Lees Chapel Road Sidewalk Project
Body
Department: Legal
Council District: 2
Public Hearing: NA
Advertising Date/By: NA
Contact 1 and Phone: Ted Kallam, Engineering Manager, ext. 2883
Contact 2 and Phone: John P. Roseboro, Deputy City Attorney, ext. 2320
PURPOSE: The City seeks to acquire two Proposed Margin Tracts (PMT) consisting of 1,523 and 281 square feet, and three Temporary Construction Easements (TCEs) consisting of 5,103, 1,416, and 1,055 square feet of the property owned by Kotis Holdings, LLC located at 1302 and 1314-1320 Lees Chapel Road, designated as Parcel Nos. 0047445 and 0047446 in the Morehead/Gilmer Township for the Lees Chapel Road Sidewalk Project. The Property Management Section of the Engineering and Inspections Department (PM) requests Council to authorize the initiation of condemnation proceedings because it has been unable to negotiate a purchase price with the property owner.
BACKGROUND: PM attempted to negotiate a purchase within the total appraised value of $27,025.00 for the property. An independent appraiser, D. Lynn Cable, Certified General Real Estate Appraiser, A4361, calculated the value of the property for the City. The appraiser used generally accepted appraisal methods and calculated the value based upon the nature of the taking and the square footage taken. PM sent an initial written Offer to Purchase to the property owner on May 17, 2017. PM made several attempts to purchase the property within the appraised amount, but its efforts were not successful. Therefore, PM recommends that the City Council adopt a resolution authorizing the City Attorney to institute proceedings to condemn the required property. Following City Council’s approval, the Legal Department will send a letter to the owner giving him at least thirty (30) days’ notice of the City’s intent to file an eminent domain lawsuit. After the lawsuit is filed and discovery is completed, a mediation or Commissioner’s Hearing, or both, are held to try to resolve the matter with the property owner before trial. Additionally, the parties are free to continue negotiations through the date of trial.
The Lees Chapel Road Sidewalk Project is to provide pedestrians with a safe walking route between Church Street and Yanceyville Street, where none exist.
The acquisition necessary for this property are two Proposed Margin Tracts (PMT) consisting of 1,523 and 281 square feet and three Temporary Construction Easements (TCE) consisting of 5,103, 1,416, and 1,055 square feet for the property located at 1302 and 1314-1320 Lees Chapel Road.
The anticipated date for start of construction is January 19, 2019, with an anticipated completion date of September 30, 2019. The property is zoned CD-C-M (Commercial Medium) and CD-C-H (Commercial High).
City staff further recommends that the City Council authorize payment of the estimated amount of the value of the property to the Clerk of Superior Court for disbursement to the owner. This will allow the City to take possession, which is required before work for this Project can commence on the property.
BUDGET IMPACT: The funding for this eminent domain action is budgeted in Account Number 401-4546-01.6012 Activity #A15138. This is a federally funded project. A minimum of $27,025.00 will be expended to acquire this property, in addition to any litigation costs and/or settlement agreements.
RECOMMENDATION / ACTION REQUESTED: City Council approval of a resolution authorizing the City Attorney to institute proceedings to condemn a portion of the property of Kotis Holdings, LLC in connection with the Lees Chapel Road Sidewalk Project.