Agenda Item #39
Approval to Reject Contract for Sale of the Checkers-Owens Annex Property to Gold Glove Ventures, LLC - p.61
The Checkers-Owens Annex property consists of two parcels; one vacant and one with office buildings consisting of approximately 7,500 square feet. In July, 2010, the School Board approved Resolution 10-01 to surplus the Checkers-Owens Annex property. The property was subsequently advertised for sale and offers were received.
On August 3, 2011, a Board Workshop was held and the Chairman shared the preliminary guidelines he developed for selling any properties, including gathering input from School Advisory Councils and community members. The Board consensus was to accept the guidelines.
An offer had already been submitted by Gold Glove Ventures, LLC. The offer was for $2,200,000.00 with net proceeds to the School District of $1,800,000.00. The contract specified that the buyer would have an initial due diligence period of 60 days and may cancel the contract for any reason. If the contract survived, the buyer would have an additional 120 days to diligently pursue final approvals and permitting from the applicable government agencies. The offer was presented to the School Board on August 22, 2011. The consensus of the Board was that they were uncomfortable with the offer and preferred to follow the process that was agreed upon during the Board Workshop of August 3, 2011. Following Board discussion, the Superintendent withdrew this item from the agenda. The withdrawal of the item did not fulfill the process of the signed letter of intent, which states in part “During the period from School District staff acceptance of this agreement up to, and including the School Board approval or rejection at the public meeting, Seller agrees not to consider other offers on this Property.”
The requested Board action to reject the contract for sale of the Checkers-Owen Annex Property to Gold Glove Ventures, LLC will provide for the termination of any obligations of the signed letter of intent.
The goal of the Department of Construction Services continues to be to provide quality environments for safe and effective student learning.
The Superintendent recommends rejection of Contract for Sale of the Checkers-Owens Annex Property to Gold Glove Ventures, LLC.
Motion and approval to Reject Contract for Sale of the Checkers-Owens Annex Property to Gold Glove Ventures, LLC.
There is no financial impact associated with the rejection of this Contract for Sale.
Department of Construction Services
Attachment: 08.22.11 Checkers-Owens Annex Contract.pdf