Ana Alvarez
Chief Planning Officer
 
Sierra Marrero
Assistant City Manager

Resolution of Support Authorizing City Staff to Negotiate the Potential Acquisition of Real Property from the State of Florida, Department of Commerce, and Authorizing Procurement of Due Diligence Professional Services.

Issue Statement: The State of Florida, Department of Commerce ("Department") owns nine (9) parcels totaling approximately five (5) acres along West Oakland Park Boulevard, a portion of which is currently occupied by CareerSource Broward's workforce services office. The site is located within the City's emerging westside corridor and has been identified by City staff as a long sought after strategic opportunity to reposition an underutilized public asset into a catalyst for long-term economic growth and community investment through a public-private partnership (P3).

City staff have engaged in preliminary discussions with the Department regarding a potential acquisition of the nine (9) parcels, identified below:

Group 1 Parcels (currently listed by Savills-Tampa):

• 4942 29 29 0010 (2530 W Oakland Park Blvd)
• 4942 29 29 0020 (2550 W Oakland Park Blvd)
• 4942 29 29 0030 (2600 W Oakland Park Blvd)

Group 2 Parcels (additional parcels owned by the Department, west of Group 1):

• 4942 29 29 0031 (W Oakland Park Blvd)
• 4942 29 29 0040 (2610 W Oakland Park Blvd)
• 4942 29 33 0010 (2626 W Oakland Park Blvd)
• 4942 29 33 0020 (2680 W Oakland Park Blvd)
• 4942 29 33 0021 (NW 27 Ave)
• 4942 29 33 0030 (2690 W Oakland Park Blvd)

The Department has executed the attached Letter of Intent reflecting preliminary business terms and indicating their preliminary agreement with the business terms included in Term sheet, which are attached to this Agenda Item Report for the City Commission's review.

Recommended Action: The City Commission adopt a Resolution of Support Authorizing the City Manager to negotiate the potential acquisition of real property from the State of Florida, Department of Commerce, and authorizing the City Manager to procure and execute agreements for due diligence professional services necessary to evaluate the potential acquisition of the Property, which may individually exceed the $25,000 purchasing threshold.

The proposed Letter of Intent and Term Sheet outline the following preliminary terms, which remain subject to negotiation, appraisal, and City Commission approval of a definitive Purchase and Sale Agreement:

• Purchase Price: $6,200,000 for all nine (9) parcels, inclusive of any Broker's fee;
• Due Diligence: A sixty (60) day inspection period during which the City may conduct title review, environmental assessments, surveys, and other necessary due diligence, with the right to terminate during this period;
• Earnest Money Deposit: A deposit equal to three percent (3%) of the purchase price, to be held in escrow;
• Closing Costs: Title update, title insurance, documentary stamps, and closing agent fees to be paid by the City.
• Closing Deadline: On or before December 18, 2026, contingent upon City Commission approval;
• CareerSource Broward Continuity:

• The City will enter into a lease with CareerSource Broward for its existing office space at current rental rates for a maximum of eighteen (18) month after closing on an "as-is" basis, including all maintenance, repairs and operational expenses. 
• The City can provide a potential longer-term relocation option for CareerSource at the City-owned property located at 5399 N. Dixie Hwy (approximately 10,690 SF with 70 dedicated parking spaces) should the agency not find another suitable location.

• Financial Feasibility Contingency: The City's obligation to close remains contingent upon its continued determination that the proposed redevelopment remains economically feasible and consistent with the City's public redevelopment objectives.
  
  

If approved by the City Commission, City Staff will proceed with the negotiation of  a definitive Purchase and Sale Agreement which would be presented to the City Commission for separate consideration and approval prior to execution.

In order to complete the due diligence necessary to evaluate the potential acquisition of the properties while negotiations are underway, the City will need to obtain professional services, including, but not limited to, boundary and topographic surveys, environmental site assessments, title and related due diligence reports.

Due to the size and complexity of the properties, the cost of one or more of these professional services may individually exceed the $25,000 purchasing threshold established by the City's Purchasing Code. Accordingly, staff is further requesting that the City Commission authorize the procurement of these due diligence professional services and the expenditure of funds necessary to complete the due diligence process prior to presentation of a Purchase and Sale Agreement for the City Commission's consideration.