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File #: 67422    Version: Name: 11716 - Homeless Shelter 2002 Zeier Rd
Type: Resolution Status: Passed
File created: 9/14/2021 In control: FINANCE COMMITTEE
On agenda: 10/5/2021 Final action: 10/5/2021
Enactment date: 10/12/2021 Enactment #: RES-21-00684
Title: Authorizing the City’s execution of a Purchase and Sale Agreement between the City of Madison and BIP Enterprises, LLC, or their successors and assigns, for the purchase of the property located at 2002 Zeier Road (the “Property”) in the City of Madison for use as a temporary men’s homeless shelter and as a long-term site for redevelopment. (17th A.D.)
Sponsors: Satya V. Rhodes-Conway, Jael Currie, Yannette Figueroa Cole, Keith Furman, Regina M. Vidaver, Juliana R. Bennett, Grant Foster, Brian Benford
Attachments: 1. PSA 2002 Zeier Rd JPS Comments 8-26-21 Clean - SELLER SIGNED 31AUG2021.pdf, 2. Written Public Comment #67422.pdf, 3. V1 File ID 67422.pdf, 4. Registered Public Comments and Speakers CCHIC 10-4-21-Item 67422.pdf, 5. Emailed Public Comments CCHIC 10-4-21-Zeier.pdf

Fiscal Note

The proposed resolution authorizes the City of Madison to purchase the property located at 2002 Zeier Road for use as a temporary men’s homeless shelter and as a long-term site for redevelopment. The estimated cost for the acquisition is $2,635,000, plus an estimated $580,000 for environmental studies, closing costs, and architectural / engineering services to prepare plans for the renovation / conversion of the Property to a site for a temporary men’s homeless shelter. The property acquisition and accompanying costs will be funded by available budget authority the Economic Development Division’s Land Banking capital program and/or the General Land Acquisition Fund capital program

. No additional City appropriation is required.

Title

Authorizing the City’s execution of a Purchase and Sale Agreement between the City of Madison and BIP Enterprises, LLC, or their successors and assigns, for the purchase of the property located at 2002 Zeier Road (the “Property”) in the City of Madison for use as a temporary men’s homeless shelter and as a long-term site for redevelopment. (17th A.D.)

Body

WHEREAS, BIP Enterprises, LLC (“Seller”) is the owner of the property located at 2002 Zeier Road, which contains 2.67 acres improved with a 31,550 square foot retail building (the “Property”), legally described as follows:

 

Lots 32 & 32, REGIONAL EAST PHASE II

 

WHEREAS, the City of Madison (“City”) desires to purchase the Property on which to establish, in partnership with Dane County, a facility that will provide shelter services to men experiencing homelessness, and;

 

WHEREAS, the Mayor directed City Real Estate Staff to pursue the purchase of one or more properties suitable for such use, and;

 

WHEREAS, the City’s acquisition of the Property would allow the City, in collaboration with Dane County, to create a new space to serve individuals experiencing homelessness; and

 

WHEREAS, the City is currently housing individuals at its First Street building, which is the expected future site of the Madison Public Market; and

 

WHEREAS, in order to facilitate both the Public Market project and this shelter project in 2022, the City requires a temporary homeless shelter be constructed while a permanent shelter site is identified and prepared; and

 

WHEREAS, the Seller agrees, by virtue of an executed Purchase and Sale Agreement (“Agreement”), to sell the Property to the City for a purchase price of $2,635,000, which was negotiated based upon an appraisal approved by the City’s Office of Real Estate Services; and

 

WHEREAS the completion of architectural / engineering work is the first step toward preparing the existing facility located on the Property for use as a temporary men’s homeless shelter.

 

NOW, THEREFORE, BE IT RESOLVED that the City’s Common Council hereby authorizes the City’s execution of a Purchase and Sale Agreement, as Buyer, for the purchase of the Property subject to the terms and conditions contained in the Agreement attached hereto; and 

 

BE IT FURTHER RESOLVED that the City will continue efforts, in collaboration with Dane County to establish a permanent men’s homeless shelter, including by pursuing and applying any funds which may be authorized by the Dane County Board of Supervisors to help acquire and/or renovate the Property for such use; and,

 

BE IT STILL FURTHER RESOLVED that City Staff are authorized to enter into contracts to address property holding costs including, but not limited to, grass cutting, landscaping maintenance, snow removal and general maintenance; and

 

BE IT FINALLY RESOLVED that the Mayor and Clerk are hereby authorized to sign, accept, and record any and all documents and legal instruments required to complete the transaction contemplated in this resolution, on a form and in a manner that has been approved by the City Attorney.