Orange County NC Website
The Board authorized County staff to pursue the acquisition of the building at 228 S. Churton <br />Street. The owners of the subject property have agreed to the counter proposal amount <br />offered by the County as follows: <br />z <br />• 1400 square feet at the south end of the building: $56,000; <br />• 2600 square feet at the north end of the building ,plus one lot behind the facility: $240,000; <br />• fior a total of $296,000. <br />The Board is requested to approve the purchase of the property and to direct the County <br />Attorney to work with the property owners and their attorneys to effect closing within 30 days <br />fallowing approval, conditioned upon receipt of the testing results showing complete mitigation <br />of the fuel oil tank concerns raised during the assessment of the property. <br />The County would pursue third party financing for the property for 59 months, with annual <br />payments of approximately $65,000. Requests for Proposals for funding will be solicited by the <br />Finance Director and brought back for Board consideration at a later date. In order that the <br />acquisition process might be concluded during the summer, the Board is being asked to <br />approve a Reimbursement Resolution that would allow the County to pay for the building upon <br />closing and then reimburse itself when financing is obtained. The Capital Project Ordinance to <br />support this action is being presented for Board approval as well. <br />Since time is of the essence, it is proposed that renovation efforts be commenced immediately <br />upon closing. Pre-requisite efforts to ensure that work is begun upon closing include, but may <br />not be limited to: <br />• design of roof replacement and preparation of bid documents; and <br />• renovation plan development, including, but not limited to, floor plan design, electrical <br />upgrade and HVAC design. <br />The Board is requested to authorize the Manager to enter into the contract(s) for professional <br />services that may be necessary to accomplish this work. <br />Finally, it is recommended that roof replacement be the highest priority task. It is likely that the <br />roof design could be completed and bids solicited within a matter of a couple of weeks, which <br />could allow the roof work to begin immediately after closing. The estimate for roof replacement <br />will exceed the approval limit for the Purchasing Director ($20,000). It is therefore requested <br />that the Purchasing Director be authorized to award the bid and execute the appropriate <br />paperwork for the roof work so that it might be completed expeditiously. <br />FINANCIAL IMPACT: The County would purchase a building at 228 S. Churton Street for a <br />total of $296,000. Debt service payments of approximately $65,000 annually would be offset in <br />part by the current rent amount of $18,392 for a net impact of approximately $46,600. <br />Renovation costs for the space have been estimated at $100,000 and would be paid for through <br />a combination of operating and capital funds. <br />