This chapter provides procedures and standards for the acquisition
and transfer of real property by the City. This chapter applies to
properties owned by the City and does not apply to rights-of-way and
other property dedicated to the public.
(Ord. 1897 § 1, 2002; Ord. 2139 § 1, 2017)
Real property owned by the City is classified as follows:
A. Substandard
Undeveloped Property
Lots or parcels without structures which are not of minimum
buildable size for the zone in which they are located.
B. Standard
Undeveloped Property
Lots or parcels without structures which are of minimum or greater
buildable size for the zone in which they are located.
C. Developed
Property
Lots or parcels of any size with structures.
D. Special-Case
Property
Any real property that, notwithstanding subsections
A,
B, and
C of this section, were acquired by the City subject to an agreement for the manner in which they would be disposed.
At the time of a proposed sale of real property by the City,
the City Manager or designee shall determine the classification of
the property.
(Ord. 1897 § 1, 2002; Ord. 2139 § 1, 2017)
A. Whenever
real property is proposed for sale by the City or a purchase inquiry
is made and the property is classified as substandard undeveloped
property, the proposed sale shall be set on the regular Council agenda,
but no public hearing is required. Notice shall be given of the agenda
item no less than 10 days before the Council meeting to all property
owners within 300 feet of the parcel and to any parties who have inquired
about purchase with the City Manager's designee within one year prior
to the date of the Council meeting. After discussion of the agenda
item, the Council shall decide whether it will offer the property
for sale. The Council may direct the sale of the property only if
it determines that the property is surplus to the City's needs.
B. If the
Council decides to sell the property, it shall direct the City Manager
or designee to proceed with the sale, publicize as deemed appropriate,
determine the existence of interested prospective purchasers, and
negotiate for the sale of the property.
C. After
the details of the sale have been negotiated, the terms and negotiated
agreement for the sale of the property shall be submitted to the Council
for approval at a regularly scheduled Council meeting.
(Ord. 1897 § 1, 2002; Ord. 2139 § 1, 2017)
A. Whenever
real property is proposed for sale by the City or a purchase inquiry
is made and the property is classified as standard undeveloped property
or developed property, the proposed sale shall be set for a hearing
before the Council.
B. Notice
of the hearing shall be published once in a newspaper of general circulation
in the City at least five days prior to the hearing and shall describe
the property proposed for sale. Notice shall also be given to property
owners within 300 feet of the subject property.
C. Public
testimony shall be solicited at the hearing to determine if a sale
of the property or any portion of it is in the public interest.
D. After
the hearing, the Council shall decide whether it will offer the property
for sale and what the minimum acceptable terms shall be. The Council
may decide to offer the property for sale only if it determines that
the property is surplus to the City's needs.
E. Prior
to the sale of real property under this section, an appraisal of the
property shall be conducted. The appraisal may be ordered prior to
or after the hearing. The appraisal may be made available to the public
at the hearing if it has been prepared by that time.
F. If an
offer to sell is authorized by the Council, a notice soliciting sealed
bids shall be published at least once in a newspaper of general circulation
in the City at least two weeks prior to the bid deadline date. The
notice shall describe the property to be sold, the minimum acceptable
terms of sale, the person designated to receive bids, the last date
bids will be received, and the date, time, and place that bids will
be opened.
G. If one
or more bids are received at or above the minimum acceptable terms,
the highest bid shall be accepted and the City Manager or designee
shall complete the sale.
H. If no acceptable bids are received: (1) the Council may alter or keep the same minimum terms as established under subsection
D of this section and direct staff to hold another sale; or (2) the Council may alter or keep the same minimum terms established under subsection
D of this section and list the property for six months with a local real estate broker on a multiple listing basis. Brokers shall be selected in accordance with the criteria found in Section
3.15.025 of this chapter. A listing may be renewed for an additional six month period.
I. After expiration of the period set out in subsection
H of this section, the property shall be removed from the market. Any decision to sell a piece of property once it has been removed from the market shall require that the entire procedure set forth in this chapter be repeated. The Council may, however, decide whether or not an additional appraisal is necessary.
(Ord. 1897 § 1, 2002; Ord. 2139 § 1, 2017)
The selection of a real estate broker shall be in accordance
with the following procedures:
A. The
City shall publish notice in a newspaper of general circulation in
Milwaukie inviting proposals for the sale of the real property. The
notice shall be published at least one week prior to the date on which
proposals are due.
B. The broker's proposal shall be in writing and it shall address the selection criteria set forth in subsection
C of this section.
C. The
City Manager or designee shall consider the following factors in the
selection of a broker:
1. The
broker's record in selling the type of real property being offered
by the City for sale and the broker's familiarity with Milwaukie area
market values;
2. The
broker's proposed marketing plan and timelines: signs, advertising,
direct mail, and/or other methods;
3. The
amount of the broker's commission; and
4. Other
factors which were stated in the notice of the invitation to submit
a proposal.
(Ord. 1897 § 1, 2002; Ord. 2139 § 1, 2017)
The City Manager may approve the acquisition by the City of
an interest in real property if that interest is valued at less than
$25,000 or if the property is valued at more than $25,000 but is donated
to the City. All other acquisitions of an interest in real property
shall be approved by the City Council. An appraisal shall be required
for all property acquired by the City for more than $25,000. Dedications
of property for rights-of-way shall not be considered acquisitions
of property by the City for purposes of this section.
(Ord. 1897 § 1, 2002; Ord. 2139 § 1, 2017)
The transfer of an interest in real property by the City is not a sale of surplus real property if the City retains title to the property. The City Manager may transfer an easement or other interest in real property less than fee title if the value of the interest transferred is less than $25,000 and the City Manager determines that the transfer is not contrary to the public interest. The transfer of any other interest to real property with a value of $25,000 or more shall follow the procedure for the sale of substandard undeveloped property as provided in Section
3.15.010.
(Ord. 1897 § 1, 2002; Ord. 2139 § 1, 2017)