Deer Street Garage Property Acquisition. The most recent action at the City Council level on the Deer Street garage property acquisition occurred on July 11, 2016. That evening the City Council voted as follows: “Voted that the City Council ratify its action of April 18, 2016 and reiterate the authority of the City Manager to negotiate and execute the Purchase & Sale Agreement, Post Closing Obligation Agreement and all related agreements and documents with Deer Street Association necessary to bring about the acquisition of the municipal parking garage site on Deer Street by August 15, 2016, subject to the City receiving marketable title in the City’s judgment, to that property free and clear of all restrictions, easements and covenants of any kind, in particular those held by the railroad.” (emphasis added) Since the date of that City Council vote, City staff and DSA have continued negotiations in an effort to satisfy the condition established by the City Council that prior to the City acquiring the Deer Street property that it be “free and clear of all restrictions, easements and covenants of any kind”. Although that specific goal has not been reached, significant progress appears to have been achieved in that direction. Attached you will find a copy of a letter addressed to Mayor Xxxxxxx dated August 5, 2016 from Xxx Xxxxxx, President of X.X. Xxxxxx & Company and Manager of Deer Street Associate. In his letter, Xx. Xxxxxx provides a summary of covenant, restriction and easement issues. He indicates that in conversations with the railroad that “DSA anticipates that, for a price and other consideration, the railroad will agree to remove almost all of the covenants that impact the City’s parcel.” He states further, “The three title covenants that will remain will not interfere with development. They are the environmental release, the agency office, and the modified underground utilities / facilities covenant.” As of the drafting of this memorandum, supporting documentation signed by the railroad which would allow confirmation of those observations does not exist. However, unsigned copies of proposed documents were received shortly before this memo was written. Slight modifications to those documents are being negotiated and signed originals of the final product will need to be obtained. Additionally, the “other agreement” mentioned in Xx. Xxxxxx’ letter will need to be negotiated and executed. The August 5, 2016 letter from Xx. Xxxxxx has been discussed among City staff and by e- mail, telephone a...
