ew GOUNC

MAY 28 19793

Mayor and Council May 24th, 1979

FROM: Land Sales Committee

1, Sale of City-owned Lot - 2380 Mary Hill Road

Council will recall that the Community Development Committee
recommended the sale of a portion or all of the 33' City-owned lot at
2380 Mary Hill Road. We have determined that a drainage ditch that
existed on this site is no longer required. This ditch has been filled
in therefore the whole 33' lot can be sold.

The Committee has recommended an upset price of $20,000. for this

parcel.

If Council will confirm the $20,000. upset price, we will proceed
with advertising the disposal of this property.

2. Sale of City-owned Land —- Ulster Street

The City has been approached to sell off a portion of land on
.the east side of Ulster Street, north of Essex to permit economic development
of the adjacent privately held lands. A proposal for development has been
presented to the Planning and Zoning Committee and would involve rezoning
’ to RS-1 to permit development of approximately 23 standard residential lots
of approximately 50' frontage. ,

The Community Development Committee was asked to recommend a sale
price for the property and have in turn obtained some appraisal information.
The going rate for residential land appears to range from $1.07 to $1.68
per square foot. The City Land would range in the upper end of this range
as all the land is marketable and no roads have to be extracted before sale
can take place. On the basis of a raw land price per building site, values
range from $9,000. to $11,750. per site.

The Committee recommends a price of $1.60 per square foot for this
land. We have previously been selling land at $1.50 per square foot and while
it is an increase, it is not out of line with present values. The rate of
$1.60 per square foot produces a site value of $9,825. and this is in line
with current appraisal information. There are 12 lots involved in the City
land and the total selling price would be in the neighbourhood of $117,900.

The Committee recommends that, should this project proceed, the

City Land be offerred to the Developer at a rate of $1.60 per square foot
for a site value of approximately $9,825. per building site.

LDP /w