***PULLED – Item will not be considered on 8/3 ***

ORDINANCE approving and authorizing Purchase and Sale Agreement between the City of Houston, Texas, Seller, and NOORDIN PRASALA, Purchaser, for the sale of approximately 41,999 square feet of land located at 7420 Park Place Boulevard, Houston, Harris County, Texas [Parcel Nos. I59- 002 and I59-003], for $235,000.00 - DISTRICT I - GALLEGOS

On October 15, 2014, Motion No. 2014-0935, City Council declared Parcels I59-002 and I59-003 surplus and authorized sealed bid sale of the properties.  Subsequently, on March 23, 2016, Ordinance No. 2016-0222, City Council authorized a Marketing Agreement with Champions Real Estate Group, LLC, (Champions) to actively market the properties for sale.

Parcel I59-002 consists of 31,934 square feet and Parcel I59-003 consists of 10,065 square feet.  The adjoining tracts were previously used as a police substation and are located in the southeastern part of Houston, along the southern line of Park Place Boulevard. The properties’ highest and best use is considered to be commercial.  Champions actively marketed the properties to developers, investors, builders and end users and listed the properties on the Houston Association of Realtors website.  The City received written and verbal offers from four parties.  The results included two compelling offers over appraised market value.  Noordin Prasala submitted the highest offer.

Therefore, the General Services Department recommends that City Council approve and authorize a Purchase and Sale Agreement with Noordin Prasala for Parcels I59-002/I59-003 for a purchase price of $235,000.00, which is 34.3% over the appraised market value.  It is further recommended that City Council authorize the Mayor to execute and the City Secretary to attest a Special Warranty Deed conveying the properties to Noordin Prasala.

After payment of a 4% brokerage commission to Champions Real Estate Group, LLC, pursuant to the Marketing Agreement, the net sale proceeds will be directed to the General Fund.

Motion No. 2014-0935; October 15, 2014

Ordinance No. 2016-0222; March 23, 2016