AGENDA #4e

 

MEMORANDUM

 

TO:                  Mayor and Town Council

 

FROM:            W. Calvin Horton, Town Manager

 

SUBJECT:       Resolution Referring Request from Investors Title Insurance Company to Purchase Parking Lot #6

 

DATE:             May 28, 2003

 

 

On May 15, we received the attached letter from Mr. David M. Rooks, representing Investors Title Insurance Company, inquiring about the Town’s interest in selling Parking Lot #6 on West Rosemary Street (Attachment 1). 

 

Adoption of the attached resolution would receive and refer the letter from Mr. Rooks and would authorize the Manager to return with a report and recommendation by the June 23 Council meeting.

 

BACKGROUND AND DISCUSSION

 

Lot #6, shown in Attachment 2, contains 12 monthly rental parking spaces that are leased to Brown & Bunch, PLLC, Attorneys and Counselors at Law.  Brown & Bunch has leased the lot from the Town since 1993.  The current lease term with Brown & Bunch is for one year, which began on July 1, 2002, with an option to renew the agreement, with revised parking rates, for two additional years (Attachment 3).  Current parking rates are $80 per space per month, or $960 per space per year, a total of $11,520 per year for all 12 spaces. 

 

Under the lease terms, Brown & Bunch must be given 60 days’ notice prior to implementation of new rates.  The lease agreement also stipulates that either party may terminate the agreement for any reason with 180 days’ written notice given to either party.

 

RECOMMENDATION

 

We believe it would be reasonable to consider the proposal from Investors Title.  If the Council is interested in considering a possible sale of the lot, we recommend that the Council receive and refer the letter from Mr. Rooks, and authorize the Manager to investigate options for the Council to consider.  We would return to the Council with a follow-up report by the June 23, 2003, Council meeting.  

 

 

 

 

ATTACHMENTS

 

1.  May 13, 2003 Letter from David M. Rooks (p. 4).

2.  Map of West Rosemary Street Area, including Lot #6 (p. 5).

3.  July 1, 2002, Lease Agreement with Brown & Bunch (p. 6).

A RESOLUTION RECEIVING AND REFERRING A REQUEST FROM INVESTORS TITLE INSURANCE COMPANY INQUIRING ABOUT POSSIBLE SALE OF PARKING LOT #6 AND REQUESTING THE TOWN MANAGER’S FOLLOW-UP REPORT BY JUNE 23, 2003 (2003-05-28/R-3.1)

 

WHEREAS, Mr. David M. Rooks, representing Investors Title Insurance Company, has inquired about the Town’s potential sale of Parking Lot #6, located on West Rosemary Street; and

 

WHEREAS, the Town currently leases 12 monthly rental parking spaces to Brown & Bunch, PLLC, Attorneys and Counselors at Law, for $11,520 per year; and

 

WHEREAS, the Council may wish to consider sale of the lot to Investors Title Insurance Company;

 

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council hereby receives and refers the request from Investors Title Insurance Company and requests a follow-up report from the Manager on or before June 23, 2003.

 

This the 28^th day of May, 2003.