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HomeMy WebLinkAboutItem 19 Sale of Krey Property Meeting Date: Meeting Type: Department: Staff Contact: January 22,2007 Regular Session CMO/CAO ~J John Tamulonis/Joe 0~\..:p Leahy ~ 726-3700 15 minutes AGENDA ITEM SUMMARY SPRINGFIELD CITY COUNCIL ITEM TITLE: SALE OF KREY PROPERTY ACTIONS 1. Hold Public Hearing regarding the possible sale ofKrey property. REQUESTED: ISSUE STATEMENT: ATTACHMENTS: DISCUSSION/ FINANCIAL IMPACT: StatTPhone No: Estimated Time: 2. Approve/Not Approve: A motion to have the City Manager sign a Sale Agreement, with Mrs. Millie Krey's concurrence, to sell the Krey property to CLADD Enterprises, LLC, with the-City's share of sale proceeds to go for support of the Justice Center and Police services in the community of Springfield in accordance with a Restricted Donation Agreement and cover the preliminary costs for preparing for the sale. Mrs. Mildred E. Krey, Trustee of the Non-Marital share created in the Krey Trust, donated to the City a 50% share in the 0.9-acre property on the 4900 block on the southside of Main Street in mid-2007 (Attachment I). The City had an appraisal ofthe property value (Attachment 2) with a recent update that concluded a Fee Simple Market Value of$367,000, effective October 29,2007. The City advertised for the potential sale of the property through an RFP process and received three offers by the due date of December 7,2007 (Attachment 3). 1. Restricted Donation by Millie Krey to the City of Springfield for Support of Justice Center/Police Services in the Community of Springfield 2. Complete Appraisal-Restricted Use Report ofthe Property Located at 4909, . 4911, & 4915 Main Street Springfield, Oregon. (October 29,2007) 3. Proposals To Purchase Krey Property CLADD Enterprises, LLC (Purchase Price of $350,000) George T. Travess (Purchase Price of$331,000) Gary F Martin for TTT Ranch LLC (Purchase Price of($330,100) City received a Preliminary Title Report by Cascade Title Company showing Mildred E. Krey, Trustee of the Non-Marital Share and the City of Springfield each as to an undivided one-half interest ofthe property known as 4909, 4911, and 4915 Main Street Springfield. Cascade Title Company indicated they would write title insurance on the property. The City also had a Level I environmental study completed which pointed to the need to remove asbestos tile, lighting ballasts, and moldy debris. The City's costs of the studies, legal and other relatively incidental costs are estimated to be about $15,000. Mrs. Krey's attorney Tom Wurtz indicates her willingness to agree to sign a Sale Agreement for the highest offer received: from CLADD Enterprises, LLC for the proposed price of $350,000 for the property "as is". The City's share would be $175,000 before netting out legal services and costs of stuoies. RESTRICTED DONATION BY MILLIE KREY TO THE CITY OF SPRINGFIELD FOR SUPPORT OF JUSTICE CENTER/POLICE SERVICES IN THE COMMUNITY OF THE CITY OF SPRINGFIELD RECITALS: A. WHEREAS, Mildred (Millie) E. Krey and her husband Kenneth (Ken) M. Krey, now deceased, are long-time residents and supporters of the community of the City of Springfield; and, B. WHEREAS, Millie Krey and Ken Krey believe in the importance of an effective Police Department providing for a safe and liveable community; and, C. WHEREAS, Millie Krey has been a much appreciated benefactor of the Springfield Police Department including previous donations of time, energy and financial support for the City of Springfield K-9 Unit; and,. D. . WHEREAS, Millie Krey and Ken Krey executed certain declarations of trust and quitclaim deeds on December 21, 1995, which collectively created a joint trust, herein referred to as the Krey Trust, with Mi!lie Krey and Ken Krey asthe initial Trustees; and, E. WHEREAS, the Krey Trust assets included, among other things, that certain parcel of real property located at 4909, 4911 and 4915 Main Street, Springfield, Oregon, Lane County Map No. 17-02-33-32-06400 (the Property), as more particularly described on the attached Exhibit A; and, F. WHEREAS, at Ken Krey's death on June 29, 2004, the Krey Trust split into two separate and equal shares, the marital share and the non-marital share; and . G. WHEREAS, Millie Krey, as the surviving Trustee, is the trustee of both shares, each of which owns, among other things, an undivided one-half interest in the Property; and ATTACf.IMENT 1 - PAGE 1 H. WHEREAS, Millie Krey, as the surviving settlor of the Krey Trust has an unrestricted right to revoke or amend the marital share created under the Krey Trust and otherwise deal with the assets of the marital share as she . wishes; and I. WHEREAS, the Property has an approximate real market value of $327,000 as determined by an appraisal prepared by Paul H. Schaffner, . dated November 9, 2006, with an effective date of value of November 6, 2006; and, J. WHEREAS, Millie Krey wishes to donate the undivided one-half interest in the Property owned by the marital share created under the Krey Trust to the City of Springfield for the use and support of the City of Springfield Police. Department, and specifically for the support of the proposed Springfield Justice Center (Police, Court and Jail Facility) currently proposed to be built in the area bounded by A Street, C Street, Pioneer Parkway and 5th Street in downtown Springfield; and, K. WHEREAS, the City of Springfield gratefully acknowledges the gift and intends to sell the donated undivided one-half of the Property and use the net proceeds to the City from the sale for support of Police services and the Springfield Justice Center as directed by donor Millie Krey; and, L. WHEREAS, the City of Springfield is a municipal corporation of the state of Oregon and contributions to a municipal corporation are deductible if made for exclusively public purposes. NOW THEREFORE, based upon the foregoing Recitals the parties agree as follows: 1. DONP,TION. Subject to the conditions set forth in Section 3, Millie Krey (the Donor) hereby agrees to give and donate, through a separate deed, to the City of Springfield, a municipal corporation of the state of Oregon, the undivided one-half interest in the Property owned by her as trustee of the marital share created under the Krey Trust. 2. SALE OF PROPERTY. Millie Krey, as trustee of the non-marital share created under the Krey Trust, owner of the other one-half undivided interest in the Property, hereby agrees to cooperate in the sale of the Property with the City of Springfield, and ag.rees to allow the City of Springfield to take the lead in negotiating with potential buyers for the sale. . ATTiCf.lMENT 1 - PAGE 2 3. CONDmONS. The City of Springfield hereby accepts from Millie Krey, individually, and in her capacity as trustee of the marital share created under the Krey Trust, the gift described in Section 1 on the following conditions: Upon sale of the Property as set forth in Section 2 above, the City's one- half of the net sale proceeds (the City's Proceeds) are to be utilized solely for purposes of support of the Police Department and Springfield Justice Center including specifically the construction of the Police, Courts and Jail Facility as described above in Recital J. This support may be accomplished by the following actions by City: A. Purchase of the Carter Building premises located at 220 North 5th and 430 North A Street, Springfield, Oregon, including office space as well as the leasehold premises of the Lane County Justice Court and the parking lot immediately to the north. That property is known as Lane County Map Identification No. Section 35, Township 17, Range 03, Quarter 31, TL 01200-801, TL 02900-801, TL 02800, TL 01100, and TL 01000. The City agrees to use its best reasonable efforts to acquire the Carter Building. Donor understands that the City's Proceeds may be insufficient to purchase the Carter Building real property; however, Donor agrees that this condition may be complied with by the application by the City of the City's Proceeds to the purchase price of the Carter Building. Donor understands that acquisition of the Carter Building by the City of Springfield will be a major component of the Springfield Justice Center development in the following ways: The parking area north of the building will be important to the development of the Police, Court and Jail Facility. In the event the Carter Building is ultimately renovated or removed, the location occupied by the Carter Building and parking lot will be available for other municipal functions in proximity to the Police, Court and Jail Facility. Notwithstanding the foregoing, both Donor and City agree that nothing herein shall be construed as a limitation upon the power of the Common Council of the City of Springfield to sell, trade, or otherwise dispose of the Carter Building or any portion of the real property designated as the Carter Building herein in the event that the Common Council of the City of Springfield determines that it is in the public interest to do so. In the event of such sale, trade or disposition, any funds realized in the sale of said real property shall be directed and utilized as follows: ATTACf.IMENT 1 - PAGE 3 i. For the expenses and costs of sale including realtor's commission, if any. iL City of Springfield shall apply an amount received from any sale of the Carter Building not less than the net proceeds received by the City from the sale of the City's one-half undivided interest in the Property for the purposes described in Section 3B hereinbelow. iii. All remaining funds from the sale of the Carter Building may be directed and utilized for whatever purpose the Common Council in its discretion may determine. . B. In the unlikely event that City is unable to acquire the Carter Building or the City determines that it is not in the public interest to acquire the Carter Building. Property, Donor agrees that the City's Proceeds may be utilized for other construction and equipment . purposes for the Springfield Justice Center, including specific;ally but not limited to radio systems, communication systems, internal security, and Annex Building upgrade. C. Except as described in Sections A or B above, no funds received by the City from the donation or derived from the sale of the City's undivided one-half interest in the Property shall be used for the purposes of General Fund operations. Funds must be specifically utilized as specified herein. 4. ACCEPTANCE. The City of Springfield hereby graciously accepts the gift of the real property from Donor, Millie Krey, subject to the conditions specified herein. [THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK] 5. NO OTHER CONSIDERATION. Donor has received no consideration for Donor's gift other than as set forth in this document. - ATTACHMENT 1 - PAGE 4 DONOR: CITY OF SPRINGFIELD ,,'''' Deborah By: )11;JM~cr/~ Mildred (Millie) E. Krey STATE OF OREGON ) ) ss. County of Lane ) . .~ . Personally appeared before me this ~ day of 0 P/u..o , 200_7 ~he above named Mildred (Millie) E. Krey, and acknowledged the foregoi~~;::. Instrument to be her voluntary act and deed. II.. ~. - OFFICIAL SEAL ... !\. SUZANNE M DAVIS k ' . NOTARY PUBLIC . OREG~~'l :: ~ U hb ' ... "'"' .i COMMISSION NO. 3~1 <:..~::: ~- - .......W.... MY COM'~ISSION EXPIRES SEPT;...;::-,::' . - !-~O~ . ,..b Not~~~g;:::='n My Commission Expires: q -10 '0-, STATE OF OREGON) ) ss. County of Lane ) Personally appeared before me this _ day of , 200_ the above named Deborah , and acknowledged the foregoing instrument to be her voluntary act and deed. Notary Public for Oregon My Commission Expires: ***ADDITIONAL NOTARIES ON FOLLOWING PAGES*** STATE OF OREGON) ) ss County of Lane ) ATTACf. [MENT 1 - PAGE 5 Personally appeared the above named Sid Leiken as Mayor for the City of Springfield and acknowledged the foregoing instrument to be his voluntary act and deed on this ~day of t1.~ . . ,2001.. ~0.~ Notary Public for Oregon My Commission Expires: "/2.2/2009 {I) OFFICIAL SEAL .. AMYLSOWA ;, ) NOTARY PUBLIC - OREGON \.:. ../ COMMISSION NO. 397942 MY COMMISSION EXPIRES NOV. 22. 2009 STATE OF OREGON) ) ss County of Lane ) Christine Lundberg Personally appeared the above named JefH:l-.WeeEh=ew-as Council President for the City of Springfield and acknowledged the foregoing instrument to be his vOluntary act and deed on this ..!:i!t. day of -;JU%) L , 2001-. ,-~~ Notary Public for Oregon My Commission Expires: II /C)-~JcM()9 (I) OFFICIAL SEAL ... AMY LSOWA ;. ; NOTARY PUBLIC - OREGON \,,/ COMMISSION NO. 397942 MY COMMISSION EXPIRES NOV. 22. 2009 ATTACIIMENT 1 - PAGE 6 . - COMPLETE APPRAISAL - .RESTRICTED USE REPORT of the . PROPERTY Located at . . 4909,4911,_ & 4915 MAIN STREET . SPRINGFIELD, OREGON.. for . City of Springfield C/O Joseph J. Leahy Attorney at Law 223. A. Street Springfield, OR 97477 CharlesP. Thompson & Assoc., Inc... Real Estate Appraisers & Counselors P.o. Box 10233 Eugene, OR 97440 541-343-8895 FAX 541-343-5190 --. A TT ACf.IMENT 2 COMPLETE APPRAISAL - RESTRICTED USE REPORT This is a Restricted Use Appraisal Report which is intended to comply with the reporting requirements set forth under Standards Rule 2-2(c) of the Uniform Standards of Professional Appraisal Practice for a Restricted Appraisal Report. As such, it presents no discussions of the data, reasoning, and analyses that were used in the appraisal process to develop the appraiser's opinion of value. Supporting documentation concerning the data, reasoning, and analyses is retained in the appraiser's file. The depth of discussions contained in this report is specific to the needs of the client and for the intended use stated below. Client: City of Springfield Joseph J. Leahy Attorney at Law 223 A. Street Springfield, OR 97477 Appraiser: Paul H. Schaffner, MAl Oregon State Certified General Appraiser Charles P. Thompson & Assoc., Inc. P.O. Box 10233 Eugene, OR 97440-2233 Subject: The property located at 4909, 491~, & 4915 Main Street, Springfield, Oregon. Concluded Fee Simple Market Value: Land: $ 358,000 Improvements: $ 9,000 Total: $ 367,000 Purpose of the Appraisal: To estimate the fee simple market value of the subject property, effective October 29,2007. Intended Use and User of the Report: The intended use of this report is to assist the client, the City of Springfield, in estimating the market value of the subject property for potential sale purposes. Interest Valued: Fee simple interest. Effective Date of Value: October 29,2007. Charles P. Thompson & Assoc., Inc. P-KreyLand.lO07 1 Date of Report: Scope of Work: October 31, 2007. In preparing this appraisal, the appraiser inspected the subject property on October 29, 2007. The appraiser gathered comparable sales and listings in the local community of other CC zoned lots judged to be competitive to that of the subject. In developing the opinion of value, the appraiser performed a complete appraisal process as defined by the . Uniform Standards of Professional Appraisal Practice. A Preliminary Title Report, prepared by Cascade Title Company, dated October 3, 2007, Was reviewed by the appraiser and is included as Exhibit "A" in the Addenda to this report. In this particular case, the Market Approach to Value was undertaken in valuing the subject sites. , Emily Schaffner, Registered. Appraiser Assistant #AA02201, provided significant real estate appraisal assistance in the development and reporting of this appraisal as follows: -1- -1- .-1 -I -1- -1- -1- -1- Define appraisal problem Collection and selection of data Subject property analysis Estimate highest and best use Estimate land/site value Estimate value of the property , Reconcile value in each approach used to a final value estimate Report final value estimate This restricted appraisal report sets forth only the appraiser's conclusions. Supporting documentation is retained in the appraiser's file. Real Estate Appraised: The subject property consists of a level, rectangular shaped, interior parcel of land consisting of a single tax lot, having 106 feet of frontage on the south side of Main Street, and a depth of 355.3 feet. The site contains a total area of 37,662 square feet or 0.86 acres. The property is enclosed by a six foot tall chain link fence with three strands of barbed wire on top. This fence is located all around the perimeter of the property, totaling 922.6 lineal feet. There is also a 2,928 square foot concrete block building on the property. Charles P. Thompson & Assoc., Inc. P-KreyLand.lO07 2 Access to the property is direct from two-way, five lane, Main Street. The property is served with public water, sewer, electricity, natural gas, telephone, and cable. The subject site is zoned CC, or Community Commercial. Please refer to Exhibit "B" in the Addenda to this report for a copy of the Community Commercial zone ordinance. According to the FEMA Flood Insurance Rate . Map Community Panel No. 41039C 1162 F, the subject property is determined to be outside of the 500-year flood plain. Please refer the following pages for copies of the vicinity and plat maps illustrating the site configuration relative to surrounding ownerships, along with an aerial photograph and photographs of the subject property taken on the date of inspection. Charles P. Thompson & Assoc., Inc. P- KreyLand.l 007 3 VICINITY MAP Charles P. Thompson & Assoc., Inc. P-KreyLand.1007 4. / PLAT MAP ,6- : ~ ;: :I: ."3 C) :I: , .,~ ..., ... . . ~ ':;W 1l\"Q '. ~ ~loot; i -- ,- - =._~ -..~--,--~}; ... 2;; ..t... r~' j;)ci ~_ ~~ ~ ~. 0 ~ g , 0 ~ .. '" ,., ... ... - lSI9 ; ... .-, ".\ I t 19 0 a: to 0 '" on '" .3' -, I'~-"''''I;'-'''' - l I. (; ~ Ii :!l - .- "".r.J'.P/lV l - I. iW---------~ i ~ .'"f/WI'-",... ""._" ~ ,,*,.'-"'.~N "... ~,..., C; N~ ~~~ ~ ~;. .r+'r.rtl' ~ .ce .._ .,,~ ~ ~.'UI . .J~:.:~ ~( . ;-DilJ--:~""=:.iS~;' ~ ~ 11i'..s.~ .0'.0, I .~ ! r; :~ ~ a.a I ~ 11= .- i: ~s_'",o ~ ~ ~ ~i ~ 3!;5 , '! f~:i. tD a; fD t 3 , 'C:Q ;. . Ji.'SC2. .0" .~: .-' ~ I: il '.. .\ 5! "p .. it . 8 :~ h ij J. ~ ~ , ~ g -'" It) it l&J N Z W ::.::: <J ~ -0 - I :M,r,.g.'r ;,.. ~ l:l fIl .u~ ~~ J . ~ ; .. '\. . 1 -------~- -+ ~ ,T;'rr. lM,fl.fII,r ," o ~o . '" co .,.- f f~ ~ ~! Ii :1 ,. "-lS...19~ll. ;r "I o I 4 ! 0 :n I q 0 N oil .' ~1 0 0 0> It) .- 'N;'''' .1Sr ..lL.,.. ... .- .. ~ 0 0 0 0 .. U1 U1 U1 - -. .. .1< -- \ 0 0 '" U1 .. ,.. ." .- I 0 ~ '8 ~ 0 0 I ;;; !O .". - 4'O~ . f-' -- ~t 0 .. 0 ~ ,.", , i t , o o co !O o o CD U1 .... - J.3J!US- - -,-c-.,or- '/ ~ 0 o " .. '~ 0 o co .. .'"~.. ._'.6S' '0 o CD .. " ~g !O .. rt....c __ .~" I, '~r .......... '. ~ ~ ~:~ SUBJECT ~ =~;';: =)~ ~ ".I'~ .r...;N.tII1"" -. ( Charles P. Thompson & Assoc., Inc. P-KreyLand.lO07 5 AERIAL PHOTOGRAPH Charles P. Thompson & Assoc., Inc. P-KreyLand.lO07 6 SUBJECT PHOTOGRAPHS VIEW TO SOUTHWEST OF SUBJECT VIEW TO THE SOUTHEAST OF SUBJECT Charles P. Thompson & Assoc., Inc. P-KreyLand.lO07 7 VIEW TO SOUTHEAST OF REAR OF SUBJECT VIEW TO WEST OF MAIN ST. AT SUBJECT Charles P. Thompson & Assoc., Inc. P-KreyLand.l007 8 VIEW TO EAST OF MAIN ST. AT SUBJECT VIEW TO SOUTH OF BIKE PATH ALONG WEST LINE Charles P. Thompson & Assoc., Inc. P-KreyLand.1007 9 Property History: The subject property is under the ownership of Mildred E. Krey, trustee of the non-marital share created in the Krey Trust dated December 21, 1995, as to an undivided one- half interest, and the City of Springfield, a Municipal Corporation.of the State of Oregon, as to an undivided one- half interest. One-half of the ownership was transferred to the City of Springfield on September 27, 2007. Prior to that date, full ownership was vested in the Krey Trust. Please refer to Exhibit "A" in the Addenda to this report for a copy of the Preliminary Title Report prepared by Cascade Title Company. Tax & Assessment Data: Map 17-02-33-32, Tax Lot 6400. TAX LOT NO. ACCOUNT NO. 2007 REAL MARKET VALUES ASSESSED VALUE TAXES Land $206,147 Improvements $8,960 Total $215,107 $52,228 $0 6400 136018 Effective Tax Rate (2007/2008): If the property were not exempt from taxes the effective tax rate would be $16.3085 per thousand dollars of assessed value. However, there are .no taxes due to the fact that partial ownership is vested in the City of Springfield. Highest and Best Use: As though vacant - New retail, commercial, or office redevelopment. . As improved - The current building on the site has no contributory value- the property should be redeveloped. Only the existing fencing was given contributory value. Charles P. Thompson & Assoc., Inc. P-KreyLand.l007 10 Land Sale Market Data Utilized in Analysis: Time Price per Adjusted Sale Location Date of Square Square Price per Comments Number Sale Footage Square Foot Foot (10% per annum) 5024 Main Street, 8/31/2004 135,036 $8.15 $10.73 Slightly superior location; Much Springfield larger than subject 2 217 42nd Street, 8/3 1/2004 65,776 $6.31 $8.31 Slightly inferior location; Much Springfield larger than subject 3 4555 Main Street, 8/24/2005 29,040 $7.06 $8.61 Slightly inferior location; Smaller Springfield than subject 4 4585 Main Street, 9/27/2005 29,198 $7.02 $8.49 Slightly inferior location; Smaller Springfield than subject Southeast Corner Similar location, smaller corner 5 of 43rd PI. & 42nd 1/3/2006 27,007 $8.75 $10.35 St., Springfield parcel 128' west of 34th Inferior location, smaller interior 6 & Main St., 3/16/2007 21,186 $6.61 $7.03 Springfield parcel 4119 Main St., Similar location, smaller site, 7 Springfield 7/25/2007 18,292 $7.76 $7.97 improved with a house built in 1935 with interim value only. Small panhandle interior lot, East of 199 S. 13,812 $13.39 $13.75 superior location adjacent to 8 58th St., 7/25/2007 ( eff.) Walgreens with paving & Spri~gfield 16,553 $10.70 $10.99 landscaping in place. Purchased (gross) by adjacent Taco Time owner Interior paved lot encumbered with West of 4270 an access easement. Inferior due 9 Main St., 8/17/2007 11,326 $7.83 $7.99 to impact of access easement. Springfield Purchased by adjacent Subway owner for parking. Similar location, corner. Older 10 4396 Main St., improvements to be razed. Leased (lease) Springfield 11/1/2007 26,562 $13.84 $13.84 to Enterprise Rental ($2,450/mo. Discounted 8%) - Annual CIP with 3% cap. Subject 4919-4915 Main 10/27/2007 37,662 Interior lot improved with older St., Springfield improvement to be razed As shown above, a range of between $7.03 and $13.84 was deemed appropriate for the price per square foot of land for the subject. A value of $9.50 per square foot times 37,662 square feet, or $357,789, say $358,000 was concluded to be the current value of the land involving the subject property. Charles P. Thompson & Assoc., Inc. P-KreyLand.1007 11 Improvement Value: Final Value Conclusion: Estimated Marketing Period: Estimated Exposure Time on Market: There is currently a concrete block building on the subject property, built in 1963. The building is approximately 2,928 square feet and according to the Lane County Assessor's office was in "poor condition" during an inspection in 1996. No repairs or maintenance have been made since that time. Due to the age and condition of the building it is deemed to have no contributory value. There is also a six foot tall chain link fence which is located around the perimeter of the subject. This fence is valued at $9.50 per lineal foot times 922.6 lineal feet, or $8,764, say $9,000. Land: $ 358,000 Improvements: $ 9,000 Total: $ 367,000 The subject property is judged to have a marketing period (if properly priced) of approximately six to nine months. The estimated. exposure time on the market is estimated to be six to nine months. Charles P. Thompson & Assoc., Inc. P-KreyLand.1007 12 ASSUMPTIONS AND LIMITING CONDITIONS 1. This is a Restricted Appraisal Report which is intended to comply with the reporting requirements set forth under Standards Rule 2-2(c) of USPAP for a Restricted Appraisal Report. As such, it presents no discussions of the data, reasoning, and analyses that were used in the appraisal process to develop the appraisers' opinion of value. Supporting documentation concerning the data, reasoning, and analyses is retained in the appraiser's file. The information contained in this report is specific to the need of the client and for the intended use stated in this report. The appraiser is not responsible for unauthorized use of this report. 2. No survey of the property has been made and no responsibility is assumed in connection with such matters: Sketches in this report, if any are included, are only to assist the reader in visualizing the property. 3. No responsibility is assumed for matters of a legal nature affecting title to the property nor is an opinion of title rendered. The title is assumed to be good and merchantable. 4. Information furnished by others is assumed to be true, correct, and reliable. A reasonable effort has been made to verify such information; however, no responsibility for its accuracy is assumed by the appraiser. 5. All mortgages, liens, encumbrances, leases, and servitudes have been disregarded unless otherwise specified within the report. The property is appraised as though under responsible ownership and competent management. 6. It is assumed that there are no hidden or unapparent conditions of the property, subsoil, or structures which would render it more or less valuable. No responsibility is assumed for such conditions or for engineering or other expertise which may be required to discover them. 7. It is assumed that there is full compliance with all applicable federal, state and local environmental regulations and laws unless noncompliance is stated, defined, and considered in the appraisal report. 8. It is assumed that all applicable zoning and use regulations and restrictions have been complied with, unless a non-conformity has been stated, defined and considered in the appraisal report. 9. It is assumed that all required licenses, consents or other legislative or administrative authority from any local, state, or national governmental or private entity or organization have been or can be obtained or renewed for any use on which the value estimate contained in this report is based. 10. It is assumed that the utilization of the land and improvements is within the boundaries or property lines of the property described and that there is no encroachment or trespass unless noted within the report. Charles P. Thompson & Assoc., Inc. P-KreyLand.1007 13 11. The appraiser is not qualified to detect hazardous waste and/or toxic materials. Any comment by the appraiser that might suggest the possibility of the presence of such substances should not be taken as confirmation of the presence of hazardous waste and/or toxic materials. Such determination would require investigation by a qualified expert in the field of environmental assessment. The presence of substances such as asbestos, urea-formaldehyde foam insulation or other potentially hazardous materials may affect the value of the property. The appraiser's value estimate is predicated on the assumption that there are no such materials on or in the property that would cause a loss in value, unless otherw\se stated in the report. No responsibility is assumed for any environmental conditions or for any expertise or engineering knowledge required to discover them. The appraiser's descriptions and resulting comments are the result of the routine observations made during the appraisal process. 12. Possession of this report, or a copy thereof, does not carry with it the right of publication. It may not be used for any purpose by any person other than the party to whom it is addressed without the written consent of the appraiser, and in any event only with proper written qualification and only in its entirety. 13. The distribution of the total valuation in this report between land and improvements applies only under the reported highest and best use of the property. The allocations of value for land and improvements must not be used in conjunction with any other appraisal and are invalid if so used. 14. Neither all nor any part of the contents of this report, or copy thereof, shall be conveyed to the public through advertising, public relations, news, sales or any other media without written consent and approval of the appraiser. Nor shall the appraiser's firm or professional organization of which the appraiser is a member be identified without written consent of the appraiser. 15. This appraisal was done under market conditions prevailing on the effective date of this appraisal. Because real estate values are very dependent on market conditions and markets tend to change over time, no responsibility is assumed for market conditions affecting the value of the property beyond the date of this appraisal. 16. Acceptance of and/or use of this appraisal report constitutes acceptance of the foregoing general assumptions and general limiting conditions. 17. The Americans with Disabilities Act (ADA) became effective January 26, 1992. The appraiser has not made a specific compliance survey and analysis of this property to determine whether or not it is in conformance with the various detailed requirements of the ADA. It is possible that a compliance survey of the property, together with a detailed analysis of the requirements of the ADA, could reveal that the property is not in compliance with one or more of the requirements of the Act. If so, this fact could have a negative effect upon the value of the property. Since the appraiser has no direct evidence relating to this issue, the appraiser did not consider possible noncompliance with the requirements of the ADA in estimating the value of the property. Charles P. Thompson & Assoc., Inc. P-KreyLand.l 007 14 CERTIFICATION The undersigned does (do) hereby certify that, to the best of my knowledge and belief: the statements of fact contained in this report are true and correct; the reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and are my personal, unbiased professional analyses, opinions, and conclusions; I have no present or prospect~ve interest in the property that is the subject of this report, and I have no personal interest with respect to the parties involved; I have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment; my engagement in this assignment was not contingent upon developing or reporting predetermined results; my compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the case of the client, the amount of value opinion, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal; my analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice; I have made a personal inspection of the property that is the subject of this report; Emily S~haffner, State Registered Appraiser Assistant (Registration No. AA02201) provided professional assistance to the person signing this report; The Appraisal Institute conducts a program of continuing education for its designated members; As of the date of this report, I, Paul H. Schaffner, MAl, have completed the requirements under the continuing education program of the Appraisal Institute; In my opinion, the fee simple market value of the subject property, effective October 29,2007, was concluded to be $367.000. N & ASSOCIATES, INC. Charles P. Thompson & Assoc., Inc. P-KreyLand.lO07 15 ADDENDA OCT-25~2007 15:26 OCT-O~-2007 13;39 LEAHY 8. COX LLP Cascade Title Company 541 746 4109 P.02 641 485 Q307 P.02 EXHIBIT "A" lunlflWIIII~l ..... ... QA~Agi! TLE. . PR~LIMINARY TIT~E REPORT SOP~Lm<<BN'l'Ar, I.EAHY " KIEAAN, ATTORNl!:Y$ 1\:1' LAW 223 A STREET, SUITE D SPRINGFIE~D, OR 97477 OetQl:Ier 3. Report: No I \"QUt' No; Seller: auye:r:~ 200'7 02$339~ KRSY TRUST TO COME l?R!i1t.%M4NARY R~~ORT FOR.: owne~ls St.ndatd ~licy $T/c PAEMt!!1~ : owner's StaoQa~d l?~em1um; Gove~ment Serviee Fee; . Temporary ail~1ng: $lIC $25.00 .;',25.00 We are prepareQ ~o is~ua ~992 ALTA title insti~ance ~olicy(ies) of CHICAGO TIt~ INS\'JRM'CE: COMPANY Qf ORIiiGON, in the usual form i.r:uiut'1ng t.h.e title to the land described as follows I Vestee: (k'.rTACMED) MII:DR.EO 'E. KREY, t~ustee ot the ncn-ma~it.l share created in ehe KREY TRUST dat~d D~cember 21, 1~9S, as to an unQ~v~ded on.-h~lf inta~ese, ana the CITY Ov SPRINGtF~~LP, a Municipal Corporation of ~be $tate.of Or~gon, as to an undivided one-half !nteres~ ~ATED AS OF~ SSPT~MBE~ 21, 2007 AT 8;00 A.M. ScheQ~le B of the pOlicy(ies) to be i~suea will con;~in the tol~owing general and sp~~ial ex~epeio~s unless removed prior to is~uancel GENSRAL EXCEPTIONS (Stap.~i).=d Coverage pOlicy ~ceptions) : 1. TaX$$ O~ assessments which are no~ ahown aa ex1.cing liens by the roeords of ~ny taxini authority tha~ ~ev1e~ ~$Xee Or assossments on real property or QY the public records. Pro~eeding~ by A pub11c agency which may result in taxes O~ assessments, or notices of aueh p~oeeedin9$1 whether or not shown by che ~e~ords of such ageney O~ QY the publ1e ~ecords. 2. Easements. lienb I enC::\imgrances I interests 02:' claims thereof which are nol: .sh.own by the public ~~eord'. Any faces. righ~a, interests or claims whi~h a~~ .not shown by the publi~ records but which could be ascertain~d by an ~n~eoeion of the land cr by making inqulry of persons in possession the~eQf. No liabiliJy is assumed hereunder until policy h4f been issued andful/ policy premium has been paid. MAtR o~~tc~ , 811 NILLAME~E ST. · av~NE, O~ 97401 * PH: (541) 687-2233 FLORSNCS * 1901 UWY 101 - s. 2 <<FLO~CB, OREGON 97439 . ~H: (541) 997-8417 EOQENZ FAX; ~S5.0301 * g-MAIL; inf~~SC8det1tl~.Qcm . rLOXENCS FAX; 99'-824' OCT-25-2007 15:27 OCT-03-2007 13:39 LEAHY & COX LLP Cascade Title Company 541 746 4109 P.03 541 486 0307 P.03 Order No. 0253J~6 Page 2 3. Discrepancies, ~onflicts in boundary lines, shortage in ~~ea. encroaohments. or any other Eactswhich a correct survey would disclcs:, and which are not shown by the publi~ records. ~. (a) Unpatentec min~ns ol~ims; (b) Rese~~ations Or exceptions in PAtent~ or in Acts authorizing the issuance eheteof; (cl Water rignts, claim5 C~ title to water whether or not ~he ma~ter5 excepted under (a), (b), or (c) are shown by the publie records. 5. Any lien or right to a lien. tor services, labor or material here~ofore or hereafter furnished. imposed by law nOt ShOwn by the public records. S~ECI~ ~XCEPTrONS: 6. Taxee for the fisc~l year 2007-2008, a l~en not yet payable. 7. Easement, incluQing the t~rms and provisions the~eof, g~~nted The City of Eugene. Oregon, a municipal corpQ=aeior., by and through the Eug=ne Water Soard, by inst~ument recorded October 27, 194', in Soak 359, Page 360, Lane Couney Oregon Deed Records. s. ~asement ~ver existing roadway, ae r~serv.d in Deed from George D. Smith and Helen ~. Smith, husband ana wife, to kenn~th M. Xrey and Mildred ~. Krey. hus~and and Wife, reCO~QeQ February 5, lSG5, R~eeption No. 91298, Lane County Oregon Deed Recgrd~, NOTE: The property adare~~ as shown on the Assessor's ~oll is: 4909, 4911 and 4915 ~ain Street ~p~ingfield, OR ~747a NOTE: Taxes. ~ocoune NO. 013601B, Assessor's Map NO. 17 02 3J 3 a, #6400, Code 19-00, 2006-2007, in the amount ot $827,71, PAlO !N FULL. NOTE: We find a Dea~h Certificace recorded November 14, 2006, Rseeption No. 2006- 081870, ~ane County Deeds and ReQO~~8, ~isclos1ng the death of Kenne~h Maurice Krey. NOTE, The po~iey of eiele insu~ance w11l ~nQ~~de an a~b1tration provision. The Company or the inaureQ may demand arbitration. Atbitrahle matters may inClude, but are not ~~mited to. any controversy or ela~m between tbe Company and the insured ari~in~ out of or relating to this policy, any service of the co~~any in connection with its issuance or the breach of a policy provision Or othe~ Obligation. Please ask your eScrow O~ eit1e officer fo~ a aamplecopy of the policy to ~ issued if you wish to r~visw the arbitration provision~ and any otber provis1one pertaining to YOur Title In~urance coverage. OCT-25-2007 1~:27 OCT-0~-2007 13:39 LERHY & COX LLP Cascade Title Company 541 746 4109 P.04 641 485 0307 P.04 Order NO. 0253395 page j This report is preliminary to the iS$~~nce of a policy of ticle ~nsu~ance and shall become null and VO~Q unless a policy is iS$ue~ and the full premium paid. Capcade Title Co. 77 By: ~dl Title Officer: JIM HIGGINS eel BILL B~WER FAX NO.: 344-2025 ec: TOM WURTZ !-MA;tt.1 WURTZANDLOG~@1\OJ;..COM OCT-25-2007 15:27 LEAHY & COX LLP OCT-03-2007 13:39 Casc~de Title Company 541 746 4109 P.05 541 486 O~07 P.DS O~der NO. 0253396 Page 4 PROPERTY DESCRIPTION PARCEL 1: Beginning at the conc~ete monument ma~~~n9 the Northwest corner of the A. W. ~.mmitt Vonation Land Claim No. 3B, Township 17 south, RangQ 2 West of the Willamette Me~id:i.an; t.h(!noe South 00 14' 37" West; 12~1.a2 feet to .. point on the South right of way line of Main Street (McKenzie Hiihwayl; then~e South 890 44' lase 1387.06 teet along the So~th right of way :ine of Main Street to a po~nt th~t is the true point of beginning; ~~nning thence South e90 44' Ea~t 10'.00 tee~ mo~e or leSS along the South right of way line ot Main Street to a poin~ that is 1279.25 feet ~orth 890 44' West of the E.st l~ne of tha A. W. Hammitt Donation Land Claim No. 3B. and on the South riiht of way line of th.e .MoKenzie Highway; thence South 00 18 I 36 II We/ilt; 120 feet: to a point; thence No~th 899 44' West 106.00 feet more or less, to a point on the ~ast line of the Western Amusement Co.'t: lar.d; thence North 00 lB' 36" East 120.00 teet along the East line of said Amusement CO.'S land to the true point of beginning, all i~ ~he City of Springfield, L~ne County, Or.gon. PARCEL 2: Beginning at che concrete monument marking che No~thwest oorner of the A. W. ffamm~~t Oo"~tion ~nd Claim No. 3B, ~ownship 17 SQuth, ~ange 2 WeSt of the Willamette Me~iQ~~n; thane~ South 00 14' J7" West 129~.a2 feet to a pOine on the Sou~h right Of way line of Mai~ Street (MCKenzie Highway); thence soueh 890 441 ~ast 1387.06 feet along the South rig~t of way line of Main Str~et to a point ~hat is 1385.25 feet; No~Ch S90 ~i' West of :he ~~St line of the A. W. Hammitt Donation Land Claim No. 38, and on the South right of way line of ::he McKenzie Highway; thent:e South o~ 18' 36" West; 120 fee~ to the true point of begi~~in~: thence South 89Q 44' East l06.00 feet to a point; theno@ Soueh O~ 18' 36" West 23$.3 feet; thence North 890 44' West 106.00; thence NQ~th 0 c :U:I' 3 S" East 235.3 feet to the true point:: of beginning, all in ~he City of Springfield. Lane County. Oregon. OCT-25-2007 15:27 OCT-03-2007 13:39 I, ~ '\ I ~ ,~ LERHY 2,< COX LLP Cascade Title Compan~ () , \ ~ ~I ~ I ~ I ) ~ \ , ~ 541 746 4109 P.06 541 485 0307 P.06 't " ~ , q .Ill ~ a . o 11\ \ ~ i.r'1 ...,..., ~"'J .... I.... / . J"'C i L. - 0.) -i. ..') -' -.~ .""---- ~'~l_S MAP !S T( ASSIST LOC/\TING t;H:)P~RTY. THE ~OMP.l\r.:'( ASSUMES ",-: ~ I/.nll iTV ~ ,r. "'1>(......,."....,..'" ..',1 ...-.,....., t' fl. :....1 ."'1..-: l"'.t\11'~~C'. . ~ '\ fl:::" ...... No M044'wl to(g.1:~' .... Oil' , ~ Qj Me KENZIE J.- -.,L.. Ill$ll ..-t!'7' . I .ps' .. /,/,,' II 6400 4500 4600 A-700 ~ ill!~ , ic, ~ ~I~. ~ .. .. " .11 '7" //11 . .,ff~ - - - .per ~ .<II'd' t.. _.i . 4800 it .. . . . r'" ~ . "t ~ ~ f"'. ,~ .~ ~~ ~'" . "I ... "> ~l ~ )i .~ ~ ~ .~ ~ //(1" . ~ //(J ~ ~. 4900 ~ ... /(Iff!.<(J" . "if 0' ~y" IV, a9..<<.... {"!J.O' /at.' I M^IIR.. ... ,..,.. TOTRL P.06 EXHIBIT "B" ARTICLE 18 COMMERCIAL ZONING DISTRICTS 18.0 '10 EST ABUSHMENT OF COMMERCIAL ZONING DISTRICTS 18.020 SCHEDULE OF USE CA TEOORIES 18.030 LOT SIZE STANDARDS 18.040 LOT COVERAGE STANDARDS 18.050 SETBACK STANDARDS 18.060 HEIOHT STANDARDS 18.070 OFF-STREET PARKING S'rANDAROS 18.080 RESERVED FOR FUTURE USE 18.090 RESERVED FOR FUTURE USE 18.095 RESERVED FOR FUTURE USE 18.100 FENCE STANDARDS 18.IIOSPEClAL USE STANDARDS 18-1 ARTICLE 18 COMMERCIAL ZONING DISTRICTS 18.010 ESTABLISHMENT OF COMMERCIAL ZONING DISTRICTS. In order to fully implement the policies of the Metro Plan, regulate the use of land, structures and buildings, and protect the public health, safety and welfare, the following zoning districts are established in this Article: (1) NC NEIGHBORHOOD COMMERCIAL DISTRICT. The NC District is intended to fully iInplement Metro Plan Text addressing Neighborhood Commercial facilities and any applicable refmement plan. This district designates sites up to 3 acres in size to provide day to day co~rcial needs for support populations up to 4,000 people. NC developments should enhance rather than intrude on the character of a neighborhood by using landscaping, building materials and design features that are similar to and in proportion with residential uses. New NC zoning districts larger than 1.5 acres shall be limited to collector and arterial streets. Existing NC zoning districts on local streets shall not be allowed to expand beyond 1.5 acres unless the devel?pment area abuts a collector or arterial street. (2) CC COMMUNITY COMMERCIAL DISTRICT. The CC District is intended to fully implement the Metro Plan Community Commercial Center designation and any applicable refmement plan.. This district designates sites to provide for a wide range of retail sales, service and professional office use. This district also includes all existing strip commercial areas. (3) MRC MAJOR RETAIL COMMERCIAL DISTRICT. The MRC District is intended to fully implement the Metro Plan Major Retail Center designation and any applicable refmement plan. This district may also be applied to large, vacant tracts of CC Community Commercial land that are suitable for the siting of new shopping centers, in which case the minimum development area shall be 20 acres. (4) GO GENERAL OFFICE DISTRICT. The GO district is intended to encourage appropriate office development and to implement neighborhood refmement plans.. This district is designed to be a transition zone, providing a buffer between residential and more intensive commercial development at the boundaries of a Community Commercial or Major Retail Commercial designation. A development area of at least one acre shall be required. 18.020 SCHEDULE OF USE CATEGORIES~ The following uses are permitted in the districts as indicated subject to the provisions, additional restrictions and exceptions set forth in this Code. . "P'" = PERMITTED USE, subject to the standards of this Code; may be processed under Type I, II or III procedures (please refer to Article 3 of this Code). 18-2 "S" = SPECIAL USE, subjectto special locational and siting standards to be met prior to being deemed a permitted use; may be processed under Type I, II or III procedures (please refer to Article 3 of this Code). "D" = DISCRETIONARY USE, mayor may not be permitted, based upon the application of general criteria; may be subject to special locational and siting standards to be met prior to being deemed a permitted use; processed under Type III procedures (Please refer to Articles 3 and 10 of this Code). r - = NOT PERMITTED SITE PLAN REVIEW SHALL BE REQUIRED unless specifically exempted elsewhere in this Code. (2) Automotive, marine and mobile/manufactured homes sales, service, storage and repair (Section 18.110(2)): (a) Auto and truck dealers, new S S (b) Auto and truck dealers, used S (c) Boat sales and accessories S S (d) Car Washes P (e) Garage, repair s D (f) Manufactured home and RV sales including campers, canopies and other accessories S (g) Motorcycle sales and repair P S (h) Private parking lots and garages P P 18-3 (i) Rental, automotive and truck s s (j) Service stations s p s (k) Tires, batteries and accessories p s (3) Business and professional offices and personal services (Section 18.110(3)) (a) Accountants, bookkeepers and auditors P p P P (b) Advertising / marketing agencies p p p p (c) Architects, landscape architects and designers p p p P (d) Art Studios, fme p p p p (e) Art restoration p p p p (f) Attorneys p p p p (g) Audio I video production studio p p p (h) Authors I composers p p p P (i) Banks, credit unions and savings and loans P P P P (j) Barber and beauty shops p p P (k) Business Schools p p P (1) Catering Services P P P (m) Clinics and research I processing laboratories P P P P (0) Collection agencies P P P P (0) Commodity contract brokers and dealers P P P P 18-4 (P) Computer and information services p p p p (q) Day car facilities S S S S (r) Dentists p p p p (s) Detective and protective agencies p p p P (t) Diaper services p p p (u) Doctors p p p p (v) Drafting, graphic and copy services p p p p (w) Employment agencies and services p p p p (x) Engineers and surveyors p p p p (y) Financial Planning, investment services' p p p p (z) Funeral services p p p (aa) Graphic art services p p p P (bb) Gymnastics instruction p p p p (cc) House cleaning services p p p P (dd) Insurance carriers, agents, brokers and services p p p p (ee) Interior decorator and designers p p p p (ff) Laundry, dry cleaners, including self service, and ironing servIces .p p p (gg) Loan companies, other than banks p P P P (hh) Locksmiths P p P (ii) Lumber brokers p p p p (jj) Mailing services I mail order sales p 'p p p 18-5 18-6 (4) Eating and'drinking establishments (Section 18.110(12)): (a) Cocktail lounges p p p (b) Delicatessens and sit down restaurants including espresso shops p p p S (c) Drive up restaurants and espresso shops p p P (d) Taverns and brew pubs D p P (5) Public utility facilities (section 18.110(4)): (a) High impact facilities S S S (b) Low impact facilities p p p p 18-7 (6) Recreational facilities (Section 18.110(5)): (a) Amusement park p p p (b) Arcades p p p (c) Art studios, performing p p P (d) Athletic field p p p (e) Auditoriums S S p (t) Batting cages S S S (g) Bingo parlors S S S (h) Bowling alleys p p P (i) Dance halls S S S (j) Exercise studios p p p S (k) Exhibition hall p p P (I) Golf driving range p p p (m) Gyms and athletic clubs p p p (0) Hot tub establishments p p p (0) Hydrotubes S S S (P) Miniature auto race track p p p (q) Miniature golf p P P (r) Movie theaters, indoor p p p (s) Movie theaters, drive- in D (t) Non Alcoholic Night Club S S S 18-8 (u) Off-track betting facility p p p (v) Parks, private and public p p p (w) Playground p p p (x) Play I tot lot P P P P (y) Pool halls p p p (z) Recreation center p p p (aa) Riding stable p p P (bb) Rodeos p p (cc) Shooting range (Also subject to provisions of Springfield Municipal Code, 1997 S S (dd) Skating rinks S S S (ee) Stadiums p p p (ft) Swimming pools P p P (gg) Tennis, racquetball and handball courts P P P (hh) Theater, legitimate p p P (ii) Velodromes p p P (7) Religious, social and public institutions: (a) Branch educational facilities p p p (b) Charitable services p p p (c) Churches, temples and weekly religious schools P P P P (d) Community and senior centers p p p (e) Fraternal and civic organizations p p p 18-9 (f) . Hospitals p P P (g) Labor unions p p p (h) Public offices p p p P (i) Private / Public Elementary and Middle Schools (18.110(14)) D* D* (8) Residential uses in areas designated mixed use in the Metro Plan, Refmement Plans or Mixed Use Districts in this Code (Section S S S 18.110(6)) (9) Retail sales (Section 18.110(7)): (a) Antiques p p p S (b) Apparel p p p S (c) Art galleries and museums p p p S (d) Art supplies p p p (e) Auction I flea markets S S (f) Bakeries p p p (g) Bicycles p p p (h) Books p p p S (i) Cameras and photographic supplies P P P S (j) Candies, nuts and confectioneries P p P S (k) China, glassware and metal ware P P P (I) Cigars and cigarettes p p p p (m) Computers, calCulators and other office machines P P S (0) Convenience stores p p p S 18-10 (0) Dairy products P p P (P) Department stores p P P (q) Drapery, curtains and upholstery p P P (r) Dry goods and general merchandise P P P (s) Electrical supplies P P P (t) Equipment rental and leasing P P (u) Fabrics and accessories P P P (v) Farm equipment p P (w) Feed, grain and hay P P (x) Film drop off and pick up p p p (y) Fish P p P (z) Floor coverings p p p (aa) Florists P p P S (bb) Fruits and vegetables p p p (cc) Furniture P p P . (dd) Furriers p p p (ee) Groceries p p p (ft) Hardware p P' P (gg) Hobby supplies P P P S (hh) Household appliances P p P (ii) Jewelry p P P S (jj) Liquidation outlets P p P 18-11 (kk) Liquor outlets (State) p p P (II) Luggage and leather p p p S (mm) Magazines and newspapers p p p P (DO) Mail order houses p p p (00) Meats p p p (Pp) Medical and dental supplies p p p S (qq) Musical instruments and supplies p p p S (rr) Novelties and gifts p P P S (ss) Office equipment p p p S (tt) Paint, glass and wallpaper p p p (uu) Pharmacies p p p , S (vv) Pottery p p p S (ww) Radios, televisions and stereos P p P (xx) Second hand and pawn shops S S S (yy) Sewing machines p p p (zz) Shoes P p P (aaa) Small electrical appliances p p P (bbb) Sporting goods p p p S (ccc) Stationary p p P (ddd) Supermarkets P P P (eee) Toys P P P S 18-12 18-13 (d) Helistops S S (13) Warehouse commercial retail and wholesale sales (Section 18.110(11)): (a) Cold storage lockers p (b) Electrical supplies and contractors p (c) Floor coverings sales p . (d) Fuel dealers S (e) Heavy equipment and truck rentaVsales S (f) Indoor storage, other than mini-warehouses, and outdoor storage areas I yards S (g) Large electrical appliance sales p p (h) Lumber yards and building materials S (i) Merchandise vending machine operators P (j) Mini- warehouses S (k) Plumbing and heating supplies and contractors S (I) Unfinished furniture p (m) Uses listed under automotive and retail which are wholesale uses. (See appropriate sectioo) (14) Secondary uses serving or related to orrsite commercial uses. (Section 18.110(13)): (a) Manufacture or assembly of goods or products to be sold on premises P (b) One single family dwelling, attached or detached, as a secondary use. P P 18-14 18.030 LOT SIZE STANDARDS. The m~um lot size in all commercial districts shall be 6,000 square feet with a minimum of 50 feet of street frontage. Exceptions to these standards may be allowed for the 'following: (1) Lots created prior to the adoption of the Comprehensive Zoning Code, 1982 (2) Panhandle lots shall not be permitted in the GO, MRC or NC Districts. Panhandle lots may have a reduced frontage of 40 feet in the CC district. (3) The Director may waive the requirement that buildable City lots have frontage on a public street when all of the following apply: (a) The lot or lots have been approved as part of a Development Area Plan, Site Plan, Subdivision or Partition application, and (b) Access has been guaranteed via a private street or driveway by an irrevocable joint use/access agreement. 18.040 LOT COVERAGE STANDARDS. Lot coverage standards are limited only by standards specified in other Sections of this Code, except that lot coverage standards in the NC District shall be subject to the following: (1) For development areas less than 1 acre - building coverage shall not exceed 35% if the total development area. (2) For development areas between 1 and 2 acres - building coverage shall not exceed 35% of the total development area: (3) For development areas between 2 and 3 acres - building coverage shall not exceed 35% of the total development area. No single lease space shall exceed 15,000 square feet. (4) Parking, loading and vehicular circulation area coverage shall not exceed 45% of the total development area. (5) Perimeter and interior landscaping area combined coverage shall not be less than 20% of the total development area. 18.050 SETBACK STANDARDS. In all commercial districts, each lot shall have planted setbacks of not less than the following sizes: (1) Front, Street Side Yard and Through Lot Rear Yard. 18-15 (a) Building setback 10 feet (b) Parking, driveway and outdoor storage setback 5 feet (c) Except: in NC districts this setback shall be 7 feet (2) Interior Side Yard and Rear Yard Setbacks When Abutting Residential Districts or CI District: (a) Building setback 10 feet (b) Parking, driveway and outdoor storage setbacks 5 feet Except: in NC districts this setback shall be 7 feet (3) There shall be no setback requirements for buildings in the Downtown Exception Area. (4) Where an easement is larger than the required setback standard, no building or above grade structure, except for a fence, shall be built on or over that easement. (5) When additional right of way is required, whether by City Engineering standards or the Metro Plan (including the TransPlan), setbacks shall be based on future right of way locations. Right of way shall be dedicated prior to the issuance of any building permit that increases required parking. (6) Architectural extensions may protrude into any 5 foot or larger setback area by not more than 2 feet. 18.060 HEIGHT STANDARDS. In the NC District the maximum building height shall be 20 feet. There are no building height limitations in the GO, CC or MRC Districts unless abutting an LDR or MDR District. In this case, one of the following shall apply: (1) When a GO, CC or MRC District abuts an LDR or MDR District to the north, the maximum building height shall be defined by the Maximum Shade Point Height requirement of Section 16.050(5)(a) 2, or up to 50 feet south ofa northern lot line a plane extending south with an angle of 23 degrees and originating from the top of a 16 foot hypothetical fence located on the northern lot line. 18-16 (2) When a GO, CC or MRC District abuts an LDR or MDR District to the east, west or south, the building height limitation shall be no greater than that permitted in the LDR or MDR Districts for a distance of 50 feet. (3) Incidental equipment may exceed the height standards specified in Subsections (1) and (2) of this Section. 18.070 OFF-STREET PARKING STANDARDS~ The Downtown Exception Are~ shall be exempt from the motor vehicle and bicycle parking space requirements of this Article, except govemment and/or public facilities are not exempt from the bicycle parking requirements. Any voluntarily installed parking shall conform to the design standards of this Code. ,Bicycle parking standards and requirements are found in Sections 31.210 and 31.220 of this Code. Parking lots in NC districts shall be designed so that every seventh space shall be developed as a landscaped separator between spaces. ' NC developments that require more than 25 parking spaces shall located half of all the required spaces over 25 behind proposed buildings. Parking lots shall be used exclusively for the parking of vehicles except that parking spaces in excess of the number required by this Code may be used for temporary sales or display of merchandise' where such activity does not create a hazard for automobile or pedestrian traffic. The following off-street parking standards have been established for commercial districts. IN ANY CASE, NOT LESS THAN 4 OFF-STREET PARKING PLACES SHALL BE REQUIRED. USE CATEGORIES NUMBER OF SPACES (1) Accessory structures and other structures not occupied by humans No parking requirements (2) Agricultural and animal sales and service 1 for each 300 square feet of gross floor area (3) Automotive, marine and manufactured home service storage repair 1 for each 300 square feet of gross floor area (4) Business and professional offices and personal services 1 for each 300 square feet of gross service floor area. (5) Eating and drinking establishments 1 for each 100 square feet of gross floor area. 18-17 (6) Public utility facilities (7) Recreational facilities (8) Religious, social and public institutions (9) Residential uses in areas designated mixed-use in the Metro Plan or refmement plans (10) Retail Sales (11) Small scale repair and maintenance (12) Transient accommodations (13) Transportation facilities (14) Warehouse commercial sales (15) Shopping centers and malls 18~18 None, unless associated with other not contlining employees uses. 1 for each 100 square feet of floor area in the primary assembly area and 1 for each 200 square feet of gross floor area for the remainder of the building. 1 for each 100 square feet of floor area in the primary assembly area and 1 for each 200 square feet of gross floor area for the remainder of the building. 1.5 spaces per dwelling unit. 1 for each 300 square feet of gross floor area. 1 for each 300 square feet of gross floor area. 1 for each guest room. I for each 300 square feet of gross floor area not including vehicle storage areas. 1 for each 600 square feet of gross floor area. 1 for each 250 square feet of gross floor area, exclusive of covered pedestrian walkways. Once a shopping center or mall has been approved, no additional parking shall be required, unless there is new construction 18.080 RESERVED FOR FUTURE USE. 18.090 RESERVED FOR FUTURE USE. 18.095 RESERVED FOR FUTURE USE. 18.100 FENCE STANDARDS. (1) General. (a) Except as specified elsewhere in this Code, fences shall not exceed the height standards listed below and shall be located as follows: 1. Six feet, provided that the fence is located behind the required front yard and street side yard planted areas and outside of the vision clearance area. 2. Eight feet for public utility facilities, school yards and playgrounds, provided that the fence is located behind the required front yard and street side yard planted areas and outside of the vision clearance area. 3. Barbed wire, razor wire or electrified fencing shall be permitted atop a six foot chain link fence. The total height of the fence and barbed wire shall not exceed 8 feet. These materials shall not extend into the vertical plane of adjoining public sidewalks. Barbed wire or razor wire only fences are prohibited. Electrified fencing must be posted with warning signs every 24 feet. 4. Two and one-half feet in the vision clearance area in accordance with Section 32.070 of this Code. (b) Fences shall comply with the screening standards of Section 31.160 of this Code. (c) Outdoor storage of materials shall be screened by a sight obscuring fence where abutting residential properties along common property lines. Partial screening along rights-of-way and non-residential zoning districts may be permitted when necessary for security reasons. (2) Review Procedure. (a) A construction permit shall be required for all fences over six feet in height. (b) Fences within the WiIIamette Greenway shall be reviewed under Type III procedure (Discretionary Use). 18.110 SPECIAL USE STANDARDS. 18-19 (1) Agricultural and Animal Sales and Service. (a) Buildings used for the overnight accommodation of animals, and structures that encbse animals, outside of buildings, shall be constructed to ensure that noise or odor do not disturb the normal operation or tranquility of neighboring residential, business, campus industrial or public land uses. (b) Garden supply and feed and seed stores shall be permitted only as secondary uses in the MRC District. The bulk storage or sales of fertilizer, feed or plant materials that require heavy equipment for loading shall be prohibited. (2) Automotive, Marine and Mobile/Manufactured Home Sales, Service, Storage, and Repair. (a) Auto and truck dealers shall occupy an office/sales building (new construction) or any existing structure of at least 1,000 square feet, with non-metallic siding and roofmg, and located where possible on the front portion of the lot, prior to the sale of any vehicle from the lot. Used car and truck sales or car rentals shall be permitted only as secondary uses in the Downtown Exception Area, i.e., where a new car dealership is the primary use. If a new car dealership terminates business in the Downtown Exception Area, and that new car dealership also included the sale of new cars, used cars may continue to be sold from those premises and such business shall be classified as a pre-existing non-conforming use. Such business shall install a decorative iron or masonry fence, raised planter or combination thereof that will prevent vehicles from encroaching on sidewalks. Under no circumstances shall such used car sales business be allowed to expand onto additional property not occupied by used car sales within the previous 90 days. All truck rental facilities shall have approved concrete wheel stops and a 4 foot high fence (except in the vision clearance area), preferably chain or cable, with bollards placed at S foot intervals and secured in the ground with concrete footings of appropriate size and depth to prevent trucks from driving on sidewalks or over curbs. These barriers shall be located between the sidewalk and the paved parking or travel area. (b) Mobile/Manufactured home and RV sales shall be prohibited in the Downtown Exception Area. A permanent office/sales building of at least 1000 square feet, with non- metallic siding and roofmg, which may be a Class A Manufactured Home, shall be located where possible on the front of the lot, prior to the sale or rental of any vehicle, home or accessory product from the lot. (c) All activities associated with motor vehicle repair and service, with the exception of maintenance activities such as pumping gas or changing tires, shall take place within a building constructed to ensure that noise or odors do not disturb the normal operation or tranquility of neighboring residential, commercial, campus industrial or public land uses. Storage of motor 18-20 vehicles to be repaired shall be screened by a sight-obscuring fence. Service stations in the NC District shall be limited to two pumps. A 5- foot landscape strip shall be installed along the street frontage of all service stations. (d) Storage of boats and motorcycles to be repaired shall be screened by a sight-obscuring fence. (3) Business and Professional Offices and Personal Services - Day Care Facilities. (a) Day Care Homes and Day Care Group Homes. 1. Day Care Homes and Day Care Group Homes shall be permitted only in a structure constructed and used for residential purposes. 2. The facility shall meet Children's Services Division (CSD) regulations. (b) Day Care Centers. 1. Day Care Centers shall meet Children's Services Division (CSD) regulations. 2. The out door play area shall be enclosed by a 6 foot high sight obscuring fence. 3. Public sidewalks shall be installed in all cases where there are curb and gutter streets. 4. If possible, each Day Care Center site shall have a circular drive for drop-offs. L-shaped drives or street side drop-offs may also be approved. (4) Public Utility Facilities - High Impact. (a) The facility shall be designated on a public facilities plan or be approved under Type III review procedure. (b) A Site Plan in accordance with Article 31 of this Code shall be approved to screen the facility from affected uses. (5) Recreational Faci.lities. ,(a) Arcades, Auditoriums, Bingo Parlors, Dance Halls(licensed by the state of Oregon in accordance with ORS 167.118), N on- Alcohol Night Clubs, Hydrotubes and Skating Rinks shall not be permitted to abut a residential district. (b) . Non-Alcohol Night Clubs shall locate at least 500 feet from an established tavern. Taverns shall locate at least 500 feet from an established non-alcohol night club. 18-21 ( c) The cumulative total area of exercise studios, sit-down restaurants and delicatessens, and secondary retail uses in the GO District shall be limited to no more than 1 0 percent of the gross floor area of the office building in which they are sited. (6) Residential Uses. (a) In areas designated mixed use in the Metro Plan or a Refmement Plan diagram, Plan District map, or Conceptual Development Plan, multiple family development shall be required to meet development standards as specified in applicable regulation. MDR and HDR District standards contained in this Code shall be followed where a Refmement Plan diagram, Plan District map, or Conceptual Development Plan does not specify development standards, or in areas where no applicable regulation has been' prepared. (b) In areas with mixed use zoning, the residential development standards of the applicable mixed use zoning and/or overlay district shall apply. (c) One single family dwelling, detached or attached to a commercial building in the NC or CC Districts as a secondary use, shall comply with the residential development standards of Article 16 of this Code concerning setbacks and height. (7) Retail Sales. (a) The activities of auction businesses, flea markets, liquidation outlets, second-hand stores and pawn shops shall require a City Business License, unless specifically exempted by the City Council for a Special Event License. (b) The cumulative total area of secondary retail uses, exercise studios, and sit-down restaurants and delicatessens in the GO District shall be limited to no more than 10 percent of the gross floor area of the office building in which they are sited. (8) Small scale repair and maintenance services. In the NC District these services shall take place entirely indoors, and buildings shall be utilized to ensure that noise or odor do not disturb the normal operation and tranquility of neighboring residential ,and business area (9) Transient Accommodations. (a) In the NC District, bed and breakfast facilities shall meet the following standards. 1. The facility shall be owner-occupied. 18-22 2. The number of guest bedrooms shall be limited to four. 3. No guest parking shall be permitted within the front yard setback. Required guest parking shall be screened from public view, 4. For structures on the Springfield Historic Inventory, any external modification shall be fully compatible with the original design. 5. A minimum of25 percent of the lot shall be of planted material. (b) RV Park Standards. 1. New or expanded RV Parks shall consist of a minimum area of one acre. 2. New or expanded RV Parks shall have a 20 foot landscaped perimeter setback. 3. New or expanded RV Parks shall abut an arterial or collector street and shall be designed to direct the flow of traffic away from local streets, in accordance with Section 32.080, Access and Curb Cut Standards. (10) Transportation Facilities. New bus terminals, heliports and helistops shall not be located within 200 feet of any residential district. Noise attenuating barriers shall be constructed where necessary to mitigate land use conflicts. (11) Warehouse Commercial Retail and Wholesale. (a) Buildings shall be located in the front oflots, where possible, to minimize the visibility of outdoor storage yards or areas. (b) Except for sales of heavy equipment and trucks, any outdoor storage yard or area shall be surrounded by a sight-obscuring fence. (c) In the Downtown Exception Area, the storage and display of rental equipment shall be confined within a building. (d) Existing uses in this category shall adhere to the standards of (b) and (c) above within 5 years . after the adoption of this Code. (e) For mini-storage facilities, an on-site manager's living quarters shall be permitted when such living quarters are constructed as part of and attached to a new or existing mini-storage facility. ' 18-23 (12) Eating and Drinking Establishments. The cumulative total area of sit-down restaurants and delicatessens, secondary retail uses and exercise studios in the GO District shall be limited to no more than 10 percent of the gross floor area of the office building in which they are sited. (13) Secondary Uses. Manufacture or assembly of goods or products must occur indoors, must not generate more noise, odor or other physical attributes than the permitted uses, must occupy less than 50% of the floor area of the building, and the goods or products must be sold on premises. (14) Private/Public Elementary and Middle Schools. May be allowed through discretionary approval if the proposed site abuts residentially-zoned property and the special use standards of Section 23.100(7) are satisfied. (Ord. 5342 07/21/86): Sections 18.050; 18.070; 18.090; 18.110. (Ord. 5407 10/19/87): Sections 18.020; 18.070; 18.080; 18.1 00; 18.110. (Ord. S442 07/18/88): Section 18.110. (Ord. 5450 08/06/88): Section 18.110. (Ord. 5466 03/06/89): Sections 18.010; 18.020; 18.070; 18.090; 18.100; 18.110. (Ord. 549109/18/89): Sections 18.010; 18.020; 18.030; 18.060; 18.095; 18.100. (Ord. 5522 08/06/90): Section 18.010. (Ord. 555102/04/91): Sections 18.010; 18.020; 18.030; 18.070. (Ord. 5561 04/15/91): Section 18.060. (Ord. 558007/01/91): Sections 18.010; 18.020; 18..040; 18.050; 18.070. (Ord. 559110/21/91): Section 18.020. (Ord. 5633 05/04/92): Sections 18.080; 18.090; 18.095. , (Ord. 5636 05/18/92): Section 18.110. (Ord. 5728 03/07/94): Sections 18.020; 18.110. (Ord. 5737 05/02/94): Section 18.020. (Ord. 5753 08/15/94): Sections 18.020; 18.050; 18.070; 18.110. 18-24 (Ord. 5804 12/18/95): Sections 18.110. (Ord. 58493/17/97): Section 18.020. (Ord. 5864 11/03/97): Section 18.1 00. (Ord. 5871 01120/98): Section 18.100. (Ord. 5972 02/05/2001): Section 18.070. (Ord. 6133 07/18/05): Sections 18.010, 18.020, 18.070, and 18.110. 18-25 EXHIBIT "C" PROFESSIONAL QUALIFICATIONS PAUL H. SCHAFFNER, :MAl 1234 High Street, Suite A P.O. Box 10233 Eugene, Oregon 97440 (541) 343-8895 Fax # (541) 343-5190 E-mail: KatePauls@aol.com PRESENT POSITION: Paul H. Schaffner is a State Certified Geoeral Appraiser, licensed in Oregon, License No. COOO1l7. He is president of Charles P. Thompson & Assoc., Inc., in Eugene, Oregon. He is qualified to appraise and consult on all types of properties, with the exception of single- family residential and multiple-family residential projects with less than ten units. In addition, he is qualified as a real estate consultant. His geographic area of expertise is generally Western Oregon from Klamath Falls to Portland. EXPERIENCE: Paul H. Schaffner has been appraising full time since March, 1978. He received the MAl designation from the Appraisal Institute in April of 1986. Mr. Schaffner has testified as an expert witness before the Lane County Board of Equalization and Circuit Courts in several Oregon counties. Mr. Schaffner has served on the Board of Directors of the Greater Oregon Chapter of the Appraisal Institute, chairing several committees. EDUCATION: Mr. Schaffner received a B.S. Degree in Agricultural Economics and Busiriess Management from the University of Califoniia at Davis in 1976. He received a Masters Degree in Business Administration, specializing in Real Estate, from the University of Oregon in 1977. He has completed all education requisite for the MAl designation and State Certification. In addition, in the past years Mr. Schaffner has attended the following seminars/courses sponsored by the Appraisal Institute: Subdivision Analysis Commercial and Residential Plans and Specifications Appraisal of Retail Properties Industrial Valuation Construction Cost Analysis Impact of the tax deferred exchange Litigation skills for the appraiser Wetlands and Appraisals & The Mitigation Bank Forest Lands & Timber Appraising and the Internet I.R.S. Review Appraiser Small Hotel & Motel Valuation June, 1994 , February, 1995 March, 1995, June, 1995 March, 1997 April, 1997 May, 1997 July, 1997 September, 1997 October, 1997 November, 1997 April, 1998 Appraising Special Purpose Properties Appraising from Blueprints & Understanding Specifications Internet Search Strategies for Appraising Appraisal of Non~Conforming Uses Current Methods of Assessment & Taxation Partial Interest Valuation- Undivided Real Estate Fraud & the Appraiser's Role Appraisal Standards Board & USPAP USPAP: Part ~ (Course 410) Attacking & Defending an Appraisal in Litigation Separating Real & Personal Property from Intangible Business Assets (Course 800) USP AP Update (Course 400) Business Practices & Ethics (Course 420) Going Concern vs. Business Value of Real Estate Small Hotel/Motel Valuation The Road Less Traveled - Special Purpose Properties USPAP Update Valuation of Detrimental Conditions Scope of Work Appraising Convenience Stores October, 1998 October, 1998 June, 1999 October, 1999 December, 1999 February, 2000 February, 2000 October, 2000 January, 2001 May, 2001 September, 2002 July, 2003 July, 2003 December, 2004 February, 2005 May, 2005 July, 2005 March, 2006 June. 2006 November, 2006 CLIENTS: Financial: Umpqua Bank Citicorp First Security Bank Key Bank of Oregon LibertyBank National Mortgage Oregon Pacific Banking Co. U.S. Bancorp GE Capital Pacific Continental Security PacificBank Citizen's Bank Evergreen Federal Savings U.S. National Bank Washington Mutual Bank Wells Fargo Bank West One Bank Western Bank . Governmental: City of Eugene Lane Council of Governments (LCOG) State Accident Insurance Fund (SAIF) Willamalane Parks and Recreation Corporate: Private: Farmers Insurance Group JELD- WEN Kimwood Corporation Arlie and Company Ashland Hospital Giustina Resources Harvard Medical Jennings & Company Pepsi-Cola Spectra-Physics State Farm Insurance Jenova Land Company Joseph Leahy, AAL John Watkinson, AAL Wildish Properties Vik Construction :JvI.ontesson' Pre-Sclioo[ and p,[ementary Programs 5005 :JvI.ain Street 1< SpringfieUf, 01(97478 541-726-2654 1< 541-726-5527 (Pax) Carra :McQui[(an (j)irector Proposal for the Sale and Development of . ' The Krey Property 5005 ?t!ailv Sttee? SjUuwie/d r@~ 9717cf 1599~~ 7fj'~ ~ 97101 ATTACHMENT 3 - PAGE 1 194Z5,{ Sttee? S~ r@~ 97177 RFP: For the Sale of the Krey Property on Main Street Private, Investor: CLADD Enterprises, LLC CLADD Enterprises, ~LC is a Limited Liability Company held by Lucas and Carla McQuillan, residents of Springfield, Oregon. CLADD Enterprises, LLC has invested in multiple properties in the Springfield area for the sole purpose of providing facilities to operate Montessori Education and Teacher Training programs. Developer: Main Street Montessori Association Incorporated as a 501 (c )(3) nonprofit in 1996, Main Street Montessori Association has provided education and childcare in the community, doing business as Children's Choice Montessori Schools. The original Children's Choice Montessori campus is located at 5005 Main Street, immediately east and adjacent to the Krey's property on Main Street. Proposed Purchase Price: $350,000 Proposed Use: The Krey's property would be used to expand the Children's Choice Montessori facility to provide sufficient classroom and playground space to accommodate the Public Charter School program. Note: Construction on the Krey's property could be used to house either the childcare center or the Charter School program, in conjunction with current facilities at 5005 Main Street. Background: In 1996, Children's Choice Montessori opened a private Montessori preschool and elementary program, constructed on the acre of land adjacent to the Krey's property. The programs expanded in 1998, increasing the licensed capacity to 120 students. In 2005, the Elementary program was recognized by the Springfield School District as an Alternative Education Program, funded by State revenue. Changes in State policies, and by no fault of Children's Choice Montessori, the Alternative Education status was not renewed in 2007. In response, Children's Choice Montessori applied to become a Public CharterSchool. The process for approval is currently in the appeals stage, with an estimated resolution by the Board of Education in February or March of2008. Acquisition of the Krey's property would provide the ideal location for the first Public Charter School in Springfield. Meeting the Goals for the Sale of the Property: In addition to providing funds for the construction and outfitting of the Police, Courts and Jail buildings, acceptance of this proposal would achieve the following: ATTACf.IMENT 3 - PAGE 2 1. Investment and development in a short timeline. a. Due to the need for immediate expansion in preparation for the 2008-2009 school year, most of the development would be scheduled for completion within one year. This would necessitate a site plan review process and subsequent contracts for construction, as well as furnishing of the facility. b. Children's Choice Montessori Public Charter School was awarded a Federal Grant for the start-up costs of the Charter School. The $300,000 grant to be funded over a period of two years will provided additional financial stability and revenues to the community. 2. Provide permanent family wage jobs. a. Wages for staff at the Charter School are currently slated to range from $10 to $20 per hour for support staff, with annual salaries of $30,000 to $60,000 for teachers and administrators. b. The Charter School proposal estimates the creation of 18-25 new family wage jobs over the next three years. c. Employees working more than 15 hours per week will also receive full medical and Public Employees Retirement System (PERS) benefits. 3. Limited Main Street Access ODOT's restrictions regarding Main Street access points would be inconsequential, as the current school facility's ingress and egress could be used to access the lot next door. The ability to access the lot from the back of the property at 49th Place, might be explored as an alternative access point for staff parking. 4. Use ofthe Entire Site The current Children's Choice Montessori school facility consists of five classrooms, an auditorium, administrative space and playground. The student capacity is 120. At full enrollment, the Charter School will enroll 144 students. The plan for development on the Krey property would include the construction of three classrooms of approximately 1,000 square feet per room, additional playground equipment and parking. (Consultation with a surveyor would be required to determine the most appropriate placement and design). These additions would easily use the entire lot of .86 acres. 5. Prior successful completion of similar projects a. The 5005 Main Street Children's Choice Montessori project began its planning phase in January 2006, after the purchase of a vacant acre of land. The site plan review through to the final approval for occupancy was completed in less than eight months. This project involved a full site preparation, including utilities, storm drains, planter strips, building foundations and sewer lines. Once the manufactured buildings were delivered, there were wheelchair ramps, stairs and walkways added. b. The second phase of construction was the addition of a 2,000 square foot stick-built classroom structure. This project was completed in less than a six-month period. c. The proposers recognize that the site plan review process has changed since then, but a general understanding that rules and ordinances will apply is a solid foundation from which to procede. , ATTACf.IMENT 3 - PAGE 3 6. Additional Advantages/Benefits to the Community a. Public Charter School Many families choose their city of residence based upon the education options. Children's Choice Mo~tessori is seeking a location for what will be the first Public Charter School inthe Springfield School District. The hospital's relocation to Springfield is likely to create an influx of employees and their families across the river. The probability ofthis would be increased by the Charter School option. b. Community Beautifi9ation Projects Children's Choice Montessori has acquired a new location on 5th Street in Springfield. Main Street Montessori Association has an agriculture/nursery license to market irises. Our plan is to provide firsthand experience in community service by involving the students in community beautification projects. Thank you for the opportunity to submit arequest for the purchase of this property. Your time and careful consideration is greatly appreciated. Please do not hesitate to contact me at 541-726-2654. Submitted by: Carla McQuillan Member of CLADD Enterprises, LLC Executive Director of Main Street Montessori Association ATTACf.IMENT 3 - PAGE 4 George T. Travess 1495 Cheek Street Springfield, OR 97477 747-9940 December 7, 2007 Community Development Manager 'City Manager's Office City of Springfield 225 Fifth Street Springfield, OR 97477 Re: Request for Proposals (Krey Property), Tax Lot 17-02-33-32-06400 4909, 4911 and 4915 Main Street, Springfield, Oregon I am prepared to purchase the Krey property in accordance with the Request for Proposals dated October 25, 2007 for a purchase price of $331 ,000. I am one of the owners of the Briarwood Assisted Living Center located west of the Krey property. If I am the successful bidder, I propose to use the southerly portion of the property for construction of retirement cottages. I believe that the property is sufficiently large to allow eight units. Enclosed are pictures of several types of retirement cottages similar to what I envision building. The cottages would be integrated with the Briarwood Assisted Living Center so that cottage residents would have the option of community dining at the Assisted Living Center and participating in other Assisted Living Center activities. The existing structure on the property would be remodeled or demolished. I intend to put a highway-oriented commercial facility on the north part of the Krey property. The specific use, size and design have not yet Qeen determined. If I am successful in purchasing the property, I expect to have the retirement cottages and commercial facility constructed within two years. I recognize that the City is looking for development proposals that will create family wage jobs. I have been in business in Springfield for over forty years. In my opinion, the size, location and zoning for the property are not suitable for any type of business activity which has a probability of providing family wage jobs. In my opinion, the only realistic use for the property is institutional residential use or service or retail commercial use. If selected as the successful bidder, I am prepared to close the purchase within thirty days. The only requirement will be marketable title to the property. sinc7)7 .~~r~ George T. Travess Enclosures ATTACHMENT 3 - PAGE 5 ,-, i: tz2 :z: I-i CIJ I "'d :> o ~ a> I;: t.:\~j ( :";!;(~!,...~:. . F OX RIVER A PPLETON. WISCONSIN QUADPLEX RENDERING )IILl',1J20iJ6 HILL ARCHITECTS 3 7 2 3 F A I R V I E WIN D U S l' R I A L DR S E SUITE 110 SALEM OREGON 97302 .:\", r"'." ..:., > ~ ~ > (') ~, , . i! 'f I ~ ,if,~,. ~ c..J I "'d > Q tz:l ~ ] .> ~ ~ > ("') ~ i: tz:I z: ~ I~ "tl ~~~~;~' . C.W. Walker & Associates, LLC Real Estate Brokers & Consultants CLAYTON WALKER, CClM PRINCIPAL BROKER December 7,2007 DEe 7 - 2007 3:1o~ CHUCK KOEHN PRINCIPAL BROKER John Tamulonis Community Development Manager City Manager's Office (CMO) 225 5th Street '- Springfield, OR 97477 Dear John Tamulonis: I am pleased to present the following proposal of behalf ofTTT Ranch LLC (purchaser) to purchase approximately .86 acres ofland and building located on Tax Lot 17-02-33-32 I 06400, Springfield, OR. This Letter of Intent is intended to express the Purchaser's ability and willingness to purchase the subject property. 1. Purchase Price: Three Hundred ThiI1y Thousand, One Hundred Dollars ($330,100), all cash at closing. 2. Proposed Use: Purchaser is in the process of developing a similar property at 4396 Main and intends to look for similar opportunities for commercial use of the ' subject. 3. Timing of Construction: Purchaser will begin immediately to pursue opportunities to develop the subject, but is unsure of a time frame at this time. 4. Assignment Purchaser may assign. Thank you in advance for considering this Letter of Intent. Please call with questions or comments. Respectfully yours, j-fc~7 :;- ?tW., ~~~. Martin C.W. Walkerand Associates LLC AGREED AND ACCEPTED: TTT RANC By: Date: 1225 Lawrence Mail Box 1338 · Eugene, OR 97440 · Voice (541) 484-4422 · 'Fax (541) 484-1337 A'I''I'&f''J; rU1i'NT ~ _ PA~F. t n