SUBJECT/RECOMMENDATION:
Title
Declare as surplus and approve the Sale of City of Clearwater improved S Garden Avenue Right of Way to the sole adjacent landowner Church of Scientology Flag Services as further defined “All of the right-of-way (ROW) of Garden Avenue abutting lots 6-11 together with that portion abutting the vacated 15-foot alley lying between lots 10 and 11 of Court Square Subdivision as recorded in Plat Book 5, Page 53 of the Public Records of Pinellas County, Florida,” containing 0.65 Acres ±, and authorize the appropriate officials to execute same. (APH)
Body
SUMMARY:
On December 5, 2024, the Church of Scientology Flag Service Organization submitted an application to vacate City ROW, located at South Garden Avenue between Court Street and Franklin Street to develop the parcel into an Entry Plaza and Performance Hall with acceptance of all City contingencies as they may apply. The Buyer’s design firm shared a concept site plan that may not necessarily represent the final project site design.
On March 17, 2025, City Council approved at 1st reading, the vacation of this portion of Garden Avenue. The next step in the process is for Council’s consideration of the negotiated sale and surplus of this improved ROW.
The City is the fee-simple owner of this land by statute since the right of way has been fully improved and maintained for a significant period. The area proposed to be vacated contains .65 acres more or less, including 22 city-paid parking spaces.
The following mutually agreed-upon Terms and Conditions should be mentioned:
Purchase Price: The purchase price of this ROW shall be the full appraised value of One Million Three Hundred Seventy-Five ($1,375,000.00) dollars.
Appraised Market Value: The ROW current market value is one million three hundred seventy-five thousand dollars ($1,375.000.00) by Richard Tobias, a Florida MAI-certified licensed appraiser.
Special Warranty Deed: Both parties have agreed to issue and accept this deed type.
Blanket Utility Easement Reservation: This open-ended clause protects all current and planned future utility relocations at no cost to the city. The reservation will terminate upon City approvals.
Parking Revenue: The City has full use with associated payments until such time a Temporary Construction Easement (TCE) has been properly issued.
Right of Inspection, Buyer’s Termination & Indemnification: The applicant has up to 60 days after the execution of this Contract to complete its “Inspection Period”. The applicant may “Terminate” this Contract during its inspection period for any reason, or for no reason. This Agreement and its companion Vacation Ordinance 9812-25 shall be Null and Void upon any termination. Indemnification: The applicant agrees to indemnify, protect, defend, and or hold the Seller (City) harmless from all circumstances to include City attorney fees.
Frontier Communication Objection Letter - The buyer received a “Letter of Objection” and agrees to either pay to relocate Frontier utilities or grant an Easement to Frontier.
Building Permit Times & Extension Fee: The parties have mutually agreed that the applicant will obtain all necessary “Building Permits” on or before December 31, 2029, and substantially complete construction to the degree of “beneficial occupancy” on or before December 31, 2031. Should this not occur, the applicant can two (2) times extend this agreement by an “Extension Fee” to the City of three hundred thousand ($300,000.00) dollars by December 31 of that calendar year preceding that extension year. Should the applicant decline or not timely make this payment, except by City default, then all City pre & post Agreements shall terminate. If the final related Closing does not occur by December 31, 2033, the City has the unilateral right to terminate this Contract and its companion Vacation without penalty.
City staff have reviewed and approve this contingent Surplus and Sale.
USE OF RESERVE FUNDS: N/A
STRATEGIC PRIORITY:
1. High Performing Government: Embrace a culture of innovation that rives continuous improvement and successfully service all our customers.
2. Community Well-Being: Preserve community livability through responsible development standards, proactive code compliance, and targeted revitalization.
