If you are interested in the facts and the truth about this purchase, here they are:
Rumor: Council purchased the land for more than its true value
Yes, the bankruptcy records did show a property valued at $41,924. However, that value was based on a smaller, “unbuildable lot.” What the town eventually purchased were two lots combined into one buildable parcel.
History: Prior to the town’s purchase, the Kirkbride’s took three actions. 1) They combined the smaller lot with an adjoining lot to make a larger parcel, which made the new parcel buildable, 2) they obtained a variance that made the lots more desirable to build on, and, 3) they obtained a CAMA permit to build a lager cantilevered structure than would typically fit on the lot.
Once the lots were combined and deemed buildable, the county reassessed the combined larger oceanfront parcel at $838,488 (see attached assessment). During the same period a private appraiser valued the lot at $975,000 (see attached appraisal). Therefore, the town did not pay $200,000 for a lot valued at $42,000. We paid $200,000 for a lot valued somewhere between $838,000 and $975,000. Even in a depressed market, $200,000 for a buildable, oceanfront lot is a deal.
Second, and equally important…
Turmoil: The lot in question had been the subject of debate and turmoil for the town for many years. The property owners across the street did not want to see the parcel built on. Although some felt they just didn’t want their view blocked, the owners cited safety concerns as their reason, concerns which did exist. Essentially they were concerned the severe cantilever design, which is an atypical design, would fail during a storm and be washed into their property.
During council meetings when the safety issues were being discussed (prior to my election), then Councilman, Alan Gilbert made the statement, “…I think the town should go out of their way to find funding and some relief for these folks to guarantee nothing is built there anymore.” At the time he made that statement, the property had already been reassessed at over $800,000.
Official document showing reappraisal
So apparently council members on prior councils were also willing to have the town purchase this property – but at a much higher price than the $200,000 we negotiated.
Benefits: Therefore, with the purchase of this property, not only did we eliminate a public safety concern; we purchased the property for considerably less than appraised value. Even with current property devaluation, we paid less than %25 of its value, far less that the devaluation will be. Additionally, the sellers provided the town a two year interest-free balloon note.
I have stated my intention for this property on numerous occasions. The hope/plan is to use this site to develop a handicap beach access and oceanfront overlook for special needs citizens and visitors alike. This location will provide handicap parking spaces, ramps, decks, and shaded areas where handicap (and non-handicap) folks can enjoy a visit to the beach and relax while watching the ocean. Not only is this a facility that both our handicap citizens will enjoy, it is a community betterment.
In addition to being a worthwhile project, this is also the type project that will typically qualify in several different grant categories. Therefore, having two year’s interest free terms provided us some research and design time. As it stands, we are in the final stages of design and will soon be ready to seek funding. The goal is for all improvements to be paid for by public or private grants.
I applaud my fellow council members for having the visions to bring yet another enhancement to our community – especially to a sector of the community that has less access to our natural recourses than many of us.
I’m not sure why anyone would find it a bad idea to provide services to our special needs citizens, unless they just don’t understand the hardships these folks deal with on a daily basis.
I am always available to answer any question about any issue, rumor, or concern. My number is 910-538-2888.
