Title
Resolution to Authorize an Upset Bid Process for Surplus Property Comprised of Portions of 908 and 922 N. Front Street
Body
LEGISLATIVE INTENT/PURPOSE:
WHEREAS, the City of Wilmington owns approximately 0.37 acres of real property located at 908 N. Front Street (Parcel ID R-04712-005-006-000), hereinafter referred to as the “908 Parcel,” as well as approximately 0.73 acres of real property located at 922 N. Front Street (Parcel ID R-04712-005-005-000), hereinafter referred to as the “922 Parcel”; and,
WHEREAS, the 908 Parcel and the 922 Parcel were both declared surplus by City Council via a resolution on August 20, 2024; and,
WHEREAS, the City has received an unsolicited bid in the amount of $1,157,000, submitted by ILM Downtown Holdings, LLC, for a portion of the 908 N. Front Street Parcel and a portion of the 922 N. Front Street Parcel, which comprise a total area of approximately 17,780 square feet, said portions collectively shown in Attachment A and hereinafter referred to as the “Property”; and,
WHEREAS, N.C.G.S. §160A-269 permits the City to sell property by upset bid, after receipt of an offer for the Property; and,
WHEREAS, ILM Downtown Holdings, LLC, has paid the required five percent (5%) deposit on this offer.
THEREFORE, BE IT RESOLVED:
THAT, City Council authorizes sale of the Property through the upset bid procedure of N.C.G.S. §160A-269.
THAT, the City Clerk shall cause a notice of the proposed sale to be published. The notice shall describe the property and the amount of the offer and shall state the terms under which the offer may be upset.
THAT, persons wishing to upset the offer that has been received shall submit a sealed bid utilizing the form available online at www.wilmingtonnc.gov/bids <http://www.wilmingtonnc.gov/bids> or in person at 929 N. Front Street, to the office of the City Clerk. within 10 days after the notice of sale is published.
THAT, at the conclusion of the 10-day period, the City Clerk shall open the bids, if any, and the highest such bid will become the new offer; if there is more than one bid in the highest amount, the first such bid received will become the new offer.
THAT, if a qualifying higher bid is received, the City Clerk shall cause a new notice of upset bid to be published, and shall continue to do so until a 10-day period has passed without any qualifying upset bid having been received. At that time, the amount of the final high bid shall be reported to the City Council.
THAT, a qualifying higher bid is one that raises the existing offer by not less than ten percent (10%) of the first $1,000.00 of that offer, and five percent (5%) of the remainder of that offer.
THAT, a qualifying higher bid must also be accompanied by a deposit in the amount of five percent (5%) of the bid, and may be made by made by certified check or money order; the City will return the deposit on any bid not accepted, and will return the deposit on an offer subject to upset, if a qualifying higher bid is received.
THAT, the terms of the final sale are described in detail on the aforementioned bid form, and City Council must approve the final high offer before the sale is closed, which it will do within 30 days after the final upset bid period has passed.
THAT, the City reserves the right to withdraw the property from sale at any time before the final high bid is accepted, and the right to reject all bids at any time.
THAT, if no qualifying upset bid is received after the initial public notice, the offer set forth above is hereby accepted, and the City Manager and City Attorney are hereby authorized to execute the instruments necessary to convey the property to ILM Downtown Holdings, LLC.
THAT, the successful bidder shall be required to survey the Property, at their sole cost and expense, and provide an updated legal description for the Property, which shall not vary materially from the Property shown on Attachment A.