Item Coversheet

TOWN OF DAVIE
TOWN COUNCIL AGENDA REPORT

Item Number: 12.

To:Mayor and Councilmembers
From:Phillip R. Holste, Assistant Town Administrator/CRA Director, 954-797-1041
Prepared By:Phillip R. Holste, Assistant Town Administrator - CRA
Subject:Resolution 
Affected District:District 1
Item Request:Schedule for Council Meeting
Title of Agenda Item:PURCHASE AND SALE AGREEMENT - A RESOLUTION OF THE TOWN OF DAVIE, FLORIDA, RATIFYING AND APPROVING THE PURCHASE AND SALE AGREEMENT BETWEEN THE TOWN OF DAVIE COMMUNITY REDEVELOPMENT AGENCY AND TUBACH MOTORS, INC. FOR THE PURCHASE OF  4301 SW 64 AVENUE (FOLIO NUMBER 504127050040);  PROVIDING FOR SEVERABILITY; PROVIDING FOR CONFLICTS; AND PROVIDING FOR AN EFFECTIVE DATE.
Executive Summary: 

The Davie CRA continually seeks opportunities to expand its land holdings on the Downtown Davie Road corridor.  The Davie CRA currently owns approximately 5.6 acres at the northwest corner of Davie Road and Orange Drive.  Tubach Motors, Inc. (“Tubach Motors”) is the owner of Folio # 504127050040 (4301 Davie Road) adjacent to the northern section of the aforementioned CRA property.  The CRA Board previously approved a letter of intent with Tubach Motors, Inc. for a purchase price of $2.8 million (R2026-006).

 

This Town resolution will ratify and approve the purchase and sale agreement between the Davie Community Redevelopment Agency and Tubach Motors, Inc for the purchase of one parcel located at 4301 Davie Road (Folio #504127050040).  The subject property is 0.5 acres. The purchase price is $2.8 million.  The total cost including closing costs is estimated at $2.82 million.  The CRA conducted two (2) appraisals and the average appraised value was $3,064,500.

 

The proposed terms of the purchase and sale agreement include 60 days due diligence and property closing 30 days after completion of due diligence. The initial deposit is $50,000 with an additional $150,000 due upon completion of the Inspection Period. The Phase 1 Environmental Site Assessment has been conducted, and a Phase 2 Assessment is necessary.  Other due diligence activities include a survey and lien and title search. Tubach Motors, Inc will have the right to utilize the property for up to 24 months following property closing and has to post $250,000 escrow to cover any damages caused during its tenancy or environmental remediation due to discharges that occurred during their post-occupancy.  The CRA will approve a separate use agreement with Tubach Motors, Inc. related to their post-closing use. Similar to other property purchases on Davie Road, the CRA will be dedicating 12 feet along the length of the property on Davie Road for future corridor improvements.

 

This property purchase will carry out the following CRA Goals and Objectives outlined in the 2025 Redevelopment Plan:

 

Goal “A” – Use of Redevelopment Tools

The CRA will continue to use a variety of redevelopment tools to administer revitalization efforts for properties within the CRA. The CRA Board reserves the right to add, remove, or amend any incentives and/or redevelopment tools, including the use of TIF redevelopment trust fund revenue, as allowed by Florida Statutes Chapter 163 Part III.

 

Objective 1: Acquisition, Assemblage, Sales, and Leases of Real Property

The CRA may acquire real property through purchase, or other lawful means, to assist or facilitate the redevelopment process. The CRA may assemble land to use, lease, or sell parcels at a fair-market rate, reduced cost, or any negotiated amount, for the purpose of development or redevelopment. The documents of conveyance, purchase and sales, or developer agreements will contain any conditions necessary to safeguard the goals and objectives of the CRA Redevelopment Plan.

 

Objective 6: Landbanking

The CRA may purchase land and hold it for future CRA and/or Town redevelopment opportunities.

 

Goal “B” – Economic Development

The CRA will continue to prioritize projects, initiatives, and partnerships that bolster economic development within the redevelopment area with a particular focus on the Davie Road and SR7/441 corridors.

 

At tonight’s meeting, the Town Council will also consider the use agreement to permit Tubach Motors, Inc. to utilize this property for 24 months post-closing.  They will have to post a $250,000 escrow in the event of environmental remediation costs incurred by the CRA (for discharges that occurred during the tenancy) or to complete repairs to the building located on the Property due to the negligent acts or omissions by Tubach Motors, Inc.

Key Points:
  • This Town resolution will ratify and approve the purchase and sale agreement between the Davie Community Redevelopment Agency and Tubach Motors, Inc for the purchase of one parcel located at 4301 Davie Road (Folio #504127050040).  The subject property is 0.5 acres. The purchase price is $2.8 million.  The total cost including closing costs is estimated at $2.82 million.  The CRA conducted two (2) appraisals and the average appraised value was $3,064,500.

Previous Actions:R2026-048 (Letter of Intent)
Concurrences:Town Attorney

Fiscal Impact:
Has request been budgeted?Yes
If yes expected cost:$2,800,000 plus closing costs
Account name and number:100.54.649.552-56103 and 100.54.100.552-56103 Land Acquisition
If no, amount needed:
Account name funds will be appropriated from
Additional Comments

Recommendation:Motion to approve

Strategic Goals This Item Supports:
Respecting and promoting Diverse and Sustainable Community and Neighborhood Value with consideration of our historic roots, Dedication to Excellence in Service Delivery, Creating an Environment that is Conducive to Innovation, Creativity, and Collaboration


ATTACHMENTS:
File NameDescription
0_-_Town_Resolution.docx0 - Town Resolution
1_-_PSA_-_Tubach_Motors_Property_(1)_.pdf1 - PSA - Tubach Motors Property
2_-_Location_Map_-_Tubach_Motors_Property.pdf2 - Location Map - Tubach Motors Property
3_-_BCPA_Profile_-_Tubach_Motors_Property.pdf3 - BCPA Profile - Tubach Motors Property
4_-_Town_Attorney_Contract_Summary_Exemption_Form_-_Tubach_Motors_Property_(PSA)_(1)_.pdf4 - Town Attorney Contract Summary Exemption Form - Tubach Motors Property (PSA)
5_-_Appraisal_-_Newstreet.pdf5 - Appraisal - Newstreet
6_-_Appraisal_-_Gonzalez_(1)_.pdf6 - Appraisal - Gonzalez
7_-_Letter_of_Intent.pdf7 - Letter of Intent