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City to Sell 110 Acres of Surplus Property

Aug 08, 2016 03:33PM, Published by Kelly Cannon, Categories: News City Council


The 110 acres adjacent to Highland and Alpine will be sold for $7.3 million.--Draper City



Draper, Utah - The Draper City Council approved the sale of surplus property for $7.3 million during its council meeting on Aug. 2. The 110 acres is located at approximately 2900 E. 16000 South, adjacent to Highland City and Alpine City.
 
“We surplussed the property back in 2013. We started this process and had a hearing,” said Russell Fox, assistant city manager, during the meeting. “We did have an initial offering on this property and then we had a counteroffer. At that point, we decided to go off and do a sealed bid process.”
 
Fox said the city received three offers on the property. One was for $2.5 million, one was for $6 million and the final was for $7.3 million. The final offer was the offer presented to the city council.
 
The city is required by contract to hold six months of “due diligence.”
 
“This isn’t something that if we approve the purchase of the real estate contract, we don’t immediately get the funding right away,” Fox said. “Basically what will happen is this allows the property owner and developer to go in and do the due diligence process, see what type of development they can get on that property, see that everything is clear as far as road extensions and water rights.”
 
Fox has been in contact with man who made the $7.3 million offer and Fox said he is aware there needs to be road connections and water improvements in order to develop the property.
 
“One of the things that is interesting about this is because we now have 2200 acres of open space, there was a one-to-one ratio of development that was allowed,” Fox said. “This allows whatever kind of development we want to approve when they start going through and looking at that.”
 
Councilmember William Rappleye said he appreciated the earlier discussion on this matter since it made making a decision easier that evening.
 
Councilmember Jeff Stenquist also commented on how this is a tremendous opportunity for the city.
 
“The taxpayers of the city have done a tremendous service to the city to preserve all this open space,” Stenquist said. “It’s something that I think help relieves that financial burden.”
 
The vote was unanimous with Councilmember Michele Weeks absent from the meeting. 


draper city draper city council surplus property sale surplus property russell fox william rappleye jeff stenquist City Council


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