Agenda 07/09/2024 Item #16F1 (To consider two letters of intent for purchasing property that is no longer needed for an Emergency Medical Services Station and initiate the process to surplus and dispose of the properties)07/09/2024
EXECUTIVE SUMMARY
Recommendation to consider letters of intent from Gargiulo Education Center, Inc., a not -for -profit
organization, and from Up In Smoke, LLC, both proposing to purchase Collier County -owned property
located on 16140 and 16144 Performance Way, and authorize and direct the County Manager or designee to
take any and all action necessary to surplus the properties in accordance with the competitive bidding
process set forth in Section 125.35, Florida Statutes, allowing all persons and entities to compete for purchase
of the property.
OBJECTIVE: To consider two letters of intent for purchasing property that is no longer needed for an Emergency
Medical Services (EMS) Station and initiate the process to surplus and dispose of the properties.
CONSIDERATIONS: On September 11, 2007, the Board of County Commissioners ("Board") approved the
Purchase of Lots 11 and 12 in the North Naples Research and Technology Park ("Property") to house an EMS
Facility. These lots are located on 16140 and 16144 Performance Way, respectively.
The County acquired these parcels in 2007 at a purchase price of $674,896.86. The County's In -House Real
Property Appraiser has estimated the property's value at $991,875. The property is no longer required for an EMS
Station, as EMS intends to co -locate operations at a nearby fire station on U.S. Highway 41, which North Collier
Fire District will construct.
Gargiulo Education Center, Inc., a not -for -profit corporation ("Gargiulo"), submitted a Letter of Intent to Purchase
the Property for the development of a new facility to house an after -school program and a community center to
service at -risk latchkey and migrant students and poverty -level families in North Naples at no cost to the families.
Gargiulo offers a price not to exceed $674,900 with a $10,000 deposit. The Letter of Intent is back-up to this item.
Shortly thereafter, Up in Smoke, LLC submitted a Letter of Intent to purchase the Property for the development of a
storage facility at a purchase price of $1,450,000 or the appraised value of the property, whichever is higher. Up in
Smoke, LLC is a private foundation. The Letter of Intent is back-up to this item.
This item seeks the Board's interest in selling the Property and direction as to how to proceed. There are three
options with staff recommending the first:
1. Authorize surplus and competitive bidding: Approve the surplus of the properties and initiate the
competitive bidding process set forth in Section 125.35, Florida Statutes. The competitive bidding process
would be open to all persons and types of entities.
2. Ne2otiate with Gar2iulo: Authorize staff to negotiate with Gargiulo and develop a Purchase and Sale
Agreement for future Board presentation in accordance with Section 125.38, Florida Statutes. Gargiulo
Education Center, Inc., as a not -for -profit, qualifies for an exemption from the competitive bidding process
outlined in Section 125.38, Florida Statutes, which allows the Board to, if satisfied that a property is not
needed for County purposes, convey the property at a private sale for such price, whether nominal or
otherwise, as such Board may fix, regardless of the actual value of such property to a not -for -profit
corporation. The fact of such application being made, the purpose for which such property is to be used,
and the price or rent shall be set out in a resolution duly adopted by such board. Such resolution would be
presented to the Board with consideration of the Purchase and Sale Agreement at a future Board meeting.
An advertisement is not required.
If this option is chosen, and the purchase price reached is below fair market value, staff recommends that a
deed restriction be placed on the Property, to ensure that it continues to serve migrant students and poverty -
level families in North Naples at no cost to the families.
3. Take no action: Allow the Property to remain in the County's holdings with no immediate action taken.
It is important to mention that the funding sources used for the acquisition impose restrictions mandating that the
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07/09/2024
proceeds from the sale reimburse those accounts.
FISCAL IMPACT: At this time there is no fiscal impact. A total of $875,000 in net commercial loan proceeds
were used to fund the purchase of the land and the associated costs, which include title insurance, environmental
assessments plus engineering fees for site development. This debt was later consolidated into a general government
special obligation bond in the amount of $522,188. Annual debt service payments are expected to be completed in
fiscal year 2034. As of FY 2024, the proportional loan outstanding is $340,269. Proceeds from the sale of the land
will be deposited within General Fund (0001) as funding from the General Fund (0001) and County -wide Capital
Fund (3001) has assisted the Emergency Management Services Impact Fee fund (3030) with the annual debt
service payments for this property.
GROWTH IMPACT: None at this time.
LEGAL CONSIDERATION: This item is approved as to form and legality and requires a majority vote for
approval. -SAA
RIECOM NDATION: That the Board of Commissioner consider letters of intent from Gargiulo Education
Center, Inc., a not -for -profit organization, and from Up In Smoke, LLC, both proposing to purchase Collier
County -owned property located on 16140 and 16144 Performance Way, and authorize and direct the County
Manager or designee to take any and all action necessary to surplus the properties in accordance with the
competitive bidding process set forth in Section 125.35, Florida Statutes, allowing all persons and entities to
compete for purchase of the property.
Prepared by: Jennifer A. Belpedio, Manager, Facilities Division
ATTACHM NT(S)
1. Gargiulo Education Center Letter of Intent (PDF)
2. Up in Smoke Letter of Intent (DOCX)
3. Warranty Deed for both properties fully executed (PDF)
4. BCC Approved Executive Summary for 9.1.07 (County Purchase) (PDF)
5. Rendering of Proposed Building - Conceptual (PDF)
6. Market Analysis (PDF)
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07/09/2024
COLLIER COUNTY
Board of County Commissioners
Item Number: 16.17. 1
Doc ID: 28896
Item Summary: Recommendation to consider letters of intent from Gargiulo Education Center, Inc., a not -for -
profit organization, and from Up In Smoke, LLC, both proposing to purchase Collier County -owned property
located on 16140 and 16144 Performance Way, and authorize and direct the County Manager or designee to take
any and all action necessary to surplus the properties in accordance with the competitive bidding process set forth
in Section 125.35, Florida Statutes, allowing all persons and entities to compete for purchase of the property.
Meeting Date: 07/09/2024
Prepared by:
Title: Manager - Real Property — Facilities Management
Name: Jennifer Belpedio
05/17/2024 10:26 AM
Submitted by:
Title: — Facilities Management
Name: John McCormick
05/17/2024 10:26 AM
Approved By:
Review:
Facilities Management
Facilities Management
County Attorney's Office
County Attorney's Office
Office of Management and Budget
Community & Human Services
County Manager's Office
Board of County Commissioners
John McCormick Director - Facilities
Jennifer Belpedio Manager - Real Property
Sally Ashkar Level 2 Attorney Review
Jeffrey A. Klatzkow Level 3 County Attorney's Office Review
Debra Windsor Level 3 OMB Gatekeeper Review
Maggie Lopez OMB Reviewer
Ed Finn Level 4 County Manager Review
Geoffrey Willig Meeting Pending
Completed 05/17/2024 10:27 AM
Completed 05/17/2024 10:29 AM
Completed 05/20/2024 8:31 AM
Completed 05/20/2024 11:02 AM
Completed 05/20/2024 12:12 PM
Completed 05/21/2024 10:43 AM
Completed 07/01/2024 9:38 PM
07/09/2024 9:00 AM
Packet Pg. 796
Collier County
c/o Real Property Management
3335 Tamiami Tr. E
Naples, FL 34112
Via Email to
RE. Letter ofintent to Purchase 16140 + 16144 Performance Way Naples, FL 34110
This letter constitutes a non -binding letter of intent which outlines the general terms and conditions for the purchase and sale of 16140 +
16144 Performance Way Naples, Fl. 34110 Collier County, Florida, as further described on the attached Exhibit "A" ("Property". The intention
of Gargiulo Education Center, Inc (GEC) intends to purchase and build a new facility to house a After School Program and a Community
Center to service at risk, latchkey and migrant students and poverty level families in North Naples at no cost to the families. :
SELLER: Collier County
PURCHASER: Gargiulo Education Center, Inc. a 501(c)3 corporation
PURCHASE REQUIREMENTS: The parties agree that they will each work in good faith to reach a final, negotiated purchase price not exceed
$674,900. As the seller agrees to present all documentation on previous Collier County
c/o Real Property Management
3335 Tamiami Tr. E.
Naples, FL 34112
RE: Letter ofintent to Purchase 26140 + 16144 Performance Way Naples, FL 34110
This letter constitutes a non -binding letter of intent which outlines the general terms and conditions for the purchase and sale of 16140 +
16144 Performance Way Naples, FL 34110 Collier County, Florida, as further described on the attached Exhibit "A" ("Property") as follows:
SELLER: Collier County
PURCHASER: Gargiulo Education Center, Inc. a 501(c)3 corporation
PURCHASE REQUIREMENTS: The parties agree that they will each work in good faith to reach a final, negotiated purchase price not to exceed
$674,900. As the seller agrees to present all documentation on previous due diligence on the said property(s). The Agreement will be drafted
by Buyer's counsel and submitted to Seller within fourteen (14) days after Buyer's receipt of an executed copy of this LOI. Thereafter, Buyer
I Packet Pg. 797 1
and Seller will negotiate in good faith to finalize and execute the Agreement within sixty (60) days after Buyer's initial submission of the
Agreement to Seller.
PURCHASE PRICE- Not to exceed 674,900 at closing.
INITIAL DEPOSIT: $10,000
Closing DATE: On or before 60 days from the effective date of contract. ESCROW AGENT: TBD
TITLE AGENT: TBD
NON -BINDING: The parties acknowledge and agree that this LOI is not intended to be and should not be construed as an executed
agreement for sale and purchase of the Property.
Best regards, SELLER SIGNATURE/DATE
GARGIULO EDUCATION CENTER, INC.
By FO 41±!d &'iQ� as CA ov— Date*Y2
I Packet Pg. 798
Ed Finn
Jennifer Belpedio
Collier County Government
Dear Mr. Finn and Ms. BeLpedio,
Please accept this letter as my offer to acquire the County vacant property adjacent to mine property at
16136 Performance Way in North Naples, Collier County.
I offer a cash price of $1.450,000 or the appraised value of the property whichever is higher. I'vetaLkedto
various real estate people in the area that specialize in land purchases. They estimate that the property is
worth $30 per square foot. I paid $1 M for the adjacent property in 2019. The site is approximately 1.1 acres
which determined by proposal. However, I will increase my offer if the County obtains an appraisal that
establishes a higher value. My goal is to pay the fair market value for the land.
Bank of America in San Francisco can verify that I have the resources for this purchase. MycontactBank
officer is Kristen Boettger. Her email address is l(ristin.m.boettgerPbofa.com. Her phone number is 415 913
3434.
1 propose to acquire the property with my nonprofit charitable foundation, Up in Smoke LLC. which is
registered in Florida. I can also purchase property personally if desired. The purchase is the same either
way.
The intended eventual use for the property is the same as the other users on Performance Way which is
a storage facility that will not measurably impact traffic on adjacentOld4l.
I will purchase this property any time that the Commission chooses.
Please contact me with any questions or clarifcatiions.
Best Regards,
John J Gray
29090 Marcetto Way
Naples, FL. 34110
206321 8801
I Packet Pg. 799 1
THIS WARRANTY DEED is made this A,* day of -91�77r*+IT14ft , 2007, by
North Naples Golf Range, Inc., a Florida corporation, as Trustee of the SJG Land Trust,
U/A dated 5/29/97, whose address is 15 8th Street, Unit A, Bonita Springs, Florida 34134-7455
(hereinafter referred to as "Grantor"), to COLLIER COUNTY, a political subdivision of the
State of Florida, its successors and assigns, whose post office address is 3301 Tamiami Trail
East, Naples, Florida, 34112 (hereinafter referred to as "Grantee").
WITNESSETH:
That the Grantor, for and in consideration of the sum of Ten Dollars ($10.00) and other valuable
consideration, receipt whereof is hereby acknowledged, hereby grants, bargains, sells, aliens,
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remises, releases, conveys and confirms unto the Grantee, all that certain land situate in Collier
County, Florida, to wit:
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ee.Attached Exhibit "A" which is incorporated herein by reference.
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.-,%�ect4o easements, restrictions, and reservations of record.
THIS IS NOT HOMESTEAD PROPERTY
TOGETHER witk,;2�
all the tenements, hereditaments, and appurtenances thereto belonging
or in anywise appertaining.-
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TO HAVE AND TO HO the same in fee simple forever.
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AND the Grantor hereby c riahts with said Grantee that the Grantor is lawfully seized
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of said land in fee simple; that 'brahtor has good right and lawful authority to sell and
convey said land; that the Grantor he hv6 b4k, -11y warrants the title to said land and will defend the
same against the lawful claims of r0ris whomsoever; and that said land is free of all
encumbrances except as noted above.
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IN WITNESS WHEREOF, the said
day and year first above written.
4VViss (Signature)
Name:WL�-�(�, B :P�
(P�rint or Type)
Witnes ignature)
N a m e: S-�A' 1� lzc I'-,- T�- I WV
(Print or Type)
STATE OF FLQF�IDA
COUNTY OF ( '�) I h4��
s signed and sealed these presents the
Norffii-,.t Ae
_,4ap Golf Range, Inc., a Florida
T stee of the SJG
corporatiqw-4s ru
Land Trdk,�U/A dated 5/29/97
The foregoing WARRANTY DEED was acknowledged before me
r , 2007 by James M. Goldie, President, on behalf of North
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who is Per onally �knovwn t 'me or who has produced
as identfflc�atlon.- --- -1
(affix notarial seal)
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WY CM400N # DD WW (Print Name of Notary Public)
EORES: Jwuary 14, M NOTARY PUBLIC
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this day of
Naples Golf Range,
U/A dated 5/29/97,
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EXHIBIT "A"
Lot 11, North Naples Research and Technology Park, according to the plat
thereof recorded in Plat Book 41, page(s) 48-50, of the public records of
Collier County, Florida;
AND
Lot 12,, NortIfyNaples Research and Technology Park, according to the plat
thereof in Plat Book 41, page(s) 48-50, of the ublicrecordsof
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Collier Cotm6�0-orida.
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Agenda Item No. 1
September 11, �a�
Page 1 of 22
EXECUTIVE SUMMARY
Recommendation to approve an Agreement for Sale and Purchase of Lots 11 and
12 in the North Naples Research and Technology Park to house an EMS Facility at
a cost not to exceed $690,375, Project Number 551701, and to approve
commercial paper for the purchase of the land and associated expenses,
including preconstruction costs for design modifications and civil engineering, in
the net amount of $875,000.
OBJECTIVE: Recommendation to approve and execute the attached Agreement for Sale and
Purchase (Agreement) between Collier County and North Naples Golf Range, Inc., a Florida
corporation, as Trustee of the SJG Land Trust, U/A dated 5/29/97 (Seller). The Agreement is
for the purchase of Lots 11 and 12, totaling .99 acre, in the North Naples Research and
Technology Park located east of Old U.S. 41 in North Naples (Property). In addition, approval is
requested for commercial paper to cover the cost of the land purchase, and associated
expenses, including preconstruction costs for design modifications and civil engineering in the
net amount of $875,000.
CONSIDERATIONS: The public purpose of this transaction is to acquire property to
accommodate the proposed EMS Facility. The need for this facility has been identified in the
2005 Annual Update and Inventory Report (AUIR). This is one of four stations initially identified
in the 2005 AUIR, but has not yet been constructed.
Negotiation with the Seller has been ongoing since October 2006. The Seller's asking price
was $756,000; however, staff negotiated a purchase price of $674,896.86.
The average of two (2) independent appraisals prepared for the County in February 2007
valued the Property at $682,500. Collier County's Real Estate Services' in-house appraiser
determined the fair market value of the Property to be $690,000 in August 2007. Staff received
favorable Environmental Site Assessments performed by Passarella and Associates and
MacTec in February 2007. Collier County Pollution Control provided an environmental update
in August 2007 and the Environmental Assessments are favorable. Location Maps of the
parcels are attached.
The attached Agreement has been reviewed and approved by the County Attorney's Office and
the EMS Department. The Warranty Deed and all associated closing documents will be
reviewed and approved by the County Attorney's Office and the EMS Department prior to
closing.
The proposed station at this location will house an existing unit that was added in FY 06 and
which has been operating temporarily out of Station 21 (11121 Tamiami Trail East, Naples). It
is anticipated that the same design will be used for this location as the design for the station at
Heritage Bay. This design can accommodate up to two EMS units. Talks are underway with
North Naples Fire Control and Rescue District to co -locate at this location as well as at the
Heritage Bay location. An Executive Summary has been submitted for approval of a Lease
Agreement with North Naples Fire Control and Rescue District for the Heritage Bay location.
I Packet Pg. 802 1
Agenda Item No. 1
September 11, �
Page 2 of 22
EXECUTIVE SUMMARY
Agreement for Sale and Purchase
Page 2
FISCAL IMPACT: The total cost associated with the land purchase should not exceed
$690,375 ($674,896.86 for the property, $4,515 for the Environmental Site Assessments and
update, and $10,963 for the two (2) appraisals, title commitment, title policy, and recording of
the documents).
A total of $875,000 in net commercial loan proceeds are needed to fund both the purchase of
the land and the associated costs, which include title insurance, environmental assessments,
appraisals, associated updates, and design modifications that may be required to accommodate
the "model" facility for EMS/Fire on the property, plus civil engineering fees for site development
and project management services.
Net commercial paper loan proceeds of $875,000 are required for the above land purchase,
costs of land acquisition, and pre -construction costs. With fees and pre -paid interest, a gross
loan not to exceed $885,000 is recommended. Based on a 10 year commercial paper loan of
$885,000, the estimated annual debt service payments for 2008 will be $140,800. The source
of funds to pay off the commercial paper loan will be EMS impact fees.
There will be an on -going expense of $401.06 per month for common expenses assessed by
the North Naples Research and Technology Park Property Owners' Association. These will be
paid out of EMS operating fund 490.
GROWTH MANAGEMENT IMPACT: The project meets the recommendations of the FY 2006
AUIR.
RECOMMENDATION: That the Board of County Commissioners approves the attached
Agreement for Sale and Purchase; authorizes the Chairman to execute this Agreement on
behalf of the County; authorizes staff to prepare related vouchers and Warrants for payment;
directs the County Manager or his designee to proceed to acquire the Property, to follow all
appropriate closing procedures, and to record the Warranty Deed, and any and all necessary
documents to obtain clear title to the Property, in the Public Records of Collier County, Florida,
and authorizes the issuance of a Commercial Paper Loan in the not -to -exceed amount of
$885,000 and authorizes the execution of the attached Commercial Paper Loan Resolution.
PREPARED BY: Gary Bigelow, Property Acquisition Specialist
Real Estate Services/Facilities Management Department
I Packet Pg. 803 1
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MARKET
ANALYSIS
0.99 acres +/- or 43,125 sf (2 lots)
16144 Performance Way assessment land value is $396,000.
16140 Performance Way assessment land value is $420,750.
Assessment land value is $816,750 or $18.94sf round to $19.00sf
The lots have entitlements PUD Zoning
Market data indicates $23.00sf (very conservative)
2 lots (43,125sf) x $23.00sf = $991,875 dollars.
I Packet Pg. 805 1
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PUD Zoning
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I Packet Pg. 806 1
16144 & 16140 VALUATION
Performance Way ANALYSIS
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I Packet Pg. 807 1