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Agenda 01/28/2025 Item #16B 3 (Approve Purchae and Sale Agreement with Joseph D. Stewart Unit 105)1/28/2025 Item # 16.B.D I4# 202- 32276 Executive Summary Recommendation to approve and execute a Purchase and Sales Agreement with Joseph D. Stewart, P.A. for the purchase of unit 105, which is the last remaining available unit to purchase out of 18 condominium office units within the Court Plaza III building situated on 1.17 improved acres on Airport Road South, adjacent to the Government Center, for the Community & Human Services Division. (This item is a companion to 16.B.4) OBJECTIVE: To increase the County's office space holdings by acquiring additional property, located adjacent to the Government Center, in order to reduce long-term rental expenses. This acquisition will provide the County with greater control over its office space, improve operational efficiency, and generate cost savings. CONSIDERATIONS: Community & Human Services Division (CHS) is currently occupying six offices suites in the Court Plaza III building, Suites 201, 202, 203, 204, 205 & 206, located at 2671 Airport Road South. The owner of Unit 105, which is approximately 730 square feet, is Joseph D. Stewart, P.A. (“Seller”). Units 101, 102, 103, 104, 106, 201, 202, 203, 204, 205, 206, 301, 303, and 305, are owned by a separate entity and are also proposed to be purchased under a separate companion agenda item. The majority of the units in the building, including those occupied by CHS, are being offered for sale. The property consists of a 18,600+/- Gross Building Area square foot office condominium facility. There is one building existing on the Property with 16,000+/- square feet of office condo space. The building is located on 1.17 acres and provides 76 parking spaces. Currently the CHS is renting the entire second floor of this building. As outlined in the Fiscal Impact Statement, purchasing the majority of the building, including Unit 105, will help reduce future rental costs. CHS plans to purchase approximately 12,281 total square feet of office condo space, which is zoned C3. The County’s standard Purchase and Sale contract have been used. Notable terms of the Purchase and Sale Agreement (“Agreement”) include: • Purchase Price: $290,000 (1 unit) or the average value determined by two appraisers, if lower. However, Seller may rescind the Agreement if the Board does not approve a purchase price of $290,000. • Closing: 180 days from the date of Agreement. • 3rd party Inspection Period: 120 days from the date of the Agreement. • Purchase Contingency: The purchase of unit 105 is also contingent upon the purchase of the other 14 units from Bigi & Bigi LLC. • Other: Purchase of unit 105 is also with overall consideration of purchase included in Agenda Item 16.B.7. This space is expected to meet the needs of CHS for the next 20 years and will also provide additional office space for the County as leases for current tenants expire. The purchase will result in an estimated annual savings of $100,800 for CHS administrative operations. Purchasing the unit for $290,000 presents a financially advantageous alternative to renting, as it will immediately save $108,000 annually in rental costs currently paid by CHS. Over time, the purchase strengthens the County’s financial position by reducing reliance on external leases, securing a long-term asset, and yielding significant cost savings that support operational sustainability. Additionally, acquiring this building will support the co-location of all housing, human, and veteran services, providing residents with easy access to services in a single, convenient location. FISCAL IMPACT: The cost of appraisals, title work and inspections is $4,650.00. Sources of funding provided below Ongoing CHS will also receive $1,409.76 / mo. in Condominium Association fees, and $276.77 / mo. in ‘reserve’ fees from the owner (Joseph D. Stewart, P.A.) of units # 302, 304 & 306. Additionally, CHS will receive the following Rent / Lease payments from the following tenants, as outlined below. Revenue will be deposited in the Community & Human Services Grant Support Fund (1806), any unrestricted revenue will be used to offset the annual general fund contribution. The total acquisition amount is not to exceed $294,650.00 which includes an appraisal, an inspection, title policy, Page 444 of 3681 1/28/2025 Item # 16.B.D I4# 202- 32276 recording, search, and closing costs too. Unit(s) Tenant Monthly Rent Annual Rent Annual Rent Increase Lease Start Date Lease End Date SQFT of Unit 101, 103 Department of Juvenile Justice (State of Florida) $5,217.03 $62,604.30 3% 12/01/2024 11/30/2029 2,013 102 Denise Jackson $2,380.00 $28,560.00 3% 1/01/2025 6/30/2028 1,122 104, 106 Law Offices of James W. Chandler, P.A. $2,364.77 $28,377.24 3.5% 1/01/2017 2/01/2026 2,240 301, 303 Law Offices of Lisa C. Mead, P.A. $3,506.04 $42,072.48 3% 4/01/2021 3/31/2027 1,860 The CCAP Project (33699) within the Grant Support Fund (1806) has $108,250 in remaining local funding available to support this acquisition. Historically, CCAP local funding has been used to secure offsite rental space for staff delivering housing programs. Utilizing these funds will enable staff to continue providing community assistance programs. Additionally, $186,400 in Local Tribal Consistency Fund (LATCF) funding within the Community & Human Services Grant Fund (1835), Project 33843, is available for this acquisition. LATCF funds serve as a general revenue enhancement program, supporting eligible uses such as general government operations, personnel costs, and administrative facilities. These funds currently support lease agreements for office space at Court Plaza III. GROWTH MANAGEMENT IMPACT: This item is consistent with the Growth Management Plan and the Space Master Plan. LEGAL CONSIDERATIONS: This item is approved as to form and legality and requires a majority vote for approval. -SAA RECOMMENDATIONS: Staff is recommending that the Board: 1) Approve the attached Purchase and Sale Agreement and accepts the Warranty Deed once it has been received and approved by the County Attorney’s Office; 2) Authorize the Chairman to execute the Agreement and any and all other County Attorney’s Office approved documents related to this transaction; 3) Authorize the County Manager or designee to prepare related vouchers and Warrants for payment; and 4) Direct the County Manager or designee to proceed to acquire this parcel, to follow all appropriate closing procedures, to record the deed and any and all necessary documents to obtain clear title to this parcel, and to take all reasonable steps necessary to ensure performance under the Agreement. PREPARED BY: Grant Cox, Property Acquisition Specialist ATTACHMENTS: 1. Stewart's Signed Purchase Agreement 2. Map of subject property Page 445 of 3681 1/28/2025 Item # 16.B.D I4# 202- 32276 Page 446 of 3681 Page 447 of 3681 Page 448 of 3681 Page 449 of 3681 Page 450 of 3681 Page 451 of 3681 Page 452 of 3681 Page 453 of 3681 Page 454 of 3681 Page 455 of 3681 Page 456 of 3681 Page 457 of 3681 Page 458 of 3681 Page 459 of 3681 Page 460 of 3681  2671AirportRd.S. Page 461 of 3681