On September 11, 2007, Item 16.E.8, the Board of County Commissioners (“Board”) approved the purchase of property located at 16140 and 16144 Performance Way (“Property”) to house an EMS Facility. The property was initially acquired at a purchase price of $674,896.86. As EMS intended to co-locate operations at a nearby fire station on U.S. Highway 41, which North Collier Fire District will construct, the property was determined no longer necessary for County needs.
On February 29, 2024, 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 migrant students and poverty-level families in North Naples at no cost to the families.
On May 23, 2024, Up in Smoke, LLC, a private foundation, submitted a Letter of Intent to purchase the Property for the development of a storage facility.
On July 9, 2024, Item 16 F. 1. the Board considered the two letters of intent and authorized the County Manager or designee to take all action necessary to surplus the property 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. Between August 21, 2024, and September 6, 2024, a legal notice inviting sealed proposals was posted on the Clerk of Court’s publicly accessible website.
Two bids were received and opened at a public meeting on September 9, 2024. The outcome of the bidding process noted below was outlined in an Executive Summary dated November 12, 2024, item #11D.
- Up in Smoke, LLC offered $1,310,000 cash, with no contingencies. The proposed use is for the development of a storage facility.
- Gargiulo Education Center, Inc., a 501(c)(3) nonprofit public charity offered $674,900 with a $10,000 deposit.
The County Attorney’s Office opined that the Board may either:
“1) accept the highest bidder, Up I Smoke, LLC, Foundation pursuant to the terms of Section 125.35, Florida Statutes, which requires the Board to accept the highest bidder, or
2) accept the lower bid made by Gargiulo Education Center, Inc., a not-for-profit, pursuant to the terms of Section 125.38, Florida Statutes. As a non-profit, Gargiulo Education Center, Inc. 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”.
While staff recommended acceptance of the higher $1,310,000 bid from Up in Smoke, LLC, the Board directed staff to negotiate with the Gargiulo Education Center, Inc. to purchase the property. The Board specified that the purchase price should reimburse the County’s acquisition costs and related expenditures. Additionally, the Board indicated that it would consider offering financing to Gargiulo. The following table identifies the County’s purchase price, financing costs, and miscellaneous costs such as community association fees:
On January 14, 2025, Item 11.B, the Board of County Commissioners (the “Board”) was informed of the status of negotiations with Gargiulo Education Center, Inc., (“Gargiulo”) for the purchase at 16140 and 16144 Performance Way (“Property”), including Gargiulo’s unsuccessful efforts to secure grant funding for the acquisition and construction of the proposed child education center and requested taxpayer financing. The Board accepted the update and directed staff to advertise the property for sale and bring back new offers for reconsideration to the Board as soon as possible.
Between February 6, 2025, and February 12, 2025, a legal notice inviting sealed proposals was posted on the Clerk of Court’s publicly accessible website. Bids were opened at a Public Meeting on February 13, 2025. Two bids were received, as described below:
- RCAMS ADVISERS LLC, for $1,370,000 cash, no contingencies. The formal bid is attached to this item.
- Up In Smoke, LLC, for $1,310.100 cash, no contingencies. The formal bid is attached to the item. It should be noted that the bid received stated $1,310.100. Considering the clear intent, the bid was accepted as $1,310,100.
Section 125.35, Florida Statutes, requires that the Board accept the highest bid from RCAMS ADVISERS, LLC. If the Board does not accept this bid, the Property will remain in Collier County’s (“County”) surplus holdings without immediate action.
The staff recommendation is to accept the highest $1,370,000 cash bid with no contingencies from RCAMS ADVISERS LLC. This agenda item is currently scheduled on the BCC consent agenda item 16B.7 for Board consideration on April 8, 2025. The high bid provides more than twice the amount initially bid by the Gargiulo Education Center, Inc. and more than covers the taxpayer’s current investment in the property.