Title
Dept/ Agency: Economic and Housing Development
Action: ( ) Ratifying (X) Authorizing ( ) Amending
Type of Service: Public Real Estate Auction
Purpose: Accept bids and execute Quitclaim Deeds for properties sold at public auction on November 2, 2017
Date of Auction: November 2, 2017
Location of Auction: Newark Symphony Hall, 1020 Broad Street, Newark, New Jersey 07102
Cost Basis: ( ) PSF ( ) Negotiated ( ) N/A (X) Other:
Contract Basis: (X) Bid ( ) State Vendor ( ) Prof. Ser. ( ) EUS
(X) Fair & Open ( ) No Reportable Contributions ( ) RFP ( ) RFQ
( ) Private Sale ( ) Grant ( ) Sub-recipient (X) n/a
List of Property: Refer to Resolution, Exhibit A
Additional Information:
Total Sale Amount $2,628,500.00
Total Earnest Money Deposit as per Exhibit A $152,533.00
1/4 Annual Property Tax as a refundable deposit, held in escrow to insure Conditions of Sale compliance
Failed 7R2-g (as) 111317
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WHEREAS, on October 18, 2017, the City of Newark Municipal Council adopted Resolution 7R2-b(AS) authorizing the sale of City-owned properties, not needed for governmental purposes, by open public auction pursuant to the terms enumerated in the Standard Conditions of Sale attached to Resolution 7R2-b(AS) as Exhibit B; and
WHEREAS, on November 2, 2017, the Department of Economic and Housing Development conducted a public auction for the sale of City owned properties as shown on the attached Exhibit A, pursuant to N.J.S.A. 40A:12-13(a); and
WHEREAS, this resolution seeks to accept or reject the bids received on November 2, 2017, pursuant to N.J.S.A. 40A:12-13(a).
NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF THE CITY OF NEWARK, NEW JERSEY, THAT:
1. The City of Newark accepts the offers to purchase the properties shown on the attached Exhibit A for the total amount of $2,628,500.00, the sale of which were authorized for an open public auction to be held on November 2, 2017 through Resolution 7R2-b(AS), adopted October 18, 2017, and duly published in the Star Ledger on October 19, 2017 and October 26, 2017, pursuant to N.J.S.A. 40A:12-13(a).
2. The Acting Deputy Mayor/Acting Director of the Department of Economic and Housing Development of the City of Newark is hereby authorized to effectuate the sale of the properties shown on the attached Exhibit A to the successful bidders through a Quitclaim Deed, subject to the Standard Conditions of Sale set forth in Exhibit B attached to Resolution 7R2-b(AS) October 18, 2017.
3. The Quitclaim Deed and all documents pertaining to the sale of the properties shown on the attached Exhibit A shall be approved as to form by the City's Acting Corporation Counsel to be attested and acknowledged by the City Clerk.
4. The Director of Finance is hereby authorized to receive proceeds of sale and to deposit same as follows: fifty percent (50%) of the sale proceeds shall be deposited into the General Fund (OC 011 050 0505 5281); forty percent (40%) to Community and Economic Development Dedicated Trust Fund (8V 026 3210) established under Resolution 7Rg November 6, 1985; and ten percent (10%) of the sale proceeds shall be placed in the City's Affordable Housing Trust Fund (AT 026 3035) established under Ordinance 6PhS&Ff June 21, 2006, for the purpose of preserving low and moderate income affordable housing.
STATEMENT
This Resolution authorizes the acceptance of the bids for the properties sold at the public auction on November 2, 2017. It also authorizes the Acting Deputy Mayor/Acting Director of the Department of Economic and Housing Development to effectuate the sale of the properties shown on the attached Exhibit A through a Quitclaim Deed, subject to the Standard Conditions of Sale set forth in Exhibit B attached to Resolution 7R2-b(AS) October 18, 2017.