REPORT TO COUNCIL
SUBJECT
Title
Authorize the Sale of City-Owned Condominium Located at 715 San Conrado Terrace, #6
BACKGROUND
On July 20, 2010, Council approved the purchase of a two-bedroom condominium (property) from the former Director of Parks and Recreation, located at 715 San Conrado Terrace # 6 (RTC 10-192). The former director purchased the property through a loan from the City as part of his employment package. The City purchased the property in lieu of foreclosure for the outstanding principal balance of $389,167. Council directed staff to sell the property at such point in the future when it could be sold without loss.
The 996 square foot, two-bedroom unit is located on the third floor and includes a two-car tandem garage, community pool, and green space. The property has not been used for city operations and has been leased at market rate since the City acquired it in 2010. The property was vacated in September of 2013.
On June 25, 2013, during a study session regarding city-owned properties, Council expressed interest in selling the condominium since it cannot be used to provide city services.
Staff contacted multiple local real estate agents and requested quotes for real estate brokerage services to sell the property. Based on compensation and experience, staff contracted the services of Dave Clark of Coldwell Banker in January 2014. Clark is Sunnyvale's top listing agent per local Multiple Listing Service (MLS) statistics. Should Council approve an offer on the property, Clark's compensation would be five percent commission of the final proceeds. Clark and the agent representing the buyer would split the commission evenly. The City is not required to pay any commission if the property is not sold.
The property was given an appraised value of $458,000 (Attachment 1) and was listed on the real estate market on Friday, January 24, 2014. The total size of the property is less than 5,000 square feet, which exempts the sale from ...
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