To: HONORABLE MAYOR AND From: Katy Allen

CITY COUNCIL

Subject: PURCHASE AND SALE Date: 06-02-03

AGREEMENT WITH COUNTY OF SANTA CLARA

Council District 2

RECOMMENDATION

Adoption of a resolution approving a purchase and sale agreement with County of Santa Clara for the purchase of a portion of right-of-way easements for the Improvement District 99-218SJ (Hellyer-Piercy) Project located on the northwest corner of Silicon Valley Boulevard and Hellyer Avenue in San Jose, APN 678-08-029, in the amount of $30,471, plus related closing costs and authorizing the Director of Public Works to execute the related documents necessary to complete the transaction.

BACKGROUND

In accordance with the Department of Public Works’ process, procedures and policy, public improvement projects awarded by the City can only proceed once necessary rights-of-way and easements have been acquired. Redevelopment staff has been in contact with the affected property owners to secure, through either purchase or dedication, the necessary property rights for the Improvement District 99-218SJ Project (the Project).

On August 2, 2001, the City Manager approved a License Agreement between the County of Santa Clara (the County), the City and the Redevelopment Agency in order to allow the Project to proceed with construction prior to actual property acquisition.

Infrastructure improvements include the construction of Hellyer Avenue, a four lane divided roadway, in order to allow for the build out of a 163-acres area south of Silver Creek Valley Road, that could generate 2.8 million square feet of research and development, office and manufacturing space and over 9,000 new jobs for San José.

ANALYSIS

Property Information

Owner(s): Santa Clara County Parks and Recreation Department

Owner(s) Mailing Address: 298 Garden Hill Drive, Los Gatos, CA 95032

Subject Property Address: North side of Silicon Valley Blvd near Basking Ridge Ave

Assessors Parcel Number(s): 678-08-029

Land Size(s) of the Take: 299 square feet

Description of Improvements Taken: Public service easements required for construction of Hellyer-Piercy improvements.

Present Use: Vacant / Open Space Park

Zoning: Industrial

Redevelopment Project Area: Edenvale Redevelopment Area

Date of Valuation: March 15, 2000

Interest Appraised: Permanent easement

Highest & Best Use Determination: Vacant land for Riparian Corridor Open Space

Site maps of the area are shown on Exhibits A-1 and A-2.

PUBLIC OUTREACH

Several public hearings were held before the start of the Project. The general public and the surrounding property owners have been informed of the implications of the Project.

COORDINATION

Preparation of this staff memo has been coordinated with the Redevelopment Agency, the City Attorney’s Office, Planning, Building and Code Enforcement Department and the General Counsel’s Office.

COST IMPLICATIONS

The acquisition cost of $30,471 is specified in the purchase agreement. In addition, there will be related escrow and closing costs not to exceed $1,500.

FISCAL IMPACT

The acquisition of the Property will be funded by the Redevelopment Agency with funds already allocated towards this purpose in the Agency’s Fiscal Year 2001-02 Capital Budget (line item: Edenvale: Assessment District/Interchange Improvements).

BUDGET REFERENCE

The Redevelopment Agency will directly fund this purchase from the Fiscal Year 2002-2003 Adopted Budget, #0660520 Assessment Districts/Interchange-Edenvale CIP.

CEQA

Resolution Nos. 69699 and 70021, PP 03-05-189.

KATY ALLEN

Director, Public Works Department