HomeMy WebLinkAbout2013-07-08 13-242 ORDERCOUNCIL ACTION
Item No. 13-242
Date: July 8, 2013
Item/Subject: ORDER, Authorizing Execution of a Development Agreement with Ocean
Properties, Ltd. — 76 Dutton Street
Responsible Department: Community and Economic Development
Commentary:
The City owns real property located on Dutton Street in Bass Park. Ocean Properties, Ltd has
proposed to develop a hotel consisting of approximately 130 guest rooms and ancillary facilities
on the property. The estimated cost of development of the hotel and ancillary facilities,
installation of equipment and furnishings is estimated to be at least $18 million.
This Order, if approved, will authorize'the execution of a Development Agreement with Ocean
Properties for the development of a parcel of land on Dutton Street consisting of approximately
3.13 acres (Tax Map 26, Lot 45) that provides for the sale of the lot for $565,000.00; for the
construction of a hotel project that shall have a footprint of not less than 20,000 square feet and
a gross floor area of not less than 120,000 square feet; an option fee of $100,000.00; an
investment in construction costs consisting of site work, building construction, building
improvements, interior fit up, purchase and installation of equipment, furnishing and permits
fees of not less than $16 million; the relocation of storm water lines; an agreed upon
construction progress schedule, and such other terms and conditions as reasonable and
appropriate. .
Manager's Comments:
Associated Information:
Budget Approval:
Legal Approval:
Introlluced for
r Passage
First Reading
Referral
Department Head
t7 City Manager
Page _ of _
ance Director
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13-242
JULY 812013
Assigned to Councilor Sprague
CITY OF BANGOR
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(TITLE.) ORDER, Authorizing Execution of a Development Agreement with Ocean Properties,
Ltd. — 76 Dutton Street
WHEREAS, the City is the owner of real property located on Dutton Street in Bass Park; and
WHEREAS, Ocean Properties, Ltd has proposed and is desirous of initially developing a hotel
consisting of approximately 130 guest rooms and ancillary facilities on the property; and
WHEREAS, the estimated cost of development of the hotel and ancillary facilities, installation of
equipment and furnishings is estimated to be at least $18 million; and
WHEREAS, it is in the best interest of the City of Bangor to enter into a Development
Agreement with Ocean Properties, Ltd for the development of the lot on Dutton Street as
proposed by Ocean Properties, Ltd.
By the Ofy Counal of the City of Bangor.
ORDERED,
THAT Catherine M. Conlow, City Manager, is hereby authorized on behalf of the City of Bangor
to execute a Development Agreement with Ocean Properties, Ltd for the development of a
parcel of land on Dutton Street consisting of approximately 3.13 acres (Tax Map 26, Lot 45)
providing for the sale of the lot for $565,000.00 for the construction of a hotel project that shall
have a footprint of not less than 20,000 square feet; a gross floor area of not less than 120,000
square feet; an option fee of $100,000.00; an investment in construction costs consisting of site
work, building construction, building improvements, interior fit up, purchase and installation of
equipment, furnishing and permits fees of not less than $16 million; the relocation of stone
water lines; an agreed upon construction progress schedule, and such other terms and
conditions.as reasonable and appropriate. Said Development Agreement shall be in final form
as approved by the City Solicitor or Assistant City Solicitor.
IN CITY COUNCIL
July 8, 2013
Motion made and seconded for Passage
as d
CITY ERR