ACTION REQUESTED:
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Communication from the City Manager and Director of Public Works with a Request to APPROVE the PURCHASE of REAL ESTATE Located at 1519 SOUTH WESTERN AVENUE, in an Amount Not-to-Exceed $25,000.00, Plus Other Expenses Estimated at $12,500.00, as an Opportunity Acquisition for the Improvement of WESTERN AVENUE from ADAMS STREET to HOWETT STREET. (Council District 1)
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BACKGROUND: Construction of the Western Avenue Improvements from Adams Street to Howett Street is scheduled to begin in late spring, 2020. The design of Western Avenue follows Complete, Green Streets infrastructure policies, including permeable paver bike lanes, new sidewalks, pedestrian-scale street lighting, native landscaping and a new roadway. The construction cost is estimated at $12 million, and the cost is supported by approximately $2.3 million in federal funding.
Staff is negotiating temporary and permanent easements with more than one hundred (100), adjacent property owners to allow the future contractor to build the new improvements.
To build the new sidewalks and blend in the adjacent ground of the subject property (1519 S. Western Avenue, PIN 18-18-432-019), requires regrading from the front porch of the home to the right of way line. The property currently has triple tier retaining walls in this area. Our consultant has expressed concern with the structural integrity of the 90-year old home during the future construction.
We are in discussions with the current owners to purchase the property for an assessed value of about $25,000, with additional financial assistance for replacement housing, relocation costs, and future closing costs. This additional financial assistance is mandated by the federal funding requirements. The estimated closing costs, including closing costs for a replacement home, are $5,300; the allowable moving payment is estimated at $1,400; and, the allowable replacement housing supplement is estimated at $5,800. In total, these additional costs are estimated at $12,500.
The intent is to demolish the structure after the purchase and before the road construction.
The purchase of the whole property, while not required in its entirety for the roadway project, may offer some benefits. Currently, the adjacent property owner may be interested in accepting the vacant property after the subject home has been demolished.
Time is of the essence in making this decision, as the City must have all right of way approved by the Illinois Department of Transportation (IDOT) by March 11, 2020 to meet the schedule to use $2.3 million in federal grant funds.
Attached to the Council Communication are a location map for the subject property and a street view image.
FINANCIAL IMPACT: Funds are available in Community Investment Program Project W1905, Western Avenue Improvement from Adams Street to Howett Street. Future costs include demolition of the vacant home.
NEIGHBORHOOD CONCERNS: N/A
IMPACT IF APPROVED: Staff will move closer towards clearing right of way for the Western Avenue project.
IMPACT IF DENIED: Denial of this purchase may cause delays and impact the schedule of the project.
ALTERNATIVES: N/A
EEO CERTIFICATION NUMBER: N/A
WHICH OF THE GOALS IDENTIFIED IN THE COUNCIL’S 2017 - 2032 STRATEGIC PLAN DOES THIS RECOMMENDATION ADVANCE?
1. Financially Sound City
WHICH CRITICAL SUCCESS FACTOR(S) FROM THE COMPREHENSIVE PLAN DOES THIS RECOMMENDATION IMPLEMENT?
1. Invest in our infrastructure and transportation.
2. Reinvest in neighborhoods.
3. Have an efficient government.
DEPARTMENT: Public Works