Title
A resolution authorizing the exchange of property between the County of Dallas, Texas (“Dallas County”) and the City of Mesquite (“Mesquite”) on Dallas County land and improvements located at 823 North Galloway Avenue, Mesquite, Dallas County, Texas, and Mesquite unimproved land located at 410 and 500 South Galloway Avenue, Mesquite, Dallas County, Texas, and authorizing the City Manager to finalize and execute the Purchase and Sale Agreement with Dallas County and all documents necessary to consummate the transactions contemplated in the Agreement, and administer the Agreement on behalf of the City.
Body
As Council may recall, Dallas County had approached the City looking for potential sites to expand the County’s current tax and Justice of the Peace court operations at their local Dallas County Government Center located at 823 North Galloway Avenue.
After exploring several options, City and County staff settled on the vacant City-owned property abutting Fire Station No. 1. This property, including the portion where Fire Station No. 1 sits, was the location of the old Mesquite Central Shopping Center. In 1998, the owners of the shopping center defaulted on their loans and the City subsequently acquired the property in 1999 for a purchase price of $552,813.78. The old shopping center was later demolished and Fire Station No. 1 was constructed on the north tract of the property.
As purchase equity, the City would convey the entire 3.840-acre south tract, located at 500 South Galloway Avenue and south of Holley Street, along with a 1.400-acre portion of the 3.5-acre north tract where Fire Station No. 1 is located at 410 South Galloway Avenue and north of Holley Street for a total conveyance of 5.24 acres of land.
In exchange for the City-owned property, Dallas County would convey their 2.001-acre tract located at 823 North Galloway Avenue, which abuts the Mesquite Police Building, along with both existing buildings that house the tax and court operations. These two buildings total 9,504 square feet and were constructed in 1965 and 1986, and the current DCAD value is $1,129,250. City staff has inspected the buildings and have determined that they are in excellent condition and would provide much needed space during this interim period of completing phase three of City Hall.
Upon closing, Dallas County would remain in the two buildings to continue their tax and court operations and would lease the space from the City rent-free until June 30, 2024, to give the County time to construct their new complex on the vacant 5.24 acres. If construction is delayed or the County otherwise chooses to remain in the facilities after this date, then the County would pay the City month-to-month rent in the amount of $5,000 per month, subject to the City’s 30-day written notice to vacate the facilities.
Recommended/Desired Action
City staff recommends approval of the resolution.
Attachment(s)
Resolution
City Property
County Property
Drafter
Ted Chinn
Head of Department
Cliff Keheley