Title
Resolution Authorizing the City Manager to Enter into a Purchase & Development Agreement with S4K Development, LLC for the Sale and Development of City-Owned Property
Purpose
PURPOSE/BACKGROUND:
The City of Hampton (the "City") owns a parcel of land, identified currently as LRSN 1001047 located at 1680 Duke Street, formerly known as the Briar Queen Pool. The parcel contains approximately 3.7+/- acres (the "Property").
In June 2024, the City received an unsolicited proposal from S4K Development, LLC, a Virginia limited liability company (the "Developer"), to acquire the Property for the purpose of constructing a residential development on the Property and adjacent land, owned by the Developer, at 1706 Neptune Drive (the "Project"). The proposal was determined to be consistent with and to advance the residential development objectives of the City by adding additional market-rate housing.
Following negotiations between the City and the Developer, the parties have reached a proposed Purchase & Development Agreement that establishes the terms and conditions for the sale and development of the Property. The proposed Purchase & Development Agreement provides for the sale of the Property to the Developer for $120,000.00 and the construction of a new residential development consisting of 22 single family homes of 2,800 to 3,000 square feet each, together with associated parking, resident amenities, landscaping and related infrastructure improvements, with design components consistent with the City of Hampton Design and Construction Standards. The Project will represent a minimum private capital investment of approximately $9,200,000.00. Subject to the satisfaction of the terms and conditions set forth in the Purchase & Development Agreement, including the required approvals and contingencies, the conveyance of the Property is anticipated to occur on or before November 30, 2027. The project is expected to expand housing opportunities and increase the Cit...
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