Title
Acquisition of Real Property at 7005 N. Invergordon Road (Ordinance S-45489)
Description
Request to authorize the City Manager, or his designee, to execute a settlement agreement and to acquire real property within appraised value for settlement of claim in Mummy Mountain Partners, LLC v. City of Phoenix, Maricopa County Superior Court Case No. CV2016-014896, for the Water Services Department pursuant to Phoenix City Code Chapter 42. Further request authorization for the City Controller to disburse all funds related to this item.
Report
Summary
The property to be acquired is a 72,899-square-foot vacant residential lot encumbered with an easement containing above-ground water infrastructure and pipes. Although the property is in the Town of Paradise Valley, the City acquired a private water company servicing the City and some county parcels that included this parcel prior to the Paradise Valley incorporation in the area. Mummy Mountain Partners, LLC (MMP) filed a lawsuit against the City in 2011. The lawsuit was settled and, in part, required the City to construct a water services pipeline across MMPs property. Further, mediation between the parties as to the location of the waterline resulted in a settlement recommendation for the City to acquire the whole parcel based on appraised value. The City currently has an interest in the property due to a water tank located on the property which requires access for service and ongoing maintenance. MMP has had the property listed on the open market for $2,000,000 for more than three years.
The property appraised for $1,300,000. The property to be acquired is located at 7005 N. Invergordon Road, identified by Maricopa County Assessor's Parcel Number (APN) 174-52-004A and 005D.
Location
7005 N. Invergordon Road
Council District: Out of City
Financial Impact
Funding is available in the Water Capital Improvement Program budget.
Department
Responsible Department
This item is submitted by Deputy City Manager Karen Peters and the Water Services and Finance departments.