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26-Receive update on West Gate ApartmentsCITY COUNCIL AGENDA ITEM BRIEFING SHEET Submittal Date: Originating Department: Presented By: Agenda Item No.: 12/09/09 Council Date: City Council Kevin Carruth 26. 12/14/09 RECOMMENDED MOTION: Not an action item. POLICY ISSUE(S): Council objective; Nuisance abatement BACKGROUND: The Westgate Apartments were purchased earlier this year from Capital One bank by Destiny Capital after the previous owner defaulted. City staff has been working with Destiny Capital to facilitate the sale of the complex by Destiny to a developer. The City has been approached by numerous potential buyers of the West Gate Apartment complex (three in the last three months alone) and all wanted to know what would be required to reopen the complex. In a brief period following the closing of the complex at the end of 2008, the property was vandalized and most of the copper and other valuable materials were stripped from the buildings. The buildings will need to be brought up to code before it can reopen (see accompanying rehab requirements list). The most significant rehabilitation cost impeding potential buyers is the requirement for the buildings to have fire sprinklers. In addition, the Paris Housing Authority has stated that they will not authorize the use of the Section 8 rental assistance program for the apartments due to several significant problems with the property over the last 10 years. The last potential buyer that we talked to was proposing to subdivide the property and have several different owners take a section of the property to decrease the overall investment amount for one potential owner. BOARD/COMMISSION RECOMMENDATION: EXHIBITS: Council Member Agenda Item Request; Rehab requirements list; Aerial photo ACTION: BUDGET INFO: ❑ Financial Report ❑ Minute Order Expense $ ~ Department Report ❑ Resolution Budgeted Amt. $ ❑ Presentation ❑ Ordinance y'I'D Actual $ ❑ Public Hearing ❑ Other Acct. Name Acct. Number FISCAL NOTES: REVIEWED AND APPROVED BY: Z Administration Z City Clerk E Community Development ❑ EMS/IT ❑ Finance ❑ Fire ❑ Municipal Court ❑ Legal ❑ Library ❑ Police ❑ Eng./Public Works ❑ Utilities City of Paris Revised 2/04/08 COUNCIL MEMBER AGENDA ITEM REQUEST Please coinplete this form if you wish to have an item placed on the agenda for a City Council meeting. To allow adequate time to prepare packets and to coincide with staff s deadline for items, the due date for placing an item on the agenda is noon Thursday, 12 days prior to the regular meetings on the second and fourth Monday of each month (i.e. the Thursday immediately following a regular Monday meeting). In order for your fellow Council Members to fully understand your item, have productive discussion, ensure efficient council meetings, and for staff to be able to assist you as completely as possible, it is important that you describe the item with as much detail as possible and include any supporting documentation so that it may be included in the Council's meeting packets. Please return this completed form to the City Manager and contact the City Glerk at (903) 784-9248 if you have any questions. Council member making request: ❑ Will Biard ❑ Steve Brown ❑ Jesse Freelen ~ Kevin Kear ❑ Joe McCarthy ❑ Edwin Pickle ❑ Rhonda Rogers Description of Item: Status of West Gate Appts. • Last contact with the owner • Owners current plans for the property • Legal options available to the City for clean up compliance This would be for discussion and possible action. Are additional sheets or supporting materials attached? ❑ Yes E No I request that this item be placed on the agenda for the: Z City Council meeting on this date: l Z/14/2009 ❑ Sometime in the next 2 meetings ❑ No specific time in mind - just keep it on a list of pending issues Signature: Kevi n Kea r Date: 11/19/2009 City of Paris Revised 11/19/08 - - - 1yl Westgate Rehab Requirements Electrical: • Units need to be rewired (most units have extensive damage from theft of copper wire) • Services need to be brought up to code • HVAC (heating, ventilation, Air Conditioning) units need to be replaced Construction: • Asbestos Survey needs to be complete • Roofs need new shingles & replace decking as needed • Replace glass in all broken windows • Remove Black Mold • Replace sheetrock as needed (Black Mold, Asbestos & Damage - as applicable) • Repair and replace plumbing as needed (All plumbing must be tested) Fire Safety: • Each unit needs to be fire sprinkled - R13 system • Build firewall from bottom plate to roof deck between units. 2 layers of 5/8" firerock. Must be fire caulked as needed for penetrations • Each unit needs hardwired 110V smoke detectors with a battery back up - ' - iL 5i' 1 ..~~19~3