Project Information
Owner/Developer
West Contra Costa Unified School District
Size
23,040 Square Feet
Project Manager
Terra Realty Advisors, Inc.
Year
2017
Appraised Value
$6,200,000
Acquisition Price:
$5,200,000
Financing
Cash
Refinance with COPS financing
Project Notes
In 2013, Terra Realty Advisors, Inc. negotiated on behalf of West Contra Costa Unified School District a lease with an option to purchase this 23,040 sf. building located near the Richmond Harbor. The lease rate was at market, with a provision that all base rent paid would be credited against the final purchase price if the district exercised their option. The MAI appraised value was $6,200,000. With the pre-negotiated rent credit, the district acquired fee interest in March 2017 for $5,200,000, representing a $1,000,000 savings.
This complex transaction required processing a waiver of a parcel map with the city, involving a public hearing, along with negotiating several conditions of approval. In addition, a reciprocal easement agreement was negotiated and defined between the building owner, district, and another purchaser for the remaining 40,320 sf building to be used for a charter high school. Final closing coordination by Terra Realty Advisors resulted in an on-time close to meet existing conduit lenders “lockout” provision.
