Authorize transfer of the Menlo Park Tank Property from the Water Bureau to the Housing Bureau for development as affordable housing

The City of Portland ordains: Section 1. The Council finds: Portland Water Bureau (Water Bureau) owns and maintains two parcels of real property totaling 0.46 acres near SE 127th Avenue, commonly known as the Menlo Park Tank Property (Property), which is more particularly described in Exhibit A. The Property is located in the City of Portland and County of Multnomah. In 2016, pursuant to the City’s real property disposition policy ADM-13.02, the Water Bureau declared that it no longer needed the Property and offered the Property to other City bureaus before declaring the Property surplus. Portland Housing Bureau (PHB) subsequently expressed an interest in obtaining the Property with a plan to use it for affordable housing. Water Bureau and PHB have agreed on terms to transfer the Property from Water Bureau to PHB, including the transfer of all asset management obligations to PHB. PHB will pay Water Bureau $225,400 for the Property, a value established by R.P. Herman & Associates’ 2021 appraisal. PHB will encumber future funds for its payment. NOW, THEREFORE, the Council directs: The date the Ordinance is recorded in the official deed records of Multnomah County, Oregon, is the “Recording Date." On the Recording Date, the Property will transfer from the Water Bureau to PHB. PHB will assume all obligations and benefits with respect to the Property, including the obligation to perform maintenance and security functions and the right to use the Property for affordable housing. The PHB Director is authorized to pay the Water Bureau $225,400 within three months of the Recording Date and take any other action required to close the Property transaction. The Water Bureau Director is authorized to take all actions necessary to close the Property transaction. Any documents necessary to the transaction will be approved as to form by the City Attorney prior to execution.