*Declare City property located at 1436 SE Spokane St, known as the Sellwood Community Center, as surplus property and authorize City Administrator to dispose of the property by sale to Friends of Sellwood Community House​

​​The City of Portland ordains. Section 1. The Council finds:​ ​​The Sellwood Community Center, also known as the Sellwood Community House, is located at 1436 SE Spokane Street. The lot is approximately 10,000 sq/ft (0.23 acres) and contains a two-story structure comprising approximately 10,397 square feet of interior space, as well as an outdoor playground area. ​Portland Parks & Recreation (PP&R) has owned the Sellwood Community Center since 1920, when it was acquired from the local YMCA chapter who used it as housing for workers at the Sellwood Log Mill. Since its acquisition, PP&R has used the property as a community center. The building was placed on the National Historic Register in 2006. ​In 2019, due to budget cuts and the large amount of deferred maintenance the building had accrued, PP&R closed the Sellwood Community Center. Shortly thereafter, the Friends of Sellwood Community House (FSCH) entered into a lease agreement with the intention of acquiring the site and to operate the building and property as a community center providing educational and recreational programs, including classes, camps, drop-in activities, rental spaces, and community events in perpetuity. The lease explicitly lays out conditions for FSCH and the City to enter exclusive good faith negotiations if the City declares the property surplus, subject to City Council approval. This language has been found to conflict with the City's Disposition Policy, which requires properties in this category to be sold on the open market. ​FSCH currently operates the site as a community center, providing recreational and educational programming to the public. As FSCH has operated the site as community center for 6 years, it is unlikely that another entity would have the unique combination of specific community knowledge, relationships, programming capacity, and a proven track record of providing comparable services. The proposed sale protects the continued use of this site as a community center by encumbering the property with a deed restriction that requires the site to be used for public benefit in perpetuity. ​ ​PP&R is seeking the Sellwood Community center to be declared surplus as an exception to the City Real Property Disposition process, but to be treated substantially similar to a Category 1 disposition (ADM-13.02). This would require the property be offered to other City Bureaus before it can be sold to FSCH. The proposed sale is structured so that the purchase by FSCH for $1 is contingent on completion of the disposition process, including no other City bureau expressing interest in the property. NOW, THEREFORE, the Council directs: ​​The Property at 1436 SE Spokane St., tax lot number R267265, is declared to be surplus real property. ​The City Administrator, or designee, is authorized to execute a Purchase and Sale Agreement in a form similar to attached Exhibit A and to take all steps necessary to facilitate the sale and transfer of the property to the Friends of Sellwood Community House for $1, with a deed restriction requiring the property to be used for public benefit in perpetuity. ​​Section 2. The Council declares an emergency exists to prevent a disruption of the services provided ​by Friends of Sellwood Community House to community members​; therefore, this Ordinance shall be in full force and effect from and after its passage by the Council.