City Hall puts millions into Boyer partnership
November 13, 2009
A crucial step in a landmark deal between City Hall and The Boyer Company won approval on Thursday night, putting the two on the cusp of partnership that would guide the development of a crucial tract of land at Quinn’s Junction.
The Park City Council unanimously agreed to a $5.5 million deal with The Boyer Company to purchase a 50 percent stake in 200 acres of land at the southwest corner of the U.S. 40-S.R. 248 intersection, known as Park City Heights.
Officials lauded the agreement as a chance for City Hall to hold an influential role in guiding the development of the acreage, situated along the S.R. 248 entryway. The agreement includes a two-year window for The Boyer Company and City Hall to craft a development plan for the site. If they fail to do so, The Boyer Company could exercise an option requiring City Hall to purchase the firm’s remaining stake in the land for another $5.5 million plus interest.
Park City officials envision perhaps building a bloc of work force housing at the site while The Boyer Company is eyeing 100 regularly priced units on the land as well as the worker housing. But the details of the development must still be negotiated between City Hall and The Boyer Company.
Park City Manager Tom Bakaly said the full stake in the land is appraised at between $9 million and $12.1 million.
Another meeting between the two is tentatively scheduled Nov. 19 to hammer out more details of the agreement. It is likely the City Council and The Boyer Company on Nov. 19 will address items like expenses and the circumstances needed before either side could sell or transfer its stake in the land.
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"We’re excited. It’s a win-win situation," Patrick Moffat, The Boyer Company project manager for the deal with City Hall, said in an interview after the City Council vote.
City Councilors were pleased with the agreement, mentioning the expanded role City Hall will have in the development and saying it was a smart investment. City Councilwoman Candy Erickson said the window for the agreement was not large since The Boyer Company could move forward without City Hall if the economy improves.
"Timing is the opportunity we have here," Erickson said.
In testimony to the elected officials before the vote, John Stafsholt, a defeated City Council candidate and Old Town activist, commended City Hall for the agreement. He said the deal will be a "huge benefit" for Park City.
Another speaker, Park Meadows resident Tom Fey, was deeply critical of the agreement, asking the City Council to reconsider the price and saying "nobody is buying raw dirt right now."
Fey said the real estate market is "dead right now" and there is not a market for Park City Heights. Fey suggested City Hall instead spend the money to pay down debt.
"There is no reason to bail Boyer out," Fey said.