HomeMy WebLinkAbout1995-05-23 - AGENDA REPORTS - PRINCESSA RAIL STATION (2)AGENDA REPORT
UNFINISHED BUSINESS
DATE: May 23, 1995
Item to be presented
SUBJECT: PRINCESSA RAIL STATION PURCHASE
DEPARTMENT: Public Works
At their May 9, 1995 regular meeting, the City Council directed staff to purchase the Princessa
Rail Station and direct the City Manager to negotiate a purchase price comparable to recent
nearby land sales. Staff and the owner have since negotiated a purchase price of $1,742,000
or $8.00 per usable square foot. The purchase agreement has been structured to integrate
Metropolitan Transportation Authority (MTA) grants into the purchase agreement. Over a
period of three years, the City would make three payments. The first years' payment would
be 25 % of the purchase price or $435,000 with the balance of $1,307,000 being paid over the
following two years. MTA staff has recommended that the City receive $420,000 towards the
purchase. The recommendation is to be heard by the MTA Board in late May. City staff will
continue to apply in future successive years for MTA grants to pay off the $1,307,000 balance
rather than using Transit Fund Balance funds.
The Princessa Rail Station is the second station in Santa Clarita. It serves the eastern portion
of the City as well as unincorporated areas along the Highway 14 corridor between Santa
Clarita and the Antelope Valley. Currently 300 to 400 trips originate and terminate at the
station each weekday. If the station were to close, it is likely some of these trips would be lost
due to the longer drives needed to reach the Santa Clarita Metrolink Station on Soledad
Canyon Road. However, if all users of the Princessa Rail Station were to shift to the Santa
Clarita Station, insufficient parking would result and there would be no room to accommodate
growth.
The Princessa Rail Station was built immediately following the January 17, 1994 Nothridge
Earthquake. The City entered into an rental agreement with Newhall Land and Farming
(NL&F) for the land. No rent was charged for the first nine months. For the subsequent
months, the lease required rent in the amount of $10,000 per month. Staff began its
investigation into the purchase of the land in October 1994 when it became apparent that ridership
would remain steady.
APPROVED Agen4a Item: -6�
Purchase of Princessa Rail Station
May 23, 1995
Page 2
An environmental analysis of the site is in progress. Staff does not foresee any environmental
problems at this time.
Finally, staff at this time does not intend to improve the property beyond its current condition.
When sufficient funds become available, staff will investigate this possibility. When the property
is developed, the City will have to make improvement to the property which include; street
widening, sidewalk, curb and gutter, trees, water and sewer.
Appropriate $410,000 from AB 2766 Air Quality Improvement Funds to Account
No. 55-7000-410 to purchase the Princessa Rail Station.
DEL:gmm
princ2.agn