Burbank Municipal Code Div. 1 General Provisions

Any real property owned by the City which includes easements owned in fee by the City and real property dedicated to park, recreation, library, social service or welfare purposes, the sale and lease of which is regulated by Section 1220 of the City Charter, may be sold, exchanged or leased in the following manner:

A. Sale or Lease Of Real Property:

1. Except as otherwise provided in subsections B, D and E of this section and Division 2 of this article, real property owned by the City may be sold or leased if all applicable requirements of the City Charter and this article are complied with and the Council, by a resolution adopted by not less than a four-fifths (4/5) vote of all of its members, determines that the public interest or necessity requires such sale or lease.

2. Such sale or lease may be made after advertisement for bids, at public auction after advertisement, at public auction after bids have been received, or at private sale or lease.

3. Such sale or lease must not be for less than the fair market value of the property to be sold or the fair rental value of the property to be leased as determined by appraisal, except as hereinafter provided in subsection B of this section.

4. Appraisals may be made by the Director of Community Development of the City or by a retained private real estate appraiser. Real estate appraisers retained to determine the fair market value of real property to be sold or the fair rental value of real property to be leased by the City, pursuant to the foregoing, shall be selected by the City Attorney upon recommendations of the Director of Community Development solely on the basis of their professional qualifications, experience, personal integrity and good reputation and may be employed only pursuant to written agreement or purchase order.

B. Sale Or Lease To Other Political Subdivisions And Others Serving The Public Interest: The City may sell or lease real property to the United States, or any agency thereof, to the state, or any agency, department, political subdivision or district thereof, or to any municipal corporation and other groups serving the public interest, without public auction or advertisement for bids, if the Council adopts a resolution by not less than a four-fifths (4/5) vote of all members thereof, finding that the public convenience, necessity or welfare requires such sale or lease, and stating the terms and conditions thereof and reasons therefor. Such sale or lease may be for less than the fair market value or other considerations upon determination by the Council of a vote of not less than four-fifths (4/5) of all members thereof, that it is in the best public interest to do so.

C. Exchange Of Property: Real property owned in fee by the City may be exchanged for other real property comprising an equal or greater area or having an equal or greater value or for other real property and additional consideration at least equal in value to the real property transferred, whenever the Council by not less than a majority vote of all members thereof shall find and determine that such exchange is in the public interest, provided, however, that whenever it is proposed to exchange park property, such exchange shall comply with the requirements of Title 4, Division 3, Part 2, Chapter 9, of the Government Code of the State. The value of the real property transferred and received shall be determined in the same manner as provided for a sale or lease of real property owned in fee by the City. An easement may be exchanged for another easement to serve the same public purpose if the easement to be acquired is of equal or greater value in use or utility. In determining the easement’s value to the City the following factors shall be considered:

1. Utility of other City owned easements which may be used in conjunction with the easement to be acquired;

2. The proposed development of the land subject to the City owned easement; and

3. Payments, if any, to the City for the relocation of City owned facilities necessitated by the exchange.

The Council may find and determine equal or greater value in use or utility upon information certified by the head of the appropriate City department and approved by the City Manager.

D. Sale Of Property Acquired For Nonpayment Of Assessment Or Lien: The City Manager, upon recommendation of the City Treasurer and upon order of the Council and after the redemption period has expired, shall sell real property acquired by the City for nonpayment of any assessment or lien in favor of the City if such real property is not needed by the City. Such sale shall be made, in accordance with subsection A or B of this section.

The City Manager, upon recommendation of the City Treasurer, may submit a recommendation to the Council requesting the sale, exchange or lease of real property acquired by the City for nonpayment of any assessment or lien in favor of the City, provided such recommendation is supported by a report issued by a title insurance company authorized to do business in this State, showing the condition of the title and any other facts pertinent to the proposed sale, exchange or lease. All offers to purchase, acquire by exchange, or lease real property acquired by the City for nonpayment of any assessment or lien in favor of the City shall be accompanied by an up to date title report issued by a responsible title insurance company authorized to do business in this State.

E. Director of Community Development To Temporarily Lease Certain Property:

1. The Director of Community Development may lease any real property or interest therein owned by the City, the use of which has been temporarily deferred or suspended, for a period not to exceed six (6) months for rent consistent with values for short term tenants. All such leases shall provide for and be subject to termination by the City with at least thirty (30) days written notice.

2. Any lease of City property or interest therein for a term in excess of six (6) months and/or for considerations other than market value must be approved by the Council by a vote of not less than four-fifths (4/5) of its members.

F. Leases to Media Related Business: The Police Chief may, on guidelines approved by the Council, lease City property to media related businesses for the sole purpose of making films.

G. Parking Leases: The Public Works Director may, on guidelines approved by the Council, lease to individuals any parking space owned by the City.

H. Environmental Assessment: No property owned in fee by the City shall be leased pursuant to the provisions of this section if the proposed use of the property may have a significant effect on the environment until an environmental assessment is prepared, processed and considered in accordance with the provisions of Title 9, Chapter 3, Article 1 of this Code, unless the lease is otherwise exempt from the provisions of that article. [Formerly numbered Section 9-30; amended by Ord. No. 3395, eff. 2/25/95; 3282, 3058, 2856, 2531, 2383, 2382, 2222.]

All sales of real property by the City, except sales to governmental bodies or agencies thereof, and sales for nonpayment of any assessment or lien in favor of the City shall be for cash or on the following terms: one-third (1/3) cash and the balance in one or more installments falling due not more than five (5) years from the date of sale, with a lien to the City upon the real property securing payment of the balance due. [Formerly numbered Section 9-203; amended by Ord. No. 3282, eff. 3/2/92; 3058, 2856, 2803.]

Resolutions ordering the sale, exchange or lease of real property at public auction or after advertisement for bids shall recite that the real property to be sold, exchanged or leased is owned by the City and is no longer required for the City’s use, shall specify the minimum sales price and the minimum terms and conditions upon which the real property will be sold, exchanged or leased, shall state whether the sale, exchange or lease will be at public auction or by advertisement for bids, and shall direct the City Clerk to cause notice of the sale, exchange or lease to be published for ten (10) days in the official newspaper of the City; provided, however, that no sale, exchange or lease of real property shall be ordered on terms contrary to the provisions of Section 2-2-202 of this article. [Formerly numbered Section 9-204; amended by Ord. No. 3282, eff. 3/2/92; 3058.]

In the event the real property is advertised for sale, exchange or lease to the highest responsible bidder, the resolution ordering such sale, exchange or lease shall specify that the bids shall be sealed and filed in the office of the Director of Community Development on or before the time specified in the notice of sale for the opening of bids. At the time fixed in said notice for the opening of bids, the City Manager or their designee shall open, examine, and declare all bids received, then shall forward a tabulation of the bids received, together with a recommendation as to which bidder shall receive the award, and a proposed resolution making the award, to the City Council. No bids shall be considered unless accompanied by a cash deposit or certified check in an amount equal to at least ten percent (10%) of the amount bid, to be deposited with the Director of Community Development as a guarantee that the person making such bid will purchase and pay for such real property, or enter into a lease therefor, as the case may be, upon the terms and conditions specified in the notice. [Formerly numbered Section 9-205; amended by Ord. No. 3395, eff. 2/25/95; 3282, 3058.]

The Council may, in its discretion, reject any or all bids or withdraw the property from sale, exchange or lease, as the case may be, should it deem such action to be in the public interest. [Formerly numbered Section 9-206; amended by Ord. No. 3282, eff. 3/2/92; 3058.]

Whenever previously authorized by an affirmative vote of four-fifths (4/5) of its members, the Council shall have the right to employ a broker or agent and pay them a commission or such compensation as may be fixed by the Council, for services rendered in promoting, furthering or negotiating the sale, exchange or lease of any real property to be sold, exchanged or leased under the provisions of this article. [Formerly numbered Section 9-207; amended by Ord. No. 3282, eff. 3/2/92; 3058.]