What's Happening in Real Property
5 Acres for Sale in Georgia
The Real Property Utilization & Disposal Division (4PZ) has 5 acres for sale in Townsend, Georgia. The auction opened on Thursday, January 24, 2013. For more information about the property or to place a bid, please visit GSA Auctions.
Public Benefit Conveyance Leads to New School Building in Dover
The Real Property Utilization & Disposal Division (4PZ) recently disposed of the J. Allen Frear Federal Building, 300 South New Street, Dover, DE through a public benefit conveyance (PBC) for educational purposes to Wesley College. A PBC allows GSA to make surplus Federal property available to public bodies (such as state and local governments or certain qualified tax exempt 501(c)(3) nonprofit institutions) at a discounted price if it is used for a specific public use that qualifies as defined by Federal real property disposal guidance.
On November 14, 2012, GSA assigned the property to the U.S. Department of Education for subsequent conveyance to Wesley College at 100 % discount of the fair market value, which represents a substantial savings for the College. On November 28, 2012, the utilities and keys to the building were transferred to Wesley College.
Public Benefit Conveyances like this one ensure local communities are given the opportunity to benefit from surplus Federal real property. These opportunities have a lasting positive impact on communities, as the reuse of Federal property can serve as an integral component of a community’s vitality. Wesley College plans to use the property for its nursing program, which ranks in the top 50 in the U.S. for Best Grad Schools for Nursing in 2011-12 according to U.S. News & World Report.
Online Auction Sells Naval Hospital for $2M
The Department of the Navy recently turned to the Real Property Utilization & Disposal Division (4PZ) in Atlanta, GA to assist them with the disposal of a 10-story former Naval Hospital, including 22 acres, in North Charleston, SC. The property was part of the Charleston Naval Base, which closed in the mid-1990’s.
GSA marketed the property extensively and sold it via online auction on RealEstateSales.gov, the Federal government’s website that offers the general public the opportunity to bid electronically on a wide array of Federal assets around the country.
After approximately three weeks of lively bidding, on October 10, 2012, the City of North Charleston’s high bid of $1,948,290 remained unchallenged and the online auction was concluded. Subsequent negotiations between the City and GSA resulted in a final selling price of $2 million. GSA executed the deed of conveyance to the City on November 14, 2012.
The sale of this property represents a win for all stakeholders:
- The City paid a fair and reasonable price, consistent with the market, for a property adjacent to property they own. The purchase allows the city to reuse the property consistent with local needs and revitalize the area.
- The taxpayer is not only no longer burdened with the upkeep of a building that is surplus to the needs of the Government but will also benefit from the revitalization of a blighted area.
- The Navy will receive the proceeds of the sale, minus GSA’s contractual expenses.
The city has plans to transform the property into a facility for senior living, senior care and hospice. Approximately half of the land will be developed into a park.