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TO: |
Board of Trustees |
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THROUGH: |
Jay Fox, Executive Director |
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FROM: |
Dave Hancock, Chief Capital Services Officer |
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PRESENTER(S): |
David Hancock, Chief Capital Services Officer |
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Paul Drake, Director of Real Estate & TOC |
TITLE:
title
R2025-07-01 - Resolution Approving the Membership Interest Purchase and Sale Agreement in the Jordan Valley Transit Oriented Development
end
AGENDA ITEM TYPE:
Resolution
RECOMMENDATION:
Approve a Resolution for the sale of UTA’s membership interest in Bangerter Station LLC and authorize the Executive Director to execute a Membership Interest Purchase and Sale Agreement.
BACKGROUND:
In 2010, UTA entered into an operating agreement with Bangerter Station Associates (a development entity owned by Boulder Ventures Development), forming Bangerter Station, LLC and laying the framework to develop land adjacent to the Jordan Valley TRAX Station. Since then, the partnership has overseen the completion of four development phases, consisting of approximately 720 residential units and 5,000 sf of retail. UTA staff have concluded that it would be in the best interest of UTA to divest its ownership interest in Bangerter Station LLC.
The Utah Public Transit District Act requires the UTA Board approve transactions with a value of $250,000 or more. Board Policy 5.3 requires that real estate transitions with a value of $1,000,000 or more be approved by resolution.
DISCUSSION:
Current market conditions have led UTA staff to believe that it is in UTA’s best interest to divest itself of its membership interest in Bangerter Sation LLC at this time. The negotiated sale price is considered fair and reasonable by multiple industry experts who were consulted by UTA Staff.
CONTRACT SUMMARY:
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Contractor Name: |
Bangerter Station Associates, LLC |
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Contract Number: |
To be Announced |
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Base Contract Effective Dates: |
July 10, 2025 |
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Extended Contract Dates: |
N/A |
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Existing Contract Value: |
N/A |
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Amendment Amount: |
N/A |
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New/Total Contract Value: |
To Be Announced |
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Procurement Method: |
Negotiated Settlement |
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Budget Authority: |
N/A |
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ALTERNATIVES:
Reject offer and risk experiencing a loss in value of UTA’s membership interest.
FISCAL IMPACT:
Proposed proceeds to UTA and associated terms are included in the offer.
ATTACHMENTS:
Resolution and supporting documents will be provided following conclusion of Board Meeting.