Vernon taxpayers are losing a big piece of land for a large chunk of cash.
Council has sold the 19.6-acre McMechan Reservoir at 901 39th Ave. to Vernon Reservoir Developments for $6.49 million.
“It’s very good development property and it makes sense for the community,” said Coun. Brian Quiring.
The site, near Mutrie Park, has not been used as an open reservoir since 2005 and was deemed surplus for infrastructure purposes.
“It’s good that a developer wants to look at doing something,” said Mayor Akbal Mund.
The intial plan for the site is a mix of housing types, and the developer has agreed to include some attainable housing. Carriage houses and secondary suites could exist as mortgage helpers.
There is also a proposal for a park and trail system.
Coun. Scott Anderson voted against the motion not because he is opposed to selling the land, but he has concerns about the process the city followed.
“It should go on the open market,” he said.
Mund isn’t surewhat led to city administration recommending the land be sold to Vernon Reservoir Developments.
“It’s a piece of property not doing anything. It’s close to downtown which is important,” he said.
There’s lots of stuff we can do with the money.”
The develpper approached the city about the land in April.
City administration has been instructed to negotiate on a proposed limited partnership with the development company.
“The details have yet to be finalized, but the developer has offered the city an equity stake in the development of the site,” said Brett Bandy, the city’s real estate manager.
The Greater Vernon Water utility continues to have a concrete reservoir at the site.
