2021-242-Order No. 2021-024 Recorded 6/18/2021REVI WED
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LEGAL COUNSEL
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Recorded in Deschutes County CJ2021-242
Nancy Blankenship, County Clerk
Commissioners' Journal 06/18/2021 11:30:21 AM
2021-242
BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON
An Order Designating Kristie Bollinger, the
Deschutes County Property Manager, as the
Deschutes County Representative for the Purpose
of Signing Documentation for the Purchase and
Acceptance of Property Located at 244 NW
Kingwood Avenue and the Acceptance of the
Adjacent 0.03-Acre Property, Redmond, Oregon
97756
* ORDER NO.2021-024
WHEREAS, the Board of County Commissioners of Deschutes County has authorized the purchase of
property located at 244 NW Kingwood Avenue, Redmond, Oregon, 97756 from Varnum Redmond Properties
II, LLC; and
WHEREAS, Deschutes County entered into a Purchase and Sale Agreement for the property on April
23, 2021 in the amount of Two Million Two Hundred Thousand Dollars ($2,200,000), subject to a due diligence
period scheduled to expire June 22, 2021; and
WHEREAS, an Amendment to the Purchase and Sale Agreement was executed June 10, 2021 between
the parties to include an adjacent 0.03-acre property to be conveyed to Deschutes County for zero consideration;
and
WHEREAS, the transaction closing is projected to occur on or about July 7, 2021, at which time
documents necessary to conclude the transaction need to be signed on behalf of Deschutes County as the
purchaser; now, THEREFORE,
THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON, HEREBY
ORDERS as follows:
Section 1. Kristie Bollinger, the Deschutes County Property Manager, is designated as the Deschutes
County representative for the purpose of signing the necessary documents for the purchase and acceptance of
property located at 244 NW Kingwood Avenue and the acceptance of the adjacent 0.03-acre property,
Redmond, Oregon, 97756.
SIGNATURES ON FOLLOWING PAGE
PAGE 1 OF 2- ORDER No. 2021-024
Dated this 41 of , 2021
ATTEST -
Recording Se etary
BOARD OF COUNTY COMMISSIONERS
OF DESC1 UTES COUNTY, OREGON
ANTHONY DEBONE, Chair
P IL CHANG, Vice air
PATTI ADAIR, Commissioner
PAGE 2 OF 2- ORDER No. 2021-024
AES C-0& DESCHUTES COUNTY VICINTY MAP N
o Maptax #151309A000800 - 0.03 Acres &
151309A000806 - 1.07 Acres
Doc# Part. Plat 2004-02
NW KINGWOOD AVE
Taxlot - Private Owned
® 151309A000800 - Varnum Property
® 151309A000806 - Varnum Property
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Folder: C:\TestProjects\PropManagement\VicinityMaps\ Created: 6/10/2021
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nw Deschutes County Board of Commissioners
1300 NW Wall St, Bend, OR 97703
(541) 388-6570 - Fax (541) 385-3202 - https://www.deschutes.org/
AGENDA REQUEST & STAFF REPORT
For Board of Commissioners BOCC Wednesday Meeting of June 16, 2021
DATE: June 10, 2021
FROM: Kristie Bollinger, Property Management, 541-385-1414
TITLE OF AGENDA ITEM:
Consideration of Board Signature of Order No. 2021-024, Authorizing the Property
Manager to Execute the Documents Associated with the Purchase of Property Located at
244 NW Kingwood, Redmond and the Acceptance of the Adjacent 0.03-Acre Property
RECOMMENDATION & ACTION REQUESTED:
Staff recommends signature of Order No. 2021-024 authorizing the Property Manager to
execute the documents associated with the purchase of property located at 244 NW
Kingwood, Redmond and the acceptance of the adjacent 0.03-acre property
BACKGROUND AND POLICY IMPLICATIONS:
On March 31, 2021, your Board authorized the County's Property Manager to negotiate the purchase price
for property for sale located at 244 NW Kingwood, Redmond and is known as Map and Taxl-ot
151309A000806 (see vicinity map). The seller's asking price was $2,400,000 and the initial offer of
$2,200,000 was accepted. Thereafter, your Board also authorized the Property Manager to execute a
Purchase and Sale Agreement (PSA) with the ownership, Varnum Redmond Properties II, LLC (Varnum) to
memorialize the terms and conditions of the purchase/sale. The PSA was executed on April 23, 2021,
which is also the start of the due diligence period; scheduled to expire June 22, 2021.
Additionally, Varnum owns a separate adjacent "sliver" property located to the east of the above
referenced property (see vicinity map). This property known as Map and TaxLot 151309A000800 is 0.03-
acres in size and has a Real Market Value as determined by the Deschutes County Assessor's Office of
$1,610. Varnum has agreed to convey this property to the County for zero consideration.
The 11,978 square foot building was constructed in 2005 and is situated on 1.07-acres with 45 parking
spaces. There is currently one tenant, St. Charles Health Systems, Inc. occupying 2,790 square feet at a
current lease rate of $4,349.79 NNN with 1.5% annual increases, and a lease term through June 30, 2024;
current lease includes a 3-year option to extend. The County will assume the lease at the time the
transaction closes. The remaining 9,188 square feet is currently vacant.
This strategic North County property acquisition will allow the County to expand services to further serve
individuals and families in the surrounding communities. It is anticipated that the tenant improvement
project that will include space programming, design and construction services will be completed in
approximately Fall 2022 with anticipated County occupancy late 2022/early 2023.
FISCAL IMPLICATIONS:
Property purchase price of $2,200,000. Deschutes County will receive revenue from the existing lease with
St. Charles Health System, Inc. through the lease term.
ATTENDANCE:
Kristie Bollinger, Property Manager
