Margate Commissioners announced their intention to purchase the old gas station known as Taylor’s / Liberty at 7901 Ventnor Ave in Margate.
The Margate Commission meeting was held on June 3, 2024.
Margate Solicitor Abbott: This is a first official step to purchase the gas station, Taylors. This lot would be utilized as a municipal parking lot.
Listen to Margate Commissioners discuss Resolution 156-2024, plan to buy old gas station:
Prepared by: John Scott Abbott, Esq.
LETTER OF INTENT
Purchase of 7901 Ventnor Avenue
Block 207.01 Lots 1 & 3
Margate City, NJ 08402
The purpose of this Letter of Intent, hereinafter “LOI”, is to set forth the material terms and conditions to purchase the subject property based upon a definitive purchase agreement to be entered into by the parties. This LOI is not binding upon the parties and is expressly subject to the negotiation and execution of a mutually acceptable agreement of sale.
Property: 7901 Ventnor Avenue, Block 207.01, Lots 1 & 3, Margate City, New Jersey, 08402 being a former gasoline service center and garage with a ±0.23 acre parcel of land improved with a ±3,375 sq. foot former Liberty Gas Service Station. .
Purchaser: City of Margate City, a Municipal Corporation of the State of New Jersey (hereinafter “City”).
Seller: Bryan D. Taylor, Jr. and Colleen M. Taylor, husband and wife, as tenants in the entirety, (hereinafter “Taylor).
Purchase Price: $2,300,000.00.
DUE DILGENCE: It is acknowledged that the subject property is currently involved with a long-term fuel contamination remediation effort which is the responsibility of a major oil company. Seller shall furnish to Buyer or Buyer’s agents, copies of any and all environmental reports and correspondences pertaining to said contamination and remediation efforts. Buyer shall have 30 days to analyze the status of said environmental condition. Seller will cooperate with the furnishing of all information Seller may have pertaining to this contamination.
If it is determined by Buyer, at Buyer’s sole discretion, that the existing state of said contamination/remediation efforts is unacceptable, then Buyer shall have the right to terminate any Contract of Sale to purchase said property and there shall be no further responsibilities or liabilities between the parties.
SELLER SHALL PROVIDE access to the property subject to a mutually agreeable Site Access Agreement and copies, if any, of any existing leases, survey, elevation certificate. Property will be vacant at time of settlement. Seller shall have the right to make this sale as part of 1031 Tax Free Exchange; Buyer agrees to cooperate with same.
CONTINGENCY: A Contract of Sale shall be entered into by the parties as soon as reasonably possible following the execution of this LOI subject to the parties mutually agreeing to all terms and conditions of said Contract. The obligation to purchase the property, however, shall be specifically contingent upon the Governing Body of Margate approving the purchase and authorizing financing for the purchase which financing may be provided by either a Grant from the State of New Jersey, bonding by the City or a combination of both. It is acknowledged that further governmental action may be required authorizing the incurrence of debt by the City to purchase said property and that unless and until same is obtained without the right of appeal by any party, Margate shall not be obligated to purchase the property.
SETTLEMENT (transfer of title) shall take place before the end of the year. December 31, 2024.
BROKERAGE COMMISSION: Seller shall be responsible for any brokerage commission due to any party arising from the purchase of subject property related to a broker it engaged. Buyer warrants and represents that it has not engaged the services of any licensed real estate person or entity and that same have not been involved on behalf of City in this transaction.
CLOSING COSTS shall be apportioned in accordance with customary practices unless otherwise agreed to by Purchaser and Seller. Each party shall pay its own attorneys fees.
A DRAFT WRITTEN PURCHASE AGREEMENT will be delivered to Seller within 5 business days after this LOI is signed by both parties.
No info on why city didn’t consider buying the old Margate Food Truck right next door. That structure has been sitting empty for well over a year. Neighbors questioning why the shuttered Food Truck wasn’t considered for municipal acquisition.
NOTE: A few years ago, Margate could also have purchased Johnny’s Cafe parking lot at Sheriff Sale for well under $1 million.
A letter of intent has been written allowing Grant Guru Jim Rotella to submit it to the state in time for a grant application. The deal will not be contingent upon obtaining the grant application.
As Abbott understands it, that’s spelled out in the ‘letter of intent’.
Abbott: There will subsequently be an agreement of sale that the Margate Commissioners have to agree upon. There has to be an ordinance authorizing the purchase. And of course, funding available. Whether you do that by bonding or grant, most likely, hopefully a combination.
This is a first step towards acquiring the site at 7901 Ventnor Ave in Margate.
Solicitor Abbott
Margate Finance Commissioner Maury Blumberg kept in dark again?
Blumberg: We’re very early on in the process here. There’s been no conversations related to how much we’re going to pay?
On June 3, esteemed Margate Solicitor John Scott Abbott admits that $2.3 million is the price being offered.
Property is listed on the MLS at $3.1 million.
Largest single commercial plot on Ventnor Ave in Margate – 10,125 sf available for commercial use in a commercial zone.
Seller will handle environmental / potential mitigation issues, which are in process.
Abbott: This letter of intent does not obligate Margate to anything as it relates to buying this piece of property. It’s subject to an agreement of sale being approved by Margate Commissioners which will require the ability to have monies to pay for it, whether it be by authorization of bonding or a grant or a combination.
Margate cannot take possession of the property before grant is awarded.
Letter of intent is designed with the help of Margate’s grant guru, Jim Rotella.
Mayor Collins: The process has been a number of months and the deadline for this grant keeps getting pushed back. It was originally January, then it was May, now it’s Monday.
No comment on why Mayor Collins kept Finance Commissioner Blumberg out of the loop.
R E S O L U T I O N #156-2024
AUTHORIZING A LETTER OF INTENT TO PURCHASE 7901 VENTNOR AVENUE BLOCK 207.01 Lots 1 AND 3 WHEREAS, the Board of Commissioners of the City of Margate City, County of Atlantic, State of New Jersey has determined a need to acquire more public parking.
WHEREAS, 7901 Ventnor Avenue, Block 207.01 Lots 1 and 3 are available for purchase from Bryan D. Taylor and Emily C. Taylor.
WHEREAS, the Board of Commissioners of the City of Margate City wishes to act in good faith by executing a Letter of Intent with the sellers, Bryan D. Taylor and Emily C. Taylor.
NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the City of
Margate City, County of Atlantic, State of New Jersey approve Mayor, Michael Collins to
execute the Letter of Intent to peruse the purchase of 7901 Ventnor Avenue, Block 207.01 Lots 1
and 3 on behalf of the City of Margate City.
Mayor Mike Collins, Commissioner Maury Blumberg, Commissioner Cathy Horn.
Great idea. Very much needed. I hope they utilize pervious asphalt when they do it.
Personally a local mechanic and gas station in Margate should be on the island.
The cost of repurposing property previously used as a gas station can be very high because of environmental cleanup requirements. The Commissioners need to carefully research the potential mitigation costs before making any decisions on acquisition.
Noni- you are very correct on this statement. The mayor and commissioners should already know this. The Purchase & Sale Agreement should state the sale will be contingent on an environmentally clean site and seller has to perform any clean up. Enviornmental Site Assessment (ESA) Phase I should be done, this will no doubt recommend a Phase II report be done to identify the environmental remediation recommended.
PS – as a side note: it is actually fairly nice to have a gas station intown.
The current business at Liberty offers residents state inspections, oil changes, repairs, etc. A parking lot would offer weekenders, nonresidents parking. Why have a business leave that is paying taxes and convert it to season use.
I agree with you. Will there be any gas stations remaining after this transaction? It was nice having a place for the above for full time residents who live and work in Margate. Regarding income lost….I’m certain there will be parking meters bringing in lots of quarters during the summer. I once was a part-time resident, May-September but I feel sorry for these full time residents.
“Why have a business leave”? What does that mean?? The owners listed the property for sale.
Do Margate businesses pay a tax to Margate?
I think an additional municipal parking lot could be where the empty eyesore of the useless burger truck building sits. No burgers ….cars.
Great idea too! Once it’s gone, it’s gone.
About 15 years, there was Green Acres money available to buy the food truck property when the bank closed. But, two Marven Garden residents (Doug Donato and John Sewell) vocally fought the purchase by the city because of tax increase concerns. The city commissioners relented. Turns out to be a short sighted decision
Great Idea lets hope this works out , It makes sense to do a parking lot , remove tanks , grade the site and pave over it . Clean up for parking lot use is a whole lot easier that clean up to build residential use. In article writer suggest Burger Bus property , the owner was not interested in selling , he always had plans to develop.
Anyway this additional parking is a great addition to the Commercial Corridor
How about a community room for the area teenagers who have no place to go?
A community center?
Why?
The kids have the beach, the ball fields, JCC.
And many of these kids have families that are economically comfortable.
You are seriously out of touch if you teenagers want to hang out at a community center. Sad, but that’s simple facts.
Wow. $2.3 million.
Can somebody find out if owner of gas station is a family member or friend of elected officials or planning board members, etc.?
Environmental cleanup costs of that will not be cheap.
That is a lot of tax payer money for a few parking spots if you ask me.
Not like it will make that much of a difference with the summer time parking anyway.
One has to wonder why Blumberg is the last to know lately on some of these things?
I have a bridge I want to sell Margate.
It is a kid made bridge about four feet long in Minnie Creek.
Margate owns the creek but they do not own this kid made bridge…how about 1 million for it.
lol
Enviromental Clean Up Costs Fall to the Seller
Which the seller will most likely past on the costs of the environmental cleanup onto the buyer in the amended sales price?
Honestly, that needs to be in the vicinity of all the restaurants, not here.
Two blocks from the hardware store. No surprise there.
A lot on the corner of N. Granville and Ventnor was offered to the City many years ago. Mayor Reale rejected the offer saying that the city was not getting into the business of running parking lots. Give them the congestion brought on by overdevelopment, it’s about time they did.
No need to place a parking lot for summer people to park, short or long term. Will fill up fast leaving nothing for residents.
The city administration needs to direct and focus their intentions on assisting their residents and summer people.
THERE IS NO GAS STATION IN MARGATE. EVERYONE MUST LEAVE CITY TO GET GAS AT HIGHER PRICES WITH ADDITIONAL TIME TO GET IT.
BETTER IDEA FOR THE CITY:
Keep ONLY ONE of two remaining stations as they already have underground tanks. If present owner wants out, then assist in finding a new one offering the new or previous incentives.
A workable year round local partial tax abatement on sales. Assistance in modernizing appearance of present building.
Gas prices would be regulated under same structure presently allowed at state rest stop facilities, (good for old and new customers and owner at same time).
Station will not perform mechanical work, only tire repair, quick service oil changes and tire sales/install service. Thus very little competition to other within city car repair locations.
No overnight parking. Part of the new station should be utilized as a convenience store for food basics. Milk, bread….NO TOBACCO PRODUCTS.
The gas only and food sales should be open on a 24 hour basis.
Once again, these changes would service all residents and visitors. A step in making Margate more inviting and livable.
Herb:
Very well thought out, practical response.
Sadly, little or none of it will happen.
They will do what they want when they want for the most part as they have been doing for decades.
I like the plans that the Planning board approved for the Food Truck property.
I met with the owner /developer prior to the planning board meeting and fully supported the plans.
Responsible and considerate planning to benefit Margate and the surrounding property owners.
The neighbors welcome that project.
They are proving 6 residential and 5 commercial parking spaces in their plans.
My concern is , with all this planned commercial space and a declining full time resident base, who will want to open a business here?
Not me!
Is this responsible planning and building?
Can we ad a community support these new business or relocated businesses .
Our city spending $3,000,000.00 of our tax money may not be a great choice.
We lose a tax payer.
Are we heading down a path towards empty store fronts… reminiscent of city blight.
Buying a site for a city parking lot at $3,000,000.00 plus may not be a good choice.
We will lose a tax paying property for a few metered spaces????
I dot not think this is really the long term plan for this property.
Time prove me and others
Right or wrong.
There’s a pattern here, Maury in the dark!
Maury was in the dark as Revenue Commissioner during the RX scandal.
In the dark when the Wray resolution introduced.
In the dark for this gas station issue.
Someone, anyone, turn on the lights for Maury!
How is it possible that Collins/Horn outflank Maury; Horn hasn’t made a statement since taking the oath.
how much would it cost to park there?
Do you really think people of Margate want to walk a block or two to the stores and businesses when the can just double park, park in no loading zones, park in cross walks and in front of fire hydrants without any thoughts of getting tickets?
They just won’t use that lot.