Council approves developer's request for two 55-day extensions on Bel Air Division 3 closing

Council at its May 5 work session approved a request from Clearstone LLC, working through broker TOK, for up to two 55-day extensions to the purchase-and-sale closing date for Bel Air Division 3, with each extension requiring a $10,000 nonrefundable deposit.

Staff explained the property had been taken to market after an earlier public hearing produced no bids, and the council previously accepted a letter of intent that set a $2,000,000 sale price. The buyer previously received a 30-day extension and asked for the additional 55-day periods to finish related zoning and utility work. "They are requesting 2 55-day extensions with a non refundable deposit of $10,000 each," a staff presenter told the council.

Council members debated whether to approve both extensions in advance or approve a single extension and let the buyer return. Supporters said approving both extensions could preserve the sale and allow the developer to proceed in good faith; skeptics warned about potentially missing a stronger buying season if the market improved. The broker's timeline showed a first extension triggering on Monday, May 11 and a second, if needed, on Monday, July 6, with a closing as late as Aug. 31 if both were used.

A motion to approve the extension request and authorize city signatures passed. The clerk recorded affirmative votes during roll call. The staff presenter said the nonrefundable deposits would apply toward purchase proceeds if the sale is completed; if the developer walks away the city would retain the deposit.

The council did not change the agreed sale price or other material terms; it authorized staff to execute documentation enabling the extensions and to proceed with the usual closing procedures.

The item will appear on the regular council consent agenda for final ministerial approvals and signature authority at the upcoming meeting.