Rose Hill Property was acquired many years ago to use for a potential school site. After the property was acquired, the City of Redmond approved an ordinance requiring that the location of a school have a significant setback from the gas pipeline (500 feet) on the eastern side of the property. Using the 500-foot set back from the property line results in City of Redmond code not permitting a school to be constructed within about 70% of the property. The District would be left with usable area of approximately 3.21 acres which is about 30% of the property. The remaining buildable area would not support the construction of a school.
In accordance with law, the district obtained an appraisal that concluded the fair market value of the property was $11,925,000. The District, with the assistance of a real estate broker, marketed the sale of the property which continued into early 2019. Many local and national developers expressed interest in purchasing the property.
The District entered into a Vacant Land Purchase and Sale Agreement with DR Horton, subject to seller and buyer contingencies, to sell the property for $20,750,000.
It is expected it will take approximately 15 months for the buyer to obtain plat approval from the City of Redmond with a closing to occur in the summer of 2020. The funds from the sale of the property will be reserved for future property acquisition.
Source: 2/19/19 Board Packet
Of note: The gas trunk line is a "stone's throw" east of Rose Hill Elementary.