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Idaho Land Board to auction 10 properties |
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August 15, 2017 |
The State Board of Land Commissioners (Land
Board) today authorized the Idaho Department of
Lands (IDL) to offer ten commercial properties
for auction in 2017.
The ten properties are a combination of
commercial buildings, parking lots and vacant
commercial building lots located in Boise,
Meridian and Idaho Falls.
The auction is set for December at the Courtyard
Marriott located at S1789 Eagle Road in
Meridian. An exact date of the auction will be
determined in the coming weeks.
The Land Board retains the authority to remove
any of the 10 properties from the December
auction based on additional analysis or market
information.
The Land Board's commercial real estate broker,
Thornton Oliver Keller (TOK), will market the
properties and host a web portal with extensive
property information for potential purchasers.
Detailed information about the individual
properties is available by registering on the
TOK client portal, located here:
http://tokcommercial.com/CommercialProperties/IDLDisposition2017.aspx*
The recommendation to offer the properties for
sale this year comes from the Land Board's
commercial real estate advisor, CenturyPacific
LLLP (CenturyPacific).
Under the direction of the Land Board, IDL
manages approximately 2.4 million acres of
endowment lands under a constitutional mandate
to maximize long-term financial returns to
public schools and other beneficiaries.
The Idaho Constitution requires a public auction
for the sale of endowment lands.
At the end of 2014, the Land Board voted to
consider disposal of certain commercial
properties consistent with the constitutional
mandate. The decision was based on the
recommendations of independent third-party
investment consultant Callan Associates.
The Land Board voted in 2016 to sell several IDL-managed
commercial properties in order to take advantage
of the strong local commercial real estate
market. The decision was based on
CenturyPacific's recommendation, which also
identified challenges and limitations IDL faced
in efficiently managing and operating some
commercial real estate properties.
In 2016, IDL auctioned seven commercial
properties for $17,265,000, which was $4,475,000
above the appraised value of the properties.
With input from a third-party expert acquisition
advisor, the Land Board will consider purchases
of timberland and farmland using proceeds from
the sale of commercial properties and
residential cottage sites, provided the lands to
be acquired meet certain prudent investment
criteria. The Land Board also may choose to
deposit land sale proceeds in a permanent fund,
in order to continue earning returns for the
endowment beneficiaries. |
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