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(1) Except as provided in subsection (2), all real property acquired and held by the city for a purpose specified in a development plan may be disposed of for that purpose by any of the following procedures:

(a) Public disposal. After publishing notice of a public sale by auction or written proposal in which the parcels offered are identified and the terms and conditions of sale or the criteria for proposal selection are stated, the city manager may dispose of real property according to the best bid or proposal. The decision of the city manager shall be final.

(b) Private disposal. The city manager may privately solicit proposals and negotiate with any person for the disposal of real property. Upon receiving an acceptable proposal, the city manager shall notify the council in writing of the manager’s intention to accept the proposal. Within ten days after receiving notice the council shall decide to review the proposed transactions. If the council does not decide to review the proposed transaction within the ten days, the city manager may accept the proposal. Upon receiving notice of the proposed transaction the council may waive review of the transaction in which event the city manager may immediately accept the proposal. After its review the council may affirm, modify or reject the proposed transaction. The decision of the council shall be final.

(2) When real property subject to a development plan is determined by the city manager to be suitable for tenant occupancy and that occupancy is consistent with the development plan, the city manager may lease all or any part of it to another for a term not to exceed 20 years at fair market rent. The city manager may require additional lease terms and conditions consistent with the public health, safety and welfare. The decision of the city manager shall be final.

(Section 2.862 added by Ordinance No. 19447, enacted January 14, 1987; and administratively amended by Ordinance No. 20113, enacted April 6, 1998, effective May 6, 1998.)