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ITEM 9.c. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 10/6/2026 Meeting Type: Town Council Regular Meeting Submitting Department: Development Services Prepared by: John Wesley, Development Services Director Staff Contact Information: Phone: 480-816-5138 Email: jwesley@fountainhillsaz.gov Request to Town Council Regular Meeting (Agenda Language) CONSIDERATION AND POSSIBLE ACTION: Regarding possible sale of Town-owned parcels at various locations. Staff Summary (background) At the December 2, 2025, Town Council meeting, the Council reviewed and discussed the possibility of selling select Town-owned parcels. At the conclusion of that discussion, the Council directed staff to develop further information regarding a parcel on East Ashbrook Drive. Staff returned to the Council on March 3, 2026, and presented the option of selling this piece of Town-owned land. The Council directed staff to proceed with preparing this property for sale and to come back to the Council with additional surplus properties for consideration. Staff is in the process of surveying the property on Ashbrook as the first step in moving the property through the process. This report outlines five additional surplus properties that could be sold. Town staff have not identified any immediate Town needs for any of these properties. Staff seeks Council direction on each of these properties. East side of the 14000 Block of N. Del Cambre This property is located on the south side of Ashbrook Wash between N. Del Cambre Ave. and N Vallecito Dr. This area was conveyed to the Town from MCO Properties by Special Warranty Deed in June 1997 along with several other properties. The area identified for possible sale is above the floodplain for Ashbrook Wash. The area is relatively flat and would be easy to develop. The exact area that would be sold is subject to change based on surveying the property. What staff has identified as the potential area is almost 27,000 sq. ft. and could be divided into two lots compatible to the surrounding lots. These lots exceed the minimum 8,000 sq. ft. required by the R1-8 zoning district. The surrounding area was included in Plat 101, approved in July 1971. Homes began being built in this area in the late 1970's and all the lots were developed by 1997. Given the property was considered part of Ashbrook Wash, it is shown on the 2002 General Plan as open space. Lots in the area range in size from 8,303 to 12,807 sq. ft. Of the 17 homes closest to this property, only one is a two-story home. Southwest corner of Greystone and Sycamore This property is located on the south side of Greystone just west of Sycamore. This area was conveyed to the Town from MCO Properties with a Special Warranty Deed along with several other properties in March 1997. The area identified for possible sale is above the floodplain for the adjacent Greystone Wash. There is a significant slope across the property, it slopes down from west to east over 40'. While this slope is significant, it is similar to other lots along Greystone. The exact area that would be sold is subject to change based on surveying the property. What staff has identified as the potential area is approximately 39,000 sq. ft. The 6 lots immediately to the is area range in size from 40,900 to over 64,000 sq. ft. in size. The property is zoned R1-35, establishing the minimum lot size as 35,000. The proposed lot could possibly be increased in size. Most of the homes along Greystone were built in the early to mid 1990's. South side of the 15500 -15600 Blocks of E. Sunburst This property is located on the south side of Sunburst across from Whitestone Way (between Greystone and Telegraph). This area was included on the Plat for Stoneridge South II as Lot 2 and is designated as a Public Utility Easement and a Drainage Easement. Lot 2 was deeded to the Town in 1995. The area staff has identified is approximately 190,000 sq ft in size and could be divided into four lots of around 47,000 sq ft in size. The lots along the south side of Sunburst range from 36,670 to 90,000 square feet in size with an average of 50,477 square feet. The area is zoned R1-35. The lots to the north across Sunburst are zoned R1-8. This area is above the flood plain associated with Sunburst Wash but is very steep. The slopes across the property are all in excess of 30%. Initial development in this area began in the mid-1990's. The lots along the south side of Sunburst have continued to slowly develop. There are still several lots available. While there is no current expectation of Town use of this property, there has been some discussion in the past regarding potential park use of this portion of Sunburst Wash. If that were to happen, this area could be part of the access to the park. North side of the 15500 Block of E. Palomino This property is located on the north side of Palomino between Pinto and Ocotillo. This area was included on the Plat for Stoneridge South II as Lot 2 and designated as a Public Utility Easement and a Drainage Easement. Lot 2 was deeded to the Town in 1995. The lot identified for possible sale is along the south side of Sunburst Wash. The slopes in this area are very steep, especially on this lot. The slope just north of Palomino is in excess of 35%, which would make development of this lot challenging. The lot shown is over 53,000 sq. ft., which is compatible with the adjacent lots. The property on the north side of Palomino is zoned R1-35 and the property on the south side is zoned R1-8. The smaller lots to the south and west began development in the 1980's. The larger lots on the north side of Palomino did not start developing until the mid-1990's. While there is no current expectation of Town use of this property, there has been some discussion in the past regarding potential park use of this portion of Sunburst Wash. If that were to happen, this area could be part of the access to the park. East side of the 16600 Block of N. Aspen This property is located on the east side of Aspen along the Hesperus Wash. This area is part of Parcel B of Final Plat 505 D and is designated as a Public Utility Easement and a Drainage Easement. Parcel B was conveyed to the Town by a special warranty deed from MCO in March, 1997. The area staff has identified that is outside the flood plain is not impacted by significantly steep slopes. The total area is approximately 100' deep with 300 feet of frontage along Aspen. This area is zoned R1-10 (minimum 10,000 sq ft lots) and could be subdivided into three lots of a similar size to the ones across the street. The average size of the 13 lots along this street is 10,325 square feet. Related Ordinance, Policy or Guiding Principle N/A Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) N/A Staff Recommendation(s) Staff is seeking Council direction on whether or not to move forward with the next step of preparing any or all of the lots discussed in this report for possible sale. The properties on Del Cambre and Aspen will be the easier ones to develop. Staff recommends moving forward with those properties first. Suggested Motion MOVE TO direct staff to move forward with preparing one or more of the property listed to sell. FISCAL IMPACT Fiscal Impact: N/A Budget Reference: N/A Funding Source: N/A ATTACHMENTS None