Resolution

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RESOLUTION NO. 12507 
 
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MESA, 
ARIZONA, APPROVING AND AUTHORIZING THE PURCHASE AND 
LEASEBACK OF THE REAL PROPERTY AND IMPROVEMENTS LOCATED 
AT 1 WEST MAIN STREET, MESA, ARIZONA, AND AUTHORIZING THE 
EXECUTION OF NECESSARY DEAL DOCUMENTS, INCLUDING A 
PURCHASE AGREEMENT AND LEASE.  
 
Whereas, 1 WM, LLC (the “Seller” or “Tenant”) is the current owner of the real property located 
at 1 West Main Street, Mesa, Arizona, as legally described in the attached Exhibit A, and the 
building and all other improvements on said real property (collectively, the “Property”). 
 
Whereas, the Seller is willing to sell the Property for $2,650,000.00 but has agreed to sell the 
Property to the City for $2,500,000.00 only if the City temporarily leases the Property back to the 
Seller for a nominal fee as set forth in the lease agreement contemplated by this Resolution (the 
“Lease”). 
 
Whereas, the Lease is partial consideration for the City’s purchase of the Property and a condition 
of the Seller’s obligation to close; the Seller would not have agreed to sell the Property to the City 
at the agreed-upon purchase price but for the City entering into the Lease. 
 
Whereas, the Property is in a high-profile location at the center of the City’s downtown in the 
City’s Central Business District and Town Center redevelopment area. Following the purchase of 
the Property, the City intends to redevelop the Property to a use that will benefit the public by 
activating the Property, attracting visitors to downtown, and increasing tax, parking, and utility 
revenues to the City.   
 
Whereas, the Lease will be temporary, for a maximum of 18 months, to allow the existing tenant 
to remain on the Property while the City plans the redevelopment of the Property and will ensure 
the Property remains occupied and not vacant during the initial investigation and planning phase 
of the City’s redevelopment, while allowing the City to access the Property. 
 
Whereas, the Lease will be subject to excise tax liability and other restrictions imposed under the 
Government Property Lease Excise Tax (“GPLET”) provisions of Arizona Revised Statutes §§ 
42-6201, et seq.  The Tenant will be responsible for the payment of all excise and other tax 
applicable to the Property and Lease under GPLET; the tax will not be abated.  The Tenant’s failure 
to pay such tax will be a default of the Tenant under the Lease, and after notice and an opportunity 
to cure, could result in the termination of the Lease, divesting the Tenant of any interest in or right 
of occupancy of the Property. 
 
Whereas, certain documents necessary for the purchase of the Property and the leaseback of the 
Property, including a purchase agreement and the Lease, (collectively, the “Deal Documents”) will 
need to be executed. 
  
Whereas, pursuant to the powers of the City to acquire and lease property set forth in Section 101

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of the Mesa City Charter, the City Council finds and determines it is appropriate for the City to 
purchase and thereafter lease the Property back to the Seller/Tenant as set forth in the Deal 
Documents. 
 
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF MESA: 
 
Section 1. 
The City Council approves the purchase of the Property and the leaseback of the 
Property as described in this Resolution.  The City Manager or his designee is authorized, on behalf 
of the City of Mesa, to execute the Deal Documents, including a purchase agreement and the Lease, 
and any amendments, modifications, renewals, or extensions of the Deal Documents provided they 
do not materially alter the terms or purpose of the transaction as presented to the City Council. 
 
Passed and adopted by the City Council of the City of Mesa on April 20, 2026. 
 
 
 
 
______________________________ 
Mark Freeman, Mayor 
 
Attest: 
 
 
 
_____________________________ 
Holly Moseley, City Clerk

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EXHIBIT A TO RESOLUTION 
Legal Description of the Real Property 
 
 
For APN/Parcel ID(s): 138-41-023 
 
THE LAND REFERRED TO HEREIN BELOW IS SITUATED IN THE COUNTY OF 
MARICOPA, STATE OF ARIZONA AND IS DESCRIBED AS FOLLOWS: 
 
THE EAST 125 FEET OF LOT 6, BLOCK 11, OF MESA, ACCORDING TO THE PLAT 
OF RECORD IN THE OFFICE OF THE COUNTY RECORDER OF MARICOPA 
COUNTY, ARIZONA, RECORDED IN BOOK 3 OF MAPS, PAGE 11; 
 
EXCEPT THE SOUTH 10 FEET THEREOF. 
 
ALSO PURPORTED TO BE KNOWN AS: 
 
THE EAST 125 FEET OF LOT 6, BLOCK 11, CITY OF MESA, ACCORDING TO THE 
PLAT OF RECORD IN THE OFFICE OF THE COUNTY RECORDER OF MARICOPA 
COUNTY, ARIZONA, RECORDED IN BOOK 23 OF MAPS, PAGE 18; 
 
EXCEPT THE SOUTH 10 FEET THEREOF.