Auction for city site in downtown Raleigh draws $6M bid

The city of Raleigh is likely to sell a 1.2-acre property in the heart of downtown for nearly twice its assessed value.

The Raleigh City Council in August decided to auction off the property at 301 Hillsborough Street, which serves as a parking lot for Campbell University Law School. Under the auction process, interested parties can submit offers for the site in recurring 10-day bidding windows until the city fails to receive a new high bid.

The bidding started at $3.1 million, roughly the property's assessed value. With an offer of $6 million, Florida-based Stiles Corporation emerged from the round as the high bidder.

Stiles, which is headquartered in Fort Lauderdale and has an office in Charlotte, beat out three other companies: Austin-based Aspen Heights, The Lundy Group of Chapel Hill and Raleigh-based Kane Realty.

The next bidding window will open sometime next week, though it’s unclear which day, said James Sauls, Raleigh’s economic development manager. Bidders will need to submit offers that are 5 percent higher than $6 million, about $6.3 million, to trump Stiles and continue the auction.

Developers are interested in 301 Hillsborough because of its location: walking distance from the State Capitol, Glenwood Avenue and Fayetteville Street. Stiles has not disclosed what it would do with the property.

Some City Council members have said they want to require a buyer to build a grocery store on the property because downtown Raleigh lacks options for fresh food. But a council majority believes the market should dictate the fate of the property.

Campaign remarks irk opponents

A conversation about politicking between Knightdale mayor Russell Killen and council member Dustin Tripp that was caught on a live microphone prior to last week’s town council meeting has drawn complaints from other candidates.

In the video from the Oct. 5 meeting, Tripp can be heard saying he had scheduled a family vacation during the campaign season. Tripp is running for re-election, while Killen has decided not to seek another term.

Killen tells him not to worry about it. “It ain’t gonna matter that much. You’re good,” Killen tells Tripp, then offers advice about which neighborhoods Tripp should canvas with campaign signs. Tripp then complains that “the other three have teamed up. That should be super fun,” referring to candidates who are seeking one of two open town council seats and the mayor’s seat.

Tripp and Pete Mangum enjoy the support of the Knightdale political establishment, as does council member James Roberson, who is running for mayor.

The exchange drew a flurry of complaints after the video was posted to a community information page on Facebook.

Martha Thornton, one of the other town council candidates, said she was disappointed. “It’s very disturbing to hear officials speak like this in a premature and assuming manner,” she said.

Charles Bullock, who is opposing Roberson for mayor, said he thought the venue for the conversation was inappropriate.

“Discussing campaigns, placement of signs, using the town meeting for this is unacceptable,” he said. “Ingoing and outgoing members of the council (are) still trying to keep the pack together.”

Political events

▪ Wake County Republican Party Chairman John Bryant and 2nd Congressional District candidates Kay Daly, Jim Duncan and Frank Roche will speak to the Southern Wake Republican Club at 6:30 p.m. Monday at Garibaldi Trattoria Italian Restaurant, 900 N. Main St. in Fuquay-Varina. RSVP to swrc@centurylink.net.

▪ The League of Women Voters of Orange, Durham and Chatham Counties and the Durham Chapter of Alpha Kappa Alpha Sorority are holding a public forum with the Durham mayoral and city council candidates on Tuesday at 6 p.m. in the H.M. Michaux Jr. building at N.C. Central University, 700 Cecil St. in Durham.

▪ Mark Ezzell of the Wake County Board of Elections will speak to the Wake Senior Democrats on Wednesday at the Crabtree Marriott. Meeting starts at 11 a.m. with lunch followed by the program at 11:30 a.m.

Compiled by Paul A. Specht, Johnny Whitfield and Richard Stradling.

This story was originally published October 16, 2015 at 6:50 PM with the headline "Auction for city site in downtown Raleigh draws $6M bid."