Council approves sale of 28.86 acres near I-15 to Sunpro Corporation for $10,057,128

Springville City Council on an undisclosed date approved Resolution 2024-28 authorizing the sale of approximately 28.86 acres of city-owned land (the former "Santana" property near 1600 South) to Sunpro Corporation for $10,057,128.

John, a city staff presenter, told the council the site came into the city roughly around 02/2015 when the city agreed to hold land for MAG Corridor Preservation funds while UDOT planned an interchange. He summarized prior transactions (a Creer-family parcel purchased for about $3.2 million and a roughly 40-acre MAG-derived parcel purchased for about $5,950,000) and said the city’s overall purchase basis was roughly $9,150,000. John said UDOT purchased about 3.83 acres for $1,889,000 as part of the interchange work and that the city's current basis in the remaining property is approximately $7.26 million.

The city conducted an RFP process and evaluated multiple proposals, John said; the chosen proposal from Sunpro would purchase roughly 28.86 acres and use the site as a Core 3 facility selling bulk lumber, doors, millwork and garage doors, with corporate office space. John said the offer “meets, at least, appraised value if not exceeds it” and projected commercial activity that could support more than $50 million in annual sales at full operation, which would generate ongoing sales tax revenue for the city. He estimated development work to bring utilities and roads to city standards at about $740,000 and noted the purchase agreement includes a 120-day due diligence period.

John also told the council the property includes two billboard leases that the city inherited; the leases include a 30-day right of first refusal that must be honored as part of any sale timeline. He said the city and Sunpro would also need a development agreement to settle subdivision and landscaping standards.

After the public hearing was opened and no speakers came forward, an unnamed councilmember moved to approve Resolution 2024-28, noting the sale location as approximately 1750 West and 1600 South for the stated price. A second was recorded and the council conducted a roll-call vote. Councilmembers called in the following votes as recorded in the meeting audio: Craig — yes; Logan — yes; Mike — yes; Jake — yes. One councilmember asked whether to recuse and said, “I declare not to vote.” With that abstention/declination, the resolution passed.

The resolution’s approval allows staff to proceed under the terms described in the meeting presentation, including the 120-day due diligence timeline and development-agreement negotiations; if Sunpro fails to secure necessary conditions during due diligence the agreement provides for termination and the property would remain city-owned. The sale also carries the billboard leases and their 30-day rights of first refusal, which staff said will be honored as part of closing activities.

The council did not specify a closing date during the meeting. If the development agreement and due diligence are completed, the sale is expected to proceed under the terms and price approved in Resolution 2024-28.