Raleigh City Council approves $52 million Dix land deal

Council of State unanimously passes Dorothea Dix land sale (Image 1)

The Raleigh City Council approved a $52 million purchase contract to acquire the 308-acre Dorothea Dix property from the State of North Carolina Friday morning.

The deal was approved unanimously by the city council.

“Certainly we’ve been working on this for two years, as most everybody knows. It’s really been a two-year process. So it’s a big deal,” said Raleigh Mayor Nancy McFarlane.

Under terms of the purchase contract:

  • The State will lease back from the City approximately 109 acres for its use. Part of the leased property could be used by the State for up to 10 years and other parts for up to 25 years. The State will be responsible for all maintenance and upkeep of the leased property.
  • If the City sells any of the acquired property or leases any of the parcels long term, the State will share equally in the net proceeds from the transaction. The sharing provision will be in place for no longer than 17 years.
  • The City and State will develop a joint-use agreement to share parking lots and other areas for special events and for periods when the State is not using the property it can lease.
  • The City and State will share equally, up to a maximum of $1.2 million, the cost of removing contaminated soil from a small area on the Dix site.

Gov. Pat McCrory told the Council of State April 6 the goal was to have the contract ready for approval by the council’s May 5 meeting. McCrory chairs the council. 

The sale of the land has received from backlash from Republican lawmakers who believe the $52 million price tag is too low.

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