REAL ESTATE ACQUISITION PROCEDURE

 

     When real estate is to be purchased or otherwise acquired

by Auburn University, the following procedure will be followed

unless specifically authorized by the Board of Trustees:

 

     1.  In conveyance by bequest or gift, documents will

         be reviewed by General Counsel and the President

         and reported to the Property and Facilities Com-

         mittee.  The process set out in the Real Estate

         Records Procedure will then be followed.

 

     2.  Purchases of real property may be initiated by

         individual solicitation or by advertisement for

         proposals upon recommendation of appropriate

         administrators and approval of the President.

 

     3.  No property shall be purchased without obtaining

         one (1) appraisal by a qualified MAI Real Estate

         Appraiser for property whose estimated value is

         $1,000,000 or less.  For property whose estimated

         value exceeds $1,000,000, two (2) MAI appraisals

         shall be required.

 

     4.  The University will not pay for any purchased

         property a price that is greater than the

         appraised value without some compelling reason,

         such as uniqueness of the property, location of

         the same, and need for the same to carry out the

         mission of the University.

 

     5.  Every effort will be made to obtain a purchase

         option for a term of at least sixty days after the

         date of the meeting at which the transaction will

         be considered by the Board.

 

     6.  Purchases of real property will be submitted to

         the Board of Trustees for approval.

 

     7.  Upon approval of the Board, the Vice President for

         Business and Finance will submit the file to Gen-

         eral Counsel for preparation/review of appropriate

         documents.  Conveyances to Auburn University shall

         be by full warranty deed unless otherwise speci-

         fied in the approving Board resolution.  Title

         insurance or a title opinion of legal counsel will

         be secured unless otherwise specified in the

         approving Board resolution.

 

 

 

 

 

 

 

 

 

     8.  When title is approved and the purchase price is

         authorized and available, General Counsel will

         cause the transaction to be closed and will submit

         original conveyance and closing documents for

         recording and processing as set out in the Real

 

 

 

                                                ADOPTED:   3/26/90