PORT OF SEATTLE 
MEMORANDUM 

COMMISSION AGENDA              Item No.      6i
ACTION ITEM          Date of Meeting     5/4/2010
DATE:   April 9, 2010
TO:     Tay Yoshitani, Chief Executive Officer
FROM:   James R. Schone, Director, Aviation Business Development
W. Allan Royal, Manager, Port Real Estate Development
SUBJECT: Acquisition of two parcels of land that will complete the assemblage of property
for the proposed 28th Avenue Development Area.
Amount of This Request: $ 1,455,000   Source of Funds: Airport Development Fund 
ACTION REQUESTED: 
1.  Request authorization for the Chief Executive Officer to execute all necessary documents
to acquire by purchase two King County Parcels 042204-9218 & 042204-9139 (Property)
owned by Mrs. Mary A. Rickard and located at 19453 & 19521, 28th Ave. S., SeaTac,
WA 98188 for $1,375,000.00.
2.  Request authorization for the Chief Executive Officer to execute all necessary documents
to demolish the improvements on the Property and restore it in accordance with the
Interlocal Agreement with the City of SeaTac for $80,000.00. The total requested is
$1,455,000.00.
SYNOPSIS: 
The Property that is the subject of this memo (Exhibit A) is situated in the center of an area
identified by the Port of Seattle (Port) as the 28th Avenue Development Area. It has been owned
by the same party for 50 years and only recently placed on the market. This property is located
in the midst of existing Port property. This purchase completes an assemblage of parcels that
provides the Port a better opportunity for development. The 28th Avenue Development Area is
one of the sites the Port is proposing for the Federal Aviation Administration's (FAA) new
regional headquarters and is in the immediate vicinity of the proposed Sound Transit Link Light
Rail Station on 200th Street and 28th Avenue in the City of SeaTac.
BACKGROUND: 
The Port has acquired all the property west of 28th Avenue from 192nd Street to 200th Street
mostly in compliance with the Seattle-Tacoma International Airport (Airport) Part 150 Noise
Program. These two homes, on adjoining parcels and owned by the same person, were identified

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer
April 28, 2010
Page 2 of 4

for acquisition under the Part 150 Noise Program. However, the Property owner had the
Property rezoned to Airport Business Commercial by the City of SeaTac in the late 1980s which
is a compatible use under the FAA guidelines. Therefore, the Property was no longer eligible for
acquisition under the FAA guidelines.
This acquisition is on a voluntary basis and is not under threat of condemnation. Fair Market
Value was determined by negotiation, supported by a Member Appraisal Institute (MAI)
appraisal, and agreed to by both parties.
PROJECT JUSTIFICATION: 
Project Objectives:
Acquire Property to complete assemblage of site for the 28th Avenue Development Area.
PROJECT SCOPE OF WORK AND SCHEDULE: 
Scope of Work:
Acquire the Property from Mrs. Mary A. Rickard to achieve complete assemblage of the 28th 
Avenue Development Area.
Complete demolition and restoration of the Property in accordance with appropriate Central
Procurement Office procedures and in compliance with the Interlocal Agreement with the
City of SeaTac.
Schedule:
Complete the acquisition by July 2010.
Complete demolition by Fall 2010.
FINANCIAL IMPLICATIONS: 
Budget/Authorization Summary: 
Original Budget                                           $1,455,000
Previous Authorizations                                            $0
Current request for Authorization                                  $1,455,000
Total Authorizations, including this request                            $1,455,000

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer
April 28, 2010
Page 3 of 4

Project Cost Breakdown: 
Current Request
Purchase Price                                             $1,360,000
Demolition and Restoration                                      $80,000
Outside Professional Services                                      $15,000
Total                                                   $1,455,000
Budget Status and Source of Funds: 
This project is included in the 2010-2014 Capital Budget and Plan of Finance as a business plan
prospective project under 28th Avenue Property Acquisition (CIP #C800381). The funding
source for this project will be the Airport Development Fund.
Financial Analysis and Summary: 
CIP Category:             Revenue/Capacity Growth 
Project Type:              Business Expansion
Risk adjusted Discount Rate:    N/A
Key Risk Factors:           N/A
Project Cost (for analysis):      $1,455,000
Business Unit:             Non-aeronautical  Commercial Development
Effect on Business Performance:  Potential to increase non-aeronautical Net Operating Income.
IRR/NPV:            Depends on future development. Target market rate of return.
CPE Impact:             None
Lifecycle Cost and Savings:
N/A
ENVIRONMENT AND SUSTAINABILITY:
The Port's environmental consultant conducted a Phase 1 Environmental Site Assessment on the
parcels. The assessment did not reveal any recognized environmental condition as defined by
the American Society of Testing and Materials. The 28th Avenue Development Area is a portion
of the South Airport Development Area as identified in the Port's Comprehensive Development
Plan.

COMMISSION AGENDA 
T. Yoshitani, Chief Executive Officer
April 28, 2010
Page 4 of 4

STRATEGIC OBJECTIVES: 
This project supports the Port's strategy to Ensure Airport and Seaport Vitality by providing
an enhanced opportunity for future development and the potential for non-aeronautical revenue.
BUSINESS PLAN OBJECTIVES: 
This project supports the Aviation Division's Non-Aeronautical Business Plan Strategy. The
requested action supports the envisioned development of the 28th Avenue Development Area
which is expected to contribute to the Airport's non-aeronautical net income.
TRIPLE BOTTOM LINE SUMMARY: 
The assemblage of this site will provide a better opportunity for increased non-airline revenue
that will help ensure the vitality of Airport operations. The region will benefit from the creation
of jobs and added tax revenue from future environmentally compatible commercial or industrial
projects.
ALTERNATIVES CONSIDERED AND THEIR IMPLICATIONS: 
Take no action. This alternative would leave a hole in the middle of the Port property being
considered for development. This would make the 28th Avenue Development Area a less
efficient site for development and therefore less viable for developers. This is not a
recommended alternative.
Proceed with the Acquisition. This will allow the Port to complete the assemblage of the
property envisioned for future development. This is the recommended alternative. 
OTHER DOCUMENTS ASSOCIATED WITH THIS REQUEST: 
The following documents are available electronically:
Purchase and Sale Agreement
Phase 1 Environmental Report
MAI Appraisal Report
Commitment for Title Insurance
ATTACHMENT: 
Exhibit A  showing the Rickard property within the 28th Avenue Development Area.
PREVIOUS COMMISSION ACTION: 
None.