I NEED HELP! I have an interesting land offer for my 2.68acres undeveloped land. Land background: The land is zoned CB/Mixed Use 50/50+1sqft commercial. It rests at a very busy 5way intersection with good frontage. Land has a right in, right out ingress/egress onto a major state route, and an alternate entrance through an adjacent parking lot (Les Schwab) Also flanked by Lowe's. It is in a very affluent area. There is the lowest category of wetland designation on the site resulting from Wetlands Resources and Department of Ecology to assess that of the 2.68 acres, 2.17 is buildable, but we have to wait for the Army Corp of Engineers to make that determination "official" and that could take until the end of 2024 or early 2025. Otherwise, as it is 1.10acres is buildable now as the current determination from many many years ago.
I owe 875K at a 10.99% interest HML. My taxes are over 10K

THEIR OFFER: A very seasoned developer wants to put self storage on it. It is not zoned for self storage thus he has to apply for a zone change and the city states he missed the deadline and they will take zone change applications in late 2024/2025. We are currently in a PSA for 1.9million, close date of April 24 2024. Given this information on due diligence they are in anticipatory breech of the contract and sent this offer. 700K cash to be paid by the end of this month, with a guaranteed "kick out" payment of $600K if and when they get all determinations changed on or before April 24, 2026 (essentially I am guaranteed a payout if he develops self storage).

What would you do? They would obviously own the land for 700K and could decide to not do self storage and that nullifies our guaranteed $600K and they could sell it for a profit. They will not accept any counter offers. I would be selling for less than I owe and still carry a mortgage without the asset.

Seattle, Washington

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NEED HELP WITH UNIQUE LAND OFFER

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