Rail corridor valued at $75M ahead of BERT vote

Bonita Springs, Estero and Collier County are set to pay $60 million for 180 acres of unused rail corridor under the terms of a sale agreement with Seminole Gulf Railway. 

They are in the due diligence process for the landmark deal, which would allow the governments to convert the property into an 11.4-mile-long public trail and linear park. 

Two independent appraisals commissioned by The Trust for Public Land, a nonprofit that brokered the sale, found the property’s current market value is about $75 million. 

Bonita Springs City Council hired a third appraiser, Courtland Eyrick with CBRE Inc., to review the reports. He recommended that the governments move forward with the sale. 

“Based on what I assessed, based on the two appraisal reports that are under review, yes, I would say that you are paying a fair price,” Eyrick told Bonita Council during its Aug. 5 meeting. 

The deal is expected to close this fall after years of intermittent negotiations, unless any of the parties decide to exit the agreement. 

Each government is making separate plans to fund its portion of the corridor and begin building the Bonita Estero Rail Trail, or BERT. Supporters point to its potential economic, safety and health benefits. 

The project also hinges on what Bonita Springs voters decide during the Aug. 18 primary election. 

Bonita council members placed a $35 million bond measure on the ballot to pay for the city’s portion of the corridor. It would finance the city’s initial $28.6 million cost to buy a 5.8-mile section and begin the rail-to-trail conversion. The city needs majority voter approval to issue the bonds. 

Bonita plans to repay the debt over 30 years through ad valorem taxes. City staff estimated the bond would cost about $4.75 per month for the average resident. 

A financial adviser for the city provided a similar estimate, saying that $30 million to $45 million in bonds would cost between $49 and $88 per year for a homeowner with an average-valued home. 

If Bonita Springs remains on board, Estero is set to pay $19.8 million for its 4.1-mile portion and Collier County $11.6 million for 1.5 miles. 

Bonita Springs resident Dwight Esmon said he will vote for the bond measure, noting that the trail would connect residents to major job centers and public schools. 

According to The Trust for Public Land, about 70,000 residents are within a 10-minute walk or bike ride of the corridor. 

“When it comes right down to the final analysis, do we really want to save a little bit on a tax bill or do we want to encourage people to get healthy, to get to know their neighbors, interact in the community and perhaps reduce traffic on Old 41 (Road)?” he asked. 

Bonita resident and District 5 candidate James Anderst also plans to support the measure. 

“While the cost is substantial, this needs to be viewed as an investment in the city’s future,” he said, adding that other rail-to-trail projects have boosted area businesses and property values. “I really hope that come the election the city makes a decision to approve BERT and we can move forward with this.” 

The Trust for Public Land helped negotiate a similar railway corridor sale for Sarasota County’s Legacy Trail. The Trust’s Southeast Conservation Director Doug Hattaway said the trail attracts about 600,000 users each year. 

Bonita Councilor Laura Carr raised concerns about the cost of purchasing the land and building the trail, which has yet to be determined. The due diligence process includes additional reviews, such as environmental assessments, that could also affect the sale and the land’s value. 

The two appraisals commissioned by The Trust for Public Land differed by about $1 million. 

BBG Inc. valued the land at nearly $76 million, including $27.6 million in Estero, $35.5 million in Bonita Springs and $12.9 million in Collier County. 

Another firm, Hettema Saba LLC, valued the land at $74.9 million, including $27.4 million in Estero, $35.2 million in Bonita Springs and $12.3 million in Collier County. 

If approved, BERT would connect to a larger network of trails that advocates are working to link together, including Lee County’s SUN Trail Network, Collier County’s Paradise Coast Trail and the more than 400-mile Florida Gulf Coast Trail, which is about half complete. It runs from the Tampa-St. Petersburg area to Naples. 

Official ballot language 

Bonita Estero Rail Trail General Obligation Bonds 

To acquire land and build the proposed Bonita Estero Rail Trail (BERT), a linear park and recreational rail-to-trail project, shall Bonita Springs issue general obligation bonds not exceeding $35 million principal amount, maturing within 30 years of issuance, with interest not exceeding the maximum legal rate, and payable from ad valorem property taxes levied in amounts sufficient to pay debt service on such bonds? 

Instructions to voters: 

 YES — FOR BONDS 

 NO — AGAINST BONDS