01-28-2004 Additions - Laserfiche WebLink

Home Browse Search

EXHIBIT B Buyer is purchasing property from Seller based on a Two hundred thousand and no 100 (200,000.00) purchase price. Buyer intends to remedy existing code violations present on the property as evidenced in Exhibit A to the Purchase Agreement between Seller and Buyer. Buyer shall also make other improvements to property it deems appropriate to make house saleable on the open market, the determination of which rests solely with Buyer. Buyer will oversee the improvements and finance same. Within thirty (30) days of completion of the improvements, Buyer shall commission an independent appraisal conducted by a certified real estate appraiser to determine the value of the property after said code corrections and improvements have been made. Based upon the value generated by said appraisal, Buyer shall remit within thirty (30) days of receipt of appraisal fifty percent (50 %) of the value over the initial purchase price after deducting the following: allowance for real estate commissions totaling seven percent (7 %) regardless of any actual fees paid by Buyer in the event Buyer arranges for the sale of the property directly without the use of a real estate agent, actual rent reimbursements paid to Seller as defined in Section 27, part A of the purchase agreement between Buyer and Seller, Twenty -five hundred dollars ($2,500.00) for Buyer's project oversight, any costs paid to third parties for work performed in making corrections and /or improvements to subject property based on documented invoices paid by Buyer for said work, the costs of any permits or fees Buyer is obligated to pay as the result of local building codes including those payable to the City of Little Canada, and the costs of any materials purchased by Buyer used to make corrections and /or improvements. In the event that after deducting the above referenced allowances from the appraised value, the remaining amount is less than Two hundred thousand and no 100 ($200,000.00), then no amount shall be due Seller. An example of this calculation is as follows: Note: This is an example only. Not a representation by Buyer as to expected value or costs to be incurred other than as specified in this Exhibit. New appraised Price $250,000.00 Less: 7% Real Estate Fees 17,500.00 Rent Paid 1,500.00 Management Fee 2,500.00 Contractor Costs 17,500.00 Permits 1,500.00 Material Costs 5,000.00 Subtotal 45,500.00 Net Increase 4.500.00 X 50% equals $2,250.00 Amount Due Seller _R_ -12