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HomeMy WebLinkAboutResolution 00-EDA134 . . . RESOLUTION NO. 00-EDA-134 MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY COUNTY OF RAMSEY STATE OF MINNESOTA RESOLUTION APPROVING AND AUTHORIZING THE EXPENDITURE OF TAX INCREMENT FUNDS FOR THE ACQUISITION OF 7861 GROVELAND ROAD FOR THE PURPOSE OF FUTURE REDEVELOPMENT It is hereby resolved by the Board ofConul1issioners (the "Board") of the Mounds View Economic Development Authority (the "Authority") as follows: Section I. Recitals. 1.10 The Authority has the powcrs provided in Minnesota Statutes, Sections 469.124 to 469.134 and 469.090 to 469. 108 (collectively, the "Act"). 1.02 Pursuant to and in furtherance of the objectives of the Act, the Authority has undertaken a program to promote development and redevelopment of certain land within the City of Mounds View and in this connection is engaged in carrying out the Mounds View Economic Development Project (the "Project") within the City. 1.03 There has been approved pursuant to the Act a Project Plan for the Project. 1.04 The redevelopment of property within the Project is a stated objective of the Project Plan. 1.05 In order to achieve the objectives of the Project Plan, the Authority has determined to provide substantial aid and assistance through the financing of certain public costs of development. 1.06 lt has been proposed that the Authority acquire the property located in the City at 7861 Grovc1and Road (the "Property") and that the Authority approve the purchase agreement and/or similar agreement(s) (collectively, the "Agreement") attached as "Appendix A" for the acquisition of the Property for the purposes of redevelopment. Section 2. Resolved. 2.01 The Board hcrcby determines that the Authority's execution of the Agreement and the subsequent acquisition and redevelopment of the Property would be in furtherance of the Project Plan and hereby approves and authorizes said actions, including the cxecution of the Agrcement by the officers of the Authority in their discretion and at such time, if any, as they may deem appropriate. 2.02 Upon execution and delivery of the Agreement, thc officers and employees of N :\DATA \GROUPS\ECO~DEV\EDA \Rcsolutions\Res OO\ResOO-134.doc . RESOLUTION NO. OO-EDA-134 PAGE TWO OF TWO the Authority (including members of the City Staff, acting in their capacity as staff to the Authority as well) are hereby authorized and directed to take or cause to be taken such actions as may be appropriate or necessary on behalf of the Authority to implement the Agreement, including the acquisition of the Property, which is being accomplished for redevelopment purposes. 2.03 That the Board of the Authority hereby deternlines that the execution and perfonnance of the Agreement and acquisition of the Property will help realize the public purposes of the Act and are in furtherance of the Project Plan and authorizes the President and Executive Director to appropriate a maximum of $130,000 in tax increment funds to purchase and rehabilitate the property located at 7861 Groveland Road for redevelopment purposes. Adopted by the Board of Commissioners of the Mounds View Economic Development Authority this 25th day of September 2000. : /--... /- /~ / '\' ( /./' i ('\____ / ,A.....JJ-t'\ .,.<..( I H",~...e"11 "- ~ ' ,1 \ / --...... -...........-..~ I - ,.../, I , Dan Coughlm, Presldent ~ ,/ '---./ ---- . ATTEST: / (~ynL '--lrCJ0L- Kathl en Miller, Executive Director . N :\DATA \GROlJPS\ECO::\DEV\EDNRcsolutions\Res OO\RcsOO-134.doc . . . Allpendix A: Purchase A2reement . . . PURCHASE AGREEMENT 1. PARTIES. This Purchase Agreement is made this 18th day of September, 1999, by and between Richard and Cynthia Chamberlain, a married couplc, owner (the "Seller") and the MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY, a public body corporate and politic, 2401 Highway 10, Mounds View, MN 55112-1499 ("Buyer"). 2. SUBJECT PROPERTY. Seller is the owner of that certain real estate (the "Property") located at 7861 Grovcland Road, Mounds View, and legally describcd as follows: LOT 57 BLOCK 0, Auditor's Subdivision, Mounds View, Minnesota according to the plat filed for record with the Ramsey County Recorder 3. OFFER/ACCEPT ANCE. In consideration of the mutual agreements herein contained, Buyer offers and agrccs to purchase and Seller a6'Tces to sell and hereby grants to Buyer the exclusive right to purchase the Property and all improvements thereon, together with all appurtenances, including, but not limited to, garden bulbs, plants, shrubs, trees, and grass. 4. CONTINGENCY/ACCEPTANCE DEADLINE. This Purchasc Agreement shall be presented to the Board of the Buyer within 10 days of thc date it is submitted to Buyer, fully executed by Seller herein. If the Buyer does not approve this Purchase Agreement, all Earnest Money shall be refunded to the Buyer. 5. PERSONAL PROPERTY INCLUDED IN SALE. The following items of personal property and fixtures owned by Seller and currently located on the Prope11y are included in this sale: stonn windows and inserts, stornl doors, screens, awnings, window shades, blinds, curtain-traverse-drapery rods, attached lighting fixtures with bulbs, plumbing fixtures, sump pumps, water heaters, heating systems, built-in appliances, water softeners, garbage disposals, installed carpeting, work benches, television antennas, refrigerator, washer, dryer, diswasher, range/oven, and hood-fans. 6. PURCHASE PRICE AND TERMS. A. Purchase Price. The total Purchase Price for the real and personal property and fixtures included in this sale is one hundred twenty-five thousand and NollOOths Dollars ($125,000.00). B. Terms. (1) PAYMENT OF PURCHASE PRICE TO SELLER Buyer agrees to pay by check the amount of One Thousand Two Hundred Pifty and Noll OOths Dollars ($1250.00) as earnest money (thc "Earnest Moncy") to be deposited by Remax Results within ten (10) days . . . after the date of this Agreement and held and disbursed under the tenns of this Agreement on the Date of Closing. Buyer agrees to pay the Balance Due of One Hundred Twenty-three Thousand Seven Hundred Fifty and No/I00ths Dollars ($123,750) in cash or by check on the Date of Closing according to the terms of this Purchase Agreement. (2) DEED/MARKETABLE TITLE. Subject to perfornlance by Buyer, Seller agrees to execute and deliver a Warranty Deed conveying marketable title to the Property to Buyer, subject only to the following exceptions: a. Building and zonmg laws, ordinances, state and federal regulations. b. Rescrvation of minerals or mineral rights to the State of Milmesota. c. Utility and drainage easements. (3) DOCUMENTS TO BE DELIVERED AT CLOSING. In addition to the Warranty Deed required in paragraph 6.B.(3) above, Seller shall deliver to Buycr: a. Affidavit of Sellcr. b. Such other documents as may be required by Buyer's title examiner or title insurance company. c. Waiver of relocation benefits. 7. REAL EST ATE TAXES AND SPECIAl.. ASSESSMENTS; COSTS AND PRORATIONS. Seller and Buyer agrec to the following prorations and allocations of costs regarding this Purchase Agreement: A. Deed Tax. Seller shall pay all state deed tax regarding a Warranty Deed and any other documents necessary to place record title in the condition warranted and to be delivered by Seller under this Agreement. B. Taxes and Assessments. The real estate taxes due and payable in the year of closing will be homestead classification. Seller shall pay at or prior to closing all real estatc taxes due and payable in 1999 and prior years. The Seller and Buyer agrce to prorate as of the date of actual closing all real estate taxes due and payable in the year of closing. Seller agrees to pay at closing any and all rcal estate taxes prorated to Seller. Buyer shall pay the real estate taxes due and payable in the year . . . following the year of closing and thereafter. The Seller makes no warranties as to the real estate homestead tax classification status of property in the year following the year of closing. Seller shall pay at or prior to closing the balance of all special assessments due and payable and levied as of the date of closing. Seller shall also pay all special assessments pending as of the date of this Purchase Agreement, if any. If the amount of the special assessments is not finally deternlined by the Closing Date, Seller agrees to escrow an amolmt equal to one and one-halftimes the estimated amount, which shall be used to pay the special assessments when levied. Buyer shall assume special assessments that become pending after the date of this Purchase Agreement, except that Seller shall at all times be responsible to pay special assessments, if any, for delinquent sewer or water bills, removal of diseased trees, snow removal, or other current services provided to the Property by the assessing authority while the Seller is in possession of the Property. C. Recording Costs. Seller shall pay the costs of rccording all documents necessary to placc record title in the condition warranted, and the Buyer shall pay the cost ofrecording all other documents. 8. MARKETABILITY OF TITLE; COSTS TO CLEAR TITLE. Seller shall, within a reasonable time after signing this Agreement and at the expense of Seller, furnish an abstract of title or registered property abstract certified to date to include proper searches covering bankruptcies, all judgments, taxes, special assessments and liens. Buyer shall be allowed fOUlieen (14) days after receipt thereof for examination of said title and the making of any objections thereto, said objections to be made in writing or deemed to be waived. If any objections are so made, Seller shall be allowed sixty (60) days to make such title marketable. Seller shall permit no additional encllmbranees to be made upon the Property between the date of this Purchase Agreement and the Closing Date. If said title is not marketable and is not made so within sixty (60) days from the date of written objections thereto as above provided, this Agreement shall be null and void, at option of Buyer, and neither party shall be liable for damages hereunder to the other party. All money theretoforc paid by Buyer shall be refunded. Alternatively, if Buyer elects to proceed with this transaction, Seller shall bear any and all costs to clear title to the Property, including the cost of satisfying any mortgagcs or liens of record, if any. In the event Seller fails to clear title to the extent herein rcquired, Buyer may clear title to the extent required and charge the cost of clearing title to the Seller, including attorney's fees, court costs, condemnation awards, anlounts paid for releases, waivers or quit claims and all other costs actually incurred by Buyer, unless waived by Buyer. In the event that title to the Property camlot be made marketable by the Seller by the Closing Date, then, at the option of the Buyer, this Purchase Agreement shall be null and void and all money theretofore paid by Buyer shall be refunded to the Buyer. 9. DEFAULT. If the title to the Premises be found marketable or be so madc within . . . said time, and Buyer shall default in any of the covenants contained in this Agreement and continue into default for a period of ten (10) days, then and in that case, Seller may terminate this Agreement and on such termination all the payments made under this Agreement shall be retaincd by Seller as liquidated damages, time being of the essencc hereof. This provision shall not deprive either party of the right of enforcing the specific perfOlmance of this Agreement provided this Agreement shall not be terminated as aforesaid, and provided action to enforce such specific perfonnance shall be commenced within six months after such right of action shall mise. 10. CLOSING DATE. The closing of the sale of the Property shall take place on or before, October 31, 2000, or at such earlier or later date as may be mutually agreed upon by the Seller and Buyer. 11. POSSESSION. The Seller shall deliver possession of the Property to Buyer at 11 :59 a.m. on the date of closing, in substantially the same condition as the Property exists on the date of this Purchase Agreement, reasonable wear and tear excepted. 12. DAMAGES TO REAL PROPERTY. As Seller is presently in possession of the Property, if there is any loss or damage to the Property bctween the date hereof and the date of closing, for any reason including fire, vandalism, flood, earthquake or act of God, the risk of loss shall be on Seller. Seller walTants that Seller presently has the Property properly insured against any risk of loss. If the Property is destroycd or substantially damaged prior to closing, or if the Property is damaged materially but less than substantially prior to closing, Buyer may rescind this Purchase Agreement by notice to Seller within twenty-one (21) days after Seller notifies Buyer of such dan1age, during which 21-day period Buyer may inspect the real propeliy, and in the event of such rescission, the Earnest Money shall be refunded to Buyer. If such an event occurs, Buyer and Seller agree to sign a Cancellation of Purehase Agreement within a reasonable time after such event takes place. 13. CONDITION OF PROPERTY. Seller walTants that all appliances, fixtures, heating and air conditioning equipment, wiring, and plumbing uscd and located on the property are in working order on the date of closing. Seller HAS had a wet basement or water in the basement. Seller discloscs that the roof HAS leaked. Seller shall removc all debris and all personal property not included in this sale from the Propeliy beforc possession date. Seller has not received any notice from any governmental authority as to the existence of any dutch elm disease, oak wilt, or other disease of any trees on the Propeliy. Seller's warranties and reprcsentations contained in this paragraph 13 shall survive the closing of this transaction. Buyer shall have the right to have inspections of the Property conducted prior to Closing. Unless required by local ordinance or lending regulations, Seller does not plan to have the Property inspected. Other than the representations made in this Purchase Agrcement, the propelty is being sold "AS IS" with no cxpress or implied representations or warranties by Seller as to physical conditions, quality of constmction, workmanship, or fitness for any patticular purpose. (This paragraph is not intended to waive or modify any . . . provisions of Minn. Stat., Chapter 327 A.) 14. DISCLOSURE; INDIVIDUAL SEWAGE TREATMENT SYSTEM. Seller discloses that therc IS NOT an individual sewage treatment system on or serving the Property. If the Property has a septic system, Seller agrees to provide water quality test results and/or septic system certification as required state law or local ordinance. 15. CONDITION OF SUBSOIL AND GROUND WATER; ENVIRONMENTAL \V ARRANTY. To the best of the Seller's knowledge there arc no hazardous substances or underground storage tanks, except herein noted: Seller hereby warrants to Buyer that during the time the Seller has owned the Property there have been no acts or occurrences upon the Property that have caused or could cause impurities in the subsoil or ground water of the Property or other adjacent properties. This warranty shall survive the closing of this transaction. Seller agrees to indemnify and hold harnl1ess Buyer from any and all claims, causes of action, damages, losses, or costs (including reasonable attorney's fees) relating to impurities in the subsoil or groundwater of the Property or other adjacent properties which arise from or are caused by acts or occurrences upon the Property prior to Buyer taking possession of the same. This indemnity shall survive the closing of this transaction. Seller warrants that to the best of the Seller's knowledge no toxic or hazardous substances, including, without limitation, asbestos, urea fornlaldehyde, the group of organic compounds known as polychlorinated biphenyl, and any substance as defined or listed as "hazardous materials" or "toxic substances" or similarly identified in or pursuant to the Comprehensive Environmental Response, Compensation and Liability Act of 1980 ("CERCLA"), 42 US.c. Section 9601-9657, as now or later amended, "hazardous materials" identified in or pursuant to the Hazardous Materials Transportation Act, 49 U.S.c. Section 1802, et seq., as now or later amended, "Hazardous Wastes" identified in or pursuant to The Resource Conservation and Recovery Act of 1976 ("RCRA"), 42 US.c. Section 6901 et seq., as now or later amended, any chemical substances or mixture regulated under the Toxie Substances Control Act of 1976, 15 US.C. Section 2601, et seq., as now or later amended, any "toxic pollutant" under the Clear Water Act, 33 US.c. Section 1251 et seq., as now or later amended, any hazardous air pollutant under the Clean Air Act, 42 U.S.c. Section 7901 et seq., as now or later amended, and any hazardous or toxic substance or pollutant now or later regulated under any other applicable federal, state or local Environmental Laws, have been generated, treated, stored, releascd or disposed of, or otherwise deposited in or located on the Property, including without limitation, the surface and sub-surface waters of the Propcrty, nor has any activity been undertaken on the Property which would cause the Prope11y to become a hazardous waste treatment, storage or disposal facility within the meaning of, or otherwise, bring the Property within the ambit of, any of the aforementioned acts or any similar state law or local ordinance or any other Environmental Law. Seller also warrants that to the best of Seller's knowledge there are no . . . substances or conditions in or on the Property which may support a claim or cause of action under any of the aforementioned acts or any other federal, state or local environmental regulatory requirement and that no underground deposits which cause hazardous wastes or underground storage tanks of any type are locatcd on the Property. This warranty shall survive the closing of this transaction. 16. WELL DISCLOSURE. The Scller has certified in a "Wcll Disclosure Statement" that a well is prescnt on thc described real Property. The cost of sealing any wells contained within the "Well Disclosure Statement" required to be capped or sealed under Minnesota law will be bOl11C by the BUYER. 17. SELLER'S WARRANTIES. Seller warrants that buildings, if any, are entirely within the boundary lines of the property. Seller warrants that thcre is a light of access to the real property from a public right-of-way. Seller warrants that there has been no labor or matcrial furnishcd to the property for which payment has not been made. Seller warrants that there are no present violations of any restrictions relating to the use or improvement of the Property. The attached "Seller's Property Disclosure Statement" is true to the best ofthe Seller's knowledge. Thcse warranties shall survive the closing of this transaction. 18. BROKERS A. The Buyer represents and warrants that there is no broker involved in this transaction with whom they have negotiated with or to whom they have agreed to pay a broker commission. Buyer agrees to indenmify Scller for any and all claims for brokerage commissions or finders' fees in cOlmection with negotiations for purchase of the Property arising out of any alleged agreement or commitment or negotiation by Buyer, and Seller agrees to indenmify Buyer for any and all claims for brokerage commissions or finders' fees in connection with negotiations for purchase of the Propelty arising out of any alleged agreement or commitment or negotiation by Seller. B. The Seller represents and warrants that Steve Ennen of Remax Results is the Seller's Agent. 19. RELOCATION BENEFITS. Seller expressly agrces to waive any and all relocation benefits, assistance and services, related to the Seller's ownership and activities on the Propelty to which Sellcr may be entitled by law, as a result of the transaction contemplated by this Purchase Agreement. Seller agrees to provide to Buyer at Closing an executed waivcr of relocation bcnefits as to these activities. 20. MERGER OF REPRESENTATIONS, WARRANTIES. All representations, walTanties and agreemcnts contained in this Purchase Agrcement shall not be merged into any instruments or conveyance delivered at closing, and the parties shall be bound accordingly. 21. ENTIRE AGREEMENT; AMENDMENTS. This Purchase Agreement . . . constitutes the entire agreement between the parties, and no other agreement prior to this Purchase Agreement or contemporaneous herewith shall be effective except as expressly set forth or incorporated herein. Any purported amendment shall not be effective unless it shall be set forth in writing and executed by both parties or their respective successors or assigns. 22. BINDING EFFECT; ASSIGNMENT. This Purchase Agreement shall be binding upon and inure to the benefit of the parties and their respective heirs, executors, administrators, successors and assigns. Buyer shall not assign its rights and interest hereunder without notice to Seller, and Seller shall give notiee to Buyer of assignment of its interests in the manner prescribed in paragraph 23. 23. NOTICE. Any notice, demand, request or other communication which mayor shall be given or served by the parties shall be deemed to have been given or served on the date the same is deposited in the United States Mail, registered or certified, postage prepaid and addressed as follows: a. If to Seller: Steve Ennen Remax Results 2605 Campus Drive Plymouth, MN 55441 b. If to Buyer: Mounds View Economic Development Authority Attn: EDA Executive Director 2401 Highway 10 Mounds View, MN 55112 With copy to: Scott J. Riggs Kennedy & Graven, Chartered 470 Pillsbury Center 200 South Sixth Street Minneapolis, MN 55402 24. SPECIFIC PElU~ORMANCE. This Purchase Agreement may be specifieally enforced by the parties. 25. ADDITIONAL DOCUMENTS. Buyer and Seller agree to cooperate with the other and their representatives regarding any reasonable requests made subsequent to the execution of this Purchase Agreement to correct any clerical errors in this Purchase Agreement and to provide any and all additional documentation deemed necessary by either party to effectuate the transaction contemplated by this Purchase Agreement. 26. EXECUTION IN COUNTERPARTS. This Purchase Agreement may be executed in counterparts by the parties hereto. E1'3/19/2f::lElfl Sep 19 00 03:29p . .' . S~eve Ennen~Andrew Ennen 11:22 32E18392118 ~~'IJ'OD uo,~,,~ 'lfST.II.t 00'."1_ 11,1. r~ 11' T.. ~"J 952-942-6463 SHADY OAK CO,o.l'Jl. n.o.~..Tlo.'1 GIn 0' I" :0101.1". TfI'Ia La ~ UGA&.l.Y ~c.r C~C"t RTWUJll atIYIa ItIIP 'nLlta. . YOU .DIIDS ~ o. T~ ~\'1a. C~ULT JJI A'PllOrtU,A1'. JI'IlDJUIIOfllAL I'll wrr~w "'"~. u.t: p_ 1l.I.-. CIlK'" oJ,;, ......... .. ., ......... _WI. $f.U..8& ~ ~O IJ.-IJ dJ- 4.. ~ ~ ~ ~.. ;,.~_J,..,II~:.. 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