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011204 EDA ~ CITY OF NEW HOPE EDA MEETING City Hall, 4401 Xylon Avenue North January 12, 2004 President W. Peter Enck Commissioner Sharon Cassen Commissioner Don Collier Commissioner Mary Gwin-Lenth Commissioner Steve Sommer 1. Call to order 2. Roll call 3. Approval of regular and executive session meeting minutes of December 8, 2003 4. Resolution approving purchase agreement and relocation benefits - 5440 Winnetka Avenue North (improvement project no. 755) 5. Resolution approving purchase agreement and relocation benefits - 7605 Bass Lake Road (improvement project no. 758) 6. Adjournment EDA Minutes- Regular Meeting CALL TO ORDER ROLLCALL APPROVE MINUTES IMP. PROJECT 724 Item 4 EDA RESOLUTION 03-14 Item 4 New Hope EDA Page 1 CITY OF NEW HOPE 4401 XYLON AVENUE NORTH NEW HOPE, MINNESOTA 55428 December 8, 2003 City Hall President Enck called the meeting of the Economic Development Authority to order at 7:25 p.rn. Present: W. Peter Enck, President Don Collier, Commissioner Mary Gwin-Lenth, Commissioner Steve Sommer, Commissioner Absent: Sharon Cassen, Commissioner Motion was made by Commissioner Sommer, seconded by Commissioner Gwin- Lenth, to approve the Regular Meeting Minutes of November 24,2003. Voted in favor: Enck, Gwin-Lenth, Sommer; Absent: Cassen; Abstained: Collier. Motion carried. President Enck introduced for discussion Item 4, Resolution modifying the restated redevelopment plan and tax increment fmancing plans for redevelopment project no. 1 and tax increment fmancing districts nos. 80-2, 81-1, 82-1, 85-1, 85-2, 86-1 and 02-1; creating tax increment fmancing district no. 03-1 (special law) and adopting a tax increment fmancing plan relating thereto (improvement project no. 724). Mr. Kirk McDonald, Director of Community Development, explained that staff and the fmancial consultant are recommending that the EDA adopt this resolution. He reported that Jim Casserly of Krass Monroe is available if needed to answer questions. Mr. McDonald emphasized that adoption of the resolution should not be construed as adoption of a development plan as it creates the East Winnetka Tax Increment Financing District only. He noted a fmal development agreement and plan is anticipated to be presented to the EDA on January 12,2004. Mr. Jim Casserly, redevelopment fmancial consultant with Krass Monroe, was recognized. He stated the action is a culmination of a great deal of work over several years. He stated notices have been sent to all taxing jurisdictions and the TIF plan has been well reviewed. President Enck opened the floor for comments. No one from the audience addressed the EDA on the matter. Commissioner Gwin-Lenth introduced the following resolution and moved its adoption "RESOLUTION MODIFYING THE RESTATED REDEVELOPMENT PLAN AND TAX INCREMENT FINANCING PLANS FOR REDEVELOPMENT PROJECT NO.1 AND TAX INCREMENT FINANCING DISTRICTS NOS. 80-2, 81-1, 82-1, 85-1, 85-2, 86-1 AND 02-1; CREATING TAX INCREMENT FINANCING DISTRICT NO. 03-1 (SPECIAL LAW) AND ADOPTING A TAX INCREMENT FINANCING December 8, 2003 IMP. PROJECT 707 Item 5 EDA RESOLUTION 03-15 Item 5 IMP. PROJECT 665 Item 6 New Hope EDA Page 2 PLAN RELATING THERETO (IMPROVEMENT PROJECT NO. 724)". The motion for the adoption of the foregoing resolution was seconded by Commissioner Sommer, and upon vote being taken thereon, the following voted in favor thereof: Enck, Collier, Gwin-Lenth, Sommer; and the following voted against the same: None; Abstained: None; Absent: Cassen; whereupon the resolution was declared dulv passed and adopted. signed by the president which was attested to by the executive director. President Enck introduced for discussion Item 5, Resolution approving the metropolitan council's memorandum of understanding to establish and administer a waiting list and grievance procedure for MHOP units in the Bass Lake Apartments project (7610 Bass Lake Road) (improvement project no. 707). Mr. Kirk McDonald, Director of Community Development, indicated the agreement is part of the redevelopment package. The resolution approves the Met Council Memorandum of Understanding required to establish and administer a waiting list and grievance procedure for the Minneapolis Housing Opportunity Program (MHOP) units within the recently renovated Bass Lake Apartments project located at 7610 Bass Lake Road owned by Project for Pride in Living (PPL). There are four MHOP units in the building. Significant funding was allocated to the project from the Minneapolis Public Housing Authority (MPHA) in exchange for the creation of these units. The Met Council has agreed to assume the responsibility and cost of administering the waiting list and grievance procedure process for these units at no cost to the City. Per the City Attorney, "The only obligation the EDA will have in connection with this matter is an agreement to share costs with the Metropolitan Council in the event a claim is made against the Metropolitan Council related to its administration of the waiting list or grievance procedure for one (1) New Hope incentive unit" No claims have been initiated in connection with a similar agreement in place since 1998 for the PPL owned Bass Lake Court Townhome project located at 7300-7394 Bass Lake Road. Commissioner Sommer expressed concern with potential liability. Mr. Steve Sondrall, City Attorney, explained how the program originated and pointed out that the city can terminate the agreement with 90 days' notice. Commissioner Collier introduced the following resolution and moved its adoption "RESOLUTION APPROVING THE METROPOLITAN COUNCIL'S MEMORANDUM OF UNDERSTANDING TO ESTABLISH AND ADMINISTER A WAITING LIST AND GRIEVANCE PROCEDURE FOR MHOP UNITS IN THE BASS LAKE APARTMENTS PROJECT (7610 BASS LAKE ROAD) (IMPROVEMENT PROJECT NO. 707)." The motion for the adoption of the foregoing resolution was seconded by Commissioner Gwin-Lenth, and upon vote being taken thereon, the following voted in favor thereof: Enck, Collier, Gwin-Lenth, Sommer; and the following voted against the same: None; Abstained: None; Absent: Cassen; whereupon the resolution was declared dulv passed and adopted. signed by the president which was attested to by the executive director. President Enck introduced for discussion Item 6, Resolution authorizing and calling for a closed meeting of the New Hope Economic Development Authority. Mr. Steve Sondrall, City Attorney, stated adoption of the resolution will permit the EDA to hold a closed meeting upon adjournrnent of the regular meeting to discuss potential appeal of the commissioner's award in the Ahrens Trucking condenmation December 8, 2003 EDA RESOLUTION 03-16 Item 6 ADJOURNMENT New Hope EDA Page 3 matter. Commissioner Collier noted he owns Navarre stock, and, therefore will abstain from the vote and from participation in the closed meeting. Commissioner Sommer introduced the following resolution and moved its adoption "RESOLUTION AUTHORIZING AND CALLING FOR A CLOSED MEETING OF THE NEW HOPE ECONOMIC DEVELOPMENT AUTHORITY." The motion for the adoption of the foregoing resolution was seconded by Commissioner Gwin-Lenth, and upon vote being taken thereon, the following voted in favor thereof: Enck, Gwin-Lenth, Sommer; and the following voted against the same: None; Abstained: Collier; Absent: Cassen; whereupon the resolution was declared duly passed and adopted. signed by the president which was attested to by the executive director. Motion was made by Commissioner Collier, seconded by Commissioner Sommer, to adjourn the meeting. All present voted in favor. Motion carried. The New Hope EDA adjourned at 7:40 p.m. ~.es. ectfully submitted, / íi£UúJ2 d»r4. ' Valerie Leone City Clerk December 8, 2003 EDA Minutes Executive Session CALL TO ORDER ROLL CALL LITIGATION MOTION ADJOURNMENT CITY OF NEW HOPE 4401 XYLON AVENUE NORTH HENNEPIN COUNTY, MINNESOTA 55428 December 8, 2003 City Hall The New Hope Economic Development Authority met in executive session pursuant to due call and notice thereof; President W. Peter Enck called the executive session meeting to order at 9:30 p.m. Present: Absent: Staff Present: Enck, Gwin-Lenth, Sommer Cassen, Collier Donahue, Beck, Debner, Leone, McDonald, Sondrall President Enck explained that the purpose of the closed meeting is to discuss appeal of the commissioner's award of the Ahrens Trucking condenmation matter. Motion was made by Commissioner Sommer, seconded by Commissioner Gwin- Lenth, authorizing the City Attorney to appeal the commissioner's award. All present voted in favor. Motion carried. Motion was made by Commissioner Gwin-Lenth, seconded by Commissioner Sommer, to adjourn the meeting. All present voted in favor. Motion carried. The New Hope EDA adjourned its executive session at 9:38 p.rn. Respectfully submitted, ~~LL Valerie Leone City Clerk EDA ~ REQUEST FOR ACTION Originating Department Approved for Agenda Agenda Section Community Development 1-12-04 EDA Item No. By: Kirk McDonald, Director of CD & Ken Doresk , CD Specialist \ I. )\'V B l)í) 4 RESOLUTION APPROVING PURCHASE AGREEMENT AND RELOCATION BENEFITS 5440 WINNETKA AVENUE NORTH (IMPROVEMENT PROJECT FILE 755) REQUESTED ACTION Staff recommends EDA approval of a resolution prepared by the city attorney approving the purchase of property located at 5440 Winnetka Avenue North for it's appraised value of $220,000 and relocation estimate of $56,250. The purchase agreement is expected to be executed by the property owner by the time of tonight's meeting. Krass Monroe, the city financial/redevelopment consultant recommends that the EDA now consider acquisitions of this type, instead of the City Council. As directed by the Council at the November 3, 2003, Work Session, staff will coordinate with Evergreen Land Services, the city's relocation consultant for payment of relocation benefits to all remaining sellers in the East Winnetka Livable Communities Area. The city's purchase offer will now consist of the appraised value and a relocation payment determined by the city's relocation consultant The relocation estimate of $56,250 for this property is attached as Exhibit B to the purchase agreement, but will be adjusted when the property owner moves and completes the purchase of another property (actual closing costs will be used proportionate to the purchase price of the subject property). Evergreen Land Services stated that the relocation cost for this home is unusually high due to the subject in relation to comparable properties. POLICY/PAST PRACTICE City goal #2 is to pursue the maintenance and redevelopment of commercial and residential properties within the city. The City Council has been addressing the residential portion of this goal through the city's many housing activities, including acquiring property in areas designated for redevelopment in the Comprehensive Plan. BACKGROUND On October 13, 2003, the Council authorized staff to negotiate the purchase of the subject property. The owner stated that they were completing a separate appraisal and would contact us in the future to schedule a meeting. On December 12, staff, the City Attorney and Evergreen Land Services met with the owners to discuss negotiation. On Se tember 22, the Council authorized staff to obtain an a raisal of the sub'ect MOTION BY TO: SECOND BY 1:\RFA\PLANNING\Housin \5440\0 - 5440 Purchase A reementdoc Request for Action Page 2 1-12-04 correspondence dated September 10, 2003 from the property owner requesting that the city consider purchasing the subject property. The property is located within the Livable Communities East Winnetka Study Area and in Planning District 6. Staff recommends approval of-the attached resolution. FUNDING The subject property is located in an area where TIF funds can be expended. TIF funds would be used for property acquisition, relocation and associated holding costs. During the 2003 State Legislative Special Session, the city's TIF special legislation was passed. In December 2003, the district was approved by the City Council. ATTACHMENTS . Resolution . City Attorney Correspondence, 1-5-04 . Purchase Agreement Provided in October 23, 2003 Council Packet: . Appraisal . Property Owner Correspondence, 9-10-03 . Location Map . Topographic Map . Section Map . Planning District 6 - City Ownership Map . Property Owner Correspondence, 9-10-03 . Hennepin County Parcel Data . Comprehensive Plan References - Planning District 6 EDA RESOLUTION RESOLUTION NO. 04 - - RESOLUTION APPROVING PURCHASE AGREEMENT AND RELOCATION BENEFITS 5440 Winnetka Avenue North BE IT RESOLVED, by the Board of the Economic Development Authority in and for the City of New Hope as follows: WHEREAS, the New Hope City staff has been in contact with Martha C. Arens, trustee of the Arens Family Trust ("Owners"), owners of certain real estate known as 5440 Winnetka A venue North (the "Property"); and WHEREAS, appraisers hired by the New Hope EDA valued the Property at $220,000.00 as of September 30, 2003; and WHEREAS, Owners are willing to sell the Property to the EDA for the sum of $220,000.00 as set forth in the Purchase Agreement attached hereto as Exhibit A and incorporated herein by reference; and WHEREAS, the EDA herby approves the agreement with the understanding relocation assistance benefits will be paid to Owners as required by both State and Federal law; and WHEREAS, the City Staff has employed the service of Evergreen Land Services Company to provide the required relocation assistance; and WHEREAS, Evergreen has prepared a relocation analysis for the Owners herein and have determined the estimated relocation benefit payable to Owners is $56,250.00 (analysis attached as Exhibit B). The final actual costs for the relocation benefits Owners are entitled to will be determined when Owners actual closing costs and moving expenses are determined by Evergreen Land Services Company; and WHEREAS, it is in the best interest of the EDA to purchase the Property from the Arens Family Trust for the sum of $220,000.00, with other terms and conditions as set forth in the Purchase Agreement and to pay the required relocation benefits. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of New Hope as follows: 1. The above recitals are incorporated herein by reference. 2. The purchase of the Property by the City from the Arens Family Trust for the sum of $220,000.00, with other terms and conditions as set forth in the Purchase Agreement attached hereto as Exhibit A, is approved. 3. The relocation benefit estimated to be $56,250.00 is hereby approved with the final amount to be determined by Evergreen Land Services Company after actual moving costs and closing costs are determined by Evergreen. 4. The President, Executive Director and New Hope City staff are authorized and directed to sign all appropriate documents, and to take whatever additional actions are necessary or desirable, to complete the purchase of the Property in accordance with s~~d Purchase Agreement. Dated the 12th day of January, 2004. W. Peter Enck, President Attest: Daniel 1. Donahue, Executive Director P:\Anomey\Cnh Resolutions\2003\CNH99.11292-OOI-5440 Winnetka Reso Approv PA.doc DOUGLAS J. DEHNER' GORDON L. JENSEN' GLEN A. NORTON S'ffiVEN A. SONDRAIL STACY A. WOODS OF COUNSEL LoRENSQ.BRY~AD 'Real Propt:ny Law Specialisl CenifJeù By The MuIlJe",!a Stale Bar ASSOClallOIl 'AJl1IIlIeJ in Iowa JENSEN & SONDRALL, P.A. Attorneys At Law 8525 EDINBROOK CROSSING. SIT. 201 BROOKLYN PARK. MINNESOTA 55~3-1968 TELEPHONE (763) 424-8811 . TELEI'AX (763) 493-5193 e-mail law@jensen-sondraIl.com January 5, 2004 Ken Doresky Community Development Specialist City of New Hope 4401 Xylon Avenue North New Hope, MN 55428 Re: Acquisition of 5440 Winnetka A venue North Our File No.: 99.11292 Dear Ken: Please find enclosed for consideration at the January 12, 2004 council meeting, a proposed Resolution Approving Purchase Agreement and Relocation Benefits for the acquisition of property at 5440 Winnetka A venue North. As you know, this property is owned by Martha C. Arens as trustee for the Arens Family Trust. Also enclosed are three copies of the MinnesOta Standard Residential Purchase Agreement with Addenda which should be signed by Martha C. Arens prior to the January 12th meeting. In connection with the Purchase Agreement, the Seller needs to sign the Purchase Agreement at the designated locations. Also, on the Lead-Based Paint Addendum, the Seller needs to initial both lines indicating she is not aware of any lead-based paint and/or lead-based paint hazards in the house, or that she has received reports or records pertaining to lead-based paints in the house. Regarding the Private Sewer System Disclosure Addendum, the Seller is also indicating that she is not aware of any private sewer system located on the property. This is indicated by a check marked in Line 30 of said Addendum. Please have her sign and initial all three copies of the Purchase Agreement and Addenda. After said documents are signed by the City, I would like a fully signed copy of the Agreement for my file. January 5, 2004 Page 2 Please contact me if you have any questions or additions to the Resolution or Purchase Agreement relating to this matter. Very truly yours, ~ Steven A. Sondrall, City Attorney, City of New Hope JENSEN & SONDRALL, P.A. sas@jensen-sondrall,com After Hours Extension #147 cc: Valerie Leone (w/encls.) P:\Atlomey\SAS\LeuersICNH99. I I 292-00 I-Ken Ltr.doc EXHIBIT "A" MilierlDavis Co" st. Paul, MN-Form 1300. (1994; Rev, 1996; Rev, 1997; Rev. 2002) M,S,B,A, Real Property Form No.1 Minnesota Standard Residential Purchase Agreement PURCHASE AGREEMENT / PAGE 1 MINNESOTA STANDARD RESIDENTIAL PURCHASE AGREEMENT e Copyright 1996, 1997,2002 by Minnesota State Bar Association, Minneapolis, Minnesota BEFORE YOU USE OR SIGN THIS CONTRACT, YOU SHOULD CONSULT WITH A LAWYER TO DETERMINE THAT THIS CONTRACT ADEOUA TEL Y PROTECTS YOUR LEGAL RIGHTS. Minnesota State Bar Association disclaims any liability arising out of the use of this form, 1 1. PARTIES. This Purchase Agreement is made on , by and between 2 Martha C. Aren, Tmstee The Arens Family Tmsl \fInBrIlallJSùlllS}<xxxxvxxnnnnnyx)i, 3 of {seller's address! 5440 Winnetka Avenue North New Hope Minnesota 55428 , SELLER, and 4 the City o(New Hope a Minnesota municipal cOl:poration ,lCfo(iXJe(lflts {strike 'joint tenants' if tenancy-in-common 5 is intended] of (buyer's addressJ ~ Avenue North New Hope Minnesota 55428 BUYER 6 7 2. OFFER/ACCEPTANCE. Buyer offers to purchase and Seller agrees to sell real property legally described as; 6 Norlh 70 frrl of Soulh 520 frr! of I ot 38 Auditor', Suhdivi,ioo Numhrr 226 Hronrpin ColinI)' !\Iinnroota 9 10 11 [Property Tax Identification Number or Tax Parcel Number 12 13 located at County at 05-118-21.H-0015 5440 Winnetka Avenue North , City of Hennepin , State of Minnesota, Zip Code 55428 New Hope 14 15 16 17 16 19 20 4. PERSONAL PROPERTY AND FIXTURES INCLUDED IN SALE. The following Items of personal property and fixtures owned by Seller 21 and currentiy located on the real property are included In this sale {Strike out items not includedJ: garden bulbs, plants, shrubs, trees, storm 22 windows and Inserts, storm doors, saeens, awnings, window shades, blinds, curtain-traverse-drapery rods, attached lighting fixtures with 23 bulbs, plumbing fixtures, sump pumps, water heaters, heating systems, heating stoves, fireplace inserts, fireplace doors and screens, buill.in 24 humidifiers, built.;n air conditioning units, built.;n electronic air fillers, automatic garage door openers with controls, television antennas. 25 water softeners, built-in dishwashers, garbage disposals, built.;n trash compactors, buill-in ovens and cooking stoves, hood-fans, Intercoms, 26 installed carpeting, work benches, security systems, and also the following property; 27 26 29 Upon delivery of the Deed, Seller shall also deliver a Warranty Bill of Sale for the above personal property, [Check the box if the following 30 provision applies to this Purchase Agreement:! 0 Seller shall use M,S,B,A. Real Property Form No, 90 (1997). Warranty Bill of Sale. 31 32 5. PRICE AND TERMS. The price for the real and personal property included in this sale Is Two Hundred Twenty Thousand and 00/100 33 34 Dollars ($220 000 00 35 36 37 38 39 40 41 42 43 receipt of which is hereby acknowledged and $ 44 the balance of $ 000 45 46 47 4B 49 50 51 52 53 54 55 56 57 58 69 60 61 62 63 64 65 66 67 66 69 70 71 72 73 74 75 76 77 76 79 80 81 3. ACCEPTANCE DEADLINE. The acceptance date of this Purchase Agreement is the date it is delivered by the last party signing to the other party, This offer to purchase, unless accepted sooner. shall be void at 11 ;59 A.M., on (dateJ 2004 and in such event all earnest money shall be refunded to Buyer. ). which Buyer shall pay as follows; Eamest money of $ {select one:! ~ Seller, to be deposited and held by Seller (and may be commingled with Selle(s other funds) pending closing, Seller's lawyer, to be deposited and held in the lawye(s trust account pending closing, Selle(s broker. to be deposited or held by broker according to the requirements of Minnesota Statutes, Other (describe how the earnest money will be he/dJ 000 by EX- EJCIDI<, Dxe - state which] payable to 220 000 00 cash. on by financing as shown on the attached Financing Addendum. . the DATE OF CLOSING, and 6. DEED/MARKETABLE TITLE. Upon performance by Buyer, Seller shall execute and deliver a In by spouse, if any, conveying marketable tille of record, subject to: A, Building and zoning laws, ordinances, state and federal regulations: B, Restrictions relating to use or improvement of the real property without effective forfeiture provisions; C, Reservation of any mineral rights by the State of Minnesota; D. Utility and drainage easements which do not interfere with existing Improvements; E, Exceptions 10 title which constitute encumbrances, restrictions, or easements which have been disclosed to Buyer and accepted by Buyer In this Purchase Agreement {must be specified in writing}: 7. REAL ESTATE TAXES AND SPECIAL ASSESSMENTS, Real estate taxes due and payable in and for the year of closing shall be pro- rated between Seiler and Buyer on a calendar year basis to the actual Date of Closing, unless otherwise provided In this Purchase Agreement. If tax statements for such taxes are not available on the Date of Closing, the amount to be prorated shall be - % of the prior year's taxes, and such estimated proration shall be {strike one! FULL AND FINAL BETWEEN SELLER AND BUYER I XUJI[-~JUI' TJI[~]lZ«IIE8EJ(~ (in which case the party entitied to a credit as a result of the adjustment shall receive the amount of such credit from the other party within 30 days of issuance of the tax statements), Seller represents the taxes due and payable In the year(s) 2004 will be FUll. MlXT, ø -homestead classification, unless Buyer changes the tax claasification for taxes payable In the year following dosing by taking possession of the real property as Buye(s homestead and filing a new homestead declaration within the time required by law, If the taxes due and payable in the yeat of closing are PART or NON-homestead classification, Seller shall pay to Buyer at closing $ , In addition to Selle(s prorated share of the taxes, tf the taxes due and payable In the year following closing are PART or NON-homestead clessification and the closing takes place after the date by which Buyer must take possession of the real property as Buyer's homestead to file for homestead tax status for taxes due and peyable in such year, Seller shall pay to Buyer at closing $ as Selle(s share of such taxes, Wamlnty Deed, joined (Strike one:J ~~)6Kiß(~~~ I SELLER SHALL PAY ON DATE OF CLOSING all Installments of special assessments certified for payment with the real estate taxes due and payable in the year of closing, (StrIke one:J IIßG;X~ I SELLER SHALL PAY ON DATE OF CLOSING all other special assessments levied as of the date of this Purchase Agreement. (Strike one:} ~)@(~ I SELLER SHALL PROVIDE FOR PAYMENT OF special assessments pending as of the date of this Purchase Agreement for improvements that have been ordered by the City Councilor other governmental assessing authorities. (Seller's provision for payment shall be by payment into escrow of 1-112 times the estimated amount of the assessments,) As of the date of this Purchase Agreement, Seller represents that Seller has not received a Notice of Hearing of a new public improvement project from any governmental assessing authority, the costs of which project may be assessed against the real property. If a special assessment becomes pending after the date of this Purchase Agreement and befora the Date of Closing, Buyer may, at Buyer's option: A. Assume payment of the pending special assessment without adjustment to the purchase price of the real property; or. B, Require SeHer to pay the pending special assessment (or esaow for payment of same as provided above) and Buyer shall pay a commen- surate Inaease In the purchase price of the real property, which Increase shall be the same as the estimated amount of the assessment; C. or Declare this Purchase Agreement void by notice 10 Seller, and earnest money shall be refunded to Buyer, MilierlDavis Co" SI. Paul, MN-Form 1300 (1994; Rev, 1996; Rev. 1997; Rev, 2002) M.S.B,A, Real Property Form No, 1 Minnesota Standard Residential Purchase Agreement PURCHASE AGREEMENT I PAGE 2 82 [Strike one:J MK_X«DC.M~ I SELLER SHALL PAY ON DATE OF CLOSING any deferred real estate taxes (induding "Green - 83 Acres' taxes under Minn. Stat. 273.111) or special assessments payment of which is required as a result of the dosing of this sale, 84 Buyer shall pay real estate taxes due and payable in the year following dosing and thereafter and any unpaid special assessments payable 85 therewith and thereafter, the payment of which is not otherwise provided herein. Seller makes no representation concemlng the amount of future 86 real estate taxes or of future special assessments. 87 88 89 90 91 92 93 94 95 96 97 98 10, CONDITION OF PROPERTY, 99 100 101 102 103 104 105 106 107 108 109 110 111 112 113 114 115 116 117 118 119 120 121 122 123 124 125 126 127 128 129 130 131 132 133 134 135 136 137 138 139 140 141 142 143 144 145 146 147 148 149 150 151 152 153 154 155 158 157 158 159 ~ (3) Waiver of Disclosure, 160 161 162 163 164 165 166 167 168 169 170 171 172 173 8, DAMAGES TO REAL PROPERTY. If the real property is substantially damaged prior to closing, this Purchase Agreement shall terminate and the earnest money shall be refunded to Buyer, If the real property is damaged materially but less than substantially prior to closing, Buyer may rescind this Purchase Agreement by notice to Seller within 21 days after Seller notifies Buyer 01 such damage. during which 21:.iay period Buyer may inspect the real property, and in the event of such rescission, the earnest money shall be refunded to Buyer. 9. SELLER'S BOUNDARY LINE, ACCESS, RESTRICTIONS AND LIEN WARRANTIES. Seller warrants lllat buildings, if any, ani entifely within the boundary lines of the real property. Seller warrants lllat there is a right of acx:ess to the real property 110m a public right of way. Seller warrants that there has been no lebor or material furnished to the real property for which payment has not been made. Seller warrants lllat there are no present violations of any restrictions relating to the use or Improvement of the real property. These warranlJes shellourvive the delivery of the Deed or Contract for Deed. A. Seller warrants that all appliances, fixtures, heating and air conditioning equipment, fireplaces (including mechanisms, dampers, flues, and doors), wiring, and plumbing used and located on the real property will be in wor1<lng order on the Date of Closing. Seller shall remove all debris, and all personal property not Induded In this sale from the real property before possession date, Seller has no knowledge of any Dutch elm disease, oak wilt, or other disease of any trees on the real property. B. Seller knows of no hazardous substances or petroleum products having been placed, stored, or released from or on the real property by any person in violation of any law, nor of any underground storage tanks having been located on the real property at any time, except as follows:- C. Seller's warranties and representations contained In this paragraph 10 shall survive the delivery of the Deed or Contract for Deed, Any action based upon these warranties and representations must be commenced within two years after the date on which the buyer closed on the purchase of the real property. D. 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. E. Statutory Disclosure. Pursuant to Minnesota Statutes sections 513.52 - 513,60 (effective January 1. 2003), Seller must provide a written disdosure (see (1) below], or Buyer must have received an Inspection report [see (2) below], or Buyer and Seller may waive the WI1tten disclosure requirements [see (3) below], MIOnesota Statutes Secllon 513.57, Subd. 2. LlABILlTY.A sener who fails to make a disclosure as required by sections 513.52 to 5\3.60 and was aware of the condition of the real propeny is liable to the prospective buyer. A person injured by a violation of this section may bring a civil action and recover damages and receive other equitable relief as determined by the court. An action under this subdivision must be commenced within two years after the date on which the prospective buyer closed the purchase or transfer of the real propeny. Õe/ecf only one of these three:] (1) Seller's Disclosure, Seller has provided a WI1tten disclosure to Buyer, A copy of Seller's disclosure is attached. Seller shall correct in writing any inaccuracies in the disdosure as soon as reasonably possible before dosing. Minnesota Statutes Section 513,55. GENERAL DISCLOSURE REQUIREMENTS. Subdivision 1. CONTENTS. (a) Before signing an agreement to sell or transfer residential real property. the seller shall make a written disclosure to the prospective buyer. The disclosure must include all material facts pertaining to adverse physical conditions in the propeny of which the seller is aware that could adversely and significantly affect: (I) an ordinary buyer's use and enjoyment of the property; or. (2) any intended use of the propeny of which the seller is aware. (b) The disclosure must be made in good faith and based upon the best of the seller's knowledge at the time of the disclosure. Minnesota Statutes Section 5\3.58. AMENDMENT TO DISCLOSURE, Subdivision \, NOTICE. A seller must notify the prospective buyer in writing as soon as reesonably possible. but in any event before closing, if the seller learns that the seller's disclosure required by section 5\3,55 was inaccurate, Subdivision 2, FAILURE TO NOTIFY; UABILITY.A seller who fails to notify the prospective buyer of any amendments to the initial disclosure required under subdivision 1 is liable to the prospective buyer as provided in section 513,57. 0 (2) Inspection Report. Buyer has received an Inspection report by a qualified third-party, If a copy of the Inspection report Is provided to Seller, Seller shall disdose to Buyer material facts known to Seller that contradict any information In the Inspection report. Minnesota Statutes Section 513.56 Subd. 3. INSPECTIONS. (a) Except as provided in paragraph (b). a seller is not required to disclose infonnation relating to the physical condition of the real property if a written report that discloses the infonnation has been prepared by a qualified third party and provided to the prospective buyer, For purposes of this paragraph. "qualified third party" means a federal, state, or local governmental agency, or any penon whom the seller, or prospective buyer, reasonably believes has the eJtpertise necessary to meet the industry standards of practice for the type of inspection or investigation that has been conducted by the third party in order to prepare the written report, (b) A seller shall disclose to the prospective buyer material facts known by the seller that contradict any infonnation included in a written report under paragraph (a) if a copy of the report is provided to the seller. Minnesota Statutes Section 513.60. WANER. 1be written disclosure required under sections 513,52 to 513.60 may be waived if the seller and the prospective buyer agree in writing. Waiver of the disclosure required under sections 513.52 to 513,60 does not waive, limit, or abridge any obligation for seller disclosure created by any other law. Seller and Buyer waive the written disclosure required under sections 513,52 to 513.60. SELLER' Manha C, Arens, Trustee, The Arens Family Trust BUYER' W. Peter Enck, Mayor, City ofNcw Hope SELLER' BUYER: Daniel}, Donahue, City Manager, City ofNcw Hope MilierlDavis Co" St. Paul, MN-Form 1300 (1994; Rev, 1996; Rev, 1997; Rev, 2002) Minnesota Standard Residential Purchase Agreement M,S.B,A, Real Property Form No, 1 PURCHASE AGREEMENT ! PAGE 3 174 Other than the warranties and representations made in this paragraph 10. the property is being sold "AS IS" with no express or implied 175 representations or warranties by Seller as to physical conditions, quality of construction. workmanship, or fitness for any particular purpose, (This 176 paragraph is not intended to waive or limit any provisions of Minn. Stat., Chapter 327A.) 177 178 179 180 181 182 183 12. TRUTH.IN-HOUSING. Buyer acknowiedges receipt of the Truth-in-Housing Disclosure Report or other inspection report if required by the 184 municipality in which the real property is located. 185 186 13, POSSESSION. Seller shall deliver possession of the property not later than th. date of closing. All interest, fuel oil, liquid petroleum 187 gas and all charges for city water, city sewer, eiectricity. aod natural gas shall be prorated between the parties as of the date of closing 188 189 190 191 192 193 194 195 196 197 198 199 200 201 202 203 204 205 206 207 208 209 210 211 212 213 214 215 216 217 218 219 220 221 222 223 224 225 226 227 228 229 230 231 232 233 234 235 236 18. MINNESOTA LAW, This contract shall be govemed by the laws of the State of Minnesota, 237 238 239 240 241 242 243 244 245 248 247 248 249 250 251 252 253 254 255 256 257 258 259 22. WETLANDS, SHORELAND, AND FLOOD PLAIN CONCERNS. CurrenUy the law does not require Seller to disclose Seller's knowledge, If 260 any, of the existence of weUands, shoreland, or flood plain on or affecting the real property, If Buyer has not already investigated these 261 concems. Buyer might want to include Seiler's disclosures regarding these concems. ~~: :';:.~"":':~} 0 ADDENDUM 262 TO PURCHASE AGREEMENT: WETLANDS, SHORELAND AND FLOOD PLAIN DISCLOSURE. M.S,B.A, Real Property Form No.8 (1997). is 263 included as an addendum to this Purchase Agreement. 284 265 23. SELLER'S AFFIDAVIT, At closing, Seller shall supplement the warranties and representations in this Purchase Agreement by executing and 268 delivering a Minnesota Uniform Conveyancing Blank [Form No, 116-M, 117-M. or 118-M) Affidavit of Seller, 267 11, DISCLOSURE OF NOTICES. Seller has not received any notice from any govemmental authority as to violation of any law, ordinance or regulation affecting the real property. If the real property is subject to restrictive covenants, Seller has not received any notice from any person as to a breach of the covenants. Seller has not received any notice from any govemmental authority conceming any eminent domain, condemnation, special taxing district, or rezoning proceedings. ~1IOIt ~ ~JI-KDII8lnI x ~~161111~ 1IIli- -Xftjt Xti~ X ~ II1IOiIt)( BIlK - - ~ IØ( ~ IlK JIJ[ _1üi!I ~ ~ 9O'JI-:II ~ - Ii: ]tItJI¡J KIll Jþ1fðjAK -.: ~ x ~~~~IWII1I}(~~ Ji¡1IIIðIiI- ~MMIU[x ~1iðCIJj{ ~IUIJ(DIIXJCIUIQi~_IIðI_-BlJM~~'" _KIll JtlW(JliIl«Jllrd( IIM>Ib1IIi: x -~:u JlIIIIIMIIlIiIlillUtJldlilltJlildU0Ut"_IIKtiiJllllllJt1llWf(lIIItfoII-n JWQ:IIO:~JiK_JRr«IIiXllIIiI~ ~IIII.JI~ ~-~ ~ ---p¡II li:JiIlj1l4lllJlß_K- x 1Q~1fI¡ ~~XlllKIi\III1CII" "" "~-UoII_X ~"DI(¡(XI6UIUI -~IIIINØIji1fdOllUf¡ IIJIIUII tfoII~~ xu. ~~II X ~JlllllUClKM__XXXXXXXXXXXXXXXXXXXXX . SEE ADDITIONAL TERMS 15. mLE CORRECTIONS AND REMEDIES. Seller shall have 120 days from receipt of Buyer's written titie objections to make title marketable. Upon receipt of Buyer's title objections, Seller shall, within ten (10) business days, notify Buyer of Seller's Intention to make tlUe marketable within the 120 day period, Uens or encumbrances for liquidated amounts which can be released by payment or escrow from proceeds of closing shall not delay the closing. Cure of the defects by Seller shall be reasonable, diligent, and prompt. Pending correction of title, all payments required herein and the closing shall be postponed. A, If notice is given and Seller makes title marketable, then upon presentation to Buyer and proposed lender of documentation establishing that title has been made marketabie, and if not objected to in the same time and manner as the original title objections, the closing shall take place within ten (10) business days or on the scheduled closing date, whichever is later. B, If notice is given and Seller proceeds in good faith to make title marketable but the 120 day period expires without title being made marketable, Buyer may declare this Purchase Agreement void by notice to Seller, neither party shall be liable for damages hereunder to the other, and eamest money shall be refunded to Buyer. C, If Seller does not give notice of intention to make title marketable, or If notice is given but the 120 day period expires without title being made marketable due to Seller's failure to proceed in good faith, Buyer may seek, as permitted by law, one or more of the following: 1, Proceed to closing without waiver or merger in the Deed of the objections to title and without waiver of any remedies, and may: (a) Seek damages, costs, and reasonable lawyer's fees from Seller as permitted by law (damages under this subparagraph (a) shall be limited to the cost of curing objections to title, and consequential damages are excluded); or (b) Undertake proceedings to correct the objections to title; 2. Rescission of this Purchase Agreement by notice as provided herein, in which case the Purchase Agreement shall be null and void and all eamest money paid shall be refunded to Buyer. 3. Damages from Seller together with costs and reasonable lawyer's fees, as permitted by law; 4. Specific performance within six months after such right of action arises. D, If title is marketable, or is made marketable as provided herein. and Buyer defaults in any of the agreements herein, Seller may elect either of the following options, as permitted by law: 1, Cancel this contract as provided by statute and retain all payments made hereunder as liquidaled damages. The parties acknowledge their intenlion that any note given pursuant 10 this conlract is a down payment note, and may be presented for payment notwithstanding cancellation; 2, Seek specific perfonnance within six months after such right at action arises, including costs and reasonable lawyer's fees, as permitted by law. E, If title is marl<etable, or is made marl<etable as provided herein, and Seller defaults in any at the agreements herein, Buyer may, as permitted by law. 1. Seek damages from Seller including costs and reasonable lawyer's fees; 2, Seek specific performance within six months after such right of action arises. 16. NOTICES, All notices required herein shall be In writing and delivered personally or mailed to the address as shown at Paragraph 1 above and, if mailed, are effective as of the date of mailing, 17. SUBDIVISION OF LAND. If this sale constitutes or requires a subdivision of land owned by Seller, Seller shall pay all subdivision expenses and obtain all necessary govemmental approvals, Seller warrants that the legal description of the real property to be conveyed has been or will be approved for recording as of the Date of Closing, 19. WELL DISCLOSURE. [Check one of the following:] Seller certifies that Seller does not know of any wells on the real property, -;z Wells on the real property are disclosed by Seller on the attached Well Disclosure form, 20. SEWAGE TREATMENT SYSTEM DISCLOSURE. (Chec}c either A or 8:) Ý A. Seller certifies that sewage generated at the property goes to a facility permitted by the Minnesota Pollution Control Agency (for example, a city or municipal sewer system). B. Seller certifies that sewage generated at the property does not go to a facility permitted by the Minnesota Pollution Control Agency and Seller's Disclosure of Individual Sewage Treatment System is attached (attach form), (Checjc either C or D:) Ý C. Seller does not know if there is an abandoned individual sewage treatment system on the property, - D. Seller knows that there [strike one:] ... I a.. no abandoned individual sewage treatment systems on the property If Seller disdoses the existence of an abandoned individual sewage treatment system on the property, then Minnesota law requires that the location of the system be disclosed to Buyer with a map, (Arrach Se/lar's DisckJsure of Individual Sewage TrrH1tment Sysrem with map completed,! 21. LEAD PAINT DISCLOSURE. (Check one of the following:) Seller represents that the dwelling was constructed on the real property in 1978 or tater. ;Z Seller represents that the dwelling was constructed on the real property before 1978. (If such housing is located on the real prop. erty, attached and made a part of this Purchase Agreement is 'LEAD PAINT ADDENDUM FOR HOUSING CONSTRUCTED BEFORE 197/1".) Miller/Davis Co., Sl Paul, MN-Fonn 1300 (1994; Rev. 1996; Rev, 1997; Rev. 2002) M,S,B,A, Real Property form No, 1 Minnesota Standard Residential Purchase Agreement PURCHASE AGREEMENT I PAGE 4 268 24, CLOSING. Closing shall be at the office of Seller's lawyer, Buyer's title insurer, or at some other mutually agreeable location. 269 270 271 272 273 274 275 276 277 278 279 280 281 282 283 284 285 286 287 288 289 290 291 292 293 294 295 296 {State other location:} New Hope Cil)' Hall 4401 Xylon Avenue North, New Hope Minnesota SS428 At dosing, Seller and Buyer shall disdose their Social Security Numbers or Federal Tax Identification Numbers for the purposes of completing state and federal tax forms. 25. ADDITIONAL TERMS:. 14 EXAMINATION OF TITLE Buyer shall obtain, at Seller's expense, a Commitment for an Owner's Policy of Title Insurance on a current AL T A fonn issued Q}' an insurer licensed to write title insurance in Minnesota S~lIer shall he respon<ihle for payment of those cost< necessal)' to prepare such Commitment including but not limited to ahstracting fees, name search fees, service charges, etc BlI)'er shall P!\}' the premium for the Owner's Policy of Title InsUIanœ.- Buyer shall have ten (10) business d!\}'s after receipt of the Commitment for Title Insurance to provide Seller with a copy of the Commitment and written ohjections Buyer shall he deemed to have waived any title ohjections not made within the ten (10) day period ahove except that this shall not operate 8.< a waiver of Seller's covenant to deliver a statutoI)' Warranty Deed, unless a Warranty Deed is not specified ahove If Buyer ohtains title in<urance, Buyer is not waiving the righUo obtain a goodJmd marketahle title of record /Tom Seller 26. ADDENDA. Attached are --1- addenda which are made a part of this Purchase Agreement 27, TIME IS OF THE ESSENCE, Time is of the essence for all provisions of this Purchase Agreement 28. MULTIPLE ORIGINALS. Seller and Buyer have signed [number] 3 originals of this Purchase Agreement 297 298 299 300 THIS IS A LEGALLY BINDING CONTRACT. BEFORE SIGNING. CONSULT A LAWYER. Minneaota law penn Ita licanaad /'8al .atate brokers and aalea agents to prepare purchase agreements. No recommendation or repreaentatlon may be made by any real eatate broker or 88le. agent as to the legal aufficiency, the legal effect, or the tax consequencea of thla contract. Theae are queationa for your lawyer, I agree to sell the property for the price and terms and conditions set forth above. I agree to purchase the property for the price and terms and conditions set forth above. SELLER' Martha C. Arens, Trustee, The Arens Family Trust TIN: BUYER: W, Peter Enck, Mayor City of New Hope (dale) (date) SELLER' BUYER: Daniel J. Donahue, City Manager City of New Hope (date) (date) This Purchase Agreement was prepared by: Jensen & Sondrall, P.A. 8525 Edinbrook Crossing, Suite 20 I Brooklyn Park, Minnesot a 55443 (763)424-8811 Oth I S II wi B wh III ers ow ass st e er or uver th this transaction: Lawyer For Buyer Telephone: Facsimile: (763) 424-8811 (763)493-5193 Steven A. Sondrall Jensen & Sondrall, P.A. 8525 Edinbrook Crossing Suite 201 Brooklyn Park, MN 55443 (763) 424-8811 103391 Listing Agent and Broker for this transaction are: Telephone: Facsimile: N/A Selling Agent and Broker for this transaction are: Telephone: Facsimile: N/A MilierlDavis Co" St. Paul, MN-Form 1300 (1994; Rev, 1996; Rev, 1997; Rev, 2002) Minnesota Standard Residential Purchase Agreement M.S,B,A, Real Property Form No, 1 PURCHASE AGREEMENT I PAGE 5 Buyer's or Lender's Title Insurer. Old Republic National Title Insurance Company 400 Second A venue South Minneapolis, Minnesota 55401 Telephone: (612)371-1111 Facsimile: EXHIBIT "B" PRICE DIFFERENTIAL PAYMENT I ANALYSIS OF COMPARABLE PROPERTIES Subject Comparable Comparable Comparable Property #1 Property #2 Property #3 Price (appraised.) - - $220,000 $269,500 $269.900 $272.430 Address 5440 Winnetka Ave 4725 Gettysburg 3301 Hillsboro Ave 5536 Loring Lane North Ave No, No, CitY New Hope New Hope New HODe Golden Vallev Date of Inspection 12-5-03 Stvle 1,75 StOry Split lever Split Entrv Split Entrv Construction Averace to Good Above AveraQe Above Averace Average Actual Ace/Eff.Ace 1952 1971 1969 1963 Condition EGF AveraQe Above AveraQe AveraQe Average No. of Units 1 1 1 1 No, of Rooms 8 9 8 9 No. of Bedrooms 4 4 4 4 Bedrooms Recuired No. of Baths 2 2.5 2.5 2,5 Total Finished Area 1,866 2,080 2,616 1,976 (So, FU Basement Full - finished Full - finished, Walk Full - finished Full - finished out Bsmt- Types of Fin, Family room, Family room, Family Room, Walkout Rms. laundry, wood shop Bedroom, Office Bedroom, Office HeatlCoolinc Gas FA / CA Gas FA / CA Gas FA / CA Nat Gas FA / CA Fireplaces None One Two One Other Finished Space Garace 1 - attached 2 - attached 2 - attached 2 - attached Lot Size 21,000 sa ft 12,498 so ft 13,050 sa ft 15,000 Sa ft Neichborhood E/B Suburban Suburban Suburban Suburban Schools NA NA NA NA Public NA NA NA NA Transportation Church Less than 1 mile 2 miles 5 miles 8 miles Place of NA NA NA NA Emplovment Water 1. Type 2, 1, City 1. City 1. City 1, City Adequate 2, Yes 2. Yes 2, Yes 2, Yes Sewer 1, Type 2. 1, City 1. City 1, City 1, City Adecuate 2, Yes 2, Yes 2, Yes 2, Yes Other Comments: - $3,000 - garage - $3,000 - garage - $3,000 - garage - $8,750 - above + $2,050 - above + $16,050 - above . These amounts ground finished ground finished ground finished factored in tD the + $1,360 - below -$8,000 - below - $7,520 - below comparable price ground finished ground finished ground finished + $4,500 - acreage + $4,500 - acreage + $3,000 - acreage - $1,000 - fireplace - $2,000 - fireplace - $1,000 - fireplace Comparable Price Project Price Difference Moving Expenses (self move) Estimated Closing Costs Total Benefit $269,500 $220,000 = $49,500 + $2,250 + $4,500 = $56,250 A/W Agent Kari Klassen Date 12-10-03 EDA ~ REQUEST FOR ACTION -- Originating Department Approved for Agenda Agenda Section Community Development - 1-12-04 EDA Item No. S By: Kirk McDonald, Director of CD & Ken Doresky, CD Specialist \ . I By /'iJ RESOLUTION APPROVING PURCHASE AGREEMENT AND RELOCATION BENEFITS 7605 BASS LAKE ROAD (IMPROVEMENT PROJECT FILE 758) REQUESTED ACTION Staff recommends EDA approval of a resolution prepared by the city attorney approving the purchase of property located at 7605 Bass Lake Road for it's appraised value of $158,000 and forthcoming relocation estimate (underway). The purchase agreement is expected to be executed by the property owner by the time of tonight's meeting. Krass Monroe, the city financial/redevelopment consultant recommends that the EDA now consider acquisitions of this type, instead of the City Council. As directed by the Council at the November 3, 2003, Work Session, staff will coordinate with Evergreen Land Services, the city's relocation consultant for payment of relocation benefits to all remaining sellers in the East Winnetka Livable Communities Area. The city's purchase offer will now consist of the appraised value and a relocation payment determined by the city's relocation consultant The relocation estimate for this property is underway. The relocation payment for this property will consist only of moving expenses and closing costs for their new property. No differential payment will be awarded due to the fact that the owners purchased a property for less than the city's purchase price for the subject property. Staff informed the owners of the circumstance, but they wished to proceed with the acquisition as outlined. POLICY/PAST PRACTICE City goal #2 is to pursue the maintenance and redevelopment of commercial and residential properties within the city. The City Council has been addressing the residential portion of this goal through the city's many housing activities, including acquiring property in areas designated for redevelopment in the Comprehensive Plan. BACKGROUND At the November 3, 2003 Work Session, the Council directed staff to obtain appraisals of the remaining properties located in the East Winnetka Livable Communities area and to make offers including relocation benefits to the owners. In December 2003, the owners of the subject property agreed to have an appraisal completed of their property. On December 30, staff, the city attorney and the city's relocation consultant met with the owners. The owners accepted the city's offer. The property is located within the Livable Communities East Winnetka Study Area and in Plannina District 6. MOTION BY (ì Ff .ß Þ'/L TO: ¡Jd~ f/JA ÊJLl- 01-01. / SECOND BY k-.- -/1 J 1:\RFA\PLANNING\Housina\7605\Q - 7605 Purchase Aareementdoc Request for Action Page 2 1-12-04 Staff recommends approval of the attached resolution. FUNDING The subject property is located in an area where TIF funds can be expended. TIF funds would be used for property acquisition, relocation and associated holding costs. During the 2003 State Legislative Special Session, the city's TIF special legislation was passed. In December 2003, the district was approved by the City Council. ATTACHMENTS . Resolution . City Attorney Correspondence, 1-5-04 . Purchase Agreement . Appraisal . Location Map . Hennepin County Parcel Data DOUGLASJ.DEBNER2 GORDON L. JENSENl GLEN A. NORTON STEVEN A. SONDRALL STACY A. WOODS OF COUNSEL LoRENS Q. BRYNESTAD r- 'Real Proper!) Law Specialist Certified By The Minnes(¡¡ State Bar Associaooß 'Admitted in bwa JENSEN & SONDRALL, P.A. Attorneys At Law 8525 EDINBROOK CROSSING, STE. 201 BROOKL YN PARK, MINNESOTA 55443-1968 TELEPHONE (763) 424-8811 . TELEFAX (763) 493-5193 e-mail law@jensen-sondrall.com January 7, 2004 Ken Doresky Community Development Specialist City of New Hope 4401 Xylon Avenue North New Hope, MN 55428 t~[p>y Re: Acquisition of 7605 Bass Lake Road OUf File No.: 99.11299 Dear Ken: Please find enclosed for consideration at the January 12, 2004 Council meeting a proposed Resolution Approving Purchase Agreement and Relocation Benefits for the acquisition of property at 7605 Bass Lake Road. As you know, this property is owned by Matthias and Myrna Hilgers. Also enclosed are three (3) copies of the Minnesota Standard Residential Purchase Agreement with Addenda which should be signed by the Sellers prior to the January 12th meeting. In connection with the Purchase Agreement, the Sellers need to sign the Purchase Agreement at the designated locations, Also, on the Lead-Based Paint Addendum, the Sellers need to initial both lines indicating they are nót aware of any lead-based paint and/or lead-based paint hazards in the house, or that they have received reports or records pertaining to lead-based paints in the house. Regarding the Private Sewer System Disclosure Addendum, the Sellers are also indicating that they are not aware of any private sewer system located on the property. This is indicated by a check marked in Line 30 of said Addendum. Also as we discussed, an inspection of the property needs to be made to determine if a well is present on the property. Subsequent to the inspection, we will need to have them sign and initial the Well Disclosure Addendum. Please make them aware of this. A relocation benefits analysis will need to be prepared by Evergreen Land Services as well. If that can be done before the Council meeting, I will send you an updated Resolution. Otherwise, the Resolution will need to be changed to indicate such an analysis is pending. The Council should also approve the amount of the relocation benefit. January 7, 2004 Page 2 Please have the Sellers sign and initial all three (3) copies of the Purchase Agreement and Addenda, After said documents are signed by the City, I would like a fully-signed copy of the Agreement for my file, Please contact me if you have any questions or additions to the Resolution or Purchase Agreement relating to this matter. Very truly yours, ~ Steven A. Sondrall, City Attorney, City of New Hope JENSEN & SONDRALL, P.A. sas@jensen-sondrall.com After Hours Extension #147 Enclosures cc: Valerie Leone (w/enc.) P:IAaomeyISASI2 City of New Hopel99-11299\99.11299-OOI-Ken Ltr,doc CITY OF NEW HOPE EDA RESOLUTION NO. 04 - - RESOLUTION APPROVING PURCHASE AGREEMENT AND RELOCATION BENEFITS 7605 Bass Lake Road BE IT RESOLVED, by the Economic Development Authority in and for the City of New Hope as follows: WHEREAS, New Hope City staff have been in contact with Matthias Hilgers and Myrna C. Hilgers ("Owners"), Owners of certain real estate known as 7605 Bass Lake Road (the "Property"); and WHEREAS, appraisers hired by the New Hope EDA valued the Property at $158,000.00 as of December 4, 2003; and WHEREAS, the Owners are willing to sell the Property to the New Hope EDA for the sum of $158,000.00 as set forth in the Purchase Agreement attached hereto as Exhibit A and incorporated herein by reference; and WHEREAS, the New Hope EDA herby approves the Purchase Agreement with the understanding relocation assistance benefits will be paid to the Owners as required by both State and Federal law; and WHEREAS, City staff have employed the service of Evergreen Land Services Company to provide the required relocation assistance; and WHEREAS, Evergreen Land Services Company has prepared a relocation analysis for the Owners herein and have determined the estimated relocation benefit payable to Owners is $ (analysis attached as Exhibit B). The final actual cost for the relocation benefits the Owners are entitled to will be determined when the Owners actual closing costs and moving expenses are determined by Evergreen Land Services Company; and WHEREAS, it is in the best interest of the New Hope EDA to purchase the Property from Matthias Hilgers and Myrna C. Hilgers for the sum of $158,000.00, with other terms and conditions as set forth in the Purchase Agreement and to pay the required relocation benefits. NOW, THEREFORE, BE IT RESOLVED by the Economic Development Authority in and for the City of New Hope as follows: 1. That the above recitals are incorporated herein by reference; 2. That the purchase of the Property by the New Hope EDA from Matthias Hilgers and Myrna C. Hilgers for the sum of $158,000.00, with other terms and conditions as set forth in the Purchase Agreement attached hereto as Exhibit A, is approved. 3. The relocation benefit estimated to be $ is hereby approved - with the- final amount to be determined by Evergreen Land Services Company after actual moving costs and closing costs are determined by Evergreen. 4. The President, Executive Director and New Hope City staff are authorized and directed to sign all appropriate documents, and to take whatever additional actions are necessary or desirable, to complete the purchase of the Property in accordance with said Purchase Agreement. Dated the 12th day of January, 2004. W. Peter Enck, President Attest: Daniel J. Donahue, Executive Director P:\Anorney\Cnh Resolutions\99.11299..oo1-Reso Approv PA-7605 Bass Lake Rd.doc 2 tJÐler/Davis èo., St. Paul, MN-Form 1300 (1994; Rev. 1996; Rev. 1997; Rev, 2002) M.S.B.A, Real Property Form No, 1 MiMesota Standard Residential Purchase Agreement PURCHASE AGREEMENT / PAGE 1 MINNESOTA STANDARD RESIDENTIAL PURCHASE AGREEMENT 0 Copyright 1996, 1997, 2002 by Minnesota State Bar Association, Minneapolis. Minnesota BEFORE YOU USE OR SIGN THIS CONTRACT, YOU SHOULD CONSULT WITH A LAWYER TO DETERMINE THAT THIS CONTRACT ADEOUATEL Y PROTECTS YOUR LEGAL RIGHTS, Minnesota State Bar Association disclaims any liability arising out of the use 01 this lorm, 1. PARTIES. This Purchase Agreement is made on 2004 , by and between Manhia. Hilger< anet Myrna C Hilger< hu.hanet and wife.. jninl "'nanl. ~ xnnnxnnnnnx ~ aI/seiler's address} 760~ Ba.. I..~e Rnad New Hope Min"".nla 5542& , SELLER, and 4 I"" City nfNew Hope a Min"".nla municipal cnq¡nralinn XD)OXIXMJrSaJI¡ n 5~ {buyer's addres~l 4404 Xylon Avenue Nnrth New Hnpe Min"".nl" 5542& BUYER. 6 7 8 9 10 11 [Property Tax Identification Numbar or Tax Parcel Number 12 13 located at 14 County 01 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 5. PRICE AND TERMS. The price lor the real and personal property included in Ihis sale is One Hunetrp.d Fifty-Fighl Thnu<and anet 001100 33 34 Dollars 1$15& 000 00 35 36 2. OFFER/ACCEPTANCE. Buyer offers to purchase and Seller agrees to sail real property legally described as: Tr..t. A. .nd B Regl"""'¡ I...nd Su"""y No I14R Flio. of Reg."...r of TItle. Collnty of H.nn.pin - c.rtm..t. or Tltl. No 40662~ 0~-11&-21-11-OO&& 7605 Ba.. I ..~e Rnad , City of Hen""pin , State ofMinnesola, Zip Code 5542& New Hope 3. ACCEPTANCE DEADLINE, The acceptance date of this Purchase Agreement is the date it is delivered by the last party signing to the other party, This offer to purchase, unless accepted sooner, shall be void at 11 :59 A,M" on {date} 2004 and in such event all earnest money shall be refunded to Buyer, It 4, PERSONAL PROPERTY AND FIXTURES INCLUDED IN SALE. The following items of personal property and fixtures owned by Seller and currently located on the real property are included in this sale {StnKe out items not included/: garden bulbs, plants, shrubs, trees, storm windows and inserts, storm doors, screens. awnings, window shades, blinds, curtain-traverse-drapery rods, attached lighting fixtures with bulbs, plumbing fixtures, sump pumps, water heaters, heating systems, heating stoves, fireplace inserts, fireplace doors and screans, built-in humidiliers, built-in air conditioning units, built-in electronic air lilters. automatic garage door openers with controls, television antennas, water softeners, built-in dishwashers, garbage disposals, built-in trash compactors. built-in ovens and cooking stoves. hood-Ians, intercoms, installed carpeting, work benches, security systems, and also the lollowing property: Upon delivery 01 the Deed. Seller shall also deliver a Warranty Bill 01 Sale lor the above personal property, {Check the box if the following provision applies to this Purchase Agreement:} 0 Seller shall use M,S,B,A. Real Property Form No, 9011997), Warranty Bill 01 Sale" ), which Buyer shall pay as follows: Earnest money 01 $ {select one:} ~ Seller, 10 be deposited and held by Seller land may be commingled with Seller's other lunds) pending closing, ~9 Seller's lawyer, 10 be deposited and held in the lawyer's trust account pending closing, 40 Seller's broker, to be deposited or held by broker according to the requirements of Minnesota Statutes, 41 Other {describe how the earnest money will be held} 42 43 receipt of which is hereby acknowledged and $ 15& 000 00 cash. on , the DA TE OF CLOSING. and 44 the balance of $ 000 by linancing as shown on the attached Financing Addendum, 45 46 47 48 49 50 51 52 53 54 55 56 57 58 69 80 81 62 63 64 65 86 67 68 69 70 71 72 -1 000 by IZXIHt Jl:NICI.. ]lDDXE . state which) payable to 6. DEED/MARKETABLE TITLE. Upon performance by Buyer, Seller shall execute and deliver a in by spouse, if any, conveying marketable title of record, subject to: A,Building and zoning laws, ordinances, state and lederal regulations; B, Restrictions relating to use or improvement of the real property without effective lorfeiture provisions; C,Reservation 01 any mineral rights by the State of Minnesota; D,Utility and drainage easements which do not interfere with existing improvements; E. Exceptions to title which constitute encumbrances, restrictions. or easements which have been diaclosed to Buyer and accepted by Buyer in this Purchase Agreement {must be specified in writing}: 7, REAL ESTATE TAXES AND SPECIAL ASSESSMENTS. Real estate taxes due and payable in and for the year 01 closing shall be pro- rated between Seller and Buyer on a calendar year basis to the actual Date 01 Closing, unless otherwise provided in this Purchase Agreement, If tax statements for such taxes are not available on the Date of Closing, the amount to be prorated shall be_,*, 01 the prior year's taxes, and such estimated proration shall be {strike one} FULL AND FINAL BETWEEN SELLER AND BUYER / XoIOØIIIDElDXJt8JUIIDBØÐOf TJlI[)IDXI1UIXX~ lin which case the party entitled to a credit as a result 01 the adjustment shall receive the amount of such credit from the other party within 30 days 01 issuance 01 the tax statements), Seller represents the taxes due and payeble in the year(s) 11104 will be RlLL.JUCID',]IDDJI -homestead classilication. unless Buyer changes the tax classilication for taxes payable in the year lollowing closing by taking possession of the real property as Buyer's homestead and filing a new homestead declaration within the time required by law, If the taxes due and payable in the year of closing are PART or NON-homestead classilication. Seller shall pay to Buyer at closing $ , in addition to Seller's prorated share 01 the taxes, If the taxes due and payable in the year lollowing closing are PART or NON-homestead claasilicstion and the closing takes place after the date by which Buyer must take possession of the real property as Buyer's homestead to file for homestead tax status lor taxes due and payable in such year, Seller shall pay to Buyer at closing $ as Seller's share 01 such taxes, Warranty Daed, joined {Strike one:} IIUOI(](JQX](UIRCJHIIUUIIDRU:IIUXlJlX-IUCJÐDfXXIIIIJIIIX I SELLER SHALL PAY ON DATE OF CLOSING all installments of spacial assessments certified for payment with the real estate taxes due and payable in the year of closing. {Strike one:/ ](~-X I SELLER SHALL PAY ON DATE OF CLOSING all other special assessments levied as of the date of this Purchase Agreement. {Strike one:} :II~-X I SELLER SHALL PROVIDE FOR PAYMENT OF special assessments pending as 01 the date 01 this Purchase Agreement for improvements that heve been ordered by the City Councilor other governmental assessing authorities. (Seller's provision for payment shall be by payment into escrow of 1-1/2 times the estimated amount 01 the assessments.) As of the date 01 this ,6 Purchase Agreement, Seller represents that Seller has not received a Notice 01 Hearing 01 a new public improvement project Irom sny 76 governmental assessing authority, the costs 01 which project may be assessed against tha real property. If a spacial assessment becomes 77 pending attar tha date of this Purchase Agreement and before the Date 01 Closing, Buyer may, at Buyer's option: 78 A, Assume payment of the pending special essessment without adjustment to the purchase price of the real property; or, 79 B, Require Seller to pay the pending special assessment lor escrow for payment of same as provided abovel and Buyer shall pay a commen- 80 surate increase in the purchase price of the reel property. which Increase shall be the same as the estimated amount of the assessment; 81 C, or Declare this Purchase Agreement void by notice to Seller, and earnest money shall be refunded to Buyer, ~illerlDevis èo.. St, Paul, MN-Fonn 1300 11994; Rev, 1996; Rev. 1997; Rev, 20021 M.S.B,A, Raal Property Form No.1 Minnesota Standard Residential Purchase Agreement PURCHASE AGREEMENT / PAGE 2 82 [Strike one:] IIMJ(JlJCIIDURCIIMMK / SELLER SHALL PAY ON DATE OF CLOSING any deferred real estate taxes {including 'Green 83 Acres" taxes under Minn, Stat. 273.1111 or special assessments payment of which is required as a .result of the closing of this sale, 84 Buyer shall pay real estate taxes due and payable in the year following closing and thereafter and any unpaid speciel assessments payable 85 therewith and thereafter, the payment of which is not otherwise provided herein, Seller makes no representation concerning the amount of future real estate taxes or of future special assessments, od 8. DAMAGES TO REAL PROPERTY. If the real property is substantially damaged prior to closing, this Purchase Agreement shall terminate 89 and the earnast money shall be refunded to Buyar, If the reai property is damaged materially but less than substantially prior to closing, 90 Buyer may rescind this Purchese Agreement by notice to Seller within 21 days after Seller notifies Buyer of such damage, during which 91 21-day period Buyer may insPect the real property, and in the event of such rescission. the earnest money shall be refunded to Buyer. 92 93 94 95 96 97 98 10. CONDITION OF PROPERTY. 99 100 101 102 103 104 105 106 107 108 109 110 III 112 113 114 115 116 117 118 119 120 121 122 123 124 9. SELLER'S BOUNDARY LINE. ACCESS. RESTRICTIONS AND LIEN WARRANTIES, Saller wlrrlnt, thlt building" if Iny, Ira antirlly within thl boundlry line. of the rail property. Siller wlrrlnts that thlra I, I right of Iccass to the real property from I public right of WlY, Saller wlrrlnts thlt thar. hi' ba.n no Ilbor or mltlrill fuml,had to tha rill property for which plymlnt hi' not bean mlda. Saller wlrrants thlt thlra Irl no pra,ant yiolltions of Iny raStrictions riliting to thl USI or improvlmlnt of tho rail proplrtv. Thlsl Wlrrlntil' shill suryiYI thl dllivory of thl Dead or Contrlct for Diad. A. Seller wertants that ell appliances, fixtures, heating and air conditioning equipment. fireplaces (including mechanisms. dampers, flues, and doors). wiring, and plumbing used and located on the real property will be in working order on the Date of Closing, Seller shall remove all debris, end ell personal property not included in this sale from the real property before possession dale, Seller has no knowledge of any Dutch elm disease, oak wilt, or other disease of any trees on the reel property. B, Seller knows of no hazardous substances or petroleum products having been placed. stored, or released from or on the reel property by eny person in violation of any law, nor of any underground storage tanks having been located on the real property at any time, except as follows: C, Seller's wartanties and representations contained in this paragraph 10 shall survive the delivery of the Deed or Contract for Deed, Any action based upon these wartanties and representations must be commenced within two years after the date on which the buyer ciosed on the purchase of the real property, D, 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, E. Statutory Disclosure. Pursuant to Minnesota Statutes sections 513,52 - 513,60 (effective January 1, 2003). Seller must provide a written disclosure Isee 11} below!, or Buyer must have received an inspection report (sea (2) below), or Buyer and Seller may waive the written disclosure requirements (see 13) below], Minnesota SIaIUleS Section S13,S7. Subd, 2, UABILITY. A seller who flils 10 mike a disclosure IS required by sections S13.S2 to S13,60 and was aware of the condition of the real property is liable to the prospective buyer, A person injured by a violation of this section may bring a civil action and recover damages and receive other equilable relief IS detennined by the coun. An action WIder this subdivision must be commenced within two years after the date on which the prospective buyer closed the purchase or IrIIISfer of the real property. ._1 128 [Se/ecr only OM of these three:] 129 0 (1) SeHer's Disclosure. Seller has provided a written disclosure to Buyer, A copy of Seller's disclosure is ettached. Seller shsll correct in 130 writing any inaccurecies in the disclosure as soon as reasonably possible before closing, 131 132 133 134 135 136 137 138 139 140 141 142 143 144 145 146 147 148 149 150 151 , 52 153 154 155 156 157 158 159 ~ (3) Waiver of Disclosure. 160 161 162 183 '4 Minnesota Statutes Section SI3,SS, GENERAL DISCLOSURE REQUIREMENTS, Subdiyision I. CONTENTS, (a) Before signing an agreement to sell or transfer residential real property, the seller shall make a written disclosure to the prospective buyer. The disclosure must include all material factS pertaining 10 adverse physical conditions in the property of which the seller is aware that could adversely and signiflClDdy affect: (1) an ordinary buyer's use and enjoyment of the property; or, (2) any intended use of the property of which the seller is aware. (b) The disclosure must be made in good faith and based upon the beSt of the seller's knowledge at the time of the disclosure, Minnesota Statuœs Section SI3,S8, AMENDMENT TO DISCLOSURE, Subdivision I. NOTICE, A seller mUSt notify the prospective buyer in writing IS soon IS reasonably possible, but in any event before closing. if the seller learns that the seller's disclosure required by section SI3,SS was inaccurate. Subdivision 2, FAILURE TO NOTIFY; UABILITY. A seller who fails 10 notify the prospective buyer of any amendmentS to the initial disclosure required WIder subdivision 1 is liable 10 the prospective buyer IS provided in section SI3,S7, 0 (2) Inapection Report. Buyer has received an inspection report by a qualified third-party. If a copy of the Inspection report is provided to Seller, Seller shall disclose to Buyer material facts known to Seller that contradict any information in the inspection report. Minnesota Statutes Section S13.S6 Subd, 3, INSPEcnONS. (a) Except IS provided in paragraph (b). a seller is nO( required to disclose infonnation relating 10 the physical condition of the real property if a written report that discloscs the infonnation has been prepared by a qualified third party and provided to the prospective buyer, For purposes of this paragraph. 'qualified third party' IœSIIS a federal. state, or local govemmeDIII agency, or any person whom the seller, or prospective buyer, reasonably believes has the expertise necessary 10 meet the industry standards of practice for the type of inspection or investigation that has been conducted by the third party in order 10 prepare the wrillen report, (b) A seller shsll disclose to the prospective buyer material factS known by the seller that contradict any infOl1lllÛon included in a wrillen report WIder paragraph (a) if a copy of the report is provided to the seller, Minnesota SIaIUleS Section SI3,60. WAIVER. The written disclosure required under sections S13.S2 10 513,60 may be waived if the seller and the prospective buyer agree in writing, Waiver of the disclosure required under sections SI3,S2 10 SI3.60 doe.o not waive. limit. or abridge any obligation for seller disclosure created by any other law, ."6 187 188 169 170 171 172 173 Seller and Buyer waive the wrlnen disclosure required under aectlons 613,62 to 613.60. SELLER' Matthias Hilgers BUYER' W. Peter Enck, Mayor, City of New Hope SELLER: Myrna C. Hilgers BUYER: Daniel I. Donahue. City Manager, City of New Hope M~lerlDavis Co., St,Peul, MN-Form 1300 (1994: Rav. 1996: Rev, 1997: Rev, 2002) Minnesota Standard Residential Purchasa Agraement M,S.B,A, Real Property Form No.1 PURCHASE AGREEMENT / PAGE 3 174 Other than the warranties and representations made in this paragraph 10, the property is being sold "AS IS" with no express or implied 175 representations or warranties by Saller as to physical conditions, quality of construction, workmanship, or fitness for any particular purpose, 175 (This paragraph is not intanded to waive or limit any provisions of Minn, Stat" Chapter 327A,) 11. DISCLOSURE OF NOTICES, Seller has not received any notice from any governmental authority as to violation of any law. ordinance or regulation effecting the real property, If the real property is subject to restrictive covenents. Seller hes not received any notice from any 180 person as to a breach of the covenants. Seller has not received any notice from any governmental authonty concerning any eminent domain. 181 condemnation, special taxing district, or rezoning proceedings, 182 183 184 185 186 187 188 189 190 191 192 193 194 195 196 197 198 199 200 201 202 203 204 205 206 207 208 209 210 211 212 213 214 215 216 217 218 219 12. TRUTH-IN-HOUSING, B~Ÿer acknowledg';s- receipt of the Truth-in-Housing Disclosure Report Or other inspection report if required by the municipality in which the real property is located, 13. POSSESSION. Seller shall deliver possession of the property not later than thl'! datI'! nf closing, All interest, fuel oil, liquid petroleum gas and all charges for city watar, city sewer, electricity, and natural gas shall be prorated between the parties as of the dar. of dn<jng JIMv<"""~-~----~-~hasa ~"'-~~tcias --..~.....,._._~ (101 -~~~IC"""""_ittan ~~~~inass .have ~""""~~~~utOf'V :='::-'!""~~I11111'1?~"""'-"""'title ~, .SEE ADDmO AL -On 15. TITLE CORRECTIONS AND REMEDIES. Seller shall have 120 days from receipt of Buyer's written titla objections to make title marketable, Upon receipt of Buyer's title objections, Seller shall, within ten (10) business days, notify Buyer of Seller's intention to make title marketable within the 120 day period, Liens or encumbrances for liquidated amounts which can be released by payment or escrow from proceeds of closing shall not delay the closing, Cure of the defects by Seller shall be reasonable, diligent, and prompt, Pending correction of title, all payments required herein and the closing shall be postponed, A. If notice is given and Seller makes title marketable, then upon presentation to Buyer and proposed lender of documentation establishing that title has been made marketable, and if not objected to in the same time and manner as the original title objections, the closing shall take place within ten (10) business days or on the scheduled closing date, whichever is later, B, If notice is given and Seller proceeds in good faith to make title marketable but the 120 day period expires without title being made marketable. Buyer may declare this Purchase Agreement void by notice to Seller, neither party shall be liable for damages hereunder to the other, and earnest money shall be refunded to Buyer. C, If Seller does not give notice of intention to make title marketable, or if notice is given but the 120 day period expires without title bein9 made marketable due to Seller's failure to proceed in good faith. Buyer may seek, as permitted by law, one or more of the following: " Proceed to closing without waiver or merger in the Deed of the objections to title and without waiver of any remedies, and may: , (a) Seek damages. costs, and reasonable lawyer's fees from Seller as permitted by law (damages under this subparagraph (a) shall be limited to the cost of curing objections to title, and consequential damages are excluded): or (b) Undertake proceedings to correct the objections to title; 2. Rescission of this Purchase Agreement by notice as provided herein, in which case the Purchase Agreement shall be null and void and all earnest money paid shall be refunded to Buyer; 3, Damages from Seller together with costs and reasonable lawyer's fees, as permitted by law: 4, Specific performance within six months after such right of action arises. D, If title is marketable, or is made marketable as provided herein, and Buyer defaults in any of the agreements herein, Seller may elect either of the following options, as permitted by law: 1, Cancel this contract as provided by statute and retain all payments made hereunder as liquidated damages. The parties ecknowledge their intention that anV note given pursuant to this contract is a down payment note. and may be prosented for payment notwithstonding cancellation: 2, Seek specific performance within six months ofter ouch right of action eriaes, including costs end roasonobla lawyer's foes, as permitted by law. If title is marketeble, or is made marteeloble os provided herein, end Soller dofeults in anv of tho agroements heroin, Buyer mav, as permitted bv law: " Seek damages from Seller including costs and reasonable lawyer's fees: 2, Seek specific performance within six months after such right of action arises, 223 224 ~~: E, 227 228 229 16. NOTICES. All notices required herein shall ba in writing and delivered personally or mailed to the address as shown at Paragraph 1 230 above and, if mailed, are effective as of the date of mailing, 231 232 233 234 235 236 237 238 239 240 241 242 243 244 245 246 247 248 249 250 251 252 253 254 255 256 257 258 259 260 17. SUBDIVISION OF LAND. If this sale constitutes or requires a subdivision of land owned by Seller, Seller shall pay all subdivision expenses and obtain all necessary governmental approvals, Seller warrants that the legal description of the real property to be conveyed has baen or will be approved for recording as of the Date of Closing. 1B. MINNESOTA LAW, This contract shall be governed by the laws of the State of Minnesota, 19. WELL DISCLOSURE. {Check one of the following:J Seller certifies that Seller does not know of eny wells on the real property, -;z Wells on the reel property are disclosed by Seller on the attached Well Disclosure form, 20. SEWAGE TREATMENT SYSTEM DISCLOSURE. {Checjc either A or 8:J Ý- A. Seller certifies that sewage generated at the property goes to a facility permitted by the Minnesota Pollution Control Agency (for example. a city or municipal sewer system). B. Seller certifies that sewage generated at the property does not go to a facility permitted by the Minnesota Pollution Control Agency and Seller's Disclosure of Individual Sewage Treatment System is attached (attach form), {CheÇ/r either C or D:J Ý- C. Seller does not know if there is an abandoned individual sewage treatment system on the property, D. Seller knows that there {strike ona:J are / ere no abandoned individual sewage treatment systems on the propeny If Seller discloses the existence of an abandoned individual sewage treatment system on the property, then Minnesota law requires that the location of the system be disclosed to Buyer with s map, /AttlIch Søllør's Disclosure of Individual Sewage TrNtment System wfrh mop complored.} 21. LEAD PAINT DISCLOSURE. (Check one of the following:J Seller represents that the dwelling was constructed on the real property in 1978 or later, Z Seller represents that the dwelling was constructed on the real property before 1978. elf such housing is located on the real prop- erty, attached and made a part of this Purchase Agreement is 'LEAD PAINT ADDENDUM FOR HOUSING CONSTRUCTED BEFORE t978",) 261 22. WETLANDS. SHORE LAND. AND FLOOD PLAIN CONCERNS, Currently the law does not require Seller to disclose Seller's knowledge, if any, of the existence of wetlands, shoreland. or flood plain on or affecting the real property, If Buyer has not already investigated these concerns, Buyer might want to include Seller's disclosures regarding these concerns, (Check rho box" rho following provision 0 ADDENDUM epplles to this Purchase Agreement:/ TO PURCHASE AGREEMENT: WETLANDS. SHORELAND AND FLOOD PLAIN DISCLOSURE, M,S.B,A, Real Propeny FoRO No, 8 (1997), is included as an addendum to this Purchase Agreement, ~d4 265 23. SEUER'S AFFIDAVIT. At closing, Seller shall supplement the warranties and reptesentations in this Purchase Agreement by executing 266 and delivering a Minnesota Uniform Conveyancing Blank [Form No, 116-M, 117-M, or 118-M) Affidavit of Seller, 267 . . . . . . . . '.'.'.','.'.SE~tER: :- :- :- :- :- :- M;rtihias Hilgers ~...... . . . . . N: . . . .. ., . . ., ," '.'.' '.SE~tER: :.:. :'~C, Hilgers .. "SSN: MilierlOavis èo,. St, Peul, MN-Form 1300 (1994; Rev. 1996; Rev. 1997; Rev. 2002) M,S,B.A, Real Property Form No, 1 Minnesota Standard Residential Purchase Agreement PURCHASE AGREEMENT I PAGE 4 26B 24. CLOSING. Closing shall be at tha office of Seller's lawyer, Buyer's title insurer, or at some other mutuelly egreeable locstion, 269 270 271 ,~~ {Stare other location:} New Hope Cir;y Hall 4401 Xylon Avenue North New Hope Minne.Ofa ~~428 At closing, Seller and Buyer shall disclose their Social Security Numbers or Federal Tax Identification Numbers for the purposes of completing state and federal tax forms. :t... 25. ADDITIONAL TERMS: * 14 EXAMINATION OF TITI E Buyer ~hall obtain at Seller'~ expen~e a Commitment for an Owner'~ Policy of Title InRurance on a current AI TA form i~~ued by an in~llrer licen~eel to write title in~urance in MinneRota Seller ~hall ~ re~pon~ihle for payment of tho~e co~tR nece~~al}' to prepare ~llch Commitment indueling hut not limiteel to ah~tracting fee~ name search fee~ ~ervice charge~ etc Buyer shall pay the premium for the Owner'~ Policy of Title In~urance Buyer shall have ten (10) hl..ine.. elay~ after receipt of the Commitment for Title In~urance to proviele Seller with a copy of the Commitment anel wrinen o¡jl'.ctions Buyer ~hall he eleemed to have waiveel any title ol¡jection~ not maele within the ten (10) clay period ahove exc<:pt that thi~ ~hall not ewerat... a~ a waiver of Seller'~ covenant to eleliver a stanttol}' Warranty Deeel, unle~s a Warranty D...ed i~ not ~pecifi...d ahove If Buyer ohtain~ title imuranc... Buy...r i~ not waiving the rig)1t to ohtain a gpod and marketahle titl... of recorel from Seller 275 276 277 278 279 2BO 281 282 283 284 285 286 287 288 289 290 291 292 293 294 295 296 26. ADDENDA. Attached ere ~ addenda which are made a part of this Purchase Agreement, 27. TIME IS OF THE ESSENCE. Time is of the essence for all provisions of this Purchase Agreement. originals of this Purchase Agreement. 28. MULTIPLE ORIGINALS. Seller and Buyer have signed (number) 297 298 299 300 THIS IS A LEGALLY BINDING CONTRACT, BEFORE SIGNING, CONSULT A LAWYER, Minne.ota law permit. licen.ed real estate brokers and .ale. agents to prepare purchase agreements. No recommendation or representation may be made by any real estate broker or seles agent as to the legal sufficiency. the legal effect, or the tax con.equenca. of this contract. The.e are questions for your lawyer, I agree to sell the property for the price and terms and conditions set forth above, I agree to purchase the property for the price and terms and conditions set forth above. BUYER: W, Peter Enek, Mayor City of New Hope (datel (date) BUYER: Daniel J, Donahue. City Manager City of New Hope (datel (date) This Purchase Agreement was prepared by: Jensen & Sondrall, P,A, 8525 Edinbrook Crossing. Suite 201 Brooklyn Park, Mirmesota 55428 Telephone: (763) 424-8811 Facsimile: (763) 493-5193 OthBrs who will assist S.lIer Dr Bu".r with this transaction: Lawyer For Buyer Telephone: Facsimile: (763) 424-8811 (763) 493-5193 Steven A, Sondrall Jensen & Sondrall, P,A. 8525 Edinbrook Crossing Suite 201 Brooklyn Park, MN 55443 (763) 424-8811 103391 Listing Agent and Broker for this transaction are: Telephone: Facsimile: NIA Selling Agent and Broker for this transaction .re: Telephone: Facsimile: NIA Miller/Davis Co" St. Paul, MN-Form 1300 (1994; Rev, 1996; Rav, 1997; Rev, 2002) Minnasota Standard Rasidential Purchase Agreement M,S.B,A. Real ProP8ny Form No.1 PURCHASE AGREEMENT / PAGE 5 Buyer's or Lender's Title Insurer: Old Republic National Title Insurance Company 400 Second A venue South MiJUleapolis. Minnesota 55401 Telephone: (612) 371-1111 Facsimile: Addendwn to Purchase Agreement between þãrfies dated sale of the property at 7605 Bass I .ake Road, New Hope Minnesota 554211 MiII_rlDevis Co, 0 5t, Peul, MN 651.642.1988 _øø-' Form 1519Y ADDENDUM TO PURCHASE AGREEMENT DISCLOSURE OF INFORMATION ON LEAD-BASED PAINT AND LEAD-BASED PAINT HAZARDS This form approved by the Minnesota Association of REALTORS", which disclaims any liability arising out of use or misuse of this form, 0 2000, Minnesota Association of REALTORS", Edina, MN Date - Page 2004 pertaining to the purchase and . Section 1: Lead Warning Statement Every purchaser of any interest in residential real property on which a residential dwelling was built prior to 1978, is notified that such property rru:ty present exposure to lead from lead-based paint that rru:ty place young children at risk of developing lead poisoning, Lead poisoning in young children rru:ty produce permanent neurological damage, including learning disabilities, reduced intelligence quotient. behavioral problems. and impaired memory, Lead poisoning also poses a particular risk to pregnant women, The seller of any interest in residential real property is required to provide the buyer with any information on lead-based paint hazards from risk assessments or inspections in the seller's passession and notify the buyer of any known lead-based paint hazards, A risk assessment or inspection for possible lead-based paint hazards is recommended prior to purchase, Seller's Disclosure (iJÚtial) (a) Presence of lead-based paint and/or lead-based paint hazards (check one below): 0 Known lead-based paint and/or lead-based paint hazards are present in the housing (explain), 0 Seller has no knowledge of lead-based paint and/or lead-based paint hazards in the housing. (b) 0 0 Records and reports available to the seller (check one below): Seller has provided the purchaser with all available records and reports pertaining to lead-based paint and/or lead-based paint hazards in the housing (list documents below), Seller has no reports or records pertaining to lead-based paint and/or lead-based paint hazards in the housing, Purchaser's Acknowledgment (initial) (c) Purchaser has received copies of all information listed under (b) above, (d) Purchaser has received the pamphlet Protect Your Family from Lead in Your Home, - (e) Purchaser has (check one below): 0 Received a 100daY opportunity (or mutually agreed upon period) to conduct a risk assessment or inspection for the presence of lead-based paint and/or lead-based paint hazards (If checked, see Section II below); or 0 Waived the opportunity to conduct a risk assessment or inspection for the presence of lead-based paint and/or lead/based paint hazards, Real Estate Licensee's Acknowledgment (initial) N/A (f) Real estate licensee has informed the seller of the seller's obligations under 42 U.S,C, 4852(d) and is ware of licensee's responsibility to ensure compliance, Certification of Accuracy The following parties have reviewed the information above and certify, to the best of their knowledge. that the information provided by the signatory is true and accurate, :::::::::Ma~ias Hilgers :::::"::.'SeJler Mi: :-:-:':-:~ C Hilgers ':-:-:':'8eller ' W, Peter Enck. Mayor, City of New Hope Date Purchaser Date '" , -. Daniel], Donahue, City Manager, City of New Hope Date Purchaser Date Real Estate Licensee Date Real Estate Licensee ction II: Contingency (Initial only if first box under Purchaser's Acknowledgment letter (e) above is c is contract is contingent upon a risk assessment or an inspection of the propeny for the presence of paint and/or lea - int hazards to be conducted at the purchaser's expense, The assessment or ins ' a I be completed within ten (10)/ - days after acceptance of the Purchase Agreement. This conti s II be deemed removed. and the -(strike olll one). the Purchase Agreement shall be tn and effect, unless purc real estate licensee assisting or acting on behalf of purchaser delivers to seller or real estate lice ' 'ng 0 on behalf of seller within three (3) calendar days after the assessment or inspection is timely completed a wr' specific deficiencies and the corrections required, together with a copy of any risk assessment or ins' n, If the sel e chaser have not agreed in writing within three (3) calendar days after delivery of the ' ist of required corrections that: r all of the required corrections will be made; or (B) the ~ es the deficiencies; or (C) an adjustment to the pure 'will be made, the Purchase Agreement shall cally be deemed null and void, and all earnest money shall be re purchaser. It is unders purchaser may UlÚlaterally waive deficiencies or defects, or remove this contingency, p . that the r or the real estate licensee assisting or acting on behalf of purchaser notifies the seller or real estate licensee or acting on behalf of seller of the waiver or removal in writing within the time specified, . ALE (9/00) WARNING, UNAUTHORIZEO COPYING Of THI8 FORM PROHlII1Ð>, "'... . ".... ; . MillerlDovis Co. co SI, PluI, MN 651-642.1988 M#Ç$-forrn 1519WD (Rev, 10/03) WELL DISCLOSURE STATEMENT This form 8pproved by the Minnesot8 Associ8tion of REAL TOR~, which disclaims 8ny liability arising out of use or misuse of this form. " 2003. Minnasot8 Association of REAL TOR~. Edina. MN 1, Date 2. Page 1 of ? Pages: THE REQUIRED MAP IS 3, ATTACHED HERETO AND MADE A PART HEREOF 4, Minnesota Statutes Sec. 1031.235.l"equires that before signing an agreement to sell or transfer real property, 5. Seller must disclose information in writing to the Buyer about the status and location of all known wells on the 6, property. This requirement is satisfied by delivering to the Buyer either a statement by the Seller that the Seller 7, does not know of any wells on the property, or a disclosure statement indicating the legal description and 8. county, and a map showing the location of each well. In the disclosure statement the Seller must indicate, for 9. each well, whether the well is in use, not in use or sealed, 10. Unless the Buyer and Seller agree to the contrary, in writing, before the closing of the sale, a Seller who fails 11, to disclose the existence or known status of a well at the time of sale and knew or had reason to know of the 12. existence or known status of the well, is liable to the Buyer for costs relating to sealing of the well and 13. reasonable attorney fees for collection of costs from the Seller, if the action is commenced within six years 14. after the date the Buyer closed the purchase of the real property where the well is located. 15. Legal requirements exist relating to various aspects of location and status of wells. Buyer is advised to contact 16, the local unit(s) of government, state agency, or qualified professional which regulates wells for further 17, information about these issues. 18, Instructions for completion of this form are on the reverse side. 19, PROPERTY DESCRIPTION 20, Street Address 760'\ Rass I.ake Road New Hope City 5542R Zip Hennepin CQlUlty 21. LEGAL DESCRIPTION: 22, 23. Trads A and Dr R"'gistered Land Survey No 114R, FIles of Registrar of TItles, ('.nunty of Hennepin 24. C'.ertifieate of TItle No 406625 25, WELL DISCLOSURE STATEMENT 26. (Check the appropriate box.) 27, 0 The Seller certifies that the Seller does not know of any wells on the above described real property, l, (If this option is checked, then skip to the last line and sign and date this statement.) 29,0 The Seller certifies that the following wells are located on the above described property, 30, 31. 32, Well 1 MN Uoique Well Year of Well IN USE NOT IN SEALED Well No, Depth Const, Type USE 0 0 D D D D D D D 33, Well 2 34, Well 3 35. NOTE: See definition of terms "IN USE." "NOT IN USE." and "SEALED" on lines 83-92, If a well Is not in use, 36. It must be sealed by a licensed well contractor or a well owner must obtain a maintenance permit from the 37. Minnesota Department of Health and pay an annual maintenance fee. Maintenance permits are not 38. transferable. If a well Is operable and properly maintained. a maintenance permit is not required. 39, OTHER WELL INFORMATION 40, Date well water last tested for contaminants: 41. Comments: 42, Contaminated Well: Is there a well on or serving the property containing contaminated water? YesD NoD 43, SEALED WELL INFORMATION 44, For each well designated as sealed above, complete this section. 45, When was the well sealed? 46. Who sealed the well? 47, Was e Sealed Well Report filed with the Minnesota Department of Health? YesD NoD 48. MAP 49, Complete the attached MAP showing the location of each well on the real property, 50. This disclosure is not a warranty of any kind by the Seller(s) or any Licensee(s) representing or assisting any 51. party/ies in this transaction, and is not a substitute for any inspections or warranties the party/jes may wish to obtain. ','.'.'.5~,.'.'.' ::::::::~:i,::~~TIFICATION BY SELLER ~ .~ hhias Hilgers .' .' . - .' :~~í¡¡r or DesIgnated RepresentatIVe) ::::::::~~,::~ER'S ACKNOWLEDGMENT 56, Test results attached? YesD NoD (Date) Myrna C. Hi!gers (Séller or Designated Representative) ¡!¡j(>}::: '." """"': '.'.. '.',',','.', :::::::~~:>~: WeB' Pete) r Eock. Mayor. City of New Hope Daniel J. Donahue. City Manager. City of New Hope uyer (Date) (Buyer) (Date) 57, MN-WDS-1 (10103) ORIGINAL COpy TO LISTING BROKER; COPIES TO SELLER. BUYER. SELLING BROKER WARNING: UNAUTHOtIIZED COPYING OF TMI8 - PRO~, WELL DISCLOSURE STATEMENT 58. Page 2 of 2 Pages, 09. INSTRUCTIONS FOR COMPLETING THE WELL DISCLOSURE STATEMENT 60, DEFINITION 61. A "well" means an excavation that is drilled, cored, bored, washed, driven, dug, jetted, or otherwise 62. constructed if the excavation is intended for the location, diversion, artificial recharge, or acquisition of groundwater. 63. 64. MINNESOTA UNIQUE WELL NUMBER 65. All new wells constructed AFTER January 1, 1975 should have been assigned a Minnesota unique well 66. number by the person constructing the well. If the well was constructed after this date you should have the 67. unique well number in your property records. If you are unable to locate your unique well number and the well 68. was constructed AFTER January 1, 1975, contact your well contractor. If no unique well number is available, please indicate the depth and year of construction for each well. 69. 70. WELL TYPE Use one of the following terms to describe the well type. WATER WELL: A water well is any type of well used to extract groundwater for private or public use. Examples of water wells are: domestic wells, drive-point wells, dug wells, remedial wells, and municipal wells, 71. 72, 73. 74. IRRIGATION WELL: An irrigation well is a well used to irrigate agricultural lands. These are typically large diameter wells connected to a large pressure distribution system. 75, 76. MONITORING WELL: A monitoring well is a well used to monitor groundwater contamination. The well is typically used to access groundwater for the extraction of samples. 77. 78. DEWATERING WELL: A dewatering well is a well used to lower groundwater levels to allow for construction or use of underground spaces. 79. 80. INDUSTRIAL/COMMERCIAL WELL: An industrial/commercial well is a nonpotable well used to extract groundwater for any non potable use including groundwater thermal exchange wells (heat pumps and heat 1. WII'ü¡:id;E STATUS ,2, Indicate the use status of each well, CHECK ONLY ONE (11 BOX PER WELL. 83. 84. IN USE: A well is "in use" if the well is operated on a daily, regular, or seasonal basis. A well in use includes a well that operates for the purpose of irrigation, fire protection, or emergency pumping, 85. 86, NOT IN USE: A well is "not in use" if the well does not meet the definition of "in use" above and has not been sealed by a licensed well contractor. 87, 88. 89, 90, SEALED: A well is "sealed" if a licensed contractor has completely filled a well by pumping grout material throughout the entire bore hole after removal of any obstructions from the well. A well is 'capped" if it has a metal or plastic cap or cover which is threaded, bolted, or welded into the top of the well to prevent entry into the well. A "capped" well is not a "sealed" well. 91, 92. If the well has been sealed by someone other than a licensed well contractor or a licensed well sealing contractor, check the well status as not in use. 93, 94, If you have any questions, please contact the Minnesota Department of Health, Well Management Section at (651) 215-0819 (metropolitan Minneapolis-St. Paul) or 1-800-383-9808 (greater Minnesota). f~. 95. ORIGINAL COpy TO LISTING BROKER: COPIES TO SELLER, BUYER. SELLING BROKER MiUer/Dovis Co.. St. Paul. MN 651-642-1988 Form 1519SS (Rev. 8/02) PRIVATE SEWER SYSTEM DISCLOSURE This form approved by the Minnesota Association of REAL TORse, which disclaims any liability arising out of use or misuse of this form. e 2002. Minnesota Association of REAL TORse, Edina, MN 1. Date 2, Page 1 of 2 Pages: THE REQUIRED MAP IS 3, ATTACHED HERETO AND MADE A PART HEREOF 4. Property located at 7605 Bass I.ak... Road 5, in the City of New H<1p8 County of Henn<:pin State of Minnesota, legally described as follows or 6, attached sheet (the .Property.) Tra.,t~ A and H, Hagj~"r.d Land Surv"y Nn 1148, FlIe.~ nr R"g~rar nr Titl.s, County nr 7. ""nnapin - Certlfi""t" nr Titl" Nn 406625 8, This disclosure is not a warranty of any kind by the Seller(s) or any Licensee(s) representing or assisting any Party(s) in this 9, transaction, and is not a substitute for any inspections or warranties the Party(s) may wish to obtain, 10, BUVER/S) AND SELLER/S) MAV WISH TO OBTAIN PROFESSIONAL ADVICE AND/OR INSPECTIONS 11, OF THE SEWER SYSTEM AND TO PROVIDE FOR APPROPRIATE PROVISIONS IN A CONTRACT BETWEEN 12, BUVER/S) AND SELLER/S) WITH RESPECT TO ANV ADVICE/INSPECTION/DEFECTS. 13, SELLER'S INFORMATION: The following Seller disclosure satisfies MN, Statutes Chapter 115,55. The Seller discloses the 14. following information with the knowledge that even though this Is not a warranty, prospective Buyers may rely on this 15, information in deciding whether and on what terms to purchase the Property. The Seller(s) authorizes any Agent(s) 16, representing any party!s) in this transaction to provide a copy of this statement to any person or entity in connection with 17. any actual or anticipated sale of the Property, 18. Unless the Buyer and Seller agree to the contrary in writing before the closing of the sale, a Seller who fails to disclose the 19, existence or known status of an individual sewage treatment system at the time of sale, and who knew or had reason to 20, know of the existence or known status of the system, is liable to the Buyer for costs relating to bringing the system into 21, compliance with individual sewege treatment system rules and for reasonable attorney fees for collection of costs from the 22, Seller. An action under this subdivision must be commenced within two years after the date on which the Buyer closed the 23, purchase of the real property where the system is located, 24, Legal requirements exist relating to various aspects of location and status of individual sewage treatment systems. Buyer is 25, advised to contact the local unites) of government, state agency or qualified professional which regulates individual sewage 26, treatment systems for further information about these issues, 27, The following are representations made by the Sellerls) to the extent of the Seller!s) actual knowledge, This information is a 28. disclosure and is not intended to be part of any contract between the Buyer and Seller. 29, PRIVATE SEWER SYSTEM DISCLOSURE (CHECK THE APPROPR/A TE BOX) 0 The Seller certifies that the Seller does not know of any private sewer system on or serving the above described real property. (If this option is checked, then skip to the last line and sign and date this statement) 32, 0 The Seller certifies that the following private sewer system is on or serving the above described real property, 33, TVPE /Check appropriate box(es} and indicate location on attached MAP} 34, § Septic Tank: 0 with drain field 0 with mound system 35, Sealed System (holding tank) 36, Other (Describe): 0 seepage tank 0 with open end 37. Is the sewer system(s) currently in use? Yes- No-"- 38, NOTE: If any water usa appliance, badroom or bathroom has been addad to tha Property, the system may no longer comply 39, with appHcabie sewage treatment law. and rules. 40, Is the sewer system(s) in compliance with applicable sewage treatment system laws and rules? Yes- No- 41, When was the sewer system installed? 42, Installer Name/Phone: 43, Where is tank located? 44, What is tank size? When was the tank last pumped? How often is tank pumped? 45, Where is the drain field located? 46. What is the drain field size? 47, Describe work performed to the system since you have owned the Property: 48, 49, Date work performed/by whom: 50, Is sewer system entirely within Property boundary lines, including set back requirements? 51, Is the system shared? How many units on system Annual fee? 52, Comments: . On this Property: 54, Approximate number of: people using the sewer system - showers/baths taken per week - wash loads per week - 55. Distance between well and sewer system: 56, Have you receivad any notices from any government agencies relating to the sewer system? Yes- No ~ 57. If .V..., see attached notice. MN-PSSD (81021 ORIGINAL COpy TO USTING BROKER; COPIES TO SEUER, BUYER, SELUNG BROKER WAIINING: IINAUtHOIUZED COPYING OF T*8 FORM PROI8ITEJ). Fonn 1519SS IRev,S/O2) PRIVATE SEWER SYSTEM DISCLOSURE 68. Page 2 59, Are there any known defects in the sewer system? If yes, please explain Yes- No- 62, 63, SELLER'S STATEMENT: (Fa be signed at-time of listing) : : ::: : : ~(: :~ 1:We, Sellerls) of the Property acknowledge the above Private Sewer System Disclosure and MAP and euthorize Listing Broker to disclose ::::~::¡;~ information to prospective Buyers. :::::::"'::~Ierl Matthias Hilgers :::::::::::::::: (Seller) Myrna C. Hilgers IDate, IDate' 67. BUYER'S ACKNOWLEDGMENT: (To be signed at time of purchase agreement) 6B, I/We, the Buyer(s) of the Property acknowledge receipt of the Private Sewer System Disclosure and agree that no 69, representation regarding the condition of the Private Sewer System have been made, other than those made above. LISTING 70. BROKER AND LICENSEES MAKE NO REPRESENTATIONS AND ARE NOT RESPONSIBLE FOR ANY CONDITIONS EXISTING IN 71. THE PRIVATE SEWER SYSTEM, 72, IDatel (Suyer)W. Peter Enck, Mayor IDate) ISuyerlDaniel j, Donahue. City Manager City of New Hope City of New Hope 73. SELLER'S ACKNOWLEDGMENT: (To be signed at time of purchase agreement) 74. AS OF THE DATE OF THE ACCEPTANCE OF THE PURCHASE AGREEMENT, I/We, the Seller(s) of the above Property, agree :::::: :~j¡;: ~tï~( ~e condition of the private sewer system is the same as noted above, including changes indicated above which have :': ': ' )&:: tieéri Initialed and dated, .~~~atthias Hilgers :,°.'.'.'.'.'.'.'. :,'.'.'.'.'.'.'.'. IsellerlMyrna C, Hilgers IDete' ID..el 7B. ORIGINAL COpy TO LISTING BROKER; COPIES TO SELLER. BUYER. SELLING BROKER MHlerlDevis Có.,o St, Paul, MN 651-642-1988 ,..,-- Form 1519 MAP (Rev, 7/941 PRIVATE SEWER SYSTEM AND/OR WELL LOCATION MAP This form approved by the Minnasota Association of REAL TORS., which disclaims any liability arising out of usa or misuse of this form, Date Page 1 of Pages 2, Please use the space below to~ketch the real preperty being sold and the location of each - SEWER SYSTEM - WELL on the Property, (check all that apply) 3, Include approximate distances from fixed reference points such as streets, buildings and landmarks, 4, Property located at: 7605 R... l.ake Road New Hope Minne.or. 55428 5, .. - - -. - -. .., , .... . , . . -:'1'.' .'. :}}:~!~~:and Buyer Initial: . . . .. . . . ........ . Seller(s) ATTACH ADDITIONAL SHEETS AS NEEDED Buyer(s! 7. MN-PSSWM (7/94) ORIGINAL COpy TO LISTING BROKER; COPIES TO SELLER. BUYER. SELLING BROKER WARNING, UNAUTHORIZ£O COPYING OF THIS FORM PROHl8l1£D, MLS ¿.. .ce., '."'. ..j,"~." .', . . ". . ...,. ----__..:__...r.¡,i'i,,;..'--- . -....------- -----.-. ~~:o~ -_u .._. 1-) f~ ì --J Pro riding Quality Appraisals for Busy Lenders Client: DATA SUMMARY City of New Hope/Ken Doresky 4401 Xylon Avenue N, New Hope, MN 55428-4898 Borrower: NIA Address: Value: Date: 7605 Bass Lake Road New Hope, MN 55428 $158,000 December 4, 2003 Appraiser: Gregory V. Callahan, Cert Resl Real Prop Client File: Forsythe File: . Hilgers 30120320 FO RSTIRE APPRAISALS, ILC ~l ~ l.J1 LI'¡ 'Lrl- "--""_"",U""",."".",.""--",.".",,,,- - . , , 222 EAST LITTLE CANADA ROAD. ST. PAUL, MINNESOTA 55117 (612) 486-9550 I FAX: (612) 486-9732 PrOD8/1y Description ProDertv Adaess 7605 Bass Lake Road Orv New Hope State MN Zoc CoO<' 55428 leaal Desa1ollOn Rea Land Survev No 084B Tracts A and B CoU"" Hennerlln Assessor'SPa-teINo 0511B2133008B Tar~ear 2003 RE Taxes5 929.02 Soe~~_nrsS NQ!!£.- Borrowe< N/A Current ()wneo Hilaers OCCUDant X .:w.P' lenar: la03-" .. PrOoerTv non IS aDeralse: X Fee S,ma', LeasenoIO I Prolec! ÌYDe Pt.':- Conoo""nlum (HUD,\A 0", HJ~- None '\\- NelOnoornoooor Prolect Name N/A MaoReferenee C1-91 GensesTra:! 5120-02150; Sale Pnce 5 N/A Date of Sale N/A DesenDtlOn ana 5 amount at lOan CI'Ia-oes:conceSSIors to oe oa.a ~-"'"'!_"'(~. - --- Lencer/Cllen! Citv of New Hope/Ken Doresky AO<7ess 4401 Xvlon Avenue N New Hope MN 5~2B-4B.98 AOer.,... Greaorv V. Callahan Cert Res! Real PrOD Aaoress 222 little Canada Road. little Canaaa MN 55117 locallOr- - U'Da- J:i Suouroa- = Rura Predominant SIngle lamily housIng "'--1M1O use'" Land use change- Built up ,~ Over 75\, 25-75'. = UnDer 250,. occupancy ~I~~: ~: \Xie tam" 60~c ¿< Net ".., - c". . Growth rate -, RaPIC K Slab.e = 510.. K .:w.e' 95 lO.. 1 2-4 la"" _5i,: - '1eroces.; Proper!vyalues :E Inaeasln> StaPle - DeClining ienar: 350 Hrc' 65 ""~>ram.. - 15(;-". 10 !'Ipl_App~cabJe DemanOisuPP'Y -' Snonage E noamœ : CMrsw, K vlar1!l()'5'^, Preoomlnr ~ommer",,- -.l9_"'-____----- MMcetlnatlme X lJrIœ-3mos - Hmos Oyer 6 mos """'-" 1BO 35 ,Vacan~____- -- -- ---- Hote: Race and the racia' composllton 01 the nelghborhood..e notappra¡sal lactors, Nelghoornooa Oounaanes ana cnaractenstlcs The sub/eel's nelohborhood bounaanes are Brooklyn Par./UO tne nOrTn GQlaen Valle}. t;:' : the south, County Rd 81 to the east and Hlahway 169 to the west ThIS IS an establlshea area .--- . Factors Ihal affecI Ihe markefabrlltv ot tne prODert,es In Ine nelghoorhooa (prOXImity to emOloymenl ana amemlies emDloymert Staa,,:, aDDea' to mark., ef: . Bass Lake Road IS an established resIdential street Countv Road B1 a local traflrc arTery IS within one mile ana ofters ~ access to shoPPlna. schools. employment centers. freeways. ana recreation Property valuesr,~"e_be~~J.¡'cieasJ~- Demand for the area IS good Improvements do conform to the surroundlno hOmes The nelQtlþorn_o.od has np apparen: adverse factors affectlno tne subJect's marketability See attached for additional comments UNIFORM RESIDENTIAL APPRAISAL REPORT Hilgers FileNo 30120320 I , -- Market COndItions In the SUOject nelgnoornooo (inclualng suDPort for Ihe aDove conClUSions relatea to Ine Uena of erooenv yalues aemano,suOD". ana marKefrOa tlm,. -. such as data on comDelrtrye Droperlles for sale In tne nelghborhooa. OeSCflDtron of the preyalence of sa res ana IlnanClna concessoos efo For the subject's MLS marketlna dlstnct #362 MLS statistics indicate that B740% of all IlstJl}£s_~re~sejling wrthan -- average marketing time of 31 days Sellers are receiving 99,24% of the asking prIce Flna~c:lng _a_lJ_he_prese~l"me IS readily available from a vanetv of sources, which benefits both potential buyers and sellers . Projectlnformallon lor PUPa (II apOlicable,.. IS tne OeyelOper/bullaer In conlrol 0/ Ine 110me Owners' ASSOClalion (HOA, - Yb - NC ApproXlmale 10lal number 0/ Units In Ihe SUbJeCI Dro,ec: N/A AperoXimate lotar number 01 units lor sa,e In Ine suOlect Dro,ec: N/A Desalbe common elements anc recreallonal faclhtres Not Applicable o.menSIOns 75x202 Topagrapn, Slopes Gen~- Sllearea Approx_15150SQ.Ft (per county) Corner lor _'~es ~ No Sile Abv.Avo/15,150SF SpecIfic zonIng Classilication ana descrIption CB Community Business Shape Rectanoular Zon"'!! c:omølrance IKJ legal =, legal~(Gtandfa1lweouse) _I Illegal -' Nozonlng [Xarnage ~deQuate HlQhest & beSI use as ImorDYea IX, Present use: .other use (explain) N/A Vie.. Res'.Qent&A:>anme,!!s__- Utilities Pubhc Of her Off-sltelmprove_nts Type Public Pr,yate LanascaI>ong IYplcal EIeCITIOty !2S,1 60 AMP Fuse Sueet Bituminous I~ = [X,yeway Surface AsP-halt Gas ~, Curb/guner Concrete iR - ApDarenleasemenls Normal Utility Waler!!" SlOewalk Concrete ,K = FEMA SDeCial FlOOa Hazara Alea '~es IX No Santlary sewer !!, SUeelllghlS Yes :K = FEMA Zone "X" Map Da';; 3/30101 Storm sewer IX , Allev None FEMAMapNG 27053C-0192E Comments (apparent aaverseeasements, enaoaChmenls. speCIal assessmenls, shoe areas, Ihegal or legal nonconlormlng Zoning use. elc ) Improvements face north, Landscaping is typical. The subject has a residential and @partment view. It is above average In site SIze-- and land to value ratto, TvDlcal easements have been considered to estimate the market value GENERAl DESCRIPTION i EXTERIDRDESCRIPTIDN FDUNDATlDN BASEMEN, INSULATIDI> No. olUnrts One! FounaallOn C,Block Slab No Alea Sa FI 290 Roo' C_Qn~ IX No 01 Siones One I Exlerror Walls Brick&Metal : OaMSøaœ 65% % Flntsnea Unfln CeIling Conc IX Type (Det./AtI) Detach I Roo/Surface Asphalt I Basemenl 35% Ceiling N/A WailS Çonc 'x DeSIgn (Style) Rambler: Gune<s & Dwnspts Metal &m> Pur.., No Walls N/ A Floor Conc - (2< EXlStlnglProposed Exist I Window Type D_Huno Damoness None Noted Floor Concrete None Age (Yrs) 51 Years: Siorm/Saeens Storms Salliemenl None Noted ,00ISldeEn~ ¡;¡o---- u..- -- ~ EffecilYeAaelYrs) 12 Years I ManulactureaHouseNo 'Intestatloo None Noted 'CopperPlumbino Conce~- . ROOMS Foyer I lMnQ o.ntng Kitchen Den' Family Rm Rec Rm Becrooms # BaIns Launory Dlhe' Alea :'0 F! Basement leYel1 ¡ 1 1 0 . le",12 I I 2 1 X Utll 831 . I J, ': 0 . Finishea area.a.o... arlde oonlalns 4 Rooms 2 Beáoomlsl 1 Bath/sl 831 Souare Feet 01 Gross llVII10 Ale? . INTERIOR Mal8flllsiCondotlO I HEATING I KITCHEN EQUIP I ATTIC I AMENITIES , CAR STDRAGE Floors CpWnl-Ava I Type FA I Refrigerator ~ I None - Freplace(s) # - ,None . Wails. Drywall-Ava, I Fuel Gas I RangeiOvenlP! I Stars = 'PatIO - = Ga-age:;- TrwnlFlIIIIh HardWOod-Good I CondItIOnAva IIÃspooaI ,'I I [Xap Star F, I Oed< = Bath Floor Vinyl-Good I COOLING ~ ~. ¡ Scunle IX: I Porch = ::::: Bath W8nscot Flberalass-Ava, ! GenU. a' No FanlHood .,' I Floor I .: .' Fence .; BUIlt-in Doors, ,Flush-Good Other N/A ~ ¡Healed :=: I POOl -I Intenor IS aDDflalina, I ConábcnN/A Washerl!her I F ¡"._" Î: ~ I Carport . m_~ , I I Dnyewav 2 Wide Acfd¡tlOnal teall6.. (splCial energy efficlenl IIlms, elc.) The subject has an averaae efficiency cas forced air heatlno system The extenor walls are bnck and newer steel sidina, See attached comments for additional features, ' Condition 01 the improvements depreCIatIon (phYSIcal lun I I d xl I. . js an averaae oualitvtwo bedroom rarriblecr ii" an, e erna ~,~~paws n..dld, qUality ~f construction remOdellng/aaalllons. ItC. The subl~ . ':~:f~o~~~~~e~~:o;n:~~~~ ~~~:~:n:7~::~1;~ ~~t~~~~h~dnd~I~; ~~~r_:,~r:~~:'~za: ~~'t~:~:~r~c:; ~~~n Adverse Inwonmental conditIOns (such as, but not limIted to, hazardous waatls, toXIC substances et ImmedIate vicinity 01 the aub,ect properly: Per visual insDection knowtedae of the åre~) ~~dn~.ln the ImprOYlmenls, on the alte, or In the are no adverse environmental conditions noted, ISCUsslOns WIth local realtors there -........."'..., PAGE1OF2 -..."",- """'",,--- # 01 cars 1 Car ,-............. .." = ~ DENTIAL APPRAISAL REPORT 55,000 Comments on Cost Aooroacn Isucn as source c' cost estimate Slle value, souare toot calcUlation ana tc' HL': VA ana f'mH':' tnf estlmatea ramalnlng economiC hIe 01 the orooer!> . The site value as vacant IS based on marKet tre~~!; -- Total economic life of 100 vrs -- File No Hilgers 30120320 Valu8tlon Sactlon ESTIMATED SITE VALUE. . ESTIMATED REPRODUCTION COST-NEW OF IMPROVEMENTS DwelllI1g So Ft. @$- = $ SoFt @S- : UNIFORM RES I 0 0 .. . GirageICðoor'. - So F t : T Olal Esnmated Cost '-e.. less Physical! FunctlOna .. IJeø'eoatIon Depreaated Value of unprovements "As-is" Value of Site Improvements INDICATED VALUE BY COST APPROACH = ~ N/A ITEII SUBJEC, COMPARABLE NO , COMPARABLE N: : 7605 Bass Lake Road '5349 Pennsylvania Avenue 5400 WIsconsin Avenue Aø()"ess New Hone New Hooe New Hooe Pro,uMV to Sublee! Annrox. 1/4 Mile Annrox. 1/3 Mile SaiesPnce 1$ N/A: $ 149.900 S Pnc:eIGossLNÞtea 1$ 0.00 :: ~ 152,34 :: ~ 239,88 :: Dataandlor ¡Inspection! MLS/County I MLS/County VenficatJOn Sources I CountY Info I 18 Davs on Market ! 9 Davs on Market VALl.EÞlUJSThÐITS DESCRIPTION DESCRIPTION 'I.IS_' DESCRIPTIO/l; Sales or Flnanong N/A ; Conv/O Pts . Conv/O Pts ConCllSSlOns N/A : Bv Seller : Bv Seller Date 01 SaielTone IN/A Clsd 11/03 ' Clsd 6/03 locatIOn I Suburban ! Similar Neiah. Similar Neloh ~- ¡ Fee Simnle : Fee Simole : Fee SlmDle SIte i 75x202 180x13211nf. 5,000 79x120/lnf. VIeW I Res &Ananmenls I Similar View : Park View/Suo. DeSIOn and An""al I Rambler/Good I Rambier/Eol I Rambier/Eol. CUilvolCa1orucllcr1 Averaoe Qual. Similar Qualitv I SImilar Qualitv Ane 151 Yrs. 151 Years : 50 Years ConditIOn Ava. to Good 1 Similar Cond. Iinf. Cond. AIIove Glade I T... : ...... ...., T......... _. I T......... ...., Room Count 25 4, 2 1.00 5 2 1,00. - 4 2 1,00, --- 5 3 1.00 . Gross LMno Piea 831 ~.Ft 984 50Ft -3,800 642 So Ft 4 700 858 So F! Basement&Fnshed 35%of1stFL INone 1.000 I Full -1.500,Full .. Rooms Below Glade Unfinished IN/A 01330 So Ft Fin -3300' 120 So Ft Fin : FunctIOnal UloIitv Averaoe Util. I Similar UtilitY I Similar Utility I Similar Utility HeatloclCoollnn Gas FA I Gas FAiCA -1 500 ¡ Gas FAiCA -1.500 Gas FA .. EnøavEfliaenlitems Concealed: Unknown I Unknown I Unknown Ga-aoe¡r"""";- 1 Car Garane 1 Car Garaoe ' 2 Car Garaoe -3 000 : 2 Car Garaoe . Porch, PatIO, Deci<., None I None I None I Patio Frenlaoo/s\. ete None I None I None I None Fence, Pool. ete N/A I N/A IN/A ' N/A Other N/A ¡ N/A I N/A I N/A Net Adi. ttotal\ i IXi. I ,- : s 700 I IX' + '$ 1400 ' IX. : $ AqustedSalesPnce IGrœs: 8% IGrœs 16% !Gross: 7,00% 01 Cornoa-able I Net: 0% S 150 60O I Net: 1% $ 155400lNel -0.75% S 158,800 Comments on Sales Companson (oneludlng the sub)eet property's compatibility to the neighborhOOd. ete) Room count adlustments are Included In the GLA adjustment onlv. GLA adjustments are made usinn $25 oer snuare foot. Bath room adJustments are made usino $3 000 Der full bath and $1 500 oer 1/2 bath, Basement area adlustments are made USlrlO $10 oer finished sQuare foot. See attached information for discussjon of sales comDarison adjustments. : @S- : 0 : S 0 EXtern. Est Remaining Eoon. life :~ 0 = ~ - . 0 = $ :C>II':ARA5cE ,,-' ~ 5:25 Pennsvlvanla AvenUE New Hope- ----, ADcrox'1/4Mlle - : . - --_u_------:¡SO OQC' : 154.000 "..S_' ;,------.1~64S .' MLS/County 14 D~s.on MarKe~- DESCRIPTIO" " ,s...",....... Conv/O Pts Bv S.eller Clsd 7/03 Similar NeIQ~~, . F~lmple 5.000 75x135/lnf -2.500 Similar View , Rambler/EQI Similar Quality 51 Years 3,500 Similar Cond , 5.000 -- --- .1... --, -, ___n -1,500 -1 200 -3 OOQ -500 1 200 ITEM SUBJECT i COMPARABLE NO.1 COMPARABLE NO 2 COMPARABLE NO 3 Date. PrIce and Data N/A I See Comp Sales Grid I See Comps Sales Grid . See Comp Sales Grid Scuœtr¡nrsales N/A IN/A IN/A IN/A v.itI1In-of........., N/A I MLS/Countv Records I MLS/Countv Records I MLS/Countv Records Analysis of any CllTllnt agreemenl 01 sale. optoon, or listing 01 the sub¡ect øroøeny and ana/ysls of any ¡nr sales of subect and czxrø¡nbIes """"" one yea- af the date oIappraosai Per local MLS listino information and countY records the subject has not been listed or transferred In the Dast 36 months, INDICATED VALUE BY SALES COMPARISON APPROACH S 8INDICATEDVALUEBYINCOMEAPPROACHtw.--.> Esbrnat.d'~tRe,;t.$' . N/A fWIO ~GtossRenI"'- N/A =$ ThIS apprllSli is made ~ .. "as is" U IUbect to the ~ IIIInIIons.I\SØ8CIIOnS or anIobons Iosted below ~; SUbect 10 am>Ietoon Ø8' plans and søeaIIcatoons ConcitoonsofAølnis8: This aPDraisal is being made "as is", This is a "Summary ADPraisal Report". No liabilítv is assumed for the structural or mechanical elements of the Drooertv. FinalRaconciliatoon: Indicated value bv sales comDarison: $158000, The sale comoarison best reflects the actions of the I tvoical buver, The cost SDDroach was considered but not considered aDDlicable therefore it was not included. The .. income aDDroach was considered but not used due to limited market data. , The P\IPOS8 oIlhis apIIWII is to eatrnatelhe mnet value at the rail øroøeny that IS the subject 01 thIS report. ~ on the above oondltJOnS and the ar1IficaIoon. CX>lllII1gent and /mitJng candíIions, and rnerIIet value definttoon lhatn Illlledl1thellll8ched F18ddIe Mac: Fam439tf..,. MaeFam I004B(RewIed 6/93 ) .. I WE) ESTIMATE THE MARIŒT VALUE, AS DEFINED, OF THE REAL PROPERTY THAT IS THE SUBJECT OF'nISREPCIRT. AS OF December 4. 2003 IWHICH IS THE DATE OF IN8'ECTION AND THE EFFECT1VE DATE OF 'nIS REPORT) TO BE S 158.000 , . ~~ ~ t/ ~ ~ APPRAISER (ONLY IF REQUIRED): Name Gr~~V, Call;ha~. C~esl Real Prop Name Date R8IIOfI Signed December 4. 2003 Date Reøort Signed Slate Certification II 4002346 State MN Stale Certilicaloon II Or State Lìoense II Stile Or Stale License II 158 000 0 Oo.a ODld Not Inspect Property ---,...., PAGE2OF2 -....""_..",.,,,--- Forsythe Appraisals, LLC State State F__F...._~., (",',,>,' Z, :55428 StMN ;.",. - ~ ~ ;po ,~ ~r;'" ~~.~ if-, ~mr-~ '4. . --.... " .. , '¡':} ~V '::1 "." " . I' FRONT VIEW OF SUBJECT PROPERTY -"".".., "L'-.. '~:..._-- ~. r. -~ þ.....-- --- .'_.,' - ,-- ~ ~: ,,/ -. REAR VIEW OF SUBJECT PROPERTY '-, .. STREET SCENE I!!:.- lIP,"', ~~-=. ~ , . ,. ..,- @ 1<. . JI_.j~'¿~'r. .. '~ . -" -r, -- Sf: MN ZI :55428 $ ~¡..-~..,... i.~ n"'- 1 \ .....- ,~ !" ~. ." .. . \ ,','. \ ~. ;~::.:::~. . - ..' . , "t-. . ' ;¡,., ....." ~ ". ---- ._H . '." ',.. -. ,.,..-...L:.... -* ~ ¡-. " ..~ ~~ðl' :: ;- ~~::: ï --J .1. ..-. I . . . t"" \ .....' i:.. "'~ . .,~;'- ~~- :.~ - ~~~.- . ' ,. - a "~- - ~- .fit t -. \'~:L<. r-~ I ' , . -å . i I ..' --.;.... , .. - ..-' -c.:.. -..- \ ,. , ... . ~ . J j I ! ¡j I ~ Sf: MN Z, . 55428 ~-'- , . - ..;.., .. -. -- ._-----,'. - -' ---- '- . ." .... ~. .At- J.- - ..- . ~. ~..~~.....-.-_.-eX' .-' '- .-:.--_:..:.:..~.~::':::'"'":'.':-; ..,.,.,.~-..L.".-=-,- -------- -. ---. -..' ---- '. r '\1\ .: . ' .'-- '\ ,~ . ,':/ \\' .'. , \ '- ---~ ~.. , ., "" . ~,. .""S' ";'~";..~- "';'~., fl- " ¡a.~ B , . .---- -- _._-- -,:' .:.,- . -', . , .~ .. ": ., w' .' . . ..;". l . '\. , , ":~\'i ,"'.J.: i ..i .1' "., ~ 1 . ¡ ,3>\'.'1" .. ,~~~ 17:. .. " \ '['2., \\. ,¡,f. V2 , . . .1-;;, , .;j: .' . ".--" -!' ~.~r....... -.'.". . - ...., "'-... . ',' COMPARABLE SALE #1 5349 Pennsvlvanla Ave"", New Hope COMPARABLE SALE #2 5400 Wisconsin Avenue New Hope COMPARABLE SALE #3 5225 Pennsylvania Avenue New Hope ADDENDUM Borrower. N/A ProperTy Address 7605 Bass Lake Roaa Crt,.. New Hope Lender Crty of New Hope/Ken Dores.y Stale M'" F,le No 3012032C Case No Hltger$ Zip 55428 ADDITIONAL FEATURES: In addition, the subject has: an attached one car garage CONDITION OF THE IMPROVEMENTS: Recent improvements per homeowner - new hot water heater. newer steel siding. newer roof and newer driveway. The subject has .been Inspected for physical, functIonal. and external inadequacIes The subject has no apparent functIonal or external obsolescence. COMMENTS ON SALES COMPARISON: All comparables have smaller lots and are inferior in site value. Comparable two faces a small park and IS considered superior in view amenity As noted durIng a drIve by inspection and also In it's MLS listing comments, it is inferior In condition. TRANSMITTAL LETTER: The subject was inspected on December 4,2003. The estImated market value as of December 4. 2003 (effective date), is $158,000 The property was appraised by Gregory V. Callahan. LIcence Number 4002346, Certified Residential Real Property Appraiser. A certified residential real property appraIser may appraise resIdentIal property or agricultural property without regard to transaction value or complexity. This appraisal report is a "Summary Appraisal Report". It conforms to the 1997 Uniform Standards of Professional Appraisal Practice. No responsibility has been assumed for matters which are legal in nature, nor has any opinion on them been rendered, other than assuming marketable tItle. Liens and encumbrances, if any, have been disregarded and the property was appraised as though free of indebtedness. Please feel free to call us if you have a questIon. ADDITIONAL COMMENTS: 1. The purpose of the appraisal is to estimate the market value of the subject property for litIgatIon purposes. 2. The legal descriptIon of the subject property can be found on page 1 of the 1004 form. 3. The reasonable marketing period for the subject property is under 90 days. 4. According to the county and the MLS system, the subject property has not been transferred in the past 36 months 5. The subject property was inspected on December 4, 2003, the report was prepared on December 4, 2003, the effective date of the appraisal is December 4, 2003. 6. The subject is an existing structure. This appraisal is made "as is." 7. Personal property was not included in the appraised value. 8. We have considered all three approaches to value. The income approach was not utilized due to lack ~f reliable rental data of single family homes in this neighborhood. The cost approach was considered but not considered applicable, therefore it was not included. 9. The subject is a single family residential property. Revenues. expenses, and/or vacancies do not apply. Acldenøum P- , or 2 I Borrower N/A Prooenv AOoress 7605 Bass Lake Road C~v New Hope LenOer C~y 01 New Hope/Ken Doreskv ADDENDUM Sfate M" File No 3012032, Case No Hlloer'$ Z,> 5542f 10. Current and future employment or compensation IS not contingent upon the reporting of a predetermined value or dIrection In value that favors the cause of the client tne amount of tne value estimate. the attainment of a stipulated result or the occurrence of a subsequent even: 11. This appraisal report was completed In conformity with the UnIform StanDarDs of Professlona; Appraisal Practice 12. If the photos Included In thIs appraisal are digital/electronic Images they nave not been enlargeD enhanced, or altered In any way. 13. If electronic/digItal sIgnatures are used. It has been ruled acceptable appraisal practice by USPAP 14. The appraIser certified that if this appraisal Included an electronIc/digital signature It IS maintained and controlled by the appraiser completIng the report GC AdcIenøum PIe 2 of 2 DIMENSION LIST ADDENDUM State: MN File No 30120320 Case No: HilQers ZI 55428 GROSS BUILDING AREA (GBA) 1.139 GROSS LIVING AREA (GLA) 831 Nea(S) I NO. I "" of G8A lrmg 831 72.96 level' 831 72.96 level 2 0 0.00 level3 0 0.00 Other 0 0,00 I Basement 0 I 0.00 Garll90 308 27.04 Area Measurements Area Type Menuremento Factor Total Level 1 Le...12 Leve' 3 -29.QQ x ~ x ...1..QQ ---12.QQ x --1!U1Q x ...1..QQ : --ZZ..QQ x ---H...QQ x ...1..QQ : x - X - X - X - X - X - X - X - X - X - X - X - X - X - X - X - X - X _ : 71050 12000 30800 x_x- X_I_: X_I_: x_x- x_x- x_x- X_I_: X_I_: "_"_: X_I_: x_x- X_I_: X_I_: X_I_: X_I_: X_I_: X_I_: X_I_: _x _x x_: x_: X_I_: X_I_: X_I_: _x X_: X_I_: X_I_: X_I_: X_I_: X_I_: X_I_: X_I_: X_I_: _x X_: X_X_: _x X_: X_X_= X_I_: X_I_: X_X_= X_x_= X_x_= '..---...""'----........ Other I 8oml Garage n H I'; -- ¡ 1 ~ ~ ,-¡ /'""¡ n '"'"' FLOORPLAN File Ne 30120320 Case No . HIIQe~ ZIP 55428 14.0' Utility Ln I'- Bedroom Laundry 10.0' Kitchen :. Bath a Den N ..- Living Room Garage Bedroom ~ 10.0' ^ LO 29.0' Ït:! ~ N 29.0' Skelch by Apex IV Windows'" AREA CALtULATIONS SUMMARY Cod. D..mlllion SI.. TO18I. GL.\1 Fuo< Floor 830.50 8JO. 50 GAR Gar- J08. 00 J08. 00 TOTAL LIVABLE (roUnded) 831 Slale: MN a N N 14,0' LIVING AREA BREAKDOWN 8,..kdown SubtO18I. Fuo< Floor 20.5 . 29.0 710.50 10.0 . 12.0 120.00 2 Areas Total (rounded) 831 222 EAST LITTLE CANADA ROAD, ST. PAUL, MINNESOTA 55117 (612)486-9550 I FAX: (612) 486-9732 -.~ ...' " . i , I .of , i , -,} '-", -. \ .... - . 1 . .. --. -.. .." .'~ïi ïiffjï"'55r~ ," ŸË - '-' Ñ - jïïi'ìïf . . .. --:.=--.._~.. ~ ~ : ~ , : :; . ':: ~ It') i !!; 2 i 7615 jg ,...; . " ;¡'. . ~,' .._..:....,. .--.-....) ! ¡ 8:¡ :._.--~ ,... ': ./ 7708 .: ,,~ ~ 760Si : ,'.. \ ! :"-'.'.-'-"-"----'-----"-'--- AVE N ..-.....-.-....-.-" - -.-- -...- --..-,-": : ~ ~ I : : ;. ~ ; 5437 i i S436 j 50437 r . ' " . ' .... .-._. ....,¡-_...... -j 1...- --w... .--...-. i " : " " 5437 iz ~ 5438 i 5433 ¡ Zi S434 .: 5433 ~ . . ., r -..--.-.-. ..._---....~----..-f ~-------i 5429 }W! 542š"-¡ 5429 f LIJ ~ 5430 i 5429 ~ ..__...._u~~ ;"----ø...J.__.._-- >;_.._-_..:....._-_..: 5427! : 5426 ~ 5427 ~ <: 7e08 ; 5-425 1 . . ~. . .f "ST'- '--'--.--RApHAEL'~-' -.: , "-, , , , . -., . . 55.38 . ...; 5519 ; , . ---..._w . S5O9 55TH 54-43 : ) -.-.. - - ----.. 5+tO ,"--'."--"--'---- 5434 5423 ~ , "-""'--' .--.-- --. - -.-.----, ;. ~ 17; [5420: 5425 ; ~. --+...--- -S¡13Jffi f ~1" ; 5413: '-' ..... 1---'---'-'" -Š:.œ- r ::E ~ 5406 ~ 5409 ' .~' : .. .r~ ~- ._-~.__....- '---54õ,' ~(/) 1 5400 ~ 5401 i , ': , --.---.t--..--: ~ S3JO j 5337 1 . . 5325 ! . ---'-""- 5319 ~ ~ . I -.._'-,~ . ! . 8) : ; 531.3: ' '- i ~ i.-- ~ CI) . _. ..~ -- ;. ,... ! CI) i ! u"",¡ ! ",: - ' I ;""'-.,' I " - I . ". ~ . Q .' 5307 : " - ; C) l ; .... I '" ,'" "... . : '--"'--" .... . ......' f 7825 'j-,." -"'..:' .._/ ~-----~ ""~.~J~7800 ,I ~ 5218 ~ .. 't'/"f. , , f') -""'. ~......./ ~-_._--:- - : - : '" -.-."-.""- -.-.-. : 5324 ;' 5331 ; I . , , ; ,.. "-----,.'-'" "-; 5318: S32S ~ . .:..... .---......,. _. ..-. .-- . . . :; 5312 ~ 5319: ,.. , ! . .' -'-""':'"'--.--.,: . t 5306./ 5313' , j. } ~.. . - .. . i-'.: ... ... . ; 8 r"-i. C'2"7 .,£ Î ; ~.. w.JV ~ l i ~; '~"'" ~. . , -. - ,., : !:2;s ì).cø "¡..-.. - I - - 7301 - 8 - ~- .-- --I : .... '2~ . . ~- , - r--..-.ø-- i. M32 8 , ;--- u_-.......- i M3O = ;- ~2i1. I '-ÕR."- ."----' City-Owned Properties (1-6-04) - 1. 5340 Winnetka Ave. N. 2. 5406 Winnetka Ave. N. 3. 5410/12 Winnetka Ave. N. 4. 5420 Winnetka Ave. N. 5. 5422 Winnetka Ave. N. 6. 5500 Winnetka Ave. N. 7. 5506 Winnetka Ave. N. 8. 5518 Winnetka Ave. N. 9. 5524 Winnetka Ave. N. 10. 5532 Winnetka Ave. N. 11. 5550 Winnetka Ave. N. 12. 5520 Sumter Ave. N. 13. 5530 Sumter Ave. N. 14. 5546 Sumter Ave. N. 15. 5559 Sumter Ave. N. 16. 7601 Bass Lake Road Ext. 17. 7603 Bass Lake Road Ext. 18. 7621 Bass Lake Road Ext. 19. 7801 Bass Lake Road Property Information Search by Street Address Result page 0, Search By: -p-rop~rtYID--------(., --. I: ~;.~~-=:::J -Addition Name .:11 - ..: HOUSE or BUILDING #: /7605 STREET NAME: (at least first 3 characters) 'Bass Lake Road UNIT # (If applicable) -- 120 ~ records per page Page 1 of 2 IIennepin County, l\'IN Seëlr:r, -IPS .f Property Information Search Result The Henne¡Ji~ Co'unty P;o~;rö' Tax"v.,'eb database is updated dai~v (Monday - Friday) at approximatež" 9: 15 p.m. (CST) Parcel Data for Taxes Payable 2003 Click Here for State Copy of Payable 2003 Tax Statement \/lew 'o'1a~ ~ Taxes D~e ~ PayTent O:::llon~ ,I Property ID: Address: Municipality: School Dist: Watershed: Sewer Dist: Owner Name: Taxpayer Name & Address: 05-118-21-33-0088 7605 BASS LAKE RD NEW HOPE 281 0 02 M HILGERS ET AL M HILGERS 7605 BASS LAKE RD NEW HOPE MN 55428 Construction year: 1952 Parcel Size: 75 X 20 Most Current Sales Information Sales prices are reported as listed on the Certificate of Real Estate Value an warranted to represent arms-length transactions. NO SALE INFORMATION ON FILE FOR THIS PROPERTY. Addition Name: Lot: Block: Metes & Bounds: Tax Parcel Description REG. LAND SURVEY NO. 0848 TRACTS A AND B Abstract or Torrens: TORRENS Value and Tax Summary for Taxes Payable 2003 Values Established by Assessor as of January 2, 200~ Estimated Market Value: $101,000 Limited Market Value: $79,000 Taxable Market Value: $79,000 Total Improvement Amount: Total Net Tax: Total Special Assessments: Solid Waste Fee: http://WWW2.co.hennepin.mn.us/pins/addrresultjsp $929.20 $15.00 12/24/03 Property InfonnatÎon Search by Street Address Result page Total Tax: Page 2 of 2 $944.20 ïaxt's Dole ~ Property Information Detail for Taxes Payable 2003 Values Established by Assessor as of January 2, 200~ Values: Land Market Building Market Machinery Market Total Market: Land Limited Building Limited Total Limited: Qualifying Improvements Classifications: Property Type Homestead Status Relative Homestead Agricultural Exempt Status $42.000 $59,000 $101,000 $32,900 $46,100 $79,000 RESIDENTIAL HOMESTEAD 9044 Hennepin County is providing this information as a public service. Have a tax related question? Send e-mail to taxinfo@co.hennepin.mn.us Experience a problem searching database, have a technical question or wish to c, Hennepin County Tax web site? Send e-mail to webinfo@co.hennepin.mn.us Have a comment on any of Hennepin County's web sites or E-Commerce applical e-mail to Henn.Net@co.hennepin.mn.us Home Ser,'l:es Copyright @ 1998 - 2001 Hennepin County http://www2.co.hennepin.mn.us/pins/addrresultjsp Taxpayer Ser-.'::.es . .À,ssessors D~:-:1 '.~a - 12/24/03