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IP #766EDA Originating Department Community Development By: Curtis Jacobsen, Director of CD Approved for Agenda July 28, 2008 Kirk McDonald, Ci M Agenda Section EDA Item No. 5 Resolution authorizing the expenditure of Hennepin County Housing and Redevelopment Authority (HCHRA) funds from the Hennepin County Affordable Housing Incentive Fund to be received and expended by Project for Pride in Living (PPL) within the city of New Hope Requested Action The Authority is requested to approve the attached resolution which authorizes PPL to accept and expend monies from the HCHRA's Affordable Housing Incentive Fund within the city of New Hope. Policy /Past Practice It has been a past practice of the city to take such steps as are required to facilitate the acquisition and expenditure of available outside funding within the city of New Hope. Background PPL has found it necessary to apply for funding through the HCHRA and the Hennepin County Affordable Housing Incentive Fund for $300,000 to be used to assist the agency in holding costs at the Linden Park Condominiums during this slow housing market. State statutes require that before a county HRA can expend money within a city with its own development /redevelopment agency it must receive authorization for said action from the host city. PPL is requesting that the Authority approve the attached resolution authorizing them to accept and expend the $300,000 in Hennepin County Affordable Housing Incentive Funds to maintain the affordability of the units within the Linden Park Condominiums. Attachment(s) • Resolution • E -mail from PPL Motion by To I: \RFA ti_ .. ' e_ Second by PLANNING \Q & R - PPL authorization to expend HCHRA funds.doc EDA Resolution 2008- 10 Resolution authorizing the expenditure of Hennepin County Housing and Redevelopment Authority (HCHRA) funds from the Hennepin County Affordable Housing Incentive Fund to be received and expended by Project for Pride in Living (PPL) within the city of New Hope WHEREAS, Project for Pride in Living has applied for funding through the Hennepin County Affordable Housing Incentive Fund; and WHEREAS, The Hennepin County Housing and Redevelopment Authority has awarded $320,000.00 to Project for Pride in Living's Linden Park Condominiums; and WHEREAS, the Authority is required to authorized the acceptance and expenditure of this funding with the city of New Hope. NOW, THEREFORE BE IT RESOLVED by the Economic Development Authority (EDA) in and for the city of New Hope hereby authorizes the use of Affordable Housing Incentive Funding (AHIF) as approved by the Hennepin County HRA (HCHRA) board for the Linden Park Condominiums project located at 5445 Boone Avenue North in New Hope, Minnesota. The AHIF funds in the amount of $320,000 .wil l be awarded to Project for Pride in Living to be utilized for holding costs at Linden Park Condominiums. Adopted by the Economic Development Authority in and for the city of New Hope, Hennepin County, Minnesota this 28th day of July 2008. Presicl ent Attest: Executive Director Jacobsen Curtis From: Mary Novak [mary.novak @ppl- inc.org] Sent: Friday, July 18, 2008 11:29 AM To: Jacobsen Curtis Cc: Chris Wilson; Chris Dettling Subject: RE: City Resolution Attachments: City of New Hope AHIF Resolution.doc City of New )pe AHIF Resoluti Hello Curtis, PPL has recently applied for and been awarded $300,000 from Hennepin County Affordable Housing Incentive Funds program. We applied for these funds so we could have assistance with holding costs in this slow housing market. In order to get the funds released to PPL we must do the following: In accordance with the HCHRA legislation, the HCHRA is required to obtain municipal authorization to fund an AHIF project that is located within the corporate limits of the municipality. Acceptable authorization is an executed Housing and Redevelopment Authority (HRA), Economic and Development Authority (EDA) or City Council Board Resolution from the municipality prior to the loan closing. I am attaching a draft resolution you can use for the EDA to approve PPLs use of these funds. Your help in getting this on the agenda is very appreciated. Please let me know if you have any additional questions or need additional information. Thanks again for your help. Mary Novak - 0 ' • a i Hennepin County reserves the right to accept or reject all funding requests and rescind the request for proposals. Hennepin County reserves the right to request additional information, as determined necessary to review any application. Hennepin County has the right to cancel or retract this RFP. All information that is submitted through this solicitation becomes the property of Hennepin County. Hennepin Housing Consortium APPLICATION INSTRUCTIONS All applications for homeownership units need to complete this application and supply required attachments. The Consortium recognizes the diversity of the projects that may pursue HOME funding. Applicants should complete the application providing as much information as possible for the proposed activity. Understanding that the HOME Program Regulations are an important part of applying for this funding. The federal regulations (24 CFR Part 92) governing the program are available, by request from Hennepin County or by visiting the HUD web site for the HOME Program (See Related Links - External Links.) DEADLINE FOR SUBMISSION OF PROPOSALS All requests for Hennepin Housing Consortium HOME funds must be received with the required application and all attachments, no later than 4;30 p.m, on THURSDAY, FEBRUARY 21, 2008. The deadline for all qualified CHDO requests may be extended until all funds reserved for CHDOs have been committed. Deliver /Mail to: Hennepin County - HOME RFP Attn: Tonja West - Hafner 417 North Fifth Street, Suite 320 Minneapolis, MN 55401 -1362 APPLICATION SUBMISSION FORMAT Applications must be computer generated. The tabulation format should not be altered in any way. The application should not be altered in any way. Incomplete or altered applications, applications missing documentation or not received in duplicate will not be acceptable for review. Applicants must submit TWO HARD COPIES (one original and one copy) OF THE COMPLETE APPLICATION PACKAGE that are: Unbound Single -Sided Indexed and tabbed to correspond with the Application Checklist. In instances where the documentation is not available or not applicable the tab and a single sheet, indicating as much, must be included in the package. Applicants MUST ALSO submit ELECTRONICALLY (by CD or e -mail) the following items: 2008 HOME Rental Application (.rtf form) 2008 Homebuyer Application Spreadsheet (excel format) APPLICATION QUESTIONS OR ASSISTANCE' If you are unable to access the RFP, application, CHDO forms or have any questions, please contact Tonja West - Hafner at (612) 348 -2599 or by e -mail at Tonja. West- Hafner @co.hennepin.m n. us. 2008 HC HOME Homeownership Application 1. APPLICATION CHECKLIST Required attachments, as specified in the Application, along with the Application Forms, must be included and appropriately tabbed. Following are detailed instructions for attachments that are not self - explanatory or otherwise included in the application packet. TAB DESCRIPTION and INSTRUCTIONS Completed Application Form and Application Spreadsheet CHDO Certification or Recertification Checklist and required attachments, if applicable. Qualification documentation of team members. C Project Specifications, Floor plans and Line Drawings. Attach line drawings of the floor plan(s). If line drawings are not available on 8 1 /2x 14 size paper or smaller, indicate this and do not include. Location Map(s) identifying location of services, schools, shopping, transportation, etc. AND Photographs of the project site and surrounding area. Site Control Documentation. Provide documentation of site control in the form of a copy of the deed, long -term lease, and contract for purchase or option. F Fair Market Determination. If available, include a copy of the Appraisal, MLS listing or other real estate professional determination for any real property. Information on occupied units to be purchased (rental or owner - occupied, for sale on the open market /targeted for redevelopment, etc.) If the property is currently rental you must provide a Relocation Plan AND Rent Rolls from the three months prior to this application. Project Zoning Confirmation Letter. If applicable, include a letter from the units of local government indicating whether the property is appropriately zoned for the project. Utility Availability Letters. For new construction projects: if utilities are currently available, provide documentation from local utility companies. Site Plan Approval. If site plan approval available, provide written document Building Permits. Provide copies of any issued building permits. L Environmental Attachments. Phase I summary, lead testing, asbestos, etc. Commitments for Financing. Applicants with firm commitments for financing must include commitment letter(s) from the source of financing. Commitment letters should be on the letterhead of the organization providing the commitment. The letterhead must include the mailing address and phone number of the organization. The letter must include the name of the contact person, contact person phone number, eligible uses of committed funds, terms and conditions of the commitment, including but not limited to repayment provisions, loan period, interest rate, and loan -to -value and debt coverage ratios, expiration date of the commitment, if any. Signature and typed title and name of authorized official. Written Program Guidelines. Written Selection and Marketing plans or assistance policies. Documentation of need. List of projects, noting the current status. Attach letters of Community Support. Financial Statements of Developer. Include the most recent financial statements of the project developer. For - profit entities provide most recent financial statements. 2008 HC HOME Homeownership Application 2 1 2. GENERAL APPLICANT AND PROJECT/PROGRAM INFORMATION I Applicant Contact Information Project for Pride in Living, Inc. - Applicant: Check all that apply: Z Developer [:1 Sponsor FlOwner Type of Applicant (check one ): CHDO FZ Contact Name: Barbara McCormick If the above box is checked, CHDO Certification OR Recertification must be completed and attached as TAB A. Contact Title: Vice President, PPL Non-Profit Z Address: 1035 E. Franklin Ave South For Profit ❑ - Mailing Street Address: (if different from Local Government El - mailing) Minneapolis, MN Public Agency F - City/State/Zip: (612)455-5100 Other ❑ - Telephone: _ Fax: (612)455-5101 If other, specify: Email Address: barbara.mccormick@ppi-inc.org Federal Tax ID No. 23-7232208 - Co-Applicant: Check all that El Developer F� Sponsor El owner Type of Co-Applicant (check one): - - apply: Contact Name: Non-profit ❑ Contact Title: For-Profit ❑ Address: Local Government ❑ - Mailing Street Address: (if different from mailing) Public Agency ❑ City/State/Zip: Other j ❑ If other, specify: - Telephone: Fax: Federal Tax ID No. Email Addr 2008 HC HOME Homeownership Application Amount oA HOME Funds Requested $ 440,000 (5 new /11 Total HOME units). Briefly describe the desired use and terms of the HOME assistance. Assistance is usually provided in the form of a loan (deferred, interest bearing, or non - interest bearing). Desire terms will be taken into consideration however, the specific terms will be determined by Hennepin County. The term of the value gap assistance ($390,000) is to be a grant. The affordability assistance made directly to the buyers ($50,000) will be secured by a 15 -year mortgage. Project Team Complete for each project or program team member that is identified at the time of this application. Team members identified after the application are subject to review. The selection of team members should follow the agency /applicant written procurement standards. Please keep documentation of this process on file for review by Hennepin County. Attach resumes, references, lists of previously completed federally- funded projects or other documentation for each team member at TAB B. Developer Project for Pride in Living,Inc 612 -455- 5100 Project Manager Chris Dettling 612 -455- chris.dettling@ppl- 5219 inc.or Project Coordinator Mary Novak 612 -455- mary.novak @ppl - 5199 inc.org Fiscal Manager Architect Kent Simon, Roger Howley: 612 -332- rhowley @millerhan Miller Hanson Partners 5420 son.com Construction Weis Builders, Inc. 612.243.500 Renae_Anderson@ Contractor /builder 0 weisbuilders.com Consultant Home Mortgage Lender Wells Fargo Home Mortgage: 612.667.125 Patricia.j.gleason@ Pat Gleason, Amy Grayson 7 wellsfar o.com Realtor Earl Cutter: Edina Realty 612 -328- EarlCutter @edinare 2125 alt .com Other: Matt Mullins: Maxfield 612.338 - Research 0012 Other: Mindspark Creative, Inc. 612 -331- jim @mindsparkcre 4467 ative.com 2008 HC HOME Homeownership Application 3. PROJECT INFORMATION Type of Activity (check one) Separate applications must be submitted for each type of activity, New Construction ® Acquisition and rehabilitation of existing properties ❑ Acquisition (existing property that does not need rehabilitation ❑ Rehabilitation of owner occupied existing properties ❑ Type(s) of Property ❑ Single- family detached ® Condominium Units ❑ Townhouses ❑ Twin - home /Duplex ❑ Other: Type(s) of Ownership ® Fee Simple ❑ Other: ❑ Lease Hold (Land Trust) Architectural Plans and Project Specifications: Yes No ® ❑ Are architectural plans and /or written specifications complete or in preliminary stages? Include any specs and /or proposed floor plan(s) at TAB C. If no, when are they scheduled to be completed? (date) 2008 HC HOME Homeownership Application Project Timeline: Projected start date 10.31.2006 Projected 9.26.2007 completion date 06/03 Yes Site # (as shown on 1 Site Address 5445 Boone Ave N Page 6 10/04 Yes PLANS AND SPECIFICATIONS. Applicants must provide a schedule for the project that lists major project activities and indicates when they will be executed. Attach separate Project Timelines for EACH SITE where the acquisition, rehabilitation, construction and the sale of the home are accomplished on a lot -by -lot basis. Scheduled Completed at the time of Activity Completion Date application (MM /YY) (YES or NO Market Stud 07/03 Yes SITE Site Control 06/03 Yes PhaseI 8/04 Yes Approval 7/04 Yes - Zoning Site Purchase 10/04 Yes PLANS AND SPECIFICATIONS. Architect Selected 12/03 Yes Drawings 6/04 Yes - Preliminary Plans /Specifications /Working Drawings 2/05 Yes Drawings Complete 4/06 Yes Local Building Code Review 5/06 Yes Final Plans/Specifications/Drawings 8/06 Yes COJN RU - C'`f C1N: Contractor Selected 6/06 Yes Construction /Rehab to begin 11/06 Yes Construction /Rehab Complete 9/07 Yes MARKE`TIN+G: Month and Year marketing begins 3/05 Yes Income verification onqoing till 2/2010 1 HOME units closed Secure Homebu er Financing ongoing till 2/2010 1 HOME units closed Loan Closing onaoing till 2/2010 1 HOME units closed 2008 HC HOME Homeownership Application 6 4. PROJECT SITE INFORMATION SINGLE SITE PROJECTS: Projects that are on a single site must have identified the site prior to applying. SCATTERED SITE PROJECTS: ❑ Sites have been identified - information on these sites is provided below. Complete the project location and acquisition information for each site. Attach additional pages if necessary. ❑ Sites will be identified by (date) Project Location and Acquisition Information Complete for each site to be acquired. Copy and attach additional pages if necessary. Provide Map of location(s) at TAB D. SITE #1 ❑ Single Site ❑ Scattered site # Address: 5445 Boone Ave North City /Zip: New Hope, MN 55428 The site has been or will be acquired a related party ® an unrelated party ❑ from: Name of Seller Project for Pride in Living, Inc. Address 1035 E. Franklin Ave City /State /Zip Minneapolis, MN 55404 Phone Number 612.455.5100 Total Cost of Land 1 Cost includes: ® Land and ❑ Site only building(s) Does the site include acreage in excess of what will be used for this No ® Yes ❑ housing project? If yes, explain: SITE #2 ❑ Scattered site # Address: City /Zip: The site has been or will be acquired a related party ❑ an unrelated party ❑ from: Name of Seller Address City /State /Zip Phone Number Total Cost of Land Cost includes: ❑ Land and El Site only building(s) Does the site include acreage in excess of what will be used for this No ❑ Yes ❑ housing project? If yes, explain: 2008 HC HOME Homeownership Application 7 Site Control Indicate type of site control as of the date of application submission. If different for multiple sites this information should be provided for EACH SITE. Provide documentation at TAB E. ® Applicant or owner /developer controls site(s) ® deed by: ❑ long -term lease Expiration date of lease: ❑ Applicant or owner /developer holds a contract(s) or option(s) for: Property to be acquired by deed or leased no later than: ❑ purchase ❑ long -term lease Length of lease: _ ❑ The property(ies) has /have been identified, but no contract or option has yet been negotiated. Identified property(ies) is /are to be: ❑ purchased ❑ leased Projected date of purchase /lease: ❑ Scattered -site projects only - properties have not yet been identified. Acquisition and Relocation Information Uniform Relocation Assistance and Real Property Acquisition Policies Act (Uniform Act or URA) 49 CFR Part 24. The activities triggering the Uniform Act are Acquisition, Demolition or Rehabilitation (not including voluntary homeowner rehabilitation). Acquisition includes purchasing real estate, including vacant parcels, even if the actual purchase is with non - federal funds if the subsequent construction activity is HOME - assisted. It also includes providing purchase assistance to homebuyers. All activities will trigger the need for one or more disclosure notices for the sellers, buyers and /or occupants. They are provided at different times during the project. The timing and which notices will depend upon the type of project and the entity completing the project. Assistance with the required process and sample Notices are available upon request. Any activities that will result in temporary or permanent displacement and the relocation of tenants require the creation of a temporary or permanent Relocation Plan. Yes No ® ❑ Has the Fair Market Value of the property(ies) been established? If yes, an Appraisal, Multiple Listing Service (MLS) or other real estate professional determination should be attached at TAB F for each site. This is the value that should be used in the required offer letter to the owner for each site. ® ❑ Has the required acquisition or relocation notice(s) been provided to the owner or any property occupants? If yes, should be attached at TAB F for each site. If no, when will they be sent? 2008 HC HOME Homeownership Application Yes No ❑ ® Will this project involve the need for ❑ temporary AND /OR ❑ permanent relocation of current occupants (will the occupants have to move out of their current unit in the property in order for the project to be completed)? ❑ ® Does the entity that will be purchasing the property(ies) have the power (city, county, state agency or an entity acting on behalf of the government agency) to take the property by eminent domain? If yes, are they willing to use that right? If the governmental agency is not willing to use their right of eminent domain, then they must provide a letter to that effect and must be attached at TAR G. ® ❑ Is the property(ies) located in a "designated redevelopment area ?" If yes, attach documentation (map, plan, etc.) at TAB G. Yes No Maybe ❑ ® ❑ Will the project result in the demolition, conversion or change in use of any existing affordable housing unit(s)? An affordable housing unit is any unit that could be rented for an amount including tenant paid utilities (calculated using an approved UT Allowance sheet) at or below the current HUD established Fair Market Rent (FMR), regardless if the unit is rental or owner occupied at the time of the application. If yes or maybe to any of the questions above, • Costs of relocation must be reflected in the Program Budget; and A Relocation Consultant should be listed as part of the Project Team; and A Relocation Plan, Common Application #12, should be completed and attached at TAB ; and Rent Rolls for any existing rental units for the three months prior to the application should be attached at TAB G. Handicapped Accessible Units - 5 04 Rehabilitation Act of 1973 and Fair Housing Act Yes No ® ❑ Is the project new construction, rehabilitation or substantial rehabilitation (cost of rehabilitation is 75 percent or more of the after rehabilitation value, as evidenced by an appraisal). If yes, the 504 requirements apply to your project. Under 504 following the UFAS standards, 5 percent of all new or rehabilitated units (rounded up) must be fully accessible for mobility impairments and an additional 2 percent of all new construction units (rounded up) must be fully accessible for sensory impairments. Additional requirements apply to the common areas. The 5 percent and the 2 percent cannot be the same units. Number of units that will be fully accessible to mobility impairments 3 (physically handicapped) Number of units that will be fully accessible to sensory (vision or hearing) impairments Yes No ® ❑ Are there five or more units in the project? If yes, in addition, all new construction and rehabilitation projects involving buildings with four or more units must also comply with the minimum accessibility requirements of the Fair Housing Act. All ground floor units must be accessible in buildings with no elevator, when feasible, if built prior to March 13, 1991. Buildings built after March 13, 1991 must comply. For building with elevators, all units must be accessible. Additional requirements apply to the common areas. 2008 HC HOME Homeownership Application Zoning, Utilities, Site Approval, and Building Permits If different for multiple sites this information should be provided for EACH SITE, Yes No n/a ® ❑ ❑ Is site properly zoned for this development? (documentation, if available, should be attached TAB ) If no, when will the zoning issue be resolved? ® ❑ ❑ Are all utilities presently available to the site? (documentation, if available, should be attached TAB I) If no, which utilities must be brought to site? AND Who has the responsibility of bringing utilities to site? ® ❑ ❑ If the project is responsible, are all costs reflected in the budget? ® ❑ ❑ Has the local government approved the site plan? (documentation, if available, should be attached at TAB 7) If no, when will the site plan be approved? ® ❑ ❑ Has the local government issued a building permit? (permits, if available, should be attached at TAB K) If no, when will the building permit(s) be issued? Environmental Issues Every project utilizing federal funds must be assessed for potential environmental effects of the project. If different for multiple sites this information should be provided for EACH SITE. The previous use of the site(s) was /were Vacant and the source of this information is Phase I . Yes No ® ❑ Has a Phase I been completed for the project? If yes, attach a copy of the summary at TAB L. ❑ ® Has there been an evaluation of asbestos hazards? If yes, what was the result ?_ Please attach a copy of the evaluation or testing at TAIL L. ❑ ® Has there been an evaluation of lead -based paint hazards? If yes, what was the result? Please attach a copy of the evaluation or testing at TAB L. Yes No Unknown ❑ ® ❑ Will any part of the project be undertaken in or adjacent to a floodplain? If yes, flood insurance will be required. ❑ ® ❑ If the project involves acquisition and rehabilitation, will any part of the project involve units that are 50 years old or older? ❑ ® ❑ Will any part of the project be undertaken in any known geological hazard areas, or affect historical, archaeological or cultural resources? If yes, what is the hazard or resource? ❑ ® ❑ Are there any underground fuel storage tanks present on the subject property? If yes, address the following: # of tanks , capacity , usage , location 2008 HC HOME Homeownership Application 10 age______ dateof|aettankandda|k/erysysternUghtnasstmst_____,andtestresu|ts If there are unused tanks or tanks that were removed and there was soil testing done, attach a copy of the test at TAB L. Yes No Unknown M R R IS there major roadway within 1,000 feet ora railroad track within 3,000 feet, or an airport within five rni|ea of the property? If yes, which one(s) and please state the distance. Railroad = 1,250'; Crystal Airport = 2 mi F Z F� Are there any wells on the site? If yes, please address what iy the current usage, location, have they been capped under the Minnesota Department of Health and local requirements. El Z F� Are there known or evidence of former rnethanlphetannine (meth) manufacturing labs within the subject property? If yes, provide any information you have onthis. Z F F Are the structures 0r proposed structures dt least 1O feet away from all gas line and power line easements? El Z [:1 Are there any power, television, or microwave towers on0r near the site? If yes, what is the height of the tower? AND What is the distance to the subject site? F Z r IS there visual evidence of mold growth on any interior surfaces; or are there known leaks that might contribute to conceal water damage or mold? If yes, where?_____ Please attach any evaluation or testing atTAB L. ll 20088CHOME Homeownership Applicatio S. POPULATION SERVED INFORMATION Priority Population Set - Asides: Complete only if the project will specifically set -aside units for a priority population. Points will be assessed only for set -aside units. Set - asides will be enforced through agreement provisions. The number of units listed below should total the number in the project. Please explain any overlap in your project description in the required narratives. Pr�4rtY Popul�tc�in, _: Na« chi': Ur�i� %'of tli<iits Permanent supportive housing for persons with mental illness with 0 0 income below 50 percent of area median income. Homeless families and individuals with income below 50 percent 0 0 of area median income. Provide increased opportunities for homeownership to households 19 46 with incomes below 80 percent of area median income. Maintain housing owned or rented by households with income 0 0 below 50 percent of area median income. Preserve existing HUD - assisted and other affordable rental housing for households with income below 50 percent of area 0 0 median income. NON Priority /Other units 22 54 Total 'Number of Units in Project: 41 100% 2008 HC HOME Homeownership Application 12 Proposed Income Level (s) Served. 6. BUDGET STATEMENTS Full disclosure of all financing sources available is required. Letters of Commitment must be attached at TAB M. If after submittal of the application, additional financing sources are obtained, these sources must be immediately reported to Hennepin County. Additionally, Hennepin County will require final uses and sources underwriting if all sources are not firm at the time of application. The Sources and Uses Statements for the Construction Period should be kept separate from the Sources and Uses Statements for Permanent Financing. * *REMINDER ** We have developed the 2008 Homebuyer Application Spreadsheet, which contains FOUR worksheets to capture and separate the financial information. The entire 2008 Homeownership Application Spreadsheet should be completed if you are asking for both development gap and buyer gap funding. Construction Financing Budget Sources and Uses - DEVELOPMENT GAP The Construction, Cash Flow and the Profit and Loss Worksheets cover the development of the project for the initial acquisition, construction and /or rehabilitation of the property. They should be completed to demonstrate if there is a "development gap." Please state the amount of HOME funding being requested for a $390,000 development gap Permanent Owner Financing — BUYER AFFORDABILITY GAP The Homebuyer Mortgage Analysis worksheet covers the permanent sources, sales proceeds, etc. It should be completed to demonstrate if there is a "buyer affordability gap." Use the average sales price of the properties Please state the amount of HOME funding being requested for a buyer $50,000 affordability gap. 7. HOMEBUYER PROGRAM Homebuyer Requirements Attach a copy of written program guidelines, which should include the underwriting guidelines, homebuyer selection process /policies, minimum contribution, homebuyer education, inspections, closing processes, etc. that will be used for the project at TAB N. Yes No ❑ ® Will homebuyers be required to be "First -Time Buyers" (not had an ownership interest in their principal residence in the three years prior to purchase)? ® ❑ Will homebuyers be required to provide a minimum contribution? If yes, please indicate the amount required: $ Minimum down - payment allowed by their financing 2008 HC HOME Homeownership Application 13 counseling: Pre - purchase counseling must be provided either by the applicant or a housing counseling agency(ies). Counseling will be provided by: ❑ Applicant ® Housing counseling agency(ies): Agency #1: Powderhorn Residents Group (PRG) Contact Person: Phone Number: (612) 721 -7556 Agency #2: Community Action Partnership for Suburban Hennepin(Various Locations) Contact Person: Phone Number: 952 - 933 -9639 Describe how the buyers will be educated on how your program works and more specifically on the requirements of the HOME resale /recapture provision(s) since these are not ordinary requirements of homeownership. HOME eligible buyers will be informed of the recapture requirements during multiple stages of the process including during marketing, reservation/purchase agreement negotiation home buyer training, and pre closing Edina Reap and Wells Fargo Home Mortgage were chosen for their knowledge and experience with the various program requirements and their ability and willingness to fully inform prospective eligible buyers of the various requirements. Marketing / Buyer Selection Describe your efforts or design features that will attract eligible targeted populations from all racial, ethnic, and gender groups in the community, including any collaborations and partnerships proposed with members or organizations addressing the needs of the targeted population. Attach a copy of written Marketing Plan /Policies at TAB U. PPL will continue to coordinate our marketing efforts with area agencies specifically Northside Neighborhood Housing Services (NHS), Community Action for Suburban Hennepin (CASH), and Powderhorn Residents Group (PRG), which specialize in serving underserved populations through homebuyer workshops The agencies are spread throughout the Twin Cities in order to best serve all potential buyers NHS is located in North Minneapolis PRG in South Minneapolis and CAPSH has various locations. These organizations provide certified homebuyer training courses, as well as one -to -one counseling for primarily first -time homebuyers They target their outreach to persons who lack access to more traditional avenues to purchasing a home, due to language and /or cultural barriers, unfamiliarity with the standard documentation required by lenders and /or previous negative experiences with unscrupulous members of the housing industry. PPL will continue to provide marketing and contact information on these houses to all of these organizations, which, in turn, will continue to refer interested homebuyers who have completed their training course( All agencies maintain a list of people interested in for sale properties. Both PPL and NHS /PRG /CASH work together with prospective homebuyers interested in one of these houses to identify a reputable lender or link up with one of special financing programs offered through the City or State. The homebuyer training to be provided by NHS CASH and or PRG is 2008 HC HOME Homeownership Application 14 critical since most financing programs available from the City or State, and many offered through private lenders, require completion of a certified homebuyer training course. PPL utilizes a "Purchase Agreement Guidelines and Preferences" sheet (see Tab N) during the marketing period The sheet which outlines our guidelines and preferences allows PPL to assure that our properties are sold to the targeted populations. In addition to these special marketing_ efforts, PPL has recently selected Edina Realty to be the marketing /listing agent PPL, Edina Realty and MindSpark Creative have developed a marketing plan to achieve the greatest market exposure Other less traditional marketing efforts and even options of last resort have been developed as well incase our current efforts are not sufficient. A summary of our marketing plan and strategies are attached as Tab O. The project has many unique features that will appeal to the underserved population we are targeting We are proposing a varied of unit designs and sizes that will work well for a variety of household types Young families with children extended families single parents the differently - abled and seniors will all find plans and options that will well serve their needs and lifestyles. Finales PPL has a strong_ reputation for providing quality housing at affordable prices and is known for our willingness and skill in serving homebuyers' needs before, during and after the sale. S. APPLICATION NARRATIVES Project Description Provide a brief description of the project. Discuss any unique features of the project and provide a precise description of the targeted population(s) to be served including the anticipated income levels and affordability of the units for the targeted population. (Limit one page) In September 2007 PPL completed the construction of Linden Park Condominiums, a 41 unit condominium project New Hope To date we have closed on 11 units (including 1 HOME unit). Prices for the 1 +den, 2, 2 +den, and 3 +den units range $139,900 to $199,900. Sales of approximately half of the units are restricted to households earning 80% or less of the Area Median Income and the balance are market rate Based on the previous two years of marketing the target market for this development has been young as well as mature households with few or no children, with employment family or social connection in and around the New Hope area. Many of these households earn around the median income or less and they have found the sales prices to be both affordable and competitive compared to comparable developments. Interest in the development has been strong since we began presales in 2005 however, the tightening of the mortgage credit markets have made purchasing no longer an option for many families and the overall downturn in the real estate market has significantly decreased our anticipated sales absorption rate to about 1 unit per month For example empty nesters have found this development to be attractive but they have either been reluctant to sign purchase agreements or have delayed their closings because of the difficulty they face in selling their existing homes This soft market has resulted in projected financing gap of approximately $650,000 Based on the current absorption schedule without additional assistance we project that we will not earn a developer fee and in fact will lose approximately $200,000. Minnesota Housing has committed an additional $100,000 in value gap financing to the project to help close the a . 2008 HC HOME Homeownership Application 15 Our request to Hennepin County is is for $390,000 in value gap assistance to increase the per unit HOME subsidy amount on the original 6 HOME units from $45,000 to $60000 and to support an additional 5 HOME units at $60000 per unit (total of 11 HOME units). We are also requesting $50,000 in affordability_ gap to assist 5 additional HOME buyers. We are aware that we are asking Hennepin County to increase the per unit HOME subsidy amount above the typical per unit amount and we do not make this request lightly. We have taken numerous steps and made significant efforts in the hopes of keeping this project in balance without the need for additional assistance. Here are just a few: - Changed General Contractors after the bid In doing so we were able to reduce the construction cost by nearly $400K through value engineering (bringing it back in line with the original budget) and increase the quality of the construction at the same time. - Successfully petitioned the State Department of Revenue for a sales tax exemption for building materials, saving over $100,000. - Renegotiated the construction loan saving approximately $50,000 during the 12 month construction period. - Increased marketing efforts and changed approach Such as increased print and direct advertising, enhanced marketing materials, participated in the Parade of Homes and Affordable Home Tour, and changed realtors as of 1.1.08. - Reduced our developer fee. Our primary objective at this point is to sell units and increase the absorption rate. The longer it takes to sell out, the higher our holding costs and construction loan interest will be. Bringing additional HOME value gap assistance into the project will benefit the project in a number of ways. First, a reduction in the construction loan of $390,000 will save the project about $30,000 annually in interest Next, the additional assistance will improve our bottom line which will allow us the flexibility to reduce prices if that is necessary to keep to our absorption goals (I would note that we would likely reduce prices on the HOME units since the sales of the HOME - assisted units have not kept pace thus far). Finally, additional subsidy will reduce the amount of equity we will have to put into the project and therefore reduces the likelihood that we will default on the construction loan with the construction lender. Defaulting on the project not only has dire consequences for PPL but also wipes out any affordability requirement attached to the project. We are hopeful that with the continued support of our partners and with a significant organizational and financial commitment on our part we will be able to realize a hard - fought but successful close- out of this project. We also ask that the term of the existing HOME assistance be extended. Describe how the project creates new affordable housing units, prevents the loss of viable units or significantly changes the composition of those units. The project creates 41 new units with very affordable sales prices Our larger request will create 5 additional HOME units and the additional assistance may in fact prevent the loss of viable units. Finally, additional assistance will eliminate or lessen our losses on the project and supports the financial will being of our organization ensuring our ability to continue to be a significant producer of affordable housing in the Twin Cities. 2008 HC HOME Homeownership Application 16 Project Affordability Describe the length of time the project is proposed to provide long -term affordable housing and how this will be achieved and the applicants /others involvement long term to ensure this. As with the original HOME affordability financing long -term affordability will be achieved through a 15 year mortgage Describe the desired terms of the HOME assistance to address the required Resale /Recapture provisions for all HOME - assisted homeownership units. The term of the value gap assistance is to be a grant The affordability assistance made directly to the buyer will be secured by a 15 -near mortgage Project Need Describe the need in the market for this homeownership option. Describe any other options for the population you intend to serve. For proposed land trust models include a specific description of the market for the land in the area and how it influences the cost of housing in the market. Attach any documentation (market study, local comprehensive plans, etc.) for project need at TAB P. Although the real estate market has slowed, the need for affordable for -sale housing of this type in New Hope is still great. New Hope is an attractive community with excellent amenities and a growing employment base The market study developed by Maxfield Research forecasts rapid Job growth in New Hope and even stronger job growth in Plymouth (located immediately west of the project site), however, many of the jobs created pay low to moderate wages and there are few ownership opportunities affordable to these workers Resale values of townhomes_ and condominiums in the Study Area increased from a median price of $106 558 in 1999 to $165,595 as of .tune 2003, a gain of 55.4% in less than four years The type of employment growth in this region combined New Hope's location as a first ring suburb creates a natural market and need for ownership opportunities for households earning less than 80% of the area median income. The need is there currents and will continue to be there, however the soft market means that absorption rates are lengthened. Other factors illustrate the need for new affordable ownership options in New Hope as well. Typically, multi- family for sale housing provides the most affordable ownership option in a community and this housing type has been vet limited in New Hope At the time of the Market Study, there were three active for -sale townhome developments in the Market Area: Town Gardens in Brooklyn Park Parkside Acres in Crystal and Sunrise Marsh in Plymouth. Prices are from the low $200's to the low $400's Since 2006 there have been three other for -sale multifamily developments completed in New Hope: a 180 unit Ryland townhome development with sales from the $180's to the $300's; a townhouse development by Master Engineering with sales from the $220's to $300,000• and a senior cooperative near our project site with 2- bedroom units with sales from the $150's to the $250's According to the MLS data as of Feb 2008 the median sale price of townhomes built in New Hope since 2000 is $237,175. The median sale price of condos /coops built since 2004 in New Hope (including Linden Park) is $164,955. Also, this development creates life -cycle housing choice and we have found that market has responded well to this The 11 units we have closed to date represent both ends of the spectrum of the demographic continuum - -from singles purchasing their first home to empty nesters downsizing from their single - family homes. Finally, the need for this project is consistent with the goals articulated for the HOME program: 1. Supports a High Priodly qoal of the 2005 -2009 Hennepin Count Five -Year Consolidated Plan of 2008 HC HOME Homeownership Application 17 providing increased opportunities for homeownership to households with incomes below 80% of the area median income. 2. Development creates new affordable units. 3 Provides additional housing choices by creating lower priced 1, 2 and 3 bedroom condominium units. 4 Location on a bus line in an established inner -ring suburb provides links to transportation, jobs, and services. The market study prepared by Maxfield Research in 2003 that was submitted with our original - application is attached as Tab P. Property Location(s) Describe how the location(s) of the housing opportunities in whole or part, of the HOME assistance, provide and promote greater choice and will not create undue concentration of poverty of any given area. The proposed development is in a suburb of Minneapolis that is not poverty concentrated. As stated earlier, the project's location in a city with a homogenous housing stock is designed to provide expanded choice for households who are not currently well served in the area. The development provides greater housing choice by creating housing types (such as entry -level and move -down housing for empty nesters, accessible housing, association maintained housing etc.) that is not present in the City of New Hope, is not being developed or is not affordable to the target population. Describe how the project location(s) will connect the population to jobs, transportation, and community resources. Linden Park Condominiums are located on Boone Avenue North in New Hope, 114 mile south of County Road 10 Transit Corridor (Bass Lake Road) which will be of particular benefit to residents. Public transit routes are located on both of these routes provide connections to area services and employment centers such as New Hope Mall (Route 756 on Boone Ave), Brookdale (Route 715 on 54th St), and Crossroads North Business Park, North Hennepin Community College Hennepin Technical College and the MN Workforce Center (Route 721 on Bass Lake Rd). Other nearby employers include Liberty Diversified Industries located in the manufacturing and technology business park adjacent to Hwy 169 and North Ridge Care Center located across the street. The project is located nearby a variety of community resources including city parks and fields, schools recreational facilities, retail and convenience centers, and healthcare providers (see the Map attached as Tab D). Proiect Team Experience Describe the extent AND length of experience the applicant has in owning or developing similar housing projects. Specifically noting experience with HOME funding or other programs with long- term affordability compliance requirements. Attach a list of projects funded with HOME funds showing the current status of the projects at TAB Q. Over its 32 year history, Project for Pride in Living, has had extensive experience implementing major development activities in partnership with businesses,, government agencies, financial 2008 HC HOME Homeownership Application 18 provided 162 co -op units PPL now owns and manages nearly 700 housing units the vast majority of which are occupied by families headed by single parents and are families of color. PPL has become a widely respected, strong and stable organization whose mission is aligned with today's social concerns and changes In 1998 PPL was selected by the Fannie Mae Foundation as one of 10 national winners of its "Sustained Excellence" award for community development. PPL's track record in the Twin Cities community is very strong in serving underserved populations, especially people of color. Over the past ten years, PPL has built or rehabbed and sold over 100 units of housing, almost all of which were sold to families with incomes at less than 80% of the area median. In the past year, PPL has designed accessible houses in the Cities of New Hope and Robbinsdale. In each project PPL worked with the city to develop a design that incorporated the features necessary for disabled individuals while keeping the construction costs low. See the attached PPL Development History TAB Q. Describe the applicant staff levels and expertise specific to the implementation of this activity including their experience working with the targeted population. Barbara McCormick -- Vice President of PPL and Director of Housing and Development Barbara McCormick brings nearly 20 years of work in the nonprofit housing field to her position as Director of Housing and Development Beginning with a community -based development corporation in St Paul, the West Seventh /Fort Road Federation Ms McCormick has developed single - family homes for sale, with a special interest in historic preservation. Her experience then extended to multi - family rehabilitation and new construction over several years experience at Twin Cities Housing Development Corporation (TCHDC), with experience in syndicating Historic Preservation tax credits, Older Building credits and Low - Income Housing Tax Credits. In addition to development, Ms McCormick was the Asset Manager for nearly four years for much of TCHDC's portfolio of approximately 500 units of inner city and suburban affordable rental housing. After a year as Field Officer for a housing funding organization, Greater Minnesota Housing Fund, Ms McCormick returned to the work of developing and operating affordable housing in her position at Project for Pride in Living (PPL), overseeing the development, construction and management services PPL offers. Ms. McCormick holds an MBA and is a licensed Minnesota Real Estate Broker. Ms McCormick's role in the proposed project is to provide regular project updates to PPL's Board, to review and sign if acceptable, all purchase agreements and other legal documents related to the project, and to oversee the overall financial position of each PPL project and PPL's Housing and Development Department. Chris Wilson - Real Estate Development Manager At PPL, Chris Wilson is responsible for all commercial and housing development activity from project inception through completion PPL current/ has under construction projects totaling in excess of 15 million dollars with additional projects totaling 45 million dollars in the pipeline. Also, Chris oversees the Emergency Repair Program which provides repair services to low income homeowners Chris has over fifteen years of project management and architectural experience. He holds an Architecture degree from the University of Minnesota and a B.A. in English from the University of Chicago. Mr. Wilson oversees the entire project from pre-development to condo sale closings and creation and turnover of the Home Owner's Association. Chris Dettling - Senior Project Manager Chris joined PPL's Development Team in 2003 to assist with development projects primarily in the 2008 HC HOME Homeownership Application 19 suburban communities of Minneapolis and St Paul Chris has 12 years of experience in housing and community development in the public and nonprofit sectors and originally came to PPL in 1999 as a Housing Coordinator through a contract with the Phillips Community of Minneapolis. In addition to his service at PPL Chris has worked for the Carver County Housing and Redevelopment Authority, for the Center for Urban and Regional Affairs at the University of Minnesota and as a consultant to the National American Indian Housing Council in Washington D C Chris holds a masters degree in Urban and Regional Planning from the Humphrey Institute at the University of Minnesota and a bachelors degree in History and American Indian Studies also from the U of M. Mr. Dettling supports the project managers involved the day -to -day task of the development process including concept creation and development fundraising, closing construction oversight, budget monitoring, marketing, and closing condo sales Rick Blackmon - Development Project Manager Rick Blackmon joined the PPL's Development Team as a Project Manager in 2004. He has completed many new construction and rehabilitation projects in New Hope Bloomington, and Minneapolis, providing both Construction Management and /or Project Management services. These projects included single family and multifamily housing Rick has over 10 years of experience in the housing industry including property management and experience in new housing construction and the remodeling industry prior to starting with PPL Rick has a BA in Business Administration from Fort Lewis College in Durango, Colorado. Mr. Blackmon managed the construction of the project and assisted with buyer upgrades. Mary Novak - Project Manager Mary Novak has over ten years of housing and community development experience. She has worked on many housing developments in Southern California and the Twin Cities. Ms. Novak ioined PPL's Development Team in 2005 to manage the development of multi - family rental and for - sale housing projects She oversees all stages of the development process from budgeting, design, construction management marketing and more Mary has a B A in Social Work from the College of St Benedict and a Master's Degree in Urban Planning from the University of California -Los Angeles Besides her work in housing, Ms Novak volunteers in the community and is a Board Member and teacher for a young professional group called Civics Connection. Ms. Novak coordinates the marketing effort and represents PPL in unit closin s. 2008 HC HOME Homeownership Application 20 9. HENNEPIN HOUSING CONSORTIUM APPLICANT AFFIDAVIT, RELEASE AND CERTIFICATION FORM I /We certify that this application is presented in good faith and that the information is true, accurate and completed to the best of my /our knowledge, and should the application be approved, I /We am /are prepared to enter into any agreement /s necessary to initiate the implementation of the proposed activity and assure compliance with all requirements related thereto. (Applications by partnerships will require organizational signatures from all parties.) Project for Pride in Living, Inc. - Applicant(s ) Vice President 2.21.08 Signature Title Date and, as necessary, Applicant(s Signature Title Date and, as necessary, Applicant(s Signature Title Date 2008 HC HOME Homeownership Application 21 o � ngstrom Analytical, axg�"�t � *t ai >` City of New Hope Attn: Ken Doresky 4401 Xylon Avenue North New Hope, MN 55428 -4898 May 11, 2004 5001 Cedar Lake Road S. St. Louis Park, MN 55416 Office: (952) 252 -0405 Fax: (952) 252 -0407 Re:- Property located at 7609 Bass Lake Rd, New Hope, MN. Dear Ken: Further to our visit to the above referenced property on May 6th, 2004 for the purposes of conducting a demolition asbestos inspection, we are prepared to state that there are friable and class one non - friable asbestos containing building materials contained in or on the fabric of the structure. The friable asbestos containing materials are: 1. Approximately 100 -125 square feet of asbestos containing linoleum in the kitchen. 2. Approximately 100 -125 square feet of asbestos contaminated tarpaper under the linoleum in the kitchen. 3. Approximately 55 -60 square feet of asbestos containing linoleum in the laundry room. The non- friable asbestos containing materials are: 1. Approximately 55 -60 square feet of asbestos containing linoleum mastic in the laundry room. No samples other than from the fabric of the building that is planned for demolition were taken or analyzed and this report relates only to the residential structure located at 7609 Bass Lake Rd. in New Hope, MN. 54 samples of suspect building materials were collected and analyzed in our laboratory by Polarized Light Microscopy. Please see attached notes. During the course of this survey approximately 1 thermostat (possible mercury containing switch), 1 washer & dryer, 4 smoke alarms, 1 furnace, 1 water heater, 1 stove, and 1 dishwasher were noted. Full Service Laboratory and on -site Industrial Hygiene Services for the Hazardous Material Abatement Industry o � ngstrom Analytical, x tp � Inc. 5001 Cedar Lake Road S. St. Louis Park, MN 55416 Office: (952) 252 -0405 Fax: (952) 252 -0407 May 10, 2004 City of New Hope Attn: Ken Doresky Community Development Specialist 4401 Xylon Avenue North New Hope, Minnesota 55428 Re: - Limited Scope Lead -Based Paint Testing Report This report provides the results of a limited scope lead -based paint testing conducted on May 6, 2004 at 7609 Bass Lake Road in New Hope, Minnesota. Angstrom Analytical, Inc. was authorized by you to conduct field screening of suspect deteriorating lead -based paint by using a field portable x -ray fluorescence (XRF) analyzer, and to collect and analyze paint chip samples, as necessary, to achieve conclusive results. Results Results of XRF and laboratory analysis are summarized in the following report, which lists all components exceeding Department of Housing and Urban Development (HUD) thresholds (see remarks) for lead -based paint. Complete XRF field data showing all samples results are attached. Methodology Testing was accomplished using a Niton XL -309 (300 Series). This instrument is a portable, non - destructive, in -situ testing and measurement instrument that renders an average precision of +/- 0.3 milligrams per square centimeter (mg /cm depending upon the length of time the sample point is tested. Specific precision limits are established by the National Institute of Standards and Technology (NISI). This instrument contains a radioactive isotope, Cadmium -109, with a maximum activity of 10 in Ci. The manufacturer of the sealed source is Niton Corporation, the source model is XFB3205. This instrument is registered with the Minnesota Department of Health and is operated by licensed lead inspectors. Sampling protocols recommended in HUD's "Lead -Based Paint: Interim Guidelines for Hazard Identification and Abatement in Public and Indian Housing." May 1991 revision, were used to determine the presence or absence of lead -based paint. Where conclusive results were not obtained by XRF testing, confirmatory paint chip samples were or can be collected for laboratory analysis. Full Service Laboratory and on -site Industrial Hygiene Services for the Hazardous Material Abatement Industry 5001 Cedar Lake Road S. St. Louis Park, MN 55416 Office: (952) 252 -0405 Fax: (952) 252 -0407 May 10, 2004 City of New Hope Attn: Ken Doresky Community Development Specialist 4401 Xylon Avenue North New Hope, Minnesota 55428 Summary of Findings Lead -Based Paint Screening by XRF The scope of our services was limited to the detection of lead -based paint through the use of a portable XRF at 7609 Bass Lake Rd. in New Hope, Minnesota. All measurements are mglcm2. Confirmation Samples A. 1.02 Standard 1.0 1.0 1.0 Location & Material Results Condition Exterior 1) Tan Window Trim 0.1 Fair 2) Tan Garage Siding 0.9 Fair 3) Tan Deck 0.0 Poor 4) Tan Garage Window Trim 0.2 Fair 5) White Window Sash 1.3 Poor 6) Tan Soffit 2.4 Fair 7) Tan Storm Door 0.0 Poor 8) Tan Door Jamb 0.1 Fair Living Room 9) White Plaster Wall 0.0 Fair Full Service Laboratory and on -site Industrial Hygiene Services for the Hazardous Material Abatement Industry Location & Material Results Condition Hall 10) White Door Trim 0.0 Fair Bathroom 11) White Ceiling 0.0 Fair Kitchen 12) White window Sash 0.0 Poor 13) Varnished Window Sill 0.0 Fair From the asbestos stand point the structure is ready to be demolished, only after all of the above listed friable materials are removed from the property. If the category 1 non - friable materials are allowed to be left in place for the demolition, the landfill must be made aware that the demolition debris will contain (minimal amounts of) category 1 non - friable asbestos containing material, subject to the MPCA's rules and regulations pertinent to the demolition effort (notifications, etc). Note this survey is not a scope of work or a bidding document. If you have any questions, please call me at the number above. Thank you. Sincerely, Steve Wallinga Angstrom Analytical, Inc. Prepared by: Angstrom Analytical, Inc. 5001 Cedar Lake Road • St. Louis Park, MN 55416 Office: (952) 252 -0405 • FAX: (952) 252 -0407 " n Strom Analytical & Environmental Services Building Name: 7609 Bass lake Road PSD = potential for significant damage EA = fitting ND = no asbestos was detected in the sample submitted for analysis New Hope, Minnesota Survey Date: May 6' 2004 PD = potential for damage TREM = Tremolite NS = material not sampled N = little or no damage CHR = Chrysotile NAC = material not accessible Project No. City of New Hope D = moderate damage AM = Amosite < = less than value specified Attn: Ken Doresky SD = significant damage CROC = Crocidolite = These samples were not analyzed. These results are inferred a consistent with the analyzed samples in the homogeneous set. 4401 Xylon Avenue North LF = linear foot ACT = Actinolite New Hope, Minnesota 55428 SF = square foot ANTH = Anthophyllite Location Material Identification Sample Number Types of Asbestos % Quantity Units Cond. Damage Potential Response Rating Kitchen 12x12 Floor Tile 1 -3 ND - 100 -125 SF N PD 0 " Linoleum 4 -6 CHR 15 100 -125 SF N PD 2 " Tarpaper (see worksheet) 7 -9 CHR 2 -3 100 -125 SF N PD 4 " Sink Undercoat 10 -12 ND - 1 EA N PD 0 Furnace Room Linoleum & Tarpaper Ref. 4 -9 CHR 15 15 -20 SF N PD 0 Laundry Room Linoleum —top layer 13 -15 ND - 55 -60 SF N PD 0 " Linoleum — bottom layer 16 -18 CHR 2 -3 55 -60 SF N PD 2 " Linoleum Mastic 19 -21 CHR 2 -3 55 -60 SF N PD 1 Laundry Closet Linoleum 22 -24 ND - 1245 SF N PD 0 Throughout Ceiling Texture 25 -27 ND - 1200 -1300 SF N PD 0 " Ceiling Plaster —skim 28 -30 ND - 1200 -1300 SF N PD 0 " Ceiling Plaster —base 31 -33 ND - 1200 -1300 SF N PD 0 " Sheetrock/TapelCompound 34 -36 ND - 1400 -500 SF N PD 0 Bathroom Linoleum —top layer 37 -39 ND - 50 -55 SF N PD 0 " Linoleum — bottom layer 40-42 ND - 50 -55 SF N PD 0 Full Service Laboratory and On -Site Industrial Hygiene Services for the Hazardous Material Abatement Industry Page 1 Prepared by: Angstrom Analytical, Inc. 5001 Cedar Lake Road • St. Louis Park, MN 55416 Office: (952) 252 -0405 • FAX: (952) 252 -0407 t n Strom Analytical & Environmental Services Building Name: 7609 Bass Lake Rd. PSD = potential for significant damage EA = fitting ND = no asbestos was detected in the sample 50 -55 SF N PD 0 Throughout submitted for analysis New Hope, Minnesota ND - 13 -15 EA N Survey Date: May 6"' 2004 PD = potential for damage TREM = Tremolite NS = material not sampled - N = little or no damage CHR = Chrysotile NAC = material not accessible Project No. City of New Hope D = moderate damage AM = Amosite < = less than value specified SF Attn: Ken Doresky SD = significant damage CROC = Crocidolite = These samples were not analyzed. These results are inferred a consistent with the analyzed samples in the homogeneous set. 4401 Xylon Avenue North LF = linear foot ACT = Actinolite New Hope, Minnesota 55428 SF = square foot ANTH = Anthophyllite Sample Types of I Damage Response Location Material Identification Number Asbestos % Quantity Units Cond. Potential Rating Bathroom Tarpaper layer 43 -45 ND - 50 -55 SF N PD 0 Throughout Window Glaze 46 -48 ND - 13 -15 EA N PD 0 Roof Shingles/Tarpaper 49 -51 ND - 1300 -1500 SF N PD 0 Garage Roof Shingles/Tamapaer 52 -54 ND - 450 -500 SF N PD 0 Full Service Laboratory and On -Site Industrial Hygiene Services for the Hazardous Material Abatement Industry Page 2 Inc. 5001 Cedar Lake Road S. St. Louis Park, MN 55416 Office: (952) 252 -0405 Fax: (952) 252 -0407 ANALYSIS OF BULK SAMPLES FOR ASBESTOS USING POLARIZED LIGHT MICROSCOPY (PLM) Prepared for: City of New Hope Attn: Ken Dorsky 4401 Xylon Avenue North New Hope, MN 55428 -4898 Client Job or reference: 7609 Bass Lake Rd umber of samples: 54 METHOD AND DEFINITIONS The submitted samples were analyzed using the EPA Interim Method #600/M4 -82 -020 (polarized light microscopy with optional dispersion staining). The method defines an asbestos - containing material as one that contains greater than 1% asbestos by weight, and asbestos is defined as the fibrous forms of serpentine and certain amphiboles. While the fibrous and non - fibrous forms of minerals are discernible macroscopically in hand specimens, the distinction between them is not clear on a microscopic level, especially after processing or manufacturing. Fibrous amphiboles are generally those whose mean aspect ratios (length over width) under the microscope are approximately >I0; non - fibrous amphiboles are generally= those whose mean aspect ratios are approximately <6 During analysis, morphology and an estimate of mean aspect ratio are used to assign a given mineral fiber population to fibrous of non fibrous categories. That non fibrous amphiboles are not reported as asbestos is consistent with mineralogical definitions, but does not imply= that non fibrous amphiboles are not hazardous. Airborne concentrations of them may be regulated by OSHA under certain circumstances. The type of dispersion staining used is generally phase contrast, although central stop dispersion staining may also be used. PERCENTAGE REPORTING The percentage of each fiber type present was determined using volume percents estimated from stereoscopic examination, projected area percents from mounted slide examination and percents from comparison to weight percent standards. Such estimations are suitable for most samples, but do have large error ranges. Errors are estimated to be 100 relative percent uncertainty for percentage estimates under 10% ranging down to as little as 10 relative percent uncertainty for percentage estimates greater than 50 %. Friable samples which have been estimated by the above methods to contain less than 10% asbestos can be point- counted, according to the EPA Interim Method, as required by NESHAPS. In low percentage samples, point counting may produce false negatives or positives, due to the small number of points counted. For samples consisting of more than one apparent type of material or layer, the percentage of each fiber type in each type of material or layer is determined and reported separately; an overall average for the sample of each fiber type is then calculated. The reported friability of a sample refers to that friability observed in the condition analyzed (broken, crushed, etc), and is not to be substituted for an on -site assessment of friability. Each Angstrom Analytical Lab report relates only to the sample tested and may not, due to the sampling process, be representative of the material sampled. ct" - ------------ - - - - -- --------- - - - - -- ------------------------------------- - - - - -- - Date: May 12, 2004 Steve Wallinga, Angstrom Analytical, Inc. Full Service Laboratory and on -site Industrial Hygiene Services for the Hazardous Material Abatement Industry fir LTA CLIENT Project Location Results Via Data Entry ,� z � Approved B City of New Hope , ;, Report Project # Date Rec'd 5 —i "6y Analyst A. Analyzed CLIENT ADDRESS Attn: Ken Doreskey Client/Receiving # _ 4401 Xylon Ave N New Hope, MN 55428 -4898 Date Mailed Phoned Assigned /Lab # 763- 531 -5137 Fax # 763- 531 -5136 Angstrom Analytical, Inc. • 5001 Cedar Lake Road • St. Louis Park, MN 55416 - AA/PLM /1 ER - *1 1111:111 0 ��- - CLIENT Project Location Results Via Data Entry Approved B Y�& City of New Hope /} / W' - i� A Report Project # f l' -�9 (' Analyst CLIENT ADDRESS Client/Receiving # Attn: Ken Doreskey A - ! i�' Date Rec'd � - i+� 09 Analyzed S 4401 Xylon Ave N New Hope, MN 55428 -4898 Date Mailed Phoned Assigned /Lab # �" 763 -531 -5137 Fax # 763 - 531 -5136 l Angstrom Analytical, Inc. • 5001 Cedar Lake Road - St. Louis Park, MN 55416 ' AA/PLM /1 a . A 0 ,, CLIENT Project Location Results Via � Data Entry �% Approved By City of New Hope &0a "'h5 Report Project# Analyst CLIENT ADDRESS Client/Receiving # Attn: Ken Doreskey Date Rec'd =" --� Analyzed 4401 Xylon Ave N Assigned /Lab # New Hope, MN 55428 -4898 Fax # 763 531 Date Mailed Phoned 763 -531 -5137 - -5136 Angstrom Analytical, Inc. • 5001 Cedar Lake Road * St. Louis Park, MN 55416 • AA/PLM /1 • CLIENT Project Location Results Via c° n Data Entry v' Approved City of New Hope (fir' Report «= Project# Analyst p Date Recd 73 Analyzed CLIENT ADDRESS Attn: Ken Doreskey Client/Receiving # � 4401 Xylon Ave N Assigned /Lab # ::1 New Hope, MN 55428 -4898 Date Mailed Phoned 763 -531 -5137 Fax # 763 - 531 -5136 0+ Angstrom Analytical, Inc. • 5001 Cedar Lake Road • St. Louis Park, MN 55416 ® AA/PLM /1 FI-1- :1 *3 I[ORNI :1 q CLIENT Project Location Results Via — (9q Data Entry Approved By-, City of New Hope Report Proiect# Analyst CLIENT ADDRESS Client/Receiving # Attn: Ken Doreskey Date Rec'd Analyzed 4401 Xylon Ave N Assigned/Lab # A OT -05� New Hope, MN 55428-4898 Date Mailed Phoned 763-531-5137 Fax # 763-531-5136 Angstrom Analytical, Inc. - 5001 Cedar Lake Road * St. Louis Park, IVIN 55416 - AA/PLM/1 CLIENT Proje t Location Re ults Via DataEnt' Approved City of New Hope 1� ---� S '4�� Report Project# &W Analyst J--q. r Date Rec'd 'S Analyzed CLIENT ADDRESS Attn: Ken Doreskey Client/Receiving # 4401 Xylon Ave N New Hope, MN 55428-4898 763-531-5137 Fax # 763-531-5136 Date Mailed Phoned Assigned/Lab # 04- Angstrom Analytical, Inc. - 5001 Cedar Lake Road - St. Louis Park, IVIN 55416 - AA/PLM/1 Remarks The Lead -Based Paint Poisoning Prevention Act (LBPPA) has established an action level for public housing. Under the statute, lead -based paint hazards equal to or greater than 1.0 mg /cm or 0.5 percent by weight must be abated. Standards for private or commercial housing vary by locality. All sampling was conducted by representatives of Angstrom Analytical, Inc. If you have any questions or need further assistance, please call us at the number above. Sincerely, Steve Wallinga Angstrom Analytical, Inc. CLOSING STATEMENT (99.11307) SELLER'S COSTS: Mortga Payoff (HomEq Servici *Real Estate Tax Adjustment: ma PURCHASER'S COSTS: '` State Deed Tax: Conservation Fee: Recording Fee for Warranty Deed with Duplicate: Recording Fee for Well Disclosure Certificate: Certificate of Title: Credit Re: Real Estate Tax Adjustment: Abstracting and Searches: Prepayment Fee Re: Mortgage: Overnight Delivery CASH RECEIVED: Cash at Closing: Purchaser's Costs: Casey M. Moo and I' • DISBURSEMENTS: oHenne Servicin Corp in County Treasurer (Deed Tax): in Coun Re istrar of Title s: & Sondrall, P.A.: ht delivery charge) $175,000.00 $175,000.00 $174 $323.40 $175,001.76 $595.00 $5.00 $21.00 $30.00 $15.00 $(323.40) POC $2,090.40 $25.00 $2,458.00 $175,000.00 $2,458.00 $1.76 $177,459.76 $176,768.76 $595.00 $71.00 G. 11 $177,459.76 1 Real Estate Tax Adjustment Seller's Obligation: 72/366ths Base Tax for 2004: Solid Waste Fee $303.21 $20.19 323.40 Purchaser's Obligation: 294/366`' Base Tax for 2004: $1,176.44 TOTAL $1,499.84 SELLERS: Casey M. Amy P. Moo PURCHASER: THE ECONOMIC DEVELOPMENT AUTHORITY IN AND FOR THE CITY OF NEW HOPE By: W i , `�- Its: � bM n, � .: ,. �tr%. Sncc,.; s �' REIMBURSEMENT FOR MORTGAGE PREPAYMENT FEE Sellers agree this $2,090.40 cost will be reimbursed to the Purchaser if said cost is waived by Seller's Mortgage Company HomeEq. Servicing Corp. Seller agrees to immediately submit all necessary documents and application forms to obtain reimbursement from HomeEq. Servicing Corp. for this $2,090.40 fee. Immediately upon receiving reimbursement of this fee Sellers will pay this $2,090.40 reimbursement refund to the Purchaser the Economic Development Authority in and for the City of New Hope. This agreement by Sellers to pay this $2,090.40 fee reimbursement to Purchaser shall survive this closing and shall not be barred by the doctrine of merger. SELLERS: , Casey oo /v — no, A /*%-n- Amy o0 PURCHASER: By: Its: T PAAttorneyVLB \1- Client Folders \CNH \99- 11307\CNH99.11307 -007- Closing Stmt(W).doc 2 WARRANTY DEED Individual(s) to Corporation, Partnership or Limited Liability Company STATE DEED TAX DUE HEREON: $595.00 Date: March , 2004. FOR VALUABLE CONSIDERATION, Casey M. Moo and Amy P. Moo, husband and wife, Grantors, hereby convey and warrant to the Economic Development Authority in and for the City of New Hope, a public body corporate and politic under the laws of the State of Minnesota, Grantee, real property in Hennepin County, Minnesota, described as follows: Tracts C and D, Registered Land Survey No. 848, Hennepin County, Minnesota; Subject to and together with easements, restrictions and covenants of record; together with all hereditaments and appurtenances belonging thereto. Check box if applicable: ❑ The seller certifies that the seller does not know of any wells on the described real property. ® A well disclosure certificate accompanies this document. ❑ I am familiar with the property described in this instrument and I certify that the status and number of wells on the described real property have not changed since the last previously filed well disclosure certificate. STATE OF MINNESOTA } COUNTY OF HENNEPIN SS. The foregoing instrument was acknowledged before me this/5 day of March, 2004, by Casey M. Moo and Amy P. Moo, husband and wife, Grantors. (Notarial Stamp or Seat) ■ ■ C STEVEN A. SONDRALL NESOT ( - � + y .„■`•" aa.wr. ac s; izutaty Pubiic .,...: Check here if part or all of the land is Registered (Torrens) THIS INSTRUMENT DRAFTED BY Jensen & Sondrall, P.A. 8525 Edinbrook Crossing, Suite 201 Brooklyn Park, MN 55443 (763) 424 -8811 Tax Statements for the real property described in this instrument should be sent to: The Economic Development Authority in and for the City of New Hope 4401 Xylon Avenue North New Hope, MN 55428 P: %AW=yVLBV -Cliwt Pu1derslCNH%99- 113nCNH99. 11307-003.Dmd.dw (Above Reserved For Recording Data) STATE OF MINNESOTA ) ) ss. AFFIDAVIT REGARDING SELLERS COUNTY OF HENNEPIN ) Casey M. Moo and Amy P. Moo, husband and wife, being first duly sworn, on oath say that: 1. They are the persons named as Grantors in the document dated March _, 2004, and filed for record , 2004, as Document No. , in the office of the Registrar of Titles of Hennepin County, Minnesota. 2. Said persons are of legal age and under no legal disability with places of business, respectively, at: C M. Moo Amy P. Moo / ( c V� F'l (_� L I !'1 r ^t't r1.1 : c � t` . L r �-`- �"� /.c'� = 1, `o c � fit' ? � A 0. S 5 L`. 4" � j `' � Q ^ /� � � 1 12 -54 e! f / '{ t\ S �yQ s� r �/ v� i V t and for the last ten (10) years have resided at: 7609 Bass Lake Road, New Hope, Minnesota - 5 years. 7521 Lyndale Avenue South, Richfield, Minnesota - prior. 3. The social security numbers of said persons are: Casey M. Moo - Amy P. Moo 4. There have been no: a. Bankruptcy, divorce or dissolution proceedings involving said persons during the time period in which said persons have had any interest in the premises described in the above document ( "Premises "). b. Unsatisfied judgments of record against said persons, nor any actions pending in any courts which affect the Premises. C. Tax liens filed against said persons. 5. Any bankruptcy, divorce or dissolution proceedings of record aga -st parties i ±h the. same or _ similar names, during the time period in which the above -named persons have had any interest in the Premises, are not against the above -named persons. 6. Any judgments or tax liens of record against parties with the same or similar names are not against the above -named persons. 7. There has been no labor or materials furnished to the Premises for which payment has not been made. 8. There are no unrecorded contracts, leases, easements, or other agreements or interests relating to the Premises. 9. There are no persons in possession of any portion of the Premises other than pursuant to a recorded document. 10. There are no encroachments or boundary line questions affecting the Premises of which Afftants have knowledge. 11. This Affidavit is made as respects the following described property; Tracts C and D, Registered Land Survey No. 848, Hennepin County, Minnesota. Affiants know the matters herein stated are true and make this Affidavit for the purpose of inducing the passing of title to the Premises. Y, — Casey oo Amy P. Subscribed and sworn to before me this day ■ r s�> , of Z2,�� ST EVEN A SONORALL i NOW PlI MINNESOTA 19 MyOOMM E 11 ne Jan. 37, 2005 ■ Notary Public Drafted By: JENSEN & SONDRALL, P.A. 8525 Edinbrook Crossing, Suite 201 Brooklyn Park, MN 55443 (763) 424 -8811 PAAU.,.y\1L8\1 -Cti.t Fo1ders\ CNH\ 99- 1130TCNH99.1 W- OM- Affidwi[.do ACCESS AGREEEMENT FOR 7609 Bass Lake Road This Access Agreement (the "Agreement ") is dated effective the 15'' day of March, 2004, and is entered into by and between Casey M. Moo and Amy P. Moo, husband and wife ( "Sellers ") and the Economic Development Authority in and for the City of New Hope, a Minnesota municipal corporation ( "EDA ") contemporaneously with the closing of the sale of property located at 7609 Bass Lake Road, New Hope, Minnesota (the "Property ") from Sellers to EDA on March 15, 2004 ( "Closing Date "). WHEREAS, Sellers have not been able to fully remove their personal effects from the Property and have requested permission from the EDA for an additional sixteen (16) days after the Closing Date to remove their personal effects from the Property; and WHEREAS, as of the Closing Date, title to the Property transferred to the EDA, which includes the right of possession; and WHEREAS, EDA is willing to permit Sellers access to the Property following the Closing Date for a period of sixteen (16) days for the limited purpose of Sellers removing their personal property from the Property according to the terms and conditions contained herein; and NOW, THEREFORE, as an accommodation to Sellers, the EDA is willing to grant a limited right of access to the property at 7609 Bass Lake Road as specified herein: 1. EDA agrees to allow Sellers limited access to the Property following the Closing Date on March 15, 2004 for a period of sixteen (16) days, terminating at 11:59 p.m. on March 31, 2004 for the limited purpose of Sellers' removal of personal property from the Property. 2. Sellers have retained a key to the Property and are authorized to utilize the key for a period terminating at 11:59 p.m. on March 31, 2004 for the limited purpose of accessing and removing Sellers' personal effects. 3. Any personal property remaining on the Property after 11:59 p.m. on March 31, 2004 will be considered abandoned by Sellers and become the property of EDA or the City of New Hope and any costs incurred by the EDA or the City of New Hope to remove and dispose of the personal property will be deducted from the Withheld Funds. 4. This Agreement grants a contractual right of entry to Sellers and is not to be deemed in any way to create a leasehold estate. 5. Sellers shall enter upon the Property with reasonable care and without damage to the Property. 6. EDA waives all claims for trespass arising from Sellers' entry on the Property for the limited purpose of removal of personal property. 7. Any entry by Sellers for any reason other than for the limited purpose of removing personal property shall be deemed a trespass. 8. EDA or the City of New Hope will not be liable to Sellers, or Sellers' family, agents, invitees, contractors, employees or servants, for any damages or losses to person or property incurred during Sellers' entrance onto the Property to remove personal property, unless caused by the willful misconduct of the EDA or the City of New Hope, 9. Sellers agree to waive and release the EDA and City of New Hope and their employees, officials, agents and representatives of and from any and all right of recovery, claim, action or causes of action, for any loss or damage that may occur to Sellers' personal property, by reason of any and all risk and /or perils, regardless of cause or origin. 10. Sellers agree to indemnify, defend, and hold the EDA and City of New Hope harmless from and against all claims, damages, losses and expenses, including but not limited to reasonable attorney's fees for bodily injury or death or for injury to or destruction of personal property arising of and from any negligent act or omission of Sellers, or anyone directly or indirectly employed by Sellers in connection with Sellers' entry on the Property for the limited purpose of removing personal property. SELLERS: �LJX W l,� - Casey M. Amy P. Moo ECONOMIC DEVELOPMENT AUTHORITY IN AND FOR THE CITY OF NEW HOPE STATE OF MINNESOTA } COUNTY OF HENNEPIN SS. By: L' - -T Its. The foregoing instrument was acknowledged before me this 15` day of March, 2004, by Casey M. Moo and Amy P. Moo, husband and e. (Notary Public Seal) -_c ® STEVEN A. SONDRALL Notary Public NOTARYPUBUC My COM EIt89 Jan. 31, 2005 ■ AMA ° STATE OF MINNESOTA } COUNTY OF HENNEPIN SS. The foregoing instrument was ackno ledged before me this 15"' day V t i%e arch, . 20 by k j , f.,� G�z 0--i the ti - :�`� �- -� , � 1i rim+. - �.y r � i c� �- `� l �- �� 7a con mic Development Authority in and for the City of New Hope a Minnesota municipal corporation, on behalf of said municipal corporation. (Notary Public Seal) STEVEN A. SONDRALL NOTARY PUBLIC -MINNESOTA My 00nM BPI= Jan. 31, 2005 ■ s Notary Public Drafted By: JENSEN & SONDRALL, P.A. 8525 Edinbrook Crossing, Suite 201 Brooklyn Park, MN 55443 (763) 424 -8811 P: \Attorney \1LB \i - Client Folders \CNH \99 - 11307 \CNH99.11307 - 006 - Access Agr(D2).doc 3 MINNESOTA- REVENUE c Names of buyers (last, first, MI) Address Daytime phone Ecan mic DevQQIo me t Au ority in 8401 X lon g�v North ( 763)531 -5100 an or the Cit� o Newope New Hoe, MN �8 Names of sellers (last, first, MI) New address Daytime phone Moo, Casey M. ( ) Mo o, Amy P. Street address or rural route of property purchased City or township County 76 09 Bass Lake Road New Hope Hennepin 1. Date of deed or contract Legal description of property purchased (lot, block and plat) or attach 3 copies of the legal description 3/12/2004 1 Tracts C and D, Registered Land Survev No. 848 Financial arrangements 2. Total purchase price I Was personal property included in purchase price (e.g., furniture, inventory, equipment)? $175,000.00 ❑ Yes J] No If yes, list property and $ 3. Down payment current (not replacement) value at right, and enter $ _ W5, 000.00 total in Box 5 below. Use back of form if needed. $ 4. Points or prepaid interest paid by seller 5. Current value of personal property $ N/A N/A $ 6. Type of acquisition (check all that apply) ❑ Buyer and seller are relatives or related businesses ❑ Contract paid off or resold ❑ Property received in trade ❑ Buyer or seller is religious or charitable organization ❑ Name added or removed from deed ❑ Purchase agreement signed over two years ago a Buyer or seller is unit of government ❑ Property condemned or foreclosed upon ❑ Buyer purchased partial interest only ❑ Property received as gift or inheritance 7. Type of property transferred (check all that apply) ❑ Land only 5� Land and buildings ❑ Construction of new building after )an. 1 of year of sale 8. Planned use of property (check one) Residential: single family ❑ Residential: duplex, triplex ❑ Cabin or recreational (noncommercial) ❑ Agricultural. Number of acres: ❑ Apartment (residential, four or more units). Number of units: ❑ Commercial - industrial. Type of business: ❑ Other. Describe: 8a. Will this property be the buyer's principal residence? ❑ Yes 18� No Method of financing (complete only if seller - financed, including contracts - for -deed and assumed mortgages) Assumed Contract Mortgage or contract- for-deed Monthly payment Interest rate mortgage for deed amount at purchase (principal & interest) now in effect 9. ❑ ❑ 10. ❑ ❑ (attach Schedule PE20A). (attach Schedule PE20A). (attach Schedule PE20A). (attach Schedule PE20A). Number of Date of any lump - payments sum (balloon) payments Sign here. I declare under penalty of law that the information on this form is true, correct and complete to the best of my knowledge and belief 5 'ja me Date Daytime phone ` le y , S� �1v.� j ture I P �- — -r. - �7��) �44 - 42 e �. Counties: Complete this sectinn_ Cc 1:1 Cc Yr Bit SD Yr Land Bldg Tot ___7 ❑ T Primary property ID number Acres Tillable CER CRP RIM Use Deed Yr Land Bldg Tot Secondary parcel ID number Good for study Ej Yes F� No If no, give reason /code b C. d. Are there more parcels? ❑ Yes ❑ No x HC ST Adjc Adjs Use Tillable EMV Apt FM GA C 1 MV 2 MV ID Put additional ID numbers on back of form. Co CT PT Date T M S 0 Lo d ° o 0 0 ( Z 0 N JENSEN SONDRALL, P.A. Attorneys At Law DOUGLAS J. DEBNER GORDON L. JENSEN' GLEN A. NORTON STEVEN A.SONDRALL STACY A. WOODS March 15, 2004 8525 EDINBROOK CROSSING, STE. 201 BROOKLYN PARK, MINNESOTA 55443 -1968 TELEPHONE (763) 424 -8811 • TELEFAX (763) 493 -5193 e -mail law @jensen- sondrall.com Writer's Direct Dial No.: (763) 201 -0214 e -mail jlb(ajensen- sondrall.com OF COUNSEL LORENS Q. BRYNESTAD 'Real Property Law Specialist Certified By The Minnesota State Bar Association 'Admitted in Iowa HomEq Servicing Corporation Attn Payoff Processing VIA OVERNIGHT DELIVERY 4837 Watt Avenue, Suite 200 North Highlands, CA 95660 Re: Loan Number 0000320952641 7609 Bass Lake Road, New Hope, Minnesota 55428 Dear Sir /Madam: Enclosed with this letter you will find a check made payable to you in the amount of $176,768.76. This sum represents the outstanding principal balance of $172,998.46, interest from February 1, 2004 through March 17, 2004 in the amount of $1,602.64, a late charge of $52.26, your fee of $25.00 and your prepayment penalty charge of $2,090.40. Please provide us with your Satisfaction of Mortgage as soon as possible. It is my understanding that the mortgage was placed with First Franklin Financial Corp. and that the mortgage document was dated December 17, 2003 and recorded February 20, 2004, with the Office of the Hennepin County Registrar of Titles, as Document No. 3923148. Thank you. Sincerely, Janet L. Burke Paralegal Enclosure P: \AnorneyVLB \I- Client Folders \CNH \99- 11307\CNH99.11307- 009 -HomFq Ltr.doc TITLE PRODUCTION March 8, 2004 VIA FACSIMILE AND FIRST CLASS MAIL 763 - 201 -0211 Jensen & Sondrall, P.A. Attn: Janet Burke 8525 Edinbrook Crossing, Suite 201 Brooklyn Park, IMIN 55443 RE: Michael Charels Tomaszewski, et al Property Address: 7609 Bass Lake Road, New Hope, MN Our File No. KT -19291 Your File No. 99.11287 Dear Ms. Burke: 6900 Wedawood Road • Suitt 450 Maple Grove. MN 5531 1 (763) 463 -3222 • ;763 463 -3223 F t Excel Title, LLC hereby agrees to indemnify and hold City of New Hope harmless from any loss, cost and/or damages arising from the enforcement of any lien and/or interest in the property herein by reason of the following: Mortgage, recorded December 21, 2000 as Document No. 3343214 from Casey M. Moo and Amy P. Moo, husband and wife to Marquette Capital Bank, N.A. in the original amount of $19,000.00. Mortgage recorded January 10, 2002 as Document No. 3484606 from Casey M. Moo and Amy P. Moo, husband and wife to Mortgage Electronic Registration Systems, Inc. in the original amount of $126,500.00. If a Satisfaction of Mortgage cannot be obtained, Excel Title will undertake to issue a Certificate of Release with respect to the mortgages referenced above. If you have any questions regarding this letter, please contact me at 763 - 463 -3253. Cordially, EXCEL TITLE, LLC By: Lori L. Paul Its: Corporate Counsel RightFAX 3/12/04 8:56: PAGE 002/4 RightFAX HomEq Servicing Corporation `Post Office Box 13716 Sacramento, CA 95853 4837 Waft Avenue, Suite 200 North Highlands, CA 95660 ****************************************** * * * * * * * * * * * * * * * * * * * * * * * * * * * * * ** * Please contact Customer Service by calling 1.877.867.7378 with any HOMEQ * questions concerning the payoff statement. Interest will accrue until - * the full amount is received. Please refer to the stipulation page for * additional information and instructions. ****************************************** * * * * * * * * * * * * * * * * * * * * * * * * * * * * * ** March 12,2004 No zip code! Mortgagor Information Jensen & Sondrall Amy Moo Casey Moo 7609 BASS LAKE RD NEW HOPE MN 55428 Payoff Requestor Loan Information Jensen & Sondrall Loan Number: 0000320952641 Loan Type : 13 - Conventional Residential Without Pmi Property Address 7609 BASS LAKE RD NEW HOPE MN 55428 The payoff itemization amounts below are subject to final verification upon receipt of funds by HomEq. HomEq reserves the right to adjust these amounts and decline to pay the account in full if the payoff is insufficient to payoff the account in full for any reason, including but not limited to, error in calculation of the payoff amount, previously dishonored check, or money order, or as a result of additional disbursements or adjustments made by HomEq between the date of this payoff statement and receipt of the payoff funds. This Payoff Quote Is Good Through 04/12/2004 The Next Payment Due Is 03/01/2004 The Current Total Unpaid Principal Balance Is $172,998.46 Interest At 7.25% $2,508.48 Daily Per Diem $34.84 Prepayment Penalty Charge $2,090.40 Recording Fees $25.00 Total Amount To Pay This Account In FULL $177,622.34 The current escrow balance of $872.45 may change due to receipts and /or disbursements from the account prior to payment in full. Issuance of this statement does not suspend the contract requirement to make the mortgage payments when due. A late charge of $52.26 will be assessed 15 days after a current payment is due and should be added to the payoff total if payoff will be received after that time. Notice to borrowers with adjustable rate mortgages: The interest rate provided above represents the interest rate in effect on your account at the time the payoff was generated. Payoff funds received may not be applied at this interest rate if other interest rates are applicable. Refer to the following Payoff Stipulations for additional information and instructions Miller /Davis Co., St. Paul, MN —Form 1300 (1994; Rev. 1996; Rev. 1997; Rev. 2002) M.S.B.A. Real Property Form No. 1 Minnesota Standard Residential Purchase Agreement PURCHASE AGREEMENT ! PAGE 1 MINNESOTA STANDARD RESIDENTIAL PURCHASE AGREEMENT Q Copyright 1996, 1997, 2002 by Minnesota State Bar Association, Minneapolis, Minnesota BEFORE YOU USE OR SIGN THIS CONTRACT, YOU SHOULD CONSULT WITH A LAWYER TO DETERMINE THAT THIS CONTRACT ADEQUATELY PROTECTS YOUR LEGAL RIGHTS. Minnesota State Bar Association disclaims any liability arising out of the use of this form. 1 1. PARTIES. This Purchase Agreement is made on February 2004 , by and between 2 Casey Moo and Amy P Mon [marital status] husband and wife 3 of [seller's address) 7609 R cc Lake Road, SELLER, and 4 the Economic Development Authority ("FDA ") in and for for City of New Home Qd[b( jQa(1tS 9tDillsC llG$t�71ffiR %7[�Xk7E�oon7E3gCR 5xfWolw1lNd)t( buyer's address] 4401 Xylon 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 6 Traetc C and P Registered Land Curvey�'n. R4R H nnepin ('e n ,yyiinnecnta. 9 90 11 [Property Tax Identification Number or Tax Parcel Number 05 -11 R- 21- 33 - 0QR9 ) 12 13 located at 7609 R ss Lake Road City of New Hope _- , 14 County of Hennepin State ofMinnesota, Zip Code 55429 15 16 3. ACCEPTANCE DEADLINE. The acceptance date of this Purchase Agreement is the date it is delivered by the last party signing to the other 17 party. This offer to purchase, unless accepted sooner, shall be void at 11:59 A.M., on [date] 2004 _ 18 and in such event all earnest money shall be refunded to Buyer. 1s 20 4. PERSONAL PROPERTY AND FIXTURES INCLUDED IN SALE. The following items of personal property and fixtures owned by Seller 21 and currently located on the real property are included in this sale [Strike out items not included]: garden bulbs, plants, shrubs, trees, storm 22 windows and inserts, storm doors, screens, 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, built -in 24 humidifiers, built -in air conditioning units, built -in electronic air filters, automatic garage door openers with controls, television antennas, 25 water softeners, built -in dishwashers, garbage disposals, built -in trash compactors, built -in ovens and cooking stoves, hood -fans, intercoms, 26 installed carpeting, work benches, security systems, and also the following property: 27 _ 28 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:] ❑ 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 33 One Hundred Seventy-Eive Thousand and 00 /100 Dollars 34 Dollars ($ 175.000.00 ), which Buyer shall pay as follows: 35 36 Earnest money of $ 0.00 by PCX32K %MODK, ZMXE - state which] payable to 37 [select one :] 38 H Seller, to be deposited and held by Seller (and may be commingled with Seller's other funds) pending closing, 39 Seller's lawyer, to 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 $ 175,000.00 cash, on 1 2004 the DATE OF CLOSING, and 44 the balance of $ 0.00 by financing as shown on the attached Financing Addendum. 45 46 6. DEED /MARKETABLE TITLE. Upon performance by Buyer, Seller shall execute and deliver a Warranty Deed, joined 47 in by spouse, if any, conveying marketable title of record, subject to: 48 A. Building and zoning laws, ordinances, state and federal regulations; 49 B. Restrictions relating to use or improvement of the real property without effective forfeiture provisions; 5o C. Reservation of any mineral rights by the State of Minnesota; 51 D. Utility and drainage easements which do not interfere with existing improvements: 52 E. Exceptions to title which constitute encumbrances, restrictions, or easements which have been disclosed to Buyer and accepted by Buyer 53 in this Purchase Agreement [must be specified in writing]: 54 7. REAL ESTATE TAXES AND SPECIAL ASSESSMENTS. Real estate taxes due and payable in and for the year of closing shall be pro - 55 rated between Seller and Buyer on a calendar year basis to the actual Date of Closing, unless otherwise provided in this Purchase Agreement. 56 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, 57 and such estimated proration shall be [strike one] F7g=XWMKXJMf XMXKSMDLIER NMXIB2 ! ADJUSTED UPON RECEIPT OF 58 TMKXKX)IMAMA MXSGCXIGLXXDLVM (in which case the party entitled to a credit as a result of the adjustment shall receive 59 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 60 year(s) 2004 will be FULL, XWW, Mili[K homestead classification, unless Buyer changes the tax classification for taxes 61 payable in the year following closing by taking possession of the real property as Buyer's homestead and filing a new homestead declaration within 62 the time required by law. If the taxes due and payable in the year of closing are PART or NON - homestead classification, Seller shall pay to Buyer 63 at closing $ , in addition to Seller's prorated share of the taxes. If the taxes due and payable in the year 64 following closing are PART or NON - homestead classification and the closing takes place after the date by which Buyer must take possession 65 of the real property as Buyer's homestead to file for homestead tax status for taxes due and payable in such year, Seller shall pay to Buyer at 66 closing $ as Seller's share of such taxes. 67 68 [Strike one BvSfX]CXI7GMJ6H KXSXi]]EAMKeXCOlX7CXtOG / SELLER SHALL PAY ON DATE OF CLOSING 69 all installments of special assessments certified for payment with the real estate taxes due and payable in the year of closing. 70 [Strike one:] 8[DPSBICEEIALY]C76SDQKXX / SELLER SHALL PAY ON DATE OF CLOSING all other special assessments levied as of the 71 date of this Purchase Agreement 72 [Strike one:] DUMKZK4dX=ZXXXX / SELLER SHALL PROVIDE FOR PAYMENT OF special assessments pending as of the date of 73 this Purchase Agreement for improvements that have been ordered by the City Council or other governmental assessing authorities. (Seller's 74 provision for payment shall be by payment into escrow of 1 -1/2 times the estimated amount of the assessments.) As of the date of this 75 Purchase Agreement, Seller represents that Seller has not received a Notice of Hearing of a new public improvement project from any 76 governmental assessing authority, the costs of which project may be assessed against the real property. If a special assessment becomes 77 pending after the date of this Purchase Agreement and before the Date of Closing, Buyer may, at Buyer's option: 78 A. Assume payment of the pending special assessment without adjustment to the purchase price of the real property; or, 70 B. Require Seller to pay the pending special assessment (or escrow for payment of same as provided above) and Buyer shall pay a commen- e0 surate increase in the purchase price of the real 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. Miller /Davis 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 2 82 (Strike one .1 6ttCt ODat116k1XPooUng / SELLER SHALL PAY ON DATE OF CLOSING any deferred real estate taxes (including "Green 83 Acres" taxes under Minn. Stat 273.111) 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 special assessments payable 85 therewith and thereafter, the payment of which is not otherwise provided herein. Seller makes no representation concerning the amount of future 86 real estate taxes or of future special assessments. 87 88 S. DAMAGES TO REAL PROPERTY. If the real property is substantially damaged prior to closing, this Purchase Agreement shall terminate 89 and the earnest money shall be refunded to Buyer. If the real property is damaged materially but less than substantially prior to closing, 90 Buyer may rescind this Purchase 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 9. SELLER'S BOUNDARY LINE, ACCESS, RESTRICTIONS AND LIEN WARRANTIES. Seller warrants that buildings, if any, are entirely within the 94 boundary lines of the real property. Seller warrants that there is a right of access to the real property from a public right of way. Seller warrants that there has been no labor 95 or material furnished to the real property for which payment has not been made. Seller warrants that there are no present violations of any restrictions relating to the use or 96 improvement of the real property. These warranties shall survive the delivery of the Deed or Contract for Deed. 97 98 10. CONDITION OF PROPERTY. ** SEE ADDITIONAL TERMS 99 100 A. Seiler warrants that all appliances, fixtures, heating and air conditioning equipment, fireplaces (including mechanisms, dampers, flues, and 101 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 102 debris, and all personal property not included in this sale from the real property before possession date. Seller has no knowledge of any 103 Dutch elm disease, oak wilt, or other disease of any trees on the real property. 104 105 B, Seller knows of no hazardous substances or petroleum products having been placed, stored, or released from or on the real property by any 106 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: _ 107 108 109 110 111 _.... 112 C. Seller's warranties and representations contained in this paragraph 10 shall survive the delivery of the Deed or Contract for Deed. Any action 113 based upon these warranties and representations must be commenced within two years after the date on which the buyer closed on the 114 purchase of the real property. 115 116 D. Buyer shall have the right to have inspections of the property conducted prior to closing. Unless required by local ordinance or lending 117 regulations, Seller does not plan to have the property inspected. 118 119 E. Statutory Disclosure. Pursuant to Minnesota Statutes sections 513.52 - 513.60 (effective January 1, 2003), Seller must provide a written 120 disclosure [see (1) below], or Buyer must have received an inspection report [see (2) below], or Buyer and Seller may waive the written 121 disclosure requirements [see (3) below]. 122 123 Minnesota Statutes Section 513.57, Subd. 2. LIABILITY.A seller who fails to make a disclosure as required by sections 513.52 to 513.60 and was aware of 124 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 125 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 126 on which the prospective buyer closed the purchase or transfer of the real property. 127 12a Select only one of these three] 129 (11 Seller's Disclosure. Seller has provided a written disclosure to Buyer. A copy of Seller's disclosure is attached. Seller shall correct in 130 writing any inaccuracies in the disclosure as soon as reasonably possible before closing. 131 132 Minnesota Statutes Section 513.55. GENERAL DISCLOSURE REQUIREMENTS. 133 Subdivision 1. CONTENTS. 134 (a) Before signing an agreement to sell or transfer residential real property, the seller shall make a written disclosure to the prospective buyer. The 135 disclosure must include all material facts pertaining to adverse physical conditions in the property of which the seller is aware that could adversely and 136 significantly affect: 137 (1) an ordinary buyer's use and enjoyment of the property; or, 138 (2) any intended use of the property of which the seller is aware. 139 (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. 140 141 Minnesota Statutes Section 513.58. AMENDMENT TO DISCLOSURE. 142 Subdivision 1. NOTICE. A seller must notify the prospective buyer in writing as soon as reasonably possible, but in any event before closing, if the seller 143 learns that the setter's disclosure required by section 513.55 was inaccurate. 144 Subdivision 2. FAILURE TO NOTIFY; LIABILITY.A setter who fails to notify the prospective buyer of any amendments to the initial disclosure required 145 under subdivision 1 is liable to the prospective buyer as provided in section 513.57. 146 147 ❑ ( 2) Inspection Report. Buyer has received an inspection report by a qualified third - party. If a copy of the inspection report is provided to 148 Seller, Seiler shall disclose to Buyer material facts known to Seller that contradict any information in the inspection report 149 150 Minnesota Statutes Section 513.56 Subd. 3. INSPECTIONS. 151 (a) Except as provided in paragraph (b), a seller is not required to disclose information relating to the physical condition of the real property if a written 152 report that discloses the information has been prepared by a qualified third party and provided to the prospective buyer. For purposes of this paragraph, 153 "qualified third party" means a federal, state, or local governmental agency, or any person whom the seller, or prospective buyer, reasonably believes has 154 the expertise necessary to meet the industry standards of practice for the type of inspection or investigation that has been conducted by the third party in 155 order to prepare the written report. 156 (b) A seller shall disclose to the prospective buyer material facts known by the seller that contradict any information included in a written report under 157 paragraph (a) if a copy of the report is provided to the seller. 158 159 (3) Waiver of Disclosure. 160 161 Minnesota Statutes Section 513.60. WAIVER The written disclosure required under sections 513.52 to 513.60 may be waived if the seller and the 162 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 163 seller disclosure created by any other law. 164 165 Seller and Buyer wqF fha written disclosure required under sections 513.52 to 513.60. 168 167 168 SELLE BUYE 169 Casey W. Peter Erick, President, New Hope EDA 170 171 172 SELLS oo y BUYS ° r. L> X _ 173 Amy P. Moo Daniel J. Donafl Executive Director, New Hope EDA Miller/Davis 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 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 11. DISCLOSURE OF NOTICES. Seller has not received any notice from any governmental authority as to violation of any law, ordinance or 179 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 180 a breach of the covenants. Seller has not received any notice from any governmental authority conceming any eminent domain, condemnation, 181 special taxing district, or rezoning proceedings. 182 183 12. TRUTH -IN- HOUSING. Buyer acknowledges 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 the date of closing. All interest, fuel oil, liquid petroleum 187 gas and all charges for city water, city sewer, electricity, and natural gas shall be prorated between the parties as o fthe date of closing 188 189 XbftJ21&ft1l&ftAA111QbM m ix=�SdER2tigI�6S8a8�X iYX3C& 7( ffiH�X�XrE'% 4G8#& K1G74 %SS #%rX3E3f$S5Y37XX6filFffi7 %X 190 fit# R/R %r&$tT$#7aH%tY YXK 3 =X% gWRXMESYdPRX =K5X- XF%rYHW=XTAMHIHXV4POI XXsXSrF MXYd 6X %r%>W"WIIXX 199 7C qB% XiYr fHRIL% �iH�$;( 7FX% dC$ i78$% �Htl% F% 9�Y& X3tR% ZY® CX% �8X�gHIH+ X&S&$ HiH��X�F ^X'%H895YsY�G3�B'�1K %)I'%�IX 192 X%&5%BbfX$g �t% t�] FFdfj#& 7XHtFt4'&$&. 3F�X% X 193 X B %1"A X 194 X NKKNX #S X ITaNNIX H XHIYE &XVZW"%X 195 XA(�C 'JFirrXffiR9C%�S� $%B.XRILXrHt #7( %�SBfr&gX%>&X '% %& �YXSA%W%Xdii&%rX_MX&XHSKH%XX 196 1YY $BrY$X%BCXIYHYYB %If%�X�&&-HiH$ %9CifiYHH%i %HX�tiBfiX3]S %X 197 %ASM"SK % *SEE ADDITIONAL TERMS 198 199 15. TITLE CORRECTIONS AND REMEDIES. Seller shall have 120 days from receipt of Buyer's written title objections to make fide marketable. 200 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 201 the 120 day period. Liens or encumbrances for liquidated amounts which can be released by payment or escrow from proceeds of closing shall not 202 delay the closing. Cure of the defects by Seiler shall be reasonable, diligent, and prompt. Pending correction of title, all payments required herein 203 and the closing shall be postponed. 204 A. if notice is given and Seller makes title marketable, then upon presentation to Buyer and proposed lender of documentation establishing that 205 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 206 207 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 tide marketable but the 120 da y period expires without title being made marketable, 209 Buyer may declare this Purchase Agreement void by notice to Seller, neither party shall be liable for damages hereunder to the other, and 210 earnest money shall be refunded to Buyer. 211 C. If Seller does not give notice of intention to make tide marketable, or if notice is given but the 120 day period expires without title being made 212 marketable due to Seller's failure to proceed in good faith, Buyer may seek, as permitted by law, one or more of the following: 213 1. Proceed to closing without waiver or merger in the Deed of the objections to title and without waiver of any remedies, and may: 214 (a) Seek damages, costs, and reasonable lawyer's fees from Seller as permitted by law (damages under this subparagraph (a) shall be 215 limited to the cost of curing objections to titre, and consequential damages are excluded); or 216 (b) Undertake- proceedings to correct the objections to title; 217 2. Rescission of this Purchase Agreement by notice as provided herein, in which case the Purchase Agreement shall be null and void and all 218 earnest money paid shall be refunded to Buyer, 219 3. Damages from Seller together with costs and reasonable lawyer's fees, as permitted by law; 220 4. Spedfic performance within six months after such right of action arises. 221 D. If title is marketable, or is made marketable as provided herein, and Buyer defaults in any of the agreements herein, Seiler may elect either of 222 the following options, as permitted by law: 223 1. Cancel this contract as provided by statute and retain all payments made hereunder as liquidated damages. The parties acknowledge their intention that any note 224 given pursuant to this contract is a down payment note, and may be presented for payment notwithstanding cancellation; 225 2. Seek specific performance within six months after such right of action arises, including costs and reasonable lawyer's fees, as permitted by law. 225 E. if title is marketable, or is made marketable as provided herein, and Seller defaults in any of the agreements herein, Buyer may, as permitted by law: 227 1. Seek damages from Seller including costs and reasonable lawyer's fees; 228 2. Seek specific performance within six months after such right of action arises. 229 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, 230 if mailed, are effective as of the date of mailing. 231 232 17. SUBDIVISION OF LAND. If this sale constitutes or requires a subdivision of land owned by Seller, Seller shall pay all subdivision expenses and 233 obtain all necessary governmental approvals. Seller warrants that the legal description of the real property to be conveyed has been or will be 234 approved for recording as of the Date of Closing. 235 236 18. MINNESOTA LAW. This contract shall be governed by the laws of the State of Minnesota. 237 238 19. WELL DISCLOSURE. [Check one of the following:] 239 Seller certifies that Seller does not know of any, wells on the real property. 240 Wells on the real property are disclosed by Seller on the attached Well Disclosure form. 241 242 20. SEWAGE TREATMENT SYSTEM DISCLOSURE. 243 ICh either A or S:I 244 A. Seiler certifies that sewage generated at the property goes to a facility permitted by the Minnesota Pollution Control Agency (for 245 example, a city or municipal sewer system). 246 _ B. Seller certifies that sewage generated at the property does not go to a facility permitted by the Minnesota Pollution Control Agency 247 and Seller's Disclosure of Individual Sewage Treatment System is attached (attach form). 248 CCheck either C or DJ 249 _ C. Seller does not know if there is an abandoned individual sewage treatment system on the property. 250 _ D. Seller knows that there [strike one:) are / are no abandoned individual sewage treatment systems on the property if Seller discloses 251 the existence of an abandoned individual sewage treatment system on the property, then Minnesota law requires that the location 252 of the system be disclosed to Buyer with a map. [Attach Seller's Disclosure of Individual Sewage Treatment System with map completed.] 253 254 21. LEAD PAINT DISCLOSURE. [Check one of the following:] 255 Seller represents that the dwelling was constructed on the real property in 1978 or later. 256 Seiler represents that the dwelling was constructed on the real property before 1978. (If such housing is located on the real prop- erty, 257 attached and made a part of this Purchase Agreement is "LEAD PAINTADDENDUM FOR HOUSING CONSTRUCTED BEFORE 1978 ".) 258 259 22. WETLANDS, SHORELAND, AND FLOOD PLAIN CONCERNS. Currently the law does not require Seller to disclose Seller's knowledge, if any, 260 of the existence of wetlands, shoreland, or flood plain on or affecting the real property. If Buyer has not already investigated these 261 concerns, Buyer might want to include Seller's disclosures regarding these concerns. [Check the box if the following provision ADDENDUM applies to this Purchase Agreement] 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, 264 265 23. SELLER'S AFFIDAVIT. At closing, Seller shall supplement the warranties and representations in this Purchase Agreement by executing and 266 delivering a Minnesota Uniform Conveyancing Blank [Form No. 116 -M, 117 -M, or 118-M] Affidavit of Seller. 267 Miller /Davis Co., St. Paul, MN —Form 1300 0994; Rev. 1996; Rev. 1997; Rev, 2002) M.S.B.A. Real Property Form No. 1 Minnesota Standard Residential Purchase Agreement PURCHASE AGREEMENT / PAGE 4 268 24. CLOSING. Closing shall be at the office of Seller's lawyer, Buyers title insurer, or at some other mutually agreeable location. 269 270 [State otherlocatiow] New Hone City Hall 4401 Xylon Avenue North, New Hope, Minnesota 55428 27 1 At closing, Seller and Buyer shall disclose their Social Security Numbers or Federal Tax Identification Numbers for the purposes of completing 272 state and federal tax forms. 273 274 25. ADDITIONAL TERMS: OF JIT 275 erg o ic nT Title In4 it ore a nc n t mcnranrr 276 Seller shall be responsible for payment of those costs necessary to prepare such Commitment�in 1 �di but not lim ed 277 abstracting fames, name search _ feet, service charges, etc Buyer shall pay the premium for the (h a is Policy of Title Ingnrrance 278 Buyer shall have n (10) business s after receipt ofthe Commitment for Title Insurance o provide Seller with a copy ofthe 279 Commitmen and written objections. B3tver shall . deemed to have waiv d any title o c i ns not mane v. ^,'thin th .teen (1 �l da11 280 period above, except that this shall not operate as a waiver of Seller's cotenant to deliver a stab on/ Warranty Deed, unless a 281 Warranty Deed is not specified above Tf Buyer obt ains t itle insurance, Buyer is not waiving the rigbt to obtain a good an 282 marketable itle of record from Keller. 283 284 ** SEE F.XATBIT A ATTACHED HFRF.T0 285 - -...- 286 287 26. ADDENDA. Attached are addenda which are made a part of this Purchase Agreement. 288 289 27. TIME IS OF THE ESSENCE. Time is of the essence for all provisions of this Purchase Agreement, 290 291 28. MULTIPLE ORIGINALS. Seller and Buyer have signed [number] 3 originals of this Purchase Agreement. 292 293 294 295 296 297 298 299 300 I agree to purchase the property for the price and terms and conditions set fort abov BUYER: �1C �' ✓ mot W. Peter Enck, President (date) New ope EDA } /n BUYER: "� % Daniel J. Donahue, Executive Director (date) New Hope EDA Jensen & Sondrall, P.A. 8525 Edinbrook Crossing, Suite 201 Brooklyn Park, Minnesota 55443 Telephone: (763) 424-8811 Facsimile: (763) 493 -5193 This Purchase Agreement was prepared by: Others who will assist Seller or Bu er with this transaction: Lawyer For Buyer Telephone: Facsimile: 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 THIS IS A LEGALLY BINDING CONTRACT. BEFORE SIGNING CONSULT A LAWYER Minnesota law permits licensed real estate brokers and sales agents to prepare purchase agreements. No recommendation or representation may be made by any real estate broker or sales agent as to the legal sufficiency, the legal effect, or the tax consequences of this contract. These are questions for your lawyer. eV- I agree to sell the property for the price and terms and conditions Miller /Davis 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 5 Buyer's or Lender's Title Insurer. Telephone: Facsimile: Old Republic National Title Insurance Company 400 Second Avenue South Minneapolis, Minnesota 55401 ,r,. Miller /Davis Co. ® St. Paul, MN 651.642 -1988 ■ oves— 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. m 2000, Minnesota Association of REALTORS@, Edina, MN Date Page Addendum to Purchase Agreement between parties dated_ February 1 2004 pertaining to the purchase and sale of the property at _ 1609 Bass I ,ake Road, New Hope, Minnesota 55428 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 may present exposure to lead from lead -based paint that may place young children at risk of developing lead poisoning. Lead poisoning in young children may 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 possession and notify the buyer of any known lead -based paint hazards. A risk assessment or inspection forpossible lead - basedpaint hazards is recommended prior to purchase. Seller's Disclosure (initial) (a) Presence of lead -based paint and/or lead -based paint hazards (check one below): ❑ Known lead -based paint and/or lead -based paint hazards are present in the housing (explain). ❑ Seller has no knowledge of lead -based paint and/or lead -based paint hazards in the housing. (b) 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): ❑ Received a 10 -day 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 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 aiA accurate. Casey M. Moo I f 1 W. Peter Enck, President, New Hope EDA Seller Date Purchaser Date NCO, q L" J , / 41 .-;/ 4 f Amy P. Moo 14ahiel J. Donz&u< Executive Director, New Hope ED Seller Date Purchaser Date Real Estate Licensee Date Real Estate Licensee Date II: Contingency (Initial only if first box under Purchaser's Acknowledgment letter (e) above is the w `�tract is contingent upon a risk assessment or an inspection of the property for the presence of I ed paint and/or lead -base ds to be conducted at the purchaser's expense. The assessment or inspection completed within ten (10)/ Galen er acceptance of the Purchase Agreement. This con ' shall be deemed removed, and the the_)',, W AWment shall be in iid effect, unless purchaser or re a licensee assisting or acting on behalf of purchaser delivers to seller or real estate licensee 'e ' or acting o of seller within three (3) calendar days after the assessment or inspection is timely completed a written list of eficiencies and the corrections required, together with a copy of any risk assessment or inspection report. If t r and purchaser fd�u.agj„a eed in writing within three (3) calendar days after delivery of the written list of re u' ections that: (A) some or all of the r rrections will be made; or (B) the purchaser waives the deficienci ) an adjustment to the purchase price will be made, a A�eement shall automatically be deemed void, and all earnest money shall be refunded to the purchaser. It is un err 0 the purchaser may y waive deficiencies or defects, or remove this contingency, providing that the purchaser or the rea estate lic isting or acting on behalf of purchaser notifies the seller or real estate licensee assisting or acting on behalf of the waiver or removal in writing within the time specified. ,'iSALE (9/00) WARNING: UNAUTHORIZED COPYING OF THIS FORM PROHIBITED. Miller/Davis Co. 0 St Paul, MN 651.642 -1988 ,V0#eS"" Form 1519WD (Rev. 10/03) WELL DISCLOSURE STATEMENT This form approved by the Minnesota Association of REALTORS ®, which disclaims any liability arising out of use or misuse of this form. 0 2003, Minnesota Association of REALTORS ®, 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 requires that before signing an agreement to sell or transfer real property, Seller 5. must disclose information in writing to the Buyer about the status and location of all known wells on the property. This 6. requirement is satisfied by delivering to the Buyer either a statement by the Seller that the Seller does not know of 7. any wells on the property, or a disclosure statement indicating the legal description and county, and a map showing 8. the location of each well. In the disclosure statement the Seller must indicate, for each well, whether the well is in 9. 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 to 11. disclose the existence or known status of a well at the time of sale and knew or had reason to know of the existence 12. or known status of the well, is liable to the Buyer for costs relating to sealing of the well and reasonable attorney fees 13. for collection of costs from the Seller, if the action is commenced within six years after the date the Buyer closed the 14. 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 the 16. local unit(s) of government, state agency, or qualified professional which regulates wells for further information about 17. these issues. 18. Instructions for completion of this form are on the reverse side 19. PROPERTY DESCRIPTION 20. Street Address 7609 Rays rake Rnart New M city Zip County 21, LEGAL DESCRIPTION: Tracts C and D,Registered Land Surveyn R4_ &,_Rennepin Conntv, o la - ..._..... 22. 23. 25. WELL DISCLOSURE STATEMENT 26. (Check the appropriate box.) 27. ❑ The Seller certifies that the Seller does not know of any wells on the above described real property. 28. (If this option is checked, then skip to the last line and sign and date this statement.) 29. ❑ The Seller certifies that the following wells are located on the above described property. 30. MN Unique Well Year of Well IN USE NOT IN SEALED 31. Well No. Depth Const. Type USE 32. Well 1 ❑ ❑ ❑ 33. Well ❑ ❑ ❑ 34. Well ❑ ❑ ❑ 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: Test results attached? Yes= No= 41. Comments: 42. Contaminated Well: Is there a well on or serving the property containing contaminated water? Yes= No= 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 a Sealed Well Report filed with the Minnesota Department of Health? Yes= No= 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 /ies may wish to obtain. 52. CERTIFICATION BY SELLER ((�� 53. 1 certify th he Inf rm provided above is accurate and o pfete to the est ofg ll 54. 6 a D Casey M. OO Am P. Moo (Seller of Designat Repre tali ve) (Date) (Seller or Designated presentative) (Date) 55. BUYER S ACKN W ED ENT 56. Ij W. Peter Enck, President, New Hope EDA Daniel J. Donahue, Executive Director, New Hope EDA (Buyer) (Date) (Buyer) (Date) 57. MN -wDS -1 (10/03) ORIGINAL COPY TO LISTING BROKER; COPIES TO SELLER, BUYER, SELLING BROKER WARNING: UNAUTHORIZED COPYING OF THIS FORM PROHIBITED. WELL DISCLOSURE STATEMENT 58. Page 2 of Pages. 59. 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 constructed if the 62. excavation is intended for the location, diversion, artificial recharge, or acquisition of groundwater. 63. MINNESOTA UNIQUE WELL NUMBER 64. All new wells constructed AFTER January 1, 1975 should have been assigned a Minnesota unique well number by 65. the person constructing the well. If the well was constructed after this date you should have the unique well number in 66. your property records: If you are unable to locate your unique well number and the well was constructed AFTER 67. January 1, 1975, contact your well contractor. If no unique well number is available, please indicate the depth and 68. year of construction for each well. 69. WELL TYPE 70. Use one of the following terms to describe the well type. 71. WATER WELL: A water well is any type of well used to extract groundwater for private or public use. Examples of 72. water wells are: domestic wells, drive -point wells, dug wells, remedial wells, and municipal wells. 73. IRRIGATION WELL: An irrigation well is a well used to irrigate agricultural lands. These are typically large 74. diameter wells connected to a large pressure distribution system. 75. MONITORING WELL: A monitoring well is a well used to monitor groundwater contamination. The well is typically 76. used to access groundwater for the extraction of samples. 77. DEWATERING WELL: A dewatering well is a well used to lower groundwater levels to allow for construction or 78. use of underground spaces. 79. INDUSTRIALICOMMERCIAL WELL: An industrial/commercial well is a nonpotable well used to extract 80. groundwater for any nonpotable use including groundwater thermal exchange wells (heat pumps and heat loops). 81. WELL USE STATUS 82. Indicate the use status of each well. CHECK ONLY ONE (1) BOX PER WELL. 83. 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 84. that operates for the purpose of irrigation, fire protection, or emergency pumping. 85. 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 86. sealed by a licensed well contractor. 87. SEALED: A well is "sealed" if a licensed contractor has completely filled a well by pumping grout material 88. throughout the entire bore hole after removal of any obstructions from the well. A well is "capped" if it has a metal 89. or plastic cap or cover which is threaded, bolted, or welded into the top of the well to prevent entry into the well. A 90. "capped" well is not a "sealed" well. 91. If the well has been sealed by someone other than a licensed well contractor or a licensed well sealing contractor, 92, check the well status as not in use. 93. If you have any questions, please contact the Minnesota Department of Health, Well Management Section at (651) 94. 215 -0819 (metropolitan Minneapolis -St. Paul) or 1- 800 -383 -9808 (greater Minnesota). 95. ORIGINAL COPY TO LISTING BROKER; COPIES TO SELLER, BUYER, SELLING BROKER Miller /Davis Co. ® St. Paul, MN 651. 642 -1988 Form 1519SS (Rev. 8/02) PRIVATE SEWER SYSTEM DISCLOSURE This form approved by the Minnesota Association of REALTORS®, which disclaims any liability arising out of use or misuse of this form. © 2002, Minnesota Association of REALTORS ®, Edina, MN 1. Date 2. Page 1 of Pages: THE REQUIRED MAP 1S 3. ATTACHED HERETO AND MADE A PART HEREOF 4. Property located at 7609 Bass Lake Road 5, in the City of New Hope County of Hennepin State of Minnesota legally described as follows or 6. attached sheet (the "Property ") Tracts C and D, R48, Hennepin Counly, Minnesota. 7. 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. BUYER(S) AND SELLER(S) MAY WISH TO OBTAIN PROFESSIONAL ADVICE AND /OR INSPECTIONS 11. OF THE SEWER SYSTEM AND TO PROVIDE FOR APPROPRIATE PROVISIONS IN A CONTRACT BETWEEN 12. BUYER(S) AND SELLER(S) WITH RESPECT TO ANY ADVICE/INSPECTION /DEFECTS. 11 SELLER'S INFORMATION: The following Seiler 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 information 15. in deciding whether and on what terms to purchase the Property. The Seiler(s) authorizes any Agent(s) representing any party(s) 16. in this transaction to provide a copy of this statement to any person or entity in connection with any actual or anticipated sale of 17. 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 know of 20. the existence or known status of the system, is liable to the Buyer for costs relating to bringing the system into compliance with 21. individual sewage treatment system rules and for reasonable attorney fees for collection of costs from the Seiler. An action under 22. this subdivision must be commenced within two years after the date on which the Buyer closed the purchase of the real property 23. 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 unit(s) 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 Seller(s) 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 Seiler. 29. PRIVATE SEWER SYSTEM DISCLOSURE (CHECK THE APPROPRIATE BOX.) 30. The Seiler certifies that the Seller does not know of any private sewer system on or serving the above described real 31. property. (If this option is checked, then skip to the last line and sign and date this statement) 32. The Seiler certifies that the following private sewer system is on or serving the above described real property. 31 TYPE (Check appropriate box(es) and indicate location on attached MAP) 34. Septic Tank: ❑ with drain field ❑ with mound system ❑ seepage tank ❑ with open end 35. Sealed System (holding tank) 36. Other (Describe): 37, is the sewer system(s) currently in use? Yes _ No _ 38. NOTE: if any water use appliance, bedroom or bathroom has been added to the Property, the system may no longer 39, comply with applicable sewage treatment laws 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? Installer Name /Phone: 42. 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: 53. 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 received any notices from any government agencies relating to the sewer system? Yes_ No 57. If "Yes ", see attached notice. MN -PSSD (8/02) ORIGINAL COPY TO LISTING BROKER; COPIES TO SELLER, BUYER, SELLING BROKER WARNING: UNAUTHORIZED COPYING OF THIS FORM PROHIBITED. Form 1519SS (Rev. 8i02) PRIVATE SEWER SYSTEM DISCLOSURE 58. Page 2 59. Are there any known defects in the sewer system? Yes,_ ,-. No-.,-. . 60. If yes, please explain 61. 62. 63. SELLER'S STATEMENT: (To be signed at time of listing) 64. 1 / We, Seller(s) of the Property acknowledge the above Private Sewer System Disclosure and MAP and authorize Listing Broker to disclose this 65. information to prospective Buyers. 66. (Seller) Casey M. Moo (Date) (Seller) Amy P. Moo (Date) 67. BUYER'S ACKNOWLEDGMENT: (To be signed at time of purchase agreement) 68. ]/We, the Buyer(s) of the Property acknowledge receipt of the Private Sewer System Disclosure and agree that no representation 69. regarding the condition of the Private Sewer System have been made, other than those made above. LISTING BROKER AND 70. LICENSEES MAKE NO REPRESENTATIONS AND ARE NOT RESPONSIBLE FOR ANY CONDITIONS EXISTING IN THE 71. PRIVATE SEWER SYSTEM. y 72. (Buyer) W. Peter Bock, President (Date) (Buyer) Daniel J. Donahue, Executive Director (Date) New Hope EDA New Hope EDA 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 75. that the condition of the private sewer system is the same as noted ab I uding changes indicated above which have been 76. initialed and ed. 77. O i7 r7 , t�t (setter }Casey oo (Date) (Seuer oo (Date) 78. ORIGINAL COPY TO LISTING BROKER; COPIES TO SELLER, BUYER, SELLING BROKER Miller/Davis Co. m St Paul, MN 651 -642 -1988 jWL7CS— Form 1519 MAP (Rev. 7/94) PRIVATE SEWER SYSTEM AND /OR WELL LOCATION MAP This form approved by the Minnesota Association of REALTORS ®, which disclaims any liability arising out of use or misuse of this form. Date Page 1 of Pages 2. Please use the space below to sketch the real property 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: '7609 Rags Lake Road, New 5. ATTACH ADDITIONAL SHEETS AS NEEDED 6. Seller and Buyer Initial: Seller(s) Buyer(s) 7. MN -PSSWM (7/94) ORIGINAL COPY TO LISTING BROKER; COPIES TO SELLER, BUYER, SELLING BROKER MLs WARNING: UNAUTHORIZED COPYING OF THIS FORM PROHIBITED. F.XHTRTT A ADDITIONAL TERMS RELATING TO PURCHASE AGREEMENT FOR 7609 BASS LAKE ROAD Seller makes no warranties as to the condition of the property and Buyer acknowledges that it is purchasing the property in its "as -is" condition. Buyer further acknowledges and agrees that it shall be responsible for all costs related to the sealing of the water well on the property. Buyer acknowledges that relocation assistance benefits will be paid to the Seller, as required by law, and the differential payment benefit on the purchase of a replacement property resulting from the sale of the subject property shall be increased to a maximum of $34,000.00 if Sellers' cost to purchase a replacement property equals or exceeds $209,000.00. ONNINDI Dated: February Dated: February ill , 2004. Dated: February , 2004. Dated: February , 2004. Amy P THE ECONOMIC DEVELOPMENT AUTHORITY IN AND FOR THE CITY OF NEW HO P / ,f By: Cr W. Peter Enck Its: - ,residen, i t 1 By: Daniel J.` onahue Its: Executive Director PAAttomeyULB \1- C1ient Folders \CNH \CNH99.11307 - 001 - Exhibit A.doc