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030915 EDA
CITY OF NEW HOPE EDA MEETING City Hall, 4401 Xylon Avenue North March 9, 2015 EDA Meeting will commence upon adjournment of the City Council Meeting President Kathi Hemken Commissioner John Elder Commissioner Andy Hoffe Commissioner Eric Lammle Commissioner Jonathan London 1. Call to order - EDA Meeting of March 9, 2015 2. Roll call 3. Approval of Minutes: EDA Regular Meeting - February 23, 2015 4. Resolution approving an amendment to the purchase agreement with Centra North, LLC for sale of 7940 55th Avenue North (project no. 911) Resolution approving purchase agreement for the acquisition of 9121 62nd Avenue North (project no. 956) 6. Adjournment CITY OF NEW HOPE 4401 XYLON AVENUE NORTH NEW HOPE, MINNESOTA 55428 EDA Minutes February 23, 2015 Regular Meeting City Hall CALL TO ORDER President Hemken called the meeting of the Economic Development Authority to order at 8:44 p.m. ROLL CALL Present: Kathi Hemken, President John Elder, Commissioner Andy Hoffe, Commissioner Eric Lammle, Commissioner Jonathan London, Commissioner Staff Present: Kirk McDonald, City Manager Tim Fournier, Director of Police Valerie Leone, City Clerk Chris Long, City Engineer Bob Paschke, Director of Public Works Susan Rader, Director of Parks and Recreation Jeff Sargent, Director of Community Development Stacy Woods, Assistant City Attorney APPROVE MINUTES Motion was made by Commissioner Lammle, seconded by Commissioner Elder, to approve the regular meeting minutes of December 8, 2014. Voting in favor: Hemken, Elder, Hoffe, Lammle; voting against: None; Absent: None; Abstained; London. Motion carried. CEE President Hemken introduced for discussion EDA Item 4, Resolution Item 4 approving agreement with Center for Energy and Environment to perform Home Energy Squad Visits and Home Energy Squad Enhanced visits in the city of New Hope through December 31, 2016. Mr. Jeff Sargent, community development director, explained in December the Council approved an amendment to the agreement with the Center for Energy and the Environment (CEE) reducing the fees for the home energy program from $70 to $50. Mr. Sargent stated staff recommends renewing the program through December 31, 2016. He stated it is a popular program and a good value. Commissioner London noted the worthiness of the Home Energy program and asked whether it is applicable for credit in the Green Steps program. Director Sargent stated he would make an inquiry. EDA Meeting Page 1 February 23, 2015 EDA RESOLUTION Commissioner Elder introduced the following resolution and moved its 2015-01 ADOPTION "RESOLUTION APPROVING AGREEMENT WITH CENTER Item 4 FOR ENERGY AND ENVIRONMENT TO PERFORM HOME ENERGY SQUAD VISITS AND HOME ENERGY SQUAD ENHANCED VISITS IN THE CITY OF NEW HOPE THROUGH DECEMBER 31, 2016." The motion for the adoption of the foregoing resolution was seconded by Commissioner London, and upon vote being taken thereon, the following voted in favor thereof: Hemken, Elder, Hoffe, Lammle, London; and the following voted against the same: None; Abstained: None; Absent: None, whereupon the resolution was declared duly oassed and adopted, signed by the president which was attested to by the executive director. ADJOURNMENT Motion was made by Commissioner London, seconded by Commissioner Elder, to adjourn the meeting. All present voted in favor. Motion carried. The New Hope EDA adjourned at 8:45 p.m. EDA Meeting Page 2 Respectfully submitted, Valerie Leone, City Clerk February 23, 2015 FDA Request for Action Originating Department Approved for Agenda Agenda Section Community Development March 9, 2015 EDA Item No. By: Jeff Sar ent, Director of CD By: Kirk McDonald,_City Manager 4 Resolution Approving an Amendment to the Purchase Agreement With Centra North, LLC For Sale Of 7940 5511, Avenue North. (Project No. 911) Requested Action Staff requests the EDA Commissioners to consider the potential amendment to the purchase agreement for the sale of 7940 55th Avenue North to Centra Homes for the development of a single family housing subdivision. Policy/Past Practice It is the policy of the EDA to follow State Statutes regarding the sale of property held for resale/redevelopment by the EDA. Background At the February 23, 2015 City Council meeting, the Council made a motion directing the City Attorney to amend the purchase agreement with Centra Homes regarding a reduced purchase price due to poor soil conditions. The city entered into a purchase agreement on. July 24, 2014, with Centra Homes to purchase the former Winnetka Learning Center site for $1,050,000 for the purpose of constructing 61 new homes (34 single family and 27 townhomes). Since that time, significant soil and site issues were discovered on the site, and Centra revised their site plan which resulted in the loss of one home and reconfigured the types of units (single family homes reduced from 34 to 29, and townhomes increased from 27 to 31). The City Council reviewed the revised site plan at the November 17, 2014 work session and expressed support for the revised design and commended the developer for modifying the design instead of abandoning the project. The developer indicated he would work with city staff on potential modifications to the purchase agreement after more information was obtained regarding increased development costs. Motion by , _ Second by To: adjuk L•\RFA\ COMM DEV\Develo menti Q & R - Centra Homes PA Amendment 3-9-15.doc Request for Action Page 2 March 9, 2015 The developer has received bids for the earthwork and engineering required to prepare the site for construction of the homes based on the new site plan, and the costs have increased by approximately $547,000. The developer has indicated they can absorb half the increase, or $273,000, and are requesting the city reduce the original purchase price by $273,000 to $777,000. The attached purchase agreement reflects the negotiated terms between the City Attorney and Centra Homes, which reflects the new costs associated with construction for the housing development. Attachments Resolution Purchase Agreement Draft City Council Minutes (February 23, 2015) CITY OF NEW HOPE ECONOMIC DEVELOPMENT AUTHORITY EDA RESOLUTION NO. 15 - RESOLUTION APPROVING AMENDMENT TO PURCHASE AGREEMENT WITH CENTRA NORTH, LLC FOR THE SALE OF FORMER WINNTEKA SCHOOL PROPERTY BE IT RESOLVED by the Economic Development Authority, in and for the City of New Hope as follows: WHEREAS, the Economic Development Authority in and for the City of New Hope, Minnesota ("EDA"), and Centra North, LLC, a Nevada limited liability company ("Centra") entered into that certain Purchase Agreement dated July 25, 2014 (the "Purchase Agreement") relating to a certain vacant parcel of land of approximately 16.94 acres commonly referred to as the Winnetka Learning Center site located at 55th Avcnuc and Winnetka Avenue North, in the City of New Hope, County of Hennepin, State of Minnesota, ("Property") legally described on — Exti bid attach3 to ffc Pdre� e Agreement; _.. WHEREAS, during the course of Centra's due diligence and investigation regarding the Property, certain soils and site issues were discovered which necessitated Centra to modify their initial plans; and WHEREAS, Centra's earthwork and engineering costs have increased by approximately $547,000.00; and WHEREAS, Centra is willing to absorb approximately half of this increase, or $273,000.00 of these costs if the EDA will reduce the purchase price in the Purchase Agreement by the same amount, to $777,000.00; and WHEREAS, Centra now proposes to develop the Property into 29 single-family lots and 31 Association maintained detached townhome lots and construct "Owner -Occupied" single family houses on said lots in accordance with the terms of the Purchase Agreement and other development contracts Centra will be required to enter into with the City of New Hope as part of its planning process for the development of the Property; and WHEREAS, the EDA reviewed Centra's revised plans and gave preliminary approval for the revisions; and WHEREAS, the revised purchase price of $777,000.00 for the sale of the Property is acceptable to the EDA as it is a reasonable increase in light of Centra's increased costs and willingness to absorb a portion of the same; and WHEREAS, the timeframe for the closing on the purchase of the Property must be moved back to June 30, 2015, to accommodate the delay and the extra earthwork and engineering required to address the soil and site issues; and WHEREAS, the EDA and Centra desire to amend the Purchase Agreement according to the terms set forth in the First Amendment to Purchase Agreement attached hereto as Exhibit A; and WHEREAS, the EDA hereby approves the First Amendment to Purchase Agreement attached as Exhibit A, it being in the best interest of the EDA to successfully close on the sale of the Property to Centra for the amended purchase price of $777,000.00. NOW, THEREFORE, BE IT RESOLVED by the Economic Development Authority in and for the City of New Hope as follows: Attest: 1. That the above recitals are incorporated herein by reference. 2. That the sale of the Property by the EDA to Centra North, LLC for the amended --purchaser-icy of $777, -000:90, -with other wrens -and conditions as set -forth iii the First Amendment to Purchase Agreement attached hereto as Exhibit A, is approved, it being in the best interest of the City and the EDA to successfully close on the sale of the Property to Centra which will result in a housing development that will be an asset to the City and its residents and will further the FDA's plan of economic development. 3. The President and Executive Director are hereby authorized and directed to sign the First Amendment to Purchase Agreement and all other necessary and appropriate documents to complete the sale of the Property to Centra North, LLC in accordance with the terms of said Purchase Agreement, as amended by the First Amendment to Purchase Agreement attached hereto as Exhibit A. Dated the day of March, 2015. Kirk McDonald, Executive Director Kathi Hemken, President P:\Attorney\SAS11 Client Filesl2 City of New Hope199-11371 - Centra Homes Winnetka Learn Ctr development\Resolution approving Amendment to P.A..doex FIRST AMENDMENT TO PURCHASE AGREEMENT THIS FIRST AMENDMENT TO PURCHASE AGREEMENT ("this Amendment") is made and entered into as of March , 2015, by and between Economic Development Authority in and for the City of New Hope, Minnesota ("Seller"), and Centra North, LLC, a Nevada limited liability company ('Buyer"). WITNESSETH: WHEREAS, Seller and Buyer entered into that certain Purchase Agreement dated July 25, 2014 (the "Purchase Agreement") relating to a certain vacant parcel of land of approximately 16.94 acres commonly referred to as the Winnetka Learning Center site located at 550' Avenue and Winnetka Avenue North, in the City of New Hope, County of Hennepin, State of Minnesota, legally described on Exhibit A attached to the Purchase Agreement; WHEREAS, Seller and Buyer desire to amend the Purchase Agreement as hereinafter set forth. NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, and intending to be legally bound, the parties hereby agree as follows: 1. Defined Terms. Capitalized terms used but not defined herein shall have the respective meanings set forth in the Purchase Agreement. 2. Recital A. of the Purchase Agreement shall be amended in part to correct the property identification number (PID No.) for the Property. The current and correct PID No. for the Property is 06-118-21-44-0057. 3. Purchase Price. Paragraph 2.0 "Purchase Price" of the Purchase Agreement shall be replaced in its entirety with the following language: 2.0 The purchase price ("Purchase Price") of the Property shall be the sum of Seven Hundred Seventy -Seven Thousand and No/100 Dollars ($777,000.00) payable by Buyer as follows: 2.1 Twenty Thousand and No1100 Dollars ($20,000.00) as earnest money (the "Earnest Money"). The Earnest Money shall be deposited by Buyer into escrow with Land Title, Inc. ("Title"), 3927 Coon Rapids, Blvd., Coon Rapids, Minnesota, 55433 within three (3) business days following execution by Buyer of this Agreement. 2.2 Seven Hundred Fifty Seven Thousand and No/100 Dollars ($757,000.00) in cash or by certified funds, wire or the equivalent on the Date of Closing (as hereinafter defined). Until the date that a party is entitled to receive the Earnest Money pursuant to the terms hereof, Title will hold the Earnest Money in a federally insured interest-bearing account and the Earnest Money shall include all interest earned thereon. If for any reason this Agreement is terminated, the parties agree that Title will withhold One Thousand and No/100 Dollars ($1,000.00) of the Earnest Money (the "Independent Consideration") and deliver it to Seller as independent consideration for this Agreement, including, among other things, Buyer's right to terminate this Agreement, as provided herein. At the Closing (as hereinafter defined), the Earnest Money will be refunded to Buyer or credited toward the Purchase Price pursuant to the terms of this Agreement. If this Agreement is terminated before the Closing, the Earnest Money, less the Independent Consideration, will be delivered to Buyer and the Independent Consideration will be delivered to Seller. 4. The Earnest Money was previously deposited with Title. 5. The following portions of Paragraph 10 of the Purchase Agreement, "Conditions To Closing"- relating to the date for satisfaction of the conditions listed therein shall be amended as follows: The Buyer's obligation to close the transaction contemplated by this Agreement is subject to the satisfaction of the following conditions on or before June 15, 2015: If any condition of this Section 1 U remains unsatisfied or has not been waived by the Buyer in its sole discretion on or before the earlier of June 15, 2015 or the Date of Closing, Buyer may give written notice to Seller that Buyer is terminating this Agreement. 6. Paragraph 11.0 of the Purchase Agreement, "Closing and Possession", shall be replaced in its entirety with the following language: 11.0 Closing and Possession. The closing hereof (the "Date of Closing" or "Closing") shall take place on June 30, 2015 (the "Date of Closing" or "Closing") or on such earlier date as Seller and Buyer may mutually agree in writing. In no event shall Closing take place later than June 30, 2015. The Closing shall take place at the New Hope City Hall, the office of the New Hope City attorney or such other place as the Seller and Buyer may mutually determine. Possession of the Property shall be -delivered on the Date of Closing. 7. Paragraph 19.3 of the Purchase Agreement shall be amended in part to replace the name of the law firm of Seller's attorney to be as follows: With a copy to: Steven Sondrall, New Hope City Attorney and Stacy Woods, New Hope Assistant City Attorney Jensen Sondrall Persellin & Woods, P.A. 8525 Edinbrook Crossing, Suite 201 Brooklyn Park, MN 55443 Facsimile No.: 763.493.5193 2 S. Miscellaneous. a. The Purchase Agreement shall remain in full force and effect as modified herein. b. This Amendment may be executed in counterparts, each of which shall be an original, but all of which when taken together shall constitute one and the same instrument. C. This Amendment shall be binding upon and shall inure to the benefit of the parties hereto and their respective successors and assigns. IN WITNESS WHEREOF, Seller and Buyer have caused this Amendment to be executed as of the date first written above. SIGNATURE PAGE FOLLOWS THIS PAGE BUYER: Centra North, LLC, a Nevada limited liability company LIM Dale Wills Its: President Dated: March__, 2015 SELLER: Economic Development Authority in and for City of New Hope am Kathi Hemken Its: President Dated: March___, 2015 LOO Kirk McDonald Its: Executive Director Dated: March______, 2015 P:IAttomeylSAS11 Client Filesl2 City of New Hope199-I 1371 - Centra Homes Winnetka Learn Ctr developmeriffirst Amendment to Purchase Agreement - 3-2-15.doex 4 Item 8.3 ' \ attorney to amend purchase agreement with Centra Homes regarding Jreduced purchase price due to poor soil conditions (project no. 911). Mr. Kirk McDonald, city manager, affirmed the city entered into a purchase agreement with Centra for $1,050,000 for a housing development at 7940 55th Avenue North. He stated the original plan included construction of 61 new homes (34 single family and 27 townhomes ranging from $225,000 to $350,000). He indicated the developer's costs have increased $547,000 due to site issues, and Centra is requesting the city to absorb 50% of the increased costs and to reduce the purchase price to $777,000, He stated the developer has revised the plans to construct 29 single family homes and 31 townhomes. Mr. McDonald stated the issue was discussed by the Council at its February 17 work session and Council directed staff to place the matter on the agenda for a formal vote regarding an amended purchase agreement. Mr. Dale Wills of Centra Homes was recognized. Council Member London asked how soon a sign can be placed at the site to advertise the housing development. Mr. Wills stated Centra Homes is able to advertise as soon as possible following approval of a revised purchase agreement. MOTION Motion was made by Council Member London, seconded by Council Item 8.3 Member Lammle, directing city attorney to amend purchase agreement with Centra Homes from $1,050,000 to $777,000 due to poor soil conditions (project no. 911). All present voted in favor. Motion carried. ENVIRONMENTAL Mayor Hemken introduced for discussion Item 10.1, Resolution petitioning IMPACT the Surface Transportation Board to require Environmental Impact Statement STATEMENT on construction of railroad connector track in Crystal, Minnesota. Item 10.1 Mr. Kirk McDonald, city manager, stated the city of Crystal is petitioning the Surface Transportation Board to require an Environmental Impact Statement prior to the BNSF and CP railroads commencing construction on the proposed connection in Crystal. He explained in light of the potential adverse impacts on the environment, neighborhoods and emergency service response times, it is believed appropriate stakeholders should offer input regarding the connection. Mr. McDonald stated Crystal is petitioning the Surface Transportation Board to require an EIS and is requesting city councils in adjacent cities (Robbinsdale, Golden Valley, New Hope, and Minneapolis) to follow suit. RESOLUTION 2015-34 Council Member Elder introduced the following resolution and moved its Item 10.1 adoption: "RESOLUTION PETITIONING THE SURFACE TRANSPORTATION BOARD TO REQUIRE ENVIRONMENTAL IMPACT STATEMENT ON CONSTRUCTION OF RAILROAD CONNECTOR TRACK IN CRYSTAL, MINNESOTA." The motion for the New Hope City Council February 23, 2015 Page 6 1 M*e-7M0*W1 EDA Request for Action ' Originating Department I Approved for Agenda I Agenda Section I Community Development By: Aaron Chirpich, CD Specialist Teff Serzent, CD Director March 9, 2015 By: Kirk McDonald, City Manager EDA Item No. 0 Resolution approving Purchase Agreement for the acquisition of 9121 62nd Avenue North (project no. 956) Requested Action Staff requests the Council authorize entering into a Purchase Agreement for the acquisition of 9121 62nd Avenue North from Linda Astedt, personal representative for the estate of Audrey Nelson, for $130,000 (purchase price) plus any associated fees. Staff discussed the potential acquisition of this property at the February 17 work session and the Council was supportive. Policy/Past Practice In the past the city has successfully acquired distressed or functionally obsolete properties as part of the city's scattered site housing program. Background The City Council has directed community development staff to actively pursue the acquisition of distressed or functionally obsolete single family homes as part of the city's scattered site housing program. In the past eight months the city has acquired two vacant foreclosed single family homes as part of this program, 6059 West Broadway Ave N, and 5431 Virginia Ave N. Both homes are scheduled for demolition in the spring of 2015 in order to create vacant lots for the construction of new single family homes. Since the acquisition of these two units staff has been researching and pursuing other available properties. This search has included properties for potential rehabilitation and/or demolition. 912162nd Avenue North Staff was made aware of the availability of 912162nd Ave North by local realtor Tony Hawk. Mr. Hawk is the reactor that assisted the city with the purchase of 6059 West Broadway. 912162nd Ave is not listed for sale on the open market (MLS). The home is being sold by the children of the previous owner(s) as it is now part of an estate. When Mr. Hawk made staff aware of the property it was of immediate interest as the home Motion by G _ _._ Second by &&-t, To: E\RFAICOMM DEVIDevelopment\HousingW—R 912162nd Ave acouisition 2-9-15 Request for Action March 9, 2015 Page 2 occupies space sufficient for the creation of two standard lots, per New Hope City Code for the R-1 district. 912162nd Ave is located in a very nice neighborhood on the northern border of New Hope. The home was built in 1956 and is one of the oldest homes in the immediate area which likely explains its large lot. The homes across the street on the Brooklyn Park side of 62nd Ave were built in the 1980's. The home is in relatively good condition but has not been updated since built. The detached garage is a blighted and unsafe structure that should be torn down under any circumstance. If the home does go for sale on the open market there is no guarantee that two lots would be created, as a potential investor could rehabilitate the home for re- sale or turn the home into a rental property. Staff feels that the best use of the property is demolition in order to maximize tax base with the development of two new homes. Staff made the representative of the estate aware that City interest in the property is based upon its potential for creating two lots and also informed the representative that if the city is to acquire the property the home and detached garage would be razed. The current tax assessed value of the property is $150,000. The personal representative for the estate, Linda Astedt, conveyed an asking price of $130,000 to Tony Hawk when they first discussed the potential sale. In an effort to help the City assess the value of the property, Mr. Hawk has produced a "comparative market analysis" or CMA. The CMA is an abbreviated appraisal of the property that looks at comparable sales of similar properties to determine a median sales price. The median value determined by the CMA for 912162nd Ave. was $127,500. It is important to note that none of the comparable sales included a double lot. Upon review of the CMA, staff feels that the asking price is fair given the potential of creating two buildable lots. Funding Staff recommends that funding for the acquisition and demolition of 912162nd Ave North come from current EDA fund reserves. If staff determines that CDBG resources are a viable option for this project, the city may seek reimbursement from Hennepin County for all project costs. It is important to note that the projected loss or shortfall for this project is $33,879. If EDA funds are used this loss will have to be recaptured through taxes and the payback period is approximately 12 years. The full project budget can be found in the attachments. Recommendation Staff recommends the Council approve the attached resolution prepared by the City Attorney and terms of the attached purchase agreement for the acquisition of 9121 62nd Ave N. Attachments Resolution • Project Budget • County Tax Information ® Comparative Market Analysis • Purchase Agreement RESOLUTION NO. 15 - RESOLUTION APPROVING PURCHASE AGREEMENT FOR THE ACQUISITION OF 9121.62nd AVENUE NORTH BE IT RESOLVED by the City Council of the City of New Hope as follows: WHEREAS, on September 22, 2014, the City Council adopted Resolution No. 14-126 at the City Council Meeting authorizing City community development staff to actively pursue the acquisition of distressed, functionally obsolete single family homes for potential purchase by the City, as a part of the City's scattered site housing program; and WHEREAS, the City Council has directed City staff to negotiate for the terms most favorable to the City, and the execution of purchase agreements so as to secure purchase rights for these real properties, contingent on the review and approval of the City Council to the terms of the purchase agreements; and WHEREAS, New Hope City staff have discovered the opportunity to purchase certain real property located at 9121 62nd Ave. N., New Hope, MN (the "Property") from a probate estate; and WHEREAS, the Property is located on a lot that would be sufficient for the creation of two standard City lots, per the New Hope City Code for the R-1 district; and WHEREAS, the Hennepin County Assessor has estimated the market value of the Property to be $150,000.00 for real estate taxes payable in 2014, and WHEREAS, the owner of the Property is willing to sell the Property to the City for $130,000.00 as set forth in the Purchase Agreement attached hereto as Exhibit A and incorporated herein by reference; and WHEREAS, the house located on the Property was built in 1956 and has not been updated since it was built; and WHEREAS, the detached garage on the Property is a blighted and unsafe structure that should be demolished under any circumstances; and WHEREAS, City staff believes that the best use of the Property is demolition in order to maximize the tax base through splitting the Property into two separate lots and making them available for the development of two new single family homes; and WHEREAS, the Property will be acquired using either current fund reserves of the Economic Development Authority in and for the City of New Hope or Community Development Block Grant (CDBG) funds provided by HUD through Hennepin County. WHEREAS, the City Council hereby approves the Purchase Agreement attached as Exhibit A, subject to the review and approval by the City Attorney of proper title evidence and other terms relating to the closing on the sale of the Property, it being in the best interest of the City to purchase the Property from the owner for the sum of $130,000.00, with other terms and conditions as set forth in the Purchase Agreement and to redevelop the Property in accordance with the City's scattered site housing program and policy. NOW, THEREFORE, BE 1T RESOLVED by the City Council in and for the City of New Hope as follows: Attest: 1. That the above recitals are incorporated herein by reference. 2. That the purchase of the Property by the City of New Hope from the owner for the sum of $130,000.00, with other terms and conditions as set forth in the Purchase Agreement attached hereto as Exhibit A, is approved subject to the review and approval by the City Attorney of proper title evidence and other terms relating to the closing on the sale of the Property, it being in the best interest of the City to purchase the Property from the owner for the sum of $130,000.00, and to redevelop the Property in accordance with the City's scattered site housing program and policy. 3. The City shall use due diligence for correcting the Property's blighted condition and conducting any necessary environmental cleanup of the Property to pursue this redevelopment purpose and split the Property into two separate lots or tax parcels for the benefit of all taxing jurisdictions. 4. The Mayor, City Manager and New Hope City staff are authorized and directed to sign all appropriate documents, and to take whatever additional actions are necessary or desirable, to complete the purchase of the Property in accordance with the Purchase Agreement attached hereto as Exhibit A. Dated the 9th day of March, 2015, Kirk McDonald, City Manager Kathi Hemken, President PAAttorney\SAS11 Client Files\2 City of New Hope\99-11382 {purchase of 9121 62nd Ave. N,}\Resolution approving RA..doex City of New Hope-- Scattered Site Housing Program Total Project Cost and Total Funding Sources 9121 62nd Ave North New Hope MN, 55428 USES Amount Acquisition 130,000 Demolition 10,000 Demolition Option Real Estate Taxes 2,629 Special Assessments Current Property Tax $2,259 "total" Insurance 1,100 Lot Split Survey 2,500 Estimated Annual Taxes (2 houses) $8,600 Closing, Recording Fees 1,500 "based on a value of $250,000 for each unit" Legal 1,500 Marketing/Listing Fee $2,865 per year tax revenue for the city Contingency/Abatement 4,000 "12 year payback" Demolition Survey 650 'total 153,879 SOURCES EDA Amount 153,879 Total 153,879 Anticipated Sales Price "2 vacant lots" 120,000 Anticipated Value Gap "first year loss" 33,879 Property Tax Statement (State copy) Int -m%! in Hennepin County, MN 2015 Property Tax Statement STATE COPY This form has been approved by tate Minnesota Department of Revenue for use when filing for the State of Minnesota M-1 PR Property Tax Refund. Read information below on eligibility. File by August 15, 2015. Taxpayer or Agent AUDREY C NELSON 9121 62ND AVE N NEW HOPE MN 55428 Owner AUDREY C FERGUS Property ID No. 06-118-21-22-0069 Property Address 9121 62ND AVE N Use these amounts when filling out Form M-1PR to see if you are eligible for one or both of the refunds available Line 1: $2,266.72 Line 2: $2,258.66 Line 5: $2,266.72 ❑ If this box is checked you owe delinquent taxes and may not apply for the Property Tax Refund. Call Hennepin County at (612) 348-3011 for amount due. Taxes Payable 2014 HOMESTEAD 0 $143,000 $118,630 Property Class New Improvements Estimated Market Value Taxable Market Value Taxes Payable 2015 HOMESTEAD 0 $150,000 $126,260 Property Tax Refund Information If you owned and occupied this property on January 2, 2015 as your homestead, you may qualify for a property tax refund. In addition, Minnesota homeowners whose property taxes increased by more that 12 percent over last year may be eligible for a special property tax refund. To determine if you are eligible for the Minnesota property tax refund or the special property tax refund, read the Minnesota Income Tax Form M-1 FIR instructions and fill out Form M-1 PR. For additional information, visit Minnesota Department of Revenue web site at http://www.taxes.state.mn.us Page 1 of 1 http://wwwl6.co.hennepin.mn.us/pins/statetax jsp?pid=0611821220069&year=2015 3/2/2015 Hennepin County GIS - Printable Map Page 1 of 1 Parcel ID. 06-118-21-22-0069 A -T$: Torrens Map Scale: V - 50 ft. Print Date: 2/27/2015 �- Nam ner Audrey C Fergus Market $143,000 Parcel 9121 62Nd Ave N Address: New Hope, MN 55428 Property Residential Type: Home- Homestead stead: Parcel 0.59 acres Area: 25,562 sq ft Tax $2,258.66 Total: (Payable: 2014) Sale Price: Sale Date: Sale Code: This map is a compilation of data from various sources and is furnished "AS IS" with no representation or warranty expressed or implied, including fitness of any particular Purpose, merchantability, or the accuracy and completeness of the information shown. COPYRIGHT 0 HENNEPIN COUNTY 2615 http://gis.hennepin.usIPropertylprintldefault.aspx?C=46883 8.5924985184,4990284.559986... 2/27/2015 Summary of Comparable Listings This page summarizes the comparable listings contained in this market analysis. Active Listings Address Price Bds Bth TFSF $ISq Built Style List Date DOM CDOM 5952 Independence Avenue $140,000 3 2 1748 $80 1964 Four or More Leve 01/30/2015 28 28 6008 Sumter Avenue $144,900 3 2 2276 $64 1960 One Story 09/12/2014 168 398 4689 Gettysburg Avenue $150,000 4 3 1660 $90 1966 Split Entry (Bi -Lev, 12/03/2014 86 86 Averages: $144,967 3.3 2.3 1895 $78 1963 94 171 Pending Listings Address Price Bds Bth TFSF $/Sq Built Style Off Market DOM CDOM 4504 Aquila Avenue $116,900 3 1 1100 $106 1968 One Story 01/14/2015 12 12 6082 Zealand Avenue $118,200 3 2 1096 $108 1959 One Story 02/20/2015 41 41 3765 Jordan Avenue $127,500 3 2 1740 $73 1967 One 112 Stories 02/25/2015 94 94 5426 Wisconsin Avenue $131,000 3 2 1020 $128 1965 One Story 02/2512015 159 159 Averages: $123,400 3.0 1.8 1239 $104 1965 77 77 Sold Listings Address Price Bds Bth TFSF $ISq Built Style Sold Date DOM CDOM 5300 Oregon Avenue $116,000 2 1 840 $138 1952 One Story 11/14/2014 19 19 6017 Yukon Avenue $125,000 3 1 1554 $80 1960 One Story 02/12/2015 26 26 6059 W Broadway Avenue $115,000 3 2 1829 $63 1953 One 1/2 Stories 11/14/2014 16 396 7732 45 1/2 Avenue $125,000 3 2 1135 $110 1965 One Story 12/18/2014 20 20 4640 DecaturAvenue $121,000 3 3 1636 $74 1965 Split Entry (Bi -Levi 12/24/2014 111 111 5965 Cavell Avenue $115,900 3 1 968 $120 1960 One Story 01/29/2015 55 55 4657 Gettysburg Avenue $132,600 4 2 1968 $67 1964 Two Stories 11/26/2014 82 82 4058 Oregon Avenue $134,000 2 1 1076 $125 1954 One Story 11/14/2014 41 41 5430 Virginia Avenue $140,000 3 2 986 $142 1954 One Story 10/07/2014 39 39 4148 Gettysburg Avenue $142,500 3 2 1118 $127 1973 One Story 01/09/2015 22 22 verages: $125,700 2.9 1.7 1311 $105 1960 43 81 Median of Comparable Listings: $127,500 Average of Comparable Listings: $129,147 On Average, the 'Sold' status comparable listings sold in 43.10 days for $126,700 NorthstarMLS Matrix Page 1 of 4 5952 Independence Avenue N , New Hope, MN 55428-3045 An Offer Has Been Accepted Contingent Upon: Third Party Approval List ;I`: Status: Active List Price: $140,000 List Date: 01/30/2015 Sold Price: (SF) One Story Style: (SF) Four or More Level Split 09/12/2014 Sold Price: Hennepin SF) OneStory Mep/Coord: 91/Di 91/Ci County: Hennepin Map/Coord: 91/Ci Beds: 3Ttl F SgFt: 1,748 Yr Bit: 1964 TU Baths: 2 Acres: 0.45 Garage; 3 Directions; Hwy 169 To Bass Lk Rd, East To Gettysburg, North To 59dr, Wind Beck To Independence Pub Remarks: Soli AS -ZS i, 4504 Aquila Avenue N , New Hope, MN 55428 List #: Status: Pending List Price: $116,900 List Date: 01/02/2015 Sold Price; Style: (SF) One Story County: Hennepin Map/Coord: 91/C3 Beds: 3 Ttl F SgFt: 1,100 Yr Bit: 1966 Tti Baths: 1 Acres: 0.276 Gara13 ge: 2 Dt Closed; Off Mkt Date: 01/14/2015 Directions: Boone To 46th Eat To Aqulla South To Home Pub Remarks: Greet potential in this 3 bedroom rambler located In cul-de-sac. Finish the lower level for Instant equity. 6082 Zealand Avenue N, New Hope, MN 55428 List #: Status: Pending List Price: 6008 Sumter Avenue N , New Hope, MN 55428 List Date: 12/31/2014 Sold Price: List ;(t: Status: Active List Price: $144,900 (SF) One Story List Date: I County:Style: 09/12/2014 Sold Price: Hennepin SF) OneStory Mep/Coord: 91/Di 91/Ci Beds: Beds: 3 Ttl F SgFt: 2,276 Yr Bit: 1960 TU Baths: 2 Acres: 0.22 Garage: TH Baths: 2 Acresr 0.229 Garage: 2 R Directions: Pub Remarks: Bass Lake Rd To winnetke North To Gist East (R) i Block To Sumter South (R) To Horne Back on the MarkettWell cared for rambler.4th Bedroom non conforming.Large rooms, 3 Pub Remarks: 3br 1.5 bath all on one level. Close to shopping, schools and convenient to freeways. bedrooms on main level -Newer Roof, Furnace/AC and vrindaws;all less than 10 yrs aid. Finish lower level for more square footage. i, Nice yord.Hardwood floors thru out, in great condition. Large LL Family room w/ wet bar 11 r '? ~ # 4689 Gettysburg Avenue N , New Hope, MN 55428-4749 An Offer Has Been Accepted Contingent Upon: Inspection List aC: Status: Acthra List Price: $150,000 List Date: 12/03/2014 Sold Price: Style: (SF) Split Entry (Bi -Level] �i ■■ County: Beds: Ttl Baths: Hennepin Map/Coord: 91/C2 4 TV F Sq Ft: 1,660 Yr Bit: 1966 3 Acres: 0 Garage: 2 Directions: 169 To Cty 9 E To Gettysburg N To Home Pub Remarks: Corporate owned property in nice New Hope area. Investors delight!! 4504 Aquila Avenue N , New Hope, MN 55428 List #: Status: Pending List Price: $116,900 List Date: 01/02/2015 Sold Price; Style: (SF) One Story County: Hennepin Map/Coord: 91/C3 Beds: 3 Ttl F SgFt: 1,100 Yr Bit: 1966 Tti Baths: 1 Acres: 0.276 Gara13 ge: 2 Dt Closed; Off Mkt Date: 01/14/2015 Directions: Boone To 46th Eat To Aqulla South To Home Pub Remarks: Greet potential in this 3 bedroom rambler located In cul-de-sac. Finish the lower level for Instant equity. 6082 Zealand Avenue N, New Hope, MN 55428 List #: Status: Pending List Price: Auction List Date: 12/31/2014 Sold Price: Style: (SF) One Story County: Hennepin Map/Coord: 91/Ci Beds: 3 Ttl F SgFt: 1,096 Yr Bit: 1959 TU Baths: 2 Acres: 0.22 Garage: 2 Dt Closed; Off Mkt Date: 02/20/2015 Directions: 694 To Boone Ave, 5 To 62nd E To Zealand. 5 To Property Pub Remarks: 3br 1.5 bath all on one level. Close to shopping, schools and convenient to freeways. Finish lower level for more square footage. 3765 3ordan Avenue N , New Hope, MN 55427 List #: Status: Pending List Price: $127,500 List Date: 08/15/2014 Sold Price: Style: (SF) One 1/2 Stories County: Hennepin Map(Coord: 91/C3 Beds: 3 Ttl F SgFt: 1,740 Yr Bit: 1967 Ttl Baths: 2 Acres: 0.257 Garage: 2 Dt Closed: Off Mkt Date: 02/25/2015 Directions: Head West On 46th Ave N Toward Aquila Ave N, 2" Loft Onto Boone Ave N, Right Onto 40 1/2 Ave N, 2nd Left Onto Jordan Ave N http://matrix.northstarmis.com/MatrixlPortallPortalResultsPrint.aspx?L=1 &k=1367885XK... 2/27/2015 NorthstarMLS Matrix Page 2 of 4 5300 Oregon Avenue N , New Hope, MN 55428 _ List #: Pub Remarks: HUD homes sold As -Is. Unique property in established neighborhood with mature trees and landscaping. Bright interior features hardwood floors at living room. No List Date: 10/01/2014 Sold Price: representation made to Info including sgft taxAchool,featurWAtc.Buyer to verify all info Style. (SF) One Story Beds: - I County: Hennepin Map/Coord: 91/D2 �e 2 Ttl F SgFt: 840 Yr 131t: 1952 _ Ttl Baths: 1 Acres: 0.278 Garage: 2 TI 11/14/2014 Off Nkt Date: 10/20/2014 M Winnatka Ave To 53rd Ave, East To Oregon Ave List #: Pub Remarks: Inviting and bright Neutral decor to make it your own. Open floor plan. Updated 10/03/2014 Sold Price: $115,000 Style: 5426 Wisconsin Avenue N , New Hope, MN 55428 a I list #: Status: Pending Ust Price: $131,000 j List Date: 09/17/2014 Sold Price: 11/14/2014 Off Mkt Date: 10/21/2014 Style: (SF) One Story Pub Remarks: County: Hennepin Map(Coord: 91/C2 garage. This home features hardwood floors, two bedrooms on the upper Level. Easy Beds: Ttl Baths: 3 Ttl F SgFt: 1,020 Yr Bit: 1965 2 Acres: 0.207 Garage: 2 7732 45 1/2 Avenue N, New Hope, MN 55428 Dt Closed: Off Mkt Date: 02/25/2015 List Date: Directions: Winnetko To 54th, West To Wisconsin, North To Home. (SF) One Story Pub Remarks: This 3 BR Rambler has beautiful HWD firs throughout. Kit has a nice sized eating area. Beds: 3 Ttl F SgFt: 1,135 Yr Bit: 1965 All kitchen appl. are included. LL has 3/4 R/I BA + space for an offs. & Fm. Rm. Newer 2 Acres: 0.241 Garage: 1 Dt Closed: Furnace, garden area, fenced yd. Across the street from a park. Aluminum Siding. 5300 Oregon Avenue N , New Hope, MN 55428 _ List #: Status: Sold List Price; List Date: List Date: 10/01/2014 Sold Price: .$109,900 $116,000 Style. (SF) One Story Beds: - I County: Hennepin Map/Coord: 91/D2 ' Beds: 2 Ttl F SgFt: 840 Yr 131t: 1952 _ Ttl Baths: 1 Acres: 0.278 Garage: 2 •, L -f F^ ��'° '� Dt Closed: 11/14/2014 Off Nkt Date: 10/20/2014 I Directions: Winnatka Ave To 53rd Ave, East To Oregon Ave List #: Pub Remarks: Inviting and bright Neutral decor to make it your own. Open floor plan. Updated L flooring and stunning kitchen. Walk -out dining room onto gorgeous wood deck. Large corner lot with spacious backyard. 2 -car oversized garage. Convenient access to 169 & 694. 6017 Yukon Avenue N , New Hope, NN 55428 List #: Status: Sold List Price: $115,001) List Date: 12/29/2014 Sold Price: $125,000 Style: (SF) One Story County: Hennepin Map/Coord: 91/Cl Beds: 3 Ttl F SgFt: 1,554 Yr Bit: 1960 Ttl Baths: i Acres: 0.207 Garage: 2 Dt Closed: 02/12/2015 Off Mkt Date: 01/24/2015 Directions: Boone Ave To 60 1/2 Ave East To Meadow Lake Rd To Yukon Pub Remarks: Solid 3BR Rambler with great spaces Inside and good layout. Home needs some updates & TLC. Features include 2 car gar, deck, fenced back yard, large driveway. Only minutes to NH Golf Course, Meadow Lake Park & shopping. Excellent price, don't wait 6059 W Broadway Avenue, New Hope, MN 55428 List #: Status: Sold List Price: $119,900 List Date: 10/03/2014 Sold Price: $115,000 Style: (SF) One 1/2 Stories County: Hennepin Map/Coord: 91/D1 Beds: 3 Ttl F SgFt: 1,629 Yr Blt: 1953 Ttl Baths: 2 Acres: 0.22 Garage: 2 ' Dt Closed: 11/14/2014 Off Mkt Date: 10/21/2014 Directions: West aroodwav North Of Bass Lake Road Pub Remarks: Spacious 1.5 story home with shaded backyard, 3 season porch, deck and 2 car detached garage. This home features hardwood floors, two bedrooms on the upper Level. Easy Access to I-694, US Hwy 169 and MN Hwy 100. 7732 45 1/2 Avenue N, New Hope, MN 55428 List #: Status: Sold List Price: $119,900 List Date: 11/12/2014 Sold Price: $125,000 Style: (SF) One Story County: Hennepin Map/Coord: 91/D3 Beds: 3 Ttl F SgFt: 1,135 Yr Bit: 1965 lfe Ttl Baths: 2 Acres: 0.241 Garage: 1 Dt Closed: 12/18/2014 Off Mkt Date: 12/02/2014 Directions: 169 N To 42nd Ave Go E To Winatka Ave Go N To 45 /12 Go E To Property. Pub Remarks: Fixer Upper -1st time Buyers/Investors. i sty Rambler w/3 bdrms & 1 1/2 baths,1 car attached garage. Estate Sale. 3 Bd-1 level, eat -In kit, unfinished bsmt w/ 1/2 bath. Cash or Conv finan only. Buyer assume all POS repairs($1,805)&eomplete City req'd forms 4640 Decatur Avenue N , New Hope, MN 55428 List #: Status: Sold List Price: $122,500 List Date: 06/28/2014 Sold Price: $121,000 Style: (SF) Split Entry (Bi -Level) http://matrix.northstam- ls.com/Matrix/PortallPortalResultsPrint.aspx?L=1&k=1367885XK... 2/27/2415 NorthstarMLS Matrix Page 3 of 4 County: Hennepin Map/Coord: 91/C2 Beds: 3 Ttl F SgFt: 1,636 Yr Bit: 1965 TV Baths: 3 Acres: 0.386 Garage: 2 Dt Closed: 12/24/2014 Off Mkt Date: 12/17/2014 Directions: From Hwy 100 6o West On 42nd Av N To Boons Av N. Itlght/North On Boone To Decatur Av N. Left To Home In Small Cul Du Sac On Right. Pub Remarks: Potential to be a lovely home In a quiet location. Possible equity gain vie rehab for resale or rental, Meat, plumbing, cosmetics and 77 need overhaul. Some unfinished construction projects. Opportunity in a good location. Sold strictly AS IS. I 4657 Gettysburg Avenue N , New Hope, NN 55428 List #; 4512134 Status; Sold List Price, $132,500 List Date; 08/20/2014 Sold Price: $132,600 Style: (SF) Two Stories County: Hennepin Map/Coord: 91/C2 Beds: 4 Ttl F Sq Ft: 1,968 Yr Bit: 1964 Ttf Baths: 2 Acres: 0.219 Garage: 2 Dt Closed: 11/26/2014 Off Mkt Date: 11/10/2014 Directions: 42nd Ave To North On Gettysburg To property. Pub Remarks: 2 story home that offers 4 bedrooms on the some level, wood floors and deck to enjoy large backyard with mature trees. Great location near parks. 4058 Oregon Avenue 111 , New Hope, MN 55427 List #: 452408'1 Status: Sold List Price: $134,900 List Date: 09/04/2014 Soid Price: $134,000 Style: (SF) One Story County: Hennepin Map/Coord: 91/D3 Beds: 2 Ttl F SgPt: 1,076 Yr Bit: 1954 Ttl Baths: 1 Acres; 0.21 Garage: 2 Dt Closed: 11/14/2014 Off Mkt Date: 10/15/2014 Directions: Hwy 100, w On 42nd, S On Oregon To Home Pub Remarks: Specious fenced backyard awemed by patio & fire pit; one level living, hardwood firs, abundance of natural sunllght. Updated kitchen, w/ceramic file firs, maple cabinetry accented by stylish We back splash. Hurry, cheaper then rentl 5430 Virginia Avenue N , New Hope, NN 55428 List #: 3965 Cavell Avenue N , New Hope, MN 55428 Sold List Price: List #: Status: Sold List Price: $132,000 08/08/2014 List Date: 11/06/2014 Sold Price: $115,900 b , f Style: County: (SF) One Story Hennepin Map/Coord: 91/Cl r f Beds: 3 Ttl F Sq Ft: :._ TV Baths: 968 Yr BIt: 1960 1 Acres; 0.258 Garage: 2 3 Ttl F SgFt: Dt Closed: 01/29/2015 Off Mkt Date: 01/06/2015 TU Baths: Directions: Head west On 46th Ave N Toward Aquila Ave N, 2nd Right Oho Boone Ave N. Loft Onto 2 Dt Closed: Bass Lake RdAst Right Onto Cavell Ave N 09/16/2014 Pub Remarks: HUD homes sold As -Is. Corner lot with mature trees, vinyl siding, large backyard deck winnatka, W On 54th, N On Virginia To Home and 2 car garage! Hardwood floors and arl bedrooms an main level. No representation Ready to move in made to info Including sgft,taa;,school,featurea,atc-Buysrto verify all info I 4657 Gettysburg Avenue N , New Hope, NN 55428 List #; 4512134 Status; Sold List Price, $132,500 List Date; 08/20/2014 Sold Price: $132,600 Style: (SF) Two Stories County: Hennepin Map/Coord: 91/C2 Beds: 4 Ttl F Sq Ft: 1,968 Yr Bit: 1964 Ttf Baths: 2 Acres: 0.219 Garage: 2 Dt Closed: 11/26/2014 Off Mkt Date: 11/10/2014 Directions: 42nd Ave To North On Gettysburg To property. Pub Remarks: 2 story home that offers 4 bedrooms on the some level, wood floors and deck to enjoy large backyard with mature trees. Great location near parks. 4058 Oregon Avenue 111 , New Hope, MN 55427 List #: 452408'1 Status: Sold List Price: $134,900 List Date: 09/04/2014 Soid Price: $134,000 Style: (SF) One Story County: Hennepin Map/Coord: 91/D3 Beds: 2 Ttl F SgPt: 1,076 Yr Bit: 1954 Ttl Baths: 1 Acres; 0.21 Garage: 2 Dt Closed: 11/14/2014 Off Mkt Date: 10/15/2014 Directions: Hwy 100, w On 42nd, S On Oregon To Home Pub Remarks: Specious fenced backyard awemed by patio & fire pit; one level living, hardwood firs, abundance of natural sunllght. Updated kitchen, w/ceramic file firs, maple cabinetry accented by stylish We back splash. Hurry, cheaper then rentl 5430 Virginia Avenue N , New Hope, NN 55428 List #: Status: Sold List Price: $139,900 List Date: 08/08/2014 Sold Price: $140,000 Style: (SF) One Story County: Hennepin Map/Coord: 91/D2 Beds: 3 Ttl F SgFt: 966 Yr Bit: 1954 TU Baths: 2 Acres: 0.232 Garage: 2 Dt Closed: 10/07/2014 Off Mkt Date: 09/16/2014 Directions: winnatka, W On 54th, N On Virginia To Home Pub Remarks: Ready to move in 4148 Gettysburg Avenue N , New Hope, MN 55427-1046 List #: Status: Sold List Price: $146,300 List Date: 10/20/2014 Sold Price: ;142,500 Style: (SF) One Story County: Hennepin Map/Coord; 91/C3 Beds: 3 Ttl F SgFt: 1,118 Yr Bit: 1973 TU Baths: 2 Acres: 0.21 Garage: 2 Dt Closed: 01/09/2015 Off Mkt Date; 11/11/2014 Directions; See Map Pub Remarks: 3 bad rambler! Fenced yard, vaulted celiings,3 bedrooms on the same level, great location close to shopping, highways, parks, schools and morel Finish off the lower level and turn this house Into a home! Information Deemed Reliable But Not Guaranteed. Copyright (c) 2015 Regional Multiple Listing Service of Minnesota., Inc. All Rights Reserved. http://matrix.northstarmis.coni/MatrixlPortallPortalResultsPrint.aspx?L=1 &k=1367885XK... 2/27/2015 PURCHASE AGREEMENT This form approved by the Minnesota Association of REALTOR$°, which disclaims any HaW by arising out of use or misuse of thls form. 0 2414 Minnesota Association of REALTORS, Edina, MN 1. Date rebruary 24, 3015 2. Page 1 of 11 3. BUYER (S): City of Now nope -- 4. 5. Buyer's earnest money in the amount of 0 6. Dollars ($ ) 7. shall be delivered to listing broker no later than two (2) Business Days after Final Acceptance Date of this Purchase 8. Agreement. Buyer and Seller agree that listing broker shall deposit any earnest money in the listing broker's trust 9, account within three (3) Business Days of receipt of the earnest money or Final Acceptance Date of this Purchase 10. Agreement, whichever is later. 11. Said earnest money is part payment for the purchase of the property located at 12. Street Address: 9121 62nd A". N. 13. 14. 15. 1$. 17, 18. 19. 20. 21. 22. 23. 24. 25. 26. 27, 28- 2S. 30, 31. 32. 33. 34. City of ._.. Now Hope - -- - County of _..... T Hennepin . State of Minnesota, legally described as LOT 001 BLOCK 001 ALLAN HILLS 2ND ADDN Said purchase shall include all Improvements, fixtures, and appurtenances on the property, ff any, including but not limited to, the follolnring (collectively the "Property"): garden bulks, plants, shrubs, trees, and lawn watering system; shed; storm sash, storm doors, screens and awnings; window shades, blinds; traverse, curtain, and drapery rods, valances, drapes, curtains, window coverings and treatments; towel rods; attached lighting and bulbs; fan fixtures; plumbing fixtures; garbage disposals; water softener, water treatment system; water heating systems, heating systems; air exchange system; radon mitigation system; ; sump pump; TV antennalcable TV jacks and wiring/TV wall mounts; wall/celling-mounted speakers and mounts; carpeting; mirrors; garage door openers and all controls; smoke detectors; fireplace screens, door and heatilators; BUIL.T-1NS: dishwashers; refrigerators; winsAxwerage refrigerators; trash compactors; omens; cook -top stoves; warming drawers; microwave ovens; hood fans; shelving; work benches; intercoms; speakers; air conditioning equipment; electronic air filter; humidifier/dehumldifler, liquid fuel tanks (and controls); pool/spa equipment; propane tank (and controls); security system equipment; N satellite dish; AND the following personal propertyshall be transferred with no additional monetaryvalue, and free and clearof all liens and encumbrances: Notwithstanding the foregoing, leased fixtures are not included. Notwithstanding the foregoing, the following item(s) are excluded from the purchase: 35. Seller has agreed to sell the Property to Buyer for the sum of ($ 130,000.00 - } 36. _. _ ora Kundr* Thir&X ftousand - _--_-- Dollars 37. which Buyer agrees to pay in the following manner: 38. 1. CASH of 100 percent (%) of the sale price, or more in Buyer's sole discretion, which includes the earnest 39. money; PLUS 40. 2. FINANCING of 0 percent (%) of the sale price, which will be the total amount secured against this 41. Property to fund this purchase. 42. Such financing shall be (oileclr one) ❑ a nrat mortgage; ❑ a contract for deed; or ❑ a first mortgage with 43. subordinate financing, as described in the attached Addendum: 44. ❑ Canvsnilionel ❑ FNA ❑ DVA ❑ Assumpflan ❑ Conti :ct kw Deed ❑ other: 45. The date of cWIng shall be on or before 5131 -,20M MN:PA-1 (W14) PURCHASE AGREEMENT 46. Page 2 Date $.brae as R01 47, Property located a# 9171 62ua ova. N. Jnr EM M 55428 48. This Purchase Agreement ❑ IS © IS NOT subject to an Addena m to purchase Agraeement.• Sale of Buyers Prnpertyr - Xhsat ana)------ 49. Condlrowwfor sale of Buyer's property. (if answer is 18, See attached Addendum.) 50. (If answer is IS NOT, the dosing of Buyer's property, if any, may still affect Buyer's atrility to obtain financing, If finanang 51. is applicable.) 52. This Purchase Agreement ❑ IS ® IS NOT subject to cancellation of a previously written purchase agreement 53. dated .20 -. (if answer is 1$, said cancellation shall be obtained no later than 54• -20 . ff said cancellation is not obtained by said date, this Purchase Agreement 55. is canceled. Buyer and Seller shall immediately sign a Cancellation OfPurchase Agneeonwconfirming said cancellation 56. and directing all earnest money paid hereunder to be refunded to Buyer.) 57. Buyer has been made aware of the availability of Property inspections. Buyer [] Elects [j Declives to have a 58. Property inspection performed at Buyefs expense. •• �+��".�' 69. This Purchase Agreement [] IS © IS NOT subject to an Addendum to Pumhase Agreement: ln*eodon Cor&Wncy. 60. (If answer is IS, see attached Addendum.) 61. DEED/MARKETABLE TITLE: Upon performance by Buyer, Seller shall deliver a (check one): 62. ❑ Warranty Deed, © Personal Represontative's Deed, ❑ Contract for Deed, ❑ Trustee's Deed, or 63. ❑ Otfaer: Deed joined in by spouse, it any, conveying marketable title, subject to 64. (a) building and zoning laws, ordinances, and state and federal regulations; 65. (b) restrictions relating to use or improvement of the Property without effective fnrteiture provisions; 66. (c) reservation of any rrdneral rights by the State of Minnesota; 67. (d) utility and drainage easements which do not interfere with existing improvements; 68. (e) rights of tenants as foifaws (uniess specified, not subjecttotsnanaes): 69. and 70. (f) others (must be specified in writing): 71. 72. REAL ESTATE TAXES: Seller shall pay on the date of closing all real estate taxes due and payable in all prior years 73. including an penalties and interest. 74. Buyer shall pay 9 PRORATED FROM DAY OF CLOSING [] 12the OF ❑ ALL ❑ NO real estate two due ......�............_.�...._............................-f�aic a�.}�--...�...................._....rte...» 76, and payable In the year 20 15 76. Seller shall pay © PRORATEDTO DAY OF CLOSING [:]-120* OF ❑ ALL[] NO real estate taxes dice and 77. payable in the year 20 15 . If the closing date Is changed, the reed estate taxes paid shall, if prorated, be adjusted 78. to the new dosing date. If the Property tax status is a part- or non -homestead classification in the year of closing, Seller 79. []SHALL © SHALL NOT pay the difference between the homestead and non•homesband. 80. Buyer Shall pay real estate texas dire and payable in the year following closing and thereafter, the payment of which 81. is not otherwise herein provided. No representations are made concerning the amount of subsequent real estate taxes. 82. DEFERREDTAXES/SPECIAL ASSESSMENTS: 83. ❑ BUYER SHALL PAY © SELLER SHALL PAY on date of closing any deferred real estate taxes (e.9., Green 84. Acres) or special assessments,, payment of whioh is required as a result of the dosing of this sale. 85. ❑ BUYER AND SELLER SHALL PRORATE A5 OF THE DATE OF CLOSING © SELLER SHALL PAY ON 86. DATE OF CLOSING all installments of special assessments certified for payment, with the real estate taxes due and 87. payable in the year of closing. MN:PA-2 (8174) PURCHASE AGREEMENT 88. Page 3 Date Febmary 24, 2015_„„_ 89. Property located a1 9121 62nd ]kw. N. K.W J3o M 55428 90. ❑ BUYER SHALL ASSUME_® SELLER SHALL PAY on date of dosing all other SP6daf assessments levied as 91. of the date of this Purchase Agr"rnent. --�� 92. ❑ BUYER SHALL ASSUME WJ SELLER SHALL PRCYV113E FOR PAYMENT OF special assessments pending as 93. of the date of this Purchase Agreement far ImproVements that have been ordered by any assessing authorities. (Seller's 94. provision for payment shall be by payment Into escrow of two (2) times the estimated amount of the assessments 95. or less, as required by Buyer's tender.) 96. Buyer shall pay any unpaid special assessments payable in the year following dosing and thereafter, the payment of 97. which Is not otherwise herein provided. 98. As of the date of this Purchase Agreement, Seller represents that Seller ❑ HAS Q HAS NOT received a notice 99. regarding any new improvement project from any assessingauihorlfies, the costs of which project may be assessed 100. against the Property. Any such notice received by Seller after the date of this Purchase Agreement and before closing 101. shall be provided to Buyer Immediately. if such notice is issued after the date of this Purchase Agreement and on 102. or before the date of closing, then the parties may agree in writing, on or before the date of closing, to pay, provide 103. for the payment of or assume the special assessments. In the absence of such agreement, either party may declare 104. this Purchase Agreement canceled by written notice to the other party, or licensee representing or assisting the other 105, party, in which case this Purchase Agreement is cantered. If either party declares this Purchase Agreement canceled, 106. Buyer and Seller shall immediately sign a Canceftfion of Purchase Agreement confirming said cancellation and 107. directing all earnest money paid hereunder to be refunded to Buyer. 108. POSSESSION: Seiler shall deliver possession of the Property no rater than Instead after dosing. 109. Seller agrees to remove ALL DEBRIS AND ALL PERSONAL PROPERTY NOT INCLUDED HEREIN from the Property 110. by possession date. 111. PRORATiON& AN interest; unit owners' association dues; rents; and charges for city water, city sewer, electricity and 112, natural gas shall be prorated between the parties as of date of closing. Buyer shall pay Seller for remaining gallons of 113. fuel oll or liquid petroleum gas on the day of closing, at the rate of the last fill by Seller. 114. TITLE AND EXAMINATION: As quickly as reasonably possible after Final Acceptance Date of this purchase Agreement: 115. (a) Seger shall surrender any abstract of title and a copy of any owner's title insurance policy for the Property, if 116. in Seller's possession or control, to Buyer or Buyer's designated title service provider; and 117. (b) Buyer shall obtain the title services determined necessary or desirable by Buyer or Buyer's lender, including 118. but not limited to We searches, title examinations, abstracting, a titre insurance commitment or an attorneys 119. title opinion at Buyer's selection and cost and provide a copy to Seller. 120. Seller shall use Sellers best efforts to provide marketable title by the date of closing. Seller agrees to pay all costs 121, and fees necessary to convey marketable title Including obtaining and recording all required documents, subject to the 122. following: 123. In the event Seller has not provided marketable title by the date of dosing, Seller shall have an additional 30 days to 124. matte title marketable, or in the alternative, Buyer may waive title defects by written notice to Seger. In addition to 125. the 30 -day extension, Suver and Seller may, by mutual agreement, further extend the closing date. Looking such 126. extension, either party may declare this Purchase Agreement canceled by written notice to the other party, or 127. licensee representing or assisting the other party, in which case this Purchase Agreement is canceled. If either 128. party declares this Purchase Agreement canceled, Buyer and Seller shall immediately sign a C oncelladon of 129. Purchase Agnsement confirming said cancellation and directing all earnest money paid hereunder to be refunded 130. to Buyer. 131. SUBDIVISION OF LAND, BOUNDARIES, AND ACCESS: If this sale constitutes or requires a subdivision of land 132. owned by Seller, Seiler shall pay all subdivision expenses and obtain all necessary governmental approvals. Selrer 133. warrants that the legal description of the real property to be conveyed has been or shall be approved for recording as 134. of the date of dosing. Seller warrants that the buildings are or shall be constructed entirely within the boundary fines 135. of the Property. Seller warrants that there is a right of access to the Property from a public right-of-way. 136. MECHANIC'S LIENS: Seiler warrants that prior to the dosing, payment in fug will have been madefor all labor, materials, 137. machinery, fixtures or tools furnished within the 120 days immediately preceding the closing in connection with 138, construction, afteration or repair of any structure on, or improvement to, the Property. WPA-3 (8114) PURCHASE AGREEMENT 139. Page 4 Date February 24, 7015 140. Property boated at 9121 62nd Ave. !r. Now Sae laf 3347$ 141. NOTICES: Seiler warrants that Seller has not received any notice from any govemmental authority as to condemnation 142. proceedings, or violation of any law, ordinance or regulation. If the Property is subject to restrictive covenants, Seller 143, warrants that Seger has not received any notioe from any person or authority as to a breach of the covenants. Any 144. such notices received by Seller small be provided to Buyer immediately. 145. DIMENSIONS: Buyer acknowledges any dimensions, square footage or acreage of land or Improvements provided 148. by Seller, third party, or broker representing or assisting Seller are approximate. Buyer shall verify the accuracy of 147. information to Buyer's satisfaction, ff material, at Buyer's sole cost and expense. 148. ACCESS AGREEMENT: Seller agrees to allow reasonable access to the Property for performance of any surveys or 149. inspections agreed to herein. 1513. RISK OF LOSS: ff there is any loss or damage to the Property between the date hereof and the date of closing for any 151, reason, including fire, vandalism, flood, earthquake or act of God, the risk of loss shall be on Seller. If the Property 152. is destroyed or substantially damaged before the closing date, this Punciase Agreement is canceled, at Buyerls option, 153. by written notice to Seller or licensee representing or assisting Seller. N Buyer cancels this Purchase Agreement, 154. Buyer and Seiler shall immediately sign a Cancellefim of Pumbew Agreenwt confirming sald cancellation and 155. directing all earnest money paid hereunder to be refunded to Buyer. 156. TIME OF ESSENCE; Time is of the essence in this Purchase Agreement, 157. CALCULATION OF DAYS: Any calculation of days begins on the first day (calendar or Business Days as specified) 158. hollowing the occurrence of the event specified and includes subsequent days (calendar or Business Days as specified) 159. ending at 11:59 P M. on the last day. 160. BUSINESS DAYS: "Business Days" are days which are not Saturdays, Sundays or state or federal holidays unless 161. stated elsewhere by the parties In writing. 162. RELEASE OF EARNEST MONEY. Buyer and Seller agree that the listing broker shall release eamest money from the 153. listing broker's trust account: 1) at or upon the successful dosing of the Property; 2) pursuant to written agreement 164. between the parties, which may be reflected In a Csncellatiarr of PUrGhase Agrreerrrerrt executed by both Buyer and 165. Seller, 3) upon receipt of an affidaatt of a cancellation under MN Statute 559.217; or 4) upon receipt of a court order. 166. DEFAULT: If Buyer defaults In any Of the aQrserrrents herein, Seller may cancel this Purchase Agreement, and any 167. payments made hereunder, including same* money, shall be reed by Seller as liquidated damages and Buyer 168. and Seller shall afflrm the same by a written cancellation agreement 169. If Buyer defaults in any of the agreements hereunder, Seller may terminate this Purchase Agreement under the 170. provisions of either MN Statute 559.21 or MN Statute 559.217, whichever is applicable. If either Buyer or Setter defaults 171. In any of the agreements hereunder or there exists an unfulfilled condition after the date specified for fulfillment, either 172. party may cancel this Purcheae Agreement under MN Statute $59.217, Subd. 3. Whenever it is provided herein that 173. this PurchaseAgreement Is cmmeled, said language shall be deemed a provision authorizing a Declaratory Cancellation 174. under MN Statute W9.217, Subd. 4. 175. If this Purchase Agreement Is not canceled or terminated as provided hereunder, Buyer or Seiler may seek actual 176. damages for breach of this Purchase Agreement or specific performance of this Purchase Agreement, and, as to 177. specific performance, such action must be commenced within six (6) months after such right of action arises, 178. BUYER HAS THE RIGHT TO A WALK-THROUGH REVIEW OF THE; PROPERTY PRIOR TO CLOSING TO 179. ESTABLISH THAT THE PROPERTY IS IN SUBSTANTIALLY THE SAME CONDITION AS OF THE DATE OF 180. THIS PURCHASE AGREEMENT 181. BUYER HAS RECEIVED A (check any that apply): 1:1 DISCLOSURE STATEMENT.• SELLER'S PROPERTY OR A 182. © DISCLOSURE STATEMENT SELLER'S DISCLOSURE ALTERNA7 VES FORM. 183. DESCRIPTION OF PROPERTY CONW7iON: See DFsdosurs Statement Seders Pmpertyor Disclosure Stafement. 184. Seller's Disdosure Altemu3tivee for description of disclosure responsibilities and limitations, if any. 185. BUYER HAS RECEIVED THE INSPECTION REPORTS, IF REQUIRED BY MUNICIPALITY. 186. BUYER IS NOT RELYING ON ANY ORAL REPRESENTATIONS REGARDING THE CONDMON OF THE PROPERTY 187_ AND ITS CONTENTS. PURCHASE AGREEMENT 188. Page 5 Date February 24 2015 189. Property located at 9171 62nd Ave. x. Now Hope Of 55428 190. (Cheek approprYaM ban&) ) 191. SELLER WARRANTS THAT THE PROPERTY IS EITHER DIRECTLY OR INDIRECTLY CONNECTED TO. 192. CITY SEWER ©YES ❑ NO t CRY WATER ©YES ❑ NO 193, 194. SELLER ❑ ......_.._DOES g DOES NOT KNOW OF A SUBSURFACE SEWAGE TREATMENT SYSTEM ON OR 195. SERVING THE PROPERTY. (if answer is DOES, and the system does not require a state permit, see Dk;clasum 196. Statement Subsurface Sewage Treatment System.) 197, lE'B!]IM WELL 198. SELLER ❑ DOES © DOES NOT KNOW OF A WELL ON OR SERVING THE PROPERTY. 198. (If answer is DOES and well is located on the Property, see Dkwbsur+e Statement: Well.) 200. THIS PURCHASE AGREEMENT ❑ IS g 19 NOT SUBJECT TO AN ADDENDUM TO PURCHASE AGREEMENT- 201. GREEMENT201. SUBSURFACE SEWAGE TREATMENT SYSTEM AND WELL INSPECTION CONTINGENCY. 202. (It answer is 18, see attached Addendum.) 203. IF A WELL OR SUBSURFACE SEWAGE TREATMENT SYSTEM EXISTS ON THE PROPERTY, BUYER HAS 204. RECEIVED A DISCLOSURE STATEm&4r WELL ANDIOR A DISCLOSURE STATEMENT- SU&SUWACESEWAGE 205. TREATMEN'rSYSTEM. moo, rnr I PVC F rMARLANO PREDATORY OFFENDER INFORMATION: Information regarding the predatory offender 207. rogisiry and persons reglsbsred with the predatory offender registry under MN Statute 2+45.166 maybe opined 208. by contacting the local law enforcement aHices in the community where the Property Is located or the Minnesota 209. Department of Corrections at (651) 851-7200, or from the Department of Corrections web sits at 210. www con:stats.mmus. 211. NOME PROTECTION/WARRANTY PLAN: Buyer and Seller are advised to investigate the various home protectlonf 212. warranty plans available for purchase. Different home protectionlwarranty plans hm different coverage options, 213. excluslons, limitations and service fees. Most plana exclude pro -existing conditions. (Check one.) 214. ❑ A Hone Protection/Warranty Plan will be obtained and paid byOBUYER [❑ SELLER to be Issued by 215. at a oust not to exceed $- 216. © No Home ProtectionAVarranty Plan is negotiated as part of this Purchase Agreemerrt. However, Buyer may elect 217. to purchase a Home Protection/Warranty Plan. 218. 219. - Antho" Adak (We) 220. Hawk_ Realty p9gyanSr (Fret Em" compmw Name) .,r....+- 221. NOTICE is © Seller`s Agent 0 Buyer's Agent (-] Dual Agent ❑ Facilitator_ is ❑ S9IWs Agent ❑ Buyer's Agent © Dual Agent E] Facilitator, �---- _--_--__ rye.}__...�_.___--,...........�..._.� 222. (Final EMM CampsV Name) 223. THIS NOTICE DOES NM SATISFY MINNESOTA STATUTORY AGENCY DISCLOSURE REQUIREMENTS. WPM (9/14) PURCHASE AGREEMENT 224. Page 6 Data Fabru r . 24 20_� 225. Property boated 8t 9121 62aa ave.X.asx ROW W gseaa 22e. DUAL AGENCY REPRESENTATION 227. PLEASE CHECK ONE OFTHE FOLLOWING SELECTIONS: 228, © Dual Agency representation DOES wrapply in this transaction. Do not complete ►hies 229.245. 229. E] Dual Agency representation DOES apply in this transaction. Carnq 06te the d(sckwurs in Iftw 230.245 230. Broker represents both the Wer(s) and the Buyers) of the Property involved in this fiction, which creates a 231, dual agency. This means that Broker and its salespersons owe frduclary duties to both Seller(s) and Buywfs). Because 232. the parties may have conflicting Interests, Broker and its salespersons are prohibited from advocating exclusively for 233, either party. Broker cannot act as a dual agent in this transaction without the consent of bath Seller(s) and Buyers). 234. Seller(s) and Buyer(s) acknowledge that 235. (1) confidential information communicated to Broker which regards price, terms, or motivation to buy or sell will 236. remain confidential unless Sellers) or Buyer(s) instructs Broker in writing to disclose this information. Other 23T, iMormation will be shared, 238. (2) Broker and Its salespersons will not represent the Interest of either party to the detriment of the other, and 239. (3) within the limits of dual agency, Broker and its salespersons will work diligently to facilitate the mechanics of 240. the sale, 241. With the knowledge and understanding of the explanation above, Seller(s) and Buyer(s) authorize and Instruct Broker 242, and its salesperson to act as dual agents in this transaction. 243. Seller 244. Seller 245. Date BUYW Buyer Date 246. CLOSING COSTS: Buyer or Seller may be required to pay certain dosing costs, which may effectively increase the 247. cash outlay at closing or reduce the proceeds from the sale. 248. ENTIRE AGREEMENT- This Purchase Agreement and any addenda or amendments signed by the parties shall 249. constitute the entire agreement between Buyer and Seller. Any other wrltben or oral communication between Buyer and 250. Seller, including, but not limited to, e -malls, text messages, or other electronic communications are not part of this 251, Purchase Agreement. This Purchase Agreement can be modified or canceled only in writing signed by Seller and 252. Buyer or by operation of law. All monetary sums are deemed to be United States currency for purposes of this Purchase 253- Agreement. 254. ELECTRONIC SIGNATURES: The parties ag roe the electronic signature of any party on any document related to this 255. transaction constitute valid, binding signatures. 256. FINAL ACCEPTANCE: To be binding, this Purchase Agreement must be fully executed by both parties and a copy 257. must be delivered. 259. SURVIVAL: All warranties specified in this Purchase Agreement shall survive the delivery of the deed or contract 259. for deed. 261, 262. 263. 264. 285. 266. MN:PA-6 tan 4) PURCHASE AGREEMENT 268. Page 7 Date r@brU&rY 24 2013 289. Property located at 9121 62nd Aw. N. Nr.r >K 99628 270. ADDENDA AND PAGE NUMBERING: Attached addenda are a part of this Purchase AgrsemenL 271. Enter total number of pages of this Purchase Agreement, including addenda, on line two (2) of page one (1). 272. NOTE: Disclosures and optloml Arbitration Agreement are not part of this Purchase Agreement and should 273. not be part of the page numbering. 274. I, the owner of the Property, accept this Purchase 275. Agreement and authorize the listing broker to withdraw 276. sold Property from the market, unless instructed 277. otherwise in writing. 278. J have rwW wed all pages of this Purchase Agreement. 279. ❑ If cher W, this Purchase Agreement is subject to 280. attached Addendum to purchase Agreement. 281. Cowd"f br, 283. X Uldn A/l094 4 1.*, foe tlLiOa. of a d y N3.�% (Se+Mft Pdn%d Mwo) _ 284. X (Mama sm s) 285. X (Sellws sure) 286. X (Sepees PdnWd Name) 287, X (MsrW stns) I agree to purchase the Property for the price and on the terms and conditions set forth above I have rmrlewed all pages of this Purchase Agreement, X City of Now $ s (Biyere PrM M Name) X (JOW BMW) (010) ( st,aM,re) X (Bww% PMM NOM) X Warm SWN) 288. FINAL ACCEPTANCE DATE: 289. is the date on which the fully executed Purchase Agreement is del'wered. (cam) The Final Acceptance Late 280. THIS IS A LEGALLY BINDING CONTRACT BETWEEN BUYER(S) AND SELLER(S). 281. IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL 292. J ACKNOWLEDGETHAT f "AVE RECEIVED AND HAVE HADTHE OPPORTUNITYTO REVIEWTHE DOMOSURE 293, STATEMENT ARBtM7XW MCLOSUREANDRESIDENML REAL PROPERTYARBrMATJCNAGREEIIiMT, 284. WHICH IS AN OPTIONAL, VOLUNTARY AGREEMENT AND IS NOT PA T I$ PURCHASE ACRE ENT. 285. SELLERS) .r Q ••fry 1 BUYER(S) -' J "us a.t"r. u P.R. got an et}n6gr")Lm- f i�Y ii CiCy oZ NOW Hopi 298. SELLER(S) v LY'�1l / aret✓.JIVi'�J BUYER(S) MNAA-7 (8114) ADDENDUM TO PURCHASE AGREEMENT: BUYER PURCHASING "AS IS" AND LIMITATION OF SELLER LIABILITY This form approved by the rdinrreeola Assodadw of RFALTOW. ~ diedairns any NabMy arising out of use or Mhum d ft tM. ®2014 Minnesota Association of REALTORS°, Edina, MN 1. Date Webn+uy 24, 2015 2. Page a of 11 3. IN THE EVENT SELLER HAS COMPLETED, AND BUYER HAS RECEIVED, A a. SELLER'S PROPERTY DISCLOSURE STATEMENT, DO NOT 1J$E_ THIS 5. ADDENDUM WITHOUT FIRST SEEKING LEGAL ADVICE. B. Addendum to Purchase Agreement between parties, dated Irebraary 24 .202.5 , 7. pertaining to the purchase and sale of the Property located at 93-21 82nd Ave • e- 8. Now 1110p° lei 55420 9. Limitation of Sel18r.LJfiWl The Property Is being sold in Its wdstlM condition. Buyeracknowledges that the Property, 10. including all improvements, is being sold on an "As -Is" and "Where -Is" basis, with all eadsting faults. Prior to dosing, 11. Buyer wig make such Inspections of the Property as are consistent with the terms of this Purchase Agreement in order 12. to safisfy Buyer as to the conditiorr of the Property. The Seiler warranties contained in the Purchase Agreement shall 13. remain unmodified by this Addendum. 14. The "Risk of toss" provisions of the Purchase Agreement (lines 150.155) shall remain unmodified by this Addendum. 15. Seller and Buyer shall execute a Seller's Dkftura Aftff"th►as with the °Walver" section completed. Seller retrains 16. obligated to make "other Required DisciosurW in the Disckasure Statement: Seller's Dlscbsure Aftemabw& Except 17. for "Other Required Disclosures" Buyer admowledgea that Seller has not made any oral or written representations 18. regarding the condition of the Property subject to this Purchase Agreement. By accepting delivery of the deed at dosing, 19. Buyer Will be deemed to have accepted the condition of the Property subject to th is Purchase Agreement as eatisfaMry 20. to Buyer, and Seller shalt have no liability with respect to the condition of such Property. Buyer waives any claims 21. related in any way to the condition of the Property. 22. WARNING: THIS ADDENDUM WILL AFFECT THE LEGAL RIGHTS OF BUYER 23. AND SELLER. BUYER AND SELLER ARE STRONGLY ENCOURAGEDTO OBTAIN 24. LEGAL ADVICE BEFORE AGREEING TO T IS ADDENDUM. 25. 9 ,L (ammn ..�nw. L Jn /cl�etal' fBleBimeausl m.. 28. ("Wftstna -) MOM) iBuyatsSlgnemre} {pate} 27. THIS IS A LEGALLY BINDING CONTRACT BETWEEN BUYER(S) AND SELLER($}. 28. IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESMONAL MN:APAAJ (8114) ADDENDUM TO PURCHASE AGREEMENT DISCLOSURE OF INFORMATION ON LEAD-BASED PAINT AND LEAD-BASED PAINT HAZARDS This Corm approved by the Minnesota Association of REALTORS', which diack"s any Ilabiiily arising out of use or misuse of this form. ® 2009 minnesola Association of REALTORS°, Edina, MN 1. Date rebxuary 34 2015 2. Page 9 of it 3. Addendum to Purchase Agreement between parties, dated Vebrusry 24, 2015 , 4. pertaining to the purchase and sale of the property at 9121 62nd Ave. N. 5. Now RoPe, XN 55428 6. Section I: Lead Warning Statement 7. Every buyer of any interest in residential real property on which a residential dwelling was built prior to 1978 is notified 8, that such property may present exposure to lead from feadLbased paint that may place young children at risk of 9. developing lead poisoning, Lead poisoning in young children may produce permanent neurological damage, including 10. Reaming disabilidles, reduced Inteffigenae quotient, behavioral problems and impaired memory. Lead poisoning also 11. poses a particular risk to pregnant women. The selier of any interest in residential real property is required to provide 12, the buyer with any information on lead-based paint hazards from risk assessments or inspections in the seller's 13. possession and notify the buyer of any known lead-based paint hazards. A risk assessment or Inspection for possible 14. lead-based paint hazards is recommended prior to purchase. 16. Seller's Disclosure (initial) 16 (a) Presence of lead-based paint and/or lead-based paint hazards. 17. (Check one below) Is. 19. 20. 21. 22. 23. 24. 25. 26. ❑ Known lead-based paint and/or lead-based paint hazards are present in the housing (explalnr ❑f: 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 Buyer with all available records and reports pertaining to lead-based paint and/or lead-based paint hazards in the housing (list documents below): 27. © Seller has no reports or records pertaining to lead-based paint and/or lead-based paint hazards 28, in the housing. 29. Buyer's Acknowledgment (Initial) 30. (c) Buyer has received copies of all information listed under (b) above. 31. (d) Buyer has received the pamphlet, Protect Your Family from Lead in Your Nome. 32.! l (e) Buyer has (check one below): 33. ❑ Received a 10 -day opportunity (or mutually agreed-upon period) to conduct a risk assessment 34. or inspection for the presence of lead-based paint and/or lead-based paint hazards (if checked, 35. see Section 11 on page 2). or 36, XWalved the opportunity to conduct a risk assessment or inspection for the presence of lead - 37, based paint and/or lead-based paint hazards. TLX:SALE-1 (8=) ADDENDUM TO PURCHASE AGREEMENT DISCLOSURE OF INFORMATION ON LEAD-BASED PAINT AND LEAD-BASED PAINT HAZARDS 38. Mage to of ii 39. Property located at 9z2z 62nd ive. N. NOW Hare, MR 55428 40. Real Estate Licensee% Acknowledgement (inNal) 41. (f) Real estate licensee has informed Seller of Seller's obligations under 42 U.S.C. 4852(d) and is aware 42. of licensee's responsibility to ensure compliance. 43. Certification of Accuracy 44. The fobowing parties have reviewed the information above and certify, to the best of their knowledge, that the information 45. provided by the signatory is true and accurate. 46. t I (serer) ., . 47. (serer) Paw) lsu9erl (Dow) 48. 3 -/ /S (Read Esta k =naes) Anthony Hawk (Data) (Reel Edam Lkenaee) (Date) 49. Section R: Conti ngency (Initial only if first bent under (e) is checked in Buyef'a Adrnodrthledgnwnt above.) 50. This contract is contingent upon a risk assessment or an inspection of the property for the presence of lead - 51. based paint and/or lead-based paint hazards to be conducted at Buyer's expense. The assessment or inspection 52. shall be completed within ❑ ten (10)❑ calendar (a _. -- --- days after Final Acceptance of the Purchase Agreement r one) 63. This contingency shall be deemed removed, and the Purchase Agreement shall be In full force and effect, unless Buyer or 54, real estate licensee representing or assisting Buyer delivers to Seller or real estate licensee representing or assisting 55. Seller, within three (3) calendar days after the assessment or inspection is timely completed, a written list of the specific 56. deficiencies and the corrections required, together with a copy of any risk assessment or inspection report. If Seller 57. and Buyer have not agreed In writing within three (3) calendar days after delivery of the written list of required corrections 58. that; (A) some or all of the required corrections will be made; or (13) Buyerwaives the deficiencies; or (C) an adjustment to 59. the purchase price will be made; this purchase Agreement Is canceled. Buyer and Seller shall immediately sign a 60. Cancellation of Purchase Agreement confirming said cancellation and directing all eamest money paid hereunder to 61. be refunded to Buyer. It is understood that Buyermay unilaterally waive deficlencias or defects, or remove this contingency 62. providing that Buyer or real estate licensee representing or assisting Buyer notifies Seller or real estate licensee 83. representing or assisting Seller of the waiver or removal, in writing, within the time specified. TiacSALE-2 (8ro9) ADDENDUM TO PURCHASE AGREEMENT This lorfn approved by the Minneaota AsU dation d REALTORS", whlctl comialms any liability arising out of use or misuse df this form. a 2011 Minnesota Association of REALTORS'. Fins, MN 1. Date Febzum 24, 2015 2. Page it a! 11 3. Addendum to Purchase Agreement between parties, dated irb 24 .20 1s , pertaining to the 4. purchase and sate of the property at 4121 62nd ave. s. 5 Now MVe, UK 55428 6. in the event of a conflict between this Addendum and any other provision of the Purchase Agreement, the language 7. In this Addendum shall govern. 8. The Purchase Agreement is contingent on the following. 9. (1) Review and approval of the terms of the Purchase Agreement by the 10. NOW Hope City Council; and 11. (2) An acceptable environmental review of the Property to be performed 12. by Hennepin County. 13. If either of the above contingencies are not not, Buyer may declare 14. this Purchase Agreement canceled by written notice to Seller, or Licensee representing or assisting Seller, in which case this Purchase 15. Agreement is canceled. If Buyer declares this Purchase Agreement IS, canceled due to the failure of one of the above contingencies, Buyer 17 and Seller shall immediately sign a Cancellation of Purchase Agreement confirming said cancellation and directing all earnest money paid 18. hereunder to be refunded to Buyer. 19. 20. 21. Seller will not be required to complete the City of Now Hope Point of 22. Sale inspection. 23. All parties agree to adjust the closing date, if necessary, to 24. accommodate the completion of probate for the seller's estate. 25. 28. 27. 28. 28. 30. 31. CkkW egrtC. 1 {sand 32. (Sailer) ()Sere) (Buys►) IW1 33. THIS IS A LEGALLY BINDING CONTRACT BETWEEN BUYERS AND SELLERS. 34. IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL. MN -APA (V 1) DISCLOSURE STATEMENT: ARBITRATION DISCLOSURE AND RESIDENTIAL REAL PROPERTY ARBITRATION AGREEMENT TNe form apprond by the Minnesota Assooladon of MALTOW, whkh dledalme any liability arWft out of us* or misuse of this corm. 02014 Mirr"ota Assodation of REALTORS°, Edina, MN 1. Page 1 2. 1 ARiSfIj'RATION DISCLOSURE 3. You have the right to choose whether to have any disputes about dbsdo u re of material facts affecting the use 4. or enjoyment of the propertythat you are buying orseiling decided by binding ation or by a courtof law: By agreeing 5. to binding arbitration, you give up your right to go to court. By signing the RESIDENTIAL REAL PROPERi'Y B. ARBITRATION A13REEMEW (`ARBITRATI[ N AGREEMENT") on papa two (2), you agree to binding arbibatlon under the 7. Residential Real Property Arbitration System ("Arbitration System") administered by National Center for Dispute Settlement 8. ("NCDS") and endorsed by the Minnesota. Association of REALTORS° ("MNAR").The ARBITRATION AGREEMENT is 9. enforceable only R it is signed by all buyers, sellers and licensees representing or assisting the buyers and the sellers. 10. .The ARBITRATION AGREEMENT is not part of the Purchase Agreerrwd. Your Purchase Agrownent will stilt be 11. valid whether or not you sign the ARBITRATION AGREEMENT. 12. The Arbitration System is a private dispute resolution system offered as an alternative to the court system. It 13. Is not governmern sponsored. NCDS and the MNAR jointly adopt the rules that govern the Arbitration System. NCDS 14. and the MNAR are not affiliated. Under the ARBITRATION AGREEMENT you must use the arbitration services of 15. NCDS. 16. AN disputes about or relating to disdosure of material facts affecting the use or enjoyrnent of the property, exrcluding 17. disputes related to title issues, are subject to arbitration under the ARBITRATION AGREEMENT. This includes claims 18. of fraud, misrepresentation, warranty and negligence. Nothing in this Agreement limits outer rights you may have under 19. MN 5tatu a 327A (statutory new home warranties) or under private contracts for warranty ooverage. An agreement to 20. arbitrate does not prevent a party from contacting the Minnesota Department of Commerce, the state agency that 21, regulates the real estate profession, about licensee compliance with state law. 22. The administrative be for the Arbitration System varies depending on the amount of the claim, but It is more 23. than initial court Tiling fees. In some cases, conciliation court is cheaper than arbitratlon_The maximum claim allowed 24. in conciliation court is $15,001). This amount is subject to future change. In some cases, it is quicker and less expensive 25. to arbitrate disputes than to go to court, but the time to file your claim and pre -hearing discovery rights are limited. The 26. right to appeal an arbitrators award is very limited compared to the right th appeal a court decision. 27. A request for arbitration must be filed within 24 months of the date of the Nosing on the property or 28. else the claim cannot be pursued. In some uses of fraud, a court or arbitrator may extend the 24 month 28. limitation period provided herein. 3o. A party who wants to arbitrate a dispute files a Demand, along with the appropriate administrative iris, with 31. NCDS. NCDS notifies theother partM who mayfile a response. NCDS works with thepartiesto select and appoint anaftabr 32. to hear and dedds the dispute. A three -arbitrator panel will be appointed Instead of a sNtgle arbitrator at the request 33. of any party. The party requesting a panel must pay an additional fee. Arbitrators halve backgrounds In lour, real estate, 34. architecture, engineering, construction or other related fields. 35. Arbitration hearings are usually held at the home site. Parties are notified about the hearing at least 14 days 36. in advance. A party may be represented by a lawyer at the hearing, at the party"s own expense, if he or she gimes five 37. (5) days advance notice to the other party and to NCDS. Each party may present evidence, including documents or 38. testimony by witnesses. The arbitrator must make any award within 30 days from the final heart ng date. The award must 39. be In writing and may provide any remedy the arbitrator considers just and equitable that Is within the amps of the 40. parties' agreement. The arbitrator does not have to make findings of fad that explain the reason for granting or denying 41. an award. The arbitrator may require the party who does not prevail to pay the administrative fee. 42. This Arbitration Disclosure provides only a general description of the Arbitration System and a general 43. overview of the Arbitration System rules. For specific information regarding the administrative fee, please see the 44. Fee Schedule located in the NCDS Rules. Copies of the Arbitration System rules are available from NCDS by calling 45. (866) 777-8119 or (866) 727-6119 or on the Web at www.nodsusa.org or from your REALTOR'. If you have any, questions 46. about aNbftration, call NCDS at (866) 777-6119 or (866) 727-8119 or consult a lawyer. MN:DS:ADRAA-1 (8114) DISCLOSURE STATEMENT: ARBITRATION DISCLOSURE AND RESIDENTIAL REAL PROPERTY ARBITRATION AGREEMENT 47, Page 2 48. THIS IS AN OPTIONAL, VOLUNTARY AGREEMENT. 49. READ THE ARBITRATION DISCLOSURE ON PAGE ONE (1) IN FULL BEFORE SIGNING. 50. RESIDENTIAL REAL PROPERTY ARBITRATION AGREEMENT 51. For the property located at 9121 fiend Ave. N. 52. City of .. 'Nov Ecve , County of serene iia , State of Minnesota. 53. Any dispute between the undersigned parties, or any of them, about or relating to material facts affecting the use or 54. enjoyment of the property, excluding disputes related to titre issues of the property covered by the PurohaseAgreement 55. dated , 20 --:-- , including claims of fraud, misrepresentation, warranty and 56, negligence, shall be settled by binding arbitration. National Center for Dispute Settlement shall be the arbitration service 57. provider. The rules adopted by National Center for Dispute Settlement and the Minnesota Association of RI:ALTORSO 58. shall govern the proceeding(s). The rules that shall govern the proceeding(s) are those rules in effect at the time the 59. Demand for Arbitration is filed and include the rules specified in the Arbitration Disclosure on page one (1). This 60. Agreement shall survive the delivery of the deed or contract for deed in the Purchase Agreement This Agreement is $1. only erdoroeable if all buyers, sellers and licensees representing or asslating the buyers and sellers have agreed to 62. arbitrate as acknowledged by signatures below. For purposes of this Agreement, the signature of one licensee of a 63. broker shall bind the broker and all licensees of that broker. ti C�Ie-Cu 64. (Sett ft lure) (Dere) (Boyar's Sgnd") i (Osla) 65. _ _... (Sellers Prtnted Name) (Buyer's Printed Name) 66. (setters signature) (Rate) (BL"ft signature) (gmtel 67. (bailers Printed Name) Aar! printed Name) 68. (Licensee RePMSGW g OrAmMeling Saleq (Dada) (tJ—Me Represerift OrAsei6Bng Anthmy Rwk 69, (CHawk R�slt Orrrpany No—) Name) 70. THE RESIDENTIAL REAL PROPERTY ARBITRATION AGREEMENT IS A LEGALLY BINDING CONTRACT 71. BETWEEN BUYERS, SELLERS AND LICENSEES. IIFYOU DESIRE LEGAL ADVICE, CONSULT A LAWYER. MN:DS:ADRM-2 (9114) Your Ow rtan to wrkw.* us I h�e,rm�pfnCaurny, Mlrw�esara Community Development Block Grant (CDBG) PURCHASE AGREEMENT ADDENDUM Non -(Eminent Domain Purchase This Community Development Block Grant Program Addendum (Addendum) is to oe made part of the Purchase Agreement (Agreement) . r --i r7 r .- -.en vol Seller) and (Buyer), for the props y located at: Al � , IN (the Property). A Environmental Review Notwithstanding any provision of this Agreement, the parties hereto agree and acknowledge that this Agreement does not constitute a commitment of funds or site approval, and that such commitment of funds or approval may occur only upon satisfactory completion of an environmental review and receipt by Hennepin County under 24 CFR Part §58. The parties further agree that the provision of any fund to the purchase is conditioned on Hennepin County's determination to proceed with, modify or cancel the purchase based on the results of said environmental review. Further, the buyer shall not undertake or commit any funds to physical or choice -limiting actions, Including property acquisition, demolition, movement, rehabilitations, conversion, repair, construction, or execution of a construction contract prior to the environmental clearance, as denial of any funds to purchase may result. D. Disclosure to Seller with V 1 nta 's L&ngt PurchaseOffer This Is to Inform you the Buyer would like to purchase the property under this Agreement if a satisfactory agreement can be reached. This purchase may receive funding assistance from the U.S. Department of Housing and Urban Development (HUD). Please be advised that the Buyer will not be acquired through condemnation if negotiations do not reach an amicable agreement. In the event we cannot reach an amicable agreement for the purchase of your property, the Buyer will not pursue this . proposed acquisition. The property is listed for purchase at ($)A4 "Nof 3 N The Buyer is prepared to offer you ($) 13 D 0 Oj2 b to purchase your property and receive clear title to the propert under the conditions described in the attached Agreement. The Buyer believes this amount represents the current market value of your property. Since the purchase would be a voluntary acquisition, arm's length transaction, you would not be eligible for relocation payments or other relocation assistance in accordance with the Uniform Relocation Assistance and Real Property Acquisition Policies Act (URA). Seller's Initials Buyer's Initials _O�\ Page 1 of 2 In accordance with the Uniform Relocation Assistance and Real Property Acquisition Policies Act (URA), owner -occupants who move as a result of a voluntary acquisition are not eligible for relocation assistance, A tenant -occupant who moves as a result of a voluntary acquisition for a federally -assisted project may be eligible for relocation assistance. Such displaced persons may include not only current lawful occupants, but also former tenants required to move for any reason other than an eviction for cause in accordance with applicable federal, state, and local law. If your property is currently tenant -occupied or a tenant lawfully occupied your property on or after February 17, 2009, we need to know immediately. Further, you should not order current occupant(s) to move, or fall to renew a lease, in order to sell the property to us as vacant. Also, as indicated in the contract of sale, this offer Is made on the condition that no tenant will be permitted to occupy the property before the sale is complete. Again, if you do not wish to sell the property, the Buyer will take no further action to acquire it. If you are willing to sell the property under the conditions described in this Agreement, please sign the Agreement and initial this Addendum. Your signature on the Agreement and your initials on this Addendum constitute acknowledgement that you have received this disclosure. Please contact the Buyer if you have any questions about this disclosure. Seller's Initials Page 2 of 2 Buyrs e ' Initials DISCLOSURE STATEMENT: SELLER'S DISCLOSURE ALTERNATnVES 71 s t m approved by be Minns&= Aseociatian of RMTOW whkh dlsdelme any Lability arising Out Of urs Or MI&M Of this tong. 02014 Minns" Aesop of REALTORS*. Edlns, MAN 1. Date retwuaEZ 24, 2015 2. Page 1 of 7 pages: RECORDS AND 3. REPORTS, IF ANY, ARE ATTACHED HERETO AND 4. MADE A PART HEREOF 5. Property located at 9121 62nd Ave. a. 6. City of .- Now sow- --- , County of Z !eMin _-- , State of Minnesota. 7. NOTICE: Sellers of residential property, with limited Exceptions, are obligated to satisfy the requirements of MN Statutes 8. 513.52 through 513.60. To comply with the statute, Setter trust provide either a written disdoeure to the 9. prospective Brayer (see VhwWura 6UMa d. Settler's PfOPK ► Disdeapur+e SWOUIN14 or satlsfy one of the 10. following two options. Disclosures made herein, it any, are not a warranty or guarantee of any kind by Seger or 11. licensee(s) representing or assisting any party In this transaction and are not a substitute for any inspections or 12. warranties the party(les) may wish to obtain. 13. (Soled on optl a only.) 14- 1) ❑ QUALIFIED THIRD -PARTY INSPECTION: Seller shall provide to prospective Buyer a written report that 15. discloses material information relating to the real properly that has been prepared by a qualified third party. 16. "Qualified third party" means a federal, state or local governmental agency, or any person whom Seger or 17. prospective Buyer reasonably believes has the expertise necessary to meet the industry standards of practice 18. for the type of inspection or Investigation that has bean conducted by the third party In order to prepare the 19. written report. 20. Seller shall disclose to prospective Buyer material fads known by Sallerthat a cotredict any l+Hormation 21. that Is Included In a written report, or material facts known by Seller that are not Included In the 22. report. 23. The inspection report was prepared by 24. 25. and dated , 20 t 26. Seller discloses to Buyer the following material facts known by Seller that contradict any information included 27. in the above referenced inspection report. 28.__�_ 29. D 31. Seller discloses to Buyer the following material facts known by Seller that are riot Included In the above 32. referenced inspection report. 33. 34. 35. 36. 2) WAIVER: The written disclosure required may be waived if Seger and prospective Buyer agree in writing. Seller 37, and Buyer hereby waive the written disclosure required under MN Statutes 513.52 through 513.60. 38, NOTE: If both Seller and prospective Buyer agree, in writing, to waive the written dWosure required under 39. MN Statutes 513.52 through 513.60, Setter is not obligated to disclose ANY material facts of which Seiler 40. is aware that could adversely and significantly affect the Buyer's use or enjoyment of the property or any 41. intended use of the property, other than those disclosure requirements created by any other law Seller is 42. not obligated to update Buyer on any changes made to material facts of which Seiler Is aware that could 43. adversely and significantly affect the Buyer's use or enjoyment of the property or any intended use of the 44. property that occur, other than those disclosure requirements created by any other law. 45. Waiver of the diaclocure required under MN Statutes 513.52 through 513.60 does not waive, limit or 46, abridge any obligation for Seller disclosure created by any other law MN:l7S:SDA-1(ert4j DISCLOSURE STATEMENT: SELLER'S DISCLOSURE ALTERNATIVES 47. Page 2 48. Property located at 9121 82nd Ave. I. Now LUT2 W 33418 49. OTHER REQUIRED DISCLOSURES: 50. NOTE: In addition to electing one of the above alternatives to the material fact disclosure, Minnesota law also 51. requires sellers to provide other disclosures to prospective buyers, such as those disclosures listed below. 52. Additionally, there may be other required disclosures by federal, state, local or other governmental entitles 53. that are not listed below. 54. A. SUBSURFACE SEWAGE TREATMENT SYSTEM DISCLOSURE: (A subsurface sewage treatment system 55. disclosure is required by MN Statute 116.55.) (Check epprUpfiate bcff) 56. Seller certifies that Seller ❑ DOES ® DOES NOT know of a subsurface sewage treatment system on or serving 57. the above-described real property. (if answer is DOES, and the system does not require a state permit, see 58. DiscWur* Statement: Subsurfacs Sewage Treatment Sysrern.) 59. ❑ There is a subsurface sewage treatment system on or serving the above-described real property. 60. (See Dlsdosure Statement: Subsurface Sewage Treatment System) 81. ❑ There is an abandoned subsurface sewage treatment system on the above-described real property. 62. (See Disdosurs Statement: Subsurface Sewage Treaatm&V System.) 83. B. PRIVATE WELL DISCLOSURE: (A well disclosure and Certificate are required by MN Statute 1031.235.) 64. (Check appropriate box.) 65. ;K Seller certifies that Seller does not know of any wells on the above-described real property. 86. ❑ Seller certifies there are one or more wells located on the above-described real property. 67. (See Disdosure Statement: well) 68. Are there any wells serving the above-described property that are not located on the properly? E]Yes Q No 69. To your knowledge, is the property in a Special WeH Consiniction Area? Yes ❑ No 70. Comments: 71. 72. 73. C. VALUATION EXCLUSION DISCLOSURE: (Required by MN Statute 273.11, Subd. 16) 74. There F] IS ® IS NOT an exclusion from market value for home improvements on this property. Any valuation 75. exclusion shall terminate upon saleof the property, and the properlyrs estimated martloet valuefor properly tax purposes 76. shall Increase. If a valuation exclusion exists, Buyers are encouraged to look into the resulting tax 77. consequences. 78. Additional comments: 79. $o. 81. D. METHAMPHETAMINE PRODUCTION DISCLOSURE: 82. (A methamphetamine production disclosure is required by MN Statute 152.0275, Subd. 2 (m).) 83. ® Seller is not aware of any methamphetamine production that has occurred on the property. 84. ❑ Seller is aware that methamphetamine production has occurred on the property. 85. (See Disclosure Statement: Methamphetamine Pmduction.) WDSMA-2 (8M4) DISCLOSURE STATEMENT: SELLER'S DISCLOSURE ALTERNATIVES 8B. Page 3 87. property located at 4193 sand Ave. w. now UK 55498 88. E. RADON DISCLOSURE: 89. (The following Seiler disclosure satisfies MN Statute 144.496.) 90. RADON WARNING STATEMENT: The Minnesota Department of Health strongly recommends that ALL 91, homebuyers have an indoor radon test performed prior to purchase or taking occupancy, and recommends having 92. the radon levels mitigated if elevated radon concentrations are found. Elevated radon concentrations can easily 83, be reduced by a qualified, certified, or licensed, if applicable, radon mitigator. 94. Every buyer of any interest in residential real property Is notified that the property may present exposure to 95. dangerous levels of indoor radon gas that may place occupants at risk of developing radon-induced lung cancer. 96. Radon, a Class A human carcinogen, is the leading cause of lung cancer in nonsmokers and the second leading 97. cause overall. The seller of any interest in residential real property is required to provide the buyer with any 98. information on radon teat results of the dwelling. 99. RADON IN REAL ESTATE: By signing this Statement, Suyer hereby acknowledges receipt of the Minnesota 100. Department of Health% publication entitled Radon in RaW EsOfe Tamwffortra, which can be found at 101. www.heafh.state.mn.usldhWoWndoorair/mdon/rnrealasmtwAWxpdi 102. A seller who fails to disclose the information required under MN Statute 144.456, and is aware of material facts 103. pertaining to radon concentrations In the property, is liable to the Buyer. A buyer who is injured by a vlokb n of MN 104. Statute 144.496 may bring a civil action and reoover damages and receive other equitable relief as determined by 105. the court. Any such action must be commenced within two years after the date on which the buyer dosed the 106. purchase or transfer of the real property. 107. SELLER'S REPRESENTATIONS: The bilowing are representations made by Seller to the extern of Sellers actual 108. knowledge. 109. (a) Radon test(s) [:] NA [ NOT occurred on the property. 110. (b) Describe any known radon concentrations, mitigation, or remediation. NOTE; Sellershall atmch the most 111. current records and reports pertaWng to radon concentration within the dwelling. 112. 113. 114. 115. (c) There ❑ Is EfIS NOT a radon mitigation system currently installed on the property. 116. if -is,- Seller shall disclose, 0 known, information regarding the radon mitigation system, including system 117. description and documentation. 118. 119. 120. 121. f . NOTICE REGARDING AIRPORT ZONING REGULATIONS: The property may be in or near an airport safety zone 122. with zoning regulations adopted by the governing body that may affect the property. Such zoning regulations are 123. filed with the county recorder In each county where the zoned area is located. If you would like to determine If such 124. zoning regulations affect the property, you should contact the county recorder where the zoned area !s located. 126, G. NOTICE REGARDING CARBON MONOXIDE DETECTORS: 126. MN Statute 299F.51 requires Carbon Monadit Detectors to be located within ten (10) feet from all sleeping 127. rooms. Carbon Monoxide Detectors may or may not be personal property and may or may not be included in the 128, sale of the home. MN;D$:S "(8114) DISCLOSURE STA'T'EMENT: SELLER'S DISCLOSURE ALTERNATIVES 129. . Page 4 130. Property located at 9123- 62ga Ave. N. NOW Rope W ss42e _. 131. H. WATER INTRUSION AND MOLD GROWTH: Recent studies have shown that various forms of water intrusion 132. affect marry homes. Water intrusion may occur from exterior moisture entering the home and/or interior moisture 133. leaving the home. 134. Examples of exterior moisture sources may be 135. • Improper fleshing around windows and doors, 136. + improper grading, 137. + flooding, 136. • roof leaks. 139. Examples of interior moisture souroes may be 140. • plumbing leaks, 141. * condensation (caused by indoor humidity that is too high or surfaces that are too cold), 142. • overflow from tubs, sinks or toilets, 143. • firewood stored indoors, 144. + humidifier use, 145. • inadequate venting of Idtohen and bath humidity, 146. * Improper venting of clothes dryer exhaust outdoors (including electrical dryers), 147. + line -drying laundry indoors, 146. • houseplants -watering them can generate large amounts of moisture. 149. In addition to the possible structural damage water intrusion may do to the property, water intrusion may also result 150. in the growth of mold, mildew and other fungi, Mold growth may also cause structural damage to the property., 151. Therefore, it Is very important to detect and remediate water intrusion problems. 152. Fungi are present everywhere in our environment, both indoors and outdoors. Many molds are beneficial to humans. 153. However, molds have the ability to produce mycotakins that may have a potential to cause serious health problems, 154. particularly in some immunocompromised individuals and people who have asthma or allergies to mold. 155. To complicate matters, mold growth is often difficult to detect, as it frequently grows within the wall structure. If you 166. have a concern about water intrusion or the resulting moidlmildew/fungi growth, you may want to consider having 157. the property inspected for moisture problems before entering into a purchase agreement or as a condition of your 158. purchase agreement. Such an analysis is particularly advisable if you observe staining or any musty odors on the 159. property. 160. For additional information about water intrusion, indoor air quality, moisture or mold issues, please view the 161. Minnesota Association of REALTORS41 Desktop Reference Guide at www.mnreaftor.com. 162. I. NOTICE REGARDING PREDATORY OFFENDER INFORMATION: Information regarding the predatory 163. offender registry and persons reglobwed with the pnsdatory offender registry under MN Statute 243.166 164. may be obtained by contacting the local law enforcement offices in the community where the property Is 165. lOeated or the Minnesota Department of Corrections at (651) 381-7204, or*orn the Department of Corrections 166. web site at www corr.stabe.rrm.us. UN.D&SDA-4 (6114) DISCLOSURE STATEMENT SELLER'S DISCLOSURE ALTERNATIVES 167. Page 5 lee. Properly located at 9111 62nd &vs. S. Now a NIF 53428 169. J. SELLER'S STATEMENT: 170. (ro be signed at time of fkdng.) 171. Sellers) hereby any licensee(s) representing or assisting any party(les) in this transaction to provide 1722. a copy of this Disclosure Statement to any person or entity in connection with any actual or anticipated sale of the 173, property, A seller may provide this Disclosure Statement to a neat estate licensee representing or assmng a 174. prospective buyer. The Disclosure Statement provided to the reai estate licensee representing or assisting a 175. prospective buyer is considered to have been provided to the prospective buyer. if this Disclosure Statement Is 176, provided to the real estate licensee representing or assisting the prospective buyer, the real estate licensee must 177. nnvAde a coov to the orosDectfve buyer. 178. QUALIFIED THIRD -PARTY INSPECTION: It Seiler has made a disclosure under the {qualified Third -Party 179. Inspection, Seller is obligated to disclose to Buyer in writing of any new or changed facts of which Seller is aware 180. that could adversely and significantly affect the Buyer's use or enjoyment of the property or any intended use of 181. the property that occur up to the time of closing. To disclose new or changed facts, please use the Amerral wnt to 182. Disclosure Slatemwt form. 183. WAIVER: If Seller and Buyer agree to waive the seller disclosure requirement, Seller is NOT obligated to disclose 184. and will NOT disclose any new or changed Information regarding facts. 186. OTHER REQUIRED DISCLOSURES (Sections A -ft Whether Seller has elected a Qualified -Third Party inspection 186. or Waiver, Seller is obligoed to notify Buyer, in writing, of any new or changed facts regarding Other Required 187. Disclosures up to the time of dosing. To disclose new or changed (acts, please use the Amendawl ft Seffers 188. Dfsdasure form. 189. lselkd (Ga*) '180. K. BUYER'S ACKNOWLEDGEMENT: 1 191. (To be signed at ljme ofpurcfrase agreement) 192. Me, the Buyer(s) of the property, acknowledge receipt of this Sellers Dlsdosur3 Akernalives farm and agree to 193. the seller's disclosure option selected in this form. I/We further agree that no representations regarding facts have 194. been made, other than those made in this form, _Q_ 195. 44�1 ! - - (ft"4 (Do") ism - iii 196. LISTING BROKER AND LICENSEES MAKE NO REPRESENTATIONS HEREIN AND ARE 197. NOT RESPONSIBLE FOR ANY CONDITIONS EXISTING ON THE PROPERTY. MMMSDA 5 (8114) Radon in Real Estate Transactions All Minnesota homes can hairs dangerous Wds of radon Win in them. Redon is a odorless. odorless and tasmiess rediraetiMe gas that can seep into homes from the earth. When inhaled, its radioactive particles can damage the oaAs that line Me lungs. Lang -farm exposure to radon can lead to lay eerier. About 21,000 king cancer deaths each year in the United States acre caused by radon, making it a serious health concern for all Minnesotans, It dear ant watter if the beerw is rid ar am and the only way to know how much radon gas hiss entered the home is to oanduat a redan test. MOH estimates 1115 ltoraea boa Matin 9NO and 4 In 3 boars bust rinse 21MIR exceed the 4.0 pCYL action level. I t In Minnesota, buyers and sellers in a real estate transaction era tree to napdate radon testing and redurion. uornstaly, it is up to the buyer to decide an acceptable level of r'edon rink in the home. Prospective buyers should keep in mind that it is inexpensive and easy to measure radon, and radon levels can be knvered at a reasonable cost. The MOH Radon Program website provides more detailed Information on radon, inckedeng the MOH brochure 'Keeping Your home Safe teem Radon.' The Minnesota Radon Awareness Act does not require radon testing or mitigation. However, many relocation companies and lendung instiGeions, as wall as home buyers. require a radon test when purchasing a banes. The purpose of this puftation is to aducate and inform potential hone buyers of the risks of radon exposure, and how to test for and reduce re lon as part of real estate transactions. fir. r'^" • ^rw.J � b IS 13moolonurs SeculroMgnte Effective January 1, 2014, ft Minnesota Radon Avverenass Act requires specr'6c disclosure and education be provided to potential home buyers during residential real estate transactions In Minnesota, This publication is being pnavidad by the salter in order to meet a r ogtiwement of the Act. In addition. helve siyahf; a prebaee agrianrat 1r ria or tenfm reri oMW reel p melt, the seller shall disclose in writing to the buyer any knowledge the sellsr has of radon concertradans in the dwelling, The disclosure shall inckde: 1. whether a radon test or tests have occurred on the property; 2. the most current records and reports pertaining to radon concentrations within the dwelling; S. a descroon of any radon conepn rations, mitigation, or ramediarion; Q. information regarding the radon mitigation system, including system description and documentation, if such system has been Instailed in the dwelling; and 5. a radon warning statement Radia ffYa obq Stalaatnot "Rte Minnesota Department of Health strongly reomyrrohds that ALL hornebuyers have an indoor radon test perfa ned Our to pur chwe or taking occupancy, and recommends having the radon levels mitigated if elevated radon concentr'atlons we found. Elevated radon cancentratians can easily be reduced by a qualified, certified, or licensed, if applicable, radon mitigator. Every boyar of any interest in residential real property is notified that the property may present exposure to dangerous levels of indoor radon gas that may piece the occupants at riot of developing radon - induced lung cancer. Radon, a Class A human carcinogen, is the leading cause of lung cancer in nonsmokers and the second leading cause overall. The sailer of any interest in residential real property is required to provide the buyer with any Information on radon test results of the dwellirhg.' Radon Facts ■mer drop a in radon? Radon is the ,weber err cane Of bw@ soca, bt sea-eiuban and the second leading cause of lung cancer overall, next to tobacco smoking. Thankfully, much of this risk can be prevented through testing and taking action to reduce high levels of radon gas when and where they are found. Your risk for lung cancer increases with higher levels of radon gas, prolonged exposure and whether or not you are a smoker. 91Rure b pier grertrrt orpeara to radon? Radon is present everywhere, and there is no known safe level. Your grestest exposure Is where it can ooncentrete Indoors and where you spend most of your time. For most Minnesotans, this In at hums, Whether a home Is old or new, wellaealed or drafty, with or Without a basement, any hoer can been high mods of reclaim. Radom bm iris from the doll., li liaoauLIaeo by +: !nosy of uranium and radutr commonly found in no" all suits in ffinnesota. As a gds. radon moires fireely Rough the soil and eventually Into the air you breathe, Our homes tend to draw sail gases, including radon. iota the atr uobure. has ■ new borer, aren't radon Iards redatN ~ Homes built in Minnesota since June 2009 are required to contain construction features that may limit radon entry. These features ere known as posalve Radon Resistant New Constriction (RRNC). While these passive RRNC features may laws, the amount of radon in newer homes, it does not guarantee low levels. It is recommended all new homes be tostad for radar, and if elevated lauds are found, these passive RRNC features can be easily and inexpensively activated with the addition of a radon fan in the stria. If you ata buying a new home, ask if the home has any RRNC features and if the home has been tested. What In the rwrowweaded aic" beard are nq rheretts7 If the average radon in the home is at or abhor A.a'041 the Inion should be heed. Consider fixing the home if radon levels are between 2 pCA end 3.9 pCVL. While it isn a possible to reduce radon to zero, the best approach is to reduce the radon levels to as low as reasonably achievable. Any amount of radon, even below the recorrmerded action level, carries some risk. Roar an rhea teas aaadaatad in nal ashh biweae ire? Because of the unique nature of read estate transactions, involving multiple parties and financial interests, there am special pr =call for radon testing. — AFMI I Fastest _ I t3 XWd 4soMst Test is'campleted by o coriified contractor with a calibrated CRM for a m1nimurn of 48 haus. Tnst report is aneyred to er mn that it is e valid test. Two short-term teat kite am used at the sometime, mooed &12 bides apart, fora mind - mum of 49 hours, ' Test kits am sent to the lab iforarnalygs. The two test raivlts am averaged i to gat the melon level. i Slowest Raclan Testis Vaasa endiliess ohm tea ft Be aware that any test lasting leas then throe months mquims closed -house [mndWcrm. Cl been- taMa CeadWaaa` Mean keeping all windows and doors closed, except for normal entry and exit. Ratan istiag: Begin dosed -!muse conditions at least 12 hours before the start of the radon test, Rebar♦ TaafboC: Maintain dosedfwuse conditions during the entire duration of tits short term twist. Operate hams hasting or cooling systems normally during the test. One start term but is into tact sfwald !iw aaaiueesd perforated far a Any radon test conducted for a mal estate transaction mititrrm of 48 hours, needs to be placed in the lowest livable arae of the home suitable for oocupervy, ht Minnesota, this is Test kt is sera to typically in the basement, whether it is finished or lab fora wlysis. unfinished. Another ahnrt-tsrm The testIdt should be placed: kit is used n the awm ■ two to six feet above the floor ideas OR the first, • at least throe feet from ext eirlor walls MEW right after the ■ four inches away from othar objects Arwt test is In a location where it wm t be disturbed taken down. Test . not in enclosed areas in pariormad for a • net in areas of high hest or humidity mrnimrrn of48 hers. dnstalletlon of these systems. Mire information on radon mitigation can be found at the MCH Teat Idt is sent to If the house has multiple foundation types, it is the lib for analysis. mcornmended that eadn of these be tested. For Instance, if the house has one or more of the following The two test f 3mciation types–basement, avW space, stab-on- reauka am everMad to grade --a test should be pm to nnad in the basement get @ns radon level, and In at feast one room over the crewlepeas and ons room %vit h a slab on pride area. Ifo shesld Cmdaat !edea boom i nal *state 1rrleaaa60rl11 All radon tests should be oonducWd in accorderm with national radon measurement protatmis, by a certified and MOH4iste6 professional. This ensures the test was conduced properly, in the conva location, and under appmpriete building conditions. A list of these radon measurement professionals can be found at M13119 Radon web site. A seller may Rave preriously conducted testing in a property. If the test result is at or above the action level, the home should be rr tigated. \J, Radax MISilginion Latseriuill rise i atdwft hmes — Radas M[tigftisa When elevated levels of radon we found, they should be mitigated. Edd radon concentrations ran be easily reduced by a notionally certified and M[7N-listed radon mitigation professional. A list of these radon mitigation professionals can be found at-MWs Radar web 5,a�ti�r1 site. sunP Radon miggatlon is the prvases or "am used to reduce radon mor kions in the breafitktp zona of cocupied buildings. The goal of a redon mitigation system Is to reduce PIP" ►x"�t*'t 6'CoF ■f ■t the Indoor redon Levels to bellow the EPA action level of 4.0 pCUL. A quofitdf radon reduction lmltigationl system Is often able to reduce the annual svarage radon level to below 2.0 pCVL Active sub•dab auction [also called sub -slab dopresaritmnticn, or SSD) is the most common and usually the oast reliable type of system because it draws radon -filled air from balaeth the Or house and vents it outside. There are standards of practice that need to be followed for bine ;.:� dnstalletlon of these systems. Mire information on radon mitigation can be found at the MCH . Radon website. r•�� After a rodeo relsetiaa aptas Is hefand 11 A � Pertorm an idependctt short-term test to that rhe reduction Watam Is effective, Make 3 !. sure the radon system is operating during the entire test, Once a cartfirrrtetory radon test id0 shows low levels of radon in the home, he sure to retest the house every two years to confirm rxlrntinued radon reduction. tadur Caataot do flflgli Rados Aeagnta R Vatt an uaaerrta shwa# egNsp MPti las*@ NaAc rap Wing raise Msf g or nWra im. 825 Robert St N RM Bax 64975 ! The MOH Radon Program can pmvlde: 9t. Paul, MN 551644 M75 F; '•:.` • tnf mistion about radon health effects, radon testing and radon mitigation 16511 201 46131 • Names of trained, certified end MOHadsted radon professionals; 118001 7EIDa05O Email: he9lthinSwa4*stste.mn.us Web: www.health.srate.mmos/radon na2a12 PCR 141,gm