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111291 EDA--- OFFICIAL FILE COPY Agenda #9 CZTY OF NEW HOPE EDA AGENDA EDA Regular Neeting #9 President Edward J. Erickson Commissioner W. Peter Enck Commissioner Gary L'Herault Commissioner Gerald Otten Commissioner Marky Williamson November 12, 1991 2. 3. 4. Call to Order Roll Call Approval of Minutes of October 14, 1991 Discussion Regarding Purchase of Outlot A, Custom Mold Addition, 5430 International Parkway (Improvement Project No. 488) Other Business 6. Adjournment Approved EDA Minutes Meeting #8 CITY OF NEW HOPE 4401Xylon Avenue North Hennepin County, Minnesota 55428 October 14, 1991 CALL TO ORDER ROLL CALL APPROVE HINUTES CUSTOM HOLD PROPERTY 5430 INTERNATIONAL PARKWAY Item 5 President Erickson called the meeting of the Economic Development Authority to order at 9:20 p.m. Present: Erickson, L'Herault, Otten, Enck, Williamson Motion was made by Commissioner L'Herault, seconded by Commissioner Otten, to approve the EDA minutes of July 22, 1991. All present voted in favor. Motion carried. President Erickson indicated that Item 5 will precede Item 4 since Mr. Duane Trieber {Custom Mold & Design, Inc.) is in attendance. President Erickson introduced for discussion Item 5, Discussion Regarding Purchase of Outlot A, Custom Mold Addition, 5430 International Parkway. Mr. Donahue explained that Custom Mold and Design, Inc. is proposing to expand their existing facility to the north and is acquiring and platting the property at 5430 International parkway to accommodate the expansion (Planning Cases 91-28 and 91-30). The New Hope Public Works Garage is located directly north of this site and Public Works currently utilizes the northern portion of the vacant property. Custom Mold is acquiring the two acre site and proposing to plat it so that 1.12 acres~ would be combined with their existing property and .88 acres would be platted as an outlot, with an understanding that the City may have an interest in purchasing the property to expand the public works site. Mr. Donahue stated the City has informally discussed the acquisition of the property from Custom Mold. Mr. Duane Trieber, owner of Custom Mold, acquired the two acres of property at 5430 International Parkway for $179,000 or $89,500 per acre. The outlot contains .88 acres and the asking price is approximately $78,760 (.88 x $89,500). Mr. Donahue stated the City has no land for temporary storage of items such as rock, sand, dirt, etc. He stated arrangements will also have to be made soon for a salt storage building. New Hope EDA Page I October 14, 1991 FOREMOST, INC. 7528 42ND AVE. N. #474 Item 4 He stated besides the purchase price Mr. Trieber would like two other items addressed: 1} a plan for the site; and 2) excess fill material. Mr. Donahue explained that another factor to be taken into consideration is the potential development at 5501 Boone Avenue North {North Ridge development). The property is low on the south and it is possible that excess soils from the Custom Mold property may be deposited on this site and if so, the purchase price may be lower. Mr. Donahue stated Chuck Thompson of North Ridge may be coming before the EDA in the near future. He indicated the City may want to consider becoming part of the North Ridge project and utilize the south portion for vehicular parking or some other use. The EDA authorized the City Manager to proceed to negotiate with purchasing the land from Custom Mold. Mr. Donahue stated any proposal made would be contingent upon approval by the EDA. Mr. Trieber stated if the City does not need the dirt, he would contract to have the dirt hauled away. However, if the City wanted it he could relocate the dirt. He expressed concern with the height of the potential salt dome and requested review of a concept plan. President Erickson commented that the City would have to go through the Planning Commission process and would work closely with Custom Mold to ensure that all concerns are addressed. Mayor Erickson introduced for discussion Item 4, Discussion Regarding Acquisition/Relocation of Foremost, Inc., 7528 42nd Avenue North. Mr. Donahue stated the appraisal of the Foremost, Inc. property has been completed and staff is continuing discussions with Foremost regarding the possible acquisition of the property and the relocation of the business within New Hope. Mr. Donahue updated the EDA and indicated in the past, the City has reviewed the Foremost deal as two projects in one: 1) the redevelopment of the Foremost property; and 2) the relocation of the Foremost facility within New Hope. He stated staff recommends establishing the redevelopment of 42nd Avenue as the City's first priority. He commented that whether Mr. Fredendall of Foremost relocates in New New Hope EDA Page 2 October 14, 1991 AD~OURNHENT Hope or not, should be considered secondary. He stated staff hopes that the business will remain in New Hope; however, that should be a separate issue. Mr. Donahue stated staff is in the process of obtaining an analysis between Foremost's appraisal and the City's appraisal of the property. Mr. Donahue stated a review appraisal would cost between $1,000 to $1,500. He stated he would use this information to determine what the City would be required to do under condemnation opposed to what the City might be willing to offer for the property. The EDA agreed with Mr. Donahue's recommendations in that it would be advantageous to separate the issues. Motion made by Commissioner Otten, seconded by Commissioner Williamson to adjourn the EDA meeting as there was no further business to come before the Council. All present voted in favor. The New Hope EDA adjourned at 9:45 p.m. Respectful ly submitted, Valerie Leone City Clerk New Hope EDA Page 3 October 14, 1991 REQUF. T FOR ACTION Orig~g Departme~ Approved Mr Agenda Agenda Section city Manager November 12, 1991 EDA HA~ Item No. Kirk McDonald By:~. By: Management Assistant 4 DISCUSSION REGARDING PURC OF OUTLOT AI CUSTOM MOLD ADDITION, 5430 INTERNATIONAL PARKWAY If a meeting can be arranged between the City and the owner of Custom Mold and Design prior to the November 12th Council meeting, and if agreement can be reached on all issues (per the attached memo), staff requests to discuss the purchase of Outlot A, 5430 International Parkway, with the EDA. If the City and the owner of Custom Mold have not met prior to the meeting, staff recommends that both the discussion on the purchase of property and the approval of the final plat be tabled until November 25th. Re~e~: Adm/n/~rat~on: F~ance: RFA-O01 ~ DATE: TO: FROM: SUBJECT: CITY OF NEW HOPE MEMORANDUM November 7, 1991 Daniel J. Donahue, City Manager Kirk McDonald, Management Assistant Discussion Regarding Purchase of Outlot A, Custom Mold Addition, 5430 International Parkway As you are aware, Custom Mold and Design, Inc., 5420 International Parkway, has received site/building plan review approval and preliminary plat approval from the Planning Commission and City Council to expand their existing facility to the north of their existing property. As part of this expansion project, Custom Mold is acquiring and platting the property at 5430 International Parkway, which contains 2 acres. The New Hope Public Works Garage is located directly north of the vacant property being acquired and platted by Custom Mold and Public Works has utilized a portion of the property in the past (and currently does so) for the storage of excess materials and as a staging area. Custom Mold has proposed to plat the vacant parcel so that 1.12 acres would be combined with their existing property and .88 acres would be platted as an Outlot, with an understanding that the City may have an interest in purchasing the property and combining it with the Public Works site for future expansion. The City would utilize the property as it has in the past, for the temporary storage of rock/sand/dirt/etc., and also may consider the construction of a salt storage building on the site. Duane Trieber, owner of Custom Mold, acquired the 2 acres of vacant property for $179,000, or $89,500 per acre. The Outlot contains .88 acres and the asking price is $78,760 (.88 x $89,500). Trieber indicated at the October 14th EDA Meeting that two other concerns he would like addressed included 1) the city developing a plan for the use of the property, and 2) an agreement regarding the excess fill material. The EDA authorized you to proceed to negotiate with Custom Mold on the purchase of the property and the purpose of this memo is to update you on several issues reqardinq that purchase. You will recall that we met with Trieber on October 16th and made a preliminary offer of $78,760 (with the understanding that we would be discussing this price with an appraiser), indicated that a plan would be developed for the use of the property, discussed excess fill, soil borings, purchase agreement and plat. - 1 - The Final Plat of Custom Mold Addition (Attachment A) has been submitted for approval by Custom Mold and Design and is included on the regular Council agenda. Approval of the Final Plat was waived by the Planning Commission so the plat proceeds directly to the Council. All necessary corrections have 'been made on the Final Plat and staff is recommending approval. The plat has been drafted to include the Outlot as a separate parcel with the specific understanding that the City is going to purchase the property. If the city approves the Final Plat in the submitted format, it is my understanding that the City is committing to purchase the Outlot. If the Council/EDA is not ready to commit to purchasinq the Outlot, I would recommend that approval of the Final Plat be tabled. The Planning Commission specifically recommended that the City make a decision on the purchase of the property prior to the approval of the Final Plat and that if the Outlot was not purchased by the City, that the Outlot be abolished and incorporated into the Custom Mold property (so that a remnant parcel under 1 acre in size not be left standing on its' own). If the Council/EDA determines not to purchase the Outlot, the Final Plat should be revised. It is assumed that if the City purchases the Outlot that sometime in the future the City would replat the Public Works property to incorporate the Outlot. Note on the Final Plat that 10-foot wide drainage and utility easements have been provided on the east, south and west sides of Block 1, Custom Mold Addition, and that a 5-foot easement has been provided on the north boundary with the Outlot. Outlot A has 10-foot wide easements provided on the east and west, with a 5-foot easement provided on the south. No easement has been provided on the north side of the Outlot that abuts the Public Works site, due to the fact that it is anticipated to be added/replated into the Public Works property. If the Outlot is not purchased by the City, one of the revisions needed on the plat will be to eliminate the easement between the Outlot and Block 1 and to add an easement along the north property line. As you are aware, the City Enqineer has developed a plan for the use of the property in conjunction with the Director of Public Works (Attachment B). The plan shows the property either being used as the location of a future salt dome or as an expanded storage area, should the dome be located behind the Public Works Garage. The plan shows a 40-foot wide landscaped berm (6 feet in height)that would be constructed between the Custom Mold property and the Public Works site, with 20-feet being located on City property and 20-feet being located on Custom Mold property. The berm and landscaping should address Custom Molds' concern about a buffer between the properties. The plan also shows landscaping in - 2 - the front (west) and rear (east) of the property, with the existing fence surrounding the Public Works property being extended around the Outlot. The salt dome is shown to meet the required setbacks in either location that is chosen, and the elevation section shows the relationship of the salt dome (29 feet in height plus a 4 foot foundation) to the Public Works Garage and the landscaped berm. Mr. Trieber has not yet had an opportunity to review or comment on the plan due to the fact that he has been out of town. The concerns about the excess fill have been resolved. Custom Mold will need to excavate about 4,000 cubic yards of dirt off of the site to accommodate their expansion and their original plan was to deposit the excess fill on the Outlot. The City Engineer had indicated that if the Outlot was to be combined with the Public Works site, that the excess material proposed to be placed on the Outlot would not benefit Public Works, as the present grade of the existing site is adequate for Public Works use. The engineer indicated that it would be more desirable from the Public Works standpoint for any exCess material from grading to be removed from the site. In our discussions with Mr. Trieber since the last EDA meeting, he has agreed that each party should be responsible for the removal of any excess fill on their portion of the property and has agreed not to deposit his excess fill on the Outlot property if the City purchases the site. When we last met with Mr. Trieber he indicated that the previous owner of the property at 5430 International Parkway had conducted soil tests/borings some time ago on the site at a time when he was considering the construction of a building on the property. Trieber indicated that he had reviewed the data prior to his purchase, that he believed several borings had been taken on what is now the "Outlot area", and that he would make that data available to the City for review. The City has not yet received the soil tests/boring information for review. We have no reason to believe that there is any contamination on the site, but as a safeguard the City Attorney has covered this issue in the Addendum to the Purchase Agreement. The Addendum states that the buyer shall have the right to enter upon the property prior to closing to conduct soil borings/tests to reveal any condition of the soil, within a reasonable time, and at the buyer's expense. If the tests would not be to the buyer's satisfaction, the Purchase Agreement would be null and void. - 3 - I have discussed the proposed purchase price on this property with Brad Bjorkland of BCL Appraisals and it is his feelinq that the price is a little hiqh, but reasonable, taking into consideration the fact that the property is located adjacent to property already owned by the City. The asking price is $78,760, which calculates out to (.88 acres = 38,332 square feet / $78,760 ) $2.05 per square foot. In 1990, BCL Appraisals conducted an appraisal of the vacant industrial property at 5501 Boone Avenue, just east of the Custom Mold site. Based on the Market Data Approach, comparing the cost of acquiring an equally desirable substitute property based on land sales, and based upon the assumption that the subsoils were stable and not contaminated, that property was appraised at $1.95 per square foot. Prices have dropped since that appraisal was completed and Bjorkland feels that $1.75 - $1.80 per square foot is a reasonable price for vacant industrial land in the current market (Bruce Paddock paid $1.90 per square foot for the Minnegasco site and Bjorkland felt that was too high). On the other hand, Bjorkland said that a smaller parcel, such as the one at 5430 International Parkway, could have a higher per square foot value. He also indicated that the value to the City could be as much as 50% greater than the market price (up to $3.00 per square foot) if the acquisition assisted the City with expansion or made the existing City parcel more "whole or complete". The funds for the acquisition would be taken from Central Garage/Public Works, as per discussions with yourself and the Director of Finance. The City Attorney has prepared the enclosed Purchase Agreement (Attachment C) for review/approval. Mr. Trieber has not had an opportunity to review the agreement due to his absence. The agreement is fairly straight-forward, however their are two issues of which you should be aware: 1) taxes, and 2) special assessments. The agreement is written so that the real estate taxes on the property would be prorated on a calendar year basis to the actual date of closing. There are special assessments owing on the property for a 1984 street improvement project in the amount of $1353.36. This amount would have to paid off prior to November 14th of this year to be removed from the tax rolls. The Purchase Agreement is written so that the seller is responsible for paying off all special assessments at the closing. - 4 - As indicated, staff is trying to arrange a meeting with Mr. Trieber prior to the November 12th Council/EDA meetings to review the above information with him and to insure that he is in agreement with it. If a meeting can be scheduled and Treiber is in agreement, the City can proceed to act on both the Final Plat and the possible purchase of the property. If a meeting cannot be arranged, I would recommend tabling both issues to a later date. - 5 - E t x\~ 8~ CUSTOM MOLD ATTACHMENT A ' -- ~0~.81 $89e02'00'' E DRAIN~,GE r. UTILITY EASEMENT \ 29~ 85 :G ~.- NONTH LINE OF SOUTH ZOO rl OF LOT ~ I~RT OF G. OT I, BLOCK 2., LYING OF NORTH LINE OF LOT Z, B~OCK EXTENDED I c~ _J S t/a CO~ : t uS, ~ 2 C~ M ATTACHmeNT B I ROAD EAST r.j × =_... i, - ............... ] ,~ .1' /' / ~v~v ~,', ' " ~ ~ XX,'x,x,X !- i / !~' =, I , - · ' ....................... , i'~ I Z ooo t~, 'i t ' ........ ~ ,,, _,.~\~\\ ,--,~ ........... r ...................... 1o, o ,. , . i ......... ~, , ~ o I ; ~'I~ I: · .. :/..%... . . . ~4~ .. ~.~ I L ~ · ~ ~' ~-,~ i~ ~ L ......... :--I I i 0 ~ ~ I o~oc~ ............ ::::T.::: ...... ~1 I I ~ -- -- '"""'-- + · ............................. J ! ~ i i ~' . ................ ~ I ~ - i / I -._ I L__.IL== ...... . ..... _ , . ~ 8 : , I~.LL.]~I~.LLL:iJ.,, II]...].].......................................... ,Ill - ............... ,, i!i: SCIENCE CENTER DRNE WED 9 : 18 CORR I CK & $ONDRALL ATTACHMENT C P . ~"J 2 MINNESOTA STANDARD RESIDENTIAL PURCHASE AGREEMENT ,1~ Copyright 1988, by Hennepln County Bar As/~ociation, Minneapolis, Minnesota, BEFORE YOU USE OR SIGN THIS CONTRACT, YOU SHOULD CONSULT WITH AN ATTORNEY TO DETERMINE THAT THIS CCN?~ACT ADEOUAT~LY PROTECTS YOUR LEGAL RIGHTS, Henneptn County Bar Association ~isclairns any liabilily arising out of use of this form, 1, PARTIES. This Purchase Agreement ts made on ~ovelTi]3e~',[ , lg 91 , by and between (Name)_Custom ~k:ld & DesiRn. Inc. , . lA,dress) 5420 Interna[ional Pa=kwa~ ~ev Ed .~..~ MN 55428 ...... SELLER, AND (Name) ~O~OffiiC ~velo~en= Auchority in and for the City of New u}~nancy'ln'¢~mmonmin~on~od. OF (Ad,ross; 4401 Xylon Avenue North~ New I-[o~ ~ 55.~8 . 2. OFFER/ACCEPTANCE. Buyer offers to purchase and Salter agrees to sell real property legally described ~tlo[ A, ~el~inar~ Plat of Custom ~ld ~di~ion dated 9/5/91, contain/ns .88 acres ~ Iocated a~,~trce[,Addross) 5430 International Park-way tO City of_ ..~_~W 1'10.[~:~ , Coumy of ~te~i~ State o~ ~inneso~a ~ 3, ACC~TANC~DEA~INE~T~%effer to purchase, unless accepted sooner, shall be null eno void at 11;59 P,M, ~2. (date) NOV~e~J.U~ ., an~ In such event all earnest money sn~ll be re,untied to 8uyac ~3 ~ PERSONAL PROPER~ AND FIXTURES INCLUDED IN 16 ~ ~ ........... ~0. Seventy-Eight; Thousand Seven 72 S. P_RICE AND TERMS, TljeRricg..fo~!he' real and personal property Included tn this sate is , , 241 which Buyer shall pay es tollows', Earnest money of $ zero by ( c,N,/'.a~,,, c~; o, nu,u ~,;.,~ ...... ~.,, ), ~$ receipt of which Is hereby 5 [~g~ ~ ac w d t be deposited next buslnes~)~a~.~.ce;~nce, l~,t[~st account of listing broker, unless omerwlse 26 Specified in writing) and $ '~ · cash on-- J , J'"'J~£ the DATE OF CLOSING, ~II 6. DEED/MARKETABLE TITLE. Upon performance by Buyer, Seller shall execute and deltver e General 2.0 Deed, Joined in by spouse, If any, conveying marketable title, subject to; - 30 (A) Building and zoning laws, ordinances, state and federal regulations; 31 (8) Rostrtcllons relating to use or Improvement Gl the property without etfectNe forteiture provisions; 3~, (C)Fleservt[tion of any mlneral rights by the Slate of Minnesota; 33. (D) Utitity and drainage easements which do not interfere with existing improvements; 34 (E) Exceptions to title which constitute encumbrances, restrictions, or eas{.ments which have been disclosed to Buyer and accepted 3.5. by Buyer in this Purchase Agreemenl; (Must be specified in writing,) ~lone 36, 37, .~8 7. REAL ESTATE TAXES AND SPECIAL ASSESSMENTS. Rest estate taxes due and payable In and for the year of closing Shall ~e ~':',~:¢~ 39. belweon Seller anti Buyer on e calendar year basis to Ihe actua~ date of closing, unless otherwise provided in this Agreement, 40 [ e~l,,~,t' ~uf ~,nt'] ' ELLER SHALL PAYon Date of Closing all i~s'~ 4~ o~ spe,ctal assessments certified for payment with the real estate taxes due and payable In the year of closing, 42 [ ,qrr/.~, r, ut om:,] B~i;~1;~[,~'$1~I~SELLER SHALL PAY ON DATE OF CLOSING all other special assessments levied as of the oa',e 43. agreement. 44, [ ,Wml(~. t~ut onr~JJ~II~I~~$ELLER SHALL PROVIDE FOR PAYMENT OF special assessments pending ss of the ~',e ,:! mis 45. agreement for improvements that have been ordered by the City Council or other governmental assessing authorities. (Seller's provision for 46. Shall be by payment into eSCrow of 1V~ times the estimated amount of the assessments,) Aa ol the date of this Agreement, Seller represents 47, has not received a Notice of Hearing of a new public improvement project from any governmenlal assessing authority, the costs of whic,~ ~r~:e;: ~y 48. be assessed against the property, Il a Special assessment becomes pending after the date ol this Agreement and bolero the dale of ties,ag, E~er 4~. may, at Buyer's option: 50. A. Assume payment ol the pending special essessmenl without adjustment to the purchase agreement price of the property: or, 5~. B, Require Sailer to pay the pending special assessment (or escrow for payment of same as provided above) and Buyer shall pay a 52. urate increase In the purchase price of the property, which increase shall be the same as the estimated amount of the assessment; or, 53 C. Declare this Agreement null and void by notice to Seller, end earnest money Shall be refunded to Buyer. $4 [ ~rn,~, m~! on,',] ;I~J:;I~EIK";~34XI~ii(,a;GG(,1Q6~a~LLEI~ SHALL PAY ON DATE OF: CLOSING any eeterred real estate taxes or speciat a~sassmcms 55. payment of w~ich ts required as · result of Ihe closing of IhlS sale, $~3 Buyer shall pay real estate laxas due and payable in the year following closing and thereafter and any unpaid special assessme, nmr~ayable 57 and thereafter, t~V~ payment of which is nol otherwise prov dad horoin, Seller warrants that lexos duo and pay~b e n tho voar(~.) ].~.~.]L an('] I r' n W~. ' ~ ' ' ~ ' ~ ' ~On, ' ' ' ~ ', .~ ~ / ' i ' . ''. '"'__.'_)'" homestead ctn.,stflcallon," Seller makes no roprosematlon concerning tho amount' "of' I~tur;'r'~al'~'~t'~e-{~-' ' 59 or o! mmre specm~ assessments, ' 60. 8. DAMAGE,~ TO REAL PROPERTY. If lhe real t~rol~erty Is substantially damaged prior to closing, this Agrcernent shall terminale and the earne~L 61, money shal~ be refunded to Buyer. It the real prol~erty is damaged materially I~ut less than sui~stF, intl~lly prior to closing, I~uyor m[ly rescind 62 Agroemont I~y notice to Sollor wittlln Iwenly.one (21) days after Seller notittos Buyor ol suc~ ¢lamoge, d~rlng which 21 .tiny perio¢~ ~uyer may Insl~ec~" 63. the real property, on~ In the event of such rescission, the earnesl money s~all ~ refunde~ to Buyer. 64 9, SELLER'S BOUNDARY LINE, ACCESS, RESTRICTIONS AND LIEN WARRANTIES. · ' -' 65, , Seller warrants that there is a right of access to the real property from ii pul~llc right of way, Sel~er warrants that 56. t~ere ha~ been no tabor or materlat furnished to the property' for which payment has not Been made. Seller worrants that tlle~e are no pres.".nt · ~7 v~ot~ti0ns Of any restrictions relating tO the use or improvement of the property. These warranties sha~l survive the ~eltvery of the deeci or contract for F~8 deed. ~Ft 10. CONDITION O~ ,'; ~~ellor shall remove all ~e~rl~ and 811 porsonal pro~er~ ~ot In~lude~ In this ~ale from tt~e ~roporty ~orore possession ~ellar~ wBrrantios and reprosentat~Ons conlalneO in this per,graph t0 sh~ll survive the ~gltvory O~ the De~d or Oonlr~ot for Do0¢, provided any ngtice of a ~ofecl or claim Ot breach of warranty must Oe In writing eno given By Buyer to Geller within one year of i~e ~ate of closing or ~e ~eeme~ w~Jved. 75 Buyer shall have Ihe right tO have Inspections of the properly conducted prior to Closing. Unless required By Io¢31 ordlr'~at'lce Or ler~c!lng r~,gulatlons, 7g ~eller does not plgn to have the proper~y Inspected. Olher than the repfesentalions ma~e In t~ls paragraph 10. the property i5 ~eing sold "AS IS" w~t~ no exores~ or Implied representations or w~rrent~es ~y Seller as to physical co~dltions, quall~y of construction, workmanship, or fitness ~or any oarticular pur~ose. (This paragraph 15 ~ot intended tO waive or modify any provisions of MINN. STA~, Ch~oter ~?A t NOV-- ~-- 9 I WED 9 : 28 CO RR I C K & S 0 N Z) R A L I_ Fo~m N~. IStl.2 (Oct, ~ll) MINNESOTA STANDAFID FIESIDENTIAI PURCHASE AGREEMENT/PAGE 2 82, 11. DISCLOSURE OF NOTICES, Seller has not received any notice Irom any govemmenIal authority as to violation of any law, ordinance Or regufa- 83 tiem if the property is subject to restrictive covenants, Seller has not received any notice from any person as lo a brc,,qch Of Ihe Covenanls, 84 t2, TRUTH-IN-HOUSING. Buyer aCknOwledgeS receipt of the Truth. In. Housing Disclosure Report or other inspection report If required by the muniC- 85, ipallty tn which the property is located, 86, 13, POSSESSION, Seller shall deliver possession of the property net later than day o£_ clo[:L.r~g 87 closing. All intere_s.t,!u...nliO21~rJ,.ui_d pelroleum gas, and all cl~arges tot clty waler, city sewer, electricity, and natural gas shall be prorated between the ~lr~ pmtios as of__ ,[.~.~=~-w~ 14, EXAMINATION OF TITLE. Within a reasonable lima after acceptance el this Agreement Seller shell furnish Buyer with an Abstract of Ti(la or 90, Registered Property Abstract cerltfied to date Including proper searches covering bankruptcies and State and Federal judgments, liens, and levied §1 and pending special assessments, Eluyer shaft have ten (10) business days after receipt o! the Abstract o! Title or Registered Property At, street olther to have Buyer~ attorney examine the lille and provide Seller with written objections or, at Buyer's own expense, to make an epplicalion for e Title 93 InsuranCe [=Oltcy and notify Seller of Ihe applicallon, Buyer shall have lan (10) business days after receipt of the Commitment for Title Insurance to 94 provide Seller with a copy of the Commitment and written objections. Buyer Shall be deemed to have walvod any title ob~ecllons net made within the 9,5 applicable ten (10) day period for e~ve, except that this shall not operate aa a waiver of Seller's covenant to deriver a statutory Warranty Deed, unless e Warranly Deed is not specified above, 97 15, TITLE CORRECTIONS AND REMEDIES, Seller shall have 120 days from receipt of Buyer~J written title objections to make title marketable, Upon 98, receipt of Buyer~ title olojectlons, Seller shall, wilhin ten (10) business days, notify Buyer el Seller's intention tO make title marketable within the 120 99 day period, Liens or encumbrances for licluidated amounts which pan be released by payment or escrow from proceeds of closing shall not delay the 100. closing. Cure of lhe defects by Seller shall be reFsonable, diligent, and prompt. Pending correction of title, all payments required herein and ICl closing shall be postponed. 10;2, A. If notice ts given and Seller makes title marketable, then upon presentation to Buyer end proposed lender of documentation establishing that 103 flue has been made marketable, and if nol objected 1o in the same time and manner as the Original title objections, the closing shall take place 104 within ten (10) business days or on the scheduled closing date, whichever iS later, 105 B. If notice Is given and Seller proceeds In good taith to make tille marketable but the 120 day period expires wilhout title being made markFable, 106 Buyer may declare this Agreemenl null and void by notice to Seller, neither party shall be liable Ior damages hereunder tO the ether, and t07, e~rnesl money shall be refunded to Buyer. 108 C. If Seller does not give notice of intenlion tO make title marketable, or it notice Is given but the 12.0 day period expires wilhoul titIe being made I0~ marketable due lo Seller's Iailure to proceed In good faith, Buyer may seek, as permilted by law, any one or more of the tallowing: 1 t0 1. Proceed to closing without waiver 0¢ merger in the deed of the objections to title and without waiver of any remedies, and may: 11 ~ (a) Seek damages, costs, and reasonable attorney~ fees from Seller as permitted by law (damages under this subparagraph (a) shall 112 be limited to the cost of curing objections to title, and consequential damages are excluded); or, 113 (b) Undertake proceedings Io correct the objections to title; 114 2. Rescission of this Purcr~ase Agreement by nol~ce as prowded herein, tn which case the Purchase Agreement shall be null and veld ~ 15, and air earnest money paid hereunder shall be refunded to Buyer; 116, 3, Damages from Seller Including costs end reasonable attorney's fees, es permitted by law; ~ 17, 4. Specific performance wilhin six months after such rtght Of action arises, 1 ~ 8, O. If title Is marketable, or Is mede marketable as provided herein, and Buyer defaulls tn any of the agreements herein, Seller may elect eilher of 119 the following options, as parmitled ~ law: ~ 7.0 1, Cancet this contracl as provided by statute and retain all payments mede hereunder as liquidated damt'~ges. The parties acknowledge 121. their intenllon that any note given pursuant to this contract is a down payment note, and may be presented for pctyment notwtthsl~naing 12~. cancellation; 123. 2, Seek speciIlc performance wilhtn six monIhI after such right of action arises, including costs and reasonable attorney~ foes, as 124, permitted by law, I25. E, II lille is marketable, or iS made marketable as provided herein, and Seller defaulte in any of the agreements herein, Buyer may, as permitted by 126, law: 127, 1. Seek damages from Salter Including costs and reasonable attorney's fees; t 28, 2. Seek specific performance within six mOnlhS a~ter such right of action arises. TIME IS OFTHE ESSENCE FOR ALL PROVISIONS OF THI.~ CONTRACT. 130. 16. NOTICES. All notices require~ I~erein shall be In writing and delivered personally or mailed to the address as shown at Paragraph 1,, abc ~e t31, if mailed, are effective as of the date of mailing. 132, 17. AGENCY DISCLOSURE. (Name of sefltng agent? Selling be0ker) _ NO ,t~e~t ~,$. ~33. CLOSES HE OR SHE IS REPRESENTING THE (BUYER OR SELLER) IN THIS TRANSACTION. THE LISTh~.G 134, AGENT OR BROKER DISCLOSES THAT HE OR SHE IS REPRESENTING THE SELLER IN THIS TRANSACTION SELLER'S SELLER'S BUYER'S BUYER'S INITIALS INITIALS INITIALS INITIALS (OMO) (Pate) (Oale) ~35, lb. SUBDIVISION OF LAND. if this sale conslilulea or requires a subdivision of land owned by Seller, Seller shatl pay all subdivision expenses a~d 136 obtain all necessary governmental approvals. Seller warrants that the legal description of the real property to I~e conveyocl has been or w~l =e 137, approved for recording as of the date of closing. 138, 19. MINNESOTA LAW. This contract shall be governed by the I~w$ of the State of Minnesota. 140. 141, 20. ADDITIONAL TERMS. boa=d of Buyer. This Purchase A~reement is contingent upon approval by the governing 142. 143, 144 145, t4O 21, ADDENDA, Allacho¢l are (numl~er) . ot3e addenda which ars made a pat! Of this Agreement. THIS IS A LEGALLY BINDING CONTRACT. BEFORE SIGNING, CONSULT A LAWYER, Minnesota law permits licensed real estate brokers and Sales agents to prepare purchase agreements. NO recommenda- tion or representation Is made by either the listing broker or selling broker es to the legal sufficiency, the legal effect, or the tax consequences of this contract, These are questions for your lawyer. ag?es to sell the property for the price and terms and ¢ondilion$ set forth above. SELLER SELLER Closing shall be al Ihs olfice ~ Cir.¥ of New Hope arne ............. I agree to purchase the properly for the price end terms and conditions set forth above, Economic Developmen~ Authority ~n an~ suYE~'for- ~he-City'. of; Ne~' Hope ,o~,., ' ~ecutive Director ~c.,~ NOV-- 6--91 WE~ 18 : 48 CORR I CK & $ON~RALL P . 02 ADDENDUH TO PURCHASE AGREEHENT This is an Addendum to a Purchase Agreement between the parties dated November 1, 1991 for property legally described as: Outlot A, Preliminary Plat o? Custom Mold Addition dated 9/5/91, containing .Sg acres, Hennepln County, Minnesota. If there is any conflict between the terms of this Addendum and the terms of the Purchase Agreement the terms of this Addendum shall control. ' 1. From the date of this Purchase Agreement until the closing, Seller shall not place any fill or other materials or other debris on the property. ~. The Buyer shall have the right to enter upon the property prior to closing to conduct soil borings or other soil tests designed to reveal any condition of the soil, including but not limited to, support for structural improvements to the property and the presence of hazardous wastes or contaminated soil. Any such testa shall be conducted at a reasonable time and with minimal disturbance to the property. Any such tests shall be done at Buyer's sole expense. If the results of any such tests are not to Buyer's complete satisfaction, at Buyer's option this Purchase Agreement shall be null and void. 3. The date o? closing may be postponed by written agreement of both parties, and shall be Postponed until such time as the filing of the final plat of Custom Hold Addition. 4. Seller represents that Seller has no knowledge of the use or storage of any hazardous materials or wastes on the property. Dated this day of , 1991. CUSTOH HOLD & DESIGN, INC. By: Its ECONOMIC DEVELOPMENT AUTHORITY IN AND FOR THE CITY OF NEW HOPE By Its Executive Director SPECIAL ASSESSNENT SEARCH SUNHARY AS OF: 10/16/1991 PROPERTY ID LOT BLOCK 06-118-21-3Z,-0002 001 002 ADDITION 62420 ADDITION HAHE/LEGAL SCIENCE IHDUSTRY CENTER H 290 13&100 FT OF THAT PART OF LOT 1 LYING S OF THE N LINE OF LOT PROPERTY ADDRESS UNIT ....... SPECIAL FLAGS ....... 5430 INTERNATIONAL PIG/Y 1--2--3--4--5--6--7--8--9--10 NEW HOPE MN 55428- Press ENTER; or Fl, F4, F5, FT, F8 Main Prev 2 74 Next Summary Exit SPECIAL ASSESSHENT SEARCH SUI~g4ARY AS OF: 10/16/1991 PROPERTY ID: 06-118-21-34-0002 S/A# ASSESSHENT DESCRIPT. YEAR TN RATE TOTAL ANN.PRIN. PAYOFF CD 008857 STREET INP NO 375 198~ 15 12.0000 2900.00 193.33 1353.36 002459 SAN SEWER ~ZN 59 23 1961 30 6.0000 2591.11 0.00 0.00 CL ...... SUHNARY OF LEVZED ****** 1991P&I CERTZFIED ...... SUNNARY OF PENDING ...... SUNNARY OF CLOSED ...... SUHNARY OF HISTORY 2900.00 378.93 0.00 2591.11 0.00 193.33 1353.36 0.00 0.00 Press ENTER; or Fl, F4, FS, F?, F8 Hain Prey 2 72 Next Go To Exit EDA RESOLUTZON NO. 91- RESOLUTZON AUTHORZZZNG PURCHASE OF OUTLOT A, CUSTOM MOLD ADDZTZON BE IT RESOLVED by the Economic Development Authority in and for the City of New Hope, Minnesota (hereinafter the Authority) as follows: WHEREAS, a purchase agreement has been negotiated with the owners of the property to be platted as Custom Mold Addition for the purchase by the Authority of the land which will be platted as Outlot A, Custom Mold Addition, and WHEREAS., a copy of the purchase agreement for said Outlot A, which agreement contains all of the terms and conditions for the purchase, is attached hereto as Exhibit A, and WHEREAS, the purchase of said Outlot A is in the best interests of the City of New Hope and its people, and promotes the general plan of economic development of the City of New Hope. NOW, THEREFORE, BE IT RESOLVED: 1. The purchase of Outlot A, Custom Mold Addition, including the terms and conditions as set forth in the purchase agreement attached as Exhibit A is hereby approved. 2. The officers and staff of the Authority are hereby directed to sign all appropriate documents in order to conclude this purchase. Dated the 12th day of November, 1991. Edw. J. Erickson, President Attest: Daniel J. Donahue, Executive Director