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HomeMy WebLinkAboutContract 1613Address: 4401 Quincy Street N.E. Columbia Heights, MN PIN # 35-3024-110054A Page 1 of 6 REAL ESTATE SALE/PURCHASE AGREEMENT THIS AGREEMENT, made as of the ~"' day of '~)6~,[..~ , 2001, by and between _Gary_ John Pikala_, hereinafter referred to as Seller, and the Cfty ot~Columbia Heights, a municipal corporation, hereinafter referred to as Buyer. WITNESSETH: WHEREAS, Seller owns certain real estate situated at 4401 Quincy Street N.E., Columbia Heights, Minnesota, and legally described below; and WHEREAS, Buyer wishes to purchase and Seller is-willing to sell to Buyer said real estate; and WHEREAS, the parties wish to define their respective rights, duties and obligations related to the sale/purchase of said real estate. NOW, THEREFORE, in consideration of the mutual promises and the respective agreements contained herein, the parties hereby agree as follows: 1. Property. The Seller hereby agrees to sell and the Buyer hereby agrees to purchase the following described real estate located in the City of Columbia Heights, State of Minnesota to-wit: Lot 16, 17, and the South one half of Lot 18, Block 11, Columbia Heights Annex to Minneapolis, Anoka County Minnesota Page 2 of 6 2. Purchase Price The purchase price for the subject property shall be the sum of One Hundred Twenty Thousand and 00/100 Dollars ($120,000) payable at closing. 3. Contingency This offer is contingent upon approval by the Columbia Heights City Council for a period of 60 days after signing of the Purchase Agreement by the Seller. 4. Closing The closing shall be within 30 days after all required City Council and EDA actions have been finalized and all title objections have been satisfied by the Seller, if any have been made by the Buyer. 5. Possession The Seller further agrees to deliver possession not later than , after closing provided that all conditions of this agreement have been complied with. All charges for city water, city sewer, electricity, and natural gas shall be prorated between the parties as of date of possession. Seller agrees to remove ALL DEBRIS AND ALL PERSONAL PROPERTY NOT INCLUDED HEREIN from the property by possession date. Any personal property not removed by the date of possession, shall be considered the property of the Buyer. (See addendum "B") 6. Deed/Marketable Title Subject to performance by the Buyer, the Seller agrees to execute and deliver a Warranty Deed conveying marketable title to said premised subject only to the following exceptions.: a) 2) 3) 4) 5) Building and zoning laws, ordinances, State and Federal regulations. Restrictions relating to use or improvement of premises without effective forfeiture provision. Reservation of any minerals or mineral rights to the State of Minnesota. Utility and drainage easements which do not interfere with present improvements. Rights of tenants as follows: (unless specified, not subject to tenancies) 7. Title The Seller shall, within a reasonable time after approval of this agreement, furnish an abstract of title, or a Registered Property Abstract certified to date to include proper searches covering bankruptcies, and State and Federal judgements and liens. The Buyer Page 3 of 6 Shall be allowed 15 days after receipt thereof for examination of said title and the making of any objections thereto, said objections to be made in writing or deemed to be waived. If any objections are so made the Seller shall be allowed 60 days to make such title marketable. Pending correction of title the payments hereunder required shall be postponed, but upon correction of title and within 10 days after written notice to the Buyer, the parties shall perform this agreement according to its terms. If Seller shall fail to have said exceptions removed or satisfied within the time provided, Buyer may elect to do one or more of the following: (a) remove or satisfy the exceptions on behalf of Seller and at Seller's cost and expense, all of which costs and expenses shall be deducted from the purchase price at closing; (b) elect to purchase the property subject to the exceptions; and/or (c) declare this Agreement null and void (in which case neither party shall have any further liability or obligation to the other. In the event Buyer elects to remove or satisfy the exceptions on behalf of Seller in accordance with alternative (a) above, Seller shall cooperate with and assist Buyer in all reasonable respects. 8. Real Estate Taxes Real estate taxes due and payable in and for the year of closing shall be prorated between the Seller and Buyer on a calendar basis to the actual date of closing. 9. Special Assessments Seller shall pay on date of closing all installments of special assessments. Seller shall pay on date of closing all other special assessments levied as of the date of closing. Seller shall provide for payment of all special assessments pending as of the date of closing for improvements that have been ordered by the city or other assessing authorities. Seller shall pay on the date of closing, any deferred taxes. 10. Seller Warranties Seller warrants that buildings, are or will be, constructed entirely within the boundary lines of the property. Seller warrants that there is a right of access to the property from a public right of way. These warranties shall survive the delivery of the deed or contract for deed. Seller warrants that prior to the closing, payment in full will have been made for all labor, materials, machinery, fixtures or tools furnished within the 120 days immediately preceding the closing in connection with construction, alteration or repair of any structure on or improvement to the property. Seller warrants upon execution of this Agreement, Seller will not rent the property once it is vacated by any person now occupying same. Page 4 of 6 Seller warrants Seller has executed no option to purchase, right of first refusal, or any other agreement giving any person or other entity the right to purchase or otherwise acquire any interest in the property, and Seller is unaware of any option to purchase, right of first refusal, or other similar rights affecting the property, except as otherwise noted in the title commitment for the property. Seller has received no notice of any action, litigation, investigation or proceeding of any kind pending against Seller, nor to the best of Seller's knowledge is any action, litigation, investigation, or proceeding pending or threatened against the Subject Premises, or any part thereof. On the Date of Closing, there will be no sen, ice contracts in effect in connection with the Subject Premises, except those which are terminable on thirty (30) days' written notice. 11. Risk of Loss If there is any loss or damage to the property between the date hereof and the date of closing, for any reason including fire, vandalism, flood, earthquake, or act of God, the risk of loss shall be on Seller. If property is destroyed or substantially damaged before the closing date, the Purchase Agreement shall become null and void, at Buyer's option, and earnest money shall be refunded to Buyer; Buyer and Seller agree to sign cancellation of Purchase Agreement. 12. Time of Essence Time is of the essence in this Purchase Agreement. 13. Acceptance Seller understands and agrees that this Purchase Agreement is subject to acceptance by Buyer in writing. 14. Environmental Concerns To the best of the Seller's knowledge there are no hazardous substances, underground storage tanks, or wells except herein noted: 15. Well Disclosure Buyer acknowledge receipt of a well disclosure statement from Seller attached as Exhibit A to this Agreement. Page 5 of 6 16. Individual Sewage Treatment System Disclosure Seller discloses that there is not an individual sewage treatment system on or serving the Property. 17. As-Is-Basis It is specifically agreed that the Real Property is being conveyed to the Buyer by the Seller in "As-Is Condition" ("with all faults"). 18. Right of Entry Buyer is duly authorized agents shall have the right during the period from the date of this Agreement to closing, to enter in and upon the Premises in order to make, at Purchaser's expense, surveys, measurements, wetlands delineations, soil tests, and other tests that Buyer shall deem necessary. Buyer agrees to restore any resulting damage to the Premises and to indemnify, hold harmless and defend Seller from any and all claims by third persons of any nature whatsoever arising from Buyer's right of entry hereunder, including all actions, suits, proceedings, demands, assessments, costs, expenses and attorney's fees. 19. Brokers Commissions In the event Seller has retained the services of any agent, person, corporation or firm to assist in the sale of the property who, in turn, is entitled to a commission by reason of this Agreement and the closing hereunder, Seller hereby agrees to indemnify and hold Buyer harmless from any liability arising therefrom. 20. Entire Agreement This Purchase Agreement, any attached exhibits and any addenda or amendments signed by the parties, shall constitute the entire agreement between Seller and Buyer, and supersedes any other written or oral agreements between Seller and Buyer. This Purchase Agreement can be modified only in writing signed by Seller and Buyer and is contingent upon the execution and passage of all necessary City and State requirements. 21. Incidental Expenses All expenses of examination of title, transfer tax, closing fees will be paid by the Buyer. Any cost incurred to remove any cloud on the title to convey a good and marketable title to said premised subject shall be the responsibility of the Seller. Page 6 of 6 22. Ineligible for Relocation Assistance The Seller acknowledge that they have voluntarily entered this Purchase Agreement and, as such, acknowledge that the Sellers are not "displaced persons" as defined by The Uniform Real Property Acquisition and Relocation Act of 1970 as amended and M.S. 117.52 and hence the Sellers are not eligible for any relocation assistance or benefits (see Addendum "C", Waiver Agreement Regarding Relocation Benefits). The undersigned, owner of the above land, does hereby approve the above agreement and the SELLER:sale thereby made. ~~ ~~//jf~~ I hereby agree to purchase the said property for the price and upon the terms above mentioned, and subject to all conditions herein expressed. BUYERS: FINAL ACCEPTANCE DATE OF PURCHASE AGREEMENT: H:XFormsXPurchase Agreement WELL DISCLOSURE STATEMENT Page I o~ ~ Peg~a: THE FIEQU~ED 3- ATTAC;'IED I'~O AND MAC~ A PART i..iEREO~ I~~~~.~~~.~ V'u m .Stied W~d F.q~ lied 'pdfl lira MkTmt~ Dtq;~;rmr~ ol i. is~lh? yes No Unknown. ~'m~ mm~c~nm o~ ,~m~-~m ~ Prudes) mmy~h I~ o~n. ~ CCHrr TO ~ tlqOXl~, COPIES TO MI_I_Fq, IqJTER, SELUNCI BIqOKEFI ·Exhibit Addendum 'B' ADDENDUM TO PURCHASE AGREEMENT SELLER HOLDOVER POSSESSION AGREEMENT "RENT BACK" Page, 1 of...~.2 Pages Amendment to the Purchase Agreement between Buyer and .e~ler, dated about the purchase and sa~e of the prof~rfy, at ......... Minnesota. The Buyer and Seller agree as follows: NATURE AND PURPOSE: This Amendment gfves Seller the right to remain in and occupy the property after dosing on the purchase of the property. This Amendment remains in effect after the closing. POSSESSION DATE: Seller agrees to deliver possession of the property to Buyer on or before , 2001. SECURITY'AND DAMAGE DEPOSIT: On N/A Seller wiJl deposit $0.00 with Buyer Jn certified funds, as a security and damage deposit. The deposit will earn statutory interest at the rate prescribed in Minn. S~at. Section 504.20 subd. 2. The Buyer will refund the deposit, plus interest, to Seller, or after Seller moves out of the property and g~ve$ possession to Buyer. Buyer may keep amounts necessary to cover unpaid rent or to cover the cost of repairing damage to the property (including personal property and appliances) caused by Seller. If the Buyer keeps all or a part of the deposit, Buyer will provide a written statement within 21 days stat~g the reason for withholding. MONTHLY RENT; Seller wfll pay Buyer $0.00 per month beginning on the Closing Date and continuing through the above Possession Date. ff Seller remains in the property after the above Possession Date, Seller will pay additional monthly charges to Buyer in advance. UTILITIES: Seller agrees to continue all ~'lity services in Seller's name and to pay all bilJs for util/ty service dudng the period of the Seller's possession, as they become 0ue. INSURANCE: 'Se~ler will maintain liability insurance for the property through the date that Seller vaca~,s the property. Seller is responsible for Seller's personal property insurance. MAINTENANCE: Seller will be responsible for ~ repairs and normal maintenance of the property and persona/property covered by the Purchase Agr~ernenf from and after the Closing Date. Seller wi31 keep the property in reasonable repair and order. USE OF PROPERTY: During the term of this Agreement, Seller ~N occupy the property as Se~er's personal residence and SeNer will not make any changes to the property. ,~ller will not assign nor sublease the property under this Agreement. HOLD HARMI.ES~: Buyer is not responsible for rabiliUes, claims, or expenses from Seller's use, possession, and occupan~ of the property. "AS IS": The Buyer makes no wam'anUes or statements with regard to the condJt~, n of property nor to its suitability for occupancy by the Seller. The Seller rents the property 'as is', with ail faults. QUIET ENJOYMENT: Buyer promises that upon Seller's performance of Seller's obligation in this Agreement, Seller wit/peacefully and quietly have, hold and enjoy the property according to ~his Agreement. TERMINATION: If Seller faits to leave the property and give possession to Buyer on the Possession Date specified above, Buyer will provide Seller with seven days advance written notice to leave the property. Nol~ce is considered given on the date mailed to Seller at the above address. Sci/er will leave the property in the same condition as it was at the time of closir~j. If Seller fails to leave the property, Buyer is authorized to take any action permitted by law to take possession of the property. Buyer will be entitled to recover damages from Seller for Buyer's loss of use in the amount of $0.00 per day beginning with Possession Date spec/fled above, in addition to all charges and reimburserhents stated in this Agreement, and ail reasonable costs which result from obtaining possession of the property and enfordng the terms of the Agreement, including reasonable attorney's fees. other terms and co~ of the Purchase Agreeme~ will remain. (Date) (seNer) (Date) iDuyer) (Date) THIS IS A LEGALLY BINDING CONTRACT BETWEEN BUYERS AND SELLEI~. IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL. GUIDEFORM NOTICE - Disclosures to Seller with Voluntary, Arm's Length Purchase Offer Dear Gary John Pikala: This is to inform you that the City of Columbia Heights would like to purchase the property located at 4401 Quincy Street NE, Columbia Heights, ifa satisfactory agreement can be reached. We are prepared to pay $120,000 for clear title to the property under the conditions described in the attached proposed contract of sale. Because Federal funds may be used in the purchase, however, we are required to disclose to you the following information: The sale is voluntary. If you do not wish to sell, the City of Columbia Heights will not acquire your property. The City of Columbia Heights will not use the power of eminent domain to acquire the property. We estimate the fair market value of the property to be $120,000. Since the purchase would be a voluntary, arm's length transaction, you would not be eligible for relocation payments or other relocation assistance under the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (URA), or any other law or regulation. 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 completed. Again, please understand that if you do not wish to sell your property, we will take no further action to acquire it. If you are willing to sell the property under the conditions described in the attached contract of sale, please sign the contract and return it to us. If you have any questions about this matter, please contact Randy Schumacher. His telephone number is 763-706-3675. Sincerely Acting Community Development Director Enclosure H:kforrns\Guideform Notice 4401 Quincy CITY OF COLUMBIA HEIGHTS 590 40th Avenue N.E., COlumbia Heights, MN 55421-3878 (763) 706-3600 TDD (763) 706-3692 Visit Our Website at: www. ci. colurnbia-heights, rnn. us EDA COM31ISSIONERS: Robert W. Ruettimann Julienne Wyckoff Marlaine Szurek Gary L. Peterson Bruce Nawrocki Patricia Jindra Bobby Williams ECONOMIC DEVELOPMENT AUTHORITY (EDA) PRELIMINARY ACQUISITION NOTICE/HUD BROCHURE April 12, 2001 Mr. Gary J. Pikala 4401 Quincy Street Columbia Heights, MN 55421 Dear Mr. Pikala: This is to inform you that the Columbia Heights Economic Development Authority has determined to acquire your property on 4401 Quincy Street N.E., (PIN-353024110054A), to be redeveloped for improved single family housing. A brochure describing your fights and the City's procedures for acquiring property is enclose.d for your information. If you have any questions, please call Randy Schumacher at City Hall at 763-706-3675. The City will be hiring an independent Appraiser to appraise your property. You have the right to accompany them on their inspection of the property if you wish to do so. A letter inviting you to accompany the appraiser will be sent by the company at least five days prior to the visit. This notice is not a notice to vacate and does not establish eligibility for relocation payments or other relocation assistance. Sincerely, Randy Schumacher Acting Community Development Director Kec eiv ed by: ~.~L (~. ~/~~'~~ Enclosure: When A Public Agency Acquires Your Property Date Date ThE CITY OF COLUMBIA HEIGHTS DOES NOT DISCRIMINATE ON THE BASIS OF' DISABILITY In EMPLOYMENT OR THE PROVISION OF SERVICES EQUAL OPPORTUNITY EMPLOYER !~/20/1999 Id:i6 612~B~676 WILSON DEVELOP ~E'RV PaGE 1! Addendum "C' ~een uary John Pikala ~.. . ~ . . , ~d ~e Cit~ ot Columbia ~+~- . t~e~rjo~fe~~ ~n~,~d "~ t~(~emm~r ~ ~ as 'THE CITY ~, ~e~ is the f~ ~er of~ m~ pmpe~ ~d ~p~emen~ m~den~p~eel~dat 4401 Quincy Street NE ~em~r "s~pmpe~% ~ the ~ ~ Col umbia Hei qhts ~ Co~ of ~ Pm~ ~i~n Poh6ee ~, 42 U.S.C. No. ~21 et ~q., ~e~r ~d ~ ~ ~~ ~ ~m the THF KITY W ~t ~ the mI~on of~e I. ~b~ment Of M~g E~ You may ch~ ~n ~ther a ps~ent ~t ~ed m~ey e~e~ ~d ~l~sfion ~ewEce. 2. ~ph~ment Hou~ To e~ble ~u te buy er, ff~u p~t, ~nt a ~mp~ble ~ s~le ~p~en~ S. O~her ~~ ~n~ ~ help ~h~ ewner ~l~s~ ~ a ~mp~able ~, ~d ~ d~g. ~e ~er ~ot ~ mq~d m move ~m the~ home, ~ess ~ey ~ ~n ma~able opp~fies ~ m~ ~ a V~R~. on July ? 2.001, I met with a representative of the cit3:, ' and discussed the ~location benefits provided under the Uniform Act. They expl_~J~ed to us that we cannot be required to sell this property to the City They aJzo explained to me that the Cit¥ will not acquire the prcrpe~ from me, unless I voluntarily enter i~to the agreement of' r~le and also agree to waive my relocation rights under the Unifoi-,~, Act. WHEREAS, I have received and read the pamphlet "Relocation Assistance to Displaced Homeowners. (HUD-1044-CPD) i8/£~x'i~ i~.' 16 6i24484676 WILSON ~E~./ELOP S~_-R~v PaGE NOWTIq~,REFORE. I, Gary John Pikala , ~ the o~l~ers and o~cupant~oftheproper~y~t 4401 Quincy Street NE C o 1 umb i a He i qh t s . I. ~ve ~I~ ~ub:~ ~ o~r ~ ~ ~ p~pe~ ~ the ~ City ~. 'I ~:~d the ~men~ of ~he U~m .~ '-I, ~ ~t ~ e~ not ~ ~~ ~q~ ~ ~e U~ A~. '~.[~ h~e~ ~ ~d wm~ the p~u~ ~ ~e~ta Sinews No. 11~.~0 e~ ~. ~d ~ U~ ~s~ ~d ~ ~pe~ ~q~ifion Po~es A~, 42 U.S.C. No. 4~21 et ~q. Witnes~ SeHer DATE: TO: FROM: RE: July 9, 2001 Randy Schumacher, Acting Community Development Director, City of Columbia Heights Occupants at 4401 Quincy Street NE. Based on our discussion at the signing of the purchase agreement on July 9, 2001 for the above stated property, I indicated that I, (Gary John Pikala) was the sole owner at 4401 Quincy Street NE., Columbia Heights, MN In addition, I informed you that at the time I had relatives staying at my residence. The names of those individuals are as follows: Please be advised that they are not renters of this property and I am not receiving any rental fees for same. I hope this clarifies any questions you may have relating to the residential status of those individuals listed above. Gary John eikala/ ) ~~~t' H:hrorms\Occupants Ltr-4401 Quincy RIGHT OF ENTRY AGREEMENT This Right of, Entry Agreement is made this ;~ w day of 5 ~-P ~.~ ,2001, by and between Gary J. Pikala (hereinafter referred to as "Grantor"), and Twin Cities Habitat for Humanity, Inc. (hereinafter referred to as "Grantee"). WHEREAS, Grantor is fee-simple owner of the real property located at ~[01 Quincy Street NE in Columbia Heights, Minnesota, which is legally described in Exhibit A, attached (hereinafter referred to as the "Property"), and WHEREAS, Grantor has entered into an agreement with the City of Columbia Heights (hereinafter referred to as the "City") to sell the Property to the City, and WHEREAS, the City has entered into an agreement with Grantee to sell the Property to Grantee after the City purchases it from Grantor, and WHEREAS, Grantee desires to enter the Property, as well as the house and garage located on the Property as soon as possible to perform land surveys and environmental assessments. NOW, THEREFORE, in exchange for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, Grantor hereby grants to Grantee a reasonable Right of Entry to the Property for the purpose of performing the land surveys and environmental assessments outlined above. This reasonable Right of Entry shall commence on the date which this Right of Entry Agreement is fully executed by both Grantor and Grantee, and shall continue until the date on which Grantor transfers the Property to the City and the City subsequently transfers the Property to Grantee, or until October 10, 2001, whichever date should occur first. Grantee shall inform Grantor in advance of any entry onto the property that Grantee intends to make. In the event that Grantee requires access to the house or garage located on the property, Grantee shall contact Grantor for access. Said access to house and/or garage shall take place on a date and at a time that is convenient for Grantor and feasible for Grantee. Notwithstanding the foregoing, entry to the property shall not be unreasonably delayed or denied by Grantor. Grantee shall indemnify and hold Grantor harmless from and against any loss, damage, claim or expense that arises as a result of Grantee's entry onto the Property. IN WITNESS TO THIS RIGHT OF ENTRY AGREEMENT, the parties have set their hands as of this day and year set forth above. Exhibit A Legal Description Lots 16, 17 and the South half of Lot 18, all in Block 11, Columbia Heights Annex to Minneapolis, Anoka County, Minnesota.