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Contract 1659
Address: 3722 Central Avenue N.E. Columbia Heights, MN PIN #35-30-24-44-0117 Page 1 of 6 REAL ESTATE SALE/PURCHASE AGREEMENT THIS AGREEMENT, made as of the 28th day of December, 2001, by and between Vera M. Johnson, Jonathan Kemnitz, Kristin Jewell, Greg Kemnitz, Terry Kemnitz, Marcia Kelly-Parker, Dan Parker, Mark L. Johnson, and Karen L. Johnson, hereinafter referred to as Seller, and the City of Columbia Heights, a municipal corporation, hereinafter referred to as Buyer. WITNESSETH: WHEREAS, Seller owns certain real estate situated at 3722 Central Avenue 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 Coknnbia Heights, State of Minnesota to-wit: Lot 14 Block 87, Columbia Heights Annex to Minneapolis Page 2 of 6 2. Purchase Price The purchase price for the subject property shall be the sum of Eighty Thousand and 00/100 Dollars ($80,000) payable at closing. Earnest money in the amount of $1.00 shall be paid upon execution of this agreement. 3. Contingency This offer is contingent upon approval by the Columbia Heights City Council. 4. Closing The closing shall take place within 30 days after all title objections have been satisfied or waived, pursuant to paragraph 7 hereof. 5. Possession The Seller further agrees to deliver possession not later than June 30, 2002. 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" Seller Holdover Possession Agreement "Rent Back"). 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 premises subject only to the following exceptions.: a) 2) 3) 4) 6) 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) Rights of Seller under the terms of Addendum B attached hereto. Page 3 of 6 7. Title The Seller shall, within a reasonable time after approval of this agreement, furnish an abstract of title, which Seller has in its possession. The Buyer 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. Seller shall have no duty to remove any objections of title. 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) elect to purchase the property subject to the exceptions; and/or (b) declare this Agreement null and void (in which case neither party shall have any further liability or obligation to the other. 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 Buyer shall assume on date of closing all installments of special assessments. 10. Seller Warranties Seller warrants that buildings, are or will be, constructed entirely within the boundary lines 0fthe 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 service 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. Notwithstanding the above, all insurance proceeds from a casualty loss shall be paid to Seller, and Seller has no obligation to restore damaged improvements on the real estate. 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 acknowledges 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 fi-om 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 fi-om 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 abstracting 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 sale thereby made. SELLER: Vera M. Johnson (Date) I hereby agree to purchase the said property for the price and upon the terms above mentioned, and subject to all conditions herein expressed. Walter Fehst .~ City'~urnbia Heights ~t~oso~-"I~I~~ Heights (Date) H:\Memos2001\Purchase Agreement 3722 Central USE OF PROPERTY: During the ten-n of this Agn'eement, Seller will occupy the property as Seller's personal residence and Seller will not make any changes to the property. Seller will not assign nor sublease the property under this Agreement. HOLD HARMLESS: Buyer is not responsible for liabilities, claims, or expenses from Seller's use, possession, and occupancy of the property. "AS IS": The Buyer makes no warranties, or statements with regard to the condition of property, nor to its suitability for occupancy by the Seller. The Seller rents the property "as is", with all faults. QUIET ENJOYMENT: Buyer promises that upon Seller's performance of Seller's obligation in this Agreement, Seller will peacefully and quietly have, hold, and enjoy the property according to this Agreement. TERMINATION: If Seller fails 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. Notice is considered given on the date mailed to Seller at the above address. Seller will leave the property in the same condition as it was at the time of closing. 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 begim~ing with Possession Date specified above, in addition to all charges and reimbursements stated in this Agreement, and all reasonable costs which result from obtaining possession of the property and enforcing the terms of the Agreement, including reasonable attorney's fees. All other terms m~d conditions of the Pm'chase Agreement will remain. Vera M. Johnson (Date) Walt Fehst, City Ma~(a~e City of Co~mbia H~ight: -~a~eterson/Mayor City of Cokunbia Heights (Date) THIS IS A LEGALLY BINDING CONTRACT BETWEEN BUYERS AND SELLERS. IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL. H:\Memos200lX&ddendum to Purchase 3722 Central Addendum "B" ADDENDUM TO PURCHASE AGREEMENT SELLER HOLDOVER POSSESSION AGREEMENT "RENT BACK" DATE: December 28, 2001 Page 1__ of 2__ Pages Amendment to the Purchase Agreement between Buyer and Seller, dated December 28~ 2001 about the purchase and sale of the property at 3722 Central Avenue N.E., Columbia Heights, Mim~esota. The Buyer and Seller agree as follows: NATURE AND PURPOSE: This Amendment gives Seller the right to remain in and occupy the property after closing 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 June 30, 2002. SECURITY AND DAMAGE DEPOSIT: On N/A Seller will deposit $0.00 with Buyer in certified funds, as a security and damage deposit. The deposit will earn statutory interest at the rate prescribed in Minn. Stat. Section 504.20 subd 2. The Buyer will refund the deposit, plus interest, to Seller, or after Seller moves out of the property and gives 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 stating the reason for withholding. MONTHLY RENT: Seller will pay Buyer $0.00 per month beginning on the Closing Date and continuing through the above Possession Date. If 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 utility services in Seller's name and to pay all bills for utility service during the period of the Seller's possession, as they become due. INSURANCE: Seller will maintain liability insurance for the property tlxrough the date that Seller vacates the property. Seller is responsible for Seller's personal property insurance. MAINTENANCE: Seller will be responsible for all repairs and normal maintenance of the property and personal property covered by the Purchase Agreement from and after the Closing Date. Seller will keep the property in reasonable repair and order. EXHIBIT 5. 6. 7. 8. 9. WELL DISCLOSURE STATEMENT This form approved by the Minnesota Association or REALTORS®, which disclaims any liability arising out of use or misuse of this t'orm. hA" ©1999, Minnesota Association or' REALTORS®, Edina, MN 1. Date '. 2. Page 1 of~ Pages: THE REQUIRED MAP IS 3. A1 fACHED HERETO AND MADE A PART HEREOF Minnesota Statutes Sec. 1031.235 requires that before signing an agreement to sell or transfer real property, the Seller must disclose information in writing to the Buyer about the status and location of all known wells on the property. This requirement is satisfied by delivering to the Buyer either a statement by the Seller that the Seller does not know of any wells on the property~ or a disclosure statement indicating the legal description and county, and a map showing the location of each well. In the disclosure statement the Seller must indicate, for each well, whether the well is in use, not in use or sealed. 10. Unless the Buyer and Seller agree to the contrary, in writing, before the closing of the sale, a Seller who fails to disclose 11. the existence or known status of a well at the time of sate and knew or had reason to know or the existence or known 12. status of the well, is liable to the Buyer for costs relating to sealing of the well and reasonable attorney fees for 13. collection of costs from the Seller, if the action is commenced within six years after the date the Buyer closed the 14. purchase of the real property where the well is located. 15. Legal requirements exist relating to various aspects of location and status of wells. Buyer is advised to contact the local 16. unit(s) of government, state agency, or qualified professional which regulates wells for further information about these 17. issues. 18. Instructions for completion or this form are on the reverse side. 19. PROPERTY DESCRIPTION 20. Street address: 21. LEGAL DESCRIPTION 22, (Zip) {County) 23. 24. 25. WELL DISCLOSURE STATEMENT 26. (CHECK THE APPROPRIATE BOX.) 27. [] The Seller certifies thai: the Seller does not know of any wells on the above described real property. 28. (if this option is checked, then skip to the last line and sign and date this statement.) .. 29. [] The Seller certifies that the following wells are located on the above described real property. 30. MN Unique Well Year of Well IN USE NOT IN SEALED 31. Well No. Depth Const. Type USE 32. Well1 1~ I---] F-'I 33. Well 2 I--~ [-'] [] 34. Well 3 [] [] [] 35. NOTE: See definition of terms "IN USE," "NOT IN USE," and "SEALED" on lines 82-89 of page 2. If a well is not in 36. Ose, it must be sealed by a licensed well contractor or a well owner must obtain a maintenance permit 37. from the Minnesota Department of Health and pay an annual maintenance fee. Maintenance permits are 38. not transferable. If a well is operable and properly maintained, a maintenance permit is not required. 39. SEALED WELL INFORMATION 40. For each well designated as sealed above, complete [his section. 41. When was the well sealed? ~.::, · , · · . 42. Who sealed the well? ,. 43. Was a Sealed Well Report filed with the Minnesota Department or Health? Yes No Unknown 44. MAP 45. Complete the attached MAP showing the location of each well on the real property. 46. This disclosure is not a warranty of any kind by the Seller(s) or any Agent(s) representing any Party(s) in this 47. transaction, and is not a substitute for any inspections or warranties the Party(s) may wish to obtain. 48. CERTIFICATION BY SELLER 49. I certify that the information provided above is accurate and complete to the best of my knowledge. 50. 51. BUYER'S ACKNOWLEDGMENT 52 53: ORIGINAL ~OPY TO LISTING BROKER; COPIES TO SELLER, BUYER, SELLING BROKER MNt',~DS-I' (9/99) (Dale) 54. Page 2 of . Pages 55. INSTRUCTIONS FOR COMPLETING THE WELL DISCLOSURE STATEMENT 56. DEFINITION 57. A "well" means an excavation .that is drilled, cored, bored, washed, driven, dug, j~tted, or otherwise 58. Constructed if the excavation is intended for the location, diversion, artificial recharge, or acquisition of ' 59. groundwater. 60. MINNESOTA UNIQUE WELL NUMBER 61. All new wells constructed AFTER January 1, 1975 sh'ould'have been: assigned a Minnesota unique well 62. number by the person constructing the well. If the well was constructed after this date you should have the 63, unique well number in your property records. It' you are unable to locate your unique well number and the well 64. was constructed AFTER January 1, 1975, contact your well contractor. If no unique well number is available, 65, please indicate the depth and year of construction for each well. 66. WELL TYPE 67. Use one of the following terms to describe the well type. 68. 69. 70. 71. 72. 73. 74. WATER WELL: A water well is any type of well used to extract groundwater for private or public use. Examples of wa[er wells are: domestic wells, drive-point wells, dug wells, remedial wells, and municipal wells. IRRIGATION WELE: An irrigation well is a well used to i~;rigate agricultural lands. These are typically large diameter wells connected to a large pressure distribution system. MONITORING WELL: A monitoring well is a'Well used to moni(or grou'ndwa~er contamination. The well is typically used to access groundwater t'or the extraction of samples. 75. 76. DEWATERING WELL: A dewatering well is a well used to lower groundwater levels to allow for construction or use of underground spaces. 77. 78. 79. INDUSTRIAL/COMMERCIAL WELL: An industrial/commercial well is a nonpotable well used to extract groundwater for any nonpotable use including groundwater thermal exchange wells (heat pumps and heat loops). 80. WELL USE STATUS 81. Indicate the use status of each well. CHECK ONLY 1 BOX PER WELL. '- 82. IN USE: A Well is "in use" if the well is operated on a daily, regular, or seasonal basis. A well in 83. use includes a well that operates for the purpose Qt' irrigation, fire protection, or emergency pumping. 84. NOT IN USE: A well is "not in use" if the well does not meet the definition of "in use" above and has not 85. been sealed by a liceh'sed well contractor. 86. 87. 88. 89. 90. 91. SEALED: A well is "sealed:' if a licensed contractor has completely filled a well by pumping grout material throughout the entire bore hole after removal Qt' any obstructions from the well. A well is "capped" if it has a metal or plastic cap or cover which is threaded, bolted, or welded into the top of the well to prevent entry into the well. A "capped" well is not a "sealed" well. If the well has been sealed by someone other than a licensed well contractor or a licensed well sealing contractor, check the well status as not in use. If you have any questions, please contact the Minnesota Department of Health, Well Management Section at (651) 215-0819 (metropolitan Minneapolis-St. Paul) or 1-800-383-9808 (greater Minnesota). MN-WDS-2 (9/99) . , Addendum "C" WAIVER AGREEMENT REGARDING RELOCATION BENEFITS AGREEMENT made this 28th day of December, 2001, by and between Vera .Johnson (hereinafter jointly referred to as "Owner"), and the City of Columbia Heights (hereinafter referred to as "The Ci _ty". WHEREAS, Owner is the fee owner of certain real property and improvements used for residential purposes located at 3722 Central Avenue N.E., (hereinafter "subject property"), in the City of Columbia Heights, County ofAnoka, State of Minnesota; and WHEREAS, Owner knows and understands certain relocation benefits are available, pursuant to Minnesota Statute No. 117.52 and the Uniform Relocation Assistance and Real Property Acquisition Policies Act, 42 U.S.C. No. 4621 et seq., (hereinafter referred to as "Uniform Act") for "the Ci _ty" to assist in the relocation of the personal residence at the subject property, which relocation benefits are: 1. Reimbursement of Moving Expenses You may choose between either a payment for your actual reasonable moving and related expenses, or a fixed money expense and dislocation allowance. 2. Replacement Housing Assistance To enable you to buy, or if you prefer, rent a comparable, or suitable replacement home. 3. Other Relocation Assistance This includes housing referrals and other assistance to help the owner relocate to a comparable decent, safe, and sanitary dwelling. The owner cannot be required to move from their home, unless they are given reasonable oppommities to relocate to a comparable decent, safe and sanitary dwelling that they can afford. WHEREAS, on December 28, 2001, I met with a representative of the Ci _ty, and discussed the relocation benefits providedunder the Uniform Act. They explained to us that we cannot be required to sell this property to the City. They also explained to me that "the City" will not acquire the property from me, unless I voluntarily enter into the agreement of sale and also agree to waive my relocation rights under the Uniform Act. WHEREAS, I have received and read the pamphlet "Relocation Assistance to Displaced Homeowners. (HUD-1044-CPD) GUIDEFORM NOTICE - Disclosures to Seller with Voluntary, Arm's Length Purchase Offer Dear Mrs. Vera Johnson: This is to inform you that the City of Columbia Heights would like to purchase the property located at 3722 Central Avenue N.E., Columbia Heights, if a satisfactory agreement can be reached. We are prepared to pay $80,000.00 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 $72,000.00. 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, _ //~ Randy Sc-'humacher Acting Community Development Director Enclosure HSMemos\Guideform 3 718 Central Avenue NE NOW THEREFORE, I Vera Johnson; am the owner and occupant of the property at 3722 Central Avenue N.E. in Columbia Heights, MN. I have voluntarily submitted an offer to sell this property to "the Ci _ty". I understand the basic requirements of the Uniform Act. I know that we cannot be required to sell the property to "the Ci _ty" tmless given the relocation assistance required by the Uniform Act. I hereby release and waive "the Ci _ty" from any and all claims for relocation benefits, pursuant to Minnesota Statutes No. 117.50 et seq. and the Uniform Relocation Assistance and Real Property Acquisition Policies Act, ~. No. 4621 et s~_.~ Witness ~ "~"~ Seller Seller H:LMemos2001\Waiver for 3722 Central Ave.