HomeMy WebLinkAboutEDA AGN 12-03-12AGENDA
COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY
Monday Deeclnber 3, 2012
6:30pm City Hall, Council Chambers
1. Call to Order /Roll Call
Gary L. Peterson, President Bobby Williams
Donna Schmitt, Vice President Tarnmera Diehm
Bruce Nawrocki, Secretary /Treasurer Gerry Herringer
Marlaine Szurek
2. Pledge of Allegiance
BUSINESS ITEMS
3. Proposed sale of 4303 Reservoir Blvd
4. Adjourn
The next regular EDA meeting will be Monday January 7, 2013 at 6:30pin City Hall.
COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA)
Meeting of. December 3, 2012
AGENDA SECTION: Business Item
ORIGINATING
EXECUTIVE
NO:3
DEPARTMENT: EDA
DIRECTOR
APPROVAL
ITEM: Proposed Sale of 4303 Reservoir Blvd
BY: Sheila Cartney
BY:
DATE: November 30, 2012
BACKGROUND:
In December 2009 the EDA purchased property at 4303 Reservoir Blvd as part of the Scattered Site
Program. At the time of purchase the property contained an existing 750 square foot house that was built
in 1918 that had significant structural damage and a detached garage. This lot is about 17,600 square
feet. Since then the house and garage have been removed and the lot has been maintained as a vacant lot
and has been for sale since February 2012. The list price for this lot is $50,000 the EDA has spent a total
of $61,438 on the purchase and demolition for this property; Anoka County has this property valued at
$47,300.
Novak - Fleck, Inc. is an experienced home builder that has written an offer to the EDA to purchase the
subject lot for $35,000 and to build a split -level home with a potential sales price of $220,000. The floor
plan submitted meets the Scattered Site Program Guidelines with the exception of the bedrooms, the
guidelines require three bedrooms and the plan shows two, the applicant said they could finish a third
bedroom in the basement. A site plan was not submitted, but staff is confident this type of home could
meet the required setbacks.
RECOMMENDATION: Staff seeks direction from the EDA whether or not to proceed with the
Purchase agreement. If the EDA would like to proceed a public hearing should be set.
Attachments: Purchase Agreement, Housing Plan, Design Guidelines
EDA ACTION:
From: Novak Fleck Builders Inc.
11/29/12
Novak Fleck Builders have worked with many of the cities in the local area on their scattered site
programs in the last 5 years. If you need to contact any of the city officials, they are listed
below:
1. City of Crystal.. ..John Sutter 763- 531 - 1000 - -- approximately 25 homes in the last 3 years.
2. City of Fridley.... Paul Bolin 763 - 572 - 3591 - - -3 homes in the last year.
3. City of Coon Rapids ... Matt Brown 763- 755 - 2880 - -- approximately 7 homes in the last 5
years.
With any home built in today's market, especially in the scattered site programs it is critical that
the lot be kept affordable as we need to be very near to existing home prices due to appraisal
issues when complete because there is not a lot of other new construction to compare with. We
have had appraisal issues with one of our homes in Fridley and one in Coon Rapids. In both
cases we were able to overcome the issues and close on the homes with the new buyers.
Novak Fleck is committed to building the home on the lot on Reservoir Blvd and should have the
home complete with -in 120 days from permit with the city.
If you have any questions you can contact Dale Anderson who is my real estate agent from
Re/Max Results (612 - 709 -3316) or feel free to contact me at 763 - 424 -4955
Thank you,
Richard Novak — President
Novak Fleck Incorporated
8857 Zealand Avenue North ® Brooklyn Park, MN 55443
(763) 424 -4955 ® Fax: (763) 391 -6680 ® www.novak- fiecic.com
Builder License #0001631
lR)
2. Page 1 of
3. RECEIVED OF r�- "`° rte'
4.
5. the sum of `� i + Dollars ($ 00 )
6. by CHECK ❑ CASH ❑ NOTE as earnest money to be deposited upon Final Acceptance of Purchase
.. . . .. ...............(Check ane.} -----------------------
7. Agreement by all parties, on or before the third Business Day after Final Acceptance, in the trust account of
B. listing broker, unless otherwise agreed to in writing, but to be returned to Buyer if Purchase Agreement is not
9. accepted by Seller.
10. Said earnest money is part payment for the purchase of the property located at
11. Street Address: '
12. City of t County of -� i State of Minnesota, legally
13. described as q.1 6 L Q
14. J `'
15. including all fixtures, if any, R INCLUDING ❑ EXCLUDING all emblements within the property at the time of this
------------------- (Check ono.} . ----------------------
16. Purchase Agreement, if any, and ❑ INCLUDING ❑ EXCLUDING the following personal property, if any,
Check one. -
17.
18.
19.
20. all of which property Seller has this day agreed to sell to Buyer for the sum of ($ ' }
21. h i 'E A-4 v L'
22.
° - Dollars,
23. which Buyer agrees to pay in the following manner:
24. 1. Cash of �KO Q_ percent ( %) of the sale price, or more in Buyer's sole discretion, which includes the earnest
25. money; PLUS
26. 2. Financing of Q percent ( %) of the sale price, which will be the total amount secured against this property
27. to fund this purchase.
28. Such financing shall be ❑ a first mortgage ❑ contract for deed or ❑ a first mortgage with subordinate
...... ........................ -------- ... . ....... .---------------------- (Cheek one.} --------------------------------------------------------------------------------
29. financing, as described in the attached Addendum:
30. ❑ Conventional ❑ FHA ❑ DVA ❑ Assumption ❑ Contract for DeedxOther:__.. C , °
Check all that a p/) - ---- -- ------- -- -- ---° ° - -----
31.
32, The date of closing shall be 66C Z6 t 1 -- , 20
33. This Purchase Agreement ❑ IS MIS- NOT subject to a Contingency Addendum for sale of Buyer's property. (If
- - - - -- (Check one.} ------
34. answer is IS, see attached Addendum.) (If answer is IS NOT, the closing of Buyer's property, if any, may still affect
35. Buyer's ability to obtain financing, if financing is applicable.)
36. This Purchase Agreement ❑ IS ® IS NOT subject to cancellation of a previously written purchase agreement dated
-- - - - - -- (Check one.}- ......
37. 20 (If answer is IS, said cancellation shall be obtained
38. no later than , 20 .
MN:VLPA -1 (10/12)
last a
VACANT LAND PURCHASE AGREEMENT
39. Page 2 Date
40. Property located at ts(ZU0 t .
41. If said cancellation is not obtained by said date, this Purchase Agreement is canceled. Buyer, and Seller shall
42. immediately sign a Cancellation of Purchase Agreement confirming said cancellation and directing all earnest money
43. paid hereunder to be refunded to Buyer.)
44. SPECIAL CONTINGENCIES: This Purchase Agreement is subject to the following contingencies, and if the
45. contingencies checked below are not satisfied or waived, in writing, by Buyer by - 20
46. this Purchase Agreement is canceled as of said date. Buyer and Seller shall immediately sign a Cancellation of
47. Purchase Agreement confirming said cancellation and directing all earnest money paid hereunder to be refunded to
48. Buyer.
49. (Select appropriate options 8-0
50. ❑ (a) ❑ BUYER ❑ SELLER shall provide a certificate of survey of the property, at ❑ BUYER ❑ SELLER
Check one. . - ----------- (Check one.) ----------------
51, expense.
52. ❑ (b) Buyer obtaining approval of city/township of proposed building plans and specifications at
53. ❑ BUYER ❑ SELLER expense.
.. .. .......... .. (Check ono.--------•-- ----
54. ❑ (c) Buyer obtaining approval of city/township of proposed subdivision development plans at
55, ❑ BUYER []SELLER expense.
.... ............ (Check one. ---------------
56. ❑ (d) Buyer obtaining approval of city/township for rezoning or use permits at ❑ BUYER ❑ SELLER expense.
------------ •-(Check one.)....-•---- - --
57. ❑ (e) Buyer obtaining, at ❑ BUYER ❑ SELLER expense, percolation tests which are acceptable to Buyer.
------ --- -- ----(Check one.} --------------
58. ❑ (f) Buyer obtaining, at ❑ BUYER ❑ SELLER expense, soil tests which indicate that the property may be
....... ........(Check one.} --------------
59. improved without extraordinary building methods or cost.
60. ❑ (g) Buyer obtaining approval of building plans and /or specifications in accordance with any recorded subdivision
61. covenants and approval of the architectural control committee.
62. ❑ (h) Buyer obtaining, at ❑ BUYER ❑ SELLER expense, copies of all covenants, reservations and restrictions
... .. ..........(Check one.). --------------
63. affecting the property.
64. (i) Other: r
65. I' �'' 1 2. P% ct
66, t'
67. Seller's expenses for these contingencies (if any) shall not exceed $
68. DEE ARKETABLE TITLE: Upon performance by Buyer, Seller shall deliver a
69. Warranty Deed or❑ Other: Deed joined in by spouse, if any, conveying marketable title, subject to
.............. ........... .................... (Check one.) ---------------------------------------
70. (a) building and zoning laws, ordinances, state and federal regulations;
71. (b) restrictions relating to use or improvement of the property without effective forfeiture provisions;
72. (c) reservation of any mineral rights by the State of Minnesota;
73. (d) utility and drainage easements which do not interfere with existing improvements;
74, (e) rights of tenants as follows (unless specified, not subject to tenancies):
75 and
76. (f) others (must be specified in writing):
77.
78.
MN:VLPA- 2'(10112)
lusta
VACANT LAND PURCHASE AGREEMENT
79. Page 3 Date 2A ) 1-
80. Property located at =] ID 2> () E L- �)
81. Seller shall pay on the date of closing all real estate taxes due and payable in all prior years including all penalties and
82. interest.
83. ❑ BUYER SHALL PAY ELLER SHALL PAY on date of closing any deferred real estate taxes
-------- -------- ----- --- --- ---- --------------(Check one.) ----------------------------------------------
84. (e,g. Green Acres) or special assessments, payment of which is required as a result of the closing of this sale.
85. ❑ BUYER AND SELLER SHALL PRORATE AS OF THE DATE OF CLOSING RSELLER SHALL PAY ON
....................... ---- ----------------------------------------- .. ---------------------- (Cheek one.) ---------------------------- ....-• ---------------------------------------- ............................
86. DATE OF CLOSING all installments of special assessments certified for payment, with the real estate taxes due and
87. payable in the year or closing.
88. ❑ BUYER SHALL ASSUME VSELLER SHALL PAY on date of closing all other special assessments levied as
.................. ...... . ... .. ...............(Check one.) ----------------------------------------------
89, of the date of this Purchase Agreem t.
90. ❑ BUYER SHALL ASSUME WrSELLER SHALL PROVIDE FOR PAYMENT OF special assessments pending as
.......... -...... -------------------------------------------------- (Check one.r ----------------------------------------------------------------------
91. of the date of this Purchase Agreement for improvements that have been ordered by any assessing authorities.
92. (Seller's provision for payment shall be by payment into escrow of two (2) times the estimated amount of the
93. assessments or less, as required by Buyer's lender.)
94. Buyer shall pay any unpaid special assessments payable in the year following closing and thereafter, the payment of
95. which is not otherwise herein provided.
96. As of the date of this Purchase Agreement, Seller represents that Seller ❑ HAS HAS NOT received a notice
.......... (Check one.) -•-••-•-•-• --
97. regarding any new improvement project from any assessing authorities, the costs of which project may be assessed
98. against the property. Any such notice received by Seller after the date of this Purchase Agreement and before
99. closing shall be provided to Buyer immediately. If such notice is issued after the date of this Purchase Agreement and
100. on or before the date of closing, then the parties may agree in writing, on or before the date of closing, to pay, provide
101, for the payment of or assume the special assessments. In the absence of such agreement, either party may declare
102. this Purchase Agreement canceled by written notice to the other party, or licensee representing or assisting the other
103, party, in which case this Purchase Agreement is canceled. If either party declares this Purchase Agreement canceled,
104. Buyer and Seller shall immediately sign a Cancellation of Purchase Agreement confirming said cancellation and
10& directing all earnest mo_aey paid hereunder to be refunded to Buyer.
106. Buyer shall pay PRORATED FROM DAY OF CLOSING ❑ 12ths OF ❑ ALL ❑ NO real estate
- -- -------- -............... --- - -------------------------- (Check one') --------------------------------------------------------------------------------
107. taxes due and payable in the year 20 .
108. Seller shall pay, ` PRORATED TO DAY OF CLOSING ❑ 12ths OF [] ALL ❑ NO real estate taxes
......................................•---------- ---•-•-•--•-•-(Check one. ) -...........---- - - - - --
--------------------------------------------------
109. due and payable in the year 20 ._ . If the closing date is changed, the real estate taxes paid shall, if prorated,
110, be adjusted to the new closing date.
111. Buyer shall pay real estate taxes due and payable in the year following closing and thereafter, the payment of which
112, is not otherwise herein provided. No representations are made concerning the amount of subsequent real estate
113. taxes.
114. POSSESSION: Seller shall deliver possession of the property no later than X mMe-cl",-tAe after closing.
115. Seller-agrees to remove ALL DEBRIS AND ALL PERSONAL PROPERTY NOT INCLUDED HEREIN fr m the property
116. by possession date.
117. PRORATIONS. All interest; unit owners' association dues; rents; and charges for city water, city sewer, electricity and
118. natural gas shall be prorated between the parties as of date of closing. Buyer shall pay Seller for remaining gallons of
119. fuel oil or liquid petroleum gas on the day of closing, at the rate of the last fill by Seller.
MN:VLPA -3 (14112)
zprsta
VACANT LAND PURCHASE AGREEMENT
120. Page 4 Date
121. Property located at
122. TITLE AND EXAMINATION: Within a reasonable time period after Final Acceptance of this Purchase Agreement,
123. Seller shall provide one of the following title evidence options, at Seller's selection, which shall include proper searches
124. covering bankruptcies, state and federal judgments and liens, and levied and pending special assessments to Buyer
125. or Buyer's designated title service provider:
126. (1) A commitment for an owner's policy of title insurance on a current ALTA form issued by an insurer licensed to write
127. title insurance in Minnesota as selected by Buyer. Seller shall be responsible for the title search and exam costs
128. related to the commitment. Buyer shall be responsible for all additional costs related to the issuance of the title
129. insurance policy(ies), including but not limited to the premium(s), Buyer's name search and plat drawing, if any.
130. Seller shall surrender a copy of any owner's title insurance policy and Abstract of Title, if in Seller's possession or
131. control, for this property to Buyer or Buyer's designated title service provider.
132. (2) An Abstract of Title certified to date if Abstract Property or a Registered Property Abstract (RPA) certified to date
133. if Registered (Torrens) property. Seller shall pay for the abstracting or RPA costs and surrender any abstract for
134. this property in Seller's possession or control to Buyer or Buyer's designated title service provider. If property is
135. Abstract and Seller does not have an Abstract of Title, Option (1) will automatically apply.
136. Seller shall use Seller's best efforts to provide marketable title by the date of closing. In the event that Seller has not
137, provided marketable title by the date of closing, Seller shall have an additional 30 days to make title marketable or, in
138. the alternative, Buyer may waive title defects by written notice to Seller. In addition to the 30 -day extension, Buyer
139. and Seller may by mutual agreement further extend the closing date. Lacking such extension, either party may declare
140. this Purchase Agreement canceled by written notice to the other party, or licensee representing or assisting the other
141. party, in which case this Purchase Agreement is canceled. If either party declares this Purchase Agreement canceled,
142. Buyer and Seiler shall immediately sign a Cancellation of Purchase Agreement confirming said cancellation and
143, directing all earnest money paid hereunder to be refunded to Buyer.
144. SUBDIVISION OF LAND: If this sale constitutes or requires a subdivision of land owned by Seller, Seller shall pay all
145. subdivision expenses and obtain all necessary governmental approvals. This provision deals with the necessity of
146. subdividing land to complete the sale of the property described herein in contrast to the subdivision provision of lines
147. 54 -55 which deals with the future development plans of Buyer. Seller warrants the legal description of the real property
148. to be conveyed has been or shall be approved for recording as of the date of closing. Seller warrants that there is a
149. right of access to the property from a public right of way. These warranties shall survive the delivery of the deed or
150. contract for deed.
151. MECHANIC'S LIENS: Seller warrants that prior to the closing, payment in full will have been made for all labor,
152. materials, machinery, fixtures or tools furnished within the 120 days immediately preceding the closing.
153. NOTICES: Seller warrants that Seller has not received any notice from any governmental authority as to condemnation
154. proceedings or violation of any law, ordinance or regulation. If the property is subject to restrictive covenants, Seller
155. warrants that Seller has not received any notice from any person or authority as to a breach of the covenants. Any
156. such notices received by Seller shall be provided to Buyer immediately.
157. DIMENSIONS: Buyer acknowledges any dimensions, square footage or acreage of land or improvements provided
158. by Seller, third party, or broker representing or assisting Seller are approximate. Buyer shall verify the accuracy of
159. information to Buyer's satisfaction, if material, at Buyer's sole cost and expense.
160. ACCESS: Seller agrees to allow Buyer reasonable access to the property for performance of any surveys, inspections
161. or tests or for water, sewer, gas or electrical service hookup as agreed to herein. Buyer shall restore the premises to
162, the same condition it was in prior to the surveys, inspections or tests and pay for any restoration costs relative thereto.
163. RISK OF LOSS: If there is any loss or damage to the property between the date hereof and the date of closing for
164. any reason, including fire, vandalism, flood, earthquake or act of God, the risk of loss shall be on Seller. If the property
165. is destroyed or substantially damaged before the closing date, this Purchase Agreement is canceled, at Buyer's
166. option, bywritten notice to Seller or licensee representing or assisting Seller. If Buyer cancels this Purchase Agreement,
167. Buyer and Seller shall immediately sign a Cancellation of Purchase Agreement confirming said cancellation and
168. directing all earnest money paid hereunder to be refunded to Buyer.
169. TIME OF ESSENCE: Time is of the essence in this Purchase Agreement.
MN:VLPA -4 (10112)
%gS�s9lJ
VACANT LAND PURCHASE aAGREEMENT
170. Page 5 Date _ 1 ��-
171. Property located at 0 -
172. ENTIRE AGREEMENT: This Purchase Agreement, any attached exhibits and any addenda or amendments signed
173. by the parties shall constitute the entire agreement between Buyer and Seller and supersedes any other written or
174. oral agreements between Buyer and Seller. This Purchase Agreement can be modified or canceled only in writing
175. signed by Buyer and Seller or by operation of law. The parties agree the electronic signature of any party on any
176. document related to this transaction constitute valid, binding signatures. All monetary sums are deemed to be United
177. States currency for purposes of this Purchase Agreement. Brayer or Seller may be required to pay certain closing
178. costs, which may effectively increase the cash outlay at closing or reduce the proceeds from the sale.
179. FINAL ACCEPTANCE: To be binding, this Purchase Agreement must be fully executed by both parties and a copy
180, must be delivered.
181. CALCULATION OF DAYS: Any calculation of days begins on the first day (calendar or Business Days as specified)
182, following the occurrence of the event specified and includes subsequent days (calendar or Business Days as specified)
183, ending at 11:59 P.M. on the last day.
184. BUSINESS DAYS: `Business Days" are days which are not Saturdays, Sundays or state or federal holidays unless
185. stated elsewhere by the parties in writing.
186. DEFAULT: If Buyer defaults in any of the agreements herein, Seller may cancel this Purchase Agreement, and any
187. payments made hereunder, including earnest money, shall be retained by Seller as liquidated damages and Buyer
188. and Seller shall affirm the same by a written cancellation agreement.
189. If Buyer defaults in any of the agreements hereunder, Seller may terminate this Purchase Agreement under the
190. provisions of MN Statute 559.21. If either Buyer or Seller defaults in any of the agreements hereunder or there exists
191. an unfulfilled condition after the date specified for fulfillment, either party may cancel this Purchase Agreement under
192. MN Statute 559.217, Subd. 3. Whenever it is provided herein that this Purchase Agreement is canceled, said language
193. shall be deemed a provision authorizing a Declaratory Cancellation under MN Statute 559.217, Subd. 4.
194. If this Purchase Agreement is not canceled or terminated as provided hereunder, Buyer or Seller may seek actual
195. damages for breach of this Purchase Agreement or specific performance of this Purchase Agreement; and, as to
196. specific performance, such action must be commenced within six (6) months after such right of action arises.
197• NOTICE REGARDING AIRPORT ZONING REGULATIONS: The property may be in or near an airport safety zone
198. with zoning regulations adopted by the governing body that may affect the property. Such zoning regulations are
199. filed with the county recorder in each county where the zoned area is located. If you would like to determine if such
200, zoning regulations affect the property, you should contact the county recorder where the zoned area is located.
201. NOTICE REGARDING PREDATORY OFFENDER INFORMATION: Information regarding the predatory offender
202. registry and persons registered with the predatory offender registry under MN Statute 243.166 may be
203, obtained by contacting the local law enforcement offices in the community where the property is located
204. or the Minnesota Department of Corrections at (651) 361 -7200, or from the Department of Corrections web
205, site at www.corr.state.mn.us.
206. SPECIAL DISCLOSURES: Seller discloses, to the best of Seller' knowledge, that the property described in this
207. Purchase Agreement consists of approximately � [NACRES ❑ SQUARE FEET and is currently zoned
•--- •-- - - - - -- - Check one.
- - - -- ( ------------------
208. 12 D
209. Seller discloses, to the best of Seller's knowledge, that the property ❑ IS IS NOT in a designated flood plain
(Check one.} ------
210. area.
211. Seller discloses, to the best of Seller's knowledge, that the property ❑ DOES DOES NOT currently receive
----------------- (Check one...-.-.-.--- - --
212. preferential tax treatment (e.g. Green Acres).
213. Seller certifies that any and all leases applicable to the property in effect as of the date of this Purchase Agreement
214. are terminable on or before the date of closing as specified in this Purchase Agreement.
MN:VLPA -5 (10/12)
VACANT LAND PURCHASE AGREEMENT
215, Page 6 Date°
216, Property located at
217 ENVIRONMENTAL CONCERNS. To the best of the Seller's knowledge there are no hazardous substances or
218. underground storage tanks, except where herein noted.
219.
220.
221.
222, PLEASE NOTE: Buyer may incur additional charges improving the property, including, but not limited to, hookup and/
223, or access charges; municipal charges; costs for sewer access, stubbing access, water access, park dedication, road
224. access, curb cuts, utility connection and connecting fees; and tree planting charges.
225. SELLER CERTIFIES, TO THE BEST OF SELLER'S
226. PRESENTLY EXIST WITHIN THE PROPERTY:
227. Connection to public water?
228. Connection to public sewer?
229. Connection to private water system off property?
2.'30. Connection to electric utility?
KNOWLEDGE, WHETHER ANY OF THE FOLLOWING
Y ❑No
Yes ❑ No
❑
o
Yes ❑ No
231. (Check appropriate boxes.)
232, SELLER WARRANTS THAT THE PROPERTY IS EITHER DIRECTLY OR INDIRECTLY CONNECTED TO:
233. SUBSURFACE SEWAGETREATMENT SYSTEM
234. SELLER CERTIFIES THAT SELLER ❑ DOES DOES NOT KNOW OF A SUBSURFACE SEWAGE TREATMENT
-- - - - --- --(Check one.} --------------
235. SYSTEM ON OR SERVING THE PROPERTY. (If answer is DOES, and the system does not require a state permit,
236. see Subsurface Sewage Treatment System Disclosure Statement.)
237, PRIVATE WELL
238. SELLER CERTIFIES THAT SELLER ❑ DOES VDOES NOT KNOW OF A WELL ON OR SERVING THE
.-- °-- --.....--(Check one.} ---------------
239. PROPERTY. (If answer is DOES and well is located on the property, see Well Disclosure Statement.)
240. THIS PURCHASE AGREEMENT ❑ IS IS NOT SUBJECT TO A SUBSURFACE SEWAGE TREATMENTSYSTEM
• - -- (Check one. } - - - - --
241. AND WELL INSPECTION CONTINGENCY ADDENDUM, (if answer is IS, see attached Addendum.)
242 IF A WELL OR SUBSURFACE SEWAGE TREATMENT SYSTEM EXISTS ON THE PROPERTY, BUYER HAS
243. RECEIVED A WELL DISCLOSURE STATEMENT AND /OR A SUBSURFACE SEWAGE TREATMENT SYSTEM
244. DISCLOSURE STATEMENT.
245, BUYER HAS THE RIGHT TO A WALK - THROUGH REVIEW OF THE PROPERTY PRIOR TO CLOSING TO
246, ESTABLISH THAT THE PROPERTY IS IN SUBSTANTIALLY THE SAME CONDITION AS OF THE DATE OF THIS
247. PURCHASE AGREEMENT.
248. BUYER HAS RECEIVED A (check any that apply): ❑ VACANT LAND DISCLOSURE STATEMENT OR A
249. ❑ SELLER'S DISCLOSURE ALTERNATIVES FORM.
250. DESCRIPTION OF PROPERTY CONDITION: See Vacant Land Disclosure Statement or Seller's Disclosure
251. Alternatives for description of disclosure responsibilities and limitations, if any.
252, BUYER HAS RECEIVED THE INSPECTION REPORTS, IF REQUIRED BY MUNICIPALITY.
253. BUYER ACKNOWLEDGES THAT NO ORAL REPRESENTATIONS HAVE BEEN MADE REGARDING THE
254. CONDITION OF THE PROPERTY.
MN:VLPA -6 (10112)
.f+tlsfs�tr;
VACANT LAND PURCHASE AGREEMENT
255. Page 7 Date ��-
256, Property located at
257. h NOTICE
258 L)�� is ❑ Seller's Agent Buyer's Agent ❑ Dual Agent ❑ Facilitator.
, ... - ---•- Check one. - ---- -•- --- ...
( Licensee) ... ................ ....... .. .. . . .. ( } ...... ......_
259.
(deaf Estate company Name)
260,
261
262,
(Licensee)
(Real Estate Company Name)
is ❑ Seller's Agent r] Buyer's Agent ❑ Dual Agent ❑ Facilitator.
-- • (Check one . ) ... ...... ------------------ ...................
THIS NOTICE DOES NOT SATISFY MINNESOTA STATUTORY AGENCY DISCLOSURE REQUIREMENTS.
263. DUAL AGENCY REPRESENTATION
264. PLEASE CHECK ONEOFTHE FOLLOWING SELECTIONS:
265. X Dual Agency representation DOES NOT apply in this transaction. Do not complete lines 266 -282
266. ❑ Dual Agency representation DOES apply in this transaction. Complete the disclosure in lines 267 -282.
267. Broker represents both the Seller(s) and the Buyer(s) of the property involved in this transaction, which creates a
268. dual agency. This means that Broker and its salespersons owe fiduciary duties to both Seller(s) and Buyer(s). Because
269. the parties may have conflicting interests, Broker and its salespersons are prohibited from advocating exclusively for
270, either party. Broker cannot act as a dual agent in this transaction without the consent of both Seller(s) and Buyer(s).
271. Seller(s) and Buyer(s) acknowledge that
272. (1) confidential information communicated to Broker which regards price, terms or motivation to buy or sell will
273. remain confidential unless Seller(s) or Buyer(s) instructs Broker in writing to disclose this information. Other
274. information will be shared;
275. (2) Broker and its salespersons will not represent the interest of either party to the detriment of the other; and
276. (3) within the limits of dual agency, Broker and its salespersons will work diligently to facilitate the mechanics of
277. the sale.
278. With the knowledge and understanding of the explanation above, Seller(s) and Buyer(s) authorize and instruct Broker
279, and its salesperson to act as dual agents in this transaction.
280. Seller Buyer
281, Seller Buyer
282, Date Date
283. OTHER:
284,
285.
286.
287.
288.
289.
290.
291.
MN:VLPA -7 (113112)
I'lastalAt
VACANT LAND PURCHASE AGREEMENT
292. Page 8 Date
293. Property located at
294. ADDENDA AND PAGE NUMBERING: Attached addenda are a part of this Purchase Agreement.
295. Enter total number of pages of this Purchase Agreement, including addenda, on line two (2) of page one (1).
296. NOTE: Disclosures and optional Arbitration Agreement are not part of this Purchase Agreement and should
297. not be part of the page numbering.
298. 1, the owner of the property, accept this Purchase I agree to purchase the property for the price and on
299. Agreement and authorize the fisting broker to withdraw the terms and conditions set forth above.
300, said property from the market, unless instructed otherwise I have reviewed all pages of this Purchase
301. in writing. Agreement.
302. 1 have reviewed all pages of this Purchase Agreement.
303. ❑ If checked, this Agreement is subject to attached
304. Counteroffer Addendum.
305. X,
;Seller's Signature)
306. X
(Seller's Printed Name)
307. X
(Marital Status)
(Date)
X
uyer's Signature) (Date)
X
(Buyer's Printed Name)
X
(Marital Status)
308. X X (Date)
(Seller's Signature) (Date) (Buyer's Signature)
309. X X
(Seller's Printed Name) (Buyer's Printed Name)
310. X X
(Marital Status) (Marital Status)
311, FINAL ACCEPTANCE DATE: The Final Acceptance Date
312. is the date on which the fully executed Purchase Agreement is delivered.
313. THIS IS A LEGALLY BINDING CONTRACT BETWEEN BUYER(S) AND SELLER(S).
314, IFYOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL.
315. 1 ACKNOWLEDGETHAT l HAVE RECEIVED AND HAVE HADTHE OPPORTUNITYTO REVIEWTHE ARBITRATION
316. DISCLOSURE AND RESIDENTIAL REAL PROPERTY ARBITRATION AGREEMENT, WHICH IS AN OPTIONAL,
317. VOLUNTARY AGREEMENT AND IS NOT PART OF THIS PURCHASE AGREEMENT,
318. SELLER(S) BUYER(S)
319, SELLER(S) BUYER(S)
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October 1, 2012
Table of Contents
PP3gr8O1Objectives ............................................................................. 3
Application Requirements .................................................................. 3
Builder Selection Criteria .................................................................... 3-4
House Design and Site Development Requirements ...................... 4-5
City Review Procedure ......................................................................... 5
LotSale ................................................................................................... 5-6
Building Permit Process ........................................................................ 6
�
Data Privacy .......--..^.^..^..—_...^^...---......,,--_,..,,
Note: The EDA does not pay Broker or Finders Commissions and has the right tO
reject any proposal.
2
This document is a guidance tool for this program and is not a contractual
agreement. The Columbia Heights Economic Development Authority (EDA) may
modify or divert from these guidelines at their discretion.
Program Objectives
1. To remove substandard, functionally obsolete housing on scattered sites
throughout the City and replace with new, higher- valued housing.
2. To eliminate blighting influence of substandard housing, thus improving
residential neighborhoods.
3. To alleviate the shortage of housing choices for families.
4. To facilitate the construction of larger, owner - occupied homes designed for
families.
These objectives will be achieved through the sale of the lots by the EDA to
builder /buyer teams for the development of newly constructed homes.
Application Requirements
The following must be submitted for application to the program:
1. Application form.
2. Representative example of a house you would build on the lot
a. Approximate size
b. Approximate location
c. Quality and features you would anticipate on this lot
d. A specific house plan would be determined after a proposal is
tentatively accepted by the EDA.
3. Examples of other houses you have built in Minnesota.
4. Sample of construction timeline.
5. Financial capability statement.
Builder Selection Criteria
1. Licensed as a Residential Building Contractor by the State of Minnesota.
Proposals submitted by parties not licensed as a contracted will not be
considered by the EDA.
2. Provide proof of Builders risk, comprehensive general liability, and worker's
compensation insurance coverage, if requested by the EDA.
3. Provide references from previous customers, suppliers and inspectors, if
requested by the EDA.
3
4. Be capable of closing on the lot purchase(s) within two months of the EDA
approving the purchase agreement.
5. Show financial capability to complete the home construction through a line
of credit, construction loan etc.
6. Be capable of completing the house construction within 18 months after
the sale of the lot.
House Design and Site Development Requirements
The development of all these sites is subject to the City of Columbia Heights
Zoning Code and the development criteria below, as reviewed and approved by
the EDA. Housing design is a significant element to this program. The design
requirements were created to respond to specific concerns of the EDA and to
build homes that blend in with the surrounding neighborhood.
A. New House Standards
a. Minimum foundation size of 1,020 square feet
b. New dwellings must be owner - occupied by way of deed restrictions
c. Minimum of three finished bedrooms are required
d. Minimum of one and one half bathrooms are required
e. Minimum of a two -stall garage is required 20'x20'
f. A full basement is required, unless the selected design is a split- level.
g. Exterior materials shall be low maintenance, the use of brick, stone
and /or stucco is encouraged.
h. Principal structure setbacks are as follows: front setback is 25 feet,
side setback is 5 feet, corner side setback is 10 feet and rear setback
is 20% of lot depth.
i. All houses must meet or exceed Minnesota Energy Code
requirements
j. Houses must present a balanced distribution of wall, door and
window area from all views.
B. Site Standards
a. After construction the site must be fully landscaped. The entire
grounds shall be landscaped and be aesthetically pleasing in all
seasons. To the greatest extent possible, existing trees should be
preserved. Best efforts shall be made to replace any removed trees
and should be shown on a landscape plan.
4
b. Site drainage shall be approved by the City Engineer. Neighboring
properties must not be affected by creation of drainage swales. All
drainage should be accommodated on site so that water is directed
away from the new Douse and neighboring properties.
c. All air conditioning units must be located in the backyard, unless
otherwise approved by the EDA.
d. A hard surface driveway is required to the garage. The driveway shall
be accessed from the alley when applicable.
e. Lot coverage is determined by the zoning ordinance.
EDA Review Process
1. Applicant submits application and drawings to EDA staff.
2. EDA staff presents all applications to the EDA at their next available
meeting.
3. At the EDA meeting, EDA preliminarily selects builder, subject to public
hearing and negotiation of purchase and redevelopment agreement. EDA
staff will then work with the builder to prepare detailed house plans for the
lot. The EDA has total discretion regarding whether to reject or accept a
proposal. The EDA sets a public hearing date.
4. At its next meeting the EDA holds a public hearing and consider a resolution
authorizing the sale of the lot to the builder for construction of the house
shown in the detailed plans, and approving purchase and redevelopment
agreement.
5. No later than 10 days after the public hearing, the builder must sign the
purchase and redevelopment agreement and pay $2,000 nonrefundable
earnest money for the lot.
6. No later than two months after signing the purchase and redevelopment
agreement, the builder must close on the sale of the lot.
7. No later than 18- months after closing the builder must complete
construction of the house.
Lot Sale
1. The EDA will prepare all statements, affidavits, documents and general
release forms required for closing.
2. The EDA conveys the property to the builder by Quit Claim Deed, subject to
right of reverter if builder fails to comply with purchase and redevelopment
5
agreement. EDA agree to reasonable terms of subordination of this right of
reverter, negotiated with first mortgage lender.
3. At closing the builder will provide the EDA a Letter of Credit or cash escrow
for $10,000.
4. Upon completion of the project, the Letter of Credit or cash escrow is
released to the builder. A Certificate of Completion is executed by the EDA.
Building Permit Process
1. A building permit application is required with two full plan sets
2. Two site plan /surveys are required along with building elevations, drainage
patterns and easements, floor plan, cross sections and energy calculations.
3. Separate mechanical, plumbing, electrical, water and sewer permits are
required.
4. The builder may apply for the building permit once the redevelopment
agreement has been signed, but the permit will not be issued until a
successful closing has taken place.
5. Questions regarding building permit forms, fees, inspections, plans etc.
should be directed to the Community Development Department 763 -736 -
3678. The Building Official and EDA staff will review all plans for
conformance to these guidelines as approved by the EDA.
Data Privacy
1. All information secured through the program is subject to the Data Privacy
Act. The name of each proposer will be public once the responses are
opened, but the application materials will be private /confidential until EDA
has approved a purchase and redevelopment agreement with selected
builder. After that, all application materials (including from the builder
selected and from those not selected) will be public data (except for any
"trade secrets" as defined by law).
0