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HomeMy WebLinkAbout2017-28282017 -2828 MAINTENANCE AGREEMENT THIS MAINTENANCE AGREEMENT ( "Agreement ") is made on this 27th day of November, 2017, by and between Columbia Heights Leased Housing Associates III, LLLP, a Minnesota limited liability limited partnership ( "Owner ") and the City of Columbia Heights, a municipal corporation under the laws of the State of Minnesota (the "City ") (Owner and City are sometimes hereinafter, collectively, the "Parties "). WITNESSETH: WHEREAS, the Parties have entered into a Development Contract for Grand Central Flats (the "Development Contract ") dated as the 27th day of November, 2017, relating to the construction and development of a multi - family apartment complex by Owner, on the real property owned by Owner, located at 1069 Grandview Way and 4729 Grand Avenue NE, Columbia Heights, Minnesota and legally described on Exhibit A attached hereto (the "Property "); WHEREAS, pursuant to the Development Contract, certain on- street parking will be located along the eastern side of Grand Avenue Northeast between 47th Avenue Northeast and Grandview Court Northeast, in the location depicted and identified as "Fourteen (14) Parallel Parking Stalls" on Exhibit B attached hereto (the "Street Parking "), and Owner will be responsible for the maintenance and repair to, and snow removal from, such Street Parking; and WHEREAS, pursuant to the Development Contract, the Parties have agreed to enter into this Agreement, to provide for such maintenance and repair to, and snow removal from, the Street Parking in accordance with the terms and conditions of this Agreement. NOW, THEREFORE, in consideration of the mutual promises of the Parties hereto and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties hereto agree as follows: 1. Design and Construction. Owner, at Owner's sole cost and expense, will be responsible for the design, construction and installation of the Street Parking, in accordance with the "Development Plans" (as that term is defined within the Development Contract) or as otherwise approved in writing by the City. Owner shall obtain all permits and approvals that are required by the City in connection with the construction and installation of the Street Parking, and the City shall inspect the work to confirm that it is in conformity with City street parking standards. 2. Maintenance. Once the Street Parking has been constructed, and during the term of this Agreement, Owner will be responsible, at its sole cost and expense, for the routine maintenance, repair, replacement and restoration of the Street Parking. Without limiting any of the foregoing, specifically included in Owner's obligations under this section related to the Street Parking are snow removal, asphalt and curb repair and replacement, striping and restriping of parking spaces, and the maintenance of any signs within or serving the Street Parking. 3. License. The City hereby grants Owner, its assigns, contractors and employees, a license to access the Street Parking for purposes of carrying out its obligations under the terms of this Agreement. 4. Right to Perform. Without limiting any other provision of this Agreement, if Owner is in continuing default with respect to its obligations to maintain the Street Parking in accordance this Agreement, the City shall have the right, but not the obligation, to cure such default by the payment of money or the performance of some other action, subject to reimbursement of such expense by Owner; provided, that the City, acting in good faith, shall have the right to cure such default upon such advance notice to the Owner as is reasonably possible under the circumstances or, if necessary in the case of emergency, without advance notice, so long as notice is given as soon as possible thereafter. In the event the City shall cure a default, the Owner shall reimburse the City for all reasonable out -of- pocket costs and expenses incurred in connection with such curative action, plus (i) ten percent (10 %) thereof as compensation for administration, overhead and other non - out -of- pocket costs, and (ii) interest at the an interest rate equal to the lesser of (y) the "Prime Rate" in the Wall Street Journal under the heading Money Rates, plus 4 %, and (z) the maximum lawful rate of interest, within ten (10) days of receipt of demand, together with reasonable documentation supporting the expenditures made. In the alternative, the City may in whole or in part, specially assess against the Property any of the costs and expenses incurred by the City under this Section; and the Owner hereby waives any and all procedural and substantive objections to the performance of the City's work hereunder and the special assessment resulting therefrom. 5. Notices. All notices required or permitted to be given hereunder shall be given in writing. A notice or other communication shall be deemed to have been given and shall be effective, (i) if delivered by hand, when physically received by the party to whom notice is being delivered, or upon such party's refusal to accept delivery, or (ii) if delivered by an overnight delivery service or by United States certified mail, on the date such notice or other communication is deposited with the overnight delivery service or deposited in the U.S. mail postage prepaid addressed to the other party, whichever occurs earlier. As of the date of this Agreement, the notice addresses for the Parties are as follows: City: City of Columbia Heights Attention: City Manager 590 40th Avenue N.E. Columbia Heights, MN 55421 Owner: Columbia Heights Leased Housing Associates III, LLLP c/o Owen Metz, Authorized Representative 2905 Northwest Blvd., Suite 150 Plymouth, Minnesota 55441 with copy to: Winthrop and Weinstine Attn: John Nolde 225 South Sixth Street, Suite 3500 Minneapolis, MN 55402 6. Successors and Assigns. The obligations of Owner hereunder shall run with the Property. This Agreement shall be binding upon and inure to the benefit of Owner and the City and their respective successors and assigns. 7. Severability. If any provision of this Agreement is invalid or unenforceable, such provision, if feasible, shall be deemed to be modified to be within the limits of enforceability or validity; if, however, the offending provision cannot be so modified, it shall be stricken and all other provisions of this Agreement in all other respects shall remain valid and enforceable. 8. Headings. The paragraph headings or captions appearing in this Agreement are for convenience only, are not a part of this Agreement and are not to be considered in interpreting this Agreement. 9. Entire Agreement; Amendment. This Agreement, including the Exhibits, contains the entire agreement between the parties pertaining to the subject matter hereof and fully supersedes all prior written or oral agreements and understandings between the parties pertaining to such subject matter. This Agreement shall not be modified, amended, supplemented or revised, except by a written document signed by both parties. 10. Recitals /Exhibits. The above recitals are true and correct and constitute an integral part of this Agreement. All exhibits referred to in and attached to this Agreement are incorporated in and made a part of this Agreement. 11. Controlling Law. This Agreement shall be construed, performed and enforced in accordance with the laws of the State of Minnesota. 12. Counterpart Signatures. This Agreement may be executed simultaneous in two or more counterparts, each of which shall be deemed an original, and all of which together shall constitute on and the same instrument. [Signatures to appear on following page] IN WITNESS WHEREOF, the parties have executed this Maintenance Agreement as of November 27, 2017. CITY: CITY OF COLUMBIA HEIGHTS a Minnesota municipal corporation By: k �' ��l Donna Schmitt, Mayor '0� By. i , Walter Fehst, City Manager STATE OF MINNESOTA ) ) ss. COUNTY OF ANOKA ) The foregoing instrument was acknowledged before me this �W day of November, 2017, by Donna Schmitt and by Walter Fehst, respectively being the Mayor and City Manager of the City of Columbia Heights, a Minnesota municipal corporation, who executed the foregoing instrument on behalf of said municipal corporation. 211 Notary Public °b SHELLEY SUE HMSON :. NO'ARY PUBLIC - MINNESOTA My Comm'ss'On r �PI� es Jan. 31, 2021 IN WITNESS WHEREOF, the parties have executed this Maintenance Agreement as of November 27, 2017. OWNER: COLUMBIA HEIGHTS LEASED HOUSING ASSOCIATES III, LLLP a Minnesota limited liability limited partnership By: Columbia Heights Leased Housing Associates III, LLC a Minnesota limited liability company Its: General Partner By: Name: Owen Metz Its: Authorized Representative STATE OF MINNESOTA ) �-� Z nrt ss. COUNTY OF "' ) The foregoing instrument was acknowledged before me this 21 s e day of November 2017, by Owen Metz, the Authorized Representative of Columbia Heights Leased Housing Associates III, LLC, a Minnesota limited liability company, which is the General Partner of Columbia Heights Leased Housing Associates III, LLLP, a Minnesota limited liability limited partnership, who executed the foregoing instrument on behalf of said limited liability limited partnership. $ PERRY J KOCH Ta3RY PUBLIC MINNESOTA ", 4 Ec m inn EgAMJan_ 3'' 2022 Notary Public THIS INSTRUMENT WAS DRAFTED BY: Barna, Guzy & Steffen Ltd. (TRW) 400 Northtown Financial Plaza 200 Coon Rapids Blvd. Coon Rapids, MN 55433 Telephone: (763) 780 -8500 EXHIBIT A LEGAL DESCRIPTION OF THE PROPERTY That certain real property in Anoka County, Minnesota, legally described as follows: Parcel 1: Lots 1 and 2, Block 1, Grand Central Lofts, according to the recorded plat thereof, Anoka County, Minnesota. Parcel 2: Outlot A, Grand Central Lofts, according to the recorded plat thereof, Anoka County, Minnesota. Abstract Property EXHIBIT B DEPICTION OF PARKING AREA See attached on the following page. a8 ■ x N 02 mc�< €w s Q t ]t�3;4aa� 61��sb��p�ps$at��ia�a „ �gprE�tg {�g�s � g qQq t @aR;$ §� �ar�Ea'Sitf 3E: •S. 9l���8g9�� � � k 3 m `I 0 5 X33 °e Wigg: HMI 7 . i Rt I m� - LL, r r2 -6 W N o 3 g m m � I t mg U w c �? R f�j alto p� N i< V ��a La . 4 C) 0 COO ti CD C%4 CD -M E O Cf) 0 Z 4:T LL. Cf) F , r CL 0 LU W QQ CO