92-065 - 08-04 Authorize 700 Winnetka Ave N Street Improvements to Winnetka AveResolution 92-65
August 4, 1992
Member Stockman introduced the following resolution and moved its adoption:
RESOLUTION AUTHORIZING THE ACQUISITION OF THE POST OFFICE BUILDING AT
700 WINNETKA AVENUE NORTH IN ORDER TO PROVIDE ADDITIONAL RIGHT-OF-WAY
FOR STREET IMPROVEMENTS TO WINNETKA AVENUE
WHEREAS, the City of Golden Valley is cooperating with Hennepin County in
the reconstruction of Winnetka Avenue from Harold Avenue to Orkla Drive; and
WHEREAS, under an agreement with Hennepin County the City will acquire the
necessary street right-of-way to undertake this project; and
WHEREAS, it is necessary, desirable and in the public interest for the City
to acquire the post office building and property at 700 Winnetka Avenue North to
carry out the improvements to Winnetka Avenue; and
WHEREAS, The City has had the post office property appraised in order to
determine its fair market value by a qualified independent professional real
estate appraiser, who has completed a written report documenting said value; and
NOW, THEREFORE, BE IT RESOLVED, by the City Council for the City of Golden
Valley:
1. That it approves acquisition of the building and property described on
the attached Purchase Agreement, that the attached Purchase Agreement is
approved and the City Manager is authorized to execute it on behalf of the City
Council and take all necessary action to carry out its terms.
2. That the City Council hereby certified the market value of said
property legally described as follows to be $250,000:
Lot 39, Auditor's Subdivision No. 360, Hennepin County, Minnesota
BE IT FURTHER RESOLVED that the acquisition of the above-described real
estate is necessary and described, and the purpose aforesaid for which said
property is to be acquired is a property and necessary public purpose.
ATTEST:
S'hir-ley J is n, City Clerk
The motion for the adoption of the foregoing resolution was seconded by Member
Thompson, and upon a vote being taken thereon, the following voted in favor
thereof: Bakken, Johnson, Russell, Stockman and Thompson; and the following
voted against the same: none, whereupon said resolution was declared duly passed
and adopted, signed by the Mayor and his signature attested by the City Clerk.
Resolution 92-';5 - Continued
COMMERCUL NDUSTRIAL
PURCHASE AGREEMENT
ibis form approved by the Minneapolis Area Association of nEALTOns". Minneapolis
ID AFF a Association of nEALTWS1° disclaims any liability arising out of use or misuse of
REALTOR this form.
Golden Vail
RECEIVED OF 'The City of Golden Valley, Minnesota
the sum of Two 'Tliousand and no/100------------------
August 4, 1992
MN, August , 19 92
2,000.00 ) DOLLARS
check as earnest money and in part payment for the purchase of property
!chi:Tk, cash or note - tate which)
at 700 Winnetka Avenue North situated in the
County of Hennepin , State of Minnesota, and legally described as follows:
Lot 39, Auditor's Subdivision No. 360
together with following personal property: all buildings and fixtures and Seller's interest in all
leases of space of the property
all of which property the undersigned has this day sold to the Buyer for the sum of: Two Hundred Fifty Thousand
and no/100 -------- ($ 250,000. 00 ) DOLLARS, which the Buyer agrees to pay in the following manner:
Earnest money herein paid $ 2,000.00 and $ 248, 000.00 , cash, on Xl6XXX.IXXXXRRXX the
date of closingrt�txttetter cingxxlcovxxtxix�t�ttQ3crls' 1992
1. DEED/MARKETABLE TITLE: Subject to performance by the Buyer, die Seller agrees to execute and deliver a
Warranty Deed conveying marketable title to said premises subject only to the following exceptions:
(a) Building and zoning laws, ordinances, State and Federal regulations. (b) Restrictions relating to use or improvement of the premises without
effective forfeiture provision. (c) Reservation of anv minerals or mineral rights to the State of Minnesota. (d) Utility and drainage easements
which do not interfere with present improvements. (e) Rights of tenants as follows: United States Postal Service
2. REAI, ESTATE TA.YF.S. Real estate taxes due and payable in the year of closing shall be prorated between Seller and Buyer on a calendar
year basis to the actual date of closing unless otherwise provided in this Agreement. Real estate taxes payable in the years prior to closing
shall be paid by Seller. Real estate taxes payable in the years subsequent to closing shall be paid by Buyer. *See attached
Addendum.
3. SPECIAL ASSESSMENTS. [Strike out one.] BUYER AND SELLER SHALL PRORATE AS OF THE DATE OF CLOSING /
SELIXMNIUMY� = on the date of closing all installments of special assessments certified for payment with the real estate taxes due
and payable in the year of closing.
[Strike out one.1 BUYER SHALL ASSUME l' ill other special assessments levied
as of die date of this Agreement.
[Strike out one.] BUYER SHALL ASSUME XXX special assessments pending as
of die date of this Agreement for improvements that have been ordered by the City Council or other governmental assessing authorities.
(Seller's provision for payment shall be by payment into escrow of 11/z times die estimated amount of the assessments.)
If a special assessment bccornes pending after the date of this Agreement and before the date of closing, Buyer may, at Buyer's option:
(a) Assume payment of the pending special assessment without adjustment to die purchase price; or (b) Require Seller to pay the pending
special assessment (or escrow (l)r payment of same a sum equal to 11/2 times the projected pending assessment) and Buyer shall pay a
commensurate increase in the purchase price of the property, which increase shall be die same as the estimated amount of the assessment;
or (c) Declare this Agreement null and void by notice to Seller, and earnest money shall be refunded to Buyer.
Seller shall pay on date of closing any deferred real estate taxes or special assessments payment which is required as a result of the closing
of this sale.
-t. PRORATIONS. All items customarily prorated and adjusted in connection with the closing of the sale of the property herein including
but not limited to rents, operating expenses, interest on any debt assumed by Buver, shall be prorated as of the date of closing. It shall
be assumed that the Buyer will own the property for the entire date of the closing.
5. DAMAGES 1`0 REAL PROPERTY. If there is any loss or damage to the property between the date hereof and the date of closing,
for any reason, the risk of loss shall be on the Seller. If the property is destroyed or substantially damaged before the closing, this Purchase
Resolution 92-5 - Continued August 4, 1992
C O MINI ERCIAL-INDUSTRIAL
03 PURCHASE AGREEMENT
EAUORt
Address 700 Winnetka Avenue North
Page 2
Agreement shall become null and void, at Buyer's option. Buyer shall have the right to terminate this Purchase Agreement within 30
clays after Seller notifies Buyer of such damage. Upon said termination, the earnest money shall be refunded to Buyer and Buyer and
Seller agree to sign a cancellation of purchase agreement.
0. GXAMINAI'R)N OF TITLE. Within a reasonable time after acceptance of this Agreement. Seller shall furnish Buyer with an Abstract
of Title or a Registered Property Abstract certified to date including proper searches covering bankruptcies and State and Federal judgments,
liens, and levied and pending special assessments. Buyer shall have 10 business days after receipt of the Abstract of Tide or Registered
Property Abstract either to have Buyer's attorney examine the tide and provide Seller with written objections or, at Buyer's own expense,
to make an application for a title insurance policy and notify Seller of the appliacation. Buyer shall have 10 business days after receipt
of the commitment for title insurance to provide Seller with a copy of the commitment and written objections. Buyer shall be deemed
to have waived any title objections not made within the applicable 10 day period set forth above, except that"this shall not operate as
a waiver of Seller's covenant to deliver a Wtrra, my Deed, unless a Warranty Deed is not specified above. If any objection is so made,
Seller shall have 10 business days from receipt of Buyer's written title objections to notify Buyer of Seller's intention to make tide marketable
within 120 days from Seller's receipt of such written objection. If notice is given, payments hereunder required shall be postponed pending
correction of title. but upon correction of title and within 10 days after written notice to Buyer the parties shall perform this Purchase
Agreement according to its terms. 11' no such notice is given or if notice is given but title is not corrected within the time provided for,
this Purchase Agreement shall be null and void, at option of Buyer; neither party shall be liable for damages hereunder to the other
and earnest money shall be refunded to Buyer; Buyer and Seller agree to sign cancellation of Purchase Agreement. If tide to the property
be found marketable or be so made widen said time, and Buyer shall default in any of the agreements and continue in default for a period
of 10 days, then and in that case the Seller may terminate this contract and on such termination all the payments made upon this contract
shall be retained by Seller and agent, as their respective interests may appear, as liquidated damages, time being of the essence. This
provision shall not deprive either party of the right to enforce the specifice performance of this contract provided this contract has not
been terminated and provided action to enforce such specific performance shall be commenced within six months after such right of action
shall arise.
7. POSSESSION. Seller shall deliver possession of the property on the date of closing.
8. REPRESENTATIONS AND WARRANTIES. See attached addendum.
9. TIME IS OF THE ESSENCE FOR ALL PROVISIONS OF THIS CONTRACT.
10. WELI, DISCLOSURE STATEMENT. Buyer has received the well disclosure statement required by Minnesota Statutes Sec. 1031.235.
BUYER AND SELLER INITIAL: Buyer(s) Seller(s)
11. ADDENDA. Attached are (number) 1 addenda which are made a part of this Agreement.
12. MISCELLANEOUS PROVISIONS.
(a) Survival. All of the warranties, representations, and covenants of this Agreement shall survive and be enforceable after the closing.
(b) Entire Agreement; Modification. This Agreement constitutes the complete agreement between the parties and supercedes any prior
oral or written agreements between the parties regarding the property. There are no verbal agreements that change this Agreement
and no waiver of any of its terms will be effective unless in a writing executed by the parties.
(c) Successors and Assigns. If this Agreement is assigned, all provisions of this Agreement shall be binding on successors and assigns.
13. ACCEPTANCE DEADLINE. This offer to purchase, unless accepted sooner, shall be null and void at 11:59 P.M.
August 10, 1992 , and in such event all earnest money shall be refunded to Buyer.
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TIIIS IS A LEGALLY BINDING CONTRACT. IF NOT UNDERSTOOD, SEEK COMPETENT ADVICE.
Tlated: August , 1992
Dated:
August 5 ,
1992
-c'LLER
BUYER
THE CITY OF
GOLDEN VALLEY, MINNESOTA
Raymond F. Lazaretti
SELLER
gUal= By
William S. Joynes
S'UxMW= Its City Manager
(41991 Minneapolis Area Assmiaiion 4 REALTORS' 1-91 OCR -210
Resolution 92-65 - Continued
August 4, 1992
ADDENDUM TO PURCHASE AGREEMENT
DATED AUGUST , 1992 BETWEEN
THE CITY OF GOLDEN VALLEY AND
RAYMOND LAZARETTI
1. Real Estate Taxes. Pursuant to the lease between the
Owner and United States Postal Service ("USPS"), the USPS is
required to pay the real estate taxes due and payable in the year
after the lease terminates (the "Tax"). Buyer hereby agrees to
pay to seller the sum of $11,279.84 in addition to the $250,000.00
purchase price in payment for the Seller's relinquishment of any
right to the Tax amount, and Seller agrees to assign to Buyer its
Right to said Tax.
2. Warranties. Seller warrants that buildings are
entirely within the boundary lines of the premises. Seller
warrants that all appliances, heating and air conditioning,
wiring and plumbing used and located on the premises are in
proper working order on date of closing. Buyer has right to
inspect premises prior to closing. Buyer shall satisfy itself at
its expense that all appliances, heating and air conditioning,
wiring and plumbing are in proper working order before closing.
Seller warrants that the premises are connected to city sewer and
city water.
3. Agency Disclosure. Both parties hereby stipulate that
no agent has been used in this transaction and that no real
estate commission shall be due from either party.
4. Hazardous Waste Contingency. This agreement is
contingent on Buyer's determination in its sole discretion that
the soils of the premises do not contain hazardous and/or toxic
wastes or other contaminants, such as oil, gas or petroleum
contamination, in levels which are unacceptable to Buyer.
However, (1) the Seller shall have the first opportunity it clean
up any soil contaminants to the satisfaction of the appropriate
State agencies (but such cleanup shall be completed on or before
date of Buyer's possession) and (2) if Seller fails to clean up
any such soil contaminants, Buyer in its sole discretion may
proceed to complete the purchase of the property contemplated by
this agreement at the purchase price set forth hereinabove
reduced by the reasonable cost of cleaning up such soil
contaminants to the satisfaction of the appropriate state
agencies. The reasonable cost of cleanup shall be determined by
agreement of the parties or, in lieu thereof, by three
arbitrators who are knowledgeable in the area, the arbitrators to
be chosen by agreement of the parties or, in such event the
parties cannot agree, by application to the Hennepin County
District Court.
Resolution 92-65 - Continued
August 4, 1992
5. City Council Approval Contingency. This Agreement is
contingent upon the City Council of Golden Valley approving the
terms of this Agreement.
The parties agree that immediately upon execution of this
agreement the Buyer shall have the right to go on the premises
and make all necessary soil boring, soil tests and so forth to
determine whether, and to what extent, any soil contaminants
exist thereon. All soil borings, soil tests and other
investigations and activities of Buyer to determine the existence
of soil contaminants shall be at Buyer's sole expense, and Buyer
shall indemnify Seller for, and hold Seller harmless from all
liabilities, including cost of defense and attorney's fees, all
claims, suits and damages including claims for mechanic's liens,
injury to person and property.
Dated: August , 1992 SELLER:
Raymond F. Lazaretti
Dated: August 5 , 1992 BUYER:
5576K
THE CITY OF GOLDEN VALLEY MINNESOTA
By
William S. Joynes
Its City Manager
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