HomeMy WebLinkAboutRESOLUTION NO. 2020-103 RESOLUTION 2020-103
RESOLUTION APPROVING PURCHASE OF PROPERTY COMMONLY
KNOWN AS 323 VANDERBILT STREET, FAIRFAX, IOWA, AND LEGALLY
DESCRIBED AS: THE SOUTH '/ OF LOT 3 AND THE NORTH 3/4 OF LOT 4 IN
FRACTIONAL BLOCK 1 IN THE VILLAGE OF VANDERBILT,NOW
VANDERBILT ADDITION TO FAIRFAX,IOWA.
WHEREAS, the City Council of the City of Fairfax, Iowa, has reviewed
the purchase agreement for the above described property, attached hereto,
and finds that said purchase agreement should be approved.
NOW, THEREFORE, IT IS RESOLVED by the City Council, City of
Fairfax, Iowa, that the proposed purchase of property for the purchase
price and upon terms as described in the purchase agreement attached
hereto is approved; and the Mayor and City Clerk are hereby authorized
and directed to execute such documents as are necessary to consummate
said purchase and the Treasurer is authorized to make payment therefor.
Passed and approved this l Ota' day of November, 2020.
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Burnell G. Frieden, Mayor
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ATTEST: 'F
Cy thia Stimson, City Clerk/Treasurer
REAL ESTATE PURCHASE AGREEMENT
TO: Fidelitas Lodge No. 364, Ancient, Free and Accepted Masons
a/k/a Fidelitas Lodge No. 364 A.F. &A.M. of Fairfax, Iowa (SELLER):
The undersigned BUYER hereby offers to buy and the undersigned SELLER, by its acceptance,
agrees to sell to BUYER the real property situated in Linn County, Iowa, commonly known as 323
Vanderbilt Street, Fairfax, Iowa, and legally described as:
The South 1/2 of Lot 3 and the North 3/4 of Lot 4 in Fractional Block 1 in the Village
of Vanderbilt, now Vanderbilt Addition to Fairfax, Iowa,
(legal description is subject to being confirmed upon examination of abstract of title),
together with any easements and appurtenant servient estates (the "Property"), upon the following
terms and conditions:
1. PURCHASE PRICE. The purchase price ("Purchase Price") shall be $60,000.00 and the
method of payment shall be as follows:
$500.00 Earnest Money to be delivered paid at the time of mutual execution of this
Agreement, to be held in the trust account of BUYER'S attorney and delivered to
SELLER at Closing. The remainder of the Purchase Price shall be paid in cash or
equally available funds at the time of Closing with adjustments for closing costs to
be added to or deducted from this amount.
2. REAL ESTATE TAXES. INTENTIONALLY OMITTED.
3. SPECIAL ASSESSMENTS.
A. Special Assessments Constituting a Lien. SELLER shall pay all installments of
special assessments which are a lien on the Property as of Closing, whether due
before or after Closing.
B. Charges for Solid Waste Removal etc. All charges for solid waste removal,
sewage and maintenance that are attributable to SELLER'S possession, including
those for which assessments arise after Closing, shall be paid by SELLER.
4. RISK OF LOSS AND INSURANCE. SELLER shall bear the risk of loss or damage to the
Property prior to Closing or possession, whichever first occurs. SELLER agrees to maintain
insurance on the Property in an amount not less than the purchase price and BUYER may
purchase additional insurance. In the event of substantial damage or destruction prior to
Closing, this Agreement, at BUYER'S option, shall be null and void. However, BUYER
shall have the option to complete the Closing and receive all insurance proceeds, regardless
of the extent of damages. The Property shall be deemed substantially damaged or destroyed
if it cannot be restored to its present condition on or before the Closing date.
5. POSSESSION AND CLOSING. If BUYER timely performs all of its obligations
hereunder, possession of the Property shall be delivered to BUYER on December 31, 2020,
or sooner by mutual agreement of the parties ("Closing"). Closing shall occur after approval
of title and waiver of all contingencies by BUYER and vacation of the Property by
SELLER, but prior to possession by BUYER. SELLER agrees to permit BUYER to inspect
the Property within seventy-two (72) hours prior to Closing to assure that the premises are
in the condition required by this Agreement.
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6. FIXTURES AND PERSONAL PROPERTY. All fixtures that integrally belong to, are
specifically adopted to or are a part of the real estate, whether attached or detached, shall be
included with the Property unless otherwise mutually agreed to by the parties.
7. CONDITION OF PROPERTY. The Property as of the date of this Agreement, including
buildings, grounds and all improvements, will be preserved by the SELLER in its present
condition until possession, ordinary wear and tear excepted.
8. ABSTRACT AND TITLE. SELLER, at its own expense, shall promptly obtain an abstract
of title to the Property, prepared and certified pursuant to the Title Standards of the Iowa
State Bar Association, continued through a date not more than 60 days prior to the Closing
date and deliver it to BUYER'S attorney for examination. Said abstract shall show
merchantable title in SELLER in conformity with this Agreement, Iowa law and the title
standards of the Iowa State Bar Association. Said abstract shall become the property of
BUYER when the purchase price is paid in full. SELLER shall pay the costs of any
additional abstracting and title work due to any act or omission of SELLER, including
transfers by SELLER or its assignees.
10. SURVEY. BUYER may, at BUYER'S expense, prior to Closing, have the Property
surveyed and certified by a registered land surveyor. If the survey shows any encroachments
on the Property or if any improvements located on the Property encroach on lands of
others, the encroachments shall be treated as a title defect.
11. CONDITIONS TO CLOSING. BUYER'S obligation to close and purchase the Property
shall be conditioned upon and subject to the timely satisfaction of each and every one of the
following conditions with regard to the Property, which satisfaction shall be determined by
BUYER, in BUYER'S sole and uncontrolled discretion, it being understood that BUYER
shall have the sole right to waive any one or more of the following conditions (collectively,
the following conditions shall be referred to as the "Conditions"):
A. Environmental Information. Within five (5) days following the date of this
Agreement, SELLER shall deliver to BUYER all reports, assessments, findings,
studies, rulings, orders, agreements or any other documents or information
whatsoever, in any form whatsoever, known or reasonably available to SELLER
relating to the past and current environmental condition of the Property, including
without limitation the presence of hazardous substances (including petroleum,
hazardous materials and hazardous wastes) on the Property or the monitoring,
remediation or removal of such hazardous substances. Said documents include, but
are not limited to, all documents and correspondence, if any, submitted to or
received from the Iowa Department of Natural Resources regarding contamination,
if any, on the Property.
B. Inspections. BUYER shall have the option for a period of thirty (30) days (the
"Inspection Period") following the date of this Agreement to conduct tests upon,
within and under and otherwise to inspect the Property, at BUYER'S expense, for
any condition or any reason whatsoever. Such inspections shall reveal the Property
to be acceptable to BUYER, in BUYER'S sole and uncontrolled discretion, for
BUYER'S intended development and uses of the Property. SELLER agrees that
BUYER and any of its authorized representatives shall have access to the Property
during the Inspection Period, upon reasonable prior notice to SELLER, to make
such tests, assessments, surveys, studies and investigations as BUYER desires.
In the event BUYER determines, in its sole discretion, that it will not be able to
complete its due diligence, inspections and other work pursuant to this Section
11.C. within the time limit specified, and provided BUYER is then pursuing
completion of said due diligence, inspections and other work with reasonable
efforts, then upon BUYER'S request to SELLER for reasonable extensions of the
closing date and the dates by which BUYER must waive said conditions or cancel
this Agreement, SELLER shall not unreasonably withhold any such request.
D. Hazardous Materials. BUYER shall be satisfied, in BUYER'S sole discretion, the
Property does not contain and is not affected by any contaminants, pollutants or
hazardous substances, endangered species or protected lands.
E. Removal of Hazardous Materials. SELLER shall remove from the Property, prior
to Closing, all chemical products and cleaning products located in the basement of
the building and shall properly dispose of such materials at SELLER'S own
expense.
F. Restrictive Covenants and Easements. Following BUYER'S title examination,
BUYER shall be satisfied, in BUYER'S sole discretion, with any easements and
restrictive covenants affecting the Property.
G. Groundwater Hazard Statement. SELLER shall provide BUYER at Closing with a
properly executed Groundwater Hazard Statement in accordance with Iowa law
and consistent with this Agreement.
H. City Council Approval. The City Council of the City of Fairfax, Iowa shall
approve this Agreement prior to the date of Closing.
The foregoing Conditions are conditions precedent. In the event any of the Conditions are
not met as of the Closing date or such earlier date as is set forth above with respect thereto,
unless waived in writing by BUYER, then BUYER, at its option, shall have the right to
terminate this Agreement and have all Earnest Money paid by it refunded and neither party
shall have any further obligation whatsoever to the other or to any third party.
12. REPRESENTATIONS AND WARRANTIES. In order to induce BUYER to enter into
this Agreement, the SELLER, knowing that BUYER is relying hereon, covenants,
represents and warrants as follows:
A. Environmental. SELLER has not caused or knowingly permitted, and to
SELLER'S knowledge there are no abandoned wells, solid waste disposal sites,
hazardous wastes or hazardous materials, human burial sites, or underground
storage tanks, located in, on or about the Property.
B. Leases. There are no, and as of the date of Closing there will be no, leases in effect
related to the Property.
13. DEED. Upon payment of the purchase price, SELLER shall convey the Property to
BUYER by general warranty deed, free and clear of all liens, restrictions, and
encumbrances.
14. USE OF PURCHASE PRICE. At time of settlement, funds of the purchase price may be
used to pay taxes and other liens and to acquire outstanding interests, if any, of others.
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15. REMEDIES OF THE PARTIES.
A. Forfeiture. If BUYER fails to timely perform this Agreement, SELLER may forfeit
it as provided in the Iowa Code Chapter 656, and all payments made shall be
forfeited; or, at SELLER'S option, upon thirty days written notice of intention to
accelerate the payment of the entire balance because of BUYER'S default (during
which thirty days the default is not corrected), SELLER may declare the entire
balance immediately due and payable. Thereafter this Agreement may be foreclosed
in equity and the Court may appoint a receiver.
B. Return of P"ments. If SELLER fails to timely perform this Agreement, BUYER
has the right to have all payments made returned to it.
C. Other Remedies. BUYER and SELLER are also entitled to utilize any and all other
remedies or actions at law or in equity available to them. In any action brought to
enforce the provisions of this Agreement, the party in whose favor a judgment is
rendered shall recover court costs and reasonable attorney fees and expenses from
the other, non-prevailing party.
16. REAL ESTATE AGENT OR BROKER. Neither SELLER nor BUYER is represented by
a real estate agent or broker in this transaction.
17. SURVIVAL OF COVENANTS. All covenants contained in this Agreement or in any
certificate, document or other instrument delivered pursuant to this Agreement or in
connection with the Closing shall be deemed a covenant, representation and warranty. All
covenants, representations and warranties shall survive the Closing and recording of the
deed from the SELLER to the BUYER. All such covenants, representations and warranties
shall be true, bona fide and accurate as of the date of Closing, notwithstanding that any of
said covenants, representations and warranties by the language used in this Agreement may
refer to a state of facts as of a date prior to the Closing and not as of the Closing. SELLER
agrees to indemnify and hold BUYER harmless from any breach of SELLER'S covenants,
representations and warranties contained herein, including, but not limited to, all claims,
demands, actions, investigations, proceedings, judgments or loss of any nature, including
costs, expenses and attorney's fees incurred by BUYER.
18. NOTICE. Any notice, request, demand, instruction or other communication to be given to
either party under this Agreement shall be in writing and, except those to be delivered at
Closing, be deemed served when it is delivered by personal delivery or by certified mail
return receipt requested, addressed to the parties as follows:
To Seller: Fidelitas Lodge No. 364, Ancient, Free and Accepted Masons
c/o Morris H. Anderson
323 Vanderbilt St.
Fairfax, Iowa 52228
To Buyer: City of Fairfax, Iowa
c/o Cynthia Stimson, City Clerk
PO Box 337
Fairfax, Iowa 52228
Addresses for purposes of this paragraph may be changed by giving notice of such change in
the manner provided herein for the giving of notice. Unless and until such written notice is
received, the last address stated herein shall be deemed to continue in effect for all purposes.
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19. MISCELLANEOUS PROVISIONS.
A. No Further Encumbrances to Property. SELLER agrees that during the term of
this Agreement, they will not sell, convey, mortgage, pledge, apothecate, option,
plat, grant easements, dedications or otherwise encumber the Property or permit to
be done any act or deed to diminish or encumber the title to the Property, except
with the prior written consent of BUYER.
B. Time is of the Essence. Time is of the essence of this Agreement. Failure to
promptly assert rights herein shall not, however, be a waiver of such rights or a
waiver of any existing or subsequent default.
C. Laws of Iowa. This Agreement shall be governed by, construed and enforced under
the laws of the State of Iowa.
D. Entire Agreement. The terms contained herein constitute the entire agreement
between the parties relating to the purchase and sale of the Property and there are
no representations, inducements, promises or agreements, oral or otherwise,
between the parties not embodied herein. No amendment to this Agreement is
binding unless executed by both parties.
E. Counterparts/Electronic Signatures. This Agreement may be executed in two or
more counterparts, all of which shall be considered as one document. Signatures
transmitted via electronic means shall have the same effect as original signatures.
F. Severability. Should any provision of the Agreement be construed or declared
invalid, such decision shall not affect the validity of any remaining portion which
shall remain in full force and effect as if this Agreement had been executed with
such invalid portion eliminated.
G. Successors Number and Gender. The terms and agreements hereof shall apply to
and bind the successors in interest of the respective parties. Wherever used herein,
the singular shall include the plural, the plural shall include the singular and the use
of any gender shall include all other genders.
H. Captions. The captions and paragraph headings contained herein are for
convenience only and shall not be used in construing or enforcing any of the
provisions of this Agreement.
20. REPRESENTATION. BUYER is represented by Simmons Perrine Moyer Bergman PLC
and all services performed by said law firm are solely for the benefit of BUYER.
BUYER / SELLER
Dated: 0),.2020. Accepted: August , 2020.
City of Fairfax Fidelitas Lodge No. 364, Ancient,
_ Free and Accepted Masons
By vBy: -
Burnell G. Frieden, Mayor , Titl !
Attest: �� ! "
, nthia Stimson, City Clerk / Treasurer 1'jrz'6�
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ADDENDA TO PURCHASE AGREEMENT:
This offer is subject to Seller obtaining approval from the corporate eleemosynary institutions
and all statutory requirements and/or bylaws of the Order or state bylaws of the Order.