HomeMy WebLinkAbout2236 ResolutionRESOLUTION NO aD 3 G
A RESOLUTION approving the sale of excess City-owned land on Commercial
Avenue in the King City Area
WHEREAS, a business owner has requested the purchase of five acres
situation in the northeast quarter of Section 20, Township 9 North, Range 30
East W M, and,
WHEREAS, RCW 2 46 025 enables the City to sell excess properties without
following a competitive bid process under the provision of a negotiated sale
WHEREAS, the City of Pasco has deemed the said property to be surplus
property, NOW, THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PASCO
( 1 ) That the sale of 5 0 acres of City-owned excess property to Larry
and Karen Whitten located in the northeast quarter of Section 20, Township 9
North, Range 30 East W M, be approved subject to all contingencies in attached
Purchase and Sale Agreement
( 2 ) The City Manager is hereby authorized to execute all documents
necessary to effect the sale of the property in accordance with the aforesaid
agreement
ASSED by the City Council of the City of Pasco this day of
, 1996
Charles D Kilbury, ayor
Catherine Seaman, Deputy City Clerk
APPROVED AS TO FORM
Alltpj /41.
eland /err, Interim •ity A torney
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REAL ESTATE PURCHASE AND SALE AGREEMENT
(Please read carefully before signing )
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1 Pasco , Washington / — eRg , 1996 1
Received from Larry and Karen Whitten (Buyer) the sum of $5,000 00 in the form of
an earnest money check for $5,000 00, which will be deposited with Transamerica
Title Insurance Company by Buyer within 10 days after mutual acceptance The
earnest money will be applied as a credit to Buyer on the closing of this transaction
The Property to be sold in this transaction is comprised of approximately 5 acres and
is shown on the map marked Exhibit "A" and by this reference is made a part of this
Agreement Subject property is located in the King City, Identification E, eastern
portion of Parcel 113-400-016 on Commercial Avenue located within Franklin County,
Washington, in the City of Pasco corporate boundaries Seller shall provide a legal
description prior to closing
I PURCHASE PRICE. The total price shall be $98,000 00 (5 0 acres x 42,560 sq ft =
217,800 total sq ft x $0 45 per sq ft ) The purchase price shall be paid in cash
on closing, including earnest money
2 BUYER'S REPRESENTATION Buyer represents that Buyer has sufficient funds
available to close this sale in accordance with this Agreement and is not relying
on any contingent source of funds unless otherwise set forth in this Agreement
3 TITLE Title to the property shall be marketable at closing Rights, reservations,
covenants, conditions and restrictions presently of record or of apparent use,
easements and encroachments of record or apparent use, not materially
affecting the value of the property or unduly interfering with Buyer's intended
use of the property shall not cause the title to be considered unmarketable
Additionally, the property is subject to the standard policy printed exceptions of
Transamerica Title Insurance Company, and the encumbrances, if any, retained
by Seller for security as set forth in this Agreement Buyer accepts the property
subject to all easement and encroachments of record or apparent use, including,
but not limited to, easement granted to or retained or held by public utilities or
government entities, and subject to restriction and reservation for the supply of
water and water rights and future assessments thereof Buyer shall conclusively
be deemed to have accepted the condition of title unless Seller receives notice of
Buyer's objections within seven (7) days after preliminary commitment for title
insurance is received by and made available to Buyer Encumbrances to be
discharged by Seller shall be paid by Seller on or before closing and may be paid
out, of the closing , tir
1
4 TITLE INSURANCE. The parties authorize the closing agent, at Seller's expense, to
apply for a standard form owner's policy of title insurance to be issued by
Transamerica Title Insurance Company The title insurance shall contain no
exceptions other than those contained in said standard form, those referred to in
this Agreement, those accepted by the Buyer, and those not inconsistent with
this Agreement If title is not so insurable and cannot be made so insurable
prior to closing, Buyer may elect either to waive such encumbrances or defects
and proceed with the closing, or to terminate this Agreement and receive a
refund of the earnest money, at which time, this Agreement shall be at an end
Buyer acknowledges that a standard form title insurance does not insure the
location of boundaries, and that an extended form of insurance is available at
additional cost, with such additional cost to be borne by the Buyer
5 C ONVEYANCE Title shall be conveyed by general warranty deed free of
encumbrances and defects except those included in this Agreement or other
wise acceptable to Buyer
6 PROPERTY CONDITION Seller represents for Buyer's benefit that Seller has
conducted a Phase I Environmental Audit which indicated that a portion of the
site may have been used for refuse disposal Seller further represents that (a)
Seller has not entered into or been subject to any consent decree, compliance
order or administrative order with respect to the Release of any Hazardous
material affecting the property, (b) Seller has not received any demand letter,
compliance, or administrative inquiry concerning the Release or Threat of
Release, of any Hazardous Material affecting the Property, and (c) Seller has not
been subject to or threatened with any government or citizen enforcement
action with respect to the Release of any Hazardous Material affecting the
property Upon receipt of the earnest money deposit from the Buyer, the Seller
shall at Seller's expense obtain an Environmental Phase II Assessment on
subject property from an independent firm specializing in such assessments
The cost of the 1Phase II Environmental Audit may be deducted from the earnest
money deposit made by the Buyer should this transaction fail to close by Buyer's
election 1
If Seller's Environmental Phase II Audit reveals an adverse environmental
condition, Seller shall be responsible for paying for the costs of remediating
any Remediable Condition subject to the limitations provided below and Buyer
may at its election terminate this transaction Environmental consultant shall
obtain a bid from a contractor who is licensed or otherwise qualified to
remediate the environmental condition Seller shall be responsible for paying
the remediation costs provided, however, if the remediation costs will exceed
$10,000, then Seller may, at its option, determine not to remediate the
environmental condition, but to terminate this Agreement and refund buyer's
earnest money deposit The Assessment is to be completed within forty-five (45)
days of the execution of this agreement
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7 CLOSING This sale shall be closed within ten (10) days after satisfaction or
waiver of all contingencies, but in any event not later than sixty (60) days of
execution of this agreement, by Transamerica Title Insurance Company
"Closing" means the date on which all documents are recorded and the sale
proceeds are available for disbursement to Seller Buyer and Seller shall deposit
with closing agent all documents and monies required to complete this sale in
accordance with this Agreement
8 CLOSING COSTS AND PRORATIONS Seller shall pay all customary and usual
closing costs paid by Sellers of Real Estate in Franklin County, Washington,
including title insurance premiums, excess tax, survey fees to establish the
legal description and the property boundaries, one-half of document
preparation, one-half of the escrow fees, and pro-ratable items Buyer shall pay
all customary and usual closing costs paid by Buyers of Real Estate in Franklin
County, Washington, including recording fees, one-half of document
preparation, one-half of escrow fees, sales or use tax, and pro-ratable items
9 POSSESSION. Buyer shall be entitled to possession on closing
10 ASSIGNMENT Buyer's rights under this Agreement may not be assigned by
Indyer 1 without Seller's prior written consent, which , consent shall not be
unreasonable withheld
11 NOTICES Unless otherwise specified in this Agreement, any and all notices
required to be given under this Agreement must be given in writing Notices to
seller must be signed by at least one Buyer and shall be deemed to be given
when actually received by the Seller at Office of the City Manager, Pasco City
Hall, P 0 Box 293, Pasco, Washington 99301 Notices to Buyer must be signed by
seller and shall be deemed to be given when actually received by the Buyer at
5410 Livingston, Pasco, Washington 99301
12 COMPUTATION OF TIME, Unless otherwise expressly specified herein, any period
of time specified in this Agreement shall expire at 9 00 p m of the last calendar
day of the specified period of time, unless the last day is Saturday, Sunday or a
legal holiday, as prescribed in RCW 1 16 050, in which event the specified period
of time shall expire at 9 00 p m on the next business day Any specified period
of seven (7) days or less shall include business days only
13 DEFAULT/TERMINATION If this Agreement is terminated for any reason, any
costs authorized under this Agreement to be advanced from the earnest money
deposit shall be deducted before the remaining earnest money is refunded to
Buyer or forfeited to Seller If a dispute should arise regarding the disbursement
of any earnest money, the party holding the earnest money may interplead the
funds into court Furthermore, if either Buyer or Seller defaults, the non-
defaulting party may seek specific performance or damages, and the Seller may,
under some circumstances retain the earnest money as liquidated damages
The earnest money shall be subject to retention by Seller, along with all other
claims as Seller may have, in the event Buyer fails, without legal excuse, to
complete the purchase of the property In the event that the Buyer fails, with
legal excuse to complete the purchase of the property, pursuant to the terms and
provisions of this Agreement, then the earnest money shall be refunded to the
Buyer, less any costs authorized under this Agreement to be advanced from the
earnest money deposit as a cost of the Buyer Each Buyer and Seller shall have
all the rights and remedies afforded to them at law or equity, and pursuant to the
terms of this Agreement
14 GENERAL PROVISIONS Time is of the essence There are no verbal agreements
which modify this Agreement This Agreement constitutes the full
understanding betWeen Seller and Buyer Buyer has personally observed the
property and has reached Buyer's own conclusion as to the adequacy and
acceptability of the property based upon such personal inspection Unless
otherwise expressly specified herein, square footage, dimensions and/or
boundaries used in marketing the property are understood to be approximations
and are not intended to be relied upon to determine the fitness or value of the
property
15 LEGAL AND TAX IMPLICATIONS This Agreement affects your legal rights and
obligations and will have tax implications Agents are not permitted to give
legal or tax advice If you have any questions regarding this Agreement and, the
addendums, attachments or other related documents, you should consult an
attorney or tax advisor Further, if a dispute arises regarding this transaction
the prevailing party shall recover cost and reasonable attorney's fees,
including those for appeal
16 FACSIMILE TRANSMISSION. Facsimile transmissions of any signed original
document and re-transmission of any signed transmission shall be the same as
transmission of any original At the request of either party or closing agent,
the parties will confirm facsimile transmitted signatures by signing the
original document
17 CONDITION OF PROPERTY, REPRESENTATION, Except as provided in paragraph 6
hereof Buyer has inspected the subject property in this transaction, and is
familiar with the conditions of all property which is the object of this
agreement Buyer accepts and agrees to purchase the property, which is the
object of this agreement in its present condition, "as is", without reliance upon
any representation made by owner as to the condition or suitability of said
mperty There are no warranties, express or implied, which are the object of
this Offer beyond the description on the face 'hereof ' Seller has made no
representations regarding the conditions or suitability for any purpose of the
land or installation of utilities which are the object of this transaction Buyer is
relying solely on his own judgment in entering into this agreement
18) BUILDING CONSTRUCTION. Buyer has represented its intent to build an
office/manufacturing shop/repair shop totaling at least eighteen thousand
(18,000) square feet within eighteen (18) months of the conveyance of the
property, which representation constitutes a portion of the consideration to the
Seller In the event the Buyer does not complete construction in accordance
with the above-described schedule, the price of the property shall increase
$0 10 per sq ft The increased price shall be paid within thirty (30) days
following non-compliance The amount due in the event of non-compliance
would be 5 acres x 43,560 sq ft = 317,800 total sq ft x $0 10 = $21,780 This
covenant shall survive closing
19 ENTIRE AGREEMENT, This document constitutes the entire agreement of the
parties There are no verbal or other agreements which modify or alter this
agreement Buyer and Seller further agree that they have read and understand
all of the contents of this Real Estate Agreement and its attached exhibit "A"
OFFER TO PURCHASE Buyer offers to purchase the property on the above terms
and condition Seller shall have thirty (30) days to accept this offer, unless
sooner withdrawn Acceptance by Seller shall not be effective until a signed
copy hereof is actually received by Buyer If this offer is not so accepted, it
shall lapse and the earnest money shall be refunded to Buyer
.&
BUYER
11 1 4 .IAAL AL. itrAfaV r • WIM P
en
5410 Livingston
PASCO, WASHINGTON 99301 509/545-5586
Buyer's Address (City, State, Zip) Buyer's Phone(H/W)
ACCEPTANCE or COUNTER OFFER On this date, 1996, Seller agrees
to sell the property on the terms and conditions set forth in this Agreement Seller
acknowledges receipt of a copy of this Agreement signed by both parties If Seller
has made a counter offer hereon or attached hereon, Buyer shall have until 9 00 p m
on , 1996, to accept the counter offer, unless sooner withdrawn
Acceptance shall not be effective until signed copy hereof is actually received by or
at the office of the Buyer If the counter offer is not accepted, it shall lapse and the
earnest money shall be refunded to Buyer
SELLER
The c41.y of Pasco, a municipal corporation
of the'State of Washington
By
Gary Crutchfield, City Manager
Approved as to Form
By
Leland B Kerr, Interim City Attorney
Seller's Address (City, State, Zip) Seller's Phone (H/W)