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HomeMy WebLinkAbout14-44 Resolution No. 14-44 RESOLUTION AUTHORIZING EXECUTION OF A REAL ESTATE CONTRACT FOR THE SALE OF 114-116 NORTH CHANNING STREET BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that David J. Kaptain, Mayor, and Kimberly A. Dewis, City Clerk, be and are hereby authorized and directed to execute a real estate sale contract on behalf of the City of Elgin with Habitat for Humanity of Northern Fox Valley for the sale of the property commonly known as 114-116 North Channing Street, a copy of which is attached hereto and made a part hereof by reference. s/ David J. Kaptain David J. Kaptain, Mayor Presented: April 9, 2014 Adopted: April 9, 2014 Omnibus Vote: Yeas: 8 Nays: 0 Attest: s/Kimberly Dewis Kimberly Dewis, City Clerk MULTI-BOARD RESIDENTIAL REAL ESTATE CONTRACT 5.0 QG At.T(')!: Orr 011ruN 1T 1 1.THE PARTIES:Buyer and Seller are hereinafter referred to as the "Parties". 2 Buyer(s) (Please Print)Habitat for Humanity of Northern Fox Valley,an Illinois not-for-profit corporation 3 Seller(s)(Please Print) City of Elgin, an Illinois municipal corporation 4 If Dual Agency applies,complete Optional Paragraph 41. 5 2. THE REAL ESTATE: Real Estate shall be defined as the Property, all improvements, the fixtures and 6 Personal Property included therein. Seller agrees to convey to Buyer or to Buyer's designated grantee, the 7 Real Estate with the approximate lot size or acreage of 66'x 132' commonly known as: 8 114-116 N. Channing Street, Elgin, Illinois 60120 9 Address City State Zip 10 Kane 06-13-181-014 11 County Unit #(if applicable) Permanent Index Number(s)of Real Estate 12 If Condo/Coop/Townhome Parking is Included: #of space(s) ;identified as Space(s) # 13 (check type)o deeded space limited common element assigned space. 14 3. FIXTURES AND PERSONAL PROPERTY: All of the fixtures and included Personal Property are owned by 15 Seller and to Seller's knowledge are in operating condition on the Date of Acceptance, unless otherwise 16 stated herein. Seller agrees to transfer to Buyer all fixtures, all heating, electrical, plumbing and well systems 17 together with the following items of Personal Property by Bill of Sale at Closing: 18 [Check or enumerate applicable items] 19 _Refrigerator _Central Air Conditioning _Central Humidifier _Light Fixtures,as they exist 20 _Oven/Range/Stove _Window Air Conditioners _Water Softener(owned) _Built-in or Attached Shelving 21 _Microwave _Ceiling Fan(s) _Sump Pumps _All Window Treatments&Hardware 22 _Dishwasher _Intercom System _Electronic or Media Air Filter_Existing Storms&Screens 23 _Garbage Disposal _TV Antenna System _Central Vac&Equipment _Fireplace Screens/Doors/Grates 24 _Trash Compactor _Satellite Dish _Security Systems(owned) Fireplace Gas Logs 25 _Washer _Outdoor Shed _Garage Door Openers _Invisible Fence System,Collars&Box 26 _Dryer _Planted Vegetation with all Transmitters _Smoke Detectors 27 _Attached Gas Grill _Outdoor Playsets _All Tacked Down Carpeting _Carbon Monoxide Detectors 28 Other items included: 29 Items NOT included: 30 Seller warrants to Buyer that all fixtures, systems and Personal Property included in this Contract shall be in 31 operating condition at Possession,except: 32 A system or item shall be deemed to be in operating condition if it performs the function for which it is 33 intended, regardless of age,and does not constitute a threat to health or safety. 34 Home Warrantyb shall b shall not be included at a Premium not to exceed$ 35 4. PURCHASE PRICE: Purchase Price of$ One(1)Dollars shall be paid as follows: Initial eamest 36 of$ -• €l 4 ash OR-0 etc dee- , 20 to be increascd 37 • • ._ ... . shall be bel'1 by flap_ 38 - - = - - '- : . - - . : - "_-- . --" •- . - . - - -- . . - .- . - - . 39 The balance of `he-Purchase Price, as adjusted by prorations, shall be paid at Closing by wire transfer of Buyer Initial Buyer Initial Seller Initial Seller Initial Address 114-116 N. Channing Street, Elgin, Illinois 60120 v. 5.0e 1 40 funds,or by certified,cashier's,mortgage lender's or title company's check(provided that the title company's 41 check is guaranteed by a licensed title i r nce com�,pan) �J � llI(Tilt"I 44 42 5. CLOSING: Closing or escrow payo s all be on or before 2 , 20 14 or a ,.uch time as mutually g 43 agreed by the Parties in writing. Closing shall take place at the escrow office of the title company (or its 44 issuing agent)that will issue the Owner's Policy of Title Insurance, situated nearest the Real Estate or as shall 45 be agreed mutually by the Parties. 46 6. POSSESSION: Unless otherwise provided in Paragraph 39, Seller shall deliver possession to Buyer at the 47 time of Closing. Possession shall be deemed to have been delivered when Seller has vacated the Real Estate 48 and delivered keys to the Real Estate to Buyer or to the office of the Seller's Broker. 49 7. STATUTORY DISCLOSURES: If applicable, prior to signing this Contract, Buyer [check one]ra has a has 50 not received a completed Illinois Residential Real Property Disclosure Report; [check one]Pj has a has not 51 received the EPA Pamphlet, "Protect Your Family From Lead in Your Home"; [check one]0 has E3 has not 52 received a Lead-Based Paint Disclosure; [check one]Efi has R has not received the IEMA Pamphlet "Radon 53 Testing Guidelines for Real Estate Transactions"; [check one] 121 has 0 has not received the Disclosure of 54 Information on Radon Hazards. 55 8. PRORATIONS: Proratable items shall include, without limitation, rents and deposits (if any) from tenants; 56 Special Service Area or Special Assessment Area tax for the year of Closing only; utilities, water and sewer; 57 and Homeowner or Condominium Association fees (and Master/Umbrella Association fees, if applicable). 58 Accumulated reserves of a Homeowner/Condominium Association(s) are not a proratable item. Seller 59 represents that as of the Date of Acceptance Homeowner/Condominium Association(s) fees are $ N/A 60 per N/A (and, if applicable, Master/Umbrella Association fees are $ N/A per N/A ). Seller agrees 61 to pay prior to or at Closing any special assessments (by any association or governmental entity) confirmed 62 prior to the Date of Acceptance. Installments due after the year of Closing for a Special Assessment Area or 63 Special Service Area shall not be a proratable item and shall be payable by Buyer. The general Real Estate 64 taxes shall be prorated as of the date of Closing based on 100 % of the most recent ascertainable full year 65 tax bill. All prorations shall be final as of Closing, except as provided in Paragraph 20. If the amount of the 66 most recent ascertainable full year tax bill reflects a homeowner, senior citizen or other exemption, a senior 67 freeze or senior deferral, then Seller has submitted or will submit in a timely manner all necessary 68 documentation to the appropriate governmental entity,before or after Closing,to preserve said exemption(s). 69- . - _ .. : . - 70 respective Parties,by Notice,may: 71 (a) Approve this Contract;or 72 (b) Disapprove this Contract, which disapproval shall not be based solely upon •• urchase Price;or 73 (c) Propose modifications except for the Purchase Price. If within to i Business Days after the Date of 74 Acceptance written agreement is not reached by the Par '-- ith respect to resolution of the proposed 75 modifications, then either Party may terminate t a.- 'ontract by serving Notice, whereupon this Contract 76 shall be null and void;or 77 (d) Propose suggested changes to ontract. If such suggestions are not agreed upon, neither Party may 78 declare this Contract •nd void and this Contract shall remain in full force and effect. 79 Unless otherwi • . ,ecified, all Notices shall be deemed made pursuant to Paragraph 9(c). If Notice is not 80 served . • in the time specified herein, the provisions of this paragraph shall be deemed waived by the 81 P -- -_ • . . • .. . . . . Buyer Initial t;412 Buyer Initial Seller Initial Seller Initial Address 114-116 N. Charming Street, Elgin, Illinois 60120 v. 5.0e 2 82 . • - - - • _ _ - ■ = - • - - ! . - 83 (unless otherwise provided by governmental regulations) a home, radon, environmental, lead-based ••int 84 and/or lead-based paint hazards (unless separately waived), and/or wood destroying insect i. -station 85 inspection of the Real Estate by one or more licensed or certified inspection service(s). 86 (a) Buyer agrees that minor repairs and routine maintenance items of the Real Estate • . not constitute 87 defects and are not a part of this contingency. The fact that a functioning major c. . ponent may be at 88 the end of its useful life shall not render such component defective for pur• .ses of this paragraph. 89 Buyer shall indemnify Seller and hold Seller harmless from and against any . s or damage caused by the 90 acts or negligence of Buyer or any person performing any inspection. ' e home inspection shall cover 91 only the major components of the Real Estate, including but not • ited to central heating system(s), 92 central cooling system(s), plumbing and well system, electric. ystem, roof, walls, windows, ceilings, 93 floors, appliances and foundation. A major component sha •e deemed to be in operating condition if it 94 performs the function for which it is intended, regardle - of age, and does not constitute a threat to health 95 or safety.If radon mitigation is performed,Seller sh. pay for any retest. 96 (b) Buyer shall serve Notice upon Seller or Seller' .ttorney of any defects disclosed by any inspection for 97 which Buyer requests resolution by Seller, .gether with a copy of the pertinent pages of the inspection 98 reports within five (5) Business Days n (10) calendar days for a lead-based paint and/or lead-based 99 paint hazard inspection) after the D. e of Acceptance. If within ten (10) Business Days after the Date of 100 Acceptance written agreement • not reached by the Parties with respect to resolution of all inspection 101 issues, then either Party m. erminate this Contract by serving Notice to the other Party, whereupon this 102 Contract shall be null a.. void. 103 (c) Notwithstanding a. ' hing to the contrary set forth above in this paragraph, in the event the inspection 104 reveals that th- ondition of the Real Estate is unacceptable to Buyer and Buyer serves Notice to Seller 105 within five . Business Days after the Date of Acceptance,this Contract shall be null and void. 106 (d) Failure Buyer to conduct said inspection(s) and notify Seller within the time specified operates as a 107 wa' •r of Buyer's right to terminate this Contract under this Paragraph 10 and this Contract shall remain 108 . - . 109 . - - - •-• - - . . - - - '_ . - -_- - - -- - _ - ' •- - . .•110 commitment (except for matters of title and survey or matters totally within Buyer's control) on or • ore 111 , 20 for a [check one]j3 fixed adjustable; [check one]Q conventional ! HA/VA 112 (if FHA/VA is chosen, complete Paragraph 35)13 other loan of % of Purchase 113 Price, plus private mortgage insurance (PMI),if required.The interest rate (initial ra -, applicable) shall not 114 exceed % per annum, amortized over not less than years. Buyer - all pay loan origination fee 115 and/or discount points not to exceed % of the loan amount. Bu - shall pay the cost of application, 116 usual and customary processing fees and closing costs charged b - der. (Complete Paragraph 33 if closing 117 cost credits apply.) Buyer shall make written loan applicat'• ithin five (5) Business Days after the Date of 118 Acceptance. Failure to do so shall constitute an act o :efault under this Contract. If Buyer,having applied 119 for the loan specified above, is unable to obta' • uch loan commitment and serves Notice to Seller within 120 the time specified, this Contract shal null and void. If Notice of inability to obtain such loan 121 commitment is not served with e time specified, Buyer shall be deemed to have waived this 122 contingency and this Cont shall remain in full force and effect. Unless otherwise provided in 123 Paragraph 31, this Co. •ct shall not be contingent upon the sale and/or closing of Buyer's existing real 124 estate. Buyer sh. •e deemed to have satisfied the financing conditions of this paragraph if Buyer obtains a 125 loan com • ent in accordance with the terms of this paragraph even though the loan is conditioned on the 126 sale . • • or closing of Buyer's existing real estate. If Seller at Seller's option and expense, within thirty (30) Buyer Initial Buyer Initial Seller Initial Seller Initial Address 114-116 N. Channing Street, Elgin, Illinois 60120 v. 5.0e 3 129 event, Seller shall notify Buyer within five (5) Business Da - - - - •• ce o eller's election to 130 provide or obtain such '.. • '•. :. - ; . •- s a furnish to Seller or lender all requested information and 131 --..-.=:z.. -- ---- - - '- - - -- - - - -- -- - -- -- - - - -. - - -- 132 12. HOMEOWNER INSURANCE: This Contract is contingent upon Buyer obtaining evidence of insurability for 133 an Insurance Service Organization HO-3 or equivalent policy at standard premium rates within ten (10) 134 Business Days after the Date of Acceptance.If Buyer is unable to obtain evidence of insurability and serves 135 Notice with proof of same to Seller within the time specified, this Contract shall be null and void. If 136 Notice is not served within the time specified, Buyer shall be deemed to have waived this contingency 137 and this Contract shall remain in full force and effect. 138 13. FLOOD INSURANCE: Unless previously disclosed in the Illinois Residential Real Property Disclosure 139 Report, Buyer shall have the option to declare this Contract null and void if the Real Estate is located in a 140 special flood hazard area which requires Buyer to carry flood insurance. If Notice of the option to declare 141 this Contract null and void is not given to Seller within ten (10) Business Days after the Date of 142 Acceptance or by the Mortgage Contingency deadline date described in Paragraph 11 (whichever is later), 143 Buyer shall be deemed to have waived such option and this Contract shall remain in full force and effect. 144 Nothing herein shall be deemed to affect any rights afforded by the Residential Real Property Disclosure Act. 145 14. CONDOMINIUM/COMMON INTEREST ASSOCIATIONS: (If applicable) The Parties agree that the terms 146 contained in this paragraph, which may be contrary to other terms of this Contract, shall supersede any 147 conflicting terms. 148 (a) Title when conveyed shall be good and merchantable, subject to terms, provisions, covenants and 149 conditions of the Declaration of Condominium/Covenants, Conditions and Restrictions and all 150 amendments; public and utility easements including any easements established by or implied from the 151 Declaration of Condominium/Covenants,Conditions and Restrictions or amendments thereto; party wall 152 rights and agreements; limitations and conditions imposed by the Condominium Property Act; 153 installments due after the date of Closing of general assessments established pursuant to the Declaration 154 of Condominium/Covenants, Conditions and Restrictions. 155 (b) Seller shall be responsible for payment of all regular assessments due and levied prior to Closing and for 156 all special assessments confirmed prior to the Date of Acceptance. 157 (c) Buyer has, within five (5) Business Days from the Date of Acceptance, the right to demand from Seller 158 items as stipulated by the Illinois Condominium Property Act, if applicable, and Seller shall diligently 159 apply for same. This Contract is subject to the condition that Seller be able to procure and provide to 160 Buyer,a release or waiver of any option of first refusal or other pre-emptive rights of purchase created by 161 the Declaration of Condominium/Covenants, Conditions and Restrictions within the time established by 162 the Declaration of Condominium/Covenants, Conditions and Restrictions. In the event the 163 Condominium Association requires the personal appearance of Buyer and/or additional documentation, 164 Buyer agrees to comply with same. 165 (d) In the event the documents and information provided by Seller to Buyer disclose that the existing 166 improvements are in violation of existing rules, regulations or other restrictions or that the terms and 167 conditions contained within the documents would unreasonably restrict Buyer's use of the premises or 168 would result in financial obligations unacceptable to Buyer in connection with owning the Real Estate, 169 then Buyer may declare this Contract null and void by giving Seller Notice within five (5) Business Days 170 after the receipt of the documents and information required by Paragraph 14(c), listing those deficiencies 171 which are unacceptable to Buyer. If Notice is not served within the time specified, Buyer shall be deemed 172 to have waived this contingency, and this Contract shall remain in full force and effect. _M2_Buyer Initial Buyer Initial Seller Initial Seller Initial Address 114-116 N. Channing Street, Elgin, Illinois 60120 v. 5.0e 4 173 (e) Seller shall not be obligated to provide a condominium survey. 174 (f) Seller shall provide a certificate of insurance showing Buyer and Buyer's mortgagee, if any, as an insured. 175 15. THE DEED: Seller shall convey or cause to be conveyed to Buyer or Buyer's designated grantee good and 176 merchantable title to the Real Estate by recordable general Warranty Deed, with release of homestead rights, 177 (or the appropriate deed if title is in trust or in an estate), and with real estate transfer stamps to be paid by 178 Seller(unless otherwise designated by local ordinance).Title when conveyed will be good and merchantable, 179 subject only to: general real estate taxes not due and payable at the time of Closing; covenants, conditions 180 and restrictions of record; and building lines and easements, if any, provided they do not interfere with the 181 current use and enjoyment of the Real Estate. 182 16.TITLE:At Seller's expense, Seller will deliver or cause to be delivered to Buyer or Buyer's attorney within 183 customary time limitations and sufficiently in advance of Closing, as evidence of title in Seller or Grantor, a 184 title commitment for an ALTA title insurance policy in the amount of the Purchase Price with extended 185 coverage by a title company licensed to operate in the State of Illinois, issued on or subsequent to the Date of 186 Acceptance, subject only to items listed in Paragraph 15.The requirement to provide extended coverage shall 187 not apply if the Real Estate is vacant land. The commitment for title insurance furnished by Seller will be 188 conclusive evidence of good and merchantable title as therein shown, subject only to the exceptions therein 189 stated. If the title commitment discloses any unpermitted exceptions or if the Plat of Survey shows any 190 encroachments or other survey matters that are not acceptable to Buyer, then Seller shall have said 191 exceptions, survey matters or encroachments removed, or have the title insurer commit to either insure 192 against loss or damage that may result from such exceptions or survey matters or insure against any court- 193 ordered removal of the encroachments.If Seller fails to have such exceptions waived or insured over prior to 194 Closing, Buyer may elect to take the title as it then is with the right to deduct from the Purchase Price prior 195 encumbrances of a definite or ascertainable amount.Seller shall furnish Buyer at Closing an Affidavit of Title 196 covering the date of Closing, and shall sign any other customary forms required for issuance of an ALTA 197 Insurance Policy. 198 17. PLAT OF SURVEY: Not less than one (1) Business Day prior to Closing, except where the Real Estate is a 199 condominium (see Paragraph 14) Seller shall, at Seller's expense, furnish to Buyer or Buyer's attorney a Plat 200 of Survey that conforms to the current Minimum Standards of Practice for boundary surveys, is dated not 201 more than six (6) months prior to the date of Closing, and is prepared by a professional land surveyor 202 licensed to practice land surveying under the laws of the State of Illinois. The Plat of Survey shall show 203 visible evidence of improvements, rights of way, easements, use and measurements of all parcel lines. The 204 land surveyor shall set monuments or witness corners at all accessible corners of the land. All such corners 205 shall also be visibly staked or flagged. The Plat of Survey shall include the following statement placed near 206 the professional land surveyor seal and signature: "This professional service conforms to the current Illinois 207 Minimum Standards for a boundary survey." A Mortgage Inspection, as defined, is not a boundary survey 208 and is not acceptable. 209 18. ESCROW CLOSING: At the election of either Party, not less than five (5) Business Days prior to Closing, 210 this sale shall be closed through an escrow with the lending institution or the title company in accordance 211 with the provisions of the usual form of Deed and Money Escrow Agreement, as agreed upon between the 212 Parties, with provisions inserted in the Escrow Agreement as may be required to conform with this Contract. 213 The cost of the escrow shall be paid by the Party requesting the escrow. If this transaction is a cash purchase 214 (no mortgage is secured by Buyer), the Parties shall share the title company escrow closing fee equally. 215 19. DAMAGE TO REAL ESTATE OR CONDEMNATION PRIOR TO CLOSING: If prior to delivery of the deed the 216 Real Estate shall be destroyed or materially damaged by fire or other casualty, or the Real Estate is taken by Buyer Initial Buyer Initial Seller Initial Seller Initial Address 114-116 N. Charming Street, Elgin, Illinois 60120 v. 5.0e 5 217 condemnation, then Buyer shall have the option of either terminating this Contract(and receiving a refund of 218 earnest money) or accepting the Real Estate as damaged or destroyed, together with the proceeds of the 219 condemnation award or any insurance payable as a result of the destruction or damage, which gross 220 proceeds Seller agrees to assign to Buyer and deliver to Buyer at Closing. Seller shall not be obligated to 221 repair or replace damaged improvements. The provisions of the Uniform Vendor and Purchaser Risk Act of 222 the State of Illinois shall be applicable to this Contract,except as modified by this paragraph. 223 20. REAL ESTATE TAX ESCROW: In the event the Real Estate is improved,but has not been previously taxed 224 for the entire year as currently improved, the sum of three percent (3%) of the Purchase Price shall be 225 deposited in escrow with the title company with the cost of the escrow to be divided equally by Buyer and 226 Seller and paid at Closing. When the exact amount of the taxes to be prorated under this Contract can be 227 ascertained, the taxes shall be prorated by Seller's attorney at the request of either Party and Seller's share of 228 such tax liability after proration shall be paid to Buyer from the escrow funds and the balance, if any, shall be 229 paid to Seller. If Seller's obligation after such proration exceeds the amount of the escrow funds,Seller agrees 230 to pay such excess promptly upon demand. 231 21. SELLER REPRESENTATIONS: Seller represents that with respect to the Real Estate Seller has no 232 knowledge of nor has Seller received written notice from any governmental body regarding: 233 (a) zoning,building,fire or health code violations that have not been corrected; 234 (b) any pending rezoning; 235 (c) boundary line disputes; 236 (d) any pending condemnation or Eminent Domain proceeding; 237 (e) easements or claims of easements not shown on the public records; 238 (f) any hazardous waste on the Real Estate; 239 (g) any improvements to the Real Estate for which the required permits were not obtained; 240 (h) any improvements to the Real Estate which are not included in full in the determination of the most 241 recent tax assessment;or 242 (i) any improvements to the Real Estate which are eligible for the home improvement tax exemption. 243 Seller further represents that: 244 1. There [check one]D.is is not a pending or unconfirmed special assessment affecting the Real Estate by 245 any association or governmental entity payable by Buyer after date of Closing. 246 2. The Real Estate [check one]0 is ra is not located within a Special Assessment Area or Special Service 247 Area, payments for which will not be the obligation of Seller after the year in which the Closing occurs. 248 If any of the representations contained herein regarding a Special Assessment Area or Special Service 249 Area are unacceptable to Buyer, Buyer shall have the option to declare this Contract null and void. If 250 Notice of the option to declare this Contract null and void is not given to Seller within ten (10) Business 251 Days after the Date of Acceptance or by the Mortgage Contingency deadline date described in Paragraph 252 11 (whichever is later), Buyer shall be deemed to have waived such option and this Contract shall remain 253 in full force and effect. Seller's representations contained in this paragraph shall survive the Closing. 254 22. CONDITION OF REAL ESTATE AND INSPECTION: Seller agrees to leave the Real Estate in broom clean 255 condition. All refuse and personal property that is not to be conveyed to Buyer shall be removed from the 256 Real Estate at Seller's expense prior to delivery of Possession. Buyer shall have the right to inspect the Real 257 Estate, fixtures and included Personal Property prior to Possession to verify that the Real Estate, 258 improvements and included Personal Property are in substantially the same condition as of the Date of 259 Acceptance,normal wear and tear excepted. Buyer Initial /j Buyer Initial Seller Initial Seller Initial Address 114-116 N. Channing Street, Elgin, Illinois 60120 v. 5.0e 6 • 260 23.MUNICIPAL ORDINANCE,TRANSFER TAX,AND GOVERNMENTAL COMPLIANCE: 261 (a) Parties are cautioned that the Real Estate may be situated in a municipality that has adopted a pre-closing 262 inspection requirement, municipal Transfer Tax or other similar ordinances. Transfer taxes required by 263 municipal ordinance shall be paid by the party designated in such ordinance. 264 (b) Parties agree to comply with the reporting requirements of the applicable sections of the Internal 265 Revenue Code and the Real Estate Settlement Procedures Act of 1974,as amended. 266 24. BUSINESS DAYS/HOURS: Business Days are defined as Monday through Friday, excluding Federal 267 holidays.Business Hours are defined as 8:00 A.M. to 6:00 P.M. Chicago time. 268 25. FACSIMILE OR DIGITAL SIGNATURES: Facsimile or digital signatures shall be sufficient for purposes of 269 executing, negotiating, and finalizing this Contract. 270 26. DIRECTION TO ESCROWEE: In every instance where this Contract shall be deemed null and void or if this 271 Contract may be terminated by either Party, the following shall be deemed incorporated: "and earnest money 272 refunded to Buyer upon written direction of the Parties to Escrowee or upon entry of an order by a court of 273 competent jurisdiction". There shall be no disbursement of earnest money unless Escrowee has been 274 provided written direction from Seller and Buyer. Absent a direction relative to the disbursement of earnest 275 money within a reasonable period of time, Escrowee may deposit funds with the Clerk of the Circuit Court 276 by the filing of an action in the nature of Interpleader. Escrowee shall be reimbursed from the earnest money 277 for all costs, including reasonable attorney fees, related to the filing of the Interpleader action. Seller and 278 Buyer shall indemnify and hold Escrowee harmless from any and all conflicting claims and demands arising 279 under this paragraph. 280 27. NOTICE: Except as provided in Paragraph 31(C)(2) regarding the manner of service for "kick-out" 281 Notices, all Notices shall be in writing and shall be served by one Party or attorney to the other Party or 282 attorney. Notice to any one of a multiple person Party shall be sufficient Notice to all. Notice shall be given in 283 the following manner: 284 (a) By personal delivery;or 285 (b) By mailing to the addresses recited herein by regular mail and by certified mail, return receipt requested. 286 Except as otherwise provided herein, Notice served by certified mail shall be effective on the date of 287 mailing;or 288 (c) By facsimile transmission. Notice shall be effective as of date and time of the transmission, provided that 289 the Notice transmitted shall be sent on Business Days during Business Hours. In the event Notice is 290 transmitted during non-business hours, the effective date and time of Notice is the first hour of the next 291 Business Day after transmission;or 292 (d) By e-mail transmission if an e-mail address has been furnished by the recipient Party or the recipient 293 Party's attorney to the sending Party or is shown on this Contract. Notice shall be effective as of date and 294 time of e-mail transmission, provided that, in the event e-mail Notice is transmitted during non-business 295 hours, the effective date and time of Notice is the first hour of the next Business Day after transmission. 296 An attorney or Party may opt out of future e-mail Notice by any form of Notice provided by this 297 Contract;or 298 (e) By commercial overnight delivery (e.g., FedEx). Such Notice shall be effective on the next Business Day 299 following deposit with the overnight delivery company. 300 28. PERFORMANCE: Time is of the essence of this Contract. In any action with respect to this Contract, the 301 Parties are free to pursue any legal remedies at law or in equity and the prevailing Party in litigation shall be 302 entitled to collect reasonable attorney fees and costs from the non-Prevailing Party as ordered by a court of 303 competent jurisdiction. Buyer Initial filf Buyer Initial Seller Initial Seller Initial Address 114-116 N. Charming Street, Elgin, Illinois 60120 v. 5.0e 7 304 29. CHOICE OF LAW/GOOD FAITH: All terms and provisions of this Contract including but not limited to the 305 Attorney Review and Professional Inspection Paragraphs shall be governed by the laws of the State of Illinois 306 and are subject to the covenant of good faith and fair dealing implied in all Illinois contracts. 307 30. OTHER PROVISIONS: This Contract is also subject to those OPTIONAL PROVISIONS initialed by the 308 Parties and the following attachments,if any:The Rider to the Real Estate Contract for the sale •a 4 116 N.Channing 309 Street, Elgin, Illinois 60120, attached hereto and made a part of this Contract. ,`/ 310 OPTIONAL PROVISIONS(Applicable ONLY if initialed by all Parties) 311 31.SALE OF BUYER'S REAL ESTATE: 312 [Initials] 313 (A) REPRESENTATIONS ABOUT BUYER'S REAL ESTATE:Buyer represents to Seller as follows: 314 (1) Buyer owns real estate commonly known as(address): 315 316 (2) Buyer[check one]a has a has not entered into a contract to sell said real estate. 317 If Buyer has entered into a contract to sell said real estate,that contract: 318 (a) [check one][[`is a is not subject to a mortgage contingency. 319 (b) [check one]p is0"is not subject to a real estate sale contingency. 320 (c) [check one] is is not subject to a real estate closing contingency. 321 (3) Buyer[check one]is has ri has not listed said real estate for sale with a licensed real estate broker and 322 in a local multiple listing service. 323 (4) If Buyer's real estate is not listed for sale with a licensed real estate broker and in a local multiple 324 listing service,Buyer[check one] 325 (a) Ip Shall list said real estate for sale with a licensed real estate broker who will place it in a local 326 multiple listing service within five (5) Business Days after the Date of Acceptance. 327 [For information only] Broker: 328 Broker's Address: Phone: 329 (b) p Does not intend to list said real estate for sale. 330 (B)CONTINGENCIES BASED UPON SALE AND/OR CLOSE OF BUYER'S REAL ESTATE: 331 (1) This Contract is contingent upon Buyer having entered into a contract for the sale of Buyer's real 332 estate that is in full force and effect as of , 20 . Such contract should provide 333 for a closing date not later than the Closing Date set forth in this Contract. If Notice is served on or 334 before the date set forth in this subparagraph that Buyer has not procured a contract for the sale of 335 Buyer's real estate, this Contract shall be null and void. If Notice that Buyer has not procured a 336 contract for the sale of Buyer's real estate is not served on or before the close of business on the 337 date set forth in this subparagraph, Buyer shall be deemed to have waived all contingencies 338 contained in this Paragraph 31, and this Contract shall remain in full force and effect. (If this 339 paragraph is used, then the following paragraph must be completed.) 340 (2) In the event Buyer has entered into a contract for the sale of Buyer's real estate as set forth in 341 Paragraph 31(B)(1) and that contract is in full force and effect, or has entered into a contract for the 342 sale of Buyer's real estate prior to the execution of this Contract, this Contract is contingent upon 343 Buyer closing the sale of Buyer's real estate on or before , 20__. If Notice that 344 Buyer has not closed the sale of Buyer's real estate is served before the close of business on the 345 next Business Day after the date set forth in the preceding sentence,this Contract shall be null and 346 void. If Notice is not served as described in the preceding sentence, Buyer shall be deemed to have 347 waived all contingencies contained in this Paragraph 31, and this Contract shall remain in full 348 force and effect. Buyer Initial V2 Buyer Initial Seller Initial Seller Initial Address 114-116 N. Channing Street, Elgin, Illinois 60120 v. 5.0e 8 • 349 (3) If the contract for the sale of Buyer's real estate is terminated for any reason after the date set forth in 350 Paragraph 31(B)(1) (or after the date of this Contract if no date is set forth in Paragraph 31(B)(1)), 351 Buyer shall, within three (3) Business Days of such termination, notify Seller of said termination. 352 Unless Buyer, as part of said Notice, waives all contingencies in Paragraph 31 and complies with 353 Paragraph 31(D),this Contract shall be null and void as of the date of Notice. If Notice as required 354 by this subparagraph is not served within the time specified, Buyer shall be in default under the 355 terms of this Contract. 356 (C) SELLER'S RIGHT TO CONTINUE TO OFFER REAL ESTATE FOR SALE: During the time of this contingency, 357 Seller has the right to continue to show the Real Estate and offer it for sale subject to the following: 358 (1) If Seller accepts another bona fide offer to purchase the Real Estate while the contingencies expressed 359 in Paragraph 31(B) are in effect, Seller shall notify Buyer in writing of same. Buyer shall then have 360 hours after Seller gives such Notice to waive the contingencies set forth in Paragraph 361 31(B), subject to Paragraph 31(D). 362 (2) Seller's Notice to Buyer (commonly referred to as a 'kick-out' Notice) shall be in writing and shall be 363 served on Buyer,not Buyer's attorney or Buyer's real estate agent. Courtesy copies of such "kick-out" 364 Notice should be sent to Buyer's attorney and Buyer's real estate agent, if known. Failure to provide 365 such courtesy copies shall not render Notice invalid. Notice to any one of a multiple-person Buyer 366 shall be sufficient Notice to all Buyers. Notice for the purpose of this subparagraph only shall be 367 served upon Buyer in the following manner: 368 (a) By personal delivery effective at the time and date of personal delivery;or 369 (b) By mailing to the addresses recited herein for Buyer by regular mail and by certified mail. Notice 370 shall be effective at 10:00 A.M. on the morning of the second day following deposit of Notice in 371 the U.S. Mail;or 372 (c) By commercial overnight delivery (e.g., FedEx). Notice shall be effective upon delivery or at 4:00 373 P.M. Chicago time on the next delivery day following deposit with the overnight delivery 374 company, whichever first occurs. 375 (3) If Buyer complies with the provisions of Paragraph 31(D) then this Contract shall remain in full force 376 and effect. 377 (4) If the contingencies set forth in Paragraph 31(B) are NOT waived in writing within said time period 378 by Buyer,this Contract shall be null and void. 379 (5) Except as provided in Paragraph 31(C)(2) above, all Notices shall be made in the manner provided by 380 Paragraph 27 of this Contract. 381 (6) Buyer waives any ethical objection to the delivery of Notice under this paragraph by Seller's attorney 382 or representative. 383 (D) WAIVER OF PARAGRAPH 31 CONTINGENCIES: Buyer shall be deemed to have waived the contingencies in 384 Paragraph 31(B) when Buyer has delivered written waiver and deposited with the Escrowee additional 385 earnest money in the amount of$ in the form of a cashier's or certified check within the 386 time specified. If Buyer fails to deposit the additional earnest money within the time specified, the waiver 387 shall be deemed ineffective and this Contract shall be null and void. 388 (E) BUYER COOPERATION REQUIRED: Buyer authorizes Seller or Seller's agent to verify representations 389 contained in Paragraph 31 at any time, and Buyer agrees to cooperate in providing relevant information. 390 32. CANCELLATION OF PRIOR REAL ESTATE CONTRACT: In the event either Party has 391 entered into a prior real estate contract, this Contract shall be subject to written cancellation of the prior 392 contract on or before , 20 . In the event the prior contract is not cancelled within the 393 time specified, this Contract shall be null and void. Seller's notice to the purchaser under the prior Buyer Initial , Buyer Initial Seller Initial Seller Initial Address 114-116 N. Charming Street, Elgin, Illinois 60120 v. 5.0e 9 394 contract should not be served until after Attorney Review and Professional Inspections provisions of this 395 Contract have expired,been satisfied or waived. 396 33. CREDIT AT CLOSING: Provided Buyer's lender permits such credit to show on the 397 HUD-1 Settlement Statement, and if not, such lesser amount as the lender permits,Seller agrees to credit to 398 Buyer at Closing$ to be applied to prepaid expenses,closing costs or both. 399 34. INTEREST BEARING ACCOUNT: Earnest money (with a completed W-9 and other 400 required forms), shall be held in a federally insured interest bearing account at a financial institution 401 designated by Escrowee. All interest earned on the earnest money shall accrue to the benefit of and be paid to 402 Buyer. Buyer shall be responsible for any administrative fee (not to exceed$100) charged for setting up the 403 account. In anticipation of Closing, the Parties direct Escrowee to close the account no sooner than ten (10) 404 Business Days prior to the anticipated Closing date. 405 35. VA OR FHA FINANCING: If Buyer is seeking VA or FHA financing, this provision shall 406 be applicable: Required FHA or VA amendments and disclosures shall be attached to this Contract. If VA, 407 the Funding Fee, or if FHA, the Mortgage Insurance Premium (MIP) shall be paid by Buyer and [check one] 408 CI shall CI shall not be added to the mortgage loan amount. 409 36. INTERIM FINANCING: This Contract is contingent upon Buyer obtaining a written 410 commitment for interim financing on or before , 20 in the amount of$ . 411 If Buyer is unable to secure the interim financing commitment and gives Notice to Seller within the time 412 specified, this Contract shall be null and void. If Notice is not served within the time specified, this 413 provision shall be deemed waived by the Parties and this Contract shall remain in full force and effect. 414 37. WELL AND/OR SEPTIC/SANITARY INSPECTIONS: Seller shall obtain at Seller's 415 expense a well water test stating that the well delivers not less than five (5) gallons of water per minute and 416 including a bacteria and nitrate test (and lead test for FHA loans) and/or a septic report from the applicable 417 County Health Department, a Licensed Environmental Health Practitioner, or a licensed well and septic 418 inspector, each dated not more than ninety (90) days prior to Closing, stating that the well and water supply 419 and the private sanitary system are in proper operating condition with no defects noted. Seller shall remedy 420 any defect or deficiency disclosed by said report(s) prior to Closing, provided that if the cost of remedying a 421 defect or deficiency and the cost of landscaping together exceed $3,000.00, and if the Parties cannot reach 422 agreement regarding payment of such additional cost, this Contract may be terminated by either Party. 423 Additional testing recommended by the report shall be obtained at Seller's expense. If the report 424 recommends additional testing after Closing, the Parties shall have the option of establishing an escrow with 425 a mutual cost allocation for necessary repairs or replacements, or either Party may terminate this Contract 426 prior to Closing. Seller shall deliver a copy of such evaluation(s) to Buyer not less than one (1) Business Day 427 prior to Closing. 428 38.WOOD DESTROYING INFESTATION: Notwithstanding the provisions of Paragraph 10, 429 within ten (10) Business Days after the Date of Acceptance, Seller at Seller's expense shall deliver to Buyer a 430 written report, dated not more than six (6) months prior to the date of Closing, by a licensed inspector 431 certified by the appropriate state regulatory authority in the subcategory of termites, stating that there is no 432 visible evidence of active infestation by termites or other wood destroying insects. Unless otherwise agreed 433 between the Parties, if the report discloses evidence of active infestation or structural damage, Buyer has the 434 option within five (5) Business Days of receipt of the report to proceed with the purchase or declare this 435 Contract null and void. Buyer Initial Buyer Initial Seller Initial Seller Initial Address 114-116 N. Channing Street, Elgin, Illinois 60120 v. 5.0e 10 436 39. POST-CLOSING POSSESSION: Possession shall be delivered no later than 11:59 P.M. 437 on the date that is days after the date of Closing("the Possession Date"). Seller shall be responsible 438 for all utilities, contents and liability insurance, and home maintenance expenses until delivery of possession. 439 Seller shall deposit in escrow at Closing with , [check one]a one percent (1%) of the 440 Purchase Price or the sum of$ to be paid by Escrowee as follows: 441 (a) The sum of $ per day for use and occupancy from and including the day after 442 Closing to and including the day of delivery of Possession, if on or before the Possession Date; 443 (b) The amount per day equal to three (3) times the daily amount set forth herein shall be paid for each day 444 after the Possession Date specified in this paragraph that Seller remains in possession of the Real Estate; 445 and 446 (c) The balance, if any, to Seller after delivery of Possession and provided that the terms of Paragraph 22 447 have been satisfied. Seller's liability under this paragraph shall not be limited to the amount of the 448 possession escrow deposit referred to above. Nothing herein shall be deemed to create a 449 Landlord/Tenant relationship between the Parties. 450 40. "AS IS"CONDITION: This Contract is for the sale and purchase of the Real Estate in its 451 "As Is" condition as of the Date of Offer. Buyer acknowledges that no representations, warranties or 452 guarantees with respect to the condition of the Real Estate have been made by Seller or Seller's Designated 453 Agent other than those known defects, if any, disclosed by Seller. Buyer may conduct an inspection at 454 Buyer's expense. In that event, Seller shall make the Real Estate available to Buyer's inspector at reasonable 455 times. Buyer shall indemnify Seller and hold Seller harmless from and against any loss or damage caused by 456 the acts or negligence of Buyer or any person performing any inspection. In the event the inspection reveals 457 that the condition of the Real Estate is unacceptable to Buyer and Buyer so notifies Seller within five (5) 458 Business Days after the Date of Acceptance,this Contract shall be null and void.Failure of Buyer to notify 459 Seller or to conduct said inspection operates as a waiver of Buyer's right to terminate this Contract under 460 this paragraph and this Contract shall remain in full force and effect. Buyer acknowledges that the 461 provisions of Paragraph 10 and the warranty provisions of Paragraph 3 do not apply to this Contract. 462 41. CONFIRMATION OF DUAL AGENCY: The Parties confirm that they have previously 463 consented to 464 (Licensee) acting as a Dual Agent in providing brokerage services on their behalf and specifically consent to 465 Licensee acting as a Dual Agent with regard to the transaction referred to in this Contract. 466 42. SPECIFIED PARTY APPROVAL: This Contract is contingent upon the approval of the 467 Real Estate by 468 Buyer's Specified Party, within five (5) Business Days after the Date of Acceptance. In the event Buyer's 469 Specified Party does not approve of the Real Estate and Notice is given to Seller within the time specified, 470 this Contract shall be null and void. If Notice is not served within the time specified, this provision shall be 471 deemed waived by the Parties and this Contract shall remain in full force and effect. 472 43. MISCELLANEOUS PROVISIONS: Buyer's and Seller's obligations are contingent upon 473 the Parties entering into a separate written agreement consistent with the terms and conditions set forth 474 herein, and with such additional terms as either Party may deem necessary, providing for one or more of the 475 following: (check applicable boxes) 476 0 Articles of Agreement for Deed or a Assumption of Seller's Mortgage 0 Commercial/Investment 477 Purchase Money Mortgage 0 Cooperative Apartment 0 New Construction 478 0 Short Sale Q Tax-Deferred Exchange a Vacant Land Buyer Initial Buyer Initial Seller Initial Seller Initial Address 114-116 N. Charming Street, Elgin, Illinois 60120 v. 5.0e 11 i ■ 479 THIS DOCUMENT WILL BECOME A LEGALLY BINDING CONTRACT WHEN SIGNED BY ALL PARTIES AND 480 DELIVERED TO THE PARTIES OR THEIR AGENTS. 481 The Parties represent that the text of this form has not been altered and is identical to the official Multi-Board 482 Residential nReal E tate Contract 5.0. 483 . --- 14- O42IL/ I Apr' 9, 2014 484 Date of Offer L DATE O' CCEPT 2,, .e ,, 485 li jl�.Gt. �t A/Ogit l .6>CeClit- ve�,YP.�T' /I iii / ? i����. 486 LBuyer Signature t Seller Signatur D r is it Kopf •n, Mayor 487 Attest: J 488 Buyer Signature Seller Signature Kimberly A. Dewis, City Clerk 489 Habitat for Humanity of Northern Fox Valley,an Illinois not-for-profit corporation City of Elgin, an Illinois municipal corporation 490 Print Buyer(s)Name(s)[Required] Print Seller(s)Name(s)[Required] 491 56 S. Grove Street 150 Dexter Court 492 Address Address 493 Elgin, Illinois 60120 Elgin, Illinois 60120 494 City , j,, State Zip City State Zip 495 847-836-1432 ba,t !�.b i r e 847-931-5655 496 Phone ALA- rk- 7. it . Phone E-mail Itloti-D 497 -t FOR INFORMATION ONLY 498 N/A 499 Buyer's Broker MLS# Seller's Broker MLS# 500 N/A 501 Buyer's Designated Agent MLS# Seller's Designated Agent MLS# 502 503 Phone Fax Phone Fax 504 505 E- ail Gerlach E-mail 506 'e I(m he'm U ��Ck e Christopher J. Beck beck c a(�cityofelgin.org 507 Buyer's Attorney m_at Seller's Attorney E-mail L 0atf. 508 847-931-5657 847-931-5665 509 Phone Fax Phone Fax 510 511 Mortgage Company Phone Homeowner's/Condo Association(if any) Phone 512 513 Loan Officer Phone/Fax Management Co. /Other Contact Phone 514 ©2009, Illinois Real Estate Lawyers Association. All rights reserved. Unauthorized duplication or alteration of this form or 515 any portion thereof is prohibited. Official form available at www.irela.org (web site of Illinois Real Estate Lawyers 516 Association). Approved by the following organizations as of July 20,2009 517 Illinois Real Estate Lawyers Association•DuPage County Bar Association•Will County Bar Association 518 Northwest Suburban Bar Association•Chicago Association of REALTORS® 519 Mainstreet Organization of REALTORS® Aurora-Tri County Association of REALTORS® West Towns Board of REALTORS° 520 REALTOR®Association of Northwest Chicagoland•REALTOR®Association of the Fox Valley 521 Oak Park Area Association of REALTORS® McHenry Association of REALTORS® Three Rivers Association of REALTORS® 522 North Shore—Barrington Association of REALTORS® 523 Seller Rejection:This offer was presented to Seller on , 20 at AM/PM 524 and rejected on ,20.............at AM/PM (Seller initials). 0.1.2 Buyer Initial Buyer Initial Seller Initial Seller Initial Address 114-116 N. Charming Street, Elgin, Illinois 60120 v. 5.0e 12 RIDER TO REAL ESTATE CONTRACT FOR THE SALE OF 114-116 N. CHANNING STREET, ELGIN,ILLINOIS 60120 This Rider to the real estate contract is made and entered into this lel day of Maie,h , 2014, by and between the City of Elgin, Illinois, a municipal corporation, (hereinafter alternatively referred to as the "Seller" and the "City") and Habitat For Humanity of Northern Fox Valley, an Illinois not-for-profit corporation (hereinafter referred to as the "Buyer"). WITNESSETH: WHEREAS, the Seller is currently the owner of the property commonly known as 114- 116 N. Channing Street, Elgin, Illinois 60120 (hereinafter referred to as the "Subject Property"); and WHEREAS, Seller and Buyer are concurrently with the entry into this Rider entering into a real estate contract providing for the sale of the Subject Property from the Seller to the Buyer (such contract is hereinafter referred to as the "Subject Contract"); and WHEREAS, the parties wish to set forth further agreements between them regarding the sale of the Subject Property into the Subject Contract and incorporate this Rider into the Subject Contract. NOW, THEREFORE, for and in consideration of the mutual undertakings in the Subject Contract, the undertakings in this Rider, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 1. The provisions of Section 40 of the Subject Contract entitled "As Is Condition" is and shall be included as part of the Subject Contract it being agreed and understood that the Subject Property is being sold and conveyed by the Seller to the Buyer in "as is" condition and that Seller will not be making any repairs nor providing any credit for repairs to the Buyer. 2. Following the conveyance of the Subject Property from the Seller the Buyer agrees to, at its cost, completely renovate the Subject Property (hereinafter referred to as the "Renovation of the Subject Property"). For the purpose of clarification and not as a limitation, the Renovation of the Subject Property by the Buyer shall include (1) the complete rehabilitation of the exterior of the Subject Property, including, but not limited to, new roofing, windows, the restoration or repair of all other exterior components and the painting of the exterior; (2) the complete rehabilitation of the interior of the Subject Property including, but not limited to, the installation of new electrical, plumbing, HVAC, fixtures, flooring, walls, ceilings, trim, doors, lighting, cabinetry, appliances and painting of the interior; (3) any such other and further repairs and renovations to the Subject Property to bring the Subject Property into conformance with applicable codes, ordinances and other requirements of law; and (4) the removal of two (2) dwelling units at the Subject Property, thereby restoring the Subject Property to its original use as a single-family residence. 3. Notwithstanding anything to the contrary in this Rider and the Subject Contract, it is expressly agreed and understood by the Buyer that in performance of this Rider and the Subject Contract and the Renovation of the Subject Property the Buyer shall also comply with all applicable federal, state, city and other requirements of law. Buyer shall also at its expense secure all permits and licenses, pay all charges and fees and give all notices necessary and incident to the due and lawful prosecution of the work necessary to provide for the Renovation of the Subject Property as described in this Rider. All of the Renovation of the Subject Property shall be in compliance with all requirements of law. Without limiting the foregoing, Buyer shall obtain a Certificate of Appropriateness for all exterior work and all exterior work on the Subject Property shall be in conformance with the Elgin Design Guidelines Manual and in conformance with all other applicable codes and ordinances. All costs of the Renovation of the Subject Property shall be paid by the Buyer and the City shall have no responsibility for same. 4. Buyer shall commence with the Renovation of the Subject Property within sixty (60) days of the closing of the sale of the Subject Property from the City to the Buyer (hereinafter referred to as the "Commencement Date"). Upon Buyer commencing with Renovation of the Subject Property, Buyer shall continue with such renovation in as expeditious manner as is reasonably practicable. Buyer shall complete the Renovation of the Subject Property no later than fifteen (15) months following the closing of the sale of the Subject Property from the City to the Buyer (hereinafter referred to as the "Completion Date"); provided, however, that such Commencement Date and Completion Date for the Renovation of the Subject Property shall be extended by one (1) day for each day which construction is delayed or stopped: (1) due to accident, strikes, shortage of materials, extreme weather or acts of God, or (2) any delays encountered by the Buyer while diligently pursuing obtaining a certificate of appropriateness from the City. In the event Buyer requires any further extension of the Completion Date for the Renovation of the Subject Property any such request shall be submitted to the City in writing specifying the reasons for such an extension and the amount of additional time being requested. Any agreement by the City to further extend the Commencement Date or Completion Date for the Renovation of the Subject Property shall be at the sole discretion of the city council of the City. The Renovation of the Subject Property shall be deemed completed when the Buyer has completed all of the work involved with the proposed Renovation of the Subject Property and has obtained a final inspection and new occupancy permit for the Subject Property from the City. 5. Notwithstanding anything to the contrary in this Rider and the Subject Contract, nothing herein is intended or shall be construed as any agreement by the City to provide the Buyer any grants or other funds in connection with the Renovation of the Subject Property or otherwise. It is expressly agreed and understood that all - 2 - costs of the Renovation of the Subject Property shall be paid by the Buyer and the City shall have no responsibility for same whether pursuant to any grant program of the City or otherwise. 6. Buyer shall also be responsible for identifying a qualified new owner through Buyer's ongoing programs for same to own and occupy the Subject Property following the completion of the Renovation of the Subject Property. Notwithstanding the foregoing or anything to the contrary in this Rider, such new owner of the Subject Property shall be an existing resident of the City of Elgin who has resided in the City of Elgin for not less than twelve (12) months prior to the closing with such new owner. 7. The deed of conveyance conveying the Subject Property from the City to the Buyer shall contain a provision making such conveyance subject to the terms and obligations of this Rider. In the event the Buyer shall have failed to commence with the construction of the Renovation of the Subject Property by the date specified in this Rider, or in the event the Buyer fails to complete the Renovation of the Subject Property by the date specified in this Rider, and/or in the event the Buyer otherwise breaches the terms of this Rider, the City may file suit within the Circuit Court for the Sixteenth Judicial Circuit, Kane County, Illinois, for a determination that the Buyer has so breached this Rider and may then pursue any and all available remedies at law, equity or otherwise including but not limited to providing a judgment and terminating the Buyer's rights in and to the Subject Property and require that conveyance back to the City of the Buyer's rights, title and/or interest in and to the Subject Property for the original price paid by the Buyer to the City, free and clear of all rights of the Buyer and any other person or entity. In such event, the other terms of the City's reacquisition of the Subject Property from the Buyer shall be as provided in the Subject Contract but not including this Rider thereto. Upon the Buyer's completion of the Renovation of the Subject Property as provided for in this Rider the City agrees to provide the Buyer a release from the provisions of this Rider in recordable form, with the exception of the provisions of Sections 17, 18, 19 and 22 hereof. Prior to declaring the Buyer in default, the City shall provide the Buyer written notice of any alleged breach or default and thirty (30) days for the Buyer to cure any such breach or default. If Buyer proceeds to diligently pursue curing any such breach or default but such breach or default cannot reasonably be cured within a thirty- day period, such thirty-day period to cure such a breach or default shall be extended for a commercially reasonable time to allow the Buyer to cure such breach or default. 8. Time is of the essence of this Rider. 9. The failure by a party to enforce any provisions of this Rider against the other party shall not be deemed a waiver of the right to do so thereafter. - 3 - 10. This Rider is and shall be deemed and construed to be a joint and collective work product of the City and the Buyer, and, as such, this Rider shall not be construed against the other party, as the otherwise purported drafter of same, by any court of competent jurisdiction in order to resolve any inconsistency, ambiguity, vagueness or conflict, if any, in the terms and provisions contained herein. 11. This Rider shall be binding on the parties hereto and their respective successors and permitted assigns. This Rider and the obligations herein may not be assigned without the express written consent of each of the parties hereto, which consent may be withheld at the sole discretion of either of the parties hereto. 12. This Rider is not intended and shall not be deemed or construed to create an employment, joint venture, partnership or other agency relations between the parties hereto. 13. Buyer shall submit to the City monthly progress reports detailing the progress being made on the Renovation of the Subject Property and a final report on the completed Renovation of the Subject Property. 14. Buyer shall not encumber, sell, convey or otherwise transfer their interest in the Subject Property prior to Buyer having completed the Renovation of the Subject Property and prior to the issuance of a letter of completion and compliance by the City confirming same. 15. Upon completion of the Renovation of the Subject Property, Buyer shall obtain from the City a new occupancy permit confirming a final inspection by the City and confirming that the Renovation of the Subject Property has been completed and the change in land use to the original single-family residential use: 16. Buyer shall supervise and monitor the performance of the work in any way relating to or arising out of the Renovation of the Subject Property in order to ensure compliance with all grant program requirements and all applicable city codes and ordinances and other requirements of law. 17. The City and Buyer hereby expressly agree on behalf of themselves and their successors, assigns and grantees of the Subject Property that the non-conforming three-unit use of the Subject Property has been abandoned, is null and void and that the lawful use of the Subject Property is and shall be as a single family residence. Buyer and Buyer's successors and assigns shall maintain and use the Subject Property solely and only as a lawful, conforming single family residential property in compliance with all applicable ordinances and requirements of law. 18. Buyer hereby agrees to the fullest extent permitted by law to indemnify, defend and hold harmless City, its officers, employees, agents, attorneys, boards and commissions from and against any and all causes of action, suits, claims for damages, and any and all other liability, which may arise out of or relate to this - 4 - Rider or the Renovation of the Subject Property in any way. In the event of any action against the City, its officers, employees, agents, boards or commissions covered by the foregoing duty to indemnify, defend and hold harmless, such action shall be defended by legal counsel of the City's choosing. The provisions of this paragraph shall survive any termination, completion and/or expiration of this Rider. 19. Venue for the resolution of any disputes or the enforcement of any rights arising out of or in connection with this Rider shall be in the Circuit Court of Kane County, Illinois. In no event shall the City be liable for monetary damage to the Buyer for any reason, including, but not limited to, compensatory, consequential or incidental damages or attorney's fees. Notwithstanding anything to the contrary in this Rider, no action shall be commenced by the Buyer or any of its successors, assigns or grantees against the City for monetary damages. 20. The terms of this Rider shall be severable. In the event that any of the terms or provisions of this Rider are deemed to be void or otherwise unenforceable for any reason, the remainder of this Rider shall remain in full force and effect. 21. This Rider shall not be modified or amended other than by written agreement of the parties hereto. 22. This Rider is incorporated into and made part of the Subject Contract. In the event of any conflict between the terms of this Rider and the terms of the Subject Contract, the terms of this Rider shall control. All the obligations of the parties under this Rider to the Subject Contract shall be deemed remade as of the closing and shall survive the closing, and the remedies for breach thereof shall survive the closing and shall not be merged into the closing documents. IN WITNESS WHEREOF, Seller and Buyer have entered into and executed this Rider to as of the date and year first written above. SELLER: BUYER: CITY OF ELGIN HABITAT FOR HUMANITY OF NORTHERN FOX VALLEY By: A!