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HomeMy WebLinkAbout02-391 Resolution No. 02-391 RESOLUTION RATIFYING THE EXECUTION OF A REAL ESTATE SALE CONTRACT (707 West Chicago Street) BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that it hereby ratifies the execution by Ed Schock, Mayor, and Dolonna Mecum, City Clerk, of a Real Estate Sale Contract on behalf of the City of Elgin with Gerald Howell, Jr. , for the purchase of property commonly known as 707 West Chicago Street, Elgin, for $465, 000, a copy of which is attached hereto and made a part hereof by reference . s/ Ed Schock Ed Schock, Mayor Presented: December 18, 2002 Adopted: December 18 , 2002 Omnibus Vote : Yeas : 7 Nays : 0 Attest : s/ Dolonna Mecum Dolonna Mecum, City Clerk c, Resolution No. 02-391 flow RESOLUTION RATIFYING THE EXECUTION OF A REAL ESTATE SALE CONTRACT (707 West Chicago Street) BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that it hereby ratifies the execution by Ed Schock, Mayor, and Dolonna Mecum, City Clerk, of a Real Estate Sale Contract on behalf of the City of Elgin with Gerald Howell, Jr. , for the purchase of property commonly known as 707 West Chicago Street, Elgin, for $465, 000 , a copy of which is attached hereto and made a part hereof by reference. Ed Schock, Mayor Presented: December 18, 2002 Adopted: Vote: Yeas Nays : Recorded: Attest : Dolonna Mecum, City Clerk Draft 12/2/024") REAL ESTATE SALE CONTRACT 1 . Agreement to Purchase. The City of Elgin, Illinois, an Illinois municipal corporation ("Purchaser" ) agrees to purchase at a price of Four Hundred Sixty-Five Thousand Dollars ($465, 000) , on the terms set forth herein, certain real estate and all improvements thereon and appurtenances thereto, such real estate consisting of the property commonly known as 707 West Chicago Street, Elgin, Kane County, Illinois 60123 , Permanent Index No. 06-14-332-001, the legal description and dimensions thereof being set forth on "Exhibit A" attached hereto and incorporated herein by this reference (such real estate, all improvements thereon and appurtenances thereto are hereinafter collectively referred to as the "Real Estate" ) . 2 . Agreement to Sell . Gerald Howell, Jr. ("Seller") agrees to sell the Real Estate described above at the price and terms set forth herein, and to convey or cause to be conveyed to Purchaser title thereto by a recordable warranty deed, with release of homestead rights, and a proper bill of sale and subject only to general taxes for the year 2002 and subsequent years . 3 . Payment Structure . At the Closing, Purchaser shall pay the total Purchase Price, plus or minus prorations . 4 . Survey. Not less than thirty (30) days prior to the Closing, Seller, at its own expense, agrees to furnish Purchaser a plat of survey of the Real Estate dated within six (6) months of the Closing, made, and so certified by the surveyor to Purchaser, or other persons designated by Purchaser and the Title Company as having been made in accordance with the Minimum Standard Detail Requirements for ALTA/ASCM land Title Surveys and Mapping, 1992, including, without limitation, all items (except for items 5, 7, 9, 10 and 12 in Table A thereof with accuracy standards appropriate to suburban settings and for Purchaser' s intended fire station use of the Real Estate) . The survey shall also include a certification by the surveyor (i) as to the square footage of the Real Estate (excluding any portion thereof lying in a public right-of-way) and (ii) that the Real Estate is not located in a flood plain, wetland or special flood hazard zone . Such survey shall further indicate all applicable easements and rights of way. 5 . Closing. The time of Closing ( "Closing" or "Closing Date" ) shall be on or before January 3 , 2003 , or such other date as may hereafter be agreed to by the parties, or on the date, if any, to which such time is extended by reason of Section 8 hereafter becoming operative. Unless subsequently mutually agreed otherwise, Closing shall take place at the 47) office of the Escrowee (as hereinafter defined) , provided title is shown to be good or is accepted by Purchaser. 6 . Commissions . Seller shall compensate Seller' s real (00.- estate broker ReMax Horizon in accordance with Seller' s agreement with Seller' s real estate broker. It is agreed and understood and Purchaser shall have no responsibility to pay any real estate commission. Seller and Purchaser each warrant to the other that they have dealt with no other broker in connection with this transaction. Each party agrees to indemnify, hold harmless and defend the other party from any loss, costs, damages or expense (including reasonable attorney' s fees) arising out of a breach of the warranty contained in this Section 6 . 7 . Title . Seller shall deliver or cause to be delivered to Purchaser or Purchaser ' s agent, not less than fifteen (15) days prior to the Closing, at Seller ' s expense, a title commitment for a 1970 ALTA owner ' s title insurance policy issued by Chicago Title Insurance Company (the "Title Company") in the amount of the purchase price and including extended coverage over the so-called "general exceptions" to the Policy, covering title to the Real Estate on or after the date hereof, showing title in the intended grantor subject only to (a) the title exceptions set forth in Section 2 above, (b) title exceptions pertaining to liens or encumbrances of a definite or ascertainable amount which may be removed by the payment of money at the time of Closing and which the Seller shall so remove at that time by using the funds to be paid upon the delivery of the deed, (c) acts of Purchaser and all parties acting through or for Purchaser and (d) zoning laws, statutes and ordinances . At Closing, Seller also shall furnish Purchaser an affidavit of title in customary form covering the date of Closing and showing title in Seller subject only to the Permitted Exceptions . 8 . Title Clearance. If the title commitment or plat of survey discloses either unpermitted exceptions or survey matters that render the title not in conformance with the provisions of this agreement (herein referred to as "survey defects" ) , Seller shall have thirty (30) days from the date of delivery thereof to have the exceptions removed from the commitment or to correct such survey defects or, if Purchaser so approves in writing, to have the Title Company commit to insure against loss or damage that may be occasioned by such exceptions or survey defects, and, in such event, the time of Closing shall be twenty (20) days after the delivery of the commitment or the time expressly specified in Section 5 hereof, whichever is later. If Seller fails to have the exceptions removed or correct any survey defects, or in the alternative, to obtain the commitment for title insurance specified above as to such exceptions or survey defects (if Purchaser so approves in writing) within the specified time, Purchaser may terminate this Contract or may elect, upon notice to Seller within ten (10) days after the expiration of the 30-day period, to take title as it then is with the right to deduct from the purchase price liens or encumbrances of a definite or ascertainable 2 amount . If Purchaser does not so elect, this Contract shall4111) become null and void without further actions of the parties . 9 . Prorations . General taxes shall be adjusted ratably as of the time of Closing. If the amount of the current general taxes is not then ascertainable, the adjustment thereof, except for that amount which may accrue by reason of new improvements, shall be on the basis of 105% of the amount of the most recent ascertainable taxes, subject to reproration when the amount thereof becomes ascertainable . Seller shall pay the amount of any stamp tax imposed by state or county law or local ordinance on the transfer of title, if any, and furnish a completed Real Estate Transfer Declaration signed by Seller or Seller' s agent in the form required pursuant to the Real Estate Transfer Tax Act of the State of Illinois, and shall furnish any declaration signed by Seller or Seller' s agent or meet other requirements as established by any county or local ordinance with regard to a transfer or transaction tax. 10 . Bill of Sale for Fixtures and Personal Property. Seller shall transfer to Purchaser at Closing by a bill of sale the following fixtures and personal property now located on the real estate : heating systems; electrical systems; plumbing systems; central air conditioning systems; sump pump; security systems; fire alarm systems; smoke and carbon monoxide detectors; window shades, blinds, attached shutters, draperies 44) and curtains, hardware and other window treatments; wall-to- wall carpeting; electric air filter; central humidifier; ceiling fans; all planted vegetation; existing storm windows and screens . 10 . Seller Warranties : Seller represents and warrants to Purchaser as follows : (a) Seller is not a "foreign person" within the meaning of Section 1445 of the Internal Revenue Code. At closing, Seller shall deliver to Purchaser a certificate of non-foreign status . (b) There are no existing leases affecting the Real Estate. (c) There are no existing contracts or options to purchase the Real Estate . (d) There exists no management agreement, exclusive brokerage agreement or service agreement of any kind relative to the Real Estate that will continue in force beyond the closing date . e) As of the Closing Date, the building on the Real 47) Estate and the Real Estate will be vacant and unoccupied. 3 f f) There are no underground storage tanks on the Real Estate . g) To the best of Seller' s knowledge, neither the improvements on the Real Estate nor the Real Estate contain any friable asbestos and no polychlorinated biphenyls (PCBs) are located in, on or under the Real Estate (including, without limitation, in, on or under any equipment located thereon) . h) To the best of Seller' s knowledge, no hazardous materials or substances have been located on the Real Estate or have been released into the environment, or discharged, placed or disposed of, at or under the Real Estate . i) To the best of Seller' s knowledge, the Real Estate has never been used as a dump for waste material . j ) To the best of Seller' s knowledge, the Real Estate and its prior uses comply with and at all times have complied with any applicable governmental law, regulation or requirement relating to environmental and occupational health and safety matters and hazardous materials or substances . 12 . Condition of the Real Estate at Closing. Seller agrees and shall deliver to Purchaser at Closing possession of the Real Estate including but not limited to all improvements thereon and appurtenances thereto in the same condition as it is at the date of this contract , ordinary wear and tear excepted. Seller at its cost shall prior to closing remove from the Real Estate hereof all debris and Seller' s personal property not conveyed by bill of sale to Purchaser and shall deliver the Real Estate to the Purchase in broom clean condition. 13 . RPTA Compliance. Seller shall determine whether the terms of the Illinois Responsible Real Estate Transfer Act ( "RPTA") apply to the transaction contemplated by this Contract . Seller shall deliver to Purchaser (i) an environmental disclosure form as required pursuant to RPTA, or (ii) an affidavit certifying that the transaction is not subject to RPTA on or before Closing. 14 . Survival . All representations, warranties, indemnities and covenants made by Seller to Purchaser under this Contract shall be deemed remade as of the Closing and shall survive the Closing, and the remedies for the breach thereof shall survive the Closing and shall not be merged into ep. the closing documents . 4 t 15 . Closing Documents . In addition to the deed, 47) affidavit of title, transfer declarations and other documents described in this Contract, Seller shall deliver or cause to be delivered to Purchaser at Closing the following: (a) an ALTA statement signed by Seller; (b) waivers of or insurance over broker' s lien claims by all real estate brokers involved in the transaction contemplated by this Contract; (c) a title policy or marked-up commitment in the amount of the purchase price, dated on the Closing Date, insuring title in Purchaser or Purchaser' s nominee, in the condition required under Section 7 . 16 . Default . Seller and Purchaser agree that, in the event of a default by either party the other party shall , prior to taking any such action as may be available to it , provide written notice to the defaulting party stating that they are giving the defaulted party thirty (30) days within which to cure such default . If the default shall not be cured within the thirty (30) days prior aforesaid, the party giving such notice shall be permitted to avail itself of remedies to which it may be entitled under this agreement . Am) 17 . Remedies . In the event that either party fails or refuses to carry out its obligations under this agreement the other party shall be free to pursue any available legal remedies at law or in equity. 18 . Escrow. This sale shall be closed through an escrow (the "Escrow" ) with Chicago Title and Trust Company ( "Escrowee" ) , in accordance with the provisions of the Deed and Money Escrow Agreement then in use by Escrowee, with such special provisions inserted in the escrow agreement as may be required to conform with this Contract . Upon the creation of such Escrow, payment of the purchase price and delivery of deed shall be made through the Escrow and the earnest money shall be deposited in the Escrow. The cost of the Escrow and any so- called "New York Style" closing fee shall be divided equally between Seller and Purchaser. Purchaser and Seller shall make all deposits into the escrow in a timely manner to permit the Escrowee to disburse the Escrow on the Closing Date . 19 . Time . Time is of the essence of this Contract . 20 . Manner of Payment . Any payments herein required to be made at the time of Closing shall be by certified check, cashier ' s check, City of Elgin check or wire transfer. 5 r 21 . Notices . All notices herein required shall be in eiw writing and shall be served on the parties at the addresses following their signatures . The mailing of a notice by registered or certified mail, return receipt requested, or personal delivery by courier service shall be sufficient service . 23 . Interpretation. This contract shall be construed, and the rights and obligations of Seller and Purchaser hereunder, shall be determined in accordance with the laws of the State of Illinois without reference to its conflict of laws rules . 24 . Failure to Enforce Provisions . The failure by a party to enforce any provision of this agreement against the other party shall not be deemed a waiver of the right to do so thereafter. 25 . Amendments . This agreement may be modified or amended only in writing signed by the parties hereto, or their permitted successor or assigns, as the case may be . 26 . Entire Agreement . This agreement contains the entire agreement and understanding of the parties herein, all prior agreements and undertakings having been merged herein and extinguished hereby. rik 27 . Joint and Collective Work Product . This agreement is and shall be deemed and construed to be a joint and collective work product of the Purchaser and the Seller, and, as such, this agreement 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, and the terms or provisions contained herein. 28 . Assignment . This agreement shall be binding on the parties hereto and their respective successors and permitted assigns . This agreement and the obligations hereunder may not be assigned without the express written consent of each of the parties hereto. 6 29. Unifa= Ven or and Purchase Risk Act The parties agree that thce provisions of the Uniform vendor and Purchase Risk Act of the State of Illinois (765 ILCS 65/1 et seq. ) shall be applicable to this contract. 47) DAi'±D: December 4, , 20.02 CITY OF ELGIN GERALD HOWELL, JR. BY: ..1/ J.14k �.,! ��� _f.1 • . MAYOR ,/ Attest: ycle� 150 Dexter Court 35W365 Crescent Drive Elgin, Illinois 60120-5555 West Dundee, Illinois 60118 Attention: City Manager with a copy of any notice to: with a copy of any notice to: William A. Cogley Corporation Counsel City of Elgin 150 Dexter Court Elgin, IL 60 .20-5555 A7)7 f • EXHIBIT A PLAT OF SURVEY DALE A. FLOYD 463 GALE STREET ELGIN, IL 60123 PHONE: 708-742-7691 LOTS 1, 2, 15 AND 16 IN BLOCK 3 OF OAK RIDGE ADDITION TO ELGIN, IN THE CITY OF ELGIN, KANE COUNTY, ILLINOIS. COMMONLY KNOWN AS: . 707 W. CHICAGO STREET, ELGIN, ILLLINOIS. • W. CHICAGO STREET 5 ' -16°• - 269. 70 nE - sE, Si gyp°' `•' - . .�• - _ _-•,- cRo J 2.03 . . 80.00 • , Z :l, . ; � LOT l.J)y I G LOT 1 j4,; j. BR1CK ASPii 7 o Q01 BCP.6. n 3 • r4 N C7J�IMERCIAC �.n. PARKING _----- • Q R` ,, C... jwW_ t� Q • .'3-';i, LOT ••-, i 5 WCij ;. Q • .2-,.a. w LOT 2 a (V^ cr.a. ` F ex v l M m A � b O L' O N_Oj k ro.ro ((��� fle ' n 26 3. 90 / E•A. Fmo• i ti tm ix Ih 4 Il4,1 4Z.v