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HomeMy WebLinkAbout22-100 Resolution No. 22-100 RESOLUTION AUTHORIZING EXECUTION OF AN AMENDMENT TO REAL ESTATE CONTRACT FOR THE PURCHASE OF 356-358 DUNDEE AVENUE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that pursuant to Elgin Municipal Code Section 5.02.020B(9)the City Council hereby finds that an exception to the requirements of the procurement ordinance is necessary and in the best interest of the city; and BE IT FURTHER RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that Richard G. Kozal, City Manager, and Kimberly A. Dewis, City Clerk, be and are hereby authorized and directed to execute an Amendment to Real Estate Contract on behalf of the City of Elgin with Cox Family Land Company LLC Series 356 and Daniel Cox, Sr., for the purchase of the property commonly known as 356-358 Dundee Avenue, Elgin, IL 60120, a copy of which is attached hereto and made a part hereof by reference. s%David J. Kaptain David J. Kaptain, Mayor Presented: June 8, 2022 Adopted: June 8, 2022 Vote: Yeas: 8 Nays: 0 Attest: s/Kimberly Dewis Kimberly Dewis, City Clerk AMENDMENT TO REAL ESTATE CONTRACT This Amendment to Real Estate Contract ("Amendment") is entered into as of the 8th day of June , 2022, by and between the City of Elgin, Illinois, a municipal corporation ("Purchas r' and Cox Family Land Company LLC Series 356 and Danial Cox, Sr. ("Seller"). WHEREAS,the Purchaser and Seller have entered into a real estate sale contract executed by Seller on December 23, 2021, and by Purchaser on January 12, 2022, providing for the sale from the Seller to Purchaser of the properly commonly known as 356-358 Dundee Avenue, Elgin, Illinois 60120(the"Subject Property"and the"Subject Contract"); and WHEREAS,as part of Seller's investigation of the Subject Property pursuant to the Subject Contract the Purchaser had performed both Phase I and Phase II environmental assessments; and WHEREAS, the Phase 1I environmental assessment of the Subject Property identified certain chemicals which exceed the class I and/or class 2 ground water remediation objectives (GRO) for such chemicals; and WHEREAS, the Purchaser advised the Seller that based upon the findings in the Phase II environmental site assessment of the Subject Property, in order to proceed with the proposed purchase of the Subject Property, the Purchaser requires that the Seller agree to provide the City a credit against/a reduction in the purchase price in the amount of a$50,000 credit/reduction; and WHEREAS, the Seller is willing to provide the Purchaser such a credit against/a reduction in the purchase price of$50,000, subject to the terms as set forth in this Amendment. NOW, THEREFORE, for and in consideration of the mutual undertakings contained herein,and the mutual undertakings set forth in the Subject Contract,and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto agree as follows: 1. The Subject Contract is hereby amended as follows: A. The Seller hereby agrees to and does provide to the Purchaser a credit against/a reduction in the purchase price of $50,000, thereby reducing the purchase price from the current amount of $145,000 to $95,000 (hereinafter referred to as the "Credit in the Purchase Price"). B. The Purchaser intends to use such Credit in the Purchase Price to address environmental conditions on the Subject Property including, but not limited to, conducting additional site investigations such as additional soil borings and ground water analysis, utilizing the services of an environmental consultant, preparing and processing an application with the State of Illinois to enroll the Subject Property into the state's site remediation program (SRP), conducting required or appropriate environmental remediation on the Subject Property and obtaining a no further remediation letter (NFR) from the Illinois Environmental Protection Agency for the Subject Property (the costs to address the environmental conditions on the Subject Property are hereinafter collectively referred to as `Environmental Costs"). The activities to be undertaken by or on behalf of Purchaser to address the environmental conditions on the Subject Property and the nature and amount of the Environmental Costs shall be as determined by the Purchaser in its sole discretion. C. The Purchaser shall provide to the Seller within the thirty-six (36) months after the Closing on the sale of the Subject Real Estate from the Seller to the Purchaser a written report detailing the expenditures of the $50,000 Credit in the Purchase Price for Environmental Costs. In the event the Purchaser has not expended the entirety of such $50,000 for Environmental Costs within such thirty-six (36) period following the Closing, Purchaser shall pay to the Seller any remaining unspent balance of such $50,000 credit. For the purpose of clarification, in the event Purchaser has expended $50,000 or more for Environmental Costs no payment will be due or provided to the Seller. D. The Closing of the sale of the Subject Property pursuant to the Subject Contract will occur within fourteen(14)days after the parties have entered into this Amendment. E. The provisions of this Amendment shall survive the Closing and the sale of the Subject Property and shall not be merged into the deed. The provisions of this Amendment shall be binding upon and enforceable against and inure to the benefit of any executors, successors or assigns of Seller and Purchaser. F. That this Amendment is incorporated into and made part of the Subject Contract. In the event of any conflict between the terms with this Amendment and the Subject Contract, the terms of this Amendment shall supersede and control. 2. That as except as expressly amended in this Amendment,the Subject Contract shall remain in full force and effect. IN WITNESS WHEREOF, the parties have entered into an executed this Amendment as of the date year first written above. CITY OF EL COX FAMILY LAND COMPANY LLC RIES 356 ichard G. Kozal, City Manager Its .}L AN E M 136 Z- At s DANIEL COX, SR. City Clerk Legal Dept\Real Estate\Amend RE Contract-356-358 Dundee Ave-Clean-5-27-22.docx 2