HomeMy WebLinkAboutResolutions - 1999.12.16 - 25684December 16, 1999 MISCELLANEOUS RESOLUTION #99338 BY: PLANNING AND BUILDING COMMITTEE - CHARLES E. PALMER, CHAIRPERSON In RE: DEPARTMENT OF FACILITIES MANAGEMENT - OFFER TO PURCHASE VACANT 32.49 ACRE PARCEL OF LIGHT INDUSTRIAL PROPERTY LOCATED IN THE CITY OF AUBURN HILLS, KNOWN AS TAX IDENTIFICATION NO. 14-03-100-026 TO: OAKLAND COUNTY BOARD OF COMMISSIONERS MR. CHAIRPERSON, LADIES, AND GENTLEMEN: WHEREAS, the County of Oakland is the owner of a vacant 32.49 acre parcel of light industrial property located in the City of Auburn Hills, known as Tax Identification No. 14-03-100-026 on the City tax rolls and being more specifically described as: Part of Northwest 1/4 Section 3, Town 3 North, Range 10 East, City of Auburn Hills, Oakland County, Michigan, Beginning at point distant South 02 degrees 45 minutes 48 seconds East 1493.23 feet from North 1/4 corner; thence South 02 degrees 45 minutes 48 seconds East 778.09 feet; thence South 87 degrees 14 minutes 12 seconds West 768.82 feet; thence South 03 degrees 43 minutes 15 seconds East 718.74 feet; thence South 86 degrees 58 minutes 50 seconds West 627.18 feet; thence North 02 degrees 43 minutes 58 seconds East 1505.53 feet; thence North 87 degrees 11 minutes 39 seconds East 1239.78 feet to beginning; and WHEREAS, the property was originally acquired pursuant to Miscellaneous Resolution #90124 for the construction of a waste-to-energy conversion incinerator and material recycling facility; and WHEREAS, pursuant to Miscellaneous Resolution #93249, the Oakland County Board of Commissioners concluded its efforts to implement a county-wide fully integrated solid waste management system; and WHEREAS, on August 31, 1999, the Department of Facilities Management received authorization from the Oakland County Board of Commissioners' Planning and Building Committee to advertise for the sale of this property pursuant to Board of Commissioners' Procedures for the sale of county-owned property; and WHEREAS, pursuant to the Board of Commissioners procedures for the Sale and Purchase of Property, this property was advertised for sale in the Oakland Press, the Detroit News and Free Press, Craine's Detroit Business and on the Oakland County Government Internet Website to receive sealed offers; and WHEREAS, on October 22, 1999, nine sealed offers were received for the sale of the property; and WHEREAS, it is the recommendation of the Department of Facilities Management to accept the highest offer of Campbell Manix, Inc., 21520 Bridge Street, Southfield, Michigan 48034 in the amount of $7,800,000; and WHEREAS, upon acceptance of the Purchase Agreement from Campbell Manix, Inc. in the amount of $7,800,000, the County of Oakland hereby agrees to sell 32.49 acres of light industrial land located in the City of Auburn Hills, Michigan, known as Tax Identification No. 14-03-100-026. NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners hereby accepts the Purchase Agreement from Campbell Manix, Inc. in the amount of $7,800,000 for the purchase of 32.49 acres of light industrial land located in the City of Auburn Hills being more specifically described as: Part of Northwest 1/4 Section 3, Town 3 North, Range 10 East, City of Auburn Hills, Oakland County, Michigan, Beginning at point distant South 02 degrees 45 minutes 48 seconds East 1493.23 feet from North 1/4 corner; thence South 02 degrees 45 minutes 48 seconds East 778.09 feet; thence South 87 degrees 14 minutes 12 seconds West 768.82 feet; thence South 03 degrees 43 minutes 15 seconds East 718.74 feet; thence South 86 degrees 58 minutes 50 seconds West 627.18 feet; thence North 02 degrees 43 minutes 68 seconds East 1505.53 feet; thence North 87 degrees 11 minutes 39 seconds East 1239.78 feet to beginning; known as Tax Identification No. 14-03-100-026. BE IT FURTHER RESOLVED that the County of Oakland Board of Commissioners hereby directs its Chairperson or its designee to execute the necessary documents for the sale of this property located in the City of Auburn Hills and identified at Tax Identification No. 14-03-100-026. BE IT FURTHER RESOLVED that it is mutually understood this is a cash sale and "as is" condition. Mr. Chairperson, on behalf of the Planning and Building Committee, I move the adoption of the foregoing resolution. P de• n • AND BUIL 1.1 MMITTEE A?'" , 41 , Planning and Building Committee Vote: Motion carried unanimously on a roll call vote with Sever absent. PURCHASE AGREEMENT This Purchase Agreement (hereinafter "Agreement") is made and entered into this day of December, 1999, by and between, County of Oakland, a Michigan Constitutional Corporation, 1200 North Telegraph Road, Pontiac, Michigan 48431 (hereinafter "Seller") and Campbell Manix Inc., 21520 Bridge Street, Southfield, Michigan 48034 (hereinafter "Purchaser") for the purchase of all right, title and interest in the real property, described below, located in the City of Auburn Hills, Michigan near the intersection of Harmon and Giddings Roads (hereinafter "property"): Legal Description Part of Northwest 1/4 Section 3, Town 3 North, Range 10 East, City of Auburn Hills, Oakland County, Michigan, Beginning at point distant South 02 degrees 45 minutes 48 seconds East 1493.23 feet from North 1/4 comer; thence South 02 degrees 45 minutes 48 seconds East 778.09 feet; thence South 87 degrees 14 minutes 12 seconds West 768.82 feet; thence South 03 degrees 43 minutes 15 seconds East 718.74 feet; thence South 86 degrees 58 minutes 50 seconds West 627.18 feet; thence North 02 degrees 43 minutes 58 seconds East 1505.53 feet; thence North 87 degrees 11 minutes 39 seconds East 1239.78 feet to beginning. Tax Item No. 14-03-100-026 1. PURCHASE PRICE/CONSIDERAION The purchase price for the property shall be Seven Million and Eight Hundred Thousand dollars ($7,800,000.00) payable as follows: 1.1. Earnest Money Deposit The Purchaser shall pay the sum of Seven Hundred and Eighty Thousand dollars ($780,000.00) as an earnest money deposit. Upon execution of this Agreement, the earnest money deposit, shall be deposited in an interest bearing account by the Seller. The deposit and the interest accrued shall be applied toward the purchase price at the time of closing or disbursed to the Seller or the Purchaser in accordance with this Agreement. 1.2. Cash Sale After applying the earnest money deposit and the interest accrued, the • balance of the purchase price shall be wired to Oakland County at: National City Bank, C. Hugh Dohany, Transfer Account, Account #8130416251, ABA 072 000 915. 2. TITLE CONVEYED Title to the property shall be conveyed at the closing by a warranty deed conveying marketable title to the property. 3. TITLE INSURANCE Within 30 days after entering into the Purchase Agreement, the Seller shall provide to the Purchaser a commitment for a standard ALTA fee owner's policy of title insurance, issued by a reputable title insurance company and, at closing, the Seller will pay the premium for issuance of such a policy. 4. TITLE OBJECTIONS The Purchaser shall have 30 days after receipt of such commitment to object to the condition of the title, based upon the written opinion of the Purchaser's attorney that the title is not marketable. Upon written notice by the Purchaser, the Seller shall have 30 days from the date the Seller is notified, of the particular defect(s) in the title, to either (1) remedy the defects, or (2) obtain a commitment for title insurance, insuring in a manner satisfactory to the Purchaser, the Purchaser's title against such defects claimed. If the Seller fails to remedy the defects, or obtain such commitment for title insurance within said period, Purchaser may waive said title defects and close subject to it or demand and receive a refund of the earnest money deposit. 5. DUE DILIGENCE INVESTIGATIONS The Purchaser will have 120 days, after the Oakland County Board of Commissioners approves this Agreement, to conduct the following due diligence property investigations: 5.1. ALTA/ACSM boundary survey of the property. 5.2. Wetlands determination and, if necessary, delineation. 5.3. Environmental site assessment to verify that the property is free of any recognized environmental condition. 5.4. Geotechnical soil boring study to determine that the site will support typical light industrial structures, using conventional construction methods. 5.5. Confirmation that utilities are available at the property lines and that zoning is appropriate for development and construction of light industrial buildings without zoning change or variance. 5.6. And other investigations that the Purchaser, in its sole discretion, shall deem appropriate. During the 120 day period, the Purchaser and its agents shall have access to the property to conduct the investigations described in Paragraph 5 and its subsections. The earnest money deposit will be fully refundable if the Purchaser, in its sole discretion, is not satisfied with the condition of the property, as 2 evidenced by the due diligence investigations. The notice that the Purchaser is not satisfied with the condition of the land must be in writing and received by the Seller no later than 120 days after the Oakland County Board of Commissioners approves this Agreement. If the Purchaser notifies the Seller that it is not satisfied with the condition of the property, the Purchaser is under no obligation to state why it is not satisfied with the condition of the property. The Purchaser must request a refund of the earnest money deposit, in writing, on or before 120 days after the Oakland County Board of Commissioners approves this Agreement 6. WARRANTIES AND RESPRESENTATIONS Except for the following representations and warranties, the Purchaser takes the property in its AS IS condition WITHOUT REPRESENTATION OR WARRANTY OF ANY KIND BY THE SELLER: 6.1. The Seller is the fee simple owner of the property and has the power and authority to enter into this Agreement, and this Agreement is not in violation of any other agreement, covenant, order or decree of any governmental authority to which the Seller or the property is bound. 6.2. The legal description set forth in this Agreement is an accurate description of the property and does not include any adjacent or contiguous land owned by the Seller. 6.3. There are no leases, rights of first refusal, contracts or other agreements of any kind with respect to the property. 6.4. The Seller has no knowledge of any lawsuits, condemnation proceedings or environmental investigations pending or threatened, affecting the property or the Seller's ability to convey the property. The Seller has taken all requisite action to authorize, approve and consummate this transaction. 7. CLOSING 7.1: The closing shall be held on or before, at the Purchaser's option, May 4, 2000. The closing shall be held at a time and place agreed upon by the parties. If the parties do not agree on a time and a place, the closing shall be held at 10:00 a.m. on May 4, 2000 at the offices of Maddin , Hauser, Wartell, Roth, Heller & Pesses, P.C., 28400 Northwestern Highway, Southfield, Michigan. 7.2. If this Agreement is not approved by the Oakland County Board of Commissioners this Agreement shall be null and void. 3 7.3. The Seller shall be responsible for preparing the documents for the closing. The documents shall be delivered to the buyers for review at least 10 days before the closing. 7.4. At the closing, the Seller shall sign and deliver to the Purchaser a statutory form warranty deed conveying marketable, fee simple title to the property with consideration stated in a separate Real Estate Transfer Valuation Affidavit or similar document. 7.5. At the closing, the Seller shall provide an Affidavit of No Liens on the Title Company's standard form, sufficient to permit the Title Company to delete the standard Schedule B exceptions. 7.6. At the closing, the Seller shall provide a Certificate of Accuracy, attached as Exhibit A, regarding the Repiesentations and Warranties made in Paragraph 6. 7.7. The Seller and the Purchaser shall sign a closing statement memorializing the transaction. 7.8. The Seller and the Purchaser shall sign and or prepare other documents that are necessary to complete the property transfer. 8. TAXES, ASSESSMENTS AND FEES 8.1. The Seller shall pay the real estate transfer taxes. 8.2. The real estate taxes on the property shall be prorated to the date of the closing according to the due dates. 8.3. The Seller shall pay all assessments that are assessed on the property on or before the closing. The Purchaser shall pay all assessments that arise after the closing. 8.4. The Purchaser shall pay the recordings fees, prepare, and file all recording and transfer affidavits. 9. POSSESSION The Seller shall deliver possession of the property to the Purchaser at the closing. 10. DEFAULT OF PURCHASER In the event, the Purchaser shall default in the performance of its obligations contained in this Purchase Agreement, the Seller may: 10.1. Declare that the Purchaser has forfeited all rights under this Agreement and retain the earnest money deposit, including the interest accrued as liquidated 4 damages. The retention of the deposit shall cancel this Agreement and be in full satisfaction of all claims that the Seller may bring. 11. DEFAULT BY SELLER In the event, the Seller shall default in the performance of its obligations contained in this Purchase Agreement, the Purchaser may: 11.1. Specifically enforce this Agreement and require specific performance of this agreement; or 11.2. Demand a refund of the entire earnest money deposit, including the interest accrued. The return of the deposit shall cancel this Agreement and be in full satisfaction of all claims that the Purchaser may bring. 12. NOTICE Notice required under this Agreement must be in writing and personally delivered, sent certified mail, return receipt requested, overnight courier service, or by facsimile transmission and addressed as follows: 12.1. To Oakland County: Department of Facilities Management, Director Public Works Building One Public Works Drive Waterford, Michigan 48328 To Campbell/Manix: Douglas W. Manix Campbell/Manix, Inc. 21520 Bridge Street Southfield, MI 48034 12.3. Either party may change the address to which notice is to be sent by notifying the other party in writing of the change of address. 13. GOVERNING LAW This Agreement is made and entered into in the State of Michigan and shall in all respects be interpreted, enforced, and governed under the laws of the State of Michigan. 14. TIME OF THE ESSENCE Time is of the essence for this Agreement. 12.2. 5 15. AMENDMENTS OR MODIFICATIONS Any modifications, rescissions, waivers, releases, or amendments of this Agreement must be in writing and agreed to by both parties. 16. BINDING EFFECT 16.1. This Agreement shall bind the parties, their successors, and their assigns. 16.2. The Purchaser may freely assign its interest hereunder. 17. CONDEMNATION 17.1. In the event that notice of any action, suit or proceeding shall be given prior to the closing date for the purpose of condemning any part of the property, the Purchaser may terminate this Agreement within fifteen (15) days after receiving notice of such condemnation proceeding. The Purchaser must notify the Seller in writing of its decision to terminate the Agreement. 17.2. Upon receipt of the notice of termination, the earnest money deposit, including the interest accrued shall be refunded to the Purchaser, and the proceeds resulting from the condemnation shall be paid to the Seller. 17.3. In the event the Purchaser shall not elect to terminate this Agreement, the proceeds of the condemnation shall be assigned and belong to the Purchaser. 18. SIGNAGE So long as this Agreement remains in effect, the Purchaser and/or any affiliated company or agent of the Purchaser, including, but not limited to any real estate broker employed by the Purchaser shall have the exclusive right to erect and maintain signage on the property advertising the property for sale, lease and/or development, provided that any such signage shall comply with the applicable sign ordinances. 6 19. ENTIRE AGREEMENT This Agreement contains the entire Agreement between the parties. This Agreement supersedes all other agreements, either oral or in writing, between the parties. The singular number shall include the plural and the plural shall include the singular. WITNESSED BY: CAMPBELL/MANIX, INC. PURCHASER: BY: Douglas W. Manix Pfesident, Campbell/Manix, Inc. DATED: DATED: WITNESSED BY: OAKLAND COUNTY, SELLER: BY: John P. McCulloch, Chairperson Oakland County Board of Commissioners DATED: DATED: 7 FISCAL NOTE (Misc. #99338) December 16, 1999 BY: FINANCE COMMITTEE, SUE ANN DOUGLAS, CHAIRPERSON IN RE: DEPARTMENT OF FACILITIES MANAGEMENT - OFFERS TO PURCHASE VACANT 32.49 ACRE PARCEL OF LIGHT INDUSTRIAL PROPERTY LOCATED IN THE CITY OF AUBURN HILLS, KNOWN AS TAX IDENTIFICATION NO. 14-03-100-026 To the Oakland County Board of Commissioners Chairperson, Ladies and Gentlemen: Pursuant to Rule XII-C of this Board, the Finance Committee has reviewed the above referenced resolution and finds: 1. The resolution authorizes the sale and accepts the bid of the subject parcel of land for the sum of $7,800,000 to Campbell Manix, Inc., for the 32.49 acres parcel of light industrial property located in the City of Auburn Hills known as Tax Identification No. 14-03-100-026. 2. Land was formerly purchased to be used for the construction of a waste-to-energy conversion incinerator and material recycling facility. 3. The anticipated sale of this property was budgeted in the Capital Improvement plan for FY 2000 at $5,000,000, with the actual sale amount at $7,800,000. The proceeds of the sale will be deposited in the Building Improvement Fund #401. 72-/ft.;144>. FINANCE CO ITTEE FINANCE COMMITTEE VOTE: Motion carried unanimously on a roll call vote. . • 4 Air t12-- -- CouttyExectitive Ic5ZE FOREGOING RESOLUTIO' /OA/ Date Resolution #99338 December 16, 1999 Moved by Palmer supported by Melton the resolution be adopted. AYES: Moffitt, Obrecht, Palmer, Patterson, Schmid, Sever, Suarez, Taub, Amos, Appel, Causey-Mitchell, Colasanti, Coleman, Dingeldey, Douglas, Galloway, Garfield, Gregory, Jensen, Law, McCulloch, McPherson, Melton, Millard. (24) NAYS: None. (0) A sufficient majority having voted therefor, the resolution was adopted. 1 HEREB Y L Brooks P STATE OF MICHIGAN) COUNTY OF OAKLAND) I, G. William Caddell, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and accurate copy of a resolution adopted by the Oakland County Board of Commissioners on December 16, 1999 with the original record thereof now remaining in my office. In Testimony Whereof, I have hereunto set my hand an affixed the seal of the County of Oakland at Pontiac, Michigan this 10th daf of DecembAr, 1999. G. William Caddell, County Clerk