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HomeMy WebLinkAboutResolutions - 2000.09.07 - 26258REPORT (Misc. #00226) September 7, 2000 BY: FINANCE COMMITTEE, SUE ANN DOUGLAS, CHAIRPERSON IN RE: DEPARTMENT OF FACILITIES MANAGEMENT - OFFER TO PURCHASE 20.06 ACRES OF RESIDENTIAL PROPERTY LOCATED IN THE CITY OF PONTIAC, KNOWN AS TAX IDENTIFICATION NO. 14-15-276-001 TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS Chairperson, Ladies and Gentlemen: The Finance Committee, having reviewed the above referenced resolution, recommends that the title be amended to read: DEPARTMENT OF FACILITIES MANAGEMENT OFFER TO PURCHASE SALE OF 20.06 ACRES OF RESIDENTIAL PROPERTY LOCATED IN THE CITY OF PONTIAC, KNOWN AS TAX IDENTIFICATION NO. 14-15-276-001 Chairperson, on behalf of the Finance Committee, I move acceptance of the foregoing report. FINANCE COMMITTEE FINANCE COMMITTEE VOTE: Motion carried unanimously on a roll call vote. MISCELLANEOUS RESOLUTION #00226 SEPTEMBER 7, 2000 BY: PLANNING AND BUILDING COMMITTEE - CHARLES E. PALMER, CHAIRPERSON In RE: DEPARTMENT OF FACILITIES MANAGEMENT — OFFER TO PURCHASE 20.06 ACRES OF RESIDENTIAL PROPERTY LOCATED IN THE CITY OF PONTIAC, KNOWN AS TAX IDENTIFICATION NO. 14-15-276-001 TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS CHAIRPERSON, LADIES, AND GENTLEMEN: WHEREAS, the County of Oakland is the owner of a 20.06 acre parcel of residential property located in the City of Pontiac known as Tax Identification No. 14-15-276-001 on the City tax rolls and being more specifically described as: That part of the east % of the northeast 1/4 of section 15, T.3N., R.10E., City of Pontiac, Oakland County, Michigan, lying easterly of the easterly right-of-way line of M-24 highway (Perry Street), said right-of-way line being 78.00 feet easterly of the centerline of M-24 as established by MDOT Project No. 28561A, control section 63091, construction sheets No. 18-22. Said parcel more particularly described as: Beginning at the east 1/4 corner of said section 15 thence south 87°59'53" west, 932.36 feet along the east — west 1/4 line of said section 15 to the east line of the easterly right-of-way line of M-24 highway, thence along the said right-of-way line on a non-tangent curve to the left a distance of 1361.56 feet, having a radius of 2213.41 feet, passing through a central angle of 35°14'42", with a chord bearing north 24°50'04" east 1340.20 feet; thence continuing along said right-of-way line north 07°12'43" east, 548.82 feet; thence continuing along said right-of-way line on a tangent curve to the right a distance of 626.38 feet, having a radius of 1646.33 feet, passing through a central angle of 21°47'58", with a chord bearing north 18°06'42" east, 622.61 feet to a point on the east line of said section 15; thence along said line south 02°37'39" east 2322.37 feet to the Point of Beginning. Containing 20.06 acres of land, more or less, and being subject to existing easements and restrictions of record, if any. WHEREAS, the above described property was originally acquired pursuant to Oakland County Board of Supervisor's, Resolution #1812 of 1940 from the State of Michigan for the use and benefit of the Oakland County 4-H Clubs; and WHEREAS, the Oakland County 4-H Clubs have not occupied the property since the early 1970's; and WHEREAS, the property had been subsequently occupied by Project Warmth (OLSHA) and Furniture Resource Center until August 2000; and WHEREAS, on March 28, 2000, 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 Commissioner's Procedures for the Sale and Purchase of Property, this property was advertised for sale in the Oakland Press, Craine's Detroit Business and on the Oakland County Government Internet Website to receive sealed offers; and WHEREAS, on August 2, 2000, four offers were received for the sale of the property; and WHEREAS, it is the recommendation of the Department of Facilities Management to accept the Planning and Building Committee Vote: Motion carried unanimously on a roll call vote with Schmid absent. ANNING AND BU highest offer of Sherr Development Corporation, 31555 West Fourteen Mile Road, Suite 101, Farmington Hills, Michigan 48334, in the amount of $510,000; and WHEREAS, upon acceptance of the Purchase Agreement from Sherr Development Corporation in the amount of $510,000, the County of Oakland hereby agrees to sell 20.06 acres of residential land located in the City of Pontiac, Michigan, known as Tax Identification No. 14-15-276-001. WHEREAS, the Department of Facilities Management along with Corporation Counsel have reviewed all the necessary agreements and documents. NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners hereby accepts the Purchase Agreement from Sherr Development Corporation in the amount of $510,000 for the purchase of 20.06 acres of residential land located in the City of Pontiac, being more specifically described as: That part of the east 1/2 of the northeast 1/4 section 15, T.3N., R.10E., City of Pontiac, Oakland County, Michigan, lying easterly of the easterly right-of-way line of M-24 highway (Perry Street), said right-of- way line being 78.00 feet easterly of the centerline of M-24 as established by MDOT Project No. 28561A, control section 63091, construction sheets No. 18-22. Said parcel more particularly described as: Beginning at the east 1/4 corner of said section 15 thence south 87°59'53" west, 932.36 feet along the east — west 1/4 line of said section 15 to the east line of the easterly right-of-way line of M-24 highway, thence along the said right-of-way line on a non-tangent curve to the left a distance of 1361.56 feet, having a radius of 2213.41 feet, passing through a central angle of 35°14'42", with a chord bearing north 24°50'04" east 1340.20 feet; thence continuing along said right-of-way line north 07°12'43" east, 548.82 feet; thence continuing along said right-of-way line on a tangent curve to the right a distance of 626.38 feet, having a radius of 1646.33 feet, passing through a central angle of 21°47'58", with a chord bearing north 18°06'42" east, 622.61 feet to a point on the east line of said section 15; thence along said line south 02°37'39" east 2322.37 feet to the Point of Beginning. Containing 20.06 acres of land, more or less, and being subject to existing easements and restrictions of record, if any. 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 Pontiac and identified as Tax Identification No. 14-15-276-001. BE IT FURTHER RESOLVED that it is mutually understood this is a cash sale and "as is" condition. Chairperson, on behalf of the Planning and Building Committee, I move the adoption of the foregoing resolution. PURCHASE AGREEMENT This Purchase Agreement ("Agreement") is made on , 2000, between Sherr Development Corporation, a Michigan Corporation, 31555 W. Fourteen Mile Road, Suite 101, Farmington Hills, MI 48334 ("Purchaser"), and the County of Oakland, a Michigan Constitutional Corporation, 1200 North Telegraph Road, Pontiac, MI 48341 ("Seller"), as follows: 1. Offer to Purchase. Purchaser offers and agrees to purchase from Seller approximately 20.06 acres plus or minus of land which is located in the City of Pontiac, Oakland County, Michigan, which is specifically described in Exhibit A attached and incorporated by this reference (the "Land"), together with all improvements thereon, all land division rights, all tenements, hereditaments, appurtenances, easements and all other real property rights therein. 2. Acceptance. This Offer will be deemed accepted by Purchaser and Seller, upon both Parties executing and delivering a fully executed copy of this Agreement to the other Party. Purchaser has until September 29, 2000 at 5:00 p.m., local time, to accept this offer, and if not accepted within such time shall become null and void. Upon acceptance by both Purchaser and Seller, the Agreement shall be binding and may only be terminated in the manner provided herein. 3. Purchase Price. The purchase price of the Land shall be Five Hundred Ten Thousand and 00/100 ($510,000.00) Dollars. The Purchaser shall pay the purchase price in full at closing. 4. Deposit. Purchaser shall pay to Seller the sum of Fifty-One Thousand and 00/100 ($51,000.00) Dollars as a deposit at the time of delivery of the Offer to Purchase. The deposit shall be refundable if the Offer to Purchase is not accepted by Seller in accordance with Paragraph 2. If the Offer to Purchase is accepted by Seller, then the deposit shall be placed in an interest bearing account by Seller. The deposit, plus the interest earned, shall be applied to the purchase price at closing. 5. Inspection Period. Purchaser shall have ninety (90) days, after this Agreement is executed by both Parties to inspect the Land in order to determine that the Land is suitable for development. If Purchaser, in its sole discretion, elects to terminate this Purchase Agreement during this Inspection Period, then Purchaser shall send Seller written notice of such termination prior to the end of the Inspection Period and Seller shall return the deposit to Purchaser in full termination of the rights of the Parties hereunder. If Purchaser does not send notice of termination to Seller 1 within the time required by this Paragraph, then the deposit shall become irrefundable and the Parties shall proceed toward a closing. 6. Title Insurance. Within 30 days after entering into the Purchase Agreement, Seller shall provide to Purchaser a commitment for a standard ALTA fee owner's policy of title insurance, issued by a reputable title insurance company and, at closing, Seller will pay the premium for issuance of such a policy 7. Title Objections. Purchaser shall have 30 days after receipt of such commitment to object that the title is not marketable. Upon written notice by the Purchaser, Seller shall have 30 days from the date Seller is notified, of the particular title defect(s), to either (1) remedy the title defects, or (2) obtain a commitment for title insurance, insuring Purchaser's title against such title defects. If 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 deposit. 8. Warranties and Representations. 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 seller: 8.1. 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 Seller or the property is bound. 8.2. The legal description set forth in this Agreement is an accurate description of the Land and does not include any adjacent or contiguous land owned by the Seller. 9. Closing. The Closing shall take place within thirty (30) days after the expiration of the Inspection Period (the "Closing Date"). The closing shall occur at the offices of the title company or any mutually convenient location. At closing, the following shall occur: 9.1 Seller shall execute, and deliver to Purchaser a warranty deed for the Land conveying to Purchaser marketable fee simple title. Seller shall deliver possession of the Land to Purchaser at Closing. 9.2 Purchaser shall pay the purchase price, as adjusted, to Seller by wire transfer. The purchase price shall be wired to Oakland County at: National City Bank, C. Hugh Dohany, Transfer Account, Account Number 8130416251, ABA 072 000 915, Checking Account. 2 9.3 Seller shall pay all real estate taxes or special assessments which have been assessed against the Land and are due at the Closing Date. The current real estate taxes shall be prorated to the Closing Date in accordance with the due date basis of the taxing entity in which the Land is located. 9.4 The deposit, plus interest, described in Paragraph 4 shall be credited against the purchase price. 9.5 Seller shall execute a real estate valuation affidavit reciting the consideration paid for the Land and shall pay the cost of state and county transfer taxes. Purchaser shall pay the recording fee for the warranty deed. 10. Right of Entry. During the Inspection Period, Purchaser shall have the right, at its own peril and risk and with no liability to be incurred by Seller, to enter upon the Land for purposes of surveying, making such soil boring or other tests or engineering studies, collecting architectural data and generally doing such other work as Purchaser deems necessary or desirable to determine the Land's suitability for the conduct of Purchaser's business thereon, after having provided reasonable notice to Seller of such entry. If Purchaser does not purchase the Land, Purchaser will restore the Land to substantially the same condition as exists on the date hereof to the extent such restoration is necessary due to Purchaser's actions. Purchaser shall indemnify and hold Seller harmless from any and all claims, costs, loss, liability, demands or expenses resulting from such entry on the Land by Purchaser, or its agents, employees or assigns at no expense to Seller. In the event Purchaser does not close on the purchase of the Land, then Purchaser shall provide copies to Seller of all surveys studies, plans and other documents which it has obtained in its activities related to development of the Land. 11. Termination. 11.1. In the event of Seller's default under this Purchase Agreement, the Purchaser in addition to other remedies provided law, shall be entitled to a refund of the Deposit or, in its discretion, may elect to enforce performance of this Purchase Agreement by judicial decree without regard to the adequacy or availability of any other legal remedy. 11.2. In the event of Purchaser's default, Seller shall be entitled to the deposit plus interest which except for the Purchaser's default under Paragraph 10, shall be Seller's sole and exclusive remedy with respect to the performance of the Purchase Agreement. 3 11.3. If this Agreement is not approved by the Oakland County Board of Commissioners, it shall be null and void. 12. Notices. Any notice required or permitted to be given to either Party by the other pursuant to this Purchase Agreement shall be deemed to be sufficient if in writing and sent by certified or registered mail, postage prepaid to the address shown on Page 1 of this Agreement or at such other address as either Party shall designate by written notice to the other. Such notice shall be deemed given two (2) days after it is posted. 13. Brokers. Seller and Purchaser each represent that they have not dealt with any broker with respect to this Agreement and, as a covenant surviving settlement, agree to indemnify and hold the other harmless from any fees or commissions claimed by any other parties with whom it has so dealt. 14. 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. 15. Time of the Essence. Time is of the essence for this Agreement. 16. Amendments or Modifications. Any modifications, rescissions, waivers, releases, or amendments of this Agreement must be in writing and agreed to by both Parties. 17. Binding Effect 17.1. This Agreement shall bind the Parties, their successors, and their assigns. 17.2. Purchaser may freely assign its interest hereunder. 18. Condemnation 18.1. 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, Purchaser may terminate this Agreement within fifteen (15) days after receiving notice of such condemnation proceeding. Purchaser must notify the Seller in writing of its decision to terminate the Agreement. 18.2. Upon receipt of the notice of termination, the deposit, including the interest accrued, shall be refunded to Purchaser, and the proceeds resulting from the condemnation shall be paid to Seller. 4 18.3. In the event Purchaser shall not elect to terminate this Agreement, the proceeds of the condemnation shall be assigned and belong to Purchaser. 19. Signage. As long as this Agreement remains in effect, Purchaser and/or any affiliated company or agent of 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. 20. 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. To evidence their intention to be bound by the terms and conditions of this Agreement, the Parties have signed this Agreement on the date appearing below each of their respective names. PURCHASER: ACCEPTED BY SELLER: Sherr Development Corporation, County of Oakland, A Michigan corporation A Michigan corporation By: By Roger Sherr Its: Dated: Dated: PURCHASER HEREBY ACKNOWLEDGES DELIVERY OF THE ACCEPTED OFFER TO PURCHASE. Sherr Development Corporation A Michigan corporation By: Roger Sherr 5 FISCAL NOTE (Misc. #00226) September 7, 2000 BY: FINANCE COMMITTEE, SUE ANN DOUGLAS, CHAIRPERSON IN RE: DEPARTMENT OF FACILITIES MANAGEMENT - OFFER TO PURCHASE 20.06 ACRES OF RESIDENTIAL PROPERTY LOCATED IN THE CITY OF PONTIAC, KNOWN AS TAX IDENTIFICATION NO. 14-15-276-001 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 accepts an offer from Sherr Development Corporation of Farmington Hills, Michigan, to purchase 20.06 acres of County-owned residential property in the City of Pontiac (Tax Identification No. 14-15-276-001) in the amount of $510,000. 2. The proceeds of the sale will be receipted in the Building Improvement Fund (Fund #401) in the Sale of Land and Building Revenue Account #14-110006-10000-1588. FINANCE COMMITTEE FINANCE COMMITTEE VOTE: Motion carried unanimously on a roll call vote. HE FOREGOING RESOLyr /e/ero I HEREBY L. Brooks Resolution #00226 September 7, 2000 Moved by Palmer supported by Millard the Finance Committee Report be accepted. A sufficient majority having voted therefor, the report was accepted. Moved by Palmer supported by Millard the resolution be adopted. Moved by Palmer supported by Millard the resolution be amended to coincide with the recommendation in the Finance Committee Report. A sufficient majority having voted therefor, the amendment carried. Vote on resolution, as amended: AYES: Galloway, Garfield, Gregory, Law, McCulloch, McPherson, Melton, Millard, Moffitt, Obrecht, Palmer, Patterson, Sever, Suarez, Taub, Amos, Appel, Buckley, Causey-Mitchell, Coleman, Douglas. (21) NAYS: None. (0) A sufficient majority having voted therefor, the resolution, as amended, was adopted. Date 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 September 7, 2000 with the original record thereof now remaining in my office. In Testimony Whereof, I have hereunto set my hand and affixed the seal of the County of Oakland at Pontiac, Michigan this 7tbl day geSeptember, 2000. G. William Caddell, County Clerk