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HomeMy WebLinkAboutHope Martin Anderson-2/13/2012Prepared by Noel Anderson, City of Waterloo, City Hall, 715 Mulberry Street, Waterloo, Iowa 50703 phone: 319-291-4366, facsimile 319-291-4262 FIRST AMENDMENT TO DEVELOPMENT AGREEMENT This First Amendment to Development Agreement (the "Amendment") is entered into as r of .l y I , 2012, by and between the City of Waterloo, Iowa ("City") and Hope Martin Anderson ("Cthmpany°). RECITALS A. Company is a party with City to that certain Development Agreement and Minimum Assessment Agreement dated February 8, 2010 (the "Agreement") concerning the development of land as described in the Agreement. B. Company had originally grouped a larger parcel together for future development, but now would request to separate current development from future development on the splitting of the parcels of land. C. The original Development Agreement had an approximate 15,200 sq. ft. office building to be built on the site, with that site having a new taxable value of $1,329,976, creating a tax rebate schedule of had occupancy and completion of the building after that date above, moving the tax rebate schedule back by one year for full rebate value. Therefore it is necessary to move back the dates above for substantial completion from December 31, 2010 to December 31, 2012, termination of the Minimum Assessment Agreement by new wording described below, altering the new Minimum Value and rebate schedule for a building under $1 million in value, and by changing the site area covered by the Development Agreement to reflect only the site for which the office building is being built upon. D. All other terms of the Development Agreement would remain the same. NOW, THEREFORE, in consideration of the mutual promises set forth herein, the parties hereby agree as follows: 1. The Timeliness of Construction wording set forth in Section 4 of the Agreement is hereby amended to read substantial completion by December 31, 2012. 2. The Minimum Assessment Agreement, Section 4, wording of the agreement is amended to read as follows: 4. Minimum Assessment Agreement. Company acknowledges and agrees that it will pay when due all taxes and assessments, general or special, and all other charges whatsoever levied upon or assessed or placed against the Property. Company further agrees that prior to the date set forth in Section 2 of Exhibit "B" it will not seek or cause a reduction in the taxable valuation for the Property, which shall be fixed for assessment purposes, below the aggregate amount of $877,500.00 ("Minimum Actual Value"). 3. The new rebate schedule, Section 5, shall be 5 years at 50%. 4. Exhibit "B" Minimum Assessment Agreement. Section 1, the new Minimum Actual Value shall be $877,500 for the office building/warehouse on parcel number 88-13-10-101-034. Exhibit °A" shall be amended to reflect this new legal description of said parcel number. The date for substantial completion shall also be amended in this section to read December 31, 2012. 5. Exhibit °B° Minimum Assessment Agreement. Section 2 is amended to read as follows: 2. The Minimum Actual Value herein established shall be of no further force and effect, and this Minimum Assessment Agreement shall terminate, on December 31, 2021, or on December 31 of the year that is ten (10) years after the effective date of the property's Minimum Actual Value. Nothing herein shall be deemed to waive the Company's rights under Iowa Code § 403.6, as amended, to contest that portion of any actual value assignment made by the Assessor in excess of the Minimum Actual Value established herein. In no event, however, shall the Company seek or cause the reduction of the actual value assigned below the Minimum Actual Value established herein during the term of this Agreement. The City shall not unreasonably withhold its consent to permit the Company to contest its taxable valuations in full, commencing with the assessment of January 1, 2022 for the Property, or, as applicable, January 1 immediately following the timeline of effective date of property's Minimum Actual Value as noted above. IN WITNESS WHEREOF, the parties have executed this First Amendment to Development Agreement by their duly authorized representatives as of the date first set forth above. HOPE MARTIN ANDERSON By: ACLII Hope CITY OF WATERLOO, IOWA By: artin Anderson Emest G. Clark, Mayor Suzy Scha es, City Clerk 2 BEECHER, FIELD, HUGH M. FIELD JOHN R. WALKER JR. RICHARD R. MORRIS THERESA E. HOFFMAN ERIC W. JOHNSON KEVIN D. AHRENHOLZ D. RAYMOND WALTON JOHN J. WOOD ADNAN MAHMUTAGIC COREY R. LORENZEN WALKER, MORRIS, HOFFMAN LAWYERS COURT SQUARE BUILDING - SUITE 300 620 LAFAYETTE STREET P.O. BOX 178 WATERLOO, IOWA 50704 TELEPHONE: (319) 234-1766 FAX: (319) 234-1225 www.beecherlaw.com cwliN.heechcrlaw.com February 8, 2012 Noel Anderson Community Planning & Development Director 715 Mulberry Street Waterloo, IA 50703 Dear Noel: & JOHNSON, P.C. KATE B. MITCHELL KIRSTEN N. ARNOLD LAURA E. RANGE ALEXANDER W. CROUSE W. LOUIS BEECHER-OF COUNSEL W.L. BEECHER (1891-1976) JOHN W. RATHERT (1932-2010) Re: First Amendment to Development Agreement between Hope Martin Anderson and City of Waterloo, Iowa Enclosed you will find one original executed Amendment to Development Agreement regarding the above referenced matter. Once the Amendment has been executed by the City of Waterloo, please promptly provide us with a copy for our file. It is my understanding that this will be on the City Council agenda for execution no later than Monday, February 20, 2012. Therefore, I would greatly appreciate having a copy of the fully executed Amendment to Development Agreement by no later than February 24, 2012. Should you have any questions or wish to discuss the enclosed, please give me a call. Thank you. EWJ/bjm Enclosure Sincerely, Johnson for BEECHER, FIELD, WALKER, MORRIS, HOFFMAN & JOHNSON, P.C. +Established in 1918+