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HomeMy WebLinkAboutHartel Properties, LLC - Amendment to Dev Agmnt - 10/7/2019 (RECORDED) • 11111113111111111111131111111111 11 Doc ID: 009697250003 Type: GEN Recorded: 11/06/2019 at 03:43:39 PM Fee Amt: $17.00 Page 1 of 3 Black Hawk County Iowa SANDIE L. SMITH RECORDER F11e2020-00008447 AOI bfxdaleA Preparbr Information: Christopher S.Wendland, PO Box 596,Waterloo, Iowa 50704 (319)234-5701 Name Address City Phone AMENDMENT TO DEVELOPMENT AGREEMENT This Amendment to Development Agreement (the "Amendment") is entered into as of C , 2019, by and between Hartel Properties, LLC (the "Company") and the City of Waterloo, Iowa (the "City"). RECITALS A. Company and City are parties to that certain Development Agreement dated August 5, 2019 and filed August 26, 2019 as Doc. No. 2020-3553 (the "DA"), concerning the development of land (the "Property") described therein. B. The parties desire to amend the DA to modify the terms thereof as set forth in this Amendment. NOW, THEREFORE, in consideration of the mutual covenants set forth herein, the parties agree as follows: 1. The following new Section 8.1 shall be added to the Agreement immediately following Section 8, as follows: 8.1. Tax Rebates. Provided that Company has completed the Improvements as set forth in this Agreement before the Project Completion Date and has executed the Minimum Assessment Agreement as set forth in Section 8 above, City agrees to rebate property tax (with the exceptions noted below) as follows: Year One 90% Year Two 75% Year Three 60% for any taxable value over the starting Minimum Actual Value of $480,000.00. Rebates are payable in respect of a given year only to the extent that Company has actually paid general property taxes due and owing for such year. To (LA) 3 Page 2 receive rebates for a given year, Company must, within twelve (12) months after the tax payment due date, submit a completed rebate request to City on the form provided by or otherwise satisfactory to City, or the rebate shall be forfeited. The taxable value of the Property as a result of the Improvements must be increased by a minimum of 10% and must increase the annual tax by a minimum of$500.00. This rebate program is not applicable to any special assessment levy, debt service levy, or any other levy that is exempted from treatment as tax increment financing under the provisions of applicable law. The first year of in which a rebate may be given ("Year One") shall be the first full year for which the assessment is based upon the completed value of the Improvements and not based on a prior year for which the assessment is based solely upon (x) the value of the Property, or upon (y) the value of the Property and a partial value of the applicable phase Improvements due to partial completion of such Improvements or a partial tax year. 2. The following new Section 8.2 shall be added to the Agreement immediately following new Section 8.1, as follows: 8.2. Additional Covenants of Company. In addition to the other promises, covenants and agreements of Company as provided elsewhere in this Agreement, Company agrees as follows: A. Company will maintain, preserve and keep the Property, including but not limited to the Improvements, in good repair and working order, ordinary wear and tear excepted, and from time to time will make all necessary repairs, replacements, renewals and additions. B. During the period that any rebate is payable to Company under this Agreement, Company agrees that (1) it will not undertake, in any other municipality in Black Hawk County, the construction or rehabilitation of any commercial property as a primary location for Company's business operations of the type to be conducted on the Property, and (2) it will make no conveyance, lease or other transfer of the Property or any interest therein that would cause the Property or any part thereof to be classified as exempt from taxation or subject to centralized assessment or taxation by the State of Iowa. C. Company shall pay, or cause to be paid, when due, all real property taxes and assessments payable with respect to any and all parts of the Property. Company agrees that (1) it will not seek administrative review or judicial review of the applicability or constitutionality of any Iowa tax statute or regulation relating to the taxation of real property included within the Property that is determined by any tax official to be applicable to the Property or to Company, or raise the inapplicability or constitutionality of any such tax statute or regulation as a defense in any proceedings of any type or nature, including but not limited to delinquent tax proceedings, Page 3 and (2) it will not seek any tax deferral, credit or abatement, either presently or prospectively authorized under Iowa Code Chapter 403 or 404, or any other state law, of the taxation of real property included within the Property. 3. Except as modified herein, the DA shall continue unmodified in full force and effect. Terms in this Amendment that are capitalized but not defined will have the same meanings herein that are ascribed to them in the DA. The DA and this Amendment shall inure to the benefit of and be binding upon the parties and their respective successors and assigns. IN WITNESS WHEREOF, the parties have executed this Amendment to Development Agreement by their duly authorized representatives as of the date first set forth above. [signatures on next page] CITY OF WATERLOO, IOWA HA-T 1 PY OPERTIE'., LLC BY1)-Lairt7V147/0"---- tBY: VLA Quentin Hart, Mayor `-f.:n artel nagi ; Member Attest: /L �'A i, A, A Kelley Fj li e, City Clerk