HomeMy WebLinkAboutBeki Biesterfelt - Real Estate Purchase Agreement - 6.26.2006 �C-)OL 5�7
REAL ESTATE PURCHASE AGREEMENT
TO: Beki A. Biesterfelt ("Seller")
FROM: City of Waterloo, Iowa("Buyer")
Buyer hereby offers to buy, and the Seller by its acceptance agrees to sell, the real property
situated in Waterloo, Black Hawk County, Iowa, locally known as 416 Jefferson Street, legally
described as per the abstract of title in Block 15, Original Plat on the West side of the Cedar
River, consisting of assessor parcel no. 8913-26-213-003;
together with any easements and appurtenant servient estates, but subject to any reasonable
easements of record for public utilities or roads, any zoning restrictions customary restrictive
covenants and mineral reservations of record, if any, herein referred to as the "Property," upon
the following terms and conditions:
1. EARNEST MONEY AND PURCHASE PRICE. The Purchase Price shall be $76,000.00,
of which $500.00 is on deposit with the law firm of Clark, Butler, Walsh & Hamann, to be held
in trust, and the balance of the Purchase Price shall be due and payable in full at closing, to be
delivered to the Seller upon performance of Seller's obligations and satisfaction of Buyer's
contingencies, if any. If this Agreement is not accepted by Seller or if it is rescinded by Buyer
for failure of title or any other reason provided for in this Agreement, then the earnest money
shall be returned to Buyer. Any other release of earnest money shall require the written consent
of both parties.
2. POSSESSION AND CLOSING. If Buyer timely performs all obligations, possession of
the Property shall be delivered to Buyer at closing. Closing shall occur on or before July 14,
2006, as the parties may hereafter agree, but in any event after the approval of title by Buyer and
satisfaction or waiver of contingencies, if any. After closing, Seller shall continue to have
possession of the premises until October 15, 2006 to operate her business while new premises are
readied for occupancy and to remove her personal property and fixtures pursuant to paragraph
22(C) below. Seller shall pay no rent to Buyer with respect to said post-closing occupancy, but
shall be solely liable for all operating expenses, including but not limited to utilities, phone
service, and garbage removal. After October 15, 2006, Buyer shall have complete and
unrestricted possession of the entire premises.
3. REAL ESTATE TAXES. Seller shall pay taxes prorated to the closing date and any
unpaid real estate taxes payable in prior years. Buyer shall pay all subsequent real estate taxes.
Unless otherwise provided in this Agreement, at closing Seller shall pay Buyer, or Buyer
shall be given a credit for, taxes from the first day of July prior to possession to the date of
possession based upon the last known actual net real estate taxes payable according to public
records. However, if such taxes are based upon a partial assessment of the present property
improvements or a changed tax classification as of the date of possession, such proration shall be
based on the current levy rate, assessed value, legislative tax rollbacks and real estate tax
exemptions that will actually be applicable as shown by the assessor's records on the closing
date.
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4. SPECIAL ASSESSMENTS.
A. Seller shall pay at time of closing all installments of special assessments which are a
lien on the Property as of closing, and all prior installments thereof.
B. All charges for solid waste removal, sewage and maintenance that are attributable to
Seller's possession, including those for which assessments arise after closing, shall be paid
by Seller.
C. Any preliminary or deficiency assessment which cannot be discharged by payment
shall be paid by Seller through an escrow account with sufficient funds to pay such liens
when payable,with any unused funds returned to Seller.
D. Buyer shall pay all other special assessments or installments not payable by Seller.
5. RISK OF LOSS AND INSURANCE. Seller shall bear the risk of loss or damage to the
Property prior to closing. Seller agrees to maintain existing insurance for its personal property
and fixtures until October 15, 2006, and Buyer may purchase additional insurance. In addition,
Seller shall procure and maintain commercial general liability insurance in a responsible
company or companies authorized to do business in the State of Iowa, in amounts not less than
$1,000,000 per occurrence, and $3,000,000 in the aggregate on an annual basis, which insurance
shall cover the activities of Seller, its employees and agents, and shall protect Buyer against such
claim, damages, costs or expenses on account of injury to any person or persons, or to any
property belonging to any person or persons, by reason of such casualty, accident or other
happening on or about the premises during the term thereof. Certificates or copies of said
policies, naming the Buyer as an additional insured, and providing for thirty (30) days' notice to
Buyer before cancellation, shall be delivered to Buyer no later than the closing date. Buyer shall
provide no insurance coverage for the property or activities of Seller, its employees, customers or
agents during the period the Seller makes use of the Property after the closing date. In the event
of substantial damage or destruction prior to closing, the Buyer shall have the.option to complete
the closing and receive insurance proceeds regardless of the extent of damages or to declare this
Agreement null and void. The Property shall be deemed substantially damaged or destroyed if it
cannot be repaired to its present condition on or before the closing date.
5.1 INDEMNITY. The provisions of this paragraph apply during the "Indemnity Period",
which means the period from and after the closing date until and including the date that Seller
ceases to occupy the Property. Except as to any negligence of Buyer or its agents, and to the
extent not covered by insurance maintained by Seller, Seller will protect, indemnify, and save
harmless the Buyer from and against any and all loss, costs, damage, and expenses occasioned
by, or arising out of, any accident or other occurrence causing or inflicting injury and/or damage
to any person or property, happening or done, in, upon, or about the Property, or due directly or
indirectly to the use or occupancy thereof, or any part thereof, by Seller or any person claiming
through or under the Seller. Prior to the Indemnity Period, Seller has had the opportunity to test
the premises for toxic or hazardous substances, mold, and other environmental matters, and
Seller agrees that the indemnities set forth in this paragraph shall include but not be limited to
any claims, demands, losses, or causes of action arising from or relating to such matters. The
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provisions of this paragraph shall survive the closing of the sale and purchase transaction
contemplated by this Agreement.
6. FIXTURES. Included with the Property shall be all fixtures that integrally belong to, are
specifically adapted to or are a part of the real estate, whether attached or detached. Also see
paragraph 22(C)below.
7. CONDITION OF PROPERTY. The Property as of the date of this Agreement, including
buildings, grounds, and all improvements, will be preserved by the Seller in its present condition
until possession, ordinary wear and tear excepted. Seller sells the Property "AS IS" and makes
no warranties, expressed or implied, as to the condition of the Property.
Within 45 days after the acceptance of this Agreement, Buyer may, at its sole expense, have
the property inspected by a person or persons of its choice to determine if there are any
environmental or other deficiencies. Seller shall cooperate in providing reasonable access to
Buyer's inspectors. Within this same period, the Buyer may notify the Seller in writing of any
deficiency. The Seller shall immediately notify the Buyer in writing of what steps, if any, the
Seller will take to correct any deficiencies before closing. The Buyer shall then immediately in
writing notify the Seller that (1) such steps are acceptable, in which case this Agreement, as so
modified, shall be binding upon all parties; or (2) that such steps are not acceptable, in which
case this Agreement shall be null and void, and any earnest money shall be returned to Buyer.
8. ABSTRACT AND TITLE. Seller, at its expense, shall obtain an abstract of title to the
Property continued through a date that is within thirty (30) days of the closing, and deliver it to
Buyer's attorney for examination. It shall show marketable title in Seller in conformity with this
Agreement, Iowa law, and title standards of the Iowa State Bar Association. The Seller shall
make every reasonable effort to promptly perfect title. If closing is delayed due to Seller's
inability to provide marketable title, this Agreement shall continue in force and effect until either
party rescinds the Agreement after giving ten days' written notice to the other party. The
abstract shall become the property of Buyer when the Purchase Price is,paid in full. Seller shall
pay the costs of any additional abstracting and title work due to any act or omission of Seller,
including transfers by or the death of Seller or its assignees. Unless stricken, the abstract shall be
obtained from the Black Hawk County Abstract Company.
9. SURVEY. If a survey is required under Iowa Code Chapter 354, or city or county
ordinances, Buyer shall pay the costs thereof. Buyer may, at Buyer's expense prior to closing,
have the Property surveyed and certified by a registered land surveyor. If the survey shows an
encroachment on the Property or if any improvements located on the Property encroach on lands
of others, the encroachments shall be treated as a title defect.
10. ENVIRONMENTAL MATTERS.
A. Seller warrants to the best of its knowledge and belief that there are no abandoned
wells, solid waste disposal sites, hazardous wastes or substances, or underground storage
tanks located on the Property, the Property does not contain levels of radon gas, asbestos, or
urea-formaldehyde foam insulation which require remediation under current governmental
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standards, and Seller has done nothing to contaminate the Property with hazardous wastes or
substances. Seller warrants that the property is not subject to any local, state, or federal
judicial or administrative action, investigation or order, as the case may be, regarding wells,
solid waste disposal sites, hazardous wastes or substances, or underground storage tanks.
Seller shall also provide Buyer with a properly executed groundwater hazard statement
showing no wells, solid waste disposal sites, hazardous wastes and underground storage
tanks on the Property unless disclosed here:
B. Buyer may at Buyer's expense, within 45 days after the date of acceptance of this
Agreement, obtain a report from a qualified engineer or other person qualified to analyze the
existence or nature of any hazardous materials, substances, conditions or wastes located on
the Property. Seller shall cooperate in providing reasonable access to Buyer's inspectors and
engineers. In the event any hazardous materials, substances, conditions or wastes are
discovered on the Property, Buyer's obligation hereunder shall be contingent upon the
removal of such materials, substances, conditions or wastes or other resolution of the matter
reasonably satisfactory to Buyer. However, in the event Seller is required to expend any sum
in excess of $2,500 to remove any hazardous materials, substances, conditions or wastes,
Seller shall have the option to cancel this transaction and refund to Buyer all earnest money
paid and declare this Agreement null and void. The expense of any inspection shall be paid
by Buyer. The expense of any action necessary to remove or otherwise make safe any
hazardous material, substances, conditions or waste shall be paid by Seller, subject to Seller's
right to cancel this transaction as provided in this paragraph.
11. DEED. Upon payment of the Purchase Price, Seller shall convey the Property to Buyer
by warranty deed, free and clear of all liens, restrictions, and encumbrances except as provided in
this Agreement. General warranties of the title shall extend to the time of delivery of the deed
excepting liens and encumbrances suffered or permitted by Buyer.
12. JOINT TENANCY IN PROCEEDS AND IN REAL ESTATE. If Seller, immediately
preceding acceptance of the offer, holds title to the Property in joint tenancy with full rights of
survivorship, and the joint tenancy is not later destroyed by operation of law or by acts of the
Seller, then the proceeds of this sale, and any continuing or recaptured rights of Seller in the
Property, shall belong to Seller as joint tenants with full rights of survivorship and not as tenants
in common; and Buyer in the event of death of any Seller, agree to pay any balance of the price
due Seller under this contract to the surviving Seller and to accept a deed from the surviving
Seller consistent with Paragraph 11.
13. JOINDER BY SELLER'S SPOUSE. Seller's spouse, if any, if not a titleholder
immediately preceding acceptance, executes this Agreement only for the purpose of
relinquishing all rights of dower, homestead, and distributive share or in compliance with Iowa
Code § 561.13 and agrees to execute the deed for this purpose.
14. STATEMENT AS TO LIENS. If Buyer intends to assume or take subject to a lien on the
Property, Seller shall furnish Buyer with a written statement prior to closing from the holder of
such lien, showing the correct balance due.
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15. USE OF PURCHASE PRICE. At time of settlement, funds of the Purchase Price may be
used to pay taxes and other liens and to acquire outstanding interests, if any, of others.
16. 1031 EXCHANGE. N/A.
17. APPROVAL OF COURT. N/A.
18. REMEDIES OF THE PARTIES.
A. If Buyer fail to timely perform this Agreement, Seller may forfeit it as provided in the
Iowa Code (Chapter 656), and all payments made shall be forfeited; or, at Seller's option,
upon thirty days' written notice of intention to accelerate the payment of the entire balance
because of Buyer's default (during which thirty days the default is not corrected), Seller may
declare the entire balance immediately due and payable. Thereafter this Agreement may be
foreclosed in equity and the Court may appoint a receiver.
B. If Seller fails to timely perform this Agreement, Buyer has the right to have all
payments made returned to it, or Buyer may require specific performance by Seller.
C. Buyer and Seller are also entitled to utilize any and all other remedies or actions at
law or in equity available to them, and the prevailing parties shall also be entitled to obtain
judgment for costs and attorney fees.
19. NOTICE. Any notice under this Agreement shall be in writing and be deemed served
when it is delivered by personal delivery or mailed by certified mail, addressed to the parties at
the addresses given below.
20. GENERAL PROVISIONS. In the performance of each part of this Agreement, time
shall be of the essence. Failure to promptly assert rights herein shall not, however, be a waiver
of such rights or a waiver of any existing or subsequent default. This Agreement shall apply to
and bind the successors in interest of the parties. This Agreement shall survive the closing. This
Agreement contains the entire agreement of the parties and shall not be amended except by a
written instrument duly signed by Seller and Buyer. Paragraph headings are for convenience of
reference and shall not limit or affect the meaning of this Agreement. Words and phrases herein
shall be construed as in the singular or plural number, and as masculine, feminine or neuter
gender according to the context.
21. NO REAL ESTATE AGENT OR BROKER. Neither party has used the service of a real
estate agent or broker in connection with this transaction.
22. ADDITIONAL PROVISIONS.
A. The parties acknowledge that Buyer is acquiring the Property for community
development purposes. Buyer's rights and duties under this Agreement are assignable to
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any person or entity that will further the community development objectives
contemplated by Buyer.
B. Special continsency to effectiveness of Agreement. Notwithstanding any signatures
below by representatives of Buyer, this Agreement is expressly subject to approval by the
city council of Buyer.
C. Notwithstanding the provisions of paragraph 6 above, Seller shall have the option to
salvage the following items from the Property before October 15, 2006: See Schedule A
attached hereto.
D. If Seller meets applicable eligibility criteria, she may receive up to $20,000 in"fixed
payment"relocation expenses, and if she is not eligible,then Buyer will reimburse her for
up to $20,000 in actual and reasonable moving expenses. The parties agree that any
relocation expense payment or moving expense reimbursement shall be payable to Seller
only after she ceases to occupy the Property, including removal of any personal property
or fixtures she intends to remove.
E. Buyer agrees that,prior to demolition of the building, Seller will be permitted to place a
sign in the front window of the building to direct customers to her new business location.
23. ENTIRE AGREEMENT. This Agreement represents the entire agreement between the
parties, superseding all prior or contemporaneous understandings, negotiations, discussions, or
agreements between the parties with respect to the subject matter hereof.
24. ACCEPTANCE. When accepted,this Agreement shall become a binding contract. If not
accepted by Seller on or before June 16, 2006, this Agreement shall be null and void.
Dated June , 2006 Accepted June , 2006
BUYER SELLER
City of Waterloo, Iowa
LABy: :
Timothy J. Hur e ayor Beki A. Biester elt
By:
Nancy Ec ert, Clerk
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SCHEDULE A
1. Shelving, racks, and rods.
2. Dressing room.
3. Mirrors.
4. Outdoor signage.
5. Box planters in front of building.
6. Counters and related cabinetry.
7. HVAC unit.
8. Flourescent light bulbs.
Black Hawk County Property Photos Page 1 of 1
There is 1 photo of parcel 891326213003.
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Slack Hawk County Detailed Parcel Report Pagel of 2
BLACK HAWK COUNTY REAL ESTATE ASSESSMENT AND TAX INFORMATION
Parcel ID Deed Holder Tax Mail to Address
8913-26-213-003 BIESTERFELT,BEKI A BIESTERFELT,BEKI A
16 JEFFERSON ST
PDF Map Area Contract Buyer WATERLOO, IA 50701-0000
No.
13 WATERLOO W
RETAIL
Property Address Current Recorded Transfer
16 JEFFERSON ST Date Drawn jDate Filed lRecorded Document ype
WATERLOO, IA 50701-0000 11/1/02 11/12/02 003 013225 ID
SALES BUILDING PERMIT
Date Amount NUTC/Type Date Number Amount Reason
11/1/0243,250 NORMAL ARMS-LENGTH 11/8/05 WA 2588 982 Misc
RANSACTION / Deed 3/3/05 WA 0172 6,500 Roof
1/29/9829,900 NORMAL ARMS-LENGTH 9/24/04 WA 2204 1,677 Windows
RANSACTION / Deed
8/16/9432,500 [NORMAL ARMS-LENGTH
RANSACTION /Contract
ASSESSED VALUES/CREDITS
Year Class
2006 Values as Approved by the Board of Review 1C
100% Land IDwelling JBuildingM/E JTotal lAcres
Value 23,100 0 7,440 0 150,540 10
Taxable Land IDwelling IBMIdingM/E otal
Value 123,100 10 P7,440 10 150,540
Year lClass
2005 Ic
100% Land IDwelling IBuildingM/E ITotal lAcres
Value 23,100 10 P7,440 10 150,540 10
Falu7e122,904
and Dwellin Buildin M/E otal
10 P7,207 10 150,111
Year lClass
2004 1C
100% Land IDwelling IBuildingM/E ITotal JAcres
Value 25,290 10 P2,980 0 8,270 10
Faxable Land Dwellin Buildin M/E otal
alue 5,290 10 122,980 10 8,270
Year ICIass
2003 1C
100% Land IDwelling IBuildingM/E [Total lAcres
Value 25,290 10 P2,980 0 8,270 10
axable Land ]Dwelling Buildin M/E Rotal
alue 125,102 10 P2,809 10 7,911
http://www2.co.black-hawk.ia.us/website/bhmapibhRepDet.asp?apn=891326213003 06/21/2006
Mack Hawk County Detailed Parcel Report Page 2 of 2
TAX INFORMATION ASSESSMENT YEAR 2004 PAYABLE 2005/2006
ax 944021 -WATERLOO RIVERFRONT TIF/SSMID
District
Gross Value Taxable Value Military Exemption P4.17705
y Rate Gross Tax Net Tax
Corp8,270 8,270 0 $2,132.43 $2,132.00
Nocorp 0 0 10 in $0.00
Homestead Disabled Veteran Property Tax Relief Ag Family Farm
Credit Credit Credit Credit Credit
IC—orp $0.00 $0.00 $0.00 $0.00 $0.00—
LNocorp 1 $0.00
LEGAL
ORIGINAL PLAT WATERLOO WEST SE 33 FT LOT 3 BLK 15
LAND
Basis Front Rear Side 1 Side 2 Lot Area Cres
Front 33 33 140 140 0 4620 0.106
Foot
Totals: 620 .106
COMMERCIAL BUILDINGS AND ADDITIONS
Type Descri tion =ear rea
Store - Retail Small JBLIDG 1 11952 11200
Additional Stories: 1
Information Style: C'Blk- Frame
Plumbing Item Quanti
[Toilet Room 1
ty
Description Size
Footer: C'Blk or Tile LF: 0
External Wall: C'Blk or Tile - LF: 0
Interior Wall: Plaster on Meta LF: 0
Windows: Incl. w/ Base LF: 0
Fronts: Incl. w/ Base LF: 0
Basement: Incl. w/ Base SF: 0
erticals 8 Roofing: Tar and Gravel/Wood
HorizontalsSF: 1200
Ceilin : Suspended Blk-Fiber SF: 0
Struc. Floor: 4" R'Concrete SF: 1200
Floors: Carpet SF: 0
Partitions: Incl. w/ Base SF: 0
Framing: Wood - Light SF: 1200
HVAC: Combination FHA-AC SF: 0
Li htin : Retail Store SF: 1200
YARD EXTRAS
Descri tion ear Built JQuantitv Plot No. lExtended Description
Pavin 1952 1 10 3,420 SF Asphalt Parking, Average Pricing
http://www2.co.black-hawk.ia.us/website/bhmap/bhRepDet.asp?apn=891326213003 06/21/2006