HomeMy WebLinkAboutRosic, Jacky and Gordana-Development Agreement-10.15.2007 Iv - JS -o7
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DEVELOPMENT AGREEMENT
This Agreement is made and entered into this 1st day of October, 2007, by and
between Jacky D. Rosic & Gordana A. Rosic, husband and wife, hereinafter called
Owner, and the City of Waterloo, Iowa, hereinafter called City.
WHEREAS, City considers economic development within the City a benefit to the
community and is willing for the total good and welfare of the community to provide
financial incentives so as to encourage that goal, and
WHEREAS, Owner is willing and able to renovate and develop a mixed use
commercial building on property located in the Downtown Waterloo Urban Renewal and
Redevelopment Plan, described as Parcel 8913-26-233-003, legally described as:
ORIGINAL PLAT WATERLOO WEST SOUTHEAST 26.50 FEET LOT 2 BLOCK 8
and hereafter called Property, and
NOW, THEREFORE, IN CONSIDERATION OF THE MUTUAL COVENANTS
HEREINAFTER CONTAINED, Owner and City agree as follows:
1. PROPERTY TAX REBATES
The City agrees to property tax rebates as follows:
a. Year One - 100% Rebate
b. Year Two - 100% Rebate
c. Year Three 100% Rebate
d. Year Four - 100% Rebate
e. Year Five - 100% Rebate
for any value over the January 1, 2006 value of $75,050.00.
The taxable value of the property as a result of development must be increased
by a minimum of 10% and increase the annual tax by a minimum of $500.00. This
program is not applicable to (i e., rebates will not be given for) the Self-Supported
Municipal Improvement District evy or other special tax assessments and/or the debt
service levy.
DEVELOPMENTAL AGREEMENT
Page 2
2. MINIMUM ASSESSMENT AGREEMENT. Owner 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, and
further agrees that prior to the date set forth in Section 2 of Exhibit A, it will not cause a
reduction in the real property taxes paid with respect to the Project below the amount of
$169,120.00 Dollars ("Minimum Actual Value"). Owner agrees to sign said attached
Exhibit "A" at the closing for the project agreement.
3. Construction of Improvements. Owner shall redevelop the 2-story,
4,320 square foot building as shown on attached Exhibit "B", and related improvements
on the Property, resulting a new taxable value of at least $169,120.00. The
Improvements are to be constructed in accordance with all applicable City, State, and
Federal building codes and be in compliance with all applicable City ordinances and
other applicable law. The above-described project has been approved by the Main
Street Design Review Board by City Code.
4. Representations and Warranties of City. City hereby represents and
warrants as follows:
A. City is not prohibited from consummating the transaction
contemplated in this Agreement by any law, regulation, agreement, instrument,
restriction, order or judgment.
B. Each person who executes and delivers this Agreement and all
documents to be delivered hereunder is and shall be authorized to do so on
behalf of City.
5. Representations and Warranties of Owner and Organization. Owner
and the Organization each hereby represent and warrant for themselves only, and not
for the other, as follows:
A. Each is not prohibited from consummating the transaction
contemplated in this Agreement by any law, regulation, agreement, instrument,
restriction, order or judgment.
B. Each is duly organized, validly existing, and in good standing under
the laws of the State of Iowa.
C. Each has full right, title, and authority to execute and perform this
Agreement and to consummate all of the transactions contemplated herein, and
each person who executes and delivers this Agreement and all documents to be
delivered to City hereunder is and shall be authorized to do so on behalf of
Owner or the Organization, as applicable.
6. No Joint Venture. Nothing in this Agreement shall, or shall be deemed
or construed to, create or constitute any joint venture, partnership, agency,
employment, or any other relationship between the City and either Owner or the
DEVELOPMENTAL AGREEMENT
Page 3
Organization, nor to create any liability for one party with respect to the liabilities or
obligations of the other party or any other person.
7. Amendment, Modification, and Waiver. No amendment, modification,
or waiver of any condition, provision, or term of this Agreement shall be valid or of any
effect unless made in writing, signed by the party or parties to be bound or by the duly
authorized representative of same, and specifying with particularity the extent and
nature of the amendment, modification, or waiver. Any waiver by any party of any
default by another party shall not affect or impair any rights arising from any subsequent
default.
8. Severability. Each provision, section, sentence, clause, phrase, and
word of this Agreement is intended to be severable. If any portion of this Agreement
shall be deemed invalid or unenforceable, whether in whole or in part, the offending
provision or part thereof shall be deemed severed from this Agreement and the
remaining provisions of this Agreement shall not be affected thereby and shall continue
in full force and effect. If, for any reason, a court finds that any portion of this
Agreement is invalid or unenforceable as written, but that by limiting such provision or
portion thereof it would become valid and enforceable, then such provision or portion
thereof shall be deemed to be written, and shall be construed and enforced, as so
limited.
9. Captions. All captions, headings, or titles in the paragraphs or sections
of this Agreement are inserted only as a matter of convenience and/or reference, and
they shall in no way be construed as limiting, extending, or describing either the scope
or intent of this Agreement or of any provisions hereof.
10. Binding Effect. This Agreement shall be binding and shall inure to the
benefit of the parties and their respective successors, assigns, and legal
representatives.
11. Counterparts. This Agreement may be executed in one or more
counterparts, each of which shall be deemed an original and all of which, taken
together, shall constitute one and the same instrument.
12. Entire Agreement. This Agreement, together with the Minimum
Assessment Agreement attached hereto as Exhibit "B", constitutes the entire
agreement of the parties and supersedes all prior or contemporaneous negotiations,
discussions, understandings, or agreements, whether oral or written, with respect to the
subject matter hereof.
DEVELOPMENTAL AGREEMENT
Page 4
IN WITNESS WHEREOF, the parties have executed this Agreement the date
and year writt n above.
By: 1 0 I ; { 1
Jacky D. sic Date
By: 0 � C�V�c\ i� C I O— O r?
Gordana A. Rosic Date
CITY OF WATERLOO, IOWA
By: L /0 - /S - 07
Tim Hurley, Mayor Date
ATTEST:
ra 10 -IS- 07
Nancy ckert Clerk Date
EXHIBIT "A"
MINIMUM ASSESSMENT AGREEMENT
THIS MINIMUM ASSESSMENT AGREEMENT, dated as of this >S day of
ocjo Gt.r , 200 , by and among the CITY OF WATERLOO, IOWA, ("City"), Jacky D.
Rosic & Gordana A. Rosic, husband and wife, ("Owner"), and the COUNTY
ASSESSOR of the City of Waterloo, Iowa ("Assessor").
WITNESSETH:
WHEREAS, on or before the date hereof the City and Owner have entered into
an Agreement for development of Land for Private Development ("Agreement")
regarding certain real property located in the City; and
WHEREAS, it is contemplated that pursuant to said Agreement, the Owner will
undertake the development of an area ("Project") within the City and within the
"Downtown Waterloo Urban Renewal and Redevelopment Plan."
WHEREAS, pursuant to Iowa Code section 403.6(1997), as amended, the City
and the Owner desire to establish a minimum actual value for the land and building
thereon pursuant to the Agreement and applicable only to the development, which shall
be effective upon substantial completion of the development and from then until this
Agreement is terminated pursuant to the terms herein and which is intended to reflect
the minimum actual value of the land and building as to the development only; and
WHEREAS, the City and the Assessor have reviewed the preliminary plans and
specifications for the improvements which it is contemplated will be erected as a part of
the development;
NOW, THEREFORE, the parties to this Minimum Assessment Agreement, in
consideration of the promises, covenants and agreements made by each other, do
hereby agree as follows:
1. Upon substantial completion of construction of the above-referenced
improvements by the Owner on the property described in Exhibit "B" attached hereto,
the minimum actual taxable value which shall be fixed for assessment purposes for the
land and improvements to be constructed thereon by the Owner as a part of the
development shall not be less than $169,120.00 ("Minimum Actual Value") until
termination of this Minimum Assessment Agreement. The parties hereto agree the
construction of the improvements will be substantially completed on or before
January 1, 2007.
2. The Minimum Actual Value herein established shall be of no further force
and effect and this Minimum Assessment Agreement shall terminate on January 1,
2016.
Nothing herein shall be deemed to waive the Owner's rights under Iowa Code
section 403.6(19)(1997), 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 Owner seek to reduce 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 Owner to
contest its taxable valuations in full, commencing with the assessment of January 1,
2017.
3. This Minimum Assessment Agreement shall be promptly recorded by the
City with the Recorder of Black Hawk County, Iowa, the City paying all costs of
recording.
4. Neither the preambles nor provisions of this Minimum Assessment
Agreement are intended to, or shall be construed as, modifying the terms of the
Agreement between the City and the Owner.
5. This Minimum Assessment Agreement shall inure to the benefit of and be
binding upon the successors and assigns of the parties.
THE CITY OF WATERLOO
By:
Tim Hurley, Mayor
ATTEST:
B
Nancy Eckert y Clerk
By:
Jacky . osic
o
By: C3-0 V cAC�\41 A St C
Gordana A. Rosic
STATE OF IOWA )
COUNTY OF BLACK HAWK )
On this dayof 2007, before me a Notary ry
Public in and for the State of Iowa, personally appeared Tim Hurley and Nancy Eckert
to me personally known, who being duly sworn, did say that they are the Mayor and City
Clerk, respectively of the City of Waterloo, Iowa, a Municipal corporation, created and
existing under the laws of the State of Iowa, and that the seal affixed to the foregoing
instrument is the seal of said Municipal Corporation, and that said instrument was
signed and sealed on behalf of said Municipal Corporation by authority and resolution
of its City Council and said Mayor and City Clerk acknowledged said instrument to be
the free act and deed of said Municipal Corporation by it and by them voluntarily
executed.
•
ota Public in and for the tat of Iowa
STATE OF IOWA, BLACK HAWK COUNTY, ss:
This instrument was acknowledged before me on this 1st day of October, 2007, by Jacky D.
Rosic and Gordana A. Rosic, husband and wife.
AMY E. KENT
COMMISSION NO.748852
"°' _ a MY COMMISSION EXPIRES
SEPTEMBER 12,2910
Notary Publi in and for said State of Iowa
CERTIFICATION OF ASSESSOR
The undersigned, having reviewed the plans and specifications for the
improvements to be constructed and the market value assigned to the land upon which
the improvements are to be constructed for the development, and being of the opinion
that the minimum market value contained in the foregoing Minimum Assessment
Agreement appears reasonable, hereby certifies as follows: The undersigned Assessor,
being legally responsible for the assessment of the property subject to the
development, upon completion of improvements to be made on it and in accordance
with the Minimum Assessment Agreement, certifies that the actual value assigned to
such land, building and equipment upon completion of the development shall not be
less than One Hundred Sixty Nine Thousand One Hundred Twenty Dollars
($169,120.00).
Assessor for Black Hawk County, Iowa
Date
STATE OF IOWA )
COUNTY OF BLACK HAWK )
Subscribed and sworn to before me by
Assessor for Black Hawk County, Iowa.
Notary Public in and for the State of Iowa
Date
EXHIBIT "B"
Legal Description: Parcel Number 8913-26-233-003.
ORIGINAL PLAT WATERLOO WEST SE 26.50 FT LOT 2 BLOCK 8
ALL IN THE CITY OF WATERLOO, BLACK HAWK COUNTY, STATE OF IOWA.
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