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HomeMy WebLinkAboutS4W, LLC-4/18/2016MEMORANDUM OF AGREEMENT REGARDING PAYMENT OF REAL ESTATE TAXES This Agreement is entered into as of April 10 , 2016, by and between S4W, LLC ("S4W") and the City of Waterloo, Iowa ("City"). RECITALS A. S4W and City are parties to a certain Acquisition Contract by which S4W will convey to City certain real property described as set forth on Exhibit "A" attached hereto (the "Real Estate"). The Real Estate is part of a larger property that is the subject of a condominium regime that has been assessed for property tax purposes as approximately 60 different parcels. B. By this Agreement, the parties desire to set forth their arrangements with respect to payment of property taxes for the Real Estate. AGREEMENT NOW, THEREFORE, in consideration of the mutual promises exchanged herein, and for other consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree that S4W will pay the full tax bills for the Real Estate that are due on or before September 30, 2016 and March 31, 2017. The parties acknowledge that, when tax bills are issued in August 2016, the Real Estate will not be taxed as a separate parcel from the larger parcels of which it is a portion, but that the county auditor's office has represented to counsel for City that taxes otherwise attributable to the Real Estate will not be included in said tax bills for the larger parcels. The county auditor has indicated that the March 2017 installment will be reduced proportionately to reflect the period between January 1, 2016 and the transfer of title in April 2016. Therefore, the tax bills issued in respect of the Real Estate for fiscal year 2016- 2017 will be the full and sole responsibility of S4W. The parties agree to cooperate reasonably and in good faith, and to take such further steps as may be reasonably necessary or advisable, to carry out the purpose and intent of this Agreement. IN WITNESS WHEREOF, the parties have executed this Memorandum of Agreement by their duly authorized representatives as of the date first set forth above. S4W, LLC By: CITY OF WATERLOO, IOWA By: Kei : chmi . t, Manager Quentin Hart, Mayor Attest: Suzy Sc res, City Clerk