HomeMy WebLinkAboutItem 06.jSeptember 14, 2012
Proposed Action
Staff recommends adoption of the following motion: Move to approve a resolution approving the
acquisition of real property and a land lease agreement with Lawrence Schweich.
Adoption of this motion will result in the transfer of .27 acres of land to the City of Lakeville to allow
the extension of Harappa Avenue to 190` Street and the leasing of approximately 3.5 acres of City
owned land to Lawrence Schweich for farming purposes.
Overview
In May of 2012 the City Council approved the final plat of Crescent Ridge 3` Addition. The plat
included the extension of Harappa Avenue, from the north plat boundary line, to 190` Street. The
area between the plat and 190` Street, where the Harappa Avenue extension is being constructed, is
entirely encumbered by roadway and right -of -way easements, but under the ownership of Lawrence
Schweich. Since this area is isolated from Mr. Schweich's parent parcel, is not developable and not
large enough to be used for agricultural purposes, Mr. Schweich has agreed to convey the ownership
of the property to the City of Lakeville. Attached is a warranty deed for the .27 acres of land to convey
the property to the City of Lakeville at a cost of $1.65 plus Dakota County filing and recording fees.
In addition, while reviewing Mr. Schweich's property, it was found that a 3.5 acre area owned by the
City, adjacent to his parent parcel on the west side of Holyoke Avenue, is currently being farmed
without a formal lease agreement. Attached is a formal lease agreement to allow Mr. Schweich to
continue to farm this area in consideration of a $1.00 per year rental rate ending on January 1, 2015 at
which time the lease may be renewed.
Staff recommends adoption of the resolution approving the warranty deed and lease agreement.
Primary Issues to Consider
• None.
Supporting Information
SCHWEICH PROPERTY LEASE AGREEMENT AND WARRANTY DEED
SEPTEMBER 17, 2012 CITY COUNCIL MEETING
• City Council resolution and exhibits.
• Signed warranty deed and exhibits.
• Signed property lease agreement and exhibits.
Al
Ilyn Kuennen, AICP
Associate Planner
Item No.
Financial Impact: $ None
Budgeted: Y/N Source:
Related Documents (CIP, ERP, etc.):
Notes:
CITY OF LAKEVILLE
DAKOTA COUNTY, MINNESOTA
Date Resolution
Motion By Seconded By
RESOLUTION APPROVING AGREEMENT FOR LEASE
AND ACQUISITION OF CERTAIN REAL PROPERTY
WHEREAS, the City has been in negotiations with Mr. Larry Schweich concerning the use
of City property for agricultural purposes and the acquisition by the City of certain property owned
by L and B Schweich Properties, L.P., a Minnesota limited partnership, for right of way purposes
( "Schweich Properties ");
WHEREAS, Schweich Properties desires to convey to the City the property legally
described on the attached Exhibit A ( "Schweich Property") in exchange for a lease of certain real
property owned by the City and legally described on the attached Exhibit B for growing crops
( "City Property");
WHEREAS, Minn. Stat. § 462.356, subd. 2 requires that the Planning Commission review
the City's proposed acquisition of property for consistency with the Comprehensive Plan, except
upon a 2/3 vote of the City Council dispensing with the requirement and finding that the acquisition
of the property has no relationship to the City's comprehensive plan;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Lakeville,
Minnesota:
1. The City Council hereby approves the exchange of the Schweich Property by
warranty deed for the lease of the City Property pursuant to a lease in a form
approved by the City Administrator and City Attorney;
2. Pursuant to Minn. Stat. § 462.356, subdivision 2, the Council finds that the
1
acquisition of the Schweich Property has no relationship to the City's
comprehensive plan and hereby dispenses with review by the Planning Commission;
3. The Mayor and City Clerk are authorized to execute any documents which, in the
opinion of the City Attorney, are necessary to effectuate this transaction.
ADOPTED this 17 day of September 2012, by the City Council of the City of Lakeville,
Minnesota.
ATTEST:
Charlene Friedges, City Clerk
CITY OF LAKEVILLE
BY:
2
Mark Bellows, Mayor
190TH ST W
tie
A tract of land in the Southeast 1 /4 of the Southeast' /. of Section 17,
Township 114 North, Range 20 West, whose boundaries are
described as follows:
Beginning at the Southeast corner of said Section 17; thence
North 50 feet; thence North 75° 21' West (Assuming East
line of said Section 17 being North - South) 130 feet;
thence North 49° 10' West approximately 130 feet to the
Southeasterly right of way of the new alignment of
County Road 15 (1970); thence Southwesterly along new
Southeasterly right of way of County Road 15 to the
South line of said Section 17; thence East to a point of beginning.
Said tract of land containing 0.27 acres more or less after
excepting therefrom existing road right of way.
EXHIBIT A
TiIIabIe farm Iocated within that portion of the
following parcels lying both west of
Holyoke Avenue and north of 190th Street West:
A tract of land in the NE the NEl4of
Section 20, Twp. 114 N., Rge. 20 W.
whose boundaries are described as follows:
Beginning at a NW corner of the NE 1/4 of the
NE 1/4 of Section 20, Twp. 114 N., Rge. 20 W.,
thence south along 1/16 Section Line for 837.06 ft.
to the beginning of a 70 curve to the right
(northeasterly) (deflection angie G8^42'right;
tangent 559.41 ft., R = 818.51 ft.)
thence along said 70 curve to the right for 981.43 ft.
to the end of said 70 curve thence
North 88^44' East (assuming North line of Section 28
being East - West) 205.45 ft. to the North line of said
Section 20; thence West 712.15 ft. to the point of beginning.
Said tract containing 3.5 acres more or less.
w
EXHIBIT B
(Reserved for Recording Data)
WARRANTY DEED
STATE DEED TAX DUE HEREON: $1.65
Dated: // 1A 2 /
FOR VALUABLE CONSIDERATION, L and B Schweich Properties, L.P., a Minnesota
limited partnership, Grantor, hereby conveys and warrants to the City of Lakeville, a Minnesota
municipal corporation, Grantee, real property in Dakota County, Minnesota, described as follows:
A tract of land in the Southeast '/ of the Southeast '/ of Section 17, Township 114 North,
Range 20 West, whose boundaries are described as follows:
Beginning at the Southeast corner of said Section 17; thence North 50 feet; thence
North 75° 21' West (Assuming East line of said Section 17 being North - South) 130
feet; thence North 49° 10' West approximately 130 feet to the Southeasterly right of
way of the new alignment of County Road 15 (1970); thence Southwesterly along
new Southeasterly right of way of County Road 15 to the South line of said Section
17; thence East to a point of beginning.
Said tract of land containing 0.27 acres more or less after excepting therefrom existing
road right of way.
together with all hereditaments and appurtenances belonging thereto, subject to the following
exceptions:
A. Covenants, conditions, restrictions, declarations and easements of record, if any;
B. Reservations of minerals or mineral rights by the State of Minnesota, if any;
C. Building and zoning laws, ordinances, state and federal regulations.
THE GRANTOR CERTIFIES THAT THE GRANTOR DOES NOT KNOW OF ANY WELLS ON THE
DESCRIBED REAL PROPERTY.
The consideration for this transfer was less than $500.00.
STATE OF MINNESOTA )
)ss.
COUNTY OF DAKOTA )
5 The foregoing instrum was acknowledged be re me this day of
, O / C � / } 2 j, 2012, by u l l 1 - ' f , i 4 U) ,c the General Partner of L and B
Schweich Properties, L.P., a Minnesota limited part -rship, on behalf of the ► nership.
164974v1
° S.AsNDRAJJOHNSON
NOTARY PUBLIC
MINNESOTA
.'«"^ My Co Tression Expires Jan. 31, 2015
Check here if part or all of the land is Registered (Torrens)
THIS INSTRUMENT WAS DRAFTED BY:
Campbell Knutson
Professional Association
317 Eagandale Office Center
1380 Corporate Center Curve
Eagan, Minnesota 55121
651- 452 -5000
AMP /cjh
L AND B SCHWEICH PROPERTIES, L.P.
2
0tl t��cv_
General Partner
Tax Statements for the real property
described in this instrument should be sent
to (Include name and address of Grantee):
City of Lakeville
20195 Holyoke Avenue
Lakeville, Minnesota 55044
Said tract of land containing 0.27 acres more or less after
excepting therefrom existing road right of way.
rag. ISLA?
j t4,:a
`A w
L it
" _ * a
190TH ST W
A tract of land in the Southeast 1 /4 of the Southeast % of Section 17,
Township 114 North, Range 20 West, whose boundaries are
described as follows:
Beginning at the Southeast corner of said Section 17; thence
North 50 feet; thence North 75° 21' West (Assuming East
line of said Section 17 being North- South) 130 feet;
thence North 49° 10' West approximately 130 feet to the
Southeasterly right of way of the new alignment of
County Road 15 (1970); thence Southwesterly along new
Southeasterly right of way of County Road 15 to the
South line of said Section 17; thence East to a point of beginning.
N
EXHIBITA
LEASE
THIS LEASE ( "Lease "), entered into this 1 day of September 2012, by and between the
CITY OF LAKEVILLE, whose address is 20195 Holyoke Avenue, Lakeville, MN 55044
(hereinafter referred to as the "Lessor ") and LAWRENCE SCHWEICH, whose address is 8719
190 Street West, Lakeville, Minnesota 55044 (hereinafter referred to as the "Lessee ").
WITNESSETH:
1. Lease Term. Lessor hereby leases unto the Lessee the tillable farm land located
within the property legally described in the attached Exhibit "A" and depicted on the map
attached hereto as "Exhibit B" and made a part hereof ( "Leased Premises "), from the 1 day of
September, 2012 to the 1 day of January 2015 ( "Term ").
2. Rent. Lessee, in consideration of the leasing of the Leased Premises, hereby
covenants and agrees to pay to Lessor annual rental of $1.00 ( "Rent ") for each year during the
term of this Lease. The first year's Rent shall be payable by Lessee upon execution of this Lease
and on each 1 day of January thereafter during the Term of this Lease.
3. Care, Maintenance, Use Covenants. Lessee covenants that Lessee will: (i)
farm and care for the Leased Premises in a good husband -like manner, and in accordance with
good farming and soil conservation practices; (ii) not commit or permit waste thereon; (iii)
carefully protect all improvements of every kind that are now on the Leased Premises; (iv)
promptly at the expiration of the term of the Lease yield up possession of the Leased Premises,
without notice, unto the Lessor in as good condition and repair as the Leased Premises now is or
may be at any time during the continuance of this Lease, ordinary wear and tear excepted; and
(v) keep the Leased Premises free from all weeds and destroy all weeds along the fences and
around all improvements thereon.
Lessee acknowledges that Lessor has the right to limit crops and cultivating in specific
areas to avoid dust, debris, weeds and etc., from affecting abutting parcels or right of way.
4. Approval of Crops. Lessee covenants and agrees to obtain the prior approval of
the Lessor for all crops to be raised on the Leased Premises.
5. Possession/Termination. Lessor reserves the right to demand possession of all
or any portion of the Leased Premises at any time for any purpose and to terminate this Lease.
Whenever Lessor takes possession of all or any portion of the Leased Premises or the Lease is
terminated by Lessor for any reason (except in the event the Lease is terminated as a result of an
event of default by Lessee), the Lessee shall plow under all crop residue and harrow the surface
area smooth, within safety areas. In such events, Lessor shall pay reasonable damage for
growing crops taken, an agreed value for work done on planted land. In no event will livestock
be permitted on the Leased Premises for any reason.
6. Use. Lessor and Lessee shall, as applicable, abide by and conform to all statutes,
ordinances, rules and regulations of duly constituted public authorities relating to the use or
occupancy of the Premises.
164921v1
7. Taxes. Lessee shall be responsible for all personal property and real estate taxes
incurred as a result of this Lease.
8. Insurance. Lessee shall procure and maintain general liability insurance against
all claims for injuries and damages occurring on the Leased Premises, such insurance to be in
amounts approved by Lessor. Such insurance shall name Lessor as an additional insured and
shall contain a provision that the Lessor will be notified in writing thirty (30) days prior to any
proposed policy cancellation.
9. Environmental Matters and Indemnification. The term "Environmental Laws"
shall mean all federal, state and local laws, including statutes, regulations, ordinances, codes,
rules and other governmental restrictions and requirements relating to the discharge of air
pollutants, water pollutants or process waste water or otherwise relating to the environment or
hazardous substances, including but not limited to the Federal Solid Waste Disposal Act, the
Federal Clean Air Act, the Federal Clean Water Act, the Federal Resource Conservation and
Recovery Act of 1976, the Federal Comprehensive Environmental Responsibility, Cleanup and
Liability Act of 1980, regulations of the Environmental Protection Agency, regulations of the
Nuclear Regulatory Agency and regulations of any state department of natural resources or state
environmental protection agency now or at any time hereafter in effect.
In order to induce the Lessor to enter into this Lease, the Lessee covenants, represents
and warrants to the Lessor that while this Lease is in effect Lessee will comply with all
applicable Environmental Laws.
Lessee shall indemnify Lessor against all claims, demands, charges, damages, orders,
judgments, citations, or costs, including reasonable attorneys' fees which Lessor may incur by
reason of any violation of Environmental Laws occurring on the Leased Premises for which
Lessor may become responsible by reason of Lessor's use of the Leased Premises.
10. Subletting /Assignment. Lessee shall not sublet the Leased Premises or assign
the Lease without the express written consent of the Lessor.
11. Waiver of Claims. All property belonging to Lessee or any occupant of the
Premises shall be there at the risk of Lessee or such other person only, and Lessor shall not be
liable for any damage thereto and Lessee waives all claims against Lessor for damages to
persons or property sustained by Lessee or any occupant of the Premises, except those claims
arising from the negligence of Lessor, its agents or employees.
12. Waiver. One or more waivers of any covenant, term or condition of this Lease by
either party shall not be construed by the other party as a waiver of a subsequent breach of the
same covenant, term or condition. The consent or approval of either party to or of any act by the
other party of a nature requiring consent or approval shall not be deemed to waive or render
unnecessary consent to or approval of any similar act.
13. Relationship of Parties. Nothing contained in this Lease shall be deemed or
construed by the parties hereto or by any third party to create the relationship of principal and
2
agent or of partnership or of joint venture or of any association whatsoever between Lessor and
Lessee, it being expressly understood and agreed that neither the payment of rent nor any act of
the parties hereto shall be deemed to create any relationship between Lessor and Lessee other
than the relationship of landlord and tenant.
14. Events of Default/Remedies. It shall be an "Event of Default" under this Lease
if Lessee:
(a) Fails to pay rent when due.
(b) Fails to comply with all of Lessees covenants herein.
Lessor shall have the right to terminate this Lease if Lessee fails to cure an Event of Default
within ten (10) days written notice. If Lessee fails to cure an Event of Default within the cure
period Lessor shall have the right to terminate this Lease and exercise any remedies available
under applicable law to regain possession of the Leased Premises. In the event that Lessee is in
default under this Lease and the Lease is terminated and Lessee fails to vacate the Leased
Premises, the Lessor shall be entitled to recover all costs and expenses including reasonable
attorney's fees incurred by Lessor in enforcing the terms of this Lease and regaining possession
of the Leased Premises. The reimbursement required under Paragraph 5 shall not apply.
15. Binding Effect. This Lease shall extend to and be binding upon the heirs,
executors, administrators, trustees, successors, receivers and assigns of the parties hereto.
16. Notice. All notices to the parties shall be sent to the addresses set forth herein
and shall be effective upon personal delivery or three (3) business days after placed in the U.S.
Mail postage prepaid.
IN WITNESS WHEREOF, the parties hereto have executed this lease as of the day and
year first above written.
LESSOR:
CITY OF LAKEVILLE
By:
Mark Bellows, Mayor
And
3
Charlene Friedges, City Clerk
STATE OF MINNESOTA )
( ss.
COUNTY OF DAKOTA
The foregoing instrument was acknowledged before me this day of
, 2012, by Mark Bellows and by Charlene Friedges, respectively the Mayor
and City Clerk of the City of Lakeville, a Minnesota municipal corporation, on behalf of the
corporation and pursuant to the authority granted by its City Council.
STATE OF MINNESOTA )
( ss
COUNTY OF O o )
the and
, the Lessee.
DRAFTED BY:
CAMPBELL KNUTSON
Professional Association
1380 Corporate Center Curve, Suite 317
Eagan, Minnesota 55121
Telephone: (651) 452 -5000
AMP
NOTARY PUBLIC
LESSEE:
LAWRENCE SCHWEICH
And
The foregoing instrument was acknowledged before me this " day of
e /t t , 2012, by )0 r P 5 42'r. and by
4
Lawrence Schweich
of
a
SANDRA J JOHNSON
NOTARY PUBLIC
MINNESOTA
My Commisslon Expires Jan 31, 2015
Legal Description of Leased Premises
EXHIBIT A
Tillable farm located within that portion of the following parcels lying both west of Holyoke
Avenue and north and south of 190 Street West:
A tract of land in the NE % of the NE 1/ of Section 20, Twp. 114 N., Rge. 20 W. whose
boundaries are described as follows:
Said tract containing 3.5 acres more or less.
5
Beginning at a NW corner of the NE 1/ of the NE 1/ of Section 20, Twp.
114 N., Rge. 20 W., thence south along 1/16 Section Line for 837.06 ft. to
the beginning of a 7° curve to the right (northeasterly) (deflection angle
68° 42' right; tangent 559.41 ft., R = 818.51 ft.) thence along said 7° curve
to the right for 981.43 ft. to the end of said 7° curve thence North 68° 44'
East (assuming North line of Section 20 being East - West) 205.45 ft. to
the North line of said Section 20; thence West 712.15 ft. to the point of
beginning
Tillable farm located within that portion of the
following parcels lying both west of
Holyoke Avenue and north of 190th Street West:
A tract of land in the NE 1/4 of the NE '/< of
Section 20, Twp. 114 N., Rge. 20 W.
whose boundaries are described as follows:
Beginning at a NW corner of the NE 1/4 of the
NE'/ of Section 20, Twp. 114 N., Rge. 20 W.,
thence south along 1/16 Section Line for 837.06 ft.
to the beginning of a 7° curve to the right
(northeasterly) (deflection angle 68° 42' right;
tangent 559.41 ft., R = 818.51 ft.)
thence along said 7° curve to the right for 981.43 ft.
to the end of said 7° curve thence
North 68° 44' East (assuming North line of Section 20
being East - West) 205.45 ft. to the North line of said
Section 20; thence West 712.15 ft. to the point of beginning.
Said tract containing 3.5 acres more or Tess.
EXHIBIT B