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HomeMy WebLinkAboutItem 06.oOctober 15, 2018 Item No.________ AMENDMENT TO THE AGREEMENT FOR THE PURCHASE OF REAL PROPERTY LOCATED AT 16715 FLAGSTAFF AVENUE Proposed Action Staff recommends adoption of the following motion: Adopt a resolution to approve an amendment to the previously approved purchase agreement for the property located at 16715 Flagstaff Avenue. Approval of this amendment will allow the closing on the acquisition of the property located at 16715 Flagstaff Avenue to no later than November 6, 2018 and the rent back of the property to be extended to no later than November 30, 2018. Overview The City Council has approved a Joint Powers Agreement with Dakota County on March 19, 2018 for the construction of a roundabout at the intersection of Dodd Boulevard and Flagstaff Avenue. The agreement calls for the required property acquisition be completed by the City with the County reimbursing the City with their 55% cost share. On September 4, 2018, the City Council approved a purchase agreement for the single-family home located at 16715 Flagstaff Avenue for $280,000. The scheduled closing date in the original purchase agreement was to take place on or before September 27, 2018 and included a rent-back period of 10 days. The property owners have requested that the closing date be extended to no later than November 6, 2018 and that the rent back agreement be extended to November 30th to allow additional time to close on their replacement home and complete the move to this property. The financial terms of the agreement are unchanged. The Popes are also entitled to business relocation and re-establishment expenses for their home-based business and actual moving costs as well as closing costs on their new home under the Uniform Relocation Act. City and County staff recommend approval of this purchase agreement amendment. Primary Issues to Consider • What is the proposed funding source for this acquisition? The project as identified in the adopted 2018-2022 Capital Improvement Plan and is proposed to be financed from the Municipal State Aid Street funds. Supporting Information • Signed Purchase Agreement Amendment David L. Olson, Community and Economic Development Director c: Zach Johnson, City Engineer; Brian Sorenson, Asst. County Engineer Financial Impact: $ 280,000________Budgeted: Y/N _Y___ Source: __MSA and County Funds_____ 199004v1 CITY OF LAKEVILLE DAKOTA COUNTY, MINNESOTA RESOLUTION NO. _____ RESOLUTION APPROVING AN AMENDMENT TO AN AGREEMENT FOR THE ACQUISITION OF REAL PROPERTY WHEREAS, the City Council previously approved a Purchase Agreement to acquire certain property ("Property") between the City of Lakeville (“Buyer”) and Timothy R. Pope and Sandra B. Pope (“Sellers”); WHEREAS, Buyer and Sellers propose to amend the previously approved agreement to change the closing date to no later than November 6, 2018 and agree to a new Rent Back Agreement attached as Exhibit “B” to allow the Sellers to rent back the Property from the Buyer until November 30, 2018. NOW, THEREFORE, BE IT RESOLVED by t he City Council of the City of Lakeville: 1. The Mayor, City Administrator, and City Clerk are authorized and directed to execute all documents, and take all appropriate measures to convey the Property under the terms of the Purchase Agreement as amended. ADOPTED this _______ day of _____________, 2018, by the City Council of the City of Lakeville. CITY OF LAKEVILLE BY: _______________________________ Douglas P. Anderson, Mayor ATTEST: ______________________________ Charlene Friedges, City Clerk