HomeMy WebLinkAboutContract 30476 -7`r SFCRETAR'r
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COUNTY OF TARRANT §
STATE OF TEXAS §
OPTION TO PURCHASE AND PURCHASE AGREEMENT
THIS OPTION to Purchase ("Option") dated 9K1 , 2004 is between the
City of Fort Worth, a home rule municipality, ("Seller"), acting through Marc A. Ott its duly
authorized Assistant City Manager and Michelle Wayman ("Purchaser").
WHEREAS Seller is the owner of property within 5000 feet of Lake Worth; and
WHEREAS Section 272.001 of the Texas Local Government Codes, Subsection (h),
provides that a municipality with a population of 575,000 or less and owning land within 5,000
feet of the shoreline of a lake may sell the land to the person leasing the land for the fair market
value of the land without the solicitation of bids; and
WHEREAS Purchaser leases property from Seller, such Property more particularly
described on Exhibit "A", attached hereto and incorporated herein by reference ("the Property");
and
WHEREAS, Purchaser desires to purchase the Property from Seller and desires to obtain
an option to purchase the Property; and
WHEREAS the City Council of the City of Fort Worth has adopted a policy in which the
property surrounding Lake Worth can only be sold when it is connected to the City of Fort Worth
water or sewer system or when it is connected to a municipal water or sewer system; and
WHEREAS, it is anticipated that it may take up to 10 years for the Property to be
connected to the City of Fort Worth water or sewer system.
NOW THEREFORE, the parties agree as follows:
L
Grant of Option
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 1 of 26
February 3,2004
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For the consideration expressed in Paragraph 4 of this Contract, Seller hereby grants Purchaser,
its successors and assigns the exclusive right to purchase the Property subject to the terms set
forth in this Agreement.
2.
Term/Termination
A. So long as this Option Agreement is not terminated under Section 2.13., this Option shall
expire on October 31, 2013, or one year after Purchaser receives a "Sewer Connection
Notice" as defined in Paragraph 6, or one year after Purchaser gives a "Purchaser's Notice"
as defined in Paragraph 6,whichever is sooner.
IF PURCHASER DOES NOT RECEIVE A SEWER CONNECTION NOTICE AND
HAS NOT GIVEN SELLER A PURCHASER'S NOTICE BY MAY 31, 2013,
PURCHASER MUST EXERCISE HIS OPTION TO PURCHASE THE PROPERTY
BY JUNE 30, 2013. IF PURCHASER FAILS TO PURCHASE THE PROPERTY BY
JUNE 30, 2013, THIS OPTION SHALL AUTOMATICALLY TERMINATE AND
PURCHASER SHALL NOT HAVE ANY RECOURSE AGAINST SELLER AND
PURCHASER SHALL NOT BE ENTITLED TO ANY DAMAGES AGAINST
SELLER.
IF PURCHASER RECEIVES A SEWER CONNECTION NOTICE OR GIVES
SELLER A PURCHASER'S NOTICE, PURCHASER MUST SATISFY ALL OF
THE CONDITIONS SET FORTH IN PARAGRAPH 3 AND COMPLETE THE
PURCHASE OF THE PROPERTY WITHIN ONE YEAR OF RECEIVING THE
SEWER CONNECTION NOTICE OR GIVING PURCHASER'S NOTICE. IF
PURCHASER FAILS TO SATISFY ALL OF THE CONDITIONS IN PARAGRAPH
3 AND FAILS TO COMPLETE THE PURCHASE OF THE PROPERTY WITHIN
ONE YEAR OF RECEIVING THE SEWER CONNECTION NOTICE OR GIVING
PURCHASER'S NOTICE, THIS OPTION SHALL AUTOMATICALLY
TERMINATE AND PURCHASER SHALL NOT HAVE ANY RECOURSE
AGAINST SELLER AND PURCHASER SHALL NOT BE ENTITLED TO ANY
DAMAGES AGAINST SELLER.
B. If the Purchaser's Lease on the Property is terminated as provided under the terms of
the Lease Agreement, this Option shall automatically terminate and the Option Fee
shall not be refunded. If this Option is terminated under this section, Purchaser shall
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 2 of 26
February 3,2004
not have any recourse against Seller and Purchaser shall not be entitled to any damages
against Seller.
3.
Conditions Necessary to Exercise
A. If Purchaser receives a Sewer Connection Notice or gives Purchaser's Notice prior to
September 30, 2013 and desires to exercise Purchaser's option to purchase the Property,
Purchaser must satisfy all the following conditions:
(1) if the system available for connection is a City of Fort Worth Sewer System or Seller
sends a "Sewer Design Notice" to Purchaser, a Tap Fee and Impact Fee associated
with connecting the Property to the City of Fort Worth Sewer System must be paid in
full. The actual amount of the Tap Fee and the Impact Fee will be the amount set and
approved by the Fort Worth City Council at the time the Option is exercised;
(2) the Property must be connected to either the City of Fort Worth water system, or the
City of Fort Worth sewer system, a municipal water system or a municipal sewer
system;
(3) all taxes on the Property are current and not in a delinquent status;
(4) all payments or money due to the City of Fort Worth must be current and not in a
delinquent status, "payments" and "money due" includes, but is not limited to lease
payments, garbage fees and water and sewer fees;
(5) all the liens on the Property securing any indebtedness to Seller must be paid and
released;
(6) the Property has been platted by the City of Fort Worth since 1990 and Purchaser has
accepted the description of the Property as shown on the most recent recorded plat
filed by the City of Fort Worth; and
(7) the Property is not served by a septic tank or a drainage field off the Property.
B. In order to exercise Purchaser's Option to purchase the Property, Purchaser must satisfy or be
in compliance with the conditions set forth in Paragraph 3 A above within one year of
receiving a Sewer Connection Notice from Seller or sending a Purchaser Notice to Seller.
OPTION TO PURCHASE AND PURCHASE AGREEMENT Pa e.3 qf,2�
February 3,2004
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4.
Option Fee
In consideration of the granting of this Option, Purchaser shall pay Seller five hundred dollars
within ninety days from the date this Option is sent to Purchaser by certified mail. The failure of
Purchaser to pay the option fee by the date designated shall cause this agreement to immediately
terminate.
5.
Purchase Price of the Property
A. In consideration of the payment of the option fee, in order to purchase the
Property, the Purchase price shall be the fair market value of the Property as
determined by an independent appraiser
B. The year 2000 is the base year to determine the fair market value. The valuation
from 2001 through 2013 shall increase at a compounded rate of 2% per year as
shown on Exhibit"B".
C. Fair market value of the Property for the base year as determined by an
independent appraiser is as follows:
Any land above the 601' contour line will be sold for $.65 per square foot.
Any land below the 601' contour line and above the 594' contour line will
be sold for $.35 per square foot. The contour lines will be based upon a
plat filed by the City of Fort Worth as recorded in the Tarrant County
Deed Records.
D. The Option fee will be credited towards the purchase price.
6.
Sewer Connection
A. Seller shall give Purchaser written notice of its intent ("Sewer Design Notice") to
begin the design of the sewer system that will serve the Property. In such Sewer
Design Notice, Seller shall give Purchaser the opportunity to meet with the City of
Fort Worth staff to review the location where the sewer system connection will be
located.
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 4 of 26
February 3,2004
B. Once the Property can be connected to the City of Fort Worth or municipal-sewer
system, Seller shall send Purchaser written notice ("Sewer Connection Notice")
specifying that it is the Sewer Connection Notice provided for in this agreement,
the date of such notice and that the City of Fort Worth or municipal sewer system
is available for Purchaser's connection.
C. Once the property can be or is connected to a City of Fort Worth water system, a
municipal water system or to a municipal sewer system supplied by a municipality
other than the City of Fort Worth, Purchaser may send Seller written notice
(Purchaser's Notice), specifying that it is the Purchaser's Notice provided for in
this agreement, the date of such notice, the water or sewer system that the property
is or can be connected to, and the municipality providing the water or sewer
system that is available for Purchaser's connection or to which Purchaser had
previously connected. If Purchaser's septic system incorporates a septic tank or
drainage field that is not located on the Property, Purchaser cannot send Seller a
Purchaser's Notice unless the property is connected to a City of Fort Worth or
municipal sewer system.
D. Sewer connection will be made to either a gravity city sewer (Type 1&2) or a low-
pressure city sewer (Type 3) as shown on Exhibit "D". Type 1&2 gravity
connections will be provided at the property line by the City. Purchaser will be
responsible for installation of all plumbing from the house to the tap at the
property line and abandonment of existing septic tanks in accordance with the
City plumbing code.
Type 3 sewer connections to a low-pressure system will be provided to the point
of the grinder pump installation. The City will maintain the grinder pump and all
plumbing between the grinder pump and the City main as part of the City sewer
system. The Purchaser agrees to grant the City an easement in order to maintain
the Grinder Pump system. Purchaser agrees to pay an additional fee for the
maintenance of the Grinder Pump after the 5-year factory warranty on grinder
pump expires. The Purchaser must install the necessary electrical connection, and
plumbing from the house to the grinder pump location ("Purchaser
Improvements") concurrent with the grinder pump installation by the City.
Within 180 days of the grinder pump being installed, Purchaser shall abandon the
existing septic tank(s).
The grinder pump will not be installed until the Purchaser Improvements have
been completed and approved by the City of Fort Worth. All private
plumbing/electrical improvements must meet applicable City of Fort Worth codes.
The Seller will pay for the grinder pump and the installation of the grinder pump
if Purchaser makes all of Purchaser Improvements within one year of the Sewer
OPTION TO PURCHASE AND PURCHASE AGREEMENT
February 3,2004 r r� 1. �;
Connection Notice. PURCHASER ACKNOWLEDGES AND AGREES THAT
IF THE PURCHASER DOES NOT MAKE THE PRIVATE IMPROVEMENTS
WITHIN ONE YEAR OF THE SEWER CONNECTION NOTICE, THE
SELLER SHALL NOT PAY FOR THE GRINDER PUMP OR PAY FOR THE
INSTALLATION.
E. Purchaser shall connect the Property to the sewer system and abandon all septic
systems on the property within one year of receiving the Sewer Connection
Notice. All costs of the installation and connection to the sewer system and the
abandonment of the septic system shall be paid by Purchaser as outlined above in
section 6D.
7.
Closing
A. The closing of this transaction shall take place at the offices of a Title Company in
Tarrant County at the earlier of-
1.
f1. Within one year of the date in which Seller sends the Sewer Connection
Notice to Purchaser and Purchaser has satisfied all of the conditions set
forth in Paragraph 3. In order to close, Purchaser must have satisfied all of
the conditions set forth in Paragraph 3 "Conditions Necessary to Exercise"
within one year of the Sewer Connection Notice being sent by Seller to
Purchaser; or
2. Within one year of the date in which Purchaser sends Purchaser's Notice
to Seller and Purchaser has satisfied all of the conditions set forth in
Paragraph 3. In order to close, Purchaser must have satisfied all of the
conditions set forth in Paragraph 3 "Conditions Necessary to Exercise"
within one year of the Purchaser's Notice being sent by Purchaser to
Seller; or
3. By October 31, 2013 if Seller does not send a Sewer Connection Notice to
Purchaser by September 30, 2013 and Purchaser does not send a
Purchaser's Notice to Seller prior to September 30, 2013
B. The Title Company will be selected by Purchaser.
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 6 of 26
February 3,2004
C. At Closing the following shall occur, each of which shall be a concurrent
condition to the Closing:
1. Seller shall deliver to Purchaser a duly executed and acknowledged deed
in a form sufficient to convey title to the Property to Purchaser, and the
deed shall include an avigation easement and an easement for Purchaser's
use of the lake, in the form attached hereto as Exhibit "C";
2. Purchaser shall pay to Seller the Purchase Price by cashier check or wire
transfer to a bank account of which Seller has notified Purchaser at least
twenty-four hours prior to closing; and
3. Purchaser shall pay to Seller the Tap and Impact Fees required under
Paragraph 3 and associated with connecting the Property to the City of
Fort Worth Sewer System by cashier check or wire transfer to a bank
account of which Seller has notified Purchaser at least twenty-four hours
prior to closing.
8.
Costs
All closing costs, costs for a title policy and any other cost accrued or charged relating to the
closing of this transaction shall be paid by Purchaser.
9.
Termination
A. If Purchaser fails to satisfy the conditions necessary to exercise the Option and
exercise this Option Agreement within the time frame specified in this agreement,
then the Option and the rights contained in this Agreement shall automatically and
immediately terminate without notice to Purchaser. Purchaser acknowledges and
agrees that Seller will execute and record such documents as it deems necessary to
demonstrate such termination of this Agreement.
B. If Purchaser fails to accept Seller's plat as required in Section 3(6), then the
Option and the rights contained in this Agreement shall automatically and
immediately terminate. Purchaser acknowledges and agrees that Seller will record
such documents as it deems necessary to demonstrate such termination of this
Agreement_
OPTION TO PURCHASE AND PURCHASE AGREEMENT p Page 7nf 2 ;i
February 3,2004
;i
C. In the event that a taking or condemnation of the Leased Premises is sought by the
City of Fort Worth and/or the Texas Department of Transportation, in whole or in
part,this Option shall immediately terminate and the option fee will be refunded.
D. So long as Purchaser's Lease is not terminated under the provisions of the Lease,
Seller acknowledges that Purchaser's lease shall continue in full force and effect
for the term of the Lease, and that the terms and provision of this Option do not
modify, amend or in any manner affect the Lease or terms thereof. Purchaser
acknowledges and agrees that in the event this Option terminates, Seller shall
have the right to sell the Property, subject to all terms and provision of
Purchaser's Lease, in any manner allowed under law.
10.
Assignment of Option.
A. Purchaser may assign the Option and its rights under this Option Agreement on
the condition that:
1. Assignee assumes all of the Purchaser's obligations under this Agreement
in writing;
2. The Assignment is in conjunction with an Assignment of the Lease
Agreement covering the property; and
3. The Assignment of the Lease Agreement is in accordance with the
procedure and requirements provided in the Lease Agreement.
B. Any assignment that does not satisfy all of the above conditions is null and void.
11.
Notices
Unless otherwise provided herein, any notice, tender or delivery to be given hereunder by either
party to the other may be effected by personal delivery in writing or by certified mail, postage
prepaid, return receipt requested, and shall be deemed received as of actual receipt. Mailed
notices shall be addressed as set forth below, but each party may change his or her address by
written notice in accordance with this Paragraph:
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 8 of 26
February 3,2004
to Sellers:
City of Fort Worth Real Property
927 Taylor
Fort Worth, Texas 76102
with a copy to:
City of Fort Worth
City Attorney's Office
1000 Throckmorton
Fort Worth, Texas 76102
to Purchasers:
Michelle Wayman
128 nllStln rirciIP
Weatherford, TX 76087-3623
12.
Entire Agreement
This Agreement contains the entire agreement between the parties relating to the Option herein
granted and the sales agreement. Any oral representation or modification concerning this Option
and sales agreement shall be of no force and effect, excepting a subsequent modification in
writing, signed by the parties. This agreement is separate from and does not modify the lease
agreement.
13.
Binding Effect
This option granted herein shall bind and inure to the benefit of all the respective heirs, personal
representatives, successors, and assigns of the parties hereto.
14.
No Representations or Warranties
OPTION TO PURCHASE AND PURCHASE AGREEAVIENT Page 9 of 26
February 3,2004
NOTWITHSTANDING ANYTHING TO THE CONTRARY CONTAINED IN THIS
AGREEMENT OR IN ANY EXHIBIT ATTACHED HERETO, IT IS UNDERSTOOD
AND AGREED THAT THE PROPERTY IS BEING SOLD AND CONVEYED
HEREUNDER "AS IS" WITH ANY AND ALL FAULTS AND LATENT AND PATENT
DEFECTS AND WITHOUT ANY EXPRESS OR IMPLIED REPRESENTATION OR
WARRANTY BY SELLER EXCEPT AS EXPRESSLY SET FORTH HEREIN. SELLER
HAS NOT MADE AND DOES NOT MAKE AND HEREBY SPECIFICALLY
DISCLAIMS (EXCEPT AS EXPRESSLY SET FORTH HEREIN) ANY
REPRESENTATIONS OR WARRANTIES OF ANY KIND OR CHARACTER
WHATSOEVER, EXPRESS OR IMPLIED, WITH RESPECT TO THE PROPERTY
(OTHER THAN SELLER'S SPECIAL WARRANTY OF TITLE CONTAINED IN THE
WARRANTY DEED TO BE DELIVERED AT CLOSING), ITS CONDITION
(INCLUDING WITHOUT LIMITATION ANY REPRESENTATION OR WARRANTY
REGARDING QUALITY OF CONSTRUCTION, STATE OF REPAIR,
WORKMANSHIP, MERCHANTABILITY, SUITABILITY OR FITNESS FOR ANY
PARTICULAR PURPOSE), ITS COMPLIANCE WITH ENVIRONMENTAL LAWS OR
OTHER LAWS, AVAILABILITY OF ACCESS, INGRESS OR EGRESS, INCOME TO
BE DERIVED THERE FROM OR EXPENSES TO BE INCURRED WITH RESPECT
THERETO, THE OBLIGATIONS, RESPONSIBILITIES OR LIABILITIES OF THE
OWNER THEREOF, OR ANY OTHER MATTER OR THING RELATING TO OR
AFFECTING THE PROPERTY AND SELLER HEREBY DISCLAIMS AND
RENOUNCES ANY OTHER REPRESENTATION OR WARRANTY. PURCHASER
ACKNOWLEDGES AND AGREES THAT PURCHASER IS ENTERING INTO THIS
AGREEMENT WITHOUT RELYING (EXCEPT AS EXPRESSLY SET FORTH
HEREIN OR IN ANY EXHIBIT ATTACHED HERETO) UPON ANY SUCH
REPRESENTATION, WARRANTY, STATEMENT OR OTHER ASSERTION, ORAL
OR WRITTEN, MADE BY SELLER OR ANY REPRESENTATIVE OF SELLER OR
ANY OTHER PERSON ACTING OR PURPORTING TO ACT FOR OR ON BEHALF
OF SELLER WITH RESPECT TO THE PROPERTY BUT RATHER IS RELYING
UPON ITS OWN EXAMINATION AND INSPECTION OF THE PROPERTY.
PURCHASER HEREBY RELEASES AND FOREVER DISCHARGES SELLER FROM
ANY AND ALL LIABILITY TO PURCHASER FOR CLAIMS, LOSSES, DAMAGES,
COSTS, OR EXPENSES OF ANY KIND OR CHARACTER ARISING OUT OF OR
RESULTING FROM CONDITIONS EXISTING ON THE PROPERTY PRIOR TO
CLOSING. PURCHASER REPRESENTS THAT IT IS A KNOWLEDGEABLE
PURCHASER OF REAL ESTATE AND THAT IT IS RELYING SOLELY ON ITS OWN
EXPERTISE AND THAT OF ITS CONSULTANTS IN PURCHASING THE
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 10 of 26
February 3,2004
PROPERTY. THE TERMS AND CONDITIONS OF THIS PARAGRAPH SHALL
EXPRESSLY SURVIVE THE CLOSING, SHALL NOT MERGE WITH THE
PROVISIONS OF ANY CLOSING DOCUMENT AND SHALL BE INCORPORATED
INTO THE SPECIAL WARRANTY DEED TO BE DELIVERED BY SELLER AT
CLOSING. PURCHASER FURTHER ACKNOWLEDGES AND AGREES THAT THE
PROVISIONS OF THIS PARAGRAPH WERE A MATERIAL FACTOR IN THE
DETERMINATION OF THE PURCHASE PRICE FOR THE PROPERTY.
15.
Paragraph Headings
The paragraph headings contained in this Agreement are for convenience only and shall in no
way enlarge or limit the scope or meaning of the various and several paragraphs hereof.
16.
Survival
The parties agree that the duties and obligation contained in Paragraph 6 "Sewer Connection"
and Paragraph 14 "No Representations or Warranties" shall survive the Closing of this
Transaction.
17.
Date of this Agreement
The phrase "Effective Date" used herein shall mean the last date on which both Seller and
Purchaser have executed this Agreement.
18.
Venue and Governing Law
If any action, whether real or asserted, at law or in equity, arises on the basis of any provision of
this Option on the Property, venue for such action shall lie in state courts located in Tarrant
County, Texas or the United States District Court for the Northern District of Texas, Fort Worth
Division.
This Option shall be construed in accordance with the laws of the State of Texas.
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 11 of 26 -
February 3,2004
19.
Gender and Number
Within this Agreement, words of any gender shall be held and construed to include any other
gender, and words in the singular number shall be held and construed to include the plural and
words in the plural number shall be held and construed to include the singular, unless the context
otherwise requires.
20.
Severability-Termination
Upon a determination that any provision of this Agreement is unenforceable or invalid or upon
any determination that the application of any provision of this Agreement to any person or
circumstance is illegal or unenforceable,the Parties agree that this Agreement shall automatically
terminate and neither party shall be liable to the other party for any claims or damages caused or
resulting from the termination, however Seller agrees to return the Option Fee paid by Purchaser
to Purchaser upon termination under this section.
21.
Counterparts
This Agreement may be executed in any number of counterparts with the same effect as if all
parties hereto had signed the same document. All such counterparts shall be construed together
and shall constitute one instrument, but in making proof hereof it shall only be necessary to
produce one such counterpart.
22.
Force Majeure
Not withstanding any provision to the contrary above, should Purchaser be unable to
comply with any express or implied covenant of this Option, with any term or deadline to
perform, with any requirement to give a notice or pay any amount of money due hereunder, after
an effort made in good faith by Purchaser, for any cause beyond the reasonable control of
Purchaser, the closing date shall be extended 180 days and Purchaser shall not be liable for
damages for such non compliance or non payment, except that in any instance the obligation to
pay rentals under the existing lease shall continue under the terms and conditions provided
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 12 of 26
February 3,2004
therein and all obligations shall continue under said lease as provided therein. IN NO EVENT
SHALL THE CLOSING DATE BE EXTENDED PAST 180 DAYS, EXCEPT WITH THE
APPROVAL OF THE CITY COUNCIL.
IN WITNESS WHEREOF, this Agreement is executed as of the Effective Date.
SELLER: PURCHASER:
CITY OF FORT WORTH Printed Name MI } L-Lr (� , U)�} m&v
Ass tant Ci Mana er 4.. ate:
Date:
Printed Name
Date:
OPTION TO PURCHASE AND PURCHASE AGREEMENT age;_. 26'
February 3,2004 r
f_.v
APPROVED AS TO FORM:
Assistalff City Attorney
ATTEST:
Contracquthorisatioa
.._
Date
City Secretary
ACKNOWLEDGMENT
STATE OF TEXAS §
COUNTY OF TARRANT §
On this day of ot' ,e, - 2004, the before undersigned, a
Notary Public, duly commissioned, qualified and acting within and for the said County and State,
appeared in person the within named-,—_M&=&= ATQtt -- _ to me personally
known, who stated that he was an Assistant City Manager for the City of Fort Worth, Texas, and
was duly authorized in his respective capacity to execute the foregoing instrument and
acknowledged that he had so signed, executed and delivered said instrument for the
consideration, uses and purposes therein mentioned and set forth.
IN TESTIMONY WHEREOF,I have hereunto set my hand and official seal thisM
day of - .2004.
ECc
HE"E LANE Notary Public
MY COMMISSION EXPIREST-0.
>" July 26,2007
Printed Name of Notary:
My Commission Expires:
OPTION TO PURCHASE AND PURCHASE AGREEMENT P � ruk
February 3 2004
1 P
ACKNOWLEDGMENT
STATE OF TEXAS
COUNTY OF TARRANT
BEFORE ME, the undersigned authority, a Notary Public in and for the State of Texas,
on this day personally appeared l t cjj 4 , known to me to be the persons
whose names are subscribed to the foregoing instrument, and acknowledged to me that they
executed the same for the purposes and consideration therein expressed.
IN TESTIMONY WHEREOF, I have hereunto set my hand and official seal this day of
2004.
Notary Public, State of Texas
ACKNOWLEDGMENT " �AA.WNOR
II"'- MY COMMISSION EXPIRES
STATE OF TEXAS
COUNTY OF TARRANT
BEFORE ME, the undersigned authority, a Notary Public in and for the State of Texas,
on this day personally appeared , known to me to be the persons
whose names are subscribed to the foregoing instrument, and acknowledged to me that they
executed the same for the purposes and consideration therein expressed.
IN TESTIMONY WHEREOF, I have hereunto set my hand and official seal this day of
' 2004.
Notary Public, State of Texas
OPTION TO PURCHASE AND PURCHASE AGREEMENT F 15-e1 s
February 3,2004
li G
EXHIBIT "A"
TO OPTION TO PURCHASE AND PURCHASE AGREEMENT
Property Description
The City will attach a copy of the most recent plat or replat that has
been filed by the City since 1990 in the Tarrant County Courthouse.
If the property has not been platted since 1990, the description used in
the current lease will be used with the additional following language.
"Seller intends to plat the Property before sale. If, at the time of
platting there is a structure or any portion of a structure that is located
on an adjoining leaseholder's property, the Property's boundary will
be altered as to allow the adjoining leaseholder to maintain ownership
of the structure. "Structure" is defined as a habitable structure,
separate or affixed garage or carport, or in ground swimming pool In
addition, City may retain land for actual or planed public right-of-
ways or for emergency ingress or egress easements.
Purchaser hereby Waives, Releases and Holds Harmless the City of
Fort Worth, its officers, employees and appointees from any claims,
suits or damages resulting from the change of the Property's
Boundary. Purchaser hereby agrees to cooperate with the Seller when
the Seller is platting the Property and understands and agrees that
Seller will make the final decision regarding the Property's Boundary
and agrees that it will not file suit or make any claims regarding the
changes to the Property's Boundary.
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 16 of 26
February 3,2004
Purchaser's Initials Seller's Initials
�n�1
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 17 of 26
February 3,2004
EXHIBIT "B"
OPTION TO PURCHASE AND PURCHASE AGREEMENT
Annual Valuation Increase
Year Above Below
S/S.F. S/S.F.
2000 $0.65 $0.35
2001 $0.66 $0.36
2002 $0.68 $0.36
2003 $0.69 / $0.37
2004 $0.70 V✓ $0.3 8 ✓ 6 v � �
2005 $0.72 $0.39
2006 $0.73 $0.39
2007 $0.75 $0.40
2008 $0.76 $0.41
2009 $0.78 $0.42
2010 $0.79 $0.43
2011 $0.81 $0.44
2012 $0.82 $0.44
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 18 of 26
February 3,2004
EXHIBIT "C"
TO OPTION TO PURCHASE AND PURCHASE AGREEMENT
Special Warranty Deed Form
EXAMPLE OF
SPECIAL WARRANTY DEED
STATE OF TEXAS §
§ Know All Persons by These Presents:
COUNTY OF TARRANT §
Date:
Grantor: CITY OF FORT WORTH
Grantor's Mailing Address: 1000 Throckmorton Street
Fort Worth, Tarrant County, Texas 76102
Grantee:
Grantee's Mailing Address:
Consideration:TEN AND NO/100 DOLLARS ($10.00) and other good and valuable
consideration.
Property:
Reservation from and Exceptions to Conveyance and Warranty:
An avigation easement is reserved on behalf of the public for free and unobstructed
passage of aircraft over the subject property in the navigable airspace above the minimum
altitudes of flight prescribed by federal regulations, including airspace needed to ensure
safety in the takeoff and landing of aircraft. Grantee hereby releases the Grantor, its
officers, agents and employees from any and all claims and liability resulting from the
noise, vibration, fumes, dust fuel, electromagnetic interference and lubricant particles and
all other effects, whether such claims are for injury or death to person or persons or
damages to or taking of property, arising out of or in connection with the use of this
easement, when such use is in compliance with the regulations and guidelines of the Federal
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 19 of 26
February 3,2004
Aviation Administration, successor agency, or other governmental authority with
jurisdiction over the matter.
For Grantor and Grantor's, successors and assigns forever, a reservation of all oil, gas, and other
minerals in and under and that may be produced from the Property. If the mineral estate is
subject to existing production or an existing lease, this reservation includes the production, the
lease, and all benefits from it.
Grantor and Grantor's successor or assigns shall have any right to enter the Property in
accordance with adopted City Ordinances governing gas and oil exploration and development.
This conveyance is further subject to all restrictions, reservations, easements, prescriptions, right
of way, maintenance or similar charges and any liens securing the payment thereof, declarations,
covenants and conditions of record, if any, only to the extent they are presently in effect.
Grantee acknowledges that Grantor has not made and does not make any representations as to the
physical condition, or any other matter affecting or related to the property (other than warranties
of title as provided and limited herein). Grantee expressly agrees that, to the maximum extent
permitted by law, the property is conveyed "AS IS" and "WITH ALL FAULTS", and Grantor
expressly disclaims, and Grantee acknowledges and accepts that Grantor has disclaimed, any and
all representations, warranties or guaranties, of any kind, oral or written, express or implied
(except as to title as hereafter provided and limited) concerning the property including without
limitation the valuc, condition, merchantability, habitability, marketability, profitability,
suitability or fitness for a particular use or purpose, of the property.
Grantor expressly reserves out of the property conveyed in this instrument a perpetual flowage
easement including the right to inundate, flood and overflow all of the property as shown on the
recorded plat. Grantor shall not be liable for any damages resulting from the reasonable use of
this easement. Further, Grantee shall not construct any structures and/or improvements beyond
the established lake front property line, unless specifically permitted in the following paragraph.
Any and all such permitted structures and/or improvements which extend into the flowage
easement shall be constructed at a minimum finished floor elevation level of six hundred and one
(601)feet.
There is expressly granted unto Grantee an easement without warranty expressed or implied over
the lands of the Grantor and the waters of Lake Worth, as they may be located from time to time,
for water recreational purposes, for the purpose of ingress and egress to and from Lake Worth,
and for the construction, maintenance and use of piers, docks and boat houses including the
storage of boats, on the following described water and lauds:
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 20 of 26
February 3,2004
A) the lands enclosed on one side by the lakefront property line of Grantee, on a second side
by the waters of Lake Worth, and on a third and fourth side by two lines, each beginning
at opposite ends of Grantee's lakefront property line, and each being a projection of the
side lot lines of each lot as shown on the Plat. (Hereinafter referred to as the "Access
Easement".) (See Typical Water Use and Access Easement Exhibit A, attached hereto.);
B) the waters of Lake Worth, except that such use shall be nonexclusive except for such
piers and docks constructed thereon;
C) the land lying under the waters of Lake Worth that are adjacent to the access easement,
lying between two lines, each beginning at opposite ends of Grantee's lakefront property
line, and each being a projection of the side lot lines of each lot as shown on the Plat.
(See Typical Water Use and Access Easement Exhibit A, attached hereto.);
D) All improvements, piers or structures on each easement must abut the lakefront property
line of the property conveyed herein and cannot extend into the waters of Lake Worth for
such distance as to deny access to said waters by adjoining land owners. Such
improvements, piers or structures may extend to a point 100 feet from the lakefront
property line into the waters of Lake Worth regardless of the depth of the water at the
point, or to the point at which the elevation of the land lying under Lake Worth is not
greater than 584 feet above mean sea level, but in no instance to extend further than 150
feet from the lakefront property line into the waters of Lake Worth. No construction
beyond the above mentioned limits shall be considered without the prior written approval
from the Director of Engineering for the City of Fort Worth. Variance shall be considered
on a case by case basis. A Typical Water Use and Access Easement drawing is attached
and incorporated to this Special Warranty Deed as Exhibit"A";
It is specifically understood that Grantor shall retain any and all interests in the above described
water and lands subject to such water use and access easement, and does not intend to convey
any of these interests to Grantee unless specifically granted hereto.
Operation, Maintenance and Abandonment of Sanitary Sewer/ Septic Systems
Grantee shall be responsible for operating and maintaining individual septic systems, sewer lines
and laterals on the property conveyed from the point of the City of Fort Worth sewer connection.
Grantee shall connect to public sewer service when available and Grantee shall be responsible for
all applicable connection fees. Further, Grantee shall be responsible for the proper abandonment
of the septic system, sewer lines and laterals. The cost of such abandonment shall be the sole
responsibility of Grantee. Grantee agrees to allow the Grantor access to the lot at reasonable
times for the purpose of inspecting the operation of the septic system to verify compliance with
applicable federal and state laws and statutes as well as the charter and ordinances of the City of
Fort Worth.
i
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 21,of 26
February 3,2004 `
Grantee shall, at Grantee's expense, connect the water and sewer lines of the property to the water
and sewer systems to be installed by Grantor to serve the property, when such water and sewer
system is available for connection, including but not limited to paying tap fees and impact fees as
required by City Ordinances.
This conveyance is expressly made and accepted subject to all easements, restrictions, and other
instruments properly of record.
Nothing in this conveyance shall be construed as a waiver of the powers of Grantor to enact
ordinances as a municipal corporation or as any reservation of the power in Grantor to vary the
estates in land conveyed or reserved herein.
Grantor, for the consideration and subject to the reservations from and exceptions to conveyance
and warranty, grants, sells and conveys to Grantee the property, together with all and singular the
rights and appurtenances thereto in any wise belonging, to have and hold it to Grantee, Grantee's
heirs, executors, administrators, successors, and assigns forever. Grantor binds Grantor and
Grantor's heirs, executors, administrators, and successors to warrant and forever defend all and
singular the property to Grantee and Grantee's heirs, executors, administrators, successors and
assigns against every person whomsoever lawfully claiming or to claim the same or any part
thereof, except as to the reservations from and exceptions to conveyance and warranty, by,
through and under it,but not otherwise.
When the context requires, singular nouns and pronouns include the plural.
IN WITNESS WHEREOF, Grantors have caused this instrument to be executed on this the
day of ,20
APPROVED AS TO FORM CITY OF FORT WORTH
AND LEGALITY:
Assistant City Attorney Assistant City Manager
GRANTEE
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 22 of 26
February 3,2004
THE STATE OF TEXAS §
COUNTY OF TARRANT §
BEFORE ME, the undersigned authority, on this day personally appeared Marc A. Ott,
known to me to be the person and officer whose name is subscribed to the foregoing instrument,
and acknowledged to me that he executed the same as the act and deed of the City of Fort Worth,
a municipal corporation of Tarrant County, Texas, for the purposes and consideration therein
expressed.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this day of
12003
THE STATE OF TEXAS §
COUNTY OF TARRANT §
This instrument was acknowledged before me on by
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this day of
52003
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 23.of 26:
February 3,2004
THE STATE OF TEXAS §
COUNTY OF TARRANT §
This instrument was acknowledged before me on by
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this day of
, 2003
Exhibit "A" to the Special Warranty Deed
Typical 'Water Use
and
Access Easement
r—
Any structure I Waters
in this area of
may not deny Loke Worth
Water I access to adjoining I Ulandowners
Easement
100' Normal I
150' �4laxium
I
Access I
I Easement
(Dist. Varies)
I Lakefront Properly Line
y
Property
Conveyed
Public Right—of—Way of26
Refer to Paragraph 'D' on Page 2
Exhibit"D"
Option to Purchase and Purchase Agreement
Typical Sewer Installation and Responsibility Separation
April 25,2003
Type 1 Typical Installation
.............................. Gravity Plumbing to Gravity Main
. ............
City Right of Way- c Existing
Property Line Plumbing
:•
Existing Septic
1 sa Tank to be
abandoned by
Customer
I ��
i� New Plumbing Installed
I i� ey Customer
1
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 25 of 26
February 3,2004
Type 2 Typical Installation
..................................... Pump to Gravity Main
. .................
S City Right of Way- i Existing
Property LI ne Electrical Connection
by Customer Plumbing
,.. ing..
Existing Septic
1 s
Tank to be
abandoned by
Customer
Dane
' /
pD;
1 /
/ New Plumbing Installed
' Servies Force Main
/ by Customer
by Customer /
1
I
New Pump
by Customer
Type 3 Typical Installation
Grinder Pump to Force Main
City Right of ; Customer Provided i Existing
Way-PropertyPEumbing
4 Electrical Connection :....In .
Line
•.... i
Existing Septic
Tank to be
abandoned by
ti (l�(]E111[7.'.RCI
d 1
Bigm�Rt lI Customer
<. f i
�' ;w" I ""�,......-.yam-•--'"z'°`
As 1 from /
Panel to
e Pump..
_ / New Plumbi=InstalledService Foroeliy Cus
Main /
Vairie
OPTION TO PURCHASE AND PURCHASE AGREEMENT Page 26 of 26
February 3,2004
City of Fort Worth, ,Texas
"nuor .-And ouncyl COMMunicAtyan -
DATE REFERENCE NUMBER LOG NAME PAGE
2/19/02 LA 3249 1 30OPTION 1'of 2
SUBJECT APPROVAL OF OPTION TO PURCHASE AND PURCHASE AGREEMENT CONTRACT
TO FACILITATE THE DIRECT SALE OF LAKE WORTH LEASE PROPERTY
RECOMMENDATION:
It is recommended that the City Council authorize the City Manager to approve the Option to Purchase
and Purchase Agreement contract, with the Lessees of the Lake Worth lease properties listed.on
Exhibit "A" to facilitate the direct sale of eligible Lake Worth lease properties. (See attached contract
and Exhibit "A")
DISCUSSION:
On July 15, 2001, House Bill No. 1490 was signed into law and went into effect. This amendment to
the Texas Local Government Code, Section 272.001(h), allows a municipality having a population of .
575,000 or less and owning land within 5,000 feet of the shoreline of a lake, without notice .or the
solicitation of bids, to sell the land to the persons leasing the land for the fair market value of the land.
In December-2001, City staff prepared an Informal Report to the City Council (Informal Report No. 8376
attached as Exhibit "B") which provided an update on the status of the sale of lease lots, and also
recommended a four-year Lease Lot Sales Plan and a Water/Sewer Infrastructure Improvement Plan
around Lake Worth. This sales plan includes 268 residential properties with an estimated market value
of$4.7 million.
In order to facilitate the direct sale of the residential Lake Worth lease properties,- it is recommended .
that a sales option contract.be executed with the Lessees for the properties eligible for sale. The sales
option will allow the existing lessees to purchase their [eased properties at.today's fair market value
adjusted annually upward.by 2% per year until 'sold by the City in accordance with the recommended
timeline outlined in Informal Report No. 8376.
The properties eligible for this contract are listed on the attached Exhibit "A". The option fee provided in
the contract is $500.
Due to the proximity of the Joint Reserve Base/Naval Air Station, an avigation. easement will be
reserved on behalf of the public and incorporated into the'Special Warranty,Deed used to convey these
properties.
-Proceeds from'the sale of these City-owned Lake Worth lease properties will be deposited in a Lake
Worth Infrastructure Fund Account in accordance with M&C G-12916 dated May 16,. 2000. The
proceeds are escrowed and designated for water and wastewater improvements within the area of the
City of Fort Worth surrounding and adjoining Lake Worth.
City of Fort Worth, Texas
or -And CouncilCOMMunicAtion`
DATE REFERENCE NUMBER LOG NAME PAGE
2/19102 L-13249 30OPTION 2 of 2
SUBJECT APPROVAL OF OPTION TO PURCHASE AND PURCHASE AGREEMENT CONTRACT
TO FACILITATE THE DIRECT SALE OF LAKE�WORTH LEASE PROPERTY
FISCAL INFORMATION/CERTIFICATION:
Y
The Finance Director certifies that the Engineering Department, Real Property Services 'Division is
responsible for the collection and deposit of funds from this sale.
MG:n
Submitted for City Manager's FUND ACCOUNT CENTER AMOUNT CITY SECRETARY
Office by: (to)
PE45 444192 0601000
Mike Groomer 6140 ..
Originating Department Head:.
Douglas Rademaker .6157 (from) :APPROVED 02/19/02
Additional Information Contact:
Douglas Rademaker 6157