HomeMy WebLinkAboutContract 38661PURCHASE CONTRACT
C1TY SECRETAFY
CONTRACT NO.
THIS PURCHASE CONTRACT ("Contract") is made and entered into by and between
the CITY OF FORT WORTH, TEXAS, acting by and through its duly authorized City Manager
or Assistant City Manager ("Purchaser") and James Cagle. ("Seller") as of the date on which this
Contract is executed by the last to sign of Seller and Purchaser ("Effective Date").
RECITALS
1. Seller is the owner of Lot 15 Block 639 Morgan Heights Subdivision to the City of Fort
Worth, according to the plat recorded in Vol. 310, Page 44, Plat Records, Tarrant County,
Texas and with a street address of 2910 Hardy, Fort Worth, Texas 76106 together with
any easements, rights -of --way, licenses, interests, and rights appurtenant thereto
(collectively, the "Property"), except that the seller James Cagle, will retain his minerals
rights.
2. Purchaser is a municipal corporation that desires to acquire the purchase of the Property
for public use for drainage improvements to Lebow Channel,
3. Seller desires to sell the Property for fair market value for drainage improvements to
Lebow Channel (Project Improvements) and will benefit the citizens of Fort Worth in
general.
.. AGREEMENT
In consideration of the mutual covenants in this Contract, Seller and Purchaser agree as
follows:
Section 1. Sale and Purchase.
(a) Seller agrees to sell and convey the Property to Purchaser, and Purchaser agrees to
purchase and accept the Property from Seller, for the Purchase Price (as defined below), subject
to the terms and conditions set forth in this Contract.
(b) Seller shall convey the Property to Purchaser free and clear of all liens, claims,
easements, rights -of --way, reservations, restrictions, encroachments, tenancies, and any other
encumbrances (collectively, the "Encumbrances") except the Encumbrances appearing in the
Title Commitment (as defined below in Section 3) and the survey that are not cured and that are
subsequently waived pursuant to Section 3 below ("Permitted Encumbrances").
Section 2. Purchase Price
(a) The purchase price ("Purchase Price") for the Property, payable by Purchaser to
Seller in cash at Closing, is Nine Thousand Five Hundred and no/100 Dollars ($9,500.00).
CITI(�CRETAR`F
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05-29-09
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Section 3. Title Commitment and Survey.
(a) Within thirty (30) days after the Effective Date, Purchaser shall obtain, at
Purchaser's sole cost and expense (i) an Owner's Commitment for Title Insurance ("Title
Commitment") from Alamo Title Company, Attn: Wilson Martin, 3500 Hulen Street, Fort
Worth, Texas 76107, Telephone Number 817-7314715 and Fax Number 817-377-2292 ("Title
Company"), setting forth the status of the title of the Property and showing all Encumbrances
and other matters, if any, relating to the Property; and (ii) a legible copy of all documents
referred to in the Title Commitment, including but not limited to, plats, reservations, restrictions,
and easements.
(b) Within ten (10) days after the Effective Date of this Contract, Seller shall provide
to Purchaser a copy of any survey of the Property in Seller's possession. Within forty-five (45)
days after the Effective Date, Purchaser may obtain, at Purchaser's sole cost and expense, an
updated survey ("Survey") consisting of a plat and field notes describing the Property, prepared
pursuant to a current on -the -ground staked survey performed by a registered public surveyor or
engineer satisfactory to Purchaser and Title Company, The Survey shall (1) be certified to
Purchaser, its successors and assigns, and Title Company, (ii) reflect the actual dimensions of
and the total number of square feet within the Property, net of any portion thereof lying within a
publicly dedicated roadway or a utility easement, (iii) identify any rights -of --way, easements, or
other Encumbrances by reference to applicable recording data, and (iv) include the Surveyor's
registered number and seal, the date of the Survey. The description of the Property prepared as a
part of the Survey will be used in all of the documents set forth in this Contract that require a
description of the Property.
(c) If the Title Commitment or Survey discloses any Encumbrances or other matters
which are not acceptable to Purchaser in Purchaser's sole discretion, then Purchaser shall give
Seller written notice thereof within fifteen (15) days after receipt of the Title Commitment,
Survey and all documents referred to in the Title Commitment, specifying Purchaser's objections
("Objections"), if any. If Purchaser gives such notice to Seller, Seller shall use its best efforts to
cure the Objections, but shall be under no obligation to do so.
(d) If Purchaser gives notice of Objections and Seller does not cure the Objections,
cause the Title Commitment and Survey to be amended to give effect to 111 that are cured,
and give Purchaser written notice thereof within the fifteen (15) day period following receipt of
the notice from Purchaser ("Cure Period"), Purchaser shall have the right either (i) to terminate
this Contract by giving written notice thereof to Seller at any time after the expiration of such
Cure Period but prior to the expiration of the Option Period, and, upon such termination, neither
party hereto shall have any further rights or obligations, or (ii) to waive the Objections and
consummate the purchase of the Property subject to the Objections which shall be deemed to be
Permitted Encumbrances. Notwithstanding the foregoing sentence, if Seller has commenced
curing the Objections and is diligently prosecuting the same, as determined by Purchaser in
Purchaser's sole discretion, then Purchaser in Purchaser's sole discretion may extend the Cure
Period for an amount of time Buyer deems necessary for Seller to cure the same.
Section 4. Review Reports. Within twenty (20) days after the Effective Date, Seller
shall deliver to Purchaser for Purchaser's review any environmental reports and studies in
Seller's possession concerning the Property ("Reports'
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Section 5. Inspection of the Property
(a) Purchaser may enter the Property before closing to inspect the Property and
conduct a Phase I Environmental.
(b) Purchaser must notify Seller in advance of Purchaser's plans to inspect the
Property and conduct and tests so that Seller may be present during such inspections or tests.
Section 6. Option Period.
(a) Notwithstanding anything to the contrary contained in this Contract, until ninety
(90) days after the Effective Date ("Option Period"), the following is a condition precedent to
Purchaser's obligations under this Contract:
Purchaser being satisfied in Purchaser's sole and absolute discretion that the
Property is suitable for Purchaser's intended uses, including, without limitation,
Purchaser being satisfied with the results of the Tests (defined in Section 7
below).
(b) If Purchaser is not satisfied in Purchaser's sole and absolute discretion as to the
condition precedent described in Section 6(a) above, Purchaser may give written notice thereof
to Seller on or before the end of the Option Period, whereupon this Contract shall terminate.
Upon such termination, and neither party shall have any further rights or obligations under this
Contract.
(c) The provisions of this Section 6 control all other provisions of this Contract.
Section 7. Tests. Purchaser, at Purchaser's sole cost and risk, shall have the right to go on to
the Property, including the Improvements, to make inspections, surveys, test borings, soil
analyses, and other tests, studies and surveys, including without limitation, environmental tests,
borings, analyses, and studies ("Tests). Any engineering and feasibility tests shall be conducted
at Purchaser's sole risk and expense, and Purchaser agrees to indemnify and defend Seller and
the Property from any liens and claims resulting from such tests. Purchaser shall be solely
responsible for all costs of any environmental site assessments Purchaser deems necessary. The
Property will be restored by Purchaser to its original condition at Purchaser' sole expense
following any site work. In the event this transaction does not close for any reason whatsoever,
the Purchaser shall release to Seller any and all independent test studies or tests results obtained
during this inspection period.
Section 8. Closin .
(a) At the Closing, all of the following shall occur, all of which are deemed
concurrent conditions:
(1) Seller, at Seller's sole cost
delivered to Purchaser the following:
and expense, shall deliver or cause to be
(i) a General Warranty Deed ("Deed"), fully executed and
acknowledged by Seller, conveying to Purchaser good and indefeasible fee
simple title to the Property subject only to the Permitted Encumbrances,
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with the precise form of the Deed to be determined pursuant to Section 10
below;
(ii) Any other instrument or document necessary for Title Company to
issue the Owner Policy in accordance with Section 8(a) (3) below.
(2) Purchaser, at Purchaser's sole cost and expense, shall deliver or cause to
be delivered to Seller through the Title Company federally wired funds or a
certified or cashier's check or such other means of funding acceptable to Seller, in
an amount equal to the Purchase Price, adjusted for closing costs and prorations.
(3) Title Company shall issue to Purchaser, at Purchaser's sole cost and
expense, an Owner Policy of Title Insurance ("Owner Policy") issued by Title
Company in the amount of the Purchase Price insuring that, after the completion
of the Closing, Purchaser is the owner of indefeasible fee simple title to the
Property, subject only to the Permitted Encumbrances, and the standard printed
exceptions included in a Texas Standard Form Owner Policy of Title Insurance;
provided, however, the printed form survey exception shall be limited to
"shortages in area," the printed form exception for restrictive covenants shall be
deleted except for those restrictive covenants that are Permitted Encumbrances,
there shall be no exception for rights of parties in possession, and the standard
exception for taxes shall read: "Standby Fees and Taxes for [the year of Closing]
and subsequent years, and subsequent assessments for prior years due to change
in land usage or ownership",
(4) Seller and Purchaser shall each pay their respective attorneys' fees.
(5) Purchaser shall pay all recording fees.
(6) The City will conduct an environmental review of the Property and if an
environmental hazard is found the City has the right to cancel this contract.
(7) Purchaser of the property agrees to pay up to $3,AAA .00 maximum closing
fees and costs as allowed by the City Council. Seller (s) agrees to pay closing fees
and costs exceeding $3,000.00 if applicable.
(b) Ad valorem and similar taxes and assessments, if any, relating to the Property
shall be prorated between Seller and Purchaser as %J the Closing Date, based on estimates of the
amount of taxes that will be due and payable on the Property during the calendar year in which
the Closing occurs. As soon as the amount of taxes and assessments on the Property for that year
is known, Seller and Purchaser shall readjust the amount of taxes to be paid by each party with
the result that Seller shall pay for any taxes and assessments applicable to the Property up to and
including the date of Closing, and Purchaser shall pay for those taxes and assessments applicable
to the Property after the Closing. The provisions of this Section 8(b) survive the Closing.
(c) Upon completion of the Closing, Seller shall deliver possession of the Property to
Purchaser, free and clear of all tenancies of every kind.
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Section 9. Allents. Seller and Purchaser each represent and warrant to the other that it
has not engaged the services of any agent, broker, or other similar party in connection with this
transaction.
Section 10. Closing Documents. No later than fifteen (15) days prior to the Closing Date,
Seller shall deliver to Purchaser a copy of the General Warranty Deed, which is subject to
Purchaser's reasonable right of approval.
Section 11. Notices.
(a) Any notice under this Contract shall be in writing and shall be deemed to have
been served if (i) delivered in person to the address set forth below for the party to whom the
notice is given, (ii) delivered in person at the Closing (if that party is present at the Closing), (iii)
placed in the United States mail, return receipt requested, addressed to such party at the address
specified below, (iv) deposited into the custody of Federal Express Corporation to be sent by
FedEx Overnight Delivery or other reputable overnight carrier for next day delivery, addressed
to the party at the address specified below, or (v) telecopied to the party at the telecopy number
listed below, provided that the transmission is confirmed by telephone on the date of the
transmission.
(b) The address of Purchaser under this Contract is:
City of Fort Worth
Real Property Services
900 Monroe Street Suite 302
Fort Worth, Texas 76102
Attention: Theresa Khammash
Telephone: 817-3 92-63 49
(c) The address of Seller under this Contract is:
James Cagle
6812 Laurel Valley Dr.
Fort Worth, Texas 76132
(d) From time to time either party may designate another address or telecopy number
under this Contract by giving the other party advance written notice of the change.
Section 12. Termination, Default, and Remedies.
(a) If Purchaser fails or refuses to consummate the purchase of the Property pursuant
to this Contract at the Closing for any reason other than termination of this Contract by Purchaser
pursuant to a right so to terminate expressly set forth in this Contract or Seller's failure to
perform Seller's obligations under this Contract, then Seller, as Seller's sole and exclusive
remedy, shall have the right to terminate this Contract by giving written notice thereof to
Purchaser prior to or at the Closing, whereupon neither party hereto shall have any further rights
or obligations hereunder.
(b) If Seller fails or refuses to consummate the sale of the Property pursuant to this
Contract at Closing or fails to perform any of Seller's other obligations hereunder either prior to
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(b) If Seller fails or refuses to consummate the sale of the Property pursuant to this
Contract at Closing or fails to perform any of Seller's other obligations hereunder either prior to
or at the Closing for any reason other than the termination of this Contract by Seller pursuant to a
right so to terminate expressly set forth in this Contract or Buyer's failure to perform Purchaser's
obligations under this Contract, then Purchaser shall have the right to terminate this Contract by
giving written notice thereof to Seller prior to or at the Closing and neither party hereto shall
have any further rights or obligations hereunder.
Section 13. Entire Contract. This Contract (including the attached exhibits) contains the
entire contract between Seller and Purchaser, and no oral statements or prior written matter not
specifically incorporated herein is of any force and effect. No modifications are binding on
either party unless set forth in a document executed by that party.
Section 14. Assigns. This Contract inures to the benefit of and is binding on the parties and
their respective legal representatives, successors, and assigns. Neither party may assign its
interest under this Contract without the prior consent of the other party.
Section 15. Time for Execution. If Seller has not executed and returned a fully executed
copy of this Contract to Purchaser by 5900 p.m., Fort Worth, Texas time on April 30, 2009, this
Contract shall be null and void.
Section 16. Time of the Essence. Time is of the essence under this Contract.
Section 17. Taking Prior to Closing. If, prior to Closing, the Property or any portion thereof
becomes subject to a taking by virtue of eminent domain, Purchaser may, in Purchaser's sole
discretion, either (i) terminate this Contract and neither party shall have any further rights or
obligations hereunder, or (n) proceed with the Closing of the transaction with an adjustment in
the Purchase Price to reflect the net square footage of the Property after the taking.
Section 18. Governing Law. This Contract shall be governed by and construed in
accordance with the laws of the State of Texas.
Section 19. Performance of Contract. The obligations under the terms of the Contract are
performable in Tarrant County, Texas, and any and ail payments under the terms of the Contract
are to be made in Tarrant County, Texas.
Section 20. Venue. Venue of any action brought under this Contract shall be in Tarrant
County, Texas if venue is legally proper in that county.
Section 21. Severability. If any provision of this Contract is held to be invalid, illegal, or
unenforceable in any respect, such invalidity, illegality, or unenforceability will not affect any
other provision, and this Contract will be construed as if such invalid, illegal, or unenforceable
provision had never been contained herein.
Section 22. Business Days. If the Closing date or the day for performance of any act required
under this Contract falls on a Saturday, Sunday, or legal holiday, then the Closing date or the day
for such performance, as the case may be, shall be the next following regular business day.
Section 23. Counterparts. This Contract may be executed in multiple counterparts, each of
which will be deemed an original, but which together will constitute one instrument.
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This Contract is executed as of the Effective Date.
Purchaser:
CITY OF FORT WORTH
By•
Fernando Costa
Assistant C'ty Manager
Date: S G O
Sworn before me on theoA `flay of , 2009
Not ray uP blic
My commission expires on 3 3 13
Attest
Marty Hendki:
City Secretary
Approved as to Legality and Form
Assistant City Attorney
ROSELLA BARNES
MY COMMISSION EXPIRES
March 31, 2013
nt�Authorization
`I 6 Ibh
et:e
Sworn before me on the 30 day of , 2009
expires on
Name:
Date:
Sworn before me on the day of
Notary Public
My commission expires on
-7-
2009
JENNIFER HALL
MY COMMISSION EXPIRES
OctobeI 12010
O�FI�IAL RECORD
CITY �CRETARY
FT: WORTH, TX {
By its execution below, Title Company agrees to perform its other duties pursuant to the
provisions of this Contract.
TITLE COMPANY:
By:
Name:
Title:
Date:
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EXHIBIT "A"
Description of Property
Lot 1, Block 63, Morgan Heights Subdivision to the City of Fort Worth, according to the
plat recorded in Vol. 310, Page 44, Plat Records, Tarrant County, Texas and with a street
address of 2910 Hardy Avenue, Fort Worth, Texas 76106
• • •
COUNCIL ACTION: Approved on 1/6/2009
DATE: Tuesday, January 06, 2009
LOG NAME: 202910HARDYST
REFERENCE NO.: **L-14690
SUBJECT:
Authorize Purchase of One Vacant Lot Located at 2910 Hardy Street from James Cagle for the Lebow
Channel Drainage Project for the Amount of $9,500.00 Plus Estimated Closing Cost of $3,000.00
RECOMMENDATION:
It is recommended that the City Council:
1. Authorize the acquisition of a vacant residential lot, owned by James Cagle, known as 2910 Hardy
Street, Lot 1, Block 63, Morgan Heights, an addition to the City of Fort Worth, Tarrant County, Texas;
2. Find that the price offered in the amount of $9,500.00 plus an estimated closing cost of $3,000.00 is just
compensation; and
3. Authorize the acceptance and recording of appropriate instruments.
DISCUSSION:
In the 2004 Capital Improvement Program, the Council allocated funds for the Lebow Channel Drainage
Improvement Project to alleviate flooding in multiple neighborhoods on the north side of Fort Worth. Right-
of-way for this project will be purchased using Storm Water Capital Project 2007 Revenue Bonds.
The property located at 2910 Hardy Street (Lot 1, Block 63) lies within the Lebow Channel Floodway. The
Department of Transportation and Public Works identified this property as needed for the Lebow Channel
Improvement Project. An appraisal was performed by a licensed appraiser with the value estimated at
59,500.00. The real estate taxes on this property will be pro -rated to the date of closing with the seller
being responsible for any taxes due until the closing date. The City will pay closing costs and recording
fees in the amount up to $3,000,00.
Project Parcel No. Address Legal Description Type of Property
525 2910 Hardy Street Lot 1, Block 63 6541 square feet vacant lot
Morgan Heights
The property is located in COUNCIL DISTRICT 2, Mapsco 62D.
FISCAL INFORMATION /CERTIFICATION:
The Financial Management Services Director certifies that funds are available in the current Capital
Budget, as appropriated, in the Storm Water Capital Projects 2007 Revenue Bonds Fund.
FUND CENTERS:
TO Fund/Account/Centers
FROM Fund/Account/Centers
CERTIFICATIONS.
Submitted for City Manager's Office by:
Originating Department Head,
Additional Information Contact:
ATTACHMENTS
1. 202910HARDY.pdf (Public)
P229 541100 202280008441 $12,500.00
Fernando Costa (6122)
Greg Simmons (7862)
Terry Khammash (6349)