HomeMy WebLinkAboutContract 50761 CITY SECRETARY
RECEIVED CONTRACT NO.
MAY 1 12018
LEASE AMENDMENT
CITY oFFORT WORTH
TO LAKE WORTH RESIDENTIAL LEASE AGREEMENT
Ary
c!Ns�c��r,�,r;�
This LEASE AMENDMENT TO LAKE WORTH RESIDENTIAL LEASE AGREEMENT
("Amendment") is entered into by and between Martha A Ries ("Tenant") and City of Fort Worth, a
Texas home rule municipal corporation ("Landlord").
WHEREAS,Landlord entered into a ground lease("Lease")on February 1, 1982 with Herbert R.Lemaster,
the original lessee under the Lease Agreement for property located at 7613 Malaga Drive, with a legal
description more particularly described as Lot 34, Block 7, Lake Worth Survey, Fort Worth, Tarrant
County, TX(the"Leased Premises"), said Lease attached hereto as Exhibit"A"; and
WHEREAS, the Lease was amended to correctly identify the Leased Land as Lot 34 , Block 7
Lake Worth Leases an addition to the City of Fort Worth, Tarrant County, Texas, as shown on the plat
recorded in Cabinet A, Slide 6447 , Plat Records, Tarrant County, Texas; and
WHEREAS, through assignment(s), the Lease is now between Landlord and Tenant for the Leased
Premises, and such Lease has a fifty year term ending on January 31, 2032;
WHEREAS,pursuant to Section 272.001(h)of the Local Government Code,Landlord is authorized to sell
the property to the person leasing the land for the fair market value of the land as determined by a certified
appraiser;
WHEREAS, Landlord and Tenant desire to effect a sale of the Leased Premises from Landlord to Tenant
under Section 272.001(h) of the Local Government Code for the fair market value of the land, and,
contemporaneously with this Amendment,is entering into a Purchase and Sale Agreement for the purchase
of the Leased Premises by Tenant within eighteen (18) months of the execution of the Purchase and Sale
Agreement; and
WHEREAS, the existing Lease does not provide for terms of disposition of the Leased Premises in the
event of a sale or for the terms of the termination of the Lease in the event of a failure to purchase the
Leased Premises under the Purchase and Sale Agreement, and the parties desire to amend the Lease to
provide for such terms.
NOW THEREFORE, in consideration of the mutual agreements herein and other good and valuable
consideration,the parties agree as follows:
OFFICIAI.RECORD
Lease Amendment 7613 Vdali Ct. CITY SECRETARY
IST.WORTNI TX
1. Term. The term of the Lease is hereby amended to end upon the closing of the sale of the Leased
Premises under the Purchase and Sale Agreement, which shall occur within eighteen (18) months
after the Amendment Effective Date("Closing Deadline"). If the closing of the sale of the Leased
Premises has not occurred by the Closing Deadline,this Lease shall expire on the Closing Deadline.
2. Expiration of Lease. Section VII EXPIRATION OF LEASE is hereby deleted in its entirety and
replaced with the following:
"VII. EXPIRATION OF LEASE
A. Any buildings, improvements, additions, alterations, and fixtures (except furniture and
trade fixtures)constructed,placed,or maintained on any part of the Leased Premises during
the lease term are considered part of the real property of the Landlord and must remain on
the Leased Premises and become Landlord's property when the Lease terminates.
B. Before the Lease terminates, Tenant shall remove all personal property, furniture,
machinery,or equipment in,under,or on the Leased Premises.Before the Lease terminates,
Tenant must repair any damage to any buildings or improvements on the Leased Premises
resulting from the removal. Any such items not removed by the lease termination date will
become Landlord's property on that date."
3. Ownership of Improvements. Section X OWNERSHIP OF IMPROVEMENTS is hereby
amended by adding the following sentence at the end of the Section: "Upon expiration of this
Lease through the closing of the sale of the Leased Premises under the Purchase and Sale
Agreement, Tenant shall retain all right, title, and interest in the improvements on the Leased
Premises; however, upon the expiration of this Lease without a closing of the sale of the Leased
Premises under the Purchase and Sale Agreement, all right,title, and interest in the improvements
on the Leased Premises shall vest in Landlord without further payment by Landlord to Tenant for
the improvements, and Tenant shall not have any right to enter upon the Leased Premises."
4. Continued Terms and Provisions. All of the terms and provisions of the Lease between the
parties shall remain in full force and effect except as specifically amended herein.
Lease Amendment 7613 Vdali Ct. 2
Executed to be effective as of the date this Amendment is notarized by the City
("Amendment Effective Date").
LANDLORD:
CITY OF FORT WORTH,TEXAS,
a Texas municipal corporation
Z)vBy: ,--
Jesus Chapa,Assistant City anager
APPROVED AS TO FORM AND
LEGAL Y:
Pajlr-,�
Assi tant City Attorn y
M&C: L-1594
1295: NA
�of F 0,,y,.,-
ST,
RrST:
ACS�- tity Secretary
��cAS
City of Fort Worth Contract Compliance nager:
By signing I acknowledge that I am the person responsible
for the monitoring and administration of this contract,
including ensuring all performance and reporting requirements.
�3�'�'tC1�1L,RECORD"`— CITY SECRETARY
Name of Employe ter n land *7 IlyORTHO IX
Title: Sr. Land Agent
� Y`
TENANT:
00101AAeo
Print d Name: Martha A. Riggs Printed Name:
Lease Amendment 7613 Vdali Ct. 3
STATE OF TEXAS §
COUNTY OF TARRANT §
This instrument was acknowledged before me on the day of34'y��a�.,`2017,by Jesus
J. Chapa, Assistant City Manager —of the City of Fort Worth, a Texas municipal
corporation, on behalf of that entity.
71�; MARIA S.SANCHEZ
My Notary ID#2256490
ExpireS December 19,2021
Not ry Public
THE STATE OF TEXAS §
COUNTY OF TARRANT §
BEFORE ME, the undersigned authority, personally appeared Martha A. Ries on this
day, known to me to be the person whose name is subscribed to the foregoing Lease
Amendment, and who acknowledged to me that the document was read in its entirety and
understood and was executed for the purposes and consideration expressed therein.
l
GIVEN UNDER MY HAND AND SEAL OF OFFICE, this day of
12017.
LESTER EUGENE ENGLAND
Notary Public, state of Texas
?./�.• My Commission Expires
June 28, 2018 Notary Public
Lease Amendment 7613 Vdah Ct. 4
EXHIBIT A
'^ LEASE AGREEMENT
T> STA )F*"X"
•
KNOW ALL MENZY,TIRESE PRESENTS:
couNTYi TA>RRAIv r
::..
The City of Fort Worth,Lessor,a home�rule muuici.*-';orpoiat on:situated in Tarrant County,Texas,(hereinafter
sometimes referred to as"City':')acting herein by.and through its duly authorized
City Manager,and t MBR .tt !,SUTER ,Lessee,hereby make and enter into the following leas'
ment,
For.and tn,cgnsideration of.the:prompt payment by Lessee;whep'due,of all rents as herein provided,and further
;u bligation..
for and in oonsideration'o thc:full and timely performance by'Lessee of,all of•Lessee's duties and os in strict
t
cp compliance:with the.covenants,conditions and agreemattts'herein contained,City hereby demises and leases to Lessee,.
and Lessee.hereby°accepts;from City',the following:described'-real!prgperty for the term and`uses and subject to the
conditions:set sforth herein `
LOT Srk 1(T,t It 7' :� t�3RfTT � 1# �llltV
ARA 7613 Vial a1M Dave c /'
U."PERM • . r:�. 2,
The;term of the lease shall::be SI.CI years commencing. abr ' 2S xir, pend ening
"art"agfia St. 2032
' w x
Thp Citymayoffer.five,(5.)yeaf.extensions to the term of the leascon each fifth anniver of the'lease.The Lessee
may,refuse.such extension by.:giving notice,to.the'City;-in writing,within sixty(60)days'aftbr receipt of notice of any
extension.
IF.LESSEE'S RIGHTS.,AND OBLIGA'T'IONS
Lessee:shall:
A. pay annual rent to the.City of Fort.Worth in thesum ofS��Aft° ;said rent payable in 12 equal
installments,one such installment duc.on first"of each month.
B. pay the rent due under this few to the Assessor-Collector of Taxes for the City of Foit Worth,or other office
.designated by the City.
C. pay rent for each year after the first year ri'an amou'nt'that•shall be adjusted by eighty percent(8007o)of the
change in.the anitual:averagvof the Consumer Pricc IndexU S'i City.-Average,"allitems"index',all urban consumers
(CPT-U)l'rorn.tha annual average for the.previous.calendar year,as publiihed by the Bureau of Labor Statistics'for the
United States Department of Labor,:said adjustment toa.be computed:by dividing the CPI-U for the most recent year
by the CPI-U for the immediately preceding.year,subtracting one(1)from that quotient,'multiplying that result by
eight-tenths.(0.8),adding one(1)to that product,and multiplying that sum by the rent for the previous year.
D.. be able:to use the leased land:forresidential and water recreational purposes,in compliance with applicable
zoning ordinances.
E. use and occupy.the leased land,in compliance with the laws.of:the United States of America,the statutes of
the State of Texas,and the Charter and Ordinances of the City'ofFort Worth,whether now in effect or hereinafter
adopted so longus any hereinafter adopted ordinance or charter provision is not adopted solely for the purpose of
limiting the rights of Lessee and similarly.situated Lessees.
F. accept the.premises in theirpresent condition:as':being suitable forall purposes of this lease.
.G..;be:.deemadtoibe-aniindependent tenant in.possessionof the premises and°responsible to all parties for his acts
and omissions with:rcgard thereto,and the City shall in no waybe responsible for any act or omission of the Lessee.
-H. :indemnify,hold harmless and defend the City,its-officers,agents,and employees,from and'against any and
all claims for damages or injury,including death`to persons or property'arising outof or incident to the leasing or the
use and,occupancrof•the leaseddand,bgLessee;.Jus guests or invitees.
I. indemnify,hold.harmless and defend City from and against any and'allmechanic's and materialmen's liens or
any other lien,claim.or charge imposed upon the leased land of rising as a result of any conduct or activity by the
Lessee or anyone on-hi;-behalf.,
.__
J provide ar_d•1Tta:_r+tsi*•'sivtable.m:L�od:and IaC4iif6 for the dssp.,sa,:,G.saaaidu,^QiGywaS#G;and excreta;in com-
pliance withapplicableysanitation:-laws',and ordinances'.
K,:not-dxaU'or digcany.'well omtheleased'land without therprior written approval of the City nor use the water
from such•welluntil it:has,boentested,andApproved by the appropriate authorities.
L.'-not.commit,,.or allow:;torbe-committed;any waste on the premises,nor:create or allow any nuisance to exist on
the premises.
M -not keep;or�permit any animals on the leased premises other than domesticated dogs and cats.
..[V:LESSOR'S RIGHTS AND OBLIGATIONS
The:City,of Fort-Worth..shaU: :. •..
A..approve the.sale:or assipxtment(hereinafter collectively assignment)of this lease or remaining term,provided
that:.
4• all amounts,owed,to the.Cityhereunder,and City ad valorem taxes�Are paid.current to the date of such assign-
41
' ` Return Recorded Documents to: .
Susan
Tedder, Administrative Technician
• r",, -..,:.. ,''..
City of Fort
rt W orth/Real Property
927 Taylor Street Fort Worth
r
thTX76102
3. '.�,.:.,, s ..'C""• +' F"�; f,':': r!," F•,%" .uta- a, {s�%•: •^•+.j<,: ���;
:i,.-'4`!r' ',d'-T•katl'sl+""�:,'4�.y°..1Y ,_d�'� �w' C•-,�..:i2" �Z.Y',"-.... �.'�.5:,1'.;%., .!.,a..t fi+;•. , ':�;:
2. the assignmentis;evidenced;iirl.+yxiting; A '6`
3. in said assignment the assignee expressly accepts,assumes,and agrees to perform all terms,cc lions and
limitations to be'kept and:performed by Lessee under this lease;and
4 Wd wnting,is,erFecutFd and,acknowledge d m recor¢able:form;.,and
5 $sK assigliment is submitted:to the City at the City.•Manager's office or'such other office designated by the
CikY Manager,;.;
Within 10 days of receipt of the assignment the City determine whether the assignment is in compliance with
provisions.A-1 through A-5 above and notify.both parties to said assignment if the assignment does not comply with
those provisions.The City shall acknowledge compliance with the above provisions on the face of said assignment,
and assignment sh,4 -thgp be fecorded in the o£fiGe,of the:County lerk of Tarrant:County,.Texas,at Lessee's ex-
pense.,Compliance,with thpFproyisians:Set,;oyt above shall relieve the:;I essee.from further liability under this lease.
B have the right 10 inspect the leased`premis-cs fgr,compliance;with City of Fort Worth Minimum Building•Stan-
dards Code Gity ordinance No.WKat;the time of any saleor transfer.-.The.City shall:notify the.purchaser or assignee
in writing of any violatiorof saidordinancewithin 10 days of the submission of a proposed assignment to the City:
.
The.purchasp or.asps gnee shall not be.issued a certificate of occupancy by the City until the requirements of such or-
dinance have"beenotuPlied with ...
.0 Shall nq ponvey Seil,or transfer its interest in the 1Fased larad.without,allowing the Lessee the opportunity to ac-
quttte:the leased landkpniess the conveyance,sale,.or transfer is to a governmental entity with the power tocondemn
the pfoperty{, r the:purposf itis acquired.All transfers shall be subject to the competitive bidding laws of the State of
Texas,and the ordinances a?d charter of.the City of Fortz.1worth.
D,providrgyearly statements of therent-due hereunder acid m ,uchstaterrent,specify.the number_of years remaining
in the term of$this 1gAse.
13 Ave*cf+l a riga to egb;T-,upon the above desgribed,proAeTty;at reasonable•times and under`reasonable cir-
cumstances for;the purposes,of examining and inspectingAhe ieased;land to determinewhether Lessee has complied
with his obligations hereunder. This,provision shall not be construed to authorize entry into residences or other
buildings on the leased land except where.such entry is specifically authorized by the provisions of this lease,the
statutes of.the State of Texas,or the,or.,dinance ;of;thei.City.Q rt 1?�orth:.,.:.
F' warrant that Lessee will have quiet enjoyment and peaceful possession of the leased land,and that the City'will
defend the Le�§se #insuch quiet enjoyment and.peaceful;possessiop.during:the term of.this,case.
0. The City Manager shall review this leaseprior to each fifth anniversary and shall make recommendations to the
City C.ppncil.regatding:,extensions., ,<v
Y „,Y•.LEMOW'S'OPTION$ . .
The.jPtty o f.For.Worth may;:in the e,,vent that Lessee shall give-nOtiF.e toaheCity that a4inancial hardship exists in
the payment of rgntals due k}ereunder,the;,City;•Manager m.ay waives ny:po.rtionof that year's rent after consideration`''
of said hardship,Lessee shall have the;righ. to present his request to the City Council of Fort Worth should the City
Manager denythe,.retruest,,.
r
Any rent"atv,ed a result of such:hardship andretttaining,unpaid shall constitute a lien against the Lessee's im-
provements and such unpaid rents shall bear interest at the'current legal rate.
OPTIONS :.
Lessee may: .w
A. sell, assign,ior..,subletlk}is.J,ease.or roma}ning;actn,theceof. .., .,,,, _.
B.. conskruct new structures and enlarge exi 4it}gstruGtures;on thedeasedland provided that such construction is in
accordance with all p licabie.City Cpoes and Ordinalices, .
C:..make,altczati,ons;.,reiriodel,and;make.improveznents,lq,pxisting>stru-tures and the leased land, provided that,
suc}iaetaons shalt pe.in agcorciance witi}.applica..bif City Codes,and Ordinances;: .
D. terminate this lease.without reimbursement foriLessee's.structures and improvements at any time by giving the
City 30..days;notice.of.intentipn•:to terminate,,,;.
VII.EXPIRATION OF LEASE
A .1Tn�.,,�:•fir,9k,1,?I���',��?,e:te�tn.,-taf_!1Lx�S 1.kl�Sk�lle:..,,,„,kdn`�i.r�,.1t•. .t�.Si?e-L;�s&�2^.;�.^.i'J.L'��^_Cj,�a_1 in t}in_fhr+II.£n2SkPt
value of any structures or improvements heretofore.made or erected on,thedeased;premises;.except that payments for
any,r}ew:structure a}ic-enlargements tp;exist}ng structures;;made or erected.during the,final 35 years of the lease term
will'be a pro rata amount based on the number-:of years the,structure+or,.improvements are in place or the number of
years remaiAing on the lease.at;the.time said,structure.orimprovexients:were•made,whichever.is greater,times 2.86
percent,never to exceed 1.00%-of the market value of.the new structure and the enlargement to the existing structure.
B. Replacement of.all or part.of structures:,destroyed in whole,or.it};part by:fire,explosion or act of God are deemed
structures or.improvements•heretofore made or erected on the leased.premises.
C.. The City shall pay the Lessee,the.,inarkct.xalue pf,the:strtrctures and!:improvements as defined above upon
possession of the property.Acceptance of the amount offered by the City does not forfeit Lessee's right to dispute the
amount paid,nor„shall tiny,acceptance,constitute a waiver of;.any,le-al remedy Lessee may have to determine markf-t
value.In the event that a court of competent jurisdiction determines that the amount paid to the Lessee by the City is
in excess of market value of such structures or improvements,theLessee shall promptly refund such excess to the City.
2
VIII.TERMINA'T'ION OF LEASE
Aw A. Int +ent the.Lessee:.
1
. it arrears in the payment of the rents,or other amounts agreed to be paid under the terms of this lease;or
2. hav failed to perform any obligationunder this lease,then the City may give notice to the Lessee of
termina-tion of the lease by default,'said natice.tospecify In detail the defaults upon which the termination would be based.In
said notice the City shall demand that actions be taken within 45 days to cure the default or defaults upon which the
termination is based or the 4eas.5 shall be 3ermivated._: '
tby lessee,and said Lessee does not take.actionto cure the default within 4S days of the
B. In the event of a defaul .
notice from the City,the lease may be tertminated and the City shall have no duty to reimburse the Lessee for struc-
w tures or improvements to the,'leased land;°The Lessee shall have the right to remove said structure,improvements,and
a, personal property within 90.days from the date of lease termination by default,and shall vacate the leased land at the.
end of said 90 days. All such property not removed within 90 days shall become the property of the City.
C. In the event rentals to be paid under the terms of this lease is not paid when due,an additional late penalty of
1.5% per month shall be added to the amount due. �f,
D. Upon ter*Anation of this lease or expiration of the term of this 1rasp,Lessevshall�be entitled.imd authorized'to
remove from, he premises.ail:items.of personal property belonging.to Lessee not permanently affixed to the realty and
all structures and improvements for which no reimbursement is made.under the terms of this lease,
IX.MORTGAGES
A. 5o longus no default exists under the terms of this lease,the Lessee or any Assignee may mortgage his leasehold
estate and.improvements situated thereon to secure a loan or loans of money actually made,or that will be made,or
any extension or renewal of the same.
$.:Such mprtgage=or.dee&gf trusfshall b6n every.respect subject,'subservient,and subordinate to all the conditions
and covenants of,this lease: ,..
C..In the event.qf.a default that could result-inthe termination of this lease without reimbursement to.Lessee for the
improvements:and structures on the leased land,the City shall give notice to the mortgagee as is required to be given to
the Lessee,and said mortgagee shall have-the right to cure.said default and/or perform the terms and conditions of
this lease, r
D. A mortgajee or trustee under a deed of trust shall have•thesame right and power to assign this lease,in conjunc-
tion wtth a'trustee's�sale or'fransfer to�satisfy Lessee's obligation to'a mortgagee,as does the Lessee under the terms of
this lease.
E' At any time the City is to pay the Lgs,ee for structures or improvements on the leased land,,the City shall give
notice to each mortgagee%of that payment,.;and said mortgagee shall have the right to receive payment for any,
outstanding-obligation.Secure,d by-mortgage~ordeed of trust.on the leasehold and improvements.
F. The City shallbe required to<give such notice only if the mortgagee has,in.writing,informed the City of its in-
terest and has supplied an address for said notice.
X.OWNERSHIP OF IMPROVEMENTS
All structures and improvements situated on the leased land when this.lease is entered into are,and shall continue to
be,the property of the Lessee,and all improvements hereinafter made by the Lessee on the leased land shall.be the
property of the Lessee.
XI. SUCCESSORS IN INTEREST
A. In the event of the death of a Lessee,his successors and estate shall succeed to his interest under this lease,and
those entitled by law to succeed.to the Lessee's interest in the lease shall continue to enjoy the rights:and benefits
berpun4er oi'the deceased,Lessee;
A:Irl tfie event titanthq,4essee,,or his... ssigneeis adjudicated..a bankrupt,'said lease may be assigned as provided
above;'and any Assignee shah•.ass,ume the'dutles and liabilities as set.out above.
XII.VENUE
Venue of any action brought hereunder shall he exclusivelydn Tarirant County,Texas, u"
XI�L.NOTICE
A. Any notice required under this lease,unless otherwise specified,shall be given by depgsi jng in the United States' -
Mail as certified mail,pastage,prepaid,,addressed to the';',,
I. Lessee's or Asstgnee's,at the,liddress shown on this lease unless said Lessee or AssigneYlhas furnished to the.
City,in writing,.#Wtrtir4lq iq r>1 1.:1# ttces,:tf 4 khS[addeess,. :.,.. -
2. City Manager of the City of Fort Worth,City Hall,Fort Worth;Texas;
3. Mortgagee at the address supplied to the City in writing for the mailing of such notice. i
XIV.CONCLUSION
This instrument represents the.entire agreement.between the parties concerning the leasing of the leased land and
shall be binding upon and shall be to the benefit of the parties hereto,their successors, assigns, and legal represen-
tatives,and all prior leases,assignments,or agreements of any nature concerning the leased,land or property situated
thereon are superseded by theterms of this lease.
EXECUTED at Fort Worth,Tarrant.County,Texas,this day.of
199__
3.
1 �•
AT MST: y r'' P . CITY'OF TORT WORTH
Lr++,
+a.a
CiCyti S cretaryv Ve spa:1 R .
%
AP��ROpVEptAS,�T�O FORM'�APtD I:E LI "
City Attorney �v}.l; L see I3rb Ra Imtt€t* a
STATE OF TEXAS § fir•:.. ,
COUNTY..0F,,'ARRANT%§
BEFORE ME,the undcrsipr d ggthQrlty,,.Notary PubhE iwund jor the State of:Texas,on this day personally
appeared ? C�k ,known tome to be the person whose name is
subscribed to the foregoing instruxpent,,:and acknowledged tome that he executed the same as the act and deed of the.
City of Fort Worth,a municipal corporation of-Tarrant County Texas,and as r�a�s• A
thereof;and for the purposes an d•consideration therein=expressed and'in the capacity therein stated.
GIVEN UNDER-MY HAND;AND SEAL:OFOFFICE this' day of
A,D.,I98 ,, .,„,fir
a.Notary,Pubhc-in and for
the State of Texas
Ivly'tr^�ommissio �U� : ~
STATE OF TEXAS §
COUNTY OF TARRANT§
,.. .. <!'_r.f,:>:,..3 its . . .. .. t . '•S' ,. ._ s ,a
BEFORE MB,`t'he undersigned authority,a Notary Public in and for the St as,on this day personally
appeared IE �I t Imo. lo% eI fix* ,kno to me to be he person.whose name is
subscribed to.the foregoing instrument,.,and acknowledged to me that he a cuted the same or the purposes and con-
sideration'therein expressed.
GriXI;•wYIDER MY HAND AI ID SEAL,OE OFFICE:this ay ofttay A.D,
198 Z I t�
4
: N n .:. „ . Nota Publlc`in and for
r.'."-y,.. �= .c ,. � 1 k�- ���if; �r _ . _ the State of:'I'Fx?S•-. .. .. .
WIN
My Cofnirusshon%� ir =Nreml�ar:- 185
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' .. .>
... V1'1 �� q• �••,y sir
o of FOR,-.Wo E y
It7 foll-f WORTH, REAL PROPERTY
REAL '01 FEB 6 pm
D201008911
m CITY FW REAL PROPERTY 001
c 927 TAYLOR ST
FT .WORTH, TX 76102
P '
W A R N I N G—THIS I$ PART OF THE OFFICIAL RECORD--D O N O T D E S T R O Y
I N D E X E D -- T A .R R A N T C O U N T Y T E X A S
S U Z A N. N E . H E. N D E R S 0 N -- COUNTY CLERK
O F F I C I A L R E C E I P T
T 0: CITY FW REAL PROPERTY 001
RECEIPT NO _. REGISTER RECD—BY PRINTED DATE TIME
201097489 DR2A LW 01/12/2001 08:09
INSTRUMENT FEECD INDEXED TIME
1 D201008911 WD 20010112 08:09 CG
T O T A L DOCUMENTS: 01 F E E S: 15.00
ANY PROVISION WHICH RESTRICTS THE SALE RENTAL OR USE
OF THE DESCRIBED REAL PROPERTY BECAUSE OF COLOR OR RACE
IS INVALID AND UNENFORCEABLE UNDER FEDERAL LAW.
ATE: a.r-.n--�-
O
ENT:
M&C Review Page 1 of 2
Official site of the ON of Fort worth,Texas
CITY COUNCIL AGENDA FORTTIVoRm
COUNCIL ACTION: Approved on 11/8/2016
DATE: 11/8/2016 REFERENCE NO.: L-15964 LOG NAME: 21LAKESALES
CODE: L TYPE: NON-CONSENT PUBLIC NO
HEARING:
SUBJECT: Authorize Contract for Sale with Current Residential Lessees of City-Owned Lake Worth
Lease Addition Lots for Fair Market Value and Authorize Contemporaneous Lease
Amendment to Provide for a Shorter Term and the Disposition of Improvements Upon
Expiration (COUNCIL DISTRICT 7)
RECOMMENDATION:
It is recommended that the City Council authorize the City Manager or his designee to:
1. Enter into a Contract for Sale with current residential lessees of City fee-owned Lake Worth Lease
Addition platted residential lots for a sales price that is fair market value as determined by an
appraisal by a certified appraiser; and
2. Enter into a Lease Amendment, contemporaneously with the Contract for Sale, with current
residential lessees of City fee-owned Lake Worth Lease Addition lots to amend the lease to provide
for a shorter term and the disposition of the improvements upon expiration.
DISCUSSION:
In 2000, the City of Fort Worth mailed letters to Lake Worth Lease Addition lessees of record offering
an option to purchase the land if the leased lot met the specified conditions of(1)their lot(s) being
platted and (2) connection to either municipal water or sewer. Multiple lots could not be platted at that
time and the lessees of those properties were never offered the option to purchase due to
deficiencies associated with the property which caused non-compliance with platting requirements.
Additionally, some of the lessees on properties that met the conditions of the City's offer for the option
to purchase did not enter into the Purchase Option Agreement with the City or lost the option due to
not adhering to the option Agreement conditions.
Lessees of platted and un-platted residential City-owned Lake Worth Lease Addition properties are
requesting to purchase the leased land on which they have put improvements. The current residential
leases expire in 2032 and per the lease terms the City is required to purchase improvements at fair
market value at that time. The current residential Lake Worth Lease Addition lease terms do not
authorize the sale of the land to the current lessee or the extension of the lease.
This Mayor and Council Communication will provide for current lessees of residential City-owned lots
in the Lake Worth Lease Addition whose lots meet platting conditions, and who comply with the
conditions outlined below to be eligible to purchase their leased lot from the City at the fair market
value determined at time of the purchase.
Conditions of Purchase:
• Property must be platted at the expense of the lessee.
• Lessee must hire an approved appraiser to obtain a fair market value appraisal of the land to be
conveyed.
• Lessee must execute a Lease Amendment that provides for a lease termination date that is the
earlier of (i) closing on the purchase of the property or (ii) 18 months after the date of the
amendment at which time the improvements would become property of the City.
http://apps.cfwnet.org/council_packet/mc review.asp?ID=22991&councildate=11/8/2016 5/17/2018
M&C Review Page 2 of 2
• Lessee must execute a Purchase and Sale Agreement contemporaneously with the Lease
Amendment requiring a closing date of no more than 18 months from the date of execution.
All revenue from the sale of the land will be deposited in the Lake Worth Trust Fund to be used for
capital projects around the lake as approved by the Property Management Director.
This property is located in the COUNCIL DISTRICT 7, Mapsco 44, 45, 46, 58 and 59.
This M&C does not request approval of a contract with a business entity. However, if the 1295 form is
required, it will be provided by the lessee at the time of contract execution.
FISCAL INFORMATION/CERTIFICATION:
The Director of Finance certifies that Property Management Department will be responsible for the
collection and deposit of funds.
TO
Fund Department Account Project Program Activity Budget Reference# Amount
ID ID Year Chartfield 2)
FROM
Fund Department Account Project Program Activity Budget Reference# Amount
ID I I ID I I Year (Chartfield 2)
Submitted for City Manager's Office by: Jay Chapa (5804)
Originating Department Head: Steve Cooke (5134)
Additional Information Contact: Lester England (8053)
Jean Petr(8367)
ATTACHMENTS
LAKEWORTH RESIDENTIAL LEASES 8x11.pdf
http://apps.cfwnet.org/council_packet/mc review.asp?ID=22991&councildate=11/8/2016 5/17/2018