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HomeMy WebLinkAboutContract 44958 (2)CITY SECRETARy CONTRACT NO. CONTRACT OF SALE AND PURCHASE THIS CONTRACT OF SALE AND PURCHASE ("Contract") is made and entered into by and between the CITY OF FORT WORTH, TEXAS, a home rule Municipal Corporation of the State of Texas, acting by and through its duly authorized City Manager or Assistant City Manager ("Purchaser") and The Estate of Narrel Marie Traynham, Deceased ("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 a tract of land known as Block 5, Lots 1, 2, 3 and 4, Lakeland Addition, Fort Worth, Tarrant County, Texas, together with any easements, rights -of - way, licenses, interests, and rights appurtenant thereto (collectively, the "Property"). 2. Purchaser is a municipal corporation that desires to acquire the Property. 3. Seller desires to sell the Property for fair market value. 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 and the survey (as defined below) that are not cured and that are subsequently waived pursuant to Section 3 ("Permitted Encumbrances"). (c) Seller shall retain all rights of title and interest in any mineral rights in the Property; ; provided, however, Seller hereby waives and relinquishes access to any use of the surface of the Property. (d) Any items remaining in or on the Property after the expiration of ten (10) days after the closing shall become the property of Purchaser. 8609 and 8615 Shelby.- Nature Center 1 OFFICIAL `' ORID CITY SECRETARY To WORTH, TX 1 RECEIVED OCT — 7 2013 (e) The Property is being sold "AS -IS, WHERE -IS, AND WITH ALL FAULTS." Purchaser is hereby notified that the improvements on the Property are not insured. Section 2. Independent Contract Consideration, Earnest Money and Purchase Price. (a) Contemporaneously with the execution of this Contract, Purchaser will deliver to Seller a check in the amount of Fifty Dollars and 00/100 Dollars ($50.00) ("Independent Contract Consideration") as independent consideration for Seller's execution, delivery and performance of this Contract. This Independent Contract Consideration is in addition to and independent of any other consideration or payment provided for in this Conti act, is non- refundable, and shall be retained by Seller notwithstanding any other provision of this Contract; however, upon Closing (as hereinafter defined), the Independent Contract Consideration shall be applied as a credit toward the Purchase Price (as hereinafter defined). (b) The purchase price ("Purchase Price") for the Property, payable by Purchaser to Seller at closing (as defined below) is TWO HUNDRED SEVEN THOUSAND THREE HUNDRED AND NINETY and 00/100 DOLLARS (S 207,390.00). Seller has determined that the Purchase Price reflects the current fair market value of the Property. (c) Within 10 business days of the Effective Date, Purchaser shall deliver to Julie Reyes, Alamo Title Company, 903 Penn Street, Fort Worth, Texas (817)336-1188 ("Title Company") a check or wire in the amount of One Thousand Dollars and 00/100 Dollars ($1,000 00) ("Earnest Money"). At Closing, the Earnest Money shall be applied as a credit toward the Purchase Price. 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) a Commitment for Title Insurance ("Title Commitment") from the 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 thirty (30) days after the Effective Date, Purchaser may obtain a new survey of the Property (the "Survey") at Purchaser's sole cost and expense. 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 legal 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 aftei receipt of the Title Commitment, Survey and all documents referred to in the Title Commitment, specifying Purchaser's objections 8609 and 8615 Shelby— Nature Center 2 ("Objections"), if any. If Purchaser gives such notice to Seller, Seller shall use reasonable 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 matters that are cured, and give Purchaser written notice thereof within the fifteen (15) day period following receipt of the notice of Objections 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 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 Purchasei's sole discretion may extend the Cure Period for an amount of time Purchaser deems necessary for Seller to cure the same. Section 4. Review Reports. Seller has no environmental or engineering reports and studies in Seller's possession concerning the Property ("Reports"). Section 5 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 analysis, and other tests, studies and surveys, including without limitation environmental and engineering tests, borings, analysis, and studies ("Tests"). Any 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. The Property will be restored by Purchaser to its original condition at Purchaser's sole expense following any site work. Section 6. [Intentionally deleted.1 Section 7. Closing Contingencies (a) The closing ("Closing") of the sale of the Property by Seller to Purchaser shall occur through the office of the Title Company in no more than (15) days after the satisfaction of the following contingencies to Closing ("Closing Contingencies"), but not later than October 31, 2013. The Closing Contingencies are as follows: (1) The transaction must be approved by the Fort Worth City Council at a city council meeting. (b) Purchaser agrees to pursue the approvals and agreements described in the Closing Contingencies above with reasonable diligence. Seller agrees to cooperate fully with Purchaser in connection with Purchaser's pursuit of the above approvals. (c) If any Closing Contingencies are not satisfied to Purchaser's satisfaction so that Purchaser is prepared to close on or before October 31, 2013 then Purchaser must terminate this Contract, and upon the termination, Seller shall retain the Earnest Money and any interest earned 8609 and 8615 Shelby Nature Center 3 and neither party will have any further rights or obligations hereunder; however, the Closing may be extended if the Closing Contingencies are not satisfied if agreed to in writing by the parties. Section 8. Closing Subject to Section (d) below, Closing shall occur no later than October 31, 2013. (a) At the Closing, all of the following shall occur, all of which are deemed concurrent conditions: (1) Seller, at Purchaser's sole cost and expense, shall deliver or cause to be delivered to Purchaser the following: (i) A Special 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, 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, if an acceptable survey is furnished to the Title Company 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, taxes and assessments by any taxing authority for the year. 2013, and subsequent years; and subsequent taxes and assessments by any taxing authority for prior years due to change in land usage or ownership, but not those taxes or assessments for prior years because of an exemption granted to a previous owner of the property under Section 11.13, Texas Tax Code, or because of improvements not assessed for a previous tax year"; (4) Seller and Purchaser shall each pay their respective attorneys' fees. 8609 and 8615 Shelby— Nature Center 4 (5) Purchaser shall pay all closing costs. (b) Ad valorem and similar taxes and assessments, if any, relating to the Property shall be prorated between Seller and Purchaser as of the Closing, 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. All prorations at closing shall be final and there will be no further prorations after closing. (c) Upon completion of the Closing and funding, Seller shall deliver possession of the Property to Purchaser, free and clear of all tenancies of every kind. (d) If Purchaser is not prepared to close on or before October 31, 2013, the Closing may be extended if agreed to in writing by the parties. Section 9. Agents. Seller and Purchaser each represent and warrant to the other that neither has engaged the services of any agent, broker, or other similar party in connection with this transaction. Section 10. Closing Documents. No later than two (2) days prior to the Closing, Seller shall deliver to Purchaser a copy of the Special 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, or (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. (b) The address of Purchaser under this Contract is: City of Fort Worth 1000 Throckmorton Street Fort Worth, Texas 76102 Attention: Cynthia Garcia Real Property Services Division (c) The address of Seller under this Contract is: With a copy to: Leann D. Guzman City Attorney's Office City of Fort Worth 1000 Throckmorton Fort Worth, Texas 76102 8609 and 8615 Shelby— Nature Center 5 Lanelle Kay O'Neill 1229 Florence Drive Azle, Texas 76020 (d) From time to time either party may designate another address 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 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 Purchaser'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 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 written consent of the other party. Section 15. 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 (ii) 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 16. Governing Law. This Contract shall be governed by and construed in accordance with the laws of the State of Texas. Section 17. Performance of Contract. The obligations under the terms of the Contract are performable in Tarrant County, Texas, and any and all payments under the terms of the Contract are to be made in Tarrant County, Texas. 8609 and 8615 Shelby— Nature Center 6 Section 18. Venue. Venue of any action brought under this Contract shall be in Tarrant County, Texas if venue is legally proper in that County. Section 19. 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 20. Business Days If the Closing or the day for performance of any act required under this Contract falls on a Saturday, Sunday, or federal or City of Fort Worth holiday then the Closing or the day for such performance, as the case may be, shall be the next following regular business day Section 21. Counterparts. This Contract may be executed in multiple counteiparts, each of which will be deemed an original, but which together will constitute one instrument Section 22. Conti n O e n CV. This Contract is contingent upon the appointment of Lanelle Kay O'Neill as Independent Executor of the Estate of Narrel Marie Traynham, Deceased, probate proceedings concerning which are pending in Cause No. 2013-PRO1713-1, Probate Court, Tarrant County, Texas, and which appointment is scheduled to occur on or about August 26, 2013. [SIGNATURES APPEAR ON THE FOLLOWING PAGE] 8609 and 8615 Shelby Nature Center 7 This Contract is EXECUTED as of the Effective Date. SELLER: ESTATE OF NARREL MARIE TRAYNHAM, DECEASED By: �eniitti, kAciengA).t 4 Lanelle Kay O'Neill, Independent Executor Date: S " 9-7 - I3 PURCHASER: CITY OF FORT WORTH, TEXAS B y:� ,i7-#fruesfraZC..+�L Fernando Costa, Assistant City Manager Mac1— /5(0;3 Date: 9-2-171a3 APPROVED AS TO LEGALITY AND FORM vim/ 4_, Assistant City Attornet 8609 and 8615 Shelby— Nature Cente .'1 8 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: 8609 and 8615 Shelby— Nature Center 9 Official site oftheCty of Fort l� Texas COUNCIL ACTION: Approved on 9/24/2013 - Ordinance No. 20960-09-2013 DATE: 9/24/2013 CODE: SUBJECT: REFERENCE NO.: **L-15623 LOG NAME: 178615 SHELBY L TYPE* CONSENT PUBLIC HEARING: NO Authorize Purchase of Property Located at 8615 Shelby Lane from the Estate of Narrel Marie Traynham in the Amount of $207,390.00 Plus Approximately $10 000 00 in Closing Costs, Dedicate Property as Parkland for the Fort Worth Nature Center and Refuge and Adopt Appropriation Ordinance (COUNCIL DISTRICT 7) RECOMMENDATION: It is recommended that the City Council: 1. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the Park Dedication Fees Fund in the amount of $217,390.00 from available funds; 2. Approve the purchase of the property located at 8615 Shelby Lane from the Estate of Narrel Marie Traynham in the amount of $207,390.00 plus closing costs estimated at $10,000.00; 3. Authorize the execution of the appropriate closing documents to complete the purchase; and 4. Accept the property and dedicate the property as parkland upon acceptance. DISCUSSION. The Lakeland Addition is a small residential neighborhood surrounded by the Fort Worth Nature Center and Refuge. There are currently 42 privately owned properties within this neighborhood area. Over the past several years, the City has been acquiring properties in the Lakeland subdivision as they have become available. As the City has acquired the properties, they have been integrated into the Fort Worth Nature Center and Refuge as endorsed in the Nature Center Master Plan approved by City Council on June 17, 2003 (M&C G-13998). The City has acquired 11 of the privately owned properties in the area to date. Staff has recently identified another property in the Lakeland Addition that is for sale. This property is an improved residential lot. Integration of this property is essential for the future development of the Fort Worth Nature Center and Refuge. The property is further described as follows: Owner The Estate of Narrel Marie Traynham Address Purchase Price Closing Costs Total 8615 Shelby $207,390.00 $10,000.00 $217,390.00 This property was appraised by an independent appraiser. Staff considers the cost to be fair and reasonable and recommends the purchase of this property. In order to advance the Fort Worth Nature Center Master Plan, this purchase will be paid from Park Dedication Fees interest funds with the intention that upon the leasing of the minerals contained within the Fort Worth Nature Center property and distributed pursuant to the current Financial Management Policy, the funds will be reimbursed to the Park Dedication Fees Fund. Page 1 of 2 The Seller will sell the property "AS IS" and will retain all mineral rights, but will grant the City a surface waiver. The property is located in COUNCIL DISTRICT 7. FISCAL INFORMATION/CERTIFICATION: The Financial Management Services Director certifies that upon approval of the above recommendations and adoption of the attached appropriation ordinance, funds will be available in the current capital budget as appropriated, of the Park Dedication Fees Fund. TO Fund/Account/Centers C281 441012 801909990100 $217.390.00 C281 541200 801909990100 $217.390.00 FROM Fund/Account/Centers C281 541100 801410027141 $217.390.00 Submitted for Citv Manaaer's Office bv: Fernando Costa (6122) Oriainatina Department Head: Cynthia Garcia (8187) Additional Information Contact: Cynthia Garcia (8187) ATTACHMENTS 178615 SHELBY C281 A013.doc 8615Shelbv.odf Page 2 of 2