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HomeMy WebLinkAboutPW11-007 - Original - Irene & Harold Bartley - Purchase of Property at 26031 80th Ave S - 01/25/2011 REAL ESTATE PURCHASE AND SALE AGREEMENT WITH EARNEST MONEY PROVISION This Agreement is entered between the CITY OF KENT, a Washington municipal corporation, ("Buyer") whose mailing address is 220 4"' Avenue South, Kent, Washington 98032-5895, authorized by the Kent City Council on December 8, 2009, and Irene B. Bartley and Harold Lincoln Bartley, husband and wife, ("Seller") whose mailing address is 26031 80th Ave. S, Kent, WA 98032, for the sale and purchase of real property as follows: 1. PROPERTY. The Property, which Buyer, under threat of condemnation, agrees to buy and Seller agrees to sell, is known as King County Tax Parcel Number 346280-0005, located at 26031 801h Ave. S, Kent, WA 98052 (the "Property"). The Property is legally described in Exhibit"A", attached hereto and incorporated herein by this reference. 2. EARNEST MONEY. Within ten working (10) days of mutual acceptance of this Agreement, Buyer shall deposit with Pacific Northwest Title & Escrow Company, 116 Washington Avenue N, Kent, Washington 98032 (the "Escrow Agent"), the sum of Forty Six Thousand Dollars and NO/100ths ($46,000.00) in the form of a Certified Check, as refundable earnest money to be applied toward the purchase price of the Property payable at Closing 3. PURCHASE PRICE. The total purchase price for the Property is Four Hundred and Sixty Thousand Dollars and NO/100ths ($460,000.00), including earnest money, payable on closing. 4. CONTINENGIES. This agreement is contingent upon: A feasibility Study as follows: 1. Buyer shall have sixty (60) days from the date of mutual acceptance of this Agreement to determine, in Buyer's sole and absolute discretion, if the Real Property is feasible for purposes and uses intended. Real Estate Purchase and Sale Agreement Page 1 of 8 I 1 2. Buyer's feasibility study may include (but is not limited to) a Phase I and/or Phase II environmental assessment, to determine if the Real Property is feasible for purposes and uses intended. 3. A Phase I environmental assessment generally will consist of a review of title of ownership and land use, review of geologic and hydrologic maps of the area, review of federal and state databases for known hazardous water generators of contaminated sites and a site visit. If the Phase I review reveals the potential of a contaminated site, a Phase II environmental assessment may be conducted which generally will consist of on-site sampling, including the digging or boring of test holes for soil samples. BY EXECUTING THIS AGREEMENT, SELLER HEREBY AUTHORIZES BUYER A RIGHT OF ENTRY ON TO THE PROPERTY FOR THE PURPOSE OF CONDUCTING THIS FEASIBILITY STUDY INCLUDING A PHASE I, AND IF NECESSARY, A PHASE II ENVIRONMENTAL ASSESSMENT. SELLER WILL BE NOTIFIED IF A PHASE II ENVIRONMENTAL ASSESSMENT IS TO BE CONDUCTED. 4. Buyer agrees to conduct its feasibility study at its sole cost and expense; and if Buyer does not remove the feasibility period, then Buyer also agrees, if requested by Seller, to deliver to Seller copies of all information and documentation obtained by Buyer in connection with its feasibility study. 5. If Buyer fails to notify Seller of its approval of the Real Property, in writing, on or before the expiration of the feasibility period, then this Agreement shall be tennmated, and neither Buyer nor Sell shall have any further rights, duties or obligations hereunder, except that the Earnest Money in Escrow shall be immediately returned to Buyer. Buyer agrees to return the Real Property to its original state (i.e , fill all boring holes, etc.). Real Estate Purchase and Sale Agreement Page 2 of 8 Should any of the contingencies not be met prior to closing, then this Agreement shall terminate and neither Buyer not Seller shall have any further rights, duties or obligations hereunder, except that the Earnest Money in Escrow shall be immediately returned to Buyer. 5. CONVEYANCE AND CONDITION OF TITLE. The title to the real property shall be conveyed by Seller to Buyer at closing by Statutory Warranty Deed, free and clear of all liens, encumbrances or defects except those described in Paragraph One (1), Two (2), Three (3), Four (4), Five (5) and Six (6) of Title Report Number 686691, described in Exhibit `B", attached hereto and incorporated herein by this reference. 6. TITLE INSURANCE. At Closing, Buyer shall cause Pacific Northwest Title & Escrow Company, 116 Washington Avenue N, Kent, Washington 98032, to issue standard coverage owner's policy of title insurance to Buyer in an amount equal to the total purchase price of the Property. The cost of the title insurance shall be paid from Buyer's funds at Closing. For purposes of this Agreement, the following shall not be deemed encumbrances or defects: rights reserved in federal patents or state deeds, building or use restrictions consistent with current zoning and utility and road easements of record. If title cannot be made so insurable prior to the Closing date called for herein, unless Buyer elects to waive such defects or encumbrances, this Agreement shall terminate and the Earnest Money shall be returned to Buyer. 7. CLOSING COSTS AND PRO-RATIONS. The escrow fee shall be borne by Buyer, except for those fees which are expressly limited by Federal Regulation. Buyer shall pay all recording costs, title insurance premium, the costs of any survey, and the fees and expenses of its consultants Taxes for the current year, rents, interest, water, sewer and other utility charges, if any, shall be prorated as of the day of Closing, unless otherwise agreed 8. CLOSING OF THE SALE. WITH THE UNDERSTANDING THAT TIME IS OF THE ESSENCE FOR THIS AGREEMENT, this sale shall be closed within ninety(90) days of the date of final execution of this Agreement, which shall also be the termination date of this Agreement, unless said closing date is extended in writing by mutual agreement of the parties Real Estate Purchase and Sale Agreement Page 3 of 8 When notified, the Buyer and Seller will deposit, without delay, in escrow with Pacific Northwest Title & Escrow Company, 116 Washington Avenue N, Kent, Washington 98032, all instruments and monies required to complete the transaction in accordance with this agreement Closing for the purpose of this agreement, is defined as the date that all documents are executed and the sale proceeds are available for disbursement to the Seller. 9. CASUALTY LOSS. If prior to closing, improvements on the Property shall be destroyed or materially damaged by fire or other casualty, this agreement, at option of the Buyer, shall become null and void. 10. POSSESSION. Buyer shall be entitled to possession on closing. 11. SELLER'S REPRESENTATIONS. Seller represents: (a) that s/he will maintain the property in present or better condition until time of agreed possession; (b) that s/he has no knowledge of notice from any governmental agency of any violation of laws relating to the subject property. (c) that the property is not encumbered by any leases. 12. SELLER'S ENVIRONMENTAL REPRESENTATIONS. Seller represents that to the best of his/her knowledge that s/he is not aware of existence of, or has caused or allowed to be caused, any environment condition (including, without limitation, a spill, discharge or contamination) that existed as of and/or prior to the closing date or any act of omission occurring prior to the closing date, the result of which may require remedial action pursuant to any federal, state or local law or may be the basis for the assertion of any third party claims, including claims of governmental entities This provision shall survive the closing and be in addition to Seller's obligation for breach of a representation or warranty as may be set forth herein. Real Estate Purchase and Sale Agreement Page 4 of 8 13. SELLER'S INDEMNITIES: Seller agrees to indemnify and hold harmless the Buyer, against and in respect of, any and all damages, claims, losses, liabilities, judgments, demands, fees, obligations, assessments, and expenses and costs, including, without limitation, reasonable legal, accounting, consulting, engineering and other expenses which may be imposed upon or incurred by Buyer, or asserted against Buyer, by any other party or parties (including, without limitation, a governmental entity), arising out of or in connection with any environmental condition existing as of and/or prior to the closing date, including the exposure of any person to any such environmental condition, regardless of whether such environmental condition or exposure resulted from activities of Seller or Seller's predecessors in interest. This indemnity shall survive the closing and be in addition to Seller's obligation for breach of a representation or warranty as may be set forth herein. 14. DEFAULT AND ATTORNEYS FEES. (a) Buyer's Default. If Buyer defaults hereunder, Seller's sole remedy shall be limited to damages against Buyer in the liquidated amount of the earnest money previously paid by the Buyer. Buyer and Seller intend that said amount constitutes liquidated damages and so as to avoid other costs and expenses to either party in connection with potential litigation on account of Buyer's default. Buyer and Seller believe said amount to be a fair estimate of actual damages. (b) Seller's Default. If Seller defaults hereunder, Buyer shall have all the rights and remedies available at law or in equity. (c) Attorney's Fees and Costs. In the event of litigation to enforce any of the terms or provisions herein, each party shall pay all its own costs and attorney's fee. 15. NOTICE TO SELLER. This form contains provisions for an agreement for the purchase and sale of real estate. The Buyer makes NO WARRANTY OR REPRESENTATION OF ANY KIND that this form, or any of its provisions, is intended to meet the factual and legal Real Estate Purchase and Sale Agreement Page 5 of 8 requirements of a particular transaction, or that it accurately reflects that laws of the State of Washington at the time you enter the agreement. THIS AGREEMENT HAS SIGNIFICANT LEGAL AND FINANCIAL CONSEQUENCES AND YOU ARE ADVISED TO SEEK INDEPENDENT LEGAL AND FINANCIAL COUNSEL REGARDING THESE CONSEQUENCES. If you do not understand the effect of any part, consult your Attorney before signing. 16. NON-MERGER. The terms, conditions, and provisions of this Agreement shall not be deemed merged into the deed, and shall survive the Closing and continue in full force and effect. 17. NOTICES. All notices required or permitted to be given hereunder shall be in writing and shall be sent U.S. certified mail, return receipt requested, or by facsimile transmission addressed as set forth below: (a) All notices to be given to Buyer shall be addressed as follows: Mark Madfai City of Kent 220 Fourth Avenue South Kent, WA 98032 (b) All notices to be given to Seller shall be addressed as follows: Irene B. Bartley and Harold Lincoln Bartley 26031 80th Ave. S Kent, WA 98032 Real Estate Purchase and Sale Agreement Page 6 of 8 All notices to be given to Escrow Agent shall be addressed as follows: Cherie Santini Pacific Northwest Title & Escrow 116 Washington Avenue North Kent, WA 98032 Either party hereto may, by written notice to the other, designate such other address for the giving of notices as being necessary. All notices shall be deemed given on the day such notice is personally served, or on the date of the facsimile transmission, or on the third day following the day such notice is mailed in accordance with this paragraph 18. ENTIRE AGREEMENT. This Agreement, including all incorporated exhibits, constitutes the full understanding between Seller and Buyer. There have been no verbal or other agreements that modify this Agreement 19. BINDING EFFECT AND SURVIVAL. This Agreement shall be binding upon parties hereto and their respective heirs, successors and assigns; and the terms, conditions and provisions of this Agreement shall survive the Closing of this transaction. 20. DATE OF MUTUAL ACCEPTANCE. For the purposes of this Agreement, the date of mutual acceptance of this Agreement shall be the last date on which the parties to this Agreement have executed this Agreement as indicated below. 21. EXPIRATION OF OFFER. Seller shall have only until 5:00 pin on the , to accept the purchase and sale agreement as written, by delivering a signed copy thereof to the Buyer or Buyer's agent. If Seller does not so deliver a signed copy within said period, this Agreement shall lapse and all right of the parties hereunder shall terminate. Real Estate Purchase and Sale Agreement Page 7 of 8 IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date set forth below. BUYER: CITY OF KENT Y: ett Cooke s ayo Dated: SELLER. S.4 7�"t-if'r" Irene B. Bartley Dated: SELLER: ` --1 j&r Harold Lincoln Bartley Dated. Real Estate Purchase and Sale Agreement Page 8 of 8 X H J IT Al' No 686691 I i Lot 3, King County Short Plat No. 684072, recorded under Recording Number 8506240936, being a portion of Lots 1 and 2, Horseshoe Acre Tracts to Kent, according to the plat thereof recorded in Volume 15 of Plats, page 10, in King County, Washington, EXCEPT those portions of Lot 1 conveyed to King County by deeds recorded under Recording Numbers 9204292434, 9506271265 and 9506271266. I PACIFIC NORTHWEST TITLE COMPANY OF WASHINGTON, INC. 215 Columbia Street Seattle, Washington 98104-1511 Title Officer, Curtis Goodman (curtisgoodmanOpnwt Com) Assistant Title Officer, Rob Chelton(robcneltonCpnwt com) Unit No. 12 FAX No. (206)343-1330 Telephone Number (206)343-1327 City of Kent Public Works Engineering Department 220 4th Avenue South Title Order No. . 686691 Kent, WA 98032 Attention: Diana Mooney Your Ref. : Green River Levee/Horseshoe Bend APN: 34628D-00D5 A. L. T. A COMMITMENT SCFEDULE A Effective Date January 21, 2009, at 8:00 a m 1. Policy(ies) to be issued A. ALTA Form 2006 owner's Policy Amount TO BE AGREED UPON Standard (X) Extended ( ) Premium Tax (9 0%) Proposed Insured: CITY OF KENT, a municipal corporation NOTE: IF EXTENDED COVERAGE FOR OWNERS OR LENDERS WILL BE REQUIRED FOR A PENDING TRANSACTION, PLEASE NOTIFY US AT LEAST ONE WEEK PRIOR TO CLOSING SO THAT WE MAY INSPECT THE PREMISES B. WORK CHARGE Amount $ 350 00 Tax (9.0%) $ 31 50 2. The Estate or interest in the land described herein and which is covered by this commitment is fee simple. 3. The estate or interest referred to herein is at Date of Commitment vested in: IRENE B. BARTLEY and HAROLD LINCOLN BARTLEY, husband and wife 4. The land referred to in this commitment is situated in the State of Washington, and described as follows: As on Schedule A, page 2, attached. Order No 686691 A L.T.A. COMMITMENT SCHEDULE A Page 2 The land referred to in this commitment is situated in the State of Washington, and described as follows Lot 3, King County Short Plat No 684072, recorded under Recording Number 8505240936, being a portion of Lots 1 and 2, Horseshoe Acre Tracts to Kent, according to the plat thereof recorded in Volume 15 of Plats, page 10, in King County, Washington; EXCEPT those portions of Lot 1 conveyed to King County by deeds recorded finder Recording Numbers 9204292434, 9506271265 and 9506271266. END OF SCHEDULE A NOTE FOR INFORMATIONAL PURPOSES ONLY. The following may be used as an abbreviated legal description on the documents to be recorded, per amended RCW 65.04 Said abbreviated legal description is not a substitute for a complete legal description within the body of the document. Ptn. Lots 1-2, Horseshoe Acre Tracts to Kent, Vol. 15, pg 10 Order No 686691 A L T A. COMMITMENT SCHEDULE B Page 2 SPECIAL EXCEPTIONS: 1. EASEMENT AND THE TERMS AND CONDITIONS REFERENCED THEREIN, INCLUDING, BUT NOT LIMITED TO, THE FOLLOWING: GRANTEE: Puget Sound Power & Light Company, a Massachusetts corporation PURPOSE Electric transmission line consisting of one guy anchor and other necessary or convenient appurtenances, access over and upon AREA AFFECTED The easterly portion of said premises RECORDED: March 15, 1946 RECORDING NUhBER: 3559385 2 , EASEMENT AND THE TERMS AND CONDITIONS REFERENCED THEREIN, INCLUDING, BUT NOT LIMITED TO, THE FOLLOWING: GRANTEE: The County of King, a municipal corporation PURPOSE- The right to construct and maintain a rip-rap bank protection and remove debris P.REA AFFECTED. Along the right bank of Green River RECORDED: February 20, 1962 RECORDING NUMBER: 5395757 3. EASEMENT AND THE TERMS AND CONDITIONS REFERENCED THEREIN, INCLUDING, BUT NOT LIMITED TO, THE FOLLOWING GRANTEE: Puget Sound Power & Light Company, a Washington corporation PURPOSE: Electric transmission and/or distribution lines with all necessary or convenient appurtenances thereto AREA AFFECTED. The east 20 feet of said premises RECORDED December 2, 1986 RECORDING NUMBER: 8612021324 (continued) Order No. 686691 A L T.A. COMMITMENT SCHEDULE B Page 3 4. EASEMENT AND THE TERMS AND CONDITIONS THEREOF, INCLUDING, BUT NOT LIMITED TO, THE FOLLOWING: IN FAVOR OF: AT&T Corp. and AT&T Communications East, Inc. CONDEMNED IN UNITED STATES DISTRICT COURT CAUSE NUMBER: 1 99-CV-9313 PURPOSE: Right to operate, maintain, upgrade and expand its existing cable, as well as to install new conduits and fiber or replacement technology AREA AFFECTED: Undisclosed portion of said premises and other property A copy of said judgment was recorded under Recording Number 2DO80519000521 5. COVENANTS, CONDITIONS, RESTRICTIONS AND EASEMENTS CONTAINED IN SHORT PLAT: RECORDED. June 24, 1985 RECORDING NUMBER: 8506240936 6. RESTRICTIONS CONTAINED IN INSTRUMENT: RECORDED. June 27, 1995 RECORDING NUMBER. 9506271265 and 9506271266 INCLUDING BUT NOT LIMITED TO THE FOLLOWING: The Grantor hereby agrees that said slopes may be on his property as herein set forth, in conformity with standard plans and specifications for highway purposes and to the same extent and purposes as if the rights herein granted had been acquired by condemnation proceedings under Eminent Domain statutes of the State of Washington (continued) Order No. 686691 A.L.T.A. COMMITMENT SCHEDULE B Page 4 7. GENERAL AND SPECIAL TAXES AND CHARGES: FIRST HALF DELINQUENT MAY 1, IF UNPAID: SECOND HALF DELINQUENT NOVEMBER 1, 1F UNPAID: YEAR. 2009 TAX ACCOUNT NUMBER: 346280-0005-03 LEVY CODE. 1520 CURRENT ASSESSED VALUE: Land- $213,000.00 Improvements: $153,000 00 AMOUNT BILLED GENERAL TAXES. $3, 948.91 SPECIAL DISTRICT: $10.57 $2 25 $9 98 TOTAL BILLED: $3,971.71 PAID: $0.00 TOTAL DUE: $3,971.71 8. DEED OF TRUST AND THE TERMS AND CONDITIONS THEREOF- GRANTOR: Irene B Bartley, a married person and Harold Lincoln Bartley, a married person TRUSTEE: Wells Fargo Financial National Bank BENEFICIARY. Wells Fargo Sank, N A. AMOUNT: $25,000 00 DATED September 16, 2003 RECCRDED: November 20, 2003 RECORDING NUMBER: 20031120002867 The amount now secured by said Deed of Trust and the terms upon which the same can be discharged or assumed should be ascertained from the holder of the indebtedness secured. 9. Until the amount of the policy to be issued is provided to us, and entered on the commitment as the amount of the policy to .oe issued, it is agreed by every person relying on this commitment that we will not be required to approve any policy amount over $100,000, and our total liability under this commitment shall not exceed that amount. 10. Payment of Real Estate Excise Tax, if required. The property described herein is situated within the boundaries of local taxing authority of city of Kent Present Rate of Real Estate Excise Tax as of the date herein is 1.780 (continued) Order No 686691 A L.T A. COMMITMENT SCHEDULE B Page 5 NOTE 1: Our examination discloses that the vestee herein does not own any contiguous proper�y. NOTE 2: The name and address of the current taxpayer according to the King County Assessors record is Bartley, Harold Lincoln and Irene 26031 80`b Ave S. Kent, WA 98032 NOTE 3: The vestee(s) herein acquired title by instrument(s) recorded under Recording Number(s) 98D3230B58. END OF SCHEDULE B Title to this property was examined by: David Clasen Any inquiries should be directed to one of the title officers set forth in Schedule A. CC: G B McCaughan & Associates/Des Moines/Jerry McCaughan ED/9803230858 Horseshoe Acre Tracts to Kent 15/10 r nas ie tt M -rl-f ^-� lilt »- 1814b ne 10 " ea LOT Of = K C LLA F MN2 17-nss ' F— I 1 I] O I I9�t-J6 r Z I -7 nes C " AG nwty ' I • I 1 A ---- �1 • C ♦ � 1 KCSP 6E4072- Bsos ' 935 1 e°ol 1 67 n � Oo2o _ Jo i 1 F n<. 9005 Goyim\° r .rooae4aeb,tD�� n]:r �� I a6. ••77r P�. \ 1 bb-II-OD 1 I ti3 o a d �I use: aOR rN PACIFIC NORTHWEST TITLE Order No . 686691 Company of Wash2ngton, Inc IMPORTANT• This is not a Plat of Survey It is furnished as a convenience to locate the land indicated hereon with reference to streets and other land. No liability is assumed by reason of reliance hereon Am-o o'7 REQUEST FOR MAYOR'S SIGNATURE • Please Fill in All Applicable Boxes KENT V'/ASHIN GTON This form must be printed on cherry paper Routing Information (ALL REQUESTS MUST FIRST BE ROUTED THROUGH THE LAW DEPARTMENT) Originator Mark Madfai Phone (Originator) 5521 Date Sent 1/19111 Date Required 1126111 Return Signed Document to Nancy Yoshitake CONTRACT TERMINATION DATE: 90 days VENDOR NAME: Irene& Harold Bartley DATE OF COUNCIL APPROV : 1/18/11 Brief Explanation of Document The attached Real Estate Purchase and Sale Agreement is with Irene& Harold Bartley for the amount of$460,000 00. This property is required for construction in order to certify the Horseshoe Bend Levee A LM aISOVE&ted Through the Law Department JAN 19 2011 (This Area to be Completed By the Law Department) RECEIVED Received. Approval (KENT:)&Iak-W DEPT. Law Dept. Comments. City of Kent Office of the mayor Date Forwarded to Mayor: Shaded Areas to Be Completed by Administration Staff Received: nD TE C-) E 9 W E Recommendations & Comments: JAPE 25 2011 Disposition: CITYKENT f� CITY CLERK CLERK Date Returned: Iage5870_tempiatebase • 2/07