HomeMy WebLinkAboutCC 1976-12-16 Discussion ItemF10
Th Honorable Members of
The City Commission
eorge F. 4nox , Jr,
City Atto ey
till or
INTER IMEMORANOUM
E.NLLOSUrttg:
I u t Ii
(1)
November 30, 1976
PILE
ReSolution, Agreement and
procedure for condemnation
The City's condemnation procedures have needed revision. fr
bme time. The City sent an option form to owners to purchase
thoir property in lieu of condemnation. In addition to the fact
. the option did not comply with Federal gudelines, it did not
adequately define the obligations and liabilities of the parties
and their attorneys, once it was exercised. The contract attached
to the resolution meets the Federal guidelines and clearly de-
lineates the responsibilities of the parties and their attorneys.
This agreement does not authorize the expenditure of any funds.
Once the agreement is signed by the seller, the City Commission
Will be presented with the agroc7qenL and a resolution authoriz-
ing an allocation of: funds nocesary for the purchase will be
required. Moreover, the deposit paid to the seller is shown on
- - the agreement as $100.00. Paragraph 8 of the agreement provides
that if the City defaults in the purchase such monies shall be
retained by the seller and the parties will be relieved of any
obligations under this contract.
I am recommending that the City Commission approve the
resolution and form contract attached thereto.
OFR/MEA/ts
ONTftACT Fo SALE A40 PURCItASE
C' IS INTENDED TO BE A LEGALLY BINDING CONTRACT.
NOT FOLLY UNDERSTOOD, SEER THE ADVICE OF YOUR
ATTORNEY PRIOR TO SIGNING
z..,
(Ph
nereinafter called the seller, and THE CITY OF MIAMI, a Florida
mhicipal corporation, hereinafter called the buyer, hereby agree
that the seller shall sell and the buyer shall buy the following
described property UPON THE TERMS AND CONDITIONS HEREINAFTER SET
FORTH, which shall include the STANDARDS FOR REAL ESTATE TRANSAC-
TIONS on the reverse side hereof.
1. Legal description of real estate in Dade County, Florida.
eet'Address
Purchase price
Deposit paid to seller -
Existing first mortgage
Existing second mortgage (if any)
Balance to close (excluding deposit)
adjustments and prorations
subject to
TOTAL $.
Time for Acceptance: If this contract is not executed by the
seller and buyer on or. before
the aforesaid deposit shall be, at the option of the buyer,
returned to it and this agreement shall be null and void.
The date
as the when the one p of f the a shall
seller and buyer
,agar
has signed this contract.
Closing date: This sale shall be closed and the deed shall be
delivered on or before the day of
Prorations: Taxes, interest, rents and other expenses and
revenue of said property shall be prorated as of date of
closing.
Examination of Abstract: The abstract
to the buyer or its attorney shall show
marketable. Liens and encumbrances not specified in the con-
tract shall be discharged by the seller at or before closing.
Buyer shall have a reasonable time from the date of receiving
said abstract to examine same. If the title is found to be
unmarketable the buyer shall immediately notify the seller in
writing, specifying the defects. If the said defects render
the title unmarketable, the seller shall have ninety (90) days
from the receipt of such notice to cure the defects. If the
Paid defects shall not be cured, the buyer shall have the option:
(1) accepting title as it then is, or, (2) demanding a refund
of all monies paid hereunder which shall forthwith be returned
to the buyer, and thereupon the buyer and the seller shall be
'released of all further obligations under this contract,
tveyahce: ester shall cotvey' title to the of e§
Yty to buyer by general warranty deed.
� efaulL by Buyer: If buyer fails to perform any of the cove°
hattts of this contract, the deposit made pursuant to this
contract by the buyer as aforesaid shall be retained by or
for the account of the seller as consideration for the execu-
tion of this contract and in full settlement of any claims
for damages, and the seller and the buyer shall be relieved
of all obligations to each other under this contract.
Default by Seller: If the seller fails to perform any of the
covenants of this contract, the aforesaid deposit at the option
of the buyer shall be returned to the buyer on demand or the
buyer shall have such rights and remedies hereunder as the law
allows.
Typewritten or Handwritten Provisions: Typewritten or hand-
written provisions inserted in this form shall control all
printed provisions in conflict herewith.
Other Agreements: NO agreements, unless incorporated in this
contract shall be binding upon any of the parties.
Additional Provisions:
Executed by Buyer on
THE CITY OF MIAMI, a Florida Municipal
corporation
By (SEAL)
City Clerk'' City Manager
Witnesses (Two are required) Executed by the Seller on
(SEAL)
(SEAL)
STANDARDS FOR ftEill, ESTATE TRANSACTION
t3ST ACT. (a) The seller at his expense shall futnish td the
►i tYef` a complete abstract of title covering the subject pro=
erty certified to a date subsequent to the date of the don-
tract but in no event more than thirty (30) days prior to the
date of scheduled closing. (b) The abstract shall contain
all recorded plats involving the subject property and wherever
accessary, a location note of the abstractor.
EXISTING MORTGAGES: (a) The seller shall furnish estoppel
letters (not necessarily in affidavit form) setting forth the
principal balance, method of payment, and whether the mortgage •
is in good standing. (b) Existing mortgages shall be paid in
full at or before the time of closing. If said mortgage or
Mortgages are paid at the time of closing the principal balance
plus interest thereon to the elate of closing shall be deducted
from the amount paid to the seller. (c) If any prepayment
penalty is required on any mortgage which has not been paid
in full prior to the closing the buyer shall deduct the
amount of such prepayment penalty from the amount to be paid
to the seller. (d) I the terms of any existing mortgage
prevent the buyer from prepaying said mortgage, then, and in
that event, the buyer may, at its option, terminate this
agreement and receive a refund of all monies paid hereunder.
Said sums shall be forthwith returned by the seller and there -
upon the buyer and i he set 1 . : r ? l l be t o.lrased of all further
obligations under this contract.
LEASES. The seller shall furnish copies of all written leases
to the buyer prior to the closing and if there are any persons
in possession without written leases, estoppel letters from
such persons specifying the nature and duration of the occu-
pancy shall be furnished to the buyer by the seller prior to
the closing date..
RELEASES OF LIEN. If subject property has been improved within
ninety (90) days prior to closing date, upon written request
by buyer's attorney, the seller shall deliver releases or waivers
of all mechanic's liens executed by general contractor, sub -
contractors, suppliers, or materialmen.
REVERTERS AND RESERVATIONS. All reverter provisions and reser-
vations affecting the marketability shall be released of
record at seller's expense unless extinguished by the Marketable
Title Act, Florida Statute 712.
CORPORATIONS. Seller, at the buyer's written request, shall
furnish proof of corporate existence of all corporations set
forth in such request appearing in the chain of title as of
the time such corporation acquired the property and conveyed
same.
PLACE OF CLOSING. Closing shall be held at the office of the
buyer's attorney or as otherwise agreed upon.
DOCUMENTS FOR CLOSING. Seller's attorney shall prepare Deed,
Owner's Affidavit, seller's closing statement and shall submit .
copies of same to buyer's attorney at least two days prior to
the scheduled closing date. If and in the event the seller
does not secure the services of an attorney, buyer's attorney
shall prepare all documents for closing.
EXPENSES. Federal and State documentary stamps which are re-
quired to be affixed to the instrument of conveyance and in-
tangible personal property taxes shall be paid by the seller.
ORATION OE TAXES (heal and Pe rsotra 1.) : 'Taxes slha1.1 be pt-o='
.ed based upon the cur-tent year°'s taxes without regard to
3COOnt., 1 t the Closing takes place and the currerrt year's
aXes are not fixed, and the c'ur'rent year's assessment is
- V a i 1 abl e , taxes w i l l be prorated based upon such assessment
r'1h.t the print year's mi11agile. if the current year's assess-
It tit is not available, then taxes will be prorated on the
Prior year's tax, provided, however, if there is completed
improvement of the subject premises by January 1 of the year.
Of the transaction, then the taxes shall be prorated to the
date of closing based upon the prior year's mlllage and an
equitable assessment to be agreed upon between the parties:
SPECIAL ASSESSMENT L1EC1S. Certified liens as of the ,day of
Closing (and. not as of the date of the contract) are to be
paid by the seller. Pending liens as of the date of closing
Shall be assumed by the buyer, provided, however, that where
the improvement has been completed as of the date of the
Cotatract, although the lien for same is pending and not certi-
fied, such pending liens shall be considered as certified and
shall be paid by the seller when certified, even though certi-
fication takes place subsequent to closing.
1)ERSONAL PROPERTY. The seller represents and warrants that
all appliances and machinery included in the sale should be
in good working order and repair as of the date of closing.
All personal pioporty shall be transferred by Bill of Sale.
RISK OE' LOSS. (a) in the event of a casualty loss, the
seller shall have a reasonable time to repair the damage and
if he fails to do so, the buyer shall have the option of:
(1) Taking the property as is, together with insurance pro-
ceeds, if any, or (2) Cancelling the contract, and all deposits
are to be forthwith returner] to the buyer and all parties
shall be released of any and all obligation and liability.
(b) Between the date of the contract and the date of closing,
the property shall be maintained by the seller in the condition
as it existed as of the date of the contract, ordinary wear
and tear excepted.
PROCEEDS OF SALT :. (a) The cash balance of the purchase price,
if any, shall be paid by City of Miami check. (b) The deed
shall be recorded and at the buyer's option the abstract of
title continuocl, at buyer's expense, to show title in the buyer
without any encumbrances or change from the date of the last
continuation rendering seller's title unmarketable. The cash
proceeds of such sale shall be held in escrow by the seller's
attorney or by such other mutually agreed upon Escrow Agent
for a period of not longer than five (5) days, exclusive of
Saturdays, Sundays and holidays. If the seller's title is so
'rendered unmarketable, the buyer's attorney shall, within the
said five (5) day period, notify seller's attorney in writing
of the defect and the seller shall have thirty (30) days
from the date of receipt of such notification to cure the
defect . in the event seller fails to timely cure said defect,
all monies p a i d hereunder shall , upon written demand therefor -
within five (5) days thereafter, be immediately returned to
buyer, and simultaneously with such repayment, buyer will
vacate the premises and reconvey by Special. Warranty Deed.
TO the event of the failure of buyer to make timely demand
f'or refund, he shall take title le as is, waiving all rights
tjaarist the seller a.: to the intervening defect.
l'O$SESSION. Buyer shall have the right to take possession
of the subject premises at the time of closing; provided
however, that where Federal relocation assistance is mandatory,
seller may remain in possession for a period not exceeding
ninety (90) days after the date of closing for which a fair
rental rate will he charged.
ATTORNEY FEES AND COSTS, In connection with any litigation
arising out of the contract, the prevailing party shall, be
entitled to recover all costs incurred, including reasenna ,l,e
attorney's fees.
_ 4 _
MtA /ts
11/10/76
need
the City
gOLUT10N NO
gOLUTION AUTHORIZING THE CITY MANAGER AND THE
- CITY CLERK TO ENTER INTO AGREEMENTS TO PURCHASE
REAL ESTATE ON THE FORM CONTRACT ATTACHED HERETO
AND MADE A PART HEREOF FOR A PRICE NOT TO EXCEED
THE APPRAISED VALUE OF THE PROPERTY TO BE ACQUIRED,
PLUS A BONUS OF 10% ON THE FIRST $10,000.00, 5%
ON ANY AMOUNT BETWEEN $10,000.00 AND $500,000.00,
AND 3% ON ANY AMOUNT BETWEEN $500,000.00 AND
$1,000,000.00.
WHEREAS, the City of Miami purchases real estate
condemnation from time to time, and
WHEREAS, present procedures and agreements are in
revision, and
WHEREAS, Federal funds are involved in many of
acquisitions, and
WHEREAS, the present procedures and agreements do
the requirements of Federal law and guidelines, and
WHEREAS, the form contract attached hereto and made a
hereof will meet Federal law and guidelines,
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE
':!CITY OF MIAMI, FLORIDA:
Section 1. The City Manager and the City Clerk be and they
are hereby authorized to enter into agreements to purchase
real estate on the form contract attached hereto and made a part
hereof for a price not to exceed the appraised value of the pro -
perty to be acquired, plus a bonus of 10% on the first
$10,000.00, 5% on any amount between $10,000.00 and $500,000.00,
and 3% on any amount between $500,000.00 and $1,000,000.00.
PASSED AND ADOPTED this day of , 1976.
Attest;
City Cleric
M A Y O R
PREPARED AND APPROVED BY: APPRO OAS TO FORM AND CORREC NESS:
4.
Georg F. Knox,
Michel E. Anderson Cit torney
Assistant City Attorney