HomeMy WebLinkAbout2016-05-18 PACKET 04.1.
TIMOTHY J. KUNTZ
DANIEL J. BEESON
*KENNETH J. ROHLF
STEPHEN H. FOCHLER
JAY P. KARLOVICH
ANGELA M. LUTZ AMANN
*KORINE L. LAND
*DONALD L. HOEFT
DARCY M. ERICKSON
DAVID S. KENDALL
BRIDGET McCAULEY NASON
TONA T. DOVE
BRADLEY R. HUTTER
HAROLD LEVANDER
1910-1992
ARTHUR GILLEN
1919-2005
MEMO
ROGER C. MILLER
1924-2009
*
ALSO ADMITTED IN WISCONSIN
ALSO ADMITTED IN NORTH DAKOTA
ALSO ADMITTED IN MASSACHUSETTS
ALSO ADMITTED IN OKLAHOMA
TO: President Bailey and EDA Commissioners
FROM: Kori Land, City Attorney
DATE: May 12, 2016
RE: Gardenworld
Recently you approved two extensions of a contingency period related to the financing of the
project for Gardenworld. Gardenworld has requested an extension of the closing date to occur
on or before July 1, 2016. Also, this property is being platted so the title company has asked that
the legal description be updated to reflect the legal description that will be used to transfer title.
These amendments are scheduled for consideration by the City Council at its May 18, 2016
meeting.
RECOMMENDATION:
Approve the Third Amendment to Purchase Agreement and the Resolution Amending the
Development Agreement.
-451--450-7384
OFFICE ALSO LOCATED IN SPOONER, WISCONSIN
THIRDAMENDMENT TO PURCHASE AGREEMENT
THIS THIRDAMENDMENT TO PURCHASE AGREEMENT
(this “Agreement”)
is entered into as of ,2016(the “Effective Date”), by and betweenthe Cottage
Grove Economic Development Authority, a public body corporate and politic under the laws of
Minnesota, (referred to hereinafter as “EDA”), and Belijah L.L.C(referred to hereinafter as
“Buyer”).
RECITALS
Recital No. 1.
EDA and Gardenworld, Inc.,predecessor in interest to Buyer, entered
into a purchase agreement on December 8, 2015 (“Purchase Agreement”) for the purchase and
sale of real propertyidentified in the Purchase Agreement.
Recital No. 2.
On or about February 9, 2016, the Purchase Agreement was assigned
from Gardenworld, Inc.to Buyer.
Recital No. 3.
On or about March 29, 2016, the EDA granted an extensionof the
contingency period for Section 5.1A(11) regarding financing toApril 29, 2016.
Recital No. 4.
On or about May 11, 2016, the EDA granted an extension of the
contingency period for Section 5.1A(11) regarding financing to May 11, 2016.
Recital No. 5.
Buyer has requested an extension of the closing date for Section 6
regarding the closing shall occuron or beforeJuly 1, 2016.
Recital No. 6.
The EDA does not object to an extension for the closing.
Recital No. 7.
The legal description of the property described on Exhibit A shall be
th
amendedas:Lot 1, Block 1, Glengrove Industrial Park 6Addition.
NOW, THEREFORE,
Buyerand EDAagreeto the following:
1.That the closing date for Section 6 regarding the closing shall occur on or before
July 1, 2016.
2.The legal description of the Property is Lot 1, Block 1, Glengrove Industrial Park
th
6Addition.
\[remainderof page intentionally blank\]
1
IN AGREEMENT
, the parties hereto have hereunto set their hands as of the date hereinbefore
first written.
\[Signature page to Third Amendment to Purchase Agreement by EDA\]
COTTAGE GROVE ECONOMIC
DEVELOPMENT AUTHORITY
By ________________________________
Myron Bailey
Its President
By ________________________________
Charlene R. Stevens
Its Executive Director
2
\[Signature page to Third Amendment to Purchase Agreement by Belijah L.L.C.\]
BELIJAH L.L.C
By:____________________________
Dave Vander Sman
Its Chief Financial Officer
3
ECONOMIC DEVELOPMENT AUTHORITY
CITY OF COTTAGE GROVE WASHINGTON COUNTY
STATE OF MINNESOTA
RESOLUTION NO. EDA 2016-012
A RESOLUTION AMENDING THE DEVELOPMENT AGREEMENT BY AND
BETWEEN THE COTTAGE GROVE ECONOMIC DEVELOPMENT AUTHORITY,
GARDENWORLD, INC., AND BELIJAH, LLC
Whereas, the Cottage Grove Economic Development Authority (referred to herein after as
DA, Belijah, LLC (referred to herein after as the veloper) and Gardenworld, Inc. (referred to
herein after as the ligor) entered into a Contract for Private Development on April 12, 2016; and
Whereas, Developer has requested an extension of the closing date for Section 3.1 regarding the
closing shall occur on or before July 1, 2016; and
Whereas, the EDA does not object to an extension for the closing; and
Whereas, the legal description of the property described on Exhibit A shall be Lot 1, Block 1,
Glengrove Industrial Park 6thAddition.
Now therefore be it resolved by the Board of Commissioners of the City of Cottage Grove
Economic Development Authority as follows:
1.The last sentence in Section 3.1 shall be amended to state:
If the EDA and Developer have not closed on the sale of the Property by July 1, 2016,
this Agreement shall be null and void and of no further force and effect.
2.Exhibit A shall be amended to state:
Real property located in the County of Washington, State of Minnesota, legally described
as follows:
Lot 1, Block 1, Glengrove Industrial Park 6thAddition.
Passed this 18th day of May, 2016.
Myron Bailey, President
Attest:
Charlene Stevens, Executive Director