HomeMy WebLinkAbout2016-05-18 PACKET 07.L. Cottage
J Grove
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Clt�/ COUI'1CII CONSENTAGENDA
Acfion Request Form �'L'
Meeting Date
5/18/2016
Department
Community Development
Title of Request
Gardenworld - Amendments to Purchase Agreement and Development
Agreement
Staff Recommendation
Approve the Third Amendment to Purchase Agreement and amendment to Development
Agreement with Gardenworld.
ATTACH MENTS:
Description Type Upload Date
Council Memo Cover Memo 5/13/2016
Third Amendment to Purchase Agreement Backup Material 5/13/2016
EDA Resolution No. 2016-012 Backup Material 5/13/2016
TIMOTHY J.KUNTZ
L E V�N D E R� DANIEL J BEESON
*KENNETH J.ROHLF
oSTEPHEN H.FOCHLER
GILL�EN � 4JAYP KARLOVICH
ANGELA M.LUTZ AMANN
*KORINE L.LAND
o*DONALD L.HOEFT
IL�LE'�q P.�. DARCYM.ERICKSON
DAVID S.KENDALL
BRIDGET McCAULEY NASON
.�TT��RNEI"S .�T L.���' TONA T.DovE
BRADLEY R.HUTTER
HAROLD LEVANDER
1910-1992
ARTHUR GILLEN
1919-2005
•ROGER C.MILLER
MEMO 19z4_zoo9
*ALSO ADMITTED IN WISCONSIN
4ALS0 ADMITTED IN NORTH DAKOTA
DALSO ADMITTED IN MASSACH[JSETTS
oALSO ADMITTED IN OKLAHOMA
TO: Mayor Bailey and Members of the City Council
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
proj ect 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.
RECOMIV�NDATION:
Approve the Third Amendment to Purchase Agreement and an amendment to the Development
Agreement.
633 SOUTH CONCORD STREET•SUITE 400• SOUTH SAINT PAUL,MINNESOTA 55075•651-451-1831•FAX 651-450-7384
OFFICE ALSO LOCATED IN SPOONER,WISCONSIN
THIRD AMENDMENT TO PURCHASE AGREEMENT
THIS THIRD AMENDMENT TO PURCHASE AGREEMENT (this "Agreement")
is entered into as of , 2016 (the "Effective Date"), by and between the 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.0 (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 property identified 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 extension of the
contingency period for Section S.lA(11) regarding financing to Apri129, 2016.
Recital No. 4. On or about May 11, 2016, the EDA granted an extension of the
contingency period for Section S.lA(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 occur on or before July 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
amended as: Lot 1, Block 1, Glengrove Industrial Park 6m Addition.
NOW, THEREFORE,Buyer and EDA agree to 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
6m Addition.
[remainder of 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.0
By:
Dave Van der 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
"EDA"), Belijah, LLC (referred to herein after as the "Developer") and Gardenworld, Inc. (referred to
herein after as the "Obligor") 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 obj ect 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 6th Addition.
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 6th Addition.
Passed this 18th day of May, 2016.
Myron Bailey, President
Attest:
Charlene Stevens, Executive Director