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HomeMy WebLinkAbout4.2b Resolution 2022-010CITY OF COTTAGE GROVE, MINNESOTA COTTAGE GROVE ECONOMIC DEVELOPMENT AUTHORITY RESOLUTION 2022 - 010 A RESOLUTION APPROVING THE FIRST AMENDMENT TO PURCHASE AGREEMENT BY AND BETWEEN GLENDENNING FARMS, L.P., WAG FARMS, INC. AND JOAN GLENDENNING KENNEDY FAMILY LIMITED PARTNERSHIP AND THE COTTAGE GROVE ECONOMIC DEVELOPMENT AUTHORITY AND THE FIRST AMENDMENT TO PURCHASE AGREEMENT BY AND BETWEEN THE COTTAGE GROVE ECONOMIC DEVELOPMENT AUTHORITY AND RYAN COMPANIES US, INC. WHEREAS, on February 8, 2022, by and through Resolution No. 2022-004, the Cottage Grove Economic Development Authority (“EDA”) approved the purchase of real property from Glendenning Farms, L.P., WAG Farms, Inc. and Joan Glendenning Kennedy Family Limited Partnership (“WAG”), and sale of the same property to Ryan Companies US, Inc. (“Ryan Companies”); and WHEREAS, also on February 8, 2022, by and through Resolution No. 2022-004, after a public hearing, the EDA approved the related Purchase Agreements and authorized the appropriate officials to take such action as to effectuate its execution and implementation; and WHEREAS, pursuant to the EDA and Ryan Companies’ Purchase Agreement, the closing is to occur on or before September 1, 2022, and allows Ryan Companies’ two (2) extensions of 30-days each, with the entire Earnest Money of $50,000 (“Original Earnest Money”) becoming nonrefundable with the exercise of both extensions; and WHEREAS, the Ryan Companies has requested an extension of the Closing Date, beyond the two extension periods, to March 3, 2022, due to uncontrollable circumstances; and WHEREAS, the EDA does not object to the requested extension, on condition that $35,000 of the Original Earnest Money now becomes nonrefundable and Ryan Companies shall deposit an additional $20,000 in Earnest Money (“Additional Earnest Money”) with Title within three (3) business days following the Effective Date of this First Amendment, to be held in escrow. If the parties proceed to Closing, the Original Earnest Money and Additional Earnest Money, which totals $70,000, will be applied to the Purchase Price; and WHEREAS, Ryan Companies agrees to the condition; and WHEREAS, pursuant to the WAG and EDA Purchase Agreement, the closing is to occur on or before September 1, 2022, and allows the EDA two (2) extensions of 30- days each; and WHEREAS, the EDA has requested the same extension of the Closing Date, beyond the two extension periods, to March 3, 2022, due to uncontrollable circumstances; and City of Cottage Grove, Minnesota EDA Resolution 2022-010 Page 2 of 2 WHEREAS, WAG agrees to the extension. NOW THEREFORE BE IT RESOLVED by the Board of Commissioners of the Cottage Grove Economic Development Authority, as follows: 1. The First Amendment to Purchase Agreement by and between EDA and Ryan Companies is hereby approved, subject to minor modification as approved by the City Attorney, and the appropriate officials are authorized to take such action as to effectuate its execution and implementation. 2. The First Amendment to Purchase Agreement by and between WAG and EDA is hereby approved, subject to minor modification as approved by the City Attorney, and the appropriate officials are authorized to take such action as to effectuate its execution and implementation. Adopted this 22nd day of August, 2022. Myron Bailey, President Attest: Jennifer Levitt, Executive Director