HomeMy WebLinkAbout09232RESOLUTION NO. 9232
A RESOLUTION APPROVING AN OPTION AGREEMENT
BETWEEN PUEBLO, A MUNICIPAL CORPORATION AND THE
HOUSING AUTHORITY OF THE CITY OF PUEBLO,
COLORADO, AND AUTHORIZING THE PRESIDENT OF THE
CITY COUNCIL TO EXECUTE THE OPTION AGREEMENT
AND THE SPECIAL WARRANTY DEED DESCRIBED THEREIN
BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that:
SECTION 1
The Option Agreement dated as of February 20, 2001 between the City of Pueblo and The
Housing Authority of the City of Pueblo, Colorado, and the conveyance of title to the property
described therein, a copy of which Option Agreement is attached hereto, having been approved as to
form by the City Attorney, are hereby approved. The President of the City Council is authorized to
execute and deliver the Option Agreement and Special Warranty Deed described therein in the name
of the City and the City Clerk is directed to affix the seal of the City thereto and attest same.
INTRODUCED: February 26, 2001
I'
• M AN - .• -� -
ATTEST:
City 16k
OPTION AGREEMENT
THIS OPTION AGREEMENT (the "Agreement ") entered into as of February 20, 2001
between Pueblo, a Municipal Corporation (the "City ") and Housing Authority of the City of Pueblo,
Colorado (the "Authority "), WITNESSETH:
In consideration of the mutual covenants contained herein, City and Authority agree as
follows:
1. Option City does hereby grant to Authority during the period from February 20,
2001 to August 15, 2001 the exclusive right and option to purchase all of the City's right, title and
interest in and to the real property described in the attached Exhibit "A" (the "Property ") for a
purchase price of $650,000 (the "Purchase Price ").
2. Exercise of Option Authority may exercise the option hereby granted by giving
written notice of such exercise on or before August 15, 2001 to the City Manager of City, 1 City Hall
Place, Pueblo, Colorado, 81003. If Authority does not give written notice of exercise of the option
on or before August 15, 2001, this Agreement shall terminate and the right and option hereby granted
shall be cancelled and each party released from all obligations hereunder.
3. Closing If Authority timely exercises the option hereby granted, closing for the
purchase and sale of the Property shall take place within thirty (30) days after City's receipt of
Authority's notice of exercise of option. The time, date and place of closing shall be designated by
City.
4. Payment of Purchase Price At closing, Authority shall pay to City and Purchase
Price in the amount of $650,000 either in cash or certified funds, or upon such other terms and
conditions as the City Council of City may approve.
5. Special Warran , Deed Subject to payment of the Purchase Price at Closing, City
will deliver possession of the Property to Authority and will execute and deliver to Authority a good
and sufficient special warranty deed conveying to Authority all of City's right, title and interest in
and to the Property free and clear of all liens and taxes, except general tax for the year 2001; subject
to easements, covenants, restrictions, agreements, rights -of -way, and reservations of record; rights,
if any, of third parties in the Property not shown by the public records; such state of facts as an
accurate survey or an inspection of the Property would show; building, zoning and other land use
regulations; and liens and encumbrances caused or created by the acts or defaults of Authority.
6. Condition of Property Authority agrees and acknowledges that:
(a) City disclaims any warranty or representation, express or implied, with respect
to any aspect, portion or component of the Property, including, but not limited to: (i) the condition,
nature or quality of the Property, including, but not limited to, the quality of soils on or under the
Property; (ii) the fitness of the Property for any particular use; (iii) the presence or suspected
presence of hazardous materials on, in, under or about the Property; (iv) the financial benefits,
income, expenses, profits or losses to be achieved, derived or incurred as a result of the ownership,
operation, leasing or management of the Property; or (v) existing or proposed governmental laws or
regulations applicable to the Property, or the further development or changing use thereof, including
environmental laws and laws or regulations relating to zoning, land use or building, or the existence
of any approvals or authorizations of any kind or nature of or from any governmental authority.
(b) Authority agrees that it has not relied on any representation, statement or
warranty of City, or anyone acting for or on behalf of City, and all matters concerning the Property
have been or will be independently verified by Authority. If Authority purchases the Property,
Authority agrees that it shall have relied entirely on its own investigation, examination and
inspection of the Property and all matters pertaining thereto and that Authority is purchasing the
Property on an "AS IS" basis and in its condition on the date of closing.
7. Preservation and Restoration of the Propere . If Authority purchases the Property as
herein provided, Authority represents and agrees that it will not demolish or remove any buildings
or improvements on the Property without the prior written consent of City. Authority further
represents and agrees that Authority will expeditiously take all action necessary and required for the
preservation, restoration and/or remodeling of the Holden Block Building, 201 -203 N. Santa Fe
Avenue and the Studzinsky Block Building, 221 -225 N. Santa Fe Avenue, Pueblo, Colorado, in
accordance with the schedule set forth in the attached Exhibit "B" and to provide on the Property the
maximum number of parking spaces reasonably possible.
8. Evidence of Title Within ten (10) days after City's receipt of Authority's notice of
exercise of option, City shall furnish at its expense to Authority a current commitment for owner's
title insurance policy in the amount of the Purchase Price insuring title in the Property in the name
of Authority and cause the title insurance policy to be issued and delivered to Authority immediately
after closing.
9. Entire Understanding This Agreement constitutes the entire understanding between
the parties and any prior agreement or representation of any kind, whether oral or written, preceding
the date of this Agreement are incorporated herein and shall not otherwise be binding upon any of
the parties hereto.
10. Binding Effect and Assignment Time is of the essence hereof. This Agreement shall
bind and inure to the benefit of City and Authority and their respective successors and assigns,
except that Authority may not assign this Agreement or any of its rights or remedies hereunder
without the prior written consent of City.
11. Amendment This Agreement may not be amended or modified except by instrument
in writing signed by both City and Authority.
12. Survival of Covenants All covenants, representations and warranties herein
-2-
contained shall survive closing and may be enforced by either party hereto.
Executed at Pueblo, Colorado, the day and year first above written.
ATTEST: PU L , A I IPAL CORPORA N
By 1
City rk P sid t of the ' y ouncil
H ING AUTHORITY OF THE CITY
AT T ST: OF PUE O, CO DO
B ---�
Title: Titl : Executive Director
APPROVED AS TO FORM:
City Attorne
-3-
EXHIBIT "A"
LEGAL DESCRIPTION
PARCEL I..:
Lot 1 and the south 1 of Lot 2 Block 29 3.n that part o f the
Cit of Pueblo Which was surveyed and platted by H. X. Fosdick,
En n ar for the probate judge of said Pueblo County, in Ma
Crean - c.y Of Puebi0 3t�te of Colorado, , nC1 that porzi.on o second
said City adjoining said l it f bounded and des4ribed as Zallaws,
mss, asses �i:, Of oaiu Lvt i.;
tftanauft C1011 t h �'! r: E1. frb�ch Wag+ 1 i n1a of ,rlt F n 3kV8 1.n se �
thence West pare 1 �el rai t� fil�w h i � .10. nf N� J. d T�� 1 ; 12 A g�:t
East line of an alley in said black*
trance Worth along go East line of eaidr alley 10 foot to the SW
of said Lot 1;
them East along the South -line of sa Lot 1, 1,2 teat to the
BEGWIW IIAG, County of Puai la State of Colorada
PARCEL 2;
The North 1 of Lot 2, and the south 1/
part of the present City of Pueblo which was
N* Foodick, Civil Engineer, for the Probate
118 County of Pueblo, St, t of Colorado,
PARCEL 3
present
Civil
greet irL
to -w.it c
#:n ts�
corner
POINT Or
o f Lot 3, Block 29, in that
SurWyed and platted by H.
Judge of Puebla County,, March
The North 1 Of Lot 3 all of .1..ro 4 and the
Bliock 29, ih that wart of the present city of
and platted by H, K. Fosdick, Civil Engi eer f
Pueblo U anty, March 1869, , County of Pu&bio,
FARM 4
South 8. feet of Lot 5 ,
Pueblo which was surveyed
for the Probate judgo of
State of Co
The forth 33.87 feet of L,ot. 5 and the South lfi feet 2 inches of Lot 6
Block 39, in- that part of the present City o f Pu l0 which- sprveyed.
and : platted by H , , Posdick, Civil Engineer, for the Probate Judge _of
sdid Pueblo County, %n. -Karch 1869 p Coumty' of .Pueblo.. State of Colorado.
I rt I I. NO. 3 6 0 17
UIT 0
,� {{A U T HORITY o the CITY OF PUEBLO -
g1 #1o. V1tlarle / Pueblo, Colorado 8100$1 Phone (119) 542. 67411 F (719) 546 -539Si EXECU IV5 DIRECTOR:
Jack Quincy
January 29, 2001
'b& D ave Ali
Asst. C Manag
1 City Hall
Pueblo, CO 31403
RE; Studzinski & Holden. Blo s
Leas Dave.
COMI SSIONERS:
Judge Gordon R. Cooper
Mr. Robert L. HawMins
M r. Gasparo Eerda
Mr. Ben WeIndUng
Ads. Eftabeth B_ Wi{.cwn
A cnftOng was heM with the throe county coMrM`s n:3as -cn Thursday. Janumy 25. At that
rneeft the comnissiancrs raVUte4 a. time Homu.to the caMeg date that rebabi tation Wforts
could begin for the above mentioded propeny. The ! -0oving we new native dates that would
be noroessary ft ' us to co mpleto the w ork if the An Authority and its in4•estors are suo ssfut
in acqui no n Housing Tax Credits:
2/21101 Application to CFWA (Colo. Housing Finance Authority) must be submitted ..
Scverat things must happen for that applloation to be complete&
+A market study wall have to be cc leted.
+Constiuttion esflmdas indsding all soft casts mast be completed.
5124!01 Submission of Monal R44cr Noufmation application.
5124101 C• YA will act upon the Houma Tax Credit ap plication to be awarded in fiscal
year 2001. At tht time,. we shall know if the pruajeut would receive those credits.
Without this type, of cred it, we cumt proud_
W8101 National Register Nomination reviewed for appravat
8115141 Tax credits l would be in position an contmots could be in place to have
the first hTwlou of equity to begin per ration for +COxisttucdon- This would
incline exploratory work as welt as +volition ott the suut uzes. At this time, we
' 09310 -to"S 6 1L 'ON XU 1 69K h115/018? ;0 All) � 1:0� FA Q - r
%A r, 4 n i l ..
NO.360 109
must poW out tbAt exterior rebabifitation eamwt conunam untA a NW0
Rc&ter Nomination and uric Tax Om4k Applica are f4rw ardcd for
xvview. � TWs is b=usc ifany work is d= on the b orio facade w orst thcif
approval it c ould nee chanca for historic tax credits.
10101 Submission of application for Colorado Mate His toneal Society historic dram
1101102 Sad, said start non- historic related const ucdon
III5!02 Colorado Mstcdcal Sacjety lntoric Grant funds miewod and notif ed.
3 /02 Begs exted'or renovsllon of htMric buildings
This cee not be accomplishW eny sooner because If the stmolure is t o re=vc any
b1stwic 1 rants, wa tracts would have to he signed with the Colorado Stat
Mstetiea society_
1 2 2 Constnwlon completed and buOdings abte to be cc=pi
We are using t same *ne Mims that we used for the Rood Candy Building. We know b y
exp eilenoe #hat these are reachable. As stated before, these tentWve time lines can be acWeved
or4y if our houCmp, tax credits are approved. is May, 2001. This is not to sa a pAvate developer
could not work an the struct m This is only to sap that bc&rc the Housing Authority of the City
offtoblo and its subfidWos cad not be involver uWtu the housing tax crams arc appro d,
ShoWd you have any further queW ons,, please conWa me at 594 -7676.
=.- Tack Minn
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