HomeMy WebLinkAbout10238RESOLUTION NO. 10238
A RESOLUTION PROVIDING INCENTIVES FOR THE PARTICIPATION OF REAL ESTATE
BROKERS AND SALESPERSONS IN THE DEVELOPMENT AND DISPOSITION OF HISTORIC
ARKANSAS RIVERWALK PROJECT LOTS
BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that:
SECTION 1
In order to provide incentives for the participation of Colorado licensed real estate brokers and
salespersons ( "Real Estate Professional') in the development and disposition of Historic Arkansas
Riverwalk Project ( "HARP ") lots, the Historic Arkansas Riverwalk of Pueblo Authority ( "HARP
Authority ") and the City of Pueblo offer the following opportunity to Real Estate Professionals:
1. Finder's Fee. HARP Authority will pay a 3% "finder's fee" for written referral by
a Real Estate Professional of a qualified and interested developer that results in the purchase
of a HARP lot by the referred developer pursuant to a development and disposition
agreement.
2. Letter of Intent and Earnest Money. HARP Authority will pay a 7% commission
on a written proposal submitted by a Real Estate Professional from a qualified and interested
developer accompanied by an acceptable earnest money deposit that results in the purchase
of a HARP lot by such developer pursuant to a development and disposition agreement.
3. Payment of Fees and Commissions. The 3% fee and 7% commission are
based on the final purchase price of a HARP lot as negotiated between the City of Pueblo and
the developer and will be paid out of the purchase price at the time the HARP lot is purchased
by the developer pursuant to a development and disposition agreement.
4. Development and Disposition Agreement. The HARP lots are available for sale
only in conjunction with and as part of a HARP lot development. The development must meet
and comply with the HARP Authority /City of Pueblo development plans for HARP and the
HARP lot and be approved by both HARP Authority and the City of Pueblo. The details,
covenants and conditions of the development and purchase of a HARP lot will be set forth in a
development and disposition agreement between the City of Pueblo and a developer.
5. Dispute. Any dispute with respect to the payment of such fee or commission
shall be resolved by the City Manager after consultation with the HARP Authority's Executive
Director. The decision of the City Manager shall be final and binding on all parties.
SECTION 2
This Resolution shall become effective upon final approval and passage.
INTRODUCED October 12, 2004
BY Robert D. Schilling
Councilperson
D 0 0
ED
Background Paper for Proposed
RESOLUTION
4Z,0. A I dz 38
AGENDA ITEM # 4
DATE: October 12, 2004
DEPARTMENT: Law Department
TITLE
A RESOLUTION PROVIDING INCENTIVES FOR THE PARTICIPATION OF REAL
ESTATE BROKERS AND SALESPERSONS IN THE DEVELOPMENTAND DISPOSITION
OF HISTORIC ARKANSAS RIVERWALK PROJECT LOTS
ISSUE
Should City Council offer incentives to real estate brokers and salespersons to participate
in the development and disposition of HARP lots.
RECOMMENDATION
None
BACKGROUND
Councilperson Schilling suggested that involving real estate brokers or salespersons in the
development and disposition of HARP lots may assist in the sale and development of
HARP lots. HARP's executive director and City Administration drafted the incentive
program for City Council's consideration.
FINANCIAL IMPACT
If a real estate broker's or salesperson's participation results in the sale of a HARP lot,
he /she would be paid either a 7% commission or 3% finder's fee based on the purchase
price of a HARP lot at the time of sale.