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HomeMy WebLinkAbout09909 ORDINANCE NO. 9909 AN ORDINANCE APPROVING AN AGREEMENT TO BUY AND SELL REAL ESTATE BETWEEN THE CITY OF PUEBLO, A COLORADO MUNICIPAL CORPORATION AND FERNANDO P. RAIGOZA RELATING TO RFP 21-031, SALE OF PROPERTY IN THE JOHNSTON PLACE SUBDIVISION AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1. The Contract to Buy and Sell Real Estate (“Agreement”) dated April 12, 2021, between the City and Fernando P. Raigoza, a copy of which is attached hereto and is incorporated herein by this reference, having been approved as to form by the City Attorney, is hereby approved. The Mayor is authorized to execute and deliver said Agreement in the name of the City and the City Clerk is authorized to fix the seal of the City thereto and attest same. The Mayor is further authorized to execute and deliver a Special Warranty Deed and related documents at closing, transferring the property owned by the City, as identified in said Agreement to Fernando P. Raigoza, in the manner described in the attached Agreement. SECTION 2. The officers and staff of the City are authorized to perform any and all acts consistent with this Ordinance and the attached Agreement which are necessary or appropriate to implement the transactions described therein. SECTION 3. This Ordinance shall become effective on the date of final action by the Mayor and City Council. Action by City Council: Introduced and initial adoption of Ordinance by City Council on March 22, 2021 . Final adoption of Ordinance by City Council on April 12, 2021 . President of City Council Action by the Mayor: ☒ Approved on April 15, 2021 . □ Disapproved on based on the following objections: _ Mayor Action by City Council After Disapproval by the Mayor: □ Council did not act to override the Mayor's veto. □ Ordinance re-adopted on a vote of , on □ Council action on _______ failed to override the Mayor’s veto. President of City Council ATTEST Acting City Clerk City Clerk’s Office Item # R-7 Background Paper for Proposed Ordinance COUNCIL MEETING DATE: March 22, 2021 TO: President Lawrence W. Atencio and Members of City Council CC: Mayor Nicholas A. Gradisar VIA: Belinda Kimball, Acting City Clerk FROM: Daniel C. Kogovsek, City Attorney SUBJECT: AN ORDINANCE APPROVING AN AGREEMENT TO BUY AND SELL REAL ESTATE BETWEEN THE CITY OF PUEBLO, A COLORADO MUNICIPAL CORPORATION AND FERNANDO P. RAIGOZA RELATING TO RFP 21-031, SALE OF PROPERTY IN THE JOHNSTON PLACE SUBDIVISION AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT SUMMARY: Attached is an Ordinance approving and authorizing the Mayor to sign an agreement for the City to sell a parcel of unimproved land located in the Johnston Place Subdivision (the “Property”) to Fernando P. Raigoza for Three Thousand Six Hundred Thirty-Six Dollars ($3,636.00). PREVIOUS COUNCIL ACTION: Not applicable to this Ordinance. BACKGROUND: On February 23, 2021, the City’s Purchasing Department issued RFP 21-031 for the sale of the following parcel of unimproved land located in the Johnston Place Rearrangement of Property Boundaries RFB 20-08, near the intersection of Chester Avenue and E. City Center Drive, Pueblo, CO 81003. One bid, submitted by Fernando P. Raigoza, was received. FINANCIAL IMPLICATIONS: The City will receive $3,636.00. Closing costs will be paid by one-half by the purchaser and one- half by the City. The City will pay the title insurance premium. BOARD/COMMISSION RECOMMENDATION: Not applicable to this Ordinance. STAKEHOLDER PROCESS: Not applicable to this Ordinance. ALTERNATIVES: City Council could decide not to sell the Property to Mr. Raigoza. RECOMMENDATION: Approval of this Ordinance. Attachments: Proposed Ordinance and proposed Contract to Buy and Sell Real Estate CONTRACT TO BUY AND SELL REAL ESTA I'F. THIS CONTRACT("Agreement") is made the 12th day of April, 2021,between the City of Pueblo, a Colorado municipal corporation (hereinafter called the "Seller"), and Fernando P. Raigoza (hereinafter called the "Purchaser"). 1. Property Defined. The Seller agrees to sell and convey to the Purchaser, and the Purchaser agrees to purchase from the Seller, all that certain plat, piece, and improved parcel of land having the following legal description (Property): Johnston Place Rearrangement of Property Boundaries RFB 20-08 all in the County of Pueblo, State of Colorado. The Property shall be conveyed by Special Warranty Deed("Deed")a form of which, marked as Exhibit 1, is attached hereto and incorporated herein by reference. The Property shall be conveyed subject to and subordinate to all easements, reservations, restrictions, covenants, limitations, rights-of-way and conditions of record and zoning and subdivision regulations and resolutions of the City of Pueblo and the Permitted Exceptions (as hereinafter defined), which shall be listed as exceptions in the Special Warranty Deed, subject to satisfaction of the conditions listed in this Agreement. 2. Purchase Price. Seller and Purchaser agree that the total purchase price shall be Three Thousand Six Hundred Thirty-Six Dollars (U.S. $3,636.00) to be paid as provided in, and subject to, Paragraph 3 below (the "Purchase Price"). 3. Payment of Purchase Price. The Purchase Price for the Property shall be payable at Closing in cash or certified funds. 4. Real Property Taxes. General real property taxes and assessments for tax year 2021, if any, shall be prorated and paid at Closing to the Purchaser on the basis of the 2020 tax year. 5. Title Commitment and Policy. Within ten(10) days of the date hereof and,in any event,at least twenty(20) days prior to the Closing Date, Seller shall order and obtain, and deliver to Purchaser, at Seller's expense, a current commitment for extended coverage title insurance in the amount of the Purchase Price, together with legible copies of all documents listed as exceptions therein, and a current certificate of taxes due with respect to the Property, from a title company selected by Seller, and reasonably acceptable to Purchaser, authorized to issue title insurance in the state of Colorado (the "Title Company"), on the current standard form of extended ALTA Owners Policy (collectively, the "Title Commitment"). The Title Company shall promptly provide copies of any amendments or modifications of the Title Commitment to Purchaser. Purchaser shall have the right to review the Title Commitment and the title documents and notify Seller in writing of any title objections to the title exceptions set forth in the Title Commitment. Seller shall have five (5) days from receipt of notice of such objections within which to eliminate or modify (or agree in writing to so eliminate or modify) any such unacceptable exceptions to the reasonable satisfaction of Purchaser, but Seller shall have no obligation whatsoever to so eliminate or modify any such unacceptable exceptions. In the event that Seller is unable or unwilling to eliminate or modify(or agree in 1 writing to so eliminate or modify)such unacceptable exceptions to the reasonable satisfaction of Purchaser on or before the expiration of said five (5) day period, Seller shall notify Purchaser in writing of such fact within said five (5) day period or be deemed to have so notified Purchaser with respect to all such unacceptable exceptions not theretofore cured upon the fifth (5th) day of said period. In such event, Purchaser shall, prior to the Closing Date either (i) waive such objections and accept title to the Property subject to title exceptions set forth in the Title Commitment (the "Permitted Exceptions"), or(ii) terminate this Agreement by written notice to Seller, whereupon this Agreement shall automatically be terminated and of no further force and effect,except as otherwise expressly set forth herein. At Closing or as soon as reasonably practicable after Closing, the Title Company shall issue and deliver to Purchaser the owner's title insurance policy referred to above (the "Title Policy"), issued by the Title Company insuring Purchaser's title to the Property consistent with the Title Commitment subject only to taxes and assessments for the year of Closing and subsequent years, subject to and subordinate to all easements, reservations, restrictions, covenants, limitations, rights-of-way and conditions of record and zoning and subdivision regulations and resolutions of the City of Pueblo and the Permitted Exceptions. At Closing, Seller shall pay the premium for the Title Policy. Purchaser may obtain such other endorsements to the Title Policy as Purchaser desires, at the expense of Purchaser. Seller shall provide such affidavits or certificates, and pay such expenses, as may be required by the Title Company to remove all liens, including, without limitation, mechanics' or materialmen's liens, as exceptions to the Title Policy. 6. Closing Time and Place. Closing of the transaction contemplated hereby ("Closing") shall be held at the offices of Land Title Guarantee Corporation("LTGC") 503 N.Main Street,Pueblo, CO 81003 at a date and time as agreed by Seller and Purchaser. The Purchaser and Seller shall each be responsible for the payment of one half of all closing costs. 7. Closing Costs. All other costs and expenses incident to this transaction and the Closing thereof shall be paid by the party incurring same. 8. Broker. Purchaser and Seller represent and warrant to the other that no broker or finder has been engaged by such Party in connection with this transaction. Seller agrees to indemnify, defend and hold Purchaser harmless from and against any and all claims, loss, liability, costs and expenses (including reasonable attorneys' fees),resulting from any claims that may be made against Purchaser by any broker or other person claiming a commission, fee or other compensation by reason of the transaction contemplated hereby if the same shall arise by, through or on account of Seller. Purchaser agrees to indemnify, defend and hold Seller harmless from and against any and all claims, loss, liability, costs and expenses (including reasonable attorneys' fees), resulting from any claims that may be made against Seller by any broker or other person claiming a commission, fee or other compensation by reason of the transaction contemplated hereby if the same shall arise by, through or on account of Purchaser. 10. Disclaimers. EXCEPT AS EXPRESSLY SET FORTH IN THIS AGREEMENT, IT IS UNDERSTOOD AND AGREED THAT SELLER IS NOT MAKING AND HAS NOT AT ANY TIME MADE ANY WARRANTIES OR REPRESENTATIONS OF ANY KIND OR CHARAC 1'ER,EXPRESS OR IMPLIED,WITH RESPECT TO THE PROPERTY, INCLUDING,BUT NOT LIMITED TO, ANY WARRANTIES OR REPRESENTATIONS AS TO HABITABILITY,MERCHANTABILTY,FITNESS FOR A PARTICULAR PURPOSE, TITLE (OTHER THAN SELLER'S SPECIAL WARRANTY OF TITLE TO BE SET FORTH IN THE SPECIAL WARRANTY DEED), ZONING, TAX CONSEQUENCES, PHYSICAL OR ENVIRONMENTAL CONDITION (INCLUDING, BUT NOT 2 LIMI TED TO, HAZARDOUS MA FERIALS CONTAMINATION), UTILITIES, OPERATING HISTORY OR PROJECTIONS, VALUATION, GOVERNMENTAL APPROVALS, THE COMPLIANCE OF THE PROPERTY WITH GOVERNMENTAL LAWS,OR ANY OTHER MA h ER OR THING REGARDING THE PROPERTY. PURCHASER ACKNOWLEDGES AND AGREES THAT, EXCEPT AS EXPRESSLY SET FORTH IN THIS AGREEMENT AND THE SPECIAL WARRANTY OF TITLE TO BE SET FORTH IN THE SPECIAL WARRANTY DEED, UPON CLOSING SELLER SHALL SELL AND CONVEY TO PURCHASER AND PURCHASER SHALL ACCEPT THE PROPERTY"AS IS, WHERE IS, WITH ALL FAULTS."PURCHASER AND SELLER AGREE THAT THE PROVISIONS OF THIS PARAGRAPH 10 SHALL SURVIVE THE CLOSING OF THE TRANSACTION CONTEMPLA1ED BY THIS AGREEMENT AND THE RECORDING OF THE SPECIAL WARRANTY DEED HEREUNDER. 11. In addition to Paragraph 10 hereof, Seller and Purchaser agree that the provisions of this Agreement shall survive Closing and the recording of the Special Warranty Deed. 12. All understandings and agreements heretofore had between the parties hereto are merged into this Agreement, which alone fully and completely express their agreement, and this Agreement is entered into after full investigation, neither party relying upon any statement or representation, not embodied in this Agreement, made by the other. 13. This Agreement may not be changed or terminated orally. 14. The provisions in this Agreement are to apply to and bind, and inure to the benefit of, the heirs, executors, administrators, successors, and assigns of the respective parties. 15. If any provision of this Agreement is determined by a court of competent jurisdiction to be invalid or unenforceable, the remainder of this Agreement shall nonetheless remain in full force and effect. 16. Applicable Law. This agreement shall in all respects be governed by, and construed in accordance with, the laws of the State of Colorado. Seller and Purchaser hereby irrevocably submit to the personal and subject matter jurisdiction of the District Court, Pueblo County, State of Colorado in any action or proceeding arising out of or relating to this agreement and hereby irrevocably agree that all claims in respect of such action or proceeding shall be heard and determined in the District Court of Pueblo County, State of Colorado. Purchaser and Seller agree that the provisions of this Paragraph 16 shall survive the closing of the transaction contemplated by this agreement and the recording of the Special Warranty Deed hereunder. To the full extent permitted by law, Purchaser and Seller hereby waive their rights to a trial by jury. 19. Liability of City. In no event shall Seller, its officers, agents or employees be liable to Purchaser for damages, including without limitation, compensatory, punitive, indirect, special or consequential damages, resulting from or arising out of or related to this Agreement or the performance or breach thereof by Seller or the failure or delay of Seller in the performance of any covenant or provision under this Agreement on its part to be performed. In consideration of City entering into this Agreement, Purchaser hereby waives and discharges Seller, its officers, agents and employees from all claims for any and all such damages. No breach, default, delay or failure of Seller under this Agreement shall be or be construed to be a waiver, 3 discharge or release of Purchaser's obligation to pay the Purchase Price under Section 3 hereof.In the event of a breach of this Agreement by the Seller, Purchaser's sole and exclusive remedy shall be to bring an equitable action for specific performance in the District Court of Pueblo County,Colorado. Such violations may be restrained or such obligations enforced by injunction at the instance and request of Purchaser without the showing of any special damages or an inadequate remedy at law. 18. Counterparts. This Agreement may be executed in any number of counterparts, and each such counterpart shall be deemed for all purposes to be an original, and all such counterparts shall together constitute but one and the same original. 19. The provisions of this Agreement and of the documents to be executed and delivered at Closing are and will be for the benefit of Seller and Purchaser, and their respective heirs, executors, administrators, successors and assigns only and are not for the benefit of any third party, and accordingly, no third party shall have the right to enforce the provisions of this Agreement or of the documents to be executed and delivered at Closing. 20. The following schedules or exhibits attached hereto shall be deemed to be an integral part of this Agreement: Exhibit 1 —Form of Special Warranty Deed 21. The section headings appearing in this Agreement are for convenience of reference only and are not intended,to any extent and for any purpose,to limit or define the text of any section or any subsection hereof. 22. The parties acknowledge that the parties and their counsel have reviewed and revised this Agreement and that the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Agreement or any exhibits or amendments hereto. 23. The failure to enforce any provision of this Agreement shall not operate as a waiver of any preceding or future breach of any such provision or any other provision hereof. 24. Neither party shall record this Agreement or any short form memorandum of this Agreement. 25. The City's Request for Proposals for the Sale of the Referenced property and Purchaser's Proposal in response thereto, are incorporated into this Agreement, as if set forth verbatim. Executed at Pueblo, Colorado,the day and year first above written. SELLER: CITY OF PUEBLO,CO A MUNICIPAL CORPORATION 4 By: i hola�s A.Gr isar Mayor A'TESTED BY:16,416€ CITY CLERK PURCHASE) F mando `. Raiff' STATE OF COLORADO ) ) ss. COUNTY OF PUEBLO ) The foregoing instrument was acknowledged before me this \-0-Clay of , 2021 by Fernando P. Raigoza, as Purchaser. Witness my hand and official seal. My commission expires: G6, . [ SEAL] V ,�(1,�Cti c LAk.13cl Notary Public MELISSA FRESOUES NOTARY PUSUO STATE OF COLORADO NOTARY ID 20184014881 MW COMMISSION BARN JUNE 10.$824 5 EXHIBIT 1 6 SPECIAL WARRANTY DEED THIS SPECIAL WARRANTY DEED, made this 10th day of August, 2021, between the City of Pueblo, a Colorado municipal corporation (hereinafter referred to as "Grantor") and Fernando P. Raigoza, an individual, whose address is 109 N. Chester Ave., Pueblo, CO 81003 (hereinafter referred to as "Grantee"). WITNESSETH: WHEREAS, the Johnston Place Rearrangement of Property Boundaries RFB 20-08 of Lots 8, 9 and 10, Johnston Place, County of Pueblo, State of Colorado, was recorded on the 21st day of May, 2021 at Reception No. 2227196; and WHEREAS, the Grantor, for and in consideration of the sum of Three Thousand Three Hundred Thirty-Six Dollars ($3,636.00) and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, has granted, bargained, sold and conveyed, and by these presents does grant, bargain, sell, convey, and confirm, unto the Grantee, his heirs, successors and assigns forever, the following described real property, together with improvements, if any, located in Pueblo County, Colorado, to wit: PARCEL "C" JOHNSTON PLACE REARRANGEMENT OF PROPERTY BOUNDARIES RFB 20-08 RECORDED MAY 21, 2021 AT RECEPTION NO. 2227196. A REARRANGEMENT OF LOTS 8. 9 AND 10, JOHNSTON PLACE, COUNTY OF PUEBLO, STATE OF COLORADO EXCEPT AND EXCLUDING PARCEL "A" MORE PARTICULARLY DESCRIBED AS FOLLOWS: BEGINNING AT THE SOUTHEAST CORNER OF LOT 8, JOHNSTON PLACE THENCE WESTERLY ALONG THE SOUTH LOT LINE OF LOT 8 AND THE NORTH RIGHT-OF-WAY LINE OF E. CITY CENTER DRIVE 30' TO A POINT; THENCE NORTHEASTERLY 42.49' MORE OR LESS TO A POINT ON THE WESTERLY RIGHT- OF-WAY OF N. CHESTER AVENUE; THENCE SOUTHERLY ALONG THE WEST RIGHT-OF-WAY LINE 30' TO THE SOUTHEAST CORNER OF SAID LOT 8 AND THE POINT OF BEGINNING, COUNTY OF PUEBLO, STATE OF COLORADO and EXCEPT AND EXCLUDING Parcel "B" more particularly described as follows: THE WESTERLY 13' OF SAID LOTS 8, 9 AND 10 JOHNSTON PLACE, COUNTY OF PUEBLO, STATE OF COLORADO containing a calculated area of 7,242.40 S.F. more or less for all purposes, together with all and singular the rights, benefits, privileges, easements, tenements, hereditaments and appurtenances thereto belonging, or in anywise appertaining, and the reversion and reversions, remainder and remainders, rents, issues and profits thereof, and all the estate, right, title, interest, claim and demand whatsoever 1 of the Grantor, either in law or equity, of, in and to the above bargained premises, with the hereditaments and appurtenances. This conveyance is of the surface estate only and no mineral rights or water rights are conveyed by this instrument. This conveyance is made subject to and subordinate to all easements, reservations, restrictions, covenants, limitations, rights-of-way and conditions of record. This conveyance is also made subject to and subordinate to those encumbrances and exceptions (the "Permitted Exceptions") set forth on Exhibit A attached hereto and incorporated herein and made a part hereof for all purposes. TO HAVE AND TO HOLD the said premises, subject to the Permitted Exceptions, above bargained and described, with the appurtenances, unto the Grantee, his heirs, successors and assigns forever. The Grantor, for itself, its successors and assigns does covenant and agree that it shall and will WARRANT AND FOREVER DEFEND the above-bargained premises in the quiet and peaceable possession of the Grantee, his heirs, successors and assigns, against all and every person or persons claiming the whole or any part thereof, by, through or under the Grantor. IN WITNESS WHEREOF, this Special Warranty Deed is executed by Grantor to be effective the day and year first above written. GRANTOR: City of Pueblo a Colorado municipal corporation By: ,/.+ s4.41/ Name: Nicholas A. Gradisar Title: Mayor STATE OF COLORADO ) ) SS. COUNTY OF PUEBLO ) The foregoing instrument was acknowledged before me on this 10th day of August, 2021, by Nicholas A. Gradisar, Mayor of the City of Pueblo, a Colorado municipal corporation. Witness my official hand and seal. 2 My Commission Expires: 0 7-1--a„3 Notary Public �YE � � NOTARY Pu B U G. STK('E. OF` C.,f,OL. %RA DO NOTARY ID 20034020100 My Commission ExpiEes August 7,2023 3 Exhibit A— Permitted Exceptions 1. Any facts,rights, interests,or claims thereof, not shown by the Public Records but that could be ascertained by an inspection of the Land or that may be asserted by persons in possession of the Land. 2. Easements, liens or encumbrances, or claims thereof, not shown by the Public Records. 3. Any encroachment,encumbrance, violation, variation,or adverse circumstance affecting the Title that would be disclosed by an accurate and complete land survey of the Land and not shown by the Public Records. 4. Any lien,or right to a lien, for services, labor or material heretofore or hereafter furnished, imposed by law and not shown by the Public Records. 5. Defects, liens,encumbrances,adverse claims or other matters, if any,created,first appearing in the public records or attaching subsequent to the effective date hereof but prior to the date of the proposed insured acquires of record for value the estate or interest or mortgage thereon covered by this Commitment. 6. (a)Taxes or assessments that are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the Public Records;(b)proceedings by a public agency that may result in taxes or assessments,or notices of such proceedings,whether or not shown by the records of such agency or by the Public Records. 7. (a) Unpatented mining claims;(b)reservations or exceptions in patents or in Acts authorizing the issuance thereof; (c)water rights,claims or title to water. 8. EXISTING LEASES AND TENANCIES. 9. EASEMENTS, CONDITIONS. COVENANTS, RESTRICTIONS, RESERVATIONS AND NOTES ON THE PLAT OF JOHNSTON PLACE RECORDED SEPTEMBER 19, 1890 UNDER RECEPTION NO. 43019. 10. THE EFFECT OF INCLUSION OF SUBJECT PROPERTY IN THE LOWER ARKANSAS VALLEY WATER DISTRICT,AS EVIDENCED BY INSTRUMENT RECORDED DECEMBER 13, 2002. UNDER RECEPTION NO. 1474320 AND NOTICE RECORDED JANUARY 04.2010 UNDER RECEPTION NO. 1829179. 11. THE EFFECT OF INCLUSION OF SUBJECT PROPERTY IN THE PUEBLO CONSERVANCY DISTRICT,AS EVIDENCED BY INSTRUMENT RECORDED AUGUST 01,2007, UNDER RECEPTION NO. 1736292 AND RECORDED FEBRUARY 15, 2013 UNDER RECEPTION NO. 1934215 AND PUEBLO CONSERVANCY DISTRICT MAP RECORDED DECEMBER 11, 2009 UNDER RECEPTION NO. 1829096. 12. EASEMENTS, CONDITIONS, COVENANTS, RESTRICTIONS, RESERVATIONS AND NOTES ON THE PLAT OF JOHNSTON PLACE REARRANGEMENT OF PROPERTY BOUNDARIES RPB-20-08 RECORDED MAY 21, 2021 UNDER RECEPTION NO. 2227196.