HomeMy WebLinkAbout1992-10-26 92-492 ORDERCOUNCIL ACTION
Item No. 92-492
Date October 26, 1992
Item/Subject: Authorising City Airport Director to Exercise
Option to Purchase 12.7E Acres of Land
Responsible Department: Legal
This item would authorize the City Airport Director to exeraise an
option under a agreement with Charles W. Sprague, Sr. to acquire
13+ acres of land off the back and of Mr. Sprague's Downing Road
Property, Tax map R-5, Lot 7. it is contemplated that the
additional land, when acquired, will be leased to the Maine Air
National Guard in exchange for fire protective and other services to
BIA under a joint use agreement, currently being negotiated. A
copy of the original Option Agreement, approved by the City Council
on January 13, 1992, is attached.
Associated Information: Order, Option Agreement
Budget Approval:
Legal Approval:
Finance Director
solicitor
Introduced For
Passage
First Reading
Referral Page 1 of 8
92-492
A ipmA to Councflo, Saxl October 26, 1992
CITY OF BANGOR
(TITLE) Aprbert _, _ Authorizing CiI 11 ty Airport Director to
Exercise Option to purchase 12.78 Acres of Land
By W Civ Coaam7 of W Civ OfBasysr:
ORDERS%
THAT
the City Airport Director is hereby authorized to
take all steps necessary to exercise a certain option and to
acquire a 13+ acre parcel of land for addition to Bangor
International Airport as provided in a "Real Estate Option
Agreement" between the City of Bangor and Charles W. Sprague,
Jr., dated December 19, 1991. The Airport Director is further
authorized to acquire less than the full 13± acres described in
said Option Agreement, if agreed to by the parties and if
consistent with the needs of the Airport..
IN CITY COUNCIL
October 26, 2992
P ed
CIT ER%
92-692
O RN ER
Title,
Au[hoilzivg City. Alrpart USrectoi co
Exercise Option to Purchase 12.]8 Acres
of Lend
..............................
G.
eta
REAL ESTATE OPTION AGREEMENT
CHARLES W. SPRAGUE, JR., of 1702 Union Street, Bangor,
Penobscot County, Maine (hereinafter "OPTIONOR"), in consideration
of Fifteen Thousand Dollars ($15,000.00), the receipt of which is
hereby acknowledged, hereby grants to the CITY OF BANGOR, a
municipal corporation organized and existing under the laws of the
State of Maine and having a principal place of business at Bangor,
Penobscot County, Maine (hereinafter "BANGOR") an option to
purchase, upon the terms and conditions set forth below, the
following described property of the OPTIONOR located in Bangor,
Penobscot County, Maine:
PROPERTY[ A parcel of 13 acres, more or less, to be
surveyed, consisting of a rectangular lot approximately
1712 feet by 330 feet o££ the southwesterly end of
OPTIONOR'S property described in Volume 1496, Page 93,
Penobscot Registry of Deeds, and lying northwesterly of and
adjacent to land of BANGOR described in Volume 4866, Page
76, Penobscot Registry of Deeds, previously purchased from
the OPTIONOR.
The parcel to be conveyed is further depicted an a sketch attached
to this Agreement as "Exhibit A".
TERNS: This Option is granted subject to the following
terms and conditions:
1.
0
D[i0n Period. Unless sooner exercised by BANGOR, this
Option shall expire on Sanuary 1, 1995.
2. Exercise of Option. BANGOR or its successors Or
assigns may exercise the option herein granted by giving written
notice of its intent to exercise to the OPTIONOR, his successors,
heirs or assigns on or prior to December 31, 1994. Such notice
shall be effective if delivered to the OPTIONOR at the OPTIONOR's
address stated above. Thereafter, the parties shall schedule a
closing at a mutually convenient date, which may be after
expiration of the option period. If a date for closing cannot be
mutually agreed upon, a closing shall take place sixty (60) days
from the date of delivery of BANGOR's notice to the OPTIONOR, or on
the first business day after such date.
3. Purchase Price. The purchase price for land subject to
this Option shall be Ten Thousand Seven Hundred Dollars
($10,700.00) per acre of land actually conveyed, to be paid by
BANGOR t0 the OPTIONOR in Cash at closing.
4. Option be Credited t h At closing,
BANGOR shall receive credit against the purchase price for the
land conveyed in the amount of $15,000.00 representing the option
price paid for the option granted herein. Except as provided in
Paragraph 10 below, the option price paid shall otherwise be
non-refundable.
92-692
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5. Tvoe of C Conveyance shall be by warranty
deed to BANGOR from OPTIONOR. BANGOR shall prepare all necessary
deeds, following survey, subject to approval by OPTIONOR's
attorney.
6. .5urvev. Prior to closing, BANGOR shall, at its sole
expense, survey the premises and mark the corners of the land to be
conveyed. BANGOR shall have the right to enter onto the premises
at a convenient time or times for this purpose.
]. variation in Acreage. Prior to closing on the option
premises, the parties may agree to a conveyance of more or less
acreage than provided herein. In such event, said conveyance shall
be subject to the terms and conditions of this Agreement. If the
parties fall to specify a different acreage, the parcel to be
conveyed following an exercise of the option granted herein shall
be the thirteen (13) acre parcel described above.
B. Adjustment of Purchase Price. Upon exercise of this
Option, BANGOR may, in its sole discretion, elect to have the
option parcel or other parcel to be conveyed appraised by a
qualified appraiser of BANGOR's selection. Upon appraisal, BANGOR
may, in its sole discretion, adjust the purchase price for the
option parcel or other parcel to be conveyed upward to reflect the
appraised market value of such parcel at the time of closing. The
purpose of his paragraph being to permit BANGOR, in its sole
discretion, to take such steps as may be necessary to satisfy
regulatory requirements of the United States of America and the
Federal Aviation Administration relating to acquisition of real
property with Federal funds.
9. Taxes. OPTIONOR shall he responsible to pay all taxes
and assessments duly assessed on the option parcel by any
governmental authority through the date of closing on any land
conveyed pursuant to this Option Agreement. Prepaid taxes as to
land actually conveyed shall be prorated between SELLER and BANGOR
as of the date of closing.
10. Hazardous Wastes. At closing, OPTIONOR shall supply
an affidavit to BANGOR detailing OPTIONOR's knowledge of the extent
of hazardous wastes on the premises to be conveyed. 'Hazardous
wastes" shall consist of any material defined as hazardous wastes
under any Federal or State law. In the event BANGOR's pre-closing
survey or OPTIONOR's affidavit shall indicate the presence of
hazardous wastes on the premises, BANGOR shall have the right in
its sole discretion to void this Agreement without payment of the
purchase price and without further obligation to OPTIONOR. In such
event, BANGOR Shall be entitled to a refund of the option price.
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11. Damage Claims. OPTIONOR hereby agrees that OPTIONOR's
acceptance of the purchase price at closing shall constitute a full
and final release of any and all claims of the OPTIONOR for damages
_ on account of severance, or on account of activities of BANGOR, its
surveyors, agents or anyone acting in BANGOR'S behalf, in or about
the premises prior to the date of closing, such release to include
claims for trespass, damage to standing timber or realty, personal
or other injury, governmental limitation on OPTIONOR's use of the
premises, damage to adjoining premises of the OPTIONOR, or any
other related claim or cause. OPTIONOR agrees to execute and -
deliver at closing any necessary releases in this regard.
12. Certificate to Issue. BANGOR agrees to execute and
deliver to the SELLER at closing a certificate that SELLER's sale
of the premises is made in lieu of and under threat of condemnation
by the City of Bangor, as a local municipal government acting in
its governmental capacity. BANGOR further agrees to supply such
additional written evidence as may be necessary to satisfy the
United States Internal Revenue Service in this regard.
13. 0 N t t C Permanent
Improvements.
During the option period, OPTIONOR shall not erect or construct any
buildings or other permanent improvements of any kind upon the
option parcel) and if the OPTIONOR shall construct any such
buildings or improvements, BANGOR may enter onto the option parcel
for the purpose of removing the same. In the event of an exercise
of eminent domain by BANGOR or other governmental authority with
respect to the option parcel or any portion thereof, or upon
closing with respect to any portion of the option parcel conveyed
to BANGOR in accordance with this Option Agreement, OPTIONOR shall
make no claim for compensation or damages on account of the taking,
acquisition, demolition or removal of improvements erected or
constructed on the option parcel in violation of this clause.
14. Optioncr Not to Commit Waste. During the option
period, OPTIONOR shall not commit, suffer or permit any waste or
destruction of the option parcel. Provided, however, that haying,
agricultural use, and selective -cut harvesting of timber and
firewood now standing on the option parcel shall not constitute
waste under this paragraph. The phrase "selective -cut harvesting"
shall be deemed to permit the cutting of any standing tree with a
diameter of five inches (5") or greater, as measured at a point
four (4) feet above ground level. All other timber now standing
upon the option premises shall be left intact. Accidental
destruction by fire, flood or other event beyond OPTIONOR'S control
also shall not constitute waste under this paragraph. OPTIONOR
shall also keep the option parcel free of junked or abandoned
automobiles, slash, or ether junk or debris during the option
period. It being the intention of this Agreement that the option
parcel shall remain as nearly as possible in its present condition
during the option period.
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15. o tionor Not t0 COnveV Or EnCumber Title. During the
option periotl, OPTIONOR shall not voluntarily convey, mortgage or
otherwise encumber the option parcel or any portion thereof,
without BANGOR'S prior written consent.
16. 0tion B' d'n on OPotionor's Successors The Option
granted under this paragraph shall be binding upon the OPTIONOR,
his successors, heirs and assigns.
17. Aae ts. The parties hereby mutually represent that
neither has employed a real estate agent or broker to obtain this
Option Agreement. OPTIONOR and BANGOR have each employed separate
legal counsel with respect to this sale.
18. Ratification ReOuired. This Agreement is executed by
BANGOR's undersigned Acting City Solicitor as a negotiating agent
only, and shall be deemed binding only upon ratification by the
Bangor City Council or the responsible Committee thereof.
WITNESS the following signatures and seals this MA day
of December, 1991.
CHARLES W. SP U8, VJK.
CITY OF BANGOR
By �I
Titlei S 1' 'tor
STATE OF MAINE
Penobscot, as. December /�% , 1991
Then personally appeared the above-named CHARLES W.
SPRAGUE, JR., and acknowledged the foregoing instrument to be his
free act and deed.
Before me,
�JJg_lI
Notary P:Name:
amePrinted Name:
6JY.... ._
-5-
Penobscot, as. — STATE OF SAM December /9 , 1991
Then personally appeared the above-named ERI% M. STOMPFEL,
In his capacity as Acting City Solicitor, and acknowledged the
foregoing instrument to be his free act and deed in his said
capacity, and the free act and deed of said body corporate.
Before me,
Notary PublicAAttev
Printed Name:
rarles W. SPregue,Jr.
OPTION PARCEL
13 acres m/i
I
City of I
Per Vol.
p