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HomeMy WebLinkAbout2006-03-13 06-114 ORDERItem No, 06 114 Date: 3-13-06 Item/Subject: Order, Authodang Execution of a Purchase Option Agreementwlth Me YMCAfor Property Located at 58 Court Street Responsible Department: City Manager The City Council has authorized negotiations with the YMCA regarding Me purchase of the property at 58 Court Street for use as a parking lot in support of their facility at the comer of Hammond and Court. Those negobetions are now at the point where the attached option agreement Is ready for Committee review and recommendation to the full Council. The major terms of the agreement include: ❑ Apurchase option running until June 30, 2006 ❑ A purchase price of $10,000 ❑ TIC Committee of approval of Me site plan for the parking lot ❑ A requirement Mat all land development codes be met This will Involve rezoning the property and Planning Board approval of the she plan ❑ Building demolition and parking construction M begin on or before July 1 and be completed on or before September 30, 2006. This agreement has been reviewed and is recommended by the Transportation and Infrastructure Committee. Associated Information: Option Agreement Department Head /� l_J:.: D r� Finance Director Legal Approval: ad( Solicitor _Lt Passage _ First Reading page _ of _ Referral 08 114 Annignedto Councikr O'Errico Nareh 13, 2006 CITY OF BANGOR (TITLE.) ORDER, Order, Authorizing Execu on of a Purchase Option Agreement with the YMCA far Property Located at 58 Court Sheet. BE IT ORDERED BY THE QTY COUNCIL OF THE CITY OF BANGOR THAT The City Manager is hereby authorised to execute a purchase option agreement, a copy of which is attached hereto, with the YMCA her property located at 58 Court Street. IN CITY CO il. !larch 13, 2006 ffitioo Node and Seconded p e6-116 for Passage _ r Yused CL BP6 [rITLBr) <r tM1nrivineg mee tiun of a 1 Purchase O tiou Agreement with the YNCA e Pcypexty Lora a at 58 Court Street f� 1 A goed0 Couotlloa iWAfr 06-116 PURCHASE OPTION AGREEMENT AND DEVELOPMENT OF 58 COURT STREET This Agreement made this Is/ day of Mouoa 2006 by and between the City of Bangor, a municipal corporation, duly organized and existing under the laws of the State of Maine having a place of business at 73 Harlow Street, Bangor, Maine 04401 (hereinafter CITY), and the Young Men's Clunsfian Association, duly organized and existing under the laws of the State of Maine having a place of business at, Bangor, Maine 04,401 (hereinafter YMCA). Section A. Grant of Option 1. Grant of Option: The CITY grants to and the YMCA accepts an exclusive option to purchase property located at 58 Court Street in Bangor for the purpose of demolition of an existing budding and construction of a parking lot. Said development shatl in accordance with the terms and conditions of Us Option Agreement. 2. Premises Subiect to Option: Exhibit A. (hereinafter the Property) 3. Option Period. This option shall run from March 15, 2006 until lune 30, 2006 or until such later data w the parties may agree. 4. Exercise of Option. Provided that the YMCA is not in default of any of the teras and conditions of this agreement, the YMCA may exercise this option and acquire the subject property, by giving written notice of its intent to do so to the CITY at any time during the option period. Such notice shall be efiective if delivered to the CITY'sof'ice at One CITY's address stated above. Thereafter, the parties shall schedule a closing at a mutually convenient data, which may be after the expiration of the option period. If a date for closing can not be mutually agreed agent, a closing shall take place no later than sixty (60) days from the data of delivery of YMCA's notice to CITY, or (be first business day after such date. 5. Purchase Rica The purchase price for the property subject to this Option Agreement shall be the sum of$30,000, 6. Twe of Convexance Conveyance shall be by Quitclaim Deed with Covenant to YMCA from CITY. CITY shall prepare the memory Deed, subject to approval by YMCA's attorney. CHY shall convey title under this nomograph to YMCA Gee and clear of all encumbrances except customary public utility easements serving the premises, and any other casements of public record, and shall be subject to applicable wring and land use laws and regulations. M-116 T CITY Nat to Crater" or Encumber Tide. During the term of the option period, CITY shall not voluntarily convey, mortgage or otherwise etwumber the option property or any portion thereof, without YMCA's prior written consent. Sayan B. Conditions Precedent to Exercise of Option and Conveyance to YMCA L Submission of Plans. On or before May 30, 20M and prior in submission to the City of Bangor Planning Board, the YMCA shall submit a site plan to the City's Transportation and Infrastructure Commit4e. The site plan shall comply in all respects with all applicable Codes and Ondmances of the City of Bangor and, in particular, with the requirements of the City's Land Development Code. 2. Approval of Plans. All plans shall be submitted to the City Manager of the CITY. All plans shall he reviewed by City Staff. Said plans shall be reviewed and approved by the City's Transportation and Infrastructure Committee. 3. Planning Board Approval. The YMCA shall obtain approval of its site plan from the City of Bangor Planning Bond on or before Jane 15, 2006. 4. Permit 12eauirement. Prior to exercising the Option granted berein, the YMCA shall obtain, and provide setisfacmry, evidence to the CITY of every permit, license and governmental approval necessary for the commencement and completion of the development provided for herein. Section C. l2gvditions Subsequent to the City's Convevance of the Proverty to the YMCA. L Completion Date. The YMCA shall begin the demolition of the building and construction of do parking lot on or before July 1, 2006 and shall complete the same on or before September 30, 2006. 2. Title Reversion Prior to Countedon. In the event that the YMCA; a. shall default in or violate its obligations with respect to the construction of the Improvements (including the rnmre and the dams for the beginning and completion thereof), or shall abandon or substantially suspend construction wank, and any such default, violation, abandonment, or suspension is not cured, ended, or remedied within three (3) months after written demand by the CITY to do so; or b. shall place thereon any encumbrance or lien, or shall suffer any levy, or attachment to be made, or any materiaimen's or mechanic's lien, or any other nauthorized encumbrance or lien to attach, and the encumbrance or lien is not removed or discharged or provision made, satisfactory to the CITY, for such payment, removal, or discharge, within thirty (30) days after the CITY'S written demand to do so; or c. shall make any assignment for the benefit of creditors or a receiver or similar officer shall be appointed to rake charge of all or any substantial pan of the YMCA's property, and such assignment or appointment is not dismissed or released within thirty (30) days of the date the assignment or appointment is made then the CITY shall have the right to reenter and take possession of the Premises and to terminate and reveal th the CIN the curve ¢ante conveyed by the Deed to the YMCA as if no Deed had ever been given; it being the intent of this provision that the conveyance of the Premises to the YMCA shall be made upon the condition that in the event of any default, failure, violation, or other action or inaction by the YMCA specified in this Agreement, and faJure on the part of the YMCA to remedy, end, or abrogate such default, filure, violation, or other action or inaction, within the period and in the manner stated in this Agreement, the CITY, at its option, may declare a termination in Over of the CITY of the tide and of all the rights and interest in and to the Premises, and that such title and all rights and interest of the YMCA, and any assigns or successors in interest to and in the Premises, shall revert to the CITY. The CITY shall have the right to institute such actions or proceedings as it may occur desirable for effectuating the purposes of this Section including also the right to execute and record or file among the public land records in the office in which the Deed is recorded a contest declaration of the termination of all right, title and interest of the YMCA, its successors in interest and assigns in the Premises and the westing of fide in the CITY; provided, however, that any delay by the CITY in instituting or prosecuting any such sedans or proceedings or otherwise asserting its rights under this Agreement shall not operate as a waiver of such rights or to deprive it of or limit such rights in any way. Dated: 3-sS -O G+ CITYOFBANGOA AJliness Edward A. VVV Barred CityManager Da .3� YOUNG M E N' S CHRISTIAN ASSOCIATION W Name: P. E% Title: C.E.O.