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Res 21-09i ~o~~ To: Ferline Mesidort, Community Development Specialist CC: Terrill Pyburn, Assistant City Attorney File From: Kimberly Wynn, Executive AssistantlAgenda Coordinator ~'~ Date: 6/812009 Re: Contract for Sale and PurchaselResolution Nok 21-09146 N.W. 12th Avenue Attached please find one {I} fully executed original Contract for Sale and Purchase and Resolution No. 21-09 with dinette Louis for the Property located at 46 N.W. 12th Avenue. An executed copy has been maintained in Clerk's Department. This item was approved on the June 2, 2009 Regular Commission Meeting; Item IO.S. and 1O.B.1. Please call me at 243-7059 if you have any questions. Thanks KWlkw Attachments {.:.L'1'~ ~; L};~ ~. h~. i:I F~ ~~'~ ~ `t". E fit'!' 1 RESOLUTION NO. 21-09 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, AUTHORIZING THE CITY TO SELL TO BI.:~S~ER CERTAIN REAL PROPERTY IN PALM BEACH COUNTY, FLORIDA, AS DESCRIBED HEREIN, HEREBY INCORPORATING AND ACCEPTING THE CONTRACT STATING THE TERMS AND CONDITIONS FOR THE SALE AND PURCHASE BE'T'WEEN THE BUYER AND THE CITY OF DELRAY BEACH, FLORIDA. WHEREAS, the City of Delray Beach, Florida, wvishes to sell certain property located at 46 NW 12t~ Avenue; and WHEREAS, the Buyer hereinafter named desires to buy the property hereinafter described from the City of Delray Beach, Florida; and WHEREAS, it is in the best interest of the City of Delray Beach, Florida, to sell said property. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, AS FOLLOWS: Section 1. That the City Commission of the City of Delray Beach, Florida, as Seller, hereby agrees to sell to Ginette Louis, as Buyer, far the purchase price of One Hundred Sixty-Two Thousand Dollars and 00100 cents {$162,000.00}, said property being described as fallaws: Lot 28, Block 1, ATLANTIC PARK GARDENS, according to the map or plat thereof as recorded in Plat Book 14, Page 56, Public Records of Palm Beach County, Florida. coon 2. That the terms and conditions contained in the contract for sale and purchase and addenda thereto between the City of Delray Beach, Florida, and the Buyer as hereinabove named are incorporated herein as Exhibit "A". N~ PASSED AND ADOPTED in regular session on the ~ day of~ `~l~M}-~. , 200. ATTEST: City Clerk MAY CONTRACT FOR SALE AND PURCHASE PARTIES: CITY OF DELRAX BEACH, a Florida municipal corporation, 140 N.W. let Avenue, Delray Beach, FL 33444 {phone: 561-243-7004}, {°Seller°}, and DINETTE LOUIS,{°Buyer"}, 133 SW 15th Avenue, #9, Delray Beach, Florida 33444 {phone: 561- 305-9798}, hereby agree that the Seller shall sell and Buyer shall buy the following described Real Property and Personal Property {collectively "Property"} upon the following terms and conditions, which INCLUDE the Standards for Real Estate Transactions {"Standard{s}"} on the reverse side hereof or attached hereto and riders and any addenda to this Contract for Sale and Purchase C"Contract°}. I. DESCRIPTION: {a} Legal description of the Real Property located in Palm Beach County, Florida: Lot ,28, Block 1, ATLANTIC PARR GARDSN'3, according the map or plat thereof as recorded zn PZat Book Z4, Page 56, Public Records of Palm Beach County, Florida. Property Control No. 12-43-46-17-18-041-4284 {b} Street address, city, zip, of the Property is: 46 NW 12th Avenue, Delray Beach, Florida 33444 II . PURCHASE PRICE $ 162, 440.00 FAYMENTz {a} Deposit{s} to be held in escrow by Steven Rubin, P.A. Trust Account in the amount of $ 3,000.00 {b} Balance to close shall be paid in the form of U.S. Cash or a LOCALLY DRAWN certified or cashier's Check, subject to adjustments or prorations $ 159,000.00 III. TIME FOR ACCEPTANCE] EFFECTIVE DATE; FACSIMILE: If this offer is not executed by and delivered to all parties OR FACT OF EXECUTION communicated in writing between the parties on or before June 1, 2409, the deposit{s} will, at Buyer's option, be returned and this offer withdrawn. The date of Contract {"Effective Date"} will be the date when the last one of the Buyer and the Seller has signed this offer. A facsimile copy of this Contract and any signatures thereon shall be considered for all purposes as originals. IV. TITLS EVIDENCE: Within thirty {30} days from the Effective Date of this Contract, {CHECK ONLY ONE}; Seller shall, at Seller"s expense, deliver to Buyer or Buyer's attorney; OR X Buyer shall at Buyer's expense obtain tCHECK ONLY ONE}; abstract of title or X title insurance commitment twith legible copies of instruments listed as exceptions attached thereto} and, after closing, an owner's policy of title insurance. V. CLOSING DATE: This transaction shall be closed and the deed and other closing papers delivered within one hundred twenty {124} calendar days following the execution of this Contract, unless modified by other provisions of Contract. VI. RESTRICTIONS; EASEMENTS; LIMITATIONS: Buyer shall take title subject to: comprehensive land use plans, zoning, restrictions, prohibitions and other requirements imposed by governmental authority; restrictions and matters 1 VII, appearing on the plat or otherwise Gammon to the subdivision; public utility easements of retard (easements are to be located contiguous to Real Property lines and not more than l~ feet in width as to the rear or front lines and 7-1J2 feet in width as to the side lines, unless otherwise stated herein}; taxes for year of closing and subsequent years; assumed mortgages and purchase money mortgages, if any {if additional items, see addendum}; provided that there exists at closing no violation of the foregoing. VIII. OCCUPANCY: Seller warrants there are no parties in occupancy other than Seller; Seller shall deliver occupancy of Property to Buyer at time of closing subject to Paragraph XI E. IX. TYPEWRITTEN flR HANDWRITTEN FROVISIONS: Typewritten or handwritten provisions, riders and addenda shall control all printed provisions of this Contract in conflict with them. X. ASS2GNABILITY: {CHECK ONLY ONE}: Buyer {1} _may assign and thereby be released from any further liability under this Contract; _may assign but not be released from liability under this Contract; or X may not assign this Contract. XI. DISCLOSURES: {a} Radon is a naturally occurring radioactive gas that, when accumulated in a building in sufficient quantities, may present health risks to persons who are exposed to it over time. Levels of radon that exceed federal and state guidelines have been found in buildings in Florida. Additional information regarding Radon or Radon testing may be obtained from your County Public Health unit. {b) Buyer may have determined the energy efficiency rating of the residential building, if any is located an the Real Property. XII. SPECIAL CLAUSES; ADDENDA: If additional terms are to be provided, attach addendum and CHECK HERE X . CITY OF DELRAY BEACH DINETTE LOUIS By: By: Date Date Print Name: Print Namec Tax ID No. Tax ID No. 2 SELLER: CITY OF DELRAY BEACH, a Florida municipal corporation BUYER: DINETTE LOUIS, 133 SW 15th Avenue, #S, Delray Beach, FL 33444 PROPERTY ADDRESS: 46 NW 12~h Avenue, Delray Beach, Florida 33444 XI. SPECIAL CLAUSES; ADDENDA {Continued}: A. FOREIDN INVESTMENT IN REAL PROPERTY TAX ACT {''FIRPTA'"}: The parties shall comply with the provisions of Internal Revenue Code Section 1445 and applicable Treasury Regulations issued thereunder. If the Seller is a U.S. person for Internal Revenue Code Section 1445 purposes, then on demand of the Buyer and prior to closing the Seller shall provide the Buyer with a certificate of non- foreign status in the manner provided in Treasury Regulations Section 1.1445-2. If the Seller provides the Buyer with such certificate, and if the Buyer is otherwise permitted to rely on such certificate under those Regulations, the Buyer shall not withhold under Internal Revenue Code Section 1445. If the Seller is a "foreign person' as defined by the Internal Revenue Code, the Buyer generally is required to withhold 10~ of the gross sales price from the Seller at closing and to pay the withheld amount over to the Internal Revenue Service {IRS} unless an applicable exemption from withholding or a limitation on the amount to be withheld is available. To the extent that the cash to be paid over to the Seller at closing is insufficient to cover the Buyer's withholding obligation, the Seller shall provide to the Buyer at closing cash equal to such excess far purposes of making such withholding payment. If the Seller's federal income tax on the gain is less than the applicable withholding amount, the Seller may make advance application to the IRS for reduced withholding and, if granted, the Buyer shall withhold only the authorized reduced amount. If such ruling has not been received by closing, the parties at closing shall enter into an escrow agreement reasonably satisfactory to the Buyer and Seller pending receipt of the ruling, provided that at closing the Seller shall have the obligation to provide to the escrow agent from the closing proceeds {or from the Seller's other resources if necessary} cash equal to the maximum required withholding, with any excess withholding being refundable to the Seller upon receipt of a favorable ruling from the IRS. Buyer and Seller understand that the IRS requires the Buyer and the Seller to have a U.S. federal taxpayer identification number and to supply that number on the foregoing forms, A foreign individual may acquire an International Taxpayer Identification Number for this purpose. Since it may take several weeks to receive the number after application and the IRS will not process these forms without the actual number, a party lacking a TIN is advised to apply immediately. B. The Buyer shall have sixty (60} calendar days within which to conduct any and all feasibility studies and determinations relative to the suitability for the acquisition of the subject property by the Buyer and the Buyer reserves the express right to terminate this Contract at any time during said period for any reason or no reason, in Buyers sale discretion, whereupon Buyer shall receive a full refund of all deposit monies paid hereunder. Buyer shall be granted reasonable access to the premises to conduct such feasibility studies and 3 determinations, including environmental assays, core drilling, surveys, soil sampling and other such testing. C. This Contract is expressly contingent and conditioned upon the approval of the same by the City Commission of the City of Delray Beach, D. The parties represent and warrant that there is no broker involved in this transaction to whom a commission would be due. B. The following items shall not be included with the property: 1. Washer/Dryer 2. Dishwasher 3. Stoveloven/Range 4. Refrigerator 5. Carpet for 3 bedrooms 6. Microwave 7. Blinds Seller agrees to provide a Six Thousand Five Hundred Dollar t$6,500.00} gift card to Home Depot for Buyer to be able to purchase and install the above- listed items independently. 4 A. EVIDENCE OF TZTZ,E: {i}An abstract of title prepared ar brought Current by a reputable and existing abstract firm {if not existing then certified as correct by an existing firm) purporting to be an accurate synopsis of the instruments affecting title to Real Property recorded in the public records of the county wherein Real Progeny is located, through Effective Date. It shall commence with the earliest public records, or such later date as may be customary in the county. Upon closing of this Contract, the abstract shall become the property of Buyer, subject to the right of retention thereof by first mortgagee until fully paid. (2} A title insurance commitment issued by a Florida licensed title insurer agreeing to issue to Buyer, upon recording of the deed to Buyer, an owner's policy of title insurance in the amount of the purchase price, insuring Buyer's title to Real Property, subject only to liens, encumbrances, exceptions or qualification provided in this Contract and Chose which shall be discharged by Seller at or before closing. Seller shall convey a marketable title subject only to liens, encumbrances, exceptions or qualifications set forth iri Contract. Marketable title shall be determined according to applicable Title Standards adopted by authority of The Florida Bar and in accordance with law. Buyer shall have 30 days, ff abstract, ar 5 days, if title commitment, from date of receiving evidence of title to examine it. Zf title is found defective, Buyer shall, within 3 days thereafter, notify Seller in writing specifying defects}. Zf the defect(s) render title unmarketable, Seller will have 36 days from receipt of notice to remove the defectts}, failing which Buyer shall, within five (5} days after expiration of the thirty (30} day period, deliver written notice to Seller either: (1} extending the time for a reasonable period not to exceed 120 days within which Seller shall use diligent effort to remove the defects; or (2}requesting a refund of deposit (s} paid which shall immediately be returned to Buyer. Zf Buyer fails to so notify Seller, Buyer shall be deemed to have accepted the title as it then is. Seller shall, if title is found unmarketable, use diligent effort to correct defect (s} in title within the time provided therefor. If Seller is unable to timely correct the defects, Buyer shall either waive the defects, or receive a refund of deposit{s), thereby releasing Buyer and Seller €rom all further obligation under this Contrast. ~a;~ ~k~~n~n C. SURVEY: Buyer, at Buyer's expense, within time allowed to deliver evidence of title, may have Real Property surveyed and certified by a registered Florida surveyor. If the survey discloses encroachments on the Real Property or that improvements located thereon encroach on setback lines, easements, lands of others, or violate any restrictions, Contract covenants ar applicable governmental regulation, the same shall constitute a Citle defect. E. ZNGRES8 AND EGRESS: Seller warrants and represents that there is ingress and egress t0 the Real Property sufficient for the intended use as described in Paragraph vi hereof, title to which is in accordance with Standard A. G. LZENSa Seller shall furnish to Buyer at time of closing an affidavit attesting to the absence, unless otherwise provided for herein, of any financing statements, claims of lien ar potential lienors known to Seller and further attesting that there have been no improvements or repairs to Property for 90 days immediately preceding date of closing. If Property has been improved, or repaired within that time, Seller shall deliver releases or waivers of mechanics' liens executed by all general contractors, subcontractors, suppliers, and materialmen in addition to Seller's lien affidavit setting forth the names of all such general contractors, subcontractors, suppliers and materialmen and further affixming that all charges far improvements or repairs which could sews as a basis far a mechanic's lien or a claim for damages have been paid or will be paid at claaing of this Contract. attorney or other closing agent designated by Seller. I. TIME: in computing time periods of less than six (6} days, Saturdays, Sundays and state or national legal holidays shall be excluded. Any time periods provided for herein which shall end on Saturday, Sunday or legal holiday shall extend to 5:40 p.m. of the next business day. Time is of the essence in this Contract. J. DOCUMENTS FOR CLOSING: Seller shall furnish deed, bill of sale, construction lien affidavit, owner's possession affidavit, and corrective instruments. Buyer shall furnish closing statement. X. BXPENSE3: Documentary stamps on the deed and recording corrective instruments shall be paid by Seller. Documentary stamps and intangible tax an the purchase money mortgage and any mortgage assumed, and recording of purchase money mortgage to Seller, deed and financing statements shall be paid by Buyer. Unless otherwise provided by law or rider to this Contract, charges for the following related title services, namely title or abstract charge, title examination, and settlement and closing fee, shall be paid by the party responsible for furnishing the title evidence in accordance with Paragraph IV. L. PROBATIONS; CREDITS: Taxes, assessments, interest, insurance and other expenses and revenue of Property shall be prorated through day before closing. Buyer shall have the option of taking aver any existing policies of insurance, if assumable, in which event premiums shall be prorated. Cash at closing shall be increased or decreased ae may be required by prorations to be made through day prior Co closing or occupancy if occupancy occurs before closing. Advance rent and security deposits will be credited to Buyer. Escrow deposits held by mortgagee will be credited to Seller. Taxes shall be prorated based on the current year's tax with due allowance made for maximum allowable discount, homestead and other exemptions. If closing occurs at a date when the current year's millage is not fixed, and current year's assessment is available, taxes will be prorated based ugon such assessment and Che prior year's millage. If current year's assessment is not available, Chen taxes will be prorated on the prior year's tax. If there are completed improvements on Real Property by January lot of year of closing, which improvements were not in exisCence on January let of the prior year, then taxes shall be prorated based ugon the prior year's millage and at an equitable assessment to be agreed upon between the parties, failing which, request will be rc~ade to the GounCy Property Appraiser for an informal assessment taking into consideration available exemptions. Any tax proration based an an estimate shall, at request of either party, be readjusted upon receipt of tax bill on condition that a atatemenC to that effect is signed at closing. M. 3PECZAL ASSESSMENT LIENS: Certified, confirmed and ratified special assessment liens as of date of closing {not as of Effective Date} are to be paid by Seller. Pending liens as of date of closing shall be assumed by Buyer. If the improvement has been substantially completed as of Effective Date, any pending lien shall be considered as certified, confirmed or ratified and Seller shall, at closing, be charged an amount equal to the last estimate of assessment for the improvement by Che public body. C..__ _._ ~. __. , , P. PROCEEDS OF SALEr CLOSING PROCEDURE: The deed shall be recorded upon clearance of funds. 1f an abstract of title has been furnished, evidence of title shall be continued at Buyer's expense to show title in Buyer, without any encumbrances or change which would render Seller's title unmarketable from the date of the last evidence. All closing proceeds shall be held in escrow by Seller's attorney or other mutually acceptable escrow agent far a period of not more than 5 days after closing date. If Seller's title ie rendered unmarketable, through no fault of Buyer, Buyer shall, within the 5 day period, notify Seller in writing of the defeat and Seller shall have 34 days from date of receipt of such notification to cure the defect. If Seller fails to timely cure the defect, all deposit (s} shall, upon wriCten demand by Buyer and within 5 days after demand, be returned Ca Buyer and simultaneously with such repayment, Buyer shall return Personalty and vacate Real Property and reconvey Che Property to Seller by special warranty deed and bill of sale. If Buyer fails to make timely demand for refund, Buyer shall take title as is, waiving all rights against Seller as to any inCervening defect except as may be available to Buyer by virtue of warranties contained in the deed or bill of sale. Yf a portion of the purchase price is to be derived from institutional financing or refinancing, requirements of Che lending institution as to 6 p. place, time of day and procedures for closing, and for disbursement of mortgage groceeds shall control over contrary provision in this Contract, Seller shall have the right to require from the lending institution a written commitment that it will not withhold disbursemenC of mortgage proceeds as a result of any title defect attributable Co Buyer-mortgagor. The escrow and closing procedure required by this Standard may be waived if title agent insures adverse matters pursuant to Section 62?.?$41, F.S „ as amended. R. ESCROW: Any escrow agent {~~R~enC"} receiving funds or equivalenC is authorized and agrees by acceptance of them to deposit them promptly, hold same in escrow and, subject to clearance, disburse them in accordance with terms and conditions of Contract, Failure of clearance of funds shall not excuse Buyer's performance. If in doubt as to Agent's duties or liabilities under the provisions of Contrast, Agent may, at Agent's option, continue to hold the subject matter of the escrow until the parties hereto agree to its disbursement, or until a judgment of a court of competent jurisdiction shall determine the rights of the parties or Agent may deposit with the clerk of the circuit court having jurisdiction of the dispute. Upon notifying all parties concerned of such action, all liability on the part of Agent shall fully terminate, except to the extent of accounting for any items previously delivered out of escrow. If a licensed real estate broker, Agent will comply with provisions of Chapter 475, F.S., as amended. Any suit between Buyer and Seller where Agent is made a party because of acting as Agent hereunder, or in any suit wherein Agent interpleads Che subject matter of the escrow, Rgent shall recover reasonable attorneys" fees and costs incurred with these amounts to be paid from and out of the escrowed funds or equivalent and charged and awarded as court costs in favor of the prevailing party. The Agent shall not be liable Co any party or person for misdelivery to Buyer ar Seller of items subject to this escrow, unless such misdelivery is due to willful breach of Contract or gross negligence of Agent. S. ATTDRNEY FEES; COSTS: in any litigation, including breach, enforcement or interpretation, arising out of this Contract, the prevailing party in such litigation which, for the gurposes of this Standard, shall include Seller, Buyer, and any brokers acting in agency or nonagency relationships authorized by Chapter 4?5, F.S., as amended, shall be entitled to recover from the non-prevailing party reasonable aCtorney's fees, costs, and expenses. T. FAILURE OF PERFQRMANCE: Except as provided in Paragraph XSI, if Buyer fails to perform this Contract within the time specified {including payment of all deposit{s}}, the deposit{e} paid by Buyer and deposit{s} agreed to be paid, may be recovered and retained by or far the account of Seller as agreed upon liquidated damages, consideration far the execution of this Contract and in full settlement of any claims; whereupon, Buyer and Seller shall be relieved of all obligations under Contract; or Seller, at Seller's option, may proceed in equity to enforce Seller's rights under Chis Contract, If, for any reason other than failure of Seller to make Seller's title marketable after diligent effort, Seller fails, neglects or refuses to perform this Contract, the Buyer may seek specific performance or elect to receive the return of Buyer's deposit{s} without thereby waiving any action for damages resulting from Seller's breach. U. CONTRACT NOT RECORDABLE; PERSONS BOUND; NOTICE: Neither this Contract nor any notice of it shall be recorded in any public records. This Contract shall bind and inure to the benefit of the parties and their successors in interest. Whenever the context permits, singular shall include plural and one gender shall include all. Notice given by or to the attorney for any party shall be as effective as if given by ar Co that party. V. CONVEYAHCSs Seller shall convey title to Real Property by statutory warranty, trustee s, personal representative s or guardian's deed, as appropriate to the status of Seller, subject only to matters contained in Paragraphs VI and XII and those otherwise accepted by Buyer. Personal Property shall, at request of Buyer, be transferred by an absolute bill of sale with warranty of Citie, subject only to such matters as may be otherwise provided for herein. W. OTNER ACiREEFfENTSt No prior or present agreements or representations shall be binding upon Buyer or Seller unless included in this Contract. No modification or change in this Contract shall be valid or binding upon Che parties unless in writing and executed by the party or parties intended to be bound by it. x. WARRANTIES: Seller warrants that there are no facts known to Seller materially affecting the value of the Property which are not readily observable by Buyer or which have not been disclosed to Buyer. 7 CITE ~F D~~RA~ B~~C~ DEFRAY BEACH CITY CLERK ~{}q N,U/, 1si AVENUE QELRAY BEACH, FLQR€QA 33444 All-America City ~ r ,99~ CERTIFI~ATIQN 2(?C}1 ti -"~' ~~~ ~` .~ • 561/243-7{}~0 1, CHEVELLE D. NUBIN, City Clerk of the City of Delray Beach, do hereby certify that the attached document is a true and correct copy of Resolution Nn. 2'1-09 is the same was passed by the Delray Beach City Commission in regular session on the 2"d of June 2009. IN WITNESS WHEREOF, I have hereunto set my hand and the official seal of the City of Delray Beach, Florida, on this the 5~ day of June, 2009. ~~ ~y Chevelle D, Nubin, CMG City Clerk City of Delray Beach, Florida {SEAL) ~ERVICE PERFORMANCE ,i.(~TEGRITY 1'~-ESPONSIBLE tNNC?VATIVE TEAMWORK CONTRACT FOR SALE AND FURCHASE PARTIES: CITY OF DELRAY BEACH, a Florida municipal corporation, 100 N.W. lit Avenue, Delray Beach, FL 33444 (Phone: 561-243-7000}, {"Seller"} and DINETTE LOUIS,("B~"}, 133 SW 15th Avenue, #9, Delray Beach, Florida 33444 {Phone: 561- 305-9798), hereby agree that the Seller shall sell and Buyer shall buy the following described Real Property and Personal Property (collectively "Property"} upon the following terms and conditions, which INCLUDE the Standards for Real Estate Transactions ("Standard(s}"} on the reverse side hereof or attached hereto and riders and any addenda to this Contract for Sale and Purchase ("Contract"). I. DESCRIPTION: (a} Legal description of the Real Property located in Palm Beach County, Florida: Lot 28, BZock Z, ATLANTIC PARR GARDENS, according the map or plat thereof as recorded is Plat Book Z4, Page 56, FubZic Records of Palm Beach County, FZorida. Property Control No. 12-43-46-17-18-001-0280 (b) Street address, city, zip, of the Property is: 46 NW 12°h Avenue, Delray Beach, Florida 33444 II. PTTRCIiASE PRICE $ 162,000.00 PAYMENT: (a} Deposit{s} to be held in escrow by Steven Rubin, P,A. Trust Account in the amount of $ 3,000.00 (b) Balance to close shall be paid in the form of U.S. Cash or a LOCALLY DRAWN Certified or cashier`s Check, subject to adjustments or prorations $ 154,000,00 III, TIME FOR ACCEPTANCE; EFFECTIVE DATE; FACSIMILE: If this offer is not executed by and delivered to all parties OR FACT OF EXECUTION communicated in writing between the parties on or before June 1, 2009, the deposit (s} will, at Buyer's option, be returned and this offer withdrawn, The date of Contract ("Effective Date""} will be the date when the last one of the Buyer and the Seller has signed this offer. A facsimile copy of this Contract and any signatures thereon shall be considered for all purposes as originals. IV. TITLE EVIDENCE: Within thirty (30} days from the Effective Date of this Contract, (CHECK ONLY ONE): -Seller shall, at Seller's expense, deliver to Buyer or Buyer's attorney; OR X Buyer shall at Buyer's expense obtain (CHECK ONLY ONE): abstract of title or X title insurance Commitment (with legible Copies of instruments listed as exceptions attached thereto} and, after closing, an owner's policy of title insurance, V. CLOSING DATE: This transaction shall be Closed and the deed and other closing papers delivered within one hundred twenty (120} Calendar days following the execution of this Contract, unless modified by other provisions of Contract. VI. RESTRICTIONS; EASEMENTS; LIMITATIONS: Buyer shall take title subject to: Comprehensive land use plans, zoning, restrictions, prohibitions and other 1 requirements imposed by governmental authority; restrictions and matters appearing on the plat or otherwise common to the subdivision; public utility easements of record (easements are to be located contiguous to Real Property lines and not more than 1(7 feet in width as to the rear ar front lines and 7-].j2 feet in width as to the side lines, unless otherwise stated herein}; taxes for year of closing and subsequent years; assumed mortgages and purchase money mortgages, if any {if additional items, see addendum}; provided that there exists at closing no violation of the foregoing. VII. QCCUPANCY; Seller warrants there are no parties in occupancy other than Seller; Seller shall deliver occupancy of Property to Buyer at time of closing subject to Paragraph XI E. VIII. TYPEWRITTEN OR HANDWRITTEN PROVISIONS: Typewritten or handwritten provisions, riders and addenda shall control all printed provisions of this Contract in conflict with them. IX. ASSIGNABILITY: {CHECK QNLY QNE}; Buyer {1} _may assign and thereby be released from any further liability under this Contract; may assign but not be released from liability under this Contract; ar X may not assign this Contract. X. DISCLOSURES: {a} Radon is a naturally occurring radioactive gas that, when accumulated in a building in sufficient quantities, may present health risks to persons who are exposed to it over time. Levels of radon that exceed federal and state guidelines have been found in buildings in Florida. Additional information regarding Radon or Radon testing may be obtained from your County Public'Health unit. {b} Buyer may have determined the energy efficiency rating of the residential building, if any is located an the Real Property. XI. SPECIAL CLAUSES, ADDENDA: If additional terms are to be provided, attach addendum and CHECK HERE X . CIT C}F tDELRAY BEACH ~ DINETTE LC7UIS 4 to /~ Date Print Name : ~ ~ Print Name : t ~'!~G'r~~"i ~~~~~ Tax ID No. Tax ID Na . ~~~ ~. ~ ~ ~ ~ ~~ 2 ADDENDUM TQ CQNTRACT FQR SALE AND PURCHASE SELLER: CITY OF DELRAY BEACH, a Florida municipal corporation BUYER: DINETTE LOUIS, 133 SW 15th Avenue, #9, Delray Beach, FL 33444 PROPERTY ADDRESS: 46 NW 12th Avenue, Delray Beach, Florida 33444 X=. SPECIAL CLAUSES; ADDENDA (Continued): A. FOREIDN INVESTMENT IN REAL PROPERTY TAX ACT ("FIRPTA"} The parties shall comply with the provisions of Internal Revenue Code Section 1445 and applicable Treasury Regulations issued thereunder. If the Seller is a U,S. person for Internal Revenue Code Section 1445 purposes, then on demand of the Buyer and prior to closing the Seller shall provide the Buyer with a certificate of non- foreign status in the manner provided in Treasury Regulations Section 1.1445-2. If the Seller provides the Buyer with such certificate, and if the Buyer is otherwise permitted to rely on such certificate under those Regulations, the Buyer shall not withhold under Internal Revenue Code Section 1445. If the Seller is a 'foreign person{ as defined by the Internal Revenue Cade, the Buyer generally is required to withhold 10°s of the gross sales price from the Seller at closing and to pay the withheld amount over to the Internal Revenue Service {IRS) unless an applicable exemption from withholding or a limitation on the amount to be withheld is available. To the extent that the cash to be paid over to the Seller at closing is insufficient to cover the Buyer's withholding obligation, the Seller shall provide to the Buyer at closing cash equal to such excess for purposes of making such withholding payment. If the Seller's federal income tax on the gain is less than the applicable withholding amount, the Seller may make advance application to the IRS for reduced withholding and, if granted, the Buyer shall withhold only the authorized reduced amount. If such ruling has not been received by closing, the parties at closing shall enter into an escrow agreement reasonably satisfactory to the Buyer and Seller pending receipt of the ruling, provided that at closing the Seller shall have the obligation to provide to the escrow agent from the closing proceeds (or from the Seller's other resources if necessary) cash equal to the maximum required withholding, with any excess withholding being refundable to the Seller upon receipt of a favorable ruling from the IRS. Buyer and Seller understand that the IRS requires the Buyer and the Seller to have a U.S. federal taxpayer identification number and to supply that number on the foregoing forms. A foreign individual may acquire an International Taxpayer Identification Number for this purpose. Since it may take several weeks to receive the number after application and the IRS will not process these forms without the actual number, a party lacking a TIN is advised to apply immediately. B. The Buyer shall have sixty (64} calendar days within which to conduct any and all feasibility studies and determinations relative to the suitability for the acquisition of the subject property by the Buyer and the Buyer reserves the express right to terminate this Contract at any time during said period for any reason or no reason, in Buyer's sole discretion, whereupon Buyer shall receive a full refund of all deposit monies paid hereunder. Buyer shall be granted 3 reasonable access to the premises to conduct such feasibility studies and determinations, including environmental assays, core drilling, surveys, soil sampling and other such testing. C. This Contract is expressly contingent and conditioned upon the approval of the same by the City Commission of the City of Delray Beach. D. The parties represent and warrant that there is no broker involved in this transaction to whom a commission would be due. E. The following items shall not be included with the property; 1. Washer/Dryer 2. Dishwasher 3. StavelOvenlRange 4. Refrigerator 5. Carpet for 3 bedrooms 6. Microwave 7. Blinds Seller agrees to provide a Six Thousand Five Hundred Dollar {$6,500.00) gift card to Home Depot for Buyer to be able to purchase and install the above- listed items independently. 4 STANDARDS FC}R REAL ESTATE TRANSACTIONS A. EVIDENCE OF TITLE: (1)An abstract of title prepared or brought current by a reputable and existing abstract firm {if not existing then certified as correct by an existing firm) purporting to be an accurate synapsis of the instruments affecting title to Real Property recorded in the public records of trie county wherein Reai Property is located, through Effective Date. It shall commence with the earliest public records, or such later date as may be customary in the county. Upon closing of this Contract, the abstract shall become the property of Buyer, subject to the right of retention thereof by first mortgagee until fully paid. t2) A title insurance commitment issued by a Florida licensed title insurer agreeing to issue to Buyer, upon recording of the deed to Buyer, an owner's policy of title insurance in the amount of the purchase price, insuring Buyer's title to Real Property, subject only to liens, encumbrances, exceptions or qualification provided in this Contract and those which shall be discharged by Seller at or before closing. Seller shall Canvey a marketable title subject only to liens, encumbrances, exceptions or qualifications set forth in Contract. Marketable title shall be determined according to applicable Title Standards adopted by authority of The Florida Bar and in accordance with law. Buyer shall have 30 days, if abstract, or 5 days, if title commitment, from date of receiving evidence of title to examine it. If title is found defective, Buyer shall, within 3 days thereafter, notify Seller in writing specifying defect (s}. If the defect(s) render title unmarketable, Seller will have 30 days from receipt of notice to remove the defect(s), failing which Buyer shall, within five (5) days after expiration of the thirty t30} day period, deliver written notice to Seller either: {1} extending the tuna fora reasonable period not to exceed 120 days within which Seller shall use diligent effort tp remove the defects; or (2)requesting a refund of deposit(s) paid which shall immediately be returned to Buyer. If Buyer fails to so notify Seller, Buyer shall be deemed to have accepted the title as it then is. Seller shall, if title is found unmarketable, use diligent effort tp correct defect(s) in title within the time provided therefor. If Seller is unable to timely correct the defects, Buyer shall either waive the defects, or receive a refund of deposit{s), thereby releasing Buyer and Seller from all further obligation under this Contract. _, ,.. . C, SURVEY: Buyer, at Buyer's expense, within time allowed to deliver evidence of title, may have Real Property surveyed and certified by a registered Florida surveyor. If the survey discloses encroachments on the Real Property ar that improvements located thereon encroach on setback lines, easements, lands of others, or violate any restrictions, Contract covenants or applicable governmental regulation, the same shall constitute a title defect, , y ==p==ate ==^eet Gentrel AeEs as amended. E. INGRESS AND EGRESS: Seller warrants and represents that there is ingress and egress to the Real Property sufficient for the intended use as described in Paragraph v2 hereof, title to which is in accordance with Standard A. G. LIENS: Seller shall furnish to Buyer at time of closing an affidavit attesting to the absence, unless otherwise provided far herein, of any financing statements, claims of lien or potential lienors known to Seller and further attesting that there have been no improvements or repairs to Property far 90 days immediately preceding date of closing. If Property has been improved, or repaired within that time, Seller shall deliver releases or waivers of mechanics' liens executed by all general contractors, subcontractors, suppliers, and materialmen in addition to Seller's lien affidavit setting forth the names of all such general contractors, subcontractors, suppliers and materialmen and further affirming that all charges for improvements pr repairs which could serve as a basis for a mechanic's lien or a claim for damages have been paid or will be paid at closing of this Contract. 8. FLACE OF CLOSING: Closing shall be held in the county where Real Property is located, at the office of the attorney or other closing agent designated by Seller. Z. TIME: Zn computing time periods of less than six {f) days, Saturdays, Sundays and state or national legal holidays shall be excluded. Any time periods provided for herein which shall end on Saturday, Sunday or legal holiday shall extend to 5:00 p,m. of the next business day. Time is of the essence in this Contract. J. DOCUMENTS FOA CLOSINGv Seller shall furnish deed, bill of sale, construction lien affidavit, owner's possession affidavit, and corrective instruments. Buyer shall furnish closing statement. 5 X. EXPENSES; Documentary stamps on the deed and recording corrective instruments shall be paid by Seller. Documentary stamps and intangible tax on the purchase money mortgage and any mortgage assumed, and recording of purchase money mortgage to Seller, deed and financing statements shall be paid by Buyer. Unless otherwise provided by law or rider to this Contract, charges for the fpllpwing related title services, namely title or abstract charge, title examination, and settlement and closing fee, shall be paid by the party responsible for furnishing the title evidence in accordance with Paragraph IV. L. PRORATIONBt CREDITS; Taxes, assessments, interest, insurance and other expenses and revenue of Property shall be prorated through day before closing. Buyer shall have the option of taking over any existing policies of insurance, if assumable, in which event premiums shall be prorated. Cash at closing shall be increased or decreased as may be required by prorations to be made through day prier to closing or occupancy if occupancy occurs before closing. Advance rent and security deposits will be credited to Buyer. Escrow deposits held by mortgagee will be credited to Seller. Taxes shall be grprated based pn the current year's tax with due allowance made fpr maximum allowable discpunt, homestead and other exemptipns. If closing occurs at a date when the current year's millage is not fixed, and current year's assessment is available, taxes will be prorated based upon such assessment and the prior year's millage. If current year's assessment is net available, then taxes will be prorated an the prior year's tax. I£ there are completed improvements on Real Property by January 1st of year of closing, which improvements were not in existence an January 1st pf the prior year, then taxes shall be prorated based upon the prior year's millage and at an equitable assessment to be agreed upon between the parties, failing which, request will be made to the County Property Appraiser for an informal assessment taking into consideration available exemptipns. Any tax proration based an an estimate shall, at request o£ either party, be readjusted upon receipt o£ tax bill on condition that a statement to that effect is signed at closing. M. SPECIAL ASSESSMENT LZEN3: Certified, confirmed and ratified special assessment liens as of date of closing tnot as of Effective Dare? are to be paid by Seller. Pending liens as of date of closing shall be assumed by Buyer. If the improvement has been substantially completed as of Effective Date, any pending lien shall be considered as certified, confirmed or ratified and Seller shall, at closing, be charged an amount equal to the last estimate of assessment for the improvement by the public body. ..a ,;,„ ,.~...... ....... ~~ P. PROCEEDS OF BALE; CLOSING PROCEDURE: The deed shall be recorded upon clearance of funds. If an abstract of title has been furnished, evidence of title shall be continued at Buyer's expense to show title in Buyer, without any encumbrances or change which would render Seller's title unmarketable from the date of the last evidence. All closing proceeds shall be held in escrow by Seller's attorney or other mutually acceptable escrow agent fpr a period of not more than 5 days after closing date. If Seller's title is rendered unmarketable, through no fault of Buyer, Buyer shall, within the 5 day period, nptify Seller in writing of the defect and Seller shall have 30 days from date o£ receipt o£ such notification to cure the defect. If Seller fails to timely cure the defect, all deposit(s) shall, upon written demand by Buyer and within 5 days after demand, be returned to Buyer and simultaneously with such repayment, Buyer shall return Personalty and vacate Real Property and reconvey the Property to Seller by special warranty deed and bill of sale. If Buyer fails to make timely demand for refund, Buyer shall take title as is, waiving all rights against Seller as tq any intervening defect except as may be available ro suyer by virtue of warranties captained in the deed or bill of sale. If a portion of the purchase price is to be derived from institutipnal financing or refinancing, requirements of the lending institution as to place, time of day and procedures far closing, and far disbursement of mortgage proceeds shall control over contrary provision in this Contract. Seller shall have the right to require from the lending institution a written commitment that it will net withhold disbursement of mortgage proceeds as a result of any title defect attributable tp Buyer-mortgagor. The escrow and closing procedure required by this Standard may be waived if title agent insures adverse matters pursuant to Section b27.7&91, F.S., as amended. Q. ESCROW: Any escrow agent {"Agent^) receiving funds or equivalent is authorized and agrees by acceptance of them to deposit them promptly, hold same in escrow and, subject to clearance, disburse them in accordance with terms and conditions of Contract. Failure of clearance of funds shall net excuse Buyer's perfprmance. If in doubt as to Agent's duties or liabilities under the previsions of Contract, Agent may, at Agent's option, continue to hold the subject matter of the escrow until the parties hereto agree to its disbursement, or until a judgment pf a court of competent jurisdiction shall determine the rights of the parties or Agent may deposit with the clerk of the circuit court having jurisdiction of the dispute. Upon notifying all parties cpncerned of such action, all liability pn the part of Agent shall fully terminate, except to the extent of accounting for any items previously delivered out o£ escrow. If a lioensed real estate broker, Agent will comply with provisions of Chapter A75, F.5., as amended. Any suit between Buyer and Seller where Agent is made a party because of acting as Agent hereunder, or in any suit wherein Agent interpleads the subject matter of the escrow, Agent shall recover reasonable attorneys' fees and costs inourred with these amounts to be paid from and out of the escrowed funds or equivalent and charged and awarded as court costs in favor of the prevailing party. The Agent shall not be liable to any party or person for misdelivery to Buyer or Seller of items subject to this escrow, unless such misdelivery is due to willful breach of Contract or gross negligence of Agent. R. ATTORNEY FEES COSTS: In any litigation, including breach, enforcement or interpretation, arising out of this Contract, the prevailing party in such litigation which, for the purposes of this Standard, shall include Seller, Buyer, and any brokers acting in agency or nonagency relationships authorized by Chapter 475, F.S., as amended, shall be entitled to recover from the non-prevailing party reasonable attorney's fees, costs, and expenses. S. FASLORE OF PERFORMANCE: Except as provided in Paragraph XII, if Huyer fails to perform this Contract within the time specified {including payment of all deposit (s}}, the deposit{s) paid by Buyer and deposit(s) agreed to be paid, may be recovered and retained by or for the account of Seller as agreed upon liquidated damages, consideration for the execution of this Contract and in full settlement of any claims; whereupon, Buyer and Seller shall be relieved of all obligations under Contract; or Seller, at Seller"s option, may proceed in equity to enforce Seller"s rights under this Contract. If, far any reason other than failure of Seller to make Sellez's title marketable after diligent effort, Seller fails, neglects or refuses to perform this Contract, the Buyer may seek specific performance or elect to receive the return of Huyer's deposit{s) without thereby waiving any action for damages resulting from Seller's breach. T. CONTRACT NOT RECORDABLE; FERSONS SODND; NOTICE: Neither this Contract nor any notice of it shall be recorded in any public records. This Contract shall bind and inure to the benefit of the parties and their successors in interest. Whenever the context permits, singular shall include plural and one gender shall include all. Notice given by or to the attorney for any party shall be as effective as if given by or to that party. D. CONVEYANCE: Seller shall convey title to Real Property by statutory warranty, trustee's, personal representative's or guardian's deed, as appropriate to the status of Seller, subject only to matters contained in Paragraphs VI and XiI and those otherwise accepted by Buyer. Personal Progerty shall, at request of Buyer, be transferred by an absolute bill of sale with warranty of title, subject only to such matters as may be otherwise provided for herein. u. OTHER AGREEMENTS: No prior or present agreements or representations shall be binding upon Buyer or Seller unless included in this Contract. No modification or change in this Contract shall be valid or binding upon the parties unless in writing and executed by the party or parties intended to be bound by it. w. wARRANTIESa Seller warrants that there are no facts known to Seller materially affecting the ualue of the Progerty which are not readily observable by Buyer or which have not been disclosed to Buyer. Page 1 of 1 ME~{JRANDUM TO: Mayor and City Commissioners FROM: Terrill C. Pyburn, Assistant City Attorney THROUGH; Susan A. Ruby, City Attorney DATE: May 28, 2009 SUBJECT: AGENDA ITEM 10.B. -REGULAR COMMISSION MEETING OF JUNE 2 2009 RESOLUTION NO.21-09 ISALE OF PROPERTY LOCATED AT 46 NW 12TH AVENUE) ITEM BEFORE COMMISSION Resolution No. 21-09 for sale of property located at 46 NW 12th Avenue, Delray Beach to Dinette Louis, BACKGROUND The attached Resolution 21-09 authorizes the City to sell property that the City acquired from the County for unpaid taxes located at 46 I~fW 12th Avenue, Delray Beach, Florida, to Dinette Louis for affordable housing purposes for the purchase price of $162,000.00. The house on the property was built by the Atlantic High School Eagle's Nest Program. Incorporated within the resolution are the terms and conditions of the Contract for Sale and Purchase. RECOMMENDATION The City Attorney's Office recommends City Commission discretion. http:llmiweb001/AgendasfBluesheet.aspx?ItemID=2263&MeetinglD=208 6/5!2009 RESOLUTION NO. 21-09 A I~:ESOLUTION OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, AUTHORIZING THE CITY TO SELL TO BUYER CERTAIN REAL PROPERTY IN PALM BEACH COUNTY, FLORIDA, AS DESCRIBED HEREIN, HEREBY INCORPORATING AND ACCEPTING THE CONTRACT STATING THE TERMS AND CONDITIONS FOR THE SALE AND PURCHASE BET'W~,EN THE BUYER AND THE CITY OF DELRAY BEACH, FLORIDA. WHEREAS, the City of Delray Beach, Florida, wishes to sell certain property Located at 4G NW 12tH Avenue; and WHEREAS, the Buyer hereinafter named desires to buy the property hereinafter described from the City of Delray Beach, Florida; and WHEREAS, it is in the best interest of the City of Delray Beach, Florida, to sell said property. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, AS FOLLOWS: Section 1. That the City Con-unission of the City of Delray $each, Florida, as Seller, hereby agrees to sell to Ginette Louis, as Buyer, for the purchase price of One Hundred Sixty-Two Thousand Dollars and 40f 104 cents {$102,400.40), said property being described as follows: Lot 28, Black 1, ATLANTIC PARK GARDENS, according to the map or plat thereof as recorded in Plat Boak 14, Page 5G, Public Records of Palm Beach County, Florida, won 2. That the terms and conditions contained in the contract for sale and purchase and addenda thereto between the City of Delray Beach, Florida, and the Buyer as hereinabove named are incorporated herein as Exhibit "A". PASSED AND ADOPTED in regular session on the day of , 2449. ATTEST: MAYOR City Clerk Exhibit "A" CONTRACT FOR SALE AND PURCHASE PARTZES: CITY OF DELRAY BEACH, a Florida municipal corporation, 100 N.W. 1°` Avenue, Delray Beach, FL 33444 (Phone: 561-243-?000), ("Seller'"), and GINETTE LOUIS,("Buyer°}, 133 SW 15`h Avenue, #9, Delray Beach, Florida 33444 (Phone: 561- 305-9798}, hereby agree that the Seller shall sell and Buyer shall buy the following described Real Property and Personal Property {collectively "Pra~erty") upon the following terms and conditions, which INCLUDE the Standards for Real Estate Transactions ("Standardts)") on the reverse side hereof or attached hereto and riders and any addenda to this Contract for Sale and Purchase ("Contract°). I. DESCRIPTION: (a) Legal description of the Real Property located in Palm Beach County, Florida: Lot 28, Blaek Z, ATLANTIC PARK GARDENS, aaaarding the map ar plat thereof ae recorded in Plat Book Z4, Page 56, Public Reaorde of Palm Belch County, Florida. Property Control Na. 12-43-46-17-18-041-0280 {b} Street address, city, zip, of the Property is: 46 NW 12t° Avenue, Delray Beach, Florida 33444 II. PURCHASE PRICE $ 162,000.00 PAYMENT: (a} Deposit(s) to be held in escrow by Steven Rubin, P.A. Trust Account in the amount of $ 3,000.00 {b) Balance to close shall be paid in the farm of U.S. Cash or a LOCALLY DRAWN certified or cashier's Check, subject to adjustments or prorations $ 159,000.00 ZII. TIME FOR ACCEPTANCE, EFFECTIVE DATE; FACSIMILE: Zf this offer is not executed by and delivered to all parties OR FACT OF EXECUTION communicated in writing between the parties on or before June 1, 20fl9, the deposit(s) will, at Buyer's option, be returned and this offer withdrawn. The date of Contract ("'Effective Date") will be the date when the last one of the Buyer and the Seller has signed this offer. A facsimile copy of this Contract and any signatures thereon shall be considered for all purposes as originals. IV, TITLE EVIDENCE: Within thirty (30) days from the Effective Date of this Contract, (CHECK ONLY ONE): Seller shall, at Seller's expense, deliver to Buyer or Buyer's attorney; OR X Buyer shall at Buyer's expense obtain (CHECK ONLY ONE): abstract of title or X title insurance commitment (with legible copies of instruments listed as exceptions attached thereto) and, after closing, an owner's policy of title insurance. V. CLOSING DATE: This transaction shall be closed and the deed and other closing papers delivered within one hundred twenty (120) calendar days following the execution of this Contract, unless modified by other provisions of Contract. VI. RESTRICTIONS; EASEMENTS; LIMITATIONS; Buyer shall take title subject to: comprehensive land use plans, zoning, restrictions, prohibitions and other requirements imposed by governmental authority; restrictions and matters appearing on the plat or otherwise common to the subdivision; public utility easements of record (easements are to be located contiguous to Real Property lines and not more than 10 feet in width as to the rear or front lines and 7-ljz feet in width as to the side lines, unless otherwise stated herein); taxes for year of closing and subsequent years; assumed mortgages and purchase money mortgages, if any {if additional items, see addendum); provided that there exists at closing no violation of the foregoing. 1 VII. OCCUPANCY: Seller warrants there are no parties in occupancy other than Seller; Seller shall deliver occupancy of Property to Buyer at time of closing subject to Paragraph XI E. VIII. TYPEW1tITTSN Olt HANDWRITTEN PROVISIONS: Typewritten or handwritten provisions, riders and addenda shall control all printed provisions of this Contract in conflict with them. IX. ASSIGNABILITY: (CHECK ONLY ONE}: Buyer (1) _may assign and thereby be released from any further liability under this Contract; may assign but not be released from liability under this Contract; ar X may not assign this Contract. X. DISCLOSURI~S: fa) Radon is a naturally occurring radioactive gas that, when accumulated in a building in sufficient quantities, may present health risks to persons who are exposed to it over time. Levels of radon that exceed federal and state guidelines have been found in buildings in Florida. Additional information regarding Radon or Radon testing may be obtained from your County Public Health unit. {b} Buyer may have determined the energy efficiency rating of the residential building, if any is located on the Real Property. XI. SPECIAL CLAUSES; ADDENDA: If additional terms are to be provided, attach addendum and CHECK HERE X . CITY OF DELRAY BEACH By: Print Name: Tax ID No. DINETTE LOUIS By; Date Print Name; Tax ID No. Date 2 ADDENDUM To CONTRACT FOR SALE AND PURCHASE SELLER: CITY OF DELRAY BEACH, a Florida municipal corporation BUYER: DINETTE LOUIS, 133 SW 15th Avenue, #9, Delray Beach, FL 33444 PROPERTY ADDRESS: 46 NW 12"' Avenue, Delray Beach, Florida 33444 X=, SPECIAL CLAUSES; ADDENDA {Continued}: A. FOREIDN INVESTMENT IN REAL PROPERTY TAX ACT {"FIRPTA"} The parties shall comply with the provisions of Internal Revenue Code Section 1445 and applicable Treasury Regulations issued thereunder, If the Seller is a U.S. person for Znternal Revenue Code Section 1445 purposes, then on demand of the Buyer and prior to closing the Seller shall provide the Buyer with a certificate of non- foreign status in the manner provided in Treasury Regulations Section 1.1445-2. If the Seller provides the Buyer with such certificate, and if the Buyer is otherwise permitted to rely on such certificate under those Regulations, the Buyer shall not withhold under Znternal Revenue Code Section 1445. If the Seller is a 'foreign person' as defined by the Internal Revenue Cade, the Buyer generally is required to withhold 10~ of the gross sales price from the Seller at closing and to pay the withheld amount over to the Internal Revenue Service {IRS) unless an applicable exemption from withholding or a limitation on the amount to be withheld is available. To the extent that the cash to be paid over to the Seller at closing is insufficient to cover the Buyer's withholding obligation, the Seller shall provide to the Buyer at closing cash equal to such excess for purposes of making such withholding payment. If the Seller's federal income tax on the gain is less than the applicable withholding amount, the Seller may make advance application to the IRS for reduced withholding and, if granted, the Buyer shall withhold only the authorized reduced amount. If such ruling has not been received by closing, the parties at closing shall enter into an escrow agreement reasonably satisfactory to the Buyer and Seller pending receipt of the ruling, provided that at closing the Seller shall have the obligation to provide to the escrow agent from the closing proceeds (ar from the Seller's other resources if necessary} cash equal to the maximum required withholding, with any excess withholding being refundable to the Seller upon receipt of a favorable ruling from the IRS. Buyer and Seller understand that the IRS requires the Buyer and the Seller to have a U,S. federal taxpayer identification number and to supply that number on the foregoing forms. A foreign individual may acquire an International Taxpayer Identification Number for this purpose. Since it may take several weeks to receive the number after application and the IRS will not process these farms without the actual number, a party lacking a TIN is advised to apply immediately. B. The Buyer shall have sixty {60} calendar days within which to conduct any and all feasibility studies and determinations relative to the suitability for the acquisition of the subject property by the Buyer and the Buyer reserves the express right to terminate this Contract at any time during said period for any reason or no reason, in Buyer's sole discretion, whereupon Buyer shall receive a full refund of all deposit monies paid hereunder. Buyer shall be granted reasonable access to the premises to conduct such feasibility studies and determinations, including environmental assays, core drilling, surveys, soil sampling and other such testing. C. This Contract is expressly contingent and conditioned upon the approval of the same by the City Commission of the City of Delray Beach. D. The parties represent and warrant that there is no broker involved in this transaction to whom a commission would be due. E. The following items shall not be included with the property: 1. WasherjDryer 2. Dishwasher 3, Stove{even{Range 4. Refrigerator 5, Carpet for 3 bedrooms 6. Microwave 7. Blinds Seller agrees to provide a Six Thousand Five Hundred Dollar t$6,5~~.00} gift card to Home Depot for Buyer to be able to purchase and install the above- listed items independently, 4 STANDARDS FC}R REAL BSTATB TRANSACTIQNS A. EVIDENCE OF TITLES {1)An abstract of title prepared ar brought current by a reputable and existing abstract firm {if not existing then certified as correct by an existing firm) purporting to bean accurate synopsis of the instruments affecting title to Real Property recorded in the public records of the county wherein Real Property is located, through Effective Date. It shall commence with the earliest public records, or such later date as may be customary in the county. Upon closing of this Contract, the abstract shall become the property of Buyer, subject to the right of retention thereof by first mortgagee until fully paid. t2) A title insurance commitment issued by a Florida licensed title insurer agreeing to issue to Buyer, upon recording of the deed to Buyer, an owner's policy of title insurance in the amount of the purchase price, insuring Buyer's title to Real Property, subject only to liens, encumbrances, exceptions or qualification provided in this Contract and those which shall be discharged by Seller at or before closing. Seller shall convey a marketable title subject only to liens, encumbrances, exceptions ar qualifications set forth in Contract. Marketable title shall be determined according to applicable Title Standards adopted by authority of The Florida Bar and in accordance with law. Buyer shall have 30 days, if abstract, ar S days, if title commitment, from date of receiving evidence of title to examine it. if title is found defective, Buyer shall, within 3 days thereafter, notify Seller in writing specifying defect{s). If the defects} render title unmarketable, Seller will have 30 days from receipt of notice to remove the defect{s), failing which Buyer shall, within five {5) days after expiration of the thirty {1 p} day period, deliver written notice to Seller either: {1) extending the time far a reasonable period not to exceed 120 days within which Seller shall use diligent effort to remove the defects; or {2)requesting a refund of deposit{s} paid which shall immediately be returned to Buyer. If Buyer fails to so notify Seller, Buyer shall be deemed to have accepted the title as it then is. Seller shall, if title is found unmarketable, use diligent effort to correct defect{s) in title within the time provided therefor. If Seller is unable to timely correct the defects, Buyer shall either waive the defects, ar receive a refund of deposit{s), thereby releasing Buyer and Seller from all further obligation under this Contract. C. SURVEYS Buyer, at Buyer's expense, within time allowed to deliver evidence of title, may have Real Property surveyed and certified by a registered Florida surveyor. If the survey discloses encroachments on the Real Property or that improvements located thereon encroach on setback lines, easements, lands of others, ar violate any restrictions, Contrast covenants or applicable governmental regulation, the same shall constitute a title defect. 8. INGRESS AND HGRESS~ Seller warrants and represents that there is ingress and egress to the Real Property sufficient for the intended use as described in Paragraph VI hereof, title to which is in accordance with Standard A. G. LZEN3r Seller shall furnish to Buyer at time of closing an affidavit attesting to the absence, unless otherwise provided for herein, of any financing statements, claims of lien or potential lienors known to Seller and further attesting that there have been no improvements or repairs to Property for 90 days immmediately preceding date of closing. If Property has been improved, or repaired within that time, Seller shall deliver releases or waivers of mechanics' liens executed by all general contractors, subcontractors, suppliers, and materialmen in addition to Seller's lien affidavit setting forth the names of all such general contractors, subcontractors, suppliers and materialmen and further affirming Chat all charges for improvements or repairs which could serve as a basis far a mechanic's lien or a claim for damages have been paid or will be paid at closing of this Contract. H. PLACE OP CLOSING: Closing shall be held in the county where Real Property is located, at the office of the attorney or other closing agent designated by Seller. I. TINEe In computing time periods of less than six {b} days, Saturdays, Sundays and state ar national legal holidays shall be excluded. Any time periods provided far herein which shall end on Saturday, Sunday or legal holiday shall extend to SzOQ g.m. of the next business day. Tiara 1a of the essence 1n this Contract. J. DOCUMENTS FOR CLOSING= Seller shall furnish deed, bill of sale, construction lien affidavit, owner's possession affidavit, and corrective instruments. Buyer shall furnish closing statement. 5 x. SxP$txSSS: Documentary stamps on the deed and recording corrective instruments shall be paid by Seller. Documentary stamps and intangible tax on the purchase money mortgage and any mortgage assumed, and recording of purchase money mortgage to Seller, deed and financing statements shall be paid by Buyer. Unless otherwise provided by law or rider to this Contract, charges for the fallowing related title services, namely title or abstract charge, title examination, and settlement and closing fee, shall be paid by the party responsible for furnishing the title evidence in accordance with Paragraph IV. L. PRORATTQNBr CR&DIK`S: 'taxes, assessments, interest, insurance and other expenses and revenue of Property shall be prorated through day before closing. Buyer shall have the option of taking over any existing policies of insurance, if assumable, in which event premiums shall be prorated. Cash at closing shall be increased or decreased as may be required by groratians to be made through day prior to closing or occupancy if occupancy occurs before Closing. Advance rent and security deposits will be Credited to Buyer. Escrow deposits held by mortgagee will be Credited to Seller. Taxes shall be prorated based on the Current year's tax with due allowance made for maximum allowable discount, homestead and other exemptions. If closing occurs at a date when the current year's millage is not fixed, and current year's assessment is available, taxes will be prorated based upon such assessment and the prior year's millage. If current year's assessment is not available, then taxes will be prorated on the prior year's tax. If there are completed improvements on Real Property by January 1st of year of closing, which improvements were not in existence on January 1st of the prior year, then taxes shall be prorated based upon the Briar year's millage and at an equitable assessment to be agreed upon between the parties, failing which, request will be made to the County Property Appraiser far an informal assessment taking into consideration available exemptions, Any tax proration based on an estimate shall, at request of either party, be readjusted upon receipt of tax bill on condition that a statement to that effect is signed at closing. M. SPECIAL ABSESSMPNT LIBtiSe Certified, Confirmed and ratified special assessment liens as of date of closing tnot ae of Effective Date) ors to be paid by Seller. Pending liens as of date of Closing shall be assumed by Buyer. If the improvement has been substantially completed as of Effective Date, any pending lien shall be considered as certified, Confirmed ar ratified and Seller shall, at Closing, be charged an amount equal to the last estimate of assessment for the improvement by the public body. P. FAOC88DS OF SALffit CL03ZNG PRS'kwfiDURS: The deed shall be recorded upon Clearance of funds. If an abstract of title has been furnished, evidence of title shall be continued at Buyer's expense to show title in Buyer, without any encumbrances or change which would render Seller's title unmarketable from the date of the last evidence. All Closing proceeds shall be held in escrow by Seller's attorney or other mutually acceptable escrow agent for a period of not more than 5 days after closing date. If Seller's title is rendered unmarketable, through no fault of Buyer, Buyer shall, within the 5 day period, notify Seller in writing of the defect and Seller shall have 30 days from date of receipt of such notification to cure the defect. If Seller fails to timely cure the defect, all depoaitta} shall, upon written demand by Buyer and within 5 days after demand, be returned to Buyer and simultaneously with such repayment, Buyer shall return Personalty and vacate Real Property and reCanvey the Property to Seller by special warranty deed and bill of sale. If Buyer fails to make timely demand for refund, Buyer shall take title as is, waiving all rights against Seller as to any intervening defect except as may be available to Buyer by virtue of warranties contained in the deed or bill of sale. If a portion of the purchase price is to be derived from institutional financing or refinancing, requirements of the lending institution as to place, time of day and procedures for Closing, and for disbursement of mortgage proceeds shall control aver contrary provision in this Contract. Seller ahali have the right to require from the lending institution a written Commitment that it will not withhold disbursement of mortgage praceeda as a result of any title defect attributable to Buyer-mortgagor. 7'he escrow and closing procedure required by this Standard may be waived if title agent insures adverse matters pursuant to Section 627.7841, F.S., as amended. 4~ TaSCFtDW~ Any escrow agent ("Agent°) receiving funds or equivalent ie authorized and agrees by acceptance of them to deposit them promptly, hold name in escrow and, subject to clearance, disburse them in accordance with terms and conditions of Contract. Failure of clearance of funds shall not excuse Buyer's performance. If in doubt as to Agent's duties ar liabilities under the provisions of Contract, Agent may, at Agent's option, Continue to hold the subject matter of the escrow until the parties hereto agree to its disbursement, or until a judgment of a court of competent jurisdiction shall determine the rights of the parties or Agent may deposit with the clerk of the circuit Court having jurisdiction of the dispute. Upon notifying all parties Concerned of such action, all liability on the part of Agent shall fully terminate, except to the extent of aeeaunting for any items previouaiy delivered out of escrow. If a licensed real estate broker, Agent will Comply with provisions of Chapter 475, F.S., as amended. Any suit between Buyer and Seller where Agent is made a party because of acting as Agent hereunder, or in any suit wherein Agent interpleads the subject matter of the escrow, Agent shall recover reasonable attorneys' fees and costa incurred with these amounts to be paid from and put of the escrowed funds or equivalent and charged and awarded as court casts in favor of the prevailing party. The Agent shall not be liable to any party or person for misdelivery to Buyer or Seller o£ items subject to this escrow, unless such misdelivery is due to willful breach of Contract or grass negligence of Agent. R. ATTpRNSY FSS$= COSTSz In any litigation, including breach, enforcement or interpretation, arising out of this Contract, the prevailing party in such litigation which, for the purposes of this Standard, shall include Seller, Buyer, and any brokers acting in agency or nonagency relatianshipa authorized by Chapter 435, F.S., as amended, shall be entitled to recover from the non-prevailing party reasonable attorney's fees, costa, and expenses. 8. FAIGURS OF P$RFORt4ANCSz Except as provided in Paragraph XII, if Buyer fails to perfaxm this Contract within the time specified {including payment of all de~sit(s?), the deposit(s) paid by Buyer and deposit{s] agreed to be paid, may be recovered and retained by or far the account of Seller as agreed upon liquidated damages, consideration for the execution of this Contrast and in full settlement of any claims; whereupon, Buyer and Seller shall be relieved of all obligations under Contrast; ar Seller, at Seller's optipn, may proceed in equity to enforce Seller's rights under this Contrast. If, for any reason other than failure of Seller to make Seller's title marketable after diligent effort, Seller fails, neglects or refuses to perform this Contract, the Buyer may seek specific performance or elect to receive the return of Buyer's deposit{e} without thereby waiving any action for damages resulting from Seller's breach. T. CONTRACT HOT RSCORDABGS~ PSRSONS BOUNDt NOTIC$z Neither this Contract nor any notice of it shall be recorded in any public resarda. This Contract shall bind and inure to the benefit of the parties and their aussesaors in interest. Whenever the context permits, singular shall include plural and one gender shall include all. Notice given by or to the atkorney far any party shall be as effective as if given by ar to that party. U. CONVSYANCSz Seller shall convey title to Real Property by statutory warranty, trustee's, personal representative's ar guardian's deed, as appropriate to the status of Seller, subject only to matters contained in Paragraphs VI and XII and thane otherwise accepted by Buyer. Personal Property shall, at request of Buyer, be transferred by an absolute bill of sale with warranty of title, subject only to lush matters as may be otherwise provided far herein. Y. OTII$R AGRSSMSNTS: N4 prior ar present agreements ar repreaentatiana shall be binding upon Buyer or Seller unless included in this Contract. No modification ar change in this Contract shall be valid or binding upon the parties unless in writing and executed by the party or parties intended to be bound by it. w. wARRANTI$S~ Seiler warrants that there are no facts known to Seller materially affecting the value of the Property which are not readily observable by Buyer or which have not been disclosed to Buyer. 7 Page 1 of 2 MEMC~RA.NDITM TO: Mayor and City Carnmissioners FRAM: Lula Butler, Community Improvement Director Elizabeth Alpert, Neighbarhood Services Administrator THROUGH: David T. Harden, City Manager DATE: May 2b, 2449 SUBJECT: AGENDA ITEM 10,81 -REGULAR COMMISSION MEETING OF JUNE 2.2009 SELECTION OF EAGLE NEST HOMEBUYER ITEM BEFORE COMMISSION Commission approval of homebuyer far Eagle Nest property and approval of dawn payment assistance funds. BACKGROUND On November 22, 2445 the City, CRA, Chamber of Commerce, Palm Beach County School Board and Atlantic High School Career Academy (also known as Eagle Nest} entered rota a multipartylinterlocal agreement to build the first Eagle Nest project. As a result, the Atlantic High School Construction Academy has completed construction of a three bedroom/twa bath, 1544 square foot, single-family home located at 46 NW 12~ Avenue. As part of the multipartyiinterlocal agreement, the City agreed to provide a first time hamebuyer through its Renaissance Program and assist the buyer in qualifying for and obtaining a mortgage, At the August 19, 2448 meeting, Commission selected a first, second and third ranked application so that the Neighbarhood Services Division could move forward in securing a buyer for the property. However, since the August 19, 2448 meeting, the loan status of all three original applicants is such that none are mortgage eligible to purchase the Name. Upon learning this, the Neighbarhood Services Division contacted the Delray Beach Conununity Development Corporation (CDC}, to inquire if any applicants in their pipeline were interested in purchasing the Eagle Nest home, The Delray Beach CDC identified Ms. Dinette Louis, a Delray Beach resident who is a first time homebuyer and single parent to two children, Based on SKIP income eligibility guidelines, Ms. Louis' household is classified as very-law income (family of three, earning less than $3,954}. Approval is requested so that Ms. Dinette Louis may purchase the Eagle Nest House and receive $'75,444 in dawn payment assistance funds. FUNDING SOURCE http:lCmiweb441lAgendaslBluesheet.aspx?ItemID=2239&MeetinglD=248 6/St2449 Page 2 of 2 SHIP - 118-1924-554-49.20 will be available after rnid-year budget amendment. RECOMMENDATION Staff reconunends approval so that Ms. Ginette Louis may purchase the Eagle Nest House and receive $75,000 in down payment assistance funds. http;llmiweb0011AgendaslBiuesheet.aspx?ItemID=2239&MeetingID-208 b/5/2009 CITE OF DELR~'~ 8~'~CH CITY ATTCIRNEY'S ~FEICE ~F~~ N{~~~~v~~ ~~.;-~~ ~ FAQ ~M~"~F~~~~'° ~7~~~ DELRAY BEACH AAo ~~~Y'`~ fAll-AtnericaCity 1 c~ 1993 2001 MEMORANDUM DATE: June 3, 2009 TO: Kimberly Wynn FRAM: Terrill Pyburn, Assistant City Attorney Writer's Direct Line: (56S) 243-7092 SUBJECT: Contract for Sale and Purchase -Property Located at 4fi NW 12t~' Avenue Attached please find one {1 } partially executed original of the above-referenced contract which has been approved for form and legal sufficiency by our office. Once the contract has been signed, by the Mayor and the City Clerk, please forward a copy to me for my file as well as a signed copy of Resolution 21-09. If you have any questions, please do not hesitate to contact me. Thank you. TCParnk ~~~~~ Attachment