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Res 58-12RESOLUTION NO. 58 -12 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, AUTHORIZING THE CITY TO SELL 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 BETWEEN THE BUYER AND THE CITY OF DELRAY BEACH, FLORIDA. WHEREAS, the City of Delray Beach, Florida, wishes to sell property located at 1040 Homewood Blvd. #L201; 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 to be used for single family homeownership. 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 Sebastian Bellotti, as Buyer, for the purchase price of the lesser of Forty Five Thousand Eight Hundred Dollars and 00/100 cents ($45,800.00) or appraised value, said property being described as follows: CONDOMINIUM APARTMENT NO L-201, OF PALM VILLAS CONDOMINIUM APARTMENTS INC. ACCORDING TO THE DECLARATION OF CONDOMINIUM THEREOF, AS RECORDED IN OFFICIAL RECORD BOOK 3055, PAGE 1774, AND AS AMENDED OF THE PUBLIC RECORDS OF PALM BEACH COUNTY, FLORIDA Section 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 ". t\ PASSED AND ADOPTED in regular session on the TTEST: City Clerk Exhibit A PARTIES: CITY OF DELRAY BEACH, a Florida municipal corporation, ( "Seller "), of 100 N.W. Vt Avenue, Delray Beach, Florida 3344.4. and Sebastian. Bellotti, ("Buyer"), of 289 Seville M, Delray Beach, FL 33446, hereby agree that the Seller shall sell and Buyer shall buy the fallowing described Real Property and Personal Property (collectively "Property") upon the following terms and conditions, which INCLU. DE the Standards for Heal Estate Transactions ("Standard (s)"), attached hereto and riders and any addenda to this Contract for Sale and Purchase ( "Contract "): I_ DESCRIPTION: (a) CONDOMINIUM APARTMENT NO L -201, OF PALM VILLAS CONDOMINIUM APARTMENTS INC. ACCORDING TO THE DECLARATION OF CONDOMINIUM THEREOF, AS RECORDED IN OFFICIAL RECORD BOOK 3058, PAGE 1774, AND AS AMENDED OF THE PUBLIC RECORDS OF PALM BEACH COUNTY, FLORIDA_ P C N : 12- 43- 46- 19 -27 -012 -2010 (b) Address: 1040 Homewood Blvd., #L201„ Delray Beacb, FL 33445 PURCHASE PRICE .. . ................... US $45,500 Ill. TIME FOR ACCEPTANCE;, EFFECTIVE DATE: 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 January 15, 2012, the deposit(s) will, at Buyer's option, be returned to Buyer and the offer withdrawn. The date of this Contract ("Effective Date") will be the. date when the last one of the Buyer and the Seller has signed this offer. IV. TITLE EVIDENCE: At least 7 days before closing date, Buyer shall obtain a title insurance commitment. V. CLOSING DATE: This. transaction shall be closed and the deed and other closing papers delivered on or before sixty (00) days from the date of the execution of this agreement, unless extended by other provisions of this Contract. VI_ RESTRICTIONS; EASEMENTS; LIMITATIONS: Buyer shall take title by Quit Claim Deed subject to: 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 /2 feet in width as to the side lines, unless otherwise specified herein); taxes for year of closing and subsequent years; assumed mortgages and purchase money mortgages; if any; provided, that there exists at closing no violation of the foregoing and none of them prevents the use of Real Property for residential purpose. N/I I OCCUPANCY' S lleT warrants _ thai -there are no parties in occupancy other than -- - i r be ren e or c ccu pled�eyon i e fiat a terms thereof shall be stated herein, and the tenant(s) or occupants disclosed pursuant, to Standard D_ Seller, agrees to deliver occupancy of Property at time of closing unless otherwise stated herein. if occupancy is to be delivered before: closing, Buyer assumes all risk of loss to Property from date of occupancy, shall be responsible and liable for maintenance from that date, and shall be deemed to have accepted Property in their existing condition as of time of taking occupancy unless otherwise stated herein or in a separate writing. Vlll._ TYPEWRITTEN OR HANDWRITTEN PROVISIONS, Typewritten or handwritten provisions shall control all printed provisions of Contract in conflict with them_ IX. ASSIGNABILITY: Buyer may not assign Contract_ X DISGLGSURES; (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. revels 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, they will be provided in the attached addenda_ If there is an addenda, check here CITY OF DEFRAY BEACH, FLORIDA Sebastian Bellotti By: By: Nelson S. McDuffie; Mayor Date R. ` N e. '" ' A, )ate ATTEST- ATTEST: City Clerk Approved as to Form: City Attorney 2 —AaDENDUM TO CGNTRACT-FORSALE-A E_ SELLER: CITY OF DELRAY BEACH, FLORIDA BUYER: Sebastian Bellotti PROPERTY ADDRESS: 1040 Homewood Blvd_, #L201, Delray Beach, FL 33445 Xl. SPECIAL CLAUSES; ADDENDA (Continued):. A. FOREIGN 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 Revenge 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 Intemal 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 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 h.as not been received by closing, the parties at closing shall enter into an escrow tagreement 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 3 B. The Buyer shall have thirty (30) 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 ali 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. SELLERS' INITIALS: BAYER'S INITIALS: 0 STANDARDS FOR REAL. ESTATE TRANSACTIONS A. Evidence of Title: 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 set forth in this agreement and those 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 in this agreement and those which shall be discharged by Seller at or before closing. Marketable title shall be determined according to applicable title standards adopted by authority of The l=lprida Har and in accordance with law. if title is found defective; Buyer shall notify Seller in writing specifying defect(s). If the defect(s) render title unmarket- able, Seller will have one hundred twenty (1`20) days from receipt of notice within which to remove the defect(s), failing which Buyer shall have the option of either accepting the: title as it then is or demanding a refund of deposit(s) paid which shall immediately be returned to Buyer; thereupon Buyer and Seller shall release one another of all further obligations under the agreement. Seller will, if title is found unmarket- able, use diligent effort to correct defect(s) in fffle within the time provided therefor;, including the bringing of necessary suits. B. Survey Buyer, at Buyer's expense, within time allowed to deliver evidence of title and to examine same, may have real property surveyed and certified by a registered Florida surveyor: if"survey shows encroachment on real property or that improvements located on real property encroach on setback lines, easements, lands of others, or violate any restrictions, agreement covenants or applicable governmental regulation, the same shall' constitute a title defect. C_ Ingress and Eclress: Seller warrants and represents that there is ingress and egress to the real property sufficient for the intended use as described herein, title to which_ is in accordance with Standard A, D_ Leases: If,applicable,. Seller shall, not less than fifteen (15) days before closing, furnish to Buyer copies of all written leases and estoppel letters from each tenant specifying the nature and duration of the tenant's occupancy, rental rates, advanced rent and security deposits paid by tenant. if Seller is unable to obtain such letter from each tenant, the same information shall be furnished by Seller to Buyer within that time period in the form of a Seller's. affidavit, and Buyer may thereafter contact tenants to confirm such information. Seller shall, at closing, deliver and assign all original leases to Buyer. E, Liens: 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 ninety (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 or repairs which could serve as a basis for a mechanic's line or a claim for damages have been paid or will be paid at closing. F. Place of Glosinq Closing shall be held in the county where real property is located, at the office of the attorney or other closing agent designated by Buyer_ G. Time: Time is of the essence of this agreement_ Time periods herein of less than six (6) days shall in the computation exclude Saturdays, Sundays and state or national legal holidays, and any time period provided for herein which shall end on Saturday, Sunday or legal holiday shall extend to 5:00 p.m. of the next business day. 5 H. ©ocumenfs for Closing: Seller shall furnish deed; bill of `sale, mechanic's lien I Buyer shall furnish closing statement, mortgage, mortgage note, security agreements and financial statements_ I. Expenses: Documentary stamps on the warranty deed and recording corrective instruments and the warranty deed shall be paid by Buyer. J_ Proiratlons; credits; Taxes, assessments,. rent, interest, insurance and other expenses and revenue of property shall be prorated through day before ,closing, Buyer shall have the option to taking over ahy existing policies of insurance, if assumable, in Which event_ premiums shall be prorated. Gash at closing shall be increased or decreased as may be required by prorations. Prorations will be made through day prior to occupancy if occupancy occurs before. closing. Advance rent and security deposits will be credited to Buyer and 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 years millage is not fixed, and current year's assessments 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 an 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 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 exemptions. Any tax proration based on an estimate may, at request of either Buyer or Seller, be subsequently readjusted upon receipt of tax bill on condition that a statement to that effect is in the closing statement. K. Special Assessment - Liens: Certified, confirmed and ratified special assessment liens as of date of closing (and not as of Effective Date) are to he 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, such 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. L. Risk of. Loss- If the property is damaged by fire or other casualty before closing and cost of restoration does not exceed the purchase price of the property so damaged, cost of restoration shall be an obligation of the Seller and closing shall proceed pursuant to the term so . the agreement uuith restoration costs escrowed at closing. if the cast of the restoration exceeds three percent (3 %) of the assessed valuation of the improvements so damaged, Buyer shall have the option of either taking property as is, together with either the three percent (3 %) or any insurance proceeds payable by virtue of such loss or damage, or of canceling the agreement and receiving return of deposit(s). M. 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 agreement_ 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 agreement, Agent may, at Agent's option, continue to hold the subject matter of the escrow until the parties mutually 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_5. (9987), 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 attorney's fees and costs incurred with the fees, and costs to be charged and assessed as X court costs in favor of the Parties agree that Agent shall not be liable to any party cr willful breach of contract or gross negligence of Agent. N_ Failure of Performance: if Buyer fails to perform this Contract within the time specified Seller shall be relieved of all obligations under 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 Buyers deposit(s) Without thereby waiving, any action for damages resulting from Seller's breach. O. Agreement Not Recordable; Persons Sound; Notice: Neither this agreement nor any notice of it shall be recorded in any public records. This agreement shall bind and inure to the benefit of '.the parties and their successors in. interest, Whenever the contekt 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. P_ Conveyance: Seller shall convey the property by way of Quit Claim Deed. subject to an easement.for any utilities that may exist and lie on the property_ Q.. 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 R. Warranties! Seller warrants that there arer no facts known to Seller materially affecting the value of the real property which are not readily observable by Buyer or which have not been disclosed to Buyer. 7 RESOLUTION NO. 58 -12 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, AUTHORIZING THE CITY TO SELL 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 BETWEEN THE BUYER AND THE CITY OF DELRAY BEACH, FLORIDA. WHEREAS, the City of Delray Beach, Florida, wishes to sell property located at 1040 Homewood Blvd. #L201; 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 to be used for single family homeownership. 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 Sebastian Bellotti, as Buyer, for the purchase price of the lesser of Forty Five Thousand Eight Hundred Dollars and 00/100 cents ($45,800.00) or appraised value, said property being described as follows: CONDOMINIUM APARTMENT NO L -201, OF PALM VILLAS CONDOMINIUM APARTMENTS INC. ACCORDING TO THE DECLARATION OF CONDOMINIUM THEREOF, AS RECORDED IN OFFICIAL RECORD BOOK 3058, PAGE 1774, AND AS AMENDED OF THE PUBLIC RECORDS OF PALM BEACH COUNTY, FLORIDA Section 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 12012. ATTEST: City Clerk MAYOR Exhibit A PARTIES: CITY OF DELRAY BEACH, a Florida municipal corporation, ( "Seller "), of 100 N.W. 1't Avenue, Delray Beach, Florida 33444 and Sebastian Bellotti, ("Buyer"), of 289 Seville M, Delray Beach, FL 33446, 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)"), attached hereto and riders and any addenda to this Contract for Sale and Purchase ("Contract "): I. DESCRIPTION: (a) CONDOMINIUM APARTMENT NO L --201, OF PALM VILLAS CONDOMINIUM APARTMENTS INC. ACCORDING TO THE DECLARATION OF CONDOMINIUM THEREOF, AS RECORDED IN OFFICIAL RECORD BOOK 3058, PAGE 1774, AND AS AMENDED OF THE PUBLIC RECORDS OF PALM BEACH COUNTY, FLORIDA_ PCN: 12- 43- 46- 19 -27- 012 -2010 (b) Address: 1040 Homewood Blvd., ##L201„ Delray Beacb, FL 33445 lll. TIME FOR ACCEPTANCE; EFFECTIVE DATE: 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 .January 15, 2012, the deposit(s) will, at Buyer's option, be returned to Buyer and the offer withdrawn. The date of this Contract ( "Effective Date ") will be the date when the last one of the Buyer and the Seller has signed this offer. IV. TITLE EVIDENCE: At least 7 days before closing date, Buyer shall obtain a title insurance commitment_ V. CLOSING DATE: This transaction shall be closed and the deed and other closing papers delivered on or before sixty (60) days from the date of the execution of this agreement, unless extended by other provisions of this Contract. VI. RESTRICTIONS; EASEMENTS; LIMITATIONS: Buyer shall take title by Quit Claim Deed subject to: 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 '/2 feet in width as to the side lines, unless otherwise specified herein); taxes for year of closing and subsequent years; assumed mortgages and purchase money mortgages, if any, provided, that there exists at closing no violation of the foregoing and none of them prevents the use of Real Property for residential purpose. VII. OCCUPANCY: Seller warrants that there are no parties in occupancy other than Seller, but if Property is intended to be rented or occupied beyond closing, the fact and terms thereof shall be stated herein, and the tenant(s) or occupants disclosed pursuant to Standard D. Seller agrees to deliver occupancy of Property at time of closing unless otherwise stated herein. If occupancy is to be delivered before closing, Buyer assumes all risk of loss to Property from date of occupancy, shall be responsible and liable for maintenance from that date, and shall be deemed to have accepted Property in their existing condition as of time of taking occupancy unless otherwise stated herein or in a separate writing. VIII. TYPEWRITTEN OR HANDWRITTEN PROVISIONS: Typewritten or handwritten provisions shall' all printed provisions of Contract in conflict with them. IX. ASSIGNABILITY: Buyer may not assign 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 on the Real Property. XI. SPECIAL CLAUSES; ADDENDA: If additional terms are to be provided, they will be provided in the attached addenda. If there is an addenda, check here ✓ CITY OF DELRAY BEACH,, FLORIDA Sebastian Bellotti, By: Nelson S. McDuffie, Mayor ATTEST: City Clerk Approved as to Form: City Attorney B Date Pr Date ATTEST: 2 SELLER- CITY OF DELRAY BEACH, FLORIDA BUYER: Sebastian Bellotti PROPERTY ADDRESS: 1040 Homewood Blvd-, #L201, Delray Beach, FL 33445 A. FOREIGN 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 for purposes of making such withholding payment. If the Sellers 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 3 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. 13� The Buyer shall have thirty (30) 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. G. This Contract is expressly contingent and conditioned upon the approval of the same by the City Commission of the City of Delray Beach. SELLERS' INITIALS: BUYER'S. INITIALS: -19 STANDARDS FOR REAL ESTATE TRANSACTIONS A. Athle 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 ofthe purchase price, insuring Buyer's title to real prupedV, subject only to |iens, encumbrances, exceptions or qualification met forth in this agreement and those which shall be discharged by Seller at or before closing. Seller shall convey marketable title subject only to 1iens, enrumbnsnoep, exceptions or qualifications set forth in this agreement and those which shall be discharged by Seller at or before closing. Marketable title shall be determined according to applicable ib|e standards adopted by authority of The Florida Bar and in accordance with law. If title is found defective, Buyer shall notify Seller in writing specifying defect(s). If the defect(n) render title unnnarket ab|e. Seller will have one hundred twenty (120) days from receipt of notice within which to remove the defect(s), failing which Buyer shall have the option of either accepting the title as it then is or demanding a refund ofdmponit(s) paid which shall immediately be returned to Buyer-, thereupon Buyer and Seller shall release one another of all further obligations under the agreement. Seller vviN, if title in found unmarket- able, use diligent effort in correct defect(s) in title within the time provided therefor, including the bringing nf necessary suits. B. Survey: Buyer, at Buyer's expenue, within time allowed to deliver evidence of title and to examine sama, may have nya| property surveyed and certified by a registered Florida surveyor. If survey shows encroachment on real property ur that improvements located on nsa| property encroach on setback lines, easements, lands of uthers, or violate any nasbiodons, agreement covenants or applicable governmental r*go|ation, the same shall constitute a title defect. C. Seller warrants and represents that there is ingress and egress to the real property sufficient for the intended use as described herein, title to which is in accordance with Standard A. D. Leases: If applicable, Seller shall, not less than fifteen (15) days before c|osinq, furnish to Buyer copies of all written leases and estoppel letters from each tenant specifying the nature and duration of the tenant's occupancy, rental rates, advanced rent and security deposits paid by tenant. If Seller is unable to obtain such letter from each tenant, the same information shall be furnished by Seller to Buyer within that time period in the form of Seller's affidavit, and Buyer may thereafter contact tenants to confirm such information. Seller ehe||, at closing, deliver and assign all original leases to Buyer. E Liens: Seller aho|| furnish to Buyer at time of closing am affidavit attesting to the absence, unless otherwise provided for herein, of any financing sbataments, claims of lien or potential lienors known to Seller and further attesting that there have been no improvements or repairs to property for ninety (QO) days immediately preceding date of closing. If property has been improved, or neVuin*d within that time. Seller shall deliver releases or waivers of mechanics' liens executed by all general contractors, subuontnactora, suppliers, and matehm|men in addition to Seller's lien affidavit setting forth the nurnas of all such general oontructoru, subcontractors, suppliers and materio|nmen and further affirming that all charges for improvements or repairs vvhiub could serve as a basis fora mechanic's line ora claim for damages have been paid or will be paid a1closing. F. Place of ClosiM: Closing shall be held |n the county where nan| property is located, at the office of the attorney or other closing agent designated by Buyer. G, Time, Time is of the essence of this agreement. Time periods herein of less than nix (G) days shall in the computation exclude Saturdays. Sundays and state or national legal ho|idays, and any time period provided for herein which shall end on Saturdey. Sunday orlegal holiday shall extend toS:8Qp.m of the next business day. 5 H. Seller shall furnish daed, bill of sale, mechanic's lien affidavit, assignments of |eases, tenant and mortgagee estoppel lett*rs, and corrective instruments. Buyer shall furnish closing stnhement, mortgage, mortgage note, security agreemenf, and financial statements. i Expenses: Documentary stamps oo the warranty deed and recording corrective instruments and the warranty deed shall be paid byBuyer. J � Taxes' assessments, rent, interest, insurance and other expenses and revenue of property sbm|| be prorated through day before closing. Buyer shall have the option to 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 pronaiions. Proratinns will be made through day prior to occupancy if occupancy ououna before closing. Advance rent and security deposits will be credited to Buyer and escrow deposits held by mortgagee will be credited to 0e||ec Taxes shall be prorated based on the current year's tax with due allowance made for maximum allowable discount, homestead and' other exemptions. lf closing occurs eto date when the current year's nni||uge is not fixed, and current year's assessments is avai|ab|e, taxes will be prorated based upon such assessment and the prior year's mi||age. If current year's assessment is not mvei|eb|e, then taxes will be prorated on the prior year's tax. If there are completed improvements on real property by January toto/ year of closing which improvements were not in existence on January 1st ofthe prior year then taxes shall be prorated based upon the prior year's mi||eQe and at an equitable assessment to be agreed upon between the parbeo, failing wvhich, request will be made tothe County Property Appraiser for un informal assessment taking into consideration available exemptions. Any tax proration based onom estimate may, at request of either Buyer or Seller, be subsequently readjusted u9Vm receipt of tax bill on condition theta statement to that effect is in the closing statement. K, Special Assessment Liens: CertiOed, confirmed and ratified special assessment liens as of date of closing (and 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 Dmte, such pending Hen shall be considered as cerdfiad, confirmed or ratified and Seller shn||, at closing, be charged an amount equal to the last estimate of assessment for the improvement by the public body. L Risk _of1Lo§s� If the property is damaged by fire or other casualty before dosing and cost of restoration does not exceed the purchase price of the property so damaged' cost of restoration shall be an obligation of the Seller and dosing shall proceed pursuant to the term so the agreement with restoration costs escrowed ot closing. |f the cost uf the restoration exceeds three percent (5%) of the ovxeoumU valuation of the improvements so damaged, Buyer shall have the option of either taking property as is` together with either the three percent (396) or any insurance proceeds payable by virtue of such loss or damage, or of canceling the agreement and receiving return of deposit(s). M ESGrow: Any escrow agent ("Agent") receiving funds or equivalent is authorized and agrees by acceptance of them to deposit them prmnnpt|y, hold same in escrow aod, subject to u|eonance, disburse them in accordance with terms and conditions of agreement. 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 agrnemunt. Agent rnay, at Agent's opUnn, continue to hold the subject matter of the escrow until the parties mutually 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 actiqn, all liability on the part of Agent shall fully tenninate, except to the extent of accounting for any items previously delivered out of escrow, |talicensed real estate broker. Agent will comply with provisions of Chapter 47S. F S (1987), as amended. Any suit between Buyer and Seller where Agent is made a party because of acting as Agent heneumder, or in any suit wherein Agent interp|eada the subject matter of the escrow, Agent shall recover reasonable attorney's fees and costs incurred with the fees and costs to be charged and assessed as LOO, court costs in favor of the prevailing party. Parties agree that Agent shall not Lm liable to any party or person formisdeUk/ery to Buyer or Seller of items subject to this escnnw, unless such misddivory is due to willful breach of contract nr gross negligence ofAgent. N If Buyer fails to perform this Contract within the time specified Seller shall be relieved of all obligations under Contract. If, for any reason other than failure of Seller to make Seller's title marketable after diligent effnd. 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. 0. : Neither this agreement nor any notice nfitshall be recorded in any public records. This agreement shall bind and inure to the benefit of the par-ties and their successors in interest. Whenever the context permits, singular shall include plural and one gender shall include all. Notice given byorto the attorney for any party shall beas effective asif given hyprto that party. P Conveyance: Seller shall convey the property by way of Quit C|a/nn Deed subject to an easement for any utilities that may exist and lie on the property. Q. 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 byit. R. Warranties: Seller warrants that then* are no facts known to Seller materially affecting the value of the real property which are not readily observable by Buyer or which have not been disclosed toBuyer. Coversheet MEMORANDUM TO: Mayor and City Commissioners FROM: Lula Butler, Director, Community Improvement THROUGH: David Harden, City Manager DATE: December 5, 2012 Page 1 of 1 SUBJECT: AGENDA ITEM 11.B. - REGULAR COMMISSION MEETING OF DECEMBER 11, 2012 RESOLUTION NO. 58-12/ CONTRACT FOR SALE AND PURCHASE/ 1040 HOMEWOOD BOULEVARD #L201 ITEM BEFORE COMMISSION Staff requests City Commission approval to sell Neighborhood Stabilization Program property located at 1040 Homewood Blvd, #L -201, Delray Beach, FL 33445 to Sebastian Bellotti for the purchase price of Forty Five Thousand Eight Hundred Dollars and 00 /100 cents ($45,800.00) or appraised value. BACKGROUND The City of Delray Beach has received$1,905,005 under the Neighborhood Stabilization Program (NSP) award through the Florida Department of Community Affairs by the U. S. Department of Housing (HUD) and $400,000 from the Delray Beach Community Redevelopment Agency (CRA) as a result of the Housing and Economic Recovery Act of 2008 (H.R. 3221). The NSP funding is for the purpose of purchasing foreclosed or abandoned homes for rehabilitation, resale, or redevelopment in order to stabilize neighborhoods and stem the decline of home values. NSP funds are to benefit Low, Moderate and Middle Income Households (LMMI). LMMI households are defined as those with incomes less than one - hundred twenty percent (120 %) of Area Median Income (AMI) as determined by HUD. The City of Delray Beach desires to sell the subject property to Sebastian Bellotti for the purchase price of Forty Eight Thousand Dollars and 00 /100 cents ($45,800.00) or appraised value: CONDOMINIUM APARTMENT NO L -201, OF PALM VILLAS CONDOMINIUM APARTMENTS INC. ACCORDING TO THE DECLARATION OF CONDOMINIUM THEREOF, AS RECORDED IN OFFICIAL RECORD BOOK 3058, PAGE 1774, AND AS AMENDED OF THE PUBLIC RECORDS OF PALM BEACH COUNTY, FLORIDA. RECOMMENDATION Staff recommends City Commission approve the sale of NSP property located at 1040 Homewood Blvd, #L -201, Delray Beach, FL 33445 to Sebastian Bellotti for the purchase price of Forty Five Thousand Eight Hundred Dollars and 00 /100 cents ($45,800.00) or appraised value. http:// itwebapp / Agendalntranet /Bluesheet.aspx ?ItemID= 6278 &MeetingID =397 9/6/2013