HomeMy WebLinkAbout1998 11-09 EDAP Regular Session EDA NIEETING
City of Brooklyn Center
November 9, 1998 AGENDA
1. Call to Order
2. Roll Call
3. Approval of Agenda and Consent Agenda
-The following items are considered to be routine by the Economic Development
Authority and will be enacted by one motion. There will be no separate discussion of
these items unless a Commissioner so requests, in which event the item will be removed
from the consent agenda and considered at the end of Commission Consideration Items.
a. Approval of Minutes
- Commissioners not present at meetin will be recorded as abstaining from the vote
on the minutes.
1. Regular Session - October 26, 1998
4. Commission Consideration Items
® a. Public Hearing Regarding Sale of Single Family Homes Located in Bellvue Lane
Addition
1. Resolution Approving Terms and Conditions of Sale of Property in Bellvue
Lane Addition Pursuant to Minnesota Statute Section 469.029
•Requested Commission Action:
- Motion to adopt resolution.
b. Resolution Approving Lease Agreement with Janis Blumentals Architects for the D
Barn at the Earle Brown Heritage Center in Accordance with Attached Leasing
Agreement and Authorizing the EDA Executive Director to Execute Said Agreement
•Requested Commission Action:
- Motion to adopt resolution.
5. Adjournment
•
EDA Agenda Item No. 3a
•
MINUTES OF THE PROCEEDINGS OF THE
ECONOMIC DEVELOPMENT AUTHORITY
OF THE CITY OF BROOKLYN CENTER
IN THE COUNTY OF HENNEPIN AND THE
STATE OF MINNESOTA
REGULAR SESSION
OCTOBER 26, 1998
CITY HALL
1. CALL TO ORDER
The Brooklyn Center Economic Development Authority (EDA) met in regular session and was
called to order by President Myrna Kragness at 7:40 p.m.
2. ROLL CALL
President Myrna Kragness, Commission Members Kathleen Carmody, Debra Hilstrom, Kay Lasman,
and Robert Peppe. Also present: Executive Director Michael J. McCauley, Assistant City
Manager/HR Director Jane Chambers, City Attorney Charlie LeFevere, and Recording Secretary
Maria Rosenbaum.
S 3. APPROVAL OF AGENDA AND CONSENT AGENDA
A motion by Commissioner Carmody, seconded by Commissioner Lasman to approve the agenda
and consent agenda. Motion passed unanimously.
3a. APPROVAL OF MINUTES
A motion by Commissioner Carmody, seconded by Commissioner Lasman to approve the minutes
from the Regular Session on October 13, 1998. Motion passed unanimously.
4. COMMISSION CONSIDERATION ITEMS
4a. RESOLUTION APPROVING CHANGE ORDER TO CONTRACT FOR
DEMOLITION OF 6944, 6950, 6956 AND 7000 BROOKLYN BOULEVARD
AND 6945 JUNE AVENUE NORTH, BROOKLYN CENTER
Executive Director Michael McCauley discussed this resolution is approving amendment to contract
for demolition of 6944, 6950, 6956 and 7000 Brooklyn Boulevard and 6945 June Avenue North.
On September 28, 1998, the EDA authorized a contract for demolition of 6944, 6950, 6956 and 7000
Brooklyn Boulevard and 6945 June Avenue North. The demolition is now complete, however
during the demolition significant additional demolition and removal was required for items that were
not apparent and visible until the demolition was underway.
10/26/98 -1- DRAFT
This demolition was extremely unusual in the amount of additional material discovered at the sites.
This resolution would amend the initial contract amount of $29,562 to provide for the removal and
disposal costs of the additional material.
RESOLUTION NO. 98 -18
Commissioner Hilstrom introduced the following resolution and moved its adoption:
RESOLUTION APPROVING CHANGE ORDER TO CONTRACT FOR DEMOLITION OF 6944,
6950, 6956 AND 7000 BROOKLYN BOULEVARD AND 6945 JUNE AVENUE NORTH,
BROOKLYN CENTER
The motion for the adoption of the foregoing resolution was duly seconded by Commissioner Peppe.
Motion passed unanimously.
5. ADJOURNMENT
A motion by Commissioner Hilstrom, seconded by Commissioner Lasman to adjourn the meeting
at 7:43 p.m. Motion passed unanimously.
President
10/26/98 -2- DRAFT
EDA Agenda Item No. 4a
•
•
is MEMORANDUM
TO: Michael J. McCauley, City Manager .�
FROM: Tom Bublitz, Community Development Specialist /t
DATE: November 5, 1998
SUBJECT: Resolution Approving Terms and Conditions of Sale of Property in Bellvue Lane
Addition
Resolution 98 -17 authorized a public hearing on the "terms and conditions" of the sale of property
in Bellvue Lane Addition pursuant to Minnesota Statutes Section 469.029. The statute is not
prescriptive with regard to the definition of "terms and conditions" of the sale. The primary items
addressed in the "terms and conditions" of sale are the sale price, other costs associated with the sale
price of the property and the provisions of the purchase agreement and related documents.
The items that follow address the statutory provisions relative to the terms and conditions of sale of
properties in Bellvue Lane Addition:
® 1. Recommended Base Sale Price of Unit
Unit C (the Independence) rambler - 1410 sq. ft. finished space - $142,900
Unit A (the Liberty) two story - 1990 sq. ft. finished space - $155,900
Unit D (the Heritage) modified two story - 2100 sq. ft. finished space - $159,900
The sale price includes $15,000 per lot and an additional amount to cover development
costs, assessments, sales commissions, seller closing costs and other miscellaneous costs
of development, construction and sale. The sale price essentially covers the cost of
development, construction and sales.
The recommended sale prices of the respective units are the estimated maximum market
prices of the units based on analysis of existing market conditions confirmed by the
EDA's broker and construction manager. The lot price of $15,000 per lot is below the
per lot market value of approximately $25,000 per lot but the lot prices have been
adjusted to reach what is calculated to be the maximum market price the EDA can expect
for these homes.
2. Lot Premiums
A number of the lots in the Bellvue Lane Addition are more desirable than others in terms
of location and amenities. As a result, lot premiums are recommended for these lots.
Attached is a summary of the recommended lot premiums along with a copy of the plat
showing the locations of the lots.
i
3. Purchase Agreement and Associated Documents
• Attached to this memorandum is a purchase agreement to be used for the sale of the
homes in the Bellvue Lane Addition. Where possible the blanks are filled in with
information with regard to the proposed terms and conditions of sale of the homes. A
summary of the main features of the purchase agreement is shown by the following:
• Earnest money $1,000 ($500 earnest money and $500 lot hold)
• Financing will be conventional, FHA or VA
• Special assessments (street and storm water) amounting to $2,730 per lot, will be paid
by builder
• The properties in Bellvue Lane Addition are classified as tax exempt so no taxes will
be due for 1999.
• Buyers can execute a 14 day lot hold agreement. At the end of the 14 day period
buyers must enter into a purchase agreement or forfeit the lot. The purchase
agreement would be contingent on the sale of the buyers old home. Construction of
the buyers new home would start before their existing home is sold. The contingency
is a 48 hour contingency. If a non - contingent buyer wants to purchase the lot and
house held by the contingent buyer, the contingent buyer has 48 hours to remove the
contingency.
4. Protective Covenants
A copy of proposed restrictive covenants on the lots in Bellvue Lane Addition is included
with the memorandum. This document would be recorded with the plat at the Hennepin
County Recorders office and would regulate activities and structures that would•be
allowed on the lots.
5. Included Features of Units
Attached to this memorandum is a list of the features included in the base price of the
units.
The resolution included with the memorandum would approve the terms and conditions as
summarized in this memorandum. It is recommended the resolution be considered by the Economic
Development Authority Board of Commissioners after holding the public hearing.
A representative from Coldwell Banker Burnet, the EDA's broker for this project, will be present at
Monday's meeting to respond to any questions concerning the terms and conditions of the purchase
agreement and related documents.
i
I
• LIST OF ATTACHMENTS
• Base Price of Homes and Included Features
• Purchase Agreement
• Lot Premiums
• Protective Covenants
I
. Base Prices
Rambler (C) The Independence $142,900
Two Story (A) The Liberty $155,900
Modified Two Story (D) The Heritage $159,900
i
Lot Prem,i*ums
Block 1 Block 2
Lot 1 $3 Lot 1 Model
Lot 2 2 Lot 2 None
Lot 3 2 Lot 3 None
Lot 4 3 Lot 4 None
Lot 5 1 Lot 5 1
Lot 6 1 Lot 6 2
Lot 7 1 Lot 7 2
Lot S Model
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/��� NEW CONS TRUCTION PURCHASE AGREEMENT
■( TY:,s .'orm acor v Cy 71e Munesma Assocaoon or
i REALTCRS . wrCt dmdavm any 4aGGty
arwg out d use or misuse c t trla form.
1. Date
2 Page 1 of . Pages
® 3. RECEIVED OF
4.
5. the sum of Dollars
6. by CHECK • CASH as earnest money upon acceptance of Purchase Agreement by all parties; (check one)
7. ❑ GIVEN TO THE SELLER ( AS A CONSTRUCTION DEPOSIT FOR PART PAYMENT OF MATERIALS AND LABOR C
8. C TO BE DEPOSITED ON OR BEFORE THE THIRD BUSINESS DAY AFTER ACCEPTANCE IN A TRUST ACCOUNT OF THE LISTING BROKE
9. but to be returned to Buyer if Purchase Agreement is not accepted by Builder. Said earnest money is part payment for the purchase of th
10. property located at:
11. Street Address
12. City of County of State of Minnesota
13. Legally described as:
14,
15. Builder hereby agrees to construct upon the Real Property a home together with other improvements to be built in substantial conformance wit.
16. the Plans and Specifications for the a copy of whic
17. is attached to this Purchase Agreement as Exhibit 'A' or is in the office of Builder. The Real Property, as improved by construction, togethe
18. with Personal Property, if any, chosen by the Buyer and to be provided by the Builder, is hereinafter referred to as 'Property", which Buildc
19. has this date agreed to sell to Buyer for the sum of: IS )
20. dollars, which Buyer agrees to pay as follow,
21. Earnest money of S % . O G (,' ; and additional earnest money of S
22. due
23.
24.
Inc
25. S cash on the date of closing, and the balance of S by financing i
26. accordance with the attached addendum:
27. Conventional FHA VA Other:
28. This Purchase Agreement IS / IS NOT subject to a Contingency Addendum for sale of Buyer's property. (If answer is IS, see attached addendum.)
29. This Purchase Agreement IS / IS NOT subject to cancellation of a previously written Purchase Agreement dated
30. This Purchase Agreement IS / I S N subject to an Inspection Addendum. (If answer is IS, see attached addendum.)
31. PRICE PROTECTION: If this Agreement is contingent, a day price protection is granted from the date of this Purchas
32. Agreement. If the contingency is not removed within said time period, price shall become null and void. Buyer and Builder will then renegotiate th
33. price. In the event the price cannot be renegotiated, this Agreement shall become null and void and all parties shall immediately sign a cancellation c
34. Purchase Agreement.
35. COMMENCEMENT OF CONSTRUCTION: Upon execution of this Agreement, and clearing of all contingencies, Builder shall continue t
36. work with all reasonable diligence to final completion.
37. BUYER AGREES THAT THE DIRECTION AND SUPERVISION OF THE WORK FORCES, INCLUDING SUBCONTRACTORS REST:
38. EXCLUSIVELY WITH BUILDER. BUYER AGREES NOT TO INTERFERE WITH OR ISSUE INSTRUCTIONS TO WORK FORCES, NOR T
39. CONTRACT FOR ADDITIONAL WORK WITH CONTRACTORS OR SUBCONTRACTORS EXCEPT WITH BUILDER'S WRITTEN PERMISSION
40. IF PERMISSION IS GRANTED, SUCH ADDITIONAL WORK SHALL NOT INTERFERE WITH BUILDER'S COMPLETION OF TH:
41. CONSTRUCTION OF THE HOME.
42. MODIFICATIONS: Any significant change in the Plans and Specifications must be approved in writing by both parties citing by CHANGE ORDE
43. any increase or decrease in the purchase price caused by such change. Unless otherwise agreed in writing, any such increase or decreas
44. shall be reflected as an adjustment in cash at EXECUTION OF THE CHANGE ORDER / CLOSING. Materials of similar type and qualit
45. may be substituted without notice to or consent of Buyer, so long as such change or substitution shall not substantially alter the characte
46. of the home or reduce the value thereof.
47, COMPLETION: At closing, Builder shall furnish proper individual lien waivers for all labor and materials provided. Builder's funds shall b�
48. escrowed for any work which cannot be completed because of weather conditions or because of mortgage requirements. Such escrowe;
49. funds shall be payable to Builder upon completion of such specified work.
50. DEED/MARKETABLE TITLE: Upon performance by Buyer, Builder shall deliver a Warranty Deec
51. joined in by spouse, if any, conveying marketable title, subject to:
52. (A) Building and zoning laws, ordinances, state and federal regulations: (B) Restrictions relating to use or improvement of the property with -
53. effective forfeiture provisions: (C) Reservation of any mineral rights by the State of Minnesota; (D) Utility and drainage easements which do nc
54. interfere with existing improvements: (E) Rights of tenants as follows (unless specified, not subject to tenancies):
55.
56. (F) Others (Must be specified in writing):
57. SPECIAL ASSESSMENTS shall be paid as follows:
58. BUYER AND BUILDER SHALL PRORATE AS OF THE DATE OF CLOSING BUILDER SHALL PAY ON DATE OF CLOSING all installment:
59. of special assessments certified for payment with the real estate taxes due and payable in the year o c,o ng.
60. BUYER SHALL ASSUME BUILDER SHALL PAY �n date of closing all other special assessments levied as of the date of this Agreement
61. BUYER SHALL ASSUME UILDER SHALL PROVIDE FOR PAYMEN r OF assessments pending as of the date of this Agreemer
62. 'for improvements that have been ordered by the City Council or other assessing authorities. (Builder's provision for payment shall be by paymer
63. into escrow of two (2) times the estimated amount of the assessments, or less as required by Buyer's lender.)
64. Builder and Buyer initial: Buiider(s) Date Buyer(s) Date
65. MN: NCPA -1 (9/97)
BUR 1066 (1(0 97)
NEW CONSTRUCTION PURCHASE AGREEMENT
66. Page 2
67. TITLE & EXAMINATION: Builder shall, at Builder's option, within a reasonable time after acceptance of this Agreement, provide evidence o;
68. title in the form of either (1) a commitment for an owner's polity of title insurance in the amount of the purchase price on a current ALTA four
69. issued by an insurer licensed to write title insurance in Minnesota; or (2) an abstract of title or a registered property abstract certified to date.
70. Evidence of title shall include, proper searches covering bankruptcies, state and federal judgements and liens, and levied and pending
71. Special Assessments. Builder de shall (t) pay the entire premium for such title insurance policy it no lender's policy is obtained, and only the
72. - additional cost of obtaining a simultaneously issued owner's policy if a lender's policy is obtained (Buyer shall pay the premium for the
73. lender's polio ); or 2 a all y ( costs of providing
P Y the abstract. If Bii;Ider provides a commitment for an owner's olio gt title insurance, P Y ra ce, Binder
74. shall surrender an abstract in Builder' Z•
Y s possession or control to Buyer at closing. � ,
Y
9
75. Builder shall use Builder's best efforts to provide marketable title by the date of closing. In the event Builder has not provided marketable title by the
76 date of closing, Builder shall have an additional 30 days to make title marketable or, in the alternative, Buyer may waive the defects by written notice
77. to the Builder. In addition to the 30 day extension, Buyer and Builder may by mutual agreement further extend the closing date. Lacking such
78. extension, either parry may declare this Purchase Agreement null and void: neither party shall be liable for damages hereunder to the other anc
79. earnest money shall be refunded to Buyer; Buyer and Builder shall immediately sign a cancellation of Purchase Agreement.
80. General warranties: Builder warrants that buildings are or will be constructed entirely within the boundary lines of the Propertv
81. Builder warrants that there is a right of access to the property from a public right of way. These warranties shall survive the
82. delivery of the deed or contract for deed.
83. Builder warrants that prior to the closing, payment in full will have been made for all labor, materials, machinery, fixtures
84. or tools furnished within the 120 days immediately preceding the closing in connection with construction, alteration or repair of am
85. structure on or improvement to the property.
86. Builder warrants that Builder has not received any notice from any governmental authority as to violation of any law.
87. ordinance or regulation. If the Property is subject to restrictive covenants, Builder warrants that Builder has not received any
88. notice from any person or authority as to a breach of the covenants. Any notices received by Builder will be providee
89. to Buyer immediately.
90. RISK OF LOSS: If there is any loss or damage to the Property between the date hereof and the date of closing, for any reason including
91. fire, vandalism, flood, earthquake or act of God, the risk of loss shall be on Builder. If the Property is destroyed or substantially damaged before
92. the closing date, this Purchase Agreement shall become null and void, at Buyer's option, and earnest money shall be refunded to Buyer:
93. Buyer and Builder shall immediately sign a cancellation of Purchase Agreement.
94. TWE OF ESSENCE. Time is of the essence in this Purchase Agreement.
95. WALK - THROUGH REVIEW: Buyer has the right to a walk - through review of the Property prior to closing.
96. ENTIRE AGREEMENT. This Purchase Agreement, any attached exhibits and any addenda or amendments signed by the parties, shall constitute
• 97. the entire Agreement between Builder and Buyer, and supercedes any other written or oral agreements between Builder and Suven This Purchase
98. Agreement can be modified only in writing signed by Builder and Buyer.
99. ACCEPTANCE: Buyer understands and agrees that this Purchase Agreement is subject to acceptance by Builder in writing. The delivery of all papers
100. and monies shall be made at the listing oroker's O, ice.
101. DEFAULT: If Buyer defaults in any of the agreements herein. Builder may terminate this Purchase Agreement and payment=_
102. made hereunder may be retained by Builder as liquidated damages. If this Purchase Agreement is not so terminated, this
103. provision shall not deprive either Buyer or Builder of the right to recover damages for breach of this Agreement or of the right to specific
104. performance of this Agreement: and, as to so.ecific performance. such action must be commenced within six months after such right
105. of action arises.
106. NEW CONSTRUCTION STATUTORY WARRANTIES: MINNESOTA LAW REQUIRES THAT A SELLER OF NEW HOLIES MUST PROVIDE
107. CERTAIN WARRANTIES TO THE PURCHASER. THE BUILDER WARRANTS TO THE FIRST PURCHASER AND SUBSEQUENT
108. PURCHASERS THAT: "(1) DURING THE ONE YEAR PERIOD FROM AND AFTER THE WARRANTY DATE, THE DWELLING SHALL
1v " 9. BE FREE FROM DEFECTS CAUSED BY FAULTY WORKMANSHIP AND DEFECTIVE MATERIALS DUE TO NON- COMPLIANCE WITH
110. BUILDING STANDARDS; (2) DURING THE TWO YEAR PERIOD FROM AND AFTER THE WARRANTY DATE, THE DWELLING SHALL
i 11. BE FREE FROM DEFECTS CAUSED BY FAULTY INSTALLATION OF PLUMBING, ELECTRICAL, HEATING AND COOLING SYSTE.
112. AND (3) DURING THE TEN YEAR PERIOD FROM AND AFTER THE WARRANTY DATE, THE DWELLING SHALL BE FREE FROM MAJOR
113. CONSTRUCTION DEFECTS." THE WARRANTY DATE IS THE DATE THE FIRST BUYER FIRST OCCUPIES THE NEW DWELLING OR
't4. THE DATE ON WHICH THE FIRST BUYER TAKES LEGAL TITLE TO THE NEW DWELLING. WRITTEN CLAIMS UNDER THE WARRANTY
115. MUST BE REPORTED TO THE BUILDER WITHIN SIX MONTHS AFTER DISCOVERY OF THE DEFECT. TO DETERMINE THE EXACT
116. COVERAGE UNDER THE WARRANTY AND THE EXCLUSION TO THE WARRANTY SEE MINNESOTA STATUES SECTION 327A.01.
117. IMPORTANT HEALTH NOTICE:
118. SOME OF THE BUILDING MAT ERIALS USED IN THIS HOME (OR THESE BUILDING MATERIALS) EMIT FORMALDEHYDE. EYE. NOSE.
11 9. AND THROAT IRRITATION, HEADACHE. NAUSEA AND A VARIETY OF ASTHMA-LIKE SYMPTOMS, INCLUDING SHORTNESS OF BREATH,
120. HAVE BEEN REPORTED AS A RESULT OF FORMALDEHYDE EXPOSURE, ELDERLY PERSONS AND YOUNG CHILDREN, AS WELL AS
121. ANYONE WITH A HISTORY OF ASTHMA. ALLERGIES. OR LUNG PROBLEMS. MAY BE AT GREATER RISK. RESEARCH IS CONTINUING
122. ON THE POSSIBLE LONG -TERM EFFECTS OF EXPOSURE TO FORMALDEHYDE.
123. REDUCED VENTILATION MAY ALLOW FORMALDEHYDE AND OTHER CONTAMINANTS TO ACCUMULATE IN THE INDOOR AIR. HIGH
124. INDOOR TEMPERATURES AND HUMIDITY RAISE FORMALDEHYDE LEVELS. WHEN A HOME IS TO BE LOCATED IN AREAS SUBJECT
125. TO EXTREME SUMMER TEMPERATURES, AN AIR - CONDITIONING SYSTEM CAN BE USED TO CONTROL INDOOR TEMPERATURE'
126. LEVELS. OTHER MEANS OF CONTROLLED MECHANICAL VENTILATION CAN BE USED TO REDUCE LEVELS OF FORMALDEHYDE
127. AND OTHER INDOOR AIR CONTAMINANTS. - - -- - - -
128. IF YOU HAVE ANY QUESTIONS REGARDING THE HEALTH EFFECTS OF FORMALDEHYDE. CONSULT YOUR DOCTOR OR LOCAL HEALTH
129. DEPARTMENT.
130. LIEN NOTICE: (A) ANY PERSON OR COMPANY SUPPLYING LABOR OR MATERIALS FOR THIS IMPROVEMENT TO YOUR PROPERTY
131. MAY FILE A LIEN AGAINST YOUR PROPERTY IF THAT PERSON OR COMPANY IS NCT PAID FOR THE CONTRIBUTIONS. (B) UNDER
132. MINNESOTA LAW. YOU HAVE THE RIGHT TO PAY PERSONS WHO SUPPLIED LABOR OR MATERIALS FOR THIS IMPROVEMENT DIRECTLY
133. AND DEDUCT THIS AMOUNT FROM OUR CONTRACT PRICE. OR WITHHOLD THE AMOUNTS DUE THEN; FROM US UNTIL 120 DAYS
134. AFTER COMPLETION OF THE IMPROVEMENT UNLESS WE GIVE YOU A LIEN WAIVER SIGNED BY PERSONS WHO SUPPLIED ANY
135. LABOR OR MATERIAL FOR THE IMPROVEMENT AND WHO GAVE YOU TIMELY NOTICE.
((ff a All NEW CONSTRUCTION PURCHASE AGREEMENT
136. Date
137. Page 3 of Pages
138. BUYER SHALL ASSUME BUILDER SHALL PA_Y date of closing any deferred real estate taxes (i.e. Green Acres, etc.) or special assessments
139. payment of which is required as a result of the closing of this sale. Buyer shall pay real estate taxes due and payable in the year following
• 140. closing and thereafter and any unpaid special assessments payable there thereafter, the payment of which is not otherwise provided.
141. As of the date of this Agreement, Builder represents that Builder HAS AS NOT ) received a notice of hearing for a new public improvement
142. project from any governmental assessing authority, the costs of which project may be assessed against the Property. If a notice of pending
143. special essment is issued after the date of this Agreement and on or before the date of closing, Buyer shall assume payment of
144. ALL NON OTHER: of any such special assessments, and Builder shall pay on date of closing (or escrow for payment as
- ,om.�.,
145. provided abov) ALL /NONE/ of any such special assessments. If such special assessments or escrow amounts for
146. said special assessments as required by Buyer's lender shall exceed S �' ° o then either party may agree in writing on or before the
147, date of closing to assume, pay or provide for the payment of such excess. In the absence of such agreement, either party may declare this
148. Purchase Agreement null and void; the parties shall immediately sign a cancellation of Purchase Agreement and all eamest money paid hereunder
149, shall be refunded to Buyer.
150. REAL ESTATE TAXES shall be paid as follows:
151. Buyer shall pay, PRORATED FROM DAY OF CLOSING, _12TH , AL NONE real estate taxes due and payable in the yea rX ='a ?o
152. Builder shall pay, PRORATED TO DAY OF CLOSING, _12THS, AL NONE r al estate taxes due and payable in the yea 2 006
153. If the closing date is changed, the real estate taxes paid shall, if pcKted, he 8� sled to the new closing date. Builder warrants taxes due
154. and payable in the year 19 " l will be _ classtication. BTlilder agrees to pay Buyer at closing S
155. toward the non - homestead real estate taxes. Buyer agrees to pay any remaining balance of non - homestead taxes when they become
156 due and payable. No representations are made conceming the amount of subsequent real estate taxes.
157. COVENANTS, CONDITIONS 1, RESTRICTIONS:
158. Builder warrants that Builder has delivered copies of all covenants, conditions and restrictions pertaining to the Property, and Buyer acknowledges
159. receipt and acceptance of all covenants, conditions and restrictions.
160. BUILDER & BUYER INITIAL: Builder(s) Buyer(s)
161. SPECIAL WARRANTIES:
162. BUILDER WARRANTS THAT THE PROPERTY iLL SE ILL NOT BE DIRECTLY CONNECTED TO CITY SEWER.
163. BUILDER WARRANTS THAT THE PROPER i WILL B WILL NOT BE DIRECTLY CONNECTED TO CITY WATER.
164. BUILDER WARRANTS, AS MINNESOTA STATUTES SEC 327A.02 SUED. 1(b) REQUIRES, THAT PLUMBING, ELECTRICAL, HEATING AND
165. COOLING SYS T EMS TO BE FREE FROM OEPEC T S CAUSED BY FAULTY INSTALLATION FOR A TWO YEAR PERIOD, AND WILL BE IN
166. WORKING ORDER AT TIME OF CLOSING. APPLIANCES PROVIDED WITH THE PROPERTY BEAR ONLY THE WARRANTIES ESTABLISHED
e 167. BY THE MANUFACTURER, AND BUILD MAKES NO ADDITIO WARRANTIES ON APPLIANCES, EXPRESS OR IMPLIED.
168. BUYER HAS RECEIVED THE WELL DISCLOSURE STATEMENT OR A STATEMENT THAT NO WELL EXISTS ON THE PROPERTY, AND A
169. SEPTIC SYSTEM DISCLOSURE STATEMENT OR A STATEMENT THAT NO SEPTIC SYSTEM EXISTS ON OR SERVES THE PROPERTY,
170. AS REQUIRED BY MINNESOTA STATUTES.
171. 1 ACKNOWLEDGE THAT I HAVE RECEIVED AND HAD THE OPPORTUNITY TO REVIEW THE ARBITRATION DISCLOSURE AND
172. RESIDENTIAL REAL PROPERTY ARBITRATION AGREEMENT.
173. SELLER(S) BUYER(S)
174, SELLER(S) BUYER(S)
175• NOTICE
176. is Seller's AgentBuyer's Agent/Dual Agent/Non-Agent
(t:censee)
177. «T»
(C-=oany)
178. 8. (txensee) is Seller's Agent/Buyer's AgenVOual Agent/Non -Agent
179.
(C -pang
180• THIS NOTICE DOES NOT SATISFY MINNESOTA STATUTORY AGENCY DISCLOSURE REQUIREMENTS.
181. DUAL AGENCY REPRESENTATION
182. DUAL AGENCY REPRESENTATION DOES/DOES NOT APPLY IN THIS TRANSACTION.
183. Broker represents both the Seller(s) and the Buyer(s) of the property involved in this transaction, which creates a dual agency. This
184. means that Broker and its salespersons owe fiduciary duties to both Seller(s) and Buyer(s). Because the parties may have conflicting
185, interests, Broker and its salespersons are prohibited from advocating exclusively for either party. Broker cannot act as a dual agent in this
186. transaction without the consent of both Seller(s) and Buyer(s). Seller(s) and Buyer(s) acknowledge that:
187. (1) confidential information communicated to Broker which regards price, terms, or motivation to buy or sell will remain confidential
188. unless Seller(s) or Buyer(s) instructs Broker in writing to disclose this information. Other information will be shared;
. 189. (2) Broker and its salespersons will not represent the interest of either party to the detriment of the other, and
190. (3) within the limits of dual agency, Broker and its salespersons will work diligently to facilitate the mechanics of the sale.
191. With the knowledge and understanding of the explanation above, Seller(s) and Buyer(s) authorize and instruct Broker and its salesperson to
192. act as dual agents in this transaction.
193. Seller . Buyer
194. Seller Buyer
195. Date Date
ffff .r r ra w +vJ ( MUl; i iUN r UrYU; (ASc AVHEF—MENT
196. Date
197. Page 4 of Pages
198. L the owner of the Property, accept this Agreement and authorize I agree to purchase the Property for the price and on the
199. the listing broker to withdraw said property from the market, terms and conditions set forth above and I have reviewed all pages of
0 200. unless instructed otherwise in writing and I have reviewed all pages this Purchase Agreement.
201. of this Purchase Agreement.
202. X
(a—, $"-.( X
(oaui (sp ] syvwr.( (o.LLi
203.
(Bwq.r ] Pmtp Nam.t
(MJrgL $LLml (S.Y. ] PMI.o N.ma(
204.
(S—VI S ti M NtFn - ppIV w1
205. X (wm,t $YUaI
(ewwr ] Spvlu�t X
(Oaut (buyer t S9titunl
2066. IDm.i
IBwoer s Pmip Nam.) (Mahal s
(8.y., Pmlaa Name
207.
($Deal S—y Numoer . opoa+ay
(Manta $Ylust
208. Builder's License Number
209. Builder's Fed. I.D. Number or SS
210. PNALACCEPTANCEOATE SEWNGAGENT
1.
212. THIS IS A LEGALLY BINDING CONTRACT BETWEEN BUYERS AND SELLERS.
212. MN: NCPA (9N71 IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL
•
14 Day Lot Hold
for
"The Homes on Bellvue Lane"
Name
Home Address
City State Zip
Phone: (Home) (Work) (Work)
Lot Block Bellvue Lane Addition, Brooklyn Center, MN
Lot Premium: $
Lot is "off market" until 6:00 PNI, ,19_, at which
time all rights to this site by the buyer shall expire and
automatically be null and void unless replaced by a valid
purchase agreement approved and signed by all parties.
Five hundred dollars ($500.00) is hereby received for this "Lot
Hold ". Said amount to be applied as earnest money if a
purchase agreement is completed, or returned to buyer when
this "Lot Hold" automatically expires.
City of Brooklyn Center, EDA Representative Buyer
Date Buyer
Coldwell Banker Burnet Agent Date Date
) CONTINGENCY ADDENDUM
This bm approved by T* NWv)esota Assoaaoon of
REALTCRS which disdains any kaoti y w=,g out
d use of m suss of this roan.
1. Date
• 2. Page of Pages
3. Addendum to Purchase Agreement dated 19 pertaining to purchase
4, and sale of the property at
5 ' '7 •q HOUR CONTINGENCY
6. IN COMPUTING ANY HOURS HEREIN, THE PERIOD FROM 12:01 A.M. SATURDAY THROUGH 12:01 A.M. MONDAY AND THE 24 HOUR
7. PERIOD OF ANY STATE OR FEDERAL HOLIDAY SHALL BE EXCLUDED.
8. This Agreement is contingent upon the Buyer entering into a valid purchase agreement for the sale of Buyer's property
9. located at
10. on or before 19 _._ , which is listed or will immediately be fisted for sale with
11.
broker.
12. In the event a valid purchase agreement is not signed by the date specified on line 10 of this Agreement, this Agreement is null and void
13. and the earnest money will be refunded to Buyer. The Seller and the Seller's agents shall have the right to continue to offer
14, the property for sale unless this contingency is removed. Seller may demand removal of this contingency at any time by
15. service of a written notice in the form as shown on the Request For Removal Of Contingency (form MN:RFR). If Buyer
16. does not remove this contingency as specified herein within the above specified hours of service of the written notice, this
17. Agreement shall be null and void and the eamest money shall be refunded to Buyer. The above specified hours shall start when
18. the Request for Removal of Contingency is served upon the selling agent or an licensee of the selling 9 9 Y agent's offi eat
g off ice. The agent
9
19. upon whom the written notice is served shall, accept, date and time the notice. It is the selling company's responsibility to
20. deliver the papers to the Buyer for the Buyer's immediate consideration. Both Buyer and Seller shall immediately sign cancellation papers
21. in the event the contingency is not removed.
22. To remove the contingency, Buyer shall serve upon the listing agent or any licensee of the listing agent's ent's office a Notice of
23. Intent to Remove Contingency in the form as shown on the Request for Removal of Contingency (form MN:RFR), within
24. the above specified hours. The agent upon whom the notice is served shall accept, date and time the notice. It is the listing
25. company's responsibility to deliver the notice and accompanying documents to the Seller for the Seller's immediate
26. consideration. The Notice of Intent to Remove Contingency must be accompanied by a true copy of a valid purchase agreement
27. for the sale of the Buyer's property. To be valid, the purchase agreement must not be contingent upon anything other
28. than financing and must have a closing date not later than the closing date in this Purchase Agreement.
® 29. In the alternative, the Notice of Intent to Remove Contingency may be accompanied by written proof of the Buyer's ability to
30. consummate this transaction without the sale of the Buyer's property. Irrespective of such written proof that Buyer
31. may provide, the decision whether to accept or reject Buyer's proof shall be solely that of the Seller.
32. If the Notice of Intent to Remove Contingency is accompanied by a valid purchase agreement, as specified above, the
33. Seiler shall accept the removal of this contingency. If the Notice of -Intent to Remove Contingency is accompanied by anything
34. other than a valid purchase agreement, Seller shall have I- hours from the time noted on the Notice of Intent to
35. Remove Contingency, within which to review the documentation and accept or reject the attempted removal of this contingency.
36. Unless the Seller specifically rejects, by so indicating on the form and delivering same to the listing agent or any licensee
37. of the listing agent's office within the period as specified in line 34, the contingency shall be deemed removed and the transaction
38. shall proceed accordingly.
39. In the event there is more than one Buyer or Seller, the parties agree that any one Buyer or Seller may sign the Request
40. for Removal of Contingency or the Notice of latent to Remove Contingency.
41. OTHER:
42.
Is�n tom)' gran
tom)
43.
Isa'eA PM) (BuyM
44. �)
�' � ice) l5eltq �) (Deal
45.
. 0.ma'9 Corrprq r+Y+bl (Dme 1 (Sain9 Carovry wrt,e) (Daze!
4 6• THIS IS A LEGALLY BINDING CONTRACT BETWEEN BUYERS AND SELLERS
47 IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL_
48. MN:CNfG (8196)
R R T INSURED CONVENTIONAL MORTGAGE
firs !o(m approved by lie Mmne=21 ASS=awn of
B� 1 �l 1
REALTORS`. Mirnescta?ssooaom of REALTORS'
drsc'auns arty i ab4ity artsrq out of use or misuse of this form.
1. Date
2 Page of Pages
• 3. Addendum to Purchase Agreement between parties dated 19 pertaining to the purchase
4, and sale of the property at
5.
6. Buyer will apply for and secure at Buyer's expense a CONVENTIONAL INSURED CONVENTIONAL
7. mortgage in the amount stated in the Purchase Agreement amortized monthly over a
?te L
8. period of not more than -�30 years with an initial mortgage interest rate of no more than M�`" f perce � nt per annum.
9. MORTGAGE APPLICATION: The mortgage application IS TO BE MADE WITHIN FIVE BUSINESS DAYS after the acceptance of this
10. Purchase Agreement. Buyer agrees to use best efforts to secure a commitment for such financing and to execute all documents required to
11. consummate said financing. If Buyer cannot secure a commitment for such mortgage, this agreement shall become null and void and earnest
12. money paid by Buyer herein shall be refunded to Buyer; Buyer and Seller agree to sign a Cancellation of Purchase Agreement.
13. PRIVATE MORTGAGE INSURANCE (PMI): PMI may be required by the lending institution. Buyer agrees to pay all subsequent year's
14. mortgage insurance premiums as required by the lending institution. The said mortgage insurance premium will increase the mortgage amount
15. unless paid in cash at the closing.
16. DISCOUNT POINTS: Mortgage discount points ( "Points' not to exceed _ of the mortgage amount including PMI, 9 added to mortgage,
17. shall be paid as follows:
18, paid by Buyer. NOTE: Do not exceed maximum Setter
19. paid by Seller. contribution allowed by Iender.
20. If the Points charged by the lender are less than the Points agreed to on line n16: (initial option 1, 2 or 3)
1. The Points shall be charged first to the Seller and the balance to the Buyer.
If the Buyer is not contributing towards the Points and the Points are less than agreed to on Line #19, then:
(initial option A or S)
„r� 3 A. Seller Shall pay total amount agreed to in line :19 and 8uyer may use it at their discretion towards
Points, buy -down fees, or costs of closing.
• L B. Seller shall pay only Points.
r. .. 2. The Points shall be charged first to the Buyer and the balance to the Seller.
3. The Points shall be paid proportionately by both Seller and 5uyer as agreed on lines R16 -19 above.
29. LOCLOATING OF MORTGAGE INTEREST RATE ( "RATE ") AND POINTS: Seller and Buyer agree the Rate and Points
30. OCKED 0 an the date of application. If the Rate and Points are to be floated, it shall be the sole discretion of SELLE UYER
31. to lock in the Rate and Points. If the Seller has sole discretion to lock Rate and Points, Buyer agrees to sign lender's lock -in documents
32. immediately upon notification from Seller.
33. LENDER COMMITMENT WORK ORDERS: Nothing in this Purchase Agreement shall be construed as a warranty that the Seller will make
34. repairs required by the Lender commitment. However, the Seiler agrees to pay up to S / cc to make repairs as
35. required by the Lender commitment. If the Lender commitment is subject to any work orders for which the cost of making said repairs shat'
36. exceed this amount, the Seller shall have the following options:
37. (A) Making the necessary repairs; or
3S. (8) Negotiating the cost of making said repairs with the Buyer; or
39. (C) Declaring the Purchase Agreement null and void and earnest money paid shall be refunded to the Buyer;
40. Buyer and Seller agree to sign a Cancellation of the Purchase Agreement, unless the Buyer provides for payment of the cost of
41. said repairs or escrow amounts related thereto above the amount specified on line 34 of this Addendum.
42. OTHER:
43.
44.
45. THIS IS A LEGALLY BINDING CONTRACT BETWEEN BUYERS AND SELLERS.
46. ER 175 (9,197) IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL
C13 1047 (10!97) Indcnendcnth• Owned And Onerated By NRT. Incomoritee.
- r%z)i i A_ I—IN UIJI.LVJ..RC - Nu KtJ1ULN I Ii.L.
REAL PROPERTY ARBITRATION AGREEMENT
This form is approved oy the Minnesota AssMwthon of
REALTORSA. which disciaims any hadlrty arising out of use N
BURNET misuse of this form
ARBITRATION DISCLOSURE
You have the right to choose whether to have any disputes about the physical condition of the property that you are
buying or selling decided by binding arbitration or by a court of law. By agreeing to binding arbitration you give up your right
to go to court. By signing the RESIDEN IIAL REAL PROPERTY ARBITRATION AGREEMENT (
AGREEMENT ") below, you agree to binding arbitration under the Residential Real Property Arbitration System ( Arbitration
System ") administered by the American Arbitration Association (AAA) and endorsed by the Minnesota Association of
REALTORSO (MAR). The ARBITRATION AGREEMENT is enforceable only if it is signed by all buyers, sellers, listing and
selling brokers/agents. The ARBITRATION AGREEMENT is not part of the purchase agreement. Your purchase agreement
will still be valid whether or not you sign the ARBITRATION AGREEMENT.
The Arbitration System is a private dispute resolution system offered as an alternative to the court system. It is not
government sponsored. The AAA and the MAR jointly adopt the rules that govern the Arbitration System. The AAA and the
MAR are not affiliated. Under the ARBITRATION AGREEMENT you must use the arbitration services of the AAA.
All disputes about or relating to the physical condition of the property are subject to arbitration under the ARBITRATION
AGREEMENT. This includes claims of fraud, misrepresentation, warranty and negligence. An agreement to arbitrate does not
prevent a party from contacting the Minnesota Department of Commerce, the state agency that regulates the real estate
profession, about licensee compliance with state law.
The administrative fee for the Arbitration System varies depending on the amount of the claim, but it is more than initial
court filing fees. In some cases, conciliation court is cheaper than arbitration. The maximum claim allowed in conciliation court
is $7,500. This amount is subject to future change. In some cases, it is quicker and less expensive to arbitrate disputes than to
go to court, but the time to file your claim and pre- hearing discovery rights are limited. The right to appeal an arbitrator's award
is very limited compared to the right to appeal a court decision.
A request for arbitration must be filed within 18 months of the date of the closing on the property or else the
claim cannot be pursued.
A party who wants to arbitrate a dispute riles a Demand, along with the appropriate administrative fee, with the AAA.
The AAA notifies the other party, who may file a response. The AAA works with the parties to select and appoint an arbitrator tc
hear and decide the dispute. A three - arbitrator panel will be appointed instead of a single arbitrator at the request of any party.
The party requesting a panel must pay an additional fee. Arbitrators have backgrounds in law, real estate, architecture,
engineering, construction or other related fields.
Arbitration hearings are usually held at the home site. Parties are notified about the hearing at least 14 days in
advance. A party may be represented by a lawyer at the hearing if he or she gives 5 days advance notice to the other party anc
to the AAA. Each party may present evidence, including documents or testimony by witnesses. The arbitrator must make any
award promptly. The award must be in writing and may require any remedy the arbitrator considers just and equitable that is
within the scope of the parties' agreement. The arbitrator does not have to make findings of fact that explain the reason for
granting or denying an award. The arbitrator may require the party who does not prevail to pay the administrative fee.
• This Arbitration Disclosure provides only a general description of the Arbitration System and a general
overview of the Arbitration System rules. If you have any questions about arbitration, call the AAA at (612) 332 -6545 or
Consult a lawyer. Copies of the Arbitration System rules are available from the AAA or your REALTOR®.
THIS IS AN OPTIONAL, VOLUNTARY AGREEMENT. READ THE ARBITRATION DISCLOSURE ABOVE IN FULL BEFORE
SIGNING.
RESIDENTLA.L REAL PROPERTY ARBITRATION AGREEMENT
For the proQe,(ty loc at: ., Y, r 1 L�J vI�P
City of 4_ddy Cj ) (p Tjs� County of =- he -ni�a� State of Minnesota.
Any dispute between the undersigned parties, or any of them, about or relating to the physical condition of the property covered
by the purchase agreement dated , including claims of fraud, misrepresentation, warranty and negligence, shall
be settled by binding arbitration. The American Arbitration Association shall be the arbitration service provider. The rules, then
in effect, adopted by the American Arbitration Associationand the Minnesota Association of REALTORS® shall govern the
proceeding(s). This agreement shall survive the delivery of the deed or contract for deed in the purchase agreement. This
agreement is only enforceable if all parties to the purchase agreement and brokers/agents have agreed to arbitrate as
acknowledged by signatures below.
(Seller's Signature) (Date) (Buyer's Signature) (Date)
(Sellers Printed Name) (Buyer's Printed Name)
(Sellers Signature) (Date) (Buyers Signature) (Date)
(Sellers Printed Name) (Buyers Printed Name)
(Listing Broker /Agent) (Date) (Selling Broker /Agent) (Date)
(Company Name) (Company Name)
THE RESIDENTIAL REAL PROPERTY ARBITRATION AGREEMENT IS A LEGALLY BINDING CONTRACT
MN ADRAA (10195) BETWEEN BUYERS. SELLERS AND BROKERS /AGENTS. IF YOU DESIRE LEGAL ADVICE CONSULT A LAWYER.
CHR 1042A (10195)
lnac^cnacrth: OWTICC. , Oricmtcc R%• NRT. lncnrnnralcc
�•1 ` I ' J - 4 PURCHASE GREEMENT
This form approved by the Minnesota Association of
B T T�� REALTORS': Minnesota Association of REALTORS'
lJ disclaims any liability ansing out of use or misuse of this form.
1. Date
2. Page of Pages
3. Addendum to Purchase Agreement between parties dated 19 pertaining to the purchase
4. and sale of the property at
5.
6.
7
8
9.
10.
11.
12.
13,
14.
15
16.
17
i �• - cam/ _ _,[. )
19. / �l�L�lli✓ llcG �G <TJ7c`iL� lGi '�� GC�z/
21.
22.
23.
i
24.
25.
I
26.
27.
28,
29.
30.
31.
32.
33.
34.
35.
IOa:al (Boyar, (Dael
36.
Is«w,
IOaa1 fBuyar, (Dwl
37• THIS IS A LEGALLY BINDING CONTRACT BETWEEN BUYERS AND SELLERS.
38. MN APA tS'Bal IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL, Q
ILI� Ilol i�a�ll�ly�y,�l�llll.l IJ�i ,I
Addendum to New Construction
(� Purchase Agreement
Page of
i Ii II I. I i i�i� iiili, II i i i ,l lii ili it u,iiliili li in iiiiu Ili i i � i,l I.. it ulli it � iil ....I iii, i i i I Ali i, ui i i I, I i I i
Special Provisions
Buyer's Name
New Home Address
Base Price of the $
Lot Premium: $
Other. $
Subtotal: $
A. Additions
$
$
$
$
$
$
$
$
Total Additions: $
B. Deletions
$
• Total Deletions: $
Total Purchase Price: $
C. This Price Includes the Following Allowances: (may include installation)
Flooring $ Cabinets $
$ Appliances $
TRANSACTION
Property Address CHECKLIST - -
Sales Assoc. Name: B Tn N�
Date: lJ ill
Documents required by OA New Your Listing Sold (n -House
for file processing 4 --) —) 4 Usting by other Co sale
(Please tend the original (Top copy) of all documents
un l e ss otherwise staled)
11. Listing Contract (CBR 1009 or One Time ( OA °" lla fr om listing rf") (w Pull- from isbng "e)
Showing Agreement (CBR 1024)
2. MLS Listing Input Form
3. MLS Printout -
4. Real Estate Disclosure Statement
(CSR 1022& 1030)(pages 1 a 2) & Well and Septic
Addendums (cSR 102TS 1026) if necessary
(includes TINCode Compliance Reports as Required) (B.M8 .o
(from listing agenUortVice)
1 5. Estimate of Proceeds (cBR 1022)
1 6, Showing Information Sheet h
1 7. Sign lnstal +ation Request Form (law+icable)
(8. Just Listed/Just Sold Form (CSR 1096) + i (optional)
9. Owners Authorization to Conduct
Open House Visitation (lf ppitable)(C8R /on)
10. Lot hold with acknowledgement
of any lot premium and copy of
check. (U,� w Dkdoau . Form)
11. Agency Relationships in Real Estate I Buyer seller I
Transactions and /or guest registration i Se liar only
112 Business Relationship Disclosure Form I Seller only Buyer Seller
(CBR 1149)(Gom all CBB Seller b as C88 Buyers)
13. Homeowners Warranty Plan , Seger only Buyer Seller
PurchaSe/Waiver(cBR 1112) y 1
Buyer Seller
1 14. Closing Information Sheet (CSR 108 5)
15. Contract for Exclusive or Non - Exclusive T
Right to Represent Buyer (CSR 1040 or 11.6) M t
(only If Buyers choose Agency) I §r%w9r-
y
16. Buyer Non Agency Services Agreement `
a { a 1
(CSR 1143) (only if Buysn do not chins. agency)
17. Addendum to Buyer Contract �7 �
r eyre S t
�F'Lr
(CSR 1146) (Comrnisabn D(aclowrs)
(only It there Is compensation from Seller with either
exdusiw.• non =iusive or non - agency)
118. Earnest Money Check
19. Purchase Agreement (in page order)
(CBR 1041. 1042, 10428)
20. Addendums to P.A. (CBR 1044)
Qnaiuding contingency rid or, applicable)
(Including oondoRownhouse ridedwhen applicable)
21. Arbitration Addendum to Purchase x
Agreement (cBR 1042A)
I 22. Amendments to P.A. (CBR 1043) •. 1
Qnclud)ng contingency removal when applicable)+
1 23. Information on Buver (CBR lot 1)
-r'1 ' `` ` INFORMATION ON BUYER
BURNET
Name S.S." Date of Birth
Name S.S.# Date of Birth
Present Address Phone (day)
For years { ) Own ( ) Rent (eve.)
Number of dependents Ages
Employer Business Phone For year,
Position Base gross pay per mono
Employer Business Phone For vearE
Position . Base gross pay per mono
Employer Business Phone For vear�
Position . Base gross pay per montt
Other income $ per month. Source
Checking account balance before down payment ...................................................... ......................... S
Savings account balance .................. ............................... ..5
................................. ...............................
Value of stocks or bonds (include savings bonds) ................................................. ..............................S
Value of real estate owned (estimated sale price) ................................................. ..............................5
Value of household goods (fumiture, etc.) .............................................................. .............................S.
Valueof automobiles .................................................................;............ ............................... S..
..........
Otherassets, list .................................................................................................... ............................5..
Auto loan, $ per month .... ............................... ........................Balance S
Fumiture loan, S per month .... ............................... ........................Balance S
Personal loan, $ per month .... ............................... ........................Balance S
Real estate, $ per month .... ............................... ........................Balance S
Other loans, S per month .... ............................... ........................Balance S
Is it necessary to sell your home before closing? ( ) Yes ( ) No
If you do not have all the cash required for the down payment and closing costs, will you receive a gift?
( ) Yes ( ) No From whom?
Relationship Amount of gift $
1 hereby consent to the disclosure of this data to the property owner(s).
Buyer Date Buyer Date
BUSINESS RELATIONSHIP DISCLOSURE
Caldwell Banker Burnet may refer you to Burnet Home Loans for a loan. Burnet Home Loans or Coldwell Banker Burnet may refer you to
Burnet Title for settlement services or title insurance in connection with your loan, or Burnet insurance for your other insurance needs. Burn
Home Loans, doing business as either Burnet Home Loans or Great Lakes Mortgage, is a joint venture owned 50% by Burnet Mortgage
Corporation, a wholly owned subsidiary of Cendant Mortgage Corporation and 50% by Cendant Mortgage Corporation. Cendant Mortgage
Corporation is a wholly owned subsidiary of PHH Corporation which is wholly owned by Cendant Corporation.
YOU ARE NOTREQUIRED TO USEANY PARTICULAR PROVIDER OF MORTGAGE LOANS, SETTLEMENT SERVICES OR INSURANCE. YOU Mt
OBTAIN.SETTLEMENT SERVICES OR INSURANCE FROM ANYONE WHO IS ACCEPTABLE TO YOUR LENDER
If you should choose Burnet Home Loans or Burnet Title for a mortgage or settlement services, an estimate of the costs for these services
shown on the reverse side of this form,
WARRANTY PLAN OPTION
I acknowledge that l have been explained the benefits of a Home Owners Warranty Plan which has been offered at a cast of 5
and I:
Agree to purchase the plan and pay for it at closing.
Decline to purchase a plan.
CREDIT AUTHORIZATION
I authorize Burnet Home Loans, its agents or assigns, to order a consumer credit report and verify other credit information, including past a
present mortgage and landlord references. It is understood that a photocopy of this form will also serve as authorization.
The information Burnet Home Loans, its agents or assigns, obtains is to be used in the processing of my application for a mortgage loan.
This information may also be obtained in conjunction with a Quality Control review of the file after the loan has closed.
I authorize Burnet Home Loans to discuss with my real estate agent information regarding my income, credit, assets and liabilities
provided to Burnet Home Loans in connection with my application for a mortgage loan,
1 do not authorize Burnet Home Loans to discuss with my real estate agent any information regarding my income, credit, assets ar
liabilities provided to Burnet Home Loans in connection with my application for a mortgage loan.
Buyer Date Buyer Date
Privacy Act Notice: The information to be obtained will be used by the lender, its agents or assigns, and any federal agency insuring, guaranteeing, or purchas
the mortgage to determine whether you quality as a prospective borrower under the lender's and the agency's underwriting standards. The information will
be disclosed outside the lender or the federal agency without your consent except to the person or company verifying the information including, but not limitec
your employer, bank tender, and any other credit reference as needed to verify other credit information and as permitted by law. You do not have to give us
information but if you do, your mortgage loan application may be delayed or rejected. The information we will obtain is authorized by Title 38, U.S.C., Chapter 3:
VA); and 12 U.S.C., Section 1701 et seq. (if HUDlFHA).
Right to Financial Privacy Act Certification (Exhibit 8)
The Department of Housing and Urban Development certifies, in compliance with the right to Financial Privacy Act of 1978, that in connection with this request
access to financial records, it is in compliance with the applicable provisions of said Act.
Silvia J. Debartolomeis
General Deputy Assistant Secretary
CBR 1011 (4198) Independently Owned And Operated By NRT, Incorporated. 1=
vvUrtt��1 -t==I UUIUtl-INLS
(nelerence Form No. CBR 1020) -
1. Crigina ion Fee ........... New Financing Origination Fee: 1 % of the loan amount !or Conventional, FHA and VA.
2. Assumption Fee ........ .................... FHA without release of liability - 5125.00: FHA with release of liability - 5500 plus Credit
report fee; VA without release of liability - 5. 15.00; VA - with release of liability fee is 5300
and 1/2% VA Funding Fee plus credit report fee: Conventional - check with lender - tusu�
3. Credit Report ......................... :............. Normally $55.00. however if you have unmarried co- mortgagors use S110.00.
4. Appraisal Fee ..... ............... .....:.:.:......... FHA, VA = 5275 ,Conventional- 5350.00ormore.
5. Title Insurance (Mortgage) ............:..... Varies with mortgage amount. Call your Title Company Representative or Mortgage Loan.
Officer. - -- .. .. _ ..- - . . .. - - -_
o Title Insurance (Owner) ........................ Varies with mortgage amount. Call your Title Company Representative or Morgage Loan.
Officer. Attorney's Opinion ... S200 or more- On an Assumption. CD or Cash Transaction the
Buyers should obtain Title Insurance or an Attorney's Opinion.
7. Fiat Drawing Inspection . ........... _...... ..560.00 - approx.
S. Recording Fees .... ............................... 590.00- approx.
9. Name and Judgment Searches .......... S24.00 - approx.
10. ARM Title Insurance
Endorsement Fee ........ ..... .................. S50
I I. Flood Certification ............................. Search to determine if proper;} lies in a designated ileod zone and whether flood insurance
will be required, cost about 525.00.
12. Mortgage Registration Tax. ......... ....... 52.30 per 51,000 of the loan amount. In the case of a Contract for Deed, this fee will be waiv<
by the State provided the contract is recorded within six months of its date of issuance.
Recording of a contract for deed is now mandated by the Minnesota State Law.
.13. Settlemem /Closing Fee ...................... S75.CO - approx. The closing fee is paid to the title insurance company. For a VA mcrtgae:
the VA will not allow the buyer to pay the closing fee, it must be charged to the seller.
14. Tax Service Fee .... ............................... 575.00 - approx. Applicable to Conventional mortgages only. Paid to third party ccmparn
who is responsible for monitoring the property tax escrow account.
15. Document Preparation Fee ................ 560.00 - S1 CO.CO - applicable to Conventional mortgages only. For preparation of actual
closing documents.
16. Discount Points .... ............................... Percentage of the loan amount including ti1IP or PMI or the VA Fundine Fee, it financed.
. 17. Commitment,'Under,vriting Fee .......... Cost associated to the analysis of risk and setting of rate and terms for a specified loan with
the investor.
18. VA Funding Fee ... ............................... The VA charges a fee to help defray their administrative and default costs. This fee can ranc
from no charge for a disabled veteran to 3.0% of the loan for a veteran who is reusing their
eligibility. This fee is usually financed but can be paid by the seller or the buyer.
19. Homeowners Warranty ......... ..............I 5345.00- approx. - optional warranty coverage on certain items. Refer to Homeowners
Brochure.
20. Private Home Inspection Fee ............:. Optional - varies with type of inspection Used to address buyer's concern with condition c
property.
21. Conservation Fee . ..... .......................... S5 - State tax required cn iransfar of all real property.
_. Other ................... ... ... ......................... Any other expenses that the buyer may have agreed to pay.
Prepaid items
23. Prepaid !nterim Interest ......... . .. We recommend one full mon;Ks interest ce estimated. (Loan amountk interest rate = anm_
interest divid by 12 rnpr.ihs = mCnth :iy interest). Assurnpticn: If closing occurs on or a`e
the 20th of the rnontn the buyer wi!t be required to pay the next month's payment at dosing.
less the Credit for Belle! s Tterest cbl!gatlon.
24. Homeowners Insurance
Premium (1 si year) ............................. A estimate of the annual premium may be computed by multiplying the purchase price by
S4.00 per one thousand.
25. Private Mortgage Insurance
Premium (1st year) ............ . -... Insurance written by a private company protecting the lender against toss resulting from a
mortgage defauit, usually paid monthly with no up front Cost but many options exist.
Escrow Items
26. Homeowners Insurance ............. :........ Two months are collected at C'.osing to Coen the escrow account. This amount is in addition
• the 1 year policy paid for in advance by the buyer. See line 24 above.
27. Mortgage Insurance ........................... When PMI is used with a conventional loan• two months of the rene::a! premium wil! be
escrowed to open the account, unless PMI is being financed into the mortgage.
28. Property Taxes .. ._ ............................_ In most situations four mortis of the annual property taxes must be ese-%- -wed to peen the
escrow account. In an assumption the buyer wi!I be require;. to purchase the sellers escrov,
account. Please Contact the listing agent or lender to obtain the exact figure
29. Flood Insurance ... ............................... This may be required if the property is located in a designated !!cod zone. The 1 st year
premium would be re ;uired along w,tth 2 months for the escrow account.
AFFILIATED BUSINESS ARRANGEMENT DISCLOSURE
BURNET
Mfr : Mfr ' i Mr '.�
This is to give you notice of the affiliated business arrangements which exists among a related group of
companies that comprise Coldwei( Banker Burnet Home Services, including 1) Coldwell Banker Burnet, a
real estate
broker
2 Burnet Title, providing e a title agency ro id(n title insurance n
c and I
g y p g settlement services; 3) Burnet
Home Loans, a company that originates and sells mortgage loans; 4) Burnet insurance, a company that
offers and sells personal lines of insurance including property and casualty, life, health and disability; and
Burnet Relocation cat on Man
a emen n provides relocation Management, o company that c des e ocation assista
9 nce, counseling and
P Y P proper
9 P pe ty
management.
THERE ARE AFFILIATED BUSINESS RELATIONSHIPS BY AND BETWEEN ALL MEMBER COMPANIES
OF COLDWELL BANKER BURNET HOME SERVICES. Coldwell Banker Burnet, Burnet Title, Burnet
Insurance and Burnet Relocation Management all are under the same ownership. Burnet Home Loans,
doing business as either Burnet Home Loans or Great Lakes Mortgage, is a joint venture owned 50% by
Burnet Mortgage Corporation, a wholly owned subsidiary of Cendant Mortgage Corporation and 50% by
Cendant Mortgage Corporation. Cendant Mortgage Corporation is a wholly owned subsidiary of PHH
Corporation which is wholly owned by Cendant Corporation. As a Coldwell Banker Burnet Home Services
client or customer, you maybe referred to one or more of the other member companies of Coldwell Banker
Burnet Home Services for the services and /or products that they provide. BECAUSE OF THE BUSINESS
RELATIONSHIPS THAT EXIST AMONG THE MEMBER COMPANIES OF COLDWELL BANKER BURNET
HOME SERVICES, REFERRALS TO MEMBER COMPANIES MAY PROVIDE A FINANCIAL OR OTHER
BENEFIT TO THE MEMBER COMPANY THAT MAKES AND /OR RECEIVES THE REFERRAL.
Estimates of the charges or range of charges for the settlement services provided by the members of
Coldwell Banker Burnet Home Services are shown on reverse side of this form.
You are NOT required to use any member company of Celdwelh Banker Burnet Home Services as a-
condition or doing business with another member company, or as condition of your purchase, sale,
settlement, financing, or refinancing or any property. THERE ARE FREQUENTLY OTHER
COMPANIES AVAILABLE THAT PROVIDE SERVICES AND PRODUCTS SIMILAR TO THE
SERVICES AND PRODUCTS PROVIDED BY THE MEMBER COMPANIES OF COLDWELL
BANKER BURNET HOME SERVICES. YOU ARE FREE TO SHOP AROUND TO DETERMINE
THAT YOU ARE RECEIVING THE BEST SERVICES AND /OR PRODUCTS AND THE BEST
RATE FOR THESE SERVICES AND /OR PRODUCTS.
A lender is allowed to require the use of an attorney, credit reporting agency, or real estate appraiser chosen
to represent the lender's interest. Burnet Home Loans does not require that you use any particular provider
or affiliated group of providers for legal services, title examination services, title insurance, appraisals or other
settiement services. The provider you choose, however, must be reasonably acceptable to Burnet Home
Loans and aeoroved by Burnet Home Loans as such prior to the closing. The charges generally made by
the providers of these services are shown in the Good Faith Estimate of Settlement Service given to you at
the time of application. Generally, Burnet Home Loans may require any provider you choose to be reputable
and possess adequate financial strength. Also, the provider of title insurance or loan closing services must
be thoroughly familiar with Burnet Home Loans' "Master Closing Instructions" before they can take even the
preliminary steps to close a Burnet Home Loan mortgage loan.
ACKNOWLEDGMENT
I/we have read this disclosure form and understand that I/we are being referred to member companies of
Coldwell Banker Burnet Home Services for the above described settlement services and that these
referrals may provide financial cr other benefits to the member companies making and /or receiving the
referral.
Client/Customer Signature Date
Client/CustomerSignature Date
CSR 1149(4 -9g) indecender ly Ovned And Operated By NPT, Inccrporated 1.1
l `
Burnet Home Loans (" SHL•')
Criyinaticn Fee ............................ 1% of the loan amount for Conventional. FHA and VA - • • J.
Assumption Fee .......................... • F: iA withcut release of liability - 5125.00; FHA with release of liability ., Sa00.00 P lus credit report fee: VA
without release of liability - 545.00: VA with release of liability - fee is 5300 and 1,7 VA Funding Fee plc
cre
K- 5.'`0, how ei it y ou have unmarried cc-mort (usua a t
C ars use 5110.00.
: edit Report .... . ............. y � � y 9 9
Ac,:raisai Fee .............................. FHA, VA - S27 5.00; Conventional - 5250.00 br more.
Document Prep Fee.. .................. S60.00 - S1 C0.00
Escrow waiver Fee ...................... 1;4 percent of loan amount.
Discount Points ........................... Generally in the range of 0-5% of the loan amount including MIP or PMI or the VA Funding Fee, if financ.
Discount points (Discount Point = 1- of mortgage amount) are largely a function of the interest rate on
undertying loan. Depending upon market conditions, discount points may be higher to adjust for below
market interest rates. .
Commitment Fee ... 5250.00 approximately. Cost associated to the analysis of risk and the setting of rate and terms for a
specified loan with the investor. -
Flood Cartificatien ....................... $25.00. Search to determine if property lies in a designated flood zone and whether flood insurance wiii
required.
V A Funding Fee .......................... The VA charges a fee to help defray their administrative and default costs. This fee can range from no
charge for a disabled veteran to 3.0% of the loan for a veteran who is reusing their eligibility, This fee is
us.:a!ly financed but can be paid by the seller or the buyer.
P
1st yr, MI ins. Premium Conventional Financing - The =mount varies depending on Fixed rata vs. ARM financing and also the L
Gene. ally, PMI is not required if ', s buyer is making a 2C% down payment. Programs vat greatly from
one time fee to a monthy premuim format.Contact your SHL loan officer for a quote.
Burnet title t" BT)
Title Insurance (Mortgage) .......... 5125.00 Ser rice fee plus premium (rate est. S3.CA /S1,000) Call BT or your BHL Loan Officer for additicr
information.
Title !rsurance (Owner) ............... Ancmey's Opinion ... 5200.00 or more. On assumption, CD or Cash Transaction the Suyers must cbr
T tle Insurance or an Attorneys Opinion, prior to.preparation of closing documents. (,Rate Est. 54.00 /
51.000 - Passible rate credit for re- issue.) Call ST or your BHL Loan Officer for additional information.
Misce llaneous
Plat Dravnng Inspection ............... 580.00
Pacerding Fees .......................... S90.00 approx. for recording papers signed at closing. (Includes County fees and Burnet Title recording
service fee.)
Name and Judgement Searches S24 Up to 3 names - S8 additional per names over 3
Title Ins. ARM Endorsement Fee . 550.00
Mortgage Registration Tax .......... S2?0 per S1,C00 of the lean amcunt. in the case of a Contract for Deed, this fee will be waived by the
State provided the contract is recorded within six months of its date of issuance. Recording of a contra:
for deed is now mandated by Minnesota State Law.
Co nservation Fe SS.00 document (deeds /mo "gages) - pd to county by both sellers;buyers on respective documents.
• Se:V ement/Closing Fee (Buyer) ... 5250.00 - 3`x0.00. The dosing fee is paid to the title insurance company. For a VA meGgage the VA wi!i
now allow the buyer to pay the closing fee, it must be charged to the seller.
Specific Seiler Exp enses
Seaiement Ctcsing Fee ............... 5215 - S415 Paid to the Title insurance Company for a VA mortgage. The buyer closing fee must also b:
paid by se!!er
Mcrtgaoe Payo', Courier Fee ,..... S20.00. Payoff of mortgage is delivered by courier to ai ect a timely payoff. (Includes fee to courier serv,
and FST handling fee.)
Sceciai Assessment Search........ 530.00. Charged to prepare current search..
Deed Tax ..... ............................... fiis is based on selling price S3.30 per thousand if Buyer is assuming present financing, deduct the
assumed amount, and compute on the balance. IF SELLER IS HOLDING A CONTRACT FOR DEED �V
the Buyer, State Deed Tax is not pad until contract is paid.
r- bs,.ac.... A ............................... S70.00- S225.00 for abstract ?xt_, seen, S75.00 S125.00 for the Rrn .f the property is T ogre. s.
Filin Fee forWeii Dtsc ...... 520.0
Burnet Realty and Relocation
!i ?a! Estate fee ............................ Cdnmissidns or other compensation for brokerage services are nego tiable be;wen d ieni and Eurne,
Re_!ty and generally range from 7'b to 10 of sale price.
Reguia:cry Ccmo!ianca Fee ........ 5129 fee to Surnet Realty to offset some of the additional costs associated with increased expenses fcr
P1 1:
nting, administrative processing handling and storage of documents due to increased regulatory
consumer disc!csure requirements and business practices.
Re!ocaticn Fees .......................... Re!coaticn service fees are negotiated and contracted between the client and Surret Relocation and art
variable depending on specific services.
Burnet Insurance
ra:nacv.re s,ra Premurr,, (1;,y ) •_ An estimate of the annual premium may be computed by multiplying the purchase price by S4.00.per C
,cusand.
Miscellaneous Exoense and Escrows
Pre -paid Items (Must be paid by buver)
Prepaic Interest ............... New Lean: We recommend one full month's interest be estimated. (Loan amount x interest rate = annL
interest ciyided by 12 months = monthly interest). If Assumption: If c!es:ng occurs on or after the 2Cth
the month, the buyer will be required to pay the next months payment at closing less the credit fcr seller
interest obligation.
Escrow Items
t- Icngage Insurance (Ptvit) .......... Insurance , hrinen by a private company protecting the lender against loss resulting from a mortgage
default, usually paid monthly with no up front cost but many options exist.
• Homeowners insurance .............. Two months are collected at closing to open the escrow account. ibis amcunt is in addition to the one
year policy paid for in advance by the buyer. See above.
Prcper, Taxes .................. Refer to the purchase agreement for the proration instructions of the property taxes. In Minnesota, prop:
tares are due twice a year. 41ay 15 and October 15, and the homestead deadline is December 1 st.
Flood Insurance .......................... This may be required if the property is located in a designated flood zone. The 1 st year premium is usu:
required to be paid in advance by the borrower.
Aggregate Escrow Account ........ Mcst lenders now dose and hold escrows under a method called Aggregate Escrow Account. This
method sets up one escrow account to handle all escrow itens (taxes, insurance premiums including
hazard• mortgage, and flood) and these items are collected and paid through this account. This calcuia!
depends on many variables, but a general rute of thumb is 3 months of any insurances and 5 months d'
crcce ^, fixes to be placed Initialiv into the account.
BURNET IN REAL ESTATE TRANSACTIONS
Minnesota law requires, that early in any relationship, real estate brokers or salespersons discuss with consumers what type c
agency representation or relationsnip they desire.(i) The available options are listed below. This is not a contract. This is ar
agency disclosure form only. If you desire representation, you must enter into a written contract according to state
law (a listing contract or a buyer representation contract). Until such time as You choose to enter into a written contract for
reoresentation or assistance you will he trPateri as a customer of the broker or salesperson and not represented by the
brokerage. The broker or salesperson would then be acting as a Seller's Broker (see paragraph I below), or as a nonagent
(see paragraph IV below).
I. Seller's Broker: A broker who lists a property, or a salesperson who is licensed to the listing broker, represents the
Seller and acts on behalf of the Seller. A broker or salesperson working with a Buyer may also act as a subagent of th.
Seller, in which case the Buyer is the broker's customer and is not represented by that broker. A Seller's broker owes
the Seller the fiduciary duties described below.(2) The broker must also disclose to the Buyer any material facts of wh:
the broker is aware that could adversely and significantly affect the Buyer's use or enjoyment of the property. If a broi
or salesperson working with a Buyer as a customer is representing the Seller, he or she must act in the Seller(s)'
interests and must tell the Selier(s) any information disclosed to him /her. In that case, the Buyer will not be represent,
and will not receive advice and counsel from the broker or salesperson.
it. Buyer's Broker: A Buyer may enter into an agreement for the broker or salesperson to represent and act on behalf o
the Buyer. The broker may represent the Buyer only, and not the Seller, even if s/he is being paid in whole or in part t
the Seller. A Buyer's broker owes to the Buyer the fiduciary duties described bel0w.(2) The broker must disclose to th,
Buyer any material facts of which the broker is aware that could adversely and significantly affect the Buyer's use or
enjoyment of the.property.
Ill. Dual Agency - Broker Representing both Seller and Buyer. Dual agency occurs when one. broker or salesperson
represents both parties to a transaction, or when two salespersons licensed to the same broker each represent a party
the transaction. Dual agency requires the informed consent of all parties, and means that the broker and salesperson
owe the same duties to the Seller and the Buyer. This role limits the level of representation the broker and salespersc
can provide, and prohibits them from acting exclusively for either party. In a dual agency, confidential information abc
price, terms and motivation for pursuing a transaction will be kept confidential unless one party instructs the broker or
salesperson in writing to disclose specific information about him or her. Other information will be shared. Dual agents
may not advocate for one party to the detriment of the other.(3)
Within the limitations described above, dual agents owe to both Seller and Buyer the fiduciary duties described below.
Dual agents must disclose to Buyers any material facts of which the broker is aware that could adversely and
significantly affect the Buyer's use or enjoyment of the property.
IV. Nonagent: A broker or salesperson may perform services for either party as a nonagent, if that party signs a
nonagency services agreement. As a nonagent the broker or salesperson facilitates the transaction, but does not act
behalf of either party. THE NONAGENT BROKER OR SALESPERSON DOES NOT OWE ANY PARTY ANY OF TF
FIDUCIARY DUTIES LISTED BELOW, UNLESS THOSE DUTIES ARE INCLUDED IN THE WRITTEN NONAGENC
SERVICES AGREEMENT, The nonagent broker or salesperson owes only those duties required by law or contained
the written nonagency services agreement.
ACKNOWLEDGMENT: 1/We acknowledge that I/We have been presented with the above - described options. 1lWe
understand that Buyers who have not signed a Buyer representation contract or nonagency services
agreement are not represented by the brokerlsalesperson and information given to the brokerlsalesperson Y,
be disclosed to the Seller. I/We understand that written consent is required for a dual agency relationship.
This is a disclosure only, NOT a contract for representation.
Seiler Date Buyer Date
Seller Date Buyer Date
(t) This disclosure is required by law in any transaction involving property occupied or intended to be occupied by one to fou
families as their residence.
(2) The fiduciary duties mentioned above are listed below and have the following meanings:
Loyalty - brokerlsalesperson will act only in client(s)' best interest.
Obedience - brokerlsalesperson will carry out all client(s)' lawful instructions.
Disclosure - brokerlsalesperson will disclose to client(s) all material facts of which broker /salesperson has knowledge
which might reasonably affect the client's rights and interests.
Confidentiality - brokerlsalesperson will keep client(s)' confidences unless required by law to disclose specific
information (such as disclosure of material facts to Buyers).
Reasonable Care - brokerlsalesperson will use reasonable care in performing duties as an agent.
Accountino - broker /salesperson will account to client(S) for all client(s)' money and property received as agent.
(3) if Seller(s) decides not to agree to a dual agency relationship, Seller(s) may give up the opportunity to sell the property tc
Buyers represented by the brokerlsalesperson. If Buyer(s) decides not to agree to a dual agency relationship, Buyer(s)
may give up the opportunity to purchase properties listed by the broker.
(MN:AGCY0lSC -&W
CBR 1145 (8/96)
Independentiv Owned And Operated By NRT, Incorporated.
�.lJly 1 nH1, I t-Vrti toL.LUJiVt HIUr1
BURNET
TO REPRESENT BUYER
Date
( Buyer') gives Coldwell Banker Burnet. Buyer's Broker ( - ), throug
the Buyer's Agent ('Agent *), the exclusive right to locate and /or assist in negotiations for the purchas-
exchange, or option to purchase ('Purchase - ), property at a price and with terns acceptable to Buyer. This agreement ('Agreement star
• on .19 , and ends at 11:59 PM on 19 . This Agreement rrz
be cancelled by mutual agreement of the parties or by either parry upon the following terms
I• AGENTS OBLIGATION: The Agent will:
r. 1. Make a reasonable effort to locate property acceptable to the Buyer.
0. 2. Assist in negotiations for the Purchase of property.
1 • 3. Assist 9
Buyer throughout the transaction.
Y
2. 4. Act in the Buyers best interest at all times subject to the terms of Agency representation ifi ed below
Y s ec
i 1 9� P
' 3. BUYER'S OBLIGATION: The Buyer will:
4 • 1. Work exclusively with the Agent for the Purchase of property.
5. 2. Provide Agent with accurate and relevant personal financial information to determine Buyers ability to Purchase property.
6. 3. Cooperate with the Agent in finding a property to Purchase. After a purchase agreement has been accepted by the seller, Buyer is legal,
7. obligated to Purchase the property. If Buyer refuses to dose the Purchase for any reason (subject to relevant contingencies) other the
8. the failure of the Seller to perform, Buyer will pay Broker all compensation due under this agreement.
9. NOTICE: THE COMMISSION RATE FOR THE SALE, LEASE, RENTAL OR MANAGEMENT OF REAL PROPERTY SHALL BE DETER -
20. MINED BETWEEN EACH INDIVIDUAL REAL ESTATE BROKER AND ITS CLIENT
21. COMPENSATION: Buyer agrees to compensate Broker if Buyer or any other person act ing on the Buyers behalf agrees to Purchase any proper.
22. during the term of this Agreement.
23. 1. The Brck er is authorized to negotiate and receive a commission or fee paid by the seller. The amount of the commission or fee to be receive
' 4. shall be determined by and /or equivalent to the published MLS offer of compensation to buyer broker. Broker will notify Buyer in writir
25• as to the amount of compensation being received from seller prior to Buyer signing an offer to Purchase the property.
' -5. 2. Buyer will pay Broker a retainer fee of S when Buyer signs this Agreement. Broker will keep this fee even if BuyE
27. does not purchase property. The retainer paid will apply toward satisfaction of the Buyer's obligation to pay a commission to Broker.
28. 3. Buyer will pay Broker a commission of %of the Purchase price of the property or S , whichever
29 greater, when Buyer closes the Purchase or upon demand, if buyer refuses to close the purchase upon terms specified in an accepte
30. purchase agreement, if:
31. A. Buyer Purchases or agrees to Purchase property before the end of this Agreement, even if Buyer does not use Agents services; c
32. B. Within days after the end of this Agreement, Buyer Purchases property which either Agent has physically show
33• Buyer or in which Buyer has made an affirmative showing of interest to Agent before the end of this Agreement, so long es Agent hz
34. identified this property on a written list Agent gives to Buyer within 72 hours after the end of this Agreement.
3 5. C. Buyerwill not be obligated to pay a fee to Broker if upon expiration of this Agreement Buyer has entered into anothervalid Buyer Broke
35. Agreement. Any commission or fee accepted by Broker from the seller ❑ WILL ❑ WILL NOT reduce any obligation of the Buyerto pa
37. the commission.
38. if Buyer purchases a for sale by owner or unlisted property with or without assistance of Broker, Buyer agrees to pay a commission of
39. of the sale price.
40. CAUTION: BUYER'S ACTIONS IN LOCATING A PROPERTY MAY AFFECT PAYMENT OF COMPENSATION BY SELLERS AND MA
1. THEREFORE OBLIGATE BUYER TO PAYING ALL OR PART OF THE COMPENSATION IN CASH AT CLOSING. FOR EXAMPLE: THE ACT 0
42. GOING THROUGH AN OPEN HOUSE UNACCOMPANIED BYYOURAGEN70R SIGNING A PURCHASE AGREEMENT THROUGHANOTHE
43. AGENT OR WITH OWNER (FOR SALE BY OWNER), MAY REQUIRE YOUR PAYMENT OF THE FULL COMPENSATION TO YOUR BROKE:
44 OTHER POTENTIAL BUYERS: The Broker or Agent may represent or work with other potential buyers for the same property before, durir,
45. and after the expiration of this Agreement. Cther potential buyers may consider, make offers or Purchase through Broker or Agent the sari
4 5. or similar properties as Buyer is seeking to acquire.
47. PREVIOUS AGENCY RELATIONSHIPS: The Broker and /or Agent may have had a previous agency relationship with a seller of a proper
48. the Buyer is interested in purchasing. Buyer agrees to allow Buyer's Broker or Agent to keep information recarding the ultimate price and tern
49. the seller would accept and the motivation for selling confidential, if known.
50. GENERAL NATURE OF PROPERTY: (Check all that apply)
51. ❑ Residential/Persenai ❑ ResidentialAnvestment ❑ Ccmmercalnndustrial ❑ Recreation ❑ Farm ❑ Vacant Land ❑ New Ccnstrucic
52. PRIVATE INSPECTION/WARRANTY: The Broker and Agent recommend that the Buyer obtain a private home inspection to satisfy himse.
53. herself with the physical condition of the property. Furthermore, there are warranty programs available for some properties which the BuyE
54. may wish to investigate prior to a Purchase of any specific property.
55
». OTHER:
56. AGENCY REPRESENTATION: if you choose to purchase a prcpe try listed by Broker, a dual agency will be created. This means that Broker
57. will represent both you and the Seller(s), and owe the same duties to the Seiler(s) that Broker owes to you. This conflict of interest will prohibit
58. Broker from advocating exc!usively on your behaif. Dual agency will limit the level of representation Broker can provide. If a dual agency shculd
59. arise, you will need to agree that confidential information about price, terms, and motivation will still be kept confidential unless you instruct
60. Broker in writing to disdose specific information about you. All other information will be shared. Broker cannot act as a dual agent unless both
61. you and the Seller(s) agree to it. By agreeing to a possible dual agency, you will be giving up the right to exclusive representation in an in-
62. house transavion. However, if you should decide not io agree to a possible dual agency, and you want brokerto represent you, you may give
53. up the opportunity to purchase the properties listed by Broker. Buyer's Instructions to Broker:
64. Buyer(s) will agree to a dual agency representation and will consider properties listed by Broker.
65. Buyers(s) will not agree to a dual agency representation and will not consider properties listed by Broker.
66. Broker: Buyer:
67. By: Buyer:
63 Date:
. 69. Coldwell Banker Burnet
70. (BY)
71.
72.
73. THIS IS A LEGALLY BINDING CONTRACT BETWEEN BUYERS AND COLOWELL BANKER BURNET.
74. IF YOU DESIRE LEGAL OR TAX ADVICE, CONSULT AN APPROPRIATE PROFESSIONAL
CS 104CQ 4 -99) inCo_�npo�tiv 0w_.. An ^, fir
COMMISSION DISCLOSURE
BniNr ADDENDUM TO BUYER CONTRACT
Addendum to contract dated between (Buyer) and Cold -
well Banker Burnet, Buyer's Broker (Broker).
Broker hereby notifies Buyer that the "selling portion" of compensation (excluding "listing portion ") Coldwei
Banker Burnet is receiving from the seller and /or sellers broker is % of the sale price.
Buyer acknowledges receipt of this Disclosure prior to the Buyer signing an offer to purchase the property, anc
that Buyer has received a copy of this document.
Coldwell Banker Burnet
Cara
Independently Owned And Operated By NRT, Incorporated
C—SR t t seta -gq
i
SERVICES AGREEMENT
2. '1' mean Date s (Buyer
3. 'You' means Burnet Realty Inc (Broker)
4. This agreement starts on and ends at 11:59 p.m, on
S. I arff engaging YOU exclusively to provide services as specified below, I understand that You are not representing me as my agent and owe me n
.
S. duties other than any specified in this Agreement. 1 understand you may be representing the seller in any transaction and acknowledge you wit
7. be representing the seller if purchasing a Burnet Realty listing. I agree that this contract does not apply in the event I am shown a Burnet Realt
8. listing, make an offer on a Burnet Realty listing, or sign a purchase agreement on a Burnet Realty listing and in such case, this agreement will
9. be null and void. Broker asks you to keep to yourself any Information about the rice or terns of our offer
P Ion for
10. making an offer, that you do not want the seller to know. Broker would be required, If representing seller, to disclose this Information t
11. the seller. You should carefully consider sharing an Information with Broker
Y that y ou do
9 Y y not want disclosed to the seller.
12. You will, if requested in writing:
13. provide me with information about available properties.
14, provide me with information about comparable sales.
15. show me available properties.
1 6. assist me with information on the types and availability of financing.
17. prepare the purchase agreement and related documents.
is. present offers and counter offers in a timely manner.
19. provide me with information about other service providers related to the real estate transaction (ex. home inspectors, real estate Losers).
20. s
s sst the tarries in completing P p g the transaction.
21. You wilt vi
pro de the following dditional services:
ces. .
22.
23. 1 agree to provide You with necessary disclosures and documents in my possession to facilitate this transaction.
24, if either You or I bring an action for enforcement of this Agreement, the prevailing party in such action shall be entitled to recover all costs and
25. expenses of such action, including all reasonable attorneys' fees and court costs.
26. NOTICE: THE COMMISSION RATE FOR THE PURCHASE, LEASE, RENTAL OR MANAGEMENT OF REAL PROP -
27, ERTY SHALL BE DETERMINED BETWEEN EACH INDIVIDUAL REAL ESTATE BROKER AND ITS CLIENT (OR IN
28. THIS CONTRACT, CUSTOMER).
29. COMPENSATION: Buyer agrees to compensate Broker as agreed to below, if Buyer or any other person acting on the Buyer's behalf agrees
30. Purchase any property during the term of this Agreement (initial all that apply).
31. I 1. The Broker is authorized to negotiate and receive a commission or fee paid by the seller or another real estate broker. The amount of L'
32. i commission or fee to be received shall be determined by and/or equivalent to the published MLS offer of compensation to non - agent:
33. I 2. Buyer will pay Broker a retainer fee of S when Buyer signs this Agreement. Broker will keep this' ee even if Buyer doE
34. I not purchase property. The retainer paid will apply toward satisfaction of Buyers obligation to pay a commission to Broker.
35. 3. Buyer will pay Broker a commission of % of the Purchase price of the property or S , whichever
36. F greater, when Buyer closes the Purchase or upon demand, if Buyer refuses to close the purchase upon terms specified in an accepte
37. purchase agreement, if:
38. A. Buyer Purchases or agrees to Purchase property before the end of this Agreement, even if Buyer does not use Broker's services; at
39. B. Within days after the end of this Agreement, Buyer Purchases property which either Broker has physically shoe.
40. Buyer or in which Buyer has made an affirmative showing of interest to Broker before the end of this Agreement, so long as Broker hr
41. identified this property on a written list Broker gives to Buyer within 72 hours after the end of this Agreement.
42. C. Buyer will not be obligated to pay a commission or fee to Broker if upon expiration of this Agreement Buyer has entered into anoth
43. valid Buyer Broker Agreement, or Non -Agent Service Agreement Any commission or fee accepted by Broker from the seller or anoth
44. real estate broker O WILL O WILL NOT reduce any obligation of the Buyer to pay the commission or fee.
45. If Buyer purchases or contracts to purchase a for sale by owner or unlisted property with or without assistance of Broker, Buyer agrees to p:
46. a commission of o of the purchase p
47. CAUTION: BUYER' SACTIONSIN LOCATING APROPERTYMAYAFFc CTPAYMENTOFCOMPENSATi ONBYSELLERSANO MAY THEREFORE C6UGA -
»8. BUYER TO PAYING ALL OR PART OF THE COMPENSATION IN CASH AT CLOSING. FOR EXAMPLE: THE ACT OF GOING THROUGH AN OPEN HOUE
49. UNACCOMPANIED BY YOUR BROKER OR SIGNING A PURCHASE AGREEMENT THROUGH ANOTHER BROKER OR WITH OWNER (FOR SALE E
50. CWNE.R), MAY REQUIRE YOUR PAYMENT OF THE FULL COMPENSATION TO YOUR BROKER.
51.
OTHER POTENTIAL BUYERS: The Broker may represent or work with other potential buyers for the same property before, during and after L
52. expiration of this Agreement. Other potential buyers may consider, make offers or Purchase through Broker the same or similar properties
53. Buyer is seeking to acquire.
54 . PREVIOUS AGENCY RELATIONSHIPS: The Broker may have had a previous agency relationship or other contractual agreement with a sell
J of a property the Buyer is interested in purchasing. Buyer agrees to allow Srokerto keep information regarding the ultimate price and terms t
56. seller would accept and the motivation for selling confidential, if known.
J PRIVATE INSPECTION/WARRANTY: The Broker recommends that the Buyer obtain a private home inspecUcn to satisfy himself/herself with
= the physical condition of the property, Furthermore, there are warranty programs available for some properties which the Buyer may wish to
- investigate Prior to a Purchase of any specific propert
50 ' CLOSING SERVICES
51 . After a purchase agreement for the Propert is signed, arrangements must be made to close the transaction. I understand that no one can
G require me to use a particular person to conduct the closing and that I may arrange for any qualified person, including my attomey, to conduc
33. the i _
c'os ng. BURNET REALTY INC, will arrange to provide closing services for its clients, generally through Burnet idle a d1Yi5IOn of BURN
4 S Y 9 ET
»• FINANCIAL GROUP at a charge of $250.00 payable at the time of the closing. All documents related to the closing will be available for review t
60. my attorney, accountant or financial advisor at the closing or, upon, request, prior to the closing.
G NOTICE: THE REAL ESTATE BROKER, REAL ESTATE SALESPERSON OR REAL ESTATE CLOSING AGENT HAS NOT
67 . AND UNDER APPLICABLE STATE LAW, MAY NOT EXPRESS OPINIONS REGARDING THE LEGAL EFFECT OF THE
6a. CLOSING DOCUMENTS OR OF THE CLOSING ITSELF
69- P!ease check and initial if you wish to have BURNET REALTY INC. arrange to provide the closing of your transaction for the charge stated above.
f ❑ Yes _ _ I wish to have BURNET REALTY INC. arrange to provide the closing service as stated above.
71 • C2 No, _ _ I will make the necessary arrangements for closing the transaction, which closing shall be performed by my attomey or cth
72• qualified closing agent and I agree to provide a CLOSING AGENT ACKNOWLEDGMENT FORM TO BURNET REALTY IN(
73. Bumet Realty Inc.
. 74. (By)
t�t•ny (Oau) (fit) (Pus)
75.
(�aanaa) (Mann)
75.
THIS IS A LEGALLY BINDING CONTRACT BETWEEN BUYERS AND BURNET REALTY.
77 - BUR 1 t43(1197) IF YOU DESIRE LEGAL OR TAX ADVIC CONSULT AN CE C APPROPRIATE PROFESSIONAL. �C
DECLARATION OF PROTECTIVE COVENANTS
® Bellvue Lane Addition
WHEREAS, the Economic Development Authority in and for the City of Brooklyn Center,
(Declarant) is the fee owner of certain land located in Bellvue Lane Addition, City of Brooklyn
Center, as shown and of record in the Office of the County Recorder for Hennepin County,
Minnesota.
AND WHEREAS, The Declarant is desirous of creating protective covenants, restrictions and
easements affecting all of the lots located in Bellvue Lane Addition, Hennepin County, Minnesota as
listed on Exhibit A hereto attached ( "lots ").
NOW, THEREFORE, the party above named does hereby establish and create the following
protective covenants, restrictions and easements affecting the lots, meaning and intending to establish
a uniform plan for the benefit of all the owners of the lots and to continue as covenants running with
the land:
1. The provisions herein shall be binding on all parties hereto and all parties claiming under
them for a period of thirty (30) years from the date these covenants are recorded.
. 2. All the lots shall be used only as residential lots and shall be improved and occupied in
accordance with these restrictions and covenants.
3. No structure shall be erected, altered, placed or permitted to remain on any lot other than
one detached single - family dwelling not to exceed two (2) stories in height. All dwellings shall have
a minimum of a two (2) car attached garage for each dwelling unit. All building setbacks must be in
accordance with the ordinances of the municipality. All driveways shall be concrete or asphalt with
concrete apron in accordance with City of Brooklyn Center driveway specifications. All roofs shall
be 240# shingles or greater. Any replacement dwelling constructed on any lot must be identical in
exterior design to the house replaced or the design shall require approval by the Declarant. Approved
exterior colors must be natural color stain and/or paints in earth tones, grays or natural wood tones.
Trim and garage doors must be coordinated with house color. Exterior must be maintenance free
using aluminum, steel, stucco, brick or vinyl. No hardboard siding will be allowed to be installed on
homes.
4. No trailer, or garage shall be used on any lot at any time as a residence either temporarily
or permanently.
5. No noxious or offensive activity shall be carried on upon any lot, nor shall anything be
done thereon which may be or become an annoyance to the neighborhood.
6. No animals, livestock, or poultry of any kind shall be raised, bred, or kept on any lot,
except that dogs, cats or other household pets may be kept provided that they are not kept, bred, or
maintained for any commercial purpose. No more than 2 cats over 6 months of age and/or 2 dogs
over 6 months of age shall be kept at any one time. No fenced dog runs or dog houses shall be
allowed on any lot.
7. No lot shall be used or maintained as a dumping ground for rubbish. Trash, garbage or
other waste shall not be kept except in sanitary containers. All containers for the storage or disposal
of such material shall be kept in a clean and sanitary condition.
8. No sign of any kind shall be displayed to the public view on any lot except one
professional sign of not more than 2.5 square feet, one sign of not more than six square feet
advertising the property for sale or for rent or signs used by a builder to advertise the property during
the construction and sales period. An exception to the above would be a subdivision sign or
permanent monumentation as installed by the developer.
9. Easements for installation and maintenance of utilities and drainage are reserved as shown
on the recorded plat. Within these easements, no structure, planting or other material shall be placed
or permitted to remain which may damage or interfere with the installation and maintenance of
utilities, or which may change the direction of flow or drainage channels in the easements, or which
b
may obstruct or retard the flow of water through drainage channels in the easements. The easement
area of each lot and all improvements in it shall be maintained continuously by the owner of the lot,
except for those improvements for which a public authority or utility company is responsible.
10. No trailers, boats, buses, motor homes, campers, snowmobiles, or other types of
recreational vehicles shall be parked on any lot for more than 48 consecutive hours unless such
vehicle is parked within a garage located on such lot. In no event shall trailers, boats, buses, motor
homes, campers, snowmobiles, or other type of recreational vehicles be parked in rear yards at any
time.
11. No radio or television broadcasting or receiving antenna or other similar apparatus shall
extend above the roof of the dwelling. Conventional TV antennas should be mounted within the attic
of the structure. Any receiving or broadcasting equipment to be located outside the structure shall
be screened from view from streets and adjacent lots. Only one satellite receiving dish per lot shall
be allowed and shall be no more than 24 inches in diameter.
12. i Q Permitted on Lots 3. 4. 5. 6. 7. and S. Block 1 a Lots 1.2. 3. 4 5, 6 ancj7
Bloc 2: Fences in yards shall be allowed only on rear side yard lot lines. Fences along rear side yard
lot lines can extend to the rear lot line but will not be permitted along back lot lines. Natural
landscaping such as shrubs or other plant materials are permitted to provide screening along back lot
lines. In addition to the requirements of this paragraph, all provisions of the City code regulating
fences shall apply.
Fencing Permitted on Lots I and 2 Block 1. Bellvue Lane Addition: Fences in yards shall be
allowed only on rear side yard and back lot lines. Fences along back lot lines must be non - opaque
and cannot exceed five feet in height. In addition to the requirements of this paragraph, all provisions
of the City code regulating fences shall apply.
13. Upon the final sale of all Lots by the Declarant or its assigns, the provisions of this
Declaration may be rescinded at any time by 75% of the Lot Owners. Any such recision shall be in
writing by owners of 75% of the Lots, based upon one vote for each Lot owned. No such recision
shall be effective except upon recordation with the County Recorder of Hennepin County, Minnesota,
of the amendatory instrument.
® 14. Enforcement of these covenants shall be by proceedings at law or in equity to restrain
violations or to recover damages against any person or persons violating or attempting to violate any
covenants. Any action brought to enforce these covenants must be brought within six (6) months
after the violation of covenants first occurred.
15. The invalidation of any of these covenants by judgment or court order shall in no way
affect any of the other provisions, which shall remain in full force and effect.
IN WITNESS WHEREOF, the Declarant has caused these presents to be executed this day
of 1998.
Economic Development Authority in and
for the City of Brooklyn Center a public
body corporate and politic.
By
Its: President
By
Its: Executive Director
r
STATE OF MINNESOTA )
55.
COUNTY OF HENNEPIi t )
On this day of 1998, before me a notary public within and for
Hennepin County, personally appeared and
the President and Executive Director, respectively, of the Economic Development Authority in and
for the City of Brooklyn Center named in the foregoing instrument and acknowledged said instrument
on behalf of the Authority.
Notary Public
•
11/05/98 10:37 FAX 612 844 6444 BURNET REALTY Z02
® The Homes on Bellvue Lane
Quality Included Features
Exterior Features
• Vinyl Siding
• Aluminum Soffit Panel with continuous venting
• Aluminum Fascia
• Certainteed New Horizon Shangle (250# Fiberglass shingles)
• Concrete walk and step
•
16' Asphalt Driveway
• Sodded yard and one boulevard tree
• Insulated Steel Entry Door with sidelights (per plan)
• Deadbolt security locks
• Steel raised panel garage door
• 2 -car garage per plan
• Minimum 8/12 roof pitches (main gables)
Electric
• 200 Amp Circuit Breaker Box
• Pre -wired for garage door opener
• Exterior GFI Outlets (2)
• Basement and Garage outlets per code
• Smoke detectors per code
• 3 phone jacks
• 3 TV /Cable outlets
11/05/98 10:37 FAX 612 844 6444 BURNET REALTY Z03
Heating and Ventilation
• 80+ Furnace
• Bath fans vented to outside
• Clothes dryer vent to outside
• Choice of electric or gas range and dryer service
• Ductwork sized for future air conditioning
Plumbing
• Copper water supply
• Two outside water faucets
• Single lever faucets in kitchen and baths
• Fiberglass laundry tub
• Plumbing rough -in for washer
• 40 gallon hot water heater
• 3/4 bath rough -in in lower level
• water softener rough -in
• Water shut -off valves on sinks and toilets
• Drain the with sump basket
• Anti -scald shower /tub faucet
Energy Efficiency Features
• Blown Fiberglass ceiling insulation R -44 (R-38 batt
locations)
• R -19 walls
• Casement thermopane windows per plan
• 25/32 Bildrite exterior sheathing with building wrap
11/05/98 10:37 FAX 612 844 6444 BURNET REALTY 104
•
Interior Features
• Oak woodwork, oak rails, flush oak doors
• Bedroom ceiling lights
• Two coats interior latex paint
• Texture sprayed ceilings
• Oak Cabinets and Vanities by Cardel
• Stainless steel double kitchen sink with sprayer
• Formica kitchen countertops
• Multi -cycle dishwasher
• Disposal
• Hood fan vented to exterior
• Cultured marble vanity tops
• Plate glass mirrors
• • Quality carpet and no -wax vinyl flooring
• Wire closet shelving
• Fiberglass tub /shower unit
Basic Structure
• Customized architectural blueprints
• Excavation, backfill and final grade with dirt from site
• Concrete block foundation
• Polywall waterproofing and vapor barrier over basement
wall and footing
• 2 x f exterior walls
• O.S.B. roof sheathing
• Ventilated Soffits and Roof (per code)
11/05/98 10:37 FAX 612 844 6444 BURNET REALTY a05
Basic Structure, Continued
• 3/4" T & G Plywood Subfloor
• Egress window in basement per plan
• Statutory 10 -year warranty
• Warranty Call Back Service
Allowances
• $18 /yard carpet and vinyl (installed)
• Lighting Allowance of $750
® Commissioner introduced the following resolution and
moved its adoption:
EDA RESOLUTION NO.
RESOLUTION APPROVING TERMS AND CONDITIONS OF ECONOMIC
DEVELOPMENT AUTHORITY PROPERTIES IN BELLVUE LANE ADDITION
PURSUANT TO MINNESOTA STATUTES SECTION 469.012, SUBDIVISION 1
CLAUSE (7) AND SECTION 469.029
WHEREAS, Resolution 98 -17 provided for a public hearing regarding the sale of
Economic Development Authority (EDA) owned property known as Bellvue Lane Addition and
legally described as:
Lots 9, 10, 11 and 12, Block 2, Bellvue Acres, according to said plat on file and of record in
the office of the County Recorder, Hennepin County, Minnesota, and also lots 9, 10, 11 and
12, Block 3, in said plat and also that part of Lot 13 in said Block 3, which lies Southerly of
a 60.00 foot radius circle, concave to the South, the center point of said circle is described
as follows: Commencing at the Northeast corner of Lot 9, said Block 3, thence Southerly,
along the East line of said Lot 9, a distance of 25.00 feet; thence Westerly, parallel to the
North line of said Lot 9 and its Westerly extension, a distance of 424.19 feet to said center
point, and also that part of vacated 4th Street North (formerly known as 5th Street North, as
dedicated in said plat of BELLVUE ACRES) lying Southerly of a line drawn parallel with and
distant 50.00 feet South of the North line of Lot 9, Block 2, in said plat, and its Easterly
extension (Bellvue Lane Addition); and
WHEREAS, the EDA determined that the buildings located on the properties
described above were dilapidated and obsolescent and the clearance thereof was in the best interest
of the public health and welfare of the City of Brooklyn Center; and
WHEREAS, the property was purchased and the buildings thereon were demolished
by the EDA using Community Development Block Grant funds under the slum and blight clearance
provisions, and also EDA funds; and
WHEREAS, EDA Resolution No. 97 -07 approved an amendment to the project plan
for Housing Development and Redevelopment Project No. 1 whereby the EDA found that such
property is characterized by aging and deteriorating housing stock, and that acquisition of such
property will allow redevelopment of the area for new owner occupied housing, promote added
investment in the project, and prevent the emergence or spread of blight.
WHEREAS, the development of Bellvue Lane Addition with new owner occupied
housing is in accordance with the plans and goals of Housing Development and Redevelopment
Project No. 1 as amended by resolution 97 -07; and
EDA RESOLUTION NO.
WHEREAS, after conducting a public hearing the EDA considered the terms and
conditions of the sale of property in Bellvue Lane Addition, which are attached to this resolution; and
WHEREAS, the EDA has determined it is in the best interests of the City of Brooklyn
Center to sell the properties in Bellvue Lane Addition pursuant to the terms and conditions included
with this resolution.
NOW, THEREFORE, BE IT RESOLVED by the Economic Development Authority
in and for the City of Brooklyn Center, Minnesota as follows:
1. The base prices of the single family homes to be constructed on the lots in Bellvue
Lane Addition and which are attached to this resolution are hereby approved.
2. The new construction purchase agreement attached to this resolution and the
terms contained therein are hereby approved.
3. The lot premiums for specified lots in the Bellvue Lane Addition which are
attached to this resolution are hereby approved.
4. The protective covenants for Bellvue Lane Addition which are attached to this
resolution are hereby approved.
Date President
The motion for the adoption of the foregoing resolution was duly seconded by commissioner
and upon vote being taken thereon, the following voted in favor thereof:
and the following voted against the same:
whereupon said resolution was declared duly passed and adopted.
•
EDA Agenda Item No. 4b
•
MEMORANDUM
TO: Michael J. McCauley, City Manager
FROM: Brad Hoffman, Community Development Director
DATE: November 4, 1998
SUBJECT: Blumentals Architecture Inc. Lease
Attached is a copy of a memo from Judith Bergeland outlining a proposed lease with Blumentals
Architecture Inc. for office space ($2,575 square) in the D Barn. Blumentals are currently officed
in the H Barn at the Heritage Center. Their lease was up last March and are currently on a month
by month.
The space currently used by Blumentals Architecture Inc. will become additional meeting space with
the grant from the State. Blumentals has expressed their strong desire to remain at the Heritage
Center. The lease before the EDA is typical of leases in our market place. Normally, a lease would
be handled administratively but considering the length of the lease (ten years) it should be reviewed
by the EDA board. While the rent increases every two (2) years by $.50 per foot, it is also tied to the
CPI for inflation purposes.
The lease provides a long term stable revenue source from a building that accommodates few other
uses. I would recommend the approval of the lease.
•
MEMORANDUM
TO: Brad Hoffman
FROM: x` udith Bergeland
RE: Blumental Lease Agreement
DATE: October 21, 1998
Following is a brief overview of the terms of the commercial office lease with Bfumental Architecture:
Leased Premise: 2,575 square feet including all of the second floor and approximately half the ground floor
of the building known as D Barn
Commencement Date: December 1, 1998 or earlier if tenant improvements completed.
Lease Term: Ten years
Rent: $37,337.52 ($14.50 per square foot) adjusted upward every 24 months in $.50 per square foot
increments. Checked periodically with Consumer Price index in case upward adjustment becomes
necessary.
• Additional Rent: Bfumental to a electrical co building to p ay costs for the entire b,��lding of D Barn (including the storage
area on ground floor)
Tenant Improvements: Landlord to pay a maximum cash allowance of $12 per square foot ($30,900) to
Bfumental who is acting as its own construction manager. Reimbursement of construction expenses to be
requested no more frequently than every 15 days.
Utilities (except electrical) and exterior maintenance including snow lawn care to be Owners responsibility.
Anticipated yearly expenses: $20,748 (see 1999 budget overview for detail).
Anticipated yearly income over expenses $17,503 (see 1999 budget overview for detail).
Contract drafted by lave firm of Briggs and Morgan. Give me a call if you need additional explanation.
•
LEASE AGREEMENT
Landlord: Brooklyn Center Economic Development Authority
Tenant: Blumentals Architecture, Inc.
•
LEASE AGREEMENT
• THIS LEASE AGREEMENT is made as of the of , 1998 by and between the Landlord
and Tenant hereinafter designated.
Article 1: Lease Specifications
The terms set forth in this Article shall have the meanings hereinafter prescribed.
1.1
Landlord. Landlord is the Brooklyn Center Economic Development Authority with an address of
6301 Shingle Creek Parkway, Brooklyn Center, MN 55430.
1.2 Tenant Tenant is identified as follows:
1.2.1 Name Blumentals Architecture, Inc., a. Minnesota corporation
1.2.2 Trade name, if any: N/A
1.2.3 Address Earle Brown Drive, Brooklyn Center, MN 55430
1.3 Building The Building described in this Lease is the building which is located at 6235 Earle Brown
Drive, Brooklyn Center, Minnesota, on a portion of the land legally described on Exhibit A attached hereto (the "Land ").
1.4 Leased Premises. That certain space located in the Building, consisting of approximately 2,575
rentable square feet, depicted on Exhibit B attached hereto.
1.5 Commencement Date. The earlier to occur of (a) December 1, 1998, or (b) the date Tenant occupies
the Leased Premises, following completion of the Tenant Improvements contemplated by Article 4 below.
1.6 Lease Term. A period beginning on the Commencement Date and ending on the last day of the
calendar month in which the tenth (10th) anniversary of the Commencement Date occurs (the "Termination Date "),
unless earlier terminated in accordance with the provisions of this Lease.
1.7 Base Rent. The initial Base Rent for the Leased Premises is as follows:
Annual Base Rent is initially $37,337.52, payable in advance in equal monthly installments of
$3,111.46. Base Rent shall be subject to adjustment pursuant to Section 3.2.
1.8 ]Intentionally Omitted).
1.9 Lease Year shall mean any calendar year falling wholly or partially within the Lease Term.
1.10 [Intentionally Omitted].
1.11 Permitted Use: For general office use.
1.12 Common Areas: The common areas located on the Land outside the Leased Premises, including,
but not limited to service roads, driveways, parking areas, sidewalks, maintained yards and landscaped areas, as
determined by Landlord from time to time, but specifically excluding the other buildings located on the Land.
1.13 Exhibits The following xhibits are attached hereto and are b this reference incorporated into the
g Y rP
Lease:
• Exhibit A: Legal Description of the Land
Exhibit B: Depiction of the Leased Premises
Exhibit C: Tenant Work Letter
• Article 2: Term Commencement and Condition of Premises
2.1 Delivery of Possession. Landlord shall promptly deliver possession of the Leased Premises to Tenant
for the limited purpose of constructing the Tenant Improvements.
2.2 Commencement and Termination. The Term of this Lease shall commence on the Commencement
Date, and shall end on the Termination Date unless terminated earlier in accordance with the provisions of this Lease.
The Term shall not be extended except pursuant to a right of extension expressly granted elsewhere in this Lease, or
by a written agreement executed by both parties. If requested by Landlord, Tenant shall execute an addendum to this
Lease, confuzning the Commencement Date and Termination Date once they are established pursuant to Section 1.6.
2.3 Condition of Premises. Tenant agrees that Landlord shall deliver the Leased Premises in "as is"
condition, and that Landlord is not obligated to make improvements or alterations to the Leased Premises. By taking
possession of the Leased Premises, Tenant shall be conclusively deemed to have acknowledged that the Leased Premises
are in the condition required by this Lease. Tenant acknowledges that Landlord has made no representations or
warranties of any kind to Tenant concerning the condition of the Leased Premises other than expressly set forth in this
Lease and Tenant is relying on its own inspection of the Leased Premises in accepting the Leased Premises.
Article 3: Rent
3.1 Base Rent. In consideration of the leasing by Landlord of the Leased Premises to Tenant, Tenant
shall pay to Landlord at the address of Landlord set forth in Article 1.1 or at such other address as Landlord may
designate from time to time in writing, Base Rent in the amounts set forth in Article 1.7, as adjusted pursuant to Section
3.2, which amounts are payable in advance, without notice, setoff, deduction or demand, in equal monthly installments,
commencing on the Commencement Date and continuing on the first day of each month thereafter for the balance of
the Lease Term.
3.2 Adiustments to Base Rent. On the first day of the calendar month following each of the second,
fourth, six, and eighth anniversaries of the Commencement Date (each of which dates shall be referred to herein as an
"Adjustment Date "), Base Rent shall be increased from the Base Rent in effect on the Commencement Date by a
percentage equal to the percentage increase in the CPI from the Commencement Date to such Adjustment Date,
provided. that in no event shall Base Rent, as adjusted at any time hereunder be less than the Minimum Base Rent set
forth below. If the calculation of the CPI adjustment provided for herein would result in the Base Rent being below the
Minimum Base Rent, Base Rent shall be adjusted so as to equal the Minimum Base Rent. For purposes hereof, the
following terms shall have the following respective meanings:
(a) "CPI" means the Consumer Price Index for all Urban Consumers, U.S. City Average, All
Items (1982 -84 equals 100), published by the Bureau of Labor Statistics of the United States Department of
Labor. The CPI in effect on any date shall be the CPI most recently published as of such date. If the CPI
hereafter ceases to use the 1982 -1984 average equaling 100 as a basis of calculation, or if the CPI is altered,
modified, converted or revised in any way, then the CPI as thus altered will be used. If such CPI shall no
longer be published by said Bureau, the Landlord shall designate a reasonable substitute index.
(b) "Percentage Increase" means the percentage equal to the fraction, the numerator of which
shall be the CPI in effect on the Adjustment Date less the CPI in effect on the Commencement Date, and the
denomination of which shall be the CPI in effect on the Commencement Date.
(c) "Minimum Base Rent" shall mean the following Base Rent amounts for the respective
periods indicated:
(i) for the twenty-four month period commencing on the fast Adjustment Date, annual
Base Rent of $38,625.00, payable in monthly installments of $3,218.75;
2
(ii) for the twenty-four month period commencing on the second Adjustment Date,
annual Base Rent of $39,912.48, payable in monthly installments of $3,326.04;
(iii) for the twenty-four month period commencing on the third Adjustment Date,
annual Base Rent of $41,199.96, payable in monthly installments of $3,433.33; and
(iv) for the period commencing on the fourth Adjustment Date and continuing through
the end of the lease term, annual Base Rent of $42,487.56, payable in monthly installments of
$3,540.63.
3.3 Additional Rent. Tenant shall pay, as Additional Rent, the electricity costs described in Section 7.1.
Payment shall be made within thirty days following Tenant's receipt of each invoice for such costs. Base Rent and
Additional Rent, and any other amounts to be paid by Tenant under this Lease shall sometimes be referred to collectively
in this Lease as "Rent."
3.4 Partial Months. In the event the Term commences on a date other than the first day of a calendar
month or ends on a date other than the last day of a calendar month, the monthly installment of Rent for the first partial
month or last partial month of the Term shall be prorated based on the ratio that the number of days in the Term within
such month bears to the total number of days in such month.
3.5 Indeaendent Covenant to Pav Rent,. The covenant of Tenant to pay Rent is independent of any
other covenant, provision or agreement contained in this Lease. All Rent shall be paid by Tenant without offset,
deduction, reduction or abatement of any kind.
3.6 Late Rent. Tenant acknowledges that Landlord incurs various administrative costs if Tenant makes
any payment of any Rent due under this Lease after the due date. In order to cover such administrative costs, Tenant
agrees that if any monthly installment of Base Rent, or if any Additional Rent or any other Rent due under this Lease
shall not be received by Landlord within five (5) business days after such payment is due, Tenant shall pay to Landlord
a late charge equal to five percent (5 %) of such delinquent amount. In addition, any amounts payable by Tenant under
this Lease which are not paid when due shall bear interest at the rate of one and one -half percent (1.5 %) per month (the
"Default Rate ") which interest shall accrue from such due date until paid; provided, however, if the Default Rate exceeds
the maximum interest rate permitted by law, the Default Rate shall be reduced to the maximum interest rate permitted
by law under the circumstances.
Article 4: Tenant Improvements
4.1 Initial Construction. Tenant agrees to build out and finish the Leased Premises (including the
construction of all demising walls) in accordance with plans and specifications which shall have been approved in
writing by Landlord, using contractors which shall have been approved in writing by Landlord. Landlord shall approve
or reject any plans and specifications or any proposed contractor within ten (10) days after submission by Tenant. Such
approval shall not be unreasonably withheld. Such buildout, which shall be referred to herein as the "Tenant
Improvements" shall be performed by Tenant in accordance with the terms of this Article 4 and the Tenant Work Letter
attached hereto as Exhibit C and made a part hereof by this reference, which shall be deemed executed upon approval
of the plans and specifications.
4.2 Allowances. In connection with the Tenant Improvements and as consideration for the covenants of
Tenant herein, Tenant shall receive the following allowance:
(a) If Tenant substantially completes the Tenant Improvements and is not then in default under
this Lease, Landlord shall pay to Tenant a cash allowance of up to $12.00 per square foot, or $30,900.00 (the
"Tenant Allowance ") to reimburse Tenant for the actual costs incurred by Tenant to plan, design, engineer and
construct the Tenant Improvements. So long as Tenant makes reasonable progress toward timely completion
of the Tenant Improvements, Landlord agrees to make periodic payments of the Tenant Allowance to Tenant
during the construction period for work completed, upon written requests from Tenant, such written requests
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to be submitted no more often than once every fifteen (15) days. Such written requests must detail work
• performed or materials supplied in planning, designing, engineering, or constructing the Tenant Improvements,
all of which shall be subject to reasonable substantiation by Landlord, or an architect or other representative
retained by Landlord. Such payments shall be made to Tenant within fifteen (15) days after Landlord's receipt
of the written request and other supporting materials reasonably required by Landlord hereunder. Tenant shall
submit to Landlord, at a minimum, receipts or contracts evidencing payment of all amounts due and a sworn
affidavit or lien waiver from each of Tenant's designers, contractors, subcontractors, workers and suppliers
stating that they have been paid in full for all work performed and materials and equipment supplied by them
on the Leased Premises through the date of the payment request. If the costs of planning, designing,
engineering and constructing the Tenant Improvements exceed the Tenant Allowance, Tenant shall be solely
responsible for, and shall timely pay, such additional costs. If the amount of the Tenant Allowance exceeds
the actual costs of planning, designing, engineering and constructing the Tenant Improvements, then Landlord
shall have no obligation to pay or credit to Tenant the amount of such shortfall.
4.3 Compliance With Laws. Tenant shall, in designing and constructing the Tenant Improvements, and
any Alterations made pursuant to Article 11, comply with all laws, rules, orders, ordinances, directions, regulations and
requirements of federal, state, county and municipal authorities now in force or which may hereafter be in force, and
agrees to indemnify and defend Landlord from and against any and all claims and liabilities of any kind or description
which may arise out of Tenant's failure so to comply. Landlord's review or approval of plans, specifications, or working
drawings for the Tenant Improvements or Alterations shall create no responsibility or liability on the part of Landlord
for their completeness, design sufficiency, or compliance with laws, rules, and regulations of governmental agencies
or authorities.
4.4 Pronertv of Landlord. The Tenant Improvements shall, upon completion, become a part of the
Leased Premises and shall be the property of Landlord.
Article 5: Use
The Leased Premises shall be used by Tenant for the use or uses specified in Article 1.11 and for no other
purpose whatsoever without the prior written consent of Landlord. Tenant shall at its sole cost and expense comply with
all applicable laws, ordinances and governmental regulations applicable to the use of the Leased Premises and with all
rules and regulations from time to time reasonably adopted by Landlord. Tenant shall not commit, permit or cause any
nuisance or waste in or about the Leased Premises or permit or cause any act or omission to be performed on the Leased
Premises which violates any law, statutes, regulation, ordinance or rule of any kind of any governmental body or which
causes an increase in insurance rates for the Building or which violates any insurance policy maintained by Landlord.
Article 6: Common Areas
6.1 Use of Common Areas. In connection with its use of the Leased Premises, Tenant shall have the
right to use the Common Areas in common with others entitled to such use. The Common Areas, except as otherwise
specifically provided herein, shall be available to all occupants of the Land, their employees, agents, customers and
invitees. Landlord reserves the right from time to time to alter, reduce or increase the Common Areas in its sole
discretion.
6.2 Maintenance of Common Areas. Landlord agrees to manage, operate and maintain in good order
and repair all Common Areas. Management and maintenance of the Common Areas shall be at the discretion of
Landlord but such management and maintenance shall be performed so that the Common Areas are kept in a
commercially reasonable condition and shall include snow removal from parking areas, drives and sidewalks, and
reasonable maintenance of landscaped areas and lawns.
Article 7: Services; Utilities
7.1 Utilitv Service. Landlord agrees to furnish water, heat during the usual heating seasons and air
conditioning during the usual air conditioning season to reasonable comfort levels. Utility Service will be provided as
necessary to accommodate Tenant's actual hours of use of the Premises. Although Landlord shall assure that all
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necessary equipment is in place to provide electrical service to the Building, Tenant shall be solely responsible to pay
• for the costs of all electricity consumed in the Building, including electrical consumption in the storage area occupied
by Landlord on the ground floor. Landlord agrees that such storage area shall not be converted to a shop with operating
tools or machinery. If such conversion occurs, Landlord shall be responsible for a pro -rata share of the cost of electricity
consumed in the Building, based upon the ratio which the rentable square footage of such storage area bears to the total
rentable square footage of the Building.
7.2 Interruption. No temporary interruption or failure of such services incidental to the making of
repairs, alterations or improvements, or due to accidents or strike or conditions or events not under Landlord's control,
shall be deemed as an eviction of the Tenant or relieve the Tenant from any of the Tenant's obligations hereunder.
Article 8: Maintenance and Repair of Leased Premises; Utilities
8.1 Landlord's Obli ation. Landlord shall, at Landlord's expense, make any necessary repairs or
replacements to the roof, external walls, foundation and structural elements of the Building.
8.2 Tenant Obli ation. During the entire Term, Tenant shall, at its sole cost and expense, maintain the
Leased Premises in as good order, condition and repair as they were at the Commencement Date, ordinary wear and tear
excepted. This maintenance obligation shall include, but shall not be limited to, the obligation to make all repairs and
replacements which are needed or desirable in the Leased Premises, including the plumbing, hearing, air conditioning
and electrical facilities and fixtures therein, except for those repairs or replacements which are Landlord's responsibility
under Article 7 of this Lease. Tenant shall pay for replacement of all glass broken in or about the Leased premises, and
all broken or burnt out light bulbs in the Leased Premises.
8.3 Hazardous Substances. Tenant shall not store, process or dispose of any hazardous substances on
the Leased Premises without the express written consent of Landlord, which consent may be withheld in Landlord's sole
discretion. In the event that Landlord consents to the storage, processing or disposal of any hazardous substances on
the Leased Premises:
(a) Such storage, processing or disposal shall be in compliance with all applicable laws and
regulations, including environmental laws and regulations, and in compliance with all conditions, if any,
imposed by Landlord; and
(b) All facilities on the Leased Premises shall at all times during the Term of this Lease be in
compliance with all applicable laws and regulations, including environmental laws and regulations, and Tenant
shall have all permits and approvals necessary for operation of the facility.
Landlord shall have the right to conduct, at Landlord's expense, an environmental audit, at any time during the Term
and Tenant shall cooperate with Landlord in conducting any such audit.
Tenant shall timely provide to Landlord copies of all notices or reports Tenant submits to or receives from
governmental agencies or from any other person or entity relating to the storage, processing, disposal, release or
threatened release of hazardous substances into or onto the Leased Premises or any property adjacent to the Leased
Premises.
As used herein, the term "hazardous substances" shall mean any substance designated pursuant to the Clean
Water Act, Title 33 U.S.C. Section 1321, any element, compound, mixture, solution or substance designated pursuant
to the Comprehensive Environmental Response, Compensation and Liability Act, Title 42 U.S.C. Section 9602, any
hazardous waste having the characteristics identified under or listed pursuant to the Solid Waste Disposal Act, Title 42,
U.S.C. Section 6921, any toxic pollutant listed under Section 307(a) of the Clean Water Act, Title 33 U.S.C. Section
1317(a), any hazardous air pollutant listed under Section 112 of the Clean Air Act, Title 42 U.S.C. Section 7412, any
imminently hazardous chemical substance or mixture with respect to which the Administrator of the Environmental
Protection Agency has taken action pursuant to Section 7 of the Toxic Substances Control Act, Title 15 U.S.C. Section
2606 and any other hazardous waste, hazardous substance, pollutant or contaminant or the like as defined in the
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I .
environmental statutes of the state where the Leased Premises are located. The term "hazardous substances" shall also
include, but is not limited to polychlorinated biphenyl, asbestos, urea formaldehyde and all related substances.
Tenant shall indemnify Landlord and its successors and assigns, and against an and all liabilities claims
�s � g Y ,
penalties, forfeitures, suits and the costs and expenses incident thereto (including costs of defense, settlement and
reasonable attorneys' fees), which Landlord may hereafter incur, become responsible for or pay out as a result of death
or bodily injury to any person, destruction or damage to any property, contamination or adverse affect on the
environment or any violation of governmental laws, regulations or orders, resulting from or due to the release or
threatened release of hazardous substances, which were, or are claimed or alleged to have been, deposited, stored,
disposed of, placed or otherwise located or allowed to be located in, on or about the Leased Premises during the Term.
This indemnity obligation shall survive the expiration of the Lease Term.
8.4 Securitv Tenant assumes full responsibility for the protection and security of the Leased Premises,
including but not limited to the obligation to provide a secured entryway to the Leased Premises, and to keep the Leased
Premises free from theft, robbery and other crimes and shall keep all unattended doors and other means of entry to the
Leased Premises closed and secured as necessary.
8.5 Failure to Maintain. If Tenant fails to perform any obligation or comply with any covenant set forth
in this Article 8, Landlord may, but shall not be obligated to, enter the Leased Premises and perform such obligation
or such compliance without liability for any resulting loss or damage to Tenant and Tenant shall pay to Landlord all
costs Landlord incurs in connection therewith, plus ten percent (10 %) of any such cost to _reimburse Landlord for .
overhead and supervision charges, which amount Tenant shall pay to Landlord within ten (10) days of Landlord's
demand to Tenant.
Article 9: Insurance, Indemnification and Waivers
9.1 Insurance. During the entire Term of this Lease, Tenant shall maintain, at its sole cost and expense
® the following insurance coverages:
(a) Tenant shall maintain a "Commercial General Liability Insurance" policy, providing
coverage on an "occurrence," rather than on a "claims made" basis, which policy shall include, but not be
limited to, coverage for bodily injury, property damage, personal injury and contractual liability. Such policy
shall name Landlord as an additional insured thereunder. Tenant shall maintain at all times during the Term
a total combined liability policy limit of at least $2,000,000, applying to liability for bodily injury, personal
injury and property damage.
(b) Tenant shall maintain insurance on all furniture, fixtures and equipment, business interests
and other property of Tenant located in the Leased Premises, against loss by fire and other hazards covered by
the so- called "all risk" form of policy in an amount equal to the actual replacement cost thereof.
(c) Worker's compensation insurance and any other kind of insurance required by any statute,
ordinance or regulation of any governmental body in connection with the operation or use of the Leased
Premises by Tenant.
9.2 Certificates. Tenant shall deliver to Landlord within 10 days following the execution of this Lease
(but in any event before Tenant occupies any portion of the Leased Premises) and at least thirty (30) days prior to the
expiration of the effective period of each required policy, appropriate certificates or other evidence reasonably
acceptable to Landlord, that such policies are in full force and effect.
9.3 Indemnification. In addition to the indemnification set forth in Section 8.3, Tenant shall indemnify
and hold Landlord harmless from and against every demand, claim, cause of action, judgment, cost and expense,
including attorneys' fees and court costs, and any other loss or damage which arises from or is connected with the use
or occupancy of the Leased Premises or the Land by Tenant, its agents, contractors, servants, employees, licensees or
• concessionaires or which results from the violation of any law, ordinance, or governmental order by Tenant, its agents,
6
contractors, servants, employees, licensees or concessionaires or which result from the breach of this Lease by Tenant,
• its agents, contractors, servants, employees, licensees or concessionaires.
9.4 Waiver of Claims. Notwithstanding any provision contained in this Lease to the contrary, it is agreed
that each party (the "Releasing Party") hereby releases the other (the "Released Party") from any liability which the
Released Party would have had to the Releasing Party but for this Section 9.4, for loss or damage which results from
the occurrence of any fire or other casualty to property:
(a) Which is normally covered by a standard form of "all risk" insurance policy (with a
vandalism and malicious mischief endorsement attached) irrespective of whether such coverage is actually
being carried by the Releasing Party; or
(b) Which is actually covered by any other insurance maintained by the Releasing Party at the
time of such occurrence,
whether or not the loss or damage resulted from the negligence of the Released Party.
Article 10: Rights Reserved by Landlord
Landlord reserves the following rights exercisable without liability to Tenant and without resulting in an
eviction, constructive or actual, or a disturbance of Tenant's use or possession, and without giving rise to any claim for
set -off or abatement of Rent:
(a) To retain at all times and to use in appropriate instances keys to all doors within and into the
Leased Premises. No locks shall be changed without the prior written consent of Landlord. This provision
shall not apply to Tenant's safes or other areas maintained by Tenant for the safety and security of monies,
securities, negotiable instruments and the like;
• (b) To make any repairs, alterations, additions or improvements, whether structural or otherwise,
in and about the Leased Premises and to enter upon the Leased Premises for the purpose of inspecting,
cleaning, and repairing the Leased Premises (provided that nothing contained in this Lease shall be construed
as imposing any obligation on Landlord to make any repairs in the Leased Premises);
(c) To promulgate reasonable rules regulating the use of Common Areas.
Article 11: Alterations and Improvements
11.1 Tenant Alterations. After completion of the Tenant Improvements, Tenant shall not make any
changes, additions, modifications, improvements or other alterations to the Leased Premises (the "Alterations ") unless
Tenant shall:
(a) Perform the same at its sole cost and expense; and
(b) Comply with all relevant requirements of any governmental or quasi - governmental authority;
and
(c) Obtain the prior written consent and the approval of all relevant plans by Landlord which
consent and approval shall not be unreasonably withheld; and
(d) Perform the same in a good and workman-like manner; and
Tenant shall pay the cost of the Alterations and shall pay all costs Landlord incurs in connection with the Alterations.
• Upon completion of the Alterations, Tenant shall furnish to Landlord contracts, affidavits and full and final waivers
of liens and receipted bills covering the Alterations. The Alterations shall comply with all insurance requirements and
all laws, ordinances, rules and regulations of all governmental authorities and shall be constructed in a good and
7
workmanlike manner. Tenant shall permit Landlord to inspect Tenant's construction operations in connection with the
Alterations. Landlord may condition its consent to Alterations upon Tenant providing reasonable protection against
mechanics lien relate dot the Alterations.
11.2 Removal of Imnrovements. Landlord, by written notice to Tenant given at or prior to expiration or
earlier termination of this Lease, may require Tenant, at Tenant's sole cost and expense, to remove the some or all of
the above Alterations and to repair or restore any damage caused by the installation or removal of such Alterations if
so specifically stated in the written consent and approval granted by Landlord for the particular Alteration. Those
Alterations not designated for removal by Landlord in such notice shall upon termination or expiration of the Lease
become the property of Landlord.
11.3 Mechanic's Liens. Tenant shall not permit any mechanic's or other lien to be filed against the Leased
Premises or the Land for any labor or materials furnished to or in connection with any work performed or claimed to
have been performed in or about the Leased Premises at the request of Tenant or anyone acting on Tenant's behalf, and
shall immediately discharge and remove any such lien, provided, that Tenant shall have the right to contest any such
lien in good faith, on the condition that Tenant provide Landlord - and if requested by Landlord, Landlord's mortgage
lender - with a bond, cash escrow deposit or other security in a form and amount reasonably acceptable to Landlord and
Landlord's mortgage lender. In event Tenant fails to remove any such lien, Landlord may remove such lien and Tenant
shall immediately reimburse landlord upon demand for all costs and expenses, including attorneys' fees, Landlord incurs
in connection with the removal of such lien. Landlord shall have the right to post a notice in the Leased Premises
disclaiming any liability for payment for any construction or improvements performed by persons or entities other than
Landlord or its contractors, and/or for any liens arising in connection therewith. Tenant agrees not to disturb such
notice.
11.4 Compliance With Laws. Tenant shall, in designing and constructing any Alterations, comply with
all laws, rules, orders, ordinances, directions, regulations and requirements of federal, state, county and municipal
authorities now in force or which may hereafter be in force, and agrees to indemnify and defend Landlord from and
• against any and all claims and liabilities of any kind or description which may arise out of Tenant's failure so to comply.
Landlord's review or approval of plans, specifications, or working drawings for the Alterations shall create no
responsibility or liability on the part of Landlord for their completeness, design sufficiency, or compliance with laws,
rules, and regulations of governmental agencies or authorities.
Article 12: Assignment and Sublease
12.1 Consent Reouired. Tenant agrees not to sublet any portion of the Leased Premises or to transfer or
assign this Lease without obtaining the prior written consent of Landlord, which consent Landlord may grant or deny
at Landlord's sole discretion. Landlord's consent to any assignment of this Lease shall not be a waiver of Landlord's
rights under this Section as to any subsequent assignment. Tenant's assignment of this Lease or subleasing of the
Property shall not relieve Tenant from any of Tenant's obligations under this Lease, and no assignment of this Lease
or sublease of the Property or other transfer of this Lease shall be effective unless the assignee, sublessee or transferee
shall at the time of such assignment, sublease or transfer, assume in writing for the benefit of Landlord, its successors
or assigns, all of the terms, covenants and conditions of this Lease thereafter to be performed by Tenant and shall agree
in writing to be bound thereby.
12.2 Assignment by Landlord,. Landlord shall have the absolute right to assign its interest in this Lease
and nothing in this Lease shall restrict the right of Landlord to sell, convey, assign or otherwise transfer its interest in
the Building. Any sale, conveyance, assignment or other transfer of the Building shall operate to release Landlord from
liability under this Lease from and after the effective date of such transfer and Tenant shall thereafter look solely to the
successor in interest to Landlord for the performance of Landlord's obligations under this Lease. This Lease shall not
be affected by any such sale, conveyance, assignment or other transfer and Tenant shall attorn to Landlord's successor
in interest under this Lease.
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Article 13: Eminent Domain
• 13.1 Eminent Domain. If an eminent domain or condemnation proceeding is commenced or a private sale
in lieu thereof occurs with respect to any portion of the Leased Premises during the term of this Lease, the following
provisions shall apply:
a. This Lease shall cease and terminate as of the date the Condemning Authority acquires
possession. Tenant shall pay all Rent up to that date.
b. Tenant shall not be entitled to any part of the award paid in any condemnation acquisition
under power of eminent domain or any part of any of the proceeds of a sale in lieu thereof, and Landlord shall
receive the full amount of such award. The Tenant hereby expressly waives any right or claim to any part of
such award or proceeds.
C. Although all damages in the event of any condemnation shall belong to the Landlord whether
such damages are awarded as compensation for diminution in value of the leasehold or to the fee of the Land
and Building, Tenant shall have the right to claim and recover from the condemning authority, but not from
Landlord, such compensation as may be separately awarded or recoverable by Tenant in Tenant's own right
on account of any and all damage to Tenant's business by reason of the condemnation and for or on account
of any cost or loss to which Tenant might be put in removing Tenant's merchandise, furniture, fixtures,
leasehold improvements and equipment.
Article 14: Damage or Destruction
14.1 Damage If fire or other casualty damages or destroys the Leased Premises during the term of this
Lease, the following provisions shall apply:
(a) If fire or any other casualty damages the Leased Premises and the cost of restoration, as
estimated by Landlord, equals or exceeds ten percent (10 %) of the replacement value of the Leased Premises
(exclusive of foundation) just prior to the occurrence of the damage, Landlord may, no later than the sixtieth
(60th) day following the damage, give Tenant written notice of Landlord's election to terminate this Lease.
(b) If fire or other casualty damages the Leased Premises and the cost of restoration, as estimated
by Landlord, equals or exceeds fifty percent (50 %) of said replacement value of the Leased Premises and if
the Leased Premises is not suitable for the business of Tenant as a result of said damage in the reasonable
opinion of Tenant, then Tenant may, no later than the sixtieth (60th) day following the damage, give Landlord
a written notice of election to terminate this Lease.
(c) If fire or other casualty damages the Leased Premises and the cost of restoration, as
reasonably estimated by Landlord, is less than ten percent (10 %) of said replacement value of the Leased
Premises, or if, despite a greater cost of restoration, neither Landlord nor Tenant elect to terminate this Lease
pursuant to Sections 14.1(a) or 14.1(b) above, Landlord shall restore the Leased Premises with reasonable
promptness, subject to delays beyond Landlord's control.
(d) If either party elects to terminate the Lease as provided for above, the Lease shall be deemed
to terminate on the date the terminating party provides notice of election to terminate and all Rent shall be paid
up to that date, subject to full or partial abatement pursuant to Section 14.1(e). Tenant shall have no claim
against Landlord for the value of any unexpired term of this Lease.
(e) Rent shall be equitably abated so as to reflect the extent to which the Leased Premises is
rendered untenantable or inaccessible following a casualty, pending restoration of the Leased Premises.
Article 15: Signs
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9
No sign, advertisement or notice shall be inscribed, painted, affixed or displayed in any part of the Land or the
• outside of the Building, or visible from the exterior of the Building without the prior written approval of Landlord. At
the expiration of the Lease Term, Tenant shall, at its sole expense, remove all such signs and restore the Building and
the Land to their condition prior to the installment of the signs. If any such sign, advertisement or notice is improperly
installed, Landlord shall have the right to remove the same without any legal proceeding and Tenant shall be liable for
any and all expenses Landlord incurs in connection with such removal.
Article 16: Surrender of Premises
Upon the expiration or earlier termination of this Lease, Tenant shall, at its sole cost and expense:
(a) Remove all of its equipment, trade fixtures, machines and other personal property from the
Leased Premises; and
(b) Deliver possession of the Leased Premises to Landlord in good condition and repair,
reasonable wear and tear excepted; and
(c) At the request of Landlord, remove all alterations, additions and improvements which have
been made or installed either by Landlord or Tenant in the Leased Premises other than Tenant Improvements
and repair any damage caused by such removal.
(d) Promptly surrender all keys for the Leased Premises to Landlord.
All personal property left in the Leased Premises after the expiration or earlier termination of this Lease shall
be deemed abandoned and shall be deemed the property of Landlord. Tenant shall pay to Landlord all costs and
expenses Landlord incurs in connection with the removal, transportation or storage of any property so left in the Leased
Premises and with respect to restoring the Leased Premises to good order, condition and repair.
• Article 17: Holdover Tenancy
In the event Tenant remains in possession of the Leased Premises after expiration or termination of this Lease
and without the execution of a new lease and without Landlord's written consent, Tenant shall be deemed to be
occupying the Leased Premises without claim of right and Tenant shall pay to Landlord a charge ( "Holdover Rent ") for
each day of Tenant's occupancy in an amount equal to double the Annual Base Rent in effect as of the expiration or
termination date, together with the Additional Rent otherwise due hereunder (both of which shall be computed at a daily
rate on a daily basis). All Rent to be paid to the Landlord during a holdover period shall be payable to Landlord on
demand.
Article 18: Default of Tenant
18.1 Events of Default. Each of the following shall constitute an Event of Default under this Lease:
(a) Tenant fails to pay Base Rent, Additional Rent or any other Rent when the same is due; or
(b) Tenant vacates or abandons the Leased Premises; or
(c) This Lease or the Leased Premises or any part thereof is executed upon or is taken by other
process of law directed against Tenant, or becomes subject to any attachment at the instance of any creditor
of Tenant, and the attachment is not discharged or disposed of within fifteen (15) days after its levy; or
(d) Tenant or any guarantor of Tenant's obligations under this Lease files a petition in
bankruptcy or insolvency or for reorganization or arrangement under the bankruptcy laws of the United States
or under any insolvency act of any state, or admits the material allegations of any such petition by answer or
• otherwise, or is dissolved or makes an assignment for the benefit of creditors; or
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(e) Involuntary proceedings under any bankruptcy law, or insolvency act or law governing the
. dissolution of Tenant are instituted against Tenant, or a receiver or trustee is appointed for all or substantially
all of the property of Tenant or any guarantor of Tenant's obligations under this Lease, and such proceeding
is not dismissed or such receivership or trusteeship vacated within sixty (60) days after such institution or
appointment; or
(f) Tenant attempts to assign, pledge, mortgage, transfer or sublet Tenant's interest under this
Lease without Landlord's prior written consent in violation of Article 12; or
(g) Tenant breaches any other agreement, term, covenant or condition which this Lease requires
Tenant to perform and such breach continues for a period of ten (10) days after notice from Landlord to Tenant
(unless such breach cannot reasonably be cured within such ten (10) day period in which case Tenant shall
commence such cure within such ten (10) day period and shall proceed diligently to cure such breach within
a reasonable time, not to exceed sixty (60) days.
18.2 Landlord's Remedies. If any one or more Events of Default set forth in Section 18.1 occur then
Landlord may at Landlord's option:
(a) Termination Notify Tenant, in writing, that this Lease shall terminate as of the earliest day
which the law permits or on any later date specified in such notice. Tenant's right to possession of the Leased
Premises shall cease as of the date set forth in Landlord's notice of termination. Neither the passage of time
after the occurrence of an Event of Default nor Landlord's exercise of any other remedy with regard to such
Event of Default shall limit Landlord's rights under this Section 18.2(a) and no notice from Landlord under
this Article 18 or under a forcible or unlawful entry and detainer statute or similar law will constitute an
election by Landlord to terminate this Lease unless such notice specifically so states. Landlord reserves the
right following any reentry to or reletting of the Leased Premises to exercise its right to terminate this Lease
by giving Tenant such written notice, in which event this Lease will terminate as specified in such notice; or
(b) Re -entry With or.without terminating this Lease and without demand or notice to Tenant,
re -enter and take possession of the Leased Premises using such procedures as may, from time to time, be
provided by law to expel Tenant and those claiming through or under Tenant, and to remove the effects of
either or both. No reentry or taking possession of the Leased Premises by Landlord will be construed as an
election on Landlord's part to terminate this Lease unless a written notice of such intention is given to Tenant;
(c) Resetting Should Landlord elect to reenter as provided in Section 18.2(b) or should
Landlord take possession pursuant to legal proceedings or otherwise Landlord may, from time to time, without
terminating this Lease, reset the Premises or any part of the Leased Premises in Landlord's or Tenant's name,
but for the account of Tenant, for such term or terms and on such conditions and upon such other terms as
Landlord, in its sole discretion, may determine, and Landlord may collect and receive any rent resulting from
such reletting. Landlord will have no obligation to relet the Leased Premises and will in no way be responsible
or liable for any failure to relet the Leased Premises or any part of the Leased Premises, or for any failure to
collect any rent due upon such reletting;
(d) Cure With or without terminating this Lease and without demand or notice to Tenant, to
cure any event of Default and charge Tenant for the cost of effecting such cure, including, without limitation
(a) attorneys' fees; and (b) interest on the amount so advanced at the Default Rate. Notwithstanding the above,
Landlord will have no obligation to cure any such Event of Default of Tenant;
(e) Specific Performance of the Lease With or without terminating this Lease, recover from
Tenant an amount equal to the Rent owing for the balance of the Term as it comes due, plus the amount of any
past due Rent, less the net proceeds, if any, of any reletting of the Leased Premises by Landlord. All of
Landlord's reasonable expenses in connection with such reletting, including, but without limitation, all
repossession costs, competitive brokerage commissions, attorneys' fees, expenses of employees, alteration and
• repair costs and expenses of preparation for such reletting shall be deducted from the proceeds of any reletting
in determining the net proceeds of such reletting. Landlord may recover the amount due from Tenant under
11
this Section 18.2(e) monthly, on the day on which the Base Rent would have been payable under this Lease,
or, if Landlord so chooses, on a less frequent basis.
• (f) Liquidated Damages Elect to terminate the Lease and recover from Tenant as liquidated
B q
damages and not as a penalty, an aggregate sum which, at the time of such termination of this Lease, represents
the (a) full amount of any past due rent, and (b) the amount by which the Rent that would have accrued for the
balance of the term of this Lease exceeds the fair market rental value of the Leased Premises for the same
period (less reasonably estimated expenses of reletting) with such amount discounted to present value at the
lesser of eight percent (8 %) or the discount rate of the Federal Reserve System on the date of the Event of
Default.
18.3 Remedies Cumulative. Tenant shall pay to Landlord upon demand all costs Landlord incurs in
connection with the enforcement of any provisions of this Lease against Tenant, including reasonable attorneys' fees,
whether not any action is commenced against Tenant. Each right or remedy provided to Landlord in this Lease is
cumulative and is in addition to every other right or remedy provided to Landlord in this Lease or existing now or after
the date of this Lease at law, or in equity or by statute or otherwise.
18.4 Acts Subseauent to Termination. No receipt of money by Landlord from Tenant after the
termination of this Lease, the service of any notice, the commencement of any suit or the receipt of final judgment for
possession shall reinstate, continue or extend the Term of this Lease or otherwise affect any such notice, demand, suit
or judgment.
I
Article 19: Subordination
This Lease is and shall be subject and subordinate in all respects to any mortgage, deed of trust or ground lease
now or hereafter placed against the Land or the Leased Premises and to all amendments, replacements, renewals and
extensions thereof. This subordination shall be automatically effective without the necessity of executing or delivering
any further instrument. Notwithstanding the foregoing, the holder of any mortgage, deed of trust, ground lease or any
other interest in the Building or the Leased Premises may elect to have this Lease constitute a prior and superior interest
to its interest in the Building.
If requested by Landlord, Tenant shall execute and deliver to Landlord whatever instruments may be required
in connection with any subordination and attornment or with the granting of priority to this Lease. Such instruments
shall include, without limitation: (a) an agreement by Tenant that Tenant shall attorn to such mortgagee, deed of trust
trustee, ground lessor or purchaser at any sale in foreclosure, and recognize such mortgagee, deed of trust trustee, ground
lessor or purchaser as the Landlord hereunder for the remainder of the Term; and (b) an agreement by such party that
so long as Tenant is not in default hereunder, Tenant's rights under the Lease and possession of the Leased Premises
shall not be disturbed by such party.
Article 20: Certificate of Tenant
Tenant shall, from time to time, within ten (10) days following written request from Landlord, execute,
acknowledge and deliver to Landlord a written statement certifying that:
(a) This Lease is in full force and effect, subject only to such modifications (if any) as may be
set forth in such certificate; and
(b) Tenant is in possession of the Leased Premises and is paying Rent as provided in this Lease;
and
(c) The dates (if any) to which all Rent has been paid; and
(d) Landlord is not in default under this Lease or, if in default, specifying the nature of such
default; and
(e) Such other matters as may be reasonably requested by Landlord.
12
• Any such statement may be relied upon by any prospective transferee or encumbrancer of any interest in or
any portion of the Building. If Tenant fails to deliver such statement within ten (10) days following Landlord's written
request therefor, Tenant shall be deemed to have acknowledged that this Lease is in full force and effect, without
modification except as may be presented by Landlord, and that there are no uncured defaults on the part of Landlord
under this Lease.
Article 21: Notices
All notices required or permitted under this Lease shall be deemed to have been properly served if delivered
personally or if sent overnight mail by a nationally recognized courier or sent by registered mail, return receipt
requested, postage prepaid, addressed to Tenant at the address set forth in Section 1.2.3., or to Landlord at the place from
time to time established for the payment of Rent. Either party may designate by written notice to the other a different
address to which notices shall be subsequently sent. Any notice shall be deemed to have been given at the time of
personal delivery or, if sent overnight mail, the day after the mailing thereof or, if mailed certified mail, return receipt
requested, two (2) days after the date of mailing.
Article 22: Miscellaneous
22.1 Brokers Tenant represents and warrants that Tenant has not retained or been represented by any
broker in connection with this Lease. Tenant shall indemnify Landlord and hold Landlord harmless against any and
all claims made by any broker Tenant has used in connection with Tenant's execution of this Lease.
22.2 Successors and Assigns The covenants and agreements contained in this Leased shall bind and inure
to the benefit of Landlord, its successors and assigns, and Tenant, its permitted successors and assigns.
22.3 Severabilitv If any term or provision of this Lease shall to any extent be held invalid or
unenforceable, in whole or in part the remaining terms and provisions of this Lease shall not be affected thereby, and
each term and provision of this Lease shall be valid and enforced to the fullest extent permitted by law. This Lease shall
be construed and enforced in accordance with the laws of the state in which the Leased Premises are located.
22.4 Headings The marginal or topical headings of each section are for convenience only and do not
define, limit or construe the contents of that section.
22.5 M_ erger All preliminary negotiations, and all prior, oral or written agreements or understandings
between the parties regarding the subject matter of this Lease are hereby merged into and incorporated in this Lease.
22.6 Quiet Eniovment Landlord covenants and agrees that Tenant, upon paying the Base Rent, Additional
Rent and other charges herein provided for, and observing and keeping the covenants, agreements and conditions of
this Lease on its part to be kept and performed, shall lawfully and quietly hold, occupy and enjoy the Leased Premises
during the Term of this Lease.
22.7 Time of Essence Time is of the essence with respect to each provision of this Lease.
22.8 Termination of Existinz Lease. The parties acknowledge that they have entered into a lease dated
as of November 13, 1992 (the "Existing Lease "), for space in the "H Barn" located at 6205 Earle Brown Drive, Brooklyn
Center, Minnesota (the "Existing Premises "). The parties agree that the Existing Lease shall terminate on the
Commencement Date of this Lease, at which time Tenant shall vacate and deliver the Existing Premises to Landlord
in accordance with the terms of the Existing Lease.
22.9 Securitv Deposit. As security for the performance and observance by Tenant of all of its obligations
under this Lease, Tenant shall deposit with Landlord the sum of $1,000.00. Such deposit shall consist of the $1,000
security deposit currently held by Landlord under the Existing Lease, which shall, following termination of the Existing
• Lease, continue to be held as the Security Deposit under this Lease. If Tenant performs and observes all of the terms,
conditions and covenants of this Lease which are required to be performed and observed by it, Landlord shall return
13
I
the security deposit, or balance thereof then held by Landlord, to Tenant within thirty (30) days after the termination
• or expiration of this Lease or after Tenant surrenders possession of the Leased Premises in accordance with this Lease,
whichever is later. In the event of a Default by Tenant in the payment of Rent or the performance or observance of any
of the other terms, conditions or covenants of this Lease, then Landlord may, at its option and without notice, apply all
or any part of the security deposit in payment of such Rent or to cure any other such default. In the event of a sale of
the Building, Landlord shall have the right to transfer the security deposit to its purchaser, and Landlord shall thereupon
be released by Tenant from all responsibility for the return of such deposit; and Tenant agrees to look solely to the new
purchaser for the return of such deposit. In the event of an assignment of this Lease by Tenant, the security deposit shall
be deemed to be held by Landlord as a deposit made by the assignee, and Landlord shall have no further responsibility
for the return of such deposit to the assignor.
IN WITNESS WHEREOF, the parties have executed this Lease Agreement as of the date first indicated above.
LANDLORD:
TENANT:
BROOKLYN CENTER ECONOMIC BLUMENTALS ARCHITECTURE, INC.
DEVELOPMENT AUTHORITY
B y By A
Its Its CQI
•
14
EXHIBIT A
• Legal Description of the Land
Tract D, Registered Land Survey No. 1594, Hennepin County.
•
A -1
EXHIBIT B
• Depiction of the Leased Premises
(Attached)
•
B -1
:
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31'X 64 = 1984 SF �� �! � _ ��� ♦•
BL111"iENTALS = 85 SF
BKLYN CENTER= 1 o39 SF
STAIRS. SHAFTS= 95 SF
TOTAL 1ST FLOOR= 1984 SF ! I
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BLl1MENTAL5
1ST FLOOR 850 SF
2ND FLOOR 1,125 SP
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TOTAL 2,515 SF n -_
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F 52 _
1 FIRST FLOOR PLAN •'
lml lib ° =1' -m°
DRAWING NAME DATE SHT. NO.
t lu t a l s - �] , j " D BARN REMODELINr=
EARLE BROWN HERITAGE CENTER 9/29/98 101
BROOKLYN CENTER, MINNESOTA
31' X fo 4'= 1984 SF _ n
BLUMENTALS= 1 S,- �'
STAIRS. SHAFT5= 259 SF I i, ij lI r I
TOTAL 2ND FLOOR= 1,84 SF i I i
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i SECOND FLOOR PLAN
,iu DRAWING NAME DATE SHT. NO.
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��' D BARN REMODELING
EARLE BROWN HERITAG -E CENTER 102
5ROOKL rN CENTER, MINNE50TA
I
RENTABLE AREA
i 1ST FLOOR
'E BNC I jd39 SF
'BLUMENTALS 850 SF
'TOTAL /1ST FLOOR 1,889 SF
2ND FLOOR _
'BLUMENTALS 1. SF
'TOTAL/2ND FLOOR 1,725 SF
TOTAL/BLUMENTAI..S 2.5 SF
TOTAL/BUILDING 3kl4 5F
• DRAWING NAME DATE SHT. NO,
Blumenta�� D BARN REMODELIN(S
i`' Cv L EARLE BROWN NERITAG-E CENTER 9/2g/98 103
BROOKLYN CENTER, MINNESOTA
EXHIBIT C
TENANT WORK LETTER
Blumentals Architecture, Inc.
Ladies and Gentlemen:
Article 4 of the Lease between you as Tenant and the Brooklyn Center Economic Development Authority as
Landlord dated , 1998 ( "Lease ") indicates that Tenant Improvements (defined therein) should be
made in accordance with the provisions of Article 4 of this letter.
The purpose of this letter is to set forth additional terms and conditions relating to the construction of Tenant
Improvements as follows:
A. You have presented plans and specifications for the Tenant Improvements prepared by
, which plans and specifications have been approved by Landlord on
1998, and which plans and specifications will hereinafter be referred to as the .
"Premises Plan."
B. You will cause the Tenant Improvements to be constructed pursuant to the Premises Plan by a general
contractor approved in writing by Landlord ( "Contractor "), with such approval not to be unreasonably
withheld or delayed.
• C. Any material changes in the Premises Plan must receive the prior approval of Landlord in writing,
which shall not be unreasonably withheld or delayed.
D. Landlord shall deliver the Premises to you in the as -is condition that exists before structural repairs
to the Building are commenced pursuant to paragraph L.
E. Any and all work in connection with Tenant Improvements must be performed and paid for by you
subject to the Tenant Allowances as described in Article 4 of the Lease.
F. The Tenant Improvements shall not be undertaken until you have obtained and provided Landlord
with evidence of all necessary building permits and insurance coverages for you and your contractor
which are reasonably acceptable to Landlord, to include, without limitation, commercial liability
insurance as provided for in Section 9.1 of the Lease, and adequate worker's compensation insurance,
and your contractor has obtained and delivered to Landlord a performance bond in a form acceptable
to Landlord, from a surety acceptable to Landlord, naming you and Landlord as beneficiaries.
G. You shall have access to the Leased Premises on the date provided for in the Lease for the purpose
of constructing the Tenant Improvements. You shall have access to the Leased Premises 24 hours
per day as necessary, provided that you shall not unduly disrupt or interfere with other occupants of
the Building. Your activities in the Building during this period, and those of your contractors, shall
be subject to such reasonable rules and guidelines as Landlord may establish regarding such activities,
including, without limitation, rules with respect to material handling and existing facilities, material
and equipment storage, time and place of deliveries, hours of work and coordination of work, power,
heating, workroom facilities, scheduling and security.
H. You shall be solely responsible for assuring that the Tenant Improvements comply with all laws, rules,
• orders, ordinances, directions, regulations, and requirements of federal, state, county and municipal
authorities. Landlord's approval of the Premises Plan shall create no responsibility or liability on the
C -1
part of Landlord for their completeness, design sufficiency, or compliance with all laws, rules, and
regulations of state, federal and local governmental agencies or authorities.
1. You shall proceed with Tenant Improvements expeditiously, efficiently and continuously.
J. Upon completion of the Tenant Improvements, you shall deliver to Landlord one set of as -built plans
for the Tenant Improvements.
K. Any non - compliance with the terms of this letter shall be considered a default by Tenant under the
terms of the Lease, subject to applicable notice and cure provisions contained in the Lease, and
Landlord shall have available to it all remedies as set forth in the Lease in the event of such a default.
L. Landlord shall complete or provide only the following improvements at Landlord's expense, and the
cost thereof shall not be a part of the Tenant Allowance described in Section 4.2(a) of the Lease:
1. Structural repairs of the Building, as described on Exhibit D to the Lease;
2. Repair front door and/or lock to provide secure operation;
3. Provide tenant sign equal to standard for other buildings in the Earle Brown Heritage Center;
4. Designate three (3) parking spaces and provide signs: `Blumentals Visitor Parking Only';
5. Provide missing window screen on second floor window;
6. Wash exterior windows following construction work.
This letter shall be attached to the Lease and shall be considered part of such document for all purposes. The
purpose of this letter is to supplement Article 4 of the Lease, and in the event of any inconsistency between the Lease
terms and the terms of this letter, the terms of this letter shall control.
BROOKLYN CENTER ECONOMIC DEVELOPMENT AUTHORITY
By : —),.
Its:
I
•
C -7
V
EXHIBIT D
• Description of Structural Repairs
(Attached)
® 967548.2
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❖Encompass, Inc. FARE p
2850 Metro Drive, Suite 523 59ov -1H �69 rA6i6 6C Date 9 /
Sheet
Bloomington, Minnesota 55425 OF
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'•Encompass, Inc.
2850 Metro Drive, Suite 523 Date ' /j
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Bloomington, Minnesota 55425 P�opK�Yr� NI�NNE Z- OF �`
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PLAN NOTES:
O Remove the existing 5.25'x11" wood beam and replace with (3) 1 3/4 "x11" LVL members (grade 2.013) at
the locations shown. Fasten members together with 20d nails at 12" o.c. top and bottom, staggered along
each side of beam. Provide temporary shoring as required.
O Remove existing 5.25 "x5.25" wood columns and replace with (1) 5.25 "x5.25" Douglas -Fir #2 or better
column with (2) 2 5/8 "x5.25" (Douglas -Fir #2 or better) side columns along north and south faces of new
column at the locations shown (see plan note 6 for similar installation on existing columns). Secure new
side members to central column with (2) rows of 20d nails at 6" o.c. along column length. Install (3) 16
gauge galvanized steel bands 3"x 36" along column height (one at mid - height, one at 1' from top and one at
1' from bottom). Glue a wooden shim into full depth of crack at each band location. Wrap bands tightly
around column to provide solid, flat conditions and fasten bands to column with (2) rows of 16d nails at 1
3/4" on center on each column face. (see plan note 4 for similar steel band installation). Paint steel band as
per the Owner's instructions. Remove and replace all interferences as required to match original condition.
Remove existing 5.25 "x5.25" wood column at location shown and replace with new 5.25x5.25 Douglas -Fir
92 or better wood column. Provide temporary shoring as required.
O At each location shown, install (5) 16 gauge galvanized steel bands (3" wide by 24" long), along column
height (one at F from roof beam, one at F from 2nd floor elevation, remaining at 4' -6" on center, verify).
Glue a wooden shim into full depth of crack at each band location. Wrap bands tightly around column to
provide solid, flat conditions and fasten bands to columns with (2) rows of 16d nails at 13/4" on center on
each column face. Paint steel bands as per the Owner's instructions. Remove and replace all interferences
as required to match the original conditions.
SO Install new 3/8" aircraft cables from exterior wall to column at the location shown. Secure cable to column
with steel band installed at elevation of the mid -depth of the (2)2x12 members using (1) 3/16 "x2 "x7' -0"
Iona, steel strap (bent around column) secure strap to each of the (2)2x12 with 1/4" diameter thru -bolts at 6"
on center (along strap length). Secure to exterior wall with 3/8" diameter eye -bolt drilled through the
double top plate of the wall and anchored to a 1/2 "x4 "x6" steel plate along exterior of wall. Paint steel
plate with rust inhibiting paint, verify color with Owner. Tighten cables to solid condition. Provide cable
clips, thimbles, etc. as per the cable manufacturer's recommendations.
6O At each location shown, install (2) 2 5/8 "x5.25" (Douglas -Fir 92 or better) side columns along north and
south faces of each existing wood column. Secure new side members to existing column with (2) rows of
20d nails at 6" o.c. along column length. Install (3) 16 gauge galvanized steel bands 3 "x 36" along column
height (one at mid - height, one at F from top and one at F from bottom). Glue a wooden shim into full
depth of crack at each band location. Wrap bands tightly around column to provide solid, flat conditions
and fasten bands to column with (2) rows of 16d nails at 13/4" on center on each column face. (see plan
note 4 for similar steel band installation). Paint steel band as per the Owner's instructions. Remove and
replace all interferences as required to match original condition.
M1✓.M �►'��tT �SoL;� �P-oM - (o P of CoNG{L£1�1 St,A6 T uNDE1C.SI �E o
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❖Encompass, Inc. 6�N
2850 Metro Drive, Suite 523 � L cctl rcK Date °� 1►� /'�
Sheet t
Bloomington, Minnesota 55425 �,.� � M � ��a � � 0 F
GENERAL NOTES:
A. The Contractor shall verify all existing dimensions, member sizes and field conditions prior to any
fabrication, restoration or installation and notify the Engineer if conditions, materials, sizes and dimensions
are different from those shown.
B. Unless otherwise noted, the contract structural drawings and specifications represent the finished structure.
Unless otherwise indicated, these drawings do not indicate the means or method of construction. The
Contractor is solely responsible for the protection of the existing structure during all phases of the Work.
Provide all measures necessary to protect the structure, workmen or other persons by means of shoring;
bracing, etc.
C. Remove and/or reroute (if required) all plumbing, electrical and architectural interference as required (e.g..:
wails, electrical conduit, plumbing, ductwork, etc.), and re- install all items to their original conditions
following the completion of the Work or as directed by the Owner during the progress of the Work. The
Contractor shall completely protect all items (removed or remaining in place) during all phases of
construction.
D. Reference Standards: Unless otherwise noted, all standards shall be the current edition with the latest
addenda, if applicable.
E. All steel shapes, plates, angles, etc. (unless noted otherwise) shall be ASTM A36 (Fy = 36,000 P.S.I.).
F. Painting: All steel (new and existing) shall be prepared for painting as per the Specifications of the Steel
Structures Painting Council, SSPC -SP -3. Paint steel with one coat of Rust Inhibiting Primer (Glidden 4570
or approved equal). Minimum Dry Film Thickness of 3.0 mils. Verify color with the Owner.
G. Field coat all cuts, drilled holes, welds, etc. with finish coat.
H. Unless otherwise noted, all Wood Construction shall conform to the "American Institute of Timber
Construction" and to Chapter 23 of the "Uniform Building Code ". All nailing shall conform to "Table
23 -1 -Q- Nailing Schedule" of the Uniform Building Code, unless other requirements noted on these
drawings are more strict. Holes and notches in new and existing lumber shall be limited as specified in the
Uniform Building Code.
� J
❖ Encompass, Inc. A, L? Ll
2850 Metro Drive, Suite 523 �A F - L 6 Fi4Vag '] C6H -r6�- Date 9 /17A7
L Sheet
Bloomington, Minnesota 55425 (Z �o(Lt,`i'c -� Grin - r�(�, l 1 IN H 6So-1A "i OF
Commissioner introduced the following resolution and
moved its adoption:
EDA RESOLUTION NO.
RESOLUTION APPROVING LEASE AGREEMENT WITH BLUMENTALS
ARCHITECTURE INC. FOR THE D BARN AT THE EARLE BROWN HERITAGE
CENTER WITH ATTACHED LEASING AGREEMENT AND AUTHORIZING THE EDA
EXECUTIVE DIRECTOR TO EXECUTE SAID AGREEMENT
WHEREAS, Blumentals Architecture Inc. desires to remain as a tenant in the Earle
Brown Heritage Center Facility; and
WHEREAS, Blumentals Architecture Inc. will be displaced from their current lease
space in the H Barn at the Earle Brown Heritage Center due to the remodeling and reuse of the H
Barn; and
WHEREAS, staff has prepared a leasing agreement with Blumentals Architecture Inc.
for tenant space in the D Barn at the Earle Brown Heritage Center.
NOW, THEREFORE, BE IT RESOLVED by the Economic Development Authority
in and for the City of Brooklyn Center, Minnesota that
1. The attached lease agreement with Blumentals Architecture Inc. for tenant space in
the D Barn is hereby approved and the EDA Executive Director is hereby authorized
to execute the lease agreement.
Date President
The motion for the adoption of the foregoing resolution was duly seconded by commissioner
and upon vote being taken thereon, the following voted in favor thereof:
and the following voted against the same:
whereupon said resolution was declared duly passed and adopted.
P YP P