HomeMy WebLinkAboutO-2009-3145 earnest money contract/purchase of property at 125 South 3rd Street for Fire Station No. 1
G
REQUEST FOR CITY COUNCIL AGENDA ITEM
Agenda Date Requested: Mav 11. 2009
Bude:et
Requested By: nonald r ,arlrl
Source of Funds: 036
Department:
Fire
Account Number: 03660615658031
Report:
Resolution:
Ordinance:
x
Amount Budgeted:
Exhibits: Ordinance
Amount Requested: $41,50000
Exhibits: Ernest Monev Contract
Budgeted Item: YES NO x
Exhibits
SUMMARY & RECOMMENDATION
The attached ordinance is to approve and authorize an Ernest Money Contract for the purchase of property by the
City of La Porte from J W 0 Campbell, located at 125 South 3rd Street, La Porte, Harris County, Texas, as a site for
Fire Station 1.
A budget amendment will be accomplished in the future.
~ ~ ()
Date
ORDDlANCB NO. 2009-jI1)
AN ORDINANCB APPROVIHG AND AUTBORIZIHG AN B.UlTBST KOBBY CONTRACT
FOR PURCHASB BY THB CITY 01' LA PORTB I'ROK J W 0 CAMPBBLL, 01' THB
PROPBRTY AT 125 SOUTH 3RD STRBBT, LA PORTB, HARRIS COUNTY, TBXAS,
AS A SITB I'OR I'IRB STATIOH NO.1, APPROPRIATING $42,500.00, TO I'lJHD
SAID CONTRACT, IlAEDlG VARIOUS I':IHDINGS AND PROVISIONS RBLATING TO
TBB SUBJBCT, I'INDDlG COIIPL:IAHCB WITH THB OPO IIBBTINGS LAW,
PROVIDING AN BI'I'BCT:IVB DATB RBRBOI'.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE:
Section 1. The City Council hereby approves and authorizes
the contract, agreement, or other undertaking described in the
title of this ordinance, a copy of which is on file in the office
of the City Secretary. The City Manager is hereby authorized to
execute such document and all related documents on behalf of the
City of La Porte.
The City Secretary is hereby authorized to
attest to all such signatures and to affix the seal of the City to
all such documents.
City Council appropriates the sum of
$42,500.00 from Fund No. 36, Account No. 036-6061-565-8031, to fund
said contract.
Section 2. The City Council officially finds, determines,
recites, and declares that a sufficient written notice of the date,
hour, place and subject of this meeting of the City Council was
posted at a place convenient to the public at the City Hall of the
City for the time required by law preceding this meeting, as
required by the Open Meetings Law, Chapter 551, Texas Government
Code; and that this meeting has been open to the public as required
by law at all times during which this ordinance and the subject
matter thereof has been discussed, considered and formally acted
upon. The City Council further ratifies, approves and confirms
such written notice and the contents and posting thereof.
Section 3. This Ordinance shall be effective from and after
its passage and approval, and it is so ordered.
PASSED AND APPROVED, this 11th day of May, 2009.
ATTEST:
t!lf$~ I/. vW/
Ma ha A. G11lett
City Secretary
APPR~V ~
Knox W. Ask ns
City Attorney
By:
2
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~~
TEXAS ASSOCIATION OF REALTORS"
UNIMPROVED PROPERTY COMMERCIAL CONTRACT
USE OF THIS FORM BY PERSONS WHO ARE NOT MEMBERS OF THE TEXAS ASSOCIATION OF REAL TOR~ IS NOT AUTHORIZED.
or.... As.oclallon 01 REALTORSGIl, Inc. 1999
1. PARTIES: J W 0 Campbell
(Seller) agrees to sell and convey to Ci tv of 'La. Porte,
a municipal corporation (Buyer) and Buyer agrees to buy from Seller the Property described below.
2. PROPERTY:
A. The property sold by this contract is called the "Property." The Property is that real property situated in the City
of 'La Porte, Harris C~~~TD~~ 125 South 3rd Street, 'La Porte,
Texas 77571 (address) that is legally described as follows: (Identify exhibit jf described by attachment.)
Lot 16 and the South 15 feet of Lot 15,
Block 39, Town of 'La Porte, Harris County,
Texas.
B. The Property is sold together with:
(1) all rights, privileges, and appurtenances pertaining to the Property, including Seller's right, title, and interest in any
minerals, utilities, adjacent streets, alleys, strips, gores, and rights-of-way;
(2) Seller's interest in all leases, rents, and security deposits for all or part of the Property; and
(3) Seller's interest in all licenses and permits related to the Property.
(Describe any exceptions, reservations, or restrictions in Paragraph 11 or an 'tddendum.)
3. SALES PRICE:
A. At or before closing, Buyer will pay the following sales price for the Property:
(1) Cash portion payable by Buyer at closing. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. $ 4 2 , 50 0 . 00
(2) Sum of all financing described in Paragraph 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. $
(3) Sales price (sum of 3A(1) and 3A(2}) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. $ 42 , 500 . 00
B. Adiustment to Sales Price: (Check (1) or (2) only.)
t9 (1) The sales price will not be adjus:ed based on a survey.
o (2) The sales price will be adjusted based on the latest survey obtained under Paragraph 6B.
(a) The sales price is calculated on the basis of $
o (i) square foot of 0 total area 0 net area.
o (Ii) acre of 0 total area 0 net area.
per:
(b) "Total area" means all land area within the perimeter boundaries of the Property. "Net area" means total area less any
area of the Property within:
o (i) public roadways;
o (ii) rights-of-way and easements other than those that directly provide utility services to the Property; and
o (iii)
( "
?
Initialed for Identification by Buyer _._and Seller _,_
TAR, P.O. Box 2246, Austin, TX 78768-2246
Page 1 of 9
(TAR-1802) 11-5-99
4_
COmmercial Unimproved Contract Concerning
125 South 3rd Street, La Porte, Texas
(c) If the sales priR~ is adjusted by more than 10% of the stated sales price, either party may terminate this contract by
providing wdtien,notice to the other party within _ days after the terminating party receives the survey. If neither
party terminates this contract or if the variance is 10% or less, the adjustment to the sales price will be made to the
cash portion of the sales price payable by Buyer.
4. FINANCING: Buyer will finance the portion of the sales price under Paragraph 3B as follows: (Check all that apply.)
a A. Third Party Financina: A third party note(s) in the total amount of $
. This contract:
a (1) is not contingent upon Buyer obtaining third party financing.
a (2) is contingent upon Buyer obtaining third party financing in accordance with the attached Financing Addendum.
a B. Assumotion: In accordance with the attached Financing Addendum, Buyer will assume the unpaid principal balance of the first
lien promissory note, which balance at closing will be $
a c. Seller Financina: The delivery of a promissory note and deed of trust from Buyer to Seller under the terms of the attached
Financing Addendum in the amount of $
5. EARNEST MONEY: Not later than 3 days after the effective date, Buyer must deposit $ 2, 500 . 00 as earnest money
with American Title Company (escrow agent) at
5003 r'nlll'>(Y~ Park, Deer Pnrk, 'T'PXn!:; 77.'136 (escrow agent's address).
If Buyer fails to timely deposit the earnest money, Seller may terminate this contract by providing written notice to Buyer before
Buyer deposits the earnest money. Buyer may instruct the escrow agent to deposi~ the earnest money in an interest-bearing
account at a federally insured financial institution and to credit any interest to Buyer.
6. TITLE POLICY AND SURVEY:
A. Title Policv:
(1) Seller, at Seller's expense, will furnish Buyer an Owner's Policy of Title Insurance (the title policy) issued'by
A mpr i r.rl n 'T'i +-1 p r'nmprl ny (the title company) in the amount of the sales price, dated at or after
c1osmg, insuring Buyer against loss under the title policy, subject only to:
(a) those title exceptions permitted by this contract or as may be approved by Buyer in writing; and
(b) the standard printed exceptions contained in the promulgated form of title policy unless this: contract provides
otherwise.
'-
(2) The standard printed exception as to area boundaries: (Check (a) or (b) only.)
a (a) will not be deleted from the title policy.
a (b) will be deleted from the title policy at the expense of a Buyer a Seller.
(3) Buyer may object to any restrictive covenants on the Property within the time required under Paragraph 6C.
(4) Within 2Q... days after the effective date, Seller will fumish Buyer a commitment for title insurance (the commitment)
including legible copies of recorded documents evidencing title exceptions. Seller authorizes the title company to deliver
the commitment and related documents to Buyer at Buyer's address.
B. Survey:
(1) Within ~ days after the effective date: (Check all that apply.)
~ (a) Buyer will obtain a survey of the Property at Buyer's expense and deliver a copy of the survey to Seller.
a (b) Seller, at Seller's expense, will fumish Buyer a survey of the Property dated after the effective date.
a (c) Seller will deliver a true and correct copy of Seller's existing survey of the Property dated
Seller, at Seller's expense: .
a (i) will have the existing survey recertified on a date not earlier than
a (ii) will not have the existing survey recertified.
(TAR-1802) 11-5-99
Initialed for Identification by Buyer _, _ and Seller _, _
TAR, P.O. Box 2246. Austin, TX 78768-2246
Page 2 of ~
.-
Commercial Unimproved Contract Concerning
125 South 3rd Street, La Porte, Texas
'r.'
(2) The survey required under Paragraph 6B(1) must be made by a Registered Professional land Surveyor acceptable to the
title company. The survey must:
(a) identify the Property by metes and bounds or platted lot description;
(b) show that the survey was made and staked on the ground with corners permanently marked;
(c) set forth the dimensions and total area of the Property;
(d) show the location of all improvements, highways, streets, roads, railroads, rivers, creeks or other waterways, fences,
easements, and rights-of-way on the Property with all easements and rights-of-way referenced to their recording
information;
(e) show any discrepancies or conflicts in boundaries, any visible encroachments, and any portion of the Property lying
within the 1 OO-year flood plain as shown on the current Federal Emergency Management Agency map; and
(f) contain the surveyor's certificate that the survey is true and correct.
C. Buver's Obiections to the Commitment and Survev:
(1) Within ~ days after Buyer receives ali of the items required in Paragraphs SA and 6B (the commitment, copies of the
documents evidencing the title exceptions, and survey), Buyer may object in writing to matters disclosed in the items if:
(a) the matters disclosed constitute a defect or encumbrance to title other than those permitted by this contract or liens
that Seller will satisfy at closing or Buyer will assume at closing; or
(b) the items show that any part of the Property lies in a100-year flood plain.
(2) Seller may, but is not obligated to, cure Buyer's timely objections within 20 days after Seller receives the objections. The
closing date will be extended as necessary to cure the objections. If Seller fails to cure the objections by the time
required, Buyer may terminate this contract by providing written notice to Seller within 5 days after the time by which
Seller must cure the objections. If Buyer terminates, the earnest money, less the independent consideration paid for
Buyer's right to terminate under Paragraph 7B(3), will be refunded to Buyer.
(3) Buyer's failure to timely object or terminate under this Paragraph 6C is a waiver of Buyer's right to object except that
Buyer will not waive the requirements, in Schedule C of the commitment. '
7. PROPERTY CONDITION: (Check A or B only.)
~ A. ,'Present Condition: (Check (1) or (2) only.)
0.(1) Buyer accepts the Property in its present "as-is" condition.
tiO(2) Buyer accepts the Property in its present condition except that Si3l1er, at Seller's expense, will complete the following
before closing: non P.
a:: B. Feasibility Period and Richt to Terminate:
(1) Deliverv of Prooertv Information: Within 1 5 days after the effective date, Seller will deliver to Buyer the following
items to the extent that the items are in Seller's possession or are readily available to Seller. Any item not delivered is
deemed not to be in Seller's possession or readily available to SeUer. The items Seller will deliver are:
(a) copies of all current leases pertaining to the Property, including any modifications, supplements, or amendments to
the leases;
(b) copies of all notes and deeds of trust against the Property that Buyer will assume or that Seller will not pay in full on
or before closing;
(c) copies of all previous environmental assessments, studies, or analyses made on or relating to the Property;
(d) property tax statements for the Property for the previous 2 calendar years; and
(e)
(2) Insoections. Studies. or Assessments:
(a) Within 45 days after the efiective date, Buyer, at Buyer's expense, may complete or cause to be completed
inspections, studies, or assessments of the Property. Inspections, studies, or assessments may include, but are not
limited to:
(I) physical property inspections;
(Ii) economic feasibility studies;
(Iii) environmental assessments; and
(iv) engineering studies.
(TAR-1802) 11-5-99
Initialed for Identification by Buyer _, _ and Seller _,_
TAR, P.O. Box 2246, Austin, TX 78768-2246
Page 3 of f
....
Commercial Unimproved Contract Concerning
125 South 3rd street, La Porte, Texas
(b) In connection with Buyer's inspections, stu(jies, and assessments, Buyer must:
(i) employ only trained and qualified inspe-c:tors and assessors;
(ii) notify Seller, in advance, of when the inspectors or assessors will be on the Property;
(iii) abide by any reasonable entry rules or requirements that Seller may require;
(iv) not interfere with existing operations or occupants of the Property; and
(v) restore the Property to its original condition if altered due to inspections, studies, or assessments that Buyer
completes or causes to be completed.
(c) Except for those matters that arise from the negligence of Seller or Seller's agents, Buyer is responsible for any
claim, liability, encumbrance, cause of action, and expense resulting from Buyer's inspections, studies, or
assessments, including any property damage or personal injury. Buyer will indemnify, hold harmless, and defend
Seller and Seller's agents against any claim involving a matter for which Buyer is responsible under this paragraph.
(3) Rioht to Terminate: Buyer may terminate this contract for any reason within 30 days after the effective date by
providing Seller with written notice of termination. If Buyer terminates, the earnest money will be refunded to Buyer less
$ 1 00 . 0 Othat Seller will retain as independent consideration for Buyer's right to terminate under this paragraph. The
independent consideration is to be credited to the sales price only upon closing of the sale. Buyer has tendered the
independent consideration to Seller upon payment of the full amount specified in Paragraph 5 to the escrow agent. If
Buyer does not terminate within the time required, Buyer accepts the Property in its present condition.
(4) Return of Prooertv Information: If this contract terminates for any reason, Buyer will, not later than 10 days after the
termination date: (a) return to Seller all those items described in Paragraph 7B(1) that Seller delivered to Buyer and all
copies that Buyer made of those items; and (b) deliver copies of all inspection and assessment reports (excluding
economic feasibility studies) related to the Property that Buyer completed or caused to be completed. This Paragraph
7B(4) survives termination.
(5) Contracts Affectino Ooerations: After Buyer's right to terminate under 7B(3) expires, Seller rnay not enter into, amend, or
terminate any other contract that affects the operations of the Property without Buyer's prior written approval.
8. BROKERS:
A. -1ihe brokers to this sale are:
Other Broker
Other Broker represents Buyer.
License No.
_Usting Broker License No.
listing Broker:
Cl represents Seller.
:Q acts as an intermediary between Seller and Buyer.
B. Fees: (Check (1) or (2) only.)
o (1) Seller will pay Listing Broker the fee specified by separate written commission agreement between Listing Broker and
Seller. Listing Broker will pay Other Broker the fee specified in the Agreement Between Brokers found below the parties'
signatures to this contract.
D (2) At closing, Seller will pay:
Listing Broker a total cash fee of:
D _ % of the sales price.
D
Other Broker a total cash fee of:
D _ % of the sales price.
D
The cash fees will be paid in
brokers from the Seller's proceeds at closing.
County, Texas. Seller authorizes escrow agent to pay the
NOTICE: Chapter 62, Texas Property Code, authorizes a broker to secure an earned commission with a lien against the
Property.
C. The parties may not amend this Paragraph 8 without the written consent of the brokers affected by the amendment.
9. CLOSING:
A. The closing of the sale will be on or before 60 days from effective date or within 7 days after
objections to title have been cured, whichever date is later (the closing date). If either party fails to close by the closing date,
the non-defaulting party may exercise the remedies in Paragraph 15.
(TAR-1802) 11-5-99
Initialed for Identification by Buyer _,_and Seller _'_
TAR, P.O. Box 2246, Austin, TX 78768-2246
Page 4 of 9
-
Commercial Unimproved Contract Concerning
125 South 3td Street, La Porte, Texas
{:1'~~~;1~'
B. At closing, Seller will deliver, at Seller's expense, a ~ general Q special warranty deed. lil:1'6'J8eed must include a vendor's
lien if any part of the sales price is financed. The deed must convey good and indefeasible tille to the Property and show no
exceptions other than those permitted under Paragraph 6 or other provisions of this contract. Seller must convey the Property
at closing:
(1) with no liens, assessments, or other security interests against the Property which will not be satisfied out of the sales price
unless securing loans Buyer assumes;
(2) without any assumed loans in default; and
(3) with no persons in possession of any part of the Property as lessees, tenants at sufferance, or trespassers except tenants
under the written leases assigned to Buyer under this contract.
C. At closing, Seller, at Seller's expense, will also deliver:
(1) tax statements showing no delinquent taxes on the Property;
(2) an assignment of all leases to or on the Property; .
(3) to the extent assignable, an assignment to Buyer of any licenses and permits related to the Property;
(4) evidence that the person executing this contract is legally capable and authorized to bind Seller; and
(5) any notices, statements, certificates, or other documents required by this contract or law necessary to convey the
Property, all of which must be completed by Seller as necessary.
D. At closing, Buyer will:
(1) pay the sales price in good funds acceptable to the escrow agent;
(2) deliver evidence that the person executing this contract is legally capable and authorized to bind Buyer; and
(3) execute and deliver any notices, statements, certificates, or other documents required by this contract or law necessary to
close the sale.
E. Unless the parties agree otherwise, the closing documents Will be as found in the basic forms in the current ,edition of the State
Bar of Texas Real Estate Forms Manual without any additional clauses.
10. POSSESSION: Seller will deliver possession of the Property to Buyer on clos ing
in its present or required repaired condition, ordinary wear and tear excepted. Until closin!i~Seller will operate
theFProperty in the same manner as on the effective date. Any possession by Buyer before closing or by Seller'after closing that is
not authorized by a separate written lease agreement is a landlord-tenant at sufferance relationship between the::parties.
11. SPECIAL PROVISIONS: (Identify exhibit if special provisions are contained in an attachment.)
".
(TAR-1802) 11-5-99
Initialed for Identification by Buyer _,_and Seller _,_
TAR, P.O. Box 2246, Austin, TX 78768-2246
Page 5 of 9
.-
Commercial Unimproved Contract Concerning
125 South 3rd Street, La Porte, Texas
12. SALES EXPENSES:
A. Seller's Expenses: Seller will pay for the following in cash at or before closing:
(1) releases of existing liens, other than those liens assumed by Buyer, including prepayment penalties and recording fees;
(2) release of Seller's loan liability, ii applicable;
(3) tax statements or certificates;
(4) preparation of the deed;'
(5) one-half of any escrow fee;
(6) costs to record any documents to cure title objections that Seller must cure; and
(7) other expenses that Seller will pay LInder other provisions of this contract.
B. Buver's Expenses: Buyer will pay for the following in cash at or before closing:
(1) all loan fees or expenses (for example, application fees, origination fees, discount fees, appraisal fees, assumption fees,
recording fees, tax service fees, mortgagee title policy expenses, credit report fees, document preparation fees, interest
expense that Buyer's lender requires Buyer to pay at closing, and other fees required by Buyer's lender);
(2) preparation of any deed of trust;
(3) recording fees for the deed and any deed of trust;
(4) premiums for flood insurance as may be required by Buyer's lender;
(5) one-half of any escrow fee;
(6) copy and delivery fees for delivery of the title commitment and related documents; and
(7) other expenses that Buyer will pay under other provisions of this contract.
13. PRORATIONS, ROLLBACK TAXES, RENT, AND DEPOSITS:
A. Prorations: .
(1) Interest on any assumed loan, taxes, rents, and any expense reimbursements from tenants will be prorated through the
closing date.
(2) If the amount of ad valorem taxes lor the year in which the sale closes is not available on the closing. date, taxes will be
prorated on the basis of taxes assessed in the previous year. If the taxes for the year in which the sale closes vary from
the amount prorated at closing, the parties will adjust the prorations when the tax statements for the year in which the sale
closes become available. This Paragraph 13A(2) survives closing.
f3) If Buyer assumes a loan or is taking the Property subject to an existing lien, Seller will transfer all reserve deposits held by
the ler)der for the payment of taxes, insurance premiums, and other charges to Buyer at closing and Buyer will reimburse
such amounts to Seller by an appropriate adjustment at closing.
B. :Rollback Taxes:
(J) If Seller changes the use of the Property before closing or if a denial of a special valuation on the Property claimed by
Seller results in the assessment of additional taxes, penalties, or interest (assessments) for periOds before closing, the
assessments will be the obligation of 0 Seller 0 Buyer. This Paragraph 13B(1) survives closing.
(2) If this sale or Buyer's use of the Property after closing results in additional assessments for periods before closing, the
assessments will be the obligation of 0 Seller CI Buyer. This Paragraph 13B(2) survives closing.
C. Rent and Securitv Deposits: At closing, Seller wiil tender to Buyer all security deposits and the following advance payments
received by Seller for periods after closing: prepaid expenses, advance rental payments, and other advance payments paid by
tenants. Rents prorated to one party but received by the other party wi!: be remitted by the recipient to the party to whom it was
prorated within 5 days after the rent is received. This Paragraph 13C survives closing.
14. CONDEMNATION: If before closing, condemnation proceedings are commenced against any part of the Property, Buyer may:
A. terminate this contract by providing written notice to Seller within 15 days after Buyer is advised of the condemnation
proceedings and the earnest money, less the independent consideration paid for Buyer's right to terminate under Paragraph
7B(3), will be refunded to Buyer; or .
B. appear and defend in the condemnation proceedings and any award will, at Buyer's election, belong to:
(1) Seller and the sales price will be reduced by the same amount; or
(2) Buyer and the sales price will not be reduced.
15. DEFAULT:
A. If Buyer fails to comply with this contract, Buyer is in default and Seller may:
(1) enforce specific performance, or seek other relief as may be provided by law, or both; or
. (2) terminate this contract and receive the earnest money as liquidated damages, thereby releasing the parties from this
contract.
(TAR-1802) 11-5-99
Initialed for Identification by Buyer _. _and Seller _'_
TAR, P.O. Box 2246, Austin, TX 78768-2246
Page 6 of 9
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Commercial Unimproved Contract Concerning
125 South 3rd, La Porte, Texas
B. If, withouq~!Jlt, Seller is unable within the time allowed to deliver the commitment, Buyer may:
(1) terminate this contract and receive the earnost money, less the independent consideration paid for Buyer's
terminate under Paragraph 7B(3), as the sole remedy; or
(2) extend the time for performance up to 15 days and the closing will be extended as necessary.
,~T"t/:,i ,,:~
right to
C. Except as provided in Paragraph 158, if Seller fails to comply with this contract, Seller is in default and Buyer may:
(1) enforce specific performance, or seek such other relief as may be provided by law, or both; or
(2) terminate this contract and receive the earnest money, less the independent consideration paid for Buyer's
terminate under Paragraph 7B(3), as liquidated damages, thereby releasing the parties from this contract.
16. ATTORNEY'S FEES: If Buyer, Seller, any broker, or any escrow agent is a prevailing party in any legal proceeding brought under
or with relation to this contract or this transaction, such party is entitled to recover from the non-prevailing parties all costs of such
proceeding and reasonable attorney's fees. This Paragraph 16 survives closing.
right to
17. ESCROW:
A. At closing, the earnest money must be applied first to any cash down payment, then to Buyer's closing costs, and any excess
will be refunded to Buyer.
B. If both parties make written demand for the eamest money, escrow agent may require payment of unpaid expenses incurred
, on behalf of the parties and a written release of liability of escrow agent from all parties.
C. If one party makes written demand for the earnest money, escrow agent will give notice of the demand by providing to the
other party a copy of the demand. If escrow agent does not receive written objection to the demand from the other party within
30 days after the date escrow agent sent the demand to the, other party, escrow agent may disburse the earnest money to the
party making demand, reduced by the amount of unpaid expenses incurred on behalf of the party receiving the earnest money
and escrow agent may pay the same to the creditors.
D. Escrow agent will deduct the independent consideration paid for Buyer's right to terminate under Paragraph 78(3) before
;disbursing any earnest money to Buyer anCl will pay the independent consideration to Seller.
E.lf escrow agent complies with this Paragraph 17, each party hereby releases escrow agent from all claims related to the
,disbursal-of the earnest money.
F. .Notices under this Paragraph 17 must be sent by certified mail, return receipt requested. Notices to escrow'agent are effective
.upon receipt by escrow agent.
'.
18. MA1fERIAL FACTS:
A. To the best of Seller's knowledge and belief: (Check (1) or (2) only.)
o (1) Seller is not aware of any material defects to the Property except as stated in the attached Property Condition Statement.
o (2) Seller is not aware of any of the following, except as described otherwise in this contract:
(a) any material physical defects to the Property;
(b) any pending or threatened litigation, condemnation, or assessment affecting the Property;
(c) any environmental hazards or conditions that affect the Property; .
(d) whether the Property is or has ever been used for the storage or disposal of hazardous materials or toxic waste, a
dump site or landfill, or any underground tanks or containers;
(e) whether radon, asbestos insulation or fireproofing, urea-formaldehyde foam insulation, lead-based paint, or other
pollutants or contaminants of any nature now exist or have ever existed on the Property;
(f) whether wetlands, as defined by federal or state law or regulation, are on the Property; and
(g) whether threatened or endangered species or their habitat are on the Property.
(Describe any exceptions to (a)-{g) in Paragraph 11 or an addendum.)
B. Each written lease Seller is to furnish to Buyer under this contract mus.! be in full force and effect according to its terms without
amendment or modification that is not disclosed to Buyer in writing. Seller must disclose, in writing, to Buyer if any of the
following exist at the time Seller provides the leases to Buyer or subsequently occur before closing:
(1) any modifications, amendments, or default by landlord or tenant under the leases;
(2) any failure by Seller to comply with Seller's obligations under the leases;
(3) any circumstances under the lease that entitle the tenant to ter.minate the lease or seek any offsets or damages;
(4) any non-occupancy of the leased premises by a tenant;
(T AR-1802) 11-5-99
Initialed for Identification by Buyer _. _and Seller _,_
TAR, P.O. Box 2246, Austin, TX 78768-2246
Page 7 of !
'""'"
Commercial Unimproved Contract Concerning
125 South 3rd Street, La Porte, Texas
,(5) any advance sums paid by a tenant under the lease;
(6) any concessions, bonuses, free rents, rebates, brokerage commissions, or other matters that affect any lease; and
(7) any amounts payable under the leases that have been assigned or encumbered, except as security for loan(s) assumed
or taken subject to under this contract.
19. NOTICES: All notices between the parties under this contract must be in writirlg and are effective when hand-delivered, mailed by
certified mail return receipt requested, or sent by facsimile transmission 10:
20.
8u~r~ Knox W. Askins
P .0. Box 1 ~ 1 tl
La portet TX 77512-1218
Phone 281. 471. 8 8 6 '
Fax ~ tll . 4 / I . ~ U 4 /
email knoxaskins@comcast.net
FEDERAL TAX REQUIREMENT: If Seller is a "foreign person" as defined by applicable law, or if Seller fails to deliver at closing
an affidavit that Seller is not a foreign person, then Buyer will withhold from the sales proceeds at closing any amount sufficient to
comply with applicable tax law and deliver the amount withheld to the Internal Revenue Service (IRS), together with appropriate tax
forms. IRS regulations require filing written reports if cash in excess of specified amounts is received in the transaction.
Seller at
J W 0 Campbell
535 Ba~shore 9'~Vf
La Pore, TX 7
<6 J '1.-- <2(" /e. ~1/
Phone
Fax
21. DISPUTE RESOLUTION: The parties agree 10 negotiate in good faith in an effort to resolve any dispute related to this contract
that may arise. If the dispute cannot be resolved by negotiation, the parties will submit the dispute to mediation before resorting to
arbitration or litigation and will equally share the costs of a mutually acceptable mediator.
22. AGREEMENT OF THE PARTIES:
A. This contract is binding on the parties, their heirs, executors, representatives, successors, and permitted assigns.
B. This contract is to be construed in accordance with the laws of the State of Texas.
C. This contract contains the entire agreement of the parties and may not be changed except by written agreement.
D. If -this contract is executed in a number of identical counterparts, each counterpart is an original and: all counterparts,
collectively; constitute one agreement.
E. Buyer 0 may 0 may not assign this contract. If Buyer assigns this contract, Buyer will be relieved of any future liability
under this contract only if the assignee assumes, in writing, all obligations and liability of Buyer under this contract.
".
F. Addenda which are part of this contract are: (Check all that apply.)
[J (1) Property Description Exhibit identified in Paragraph 2;
o (2) Financing Addendum;
o (3) Commercial Property Condition Slatement;
o (4) Notice to Purchaser of Real Property in a Water District;
o (5) Addendum for Coastal Area Property;
o (6) Addendum for Property Located Seaward of the Gulf Intracoastal Waterway; and
o (7)
23. TIME: Time is of the essence in this contract. The parties require strict compliance with the times for performance. If the last day
to perform under a provision of this contract falls on a Saturday, Sunday, or legal holiday, the time for performance is extended
until the next day which is not a Saturday, Sunday, or legal holiday.
24. EFFECTIVE DATE: The effective date of this contract for the purpose of performance of all obligations is the date the escrow
agent receipts this contract after all parties execute this contract.
25. ADDITIONAL NOTICES:
A. Buyer should have an abstract covering the Property examined by an attorney of Buyer's selection, or Buyer should be
furnished with or obtain a title policy.
B. If the Property is situated in a utility or other statutorily created district providing water, sewer, drainage, or flood control
facilities and services, Chapter 49, Texas Water Code, requires Seller to deliver and Buyer to sign the statutory notice relating
to the tax rate, bonded indebtedness, or standby fees of the district before final execution of this contract.
(T AA-1802) 11-5-99
Initialed for Identification by Buyer _. _ and Seller _'_
TAR, P.O. Box 2246, Austin, TX 78768-2246
Page 8 of 9
-
Commercial Unimproved Contract Concerning
- 125 South 3rd Street, La Porte, Texas
-._- ... -.- ----'-'-
C. If the Property adjoins or shares a common boundary with the tidally influenced submerged lands 01 the state, 933.135 01 the
Texas Natural Resources Code requires a notice regarding coastal area property to be included as part 01 this contract.
D. II the Property is located seaward 01 the Gull Intracoaslal Waterway, 961.025, Texas Natural Resources Code, requires a
notice regarding the seaward location 01 the Property to be included as part of this contract.
E. II the Property is located outside the limits of a municipality, the Property may now or later be included in the extra-territorial
Jurisdiction (ET J) 01 a munlclpalily and may now or later be subject to annexation by the municipality. Each municipality
maintains a map that depicts its boundaries and ETJ. To determine lIthe Property Is located within a municipality's ETJ. Buyer
should contact all municipalities locale9 In the general proxlmily 01 the Property for furttler information.
F. Brokers are not quall/ied to perform property inspections, surveys, engineering studies, environmental assessments. or
inspections to determine compliance with zoning, governmental regulations. or laws. Buyer should seek experts to perform
such services. Selection 01 inspectors and repairmen is the responsibility 01 Buyer and not the brokers.
26. CONTRACT AS OFFER: The execution o/this contract by the first party constitutes an offer to buy or sell the Property. Unless
the other party accepts by 5:00 p.m., in the time zone in which the Property is located, on
the offer will lapse and become null and void.
This Is a legally binding contract. READ IT CAREFULLY. The brokers and agents make no representation or recommendation
as to the legal sufficiency, legal effect, or tax consequences of this document or transaction. CONSULT your attorney
BEFORE signing.
Buyer's
Attorney
Seller's
Attorney
Buyer
~~,
S~ler J TtoJ--er-ca be 1
Buyer
Seller
AGREEMENT BElWEEN BROj<ERS
Listing Broker agrees to pay (Other Broker)
a ree of $ or _ % of the sales price when the Listing Broker's fee is received. Escrow agent is
authorized and directed to pay Other Broker from Listing Broker's fee at closing. This Agreement Between Brokers supersedes any
prior oilers and agreements for compensation between brokers.
Other Broker
license No.
listing Broker
License No.
By:
By:
Other Broker's Address
listing Broker's Address
Phone
Fax
Phone
Fax
ESCROW RECEIPT
Escrow agent acknowledges receipt of:
o A. the contract on this day
o B. earnest money in the amount of $
in Ihe form of
(effective date);
on this day
Address:
Escrow Agent
By:
Fax
Phone
(TAR-1802) 11-5.99
TAR, P.O. Box 2246, Austin, TX 78768-2246.
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