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Date
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June 8, 2009
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Agenda Item No. 19 Roll Call No. 09- Communication No. 09-358 Submitted by: Jeb E. Brewer, P.E., City Engineer |
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AGENDA HEADING:
Resolution Approving Settlement
of Real Estate Contract and Accepting Real Estate Documents for Property Lying
South of and Adjoining 826 S.E. 21st Street from Seidenfeld
Incorporated.
SYNOPSIS:
Recommend approval of settlement
of real estate contract and acceptance of real estate documents for property
lying south of and adjoining 826 S.E. 21st Street from Seidenfeld
Incorporated, Richard Seidenfeld, President, formerly known as Seidenfeld &
Son Iron & Metal, Inc. (“Seidenfeld Inc.”). The purpose of the Settlement Agreement is to
resolve outstanding conveyance and title issues associated with a Purchase
Agreement for a real estate installment contract between Seidenfeld Inc. and
the City, as approved in 1989. There is
no current or anticipated public need for the property to be conveyed under the
real estate installment contract.
FISCAL IMPACT:
Amount: $0 (The City will only incur minor recording
costs to complete this transaction.
Seidenfeld Inc. had previously paid $43,542.42 in required contract
payments, which fulfills the consideration required for purchase of the 2.857-acre
fenced-in area).
Funding
Source: Recording fees will be paid from the Engineering
– Real Estate Division’s FY09 Operating Budget GE001, ENG040700, page 119.
ADDITIONAL INFORMATION:
On May 22, 1989, by Roll Call No. 89-2166, the City Council of the
City of Des Moines received an offer from Seidenfeld Inc. for purchase of
surplus City-owned property in the vicinity of E. 21st Street and
Maury Street, and set a public hearing for June 5, 1989 on the proposal to
enter into a real estate installment contract to sell said property to
Seidenfeld Inc.
On June 5, 1989, by Roll Call No. 89-2448, following duly
published notice and public hearing, the City Council approved a Purchase
Agreement for a real estate installment contract between the City and
Seidenfeld Inc. for purchase of approximately 9.23 acres of real property,
owned by the City, located south of and adjoining 826 S.E. 21st
Street. Pursuant to the original
Purchase Agreement, Seidenfeld Inc. was to have paid a total consideration of
$64,000 for the 9.23 acres. The roll
call approving the Purchase Agreement authorized and directed the Mayor to
execute a quit claim deed conveying the entire 9.23 acres to Seidenfeld Inc.,
following fulfillment of the contract terms.
Shortly following approval and execution of the original Purchase
Agreement, Seidenfeld Inc. fenced in a 2.857-acre tract of land within the real
property under contract for use for business purposes. Thereafter, the City and Seidenfeld Inc. made
an agreement to allow the City to regain control and possession of the
remaining unfenced 6.373 acres of the real property under contract, for use of
said remaining property for municipal purposes.
It was the intent of the parties to formally amend the Purchase
Agreement after a plat of survey and legal descriptions were completed to
subdivide the original parcel. The plat
of survey and legal descriptions have now been completed and Seidenfeld Inc. has paid
$43,542.42 in required contract payments, which fulfills the consideration
required for purchase of the 2.857 acre fenced-in area.
Seidenfeld Inc. and City staff have negotiated a Settlement
Agreement to resolve all conveyance and title issues surrounding the real
property under contract in the original Purchase Agreement, due to the partial
payment by Seidenfeld Inc. and the use of the unfenced 6.373 acres by the City
throughout the duration of the contract term. Pursuant to said Settlement Agreement,
Seidenfeld Inc. has executed and provided to the City a quit claim deed for the
remaining 6.373 acres of real property used for municipal purposes, and the
City is to execute and record a quit claim deed conveying to Seidenfeld Inc. the fenced-in 2.857 acres for which
Seidenfeld Inc. has paid the required proportionate share of consideration
under the Purchase Agreement. Also in
accordance with the Settlement Agreement, the City is to record both quit claim
deeds; upon recording, both parties shall release any claims relating to or
arising out of the original Purchase Agreement.
PREVIOUS COUNCIL ACTION(S):
Date: June 5, 1989
Roll Call Number: 89-2448
Action: Public hearing on and approval of purchase
agreement and Real Estate Contract (installments) for sale and conveyance of
property in the vicinity of E. 21st and Maury to Seidenfeld &
Son Iron and Metal Inc.
Date: May 22, 1989
Roll Call Number: 89-2166
Action: Receive offer to purchase surplus City-owned
property from Seidenfeld & Son Iron & Metal, Inc. in the vicinity of E.
21st and Maury, propose to enter into purchase agreement to sell
property and set public hearing on proposal.
BOARD/COMMISSION ACTION(S): NONE
ANTICIPATED ACTIONS AND FUTURE COMMITMENTS: NONE
For
more information on this and other agenda items, please call the City Clerk’s
Office at 515-283-4209 or visit the Clerk’s Office on the second floor of City
Hall,