CCP 11-24-1997 - Laserfiche WebLink

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I (~fJ"- A ''1' '. '. I CITY OF ARDEN HILLS ,. 1450 WEST HIGHWAY 96 ARDEN HILLS, MN 55112-5794 I November 20. 1997 I Richard H. Zehring. Executive Vice President I \Velsh Companies 8200 Nonnandale Blvd. - Suite 200 I Minneapolis,~!N 55437-1060 RE: Alternate Financing DisCLlssion for City Gateway Property Sale to Welsh LLC I Dear Dick: I On Wednesday, November 12, 1997, representatives of the City and Welsh met to discuss a variety of issues surrounding execution of a Developers Agreement between the two parties. One of the issues discussed was the Welsh acquisition of the City's Ie "Darling/Kem Milling" site. For several months. the City has had a draft "Purchase and Sale Agreement" for the Darling/Kem Milling site. This draft document contains several key underlying assumptions. They include: I L The purchase price for the property is $408,640. Assuming that the developer adheres to the prescribed build out schedule, $85,255 of the I purchase price, the "Remaining Portion" may be forgiven; otherwise $85,255 is due and payable on December 31, 1999. I 2. At closing, the purchaser shall pay to the seller $323,385 by cash or certified check. This purchase price will be reduced by $4,060 to remove I gas piping on the property, and $8,210 to remove water main piping on the property. Thus, the net cash at closing is expected to be $3!!, 115 ($323,805 - $4,060 - $8,210). I , Assuming that the Kem Milling foundation removal costs are not known at J. the closing. an amount not to exceed $61,405 shall reimburse the purchaser I for such costs at the time they are known. 4. Additionally, the purchaser has agreed to upgrade the brick exterior of I Phases II, III and IV. Seller has further agreed to reduce the purchase price by up to $200,000 for the purchaser-documented cost of such upgrade. t' I PHONE: 16121 633.5676 . FAX 16121 633.7839