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2007-019OFFICIAL RECORD RESOLUTION NO. 07-019 A RESOLUTION OF THE CITY OF SOUTHLAKE, TEXAS AUTHORIZING THE CITY ATTORNEY TO BRING A CONDEMNATION ACTION FOR THE PURPOSE OF OBTAINING FEE SIMPLE ABSOLUTE TTITLE IN AND TO CERTAIN LAND, SPECIFICALLY, 11.2 ACRES, TRACT 6, R.D. PRICE SURVEY, AND 6.546 ACRES, TRACT 4, H.O. THROOP SURVEY, TRACTS 7 AND 8, R.D. PRICE SURVEY FOR PARK PURPOSES OR FOR OTHER PURPOSES AS PERMITTED BY LAW. WHEREAS, the City of Southlake currently owns and leases property which is being utilized for park purposes, said premises being known as Bob Jones Park; and WHEREAS, the City of Southlake has determined that it would be in the best interest of the public to acquire certain tracts of land adjacent to Bob Jones Park and the United States Army Corps of Engineers property for future expansion of the park or, in the alternative, for utilization for other public purposes; and WHEREAS, the City and owners of said properties, Marylyn Elizabeth Miles and Carl Q. Fretwell, have been unable to reach an agreement on the acquisition of said properties; and WHEREAS, the City Council now deems it necessary to authorize the city attorney to initiate condemnation proceedings in order to acquire fee simple title to such property. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SOUTHLAKE, TEXAS: SECTION 1 The City Attorney is hereby authorized to bring condemnation lawsuits for the purpose of acquiring fee simple title in and to 11.2 acres, Tract 6 of the R.D. Price Survey and 6.546 acres, Tract 4, of the H.O. Throop Survey, Tracts 7 and 8 of the R.D. Price Survey, said property, being more particularly described as: 1. Approximately 11.2 acres, part of the R.D. Price Survey Abstract 1003-D, Tract 6, City of Southlake 2. Approximately 6.546 acres, Tract 4, H.O. Throop Survey, Abstract No. 1273D and Tracts 7 and 8, R.D. Price Survey Abstract No. 1003D, City of Southlake SECTION 2 The City Council finds that such acquisition in this condemnation action is necessary in order to serve the public interests including health, safety, and welfare. PASSED, APPROVED, and EFFECTIVE this 17th day of April, 2007. Mayor, City of outhlake pau»tr eq ATTEST:=o.•' ~`"•TF • 6 e Y i j V ' • • City Secretary APP OVED AS TO AND LEGALITY: Tim -walla, y Attorney CONTRACT OF SALE STATE OF TEXAS § COUNTY OF TARRANT § THIS CONTRACT OF SALE is made by and between Marylyn Elizabeth Miles of Cedar Hill, Texas, (referred to in this Contract as "Seller") and the City of Southlake, a home rule municipal corporation in Tarrant County, Texas, (referred to in this Contract as Purchaser"). ARTICLE I PURCHASE AND SALE By this Contract, Seller sells and agrees to convey, and Purchaser purchases and agrees to pay for, certain property situated in Tarrant County, Texas, being more particularly described as , part of the R.D. Price Survey Abstract 1003-D, Tract 6, City of Southlake, Texas 76092 and being approximately 11.2 acres shown on Exhibit "A" attached hereto, together with all and singular the rights and appurtenances pertaining to the Property, including any right, title and interest of Seller in and to adjacent streets, alleys or rights-of-way (all of such real property, rights, and appurtenances being referred to in this Contact as the 'Property"), together with any improvements and fixtures, situated on and attached to the Property, for the consideration and upon and subject to the terms, provisions, and conditions set forth below. ARTICLE II PURCHASE PRICE The purchase price for the Property shall be One Million and Fifty Thousand Dollars 1,050,000), to be paid by Buyer at closing. ARTICLE III EARNEST MONEY 2,000 has been tendered by Purchaser to the Seller with this Contract. Purchaser shall deliver this amount (the Escrow Deposit) to Hexter Fair Title Company, 601 East Southlake Blvd., Suite 500, Southlake, Texas 76092. The Escrow Deposit shall be credited towards the cash portion of the sales price at Closing; provided, however, that in the event the Purchaser shall have given written notice to the title company that one or more of the conditions to its obligations set forth in Article VI have not been met, or, in the opinion of Purchaser, cannot be satisfied, in the manner and as provided for in Article IV, then the escrow agent shall return the Escrow Deposit to Purchaser. Page 1 ARTICLE IV PURCHASER'S RIGHTS AND OBLIGATIONS 4.01 Preliminary Title Report. Within 30 days after the date hereof, Purchaser, at Purchaser's sole cost and expense, shall have a title company issue a preliminary title report (the "Title Report") accompanied by copies of all recorded documents relating to easements, rights-of-way, etc., affecting the Property. Purchaser shall give Seller written notice on or before the expiration of twenty (20) days after Purchaser receives the Title Report that the condition of title as set forth in the title binder is or is not satisfactory, and in the event Purchaser states that any conditions are not satisfactory, Seller shall promptly undertake to eliminate or modify all unacceptable matters to the reasonable satisfaction of Purchaser. In the event Seller chooses not or is unable to do so within twenty (20) days after receipt of written notice, this Contract shall thereupon be null and void for all purposes. If written notice is not received by Seller within the 20 day period, all conditions shall be deemed to be acceptable and any objection thereto shall be deemed to have been waived for all purposes. 4.02 Survey. Within 30 days after the date of execution, Purchaser, at Purchaser's sole cost and expense, may cause to be prepared a current plat or survey of the Property, prepared by a duly licensed Texas land surveyor acceptable to Purchaser. The survey shall be staked on the ground, and the plat shall show the location of all improvements, streets, roads, rivers, creeks, or otherwater courses, fences, easements, and rights-of-way on or adjacent to the Property, if any, and shall contain the surveyor's certification that there are no encroachments on the Property and shall set forth the number of total acres comprising the Property, together with a metes and bounds description thereof. Purchaser will have twenty (20) days after receipt of the survey to review and approve same. In the event any portion of the survey is unacceptable to Purchaser, then Purchaser shall within the twenty (20) day period, give Seller written notice of this fact. Seller shall, at Seller's option, promptly undertake to eliminate or modify all the unacceptable portions of the survey to the reasonable satisfaction of Purchaser. In the event Seller chooses not or is unable to do so within fifteen (15) days after receipt of written notice, Purchaser may terminate this Contract, and the Contract shall thereupon be null and void for all purposes. Purchaser's failure to give Seller this written notice shall be deemed to be Purchaser's acceptance of the survey. 4.03 New Surveys and Tests. Within ten (10) days after the date of execution, Seller shall provide to Purchaser a copy of any environmental site assessment that Seller has caused to be prepared for the Property, or that Seller has received. Within thirty (30) days after the date of execution, Purchaser is granted the right to conduct an environmental and engineering survey and feasibility study of the Property at Purchaser's sole cost and expense, and in this connection Purchaser or Purchaser's designated agents may enter upon the Property for purposes of soil analysis, core drilling, or other tests which may be deemed necessary to Purchaser or Purchaser's engineer. If Purchaser determines, in Purchaser's sole judgment, that the Property is not suitable for the intended purposes, then and in this event, Purchaser may, on written notice to Seller received 45 days from the date of execution, terminate this Contract and it shall be null and void for all purposes. If the Page 2 written notice is not received within this 45 day period, the condition shall be deemed to be acceptable and any objection thereto shall be deemed to have been waived for all purposes. ARTICLE V REPRESENTATIONS AND WARRANTIES OF SELLER, AND AGREEMENT OF PURCHASER, 5.01 Seller Warranties. Seller hereby represents and warrants to Purchaser as follows, which representations and warranties shall be deemed made by Seller to Purchaser also as of the Closing Date: 1) Seller is the sole owner of the Property and has the right and ability to convey good and marketable title in fee simple to the Propertyto Purchaser without the approval or participation of any other person and free and clear of any and all liens, encumbrances, conditions, assessments and restrictions. 2) No excavation of the Property has occurred, no landfill was deposited on or taken from the Property, no construction debris or other debris (including, without limitation, rocks, stumps, and concrete) was buried upon the Property, and no toxic waste or hazardous substances" as that term is defined in the Comprehensive Environmental Response, Compensation and Liability Act of 1988, or petroleum products and derivatives thereof, have been deposited on the Property. 3) That there are no estate brokers', agents' or finders' fees or commissions due arising in connection with the execution of this Contract or from the consummation of the sale contemplated herein. 4) Seller represents now and at Closing that no person, firm, or corporation has any title, interest or right to possession in the Property or any portion thereof as a lessee, tenant, or concessionaire of Seller. 5.02 Seller's Status. Purchaser agrees that Seller shall be treated as having Southlake resident status for the purposes of making reservations and use of Bob Jones Park for her lifetime. ARTICLE VI CLOSING 6.01 Closing Date. The closing shall be held on May 17, 2007, at 10:30 a.m., or at such time and place as Seller and Purchaser may agree upon (which date is herein referred to as the "Closing Date"). 6.02 Conditions at Closing. The closing and Purchaser's obligations under this Agreement to purchase the Property are expressly conditioned on: Page 3 1) Seller's delivery to Purchaser a duly executed and acknowledged General Warranty Deed conveying good and marketable title in fee simple to all of the Property, free and clear of any and all liens, encumbrances, conditions, assessments, and restrictions other than as provided in this Contract. 2) Delivery to Purchaser, at Purchaser's sole expense, a Texas Owners Title Policy, issued by Hexter Fair Title Company, Southlake, Tarrant County, Texas in the full amount of the purchase price, insuring Purchasers fee simple title to the Property, subject only to those title exceptions listed in this Article VI, if any, such other exceptions as may be approved in writing by Purchaser, and the standard printed exceptions contained in the usual form of Texas Owners Title Policy, provided, however: a) The boundary and survey exceptions shall be deleted; b) The exception as to restrictive covenants shall be endorsed "None of Record"; and c) The exception as to the lien for taxes shall be limited to the year of closing and shall be endorsed "Not Yet Due and Payable." 3) Seller's execution of such documents and instruments reasonably requested by the title company to consummate the transactions contemplated herein. 4) Sellers payment of all commissions due and arising in connection with the execution of this Contract or from the consummation of the sale of the Property. 5) Seller shall convey surface rights only and shall include the following language in the deed: Grantor hereby reserves and excepts from this conveyance, and retains for Grantor and Grantor's heir, successors, and assigns forever, all oil, gas, and other minerals in and under and that may be produced from the property (the "Mineral Interests"). If the Mineral Interest is subject to existing production or an existing lease, this reservation includes the production, lease, and all benefits from it. Grantor hereby waives and releases any and all rights, title, interests, easements, rights-of-way and privileges, of every kind and character, which Grantor has or may have to use or utilize, or to permit others to use or utilize, in any manner the surface of the Property, or any part thereof, including, without limitation, the right to use the surface of the Property or any part thereof for investigating, exploring by geological, geophysical and other methods, prospecting, drilling, mining, operating, producing, saving, transporting, storing or treating oil, gas and all other minerals, of every kind and character, Page 4 whether similar or dissimilar, known or unknown, in, on, under and which may be discovered, mined, produced or recovered from the Property or any portion thereof. Grantor waives and releases its right of ingress and egress to the Property, its right to conduct any type of investigation on the surface, including, without limitation, any type of seismic operations, its right to use any portion of the surface of the Property for the drilling of any well, or for the storage or transportation of oil, gas or other minerals of any kind, and its right to lay pipeline across the Property or any portion thereof. Nothing herein, however, restricts or prohibits the pooling or unitization of the Mineral Interest with land other than the Property; or the exploration or production of the oil, gas, and other minerals by means of wells that are drilled or mines that are opened on land other than the Property that enter or bottom under the Property, provided that these operations in no manner interfere with the surface or subsurface support of any improvements constructed or to be constructed on the Property. At the Closing, Purchaser shall pay Seller One Million and Fifty Thousand Dollars ($1,050,000). 6.03 Failure of Conditions. Should any of the conditions specified in Paragraph 6.02 of this Contract fail to occur within 10 days after the establishment of Closing as provided in Paragraph 6.01 of this Contract, Purchaser shall have the power, exercisable by written notice to Seller, to cancel the closing, terminate this Contract, and recover any amounts paid by Purchaser to Seller on account of the purchase price of the Property. The exercise of this power by Purchaser shall not, however, constitute a waiver of any other rights Purchaser may have against Seller for breach of this Agreement. Hexter Fair Title Company (Escrow Agent) shall be and is hereby irrevocably instructed by Seller on any such failure of condition and receipt of such notice from Purchaser by it to immediately refund to Purchaser all monies and instruments deposited by Purchaser pursuant to this Contract. 6.04 Prorations. Any assessments against the Property as of the Closing Date shall be paid by Seller on or before the closing. General real estate taxes for the then current year relating to the Property, interest on any existing indebtedness, and rents if any, shall be prorated as of the closing date and shall be adjusted in cash at the closing. In the event there exists any roll back or other deferred taxes which are retroactive to the period of Seller's ownership of the Property or any time prior thereto pursuant to a change in zoning, use, ownership or otherwise, such retroactive taxes shall remain the obligation of Seller. This provision shall survive the closing. 6.05 Closing Costs. All costs and expenses of closing in consummating the sale and purchase of the Property shall be borne and paid as follows: Page 5 Owner's Title Policy paid by Purchaser Survey paid by Purchaser Environmental and Engineering Survey paid by Purchaser Inspection Reports paid by Purchaser Filing fees paid by Purchaser Attorney's fees for the services of the City Attorney paid by the City ARTICLE VII REAL ESTATE COMMISSIONS Seller shall pay, at Seller's sole cost and expense, any commissions or brokerage fees associated with this Contract. Seller agrees to indemnify and hold the City harmless from claims made by any person for any such fees, commission or like compensation claiming to have dealt with the Seller. ARTICLE Vill BREACH BY SELLER In the event Seller shall fail to fully and timely perform any of its obligations hereunder or shall fail to consummate the sale of the Property for any reason, except because of Purchaser's termination of this Contract or because of Purchaser's default, Purchaser may either terminate the Contract, enforce specific performance of this Contract, or seek other remedies available at law, in equity, or by statute. Seller's failure to satisfy Purchaser's objections under Article VI shall constitute a default by Seller. ARTICLE IX BREACH BY PURCHASER If Purchaser shall fail to consummate this Contract for any reason, except Seller's default or the termination of this Contract pursuant to a right to terminate given herein, Purchaser shall be in default and Seller may at its sole and exclusive remedy have the Escrow Deposit paid to Seller as liquidated damages for the breach of Contract thereby releasing Purchaser from this Contract. ARTICLE X MISCELLANEOUS 10.01 Effective Date. The effective date of this Contract will be the date the last party executes the contract. 10.02 Survival of Covenants. Any of the representations, warranties, covenants, and contracts of the parties, as well as any rights and benefits of the parties, pertaining to a period of time following the closing date of the transactions contemplated hereby shall survive the closing. 10.03 Notices. Any notice required or permitted to be delivered hereunder shall be deemed received when sent by certified United States mail, postage prepaid, return receipt Page 6 requested, addressed to Seller or Purchaser, as the case may be, at the address set forth below the signature of the party hereunder. 10.04 Texas Law to Apply. This Contract shall be construed under and in accordance with the laws of the State of Texas, and all obligations of the parties created hereunder are performable in Tarrant County, Texas. 10.05 Parties Bound. This Contract shall be binding upon and inure to the benefit of the parties and their respective heirs, executors, administrators, legal representatives, successors and assigns where permitted by this Contract. 10.06 Legal Construction. In case any one or more of the provisions contained in this Contract shall for any reason be held to be invalid, illegal, or unenforceable in any respect, this invalidity, illegality, or unenforceability shall not affect any other provision hereof, and this Contract shall be construed as if the invalid, illegal, or unenforceable provision had never been contained herein. 10.07 Prior Contracts Superseded. This Contract constitutes the sole and only contract of the parties and supersedes any prior understandings or written or oral contracts between the parties respecting the Property or the subject matter of this Contract. This Contract is valid only when approved by the Southlake Parks Development Corporation (SPDC) and the City Council of the City of Southlake. 10.08 Gender. Words of any gender used in this Contract shall be held and construed to include any other gender, and words in the singular number shall be held to include the plural, and vice versa, unless the context requires otherwise. 10.09 Time. In this Contract, time is of the essence and compliance with the times for performance is required. 10.10 Attorney's Fees. The prevailing party in any legal proceeding brought under or with respect to the transaction described in this Contract is entitled to recover from the non - prevailing party all costs of such proceeding and reasonable attorney's fees. EXECUTED this day of M , 2007. SELLER: 5 a1v1. l.38 ADDRESS: Page 7 F PURCHASER: CITY OF SOUTHLAKE, TEXAS By: Andy Wa bsganss, Mayor ADDRESS: 1400 Main Street Southlake, Texas 76092 Page 8 ACKNOWLEDGMENT STATE OF TEXAS § COUNTY OF TARRANT § Before me, the undersigned authority in and for said County, Texas, on this day personally appeared known to me (or proved to me on the oath of or through description of identity card or other document) to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he executed the same for the purposes and consideration therein expressed. GIVkN UNDER MY HAND AND SEAL OF OFFICE, this the day of 2007. 0 My Commission Expires: Nota Public in and for The State of Texas OL --- A -1 LiNtiNCARPENTER Typed or Printed Na f Notary NOTARY PUBLIC State of Texas omm. Exp. 03-22-2009 ACKNOWLEDGMENT STATE OF TEXAS § COUNTY OF TARRANT § Before me the undersigned authority in and for said County, Texas, on this day personally appeared A,r,t4j 1::;S 961 M66, known to me (or proved to me on the oath of or through description of identity card or other document) to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he executed the same for the purposes and consideration therein expressed. IVEN UNDER MY HAND AND SEAL OF OFFICE, this the day of 2007. f "aV A R, j's My Commission Expires: Notary Public in dnd for 1 . .......... W; 1Z The State of Texas 9. W 10 i u. ro3 e Typed or Printed Name of Notary k *%. 0* 1%..10- Page 9 ACKNOWLEDGMENT STATE OF TEXAS § COUNTY OF TARRANT § Before me, the undersigned authority in and for said County, Texas, on this day personally appeared Andy Wambsganss, known to me (or proved to me on the oath of or through description of identity card or other document) to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he is the Mayor of the City of Southlake, Texas and is duly authorized to execute this Contract for the purposes and consideration therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the day of 2007. My Commission Expires: Notary Public in and for The State of Texas Typed or Printed Name of Notary Page 10 2 aeras part of the R.0 o -mately AA and being aPP Page 11 76092