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HomeMy WebLinkAbout2009-12-01 ResolutionM-4~ 4c 7 Prepared by: Marian K. Karr, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5043 RESOLUTION NO. 09-363 RESOLUTION TO ISSUE DANCING PERMIT BE IT RESOLVED BY THE CITY COUNCIL OF IOWA CITY, IOWA, that a Dancing Permit as provided by law is hereby granted to the following named person and at the following described locations upon his/her filing an application, having endorsed thereon the certificates of the proper city officials as to having complied with all regulations and ordinances, having a valid beer, liquor, or wine license/permit, to wit: Studio 13 - 13 S. Linn Street Quality Inn & Suites - 2525 N. Dodge Street Passed and approved this 1st day of ecember , 20 09 R App v by ATTEST: / ~ ~!/~ CIT CLERK ~~~~~ City Attorney's Office is ~>/s~ It was moved by Champion and seconded by Wilburn the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Bailey x Champion g Correia ~_ Hayek g O'Donnell ~ Wilburn _ x Wright M~ 4e 2 Prepared by: Kumi Morris, Engineering Division, 410 E. Washington St., Iowa City, IA 52240, (319)356-5044 RESOLUTION NO. 09-364 RESOLUTION SETTING A PUBLIC HEARING ON DECEMBER 14, 2009 ON PLANS, SPECIFICATIONS, FORM OF CONTRACT, AND ESTIMATE OF COST FOR THE CONSTRUCTION OF THE MERCER PARK AQUATIC CENTER SOLARIUM REPLACEMENT PROJECT, DIRECTING CITY CLERK TO PUBLISH NOTICE OF SAID HEARING, AND DIRECTING THE CITY ENGINEER TO PLACE SAID PLANS ON FILE FOR PUBLIC INSPECTION. BE IT RESOLVED BY THE COUNCIL OF THE CITY OF IOWA CITY, IOWA: That a public hearing on the plans, specifications, form of contract, and estimate of cost for the construction of the above-mentioned project is to be held on the 14th day of December 2009, at 7:00 p.m. in the Emma J. Harvat Hall, City Hall, Iowa City, Iowa, or if said meeting is cancelled, at the next meeting of the City Council thereafter as posted by the City Clerk. 2. That the City Clerk is hereby authorized and directed to publish notice of the public hearing for the above-named project in a newspaper published at least once weekly and having a general circulation in the City, not less than four (4} nor more than twenty (20) days before said hearing. 3. That the copy of the plans, specifications, form of contract, and estimate of cost for the construction of the above-named project is hereby ordered placed on file by the City Engineer in the office of the City Clerk for public inspection. Passed and approved this 1st day of ATTEST: ~ ~ CIT -LERK 20 09 v v L' 1 l i - City Attorney's Office !/~z-~ i~~~ pwengUeslsetph-MercerSolarium. d oc Resolution No. 09-364 Page 2 It was moved by Cha~ion and seconded by Wilburn the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: X X ~_ x X- Bailey Champion Correia Hayek O'Donnell Wilburn Wright wpdatalgtossary/resolution-ic.doc ~~ 4f 1 Prepared by: Susan Dulek, Asst. City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5030 RESOLUTION NO. 09-365 RESOLUTION AUTHORIZING THE MAYOR TO SIGN AND THE CITY CLERK TO ATTEST TO THE PARTIAL RELEASE OF LIEN REGARDING A SECOND MORTGAGE FOR THE PROPERTY LOCATED AT 2750 IRVING AVENUE, IOWA CITY, IOWA. WHEREAS, on March 15, 2002, William H. Bryant and Deborah L. Bryant, the current owners of 2750 Irving Avenue, executed a mortgage to secure a loan and a Resale Agreement with the City of Iowa City as part of the Affordable Dream Home Program; and WHEREAS, the owners have repaid the loan, but the requirements under the Resale Agreement do not expire until March 15, 2017; and WHEREAS, the mortgage should be partially released to reflect that the loan has been paid. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1 The Mayor is authorized to sign and the City Clerk to attest the attached Partial Release of Second Mortgage for recordation, whereby the City does release the property located at 2750 Irving Avenue, Iowa City, Iowa, from the Second Mortgage recorded on March 25, 2002, at Book 3257, Page 366, in the Johnson County Recorder's Office. 2. The City Clerk is authorized and directed to certify a copy of this resolution for recordation in the Johnson County Recorder's Office, together with the attached Partial Release of Second Mortgage, with said recording costs to be paid by the City. Passed and approved this 1st day of ATTEST: / CITY ERK City Attorney's Office Resolution No. 09-365 Page 2 It was moved by Champion and seconded by Wilburn the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: g Bailey x- Champion _~ Correia g Hayek ~_ O'Donnell _~ Wilburn g Wright wpd ata/glossary/resolution-ic. d oc Prepared by and return to:Susan Dulek, Asst. City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319)356-5030 Mortgagor(s): William H. Bryant and Deborah L. Bryant Mortgagee: City of Iowa City PARTIAL RELEASE OF SECOND MORTGAGE The City of Iowa City does hereby partially release the property at 2750 Irving Avenue, Iowa City, Iowa, and legally described as follows: Lot 57 of the resubdivision of Lot 51, Walden Hills, Iowa City, Iowa, according to the plat of said subdivision recorded in Book 38, Page 327, Plat Records of Johnson County, Iowa, from a financial obligation of the property owners, William H. Bryant and Deborah L. Bryant, to the City of Iowa City in the principal amount of $34,000 represented by a Second Mortgage recorded on March 25, 2002, at Book 3257, Page 366, in the Johnson County Recorder's Office. The City of Iowa City does not release said property from an additional obligation of the property owners contained in the Resale Agreement for Property Located at 2750 Irving Avenue dated March 15, 2002, and secured by said Second Mortgage. IOWA CI~Y, IOJdy'A By: Bailey, Mahan K. Karr, City Clerk Approved by f ~(`~~~OS -- City Attorney's Office STATE OF IOWA ) ss: JOHNSON COUNTY ) On this ~ day of D~c~gr^e , 2009, before me, the undersigned, a Notary Public in and for said County and State, personally appeared Regenia D. Bailey and Marian K. Karr, to me personally known, who being by me duly sworn, did say that they are the Mayor and City Clerk, respectively, of said municipal corporation executing the within and foregoing instrument; that the seal affixed thereto is the seal of said municipal corporation; that said instrument was signed and sealed on behalf of said municipal corporation by authority of City Council of said municipal corporation; and that the said Regenia D. Bailey and Marian K. Karr acknowledged the execution of said instrument to be the voluntary act and deed and said municipal corporation, by it and by them voluntarily executed. ,~e~ SONDRAE FORT S°.~- ~~ Commission Number 159791 Notary Public in and for the State of Iowa My Commission Expires • ow 3 ? ~o y ~z-u~-~y ~~~ 4f 2 Prepared by: Susan Dulek, Asst. City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5030 RESOLUTION NO. 09-366 RESOLUTION AUTHORIZING THE MAYOR TO SIGN AND THE CITY CLERK TO ATTEST TO THE PARTIAL RELEASE OF LIEN REGARDING A SECOND MORTGAGE FOR THE PROPERTY LOCATED AT 2660 INDIGO COURT, IOWA CITY, IOWA. WHEREAS, on December 17, 1999, Jesus Escavel Balderas and Alma Leticia Balderas, the current owners of 2660 Indigo Court, executed a mortgage to secure a loan and a Resale Agreement with the City of Iowa City as part of the Tenant to Ownership Program; and WHEREAS, the owners have repaid the loan, but the requirements under the Resale Agreement do not expire until December 17, 2014; and WHEREAS, the mortgage should be partially released to reflect that the loan has been paid. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1 The Mayor is authorized to sign and the City Clerk to attest the attached Partial Release of Second Mortgage for recordation, whereby the City does release the property located at 2660 Indigo Court, Iowa City, Iowa, from the Second Mortgage recorded on December 17, 1999, at Book 2878, Page 77, in the Johnson County Recorder's Office. 2. The City Clerk is authorized and directed to certify a copy of this resolution for recordation in the Johnson County Recorder's Office, together with the attached Partial Release of Second Mortgage, with said recording costs to be paid by the City. Passed and approved this 1st day of ATTEST: ~~ ` CITY JERK ~~~ t f ~~~_.c~ City Attorney's Office Resolution No. 09-366 Page 2 It was moved by Champion and seconded by Wilburn the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Bailey g Champion x Correia X Hayek g O'Donnell g Wilburn g Wright wpdata/glossary/resolution-ic.doc Prepared by and return to: Susan Dulek, Asst. City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319)356-5030 Mortgagor(s): Jesus Escavel Balderas and Alma Leticia Balderas Mortgagee: City of Iowa City PARTIAL RELEASE OF SECOND MORTGAGE The City of Iowa City does hereby partially release the property at 2660 Indigo Court, Iowa City, Iowa, and legally described as follows: Lot 81, Whispering Meadows Subdivision, Part Two to Iowa City, Iowa, according to the plat thereof recorded in Book 34, Page 99, Plat Records of Johnson County, Iowa, from a financial obligation of the property owners, Jesus Escavel Balderas and Alma Leticia Balderas, to the City of Iowa City in the principal amount of $30,000 represented by a Second Mortgage recorded on December 17, 1999, at Book 2878, Page 77, in the Johnson County Recorder's Office. The City of Iowa City does not release said property from an additional obligation of the property owners contained in the Resale Agreement for Property Located at 2660 Indigo Court dated December 17, 1999, and secured by said Second Mortgage. IOWA C~TY, ~JVA ~( By: D. Bailey, Mayor By: Approved by City Attorney's Office STATE OF IOWA ) ss: JOHNSON COUNTY ) K. Karr, City Clerk On this / ~ day of ~EC~r~SE-R-- , 2009, before me, the undersigned, a Notary Public in and for said County and State, personally appeared Regenia D. Bailey and Marian K. Karr, to me personally known, who being by me duly sworn, did say that they are the Mayor and City Clerk, respectively, of said municipal corporation executing the within and foregoing instrument; that the seal affixed thereto is the seal of said municipal corporation; that said instrument was signed and sealed on behalf of said municipal corporation by authority of City Council of said municipal corporation; and that the said Regenia D. Bailey and Marian K. Karr acknowledged the execution of said instrument to be the voluntary act and deed and said municipal corporation, by it and by them voluntarily executed. ~ SONDRAE FORT yvnuns~ ~~ _~ i Commission Number 159791 My commission Expires Notary Public in and for the State of Iowa ow 3 ? ao~~ Mkt 4f 3 Prepared by: Liz Osborne, CD Division, 410 E. Washington St., Iowa City, IA 52240 (319)356-5246 RESOLUTION N0. 09-367 RESOLUTION AUTHORIZING THE MAYOR TO SIGN AND THE CITY CLERK TO ATTEST TO THE RELEASE OF LIEN REGARDING A MORTGAGE FOR THE PROPERTY LOCATED AT 708 5th AVENUE, IOWA CITY, IOWA. WHEREAS, on November 10, 2004, the owner executed a Mortgage to secure a loan; and WHEREAS, the terms of the loan has been satisfied; and WHEREAS, the City of Iowa City should release this lien. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA that the Mayor is authorized to sign and the City Clerk to attest the attached Release of Lien for recordation, whereby the City does release the property located at 708 5th Avenue from a Mortgage, recorded March 16, 2005, Book 3853, Page 575 through Page 581 of the Johnson County Recorder's Office. Passed a ATTEST: Tice It was moved, by Champion and seconded by Wilburn the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Bailey x Champion X Correia _~_ Hayek _~_ O'Donnell R Wilburn g Wright Prepared by and return: Liz Osborne, Housing Rehab Division, 410 E. Washington St., Iowa City, IA 52240 (3191356-5246 Legal Description of Property: see below Mortgagor(sl: Colleen A. Mahoney Mortgagee: City of Iowa City RELEASE OF LIEN The City of Iowa City does hereby release the following property located at 708 5th Avenue, Iowa City, Iowa, and legally described as follows: Lot 7 in Block 35, in East Iowa City, Johnson County, Iowa, according to the plat thereof recorded in Book 1, Page 92, Plat Records of Johnson county, Iowa, subject to easements and restrictions of record thereof. from an obligation of the owner, Colleen A. Mahoney, to the City of Iowa City represented by a Mortgage, recorded March 16, 2005, Book 3853, Page 575 through Page 581 of the Johnson County Recorder's Office. This obligation has been satisfied and the property is hereby released from any liens or clouds upon title to the above property by reason of said prior recorded document. ATTEST: ~~iir~_~`~ /1~~~ C1-~~T4`-CLERK STATE OF IOWA 1 SS: JOHNSON COUNTY 1 City Attorney's Office Sf On this ~ day of .DF~EMRF~ , A.D. 20~, before me, the undersigned, a Notary Public in and for said County, in said State, personally appeared Regenia D. Bailey and Marian K. Karr, to me personally known, who being by me duly sworn, did say that they are the Mayor and City Clerk, respectively, of said municipal corporation executing the within and foregoing instrument; that the seal affixed thereto is the seal of said corporation, and that the instrument was signed and sealed on behalf of the corporation by authority of its City Council, as contained in Resolution No. -36 ,adopted by the City Council on the 1 ~ day 11TcCF.M(3~.2 , 20Q~_ and that the said Regenia D. Bailey and Marian K. Karr as such officers acknowledged the execution of said instrument to be the voluntary act and deed of said corporation, by it and by them voluntarily executed. owgts SONDRAEFORT Z ~ Commission Number 159791 Notar Public in and for Johnson County, Iowa M Commission Expires y low 3 ~ aor~ M ~ ~ ~,~~. 4f 4 Prepared by: Liz Osborne, CD Division, 410 E. Washington St., Iowa City, IA 52240 (319)356-5246 RESOLUTION N0. 09-368 RESOLUTION AUTHORIZING THE MAYOR TO EXECUTE AND THE CITY CLERK TO ATTEST TO A SUBORDINATION AGREEMENT BETWEEN THE CITY OF IOWA CITY AND UNIVERSITY OF IOWA COMMUNITY CREDIT UNION, IOWA CITY, IOWA FOR PROPERTY LOCATED AT 1112 WYLDE GREEN ROAD, IOWA CITY, IOWA. WHEREAS, the City of Iowa City is the owner and holder of a Second Mortgage executed by the owner of the property on June 6, 2002 and recorded on June 12, 2002, in Book 3313, Page 96 through Page 99, in the Johnson County Recorder's Office covering the following described real estate: Bryn Mawr Hts Part 2, Lot 64 of Iowa City located in Johnson County, Iowa WHEREAS, University of Iowa Community Credit Union is refinancing a mortgage to the owner of the property located at 1112 Wylde Green Road and is securing the loan with a mortgage covering the real estate described above; and WHEREAS, it is necessary that the Mortgage held by the City be subordinated to the loan of University of Iowa Community Credit Union, secured by the proposed Mortgage in order to induce University of Iowa Community Credit Union, to make such a loan; and WHEREAS, University of Iowa Community Credit Union has requested that the City execute the attached subordination agreement thereby making the City's lien subordinate to the lien of said mortgage with University of Iowa Community Credit Union; and WHEREAS, there is sufficient value in the above-described real estate to secure the City's position. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA that the Mayor is authorized to sign and the City Clerk to attest the SUBORDINATION AGREEMENT BETWEEN THE City of Iowa City and University of Iowa Community Credit Union, Iowa City, Iowa. Passed and approved this 1st day ATTEST: ~ ~ CIT ERK 20~~ Approved by City Attorney's Office Resolution No. 09-368 Page 2 It was moved by Chamyion and seconded by wiiburn the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x Bailey x Champion x Correia x Hayek ~ O'Donnell _ x Wilburn g Wright SUBORDINATION AGREEMENT THIS AGREEMENT is made by and between the City of Iowa City, herein the City, and University of Iowa Community Credit Union, Iowa City. Iowa, herein the Financial Institution. WHEREAS, the City is the owner and holder of a certain Second Mortgaqe which at this time is in the amount of 2 500, and was executed by Krista M. Kazembe (herein the Owner), dated June 6,2002, recorded June 12, 2002, in Book 3313, Page 96 through Page 99, Johnson County Recorder's Office, covering the following described real property: Bryn Mawr Hts Part 2, Lot 64 of Iowa City located in Johnson County, Iowa WHEREAS, the Financial Institution proposes to loan the sum of $ ~2v'~~~ on a promissory note to be executed by the Financial Institution and the owner, securing a mortgage covering the real property described above; and WHEREAS, to induce the Financial Institution to make such loan, it is necessary that the Mortgaqe held by the City be subordinated to the lien of the mortgage proposed to be made by the Financial Institution. NOW, THEREFORE, in consideration of the mutual covenants and promises of the parties hereto, the parties agree as follows: Subordination. The City hereby covenants and agrees with the Financial Institution that the above noted Mortgaqe held by the City is and shall continue to be subject and subordinate to the lien of the mortgage about to be made by the Financial Institution. 2. Consideration. The City acknowledges receipt from the Financial Institution of One Hundred and Fifty Dollars ($150.00) and other good and valuable consideration for its act of subordination herein. 3. Senior Mortgage. The mortgage in favor of the Financial Institution is hereby acknowledged as a lien superior to the Mortgaqe of the City. 4. Binding Effect. This agreement shall be binding upon and inure to the benefit of the respective heirs, legal representatives, successors, and assigns of the parties hereto. Dated this ~ day of ~EC~N~3><cz , 20~ CITY OF IOWA CITY By FINANCIAL INSTITUTION BY. Attest: ~.-~ ~C City Jerk CITY'S ACKNOWLEDGEMENT STATE OF IOWA ) SS: JOHNSON COUNTY ) On this / ~ day of Q~~B,=2 , 20~, before me, the undersigned, a Notary Public in and for the State of Iowa, personally appeared T~ n; a. D, "r3~; ).~y and Marian K. Karr, to me personally known, and, who, being by me my sworn, did say that they are the Mayor and City Clerk, respectively, of the City of Iowa City, Iowa; that the seal affixed to the foregoing instrument is the corporate seal of the corporation, and that the instrument was signed and sealed on behalf of the corporation, by authority of its City Council, as contained in (9r~i-ce) (Resolution) No. oq- 3~ & passed (the Resolution adopted) by the City Council, under Roll Call No. ~ of the City Council on the / ~ day of .13~c+a~+n6r;rz , 20 a9 ,and that ~ ;a .D : l and Marian K. Karr acknowledged the execution of the instrument to be their volun ary act and deed and the voluntary act and deed of the corporation, by it voluntarily executed. o~giRts SONDRAE FORT Sov~aL ~~ _ ~ Commission Number 159791 Nota Public in and for the State of Iowa My Commission Expires ry iow 3 ac! ~ LENDER'S ACKNOWLEDGEMENT STATE OF IOWA ) ss: JOHNSON COUNTY ) -'t~ , ~ +,` ~~~ On this f `"~ day of /t. ~ ~' c'~ ~ r ~%'< ~ , 20~, before me, the undersigned, a Notary Public in and for the State of Iowa, personally appeared ~~'~~ /~r r S(`~ r to me personally known, who being by me duly sworn, did say that he/she is the ' ~ ~!~ IoF"~"~IGtCd L t ~ L CIx tr ~~ (}l~C r of r!~krlb[is,r'~h G J~~.~u to1+ r i~«~, ~ ~~ that said instrument was signed on ~-' f behalf o corporation by authority of said ie_i;~ ttt-,a~~ its Board of Directors; and that said ~/ ! J~tl ; ~-I~~-~ ~+~i: ~ acknowledged the execution of sa id instrument to be the voluntary act arld deed of said corporation, by it and by him/her voluntarily executed. ~~a'^<s LISA PATTERSON i lai. K C Ni~+r'C~!TI~~I S f1bCXa I@814 j Nota~jr Public in and for the State of Iowa 1~_ My Commission expires: ~ 1~~r' ~~~ ~ ~- r- 4f 5 Prepared by: Susan Dulek, Asst. City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5030 RESOLUTION NO. 09-369 RESOLUTION AUTHORIZING THE MAYOR TO SIGN AND THE CLERK TO ATTEST TO AN AGREEMENT THAT PERMITS ANISTON VILLAGE, LP TO GRANT A MORTGAGE TO THE CITY. WHEREAS, in Resolution No. 09-149, City Council agreed to lend $282,000 to Aniston Village, LP to construct 22 single-family units of affordable rental housing; WHEREAS, The Housing Fellowship is the general partner of Aniston Village, LP; WHEREAS, The Housing Fellowship owns the real estate on which the 22 units will be built (collectively, the property) and leases the land to Aniston Village, LP; WHEREAS, in order to secure the loan from the City, Aniston Village, LP will grant the City a mortgage in its leasehold interest in the property; WHEREAS, the ground lease between The Housing Fellowship and Aniston Village, LP permits Aniston Village, LP to mortgage its interest under certain conditions; WHEREAS, the proposed Subordination, Nondisturbance and Attornment Agreement satisfies said conditions; and WHEREAS, it is in the best interest of the City to enter into the attached Subordination, Nondisturbance and Attornment Agreement. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: The Mayor is authorized to execute and City Clerk to attest to the attached Subordination, Nondisturbance and Attornment Agreement. Passed and approved this 1st day of December , 2009. ATTEST: City Attorney's Office Resolution No. 09-369 Page 2 It was moved by Champion and seconded by Wilburn the Resolution be adopted, and upon roll call there were: AYES: x x X ~_ X X X NAYS: ABSENT: Bailey Champion Correia Hayek O'Donnell Wilburn Wright wpdata/glossary/resolution-ic.doc Prepazed by and after recording return to: Jeremy B.P. Hagan One South Gilbert Street (319) 466-1511 Rradle ~ Ri~y PC Iowa City IA 52240 FAX (3191358-5560 SUBORDINATION, NONDISTURBANCE AND ATTORNMENT AGREEMENT THIS SUBORDINATION, NONDISTURBANCE AND ATTORNMENT AGREEMENT (the "Agreement") is made as of this _ day of November, 2009, by and between THE HOUSING FELLOWSHIP, an Iowa nonprofit corporation (the "Lessor"), ANISTON VILLAGE, LP, an Iowa limited partnership ("Lessee"), and the City of Iowa City, Iowa, a municipal corporation (the "Lender"). WITNESSETH: WHEREAS, Lessee is the lessee under that certain Ground Lease, as amended (the "Lease") dated October 9, 2009, between The Housing Fellowship, as lessor, and Aniston Village, LP, as lessee, demising the premises described on the attached Exhibit "A" (the "Premises"); and WHEREAS, Lessor and Lessee have received (or will receive) a $282,000.00 loan from Lender to be financed by Lender General Obligation Bonds, secured by a mortgage on the Premises recorded or to be recorded with the registry or clerk of the county in which the Premises is located (the "Mortgage"); and WHEREAS, Lessor, Lessee and Lender wish to enter into this Agreement (i) to confirm the subordination of the Lease to the Mortgage, (ii) to provide that Lessee's possession of the Premises will not be disturbed in the event of (x) the exercise of any of Lender's rights under the Mortgage or (y) a termination of the Mortgage, and (iii) to provide that Lessee will attorn to the Lender and the Lender will recognize Lessee in all events, on the terms contained herein; and WHEREAS, pursuant to Paragraph 20(a) of the Lease, Lessor may mortgage its interest in the Lease only if the holder of such mortgage grants to Lessee a nondisturbance agreement; and WHEREAS, pursuant to Paragraph 20(b) of the Lease, Lessee may mortgage its interest in the Lease upon Lessor notification and upon Lessor agreeing to certain conditions; {oo~sisls.DOC} NOW, THEREFORE, in consideration of the premises and the execution of this Agreement by the parties, Lender and Tenant hereby agree as follows: 1. Subordination. Lessee hereby covenants and agrees that all its rights and interest whatsoever under the Lease in the Premises are and shall remain subject and subordinate to (i) the lien of the Mortgage, and to all the terms, conditions and provisions thereof; (ii) to any other documents now in existence or to be executed in the future with respect to the general obligation bonds and the Mortgage, or both; (iii) to all advances made or to be made thereunder; and (iv) to any increases, renewals, extensions, modifications, substitutions, consolidations or replacements thereof, as if such Mortgage had been executed, delivered and recorded before the execution and delivery of the Lease. Mortgagee consents to the terms of the Lease and agrees that the exercise by the Lessee of its rights under the Lease shall not constitute a default under the Mortgage. 2. Nondisturbance. So long as the Lease is in full force and effect and there exists no default under the Lease that (i) continues beyond the expiration of any applicable notice and cure period and (ii) would permit Lessor to terminate the Lease, (a) Lender shall not terminate the Lease nor shall Lender disturb or affect Lessee's leasehold estate, use and possession of the Premises in accordance with the terms of the Lease or any rights of Lessee under the Lease by reason of the subordination of the Lease to the Mortgage or in any action or proceeding instituted under or in connection with the Mortgage, unless such right would have independently existed if the Mortgage had not been made and (b) neither Lessee nor any person known to Lender to be claiming through or under Lessee shall be named or joined in any action or other proceeding to enforce or terminate the Lease unless such joinder shall be required by law, provided that such joinder shall not result in the termination of the Lease or disturb the use of the Premises by Lessee or any person known to Lender to be claiming through or under Lessee. 3. Attornment. If the interest of the Lessee under the Lease shall be acquired by Lender, by reason of exercise of the power of sale or the foreclosure of the Mortgage or other proceedings brought to enforce the rights of the holder thereof, whether by deed in lien of foreclosure or by an other method, Lender shall attorn to Lessor, as its lessor, that attornment to be effective and self operative without execution of any other instruments on the part of either party upon receipt by Lessor of notice of Lender succeeding to the interest of the lessee under the Lease, and the Lease shall continue in accordance with its terms between Lessor, as lessor, and Lender, as lessee. 4. Lessor Notice of Mort~a~e. Lessor hereby acknowledges Lessee's notice of the Mortgage. Lessor Covenants. (a) Lessor covenants that as a result of any default of the Lease, there shall be no cancellation, amendment or termination of the Lease by joint action of Lessor and Lessee without first providing Lender with an opportunity to satisfy said default in a reasonable time. (b) Lessor covenants that: (i) upon any default of the Lease, Lessor shall give Lender simultaneous notice of such default and Lender shall have the same period of time as Lessee after service of a Notice of Default to remedy the default; and (ii) upon a Lessee default, Lessor shall accept Lender's performance as if the same has been done by Lessee. {oo~s~s~s.DOC} 5) 6. Lessee Covenants. (a) Lessee covenants that as a result of any default of the Lease, there shall be no cancellation, amendment or termination of the Lease by joint action of Lessor and Lessee without first providing Lender with•an opportunity to satisfy said default in a reasonable time. 7. Successors and Assigns. This Agreement shall inure to the benefit of and shall be binding upon Lessee, Lessor and Lender and their respective heirs, personal representatives, successors and assigns. S. Choice of Law. This Agreement shall be governed by and construed in accordance with the Laws of the State of Iowa without giving effect to any principles of conflict of laws. LESSOR: THE HOUSING FELLOWSHIP LESSEE: ANISTON VILLAGE, LP ~ ~~~~ By: ~ By; ~- Charles Eastham, President Charles Eastham, President of The Housing Fellowship, General Partner LENDER: THE CITY OF IOWA CITY, IOWA ~ n sy: Attest: Karr, City Clerk STATE OF IOWA, JOHNSON COUNTY) ss: CORPORATE SEAL This instrument was acknowledged before me on this ~ day of November, 2009, by Charles Eastham, as President of The Housing Fellow 'p. ~ SARA GILLETTE Comntission Mambsr 73Q • M~ tt N ry Publi and for the State owa STATE OF IOWA, JOHNSON COUNTY) ss: D~orn~ ~6tt~ (00781815.AOC} This instrument was acknowledged before me on this3~~day of November, 2009, by Charles Eastham, President of The Housing Fellowship, as General Partner of Aniston Village, LP. -~ ~:• RA GI LLETTE ~~ ; i;oM ~ss~~ 73E3N No Public in a for the State of Iowa Book 4545, Paqe 517, File Nt~ber STATE OF IOWA, JOHNSON COUNTY) ss: ~ecr?MeFA s~ On this ~ day of ~~ 2009, before me, the undersigned, a Notary Public in and for the State of Iowa, personally appeared Regenia D. Bailey and Marian K. Karr, to me personally known, and who, being by me duly sworn, did say that they are the Mayor and City Clerk, respectively, of the City of Iowa City, Iowa; that the seal affixed to the foregoing instrument is the corporate seal of the corporation, and that the instrument was signed and sealed on behalf of the corporation, by authority of its City Council; and that Regenia D. Bailey and Marian K. Karr acknowledge the execution of the instrument to be their voluntary act and deed and the voluntary act and deed of the corporation, by it and them voluntarily executed. ,~'~~ s SONDRAE FORT ~~ ~~ _ ~ Commission Number 159791 t' • low My C•o'mmis~~ Expires Notary Public in and for said State ~ ~ Ap roved ~y ~" ~~ t C~ ~ ~, a~ ~rity A.tt~"lw .. ~~f(~.-~; {00781815.DOC } EXHIBIT "A" Lots 1 through 16, inclusive, of Mount Prospect Addition, Part IX, Iowa City, Iowa, according to the plat thereof recorded in Book 53, Page 339, Plat Records of Johnson County, Iowa. Lots 18 and 19, Village Green, Part XXII, Iowa City, Iowa according to the plat thereof recorded in Book 44, Page 335, Plat Records of Johnson County, Iowa, locally known as 1062 and 1076 Chamberlain, Iowa City, Iowa. Lots 21, 22, 23, and 24, Olde Towne Village, Iowa City, Iowa, according to the plat thereof recorded in Book 49, Page 321, Plat Records of Johnson County, Iowa, locally known as 341, 343, 351, and 353 Westbury Court, Iowa City, Iowa. { 00781815. DOC } 4f 6 ~`-~ Prepared by: Daniel Scott, Project Engineer, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5144 RESOLUTION NO. 09-370 RESOLUTION ACCEPTING THE WORK FOR THE COURT HILL TRAIL PROJECT WHEREAS, the Engineering Division has recommended that the work for construction of the Court Hill Trail, as included in a contract between the City of Iowa City and Peterson Contractors, Inc. of Reinbeck, Iowa, dated January 29, 2008, be accepted; and WHEREAS, the Engineer's Report and the performance and payment bond have been filed in the City Clerk's office; and WHEREAS, the final contract price is $456,150.13. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT said improvements are hereby accepted by the City of Iowa City, Iowa. Passed and approved this 1st day of 20 09 _ - ) 1 1 f ATTEST: -~/ a - ~ ;~~~f ~'~~_~ CIT LERK 2 City Attorney's Office j~ ~ ~~; It was moved by Champion and seconded by Wilburn the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: -~_ ~ Bailey x Champion x Correia x Hayek g O'Donnell x Wilburn x Wright Pwenglreslacptwork-courth it Itrail. doc ~+,,,~ {~ 12-01-09 `-+ 4f 7 Prepared by: Kim Sandberg, Public works, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5139 RESOLUTION NO. 09-371 RESOLUTION ACCEPTING THE WORK FOR THE WATER TREATMENT PLANT AUTOMATIC SOURCE TRANSFER PROJECT WHEREAS, the Engineering Division has recommended that the work for construction of the Water Treatment Plant Automatic Source Transfer Project, as included in a contract between the City of Iowa City and Price Industrial Electric of Hiawatha, Iowa, dated November 10, 2008, be accepted; and WHEREAS, the Engineer's Report and the performance and payment bond have been filed in the City Clerk's office; and WHEREAS, the final contract price is $126,000.00. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF'THE CITY OF IOWA CITY, IOWA, THAT said improvements are hereby accepted by the City of Iowa City, Iowa. Passed and approved this 1st day of ,; ± , ATTEST: ~ _~~~ ,(i ~ 4" ~3~ ~~ ti~ ~'l"Z~ f~'~ Imo-'%~ CIT LERK' City Attorney's Office I ~ ~7,~~c; It was moved by champion .and seconded by Wilburn the Resolution be adopted, and upon roll call there were: AYES: X ~- x X -~ x x NAYS: ABSENT: Bailey Champion Correia Hayek O'Donnell Wilburn Wright Pweng/res/WrPAST. doc 11 /09 M~ 15 Prepared by: Sara Hektoen, Asst. City Attorney, 410 E. Washington St., Iowa City, IA (319)356-5030 RESOLUTION N0.09-372 RESOLUTION ADOPTING A FEE SCHEDULE FOR EXCAVATION PERMITS ISSUED PURSUANT TO IOWA CITY CODE OF ORDINANCES SECTION 16-1 D. WHEREAS, Council is currently considering an ordinance requiring the payment of an excavation permit fee and allowing Council to set that fee by resolution; and WHEREAS, the City desires to establish said fee schedule. NOW, THEREFORE, BE tT RESOLVED BY THE CITY COUNCIL OF IOWA CITY, IOWA THAT: 1. Effective, January 1, 2010, the following fee schedule is hereby established for permits issued pursuant to Iowa City Code of Ordinances 16-1 D: a. All parties desiring to obtain an excavation permit pursuant to Iowa City Code of Ordinance 16-1 D, except those parties with which the City of Iowa City has a franchise agreement and from whom the City receives franchise fees, shall pay $50 per permit. b. This permit fee shall be in addition to the performance deposit required pursuant to Iowa City Code of Ordinance 16-1 D-2. Passed and approved this 1st day of ATTEST: ~~Y• ~ ~fct,cu- ~1~ti-L,n~~ ~I~s~-s~- CITY ERK ity Attorney's Office `i ~ z3 ~~,~~ Resolution No. 09-372 Page 2 It was moved by Champion and seconded by Wilburn the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x X X ~- x X Bailey Champion Correia Hayek O'Donnell Wilburn Wright wpdata/glossary/resolution-ic. doc M kd 16 Prepared by: Wendy Ford, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5248 RESOLUTION NO. 09-373 RESOLUTION APPROVING A CONTRACT WITH UNIVERSITY OF NORTHERN IOWA'S REGIONAL BUSINESS CENTER FOR A FEASIBILITY STUDY FOR A CREATIVE TECHNOLOGIES INCUBATOR IN DOWNTOWN IOWA CITY WHEREAS, the City Council has adopted a set of Strategies and Policies guiding the economic development activities for the city; and WHEREAS, two of the four adopted objectives in the Strategies and Policies address supporting the downtown and supporting the development of entrepreneurial business; and WHEREAS, the United States Department of Commerce Economic Development Administration has awarded a grant of up to $60,000 requiring a 25% match to pay for the study; WHEREAS, the local match for the study is budgeted in the Economic Development Division budget; and WHEREAS, the University of Northern Iowa's Regional Business Center proposes to conduct the feasibility study for $45,474; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: The attached contract with University Of Northern Iowa's Regional Business Center for a feasibility study for a Creative Technologies Incubator In Downtown Iowa City be approved. Passed and approved this 1st day of December , 20 09 M pr ved b ATTEST: ~-~-~ !~^ Z`f " CIT LERK City Attorney's Office Resolution No. 09-373 Page 2 It was moved by xayek and seconded by Wight the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x X ~_ X x X Bailey Champion Correia Hayek O'Donnell Wilburn Wright wpdatalglossary/resolution-ic. doc CONSULTANT GRANT AGREEMENT This AGREEMENT is entered into by and between the City of Iowa City (hereinafter referred to as "Grantor") and the University of Northern Iowa, Office of Sponsored Programs, 213 East Bartlett Hall, Cedar Falls, IA 50614-0394 (hereinafter referred to as "L7NI"). WHEREAS, the project contemplated by this Agreement is of mutual interest and benefit to Grantor and to LTNI. This Grant is funded in part by a grant from the Department of Commerce Economic Development Administration and local matching funds from the Grantor. (CFDA No. 11.307 ) NOW, THEREFORE, the parties hereto agree as follows: 1. STATEMENT OF WORK. UNI agrees to perform the project or work entitled, "Feasibility Study for a Creative Technologies Incubator in Downtown Iowa City, Iowa" as described in Appendix A hereof. 2. PRINCIPAL INVESTIGATOR/PROJECT DIRECTOR. The project will be directed by Maureen Collins-Williams. If, for any reason, she is unable to continue to serve as principal investigator/project director and a mutually acceptable successor is not available, Grantor and/or UNI shall have the option to terminate said program in accordance with Clause 8 -TERMINATION. 3. PERIOD OF PERFORMANCE. The project shall be conducted during the period of 4 months, beginning with the date of the execution of this agreement, and will be subject to extension or renewal only by mutual written agreement of the parties. 4. PROJECT COSTS AND PAYMENT. In consideration of the foregoing, Grantor will reimburse UNI for actual costs incurred in the performance of the project. Payments under this contract shall not exceed the total estimated cost of $45,474, unless amended by mutual written agreement of the parties. LJNI will submit regular monthly invoices that summarize actual project expenditures according to the major line items in the Budget, Appendix B hereof. However, such monthly invoices shall be for progress tracking purposes only and shall not be due and payable by Grantor until after the project is completed per the Scope of Work outlined in Exhibit "A". After the project in finally completed per Exhibit "A", a final invoice shall be due to Grantor no later than May 30, 2010, and Grantor shall issue payment for completion of the project under this paragraph per said invoice. Invoices shall be mailed to: Wendy Ford, Economic Development Coordinator City of Iowa City 410 E. Washington St. Iowa City, IA 52240 Books, records, documents, and other evidence pertaining to costs and expenses related to this agreement shall be maintained by the Grantee for a period not to exceed three years following termination subject to examination by a duly authorized representative of Grantor. 5. REPORTS. During the term of this Agreement, UNI's principal investigator shall submit performance reports as requested by the Grantor. 6. MODIFICATION. Any agreement to change the terms of this Agreement in any way shall be valid when the change is made in writing and approved by authorized representatives of both parties hereto. 1. REPRESENTATNES. Designated representatives for the parties are: Grantor: If Technical: Wendy Ford Economic Development Coordinator iJNI: Maureen Collins-Williams, Director UNI Regional Business Center Business & Community Services 13 Page 1 of 7 410 E. Washington St. Iowa City, IA 52240 Telephone: 319-3 5 6-5248 Email: wends ford cr,iowa-city.org If Contractual: Wendy Ford Economic Development Coordinator 410 E. Washington St. Iowa City, IA 52240 Telephone: 319-3 5 6-5248 Email: wend_y-ford(a~.iowa-city.org University of Northern Iowa Cedar Falls, IA 50614-0031 Telephone: 319-273 -43 27 Email: maureen.collins-Williams@uni.edu Lori Miller Post Award Support Services Coord. Office of Sponsored Progams 213 East Bartlett Hall University of Northern Iowa Cedar Falls, IA 50614-0394 Telephone: 319-273-3217 Email: ospna,uni.edu 8. TERMINATION. Performance under this Agreement may be terminated by Grantor upon a thirty day advance, written notice. In the event of early termination of this Ageement by Grantor, Grantor shall pay all costs accrued by UNI as of the date of the notice of termination. Performance may be terminated by UNI upon a thirty-day advance, written notice if circumstances beyond its control preclude continuation of the project. In the event of early termination of this Ageement by UNI per this clause, no sums shall be due and owing to UNI by Grantor. 9. GENERAL TERMS A. UNI shall not commit any of the following employment practices and agrees to prohibit the following practices in any subcontracts. 1. To discharge or refuse to hire any individual because of their race, color, religion, sex, national origin, disability, age, marital status, sexual orientation or gender identity. 2. To discriminate against any individual in terms, conditions, or privileges of employment because of their race, color, religion, sex, national origin, disability, age, marital status, sexual orientation or gender identity. B. This Agreement shall be binding upon the successors and assigns of the parties hereto, provided that no assignment shall be without the written consent of all Parties to said Agreement. C. UNI shall at all times remain an independent contractor with respect to the services to be performed under this Agreement, and nothing contained in this Ageement is intended to, or shall be construed as, creating or establishing the relationship of employer/employee between the parties. UNI shall have all rights to control the manner of the work in progress. The City shall be exempt from payment of or withholding for all Unemployment Compensation, FICA, retirement, life and/or medical insurance and Workers' Compensation Insurance, as UNI is an independent Contractor. D. It is agreed by the Grantor that all records and files pertaining to information needed by UNI for the project shall be available by said Grantor upon reasonable request to UNI. The Grantor agrees to furnish all reasonable assistance in the use of these records and files. E. It is further agreed that no Party to this Agreement shall perform contrary to any state, federal, or local law or any of the ordinances of the City of Iowa City, Iowa. F. The Grantor agrees to tender to UNI all fees in a timely manner, excepting, however, that failure of UNI to satisfactorily perform in accordance with this Agreement shall constitute Bounds for the City to terminate the agreement and withhold payment for unaccrued costs as outlined in Section 8 above. Page 2 of 7 G. Should any section of this Agreement be found invalid, it is agreed that the remaining portion shall be deemed severable from the invalid portion and continue in full force and effect. H. Upon signing this agreement, UNI acknowledges that Section 362.5 of the Iowa Code prohibits a City officer or employee from having an interest in a contract with the City, and UNI hereby certifies that no employee or officer of the City, which includes members of the City Council and City boards and commissions, has an interest, either direct or indirect, in this agreement, that does not fall within the exceptions to said statutory provision enumerated in Iowa Code Section 362.5 (2009). IN WITNESS WHEREOF, the parties have caused these presents to be executed in duplicate as of the date of the last signature below written. /UNI-:--~ By: Paul Below Title: Grants and Contracts Administrator Office of Sponsored Programs University of Northern Iowa Date ~A ) Y, ~lty Attorney's af'tice t '~• f. ~ P'. ~i~i~~~i ~egenia Bailey Mayor City of Iowa City December 1, 2009 __. Date Page 3 of 7 Appendix A SCOPE-OF-WORK Phase 1 Conduct exhaustive secondary research associated with several key areas: a. An analysis of emerging industries, with an emphasis upon creative technology applications across a multitude of sectors, including green technologies, information solutions, arts, media, education and others as they are identified. b. Identification and analysis of emerging entrepreneurs by age, income, education, ethnicity, race and gender, with a strong focus upon data which mirrors existing population demographics/ psychographics identified by the Market Niche Study of the Iowa City area in 2007. c. A search for best practices among successful downtown incubation programs nationwide, with a focus upon public/private sector partnerships and leveraging of creative class innovators. This research will form the foundation for Phase 2 through Phase 4 activities by offering direction concerning which kinds of industries and entrepreneurs the City of Iowa City has the potential to attract, thus meeting the long term goals of new business development, diversification and existing business support. In advance of embarking upon Phase 2 primary research, The UNI Regional Business Center proposes to summarize the secondary research findings and present an initial report to the City of Iowa City and other key stakeholders associated with the project at a roundtable planning session. Phase 2 Utilizing the results of Phase I research, new primary research will be undertaken to understand the breadth and depth of the existing business marketplace associated with the identified creative technology industries in and around Iowa City. UNI Strategic Marketing Services will develop a comprehensive survey instrument to secure the information needed for the critical decision making process. Phase 3 Interviews with existing service providers offering entrepreneurial assistance in the Iowa City area will be conducted. These interviews will specifically identify the kinds of business and entrepreneurial services currently available or planned by various service providers, including: All service provider partners will be polled concerning their interest in providing programmatic, financial or collaborative support. Letters of support and/or commitment will be secured as appropriate. This information will be used to develop a spectrum of available services and capital, and to identify gaps among service providers that can be filled by the new incubation program. Page 4 of 7 Phase 4 An analysis of the four identified properties in the district believed to be viable locations for the Creative Technologies Incubator will be conducted. Property owners will be contacted to determine their level of interest in a public private partnership. Each property will be researched to determine its viability in the context of the emerging business model for the incubator. All sites will be evaluated but the following criteria serve as a guideline for initial evaluation: a) Total number of square feet available for business incubation space, as identified by the emerging model requirements of Phase 1 research. b) Current layout of space including ease of remodeling, expansion potential and needed physical improvements. c) Location in the district and proximity to known amenities or disruptive elements. d) Architectural features (sense of place) and/or unique partnership opportunities. e) Location `fit' with the identified needs of the target entrepreneurs. A location criteria checklist will be developed by the iJNI RBC, approved by City staff and completed for each location evaluated. Other locations may emerge during this research; when identified, those locations will be included in this Phase as well. The LTNI RBC proposes to evaluate a maximum of 6 locations for this project. This analysis assumes communications between City staff and the Economic Development Administration (EDA) will take place in advance of work to confirm the guidelines by which EDA will financially support apublic/private partnership and to clarify real estate ownership issues. A preferred site will be identified at the conclusion of this research and a rough construction cost estimate will be secured from a local architect associated with cost per square foot remodel for the preferred site. Additional cost estimates associated with furnishings and fixtures, equipment and/or other incubator amenities will be developed. Phase 5 The feasibility report will bring the aforementioned primary and secondary research together, offering a well researched, detailed model for a Creative Technologies Incubator in downtown Iowa City. The final report will include the following Recommendations: a) The industries which are most apt to fill a niche in the marketplace, be sustainable into the 21S` century while strengthening the existing mix of business, industry and services currently in place in downtown Iowa City. b) A demographic and psychographic profile of likely entrepreneurs in the selected industries, compared and contrasted with the demographics/psychographics of Iowa City entrepreneurs identified by the 2007 Market Niche Analysis and other census sources. Market penetration strategies will be outlined to help recruit initial incubator tenants into program services. c) A recommendation and justification for a single preferred Creative Technologies Incubator location and if merited, additional location recommendations for expansion d) A set of financial reports, including a summary of space needs, adaptive re-use remodeling requirements and, average commercial square foot costs projections for the preferred location; a set of pro-forma financial projections outlining lease and vacancy rates, cost of services, management and other operational costs, coupled with sources of revenue to secure a successful program. Page 5 of 7 Task: Project Organization and Management Initial Project Meeting with Iowa City Staff December 2009 Project Monitoring Meetings- Ongoing Phase I -Secondary Research Secondary Research on Industry, Entrepreneurs, etc. December 2009 Phase 2 -Primary Research Conduct Business Survey January 2010 Analyze Results of Survey February 2010 Phase 3 -Service Provider Interviews November 2009 Collection of data/interviews January 2010 Phase 4 -Location Analysis November-December Research of 4-6 downtown properties (discovery phase) January 2010 Site Review and analysis January 2010 Adaptive Re-Use Cost Development February 2010 Phase S- Feasibility Study Development- January 2010 Compilation/Analysis of all data February 2010 Report Development March 2010 Table 1-Project Management and Time Line Lead Role RBCBCS BCS RBC SMS SMS RBC BCS RBC RBCBCS RBC RBCBCS Support Role SMS RBC RBC BCS BCS Page 6 of 7 Appendix B BUDGET University M I%casi6i/iry Sterdy for a Creative TecHreolagies lucubalor N~~e~°/~~®+wr~ Downtown Iowa City, lorva Pro'cct Bud yet I~tstitution: Universit of•Noe•tlrern Iowa Pro'ect Title: Total Pro'ect Period: Prom k0/1/09 To: 1/30110 Sh R ucst are Cost 10H109-1130170 Page 7 of 7 ~~ M~~ ~ f Prep'd by: Sarah E. Holecek, First Asst. City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5030 RESOLUTION NO. 09-374 RESOLUTION AUTHORIZING THE MAYOR TO SIGN AND THE CITY CLERK TO ATTEST THE FIFTH AMENDMENT TO THE PENINSULA NEIGHBORHOOD DEVELOPMENT AGREEMENT BETWEEN THE CITY OF IOWA CITY AND PENINSULA DEVELOPMENT COMPANY, L.L.C. (PDC) WHEREAS, pursuant to the Peninsula Neighborhood Development Agreement as amended, the parties established deadlines for Developer's purchase of successive phases within the Peninsula Neighborhood, with failure to meet said conveyance deadlines constituting a default under the agreement; and WHEREAS, subsequent to establishing said deadlines for conveyance, a regional flood and national economic recession has caused the rate of sales within the Peninsula Neighborhood to be slower than anticipated; and WHEREAS, Peninsula Development Company, L.L.C. (PDC) has increased its construction, marketing and management efforts and, given its significant investment in the Peninsula Neighborhood, remains committed to building out the Peninsula Neighborhood as envisioned by the City and PDC; and WHEREAS, as a result of the impact of these market factors, and with the desire to continue to build out the Peninsula Neighborhood, PDC has requested an eighteen (18) month extension of the January 1, 2010 closing deadline for conveyance of the Peninsula Neighborhood Third Addition to July 1, 2011, with closing dates of the remaining phase to be set for closing three (3) years after the closing date for the Third Addition (per the terms of the existing second amended agreement); and WHEREAS, while the amended Agreement requires 50% of each preceding phase to be built out prior to closing on each succeeding phase, to avoid moving to successive phases without completion, the developer is also requesting to modify the Agreement such that it may close on a subsequent phase when 50% of the lots owned by the developer are built out rather than requiring build out of 50% of each preceding phase; and WHEREAS, given PDC's increased construction, marketing and management efforts, stated commitment to developing the Peninsula Neighborhood as envisioned and designed, and recent residential real estate market difficulties, it is reasonable, appropriate and in the public interest to grant PDC's requested extension of the closing deadline for conveyance of the Peninsula Neighborhood Third Addition to July 1, 2011 by amendment of the development agreement in accordance with the amendment attached hereto. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. The Mayor is authorized to sign and the City Clerk to attest the Fifth Amendment to the Peninsula Neighborhood Development Agreement attached hereto. 2. The City Clerk is hereby directed to record said amendment upon passage of this resolution at the Developer's expense. Passed and approved this 1st day of ATTEST: City Attorney's Office ~~/z~~~~°~ Resolution No Page 2 09-374 It was moved by 0' Donnell and seconded by Champion the Resolution be adopted, and upon roll call there were: AYES: x x X ~_ x X NAYS: ABSENT: Bailey Champion Correia Hayek O'Donnell Wilburn Wright wpdata/glossary/resolution-ic.doc Prep'd by: Sarah E. Holecek, First Asst. City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5030 FIFTH AMENDMENT TO PENINSULA NEIGHBORHOOD DEVELOPMENT AGREEMENT This Fifth Amendment to the Peninsula Neighborhood Development Agreement is hereby made and executed by the City of Iowa City (hereinafter "City"), 410 East Washington Street, Iowa City, Iowa 52240 and Peninsula Development Company, LLC (hereinafter "PDC" and/or "Developer"), 44700 Groesbeck Highway, Clinton Township MI, 48036. The City is a municipal corporation organized under the laws of the State of Iowa. PDC is a limited liability corporation organized under the laws of the State of Michigan. WHEREAS, The City of Iowa City and Terry L. Stamper Holdings, LLC entered into the Peninsula Neighborhood Development Agreement which was recorded at Book 2986, Page 49, Records of the Recorder of Johnson County, Iowa, and the first amendment thereto, which was recorded at Book 3060, Page 735, Records of the Recorder of Johnson County, Iowa; and WHEREAS, Terry L. Stamper Holdings, LLC assigned all its rights under the Peninsula Neighborhood Development Agreement to PDC; and WHEREAS, the City and PDC entered into a second amendment to Peninsula Neighborhood Development Agreement which was recorded at Book 3686, Page 718-732, Records of the Recorder of Johnson County, Iowa; and WHEREAS, the City and PDC entered into a third amendment to the Peninsula Neighborhood Development Agreement which was recorded at Book 3949, Page 421-425, Records of the Recorder of Johnson County, Iowa; and WHEREAS, the City and PDC entered into a fourth amendment to the Peninsula Neighborhood Development Agreement which was recorded at Book4214, Page 172-177, Records of the Recorder of Johnson County, Iowa; and WHEREAS, pursuant to the Peninsula Neighborhood Development Agreement as amended, the parties established deadlines for Developer's purchase of successive phases within the Peninsula Neighborhood, with failure to meet said conveyance deadlines constituting a default under the agreement; and WHEREAS, subsequent to establishing said deadlines for conveyance, the nation has experienced an economic recession, the region experienced severe flooding and the rate of sales within the Peninsula Neighborhood has been slower than anticipated; and WHEREAS, PDC has increased its construction, marketing and management efforts and, given its significant investment in the Peninsula Neighborhood, remains committed to building out the Peninsula Neighborhood as envisioned by the City and PDC; and WHEREAS, as a result of the impact of these market factors, and with the desire to continue to build out the Peninsula Neighborhood, PDC has requested an eighteen (18) month extension of the January 1, 2010 closing deadline for conveyance of the Peninsula Neighborhood Third Addition to July 1, 2011; and WHEREAS, while the amended Agreement requires 50% of each preceding phase to be built out prior to closing on each succeeding phase the developer is also requesting to modify the Agreement such that it may close on a subsequent phase when 50% of the lots owned by the developer are built out; and WHEREAS, given PDC's increased construction, marketing and management efforts, stated commitment to developing the Peninsula Neighborhood as envisioned and designed, and recent residential real estate market difficulties, it is reasonable, appropriate and in the public interest to amend the conditions precedent to closing on phases within the development and to grant PDC's requested extension of the closing deadline for conveyance of the Peninsula Neighborhood Third Addition to July 1, 2011. NOW, THEREFORE, FOR GOOD AND VALUABLE CONSIDERATION AND THEIR MUTUAL PROMISES AND CONVENANTS, THE PARTIES HEREBY AGREE AS FOLLOWS: Section F of the Second Amendment to the Peninsula Neighborhood Development Agreement, recorded at Book 3686, Page 718-732, Records of the Recorder of Johnson County, Iowa, is hereby amended to read in its entirety as follows: Conditions Precedent to Conveyance. Prior to the conveyance of any further Phases or portion thereof, the Developer shall: 1. Submit a final plat for the phase and obtain final plat approval from the City; and 2. Complete the sale of or commence construction on at least 50% of the units owned by PDC, its partners, members, employees or affiliated companies as determined by the City in its sole discretion; and 3. Install and obtain the City's acceptance of the public improvements and install any private open space amenities, or, in the alternative, provide escrow funds for 110% of the cost thereof, in each preceding Phase; and 4. Comply with the OPDH/Regulating Plan in each preceding Phase; and 5. Submit to the City evidence satisfactory to the City that the Developer has the financial ability to install the necessary public improvements and private amenities in conformance with the Construction Plans and Final Plat of the phase or portion thereof to be conveyed. Upon approval of the final plat for each Phase and upon the Developer's satisfaction of the conditions precedent to conveyance, the City shall transfer the ownership of the Phase (or portion thereof if the parties mutually agree) to PDC in accordance with the provisions of Section H of this Agreement. 2. Section G of the Second Amendment to Peninsula Neighborhood Development Agreement, recorded at Book 3686, Page 718-732, Records of the Recorder of Johnson County, Iowa, is hereby amended to read in its entirety as follows: Deadlines for Conveyance. Closing on Developer's purchase must occur on or before: 1. July 1, 2011 for the Peninsula Neighborhood Third Addition; and 2. Within three (3) calendar years of closing on the Third Addition, the Developer shall close on the acquisition of the Fourth Addition. Failure of the Developer to meet the conditions precedent to conveyance enumerated in Section F hereof within the deadlines for conveyance set forth in Section G hereof shall be a default under this agreement, and subject the Developer to the provisions of Section Q hereof. 2. The parties hereto acknowledge and agree that only the Conditions Precedent to Conveyance outlined in Section F and the Deadlines for Conveyance outlined in Section G of the Second Amendment to the Peninsula Development Agreement have been modified by this Fifth Amendment to the Peninsula Development Agreement, and all other terms and conditions outlined in the Peninsula Development Agreement, as amended, shall continue in full force and effect. DATED this ~ day of ~~~~2L ' 2009. PENINSUJ~.A DEVELOPM~IT Cf~MPANY, L.L.C. ~ ~ // / ~ By: Manager B A By: ~ y ~~~ 'an K. Karr, City Clerk CITY OF IOWA CITY, IOWA STATE OF IOWA ) )ss: JOHNSON COUNTY ) On this ~ day of ~~c~aE2 , 2009, before me, the undersigned, a Notary Public in and for said County and State, personally appeared Regenia D. Bailey and Marian K. Karr, to me personally known, who being by me duly sworn, did say that they are the Mayor and City Clerk, respectively, of said municipal corporation executing the within and foregoing instrument; that the seal affixed thereto is the seal of said municipal corporation; that said instrument was signed and sealed on behalf of said municipal corporation by authority of City Council of said municipal corporation; and that the said Regenia D. Baifey and Marian K. Karr acknowledged the execution of said instrument to be the voluntary act and deed and said municipal corporation, by it and by them voluntarily PYP(`I ItP('~ SONDRAEFORT Commission Number 159791 M~ Commission Expires Ste, Notary Public in and for the State of Iowa STATE OF MICHIGAN ) ss: ~`7A~dr1?,~3 COUNTY) On this ~ + day of d' 2009, before me, a notary public in and for the State of Michigan, personally appeared Wayne Webber, to me personally known, who being by me duly sworn did say that the person is a Manager of PENINSULA DEVELOPMENT COMPANY, L.L.C., a Michigan limited liability company, and that said instrument was signed on behalf of the said limited liability company by authority of its managers and the said Wayne Webber acknowledged the execution of said instrument to be the voluntary act and deed of said limited liability company by it voluntarily executed. . ~'~ ~ Not ry Publ~'iri and for the State of Michigan ~/~ Prep'd by: Sarah . Holecek, First Asst. City Attorney, 410 E. Washin on St., Iowa \ City, IA 52240 (319) 356-5030 FIFTH AMENDMEN\T.TO PENINSULA NEIGHBORHOOD VELOPMENT ,` AGREEMENT ,l This Fifth Amendment to~~he Peninsula Neighborh d Development Agreement is hereby made and executed by the City of low City (hereinafter "City"), 410 East Washington Street, Iowa City, Iowa 522 and Peninsula Development Company, LLC (hereinafter', "PDC" and/or `Developer"), 44700 Groesbeck Highway, Clinton Township N91, 48036. T e City is a municipal corporation organized under the laws of 'the Stat of Iowa. PDC is a limited liability corporation organized under the I~ws of a State of Michigan. WHEREAS, The City of Iowa City ~~ d Terry L. Stamper Holdings, LLC entered into the Peninsula Neighborhood a elopment Agreement which was recorded at Book 2986, Page 49, Record of th Recorder of Johnson County, Iowa, and the first amendment thereto, ,which s recorded at Book 3060, Page 735, Records of the Recorder of Johnson Coul~ty, Iowa; and WHEREAS, Terry L. Stamper Holdings, L`LC assigned all its rights under the Peninsula Neighborhooc~'Development Agre ent to PDC; and F, WHEREAS, the City,'and PDC entered into a econd amendment to Peninsula Neighborhood Development Agreement which w s recorded at Book 3686, Page 718-732, Records of the Recorder of Johnson Co ty, Iowa; and WHEREAS, the City and PDC entered into a third endment to the Peninsula Neighborhood Development Agreement which was re rded at Book 3949, Page 421-425, Records of the Recorder of Johnson County, wa; and WHEREAS, the City and PDC entered into a fourth amen ment to the Peninsula Neighborhood Development Agreement which was recorde at Book4214, Page 172-1~7, Records of the Recorder of Johnson County, Iowa; nd WHEREAS, pursuant to the Peninsula Neighborhood Develo ent Agreement as amended, the parties established deadlines for Develope purchase of successive phases within the Peninsula Neighborhood, with failur2_ to meet said conveyance deadlines constituting a default under the agreement; and.,, WHEREAS, subsequent to establishing said deadlines for conveyance, the nation has experienced an economic recession, the region experienced severe flooding and the rate of sales within the Peninsula Neighborhood has been slower than anticipated; and WHEREAS, PDC has increased its construction, marketing and management efforts and, given its significant investment in the Peninsula Neighborhood, remains committed to building out the Peninsula Neighborhood as envisioned by the City and PDC; and ;' WHE AS, as a result of the impact of these marke~'factors, and with the desire to cont ue to build out the Peninsula Neighborh od, PDC has requested an eighteen (18) month extension of the January 1, 2010 closing deadline for conveyan , of the Peninsula Neighborhood Thir Addition to July 1, 2011; and WHEREAS, 'chile the amended Agreemen f requires 50% of each preceding phase to be built. out prior to closing on ea succeeding phase the developer is also requesting tomodify the Agreements ch that it may close on a subsequent phase when 50% of the lots owned by the eveloper are built out; and WHEREAS, given PDC's increased onstruction, marketing and management efforts, stated commitment to dev loping the Peninsula Neighborhood as envisioned and designed, 'and rece residential real estate market difficulties, it is reasonable, appropriate and in the public interest to amend the conditions precedent to closing on phases within the development and to grant PDC's requested extension of the clb ing deadline for conveyance of the Peninsula Neighborhood Third Addition to~JUly 1, 2011. NOW, THEREFORE, FOR ~GOOf~ AND VALUABLE CONSIDERATION AND THEIR MUTUAL PROMIS~S AND~CONVENANTS, THE PARTIES HEREBY AGREE AS FOLLOWS: /! 1. Section F of the ~econd Amen ent to the Peninsula Neighborhood Development Agreement, recorded a Book 3686, Page 718-732, Records of the Recorder of Jphnson County, to is hereby amended to read in its entirety as follows~c' further Ph~es or portion thereof, the Prior to the conveyance of any ;eloper shall: 1. Submit a~final plat for the phase and City; anti 2. Complete the sale of or commence unitsrowned by PDC; and final plat approval from the on at least 50% of the 3. Ins4all and obtain the City's acceptance of the pub ~c improvements and install any private open space amenities, or, in the Iternative, provide escrow funds for 110% of the cost thereof, in each prec ding Phase; and ~_ 4. ,~'~ Comply with the OPDH/Regulating Plan in each preceding ase; and ~. Submit to the City evidence satisfactory to the City that the Developer has ` the financial ability to install the necessary public improvements and ~ private amenities in conformance with the Construction Plans and Final Plat of the phase or portion thereof to be conveyed. Upon approval of the final plat for each Phase and upon the Developer's satisfaction of the conditions precedent to conveyance, thy` City shall transfer the ownership of the Phase (or portion thereof if the parties f~nutually agree) to PDC in acc dance with the provisions of Section H of this A Bement. 2. Sects n G of the Second Amendment to Peninsula Neighborhood Develment Agreement, recorded at Book 36 ,Page 718-732, Records of the Re rder of Johnson County, Iowa, is reby amended to read in its entirety a~ follows: Deadlines fo~c Conveyance. Closing on D 'veloper's purchase must occur on or before: ~`~~ 1. July 1, 2011 foc the Peninsula Nei boyhood Third Addition; and 2. Within three (3)~'~alendar year of closing on the Third Addition, the Developer shall cld¢e on the acquisition of the Fourth Addition. Failure of the Developer f megE the conditions precedent to conveyance enumerated in Section F here'~f thin the deadlines for conveyance set forth in Section G hereof shall be a fault under this agreement, and subject the Developer to the provisions of Stion Q hereof. 2. The parties hereto ac ovule a and agree that only the Conditions Precedent to Conveya ce outlin d in Section F and the Deadlines for Conveyance outlined ,in Section of the Second Amendment to the Peninsula Development Agreemen~• have been modified by this Fifth Amendment to the Peninsula Develop ent Agreement, and all other terms and conditions ou~ined in the Peni ula Development Agreement, as amended, shall corxtinue in full force and a ect. DATED this ~~ day of , PENINSULA DEVELOPMENT COMPANY, L.L.C. JI 1 By. Wayne Webber, Manager i j,~ (~ CITY OF 11QWA CITY, IOWA By: Regenia D. alley, Mayor ATTEST: By: Marian K. Karr, City Clerk STATE OF IOWA ) )ss: JOHNSON COUNTY ) On this `~ day of , 2009, before me, the undersigned, a Notary Public in a~nc for said County and State, personally- appeared Regenia D. Bailey and Marian K. Karr, to me personally known, who being by me duly sworn, did say that they are the Mayor and City Clerk, respectively, of said municipal corporation executing the within and foregoin~.~instrument; that the seal affi~Ced thereto is the seal of said municipal corporation; that saict, instrument was signed end sealed on behalf of said municipal corporation by authoritj~,of City Council of said! municipal corporation; and that the said Regenia D. Bailey and 111larian K. Karr ackngwledged the execution of said instrument to be the voluntary act and deed and said municipal corporation, by it and by them voluntarily executed. ~ Notary Public in and for the State of Iowa STATE OF MICHIGAN ) ss: COUNTY ) On this day of public in and for the State of M personally known, who being by i PENINSULA DEVELOPMENT G' and that said instrument was s g authority of its managers and t e said instrument to be the voly°nt~ voluntarily executed. / / 2009, before me, a notary ,higan, per onally appeared Wayne Webber, to me ie duly savor did say that the person is a Manager of iMPANY, L.L. , a Michigan limited liability company, red on behalf of a said limited liability company by said Wayne Web r acknowledged the execution of y act and deed of s id limited liability company by it Notary Public in and for the State of Michigan 17 r ~~.!_,:,®~,~ CITY OF 1QWA CITY ~~'~~~- E~~RA~D~~ Date: November 23, 2009 To: City Council From: Jeff Davidson, Director, Department of Planning & Community Development Re: Resolution amending Peninsula Neighborhood development agreement In the mid-1990s, the City purchased the Peninsula property in conjunction with several utility easements which needed to be extended across the area due to the construction of the new water treatment plant. It was easier to buy the entire area, extend our utilities, and then sell the property we did not need. The lower area was set aside as public open space which now includes the Peninsula Park well field area, the disc golf area, and Thornberry Dog Park. The upper portion of the Peninsula was designated for a traditional neighborhood development now known as the Peninsula Neighborhood. The City Council selected a private developer from several development proposals to construct the Peninsula Neighborhood according to a traditional neighborhood development model that had been prepared by the City. A purchase agreement was developed which divided the property into phases. Once at least 50% of a phase is complete, then the succeeding phase can be purchased. There were conveyance deadlines established for purchasing each of the phases. This arrangement was established so that the City could ensure that development of the property occurred according to the agreed to traditional neighborhood model, and according to an agreed to timeline. The Peninsula Development Company, LLC now controls two of the four phases of the Peninsula Neighborhood. The deadline for conveying Phase 3 to the developer is January 1, 2010. The developer has not been able to meet the contractual requirement of completing 50% of Phase 2 and is requesting an extension of the deadline for purchasing the third addition to July 1, 2011. At the present time, 77% of Phase 1 is built out and 23% of Phase 2 is built out in the Peninsula Neighborhood, a total of 52% of the two phases combined. Attached is a letter from the Peninsula Development Company outlining their rationale for the deadline extension. Staff has met with the developer and discussed the various issues. We are recommending approval of the deadline extension for the following reasons: The principal capital investor of the Peninsula Neighborhood development team has recently reorganized the company efforts in Iowa City and we believe is moving in the right direction. This includes significant maintenance and landscaping of the property which has occurred already. 2. The new development group is getting a better handle on local real estate conditions in Iowa City. They have adjusted price points to more realistic levels and have all properties listed with local real estate agents. They have also made significant changes to their marketing plan, which are highlighted in the attached letter, 3. We concur that the local real estate market has been depressed because of the national economy and has caused a decline in real estate sales that is reflected in all subdivisions in Iowa City. The flood of 2008 did not help matters either, in that the inundation of Dubuque Street cut off the Peninsula from the remainder of Iowa City. 4. The developer remains committed to the traditional neighborhood development model. We also recommend approval of the requested modification to the phasing plan. The existing arrangement puts pressure on the developer to concentrate sales in the phase which leads to the ability to purchase the next phase. For example, at this time the developer has indicated they would like to finish building out Phase 1, establishing a consistent character for the neighborhood which is especially important in a traditional neighborhood development. The more you build of a traditional neighborhood, the more the full concept becomes apparent. However, the developer is forced by the existing development agreement to focus on building in Phase 2 because that is where their attention must be in order to enable the purchase of Phase 3. We concur with the recommendation that the agreement be modified to state that at least 50% of the property under the developer's ownership be developed before the next phase can be purchased. As a point of information, the existing 85 dwelling units which have been built in the Peninsula Neighborhood on property under control of the Peninsula Development Company generate $292,000 annually in property taxes. Bring any questions or comments to the November 30 work session. cc: Bob Miklo Richard L. Gibbs, Chief Financial Officer, Peninsula Development Company ppdd i r/mem/ResAmend Pen Neig hborhood. doc THE ~BB~R GROUP X710 Morley Drive Clinton Township, MI X8036 586 X65-3800 F~ 586 X65-3808 November 23, 2009 The Iowa City, City Council ATTN: Marina Karr, City Clerk 410 E. Washington Street Iowa City, Iowa 52240 Re: Revised Letter -Proposed Fifth Amendment to Peninsular Neighborhood Development Agreement Dear Ms. Karr: Attached please find our revised letter with the extension dates of January 1 2010, until July 1, 2012 corrected to January 1, 2010, until July 1, 2011. This is the .only change reflected in the letter. Sincerely, ~~ ) ,~,~ ,~( ~~1~.~/*" ( ~ Richard L. Gibbs Chief Financial Officer RLG / nlt ~~ ~ .!~'C t.7 ,, .=s ~~ _ ~._ 4 ~a ~~ T~~ ~BB~R GROUP X710 Morley Drive Clinton Township, MI 48036 586 ~G5-3800 Fax 586 X65-3808 November 23, 2009 The Iowa City, City Council ATTN: Marina Karr, City Clerk 410 E. Washington Street Iowa City, Iowa 52240 Re: Proposed Fifth Amendment to Peninsula Neighborhood Development Agreement Dear Council Members: I am writing this letter to the Iowa City, City Council to request an extension of time for the Peninsula Development Company, L.L.C., to purchase Phase 3 of the Peninsula Development project from January 1, 2010, until July 1, 2011, as well as to modify one other provision of the development agreement as will be more further discussed in the following. Wayne W. Webber has been a capital investor in the project since January, 2004, and has recently decided to become actively involved in the project and has assigned a new management team to run and complete the development. Mr. Webber is part of a group of investors who have made significant investments into the project and who hope to protect and realize on their investments. The new management team includes the following: Patrick Stewart, a residential builder and developer with twenty plus years of experience, who has moved to Iowa City to oversee the completion of the project; John Meusling, a project manager of The Webber Group for over twenty years, who has been assigned to support Mr. Stewart in his efforts to complete the project; and Richard L Gibbs, the Chief Financial Officer of The Webber Group and has been asked to provide financial and accounting support to the successful completion of the project. November 23, 2009 The Iowa City, City Council Page 2 of 3 Since becoming involved in the late spring, our team has undertaken the following: 1) An extensive effort to clean up the project including: a) Upgrading, replacing and adding landscaping to the project and assuring it will be properly maintained going forward, b) Performing overdue maintenance on the twenty-four unit condominium building, c) Completing lingering maintenance issues on both units held in inventory and homes previously sold to third parties, and d) Assuring the grounds in general are clean and presentable. 2) We are in the process of completing the infrastructure (roads, sewer and utilities) in Phase 2A of the project. This should be completed by the end of the year. 3) We are in various phases of construction on two new single family homes and two four-plex units. 4) We are in the process of obtaining building permits for seven additional single family homes. One or two of the homes will be fully furnished to serve as models. The remainder will be available for sale. We expect to break ground on at least some of the units by the end of the year. 5) We have spoke at length with local real estate brokers to determine realistic asking prices for the units we have in inventory and have adjusted our prices in response to their input. For instance, we have dropped the price of our largest condominium units from $190,000 to $162,900 and our middle units from $145,000 to $124,000. 6) We have rethought our marketing plan and have made changes to it such as: A) We have put a fresh face on our existing sales office and greatly expanded the materials available to show and give to potential buyers, B) We now have all of our units listed with local real estate agents, C) We have contracted with a computer consultant to substantially upgrade our website to include virtual tours of the homes and make it more user friendly, D) We are using incentives such as matching the $8,000.00 federal tax credit for first time buyers, and E) We are entering into a contract to run commercials on local cable TV. We are totally committed to expending the resources necessary to complete this project as originally envisioned. ., _. ~..~ _, ~ __.. ~ ~% :~- ~ f -, November 23, 2009 The Iowa City, City Council Page 3 of 3 We are asking for the assistance of City Council as follows: 1) We would like to extend the due date for purchasing Phase III of the project from January 1, 2010, until July 1, 2011. Our current contract with the city allows for the due date to purchase phases to be extended when one or more events beyond our control occur. This provision is found in Paragraph 7 of Section L. Since signing the last extension, there has been a major flood in Iowa City and the home building industry, if not the entire economy, has gone into a deep recession. These conditions have slowed our progress, but as noted above, we have taken action and made further investments to improve the marketability, prices and quality of the neighborhood. 2) We would like to modify the contract to allow us to purchase Phase III when 50% of the total lots we own are developed as opposed to 50% of the lots in each phase we own. The structure of the agreement has caused us to move from phase to phase without actually completing any of the phases. The modification we are requesting will allow us to complete Phase I of the project and complete subsequent development in amore orderly fashion. To summarize, we have invested significant dollars into the Peninsula neighborhood. We continue to be committed to the city's vision for a mixed use, walkable neighborhood with a mix of housing prices. We would like to thank the Council in advance for their consideration in this matter and invite the members of council to come to The Peninsula Development to see first hand the progress we have made. Sincerely, Richard L Gibbs, Chief Financial Officer RLG/ nlt . -` . ~:~ ' ,a . ... -:l .~~ ~I-i~ ~BB~R GROUP X4710 Morley Drive Clinton Township, MI ~80<36 586 X65-3800 Fax 586 X65-3808 November 1'Y~, 2009 The Iowa City, Ci Council ATTN: Marina Kar City Clerk 410 E. Washington reet Iowa City, Iowa 52240 Re: Proposed Fif Amendment to Peninsula eighborhood Development greement Dear Council Members: I am writing this letter to the I a City, Ci Council to request an extension of time for the Peninsula Develop ent Co any, L.L.C., to purchase Phase 3 of the Peninsula Development proje t fro January 1, 2010, until July 1, 2012, as well as to modify one other pro i n of the development agreement as will be more further discussed in the f lowing. Wayne W. Webber has been a apita investor in the project since January, 2004, and has recently deci ed to be me actively involved in the project and has assigned a new man ement team to run and complete the development. Mr. Webber is part of a,g'roup of investo s who have made significant investments into the~3r'oject and who ho e to protect and realize on their investments. ~' The new manament team includes the fo owing: Patrick Stewart, a residential bu.}'l~der and developer with twen plus years of experience, who has moved to Io a City to oversee the completion of the project; John Meusling, a project m gager of The Webber Group for ove twenty years, who has been assignedf~support Mr. Stewart in his efforts t complete the project; and Richar~~L Gibbs, the Chief Financial Officer of T e Webber Group and has been asked to provide financial and accountings port to the successful completion of the project. _ ~. ~~ November 17, 2009 The Iowa City, City Council Page 2 of 3 Since becoming involved in the late spring, our team has undertaken the following: 1) An extensive effort to cle up the project including: ~~ a) Upgrading, replacing a adding landscaping to the proje t and assuring it will be prope maintained going forward, b) Performing overdue maint nance on the twenty-four un' condominium building, c) Completing lingering mainte ance issues on both its held in inventory and homes previou ly sold to third par ' s, and d) Assuring the grounds in gene 1 are clean and resentable. 2) We are in the process of completi g the infrastr cture (roads, sewer and utilities) in Phase 2A of the projec This sho d be completed by the end of the year. 3) We are in various phases of constr ction n two new single family homes and two four-plex units. 4) We are in the process of obtaining b 'ding permits for seven additional single family homes. One or two of e homes will be fully furnished to serve as models. The remainder ill be available for sale. We expect to break ground on at least some the nits by the end of the year. 5) We have spoke at length with ocal re 1 estate brokers to determine realistic asking prices for th units w have in inventory and have adjusted our prices in res nse to the input. For instance, we have dropped the price of our argest condo inium units from $190,000 to $162,900 and our mid e units from $ 45,000 to $124,000. 6) We have rethought o r marketing plan nd have made changes to it such as: A) We have put a esh face on our exis i~ expanded the aterials available to s B) We now hav all of our units listed wi C) We have c tracted with a computer upgrade r website to include virtual more us r friendly, D) We are sing incentives such as matc: credit or first time buyers, and E) We e entering into a contract to run We are total committed to expending the reso project as iginally envisioned. g sales office and greatly ~w and give to potential buyers, 1 local real estate agents, ~nsultant to substantially tours of the homes and make it the $8,000.00 federal tax iercials on local cable TV. necessary to complete this v~ November 17, 2009 The Iowa City, City Council Page 3 of 3 We are asking for the assistance of City Council as follows: 1) We would like to extend the due date for purchasing Phas III of the project from January 1, 2010, until July 1, 2012. Our c rrent contract with the city allows for the due d "te to purchase phases to be extended when one or more events beyon our control occur. T is provision is found in Paragraph 7 of Section L. Since signing the ast extension, there has been a major flood in owa City and the me building industry, if not the entire econo y, has gone into a deep recession. These conditions have slowed o progress, bu as noted above, we have taken action and made further i vestments t improve the marketability, prices and quality of the neighbo hood. 2) We would like to modify the cont act to al w us to purchase Phase III when 50% of the total lots we ow are d eloped as opposed to 50% of the lots in each phase we own. Test cture of the agreement has caused us to move from phase to h se without actually completing any of the phases. The modification are requesting will allow us to complete Phase I of the project a complete subsequent development in amore orderly fashion. To summarize, we have invested s~ nifica neighborhood. We continue to b commi use, walkable neighborhood wi a mix o thank the Council in advance or their co the members of council to c e to The PE hand the progress we have ade. Sincerely, ~' , (~ ~~ Richard L Gibbs; Chief Financi Officer RLG / nlt GL. ~t dollars into the Peninsula :ed to the city's vision for a mixed housing prices. We would like to ~sideration in this matter and invite ~insula Development to see first Page 1 0~ ~~ Marian Karr From: AL WELLS [al.wells@earthlink.net] Sent: Tuesday, December 01, 2009 3:14 PM To: Council Subject: FW: Deny Extension Tonight Attachments: LOITP PENINSULA PHASE 3.jpg From: AL WELLS [mailto:al.wells@earthlink.net] Sent: Tuesday, December 01, 2009 2:58 PM To: 'regenia-bailey@iowa-city.org' Cc: 'amy-Correia@iowa-city.org'; 'matt-hayek@iowa-city.org'; 'ross-Wilburn@iowa-city.org'; 'mike-Wright@iowa-city.org' Subject: Deny Extension Tonight Hello Honorable Mayor and City Council Members, I am requesting that you do not grant another 18 month extension to Peninsula Development Company LLC for the purchase of Phase 3 of the Peninsula Neighborhood tonight at the Iowa City Council meeting. I have attached a Letter of Intent to Purchase Property (Phase 3) with adequate conditions to allow the City and myself to sit down and look at the possibilities of a local group of builders and subcontractors that will develop, build, and market with the best interest of the City of Iowa City in mind in Phase 3 and 4. I have been involved since 2000 when this TND development was proposed , I went to Denver with the Terry Stamper group as an outside builder. I am a firm believer in this project and think it is good for the city to seek other options especially since you have my proposal to purchase in writing (attached). I will be at 400.2908 to answer any questions or to discuss....time is running out.... if the extension is granted the potential development of this phase is dead in the water until August 1, 2011 and the overall setback of construction will have been 4 years. I will be at the meeting tonight if there is any open discussion possible. Please deny the extension tonight and let me and other qualified builders make The Peninsula Neighborhood a success for everyone involved. My Best, AI Wells PLACE PARTNERS LLC. Development Brokers Consultants AI Wells PO BOX 2224 IOWA CITY, IOWA 52244 319.400.2908 T 319.624.1345 F Licensed Iowa Realtor 12/ 1 /2009 Letter of Intent to Purchase Property "The Peninsula Neighborhood Phase Ili" December 1, 2009 Purchase Price ................................................................................$63,420.00 (40 +-final site-plan approved units X $3,171.00) 1. Purchase is subject to Buyer/Developer obtaining a Preliminary Plat approval that is already designed for the original 6 phase development; final plat approval by City Council per the "Developers Agreement" dated May 3`d 2001 as it relates specifically to acquiring Phase 3. 2. With acceptance by of the "Developers Agreement" as it pertains to Phases 3, 4, by March 1, 2010 or sooner. Formal Purchase Agreement by AI Wells Ambrose & Boyd with 10 % earnest money with a closing date determined by mutual agreement. 3. Additionally Phase 4 may be acquired by Buyer/Developer under the same terms and conditions as Phase 3 within (2}years or sooner from closing on Phase 3. 4. Buyer/Developer will have a Model Home to market from with Open Houses and various marketing events throughout the year. Buyer/Developer plans to live on-site. 5. Buyer/Developer and or all select "TND Certified Builders" in Phase 3 will employ Iowa City contractors for at least 75% of construction labor and materials and will show proof of local employment to Buyer/Developer at time of building permit being issued. 6. Buyer/Developer of Phase 3 will offer "TND Certified Builders" lot(s) to purchase at (Buyer/Developers cost + 50 % Markup} to construct an approved Phase 3 plan. Payable at closing to City of Iowa City ..........................................$63,420.00 BUYER/DEVELOPERryP~eninsul/~a Partners LLC p By: .1~ /[,C~~,t~w0~- Date "~a SELLER City of Iowa City By: Date Sarah E Holecek, First Assistant City Attorney M~0 18 Prepared by: Susan Dulek, Asst. City Attorney, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5030 RESOLUTION NO. 09-375 RESOLUTION AUTHORIZING THE CITY MANAGER TO SUBMIT ALL DOCUMENTATION NECESSARY TO ACCEPT CDBG FLOOD RECOVERY GRANTS FOR PROPERTY ACQUISITION, RELOCATION OF THE NORTH WASTE WATER TREATMENT FACILITY, AND INSTALLATION OF THE ROCKY SHORE DRIVE LIFT STATION AND AUTHORIZING THE CITY MANAGER AND MAYOR TO EXECUTE AND CITY CLERK TO ATTEST TO ALL DOCUMENTS NECESSARY TO ACQUIRE THE PROPERTIES. WHEREAS, the Iowa Department of Economic Development ("IDED") has informed the City that it has been awarded CDBG (Community Development Block Grant) flood recovery funds to acquire properties in Parkview Terrace Subdivision that were not eligible for the Hazard Mitigation Grant Program (a/k/a, FEMA buyout); WHEREAS, IDED has also informed the City that it has been awarded CDBG flood recovery funds to assist with the cost to relocate the north waste water treatment facility; WHEREAS, IDED has also informed the City that it has been awarded CDBG flood recovery funds to assist with the cost to install a lift station, valves, and flood gates along Rocky Shore Drive; and WHEREAS, the City Council finds that the public interest will be served by accepting said funds and acquiring said properties. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: The City Manager is authorized to execute all necessary documents to accept the CDBG funds to acquire properties in Parkview Terrace Subdivision that were not eligible for the Hazard Mitigation Grant Program, to assist with the cost to relocate the north waste water treatment facility, and to assist with the cost to install a lift station, valves, and flood gates along Rocky Shore Drive; and 2. Upon the direction of the City Attorney, the City Manager and Mayor are authorized to execute and the City Clerk to attest to all documents necessary to acquire properties through the CDBG buyout program, including but not limited to purchase agreements and the deed restriction agreements. Passed and,~proved this 1st day of December, 2009. ATTESTS// ~` ~ CIT LERK City Attorney's Office Resolution No. 09-375 Page 2 It was moved by Hayek and seconded by Wilburn the Resolution be adopted, and upon roll call there were: AYES: X X X ~.-_ X ~_ X NAYS: ABSENT: Bailey Champion Correia Hayek O'Donnell Wilburn Wright wpdatalglossary/resolution-ic. doc 7L-U7-Uy M-~ 19 Prepared by: Ron Knoche, City Engineer, 410 E. Washington St., Iowa City, IA 52240; (319) 356-5138 RESOLUTION NO. 09-376 RESOLUTION SUPPORTING THE FEDERAL FISCAL YEAR 2011 AND 2012 SURFACE TRANSPORTATION PROGRAM AND TRANSPORTATION ENHANCEMENT FEDERAL FUNDING RECOMMENDATION FOR THE IOWA CITY PROJECTS AS APPROVED BY THE JOHNSON COUNTY COUNCIL OF GOVERNMENTS TRANSPORTATION TECHNICAL ADVISORY COMMITTEE WHEREAS, the Transportation Technical Advisory Committee (TTAC) has made a recommendation for the allocation of federal funds for the Federal Fiscal Year 2011 and 2012 Surface Transportation Program and Transportation Enhancement Federal Funding; and WHEREAS, the TTAC funding recommendation is attached; and WHEREAS, Iowa City Resolution 01-169 requires that City Council appointees vote in accordance with City Council Policy as established by motion, resolution, or ordinance. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: 1. The City Council supports the full funding of Iowa City projects by the Johnson County Council of Governments as recommended by the TTAC. 2. The City Council appointees to the Johnson County Council of Governments Urbanized Area Policy Board wilt vote in accordance with this resolution. .,,, ,,,, Passed ai ATTEST: It was moved by Champion and seconded by 0' Donnell the Resolution be adopted, and upon roll call there were: AYES: x x ~_ x x Pweng/res/fy2011-12stp-tef.doc NAYS: ABSENT: Bailey Champion ~_ Correia Hayek O'Donnell Wilburn x Wright Federal Funding Recommendations By The JCCOG Transportation Technical Advisory Committee 1111012009 Nt-I~ 20 Prepared by: Dale Helling, Interim City Manager, 410 E. Washington St., Iowa City, IA 52240 (319) 356-5013 RESOLUTION NO. 09-377 RESOLUTION ESTABLISHING CITY OF IOWA CITY 2010 LEGISLATIVE PRIORITIES WHEREAS, the Iowa City City Council seeks to encourage legislation that enhances economic development and opportunity in Iowa City as well as the State of Iowa; and WHEREAS, the City of Iowa City and other cities play a critical role in the future of the State; and WHEREAS, it is in the interest of the citizens of Iowa City that the City Council establish legislative priorities and convey said priorities to State legislators who directly represent Iowa City, as well as to other State legislators. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF IOWA CITY, IOWA, THAT: The Iowa City City Council hereby outlines its legislative priorities to the Iowa City area legislative delegation for the 2010 Iowa State legislative session as follows: 1. Tax non-owner occupied condominiums as commercial properties. 2. Hotel/Motel Tax -increase maximum tax option from 7% to 9%. 3. Tax Increment Financing - no changes or further restrictions. 4. Increase fees for cigarette licenses (have not increased in over 20 years). 5. Municipal Fire and Police Retirement System -work with Iowa League of Cities to contain future costs to employers under this system. 6. Funding support for Passenger Rail initiatives: a. Commuter Rail b. Extension of AMTRAK to Iowa City from the Quad Cities 7. I-JOBS -support another round of funding of at least the same amount as last session - $118.5 million. 8. Alcoholic beverages: a. State statute to restrict price specials and related promotions that encourage excessive consumption. b. There is local concern about under-reporting revenue from cash-only cover charges, as well as the concern that this is essentially a charge that supplements below-cost drink specials, thereby encouraging excessive drinking. c. Increase fees for liquor and beer licenses. 9. The City supports the legislative priorities set forth by the Iowa League of Cities for the 2010 legislative session. Passed and approved this 1st day of December , 20~_ ~. MA by ATTEST: A~~ ~- ~~~/ v l ~.~~(~~.~/ ~ ~~ ~ ~-`~ -'~ / IT ERK City Attorney's Office wpdatalmgr/assures/20101egislativepriorties.doc Resolution No. 09-377 Page 2 It was moved by Wilburn and seconded by 0 ~ Donnell the Resolution be adopted, and upon roll call there were: AYES: NAYS: ABSENT: x x X x X X X Bailey Champion Correia Hayek O'Donnell Wilburn Wright wpdata/glossary/resolution-ic.doc