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HomeMy WebLinkAboutGREYROCK COMMONS - Filed GC-GENERAL CORRESPONDENCE - 2004-08-09Linder Real Estate August 15, 1993 Dave Stringer Chief Construction Inspector City of Ft. Collins Engineering Dept. P.O. Box 580 Ft. Collins, CO 80522 Dear Dave: It is my desire to post a letter of credit to collateralize a portion of the water line that I do not wish to build at this time on my Briarwood MRD project. The property is in the county (off Liberty Drive), but in the UGA and served by city water and sewer. This letter shall serve to document the situation and should be attached to and kept with the letter of credit and contractor's estimate of costs involved. The approved plans call for me to extend a 6" water line 344' to the north property line of the three -lot MRD. I am the owner of Tract A to which this line is being extended. I am presently under contract to sell Lots 1 and 2 to a group of people who have formed the Ft. Collins Cohousing Community, L.L.C.. This group also has an option for a one year period to purchase Tract A. They plan on processing a PUD through the county for a 25-lot development on this property and replatting everything. The 6" water line that I am required to extend would be of no use to them because its alignment does not work with their site plan. Therefore, it doesn't make much sense to build it now, never use it, and abandon it within a year. I have already extended the 6" main to the end of the cul-de-sac, put in three services to serve my three lots, and a fire hydrant. With these things in place and a collateralized escrow arrangement such as this done, the Water and Wastewater Department will sign off on my plans and allow my plat to be recorded so I can sell Lots 1, 2, and 3. I have chosen not to collateralize the improvements cost with the county, so I must do all the improvements first, get them all signed off, and then they will sign off on the plat and I can sell the lots. My arrangements with the Group are as follows: Specializing in Development Properties 309 W. Harmony Road ' ' Fort Collins, Colorado 80526 (303) 229-0544 Dave Stringer Page 2 9. Seller agrees to install 6" water line to beyond the end of the cul-de-sac; install hydrant as shown, and collateralize the additional extension of the water line to the North boundary of the road right-of-way to allow the Briarwood MRD plat to be recorded. Seller has priced the property to purchaser improved as set forth above based on agreement with purchaser that for their purposes this line extension is unnecessary and undesirable. Seller shall enter into an escrow agreement with the City of Fort Collins that states that should purchaser be successful in their attempts to replan and replat the propertyy, then at time of County Commission approval this escrow shall be released and returned to seller. If purchaser's an requires this water line, even if in its present alignmen it shall be purchaser's obligation to pay for it and construe it. The cost of. this water line has not been reflected in the purchase price of the property andpurchaser shall have nq rights to expect to use said line: or said escrow money. Should purchaser terminate this contract:, or purchase Lots 1 & 2 and fail to obtain their project a proval and not exercise the option and resell Lots 1 & 2, then i shall be the seller's obligation to install this line in accordancewith the escrow a reement. Seller and purchaser shall enter into an agreement closing concerning this issue. This may seem a little unusual, but they did not want to pay for something they in all likelihood would not need. They also wanted to purchase fully developed lots so that if their development plans failed to be approved, or failed to get financed, they they will resell the lots and be done. So I would see this working as follows: 1. I collaterali'_ze the water line extension and they purchase the lots and submit their plan to the county expecting a nine month processing time. 2. If they fail„ they resell Lots 1 and 2 and never exercise their option on Tract A in which case I will install the line and request return of the letter of credit. 3. If their plan gets approved, the line will not have to be built, or will become their obligation to build under our arrangement and I will request the return of the letter of credit. 4. If their plans fall totally apart and they fail to purchase lots 1 and 2, then I will complete the line and request the return of the letter of credit. Please consider this arrangement. If you or Mark Taylor see any problems with it, I will redo this letter. The letter of credit will be in your format in the amount of 150% of the contractor's estimate, or $8,724. Very truly yours, Mark Linder cc: Mark Taylor BRIARWOOD MRD Develt ient Services Engineering Department City of Fort Collins September 13, 1993 Mark Lender Linder Real Estate 3500 JFK Parkway Suite 221 Fort Collins, Co. 80525 Re: Water and Sewer lines at Briarwood MRD a County Subdivision Dear Mr. Mark: This letter is to inform you that the water and sewer mainlines and services installed by Hahn Construction in conjunction with the Briarwood MRD project have been inspected, tested and initially accepted by the city. The final acceptance of the mainline utilities will not occur until after the contractors normal 2 year warranty period ( September 13, 1995 ). Please be informed as per City of Fort Collins Code the maintenance of the sewer and water service lines become the responsibility of the property owner after the warranty period has expired. If you have questions please contact me at 221-6605. Sincerely, Pavia S`t��� Chief Construction Inspector cc: file Briarwood MRD 181 A'cnth ( allege A%enue • P.O- Bov -,80 • Fort Collins, CO 80522-0580 • (303) 221-660; Key Bank of Colorado 0--ff A KeyCorp Bank BANK 300 West Oak P.O. Box 2182 Fort Collins, Colorado 80522 (303)482-3216 September 3, 1993 City of Fort Collins 300 LaPorte Avenue Fort Collins, Co 80521 Dear Sirs: We hereby establish, at the request and for the account of Linder Real Estate and Development Co. in your favor as beneficiary, cur Irrevocable Letter of Credit No. KBCO-001, in the amount of EIGHT THOUSAND SEVEN HUNDRED FORTY-TWO AND NO HUNDREDTHS DOLLARS ($8,742.00) (as more fully described below), effective immediately and expiring at the close of banking business on September 2, 1994, unless automatically renewed as herein provided, at our office at 300 W. Oak, Fort Collins, Colorado. This Letter of Credit is intended for the Briarwood MRD project for the assurance of the completion of the water line. Funds under this Letter of Credit are available to you for one or more drawings prior to the close of business on September 2, 1994 (unless automatically renewed as provided herein) against sight drafts in an aggregate cumulative amount not to exceed $8,742.00, dated the date of presentment, drawn on our office referred to above, referring thereon to the number of this Letter of Credit and accompanied by your written certificate signed by you and acknowledged as therein provided in the form of Exhibit 1 hereto. Presentation of such draft and certificate shall be made at our office referred to above. Upon the earlier of (i) our honoring your draft(s) totaling $8,742.00 in the aggregate presented on or before this Letter of Credit expires pursuant to the terms herein or (ii) the surrender to us by you of this Letter of Credit for cancellation, this Letter of Credit shall automatically terminate. This Letter of credit shall be automatically renewed annually, commencing immediately before the end of the initial term or any renewal term, unless the issuer is notified in writing by the beneficiary sixty (60) days prior to such annual expiration date that this Letter of Credit is cancelled. The issuer may terminate this Letter of Credit at the end of the America's neighborhood bank initial term or any renewal term provided that the issuer give the beneficiary sixty (60) days advance written notice of the issuer's intent to so terminate. This Letter of Credit shall be governed by the laws of the State of Colorado, including the Uniform Commercial Code as in effect in the State of Colorado. Communications with respect to this Letter of Credit shall be addressed to us at the office referred to above, specifically referring to the number of this Letter of Credit. This Letter of Credit is not transferable. This Letter of Credit sets forth in full our undertaking, and such undertaking shall not in any way be modified, amended, amplified or :Limited by reference to any document, instrument of agreement referred to herein; and any such reference shall not be deemed to incorporate herein by reference any document, instrument or agreement except for such certificate and draft(s). Since ly, Howard C. Wigert Commercial Loan Offi er EXHIBIT 1 CERTIFICATE The undersigned hereby certifies as follows with respect to the certain Irrevocable Letter of Credit No. KBCO-001 dated September 3, 1993, established in favor of The City of Fort Collins, Colorado (the "Letter of Credit"): (a) He (she) is authorized to execute this Certificate on behalf of The City of Fort Collins; (b) The sum of $8,742.00, which is the amount of the draft presented with this Certificate, is the amount currently due to The City of Fort Collins from Linder Rea:L Estate and Development Co.; (c) The amount of the accompanying draft together with all previous draws under the Letter of Credit do not exceed in the aggregate $8,742.00; and (d) The Letter of Credit has not expired. IN WITNESS WHEREOF, the undersigned has executed this Certificate on behalf of The City of Fort Collins this day of THE CITY OF FORT COLLINS, COLORADO A Municipal Corporation UZ Title STATE OF COLORADO ) ) ss. County of Larimer ) Subscribed and sworn to before me this day of _, , by as authorized officer of The City of Fort Collins, Colorado. Witness my hand and official seal. Notary Public My Commission Expires: City of Fort Collins Community Planning and Environmental Services Engineering Department MEMORANDUM DATE: November 08,1994 TO: Karla Smith, City Clerk's Office FROM: Dave Stringer, Chief Engineering Inspector---,-;� RE: Release Letter of Credit Please release the amount $8,742.00 held in the form of Letter of Credit for water line improvements at Briarwood MRD. Release the amount of $8,742.00 to: Engineering Dept. City Of Ft. Collins cc: Briarwood MRD 281 North College Aaenue • P.O. Box 580 • Fort Collins, CO 80522-0580 • (303) 221-6605 Linder Real Estate October 19, 1994 City of Fort Collins Water Utility Mr. Mark Taylor P.O. Box 580 Fort Collins, CO 80522 Dear Mark: I have recently sold all of my interest in my Briarwood MRD property to the Fort Collins Cohousing Community, Limited Liability Company. They now own Lots 1, 2 and Tract A and have processed a new development plan through Larimer County for the entire property. Enclosed are copies of the deeds to them, the Findings and Resolution from the commissioners evidencing their project approval, and a copy of my agreement with them concerning the water line extension and letter of credit that I have posted securing my obligation to install that line. The purpose of this letter is to request the release and return of my letter of credit that I turned in to Dave Stringer. They now own all of the affected property and have a new approved plan which nullifies the need for this line extension. My bank has extended the letter of credit original term with me until 12/3/94. I would like to retrieve it personally from Dave before that date. Please process this request and call me at 229-0544 if you have any questions, or problems with this. Very truly yours, Mark Linder ML:cll Enclosures DATE: Specializing in Development Properties 350o J.F.K. Parkway #221 � Fort Collins, Colorado 80525 i 1 (303) 229-0544