HomeMy WebLinkAbout175 - 11/24/1981 - AUTHORIZING THE EXECUTION OF AN AGREEMENT FOR THE PURCHASE OF APPROXIMATELY 60 ACRES AND THE OPTION ORDINANCE NO 175 , 1981
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AUTHORIZING THE EXECUTION OF AN AGREEMENT
FOR THE PURCHASE OF APPROXIMATELY 60 ACRES
AND THE OPTION OF APPROXIMATELY 60 ACRES OF
REAL PROPERTY FROM FUQUA ENTERPRISES AND
AUTHORIZING BORROWING BY EXECUTION OF
PROMISSORY NOTES AND PROVIDING FOR PAYMENT THEREON
WHEREAS, Fuqua Enterprises is the owner of approximately 120 acres of
real property located generally to the northeast of the intersection of
Trilby Road and Highway 287, which property is or may be useful to the City
for various municipal purposes, and
WHEREAS, Fuqua Enterprises is willing to convey approximately 60 acres
of said property to the City, in fee simple absolute, and free and clear of
all liens and encumbrances, in consideration of the payment of a purchase
price of FOUR HUNDRED T14ENTY-TWO THOUSAND DOLLARS ($422,000) upon the terms
and conditions as hereinafter stated, and
WHEREAS, Fuqua Enterprises is further willing to grant to the City,
upon its payment of the sum of FOURTEEN THOUSAND DOLLARS ($14,000), a six
month option for the purchase of approximately 60 additional acres in the
aforesaid vicinity to be used as a community park site Said option shall
provide for the purchase of said property for the sum of FOUR HUNDRED
TWENTY THOUSAND DOLLARS ($420,000) with the option sum of FOURTEEN THOUSAND
DOLLARS ($14,000) to be applied to the purchase price and upon such addi-
tional terms and conditions as are generally stated hereinafter, and
WHEREAS, the City is authorized, pursuant to Article V, Section 20 3,
of the Charter of the City of Fort Collins to issue revenue securities by
City Council action and without an election, and
WHEREAS, the Light and Power Utility has adequate funds in its capital
reserve account to meet the payment schedule of any pronissory notes
executed in connection with the aforesaid transaction, and
WHEREAS, the City Council finds the existence of an emergency and a
threat to the preservation of public property if said transaction cannot be
closed during the 1981 calendar year and finds that unless *his Ordinance
is passed as an Emergency Ordinance, a timely closing cannot be held,
and
WHEREAS, the purchase and option of the aforesaid property, upon the
terms and conditions as herein stated, and as may be more expressly pro-
vided in the agreement between the City and Fuqua Enterprises, is deemed by
the Council of the City of Fort Collins to be in the best interests of the
citizens of the City
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS
Section 1 That the Mayor be, and he hereby is, authorized to enter
into an agreement with Fuqua Enterprises whereby the City of Fort Collins
shall
1 Purchase approximately 60 acres of real property located in the
vicinity of the intersection of Trilby Road and U S Highway 287 for the
purchase price of FOUR HUNDRED TWENTY-TWO THOUSAND DOLLARS ($422,000) with
the sun of TWO HUNDRED FORTY THOUSAND DOLLARS ($240,000) plus customary
closing costs payable at the time of delivery of the deed, and with the
execution, by the City, of its promissory note in the sum of ONE HUNDRED
EIGHTY-TWO THOUSAND DOLLARS ($182,000) , which note shall bear interest at
the rate of ten percent per annum, with defaulting interest at the rate of
18% per annum, and shall be payable upon the following terms
a $100,000 principal plus accrued interest shall be due January
5, 1982
b The principal balance of $82 ,000 00 plus all remaining
accrued interest shall be due January 5, 1983
At the time of closing, Fuqua Enterprises shall execute and deliver to
the City its general warranty deed conveying the subject property to the
City in fee simple absolute and free and clear of all liens and encum-
brances
2 Obtain an option for a term of six months, for the purchase of
approximately 60 additional acres in the aforesaid vicinity for use as a
community park site The purchase price for said option shall be FOURTEEN
THOUSAND DOLLARS ($14,000) , which amount shall be applied to the purchase
price of FOUR HUNDRED TWENTY THOUSAND DOLLARS ($420,000) for said 60 acre
parcel , in the event that the City should exercise the option Upon
closing of said optioned property, the City shall pay, in cash or certified
funds, the sum of TWO HUNDRED SIX THOUSAND DOLLARS ($206,000) , plus custo-
mary closing costs Further, the City shall execute its promissory note in
the sum of TWO HUNDRED THOUSAND DOLLARS ($200,000) , which note shall bear
interest at the rate of 10% per annum, with defaulting interest at the rate
of 18% per annum, and shall be payable upon the following terms
a One Hundred Thousand Dollars ($100,000 00) principal plus
accrued interest shall be due on January 5, 1983
b One Hundred Thousand Dollars ($100,000 00) principal plus
accrued interest shall be due on January 5, 1984
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At the time of closing, Fuqua Enterprises shall execute and deliver its
warranty deed, at the time of closing, conveying said option property to
the City in fee simple absolute, and free and clear of all liens and
encumbrances As expenditures are incurred by the Light and Power Depart-
ment in connection with the purchase of Parcel 2, said Department shall be
reimbursed accordingly from other appropriate funds of the City
Section 2 That the immediate adoption of the foregoing measure is
necessary to preserve, protect, and advance the general welfare and safety
of the residents of the City of Fort Collins Therefore, the City Council
hereby determines that an emergency does exist, requiring the immediate
passage of this ordinance, and this ordinance is therefore enacted, pur-
suant to Section 6, Article II of the Charter of the City of Fort Collins,
as an emergency ordinance and shall become effective upon its passage
Introduced, considered favorably by 7 members of the City Council
upon reading, finally passed as an Emergency Ordinance and ordered pub-
lished this 24th day of November , A D 19f31
qin��rk
May 6 r
nA\J\T]1T,.ESTT
City Clerk`
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