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HomeMy WebLinkAboutR-6046 - 148-182 Higuera - Prather Agreementa RESOLUTION NO. 6046 (1986 Series) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO APPROVING AN AGREEMENT BETWEEN THE CITY AND PAUL AND JACQUELINE PRATHER REGARDING THE PROPERTY LOCATED AT 148 -182 HIGUERA STREET BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1. That certain agreement, attached hereto marked Exhibit "A and-incorporated herein by reference, between the City of San Luis Obispo and Paul and Jacqueline Prather is hereby approved and the Mayor is authorized to execute the same. SECTION 2. The City Clerk shall furnish a copy of this resolution and a copy of the executed agreement approved by it to: Paul and Jacqueline Prather, Finance Director, Public Works Director, and City Attorney. On motion of Councilwoman.Dovey , seconded by Councilman Settle , and on the following roll call vote: AYES: Councilmembers Dovey, Settle, Griffin and Mayor Dunin NOES: None ABSENT: Councilwoman Rappa the foregoing Resolution was passed and adopted this 5th day of August 1986. RON DUNIN AT EST: r „ CITV CLERK P UAN VOGES -IZ City Adminis% �17: Pub is Works Director Finance D17 Zor R 6046 AGREEMENT BETWEEN CITY OF SAN LUIS OBISPO AND PAUL PRATHER AND JACQUELINE PRATHER REGARDING THE PROPERTY LOCATED AT 148 -182 HIGUERA STREET This Agreement is made and entered into this 5th day of August, 1986, by and between the CITY OF SAN LUIS OBISPO, a chartered municipal corporation of the State of California, ( "City ") and PAUL PRATHER and JACQUELINE PRATHER, husband and wife ( "Prather "): jointly referred to herein as the "parties" RECITALS The parties enter into and execute this Agreement with knowledge of and reliance on the following facts: 1. The City,' by adoption of its Capital Facilities Plan, intends to widen Higuera Street, north of the intersection with Madonna Road in Fiscal Year 1987 -88. In order to do so, the City must acquire land for right -of -way purposes from several property owners. 2. In November, 1985, the City acquired an option from Lorraine Evans and the Estate of Gerald B. Evans to purchase the parcel located at the southwest corner of Higuera and South Street, commonly known as 148 -182 Higuera Street ('_Evans Property "), for the sum of $490,000 cash (the "Option "). The City paid $20,000 to purchase the Option. The Option must be exercised by November 15, 1986, with escrow to close by January 15, 1987. A legal description of the Evans Property is attached hereto as Exhibit "1" and incorporated herein by this reference. 3. In order to widen Higuera Street, the City needs to (a) acquire the easterly 25 feet, or approximately 5,510.square feet, of the Evans. property, (b) demolish the existing buildings on the Evans Property. A copy of the preliminary development plan and legal description of widening EXHIBIT „A„ area is attached hereto as Exhibit "2 ", incorporated herein by this reference. 4. The City has no present or future need for that portion of the Evans Property remaining after the street is widened (approximately 34.249.6- square feet) (the "Evans Remainder "). A legal description of the Evans Remainder is attached hereto as Exhibit "3" and incorporated herein by this reference. 5. The Council finds that it would be in the City's best interest to either sell the Evans Remainder to Prather, contingent upon the City exercising the Option, or should the City decide not to exercise the Option, to assign the Option to Prather for the price City paid to acquire the Option. 6. Prather desires to either purchase the Evans Remainder at an agreed price and under specified terms and conditions, or to acquire the City's Option. VOW. THEREFORE, in consideration of the mutual and respective covenants and promises set forth herein, and subject to all the terms and conditions hereof, the parties agree as follows! A. Purchase and Sale of Evans Remainder. 1. If City exercises the Option, then City agrees to sell to Prather, and Prather agrees to buy from City, the Evans Remainder for the sum of Four Hundred Seventy Three Thousand Dollars ($473,000) cash, pursuant to the terms and conditions set forth in that Purchase Agreement and Escrow Instructions ( "Purchase Agreement "), which is attached hereto as Exhibit "4 ", and incorporated herein by this reference. 2. Upon City's exercise of the Option, the Purchase Agreement shall be immediately effective and binding on both City and Prather without further execution by the parties. Within ten (10) days of the City's -2- V exercise of the Option, City and Prather shall open an escrow on the Evans Remainder at the escrow company which is handling the escrow between the City and Lorraine Evans and the Estate of Gerald B. Evans for the acquisition of the Evans Property. The escrows shall close concurrently. B. Offer to Assign Option. 1. If City decides not to exercise the Option, then City agrees to offer to assign the Option to Prather for the sum of $20,000 cash. Such offer shall be mailed, certified mail, return receipt requested, within five (5) days after City decides not to exercise the Option, but in no event later than.November 5. 1986, to Prather at Budget Rent -A -Car of Santa Maria. 617 South Broadway, Santa Maria, CA 93454. The offer shall expire at 5:00 p.m. on the fifth day following mailing of the offer, but in no event later than Monday, November 10, 1986, unless, by the date and time specified above. Prather performs each of the following Acceptance Criteria: (1) accepts the offer in writing: (2) hand delivers the acceptance to the office of the City Attorney. 990 Palm Street, San Luis Obispo, California; (3) opens an escrow at First American Title in San Luis Obispo, California, or other escrow company or agent mutually acceptable to City and Prather; and (4) deposits the sum of $20,000 in cash or by certified or cashier's check into the escrow described in the immediately preceding subparagraph. Should Prather fail to perform all of the Acceptance Criteria by the date and time specified, then (a) the offer shall be null and void; (b) the City shall be free to assign the Option to any other person; and (c) if requested by City, Prather shall duly execute_ and acknowledge a quitclaim deed to the Evans Property and hand deliver the same to the office of the City Attorney by 5:00 p.m. on the day following the expiration of the offer, but in no event later than Tuesday, November 11, 1986. Prather shall indemnify and save City _3_- harmless from any claims, damages, or actions arising out of Prather's failure to timely execute and deliver the quitclaim deed. 2. Should Prather timely perform the Acceptance Criteria, then City shall duly execute and acknowledge an Assignment of Option in the form attached hereto as Exhibit "5" and incorporated herein by this reference, and deposit the same into the escrow opened by Prather within two (2) business days of acceptance of the offer, but in no event later than 5:00 p.m. on Wednesday, November 13, 1986. City does not represent or warrant that the Option is assignable. In the event the Option is not assignable. Prather shall have the right to repayment of the 520,000 within 30 days written demand therefor. The return of the $20,000 shall be Prather's sole remedy in the event of non - assignability of the Option. City does not make any representations or warranties concerning the Evans Property by its execution of the Assignment of Option. Escrow fees and escrow costs shall be split in the usual and customary manner. Any title insurance on the assignment of option shall be paid for by Prather. C. Entire Agreement. 1. This Agreement contains the entire agreement between the parties respecting the matters set forth herein, and supersedes any prior agreements between the parties respecting such matters. This Agreement may not be altered or otherwise modified except by an instrument in writing signed by the parties hereto. D. Representation by Counsel. 1. City and Prather acknowledge that each of them is represented by an attorney in this transaction. The parties agree that each party and counsel have reviewed this Agreement and that any rule of construction to the effect that ambiguities are to be resolved by the drafting party shall not apply in the interpretation of this agreement or any amendments or-- exhibits thereto: -4- o o E. Required Action of City and Prather. 1. City and Prather agree to execute all instruments and documents and to take all actions pursuant to the provisions hereof in order to consummate the transactions herein contemplated. IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date and year first above written. ATTEST: CTlerk Pamela Vq6es CITY CITY OF SAN LUIS OBISPO B% - y�4i Mayor Ron Dunin PRAT HE aul Prather acque ne Prather 14�t�T'3,,' �f � . , '' � 'Cif f� '�''' ��ja• �' �� � %:�o c3: �'! ;:r S: ".. >.::�� That portion of Lot 1 in Block 149 of J. Barford's Addition to the City Of San Isis Obispo, in the City of San Luis Obispo, County of San Luis Obispo, State of California, according to map filed for record April, 1876 in Book A at page 123 of Maps, described as follows.. Commencing at the Northeasterly corner of said Lot 1; and running thence Southerly along the Easterly line of said Lot, 233.92 feet to the Northeasterly corner of the property conveyed to Angelina Silacci, by deed recorded June 17, 1936 in Book 197, page 92 of Official Records, records of said County; thence North 87° 40' West along the Northerly line of the property so conveyed, 184.18 feet, more or less, to the Westerly line of said Lot 1; thence Northerly along said Westerly line, 251.18 feet, more or less, to the Northerly line of said Lot; thence Easterly along said Northerly line, 171 feet, more or less, to the point of beginning. Excepting therefrom that portion described in the deed to Martin V. Smith, et ux., recorded April 8, 1963 in Book 1234, page 395 of Official Records. Also excepting therefrom that portion described in the deed to Classic Equipment and Supply, Inc., a California corporation, recorded July 12, 1977 in Book 1994, page 179 of Official Records. EXHIBIT �� it _ �191 lj-LLU--- H J \rR r .F�lh� '� I r \DD' J\l O E V A N 8 TO CITY OF SAN LUIS OPI Sp0 SETBACK LINE WIPEN1Nfr J i TOTAL AREA: 5510 SR FT EXHO o0T 2- 06 .2D- 66 76t /s! K EVANS A portion of Lot 1 in Block 149 of J. Harford's addition to the City of San Luis obispo, in the City of San Luis Obispo, County of San Luis Obispo, State of California, according to a map filed for record in Book A at Page 12 of Maps in the Office of the County Recorder of said County, which is described as follows: Beginning at the intersection of the westerly line of Higuera St. and the southerly line of South St. as shown on the map filed in Book 6 at page 108 of Records of Surveys; thence South 30 15' 00" West along the westerly line of Higuera St. a distance of 216.46 feet to a point; thence North 860 48' 00" West a distance of 25.00 feet to a point; thence North 30 15' 00" East parallel to the westerly line of Higuera St. a distance of 200.76 feet to a point; thence on a curve to the left with a radius of 20.00 through an angle of 840 26' 30" to the southerly line of South St.; thence South 810 11' 30" East along said southerly line a distance of 43.27 feet to the POINT OF BEGINNING. tpg /evans -2 by That portion of Lot 1 in Block 149 of J. Barford's Addition to the City Of San Luis Obispo, in the City of San Luis Obispo, County of San Luis Obispo, State of California, according to map filed for record April, 1816 in Book A at page 123 of Maps, described as follows: Commencing at the Northeasterly corner of said Lot 1; and running thence Southerly along the Easterly line of said Lot, 233.92 feet to the Northeasterly corner of the property conveyed to Angelina Silacci, by deed recorded June 17, 1936 in Book 197, page 92 of Official Records, records of said County; thence North 87' 40' West along the Northerly line of the property so conveyed, 184.18 feet, more or less, to the Westerly line of said Lot 1; thence Northerly along said Westerly line, 251.28 feet, more or less, to the Northerly line of said Lot; thence Easterly along said Northerly line, 171 feet, more or less, to the point of beginning. Excepting therefrom that portion described in the deed to Martin V. Smith, et ux., recorded April 89 1963 in Book 1234, page 395 of Official Records. Also excepting therefrom that portion described in the deed to Classic Equipment and Supply. Inc., a California corporation, recorded July 12, 1,977 in Book 1994, page 179 of Official Records. Also excepting therefrom that portion described in the deed to the City of San Luis Obispo, recorded 198 Book page of Official Records, described as follows: Beginning at the intersection of the westerly line of Higuera St. and the southerly line of South St. as shown on the map filed in Book 6 at page 108 of Records of Surveys; thence South 30 15' 00" West along the westerly line of Higuera St. a distance of 216.46 feet to a point; thence North 860 48' 00" West a distance of 25.00 feet to a point; thence North 30 15' 00" East parallel to the westerly line of Higuera St. a distance of 200.76 feet to a point; thence on a curve tc the left with a radius of 20.00 through an angle of 840 26' 30" to the southerly line of South St.; thence South 810 11' 30" East along said southerly line a distance of 43.27 feet to the POINT OF BEGINNING. 4