1987-04-22 Title ExaminationROBERT J. MILLER, P.A.
GARY J. MEYER, P.A.
LAW OFFICE
MEYER & MILLER
A Partnership of Professional Corporations
9405 - 36TH AVENUE NORTH
NEW HOPE, MINNESOTA 55427
GARY J. MEYER, P.A.
(612) 542-3030
April 22, 1987
File No. 1840.131
The City of Albertville
ATTN: Loretta Roden, Mayor
Maureen Andrews, City Administrator
Albertville, MN 55301
Ladies and Gentlemen:
LEGAL ASSISTANT
GAIL RANDALL
At your request we have examined title to the following
described property, to wit:
Lots 1 and 2, Block 9, Barthel's Industrial Park, according
to plat on file and of record in the office of the County
Recorder in and for the County of Wright, State of Minnesota,
said property being located in the City of Albertville,
from the Abstract of Title submitted to us containing 246 entries
and last certified by the Campbell Abstract Co. under the date
of March 10, 1987, at 8:00 a.m.
From such examination we are of the opinion that on said
date title of record was vested in the following:
Albertville Industrial Development Co., a partnership,
subject to the following:
1. Mortgage in favor of Ignatius Breun and Bridget Breun,
as joint tenants, dated December 30, 1977, recorded January 5,
1978, in Book 177 of Mortgages at page 735, File No. 321719.
The mortgage is in the original amount of $242,800 and was due
and payable in full on September 1, 1984. The mortgage was extended
through a document dated October 9, 1984, recorded November 5,
1984, in Book 197 of Mortgages at page 580, File No. 390815.
The date to which the mortgage was extended does not appear of
record.
ALBERTVILLE OFFICE:
5951 LARGE AVENUE
P.O. BOX 51
ALBERTVILLE, MN 55301
(612) 497-3838
April 22, 1987
Page Two
2. Taxes due and payable in the year 1987 are not listed.
The taxes are listed as "not available". Taxes due and payable
in 1986 and prior years appear to be paid.
3. Developer's Agreement between the City of Albertville
and Barthel Homes, Inc., a Minnesota corporation, dated September 10,
1979, recorded October 17, 1979, at Book 75 of Miscellaneous at
page 201, File No. 342276. A copy of the Developer's Agreement
is hereto attached as Exhibit "A".
This title opinion is also made subject to the items on the
attached printed cover.
Very truly yours,
MEYER & MILLED'"
By:
GJM/gr
Attachments
Gary Jr M�ye't-r-P.A.
241. Developer's Agreement
City of Albertville, a
municipal corporation,
hereinafter referred to
"C i t y"
.and
Dated Sept. 10, 1979 Rec.Oct. 17, 1979 at 11 A.M.
Book 75 of. Misc., page 201 File No. 342276
Signed by City of Albertville, by Cornelius L. Paulson,
its Mayor, Donald'Berning,its City Clerk,
as the Developer, Barthel Homes, Inc. by Ken. A.
Barthel, its Pres., Catherine A. Barthel, its
Secy. No Corp. Seal
Ack. Sept. 10, 1979 in 2 sep. acks.
Barthel Homes, Inc., a
Minnesota corporation, hereinafter
referred to as the "Developer"
WHEREAS, the Developer has made application for and has received approval of a plat
of land within the corporate limits of the City, said plat described as "Barthel's
Industrial Park" and whereas Developer desires that there be constructed within said
plat certain roadways, water and sewer mains and storm sewer, and that the cost for same
be assessed back against said property;
WHEREAS, the City is desirous to cooperate with said Developer in providing certain
improvements to said property, which would be assessed back to the property as special
assessments, and the City issue certain bonds for said improvements provided this
Developer Agreement is executed;
WHEREAS, the Developer intends to assign his rights and oblications under this
Agreement to a partnership comprising of the following persons: Roger Scherer,
Michael Scherer, Gregory Scherer, Gary Scherer, Roy Ekrem, Joseph C. Anton, Jr.,
Donald Anundsen, and Kenneth Barthel;
NOW, THEREFORE, in consideration of the mutual covenants, promises and conditions
hereinafter contained, it is hereby agreed as follows:
1. In accordance with the policies and ordinances of the City, the following
described "Improvements" shall be constructed and installed on the terms and conditions
hereinafter contained:
a) Street grading, graveling and stabilizing;
b) Storm sewers, as determined to be necessary by the City Engineer;
including all necessary catch basins, inlets and other appurtenances;
c) Sanitary sewer laterals or extensions, including all necessary building
services, and other appurtenances;
d) Watermain laterals or extensions, including all necessary building
services, hydrants, valves and other appurtenances;
2. The Developer hereby warrants and represents to the City that its interest
in said plat and subdivision is that of fee owner.
3. The ,above -described improvements which the Developer has petitioned the Ciry
to install and finance through the regular City assessment procedure are hereinafter
referred to in their aggregate as "Improvements".
4. The Developers agree that the entire cost of the installation of the said
improvements including all reasonable engineering, legal and administrative costs
incurred by the City and which are attributed to the benefit of the Barthel Industrial
Park is to be assessed against the parcels of land in said Barthel Industrial Park.
5. The parties hereto agree on the following assessment terms:
a) 20 even annual installments of combined principal and interest with
the first installment coming due with taxes payable in 1981;
b) Interest on said special assessments to be at the rate of 8% per annum.
c) In the evene a permit application is made or a parcel sold by Warranty
Deed or a building permit is granted prior to the fall of 1980 when the
assessment role is actually filed, the Developer will escrow with the
City an amount equal to 1.25 times the estimated amount of the assessment
against that particular parcel of property. To the extent that escrow
exceeds the later determined assessment, the excess escrowed amount
would be returned to the Developer or his assigns, together with anv
Interest earned by the City on said excess amount.
d) The entire balance of special assessments due against a given parcel of
property within the development shall be paid in full at the time of
building permit application or upon the deliver_ of a Warranty Deed for
the given parcel, whichever event shall occur first. In the event any
parcel is sold pursuant to a Contract for Deed, the Developer, for
himself, and his assigns, agrees that the Contract for Deed will contain
terms stating that a default by the Contract Vendee in regard to the payment
of any special assessments due against said parcel shall be a default
udder the Contract. Further, it is agreed that in the event a parcel is
sold pursuant to a Contract for Deed, the payment of special assessments
shall remain the responsiblity of the Developer for purposes of
this Agreement and particularly in regard to the Letter of Credit
mentioned hereinafter.
(continued)
241. (continued)
6. In order to provide security to the City in regard to the payment of
special ,►r,:,es,ments, the Developer or his assigns, agrees to provide to the City an
irrevocable Letter
of Credit from a reputable lending institution payable to the City
of Albertville
in the amount of $300,000.00. The Letter of. Credit may be drawn upon by
the City upon the
City presenting the Letter of Credit to the lending institution in
accordance with
the following terms:
a)
The Letter of Credit which will be in effect until December 31, 1980,
may be drawn upon by the City in its entirety in the event the City
does not receive an extension of that Letter of Credit effective
through December 31, 1981. The City must receive this extension
of the Letter of Credit through December 31, 1981, on or before
December 10, 1980.
b)
The Letter of Credit which will be in effect until December 31,
1981, may be drawn upon by the City in its entirety in the event
the Developer, its successors or assigns does not pay the semi annual
assessments due on May 31, 1981, or October 31, 1981. Further, the
City may draw upon said Letter of Credit in its entirety if the
City does not receive an extension of the Letter of Credit effective
through December 31, 1982. The City must receive this extension
of the Letter of Credit through December 31, 1982, on or before
December 10, 1981.
c)
Tile Letter of Credit which will be in effect until December 31,
1982, may be drawn upon by the City in its entirety in the event
the Developer, its successors or assigns does not pay the semi annual
assessments due on May 31, 1982, or October 31, 1982. Further, the
City may draw upon said Letter of Credit in its entirety if the
City does not receive an extension of the Letter of Credit effective
through December 31, 1983. Said receipt of the extension of the
Letter of Credit must be received by the City on or before December 10,
1982.
d)
Tile Letter of Credit which will be in effect until December 31,
1983, may be drawn upon by the City in its entirety in the event
the Developer, its successors or assigns does not pay the semi annual
assessments due on May 31, 1983, or October 31, 1983. Further, the
City may draw upon said Letter of Credit in its entirety if the
City does not receive an extension of the Letter of Credit effective
through December 31, 1984. Said receipt of the extension of the
Letter of Credit must be received by the City on or before December 10,
1983.
e)
The Letter of Credit which will be in effect until December 31, 1984,
may be drawn upon by the City in its entirety in the event the
Developer, its successors or assigns does not pay the semi annual
assessments due on May 31, 1984, or October 31, 1984. Further, the
City may draw upon said Letter of Credit in its entirety if the
City does not receive an extension of the Letter of Credit effective
through December 31, 1985. Said receipt of the extension of the
Letter of Credit must be received by the City on or before December 10,
1984.
f?
The Letter of Credit which will be in effect until December 31, 1985,
rymv be drawn upon by the City in its entirety in the event the
Developer, its successors or assigns does not pay the semi annual arse -
mcnts due on May 31, 1985, or October 31, 1985.
iz
The amount of the letter of Credit which is required for the veers
1"S'l, 1(184 and 1985 pursuant to Paragraphs 6d), 6e) and 6f) above,
may he ;n an amount equal to the total amount due on the principal
and interest pavment on the bonds for those years combined, if that
total amount is less than $300,000.00.
h)
The amount that the City may draw on the Developer's LEtter of Credit
in the years 1983, 1984 and 1985, may not exceed the total amount
due on they principal and interest payments on the bonds for those years
combined.
i)
"file amount drawn on the Letter of Credit by the City, if any, will
not be reduced by the amount of prepayment which had been made in
the previous year, but would be reduced by the proportion in the
amount of the annualized portion of the prepayment as compared to
the total annual installment due of the assessment in that year.
Any amount drawn on the Letter of Credit shall, however, be subtracted
from the final installments due on the total assessment in inverse•
order.
(continued)
241. (continved)
i) It is agreed that the City exercising its rights in the Letter of
Credit in no way precludes the pity from its normal recourse in the
event of unpaid assessment installments.
k) The City agrees to give Developer, its successors or assigns, 10 days
written notice before presenting the Letter of Credit for payment;
the written notice shall state the reasons for presenting the
Letter of Credit.
7. The City agrees to maintain the septic tank system and drain field to
be located on or near Lot 12, Block 2, Barthel's Industrial Park, until such time as tl
City's own sewage disposal system is completed and it is no longer necessary to use
the septic tank system and drain field to service Barthel's Industrial Park.
S. The City further agrees that the special assessments levied on Lot 12,
Block 2, Barthel's Industrial Park, shall be deferred with no interest until the Citv'!
own sewage disposal system is completed and it is no longer necessary to use said Lot
for sewage disposal in Barthel's Industrial Park.
?. The terms and provisions hereof shall be binding upon and inure to the
benefit of the heirs, representatives, successors and assigns of the parties hereto
and shall be binding upon all future owners of any or any part of the said Subdivision
known as Barthel's Industrial Park, and shall be deemed covenants running with the land.
References herein to Developer, if there be more option of the City, shall be placed or
record so as to give notice hereof to subsequent purchasers and encumbrancers or all or
any part of the Subdivision and all recording fees, if any, shall be paid by the Develc:c,
10. All plans, special provisions, proposals, specifications and contracts
for the improvements financed and let pursuant to this Agreement shall be and hereby ar:
made a part of this Agreement by reference as fully as if set forth herein in full.
242. Warranty Deed
Barthel Hcmes, Inc., a
Minnesota Corporation
to
Albertville Industrial Development
Dated Ncv. 13, 1979 Rec. Nov. 21, 1979 at 4 l'M
Book 295 of Deeds, page 412 File No. 343314
Consideration $1. & og & vc. Wit. - -
Signed properly by Kenneth A. Barthel, its Pres.
Corp. Seal
Ack. Nov. 13, 1979 before John R. Cries, NP, lien
Co., Minn. 6/3/81 Form reg. Seal affixed
Co., a Partnership Conveys: Lot 1, Block 1; Lots 1-12, Block 2;
Lots 1-12, Block 3; Lots 1-10, Block 5; Lots
1-6, Block 6; Lots 1-10, Block 7; Lots 1-9, Block 8; Lots 1 and 2, Block 9; Lots 1-4,
Block 10; all in Barthel's Industrial Park, Albertville.
Free exc. a certain first mortgage dated Dec. 30, 1977, between Barthel Homes, Inc., Mtgor.
and Ignatius Breun and Bridget Breun, as joint tenants and not as tenants in common, Mtgees
with a present prin. bal. of $192,500.00 with int. from Sept. 1, 1979.
243. Warranty Deed
Barthel homes, Inc., a
Minnesota Corporation
to
Albertville Industrial Development
State Deed Tax $137.50 paid
Dated Feb. 27, 1980 Rec. March 5, 1980 at 4 l'.
Book 296 of Deeds, page 208 File No. 345696
Consideration $1. & og & vc. Wit. - -
Signed properly - Kenneth A. Barthel, its Pre -
Corp. Seal
Ack. Feb. 27, 1980 before Robin J. Cverby, Ni',
Anoka Co., Minn. 10/l/86 Seal
moo., a Partnership Conveys: Lot 1, Block 1; Lots 1-12, Block 2;
Lots 1-12, Block 3; Lots 1-9, Block 4; Lots
1-19, Block 5; Lots 1-6, Block 6; Lots 1-10, Block 7; Lots 1-9, Block 8; Lots 1 and 2,
Block 9; Lots l-b, 131eck 10; all in Barthel's Industrial Park, Albertville.
Free except a certain first Mortgage dated Dec. 30, 1977, between Barthel Homes, Inc., Mtl;<i
and Ignatius Breun and Bridget Breun, as joint tenants and not as tenants in common, Mtgees.
with a present prin. bal. of $192,500.00 with int. from Sept. 1, 1979.
This document is being rec. in place of Dec. No. 343314 because an error in the legal
descripticn was trade.
State Deed Tax $2.20 paid