1988-04-27 Development Agreement
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DEVELOPER'S AGREEMENT
WESTWIND
THIS AGREEMENT, entered into this lr-r+-h day offl..pL~...LJ
1988 by and between John F. Darkenwald and George W. Yankoupe,
referred to herein as "Developer"; and the CITY OF ALBERTVILLE, in the
County of Wright, State of Minnesota, hereinafter referred to as
"City";
WITNESSETH:
WHEREAS, Developer is the fee owner and developer of a parcel or
parcels of land described in Exhibit "A", attached hereto and
incorporated herein by reference which parcel or parcels of land are
proposed to developed as a subdivision in the City, and which
subdivision is intended to bear the name "Westwind" and may sometimes
hereinafter be referred to as the "Subject Property" or "Said Plat";
and
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WHEREAS, Developer's said proposal is made with the understanding
that development of the abutting commercial parcel, outlined in "red"
on Exhibit "D" will be for freeway oriented business uses; and
WHEREAS, the City has given final approval of Developer's plat of
Westwind contingent upon compliance with certain City requirements
including,but not limited to, matters set forth herein; and
WHEREAS, the City requires that certain public improvements,
which are herein referred to as "Petition Items" including, but not
limited to, sanitary sewer, water, storm sewer and streets be
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installed to serve the Subject Property and other properties affected
by the development of Developer's land. all at the expense of
Developer; and
WHEREAS, the City further requires that certain on and off-site
improvements be installed by the Developer, within the Subject
Property, which improvements typically consist of boulevard sod,
bituminous or concrete driveway approaches, drainage swales, berming
street signs, and front yard trees and like items and which
improvements to the Subject Property shall be referred to herein as
"Escrow Items"; and
WHEREAS. this Agreement is entered into for the purpose of
setting forth and memorializing for the parties and subsequent owners
the understandings and agreements of the parties concerning the
development of the Subject Properties;
NOW THEREFORE, IT
consideration of each
forth, as follows:
IS HEREBY AND HEREIN MUTUALLY AGREED, in
party's promise and considerations herein set
1, PETITlQH FOR IMPROVEMENTS (PETITIONS ITEMS), Developer herein
petitions the City to construct as part of the City's Improvement
Project(s) 1988-1A and 1988-3A and/or other City project deemed
appropriate by the City the improvements referred to in Exhibit "B"
and described therein in very generalized language as "Petition
Items", Said Exhibit "B" is attached hereto and incorporated herein by
reference as though fully set forth.
2, WAIVER, Developer waives all right to a public hearing and
other statutory rights granted to a property owner under Chapter 429
of Minnesota Statutes as the said rights therein granted related to
Petition Items, including those that are a part of Project(s) 1988-1A
and 1988-3A, as set forth in Exhibit "B",
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3. EEIITION ITEMS PROJECTlS) 1988-1A AND 1988-3A. The City
shall construct as part of its City Improvement Project(s) 1988-1A and
1988-3A at its discretion all or a portion of the Petition Items as
shown on Exhibit "B" pursuant to its regular methods of making public
improvements. The Developer agrees that special assessments for said
improvements may be levied by the City, without Developer's objection,
after construction is commenced. Thereafter the expense incurred or
to be incurred in making the improvement shall be calculated under the
direction of the Council. The Developer further agrees that the City
may recover . its costs and expenses including legal, fiscal.
administrative and engineering); by levy of said special assessments
to be payable in equal principal installments together with interest
thereon from the date of the resolution levying the assessment as
determined by the City over a period of not more than twelve (12)
years.
4. PETITION ITEMS - SURETY. It is anticipated that of City's debt
service each year during the stated assessment period for the
installation of. the Petition Items as shown in Exhibit "B", the
portion of which benefits the Subject Property will require an
estimated payment(s) from the City to its bondholders amounts as
indicated on Exhibits "C" attached hereto. It is intended that
Developer shall make sufficient payments of said special assessments
that the City's cash flow will be unaffected by said improvement
project(s) .
Developer herein agrees that said Developer will actually pay
sufficient amounts of said special assessments each year, if not
already paid in prior year, for properties lying within said plat to
enable the City to pay the required debt service payment shown on
Exhibit "C" when due. To determine the actual amount, as opposed to
the estimated amount, to be paid by the Developer, the principal
amount shall be added to the interest amount, for the subject
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improvement project(s), as shown on the tax statements for lots lying
within Said Plat, less credit for prepayments made thereof. Any
deficiencies in the amount paid by the Developer for special
assessments causing a shortage of funds with which the City may timely
pay the required debt service payment(s) shall be supplemented with
funds withdrawn by the City from the Developer's approved letter of
credit or other surety furnished to the City. Any of said surety or
guaranty of funds referred to herein that are withdrawn will be used
by the City for payment of its herein referred debt service payment
when due. Upon the Developer paying the delinquent special
assessments, the City will repay to the surety, to the extent that the
delinquent special assessments have been paid, the surety monies
withdrawn, less any costs incurred by the City in conjunction with the
said delinquent special assessments.
The Developer shall provide the City with cash, approved letter
of credit or other satisfactory surety in the amount of 30% of the
estimated cost of Petition Item improvements which are to be
constructed as part of Project(s) 1988-1A and 1988-3A. The developer's
cash, bond, letter of credit or other surety shall thus be in the
amount of $200,000.00, calculated as follows:
Total Estimated Cost of Westwind
Plat Petition Items included in
Project 1988-1A and 1988-3
Surety Requirement:
USE:
$695,410.84
X 30%
$208,641.15
$200,000.00
The said 30% surety is the guarantee referred to earlier in this
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paragraph that sufficient revenue is annually produced by the payment
of special assessments to enable the City to pay the required debt
service payment, which debt service payment relates to the portion of
Project(s) 1988-1A and 1988-3A benefitting the development of the Said
Plat. The City may draw on said surety for cash flow purposes to
supplement the Developer's payments when Developer is delinquent in
the payment of said special assessments.
5. ~AND-OFF-SITE IMPROVEMENTS/ESCROW ITEMS: SURETY.
A. Developer shall perform all on and off-site improvements set
forth on Exhibit "B" as "Escrow Items". Developer will provide the
City with cash, approved letter of credit or other satisfactory surety
in the Bum of $28,600.00, which figure represents 110% of the
estimated cost of said Escrow Items. The said surety shall be a
guaranty to the City that with the exception of boulevard improvements
(sods, trees, driveways approaches) the construction and completion of
the escrow items by the Developer, to the City's satisfaction, will be
completed on or before October 1. 1991. The boulevard improvements for
each lot or parcel shall be completed to the City's satisfaction
within sixty (60) days of the date that a certificate of occupancy
(temporary or permanent) is issued by the City for a building located
on the lot; unless the certificate of occupancy is issued after
October 1st and before March 30th in any given year. in which case the
boulevard improvements shall be so completed by the following June
1st. At the City's option it may install the street sign(s) and bill
the direct cost of materials and installation to the Developer who
will pay the bill within 10 days of the billing. The said cash.
letter of credit or other surety shall be released upon certification
of the Engineer of the City that such items are satisfactorily
completed pursuant to this agreement. Periodically, as payments are
made by the Developer for the completion of portions of the items
described under "Escrow Items" and when it is reasonably prudent, the
Developer may request of the City that the surety be reduced for that
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portion of the project which has been fully completed and payment made
therefor. The City's cost for processing reduction request{s) shall be
billed to the Developer at the rate of $30.00 per hour with a minimum
of one (i) hour per reduction and shall be paid to the City within ten
(10) days of the date of mailing the billing.
6. SURETY RF;LEASE - PETITION ITEMS. The developer may request of
the City a reduction or release of any surety. provided for in
conjunction with the Petition Items as shown on Exhibit "Bu as
follows:
A. When another acceptable surety is furnished to the City to
replace a a prior surety.
B. When the final cost amount minus previous payments becomes
less than the surety provided, thus allowing the surety to be reduced
to a sum commensurate with the remaining debt service obligation.
C. No reduction shall be made which would result in the surety
held being less that 35% of the original surety for petition items
until the final costs are known and assessed.
D. The surety will be
assessments for 75% of the lots
Plat have peen paid in full.
released at such time as special
and 75% of the multiple units in Said
The City's cost for processing said reduction request shall be
billed at $30.00 per hour with a minimum of one (1) hour per
reduction, and shall be billed to the developer and paid to the City
within ten (10) days thereof.
7. SURETY DEFICIENCY. In the event that any cash, letter of
credit or other surety referred to herein is ever utilized and found
to be deficient in amount to payor reimburse the City in total as
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required herein. the Developer agrees that upon being billed by the
City. Developer will pay within ten (10) days of the mailing of said
billing, the said deficient amount. If there should be an overage in
the amount of utilized security the City will. upon making said
determination. refund to the Developer any monies which the City has
in its possession which are in excess of the actual costs of the
project as paid by the City. All monies deposited with the City shall
be used by the City at the City's discretion to defray the City's
costs and expenses with the project(s) referred to herein.
8. ABANDONMENT OF PROJECT COSTS AND EXPENSES. In the event
Developer should abandon the proposed development of the Subject
Property. the City's costs and expenses for the preparation of the
feasibility report. plans and specifications and all other costs
expended by the City which are associated with Project 1988-1A and
1988-3 shall be paid by said Developer. The Developer has provided
cash sureties to the City as follows:
PURPOSE
AMOUNT
Cost associated with Preparation
of Feasibility Report:
Cost associated with Preparation
of Plans and Specifications:
$ 4. 500.00
+ $ 15,500.00
TOTAL
$ 20.000.00
The City may withdraw funds from the above-referred escrow for the
purpose of paying the costs referred to in this paragraph. The said
cash escrow funds will be released by the City upon the Developer
providing satisfactory sureties for the Petition Items referred to in
Exhibit "B".
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9. PEVELOPER TO PAY ~LL COSTS. It is understood and agreed that
amounts set forth in this Agreement as improvement costs, unless
specifically specified as fixed amounts, are estimated. The Developer
agrees to pay the entire cost of the improvement including interest,
fiscal, engineering, legal and administrative charges.
10. EROSION AND SILTATION CONTROL.
A. FINANCIAL GUARANTEE. Before any grading is started on any
site, all erosion control measures as shown on the approved erosion
control plan shall be installed. In addition, a financial guarantee
shall be provided to the City to insure compliance during
construction. This financial guarantee, which is included as an Escrow
Item in Exhibit "B", will not be returned until all disturbed areas
have permanent vegetation re-established.
B. EROSION CONTROL.
(THIS SPACE WAS INTENTIONALLY LEFT BLANK.)
11. PARK DEDICATION. The Developer shall fulfill the park
dedication requirements of Ordinance 1987-2 and the Albertville Park
Board by payment of cash and conveyance of land in the following
manner:
A.
Payment of cash in the
$3333.00 shall be paid
release for filing at the
sum of $10,000.00. of which
prior to the final plat being
Office of the Wright County
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Recorder and $6667.00 on or before the earliest of
(i) the plat if the next phase of single-family
residential lots or (ii) two years from the date of this
agreement.
B. Execution and delivery of a recordable warranty deed
of 14.2 acres in form satisfactory to the City's
attorney conveying marketable title, free and clear of
all encumbrances, restrictions and easements
(except those consented to by the City) on or before
the earliest of (i) the plat of the next phase of
single-family residential lots or (ii) two years from
the date of this agreement. If the Developer is unable
to deliver title free and clear to said 14.2 acres at
said date, then at the City's option the Developer will
pay to the City the sum of $36,750.00, which amount is
secured by the letter of credit for the amount of
$200,000.00.
C. No excess soil or gravel shall be removed from the said
plat and all soil or gravel available from excavation
for the construction or alteration of a residence or any
appurtenances of any lot shall be first offered to the
City of Albertville and hauled and disposed of at a site
that the City designates if the City desires to have
such excess soil or gravel.
The above money and land conveyance shall fulfill Developer's
Ordinance requirements for Westwind and the balance of the
single~family lots (totalling approximately 175 lots) and the first
phase of the multiple-dwelling development of four parcels (containing
approximately 96-120 units) as shown in yellow on the attached Concept
Plan, marked Exhibit "D". The Developer understands that development
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of the lands shown in green on Exhibit D will require additional cash
payments or land dedication as determined by the City pursuant to
Ordinance 1987-2.
12. P~NT OF SPECIAL ASSESSMENTS UPON SALE. It is further the
agreement of the parties that all special assessments levied on City
Project(s) 1988-1A and 1988-3A or any other city project previously
levied, or to be levied as a part of activating previously deferred
assessments against the Subject Property, or portion thereof. if not
paid prior thereto, shall be paid by the Developer on the sale or
transfer of any fee ownership interest in the Subject Property;
provided however, that if the seller grants seller financing in an
amount not less than the total of the unpaid assessments levied or
pending against the lot, then the payment of the special assessments
can be delayed as long as the amount remaining financed by the
developer is greater than the total of the said unpaid levied or
pending special assessments, but in all events no later than the date
the security of the sellers financing is released or satisfied. If
only a portion of the Subject Property is transferred, Developer shall
pay the said special assessments attributable only to that portion
which is being sold or transferred.
In the event the Developer wishes to have the final costs for
Project(s) 1988-1A and'1988-3A determined for the purpose of conveying
a lot or a number of lots prior to completion of the project,
Developer shall provide to the City a cash payment in an amount equal
to one hundred percent (100%) of the estimated special assessments for
each of the lots that the Developer seeks to convey. The surety
deposit made by the Developer for Petition Items pursuant to this
agreement shall be retained in full until the final project costs and
results of the assessments are determined. The City, upon receipt of
said payment for a particular lot or lots will upon request then
certify within any special assessment search relating to said lot or
lots have been fully assessed for said Project, pursuant to this
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Developer's Agreement; and that no further assessments will be made to
said lot or lots for the improvements comprehended or being
constructed under Project(s) 1988-1A and 1988-3A. After determination
of the final cost of the project and the resulting assessment
therefor, any overage paid by the Developer will be returned to the
Developer, and if there should be any shortage in the amount paid, the
Developer will immediately pay the City the difference between the
amount previously paid and the amount of the assessments for the
particular lots or lots. Payment shall be made within thirty (30) days
of the billing. The City may draw upon any surety deposit made by the
Developer if the Developer fails to pay the billed amount within
thirty (30) days of said bill.
13. MAINTAIN PUBLIC PROPERTY DAMAGED OR CLUTTER DURING
CONSTRUCTIQN. Developer agrees to assume full financial responsibility
for any damage which may occur to public property including but not
limited to streets, street sub-base, base, bituminous surface, curb,
utility system including but not limited to water main, sanitary sewer
or storm sewer when said damage occurs as a result of the activity
which takes place during the development of Said Plat. The Developer
further agrees to pay all costs required to repair the streets and/or
utility systems damaged or cluttered with debris when occurring as a
direct or indirect result of the construction that takes place in Said
Plat. In the event the Developer fails to maintain or repair the
damage public property referred to aforesaid, the City may undertake
making or causing it to be repaired or maintained. When the City
undertakes such repair, the Developer shall reimburse the City for all
of its expenses within ten (10) days of its billing to the Developer.
If the Developer fails to pay said bill within thirty (30) days, the
surety shall be responsible for reimbursing the City therefor.
14. STREET SECTION GRADING. While the development site is being
graded by Developer, an independent testing firm, approved by the
City, shall test the street section of those parts of streets plated
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in Said Plat designated by the City Engineer,so as to certify to the
City that the contractor is achieving 95% of the standard moisture
density relationship of soils with exception of the top three (3) feet
of the street section shall be compacted to 10~density. Fees paid to
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the said independent testing firm shall be paid ~y the Developer. The
City's Engineer shall be furnished, either directly by the testing
firm or by the Developer, a copy of the test results.
15. TEMPORARY EASEMENT RIGHTS TO INSTALL IMPROVEMENTS. The
Developer by signing this Agreement, gives the City right of access on
all of the Subject Property to install the contemplated utility and
street improvements referred to herein. It is anticipated that the
Developer will file the plat of Westwind on or before June 30, 1988,
which plat will permanently provide right~of-way for the required
streets and utilities.
16. MISCELLANEOUS.
A. The Developer will construct a berm, including trees thereon,
in accordance with the approved landscape plan. The Developer will
prepare or cause to prepare a Declaration of Covenant, which
Declaration shall be filed with the Wright County Recorder after it
has received approval in writing from the City Attorney and which
Declaration shall establish the berm and provide that it shall be
maintained at all times by the affected lot owners in the plat in a
condition at all times satisfactory to the City. The said Declaration
shall further provide that, upon a failure of the said affected lot
owners to maintain the said berm and trees, the City may, after first
giving thirty (30) days mailed notice to the affected lot owners, go
upon the said affected lots over and across the utility and drainage
easement area dedicated in the plat of Westwind, and maintain or
replace the said berms and trees. If the City does so perform said
maintenance or. replacement, the City shall be entitled to replace or
mai.ntain them to the City's satisfaction and to then assess the costs
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thereof to all the affected lots in said plat. The said assessment
shall be payable in one (1) year.
17. DRAW ON EXPIRING LETTER OF CREDIT. In the event a surety or
other form of guarantee referred to herein is in the form of an
irrevocable letter of credit. which by its terms will become null and
void prior to the time at which all money or obligation of the
Developer is paid or completed. it is agreed that the Developer shall
provide the City with a new letter of credit or other surety,
acceptable to the City, at least forty-five (45) days prior to the
expiration of the said expiring letter of credit. If a new letter of
credit is not received as required above, the City may declare a
default in the terms of this Agreement and thence draw in part or in
total, at the City's discretion. upon the expiring letter of credit to
avoid the loss of surety for the continued obligation.
18. VIOLATION OF AGREEMENT. In the case of default by the
Developer, its successors or assigns, of any of the covenants and
agreements herein contained. the City shall give Developer 30 days
mailed notice thereof, and if such default is not cured within said 30
day period the City is hereby granted the right and privilege to
declare all of entire sums levied as special assessments or otherwise
and any deficiencies governed by this Agreement due and payable to the
City in full. The 30 day notice period shall be deemed to run from the
date of deposit in the United State's mails. The City may thence
immediately and without notice or consent of the Developer use all of
the deposited escrow funds. letter of credit or other surety funds to
complete the Developer's obligations as set forth herein, whether
related to Escrow Items or Petition Items, and to bring legal action
against the Developer to collect any sums due the City pursuant to
this agreement. This provision shall not apply to failure by
subsequent lot owners to maintain the berm as required by Paragraph 16
above and the remedy therein provided shall be the sole remedy for
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such default with respect to said Paragraph 16.
This Paragraph 18 shall not apply to any acts or rights of the
City under Paragraph 17 above and no notice need be given to the
developer as a condition precedent to the City declaring a default or
drawing upon the expiring letter of credit as therein authorized.
19. ATTORNEY'S FEES. The Developer will pay the City reasonable
attorney's fees to be fixed by the Court in the event a suit or action
is brought to enforce the terms of this Agreement or in the event an
action is brought upon a bond or letter of credit furnished by the
Developer as provided herein.
20. NOTIFICATION INFOR~ATION. Any notices to the parties herein
shall be by registered mail addressed as follows:
CITY OF ALBERTVILLE
c/o City Administrator/Clerk
P.O. Box 131
Albertville, Minnesota 55301
Telephone: (612) 497-3384
John F. Darkenwald or
George W. Yankoupe
7747 N.e. River.Road
Elk River, Minnesota 55330
Telephone: (612) 441-3700
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21. AGREEMENT EFFECT. This Agreement shall be binding upon and
extend to the representatives, heirs, successors and assigns of the
parties hereto.
CITY OF ALBERTVILLE
By /.tIA/~ R~
Its Mayor
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By
Its Aaministrator/Clerk
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STATE OF MINNESOTA)
)
COUNTY OF WRIGHT )
r1th.
The foregoing instrument was acknowledged before me this ~~ !
day of ~J ) , 19 '3i by Loretta M. Roden the Mayor and
by Maureen T. Andrews, the Administrator/Clerk of the City of
Albertville, a municipal corporation under the laws of Minnesota, on
behalf of said corporation.
, I rr-" I#.
FERN A. BOYER r
t!!OlARY PUBLIC - MINNEsor~ I
WRIGHT COUNTY . \
My commission exp"8I 12-1-92 I
~~\~~~
Notary Public, ~.
My Commission expires:
County, MN
\~/ \ I~d-
STATE OF MINNESOTA)
)
COUNTY OF WRIGHT )
The
day of
foregoing
~
instrument was acknowledged before me this ~7
, 19 /)J by John F. Darkenwald and by George
W. Yankoupe.
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No~u~;f:Pz::; ~ounty. MN
My Commission expires: ~~ /0,/ /7'9~
THIS INSTRUMENT WAS DRAFTED BY:
ROBERT J. MILLER LAW OFFICES, P.A.
9405 - 36TH AVENUE NORTH
NEW HOPE, MN 55427
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EXHIBIT "A"
Legal Description for
WESTWIND
ThAt part of the Southe.at Quarter of Section 35, Township 121,
Range 24, lying south of the Burlington Northern Railroad, and
that part of the north 35.0 acres of the Northeast Quarter of
Section 2, Township 120, Range 24, Wright County, Minnesota
described as follows: Commencing at the northeast corner of the
said Northeast Quarter of Section 2; thence on an assumed
bearing of S 10 07' 12" W, along .the east line of the said
Northeast Quarter of Section 2, a distance of 169.00 feet;
thence S 690 42' OS" W, a distance""of 626.98 feet to the actual
point of beginning; thence N 240 36' 35" E, a distance of 544.00
feet; thence N 110 00' 45" E, a distance of 115.00 feet; thence
N 90 26' 30" W, a distance of 157.00 feet; thence N 40016' 3D"
W, a distance of 76.00 feet: thence N '590 11' 01" W, a distance
of 46.20 feet: thence N 290 11' 06" E, a distance of 396.00 feet
to the southerly right of way line of the Burlington Northern
Railroad; thence N 60. 48' 54" W along said right of way line, a
distance of 1075.20 feet; thence 5 260 49' 50" W, a distance of
293.00 feet; thence 5 150 21' 10" W, a distance of 211.00 feet;
thence S 660 49' IS" E, a distange of 365.00 feet; thence 5 650
56' 15" E, a distance of 278.00 feet; thence 5 350 IS' 00" W, a
distance of 177.00 feet; thence S 240 37' 00" W, a distance of
64.00 feet: thence 5 200 26' 00" W, a distance of 323.00 feet;
thence 5 230 29' 00" W, a distance of 150.00 feet; thence 5 370
36' 00" W, a distance of 57.00 feet; thence 5 530 55' 00" W, a
distance of 57.00 feet; thence 5 710 25' 00' W, a distance of
57.00 feet; thence 5 840 OS' 00" W, a distance of 71.00 feet;
thence 5 30 57' 00" E, a distance of 120.00 feet; thence 5 110
01' 17" E, a distance of 60.37 feetj thence S 00 17' 55" E, a
distance of 71.43 feet; thenee N 890 42' 05" E, a distance of
710.00 feet to the point of begi.nning.
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EXHIBIT "B"
WORK PERTAINING TO WESTWIND
I. PETITION ITEMS (Project 1988-3)
ESTIMATED COST
A. Street
B. Storm Sewer
C. Sanitary Sewer
D. Watermain
E. Common Excavation
$299,262.50
79,355.00
127,102.50
167,580.70
22,170.14
REQUIRED SURETY PERCENTAGE:
$695,470.84
30%
$208,740.84
USED:
$200,000.00
II. ESCROW ITEMS
A. aoulevard ImDrovement~
1. Installation boulevard sod.
2. Planting of one (1) deciduous front yard tree of type
specified in City Resolution Approving Final Plat for each
lot shall be a minimum of two inches (2") in diameter
measured six inches (6") above the ground.
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3. Installation of a bituminous driveway approach
with a minimum of two inches (2") hot mix a.c. on five
inches (5") Class 5 aggregate or a concrete approach
constructed a minimum of four inches (4") thick with wire
or six inches (6") thick without wire mesh.
B. Gradina Control.
All site grading, including building sites. ponds and surface
drainage ways shall be graded in accordance with the approved
grading and development plan.
C. Street Sillns
As designated by the City Engineer as to number and location.
D. Street Cleanin~.
All streets in the area shall be kept free of dirt and debris
during all phases of construction.
SURETY REQUIREMENTS:
If cash or letter of credit is submitted $28,600.00
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EXHIBIT "C"
DEBT SERVICE SCHEDULE
WESTWIND
Debt service based on total estimated project cost of
$695,471.00, 12 year assessment and an estimated 8.75% interest
rate.
YEAR
PRINCIPAL
BALANCE
REQUIRED SPEC.
ASSESS. TOTAL
PAY. BY DEV.
IN TAXES OR
PREPAYMENT
ANNUAL
PRINCIPAL
INTEREST
DEBT
SERVICE
1989 $695,471.00 $57,955.92 $79,457.24 $137,413.15 $68,706.58
68,706.57
1990 637,515.08 57,955.92 55,789.57 113,745.49 56,872.75
56,872.74
1991 579,559.16 57,955.92 50,718.43 108,674.34 54,187.17
54,187.17
1992 521,603.24 57,955.92 45,647.28 103,603.20 51,801.60
51,801.60
1993 463,647.32 57,955.92 40,576.14 98,532.06 49,266.03
49,266.03
1994 405,691.40 57,955.92 35,505.00 93,460.92 46,730.46
46,730.46
PAGE 20
BY
DATE.
5/89
. 10/89
5/90
10/90
5/91
10/91
5/92
10/92
5/93
10/93
5/94
10/94
J If ,.......#
., ~.
REQUIRED SPEC.
ASSESS. TOTAL
PAY. BY DEV.
PRINCIPAL ANNUAL DEBT IN TAXES OR BY
YEAR BALANCE PRINCIPAL INTEijEST SERVICE PREPAYMENT DAI.E.
1995 $347,735.48 $57,955.92 $30,433.86 $88,389.77 $44,194.89 5/95
44,194.88 10/95
1996 289,779.56 57,955.92 25,362.71 83,318.63 41. 659.32 5/96
41. 659.31 10/96
1997 231,823.64 57,955.92 20,291. 57 78,247.49 39,123.75 5/97
39,123.74 10/97
1998 173,867.72 57,955.92 15,220.43 73,176.35 36,588.18 5/98
36,588.17 10/98
1999 115,911.80 57,955.92 10,149.29 68,105.21 34,053.61 5/99
34.053.60 10/99
2000 57,955.88 57,955.92 5,074.64 63,030.56 31,515.28 5/00
31,515.28 10/00
$ 414,226.16 $1,109,697.17
PAGE 21
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S::E::O'U~J:T~
STATE BANK of St. Michael
701 CENTRAL AVE. EAST
AND ALBERTVILLE FACILITY
ST. MICHAEL. MINNESOTA 55376
PHONE
ST. MICHAEL - 497-2131
ALBERTVILLE - 497-3525
IRREVOCABLE LETTER OF CREDIT
City of Albertville
P.O. Box 131
Albertville, MN 55301
Date: April 22, 1988
Attn: City Administrator
Gentlemen:
At the request of John F. Darkenwald and George W. Yankoupe, and in accordance
with all applicable banking laws and regulations, we authorize the City of
Albertville to draw upon Security State Bank of St. Michael, a licensed and
qualified banking or savings and loan association in the State of Minnesota,
up to an aggregate amount of $28,600.00. It is understood that Security State
Bank of St. Michael has agreed to provide this Letter of Credit as a surety to
guarantee that all of the terms and conditions of the Developers Agreement for
Westwind Addition (First Phase) dated April 22, 1988, which is attached hereto
and incorporated herein by reference as Exhibit "A", are performed by the
Developer pursuant to the terms thereof.
This Letter of Credit is intended to be an Irrevocable Letter of Credit signifying
to the City of Albertville that the banking or savings and loan association named
herein has pledged to the City the payment of up to the aggregate amount set forth
herein upon there being any default by the Developer of any of the conditions set
forth within the aforesaid referred Developers Agreement. Said aggregate amount
shall be available to the City of Albertville upon presentment of a draft or drafts
signed by the officially designated officials acting in behalf of the City of
Albertville and accompanied by the City's statement stating that John F. Darkenwald
and George W. Yankoupe have defaulted in the performance of anyone or more of its
obligations to the City of Albertville and it shall be accompanied by a copy of this
Letter of Credit. The draft shall bear on its face the clause "Drawn Under Letter
of Credit No. 23341, dated April 22, 1988" and be presented for payment during the
normal business hours of this institution at any time from the date hereof until
the undertakings within said Developers Agreement are fully completed or the date
of expiration of this Letter of Credit or subsequent Letters of Credit issued
pursuant to the terms herein.
Should the Developer fail to comply with all of the terms and conditions of said
Developers Agreement including making the payments required for Special Assessments
as set forth therein, the City may draw, if drawn prior to its expiration, the entire
aggregate amount of this Letter of Credit. It is our intention and agreement herein
that upon the expiration date of this Letter of Credit that until all of the terms
.'.") -
~ ..
. ...' April 22, 1988
t~ . Page 2
and conditions of said Developers Agreement are fully satisfied, a new and
continuing Letter of Credit and subsequent new Letters of Credit, as are necessary,
will be issued to the City of Albertville in a like amount and under the same terms
and conditions (with exception of the expiration date). Should we elect, however,
for any reason not to issue such a new Letter of Credit upon expiration of this or
a subsequently issued Letter of Credit, we will notify the City of Albertville of
that decision thirty (30) days prior to the expiration date thereof. Said notifica-
tions shall be sent by registered mail addressed to the City Clerk of the City of
Albertville, P.O. Box 131, Albertville, Minnesota 55301. Upon receipt of such
notice, the City of Albertville shall be entitled to draw at site, by presentment
of a draft or drafts prior to the date of expiration of the Letter of Credit, pur-
suant to the terms hereof, up to the full aggregate amount as set forth herein. A
failure to deliver a notice of intent not to issue a new Letter of Credit pursuant
to the terms hereof to the City of Albertville shall be deemed to automatically be
a reissuance or extension of this instrument in all its terms and conditions for a
period of one (1) year. In the event of a withdrawal of all or a portion of the
aggregate funds referred to herein, it is understood that the City of Albertville
shall use such funds solely for the purpose of meeting the Developer's obligation
pursuant to the aforesaid referred Developers Agreement. Any excess funds drawn
by the City to meet the Developer's obligations of the said Developers Agreement,
shall be returned to this institution after the total fulfillment of the Developer's
obligations as set forth in the said Developers Agreement, including the requirements
for payment of Special Assessments.
We further represent to you that all drafts drawn under and in compliance with the
terms of this Letter of Credit will be duly honored on or before the expiration date
of the first day of June, 1989, or any subsequent expiration date of an automatically
renewed or subsequently issued Letter of Credit as referred to herein. We confirm
this instrument and any subsequently issued instruments as Irrevocable Letters of
Credit and thereby undertake that all drafts drawn or negotiated as above specified
will be duly honored by us. We further confirm to you that this instrument is issued
in accordance with the International Chamber of Commerce Brochure No. 400.
Your rights under this Letter of Credit are not assignable or otherwise transferable.
Dated: April 22, 1988
S~TEC~
By: Ardell C. Paulson
Loan Officer
...
SEC1:.J~I:rr--s;
STATE BANK of St. Michael
701 CENTRAL AVE. EAST
AND ALBERTVILLE FACILITY
ST. MICHAEL, MINNESOTA 55376
PHONE
S"~,MICHAEL~7~2131
ALBERTVILLE - 497-3525
IRREVOCABLE LETTER OF CREDIT
City of Albertville
P.O. Box 131
Albertville, MN 55301
Date: April 22, 1988
Attn: City Administrator
Gentlemen:
At the request of John F. Darkenwald and George W. Yankoupe, and in accordance
with all applicable banking laws and regulations, we authorize the City of
Albertville to draw upon Security State Bank of St. Michael, a licensed and
qualified banking or savings and loan association in the State of Minnesota,
up to an aggregate amount of $200,000.00. It is understood that Security State
Bank of St. Michael has agreed to provide this Letter of Credit as a surety to
guarantee that all of the terms and conditions of the Developers Agreement for
Westwind Addition (First Phase) dated April 22, 1988, which is attached hereto
and incorporated herein by reference as Exhibit "A", are performed by the
Developer pursuant to the terms thereof.
This Letter of Credit is intended to be an Irrevocable Letter of Credit signifying
to the City of Albertville that the banking or savings and loan association named
herein has pledged to the City the payment of up to the aggregate amount set forth
herein upon there being any default by the Developer of any of the conditions set
forth within the aforesaid referred Developers Agreement. Said aggregate amount
shall be available to the City of Albertville upon presentment of a draft or drafts
signed by the officially designated officials acting in behalf of the City of
Albertville and accompanied by the City's statement stating that John F. Darkenwald
and George W. Yankoupe have defaulted in the performance of anyone or more of its
obligations to the City of Albertville and it shall be accompanied by a copy of this
Letter of Credit. The draft shall bear on its face the clause "Drawn Under Letter
of Credit No. 23333, dated April 22, 1988" and be presented for payment during the
normal business hours of this institution at any time from the date hereof until
the undertakings within said Developers Agreement are fully completed or the date
of expiration of this Letter of Credit or subsequent Letters of Credit issued
pursuant to the terms herein.
Should the Developer fail to comply with all of the terms and conditions of said
Developers Agreement including making the payments required for Special Assessments
as set forth therein, the City may draw, if drawn prior to its expiration, the entire
aggregate amount of this Letter of Credit. It is our intention and agreement herein
that upon the expiration date of this Letter of Credit that until all of the terms