2003-386ORDINANCE NO. ;,200,5- 3 8Cp
AN ORDINANCE AUTHORIZING THE CITY MANAGER OR HIS DESIGNEE TO
EXECUTE A REAL ESTATE CONTRACT FOR THE PURCHASE OF APPROXIMATELY
17.992 ACRES BEING PART OF A TRACT OF LAND SITUATED IN THE J. DOUTHITT
SURVEY, ABSTRACT NUMBER 329, AS DESCRIBED IN THE DEED FROM SALLY H.
MUDD TO MARK ANTHONY MUDD AND CHAD JAMES MUDD RECORDED UNDER
CLERK'S FILE NUMBER 95-R00533339, OF THE REAL PROPERTY RECORDS OF
DENTON COUNTY, TEXAS; AUTHORIZING THE EXPENDITURE OF FUNDS
THEREFORE; AND PROVIDING AN EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The City Manager, or his designee, is hereby authorized to enter into the
Real Estate Contract, which is attached hereto and made part hereof of the ordinance, and to
execute all documents necessary to consummate this transaction.
SECTION 2. The City Manager or his designee is hereby authorized to make the
expenditures in the amount of the purchase price of $225,000.00 plus standard and customary
closing costs for this acquisition.
SECTION 3. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the day of 2003.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY: 614f j(x0 (Z'.
APPROVED AS TO LEGAL FORM:
HERBERT L. PROUTY, ATTORNEY
BY:
REAL ESTATE CONTRACT
STATE OF TEXAS
COUNTY OF DENTON
THIS CONTRACT OF SALE is made by Michael A. Beckmann and Linda L. Beckmann,
(hereinafter referred to as "Sellers") and CITY OF DENTON, TEXAS, a home rule municipality,
of Denton, Denton County, Texas, (hereinafter referred to as "Purchaser"), upon the terms and
conditions set forth herein.
1.
PURCHASE AND SALE
Seller hereby sells and agrees to convey, and Purchaser hereby purchases and agrees to pay
for all that certain tracts, lots or parcels of land described in "EXHIBIT A" and further illustrated
in "EXHIBIT B", attached herein, with all rights and appurtenances pertaining to the said
property, including any right, title and interest of Seller in and to adjacent streets, alleys or rights-
of-way (all of such real property, rights, and appurtenances being hereinafter referred to as the
"Property"), together with any improvements, fixtures, and personal property situated on and
attached to the Property, for the consideration and upon and subject to the terms, provisions, and
conditions hereinafter set forth.
II.
PURCHASE PRICE
1. Amount of Purchase Price. The total purchase price for the Property shall be the sum
of Two Hundred Twenty Five Thousand Dollars and No Cents ($225,000.00) (the
"Purchase Price").
2. Payment of Purchase Price. The full amount of the Purchase Price shall be payable in
cash at the closing.
III.
PURCHASER'S OBLIGATIONS
The obligations of Purchaser hereunder to consummate the transactions contemplated
hereby are subject to the satisfaction of each of the following conditions any of which may be
waived in whole or in part by Purchaser at or prior to the closing.
1. Prelimiry Title Report. Within ten (10) business days after the date hereof, Seller, at
Purchaser's sole cost and expense, shall have caused the Title Company (hereinafter defined) to
issue a owner's policy commitment (the ,Commitment") accompanied by copies of all recorded
documents relating to easements, rights-of-way, etc., affecting the Property. Purchaser shall give
Seller written notice on or before the expiration of ten (10) business days after Purchaser receives
the Commitment that the condition of title as set forth in the Commitment is or is not satisfactory.
In the event Purchaser states the condition of title is not satisfactory, Seller shall, at Seller's
option, promptly undertake to eliminate or modify all unacceptable matters to the reasonable
satisfaction of Purchaser. In the event Seller is unable to do so within ten (10) business days after which receipt of written notice, Purchaser, at its option may elect to Seller additional time to grree, or proceed to
event this Agreement shall be null and void), grant
closing. Purchaser's failure to give Seller this written notice shall be deemed to be Purchaser's
acceptance of the commitment.
2. Survev. Purchaser, at Purchaser's sole cost and expense, shall obtain a current survey of
the Property, prepared by a duly licensed Texas land surveyor acceptable to Purchaser. The
survey shall be staked on the ground, and shall show the location of all improvements, highways,
streets, roads, railroads, rivers, creeks, or other water courses, fences, easements, and rights-of-
way on or adjacent to the Property, if any, and shall contain the surveyor's certification that there
are no encroachments on the Property and shall set forth the number of total acres comprising the
Property, together with a metes and bounds description thereof. Following delivery of the
Survey, the parties agree to amend this Contract to substitute the metes and bounds description of
the Property set forth on the Survey for the current description set forth herein if the current
description is different from that set forth in the Survey.
Purchaser will have ten (10) business days after receipt of the survey to review and approve
the survey. In the event the survey is unacceptable, then Purchaser shall within the ten (10)-
business day period, give Seller written notice of this fact. Seller shall, at Seller's option,
promptly undertake to eliminate or modify the unacceptable portions of the survey to the
reasonable satisfaction of Purchaser. In the event Seller is unable to do so within ten (10)
business days after receipt of written notice, Purchaser, at its option may elect to terminate this
Agreement (in which event this Agreement shall be null and void), grant Seller additional time to
cure, or proceed to closing. Purchaser's failure to give Seller this written notice shall be deemed
to be Purchaser's acceptance of the survey.
3. Seller's Compliance. Seller shall have performed, observed, and complied with all of the
covenants, agreements, and conditions required by this Agreement to be performed, observed,
and complied with by Seller prior to or as of the closing.
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IV.
REPRESENTATIONS AND WARRANTIES OF SELLER
Seller hereby represents and warrants to Purchaser as follows, which representations and
warranties shall be deemed made by Seller to Purchaser also as of the closing date:
1. Property to be sold in "AS IS" condition; however nothing herein shall be construed to
release, discharge or hold harmless, any of Seller's predecessors in title.
V.
CLOSING
The closing shall be held at the office of First American Title Insurance Company, 1100
Dallas Drive, Suite #112, Denton, Texas 76205 on or before December 31, 2003, or at such title
company, time, date, and place as Seller and Purchaser may mutually agree upon (which date is
herein referred to as the "closing date").
VI.
CLOSING REQUIREMENTS
1. Seller's Requirements. At the closing Seller shall:
A. Deliver to the City of Denton a duly executed and acknowledged Special
Warranty Deed conveying good and marketable title in fee simple to all of the
Property, free and clear of any and all liens, leases, encumbrances, conditions,
assessments, and restrictions, except for the following:
1. General real estate taxes for the year of closing and
subsequent years not yet due and payable;
2. Any exceptions approved by Purchaser pursuant to
Purchaser's Obligations hereof; and
3. Any exceptions approved by Purchaser in writing.
B. Deliver to Purchaser a Texas Owner's Policy of Title Insurance at Purchaser's sole
expense, issued by First American Title Insurance Company, Denton, Texas, (the
"Title Company"), or such title company as Seller and Purchaser may mutually agree
upon, in Purchaser's favor in the full amount of the purchase price, insuring fee simple
title for the City of Denton to the Property subject only to those title exceptions listed
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in Closing Requirements hereof, such other exceptions as may be approved in writing
by Purchaser, and the standard printed exceptions contained in the usual form of
Texas Owner's Policy of Title Insurance, provided, however:
1. The boundary and survey exceptions shall be deleted if
required by Purchaser and if so required, the costs associated
with it shall be borne by Purchaser;
2. The exception as to restrictive covenants shall be endorsed
"None of Record";
3. The exception for taxes shall be limited to the year of
closing and shall be endorsed "Not Yet Due and Payable";
and
4. The exception as to liens encumbering the Property shall
be endorsed "None of Record".
C. Deliver to Purchaser possession of the Property on the day of closing.
D. Seller shall not be responsible for any applicable rollback taxes.
2. Purchaser's Requirements. Purchaser shall pay the consideration as referenced in the
"Purchase Price" section of this contract at Closing in immediately available funds.
3. Closing Costs. Seller shall pay all taxes assessed by any tax collection authority through
the date of Closing. All other customary and standard costs and expenses of closing in
consummating the sale and purchase of the Property not specifically allocated herein shall be paid
by the Purchaser, except each party will be responsible for its own attorney fees.
VII.
REAL ESTATE COMMISSION
Seller and Purchaser represent and warrant to each other that neither has retained a broker
for this transaction and that there are no broker or real estate fees due as a result of the
consummation of this contract.
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VIII.
BREACH BY SELLER
If Seller fails to fully and timely perform any of its obligations under this Contract or fails
to consummate the sale of the Property for any reason, except Buyer's default, Buyer may enforce
specific performance of this Contract.
IX.
BREACH BY PURCHASER
In the event Buyer fails to consummate the purchase of the Property, if Seller is not in
default under this Contract, Seller will have the right to enforce specific performance of this
Contract.
X.
MISCELLANEOUS
1. Assignment of Agreement. Purchaser may assign this Agreement without the express
written consent of Seller.
2. Survival of Covenants. Any of the representations, warranties, covenants, and
agreements of the parties, as well as any rights and benefits of the parties, pertaining to a period
of time following the closing of the transactions contemplated hereby shall survive the closing and
shall not be merged therein.
3. Notice. Any notice required or permitted to be delivered hereunder shall be deemed
received when sent by United States mail, postage prepaid, certified mail, return receipt
requested, addressed to Seller or Purchaser, as the case may be, at the address set forth beneath
the signature of the party.
a. Seller's agent for purposes of notice shall be: Michael A. Beckman, 4330 Hartlee Field
Road, Denton, Texas 76208
b. Purchaser's agent for the purposes of notice shall be: Edwin Snyder, Deputy City Attorney,
City of Denton, 215 East McKinney Street, Denton, Texas, 76201
4. Texas Law to Apply. This Agreement shall be construed under and in accordance with
the laws of the State of Texas, and all obligations of the parties created hereunder are performable
in Denton County, Texas.
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5. Parties Bound. This Agreement shall be binding upon and inure to the benefit of the
parties and their respective heirs, executors, administrators, legal representatives, successors and
assigns where permitted by this Agreement.
6. Legal Construction. In case any one or more of the provisions contained in this
Agreement shall for any reason be held to be invalid, illegal, or unenforceable in any respect, said
invalidity, illegality, or unenforceability shall not affect any other provision hereof, and this
Agreement shall be construed as if the invalid, illegal, or unenforceable provision had never been
contained herein.
7. Prior Agreements Superseded. This Agreement constitutes the sole and only agreement
of the parties and supersedes any prior understandings or written or oral agreements between the
parties respecting the within subject matter.
8. Time of Essence. Time is of the essence in this Agreement.
9. Gender. Words of any gender used in this Agreement shall be held and construed to
include any other gender, and words in the singular number shall be held to include the plural, and
vice versa, unless the context requires otherwise.
10. Memorandum of Contract. Upon request of either party, both parties shall promptly
execute a memorandum of this Agreement suitable for filing of record.
11. Compliance. In accordance with the requirements of the Texas Real Estate License
Act, Purchaser is hereby advised that it should be furnished with or obtains a policy of title
insurance or Purchaser should have the abstract covering the Property examined by an attorney of
Purchaser's own selection.
12. Effective Date. The term "Effective Date" means the latter of the dates on which this
Contract is signed by either Seller or Purchaser, as indicated by their signature below. If the last
party to execute this Contract fails to complete the date of execution below that party's signature,
the date the Title Company acknowledges receipt of a copy of this fully executed contract is the
Effective Date.
IN WITNESS WHEREOF, Seller and Purchaser have executed this contract as follows:
SELLER:
A.
Date: a B
Date:
Lmda L. Beckmann
Michael A. Conduff
City Manager
215 E. McKinney
Denton, Texas 76201
Date: a Q~
APPROVED AS TO FORM:
CITY ATTOgNEY
CITY OF _ON.)bAS
BY:
The Title Company acknowledges receipt of the fully executed Contract on day of
2003.
TITLE COMPANY:
Name: First American Title Insurance Company
Address: 1100 Dallas Drive, Suite #112
Denton, Texas 76201
Telephone: 940-383-2357
By:
Printed Name:
I
EXHIBIT "A"
All that certain tract of land situated in the 1 DOUTHITT SURVEY, ABSTRACT NUMBER 329, Denton County,
Texas and being a part of the called 398.35 acre Tract 1, described in the deed from Sally H. Mudd to Mark
Anthony Mudd and Chad James Mudd recorded under Clerk's File Number 95-R0053339 of the Real Property
Records of Denton County, Texas, the subject tract being more particularly described as follows:
BEGINNING for the Southeast corner of the tract being described herein at a capped iron rod set for the
Southeast comer of said Mudd tract in the apparent South line of said Survey, at a corner in Hardee Field Road;
THENCE North 89 Degrees 30 Minutes 00 Seconds West with the South line of said Mudd tract and said Survey in
the approximate center of said Road (being gravel) a distance of 550.84 feet to a capped iron rod set for the
Southwest comer of the herein described tract;
THENCE North 01 Degrees 39 Minutes 02 Seconds East at a distance of 30.0 feet passing a capped iron rod set
for reference and continuing along said course, in all, a total distance of 1383.31 feet to a capped iron rod set for
the Northwest corner of the herein described tract;
THENCE South 89 Degrees 30 Minutes 00 Seconds East a distance of 583.02 feet to a capped iron rod set in the
East line of said Mudd tract in the approsimate middle of said road, on the West line of the called 31.8 acre tract
described in the deed to Louise G. Davis recorded in Volume 659, Page 253, Deed Records;
THENCE South 02 Degrees 58 Minutes 57 Seconds West with the West line of said 31.8 acres and the East line of
said Mudd tract, generally along the middle of said road at 10143 feet passing the apparent Southwest corner of
said 31.8 acres and continuing along said course, in all, a total distance of 1384.33 feet to the PLACE OF
BEGINNING and containing 18.00 acres of land, more or less.
Note: The Company is prohibited from insuring the area or quantity of the land described herein. Any statement
in the above legal description of the area or quantity of land is not a representation that such area or quantity is
correct, but is made only for informational and/or identification purposes and does not override Item 2 of
Schedule B hereof.
First American Title Insurance Company
First American Title Insurance Company
Texas Commitment T-7 (Rev. 6-27-02) Valid Only If Schedule A, 8, C, D and Cover are attached
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