Real Est Westport Exchange Add
AGREEMENT FOR PURCHASE OF REAL ESTATE
This Agreement is entered into this 3'~ day of May, 1990,
by and between the City of Salina, a Kansas municipal corporation
("City"), Charles W. Walker and Carolyn L. Walker, husband and
wife, ("Walkers"), and Kansas Independent Networks, Inc. ("KINI").
FOR GOOD AND VALUABLE CONSIDERATION the City and the Walkers
agree to sell and KINI agrees to purchase the property described
below upon the following terms and subject to the conditions and
requirements set forth below.
1.
2.
Description of Property.
A.
Real estate. The real estate to be sold by the City to
KINI is known as 621 Westport Boulevard, Salina, Kansas,
and is legally described as follows:
All of Lots One (1), Two (2), Three (3), and Twelve
(12), Block One (1), Westport Exchange Addition to
the City of Salina, Saline County, Kansas;
together with all appurtenances, permanent improvements
and fixtures (the "Real Estate").
B.
Personal property. The personal property to be sold by
the Walkers to KINI shall include all of the personal
property currently located within the building located
on the Real Estate including, but not limited to the
restaurant and bar equipment, furniture, and office
equipment (the "Personal Property").
Purchase Price. The purchase price for the Real Estate and
the Personal Property shall be the sum of Two Hundred Seventy-
five Thousand Dollars ($275,000), payment of which is to be
made in the following manner and at the following times:
A.
B.
3.
Twenty-five Thousand Dollars ($25,000) to be paid to the
escrow agent upon the execution of this Agreement.
The balance of the purchase price in the amount of Two
Hundred Fifty Thousand Dollars ($250,000) shall be paid
in cash at the time of closing.
Approval by KDOC. This Agreement shall be conditional upon
its written approval by an authorized representative of the
Kansas Department of Commerce ("KDOC"). In the event KDOC
approval of this Agreement cannot be obtained, the earnest
money deposit shall be returned to KINI, and this Agreement
shall be cancelled.
4.
Conditional Use Permit. The Real Estate is currently zoned
C-7 Highway Commercial. The use contemplated by KINI requires
a conditional use permit to be conducted in the C-7 Highway
Commercial zone. KINI agrees that it will file an application
for conditional use permit with the Salina Planning Department
by June 1, 1990, in order for the application to be heard at
the July 3, 1990, meeting of the Salina Planning Commission.
The City agrees to pay the filing fee and publication costs
related to the application. This Agreement shall be
conditional upon the approval of the conditional use permit
by the Salina Planning Commission. In the event approval of
the conditional use permit cannot be obtained, the earnest
money deposit shall be returned to KINI and this Agreement
shall be cancelled.
5.
Closinq. Closing shall be on or before July 5, 1990;
provided, however, that in the event merchantable title has
not been furnished as of that date, then the closing shall be
the day following the date on which a commitment for title
insurance is provided to KINI. KIN I acknowledges: (a) its
awareness that prior to delivering merchantable title the City
must obtain the release of a number of tax liens imposed by
the United states and the state of Kansas resulting from tax
obligations of a prior owner of the Real Estate; (b) that in
certain instances a determination of the purchase price was
necessary before the lien release could be obtained; and (c)
that the procedures required to obtain the release of such tax
liens may delay the closing. The City represents that it
shall diligently pursue the procedures required to obtain the
release of such liens following final approval of this
Agreement.
6.
Escrow Aqent. The Millwood Agency of Salina, Kansas, is
designated as the escrow agent of the parties and shall hold
this Agreement, deed, bill of sale, title insurance policy,
and all other papers of transfer pending the complete
fulfillment of this contract. The escrow agent shall receive
and disburse all payments to be paid hereunder.
7 .
Evidence of Title. The city shall provide KINI with a policy
of title insurance in the amount of the purchase price showing
good and marketable title in and to the Real Estate to be in
the City, free and clear of all liens and encumbrances, except
easements and restrictions of record. In the event the City
cannot furnish such a commitment for title insurance to the
Real Estate, then this contract shall be cancelled and the
earnest money deposit shall be refunded to KINI.
8.
Deed and Bill of Sale.
A.
Real Estate. The City shall convey marketable title to
the Real Estate by general warranty deed to be delivered
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10.
11.
9.
A.
B.
to KINI at the closing upon receipt of the total purchase
price, free and clear of all liens and encumbrances,
except easements and restrictions of record.
B.
Personal Property. The Walkers shall convey title to the
Personal Property by a bill of sale to be delivered to
KINI at the closing.
Possession. The city and Walkers shall give possession to the
Real Estate and the Personal Property to KINI immediately
following closing. Pending the closing of this Agreement,
authorized representatives of KINI shall be allowed reasonable
access to the building located on the Real Estate in order to:
(a) examine and inventory the Personal Property in preparation
for sale of part or all of the Personal Property after
closing; and (b) examine the building for the purpose of
developing plans or bids for work to be done to the building.
Mechanics liens. The City shall pay all contractors,
subcontractors, laborers, materialmen or suppliers for all
work done or material furnished to the Real Estate prior to
the closing of the Agreement which might form the basis of a
mechanic's lien. The City shall indemnify and hold KIN I
harmless from any obligation for payment of any amounts by
reason of any mechanic's liens which may be filed for labor
performed or material furnished prior to the closing of this
Agreement.
Casualty loss.
Real Estate. The City shall bear all risk of loss and
keep up fire and extended coverage insurance on the Real
Estate until this transaction is closed; thereafter, all
risk of loss shall be borne by KINI. In the event of
partial loss prior to closing, the City shall repair the
Real Estate or they may assign the insurance proceeds to
KIN!. In the event of total destruction of the Real
Estate prior to closing, the insurance proceeds shall be
retained by the City and this contract shall be
terminated and the earnest money deposit refunded to
KINI.
Personal Property. The Walkers shall bear all risk of
loss and maintain insurance coverage of at least Forty
Thousand Dollars ($40,000) on the Personal Property until
this transaction is closed; thereafter, all risk of loss
shall be borne by KINI. In the event any of the Personal
Property is damaged or destroyed prior to closing, KINI
agrees to accept an assignment of the insurance proceeds
as full consideration for any loss of value.
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13.
14.
15.
16.
12.
Property Taxes.
A.
Real Estate. All real property taxes on the Real Estate
for 1989 and prior years shall be paid by the city. All
real property taxes for 1990 shall be prorated between
the City and KINI as of the date of closing.
B.
Personal Property. All personal property taxes on the
Personal Property for 1989 and prior years shall be paid
by the Walkers. All personal property taxes for 1990
shall be prorated between the Walkers and KINI as of the
date of closing.
Inspections. KINI shall have access to the Real Estate for
ten (10) working days to inspect the Real Estate or to have
the Real Estate inspected by qualified persons at KINI' s
expense to determine the presence of termite infestation, and
to determine the acceptability of the plumbing, electrical,
heating and air conditioning systems, roof, structure,
foundation, and electric reader-board sign. KINI shall,
within two (2) business days following the end of the period
for such inspection, provide the City with notice, in writing,
of any deficiencies. If KINI does not provide such a written
notice, it shall be conclusively presumed that the Real Estate
and Personal Property are acceptable. In the event written
notice is given, the parties shall agree in writing on the
manner in which any deficiencies are to be corrected or any
one of the parties may elect to cancel this Agreement and the
earnest money deposit shall be refunded to KINI. The City and
the Walkers shall deliver and KINI shall accept the Real
Estate and the Personal Property in the condition as found
upon such inspection, except as provided above in the event
of a casualty loss.
Flood Plain. The City discloses and KIN I acknowledges that
the Real Estate is located in the Flood Fringe designation
(Zone A) .
Default. In the event KINI defaults in the payment of any
sums due hereunder when due, then in addition to any other
remedies available and at the option of the City and the
Walkers, the City and/or the Walkers shall have the right to
(a) begin an action to require the specific performance of the
Agreement by KINI; (b) seek damages for the failure of KINI
to perform this Agreement according to the conditions herein
stated, or (c) elect to cancel the contract and to retain the
earnest money payment as liquidated damages.
Real Estate Commission. The City shall be responsible for the
payment of the real estate sales commission due at the time
of and conditional upon the closing of this Agreement.
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17.
Assiqnment. KIN I shall not have the right to assign or
transfer this Agreement, or any interest thereunder, without
the prior written consent of the City and the Walkers.
18.
Bindinq Effect. This Agreement shall be binding upon the
heirs, executors, administrators, devisees, legatees,
successors and assigns of the respective parties.
IN WITNESS WHEREOF, the parties have hereunto set their
the day and year first above written.
Þ~\LLdt; -
stephen C. Ryan, Ac ing Mayor
hands
[SEAL]
ATTEST:
~~
Shiever,
City Clerk
ci~ J~ (Q J Qi) oj j.u ]
Charles W. Walker
f
7 !
/;Æ~~/J/ / IÁ ~, K K
Carolyn ~. Walker
Kansas Independent Networks, Inc.
By: D><JtJ \ ~ st--
L. W. Tennant, Executive Vice-
President
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