Title
Resolution to Approve Purchase Agreement for the Purchase of Development Rights on the Duane J. Thomas Trust and Judith A. Lobato Trust Property in Scio Township and Appropriate Funds in the Amount of $140,367.00 (8 Votes Required)
Memorandum
Attached for your review and action is a resolution to approve a purchase agreement for the purchase of development rights on the Duane Thomas and Judith Lobato farm property in Scio Township.
Purchase Agreement:
An appraisal was completed for the development rights on the property in January 2011 and the fair market value of the development rights was determined to be $189,000.00 for approximately 30 acres. The landowners have agreed to make a donation of 50% of the fair market value, or $94,500.00.00.
The resolution approves the Purchase Agreement for the purchase of Agricultural Land Development Rights for the farm. The Purchase and Sale of the development rights is contingent on the following:
A. Approval of the appraisal by the City for the establishment of a fair market price for the development rights;
B. Conveyance of good and marketable title to the development rights;
C. An environmental site assessment acceptable to the City of Ann Arbor in its sole discretion;
D. Agreement to the terms and conditions of a Grant of Easement for the Development Rights.
Project Budget:
Purchase Price:
Appraised Fair Market Value: $189,000.00
Landowner Donation: $ 94,500.00
City portion of purchase price: $ 94,500.00
Other Costs:
Estimated Due Diligence: $15,000.00
Estimated Closing Costs: $ 7,000.00
Endowment: $ 23,867.00
Total Other Costs: $ 45,867.00
City Costs:
Purchase Price: $ 94,500.00
Other Costs: $ 45,867.00
Total City Costs: $ 140,367.00
Conservation Easement:
The conservation easement is made pursuant to section 36111 b of the Natural Resources and Environmental Protection Act (MCL 324.3611Ib; MSA 13A.3611Ib) and Chapter 42 of the Ann Arbor Ci...
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