Title
Resolution to Approve Purchase Agreement for the Purchase of Development Rights on the Nancy M. Geiger Revocable Living Trust and Rose Ann Geiger Contingent Trust Property in Salem Township and Appropriate Funds in the Amount of $1,339,442.00 (8 Votes Required)
Memorandum
Attached for your review and action is a resolution to approve an agreement for the purchase of development rights on the Nancy M. Geiger Revocable Living Trust and Rose Ann Geiger Contingent Trust farm in Salem Township.
On June 21, 2010 (R-10-216) City Council approved grant application to the Farm and Ranch Land Protection Program for the Purchase of Development Rights (PDR) on the Nancy M. Geiger Revocable Living Trust and Rose Ann Geiger Contingent Trust farm in Salem Township. Subsequently, City Council approved the acceptance of grant funds (R-10-344) in the amount of $611,030.00 toward the purchase of the development rights on the farm.
An appraisal was completed for the development rights on the property in June, 2010.
The attached resolution approves an agreement for the Purchase of Agricultural Land Development Rights for the farm. The agreement is contingent on the following:
A. Approval of the appraisal by FRPP and 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 required by all respective governmental entities connected with the purchase of the development rights.
Details of the budget for this purchase of development rights are as follows:
Purchase Price:
Appraised Fair Market Value: $1,264,400.00
FRPP Amount: -$ 611,030.00
City portion of purchase price: $ 653,370.00
Other Costs:
Estimated Due Diligence: $ 20,000.00
Estimated Closing Costs: $ 31,175.00
Endowment: $ 2...
Click here for full text