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Home My WebLink About5465 RESOLUTION NO. 5 4 6 5 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AUBURN, WASHINGTON, AUTHORIZING THE MAYOR TO EXECUTE A CONTRACT FOR PURCHASE AND SALE BETWEEN THE CITY OF AUBURN AND JILLIAN ENTERPRISES, LLC FOR REAL PROPERTY WHEREAS, the City currently leases real property located in the City at 10 Auburn Avenue for use as a community theater; and WHEREAS, with the lease expiring December 31, 2021, the owner, Jillian Enterprises, LLC ("Jillian") wishes to sell, and the City wishes to buy, this property; and WHEREAS, City staff and Jillian have negotiated an agreement (subject to Council approval) that would be beneficial to both parties at a cost that is acceptable to the City. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AUBURN, RESOLVES as follows: Section 1. The Mayor is authorized to execute a Contract for Purchase and Sale between the City and Jillian Enterprises, LLC for the property located at 10 Auburn Avenue, Auburn, WA, in substantial conformity with the term sheet attached as Exhibit "A." Section 2. The Mayor is authorized to implement those administrative procedures as may be necessary to carry out the directives of this legislation. Resolution No. 5465 October 21, 2019 Page 1 of 2 Section 3. This resolution shall be in full force and effect upon passage and signatures. Dated and Signed this 21st day of October, 2019. CITY OF AUBURN 4\(1°: ANCY - KUS, AYOR ATTEST: •��csct „ �1,�0 .� Shawn Campbell, MMC, ity Clerk APPROVED AS TO FORM: Steven L. Gross, City Attorney Resolution No. 5465 October 21, 2019 Page 2 of 2 CITY O -1 ti RN Nancy Backus,Mawr WASHINGTON 25 West Main Street*Auburn WA 98001-4998*www.auburnwa.gov*253-931-3000 September 6, 2019 Mr. JB Douglas 8601 N Thorne Lane SW Lakewood, WA 98498 R.E.• City of Auburn's proposal to purchase 10 Auburn Avenue, Auburn, WA 98002 from Jillian Enterprises Mr. Douglas, as you are already well aware the City of Auburn operates a community theater out of the property the City currently leases from you located at 10 Auburn Avenue,Auburn, WA 98002. In an effort to ensure the longevity and the community benefit that the theater brings to the Auburn's downtown the City would like to propose the purchase of 10 Auburn Avenue, in conformity with the following business points. Subject Property: 10 Auburn Avenue,Auburn, WA 98002 Tax parcel 048900-0070 Purchase Price: Six Hundred Fifty Thousand Dollars ($650,000.00). Due Diligence Period: Sixty (60)days from mutual acceptance of the purchase and sales agreement. Automatically waived or deemed satisfied if no notice of disapproval is presented to the ownership within the due diligence period. Interior Contents: Any contents located inside the premises belonging to the Seller will become property of the Buyer upon closing.No additional value will be contributed to any such contents that may exist. Condition of the As-Is Premises: Deed: Statutory Warranty Deed Review of Title The City will have 10 days from the time the Seller supplies the City with a title commitment with which to review the title and provide Seller with a notice of disapproval or items requested of Seller to satisfy.If no notice of disapproval is provided by City then the title to the property is deemed to be acceptable. Closing Date: This transaction shall be closed in the office of First American AUBURN * MORE THAN YOU IMAGINED CITY Or SU9 Nancy Backus,Mayor WASHINGTON 25 West Main Street*Auburn WA 98001-4998*www.auburnwa.gov*253-931-3000 Title Insurance Company on or before December 31,2019 Closing Costs: The Seller will be responsible at their own cost for supplying and insuring marketable title, any transfer taxes, %2 of the total escrow fee and their own attorney's fees. The City will be responsible at their own cost for their own attorney's fees and %2 of the total escrow fee. Placards: City agrees to place two placard's provided and paid for by Seller at the entrance to the auditorium naming the it the Jillian Douglas Auditorium. Approval of Auburn City The purchase of this property is subject to approval of the Auburn Council: City Council. This proposal is not binding upon either party,rather a summary of terms City of Auburn staff can present to City Council for approval. If you are in agreement with the above terms,please execute this letter and return the executed copy to me so that the City may proceed with the Council process. Respectfully, Josh Arndt Property Analyst,Economic Development City of Auburn Jarndt@auburnwa.gov 253.288.4325 Acceptance of Terms JILLIAN ENTERPRISES LLC: CITY OF AUBURN: Bye �R�ma By: Kb ro•04..W Title: Manager Title: Ma � Date: 9-17-2019 Date: 11 . 1 • l q AUBURN * MORE THAN YOU IMAGINED [nstrument Number:20200131000622 Document:WD Rec: $105.50 Page-1 of 3 Excise Docs: 3031937 Selling Price: $650,000.00 Tax Amount:S10,675.00 Record Date:l/31/2020 9:53 AM Electronically Recorded King County,WA AFTER RECORDING MAIL TO: City of Auburn Economic Development, 25 West Main Street Auburn, WA 98001-4998 Filed for Record at Request of: Space above lies gee kr Recorders use ary First American Tide Insurance Company National Commercial Services STATUTORY WARRANTY DEED File No: NCS-990124-WA1(RN) Date: I/31/aoP-44 Grantor(s): Milian Enterprises, LLC Grantee(s): City of Auburn Abbreviated Legal: Ptn Lots 6-7 and All of Lot 5,BIk 14,L.W.Ballard's 3rd Add.to Slaughter,Vol. 8,Pg.47 Additional Legal on page: Assessor's Tax Parcel No(s): 048900-0070-05 1ST AM Nr,S--CfO I2'1 THE GRANTOR(S)Jillian Enterprises, LLC, a Washington limited liability company for and in consideration of Ten Dollars and other Good and Valuable Consideration, in hand paid, conveys, and warrants to City of Auburn Washington Municipal Corporation, the following described real estate, situated in the County of King,State of Washington. LEGAL DESCRIPTION: Real property in the County of King,State of Washington,described as follows: LOTS 5,6 AND 7,BLOCK 14, L.W.BALLARD'S 3RD ADDITION TO SLAUGHTER,ACCORDING TO THE PLAT THEREOF RECORDED IN VOLUME 8 OF PLATS,PAGE 47,IN KING COUNTY, WASHINGTON; EXCEPT PORTION OF SAID LOTS 6 AND 7 CONDEMNED IN KING COUNTY SUPERIOR COURT CAUSE NUMBER 140546 FOR STREET PURPOSES,AS PROVIDED BY ORDINANCE NUMBER 356 OF THE CITY OF AUBURN. Together with and subject to the following covenant: Dedication of Auditorium and Naming Covenant. Grantee agrees to dedicate and name the auditorium on the Subject Property the"Jillian Douglas Auditorium."Grantor will provide naming placards or plaques at Grantor's expense.The design shall be approved by Grantee.This covenant shall continue for a period of 25 years from the date of this deed. In the event the present structure is razed and replaced, a reasonable effort will be made by Grantee to locate an appropriate replacement location In the replacement structure to recognize and post the dedication to Jillian Douglas for the remaining period of this covenant.Acceptance and recording of this deed constitutes Grantee's approval and consent. Page 1 of 2 LPS 10-05 [nstrument Number:20200131000622 Document:WD Rec: $105.50 Page-2 of 3 Record Date:1/31/2020 9:53 AM King County,WA APN:048900-0070-05 Statutory Warranty Deed File No,:NCS-990124-WA1(RN) -continued Subject To:The Permitted Encumbrances on attached Exhibit A. Jillian Enterprises, LLC, a Washington limited liability company By: Douglas M- 'tat Community, its Sole Member B 411111111111111111111 -me: . Douglas Title: Manager STATE OF Washington -ss COUNTY OF - I certify that I know or have satisfactory evidence that J.B. Douglas, is/ire the person(. ) who appeared before me, and said persons)acknowledged that he/sbeithey signed this instrument, on oath stated that he/s ey is/afe authorized to execute the instrument and acknowledged it as the Manager of Douglas Marital Community, Sole Member of Jillian Enterprises, LLC, a Washington limited liability company to be the free and voluntary act of such party(ies) for the uses and purposes mentioned In this Instrument. Dated: /—Z9— 2oze c— z..4.40,4e5 Notary Public in and for the State of Washington Residing at: Stet. • TIM WALTERS My appointment expires:4.a/F zo23 NOTARY PUBLIC 0153020 • `, STATE OF WASHINGTON COMMISSION EXPIRES APRIL 9,2023 nstrument Number: 20200131000622 Document:WD Rec: $105.50 Page-3 of 3 tecord Date:1/31/2020 9:53 AM King County,WA Exhibit"A" Permitted Encumbrances 1. Easement, including terms and provisions contained therein: Recording Date: April 08, 1925 Recording Information: 2000352 In Favor of: Puget Sound Power&Light Company For: To construct,operate,maintain an overhang of electrical distribution wires Affects: (All Lots)as described therein. 2. Easement, including terms and provisions contained therein: Recording Information: August 24, 1943 under Recording No.3331235 For: Party wall and operation of an Iron drain pipe Affects: (All Lots)as described therein. 3. General Taxes for the year 2020 and thereafter. 4. Potential charges,for the King County Sewage Treatment Capacity Charge,as authorized under RCW 35.58 and IGng County Code 28.84.050. Said charges could apply for any property that connected to the King County Sewer Service area on or after February 1, 1990.None due and owing at Date of Policy, 5. Easement, including terms and provisions contained therein: Recording Information: April 29, 1926 under Recording No.2176548 For: Road Affects: (All Lots)as described therein. 6. Unrecorded leaseholds, if any,rights of vendors and security agreement on personal property and rights of tenants, and secured partiesto remove trade fixtures at the expiration of the term. 7. Survey by City of Auburn,dated January 8,2020 last revised January 22,job no.Q0709,disdoses the following: (A)Marquee sign in the south west corner crosses the boundary line onto adjoining property. (5) 10'Building encroachment onto the easement Recording No. 2000352,and (C)Building encroachment onto the easement Recording No.3331235 as to an undisclosed distance.