HomeMy WebLinkAboutR-1998-016 Purchase & Sale Agreement / Sunfair Associates / Cable TelevisionRESOLUTION NO. R-98 1G
A RESOLUTION authorizing the City Manager and the City Clerk to execute a
Purchase and Sale Agreement with Sunfair Associates, and
to take such other steps as may be necessary and prudent to
complete the acquisition by the City of property owned by
Sunfair Associates at 124 South Second Street in Yakima.
WHEREAS, proper facilities are needed to house the City of Yakima
Department of Community and Economic Development Cable Television
Division; and
WHEREAS, the building at 124 South Second Street in Yakima owned by
Sunfair Associates has, in conjunction with a property exchange transaction
described in the attached Purchase and Sale Agreement, been altered and
improved to meet the needs of the Cable Television Division; and
WHEREAS, the property is available at an acceptable price, as provided
in the attached Purchase and Sale Agreement; and
WHEREAS, it is in the best interest of the City of Yakima that the City
go forward with acquisition of the property by executing a purchase and sale
agreement for the property and taking such other steps as may be necessary
and prudent to acquire the property; now, therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA:
The City Manager and the City Clerk are authorized to execute a purchase and
sale agreement in substantially the same formas the Purchase and Sale
Agreement attached to this resolution, and to take such other steps as may be
necessary and prudent to acquire the building at 124 South Second Street in
Yakima owned by Sunfair Associates to become the new location of the City of
Yakima Department of Community and Economic Development Cable
Television Division. Final execution of all transaction documents is subject to
review and approval as to form by the City Attorney.
;February
ADOPTED BY THE YAKIMA CITY COUNCIL this 3 day of y, 1998.
JOHN PUCCINELLI, Mayor
Al'1 EST:
City Clerk
lap\real estate\sunfair/ s. 2nd st.\auth CM & CC - exec P&S K res January 29, 1998 10:17 AM
PURCHASE AND SALE AGREEMENT
THIS AGREEMENT is made and entered into this day of
, 1998, by and between SUNFAIR ASSOCIATES, a Washington
general partnership consisting of Steven L. Alegria and Patricia Alegria,
husband and wife, and H. E. "Jerry" Maggard, (hereinafter collectively referred
to as "Sunfair") and the CITY OF YAKIMA, Washington, a municipal corporation
of the State of Washington, whose address is 129 North 2nd Street, Yakima,
Washington 98901, (hereinafter referred to as "City"), WITNESSETH:
RECITALS
Sunfair is the owner of the following -described improved real property in
Yakima, Yakima County, Washington, hereinafter referred to as Parcel A, to
wit:
Parcel A:
Lots 12 and 13 and So. 1 ft of Lot 11, Block 32, Town of North
Yakima, Now Yakima, according to Records of Yakima County.
(Parcel # 191319-23488.)
Said Parcel A is improved and was most recently used as a retail carpet outlet.
The City is the owner of the following improved real property in the City
of Yakima, Yakima County, Washington, hereinafter referred to as Parcel B, to
wit:
Parcel B:
Lots 1, 2, 15, and 16, Block 312, Capital Addition to the City of North
Yakima, now Yakima, Washington, as recorded in Volume "A" of Plats,
Page 29, records of Yakima County, Washington.
Said Parcel B is improved and currently houses the City's Animal Control
Division and the City Fire Department's Electronics and Maintenance Offices.
The City completed a Phase I and soil sample testing Environmental Audit of
Parcel A. Other and further environmental audits, testing and clean-up have
been completed by Sunfair at its expense. The Washington State Department
of Ecology has reviewed an Interim Remedial Action Report submitted by
Sunfair and has issued a no further action letter which states the property will
not be subject to enforcement of environmental laws by the Department of
Ecology on the basis of soil contamination at Parcel A.
Sunfair seeks to acquire Parcel B and the City seeks to acquire Parcel A.
An appraisal has been completed by Western Appraisers, Inc. valuing Parcel A
at One Hundred Eighty -Two Thousand Five Hundred Dollars ($182,500.00)
and Parcel B at One Hundred Ninety -Four Thousand Four Hundred Dollars
($194,400.00). The parties have negotiated at arms length for a substantial
period of time and have agreed to the following:
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PURCHASE AND SALE AGREEMENT -- Page 1 of 8
1. Sunfair will convey Parcel A to the City in exchange for the City
conveying Parcel B to Sunfair.
2. Sunfair shall. prior to closing. make those necessary and
recommended alterations and improvements listed in Appendix "A"
attached hereto. These alterations have an agreed value of Sixty -Four
Thousand Nine Hundred Dollars ($64,900.00); bringing the total value of
Parcel A with alterations to Two Hundred Forty -Seven Thousand Four
Hundred Dollars ($247,400.00).
3. The City shall agree to pay the difference in value of the parcels of
sixty- F i veThousand Dollars ($65,000.00) to Sunfair, due and payable
on closing. The purpose of this document is to set forth the terms and
i-litir-,-tc of o„nl-, oe r rr%ant
IT IS MUTUALLY AGREED by and between the parties hereto as follows:
1. Conveyance by Sunfair. Sunfair agrees to convey Parcel A to the City,
by Statutory Warranty Deed, free and clear of all encumbrances, except for
rights reserved in federal patents, state or railroad deeds, utility or other
easements of record, rights-of-way or easements shown on the plat or risible by
inspection, reserved oil or mineral rights, if any, and any pending or future
adjudication of surface water rights.
2. Conveyance by City. City agrees to convey Parcel B to Sunfair, by Quit
Claim Deed. Sunfair is aware that Parcel B is subject to unexercised
reversionary interests or rights of reentry.
3. Purchase Price of Parcel A. In consideration of Sunfai s conveyance of
Parcel A to City, City shall, in addition to conveyance of Parcel B to Sunfair,
pay Sunfair the amount of Sixty -Five Thousand Dollars ($65,000.00), due and
payable upon closing.
4. Conditions Precedent to Sale. This Agreement is subject to the
following express conditions precedent, and neither party shall be obligated to
exchange parcels or otherwise close this purchase and sale transaction until all
of the following conditions precedent are satisfied in the manner set forth
below:
A. Parcel A
1) Clear Title. At or before time of closing, Sunfair shall clear
any and all defects in the title and all liens, encumbrances,
covenants, rights-of-way, easements, or other outstanding rights
disclosed by the preliminary title report, except those matters set
forth in Section 1.
2) General Building Improvements. Sunfair shall complete, at
its own cost and expense, alterations and improvements necessary
to render Parcel A suitable to house Yakima Community Television
(YCTV). Satisfactory completion of such alterations and
improvements shall be subject to City's approval and satisfaction
in its sole and exclusive discretion.
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PURCHASE AND SALE AGREEMENT -- Page 2 of 8
3) Studio Improvements. In addition to General Building
Improvements required in the preceding paragraph, Sunfair shall
complete, at its own cost and expense, improvements and
alterations necessary for Cable Television Division technical
production activities including the installation of extra lighting,
individual dimmer switches and circuits for each light in the studio
and additional electrical panels and a switching subpanel.
Satisfactory completion of such alterations and improvements shall
be subject to City's approval and satisfaction in its sole and
exclusive discretion.
B. Parcel B
1) Clear Title. At or before time of closing, City shall clear all
liens, encumbrances, covenants, rights-of-way, easements, or
other outstanding rights disclosed by the preliminary title report,
except those matters set forth in Appendix "A."
2) Satisfactory Environmental Audit and Feasibility Studies.
Upon execution of this Agreement, Sunfair and its agents and
subcontractors, are granted the privilege of entering upon Parcel B
for the purpose of performing environmental audits, soil tests,
asbestos tests, engineering and feasibility studies, and such other
studies as Sunfair may in its sole and exclusive discretion deem
necessary to determine the suitability of the property for the
purpose for which Sunfair desires to purchase the same. At a
minimum, Sunfair shall complete a Phase I Environmental Audit of
the property but other and further environmental audits/testing
may be performed. The results of such audits, tests, and studies
must be determined to be satisfactory in Sunfair's sole and
exclusive discretion. Notice of satisfaction of this condition shall
be provided by Sunfair to City in writing no later than March 15,
1998. Failure to give notice within said time period shall be
deemed to be nonsatisfaction. All costs of investigation or cleanup
shall be paid by City.
In the event that any of the foregoing conditions precedent is
not satisfied in the manner set forth above, then this Agreement
shall terminate and be without any further force and effect, and
without further obligation of either party to the other party. Any
cost, outstanding obligation, or debt incurred by either party in the
performance of this agreement; exclusive of costs incurred by a
party for environmental audits, feasibility studies and cleanup,
which shall remain the obligation of the seller; shall not, under any
circumstances, be recoverable from The other party.
4. Closing. The transaction contemplated hereby shall be closed at Fidelity
Title Company, Yakima, Washington, with the contemplated closing date of
April 1, 1998, but which may be earlier or later if the parties so agree, and
which will occur as soon as reasonably practicable following fulfillment of the
conditions precedent. On closing, each party shall deliver to the other its duly
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PURCHASE AND SALE AGREEMENT -- Page 3 of 8
executed Deed conveying the respective Parcels A and B and each shall be
responsible for the payment of the recording fees for the Deed in its favor, for
the cost of title insurance for the parcel which it conveys, and for one-half (1/2)
of the escrow closing fee. Real Estate Sales Excise Tax if applicable, shall be
paid by the grantor of the taxed parcel.
5. Representations, Warranties, and Indemnities.
A. Definition of "Hazardous Substance." When used iii this Agreement the
term "hazardous substance" shall be defined to mean any substance or
material defined or designated as hazardous or toxic waste, hazardous or toxic
material, a hazardous, toxic, or radioactive substance, or other similar term, by
any federal, state, or local environmental statute, regulation, or ordinance
+�_t_.7 the �.4.....c. as such statutes,
in effect or that may be promulgated in he f S6 4.ase, seas be •,es,
regulations, and ordinances may be amended from time to time, including, but
not limited to, the statutes listed below:
1) Federal Resource Conservation and Recovery Act of 1976, 42
U.S.C. § 6901 et seq.
2) Federal Comprehensive Environmental Response, Compensation,
and Liability Act of 1980, 42 U.S.C. § 9601 et seq.
3) Federal Clean Air Act, 42 U.S.C. § 7401-7626.
4) Federal Water Pollution Control Act, Federal Clean Water Act of
1977, 33 U.S.C. § 1257 et seq.
5) Federal Insecticide, Fungicide, and Rodenticide Act, Fed. Pesticide
Act of 1978 7 U.S.C. § 13 et seq.
Al Federal Toxic Substance Control Act, 15 U.S.C. § 2601 et seq.
7) Federal Safe Drinking Water Act, 42 U.S.C. § 300(0 et seq.
8) Washington Clean Air Act, RCW Chapter 70.94.
9) Washington Solid Waste Management -Recovery and Recycling Act,
RCW Chapter 70.95.
10) Washington Model Toxics Control Act, RCW Chapter 70.105D.
11) Washington Hazardous Waste Fees Act, RCW Chapter 70.105A.
12) Washington Nuclear Energy and Radiation Act, RCW Chapter
70.98.
13) Washington Radioactive Waste Storage and Transportation Act of
1980, RCW Chapter 70.99.
B. Parcel A
1) Representations and Warranties. Sunfair represents and warrants
to City that the following are true and correct:
a. There are no hazardous substances present on or under
Parcel A; and
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PURCHASE AND SALE AGREEMENT -- Page 4 of 8
b. Sunfair will not cause or permit any activities on Parcel A
which directly or indirectly could result in a release of hazardous
substances on or under Parcel A; and
c. Any hazardous substances that may have been released or
present on or under Parcel A have been properly treated, cleaned
up, removed, and disposed of in compliance with all federal, state,
and local environmental statutes, regulations, and ordinances,
including, but not limited to, the statutes listed in subsection (Al
above; and
d. Sunfair has completed all remedial, cleanup, and corrective
actions required pursuant to all federal, state, and local
environmental statutes, regulations, and ordinances, and in
confoi mance with all applicable standards of professional skill,
competence, and care; and
e. Sunfair shall at all times retain any and all liabilities arising
from the off-site handling, treatment, storage, transportation, or
disposal of hazardous substances by Sunfair.
The foregoing representations and warranties shall survive the closing.
2) Indemnities. Sunfair shall protect, defend, indemnify, and hold the
City harmless from and against any and all claims, demands, losses,
liens, liabilities, penalties, fines, lawsuits, and other proceedings and
costs and expenses (including attorney's fees and disbursements), which
accrue to or are incurred by the City on or after transfer of Parcel A and
arise directly or indirectly from or out of, relate to, or in any way are
connected with (1) any breach of the representations or warranties
contained herein, (2) any activities on Parcel A during Sunfair's
ownership, possession, or control of Parcel A which directly or indirectly
result in Parcel A or any other property becoming contaminated with
hazardous substances, and (3) the presence, discovery, or cleanup of any
hazardous substances released or existing on or under Parcel A at any
time prior to the date title is transferred to the City.
The foregoing indemnities shall survive the closing; provided, however, that: (1)
City's failure to, prior to closing, undertake all appropriate inquiry into the
previous ownership and uses of the property, consistent with good commercial
or customary practice in an effort to minimize liability or (2) City's act or
omission after closing causes or contributes to the release or threatened release
of a hazardous substance at the property, shall render these indemnities null
and void. Further, these indemnities shall not inure to the benefit of any third
party or future purchaser of the property and do not run with the land.
C. Parcel B
1) Representations and Warranties. City represents and warrants to
Sunfair that the following are true and correct:
a. There are no hazardous substances present on or under
Parcel B; and
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PURCHASE AND SALE AGREEMENT -- Page 5 of 8
b. City will not cause or peimit any activities on Parcel B which
directly or indirectly could result in a release of hazardous
substances on or under Parcel B; and
c. Any hazardous substances that may have been released or
present on or under Parcel B have been properly treated, cleaned
up, removed, and disposed of in compliance with all federal, state,
and local environmental statutes, regulations, and ordinances,
including, but not limited to, the statutes listed in subsection (A)
above; and
d. City has completed all remedial, cleanup, and corrective
actions required pursuant to all federal, state, and local
environmental statutes, regulations, and ord.nance..0..., P�rid- in
_--
confoi mance with all applicable standards of professional skill,
competence, and care; and
e. City shall at all times retain any and all liabilities arising
from the off-site handling, treatment, storage, transportation, or
disposal of hazardous substances by City.
The foregoing representations and warranties shall survive the closing.
2) Indemnities. City shall protect, defend, indemnify, and hold
Sunfair harmless from and against any and all claims, demands, losses,
liens, liabilities, penalties, fines, lawsuits, and other proceedings and
costs and expenses (including attorney's fees and disbursements), which
accrue to or are incurred by Sunfair on or after transfer of Parcel B and
arise directly or indirectly from or out of, relate to, or in any way are
connected with (1) any breach of the representations or warranties
contained herein, (2) any activities on Parcel B during City's ownership,
possession, or control of Parcel B which directly or indirectly result in
Parcel B or any other property becoming contaminated with hazardous
substances, and (3) the presence, discovery, or cleanup of any hazardous
substances released or existing on or under Parcel B at any time prior to
the date title is transferred to Sunfair.
The foregoing indemnities shall survive the closing; provided, however,
that: (1) Sunfair's failure to, prior to closing, undertake all appropriate
inquiry into the previous ownership and uses of the property, consistent
with good commercial or customary practice in an effort to minimize
liability or (2) Sunfair's act or omission after closing causes or
contributes to the release or threatened release of a hazardous substance
at the property, shall render these indemnities null and void. Further,
these indemnities shall not inure to the benefit of any third party or
future purchaser of the property and do not run with the land.
7. Notices. Any notices required or desired to be given under this
Agreement shall be in writing and personally served, given by overnight express
delivery, or given by mail. Any notices given by mail shall be sent, postage
prepaid, by certified mail, return receipt requested, addressed to the party to
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PURCHASE AND SALE AGREEMENT -- Page 6 of 8
receive at the following address or at such other address as the party may from
time to time direct in writing:
SUNFAIR Sunfair Associates, a Washington
partnership
Attn: H. E. "Jerry" Maggard
Yakima, WA 98901
CITY: City of Yakima
c/o City Manager
129 North Second Street
Yakima, WA 98901
Title Company: Fidelity Title Company
406 North 2nd Street
Yakima, WA 98901
Express delivery notices shall be deemed to be given upon receipt. Postal
notices shall be deemed to be given three (3) days after deposit with the United
States Postal Service. Copies of all notices to Seller or Purchaser shall be given
to Fidelity Title Company, and copies of all notices to Fidelity Title Company
shall be given to the other party to this Agreement.
8. Assignment. Neither party shall not transfer or assign this Agreement,
or any interest therein, without the consent in writing of the other party, and it
is agreed that any such transfer or assignment, whether voluntary, by
operation of law or otherwise, without such consent in writing, shall be
absolutely void and shall, at the option of the non-transferring/assigning party,
tee minate this Agreement.
9. Waiver of Breach. A waiver by either party hereto of a breach of the
other party hereto of any covenant or condition of this Agreement shall not
impair the right of the party not in default to avail itself of any subsequent
breach thereof. Leniency, delay or failure of either party to insist upon strict
performance of any agreement, covenant or condition of this Agreement, or to
exercise any right herein given in any one or more instances, shall not be
construed as a waiver or relinquishment of any such agreement, covenant,
condition or right.
10. Time of the Essence. Time is of the essence of this Agreement.
11. Law Governing. This Agreement shall be governed in all respects by the
laws of the State of Washington.
12. Successors and Assigns. Subject to the provisions of Section 9, this
Agreement shall be binding upon and inure to the benefit of the parties hereto,
their successors, and assigns.
13. Entire Agreement. It is understood and agreed that all understandings
and agreements, whether written or oral, heretofore had between the parties
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PURCHASE AND SALE AGREEMENT -- Page 7 of 8
hereto are merged in this Agreement, which alone fully and completely
expresses their agreement, that neither party is relying upon any statement or
representation not embodied in this Agreement, made by the other, and that
this Agreement may not changer1 except by an instrument in writing signed
1111 Agreement Vlil 11 l.11l 111 GL,' be V++�+a�v�+ va�vvt. .. ... --- --- -- instrument v v
by both parties.
14. Litigation. In the event there should be any litigation arising out of this
Agreement, venue shall lie in Yakima County, Washington, and the prevailing
party shah be entitled to recover its reasonable attorney's fees and costs.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement
as of the date first herein written.
Witness:
A11ES1:
(Seal)
City Clerk
Sunfair's acceptance:
Sunfair agrees to the�property
herein. Sunfair unfaacknowledges
both parties.
Witness:
CITY
CITY OF YAKIMA, WASHINGTON
By:
R. A. Zais, Jr., City Manager
day of , 1998.
exchange on the terms and conditions specified
receipt of a copy of the Agreement, signed by
SUNFAIR
SUNFAIR ASSOCIATES,
A WASHINGTON PARTNERSHIP
By:
Witness:By:
Witness:
By:
H. E. "Jerry" Maggard
Steven L. Alegria
Patricia Alegria
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PURCHASE AND SALE AGREEMENT -- Page 8 of 8
APPENDIX "A"
1. Right of Reversion in case of a breach of restrictions, its terms and
conditions, imposed by Deed recorded April 5, 1913, Volume 136 of
Deeds, under Auditor's File Number 37830.
By virtue of Agreements recorded August 20, 1914, in Volume 143
of Deeds, under Auditor's File Number 58847 and recorded August 8,
1914, in. Volume 146 of Deeds, under Auditor's File Number 584648 and
58469, certain conditions of said reversionary right were modified with
regard to Lot 15.
2. Agreement and the terms and conditions thereof regarding
reservation as to the use of said Lots 1, 2, and 16, and provisions for
compensation or reversion of title in the event of cessation of use, as
recorded August 20, 1914, in Volume 143, of Deeds, under Auditor's File
Number 58847.
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PURCHASE AND SALE AGREEMENT -- APPENDIX A - Page 1 of 1
BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT /
Item No. /
For Meeting Of February 3. 1998
ITEM TITLE: Resolution authorizing the City Manager and the City Clerk to
execute a Purchase and Sale Agreement with Sunfair Associates,
and to take such other steps as may be necessary and prudent to
complete the acquisition by the City of property owned by Sunfair
Associates at 124 South Second Street in Yakima.
SUBMITTED BY: Glenn Rice, Assistant City M
CONTACT PERSON/TELEPHONE: Glenn Rice, 575-6040
SUMMARY EXPLANATION: Proper facilities are needed to house the City of
Yakima Department of Community and Economic Development Cable Televi-
sion Division. The building at 124 South Second Street in Yakima owned by
Sunfair Associates has, in conjunction with a property exchange transaction
described in the attached Purchase and Sale Agreement, been altered and
improved to meet the needs of the Cable Television Division.
The property is available at an acceptable price, as provided in the attached Pur-
chase and Sale Agreement. The transaction is basically an exchange of old City Fire
Station No. 2 for the S. 2nd Street property. Because of the difference in the values
of the properties to be exchanged, the City will also pay $65,000 to Sunfair.
Resolution X Ordinance Contract Other(Specify)
Funding Source
APPROVED FOR SUBM1TIAL:
City Manager
STAFF RECOMMENDATION: ADOPT THE PROPOSED RESOLUTION.
BOARD/COMMISSION RECOMMENDATION: N/A
COUNCIL ACTION:
lap\real estate\sunfair/ s. 2nd st.\agenda stmt - 2/3/98
MEMORANDUM
TO: The Honorable Mayor and Members of the City Council
Dick Zais, City Manager
FROM: Glenn Rice, Assistant City Manager
DATE: January 20, 1998
SUBJECT: Old Fire Station #2 Property Exchange Proposal for 124 South 2nd
Street
In May 1996, a report was submitted to Council outlining the real estate
exchange proposal of Old Fire Station #2 for Sunfair Associates property located
at 124 South 2nd Street. The purpose for this exchange is to provide a new
operating facility for YCTV/YPAC to ensure a long-term, up-to-date, viable,
permanent location. We began negotiations with Mr. Jerry Maggard of Sunfair
Associates and recommended to you an exchange of properties for a $42,000
difference. This difference was due to necessary remodeling of 124 South 2nd
Street to meet YCTV's needs. Council directed staff to make that offer to Mr.
Maggard.
In November 1996, Mr. Maggard requested an additional $15,000 for substantial
improvements due to increased needs for electrical power, lighting and
additional heating and air-conditioning. At the Executive Session Meeting of
December 3, 1996, the Council approved Mr. Maggard's request for the
additional funds. The environmental cleanup with a "no further action" Tetter was
still pending.
By April 1997, the environmental cleanup required to complete Sunfair
Associates portion of the exchange still had not been completed. Mr. Maggard
then asked if the City would consider some kind of early properties exchange
agreement based on receiving the "no further action letter." This proposal was
brought to the Council and they declined to entertain it, requiring that the
cleanup be completed to the City's satisfaction, prior to any transaction.
On December 17, 1997, the Department of Ecology wrote a letter to Mr.
Maggard stating that the site at 124 South 2nd Street "will be added to the site
information data base as a NO FURTHER ACTION site for soils." This letter is
attached to Mr. Maggard's latest correspondence in which he informs the City
that their Independent Remedial Action Plan (IRAP) will still hold them
responsible for the environmental terms and conditions of the "no further action"
CounciUCM
Old F/S #2
1/12198
Page 1
letter, and that the IRAP has been approved by DOE. Sunfair Associates also
indicates that they have spent an additional $24,000 in indirect costs since
completing the work at 124 North 2 Street, plus an additional $17,000 in direct
costs to the property. He is requesting the City to reimburse Sunfair the
additional $17.000 for the direct costs and that Sunfair will absorb the $24,000
for indirect costs.
The City had previously agreed to pay Sunfair the additional $15,000 (increased
from $42,000 to $57,000) that was approved by the Council on December 3,
1996. This latest request for an additional $17,000 would raise the property
exchange difference to $74,000.
On Friday, January 9, I spoke to Mr. Maggard about his request for the
$1 0 He that the length time since originaiiy
additional � r r,�00. stated that due to the � ��� i�F� � of "' "' "^
completing the building, there was necessary sheet metal work, additional work
in the garage area and further repair to the brick facade because of weather
damage in 1997. After a short negotiation, Mr. Maggard agreed to amend his
original request of $17,000 to $8,000 for completion of the building.
RECOMMENDATIONS AND CONCLUSIONS:
Although Mr. Maggard has asked for an additional $23,000 from the City for
building changes, this amount is Tess than that required to remodel Fire Station
#2 for YCTV's purpose.
The Council has several options:
• Reject the request and discontinue negotiations
• Remodel Old Fire Station #2 for YCTV
• Accept Mr. Maggard's request for an additional $8,000 and complete
the 124 North 2nd Street phase of the exchange
• Find another location for YCTV operations
If the Council accepts this request, we will continue with the exchange process.
It still incumbenton the City to complete its own environmental process on Old
It is still v�, .�,•.
Fire Station #2 acceptable to Sunfair Associates prior to completing this
exchange.
Council/CM
Old F/S #2
1/12/98
Page 2
liC
SERVICES _..__ . . :. . W.:
108 SOUTH SIXTH AVENUE 7. C'iT i y;= 'r '
� YAKIMA, WA 98902
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1 Cl :-I E OF CI�l 4 3i..4.`ti•l.'lui( 1
• THE CASCADE BUILDING
December 24, 1997
City of Yakima
City Manager's Office
Attn: Dick Zais
129 No. 2nd Street
Yakima, Wa 98901
Subject: Property Exchange
Fire Station #2/Sunfair Associates
^...rzrrs:.>ti+�:a:.s„_^• -'rte: ;::.F'.+a•n..ati.•
Dear Mr. Zais,
Please find enclosed our most recent letter from Department of Ecology as regards the
old "Monument Building” owned by Sunfair Associates. It has been a long time coming
but finally, "no further action" has been received.
As we have discussed and as part of our Independent Remedial Action Plan (TRAP).
Sunfair Associates will still be responsible for the fust well testing as stated in enclosed
letter.
At this time, we are desirous of completing the long awaited exchange of properties
between the City of Yakima and Sunfair Associates. As we have discussed, Sunfair
Associates have spent nearly $24,000.00 in indirect expenses since completing the work,
plus an additional $17,000.00 in direct costs relating to this property. I am requesting the
City of Yakima reimburse Sunfair Associates for the direct expenses of $17,000.00 and
Sunfair Associates will have to absorb the indirect costs as a cost of ownership.
Our earlier agreement stated that the City pay Sunfair $57,000.00 difference in values of
properties wherein each party then pays their own cost of sale. Adding the additional
costs of $17,000.00 the difference between properties in this exchange would be
$74,000.00.
Please let us know the City of Yakima's position in this matter as we need to finalize this
exchange as soon as possible.
Phone (509) 453-5563 • FAX (509) 453-6438
WE BUILD/DEVELOP • COMMERCIAL/INCOME/INVESTMENT PROPERTIES
In review of the check -list of items to be performed by Sunfair on the subject property we
notice a couple small items that need completion and we are wining to act inunediately
upon City approval herein.
Thank you foug assistance and patience.
Sincerel
H.E. "J
Sunf.
ard, Partner
Associates
Enclosure
STATE OF WASHINGTON
DEPARTMENT OF ECOLOGY
15 West Yakima, Suite 200 o Yakima, Washington 98902-3401 (S09) 575-2490
December 17, 1997
H.E. Jerry Maggard
Sunfair Associates
106 South 6th Avenue
Yakima, WA 98902
Dear Mr. Maggard.
RE: Advanced Carpet Warehouse Property, 124 South 21 Street, Yakima, Washington
P rty�
Thank you for submitting the results of your independent remedial action for Ecology's review.
Ecology appreciates your initiative in pursuing this administrative option under the Model Toxics
Control Act.
The Washington State Departmen evanc
of Ecology's
Warehouse property2 S South rd Street,
YToxics akima,
Program has reviewed the
following information regarding th
Yakima, Washington:
1. Independent Remedial Action th rd StreetvYakima,WA, Sunfair Associates, gation and Remediation, July, 19Carpet
Warehouse property, 12
2. Meeting with property owner, consultant and city officials on December 3, 1997.
3. Supplemental submittal of soil disposition, December 10, 1997.
4. Supplemental submittals of water elevations for July 21, 1997 and December 10, 1997,
received December 12, 1997.
5. Supplemental submittal of additional soil excavation and soil testing activities, received
December 12, 1997.
6. Meeting with property owner and consultant on December 12, 1997.
Based upon the above listed information �e �� �determined ���e�i� ��essed in the
site soils
do not pose a threat to human heat
independent remedial action report.
Therefore, Ecology is issuing this determination that no further action is necessaosite
is that
under the Model Toxics Control Act (MTCA), Ch. 70.105D RCW. However, please
•
RE. Jerry Maggard
Sunfair Associates
December 16, 1997
Paget
because your actions were not conducted under a consent dew,
�.i h Ecology, this letter _s not A
_
settlement by the state under RCW 70.105D.040(4).
This determination is made only with respect to the release identified in the independent remedial
action report dated July 1997. This no further action determination applies only to the soils on
this property affected by the release(s) identified in the report. It does not apply to existing
groundwater contamination under the property, nor any other release or potential release at the
property not documented in the report. This release in no way absolves to present owner of any
responsibilities associated with the Yakima Railroad Area groundwater cleanup. Ecology
reserves the right to require the present owner to undertake additional groundwater investigation
and/or remediation activities.
Ecology does not assume any liability for any release, threatened release or other conditions at the
site, or for any actions taken or omitted by any person or his/her agents or employees with regard
to the release, threatened release, or other conditions at the site.
This site will be added to the Site Information System database as a No Further Action site for
soils. This site will appear on the lists of contaminated sites generated from the Site Information
System, but only for remaining groundwater contamination.
If you have any questions, please contact me at (509) 454-7842.
L JILVer el jt•
Debra Kroon
Environmental Specialist
Toxics Cleanup Program
cc: Donald Abbott, WDOE
Mark Peterschmidt, WDOE
OFFICE OF THE CITY MANAGER
129 NORTH SECOND STREET
CITY HALL, YAKIMA, WASHINGTON 98901
PHONE: (509) 575-6040
April 29, 1997
Sunfair Associates
Mr. Jerry Maggard
c/o Advanced Services
The Rockford Building
412 South 3rd Street, #4
Yakima, WA 98901
Dear Jerry:
We have received your letter of April 14 regarding the proposed exchange of former fire
station two for the South Second Street property. The City of Yakima is also desirous of
finalizing the property exchange. It's good to see that you have found a consultant that is
able to accomplish required testing at a reasonable cost. When Sunfair Associates has
obtained a no further action letter from the Department of Ecology and the cleanup is
otherwise completed to the City's satisfaction, we will be able to complete our
transaction. An early possession agreement is not an acceptable option.
We have provided you with a copy of the updated purchase and sale agreement. If you
agree, please return the signed document so it can be placed on the City Council agenda.
If you have any changes or concerns regarding this agreement, please propose any
amendments to the document and return it to us. If you have any further questions, please
contact me or Jeff West at the Legal Department (575-6030) .
Sinc-�,-1y,
enn Rice
Assistant City Manager
/sb
November 27, 1996
City of Yakima
Attn: Glen Rice
129 N. 2nd Street
Yakima, Wa 98901
Dear Glen,
SERVICES •
412 SOUTH MO STREET; K0.4
Pursuant to our phone conversation of 9/26/96 and after review of outttimated costs of
ret•rofit on 124 So. 2nd Street building, we find a cost overnm.of nearly S30•,�; 00.
I am writing in hopes of receiving assistance from the City of Yakima in an amount of
S15,000.00. Most of the cost increase is duc to the special needs of electric power,
lighting and additional heating and air conditioning.
As you are aware our original agreement was without floor plans indicating,studios
special effect
1 would like to complete this soon, therefore, please let me know as soon as possible.
Thank you for your consideration.
• Sincerely,
/`"eJ.
ILE. ' erry" Maggard
Sunfair Associates
HiEMlpam
•
•
Phone (509) 453-5563 • FAX (509) 45343839
WE MO/DEVELOP • CCMMERCi L1?NCOMEf7NVESTMENT PROPERTIES