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02/12/13
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02/12/13
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7/18/2025 11:23:48 AM
Creation date
2/13/2013 1:16:02 PM
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Meetings
Meeting Document Type
Agenda
Document Title
Housing & Redevelopment Authority
Document Date
02/12/2013
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Under Article III.E.2, 3 and 4: <br />"Property Interest Solicitation -... disseminate marketing package(s) on behalf of <br />Owner to targeted groups. Establish communications and as appropriate facilitate <br />introduction of Owner to potential candidates for the various development options <br />with the intent for deal establishment.. Landform shall be the exclusive <br />development manager and will be responsible for all potential development deals <br />within the 140 acre Project." <br />"Development Options - Assist Owner in advancing the following development <br />scenarios: <br />a. Property Sale or Lease - Assist in finalizing an agreement for the sale or <br />lease of the Project land." <br />Article IV.B.1 and 2: <br />"Landform shall solicit the interest of various prospective end - users, to include <br />individual entities, corporations, developers, and /or development partners.... <br />Landform will.. , assist in the evaluation, consideration, negotiations, and deal <br />structuring on any disposition of land within the development area." <br />Under 2 the contract clearly sets forth an incentive structure that pays Landform a <br />commission on the sale of land, including upon the closing of any sales. <br />Though is it not present in the copy of the Landform contract reviewed, the previous <br />memorandum indicates that an early termination fee of $60,000 is due and payable <br />should the City terminate the contract prior to March of 2013. No specific date is <br />provided, so it is unknown whether this means prior to March 1, 2013, or March 31, <br />2013. <br />Landform's compensation under the contract is broken down into three categories: <br />Administrative Compensation, Incentive Compensation, and Additional Compensation. <br />The first category is for services provided during the period from April 1, 2010 to March <br />31, 2011, totals $180,000, and has already been paid. The third category is for services <br />that appear to be unrelated to the marketing and sale of land in the COR, but rather is for <br />actual development - related services, e.g., planning, civil engineering, design, for which <br />the City must employ Landform, or require the end -user to employ Landform, <br />presumably through a contractual provision included in the land sale agreement with the <br />end -user. <br />The second category, Incentive Compensation, appears to be for the marketing and sale <br />of property in the COR. Specifically, the contract states that Landform is to receive <br />Incentive Compensation for any sales /projects that have been declared prior to <br />Page 2 of 2 <br />
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