Agenda - Council - 04/25/2017 - Laserfiche WebLink

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CC Regular Session 4. 4. Meeting Date: 04/25/2017 Submitted For: Patrick Brama,Administrative Services By: Patrick Brama,Administrative Services Information Title Approve Aeon Purchase Agreement Amendment to Extend Closing Deadline Purpose/Background: Approve the attached amendment to the existing purchase agreement(PA)between the City of Ramsey and Aeon. In summary,this amendment extends the existing PA by two months (from September 29, 2017 to November 29, 2017). This Amendment formalizes two items: (1)the existing $9,150 of Aeon earnest money becomes non-refundable, and (2)Aeon must pay $2,500 of additional non-refundable earnest money for the requested two month extension. Aeon is asking for this extension to be "safe." At this point,they are planning on being ready to close on the PA by September 29, 2017 (the original closing date). However,the timing will be close. And,they don't want to bring a last second request to the Council to extend. They would rather be pro-active on this matter. Staff recently met with the Aeon development team,and it appears they are trending forward appropriately to meet their suggested timeline. Attached to this case is the staff memo from May 2016,when this PA was originally approved. Please reference that case for detailed background information. This type of request is not uncommon for the City to process. Staff is relying on past practice (informal policy) of requiring that existing earnest money becomes non-refundable,and new earnest money be placed down, and also becomes non-refundable. Notification: NA Observations/Alternatives: NA Funding Source: NA Recommendation: NA Action: Motion to: Approve the attached amendment to extend the purchase agreement between the City of Ramsey and Aeon. Attachments PA Amendment 1