HomeMy WebLinkAboutResolution - 2019-R0216 - Real Estate Sales Contract For South Plains College - 06_11_2019Resolution No. 2019-R0216
Item No. 6.14
June 11, 2019
RESOLUTION
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the Mayor of the City of Lubbock is hereby authorized and directed to execute for and
on behalf of the City of Lubbock, a Real Estate Sales Contract, by and between the City of
Lubbock and South Plains College, of Levelland, Texas, and all related documents. Said
Contract is attached hereto and incorporated in this resolution as if fully set forth herein and
shall be included in the minutes of the City Council;
THAT the City Council finds it to be in the best interest of the citizens of the City of
Lubbock in order to expedite the performance of' city business, to delegate authority to
execute any necessary or related documents associated with this conveyance to the City
Manager of the City of Lubbock, or his designee.
Passed by the City Council on June 11, 201
�j —I---
DANIEL M. POPE, AYOR
ATTEST:
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Re ecca Garza, City Sec eta
APPROVED AS TO CONTENT:
Mark Xearwood, Assistant City Manager
APPROVED AS TO FORM:
R an roolce, Assistant City Attorney
RLS.Real Estate Sales Contract — South Plains College
5.28.19
Resolution No. 2019-RO216
REAL ESTATE SALES CONTRACT
This Real Estate Contract (the "Contract") to buy and sell real and personal property is between Seller and Buyer, as
identified below, and is effective on the date of the last of the signatures by Seller and Buyer as parties to this contract
(the "Effective Date").
PARTIES
Seller: City of Lubbock, Texas
Address: P.O. Box 2000, Lubbock, Texas, 79457
Phone: 806.775.2003
Buyer: South Plains College
Address: 1401 College Ave., Levelland, Texas, 79336
Phone: 806.894.9611
Property:
This property is commonly described as 1625 13"' Street, Lubbock, Lubbock County, Texas, and legally described
as a 2.56 acre tract of land out of Lot C, G. A. Rush Addition to the City of Lubbock, Lubbock County, Texas,
according to the Map, Plat and/or Dedication Deed thereof recorded in Volume 1805, page 58 of the Deed Records
of Lubbock County, Texas; and
1512 15"' Street, Lubbock, Lubbock County, Texas, and legally described as Lots One (1), Two (2), Three (3), Four,
(4), Five (5), Six (6), Seven (7), Eight (8), Nine (9), and Ten (10), Block One Hundred Sixty (160), Original Town
of Lubbock, Lubbock County, Texas, according to the Map, Plat and/or Dedication Deed thereof recorded in
Volume 1805, page 52 of the Deed Records of Lubbock County, Texas; and
1652 13"' Street, Lubbock, Lubbock County, Texas, and legally described as the East Thirty -One feet (3 1') of Lot
Seven (7), Lots Eight (8), Nine (9), and Ten (10), and the Twelve Foot (12') strip East of Lot Ten (10), Block One
(1), Overton Addition to the City of Lubbock, Lubbock County, Texas, according to the Map, Plat and/or Dedication
Deed thereof recorded in Volume 1977, page 436 of the Deed Records of Lubbock County, Texas; and
1603 1311' Street, Lubbock, Lubbock County, Texas, and legally described as Lots One (1), Two (2), Three (3), and
Four (4), Block One Hundred Forty -Three (143), Original Town of Lubbock, Lubbock County, Texas, according
to the Map, Plat and/or Dedication Deed thereof recorded in Volume 5, page 384 of the Deed Records of Lubbock
County, Texas; and the East Twenty -Five feet (25') of the abandoned street west of Block One Hundred Forty -
Three (143) (Formerly known as Avenue P), according to the Map, Plat, and/or Dedication Deed thereof recorded
as Instrument No. 2015-15534 & 2015-15535 of the Deed Records of Lubbock County, Texas: and
the property being further described in Exhibit A attached hereto (the "Land"), together with improvements to the
Land (the "Improvements"), and the personal property associated with the Land (the "Personal Property"), save
except the Generator located at 1652 13"' Street, Lubbock, Lubbock County, as described above; and the 75"'
Anniversary Bell (the "Bell") donated to the City of Lubbock by Alfred Sternagel and Furr's, Inc and located at
1625 13"' Street, Lubbock, Lubbock County, as described above; and the Granite Panels with State of Texas carving
and "City of Lubbock" lettering mounted behind the City Council dais in the City Council Chambers at 1625 1311'
Street, Lubbock, Lubbock County, as described above. Said Generator, Bell, and Granite Panels will remain the
property of Seller, City of Lubbock. Said Generator, Bell, and Granite Panels being more particularly described and
depicted below, in Exhibit A.
Real Estate Sales Contract — City of Lubbock to South Plains College Page 1 of 16
Title Company: Lubbock Abstract & Title Company
Address: 1216 Texas Avenue, Lubbock, Texas, 79401
Phone: 806.763.0431
Fax: 806.763.2207
PURCHASE PRICE / EARNEST MONEY / COUNTY OF PERFORMANCE
Purchase Price: TWO MILLION AND 00/100 DOLLARS ($2,000,000.00)
Earnest Money: ONE HUNDRED AND 00/100 DOLLARS ($100.00)
County for Performance: Lubbock County, Texas
TERMS
A. Deadlines and Other Dates
All deadlines in this contract expire at 5:00 P.M. local time where the Property is located. If a deadline falls on a
Saturday, Sunday, or holiday, the deadline will be extended to the next day that is not a Saturday, Sunday, or holiday.
A holiday is a day, other than a Saturday or Sunday, on which state or local governmental agencies and financial
institutions are not generally open for business. Seller shall provide written notice to Buyer when the Property has
been vacated (the "Vacation Notice Date") as required by paragraph M.1. Time is of the essence.
1. Delivery of Title Commitment: Thirty (30) days after the Effective Date
2. Delivery ofSwvey: Forty-five (45) days after the Effective Date
3. Delivery of UCC Search: Thirty (30) days after the Effective Date
4. Delivery of legible copies of instruments referenced in the Title Commitment, Survey, and UCC Search: Thirty
(30) days after the Effective Date
5. Delivery of Title Objections: Forty-five (45) days after delivery of the latest delivered of the Title Commitment,
Survey, and legible copies of the instruments referenced in them
6. Delivety of Seller's records as specified in Exhibit C: Thirty (30) days after the Effective Date
7. End ofbnitialInspection Period. Forty -Five (45) days after the Effective Date, subject to Section G.
8. End ofSeconndwyInspectionn Period: Thirty (30) days after Vacation Notice Date, subject to Section G.
9. Closing Date: The closing date is subject to change based on the availability of the Property and Seller's
occupation/vacation of the Property. The closing date shall be within thirty (30) days of the End of Secon dwy
Inspection Period. The tentative closing date shall be December 31, 2019. The City Manager of the City of
Lubbock, or his designee, shall have the authority to change the closing date on the Seller's behalf. Seller shall
provide written notice to Buyer within thirty (30) days of the final formal closing date.
B. Closing Documents
The documents listed in this section B are collectively known as the "Closing Documents." Unless otherwise provided
herein, or agreed by the parties before Closing, the Closing Documents for which forms exist in the current edition of
the Texas Real Estate Fonnis Manttal (State Bar of Texas) will be prepared using those forms.
1. At Closing, Seller will deliver the following items:
General Warranty Deed
Real Estate Sales Contract — City of Lubbock to South Plains College Page 2 of 16
Bill of Sale and Assignment
Declaration of Nonforeign Statits Entity
Evidence of Seller's authority to close this transaction
Notices, statements, and certificates as specified in Exhibit D
Tenant Estoppel Certificate
Assignment and Assumption of Leases
2. At Closing, Buyer will deliver the following items:
Balance of Purchase Price
C. Exhibits
The following are attached to and are a pail of this contract:
Exhibit A Description of the Land and Personal Property
Exhibit B Representations; Environmental Mutters
Exhibit C—Seller's Records
Exhibit D- Notices, Statements, and Certificates
D. Purchase and Sale of Property
Purchase attd Sale Agreentertt. Seller agrees to sell and convey the Property to Buyer, and Buyer agrees to buy and
pay Seller for the Property. The promises by Buyer and Seller stated in this contract are the consideration for the
formation of this contract. Buyer hereby acknowledges that the Property has, or may have, asbestos.
E. Title and Survey
1. Title Commitment; Title Policy. "Title Commitment" means a Commitment for Issuance of an Owner Policy
of Title Insurance by Title Company, as agent for Underwriter, or directly by Underwriter, stating the condition
of title to the Land. The "effective date" stated in the Title Commitment must be after the Effective Date of this
contract. "Title Policy" means an Owner Policy of Title Insurance issued by Title Company, as agent for
Underwriter, or directly by Underwriter, in conformity with the last Title Commitment delivered to and
approved by Buyer.
2. Survey. "Survey" means an on -the -ground, staked plat of survey and metes -and -bounds description of the
Land, prepared by Surveyor or another surveyor satisfactory to Title Company, dated after the Effective Date,
and certified to Buyer and Title Company, and any other person specified by Buyer, to comply with the current
standards and specifications as published by the Texas Society of Professional Surveyors for the Survey
Category.
3. UCCSearch. "UCC Search" means written reports stating the instruments that are on file in the Texas secretary
of state's UCC records, the UCC records of any other appropriate state, and the UCC records in the jurisdiction
in which Seller is organized, showing as debtor Seller and all other owners of any personal property during the
five years before the Effective Date of this contract, if applicable.
4. Delivety of Title Commitment, Survey, UCC Search, and Legible Copies. Seller must deliver the Title
Commitment to Buyer and Buyer's attorney by the deadline stated in paragraph A.I.; the UCC Search, if
applicable, by the deadline stated in paragraph A.3; and legible copies of the instruments referenced in the Title
Commitment, Survey, and UCC Search by the deadline stated in paragraph A.4.
5. Title Objections. Buyer has until the deadline stated in paragraph A.5. ("Title Objection Deadline") to review
the Title Commitment, UCC Search, and legible copies of the title instruments referenced in them and notify
Seller of Buyer's objections to any of them ("Title Objections"). Bayer will be deemed to have approved all
matters reflected by the Survey, Title Commitment, and UCC Search to which Buyer has made no Title
Objection by the Title Objection Deadline. The matters that Buyer either approves or is deemed to have
approved are "Permitted Exceptions." If Buyer notifies Seller of any Title Objections, Seller has five days from
Real Estate Sales Contract — City of Lubbock to South Plains College Page 3 of 16
receipt of Buyer's notice to notify Buyer whether Seller agrees to cure the Title Objections before Closing
("Cure Notice"). If Seller does not timely give its Cure Notice or timely gives its Cure Notice but does not
agree to cure all the Title Objections before Closing, Buyer may, within five days after the deadline for the
giving of Seller's Cure Notice, notify Seller that either this contract is terminated or Buyer will proceed to
close, subject to Seller's obligations to remove all liquidated liens, remove all exceptions that arise by, through,
or under Seller after the Effective Date, and cure only the Title Objections that Seller has agreed to cure in the
Cure Notice. At or before Closing, Seller must remove all liquidated liens, remove all exceptions that arise by,
through, or under Seller after the Effective Date of this contract, and cure the Title Objections that Seller has
agreed to cure.
G. Inspection Periods
1. Review of Seller's Records. Seller will deliver to Buyer copies of Seller's records specified in Exhibit C, or
otherwise make those records available for Buyer's review, by the deadline stated in paragraph AA
2. Entry onto the Property. Buyer may enter the Property during the Initial Inspection Period and the Secondary
Inspection Period to inspect it at Buyer's cost, subject to the following:
a. Buyer must deliver evidence to Seller that Buyer has liability insurance for its proposed inspection
activities, or those of its agents and representatives, with coverages and in amounts that are substantially
the same as those maintained by Seller or with such lesser coverages and in such lesser amounts as are
reasonably satisfactory to Seller.
b. Buyer may not interfere in any material manner with existing operations or occupants of the Property;
provided, however, that Seller shall make all necessary arrangements with occupants of the Property to
allow reasonable access to the Buyer or Buyer's agents for reasons and purposes set forth herein.
C. Buyer must notify Seller in advance of Buyer's plans to conduct tests so that Seller may be present during
the tests.
d. If the Property is physically altered because of Buyer's inspections, Buyer mast return the Property to its
pre -inspection condition promptly after the alteration occurs.
e. Buyer must deliver to Seller copies of all inspection reports that Buyer prepares or receives from third -
party consultants or contractors upon request.
f. Buyer must abide by any other reasonable entry rules imposed by Seller.
3. Environmental Assessment. Buyer has the right to conduct environmental assessments of the Property. Seller
will provide, or will designate a person with knowledge of the use and condition of the Property to provide,
information requested by Buyer or Buyer's agent or representative regarding the use and condition of the
Property during the period of Seller's ownership of the Property. Seller will cooperate with Buyer in obtaining
and providing to Buyer or its agent or representative information regarding the use and condition of the Property
before Seller's period of ownership to the extent that the information is within Seller's possession or control.
4. Buyer's Right to Terminate. Buyer may terminate this contract for any reason by notifying Seller of the
termination before the end of the Inspection Period. If Buyer does not notify Seller of Buyer's termination of
the contract before the end of the Inspection Period, Buyer waives the right to terminate this contract pursuant
to this provision.
5. Buyer's Indemnity and Release of Seller
a. Indeiurity. To the extent permitted by law, Buyer will indemnify, defend, and hold Seller harmless from
any loss, attorney's fees, expenses, or claims arising out of Buyer's investigation of the Property, except
those arising out of the acts or omissions of Seller and those for repair or remediation of existing conditions
discovered by Buyer's inspection. The obligations of Buyer tinder this provision will survive termination
of this contract and Closing, any other provision of this contract to the contrary notwithstanding.
b. Release. Buyer releases Seller and those persons acting on Seller's behalf from all claims and causes of
action (including claims for attorney's fees and court and other costs) resulting from Buyer's investigation
of the Property, unless said claim or cause of action arises from the negligence or gross negligence of
Seller, Seller's agents, or Seller's representatives.
Real Estate Sales Contract — City of Lubbock to South Plains College Page 4 of 16
Partial Release. If, as of the Effective Date, the Property is subject to any liens that secure indebtedness in
excess of the estimated net proceeds of the Purchase Price after the satisfaction of brokers' commissions and
other transaction costs for which Seller is responsible, then Seller promptly must obtain a written agreement or
agreements (collectively, the "Partial Release Agreement") binding and enforceable against the holders of such
liens ("Holders"). The Partial Release Agreement must release all of such liens with respect to the Property on
the payment to the Holders of an amount that does not exceed the net proceeds of the Purchase Price after the
satisfaction of brokers' commissions and other transaction costs for which Seller is responsible.
Notwithstanding any other provision of this contract, if Seller is required to provide a Partial Release
Agreement, the Inspection Period will not commence until and unless the executed Partial Release Agreement,
in a form reasonably satisfactory to Buyer, is delivered to Buyer.
H. Representations
The parties' representations stated in Exhibit B are true and correct as of the Effective Date and must be true and
correct on the Closing Date. Seller will promptly notify Buyer if Seller becomes aware that any of the representations
are not true and correct. Unless Seller notifies Buyer to the contrary on or before the Closing Date, or Buyer has actual
knowledge to the contrary as of the Closing Date, Buyer is entitled to presume that the representations of Seller in
Exhibit B are true and correct as of the Closing Date.
I. Condition of the Property until Closing; Cooperation; No Recording of Contract
Maintenance and Operation. Until Closing, Seller will (a) maintain the Property as it existed on the Effective
Date, except for reasonable wear and tear and casualty damage; (b) use the Property in the same manner as it
was used on the Effective Date; (c) comply with all contracts of Seller pertaining to the Property in effect on
the Effective Date and all laws and all governmental regulations affecting the Property; and (d) not encumber,
transfer, or dispose of any of the Property, except to sell inventory, replace equipment, and use supplies in the
normal course of operating the Property. Until the end of the Inspection Period, Seller will not enter into, amend,
or terminate any contract that affects the Property other than in the ordinary course of operating the Property
and will promptly give notice to Buyer of each new, amended, or terminated contract, including a copy of the
contract, in sufficient time so that Buyer may consider the new information before the end of the Inspection
Period. If Seller's notice is given within three days before the end of the Inspection Period, the Inspection
Period will be extended for three days. After the end of the Inspection Period, Seller may not enter into, amend,
or terminate any contract that affects the Property without first obtaining Buyer's written consent, which Buyer
will have no obligation to grant and, if granted, may be conditioned in any manner Buyer in its sole discretion
deems appropriate.
2. Casualty Damage. Seller will notify Buyer promptly after discovery of any casualty damage to the Property.
Seller will have no obligation to repair or replace the Property if it is damaged by casualty before Closing.
Buyer may terminate this contract if the casualty damage that occurs before Closing would materially affect
Buyer's intended use of the Property, by giving notice to Seller within fifteen days after receipt of Seller's
notice of the casualty (or before Closing if Seller's notice of the casualty is received less than fifteen days before
Closing). If Buyer does not terminate this contract, Seller will (a) convey the Property to Buyer in its damaged
condition, (b) assign to Buyer all of Seller's rights tinder any property insurance policies covering the Property,
and (c) credit to Buyer the amount of the deductibles and coinsurance provisions under any insurance policies
covering the Property, but not in excess of the cost to repair the casualty damage and less any amounts
previously paid or incurred by Seller to repair the Property. If Seller has not insured the Property and Buyer
does not elect to terminate this contract in accordance with this section, the Purchase Price will be reduced by
the cost to repair the casualty damage less any amounts previously paid or incurred by Seller to repair the
Property.
3. Conclemnation. Seller will notify Buyer promptly after Seller receives notice that any part of the Property has
been or is threatened to be condemned or otherwise taken by a governmental or quasi -governmental authority.
Buyer may terminate this contract if the condemnation would materially affect Buyer's intended use of the
Property by giving notice to Seller within fifteen days after receipt of Seller's notice to Buyer (or before Closing
if Seller's notice is received less than fifteen days before Closing). The condemnation will be deemed to
materially affect Buyer's intended use in Buyer's sole discretion. If Buyer does not terminate this contract, (a)
Buyer and Seller will each have the right to appear and defend their respective interests in the Property in the
condemnation proceedings, (b) any award in condemnation will be assigned to Buyer, (c) if the taking occurs
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before Closing, the description of the Property will be revised to delete the portion taken, and (d) no change in
the Purchase Price will be made.
4. Claims; Hearings. Seller will notify Buyer promptly after Seller receives notice of any claim or administrative
hearing that is threatened, filed, or initiated before Closing that involves or directly affects the Property.
5. Cooperation. Seller will cooperate with Buyer (a) before and after Closing, to transfer the applications, permits,
and licenses held by Seller and used in the operation of the Property and to obtain any consents necessary for
Buyer to operate the Property after Closing and (b) before Closing, with any reasonable evaluation, inspection,
audit, or study of the Property prepared by, for, or at the request of Buyer. Seller will also ensure the cooperation
of any occupants of the Property for the purposes set forth herein.
Termination
1. Disposition of Eca-uest Money after Ternnirratiori
a. To Buyer. If Buyer terminates this contract in accordance with any of Buyer's rights to terminate, then
unless Seller delivers notice of Seller's objection to Title Company's release ofthe Earnest Money to Buyer
within five days after Buyer delivers Buyer's termination notice to Seller and Title Company, Title
Company is authorized, without any further authorization from Seller, to deliver the Earnest Money to
Buyer, less $100, which will be paid to Seller as independent consideration for the right granted by Seller
to Buyer to terminate this contract.
b. To Seller. If Seller terminates this contract in accordance with any of Seller's rights to terminate, then
unless Buyer delivers notice of Buyer's objection to Title Company's release of the Earnest Ntoney to
Seller within five days after Seller delivers Seller's termination notice to Buyer and Title Company, Title
Company is authorized, without any further authorization from Buyer, to pay and deliver the Earnest
Money to Seller.
2. Duties gfter Termination. If this contract is terminated, Buyer will promptly return to Seller all of Seller's
records in Bayer's possession or control. After return of the records, neither party will have further duties or
obligations to the other under this contract, except for those obligations that cannot be or were not performed
before termination of this contract or that expressly survive termination of this contract.
K. Closing
1. Conditions of Closing. Neither party will be obligated to close the sale and purchase of the Property unless the
other party has satisfied the following conditions, any of which may be waived by the first party, by writing, in
its discretion:
a. Representations mul 6Yari-a nties. The representations and warranties of the other party must be true and
correct at Closing.
b. Penfo-mannce of Covenants rand Agreeunennts. The other party must have performed all covenants and
agreements required to be performed at or before Closing by that party.
C. No Bcmlcruptcy. No voluntary or involuntary proceeding in bankruptcy shall be pending with respect to
that party.
2. Closing. This transaction will close ("Closing") at Title Company's offices at the Closing Date and Closing
Time. At Closing, the following will occur:
a. Closing Docu nnents; Title Company Documents. The parties will execute and deliver the Closing
Documents and any documents required by Title Company.
b. PaYinent of Purchase Price. Buyer will deliver the Purchase Price and other amounts that Buyer is
obligated to pay under this contract to Title Company in funds acceptable to Title Company. The Earnest
Money will be applied to the Purchase Price.
C. Disbursement of Funds; Recorclinng; Copies. Title Company will be instructed to disburse the Purchase
Price and other funds in accordance with this contract, record the deed and the other Closing Documents
directed to be recorded, and distribute documents and copies in accordance with the parties' written
instructions.
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d. Delivery of Originals. Seller will deliver to Buyer the originals of Seller's Records.
e. Possession. Seller will deliver possession of the Property to Buyer, subject to the Permitted Exceptions
existing at Closing and any liens and security interests created at Closing to secure financing for the
Purchase Price. Property shall not be occupied by any person, nor subject to any lease, leasehold interest,
claim or offset against rents at the time of Closing.
3. Transaction Costs
a. Seller's Costs. Seller will pay the basic charge for the Title Policy and the costs to obtain the Survey in
an amount not to exceed twenty thousand and no/l00 dollars ($20,000.00); the costs to prepare the deed;
the costs to obtain, deliver, and record releases of any liens required to be released in connection with the
sale; the costs to record documents to cure Title Objections agreed or required to be cured by Seller and to
resolve matters shown in Schedule C of the Title Commitment; UCC Search, and certificates or reports of
ad valorem taxes; the costs to deliver copies of the instruments described in paragraph A.S. and Seller's
records; any other costs expressly required to be paid by Seller in this contract; and Seller's attorney's fees
and expenses.
b. Buyer's Costs. Buyer will pay any amount over twenty thousand and no/100 ($20,000.00) for the basic
charge of the Title Policy and the cost to obtain the Survey; the costs to obtain, deliver, and record all
documents other than those to be obtained or recorded at Seller's expense; the additional premium for the
"survey/area and boundary deletion" in the Title Policy, if the deletion is requested by Buyer, as well as
the cost of any other endorsements or modifications of the standard form of Title Policy requested by
Buyer, the costs of work required by Buyer to have the Survey reflect matters other than those required
under this contract except changes required for curative purposes; the costs to obtain financing of the
Purchase Price, including the incremental premiurn costs of the loan title policies and endorsements and
deletions required by Buyer's lender; any other costs expressly required to be paid by Buyer in this contract;
and Buyer's attorney's fees and expenses.
C. Posiclosing Adjustments. If errors in the prorations made at Closing are identified within ninety days
after Closing, Seller and Buyer will make postclosing adjustments to correct the errors within fifteen days
after receipt of notice of the errors.
4. I.ssttance of Title Policy. Seller will cause Title Company to issue the Title Policy to Buyer as soon as
practicable after Closing.
L. Default and Remedies
1. Seller's Default; Remedies before Closing. If Seller fails to perform any of its obligations under this contract
or if any of Seller's representations is not true and correct as of the Effective Date or on the Closing Date
("Seller's Default"), Buyer may elect any of the following as its sole and exclusive remedy before Closing:
a. Termination. Buyer, for any reason, or no reason, may terminate this contract by giving notice to Seller
on or before the Closing Date and Closing Time and have the Earnest Money, less $100 as described above,
returned to Buyer.
b. Specific Performance. Unless Seller's Default relates to the untruth or incorrectness of Seller's
representations for reasons not reasonably within Seller's control, Buyer may enforce specific performance
of Seller's obligations under this contract.
C. Actual Damages. If Seller conveys or encumbers any portion of the Property before Closing so that
Buyer's ability to enforce specific performance of Seller's obligations under this contract is precluded or
impaired, Buyer will be entitled to seek recovery from Seller for the actual damages sustained by Buyer
by reason of Seller's Default, including attorney's fees and expenses and court costs.
2. Seller's Defaetll; Remedies after• Closing. If Seller's representations are not true and correct at Closing due to
circumstances reasonably within Seller's control and Buyer does not become aware of the untruth or
incorrectness of such representations until after Closing, Buyer will have all the rights and remedies available
at law or in equity. If Seller fails to perform any of its obligations under this contract that survive Closing,
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9. Severability. If a provision in this contract is unenforceable for any reason, to the extent the unenforceability
does not destroy the basis of the bargain among the parties, the unenforceability does not affect any other
provision of this contract, and this contract is to be construed as if the unenforceable provision is not a part of
the contract.
10. Ambiguities Not to Be Coxstr-irect against Party Who Drcrftecl Contr-act. The rule of construction that
ambiguities in a document are construed against the party who drafted it does not apply in interpreting this
contract.
11. No Special Relationship. The parties' relationship is an ordinary commercial relationship, and the parties do
not intend to create the relationship of principal and agent, partners, joint venturers, or any other special
relationship.
12. Counterparts. If this contract is executed in multiple counterparts, all counterparts taken together constitute
this contract. Copies of signatures to this contract are effective as original signatures.
13. Delegation of Authority. Authority to take any actions that are to be, or may be, taken by Seller under this
Contract, including without limitation, adjustment of the Closing Date, are hereby delegated by Seller, pursuant
to action by the City Council of Lubbock, Texas, to W. Jarrett Atkinson, City Manager of Seller, or his designee.
14. Binding- Effect. This contract binds, benefits, and may be enforced by the parties and their respective heirs,
successors, and permitted assigns.
SIGNA"TjJRES
: CITY OF
Daniel M. Pope, M
June 11, 2019
Date:
ATTEST:
Rebe ca Garza, City Secreta
APPROVED AS TO CONTENT:
Mark earwo , Assista t City Manager
FOR: SOUTH PLAINS COLLEGE
By: (Signature, Title)
By: (Printed Name)
June 11, 2019
Date:
Real Estate Sales Contract— City of Lubbock to South Plains College Page 9 of 16
APPROVED AS TO FORM:
-0,0�t�
Ryan oo 1 Assis nt Itity Attorney
Real Estate Sales Contract — City of Lubbock to South Plains College Page 10 of 16
Exhibit A
Description of the Land and Personal Property
This property is commonly described as 1625 131" Street, Lubbock, Lubbock County, Texas, and legally described
as a 2.56 acre tract of land out of Lot C, G. A. Rush Addition to the City of Lubbock, Lubbock County, Texas,
according to the Map, Plat and/or Dedication Deed thereof recorded in Volume 1805, page 58 of the Deed Records
of Lubbock County, Texas; and
1512 15"' Street, Lubbock, Lubbock County, Texas, and legally described as Lots One (1), Two (2), Three (3), Four,
(4), Five (5), Six (6), Seven (7), Eight (8), Nine (9), and Ten (10), Block One Hundred Sixty (160), Original Town
of Lubbock, Lubbock County, Texas, according to the Map, Plat and/or Dedication Deed thereof recorded in
Volume 1805, page 52 of the Deed Records of Lubbock County, Texas; and
1652 130' Street, Lubbock, Lubbock County, Texas, and legally described as the East Thirty -One feet (3 I') of Lot
Seven (7), Lots Eight (8), Nine (9), and Ten (10), and the Twelve Foot (12') strip East of Lot Ten (10), Block One
(1), Overton Addition to the City of Lubbock, Lubbock County, Texas, according to the Map, Plat and/or Dedication
Deed thereof recorded in Volume 1977, page 436 of the Deed Records of Lubbock County, Texas; and
1603 13"' Street, Lubbock, Lubbock County, Texas, and legally described as Lots One (1), Two (2), Three (3), and
Four (4), Block One Hundred Forty -Three (143), Original Town of Lubbock, Lubbock County, Texas, according
to the Map, Plat and/or Dedication Deed thereof recorded in Volume 5, page 394 of the Deed Records of Lubbock
County, Texas; and the East Twenty -Five feet (25') of the abandoned street west of Block One Hundred Forty -
Three (143) (Formerly known as Avenue P), according to the Map, Plat, and/or Dedication Deed thereof recorded
as Instrument No. 2015-15534 & 2015-15535 of the Deed Records of Lubbock County, Texas: and
the property being further described in Exhibit A attached hereto (the "Land"), together with improvements to the
Land (the "Improvements"), and the personal property associated with the Land (the "Personal Property"), save
except the Generator located at 1652 131h Street, Lubbock, Lubbock County, as described above; and the 75"'
Anniversary Bell (the "Bell") donated to the City of Lubbock by Alfred Sternagel and Furr's, Inc and located at
1625 131 Street, Lubbock, Lubbock County, as described above; and the Granite Panels with State of Texas carving
and "City of Lubbock" lettering mounted behind the City Council dais in the City Council Chambers at 1625 131h
Street, Lubbock, Lubbock County, as described above. Said Generator, Bell, and Granite Panels will remain the
property of Seller, City of Lubbock. Said Generator, Bell, and Granite Panels being more particularly described and
depicted below, in Exhibit A.
Real Estate Sales Contract — City of Lubbock to South Plains College Page 11 of 16
Exhibit A
City Hall Property
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Real Estate Sales Contract — City of Lubbock to South Plains College Page 12 of 16
Exhibit B
Representations; Environmental Matters
A. Seller's Representations to Buyer
Seller represents to Buyer that the following are true and correct as of the Effective Date and wil I be true and correct
on the Closing Date.
1. Authority. Seller is a Home Rule Municipal Corporation, duly organized, validly existing, and in good standing
under the laws of the state of Texas with authority to perform its obligations under this contract. This contract
is binding on Seller. This contract is, and all documents required by this contract to be executed and delivered
to Buyer at Closing will be, duly authorized, executed, and delivered by Seller.
2. Litigation. Seller has not received written notice and has no actual knowledge of any litigation pending or
threatened against Seller that might adversely affect the Property or Seller's ability to perform its obligations
under this contract.
3. Violation of Laws. Seller has not received written notice and has no actual knowledge of violation of any law,
ordinance, regulation, or requirements affecting the Property or Seller's use of the Property.
4. Licenses, Permits, and Approvals. Seller has not received written notice and has no actual knowledge that any
license, permit, or approval necessary to use the Property in the manner in which it is currently being used has
expired or will not be renewed on expiration or that any material condition will be imposed to use or renew the
same.
5. Condemnation, Zoning; Land Use; Hazardous Materials. Seller has not received written notice and has no
actual knowledge of any condemnation, zoning, or land -use proceedings affecting the Property or any written
inquiries or notices by any governmental authority or third party with respect to condemnation or the presence
of hazardous materials affecting the Property.
6. No Other Obligation to Sell the Property or Restriction against Sale. Except for granting a security interest in
the Property, Seller has not obligated itself to sell all or any portion of the Property to any person other than
Buyer. Seller's performance of this contract will not cause a breach of any other agreement or obligation to
which Seller is a party or by which Seller or the Property is bound.
7. No Liens. On the Closing Date, the Property will be free and clear of all mechanic's and materialman's liens
and other liens and encumbrances of any nature not arising by, through, or under Buyer except the Permitted
Exceptions or liens to which Buyer has given its consent in writing, and no work or materials will have been
furnished to the Property by Seller that might give rise to mechanic's, materialman's, or other liens against the
Property other than work or materials to which Buyer has given its consent in writing.
8. Seller's Documents. The copies of Seller's documents provided by Seller to Buyer for Buyer's inspections will
be true, correct, and complete copies of the originals, or the copies of such documents in Seller's possession or
control. The Seller's documents provided by Seller to Buyer for Buyer's inspections that were prepared by or
under Seller's supervision and control will be true, correct, and complete in all material respects. Unless Seller
notifies Buyer at the time of delivery of any documents provided by Seller to Buyer that were not prepared by
or under Seller's supervision and control, Seller has no actual knowledge of any material respect in which such
Seller's documents are not true, correct, and complete.
9. No Other Representation. Except as stated above or in the notices, statements, and certificates set forth in
Exhibit D. Seller makes no representation with respect to the Property.
10. No Warranty. Except as set forth in this contract and in the Closing Documents, Seller has made no warranty
in connection with this transaction.
B. "As Is, Where Is"
THIS CONTRACT IS AN ARMS-LENG'1'11 AGREEMENT BETWEEN THE PARTIES. THE PURCHASE PRICE WAS
BARGAINED ON THE BASIS OF AN "AS IS, WHERE IS" TRANSACTION AND REFLECTS THE AGREEMENT OF THE
PARTIES THAT THERE ARE NO REPRESENTATIONS, DISCLOSURES, OR EXPRESS OR IMPLIED WARRANTIES, EXCEPT
THOSE IN TIHIS CONTRACT AND THE CLOSING DOCUMENTS.
Real Estate Sales Contract — City of Lubbock to South Plains College Page 13 of 16
BUYER IS NOT RELYING ON ANY REPRESENTATIONS, DISCLOSURES, OR EXPRESS OR IMPLIED WARRANTIES OTHER
THAN THOSE EXPRESSLY CONTAINED IN THIS CONTRACT AND THE CLOSING DOCUMENTS. BUYER IS NOT RELYING
ON ANY INFORMATION REGARDING THE PROPERTY PROVIDED BY ANY PERSON, OTHER TITAN BUYER'S OWN
INSPECTION AND THE REPRESENTATIONS AND WARRANTIES CONTAINED IN THIS CONTRACT AND THE CLOSING
DOCUMENTS.
The provisions of this section B regarding the Property will not be included in the deed.
C. Buyer's Representations to Seller
Buyer represents to Seller that the following are true and correct as of the Effective Date and will be true and correct
on the Closing Date. Buyer is a Community College District duly organized, validly existing, and in good standing
under the laws of the state of Texas with authority to perform its obligations under this contract. This contract is
binding on Buyer. This contract is, and all documents required by this contract to be executed and delivered to Seller
at Closing will be, duly authorized, executed, and delivered by Buyer.
Real Estate Sales Contract — City of Lubbock to South Plains College Page 14 of 16
Exhibit C
Seller's Records
To the extent that Seller has possession or control of the following items pertaining to the Property, Seller will deliver
or make the items or copies of them available to Buyer by the deadline stated in paragraph A.6.:
Governmental
governmental licenses, certificates, permits, and approvals
tax statements for the current year and the last five (5) years
notices of appraised value for the current year and the last five (5) years
records of any tax exemption, special use, or other valuation or exemption applicable to the Property
records of regulatory proceedings or violations (for example, condemnation, environmental)
Land
soil reports
environmental reports and other information regarding the environmental condition of the Property
water rights
engineering reports
prior surveys
site plans
Facilities
as -built plans, specifications, and mechanical drawings for improvements
warranty agreements
management, employment, labor, service, equipment, supply, and maintenance agreements
insurance policies
ADA and other building inspection reports
engineering reports
environmental reports
operating and maintenance plans (for example, asbestos maintenance plans)
life -safety plans
Leases
Leases
commission and leasing agent agreements
rent roll setting forth for each Lease:
tenant's name
square footage leased
date of expiration of current and renewal terms
renewal options
basic rent and formula for any additional rents
amount of additional rent paid during the last two (2) years
prepaid rent
delinquent rent
security deposit
current tenant or landlord defaults
options to purchase any portion of the Property
rights of first refusal to lease other space
rights to rent concessions, tenant improvements, or other allowances
unpaid or contingent brokerage commissions (including commission on renewals)
estoppel letters and/or subordination agreements
Licenses, Agreements, and Encumbrances
All licenses, agreements, and encumbrances (including all amendments and exhibits) affecting title to or use of the
Property that have not been recorded in the real property records of the county in which the Property is located
Real Estate Sales Contract — City of Lubbock to South Plains College Page 15 of 16
Exhibit D
Notices, Statements, and Certificates
The notices, statements, and certificates (arranged by their application to particular transactions) that are listed below
are included in the sales contract:
1. Storage Tanks Disclostire Provider. Notice concerning underground storage tanks, described in section 334.9
of title 30 of the Texas Administrative Code.
2. Notice to Parchasea•RegardiaagRestrictive Covenants. Notice of deed restrictions, described in section 212.155
of the Texas Local Government Code.
3. Certificates of Mold Remediation. Notice pursuant to section 1958.154 of the Texas Occupations Code, titled
"Certificate of Mold Remediation; Duty of Property Owner," requiring a property owner who sells property
that has been issued a certificate of mold remediation pursuant to this section to deliver copies to the purchaser
of each certificate of mold remediation issued for the property within the preceding five years.
Real Estate Sales Contract — City of Lubbock to South Plains College Page 16 of 16
C'ty of
bbock
TEXAS
June 18, 2020
Dr. Robin Satterwhite
President
South Plains College
1401 College Avenue
Levelland, Texas 79336
Notice of Vacation, Secondary Inspection Period, Closing Date
Ro(&1,,,
Dear Dr' atterwhite:
Pursuant to the Terms, Section A. Deadlines and Other Dates, provisions of the Real Estate Sales
Contract, executed June It, 2019, City of Lubbock Resolution No. 2019-R0216, I am writing to inform
you that the City of Lubbock will vacate the subject property effective June 26, 2020. Accordingly, the
secondary inspection period will begin on that date and continue for thirty (30) days. Finally, based on our
conversation, the City has scheduled a closing date of July 27, 2020, at Lubbock Abstract & Title
Company, 1216 Texas Avenue, Lubbock, Texas, 79401.
Should you have any questions or concerns regarding the vacation of the property or need further
assistance during the secondary inspection period, please do not hesitate to contact me. On behalf of the
City of Lubbock, I appreciate your agency's cooperation and look forward to seeing your new facility in
downtown Lubbock.
Very truly yours,
W. Jarrett Atkinson
City Manager
cc: Daniel M. Pope, Mayor
Becky Garza, City Secretary
Mark Yearwood, Assistant City Manager
Ryan Brooke, Assistant City Attorney
John Osborne, Lubbock Economic Development Alliance
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