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8.1 SR 07-19-2021Request for Action To Item Number Mayor and Ci T Council 8.1 Agenda Section Meeting Date Prepared by General Business I July 19, 2021 Cal Portner, City Administrator Item Description Reviewed by Pinewood Golf Course Conveyance Peter Beck, City Attorney Reviewed by Andrea McDowell Poehler, City Attorney Action Requested Approve, by resolution, a purchase agreement with Baer Necessities, LLC for the Purchase of Pinewood Golf Course and authorize the execution of all necessary documents by the Mayor, City Administrator and City Clerk. Background/Discussion Baer Necessities, LLC, represented by Jennifer Abrahamson has agreed to purchase and operate Pinewood Golf Course following a Request for Proposals submission that was accepted by the City Council. The Elk River Country Club was notified on March 12, 2021, the city desired to terminate the management agreement with the club. The Elk River Country Club expressed a desire to turn the course over on June 30, 2021. On June 7, 2021, the City Council approved a Resolution of Conveyance and Purchase Agreement (Elk River Resolution 21-40) with AJT Holdings, LLC. AJT Holdings did not execute the agreement. On June 30, 2021, the Council terminated Resolution 21-40 and approved an interim management contract with Baer Necessities, LLC. The Council requested the purchaser provide information demonstrating their ability to finance the transaction before approving a resolution of conveyance. Financial Impact The purchaser agrees to pay $420,000 for Pinewood Golf Course. They have provided $5,000.00 in earnest money for the purchase and agree to pay $95,000.00 at closing and the remaining $320,000 in fifteen (15) equal payments annually along with an interest rate of four (4%) percent per annum on August 1" of each year. Mission/Policy/Goal The Elk River Mission Attachments ■ Resolution ■ Financial Resources Information The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires pi ospei ly. M TUREJ Updated.• August 2020 CAY of El K1ver Resolution 2 1 - A Resolution Repealing Resolution No. 21-40 and Approving a Conveyance of Pinewood Golf Course to Baer Necessities, LLC WHEREAS, the City of Elk River ("City") approved a Purchase Agreement for the conveyance of the Pinewood Golf Course to AJT Holdings, LLC ("AJT") by Resolution No. 21-40 ("AJT Agreement"); and WHEREAS, AJT failed to execute the AJT Agreement and notified the City Administrator that AJT does not intend to execute the AJT Agreement; and WHEREAS, the City repealed its approval of the AJT Agreement under Resolution No. 21-40, on June 30, 2021, in order to move forward with a Purchase Agreement ("Purchase Agreement") for the conveyance of the Pinewood Golf Course to Baer Necessities, LLC ("Purchaser") in accordance with the terms of the Purchase Agreement between the City and Purchaser attached hereto as Exhibit A, under substantially similar terms as the proposed AJT Agreement; and NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota, as follows: The Purchase Agreement is hereby approved, and the Mayor, City Administrator, and City Clerk are hereby authorized to execute and deliver all necessary documents required under the terms of the Purchase Agreement and Interim Management Agreement. Passed and adopted this 191h day of July 2021. John J. Dietz, Mayor ATTEST: Tina Allard, City Clerk 216352v1 EXHIBIT A PURCHASE AGREEMENT 216352v1 PURCHASE AGREEMENT THIS AGREEMENT ("Agreement"), executed , 2021 by and between the City of Elk River, a Minnesota municipal corporation, ("Seller") and Baer Necessities, LLC, a Minnesota limited liability company ("Purchaser"). Recitals A. Seller owns and operates the Pinewood Golf Course on property located in the City of Elk River, Minnesota, as legally described on the attached Exhibit A, together with all easements, rights, and appurtenances (the "Property"). B. Seller hereby agrees to sell, and Purchaser hereby agrees to purchase the Property and certain of the assets used in connection with the operation of the golf course, subject to and upon the terms hereinafter set forth NOW THEREFORE, in consideration of the mutual covenants and agreements herein contained and other valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows: 1. Conveyance. Seller hereby sells to Purchaser and Purchaser hereby purchases from Seller, free from all liabilities, liens, and encumbrances, except as set forth in this Purchase Agreement, the entire business (except as otherwise provided) of the Pinewood Golf Course, including: a. The Property described on Exhibit A which is attached hereto and thereby made a part hereof. b. The maintenance equipment, tools, furniture, and supplies described on Exhibit B which is attached hereto and thereby made a part hereof. C. All rights to use the name "Pinewood Golf Course." 2. Purchase Price. Purchaser agrees to pay Seller Four Hundred Twenty Thousand and no/100 ($420,000.00) Dollars as the purchase price for the real property and all the assets and rights being sold hereunder. The purchase price shall be paid as follows: a. Earnest money of Five Thousand and no/100 ($5,000.00) Dollars shall be deposited with the City upon execution by Buyer and Seller of this Agreement, to be applied to the Purchase Price at closing; b. Ninety -Five Thousand Dollars and no/100 ($95,000.00) Dollars payable in cash at closing; and 214273v12 C. The balance pursuant to a Contract for Deed (Minnesota Uniform Conveyancing Form No. 56-M), to be delivered by Purchaser to Seller at closing. The principal balance of the Contract for Deed shall be amortized over fifteen (15) years and shall be paid, together with interest thereon at the rate of four (4%) percent per annum, from the date of closing as follows: (i) The annual payment of principal and interest shall be divided in fifteen (15) equal installments and each installment shall be paid by Purchaser to Seller on August 1st of each year beginning July, 2022. (ii) The entire principal balance of the Contract for Deed, together with all accrued interest thereon, shall be due and payable in full on August 1, 2037. (iii) Seller shall give Purchaser written notice of any intent on the part of Seller to transfer or assign the Contract for Deed. 3. Allocation of Purchase Price. At the time of closing, Purchaser shall provide an allocation of the purchase price among the following categories: ■ Land ■ Buildings and structures ■ Land improvements ■ Maintenance equipment, tools, furniture, and supplies ■ Goodwill 4. Liabilities Assumed by Purchaser. Seller acknowledges that except for the assumed obligations expressly assumed pursuant to Section 3 hereof, the Purchaser is not assuming and shall not assume any other liability or obligation of Seller. 5. Title Examination. Seller, at its expense, shall within a reasonable time after the execution of this Agreement, furnish a title insurance commitment in the full amount of the purchase price issued by Land Title, Inc., certified to date to include proper searches covering bankruptcies, state and federal judgments and liens, by which said company commits to issue its policy of title insurance that insures that at closing Purchaser shall have good, marketable and insurable title of record to the Property, free and clear of all liens, encumbrances, leases, claims and charges (except permitted encumbrances). Purchaser shall be allowed ten (10) business days after receipt of the title commitment for examination of title and making any objections, which shall be made in writing or deemed waived. If any objection is so made, Seller shall have ten (10) business days from receipt of Purchaser's written title objections to notify Purchaser of Seller's intention to make title marketable within one hundred twenty (120) days from Seller's receipt of such written objections. If notice is given, payments hereunder required shall be postponed pending correction 214273v12 2 of title, but upon correction of title within ten (10) days after written notice to Purchaser, the parties shall perform the Agreement according to its terms. If no such notice is given, or if notice is given but title is not corrected within the time provided for, this Agreement shall be null and void, at the option of Purchaser, and in such case, neither party shall be liable for damages hereunder to the other. In the event that Purchaser cancels this Agreement because of uncorrected title matters, all Earnest Money shall be refunded to Purchaser, and Purchaser and Seller agree to sign a Cancellation of Purchase Agreement. 6. Conveyance and Title - Property. Subject to performance by the Purchaser, Seller agrees to execute and deliver a recordable Contract for Deed conveying marketable title to the Property, subject only to the following exceptions: a. Building and zoning laws, ordinances and state and federal regulations. b. Restrictions relating to the use or improvement of the Property that do not affect Purchaser's intended use. C. Permitted encumbrances. d. Reservation of minerals and mineral rights to the State of Minnesota. e. Utility and drainage easements which do not interfere with present improvements. f. Restrictive Covenant attached hereto as Exhibit C, which may be revised to reflect a date that is 15 years from the actual date of Closing. 7. Conveyance and Title — Inventory. Seller agrees to execute a deliver a Bill of Sale conveying title to the following items, free from all liabilities, liens, and encumbrances: a. The maintenance equipment, tools, furniture, and supplies described on Exhibit B. b. The name "Pinewood Golf Course." 8. Closing. The closing of the transaction will take place on the earlier of September 30, 2021 or 15 days following completion of the Seller's obligations under Paragraph 18 ("Date of Closing") and shall take place at the offices of the Title Company or such other location mutually agreed upon by the parties and may be completed through escrow of closing documents and funds with the Title Company. 9. Real Estate Taxes and Special Assessments. a. Real Estate Taxes Payable in the Year of Closing. Real estate taxes payable in the year of closing shall be prorated between Seller and Purchaser on a per diem basis to the Date of Closing. 214273v12 3 b. Deferred Real Estate Taxes. Seller shall pay on the Date of Closing any deferred real estate taxes (including "Green Acres" taxes under Minn. Stat. §273.111) payment of which is required as a result of the closing of this sale and the recording of the deed. C. Special Assessments. Seller shall pay all levied special assessments as of the date of closing. d. Taxes and Special Assessments in the Years Following Closing. Purchaser shall pay real estate taxes payable in the years following the Date of Closing and special assessments payable therewith, the payment of which is not otherwise provided herein. Seller makes no representation concerning the amount of future real estate taxes or of future special assessments. 10. Possession. Possession of the Property shall be delivered to Purchaser at the closing. 11. Representations and Warranties of Seller. Seller represents and warrants to Purchaser: a. Seller is a municipal corporation duly organized, validly existing and in good standing under the laws of the State of Minnesota and has the corporate power to own or lease its assets and to carry on its business as it is now being conducted. b. The execution, delivery and performance of this Agreement by Seller has been duly authorized by Seller's City Council. d. There has been no material adverse change in the business, prospects, assets, and financial condition of Pinewood Golf Course since the date of the latest of the Financial Statements. e. Seller owns and has good and marketable title, free and clear of all liens, security interests and encumbrances, to all rights and assets being sold hereunder. f. To the best of Seller's knowledge, the operations of Pinewood Golf Course as it is presently being conducted under the Management Agreement with the Elk River Country Club, Inc., do not violate any applicable federal, state, or local law, statute, ordinance, regulation or order and Seller has not received any notice of a possible violation thereof. g. There are no actions, suits or proceedings pending or threatened against or affecting either Seller or Pinewood Golf Course. 214273v12 4 h. Seller is not a party to any contract, agreement, or restriction, whether written or oral, which would limit or restrict the ability of Purchaser to operate Pinewood Golf Course as it is presently being conducted. To the best of Seller's knowledge, neither this Purchase Agreement nor any of the exhibits attached hereto contain any false or misleading statement of a material fact or omits to state a material fact necessary in order to make the statements contained herein or therein not false or misleading. There is no fact within the special knowledge of Seller which has not been disclosed herein or in writing by it to the Purchaser and which may, insofar as Seller can now foresee, adversely affect Purchaser's ability to conduct the Pinewood Golf Course as it is presently being conducted. j. To the best of Seller's knowledge, the Property has been operated under to its Management Agreement with the Elk River Golf Club in compliance with all applicable federal, state, and local environmental laws, ordinances, rules, and regulations relating to the handling, storage and disposal of hazardous and toxic wastes and substances, petroleum products and other regulated substances. Seller's operation of the Property is now and shall on the Date of Closing be in compliance with all such environmental laws, ordinances, rules and regulations, including but not limited to the maintenance of all required permits and approvals. Seller has not used or stored hazardous wastes or substances, petroleum products and other regulated substances on the Property, nor has Seller discharged or released any such substances upon the Property, including, but not limited to, underground injection of such substances, in violation of any federal, state or local environmental law, ordinance, rule or regulation. To the best of Seller's knowledge, no other party has engaged in any such use, storage, discharge, or release. k. An "individual sewage treatment system" (as defined in Minnesota Statutes Section 115.55, subd. 1(g)) is located on the Property; A "well" (as defined in Minnesota Statutes Section 103L.005, subd. 21 is located on the Property. Notwithstanding the foregoing, in the event Purchaser, prior to Closing, has actual knowledge of any fact or circumstance which would give rise to a breach of any of Seller's representations and warranties and Purchaser nonetheless proceeds with Closing, then Purchaser shall be deemed to have waived any claim of breach or violation of such representation(s) and warranty(ies) due to the existence of such fact or circumstance, and Seller's representations and warranties shall be deemed to have been modified by such fact or circumstance. For purposes of this Agreement and any document delivered at Closing, whenever the phrase "to the best of Seller's knowledge" or the "knowledge" of Seller or words of similar 214273v12 5 import are used, they shall be deemed to refer only to the actual knowledge of Calvin Portner, Seller's City Administrator, as of the Effective Date (or, for purposes of the Seller's Certificate, as of the Closing Date), without any requirement of independent investigation having been made or any duty to investigate, and shall not be deemed to include any implied, imputed or constructive knowledge of Calvin Portner or any other person or entity. 12. Representations, Warranties of Purchaser. Purchaser is a limited liability company duly organized and in good standing in the State of Minnesota. Purchaser has the requisite power and authority to enter into and perform the terms of this Agreement. The execution and delivery of this Agreement and the consummation of the transaction contemplated by this Agreement have been duly authorized by all necessary parties and no other proceeding or consent on the part of Purchaser is necessary in order to permit Seller to consummate the transaction contemplated by this Agreement. 13. Indemnification. The parties agree to and shall indemnify the other party, its successors, and assigns, against any and all damages resulting from any breach by the party of any representation, warranty or agreement set forth in this Purchase Agreement or the untruth or inaccuracy thereof, including but not limited to all statements contained in the financial statements and disclosure statements. This indemnity shall survive the closing for a period of 2 years. 14. Seller's Closing Documents. At closing, Seller shall execute and deliver to Purchaser the following: a. Contract for Deed. Statutory Contract for Deed in recordable form including the relevant terms of this Agreement and which is reasonably satisfactory to Seller. b. Well Disclosure Certificate. C. Bill of Sale. d. Certificate of Non -Foreign Status. e. Seller's Affidavit. A standard form Affidavit by Seller indicating that on the date of closing there are no outstanding unsatisfied judgments, tax liens or bankruptcies against or involving Seller or the Property. f. Other Documents. All other documents reasonably determined by either party or the title insurance company to be necessary to transfer and provide title insurance for the Property. 15. Purchaser's Closing Documents. At closing, Purchaser shall execute and deliver to Seller the following: 214273v12 a. Contract for Deed. Statutory Contract for Deed in recordable form including the relevant terms of this Agreement and reasonably satisfactory to Purchaser. b. Purchaser's Affidavit. A standard form Affidavit by Purchaser indicating that on the date of closing there are no outstanding unsatisfied judgments, tax liens or bankruptcies against or involving Purchaser. C. Other Documents. All other documents reasonably determined by either party or the title insurance company to be necessary to transfer and provide title insurance for the Property. 16. Closing Costs. The costs relating to this transaction shall be paid as follows: Seller shall pay: a. Deed transfer tax. b. One-half (1/2) of the closing fee. C. Issuance of title insurance commitment. Purchaser shall pay: a. One-half (1/2) of the closing fee. b. Recording fee for the Contract for Deed. C. Premium for owner's title insurance. 17. Contingencies. The following items are contingencies to this Agreement. If the contingencies are not performed, satisfied, or waived prior to the Date of Closing in the sole judgment of Purchaser, then this Agreement may be terminated at Purchaser's option by written notice from Purchaser to Seller and the Earnest Money will be refunded to Purchaser. All the contingencies set forth in this Agreement are specifically stated and agreed to be for the sole and exclusive benefit of the Purchaser, and only Purchaser shall have the right to unilaterally waive any contingency by written notice to the Seller. In the event that Purchaser rightfully terminates this Agreement, Seller shall promptly refund to Purchaser all earnest money paid hereunder, together with any interest actually earned thereon. a. Within seven (7) days following the execution of this Purchase Agreement, Seller shall deliver to Purchaser each of the following items, all of which must be acceptable to Purchaser in the exercise of its sole discretion. If any such documentation or information shows a material adverse change not acceptable to Purchaser, in Purchaser's sole discretion, Purchaser may terminate this Agreement. i. Copies of all existing service and utility contracts, permits, licenses, service agreements, contracts for the purchase of equipment and materials, management agreements, leases, 214273v12 7 advertising agreements and contracts with governmental or regulatory agencies affecting the Property or the operation and maintenance thereof. 18. Access to Property. Seller shall allow Purchaser and its agents access to the Property for an inspection thereof. Purchaser may conduct soil tests, soil borings and other tests of the Property. As a condition of such entry, Purchaser indemnifies and saves Seller harmless from and against any liability (including liability for bodily injury, death, and reasonable attorneys' fees) and any mechanic lien attaching to the Property as a result of the work performed in making any such inspection. If, as a result of Purchaser's inspection of the Property and such documents, Purchaser, for any reason, is dissatisfied with the Property or such documents, Purchaser shall have the absolute right to terminate this Agreement. Not later than thirty (30) days after execution hereof, Purchaser shall deliver notice to Seller of its decision (the "Notice of Decision") to either exercise their right of termination or to continue this Agreement. If this Agreement is so terminated, neither party shall have any further rights or obligations hereunder, except that Purchase will be entitled to the return of the Earnest Money. 19. Well and Septic Systems. The Seller agrees to disconnect the well and septic to the Clubhouse located on the Property and to connect the Clubhouse to the city water and sewer system and to cap the septic system at Seller's cost prior to closing. 20. "AS -IS" Sale. EXCEPT AS EXPRESSLY SET FORTH IN THIS AGREEMENT, IT IS UNDERSTOOD AND AGREED THAT SELLER IS NOT MAKING AND HAS NOT AT ANY TIME MADE ANY WARRANTIES OR REPRESENTATIONS OF ANY KIND OR CHARACTER, EXPRESS OR IMPLIED, WITH RESPECT TO THE PROPERTY, INCLUDING, BUT NOT LIMITED TO, ANY WARRANTIES OR REPRESENTATIONS AS TO HABITABILITY OR FITNESS FOR A PARTICULAR PURPOSE. PURCHASER ACKNOWLEDGES AND AGREES THAT, UPON THE CLOSING, SELLER SHALL SELL AND CONVEY TO PURCHASER AND PURCHASER SHALL ACCEPT THE PROPERTY IN ITS "AS IS, WHERE IS, WITH ALL FAULTS" CONDITION, EXCEPT TO THE EXTENT EXPRESSLY PROVIDED OTHERWISE IN THIS AGREEMENT, INCLUDING, BUT NOT LIMITED TO ALL STRUCTURES, FIXTURES, PERSONAL PROPERTY AND EQUIPMENT INCLUDED IN THE CONVEYANCE CONTEMPATED UNDER THIS AGREEMENT. BUYER FURTHER ACKNOWLEDGES THAT THE PURCHASE PRICE REFLECTS AND TAKES INTO ACCOUNT THAT THE PROPERTY IS BEING SOLD "AS IS, WHERE IS, WITH ALL FAULTS." PURCHASER REPRESENTS TO SELLER THAT, PRIOR TO CLOSING, PURCHASER WILL HAVE CONDUCTED SUCH INVESTIGATIONS OF THE PROPERTY, STRUCTURES, FIXTURES, PERSONAL PROPERTY AND EQUIPMENT INCLUDED IN THIS CONVEYANCE, INCLUDING BUT NOT LIMITED TO, THE PHYSICAL AND ENVIRONMENTAL CONDITIONS THEREOF, AS PURCHASER DEEMS NECESSARY OR DESIRABLE TO SATISFY ITSELF AS TO THE 214273v12 CONDITION OF THE PROPERTY AND/OR THE EXISTENCE OR NONEXISTENCE OF ANY CURATIVE ACTION TO BE TAKEN WITH RESPECT TO ANY HAZARDOUS MATERIALS ON OR DISCHARGED FROM THE REAL PROPERTY, AND WILL RELY SOLELY UPON SAME AND NOT UPON ANY INFORMATION PROVIDED BY OR ON BEHALF OF SELLER WITH RESPECT THERETO. UPON CLOSING, PURCHASER ACKNOWLEDGES THAT IT WILL BE ACQUIRING THE PROPERTY SUBJECT TO ALL SUCH ADVERSE MATTERS, INCLUDING BUT NOT LIMITED TO, DEFECTS AND ADVERSE PHYSICAL AND ENVIRONMENTAL CONDITIONS AND OTHER MATTERS THAT MAY NOT HAVE BEEN REVEALED BY PURCHASER'S INVESTIGATIONS. 21. Default. If either party shall default in any of their respective obligations under this Purchase Agreement, the other party, by notice to such defaulting party specifying the nature of the default and the date on which this Purchase Agreement shall terminate (which date shall not be less than thirty (30) days after the giving of such notice), may terminate this Purchase Agreement, and upon such date, unless the default so specified shall have been cured, this Purchase Agreement shall terminate. In the case of any default by the Seller or Purchaser, the non -defaulting party's sole and exclusive remedy shall be termination of this Purchase Agreement as provided above, except that the Earnest Money shall be returned to Purchaser in the event of a default by Seller 22. Management Contract. At the time of closing, Seller will have terminated the management contract with Elk River Golf Club for the management of Pinewood Golf Course. 23. Notices. All notices, demands and requests which may be given, or which are required to be given by one party to the other shall be in writing, sent by United States Mail, postage prepaid, certified with return receipt requested as follows: If to Seller: City of Elk River 13065 Orono Parkway Elk River, Minnesota 55330 Attn: City Administrator With copy to: Andrea McDowell Poehler Campbell Knutson, P.A. Grand Oak Officer Center I 860 Blue Gentian Road, Ste. 290 Eagan, Minnesota 55121 214273v12 9 If to Purchaser: Baer Necessities, LLC 14440 145t' Court NW Elk River, MN 55330 Attn: Jennifer Abrahamson 24. Assignment. Purchaser may assign its rights under this Agreement or the Contract for Deed described 2(b) herein. Purchaser shall provide fifteen (15) days advanced, written notice of any such assignment and any assignee shall be bound by Purchaser's obligation under this Agreement and the Contract for Deed. 25. Survival. All of the terms of this Agreement will survive and be enforceable after the Closing, except as otherwise provided. 26. Captions. The paragraph heading or captions appearing in this Agreement are for convenience only, are not a part of this Agreement and are not to be considered in interpreting this Agreement. 27. Entire Agreement; Modification. This written Agreement constitutes the complete agreement between the parties and supersedes any prior oral or written agreements between the parties regarding the Property. There are no verbal agreements that change this Agreement and no waiver of any of its terms will be effective unless in a writing executed by the parties. 28. Brokers. Seller and Purchaser each represent and warrant to the other party that it has dealt with no brokers, finders, or the like in connection with this Agreement or the transactions contemplated hereby. Seller and Purchaser agree to indemnify and defend each other against, and hold each other harmless from, all claims, damages, costs, and expenses of or for any fees or commissions resulting from their actions or agreements regarding the execution or performance of this Agreement, if and to the extent the representation and warranty made by such party in the immediately preceding sentence is not true. 29. Binding Effect. This Agreement binds and benefits the parties and their heirs, representatives, successors, and assigns. 30. Governing Law. This Agreement has been entered into in the State of Minnesota and shall be governed by and construed in accordance with the laws of the State of Minnesota. 31. Relationship Between Seller and Purchaser. Nothing in this Agreement shall be construed as creating a joint venture between the Seller and Purchaser or any relationship other than that of the Seller and Purchaser. 32. Time is of the Essence. Time is of the essence in this Agreement. 214273v 12 10 33. Force Maieure. If by reason of any event of Force Majeure (defined below) either party to this Agreement is prevented, delayed or stopped from performing any act which such party is required to perform under this Agreement, the deadline for performance of such act by the party obligated to perform shall be extended for a period of time equal to the period of prevention, delay or stoppage resulting from the Force Majeure event. As used in this Agreement, the term "Force Majeure" shall include, but not be limited to, fire or other casualty, bad weather, pandemic, inability to secure materials, strikes or labor disputes (over which the obligated party has no direct or indirect bearing in the resolution thereof, or if said party does have such bearing, said dispute occurs despite said party's good faith efforts to resolve the same), acts of God, acts of the public enemy or other hostile governmental action, civil commotion, governmental restrictions, regulations or controls affecting, and/or other events over which the party obligated to perform (or its contractor or subcontractors) has no control. 214273v12 I I IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and year first above written. SELLER: CITY OF ELK RIVER AND: John J. Dietz, Mayor Tina Allard, City Clerk PURCHASER: BAER NECESSITIES, LLC Jennifer Abrahamson, Chief Manager 214273v12 12 EXHIBIT A Legal Description Oudot B, PINEWOOD, Sherburne County, Minnesota Oudot A, PINEWOOD, Sherburne County, Minnesota 214273v12 EXHIBIT B Maintenance Equipment, Tools, Furniture and Supplies Unit Number Make Model Ground master 3500-D Hours Serial Number 2019 Estimated Value 784P Toro 2526 30-26OW0452 $31,385 792P Toro Reelmaster 52WD no -meter 03540- 260000253 $35,200 783? Toro Careensrnntor3150-Q 1470 0357- 260000691 $2.7,765 786? Taro Greensrmster 3150-Q 105 358- 313000251 $27,765 781P Toro Workman 247 07277- 260000717 S9,975 785P Cushman TurFTruck.9ter 60 990067-9() S13,000 Toro Circens Aerator no meter C912MO403 54,000 Lely Fertilizer Spmder no meter 2.32021E+13 $3,000 club C tility Carl no meter No number resent S12,000 EZGO TXT Golf Can no rnetor :2289571 $3,540 EZGO TNT (it)IfCart TXT GoIfCart no meter 2289547 $3,540 FZGO no meter 2289143 $3,540 MO TXT Golf Cart no meter 2289178 $3,540 EZGO TXT Colf Cart no meter 12289146 $3,W EZGO TXT Golf Cart no meW 12289993 $3,540 EZGO TXT Golf Can no meter 2289 774 S3,W EZGO TACT Golf Cart no ureter 2288522 $3,540 E?GG TT Golf Cart no truer 2289553 $3,540 EZGO TXT Golf Cart no meter 2289131 $3,540 FZGO TXT Golf Cart no meter 2289130 $3,540 214273v12 Photo I; City- 6 plaques on vaR Photo I ERCC dwliexawave, prxixtcr Photo 3: City. board, phone, desk chair, xAck ERCC: Yellow wocd filing cabinet Photo 4: citty:lo chairs Photo 516: City: 9 tables And 36 chairs Photo 7: Qtv: Air wrY&doper, clock, phones, cmutrrs ERCC, Coke machine, chairs., computer Photo 0: Citr- Clock, shelf Photo 9: City: Fiore on waE, clothing rack ERCC: IV Photo 101 H: City: Cloehing racks, wall display rack, wall plaque, 3 tables, 12 chairs Photo 12: City: pictu=' rack ERCC Fan 214273v12 15 0 PINEWOOD GOLF C:WFISE -q4LE Ik (ME 'MEMBERT t x PlMtW tM COLF COUFM FOUL PHONE 'MFktBFPS' .1 ......... I N N .4 OR, d - Mql I fj L #-,I, tP N ;0000, .•� j Al 0 J her. l � 1 � rye■ .� _ ! r Y � A fee Fi tom . MWPh rrEr tYu� imp 0 •yo�t�n.esle I J. Viree Beer —Free, 'Food... And More! DOWNLOAD FROOGLE TunNYl ism A6: 6 '17 ♦y 1 '011 m p ��r s rra IT wry, p -�,.� � 4•, •• �_ JJ 1- I nil loo Fait �p+H �Faa._ J f EXHIBIT C Restrictive Covenant The Property shall be used solely as a 9-hole golf course and related accessory activities until June 30, 2036. 214273v12 Fure Financial wwmfurefinancia1.corn Fure Financial Corporation 8500 Normandale Lake Boulevard, Suite 950 Bloomington, MN 55437 (952) 944.8250 July 6, 2021 To Whom It May Concern, In response to your request for evidence of financial resources, this letter is to verify that Judy Duenow has adequate liquid resources for a down payment of $100,000, and the ability to fund ongoing obligations as needed for the proposed minimum period of operation. President, Senior Wealth Advisor