HomeMy WebLinkAbout6C(1)&C -(0
• , SOUTH 8A
Community & Economic Development
y .7865
1200 County -City Building, 227 West Jefferson, South Bend, Indiana 46601 -1830 Phone 574/235 -9371 Fax 574/235 -9021
To: Redevelopment Commission
From: David Relos, Economic Development Planner
Subject: Professional Services Agreement
Grubb Ellis Listing Agreement - Bosch, Jefferson -& Main"lot
Date: March 22, 2011
Attached to this memorandum is a proposal from Grubb & Ellis / Cressy Everett to list
certain Commission owned property. These agreements are for a period of one year.
The first listing agreement is for the property located at the southwest corner of Jefferson
and Main streets. This lot is 141'x 245' (79 acres), and is being listed for $258,093.
The second listing agreement is for the Bosch property at 401 Bendix Drive. This property
has three components: a 267,000 sf warehouse, a 77,812 sf office building, and 28.70 +/-
acres. The listing price for this property is $2,413,684.
Staff requests approval of these Listing Agreements with Grubb & Ellis / Cressy Everett, to
allow the marketing of these two Commission owned properties.
What We Do Today Makes A Difference!
LISTING CONTRACT
TO: Grubb & EllislCressy & Everett DATE: February 25, 2011
Broker: Tim Mehall, George Cressy and Ed Bradley
PROPERTY ADDRESS: 401 Bendix Drive, South Bend, IN including the 267,000 sf office /warehouse building, the 77,812 sf
office building and associated 28.70 +/- acres of land.
LEGAL DESCRIPTION: See attached
1. SALE PRICE: $2,500,000. The Owner agrees the price stated herein includes all mortgages, unpaid special assessments and
any balances due for any fixtures, improvements, alterations or miscellaneous equipment now on or attached to premises.
2. TERMS: ® Cash ® Conventional Financing [] Seller Financing ❑ Land Contract ❑Other
3. EXCLUSIVE LISTING: In consideration of the Broker listing for sale and undertaking to find a purchaser for the real estate
described above, the Owner hereby grants and gives the Broker the exclusive right and authority to sell or exchange the same
for a period from March 22. 2011 to March 21 2012 , inclusive and represents that no other agreement is now in force with
any other broker. This Listing Agreement will expire on March 21, 2012. The Broker is authorized to permit other licensed
brokers and sales persons to show this property. If the property is not presently rented, the Owner agrees not to rent or lease
the subject property while listed with the undersigned Broker without Broker's consent. The Broker is further authorized to
accept Buyer - Broker /Limited Agency notification on behalf of Owner.
4. BROKER'S FEE: In the event the Broker finds a purchaser ready, willing and able to buy said real estate, or should said real
estate be sold by or through the Broker, the Owner or otherwise, during said time for the price and upon the terms named
herein, or should the entity which currently owns the real estate be transferred by means of a stock transfer or any other
transfer of interest during the tern of this Agreement for any other price or terns, or consideration acceptable to the Owner,
the Owner agrees to pay the Broker as commission a sum equal to the greater of $150,000 or 7% of sale price at the closing of
the transaction if a co- broker is the procuring cause and a commission equal to the greater of $100 000 or 5% of sale price at
the closing of the transaction if the listing team of Tim Mehall Ed Bradley and /or George Cressy are the procuring cause
Broker may offer to share Broker's commission with subagents and Buyer - Brokers. The fee to be paid by the Owner to the
Broker for services rendered with respect to any listing and the compensation to be paid by the Broker to a subagent or Buyer -
Broker are not fixed, controlled, suggested, recommended or maintained. If the property is sold or exchanged, the
commission is due and payable at the time of closing (for a land contract when the land contract is signed; for a purchase
money mortgage when the deed and purchase money mortgage are exchanged.) For leases, the commission shall be paid at
the execution of the lease for the primary term. it is further agreed the= A %er shall pay a leasing eetmnissien of
pereent of the Gross,Net Lease .&-mount fer any renewals, aptions, or e�Epansiens by die Tenant at the subject prepei4y. The
leasing eemmission for the refiewals, option or e*pansiens shall be paid by the Owiier when exereised by the Tenant. The
Owner aggrees to inelude an), future e . . . . , '' S to the Broker in the eriginal lease docuffnentsn that V'R"fliets do He
eceur due to subsequent sales Rfthe si1bjeG( y. Broker shall be entitled to recovery of reasonable attorney fees for the
collection of commission due. The Owner also agrees to do and to perform all that may be necessary to enforce the contract
with the purchaser for the property described herein and the collection of any money due. Commissions not paid within thirty
(30) days of execution of a lease shall be considered past due and Broker shall charge interest at the rate of Twelve (12 %)
percent on any past due commissions.
In the event of any transfer of an interest in said real estate within 365 days after the expiration of this Listing Contract and its
extensions, to any person, firm or corporation who has been introduced, interested, or shown the property during the exclusive
period of this listing by the Owner or by the Broker, his Representative, or Subagent or by a Buyer- Broker, Owner agrees to
pay Broker a commission as provided by this Listing Contract and its extensions. The Owner agrees to refer to the Broker all
inquiries of brokers or others interested in his property during the term of this contract.
CONSENT TO LIMITED AGENCY: The Owner is to sign the attached Listing Contract Addendum explaining the Brokers
general company policy regarding any potential for the Broker to act as a disclosed limited agent. Unless otherwise stated
below under Further Provisions, Owner hereby consents to the showing of the Owners property by the Broker or by any
salespersons who are affiliated with the Broker and who are acting in the capacity of a Buyer- Broker.
6. EARNEST MONEY DEPOSIT: The Broker is hereby authorized to accept an earnest money deposit with any offer to
purchase said real estate. Said deposit may be retained by the Broker until closing. Should the purchaser fail to complete said
purchase, said earnest money deposit shall be applied first to inspection fees and to Broker's advertising and other expenses.
The balance shall be divided equally between the Broker and Owner, except that Brokers portion shall in no event exceed his
regular commission. In the event of a dispute as to the release of any earnest money, the Broker may interplead all or any part
of said escrow funds to the Clerk of the Circuit Court where said real estate is located.
OWNERSHIP AND TITLE INSURANCE: If the property is to be sold or exchanged, Owner also agrees to furnish, within a
reasonable time prior to closing, at his expense a commitment for an Owner's Title Insurance Policy equal to the purchase
price insuring merchantable title subject to standard title exceptions. The Owner also agrees to execute and deliver a warranty
deed or land contract for the same to whom the Broker directs. To induce the Broker to enter into this Listing Contract, the
Owner hereby warrants that the undersigned is the fee simple titleholder or Land Contract purchaser of the property above
described. The Owner agrees to give possession at closing of this transaction.
CONDITION OF PROPERTY: Owner represents that to the best of his knowledge, the heating, cooling, electrical, roof,
septic system, well and plumbing systems in the improvements on the real estate and all other functioning systems, and/or
equipment to be included in the sale of his real estate, are now in good operating order or will be on the date of closing,
except as follows:
Owner warrants that the property ® is ❑ is not connected to a municipal sewer system.
ENVIRONMENTAL: Owner represents to Broker that all environmental problems affecting the Premises have been
disclosed to Broker in writing. Owner acknowledges and agrees that Broker has not made any representation or warranty with
respect to, nor conducted any investigation of, the environmental condition or suitability for any particular use of the Premises
or any adjacent property and that Broker has no duty or obligation to Owner, any prospective purchaser or lessee or other
person or entity to make any such investigation, warranty or representation and does not by this Agreement incur any such
obligation. Owner further acknowledges and agrees that any obligation which may exist with regard to compliance with
statutes, ordinances and regulations relating to the environmental condition of all or any part of the Premises, or the use
thereof, is the sole responsibility of the Owner. Owner acknowledges that Broker has advised Owner of the potential risk of
environmental issues affecting the Premises by letter or verbally prior to entering into this Agreement. Owner agrees to
indemnify and hold Broker harmless against any liability, expense, cost, attorney's fees or other fees which Broker may incur
as a result of any environmental problems associated with the Premises.
10. MLS INFO: It is understood that the Broker may rely on the validity of the data pertaining to this Listing Contract which has
been provided by the Owner, and the Owner agrees that the broker may disclose such data to the Loopnet service, and that the
Broker will furnish notice to such entity of all changes of information concerning the subject property as agreed by the
Owner, and that upon completion of a signed Contract to Purchase on said property, the Broker will notify the Loopnet
service of said sale and authorize the dissemination of sales information.
11. BROKER'S SERVICES: It is understood by the Owner that the services of the Broker herein are to use his best efforts to find
a purchaser for the real estate above described during the term of this Contract and that the Broker is not and shall not be
charged with the responsibility for the custody, management, care, maintenance, protection or repair of the real estate and
improvements nor for the protection or custody of the personal property located therein. The Broker is hereby authorized to
put a "AVAILABLE" sign on said real estate, and the broker is further authorized to advertise Owner's property as broker
deems advisable in the local newspaper or other mediums of advertisement and further authorized to take and use photographs
and video of the interior and exterior of the property.
It is agreed the Broker, Subagent or Buyer- Broker or his representative and all prospective purchasers shall at all reasonable
times have access to said premises and appurtenances located thereon for the purpose of showing or inspecting same.
12. AUTHORITY TO OBTAIN MORTGAGE INFORMATION: The Owner does hereby authorize the lending institution with
whom the Owner presently has a mortgage to divulge any mortgage information required by the Broker.
13. FAIR HOUSING: This property is offered for sale without regard to race, color, religion, sex, handicap, familial status or
national origin in accordance with state and federal laws.
14. INDEMNIFICATION: This information is true and correct to the best of Owner's knowledge and is provided for the purpose
of being relied upon. In the event any dispute arises concerning the condition of said real estate or any equipment contained
therein, or arises from incorrect, misrepresented or withheld information, the Owner hereby agrees to and does indemnify and
hold the Broker and his agents and subagents harmless from any and all claims, demands, damages, suits, liabilities, cost or
expense, including reasonable attorney's fees incurred and arising out of all such disputes other than disputes arising out of
defects in the real estate specifically set forth in the foregoing exceptions. In the event of the transfer of any interest in the
above described real estate to another party, this provision shall survive such passing of interest. The Owner herewith
Provides detailed information respecting said property for the Broker's use and for the use of the Indiana Board of Realtors
and its subscribers, which said information is incorporated herein and made a part hereof by reference.
15. ARBITRATION: Any dispute out of this Contract shall, at the option of either party, be settled by binding arbitration.
Within ten (10) days after either party shall request arbitration in writing, the parties shall agree upon an impartial arbitrator,
and failing agreement, sub arbitrator shall be selected by the American Arbitration Association at the request of either party.
The arbitration shall be conducted in St. Joseph County, Indiana, in accordance with the then current toles of the American
Arbitration Association, and judgment upon the award granted by the arbitrator may be entered in any court in St. Joseph
County, Indiana. Fees, costs, and expenses of the arbitrator, as well as the reasonable attorney fees and other costs and
expenses of the arbitration incurred by the prevailing party, shall be born by the party against whom the arbitration shall be
determined, or such proportions as the arbitrator shall designate.
16. ENFORCEMENT OF AGREEMENT: The Owner shall pay upon demand all the broker's costs, charges, and expenses,
including reasonable fees of attorneys, agents, and others retained by the broker incurred in enforcing the Owner's obligations
hereunder or incurred by the broker in any litigation, negotiation, arbitration, or transaction involving the Owner in which the
broker becomes involved or concerned without the broker's fault.
17. FURTHER PROVISIONS: Additional paragraphs numbered , attached to this Contract are part of this Contract and
the terns and provisions thereof are binding upon the Owner and broker.
19. OWNER ACKNOWLEDGES THAT:
a. This Contract is binding upon the Owner's heirs, administrators, executors or assigns.
b. He has read and understands this Listing Contract and profile sheet.
C. Broker and Brokers subagents are exclusively the agents of the Owner and not the agent of the Purchaser;
however, the agent and subagents are under a duty to treat all parties in the transaction fairly. If a limited
agency will exist in the future, proper disclosure will be made to the Seller in advance of the negotiations
for the sale or lease of the subject property.
d. A Buyer- Broker, even if compensated by the Listing Broker, will represent the interest of the Buyer.
This is a legal, binding contract. If not understood seek legal advice.
The undersigned accepts this Listing Contract and agrees to the tens this _ day of , 2011
OWNERS:
JEFF GIBNEY
CITY OF SOUTH BEND REDEVELOPMENT
1200 COUNTY CITY BUILDING
SOUTH BEND, IN 46601
REAL ESTATE BROKER: Grubb & EllislCressy & Everett
Timothy Mehall George Cressy CCIM Edward Bradley CCIM SIOR CPM
GRUBB & ELLISICRESSY & EVERETT
LISTING CONTRACT ADDENDUM
REAL ESTATE AGENCY RELATIONSHIPS
When representing a buyer, seller, lessor, lessee or other client as an agent, Realtors pledge themselves to protect and promote the
interests of their client. This obligation of absolute fidelity to the client's interest is primary, but it does not relieve Realtors of their
obligation to treat all parties fairly and honestly. When serving a buyer, seller, lessor, or lessee, or other party in a non- agency
capacity, Realtors remain obligated to treat all parties honestly.
Grubb & EllisICressy & Everett and its agents shall act as single agents when representing either the buyer /lessee or the seller /lessor,
or as limited agents when selling a Company listing to a buyer /lessee client. In the case of limited agency, Grubb & EllisjCressy &
Everett and its agents will not disclose to the buyer /lessee the lowest price that the seller /lessor will take, nor disclose to the
seller /lessor the highest price that the buyer /lessee will pay. Should there be other terms that either party considers as strictly
confidential, specifics regarding these terms can be included in the limited agency consent agreement and thereby held as secret from
the other client.
The Code of Ethics of the NATIONAL ASSOCIATION OF REALTORS requires us as the listing broker to state our general
company policies regarding cooperation with other licensees in the sale or leasing of your real estate.
You the Seller /Lessor consent to our marketing of your real estate with the assistance of cooperating licensees who operate in those
capacities indicated by a check on the lines below:
® Subagents
Subagents are brokers who procure buyer /lessees, but who agree to act as an agent of the listing broker, and who represent the
interest of the seller /lessor. Grubb & EllisICressy & Everett's policy is to pay a Subagent a portion of the sale or lease
commission.
® Buyer /lessee- Brokers
Buyer /lessee- Brokers are licensees who represent the interest of buyer /lessees, even if compensated by the listing broker.
Grubb & EllislCressy & Everett's policy is to pay a Buyer /lessee- Broker a portion of the sale or lease commission.
® Limited Agency
Grubb & EllislCressy & Everett may occasionally serve as a buyer /lessee - broker representing a buyer /lessee client. That
raises the possibility that such a client might desire to view and perhaps purchase or lease your real estate. You as
seller /lessor and Grubb & EIIisjCressy & Everett as listing broker hereby agree that neither we nor any salesperson under our
supervision will represent the interest of any person other than you in the sale of your real estate, without disclosure to you for
any showings and written disclosure to you before negotiations are initiated with such buyer /lessee clients.
Dated this
OWNERS:
day of , 2011
JEFF GIBNEY
CITY OF SOUTH BEND REDEVELOPMENT
1200 COUNTY CITY BUILDING
SOUTH BEND, IN 46601
REAL ESTATE BROKER: Grubb & EllislCressy & Everett
Timothy Met-tall George Cressy CCIM Edward Bradley CCIM SIOR CPM
LEGAL DESCRIPTION
401 BENDIX DRIVE SOUTH BEND, INDIANA
Address
Bullding Siize ""
Assd Land " "''
Legal Description
f "Key, #
Lot Size. ""
Assd Itnpr
War Built
Assd Total
401 N Bendix
267,000
$207,200
Tract l Part of Section -3 -37 -2E
18- 2040 -1387
19.99 Ac
$4,379,300
1946/1980
54,586,500
No Address lasted "(bldg across
77,812 =:;
Gov Owned
Lots 27" 29 and`78 and 139 i46 and"Vacatd'� "`
the Street) `
1,71 Ac
inactive .
Alleys and Vacated l' ' ey Street Kaieys 2"
18 -2066 -2450
1900
;`Add Vaeated Alleys Kaleys 2°� Aild`r
401 Bendix and Meade St
78,620
Gov owned
Land bounded by Bertrand — Kenwood Bendix
18 -2066 -2430
3.52 Acres
Drive and Meade Street South Part SW 3 37
2E
VL Adj; 26l 6 W Linden , "
`NA
; Gov owned
Lot 20 Kaley's 15 Add
18 -2069 -2533
12 Ac
2610 Linden
NA
Gov owned
Lot 19 Kaley's 1" Add
18. 2069 -2534
.11 Ac
2606 Linden "
NA
Gov owned
Lot 18 Kaley's 1St Add
;," 18-206M535,
.1 -1 Ac
2602 Linden
NA
Gov owned
Lot 17 Kaley's I" Add
18 -2069 -2536
.11 Ac
;Vacant Land Lot 39
NA
Gov owned
Lot " 35 K 4 ',I y:..
18- 2066 -2458
11 Ac
Vacant Land Lot 36
NA
Gov owned
Lot 36 Kaley's lst
18- 2066 -2459
AI Ac
2626 Linden
NA
Gov owned
Lot 23 and South 28',Kaley s r,., Add
18- 2069 -2530
.17 Ac
2620 Linden
NA
Gov owned
Lot 22 Ex South 28' Kaley's I" Add
18- 2069 -2531
.09
2618 Linden
NA
Gov owned
Lot 21 Kaley's 1st Add
4 18 -2069 -2532
.11 Ac
LEGAL DESCRIPTION
401 BENDIX DRIVE SOUTH BEND,
INDIANA
.Address _ -
$uildtng Size �'�
= �AsW:Land
= Legal Description _
y #. °.
Lot Size
AssdTmpt
Year Built
Assd Total
401 N Bendix Lot 24 -26
Gov owned
Lots 24 -26 including part 101 and 102 West
18- 2069 -2527
.42 Acres
End Sub
Vacant Land Bendix i)r
,Inactive - Gov,Owned -'
=T•i Panel1 SE'Side SW :Cor 3 -3;7 2E
18 -2040- 139001..
19 Acres
2625 Lawton
Gov Owned
Lot 90 West End Sub
18- 2039 -1373
.13 Acres
Vacant Land;L of 91
_<
.Gov Ownl '
Lot 91 West End Sub
I8 -2039 -1370
bt Acres
Vacant Land Lot 92
Gov Owned
Lot 92 West End Sub
18- 2039 -1367
.11 Acres
266 Lawton° _
Gov Owned
Lot 93 West End Sub '
X18- 1039-1364;
Acres
Vacant Land Lot 94
Gov Owned
Lot 94 West End Sub
18- 2039 -1361
.11 Acres
VL Adj 2603 Lawton .
Gov Owned
Lot 95 West End Sub
48- 2039 - 1338.11
Acres
Vacant Land Lawton
Gov Owned
Lot 96 West End Sub
18- 2039 -1355
.11 Acres
2621 Linden
Gov Owned
Lot 31 Kaley's 1st
' 18 -2066 -2454
1 I Acres
2405 Linden
Gov Owned
Lot 30 Kaley's Ist
18- 2066 -2453
.14 Acres
Address
Building Size
Assd`Land
Legal Description
Key #
Lot Size
Assd lmpr
Year Built
Assd "Total
Lot 32
Gov Owned
Lot 32 Kaley's 1 s` Sub
18 -2006 -2455
.11 Acres
2614 Kenwood
Gov Owned
Lot 72 Kaley's 1st
18 -2066 -2446
11 Acres
2610 Kenmore
Gov Owned
Lot 71 Kaley's 1st
18- 2066 -2447
.I I Acres
2606 Kenwood
Gov Owned
Lot 70 Kaley's Ist
18- 2066 -2448
.1 I Acres
2602 Kenwood
Gov Owned
Lot 69 Kaleys 1 st
18- 2066 -2449
.1l Acres
Bendix Drive Lots,73 and 74.
Goy Owned .
Lots 73, 74; 75 and vacated alley and a J
18- 2066 =2445
35 Acres
Kaley's 1st '.
TOTALS
28.70 Acres