HomeMy WebLinkAbout5A4 Third Amendment to Real Estate Purchase Agreement (Diamond View Apartments)PURPOSE OF REQUEST: Extension of Closing Date
Specifics: In 2021, Real America and the RDC approved an agreement to sell RDC owned real
estate for the construction of affordable apartment units. The agreement gave Real America
two years to receive Indiana State Tax Credits for the project. The second round of tax credits
were initially scheduled to be awarded in November of 2022. However, due to the rise in
interest rates, the State desired that applicants resubmit their projects with updated financial
considerations in January 2023. Real America was awarded tax credits for the project in January
2023. Due to the extended nature of the tax credit process, the closing date deadline of August
31, 2023, may not be met by Real America.
This amendment extends the closing date deadline until December 31, 2023 and ensures the
project moving forward.
Staff requests approval.
INTERNAL USE ONLY: Project Code: ;
Total Amount new/change (inc/dec) in budget: ; Break down:
Costs: Engineering Amt: ; Other Prof Serv Amt ;
Acquisition of Land/Bldg (circle one) Amt: ; Street Const Amt ;
Building Imp Amt ; Sewers Amt ; Other (specify) Amt:
. Going to BPW for Contracting? Y/N
Is this item ready to encumber now? Existing PO# Inc/Dec $
Pres/V-Pres
ATTEST: Secretary
Date:
APPROVED Not Approved
SOUTH BEND REDEVELOPMENT COMMISSION
Redevelopment Commission Agenda Item
DATE: 5.25.23
FROM: Joseph Molnar
SUBJECT: Second Amendment Real America
Which TIF? (circle one) River West; River East; South Side; Douglas Road; West Washington
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THIRD AMENDMENT TO
REAL ESTATE PURCHASE AGREEMENT
This THIRD AMENDMENT TO REAL ESTATE PURCHASE AGREEMENT (this
“Amendment”) is made and entered into to be effective as of the 25th day of May, 2023, by and
between South Bend Redevelopment Commission (“Seller”), as Seller, and RealAmerica
Development, LLC, an Indiana limited liability company (“Purchaser”), as Purchaser.
RECITALS
A. Seller and Purchaser entered into that certain Real Estate Purchase Agreement,
dated effective as of July 22, 2021, as amended by the First Amendment to Real Estate Purchase
Agreement, dated effective as of May 26, 2022, and as further amended by the Second Amendment
to the Real Estate Purchase Agreement, dated effective as of Novem ber 21, 2022 (the
“Agreement”), for the purchase and sale of certain real property located in the in St. Joseph
County, City of South Bend, State of Indiana as more particularly described in Exhibit A of the
Agreement (the “Real Estate”). All capitalized terms used but not otherwise defined herein shall
have the meanings ascribed to such terms in the Agreement.
B. Seller and Purchaser now desire to amend the Agreement in order to provide for an
extension of the Closing date thereunder and to address certain other matters, all as set forth
hereunder.
AGREEMENT
NOW, THEREFORE, in consideration of these premises, and the mutual covenants and
promises contained herein and other good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged, Purchaser and Seller hereby agree as follows:
1. Recitals. The recitals set forth above, including each and every recital contained
therein, are incorporated into and made a part of this Amendment as though fully set
forth herein.
2. Amendments. The Agreement is hereby amended as follows:
a) Closing. The last full sentence of Paragraph 7 (a) of the Agreement shall be
amended and replaced with the following:
“The "Closing Date" shall be December 31, 2023, or such earlier or later date as
may be agreed to in writing by Seller and Buyer.”
3. Entire Agreement; Conflict. Except as otherwise stated herein, all other terms,
conditions and agreements contained in the Agreement remain unmodified and in full force and
effect. To the extent a conflict exists between the terms of this Amendment and the Agreement,
the terms of this Amendment shall control.
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4. Counterparts; Electronic or Facsimile Transmission. This Amendment may be
executed in counterparts which, when combined, shall constitute one instrument. The electronic
or facsimile transmission of a signed counterpart of this Amendment shall be binding upon the
party whose signature is contained on the transmitted copy.
[Signature Page Follows.]
{20220643.DOCX}
IN WITNESS WHEREOF, Purchaser and Seller have executed this First Amendment to
Real Property Purchase Agreement to be effective as of the date set forth above.
“PURCHASER”:
RealAmerica Development, LLC
By:
Ronda Shrewsbury, President
“SELLER”:
South Bend Redevelopment Commission
By:
Marcia I. Jones, President
Attest:
Vivian Sallie, Secretary