HomeMy WebLinkAbout5A4 Fourth Amendment to Real Estate Purchase Agreement (Diamond View Real America)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 late
January 2023. Due to the extended nature of the tax credit process and the currently difficult
construction bidding market, the closing date deadline of December 31, 2023, may not be met
by Real America.
This amendment extends the closing date deadline until February 29, 2024, 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:
FROM:
SUBJECT:
12/11/202
Joseph Molnar
Fourth Amendment Real America
Which TIF? (circle one) River West;River East;South Side;Douglas Road;West Washington
{20220643.DOCX}
FOURTH AMENDMENT TO
REAL ESTATE PURCHASE AGREEMENT
This FOURTH AMENDMENT TO REAL ESTATE PURCHASE AGREEMENT (this
“Amendment”) is made and entered into to be effective as of the December 14th, 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, as further amended by the Second Amendment to
the Real Estate Purchase Agreement, dated effective as of November 21, 2022, and as further
amended by the Third Amendment to the Real Estate Purchase Agreement, dated effective as of
May 25, 2023 (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 February 29, 2024, 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 Fourth 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