HomeMy WebLinkAboutA052 - Resolution No. 13-354 adopted August 6, 2013 RESOLUTION NO. 13-354
RESOLUTION APPROVING RELEASE OF MORTGAGE ON
3908 MARIGOLD DRIVE (OUTLOT R) IN
SOUTH FORK SUBDIVISION, 1ST ADDITION
FOR THE CITY OF AMES,IOWA
WHEREAS, the South Fork Subdivision is located south of the west Hy-Vee grocery store
and north of the Ames Middle School; and,
WHEREAS, two of the areas within the subdivision remain to be developed; Outlot R, I"
Addition and Outlot U, 2"d Addition (Outlot U is currently being subdivided as South Fork, 4t'
Addition); and,
WHEREAS, the 2001 Memorandum of Agreement for South Fork Subdivision contains
stipulations regarding future left turn lane improvements at the intersection of Lincoln Way and
Franklin Avenue that directly relate to further development of these Outlots; and,
WHEREAS,the developer is required to pay 50%of the costs of construction for installation
of the associated improvements at the intersection of Lincoln Way and Franklin Avenue, and the
City will pay for the remaining 50%, as well as any engineering design and right-of-way costs as
needed to complete the project; and,
WHEREAS, the developer is required to guarantee this financial obligation by providing
security in an amount equal to 50%of the estimated costs of construction, as specified by the City;
and,
WHEREAS, the obligation for Outlot R, I" Addition, (3908 Marigold Drive) is secured
through a mortgage to the City of Ames on the land in Outlot R,which had an approximate net value
of$280,000; and,
WHEREAS,Pinnacle Properties Ames,LLC,is in the process of procuring the purchase of
3908 Marigold Drive (Outlot R, South Fork Subdivision, I"Addition) from the Marjorie Lucille
Cochrane Revocable Trust; and,
WHEREAS,in order to move forward with the purchase,the previously mentioned mortgage
would need to be released and replaced with a letter of credit for$280,000.00 on behalf of Pinnacle
Properties Ames, LLC, with the City of Ames as beneficiary.
NOW, THEREFORE,BE IT RESOLVED,by the City Council of the City of Ames,Iowa,
that release of the City's interest in the current mortgage on 3908 Marigold Drive (Outlot R, South
Fork Subdivision, I"Addition) is hereby approved.
ADOPTED THIS 6t' day of August, 2013.
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Diane R. Voss, City Clerk Ann H. Campbell, Mayor
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Introduced by: Davis
Seconded by: Szopinski
Voting aye: Davis, Goodman, Larson, Orazem, Szopinski, Wacha
Voting nay: None Absent: None
Resolution declared adopted and signed by the Mayor this 6t' day of August, 2013.