HomeMy WebLinkAboutA010 - Minimum Assessment Agreement for Lot Ten (10) dated April 7, 2023 Instr. Number: 2024-01801
Recorded: 3/26/2024 at 10:34:44.0 AM
County Recording Fee: $62.00
Iowa E-Filing Fee: $4.16
Combined Fee: $66.16
Stacie L. Herridge - Recorder
Transfer Tax:
Story County, Iowa
INSTRUMENT PREPARED BY: Brian D.Torresi, 120 S 1611 St.,Ames,IA 50010,(515)288-2500
RETURN TO: City Clerk City of Ames Iowa,515 Clark Ave. Ames IA 50010
MINIMUM ASSESSMENT AGREEMENT
THIS MIIJJMUM ASSESSMENT AGREEMENT (this "Agreement") is made and
entered into thisl ay of e ,2023,by and between the City ofAmes,Iowa(the
and Health Ventures of Central Iowa,L.L.C.,an Iowa limited liability company(collectively,with
the successors and assigns thereof, the "Developer'). City and Developer are hereinafter
collectively referred to as the "Parties" or individually as a "Egqy". This Agreement shall be
effective as of the date the last of the Parties hereto executes same (the "Effective Date").
Capitalized terns used herein but which are undefined shall have the meaning given to said terms
in the Development Agreement(as that term is defined herein).
RECITALS
WHEREAS,the City and the Developer entered into that certain Development Agreement
dated October 11,2022, and filed in the office of the Recorder of Story County, Iowa,on October
14, 2022, as Instrument No. 2022-10047 (collectively, with any amendments, replacements,
substitutions,restatements,or other modifications thereto,the"Development Agreement");and,
WHEREAS, pursuant to the Development Agreement, the Developer has undertaken the
improvement of the Property (as that term is defined in the Development Agreement) and the
development thereof as part of the Project; and,
WHEREAS,the Developer is in the process of constructing a Large Lot Building(as that
term is defined herein)on that part of the Property legally described on Exhibit 1 attached hereto
(the"Subject t Property"),and, in furtherance thereof,has provided the plans and specifications for
the Large Lot Building on the Subject Property to the City and the Ames City Assessor (the
"Assessor");and,
WHEREAS, pursuant to the Development Agreement, the Developer has, among other
things, agreed that any and all buildings constructed on each Large Lot (each, a "Large Lot
Building" and, collectively, the "Large Lot Buildings") (the Large Lots are legally described on
Exhibit 2 attached hereto)shall be subject to the imposition of a minimum assessed taxable value
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requirement, which requires the execution and delivery by Developer of an agreement related to
the minimum assessed taxable value of each Large Lot Building based on the total area,of each
applicable Large Lot; and,
WHEREAS, pursuant to Iowa Code § 403.6(19), as amended, the Parties desire to
establish the minimum assessed taxable value for the First Speculative Building, all additional
Speculative Buildings,and each Large Lot Building, which amount is intended to be equal to the
minimum actual value of the Property and, if applicable, the improvements constructed thereon;
and
WHEREAS, the City and the Assessor have reviewed the preliminary plans and
specifications for the proposed Large Lot Building to be constructed on the Subject Property.
NOW, THEREFORE, the Parties to this Agreement, in consideration of the foregoing
Recitals and the promises,covenants, and agreements made herein, do hereby agree as follows:
1. LARGE LOT BUILDING—SUBJECT PROPERTY. Upon the issuance of a Certificate
of Conformance for the Large Lot Building constructed on the Subject Property, and continuing
until termination of this Agreement with respect to each Large Lot Building,the minimum assessed
taxable value of said Large Lot Building shall be no less than THREE HUNDRED FIFTY
THOUSAND DOLLARS and 00/100($350,000.00)(the "Large Lot Building MAV")per acre of
the total area of the Subject Property as of the I" day of January of the year following the
substantial completion of said Large Lot Building and thereafter until this Agreement is terminated
and/or inapplicable with respect to the Large Lot Buildings.
2. TERMINATION OF REQUIREMENTS. The Parties further understand, acknowledge,
and agree that the requirement to maintain the Large Lot Building MAV shall terminate with
respect to the Subject Property and the Large Lots upon the expiration of the Developer Rebate
Schedule.
3. REAL PROPERTY TAX PAYMENTS. Developer, or its successors in title and
ownership of any portion of the Subject Property, shall pay or cause to be paid when due all real
property taxes and assessments payable with respect to all and any parts of the Subject Property in
accordance with the terms, provisions, and conditions of this Agreement and the Development
Agreement. Such tax payments shall be made without regard to: (a)any loss,complete or partial,
to the Subject Property or the improvements constructed thereon, (b) any interruption in, or
discontinuance of, the use, occupancy, ownership, or operation of the improvements constructed
on the Subject Property, or (c) any other matter or thing which for any reason interferes with,
prevents,or renders burdensome the use or occupancy of the Subject Property or the improvements
constructed thereon. Developer agrees that its obligations to make the tax payments required
hereby,to pay the other sums provided for herein,and to perform and observe its other agreements
contained in this Agreement shall be absolute and unconditional obligations of Developer or its
successors in title and ownership of any portion of the Subject Property. Nothing contained herein
shall be deemed to waive Developer's rights under Iowa Code §403.6(19),as amended,to contest
that portion of any actual value assignment made by the Assessor in excess of the Large Lot
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Building MAV established herein. In no event,however, shall Developer seek to reduce the actual
value assigned below the Large Lot Building MAV established herein during the term of this
Agreement.
4. EMINENT DOMAIN. In the event that any portion of the Subject Property is taken
through the exercise of the power of eminent domain, the Large Lot Building MAV shall be
reduced by the same proportion as the value of the portion so taken bears to the value of the Subject
Property in its entirety immediately prior to such taking.
5. RECORDATION. This Agreement shall be promptly recorded by the City in the
office of the Recorder of Story County, Iowa. Such recording and filing shall constitute notice to
any subsequent encumbrancer of the Property (or part thereof), whether voluntary or involuntary,
and this Agreement shall be binding and enforceable in its entirety against any such subsequent
encumbrancer, including, but not limited to, the owner and holder of any mortgage encumbering
the Property. The Developer shall be solely liable for the costs of recording this Agreement.
6. ADDITIONAL TERMS. The following terms and provisions are further agreed to by
the Parties as part and on consideration of this Agreement:
a. Neither the Recitals,preambles,or provisions of this Agreement are intended to,or
shall be construed as, modifying the terms of the Development Agreement. The
Recitals and preambles hereto, together with any and all exhibits and/or other
attachments hereto, are confirmed by the Parties as true and correct and are
incorporated herein by this reference as if fully set forth verbatim. The Recitals,
preambles,exhibits,and other attachments hereto are substantive,contractual parts
of this Agreement.
b. This Agreement shall not be assignable without the written consent of the City and
shall be binding upon and inure to the benefit of and be enforceable by the Parties
hereto and their respective successors and permitted assigns.
c. This Agreement may be amended or modified and any of its terms, covenants,
representations, warranties, or conditions waived, only by a written instrument
executed by the Parties hereto, or in the case of a waiver, by the Party waiving
compliance.
d. If any term,condition,or provision of this Agreement is, for any reason,held to be
illegal, invalid, unenforceable, or otherwise inoperable, such illegality, invalidity,
or inoperability shall not affect the remainder hereof, which shall at the time be
construed and enforced as if such illegal or invalid or inoperable portion were not
contained herein.
e. The Large Lot Building MAV herein established with respect to the Large Lots shall
be of no further force and effect and this Agreement shall terminate with respect to
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the Subject Property and the Large Lots as of the applicable date(s)set forth herein
and pursuant to the terms and conditions hereof.
f. The Assessor Certificate attached hereto as Exhibit 3 and the Code Notice attached
hereto as Exhibit 4 comply with the terms and provisions of Iowa Code§403.6(19),
and the Developer shall record said instruments with this Agreement pursuant to
said Iowa Code §403.6(19)and Section 5 of this Agreement.
g. Developer has provided a title opinion or lien or title search to the City listing all
lienholders of record as of the date of this Agreement, and, if applicable, all such
lienholders have signed a consent to this Agreement in substantially the same form
as the Lienholder Consent attached hereto as Exhibit 5, which consent(s) are
attached hereto and made a part hereof as if fully set forth verbatim.
(SIGNATURE PAGE FOLLOWS)
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SIGNATURE PAGE OF
MINIMUM ASSESSMENT AGREEMENT
CITY OF AMES,IOWA
By
John A. Haila,Mayor
Attest by:Y L— ff- zea
en a Hall, City Clerk
STATE OF IOWA,COUNTY OF STORY, SS:
On this�day of I�% ,2023,before me,the undersigned,a Notary Public in and
44—for the State of Iowa, personally appeared John A. Haila, Mayor, and Renee Hall, City Clerk, to
me known to be the identical persons named in and who executed the foregoing instrument, and
acknowledged that they executed the same as their voluntary act and deed.
CARLY K WATSON
oonNuft«a"
My00nM+9 W 14 1 No P I c, State of Iowa
O -l9-294 My co ission expires O'1-13-2�
HEALTH VENTURES OF CENTRAL IOWA,L.L.C.
B
a otme, Manager
STATE OF IOWA,COUNTY OF STORY, SS:
This instrument was acknowledged before me on this `day of , 2023, by
Gary Botine,as a Manager of Health Ventures of C3No
owa,L.L.C.
CARLY M.WATSON P b ic, State of Iowa
,�a�myw" ommission expires 01
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EXHIBIT 1
SUBJECT PROPERTY—LEGAL DESCRIPTION
Lot Ten(10),North Dayton Industrial Subdivision First Addition,Ames, Story County, Iowa
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EXHIBIT 2
LARGE LOTS—LEGAL DESCRIPTIONS
Lots One(1),Two(2),Three(3),Nine(9),and Ten(10),North Dayton Industrial Subdivision First
Addition,Ames, Story County,Iowa
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EXHIBIT 3
ASSESSOR CERTIFICATE
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ASSESSOR CERTIFICATE
The undersigned,having reviewed the plans and specifications for the improvements to be
constructed upon the Subject Property described above, and the market values assigned to such
improvements, and being of the opinion that the minimum market values contained in the
foregoing Minimum Assessment Agreement appear reasonable, hereby certifies as follows:
The undersigned Assessor, being legally responsible for the assessment of the Subject
Property described above, upon completion of the improvements to be made and constructed on
said Subject Property,certifies that the actual value assigned to the Subject Property, inclusive of
the applicable improvements to be constructed thereon and exclusive of the land on which said
improvements are to be constructed,upon completion shall not be less than
($ Jl 44 00 . ao .
Date: Ll•
JaAAS Ra"
S CITY ASSESS
STATE OF IOWA, COUNTY OF STORY, SS:
Subscribed and sworn to before me by r l I r l PJqQ ,Ames City Assessor for
the City of Ames, Iowa,on this day of 1 ,202
T
A4&
Notary Oublic, State of Iowa UU z
My commission expires ._RENEE HALL
.....
=��p�►t t_'Comm"W Numbs 827148
My C mommWeio Expiros
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EXHIBIT 4
CODE NOTICE
403.6 Powers of municipality.
The provisions of this chapter shall be liberally interpreted to achieve the purposes of this chapter.
Every municipality shall have all the powers necessary or convenient to carry out and effectuate
the purposes and provisions of this chapter, including the following powers in addition to others
herein granted:
19. a. A municipality, upon entering into a development or redevelopment agreement pursuant
to section 403.8, subsection 1, or as otherwise permitted in this chapter, may enter into a written
assessment agreement with the developer of taxable property in the urban renewal area which
establishes a minimum actual value of the land and completed improvements to be made on the
land until a specified termination date which shall not be later than the date after which the tax
increment will no longer be remitted to the municipality pursuant to section 403.19, subsection 2.
The assessment agreement shall be presented to the appropriate assessor.The assessor shall review
the plans and specifications for the improvements to be made and if the minimum actual value
contained in the assessment agreement appears to be reasonable, the assessor shall execute the
following certification upon the agreement:
The undersigned assessor, being legally responsible for the assessment of
the above described property upon completion of the improvements to be
made on it, certifies that the actual value assigned to that land and
improvements upon completion shall not be less than
$....................................
b. This assessment agreement with the certification of the assessor and a copy of this subsection
shall be filed in the office of the county recorder of the county where the property is located. Upon
completion of the improvements,the assessor shall value the property as required by law, except
that the actual value shall not be less than the minimum actual value contained in the assessment
agreement. This subsection does not prohibit the assessor from assigning a higher actual value to
the property or prohibit the owner from seeking administrative or legal remedies to reduce the
actual value assigned except that the actual value shall not be reduced below the minimum actual
value contained in the assessment agreement. An assessor, county auditor, board of review,
director of revenue, or court of this state shall not reduce or order the reduction of the actual value
below the minimum actual value in the agreement during the term of the agreement regardless of
the actual value which may result from the incomplete construction of improvements,destruction
or diminution by any cause, insured or uninsured,except in the case of acquisition or reacquisition
of the property by a public entity. Recording of an assessment agreement complying with this
subsection constitutes notice of the assessment agreement to a subsequent purchaser or
encumbrancer of the land or any part of it, whether voluntary or involuntary, and is binding upon
a subsequent purchaser or encumbrancer.
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EXHIBIT 5
LIENHOLDER CONSENT
To be used if any lienholders are identified upon review of the title opinion or lien or title search
referenced in Section 6(g). If no lienholders are identified, the attached Lienholder Consent is not
required to be completed.
LIENHOLDER CONSENT
For valuable consideration,the receipt and sufficiency of which are hereby acknowledged,
and notwithstanding anything in any loan or security agreement to the contrary, the undersigned
Lienholder ratifies, approves, consents to, and confirms the Minimum Assessment Agreement
entered into between the Parties, and agrees to be bound by its terms and subordinates any
previously acquired mortgage, lien,or other interest in the Property to the City of Ames, Iowa.
Lienholder
By:
NAME TITLE
STATE OF , COUNTY OF , SS:
This instrument was acknowledged before me on this_day of ,202_,by
as the of
Notary Public, State of
My Commission expires
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