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HomeMy WebLinkAbout2013-084 Approving Purchase of Property - 21 1st Ave SWState of Minnesota County of Wice CITY OF FARIBAULT RESOLUTION NO. 2013 -084 RESOLUTION AUTHORIZING PURCHASE OF PROPERTY WHEREAS, Ronald Wesely, an individual ( "Seller ") is an owner of real estate located at 21 SW 1st Avenue, Faribault, Rice County, Minnesota, and which is legally described in the Agreement as hereinafter defined (the "Property "); and WHEREAS, the City of Faribault (the "City ") desires to purchase of the Property from the Seller; and WHEREAS, the City has followed applicable statutory provisions and the City finds that the purchase of the Property will fulfill the objectives, goals and mission of the City; and WHEREAS, the City has caused to be prepared a purchase agreement (the "Agreement ") providing for the terms of the conveyance of the Property from Seller to the City, with such Agreement being as set forth in Exhibit A and incorporated into and made a part of this Resolution. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FARIBAULT, AS FOLLOWS: 1. The recitals set forth in this Resolution are incorporated into and made a part of this Resolution. 2. The purchase of the Property by the City is hereby approved pursuant to the terms of the Agreement, which is also approved in substantially the form presented to the City Council on this date, subject to modifications that do not materially alter the City's rights and obligations under the Agreement and that are approved by the City's Mayor and City Administrator, which approvals shall be conclusively evidenced by execution of the Agreement. 3. The Mayor and the City Administrator of the City are hereby authorized and directed to execute all appropriate documents, including but not limited to the Agreement, to effectuate the transaction contemplated by this Resolution. 4. The Mayor, City Administrator, staff and consultants are hereby 1 423753v1 SJRFA105 -247 authorized and directed to take any and all additional steps and actions necessary or convenient in order to accomplish the intent of this Resolution. Approved by the City Council of the City of Faribault this 14th day of May, 2013. John "asinski, Mayor ATTEST: Brian J. e , City Administrator 2 423753v1 SJR FA105 -247 EXHIBIT A PURCHASE AGREEMENT [INSERT PURCHASE AGREEMENT] A -1 423753v1 SJR FA105 -247 PURCHASE AGREEMENT 1. PARTIES. This Purchase Agreement (the "Agreement) is made this day of May, 2013, by and between Ronald Wesely, an individual (the "Seller "), and the City of Faribault, a Minnesota municipal corporation (the "Buyer "). 2. SALE OF PROPERTY. Seller is the owner of that certain real estate located at 21 SW 1St Avenue, Faribault, Rice County, Minnesota (the "Property ") and is subject to an ALTA survey of the Property prepared by a registered land surveyor (the "Survey ") and paid for by the Buyer at its sole expense. See Exhibit A attached for legal description. 3. OFFER/ACCEPTANCE. In consideration of the mutual agreements herein contained, Buyer offers and agrees to purchase and Seller agrees to sell and hereby grants to Buyer the exclusive right to purchase the Property and all improvements thereon, together with all appurtenances, including, but not limited to, plant, shrubs, trees, and grass, excluding any furniture, fixtures and equipment owned by tenant on the Property. Seller shall have until May 17, 2013, at 4:30 p.m., to accept this Agreement. 4. PURCHASE PRICE AND TERMS: A. PURCHASE PRICE: The purchase price of the Property shall be $50,000.00. The purchase price shall be paid in cash on the date of the closing (approximately $50,000.00). B. TERMS: (1): EARNEST MONEY: No earnest money shall be paid by Buyer to the Seller, the agreement to which is hereby acknowledged. (2): BALANCE DUE SELLER: Buyer agrees to pay by check on the Closing Date any remaining Balance Due according to the terms of this Purchase Agreement. (3): DEED /MARKETABLE TITLE: Subject to performance by Buyer, Seller agrees to execute and deliver a Warranty Deed conveying marketable title to the Property to Buyer, subject only to the following exceptions: a. Building and zoning laws, ordinances, state and federal regulations. b. Reservation of minerals or mineral rights to the State of Minnesota, if any. 423745v1 SJR FA105 -247 C. Public utility, drainage and road easements of record which will not interfere with Buyer's intended use of the Property. d. Lien of current taxes not yet due and payable. 5. DOCUMENTS TO BE DELIVERED AT CLOSING BY SELLER. In addition to the WarrantyrDeed required at paragraph 4B(4) above, Seller shall deliver to the Buyer: A. Standard form Affidavit of Seller. B. Updated abstract of title, if available or current title commitment submitted to Buyer for review 30 days prior to closing. C. A "bring- down" certificate, certifying that all of the warranties made by Seller in this Purchase Agreement remain true as of the date of closing. D. Certificate that Seller is not a foreign person or entity. E. Bill of Sale conveying title of the personal property, if any, to Buyer. F. Buyer may undertake a Phase I and Phase II environmental analysis. If an environmental investigation discloses the existence of petroleum product or other pollutant, contaminant or other hazardous substance on the property, Seller shall provide either (i) a closure letter from the Minnesota Pollution Control Agency (MPCA) or other appropriate regulatory authority that remediation has been completed to the satisfaction of the MPCA or other authority; or (ii) agreement for remediation/indemnification and security as the Buyer may require. G. Well disclosure certificate, if required, or, if there is no well on the Property, the Warranty Deed given pursuant to subparagraph (4) above must include the following statement: "The Seller certifies that the seller does not know of any wells on the described real property." H. Individual sewage treatment system disclosure statements prepared on forms provided for that purpose as required by applicable statutes. I. Methamphetamine Disclosure form required by applicable statutes. J. A comprehensive endorsement to the title insurance policy will be included and paid for by Seller. K. Executed termination agreements terminating all leases affecting the Property. 2 423745v1 SJR FA105 -247 L. Such other documents as may be reasonably required by Buyer's title examiner or title insurance company. 6. CONTINGENCIES. A. Buyer's obligation to buy is contingent upon the following: (1): Buyer's determination of marketable title pursuant to paragraph 12 of this Agreement; and (2): Buyer's determination, in its sole discretion, that the results of the environmental investigation under paragraph 9 of this Agreement are satisfactory to Buyer. (3):. Buyer's approval of an appraisal of the Property, at Buyer's expense. (4): Seller to supply buyer with a copy of all written leases and a list of any outstanding verbal agreements regarding leasehold agreements and evidence that such leases or agreements have been terminated. (5): Approval of this Agreement by the Buyer's governing body. Upon receipt of an acceptable appraisal and upon the approval of Buyer's governing body, the Buyer shall provide written notice to Seller that the contingencies set forth at 6.A.3 and 6.A.5 above are satisfied. Until Seller receives such notice, Seller will not begin performance of Seller's performance obligations required by this Agreement. Buyer shall have until the Date of Closing to remove the remaining contingencies set forth above in this paragraph 6. The contingencies are solely for the benefit of Buyer and may be waived by Buyer. If the contingencies are duly satisfied or waived, then the Buyer and Seller shall proceed to close the transaction as contemplated herein. If, however, one or more contingencies is not satisfied, or is not satisfied on time, and is not waived, this Purchase Agreement shall thereupon be void, at the option of Buyer. If this Agreement is voided by Buyer, Buyer and Seller shall execute and deliver to each other the termination of this purchase agreement. As a contingent purchase agreement, the termination of this agreement is not required pursuant to Minnesota Statutes, Section 559.21, et seq. B. Seller's obligation to sell is contingent upon the following: (1): None. 7. OPERATION OF PROPERTY PRIOR TO CLOSING. Until the Closing Date, Seller shall have the full responsibility for the continued maintenance of the Property. Prior to the Closing Date: A. Seller shall not cause any new liens, leases, contracts or encumbrances to be created by Seller against the Property; 3 423745v1 SJR FA105 -247 B. Seller shall continue to comply with all of its duties and obligations as set forth in any leases or contracts in effect at the Property; C. Seller shall maintain the Property. 8. CLOSING DATE. The closing of the sale of the Property shall take place on or before July 15, 2013. The closing shall take place at Buyer's location or as mutually agreed upon by the parties. 9. ENVIRONMENTAL INSPECTION AND REPRESENTATIONS. A. Buyer and its agents shall have the right to enter upon the Property after the date of this purchase agreement for the purpose of inspecting the Property and conducting such environmental examination and tests as Buyer deems necessary. Buyer agrees to indemnify the Seller against any liens, claims, losses, or damage occasioned by Buyer's exercise of its right to enter and work upon the Property. Buyer agrees to provide Seller with a copy of any report prepared as a result of such examination and tests. B. Seller hereby warrants to Buyer that during the time the Seller has owned the Property there have been no acts or occurrences upon the Property that have caused or could cause contamination or hazardous substances in the subsoil or ground water of the Property or other adjacent properties. This warranty shall survive the closing of this transaction. C. Seller agrees to indemnify and holds harmless Buyer from any and all claims, causes of action, damages, losses, or costs (including reasonable attorney's fees) relating to contamination or hazardous substances in the subsoil or groundwater of the Property or other adjacent properties which arise from or are caused by acts or occurrences upon the Property prior to Buyer taking possession of the same. 10. REAL ESTATE TAXES. A. Seller will pay at or prior to closing all real estate taxes due and payable in 2012 and prior years on the Property. B. Buyer and Seller shall prorate to date of closing the real estate taxes due and payable in the year of closing on the Property. C. If this conveyance constitutes a split in a legal description or tax parcel, Buyer's pro -rate share of taxes due in the year of closing shall be based on the date of closing and on the percentage of the tax parcel acquired by Buyer. 4 423745v1 SJR FA105 -247 11. SPECIAL ASSESSMENTS. A. Seller shall pay at or prior to closing the balance of all special assessments levied prior to closing, including assessments certified for payment with real estate taxes payable in 2013. B. Seller shall provide at closing for the payment of all special assessments pending as of the date of this Agreement by escrowing an amount equal to one and one- half times the estimated amount of said special assessments. C. Seller shall pay any deferred real estate taxes or special assessments, payment of which is required as a result of the closing of this sale. D. As of the date of this Agreement, Seller has not received a notice of hearing for a new public improvement project from any governmental assessing authority, the costs of which project may be assessed against the Property. If a notice of pending special assessment is issued after the date of this Purchase Agreement and on or before the date of closing, Buyer shall assume payment of all of any such special assessments, and Seller shall provide for payment on date of closing of none of any such special assessments. E. Notwithstanding any other provision of this Agreement, Seller shall at all times be responsible to pay special assessments, if any, for delinquent sewer or water bills, removal of diseased trees prior to the date of this Agreement, snow removal, or other current services provided to the Property by the assessing authority while the Seller is in possession of the Property. 12. MARKETABILITY OF TITLE; EXAMINATION OF TITLE. Upon execution of this Agreement, the Seller shall deliver to the Buyer the abstract for the Property, if available. The Buyer shall obtain a commitment for title insurance ( "Commitment ") for the Property. The Buyer shall have 15 days from the date of its receipt of the Commitment to review the state of title to the Property and to provide the Seller with a list of written objections to such title. Upon receipt of the Buyer's list of written objections, the Seller shall proceed in good faith and with all due diligence to attempt to cure the objections made by the Buyer. In the event that the Seller has failed to cure objections within 30 days after its receipt of the Buyer's list of such objections, the Buyer may (i) by the giving of written notice to the Seller terminate this Agreement and this Agreement shall be null and void and neither party shall have any liability hereunder, or (ii) waive such objection and proceed pursuant to this Agreement. The Buyer shall have the right, but not the obligation, to purchase title insurance at the Buyer's sole cost. The Seller will take no actions nor permit any liens to encumber title to the Property between the date of this Agreement and the date on which the Property is delivered to the Buyer. 13. CLOSING COSTS AND RELATED ITEMS. Buyer will pay: (a) the closing fees charged by the title insurance or other closing agent, if any, utilized to close the transaction contemplated by this Agreement; (b) the premium for title insurance policy, if any, obtained by the Buyer, with the exception of a comprehensive endorsement which shall be paid by the Seller; 5 423745v1 SJR FA105 -247 and (c) recording fees required to enable the Buyer to record its deed from Seller under this Agreement. Seller will pay: (a) any transfer taxes required to record the deed from Seller under this Agreement; (b) all liens, encumbrances or mortgages, if any, and (c) any other recording fees that may be required to give Buyer good marketable title to the Property. 14. POSSESSION A. Possession. Seller shall transfer possession of the Property to the Buyer no later than date of closing. B. Removal of Property. Seller agrees to remove from the Property all debris and items of Seller's personal property not included in this sale no later than date of closing. Items not removed by that date will be disposed of by the Buyer, and the cost of disposal will be Seller's expense. C. Utilities. Seller agrees to pay all charges for sewer, water, electric, gas, and cable television or any other applicable utilities until date of closing, if any. D. No encumbrances. Seller agrees not to place any liens or encumbrances on the Property after the date of this Purchase Agreement. 15. REMOVAL OF HAZARDOUS MATERIAL. Seller, prior to vacation of the Property, shall remove all substances which, under state or federal law, must be disposed of at an approved disposal facility. This includes, but is not limited to, used oil, paints, solvents, fertilizers, poisons, and the like. 16. DISCLOSURE; INDIVIDUAL SEWAGE TREATMENT SYSTEM. Seller discloses that there is not an individual sewage treatment system on or serving the Property. If there is an individual sewage treatment system on or serving the Property, Seller discloses that the system (is) (is not) in use, and Seller further discloses that the type of system is a system and the location is shown on the map attached as Exhibit B to this Purchase Agreement. 17. CONDITION OF SUBSOIL AND GROUND WATER. Seller hereby warrants to Buyer that during the time the Seller has owned the Property there have been no acts or occurrences upon the Property that have caused or could cause contamination or hazardous substances in the subsoil or ground water of the Property or other adjacent properties. This warranty shall survive the closing of this transaction. In the event Buyer's testing discloses contamination or hazardous conditions in the subsoil or groundwater of the Property, Buyer shall be privileged to rescind this transaction and cancel the Purchase Agreement upon written notice to Seller. 18. WELL DISCLOSURE. Seller discloses that there is not a well on or serving the Property. If a well is present, a well disclosure statement accompanies this agreement. 6 423745v1 SJR FA105 -247 19. SELLER'S WARRANTIES. Seller warrants that buildings, if any, are entirely within the boundary lines of the Property. Seller warrants that there is a right of access to the real Property from a public right -of -way. Seller warrants that there has been no labor or material furnished to the Property for which payment has not been made. Seller warrants that there are no present violations of any restrictions relating to the use or improvement of the Property. These warranties shall survive the closing of this transaction. 20. NO MERGER OF REPRESENTATIONS, WARRANTIES. The representations and warranties contained in this Agreement shall not be merged into any instruments or conveyance delivered at Closing, but instead shall survive closing, and the parties shall be bound accordingly. 21. RELOCATION BENEFITS. The Buyer has notified the Seller that (a) the Buyer only seeks to acquire the Property by voluntarily conveyance; (b) the parties mutually initiated negotiations; and (c) if negotiations fail, the Buyer will not acquire or undertake acquisition of the Property by eminent domain. 22. BROKER. Buyer represents that it has not engaged any real estate broker in connection with the sale of the Property. Seller has not engaged the services of a broker, or if Seller has engaged the services of a broker, Seller will be solely responsible for the costs of such broker and shall defend, indemnify and hold Buyer harmless from any claims of such broker. 23. ENTIRE AGREEMENT; AMENDMENTS. This Agreement constitutes the entire agreement between the parties and no other agreement prior to this Purchase Agreement or contemporaneous herewith shall be effective except as expressly set forth or incorporated herein. Any purported amendment shall not be effective unless it shall be set forth in writing and executed by both parties or their respective successors or assigns. 24. BINDING EFFECT; ASSIGNMENT. This Agreement shall be binding upon and inure to the benefit of the parties and their respective heirs, executors, administrators, successors and assigns. Buyer shall not assign its rights and interest hereunder without notice to Seller. 25. NOTICE. Any notice, demand, request or other communication which may or shall be given or served by the parties shall be deemed to have been given or served on the date the same is deposited in the United States Mail, registered or certified, postage prepaid and addressed as follows: SELLER: Ronald Wesely 192043 d Avenue NW Rochester, MN 55901 BUYER: City of Faribault Attn: City Administrator 208 1St Street NW Faribault, MN 55021 7 423745v1 SJR FA105 -247 ATTORNEY FOR Kennedy & Graven, Chartered BUYER: Attn: Scott Riggs 470 U.S. Bank Plaza 200 South Sixth Street Minneapolis, MN 55402 26. SPECIFIC PERFORMANCE. This Agreement may be specifically enforced by the parties, provided that any action for specific enforcement is brought within six months after the date of the alleged breach. This paragraph is not intended to create an exclusive remedy for breach of this agreement; the parties reserve all other remedies available at law or in equity. 27. INDEMNIFICATION. The Seller hereby agrees to protect, defend and hold the Buyer and its officers, elected and appointed officials, employees, administrators, commissioners, agents, and representatives harmless from and indemnified against any and all loss, cost, fines, charges, damage and expenses, including, without limitation, reasonable attorneys' fees, consultants' and expert witness fees, and travel associated therewith, due to claims or demands of any kind whatsoever (including those based on strict liability) arising out of (i) the marketing, sale or leasing of all or any part of the Property, including, without limitation, any claims for any lien imposed by law for services, labor or materials furnished to or for the benefit of the Property, or (ii) any claim by the State of Minnesota or the Minnesota Pollution Control Agency or any other person pertaining to the violation of any permits, orders, decrees or demands made by said persons or with regard to the presence of any pollutant, contaminant or hazardous waste on the Property; and (iii) or by reason of the execution of this Agreement or the performance of this Agreement. The Seller, and the Seller's successors or assigns, agree to protect, defend and save the Buyer, and its officers, agents, and employees, harmless from all such claims, demands, damages, and causes of action and the costs, disbursements, and expenses of defending the same, including but not limited to, attorneys fees, consulting engineering services, and other technical, administrative or professional assistance. This indemnity shall be continuing and shall survive the delivery of the Warranty Deed for the Property, and shall survive termination or cancellation of this Agreement. Nothing in this Agreement shall be construed as a waiver or modification of immunity or limitation on liability to which the Buyer is entitled pursuant to Minn. Stat. § 466, or otherwise. 28. RELEASE OF CLAIMS. The Seller and the Seller's attorneys, agents, employees, former employees, insurers, heirs, administrators, representatives, successors and assigns, hereby releases and forever discharges the Buyer, and its attorneys, agents, representatives, employees, former employees, insurers, heirs, executors and assigns of and from any and all past, present or future claims, demands, obligations, actions or causes of action, at law or in equity, whether arising by statute, common law or otherwise, and for all claims for damages, of whatever kind or nature, and for all claims for attorneys' fees, and costs and expenses, including but not limited to all claims of any kind arising out of the negotiation, Buyer consideration, execution and performance of this Agreement between the parties. Nothing contained in this paragraph 28 is intended to prevent the exercise of any rights available pursuant to paragraph 26 of this Agreement. 423745v1 SJRFA105 -247 [The rest of this page left intentionally blank.] 423745v1 SJR FA105 -247 IN WITNESS WHEREOF, the parties have executed this agreement as of the date written above. IC SELLER Ronald Wesely BUYER City of Faribault By: f. Its: John kiySinski, Mayor By: Its: 423745v1 SJR FA105 -247 Administrator 10 EXHIBIT A LEGAL DESCRIPTION The South 44 feet of the West 150 feet of Lot 15, Block 6, in Southern Addition, Faribault, Rice County, Minnesota; EXCEPTING THEREFROM that part thereof lying within the following described parcel: Commencing at the Northeast Corner of Lot 16, Block 6, Southern Addition to Faribault, Rice County, Minnesota; thence West along the North lien of said Lot 16, a distance of 68 feet; thence North at right angles to said North line of Lot 16, a distance of 6 feet; thence East at right angles along a line parallel to the North line of said Lot 16, a distance of 68 feet; thence South at right angles; a distance of 6 feet, more or less, to the point of beginning. [to be verified] A -1 423745v1 SJRFA105 -247 EXHIBIT B MAP LOCATING SEWAGE SYSTEM [If Needed] B -1 423745v1 SJR FA105 -247 CONSENT AND JOINDER Kathleen Kaderlik hereby consents and joins in that certain Purchase Agreement between Ronald Wesely as Seller and the City of Faribault, as Buyer, dated May 2013, for the sale of the following described property: The South 44 feet of the West 150 feet of Lot 15, Block 6, in Southern Addition, Faribault, Rice County, Minnesota; EXCEPTING THEREFROM that part thereof lying within the following described parcel: Commencing at the Northeast Corner of Lot 16, Block 6, Southern Addition to Faribault, Rice County, Minnesota; thence West along the North line of said Lot 16, a distance of 68 feet; thence North at right angles to said North line of Lot 16, a distance of 6 feet; thence East at right angles along a line parallel to the North line of said Lot 16, a distance of 68 feet; thence South at right angles; a distance of 6 feet, more or less, to the point of beginning. 427056v1 CBR FA105 -247 Warranty Deed STATE DEED TAX DUE HEREON: $165.00 Date: ( .fig a,-Al r, 7, 00/,�3 FOR VALUABLE CONSIDERATION, Kathleen Kaderlik and Richard E. Kaderlilc, wife and husband and Ronald Wesely and Pamela R. Wesely, husband and wife, Grantors, hereby convey and warrant to City of Faribault, a municipal corporation under the laws of Minnesota, Grantee, real property in Rice County, Minnesota, described as follows: The South 44 feet of the West 150 feet of Lot 15, Block 6, in Southern Addition, Faribault, Rice County, Minnesota; EXCEPTING THEREFROM that part thereof lying within the following described parcel: Commencing at the Northeast Corner of Lot 16, Block 6, Southern Addition to Faribault, Rice County, Minnesota; thence West along the North line of said Lot 16, a distance of 68 feet; thence North at right angles to said North line of Lot 16, a distance of 6 feet; thence East at right angles along a line parallel to the North line of said Lot 16, a distance of 68 feet; thence South at right angles; a distance of 6 feet, more or less, to the point of beginning. together with all hereditaments and appurtenances belonging thereto, subject to the following exceptions: reservation by the State of Minnesota of minerals and mineral rights. The Seller certifies that the seller does not know of any wells on the described real property. Kathleen ,f Kaderlik + �� j"' E, i Ri hard E. Kaderli Ro ald Wesely Pamela R. Wesely 426858v1 CBRFA105 -247 STATE OF MINNESOTA COUNTY OF RICE The foregoing was aelmowledged before me this Kathleen Kaderlik and Richard E. Kaderlik, wife and husb: Wesely, husband and wife, Grantors. NOTARIAL S- MP OR SEAL OR OTHER TITLE OR RAK) CATHERINE ROCKLITZ NOTARY PUBLIC MINNESOTA My Commission Expires Jan. 31, 2015 This instrument drafted by: Kennedy & Graven, Chartered 470 U.S. Bank Plaza 200 South Sixth Street Minneapolis, MN 55402 426858v1 CBRFA105 -247 day of 2013, by �d and Ronald . esely and Pamela R. TURF OF PERSON TAKING Check here if part or all of the land is Registered (Torrens) ❑ Tax Statements for the real property described in this instrument should be sent to (include name and address of Grantee): City of Faribault 208 1St Street NW Faribault, MN 55021 STATE OF MINNESOTA } }SS COUNTY OF RICE } AFFIDAVIT REGARDING SELLER Kathleen Kaderlilc and Richard E. Kaderlik wife and husband and Ronald Wesely and Pamela R. Wesely, husband and wife, being first duly sworn, on oath says that: 1. Katheen Kaderlilc and Ronald Wesely are the persons named as in the document dated and filed for record , as Document No. , in the Office of the County Recorder of Rice County, Minnesota. 2. Said persons are of legal age and under no legal disability with place of business at and International Business Machines, respectively and for the last ten years Kathleen Kaderlik and Richard E. Kaderlik have resided at 1027 8a` Street NW, Faribault, MN 55021 and for the last 10 years Ronald Wesely and Pamela R. Wesely have resided at 1920 43`d Avenue NW, Rochester, MN 55901. 3. There have been no: a) Bankruptcy, divorce or dissolution proceedings involving said persons during the time said persons have had any interest in the premises described in the attached Exhibit A ( "Premises "); b) Unsatisfied judgments of record against said persons nor any actions pending in any courts, which affect the Premises; c) Tax liens against said persons; except as herein stated: None. 4. Any bankruptcy, divorce or dissolution proceedings of record against parties with the same or similar names, during the time period in which the above named persons have had any interest in the Premises, are not against the above named persons. 5. Any judgments or tax liens of record against parties with the same or similar names are not against the above named persons. 6. There has been no labor or materials furnished to the Premises for which payment has not been made. 7. There are no unrecorded contracts, leases, easements, or other agreements or interests relating to the 426855v1 CBR FA105 -247 Premises except as stated herein: None. 8. There are no persons in possession of any portion of the Premises other than pursuant to a recorded document except as stated herein: None. 9. There are no encroachments or boundary line questions affecting the Premises of which Affiants have knowledge. 10. Affiants have not received medical assistance from the State of Minnesota or any county medical assistance agency. 11. There are no mortgages or liens against the land. Affiants know the matters herein stated are true and make this Affidavit for the purpose of inducing the passing of title to the Premises. Subscr' d and sworn to before me this P day of , 2013. Notary Public NOTARY PUBLIC MINNESOTA' My Commission Expires Jan. 31, 2015 426855v1 CBRFAI05 -247 - "A- , ��c Kathleen Kaderlilc Riefiard E. Kaderlilc Ronald Wesely Pamela R. Wesely THIS INSTRUMENT WAS DRAFTED BY: KENNEDY & GRAVEN, CHARTERED 470 U.S. Bank Plaza 200 South 6th Street Minneapolis, MN 55402 (612) 337 -9300 Exhibit A The South 44 feet of the West 150 feet of Lot 15, Block 6, in Southern Addition, Faribault, Rice County, Minnesota; EXCEPTING THEREFROM that part thereof lying within the following described parcel: Commencing at the Northeast Corner of Lot 16, Block 6, Southern Addition to Faribault, Rice County, Minnesota; thence West along the North line of said Lot 16, a distance of 68 feet; thence North at right angles to said North line of Lot 16, a distance of 6 feet; thence East at right angles along a line parallel to the North line of said Lot 16, a distance of 68 feet; thence South at right angles; a distance of 6 feet, more or less, to the point of beginning. 426855vi CBRFA105 -247