HomeMy WebLinkAbout07-15-19 City Commission Packet Materials - C17. Amendment to Agreement with Life Style Solutions Real Estate for the Ruh Bldg
Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: David Fine, Urban Renewal Program Manager SUBJECT: Authorize the City Manager to Sign First Amendment to the Development Agreement for the Ruh Building
MEETING DATE: July 15, 2019
AGENDA ITEM TYPE: Consent RECOMMENDATION: Authorize the City Manager to sign the First Amendment to the Development Agreement. BACKGROUND: The City Commission authorized the City Manager to sign a Development Agreement for the Ruh Building by voting to approve Resolution 4991. The Development Agreement includes several “Milestones” which exist to ensure that the project is making adequate progress and to prevent the continued commitment of resources to projects that are not advancing. Section 3.4 of the Development Agreement, “Milestones of the Project” creates a process for extending a milestone in the agreement. If the Developer is unable to complete or satisfy a Milestone by the corresponding Milestone Date, the Developer shall make a formal written request to the City Commission, with appropriate supporting material, to extend the Milestone Date and, as appropriate, subsequent Milestone Dates. The City Commission may, in its sole discretion, determine whether such extension is appropriate and, if so, fix a new and superseding Milestone Date… Life Style Solutions Real Estate, LLC, requested an extension of the milestone for receiving a building permit for the project from July 1, 2019 to September 1, 2019. The Building Division is processing the application for a building permit, but a
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permit has not been issued. Staff supports the requested extension, since the building permit is in process and demolition and site preparation have commenced.
FISCAL EFFECTS:
None.
ATTACHMENTS:
• First Amendment to the Development Agreement for the Ruh Building
• Letter to the City Commission from Colin Ruh-Kirk, President, Life Style Solutions Real Estate, LLC LINKS:
• City Commission packet material for the Ruh Building, February, 11, 2019
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First Amendment to Development Agreement for the Ruh Building
FY 2020 Page 1 of 2
FIRST AMENDMENT TO DEVELOPMENT AGREEMENT
THIS FIRSTAMENDMENT TO THE DEVELOPMENT AGREEMENT FOR THE RUH
BUILDING dated February 11, 2019 (the “Agreement”) is made and entered into this _____ day
of July, 2019, by and between the CITY OF BOZEMAN, MONTANA, a self governing
municipal corporation organized and existing under its Charter and the laws of the State of
Montana, 121 North Rouse Street, Bozeman, Montana, with a mailing address of PO Box 1230,
Bozeman, MT 59771, hereinafter referred to as “City,” LIFE STYLE SOLUTIONS REAL
ESTATE, LLC, hereinafter referred to as “Developer.”
In consideration of the mutual covenants and agreements herein contained, the receipt and
sufficiency whereof being hereby acknowledged, the parties hereto agree to amend the Agreement
as follows:
1. Extension of Milestone Date. Exhibit D, Milestones is amended to change the date for
Building Permit Issued to September 1, 2019 from July 1, 2019.
2. Agreement still valid. All remaining terms and provisions of the Agreement remain valid.
**** END OF AGREEMENT EXCEPT FOR SIGNATURES ****
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First Amendment to Development Agreement for the Ruh Building
FY 2020 Page 2 of 2
IN WITNESS WHEREOF, the parties hereto have executed this instrument the day and
year first above written.
CITY OF BOZEMAN, MONTANA LIFE STYLE SOLUTIONS REAL ESTATE, LLC
By________________________________ By_____________________________
Andrea Surratt, City Manager Print Name:
Title:
APPROVED AS TO FORM
By_______________________________
Greg Sullivan, Bozeman City Attorney
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