CASH BOND AGREEMENT. WHEREAS, Developer desires to satisfy said requirement by submitting a cash bond.
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1 CASH BOND AGREEMENT This Cash Bond Agreement ("Agreement") is made as of, 201_, between the City of East Lansing, a Michigan municipal corporation, whose address is 410 Abbot Road, East Lansing, MI ("City") and Lingg Brewer, whose address is 3217 Annis Road, Mason, MI ("Developer"); WHEREAS, the parties entered into a Development Agreement regarding the property located at 500 Albert Avenue and 122 Division Street, in the city of East Lansing, Michigan; and WHEREAS, pursuant to the terms of said Agreement, the Developer granted to the City a construction/demolition easement for the demolition of the single-family home on said Property; and WHEREAS, the Development Agreement provided at paragraph 2A that Developer would provide a cash bond as assurance to the City for the demolition of the single-family home; and WHEREAS, Developer desires to satisfy said requirement by submitting a cash bond. NOW, THEREFORE, in consideration of the foregoing and the mutual and independent promises set forth below, the parties agree as follows: 1 Simultaneously with and as a condition of issuance of occupancy permits for the Project as referenced in the Development Agreement, Developer will deposit $17,000 in the City Attorney's trust account as a cash bond (the "Bond"). 2. Subject to section 3 below, the Bond shall be returned to Developer upon completion of the work described in the Easement in a good and workmanlike manner and in compliance with applicable permits and approvals. Developer shall provide a written request for return of the Bond with evidence that the work has been properly completed. 3. If Developer fails to complete the work as required within the time limits of the Development Agreement, the City may send a written notice of default to Developer describing the nature of the default. If Developer fails to remedy the default within seven business days after mailing of said notice, the City may undertake the remedy and perform same within a reasonable period of time, and the Bond may be used to complete the work. The funds shall be disbursed to the City, or its contractor, as necessary to complete the work required in the Easement; provided that any amount not required for completion of the work and repay any deficiencies as defined in the Development Agreement, shall be returned to Developer. The City shall submit written requests for disbursements with an itemization of work to be performed and the cost associated within each item to the City Attorney. 4. The City Attorney is obligated only to perform the duties specifically set forth in this Agreement, which shall be deemed to be ministerial in nature. The City Attorney shall not be liable for any claims regarding the Bond or this Agreement except for its gross negligence or willful misconduct. The City Attorney may rely on any notice or other document delivered to it in relation
2 to this Agreement that it believes to be genuine and issued by a party with proper authority. 5. Developer agrees to indemnify and hold harmless the City Attorney from any reasonable expenses and fees associated with performing its duties under this Agreement; provided that such indemnification and hold harmless shall not apply to expenses and fees resulting from the gross negligence or willful misconduct of the City Attorney or the wrongful conduct of City. 6. Other than as set forth herein, the City Attorney has no interest in the Bond. 7. If a dispute arises between City and Developer concerning this Agreement, the City Attorney shall retain the funds until the dispute is resolved by agreement between the City and Developer or resolution by any other dispute resolution process. 8. This Agreement may be signed in counterparts and by facsimile or electronic signature. 9. This Agreement may only be modified by a written agreement between the parties. CITY OF EAST LANSING DEVELOPER: Nathan Triplett, Mayor _ LINGG BREWER Marie E. Wicks, Clerk Approved as to form: Thomas M. Yeadon (P38237) East Lansing City Attorney -2-
3 GRANT OF NON-EXCLUSIVE TEMPORARY CONSTRUCTION/DEMOLITION EASEMENT THIS AGREEMENT, made this day of 201_, by and between the City of East Lansing, a Michigan municipal corporation, with its offices at 410 Abbot Road, East Lansing, MI ("Grantee") and Lingg Brewer, whose address is 3217 Annis Road, Mason, MI ("Grantor"); WHEREAS, the Grantor owns the property located at 500 Albert Avenue and 122 Division Street in the city of East Lansing, Ingham County, Michigan ("Property") containing a nonconforming single-family home (the "Building"); and WHEREAS, Grantee's ordinances require that the Building be demolished to allow further development of the site; and WHEREAS, the Grantor has agreed to demolish the Building and, as an assurance of the demolition, agrees to allow the City of East Lansing to demolish the building upon Grantor's failure to do the same within the time frames in the Development Agreement; and WHEREAS, the Grantee desires to obtain a temporary demolition easement from the Grantor upon the above-described premises to facilitate the demolition activities in the event Grantor fails to demolish the non-conforming single-family structure in accordance with the Development Agreement; and WHEREAS, these parties desire to enter into an agreement for a temporary demolition easement for the above-recited purposes; NOW, THEREFORE, IT IS MUTUALLY AGREED AS FOLLOWS: 1. The Grantor hereby grants to the Grantee, its successors and assigns, a non-exclusive temporary demolition easement ("Easement") over, under, across, and upon the following described parcel: Lots 15 and 16, Assessors Plat of Chase Subdivision of part of Lot 78 College Grove.
4 Commonly known as 500 Albert Avenue, East Lansing, Michigan. TIN and Lot 14, Assessors Plat of Chase Subdivision of part of Lot 78 College Grove TIN Commonly known as 122 Division Street, East Lansing, Michigan. 2. The scope of work that is to be completed is the demolition of the single-family structure and filling/regrading the Property in accordance with the pertinent statutes and ordinances and in accordance with the acquired permits. 3. Right-of-way across the foregoing premises for ingress and egress to and from said Easement is to be provided to the Grantee, and its designee, to allow for the demolition under this agreement and typical activities necessary and incident thereto. 4. Grantor is solely responsible for all costs associated with the demolition activities. 5. Grantor shall be responsible for obtaining and maintaining at its sole expense all required building or demolition permits, soil erosion and sedimentation control permits, and any other land use permits required under state or local law. If Grantor fails to obtain the required permits, Grantor agrees that Grantee or its designee may apply for and obtain the above-described permits for the demolition described herein and consents thereto, and shall, if necessary, execute the permit applications to indicate such consent. Grantor shall remain responsible for all costs associated with obtaining the same. 6. All work by Grantee will be performed in a good and workmanlike manner, and in a manner that complies with all laws, codes, rules and regulations. 7. Grantor further agrees to fully defend, indemnify and hold harmless the City and any affiliated person or entity for any injury, damage, cost, claims, or fees caused by the performance of the work. 8. Grantor covenants that he is lawfully seized and possessed of the premises herein described and warrants the Grantor has a good and lawful right to grant and convey the Easement described herein and that no persons or other entities have any right, title, or interest in said Property. 9. It is expressly understood that the Development Agreement, Construction/Demolition Easement, and the Cash Bond Agreement constitute the entire terms and conditions applicable to the Easement as agreed upon by the parties hereto, except as stated herein or as may be amended in writing hereafter. -2-
5 10. This Easement shall expire on the completion of the work. 11. It is intended that this Easement is to be recorded. IN WITNESS WHEREOF, the parties hereto have set their hands and seals on the day and year first above written. GRANTOR: STATE OF MICHIGAN) ss. COUNTY OF INGHAM) LINGG BREWER The foregoing Grant ofnon-exclusive Temporary Construction/Demolition Easement was acknowledged before me this day of, 201_, by LINGG BREWER. Ingham County, Michigan My Commission expires: _ Notary Public _ GRANTEE'S ACCEPTANCE Grantee hereby accepts the foregoing temporary construction/demolition easement and agrees to abide by all of the terms and conditions thereof. CITY OF EAST LANSING Drafted by and approved as to form: Thomas M. Yeadon (P38237) East Lansing City Attorney 601 Abbot Road, PO Box 2502 East Lansing, MI (517) George Lahanas, City Manager Marie E. Wicks, City Clerk -3-
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