HomeMy WebLinkAboutBuilding Miscellaneous 2011-9-8
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SETTLEMENT AGREEMENT
The parties to this Agreement are Sunset Investments, LLC, an Oregon limited
liability company ("Sunset"), International House of Pancakes, LLC, a Delaware limited
liability company ("IHOP") and the City of Springfield, an Oregon municipal corporation
("City").
RECITALS:
A. Sunset owns Map and Tax Lots 1.7-03-22-20-1000, 17-03-22-20-1100 and
17-03-22-20-1400; address is 3427 Gateway Street, Springfield, Oregon.
B. IHOP leases this property and operates a restaurant at this location.
. C. On November 3,2008, the City enacted Resolution No. 08-47 authorizing
proceedings for eminent domain for the acquisition of property in the GatewayfBeltline
area for road improvements.
D. Sunset's property falls within the area for the GatewayfBeltline road
improvement project.
D. On March 13, 2009, and May 29, 2009, Lane County, acting under the
authority of an Intergovernmental Agreement for providing appraisal and acquisition
services contacted Sunset for improvements to GatewayfBeltline intersection bordering
its property which would require the acquisition of lands owned by Sunset.
E. On July 24, 2009; Lane County sent an offer to purchase real property and
for a temporary construction easement to Sunset.
F. Parties continued to negotiate the terms of the purchase and temporary
construction easement until January 2010.
G. On January 21, 2010, the City filed this action' in eminent domain known
as Lane County Circuit Court Case No. 16-10-01839 naming Sunset and IHOP as
defendants.
H. On February 25, 2010, the City was granted an Order of Immediate
Possession from Lane County Circuit Court pursuant to ORS 35.352(3).
I. In addition to the eminent domain complaint instituted by the City pursuant
to Resolution No. 08-47, the City will construct, at the City's expense, a right turn
deceleration lane on Beltline on the north boundary line of the property owned by
Sunset so long as Sunset dedicates the property necessary to construct the lane at no
cost to the City.
Page 1 - SETTLEMENT AGREEMENT (Sunset, IHOP and City)
J. The parties wish to resolve the eminent domain lawsuit as follows:
Now, therefore, the parties agree to settle and resolve as follows:
1. Recitals. The above recitals are by this reference incorporated herein and
are expressly made a part of this Agreement.
2. Sunset's ObliQations. Sunset agrees to perform as follows:
A. Dedicate property for the right turn deceleration lane to the City for
implementation of Recital!.
B. Execute the following documents:.
I. Bargain and Sale Deed conveying its ownership of property
necessary for the Gateway/Beltlin'e project.
ii. . Temporary construction easement allowing City to access property
during the time of construction.
Hi. Hazardous substance waste materials agreement.
C. Submit plan for restriping parking lot to City Planning Department.
D. Restripe according to submitted approved plan.
3. IHOP's ObliQations. IHOP agrees to perform as follows:
A. Maintain landscaping installed by the City.
B. Honor terms of temporary construction easement commencing on April
15, 2010, expiring September 30, 2011.
C. Make necessary adjustments to the parking lot to enable completion of the
right turn deceleration lane described in Recital I at no cost to the City or Sunset.
4. City's ObliQations. The City agrees to perform as follows:
A. Dismiss the pending litigation known as Lane County Circuit Court Case
No. 16-10-01839 without prejudice and no costs awarded to any party.
B. Compensate the parties as follows for a total of $177,844.00:
1. To Sunset for a total of $125,395.00 as follows:
I. $112,875.00 for land;
ii. $12,520.00 for improvements.
Page 2 - SETTLEMENT AGREEMENT (Sunset, IHOP and City)
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2. To IHOP as follows:
a. To relocate sign: $17,337.00;
b. For temporary construction easement: $25,952.00;
c. Landscape restoration: $2,500.00;
d. Reestablish sprinklers: $4,600.00
e. Additional striping: $1,000.00;
f. Additional curbing: $560.00
g. Remove light: $500.00
TOTAL: $52,449.00
C. Build at no cost to Sunset or IHOP the right turn deceleration lane
described in Recital I.
D. . Execute document titled "City of Springfield's Other Obligations"
memorializing City's agreement to build right turn deceleration lane described in Rectial
I.
E. Install landscaping of a 5' planting area along the both frontages of
Beltline Hwy and Gateway Street and in back of the new sidewalk. Landscaping
consists of topsoil, mulch and 7 street trees.
F. Will not charge any fees for sign or light relocation or parking lot striping
changes.
G. Use its best efforts to coordinate the work of the project with IHOP and
Sunset in a manner which will minimize the interruption to business.
5. SchedulelWaiver. Sunset and IHOP agree to the terms of this Agreement
even if construction for Gateway/Beltline improvement project does not occur as
scheduled.
6. ClosinQ. Closing to occur at Evergreen Land Title of Springfield, Oregon
and the City will pay all associated costs normal closing of this transaction.
7. Necessary Actions. All parties shall take whatever action is necessary to
diligently implement the terms of this Agreement in a timely manner.
8. Attorney Fees. In the event legal action is instituted to enforce the terms
of this Agreement, the prevailing party shall be entitled to recover, in addition to costs,
reasonable attorney fees to be determined by the court, including an appellate court.
9. Modification. This Agreement may be modified only by written document ~
signed by all the parties.
Page 3 - SETTLEMENT AGREEMENT (Sunset, IHOP and City)
10. GoverninQ Law. This Agreement shall be governed and construed in
accordance with the laws of the State of Oregon and the venue for enforcement hereof
shall be Lane County, Oregon.
11. Severability. If any provision of this Agreement is found to be illegal or
unenforceable, other provisions herein remain in full force and effect.
Sunset Investments, LLC
International House Of Pancakes, LLC
By:
Its:
Dated:
By:
Its:
Dated:
City of Springfield
By: Gino Grimaldi
Its: City Manager
Dated:
STATE OF OREGON )
) ss.
County of Lane )
Personally appeared the above named as
for Sunset Investments, LLC and acknowledged the
foregoing to be his/her voluntary act and deed on this day of March, 2010.
Notary Public for Oregon
My Commission Expires:
Additional Notaries on Following Page
Page 4 - SETTLEMENT AGREEMENT (Sunset, IHOP and City)
STATE OF
)
) ss.
)
County of
Personally appeared the above named as
for International House of Pancakes, LLC and
acknowledged the foregoing to be his/her voluntary act and deed on this day of
March, 2010.
Notary Public for
My Commission Expires:
STATE OF OREGON )
) ss.
County of Lane )
Personally appeared the above named Gino Grimaldi as City Manager for The
City of Springfield and acknowledged the foregoing to be his voluntary act and deed on
this day of March, 2010.
Notary Public for Oregon
My Commission Expires:
N:\City\Condemnation\Gateway Condemnation\IHOP.sunset\Settlement Agreement.doc
Page 5 - SETTLEMENT AGREEMENT (Sunset, IHOP and City)