Reso 2009-1452 - Laserfiche WebLink

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(Two Million One Hundred Thousand Dollars) due and payable at closing and $2,700,000.00 (Two Million Seven Hundred Thousand Dollars) due and payable within 2 (two) years from the date of closing. 2. The City shall execute a promissory note with respect to the final payment of $2,700,000.00 (Two Million Seven Hundred Thousand Dollars) and the City also agrees to pay 50% (Fifty Percent) of the note within 1 (one) year of closing. The City shall pay the remaining 50% (Fifty Percent) of the note within 1 (one) year of making the initial payment on the note. 3. The City shall pay interest of 5% on the $2,700,000.00 promissory note in a total amount not to exceed $200,000.00 (Two Hundred Thousand Dollars). 4. The parties agree to execute a triple net sale leaseback agreement for Malibu Plaza On The Bay, L.L.C. to manage the property until April 30, 2012. Under the sale leaseback agreement, Malibu Plaza On The Bay, L.L.C. agrees to manage and operate the above described property until or about April 30, 2012. 5. Upon closing, Malibu Plaza On The Bay, L.L.c. shall be required to execute a sale leaseback agreement with the City. Under the agreement, Malibu Plaza On The Bay, L.L.C. agrees to manage and operate the property from the date of closing until April 30, 2012. Upon closing, Malibu Plaza On The Bay, L.L.c. shall be entitled to all rent and income derived from the property and they shall also assume all normal management obligations as property manager and be responsible for all expenses relating to the property, including but not limited to taxes in the first year of the leaseback agreement and insurance. The City will pay the property taxes in the final year of the leaseback agreement. Upon approval of this purchase agreement, staff will take the necessary steps to close on the property. HO: fa / Attachment