Agreement with Darris McDaniel regarding the proposed purchase of properties BEFORE THE BOARD OF COUNTY COMMISSIONERS
LEWIS COUNTY, WASHINGTON
IN THE MATTER OP }
Approving an agreement between Lewis }
County and Darns McDaniel regarding } RESOLUTION NO. II "d 50
the proposed purchase of properties located }
in the 100 block of NW Chehalis Ave , and }
the 400 block of NW North St , Chehalis }
WHEREAS, Darris McDaniel, owner of properties located adjacent to the Historic
Courthouse in the 100 block of NW Chehalis Avenue and the 400 block of NW North Street, Chehalis, has
offered to sell the properties to the County; and
WHEREAS it is anticipated that the County will have increased building space and parking
needs in the future and these properties are strategically located to meet these needs, and
WHEREAS, the Board of County Commissioners has reviewed an Agreement between
Lewis County, Washington and Darns McDaniel for the proposed acquisition of the properties located on
NW Chehalis Avenue and NW North Street, Chehalis, and
WHEREAS, it appears to be in the best public interest to authorize the execution of said
Agreement for Lewis County
NOW, THEREFORE BE IT RESOLVED that the Board of County Commissioners hereby
approves the Agreement in the amount of $1,493,800 00 plus associated escrow costs and authorizes the
BOCC Chair to sign the same
DONE IN OPEN SESSION this 9th day of September, 2019
APPROVED AS TO FORM B ARD OF COUNTY C• MISSIONERS
Jonat ar L Meyer, Prosec EWIS COU . , = IN TON
By Deputy Prosecuting Attorney Robe C Jackson Chair
•iS COUN� �
ATTEST ok�o o�w : Gary Sta pe , Vice hair
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�� SINCE �o!
Rieva Lester, Clerk of the Lewis 0tgy 1845 i *; Edna J Fund, Commissioner
•Board of County Commissioners
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••• CbiviN4s'c3�'•
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C PDY
REAL ESTATE PURCHASE AND SALE AGREEMENT
THIS AGREEMENT, dated as of 4e.4$40...1, 2019, is made by and between Darns
McDaniel and Shirley McDaniel, Trustees or Successor Trustee under the McDaniel Family
Revocable Trust Agreement, Dated January 13, 1993, as amended, and Danis McDaniel, as his
separate estate, as Sellers ("SELLER" or "SELLERS"), and, LEWIS COUNTY, a political
subdivision of the State of Washington, as Buyers ("BUYER" or"BUYERS"), as authonzed by its
Board of County Commissioners
RECITALS
A Seller is the owner of certain real property located m Lewis County, Washington, which
is legally described on Exhibit"A"to this agreement(the"Property") The property is Lewis County
Tax Parcel Numbers 003744002000 and 003752000000
B Buyer desires to purchase the Property from Seller and Seller desires to sell the Property
to Buyer, all on the terms and conditions set forth in this Agreement
AGREEMENT
In consideration of the mutual covenants and conditions set forth in this Agreement, Seller
and Buyer agree as follows
1. Sale of Property Seller hereby agrees to sell and Buyer hereby agrees to purchase the
Property described in Exhibit A, together with all structures, fixtures, property, and improvements
situated thereon
2. Purchase Price. The purchase price for the property shall be$1,493,800 00,paid by Buyer
to Seller in all cash at Closing
3 Earnest Money Deposit. Currently with the execution of this Agreement, Buyer shall
deposit with escrow agent$1,000 00 as Earnest Money Deposit in accordance with the terms of this
Agreement. Upon the satisfaction or waiver of the Contingencies, as defined in paragraph 7 below,
and review of the preliminary commitment for title insurance, the Earnest Money Deposit shall
become non-refundable, and the entire amount shall be either credited against the purchase price of
the Property on closing or forfeited to Seller in the event of any breach of this Agreement by Buyer
In the event this Agreement is terminated because of the failure of a Contingency to be satisfied or
waived, or due to title issues presented by Buyers, the Earnest Money Deposit shall be refunded to
REAL ESTATE PURCHASE AND
SALE AGREEMENT 1
Buyer
4 Title Sellers' interest in the Property shall be conveyed by statutory warranty deed
executed by the Sellers at closing, subject only to permitted exceptions
5 Preliminary Commitment Within 5 days of the mutual acceptance of this agreement,
Buyer shall order a preliminary commitment for title insurance coverage from Lewis County Title
Company Buyer shall advise Seller,and Seller shall advise Buyer,in writing of any objection to any
title exceptions within forty-five (45) days after Buyer's/Seller's receipt of the preliminary
commitment. Any title exceptions,which are not objected to by Buyer/Seller,shall be deemed herein
"Permitted Exceptions" Seller/Buyer may within forty-five (45) days after the receipt of
Buyer's/Seller's objections notify Buyer/Seller in writing of those objectionable title exceptions which
will be removed by Seller/Buyer on or before Closing If Seller/Buyer does not agree to remove all
objectionable title exceptions, Buyer/Seller may, within forty-five (45) days after Seller's/Buyer's
notice, elect to terminate this Agreement The failure of Buyer/Seller to so terminate this Agreement
shall constitute Buyer's/Seller's waiver to those objectionable title exceptions which Seller/Buyer has
not agreed to remove,which exceptions shall thereupon also be deemed"Permitted Exceptions" The
costs of said title policy shall be paid by the Seller
6. Closing. Closing shall occur on or before January 10, 2020 or sooner by agreement The
closing shall be in escrow with Lewis County Title as the escrow agent For purposes of this
Agreement,the term "Closing" shall mean the date on which the deed to the Property is executed and
delivered to Buyer and all proceeds of the down payment is paid
(a) Closing Costs Seller shall be responsible for and pay the real estate excise tax.
All other escrow costs shall be paid by the Buyer
(b) Prorations Real property taxes, personal property taxes, rents and/or lease
payments, insurance, assessments,water and utility charges, and any other applicable items shall be
prorated and paid by escrow through Closing unless otherwise agreed
(c) Possession. Buyer shall be entitled to possession of the Property on closing
Possession shall be deemed given when Seller,or anyone acting under their authonty,has vacated the
premises so Buyer may take actual physical possession and the keys have been delivered to Buyers
7 Contingencies. Seller's and Buyer's obligations hereunder are subject to the satisfaction
or waiver of the following contingencies (herein the "Contingencies")
1 Title Contingency Buyer's obligation to Close is contingent upon Buyer's
satisfactory review of the preliminary title commitment contained in Paragraph
four(4)above Satisfaction shall be solely based on Buyer's discretion.
2 Feasibility and Environmental Review Buyer's obligation to Close is
conditioned on Buyer's receipt, approval and acceptance, to Buyer's sole
REAL ESTATE PURCHASE AND
SALE AGREEMENT 2
satisfaction,of inspection and property evaluation reports/studies,concerning the
following aspects of the property mcluding without limitation the following. (a)
Soils Evaluation, (b) Wetland Evaluation, (c) Environmental Evaluation, (d)
Acceptable Zoning, (e) Acceptable Intended Use Evaluation, (f) Access
Evaluation,(g) Acceptable Cost Feasibility Evaluation, and any other feasibility
or property evaluation deemed necessary by Buyer Buyer is responsible for the
costs related to Buyer's inspection and property evaluation reports/studies
Buyer's failure to complete Buyer's inspection and property evaluation
reports/studies by December 16, 2019, shall result in termination of this
agreement unless extended by the Parties
8. Approval by Board of Commissioners. This Agreement is contingent upon ratification
by the Board of County Commissioners In the event any Contingency is not satisfied or waived by
written notice on or before the date specified or the termination date of this agreement(whichever is
applicable),or any extension of this Agreement signed by both Seller and Buyer prior to a termination
date, this Agreement shall terminate and the Earnest Money Deposit shall be refunded to Buyer
Buyers shall have access to the Property for purposes of making inspection and review of
contingencies in accordance with paragraph nine (9)below
9 Inspection by Buyer Following the execution of this Agreement, Buyer may, upon
advance notice to Seller, enter upon the Property at mutual satisfactory times for the purpose of
making such inspections, investigations and tests that are reasonably necessary Buyer shall
indemnify and hold Seller harmless from and against any injury, damage, claim, lien, costs and/or
expense mcurred by or claimed against Seller or the Property by reason of the entry by Buyer or
Buyer's agents,employees or contractors Seller shall make available to Buyer copies of any surveys,
engineering reports or studies of the Property, and as-build drawings to the extent that the same are
available
10 Seller's Representations and Warranties Seller represents and warrants to Buyer that
(a) Seller has all requisite power and authority to execute and deliver this Agreement
and perform Seller's obligations hereunder,
(b) Seller is not a foreign corporation, foreign partnership, foreign trust or foreign
estate within the meaning of Section 1445 of the United States Internal Revenue Code,
(c) Seller has no notice of any claims, actions, suits, proceedings or investigations,
nor any order, decree or judgment, m law or in equity, affecting the Property or any portion thereof,
other than the probate proceeding referenced above and creditor's claims files therein which will be
paid from purchase proceeds,
(d) Seller has not received notice from any governmental agency pertaining to the
violation of any law or regulation affecting the Property or portion thereof, and Seller has no
knowledge of any facts which might be a basis for any such notice
REAL ESTATE PURCHASE AND
SALE AGREEMENT-3
(e) Seller warrants that there are no outstanding leases with respect to the Property
except as follows
1 Human Response Network(125 NW Chehalis Ave), July 1, 2019 thru
June 30, 2020, $1,625/mo.
2 Eugenia Center(139 NW Chehalis Ave),January 1,2019 thru December
31,2023, $2,100—$2,400/mo
3. Eugenia Center(121 & 123 NW Chehalis Ave), July 15, 2014—
December 31,2019, $1,500/mo
4 Mrs Klean(Melinda Wilkes)(157 NW Chehalis Ave), Month to
month, $500/mo
5. J&L Catalyst, LLC (Lee Rakestraw)(185 NW Chehalis Ave); February
1, 2019—January 31,2021, $1,000-$1,400/mo
6 Tracy Thatcher Auto Repairs (431&431 '/Z NW Chehalis Ave), May 1,
2019—April 30,2020, $10,000/yr
7 Jimboney's Malt Mills&More(Jim Thurman) (435 NW Center St),
Month to month, $850/mo
Upon any breach of the aforesaid representations, Seller shall indemnify and hold Buyer harmless
from all damages suffered on account of said breach The above representations and the indemnity
obligation shall survive closing.
11 Miscellaneous
(a) Risk of Loss. If prior to the Closing, any part of the Property is damaged or
destroyed by earthquake,flood,landslide,fire or other casualty,Seller shall immediately notify Buyer
of such fact,and all insurance proceeds paid before Closing as the result of any such casualty shall be
credited against the purchase price on Closing, and the right to any unpaid insurance proceeds or
claims thereto shall be assigned to Buyer on Closing
(b) Eminent Domain If pnor to Closing any portion of the Property is the subject
of a condemnation or eminent domain action or threatened therewith Buyer may elect either to
terminate this Agreement by notice to Seller prior to Closing and recover the Earnest Money Deposit
or to close and receive an assignment of all condemnation proceeds
(c) Notices. Except as otherwise specifically set forth herein,and demand,request or
notice which either party hereto desires or may be required to make or deliver to the other shall be in
writing and shall be deemed given when personally delivered, or when delivered by private courier
service that customarily delivers on the next business day and issues receipts (such as Federal
Express), or one (1) day after being deposited in the United States Mail, in registered or Certified
form,return receipt requested,addressed as follows
REAL ESTATE PURCHASE AND
SALE AGREEMENT-4
To Seller tit)(5 1 cu 1r le6
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To Buyer 2?// t7,Z 6- Wee-5
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or such other address and person as either party may communicate to the other by like written notice
(d) Entire Agreement. This Agreement contains the entire understanding between
the parties and supersedes any prior understandings and agreements between them respecting the
subject matter hereof There are no other representations, agreements or understandings, oral or
written, between and among the parties hereto or any of them, relating to the subject matter of this
Agreement. No amendment of or supplement to this Agreement shall be valid or effective unless
made m writing and executed by the parties hereto
(e) Attorney's Fees. In the event of litigation between the parties hereto,declaratory
or otherwise,m connection with or arising out of this Agreement, each party shall pay its own attorney
fees and costs
(f) Time of the Essence. Time is of the essence in each and every covenant and
condition of this Agreement
(g) Assignment. It is anticipated and agreed that Buyer may assign this Agreement
without the consent of Seller, to a related corporation and/or limited liability company Buyers shall
provide Seller with written notice of any such assignment at the time of closing
12. Agreement Termination. This Agreement shall terminate unless ratified by the Board
of County Commissioners by January 15, 2020
REAL ESTATE PURCHASE AND
SALE AGREEMENT-5
WITNESS THE HAND(S) AND SEAL(S)OF THE UNDERSIGNED.
SELLER. BUYER
t t✓L�
B ams McDaniel
By s McDaniel
As Trustee/Successor Trustee Under the McDaniel Family Revocable Trust Agreement Dated
January 13,1993,as Amended
REAL ESTATE PURCHASE AND
SALE AGREEMENT-6
EXHIBIT A
PARCEL A
LOTS 1 THROUGH 7,INCLUSIVE,BLOCK 12,ELIZA BARRETT'S ADDITION TO
THE CITY OF CHEHALIS,AS RECORDED IN VOLUME 1 OF PLATS,PAGE 1
TOGETHER WITH THAT PORTION OF VACATED ALLEY IN SAID BLOCK 12
WHICH ATTACHES BY THE OPERATION OF LAW
PARCEL B
LOT 8,BLOCK 12,ELIZA BARRETT'S ADDITION TO THE CITY OF CHEHALIS,AS
RECORDED IN VOLUME 1 OF PLATS, PAGE 1.
LEWIS COUNTY, WASHINGTON
REAL ESTATE PURCHASE AND
SALE AGREEMENT 7
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BOCC AGENDA ITEM SUMMARY
•
Resolution. BOCC Meeting Date: Sep 09, 2019
Suggested Wording for Agenda Item Agenda Type Consent
Approve an agreement between Lewis County and Darris McDaniel regarding the proposed purchase of
properties located in the 100 block of NW Chehalis Ave , and the 400 block of NW North St., Chehalis
Contact Steve Walton Phone'
Department Central Services
Action Needed' Approve Resolution
Description
Darns McDaniel, owner of properties located at 121, 125, 139, 157 and 185 NW Chehalis Ave , and 431 and
435 NW North St., Chehalis, has offered to sell the property to the County It is anticipated that the County will
have increased parking needs in the future and could utilize this property which is strategically located for
parking lot expansion as well as to accommodate county needs into the future
This agreement is for the purchase of the property The agreement has been accepted and signed by the property
owner Once approved and signed by the County, the County will enter into an agreement for escrow services
and proceed towards closing the transaction under the terms of the agreement
Approvals:
User Group Status
Albert, Kelly Public Works Pending
Walton, Steve Pending