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Agenda 05/25/2021 Item #11J (Mental Health Facility Agreement w/David Lawrence)05/25/2021 EXECUTIVE SUMMARY Recommendation to approve an agreement to operate and lease the Collier County Mental Health Facility with the David Lawrence Mental Health Center, Inc., approve a purchase and sale agreement for the land the facility will be located on, and authorize staff to move forward with a Request for Proposals to design the facility. OBJECTIVE: To approve a lease and operating and purchase and sale agreement to move forward with the design of the Collier County Mental Health Facility. CONSIDERATIONS: With the passage of the Collier County Infrastructure Sales Surtax in 2018, $25 million in funding is available for the construction of a mental health facility. While the Surtax will provide the infrastructure necessary to expand facility capacity, further considerations must be noted for operation of the facility and the location at which it will be cited. On December 11, 2018 the Board approved Resolution 2018-232, establishing the Mental Illness and Addiction Ad Hoc Advisory Committee (“Advisory Committee”). The Advisory Committee met 21 times over the course of the year, including 18 regular meetings and 3 half day workshops. The Board adopted the Mental Health and Addiction Services Five Year Strategic Plan (“Plan”) on December 10, 2019. The top priority of the Plan was to “Build and Operate a Central Receiving Facility/System to Serve Persons Experiencing an Acute Mental Health or Substance Use Crisis.” On February 26, 2021, the Board directed staff to pursue collocating the facility on a vacant parcel of land held by the David Lawrence Center (DLC). Staff entered negotiations with DLC on a long-term lease and operating agreement, along with a purchase and sale agreement for the vacant five-acre parcel of land to site the facility. The initial term of the fully net lease is for thirty (30) years to DLC to operate the facility. At the end of the term, the lease can either be renewed or the lessee has the opportunity to purchase the building at the greater of the fair market value of the building or the actual cost of the tax dollar expenditures for construction of the facility. The County will construct the facility using infrastructure sales surtax funding, and work collaboratively with DLC to develop the site plan and design of the facility - however, DLC’s role is purely advisory and all final decisions for the plans and specifications of the facility are at the sole discretion of the County. The lease includes that the County will commence all reasonable efforts to construct the facility wi thin eighteen (18) months of the effective date of the lease. FISCAL IMPACT: $25,000,000 is available in the Infrastructure Sales Surtax Capital Fund (318) for design and construction of the mental health facility. The project scope will be adjusted during design to maintain the budget. DLC will pay the County the sum of $1 annually for use of the facility during the initial lease term. The value of the five-acre parcel being donated was appraised at $340,000 in 2019, and $430,000 in 2018, according to documents supplied by DLC. While the Surtax will provide the infrastructure necessary to expand facility capacity, this funding is limited in scope to be used only for infrastructure improvements and construction, which leaves the funding of operations of the facility to be determined, estimated at $2 - $3 million per year. These funds will be required to provide the human resources and other ongoing operational costs associated with the central receiving system. Funding to support operations will require a comprehensive strategy to leverage Federal, State, and private funds. 11.J Packet Pg. 431 05/25/2021 GROWTH MANAGEMENT IMPACT: There is no growth management impact associated with adoption of the strategic plan. LEGAL CONSIDERATIONS: This item has been reviewed by the County Attorney, is approved as to form and legality, and requires a majority vote for approval. -JAK RECOMMENDATION: That the Board approve an agreement to operate and lease the Collier County Mental Health Facility by the David Lawrence Mental Health Center, Inc., approve a purchase and sale agreement for the land the facility will be located on, and authorize staff to move forward with a Request for Proposals to design the facility. Prepared by: Sean Callahan, Deputy County Manager ATTACHMENT(S) 1. MH Center Long Term Lease and Operating Agreement May 2021 (PDF) 2. FAR Vacant Land DLC (PDF) 3. Five Acres - Legal Description- Quit Claim Deed-January 28, 2021 (PDF) 4. Contract for Purchase and Sale DLC May 18 2021 (PDF) 11.J Packet Pg. 432 05/25/2021 COLLIER COUNTY Board of County Commissioners Item Number: 11.J Doc ID: 15949 Item Summary: Recommendation to approve an agreement to operate and lease the Collier County Mental Health Facility with the David Lawrence Mental Health Center, Inc., approve a purchase and sale agreement for the land the facility will be located on, and authorize staff to move forward with a Request for Proposals to design the facility (Sean Callahan, Deputy County Manager). Meeting Date: 05/25/2021 Prepared by: Title: – County Manager's Office Name: Sean Callahan 05/17/2021 5:28 PM Submitted by: Title: – County Manager's Office Name: Sean Callahan 05/17/2021 5:28 PM Approved By: Review: Corporate Business Operations Sean Callahan Additional Reviewer Skipped 05/17/2021 6:24 PM Community & Human Services Kristi Sonntag Additional Reviewer Completed 05/18/2021 9:42 AM County Manager's Office Sean Callahan Additional Reviewer Completed 05/17/2021 6:24 PM Office of Management and Budget Debra Windsor Level 3 OMB Gatekeeper Review Completed 05/18/2021 8:38 AM Office of Management and Budget Susan Usher Additional Reviewer Completed 05/18/2021 7:58 PM County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 05/19/2021 8:28 AM County Manager's Office Sean Callahan Level 4 County Manager Review Completed 05/19/2021 11:55 AM Board of County Commissioners Geoffrey Willig Meeting Pending 05/25/2021 9:00 AM 11.J Packet Pg. 433 11.J.1 Packet Pg. 434 Attachment: MH Center Long Term Lease and Operating Agreement May 2021 (15949 : Mental Health Facility) 11.J.1 Packet Pg. 435 Attachment: MH Center Long Term Lease and Operating Agreement May 2021 (15949 : Mental Health Facility) 11.J.1 Packet Pg. 436 Attachment: MH Center Long Term Lease and Operating Agreement May 2021 (15949 : Mental Health Facility) 11.J.1 Packet Pg. 437 Attachment: MH Center Long Term Lease and Operating Agreement May 2021 (15949 : Mental Health Facility) 11.J.1 Packet Pg. 438 Attachment: MH Center Long Term Lease and Operating Agreement May 2021 (15949 : Mental Health Facility) 11.J.1 Packet Pg. 439 Attachment: MH Center Long Term Lease and Operating Agreement May 2021 (15949 : Mental Health Facility) 11.J.1 Packet Pg. 440 Attachment: MH Center Long Term Lease and Operating Agreement May 2021 (15949 : Mental Health Facility) 11.J.1 Packet Pg. 441 Attachment: MH Center Long Term Lease and Operating Agreement May 2021 (15949 : Mental Health Facility) 11.J.1 Packet Pg. 442 Attachment: MH Center Long Term Lease and Operating Agreement May 2021 (15949 : Mental Health Facility) 11.J.1 Packet Pg. 443 Attachment: MH Center Long Term Lease and Operating Agreement May 2021 (15949 : Mental Health Facility) 11.J.1 Packet Pg. 444 Attachment: MH Center Long Term Lease and Operating Agreement May 2021 (15949 : Mental Health Facility) 11.J.1 Packet Pg. 445 Attachment: MH Center Long Term Lease and Operating Agreement May 2021 (15949 : Mental Health Facility) 11.J.1 Packet Pg. 446 Attachment: MH Center Long Term Lease and Operating Agreement May 2021 (15949 : Mental Health Facility) 11.J.1 Packet Pg. 447 Attachment: MH Center Long Term Lease and Operating Agreement May 2021 (15949 : Mental Health Facility) Vacant Land Contract FLORIDA ASSOCIATION OF REALTORS® Buyer (_____) (_____) and Seller (_____) (_____) acknowledge receipt of a copy of this page, which is Page 1 of 7 Pages. VAC-9 Rev. 4/07 © 2007 Florida Association of REALTORS®All Rights Reserved PARTIES AND DESCRIPTION OF PROPERTY 1. SALE AND PURCHASE: __________________________________________________________________________ (“Seller”) and ______________________________________________________________________________________________ (“Buyer”) agree to sell and buy on the terms and conditions specified below the property (“Property”) described as: Address: __________________________________________________________________________________________________ Legal Description: _________________________________________________________________________________________ ___________________________________________________________________________________________________________ ___________________________________________________________________________________________________________ ___________________________________________________________________________________________________________ ___________________________________________________________________________________________________________ ___________________________________________________________________________________________________________ including all improvements and the following additional property: _________________________________________________ ___________________________________________________________________________________________________________ ___________________________________________________________________________________________________________ PRICE AND FINANCING 2. PURCHASE PRICE:$_____________________ payable by Buyer in U.S. funds as follows: (a) $___________________ Deposit received (checks are subject to clearance) on _______________________________ by ______________________ for delivery to ______________________________(“Escrow Agent”) Signature Name of Company (Address of Escrow Agent) ______________________________________________________________ (Phone # of Escrow Agent) ______________________________________________________________ (b) $___________________ Additional deposit to be delivered to Escrow Agent by __________________________________ or_____days from Effective Date (10 days if left blank). (c) ___________________ Total financing (see Paragraph 3 below) (express as a dollar amount or percentage) (d)$___________________ Other: ________________________________________________________________________ (e)$___________________ Balance to close (not including Buyer’s closing costs, prepaid items and prorations). All funds paid at closing must be paid by locally drawn cashier’s check, official check or wired funds. R (f) (complete only if purchase price will be determined based on a per unit cost instead of a fixed price) The unit used to determine the purchase price is R lot R acre R square foot R other (specify: ___________________________) prorating areas of less than a full unit. The purchase price will be $_______________ per unit based on a calculation of total area of the Property as certified to Buyer and Seller by a Florida-licensed surveyor in accordance with Paragraph 8(c)of this Contract. The following rights of way and other areas will be excluded from the calculation: ______________ _________________________________________________________________________________________________________ 3. CASH/FINANCING: (Check as applicable) R (a) Buyer will pay cash for the Property with no financing contingency. R (b)This Contract is contingent on Buyer qualifying and obtaining the commitment(s) or approval(s) specified below (the “Financing”) within ______ days from Effective Date (if left blank then Closing Date or 30 days from Effective Date, whichever occurs first) (the “Financing Period”). Buyer will apply for Financing within _____ days from Effective Date (5 days if left blank) and will timely provide any and all credit, employment, financial and other information required by the lender. If Buyer, after using diligence and good faith, cannot obtain the Financing within the Financing Period, either party may cancel this Contract and Buyer’s deposit(s) will be returned after Escrow Agent receives proper authorization from all interested parties. R (1) New Financing: Buyer will secure a commitment for new third party financing for $__________________ or ______% of the purchase price at the prevailing interest rate and loan costs based on Buyer’s creditworthiness. Buyer will keep Seller and Broker fully informed of the loan application status and progress and authorizes the lender or mortgage broker to disclose all such information to Seller and Broker. R (2) Seller Financing: Buyer will execute a R first R second purchase money note and mortgage to Seller in the amount of $______________________, bearing annual interest at ______% and payable as follows: _______________ ______________________________________________________________________________________________________ The mortgage, note, and any security agreement will be in a form acceptable to Seller and will follow forms generally accepted in the county where the Property is located; will provide for a late payment fee and acceleration at the mortgagee’s 1 2* 3* 4 5* 6* 7* 8* 9* 10* 11* 12* 13* 14* 15 16* 17* 18* 19 20* 21* 22* 23* 24* 25* 26* 27 28* 29* 30* 31 32* 33* 34* 35* 36* 37* 38 39 40 41* 42* 43 44 45* 46* 47* 48 49 50* This software is licensed to [Craig Grider - COLEMAN, YOVANOVICH & KOESTER, P.A.] www.transactiondesk.com. David Lawrence Mental Health Center, Inc., a Florida not-for-profit corporation Collier County, a political subdivision of the State of Florida, through its Board of County Commissioners Folio: 38165640005 Tract 66, Unit 30, Golden Gate Estates, according to the Plat thereof as recorded in Plat Book 7, Page 58, of the Public Records of Collier County, Florida cost of recording the Deed 10.00 N/A N/A Coleman, Yovanovich & Koester, PA 4001 Tamiami Trail North, Suite 300 239-435-3535 8.50 11.J.2 Packet Pg. 448 Attachment: FAR Vacant Land DLC (15949 : Mental Health Facility) option if Buyer defaults; will give Buyer the right to prepay without penalty all or part of the principal at any time(s) with interest only to date of payment; will be due on conveyance or sale; will provide for release of contiguous parcels, if applicable; and will require Buyer to keep liability insurance on the Property, with Seller as additional named insured. Buyer authorizes Seller to obtain credit, employment and other necessary information to determine creditworthiness for the financing. Seller will, within 10 days from Effective Date, give Buyer written notice of whether or not Seller will make the loan. R (3) Mortgage Assumption: Buyer will take title subject to and assume and pay existing first mortgage to _____________ ____________________________________________________________________________________________________________ LN#______________________ in the approximate amount of $___________________________currently payable at $_______________ per month including principal, interest, R taxes and insurance and having a R fixed R other (describe) _____________________________________________________________________________________________ interest rate of _______% which R will R will not escalate upon assumption. Any variance in the mortgage will be adjusted in the balance due at closing with no adjustment to purchase price. Buyer will purchase Seller’s escrow account dollar for dollar. If the lender disapproves Buyer, or the interest rate upon transfer exceeds ______% or the assumption/transfer fee exceeds $______________, either party may elect to pay the excess, failing which this agreement will terminate and Buyer’s deposit(s) will be returned. CLOSING 4. CLOSING DATE; OCCUPANCY: This Contract will be closed and the deed and possession delivered on _____________________________ (“Closing Date”). Unless the Closing Date is specifically extended by the Buyer and Seller or by any other provision in this Contract, the Closing Date shall prevail over all other time periods including, but not limited to, financing and feasibility study periods. If on Closing Date insurance underwriting is suspended, Buyer may postpone closing up to 5 days after the insurance suspension is lifted. If this transaction does not close for any reason, Buyer will immediately return all Seller-provided title evidence, surveys, association documents and other items. 5. CLOSING PROCEDURE; COSTS: Closing will take place in the county where the Property is located and may be conducted by mail or electronic means. If title insurance insures Buyer for title defects arising between the title binder effective date and recording of Buyer’s deed, closing agent will disburse at closing the net sale proceeds to Seller (in local cashier's checks if Seller requests in writing at least 5 days prior to closing) and brokerage fees to Broker as per Paragraph 17. In addition to other expenses provided in this Contract, Seller and Buyer will pay the costs indicated below. (a) Seller Costs: Taxes on the deed Recording fees for documents needed to cure title Title evidence (if applicable under Paragraph 8) Other: ______________________________________________________________________ (b) Buyer Costs: Taxes and recording fees on notes and mortgages Recording fees on the deed and financing statements Loan expenses Lender’s title policy at the simultaneous issue rate Inspections Survey and sketch Insurance Other: ______________________________________________________________________ (c) Title Evidence and Insurance: Check (1) or (2): R (1) The title evidence will be a Paragraph 8(a)(1) owner’s title insurance commitment. R Seller will select the title agent and will pay for the owner’s title policy, search, examination and related charges or R Buyer will select the title agent and pay for the owner’s title policy, search, examination and related charges or R Buyer will select the title agent and Seller will pay for the owner’s title policy, search, examination and related charges. R (2) Seller will provide an abstract as specified in Paragraph 8(a)(2)as title evidence. R Seller R Buyer will pay for the owner’s title policy and select the title agent. Seller will pay fees for title searches prior to closing, including tax search and lien search fees, and Buyer will pay fees for title searches after closing (if any), title examination fees and closing fees. (d) Prorations:The following items will be made current and prorated as of the day before Closing Date: real estate taxes, interest, bonds, assessments, leases and other Property expenses and revenues. If taxes and assessments for the current year cannot be determined, the previous year’s rates will be used with adjustment for any exemptions. PROPERTY TAX DISCLOSURE SUMMARY: BUYER SHOULD NOT RELY ON THE SELLER’S CURRENT PROPERTY TAXES AS THE AMOUNT OF PROPERTY TAXES THAT BUYER MAY BE OBLIGATED TO PAY IN THE YEAR SUBSEQUENT TO PURCHASE. A CHANGE OF OWNERSHIP OR PROPERTY IMPROVEMENTS TRIGGERS REASSESSMENTS OF THE PROPERTY THAT COULD RESULT IN HIGHER PROPERTY TAXES. IF YOU HAVE ANY QUESTIONS CONCERNING VALUATION, CONTACT THE COUNTY PROPERTY APPRAISER’S OFFICE FOR FURTHER INFORMATION. (e) Special Assessment by Public Body: Regarding special assessments imposed by a public body, Seller will pay (i) the full amount of liens that are certified, confirmed and ratified before closing and (ii) the amount of the last estimate of the assessment Buyer (_____) (_____) and Seller (_____) (_____) acknowledge receipt of a copy of this page, which is Page 2 of 7 Pages. VAC-9 Rev. 4/07 © 2007 Florida Association of REALTORS®All Rights Reserved 51 52 53 54 55 56* 57* 58* 59* 60* 61* 62 63* 64* 65 66 67 68* 69 70 71 72 73 74 75 76 77 78 79 80 81 82* 83 84 85 86 87 88 89 90 91* 92 93* 94* 95* 96 97* 98 99 100 101 102 103 104 105 106 107 108 109 110* This software is licensed to [Craig Grider - COLEMAN, YOVANOVICH & KOESTER, P.A.] www.transactiondesk.com. see addendum X 11.J.2 Packet Pg. 449 Attachment: FAR Vacant Land DLC (15949 : Mental Health Facility) if an improvement is substantially completed as of Effective Date but has not resulted in a lien before closing, and Buyer will pay all other amounts. If special assessments may be paid in installments R Buyer R Seller (if left blank, BBuuyyeerr) shall pay installments due after closing. If Seller is checked, Seller will pay the assessment in full prior to or at the time of closing. Public body does not include a Homeowner Association or Condominium Association. (f) Tax Withholding: If Seller is a “foreign person” as defined by FIRPTA, Section 1445 of the Internal Revenue Code requires Buyer to withhold 10% of the amount realized by the Seller on the transfer and remit the withheld amount to the Internal Revenue Service (IRS) unless an exemption applies. The primary exemptions are (1) Seller provides Buyer with an affidavit that Seller is not a “foreign person”, (2) Seller provides Buyer with a Withholding Certificate providing for reduced or eliminated withholding, or (3) the gross sales price is $300,000 or less, Buyer is an individual who purchases the Property to use as a residence, and Buyer or a member of Buyer’s family has definite plans to reside at the Property for at least 50% of the number of days the Property is in use during each of the first two 12 month periods after transfer. The IRS requires Buyer and Seller to have a U.S. federal taxpayer identification number (“TIN”). Buyer and Seller agree to execute and deliver as directed any instrument, affidavit or statement reasonably necessary to comply with FIRPTA requirements including applying for a TIN within 3 days from Effective Date and delivering their respective TIN or Social Security numbers to the Closing Agent. If Seller applies for a withholding certificate but the application is still pending as of closing, Buyer will place the 10% tax in escrow at Seller’s expense to be disbursed in accordance with the final determination of the IRS, provided Seller so requests and gives Buyer notice of the pending application in accordance with Section 1445. If Buyer does not pay sufficient cash at closing to meet the withholding requirement, Seller will deliver to Buyer at closing the additional cash necessary to satisfy the requirement. Buyer will timely disburse the funds to the IRS and provide Seller with copies of the tax forms and receipts. (g) 1031 Exchange: If either Seller or Buyer wishes to enter into a like-kind exchange (either simultaneously with closing or after) under Section 1031 of the Internal Revenue Code (“Exchange”), the other party will cooperate in all reasonable respects to effectuate the Exchange including executing documents; provided, however, that the cooperating party will incur no liability or cost related to the Exchange and that the closing shall not be contingent upon, extended or delayed by the Exchange. PROPERTY CONDITION 6. LAND USE: Seller will deliver the Property to Buyer at the time agreed in its present “as is” condition, with conditions resulting from Buyer’s Inspections and casualty damage, if any, excepted. Seller will maintain the landscaping and grounds in a comparable condition and will not engage in or permit any activity that would materially alter the Property’s condition without the Buyer’s prior written consent. (a) Flood Zone: Buyer is advised to verify by survey, with the lender and with appropriate government agencies which flood zone the Property is in, whether flood insurance is required and what restrictions apply to improving the Property and rebuilding in the event of casualty. (b) Government Regulation: Buyer is advised that changes in government regulations and levels of service which affect Buyer’s intended use of the Property will not be grounds for canceling this Contract if the Feasibility Study Period has expired or if Buyer has checked choice (c)(2) below. (c) Inspections:(check (1) or (2)below) R (1) Feasibility Study: Buyer will, at Buyer’s expense and within _____ days from Effective Date ("Feasibility Study Period"), determine whether the Property is suitable, in Buyer’s sole and absolute discretion, for __________________________ use. During the Feasibility Study Period, Buyer may conduct a Phase I environmental assessment and any other tests, analyses, surveys and investigations ("Inspections") that Buyer deems necessary to determine to Buyer’s satisfaction the Property's engineering, architectural and environmental properties; zoning and zoning restrictions; subdivision statutes; soil and grade; availability of access to public roads, water, and other utilities; consistency with local, state and regional growth management plans; availability of permits, government approvals, and licenses; and other Inspections that Buyer deems appropriate to determine the Property’s suitability for the Buyer’s intended use. If the Property must be rezoned, Buyer will obtain the rezoning from the appropriate government agencies. Seller will sign all documents Buyer is required to file in connection with development or rezoning approvals. Seller gives Buyer, its agents, contractors and assigns, the right to enter the Property at any time during the Feasibility Study Period for the purpose of conducting Inspections; provided, however, that Buyer, its agents, contractors and assigns enter the Property and conduct Inspections at their own risk. Buyer will indemnify and hold Seller harmless from losses, damages, costs, claims and expenses of any nature, including attorneys’ fees, expenses and liability incurred in application for rezoning or related proceedings, and from liability to any person, arising from the conduct of any and all Inspections or any work authorized by Buyer. Buyer will not engage in any activity that could result in a construction lien being filed against the Property without Seller’s prior written consent. If this transaction does not close, Buyer will, at Buyer’s expense, (1) repair all damages to the Property resulting from the Inspections and return the Property to the condition it was in prior to conduct of the Inspections, and (2) release to Seller all reports and other work generated as a result of the Inspections. Buyer will deliver written notice to Seller prior to the expiration of the Feasibility Study Period of Buyer’s determination of whether or not the Property is acceptable. Buyer’s failure to comply with this notice requirement will constitute acceptance of the Property as suitable for Buyer’s intended use in its “as is” condition. If the Property is unacceptable to Buyer and written notice of this fact is timely delivered to Seller, this Contract will be deemed terminated as of the day after the Feasibility Study period ends and Buyer’s deposit(s) will be returned after Escrow Agent receives proper authorization from all interested parties. R (2) No Feasibility Study: Buyer is satisfied that the Property is suitable for Buyer’s purposes, including being satisfied that either public sewerage and water are available to the Property or the Property will be approved for the Buyer (_____) (_____) and Seller (_____) (_____) acknowledge receipt of a copy of this page, which is Page 3 of 7 Pages. VAC-9 Rev. 4/07 © 2007 Florida Association of REALTORS®All Rights Reserved 111 112* 113 114 115 116 117 118 119 120 121 122 123 124 125 126 127 128 129 130 131 132 133 134 135 136 137 138 139 140 141 142 143 144 145 146* 147* 148* 149 150 151 152 153 154 155 156 157 158 159 160 161 162 163 164 165 166 167 168 169 170 171 172* 173 174* This software is licensed to [Craig Grider - COLEMAN, YOVANOVICH & KOESTER, P.A.] www.transactiondesk.com. 30 see addendum 11.J.2 Packet Pg. 450 Attachment: FAR Vacant Land DLC (15949 : Mental Health Facility) installation of a well and/or private sewerage disposal system and that existing zoning and other pertinent regulations and restrictions, such as subdivision or deed restrictions, concurrency, growth management and environmental conditions, are acceptable to Buyer. This Contract is not contingent on Buyer conducting any further investigations. (d) Subdivided Lands: If this Contract is for the purchase of subdivided lands, defined by Florida Law as “(a) Any contiguous land which is divided or is proposed to be divided for the purpose of disposition into 50 or more lots, parcels, units, or interests; or (b) Any land, whether contiguous or not, which is divided or proposed to be divided into 50 or more lots, parcels, units, or interests which are offered as a part of a common promotional plan.”, Buyer may cancel this Contract for any reason whatsoever for a period of 7 business days from the date on which Buyer executes this Contract. If Buyer elects to cancel within the period provided, all funds or other property paid by Buyer will be refunded without penalty or obligation within 20 days of the receipt of the notice of cancellation by the developer. 7. RISK OF LOSS; EMINENT DOMAIN:If any portion of the Property is materially damaged by casualty before closing, or Seller negotiates with a governmental authority to transfer all or part of the Property in lieu of eminent domain proceedings, or if an eminent domain proceeding is initiated, Seller will promptly inform Buyer.Either party may cancel this Contract by written notice to the other within 10 days from Buyer’s receipt of Seller’s notification, failing which Buyer will close in accordance with this Contract and receive all payments made by the government authority or insurance company, if any. TITLE 8. TITLE: Seller will convey marketable title to the Property by statutory warranty deed or trustee, personal representative or guardian deed as appropriate to Seller’s status. (a) Title Evidence: Title evidence will show legal access to the Property and marketable title of record in Seller in accordance with current title standards adopted by the Florida Bar, subject only to the following title exceptions, none of which prevent Buyer’s intended use of the Property as __________________________________: covenants, easements and restrictions of record; matters of plat; existing zoning and government regulations; oil, gas and mineral rights of record if there is no right of entry; current taxes; mortgages that Buyer will assume; and encumbrances that Seller will discharge at or before closing. Seller will deliver to Buyer Seller’s choice of one of the following types of title evidence, which must be generally accepted in the county where the Property is located (specify in Paragraph 5(c)the selected type). Seller will use option (1) in Palm Beach County and option (2) in Miami-Dade County. (1) A title insurance commitment issued by a Florida-licensed title insurer in the amount of the purchase price and subject only to title exceptions set forth in this Contract and delivered no later than 2 days before Closing Date. (2) An existing abstract of title from a reputable and existing abstract firm (if firm is not existing, then abstract must be certified as correct by an existing firm) purporting to be an accurate synopsis of the instruments affecting title to the Property recorded in the public records of the county where the Property is located and certified to Effective Date. However if such an abstract is not available to Seller, then a prior owner’s title policy acceptable to the proposed insurer as a base for reissuance of coverage. Seller will pay for copies of all policy exceptions and an update in a format acceptable to Buyer’s closing agent from the policy effective date and certified to Buyer or Buyer’s closing agent, together with copies of all documents recited in the prior policy and in the update. If a prior policy is not available to Seller then (1) above will be the title evidence. Title evidence will be delivered no later than 10 days before Closing Date. (b) Title Examination: Buyer will examine the title evidence and deliver written notice to Seller,within 5 days from receipt of title evidence but no later than Closing Date, of any defects that make the title unmarketable. Seller will have 30 days from receipt of Buyer’s notice of defects (“Curative Period”) to cure the defects at Seller’s expense. If Seller cures the defects within the Curative Period, Seller will deliver written notice to Buyer and the parties will close the transaction on Closing Date or within 10 days from Buyer’s receipt of Seller’s notice if Closing Date has passed. If Seller is unable to cure the defects within the Curative Period, Seller will deliver written notice to Buyer and Buyer will, within 10 days from receipt of Seller’s notice, either cancel this Contract or accept title with existing defects and close the transaction. (c) Survey: Buyer may, prior to Closing Date and at Buyer’s expense, have the Property surveyed and deliver written notice to Seller,within 5 days from receipt of survey but no later than 5 days prior to closing, of any encroachments on the Property, encroachments by the Property’s improvements on other lands or deed restriction or zoning violations. Any such encroachment or violation will be treated in the same manner as a title defect and Buyer’s and Seller’s obligations will be determined in accordance with subparagraph (b) above. (d) Coastal Construction Control Line:If any part of the Property lies seaward of the coastal construction control line as defined in Section 161.053 of the Florida Statutes, Seller shall provide Buyer with an affidavit or survey as required by law delineating the line’s location on the Property, unless Buyer waives this requirement in writing. The Property being purchased may be subject to coastal erosion and to federal, state, or local regulations that govern coastal property, including delineation of the coastal construction control line, rigid coastal protection structures, beach nourishment, and the protection of marine turtles. Additional information can be obtained from the Florida Department of Environmental Protection, including whether there are significant erosion conditions associated with the shoreline of the Property being purchased. R BBuuyyeerr waives the right to receive a CCCL affidavit or survey. MISCELLANEOUS 9. EFFECTIVE DATE; TIME; FORCE MAJEURE: (a)EEffffeeccttiivvee DDaattee::The “Effective Date” of this Contract is the date on which the last of the parties initials or signs and delivers final offer or counteroffer. Time is of the essence for all provisions of this Contract. (b) Time: All time periods expressed as days will be computed in business days (a “business day” is every calendar day except Saturday, Sunday and national legal holidays). If any deadline falls on a Saturday, Sunday or national legal Buyer (_____) (_____) and Seller (_____) (_____) acknowledge receipt of a copy of this page, which is Page 4 of 7 Pages. VAC-9 Rev. 4/07 © 2007 Florida Association of REALTORS®All Rights Reserved 175 176 177 178 179 180 181 182 183 184 185 186 187 188 189 190 191 192 193 194 195* 196 197 198 199 200 201 202 203 204 205 206 207 208 209 210 211 212 213 214 215 216 217 218 219 220 221 222 223 224 225 226 227 228 229 230* 231 232 233 234 235 236 237* This software is licensed to [Craig Grider - COLEMAN, YOVANOVICH & KOESTER, P.A.] www.transactiondesk.com. * *the Feasability Study Period * see addendum 11.J.2 Packet Pg. 451 Attachment: FAR Vacant Land DLC (15949 : Mental Health Facility) holiday, performance will be due the next business day. All time periods will end at 5:00 p.m. local time (meaning in the county where the Property is located) of the appropriate day. ((cc)) FFoorrccee MMaajjeeuurree::Buyer or Seller shall not be required to perform any obligation under this Contract or be liable to each other for damages so long as the performance or non-performance of the obligation is delayed, caused or prevented by an act of God or force majeure. An “act of God” or “force majeure” is defined as hurricanes, earthquakes, floods, fire, unusual transportation delays, wars, insurrections and any other cause not reasonably within the control of the Buyer or Seller and which by the exercise of due diligence the non-performing party is unable in whole or in part to prevent or overcome. All time periods, including Closing Date, will be extended (not to exceed 30 days) for the period that the force majeure or act of God is in place. In the event that such “act of God” or “force majeure” event continues beyond the 30 days in this sub-paragraph, either party may cancel the Contract by delivering written notice to the other and Buyer’s deposit shall be refunded. 10. NOTICES: All notices shall be in writing and will be delivered to the parties and Broker by mail, personal delivery or electronic media. Buyer’s failure to deliver timely written notice to Seller, when such notice is required by this Contract, regarding any contingencies will render that contingency null and void and the Contract will be construed as if the contingency did not exist. Any notice, document or item delivered to or received by an attorney or licensee (including a transaction broker) representing a party will be as effective as if delivered to or by that party. 11. COMPLETE AGREEMENT: This Contract is the entire agreement between Buyer and Seller. Except for brokerage agreements, no prior or present agreements will bind Buyer, Seller or Broker unless incorporated into this Contract. Modifications of this Contract will not be binding unless in writing, signed or initialed and delivered by the party to be bound. This Contract, signatures, initials, documents referenced in this Contract, counterparts and written modifications communicated electronically or on paper will be acceptable for all purposes, including delivery, and will be binding. Handwritten or typewritten terms inserted in or attached to this Contract prevail over preprinted terms. If any provision of this Contract is or becomes invalid or unenforceable, all remaining provisions will continue to be fully effective. Buyer and Seller will use diligence and good faith in performing all obligations under this Contract. This Contract will not be recorded in any public records. 12. ASSIGNABILITY; PERSONS BOUND: Buyer may not assign this Contract without Seller’s written consent. The terms “Buyer,” “Seller,” and “Broker” may be singular or plural. This Contract is binding on the heirs, administrators, executors, personal representatives and assigns (if permitted) of Buyer, Seller and Broker. DEFAULT AND DISPUTE RESOLUTION 13. DEFAULT: (a) Seller Default: If for any reason other than failure of Seller to make Seller’s title marketable after diligent effort, Seller fails, refuses or neglects to perform this Contract, Buyer may choose to receive a return of Buyer’s deposit without waiving the right to seek damages or to seek specific performance as per Paragraph 14. Seller will also be liable to Broker for the full amount of the brokerage fee. (b) Buyer Default: If Buyer fails to perform this Contract within the time specified, including timely payment of all deposits, Seller may choose to retain and collect all deposits paid and agreed to be paid as liquidated damages or to seek specific performance as per Paragraph 14; and Broker will, upon demand, receive 50% of all deposits paid and agreed to be paid (to be split equally among Brokers) up to the full amount of the brokerage fee. 14. DISPUTE RESOLUTION: This Contract will be construed under Florida law. All controversies, claims, and other matters in question arising out of or relating to this transaction or this Contract or its breach will be settled as follows: (a) Disputes concerning entitlement to deposits made and agreed to be made: Buyer and Seller will have 30 days from the date conflicting demands are made to attempt to resolve the dispute through mediation. If that fails, Escrow Agent will submit the dispute, if so required by Florida law, to Escrow Agent’s choice of arbitration, a Florida court or the Florida Real Estate Commission (“FREC”). Buyer and Seller will be bound by any resulting award, judgment or order. A broker’s obligation under Chapter 475, FS and the FREC rules to timely notify the FREC of an escrow dispute and timely resolve the escrow dispute through mediation, arbitration, interpleader, or an escrow disbursement order, if the broker so chooses, applies only to brokers and does not apply to title companies, attorneys or other escrow companies. (b) All other disputes: Buyer and Seller will have 30 days from the date a dispute arises between them to attempt to resolve the matter through mediation, failing which the parties will resolve the dispute through neutral binding arbitration in the county where the Property is located. The arbitrator may not alter the Contract terms or award any remedy not provided for in this Contract. The award will be based on the greater weight of the evidence and will state findings of fact and the contractual authority on which it is based. If the parties agree to use discovery, it will be in accordance with the Florida Rules of Civil Procedure and the arbitrator will resolve all discovery-related disputes. Any disputes with a real estate licensee named in Paragraph 17 will be submitted to arbitration only if the licensee’s broker consents in writing to become a party to the proceeding. This clause will survive closing. (c) Mediation and Arbitration; Expenses: “Mediation” is a process in which parties attempt to resolve a dispute by submitting it to an impartial mediator who facilitates the resolution of the dispute but who is not empowered to impose a settlement on the parties. Mediation will be in accordance with the rules of the American Arbitration Association (“AAA”) or other mediator agreed on by the parties. The parties will equally divide the mediation fee, if any. “Arbitration” is a process in which the parties resolve a dispute by a hearing before a neutral person who decides the matter and whose decision is binding on the parties. Arbitration will be in accordance with the rules of the AAA or other arbitrator agreed on by the parties. Each party to any arbitration will pay its own fees, costs and expenses, including attorneys’ fees, and will equally split the arbitrators’ fees and administrative fees of arbitration. In a civil action to enforce an arbitration award, the prevailing party to the arbitration shall be entitled to recover from the nonprevailing party reasonable attorneys’ fees, costs and expenses. Buyer (_____) (_____) and Seller (_____) (_____) acknowledge receipt of a copy of this page, which is Page 5 of 7 Pages. VAC-9 Rev. 4/07 © 2007 Florida Association of REALTORS®All Rights Reserved 238 239 240 241 242 243 244 245 246 247 248 249 250 251 252 253 254 255 256 257 258 259 260 261 262 263 264 265 266 267 268 269 270 271 272 273 274 275 276 277 278 279 280 281 282 283 284 285 286 287 288 289 290 291 292 293 294 295 296 297 298 299* This software is licensed to [Craig Grider - COLEMAN, YOVANOVICH & KOESTER, P.A.] www.transactiondesk.com. 11.J.2 Packet Pg. 452 Attachment: FAR Vacant Land DLC (15949 : Mental Health Facility) ESCROW AGENT AND BROKER 15. ESCROW AGENT: Buyer and Seller authorize Escrow Agent to receive, deposit and hold funds and other items in escrow and, subject to clearance, disburse them upon proper authorization and in accordance with Florida law and the terms of this Contract, including disbursing brokerage fees. The parties agree that Escrow Agent will not be liable to any person for misdelivery of escrowed items to Buyer or Seller, unless the misdelivery is due to Escrow Agent’s willful breach of this Contract or gross negligence. If Escrow Agent interpleads the subject matter of the escrow, Escrow Agent will pay the filing fees and costs from the deposit and will recover reasonable attorneys’ fees and costs to be paid from the escrowed funds or equivalent and charged and awarded as court costs in favor of the prevailing party. All claims against Escrow Agent will be arbitrated, so long as Escrow Agent consents to arbitrate. 16. PROFESSIONAL ADVICE; BROKER LIABILITY:Broker advises Buyer and Seller to verify all facts and representations that are important to them and to consult an appropriate professional for legal advice (for example, interpreting contracts, determining the effect of laws on the Property and transaction, status of title, foreign investor reporting requirements, the effect of property lying partially or totally seaward of the Coastal Construction Control Line, etc.) and for tax, property condition, environmental and other specialized advice. Buyer acknowledges that Broker does not reside in the Property and that all representations (oral, written or otherwise) by Broker are based on Seller representations or public records. Buyer agrees to rely solely on Seller, professional inspectors and governmental agencies for verification of the Property condition and facts that materially affect Property value. Buyer and Seller respectively will pay all costs and expenses, including reasonable attorneys’ fees at all levels, incurred by Broker and Broker’s officers, directors, agents and employees in connection with or arising from Buyer’s or Seller’s misstatement or failure to perform contractual obligations. Buyer and Seller hold harmless and release Broker and Broker’s officers, directors, agents and employees from all liability for loss or damage based on (1) Buyer’s or Seller’s misstatement or failure to perform contractual obligations; (2) Broker’s performance, at Buyer’s and/or Seller’s request, of any task beyond the scope of services regulated by Chapter 475, F.S., as amended, including Broker’s referral, recommendation or retention of any vendor; (3)products or services provided by any vendor; and (4)expenses incurred by any vendor. Buyer and Seller each assume full responsibility for selecting and compensating their respective vendors. This paragraph will not relieve Broker of statutory obligations. For purposes of this paragraph, Broker will be treated as a party to this Contract. This paragraph will survive closing. 17. BROKERS: The licensee(s) and brokerage(s) named below are collectively referred to as “Broker.” Instruction to Closing Agent: Seller and Buyer direct closing agent to disburse at closing the full amount of the brokerage fees as specified in separate brokerage agreements with the parties and cooperative agreements between the brokers, except to the extent Broker has retained such fees from the escrowed funds. In the absence of such brokerage agreements, closing agent will disburse brokerage fees as indicated below. This paragraph will not be used to modify any MLS or other offer of compensation made by Seller or listing broker to cooperating brokers. ____________________________________________________ ___________________________________________________ Selling Sales Associate/License No.___________________________________Selling Firm/Brokerage Fee: ($ or % of Purchase Price)________________ ____________________________________________________ ___________________________________________________ Listing Sales Associate/License No. ___________________________________ Listing Firm/Brokerage fee: ($ or % of Purchase Price)_______________ ADDITIONAL TERMS 18. ADDITIONAL TERMS: 300 301 302 303 304 305 306 307 308 309 310 311 312 313 314 315 316 317 318 319 320 321 322 323 324 325 326 327 328 329 330 331 332* 333* 334* 335* 336 337* 338* 339* 340* 341* 342* 343* 344* 345* 346* 347* 348* 349* 350* 351* 352* 353* 354* 355* 356* 357* 358*Buyer (_____) (_____) and Seller (_____) (_____) acknowledge receipt of a copy of this page, which is Page 6 of 7 Pages. VAC-9 Rev. 4/07 © 2007 Florida Association of REALTORS®All Rights Reserved This software is licensed to [Craig Grider - COLEMAN, YOVANOVICH & KOESTER, P.A.] www.transactiondesk.com. See addendum 11.J.2 Packet Pg. 453 Attachment: FAR Vacant Land DLC (15949 : Mental Health Facility) This is intended to be a legally binding contract. If not fully understood, seek the advice of an attorney prior to signing. OFFER AND ACCEPTANCE (Check if applicable:R Buyer received a written real property disclosure statement from Seller before making this Offer.) Buyer offers to purchase the Property on the above terms and conditions. Unless this Contract is signed by Seller and a copy delivered to Buyer no later than ___________R a.m.R p.m. on _____________________________, this offer will be revoked and Buyer’s deposit refunded subject to clearance of funds. COUNTER OFFER/ REJECTION R Seller counters Buyer’s offer (to accept the counter offer, Buyer must sign or initial the counter offered terms and deliver a copy of the acceptance to Seller. Unless otherwise stated, the time for acceptance of any counteroffers shall be 2 days from the date the counter is delivered.R Seller rejects Buyer’s offer. Date: _____________________Buyer: ________________________________________________________________________ Print name:_____________________________________________________________________________________ Date: _____________________Buyer: ________________________________________________________________________ Phone:____________________ Print name: _____________________________________________________________________________________ Fax: ______________________ Address: ______________________________________________________________________ E-mail: ____________________ ______________________________________________________________________________ Date: _____________________Seller:_________________________________________________________________________ Print name:_____________________________________________________________________________________ Date: _____________________Seller: ________________________________________________________________________ Phone:____________________ Print name: _____________________________________________________________________________________ Fax: ______________________ Address: ______________________________________________________________________ E-mail: ____________________ ______________________________________________________________________________ Buyer (_____) (_____) and Seller (_____) (_____) acknowledge receipt of a copy of this page, which is Page 7 of 7 Pages. The Florida Association of REALTORS and local Board/Association of REALTORS make no representation as to the legal validity or adequacy of any provision of this form in any specific transaction. This standardized form should not be used in complex transactions or with extensive riders or additions. This form is available for use by the entire real estate industry and is not intended to identify the user as a REALTOR. REALTOR is a registered collective membership mark that may be used only by real estate licensees who are members of the National Association of REALTORS and who subscribe to its Code of Ethics. The copyright laws of the United States (17 U.S. Code) forbid the unauthorized reproduction of blank forms by any means including facsimile or computerized forms. VAC-9 Rev. 4/07 © 2007 Florida Association of REALTORS®All Rights Reserved Effective Date: ________________ (The date on which the last party signed or initialed and delivered the final offer or counteroffer.) 359* 360* 361* 362* 363* 364* 365* 366* 367* 368* 369* 370* 371* 372* 373* 374* 375* 376 377 378* 379 380* 381 382 383* 384 385* 386* 387* 388* 389* 390* 391* 392* 393* 394* 395* 396* 397* 398* 399* This software is licensed to [Craig Grider - COLEMAN, YOVANOVICH & KOESTER, P.A.] www.transactiondesk.com. 11.J.2 Packet Pg. 454 Attachment: FAR Vacant Land DLC (15949 : Mental Health Facility) 11.J.3 Packet Pg. 455 Attachment: Five Acres - Legal Description- Quit Claim Deed-January 28, 2021 (15949 : Mental Health Facility) 11.J.3 Packet Pg. 456 Attachment: Five Acres - Legal Description- Quit Claim Deed-January 28, 2021 (15949 : Mental Health Facility) 11.J.4 Packet Pg. 457 Attachment: Contract for Purchase and Sale DLC May 18 2021 (15949 : Mental Health Facility) 11.J.4 Packet Pg. 458 Attachment: Contract for Purchase and Sale DLC May 18 2021 (15949 : Mental Health Facility) 11.J.4 Packet Pg. 459 Attachment: Contract for Purchase and Sale DLC May 18 2021 (15949 : Mental Health Facility) 11.J.4 Packet Pg. 460 Attachment: Contract for Purchase and Sale DLC May 18 2021 (15949 : Mental Health Facility) 11.J.4 Packet Pg. 461 Attachment: Contract for Purchase and Sale DLC May 18 2021 (15949 : Mental Health Facility)