Klauer prop - Dbq InitiativesMEMORANDUM
January 13,2003
TO:The Honorable Mayor and City Council Members
FROM:Michael C. Van Milligen, City Manager
SUBJECT:Disposition of Klauer Property to Dubuque Initiatives
In November 2002, the City entered into an Offer to Buy Real Estate and acceptance
with Dubuque Initiatives to purchase the former Dubuque Hardwoods property in the
Port of Dubuque. Dubuque Initiatives agreed to assist the City by providing a portion of
the financial resources to secure the purchase of that property. As part of the Offer, the
City agreed to attempt to acquire the Klauer property-several small lots totaling 0.529
acres in the midst of the Hardwoods property--and, once acquired transfer the property
to Dubuque Initiatives. The intent was to create a large, developable parcel including
the Dubuque Hardwoods and Klauer properties, other City-owned property and the
adjoining City rights-of-way that criss-cross the site.
Economic Development Director Bill Baum is recommending initiation of the procedure
required for the disposition of the 0.529 acres to Dubuque Initiatives, and that a public
hearing be set for February 3, 2003. Except for a nominal fee, the Klauer property will
be transferred without additional cost to Dubuque Initiatives per the Offer.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Michael C. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
William Baum, Economic Development Director
CITY OF DUBUQUE, IOWA
MEMORANDUM
January 9,2003
TO:Michael Van Milligen, City Manager
FROM:William Baum, Economic Development Director
SUBJECT:Disposition of Klauer Property to Dubuque Initiatives
INTRODUCTION
This memorandum presents for City Council consideration a Resolution of intent to
dispose by deed to Dubuque Initiatives property in the Port of Dubuque. The attached
Resolution sets a public hearing to be held February 3, 2003 on the City's intent to
dispose of the property. This action is subject to the City Council's approval of the Offer
to Buy Real Estate and Acceptance for the sale of land owned by Klauer Manufacturing
Company to the City on January 20, 2003 and the subsequent closing on the property.
BACKGROUND
In November, 2002, the City entered into an Offer to Buy Real Estate and Acceptance
with Dubuque Initiatives to purchase the former Dubuque Hardwoods property in the
Port of Dubuque. Dubuque Initiatives agreed to assist the City by providing a portion of
the financial resources to secure the purchase of that property. As part of the Offer, the
City agreed to attempt to acquire the Klauer property--several small lots totaling 0.529
acres in the midst of the Hardwoods property--and, once acquired, transfer the
property to Dubuque Initiatives. The intent was to create a large, developable parcel
including the Hardwoods and Klauer properties, other City-owned property and the
adjoining City rights-of-way that criss-cross the site.
DISCUSSION
The attached Resolution sets a public hearing for February 3, 2003 to dispose of the
property to Dubuque Initiatives pursuant to Dubuque Initiatives' prior Offer to Buy Real
Estate and Acceptance in which $1,641,036 was paid for the former Dubuque
Hardwoods property. Except for a nominal fee, the Klauer property will be transferred
without additional cost to Dubuque Initiatives per the Offer.
As part of the prior Offer, the City has an option to repurchase the real estate, including
the Klauer property, for a period of five years.
RECOMMENDATION
I recommend that the City Council initiate the procedure required for the disposition of
the 0.529 acres to Dubuque Initiatives. This action is consistent with and flows from the
Council's previous sale of the former Dubuque Hardwoods property. Dubuque
Initiatives is acting in conjunction with the City to hold and redevelop that properly. By
including the Klauer property, a sizable and contiguous development site is created.
ACTION STEP
The action step for the City Council is to adopt the attached Resolution.
attachment
F:\USERS\Pmyh re\WPDOCS\LOAN DOC\DBQHARDWOODS\Klauer~oDI.mem.doc
Prepared by: Barry A. Lindah1300 Main Street Suite 330 Dubuque IA 52001 563 583-4113
RESOLUTION NO. 23-03
RESOLUTION OF INTENT TO DISPOSE OF REAL PROPERTY BY DEED TO
DUBUQUE INITIATIVES
WHEREAS, the City of Dubuque (City) has entered into an Offer to Buy Real Estate
and Acceptance with Dubuque Initiatives which requires City to convey the following-
described property (the Property) to Dubuque Initiatives by deed upon acquisition of the
Property by City;
Lots numbered 20 to 30, both inclusive, in Block 21, Dubuque Harbor
Improvement Company's Addition, in the City of Dubuque, Iowa, according to the
recorded plat thereof
And
WHEREAS, City has now acquired the Property from Klauer Manufacturing
Company.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF DUBUQUE, IOWA:
Section 1. The City of Dubuque intends to dispose of the foregoing-described real
properly by deed to Dubuque Initiatives, a copy of which is attached hereto, pursuant to
the Offer to Buy Real Estate and Acceptance between City and Dubuque Initiatives.
Section 2. The City Clerk is hereby authorized and directed to cause this
Resolution and a notice to be published as prescribed by Iowa Code Section 364.7 of a
public hearing on the City's intent to dispose of the foregoing-described real property, to
be held on the 3~ day of February, 2003, at 6:30 o'clock p.m. at the public library
auditorium, 11th & Locust, Dubuque, Iowa.
Passed, approved and adopted this 20th day of January, 2003.
Attest: Jeanne F. Schneider, City Clerk
Terrance M. Duggan, Mayor
Preparer
Information Barry A. Lindah1300 Main Street Suite 330 Dubuque iA 52001 563 5834113
Barry A. Lindahl ISBA # 6899 SPACE ABOVE THIS LINE
FOR RECORDER
Tax statement to: Dubuque Initiatives
C/o E(~nomic Development Department
Cit,~ Hall
13"' and Central Avenue
Dubuque IA 52001
WARRANTY DEED
For the consideration of Ten Dollars ($10.00) and other good and valuable
consideration, the City of Dubuque, Iowa, an Iowa municipal corporation does hereby
Convey to Dubuque Initiatives the following described real estate in Dubuque County,
Iowa:
Lots numbered 20 to 30, both inclusive, in Block 21, Dubuque Harbor
Improvement Company's Addition, in the City of Dubuque, Iowa, according
recorded Plat thereof
to the
Exempt transfer per Iowa Code Sec. 428A.2(6) transfer in which
government entity is grantor
The Corporation hereby covenants with grantees, and successors in
interest, that it holds the real estate by title in fee simple; that it has good and
lawful authority to sell and convey the real estate; that the real estate is free and
clear of all liens and encumbrances, except as may be above stated; and it
covenants to Warrant and Defend the real estate against the lawful claims of all
persons, except as may be above stated.
Grantee covenants and agrees for itself and its successors and assigns that
no water wells of any kind will be installed on the above-described properly. This
covenant shall run with the land.
Dated:
City of Dubuque, Iowa
By
Terrance M. Duggan, Mayor
Attest:
Jeanne F. Schneider, City Clerk
STATE OF IOWA,DUBUQUE COUNTY, ss:
On this before me a Notary Public in and for said
County and said State, personally appeared Terrance M. Duggan and Jeanne F.
Schneider, to me personally known, who, being by me duly sworn, did say that they are
the Mayor and City Clerk respectively, of the City of Dubuque, Iowa; that said instrument
was signed on behalf of said City of Dubuque by authority of Resolution No. and
that the said Terrance M. Duggan and Jeanne F. Schneider as such officers,
acknowledged the execution of said instrument to be the voluntary act and deed of said
corporation, by it and by them voluntarily executed.
, Notary public