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80A - JOINT - ACQUISITION 1126-1146 WASHINGTON
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80A - JOINT - ACQUISITION 1126-1146 WASHINGTON
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6/30/2016 4:16:59 PM
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6/30/2016 3:36:28 PM
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City Clerk
Doc Type
Agenda Packet
Agency
Public Works
Item #
80A
Date
7/5/2016
Destruction Year
2021
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(b) Buyers Costs. If the transaction contemplated by this Agreement is <br />consummated, then Buyer shall bear the following costs and expenses: (i) the Escrow Holder's 'fee; <br />(ii) Buyer's share of prorations, (iii) the premium for an owner's policy of title insurance which, at <br />the election of Buyer, will be an ALTA owner's extended coverage policy of title insurance and the <br />cost for any survey required in connection with the delivery of an ALTA owner's extended coverage <br />policy of title insurance; (iv) documentary recording fees, if any; (v) documentary transfer tax, if <br />any; (vi) costs, if any, for such services as Buyer may additionally request that Escrow perform on <br />its behalf; and (vii) any costs associated with Buyer borrowing money in order to pay to Setter the <br />Purchase Price (collectively, "Buyer's Costs and Debited Amounts "). If the election to close <br />without use of escrow is trade pursuant to Section 3(b) hereof, Buyer and Seller shall make the <br />prorations described in this subsection (b). <br />(c) Generally. Each party shall bear the costs of its own attorneys, consultants, <br />and real estate brokers in connection with the negotiation and preparation of this Agreement and the <br />consummation of the transaction contemplated hereby. Buyer represents to Seller that Buyer has <br />not engaged the services of any consultants, finders or real estate brokers in connection with the <br />purchase of the Real Property from the Seller. Seller represents to Buyer that Seller has not engaged <br />the services of any consultants, finders or real estate brokers in connection with the sate of the Real <br />Property to the Buyer. <br />11. Prorations: Withholding. <br />(a) Alt revenues (if any) and expenses retating to the Real Property (including, <br />but not limited to, property taxes, utility costs and expenses, water charges and sewer rents and <br />refuse collection charges) shall be prorated as of the Closing Date; provided that all delinquent taxes <br />shall be satisfied at the expense of Seller. Not less than five (5) business days prior to the Closing, <br />Seller shall deliver to Buyer a tentative schedule of prorations for Buyer's approval (the "Proration. <br />and Expense Schedule "). If any prorations made under this Section shall require final adjustment <br />after the Closing, then the parties shall make the appropriate adjustments promptly when accurate <br />information becomes available and either party hereto shall be entitled to an adjustment to correct <br />the same. Any corrected or adjustment proration shall be paid promptly in cash to the party entitled <br />thereto. <br />(b) In the event Seller does not qualify for an exemption from California <br />withholding tax under Section 18662 of the California Revenue and Taxation Code (the "Tax <br />Code ") as evidenced by the delivery to Buyer at Closing of the California Exemption Certificate <br />duly executed by Seller, (i) Title Company shall withhold three and one -third percent (3 -'1/3 %) of <br />the Purchase Price on behalf of Buyer at Closing for payment to the California Franchise Tax Board <br />in accordance with the Tax Code, (ii) Buyer shall deliver three (3) duly executed copies of <br />California Form 593 to Title Company at or immediately after Closing, (iii) two (2) copies of <br />California Form 593 shall be delivered by Title Company to Seller, and (iv) on or before the 20`h <br />day of the month following the month title to the Real Property is transferred to Buyer (as evidenced <br />by the recording of the Deed), Title Company shalt remit such funds withheld from the Purchase <br />Price, together with one (1) copy of California Form 593 to the California Franchise Tax Board on <br />behalf of Buyer. Buyer and Seller hereby appoint Title Company as a reporting entity under the Tax <br />Code, authorized to withhold and remit the withholding tax contemplated under the Tax Code, <br />together with such other documents required by the Tax Code (including, without limitation, <br />California Form 593), to the California Franchise Tax Board. <br />.O M•. <br />
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