HomeMy WebLinkAbout2009-018 Purchasing - Telesis Construction Management, LLC - Amendment to Agreement of Purchase and Sale (Office Building) dated 2-1-2008y- 7'-100 ~
G,F
ORANGE COUNTY
NORTH CAROLINA
AMENDMENT TO
AGREEMENT OF PURCHASE AND SALE
(OFFICE~BUILDING)
THIS AGREEMENT OF PURCHASE AND SALE (OFFICE BUILDING)
'~ pp
("Agreement") is made effective this ..~ day of ~,dOn./~ 2009 (the
"Execution Date"), by and between TELESIS CONSTRUCTION MANAGEMENT, LLC, a
North Carolina limited liability company ("Seller"), and ORANGE COUNTY, NORTH
CAROLINA, a body corporate and politic and a political subdivision of the State of North
Carolina ("Purchaser").
WITNES SETH:
WHEREAS, Seller and Purchaser entered into an Agreement of Purchase and Sale (Office
Building) made effective February 1, 2008 (the "Agreement"), which Agreement provides for the
sale and purchase of a public library to be constructed and located in Hillsborough, North Carolina;
and
WHEREAS, the parties have previously agreed to amend the Agreement and agree the
Agreement needs further amendment all as described herein.
NOW, THEREFORE, in consideration of good and valuable consideration, the mutual
receipt and legal sufficiency of which are hereby acknowledged, the parties agree as follows:
1. Incorporation of Preamble and Recitals. The preamble and recitals to this
Amendment are hereby incorporated herein by reference and made a part. of this Amendment.
2. Definitions. All. capitalized terms used and not otherwise defined herein shall
have the meanings ascribed to them in the Agreement. All references in the Agreement to "this
Agreement" shall be deemed to be the Agreement as amended by this Amendment unless the
context requires otherwise.
3. Paragraph 2.01 of the Agreement is deleted in its entirety and replaced with the
.following:
2.01 The purchase price (the "Purchase Price") for the Property shall be Twelve
Million One Hundred Nine Thousand Sixty-Nine and No/100 Dollars ($12,109,069.00)
as shown on the attached EXHIBIT B less a credit in the amount set forth in Section 2.03
below, and as may be further adjusted as provided in this Section and in SECTION 3,
payable in immediately available funds to Seller at Closing.
4. Paragraph 2.02 of the Agreement is deleted in its entirety and replaced with the
following:
2.02 The Purchase Price shall be increased by such amount(s) as may be
necessary to compensate Seller for (a) any Building construction costs and/or expenses
not included in the Guaranteed Maximum Price (as hereina$er defined) that are
compensable pursuant to the Agreement For Construction Manager at Risk Services, as
amended ("the Construction Agreement"), by and between Seller and Purchaser, and (b)
any Building construction costs and/or expenses not included in the Building
Construction Budget that are incurred by Seller by reason of a change order or change
order directive issued by Purchaser. The Purchase Price purchases .the Property and
includes (1) the construction of the shell of the Building, (2) the exterior improvements to
the Real Property and (3) the Interior Upfit Allowance, which, among other things, make
up the "Guaranteed Maximum Price."
2
5. Paragraph 2.03 of the- Agreement is deleted in its entirety and replaced with the
following:
2.03 The Purchase Price shall be credited by Two Hundred Seven Thousand
Three Hundred Ninety-Four and No/100 Dollars ($207,394.00), the cost of all design
professionals whose contract(s) are assigned to Purchaser pursuant to N.C. Gen.- Stat.
Section 143-64.31 less any amount of such budgeted cost Seller has paid such design
professionals as shown on the attached EXHIBIT C.
6. Paragraph 5.04 of the Agreement is deleted in its entirety and replaced with the
following:
5.04 As a further condition precedent to Purchaser's obligation to close the
purchase. of the Property, Seller and Purchaser shall have made and entered into a written
lease agreement pursuant to which Seller shall lease to Purchaser, upon terms and
conditions mutually .satisfactory to Seller and Purchaser, the exclusive use of the
Allocated Parking Spaces. As used herein, "Allocated Parking Spaces" shall mean two
hundred (200) parking spaces in the parking deck constructed by Seller on a tract of land
lying south of the Property and north of N & K Street which shall be allocated for the
exclusive use of the owner of the Building and ,such owner's tenants, employees,
customers, guests, licensees and invitees. Allocated Parking Spaces was determined by
subtracting from two hundred forty-three (243) the number of parking spaces which shall
have been licensed by Seller to Purchaser or otherwise made available or reserved for the
exclusive use of Purchaser within the project complex (including the Real Property, the
parking deck, the proposed Orange County library tract and the Gateway Center Building
tract). Seller and Purchaser acknowledge that it is their intent that a total of two hundred
3
forty-three (243) parking spaces shall be allocated to Purchaser within the project
complex for Purchaser's use of the Building, Units 200 and 300 in the Gateway Center
Building and the proposed Orange County library. Only to the extent that such parking
spaces could not be accommodated within the project complex and outside the parking
deck were parking spaces allocated to Purchaser within the parking deck.
7. The preamble to Section 9 of the Agreement is deleted in its entirety and replaced
with the following:
Seller represents and warrants to Buyer (each of which representations and
warranties shall be true as of the Date of Agreement and as of the Closing) as follows:
8. Continued Force and Effect. The Parties confirm the Agreement as amended by
this Amendment and acknowledge and agree that, as amended by this Amendment, the
Agreement is binding and is and remains in full force and effect.
9. Counterparts. This Amendment maybe executed in any number of counterparts
and all so executed shall constitute one agreement binding on all parties hereto, notwithstanding
that all Parties have not signed the same counterpart. Any signature delivered by a party by
facsimile transmission or by sending a scanned copy of the executed Amendment by electronic
mail shall be deemed, and shall have the same force and effect as, an original signature hereto.
[Signature Page to Follow)
4
IN WITNESS WHEREOF, Seller and Purchaser have each caused this Agreement to be
executed by its duly authorized representative(s) as of the day and year indicated below.
SELLER:
Telesis Construction Management, LLC,
a North Carolina limited liability company
By:. ~tS~ )
AGeorge . Horto ,III, Member/Manager
By: ~ ~ (SEAL)
By: .. ~
Q-~
Name: ~ ~r~ f~arv~~'~
Title: ~~? ~ ~ ~3 0 CL
Dater ~/~ Co~o2 d d ~
James ~rker, Member/Manager
Dat : 1 Q
PURCHASER:
Orange County, North Carolina, a bod p1cQ,~¢~
and corporate and a political subdivi 'o ~' -
State of North Carolina $
~,,
F:\Lisa\orangecounty\Office Building Purchase Agreement Amendment final.doc
5
Exhibit B: Purchase and Sale Amendment Reconciliation: Office. Bldg para 2.01
Original Contract Purchase Price
Sustainable 4 Pipe HVAC System'
Office Bldg
11,276,122
280,708
Generator, Structural Steel, and Site Revisions2 432,388
Contract Upfit Allowance Adjustment3
119,851
Amended Purchase Price 12,109,069
Footnotes
1 -This represents the sustainable designs approved by the BOCC on 11/6/08
2 -These costs are approved alternates and changes to those alternates that arrived after bid. The changes
are the result of 1)post-design structural steel reinforcement for roof mounting of the generators instead of
generator placement in the alleyway between the two buildings, a change needed to accommodate service
vehicles in the alleyway; 2) the availability of more efficient HVAC controls for more efficient and sustainable
operation of the office building; and 3) mathematical reconciliation between the conventional design and the
sustainable design costs. These additional costs are reasonable for the work to be performed.
3 -Adjustments made due to the actual bid cost of the building upfits related to the contractual allowances
described in paragraph 2.02 of the original Purchase and Sale Agreement.
F~chibit C: Design Cost Credit due to County: Orange County Office Bldg pars 2.03
Brockwetl & Associates Architecture
Development Plan
Architecture
Structural Engineer
EDi Engineering
Plumbing, Mechanical and Electrical Engineering
Construction Administration Fee Adjustment
Total of Contract Amounts
Less Contract Fees Paid by Telesis-Original'
- Construdian Admin2
Credit Sum due Orange Goun~y
by Orange County
Office Bldg
4,200
142,435
35,000
67,600
9,828
259,063
(46,755)
(4,914)
207,394
1 -The basic services fees for design of the Office Building and Library wen=. included in
the original Purchase and Sale Agreement with Telesis Constnx~ion Management.
Since these fees are now the County's. tespansibility, the fees are being credited in.this
Agreement to the County. The original fees of $397,806 were approved by-the BOCC
on 12/11/O7. This net figure represents the true cxedit.since Telesis had previously paid
$74,215 of this $397,806. The number footnoted is the office building share of the
amount paid by Telesis.
2 -The professional design fees thgt were originally represented in the Purchase and
Sate Agreement did not include design and engineering construction administration :.
fees. This amount representsa credit to the County for frfty percent of the total of
$15,600 of additional fees. Telesis Construction Managemenrt has agreed to pay the
other half. The number footnoted is the office building share of the amount paid by
Telesis.