HomeMy WebLinkAbout2013-229 Finance - Ferrell Firm PC for Engagement for Legal Services: Title Opinion for SHSC Parcel and AMS North Campus $15,000 ` aot3 - � a4
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Ferrell Firm, P.C.
P.O.Box 16564
Chapel Hill,North Carolina 27516
Telephone(919)883-4%0
Fax(866)941-6233
BRIAN M.FERRELL
E-MAIL: brian aAferrelifirm.com
July 1,2013
John Roberts,Esquire
Orange County Attorney
P.O. Box 8181
Hillsborough,North Carolina 27278
RE: Engagement For Legal Services: Title Opinion For Southern Human Services
Center Parcel(PIN 9880-00-8527)&AMS North Campus Parcel(PIN 9865-83-
3029) in Furtherance of$9,975,000.00 Financing(the"Project")
Dear John:
I am pleased to assist the County with the preparation and delivery of a title opinion for the
Project upon the following terms and conditions. If agreeable to the County, please have this
letter of agreement countersigned as indicated below and return the same to my attention.
Title Search &Title Insurance
I will conduct title searches as described more fully in this letter on the parcels of land currently
owned by Orange County listed above. I will perform a title search of no less than 30 years on
both parcels. Following the title searches described above, I will prepare a title opinion for the
three parcels and procure a title insurance commitment from Investors Title Insurance Company
in the amount of$9,975,000.00 based on the same. The title commitment will secure issuance of
both lender's coverage and owner's coverage in the amount stated above.
Please be aware that matters of zoning and environmental hazards are not included in a
standard title search; hence, if you require additional information from me concerning
these issues,please so advise immediately. Zoning laws affect setback and use requirements to
name a few. Environmental hazards include, but are not limited to, the existence of radon gas,
lead-based paint,underground storage tanks and asbestos.
I am proceeding under the assumption no new survey will be drawn for either of these parcels
specifically for the Project. The County's owner's policy will make exception to matters of
survey unless a new plat is available. I recommend current surveys be prepared,specifically for
the AMS North Campus tract, given the number of combinations of parcels related to this tract
over the years. A new survey will reveal driveways, boundary overlaps, building overlaps, or
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other encroachments that may affect title. These encumbrances, as well as others that may be
identified by a modern and accurate survey which may have a significant impact on title, are
generally not discoverable without a survey and will not be located through my title examination
or a review of the existing recorded plats.
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I will not attend the closing on the Project conducted by the County's Bond Counsel,Bob Jessup.
However, following the closing I will obtain the Deed of Trust from the County to the lender and
record the same. Bond Counsel and I have arranged for the recording to occur on Monday,July
15, 2013. Following the closing, I will update title and record the deed of trust and any related
documents at the office of the Register of Deeds. Thereafter, I will prepare a final title opinion
to Investors Title.
This engagement is specifically limited to: (1) performing the title search described above on
behalf of Orange County; (2) preparing the title opinion discussed above on behalf of Orange
County; (3)procuring title insurance as described above; (4)disusing any issues lender's counsel
may have related to the title opinion; and (5) recording the documents listed above. I have not
and will not participate in any other matters relating to the Project, including preparing deeds of
trust,deeds, leases, closing statements,etc., or providing any legal advice to the County as to the
Project.
Fees
I will be the County on an hourly basis for the work described herein. My current hourly rate is
$225 per hour. The County also agrees to pay$75 per hour for the services of the title abstractor
I have engaged to collect the necessary documents from the office of the Register of Deeds. The
County is responsible for any and all costs associated with the Project (exclusive of mileage
reimbursement and long distance telephone calls which will not be charged to the County). The
County will pay all fees due my firm on the day of recording via wire transfer into my trust
account. The County will also arrange to deliver the recording fees, title insurance premium,and
tax stamps (if any) necessary to record any and all transaction documents in the Orange County
Registry and procure title insurance to me on the day of recording.
Please understand that I must charge for all work performed even if this transaction fails for any
reason. The total amount charged to the County for the work described herein will not exceed
Fifteen Thousand and 00/100 Dollars ($15,000.00).
Please do not hesitate to contact me with any questions or con s regarding this letter. I look
forward to working with you on this transaction on behalf o e County.
cerely,
ell
FIRM
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The legal services engagement described herein is understood and agreed to:
Orange County,North Carolina
By: "
Frank Clifton, ty Manager
Date: V -1 :3.--"�
This instrument has been pre-audited in the manner required by the Local Government Budget
an 6iZContspl Act
Orange County Finance Director
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