Approved Agreements and Contracts 2025/08/12 Sale of 619 Amity

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                                               CITY OF


                                 mi Ny & MUSKEGON

                          Agenda Item Review Form
                          Muskegon City Commission

Commission Meeting Date: August 12, 2025              Title: Sale of 619 Amity


Submitted by: Samantha Pulos, Code                    Department: Planning
Coordinator


Brief Summary:
Staff is seeking authorization to sell the City-owned vacant lot at 619 Amity to Four Properties LLC.

Detailed Summary & Background:
Four Properties LLC (Tyce VanNoord) would like to purchase the City-owned buildable lot at 619
Amity for $3,750 (75% of the True Cash Value of $5,000) plus half of the closing costs, and the fee to
register the deed. The parcel will be split into three buildable lots. Four Properties LLC will be
constructing a duplex and an accessory dwelling unit (ADU) on two of the properties, and a duplex
only on the third property; for a total of three duplexes and two ADUs.

Goal/Action ltem:
2027 Goal 2: Economic Development Housing and Business

is this a repeat item?:
Explain what change has been made fo justify bringing it back to Commission:

Amount Requested:                                     Budgeted Item:
n/a                                                    Yes            No           N/A      x


Fund(s) or Accouni(s):                                Budget Amendment Needed:
n/a                                                    Yes             No          N/A      x


Recommended Motion:
Authorize staff to sell the City-owned vacant lot at 619 Amity to Four Properties LLC.

Approvals:                                            Name the Policy/Ordinance Followed:
                                                      Master Plan, Zoning Ordinance, Policy for the Use
 immediate Division         x
                                                      & Sale of City-Owned Residential Property
 Head

 Information
 Technology

 Other Division Heads       x

 Communication

 Legal Review
                         PURCHASE AND DEVELOPMENT AGREEMENT


        This Purchase and Development Agreement (“Agreement”) is made August 12th, 2025 (“Effective
Date”), between the City of Muskegon, a Michigan municipal corporation, of 933 Terrace Street,
Muskegon, Michigan 49440 (“City”), and Four Properties LLC, a Michigan limited liability corporation,
of 6049 Clyde Park Ave SW, Byron Center, MI 49315, (“Developer”), with reference to the following facts:

                                                Background


        A.       City is the owner of one (1) buildable lot, being 619 Amity, more specifically described in
attached Exhibit A. Prior to closing, City shall split the lot into three (3) lots, more specifically described
in attached Exhibit B.


        B.       Developer proposes to purchase and develop the three (3) vacant lots owned by City, which
are all located in the City of Muskegon, Muskegon County, Michigan, and each commonly known and
legally described on the attached Exhibit B (each property individually, a “Parcel” and collectively “Project
Properties”).


         C.       City and Developer desire to establish the terms, covenants, and conditions upon which
City will sell and Developer will purchase and develop the Project Properties. Developer intends to develop
on two of the Project Properties a duplex and an accessory dwelling unit, and one of the Project Properties
a duplex only; for a total of three (3) duplexes and two (2) accessory dwelling units (the “Project”).

         Therefore, for good and valuable consideration, the parties agree as follows:

        1.      Sale and Purchase of Project Properties. City agrees to sell to Developer, and Developer
agrees to purchase from City, on the terms and subject to the conditions set forth in this Agreement, the
Project Property, subject to reservations, restrictions, and easements of record.

         2.      Purchase Price. The total purchase price for the Project Property shall be $3,750.00,
 which shall be paid in cash or other immediately available funds at Closing (defined below) less the $400
 deposit that the Developer has paid to the City of Muskegon.

 Pursuant to Paragraph 3(b) below, the parties acknowledge and agree that Developer shall be eligible to be
 reimbursed all or a portion of the purchase price for the Parcel upon the completion of certain design
 standards as further described herein.

         3.       Construction and Development Requirements,

                  a.      Construction Dates. The parties acknowledge and agree that Developer shall have
         a period of twenty-four (24) months from the date of Closing to complete the Project (“Construction
         Period”), except as otherwise provided in this Agreement or as otherwise mutually agreed upon by
         the parties in writing.

                  b.       Construction Details; Purchase Price Reimbursement. Developer’s construction
         and development of the Project Properties, including single-family homes, duplexes, triplexes, and
         accessory dwelling units, shall be in substantial conformance with its plans and specifications
        provided to City by Developer or as otherwise agreed upon in writing between City and Developer.
        As referenced above, Developer shall be eligible for reimbursement of all or a portion of the
        purchase price for the Project Properties upon Developer’s satisfaction of the following design
        standards for each single-family home, duplex, triplex, and accessory dwelling unit it constructs on
        the Project Properties. If the Project includes an accessory dwelling unit, both the primary dwelling
        unit (single-family home, duplex, triplex) and the accessory dwelling unit must meet the design
        standards outlined below to be eligible for reimbursement.



                           Design Standard                    Purchase Price Reimbursement for Parcel
             Open front porch of at least 60 sq. ft.                            20%
             Picture or bay window                                              20%
             Alley-loaded parcel                                                20%
             Shutter or other acceptable window                                 20%
             treatinents
             Underground Sprinkling                                             20%


        (By way of example only: If Developer completes three of the design standards listed above for
        the construction at the Parcel located at       619 Amity, Developer would be reimbursed $2,250.00,
        which is 60% of the $3,750.00 purchase price for this Parcel.       If Developer completes all five
        design standards, Developer would be reimbursed the entire purchase price for this Parcel, If
        Developer builds a duplex or small multiplex, Developer would be reimbursed 100% of the
        purchase price for this Parcel.)


        A,       Right of Reversion. Notwithstanding anything herein to the contrary, and as security for
Developer’s obligation to commence and complete construction of a duplex of the Project Properties, the
quit claim deed conveying the Project Properties to Developer shall contain a right of reversion in all of the
Project Properties (“City’s Reversionary Right”), which may be exercised by City, in its sole and absolute
discretion, if any of the following conditions occur:


                  a.       Developer does not commence construction within sixty (60) days after the date of
        Closing, in which case title to all of the Project Properties shall automatically revert to City upon
        the terms and conditions further provided in this Paragraph 4 below. For purposes of this Paragraph
        4(a), commencing construction means furnishing labor and materials to the Parcel of the Project
        Property and beginning installation of the approved duplex.


                  b.       Developer does not complete construction of the Project Property prior to
        expiration of the Construction Period, in which case title to any of the Project Properties that are
        not complete by the end of the Construction Period shall automatically revert to City upon the terms
        and conditions further provided in this Paragraph 4 below. For purposes of this Paragraph 4(b),
        completing construction means the issuance of an occupancy permit by City for the Project
        Property. Provided, however, the parties agree to reasonably negotiate an extension of the
        Construction Period up to a period of six (6) months for the Project Property that have a completed
        foundation before the expiration of the initial Construction Period.


If any of the above conditions occur, City shall automatically have City’s Reversionary Right to reacquire
title to the Project Property, as the case may be. To exercise City’s Reversionary Right described herein,
City must provide written notice to Developer (or its permitted successors, assigns, or transferees) within
thirty (30) days of Developer’s failure under this Agreement, but in any event prior to Developer satisfying
the conditions set forth in Paragraph 4(a) or Paragraph 4(b) above, as the case may be, and record such
notice with the Muskegon County Register of Deeds. Upon request of City, Developer shall take all
reasonable steps to ensure City acquires marketable title to the Project Property, as the case may be, through
its exercise of its rights under this Paragraph within thirty (0) days of City’s demand, including without
limitation, the execution of appropriate deeds and other documents,

In addition, if the Project Property revert to City, City may retain the purchase price for such Project
Property free and clear of any claim of Developer or its assigns. In the event of reversion of title of the
Project Property, improvements made on such Project Property shall become the property of City. In no
event shall the Project Property be in a worse condition than upon the date of Closing. These covenants and
conditions shall run with the land and be recorded in the quit claim deed from City to Developer,

        5.       Title Insurance. Within five (5) days after the Effective Date, Developer shall order a title
commitment for an extended coverage ALTA owner’s policy of title insurance issued by Transnation Title
Agency (the “Title Company”) for the Project Property in the amount of the total purchase price for the
Project Property and bearing a date later than the Effective Date, along with copies of all of the underlying
documents referenced therein (the “Title Commitment”). Developer shall cause the Title Company to issue
a marked-up commitment or pro forma owner’s policy with respect to the Project Property at the Closing
naming Developer as the insured and in form and substance reasonably satisfactory to Developer, but
subject to Permitted Exceptions (defined below). As soon as possible after the Closing, Developer shall
cause the Title Company to furnish to Developer an extended coverage ALTA owner’s policy of title
insurance with respect to the Project Property (the “Title Policy”), City shall be responsible for the cost of
the Title Policy; provided, however, Developer shall be solely responsible for the cost of any endorsements
 to the Title Policy that Developer desires.

           6.      Title Objections. Developer shall have until the end of the Inspection Period (as defined
 below)   within  which  to raise objections to the status of City’s title to the Project Properties. If objection to
 the title is made, City shall have seven (7) days from the date it is notified in writing of the particular defects
 claimed to either (a) remedy the objections, or (b) notify Developer that it will not remedy the objections.
 If Developer does not notify City in writing as to any title or survey objections, then Developer will be
 deemed to have accepted the condition of title as set forth in the Title Commitment. If City is unwilling or
 unable to remedy the title or obtain title insurance over such defects within the time period specified, then
 notwithstanding anything contained herein to the contrary, Developer may, at its option, upon written notice
 to City, either (i) terminate this Agreement and neither City nor Developer shall have any further obligation
 to the other pursuant to this Agreement, except as otherwise provided herein, or (ii) waive such objection,
 in which case such objection shall become a Permitted Exception, and thereafter proceed to the Closing
 according to the terms of this Agreement. Any matter disclosed on the Title Commitment that is waived or
 not objected to by Developer shall be deemed a “Permitted Exception.”

           7.      Property Taxes and Assessments. City shall be responsible for the payment of all real
  estate taxes and assessments that become due and payable prior to Closing, without proration. Developer
  shall be responsible for the payment of all real estate taxes and assessments that become due and payable
  after Closing, without proration.

          8.      Survey. Developer at its own expense may obtain a survey of any or all of the Project
  Property, and Buyer or its surveyor or other agents may enter any of the Project Property for that purpose
  prior to Closing. If no survey is obtained, Developer agrees that Developer is relying solely upon
  Developer's own judgment as to the location, boundaries, and area of the Project Property and
  improvements thereon without regard to any representations that may have been made by City or any other
  person. In the event that a survey by a registered land surveyor made prior to Closing discloses an
  encroachment or substantial variation from the presumed land boundaries or area, City shall have the option
of affecting a remedy within seven (7) days after disclosure, or terminate this Agreement. Developer may
elect to purchase the Project Property subject to said encroachment or variation.


        9.      Inspection Period. At Developer’s sole option and expense, Developer and Developer’s
agents may conduct inspections of each of the Project Property within thirty (30) days after the Effective
Date (“Inspection Period”), Developer’s inspection under this Paragraph may include, by way of example
but not limitation, inspections of any existing improvements to each Parcel, other systems servicing the
Parcel, zoning, and the suitability for Developer’s intended purposes for each Parcel. If Developer, in
Developet’s reasonable discretion, is not satisfied with the results of the inspections for any reason,
Developer shall notify City in writing of Developer’s prior to expiration of the 30-day Inspection Period. If
Developer so notifies City, this Agreement shall be terminated and have no further force and effect. If no
written objection is made by Developer within the stated period, this inspection contingency shall be
deemed to be waived by Developer and the parties shall proceed to Closing in accordance with the terms
of this Agreement.


         10.     Condition of Project Property. City and Developer acknowledge and agree that the Parcel
in the Project Property is being sold and delivered “AS IS”, “WHERE IS” in its present condition. Except
as specifically set forth in this Agreement or any written disclosure statements, City has not made, does not
make, and specifically disclaims any and all representations, watranties, or covenants of any kind or
character whatsoever, whether implied or express, oral or written, as to or with respect to (i) the value,
nature, quality, or condition of any of the Project Property, including without limitation, soil conditions,
and any environmental conditions; (ii) the suitability of the Project Property for any or all of Developer’s
activities and uses; (iii) the compliance of or by the Project Property with any laws, codes, or ordinances;
(iv) the habitability, marketability, profitability, or fitness for a particular purpose of the Project Property;
(v) existence in, on, under, or over the Project Property of any hazardous substances; or (vi) any other matter
with respect to the Project Property. Developer acknowledges and agrees that Developer has or will have
the opportunity to perform inspections of the Project Property pursuant to this Agreement and that
Developer is relying solely on Developer’s own investigation of the Project Property and not on any
information provided to or to be provided by City (except as specifically provided in this Agreement). If
the transaction contemplated herein closes, Developer agrees to accept the respective Project Property
acquired by Developer and waive all objections or claims against City arising from or related to such Project
Property and any improvements thereon except for a breach of any representations or warranties or
covenants specifically set forth in this Agreement. In the event this transaction closes, then subject to City’s
express representations, warranties, and covenants in this Agreement, Developer acknowledges and agrees
that it has determined that the respective Project Property it has acquired and all improvements thereon are
in a condition satisfactory to Developer based on Developer’s own inspections and due diligence, and
Developer has accepted such Project Property in their present condition and subject to ordinary wear and
tear up to the date of Closing, The terms of this Paragraph shal! survive the Closing and/or the delivery of
the deed.


        11.      Developer’s Representations and Warranties of Developer.                Developer represents,
covenants, and warrants the following to be true:


                 a       Authority, Developer has the power and authority to enter into and perform
        Developer’s obligations under this Agreement.


                 b.      Litigation. No judgment is outstanding against Developer and no litigation, action,
        suit, judgment, proceeding, or investigation is pending or outstanding before any forum, court, or
        governmental body, department or agency or, to the knowledge of Developer, threatened, that has
        the stated purpose or the probable effect of enjoining or preventing the Closing.
                c.        Bankruptcy. No insolvency proceeding, including, without limitation, bankruptcy,
       receivership, reorganization, composition, or arrangement with creditors, voluntary or involuntary,
        affecting Developer or any of Developer's assets or properties, is now or on the Closing Date will
        be pending or, to the knowledge of Developer, threatened.

       12.     Conditions Precedent. This Agreement and all of the obligations of Developer under this
Agreement are, at Developer’s option, subject to the fulfillment, before or at the time of the Closing, of
each of the following conditions:

                a,      Performance. The obligations, agreements, documents, and conditions required to
        be signed and performed by City shall have been performed and complied with before or at the date
        of the Closing.

                 b.        City Commission Approval. This Agreement is approved by the Muskegon City
        Commission.

         13.     Default.


                 a,      By Developer. In the event Developer fails to comply with any or all of the
         obligations, covenants, warranties, or agreements under this Agreement and such: default is not
         cured within ten (10) days after receipt of notice (other than Developer’s failure to tender the
         purchase price in full at Closing, a default for which no notice is required), then City may terminate
         this Agreement,


                 b,         By City. In the event City fails to comply with any or all of the obligations,
         covenants, warranties or agreements under this Agreement, and such default is not cured within ten
         (10) days after receipt of notice, then Developer may either terminate this Agreement or Developer
         may pursue its legal and/or equitable remedies against City including, without limitation, specific
         performance.


         14,         Closing.

                   a.     Date of Closing. The closing date of this sale shall be as mutually agreed by the
         parties, but  in no  event later than 60 days from the City Commission’s approval of the sale
         (“Closing”),  unless  this Agreement is terminated in accordance with its provisions. The Closing
         shall be. conducted  at such time and location as the parties mutually agree.

                     b.         Costs. The costs associated with this Agreement and the Closing shall be paid as
         follows: (i) Developer shall pay any state and county transfer taxes in the amount required by law;
         (ii) City shall pay the premium for the owner’s Title Policy, provided that Developer shall pay for
         any and all endorsements to the Title Policy that Developer desires; (iii) City shall be responsible
         to pay for the recording of any instrument that must be recorded to clear title to the extent required
         by this Agreement; (iv) Developer shall pay for the cost of recording the deed; and (v) Developer
          and City shall each pay one-half of any closing fees charged by the Title Company.

                     C.         Deliveries. At Closing, City shall deliver a quit claim deed for the Project
          Properties and Developer shall pay the purchase price. The quit claim deed to be delivered by City
          at closing shall include the City Right of Reversion described in Paragraph 4 above. The parties
          shall execute and deliver such other documents reasonably required to effectuate the transaction
          contemplated by this Agreement.
         15.     Real Estate Commission. Developer and City shall each be responsible for any fees for
any real estate agents, brokers, or salespersons regarding this sale that it has hired, but shall have
                                                                                                               no
obligation as to any fees for any real estate agents, brokers, or salespersons regarding this sale that the other
party has hired.


         16.      Notices. All notices, approvals, consents and other communications required under this
Agreement shall be in writing and shall be deemed given: (i) when delivered in person; (ii) when sent by
fax or email: (iii) when sent by a nationally-recognized receipted overnight delivery service with delivery
fees prepaid; or (iv) when sent by United States first-class, registered, or certified mail,
                                                                                             postage prepaid.
The notice shall be effective immediately upon personal delivery or upon transmission of the fax or email;
one day after depositing with a nationally recognized overnight delivery service; and five (5) days after
sending by first class, registered, or certified mail.


Notices shall be sent to the parties as follows:


        To City:         City of Muskegon
                         Attn.: Samantha Pulos, Code Coordinator
                         933 Terrace Street
                         Muskegon, MI 49440


        To Developer:    Four Properties LLC
                         6049 Clyde Park Ave SW, Byron Center, MI 49315
                         Cell: 616-729-2595
                         tyce@completeroofingrepair.com


        17.      Miscellaneous.


               a.      Governing Law. This Agreement will be governed by and                     interpreted   in
        accordance with the laws of the state of Michigan.


                 b.      Entire Agreement, This Agreement constitutes the entire agreement of the parties
        anid supersedes any other agreements, written or oral, that may have been made by and between the
        parties with respect to the subject matter of this Agreement. All contemporaneous or prior
        negotiations and representations have been merged into this Agreement.


               oF      Amendment, This Agreement shall not be modified or amended except in a
        subsequent writing signed by all parties,


                 d.      Binding Effect. This Agreement shall be binding upon and enforceable by the
        parties and their respective legal representatives, permitted successors, and assigns.


                e,       Counterparts. This Agreement may be executed in counterparts, and each set of
        duly delivered identical counterparts which includes all signatories, shall be deemed to be one
        original document.


                f.       Full Execution, This Agreement requires the signature of all parties. Until fully
        executed, on a single copy or in counterparts, this Agreement is of no binding force or effect and if
        not fully executed, this Agreement is void.


                g.      Non-Waiver. No waiver by any party of any provision of this Agreement shall
        constitute a waiver by such party of any other provision of this Agreement,
             h.      Severability. Should any one or more of the provisions of this Agreement be
     determined to be invalid, unlawful, or unenforceable in any respect, the validity, legality, and
     enforceability of the remaining provisions of this Agreement shall not in any way be impaired or
         affected.



                    i,        No Reliance. Bach party acknowledges that it has had full opportunity to consult
         with legal and financial advisors as it has been deemed necessary or advisable in connection with
         its decision to knowingly enter into this Agreement. Neither party has executed this Agreement in
         reliance on any representations, warranties, or statements made by the other party other than those
         expressly set forth in this Agreement.

                 }.     Assignment or Delegation. Except as otherwise specifically set forth in this
         Agreement, neither party shall assign all or any portion of its rights and obligations contained in
         this Agreement without the express or prior written approval of the other party, in which approval
         may be withheld in the other party's sole discretion.

                 k. .     Venue and Jurisdiction. The parties agree that for purposes of any dispute in
          connection with this Agreement, the Muskegon County Circuit Court shall have exclusive personal
          and subject matter jurisdiction and that Muskegon County is the exclusive venue.

          This Agreement is executed effective as of the Effective Date set forth above.

CITY:                                                        DEVELOPER:


CITY OF MUSKEGON                                             Four Properties L
                                                               ee




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Name:Ken Johnsoh                                             Dated:

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Name: Ann Marie Meisch
Title:      City Clerk
Dated:              C-iL-Laeil
                                              Exhibit A



The following described premises located in the City of Muskegon, County of
                                                                            Muskegon, State of
Michigan, and legally described as follows:


Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 LOT(S)
                                                                3, 4 &            1/4 LOT 5
BLK 52
Address: 619 AMITY AVE, MUSKEGON, MI 49442
Parcel #: 61-24-205-052-0003-00
Price: $3,750.00
(TO BE SPLIT INTO THREE BUILD-ABLE LOTS)
                                              Exhibit B



The following described premises located in the City of Muskegon, County of Muskegon, State of
Michigan, and legally described as follows:


Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 E50 FT LOT 3 BLK 52
Address: 609 AMITY AVE, MUSKEGON, MI 49442
Parcel #: TBD
Price: $1,250.00


Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 W 13.5 FT LOT 3 & EF 36.5
FT LOT 4 BLK 52
Address: 619 AMITY AVE, MUSKEGON, MI 49442
Parcel #: TBD                                             ;
Price: $1,250.00


Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 W 28 FT LOT 4 &               E% LOT
5 BLE 52
Address: 629 AMITY AVE, MUSKEGON, MI 49442
Parcel #: TBD
Price: $1,250.00

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