Approved Agreements and Contracts 2025/11/25 Amendment to Froebel Purchase Agreement

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                                                                           LIAS- FY CH)

                                             |   CITY OF


                                    W& MUSKEGON
                          Agenda Item Review Form
                          Muskegon City Commission

Commission Meeting Date: November 25, 2025           Title: Amendment to Froebel Purchase
                                                     Agreement


Submitted by: Jake Eckholm, Development              Department: Economic Development
Services Director


Brief Summary:
Samaritas is requesting an extension on closing on the former Froebel Schoo! building for the Froebel
Place Apartments project. They are also requesting to split the lot and have the city retain the large
vacant area on Jackson.

Detailed Summary & Background:
With the changes to the scoring system for LIHTC that has been codified this year by the Michigan
Statewide Housing Development Authority, there are 3-5 additional points available for a project in
the event the parcel has been subject to a Request for Proposals to seek redevelopment by the
community in the preceding 24 monihs. In the event that Samaritas closed on the whole property
now, that would not be the case and would make any future application for a new consiruction
phase at Froebel non-competitive. Therefore, staff and Samaritas have prepared the attached
addendum to the original purchase agreement which provides an updated legal description
reflecting the lot split, and also extends the closing deadline to better align with the State Land Bank
Blight Elimination Grant requirements.

Goal/Action Item:
2027 Goal 2: Economic Develooment 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:
NA


Fund(s) or Accouni(s):                                Budget Amendment Needed:
NA                                                     Yes           No            N/A P|
Recommended Motion:
Motion to approve the addendum as presented, and to authorize the City Manager to sign.

Approvals:                                            Name the Policy/Ordinance Followed:
 Immediate Division
 Head
COMMERCIAL
ALLIANCE OF
                                                                             ADDENDUM#                    |
     REALTORS”

               NAI Wisinski of West Michigan
Office of:                                                                                                                                                          ,REALTOR®
Grand Rapids                                                                         Michigan, Phone: 616-250-8151                                   FAx: 616-776-0101

Email; Jackg@naiwwm.com                                                                       Date:                                                      , Time:

                                                             8/14/2023
 .   Addendum to Agreement dated                                                  covering property commonly known as:


     417 JACKSON AVE, MUSKEGON, MI 49442


      Permanent Parcel Number 61-24-205-024-0001-00
      This Addendum to be an integral part of the Agreement, which is amended as follows:

       THE "LAND" SHALL BE AMMENDED AND REDUCED TO THE FOLLOWING LEGAL DESCRIPTION:
       All that part of Blocks 25, 26 and 27 of the CITY OF MUSKEGON REVISED PLAT OF 1903 described as: BEGINNING at the
       Northwest corner of Block 26, said point being the intersection of the South right of way line of Jackson Avenue (66 feet wide) and
       the East right of way line of Wood Street (66 feet wide); thence South 87°51'42" East 369.73 feet along the north line of said
       Blocks 26 and 25 and South right of way line of Jackson Avenue; thence South 02°05'21" West 346.12 feet; thence North 87°
       49'19" West 213.60 feet parallel with the northerly right of way of Sumner Avenue (66 feet wide); thence South 02°05'21" West
       182.05 feet to a point on the North right of way line of said Sumner Avenue; thence North 87°49'19" West 156.13 feet along said
       line to its intersection with the East right of way line of Wood Street; thence North 02°05'21" East 527.92 feet along said line and
       the West line of Blocks 27 and 26 to the place of beginning.
       Containing 156,347 Square feet (3.59 acres), more or less. Subject to any and all easements of record.
       The Financing Contingency Period shall extend the buyer's obligation purchase contingent upon obtaining financing to "December
       31, 2026" The Closing Date shall be extended to "December 31, 2026"
The Agreement, as amended by the above, constitutes the entire agreement between the parties relative to the subject matter of the Agreement. If there
is a conflict between the terms of this Addendum and the Agreement, the terms of this Addendum shall control. Except as expressly amended by this
Addendum, all terms and conditions of the Agreement remain in full force and effect.

3.    By signing below, Buyer/Tenant acknowledges having read and received a copy of this agreement.
                     Samaritas Affordable Living Froebel LDHA LP
       Buyer/Tenant:                                                                             Buyer/Tenant:
              UT.                     .      ,                                                            (print name of individual or entity)

       Signature: /           <_                7
                                                             ; ; L,                              Signature:
       Its: Managing General                          Partner, Sole Member, CEO                  ieee
                (if Buyer is an entity)                                                                       (if Buyer is an entity)


       Buyer/Tenant Address: 8131 East Jefferson Avenue                                          Bus. Phone:                                          Fax:
        Detroit, Ml 48214                                                                        Email:


4.     By signing below, Seller/Landlord acknowledges having read and received a copy of this agreement.
                                    CITY OF MUSKEGON
       Seller/Landlord:                                                                          Seller/Landlord:
                                 e of individual or     entity)                                               (print name of individual or entity)


                                                                                                 Signature:




                                                                                                 Its:
                (if Seller is an entity)                                                                      (if Seller is an entity)

                                                     933 TERRACE STREET
       Seller/Landlord Address:                                                                  Bus. Phone:                                          Fax:

         MUSKEGON, MI, 49440
                                                                                                 Email:



       Copyright Commercial Aliance of REALTORS® 2025-2026
       Revision Date 5/2025

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