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ITEM: APPROVAL OF AMENDMENT TO ARTICLE 3, SECTION 3.2 OF THE PURCHASE AND SALE AGREEMENT WITH WELLINGTON PROPERTY OWNER LLC TO EXTEND THE DEADLINE FOR THE INSPECTION PERIOD TO SEPTEMBER 30, 2025
REQUEST: Approval of Amendment to Article 3, Section 3.2 of the purchase and sale agreement with Wellington Property Owner LLC to extend the deadline for the inspection period to September 30, 2025.
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EXPLANATION: Section 3.2 of the Purchase and Sale Agreement with the Related Ross entity known as Wellington Property Owner LLC contemplates that the Purchaser’s inspection period will conclude on July 21, 2025, triggering a number of other requirements and deadlines, including the deadline for it to exercise its option to purchase the Reservoir parcel at the same price per acre as provided for the balance of the property. In conducting its due diligence, Related has concerns about existing environmental conditions on the property and is further concerned about incorporating Acme’s current use into the stormwater management system for the project. Purchaser has been working with Village staff on an alternative plan for the Reservoir. Under this new plan, Related would purchase the land at the agreed upon purchase price, but rather than incorporate the functionality into the project’s water management system, ACME would instead disconnect its infrastructure from the site and route its water elsewhere independent of the site. Ms. Panse has been involved in these discussions and does not object to this new plan.
The PSA, as presently drafted, specifies that the Inspection Period, and therefore the deadline to exercise the Reservoir option, ends on July 21, 2025. The Purchaser is requesting an extension of the Inspection Period to provide sufficient time to allay any concerns about existing environmental conditions on the property and to work with staff to develop the new plan for the Reservoir. Accordingly, an amendment to the PSA is required. Once the new Reservoir plan is finalized, staff will bring back an additional amendment to the PSA to incorporate the new Reservoir plan into the Agreement. This initial amendment simply extends the Inspection Period and deadline to exercise the Reservoir option.
BUDGET AMENDMENT REQUIRED: NO
PUBLIC HEARING: NO QUASI-JUDICIAL: NO
FIRST READING: N/A SECOND READING:
LEGAL SUFFICIENCY: YES
FISCAL IMPACT: None
WELLINGTON FUNDAMENTAL: Responsive Government
RECOMMENDATION: Approval of Amendment to Article 3, Section 3.2 of the Purchase And Sale Agreement with Wellington Property Owner LLC to extend the deadline for the inspection period to September 30, 2025.