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Agenda Item 8AAGENDA ITEM # 8A JUNE 13, 2011 CITY COMMISSION MEETING STAFF REPORT AGENDA ITEM: Request from Beaches Habitat for Relief of Lien on Dutton Island Road Property SUBMITTED BY: Jim Hanson, C ity Man DATE: May 24, 2011 BACKGROUND: Beaches Habitat for Humanity recently received title to a substandard lot on Dutton Island Road (172198 - 0100). That lot had been overgrown and a blighting condition for many years prior to the Habitat ownership. City crews were required to clean it up on several occasions. A lien had been placed on the property for approximately $5,800 to recoup City costs. Staff from Beaches Habitat concluded that the lot was too small to build upon and proposed to establish a community garden on the property. They asked the City of Atlantic Beach to forgive the lien so that they could proceed with the project. A concern from City staff was that the property may fall back into a state of disrepair if the garden project was not successful and the City would be called upon again to clear the lot. The City Commission decided to defer a decision on the Habitat request to give attorneys for the City and Habitat time to work out a solution. A solution has now been found that appears to solve all of the problems. Beaches Habitat has prepared a Corporate Warranty Deed to transfer the title of the property to the City of Atlantic Beach. This deed (copy attached) contains the following condition; "This deed is made and accepted on the condition that the Property may be used by Grantor [Beaches Habitat for Humanity Inc.], its successors and assigns, solely for the purpose of maintaining a community garden hereon satisfactorily to Grantee [City of Atlantic Beach]. If the property is not used as a community garden and properly maintained, the Grantor, its successors or assigns shall automatically forfeit all rights and interests thereto." It is hoped that the community garden will turn out to be a community asset and eliminate the blighted condition that has existed in the past. However, if it does not, then the wording on this deed will give the City the ability to seek other, permanent solutions. BUDGET: We do not anticipate any significant cost in accepting this deed and there are no future obligations on the part of the City as long as Beaches Habitat AGENDA ITEM # 8A JUNE 13, 2011 maintains the community garden. If it ceases to be used as a community garden, the City would anticipate minor legal expenses in disposing of the property. RECOMMENDATION: Authorize the acceptance of the Corporate Warranty Deed for the property on Dutton Isle Rd. (172198 -0100) ATTACHMENTS: (1) Corporate Warranty Deed May 31 11 12:17p Alan Jensen 904 -246 -9960 AGENDA ITEM #8A JUNE 13, 2011 This instrument was prepared by: HAYWOOD M. BALL, ESQUIRE DONAHOO, BALL & MCMENAMY, P.A. 50 North Laura Street, Suite 2925 Jacksonville, Florida 32202 (904) 354 -8080 R.E.# 172198 -0100 CORPORATE SPECIAL WARRANTY DEED THIS DEED made this of May, 2011, by BEACHES HABITAT FOR HUMANITY, INC., a not for profit Florida corporation (the "Grantor"), whose mailing address is 1671 Francis Avenue, Atlantic Beach, Florida 32233, to CITY OF ATLANTIC BEACH, a municipal corporation (the "Grantee "), whose mailing address is 800 Seminole Road, Atlantic Beach, Florida 32233. WITNESSETH: That Grantor, for and in consideration of the sum of TEN DOLLARS ($10.00) and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, has granted, bargained and sold to Grantee the real property located in Duval County, Florida, described as follows (the "Property'): Lot 11, except the South 154 feet, Block 1, DONNER'S REPLAT, according to the plat thereof as recorded in Plat Book 19, Page 16, of the public records of Duval County, Florida. TO HAVE AND TO HOLD the same unto the Grantee, it's successors and assigns, in fee simple, forever. This deed is made and accepted on the condition that the Property may be used by Grantor, its successors and assigns, solely for the purpose of maintaining a community garden thereon satisfactory to Grantee. If the Property is not used as a community garden and properly maintained, Grantor, it's successors and assigns, shall automatically forfeit all rights and interest thereto. This conveyance is made subject to covenants, restrictions, conditions, easements and other matters of record, and taxes and assessments accruing subsequent to December 31, 2009. And Grantor does hereby fully warrant the title to the Property against the claims of all persons who derive a lawful claim thereto by, through or under the Grantor, and Grantor will defend the title against any such lawful claims, but against none other. Ma,m 31 11 12:17p Alan Jensen 904 -246 -9960 AGENDA ITEM # 8A JUNE 13, 2011 IN WITNESS WHEREOF, the said Grantor has caused this instrument to be executed in its name by its duly authorized officer and caused its corporate seal to be affixed the day and year first above written. Signed and delivered in the presence of: Witne 1 --:. ....!N- ..............:....] Print name below signature Witness ( ...... x' �R- Y.' �S ........}3......- ��..........� Print name below signature STATE OF FLORIDA COUNTY OF DUVAL BEACHES HABITAT FOR HUMANITY, INC., a not for profit Florida corporation s Y• HAYWOOD M. BALL Vice President — Real Estate The foregoing instrument was acknowledged before me this Z254 day of May, 2011, by HAYWOOD M. BALL, as Vice President -Real Estate of BEACHES HABITAT FOR HUMANITY, INC., a not for profit Florida corporation, the Grantor named therein, who [X] is personally known to me or [ ] has produced a Floa drivers license as identification [check one]. I /o) JF1dNIFERM.HME -CRUZ w COMMIMON I EE 036607 '7 5 EXPIRES: November 11. 2014 . kridedrnruNotuy Public Urd&nwrhrs Stktp/of Flo a at Large Print name below signature My Commission Expires: v� My Commission No.: ra