HomeMy WebLinkAboutlanduse case.AG.Smuggler Trailer Park.47AG.47AG.1980
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10, 1981
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Loretta Banner, Recorder OOOK 409
SETTLEMENT AGREEMENT
THIS SETTLEMENT AGREEMENT made this o?~ i day ef
~ ' 1980, by and ameng the Aspen Mountain Park
Partnership, a Colorado General Partnership ("AMP"'), the City
ef Aspen ("City") and the Smuggler Trailer Park Homeowners
Asseciatien ("Association").
WHEREAS, AMP is the owner ef the Aspen Meuntain Park
("the Park") fermerly the Smuggler Trailer Park, a, mebile home
park consisting of appreximately 87 mebile home sites, situate
within the City ef Aspen upen the real preperty me,re particularly
described in Exhibit "A" hereto (hereinafter semetimes the "real
property"); and,
WHEREAS, the Association is an asseciati'on ef the
residents, er ewners, er beth of the Park; and,
WHEREAS, altheugh not restricted in terms of rental and
resale price centrels by deed, cevenant, legislation, er etherwise,
the Park historically has supplied a significant portien ef the
employee housing inventory of the City; and,
WHEREAS, AMP purchased the Park fer inveistment purpeses
wi th a view teward developing the entire real prop,erty intO' a
first class mobile home rental park; and,
WHEREAS, en Octeber 9, 1979, AMP issued ,to tenants a
netice of a substantial rent increase fer mebile home spaces
within the Park; and,
WHEREAS, in respense to such rental increase, the City
threatened and began the preliminary institutien of eminent
domain preceedings; and,
WHEREAS, in active negetiatiens, the City and AMP have
pursued the resolution ef en-going disputes concerning the
Park in relatien to' (a) the monthly rents charged by AMP per
mobile heme space,(b) the installatien ef capital imprevements
in the Park and (c) the preservatien ef the Park as a seurce of
housing for local empleyees by means of cendemnation, rent
centrol legislation, or the like; and,
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WHEREAS, AMP and the City finally entered into the
Agreement in Principle attached hereto as Exhibit "B" with a
view toward resolving the disputes above-described pursuant to
which, inter alia, the City was to purchase the Park from AMP
for resale to the owners of the mobile homes; and,
WHEREAS, neither the City nor the owners of mobile
homes within the Park were able to consummate the purchase of the
Park pursuant to the Agreement in Principle, due to financial
limitations; and,
WHEREAS, due to a combination of the constant threat of
condemnation, resident unrest caused by potential displacement,
and inadequacy of rents due to controls directly imposed by the
City, AMP has agreed to divert from its original intent to
develop the entire real property as a first class mobile home
rental park and has decided instead to liquidate its investment
in the entire real property; and,
WHEREAS, in an effort to arrive at a mutually
satisfactory settlement of the disputes above-described, AMP
has expended considerable sums for legal,surveying, architectural,
and project consultation fees at the behest of the City once it
became evident that neither the City nor the Association
financially were capable of consummating the Agreement in
Principle above-described; and,
WHEREAS, the City and AMP have agreed that the real
property may best be liquidated and employee housing units preserve
by providing for different arrangements in connection with differe
portions of the real property; and,
WHEREAS, in order to remove the cloud of threatened
condemnation to protect the City from the possible loss of a
significant source of housing for local employees, and to
protect the investments of Association members in their mobile
homes from escalating rents beyond their control, the parties
are mutually desirous of settling the dispute above-described
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in the manner hereinbelow set forth, without resort, or further
threatened resort, to formal legal proceedings, including eminent
domain proceedings.
NOW THEREFORE, in consideration of the foregoing
premises, the making and performance of the mutual obligations
and convenants herein contained, and other good and valuable
consideration, the receipt, sufficiency and adequacy of which
hereby are acknowledged, IT IS AGREED THAT:
1. IMPROVEMENTS TO PARK. AMP shall, as soon hereafter
as reasonably may be practical, undertake to relocate below grade
certain electrical wiring within the Park, relocate and upgrade
the water and sewer distribution system due to any relocation of
existing mobile homes as hereinafter provided; provide for the
installation of additional fire hydrants at such locations as the
City may request; and relocate and resurface the roadway system
within the Park in order to accomodate any relocation of existing
mobile homes and turning radii sufficient for emergency and
support vehicles.
2. SALE OF MOBILE HOME SPACES. The present owners of
mobile homes within the Park shall have the right, collectively or
following the sale or exchange of the Park as hereinafter provided,
to purchase the mobile home spaces for a purchase price equivalent
to $25,000.00 per space. This offer shall remain open for a
period of time coterminous with the time required for all parties
to employ their best efforts to complete financing arrangements
for the purchase, but in no event later than Qt,4ohtl" --1-., 198'.
AMP and the City will employ their best efforts to arrange
financing for all owners who elect to purchase their spaces and
the Association agrees fully to cooperate with AMP and the City
in this regard in terms of compiling such information as
prospective lenders may require, and the like. AMP will, if
necessary, provide carryback financing for up to 25% of the owners
who elect to purchase their space but who are unable to qualify
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for conventional outside financing. The $25,000.00 purchase price
above-provided shall, at the election of the members of the
Association involved in the purchase, be deemed a mean per space
price; provided, however, that the Association members shall be
required among themselves to apportion the purchase price as shall
yield, upon closing, a sum equal to $25,000.00 times the number of
spaces involved in the transaction. In the event that the actual
cost of improvements described in paragraph one (1) hereinabove
is less than the product of $2,500.00 times the number of spaces
involved in, the sale transaction, the difference shall by AMP
be set aside for the benefit of the Association for such further
improvements to the Park as the Association deems necessary or
advisable.
3. STRUCTURE OF SALE. Closing of the purchase and sale
of the mobile home spaces shall be conditioned upon receipt of the
governmental approvals necessary for the developments hereinafter
provided and will occur at a mutually agreed upon date as soon
hereafter as reasonably may be practical given (a) the efforts
above-described to arrange financing and (b) the time required
to obtain the governmental approvals for such developments. In
order sooner to liquidate its investment hereunder, AMP shall have
the right to sell to or exchange with a third party the entire
real property or any portion thereof. Such third party shall
be entitled to all the rights granted hereunder and shall be bound
by all terms of this Agreement. Upon the closing of any such
sale or exchange, such third party shall in writing assume any and
all obligations hereunder. Notwithstanding such sale or exchange,
AMP shall be entitled to reserve unto itself the rights to develop
as set forth in paragraphs 5 and 7 hereinbelow.
4. RENTAL AND RESALE PRICE CONTROLS. From and afterth
Closing above-provided, all spaces within the Park, including the
mobile homes thereupon situate, shall be appropriately restricted
in terms of rental and resale price controls in the manner
presently generally applied throughout the City and in which the
City at the time determines to be in the community's better
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interest: to the end that then and thereafter the entire Park shall
be and remain controlled employee housing within the meaning of
existing legislation concerning housing of that character, and
as such generally applicable legislation may from time to time
be amended. Any mobile home spaces that are not sold to the
owners of mobile homes and, hence, become owned by AMP shall
continue either to be rented or later sold by AMP at a monthly
rental or for a sales price, as the case may be, which shall be
consistent with their controlled character. Furthermore, the
owners of mobile homes who do not elect to purchase their lots
shall not be entitled to sublet all or any portion of their
mobile homes except under such terms as are consistent with the
controlled character of this housing.
5. EXPANSION OF PARK. The Park will be expanded in
size principally in the rear acreage to accomodate 26 additional
mobile homes. Expansion and the relocation of any existing mobile
homes in connection therewith will be done at the expense of AMP
in the manner least in the circumstances intrusive upon existing
mobile homes and in accordance with a plan prepared pursuant to
Specially Planned Area criteria of the City Code. These mobile
homes and the spaces they occupy within the Park will be offered
for sale, unfurnished, at a purchase price not to exceed $70,000.00,
and appropriately restricted in the manner set forth in paragraph
4, hereinabove.
6. RELOCATION OF EXISTING SINGLE FAMILY HOME. The
existing victorian style single-story frame house presently
situate in the front portion of the Park shall be relocated and
either :tesubdivided elsewhere within the real.property or, at AMP'
discretion, relocated outside the Park.
7. FREE MARKET DEVELOPMENT. AMP shall by the City be
given the right to develop 19 free market units on property, as
yet undetermined, either within the City or, if outside, capable
of being annexed. This development right shall be transferable
and assignable. Development shall proceed in accordance with
existing zoning affecting the property or, in the case of annexed
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property, with Specially Planned Area criteria. The City agrees
(a) tQ enact such enabling legislation or amendments to existing
legislation, including to its Growth Management. quota system
legislation, as would accommodate and permit the foregoing
development right in exchange for the conversion to employee
housing of the Park and the addition of 26 new employee housing
units, all as set forth above; and (b) on the application of
AMP, to annex any property that may hereafter be acquired by AMP
for the purposes of the free market development above-described,
provided that such property otherwise is eligible for annexation
as eligibility is determined under Section 31-12-104, C.R.S., 1973.
8. RETAINED PARCEL. AMP shall retain ownership of the
quadrilateral shaped piece of property consisting of ~ ~ acres
and situate at thenortheasternmost section of the property
described in Exhibit "A" hereto.
9. FURTHER DOCUMENTS, COOPERATION, GOVERNMENTAL
APPROVALS, DISCLOSURE. The parties agree fully to cooperate with
each other to the end that the terms, conditions and provisions
hereof shall be fully implemented and effectual and to execute
such further documetns consistent herewith as may, in the
circumstances, be necessary. The parties recognize that in order
to effectuate this Settlement Agreement further public proceedings
and applications may be necessary. AMP agrees to process any
such further applications as may reasonably be necessary and the
Association agrees to support such applications that are consistent'
with this Settlement Agreement. The City, including its staff
and elected officials, agrees, to the maximum extent permissible,
consistent with statutory and other legal obligations, to take
such steps and grant such approvals as are consistent herewith
and as may be necessary. The parties agree that this Settlement
Agreement and any other understanding shall be fully and publicly
disclosed.
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10.
The parties
COVENANT AGAINST SUIT FOE Dfu~AGES.
Ii agree and acknowledge that no action at law for damages shall be
II maintainable against the City in the
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it and in good faith that enabling legislation to effectuate this
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Ii Agreement may not be passed; provided, however, that the City
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ii acknowledges, agrees and intends that, in reliance upon this
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,: Agreement, AMP (al shall immediately undertake to perform its
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obligations hereunder, including installation of park improvementsi
arrangements .for financial assistance in connection \vith the. sale'
of the Park, and sale of the Park all as above provided and (b)
may enter into binding contracts for the purchase of property for
purposes of free market unit development, all to the end that
principles of vested rights and equitable estoppel, as contrasted
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I from monetary damages, shall apply to protect such reliance
II activities of AMp notwithstanding the inability of the City to
II pass such, enabling legislation; and, provided further that in
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Ii the event this Agreement shall become the subject of litigation
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I' commenced by other than the parties hereto AMP shall defend,
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.1: indemnify and hold the City harmless from and against any and
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ii all costs associated with such litigation..
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IN WITNESS WHEREOF the parties have executed this
instrument the day and year first above written.
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ATTEST:
CITY OF ASPEN
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'H<:.rl,,~n'JEElSl..,z, !lB.Y9~/lJ "'T
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ASPEN MOUNTAIN PARK PARTNERSHIP
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By,
SMUGGLER TRAILER PARK HOMEWONERS
ASSOCIATION
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