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HomeMy WebLinkAboutDraft Agreement1. Dredge/Gradall Backhoe Grader Truck Dam TENTATIVE AGREEMENT RE: SEBASTIAN BETWEEN MAYOR FLOOD AND WAYNE ALLEN JULY 12, 1979 - $100,000 - 38,000 - 35,000 - 40,000 - 20,000 $233,000 2. Arterial roads - actual cost, General will pay up to $100,000, for City to contract for resurfacing. 3. City accept all drainage and roads, and release all bonds. 4. Donate park site. S. Boy Scout property - General provide easement and provide excavation work. City to file any necessary permit. 6. Pavement Test Program - General to provide boring results and bring up to standard, per prior discussions. 7. 50/50 share cost of paving access road. FLORIDA PUBLIC OFFERING STATEMENT Filed by: GENERAL DEVELOPMENT CORPORATION 1111 South Bayshore Drive Miami, Florida 33131 for Units 14 through 17 3,658 Residential and Duplex Homesites with a minimum of 10,000 square feet. Sections 12 and 13, Township 31 South, Range 38 East, and Sections 7, 18-20, 29 and 30, Township 31 South, Range 39 East. These lots were recorded in the Public Records of Indian River County, Florida on July 21, 1971, Plat Book 8, Page 43. Designated as: SEBASTIAN HIGHLANDS Effective Date: August 25, 1971 SELLER WILL RETAIN TITLE TO AND POSSESSION OF LOT UNTIL ALL PROMISED IMPROVEMENTS HAVE BEEN COMPLETED AND WARRANTY DEED DELIVERED. CENTRAL WATER IS APPROXIMATELY $350.00 FOR THE UTILITIES EXTENSION FEE AND CURRENTLY $75.00 FOR CONNECTION CHARGE CENTRAL SEWER IS APPROXIMATELY $650.00 FOR THE UTILITIES EXTENSION FEE. AN INQUIRY IS CURRENTLY BEING CONDUCTED BY THE FEDERAL TRADE COMMISSION. DETAILS OF THIS INQUIRY ARE INCLUDED IN PART IV. AS A PROSPECTIVE PURCHASER YOU SHOULD CAREFULLY READ THIS SECTION. "THIS PUBLIC OFFERING STATEMENT IS FOR INFORMATIONAL PURPOSES ONLY. THE DIVISION OF FLORIDA LAND SALES AND C(7ND01-IINIUMS HAS NEITHER APPROVED NOR DISAPPROVED THE MEI' QTS OF THIS OFFERI�ING. THE SUBDIVIDER IS RESPO"„iSIBLE =OR THE ACCURACY AND CO -,j PLETENESS OF THIS STATEMENT. REPORT DEVIATIONS OR MISREPRESENTATIONS TO DIVISION OF FLORIDA LAND SALF'S AND CONDOMINIUMS, JOHNS BUILDING, 725 SOUTH BRONOUGH STREET, TALLAHASSEE, t ;-ORIDA 32304.” 8153206 Printed in U. S. A. PART PROPERTY: The Sebastian Highlands subdivision is within the City of Sebastian in Indian River County, Florida and has a population of approximately 700. The subdivision is located on U. S. Highway #1, 12 miles north of Vero Beach, population 16,500, and 24 miles south of Melbourne, population 48,700. There are 3658 homesites, consisting of approximately 830 acres, being offered by this Offering Statement and are a minimum of 10,000 square feet, with the typical size homesite being 80 feet x 125 feet. There are approximately 5000 acres in the entire Sebastian Highlands subdivision. ENCUMBRANCES: This property is unencumbered, however it is subject to; public utility purposes, drainage ditches and canals, ani ordinances and other governmental regulations; (3) oil, gas any; and (4) restrictive covenants placed thereon by th building setback and square footage requirements and set the preservation and maintenance of the residential restrictions and amendments thereto were recorded in the on July 21, 1971. (1) easements which are reserved for ! public streets and roads; (2) zoning and mineral reservations, of record, if e Company, which establish minimum other standards usual and customary to character of the subdivision. These Public Records of Indian River County The Company will reserve in the Warranty Deed all water rights below 400' in depth, with no right of surface access on the property by the Company, and will also require the submission of all plans for structures to an Environmental Control Committee. ACCESS: Access will be over hard -surfaced, all weather streets having a right-of-way width of 50 feet and a minimum driving surface of 20 feet, which has been dedicated to the public as reflected in the Record Plats. LAND USE: Units 14, 15, 16 and 17 were recorded in the Public Records of Indian River County on July 21, 1971. The property has been platted into homesite lots. The soils are sandy and support a growth of pine, oak, palm, and palmetto. The topography of the property is generally flat, sloping approximately three feet per mile. The elevation of the land averages twenty feet above mean sea level. During wet weather the property does require drainage and provision for drainage has been made by the Company. Units 14, 15, 16 and 17 are zoned residential (R2) and Duplex (R2B). Fill may be required (to be furnished by the purchaser), depending upon the particular site and type of construction employed. Sebastian Highlands has been designated as flood prone by the Federal Insurance Administration Department of Housing and Urban Development, Washington, D. C. Indian River County is currently participating in this Federal Flood program which provides for the availability of federally assisted flood insurance to individual homeowners. Minimum floor elevations required in order for the homeowner to qualify for flood insurance have not been established as yet. Insurance is available at a current estimated rate of $25.00 per year minimum to a maximum subsidized rate of $87.50 per year for a $35,000 valuation (no coverage is required for over $35,000), and may be obtained from local insurance agencies. The homeowner may be required to show proof of such insurance before he can get financing for construction. PART II AREA FACILITIES: Police Protection - City of Sebastian Police Department is within 2 miles and provides police protection 24 hours per tfay. Fire Protection - A volunteer fire department is within 2 miles and is available 24 hours per day. Shopping - Limited shopping facilities are available in the City of Sebastian, within 1% miles. Full service shopping is available at Vero Beach, 12 miles south, and at Melbourne, 24 miles north. Hospitals - Indian River Memorial Hospital, with 160 beds is located in Vero Beach, 16 miles. Sebastian River Medical Center is 4 miles. Schools - The Sebastian Elementary is 4 miles north of the City of Sebastian; Vero Beach Junior and Senior High School is 16 miles south in Vero Beach; Indian River Junior College - 32 miles south in Fort Pierce; and Sebastian River Middle Junior High School is 2 miles west. 2 of 7 Houses of Worship - are located within the City of Sebastian, within 2 miles. Recreational Facilities - Within Sebastian Highlands are two lighted tennis courts, a city swimming lake, park and playground and recreation area. The City of Sebastian Yacht Club and Marina offers a community center, boat ramp and shuffleboard courts. Camping grounds, the Dale Wimbrow County Park, and a public beach on the ocean are within 10 miles. (Note: All distances to area facilities are measured in road miles from the entrance to Sebastian Highlands on U. S. Highway #1, 12 miles north of Vero Beach and 24 miles south of Melbourne, Florida. The farthest homesite being offered is 3 miles from the entrance.) PART III IMPROVEMENTS: Existing, Proposed and Completion Dates; The promised improvements to Sebastian Highlands Units 14, 15, 16 and 17 are streets, drainage, primary central water and central sewer systems. The streets and drainage have been completed in Units 14 and 15, and will be completed by December 31, 1983 in Units 16 and 17. The central water and central sewers will be completed as indicated in the "Water Supply" and "Sewage Disposal facilities" paragraphs below. Streets: The streets will be hard -surfaced, all weather streets having a right-of-way width of 50 feet and a minimum driving surface of 20 feet. Record plats indicating the location of the streets have been filed with Indian River County. The cost of construction of the streets are included in the price of the lot. Water Supply: A primary central water system will be installed by December 31, 1983. The secondary water lines from the primary system to the individual lot will be completed within 60 days of receipt of written notice from a property owner of commencement of construction of a house. The Declaration of Restrictions require that all property shall be connected to such central water service when made available. Commencing three years after the date of the Contract, the purchaser will pay a utilities extension fee (for main lines and plant capacity) at the monthly rate stated on the front of the Contract. (The estimated fee is $350 payable at $3.50 per month.)x- Fees will be deposited in an escrow account and interest will be accrued annually to this account based upon the average on deposit, at the passbook savings account rate paid on December 31st of each year by Citibank, N. A. Prior to commencement of service, the purchaser will pay the excess, if any, of the actual charge permitted by law to be made as a utilities extension fee (for main lines and plant capacity) over the amount previously paid. A separate connection charge (cur ;rently $75.00) will also be made at the time of hookup to cover the cost of installing a meter and a service line running from the secondary water line in front of the property to the property boundary line. Central water service is provided by General Development Utilities, Inc. The current minimum monthly billing is $3.25 for water. Sewage Disposal Facilities: A primary central sewer system will be installed by December 31, 1983. The secondary sewer lines from the primary system to the individual lot will be completed within 60 days of receipt of written notice from a property owner of commencement of construction of a house. The Declaration of Restrictions require that all property shall be connected to such central sewer system when made available. Commencing three years after the date of the Contract, the purchaser will pay a utilities extension fee (for plant capacity, main lines and service latc-al) at the monthly rate stated on the front of the Contract. The estimated fee is $650 payable at $6.50 per month.* Fees will be deposited in an escrow account and interest will be accrued annually to this account based on the average on deposit, at t: � passbook savings account rate p ;id on December 31st of each year by Citibank, N. A. Prior to commencement of service, the pLr. •haser will pay the excess if any, of the actual charge permitted by law to be made as a i. 1ities extension fee (for plant capacity, main lines and service lateral) over the amount previousl, paid. The service lateral portion of the utili `;cs extension fee is currently $65 and covers the cost of installing a service lateral running from she secondary sewer line to the lot boundary line. Central sewer service is provided by General Development Utilities, Inc. The current minimum monthly billing is $5.00 for sewer service. *The Company will collect the utilities extension fees as agent for General Development Utilities, Inc., which may use the fees for reimbursement of its central water and sewer plant construction costs and line extension costs expended to serve the individual lots. The specifications of the water and sewer facilities are approved by the Florida Department of 3 of 7 Environmental Regulation. Note: With reference to water and sewer facilities for duplex lots, the costs will depend on the size and capacity of the structures to be built. DRAINAGE: Drainage, meeting County requirements when the plat was recorded, will be provided by the Company along drainage rights-of-way dedicated to the public. The cost of the drainage facilities is included in the price of the lot. Individual Survey: All property covered by this Offering Statement is Platted of Record. Individual surveys are the responsibility of the purchaser and the present cost is approximately $125.00. Street Markers: Concrete post or metal pole type street markers are installed by the Company at the time of road completion. Special Construction: Contouring, landscaping and additional site preparation of individual lots will be the responsibility of the Purchaser. Maintenance: Maintenance of the water and sewer facilities in dedicated roadways and rights of way up to the property line is by General Development Utilities, Inc. The streets and drainage facilities will be maintained by the Company until accepted for maintenance by the City, after which the costs of such maintenance will be borne by the property owner through taxes levied by governmental authority. PART IV PUBLIC UTILITIES: Note: Public utilities in Florida are permitted to make an extension charge if service is desired in an area where growth is insufficient for the utility to recoup its investment upon an extension to facilities. Electricity - is provided by Florida Power and Light Company. Approximately $50.00 deposit is required. Telephone - Service is supplied by Southern Bell Telephone & Telegraph Company. Approximately 50.00 connection charge is required. Electricity and telephone charges are regulated by the Florida Public Service Commission. The utilities reserve the right to base deposit requirements on the basis of a purchasers' past experience with utility companies. Gas - Bottled gas is supplied by independent suppliers. PUBLIC TRANSPORTATION: Bus - The Greyhound Bus Lines Station is located in Vero Beach, approximately 12 miles south, and has service north and south from Vero beach. Train - Passenger service on Amtrak is available in West Palm Beach, Florida, approximately 80 miles south. Airports - Melbourne Airport, 26 miles north, has facilities for jet aircraft and is serviced with scheduled daily flights by Eastern and National Airlines. A Private airport is at Sebastian, 10 miles from the entrance. Taxi - Service is available in the City of Sebastian through a franchise with the City of Vero Beach, 12 miles south. School Bus - County School bus service is available to students attending those schools not available with the City of Sebastian. PRESENT DEVELOPMENT AND OCCUPANCY: At Sebastian Highlands there are approximately 280 houses existing and approximately 3 houses under construction. The present population is approximately 700, and every lot in this offering is within 5 miles of the population center. 4 of 7 GOVERNMENTAL CONTROL: Sebastian Highlands lies within the City of Sebastian, Indian River County, Florida. The City government is administered by a Mayor and Councilmen. The Council is responsible for the regulation of building construction, zoning, and local tax assessment. Sebastian Highlands is subject to City of Sebastian, Indian River County, and Upper St. Johns Drainage District taxes. The County seat is located at Vero Beach. Federal, State, and Local agency licenses, permits and approvals may be required as a condition to completion of the Company development plan, purchasers use and the development of his lot. Florida law provides for a $5000.00 Homestead Exemption on your residence. Purchaser should contact the Indian River Tax Assessor for details. FTC PROCEEDINGS: For the past several years, the Federal Trade Commission ("FTC") has been conducting an inquiry into the principal corporations engaged in the interstate sale of land, including General Development (the "Company"). In connection with this inquiry, the Company has been advised that the staff of the FTC has recommended that the FTC issue an administrative complaint against the Company alleging certain violations of Section 5 of the Federal Trade Commission Act which prohibits "unfair and deceptive trade practices" and seeking issuance of an administrative order requiring the Company to take remedial action. The FTC has not yet taken any action on the staff recommendation. Such action, if taken, would simply mark the beginning of a formal proceeding in which the truth or falsity of the allegations will be ruled upon after a hearing. The Company has advised the FTC staff that it denies that it has engaged in any such practices, that in its opinion the material allegations are without any factual basis whatever and consist in most cases of a verbatim copy of allegations contained in other FTC complaints against other unrelated companies engaged in the interstate sales of land, and that in addition the Company has numerous affirmative defenses to the proposed allegations. The Company has advised the FTC that if the proposed complaint is issued the Company intends to contest the matter vigorously. In an effort to resolve this matter the Company has been engaged in discussions with the FTC staff with a view to arriving at a proposed Consent Order on a negotiated basis, in lieu of administrative proceedings. Under the terms of such a proposed Consent Order the Company would deny that it had engaged in the alleged practices, but would agree to certain prospective modifications of its homesite contracts, its offering statements required under state and Federal law and its advertising and sales promotional materials. Such modification would include certain specific additional disclosures with respect to the speculative potential of a homesite purchase, the possibilities of a resale of a homesite lot, and other relevant matters. These disclosures would be in addition to other provisions and disclosures which the Company currently makes in such documents. In addition, the Company would agree to extend the purchaser's right of contract cancellation to 15 days from the date the customer signs the contract and would modify the Company's contractual right to retain all payments made upon cancellation of a purchaser's contract after default so as to limit the amount of such retention to the amount which would be recoverable as damages in a suit brought by the Company in a court of law. The Company would further agree to take certain measures to insure that oral representations made by its sales persons are not inconsistent with the written representations contained in the Company's sales documents, including establishing and enforcing a system of monitoring to insure Compliance with the proposed Consent Order, with appropriate penalties for any violation, including suspension or discharge of the offending salesperson. In the event that the matter cannot be resolved by means of a Consent Order the Company believes that the proposed administrative complaint, if and when issued, will contain allegations that the Company has engaged in such sales practices as the following: that the Company has misrepresented the investment potential of the Company's properties, the extent of development in the Company's communities and the existence of job opportunities at such communities; that the Company has not provided prospective purchasers with adequate opportunity to read contracts and property reports; and that the Company's practices of contractually providing that the customer will reimburse the Company for property taxes paid, in view of the fact that the customer will not be able to deduct such payments from his federal income tax, and the provision that the Company may retain all payments made by a customer upon cancellation by the Company of the customer's contract subsequent to the default of the customer, are both inherently "unfair and deceptive trade practices". The Company considers it likely that one of the following events will occur at some future time: (a) the FTC will issue an administrative complaint and commence administrative proceedings, or (b) the FTC and the Company will reach agreement on a Consent Order in settlement of the matter, substantially on the terms described above. In the event of a final adjudication of the matter pursuant to issuance of a complaint -id administrative proceedings, it is the Company's opinion that it will not be required to take any remedial action materially greater than as provided in its proposed Consent Order. PART V METHOD OF SALE: Agreement for Deed - The Contract for the Purchase of Land is in recordable form which enables 5 of 7 the purchaser to record his Contract at his expense in the Public Records. Such recording may effect the purchaser's rights under the Contract. The purchaser is urged to consult his attorney to ascertain his rights and obligations in the event of such recording. A properly executed Warranty Deed will be issued at the Company's expense when the property is paid in full, including utilities extension fees, if any, and any unpaid taxes for which Purchaser is obligated, and after the streets adjacent to the property are completed. Deed and Mortgage - The lots in this subdivision are not sold by Deed and Mortgage. Possession - Possession and use of the lot is retained by the Company until the purchase price and taxes are paid in full and the Warranty Deed delivered. Interest Rate - Varies between 6%z to 9% depending on the amount of down payment received from the purchaser. Prepayment Privileges - Purchaser has the right to prepay at any time, without penalty. Prepayment will not accelerate our obligation to deliver the Warranty Deed and Title Insurance Policy or to complete the street adjacent to Purchaser's property before the end of the Development Year. Transfer or Exchange Privilege - If payments are current, the Company guarantees the privilege to transfer equity (payments of principal and any utilities fees paid) at any time before the outstanding balance is paid in full. This transfer may be toward either (a) the purchase of available property of equal or higher price in this or any other of our Florida communities, or (b) the purchase of a home built by General Development in a designated shelter area. Equities in more than one lot may be transferred only to a like number of other lots or homes in a designated General Development shelter area. Refund Privilege - Purchasers, who so elect, by signing a Contract Rider, at the time they sign their Contract, will be entitled to a refund of all monies paid by said purchaser pursuant to their Contract, if, within six (6) months from the date General Development accepts the Contract, purchaser completes a guided tour of the community and immediately thereafter requests a refund, in writing, on forms provided by the Company. This refund privilege is personal to the purchaser and cannot be exercised by agents on behalf of the purchaser. THIS REFUND PRIVILEGE IS NOT AVAILABLE TO PURCHASERS WHO PURCHASE THEIR PROPERTY AT THE COMMUNITY. Taxes - Taxes will be prorated from the date of purchase. Annually, Purchaser (including prepaid accounts) will receive a notice of tax payment due for all taxes assessed on this property. Payment must be made to the Company as stated in said notice, or the contract will be subject to cancellation, in accordance with the terms and conditions stated therein. Any unpaid annual tax payment will be charged interest at the ANNUAL PERCENTAGE RATE specified on the contract. Termination Upon termination of the Contract for the Purchase of Land, due to default by the Purchaser, the Company will retain all monies the purchaser has paid, including principal, tax payments, utility fees and interest, as liquidated damages. Where the amount of principal paid by the purchaser exceeds the Company's actual damages, currently calculated at 52% of the Total Cash Purchase Price, the Company will refund to the Purchaser the amount of any such excess principal. All utility fees paid will be credited for the installation of utility facilities and are nonrefundable. TYPE OF SALES PROGRAM: Sales are conducted at the Company's sales office located in the Welcome Center and by the Company's branch sales offices and franchised agents located in many cities throughout the eastern two-thirds of the United States, in Canada, and in certain foreign countries. PART VI ADDITIONAL INFORMATION: HOMESITES ARE BEING OFFERED BY GENERAL DEVELORMENT FOR FUTURE USE IN BUILDING A HOME AND NOT AS A BUSINESS INVESTMENT. PROFIT ON A RESALE CANNOT BE GUARANTEED AND SHOULD NOT BE ASSUMED. Homesites prices are based on the cost of d :`ng business, the fact that the offering is for extended terms over a period of years, and other fac rs. Such prices may not necessarily reflect the level of market prices of similar property sold by others on different terms. General Development Corporation is a Delaware corporation, authorized to do business in Florida. It is a wholly-owned subsidiary of GDV, Inc., a Delaware corporation, authorized to do business in Florida. GDV, Inc. is a publicly held corporation, listed and traded on the New York Stock Exchange and regional stock exchanges. 6 of 7 NOTICE TO PURCHASERS THE PURCHASER SHOULD ASCERTAIN FOR HIMSELF THAT THE PROPERTY OFFERED MEETS HIS PERSONAL REQUIREMENTS AND EXPECTATIONS. MISUNDERSTANDINGS AS TO THE DESIRABILITY OF THE PROPERTY MAY ARISE WHEN THE PURCHASER FAILS TO UNDERSTAND THE NATURE OF THE PROPERTY OFFERED OR THE TERMS OF THE CONTRACT. BE SURE AND READ YOUR CONTRACT BEFORE YOU SIGN It is unlawful for anyone to make, or cause to be made to any prospective purchaser, any representation contrary to the foregoing or any representations which differ from the statements in this offering statement. If any such representations are made, please notify the Division of Florida Land Sales and Condominiums at the following address: Office of Division of Florida Land Sales and Condominiums Johns Building 725 South Bronough Street Tallahassee, Florida 32304 THE SUBDIVIDER IS REQUIRED TO GIVE YOU AN OPPORTUNITY TO READ THIS OFFERING STATEMENT BEFORE YOU ENTER INTO A PURCHASE AGREEMENT. DO NOT SIGN UNLESS YOU HAVE READ THE OFFERING STATEMENT SELLER WILL RETAIN TITLE TO AND POSSESSION OF LOT UNTIL ALL PROMISED IMPROVEMENTS HAVE BEEN COMPLETED AND WARRANTY DEED IS DELIVERED. CENTRAL WATER IS APPROXIMATELY $350.00 FOR THE UTILITIES EXTENSION FEE AND CURRENTLY $75.00 FOR CONNECTION CHARGE CENTRAL SEWER IS APPROXIMATELY $650.00 FOR THE UTILITIES EXTENSION FEE. RECEIPT OF FLORIDA PUBLIC OFFERING STATEMENT GENERAL DEVELOPMENT CORPORATION SEBASTIAN HIGHLANDS UNITS 14-17. I HAVE READ THE FLORIDA PUBLIC OFFERING STATEMENT. THE DATE OF THE COPY OF SAID REPORT WHICH I RECEIVED AND READ IS EFFECTIVE AUGUST 25, 1971, REVISED NAME TE NAME OF SALESPERSON ADDRESS THE SUBDIVIDER IS REQUIRED TO RETAIN THIS RECEIPT FOR THREE (3) YEARS OR TERM OF CONTRACT, WHICHEVER IS LONGER. Authority 478.041 (1) Law Implemented 478.24 and 478.121. 7 of 7