Encroachment Agreement between City-HOA-Chan Three(reserved for recording information)
ENCROACHMENT AGREEMENT
AGREEMENT made this +h day of Ivl�t' , 2020, by and between the
CITY OF CHANHASSEN, a Minnesota municipal corporation ("City"), and THE BLUFFS AT
LAKE LUCY HOMEOWNERS ASSOCIATION, a Minnesota non-profit corporation
("HOA") and CHAN THREE DEVELOPMENT, INC., a Minnesota corporation ("Developer").
1. BACKGROUND.
A. City is the fee owner of certain real property located in the City of Chanhassen
legally described as follows:
Outlots A and B, The Bluffs of Lake Lucy, Carver County, Minnesota,
according to the recorded plat thereof
("Subject Property")
B. The HOA is the homeowner's association for ail lots within The Bluffs at Lake
Lucy plat.
C. Developer is the owner of certain real property being platted as Lots 1 and 2, Block
1, The Bluffs at Lake Lucy, Carver County, Minnesota, according to the recorded plat thereof
("Developer Property").
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C. The HOA is the owner of an irrigation and re -use system to be installed by
Developer within the City Property, City drainage and utility easements within Developer Property
("Easement Areas") and within the boulevard areas of Della Drive, a City right of way, located
within The Bluffs at Lake Lucy ("Boulevards") and has requested authorization from the City to
encroach on the City Property for the re -use systems as depicted on the attached Exhibit "A" and
for an irrigation system to be located within the Boulevards.
2. ENCROACHMENT AUTHORIZATION. The City hereby approves the
encroachment on the City Property for the re -use system and within the Easement Areas and
Boulevards for the irrigation system subject to the conditions set forth in this Agreement. Further
conditions of encroachment approval are:
• The City shall have no responsibility to maintain, inspect or repair the re -use system
located over the City Property or the irrigation system within the Easement Areas
and Boulevards.
• The re -use system located on the City Property must not impact or increase water
drainage on the City Property or cause any adverse drainage patterns or erosion to
the City Property.
• The HOA, its successors and assigns shall comply with all terms required by the
City under the Riley Purgatory Bluff Creek Declaration dated October 9, 2020 and
recorded October 12, 2020 with the Carver County Registrar as document number
TT215903 or any future amendments thereto ("Declaration").
• The HOA shall maintain the irrigation and the re -use system consistent with all
applicable federal, state and local laws and regulations.
• The HOA, its successors and assigns, are fully responsible and liable for any and
all damage caused to the irrigation and re -use system because of it being
constructed on the City Property, Easement Areas or Boulevards.
• The HOA, its successors and assigns, will own and maintain the re -use system
located on the City Property and the irrigation_ system located within the Easement
Areas and Boulevards.
3. NONCOMPLIANCE. In the event the HOA, its successors and assigns, fails to
maintain the re -use system on the City Property in accordance with the requirements of the
Declarations or this Agreement and such failure continues for 60 days after the City gives the HOA
written notice of such failure, the City may take whatever steps necessary to bring the re -use
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system into compliance with the Declarations and this Agreement or may terminate this
Agreement.
The City may charge the costs incurred under this Paragraph to the HOA, its successors
and assigns. The HOA shall reimburse the City for such costs within 30 days of billing by the
City. It is expressly understood and agreed that the City is under no obligation to bring the re -use
system into compliance with the Declarations, and in no event shall this Agreement be construed
to impose any such obligation on the City. In addition, the HOA agrees that it is, and will be,
solely responsible to address complaints and legal claims brought by any third party with regard
to the maintenance and operation of the re -use system and the consequences there from. The HOA
expressly agrees to defend and hold the City harmless from any such third -party claim.
4. REIMBURSEMENT OF COSTS. The HOA agrees to reimburse the City for all
costs incurred by the City in the enforcement of this Agreement, or any portion thereof, including
court costs and reasonable attorneys' fees.
5. INDEMNIFICATION. This Agreement imposes no liability of any kind
whatsoever on the City. The HOA and the Developer, their successors and assigns, hereby agree to
indemnify and 'void harmless the City and its agents and employees against any and all claims,
demands, losses, damages, and expenses (including reasonable attorneys' fees) arising out of or
resulting from the HOA or the HOA's agents, members or employee's negligent or intentional acts,
or any violation of any safety law, regulation or code in the performance of this Agreement, without
regard to any inspection or review made or not made by the City, its agents or employees or failure
by the City, its agents or employees to take any other prudent precautions. In the event the City,
upon the failure of the HOA to comply with any conditions of this Agreement, performs said
conditions pursuant to its authority in this Agreement, the Developer, it successors and assigns, and
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HOA shall indemnify and hold harmless the City, its employees, agents and representatives for its
own negligent acts in the performance of the HOA's required work under this Agreement, but this
indemnification shall not extend to intentional or grossly negligent acts by the City.
6. HOLD HARMLESS AND INDEMNITY. In consideration of being allowed to
encroach on the City Property, Easement Areas and Boulevards, the HOA and Developer, and
their successors and assigns, hereby agree to indemnify and hold the City, its officers, employees
and agents, harmless from any damage caused by the construction, installation and maintenance,
or lack thereof, of the re -use systems that are located on the City Property as depicted on Exhibit
"A" and the irrigation system located within Easement Areas or Boulevards, caused in whole or
in part by the encroachment on the City Property, Easement Areas and Boulevards.
7. TERMINATION OF AGREEMENT. The City may terminate this Agreement
at any time if the HOA fails to comply with the terms of this Agreement or it is reasonably
necessary for the City to occupy the City Property, Easement Areas or Boulevards and the
irrigation or re -use systems are inconsistent with the City's use of the City Property, Easement
Areas or Boulevards. Prior to termination, the City will give HOA and the Developer, or its
successors and assigns, thirty (30) days advance written notice, except that no notice period will
be required in the case of an emergency condition as determined solely by the City and this
Agreement may then be terminated immediately. The HOA and Developer, or their successors
and assigns, shall remove the irrigation or re -use systems to the extent either impacts the City
Property, Easement Areas or Boulevards or upon City termination of the Agreement, to the
effective date of the termination of this Agreement. If the HOA or Developer, or their successors
and assigns fail to do so, the City may remove the irrigation system or re -use system to the extent
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it impacts the City Property, Easement Areas or Boulevards and charge the cost of removal back
to HOA, or its successors and assigns, for reimbursement.
8. RECORDING. This Agreement shall run with the land and shall be recorded
against the title to the City Property and Developer Property.
[Remainder ofpage intentionally left blank.]
[Signature pages to follow.]
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CITY: CITY OF CHANHASSEN
By
(SEAL) Elise Ryan, Mayor
And
Heather John;tql, Interim City Manager
STATE OF MINNESOTA )
)ss.
COUNTY OF CARVER )
I The foregoing instrument was acknowledged before me this day of
�lOVerV r— , 2020, by Elise Ryan and by Heather Johnston, respectively the Mayor
and Interim City Manager of the City of Chanhassen, a Minnesota municipal corporation, on
behalf of the corporation and pursuant to the authority granted by its City Council.
--k �W -7 ,
Nota y Public
J
KIM T. MEUWISSEN
Notary Public -Minnesota
MY Commission Expires Jan 31, 2025
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HO.
STATE OF MINNESOTA )
)ss.
COUNTY OF
The foregoing instrument was acknowledged before me this 3"'-c4 day of
NoLq. - , 2020, by ON -K.,4 U kju the Q—u-i d of
The Bluffs at Lake Lucy HomeowneN Association, a Minnesota nonprofit corporation, on behalf
of the entity.
LORI L CLARK
No�ryub
Plic
AAIMOWU
31 2023
0j� 0-� aq�L
Notary Public
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DE
CH
:E
STATE OF MINNESOTA )
)ss.
COUNTY OF )
The foregoing instrument was acknowledged before me this 311-� day of
IU byk%..,�y— , 2020, by Craig Allen, the President of Chan Three Development, Inc., a
Minnesota corporation, on behalf of the entity, Grantor.
LORI L CLARK
Notary Public
IL
Minnesota
gx
31 2023
DRAFTED BY:
CAMPBELL KNUTSON,
Professional Association
Grand Oak Office Center I
860 Blue Gentian Road, Suite 290
Eagan, Minnesota 55121
Telephone: (651) 452-5000
AMP
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(& (J� CQ-�L'L
Notary Public
EXHIBIT "A"
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CONSENT TO ENCROACHMENT AGREEMENT
Bridgewater Bank, a Minnesota corporation, which holds a Mortgage filed the 12th day of
October, 2020, in the Office of the County Recorder in and for Carver County, Minnesota, as
Document No. T215904 on the subject property, the development of which is governed by the
foregoing Encroachment Agreement, agrees that the Encroachment Agreement shall remain in full
force and effect even if it lWecloses on its mortgage.
Av
Dated this day of 6UAI 020.
LIZ
STATE OF MINNESOTA )
) ss.
COUNTY OF
Thomas D. Johnson
Its: Senior Vice President
Construction Lending
The foregoing instrument was acknowledged before me the 2 "c( day of /yoy�, 2020, by
Thomas D. Johnson, the Senior Vice President Construction Lending of Bridgewater Bank, a
Corporation under the laws of Minnesota on behalf of the Corporation.
Notary Public
This Instrument Drafted By:
Custom Home Builders Title, LLC
10850 Old County Road 15
Plymouth, MN 55441
NADIYA S. RINGEN
Notary Public
Minnesota
My Commission Expires
January 31, 2025