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HomeMy WebLinkAboutGilroy Gardens - Seller Estimated Closing Statement r,ge3@ Chicago Title Company 8060 Santa Teresa Blvd" Suite 100, Gilroy, CA 95020 408 842-8211 . FAX 408 842-4317 DATE: February 27, 2008 ESCROW NO.: 07-98702516-JW LOCATE NO.: CACTI7743-7743-2987-0098702516 ESCROW OFFICER: Jan Wallace TIME: 2:47 PM CLOSING DATE: February 29, 2008 SELLER ESTIMATED CLOSING STATEMENT SELLER: BUYER: PROPERTY: Gilroy Gardens Family Theme Park, A Delaware Non Profit Corporation City of Gilroy, a municipal corporation of the State of California Hecker Pass Highway, Gilroy, CA 95020 $ DEBITS $ CREDITS FINANCIAL: Total Consideration Trust Indenture deposits from Bond Trustee - est 14,250,000.00 471,178.00 PRORATIONS! ADJUSTMENTS: Funds delivered to Bond Trustee 14,250,000.00 ESTIMATED NET PROCEEDS DUE SELLER $471,178.00 $14,721,178.00 $14,721,178.00 ESTIMATED TOTALS The Undersigned hereby instruct and authorize Escrow Holder to disburse proceeds/refund as follows: [] TRANSFER [ ] All Net Proceeds/Refund, or [ ] $ TO: ATTN: ESCROW NUMBER: [] HOLD check for PICK UP [] CALL when check is ready for PICK UP, PHONE NUMBER: [] WIRE funds to (Bank Name): Bank Address: Account Holder Name: Routing Number: Account Number: For further credit to: Account Number: [ ] MAIL [] FEDERAL EXPRESS check to: & ~/~ cZ/L1' Date: Gilroy Gardens Family liheme Park, A Delaware Non Profit Corporation ,) .' By: .. l/ '2------------ .' / Bob Kraemer (clsstmtpsn)(09-07) Initials .@ Chicago Title Company 8060 Santa Teresa Blvd., Suite 100, Gilroy, CA 95020 408 842-8211 · FAX 408 842-4317 SELLER'S ESCROW INSTRUCTIONS Date: February 27, 2008 Escrow No.: 07-98702516-JW Locate No.: CACTI7743-7743-2987-0098702516 Escrow Officer: Jan Wallace IjWe hand you herewith: - Deed from Gilroy Gardens Family Theme Park, Inc, a Delaware non profit corporation to City of Gilroy, a municipal corporation - Approved copy of Preliminary Report - written consent of Board of Directors of Gilroy Gardens Family Theme Park Inc., - amended bylaws - bill of sale, - assignment of Intagible property - copy of Certificate of Amendment of Articles of Incorporation from Bonfante Gardens to Gilroy Gardens - tax forms 1099, 593 and Non Foreign Investor Affidavit - owner declaration - Lease (2) and Memorandum of Lease which you are authorized to deliver and/or record when you hold a recordable form a deed of reconveyance of the Senior Bond Deed of trust ( as described in the Purchase and Sale Agreement) and has caused same to be duly recorded in the Officical records of Santa Clara County, and when Chicago Title Company has received, for the benefit of seller, all Trust Indenture deposits (as such term is defined in the Purchase and Sale Agreement) and in a position to distribute same to seller, and You are in a position to disburse sale proceeds in accordance with the estimated closing statement contained herein (subject to adjustment), and when you can procure/issue a binder of title insurance for CLTA Standard Coverage Policy - 1990 coverage form from Chicago Title Insurance Company with a liability of $14,250,000.00 on the property described in your Preliminary Report No. 98702516, dated January 16, 2008, a copy of which I/we have read and hereby approve. SHOWING TITLE VESTED IN: City of Gilroy, a municipal corporation FREE FROM ENCUMBRANCES EXCEPT: 1. Current general and special taxes for the Fiscal year in which this escrow closes first installment paid, second open and payable, and taxes for the ensuing year, if any, a lien not yet due and payable; 2. The lien of supplemental taxes, if any, assessed pursuant to the provisions of Chapter 3.5 (commencing with Section 75) of the Revenue and Taxation Code of the State of California; 3. Bonds and Assessments with no delinquent payments, if any; 4. Covenants, conditions, restrictions, reservations, easements and rights of way now of record, if any; 5. Exceptions numbered 2007-08 taxes fully paid, exceptions 20-39 inclusive, 42-56 inclusive, 58-7~;tnclusive, 76-84 inclusive as shown in your preliminary report. '. ) SELLERjTRANSFEROR STATES THAT PROPERTY ADDRESS IS: Hecker Pass Highway, Gilroy, CA 95020 PRORATIONS: Prorate as of Close of Escrow, on the basis of a 360 day year: none ADDmONAL INSTRUCTIONS: 1. CLOSE OF ESCROW: Close of escrow to be on or before February 29, 2008, thereafter, unless revoked by written demand on you by the undersigned in accordance with Paragraph 7 of General Provisions attached hereto and made a part hereof. 2. FACSIMILE SIGNATURE: Escrow Holder is hereby authorized and instructed that, in the event any party utilizes "facsimile" transmitted signed documents or instructions to Escrow Holder, you are to rely on the same for all escrow instruction purposes and the closing of escrow as if they bore original signatures. Each party shall provide to the Continued on Following Page (nssins14)(09-06) Initials: Date:, February 27, 2008 Escrow No.: 07-98702516-JW ,Locate No.: CACTI7743-7743-2987-0098702516 Page 2 other party and to Escrow Holder, within 72 hours after transmission, duplicate original documents or instructions bearing the original signatures. Each party further acknowledges and agrees that documents with non-original signatures may not be accepted for recording by the County Recorder, therefore no closing or recording may take place without the submission of the original documents. 3. GOOD FUNDS-DISBURSE WHEN AVAILABLE: Buyer and Seller authorize and instruct Chicago Title Company to record all documents required in this escrow when all the conditions of this escrow have been met and upon receipt and deposit of all funds necessary to consummate this transaction in the form of a cashier's check, teller's check or certified check regardless of whether the funds are available for disbursement in accordance with California Insurance Code 12413.1. Immediately upon availability of the deposited instrument, Chicago Title Company is instructed to disburse all funds in accordance with these instructions and/or the attached estimated closing statement. 4. The undersigned principals to the above-referenced transaction do hereby authorize and instruct to release the documents that are pertinent to the successful closing of this transaction to the undersigned for signature outside of the Chicago Title Company office. It is understood by the undersigned parties that some of the documents provided will require Notarization, and as such the Notary will be someone other than an employee or authorized Notary of Chicago Title Company. The principals further understand and assume any and all liabilities in conjunction with providing this authorization and hereby release Chicago Title Company of any responsibility and liability of the affects of this action. 5. SUPPLEMENTAL TAX: As previously set forth herein, Escrow Holder is instructed to pro-rate taxes on the latest tax bill as of the close of escrow. In view of the change of ownership of the subject property which will take place on the close of this escrow, due to the passage of Chapter 498 and 1102, Statutes of 1983 of the State of California (commonly referred to as Senate Bill No. 813 and Assembly Bill No. 399 respectively), it is to be expected that the taxing authorities will reassess the property and issue a subsequent tax bill. Seller and Buyer acknowledge their awareness of the foregoing and hereby release and relieve Escrow Holder of all liability in connection herewith, and Escrow Holder shall not be further concerned with the above reassessment in any respect. Continued on Following Page Initials: Date: February 27, 2008 Escrow No.: Q7-98702516-JW Locate No.: CACTI7743-7743-2987-0098702516 pagei.\ GENERAL PROVISIONS 1. DEPOSIT OF FUNDS The law dealing with the disbursement of funds requires that all funds be available for withdrawal as a matter of right by the title entity's escrow and/or sub escrow account prior to disbursement of any funds. Only cash or wire-transferred funds can be given immediate availability upon deposit. Cashier's checks, teller's checks and Certified checks may be available one business day after deposit. All other funds such as personal, corporate or partnership checks and drafts are subject to mandatory holding periods which may cause material delays in disbursement of funds in this escrow. In order to avoid delays, all fundings should be wire transferred. Outgoing wire transfers will not be authorized until confirmation of the respective incoming wire transfer or of availability of deposited checks. Deposit of funds into general escrow trust account unless instructed otherwise. You may instruct Escrow Holder to deposit your funds into an interest bearing account by signing and returning the "Notice of Opportunity to Open Interest Bearing Account", which has been provided to you. If you do not so instruct us, then all funds received in this escrow shall be deposited with other escrow funds in one or more general escrow trust accounts, which include both non-interest bearing demand accounts and other depository accounts of Escrow Holder, in any state or national bank or savings and loan association insured by the Federal Deposit Insurance Corporation (the "depository institutions") and may be transferred to any other such escrow trust accounts of Escrow Holder or one of its affiliates, either within or outside the State of California. A general escrow trust account is restricted and protected against claims by third parties and creditors of Escrow Holder and its affiliates. Receipt of benefits by Escrow Holder and affiliates. The parties to this escrow acknowledge that the maintenance of such general escrow trust accounts with some depository institutions may result in Escrow Holder or its affiliates being provided with an array of bank services, accommodations or other benefits by the depository institution. Some or all of these benefits may be considered interest due you under California Insurance Code Section 12413.5. Escrow Holder or its affiliates also may elect to enter into other business transactions with or obtain loans for investment or other purposes from the depository institution. All such services, accommodations, and other benefits shall accrue to Escrow Holder or its affiliates and Escrow Holder shall have no obligation to account to the parties to this escrow for the value of such services, accommodations, interest or other benefits. Said funds will not earn interest unless the instructions otherwise specifically state that funds shall be deposited in an interest-bearing account. All disbursements shall be made by check of Chicago Title Company. The principals to this escrow are hereby notified that the funds deposited herein are insured only to the limit provided by the Federal Deposit Insurance Corporation. Any instruction for bank wire will provide reasonable time or notice for Escrow Holder's compliance with such instruction. Escrow Holder's sole duty and responsibility shall be to place said wire transfer instructions with its wiring bank upon confirmation of (1) satisfaction of conditions precedent or (2) document recordation at close of escrow. Escrow Holder will NOT be held responsible for lost interest due to wire delays caused by any bank or the Federal Reserve System, and recommends that all parties make themselves aware of banking regulations with regard to placement of wires. In the event there is insufficient time to place a wire upon any such confirmation or the wires have closed for the day, the parties agree to provide written Instructions for an alternative method of disbursement. WITHOUT AN ALTERNATIVE DISBURSEMENT INSTRUCTION, FUNDS WILL BE HELD IN TRUST IN A NON-INTEREST BEARING ACCOUNT UNTIL THE NEXT OPPORTUNITY FOR WIRE PLACEMENT. 2. PRORATIONS AND ADJUSTMENTS All prorations and/or adjustments called for in this escrow are to be made on the basis of a thirty (30) day month unless otherwise instructed in writing. You are to use information contained on last available tax statement, rental statement as provided by the Seller, beneficiary's statement and fire insurance policy delivered into escrow for the prorations provided for herein. 3. SUPPLEMENTAL TAXES The within described property may be subject to supplemental real property taxes due to the change of ownership taking place through this escrow. Any supplemental real property taxes arising as a result of the transfer of the property to Buyer shall be the sole responsibility of Buyer and any supplemental real property taxes arising prior to the closing date shall be the sole responsibility of the Seller. TAX BILLS ISSUED AFTER CLOSE OF ESCROW SHALL BE HANDLED DIREcrL Y BETWEEN BUYER AND SELLER. 4.UTILrnES/POSSESSION Transfer of utilities and possession of the premises are to be settled by the parties directly and outside escrow. S. PREPARATION AND RECORDATION OF INSTRUMENTS Escrow Holder is authorized to prepare, obtain, record and deliver the necessary instruments to carry out the terms and conditions of this escrow and to order the policy of title insurance to be issued at close of escrow as called for in these instructions. Close of escrow shall mean the date instruments are recorded. 6. AUTHORIZATION TO FURNISH COPIES You are authorized to furnish copies of these instructions, supplements, amendments, notices of cancellation and closing statements, to the Real Estate Broker(s) and Lender(s) named in this escrow. Continued on Following Page 7. RIGHT OF CANCELLATION Any principal instructing you to cancel this escrow shall file notice of cancellation in your office in writing. You shall, within two (2) working days thereafter, deliver, one copy of such notice to each of the other principals at the addresses stated in this escrow. UNLESS WRITTEN OBJECTION TO CANCELLATION IS FILED IN YOUR OFFICE BY A PRINCIPAL WITHIN TEN (10) DAYS AFTER DATE OF SUCH MAILING, YOU ARE AUTHORIZED TO COMPLY WITH SUCH NOTICE AND DEMAND PAYMENT OF YOUR CANCELLATION CHARGES. If written objection is filed, you are authorized to hold all money and instruments in this escrow and take no further action until otherwise directed, either by the principals' mutual written instructions, or by final order of a court of competent jurisdiction. 8. PERSONAL PROPERTY No examination or insurance as to the amount or payment of personal property taxes is required unless specifically requested. By signing these General Provisions, the parties to the escrow hereby acknowledge that they are indemnifying the Escrow Holder against any and all matters relating to any "Bulk Sales" requirements, and instruct Escrow Agent to proceed with the closing of escrow without any consideration of matter of any nature whatsoever regarding "Bulk Sales" being handled through escrow. 9. RIGHT OF RESIGNATION Escrow Holder has the right to resign upon ten (10) days written notice delivered to the principals herein. If such right is exercised, all funds and documents shall be returned to the party who deposited them and Escrow Holder shall have no liability hereunder. 10. AUTHORIZATION TO EXECUTE ASSIGNMENT OF HAZARD INSURANCE POLICIES Either Buyer, Seller and/or Lender may hand you the insurance agent's name and insurance policy information, and you are to execute, on behalf of the principals hereto, form assignments of interest in any insurance policy (other than title insurance) called for in this escrow, forward assignment and policy to the insurance agent, requesting that the insurer consent to such transfer and/or attach a loss payable clause and/or such other endorsements as may be required, and forward such policy(s) to the principals entitled thereto. It is not your responsibility to verify the information handed you or the assignability of said insurance. Your sole duty is to forward said request to insurance agent at close of escrow, Further, there shall be no responsibility upon the part of Escrow Holder to renew hazard insurance policy(s) upon expiration or otherwise keep it in force either during or subsequent to the close of escrow, Cancellation of any existing hazard insurance policies is to be handled directly by the principals, and outside of escrow, 11. ACTION IN INTERPLEADER The principals hereto expressly agree that you, as Escrow Holder, have the absolute right at your election to file an action in interpleader requiring the principals to answer and litigate their several claims and rights among themselves and you are authorized to deposit with the clerk of the court all documents and funds held in this escrow. In the event such action is filed, the principals jointly and severally agree to pay your cancellation charges and costs, expenses and reasonable attorney's fees which you are required to expend or incur in such interpleader action, the amount thereof to be fixed and judgment therefore to be rendered by the court. Upon the filing of such action, you shall thereupon be fully released and discharged from all obligations imposed by the terms of this escrow or otherwise. 12. TERMINATION OF AGENCY OBLIGATION If there is no action taken on this escrow within six (6) months after the "time limit date" as set forth in the escrow instructions or written extension thereof, your agency obligation shall terminate at your option and all documents, monies or other items held by you shall be returned to the parties depositing same. In the event of cancellation of this escrow, whether it be at the request of any of the principals or otherwise, the fees and charges due Chicago Title Company, including expenditures incurred and/or authorized shall be borne equally by the parties hereto (unless otherwise agreed to specifically). 13. CONFLICTING INSTRUCTIONS Upon receipt of any conflicting instructions, you are to take no action in connection with this escrow until non-conflicting instructions are received from all of the principals to this escrow (subject to sections 7, 9, 11 and 12 above). 14. REIMBURSEMENT ATTORNEY FEES/ESCROW HOLDER In the event that a suit is brought by any party or parties to these escrow instructions to which the Escrow Holder is named as a party which results in a judgment in favor of the Escrow Holder and against a principal or principals herein, the principals or principals' agent agree to pay said Escrow Holder all costs, expenses and reasonable attorney's fees which it may expend or incur in said suit, the amount thereof to be fixed and judgment therefore to be rendered by the court in said suit. lS.DELIVERY/RECEIPT Delivery to principals as used in these instructions unless otherwise stated herein is to be by regular mail, and receipt is determinedto be 72 hours after such mailing. All documents, balances and statements due to the undersigned are to be mailed to the address shown herein. All notices, change of Instructions, communications and documents are to be delivered in writing to the office of Chicago Title Company as set forth herein. Initials: Date: February 27, 2008 Escrow No.: 07-98702516-JW Locate .No.: cACTI7743-77 4 3- 2987 -0098702516 Page 5 16. STATE/FEDERAL CODE NOTIFICATIONS According to Federal Law, the Seller, when applicable, will be required to complete a sales activity report that will be utilized to generate a 1099 statement to the Internal Revenue Service. Pursuant to State Law, prior to the close of escrow, Buyer will provide Escrow Holder with a Preliminary Change of Ownership Report. In the event said report Is not handed to Escrow Holder for submission to the County in which subject property is located, upon recording of the Grant Deed, Buyers acknowledge that the applicable fee will be assessed by said County and Escrow Holder shall debit the account of Buyer for same at close of escrow. Buyer and Seller herein represent and warrant that they will seek and obtain independent legal advice and counsel relative to their obligations under the "Foreign Investors In Real Property Act", and any other applicable federal and/or state laws regarding same, and will take all steps necessary in order to comply with such requirements and hereby hold you harmless relative to their compliance therewith. 17. ENCUMBRANCES Escrow Holder is to act upon any statements furnished by a lienholder or his agent without liability or responsibility for the accuracy of such statements. Any adjustments necessary because of a discrepancy between the information furnished Escrow Holder and any amount later determined to be correct shall be settled between the parties direct and outside of escrow. You are authorized, without the need for further approval, to debit my account for any fees and charges that I have agreed to pay in connection with this escrow, and for any amounts that I am obligated to pay to the holder of any lien or encumbrance to establish the title as insured by the policy of title Insurance called for in these instructions. If for any reason my account Is not debited for such amounts at the time of closing, I agree to pay them immediately upon demand, or to reimburse any other person or entity who has paid them. 18. ENVIRONMENTAL ISSUES Chicago Title Company has made no investigation concerning said property as to environmental/toxic waste issues. Any due diligence required or needed to determine environmental impact as to forms of toxification, if applicable, will be done directly and by principals outside of escrow. Chicago Title Company is released of any responsibility and/or liability in connection therewith. 19. USURY Escrow Holder is not to be concerned with any questions of usury in any loan or encumbrance involved in the processing of this escrow and is hereby released of any responsibility or liability therefore, 20. DISCLOSURE Escrow Holder's knowledge of matters affecting the property, provided such facts do not prevent compliance with these instructions, does not create any liability or duty in addition to these instructions. 21. FACSIMILE SIGNATURE Escrow Holder is hereby authorized and instructed that, in the event any party utilizes "facsimile" transmitted signed documents or instructions to Escrow Holder, you are to rely on the same for all escrow instruction purposes and the closing of escrow as if they bore original signatures. Each party shall make every effort to provide to the other party and to Escrow Holder, within 72 hours after transmission, duplicate original documents or instructions bearing the original signatures. Each party further acknowledges and agrees that documents with non-original signatures may not be accepted for recording by the County Recorder, therefore no closing or recording may take place without the submission of the original documents. 22. CLARIFICATION OF DUTIES Chicago Title Company serves ONLY as an Escrow Holder in connection with these instructions and cannot give legal advice to any party hereto. Escrow Holder is not to be held accountable or liable for the sufficiency or correctness as to form, manner of execution, or validity of any instrument deposited in this escrow, nor as to the identity, authority or rights of any person executing the same. Escrow Holder's duties hereunder shall be limited to the proper handling of such money and the proper safekeeping of such instruments, or other documents received by Escrow Holder, and for the disposition of same in accordance with the written instructions accepted by Escrow Holder. The agency and duties of Escrow Holder commence only upon receipt of copies of these Escrow Instructions executed by all parties. THIS AGREEMENT IN ALL PARTS APPLIES TO, INURES TO THE BENEFIT OF, AND BINDS ALL PARTIES HERETO, THEIR HEIRS, LEGATEES, DEVISEES, ADMINISTRATORS, EXECUTORS, SUCCESSORS AND ASSIGNS, AND WHENEVER THE CONTEXT SO REQUIRES THE MASCULINE GENDER INCLUDES THE FEMININE AND NEUTER, AND THE SINGULAR NUMBER INCLUDES THE PLURAL. THESE INSTRUCTIONS AND ANY OTHER AMENDMENTS MAY BE EXECUTED IN ANY NUMBER OF COUNTERPARTS, EACH OF WHICH SHALL BE CONSIDERED AS AN ORIGINAL AND BE EFFECTIVE AS SUCH. MY SIGNATURE HERETO CONSTITUTES INSTRUCTION TO ESCROW HOLDER OF ALL TERMS AND CONDmONS CONTAINED IN THIS AND ALL PRECEDING PAGES AND FURTHER SIGNIFIES THAT I HAVE READ AND UNDERSTAND THESE GENERAL PROVISIONS. Chicago Title Company conducts escrow business under a Certificate of Authority No. 350 issued by the California Department of Insurance. By: .'......~~ ... //':", ,.... Gilroy Gardens Family Th€;ffie Park, A Delaware Non Profit Corporation / / / ',/~/ ,~-' Robert Kraemer, president RECEIVED BY: Chicago Title Company BY: DATE: Fidelity National Title Grouo of Comoanies' Privacy Statement July I, 2001 We recognize and respect the privacy expectations of today's consumers and the requirements of applicable federal and state privacy laws. We believe that making you aware of how we use your non-public personal information ("Personal Information"), and to whom it is disclosed, will form the basis for a relationship of trust between us and the public that we serve. This Privacy Statement provides that explanation. We reserve the right to change this Privacy Statement from time to time consistent with applicable privacy laws. In the course of our business, we may collect Personal Information about you from the following sources: . From applications or other forms we receive from you or your authorized representative; . From your transactions with, or from the services being performed by, us, our affiliates, or others; . From our internet web sites; From the public records maintained by governmental entities that we either obtain directly from those entities, or from our affiliates or others; and From consumer or other reporting agencies. Our Policies Regarding the Protection of the Confidentiality and Security of Your Personal Information We maintain physical, electronic and procedural safeguards to protect your Personal Information from unauthorized access or intrusion, We limit access to the Personal Information only to those employees who need such access in connection with providing products or services to you or for other legitimate business purposes. Our Policies and Practices Regarding the Sharing of Your Personal Information We may share your Personal Information with our affiliates, such as insurance companies, agents, and other real estate settlement service providers, We also may disclose your Personal Information: to agents, brokers or representatives to provide you with services you have requested; to third-party contractors or service providers who provide services or perform marketing or other functions on our behalf; and . to others with whom we enter into joint marketing agreements for products or services that we believe you may find of interest. In addition, we will disclose your Personal Information when you direct or give us permission, when we are required by law to do so, or when we suspect fraudulent or criminal activities. We also may disclose your Personal Information when otherwise permitted by applicable privacy laws such as, for example, when disclosure is needed to enforce our rights arising out of any agreement, transaction or relationship with you. One of the important responsibilities of some of our affiliated companies is to record documents in the public domain. Such documents may contain your Personal Information. Right to Access Your Personal Information and Ability to Correct Errors or Request Changes or Deletion Certain states afford you the right to access your Personal Information and, under certain circumstances, to find out to whom your Personal Information has been disclosed. Also, certain states afford you the right to request correction, amendment or deletion of your Personal Information. We reserve the right, where permitted by law, to charge a reasonable fee to cover the costs incurred in responding to such requests, All requests must be made in writing to the following address: Fidelity National Title Group, Inc, Privacy Compliance Officer 601 Riverside Avenue Jacksonville, FL 32204 Multiple Products or Services If we provide you with more than one financial product or service, you may receive more than one privacy notice from us. We apologize for any inconvenience this may cause you. Privacy Statement (privacy) (11/0S) .. Chicago Title Company Proceeds from Real Estate Transactions as required by the Internal Revenue Service Substitute Form 1099-S Branch Address 8060 Santa Teresa Blvd., Suite 100 Gilroy, CA 95020 County Santa Clara County # 2987 This is important tax information and is being furnished to the Internal Revenue Service, as required by section 1521 of the Tax Reform Act of 1986. If you are required to file a return, a negligence penalty or other sanction will be imposed if this income is taxable and the IRS determines that it has not been reported. TYPE OR MACHINE PRINT ONLY Escrow No.: 07-98702516-JW Locate No.: CACTI7743-7743-2987-0098702516 PROPERTY ADDRESS - SEE PAGE 2 FOR EXAMPLES Hecker Pass Highway, Gilroy, CA 95020 Date of closing: Assessors Parcel Number (APN) - 783-05-011,12,13, 810-17-026,29,14,15,2124,25, 810-18-010,011,002, PROCEEDS FOR THIS SALE WENT TO: (MULTIPLE SELLERS - Use one form for each seller. Treat husband and wife as one seller (filing joint tax returns) unless requested otherwise, then separate forms must be used.) See page 2 before completing 31-1574450 1. Gilroy Gardens Family Theme Park, formerly Bonfante Gardens Inc. Sellers Name (First, MI, Last) 2. Federal Tax ID# for this seller (List only the Tax ID# for the seller listed on Line 1, spouse Tax ID# not required. Executor/Trustee should not list their name as the seller unless they are going to report the proceeds on their personal income tax return.) TOTAL CONSIDERATION (SEE PAGE 2 TO CALCULATE) $ 100 Total Consideration [ % Percentage of ownership for this seller [ $ GROSS Allocated Proceeds (Total consideration multiplied by percentage of ownership) $ Exchange (If checked) Check here if the maximum determinable proceeds cannot be determined with certainty Tax Credit to Seller MAILING ADDRESS: 3050 Hecker Pass Highway Check here if the address is outside of the U.S.A. Gilroy, California 95020 I hereby cel;t:ifY, under penalty of perjury, that I have read the above information and it is true and correct. .l/ Z/<>,(/'---'-_._-_..u T~ansferors Signature Glroy Gardens Family Theme Park, Inc. Date by: Robert Kraemer its: President Date CE-104 (1099) (Rev. 07-04) Page 1 Non-Foreign Certification - Transferee and Transferor GILROY GARDENS FAMILY THEME PARK, FORMERLY BONFNNTE GARDENS INC. 1. 2. is not a foreign corporation, foreign partnership, foreign trust, or foreign estate (as those terms are defined in the Internal Revenue Code and Income Tax Regulations); Gilroy Gardens Family Theme Park. Inc. is not a disregarded entity as defined in 91.1445-2(b )(2)( iii). 3. Gilroy Gardens Family Theme Park U.S. employer identification number is 31-1574450 ; and 4. The office address is 3050 Hecker Pass Highway. Gilroy. California 95020 The Transferor/Seller understands that this certification may be disclosed to the Internal Revenue Service by Transferee and that any false statement contained herein could be punished by fine, imprisonment, or both. Under penalties of perjury I declare that I have examined this certification and to the best of my knowledge and belief it is true, correct, and complete, and I further declare that I have authority to sign this document on behalf of Seller. J. ";J'_ .. . ~ By: Robert Kraemer Title: President Date: February 28. 2008 IV. Certification by Buyer I have examined this certification and to the best of my knowledge and belief it is true, correct and complete. Date: Buyer City of Gilroy, a municipal corporation by: Buyer Anna Jatezak Interim City Administra~or FIRPTA-1007-A (firptacert)(04-06 ) Page 2 of 2 Seller, Buyer and Escrow Holder to maintain a copy for five (5) years Rev. 10/31/03 YEAR CALIFORNIA FORM 2008 Real Estate Withholding Certificate 593-C Part I . Seller's Information Name (Including spouse/RDP, If Jointly owned. see instructions - type or print) Return this form to our escrow com an o SSN or mN 0 FEIN 0 CA Corp no, 3050 Hecker Pass Highway City ZIP Code Ownership Percentage 100 % Gilroy 95020 Property address (If no street address, provide parcel number and county) 3050 Hecker PaSS Highway, Gilroy, Ca 95020 Read the following and check the appropriate boxes. (See line-by-line notes in the instructions). Part II - Certifications which fully exempt the sale from withholding: YES NO 1. Does the property qualify as the seller's (or decedent's, if being sold by the decedent's estate) principal residence within the meaning of Internal Revenue Code (IRC) Section 121? ...............................,...........,..........................................,.........................,.............,..............,.0 0 2. Did the seller (or decedent, if being sold by the decedent's estate) last use the property as the seller's (decedent's) principal residence within the meaning of IRC Section 121 without regard to the two-year time period? ..................................,............,....,...........................,...... 0 0 3. Will the seller have a loss or zero gain for California income tax purposes on this sale? (To check YES, you must complete Form 593-E, Real Estate Withholding - Computation of Estimated Gain or Loss, and have a loss or zero gain on line 16)..,................................ 0 0 4. Is the property being compulsorily or involuntarily converted and does the seller intend to acquire property that is similar or related in service or use to qualify for nonrecognition of gain for California income tax purposes under IRC Section 1033?..,..,.........................,. 0 0 5. Will the transfer qualify for nonrecognition treatment under IRC Section 351 (transfer to a corporation controlled by the transferor) or IRC Section 721 (contribution to a partnership in exchange for a partnership interest)? .......,...................................................... 0 0 6. Is the seller a corporation (or an LLC classified as a corporation for federal and California income tax purposes) that is either / qualified through the California Secretary of State or has a permanent place of business in California? .............................................,...............Pl( 0 7. Is the seller a partnership (or an LLC that is classified as a partnership for federal and California income tax purposes and is not a disregarded single member LLC) with recorded title to the property in the name of the partnership or LLC? (If yes, the partnership or LLC must withhold on nonresident partners or members as required) ..............................,........................,.............. 0 0 8. Is the seller a tax-exempt entity under either California or federal law? ,....................................,......,....,..,.........,.......................................,... 0 0 9. Is the seller an insurance company, individual retirement account, qualified penSion/profit sharing plan, or charitable remainder trust? .. ..... .............. '................... ........ .................. ,...,...... ..........., '......, .... ......,....,......, ,...' ...... ............,....,'....,.,.... ........... ...... ..... 0 0 Part III - Certifications that may partially or fully exempt the sale from withholding: Real Estate Escrow Person: See instructions for amounts to withhold. 10. Will the transfer qualify as a simultaneous like-kind exchange within the meaning of IRC Section 10317.......,.......................................0 0 11. Will the transfer qualify as a deferred like-kind exchange within the meaning of IRC Section 1031 ?........................,.............................O 0 12. Will the transfer of this property be an installment sale that you will report as such for California tax purposes and has the buyer agreed to withhold on each principal payment instead of withholding the full amount at the time of transfer? ........................,....0 0 Part IV - Seller's Sianature Under penalties of perjury, I hereby certify that the information provided above is, to the best of my knowledge, true and correct. If conditions change, I will promptly inform the withholding agent. I understand that the Franchise Tax Board may review relevant escrow documents to ensure withholding compliance and that completing this form does not exempt me from filing a California income or franchis~ tali return to!report this sale, Seller's Name and Title Robert Kraemer, Pres Seller's Signature Gilroy Gardens Family Theme Park Inc. ~ ~~~m\~~KOC~X " Date Date Please verify that the SSN or ITIN listed above in Part I of this form is correct. Seller: If you checked YES to any question in Part II, you are exempt from real estate withholding, If you checked YES to any question in Part III, you may qualify for a partial or complete withholding exemption, If you checked NO to all of the questions in Part II and Part III, the withholding will be 3 1/3% (,0333) of the total sales pnce or the optional gain on sale withholding amount certified by seller on Form 593, If you are withheld upon, the withholding agent should give you one copy of Form 593, Real Estate Withholding Tax Statement. Attach a copy to the lower front of your California income tax return and make a copy for your records. You should keep Form 593-C for five years following the close of the transaction. You must furnish the form to the FTB upon request. 7131083 r- :or Privacy Notice, get form FTB 1131. Form 593-C C2 2007 Wallace,Jan From: Sent: To: Subject: David Nevis [DLN@millermorton.com] Wednesday, February 27, 2008 9:58 AM Wallace, Jan Fwd: Gilroy Gardens Tax ID Jan. Here is Gilroy Gardens Federal Tax ID#. David L. Nevis Miller, Morton, Caillat & Nevis 25 Metro Drive, 7th Floor San Jose, CA 95110 Telephone : ( 4 0 8 ) 292 - 1 7 6 5 Facsimile: (408) 436-8272 E-mail: dnevis@millermorton.com The information contained in this e-mail message is intended only for the personal and confidential use of the recipient(s) named above. This message may be an attorney-client communication and as such is privileged and confidential. If the reader of this message is not the intended recipient or an agent responsible for delivering it to the intended recipient, you are hereby notified that you have received this document in error and that any review, dissemination, distribution, or copying of this message is strictly prohibited. If you have received this communication in error, please notify us immediately bye-mail and delete the original message. >>> "Garay, Gabriela" <Maria.Garay@cagreatamerica.com> 2/26 Hi David, :,1.4 PM >>> Bob asked that I e-mail our..tax ID to you.. .the number is 31-1574450. Gaby x" ,// /' '"'-----..-...----.,.....-.,-,..... ,--._., ( , -...--.---..---....- -" @ Chicago Title Company 8060 Santa Teresa Blvd., Suite 100, Gilroy, CA 95020 408842-8211 . FAX 408 842-4317 ADDITIONAL ESCROW INSTRUCTIONS Date: February 27, 2008 Escrow No.: 07-98702516-JW Locate No.: CACTI7743-7743-2987-0098702516 TO: Chicago Title Company The previous instructions in this escrow are hereby modified and/or amended in the following particulars only: THE PURCHASE PRICE FOR THE PROPERTY IS APPROXIMATE. THE EXACT PURCHASE PRICE SHALL BE AN AMOUNT EQUAL TO A SUM WHICH IS SUFFICIENT TO (I) CAUSE THE DEFEASANCE OF ALL SENIOR LIEN BONDS OUTSTANDING AS OF NOV. 1, 2007, EXCLUDING SENIOR LIEN BONDS ( IF ANY) WHICH HAVE BEEN PURCHASED BY THE CITY AND TENDERED TO THE BOND TRUSTEE FOR RmREMENT, AS REQUIRED TO ENABLE THE EXECUTION, DELIVERY AND RECORDATIONN OF A DEED OF RECONVEYANCE OF THE SENIOR BOND DEED OF TRUST; AND (II) PAY ALL COSTS AND EXPENSES INCURRED TO EFFECTUIATE THE DEFEASANCE OF THE SENIOR LIEN BONDS, INCLUDING WITHOUT LIMITATIONS ALL ESCROW AND OTHER FEES AND COSTS CHARGED BY THE BOND TRUSTEE, BOND COUNSEL, VERIFICATION AGENT AND FINANCIAL ADVISORS. (\ \ i \./ I Gilroy Gardens Family Thefl)e Park, A Delaware Non Profit Corporation .1 .1 ,/ ,/ By: Robert/Kraemer (.'.,/ !/.I ,-_.>..,~..._._-~-'" ...' CE.l3 (Rev. 5/94) (addlnst)(2-01) ~) Chicago Title Company 8060 Santa Teresa Blvd., Suite 100, Gilroy, CA 95020 408842-8211. FAX 408842-4317 DATE: February 26, 2008 ESCROW NO: 07-98702516-JW LOCATE NO.: CACTI7743-7743-2987-0098702516 PROPERTY ADDRESS: Hecker Pass Highway, Gilroy, CA 95020 EFFECTIVE JANUARY 1, 2007 NOTIFICATION TO BUYER ON DISPOSITION OF CALIFORNIA REAL PROPERTY In accordance with Section 18662 of the Revenue and Taxation Code, a Buyer may be required to withhold an amount equal to 3 1/3 percent of the sale price or an alternative withholding amount certified by the Seller in the case of a disposition of California real property interest by either: 1. A Seller who is an individual, trust, estate, or when the disbursement instructions authorize the proceeds to be sent to a financial intermediary of the Seller, OR 2. A Corporate Seller that has no permanent place of business in California immediately after the transfer of title to the California property. The Buyer may become subject to penalty for failure to withhold an amount equal to the greater of 10 percent of the amount required to be withheld or five hundred dollars ($500). However, notwithstanding any other provision included in the California statutes referenced above, no Buyer will be required to withhold any amount or be subject to penalty for failure to withhold if any of the following apply: 1. The sale price of the California real property conveyed does not exceed one hundred thousand dollars ($100,000). 2. The Seller executes a written certificate, under the penalty of perjury, certifying that the Seller is a corporation with a permanent place of business in California. 3. The Seller, who is an individual, trust, estate, or a corporation without a permanent place of business in California, executes a written certificate, under the penalty of perjury, of any of the following: A. The California real property being conveyed is the Seller's or Decedent's principal residence (within the meaning of Section 121 of the Internal Revenue Code). B. The last use of the property being conveyed was use by the Transferor as the Transferor's principal residence (within the meaning of Section 121 of the Internal Revenue Code). C. The California real property being conveyed is or will be exchanged for property of like kind (within the meaning of Section 1031 of the Internal Revenue Code), but only to the extent of the amount of gain not required to be recognized for California income tax purposes under Section 1031 of the Internal Revenue Code. D. The California real property has been compulsorily or involuntarily converted (within the meaning of Section 1033 of the Internal Revenue Code) and that the Seller intends to acquire property similar or related in service or use so as to be eligible for nonrecognition of gain for California income tax purposes under Section 1033 of the Internal Revenue Code. E. The California real property transaction will result in a loss or net gain not required to be recognized for California income tax purposes. The Seller is subject to penalty for knowingly filing a fraudulent certificate for the purpose of avoiding the withholding requirement. (buyernot)(02-07) Date: February 26, 2008 Escrow No.: 07-98702516-JW Locate No.: CACTI7743-7743-2987-0098702516 Page 2 THE PARTIES TO THIS TRANSACTION SHOULD SEEK THE PROFESSIONAL ADVICE AND COUNSEL OF AN ATTORNEY, ACCOUNTANT OR OTHER TAX SPECIALIST'S OPINION CONCERNING THE EFFECT OF THIS LAW ON THIS TRANSACTION AND SHOULD NOT ACT ON ANY STATEMENTS MADE OR OMITTED BY THE ESCROW OR CLOSING OFFICER. , I City of Gilrpy\ ,I ~--;-l- \0\\j'J\~\ \ \:} \ jkN , J (buyernot) , . ~) Chicago Title Company 8060 Santa Teresa Blvd" Suite 100, Gilroy, CA 95020 408 842-8211 . FAX 408 842-4317 DATE: February 27,2008 ESCROW NO.: 07-98702516-JW LOCATE NO.: CACTI7743-7743-2987-0098702516 ESCROW OFFICER: Jan Wallace TIME: 5:20 PM CLOSING DATE: February 29,2008 BUYER ESTIMATED CLOSING STATEMENT SELLER: BUYER: PROPERTY: Gilroy Gardens Family Theme Park, A Delaware Non Profit Corporation City of Gilroy, a municipal corporation of the State of California Hecker Pass Highway, Gilroy, CA 95020 $ DEBITS $ CREDITS FINANCIAL: Total Consideration 14,250,000.00 PRORATIONS! ADJUSTMENTS: Funds delivered to Bond Trustee 14,250,000.00 TITLE CHARGES: 01-0-CLTA Standard - 1990 for $14,250,000.00 Endorsement Fee(s) 01A-CLTA Binder - Form A for $14,250,000.00 Recording Reconveyance(s) Recording Memo of lease 12,825.00 3,949.00 1,283.00 24.00 30.00 ESCROW CHARGES: Escrow Fee to Chicago Title Notary Fees 2,500.00 120.00 MISCELLANEOUS: to be determined for ADDmONAL Recording, doc prep, etc ---;-> 1,000.00 ESTIMATED BALANCE DUE ESCROW $21,731.00 ESTIMATED TOTALS $14,271,731.00 $14,271,731.00 '\ (clsstmtpbn)( 09-07) Initials