PROJC00053 - Laserfiche WebLink

Home Browse Search

,... ..' '( .. .. EXHIBIT E (attached to and forming a part of 'the Water Rights and Real Property Option Contract and Purchase Agreement between LAWMA and S-Bar C Farms, a general partnership) Additional Provision - IRe 1031 Exchanae Provision The parties agree that Seller's 1031 exchange shall be in accordance with the following procedure: That the net proceeds from the sale of The Land and The Water Rights described in Exhibits A and B shall be paid at closing to the exchange escrow agent. Upon payment of the proceeds, the escrow agent shall retain the proceeds of the exchange in an interest-bearing escrow account according to these' terms. The Seller shall on or before forty-five (45) days after payment and closing to escrow identify replacement property to be received by Seller for exchange for the property for the property of Seller. Said identification shall be in writing to the escrow agent, and shall be delivered in person, by first class mail, telecopy or facsimile, sent before midnight on or before the forty-fifth (45th) day from the date of closing. The replacement property must be unambiguously described in the document by legal description of the real estate. The Seller may identify more than one (1) property as replacement property in a manner permitted by the Internal Revenue Code and Regulations. Upon identification of replacement property, the escrow agent is directed to proceed to close and complete the purchase of the replacement property using the escrow proceeds and to close upon the same, wherein the Seller will receive good title to said property, not later than one hundred eighty (180) days after this closing date, or if earlier, by the due date (including extensions) of the Seller's tax return for the taxable year in which the title to the property is transferred. In the event that the replacement property identified by Seller shall exceed the amount of the sum on deposi t with the escrow agent, then the Seller shall make the necessary arrangements to deposit sufficient monies with the escrow agent to permit closing upon the replacement property. Failure to provide funds necessary shall be deemed a revocation of identification of the replacement property. The Seller, shall have no rights to receive, pledge, borrow or otherwise receive benefit from the funds deposited in escrow before the end of the exchange period; provided, however, that if the Seller has not identified replacement property by the end of the forty-five (45) day identification period set forth herein, or has not closed on the replacement property by the end of the one hundred eighty (180) day replacement period set forth herein, then the Seller shall have the right to receive the proceeds of said escrow immediately upon the end of the periods.