HomeMy WebLinkAbout165-26 RESOLUTIONPage 1
113 West Mountain Street
Fayetteville, AR 72701
(479) 575-8323
Resolution: 165-26
File Number: 2026-2150
A RESOLUTION PURSUANT TO § 34.27(E) SALE OF MUNICIPALLY OWNED REAL PROPERTY OF
THE FAYETTEVILLE CITY CODE TO AUTHORIZE THE MAYOR TO SELL APPROXIMATELY 477
SQUARE FEET OF PROPERTY IN THE SOUTH END OF THE RAMBLE CIVIC PLAZA TO REINDL
PROPERTIES, INC. FOR THE AMOUNT OF $24,665.00, AND TO APPROVE A BUDGET AMENDMENT
WHEREAS, on August 29, 2021, the City issued a request for proposals to solicit innovative building proposals for
the southern anchor building on the Civic Plaza; and
WHEREAS, on November 1, 2022, the City Council approved Resolution 256-22 authorizing a Letter of Intent with
Reindl Properties, Inc. for a Public Private Partnership for Construction of the Mixed-Use building at the Ramble Civic
Plaza; and
WHEREAS, on November 7, 2023, the City Council approved Resolution 251-23 approving the sale of approximately
0.5 acres of property for $1,247,455.00; and
WHEREAS, during the permitting process for the hotel, the development team discovered that an additional stair
egress was required to meet the fire code which requires a small amount of additional land; and
WHEREAS, staff has reviewed the proposal and recommends that the City Council approve the sale of this property as
it is not needed for municipal purposes.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE,
ARKANSAS:
Section 1: That the City Council of the City of Fayetteville, Arkansas hereby authorizes Mayor Rawn to sell
approximately 477 square feet of city property in the south end of the Ramble Civic Plaza, as shown in the map
attached to this Resolution as Exhibit A, to Reindl Properties, Inc. for the amount of $24,665.00 pursuant to § 34.27(E)
Sale of Municipally Owned Real Property of the Fayetteville City Code, and further authorizes the Mayor to execute
a real estate purchase agreement and any closing documents necessary to effectuate the sale.
Section 2: That the City Council of the City of Fayetteville, Arkansas hereby approves a budget amendment, a copy of
which is attached to this Resolution.
Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
Resolution: 165-26
File Number: 2026-2150
Page 2
Approved:
_______________________________
Molly Rawn, Mayor
Attest:
_______________________________
Kara Paxton, City Clerk Treasurer
PASSED and APPROVED on July 7, 2026
Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
Mailing address:
113 W. Mountain Street
Fayetteville, AR 72701
www.fayetteville-ar.gov
CITY COUNCIL MEMO
2026-2150
MEETING OF JULY 7, 2026
TO: Mayor Rawn and City Council
THROUGH: Keith Macedo, Chief of Staff
FROM: Chris Brown, Public Works Director
SUBJECT: A Resolution approving an amendment to the real estate purchase contract with
Reindl Properties for the sale of an additional 477sf of land for $24,665
RECOMMENDATION:
Staff recommends approval of a resolution authorizing the sale of approximately 477 sf of land to Reindl
Properties for $24,665.00 and approval of a budget amendment. The sale price is $51.71 per square foot and
is based on the appraised values of the original property sale.
BACKGROUND:
Schematic design for the Ramble Civic Plaza, a 2019 voter approved downtown revitalization project, focused
on the West Avenue civic space. The vision for the civic space was completed in January 2019, following a
series of public design charettes. The design chosen by participants who engaged in the process consists of
a gathering and event lawn, public plaza, garden spaces, and a civic promenade, with two buildings bordering
the site on the north and south ends, as bookends of the plaza. The southern building will be integral to the
site, as a backdrop for what will become a stage and performance area for the plaza. Additionally, the building
will provide public restrooms accessible from the Razorback Greenway and Civic Plaza storage space within
the ground floor.
A Request for Proposals (RFP) process solicited competitive development proposals for a public private
partnership to build the southern anchor building on the West Avenue Civic Plaza. The RFP asked for an
approximately 14,300 square foot building footprint with a height limit of seven stories and three primary
facades. Additionally, the city requested that the building be constructed of high-quality and lasting materials
that are complimentary to the overall aesthetic of the site and the emergent Arts and Entertainment District.
The RFP, issued in August 2021, was advertised on several platforms, including on the Costar website which
provides market-leading research on commercial real estate properties in nearly all markets and sub-markets.
The RFP was downloaded by over 100 interested parties. A non-mandatory pre-proposal conference held in
September, 2021 was attended by over 30 participants.
On October 26, 2021, the City of Fayetteville accepted proposals for the southern anchor building on the Civic
Plaza. One proposal was received from Reindl Properties that included a project team with a passion for high-
quality construction, human-scaled design, craftsmanship, efficiency, and love of community.
On October of 2022, Council passed Resolution 256-22 Authorizing the Mayor to Sign the Letter of Intent
Defining Development Agreement terms with Reindl Properties Inc., for a Public Private Partnership for
Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
Mailing address:
113 W. Mountain Street
Fayetteville, AR 72701
www.fayetteville-ar.gov
Construction of the Mixed-Use building at the Ramble Civic Plaza.
In November of 2023, the Council passed Resolution 251-23 approving the sale of approximately 0.5 acres of
property for $1,247,455, a per square foot price of $51.71.
DISCUSSION:
During the permitting process for the hotel, the development team discovered that an additional stair egress
was required to meet the fire code. The installation of this stair egress at the northwest corner of the building
required a small amount of additional land. This land is not needed for city purposes and staff recommends
that the land be sold at the price per square foot agreed upon for the original property sale.
BUDGET/STAFF IMPACT:
Revenue from this sale will be placed into the Arts Corridor (Project No. 46080.7800). Net proceeds from this
real estate contract will be applied to remaining obligations in the land sale contract.
ATTACHMENTS: 3. Staff Review Form, 4. Budget Amendment, 5. Exhibit A - Map, 6. Reindl Properties Offer
Letter, 7. B2400286-South Civic Plaza PLA - For Review-04302026, 8. Resolution 251-23 (Summary)
Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
Page 1
City of Fayetteville, Arkansas
Legislation Text
113 West Mountain Street
Fayetteville, AR 72701
(479) 575-8323
File #: 2026-2150
A RESOLUTION PURSUANT TO § 34.27(E) SALE OF MUNICIPALLY OWNED REAL
PROPERTY OF THE FAYETTEVILLE CITY CODE TO AUTHORIZE THE MAYOR TO
SELL APPROXIMATELY 477 SQUARE FEET OF PROPERTY IN THE SOUTH END OF
THE RAMBLE CIVIC PLAZA TO REINDL PROPERTIES, INC. FOR THE AMOUNT OF
$24,665.00, AND TO APPROVE A BUDGET AMENDMENT
WHEREAS, on August 29, 2021, the City issued a request for proposals to solicit innovative building
proposals for the southern anchor building on the Civic Plaza; and
WHEREAS, on November 1, 2022, the City Council approved Resolution 256-22 authorizing a Letter
of Intent with Reindl Properties, Inc. for a Public Private Partnership for Construction of the Mixed-Use
building at the Ramble Civic Plaza; and
WHEREAS, on November 7, 2023, the City Council approved Resolution 251-23 approving the sale of
approximately 0.5 acres of property for $1,247,455.00; and
WHEREAS, during the permitting process for the hotel, the development team discovered that an
additional stair egress was required to meet the fire code which requires a small amount of additional
land; and
WHEREAS, staff has reviewed the proposal and recommends that the City Council approve the sale of
this property as it is not needed for municipal purposes.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1: That the City Council of the City of Fayetteville, Arkansas hereby authorizes Mayor Rawn to
sell approximately 477 square feet of city property in the south end of the Ramble Civic Plaza, as shown
in the map attached to this Resolution as Exhibit A, to Reindl Properties, Inc. for the amount of
$24,665.00 pursuant to § 34.27(E) Sale of Municipally Owned Real Property of the Fayetteville City
Code, and further authorizes the Mayor to execute a real estate purchase agreement and any closing
documents necessary to effectuate the sale.
Section 2: That the City Council of the City of Fayetteville, Arkansas hereby approves a budget
amendment, a copy of which is attached to this Resolution.
Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
City of Fayetteville Staff Review Form
2026-2150
Item ID
7/7/2026
City Council Meeting Date - Agenda Item Only
N/A for Non-Agenda Item
Chris Brown 6/18/2026 ENGINEERING (621)
Submitted By Submitted Date Division / Department
Action Recommendation:
Staff recommends approval of a resolution authorizing the sale of approximately 477 sf of land to Reindl Properties
for $24,665.00, and approval of a budget amendment. The sale price is $51.71 per square foot and is based on the
appraised values of the original property sale.
Budget Impact:
4479.001.9470-4881.02 Sales Tax Capital Improvement
Account Number Fund
46080.7800 Arts Corridor
Project Number Project Title
Budgeted Item?Yes Total Amended Budget $1,373,468.00
Expenses (Actual+Encum)$773,993.91
Available Budget $599,474.09
Does item have a direct cost?No Item Cost $-
Is a Budget Amendment attached?Yes Budget Amendment $24,665.00
$151.00 Remaining Budget $624,139.09
Purchase Order Number:Previous Ordinance or Resolution #251-23
Change Order Number:Approval Date:
Original Contract Number:
Comments:
Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
City of Fayetteville, Arkansas - Budget Amendment/Adjustment
(Agenda)
Budget Year Division
/Org2 ENGINEERING (621)
BA Number
2026 Requestor:Sara Combs
BUDGET AMENDMENT/ADJUSTMENT DESCRIPTION:
Staff recommends approval of a resolution authorizing the sale of approximately 477 sf of land to Reindl Properties for
$24,665.00, based on the appraised values of the original property sale. The sale price is $51.71 per square foot.
COUNCIL DATE:7/7/2026
ITEM ID#:2026-2150
Holly Black
6/18/2026 3:42 PM
Budget Division Date
TYPE:D - (City Council)
JOURNAL #:
GLDATE:
RESOLUTION/ORDINANCE CHKD/POSTED:/
v.2026611TOTAL24,665 24,665
Increase / (Decrease)Project.Sub#
Account Number Expense Revenue Project Sub.Detl AT Account NameGLACCOUNTEXPENSEREVENUEPROJECTSUBATDESCRIPTION X
4470.001.9470-4881.02 -24,665 46080 7800 RE Gain/Loss - Sale of Assets
4470.140.8900-5804.00 24,665 -46080 7800 EX Building Costs
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Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
Fayetteville, AR
Exhibit A
The data contained herein was compiled from various sources for the sole
use and benefit of the City of Fayetteville Geographic Information System
and the public agencies it serves. Any use of the data by anyone other than
the City of Fayetteville is at the sole risk of the user; and by acceptance of
this data, the user does hereby agree to indemnify the City of Fayetteville
and hold the City of Fayetteville harmless from and without liability for any
claims, actions, cost for damages of any nature, including the city's cost of
defense, asserted by user or by another arising from the use of this data.
The City of Fayetteville makes no express or implied warrantees with
reference to the data. No word, phrase, or clause found herein shall be
construed to waive that tort immunity set forth under Arkansas law.
Created: 5/8/2026
Credits: 2025 Imagery | EagleView Technologies | Surdex Corporation, City
of Fayetteville, AR
Map Author:
0 0.01 0.010 mi
Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
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Ex. 15' Utility Easement
Plat 2019-0000587
Ex. 20' Utility Easement
Ordinance No. 1513
Book 689, Page 242-245
W Spring Street
(50' Right-of-Way)
W. Dickson Street
(55' Public Right-of-Way)
[M.S.P. - Downtown/Urban]
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Ex. 17' Trail Easement
Document No. 201200026010
S86°59'31"E 164.75'
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N87°05'11"W 236.89'
N2
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5
8
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1
1
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E
55
.
2
5
'
Tract B-5
35,362 Sq. Ft.±
0.812 Acres±
Tract D-2
41,889 Sq. Ft.±
0.962 Acres±
(NOT A PART)
Parcel No. 765-01745-003
Owner: Dickson & West Investme
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,
L
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Tract A - Property Line Adjustmen
t
File: 2021-44210
(NOT A PART)
Parcel No. 765-01740-000
Owner: City of Fayetteville
CV89, Page 861
(NOT A PART)
Parcel No. 765-01742-000
& 765-01743-002
Owner: City of Fayetteville
Book 1340, Page 810,
Tract C, South Civic Plaza
Property Line Adjustment
File: 2023-32872
Parcel No. 765-01744-000
Owner: City of Fayetteville
CV89, Page 861
Set 1" Brass Mon
Stamped "PS 1507"
Set 1" Brass Mon
Stamped "PS 1507"N: 637843.38
E: 672359.90
Set 1" Brass Mon
Stamped "PS 1507"
Set 1/2" Rebar
w/ PS 1507 Cap
N: 637440.55
E: 672300.16
Set 1" Brass Mon
Stamped "PS 1507"
POB: Tract D-2
Set Mag Nail
w/ 1507 Washer Set Mag Nail
w/ 1507 Washer
Set 1/2" Rebar
w/ PS 1507 Cap
Set 1/2" Rebar
w/ PS 1507 Cap
POB: Tract B-5
Set 1" Brass Mon
Stamped "PS 1507"
N: 637853.50
E: 672160.28
5'
POC:
NW Corner SW1/4 NE1/4,
Section 16, T-16-N, R-30-W
as shown on Plat File 2023-0032872
S0
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& General U.E.
Plat 2019-587
Ex. 20' Electric Easement
Plat 2019-587
Set 1/2" Rebar
w/ PS 1507 Cap
Lot/Tract Line to be removed
per this plat
Found Chiseled "X"Found Mag Nail
in Asphalt
Found 1" Brass
Monument
"GARVER LS 969"
S02°40'14"W
7.80'
S87°19'46"E
39.93'
S86°51'11"E
84.30'
17.94'
N87°09'16"W 11.63'
Lot/Tract Line to be
removed per this plat
Parcel No. 765-01743-005
Owner: 509, LLC
QCD: 2019-3988
Tract 1 - Property Line Adjustment
Survey File: 2019-00000587
27.5'
55'
20'
SEE DETAIL "A"
Zone: RPZD
Zone: MSC
Zone: MSC
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Zone: MSC
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ROW
30.5' MSP
ROW
ROW
ROW
ROW
ROW
ROW
RO
W
RO
W
RO
W
RO
W
RO
W
RO
W
RO
W
RO
W
30.5' MSP ROW
Existing West ROW
Line of West Avenue
ROW
30.5' MSP
ROW
Ex. 17' Trail Easement
Document No. 201200026010
C2
C3
L1
L2
L
3
S87°05'47"E
108.74'
L4
L6
L7
L8
L9
L1
0
L1
1
L12
C1
L13
L1
4
L15
L5
Parcel No. 765-01726-000
Owner: City of Fayetteville
Zone: MSC
Parcel No. 765-01736-000
Owner: City of Fayetteville
Zone: MSC
25' BTZ
5' Rear Yard
Setback
25' BTZ
Existing South ROW
Line of Dickson Street
Existing North ROW
Line of Spring Street
Parcel No. 765-01739-000
Owner: City of Fayetteville
CV89, Page 861
Parcel No. 765-01745-002
Owner: City of Fayetteville
Book 1387, Page 141
Parcel No. 765-01743-003
Owner: Reindl Properties, Inc.
Parcel No. 765-01743-004
Owner: Greater Productions, LLC
LINE TABLE
#
L1
L2
L3
L4
L5
L6
L7
L8
L9
L10
L11
L12
L13
L14
L15
L16
L17
L18
L19
Direction
S87°05'47"E
S04°50'42"W
S21°01'02"E
N42°26'34"E
N02°54'13"E
S87°05'47"E
S24°00'55"W
S87°04'59"E
S02°55'01"W
N60°06'20"W
S30°00'42"W
N60°10'51"W
N86°51'11"W
S02°06'00"W
S68°50'37"W
N02°03'03"W
N87°06'29"W
S02°06'27"W
N87°06'29"W
Length
8.48'
34.41'
29.90'
57.06'
17.72'
35.37'
42.49'
18.00'
22.00'
25.70'
22.58'
6.13'
4.34'
32.07'
10.49'
8.24'
17.00'
24.88'
16.83'
CURVE TABLE
#
C1
C2
C3
Radius
980.37'
304.25'
980.37'
Length
368.39'
148.29'
31.66'
Delta
21°31'47"
27°55'35"
1°51'01"
Chord
366.22'
146.83'
31.66'
Ch. Bearing
N14°47'51"E
S19°46'51"W
N26°29'16"E
ELECTRIC CABINET
POWER POLE
STORM MANHOLE
SIGN (AS NOTED)
WATER VALVE
WATER LINE
WOOD FENCE
CHAINLINK FENCE
CONCRETE PAVEMENT
BRICK PAVERS
FOUND MONUMENT (AS NOTED)
FIRE HYDRANT
U.E.UTILITY EASEMENT
POC POINT OF COMMENCEMENT
POB POINT OF BEGINNING
BOUNDARY LINE
LOT LINE
W
SET MONUMENT (AS NOTED)
EASEMENT LINE
CENTERLINE
LIGHT POLE
S SANITARY MANHOLE
W
FOV
FO
WATER FOUNTAIN
GRATED INLET
GUY ANCHOR
FIBER OPTIC VAULT
FIBER OPTIC MARKER
D
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EV
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ELECTRIC VAULT
L/A LANDSCAPED AREA
CORNER POINT
SECTION CORNER
PL PLANTER
WC WOODEN LOUNGE CHAIR
WB WOODEN BENCH
BP BICYCLE PARKING
CURB INLET
ELECTRIC OUTLET
UNDERGROUND GAS LINEG
ROW RIGHT-OF-WAY LINE
RAILROAD TRACK
TRAFFIC SIGNAL POLE
GRAVEL
BTZ BUILD TO ZONE
Ex. 20' Utility Easement
Plat 2005-53850
Ex. 20' Utility Easement
Plat 2005-53850
Set Mag Nail
w/ PS 1507 Washer
Found 5/8" Rebar
w/ Cap "BATES LS1642"
Ex. 20' Electric Easement
Plat 2019-587
Ex. 20' U.E.
Plat 2019-587
Ex. 20' Utility Easement
Ordinance No. 1513
Book 689, Page 242-245
Ex. 20' U.E.
Plat 2019-587
N3
5
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1
7
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4
5
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E
29.
9
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L1
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L17
L1
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L19
project no.:
checked by:
drawn by:
date:
SHEET
20
2
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SBR
KAS
B24-00286
04.30.2026
2 of 4
3537 North Steele Boulevard
Suite 310
Fayetteville, AR 72703
olsson.com
TEL 479.443.3404
FAX 479.443.4340
SOUTH CIVIC PLAZA, PROPERTY LINE ADJUSTMENT
PART OF THE SOUTHWEST QUARTER OF THE NORTHEAST QUARTER,
SECTION 16, TOWNSHIP 16 NORTH, RANGE 30 WEST,
FAYETTEVILLE, WASHINGTON COUNTY, ARKANSAS
Olsson - Survey
Arkansas COA #1010
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Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
113 West Mountain Street
Fayetteville, AR 72701
479) 575-8323
Resolution: 251-23
File Number: 2023-1171
REINDL PROPERTIES, INC. (PURCHASE CONTRACT):
A RESOLUTION TO AUTHORIZE THE MAYOR TO SIGN A REAL ESTATE PURCHASE CONTRACT WITH
REINDL PROPERTIES, INC. FOR THE SALE OF APPROXIMATELY 0.5 ACRES OF CITY PROPERTY IN THE
SOUTH END OF THE CIVIC PLAZA FOR THE AMOUNT OF $1,247,455.00
WHEREAS, in October 2022, the City Council approved Resolution 256-22 authorizing the Mayor to sign the Letter
of Intent Defining Development Agreement terms with Reindl Properties Inc. for a Public Private Partnership for
Construction of the Mixed -Use building at the Ramble Civic Plaza; and
WHEREAS, Mayor Jordan recommends that the City Council approve the terms of the sale set out in the real estate
purchase contract negotiated with Reindl Property, Inc.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE,
ARKANSAS:
Section 1: That the City Council of the City of Fayetteville, Arkansas hereby authorizes Mayor Jordan to sign a real
estate purchase contract with Reindl Properties, Inc., a copy of which is attached to this Resolution, for the land sale of
approximately 0.5 acres in the amount of $1,247,455.00, and further authorizes the Mayor to execute all closing and
other documents necessary to effectuate the sale.
PASSED and APPROVED on November 7, 2023
Page 1
Attest:
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Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
CITY OF
FAYETTEVILLE
ARKANSAS
MEETING OF NOVEMBER 7, 2023
CITY COUNCIL MEMO
2023-1171
TO: Mayor Jordan and City Council
THRU: Paul Becker, Chief Financial Officer
FROM: Waylon Abernathy, Bond Projects & Construction Dir
DATE:
SUBJECT: Resolution authorizing a Real Estate Purchase Contract with Reindl Properties, Inc.
for the Construction of a mixed -use building on the Ramble/Cultural Arts Corridor
Civic Plaza
RECOMMENDATION:
Staff recommends approval of a resolution authorizing the mayor to sign the Real Estate Purchase Contract
that includes terms of the development agreement with Reindl Properties, Inc., for the land sale of
approximately .5 acres in the amount of $1,247,455.00 and authorize the mayor to execute all closing
documents.
BACKGROUND:
Schematic design for the Ramble Civic Plaza, a 2019 voter approved downtown revitalization project, focused
on the West Avenue civic space. The vision for the civic space was completed in January 2019, following a
series of public design charettes. The design chosen by participants who engaged in the process consists of a
gathering and event lawn, public plaza, garden spaces, and a civic promenade, with two buildings bordering
the site on the north and south ends, as bookends of the plaza. The southern building will be integral to the
site, as a backdrop for what will become a stage and performance area for the plaza. Additionally, the building
will provide public restrooms accessible from the Razorback Greenway and Civic Plaza storage space within
the ground floor.
A Request for Proposals (RFP) process solicited competitive development proposals for a public private
partnership to build the southern anchor building on the West Avenue Civic Plaza. The RFP asked for an
approximately 14,300 square foot building footprint with a height limit of seven stories and three primary
facades. Additionally, the city requested that the building be constructed of high -quality and lasting materials
that are complimentary to the overall aesthetic of the site and the emergent Arts and Entertainment District.
The RFP, issued in August 2021, was advertised on several platforms, including on the Costar website which
provides market -leading research on commercial real estate properties in nearly all markets and sub -markets.
The RFP was downloaded by over 100 interested parties. A non -mandatory pre -proposal conference held in
September, 2021 was attended by over 30 participants.
Additional Background:
Key to the design and planning of the overall spaces are the public private partnerships that can help activate
the space and provide a mixed use, sales tax generating, downtown development project to complement the
city's investment in The Ramble. Partners are both private developers and philanthropic support efforts.
Mailing address:
113 W. Mountain Street www.fayetteville-ar.gov
Fayetteville, AR 72701
Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
Initial design for this transformative project was made possible by a 2017 grant from the Walton Family
Foundation's Design Excellence Program. Award -winning landscape architects Nelson Byrd Woltz (NBW) were
selected to design the corridor with the primary goals of:
Increasing public access and strengthening the surrounding neighborhood,
Leveraging the connected trail network,
Demonstrating a commitment to sustainability, and
Embodying an innovative spirit, encouraging visitors and residents to engage with the space in new
ways.
There are five primary elements included in plans for the Cultural Arts Corridor bond
project: The West Avenue Civic Space, West Avenue streetscapes, The Fay Jones Woods, The Razorback
Greenway, and a new parking deck one block north of the corner of West Ave. and Dickson Street. In April
2019, citizens of Fayetteville voted to authorize a $31,685,000 bond for construction of the Cultural Arts
Corridor Improvements.
Arts Corridor improvements to the Fay Jones Woods, the southern portion of the Razorback Regional
Greenway, and the southern portion West Ave. began in September 2020 with construction completed in
September, 2022. Construction of the new parking deck began in January 2022 with completion planned in
October of 2023. In June 2021, after a 5-month public renaming process, the City announced The Ramble as
the new name for the Cultural Arts Corridor.
On October 26, 2021, the City of Fayetteville accepted proposals for the southern anchor building on the Civic
Plaza. One proposal was received from Reindl Properties that included a project team with a passion for high -
quality construction, human -scaled design, craftsmanship, efficiency, and love of community. Their team
includes:
Brian Reindl - Developer and owner of the adjacent Metro Building along with several other properties
in and around downtown Fayetteville.
Rob Sharp - Architect and designer of several Fayetteville projects including: Three Sisters Building,
Mill District, The Dickson Building and most recently the Network Building, which was designed to be the first
net zero mixed -use building in Fayetteville.
The LOI specifies that the final development agreement includes a termination and buy back clause requiring
Reindl properties to start construction on the new building within 12 months of the completion of the Civic
Space. Also, Reindl Properties met with organizations for additional community input on the ways in which the
proposed building will interact with the plaza and civic space.
As indicated in the LOI renderings, the proposed mixed -use building will be substantial and striking. The
building's proposed uses will increase the liveliness of the adjacent Civic Plaza and attract visitors to the
downtown. Hotel guests will eat, shop and recreate in the area, providing benefit to many existing local
businesses. Initial analysis shows that the project would provide approximately $300,000 per year in sales and
HMR taxes to the City plus another
63,000 per year in property tax to the City of Fayetteville for the general fund, library and fire and police
departments. The construction impact of this $40 million construction project will approximately yield another
175,000 in sales tax revenue.
On October of 2022, Council passed Resolution 256-22 Authorizing the Mayor to Sign the Letter of Intent
Defining Development Agreement terms with Reindl Properties Inc., for a Public Private Partnership for
Construction of the Mixed -Use building at the Ramble Civic Plaza.
DISCUSSION:
Since the approval of the Resolution:
Mailing address:
113 W. Mountain Street www.fayetteville-ar.gov
Fayetteville, AR 72701
Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
City staff and design consultants with Nelson Byrd Woltz have worked with Reindl Properties to finalize
the building footprint in relationship to the trail relocation and relative to the final design of the Civic Plaza.
Staff has worked with Reindl Properties to secure independent third -party appraisals.
The City provided to Reindl a list of 5 appraisal firms with experience in commercial real estate. From that list,
Reindl selected three firms. The 3 firms provided certified property value reports. The average of the 3 was
used for the agreed to values.
Major terms and conditions for a proposed Agreement are included in this Real Estate contract as
Drafted by Vicki Bronson of Connors and Winters Law Firm.
BUDGET/STAFF IMPACT:
Revenues will be recognized after the closings. Net proceeds from this real estate contract will be applied to
the Restrooms/Storage located in the building, and Civic Plaza Improvements.
ATTACHMENTS: Copy of SRF-Real Estate Purchase Agreement South Civic Plaza (#3), Real Estate
Purchase Contract (City Reindl) Redline 9-27-23 (002) (#4), Exhibit 1 (#5), Apprasials and Summary South
Civic Plaza (#6), 601 W Center St Deed (#7), 256-22 RESOLUTION (#8), Exhibit 2 South Elevation (#9),
Exhibit 3 Fay Park Hotel - North Rendering (#10), Exhibit 3 Fay Park Hotel - City Storage (#11), Exhibit 3 Fay
Park Hotel - City Toilets (#12), 20231012 REVISED Exhibit 3 Fay Park Hotel level 1 (#13), 20231012
REVISED Exhibit 3 Fay Park Hotel Level 2 (#14), 20231012 REVISED Exhibit 2 Fay Park Hotel - South
Rendering (#15), 20231012 Attachment Fay Park Hotel Progression Summary (#16), REAL ESTATE
PURCHASE CONTRACT - revised 10-12-23 (#17), COF Letter with Parking Study (#18), Hotel Valet Lot
Layout (#19), Survival of Contractual Obligations, Representations, and Agreements as Restrictive Covenants
20), REAL ESTATE PURCHASE CONTRACT (City Reindl) revised 10-17-23 clean (#21), Ramble Hotel
Letter of Support (#22), Exhibit A Site Plan (#23), Exhibit B Floor Plans (#24), Exhibit C Conceptual Building
Design and Materials (#25), Real Estate Purchase Contract (City Reindl) Revised 11-2-23 (#26), Letter of
Support- Mycelium Networks (#27), Letter of Support- Acre Trader (#28), Letter of Support - Startup Junkie
Consulting (#29), Letter of Support - Cato Springs Development (#30)
Mailing address:
113 W. Mountain Street www.fayetteville-ar.gov
Fayetteville, AR 72701
Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
City of Fayetteville, ArkansasY 113 West Mountain Street
Fayetteville, AR 72701
479)575-8323
Legislation Text
File #: 2023-1171
Resolution authorizing a Real Estate Purchase Contract with Reindl Properties, Inc. for the
Construction of a mixed -use building on the Ramble/Cultural Arts Corridor Civic Plaza
A RESOLUTION TO AUTHORIZE THE MAYOR TO SIGN A REAL ESTATE PURCHASE
CONTRACT WITH REINDL PROPERTIES, INC. FOR THE SALE OF APPROXIMATELY 0.5
ACRES OF CITY PROPERTY IN THE SOUTH END OF THE CIVIC PLAZA FOR THE AMOUNT
OF $1,247,455.00
WHEREAS, in October 2022, the City Council approved Resolution 256-22 authorizing the Mayor to
sign the Letter of Intent Defining Development Agreement terms with Reindl Properties Inc. for a Public
Private Partnership for Construction of the Mixed -Use building at the Ramble Civic Plaza; and
WHEREAS, Mayor Jordan recommends that the City Council approve the terms of the sale set out in
the real estate purchase contract negotiated with Reindl Property, Inc.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1: That the City Council of the City of Fayetteville, Arkansas hereby authorizes Mayor Jordan
to sign a real estate purchase contract with Reindl Properties, Inc., a copy of which is attached to this
Resolution, for the land sale of approximately 0.5 acres in the amount of $1,247,455.00, and further
authorizes the Mayor to execute all closing and other documents necessary to effectuate the sale.
Page 1
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REAL ESTATE PURCHASE CONTRACT
THIS REAL ESTATE PURCHASE CONTRACT (this "Contract") is made and
executed as of the 29th day of September, 2023, by and between REINDL PROPERTIES,
INC. and or Affiliates ("Buyer") and CITY OF FAYETTEVILLE, ARKANSAS ("Seller") as
follows:
1. THE PROPERTY
For the price and upon and subject to the terms, conditions and provisions set forth in this
Contract, Seller shall sell and convey to Buyer and Buyer shall purchase from Seller that certain
real estate owned by Seller located adjacent to West Avenue and Spring Street in Fayetteville,
Washington County, Arkansas, (the "Property"), in the approximate location as depicted on
Exhibit 1 attached hereto, the exact legal description to be determined by survey, together with
all Seller's rights, title and interest in all public and private streets, roads, avenues, alleys and
passageways, and all and singular the estates, rights, privileges, easements and appurtenances
belonging or in any way appertaining to the Property.
2. PURCHASE PRICE
Purchase Price. The purchase price for the Property ("Purchase Price") shall be One
Million Two Hundred Forty-seven Thousand Four Hundred Fifty-five Dollars ($1,247,455.00,)
to be paid in cash at Closing.
3. DEED
On the Closing Date, Seller shall execute a deed to sell and convey to Buyer good and
marketable title to the Property by special warranty deed in the form reasonably prescribed by
Buyer (the "Deed"), subject to no liens, claims, or encumbrances ("Encumbrances"), except (a)
a restriction concerning Prohibited Uses as defined in Paragraph 31; and (b) liens for ad valorem
taxes that are not yet due and payable and (c) those title and survey exceptions either waived or
approved in writing by Buyer after Buyer's review of the Commitment, Survey (as those terms
are hereinafter defined), and legible copies of all title exception documents identified on the
Commitment and Survey (the "Permitted Exceptions"). Title to the Real Property as aforesaid
shall be insured by the Title Company as provided in Section 5.
4. SURVEY
Buyer will order an ALTA survey (the "Survey") within five (5) days of the execution of
this Contract. Buyer and Seller will each pay one half of the cost of the Survey. The Survey will
include the location and boundaries of the Property and the Public Easement (defined and
described in paragraph 30). The Survey and the boundary lines of the areas surveyed therein
shall be subject to the mutual agreement of Buyer and Seller.
5. TITLE INSURANCE
Commitment and Title Policy. Within ten (10) business days after the date of this
Contract, Seller will order a preliminary title insurance commitment (the "Commitment") from
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Bronson Abstract Company, Fayetteville, Arkansas (the "Title Company") pursuant to which
the Title Company shall agree to issue to Buyer, an ATLA owner's policy of title insurance (the
Title Policy") in the amount of the Purchase Price, insuring marketable fee simple title to the
Real Property in Buyer upon recording of the Deed.
Seller's Title Documents. Seller shall, at Seller's sole expense, execute, acknowledge
and deliver or cause to be executed, acknowledged and delivered to the Title Company, on or
before the Closing Date, such affidavits and other documents approved by the Seller, as the Title
Company shall require as a condition to issuance of the Title Policy in the form herein provided
collectively, "Seller's Title Documents").
Buyer's Title Documents. Buyer shall, at Buyer's sole expense, execute, acknowledge
and deliver or cause to be executed, acknowledged and delivered to the Title Company, on or
before the Closing Date, such affidavits and other documents approved by Buyer, as the Title
Company shall require as a condition to issuance of the Title Policy in the form herein provided
collectively, "Buyer's Title Documents").
6. TITLE AND SURVEY DEFECTS
Buyer shall have ten (10) days from the receipt of the Title Commitment and copies of
documents constituting exceptions to title and the Survey to examine the same and to specify to
Seller in writing any matters which Buyer finds objectionable (the "Encumbrances").
Seller shall have thirty (30) days to cure or remove all Encumbrances at its cost and
expense. If Seller fails to cause all the Encumbrances to be removed within such 30-day period or if
Seller notifies Buyer of its decision not to cure or remove some or all of the Encumbrances, Buyer's
remedy shall be to:
i) Terminate this Agreement by giving Seller written notice thereof;
ii) Agree to extend additional time to Seller to cure or remove all
Encumbrances; or
iii) Elect to purchase the Property subject to the Encumbrances and the
Encumbrances not so removed or cured shall be deemed Permitted Exceptions and the
Purchase Price shall not be reduced by any amount.
7. INVESTIGATION BY BUYER
Buyer has the right to conduct such due diligence as Buyer deems necessary in Buyer's
sole discretion from the date of the execution of this agreement and continuing through five (5)
business days prior to Closing; provided, however, Buyer may not conduct any intrusive testing
in the subsurface soil or take any bore samples without the prior, written consent of the Seller. If
Buyer, in its sole discretion is not satisfied with the results of its due diligence, Buyer may
terminate this Contract at any time prior to Closing by providing written notice to Seller,
whereupon this Contract shall be terminated and neither party shall have any further obligation to
the other party.
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8. REPRESENTATIONS AND WARRANTIES OF SELLER
Seller represents and warrants to Buyer the following through the date hereof and as of the
Closing Date to the best of Seller's knowledge:
8.1 Except as disclosed to Buyer in writing there are no unrecorded leases,
arrangements, agreements, understandings, options, contracts, or rights of first
refusal affecting or relating to the Property in any way.
8.2 Seller represents and warrants that at the time of acceptance hereof and at Closing,
Seller is not a "foreign person" as such term is defined in Section 1445(f) of the
Internal Revenue Code of 1954.
8.3 There are no actions, suits, lawsuits, proceedings, or claims affecting any part of
the Property, or affecting Seller with respect to the ownership, occupancy, use, or
operation of any part of the Property pending in or before any court, agency,
commission, or board.
8.4 No petition in bankruptcy (voluntary or otherwise), assignment for the benefit of
creditors, or petition seeking reorganization or arrangement or other action under
Federal or State bankruptcy laws is pending against Seller.
8.5 Seller has not received notice from any governmental authority, stating that the
Property is currently in violation of any zoning, environmental, or other land use
regulations or in violation of any required licenses, registrations, certificates,
permits, approvals, or other governmental authorizations relating to the use and
operation of the Property. If Seller receives such a notice prior to Closing, Seller
shall promptly notify Buyer of such a notice and deliver a copy thereof to Buyer.
8.6 Seller has not received any notice relating to its period of ownership of the
Property that the Property is in violation of any applicable governmental law,
regulation, or requirement relating to environmental or occupational health and
safety matters or Hazardous Substances (`Environmental Laws"). As used in this
Agreement, the term "Hazardous Substances" means any and all substances,
materials, and wastes which are regulated as hazardous or toxic under applicable
local, state, or federal law or which are classified as hazardous or toxic under
applicable Environmental Laws.
8.7 Seller has not stored, processed, or disposed of hazardous or toxic substances on
the Property.
8.8 No underground storage tanks are located on the Property.
For the purposes hereof, the term "Seller's Knowledge" means the actual knowledge of
without any duty of inquiry or investigation.
BUYER ACKNOWLEDGES AND AGREES THAT, EXCEPT AS OTHERWISE
EXPRESSLY PROVIDED IN THIS AGREEMENT OR IN ANY CLOSING DOCUMENT
DELIVERED BY SELLER, (A) BUYER HAS NOT RELIED UPON AND WILL NOT RELY
UPON, EITHER DIRECTLY OR INDIRECTLY, ANY REPRESENTATION OR
WARRANTY OF SELLER IN CONNECTION WITH THE PROPERTY OR THIS
TRANSACTION, (B) SELLER WILL SELL AND CONVEY TO BUYER, AND BUYER
WILL ACCEPT THE PROPERTY "AS IS", "WHERE IS", AND "WITH ALL FAULTS" ON
THE CLOSING DATE, AND THERE ARE NO ORAL AGREEMENTS, WARRANTIES OR
Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
REPRESENTATIONS, COLLATERAL TO OR AFFECTING THE PROPERTY BY SELLER
OR ANY THIRD PARTY, AND (C) SELLER DOES NOT, BY THE EXECUTION AND
DELIVERY OF THIS AGREEMENT, AND SELLER WILL NOT, BY THE EXECUTION
AND DELIVERY OF ANY DOCUMENT OR INSTRUMENT EXECUTED AND
DELIVERED IN CONNECTION WITH CLOSING, MAKE ANY REPRESENTATION OR
WARRANTY, EXPRESS OR IMPLIED, OF ANY KIND OR NATURE WHATSOEVER,
WITH RESPECT TO THE PROPERTY AND ALL SUCH WARRANTIES ARE HEREBY
DISCLAIMED.
9. REPRESENTATIONS AND WARRANTIES OF BUYER
Buyer represents and warrants to Seller the following through the date hereof and as of
the Closing Date to the best of Buyer's knowledge:
9.1 Buyer represents and warrants that at the time of acceptance hereof and at Closing,
Buyer is not a "foreign person" as such term is defined in Section 1445(f) of the
Internal Revenue Code of 1954.
9.2 No petition in bankruptcy (voluntary or otherwise), assignment for the benefit of
creditors, or petition seeking reorganization or arrangement or other action under
Federal or State bankruptcy laws is pending against Buyer.
9.3 Buyer has full authority to enter into this Contract and fulfill all its obligations
pursuant therewith.
Buyer's Knowledge" means the actual knowledge of Brian Reindl.
10. TAXES AND ASSESSMENTS
No tax prorations will occur because Seller is not subject to real estate taxes. Buyer is
responsible for paying all real property taxes and assessments due and payable after the date of
Closing.
11. CLOSING COSTS AND ADJUSTMENTS
Seller's Costs. Seller shall pay the cost of (1) one-half of the documentary stamps; (2)
the cost of the owner's portion of the title insurance policy; (3) one-half the Title Company's
closing fee and document preparation fee; (4) the Title Company's title search fee; (5) all
certificates, instruments and documents which Seller is required to deliver or cause to be
delivered; (6) one-half of the Survey; (8) one-half of the cost of appraisals required in connection
with the Purchase Price of the Property or in connection with the Public Easement as provided in
this Contract; and (7) its legal fees and expenses.
Buyer's Costs. Buyer shall pay the cost of (1) one-half of the documentary stamps; (2)
one-half the Title Company's closing fee and document preparation fees; (3) the cost of any loan
policy of title insurance including all endorsements required by Buyer's lender; (4) all
certificates, instruments and documents which Buyer is required to deliver or cause to be
delivered; (5) Buyer's legal fees and expenses; (6) one half of the Survey; and (7) one-half of the
cost of any third appraisal required in connection with the Purchase Price of the Property or in
connection with the Public Easement as provided in this Contract.
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12. CONDEMNATION AND CASUALTY
If, prior to the Closing Date, all or any part of the Property shall be condemned by
governmental or other lawful authority such that the remaining property is insufficient for Buyer
to construct the Mixed Use Building (as defined below), Buyer shall have the option, exercised
by delivery to Seller of written notice of such election on or before the fifteenth (15th) business
day following the date on which Buyer receives from Seller written notice of such condemnation
of either (a) completing this transaction, in which event (i) there shall be no reduction of the
Purchase Price, (ii) Seller shall have no duty to repair or restore, (iii) Seller shall pay to Buyer all
condemnation proceeds received by Seller with respect to such condemnation, and (iv) Seller
shall assign to Buyer all rights of Seller in and to such condemnation proceeds, or (b) terminating
this Contract.
13. LEASES AND OTHER AGREEMENTS
During the period from the date of this Contract to and including the Closing Date, Seller
shall not, without the prior written consent of Buyer enter into a lease of the Property that has a
term extending beyond the Closing Date.
14. CLOSING
Closing Date. Provided all conditions to closing set forth in this Contract have been
satisfied or waived by Buyer and Seller, and this Contract has not been terminated in accordance
with the provisions herein set forth, the transaction contemplated herein shall close within thirty
30) days of the satisfaction or fulfillment of all conditions of closing, or such other date as is
mutually agreeable to Seller and Buyer, PROVIDED, however, that if Closing does not occur on
or before , Seller may, in its sole discretion, terminate this Contract and
neither party shall have any further obligations to the other party. Such date for the closing of
title is herein called the "Closing Date" or such occurrence is called the "Closing" or "closing".
Seller's Deliverables. On or before the Closing Date, Seller shall deliver or cause to be
delivered to the Title Company the following: (a) Special Warranty Deed; and (b) Seller's
Closing Statement and such other documents as Title Company may require at Closing and
which are approved by the Seller.
Buyer's Deliverables. On or before the Closing Date, Buyer shall deliver or cause to be
delivered to the Title Company the following: (a) by federal wire transfer of funds to the Title
Company's escrow account an amount equal to (i) the balance of the Purchase Price due at
closing, adjusted as herein provided, plus (ii) the aggregate amount of closing costs for which
Buyer is responsible as provided herein, all as shown on Buyer's closing statement; (b) and
Buyer's Closing Statement and such other documents as Title Company may require at Closing.
15. POSSESSION
Exclusive possession of the Property shall be delivered to Buyer on the Closing Date.
16. BROKERAGE
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Seller hereby represents and warrants that it has not engaged the services of any real
estate agent, broker or firm in connection with the Property or this real estate transaction. Buyer
hereby represents and warrants that it has not engaged the services of any real estate agent,
broker or firm in connection with the Property or this real estate transaction.
17. SURVIVAL
Except as otherwise set forth herein, all warranties, representations, covenants,
obligations,
and agreements contained in this Contract shall survive the closing hereunder and the transfer
and conveyance of the Property and any and all performances hereunder for a period of six (6)
months.
18. TIME
Time is of the essence of this Contract.
19. NO WAIVER
Except as herein expressly provided, no waiver by a party of any breach of this Contract
or of any warranty or representation hereunder by the other party shall be deemed to be a waiver
of any other breach by the other party (whether preceding or succeeding and whether or not of
the same or similar nature), and no acceptance of payment or performance by a party after any
breach by the other party shall be deemed to be a waiver of any breach of this Contract or of any
representation or warranty hereunder by such other party, whether or not the first party knows of
such breach at the time it accepts such payment or performance. No failure or delay by a party to
exercise any right it may have by reason of the default of the other party shall operate as a waiver
of default or modification of this Contract or shall prevent the exercise of any right by the first
party while the other party continues to be so in default.
20. INSTRUMENTS IN WRITING
No agreement, consent, approval, notice, amendment, modification, understanding, or
waiver of or with respect to this Contract or any agreement, instrument, or document entered into
pursuant to or with respect to this Contract, or any term, provision, covenant, or condition hereof
or thereof, nor any approval or consent given under or with respect to any of the foregoing, shall
be effective for any purpose unless contained in a writing signed by the party against which such
agreement, amendment, modification, understanding, waiver, approval or consent is asserted.
21. NOTICES
Any and all notices, requests, demands, or other communications hereunder shall be
deemed to have been duly given if in writing and if transmitted by hand delivery with receipt
therefor, by facsimile delivery (with confirmation by hard copy), by overnight courier, or by
registered or certified mail, return receipt requested, first class postage prepaid addressed as
follows (or to such new address as the addressee of such a communication may have notified the
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sender thereof) (the date of such notice shall be the date of actual delivery to the recipient
thereof):
If to Buyer: Reindl Properties, LLC
Attn: Brian Reindl
509 W Spring St, Ste 310
Fayetteville, AR 72701
greaterproductions@gmail.com
With copy to:
Reed Law Firm, P.A.
3301 S. Market St, Ste 211
Rogers, AR 72758
chris@reedlaw-planning.com
If to Seller:
City of Fayetteville
Attn: Mayor's Office
113 W. Mountain Street
Fayetteville, AR 72701
Mayor@fayetteville-ar.gov
With a copy to: Vicki Bronson
Conner & Winters, LLP
4375 N. Vantage Dr., Suite 405
Fayetteville, AR 72703
vbronson@cwlaw.com
Either party may designate a different address or addresses for itself by notice similarly
given. Any notice given by registered or certified mail shall be deemed to have been given on
the third day after the same is deposited in the mail, and any notice not so given shall be deemed
to have been given upon receipt of the same by the party to whom the same is to be given.
22. ENTIRE AGREEMENT
This Contract contains the entire agreement with respect to the transactions contemplated
herein, and there are no other terms, conditions, promises, understandings, statements, or
representations, express or implied, concerning the same, and neither party is relying on any
representation or statement not specifically contained herein.
23. GOVERNING LAW
This Contract shall be governed by and construed in accordance with the laws of the
State of Arkansas.
24. ESTOPPEL
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Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
Each party confirms and agrees that (a) it has read and understood all of the provisions of
this Contract; (b) it has negotiated with the other party at arm's length with equal bargaining
power; and (c) it has been advised by competent legal counsel of its own choosing.
25. JOINT PREPARATION
This Contract is deemed to have been jointly prepared by the parties hereto, and any
uncertainty or ambiguity existing herein, if any, shall not be interpreted against any parry, but
shall be interpreted according to the application of the rules of interpretation for arm's length
agreements.
26. ASSIGNMENT
Neither party may assign this contract without the prior written consent of the other party.
27. WAIVER OF JURY TRIAL
TO THE EXTENT PERMISSIBLE UNDER APPLICABLE LAW, EACH PARTY HEREBY
WAIVES TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM
BROUGHT BY ANY PARTY AGAINST THE OTHER PARTY ON ANY MATTER
ARISING OUT OF OR IN ANY WAY CONNECTED WITH THIS CONTRACT.
28. ATTORNEYS FEES
If either party is required to bring litigation to enforce its rights under this contract, the
prevailing party shall be entitled to recover its attorney's fees and costs, including expert witness
fees.
29. CONTINGENCIES
In addition to any other conditions or contingencies contained herein, the parties' obligations
to close on this transaction are conditioned upon satisfaction of the following conditions on or
prior to Closing:
A. Buyer and Seller's approval of the Survey.
B. Buyer and Seller's approval and execution of a Development Agreement
concerning the Mixed -Use Building as more particularly described in Paragraph 31.
C. Buyer and Seller's approval and Buyer's execution of the Public Easement, as
more particularly described in Paragraph 30.
D. Buyer's execution and delivery to Seller of a perpetual easement for the use of the
City Restrooms and Storage Space as provided in Paragraph 31.
30. ADDITIONAL CONSIDERATION
As additional consideration for the transactions contemplated herein Buyer agrees to grant a
permanent easement to Seller for pedestrian walking and biking trails ("Public Easement")
located across real property currently owned by Buyer adjacent to the Property. The exact
location of the Public Easement shall be determined by the Survey. In consideration for Buyer's
conveyance of the Public Easement, Seller will pay Buyer Two Hundred Fifty-nine Thousand
Eighty-four Dollars ($259,084.00), which represents the fair market value as determined by the
Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
parties' appraisals and which shall be deducted from the Purchase Price at Closing. A
reconciliation of the final price will be done with final survey and closing documents.
31. DEVELOPMENT OF THE MIXED -USE BUILDING
A material condition of Seller's agreement to sell the Property to Buyer is for Buyer to
develop and construct a Mixed -Use Building ("Building") on the Property as described in that
certain Letter of Intent executed between the parties dated effective November 9, 2022. The
approval of a Development Agreement by Buyer and Seller concerning the design, construction,
and use of the Building and allocation of any shared costs associated with the construction of the
City Restrooms and Storage Space is an express condition to the Buyer and Seller's obligations
under this Contract. The Development Agreement shall incorporate, at a minimum, the
following terms:
A. Buyer will construct a multi -story Mixed Use Building (the "Building")
containing hotel uses and associated meeting spaces, office spaces, street level retail, and
hospitality spaces, and must contain a minimum of one restaurant, cafe, or coffee shop at ground
level. The Building may include additional uses as necessary to meet the financial goals of the
project if approved by Seller. The following Use Units may be allowed, subject to the Seller's
prior approval in conjunction with the Seller's typical processes and procedures for considering
and approving zoning, development, licenses, and permits, including conditional use restrictions:
Unit 4: Cultural and Recreational Facilities; Unit 13: Eating Places; 12a:
Limited Business; 12b: General Business; Unit 14: Hotel, Motel and
Amusement Facilities; Unit 15: Neighborhood Shopping Goods; Unit 16:
Shopping Goods; Unit 19: Commercial Recreation, Small Sites; Unit 25:
Offices, Studios, and Related Services; Unit 26: Multi -Family Dwellings;
Unit 29: Dance Halls; Unit 34: Liquor Stores; Unit 35: Outdoor Music
Establishments; Unit 40: Sidewalk Cafes; Unit 45: Small Scale Production;
and Unit 46: Short Term Rentals.
Provided, however, that nothing contained in this Contract is intended to be nor may be
construed to be a promise or agreement that Seller will approve any of the specific uses
described above. The uses permitted are subject to Seller's prior approval according to Seller's
typical processes and procedures for considering and determining permitted uses. In addition,
certain uses which may be allowed under the zoning categories described above require a
conditional use permit, including, but not limited to Unit 35: Outdoor Music Establishments.
Because of the proximity to the Civic Space (Seller's property adjacent to the Property a/k/a the
Ramble) as well as the Walton Arts Center and other local businesses, the use of amplified music
on the Property requires specific approval by Seller in advance and is subject to all reasonable
conditions which Seller requires, including, but not limited to prohibiting the use of amplified
music after 10:00 p.m. Nothing in this Contract is intended to be nor may be construed to be a
waiver or release of any of Seller's requirements or conditions for receiving a conditional use
permit for any use that may be allowed under the zoning categories stated above.
Further provided, none of the following uses will be permitted on the Property (the
Prohibited Uses") at any time: crematorium; mausoleum; funeral home; furniture repair and
refinishing; taxidermist; vape shops; body piercing/tattoo; gunsmith; animal hospital; animal day
care; day care; bail bonding agencies; hospital; vehicle sales; convalescent home;
boarding/rooming housing (other than is typically associated with hotel use); dormitory;
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Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
fraternity/sorority housing; and slot car track. Any deed from the Seller conveying the Property
to Buyer will contain a restriction against the Prohibited Uses and the restriction will be a
restriction that runs with the Property for a minimum of 75 years.
B. As befits its prominent location, the Building will be a substantial and attractive
building. The Building's design, plans and specifications, including, but not limited to exterior
finishes, and site development are subject to Seller's development review process, ordinances,
and rules and must be approved by Fayetteville City Council. Nothing in this Contract is
intended to or may be construed as a waiver of any of Seller's ordinances, rules, or regulations.
C. The Building will have three primary facades; one facing the Civic Space to the
north, one facing the vacated Spring Street right-of-way to the south, and the third facing West
Avenue to the east. All primary facades will be attractive, well-proportioned, and constructed of
high -quality materials in accordance with the plans and specifications.
D. The Building shall be designed and built in substantial compliance with the
drawings, depictions, and concepts on the attached Exhibit 2 which depict the minimum
standards for materials, design, and architectural features. Any significant deviation from
exterior design reflected on Exhibit 2 may not be approved by Fayetteville City Council.
E. The design and construction of the Building shall comply with all local, state, and
federal building codes, rules, regulations, and laws, including those of Seller.
F. Buyer must present its application for Planned Zoning District (PZD) Review
approval, along with all required documents no later than July 1, 2024. The Building and
associated improvements are subject to approval pursuant to City of Fayetteville Development
Review codes, processes, and procedures, including review by Planning Staff, Planning
Commission, and City Council. Documents shall include all building facades, floor plans of all
levels, infrastructure improvements, multi -use trail details, and all other requirements of City of
Fayetteville codes.
G. Notwithstanding anything contained herein to the contrary, if Buyer does not
secure a Building Permit for the Building within twelve (12) months of substantial completion of
Seller's Civic Space, then this Contract and all agreements pertaining to this Contract shall be
null and void and neither party shall have any obligations to the other party.
H. If Buyer fails to either (a) commence construction of the Building within sixty
60) days of Seller issuing a Building Permit or (b) complete construction of the Building within
twenty-four (24) months of issuance of the Building Permit, then Seller at its sole discretion shall
have the absolute and unconditional right to buy the Property back from Buyer, and any
improvements made as of that date. If Seller elects to exercise its rights under this paragraph, the
purchase price Seller will pay Buyer will be the original Purchase Price Buyer paid Seller for the
Property, plus the fair market value of the completed improvements on the Property as
determined by a third -party real estate appraiser, less all amounts paid by Seller for construction
or construction estimates for the City Restrooms and Storage Space. The provisions for selection
of appraisers contained in Paragraph 30 also apply to this Paragraph.
I. The Building must be designed and constructed to provide a ground floor that is
open and inviting to the public on the north side to accentuate and facilitate the use of the Civic
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Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
Space. The hotel lobby shall be located on the ground floor and shall be open and inviting.
Additionally, a bar, restaurant or cafe and retail uses will be provided on the ground floor.
J. Buyer agrees to make a good faith effort to purchase building supplies and
materials locally to support sales tax revenue for Seller.
K. Buyer must provide all parking required by Seller's parking codes and
requirements at Buyer's cost. Buyer must provide the amount of valet parking to Building guests
that is usual and typical for the size of the Building. As a condition of this Contract and prior to
Closing, Buyer must own or have a written lease for sufficient property to provide parking as
required by Seller's parking requirements, including but not limited to City Code sections 172.05
and 156.03C(5). To the extent Seller has any excess parking spaces available Seller agrees to
lease the excess parking spaces to Buyer at current market rates. Seller makes no representations
that it has any parking spaces available to lease to Buyer.
L. All Building loading recycling, and solid waste and associated receptables must
be located on the west side of the Building. No such activities will be permitted from or facing
any public street.
M. The Building design and construction will incorporate sufficient air filtering to
promote indoor air quality.
N. The Building will be designed and constructed to provide an efficient and
properly designed envelope that will prevent air and water infiltration and reduce thermal
bridging. The Building will implement the use of smart energy -management systems to decrease
energy use in the Building, including but not limited to the installation of smart systems to avoid
heating and cooling vacant rooms.
O. Buyer and Seller will coordinate design consultants on designing bicycle,
pedestrian, automotive, and landscape infrastructure on all sides of the Building. The amount of
the costs of those improvements and an agreement as to which costs will be paid by Seller and
which will be paid by Buyer are a condition of this Contract and a condition of Closing. Once the
costs for these improvements are established, Buyer and Seller agree to pay their pro-rata share
of such costs.
P. Seller agrees to pay one half of the cost of extending water and sanitary sewer to
the Building's site to provide water and sewer to the City Restrooms. Once the costs for these
improvements are established, Seller agrees to pay that amount to Buyer. The amount of such
costs must be reasonable and must be approved by Seller in advance in writing.
Q. Seller will assist Buyer in coordinating burial of existing power lines to the extent
necessary; however, Seller has no obligation to incur any costs associated with burying overhead
power lines.
R. Buyer is responsible for providing all water, sewer, electrical, cable, telephone,
gas, or other utilities to the Building. Seller has no obligation to incur any costs associated with
Buyer's installation of utilities except for the costs associated with extending water and sewer to
the Building site, if any, for the City Restrooms as described above. If it is necessary for Seller
to grant utility easements across its property to provide utilities to the Property, Seller agrees to
grant a utility easement, provided however, that the location of the easement and any utility lines
and equipment are subject to Seller's prior approval.
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Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
S. The Building shall contain public restrooms at street level, accessible from the
Frisco Trail to serve trail and other public space users (the "City Restrooms"). The Building shall
also contain a storage space for storing equipment associated with the planned performance area
of the Civic Space and such other items which City desires ("Storage Space"). In addition:
i. All City Restrooms must comply with the Americans with Disabilities
Act.
ii. Buyer shall be responsible for constructing the City Restrooms and
Storage Space to a "white box" finish, subject to Seller's approval of the design. The City
Restrooms and Storage Space contain a minimum of 1,600 square feet. The Storage
Space shall be located on the west side of the Building for convenient access to the City
Space. The approximate location of the City Restrooms and Storage Space are shown on
Exhibit 3, attached.
iii. The costs of construction of the City Restrooms as a white box finish and
the Storage Space, including the pro-rata share of the cost of foundations, structure, roof,
and exterior walls as well as the electrical rough in, plumbing, and HVAC equipment and
services, and other elements to be paid by the Seller agreed to prior to commencement of
construction of the Building. Buyer is responsible for completing and delivering the City
Restrooms in a white box finish and Seller is responsible for contracting for and paying
the costs to finish out the interior of the City Restrooms as it deems appropriate with a
contractor of its choice.
iv. The Seller shall have exclusive use, control, possession, and right to the
City Restrooms and Storage Space pursuant to a perpetual exclusive easement to be
granted by Buyer, the form of which must be agreed to by the parties and executed prior
to or at Closing. Restrooms and storage to be maintained and serviced by the Seller.
V. In addition to the City Restrooms, the Building must contain separate
public restrooms at ground level for the use of the Building's patrons as required by all
Seller, state, and federal ordinances, rules, and regulations.
T. The Building shall contain a street level "back of house" space to be used by
event organizers in the approximate location as shown on Exhibit 3.
U. Buyer, at its expense, will implement, install, and maintain landscaping on the
Property as required by Seller pursuant to plans developed by Seller's landscape design
architects.
V. Seller shall maintain exclusive control of all of Seller's property and exterior
spaces adjacent to the Building and Property. Should Buyer desire to use any Seller property, the
use must be coordinated with Seller and anchor institutions adjacent to the area, (e.g., Walton
Arts Center, TheatreSquared, etc.) and any other group selected by the Seller to represent its
interests in creating a lively and attractive park and Civic Plaza. Buyer must apply for use of
Seller's property in the same manner as any other member of the public.
W. The Building shall provide a location for the display of local art, to be coordinated
between Buyer and local arts organizations, schools, or the Seller.
X. All other terms and conditions as the parties may agree.
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Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
IN WITNESS WHEREOF, the parties have executed this Contract as of the date first
above written.
BUYER:
REINDL PROPERTIES, INC.
By:
Brian Reindl
Date:
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Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
ATTEST:
By:
Kara Paxton, City Clerk -Treasurer
SELLER:
CITY OF FAYETTEVILLE, ARKANSAS
Lioneld Jordan, Mayor
Date: November 07, 2023
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Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
EXHIBIT 1
Drawing of appropriate location of the Property
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Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
EXHIBIT 2
Conceptual Building design and materials
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Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
EXHIBIT 3
Depiction of approximate location of City Restrooms, Storage Space,
and back of house space
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Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
Ex
II
BUILDING ENVELOPE TO
STAY 3'-0" CLEAR OF EDGE
OF PROPOSED GREENWAY
PROPERTY SALE
PROPOSEDLOT
SPLIT BOUNDARY
10•
EXISTING
PROPERTY LINE
LIMIT OF WORK FOR CIVIC
SPACE CONSTRUCTION
J
GREENWAY ALIGNMENT
AND EASEMENT
PROPOSED LOT SPLIT
DEVELOPER AGREEMENT
J U LY 199 2022
Restrocted use
property included in
the total sales
agreement.
1, 1, 1, 5 1
mwq mq
Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
Abernathy, Waylon
From: Abernathy, Waylon
Sent: Tuesday, November 29, 2022 4:01 PM
To: Norton, Susan
Subject: List of appraisal firms for South Civic Plaza Site
Attachments: APPRAISE.LST.2022.doc
Attached is the list of appraisers that I received from our Land Agent.
It includes appraisal firms that I had already researched that would be better suited for this type of project. (I omitted
one from the original list).
Bryan and I discussed the strategy of the City providing a list of 5 firms, in which he would select 3. We would engage all
3 and take the average appraised value.
This seems like a fair approach to me.
Wade Abernathy
Director of Bond Projects and Facilities
City of Fayetteville
wabernathv(@favetteville-ar.eov
T 479-575-8361
CITY OF
rFAYETTEVILL ARKANSAS
Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
APPRAISERS LIST
Quote Time Comments
Avaluations, LLC
P.O. Box 2991
Fayetteville, AR 72702
Phone (479) 695-1371
Email: avalue(cDcox-internet.com
HCA Principal Commercial
Appraisals
ATTN: Zach J. Holland
PO Box 1501
Fayetteville, AR 72702
479-276-2149
holland(abhollandcommercialappr
aisals.com
The Real Estate Consultants
ATTN: Mark Risk
P.O. Box 747
118 N. East Avenue
Fayetteville, AR 72702
PHONE: 479-442-0762
MOBILE: 479-530-2250
FAX: 479-442-6586
mrisk(cDtrecinc.net
Reed & Associates, Inc.
ATTN: Tom Reed RFQ20-05 Resolution 104-21
3739 N. Steele Blvd., Suite 140
Fayetteville, AR 72703
PHONE: 479-521-6313
treed (cDreedappraisa1.biz
khampton(a-)reedappriasal.biz
Ferstl Valuation Services
Attn: J T Ferstl
101 W Mountain, Ste 210A&B
Fayetteville, AR 72701
PH: 479-595-0245
jtferstl ferstivs.com
Narrative Easement
Form Fee Simple
Letter Other
COMMENTS:
Photos Required
Notify Owner
Federal Project
Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E
South Plaza Property Apprasials Comparison and Average
Holland Commercial Appraisers Ferstl Valuaton Services The Real Estate Consultants Average
Tract A Hotel Property
Value 1,150,000 1,240,011 1,075,000 1155004
Square Feet 21,927 21,927 21,927
Price/Square Feet 54.00 54.91 49.01 52.64
Tract B Limited Use Land
Value 58,000 60,952 99,000 92,451 (Based on 2196 square
Squae Feet 2196 1100 2196
Price/Square Feet 26.41 54.91 45.00 42.10667
Tract C Permanet Trail Easement
Value 270,000 385,000 220,000 259,084 (Based on 5220 square
Suare Feet 5220 6988 5220
Price/square Feet 51.75 55.00 42.15 49.63333
Docusign Envelope ID: 4175B64C-BF90-82CD-83E6-AB17E6123A1E