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HomeMy WebLinkAbout222-26 RESOLUTIONPage 1 113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 Resolution: 222-26 File Number: 2026-3049 A RESOLUTION TO APPROVE THE PURCHASE OF PROPERTY LOCATED AT 123 EAST 15TH STREET FOR $690,000.00, TO APPROVE A CONTINGENCY IN THE AMOUNT OF $10,000.00, AND TO AUTHORIZE THE MAYOR TO SIGN ALL CLOSING DOCUMENTS WHEREAS, the proposed acquisition will support the City’s ability to provide a welcoming, modern, efficient, and accessible animal care services facility; and WHEREAS, the property’s characteristics align closely with the site goals established during the city’s planning and programming work. 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 approves the purchase of the property located at 123 East 15th Street for the amount of $690,000.00, approves a contingency in the amount of $10,000.00, and further authorizes Mayor Rawn to sign all closing documents. PASSED and APPROVED on October 6, 2026 Approved: _______________________________ Molly Rawn, Mayor Attest: _______________________________ Kara Paxton, City Clerk Treasurer Docusign Envelope ID: 31DA20AA-33C2-80B3-8032-527BF76C6560 Mailing address: 113 W. Mountain Street Fayetteville, AR 72701 www.fayetteville-ar.gov CITY COUNCIL MEMO 2026-3049 MEETING OF OCTOBER 6, 2026 TO: Mayor Rawn and City Council THROUGH: Jennifer Walker, Chief of Staff FROM: Quin Thompson, Construction and Capital Improvements Director SUBJECT: APPROVAL OF A RESOLUTION TO PURCHASE PROPERTY LOCATED AT 123 E. 15TH STREET RECOMMENDATION: Staff recommend approval of a resolution authorizing the purchase of property located at 123 E. 15th Street (APN# 765-15170-000 & 765-15171-000) in the amount of $690,000 plus up to $10,000 for associated closing costs, for a total authorization of $700,000. BACKGROUND: The property contains two parcels comprising approximately 8.7 acres and is undeveloped with the exception of a few older agricultural buildings. It has approximately 240 linear feet of E. 15th Street frontage and is zoned Downtown General (DG). The property is offered for sale at $695,000. An appraisal commissioned by the City returned a value of $690,000. The negotiated purchase price equals the appraised value and is $5,000 below the asking price. DISCUSSION: The proposed acquisition will support the City’s ability to provide a welcoming, modern, efficient, and accessible animal care services facility. The property's characteristics align closely with the site goals established during the City's planning and programming work, including: • Site has access to nearby green space in Walker Park and the Razorback Greenway trail network. • Site is located in a centralized location near the Fayetteville square and along a high-volume traffic corridor, providing excellent connectivity for residents and employees who may walk, bike, use transit, or travel by automobile, allowing a facility that is integrated into the community rather than isolated from it. • Site has adequate property to allow for on-site recreational opportunities for the animals in the facility’s care. Staff is also negotiating to acquire an adjacent 1-acre tract at the northeast corner of the property, which is under separate ownership. That acquisition would contribute significantly to the long-term success of the project. Purchase of the adjacent tract would return to Council as a separate item. Docusign Envelope ID: 31DA20AA-33C2-80B3-8032-527BF76C6560 Mailing address: 113 W. Mountain Street Fayetteville, AR 72701 www.fayetteville-ar.gov BUDGET/STAFF IMPACT: This purchase is funded by 2026 Bond Program funds in the Animal Services Facility – Bond Funding project (49060.7670.1000). The project’s budget is $18,249,686, with no expenses or encumbrances to date. This item of $700,000 leaves $17,549,686 for design, construction, and any additional land acquisition. No budget amendment is required. Closing is required within 60 days of Council approval. ATTACHMENTS: 3. Staff Review Form, 4. Land Sale Agreement - Komanders Signed, 5. Komander Deed Exhibit A Docusign Envelope ID: 31DA20AA-33C2-80B3-8032-527BF76C6560 Page 1 City of Fayetteville, Arkansas Legislation Text 113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 File #: 2026-3049 A RESOLUTION TO APPROVE THE PURCHASE OF PROPERTY LOCATED AT 123 EAST 15TH STREET FOR $690,000.00, TO APPROVE A CONTINGENCY IN THE AMOUNT OF $10,000.00, AND TO AUTHORIZE THE MAYOR TO SIGN ALL CLOSING DOCUMENTS WHEREAS, the proposed acquisition will support the City’s ability to provide a welcoming, modern, efficient, and accessible animal care services facility; and WHEREAS, the property’s characteristics align closely with the site goals established during the city’s planning and programming work. 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 approves the purchase of the property located at 123 East 15th Street for the amount of $690,000.00, approves a contingency in the amount of $10,000.00, and further authorizes Mayor Rawn to sign all closing documents. Docusign Envelope ID: 31DA20AA-33C2-80B3-8032-527BF76C6560 City of Fayetteville Staff Review Form 2026-3049 Item ID 10/6/2026 City Council Meeting Date - Agenda Item Only N/A for Non-Agenda Item Quin Thompson 9/17/2026 MAYORS ADMIN (015) Submitted By Submitted Date Division / Department Action Recommendation: Staff recommend approval of a resolution authorizing the purchase of property located at 123 E. 15th Street (APN#765-15170-000 & 765-15171-000) in the amount of $690,000 with an additional $10,000 for associated closing costs. Budget Impact: 4906.860.7670-5805.00 Animal Svcs Facility 2026 Bonds Account Number Fund 49060.7670.1000 Animal Svcs Facility - Bond Funding Project Number Project Title Budgeted Item?Yes Total Amended Budget $18,249,686.00 Expenses (Actual+Encum)$- Available Budget $18,249,686.00 Does item have a direct cost?Yes Item Cost $700,000.00 Is a Budget Amendment attached?No Budget Amendment $- Remaining Budget $17,549,686.00 Purchase Order Number:Previous Ordinance or Resolution # Change Order Number:Approval Date: Original Contract Number: Comments:Item Cost includes $10,000 in closing costs. Docusign Envelope ID: 31DA20AA-33C2-80B3-8032-527BF76C6560 1 LAND SALE AGREEMENT This Land Sale Agreement is made and entered into by and between the City of Fayetteville, Arkansas, an Arkansas municipal corporation (hereinafter "City" or "Fayetteville") and Johann Kasper Komander and Kristen Nipper Komander (hereinafter “the Komanders” or “the Sellers”). TERMS AND CONDITIONS 1. PURCHASE AND SALE Subject to the terms and conditions, mutual promises and covenants of this Agreement, the City of Fayetteville agrees to purchase, and the Komanders agree to sell, approximately 8.7 acres (the “Property”): SEE ATTACHED EXHIBIT “A” FOR PROPERTY DESCRIPTION 2. PURCHASE PRICE Subject to the terms and conditions, mutual promises and covenants of this Agreement, the City agrees to purchase the Property for Six Hundred Ninety Thousand and no/100 dollars ($690,000.00) to be paid to the Sellers by the City on or before the Closing Date. 3. CLOSING DATE AND PLACE Closing shall occur within sixty (60) days of approval by the Fayetteville City Council. The Closing shall occur at 113 West Mountain Street, Fayetteville, Arkansas in a room supplied by the City of Fayetteville or at another location agreed upon by the parties. The Closing Date may be extended upon the mutual agreement of the parties. 4. DATE OF POSSESSION Possession of the Property shall be delivered to the City of Fayetteville on the Closing Date free of any tenancies or other third-party possessory rights. 5. TITLE INSURANCE The Sellers shall order a title commitment on the Property, as soon as practicable following the full execution of this Agreement, through Bronson Abstract Company. If the report on title, binder or commitment discloses any defects in title (other than liens or encumbrances of a definite or ascertainable amount which may be paid at closing), the Sellers shall have thirty (30) days from the date of the City notice of such defects to make a good faith effort to cure such defects and to furnish a report showing the defects cured or removed. If such defects are not cured within thirty (30) days, the City may terminate this agreement or may, at its election, take title subject to any such defects. The cost of the title commitment and the cost of the owner's title policy shall be borne by the Sellers. 6. DEED, TAXES, CLOSING COSTS, AND OTHER DOCUMENTS On the Closing date, the Sellers shall convey marketable and insurable title to the premises by general warranty deed, free and clear of all liens, restrictions, and encumbrances except easements and rights-of-way of record, or as provided in this Agreement. Taxes and special assessments due on or before the date of closing shall be paid by Sellers. Ad valorem taxes shall be prorated as of the date of closing. The City and the Sellers shall equally share the cost of a reasonable closing fee imposed by the closing agent employed by parties provided however that the City shall be responsible for any revenue stamps resulting from this transaction and all recording fees for the deed and other Docusign Envelope ID: 31DA20AA-33C2-80B3-8032-527BF76C6560 2 documents that need to be filed. 7. RISK OF LOSS Risk of loss as to the Property shall remain with the Sellers until the Closing date. 8. THE CITY OF FAYETTEVILLE’S DUE DILIGENCE The City may enter upon the Property to conduct any surveying, testing or inspection it deems necessary to ensure the Property will be appropriate and safe. If the City discovers any problems that would adversely impact its development and use of the Property for its facilities, the City shall notify the Sellers who shall be granted sixty (60) days to remediate any problem. The Sellers may also terminate this Agreement without penalty rather than remediating any problem or issue discovered by the City. 9. NOTICES Notices required by this Agreement shall be in writing and shall be delivered to: City of Fayetteville Johann and Kristen Komander ATTN: Mayor’s Office 187 E. 9th Street 113 W. Mountain Street Fayetteville, AR 72701 Fayetteville, AR 72701 10. AUTHORITY Each of the undersigned individuals represent and warrant that they are authorized to enter into this Agreement on behalf of themselves or their respective entities and that execution hereof will bind all parties to this Agreement. 11. COUNTERPARTS This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which taken together shall constitute one and the same agreement. 12. FACSIMILE For purposes of executing this Agreement, a scanned or facsimile signature shall be as effective an as actual signature. 13. APPLICABLE LAW This Agreement shall be construed and enforced in accordance with the laws of the State of Arkansas with venue in Washington County, Arkansas. 14. SURVIVAL The representations, warranties, and agreements of the parties contained herein shall survive the closing date. 15. NO WAIVERS The waiver by either party hereto of any condition or the breach of any term, covenant or conditions herein contained shall not be· deemed to be a waiver of any other condition or of any subsequent breach of the same or of any other term, covenant or condition herein contained. Docusign Envelope ID: 31DA20AA-33C2-80B3-8032-527BF76C6560 10/06/2026 Docusign Envelope ID: 31DA20AA-33C2-80B3-8032-527BF76C6560 Docusign Envelope ID: 31DA20AA-33C2-80B3-8032-527BF76C6560