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HomeMy WebLinkAbout13-98 RESOLUTION• • RESOLUTION NO 13 - 98 A RESOLUTION APPROVING THE OFFER AND ACCEPTANCE CONTRACT BETWEEN THE CITY AND D.J. HAMMOND AND ASSOCIATES, INC. IN THE AMOUNT OF $1,100,000, AND AUTHORIZES THE MAYOR AND CITY CLERK TO EXECUTE SAID CONTRACT; AUTHORIZING THE ACQUISITION OF 14.02 ACRES NEAR THE HAPPY HOLLOW ROAD OPERATIONAL FACILITIES; AND APPROVAL OF A BUDGET ADJUSTMENT. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council hereby approves the Offer and Acceptance Contract with D.J. Hammond and Associates, Inc. in,the amount of $1,100,000 to sell approximately 20.6 acres located at the southeast quadrant of the intersection of Cato Springs Road and Razorback Road; and authorizes the Mayor and City Clerk to execute said contract. A copy of the contract is attached hereto marked Exhibit "A" and made a part hereof. Section 7. The City Council hereby authorizes the acquisition of approximately 14.02 acres, more or less, east of Happy Hollow Road and north of the operational facilities as more fully described in Exhibit "B" attached hereto and made a part hereof. Section 3. The City Council hereby approves'a budget adjustment increasing revenue in these accounts: Gain/Loss on Sale of Assets, Acct. No. 5400 0940 6881 02 in the amount of $803,000 and Gain/Loss on Sale of Assets, Acct. No. 1010 0001 4881 02 in the amount of $250,000; and decreases revenue in accounts as follows: Land Acquisition, Acct. No. 5400 5600 5805 00 in the amount of $225,000; Building Cost, Acct. No. 5400 5600 5804 00 in the amount of $368,000; Parking Improvements, Acct. No. 5400 5600 5819 00 in the amount of $100,00; Professional Services, Acct. No. 5400 5600 5314 00 in the amount of $110,000; and Building Cost, Acct. No. 1010 6600 5804 00 in the amount of $250,000. A copy of the budget adjustment is attached hereto and made apart hereof. ✓ f{ai ASSE/D.AND APPROVED this 3rd day of February ; 1998. ' ••• '"fv ,4 t F• / .• •.• d ATTEST: By e7.-n.t Nee( ane Heth, Deputy City Clerk APPROVED: By: 4d/r., Fred Hanna, Mayor City of Fayetteville„Arkansas” Bhdget Adjustment Form Budget Year 1998 Department: Public Works Division: Water & Sewer Program: Date Requested Jan 13, 1998 Adjustment # Project or Item Requested: Funding is requested to purchase land, perform building improvements for Water & Sewer Maintenance and Water & Sewer Meter Operations as well as construct building improvements for Children's House. Project or Item Deleted: None. Land sale proceeds from Cato Springs facility is proposed for this adjustment. c Justification of this Increase: The land and buildings requested will be needed if the Cato Springs property is sold. Justification of this Decrease: An offer to purchase the Cato Springs property is submitted for'City Council consideration. Increase Expen e (Decrease Revenue) Account Name Amount Account Number Land Acquisition Building Cost Parking Improvements Professional Services Building Cost Account Name Gain/Loss on Sale of Assets 225,000 5400 5600 368,000 5400 5600 100,000 5400 5600 5805 00 , 5804 00 5819 00 4 110,000 5400 5600 5314 00 250,000 1010 6600 5804 00 Project Number • Decrease Expense (Increase Revenue) Amount Account Number t Project Number 803,000 5400 0940 6881 02 Gain/Loss on Sale of Assets 250,000 1010 0001 4881 02 Requested By Department Director Admin. D/ May Date Date n. of Approval ' Posted to General Ledger Posted to Project Accounting Entered in Category Log Blue Copy: Budget & Research / } eBow Copy: Requester D.J. HAMMOND & ASSOCIATES February 10, 1998 Ben Mayes City of Fayetteville Fayetteville, Arkansas 72701 Dear Mr. Mayes: • RECEEVr7„ FEB 11 1998 -;ITV OF FAYETTE\ • MAYOR'S OFFIC 1401-B WEST AVENUE AUSTIN, TEXAS 78701 (512) 328-0166 FAX (512) 469-6012 Enclosed is the executed contract for the 20 acres on Razorback Road. Please call me at (512) 328-0166 if you have any questions. Thank you. Sincerely, Mit Jn Mac Jones • OFFERAND ACCEPTANCE CONTRACT Buyer, D J Hammond and Associates, Mc., a Texas corporation, its nominee or assignee, offers to buy, subject to the terms and conditions set forth herein, the following described property of the Seller, the City of Fayetteville, Arkansas, a municipal corporation: A part of the Northwest Quarter (NW'/) of the Northeast Quarter (NE'/) of Section Twenty -Nine (29), Township Sixteen (16) North, Range Thirty (30) West, more particularly described as follows, to -wit: Beginning at a point which is 44.3 feet South and 305.6 feet West 701.2 feet to the East line of Cato Springs Road, thence North 16 degrees 14' East along the East line of said road 229.4 feet; thence North 14 degrees 36' East along the East line of said road 499.1 feet; thence East 511.2 feet to the point of beginning, containing 9.75, more or less. A part of the North half (N%2) of the Northeast Quarter (NE'/4) of Section Twenty -Nine (29), Township Sixteen (16) North, Range Thirty (30) West, described as follows, to -wit: Beginning at a point which is 44.3 feet South and 305.6 feet West of the Northeast corner of the Northwest Quarter (NW'/4) of the Northeast Quarter (NE'/4) of said section 29; thence running South 1276.5 feet, thence North 89 degrees 43 minutes, East 538 feet to the St. Louis and San Francisco Railroad right of way 897.2 feet; thence South 78 degrees 2 minutes West 150.5 feet; thence North 10 degrees 1 minute West 434.1 feet to the south line of the Cato Springs Road; thence West 150 feet to the point of beginning, containing 10.8 acres, more or less. 2. Purchase Price: Subject to the following conditions the Buyer shall pay for the property at closing the total and cash payment of ONE MILLION ONE HUNDRED THOUSAND AND NO/100 DOLLARS ($1,100,000.00). • 3. Earnest Money Deposit: The Buyer herewith tenders a check for TWENTY-FIVE THOUSAND AND NO/100 DOLLARS ($25,000) ("Earnest Money") to the Seller as earnest money, which shall apply on the purchase price. If the Seller fails to fulfill any obligations under this contract, the earnest money shall be promptly refunded to the Buyer. If Buyer fails to fulfill his obligations under this contract or, after all conditions have been met, Buyer fails to close this transaction the earnest money may at the option of the Seller, become liquidated damages to the Seller. 4. Conveyance: Conveyance will be made to Buyer by general warranty deed, except it shall be subject to recorded instruments and easements, if any, which do not materially affect the value of the property. 5. Time of Essence: All parties hereto recognize and agree that time is of the essence. Therefore, unless this offer and acceptance is signed by both Buyer and Seller on or before February 6, 1998, the Buyers offer shall become null and void, and neither party shall have any liability to the other. 6. Title Insurance: Seller shall famish at Seller's expense, a policy of title insurance covering the property in the amount of the purchase price. Seller shall provide at Buyer's request, true, complete and legible copies of all instruments necessary to fully explain the extent, scope and effect of any matters which may be listed as title exceptions in the policy. 7. Survey: Within fourteen (14) days after the execution of this contract Seller agrees, at Sellers expense, to deliver to Buyer a survey of the property. Such survey shall show the location of the property, of all improvements, fences, easements, roads and right-of-way. 8. Closing Costs: Any costs not specifically covered by this contract will be borne in the same manner as is customary in Washington County, Arkansas in connection with the sale of real estate of the type contemplated by this contract • • 9. Legal Fees: Buyer and Seller each shall pay their own legal fees, if any, for this transaction. 10. Commission and Fees: At closing, Seller is responsible for paying any commissions or fees which shall be due to Equitable Realty Advisors, Inc., Austin, Texas and Metro Brokers, Inc., 3810 Front Street, Suite 10, Fayetteville, Arkansas. Said commission shall be ten percent (10%) which shall be split equally between Equitable Realty Advisors, Inc and Metro Brokers, Inc. Purchaser shall have no obligation to pay any sales commissions, and Seller shall indemnify Purchaser against claims for any sales commissions. 11. Feasibility Period: Buyers shall have until the close of business on May 15, 1998 ("Feasibility Period") to conduct such physical inspections and other tests, examinations, studies, and appraisals of the property as buyer deems necessary. Buyer shall have the right during the Feasibility Period to enter on to the property and Seller agrees to provide any information in its possession or cause to be provided any reasonable information requested by the Buyer and will be available to the Buyer to answer any questions which the Buyer may reasonably ask concerning the property and its operations. 12. Notice of Election not to Proceed: If the Buyer elects during the Feasibility Period not to proceed with this transaction for any reason and at Buyer's sole discretion, Buyer shall notify the Seller in writing of such election and all earnest money shall be returned to the Buyer within three (3) business days of such notice and all parties shall have no further obligations or duties with respect to this contract which shall be null and void. 13. Rezoning: Notwithstanding anything to the contrary contained in Paragraph 11 above or elsewhere in this Contract, if Buyer is unable to obtain the appropriate zoning to allow the construction of at least 162 units by the Closing Date, as herein defined, this Contract will be deemed by all parties to be null and void and all Earnest Money shall be returned to Buyer. Buyer shall be required to make application for such rezoning within 21 days from the date this Contract is accepted by all parties. --_�_ 14. Property Address Change. This agreement is expressly made contingent upon the property address being officially changed to reflect Razorback Road as its address. 15. Seller's Vacation of Property: Sellers shall have ten (10) months from May 15, 1998 to remove from the property any and all materials, structures, fixtures, or equipment it desires. Seller agrees to leave the property in a generally clean and reasonable manner upon vacation. Buyers must remove any materials, structures, fixtures or equipment remaining on the property at their own expense. 16. Proration of Taxes: Taxes and special assessments due on or before Seller's vacation of the property shall be paid by the Seller. Insurance, general taxes, ad valorem taxes, special assessments and rental payments, if any, shall be prorated as of the date of Seller's vacation of the property. 17. Risk of Loss: Risk of loss or damage to the property by fire or other casualty occurring up to the time of Seller's vacation of the property is assumed by the Seller and Seller shall provide acceptable evidence to Buyer that sufficient loss coverage is in effect. 18. Governing Law: This contract shall be governed by the laws of the State of Arkansas. 19. Closing: Closing shall occur on or before May 29, 1998 (the "Closing Date"). However, funding of the purchase price shall not occur until Seller has vacated the property in accordance with paragraph 15. 20. No Personal Liability: It is an express condition on which this contract is made and accepted, and a condition upon which the contract pursuant hereto shall be made and accepted, that no officer, trustee, or beneficiary executing this contract shall ever be made personally liable for the obligations thereof. 21. Entire Contract: This Contract, when executed by both Buyer and Seller shall contain the entire understanding and agreement of the parties with respect to the matters referred to herein and shall supersede all price or contemporaneous agreements, representations and • • understanding with respect to such matters, and no oral representations or statements shall be considered a part hereof. 22. NOTICE: SELLER ASSERTS AND BUYER HEREBY ACKNOWLEDGES THAT THIS OFFER IS EXPRESSLY CONTINGENT UPON THE CITY OF FAYETTEVILLE'S CITY COUNCIL'S FORMAL APPROVAL BY RESOLUTION OF THIS OFFER OF PURCHASE AND THAT THE FAILURE OF THE CITY COUNCIL TO SO APPROVE WILL MAKE ALL PORTIONS OF THIS OFFER NULL AND VOID, INCLUDING, BUT NOT LIMITED TO, THE RETURN TO BUYER OF THE $25,000 EARNEST MONEY DEPOSIT. D. J. HAMMOND & ASSOCIATES, INC. A Texas Corporation. 2-/O- 9 r Date BUYER Date CITY OF FAYETTEVILLE, ARKANSAS A Munic' Corporattiio / ,vim 07 -s -7g MAYOR Date ATTEST: /Gl„2.e- yP ITY CLERK D -e 1 y tri-1311:uta.iau-lifarKY• i.}ae.t:u.a•..II01:I•01 ‘.rtl11.udr ..I.:i'us.-. , i•jimyalssi AILln PDI Financial Corp. Imprest Account 6363 Woodway #1000 Houston, Tx 77057 (713) 977-4844 PAY TWENTY-FIVE THOUSAND AND NU/100 DOLLARS WASHINGTON ABSTRACT COMPANY TO THE ATTN: JIM PLUMBLY ORDER212 WEST EMMA OF SPRINGDALE AR 72765 • • Bank One, Texas N.A. Houston. TX 32-61 / 1110 DATE 02/06/98 No.030858 AMOUNT ****$25,000.90 VOID AFTER 90 DAYS MP 10'03085810 L0006 Lia: 1824137622" PDI Financial - Imprest Account Vendor # 959800 GL Account It Invoice # Inv.Date 1730- -052 EARNEST MONEY 02/05/98 A .ncivtLLQ A2 J 030858 Co -Pro Project Narne Amount to Pay 30-835 DMC OPERATION 251000.00 TOTAL 25+000.00 .:w 05/12/1998 15:42 713-260-7825 DMC BUILDERS t'WY-07-1999 02;21 FROM FRY. CITY FTTy. OFFICE TO 917152607825 P.02 AMENDMENT TO TICE OFFER AND ACCEPTANCE CONTRACT BETWEEN DJ. HAMMOND ASSOCIATES, INC. AND THE C1TY OF FAYETTEVILLE, ARKANSAS Buyer, Di. Hammond and Associates, btu, a Team Corporation, its nominee or assignee. and Sella, the City of Fayetteville, Arkansas, a Municipal Corporation. enter into the followiog amendment to their Oda and Acceptance Contract algmed by the Buyer on February 10, 1998, and signed by the Seller on February 5. 1998, attached hereto as Exhibit' 'A" (hereinafter referred to as the 'contract'). PAGE 01 Res. /3- 98 t9Mend / MICROFILMED 1. Paragraphs I I, 15, sad 19 of the contract are deleted to be replaced wttb the following: 11. Feasibility Period: Buyers shall have until the close of business 10 days after large seal; development approval by the Fayetteville Planing Commission of the Buyers development proposal for the purchased property to conduct such physical inspections and *Om tests, examinations, studies, and appraisals of the property as buya deems necessary. Buyer shalt have the right during the Feaa'biGry Period to enter on to the property and Sella egrets to provide any iafotmation in its possession or cause to be provided any reasonable information requested by the Buyer and will be available to the Buyer to answer any questions which the Boyer may reasonably ask concerning the property and its operations. 15, Sena's Vacation of Property: Seller shall have tem (10) months from the and of the buyer's Feasibility Period es set forth in paragraph 1 I. above to remove from the Property say and all materials, structures, Baratta, or equipment it desires. Sella agrees to leave the property in a generally clash and reasonable manner upon , vacation. Buyers must remove any materiels, structures, Shared or equipmeol remaining on the properly at their own expense. 19. Closing: Closing shall occur on or before two weeks from the cad of the buyer's Feasibility Period u set forth in paragraph 11. above, however. Balding of the purchase price shall not occur anal Sella hu vacated the property in accordeoce with paragraph 15. 2. All potions of flue contract not specifically deleted «replaced herein ruin in full force and effect. D.1- IdAMMOND & ASSOCIATES, INC. A Texas Corporation. BF a. / C1TY OF FAYETTEVILLE, ARKANSAS A Mum�atl oar. FIANNA, MAYOR Ps WOODRUFF,CTri Date TDTPL P.02