HomeMy WebLinkAbout63-01 RESOLUTIONRESOLUTION NO. 63-01
A RESOLUTION APPROVING AN OFFER AND ACCEPTANCE
CONTRACT FOR THE TRANSFER OF VACANT PROPERTY
LOCATED AT 897 N. CROSSOVER ROAD FROM THE CITY OF
FAYETTEVILLE TO THE WILLIAM E. HOUSE TRUST.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1. That the City Council hereby Approves an Offer and
Acceptance contract for the transfer of vacant property located at 897 N.
Crossover Road from the City Of Fayetteville to the William E. House
Trust.
Section 2. That the City Council authorizes the Mayor and the City Clerk to sign
such a contract with the William E. House Trust.
PASSED AND APPROVED this / S day of May, 2001.
By: da ���If/
eather Woodruff, City Cler
APPROVED:
By:
iiiihr
• EXHIBIT A
OFFER AND ACCEPTANCE CONTRACT
Olga House, Trustee of the William E. House Trust, hereinafter referred to as the
Buyer, offers to buy, subject to the terms and conditions set forth herein, the following
described property:
SEE ATTACHED EXHIBIT "A"
FOR PROPERTY DESCRIPTION
2. Purchase Price: Subject to the following conditions, the Buyer shall pay for the
property at closing, the total and cash payment of $18,000.00.
3. Contingent Earnest Money Deposit: The Buyer herewith tenders a check for $_
I Doo.GO to the City of Fayetteville, Arkansas, hereinafter referred to
as the Seller, as earnest money, which shall apply on the purchase price. This offer
of purchase is contingent upon approval of the City Council of the City of Fayetteville,
Arkansas, and, if they do not so approve, the eamest money deposit will be returned
to the Buyer by the Seller If title requirements are not fulfilled or the Seller fails to
fulfill any obligations under this contract, the earnest money shall be promptly
refunded to the Buyer. If the Buyer fails to fulfill his obligations under this contract or
after all conditions have been met, the Buyer fails to close this transaction, the earnest
money may, at the option of the Seller, become liquidated damages to the Seller.
Alternatively, the Seller may assert legal or equitable rights which it may have because
of breach of this contract.
4. Conveyance will be made to the 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. Such conveyance shall include mineral rights owned by the
Seller
5. The Seller shall furnish, at the Buyer's cost, a policy of title insurance in the amount
of the purchase price from a title insurance company as selected by the Buyer.
6. Seller agrees to allow Buyer, if Buyer so desires, at Buyer's expense, to survey the
property. Seller agrees to cure any title problems which may result from any
differences between the recorded legal descriptions of the property and the survey
description. Said title problems, if any, must be solved prior to closing to the
satisfaction of the Buyer.
7. Taxes and special assessments due on or before closing shall be paid by the Seller.
Insurance, general taxes, ad valorem taxes, special assessments and rental payments
shall be prorated as of closing.
8. The closing date is designated to be within thirty (30) days after acceptance of this
offer by the Seller, being that this offer of sale is contingent upon the approval by the
City Council of Fayetteville, Arkansas. If such date of closing falls on a weekend or
holiday, it will be held the following working day
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OFFER AND ACCEPTANCE CONTRACT
Page 2 of 5
9. Possession of the property shall be delivered to the Buyer on the date of closing.
10. Seller hereby grants permission for the Buyer or its employees or designates to enter
the above described property and improvements for the purpose of inspection and/or
surveying.
11. All fixtures, improvements and attached equipment are included in the purchase price.
12. Risk of loss or damage to the property by fire or other casualty occurring up to the time
of closing is assumed by the Seller.
13. Seller shall disclose to Buyer any and all environmental hazards of which Seller has
actual knowledge. Upon acceptance of all conditions and terms of this Offer and
Acceptance, Buyer and Seller shall share equally the costs of any and all testing for
the existence of environmental hazards. Should the existence of environmental
hazards be known or determined, Seller shall cure such, at Seller's expense, or in the
alternative, at Buyer's discretion, Buyer may cure such environmental hazard, and
Seller shall indemnify Buyer for all costs associated with said cure.
14. This agreement shall be governed by the laws of the State of Arkansas.
15. This agreement, when executed by both the Buyer and the 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.
16. This contract expires, if not accepted on or before the IS -114 day of
I1f1D�� 2001.
17. NOTICE: BUYER ASSERTS AND SELLER HEREBY ACKNOWLEDGES
THAT THIS OFFER IS EXPRESSLY CONTINGENT UPON THE
APPROVAL OF THIS OFFER OF SALE BY THE CITY COUNCIL
OF FAYETTEVILLE AND THAT THE FAILURE OF THE COUNCIL
TO SO APPROVE WILL MAKE ALL PORTIONS OF THIS OFFER
NULL AND VOID, AND WILL RESULT IN THE RETURN TO BUYER
OF THE $ I Doe EARNEST MONEY DEPOSIT.
J
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OFFER AND ACCEPTANCE CONTRACT
Page 3 of 5
SELLER:
City of Fayetteville, Arkansas,
a municipal corporation
Dan Coody, Mayor
�
� ��
H ther Woodruff, City CI
BUYER:
Olga H " se, Trustee of the
William E. House Trust
AGENT OR WITNESS:
Date:
Date: t7A/
Date: 4/z*J'
Date: 412.4101
(SEAL)
•
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OFFER AND ACCEPTANCE CONTRACT
Page 4 of 5
EXHIBIT "A"
PROPERTY DESCRIPTION
EXHIBIT A
Lot Five (5) of Block Three (3) of Eastwood Subdivision to the City of Fayetteville,
Washington County, Arkansas, LESS AND EXCEPT that portion of said Lot 5 conveyed to
the Arkansas State Highway Commission and filed of record in Book 98-100830 with the
Circuit Clerk and Ex -Officio Recorder of Washington County, being more particularly
described as follows: Commencing at the Southwest corner of Lot 4, Block 3 of Eastwood
Subdivision; thence North 85° 11' 39" East along the South line of Lot 4 a distance of 117.32
feet to a point on the Westerly proposed right of way line of Arkansas State Highway 265 for
the Point of Beginning; thence continue North 850 11' 39" East along the South line of Lot 4,
Block 3 of Eastwood Subdivision a distance of 49.49 feet to a point on the Westerly existing
nght of way line of Arkansas State Highway 265; thence South 16° 17' 10" West along said
existing right of way line a distance of 214.20 feet to a point on the South line of Lot 5, Block
3 of Eastwood Subdivision; thence South 85° 11' 39" West along said South lot line a
distance of 52.45 feet to a point on the Westerly proposed right of way line of Arkansas State
Highway 265; thence North 17° 01' 12' East along said proposed West right of way line a
distance of 215.28 feet to the Point of Beginning, said Less and Except containing 10,186
square feet, more or Tess, and being subject to nghts of way and easements of record.
SIGNED FOR IDENTIFICATION:
SELLER:
an Coody, Mayor
BUYER.
/la." i AOJ
Olga `ouse, Trustee of the
William E. House Trust
*lii7A1-44s1
14-1z 416 I
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• 1 EXHIBIT A
OFFER AND ACCEPTANCE CONTRACT
Page 5 of 5
STATE OF ARKANSAS
COUNTY OF WASHINGTON
ACKNOWLEDGMENT
)
)
)
ss.
BE IT REMEMBERED, that on this date, before the undersigned, a duly commissioned and
acting Notary Public within and for said County and State, personally appeared Dan Coody and Heather
Woodruff, to me well known as the persons who executed the foregoing document, and who stated and
acknowledged that they are the Mayor and City Clerk of the City of Fayetteville, Arkansas, a municipal
corporation, and are duly authorized in their respective capacities to execute the foregoing instrument
for and in the name and behalf of said municipal corporation, and further stated and acknowledged that
they had so signed, executed and delivered said instrument for the consideration, uses and purposes
therein mentioned and set forth.
WITNESS my hand and sealor�,� day of gnif .
°91 yANq
14'1. NOT ` P.c
MY COMMISSION EXPIRES:=_ -a : -o . Ng.
Y- /—o 8' �; G64 :�Qy
%tire AR*
2001.
Nbfary Public
STATE OF ARKANSAS
COUNTY OF WASHINGTON
ACKNOWLEDGMENT
)
)
)
SS.
BE IT REMEMBERED, that on this date, before the undersigned, a duly commissioned and
acting Notary Public within and for said County and State, personally appeared Olga House, Trustee of
the William E. House Trust, to me well known as the person who executed the foregoing document, and
who stated and acknowledged that she had so signed, executed and delivered said instrument for the
consideration, uses and purposes therein mentioned and set forth.
WITNESS my hand and seal on this 24iA-day of
MY COMMISSION EXPIRES:
Of 2.00-7
71 L
946,
2001.
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FAYETTEVILE
THE CITY OF FAYETTEVILLE. ARKANSAS
DEPARTMENTAL CORRESPONDENCE
•
TO: Fayetteville City Council
THRU: Dan Coody, Mayor
Jim Beavers, City Engineerr+t $.
FROM: Jill Goddard, Land Agent °A
//!//!
DATE: Apnl 16, 2001
SUBJECT: Sale of Property
Lot 5, Block 3, Westwood Addition
Highway 265
As part of the Highway 265 widening, the Arkansas Highway and Transportation
Department (AHTD) acquired 50 feet of right of way from Lot 5, Block 3, Westwood
Addition in November 1998. This nght of way acquisition also meant the purchase of the
residence at 897 N. Crossover Road and the relocation of the owner. The remainder (after
the taking of nght of way and residence) was appraised by the AHTD to be $33,400.
As part of the Highway 265 widening, the City and the AHTD entered into an agreement
(Res. No. 98-98, approved July 21, 1998) for the cost share of additional drainage
improvements on this project to alleviate drainage problems along Ridgely Drive, which
was outside the project limits. Thus, the City opted to purchase the remainder of Lot 5,
Block 3, Westwood Addition (Res. No. 161-98, approved December 15, 1998) for the
AHTD appraised value of $33,400 for the purpose of constructing drainage structures.
Since purchase of this property, the planned drainage improvements have been altered.
Thus, the City was now planning on doing just some culvert work.
The City of Fayetteville is in receipt of an offer of $18,000 for this property from Jim House,
representative for the William E House Trust, owner of the 12.15 acre tract just west of
and adjacent to the subject property.
In August, 2000, an offer amount was presented to Mr. House of $25,395.00 (see enclosed
letter).
Settlement amount $33,400.00
Less payment for first Gas. Co. easement - 1,865.00
Less payment for second Gas. Co. easement -2,690.00
Deduct estimate for culvert work City would
have done had ownership been retained -3.450.00
Initial offer $25,395.00
1
4.
MEMORANDUM MEMORANDUM
April 16, 2001
Page 2 of 2
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However, the appraised amount included $7,500 for improvements. The previous owner
was allowed to remove these improvements (shop building and fence) within the six month
penod following closing (see letter dated November 13, 1998). Subsequently, the City did
not have to arrange for demolition of these improvements. Thus, since the improvements
no longer exist, their value should have been deducted from our initial offer to Mr. House.
Initial offer
Less improvements value
Remaining value
$25,395.00
-7.500.00
$17,895.00
The City Council is hereby requested to approve a resolution which authorizes the City to
sell the subject parcel for a price of $18,000 plus applicable closing costs. Staff believes
it is appropnate to sell this property at this time as it is no longer crucial for drainage
improvements.
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LeITY EASEMENT MAP.
SIRE ar EASEMEM/
PERMANENT 11774177 IISSEMENT
Z. WO SQ./T. (0.06 ACRES)
TEMPORARY COHEIRUCT/0N EASEMENT
4170 SV.JT. (0.06 ACRES)
Scale: .1"=40'
EXHIBIT "B"
ICATNBRINB C. AMTS
LOT 4
SW CORNER
LOT 4, BLOCK 3
EISTNOOD SUBDMSION
JIP
N83.11•WC
N65.110a•C
10636•
16.76•
64SBVENT TRACT NO. 3.Y
CITY Of FAY277TVILLE
sal
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Mp ODX 1t
CITY R4YAT/LVJLLE' iNp FSM
1
LOT 5
HOUSE
TO BE REMOVED
sp•11•',.•
LOT S
LOT 6
✓BAN RANDLE
r °s134.4r )
LOT 6
s83.11•a9•
fur
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:s❖..... ❖...
•.• ••••..I....•
PERM. WATER/SEWER ESMT.
(DEED REF. 99096446)
30' X 80' PERM. GAS LINE ESMT.
(DEED REF. 2000041529)
PROPOSED
30' X 100' PERM. GAS LINE ESMT.
r / u t2000039182
• •
November 9, 2000
Jill S. Goddard
Land Agent
City of Fayetteville
113 W. Mountain
Fayetteville, AR 72701
Dear Ms Goddard,
I appreciated the opportunity to meet with you and Sid Norbash last week. After meeting
with you I contacted a local real estate agent to assist me in determining an appropriate
counter-offer to the possible purchase the property at 897 N. Crossover Road. He also
felt that I should consider some of the limitations of the property, those included: heavy
traffic and difficult entry onto Highway 265, close proximity to SWEPCO's substation,
difficult sewer access, and certainly large amounts of water expected to flow across the
lot. After meeting with him, my family is prepared to make an offer of $18,000.00 to
purchase this lot.
My first correspondence to you discussed this family's concern of trying to gain alternate
buildable acreage to replace that lost on our existing property due to proximity of
construction of SWEPCO's substation and expected heavier drainage across the property
from diversion of water on Highway 265.
Please consider our offer of $18,000.00 and get back with me if further negotiations are
in order.
Sincerely,
Jibe House
6215 E Huntsville Road
Fayetteville, AR 72701
444-5883
In
FAYETTEVILtE •
THE CITY OF FAYETTEVILLE, ARKANSAS
August 8, 2000
Jim House
6215 E Huntsville Road
Fayetteville, AR 72701
RE: 897 N. Crossover Road
Part of Lot 5, Blk 3, Eastwood Subdivision
Former Locke property
Dear Mr. House.
This letter is in regard to the former Locke property at 897 N. Crossover Road. Enclosed
you will find copies of the following easements crossing this property in connection with utility
relocations prior to the highway widening project:
1) Water/Sewer Easement (Deed Ref. 99-096448).
2) Natural Gas Line Easement (Deed Ref. 2000-041529)
3) Natural Gas Line Easement (Deed Ref. 2000-059179) — additional permanent
easement area and temporary easement.
Please see the attached drawings showing the locations of these easements.
Also enclosed are copies of the Warranty Deed to this property (to the City of Fayetteville),
copy of the settlement statement, and a copy of an interdepartmental memo regarding estimated
culvert cost.
The City paid $33,400.00 for this property. The two easement compensations from
Arkansas Westem Gas Company can then be deducted:
settlement amount $33,400.00
30x80 AWG easement -1,865.00
30x100 AWG easement - 2.690.00
$28,845.00
If you would choose to contract out the culvert work yourself instead of the City doing the
work, then that estimated amount could also be deducted:
$28,845.00
culvert work estimate - 3.450.00
$25,395.00
1 hope this information is helpful to you in preparing your proposed offer of purchase for
this property. If you have any questions or need additional information, please feel free to call me
at 444-3407, Ed Connell at 444-3415, or Sid Norbash at 575-8205.
Sincerely,
ill S. Goddard
Land Agent
l)sg
Enclosures
113 WEST MOUNTAIN 72701 501 521.7700
rsv SAI S7C Ot7
FAYETTEVIPLE
THE CITY OF FAYETTEVILLE, ARKANSAS
DEPARTMENTAL CORRESPONDENCE
•
To: Ed Connell, Land Agent
Thru: Jim Beavers, City Engineer
From: Sid Norbash, Staff Engineer V1e
Date: July 24, 2000
Re: City Lot - Crossover Rd.
Jim House's letter
D
N
In reference to the above City Lot, the City of Fayetteville
intends to do certain drainage improvements to accommodate the
future drainage flows that will result from the improvements and
widening of Highway 265.
The City will install a drainage pipe across the existing drive
located between Mr. House's mother's property and the City's lot.
This is the drive that runs north and south, and is located on the
west side of the City Lot. The City, however, plans no improvements
to the existing ditch running diagonally through the lot.
The estimated cost of installing the culvert across the drive is as
follows:
(1) Install 20 feet of 48" R.C.P.@ $65 per foot $1,300
(2) Install rip -rap lump sum $ 800
(3) Install one flared -end section @ 850 each $ 850
(4) Mobilization $ 500
Total $3,450
If you have any questions please advise.
SN/sn
April 18, 2000
Mayor Fred Hanna
City of Fayetteville
113 W. Mountain
Fayetteville, AR 72701
• •
RECEIVED
APR 202000
CITY OF FAYETTEVILLE
MAYOR'S OFFICE
Mayor Hanna:
I am writing to you an behalf of my mother Olga House and my aunt, Marie Wilson.
They jointly own a parcel of property south of their homes on Manor Drive. Several
weeks ago they received a letter from Jim Beavers, City Engineer, discussing the city's
plans to divert storm water runoff and install a culvert on the east end of their property.
We are concerned that the additional runoff will further reduce the value of their
property. Our families feel that we have already allowed significant reduction of the
property value due to the construction of the SWEPCO substation at the SE corner of the
property. We did not fight or complain about the construction:of.that facility because we
felt that it was in the public's best interest to constructthe substation.. We feel we have
done our public duty.
We feel that if in the future we go ahead.and.subdivide this land we will not have
a very saleable tract adjacent to the substation. Now we understand that the additional
stormwater runoff will prevent the utilization of another possible lot.: We understand that
the city has purchased a lot formerly owned by the Gardner family.. In discussions with
your engineering department we understand that.the city plans to relocate a road culvert
on highway 265 and route additional. stormwaterrrunofacross:thaf'property and - . . ,
terminate through a new culvert at our. property:: We.understand.that.the city.has.no
planned use for the former Gardner propery.and..mightbenwilling'to•negotiate:a sale.. We:
would be in hopes that you would be interested in opening a discussion with -us as to the
feasibility of us purchasing that property allowing the possible gain to us of a buildable
site to replace the site to be lost to us. The purchase could possibly negate the need for
the city to construct the culvert and water diversion system.
Would the city be willing to negotiate a fair and reasonable purchase of this property
by our families? If so would you please contact me?
anis yo
ri 'li
15 E. Huntsville Rd.
yetteville, 72701
443-5883
Le
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66/23/1999
89:32 501-569-2010
AHTD RIGHT OF WAY
. APPRAISAL REPORT
For
ARKANSAS STATE HIGHWAY AND TRANSPORTATION DEPARTMENT
004999 PROTECT: State
AION:
OWNER(S):
RE99t
ONE:
TNNANT(S):
ADDRESS:
PHONE:
County: Washington TRACT: 3X
Hwy. 16 - Hwy. 45
Harry F. Locke, Jr.
697 North Crossover Road, Fayetteville, Arkansas 72701
(501)507-1727
(None)
PAGE B3
AREA OF WHOLE:
AREA OF ROIAINDERt
AREA OF ACQUISITION:
(Title Certificate and
85,68925F(1.96?Ac)
75, 503±SF(1.73tAc)
10,166±SF(.23tAc)
Legal Description Attached)
PERMANENT EASEMENT(S):
TEMPORARY EASEMPMT(8)1
Land,
Improvements:
Total;
ESTIMATED FAIR MARKET VALUE OF THE PSOPIRTT
Defers
Atter
Land:
Improvements;
Total;
FAIR MARKET VALUE OF ACQUISITION:
Temporary Easements;
TOTAL COMPENSATION AS O! Jane 24, 199•
29,400.00
E 151,500.00
•
$
25,900.00
7,500.00
$
•
$
$
•
150,900.00
33,400.00#
147,500.00
147,600.00
ALLOCATION 07 COOa1IATfw
Land: 10,186±9s e(.23tAc) a $15,000/Acre -
Permanent Easements:
Temporary Easements:
Improvements; 1 -Snick Veneer (Split to rear) good quality dwelling
Damages; (To workshop
Cost to Cure Items;
Total Compensation;
a fencing)
3,500.00
121,500.00
22300.00
-0-
147,500.00
Date: July 16, 1998
RELOCATION
Appr..,<At pr,intEN
ems f vw..w�W�
Tomes S Guy, Appraises
1
Jost 004999
Tract: 3X
R
A
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RESOLUTION NO 161-98
•
A RESOLUTION AUTHORIZING THE PURCHASE OF 1.73
ACRES LOCATED ALONG CROSSOVER ROAD FROM HARRY
F. LOCKE, JR. IN THE AMOUNT OF $33,400 PLUS CLOSING
EXPENSES, FOR STORM WATER DRAINAGE IN
CONNECTION WITH IMPROVEMENTS AND THE WIDENING
OF HIGHWAY 265.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE,
ARKANSAS*
Section 1. That the City Council hereby authonzes the purchase of the 1.73 acres located
from Harry F. Locke, Jr. as more fully set forth in Exhibit A; for storm water drainage in connection
with improvements and the widening of Highway 265.
PASSED AND APPROVED this _It day of December , 1998.
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By: zIi1. 44--k
Heather Woodruff, City erk
APPROVED
By.
Fred Hanna, Mayor
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Res. 161-98
•
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EXHIBIT "A"
Lot Five (5) of Block Three (3) of Eastwood Subdivision to the City of Fayetteville,
Washington County, Arkansas, LESS AND EXCEPT that portion of said Lot 5
conveyed to the Arkansas State Highway Commission and more particularly
described as follows: commencing at the Southwest corner of Lot 4, Block 3 of
Eastwood Subdivision; thence north 85°11'39" East along the South line of Lot 4 a
distance of 117.32 feet to a point on the Westerly proposed right of way line of
Arkansas State Highway 265 for the Point of Beginning; thence continue North
85°11'39" East along the South line of Lot 4, Block 3 of Eastwood Subdivision a
distance of 49.49 feet to a point on the Westerly existing nght of way line of
Arkansas State Highway 265; thence South 16°17'10" West along said existing right
of way line a distance of 214.20 feet to a point on the South line of Lot 5, Block 3 of
Eastwood Subdivision; thence South 85°11'39" West along said South lot line a
distance of 52.45 feet to a point on the Westerly proposed right of way line of
Arkansas State Highway 265; thence North 17°01'12" East along said proposed West
right of way line a distance of 215.28 feet to the Point of Beginning, said Less and
Except containing 10,186 square feet, more or less.
e
P
D
'TTEV&LE
VILLE. ARKANSAS
DEPARTMENTAL CORRESPONDENCE
•
TO: Fayetteville City Council
THRU: Fred Hanna, Mayor
Charles E. Venable, Public Works Director
FROM: Jim Beavers, City Engineer
RE:
Highway 265 Road Improvement and Drainage
Property Acquisition
Lot #5, Block #3, Westwood Addition
Harry F. Locke, Jr., Owner
As a part of Highway 265 widening, the City and the Arkansas State Highway Department (AHTD)
have entered into an agreement, approved by the Council on July 21, 1998 as Resolution No. 98-98,
for the cost share of additional drainage improvements..on-this project so as to alleviate current
drainage problems along Ridgely Drive, which is outside the project limits The fore mentioned
project, to be a part of the highway construction project, directed one large drainage pipe along the
west side of the new highway from Ridgely Drive south about 800 feet in the highway right of way
to a point on the subject lot. The contour of that lot is such that the water would then be directed
to the southwest (diagonally across the lot) to the natural watershed. This latter drainage, from the
highway southwest to the natural drainage, will be open ditch. The fact that this open ditch goes
diagonally virtually eliminates the property for any future development purposes by the owner, thus
requiring the City to purchase the property (1.73 acres).
The AHTD has already purchased a 50 ft. right of way requirement from this property. Such right
of way requirement also meant the purchase of the residence and relocation of the owner. The
AHTD has verbally indicated that the remainder (after their taking of ROW land and the residence)
value appraised for $33,400, the amount of payment for the settlement as indicated in the attached
Offer and Acceptance contract. The remainder property has a small shop on it, a building that the
City would have to demolish and remove. In negotiating for this land, additional consideration was
given to the seller's request be able to salvage the building materials from this shop. Since it was
going to cost the city for demolition and removal of the building, his removal of the building was
considered equivalent to the value of the materials salvaged. This then became an additional
consideration on the settlement of this contract to purchase.
The purchase of this land for drainage purposes is not part of the cost share arrangement made with
the Highway Department under Resolution No. 98-98. That arrangement effectively provided for a
large drainage line about 800 feet along the highway to get to this property. Since a drainage
easement across this property is not feasible for the owner, it has been the intention of the City to
purchase the remainder of this property.
The City Council is hereby requested to approve a resolution which authorizes the City to purchase
the subject parcel for a purchase price of $33,400 plus applicable closing costs Staff believes it is
prudent to acquire this land at this time to accommodate the planned drainage system.
c
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FAYETTEVit.LE
THE CITY OF FAYETTEVILLE, ARKANSAS
•
November 13, 1998.
Mr. Harry F. Locke, Jr.
% Mr. Gary Head
Mcllroy Bank & Trust, Inc.
Mcllroy Court
Mission Blvd. & Crossover Road
Fayetteville, AR 72701
RE: City Acquisition
Lot #5, Block #3, Eastwood Subdivision (Remainder)
Dear Mr. Locke and Mr. Head:
In accordance with our discussions relating to the possible City acquisition of the subject
property, we are pleased to include herewith a proposed Offer and Acceptance contract which
provides the terms and conditions under which this acquisition should take place. This contract
relates to the remaining property of Lot #5, Block #3 after that portion of said property which
was conveyed to the Arkansas State Highway Commission for the widening of Highway 265.
Of the original 2.0 acre lot, 0.234 acre and the residence were conveyed to the Highway
Commission, leaving 1.73 acres and a shop building as remainder. The purpose for the City
acquisition of this remainder is to provide an open storm water drainage area diagonally across
this property (see attached diagram).
As indicated by the proposed contract, the price for the acquisition of the remainder is
$33,400 which corresponds to the Arkansas Highway and Transportation Department appraisal
value of the remainder. As additional consideration for this acquisition, the City is willing to
allow you to dismantle and remove the shop building within a period of six months after we
close on this transaction. As you indicated that this be part of the consideration for the sale
of this property, the Cityalso views your removal of this building as a savings to us since the
City would otherwise have to demolish and remove such building from the premises.
It is virtually impossible to close this transaction by the end of November. A purchase
of this magnitude is required by ordinance to be approved by the Fayetteville City Council. AS
of this date and following required procedures, We are already late trying to get it in on the
meeting of December 15, 1998. To get this in as an agenda item, we need to have a signed
contract. As of this week, the engineering staff will prepare and circulate this agenda request
based upon receiving a signed Offer and Acceptance contract by November 30, 1998 at the
latest.
113 WEST MOUNTAIN 72701 501.521-7700
L
H
Harry F. Locke
Offer and Acceptance
Offer Letter
Page 2
• •
Also included herewith is a Vendor Form which needs to be completed and returned to
the City with the signed contract. IRS requires this document to be in City files before we can
issue an earnest money check.
Please return one fully executed original of the Offer and Acceptance document; the
other original is for your retention. If you have any questions or comments, please contact Ed
Connell at 444-3415 or myself at 575-8206.
Enclosures
JB/edc
Sincerely,
Jim Beavers
City Engineer