HomeMy WebLinkAbout113-14 RESOLUTION19 OkiQ Rol M 111010MUSEI I
A RESOLUTION TO REPEAL RESOLUTION NO. 143-13 AND TO SELL
ABOUT 24 ACRES IN THE FAYETTEVILLE COMMERCE DISTRICT
(FORMERLY INDUSTRIAL PARK) TO PACIFIC VET GROUP -USA, INC.
FOR $360,000.00 AND OTHER VALUABLE CONSIDERATION AND TO
APPROVE A BUDGET ADJUSTMENT
WHEREAS, the initial site in the Industrial Park which the City through Resolution No.
143-13 agreed to sell Pacific Vet Group -USA, Inc. for $223,500.00 was later determined to be
geologically unusable for its proposed development; and
WHEREAS, another 24 acre site in the Industrial Park has been examined and found
acceptable by Pacific Vet Group -USA, Inc. for its new facility.
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 agrees to sell
about twenty four (24) acres of Tract 14 on Industrial Drive in the Fayetteville Commerce District
(formerly the Industrial Park) for $360,000.00 and other valuable consideration as specified and
pursuant to the attached Land Sale Agreement and to repeal Resolution NO.143-13. Mayor Jordan
is hereby authorized to sign the Land Sale Agreement and all necessary documents (including
deeds) that are necessary to effectuate the Land Sale Agreement.
Section 2: That the City Council of the City of Fayetteville, Arkansas hereby approves the
attached Budget Adjustment.
PASSED and APPROVED this 170' day of June 2014.
,TEST:
SONDRA E. SMITH, City Clerk/Treasurer
Smith, Sondra
From:
Williams, Kit
Sent:
Monday, June 30, 2014 4:26 PM
To:
Smith, Sondra
Subject:
Resolution No. 113-14
Attachments:
Res Pacific Vet Group USA.doc
Sondra,
I have corrected the Scrivener's error in Resolution NO. 113-14 which repealed Resolution NO 143-13, but
mistakenly said "143-14" which would be impossible since we are not yet at the 143`d Resolution this year. Please
substitute this corrected version for the Mayor's signature.
Kit Williams
Fayetteville City Attorney
479.575.8313
LA ,1I
Uai d
RESOLUTION NO. 113-14
A RESOL 'PION TO REPEAL RESOLUTION NO. 143-14 AND TO S ..1,
ABOUT 24 ACRES IN THE FAYETTEVILLE COMMERCE DIS" ' IC`I'
(FORMERLY DUSTRIAL PARK) TO PACIFIC VET GROUP -USA INC.
FOR $360,000.00 AND OTHER VALUABLE CONSIDERATION AND TO
APPROVE A BUDkiET ADJUSTMENT
WHEREAS, the initial sl c, in the Industrial Park which the C' y through Resolution No.
143-14 agreed to sell Pacific Vet�roup-USA, Inc. for $223,500.7
was later determined to be
geologically unusable for its propos�d development; and
WHEREAS, another 24 acre s c in the Industrial PqX has been examined and found
acceptable by Pacific Vet Group -USA, Ink'. for its new facility
NOW, THEREFORE, BE IT RESOLVED 13 THE CITY COUNCIL OF THE
CITY OF FAYETTEVILLE, ARKANSAS:
Section 1: That the City Council of the'
sell about twenty four (24) acres of Tract 14 on
District (formerly the Industrial Park) for $36
specified and pursuant to the attached Land Xent.
to sign the Land Sale Agreement and all
necessary to effectuate the Land Sale Agreeia
Section 2; That the City
the attached Budget Adjustment.
PASSED and APPROV
/of Fayetteville, Arkansas hereby agrees to
ustrial Drive in the Fayetteville Commerce
0.00 and other valuable consideration as
rVyetncnt. Mayor Jordan is hereby authorized
documents (including deeds) that are
of the City of
this 17th day of June 2014.
ATTEST:
teville, Arkansas hereby approves
By: Zik,-(,� .1G
LIONE �-61ZD N, Mayor SONDRA E. SMITH, Cit Clerk/Trea
KTRH ��'•.
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LAND SALE AGREEMENT
This Land Sale Agreement is made and entered into by and between the City of
Fayetteville, Arkansas, a municipal corporation of the State of Arkansas (hereinafter
"City" or "Fayetteville") and Pacific Vet Group -USA, Inc.
The City owns a parcel of real estate of approximately 37.1 acres, identified as
Tract 14, on Industrial Drive in the Fayetteville Commerce District (formerly known as
the Industrial Park). Approximately 13.1 acres of Tract 14 are located within the
floodplain (hereinafter "Floodplain Portion"); the remaining 24 acres of Tract 14 are
above the floodplain (hereinafter "Development Site").
The City of Fayetteville agrees to sell the Development Site of Tract 14 to Pacific
Vet Group -USA, Inc. for THREE HUNDRED SIXTY THOUSAND DOLLARS
($360,000.00) and Pacific Vet Group -USA, Inc.'s performance of all of the terms,
conditions and promises set forth later in this Agreement. The City will also grant Pacific
Vet Group USA, Inc. a Right of First Refusal to acquire the Floodplain Portion of Tract
14. Pacific Vet Group -USA, Inc. agrees to pay to the City of Fayetteville THREE
HUNDRED SIXTY THOUSAND DOLLARS ($360,000.00) for the Development Site of
Tract 14 and for the Right of First Refusal to acquire the Floodplain Portion, and to
perform all of the terms, conditions and promises set forth later in this Agreement
TERMS AND CONDITIONS
1. Sale
Subject to existing easements and rights of way and subject to the terms and
conditions, mutual promises and covenants of this Agreement, the City of Fayetteville
agrees to sell a parcel of about 24 acres (hereinafter "Development Site") located at
Industrial Drive in the Fayetteville Commerce District by warranty deed to Pacific Vet
Group -USA, Inc. for the amount of THREE HUNDRED SIXTY THOUSAND
DOLLARS ($360,000.00). This Development Site shall be as shown on the plat
attached at Exhibit A and as more particularly described below. Exhibit A identifies the
Development Site as Parcel `A" and the Floodplain Portion as Parcel `B."
Tract]4, Fayetteville Industrial Park West, Fayetteville, Arkansas, as per
plat on file in the office of the Circuit Clerk and Ex-Officio Recorder of
Washington County, Arkansas, containing 24 acres, more or less.
2. Purchase
Subject to the terms and conditions, mutual promises and covenants of this
Agreement, Pacific Vet Group -USA, Inc. agrees to buy the Development Site for THREE
HUNDRED SIXTY THOUSAND DOLLARS ($360,000.00) to be paid to the City of
Fayetteville on or before the Closing Date as follows:
Pacific Vet Group -USA, Inc. shall present its fully executed 20 year Mortgage and
Note in the amount of THREE HUNDRED SIXTY THOUSAND DOLLARS
($360,000.00) in favor of the City of Fayetteville which will provide for a twenty year
amortization of this principal debt of $360,000.00 and an interest rate that shall be
fixed for the first five years at the current Federal Reserve Primary Credit Rate, plus
one percent (1%). This interest rate shall be annually adjusted after the first five years
to apply the Federal Reserve Primary Credit Rate existing at each anniversary date,
plus one percent (1%). The City agrees to subordinate its first mortgage on the
property to construction and permanent financing of the improvements. Pacific Vet
Group -USA, Inc. shall have the right to fully or partially repay the balance due without
penalty at any time.
3. Fu fill terms of-4rkransas Economic Development Commission.
Pacific Vet Group -USA, Inc. agrees to tblfill all terms and conditions of the Arkansas
Economic Development Commission with respect to any programs for which it contracts to
participate.
4. Development Environmental Protection Goals.
Pacific Vet Group -USA, Inc. agrees to comply with all zoning and land use
requirements imposed by the City in connection with the development of the property.
Zoning is currently I-2, which is permissive of Pacific Vet Group -USA's plans for the
property as a site for research, development and manufacturing of animal health products.
5. Closing Date and Place
Closing shall occur within 60 days following the date this Agreement has been
executed by both parties. The Closing shall occur at 113 West Mountain Street, Fayetteville,
Arkansas in a room supplied by the City of Fayetteville.
6. Date of Possession
Possession of the Development Site shall be delivered to Pacific Vet Group -
USA, Inc. on the Closing date free of any tenancies or other third party possessory
rights.
7. Title Insurance
The City of Fayetteville shall order a title commitment on the Development Site,
as soon practicable following the full execution of this Agreement, through a title
insurance company selected by the City and acceptable to Pacific Vet Group -USA, Inc. 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
City shall have thirty (30) days from the date of Pacific Vet Group -USA, Inc. 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, Pacific Vet Group -USA, Inc. 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 City of Fayetteville. The cost of
any lender's title policy and extended owner's title insurance coverage shall be borne by
Pacific Vet Group -USA, Inc.
8. Deed and Other Documents
On the Closing date, the City of Fayetteville shall convey marketable and
insurable title to the premises by general warranty deed, free and clear of all liens,
restrictions, and encumbrances except as provided in this Agreement, subject only to
current real estate taxes, if any (to be apportioned between the parties) and existing
easements. Pacific Vet Group -USA, Inc. and the City of Fayetteville shall equally share
the cost a reasonable closing fee imposed by the closing agent employed by parties
provided however that Pacific Vet Group -USA, Inc. shall be responsible for any revenue
stamps resulting from this transaction and all recordings fees for the deed and other
documents that need to be filed.
9. Risk of Loss
Risk of loss as to the Development Site shall remain with the City of Fayetteville
until the Closing date.
10. Pacific Vet Group -USA, Inc.'sDue Diligence
Pacific Vet Group -USA, Inc. may enter upon the Development Site to conduct
any surveying, testing or inspection it deems necessary to ensure the Development
Site will be appropriate for the construction and use for its facility. If Pacific Vet
Group -USA, Inc. discovers any problems that would adversely impact its
development and use of the Development Site for its facility, Pacific Vet Group -USA,
Inc. shall notify the City which is granted sixty (60) days to remediate any problem. The
City may also terminate this Agreement without penalty rather then remediating any
problem orissue discovered by Pacific Vet Group -USA, Inc.
11. Large Scale Development Approval
Pacific Vet Group -USA, Inc. shall, at its sole cost and expense, prepare a Large
Scale Development plat of the Development Site and obtain any and all approvals
necessary for Pacific Vet Group -USA, Inc.'s intended use of the Development Site for its
facility. The City shall reasonably cooperate with Pacific Vet Group -USA, Inc. in Pacific
Vet Group -USA, Inc. request for development approval of its facility. Pacific Vet Group -
USA, Inc. must present its development proposal through the normal City process
and follow the Unified Development Code requirements.
12. Notices
Notices required by this Agreement shall be in writing and shall be delivered to:
Pacific Vet Group -USA, Inc.
ATTN: Bill Davies, CEO
Pacific Vet Group
2134 Creek View Drive
Fayetteville, AR 72704
to:
City of Fayetteville
ATTN: Mayor`s
Office 113 W.
Mountain Street
Fayetteville, AR 72701 72701-6083
13. Authority
or by FAX: (479) 966-4448
or by FAX (479) 575-8257.
Each of the undersigned individuals represent and warrant that they are authorized
to enter into this Agreement on behalf of their respective entities and that execution
hereof will bind the entities to this Agreement.
14. 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.
15. Facsimile
For purposes of executing this Agreement, a facsimile signature shall be as
effective an as actual signature.
16. Applicahle Law
This Agreement shall be construed and enforced in accordance with the laws and
public policies of the State of Arkansas.
IT Survival
The representations, warranties, and agreements of the parties contained herein shall
survive the closing date.
18. 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.
19. Time of Essence
Time is of the essence in this Agreement.
20. Invalidity
Iffor any reason any term or provision of this Agreement shall be declared void
and unenforceable by any court of law or equity, it shall only affect such particular term
or provision of this Agreement and the balance of this Agreement shall remain in full
force and effect and shall be binding upon the parties hereto.
21. Complete Agreement
All understandings and agreements heretofore existing between the parties are
merged into this Agreement that alone fully and completely expresses their agreement.
This Agreement may be changed only in writing signed by both of the parties hereto and
shall apply to and bind the successors and assigns of each of the parties hereto and shall
not merge with the deed delivered to Pacific Vet Group -USA, Inc at closing.
Date: 6I ' ! r
PACIFIC VET GROUP -USA, INC.
By:
BILL DAVIES
Title: CEO
witness.
By:
PL=__ 'I
Fed. I.D. No.:
FAX No.: (479) 966-4448
Address: Pacific Vet Group -USA, Inc.
2134 Creek View Drive
Fayetteville, AR 72704
Date: GZA &Izzie
CITY OF FjfYET MVILLE,.
JU
Mayor
ATTEST:
By: rGiY1t.� �tti��ttii►rri�
Sondra E. Smith, City Clerk
U • .rn
: FAYE7TEVI(LE:x"'
ram ` CO
%s •'¢kANSP.
City of Fayetteville, Arkansas - Budget Adjustment Form (Legistar)
Budget Year Division: Development Services Adjustment Number
2014 Dept.: Development Services
Requestor: Jeremy Pate
BUDGET ADJUSTMENT DESCRIPTION / JUSTIFICATION:
$30,620 in the Transfer to Water & Sewer account to reimburse the Water & Sewer Fund for market value of the sale of
24 acres of Industrial Park Property. $74,500 has already been budgeted back from June 18, 2013 (BA# 13-227) for
reimbursement of the sale of 14.9 acres.
It is estimated that Water/Sewer will receive 29.2% for a total of $105,120.
COUNCIL DATE: 6/17/2014
LEGISTAR FILE ID#: 2014-0241
XeVC#V Sprf,4�
5/29/2014 10:40 AM
Budget Director Date
TYPE:
DESCRIPTION:
I GLDATE:
RESOLUTION/ORDINANCE
l POSTED:
/
TOTAL
30,620 30,620
v.20140428
Increase / (Decrease)
Proiect.Sub#
Account Number
Expense Revenue
Project Sub AT
Account Name
1010.6600.7602.40
30,620 -
57018 5400 EX
Transfer to Water & Sewer Fund
1010.0001.4999.99
- 30,620
RE
Use of Fund Balance
C:\Users\jpote\AppDato\Roaming\L5\Temp\d298705e-7d4b-4cbe-bdfC-oo I o52bI 75fo 1 of 1
i�_ I ell
Y'41111!cl CLI. r
Jeremy Pate �
Submitted By
City of Fayetteville Item Review Form
2014-0241
Legistar File Number
06/17/2014
City Council Meeting Date - Agenda Item only
NIA for Non -Agenda Item
Action Required:
Development Services
Department
Approval of a contract with Pacific Vet Group - USA, Inc. (PVG) for the safe of approximately 24
acres of land owned by the City of Fayetteville water and sewer utility on Industrial Drive in the
Fayetteville Commerce District, for $360,000.
Does this item have a cost? nJp
Cost of this request
Account Number
Project Number
Budgeted item? NO
Category or Project Budget
Funds Used to Date
$0.00
Remaining Balance
Budget Adjustment Attached? YeS
E
Previous Ordinance or Resolution # 143-13 1
Original Contract Number:
Comments:
0-
Program or Project Name
Program or Project Category
Fund Name
CITY OF
11q
a e eARKANSA
MEETING OF JUNE 17, 2014
TO: Mayor and City Council
CITY COUNCIL AGENDA MEMO
THRU: Don Marr, Chief of Staff
FROM: Jeremy Pate, Development Services Director
DATE: May 29, 2014
SUBJECT: Sale of 24 acres of Land in the Commerce District to Pacific Vet Group -USA,
Inc.
RECOMMENDATION:
City Staff recommends approval of a contract with Pacific Vet Group -USA (PVG) for the sale of
approximately 24 acres of land owned by the City of Fayetteville on Industrial Drive in the
Fayetteville Commerce Park, for a purchase price of $360,000.
BACKGROUND:
In June of 2013, the City Council approved a contract with PVG to sell approximately 14.9 acres
of land along City Lake Road in the Commerce Park for the construction of a facility for
research, development and manufacturing of animal health products. PVG is a privately held
bioscience company specializing in the development and commercialization of science -based
probiotic products for the poultry industry. PVG has indicated this $6.7 million investment to
construct and occupy a new facility in Fayetteville would result in at least 47 new jobs within 60
months at an average annual salary of $66,000.
After geotechnical studies were completed on the City Lake Road property, the soil conditions
were found to be less than ideal for this particular development, resulting in significant cost
increases in construction. The City decided to conduct geotechnical studies for other city -owned
properties within the Commerce District to understand overall suitability for development, and
discussed with PVG the potential of another property on which they could construct their facility.
PVG has identified Tract #14 on Industrial Drive, a 37.1 acre property, as suitable for their long-
term needs. This land is adjacent to the City's Water and Sewer Operations Center. However,
PVG does not need the entire 37 acres, approximately 13 of which at the rear of the property is
located within floodplain and streamside buffer areas. Rather, they prefer to only purchase the
developable area of land outside of the designated floodplain.
DISCUSSION:
The attached land sale agreement is intended to reflect the same basic terms reached between
PVG and the City of Fayetteville in our previous contractual arrangement. The proposal is to sell
24 of the 37.1 acres in Tract 14 of the Commerce Park for $15,000 per acre, resulting in a
$360,000 purchase price. Payment for the cost of the land will be amortized over 20 years with
the first 5 years fixed at an interest rate of the Federal Reserve Rate plus one percent (1 %). At
the end of the 511 year, the interest rate will be modified annually based on the Federal Reserve
Mailing Address:
113 W. mountain Street www.fayetieville-ar.gov
Fayetteville, AR 72701
Rate plus one percent (1%) on each anniversary date. The AFDC has committed to providing
economic development assistance in a manner similar to the previous development site, on this
new property. In order for the project to be eligible for AEDC funding support, the City must
contribute to the economic development project as well. As with the previous proposal, the City
proposes to contribute by offering a discounted purchase price of $15,000 per acre (compared
to a normal $20,000 asking price for similarly situated land in the Commerce District), as well as
assistance with up to $200,000 of infrastructure investment, which could include water and/or
sewer line extensions and other work within public easements or rights -of -way. The City will
retain the remaining 13.1 acres, granting PVG a Right of First Refusal to acquire the balance of
the land in the future, if the City ever decides to sell. Please see the attached maps for
reference.
City Code §34.27 establishes requirements regarding public notice and procedure for the sale of
real property owned by the City of Fayetteville. City Staff has performed all necessary public
notification procedures in compliance with this city ordinance, including mailing adjacent
property owners, posting a sign and publishing the agenda item in the local newspaper.
Additionally, the City Council must establish that this land is no longer needed for municipal
purposes. As a purpose of the Commerce District is to encourage economic development that
generates revenue for the City by providing new and expanded services, and finding that there
is no identified use for the subject property for municipal purposes, staff requests that the
Council establish that this land is no longer needed for municipal purposes.
BUDGETISTAFF IMPACT:
$360,000 in sale revenue will be paid to the Water/Sewer fund and General Fund, since both
funds have ownership on portions of the subject property. Based upon a $360,000 purchase
price, the General Fund would receive 70.8% of the proceeds for a total of $254,880. The
Water/Sewer Fund would receive 29.2% for a total of $105,120. Up to $200,000 in City staff
time and materials may be utilized to provide public infrastructure work for economic
development assistance, under the same terms of agreement approved with the previous
contract for sale.
Attachments:
• Draft resolution
• Proposal Letter and Land Sale Agreement
• Location Map(s)
• Tentative Site Layout
• Previous Council Resolutions of Support
MEMORANDUM
TO:
FROM;
SUBJECT:
DATE;
Fayetteville
• Chamber of Commerce
i
Don Marr, Chief of Staff
City of Fayetteville
Steve Clark, Chamber President & CEO
Pacific Vet Group -USA's (PVG) purchase of City's land in the
Fayetteville Commerce District
May 22nd, 2014
------------------------------------------------
The Chamber has been coordinating the sale of city owned land in the Fayetteville Commerce
District between the City and PVG.
The City Council had originally approved to sell 15 acres of city land located at the City Lake
Road at the Fayetteville Commerce District for $15,000 an acre. Geo technical studies
conducted at the site (Parcel # 765-16574-000) showed soil conditions that made the site not
optimum for PVG's development. The City has been a great partner in carrying out additional
geotechnical studies on other city -owned sites in the Commerce District to find a replacement
site.
PVG has now identified Tract 14 (Parcel # 765-16578-000) as the site suitable for their
development. This is a 37.1 acres tract located at Industrial Drive in the Commerce District.
1) PVG proposes to buy 24 of the 37.1 acres from the City at the same price of $15,000 per
acre and same financial terms and conditions as the original parcel.
2) PVG looks forward to working on obtaining city's approval as soon as convenient so that
they may start their development. This $6.7 million project is expected to create 47 new
jobs within 60 months with an annual salary of $66,000 each.
Attached are a draft Land Sale Agreement for Tract 14.
123 W. Mountain/PO Box 4216, Fayetteville, AR 72702 Tel: (479) 521-1710; Fax: (479) 521-1791; www.fayettevillear.com
RESOLUTION NO.
A RESOLUTION TO REPEAL RESOLUTION NO. 143-14 AND TO SELL
ABOUT 24 ACRES IN THE FAYETTEVILLE COMMERCE DISTRICT
(FORMERLY INDUSTRIAL PARK) TO PACIFIC VET GROUP -USA, INC.
FOR $360,000.00 AND OTHER VALUABLE CONSIDERATION AND TO
APPROVE A BUDGET ADJUSTMENT
WHEREAS, the initial site in the Industrial Park which the City through Resolution No.
143-14 agreed to sell Pacific Vet Group -USA, Inc. for $223,500.00 was later determined to be
geologically unusable for its proposed development; and
WHEREAS, another 24 acre site in the Industrial Park has been examined and found
acceptable by Pacific Vet Group -USA, Inc. for its new facility.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF FAYETTEVILLE, ARKANSAS:
Section l: That the City Council of the City of Fayetteville, Arkansas hereby agrees to
sell about twenty four (24) acres of Tract 14 on Industrial Drive in the Fayetteville Commerce
District (formerly the Industrial Park) for $360,000.00 and other valuable consideration as
specified and pursuant to the attached Land Sale Agreement. Mayor Jordan is hereby authorized
to sign the Land Sale Agreement and all necessary documents (including deeds) that are
necessary to effectuate the Land Sale Agreement.
Section 2: That the City Council of the City of Fayetteville, Arkansas hereby approves
the attached Budget Adjustment.
PASSED and APPROVED this 17t' day of June 2014.
APPROVED:
IN
LIONELD JORDAN, Mayor
ATTEST:
SONDRA E. SMITH, City Clerk/Treasurer
PUMP STATION DRIVE
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SETBACK LIN�j �
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PACIFIC VET GROUP - PARCEL AREAS MAY 22, 2014
e, C R® M W E L L SCALE 1" = 300'-0' FAY ET fEVILLE, AR
PUMP STATION DRIVE
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PROPERTY LINE
SETBACK LIN I I �
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PACIFIC VET GROUP - PARCEL AREAS MAY 22, 2014
C C R 0 M W E !_ R SCALE 1" = 300'-0' FAYETTEVILLE, AR
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RESOLUTION NO. 143-13
A RESOLUTION TO SELL ABOUT 14.9 ACRES OF LAND IN THE
INDUSTRIAL PARK TO PACIFIC VET GROUP -USA, INC. FOR $223,500.00
AND OTHER VALUABLE CONSIDERATION AND TO APPROVE A
- -- BtfHGFT ADJUSTMENT
WHEREAS, Pacific Vet Group -USA, Inc. needs an appropriate site to construct a
research and manufacturing site for a development and commercialization of science -based
probiotic products for the poultry industry; and
WHEREAS, Governor Beebe and the Arkansas Economic Development Commission
has agreed to provide substantial financial assistance if Pacific Vet Group -USA, Inc. builds its
facility in Fayetteville and moves or creates at least 60 jobs with an average annual salary of
$65,000.00; and
WHEREAS, the City of Fayetteville needs to also assist Pacific Vet Group -USA, Inc. by
selling its 14.9 acre parcel at a discount of $5,000.00 per acre from its normal selling price and to
construct public infrastructure improvements totaling about $200,000.00 for this project.
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 Land Sale Agreement (attached as Exhibit A) which conveys about 14.9 acres to
Pacific Vet Group -USA, Inc. for $223,500.00 plus other consideration pursuant to the terms of
the Land Sale Agreement and authorizes Mayor Jordan to sign the Land Sales Agreement and
the Warranty Deed for this 14.9 acre parcel.
Section 2: The City Council of the City of Fayetteville, Arkansas hereby approves
the attached Budget Adjustment in the amount of $74,500.00.
PASSED and APPROVED this 1 Sth day of June 2013.
APPROVED:
133
ATTEST:
By A.. , z. " 4-.., "a' 1 i'M -,
SONDRA E. SMITH, City Clerk/Treasurer
: 4• AY[1-T [VILE: _ 7
s �Rkq
LAND SALE AGREEMENT
--`I'ku's'Land "Safe llgieelilcnt is made and entered into by and betweerl the City of Fayetteville,
Arkansas, a municipal corporation of the State of Arkansas (hereinafter "City" or
"Fayetteville") and Pacific Vet Grottp-USA, Inc.
The City of Fayetteville agrees to sell a parcel of about 14.9 acres ou Morningside Drive in
the Fayetteville fndustrial Park to Pacific Vet Group -USA, Inc. for TWO HUNDRED
TWENTY TI-IREl THOUSAND FIVE HUNDRED DOLLARS ($223,500.00) and Inc.
Pacific Vet Group -USA, Inc.'s perforllltlnce of all of the terms, conditions and promises set
forth later in this Agreement.
Pacific Vet Group -USA, Inc. agrees to pay to the City of Fayetteville TWO HUNDRED
TWENTY THREE THOUSAND FIVE HUNDRED DOLLARS ($223,500,00) for this 14.9
acre parcel and to perform all of the terms, conditions and promises set forth later in this
Agreement.
1. Salt,
Subject to existing easements and rights of way and subject to the terms and conditions,
mutual promises and covenants of this Agreement, the City or Fayetteville agrees to sell a
parcel of about 14.9 acres (hereinafter "Development ,Site") located at Morningside Drive in
the Fayetteville Industrial Park by warranty deer] to Pacific Vol Group -USA, Inc. for the
amount of TWO HUNDRED TWENTY THREE THOUSAND FIVE 141JNDRF-D DOLLARS
($223,500.00). This Development Site of about 14.9 acres shall be as shown on the plat
attached at Exhibit A and as more particularly described below;
Lot Numbered Ten (10), Fayetteville Industrial Park West, Fayetteville, Arkansas,
as per plat on file in the office of the Circuit Clerk and Ex-Officio Recorder of
Washington County, Arkansas, containing 14.90 acres, more or less.
2. Purchase
Subject to the terms and conditions, mutual promises and covenants of this Agreement,
Pacific Vet Group -USA, Inc. agrees to buy the Development Site for TWO HUNDRED
TWENTY THREE THOUSAND FIVE HUNDRED DOLLARS ($223,500.00) to be paid to
the City of Fayetteville on or before the Closing Date as follows:
Pacific Vet Group -USA, Ine. shall present its fully executed 20 year Mortgage and Note in the
amount of TWO HUNDRED TWENTY THREE THOUSAND FIVE HUNDRED DOLLARS
($223,500.00) in favor of the City of Fayetteville which will provide for a twenty year
arnortiz_ation of this principal debt of $223,500.00 and an interest rate that shall be fixed for the
first five years at the current Federal Reserve Primary Crcdit Rate, plus one percent (I %). This
interest rate shall be annually adjusted after the first five years to apply the Federal Reserve
1 of
Primary Credit lute existing at each an+iiversary date, plus one percent (M). The City agrees
to subordinate its first mortgage on the properly to construction and permanent linancing orthe
improvements. Pacific Vet Group -USA, Inc. shall have the right to fully or partially repay [lie
balance due without penally at uny time.
3. Furrll terms ofArkansas Economic Develo tneirt Commission
Pacific Vet Group -USA, Inc, agrees to fulfill all terms and conditions of the Arkansas
Economic Development ColnilliSSiMl with respect to tiny progr,trns for which it contracts to
participate.
Developmelr�Errvirnrrrrrenfnll'rolection Goals
Pacific Vet Group-IJSA, Inc, agrees to comply with all zoning and land use requirements
imposed by the City in connection with the development of -the property.
5. Closing Date rind Place
Closing shall occur within (w days following the date this Agreement has been executed by
loth parties. The Closing sliall occur at 113 West MOU Main Street, Fayetteville, Arkansas in a
room supplied by the City of Fayetteville.
6. Dale of Possession
Possession of the Development Site shall be delivered to Pacific Vei Group -USA, Inc.
on the Closing date free of any tenancies or other third party possessory rights.
7. Title Insurance
The City of Fayetteville shall orclor a title commitment on the Development Site, as soon a
practicable following the frill execution of this Agreement, through a title insurance
company selected by the City and acceptable to Paeific Vet Group -USA, Inc. If the report
on title, binder or commitment discloses any defects in title (other than liens or
encumbrances of definite or ascertainable amount which may be paid at closing), Lhe City
shall have thirty (30) days from the date of Pacific Vet Group -USA, Inc. 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,
Pacific Vet Group -USA, Inc. may termini+tc this agreement or may, at its election, take
titld 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 City offayctteville. The cost of any lender's title
policy and extended owner's title insurance coverage shall be borne by Pacific Vet Group -
USA, Me.
8. Deed and Utherpocurnents
On the Closing date, the City of Fayetteville shall convey marketable and insurable title to
the premises by general warranty deed, free and clear of ali lions, restrictions, and
encumbrances except as provided in this Abreemcrii, sutlject only to current real estate
to
of 5
taxes, if any (to be apportioned between the parties) and existing easements. Pacific Vet
Group -USA, Inc. and the City of Fayetteville shall equally share the cost a reasonable
closing fee imposed by the closing agent employed by parties provided however that
Pacific Vet Group -USA, Inc. shall be responsible for any rcvcnue stamps resulting From
this transaction and_alJ_xco4-rJtngs r. �� Lid �tl�er doeurjient� thrai�eed-to-Me —
filed.
9. Risk of Gass
Risk of loss as to the Development Sitc shall remain will) the City of Fayetteville until the
Closing date.
10. Pacific Vel Croup -USA, Inc.'sDue Diligence
Pacific Vet Group -USA, inc. may enter upon the Development Site to conduct any
surveying, testing or inspection it deems necessary to ensure the Development Site will
be appropriate for the construction and use for its facility. 1 fPacific Vet Croup -USA, Inc.
discovers any problems that would adversely impact its development and use of the
Development Site for its facility, Pacific Vet Group -USA, Inc. shall notify the City which
is granted sixty (60) days to remediate any problem. The City may also terminate this
Agreement without penalty rather then remediating any problem or issue discovered by
Pacific Vet Group -USA, lnc.
11. Large Scale Development Approval
Pacific Vet Group -USA, Inc, shall, at its sole cost and expense, prcparc a Large Scale
Development plat of the Development Site and obtain any and Lill approvals necessary for
PaciFic Vet Group -USA, Inc.'s intended use of the Development Site for its facility. The
City shall reasonably cooperate with Pacific Vet Group -USA, Inc, in Pacific Vet Group -
USA, Inc, request for development approval of its facility, Pacific Vet Group -USA, Inc.
must present its development proposal through the normal City process and Follow the
Unified Development Code requirements.
12. Notices
Notices required by this Agreernent shall be in writing and shall be delivered to:
Pacific Vet Group -USA, Inc.
A77N: Bill Davies, Ciao
Pacific Vet Group
2134 Creek View Drive
Fayetteville, AR 72704 or by FAX: (479) 966-4448
to:
City of Fayetteville
ATTN: Mayor's Office
113 W. Mountain Street
Fayetteville, AR 72701 72701-6083 or by FAX (479) 575-8257.
3 of 5
13. Atttltority
Each of the undersigned individuals represent and warrant that they are authorized to enter
into this Agreement on behalf of their respective entities and that execution hereof will
bind the entities to (his Agreement.
14. Counterpart~
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.
15. Facsimile
For purposes of executing this Agreement, a facsimile signature shall be as effective an as
actual signature.
16. Applicable Law
"This Agreement shall be construed and enforced in accordance with the laws and public
policies of the State of Arkansas.
17. Survival
The represcntations, warranties, and agreements of the patties contained herein shall survive
the closing date.
18. No Waivers
The waiver by either patty hereto of any condition or [lie 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.
19. Time of Essence
Time is of the essence in this Agreement.
20. Invalidio)
If for any reason any term or provision of this Agreement shall be declared void and
unenforceable by any court of law or equity, it shall only affect such particular term or
provision of this Agreement and the balance of this Agreement shall remain in full force
and effect and shall be binding upon the: parties hereto.
4 of 5
21. Co►nplele Agreeme► t
All understandings and agreements heretofore existing between the parties are merged into
this Agreement that alone frilly and completely expresses their agreement, This Agreement
may be changed only in writing signed by troth of the parties hereto and shall apply to and
— u-1 t o successors and assigns of each of the parties hereto and shall not merge with the
deed do]ivered to Pacific Vet Group -USA, Inc at closing.
Date: r / 3
PACIFIC VET GROUP -USA, INC.
ARKANSAS
By:
BILL DAVIfru
Cl;a
Witness:
a 4
By:
Fed. I.D.No.: .2(a— 2-192-1S-qi0
FAX No.: (479) 966-4448
Address: Pacific Vet Group -USA, Inc.
2134 Creels View Drive
Fayetteville, AR 72704
5 of
Date:
CITY UR FAYETTEVILLE,
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Attest:
Sondra C. Smith, City (Jlcrlt
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To: Fayetteville City Council
CITY COUNCIL AGENDA MEMO
MEETING DATE OFJUNE 18, 2013
THE CITY OF FAYETTEVILLE, ARKANSAS
Thru: Mayor Lioneld Jordan
Don Marr, Chief of Staff
From: David Jurgens, Utilities Director
Date: May 31, 2013
Subject: Sale of 14.9 Acres of Land in the Industrial Park to Pacific Vet Group -USA, Inc.
RECOMMENDATION
City Staff recommends approving a contract with Pacific Vet Group -USA (PVG) for $223,500.00 for the sale of
approximately 14.9 acres of land owned by the City of Fayetteville water and sewer utility on Morningside Drive in the
Industrial Park.
BACKGROUND
The City of Fayetteville, the Arkansas Economic Development Commission (AEDC), and the Arkansas Govemor have
been approached by PVG to find a site suitable for construction of a research and manufacturing facility into which PVG
plans to expand. PVG is a privately held bioscience company specializing in the development and commercialization of
science -based probiotic products for the poultry industry. Currently headquartered in Fayetteville, PVG's core technology
is licensed from the University of Arkansas, where it was developed in the laboratories of Dr. Billy M. Hargis, a leading
poultry researcher. PVG has stated its intent to construct and occupy a new facility at the Morningside Drive site that will
move or create a total of at least 60 jobs with an average annual salary of $65,000 within five years to this location. PVG
has further stated its intent that construction of the facility will begin within 12 months of acceptance of this offer.
DISCUSSION
The attached land sale agreement has been reached through negotiations between the City, the Chamber of Commerce, the
AEDC and PVG. The proposal is to sell the property to PVG at a reduced rate of $15,000 per acre. In order for this
project to be eligible for AEDC funding support, the City must contribute to the economic development in some way. With
the current proposal, the City's contribution is in the form of the discounted price per acre (the established asking price has
been $20,000, which is what the Water/Sewer fund paid the general fund when the land was transferred in April, 2003) as
well as assistance with on -site development including possible work on storm drainage, pavement, street work, utility work,
and sidewalk work, all within the public right of way. The value of this work is estimated at $200,000. Payment for the
cost of the land will be amortized over 20 years with the first 5 years fixed at an interest rate of the Federal Reserve Rate
plus one percent (1 %). At the end of the 5th year, the interest rate will be modified annually based on the Federal Reserve
Rate plus one percent (1 %) on each anniversary date.
City Code §34.27 establishes specific requirements regarding public notice of the sale of real property. All Code
requirements have been met with the related City Council resolution passed June 4, 2013.
BUDGETIMPACT
$223,500 in sale revenue will be paid to the Water/Sewer fund. A budget adjustment approved June 4, 2013 approved
transferring $74,500 frQm the general fund to the Water/Sewer fund to make that fund whole from the land sale.
Attachments: Sale Agreement
Location Map (wide area)
Detail Map
Tentative Site Layout
AEDC Letter to PVG
City Attorney Memo of May 9, 2013
PVG Land Sale Morningside CCMcmo Jun 13
Budget Year Division: Citywide
2013 1
Department: Citywide
City of Fayetteville, Arkansas
Budget Adjustment Form
Request Date
5/13/2013
V 12.072,1
Adjustment Number
BUDGET ADJUSTMENT DESCRIPTION f JUSTIFICATION
$74,500 in the Transfer to Water & Sewer account to reimburse the Water & Sewer Fund for market value of the
sale of 14.9 acres of Industrial Park Property.
Division Head Date
f Z Z-70l)
Bud el Dire r Date
Department Director Date
for Date
Chief of aff pate
--�`�Ie
- a - r [ 3
_ Account Name
Transfer to Water & Sewer
Use of fund balance `
Prepared By: Kevin Springer
Springer, Kevin
Reference:
Budget & Research Use Only
Type- A a C CD E P
General Ledger Date
Posted to General Ledger
Checked 1 Verified
Initial Datc
Initial [late
TOTAL BUDGET ADJUSTMENT 74,500 74,500
increase / (Decrease)
Account Number Expense Revenue
- 1010.6600.7602.40 - 74,500
1010.0001.4999.99 74,500
Project.Sub
Number
57018 54a0
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A natural for bminev
February 11, 2013
Bill Davies
CEO
Pacific Yet Group
2134 Creek View Drive
Fayetteville, AR 72704
Dear Mr. Davies:
Recognizing Pacific Vet Group's contribution to our state and community, the Arkansas
Economic Development Commission (AFDC) and the City of Fayetteville are pleased to submit
the attached incentives proposal for your consideration.
Together, the state and city are committed to mitigating many of your site -related costs with a
package valued over $1 M. The AEDC will commit up to $570,000 in the form of an upfront
cash grant to cover erosion control, earthwork, a detention basin with outrall structure, and
asphalt pavement at the site. The City, through in -kind services, will assist with constructing
culverts and storm drainage, entry drives, curb and gutters, and sidewalks around the site (an
estimated value of $200,000). They have also committed to a reducing the cost of the land by
$5,000 an acre (a $75,000 savings for 15 acres).
In addition the state can offer our Advantage Arkansas income tax credit (valued at $163,000)
and our Tax Back sales and use tax refund (value will depend on total investment in taxable
building materials, but could be as much as $1.2M for a $15M project).
We are excited about your company's success in Arkansas and hope to see your footprint grow
in Fayetteville, Please feel free to contact me directly at (501) 682-1260 or via email at
SClark@Arkansasedc.com if there is any additional information you need.
Sincerely,
/ / 't J
Sarah Clark
Project Manager
Arkansas Economic Development Commission 900 W. Capitol, Suite 400 Little Rock, Arkahsas 72201 501.682.1121 Arkansesedc.eom
Ai SAS
A natural for business
CONFIDENTIAL
ARKANSAS ECONOMIC DEVELOPMENT COMMISSION (AEDC)
INCENTIVES PROPOSAL
for
Pacific Vet Group
February 11, 2012
All incentives offered are contingent upon Pacific Vet Group locating is new facility in
Fayetteville (Washington County), Arkansas. Incentives are based on the following project
assumptions. Any change in the project criteria will require a recalculation of the
incentives.
• 47 new full-time employees in Fayetteville
o Year 1: 18
o Year 2: 13
o Year 3: 4
o Year 4: 10
o Year 5: 2
• Average annual wage of $66,000 ($32/hour)
• Investment (estimate) of$5M In Phase 1; $12-15M in Phase II
Advantage Arkansas Program
The Advantage Arkansas Program is a job tax credit program for qualifying new and
expanding companies. In Washington County, the credits earned will be equal to 1% of the
net, new payroll for a period of five years with a minimum annual payroll of $125,000. In
addition, the average hourly wage of the new payroll generated must average $10.46 per
hour or greater. The company may apply the credit to their state income tax liability, not to
exceed 50% of the total income tax liability for a reporting period.
Employees must be taxpayers of Arkansas to qualify for the credit. The income tax credit
begins in the year in which the new employees are hired. Any unused portion of the credit
may be applied against the Income tax for the succeeding nine years.
Based on payroll information provided by the company the income tax credits are
calculated as follows:
Annual Payroll of New Employees x Appropriate Percentage = Annual Financial lncentive
Year
Jobs
Annual Payroll Increase Estimated Tax Credit
Year 1
18
$ 1,198,080*
$ 11,981
Year 2
31
$ 2,063,360
$ 20,634
Year 3
35
$ 2,329,600
$ 23,296
Year 4
45
$ 2,995,200
$ 29,952
Year 5
47
$ 3,128,320
$ 31,283
Total Estimated Benefits
$ 117,146
*18 new jobs * $32/hour x 2,080 hours
Tax Back Program
The Tax Back Program grants a refund of state and local sales and use taxes paid on the
purchases of the material used In the construction of a building or buildings or any addition,
modernization or improvement to a new or expanding eligible business. A sales and use tax
refund is also allowed for the purchases of taxable machinery or equipment associated with
the building or project.
Eligibility Requirements:
Minimum investment of one -hundred thousand dollars ($100,000).
The business must sign an Advantage Arkansas agreement within twenty-four (24)
months of signing the Tax Back agreement.
A refund shall not be authorized for:
Routine operating expenditures;
The purchase of replacements of items previously purchased as part of a project
unless the items_ previously purchased will not enable the project to function as
originally intended;
Licensed motor vehicles; or
Expenditures for routine repair and maintenance that do not result In new
construction or expansion.
To qualify for the Tax Back Program, the company must submit a completed application
accompanied by a local endorsement resolution from the city, county or both which
authorizes the refund of its local taxes to the eligible company. The refund will not include
the sales tax dedicated to the Educational Adequacy Fund and the Conservation Tax Fund.
These two exceptions reduce the state refund by one percent (1%). Currently state sales tax
rate Is six percent (6%) therefore the refund of state taxes wil I be based upon five percent
(5%) of the eligible taxable purchases. Currently the sales tax rate in Fayetteville, Arkansas
(including Washington County) is 3.25% of the eligible taxable purchases and the refund of
local taxes will be based on that rate.
If the company were to invest $15M in elegible, taxable items, , the sales and use tax refund
is estimated as follows:
Eligible Expenditures x Total Sales Tax (State & Local) = Refund Amount
$15,000,000 x 8.25% (5% + 3.25%) _ $1,237,500
Infrastructure
Based on the information provided by Pacific Vet Group, the Arkansas Economic
Development Commission is willing to commit $570,000 in Governor's Quick Action Closing
Funds to be used towards erosion control, earthwork, a detention basin with outfall
structure, and asphalt pavement at the company's potential new site in Fayetteville, AR.
To receive reimbursement for eligible expenditures, the company will be required to submit
invoices to the Arkansas Economic Development Commission. This funding is contingent
upon the creation of at least 47 full-time jobs within 5 years of the signing the grant
agreement. AEDC will require Pacific Vet Group to sign a grant agreement and a grant
reimbursement agreement that will have claw -backs in the event the terms of the
agreement are not met.
fatFayetteville
C Comber of Commerce
February 7, 2013
Sarah Clark
Project Manager, Business Development
Arkansas Economic Development Commission
900 West Capitol, Suite 400
Little Rock, AR 72201
501-682-1260 (office)
501-580-0274 (cell)
Dear Sarah:
The philosophy of the City of Fayetteville and its citizenry has been one of building a quality of
place for our community. As such, Mayor Jordan, the City Council, and the Fayetteville
Chamber place the highest priority in investing in the infrastructure within the city. They look at
infrastructure such as excellent roads, schools, and amenities. We believe that by investing in
infrastructure, Fayetteville will become a desired location for businesses to prosper and for
residents to call home. The City of Fayetteville has invested in its infrastructure in the past,
current, and in the future.
1) Citizens of Fayetteville approved a tax increase in 2011 to raise funds to expand and
renovate its Fayetteville High School. This is a $94 million project divided in 2 phases.
Phase 1 is already completed and Phase 2 will be completed by 2014. Phase l included
an 850-seat performing arts center; a 2,200-seat sports arena with two practice gyms and
locker rooms; and classrooms for drama, band, orchestra, and choir. Also included is a
student cafeteada that seats 600 students.
2) Citizens of Fayetteville, together with the rest of the state, approved a half cent sales tax
in November, 2012 (for the next 10 years), to raise funds for infrastructure. Specifically,
northwest Arkansas where Fayetteville is located, will see Interstate 540 expand from 4-
to 6-lanes from Fayetteville to Bella Vista, This year, five out of 17,1-540 projects will
get underway; two in Benton County and three in Washington County. All 17 projects
will start in the next 5 years and all are scheduled to be finished in the next 10 years. In
addition to these highway projects, the City of Fayetteville will enjoy $12 million of turn
back monies from this tax to improve city streets and roads over the next 10 years.
3) Within the Fayetteville Commerce District where the site is located, the City of
Fayetteville has made improvements to it since last year. It added 29 public street lights
to improve night lighting there. This year, the City will be building and connecting
sidewalks in the district and putting up additional way -finding signs to help
truckers/visitors find their way to the district. It is also improving the turn points on
ACCREDITED,
L23 Sites[ Mnun[ain ' F lu 20' 4 Aft %?702 11215' 7F1.479. 571 17'.0 ' FAX 479 1191 ' rt;tivlay i:evillear [ant
Page 2/PVG
Armstrong and Morningside with 15"' Street. Road improvements are currently
underway on Hwy 265 and Cato Springs Road to help with accessing to interstate
highways. Fifteenth Street quid Morningside/City Lake Road are in the work plans for
_
improvement as well. rhis zmprovernent will cost a City a than $100,000.
1) Apart from schools and roads, the City of Fayetteville is known for its trails, parks, arts,
entertainment, and cultural offerings, thus making it a desired location for families and
workers to live and play. The City is able to recruit and retain local and outside talents.
The City builds about 3 miles of trail each year. Beginning this year, it will increase
spending on building sidewalks within the city, starting in subdivisions located close by
to schools.
2) The University of Arkansas is a great asset to companies like PVG for its research and
development capabilities and the workforce it produces. The U of A has seen an increase
of student enrollment of 1,500 students a year for the past three years. This trend is
expected to continue COT the next few more years. This growth showed a desire from
students to seep training at this facility over others in the nation. The university, since
2001, has invested more than $1 billion in capital expenditures. Currently, it has $300
million worth of projects happening on campus with many more in different stages of
planning.
3) As a result of all these work, the Fayetteville MSA has enjoyed a net positive population
growth and an unemployment rate below that of the nation. The Cost of Living Index for
2012 just came out —Fayetteville MSA is ranked #6 as the least expensive MSA amongst
all the MSAs under study (307), Fayetteville MSA is the only MSA from Arkansas that
made that list and there was no MSA from Missouri that showed up in the top 10
ranking. This is a publication by the Council of Community and Economic Research.
We consider Pacific Vet Group (PVG) a home grown company because of its UA origins and we
are excited and proud of its growth and plans for the future. We are confident that Pacific Vet
Group will agree that its expansion should be back in Fayetteville where PVG will have access to
intrinsic resources that it may not be able to find elsewhere. Fayetteville wishes to be PVG's
partner to help it grow. As such, the City will work with PVG to expedite their expansion
process and put its project on fast track. The Fayetteville Chamber, being the economic
developer for the city, will be the contact for this project.
In addition, the City is pleased to offer a price reduction of $5,000 off the asking price of
$20,000 per acre for the 14.9 acres of land owned by the City in the Fayetteville Commerce
District. This represents a $74,500 direct benefit to PVG. Since this is a green site, the City will
assist with on -site development in terms of public right of way and to facilitate access in the
areas of culverts & storm drainage, concrete pavements such as entry drives, asphalt pavement,
curbs & gutters, and sidewalk. City assistance will be limited to public areas only as regulations
do not permit city to work on private property.
Page 31PVd
This offer is construed based on PVG's expansion plan presented to us. PVG's plan calls for
mowing existing and new jobs to a total of at least 60 jobs with an average annual salary of
$65,000 within 5 years and that construction shall begin within 12 month upon acceptance of this
offer. Furthermore, PVC will move into the new location once construction is completed.
We look forward to working with you and PVG on this exciting project,
Yours truly,
l �
j�
Steve C ark
President & CEO
RNANS
Departmental Correspondence
A
lilt Williams
City Attorney
Jsson H. Kelley
T n l — A.0ur(w Civy-A tom
Don Marr, Chief of Staff
Paul Becker, Finance Director
David Jurgens, Utilities Director
FROM: Kit Williams, City Attorney �Z
DATE: May 9, 2013
RE: Sale of Water and Sewer land in Industrial Park to new industry
I believe that the City of Fayetteville can sell the necessary acreage to the
proposed new industry for $15,000.00 per acre as the City's required (by_ the
Arkansas Economic Development Commission) support for this economic
development project, Although this is $5,000.00 less than the normal asking price
for our other available Industrial Park property, the long term economic benefits to
our City, Citizens and existing businesses from this project with its quality, high
paying jobs justifies this proposed reduced price offering. I do recommend that"the
Water and Sewer Fund that currently owns this land be compensated for this offer
to sell at what might be below the value of the land (in a trade for other city land)
it acquired about a decade ago.
We need to begin immediately the Public Notification process required by
Section 34.27 of the Fayetteville Code (copy attached) for the sale of City
property. We simply need to mail notices to adjoining landowners, post signs on
the property and publish a notice in the paper at least 15 days before the City
Council meeting in which a Resolution for the sale is considered by the City
Council. This is the same process used in the sale of the 2 acres of the old Tyson
factory site. Jeremy Pate did that notification and therefore would be very "up to
speed" on what is needed,
Ila
V` of Parcel No. 765-19579.000
Doc ID: 015869450003 Type: REL
Kind: WARRANTY DEED
Recorded: 08/26/2014 at 01:11:54 PM
WARRANTY DEED uashinpto 2County. AR or 3
Kyle Sylvester Circuit Clerk
BE IT KNOWN BY THESE PRESENTS: Flle2014-00021821
THAT the City of Fayetteville, Arkansas, a municipal corporatlon,
hereinafter called GRANTOR, for and in consideration of the sum of One Dollar
($1.00) and other good and valuable consideration, the receipt of which is hereby
acknowledged, do hereby grant, bargain, sell and convey unto Pacific Vet
Group -USA, Inc., hereinafter called GRANTEE, and unto Grantee's successors
and assigns, the following described land situated in the County of Washington,
State of Arkansas, to -wit:
A part of original Lot Numbered Fourteen (14) of the final plat of Fayetteville Industrial Park -West to the
City of Fayetteville, Arkansas as per plat recorded in Plat Book 10 at Pate 17 of the records of the Circuit
Clerk and Ex-Officio Recorder of Washington County, Arkansas, being more particularly described as
follows: BEGINNING at the Northeast comer of said original Lot Fourteen (14) being a found iron pin;
thence along the Easterly line of said lot South 02°4916" West 559.73 feet to a set iron pin; thence
leaving said Easterly line North 87°16'17" West 370.14 feet to a set iron pin; thence South 63'12'36'
J- West 402.07 feet to a set iron pin; thence South 24°15'09' West 240.32 feet to a set iron pin; thence
South 12°21'07" West 353-18 feet to a set iron pin on the Southerly line of said original Lot Fourteen (14),
*' thence along said Southerly line North 87'25'43" West 609.41 feet to a found iron pin at the Southwest
comer of said original Lot Fourteen (14); thence along the Westerly line of said original Lot Fourteen (14)
IX North 24009'36' East 1274.35 feet to a set iron pin on the Easterly right-of-way of S. Industrial Drive;
thence along said Easterly right-of-way North 24 09'36" East 155.08 feet to a found iron pin being the
Northwest comer of said original Lot Fourteen (14); thence along the Northerly line of said lot South
87018'44" East 955.25 feet to the Point of Beginning, containing 24 acres, more or less. Subject to
easements and rights -of -way of record, if any.
TO HAVE AND TO HOLD the said lands and appurtenances hereunto belonging unto the said Grantee and
Grantee's successors and assigns, forever. And the said Grantors, hereby covenant that they are lawfully seized of said
lands and premises; that the same is unencumbered, and that the Grantors will forever warrant and defend the title to the
said lands against all legal claims whatever.
WITNESS the execution hereof on this the S;---Lday of 2014.
ATTEST:
'Sondr,"z:
a Smith, City Clerk
REVENUE STAMPS AFFIDAVIT
The foregoing deed has the cafred amount of Revenue
Stamps affixed to it or is exempt from such stamps.
Signed: &Kl� 4 • 4
City of Fayetteville
113 W. Mountain
Fayetteville, AR 72701
City of F yetteville, Arkansas,
a municMat corporatign
i tnrirf
A
fn
I �ifAYETTEVILLE:"s
NSA,.
Nt�
File Number: 201400021821 Page 1 of 3
CPP.. cVetGrUSA
Warranty Deed
Page 2 of 2
ACKNOWLEDGMENT
STATE OF ARKANSAS
ss.
COUNTY OF WASHINGTON
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 Lloneld Jordan and Sondra Smith, to me well known as the
persons who executed the foregoingg document, and who stated and acknowledged that they are the Mayor and City
Clerk, respectively, 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 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 seal on this day of G^' . 2014.
MY COMMISSION EXPIRES:
WINFIELD S BRONSON
NOTARY PUBLIC
WASHINGTON COUNTY - ARKANSAS
COMMISSION # 12387836
EXPIRES: APRIL 10 2=
Notary Public
vAt.'C'j
File Number: 201400021821
Page 2 of 3
STATE OF ARKANSAS
DEPARTMENT OF FINANCE AND ADMINISTRATION
MISCELLANEOUS TAX SECTION
P.O. BOX 896, LITTLE ROCK, AR 72203-0896
Affidavit of Compliance
File Number: 21438-14
Grantee:
Mailing Address:
Grantor:
Mailing Address:
PACIFIC VET GROUP -USA, INC.
300 SPRING BUILDING, STE 900
LITTLE ROCK AR 722010000
CITY OF FAYETTEVILLE
113 W. MOUNTAIN STREET
FAYETTEVILLE AR 727010000
Property Purchase Price: $360,000.00
Tax Amount: $0.00
County: WASHINGTON
Date Issued: 08/25/2014
Affidavit ID; 705396736
The grantee/grantor claims the following exemption to the Real Estate Transfer Tax:
A transfer to or from the United States, the State of Arkansas, or any of the instrumentalities, agencies, or political
subdivisions of the United States or the State of Arkansas.
I certify under penalty of false swearing that documentary stamps or a documentary symbol in the legally correct amount
has been placed on this instrument
Grantee or Agent Name (printed): ! S
Grantee or Agent Name (signature): �-�-Z Date:
Address:
City/State/Zip:
Cuv 9z9U
File Number: 201400021821 Page 3 of 3
� lllllllllll[Illllllllll4llllllllllllil4llll[I4llliil[144111�1111111111111111111
Doc ID: 015869460005 Type: REL
Kind: MORTGAGE
Recorded: 08/26/2014 at 01:12:55 PM
Fee Amt: $35.00 Pape 1 of 5
Washington County, AR
Kyle Sylvester Circuit' Clerrk
File2014-00021822
MORTGAGE
KNOW ALL PERSONS BY THESE PRESENTS:
(1) That PACIFIC VET GROUP -USA, INC. ("Mortgagor"), for good and valuable
consideration, hereby grants, bargains, sells, conveys and delivers unto CITY OF
FAYETTEVILLE, ARKANSAS ("Mortgagee"), and unto its successors and assigns, the following
described property in Fayetteville, Washington County, Arkansas:
A part of original Lot Numbered Fourteen (14) of the final plat of Fayetteville
Industrial Park -West to the City of Fayetteville, Arkansas as per pplat recorded in Plat
Book 10 at Pate 17 of the records of the Circuit Cleric and Ex-Vfficio Recorder of
Washington County, Arkansas, being more particularly described as follows:
BEGINNING at the -Northeast corner of said on Lot Fourteen (14) being a found
iron pin; thence along the Easterly line of said lot South 02°49' 16" West 559.73 feet
to a set iron pin; thence leaving said Easterly line North 87° 16' 17" West 3 70.14 feet
to a set iron in; thence South 63'12'36" West 402.07 feet to a set iron ppin4 thence
South 24'15'09" West 240.32 feet to a set iron pin; thence South 12°2I'0�1" West
353.18 feet to a set iron pin on the Southerlyy line of said original Lot Fourteen (14);
thence along said Southerly line North 87°25'43" West 609.41 feet to a found iron
pin at the Southwest corner of said original Lot Fourteen (14 thence along the
In
line of said original Lot Fourteen (14) North 24°09'36"Lt 1274.35 feet to
a set iron pin on the Easterly right-of-way of S. Industrial Drive; thence along said
Easterly right-of-wayNorth 24�t19'36" East 155.08 feet to a found iron in being the
Northwest corner o said original Lot Fourteen 14 ; thence along the portherly line
( } N
of said lot South 87° 18'44" ast 955.25 feet to the Point of Be inning, containing 24
acres, more or less. Subject to easements and rights -of -way of record, if any.
This mortgage also conveys all buildings and improvements now or at any time hereafter located on
any land hereinafter described. TO HAVE AND TO HOLD the same unto the City of Fayetteville,
Arkansas, its successors and assigns forever.
(2) And Mortgagor covenants with Mortgagee, its successors and assigns, that Mortgagor will
forever warrant and defend the title to all the property against all lawful claims whatever.
(3) Provided, however, the foregoing conveyance is given as a Mortgage for the purpose of
securing the following:
(a) The payment of a promissory note in the sum of $360,000.00, of even date herewith,
which is incorporated herein by reference, and all successive extensions and renewals of the
indebtedness voluntarily entered into evidencing an indebtedness being due and payable as to
principal and interest as follows:
Page 1 of 5
$360,000.00 to be paid to the City of Fayetteville, Arkansas over twenty
(20) years at an interest rate that shall be fixed for the first five years at
the current Federal Reserve Primary Credit Rate, plus one percent
(1%). This interest rate shall be annually adjusted after the first five
years to apply the Federal Reserve Primary Credit Rate existing at each
anniversary date, plus one percent (1%).
(b) The repayment to the holder of the indebtedness secured hereby of all reimbursable
expenses at any time accruing to such holder(s) under the provisions of Section (6) below.
Upon the payment of all such sums, this Mortgage will become void and will be released by proper
marginal notation, or at the option of the holder(s) of the secured debt, by a release deed to be
recorded at the expense of the Mortgagor.
(4) Mortgagor agrees:
(a) To pay, prior to delinquency, all taxes, special improvement assessments and other
governmental charges against the mortgaged property, both real and personal, at any time
levied or becoming due.
(b) To prevent the mortgaged property from becoming encumbered by any lien or charge
having priority over, or on a parity with, the lien of this mortgage, except that the City of
Fayetteville agrees to subordinate its first mortgage to construction and permanent financing
of the improvements to the property; and to comply with all statutes, ordinances and
regulations relating to such property.
(c) To protect the mortgaged property from waste, injury or unusual deterioration and,
without subjecting the property to any statutory lien, to make all replacements and repairs
necessary to keep the mortgaged property in good physical condition. Mortgagor also agrees
to comply with all zoning and land use requirements imposed by the City in connection with
the development of the property.
(d) To fulfill all terms and conditions of the Arkansas Economic Development Commission
with respect to any programs for which it contracts to participate.
(5) Default and Acceleration. The holder(s) of the indebtedness may, at the option of such
holder(s), declare the entire unmatured portion of all indebtedness secured hereby, together with all
interest accrued on the entire secured debt, to be immediately due and payable, and the same shall
forthwith become immediately due and payable (which acceleration of maturity may be
accomplished without notice to anyone), in any one of the following events:
(a) Upon the filing of a voluntary or involuntary petition to subject Mortgagor (or any party
obligated as maker, endorser, surety or guarantor for the payment of the secured
indebtedness) to any bankruptcy, debt -adjustment, receivership or other insolvency
Page 2 of 5
proceeding.
(b) Upon the occurrence of any event, which, under the terms of the instrument(s) at any
time evidencing the indebtedness secured hereby, warrants an acceleration (at the option of
the payee) of the maturity of such indebtedness.
(c) If default shall be made in the payment of any part of the principal indebtedness secured
hereby, or any interest accruing on such principal indebtedness, as the same becomes due and
payable according to the terms of the original note, or of any extension or renewal thereof at
any time evidencing such indebtedness.
(d) If Mortgagor shall fail to comply with any of the agreements contained in Section (4) of
this mortgage.
(e) If Mortgagor, being a partnership or a corporation, shall be dissolved or reorganized in
any manner.
(f) If at any time it shall appear that any financial statement or other representation made to
obtain the loan secured hereby is materially incorrect; or that Mortgagor's title to the
mortgaged properties, or any portion thereof, is subject to any prior lien, title or interest not
mentioned in this mortgage as a prior encumbrance.
(g) If at any time Mortgagor shall sell or convey the title to or any interest in any realty
mortgaged hereunder without the prior written consent of the holder(s) of the secured
indebtedness.
It is particularly understood that the foregoing acceleration provisions will be applicable not only to
the maturities recited in the original mortgage note(s) but also to any substituted maturities created
by extension or renewal. The failure of the holder(s) of the secured indebtedness to declare an
acceleration of maturities when a ground therefor exists, even though such forbearance may be
repeated from time to time, will not constitute a waiver of the right of such holder(s) to accelerate
maturities upon a reoccurrence of the same ground therefor; nor will the act of such holder(s) in
remedying any condition resulting from Mortgagor's default bar the holder(s) from declaring an
acceleration of maturities by reason of such default.
(b) If the holder(s) of the indebtedness secured hereby shall expend any sum or sums for the
protection of any of the mortgaged property or the lien of this mortgage (such holder(s) to have
uncontrolled discretion as to the necessity of making any such expenditures), the repayment of such
sum or sums on demand (with interest thereon at the highest rate allowed by law from the date of
each expenditure) shall be the personal obligation of the Mortgagor, and such obligation to repay will
constitute a part of the indebtedness secured hereby. The expenditures thus made reimbursable will
include (without limiting the foregoing) taxes, special improvement assessments, insurance
premiums, repairs and maintenance expenses, security expenditures, sums paid to discharge prior
liens, rents on premises in which mortgaged personalty may be situated, etc. The cost of any abstract
or supplemental abstract procured by the holder(s) of the secured indebtedness to facilitate
Page 3 of 5
s .
foreclosure will also constitute a part of the reimbursable expenses secured hereby.
(7) In the event of a default hereunder the holder(s) of the indebtedness secured hereby shall be
entitled to foreclose this mortgage through judicial proceedings with respect to any real estate
encumbered hereby in the Circuit Courts of the State of Arkansas.
(S) The Mortgagor releases all right of appraisement hereunder and also releases unto the
Mortgagee all right of redemption under the laws of Arkansas, including particularly all right of
redemption under § 18-49-106 of the Arkansas Code Annotated.
(9) The Mortgagor, for the consideration stated herein, hereby releases and relinquishes unto the
Mortgagee, its successors and assigns, all of Mortgagor's rights of dower, curtesy and homestead in
and to the above described property.
EXECUTED on this ZC1- day of A- , 2014.
PACIFIC VET GROUP -USA, INC.
By:
Title: [��✓C��-c JY�S
ATTEST:
By:
Title:
Page 4 of 5
ACKNOWLEDGMENT
STATE OF ARKANSAS )
ss.
COUNTY OF WASHINGTON )
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 CAv ti 1 P\'.I e
and Nf A , to me well known as the persons who executed the foregoing
document, and who stated and acknowledged that they are the IV? 0 P-e.ral (N, w S and
✓y , respectively, of Pacific Vet Group -USA, Inc., a Delaware
corporation, and are duly authorized in their respective capacities to execute the foregoing
instrument for and in the name and behalf of said 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 seal on this h day of i1 , 2014.
Notary Public
My Commission Expires:
WINFIELD S BRONSON JR
NOTARY PUBLIC
WASHINGTON COUNTY. ARKANSAS
COMMISSION # 12387836
EXPIRES: APRIL 10 2022
Page 5 of 5
PROMISSORY NOTE
$360,000.00
Fayetteville, Arkansas
Date: �'� `W,
FOR VALUE RECEIVED, the undersigned Pacific Vet Group -USA, Inc. promises to pay to the order of the
CITY OF FAYETTEVILLE, ARKANSAS ("City") the principal sum of Three Hundred sixty Thousand Dollars
($360,000.00), at an interest rate that shall be fixed for the first five years at the current Federal Reserve Primary Credit
Rate, plus one percent (1%). This interest rate shall be annually adjusted after the first five years to apply the Federal
Reserve Primary Credit Rate existing at each anniversary date plus one percent (1%).
Such principal and interest shall be payable at the principal office of the City in the City of Fayetteville,
Arkansas, as follows:
Two hundred forty (240) monthly payments of principal and interest calculated as set forth above
on or before the first day of each month with the first payment due on or before September 1,
2014. Any payment not received by the 10" day of each month shall be subject to a 5% late
payment penalty. The entire principal balance due and owing may be paid in advance at any
time without pre -payment penalty.
Each installment of principal and interest not paid at maturity (meaning normal maturity or any maturity created
by acceleration) shall bear interest thereafter at the highest rate allowed by law.
If total or partial default is made in the payment of any installment of principal or interest under this note, as the
same matures, the entire principal sum and accrued interest shall at once become due and payable without notice at the
option of the holder of this note. Failure to exercise this option shall not constitute a waiver of the right to exercise the
same in the event of any subsequent default.
The makers, endorsers, sureties, guarantors, and all other persons now or hereafter liable hereon, waive
presentment, demand for payment, protest and notice of dishonor, and consent that the owner or holder hereof shall have
the right, without notice, to deal in any way at any time (and from time to time) with any party hereto or to grant to any
such party any extension(s) of time for payment of any of the indebtedness or any other indulgences or forbearances
whatsoever, without in any way affecting the personal liability of any party hereunder.
If this obligation, after default, is placed in the hands of an attorney for collection, the maker and all other
parties liable hereunder will be obligated to pay the holder all reasonable costs and expenses of suit including, but not
limited to, a reasonable attorney's fee.
The indebtedness evidenced by this Note is secured by a Mortgage of even date herewith, and reference is made
to the Mortgage for rights as to acceleration of the indebtedness evidenced by this Note.
PACIFIC VET OUP, USA-INC.
By:
Title: V ]7Un
Witness,���
By:
I PROMISSORY NOTE
$360,000.00 Fayetteville, Arkansas
Date: v`n► �I� Z • W 1
FOR VALUE RECEIVED, the undersigned Pacific Vet Group -USA, Inc. promises to pay to the order of the
CITY OF FAYETTEVILLE, ARKANSAS ("City") the principal sum of Three Hundred sixty Thousand Dollars
($360,000.00), at an interest rate that shall be fi d for the first five years at the current Federal Reserve Primary Credit
Rate, plus one percent (1 %). This interest rate Il be annually adjusted after the first five years to apply the Federal
Reserve Primary Credit Rate existing at each allffersary date plus one percent (1%).
Such principal nd inter a�bWa6T at th rincipal office of the City in the City of Fayetteville,
Ark , a ollows:
0
,T o 240) monk p qle o rin al and interest calculated asset forth above
o b first day of e h he ayment due on or before September 1,
014. y pay nt nOt r i y t of eavk month shall be subject to a 5% late
ment penalty. T al b nee du n wing may be paid in advance at any
ti withou r me p y.
ac costa principal and intere n i t uri me ing normal maturity or any maturity created
by accelerati 1 bear interest thereafter at t ighes tRweyl�w.
If total or partial de ]SDand
e m the payments a in�t�a�lm x�(Wq rs�cipal or interest under this note, as the
same mafures, the entire princ accrued inter` ;; ll at once becnfiea_lue and payable without notice at the
A
option of the holder of this note. Failure to exercise thisoonhralfi�t�tf h�@stit a waiver of the right to exercise the
,plsame in the event of any subsequent default.
ANS
The makers, endorsers, sureties, guarantors, an�i'���e��now or hereafter liable hereon, waive
presentment, demand for payment, protest and notice ofdishon4VJ per Ant that the owner or holder hereof shall have
the right, without notice, to deal in any way at any time (and from time to time) with any party hereto or to ;rant to any
such party any extension(s) of time for payment of any of the indebtedness or any other indulgences or forbearances
whatsoever, without in any way affecting the personal liability of any party hereunder.
If this obligation, after default, is placed in the hands of an attorney for collection, the maker and all other
parties liable hereunder will be obligated to pay the holder all reasonable costs and expenses of suit including, but not
limited to; a reasonable attorney's fee.
The indebtedness evidenced by this Note is secured by a Mortgage of even date herewith, and reference is made
to -the Mortgage for. rights as to acceleration of the indebtedness evidenced by this Note.
PACIFIC VET OUP, USA-INC.
By:
Title: V T1Ui�
I
Witness-
By:
��
By: �'
Part of Parcel No. 765-16578-000
WARRANTY DEED
BE IT KNOWN BY THESE PRESENTS:
THAT the City of Fayetteville, Arkansas, a municipal corporation,
hereinafter called GRANTOR, for and in consideration of the sum of One Dollar
($1.00) and other good and valuable consideration, the receipt of which is hereby
acknowledged, do hereby grant, bargain, sell and convey unto Pacific Vet
Group -USA, Inc., hereinafter called GRANTEE, and unto Grantee's successors
and assigns, the following described land situated in the County of Washington,
State of Arkansas, to -wit:
A part of original Lot Numbered Fourteen (14) of the final plat of Fayetteville Industrial Park -West to the
City of Fayetteville, Arkansas as per plat recorded in Plat Book 10 at Pate 17 of the records of the Circuit
Clerk and Ex-Officio Recorder of Washington County, Arkansas, being more particularly described as
follows: BEGINNING at the Northeast corner of said original Lot Fourteen (14) being a found iron pin;
thence along the Easterly line of said lot South 02049'16" West 559.73 feet to a set iron pin; thence
leaving said Easterly line North 87°16'17" West 370.14 feet to a set iron pin; thence South 63°12'36"
West 402.07 feet to a set iron pin; thence South 24015'09" West 240.32 feet to a set iron pin; thence
South 12*21'07" West 353.18 feet to a set iron pin on the Southerly line of said original Lot Fourteen (14);
thence along said Southerly line North 87°25'43" West 609.41 feet to a found iron pin at the Southwest
corner of said original Lot Fourteen (14); thence along the Westerly line of said original Lot Fourteen (14)
North 24009'36" East 1274.35 feet to a set iron pin on the Easterly right-of-way of S. Industrial Drive;
thence along said Easterly right-of-way North 24009'36" East 155.08 feet to a found iron pin being the
Northwest corner of said original Lot Fourteen (14); thence along the Northerly line of said lot South
87°18'44" East 955.25 feet to the Point of Beginning, containing 24 acres, more or less. Subject to
easements and rights -of -way of record, if any.
TO HAVE AND TO HOLD the said lands and appurtenances hereunto belonging unto the said Grantee and
Grantee's successors and assigns, forever. And the said Grantors, hereby covenant that they are lawfully seized of said
lands and premises; that the same is unencumbered, and that the Grantors will forever warrant and defend the title to the
said lands against all legal claims whatever.
WITNESS the execution hereof on this the
ATTEST:
&.,44"f J-;e,
Sondra Smith, City Clerk
REVENUE STAMPS AFFIDAVIT
The foregoing deed has the correct amount of Revenue
Stamps affixed to if or is exempt from such stamps.
Signed:
city of Fayetteville
113 W. Mountain
Fayetteville, AR 72701
R day of 2014.
City of F yetteville, Arkansas,
a munitoal corporat;iQn
��'• �,1T Y
(SiEAt fAYETTEVILLE: �0=
NSQ �� .
PacVetGrUSA
Warranty Heed
Page 2 of 2
ACKNOWLEDGMENT
STATE OF ARKANSAS
ss.
COUNTY OF WASHINGTON
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 Lioneld Jordan and Sondra Smith, 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, respectively, 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 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 seal on this day of ��'" 2014.
MY COMMISSION EXPIRES:
Notary Public
WINFIELD S BRONS&N r.
NOTARY PUBLIC
WASHINGTON COUNTY - ARKANSAS
COMMISSION # 12387836
EXPIRES: APRIL 10, 2022
Will No. 2502.0 65
It. 'fyPE nF LOAN
A SETTLEMENT STATEMENT (HUD-1)
1. [ } FIIA 2. ❑ FHMA 3. ❑ CONY,
UNINS
�' •-
1. [I_ VA 5, [1 CONV. INS.
4. FILE NUMBER: 7. LOAN NUMBER
� Ii
2438.14
J
8. MORTGAGE INS, CASE NO:
C. NOTE: 'this form is fumished to give you a statement of ectual scnlcnwnl costs. Amounts paid to end by the scHlemenl agent are shown. Items
marred "( o.c )' were paid outside the cloain ; dicy are shown hers Ibr informational purposes end are not included in the totals.
D. NAME & ADDRESS Pacific Vot Group -USA, Inc.
OF BORROWER: 300 Spring Building, Ste, 900, 300 S Spring, Street, Little Rock AR 72201
E. NAME & ADDRESS The City of Fayetteville
OF SELLER: 113 W. Mountain Street. Favctteville. AR 72701
F. NAME & ADDRESS Owner Finance
OF LENDER:
O. PROPERTY LOCATION: Industrial DrjvS Favclleville, AR 72701
H. SETTLEMENT AGENT: Bronson Abstract Co., Inc.
PLACE OF SETTLEMENT: 3810 Front Street, Suite 5 F!y2ttevitle, AR 72703 (479)442-2700
I. SFrM.I?Mi-:w 3A•fE: 812512014 -
D1.01IRSEMEWDATE: 812512014
J. Summary a a 71! rrnwrrYTrnutariion
K. Summary of8clier'sTransaction
100. Gross Amount Due From Borrower:
400. Gross Amount Due
Previous Edition Is Obsolete
SB-4.3538A00-t
Form No 1581
HUD -I (3.86)
3186
RESPA,
HB 4305 2
Page l of 3
To Sella:
101. Contractselcs rke
360000.
401. Contract sales Price
760,000.00
102. lktstm.•.l la
4Personal ro
02.
103..5ctlEamtn[ Chnr cs to borrower: (fine I400
785.00
403.
llM.
4�'
105.
405.
Ad usiments For Items Paid By Setter Its Advance:
Ad wlmenta For Item P Id 11 LOW In Advance;
106, Gil haven taxes to
�
406. C�ity/•town taxes to
107. Ctsunt taxcs� to407.
County [sacs to
1O8..ASsrasrstenLv W
408, Assessments N ,•,r
109.
404.
110.
410.
]tl.
Ik!-
112-
41z
! u-
413.
I ka,
414.
415.
116,
415.
120. Cross Amount Due From Borrower:
360,385.00
120. Gross Amount Due To Boller:
360,000.00
Or InIIPhJjJ O nr rowcr.
5 0 inn Arnim n IF,'C
20BQ
L1>c+asiloreamaatmmlt
SOLExcess dcit se seinstruWiona
202- Prinei amount of new loans
502. Setticmeat char es to so0er isle 1400
1,170.00
203. ExiswT ' laut(s ub'ta taken sto
503. Existing loen(s) taken sub'cn to
2�,
504. Payoff1sLMtf6 Ln,
205.
SOS. Pa B'2nd Mtg Ln.
205.
506,14operty Tat•2013 R5 Taxes
I n3.74
207.
507.
208
508.
209. _•
509.
Adjustments For Items Unpaid By Seller:
2lll, Cil hown leees cis
Adjustments For Items Unpaid By Seller:
510. City/town taxes 70
2kLCount taxes 01J01lk4 to 08125114
67,07
SILCuunt coats OI101f14 toQRf257t4
67.07
Assessments212, Assessnwnto
512. Assessments to
213. t)sencr finanet
3f41 OOOt10
SO.CAsaer finance
_3bt1r000. 00
2l4.
_
514
W.
F I71 ►' 1rnIT 01AR(:1 S r?mmw; 21439.14
700. Total SafeslBrakets Commission:
Paid From
Paid
Form No. 1582 Paga 2 of 3 Sn-4.353 B-000.1
Based On Price S i frr�
Borrower's
Funds
At
Set703, tlement
From
Seller's
Funds
At
Settlement
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i �5i0n tMlil 11�411�.
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SELLER'S AND/OR BORROWER'S STATEMENT Escrow: 21439-14
1 have carefully reviewed the HUD-1 Settlement Statement and to the best of my knowledge and belief, it is a true and accurate statement of all receipts and
disbursements made on my account or by me in this transaction. I further certify that I have received a copy of the HUD• I Settlement Statement.
13mrowersMurchasm
pacific W-Cf�V' Inc
llyt--,_
Sellers
T4q011
The HUD -I Settlement Statement which I have prepared is a true a accurate account of this transaction. I have caused or will cause the funds to be
disbursed in accardance with this suet uctn.
Settlement Agent:
WLf(� Y� tAiv� Date:
, Bronson Abstract Co., Inc.
WARNING: It is a crime to knowingly make false statements to the United States an this or any other similar form, penalties upon conviction can include a
fine or imprisonment. For details see: Title IS U.S. Code Section 1001 and Section 1010.
Page 3 of 7
f INDEMNITY AGREEMENT
DATE: August 2014 PROPERTY ADDRESS: Industrial Drive, Fayetteville AR
LEGAL: Part original Lot 14 final plat of Fayetteville Industrial Park -West PARCEL NO.: 765-16573-000
WHEREAS, CLOSING AGENT is required to collect the county property taxes for prior years from the SELLER, and
prorate funds for the year 2014, in order to satisfy title requirements, and
WHEREAS, CLOSING AGENT'S information regarding said taxes is based on figures obtained from the records of the
Washington COUNTY TAX ASSESSOR'S OFFICE; and said information available at the time of the closing of the
transaction from the said Assessor's office is on some occasions only an estimate of the taxes for the parcel of real property
or said property may currently be or at some time in the furore be reassessed.
NOW, THEREFORE, in consideration of CLOSING AGENT closing this transaction for the PURCHASER and/or SELLER
based on information available to CLOSING AGENT, the PURCHASER and/or SELLER agree with CLOSING AGENT as
follows;
1) In the event the funds collected to pay taxes for prior years and prorated taxes for the year as shown on the
SETTLEMENT STATEMENT for the PURCHASER and/or SELLER herein, are not sufficient to pay in full the
actual real property taxes for said calendar years, the PURCHASER and/or SELLER agree to hold the CLOSING
AGENT harmless from any claims and demands from any lending institutions or other entities for payment of said
taxes, and
2) If CLOSING AGENT is required to advance any of its own funds to pay said taxes, the PURCHASER and/or
SELLER will indemnify CLOSING AGENT for any such funds so advanced.
3) The SELLER will make an additional pro -rain payment of said taxes based on the percentage reflected on the
respective SETTLEMENT STATEMENT regarding this transaction when advised by the CLOSING AGENT that
the funds credited to the PURCHASER at the closing for payment of said taxes were not sufficient to pay same.
4) to the event that the COUNTY TAX ASSESSOR'S OFFICE fails to update the ownership of the tax parcels of the
property subsequent to the date of this document, the SELLER and/or PURCHASER (if applicable), hereby release
and hold CLOSING AGENT harmless from any claims and demands made to correct said failure.
® PRIOR YEAR TAXES are based on amount reported by WASHINGTON COUNTY TAX COLLECTOR
® PRORATED TAXES are based on amount reported by WASHINGTON COUNTY TAX COLLECTOR.
❑ PRORATED TAXES credited to the PURCHASER are based on an estimate, calculated as follows: PURCHASE
PRICE • 20%" MILEAGE RATE . ESTIMATED TAXES,
Q WASHINGTON COUNTY TAX COLLECTOR'S books are currently closed. Prior year's taxes and prorated taxes
may be based on prior year reporting. In the event the property is reassessed or tax figures are adjusted.
PURCHASER and for SELLER will be responsible for any difference between amount collected and the actual
amount reported on the tax billing for the current year.
THIS AGREEMENT shall be binding on the heirs, successors and assigns of the parties hereto.
SELLER
The City of F leville, ktsas
PURCHASER
Pacific Vet Group -US ne.
By:.
Part of Parcel No. 765-16578-000
WARRANTY DEED
BE IT KNOWN BY THESE PRESENTS:
THAT the City of Fayetteville, Arkansas, a municipal corporation,
hereinafter called GRANTOR, for and in consideration of the sum of One Dollar
($1.00) and other good and valuable consideration, the receipt of which is hereby
acknowledged, do hereby grant, t5arrggain, sell and convey unto Pacific Vet
Group -USA, Inc., hereinafter called GRANTEE, and unto Grantee's successors
and assigns, the following described land situated in the County of Washington,
State of Arkansas, to -wit:
A part of original Lot Numbered Fourteen (14) of the final plat of Fayetteville Industrial Park -West to the
City of Fayetteville, Arkansas as per plat recorded in Plat Book 10 at Pate 17 of the records of the Circuit
.Clerk and Ex-Officio Recorder of Washington County, Arkansas, being more particularly described as
follows: BEGINNING at the Northeast corner of said original Lot Fourteen (.14) being a found iron pin;
thence along the Easterly line of said fat South 02049'f6" West 559.73 feet to a set Iron pin; thence
leaving said Easterly line North 87'16'17" West 370.14 feet to a set iron pin; thence South 63012'36"
West 402.07 feet to a set man pin; thence South 24015'09" West 240.32 feet to a set iron pin; thence
South 12*2V07" West 353.18 feet to a set iron pin on the Southerly line of said original Lot Fourteen (14);
thence along said Southerly tine North 87125'43" West 609.41 feet to aJound iron pin at the Southwest
corner of said original Lot Fourteen (14); thence along the Westerly line of said original Lot Fourteen (14)
North 24°09'36" East 1274.35 feet to a set iron pin ,6n the Easterly right-of-way of S. Industrial Drive;
thence along said Easterly right-of-way North 24009'36" East 155.08 feet to a found iron pin being the
Northwest corner of said original Lot Fourteen (14); thence along the Northerly line of said lot South
87"18'44" East 955.25 feet to the Point of Beginning; containing 24 acres, more or less. Subject to
easements and rights -of --way of record, if any.
TO HAVE AND TO HOLD the said lands and appurtenances hereunto belonging unto the said Grantee and
Grantee's successors and assigns, forever. And the said Grantors, hereby covenant that they are lawfully seized of said
lands and premises; that the same is unencumbered, and that the Grantors will forever warrant and defend the title to the
said lands against all legal claims whatever.
-
WITNESS the execution hereof on this they 14-
WITNESS ^day of , 2014.
City of Fayetteville, Arkansas,
ATTEST:
Sondra Smith, City Clerk
REVENUE STAMPS AFFIDAVIT
The foregoing deed has the corred amount of Revenue
Stamps affixed to it or is exempt from such stamps.
Signed: 1 2:2,� G* -
City of Fayetteville
113 W. Mountain
Fayetteville, AR 72701
PacVetGrUSA
Warranty Deed
Page 2 of 2
ACKNOWLEDGMENT
STATE OF ARKANSAS
ss.
COUNTY OF WASHINGTON
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 Lioneld Jordan and Sondra Smith, 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, respectively, 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 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.(
11
WITNESS my hand and seal on this ` ' day of Cy —+ 2014.
MY COMMISSION EXPIRES:
WI FIELD S BRONSON J1:..
NOTARY PUBLIC
WASHINGTON COUNTY - ARKANSAS'
COMMISSION # 12387836 j
EXPIRES: APRIL 10. 2022 I
�x� :�
Notary Publ c
PROMISSORY NOTE
$360,000.00
Fayetteville, Arkansas
Date.
FOR VALUE RECEIVED, the undersigned Pacific Vet Group -USA, Inc. promises to pay to the orderofthe
CITY OF FAYETTEVILLE, ARKANSAS ("City") the principal sum of Three Hundred sixty Thousand Dollars
($360,000.00), at an interest rate that shall be fixed for the first five years at the current Federal Reserve Primary Credit
Rate, plus one percent (I%). This interest rate shall be annually adjusted after the first five years to apply the Federal
Reserve Primary Credit Rate existing at each anniversary date plus one percent (1%).
Such principal and interest shall be payable at the principal office of the City in the City of Fayetteville,
Arkansas, as follows:
Two hundred forty (240) monthly payments of principal and interest calculated asset forth above
on or before the first day of each month with the first payment due on or before September 1,
2014. Any payment not received by the 10c° day or each month shall be subject to a 5% late
payment penalty. The entire principal balance due and owing may be paid in advance at any
time without pre -payment penalty.
Each installment of principal and interest not paid at maturity (meaning normal maturity or any maturity created
by acceleration) shall bear interest thereafter at the highest rate allowed by law.
If total or partial default is made in the payment of any installment of principal or interest under this note, as the
same matures, the entire principal sum and accrued interest shall at once become due and payable without notice at the
option of the holder of this note. Failure to exercise this option shall not constitute a waiver of the right to exercise the
same in the event of any subsequent default.
The makers, endorsers, sureties, guarantors, and all other persons now or hereafter liable hereon, waive
presentment, demand for payment, protest and notice of dishonor, and consent that the owner or holder hereofshall have
the right, without notice, to deal in any way at any time (and from time to time) with any party hereto or to grant to any
such party any extension(s) of time for payment of any of the indebtedness or any other indulgences or Forbearances
whatsoever, without in any way affecting the personal liability of any party hereunder.
If this obligation, after default, is placed in the hands of an attorney for collection, the maker and all other
parties liable hereunder will be obligated to pay the holder all reasonable costs and expenses of suit including, but not
limited to, a reasonable attorney's fee.
The indebtedness evidenced by this Note is secured by a Mortgage of even date herewith, and reference is made
to the Mortgage for rights as to acceleration of the indebtedness evidenced by this Note.
PACIFIC VET C OUF', USA-INC.
By:
Title: V / %'
Witness:
By: W
MORTGAGE
KNOW ALL PERSONS BY THESE PRESENTS:
(1) That PACIFIC VET GROUP -USA, INC. ("Mortgagor"), for good and valuable
consideration, hereby grants, bargains, sells, conveys and delivers unto CITY OF
FAYETTEVILLE, ARKANSAS ("Mortgagee"), and unto its successors and assigns, the following
described property in Fayetteville, Washington County, Arkansas:
A part of on *final Lot Numbered Fourteen (14) of the final plat of Fayetteville
Industrial Park -West -to the City of Fayetteville,Arkansas as per plat recorded in Plat
Book 10 at Pate 17 of the records of he Circuit Clerk and Ex-Officio Recorder of
Washington County, Arkansas, being more particularly described as follows:
BEGINNING at the -Northeast corner of said original Lot Fourteen (14) beingg a found
iron pin; thence along the Easterly line of said lot South 02°49' 16" West 55�1.73 feet
to a set iron pin; thence leavuig said Easterl line North 87° 16' 1.7" West 370.14 feet
to a set iron zn thezice South 63°1236" West 402.07 feet to a set iron pin thence
South 24° 15Q4 WesC 240.32 feet to a set iron pin; thence South l 2°2 i'0 �" West
353.18 feet to a set iron pin on the Sautlieriyy line of said:origgaial Lot Fourteen (14};
thence aloe said Southerly line North $7°25'43" West 609.41 feet to a found iron
in at the outhwest comer of said original Lot Fourteen (14 hence along the
Westerly line ofsaid original Lot Fourtee1(,
(14 North 24'09'36" t 1274.35 eetto
a set iron pin on the Easterly rz ht-of--way of Industrial Drive; thence along said
Easterly right-of-way North Z4`�i19'36"East 155.08 feet 'to,a found iron � pin bein the
Northwest corner ofysaid arigfinal Lot Fourteen ((l4); thence along the Northerly�ine
of said lot South 87° i $'44'' East 955.25 feet to the Point of Be inning. containing 24
acres, more or less. Subject to easements and rights -of way of record, if any.
This mortgage also conveys all buildings and improvements now or at any time hereafter located on
any land hereinafter described. TO HAVE AND TO HOLD the same unto the City of Fayetteville,
Arkansas, its successors and assigns forever.
(2) And Mortgagor covenants with Mortgagee, its successors and assigns, that Mortgagor will
forever warrant and defend the title to all the property against all lawful claims whatever.
(3) Provided, however, the foregoing conveyance is given as a Mortgage for the purpose of
securing the following:
(a) The payment of a promissory note in the sum of $360,000.00, of even date herewith,
which is incorporated herein by reference, and all successive extensions and renewals of the
indebtedness voluntarily entered into evidencing an indebtedness being due and payable as to
principal and interest as follows:
Page 1 of 5
$360,000.00 to be paid to the City of Fayetteville, Arkansas over twenty
(20) years at an interest rate that shall be fixed for the first five years at
the current Federal Reserve Primary Credit Rate, plus one percent
(1%). This interest rate shall be annually adjusted after the first five
years to apply the Federal Reserve Primary Credit Rate existing at each
anniversary date, plus one percent (1%).
(b) The repayment to the holder of the indebtedness secured hereby of all reimbursable
expenses at any time accruing to such holder(s) under the provisions of Section (6) below.
Upon the payment of all such sums, this Mortgage will become void and will be released by proper
marginal notation, or at the option of the holder(s) of the secured debt, by a release deed to be
recorded at the expense of the Mortgagor.
(4) Mortgagor agrees:
(a) To pay, prior to delinquency, all taxes, special improvement assessments and other
governmental charges against the mortgaged property, both real and personal, at any time
levied or becoming due.
(b) To prevent the mortgaged property from becoming encumbered by any lien or charge
having priority over, or on a parity with, the lien of this mortgage, except that the City of
Fayetteville agrees to subordinate its first mortgage to construction and permanent financing
of the improvements to the property; and to comply with all statutes, ordinances and
regulations relating to such property.
(c) To protect the mortgaged property from waste, injury or unusual deterioration and,
without subjecting the property to any statutory lien, to make all replacements and repairs
necessary to keep the mortgaged property in good physical condition. Mortgagor also agrees
to comply with all zoning and land use requirements imposed by the City in connection with
the development of the property.
(d) To fulfill all terms and conditions of the Arkansas Economic Development Commission
with respect to any programs for which it contracts to participate.
(5) Default and Acceleration. The holder(s) of the indebtedness may, at the option of such
holder(s), declare the entire unmatured portion of all indebtedness secured hereby, together with all
interest accrued on the entire secured debt, to be immediately due and payable, and the same shall
forthwith become immediately due and payable (which acceleration of maturity may be
accomplished without notice to anyone), in any one of the following events:
(a) Upon the filing of a voluntary or involuntary petition to subject Mortgagor (or any party
obligated as maker, endorser, surety or guarantor for the payment of the secured
indebtedness) to any bankruptcy, debt -adjustment, receivership or other insolvency
Page 2 of 5
proceeding.
(b) Upon the occurrence of any event, which, under the terms of the instrument(s) at any
time evidencing the indebtedness secured hereby, warrants an acceleration (at the option of
the payee) of the maturity of such indebtedness.
(c) If default shall be made in the payment of any part of the principal indebtedness secured
hereby, or any interest accruing on such principal indebtedness, as the same becomes due and
payable according to the terms of the original note, or of any extension or renewal thereof at
any.time evidencing such indebtedness.
(d) If Mortgagor shall fail to comply with any of the agreements contained in Section (4) of
this mortgage.
(e) If Mortgagor, being a partnership or a corporation, shall be dissolved or reorganized in
any manner.
(f) If at any time it shall appear that any financial statement or other representation made to
obtain the loan secured hereby is materially incorrect; or that Mortgagor's title to the
mortgaged properties, or any portion thereof, is subject to any prior lien, title or interest not
mentioned in this mortgage as a prior encumbrance.
(g) If at any time Mortgagor shall sell or convey the title to or any interest in any realty
mortgaged hereunder without the prior written consent of the holder(s) of the secured
indebtedness.
It is particularly understood that the foregoing acceleration provisions will be applicable not only to
the maturities recited in the original mortgage note(s) but also to any substituted maturities created
by extension or renewal. The failure of the holder(s) of the secured ' indebtedness to declare an
acceleration of maturities when a ground therefor exists, even though such forbearance may be
repeated from time to time, will not constitute a waiver of the right of such holder(s) to accelerate
maturities upon a reoccurrence of the same ground therefor; nor will the act of such holder(s) in
remedying any condition resulting from Mortgagor's default bar the holder(s) from declaring an
acceleration of maturities by reason of such default.
(6) If the holder(s) of the indebtedness secured hereby shall expend any sum or sums for the
protection of any of the mortgaged property or the lien of this mortgage (such holder(s) to have
uncontrolled discretion as to the necessity of making any such expenditures), the repayment of such
sum or sums on demand (with interest thereon at the highest rate allowed by law from the date of
each expenditure) shall be the personal obligation of the Mortgagor, and such obligation to repay will
constitute a part of the indebtedness secured hereby. The expenditures thus made reimbursable will
include (without limiting the foregoing) taxes, special improvement assessments, insurance
premiums, repairs and maintenance expenses, security expenditures, sums paid to discharge prior
liens, rents on premises in which mortgaged personalty may be situated, etc. The cost of any abstract
or supplemental abstract procured by the holder(s) of the secured indebtedness to facilitate
Page 3 of 5
foreclosure will also constitute a part of the reimbursable expenses secured hereby.
(7) In the event of a default hereunder the holder(s) of the indebtedness secured hereby shall be
entitled to foreclose this mortgage through judicial proceedings with respect to any real estate
encumbered hereby in the Circuit Courts of the State of Arkansas.
(8) The Mortgagor releases all right of appraisement hereunder and also releases unto the
Mortgagee all right of redemption under the laws of Arkansas, including particularly all right of
redemption under § 18-49-106 of the Arkansas Code Annotated.
(9) The Mortgagor, for the consideration stated herein, hereby releases and relinquishes unto the
Mortgagee, its successors and assigns, all of Mortgagor's rights of dower, curtesy and homestead in
and to the above described property,
EXECUTED on this Z day of Aq txA 2014.
PACIFIC VET GROUP -USA, INC.
By: r,421,40
Title:
ATTEST:
By:
Title:
Page 4 of 5
ACKNOWLEDGMENT
STATE OF ARKANSAS )
ss,
COUNTY OF WASHINGTON )
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 e
and 01A to me well known as the persons who executed the foregoing
document, and who stated and acknowledged that they are the. 1�+7 Q cf=rai-t:� Y\- S and
respectively, of Pacific Vet Group -USA, Inc., a Delaware
corporation, and are duly authorized in their respective capacities to execute the foregoing
instrument for and in the name and behalf of said 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 seal on this h day of `t� , 2014.
Notary Public
My Commission Expires:
WINFIELD S BRONSON JR
NOTARY PUBLIC
WASHINGTON COUNTY - ARKANSAS
COMMISSION # 12387836
EXPIRES: APRIL 10 2022
Page 5 of 5
NOTICE REGARDING CLOSING PROTECTION LETTER
(PURSUANT TO Arkansas Code Section 23-103-405(c) (1) and Rule 87)
Issued by:
Bronson Abstract Company, Inc.
3810 Front Street, Suite 5
Fayetteville, AR 72703
ON BEHALF OF FIRST AMERICAN
TITLE INSURANCE COMPANY
Pacific Vet Group -USA, Inc.
300 Spring Building, Ste 900
Little Rock72201
Property Location: Industrial Drive Fayetteville, 72701
Pursuant to the requirements of The Arkansas "Title Insurance Act (Arkansas Code Title 23, Chapter 103,
and Section 401 et seq.) and 87 of the -Arkansas lnswance Department, notice is hereby given that Closing
Protection Letter Protection is available to you as part of the transaction insured by the Agent referenced
above and involving the property referenced above.
Section 23-103-405 (c) (1) describes the protection afforded by the Closing Protection Letter ("Letter") as
follows. The Letter "indemnifies a person solely against loss of closing funds because of the following acts
of a closing agent, title insurer's named employee, or title insurance agent.
(A) Theft of misappropriation of closing funds, or
(B) Failure to comply with written instructions from the proposed insured when agreed to by the
closing agent, employee, or title insurance agent as it relates to the status of the title to the
interest in land or to the validity, enforceability, and priority of the lien of a mortgage or
deed of trust on said interest in land."
Please indicate your choice with regard to this offer of protection by placing a mark on the line to the left of
one of the two choices set out below.
1 NO —CLOSING PROTECTION LETTER IS NOT REQUESTED AND CLOSING PROTECTION
LE'i"I`ER PROTECTION IS DECLINED.
YES — CLOSING PROTECTION LETTER IS REQUESTED. By execution hereof the undersigned
requests that the Letter be provided to it and agrees to pay the charge of $25.00 for the Letter.
The signature of the undersigned below evidences the receipt by the undersigned of the required notice
pertaining to protection provided under the Closing Protection Letter.
Pacific V11 -oup-USA, Inc.
NOTICE REGARDING CLOSING PROTECTION LETTER
(PURSUANT TO Arkansas Code Section 23-103405(c) (1) and Rule 87)
Issued by:
Bronson Abstract Company, Inc.
3810 Front Street, Suite 5
Fayetteville, AR 72703
ON BEHALF OF FIRST AMERICAN
TITLE INSURANCE COMPANY
The City of Fayetteville
Property Location: Industrial Drive Fayetteville AR72701
Pursuant to the requirements of The Arkansas Title Insurance Act (Arkansas Code Title 23, Chapter 103,
Section 401 et seq.) and 87 of the Arkansas Insurance Department, notice is hereby given that Closing
Protection Letter Protection is available to you as part of the transaction insured by the Agent referenced
above and involving the property referenced above.
Section 23-103-405 (c) (1) describes the protection afforded by the Closing Protection Letter ("Letter") as
follows. The Letter "indemnifies a person solely against loss of closing funds because of the following acts
of a closing agent, title insurer's named employee, or title insurance agent.
(A) Theft of misappropriation of closing funds, or
(B) Failure to comply with written instructions from the proposed insured when agreed to by the
closing agent, employee, or title insurance agent as it relates to the status of the title to the
interest in land or to the validity, enforceability, and priority of the lien of a mortgage or
deed of trust on said interest in land."
Please indicate your choice with regard to this offer of protection by placing a mark on the line to the left of
one of the two choices set out below.
1( NO — CLOSING PROTECTION LETTER IS NOT REQUESTED AND CLOSING PROTECTION
LETTER PROTECTION IS DECLINED.
YES — CLOSING PROTECTION LETTER IS REQUSTED. By execution hereof the undersigned
requests that the Letter be provided to it and agrees to pay the charge of $25.00 for the Letter.
The signature of the undersigned below evidences the receipt by the undersigned of the required notice
pertaining Aroiectioitkrovided under the Closing Protection Letter.
of
SELLER'S AFFIDAVIT
STATE OF ARKANSAS, COUNTY OF: W k� k �k�*-
The undersigned, referred to as Seller (whether one or more) being first duly sworn on oath that the Seller is an owner of the following
described lands, situated in Washington County, Arkansas, to -wit:
Description being the same as shown on Exhibit "A" attached hereto.
Seller further states the following facts are true:
l . There is no adverse occupant of the property described above.
2. Seller and those, under whom Seller claims title, have been in peaceful possession of said lands for more than 7 years past.
3. There are no unrecorded options to purchase, Sales Contracts or Lease Agreements outstanding, which affects the property
described above.
4. There have been no improvements made on the property described above during the past 130 days for which a Mechanic's
and Materialmens' Lien may be filed.
5. The property described above is not traversed by any roadways or easements, except those shown on record.
6. That no money whatsoever is owed on subject property to any person, firm or corporation other than the following: NONE.
7. There are no outstanding judgments against Seller as a result of legal action to include, but not limited to, Tax Liens,
Bankruptcy or Foreclosure.
8, There are no pending litigations against Seller which may result in a judgment.
Witness the hand and seal of the undersigned this -1 day of August, 2014.
The City F y evil lc,, 4rkqnsas }
L�
tit r
ACKNOWLEDGMENT
STATE OF ARKANSAS, COUNTY OF WASHINGTON) §
Oo this thc'2 day ofAugust, 2014. before me, a notary public, personally ;appeared Ubt4-: n Jy4a) , known to me
to be the person whose name is subscribed to the foregoing instrument and who Stated and acknowledged that he executed the same in
his stated capacities for the purposes and considerations therein set forth.
In witness whereof I hereunto set my hand and official seal.
WINFIELC S BRONSON ufi�� ,
NOTARY PUBLIC
[WASHINGTON COUNTY r1fiKANSA:
COMMISSION # 12387836
EXPIRES: Al
t0 202� ?
*11 �c
otary Public