HomeMy WebLinkAbout235-15 RESOLUTIONi'W, { ,i
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113 West Mountain Street
Fayetteville, AR 72701
(479) 575-8323
Resolution: 235-15
File Number: 2015-0560
PACIFIC VET GROUP -USA, INC.:
A RESOLUTION TO APPROVE A LAND SALE AGREEMENT WITH PACIFIC VET GROUP -USA,
INC. TO SELL ABOUT 24 ACRES IN THE FAYETTEVILLE COMMERCE DISTRICT (FORMERLY
INDUSTRIAL PARK) BACK TO THE CITY IN EXCHANGE FOR THE CANCELLATION OF THE
REMAINING INDEBTEDNESS OWED TO THE CITY
WHEREAS, on June 17, 2014, the City Council approved the sale of about 24 acres in the Fayetteville
Commerce District to Pacific Vet Group -USA, Inc. and also agreed to grant a Right of First Refusal to
Pacific Vet Group -USA, Inc. to acquire an adjacent 13.1 acre tract for the amount of $360,000.00, which
was secured by a promissory note and mortgage on the property; and
WHEREAS, the City spent $27,556.88 to conduct a geotechnical feasibility study in connection with the
sale of the property; and
WHEREAS, Pacific Vet Group -USA, Inc., has made payments to the City in accordance with the land sale
agreement, promissory note and mortgage but the City is still owed the principal amount of $339,320.04 plus
interest; and
WHEREAS, Pacific Vet Group -USA, Inc. has been acquired by Novozymes US, Inc., which does not wish
to develop the property and desires to sell the property back to the City.
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 a Land Sale
Agreement, a copy of which is attached to this Resolution, with Pacific Vet
Page 1 Printed on 12117115
File Number: 2015-0560
Resolution 235-15
Group -USA, Inc. to sell about 24 acres of Tract 14 on Industrial Drive in the Fayetteville Commerce District
(formerly the Industrial Park) back to the City in exchange for the cancellation of the remaining indebtedness
owed to the City. Mayor Jordan is hereby authorized to sign the Land Sale Agreement and all necessary
documents necessary to effectuate the Land Sale Agreement.
PASSED and APPROVED on 12/15/2015
Attest:
Lisa Branson, Deputy City Clerk
°°o�o��etrtttt��d�o�
A,�" •'c'O Y 0
FAYETTEVIffL__LE
S'/(A N��p
1071111
Page 2 Printed on 12/17/15
City of Fayetteville, Arkansas 113 West Mountain Street
Fayetteville, AR 72701
(479) 575-8323
Text File
File Number: 2015-0560
Agenda Date: 12/15/2015 Version: 1 Status: Agenda Ready
In Control: City Council Meeting File Type: Resolution
Agenda Number: A. 15
PACIFIC VET GROUP -USA, INC.:
A RESOLUTION TO APPROVE A LAND SALE AGREEMENT WITH PACIFIC VET
GROUP -USA, INC. TO SELL ABOUT 24 ACRES IN THE FAYETTEVILLE COMMERCE
DISTRICT (FORMERLY INDUSTRIAL PARK) BACK TO THE CITY IN EXCHANGE FOR THE
CANCELLATION OF THE REMAINING INDEBTEDNESS OWED TO THE CITY
WHEREAS, on June 17, 2014, the City Council approved the sale of about 24 acres in the Fayetteville
Commerce District to Pacific Vet Group -USA, Inc. and also agreed to grant a Right of First Refusal to
Pacific Vet Group -USA, Inc. to acquire an adjacent 13.1 acre tract for the amount of $360,000.00,
which was secured by a promissory note and mortgage on the property; and
WHEREAS, the City spent $27,556.88 to conduct a geotechnical feasibility study in connection with
the sale of the property; and
WHEREAS, Pacific Vet Group -USA, Inc., has made payments to the City in accordance with the land
sale agreement, promissory note and mortgage but the City is still owed the principal amount of
$339,320.04 plus interest; and
WHEREAS, Pacific Vet Group -USA, Inc. has been acquired by Novozymes US, Inc., which does not
wish to develop the property and desires to sell the property back to the City.
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 a Land Sale
Agreement, a copy of which is attached to this Resolution, with Pacific Vet Group -USA, Inc. to sell
about 24 acres of Tract 14 on Industrial Drive in the Fayetteville Commerce District (formerly the
Industrial Park) back to the City in exchange for the cancellation of the remaining indebtedness owed to
the City. Mayor Jordan is hereby authorized to sign the Land Sale Agreement and all necessary
documents necessary to effectuate the Land Sale Agreement.
City of Fayetteville, Arkansas Page 1 Printed on 12118/2015
Don Marr/Jeremy Pate
Submitted By
City of Fayetteville Staff Review Form
2015-0560
Legistar File ID
12/15/2015
City Council Meeting Date - Agenda Item Only
N/A for Non -Agenda Item
11/24/2015
Submitted Date
Action Recommendation:
Chief of Staff
Division / Department
Approval of a contract with Novozymes US, Inc formerly Pacific Vet Group - USA Inc. (PVG) to exchange
approximately 24 acres (tract 14) of land. The transaction will be an exchange of clear title to the property from
Novozymes US Inc to the City of Fayetteville and the City will forgive the remaining balance due of $339,320.04
including a release of the mortgage and remove the granting to Novozymes US/PVG a Right of First Refusal to
acquire the adjacent 13.1 acres if the City choses to sell the land in the future.
. Budget Impact:
Account Number
Project Number
Budgeted Item? NA Current Budget
Funds Obligated
Current Balance
Does item have a cost? No Item Cost
Budget Adjustment Attached? NA Budget Adjustment
Remaining Budget
Previous Ordinance or Resolution # 113-14
Original Contract Number:
Comments:
Fund
Project Title
Approval Date:
V20140710
CITY OF
ARKANSAS
CTTY COUNCIL AGENDA MEMO
MEETING OF DECEMBER I5,2OI5
TO:
FROM:
DATE:
SUBJEGT:
Mayor and City Council
oon rrrrurr,þfstaff and Jeremy pate, Development services Director
November 24,2015
Sale back of the 24 acres of Land in the Gommerce District from Pacific Vet
Group-USA lnc. back to the Gity of Fayetteville
RECOMMENDATION:
City Staff recommends approval of a contract with Novozymes US, lnc. formerly Pacific Vet
Group-USA (PVG) to exchange approximately 24 acres (tract 14) ot land recently sold by the
City of Fayetteville to and now owned by Novozymes US, lnc.iPacific Vet Group-USA (PVG) on
lndustrial Drive in the Fayetteville Commerce Park. The transaction will be an exchange of clear
title to the property from Pacific Vet Group - USA back to the City of Fayetteville and the City will
forgiving the remaining balance due of $339,320.04 including a release of the mortgage and
remove the granting to Novozymes US, lnc.iPVG a Right of First Refusal to acquire the adjacent
13.1 acres if the City choses to sell the land in the future. Additionally in exchange for the money
the City spent to conduct a geotechnical feasibility study (at the cost of $27,556.88) and the money
thai Novozymes US, lnc./PVG has paid (initial payments of $20,679), a difference of $6,877.88
the City of Fayetteville will receive all information regarding engineering and environmental
studies conducted on the land by Novozymes US, lnc./Pacific Vet Group - USA (PVG).
BACKGROUND:
ln June of 2013, the Gity Council approved a contract with PVG to sell approximately 14.9 acres
of land along City Lake Road in the Gommerce 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, and discussed with PVG the potential of another
property on which they could construct their facility. PVG identified Tracl#14 on lndustrial Drive,
a 37.1 acre property, as suitable for their long-term needs. The City of Fayetteville completed
the sale of 24 acres in Tract 14 of the4 Commerce Park for $15,000 per acre resulting in a
purchase price of $360,000. The Payment of the cost of the land was 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 percenl (1Vo) on each anniversary date. ln order for the project to be
Mailing Address:
113 W. Mountain Street
Fayetteville, AR727OI
www.fayettevi lle-a r.gov
eligible for AEDC funding support, the City must contribute to the economic development project
as well. The previously approved proposal, the City contributed 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 retained 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 decided to sell.
DISCUSSION:
On November 6th, 2015, the City of Fayetteville received a letter from Robert C Lat¿ of Brown &
Ruprecht, PC; representing their clients Novozymes an international company headquartered in
Copenhagen, Denmark who recently purchased Pacific Vet Group - USA lnc. The letter
communicated that Pacific Vet Group - USA, lnc had recently been acquired by Novozymes
US, lnc. a subsidiary of Novozymes. The letter also communicated that the new owners
(Novozymes)do not wish to be in the real estate development business and do not wish to
retain Tract 14, thus wanting to sell the Tract. After discussions with the City's Economic
Development Contractor representative Steve Clark concerning various options, it was agreed
that it would be best for Novozymes to sell the property back to the City of Fayetteville in order
for the City to be in a better position to control the ultimate use of the property ín the future.
Accordingly, they proposed to sellTract 14back to the City at their cost. After discussions with
the Mayor and City Attorney's office the proposal to exchange clear title back to the city per the
recommendations above is being recommended.
BUDGET/STAFF IMPAGT:
The City will have a reduction of future sale revenues of $339,320,04 (the balance of the original
sale price of $360,000), and will no longer be required to provide up to $200,000 in staff time
and materials to provide public infrastructure work for the area. This reduction of sales revenue
will impact the Water/Sewer fund and General Fund, since both funds had ownershíp on
portions of the subject property..
Attachments:o Prior Approved Land Sale Agenda ltem. Land Sale Exchange Agreement. Brown & Ruprecht Attorneys at Law Letter
LAND SALE AGREEMBNT
This Land Sale Agreement ("Agreement") is made and entered into by and between the City of
Fayetteville,
Arkansas, a municipal corporation of the State of Arkansas (hereinafter "Cit¡/" or ('Fayetteville")
and Pacific Vet Group-USA, Inc. ("PVG").
PVG owns a parcel of real estate of approximately 24 acres, identified as the "I)evelopment
Site", on Industrial Drive in the Fayetteville Commerce District (formerly known as the Industrial
Park, which it purchased from the City on August 25,2014. To secure payment in accordance with
the August 25,2074,1and sale agreement PVG executed a promissory note in favor of the City in the
principal amount of $360,000.00, which was further secured by a mortgage on the Development Site.
PVG also purchased a Right of First Refusal to acquire an additional approximately 13.1 acres adjacent
to the Development Site, which is identified as the "Floodplain Portion."
PVG now desires and agrees to sell the Development Site back to the City and release its
Right of First Refusal to acquire the Floodplain Portion for the consideration set forth below, and to
perform all of the terms, conditions and promises set forth below in this Agreement.
TERMS AND COI\DITIONS
I.SaIe
Subject to existing easements and rights of way and subject to the terms and conditions, mutual
promises and covenants of this Agreement, PVG agrees to sell the Development Site located at
Industrial Drive in the Fayetteville Commerce District by limited warranty deed to the City and will
also supply the City with all information and documentation related to engineering and environmental
studies conducted by or on behalf of PVG on the Development Site. The Development Site is more
particularly described below :
A part of original Lot Numbered Foufteen (14) of the final plat of Fayetteville Industrial
Park-West to the City of Fayetteville, Arkansas as per plat recorded in Plat Book l0 at
Page 17 of the records of the Circuit Clerk and Ex-Officio Recorder of Washington
County, Arkansas, being more particularly descdbed 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 02o49'16" Wcst 559.73 fèet 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 63o12'36" West 402.07 feet to a set iron pin; thence South 24o15'09" West 240.32
feet to a set iron pin; thence South 12o21'07" West 353.18 feet to a set iron pin on the
Southerly line of said original Lot Foufteen (14); thence along said Southerly line North
8J"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)
North 24'09'36" 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 Nofthwest corner of said original Lot Fourteen (14);
thence along the Northerly line of said lot South 87o18'44" East 955.25 feet to the Point
of Beginning, containing 24 acres, more or less. Subject to easements and rights-of-way
ofrecord, ifany.
PVG also hereby releases its Right of First Refusal with respect to the Floodplain Portion.
2.Purchqse
As consideration for the sale of the Development Site back to the City and the release of the
Right of First Refusal with respect to the Floodplain Portion, the City agrees to return to PVG the
original promissory note executed by PVG on August 25, 2014 ("Note"), marked "Paid and Satisfied
in Full" and the City shall cancel of record the mortgage filed of record in the Offlrce of the Circuit
Clerk and Ex-Officio Recorder of Washington County on August 26,2014 as Instrument No. 2014-
00021822 ("Mortgage"). Upon the conveyance of the Development Site to the City, PVG shall have
no further liability to the City pursuant to the Note or the Mortgage.
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.
4. Date ofPossession
Possession of the Development Site shall be delivered to the City on the Closing date free of
any tenancies or other third party possessory rights.
5. Title Insurance
PVG shall order a title commitment on the Devclopment Site, as soon as practicable following
the full execution of this Agreement, through Bronson Abstract Company. If the report on title,
binder or commitment discloses any defects in title (other than those ceftain easements, restrictions or
instruments of record as of the date that PVG acquired the Development Site and other than liens or
encumbrances of a defìnite or ascertainable amount created by PVG which shall be paid or released at
Closing), PVG shall have thirfy (30) days from the date of the City's notice of such defects to make a
good faith effort to cure such defects and to fumish a report showing the defects cured or removed. If
such defects are not cured within thirly (30) days, the City may terminate this Agreement or may,
at its election, take title subject to any such defects.
Deed, Property Taxes and Other Documents
On the Closing date, PVG shall convey marketable and insurable title to the premises by
limited warrant¡r 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, and existing easements and instruments
of record. PVG shall pay its prorated portion of property taxes through the date of Closing. PVG and
the City of Fayetteville shall equally share the cost a reasonable closing fee imposed by the closing
agent employed by the parties. PVG shall also supply the Cify with all information and documents
related to engineering and environmental studies conducted on the Developmont Site by PVG as an
accommodation only and without representation or warranty as to the accuracy or completeness of
such documents.
7. Risk of loss
Risk of loss as to the Development Site shall remain with PVG until the Closing date.
8. Notices
Notices required by this Agreement shall be in writing and shall be delivered to:
Pacific Vet Group-USA, Inc.
ATTN: William Davies, President
2134 CreekView Drive
Fayetteville, AR 72704 orbyFAX: (479)966-4448
City of Fayetteville
ATTN: Mayor's Office l13
W. Mountain St.
Fayetteville, AF.7270172701-6083 or by FAX (479) 575-8257
9. Authority
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.
10. 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.
11. Facsimile
For purposes of executing this Agreement, a facsimile signature shall be as effective an as actual
signature.
12. Applicable Law
This Agreement shall be construed and enforced in accordance with the laws and public policies of the
State of Arkansas.
13. Survival
The representations, warranties, and agreements of the parties contained herein shall survive the Closing
date.
14.No LYaivers
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 ofany other condition or ofany subsequent breach
of the same or of any other term, covenant or condition herein contained.
15. Time of Essence
Time is of the essence in this Agreement.
I6. Invalidity
If for any reason any term or provision of this Agreement shall be declared void and unenforceable by
any court of law or equif¡i, it shall only affect such paficular 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.
17. Complete Agreement
All understandings and agreements heretofore exísting 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 the City at Closing.
out.' â -Nr ZOtí
PACIFIC \rET GROUP-USA, INC.
By:----.-_/
\ryILLIAM J. D/T
Title: President
ES
Date:tD'-\.6-15
U-
ü¡rL
B-*-d.r-r B¿c-,(
November 6,2015
ViA BMAIL: mavor@,favettevitrle-ar'eov
Honorable Lioneld Jordan
City Hall
113 TV. Mountain Street
Fayetteville, AF.7270l
Re: Tract ll,Fayetteville Industrial Park West
Dear Mayor:
Tn 2014, Pacific Vet Group - USA, Inc. purchased Tract 14 from the City for
$360,000.00, with the intent of dåveloping a mannfactruing facility fo1 i,æ animal health
business. As you may be aware, Pacific Vetbroup - USA, Inc. has recently been acquired by
Novozymes US, Inc. a subsidiary of Novozym"t, utt international company headquartered in
Copenhagen, Denrnarlc.
Novozymes has informed us that they do not wish to be in the real estate development
busirress and do not wish to retain Tract 14. Thus, we need to sell Tract 14' After discussions
,,vith Steve Clark concerning various options, it was agteed that it would be best for us to sell the
property back to the City iriorder for tùe City to be in a better position to control the ultimate use
of the plopefiy.
Accordingly, we are proposing to sell Tract li-backto the city at our cost' we understand
that the City has incurred certáin "*p"ns"r
in cormection with the sale transaction, and u'e are
ope¡ to discussio¡ of having the City recoup sorne or all of these expenses. Furthet, we incurred
"*p"nr", in the fonn of englneering ãnd environmental studies which we will agree to provide to
the City.
We respectfully request that ow proposal be considered by the City at its earliest
convenience. please let us know if there is an-y additional information which you will need for
consideration of our proPosal.
Very truly Yours,
BROXN & RUPRECTTT, Pc//ü,-,/,/./ -.a :7-r-^*I ç1 14,/ í' /7ZL-*- '' :o-
Robert C.LaIz Q
cc vi a email : Kit Williarns, kwilliarns@favetteville-ar' gov
BROWN & RUPRECHT"C
ATTORNEYS AT LAW
| ,,r, Cona Boulevard, Suite 11oo
I KansasCil¡MOó4108
Robert c- Lalz
Writeds Direct # (8161252'7OO4
r¡atz@brlawkc-com
I
anLrwM:Udrtel\003L"o*.' ,ra.arr.rooo
I oo*, eta.zrz.zoso
New World systems 7.0
77/76/ts
.ågseÈ Aceount
J-070.0300.70
AREC-Mortgage
Endíng Balanees
20L4: 353298.86
201-3: .00
F3=Exit F8=Detaí7
*TJLVE*
General I'edger Inquíry
Account Status
Budgeted Account/Org. LeveT :
FiscaL Start Month/Year End:
GLL50053
ACTTVE
¡70
07 20L5
Current
,Jan
Feb :
Mar :Apr :
May :
,fune:
,fuLy:
Aug :
Sept:
Oct :
JVor¡ .'
Dec :
TotaJ
F77=TransaeEíons
Periods
7261.56-
1_263 .40-
L265 . 24 -
J_267 . 09 -
1_268.94-
7270.79-
J-272 . 64 -
7274 . 50 -
7276.36-
7278.22-
1280.08-
.00
J.3978.82-
F72=CanceJ-F22=More Funetíons
f{. is .t.t*h@*W
û1s4_ u-s
-rent Balance
339320 .04
ffis++1w)
Pacific Vet GrouP
Mortgage 8-25-2074
lndustríal Park Land
We will bill monthlY as follows:
L77O TOLO-0300.70 Mortgage Principal
!77L LOLO.OOO7.47O8.7O Mortgage lnterest
Using the amortization schedule
O'
åt3
:J"1
<)
/"4- la ^GN,Usk i:Na-'
åø? C^"1, Vìe.¿
4e%l
t
Principal:
Interest Rate:
Numbqof Payments:
$360,000.00
1.750%
240
AMORTIZATION S CHEDIILE
M!,a
(
Papent
Nurnber
Amountof
Pavmeirt
Apply to
Interest
Applyto
Princioal
Ending
Balance
LoanAmount $360-000.00
,'lÉ 1
(Interest 8125/14-
9/01/14\r.776.79 t03.56 1.673.23 358-326.77
--¡l t4 2 rolo1/14 1.776.79 522.56 1.2s4.23 357.072.54
,V lcl 3 tt/01/14 t,776.79 520.73 1.256.06 355.816.48
ôd l.l 4 t2lou14 r.776.79 518.90 1.257.89 354.558.59
.l.t 5 o1/o1/1.5 t.776.79 517.06 1.259.73 353.298.87
x¡14 6 02/at/ß r.776.7e s15.23'1.26t.56 352.037.30
Ltç 7 03/01,/15 t-776.79 513.39 r.263.40 350J73.90
I 04/01./ts 1.7?6.79 511.55 t-265.24 349.508.66
9 05/ol/15 1.776.79 509.70 t.26'1.09 348.24t.57
10 06/07/ts t.776.79 s07_85 1,.268.94 346.972.63
1l 07/07/15 r.776.79 s06.00 1.270.79 345,701.84
12 08/ollts 1-776.79 s04.15 1,,272.64 344.429.20
13 09/ot/ts 1-776.79 502.29 7,274.50 343.1s4.70
t4 to/ol/Ls 1.776.79 500.43 1.276.36 341-878.35
15 tt/011t5 t.776.79 498.s7 7,278.22 340.600.13
T6 t2/01/15 1.776.79 496.71 1,280.08 339.320.05
17 otlol,/16 t.776.79 494-84 1.281.9s 338.038.i0
18 02/01/16 r.776.79 492.97 1.283.82 336.754.28
l9 03/ol/16 1.776.79 491.10 1.285.69 335.468.59
20 04/0t/t6 1.776.79 489.23 1.287.56 334,181.03
2l 05/otlt6 r.776.79 487.35 1.2E9.44 332.891.58
22 06/0ut6 1,776.79 485.47 1,29t.32 33t.600.26
23 07/ol/16 t-776.79 483.s8 t-293.21 330,307.05
24 08/ol/16 1.776.79 481.70 1..295.09 329-071.96
25 09/ot/t6 1.776.79 479.81 1.296.98 327.714.98
26 70/01/16 1,776.79 477.92 1_298.87 326.416.11
27 tr/01/16 t,776.79 476.02 1340.77 325.11s_34
28 12/0r/16 1.776.79 474.t3 1.302.66 323.812.68
29 0v01lt7 1.776.79 472.23 1.304.56 322.508.12
30 02/01/17 1.776.79 470.32 1.306.47 321.20r.65
31 03/01/17 1.776.79 468.42 1.308.37 319.893.28
32 04/01/11 t.776.79 466.51 I,310,28 318,583.00
33 05/01.lLl t.776.79 464.60 1.312.19 317,270.81
34 06/01/17 t.776.79 462.69 I,314.10 315,956.71
35 07/0r/17 1.776.79 460.77 1.316.02 314.640.69
36 08/01/17 1.776.79 458.85 1.317.94 313.322.75
37 09/o1/17 1.776.79 456.93 1,319.86 312,002.89
38 70/otlL7 1.776.79 45s.00 t-321.79 ;310.681.10
39 tt/01/t7 1.776J9 453.08 r-323.71 309.357.39
40 t2/01/17 1.,776.79 451.15 r.325.64 308,031.74
AMORTTZATION S CEEDTILE
Payme,nt
Number
Amount of
Pavment
Applyto
Interest
Applyto
Princioal
Bnding
Balance
4l 01/01/18 1.776.79 449.21 1.327.58 306.704.17
42 02/ot/18 r.7'16.79 447.28 t.329.51 305.374.65
43 03/01/18 1.776.79 M5.34 1,331.45 304,043.20
44 04/0U18 1.776.79 443.40 1,333.39 302.709,81
45 0s/01/18 tJ76.79 Mt.4s t-335.34 30t.374.47
46 06/out8 1.776.79 439.50 t,337.29 300.037.18
47 07/o1lt8 t-776.79 437.55 t-339.24 298.697.95
48 08/01/18 1J76.79 435.60 1.341.19 297,356.76
49 oelot1L8 t-776.79 433.65 1.343.t4 296.013.6t
50 t0/o1.lt8 t.776.79 431.69 1.345.10 294.668.5r
51 tt/ollt'8 1.776.79 429.72 1.347.07 293.32t.45
52 t2/0t/18 t-776.79 427.76 1.349.03 291.972.42
53 0t/01/19 1,776.79 425.79 1.351.00 290-621.42
54 02/0r/19 1.776.79 423.82 t,352.97 289.268.45
55 03/01/t9 r.776,79 421,.85 1.3s4.94 287.913.51.
56 04l01lt9 1.776.79 419.87 1.3s6.92 286,556,60
57 05/ol/19 1.776.79 417.90 1.358.89 285.19','1.70
58 06/oUt9 1,176.79 415.91 1.360.88 283,836.82
59 07lot/19 7.776.79 413.93 1.362.86 282.473.96
60 08lot/t9 r.776.79 4t1.94 r-364.85 281.109.11
6t 09lorltg 1.776.79 409.9s 1.366.84 279.742.28
62 to/olltg 1.776.79 407.96 1.368.83 278,373.44
o5 tr/0t/19 1.776.79 405.96 1.370.83 277.002.61
64 t2/01/19 1.776.79 403.96 l-372.83 275.629.79
65 0t/ot/20 1.776.79 40t.96 r,374.83 274,254.96
66 02/01/20 1,776.79 399.96 L.376.83 272.878.r2
61 03/ot/20 1,776.79 397.95 1.378.84 271.499.28
68 04/01/20 1.776.79 395.94 1,380.85 270.118.43
69 0s/ot/2a t.776.79 393.92 t,382.87 268.735-56
70 06101/20 1.776.79 391.91 1.384.88 267,350,67
7t 0710t/20 1,776.79 389.89 1.386.90 26s.963.77
72 08lor/20 1-t76.79 387.86 1.388.93 264,s74.84
73 0910t/20 1.776.79 385.84 1.390.95 263.183.89
74 t0/01120 1.776.79 383.81 t.392.98 261.790.91
75 tt/01/20 r-776.79 3 81.78 1_395.01 260.395.90
76 r2l0t/20 1,776.7e 379.74 1,397.05 258.998.85
77 0t/01./21 r,776.79 317.11 I,399.08 257.599.77
78 02101/21 t-776.79 37s.67 1,401.12 2s6.198.65
79 03/otl21 t-776.79 373.62 1.403.17 254,79s.48
80 04/or/21 r.176.79 371.58 t-405.21 253,390.27
81 0s/01/2t 1,776.79 369.53 1,407.26 251.983.01
82 06lot/21 1.776.79 367.48 1.409.31 250,573.69
83 07/01/21 1.776.79 36s.42 1.411.37 249.162.32
84 08101/2t 1.776.79 363.36 1.413.43 247.748.89
85 09/01121 1.776.79 361.30 1,415.49 246,333.40
86 t0/01/21 1.776.79 359.24 t.417.55 244,975.85
A,MORTIZATION SCHEDT]LE
Payment
Nunbø
Amount of
Pavme,nt
Apply to
Interest
Applyto
Principal
Ending
Balance
87 tt/ol/21 1.776.79 357.17 1.4r9.62 243.496.23
88 ta0L/21 t.776.79 355.10 1.421.69 242,074.54
89 01/av22 1,776.79 353.03 r.423.76 240,650.77
90 02/01/22 t-776.79 350.95 t,425.84 239,224.93
9t 03/01/22 r,776.79 348.87 t.427.92 237,797.01
92 04/01/22 t.776.79 346.79 1.430.00 236.367.01
93 05/0U22 1.776.79 344.70 t.432.09 234.934.92
94 06/01/22 r,776.79 342.6t lA34.l8 233500.74
95 07/01/22 1.776.79 340.52 t-436.27 232,064.47
96 08/01/22 1.776.79 338.43 1.438.36 230.626.11
97 09/ol/22 1.776.79 336.33 1.440.46 229.185.65
98 10/0t/22 r,776.79 334.23 1442.s6 227.743.09
99 11./01/22 1.776.79 332.13 1-444.66 226.298.43
100 7?r'01/22 1.776.79 330.02 1.446.71 224.85r.65
101 0t/01/23 1.776.79 32'7.91 1.448.88 2%-4A2.77
102 02/0t/23 1,776.79 .325.80 lAso.99 221.951.78
i03 03/01/23 Í-776.79 323.68 1.453.11 220,498.67
104 04/01/23 t.776.79 32r.56 1455.23 219,043.44
105 os/01/23 t.776.79 319.44 lAs1.3s 217.s86.09
106 06101/23 t,776.79 3t7.31 t-459.48 216,126.61
t0'7 07/01/23 1.776.79 3 15.18 t,467.67 274-665.01
108 08l0t/23 1.176.79 313.05 1.463.74 213-201.27
109 09/ol/23 1.776.79 310.92 1,465.87 211.735.44
110 t0/01/23 r-776.79 308.78 1-468.01 270,267.39
111 1L/01/23 r-776.79 306.64 1.470.15 208,797,24
lt2 t2/01/23 1.776.79 304.50 t,472.29 207 ^324.94
113 0t/01/24 1.776.79 302.35 1.474.44 205.850.50
114 02/01/24 t,776.79 300.20 t.476.59 204,373.91
115 03/01/24 1.t76.79 298.05 1.478.74 202.895.17
116 04/0t/?4 r.776.79 295.89 1.480.90 20t.414.27
tl7 0s/01/24 7,776.79 293.73 1.483.06 199,931.20
118 06/01/24 t.776.79 291.57 1.485.22 198.44s.98
119 07/01/24 1.776.79 289.40 t.487.39 196,958.59
120 08/01/24 1.776.79 287.23 1.489.56 195,469.03
t21 09/01124 t.776.79 285.06 7.49t.73 t93.977.30
122 10/01124 r-776.79 282.88 1.493.91 192-483,40
t23 t1"l0t/24 r-776.79 280.70 1.496.09 190.987.31
124 12/01/24 1.776.79 278.52 1.498.21 189,489.04
t25 01101/25 r:776.79 276.34 1-500.45 187,988.59
726 0aü/25 1.776.79 274.15 1.502.64 186,485,95
tn o3/0llzs t,776.79 27t.96.i.504.83 184.981.12
728 04/0t/25 r,776.79 269.76 1.507.03 183.474.09
129 05/01/25 1,776.79 267.57 1.509.22 181,964.87
130 0610r/25 1.776.79 265.37 t.511.42 180.4s3.45
r31 07l0t/25 t:776.79 263.16 1,513.63 t78,939.82
1.;776.79 260.95 1,515.84 117.423.98132aa0u25
AMORTTZATION SCHEDULE
ii:
Paym.e,nt
Numbet
Amount of
Pavment
Applyto
Interest
Apply to
Principal
g¡ding
Balance
133 09/0r/25 1.776.79 258.74 I.s 18.05 175,905.93
134 t0/0t/2s 7.776.79 256.53 1,520.26 174,385.67
135 lt/ot/25 t.776,79 254.31 1,s22.48 172,863.20
136 12/01/25 1,776.79 252.09 1.524,10 171.338.50.
137 07/ot/26 1.776.79 249.87 r.526.92 169.811.58
138 02lol/26 1.776.79 247.64 1,529.15 t68.282.43
139 03/ot/26 1.776.79 245.41 1.531.38.166.751.05
140 04/0r/26 r,776.79 243.18 1.533.61 165.21'1.44
t41 osl0U26 r,776.79 240.94 i,535.85 163.681.59
142 o6lot/26 1.776.79 238.70 1.538.09 162.143.50
143 0710L/26 t.776.79 236.46 1,540.33 160,603. i7
144 08/01/26 t.776.79 234.21 r-542.58 159,060.60
745 09/01/26 t-776.79 231.96 1.544.83 157.s15.77
146 rcl01n6 r.776.79 229.71 1.547.08 155,968.69
t47 tt/01/26 r.776.79 227.45 1,549.34 r54-419.35
148 t2/01126 1.776.79 225.19 1-551.60 t52-86',7.76
t49 otl0r/27 1.776.79 222.93 1.553.86 151.313.90
150 02/01/27 L-776.79 220.67 1,556.12 t49,757.78
151 03/01127 t.776.79 218.40 1,558.39 148,199,38
152 o4l0lf27 1,776.79 216.12 r-560.67 t46-638.72
153 os/0y27 t-776.79 213.8s r.562.94 145.075.78
154 06101/27 1.776.79 217.57 I.565.22.r43,510.56
155 07/0u27 1.776.79 209.29 1,567.50 141,943.05
Ls6 08/01/27 1.776.79 207.00 1.s69.79 140.373.26
t57 09/01/27 1,716.79 204.71 7.s72.08 138.80i.18
158 ro/ot/27 1.776.79 202.42 r.574.37 137.226.81
159 rl/ot/27 L,776.'19 200.12 t.576.67 135.650.14
160 t2/01/27 1.776.79 r97.82 1.578.97 134,071.18
t6t ol/01/28 1.776.79 195.52 1.58r.27 132-489.91
162 o2l0ll28 1.776.79 193.21 1.583.58 130.906.33
t63 03/01128 1.776.',l9 190.91 1.585.88 t29,320.45
164 04101/28 1..716.79 188.59 1,588.20 127,732.25
165 051o1/28 t,776.79 186.28 1.590.51 t26.14t.74
t66 06/oll28 r.776.79 183.96 1,592.83 124,s48.90
167 07101/28 1.7'16.79 181,63 1,59s.16 122,953.75
168 08/01/28 r.776.79 179.31 t,591.48 r27.356.26
169 09lol/28 1.776.79 176.98 1.599.81 119.7s6.45
170 r0101128 1,776.79 174.64 1.602.15 1 18.154.31
17l 11,l0l/28 1.,776.79 t72.3r 1,604.48 116,549.82
t72 t2/01/28 t-776.79 169.97 t.606.82 114,943.00
173 orl0t/29 t.776.79 t67.63 1,609.16 113.333.84
t74 02/01129 l,'176.79 165.28 1_611.51 111.,'722.33
t75 03101/29 1.776,79 162.93 r -613.86 110.108.47
t76 o4/0r/29 t.776.79 160.57 r.616.22 108.492.25
177 05/0r/29 1.776.79 r58.22 1.618.57 106.873.68
178 06/0L/29 1,7'16.79 155.86 1.620.93 105.252.75
AMORTIZATION S CHEDIJLE
Payment
Nurnber
Amountof
. Paymeirt
Applyto
Int€rest
Apply to
Princioal
Ending
Balance
179 07/01/29 1,776.79 153.49 1.623.30 r03.629.45
180 08/01/29 1.776.79 151.13 t,625.66 102.003.79
181 09/ot/29 1,.776.79 148.76 1-628.03 100.375.75
t82 t0/01/29 T.776.79 146.38 1.630.41 98.745.34
183 t1/01/29 1,776.79 r44.00 1,.632.79 97-t12.56
184 12/01/29 1.776.79 t41.62 1,635.17 95,477.39
185 07/01130 1.776.79 r39.24 t -637 .55 93,839.84
186 a2/01130 t.776.79 136.85 1.639.94 92,199.90
787 03/01./30 7.176.79 t34.46 r.642.33 90.557.56
188 04/0u30 r.776.79 132.06 1.644.73 88.912.84
189 0s/01130 r.776.79 t29.66 r,647.13 87,26s.7r
190 06/01/30 t,776.79 127.26 1.6+9.53 85,616.18
191 07/07/30 r.776.79 124.86 1.651.93 83-964.25
192 08/01/30 L,776.79 r22.45 r,654.34 82.309.91
193 09/01/30 t,776.79 120.o4 1-656.75 80,653.15
194 10101/30 r.776.79 tt7.62 t.659.17 78.993.98
L95 tt/01/30 1,.776.79 175.20 r.661.59 77,332.39
196 t2/01/30 1,776,79 112.78 l -664.01 7s.668.38
t97 0t/0r/31 7,776,79 110.35 r-666.44 74,001.94
198 02/01/31 1,776.79 ï07.92 1.668.87 72.333.07
r99 03/01/31 r-776,79 105.49 1,67t.30 70.661.76
200 04/01/31 1.776.79 103.05 1.673.74 68,988.02
201 0s/01/31 t.776.79 100.61 1.676.18 67.3t1.84
202 06/01/31 1.716.79 98.16 r,678.63 65.633.21
203 07/01/3t t.776.79 95.72 r-681.07 63.952.14
204 08/01/31 1.776.79 93.26 1.683.53 62.268.61
205 09/01/31 1.776.79 90.81 1.685.98 60.582.63
206 10/0t/31 1,776.79 88.35 1.688.44 s8.894.19
207 11./01/3r t-776.79 85.89 1.690.90 57.203.29
208 t2/01/31 1.776.79 83.42 r-693.37 55.509.92
209 0r/01/32 1.776.79 80.95 1,695.84 53_814.08
210 02/01/32 1.776.79 78.48 1.698.31 s2.115.77
2tL 03/01/32 1.776.79 76.00 1,700.79 50.4i4.98
212 a4/au32 r.776.79 73.52 1.703.27 48.7t1.71
213 0sl}t/32 1,776.79 71.04 1.705.7s 47,005.96
214 06/01/32 r,776.79 68.55 1.708.24 4s.297.72
215 07/0t/32 1-176.79 66.06 1,710.73 43.586.99
216 08/01/32 1,776.79 63.56 r.713.23 4t.873.77
217 t9/01/32 1,776.79 67_O7 1,.115.72 40.158.04
218 t0/0r/32 1.776.79 58.56 t;118.23 38.439.82
219 11/Or/32 1J76.79 56.06 t.720.73 36.719.08
220 12101/32 t-176.79 53.55 t.723.24 34,995.84
227 ot/0r/33 t.776.19 51.04 1.725.75 33,270.09
222 a2/01/33 1.776.79 48.52 1.728.27 31,541,82
223 03/01/33 1.776.79 46.00 1.730.79 29.811.03
224 04/01/33 1.776.79 43.47 1.733.32 28.077.71
AMORTIZÁ,TION SCffiDIILE
Pa¡mæt
Number
Amount of
Pavment
Applyto
Inter€st
Applyto
Principal
Ending
Balance
225 0s/01/33 t.776.79 40.95 7.735.84 2;6,34t.87
226 06/01/33 r.776.79 38.42 1.738.37 24.603.49
227 07l0t/33 1.776.79 35.88 1.740.91 22.862.58
228 08/01/33 1-776.79 33.34 t,743.45 2t.ll9.t3
229 09101133 1.776.79 30.80 t-745.99 19.373.14
230 t0/0t/33 1.776.79 28.25 7.748.54 17.624.60
231 t710y33 1.776.79 25.70 r.7st.09 15-873.52
232 t2Ì01133 t-776.t9 23.15 r,753.64 14.119.88
233 ot/01/34 1.776.79 20.59 t-756.20 12.363.68
234 a2/0U34 t-776.79 18.03 r-758.76 10.604.92
23s $/atß4 1.776.19 15.47 1.761.32 8.843.59
236 04/01/34 7.776.79 12.90 1.763.89 7-079.70
237 05/01134 1,776.79 1,0.32 r.766.47 5.313.23
238 06/01/34 1.776.79 7.7s 1.769.04 3.544.t9
239 07/01/34 r.176.79 s.t7 1,771.62 r,772.57
240 08101/34 2.58 1-772.58 (0.00
Leach, Trish
To:
Cc:
Subject:
Hertweck, Marsha; Lilley, Toni
Fallen, Summer
industrial park land sale and mortgage Pacific Vet Group
I set up the new accounts (1010.0300.70 AR Mortgage) and (1010.0001.4708.70 lnterest Mortgage)that Summer will
need to bill the monthly payment to the Pacifíc Vet Group.
Toniwíll record the sale debiting the AR Mortgage and crediting the gain account.
Summer will bill monthly based on the amortízation schedule-her billing will credit the AR Mortgage and interest
income while debiting nn.
Summer and I will flag our calendars to make sure that if the PVG has not paid by the 10th of the month, that we notifu
the City Attorney's office.
I am sure there will be more on this @
Trish
Leach, Trish
From:
Sent:
lo:
Subject:
Attachments:
Hertlveck, Marsha
Monday, August 25,2014 3:17 PM
Leach, Trish
FW: Pacific Vet Group
0439_001.pdf
From: Pennington, Blake
Sent: Monday, August 25,2074 3:14 PM
To: Hertweck, Marsha
. Subject Pacific Vet GrouP
Marsha,
Attached is a copy of the signed promissory note. Sondra has the original in her office. Scott Bronson will be emailing
. copies of the closing documents and a recorded copy of the mortgage in the near future. The address for PVG is 2135
Creek View, Fayetteville, AR 72704.
Please let me know if you need anything else.
Thanks,
Blake
; Blake E. Pennington
' A.ssistant CitY,\ttomeY
' 1'ele: (479) 575-8313
bp er:nin gton@ fayetteti-lle-ar. gov
From: City Hall 3rd Floor Color Copier
Sent: MondaY, August 25,2Ot4 6:27 PM
, To: Pennington, Blake
Subjecü Attached lmage
PROMISSORY NOTE
$360,000.00 Fayetteville, Arkansas
o^,", d\r,1r^fi¿{ ílùr{
FOR VALUE RECEIVED, the undersigned Pacific Vet Group-USA, Inc. promises to pay to the order oftlre
CITy OF FAyETTEVILLE, ARKANSAS ("City") the principal sum of Three Hundred sixty Thousand Dollars
($360,000.00), at an int€rest rate that shall be fixed'for the first five years at the current Federal Reserve Primary Credit
ìt"tu,ptur onáiercent (l7o). This interest rate shall be annualþ adjusted after the-frrst frve years to apply the Federal
Reserve Pdmary credit ftate existinÈ at €ach anniversary date ¡ilus one percent (l%).
Such principal and interest shall be payable at the principal office ofthe Cþ in the City ofFayetteville,
Arka¡rsas, as follows:
Two hundred forty (240) monthly payments of principal and interest cslculated as set forth above
on or before the firit day ofeach month with the first payment due on or before Septenrber l,
2014. AnypaymentnotreceivedbythelOthdayofeachmonthshsLlbesubiecttoa5Tolate
payment peiraity. The entire princlpat balance due and owing may be paid in advance at ony' time wlthout pre-payment penalty.
Each installment of prinoipal and interest not paid at maturity (meaning normal maturity or any tnaturity creatéd
by acceleration) shall bear interest thereafter at the highest rate allowed by law'
Iftotat or partial default is made in the payment.of any installment of principal or interest under this note, asthe
saÍie matures, the ónrire principal sum and accruá ínterest shall at once become due and payable without notice. at the
option ofUre úolder ofthis note. Failure to exercise this option shall not constitute a waiver of the right to exercise the
same in the event ofany subsequent default.
The makers, endorsers, suretÍes, guarantors, and all other persons now or hereafter liable hêreon, waive
presentmenl demand'for paymen! prote$ añd notice ofdishonor, and consent that the owner or holder hereofshall have
i¡. tigttt, *iit out notice, io deal in ãny way at any time (and from time to time) with any parly hereto or to_grant to any
;.h i¿¡.r), any extension(s) of time fór paymeniof any of the indebtedness or any other indulgences or foröearances
wtrats,oever, without in any way affecting the personal liability ofany parly hereunder.
If this obligation, after deftult, is þlaced in the hands of an attorney for colleotion, the maker and all other
parties liable hereunãer witl be obligated to'pay the holder all reasonablecosts and expenses ofsuit including, butnot
limited to, a reasonable attorney's fee.
The indebtedness evidenced by this Note is secured by a Mortgage of even dateherewith, and reference ismade
to the Mortgage for rights as to acceleration of the indebtedness evidenced by this Note.
PROMISSORY NOTE
$360,000.00 Fayetteville, Arkansas
FOR VALUE RECEMD the undersigned Pacific Vet Group-USA, lnc. promises to pay to the order ofthe
CITY OF FAYETTEVILLE, ARKANSAS ("City') the principal sum of Three Hundred sixty Thousand Dollars
(S¡OO,OOO.OO), at an inære¡t râte that sball be fixed'for the first five years at the current Federal Reserve Primary Credit
Èl"tq ptur onó'p"rcent (l%o). This interest rate shall be annualþ adusted after the-first flwe years to apply the Federal
Reserie Pämary Ciellit Rate exist¡ng at èä'ch anniversary date þlüS one þêiceht (lolo).
Such prinoipal and interest shall be payable at the principal ofüce of the City in the City of Fayettev¡lle,
Arkansas, as follows:
Two bundred forty (240) monthly paymenfs ofprinclpal and interest calcul¡ted as set forth above
on orþefore the firut <tay of each month wlth the first payment due on or before Septentber I'
2014. Any payment oot,received by the tO'h day oteach month shall be subject to a 57o late
payment ieiraity. The entire princlpal balance due and owing may be paid ln advdnce at any
time without pre-payment penalty.
Each installmentofprincipal and interest notpaid atmaturity (meaning normal maturítyoratìymaturity created
by acceleration) shall bear interest thereafter atthe highest rate allowed by law'
Iftotal orpartial default is made in the payment ofany installment of¡rincipal or interest underthis note, asthe
same maûges, the entire principal sum and accro"ã interest shall at onçç become due and paya-ble without notice. atthe
option ofthe úolder ofthis notö. Failure to exercise this option shall not constitute a waiver ofthe right to exercise the
same in the event ofany subsequent default.
The makers, endorsers, sureties, guarantors, and all otl¡er persons no1 or hereafrer liable hereon, waive
presentmen! demandfor payrneít, þrot".t uãd notice ofdishonor, and consent tt¡at the owner or holder hereofshall have
in" rigtte witbout notiçe, io deal in any way at any time (and from tirne to timo) with any party hereto or to grant to any
suctr iarty any extension(s) oftime fär paymenfofuoy ofthe indebtedness or any other indulgences or forbearances
whatsbever, without in any way affecting the personal liability of any party hereunder.
if this obligation, afrer default, is placed in the hands of an attomey for collection, the maker and all other
parties liable hereunäer will be obligated to pay the holder all reasonable çosts and expenses ofsuit including, but not
limiæd to, a reasonable attorney's fee.
The indebtedness evidenced by this Note is secured by a Mortgage of even date herewith, and t'efelence ismade
to tho Mortgage for rights as to acceleration of the indebtedness evidenced by this Note.
Lilley, Toni
From:
Sent:
To:
Cc:
Subject:
Leach, Trish
Tuesday, August 26,20L4 8:52 AM
Hertweck, Marsha; Lilley, Toni
Fallen, Summer
industrial park land sale and mortgage Pacífic Vet Group
I set up the new accounts (1010.0300.70 AR Mortgage) and (1010.0007.4708.70 lnterest Mortgage) that Summer will
need to Oilt tfre monthly payment to the Pacific Vet Group.
Toniwill record the sale debitíng the AR Mortgage and crediting the gain account.
Summer will bill monthly based on the amortization schedule-her billing will credit the AR Mortgage and interest
income while debitíng AR.
Summer and I will flag our calendars to make sure that if the PVG has not paid by the 10th of the month, that we notifo
i the city Attorney's office.
ì t am sure there w¡ll be more on this @
Trish
A. SETTLEMENT STATEMENT GruD-I}FI.IA 2.
VA J,
ruMA 3.
cÐNv- tNs.
ó FILE NUMBER:
7^t tlö-H
8. MORTOAGEÍNS. CASI:
?. LOAN
c.NoTE: Thisfomisñ¡m¡sh.dbt¡vcyouasbl¿mcntofscloalellJsnEnlc6b. ¿{ñounttP¡idtoeMbyttro*danotagê¡¡lÙcshorft lldDs
'D.NAME&i{DDRESS PaciÍicVetGrouÞUS¡{"Þ9 --^^
Þ. Ne¡úea¡oonsss ownsFit¡ç
Page I of 3
rruÈl (3.86)
RESPA, HD 4]05,2
sli'fl'l'È:MENT
?00. Tolal SalclB¡okù's Commission:
Bued On Priæ $
Pa¡d Fron
sellor's
Funds
Àt
SeltlÐenl
No.1582 Pagc2 of3
A. SET"TLEMENT STATEMEI{T (I{UD-I)
D,NAME&ÂDDRESS Psc¡f¡c
F. NÂME&.ADDRESS Ow¡CTFiNUæ
Fornr No. l58l
3t86
FHMA 3. LI CONV.UNINS.
7, LOAN NUMBÉR
8.
c,NoTE: ThisÍoútisfumishcltogivoyouÂstÊlcmc¡rofScruslsttlenlcntcoss ^moo0cPaidloÚdbylicsctlldillstcnldcslìowû
ltcro
r¡ ^rr.ír. rf,, 'rñÊi.c- r[^! ¡.¿<hôffi h¿rê fôrhfômülonsl ouEN6 ud æno¡ ¡flclud.d ¡Dú! bhlg
' E.NÀME&AbDREss ThscittofFsyctlrvillc
öi-éLnÈp. I t¡ w. uoonrãin srt¿¿t- r¿Ycneuilh en zzzol
-
-'.^ooo*
i n¡¡nnx. l-¿-"r;"t n.;- f...nr¿vlil¿. AR 72?01
tf. SET'rLEMSNTAGENT: BrcnsonAbsl¡tclCo., Inc'
Amoúqt Duo To Sellcr:100. Grcss Anount Duo From 8grr-ov.cri ,
420. Grws Amou¡t DueTo Setlcr:
120, GroJt Amount Duc From Bo?¡owcri
AdJustmerk For ¡tms Unpeld By Seller:Adjuslmenls For iiens Unpaid Ëy Setler:
603, cssh 0ro) (Elrnotø) sttþt'303. câsh (mFRoM) 'D'O) Bo¡rower:
HUD-¡ (3-8q
RtìsPA, HB 4305.2
7ò0. Total SalelBrokels comßission:
Bmed On P¡ice $
P8¡d Froh
Seller's
Fu¡ds
Àt
Sea(lemenl
Form No. lJ62
SELLER'S AND/OR BORROWER'S STATEMENT
I hsvc ssefully revlcwcU rt o HUpt Scttlcmcntst¿tcmcßt md to lhcbðl of my knovlled8ê Ùl b€lief, ¡t ls 8-tmc 4ì asußlcsþlmill of all ræcipls ud
disbursm?ors madc on ry ""*unt oriyäräitt¡. iät".tt." i ftnhcrce¡ti6i lhat f bsı ræEived a coDy of thc HUD-I sctlemcnt Sl'temcn''
Bor¡owcß/Purchns€rs
thc HUD-I sctttcment Slstcment ì{hich.¡ hava PÉPdld ls r t¡uc
disbused ln eccorduæ wilh lhb stbl:gjilshç . .
of ù19 lrû¡s8cllo¡. ¡ haw o¡ued o¡ will msc tl¡c funds to be
5Scttlmq¡ Agcnt;
fìne or lmprimnment. For dotails 5c€:
rù,ÂRdrNc: ¡risadm"," il;üt,îilät];ãiiri".p q9,ú¡rtËdsrsr* on rhisoruv o*rer similufom. Pcnalticsupon convictioncân imludca
ê-ô ^' rhñ'icônñÞñt Fô..Iêtâits s: îltio tA U,S. Co¿" Secllot t00l ad Seclion 1010'
p,4í'/Ò/
Dalcz v
PsEþ3 of3
INDEMNTTY AGREEMENT
DATE: August
LECAL: Parl original Lot I 4 frnal plat ofFoycttevillc lnduslrial Park-West
PROPERTY ADDRESS: Indmtrial D¡íve, Fayetteville AR
På.RCEL NO.: 76s-16s78-000
6,,
WHEREAS, CLOSINC AGENT is requircd to collcct the county proPedy taxes for ptior years from the SELLD& ånd
prorate firnds for the year 2014, irt otd€r to satisry dtle requiremens, and
I,VIIBREAS, CLOSING AGENT'S informaríon regarding mìd tax* is bæed on figures obtained from the records of the
Washíngøn COUNTY TAX
^SSESSOR'S
OFFICE; and said information available at the time of the closing of the
transactñn fiom the said Asssor's officc is on some occssio[s only an estimatc ofthe taxcs for thc parcel ofrcal propcrty
or said properly rnay cu¡Tently be or atsome aime ¡n the future bé reassessed'
NOw' TI{BREFORE, ¡n considerarion ofCLOSINC ÂCENT closíIg this ransactÎon for the PURCHASER and/or SELLER
bascd on iofomation svaitablc ro CLOSÌNC AGENT, tho PURCHASF,R ¿nd/or SELLER agree with CLOSING AGENT as
follovs:
l) In the event the funds collected to pay taxes for prior y.ears and proraæd taxes for the _y_eæ æ shown on lhe
'SETTLEMENT STATEMENT tor ttre-puncgeSÈn ar:id/or SELLER hereio, are not sufÍrcient to P"v !l q_!l_t!t:
actual real property taxes for said calendar ymrs, ths PURCHASER and/or SELLËR agrec to hold the CLOSING
AGENT honri*s ?om any ctaims and domands from any lendiûg irutitütions o¡ other atitis for Payoent of said
f¿xes, and
2) If CLOSINC ÁGENT is required to advânce any of its own funde to Pay said laxeq ttp PURCHASER an<Vor' SEL¿ER will indemni$ CLòSING A0ENT for any such funds so advanced'
3) The SELLER will makê an additionat pro-rata.payment of said taxes based on the Percenhge roflected on the' respe¡tive sEfiLEMENT STATEMENT regarding thís transaclion r¡,/hen advised by lhe cLoslNG AGENT that
the ñ¡nds credited to the PURCHASÉR ât the closing for paymenl ofsaid lax6 were not sufftcient to pay samc,
4) IntheevenrrhartheCOUNTYTAXASSESSOR'SOFFICEåilstoupdatotheownershipo-flhetaxparcelsofthe' ;;"p",1y subsequint to rhe ¿atc of this documcnt, rho SELLER ând/or PURCHASER (if applicable), hereby tcleasc
åndnol¿ CIOSñC AGENT hamrless fronr my llaims and demands made to ørcct said failurc.
E PRIORYEARTAXES arobascd onamountrcportedbyWASHINGTON COUNTYTAXCOLLECTOR.
EPRoRATEDTAXBS¿rebasedonamountrepoÉedbyIwASHfNGToNcoUNTYTAXcoLLEcTo&
t PRoRATED TÁXES credited to the PURCHASER a¡e based on an estimate, calculated as follows: PURCHASE
izuce " zoø t trit¡Leece RArs = ESTIMÂ'TEDTAXES'
t] wAsHtNGToN collNTy TÄX COLLECTOR'S books are curfently closed. Prior.year's taxes and prorated taxes
may be based on prior'yì. Lp;G. i" ir," 3y.1, the property is.renssossed or tax ligure¡ are adjusted,
pURCHÀSER and lor Seí'r,nn ïitt tc rcsponsiUl" for æy diifermce betwem amount coll.cted and lhe åctusl
smount reportËd on the tåx b¡tting for the cunent year'
THIS AGREEMENT shall be binding on the heirs, sticcessors and assigns ofthe parties hereto'
SELLER
Part of PaÌc€l No. 76$16578.000
WARRANTY DEED
BE IT KNOWN EYTHESC PRESENTS:
THAT the
GEillêd
;th,gtr.oe
a.ny.
ATTEST:
to: the
Giraúit
päitièulaijy' dæo:rlbedi as
i,bêihq'a lound lron pih;
;o a sét lrôri'i¡lil fiettçp
Thence ;South 63'1:2/3F'
ofsäid
a set iron'pln: thpnbe
¡nal LotF.æÉeen (14I
r, oin dt theL:SottthUe5-t
äÏiat I-ät F,ouflêÊ,n Tl4.l:
.bf, S. tndUstr.ial ÞäVêj
lnd iioti þiii: b:elirg lh'e
lihe,sf säid lot Sþüth,
ié 'o¡. k¡ss,
-srlbJect"tö
a
:acrgsr
TO HAVE AND TO HOLD the said lands and appurtenances heraunto belonging unto the said Grantee and
Grantee,s successors und ã.äiıri.l röieuéi.
-Àñã tË" iãio. äãajc;rs.ñeieuv cóvenant thã tñev are lawtullv seized or said
tands and premises; that the same is unencumberäð, äd thãi ilì; ôrantori, witítòiËvèi wânárit ano defenä the title to the
sãid lanOs'against all legal claims whatever-
WTNESS the execution hereof on this the ilSe¿^y '1 0¿-f'6 '2014'
REVENUE STAMPS AFFIDAVIT
The foregoing deed has the corÍecl amount of Revenue
Stamps affixed to it or þ exempt from such slamps,
stsnedt â4dLl4¿* 4' ¿144þ')
Clty of Fayetteville
113 w. Mountaln
Fayettevllle,AR 72701
;oñsittêiâtiöñi thê.iäoêitijt of which is herebv
in¡äin. seii ând 'conveyl unto Paciflc Vet
rËAÑlEe; and .ünto Giantee's successors
afi0'situatèd'ln ihe county of Washington,
PROMISSORY NOTO
$360,000.00 F'ayotteville, At'kansas
FOR VALUE RECEIVED, the undersigned Pacific Vet Grou¡USA, Inc. promises to pay to lhe order of the
CITY OF FAYETTEVILLE, ARKANSAS ("City-) the princípal sum of Three Hunclred sixty Thousand Dollars
(S360,000.00), at an ìnterest rate that shall be fixed for the first five years at the current Federal Reserve Plimary Credit
Èate, plus onó percent (l7o). This interest rate shafl be annually adjusted after the first five years to apply the Feder¿l
Reserve Primary Credit Rate exist¡ng at each anniversary date plus one percent (l%).
Such principal and interest shall be payable at the príncipal office of the City in the City of Fayetteville,
Arkansas, as follows¡
Two hundred forty (240) monthly paymcnts of principal and inùerest calculnicd as set forth nl¡ove
' on or before the first day of each month with the first pâyment due on or before Scpforrbcr It
20t4. Any payment nof received by the l()th day of each month shall be subiect to a 57o late
payment penalty, The entire principal balance due and owing may bc paid in advattce at any
time without pre-payment penalty.
Each installrnent of principal and interest not paid at maturity (meaning nortnal mahrrity or any nraturity created
by acceleration) shall bear interest thereafter at the highest rate allowed by law'
Iftotal or partial default is made in the payment oflany instalhnent of principal or interest ttnder tltis note, as the
same matures, the ent¡re principal sum and accrued interest shall at once become due and payable withotrt notice at the
option ofthe irolder ofthis notå. Failure to exercise this option shall not constitute a waiver ofthe right to exetcise the
same in the event of any subsequent default.
The makers, ondorsers, sureiies, guarantors, and all other persons now or hereafter liable het'eon, waive
presenEnen! demand for payment piote$t and notice ofdishonot, and consent that the owner or holder hereofshall have
lhe right, without notice, to deal in any way at any time (and from time to time) with any party het'eto ot' to gtant to any
such þarty any extension(s) oftime for payment ofany ofthe indebtedness or any other indulgences ol forbearances
whatsoever, without in any way affecting the personal liability ofany party hereunder,
Ifthis obligation, after default, is placed ín the hands ofan attorney for collection, the maker and all other
parties liable hereunder will be obligated to pay the holder all reasonable costs and expenses ofsuit incltrding, but not
limited to, a reasonable attomey's fee.
The indebtedness evidenced by this Note is secured by a Mortgage of even date herewith, ancl rcf,jrence is made
to the Mortgage for rights as to acceleration of the indebtedness evidenced by this Note.
PacVetGrUSA
Wananty Deed
Pagø2oÍ2
STATE OF ARKANSAS
COUNW OF WASHINGTON
MYCOMMISSION EXPIRES:
AGKNOWLEDGMENT
I .r.
)
BE lÎ BFM-EMA.CRED. that on
within 'and fsr 'saiö GsqnÌy and.Stäte. p
Deisons wno eXeGUIeo:Ih9. ¡ofegglll9 f,b{erk. respeoiivell¡, oJ the.çltt¿ of FAJ
;èéoeôtive:.ifipäcltìes lö êxedrtle thq f-oj
,srdiéd'end, ac-kt'g',vlsdgp C'3liittliFy. liFq
;iG;;;;.*;.;on urt",'d,'dav:"r
wñffi'L-DEERoÑS¡.r ¿r' -lNOTARYPUBUC I
WASHINGTON COUtttv - RnxR¡,¡sas I
COMMISSION#1æ87æ6 i
ê-v:i5iiiÊËi
^Þ¡Þ)t
1tl. DFíY, I
MORTGAGE
KNOW ALL PERSONS BY THESE PRESENTS:
(1) That PACIFIC \IET GROUP-USA, INC. ("Mortgagoru), for good and valuable
òonsideration, hereby grants, bargains, sells, conveys and delivers unto CITY OF'
FAyETTEVILLE, ARI(ANSAS ("Mortgagee"), andunto its successorsand assigns,thefollowing
described properly in Fayetteville, Washington County, Arkansas:
This mortgage also conveys all buildings and improvements now or at any time hereafter located on
any tand tierãinafter described. TO navn AND TO HOLD the same unto the City of Fayetteville,
Arkansas, its successors and assigns forever.
e) And Mortgagor covenants with Mortgagee, its successors and assigns, that Mortgagor will
iot"u"t wanant and defend the title to all the property against all lawfi'¡l 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,
*iti"tr ir inıorporated herein by reference, and all successive extensions and renewals ofthe
indebtedness voluntarily entered into evidencing an indebtedness being due and payable as to
principal and interest as follows:
Page I of5
S360,000.00 úo be paid to úhe City of Fayetteville, Arkansas over twenty
(20) years at an interest rate that shall be fixed for the fïrst five years at
the current Federal Reserve Primary Credit Rate, plus one percent
(f %). This interest rate shall be annually adjusted after the fTrst five
years to apply the F'ederal Reserve Primary Credit Rate existing at each
anniversary date, plus one percent (l7o),
(b) The repayment to the holder of the indebtedness secured hereby of all reimbursable
expenses at any time accming to such holde(s) under the ptovisions 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
reco¡ded at the expense of the Mortgagor.
(4) Mortgagoragrees:
(a) To pay, prior to delinquenc¡ all taxes, special improvement assessments and other
goverrumental charges against the mortgaged property, both teal and personal, at any time
levied or becoming due.
(b) To prevent the mortgaged property from becoming encumbered by any lien or charge
having priorþ over, or on a parity with, the lien of this mortgage, exoept that the City of
Fayetteville agrees to subordinate its first mortgage to construction and permanent financing
of the improvernents to the property; and to coniply 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 properîy in good physical condition, Mortgagor also agrees
to oomply with atl 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 whic,h 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, swcty or guarantor for the payment of the secured
indebtedness) to any bankruptcy, debt-adjustment, receivership or other insolvency
Page 2 of5
pfoceeding.
(b) Upon the occurrence of any event, which, under the terms of the instrument(s) at any
time evidencing the indebtedness secwed hereby, waffants 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
hereþ, or any interest accruing on such principal indebtedness, as ttre satne becomes due and
payable according to the terms of the original note, or of any extension or renewal thereofal
any time evidencing such indebtedness.
(d) ffMongagor shall fail to comply with any ofthe agreæments contâined in Section (4) of
this mortgage
(e) HMortgagor, being a partnership or a colporation, shall be dissolved ot 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 liereby is materially inconect; 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 aprior 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 accelemtion provisions will be applicable not only to
the maturities iecited in the original mortgage note(s) but also to any substituted maturities created
by extension or renewal. The failure ofthe holder(d) ofthe secured indebtedness to declare an
aóceleration 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 suoh holder(s) to accelerate
mät*iti"r upon a reoccuffence 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) Ifthe holder(s) ofthe indebtedness secured hereby shall expend any sum or sums for the
protection of any of the mortgaged properly or the lien of this mortgage (such holder(s) to have
i¡ncontolled discretion as to the necessþ of making any such expenditures), the repayment of such
sum or suns on demand (with interest thereon at the highest rate allowed by law from the date of
each expenditure) shall be the personal obligation ofthe Mortgagor, and such obligation to repay will
constituæ a part of the indebtedness secured hereby. The expenditures thus made reimbursable will
include (without limiting the foregoing) taxes, special improvement assessments, i¡surance
premiums, repairs and mãintenance expenses, security expenditures, sums paid to discharge prior
iiens, rents on premises in which mortgaged personalty may be situated, etc. The cost of any absbact
or supplemental abstract procured by the holder(s) of the secured indebtedness to facilit¿te
Page 3 of5
foreclosure will also constitute a part of the reimbursable expenses secured hereþ'
Ø In the event ofa default hereunder the holder(s) ofthe indebtedness secured h"reby shall be
entitled to foreolose 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 $ l8-49-106 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 ofMortgagods righæ of dower, curtesy andhomestead in
and to the above described property,
ATTEST:
PACIFIC VET GROUP-USA, INC.
"r, e.fr{
1¡1"' \l. P òFe.rc^fic^f,
By:
Title:
Page 4 of 5
ACr$lowLpDGMENT
STATEOF ARKANSAS
COLÌNTY OF WASHINCTON
BEITREMEMBERED, that on this date,beforethe undersigned, a duly eonrmissioqed and
acting Notary Public within and for said Coun$'and State, pt"o"Jly appeared CJt\ri!- Pì'Ñ ¿
)
) ss.
)
nd - - u!4__._, to me well known as the persofå yJrp- ex¡guJed the foregoing
¿o"@ acknowledged thatthey are the V-r/ -ÕPer:cthtor.*g - and
N tft respectively, of Pacific vet Group-usA, Inc., a Delaware
rized in-their respective capacities to exTuî the foregoing
instument for and in the náme 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'
-..
TVITNESS myhandand seal onthis ,,,,{\ .aaprffizor+.
D"r
NotaryPublic
My Commission Expires:
WNFIELD S BRONSON JR
NOTARYPUBLIC
WASHINGTON COUNTY-
coMMtsstoN # 12s87836
APRIL
Page 5 of5
NOTICE REGARDING CLOSING PROTECTION LETTER
(PURSUANT TO Arkansas Code Se'ction 23'103-405(c) (I) and Rulg 87)
Issued byl
Bronsou Abshact ComPanY, [nc.
3810 Front SÍeet, Suite 5
Fayetteville, AP.727O3
ON BEHALF OF FIRST AMERICAN
TITLE INSURANCE COMPANY
Pacific Vet GrouP-USrt, lnc.
300 Spring Building, Ste 900
Little Rock72201
Property Looation: Industrial Drive Fayçtt€ville, 72701
pursuant to the requirements of Tlle,rAgkans,ns Tt!ë Insurance.AA(å;rk?rinsas cgde Title 23, chapter 103'
and secrion 401 et seq.) *a.ü ii;O:;ätfd,*. fhsurance-Dêpiritnrcir!rlötice ishereby given that closing
Proteotion Letter Protection islayqitable to,rygq ãspart of tht ii'ár3tcti'o¡ int'ured by the Agent referenced
above and involving the proPefiy referençed above'
section 23-103-405 (o) (1) describes the Protection afforded bythe closing Protection Le$er (Letter") as
follows. Tho LeÉer..indg!;;il;ı;;ásolely against loss ôf closing ûrnds because of the following acts
ofa closing agent, title insurer's named employeg or title insurance agent'
(A) Thefr of misappropriation of closing fi¡nds, or
(B) Failure " .""iãtti¡* "tittt" intrñrttions from the proposed insured when agreed to by the
olosing agenf ãripfo'ãu, or title insurance agent as iirelates to-the stah¡s ofthe title to the
interest in f*¿or^to iheïa[dity, enforceability, and priority of the lien of a mortgage or
deed oftrust on said interest in land"'
Please indicate your choice with regard to this offer of protection by placing a mark on the líne to the lefr of
one of the two choices set out below'
V *o -."roSINc pRoTEÇTIoN LETTER IS NoT REQUESTED AND cLosINc PRorgcrloN
ffi¡n pnorecrroN IS DEcLINED.
yEs - cLosINc pRorEcTIoN LETTER Is REQUESTED. By^execution hereof ttre undersigned
*q*rti iñ.t tn'"-J.tt"t be provided to it and agrees to pay the charge of $25.00 for the Letter'
The signature of the undersigned below evide¡ces the ¡:*lPt by the undersigned of the required notice
pertaining to provid"d under the Closing Protection Letter.
NOTICE REGARDING CLOSING PROTECTION LETTER
(PURSUANT TO Arkansas Code Section 23-103'405(c) (t) and Rule 87)
Issued by:
Bronson Abstract Company, Ino'
3810 Front Street, Suite 5
Fayetteville, á,R 7 27 03
ON BEHALF OF FIRST AMERICAN
TITLE INST.IRANCE COMPANY
The City oi Fayettevi lte
Property Locaiion: Industrial Drive Fayetteville 4R7270 I
pursuant ro the requirements of The Arkansas Title Insuranco Act (Arkansas Code Title 23, Chapter 103'
Section 401 et seq.) and 87 ofthe Arkansas Insurance Departmen! notice is heroby given that Closing
Protection Letter Protection is avaìlable to you as parl ofihe tansaction insured by the Agentrefereoced
above and invotving the properly referenced above'
section 23-103-405 (c) (1) describes the protection afforded by the closing Protection Letter ('Lettet'') as
follows. The Lerer "¡tt¿.miäur "
p"rso'n solety 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
ief nuitor. to rÄ;it;t h;ritten insñ.rctions ftom the proposed insured when agreed to by the
closing ug*nl-ã*ptoy.e, or title insurance agent as ii relates to the status of the title to the
interest in tan¿ oito ihe validity, enforceability, and priority of the lien of a mortgage or.
deed of trust on said interest in land."
Ptease indicate your choice with regard to this offer of protection þ placing a mark on the line to the lefr of
one ofthe two choices set out below,
f No - cLosINc pRorEcrloN LETTBR rs Nor REeUESTED AND cLosINc PRorEcrIoN
EñeR pnorgcrloN Is DEcLINED'
yEs - cLosING PROTECTION LETTER IS REQUSTED. By execution hereof the undersigrred
rrq"*t oæ ttt Letter be provided to it and agrees to pay the charge of $25'00 for the Letter'
ofthe undersigned below evidences the receipt by ttre undersigned ofthe required notice
rroteoiion-ptoVided under the Closing Protection Letter'
The
pertaining
SELLER'S AX'F'IDAVTT
srArE oF ARKANSAS, CoUNTY oF: N Þ.1ÉN\SÞ
The undersigned, rofened to as Seller (whether one or more) being first duly swom on oatlr that the Seller is an owner of the following
described lands, situated in tilashington County, Àrkansas, to-wit:
Description being the samè as shown on Exhibit "A'" attached hereto
Seller fr¡rtlrer states the following facb are true:
l. There is no adverse occupantofthe pfoperty described above.
Z. Seller and tl¡ose, under whom Seller olaims title, have been in peaceflrl possessÍon of said lands for more than 7 years past,
3. Therc 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 properly described above during the past 130 days for whích a Mechanic's
and Materialmens' Lien may be filed'
5. The properly 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 tre following: NONE.
7 . There arp no outstanding judgments against Seller as a r€sult of legal aôtion to include, but not limited ü0, Tax Liens,
BanknrptcY or Foreolosure.
6, There are no ponding litþations againstseller $rhioh may result in a judgment.
Witness the hand and seal of the undersignç¿ ttris 2n ¿ay of August,2014.
Â.CKNOWLEDGMENT
In witness vvhereof I hereunto set my hand and offtcial seal.
Wtt¡fleUO S
SïATE OI¡'AIìI(ANS4S,,CO.UNTY OF \¡IIASHTNGTONI S/
on r¡¡s n¡e4ay oFÄuþusi,2ot,4, before ne, a not¡rlr puÞlici per'sonsllv spp.aru¿ LÌS.NËLÞ., jJr'&Ù IP:il't" T-.
to be the terson wtroiãname is sjËscii¡ed to the foregoing instr-urircnt irnd wh.qst?tedarrd acknowledged that,he cixe'cùted tlie bame irr
his stated oapacities for the purposes and considerations therein set forth.
NOTARY PUBLIC
WASHINGTON COUNTY' ÂRKANSAS
coMMlssloN # 12387836
RESOLUTION NO. I13-14
A RESOLUTION TO REPEAL RESOLUTION NO. 143-13 AND TO SELL
ABOUT 24 ACRES IN TFIE FAYETTEVILLE COMMERCE DISTRICT
(FORMERLY INDUSTRIAL PARK) TO PACIFIC VET GROUP-USA, lNC.
FOR $360,000.00 AND OTHER VALUABLE CONSIDERATION AND TO
APPROVE A BUDGET ADruSTMENT
WHERBAS, the initial site in the lndustrial Park which the City tlu'ough Resolutiort No'
143-13 agreed to seil Pacific Vet Group-USA, Inc. for $223,500,00 was later determinecl to be
geologically unusable for its proposed development; and
WHEREAS, another 24 acre site in the Industrial Park has been examined and f'ound
acceptable by Pacific Vet Group-USA, Inc. for its new facility'
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
oF I'AYETTEVILLE, ARKANSAS :
Section I : That the Ciry Council of the City of Fayetteville, Arkansas hereby agrees to sell
about twenty four (24) acresof Tract l4 on Industrial Drive in the Fayetteville Commerce District
(formerly the Industrial Park) for $360,000.00 and other valuable consideration as specified and
prtrsuanttotheattachedLandSaleAgreernentandtorepealResolutionNO,i43-13. MayorJordan
is þereby authorized to sign the Land Sale Agreement and all necessary documents (including
deeds) that are neccssary to effectuate the Land Sale Agreement.
Section 2: That the City Council of the City of Fayetteville, Arkansas hereby approves the
attached Budget Ad.i ustment.
PASSED ancl APPROVED this 17ù day of June 2014.
SONDRA
.$',tììiii"tåuí,t_,:.J. -.-n--
- .it'AYi: tl ¡,y¡¡ ,, ;llì!
?¿,;ifr,,x',,W
E, SMITII. City Clerk/Treasu€r
Smith, Sondra
From:
Sent:
To:
Subject:
Attachments:
t)l I:,..r, ${ i¡l¡:
t.:t ì .ìl ¡rilisl 1
Williams, Kit
Monday, June 30, 2014 4:26 PM
Smith, Sondra
Resolution No. L13-L4
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 "!43-L4" 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.
Kít Williams
Fayetteville City AttorneY
479.s75.8313
RESOLUTION NO, I I3.I4
Uoi ,l
A RESO ]ON TO REPEAL RESOLUTION NO. 143-14 AND TO
ABOUT 24 CRES IN THE FAYETTEVILLE COMMERCE DIS IC.]'
(FORIVIERLY DUSTRiAL PARK) TO PACIFIC VET GROUP-UI Á, INC.
ND 'r'()FOR $360,000.AND OTHER VALUABLE CONSIDERATION
APPROVE A BU T ADJUS'TMENI'
WHEREAS, the initial in the Industrial Park whiclt the Ci ly through Resolution No.
143-14 agreed to sell Pacific Vet was later determined to be
geologically unusable for its
WHEREAS, another 24 acre in the Industrial Pa has been examincd and t'ound
acceptable by Pacific Vet Group-USA, h f'or its new facility
NOw, THEREFORE, BE IT R Lvtit) Il THE CITY COUNCIL OF THE
CITY OF FAYETTEVILLE, ARKANSAS:
Section l: That the City Council of the rf'Fayetteville, Arkansas hereby agrees to
sell about twenty four (24) acres of Tract 14 on rial Drive in the Fayetteville Commerce
District (f.ormerly the Industrial Park) for ,$3 .00 antl other valuable consideration as
specilìed and pursuant to fhe attached Land Sal t. Mayor Joldan is herel:y authorized
to sign the Land Sale Agreement and all docunrents (including deeds) that arc
uecessary to effèctuate the Land Sale
Section 2: That the City Counc of the City of I Arkansas hereby approves
the attached Budget Adjustment.
PASSED and APPROV
up-USA, lnc. for $223,500.
developnrent; and
this lTtr'day of June 20i4.
ATTEST:APPROVED:
LION #îråîí,:*"
=-(-r-',. '-7Ip
¿
, Mayor SONDRA E. SMITH,Clerjk/f
f
.-: i,tv¡i¡¿vr¡
¿, ;ili
4r,iç
I,AND SALE AGREEMENT
This Land Sale Agreement is rnade and cntered into by ancl between the City of
Fayetteville, Arkansas, a municipal corporation of the State of Arkansas (hereinafler
uCity" or "Fayetteville") and Pacific Vet Croup-USA, Inc,
The City owns a parcel. of real estalc of approximately 37.1 acres, identified as
TracI!4, on Industrial Drive in the Fayetteville Com¡nerce District (l'omrerly known as
the Industrial Park). Approximately 13.1 acres of Tract 14 arc located within the
floodplain (hereinafter "Floodplain Portion"); the remainirrg 24 acres of Tract 14 arc
above the floodplain (hereinafter "Developmcnt Site").
The City of Fayefteville agrees to sell thc Dcvelopment Sitc of Tract l4 to Paoilic
Vet Group-USA, Inc. for THREE HUNDRED SIXTY THOUSAND DOLLARS
($360,000.00) and Pacific Vet Group-USA, lnc.'s performance of all of the ternrs,
conditions and promises set forth later in this Agreement. The Cify will also grant Pacific
Vet Group USA, Inc. a Right of First Refusal to acquire the Floodplain Portion of 'fract
14. Pacific Vet Group-USA, Inc. agrees tu pay to (he Cìty of Fayetteville THREE
HUNDRED SIXTY THOUSAND DOLL^I{S ($360,000.00) for the Dcvelopment Site of
Tract 14 and for the Right of First Refusal Lo acquire the Floodplain Portion, and to
perforrn all of the terms, conditions and promises set forth later in thís Agreement
TERMS AND CONDITIONS
l.Sale
Subject to existing easernents and rights of way and subject to the terms and
conditions, mutual promises and covenants of this Agreement, the Cþ of Fayetteville
agrees to sell a parcel of about 24 acres (hereinafler I'Development Siter') located at
Iirdustrial Drive in the Fayettcvillc Commerce District by wananty deed to Pacific Vet
Group-USA, Inc. for the amount of THREE HUNDRED SIXTY THOUSAND
DOLLARS ($360,000.00). This Development Site shaìl be as shown on the plat
attaohed at Exhibit A and as more particuiarly describcd below. Exhibit A itlentifies the
Development Site as Parcel ',4." and the Flooclplain Portion ¿rs Parcel '8."
Tract74, Fayettcville Industrial Park West, Fayetteville, Arkansas, as per
plat on file in the oflìce 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, mufual promises and covenants of this
Agreenent, Pacific Vet Group-USA, Inc. agreËs to buy the Development Sitc for THREE
HUNDRED SIXTY THOUSAND DOLLARS ($360,000.00) to be paid to the city of
Fayefteville on or before the Ciosing Date as follows:
Pacific Vet CroupUSA, lnc. shall present its fully executed 20 ycar Mortgage and
NOIC iN thc ATNOUNt Of THREE HLINDRED SIXI'Y THOUSAND DOLLARS
($360,000.00) in favor of the City of, Fayetteville which will provide tbr u twenty year
arnortìzation of this principal rJebt 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
oûepercent (1%). This interest rate shall be arurually adjusted after the first fìve 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 pennanent lìnancing of'the improvements. Pacific Vet
Group-USA, Inc. shall have the right to fully or partially repay the balanoe due without
penalty at any time.
3. Fulfill terms of Arkansas Economic Developmenl Commissíon.
Pacific Vet Croup-USA, lnc. agrees to lulfill all terms and conditions of the Arkansas
Economic Development Commission with respect to any programs for whicb it contracts to
particþate.
4. DevelopmenlEnviron¡nentalProtectiortGoals'
Pacific Vct Group-USA, Inc. agr€es to comply with all zoning and land use
requiroments imposed by the City in comection with the dovelopment of the property.
Zinng is cgrrently I-2, which is pennissive of Pacific Vet Group-USA's plans for the
propeîty 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 Closíng shall occur at I 13 West Mountain Steet, Fayetteville,
Arkansas in a room supplied by thc City of Fayetteville.
6. Date of Possession
Possession of the Development Site shall be delivered to Pacific Vet Group-
USA, Inc- oq ths Closing clate free of any tenancies or other third party possessory
rights.
7, Title Insurance
The City of Fayetteville shall order a title commitrnent on the Deveiopment Site,
as soon practicable foliowing the fuli executio¡r of this Agreetnent, through a title
insurance company selected by the City and acceptable to Pacífic Vet Group-USA,Inc' If
the report on titÌe, binder or commitment discloses any defects in title (other than liens or
encumbrances of a definite or ascertainable amount which n:ay be paid at closing), the
Ciry shall have thirty (30) days from the date of Pacific Vet Group-USA, lnc, notice of
such defects to make a good faith effort to cure such defects and to flmish a report
showing the defects cured or rernoved. Ifsuch defects are not cured within thirty (30)
days, Pacifïc Vet Group-USA, Inc. may tenninate this agreement or may, at its
election, take title subject to any such defects. 'lhc cost of the title commitment and
the cost of the owner's title policy shall be bome 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 Docunents
O¡l the Closing date, the City of Fayetteville shall convcy marketable and
insurable title to lhe premises by general wrnanty deed, free and clear of all liens,
restrictions, and encumbrances except as provided jn this Agreement, subject only to
current real astate taxes, if any (to be apportioned between the parties) and existing
easeûients. Pacifrc Vet Group-USA, Inc. and the Cily of Fayetteville shall equally share
the cost a reasonable closing fee imposed by the closing agent ørnployed by parties
provided however that Pacific Vet Group-USA,Inc. shall be responsible for any rcvenue
stamps resulting from this transaction and all recordings fees fo¡ the deed and other
documsnts that need to be ñled.
9. Risk of lnss
Risk of loss as tothe Development Site shall remain with the City of Fayetteville
until the Closing date.
10. PaeíJìc Vet Group-USA, Inc.'sDue Diligence
Pacifìc Vet Group-USA, Inc. may enter upon the Developrnent Sile to conduct
any surveying, testing or inspection it deems necessary to cnsure the Developrnent
Site will be apprópriate for the conslruction and use for its facility. If Pacific Vet
Group-USA, Inc. discovers ¿r.ny problems that would adversely impact its
development and use ofthe Development Site for iæ facílity, Paciflrc Vet Group-USA,
Inc. shall notifu the City which is granted sixry (60) days to remediate any problem. The
City may also terminate this Agreement without penalty rather then remediating any
problem orissue discovered by Paci fi c Vet Croup-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 ¿nd obtain any and all approvais
necessary for Pacific Vet Group-USA, Inc.'s intended use of the Development Site f<¡r its
faciiíty. The City shall reasonably cooperate with Pacifìc Vet Group-USA, Inc. in Pacific
Vet Group-USA, Inc, request for development approval of its facility. Pacific Vet Croup-
USA, Inc. must present its development proposai through the nonnal City process
and follow the Unifìed 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: BíllDavies, CEO
Pacific Vet Group
2734 Creek View Drive
Fayetteville, AR 72704
to:
City of Fayefteville
ATTN: Mayo/s
Office 113W.
Mountain Street
Fayetteville, AR 727 01''127 0l -6083
13. Authority
or by FAX: (4'19)966-4448
or by FAX (479) 575-82s7.
Each of the undersigned individuals represent and warrant that they are authorized
to enter into this Agre€rnent on behalf of their respective entities and that execution
hereof will bind the entities to this Agreement.
14, Counterparts
This Agreem€nt 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 pu¡poses of executing this Agreement, a lacsimile signature shall be as
effective an as acfual signature.
16. ,applicable Laì
This Agreement shall be construed and enforced in accordance with the lar.vs and
public policies of the State of A¡kansas.
17. Survívsl
The representations, warranLies, and agreements of the parties contained herein shall
survivc the closing datc.
I8. No Waivers
The waiver by either party hereto o[ any condition or the breach of any term,
covenant or conditions herein contaíned shall not be' deerned to be a waiver of any other
condition or of any subsequent breach of the samc or of any other tôrm, covenant or
condition herein contaíned.
19. Time of Essence
Time is of the essence in this Agreemetrt.
20- Invalidity
fffor âny reaaon any ten¡t or provision of this Agreement shall be deciared void
a¡rd unenforceable by any court oflaw or equity, it shall only affect such particular terrn
or provision of this Agreement and thc balancc of this Agreement shall remain in full
force a¡rd effect and shall be binding upon the parties hereto'
21. CompleteAgreement
All understandings and agreements heretofore cxisting between the parties arc
merged into this Agreement that alone fully and completety expresses their agrcemcnt-
fhiJngreement may be changed onty in writing sigrred by both of theparties hereio and
shall alply to a¡rd bind the successors and assigns ofeach oftheparties hereto and shall
not mcrge with the deed delivered to Pacific Vet Group'USA, lnc at closing'
patc: . Llc[,(
lt
PÁ.CIFrC VET GROUP-USA, INC.
Date:
A1-fES:I-:
By: ôtlu,t\qr-
BILL DAVIES
TítIe: CEO
Fed. LD. No.:
FAX No.: (479)966-4448
Address: Pacific Vet Group-USA, Inc,
2134 Creek View Drive
Fayetteville, AR 72'104
.*tWitiíí,
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r"nvtn¡yri.LEl rrË
'4írfÄ'Ë
CII'Y OFF
City of Fayetteville, Arkansas - Budget Adjustment Form (Legistar)
Division: DevelopmentServices
Dept.; Development Services
Requestor: Jeremy Pote
Budget Year
201 4
Adjustment Number
B UDG ET ADJUSTM ENT DESCRT pTtON / J USTIF|CAT| ON:
$¡O,0ZO in the Transfer to Water & Sewer account to reimburse the Water & Sewer Fund for market value of the sale of
24 acres of lndustrial Park Property. 574,500 has already been budgeted back from June 18, 2013 (BAf 13-2271 for
reimbursement.of the sale of 14.9 acres.
It ¡s estimated that Water/Sewerwill receive 29.2%lor a total of S105,120.
COUNCIL DATE:
LEGISTAR FILE ID#:
6/17 t20l'4
2014-0241
Kení,w Sprín4,e,r
5/29/207+ 10:40 Al.l
Eudgeî Direclor
TYPE:
Dote
RESOLUTION/ORDINANCE
DESCRIPTION:
GLDAIE:
POSTED:
v,2O140428TOTAL
Account Number
30,620 30.ó20
lncreose / lDecreosel Projecl.Sub#
ProÌect SubÊxpense Revenue AT Accounl Nome
10L0.6600,7602.40
1010.0001.4999.99
- 57018 5400
30,620
EX Transfer to Water & Sewer Fund
RE Use of Fund Balance
34,620
C:\Users\jpote\AppDoto\Rooming\15\Temp\d298705e-7d4b-4cbe-bdf0-ool o52bì Z5f o lofì
fi¿drJ c./ tryndru $c rJ¡w - t'P P- t4
Gity of Fayetteville ltem Review Form
2014-0241
Legistar File Number
0611712014
City Council Meeting Date - Agenda ltem Only
NiA for Non-Agenda ltem
Development Services
Submitted By Department
Action Required:
Approval of a contract with Pacific Vet Group - USA, lnc. (PVG) for the sale of approxinnately 24
acres of land owned by the City of Fayetteville water and sewer utility on lndustrial Drive in the
Fayetteville Commerce District, for $360,000.
Does this item have a cost? l*" I
Cost of this requesl Category or Project Budget Program or Project Name
Account Number
Jeremy Pate S
Funds Used to Date
$0.00
Program or Project Category
Project Ntinibbr Remaining Balance Fund Name
Eudseted rt*rz lill Budset Adjustment Attacheot lFl
Previous Ordinance or Resolutiorr #
Original Contracl Nurnber;
h*"4* t'5'z'ot"
CITY O F
an le CITY COUNCIL AGENDA MEMO
RKANSAS
MEETING OF JUNE 17,2014
TO:
THRU:
FROM:
DATE:
Mayor and City Council
Don Marr, Chief of Staff
Jeremy Pate, Development Services Directord
lÍiay 29,2014
SUBJECT: Sale of 24 acres of Land in the Gommerce District to Pacific Vet Group-USA,
lnc.
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 lndustrial Drive în the
Fayetteville Commerce Park, for a purchase price of 9360,000.
BACKGROUND:
ln 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 Gommerce 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 developrnent and commercialization of science-based
probiotic products for the poultry industry. PVG has indicated this $6.7 million investment to
consiruct and occupy a new faciliiy 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 ín construction. The City decided to conduct geotechnical studies for other city-owned
properties within ihe Commerce District to understand overall suitability for development, and
discussed with PVG the potential of another property on whìch they could construct iheir facility.
PVG has identified Tract#14 on lndustrial Drive, a 37-1 acre properly, as suitable for their long-
term needs. This Ìand is adjacent to the City's Water and Sewer Operations Center. However,
PVG does not need the entire 37 acres, approximately 13 of which atthe 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 lhe 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 amoñized 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 Sth year, the interest rate will be modified annually based on ihe Federal Reserve
tviaiìing,/rdclress;
113 W. Moulrt¡Ín Street
Fayetteville, AR 72701
rvww.f ayet tevi I le-a r. gov
Rate plus one percent (1%) on each anniversary date. The AEDC has commitled to províding
economic development assistance in a manner similar to the previous development síte, on this
new property. ln 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 easemenls or rights-of-way. The CÍty will
retain the remainíng 13.1 acres, granting PVG a Right of First Refuial to acqúire the bilance of
the land in the future, if the City ever decides to sell. Please see the attached maps for
reference.
City Code 534.27 establishes requirements regarding public notice and piocedure 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 cily ordinance, including mailing adjacent
property owners, posting a sign and publishing the agenda item in the local newspaper.
Additionally, the Gity Council must establish that this land is no longer needed for munícipal
purposes. As a purpose of the Commerce Dístrict is to encourage economic development that
generates revenue for the City by províding 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.
BUDGET/STAFF IMPACT:
$360,000 in sale revenue wíll be paid to the Water/Sewer fund and General Fund, since both
funds have ownership on porlions of the subject property. Based upon a $360,000 purchase
price, the General Fund would receíve 70.8o/o of the proceeds for a total of $254,880. The
Water/Sewer Fund would receive 29.2o/o 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 Agreementr Location Map(s). Tentative Site Layout. Previous Councíl Resolutions of Support
MEMORANDUM
TO:
FROM:
SUBJECT:
DATE:
,T',
Foyetteville
Chomber of Commerce
Don Marr, Chief of Staff
CÌty of Fayetteville j
Steve Clark, Chamber President & CEO tl
Pacific Vet Group-USA's (PVG) purchase of City's land in the
Fayetteville Commcrce 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 originaily 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 greatpartner in carrying out additional
geotechnical studies on other city-owned sites in the Commerce District to ñnd a replacement
site.
PVG has now identified Tract 14 (Parcel #765-16573-000) 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 $ i 5,000 per
acre and same financial terms and conclitions 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 4'7 new
jobs rvithin 60 months with an annual salary of $66,000 each'
Attached are a drafl Land Sale Agreement for Tract 14.
123 rvv. N,lountainlPO Box42!6, i¿r¡etteville, AR727OZ Tel: {479i 527-fiLO; Fax: (479) 521-1793.; wwr,v.fayettevillear.com
A RESOLUTION TO REPEAL RESOLUTION NO. 143-14 AND TO SELLABOUT 24 ACRES IN THE FAYETTEVILLE COMMERCE DISTRICT(FORIVÍERLY INDUSTRIAL PARK) To PACIFIC VET GROUP-USA, INc.FOR $360,000.00 AND OTHER VALUABLE CONSIDERATION Ei{b rOAPPROVE A BUDGET ADJUSTMENT
\44IEREAS, the initial site in the Industrial Park which the City through Resolution No.143'14 agreed to sell Pacífic Vet Group-USA, Inc. for $223,500.00 was lateidetermined to begeologically unusable for its proposed dãvelopment; and
\ryHEREAS, another 24 acre site in the Industrial Park has been examined and found
acceptable by Pacifìc vet Group-usA, Inc. for its new facility.
Now' THEREF0RE, BE IT R-EsoLvED BY THE CITY COUNCIL oF THECITY OF FAYETTEVILLE, ARKANSAS:
Sestion l: That the City Council of the Cíty of Fayetteville, A¡kansas hereby agrees toseli about twenty four (24) acres of Tract 14 on Inãustrial Drive in the Fayetteville'CommerceDistrict (formerly the Industrial Park) for S360,000.00 and other valuaúle consideration asspecified and pursuant to the attaéhed Land Sale Agreement. Mayor Jordan is hereby authorizedto sign the Land sale Agreement and all neceJsary documents (including deeás) that are
necessar'' to effectuate the Land Sale Agreement.
Seotio.n 2: That the City Council of the City of Fayettevilla Arkansas hereby approves
the att¿ched Budget Adjusrment. - ------r *
PASSED andAPPROVED this t7.h day of June 2014.
'4V*J Ron'luÍ¡0" Ç'to' t'¡
RESOLUTION NO.
SONDRA E. SMITH, City Clerk/Treasurer
IJrRotÌrwtLL
PACIFIC VET GROUP. PARCEL AREAS
SCALE 1'' = 300'4
ln t"lAY 22.2014
FAYETTEVILLË. AR
FqË HrfiflFrlHtLLffi@
PACIFIC VET GROUP - PARCEL AREAS
SCALE 1" = 3004'
M^Y 22,2014
FAYEÏÏEVILLE, AR
i+maS
.\"\/&S Funcl
l årzrJ¡¡,,¡qr.'.MASTERPLAN V/ITH PHASING
SCALÊ: 1' = 15ú.1'LiLi--i PACIFIC VET GROUP I,{ASTERPLAN
FAYETTEVILLE,ÁR 3.20,2014
ffi3r-il'wrr.l PACIFIC vFT GROUP RENDERINGscÅLe NoÍfosoqlE
PVG CA}IPUS DEVELOPI.IENT
FAYEITEVIILÊ,AR 5.2014
PACIFìC VET GROUP RENÐERINGscÂrÊr Nor lo scÀLE
PVG CÀI,'PUS DEVELCP\I:NT
FAYETîEVILI.Ê.4.R 5.20.1¿
RESOLUTION NO. 143.13
A RESOLUTION TO SELL ABOUT 14.9 ACRES OF LAND IN THE
TNDUSTRTAL PARK TO PACIFIC VET GROUP-USA, INC. FOR $223,500.00
#3"#Ï8hffi19liÌ?, ro APPR'VE t
WHEREAS, Pacific Vet Group-USA, Inc. needs an appropriate site to construct a
reseatch and manufacturing site for a development and commercialization of science-based
probiotic products for the poultry industry; and
\¡ÆIEREAS, Governor Beebe and the Arkansas Economic Development Commissìon
has agreed to provide substantial financial assistance if Pacific Vet Group-USA, Inc. builds its
facilify in Fayetteville and moves or creates at least 60 jobs with an average annual salary of
$65,000.00; and
WIIEREAS, the City of Fayetteville needs to also assist Pacific Vet Group-USA, Inc. by
selling its I4,9 acre parcel at a discount of$5,000.00 per acre from its nor¡nal selling price and to
construct public infiastructure improvements totaling about $200,000.00 for this project.
NO-W, THEREFORE BE IT RTSOLVED BY THE CITY COUNCIL OF'TII3
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 8223,500.00 plus other consideration purcuant to the terms of
the Land Sale Agreement ând 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 arnount of $74,500.00.
PÀSSED and ÀPPROVED this tSfh day of Junc 2013.
ATTEST:APPROVED:
I.AND SALE AGREEMENT
-----nìi3-[mdsã]-o
^?T'ccu.iöìîi'Ìs
iiiacle aiirîèriiôieri -iriiti tiy ¿rnlttjerwJéir tirc City of Fayerteviilc.
A¡'kausas, a municipal corporat.ion of tlrc Sta[c ol Alkan.sa.g (hcroinaftet ';Cìty" or
"Fayettevillc") arrcl pacific Vct Croup-USA, lnc.
'Ihe City of Fayettevillc ¡tgrees to sell a parccl <¡f ab<lut l4,gaoreson Mor.ningside Drive in
the Fayetteville Inrjustrial l)ark to Pacific Vct Croup-USn, Inc. lbr T\yO fiUNDltEDTWENîY TI'IREE ]I-IOUS^ND ptvE HUNDITAO Oblu¡ns ($223,500.00) ancl Inc.
Pacific Vet Group-LJSÂ, lttc.'s perforrrrance r¡f all of the tcnr¡s, c<¡náitions arr<i pior¡iscs setfonh later in this Agr.eemcnt.
Igt_{:_v"! Grrrup-usA, lnc. agrrces ro pay r.c, rhc ciry o| Fayetrcviile Two fTUNDRED
TWENTY THRIIE TlloU.s^ND FIVE I-IUNDRED DoiLARS i$zZ:,soo,uo¡ for.this t4.9acre pa:rel and 1o perfolnr all ol lhe terrns, condition.s antl plonriscs sot fortlr later írl Lhis
r\gleenrent.
t,S¿lu
TllRùlq ÂNrl coNrrlTrQNs
Sulrject to cxisting eascrncnts ancl r'ights of way and srrbjcct to rhc tgr¡ns s¡cì conditions,tnutual promises anct covenants of ttris Agreernent, thc City ol'Fayettevillc agrccs to scll a
parcel of about 14.9 acres (helcinalicr "Developrrrcrrt Site"j locateã at Mornirftsicle Drive in
the Fayctteville lndustrial park by lvarranry cleed to pacific vct cr.oup-usÀ, lnc. lor the
AInOTINI Of ]'TilO HUNDRÈD TWENTY THREE TI-JOIJSAND FIVE HI.ÑDRTD DOLLARS
($223,500.00)''l'his Dcvclopmertt Sitc of about 14.9 acres sl¡all be as shown on thc plar
aB¿chccl a¿ Exhibit A and as nrore par.ticulurìy <lescribed betow;
l-ot NtrnlbelctJ'i'etr (10i, tayctrcvillc Jndustlial Parl< Wcst, Faycucvillc, Arkansas,
as pcr piat on filc in thc ofliãe of the Círcuit Clerk ancl Ex-Offìcio Reco¡'der of
Washington County, Ârkansa.s, contairring J4.90 ¡cres, lnore or le.ss.
2, Purchase
Strbjcct to thc te)'ms a¡ld conditions, rnutual ¡r'ornises and covenants of' rhis Âgrccmcnt,
lL"-tl.- vet Group-usA, lnc. ägrces ro buy the De'¡elopmenr site l'o¡. 'I'wo IIUNDREI)
TWENTY TI{REE TllousAND FIVE ÈtuNDRliD DOLL.ARS ($223,500.00) to be paict Lo
tbe City of lhyettevillc on or befo¡.c rhe Closing Darc as fbllorvs:
Pacifie Vet Croup-{JSA, irtc. shall present its fully cxccutcd 20 year Mortgage anti Notc in thc
AINOUNT Of TWO IJIN'{DROD TWENI'Y',I'HREE TI.IOTISAND ÈIV¡ UUÑÒIìEf) DOLLARS
($223,500.00) ín favor of thc City of FayetteviJlc rvhich rvill provide lol a tlventy year.
anlortiT.alion ofthis principal debt of$223,500.00 and an interesl raic rhat shall be nxc¿ tbi ttio
fìrstfìveyearsatthe ctlrrer'¡tFcdcr'allìescrvePLirnaryCrcclitRate,plusoncpercent(l%). Tbis
intcrest rate shall bc annually adjusted after the fir'st live ycat.s to apply tlte lìecleral Reser.ve
I ol5
Primary Credit Rate existírrg at cacl¡ lr¡rrivelsary datu, plus onu pcrcc¡ìf. (lol,). 'l'he City agrees
to st¡bordinate its firsl mortgagc on the propcrly lo conslruction arrd pernranerrt lìnancing olthe
improvetnents. P¿cilic Vet (ìroup-USA, trrc. shull h¿rvc (hc right (o firlly or partially repay the
balance due without penalty at any timc.
3. Fulftll le.rms qfArkon.rns llcou¡tnic Devclllùrcilt Cunn¡i.t¡ion
Pacific Vet Croup-US¡\, lns. aglecs to lì¡ltìll all tcn¡rs and cr¡rtlitions ol tlrc Alkansas
Eco¡:ou:ic l)evelo¡rnrettt Cu¡ttt¡rissior¡ wítir rcspcci l{) ¡uty ptogrilrns lìrr rvhiolr it cor¡ttaets to
parÈicipate.
4- Ðet elopmenl Eilvirontncnlal Protection (;oßls
Pacìlìc Vet Group-tlSÂ, lnc. agrces to comply with all z.oning and larrtl use rcquircments
irnposecl by the City ìn connection with ¡he dcvclopment ol'the propcrry.
5. Closing l)atc antl Plcce
C.losing shall occur w¡tfl¡n 1-0 days fbllowing the date this r\grccrnent hns been cxecuted by
bolh ¡rar1ics. Thc Closing shall occur at ll3 West Mor¡nr¿lin Slrcct, F'lyctrcvillc, Ârk¿rnsas in a
roorn supplied by thc City ol'FaycrÏeville.
6. Dotc olf Possessìott
Possession of the Develol)rnent,Sitc shall bc tleliverecl to Paci fic Vcr Gloup-USA, lnc.
on thc Closing d¡rte li'ec oL any terrarrcies. ol other third party po.sscssory rights.
7- Tílle Insuranrc
'I'he City of Fayetteville shalJ orrlcr iì title oomrn;t,ncnt on thc Dcvclopmcrrl Site, as soon a
¡rracticable lollowing the full cxecution of this À¡¡reerrrent, tlrlough a tìtle insurance
comP¿rlry selecte(l bry the City arrtl acccptable to Rrcific Vet Çr'oup-USÀ, inc. If tlre leporl
on 1itle, bindel' <¡r comrnítrnent discloscs any clelecls in title (other ilrnn liens or
erlctlm b¡'arrccs of a clcfìn itc ol ascertainable amount which may be paid at closing), rhe City
shall have tl¡imy (30) days lì'otrr fhc rlatc of Pacìfic Vet Croup-USA, Irrc. noticc oJ' such
defècts to makc a good laith ef fo¡'t to curc such rlclccts and Lo li¡r'¡rísh a t€port showing
{he detècts cttred or removed. lf'such defècls are uo( cru'ed within thiny (30) days,
Pacific Vet Cror¡p-tJSA. Inc. nrny teì'nr¡nirtc thi.s ugrccrrrent or n)ay, at its clcction, lakc
tilli subjecl to any sttch ciefects. Thc r:ost of tt¡c title conrrrrit¡rrent and the cc¡st <¡l the
owtlcl''s title policy shall l:e bolne by tþc City ofllìayctrcville. The cost of any lc¡clcr's title
policy ancl cxtencle<l owocr"s titlc insurance coverage shall brc brx'nc by Pacific Vct CroLr¡>-
USA, lnc.
8, Deed anrl Ollter Docnmeuts
On thc Closing date, lhc City ol'Fayetteville shall convcy rnarkctublo and insurable title to
the plemise.s by general Nalra,ìty deed, lree and clea¡' of all licns, resllictions, arnd
cllcttn:btances exce¡tl as provi<led in this Agreenrcnl, suiljccl ouly to cltrrenl r'cal estatc
2 ol5
taxes, if any (to be apportioncd l¡ehveen úe parties) and cxisting essenlents, Pacific Vet
Gtoup-USA, Inc. and the City of' Fuyetteville shnll egually shnio thc cost a rc¡sonablc
closìng fèe inrposed by thc closing agcnt eurployed by pattics providccl howcvst' that
Pacific Vet Croup-USA, lnc- shall be responsible for any I'cvçnuri stlrnp.s lusulting fiorn
.lhis-tra¡sactioq-¡n¡L-al.l-.rccordirlgs-fcer-forjhc-de$tJ-sn<J.other''dor,'urrìenti-thflt-need-to-be----
fìled.
9. Rí.ck ofLos.c
Risk of loss as to thc Developrncnt Sitc shall remain with thc Ciry of'l?ayeilevíllc until lhe
Closing datc.
10. Ptellic Vel Gruup-I/SA, Inc.!Due Diligcncc
Pacilìc Vet GroupUSA, Inc. ,nay eÌrter upon tlre Developrncnt Site to conduct any
surveying, testing or inspection it deenrs rìecessary to ensure the Developnreltt Site will
beappropriatefo¡thecons[ructionanclusefoljtsfaciliry, lfl)acificVetGroup-USA, lnc.
tljscovers any problems that would aclversely inrpact its developnrent and use of the
nevelopment site l"or its lacility, pacific ver Group-usÂ, lnc. shallnotiff the cily which
is granted sixty (60) days to renrediate any pr'obletn. 'l'lre City rnay olso terrninate this
AgrcelueuÈ without ¡:enalty rather then renrediating any problcm or issue discovered try
Pacific Vct Group-USA, lnc,
1t, I-arge Scole l)evelopmanr Åpprovul
Pacific vet Group-usA, lnc. .slrall, at its solc cost arr<l cxpcnsc, prupalc ¿r Lar'gc scule
Developmcnt plat of the Devcloprnent Site and oblairr any nnrl nll ap¡l'ovals ncccssRry [or'
Pacific Vet Group-USA, Inc.'s intendcd Llse of the Developmcnt Sirù fbr irs làc¡lity. Theciry shall reasonabJy coopcr'¿rtc wirh Pncific Ver croup-USA, Inc. in pacilìc Ver croup-
USA, lnc. ìequest for dcvelopnrent approval ol írs faciliry. pacific vet crrup-uSA, Inc.
lnust present its developnrenl pro¡rosat through rhc nor¡ual City proces.s and lollow the
Unífi ecl l)evelopnrent Code rcquir.emenls.
12.Nolíc¿s
No(iccs requircd by this Âgreement
Pacific Vet Cloup-USA, lrc.
A'l"fN: Bill Davies. CEO
Pacifìc Vet Group
2134 Creek View Drive
Fayetteville, Al\ 72704
to:
Ciry of Fayetteville
ATTN; lvlayor's Oflice
I l3 V/. Mountain Streer
FÂyeneville, AR 7270¡ 72'701-608.3
shall bc in writing ¡:ld shall be delíverccl to:
<.rr by FÀX: (479) 9()6-444'ó
crr lry FÂX (479) 575-8257.
I ofS
f 3. Anthoríry
Each ofthe undcrsigned individuals rcprese¡rt a¡cl rvirrrant thal lhcy ¡re nuthorized lo cntet
into this Agreernent on bshalf of their respeclíve e¡rtities and that execution hereof will
bind the entities to this Agreeurenl..
11. Counleìpnrl$
This Agreenrcnt nrtty be executed i¡l two or rnore courìterparts, cach ol which shall be
deemed an original, br¡t all o[ which (akell togethel shall constitute one and the satne
agreemenl,
15. Facsinìle
For purposes of cxeouting this Agreement, o f'acsinrile signoturc shall bc ns effeotivs an as
actual signature.
16. Applicøble Lnw
-This Agreement shall be Gonstrr¡ed ond etrlbr'ced i¡ accolrJrnce with the laws and pttblic
policies ofthe Slate ol'Arkansas.
l?. Survivnl
The reprcscntations, wanantics, and agrcclncnts of lhc palt¡es contåincd hc¡cin shall survive
thc clo.sing dnte-
f8. No þI/aÍvers
The waiver by eithcr party lìcreto of any conclirion or tlte bl'each o[ any tertn, covenalìt or
conditions he¡ein containecJ shall lrot be.<Jeerned Lo be a rvaiver olany other condition or of
any subsequent b¡'eaclr of the sarne or of' any orher term, covenant or condition het€in
contained.
19. Time of Essence
Time is of Ure essence in this Agreernent.
20. Invnlidìryt
If for any reason any lerìn or plovisir>rr ol' thi.s Âgreerncnt shalt be rleclared void and
tunenfolceable by any court of Jarv or cqrtity, it shatl only al]'cct such palticular tcrm of
provision of thir- Agregme¡lt and tbc halar¡cc of this Agrccnrc¡lt shall ¡'eluaitl ir¡ full force
and effect anci shall be bindiug upo¡ì the parties het'cto,
4çf:
21. CompleleÅgreøment
All understandings and agreements hcretolore exísting bctween the pnrties are rnergcd into
this Agreernent that alone fully and conrpletely expresses their agreement, This Agreernent
r':?v Þg.ll'ru¡eed g.ll¿-'l yflliltg- li-q"'9-Þy Þ91[ 9-!'tl,epquel l]9t9!9 u4-s]gl!-sprþ-.r.g.qN
--.btTa-ïnËìüçcEsd;is'î¡i¡¡'¡ìssid¡ìé"orcaèlî-ıf ihe þáities irêiero ãnti lháïlnoi.mãrséïiili iiié
deed delivered to Pacific Vet Group-USA, lnc ut closing.
o^," ç{ltfrs 4/ail¿:-
Pá.CIFIC VET GROIIP.USA, INC.
AI{K.A¡TSAS
tiÏ
BItL
cDo
Witness:
Date:
CITY
Atl.esl:
FÀyETTEVILLE,
ßy'
-tA/ t//
(/Ð
Fect.I.D. No.: 2b- 2S¿15!b
FAXNo.r fqglgAlq|4S -- "'
Addrcss: Pacifìc Vet Grrcup-USA, Inc.
2134 Creek View Dlive
Fayettevílle, AR'127 04
5 of5
Lot 10
lndustrial Park West
..r.,.' Srreams f--l ur ro
contours z' f--l Parcel Boundary
Contours 1 O'
ffi now
N*-F'
s
1 inch = 300 feel
&cotr,!¡i P¡h Gr6lgltÊ.o'!rlrqorllhdilel¡l F¡¡t Lur l0 Srr.'La ¡ù - ùù5trrt Frrr w.rr-NDz ¡úd
lle
To: Fayefteville Cify Council
'Ihru: Mayor Lioneld Jordan
Don Marr, Chief of Staff r
F-rom: David Jurgens, Utilitiej pgrrf", Drill" r-[Date: May 31,2013 \ I\l
CITY COUNCIL AGENDA MEMO
MEETING DATE OFJUNE I8,2OI3
THE CITY OF FAYÊTIEVILLE,
Subject: Sale of 14.9 Acres of Land in the lndrrcirinl Pa¡k to PacÌlÌc Vct Group-USÄ, lrrc.
REC.OMMENDATIQN
City Staffrecommends approving a conhact with Pacific Vet Group-USA (PVG) lor $223,500.00 for the sale of
approximately 14.9 açres of land owned by the Cíty of Fayetteville water and sewer utility on Morningside Drive in the
Industrial Park.
BACKGROWp
The City of Fayetteville, the Arkansas Economic Development Commission (AEDC), and the Arkansas Covemor have
been approached by PVG to find a site suitable for construction ofla research and manufacturing facility into which PVG
plans to expand. PVG is a privately held bioscience company specializing in the development and commercializ¿tion of
science-based probiotic products for the pouttry índustry. Currently headquartered ín Fayctteville, PVG's core technology
is licensed from the University of Arkansas, where it was devefoped in the laboratories of Dr, Billy M. Hargis, a leading
poulfy researcher. PVC has stated its intent to construct and occupy a new facility at the Morningside Drive s¡te that w¡ll
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 furtherstated its intent that construction ofthe läcilify rvill begin lvithin l2 months ofacceptance ofthis offer.
DISCUSSION
The attached land sale agreement has been reached through negotiations between the Cíty, the Chamber of Commerce, the
AEDC and PVG. The proposal is to sell the property to PVG at a reduced rate of $l 5,000 per acre. In order for this
project to be eligible for AEDC funding support, the Ciry must contribute to the economic development in some way, With
the cunent proposal, the City's conhibution is in the form of the discounted price per acre (the established asking price has
been $2O000, which is what the Vy'ater/Sewer fund paid the general fund when the land was transferred in April, 2003) æ
wcll as assistance with on-site development including possíble work on storm drainage, pavemenl, sheet work, utility work,
and sidewalk work, all within the publÍc right of way. The value of this work is estimated at $200,000. Payment for thc
cost ofthe land ìvill be amortized over 20 years with the first 5 years fixed at an interest rate of the Federal Reservs Rate
plus one percent (1%). At the end of lhe 5th year, the intcrest rate will be modifìed annually based on the Federal Reserve
Rate plus one percent (1%) on each anniversary date.
City Code $3a.27 establishes specific requirements regarding public notice of the sale of real properly. All Code
requirements have been met wilh the related City Council resolution passed June 4,2013.
BUDGET IMPÄ.CT
$223,500 in sale revenue lvill be paicl to the Water/Sewer fund. A budgct adjustmcnt approvcd June 4,2013 approved
transferring $74,500 frqm the general firnd to the WaterÆewer fund to make that fund whole from the land sale.
Attachments:Sale Agreement
Location Map (wide area)
Defail Map
Tentative Site Layout
AEDC Lefter to IryC
City Attorney Mcmo of May 9,2013
PVG L¿nd Sale Mon.ingsíde CCMemo Junl3
City of Fayettevllle, Arkansas
Budget AdJustment Form
v12.0724
.Division: Cilywide
Department Cltywide
BUDGET ADJUSTMENT DESCRiPTION / J USTIFICATION
$74,500 in the Transíer io Water & Sewer account to reimburse lhe Waler & Sewer Fund for market value of the
sale of 14.9 acres of lndustrlal Park Property.
s-:13:þ-n-.
Date
t-z z-þ/)
Date
5.2-t-20r3
Daie
{:âç -t9
Date
Date/M'
Prepared By:
Roference:
Kevin Springer
Type:
Budget &
AB
General Ledger Date
Posted to General Ledger
Checked / Verlfied
Spilnger, Kevln
Research Use Only
'(D
"á--
iniiiai
Account Name
Transfer to Water & Sewer
Use of fund bãlance
TOTAL BUDGET ADJUSÎMENÎ
Account Numþer- ióto:66böì.laoî.to--
10''l0.0001 .4999.99
74.sAO 74,500
lncrease / (Decrease)
E¡p"_fllqe_. _ '_Bgygjgg.-.
74,s00
74,500
Project.Sub
Number
srtiîã-l-54ıo
---.-'-.,''..''-...
Department Director
HtBudget\B udgel Ad¡ustments\2013_Budget\Kevin\842013_lPark .Sale-WS_l ransfer.xls lofl
PVG Property Sale in lndustríal Park
0 ¡11 îi2,.Â
NORTH
r.860
PVG Property Sale in lndustrial Park
..',&
Áæ@.
NORTH
fT\, tvtASTE RPLAN'úllT.H P.I-ïAStNG
v írll,rlg \t:.')Ì t[¡.s.ì]i¡.¡
?ATIFIÇ VE¡'GR.CF-iÞ
F.AYETTETÍIAIE, AR
Til
Pt{ÀSEiûl€
PHÁS€,IwO
1.f5.13
ßant ñcftHWir.;&Yd
>ÁRlltlflsÁs
A noraralþbwin*r
Mlke Beebe Grant Tennllle
February I l,2013
Bill Daviçs
f.D¡r\
Pacific Vet Croup
2134 CteekVicw Drive
Fayetteville, AP.72704
Dear Mr. Davies:
Recognizing Pacific Vet Croup's contribution to our state and çommun¡ty, the Arkansas
Econãnic ıevelopment Commission (AEDC) and the City of Fayetteville arc pleased to submil
ths attached incsntives proposal for your consideration.
Together, the state and eity are co¡nmitted to mitigating many o[your sitc'related costs with a
puoì.ag" valued over $l V. fhe AEDC will commit up to $570,000 in the_forrn of an upfront
ðash gîant to covsr erosign control, earthwork, a detention basin wìth outfall slruclure, and
aspha'it pavement at the site. The City, through in-kind services, will assist with constructing
culve*s and storm drainagc, cntry drives, curb and gutters, and sidewalks around the site (an
estimated value of $200,0-OO). f'ñcy have also comrnittcd to a rcducing lhe cost of the land by
$5,000 an acre (a $75,000 savings for l5 acres)'
In addition the state can offer our Advantage Arkansas incorne tax credit (valued at $163'000)
and ourTax Back sales and use tax refund (value will depend on total ìnvestment in taxable
building materials, but could be as much as $1.2M for a $ l5M project)'
'We are sxcjted about your company's success in Arkansas and hope to see your footprint grow
in Fayetteville. Please feel freato iontact me directly at (501) 682'1260 or via email at
SClaik@Arkansasedc.com if there is any additional information you need.
Sincerel¡
,Å^^^JL( ({,r/{-
Sarah Clark
Project Managet
ArkansasEconomfcDovelopmentCommissíon g00W.CapitolSuitê400 LlttleBock,ArkansasT220l 501-682.1121 A¡kansasedc'cotn
<-ÞAftffit{g¡$
A nanralfor basiness
CONFIDENTIAL
ARKANSAS ECONOMIC DEVELOPMENT COMMTSSTON (AEDC)
INCENTIVES PROPOSAL
for
Pacific Vet Group
February t1.,zOLz
All íncentives offered are contingent upon Pacific Vet Group locating is new facility in
Fayetteville (Washington County), Arkansas. lncentives are based on the following project
assumptlons. Any change in the proJect criteria will require a recalculatlon of the
incentives.
¿ 47 nev,t full-time ernployees in Fayetteville
o Year 1: 18
o Year 2: 13
o Year 3:4
o Year4:10
o Year 5: 2
r Average annual wage of$66,000 ($3z/hour)
r lnvestment (estimate) of $5M ln Phase l; S12-15M in Phase ll
Year Jobs
Year 1 18
Year 2 3L
Year 3 35
Year 4 45
Year 5 47
Advantage Arkansas Program
The Advantage Arkansas Program is a job tax cred¡t program for qualifying new and
expandlng companies. ln Washington County, the credits earned wlll be equal to 1% of the
net, new payroll for a perlod of five years wlth a rninlmum annual payroll of 5125,000. ln
additfon, the average hourly wage of the new payroll generated must average $tO.ae per
hour or greater. The company may apply the credlt to thelr state lncome 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 lncorne tax credit
begins in the year in whlch the new employees are hired. Any unused portlon of the credit
may be applied against the income tax for the succeedlng nlne years.
Based on payroll information provided by the company the income tax credits are
calculated as follows:
Annuøl Poyrotl of New Employees x Appropilote Percentage = Annuol Finonciol lncentive
Annual PayroJl lncrease Estlrnated Tax Credit
Total Estimated Beneflts
*18 new fobs + $3z/hour x 2,080 hours
$ 11,981
s 20,634
5 23,296
529,9s2
31,283
S'rt7Ãq6
Tax Back Program
The Tax Back Program grants ê refund of state and local sales and use taxes paid on the
purchases of the material used ln the construction of a building or bulldings or any additÍon,
modernization or improvement to a new or expanding ellgible business. A sales and use tax
refund is also allowed for the purchases of taxable machinery or equípment associated wíth
the building or project.
Eligibility Req uirements:
. Mínirnum investment of one-hundred thousand dollars (5100,000)'
. The business must sign an Advantage Arkansas agreement wilhin twenty'four (24)
months of signing the Tax Back agreement.
S 1,19B,oBo*
S 2,063,360
$ 2,329,600
$ 2,995,200
5 3,128,320
A refund shall not be authorized for:
Routine operating expenditures;
The purchase of replacements of iterns prevlously purchased as part ofa project
f4g$l,q ílemg prqyigggtyp¡.1¡çhqse$. yl!1.¡-olqngb]e the project to functlon as
originally intended;
Licensed motor vehicles; or
Expenditures for routine repafr and rnaintenance that do not result ln new
construct¡on or expanslon.
To qualify for the Tax Back Program, the company must submlt a completed appllcatlon
accompanied by a local endorsernent resolutlon from the clty, county or both whlch
authorizes the refund of its local taxes to the eligible company. The refund will not include
the sales tax dedícated 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 will be based upon five percent
(5%) of the eligible taxable purchases. Currently the sales tax rate in Fayettevllle, Arkansas
(including Washington County) îs 3.250/o of the ellglble taxable purchases and the ref und of
local taxes wlll be based on that rate.
lf the company were to ¡nvest $15M in elegible, taxable items, , the sales and use tax refund
is estimated as follows:
Eligìble Expenditures x Total SalesTox (Stote & Local)
8.25%{5%+ 3.25o/ol
= Refund Amount
$15,000,000 $1,297,s00
lnfrastructure
Based on the information provlded by Pacifíc Vet Group, the Arkansas Economic
Development Commíssíon is wílling to commit $570,000 ln Governo/s Quick Action Closing
Funds to be used towards erosion control, earthwork, a detention basin with outfall
structure, and asphalt pavement at the cornpany's potential new site in Fayetteville, AR.
To receive reimbursenrent for etîgible expenditures, the company will be required to subrnit
ínvoices to the Arkansas Economîc Development Commission. This funding is contingent
upon the creation of at least 47 full-time jobs within 5 years of the slgning 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.
I
a
I
a
ff:,*xîll:Ji[:.
February 7,2013
Sa¡ah Clark
Project Manager, Business Development
Arkansas Economic Development Commission
900 Wsst Capitol, Suite 400
Little Rock, AR 72201
5tl-682-1260 (ofüce)
501-580'0274 (cell)
Dear Sarah:
Tho philosophy of the City of Fayetteville and its citizenry has beel one of building a quality of
ptac" for oui
"ãmmuníty.
'As suóh, Mayor Jordan, the Ciiy Council, 99.t8 Fayeüwille .
ıhu*bo pl."e the higÉest priority'in investing in the infrastructure within the city- Thoy look at
infrastructure such as excelient roads, schools]and amenities' We belíeve that by investing in
ínfrastnrcture, Fayetteville *itl be**u a desiied location for business€s to prosper and for
residents to cáU home. The City of Fayetteville has invested in its infrastructurs in the past,
cun€nt, and in the future,
I ) Citizens of Fayetteville approved a tax increase in 201 t to raise fi¡nds to expand and
renovate its Fáyettevill" Higft School. This is a $94 million project divided in 2 phases'
Phase I is already compl"tå and Phæe 2 will be completed byiOl¿' P¡lase I included
an 850-seat performi"f
"rts
centsr; a 2,200-seat sportsâf€na wi-th two praclic9 g.yTl *d
locker -,ømà; a¡rd clesirooms for dram4 band, orchesha, and choir. Also included is a
studentcafeteria that seats 600 students.
2) Citizens of Fayetteville, together with the rest of the stûte, apprgved a half cent sales tax
in November, ZO f Z lfoi ttre"next l0 years), to raise funds foi infrastn¡cture. SpecificallY'
northwest Rrkansas itrere FayeRevillc is iocatçd, will seo Interstate 540 expand from.L-
ro 6-lanes ûom Fayetteville tó gella Vista. This year, five out of 17, l-540 projects will
get underway; two ín Benton Corurty and three in Washington County. All 17 projects
will start in the next 5 years and all äre scheduled to be finished in the next I 0 years' ln
addition to these highiay projects, the ciþ of Fayettevilte witl enjoy $ 12 million of tum
back monies &om ttris taxìo improve city streets and roads over the next l0 years'
3) Within the Fayetteville Commefc€ Districl where the sïte is located, the C-ity of
Fayetteville has made improvements to it since last year. It adòed 29 public street ligþts
to Improve night lighting there. Tbis yeâr, the City wíll be building and connecting
sidewalks in the district and putting up additional way-finding sigrs to help
t¡ïckers/visitors find their wáy to ttr" Aistrict, It is also irnprovíng the turn points on
¡s rîiãñjjTfñiãç. -..; I I r':c ¡ i^x 3 7:1 llir' Ä.7e.1¿v*lt',ilh¡I ¡cdr
Page 2/PVC
Armshong and Momingside with l5rl' Strcet. Road improvements are currently
underway on Hwy 265 and Cato Springs Road lo help with accessing to interstate
highways. Fifteenth Street and MorningsideiCity Loke Road are in the work plans for
ñl-wìll-cos[6eeíry-more-than$lı[,0-0ı.
l) Apart from schools and roads, the City of Fayetteville is known for its trails, pûrks, arts,
entertainment, and cultural offerings, thus making ít a desired location for fa¡r¡iliæ and
workers to live and play. The City is able to recruit and retain local and oulside talents.
The Cíty builds about 3 miles of trail each year, Beginning this year, it will incr€ase
spending on building sidewalks within the city, starùing in subdívisions located close by
to schools.
2) The Urriversity of Arkansas is a great asset to companies like PVG for its research and
development capabilities and the workforce it produces. The U ofA hes seen an insrease
of student enrollment of 1,500 students a year for the past three years. This trend is
expecte.d to continue for the next few more years. This growth slrowed a dcsíre ûorn
sfudents to seek training at this facility over others in the nation. The university, since
2001, has invested more ihan $ I billion in'capital expenditures. Cunently, it has $300
miJlion rvorth of projects happening on campus with many more in different stages of
planniåg.
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 ís ranked #6 as the least expensive MSA amongst
all the MSAs under study (307). Fayetteville MSA is the only MSA from A¡kansas that
made that list and there was no MSA from Missouri that showed up in the top I0
ranking. This is a publication by tlre Council of Community and Economic Resea¡ch.
'Vy'e consider Pacific Vet Group (PVC) a home grown company because of its UA origins and we
a¡e excited and proud of its growth and plans for the ñ¡ture, We a¡e confidcnt that Pacific Vet
Group will agree that its expansion should be back.in Fayetleville where PVG will have access to
íntrinsic resources that it may not be able to find elsewhere. Fayetteville wishes to be PVG's
partner to help it grow. As such, the Cify will work with PVG to expedite their expansion
plocess ard put its project on fast track. The Fayetteville Chamber, being the economic
developer for the city, will be the contact for this project.
In addjrion, the City is pleased to offer a price reduction of $5,000 offthe asking price of
$20,000 p€r acre for the i 4.9 acres of land owned by the Cily in the Fayetteville Cornmerce
District. This represents a $74,500 direct benefrt 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 ofculverts & storm drainage, concretepavements such as entry drives, asphalt pavement,
curbs & gutters, and sidewalk. City assistance wíll be limited to public areas only as regulations
do not permit city to work on private property.
Pago 3/PVC
Thís offor is consüued based on PVG's expaneion plan presented to us. PVG's plan calls for
moving exisling and new jobs to a total of at teast OO jott with an aversge annual salary of
$ó5,00¡ wit¡in 5 y"uo r,tä &at construction shall begin within 12 month upon acceptanc€ of this
offer. Furthermor PVG will move into thc new locãtion once consEuction is completed'
We look forward to working with you and PVO on this exciling project'
Yows trul¡
ñlr
Klt Wllll¿nrs
Cìty
^ttontey
Jnsoo ll, Kelley
^isiilıfrlCiÞ
tlnulruy
Don Marr, Chief of Staff
Paul Becker, Finance Director
David Jurgens, Utilities DÍrector f
FROM: Kit Williams, City Attorney CL
DATE: F/ray 9,20|3
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 réquired (by- the
Arkansas Economic Development Comlnission) support for this econor,nic
developtnent project, Although this is $5,000.00 less than the normal asking price
for our other available Industrial Park property, the long tenn econol¡ic benefits to
our City, Citizens anct existing businesses from this pioject with its quality, hiigh
paying jobs justifies this proposed reduced price offering. I do (ecornmcncl that'the
Water and Sewer Fund that currently owns this land be compensated for this offer
to sell at what might be below the vah¿e of the land (in a trade for other city lahd)
it acquired about a decade ago.-
'!Ve 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. V/e simply need to rnail notices to adjoining landowners, post signs on
the property and publish a notice in the paper at least 15 days before the Ciry
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 oldTyson
factory site. Jeremy Pate did ¿hat notification and therefol'e would be very "up to
speed" on wl¡at is needed.
Departmental Gorrespondence
'TA: MayorJerda*-
\
(\',i{\
b\ Á9"tIr*"1 No. 78$1 ß578400it( l¡ Þçr
WARRAì¡TY DEED
BE 1T KNOWN BYTHESE PRESENTS:
THAT the Cltv of Fayettevtlle, Arkansaa, a munlclpal "pg"?tJåÎl;hereinafrer called GR/{NTOR, Ior and in consideration of the sum.ot
ibl.dıiã'd "thd
gãdîãnı"äuãble consideration, üe receipt of v-vhtgh E¡ergþy
a;,sîf 91".#:*:¿l't-"lgiJãTillitË¿3i3eî,3:åtiß'åq:i,¿i,Ifl :
äã;Giñs: üË-ldllów¡nı à;só¡ueo land situatãd in the coun$ of washinston'
State of Ãßansas, to-wit
ilffiruilffiffimü[ffiflfrlillffiUlülffilllllil 3
ooc tD: ot58os4300o3 TYP0: BEL
Ktndr YAHBAIITY DEED
äãäıi¿â¿r oa'l26l2ot4 Ãt 0t¡tl:54 Pñ
liÃ-iun: C2i.0o'Paqc t ol 3
vrshlnoton countv. Aßxiiä-óiiuiei"i ciicult clork
i't"lþ!!,-00021821
ì
t-(
Ër$l-s"ie;Ëi"¿.".*üffi"Ë"Fållsiiiå'þi'trdË*Ëåålffdfitå?in:iixi'å:tÏÏn:'¿'?''$n
rärò,i,",'aeerNNr¡lc ar ñèï'o,î¡dâsr êärñär oi üiå"#örñi'ËiEqlnËe"-,f,tl$üäå"",i:;|,flilfü
iñäiä' a-roiã' rñö Ë-aslérü ]iåãäi-s"iå tıi sout¡ 02'49' 16' west 55e.73 fe
leavino said-Easterty tn"tñäñ¡ülìü'äi?Wöt ã'l0.1i reeiiðã iet ir-o¡¡in: lhence souür 63'12'36'
West ¡02,07 feet to a set iron pin; hence Sourn ãì;iå'óé;'We"t !nb'O-Z fäet'to a set iron pin; thence
south 12"21,07" wesr ssä. jg-ä$i'ibå- setìro¡ pjn.ñ'tñã éáutlrertv l¡ne or said orioinal Lot Foúrteen (14):
p;,9;6¡"aq¡¡AEç¡fifi fi ,n'¡¿[*-!l
ffi k"*Bkf if gtr%gã,H'ültlïgt-riþi'T;JFgiJ*;ohl*"t':'fi ''ll''"'ti;gllr''"ir"^iìf;
87.18,44. Easr e5s.25 rdi'ió'äir-Þ;i"i iñdásìi;ñíhö-öñtaininií zi acies, m'ore or ress. subject to
ãase;rents and rights.oÊway of record. if any'
TO HAVE AND TO HOLD the said lands and- aqpurtenances-heæunto Þetonging unto the said Grantee and
gffi,*:;isH;Éxl"""îfri':å'Æil"tîË#mi!*"iå finlirJHiffiliät¿*'li:lxx':ii?gilå'rffÍ""l""i:
ääi¿ian¿i'against au legal claims whatever'
WTNESS the execution hêreoton this the âSEd"y of ûllt'lþ '2014'
ATTEST:
Filo Number: 201400021821 Page I ol 3
REVENUE STAMPS AFFIDAVIT
ThÉ forsgoing dced has lh€ cored amount of Revenuè
Stsmps sfrxed to lt ot ¡s oxeñpl from such slamps'
s,sr*d, ¿o4'lro- 4 - Jt '.il-CitY of FaYottovlllo
113W. Mouile¡n
Fay6üevnl6,AR 72701
of
, *\.
_{Õr:rÖ)\
Kñ."v.tcrus¡v Wansnty Deed
Poge 2 oÍ 2
STATE OF ARKANSAS
COUNTY OF WASHINGTON
ACKNOWLEDGfrIENTl*
BE lT REMEMBERED, that on this date, before the undersigned, a dulv commissioned and acting. Notary Public
within and tur said Gounty and State, personally ap'pıäieälldne¡o Jöøá¡ and Sondra smlth. to me well kno$'n as the
äiËlÉiiË'ir$:ïi4:åtçf ¿ï,l'fi ¡*"f i"Ïå:*;änïll{fi'i#åif ifi,?'ïiËffi:iå äRi:',Ii"if"! thar they had so sisned, ;iäbft;äiäi¡ùäieã-éäi¿insrñrääniiòine èãniioıiat¡ón, uses and
purposes therein menÙoned and set forth. ,. ; ..
wTNEssmyhand"nor""¡ onthis 6-oavor l'wf+r(''oto'
MY COMMISS]ON EXPIRES:
,nâ^La,ç tufi,w,l" a: furr,- W,*i;¡:
û/L/Lr/"'uJ'
iJt'\"ü 5À
WASHINGTON COUNTY . AFI(ANSAS
coMMlssloN # 12387836
F,J(PIRES;APR|L10,M,
File Numbor: 201400021821 Page 2 of 3
STATEOFARKANSAS '
DEPARTMENT OF FINANGE AND ADMINISTRATION
MISCELI-AN EOUS TAX SEGTION
p.o. Box 896, LITTLE ROCK, AR 72203-0896
Affidavit of Compliance tilffiffiffiffiilil
Flle Numbe¡: 21438-14
Grantee:
Malllng Address:
PACIFIC VËT GROUP-USA INC.
3OO SPRING BUILDING, STE 9OO
LITTLE ROCK AR 722O1OOOO
Grantor:
Malllng Addross:
CITY OF FAYETTEVILLE
113 W. MOUNTAIN STREËT
FAYETTEVILLE AR 72701 OOOO
Property Purchase Prlce:
Tax Amount:
County:
Dato lssusd:
Affldavit lD:
s360,000.00
$0.00
WASHINGTON
08n5l2aM
705396736
Thg granlee/grAntol clalms the folloning exemption to the Real Estate Transfer Tax:
A transfer to or from the United Slales, the State of Arkansas, or any of the instrumentalities, agenc¡es, or political
subdivisions of the Unlted States or the State of Arkansas.
I certify under penalty of false swearing that documentary stamps or a documentary symbol in the le8ally correct amount
has been placed on this ìnstrument
Grantee or Agent Name {Prlnted):U.lÅ,
Grantee or Agent Name (slgnatureì:o^r", ?/ufy
Address: A&o 4,"A\{"tLf ft 5
Clty/State/7ip:
File Numb€r: 201400021821 Pog€ 3 of 3
i'¡
s Il!!illIUnililUuuruI[ruqll$lilll[ulllll
Éåis#H-.Hifu'ffiåx^r'.?'
: 12 : ss PH
iiiärði'äjbiiöiiezz
)..,¡...:..it.:. .,
$-
Oa
È-\
. MORTGAGE
KNOW ALL PERSONS BY THESE PRESENTS:
(1) That PACIFIC VET GROUP-USA, INC. ("Mortgagor"), for good and valuable
consideration, hereby BrânLs, 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, A¡kansas:
A Darr of orisinal Lot Numbered Fourteen (14) of the final plat of Faye-nevjlle
Industrial Parñ-West to the Citv of Favetteville, Arkansas as per plat recorded ln Pla!
ffið{] ùì Þäìe 1 7 ätilËrãôırã ô ıft ñê t iiðüii eièil¿. an¿ E¡ -O rû ci o Recçrrder of
ü"îtriirä'tıï eódtiry,- Ärkãlã¡;- beine- rrrere. partiçulafl y descriþed. as follows :
BEGINÑING at theNortheast corner o f sard on stnal Lot r ounffi f t t¿òfå3öäHti
lå'å¡J,T,t[*iif,tl,".lt¡lÊ;tå'å:Y'å'Êî3,'.Ìî,]i'i":fiåilil 87iî'u" n-v/est 370.rr reet
ioä;"iËöLì.í:ihäiriè-Sıuär-eFiZ-'¡e'Úést 402.07 feet tq a set iron pin;1þ4ce
Soütiü4üiïôT''wliäf¿o.g??éef to iser iiın piñithence Soutb 12j21'07" west
l5l.t gfeei toã set iiın piñ ıñ the Southerly lindoflsaid o¡iginal-Lot Fou4een(!4);
thence alons said Southèrly line North 87o25'43" West 609.41 f-eet to a f'ound iron
;;ilãitliè-Southwèéiôırnêrof said original Lot Fourtee4 (14); thence along the
Ívå*iå.iTliñð oiiä,i biiäìüãi iôaËö"rrèéiïi4l ñortti 24d09'36" Ëast t274.35 leetto
â'Jei-úoi-ölñ ó; iñe gà-itèitv-rietrt-bf-wavbf S.Industrial Drive; thence along saìd
Easterlv risht-oÊwav No*h24\59'36'Eãst 155.08 feet to a found iroq pinbeingthe
äig,nË."",m,.ã?fipÍfi'Ëåtflrlg:A"riifïå,f,'JÈ,"'$1i"r"dåiì$,ilË,ïåf,liå,ilJi;
acres, mqre or leSs. Subject to easements and rights'ot--way of record, l1 any.
This mortgage also conveys all buildings and improvements now or at any time hereafter located on
any land hereinafter descríbed- TO HAVE AND TO HOLD the same unto the City of Fayetteville,
A¡kansas; its successors and assigns forever.
(2) And Mortgagor covenants with Mortgagee, its successors and assigns, that Morlgagor 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 ofthe
indebtedness voluntarily entered into evidencing an indebtedness being due and payable as to
principal and interest as follows:
Page I of5
$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 Íive years at
the current Federal Rese¡ve Primary Credit Rate, plus one percent
(l%). This interest rate sball be annually adjusted after the first five
years to apply the Federal Reserve Primary Credit Rate existing at each
anniversary date, plus one percent (17o).
(b) The repayrnent 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
goverrunental 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 permanenl 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 delerioration 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 \¡/ith all zoning and land use requirements imposed by the City in connection with
the development of the property.
(d) To fulfrll 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, irnder 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 defaulr shall be made in the payment of any part of the principal indebtedness secured
hereþ, 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) IfMortgagor 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.
(Ð If at any time it shall appear that any financial statement or other representation made to
obtain the loan secured hereby is materially inconect; 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 ihe original mortgage note(s) but also to any substituted maturities created
by extension orrenewal. 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 constitu-te a waiver of the right of such holder(s) to accelerate
maturities upon a reoccrurence 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 secrrred hereby shall expend any sum or sulns for the
protection of any of the mortgaged properfy or the lien of this mortgage (such holder(s) to have
uncontrolled discretion as to the necessity of making any suòh expenditures), the repayment of such
surn or sums on demand (with interest thereon at the highest rate allowed by law from the date of
each expenditue) 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
Iiens, rents on premises in which morlgaged personalty may be situated, etc. The cost of any abstract
or supplemental abstract procwed 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) ln the event ofa default hereunder the holde(s) ofthe 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 ríght 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 $ I 8-49- I 06 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.
EXÊCUTED on this /1 aay o¡ A".f t6t ,2014.
PACIFIC VET CROUP-USA, INC.
,r,--t,fW -
Title: \fP Òpe¿crfrcns
ATTEST:
By:
Title:
Page 4 of5
ACKNO\ryLEDGMENT
STATE OFARKANSAS
COLINTY OF WASHINGTON
)
) ss-
)
BE IT REMEMBERED, that on this date, before the undersigned, a duly commissioned and
acting Notary Public within and for said Countyand State, p*rronuily upp""."d C-lnr;r ?ì Ñ ¿g
and ylï. , to me well known as the persons who executed the foregoing I
¡;.ffi acknowledged that they a¡e tLe V? ô e¿.ctf,'o n s ana
lrlk , respectively, of Pacific Vet Group-USA, Inc., a Delaware
corporation', and are duly authorized in their respective capacities to €xecute 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.
'I< dayorMTNESS my hand and seal on this ,2014.
ün
Notary Public
My Commission Expires:
WINFIELD S BRONSON JR
NOTAÊY PUBLIC
WASHINGTON COUNTY.
coMMrsstoN # 12æ7838
EXPIRES: APRIL 10.2022
Page 5 of5
PROMISSORY NOTE
$360,000.00 Fayetteville, Arkansas
o.,., fu"ü-r\c( l¡t.|
FOR VALUE RECEMD, the undersigned Pacific Vet CroupUSA, lnc. promises to pay to the order of the
C¡TY 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,plusonepercent(l%o). ThisinterestrateshallbeannuallyadjustedafterthefirstfiveyearstoapplytheFederal
Reserye Primary Credit Rate existing at each anniversary date plus one percent (l7o).
Such principal and interest shall be payable at the principal ofïìce of the City in the City of Fayeneville,
Arkansas, as follows:
Two hundred forty (240) monthly payments of principal and interest calculated as set forth above
on or before the nrst day of each month with the first payment due on or before Septetnber'l'
20t4. -A.nypaymentnotreceiyedbythel0tbdayofeachmonthshallbesubjecttoa5Tolate
payment penalty. The entire principal balnnce due and owing may be paid ¡n advance at any
time without pre-payment penalty-
Each installment of principal and interest nol paid aI matur¡ty (meaning normal maturity or any maturity created
by acceleration) shall bear interest thereafter at the híghest rate allowed by law.
Iftotal or pan¡al default is made in the paynent 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
optionoftheholderofthisnore. Failuretoexercisethisoptionshallnotconstituteawaiveroftherighttoexercisethe
same ín the event ofany subsequent default.
The makers, endorsers, sureties, guarantors,.and. all other persons now or hereafter liable hereon, waive
presentment, demand for payment, protest and notice ofdishonor, and consent that the owner or holder ìlereofshall have
the right, \.yithout notice, to deal in any way at any t¡rne (and from time to time) with any party hereto or to grant to any
such party any extension(s) oftirne for payrnent ofany ofthe indebtedness or any other indulgences or forbearances
whatsoever, without in any way affect¡ng the personal liability of any party hereunder.
If this obligation, after deflault, 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 ofsuit inclrrcling, but not
limited to, a reasonable attomey's fee,
The indebtedness evidenced by this Note is secured by a Mortgage of even date herewith, and rcfc'r'ence is made
to the Mortgage for rights as to acceleration of the indebtedness evidenced by this Note.
PACIFIC VET USA-INC.
By:
i;,-i't-lu* J,fr*,^^Ç
Title:
WARRANTY DEED
BE IT KNOWN BY THÊSE PRESENTS:
THAT the city of Fayettevilte, Arkansas, a municipal cPr-qoration'
nereinaftei'callðO OlVirufOR,lor and ió consideration of the sum of One Dollar
isl ööl ãno ôther good and váluable consideration, the receipt of which istereby
à-"i n-orl"¿ãe¿, àı nereUy grant, bargain, sell and convey unto. Pacific Vet
Grouo-USÃ. lnc., hereináftei called GRANTEE, and unto Grantee's successors
ãiãåãs¡g,äliäe iotiowing described land situated in the County of Washington'
State of Arkansas, to-wit:
A part oloriginal Lot Numbered Fourleen (14) of the final pla! gf- Favetteville lndustrial Park-West to the
City of Fayettevilte, Arkansas as per plat ä-oã'o'iüpiäf eãor to at'pate 17 of the records of the Circuit
clerk and Ex-officio Recorder of wasninäiılt-ôãüi'rty, À*ànsas, being more.part'rcularly described as
fottows: BEGINNING at the Northe.tt "äl"nii'oi;¡iq1949ilq'..,-"f'fq,-{Ë-.À
(14) beins^aÍound iron pin;
thence arons tnä'Ëãièrìviiñä'óïlã¡à ñi Sàuth-æ;¿s'rt'west 55e.73 teèt io a sét iron pin: thence
teavins saio eaJteîrîÌiîJñäñ¡'-ä2.r6'i7'úËï szo.t-q feet to àiei'¡ron pin; thence south 63"12'36"
west 402.07 r.,üio'""äãt'¡räÄ'pi'i; ùr"nä" sıüih à¡;ié'g-d wést 24o.s2 fèet to 3 qqt ilo1ì einl then-c9
ð'.*ñ ì rei,o'" wèslssã. r 8 reät tô e .tiT'ñpi" on rhã southqrry
",tT[",flx ?åfliîlìTl åiË::iìl$á]¡inãnö" ãlon'g éaiå'ıóLttierlvi¡ne i¡órth.ez"25'43" west 609'41 fe
corner of said original Lot Fourteen (r¿); ir¡ãñce arffiine weSterty tine of said origiñal Lot Fourteen (14)
ñöriñ'zï.ısãd''Ëäi ìäii.-sË'i.Ëi ìå ä äi'ì;ı" p¡;ä the Eaetérrt;i¡sht-or-wîå,?!%'iiT;'[X,Jn''lr?
iffiä-"Ñ##"l*ru't;,9,*î'ii."t iÌ,',i::Íir'ri,'i;"F3:'"1å;;i'i" noTnË,iv-ù;ä b-r sãiä rot doutn
87.1s,44" e""t ösË'.2Ë'ieJi'iö'¡ü"-Þ;;ni à-iaód¡nrí¡hs, containing" 24 acres, mbre or less. subject to
. èasements 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 uni ãrliınï röiãuãi. -nñã tne Jã¡o örantors, herebv covenant tha-t tliey are lawfullv seized of said
lands and premises; that the same is unencumbereã,;;ã th;t ii; orantoiä wíll forever warrañt and defend the title to the
'"'o'""*iläli":1iÏTi::i::i,,"tr," 45Ê¿ uvot 1uî'a,zo14
Part of Parcel No. 76$16578400
ATTEST:
REVENUÉ STAMPS AFFIDAVIT
The foregoing deed has the coned amount of Revenue
Stamps affixed to il or is exempt from such stamps.
'Signed:
C¡ty of Fayettev¡lle
1.l3 W Mountâin
Fâyettev¡lle, AR 72701
, Arkansas'
'-.*tì,ìi$ji'!g.A
1$Xi¡nven rr,,,,i*2
'e,#år''$$
PacVeGruSA
Warranty Deed
Page 2 ol2
STATE OF ARKANSAS
COUNTY OF WASHINGTON
ACKNOWLEDGMENT
)) ss.
)
BE lT REMEMBERED, that on this date, before the undefsigned. a duly commissioned and acting Notary Public
f.gf *,!¡;*N='ågi*'¿çi;*:rif'*.nl,*î,
sraied and acknowtedsed rhat they had so rign"li'äiäðüi;äiäläi¡uéieðîäioinstrumãnt ior the consideration, uses and
piripìsès therein menÌioned and set forth- , ,/ i -t.
wl.rrtEss my hand
"no
r""lo" t it ß o"v ot it^,lu'r(
MYCOMMISSION EXPIRES;
I w¡lrleP s BRoNSoN;;. IJ rvor¡FY PUBLIc !
I wnsHtNeroN couNTY - ARI<nNSAS.I co¡vaulssloN # 12387836 II e<ptnesinPElLlg3022-l
iù'¡.h^1ü
'a..rt - .
C. NOTE; Thit lm ¡r fumi+.a ro 6*yæt lud4l of ætu¡¡ elucnÉnt cotB
^mÛôb
p¡¡d ¡o ud þ rb::*lcmørlget Ec shom' ltrN
ror¡¿ '(p o.c l' wce ¡¡ù¡qt¡¡il
-IË¿os{R:i¿v æ ¡hou h4lc infoñ¡on¡t pundeud E rct l¡clÛd¡d in ùo ¡outr' .
D- NÁME e, À)DRESS Pæitic vcr GÉUFUSA. l¡c'
^ SETTLEMENT STATEMENT (IIUD'I)FHMA 3. l-l coNv. ubllNs'
r¡ts.
6. FÍLE NUMBER:
E. NAME&^DDRSSS TbeCitvefFôyclcvillc-' ijfsel,la* r 13 rv' Mqr¡¡Éln srcr' F*'H¿'i
F.NAME&ADDRESS OmaFinæ
OF LE¡"¡DÈR:
FPeRry Loc,rnoN: tndust¡igt.qriv.' ¡Ectlcvttlc' AR zzzot
n Se1-neVenf lCgt¡f , Etoño AbsÙ¡cl Co" lnc'
,100, Grou
^mouBt
DEeTo Scllctr
¡00. Grojt Amourt Duc Fro6 Eorowlrl
{10. G¡orr AmooolDuc To S¿llcr:l20. Gros Aoount D!. From BoroPCr;
Adruitûô¡tt For ll.n5 Unp¡ld By S.llÉ':Ad¡srlmcrtt Fo¡ lrc6r Unpald By Scllør
60r, c¡lh 0Ìol ErRoM) s.ll.',301, Clrb (mFRoM) ,Ol'o¡ ao..o-"r,
700. Tôtal SrlcsrDrokc/s Comissloo:
Þâsad Or Ptiæ f
Prld F oD
S.¡éy'r
Pund¡
AI
SrtllÈm.nl
Prld Froo
Borrowrt't
fuod¡
A.
S.tlhncEì
eü v^rıñb. ¡ÉrÊn¡¡¡*liatior lìæ
c¡Þ ¡rırññtîñ Ls
Rrl
iJru lO dnhl
rd. lo
9a3. IO
ú{ú(
r¡.-,r !i-.-ñ.- ô monrhr¡fìl l b.dl¡a mnnlh
rN aôráÞñ.mÈdvh(d OÌÞnths@
montftg ã13
)a1 Í zas.o
t00 ll !mô
t lM ñ^bR' lÈi
ll0?. Àr¡omq/:f6to
lincludg Bbôvê ilern Numbefs:
t l0E. Titlc iNurucc to Bmßton Àùsttrt ConPry, lnc,
(includ* abow itm NrÌnbeß:84l_0
I iø I -¡.¿.-^..-'¡ ç n ô0 Pnhiuñ: S0.0O
I ¡ô l:lwn.',( côvñpl S3fÐ-0(!0.00 l'Mhxn: t8lJ.0i'
P""-',lió- r"il 'l"inrfâr ah
tt ôrt 'Mná.id. r l{ m :Q¡lcrrw 3 O.(Ð'fJÌ o
¡ l^t ¡r^t i-r.Ètlñn
I ltll
rtN
I tñ(
tìM
1r5.û
Fom No, lJEz PDgc 2 of J sB.¿.rlr8-000.r
SELLERS
^I\¡DiOR
BORROWERIS STAÎEMENT Eqôw: 21418-11
I h6vc cu¿fuìly ,cvícwcd rhc HUÞ I Scnløctt StstcMt ud te thc bca of my kÌowlcdgc md bclicf, it is atruo m!-aørotc st¡lEtucnl of lll r@ipls md
disb{tffießL! m¡dc on ny ædn! or b;;" i¡ rr,i¡ rnnsa¡on. t furthr ørtify tÀar t hrvè relvcd a copy of the HUD'¡ scltlcmcol s(¡tçñ4¿
Scllcr¡gorowqy'PuEJ¡ls
PqincvllÞ#È
Prtc J ofl
vere: tusrsìúnta
INDEMNITY AGREEMENT
PROPERry
^DDRESS:
Indlrsúial D¡iYc, Fayolcvillc AR
LEGAL: Psn or¡Binal Lot 14 fnal plat of Fayeteville lndust¡i8l Pdk-Wæt PARCEL NO.: ?6J-ló578-000
IVHEREÀS, CLOSING AGENT is rcquired to collcct thê county proprrty laxcs fm prior yan Êom the SELLER. ¡nd
prorotc fundr for thc yc6r 2014, i,¡ order to ssliçÞ litle rcquircmcnts, and
\THEREAS, CLOSINO AGENT'S ioform¡tion rcgarding seid Þ{ès is b$ed on ligurcs oblaincd f¡oB thc rccords of Ürc
lryashlngtoo COTJNTY TAX ASSESSOR'S OFFTCE; and said l¡formot¡on available at the timc of thc closlng of thc
aransaction from the said Assessor's oflicc is on somc ocesions only nn cstimare ofrhc Þxca fot thc pâræl ofrÊal prop€(y
or said property may cmntty bc oral somo lime ¡n thË fulurc b¡í reassæscd'
NOÌV, THEREFORE, in consider¿rion of CLOSING AGENT closing this h¡nsacrion lor lhe PURCHÀSER snd/or SELLER
besed on informarion ovoilablc to CLOSINC AGENT, tbc PURCHASER a¡d/or SELLER sgrec with CLOSING AGENT os
foltows:
l) fn thc evrnt rhc firn¿r cÐllcctcd to pay taxcs for prío¡ ycars and prorated toJtcs fot lhû ycs¡ er shown otr lhe
SETTLÊMENT ST TEMENT tor rhe PURCIIÀSER and/or SELLER herein, are not $flìc¡cnt to pay in ñ¡ll thc
ocual lêal propcÍy laxcs for said calcndar yørs, thc PIJRCIIASER md/or SELLER agræ to hold tùc CLOSÍNG
^GENT
hmt# frcm any claimr and dcnands Êom rny lcuding ím¡ilst¡oß or olhd cnritie for payment of uid
lsxca, snd
Z) tf CLOSINû AGeNT is rcquircd to adyancc Ðy of ils own fuorls to pay ssíd raxcr, tho PURCHASER and/or
SELLER wilt indemniry CLOSINC I{GENT for any such funds so advanced.
J) Thc SELLER will make dn sddirionrl p¡o-rarû pùymenr of s¡ld o,ræ bú¿d.on thc perceuugj rcflætcd on lht
¡spcærivo SETTLEMENT STATEMENT regrding this Irsnnction whe¡ advised by thc CLOSNC ÂGENT üat
rhe fi¡nds credited to the PURCIIASER at ùa closlng fot pÊyment of sald uxcs wcro not sulliclcillo Ptys¡rme.
4) tnrhccventthatrhecouNryTAxAssEssoR'soFncEfailetoupdslcthcownc¡shÞorùctsxPælsofthc
propcrty subscqucnr lo thc datc of thí¡ dooumat ùrc SELLER ud/or PURCITASER (¡f applicablc), hcæby rclcâæ
"n¿
¡o¡O Ct-OSf¡¡C AGENT h¡mlcss from uy clalrm aod dmsnds Eâdc to ølcqt said f,íluÉ.
E PRJoRYEARTAXES er¡ bascd on amomtrcporlcd byWASHINGTON COUNTYTÀX COLLECTOR
A PRoRATEDTAxEs örebâsedon ¡mouol rÊporcd bywASHtNGTON COIJNTY TAXCOLLECToR.
O PROn-ATED TAXES crcditcd to thc PURCHASER a¡c b&sed on an ast¡Bato. Élcuhlcd as follows; PURCHASE
PRICE '20%' MILF,{GE ltATE - ESTIMÀTEDTAXES.
i] wASHtNcToN COIINTY TAX CoLLECToR'S books arc currentþ clo*d. Prior.yeu's taxcs ûad Ptotatcd luès
may b€ based on prior year rcpo¡ting. ln thê cvcnt thc propÉrty is.rc¡sscsscd o¡ lax fig¡¡rat a¡c adju¡ts4
pui¡CgeSnn and lor SELLER
'will bi responsible for any diffcrenæ betwêGn mount collccfcd ¡nd thc actuEl
Bmoünt repoftcd o¡t tìe fax billin8 fo¡ lhc cüfl"ol ycar'
THIS AGRTTEMENT shall bo biadinB on the hcirs, succesors md æsigns of thc Pânics hcrcto'
SELLER
WARRANTY DEED
BE IT KNOWN BY THESE PRESENTS:
THAT the Glty of Fayettevlllo, Arkairsas, a munlclpal corporaalon'
nere¡nartäi'iálrão cnÃrurbir;f;ä;ö iii coniioeratÍon of the süm of one. Dollar
Li48iË._rå,Fs:rËrijJ,,.q?äf tl"ffi îÉ::iili",f,fj#:il|ËË,_i{È:^,r*
;fi';ËJ#: iirã'iiúárii"é'àäsã¡Èão lan¿ t¡t ¡atêu in the County of Washinston'
State of Ãrkansai, to-wit
A part oJ orisina¡ Lot Numbered Fourteen (]iåBlifJåi!å'3'lÎltltË:å"l|'tå?irï"HJ"?å3{;YTf;i¿?'å[i
81y""'"ii,_ffilt"d,â'Hlå",å."üþ!]3ifrffi4üiiv.-ÀrÈaïs"+-'îfdJlîÏ.ittni'gr"*n iliä,mräroìs:'eecin-ÑrÑö äîiñó-Ñ.ort¡eãè.t,þfgfü"#.?fn&1i,:?i !?r.r. rei:t io a sèt ¡on..pinl itrehcégl,:: "n':,tt*3.5ïlñ.yÑ'åf;r'it".i3¡,i?t W;òï g-io:la'Þet iç " q"r,l"¡.nrrl;.inäilö $:ijui ô'siïã;s-6'
west 402.02 reer io'a set iron ptn; thence'd;ihÏìäìá'ói);'west ã¿o-sz fbet to a qet i¡o¡ Pin: thence
ö'oTñ ir.ãr,or wË"ieËä.ia-'ïäıi'!b q se¡iroiËiliá,i*i" éóuinê*rÏi[",;"ffiî[ïiiTlñ""og8iill$å]i
inäîäã' ãú's Ë
"iå'
ıäliriırrv-r ¡ üã Ñãrtn
-e
i.' 25'43' we st 60e.4 1 feet t(
ëó;ffi,r:"qrq øri¡;äîq,i'Èäröë.i"1'ìär;nÉicäf,iingËå:"*å,lil?#,ig-å:,1'åii:i,lly"Ji[å¡. B,(;rå]
r$rL,:;ir;::rg"s:ri{if *r,sm,,{i#H ji{itffi :å:ñf tg$ü+ii#:ig!,irË,fi INorlhweSt corner
87'18'44" East 9
ãasåmentsiÀd rights-of-way ol record, if any'
ro HAVE AND ro HoLD rhe said rands and appurtenances hefeunþj"î'i,i5ilfd:iillirìfiiir3-lr""t'ïgìå
glt."Tbiï,"å*åS,mt :":l'm,:"i,"J""#,åtl,Tå :ii ff:11liJ%åi¡J¿ iui;;;;;;irät ãno oetËüä iËtitL-i" tti;
sãiãl",rOs'against all legal claims whalev€r'
wtrNESS the execution hereof on this the â'SEøy ot û*î'*'a 'zot+'
Part of Parcel No. 76S16578'000
ATTEST:
REVENUE STAMPS AFFIDAV]T
ThÊ loregolng d€ed has ths corred smouot ol Revenue
Stemps stl¡xod to it or ls êxsmPt from such stamps'
Ctty of Fayottevillê
l1 3 W. Mountaln
FayettevllÌo, AR 72701
PacVetêrUSA
Werrsnty D€€d
Pags2of 2
STATE OF ARKANSAS
COUNTY OFWASHINGTON
ACKNOWLEDGMENT
)'l ""
MYCOMMISSION EXPIRES:
I wxneP s BRoNSoN Ji: II ¡lor¡nv PUBLIc I
I wnsHr¡¡oror.¡ couNTY - AFt<RNsAs:
I cort,ttttsstoN # laso?os6 iI Ð(PIRES: APRIL 10.29æ |
PROMISSORY NOTE
$360,000.00 Fayetteville, Arkansas
o,,. útuî-r\ -cl 3rt$
FOR VALUE RECEIVED, the undersigned Pacific Vet Group-USA, lnc. promises to Pay to lhc order ofthe
CtTy OF FAYETTEVILLE, ,qnfA¡¡SeS flC-ity") the principal sum of Three Hundred sixty Thousand Dollars
($360,000.00), at an interest áte thar shall be Èxed-for tlre ñrst five years at the current Federal Reserve Primary Crcdit
äut.,pluronó-p"rcent(l7o). ThisinteresrrateshallbeannuallyadjustedañelthefirstfiveyearstoapplytheFederal
Reserve Primary Credit Rate existing at each anniyersary date pltrs one percent (l%).
Such princípal and interest shall be payable at the principal oflice of the City in the City of Fayctteville,
Arkansas, as follow!:
Two hundred forty (240) monthly payrncnls ofprincipal and inlerest calculntcd 8s sct foIth above
on or before thu firit ¿ay of eacir rnonlh with the lirst Ptyment due on or beforc Scplctubcr I '2014. A,ny payment noi receíved by the l0'r day of each month shall be subject to a Soh lale
paymÊnl pe"aity. The entire principal bslance due nnd owing mny be paid in advartcc ai any
time without pre-payment penalty.
Each installment of principal and interest not pa¡d at maturity (meaning normal maturity or any nrattrrity created
by acceleration) shall bear interest thereafter at the highest rate allowed by law'
Ittotal or partial defaulr is made in the payment ofany installment of príncipal or interest u¡tder tl¡is note, as the
same matures, the Ëntire principal sum and accrued interest shatl at once become due and payable withotlt nol¡ce-8| the
optionoftheirolderofthisnote. Failuretoexelcisethisoptionshallnotconstituleawaiveroftherighttoexerciscthe
same in the event ofany subsequent default-
The makers, endorsers, sureties, guarantors, and all other pêrsons now or hereafter liable hcreon, waive
presentment, demand for payment, protest añd notice ofdishonor, and consent that the owneror holder hc¡eofshall have
the right, without notice, to deal in any way at any time (and from time to time) with any party hereto of to grant to any
such pârty any extension(s) oftime for payment ofany ofthe indebtedness or any other indulgences or fotbearances
whatsoever, wíthout in any way affecting the personal liability ofany party hereunder.
Ifthis obligation, after default, is placcd in the hands ofan attorney for collection, the maker and all other
parties liable hereunãerwill be obligated to pay the holder all reasonable costs and expenses ofsuit inclrrtling, but not
l¡mited to, a reasonable attorney's fee.
The indebtedness evidenced by this Note is secured by a Mortgage of even date herewíth, and rc f,:t'ùrce is made
to the Mortgage for rights as to acceleration of the indebtedness evidenced by this Note'
Ïä^t,,u&ryv)
P
^CtFtC /)W rfßOU
f,' USA -t N c.
MORTCAGE
IC.¡OW ALL PERSONS BY THESE PRESENTS:
O) 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 properry in Fayetteville, Washington County, Arkansas:
A part of oricinal Lot Numbered .Foumeen ll4) of the final olat of Favetteville
Indusbial ParF-Wesrto the Citv of F'avetteville'. Ai'kansæ as ner blat recorded in PlatBook l0 at Patè l7 of the iècórds ofthe Circúit Glerk and Ex-Officio Recorder of
W¡shinston County, Arkansas, beins more oarticularlv described os follorvs:BEGINñING at theNortheast cómer of said oridinal Lot Fóurteen lt4) beins,a found
iron pin: thenêe alonÈ the Easterly line of said lol South 02e49'16"'Wêst 5l).?3 fbet
to a Set íron r¡in; tlrenıe leavi¡re sáid Elasterly line Nortl¡ 87o16' 17" Wesi 370.14 feet
to a set irnn'pi¡i: thè¡ice Soütlfü3ol2'36"'West 402.07 feet to a set iroir nin: thence
South 24015?09'West 240.32 feet to a set iron oin: thence South l2e2f'07" Wesr
353.18 feet tö a set iron pin on the SouthÈrlv lindof'saido¡ieinal Lot Fourteen (l4l:
thence alonr* Said Southêrly line North 87"25'-43" West 60f.4 I feet to a l'r¡und'iro'ripin at the Southwest comêr of said orleinal L¿t Fourteen ll4): rhence.alons ihe
Westerly line ofsoid orieihal Lot.Fou¡tedn (14) North 24s09'3'6" Ëasr 1274,35 f"eet to
a set iroit pi¡r on the Eaíterly rieht-of-wav òf S. lndustrial Drive: thence alone said
Easterly riÞht-ofl-wav North24d09'36" Eãst 155.08 feetto.a fóunl iron oin beiñp the
Nortltvúesfcôrner ofsaid orieinal tot Föurteen I l4): thence alone the Northerlv'line
of said lot South 87" I 8'44" Easi 955.25 feet to.the P'oint of Beein-ninp. containíne 24
acres, more or less. Subject lo easemenls and rìghts-of-way oTrecorl, if ant. "
This mortgage also conveys all buildings and improvernents now or at any time hereaûer located on
any land hereinafter described. TO HAVE AND TO HOLD the same unto the City of Fayetteville,
Arkansas, its successors and assigns forever.
Q) And Mortgagor covenants with Mortgagee, its successors and assigns, that Mortgagor witl
forever wa¡rant 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 lhe purpose of
securing the following:
(a) The payment of a promissory note in the surn of $360,000,00, of even date herewittr,
which is incorporated herein by reference, and all successive extensions and renewals ofthe
indebtedness voluntarily entered into evidencing an indebtedness being due and payable as to
principal and interest as follows:
Page I of5
$360,000.00 to be paid to the City of Fayetteville, Arkansas over twenty
(20) years at an interest rate thst shall be fïxed for the first frve years at
the current Federal Reserve Primary Credit Rate, plus one percent
(1%). This interest rate shall be annualþ adjusted ¡fter the fïrst five
years to apply the Federal Reserve Primary Credit R¡te existing at each
anniversary date, plus one percent (l7o).
(b) The repayment to the holder of the indebtedness secured hereby of all reimbursable
exp€nses 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 noùation, or at the option of the holder(s) of the secu¡ed debt, by a release deed to be
recorded at the expense of the Mortgagor.
(4) Mortgagor agr€es;
(a) To pay, prior to delinquency, all tues, special improvement assessments and other
govemmental charges against the mortgaged property, both real and personal, at any time
levied or becoming due.
(b) To pr€vent the mortgaged prop€fy 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 agre es to subordinate its first mortgage to construction and permanent f¡nancing
of the improvements to the properg; and to comply with all statutes, ordinances and
regulations relating to such property.
(c) To protect the mortgaged propelry from waste, injury or unusual deterioration and,
without ôubjecting the property to any statutory lien, to make all repladements and repairs
necessary to keep the mortgaged property in good physical condition. Mortgagor also agrËes
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 theArkansas Economic Development Commission
with respect to any programs for which it contracts to padicipate.
(5) Default and Aqceleration. The holde(s) of the indebtedness may, at the option of such
holder(s), declare the entire unmatured portion ofall indebtedness secured hereby, together with all
interest accrued on the entire secu¡ed debt, to be inmediately due and payable, and the same shall
forthwith become irnmediately due and payable (which acceleration of maturity may be
accomplished without nolice to anyone), in arry one of the following events:
(a) Upon the filing of a voluntary or involuntary petition to subject Mortgagor (or any parfy
obligated as maker, endorser, surety or guarantor for the payment of the secured
indebtedness) to any bankruptcy, debradjustrnent, receivership or other insolvency
Page 2 of5
proceeding.
(b) Upon the occurrence of any event, which, under the terms of the instrument(s) at any
time evidencing the indebtedness secwed hereby, warrants an acceleration (at the option of
the payee) of the maturity of such indebtedness. i
(c) If default shall be made in the payment ofany pad 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 ofthe original note, or ofany extension or renewal thereofat
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 paÍnership or a corporation, shall be dissolved or reorganized in
any ma¡rner.
(Ð 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
rnortgaged properties, or any pofion thereof, is zubject to any prior lien, title or ¡nterest not
mentioned in this mortgage as a prior encumbrance.
G) ff 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 mofgage note(s) but also to any substituted matudties created
by extension or renewal. The failure of the holde(s) of the secured'indebtedness to declare an
acceleration of matu¡ities when a ground therefor exists, even though such forbearance may be
repeated from time to tirne, will not constitute a waiver of the right of such holder(s) to accelerate
maturities upon a ieoccurrence of the same ground therefor; nor will the act of such holde(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) Ifthe bolder(s) of the indebtedness secured hereby shall expend any sum or sums for the
protection of any of the mortgaged property or lhe lien of this mortgage (such holder(s) to have
uncontrolled discretion as to the necessity ofmaking 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, irsurance
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 of5
foreclosure will also constitute a part of the reimbwsable expenses secured hereby'
(7) In the event ofa default hereunder the holder(s) ofthe indebtedness secured hereby shall be
"*itt"¿ to foreclose this mortgage through judicial proceedings with respect to any real estate
encumbered hereby in the Circuit Courts of the State of Arkansas'
(B) The Mortgagor releases all right of appraisement hereunder and also releases unto the
ùortgug." al right of redemption unãer the làws of Arkansas, including particularly atl right of
redemption under $ i 8-49- 106 of the Arkansas Code Annotated'
(9) The Mortgagor, for the consideration Jtated herein, hereby releases and relinquishæ unto the
ùbrtgug.", its suócessors and assigns, all of Mortgagot's rights of dower, curtesy and homeste¿d in
and to the above described property,
EXECUTEDonthis þdayof
PACIFIC VET GROUP-USA, INC.n{)By:__t 4r\p
Title:M
ATTEST:
By:
Title:
Page 4 of 5
ACKNOWLEDGMENT
STATEOFARKANSAS
COUNTY OF \¡/ASHINGTON
)
) ss.
)
BE IT REMEMBERED, thåt on this date, before the undersigned, a duly conrnrissione! and
acting Notary Public within and for said County and State, personally appeared CÀr;r f-ì [ì ¿qand ¡¿la , to me well known as the person¡ whq executed the foregoing I
document, and who stated and acknowledged that they are the VV ÔPeraii,or".S andNl,k . respectivel¡ of Pacifìc Vet Group-USA, lnc., 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 fi.rther 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 1<day of r ,?014.
û,,*
Notary Public
My Commission Expires:
WNFIELD S BRıÑsOTJH
NOTARYPUETIC
WASHINGTON COUNTY-
coMMtsstoN # 12æ7036
Poge 5 of5
NOTICE REGARDING CLOSING PROTECTION LETTER
(PURSUANT TO Arkansas Code Section 23- 103-405(c) (l) and Rule 8?)
Issued by:
Bronson Abstract ComPanY, Inc.
3810 Front StreeL Suite 5
Fayetteville, AR72703
ON BEHALF OF FIRST AMERICAN
TITLE INSURANCE COMPANY
Pacific Vet Group-USA, lnc'
300 Spring Building,, Ste 900
Little Rock72201
Property Location : I ndustrial Drive Fayettevi lle, 7 27 0 |
Pursua¡t to the requifements of -Ihe Ark¿nsas Title lnsurance Act (Arkansais Code Title 23' Chapter 103'
and Section 401 et seq,) and E7 of the.Arkons¡s lnsu¡ance Depaflmcnq notice i:.htttby given that Closing
prorect¡on Letter hotection ir u"oiiorrirtolou as part of the tr¡nsaction insured by fte Agent reforenced
above and involving tbe ProPerty referenced above'
section 23-103-405 (c) (l) describes the proteclion afforded by,the closing Protection Letter ("Letter") as
follows. The Letrer ,,i"¿.-"Ë.rïprr.ï"rof"fy tgai¡st loss óf ctosing ñ¡nds because of the following acts
oia closing agent, title insurer's named employee, or title insurance agenl
(A) Theft of misappropriation of closing funds, or
(B) Foiture 1o *riii'îii¡ wrinen insñ¡ction" Êorn the proposed insured when agreed to by üe
closing agent, åmploy"", or title insurance agent as ii relales q||re :latus
of t̡e title to the
interest in l.nã olto íhe valídity, enforceabiúty, and priority ofthe lien ofa mortgage or
deed of trust on said interest in land'"
pleasc indica¡e your choÍce with fegard to tl¡is offer of protection by placing a ma¡k on the line to the left of
one of the two choices set out below.
Y l¡o - closlNc PRorgcrtoN LETTER fs Nor REQUEsTEÐ AND cLosING PRorEcrloN
UN'TTEN P¡TOTECTION IS DECLINED'
yES - CLOSÍNG PRoTECTION LETTBR ls REQUÐSTEÐ. By_execution.hereof the undersigned
,"qroæ itr"t *t*-U.u"r beprovided to it and agrees ro pay the charge of$25.00 for the Lener'
The signature ofthe undersigned below evidences the receipt by the undersigned ofthe required notice
per1aining to provided under the Closing Protection Letter'
Pacific V
NOTICE REGARDING CLOSING PROTECTION LETTER
(PURSUANT TO Àrkansas Code Sestion 23'103-405(c) (l) and Rule 8?)
Issued by:
Bronson Abstact Company, Inc.
3810 Front Street, Suite 5
Fsyetteville, AR 72703
ON BEH^A,LF OF FIRST AMEzuCAN
TITLE INSURANCE COMPANY
The Ciry of Faycneville
Property Location: Industrial Drive Fayetteville
^R7270
I
pursuant to the requirements of The Arkansas Title lnsurance Act (Arkansas Code Title 23, Cbapter 103'
Section 40t et seq.) and 87 of the A¡kansas Insurance Depùtme¡t, notice is hereþ given that Closing
protcction Letter ilotection is available ûo you as paft ofthe tansaction insured by the Agent referenced
above and involving the property referenced above.
Section 23-l 03-a05 (c) (l) describes the protection aforded by the Closing Protection Letter ('Letter") as
follows. Ihe Lener'ìindemnifies "
prrson solely against loss of closing firnds because of the following acts
ofa closing agent, title insurer's named employoe, or title insurance agent'
(A) Theft of misappropríation of closing frtnds, or
(ei f'"itor* to comply with written instructions Êom the proposed insured when agreed to by the
closing agent, ãmptoyee, or title insufance agenl as it relates to the status of the t¡tle to the
interest in land oito the validity, enforceability, and priority ofthe lien of a moflgage or
deed oftust on said interest in land."
please indicare your choice with regard to this offer of protection by placing a mark on the line to the lefr of
one of the fi¡/o choices set out below,
Y No - cl-osrNc pRorEcrroN LETTER rs Nor REQUESTED AND cLosINc PRorEcrloN
lffi R PNOI¡CTION IS DECLINED.
_ yES - CLOSING PROTECTION LEIrER lS REQUSTED. By exccution hereof the undersigned
requests tt¡at the LeBer be provÍded to it and agrees to pay the charge of S25.00 for the L€tter.
The sjg¡arure-ofrhe undersigned below evidences lhe receipt by lhe undersigncd o[the required not¡ce
under the Closing Protectíon Letler.
SELLER'S AFF'IDAVIT
srArc oF ARK.ANsAs, couNry oF' Q hå tt Nùk\\\r
The undersigned, relerred to as Seller (whether one or more) being fint duly slvom on oath that the Seller is an owner of the following
dcscribed lands, situated in Washington County, Arkansas, to-wit
Description being the same æ shown on Exhibi¡ "4" attached hereto.
Setler further states the follorvi¡g facts are true:
I . There is no adverse occupant of the property described above.
Z. Selter and those, under whom Seller claims title, have been in peaceful possession of said lands for more than ? years past'
3. There are no unrecorded options to purchase, Sales Contracts or Lease Agreemenls outstånding, which affects the property
desc¡ibcd above.
4. There have been no improvements made on the property descríbcd above during the past 130 days for which s Mechanic's
and Materislfirens' Lien may be filed.
5. The property desc¡ibed above is not traversed by any roadways ol easemerts, except those shown on record'
6. That no money whatsoever is owed on subjeot prope4y to any person, firm or corporation other than ùe following: NONE'
7, There arç no outstanding judgmenrs against Seller as a result of legal action to include, b¡¡t not limited to, Tax Liens,
Ba*ruPtcY or Foreclosure.
B. There a¡e no pending litþations against scller whích may rcsult in a judgment.
Witness the hand and seal of the undersigne¿ ttriS a6 ¿ay of Augus! 2014'
ACKNO]ULEDç¡4ENI
S'Í'ATE OF TIRKANS{S, COUNTY OF wAsl'l[NG1'ON) $
g,r rtr¡s tc{aay of Ârrg'st,2014, bcfore nrei a norary public, personnl,y npp"or"¿ Li$F-Q@dÙ, known ro ntc
to be the person whose "r*" i; ;i;;;ì;J ; ú; ¡";.s;inÀ inrrriå.n, anä "ho staied "n¿
acknowtedged that hc cxecuted the same in
his stated capacities for the purposcs and considerations lherein set forth.
In wit¡ess whereof I hereunto set my hand ¡nd ofücial seal'M
Notary Pubtic /f - wN FiE-tEr-o-B RoN sı rv'¡ H
--'
I r.¡or¡RY PuBLlc
I wnsHlNoion couNTY - '.RI$NSAE
l "' -
Co¡rr¿rssloN # 12387836 I
I explRes,¡Pnu to.¿ozz
gt'"-"<"
9\ Jıî,v¿¡
BRONSON ABSTRACT COMPANY, INC.
ESCROW ACCOUNT
3810 FRONT ST., SUITE 5
FAYETTEVILLE,AR 72703 File No.:
ONE SOUTH BLOCK STREET
FAYETTEVILLE, ARKANSAS 72701
THE BANK OF FAYETTEVILLE
479-444-44M MEMBER FDIC
2211'2_1v-161t82s
020844
12t16t2015
$ 2,856.35åâËl3
t$F city of Fayetteville
TWO THOUSAND EIGHT HUNDRED FIFTY SIX AND 35/1OO DOLLARS
City of Fayetteville
113 West Mountain St.
Fayetteville, AR 72701
rrrO ¿OElrLil! r:Og ¡qO IË lqr:
DOLLABS
tOü1.?lË51'
AUTHORIZED SIGNATURE
PROMISSORY NOTE
$360,000.00 Fayetteville, Arkansas
by ac celerat i qlddl b ear i nLre st there aft e r "t,tf tn. t$MÍffiJl;
rfrotar orparriura"frt(tg" in *," puyl"n*È\;ÌiÇii,l"lt''fr&.iparor interesr u'der rtris note, asthe
same matures, the entire princþllùm ãnd accrued intsÈ's¿SþãllÊt*T1fecôffiue and payable *.il}t11i:.T:1:l:
;*",-ffiä'r;'tt*m:::', ::fi:',"*îJ,i3ïJ];:',",i;ffiï:
: \. ''- 1È'$out.' fE¡'\\ t'l '
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
(5360,000.00), at an interest rate that shall be fiùd for the first five years at the current Federal Reserve Primary Credit
Rate, plus one percent (l%). This interest rate ¡&ll be annually adjusted after the first five years to apply the Federal
Reserve Primary Credit Rate existing at each date plLrs one percent (l%).
Such principal ncipal office of the City in the City of Fayetteville,
ftS{ollows:
t
I and interest calculated as set forth above
first day of efih r4!¡tlttr?tl*¡telf3lpayment due on or before Septernber l,
:g:i:ltflii:l:i:i'.llli: lTYIito exercise ftiE-4i¡6â Krçn65x¡p¡'siiftê a waivãr of the right to exercise the
the right, without notice, to deal in any way at any time (and from time to time) with any parfy hereto ot' to grant to any
such parfy any extension(s) oftime for payment ofany ofthe indebtedness or any other indulgences or forbearances
whatsoever, without in any way affecting the personal tiability of any party hereunder.
If this obligation, after default, is placed in the hands of an attorney for collection, the maker and allother
parties liable hereunder will be obligated to pay the holder all reasonable costs and expenses of suit including, butnot
limited to, a reasonable attorney's fee.
The indebtedness evidenced by this Note is secured by a Mortgage of even date herewith, ancl lefèrence is made
to the Mortgage for.rights as to acceleration of the indebtedness evidenced by this Note.
PACIFIC VET UP, USA-INC.
Title: V