HomeMy WebLinkAboutResolution - 2348 - Sales Contract - Standefer & Gray Inc - 2929 Acres - 06_26_1986Resolution #2348
June 26, 1986
Agenda Item #19
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RESOLUTION
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the Mayor of the City of Lubbock BE and is hereby authorized and
directed to execute for and on behalf of the City of Lubbock a Contract of
Sale to be entered into by and between said City (as Buyer) and J. Frank
Gray and wife, Imogene Gray, and Jack P. Driskill as Independent Executor
of the Estate of Lily W. Gray, deceased, and Standefer and Gray, Inc.
(collectively as Sellers) covering approximately 2929 acres of land and
personal property as described in said Contract of Sale, attached "herewith,
which shall be spread upon the minutes of the Council and as spread upon
the minutes of this Council shall constitute and be a part of this Resolu-
tion as if fully copied herein in detail.
Passed by the City Council this 26th day of June -, 1986.
B . C . McMINN , MAYOR
ATTEST:
, laity becr
APPR VED AS TO CONTENT:
1
Tam Wahl, Di%ctor of Water
Utilities
APPROVED AS TO FORM:
'UL --k " _�
, n C. Ross, Jr., City Attorney
THE STATE OF TEXAS §
CONTRACT OF SALE
COUNTY OF LUBBOCK §
THIS CONTRACT OF SALE is made by and between J. FRANK GRAY,
joined pro forma by his wife, IMOGENE GRAY, and JACK P. DRISKILL,
as Independent Executor of the Estate of Lily W. Gray, Deceased
(collectively referred to herein as "GRAY"), and STANDEFER & GRAY,
INC., a Texas Corporation, Debtor -in -Possession in Cause No. 583-
00119 (referred to herein as "S & G"), as "SELLERS" (GRAY and
S & G collectively referred to as "SELLERS"); and CITY OF LUBBOCK,
a Home Ruled Municipal Corporation, as "BUYER" (referred to herein
sometimes as "CITY" and sometimes as "BUYER").
R E C I T A L S:
1. GRAY owns 1,879 acres of land, more or less, located in
Lubbock County, Texas, and irrigation equipment as more particu-
larly described on the attached Exhibit "A", which is incorporated
herein for all purposes.
2. S & G owns 1,050 acres of land, more or less, located in
Lubbock County, Texas, and irrigation equipment as more particu-
larly described on the attached Exhibit "B", which is incorporated
herein for all purposes.
3. S & G and GRAY have contractual agreements with CITY and
other parties concerning the use and possession of various tracts
as set forth in Exhibit "C", which is incorporated herein for all
purposes.
I -If
4. S & G is a Debtor -in -Possession in Chapter 11
Reorganization, Cause No. 583-00119, In the United States
Bankruptcy Court for the Northern District of Texas, Lubbock
Division.
5. The persons and entities shown on Exhibit "D" are credi-
tors who have liens upon property being sold by the respective
SELLERS.
6. SELLERS desire to sell and CITY desires to buy the prop-
erty described in Exhibits "A" and "B", collectively referred to
as "the Gray Farms", free and clear of liens, claims and encum-
brances, upon the terms and conditions hereinafter set forth.
A G R E E M E N T:
I.
Property
For the consideration hereinafter set forth and upon all
terms, conditions, and provisions herein contained, SELLERS agree
to sell and convey to BUYER, and BUYER agrees to purchase the
following described property located in Lubbock County, Texas:
A. Real Property: A total of 2,929 acres of land, more or
less, being 1,879 acres, more or less, as more particularly de-
scribed in Exhibit "A", and 1,050, more or less, as more particu-
larly described in Exhibit "B".
This conveyance shall be subject to all written oil, gas and
other minerals leases, restrictions, covenants, reservations and
mineral severances and rights -of -way of record in Lubbock County,
Texas, or visible upon the ground, but only to the extent they are
still in full force and effect.
This agreement to sell and convey the property above de-
scribed specifically includes the items described on Exhibits "A",
"B" and "C", together with all the rights and appurtenances per-
taining thereto and all improvements located thereon, including
nine residences with barns and sheds, storage tanks, approximately
thirty miles, more or less, of underground pipe and forty miles,
more or less, of fences, together with all licenses, easements and
rights -of -way for underground pipe with respect to the Gray Farms
and furnishing sewage effluent to neighbors. With respect to
sewage effluent underground lines servicing Tract No. 12 on
Exhibit "A", GRAY agrees to use their best efforts to secure
valid, enforceable and recordable easements from all parties upon
whose land the underground lines cross.
SAVE AND EXCEPT, and S & G hereby reserves unto itself, its
successors and assigns, an undivided one-half (1/2) interest in
and to all oil, gas and other minerals now owned by S & G in, on
and under the 1,050 acres, more or less, and that may be produced
from it, together with the right of ingress and egress at all
times for developing, exploring, operating and producing the
property for oil, gas and other minerals. If all or any part of
the property is subject to an existing lease for oil, gas or other
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minerals, S & G is entitled to receive its prorata part of the
royalties and other benefits associated with the interest
reserved; and
SAVE AND EXCEPT, and GRAY hereby reserves unto themselves,
their heirs, executors, administrators and assigns, an undivided
one-half (1/2) interest in and to all oil, gas and other minerals
now owned by GRAY in, on and under the 1,879 acres, more or less,
and that may be produced from it, together with the right of in-
gress and egress at all times for developing, exploring, operating
and producing the property for oil, gas and other minerals. If
all or any part of the property is subject to an existing lease
for oil, gas or other minerals, GRAY is entitled to receive their
prorata part of the royalties and other benefits associated with
the interest reserved.
By this reservation, it is not intended to merge or commingle
the separate tracts or respective ownership of the respective
SELLERS in individual tracts, but rather to reserve to each SELLER
one-half (1/2) of the oil, gas and other minerals now owned in
each respective tract.
For purposes of these reservations of oil, gas and other
minerals, it is understood that the term "other minerals" does not
include caliche, limestone, building stone, surface shale, water,
sand, gravel, near -surface lignite, iron, coal and other
substances, the production of which would consume, deplete or
destroy the surface estate.
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It is agreed between the parties to this agreement that in
the event SELLERS desire to exercise their rights to develop the
property for oil or gas exploration or production or the explora-
tion or production of other minerals, that in such event SELLERS,
their assigns, agents, contractors, heirs, representatives or
successors in interest, will cooperate with BUYER in developing a
plan for the exploration or development of such reserved mineral
interest that will minimize damage to the surface of the property
to be conveyed from SELLERS to BUYER and further minimize inter-
ference with the surface use of the property by BUYER or its
successors -in -interest.
B. Personal Property: The agreement to sell and convey
the property above described shall specifically include all irri-
gation equipment used in connection with the 2,929 acres, being a
total of ten (10) circle sprinkler systems, nine (9) of which are
owned or leased by S & G, and one (1) of which is owned by GRAY,
including various flow lines, gated pipe, hydrants and irrigation
pumps and motors, as being more particularly described in Exhibits
"A" and "B", and SELLERS agree at the time of closing to execute
any and all Bills of Sale or other legal instruments necessary to
convey title to such personal property to BUYER free and clear of
any liens, mortgages, or security interests in or affecting such
personal property. SELLERS further agree to warrant clear title
to all such personal property unto BUYER.
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II.
Consideration
BUYER shall pay to SELLERS the purchase price as follows:
A. Escrow: The sum of FIFTY THOUSAND AND N0/100 DOLLARS
($50,000.00) cash to be deposited by BUYER, upon the execution of
this Contract, with Service Title Company, Lubbock, Texas, as
Escrow Agent, to be held in escrow, together with a copy of this
Contract, until closing or as hereinafter otherwise provided.
Said earnest money to be held according to the terms of Paragraph
XIV herein in an interest bearing account. It is understood that
the escrow deposit is to be returned to BUYER and is not to be
applied toward the $3,825,000.00 cash at closing.
B. Cash: THREE MILLION EIGHT HUNDRED TWENTY-FIVE THOUSAND
AND N0/100 DOLLARS ($3,825,000.00) cash to be paid by BUYER to
SELLERS at closing.
C. Allocation of Purchase Price Among Sellers: It is
understood and agreed that the purchase price must be allocated
among the SELLERS according to the property being sold so that
each SELLER receives its fair consideration, and at closing, the
purchase price as allocated will be paid to the respective
SELLERS. In this respect, it is understood that CITY is concerned
only with the total consideration being paid for all property
acquired, being $3,825,000.00, and that the amount of the sales
price to be allocated to S & G is subject to the approval of the
C.
Bankruptcy Court and may require modification of the allocation
herein set forth to secure the approval of the Bankruptcy Court.
The following sets forth the allocation as requested by
SELLERS and is subject to the approval and/or modification by the
Bankruptcy Court, to -wit:
Class of
Irrigation
equipment
Residences
Total Price
Allocated
$ 200,000.00
150,000.00
City Contract 150,000.00
2,929 acres of
land, with
underground
pipe, fences &
other permanent
improvements 3,325,000.00
TOTAL $3,825,000.00
Allocated to
Grav
$ 20,000.00
150,000.00
-0-
2,133,040.29
$2,303,040.29
Allocated to
S & G
$ 180,000.00
mom
150,000.00
1,191,959.71
$1,521,959.71
D. Adjustment of Sales Price: The sales price of
$3,825,000.00 is based upon the total acreage of 2,929 acres, more
or less. It is understood that BUYER has the right to cause a
survey to be run at BUYER's expense to determine the boundaries,
encroachments and number of acres contained in the tracts being
acquired by BUYER. In the event the total acreage as determined
by the survey deviates less than five percent (5%) from 2,929
acres, then in that event, the purchase price shall not be
7
adjusted. In the event the total number of acres as determined by
the survey has a deviation of five percent (5%) or more from 2,929
acres, the total sales price will be adjusted upward or downward
according to the variation at $1,135.00 per acre. Said 5% devia-
tion shall be determined by taking the total number of acres as
determined by the survey and subtracting 2,929 acres to find the
number of acres deviated and then dividing the total number of
acres deviated by 2,929 acres.
III.
Evidence of Title
SELLERS will furnish to BUYER, at SELLER's expense, an
owner's title policy to be issued in a form prescribed by the
State Board of Insurance of the State of Texas, insuring title to
the 2,929 acres of land in the amount of $3,475,000.00 in favor of
BUYER and thereby guaranteeing its title to be good and indefeas-
ible, subject only to encumbrances permitted by this Contract.
Within forty-five (45) days from the date of this Contract,
SELLERS will cause a preliminary title insurance commitment to be
issued. BUYER shall inform SELLERS in writing within fifteen (15)
days of the date BUYER receives said title insurance commitment if
BUYER should find there are objections or defects which prevent
the issuance of a policy in the form required. SELLERS will use
their best efforts to correct, within thirty (30) days, the title
objections or defects discovered by the title company which
i � t
prevent the issuance of the policy in the form required. If
SELLERS are unable to satisfy the requirements at or before clos-
ing, then BUYER may elect to declare this Contract terminated and
of no further force and effect, and the escrow deposit shall be
forthwith returned by the Escrow Agent to BUYER, or BUYER may
waive the objections to title and agree to accept the title not
conforming in all respects to the foregoing requirements, in which
event, this sale shall be closed as herein provided.
IV.
Insurance
All existing insurance, if any, against loss by fire or other
casualty will be maintained by SELLERS until closing, at which
time BUYER must secure its own insurance or take over existing
insurance by reimbursement to SELLERS for all unearned premium.
V.
Taxes
A. Ad Valorem Taxes: It is understood that the ad valorem
taxes for 1982 and subsequent years have not been paid, and at
closing, BUYER shall assume and pay all ad valorem taxes for the
year 1982 and subsequent years.
B. Estate Taxes: All Texas inheritance taxes on the
Estate of Lily W. Gray, Deceased, have been paid.
With respect to the Federal estate taxes, on the Estate
of Lily W. Gray, Deceased, it is understood that taxes are past
due and unpaid and a tax lien for $156,377.13 has been filed of
record in May, 1986. From the proceeds of sale at closing, all
estate taxes will be paid so that the tax lien may be removed.
VI.
Attorneys' Fees
In any action filed by either party against the other relat-
ing to this contract, the prevailing party in such action shall be
entitled to reasonable attorneys' fees in addition to costs of
suit.
VII.
Conditions Precedent
The obligations of the parties to consummate this transaction
are subject to the fulfillment, at or prior to closing, of each of
the following conditions:
A. Approval of this Contract of Sale by the Bankruptcy
Court in Case No. 583-00119 (Standefer & Gray, Inc., Debtor -in -
Possession), including the allocation of sales proceeds in a
manner acceptable to GRAY. The approval to be evidenced by appro-
priate order of the Court authorizing the sale of the property of
S & G as contemplated herein, free and clear of all liens, claims
and encumbrances, including the claims of all creditors in said
Bankruptcy, which approval may be a part of an approved plan of
reorganization.
B. Evidence satisfactory to BUYER that an order is not re-
quired in the Vladic Corporation Bankruptcy, Case No. 583-00120,
and if requested by BUYER, and appropriate order that BUYER is
acquiring the property covered by this Contract, free and clear of
said Bankrupt Estate and all liens, claims and encumbrances, of
all creditors in said Bankruptcy.
C. Appropriate order issued by the United States District
Judge in Adversary No. CA-5-84-170 in Case No. 583-00120, Vladic
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Corporation v. Gray, et al, that the sale of the property covered
by this Contract is free and clear of the claims of Vladic
Corporation and other parties to the Adversary, such that CITY
acquires good and indefeasible title, free and clear of all claims
raised in such Adversary.
D. Dismissal with prejudice of Cause No. 84-505020, in the
99th District Court of Texas, Vladic Corporation v. Gray, et al,
so that BUYER acquires title free and clear of all claims raised
in said lawsuit.
E. Title insurance policy issued in favor of CITY at clos-
ing as hereinabove set forth.
F. At closing, CITY is able to secure from SELLERS such
legal documents as may be required to consummate this transaction,
including the acquisition of good and indefeasible title to the
property, which is the subject of this Contract of Sale, by CITY
free and clear of all liens, claims and encumbrances as herein
provided or which may appear at time of closing, including a
general warranty deed from the respective owners and appropriate
releases of all liens.
G. Compliance with all laws applicable to CITY, a Home Rule
Municipal Corporation operating under Art. II, Sec. 5 of the
Constitution of the State of Texas, as may be necessary to effec-
tuate this Contract as a valid and binding obligation of CITY,
together with the issuance and funding of all necessary debt
financing of CITY with respect to the purchase.
H. At the option of CITY, assignment to CITY of the various
Contracts described in Exhibit "C", or modifications thereof, or
termination thereof, in whole or in part, so that CITY continues
to have the right to discharge sewage effluent upon the 2,929
acres of land, more or less, being acquired by CITY; continues to
have the right to discharge sewage effluent at Wilson under con-
ditions reasonably acceptable to CITY; and will have the right
upon closing to execute a Management Contract as described in
Subparagraph J, hereinafter set forth, which Management Contract
will cover and include the necessary services required to operate
on behalf of the City the property herein conveyed from SELLERS to
BUYER, together with 470 acres of land currently owned by CITY,
which land abuts Tract 5 as described in Exhibit "A", on its
westerly boundary.
I. The acquisition of the real estate is free and clear of
all claims of any parties in possession (except for those reflec-
ted on Exhibits "A", "B" or "C" and not otherwise terminated) so
11
that CITY is free, upon closing, to enter into any contract for
the use, operation, management or maintenance of the Gray Farms as
it may desire, subject to the rights of SELLERS to harvest crops
as hereinafter provided.
J. It is understood and agreed that J. FRANK GRAY and BUYER
are in the process of negotiating a Management Contract for
J. FRANK GRAY to manage the Gray Farms after closing. In this
respect, the parties understand that the Management Contract will
be by written, separate agreement upon terms mutually agreeable to
both parties and in all respects in compliance with Rev. Proc.
82-14, issued by the Internal Revenue Service. This Management
Contract is to be executed at the time of closing and shall
further provide for J. FRANK GRAY to provide management services
necessary to operate approximately 470 acres of land currently
owned by CITY abutting Tract 5, as herein described in Exhibit
"A", on its westerly boundary.
It is agreed that J. FRANK GRAY may substitute a
corporation, which is owned and controlled by J. FRANK GRAY, as a
party to the Management Contract in place of J. FRANK GRAY. All
references in this Contract to J. FRANK GRAY as a party to the
Management Contract include the right to substitute said corpo-
ration as a party.
K. SELLERS agree to comply with Chapter 6, "Bulk Transfers"
of the Business and Commerce Code of the State of Texas in the
event such Chapter is applicable to this agreement.
Immediately upon execution of this Contract, SELLERS and
BUYER each agree to diligently pursue in good faith all actions as
may be necessary to effectuate and remove the above conditions as
soon as reasonably possible. If, after exercising due diligence
in good faith, a condition precedent to closing cannot be satis-
fied on or before closing date, and if the parties do not mutually
agree to either waive the condition precedent or extend the clos-
ing date, the earnest money shall be returned to BUYER, together
with interest, and this Contract shall be terminated and of no
further force and effect. The failure to satisfy a condition pre-
cedent herein after exercising due diligence in good faith shall
12
not be considered an element of default by BUYER or SELLERS, and
shall not trigger the remedies upon default as set forth in
Paragraph VIII.
VIII.
Default
A. Default by Buyer: If BUYER fails to consummate the
purchase of the property described in this agreement to be sold to
it by SELLERS and such failure is not the result of a failure to
comply with a condition precedent, as set forth in Paragraph VII
of this agreement, SELLERS may, at their option, enforce specific
performance of this Contract or seek such other relief as may be
provided by law, and SELLERS shall be entitled to all damages in
any event.
B. Default by Sellers: If SELLERS are unable to convey
clear title to the real and personal property to be conveyed from
SELLERS to BUYER in accordance with the terms of this Contract and
such inability to convey such clear title is not the result of a
failure to comply with a condition precedent, as set forth in
Paragraph VII of this agreement, BUYER may terminate this Contract
and receive the earnest money which it deposited, together with
all interest accumulated thereon, as its sole remedy. If SELLERS
otherwise default, BUYER may, at its option, may enforce specific
performance of this Contract or seek such other relief as may be
provided by law, and BUYER shall be entitled to all damages in any
event.
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C. In the event of default by either the BUYER or SELLERS,
the $50,000.00 earnest money deposited by BUYER in accordance with
the terms of this agreement, together with any interest earned on
such money, shall be immediately returned to BUYER, less any
expenses CITY may owe Escrow Agent.
IX.
Contract Binding
This Contract and all covenants and agreements herein shall
inure to and be binding upon and inure to the benefit of the par-
ties hereto and upon their respective heirs, administrators,
executors, successors, and assigns.
X.
Place of Performance
The parties agree that all payments, remedies, and conditions
performable under the terms of this Contract shall be payable and
performable in Lubbock, Lubbock County, Texas.
XI.
Property Accepted As Is
BUYER represents that it has inspected the property and
agrees to accept the real property and all personal property and
improvements conveyed AS IS, WHERE IS, and WITH ALL OF ITS FAULTS;
and said property is being sold without any warranty as to quality
or fitness, save and except those representations made in a gen-
eral warranty deed and bill of sale in the standard form provided
14
by the State Bar of Texas. SELLER does not warrant as to the
total footage of underground pipe; the total footage of fences;
the condition of any improvements or irrigation equipment; or the
total acreage or boundaries.
XII.
Damage to Premises
If at any time prior to the closing of this sale all or a
part of the residences on the premises or the circle sprinkler
system is damaged or destroyed by whatever force, SELLERS shall
have the right to collect the insurance proceeds, if any, and the
value of the property which has been destroyed or the amount of
the damage to the property, as the case may be, shall be deducted
from the total sales price and this Contract shall close in all
other respects as if the damage had not occurred.
XIII.
Notice
Any notice given or made for any purpose pursuant to this
Contract shall be valid if in writing and sent by certified mail,
return receipt requested, postage prepaid, addressed as follows:
If to SELLERS: Jack P. Driskill
McWHORTER, COBB AND JOHNSON
P. O. Box 2547
Lubbock, Texas 79408
and
J. FRANK GRAY
P. O. Box 711
Lubbock, Texas 79408
15
If to BUYER: John C. Ross, Jr.
City Attorney
CITY OF LUBBOCK
P. O. Box 2000
Lubbock, Texas 79457
Either party may, at any time, and from time to time, in the man-
ner set forth for the giving of notice, change the address of such
party as designated in this paragraph.
XIV.
Earnest Money Conditions
Earnest money is deposited with the Escrow Agent with the
understanding that:
A. Escrow Agent does not assume or have any liability for
performance or nonperformance of any party hereto;
B. Escrow Agent shall, upon written notice of default to be
given by CITY stating either party to this agreement is
in default of the terms or conditions of this agreement,
immediately return to CITY the escrow deposit, together
with all earned interest thereon, less any expenses owed
to Escrow Agent by CITY;
C. Escrow Agent shall, upon written notice that either
party hereto has been unable to comply with the "condi-
tions precedent" set forth in VII of this agreement,
immediately return to CITY the escrow deposit, together
with all earned interest on said deposit, less any
expenses owed to Escrow Agent by CITY;
D. Escrow Agent shall, upon closing of this transaction,
immediately return to CITY the amount of money deposited
in escrow, together with any earned interest thereon,
less any expenses owed to Escrow Agent by CITY;
E. In the event a claim is asserted against Escrow Agent or
Escrow Agent becomes involved in litigation in connec-
tion with its escrow, BUYER and SELLERS jointly agree to
16
k
indemnify and hold Escrow Agent harmless from all cost,
loss, damages, expenses and attorneys' fees as a result
thereof, except for such damages which would result from
willful misconduct or bad faith on the part of Escrow
Agent.
XV.
Crops
It is understood and agreed that all of the feed and har-
vested crops on hand, as well as the growing crops for the year
1986 and proceeds of sale from the crops, belong to and are being
retained by the respective SELLERS, and SELLERS have the right to
continue the harvest of all crops without liability or obligation
to BUYER. If at the time of closing the harvest has not been com-
pleted, or if all crops or feed have not been removed from the
premises, SELLERS shall have the right to continue the harvest
after closing. SELLERS agree to use due diligence to complete the
harvest prior to January 1, 1987.
It is anticipated that a wheat crop will be planted after the
execution of and before closing of this Contract and SELLERS agree
to coordinate with BUYER the location and amount of acreage of the
crop. Terms and conditions with respect to the wheat crop will be
covered in the Management Contract.
It is understood that SELLERS feed cattle for third parties
on a gain basis, generally with a turnaround of approximately one
hundred twenty (120) days. It is agreed that with respect to all
17
cattle located on the Gray Farms at the time of closing, SELLERS
have the right to continue to graze and feed such cattle until
their normal delivery date and shall be entitled to all proceeds
from the gain attributable to such cattle until delivery, provided
that SELLERS furnish their own feed other than grazing.
XVI.
Realtor
BUYER and SELLERS represent to each other that neither party
has retained a realtor or broker with respect to this transaction
and no realtor or broker fees are due to any party.
XVII.
Corporate Resolution
Upon execution and at closing, BUYER and S & G shall furnish
appropriate corporate resolutions authorizing this Contract and
the acts to be performed by CITY and S & G to consummate this
Contract, together with designated representatives to act on be-
half of and to bind CITY and S & G in the execution and perform-
ance of this Contract.
XVIII.
Closing
Time is of the essence in this Contract. It is understood
that after this Contract is executed, actions are required by both
SELLERS and BUYER in order to satisfy the conditions precedent,
and that closing will occur within ten (10) days after the last
18
condition precedent has been removed, but not later than one
hundred twenty (120) days from the date of execution of this
agreement. Closing shall take place at Service Title Company,
1502 Texas Avenue, Lubbock, Texas, or such other place as the
parties may mutually agree. At time of closing, all documents are
to be executed and delivered and all monies are to be paid.
Possession of all properties covered by this agreement shall be
delivered by BUYER upon closing of this transaction; however, it
is recognized that SELLERS retain the rights as specified in
Paragraph XV of this agreement
W
General Conditions
A. Possession: BUYER shall acquire possession of the Gray
Farms as of the date of closing.
B. Entire Agreement: This Contract and the Exhibits
hereto embody the entire agreement and understanding of the
parties and supersede any and all prior letters of intent,
agreements, arrangements and understandings relative to the
subject matter hereof.
C. Contract Survives: The terms and conditions of this
Contract shall survive closing and are enforceable as between the
parties hereto, their heirs, legal representatives, successors and
assigns.
D. Fees Due on SPS Water Sales: It is understood that
S & G receives certain fees pursuant to the sale of sewage
effluent to SPS under the Agreement originally dated May 1, 1968,
19
i
between CITY and S & G. It is understood that S & G shall receive
these payments prorated to date of closing and that because of
accounting problems, final payment to S & G will not be made until
June, 1987.
E. Counterparts: This Contract may be executed in one or
more counterparts, each of which shall be effective as an
original.
IN WITNESS WHEREOF, the parties hereto have executed this
Contract of Sale, effective the 9th day of June, 1986.
ATTEST:
Ranet e Boyd, City Secretary
"'J . FRANK GRAY f
rMOGEN GRAY
C . DRISKILL, as Independent
E cutor of the Estate of Lily W.
Gray, Deceased
STANDEFER & GRAY, INC.
By:
J."Frank Gray, Pr6gident
APP DVED AS TO CONTENT:
e7� j
CITY OF LUBBOCK
Samuel Wahl, Director bf Water Utilities
APPROVED AS TO---
F-ORM:
C ��'
eon C. Ross, Jr., City Attorney
"SELLERS"
`�v�4
Name: B. C. McMi nn
Title: Mayor
"BUYER"
20
}
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
T is instrument was acknowledged before me on the Cis day
of 1986, by J. FRANK GRAY and wife, IMOGENE GRAY.
Nb�ARY PUBLIC in and for the
ate of Texas
JO WADDILL
Printed or Typed Name of Notary
My Commission Expires: q11 7/99 -
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
This instrument was acknowledged before me on the day
of , 1986, by JACK P. DRISKILL, as Independent
Execu or of the Estate of Lily W. Gray, Deceased.
N97ARY PUBLIC in and for the
St/ate of Texas
JO WADDILL
Printed or Typed Name of Notary
My Commission Expires: 1/I11se
21
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
his instrument was acknowledged before me on the a Iz day
of 1986, by J. FRANK GRAY, President of STANDEFER &
GRAY, INC., a Texas Corporation, on behalf of said Corporation.
y TARY PUBLIC in and for the
tate of Texas
JO WADDILL
Printed or Typed Name of Notary
My Commission Expires: _9117 LS 9
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
This instrument was acknowledged before me on the day
of , 1986, byof t e CITY OF LUBBOCK, a Home Rule Municipal Corporation, on be-
half of said Corporation.
NOL4-
TARY PUBLIC in and for the
State of Texas j
Oil o l lq_ so 1 I
Printed or Typed Name of Notary
My Commission Expires: Il 3a
22
November 30, 1992
City Manager
c/o Dan Hawkins
City of Lubbock
Lubbock, Texas
Re: Exercise of lease option
Dear Sir:
Pursuant to a lease dated March 7, 1978, by and between Frank
Gray as Lessor and Harold Markham, Lessee, subsequently
assigned to the City of Lubbock as Lessor and Abraham K.
Mathews as Tenant, of a two (2) acre tract of land out of
Section 14, Block I, Lubbock County, Texas, the Tenant,
Abraham K. Mathews has the option of extending the primary
term for a maximum of three, five year periods.
Abraham K. Mathews hereby gives notice of his intent to extend
the original lease an additional five years beginning March 7,
1993, as provided in the original lease.
DATED AND DELIVERED: November 30, 1992
RAHAM K. MATHEWS
VE D,;
BY
29 o
NOV 1992
M
ort �M�l"�� land ❑ COVERAGE is in Company Checked
NORTHLAND INSURANCE COMPANY
Insurance Companies COMMON POLICY ❑ N07FrRCAND CASUALTY�COMPANY
P DECLARATIONS E NORTHFIELD INSURANCE COMPANY
Mendota Heights, MN 55120
Policy No: CPP 3-3 3 2 7
Agency No: 481 Producer No: Previous Policy No: NEW
POLICY PERIOD: From 7-16-92 to 7-16-93 Term: 12MTHS
at 12:01 A.M. Standard Time at your mailing address shown below.
Named Insured: ABRAHAM MATHEWS DBA COUNTRY STORE AND DBA MODERN LAUNDRY
Mailing Address: 4234 B-BOSTON, LUBBOCK, TEXAS 79413
Street Number City State Zip Code
BUSINESS DESCRIPTION: LAUNDRY & GROCERY
IN RETURN FOR THE PAYMENT OF THE PREMIUM, AND SUBJECT TO ALL THE TERMS OF THIS POLICY
WE AGREE WITH YOU TO PROVIDE THE INSURANCE AS STATED IN THIS POLICY.
THIS POLICY CONSISTS OF THE FOLLOWING COVERAGE PARTS FOR WHICH A PREMIUM IS INDICATED.
THIS PREMIUM MAY BE SUBJECT TO ADJUSTMENT.
PREMIUM
Commercial Auto/Garage Coverage Part..........................................................$
Commercial Crime Coverage Part....................................................................$
Commercial General Liability Coverage Part ............. ...$ 458.00
Commercial Inland Marine Coverage .Part,..;.......,,.,..;.........................................$
Commercial Professional Liability Coverage.;Part':.:.;............
,._ ........$
Commercial Property Coverage Part .:.........................................$ 891.00
-.r
-< Premium Total $ 1349.00
:
Other Charges - ,.��,� ................ $
Audit Period: Annual' unless otherwlse.,stal:ed .,, , T� ,.�s Iti_ TOTAL $ 1349.00
„AyM!--NT OF POLICY FEE 108.00
G' INSP.FEE
,. oG':� ;n.-� rc_',;T) jp,`; 0'� G?�:iS rRe.;,iIUPJIS. 25.00
Forms and Endol se'me4s' :r STATE TAX 71.88
S3D-CG(10-87) STAMP.FEE 1.48
S9D-CP(10-87) TOTAL PREM. 1555.36
M
V �
ti n
Agency Name/Address: ROSE (DENTON) INSURANCE AGENCY, P.O. BOX 6274, LUBBOCK, TX 79493
Countersi edd• Texas All Risk General Ag. By
Tallas, Date Authorized Representative
Includes copyrighted material of Insurance Services Office, Inc., with its permission. C-.pyright, Insu-ance Services Office, Inc.. 1985
S1D-I1- (10-87) INSURED
r— U-7c 1 L:V 1 H.M. S rANUARD--nME ATYOUR MAILING ADDRESS
❑ Supplemental Declarations is Attached
SURANCE
ate Limit (Other Than Products -Completed Operations) $100 , 000
eted Operations Aggregate Limit $100,000
vertising Injury Limit $ Excl
e Limit $100, 000
tit $ Excl Any One Fire
Limit $ Excl Any One Person
DATE CG 00 02 Only)
tis insurance does not apply to "bodily injury" or "property damage" which occurs before the Retroactive
3&n hem:
(Enter Date or'None" if no Retroactive Date applies)
BUSINESS INFORMATION
Form of Business: ® individual ❑ Joint Venture ❑ Partnership ❑ Organization (Other than Partnership or Joint Venture)
Location(s) (Including Zip Code) of All Premises you Own, Rent or Occupy (Enter "Same" if same location as, your mailing address):
LOC #1-2 01-42nd Eubb ck TX —
Laundry
LOC.#2— Rt 2 Box 65r
S aton StoreTX—
....... ..... .....
Count
Your Interest in SuchPremises: Owner Lessee Tenant Other
:
PREMIUM
Premium Basis Rate Advance Premium
Classification Code No. Defined on Reverse Pr/Co All Other Pr/Co All Other
Laundries & Dry Cleaners $ $
Self Service 14731 s) 30,000 Incl 13.73 Incl 411.
Incl Prod.Comp,Operations
Buildings or Premises —
Bank or Office —Mercantile
or Manufacturing —(Lessor's
Risk Only) (For Profit) 61212 a) 2,400 Incl 19.661 Incl 47.
Incl Prod.Comp.Operations
(a) Area (s) Gross Sales
(c) Total Cost (u) Units
(mj Admissions (o) Other -Define
(p) Payroll
Total Advance Premium $ Incl $ 458.
FORMS AND ENDORSEMENTS other than applicable Forms and Endorsements shown elsewhere in thispolicy)
Forms and endorsements applying to this Coverage Part and made a part of this policy at time of issue:
CG0001(11-88),S267—CG(3-92),S268—CG(3-92),S21—CG(3-92),S38—CG(7-89)
' Entry optional if shown in Common Policy Declarations
THESE DECLARATIONS AND THE COMMON POLICY DECLARATIONS, IF APPLICABLE, TOGETHER WITH THE COMMON POLICY CONDITIONS,
COVERAGE FORM(S) AND FORMS AND ENDORSEMENTS, IF ANY, ISSUED TO FORM A PART THEREOF, COMPLETE THE ABOVE NUMBERED POLICY
Includes copyrighted material of Insurance Services Office, Inc., with its permission. Copyright, Insurance Services Office, Inc., 1985
S3D-CG (10187)
MCWHORTER, COBB AND JOHNSON
ATTORNEYS AT LAW
OWEN W. McWHORTER (Ret.)
CHARLES L. COBB
1722 BROADWAY AVENUE P.O. BOX 2547
DALE H. JOHNSON
LUBBOCK, TEXAS 79401 LUBBOCK, TEXAS 79408
D. THOMAS JOHNSON
(806) 762-0214
JACK P. DRISKILL
DAVID R. LANGSTON
D. MURRAY HENSLEY
BRIAN P. QUINN
OWEN W. McWHORTER, JR.
June 11, 1986
MELBA HERRON RICHARDS
DON R. RICHARDS
GARY R. TERRELL
DULAN D. ELDER
ANN MANNING
HAND DELIVERED
Mr. John C. Ross, Jr.
City Attorney
CITY OF LUBBOCK
1625 - 13th Street
Lubbock, Texas 79401
Re: Contract to Purchase the Gray Farms
Dear John:
Enclosed please find an original and four copies of the
above -referenced Contract of Sale, dated June 9, 1986, all of
which have been fully executed by Sellers.
If this Contract is acceptable to the City, please secure
execution by an official of the City and return one fully executed
copy to us.
Sincerely,
McWHORTER, COBB AND JOHNSON
Y
Jack P. Driskill
JPD:jw
Enclosures
EXHIBIT "B"
STANDEFER & GRAY, INC. PROPERTY
TO BE SOLD TO CITY
PERSONAL PROPERTY:
1 Side Roll 1/4 mile Sprinkler Irrigation System
Various Flow Lines, Gated Pipe, Hydrants, Fittings
* 6 Zimmatic Circle Sprinkler Systems
3 Starnes Circle Sprinkler Systems
7 Irrigation Motors & Pumps
Repair Parts Misc. Irrig. Supplies
1 10kw Generator w/Wisconsin 40 Hp. on Trailer
1 Irrigation Booster Pump -Chrysler Engine w/Berkley
(No Pump)
1 Irrigation Booster Pump -Chrysler Motor on Trailer
(No Pump)
Various Irrigation Pumps w/Gear Head and Casing
* One (1) circle is leased from First National Leasing and Gray
is currently negotiating to -purchase this circle, and one (1)
circle is subject to EPA Sewage Research Agreement.
REAL PROPERTY: (specific descriptions attached)
Tract
1
633.683
acres
Tract
2
191.989
acres
Tract
3
53.811
acres
Tract
4
170.517
acres
TOTAL
1,0-50.000
acres
viill JJ PeGE OIJ
WARRANTY DEED
STATE OF TEXAS X
KNOW ALL MEN BY THESE PRESENTS:
COUNTY OF LUBBOCK X
That we, NAN H. BENSON, individually and as independent
executrix and trustee under the Last Will and Testament of George
E. Denson, Deceased, and 161ARION BENSON BLAKE, joined herein by her
husband, R. W. BLAKE, of the County of Lubbock, State of Texas, for
and in consideration of the sum of ONE MILLION TWO HUNDRED THOUSAND
AND N0/100 DOLLARS ($1,200,000.00), secured to be paid by STANDEFER
AND GRAY, INC., a Texas corporation, as follows:
All evidenced by said grantee's two (2) promissory notes
in the principal sum of $600,000.00, dated February 1,
1970, one payable to Nan H. Benson, individually and as
independent executrix and trustee under the Last Will and
Testament of George E. Benson, Deceased, or order, and one
payable to Marion Benson Blake, or order, each bearing
interest from date at the rate of 4% per annum for the
first five (5) years, and thereafter at the rate of 6% per
annum, each of said notes payable in thirty-five (35) annual
installments, commencing February 1, 1971, the first five (5)
installments to be in the amount of the accrued interest only
and commencing February 1, 1976, each annual installment on
each note to be in the amount of $40,000.00, except that the
thirty-fifth (35th) and final installment shall be for the
entire amount of the unpaid principal and interest then owing
on said notes, each of said notes providing that all sums
paid thereon shall be applied first to accrued interest and
then to principal, and each containing the usual provisions
for acceleration of maturity and 10% attorney's fees in case
of default. Said notes are secured by the vendor's lien
hereinafter reserved, and are also secured by a deed of trust
conveying to A. Doyle Justice, Trustee, the land hereinafter
described; said liens are of equal dignity as to each of
said notes;
have GRANTED, SOLD AND CONVEYED, and by these presents do
GRANT, SELL AND CONVEY unto the said STANDEFER AND GRAY, INC., a
Texas corporation, all that certain lot, tract or parcel of land
situated in the County of Lubbock, State of Texas, to -wit:
FIRST TRACT: A 633.683 acre tract of land out of Sections 9 and
18, Block S, G. C. & S. F. R. R. Co. Survey, Lubbock County,.
Texas, and being more particularly described as follows:
DEFENDANT'S
EXHIBIT
NO.
BEGINNING at an iron rod set in the South R.O.W. line of
Farm Road 835 and the West line of Section 18 and the East
line of Section 9, for the beginning corner of this tract,
whence the Northeast corner of Section 9 and the Northwest
corner of Section 18, Block S, bears North 0040' West 40.6
feet;
THENCE South 00 40' East along the East line of Section 9
and the West line of Section 18, 200.2 feet to a 1" iron
pipe;
THENCE North 89'19' East 408.7 feet to a 1" iron pipe;
THENCE North 00 40' West 201.27 feet to an iron rod set in
the South R.O.W. line of Farm Road 835;
THENCE North 89° 10' East along the South R.O.W. line of
Farm Road 835, 3745.77 feet to an iron rod set for the P.C.
of a curve to the right;
THENCE Southeasterly along a curve to the Right and the
South R.O.W. line of Farm Road 835, whose Radius is 1106.28
feet a distance of 1743.85 feet to an iron rod set for the
P.T. of said Curve;
THENCE South 00 31' East along the West R.O.W. line of Farm
Road 835, 2681.88 feet to an iron rod set for the Southeast
corner of this tract;
THENCE North 810 10' West 1671.0 feet to an iron rod;
THENCE North 00 40' West 1337.0 feet to an iron rod;
THENCE North 87° 39' West 1808.57 feet to an iron rod;
THENCE South 82° 24' West 1816.07 feet to an iron rod set
in the West line of Section 18 and the East line of Section 9;
THENCE South 00 40' East along the East line of Section 9
and the West line of Section 18, at 1626.73 feet pass a found
old Stone, continuing for a total distance of 1826.73 feet
to a 1" iron pipe set at a fence corner;
THENCE South 890 25' 40" West along a meandering fence line
3410.2 feet to a 1" iron pipe set at a fence corner, for
the Southwest corner of this tract;
THENCE North 00 45' West along a fence line 4160.8 feet to
a found 1/2" iron pipe in the South R.O.W. line of Farm Road
835, for the Northwest corner of this tract;
THENCE North 890 53' East along the South R.O.W. line of
Farm Road 835, 263.0 feet to a point;
THENCE South 840 24' 30" East along the South R.O.W..line
of Farm Road 835, 100.5 feet to a point;
-2 -
I
THENCE North 89' 53' East along the South R.O.W. line of
Farm Road 835, 900.0 feet to a point;
THENCE North 84' 10' 30" along the South R.O.W. line of Farm
Road 835, 100.5 feet to a point;
THENCE North 89' 53' East along the South R.O.W. line of
Farm Road 835, 700.26 feet to a point;
THENCE South 89' 25' East along the South R.O.W. line of
Farm Road 835, 1353.3 feet to the place of BEGINNING;
Containing 633.683 acres of land.
SECOND TRACT: A tract of land out of Sections 1, 4, 9, 10, 111&
14, Block S, G. C. & S. F. R. R. Co. Survey, Lubbock County, Texas,
and being more particularly described as follows:
BEGINNING at a 1h" iron pipe set in the West line of Section
10 and the East line of Section 1 for the beginning corner
of this tract, whence a found �" iron pipe and stone at the
Southwest corner of Section 10 and the Southeast corner of '
Section 1 bears South 0' 40' East 433.33 feet;
THENCE North 89' 18' East 4291.66 feet to a 1" iron pipe
set for a corner of this tract;
THENCE North 0' 40' West 158.33 feet to a 1" iron pipe set
for a corner of this tract;
THENCE North 89' 18' East 986.11 feet to a l" iron pipe set
in the East line of Section 10 and in the West line of
Section 9 for a corner of this tract; ,.
THENCE, South 89' 24' East 1867.11 feet to a 1" iron pipe
set for the Northeast corner of this tract;
THENCE South 0' 45' East at 591.66 feet pass the South
line of Section 9 and the North line of Section 14, contin-
uing for a total distance of 1,002.76 feet to a 1" iron pipe
set for the Southeast corner of this tract;
THENCE North 89' 24' west 1868.56 feet to a 1" iron pipe
set in the west line of Section 14 and the East line of
Section 11, whence the Northwest corner of Section 14 and
the Northeast corner of Section 11 bears North 0' 40' west
411.1 feet;
THENCE South 89' 18' West at 52.77.78 feet pass a 1" iron
pipe set in the West line of Section 11 and the East line
of Section 4, from this point the Northwest corner of Section
11 and the Northeast corner of Section 4 bears North 0'
40' West 411.1 feet; continuing for a total distance of
7479.28 feet to a 1" iron pipe set in the Northeast R.O.W. .
line of the P. & S F. R. R. Co. for the Southwest cdrner
of this tract;
-3-
THENCE North 390 53' 30" West along the P. & S. F. R. R.
Co. R.O.W. 530.43 feet to a 1" iron pipe set for a corner
of this tract;
THENCE North 890 18' East along the North line of Section
4 and the South line of Section 1, 450.8 feet to a 1" iron
pipe set for a corner of this tract;
THENCE North 0° 40' West 433.33 feet to a 1" iron pipe set
for a corner of this tract;
THENCE North 890 IS' East 2,086.11 feet to the place of
BEGINNING;
containing 191.989 acres of land.
THIRD TRACT: A tract of land out of Section 9, Block S, G. C. &
S.F.R.R. Co. Survey, Lubbock County, Texas, and being more parti-
cularly described as follows:
BEGINNING at a 1" iron pipe set in the East line of Section
9 for the Northeast and beginning corner of this tract, whence
the Northeast corner of Section 9 bears North 00 40' West
4157.6 feet;
THENCE South 00 40' East 311.1 feet to a 1" iron pipe set
for the Southeast corner of this tract;
THENCE South 880 17' 30" West 1218.15 feet to a 1" iron
pipe set for a corner of this,tract;
THENCE South 53° 14' 30" West 1223.1 feet to a 1" iron pipe
set for a corner of this tract;
THENCE North 890 47' West 1202.5 feet to a 1" iron pipe set
c
for the Southwest corner of this tract;
iV
THENCE North 00 45' West 1040.82 feet to a 1" iron pipe set
011
for the Northwest corner of this tract;
a
THENCE North 890 25' 400 East 3410.2 feet to the place of
c-
m
p7
BEGINNING;
Containing 53.811 acres of land. _
FOURTH TRACT: A tract of land out of Section 18, Block S, G. C. &
S. F. R. R. Co. Survey, Lubbock County, Texas, and being more
particularly described as follows:
o
N
BEGINNING at a 1" iron..pipe set in the West line of Section
C
18 for the Southwest and beginning corner of this tract,
Q�
whence the Northwest corner of Section 18 bears North 00
a
40' West 4468.7 feet;
m
THENCE North 00 40' West at 311.1 feet pass a 1" iron pipe
at the Northeast corner of a 53.811 acre tract, continuing
for a total distance of 2137.83 feet to an iron rod set for
the Northwest corner of this tract;
-4-
THENCE North 820 24' East 1816.07 feet to an iron rod set
for a corner of this tract;
THENCE South 870 39' East 1808.57 feet to an iron rod set
for a corner of this tract;
THENCE South 00 40' East 1337.0 feet to an iron rod set for
a corner of this tract;
THENCE South 810 10' East 1671.0 feet to an iron rod set in
the West R.O.W. line of F. M. Highway 835 for a corner of this
tract;
THENCE South 00 31' East along the West R.O.W. line of F. M.
Highway 835, 747.02 feet to a 1" iron pipe set for the South-
east corner of this tract;
THENCE North 670 38' West 920.5 feet to a 1" iron pipe set
for a corner of this tract;
THENCE South 890 28' 45" West 653.8 feet to a 1" iron pipe
set for a corner of this tract;
THENCE North 790 32' West 1754.0 feet to a 1" iron pipe set
for a corner of this tract;
THENCE South 790 30' West 725.4 feet to a 1" iron pipe set
for a corner of this tract;
THENCE North 76° 36' 45" west' 1025.8 feet to a 1" iron pipe
set for a corner of this tract;
THENCE South 230 17' West 796.4 feet to the place of
BEGINNING;
Containing 170.517 acres of land.
The above described land is hereby conveyed, subject to
the following;
(a) Taxes for 1970;
(b) Any valid subsisting oil, gas or mineral leases revealed
by the records in the office of the County Clerk of Lubbock County,
Texas;
(c) All outstanding interests in the oil, gas and other
minerals revealed by the records in the office of the County Clerk
of Lubbock County, Texas;
(d) Easements recorded in the office of the County Clerk of
Lubbock County, Texas, or visible on the ground.
MM
-►
1 `t
An undivided one-half (1/2) interest in the fence along the
South line of the above described real estate is not owned by the
undersigned, and is excluded from this conveyance.
TO HAVE AND TO HOLD the above described premises, together with
all and singular the rights and appurtenances thereto in any wise
belonging unto the said STANDEFER AND GRAY, INC., its successors
and assigns forever; and we do hereby bind ourselves, our successors,
heirs and assigns, executors and administrators, to warrant and for-
ever defend all and singular the said premises unto the said STANDEFER
AND GRAY, INC., its successors and assigns, against every person whom-
soever lawfully claiming or to claim the same or any part thereof.
i
But it is expressly agreed and stipulated that the vendor's
lien is retained against the above described property, premises and
improvements until the above described notes and all interest thereon
are fully paid according to their face and tenor, effect and reading,
when this deed shall become absolute.
It is understood and agreed between the grantors and grantee
as follows:
(a) Grantee shall have an option to terminate its liability
on said notes during February of 1975 by reconveying to the grantors,
their heirs, successors or assigns, all of the land included in this
sale, and by paying to the holders of said notes ONE HUNDRED THOUSAND
AND N0/100 DOLLARS ($100,000.00) cash for such privilege, after
having given the owners or holders of said notes thirty (30) days'
notice of its intention so to do, and by paying all interest to the
date of such reconveyance. The grantee shall also have an option
to reconvey, on or after February 1, 1980, all of the land herein -
above described, to the grantors, their heirs, successors or assigns,
in full cancellation of the unpaid balance owing on said notes, after o
}.=
having paid all installments due on said notes to that date, including ?\
G
N
the installments due on February 1, 1980, plus THREE THOUSAND FIVE
HUNDRED FIFTY AND N0/100 DOLLARS ($3,550.00) additional for each
installment on each note which fell due between February 14 1975,
and the date of such reconveyance, plus accrued' interest to such date.
i
(b) If any of the above described land is sold by the grantee,
/ the sales price of said land shall be approved in advance by the
owners or holders of said notes, and all of such sales price shall
be paid over to such owners or holders for application to the prin-
cipal of said notes.
(c) Grantee shall also have the option, which it may exercise
five (5) times at its election during the life of said notes after
February 1, 1980, to postpone that portion of the annual installment
to -be applied to principal of each note (not to exceed $12,500.00)
for payment with the final installment owing on said note, but if
such option is exercised, and the grantee thereafter elects to recon-
vey said land to the holders of said notes in cancellation of the
balance owing thereon, pursuant to any of the options available to
it, the grantee shall pay to the holders of said notes,simultenaously
with such reconveyance, the postponed installments of principal,
together with all accrued interest to the date of such reconveyance.
(d) If, pursuant to any option granted to it hereunder, the
grantee shall reconvey said lands to the owners or holders of said
notes in cancellation thereof, it shall, upon demand by such owners
or holders, drain all lakes, ponds and reservoirs, if any, constructed
by it, but shall leave intact any dams, levees and other improvements
on said land, whether now existing or built by the grantee, its
successors or assigns.
(e) It is further agreed that in the event the irrigation of
the above described land by the use of effluent water emanating from
the treatment plant of the City of Lubbock becomes illegal or
_o
f"L
CT
s
AI
00
is declared a nuisance through no fault of the grantee, its successors
or assigns, or if such effluent water becomes unavailable or reduced
to the extent that the continued irrigation of such land by such
methods is no longer feasible (such inability or reduction being due
to action or circumstances over which the grantee, its successors or
assigns, have no control), the grantee, its successors or assigns,
may terminate its liability on said note by paying the accrued inter-
est thereon and conveying said land (except any part thereof which
has been, with consent of the owner and holder of said note, conveyed
to others), to the owners or holders of said notes.
(f) Grantee shall have the non -cumulative privilege of making
additional payments on the principal of said notes during the month
of February of any year, not exceeding one -fifth (1/5) of the original
principal sum, without penalty, but with interest to the date of such
payment.
(g) It is agreed that all payments, postponements of principal,
reconveyances and other transactions affecting said indebtedness
shall be equal as between said notes to the end that the unpaid
balances owing on said notes shall remain equal at all times.
IN WITNESS WHEREOF, we hereunto sign our names this G• day
of May, 1970.
_ C
NAN H. BENSON, individually and as
independent executrix and trustee under
the Last Will and Testament of
George E. Benson, Deceased
MARION PENSON BIAA
R. W. BLAKE
C
0
l V
rn
f�
STATE OF TEXAS Z
COUNTY OF LUBBOCK Z
BEFORE ME, the undersigned authority, on this day personally
appeared NAN H. BENSON, known to me to be the person whose name
is subscribed to the above and foregoing instrument, and acknow-
ledged to me that she executed the same for the purposes and
consideration therein expressed, and in the capacities therein
stated,
UNDER MY HAND AND SEAL OF OFFICE this day
of. �,IVEN
J
171 NOTARY PUBLIC, LUBBOCK COUNTY TEXAS
STATE OF TEXAS Z
COUNTY OF LUBBOCK X
BEFORE ME, the undersigned authority, on this day personally
appeared MARION BENSON BLAKE and husband, R. W. BLAKE, known to
me to be the persons whose names are subscribed to the above and
foregoing instrument, and acknowledged to me that they executed
the same for the purposes and consideration therein expressed.
,GIVEN UNDER MY HAND AND SEAL OF OFFICE this day
of.
r
NOTARY PUBLIC, LUBBOCK COUNTY TEXAS
-9-
Uk.a 1:11.1, OF aw Li: MARTIN St.G.—, Co., O.11—
THE STATE OF TEXAS, � KNOW ALL MEN BY THESE PRESENTS:
cOt-N•fi5- OF1
That : , -,;, , d/b/a/ Starnes Erection Company
of the County of ad and State aforesaid, for and in consideration of the
sum of _r;.. .':/100 - - - - - - - - - - - - - - - - - - - - -DOLLARS,.
-ol,ether •ri t' of er Tood; and vaN1abl cotys�derdation, the .
-eeei��t o. all oiu whi�cn is nereby ac now a ge ,
to
in hand paid by :.�•.:e: G .A'Y and JACK P. DRISKILL, as Independent Executor
of the Estate of U ly W. Cray, Deceased,
the receipt of allich is hereby acknowledged, have BARGAINED, SOLD and DELIVERED, and by
and JACK P. DRISKILL, as Independent Executor of the Estates of Lily W. Cray, Deceased,
these presents do BARGAIN, SELL and DELIVER, unto the said J . FRA�4K GRA i /one certain
j'jVo: irrigation machine described as hereinbelow set out,
of the County of ",ubbock and State of Texas
the following described personal property in ale County, Texas, to -wit:
ac:•: center pivot irrigation machine is a SEGO experimental,
to.:er :yodel _:o. 3 -001.
Such mac::ine will be installed on the Standefer & Gray Farms
Lubbock ^ounty, Texas, within sixty days from the date of
this bill of sale.
.s a arz of the consideration of the purchase price of this
maciii c, .rantee :herein agrees to ,maintain performance records
c:-. suc . n.achine as follows:
'•.11 maintenance re_uirements
2. .'ost of power for operation
:.ist of all re:iuired replacement parts
U. :ate and cause of all breakdowns
;. ::eekly breakdown of water distribution efficiency
...is _nforriat:.on wi11 ue furnished for a period of two nears,
and durinrr such period of time, Grantor will be given free
access to such machine for tests and repairs.
\n l do hereby hind myself and my heirs, executors, administrator -
and assigns, to r4wever WARRANT and D!.FE4ND the titlo to the said property unto the said
and JACK P. DRISKILL, as successors
- _ •-.A : heirs, executors, administrators
Independent Executor of the Estate of Lily W. Gray, Deceased, their
and assigns, against every person whomsoever lawfully claiming, or to claim the same, or any part
t}:ereof.
WITNESS my hand at T:ubbock . Texas, this 26th day of
arc:. A. D. 19 6=
S:'AW"ES EI2FC'PION CONiPA'�
KSSES : r
t � f
Tract No. 1
114.34 acres out of the West one-half of Survey 9, Block S,
and 85.66 acres out of the East Half of Survey 10, Block S,
Lubbock County, Texas, the 114.34 acres being the North part
of a 200 acre tract out of the West one-half of Survey 9,
Block S, fully described in a deed to V. V. Clark recorded
in Vol. 234, page 171 of the Deed Records of Lubbock County,
Texas, and the 85.66 acres being the N.E.. part of a 572 acre
tract out of Survey 10, Block S, fully described in the deed
to V. V. Clark, said 200 acres partly in Survey 10, and partly
in Survey 9, Block S is particularly described as follows:
BEGINNING at a point, the N.E. corner of Survey 10, Block S
which is also the N.W. corner of Survey 9, Block S.
THENCE S. 89' 24' E. in the right-of-way of an East-West
paved County Road, 670.00 varas to a point in the right-of-
way, the N.E. corner of the 200 acre tract of land described
in the deed to V. V.. Clark, and the N.E. corner of this tract.
THENCE S. 0' 40' E., along the East line of said 200 acre
tract, and along the fence line on this line, 39 feet south
of the center line strip in the pavement is a 1/2 inch iron
pipe at a fence corner, in all a distance of 963.41 varas
to a 3/4 inch iron pipe in the fence line, and in the East
line of said 200 acre tract., the S.E. corner of this tract.
THENCE N. 89' 24' W. 670.00 varas to a 3/4 inch iron pipe in
the East line of Survey 10, which is also the west line of
Survey 9-Block S.
THENCE N. 39' 11' W. 511.2 varas to a 3/4 inch iron pipe, the
S.W. corner of this tract.
THENCE N. 00 40' W. 906.41 varas to a point in the middle of
the East-West paved road right-of-way, the N.W. corner of
this tract, which is in the north line of Survey 10, Block S,
and there is a 3/4 inch iron pipe in the west line of this
tract at a fence corner 44.00 feet south of the center line
stripe of the paved road.
THENCE S. 89' 18' E., along the north line of Survey 10,
Block S, 156.2 varas to a point, the Ell corner of Survey 10,
Block S, and the Ell corner of this tract.
THENCE N. 0' 40' W. 57 varas to a point, a corner of Survey 10,
Block S, and a corner of this tract.
THENCE S. 89' 18' E., along the most north line of Survey 10,
Block S, a distance of 355.0 varas to the PLACE OF BEGINNING,
and containing 200 acres of land, more or less.
Tract No. 2
153.93 acres out of Sections 9 and 10, Block S, G.C.LS.F.
R. R. Co., Cert. 3/504, described as follows:
BEGI14NI14G at a 3/4" galvanized iron pipe in N-S fence, the
SE corner of a 200 acre tract previously conveyed by deed
from Dr. V. V. Clark and in the East line of Tract No. 1
as recorded in Volume 234, Page 171, of. the Lubbock County
Deed Records, and being the NE corner of this survey;
THENCE S 0 deg. 40 min. E 728 varas to a fence corner post,
the SE corner of said Tract No. 1, and the SE corner of this
survey;
THENCE 17 89 deg. 24 min. W 670 varas to a point in the West
line of Sec. 9, Block S, said point being 213 varas N 0 deg. !
40 min. W of the SW corner of Sec. 9, the common corner of
Sections 9 and 10 of Block S;
THENCE 89 deg. 11 min. W 355 varas to a point, the Ell corner
of Tract No. 3 as described by deed recorded on Page 171 of
volume 234 of the Lubbock County Deed Records, an Ell corner
of'this survey;
THENCE S 0 deg. 40 min. E 57 varas to a point the Southerly
Ell corner of said Tract No. 3, and being an Ell corner of
this survey;
THENCE N 89 deg. 11 min. W 156.2 varas to a 3/4" iron pipe
set in E-W fence, in the South line of Tract No. 3 herein -
above described, the SW corner of this survey;
THENCE 21 0 deg. 40 min. W 184:9 varas to a 3/4" iron pipe,
the SW corner of above said 200 acre tract and the NW corner
of this survey;
THENCE S 89 deg. 11 min. E 511.2 varas to a 3/4" iron pipe
in the West line of Section 9, Block S, a corner of this
survey; -
THENCE S 89 dea. 24 min. E 670 varas to the PLACE OF BEGINNING.
Both of the above Tracts 1-2 are SUBJECT TO that certain mineral
interest reserved by the Grantor in a Deed from General American
Life Ins. Co. to Roy Hise, et ux, dated September 29, 1937, recorded
in Vol. 217, Page 182, Deed Records, Lubbock County, Texas, and
further SAVE AND EXCEPT that certain mineral interest reserved by
the Grantors in a Deed from V. V. Clark, .et al to J. Frank Gray,
et al, dated January 31, 1951, recorded in Vol. 432, Page 365, Deed
Records of Lubbock County, Texas, and FURTHER SUBJECT TO that certain
royalty interest reserved by Jimmie L. Standefer in a Deed from
Jimmie L. Standefer and Dorothy Sue Clendenin to Wylie Hudman and
Dewey Hukill dated July, 1966, and recorded in Vol. 1126, page 164,
Deed Records of Lubbock County, Texas.
Tract No. 3
That certain tract or parcel of land BEGINNING in the center
of East-West Park Road being Southeast corner of West one half
Section 5, Block S, situated in Lubbock County, Texas;
THENCE North 557 varas to stone set under fence the Northeast
corner of Newman Boles Tract described in Vol. 338, page 95,
Deed Records of said County;
THENCE West 640 varas to point in North line of Newman Boles
tract;
THENCE South 152 varas along water line of lake to point;
THENCE East 32 varas to point South of wet lake;
THENCE South 398.4 varas to point in center line of Public
Road;
THENCE South 890 23' East 612 varas to PLACE OF BEGINNING,
being 60.78 acres, and being same land described in Vol. 583,
page 586, Deed Records, said County, reference to which is
made, and subject to reservations set out therein;
Boles reserved one-half (1/2) of the oil, gas, and other minerals
but expressly does not include caliche or ground water SUBJECT TO
an undivided 1/32 royalty reserved by Jimmie L. Standefer as
described in Deed recorded in Vol. 583, page 586, Deed Records of
Lubbock County, Texas.
By Warranty Deed in October, 1968, J. Frank Gray and Wylie Hudman
acquired the remaining undivided one-half (1/2) interest in the
minerals from Lura Barton Boles.. This one-half (1/2) interest is
not subject to the 1/32 royalty of Standefer.
y � }
A tract or parcel of land out of the Southeast corner of
Section 1, Block B, Lubbock County, Texas, BEGI14NING at a
point 3774 feet South of Northeast corner of said Section 1;
THENCE West 1176 feet to point;
THENCE South 1427 feet to point;
THENCE East 1176 feet to point;
THENCE North 1427 feet to point, containing 38.525 acres and
being the same land described in Deed recorded in Vol. 448,
page 488, Deed Records said County, being a conveyance from
City of Lubbock to J. Frank Gray, et al, and subject to
mineral reservations set out therein.
SUBJECT TO an undivided one-half (1/2) interest in oil, gas, and
other minerals reserved by the City of Lubbock in Warranty Deed
recorded in Vol. 448, page 488, Deed Records of Lubbock County,
Texas, and an undivided 1/32 royalty reserved by Jimmie L. Standefer
as described in Deed recorded in Vol. 583, page 586,' Deed Records of
Lubbock County, Texas.
I
Tract No. 5
All of Section 11, Block B, Lubbock County, Texas, SAVE AND EXCEPT:
(1) 38.525 acre tract conveyed to City of Lubbock described
by metes and bounds in Deed recorded in Vol. 453, Page
228, Deed Records of said County;
(2) 10.827 acre tract owned by Clyde H. Clark and described
in Partition Deed recorded in Vol. 1122, Page 259,
Deed Records of said County; and
(3) 15.12 acre tract now owned by J. Frank Gray et ux, as shown
by Warranty Deed recorded in Vol. 598, Page 661, Deed
Records of Lubbock County, Texas.
SUBJECT TO an undivided one-half (1/2) interest in the oil, gas, and
other minerals reserved by J. L. Birdwell and wife, Cordie Birdwell,
described in Warranty Deed recorded in Vol. 360, Page 247, Deed Records
of Lubbock County, Texas, and SUBJECT TO an undivided 1/32 royalty
reserved by Jimmie L. Standefer as described in Deed recorded in Vol.
583, Page 596, Deed Records of Lubbock County, Texas. .
Tract No. 6
The South 150 acres of land out of the 299.1 acre tract of
land located in Section 10, Block S, Lubbock County, Texas,
which is described by metes and bounds as follows:
BEGINNING at a point which bears North 89° 18' East a dis-
tance of 1118.2 feet from the Northwest corner of Section
10, Block S;
THENCE South 00 45' 42" East along the West line of the
Frank Gray tract, a distance of 4749.5 feet to the South-
west corner of the Frank Gray tract;
THENCE South 890 18' West a distance of 2747 feet to a
point, the Southwest corner of this tract; '
THENCE North 4749.5 feet to the PLACE OF BEGINNING.
The tract herein described is the South 150 acres of 299 acre
tract conveyed to Doyce M. Clark by instrument recorded in
Vol. 846, page 335, Deed Records of said County.
SUBJECT TO a 1/16 royalty reserved by Great American Life Insurance
Company in Deed recorded in Vol. 217, page 181, Deed Records of
Lubbock County, Texas.
A one acre tract or parcel of land lying and situated in
Lubbock County, Texas, and being more particularly
described as follows:
BEGINNING at a point 1090.2 feet East and 20.0 feet South
of the Northwest corner of Section 10, Block S for the
beginning corner of this tract;
THENCE South 89 deg. 18 min. West 272.25 feet to the
Northwest corner of this tract, a point marked with a
1/4" iron rod;
THENCE South 0 deg. 40 min. East 160 feet to the Southwest
corner of this tract, a point marked with a 1/4" iron rod;
THENCE North 89 deg. 18 min. East 272.25 feet to the South-
east corner of this tract, a point marked with a 1/4" iron
rod;
THENCE North 0 deg. 40 min. West 160 feet to the Northeast
corner of this tract, a point marked with a 1/4" iron rod
and being the PLACE OF BEGINNING.
And also including all interest owned by the Estate of
V. V. Clark to the said land to the North and East of the
projection of the West line of the above described land to
50th Street (F.M. Highway 835) and to the West of the
projection of the East line of the, above described land to
50th Street (F.M. Highway 835).
SUBJECT TO any mineral conveyances or reservations of record, and
any right of way deeds of record across said land.
The tract herein described is the tract conveyed to Gray and Hudman
by instrument recorded in Vol. 1172, page 514, Deed Records, Lubbock
County, Texas.
Tract No. 8
The Northwest quarter (NW/4) of Section Fourteen (14),
Block I, Certificate 360, T. T. Ry. Co., Lubbock County,
Texas.
SUBJECT TO a 1/16 non -participating royalty interest reserved b�
American National Bank of Austin, Texas, Trustee, by instrument
recorded in Vol. 377, page 328, Deed Records of said County.
Tract No. 9
55.634 acres of land, being 24.54 acres out of Sec. 5-1/2,
Block S, Lubbock County, Texas, and 31.094 acres out of
Sec. 5, Block S, Lubbock County, Texas.
BEGINNING at a point 642.29 feet North of Southwest corner
of Sec. 5-1/2, Block S, Lubbock County, Texas;
THENCE North 875.77 feet to a point;
THENCE East at 968.6 feet past the West line of Sec. 5,
Block S. continuing for a total distance of 1821.62 feet
to a point;
THENCE South 422.22 feet to a point;
THENCE East 88.89 feet to a point;
THENCE South 00 10' 44" East 1086.60 feet to a point;
THENCE West 933.26 feet to a point being the Southwest corner
of Sec. 5, Block S;
THENCE North 00 51' West 361.85 feet to a point;
THENCE South 890 26' West 719.6 feet to a point;
THENCE North 280.44 feet to a point;
THENCE South 89° 26' West 261.1 feet to the PLACE OF BEGINNING.
Containing 55.634 acres of land, more or less.
LESS AND EXCEPT that certain tract conveyed to Raymond H. Furr by
J. Frank Gray, et al, dated July, 1974, of record in the Deed Records
of Lubbock County, Texas. Said tract measuring approximately 158
feet by 261.1 feet.
� y �
M.. I- 1 A
The North 149.1 acres, more or less, of the following des-
cribed land situated, lying and being in Lubbock County,
Texas, to -wit:
A 299.10 acre tract of land located in Section 10, Block S,
Lubbock County, Texas, being described -by metes and bounds
as follows:
BEGINNING at a point which bears North 89*18' East a dis-
tance of 1,118.20 Feet from the Northwest corner of Section
10, Block S;
THENCE North 89*18' East a distance of 2,739.00 Feet to the
West line of a tract of land previously conveyed by V. V.
Clark to Frank Gray;
THENCE South 004514211 East along the West line of the Frank
Gray Tract a distance of 4749.50 Feet to the Southwest
corner of the Frank Gray Tract;
THENCE South 89018' West, a distance of 2747.00 Feet;
THENCE North 0040' west, a distance of 4749.50 Feet to the
PLACE OF BEGINNING.
Tract No. 11
All that certain tract of land in Lubbock County, Texas,
being described by metes and bounds as follows:
15.12 acres of land out of the South part of Section ll,.
Block B, Indianola R.R. Co., Certificate 16/274,
BEGINNING at a 1" iron pipe set for the SE corner of this
tract in North line of Farm Road No. 835, from which the
SE corner of Section 11, Block B bears South 59 feet and
East 2763.6 feet,
THENCE N. 89057' W. 729 feet to a 1" iron pipe set in
North line of Farm Road No. 835;
THENCE N. 84012' W. 100.5 feet to a 1" iron pipe set in
North line of Farm Road No. 835;
THENCE N. 89037' W. 938 feet to a 1" iron pipe set in North
line of Farm Road No. 835;
THENCE N. 0003' E. 364.8 feet to a 1" iron pipe set for the
NW corner of this tract;
THENCE S. 89057' E. 1767 feet to a 1" iron pipe set for the
NE corner of this tract;
THENCE S. 0003' W. 380 feet to the PLACE OF BEGINNING.
Tract No. 12
All that certain tract and parcel of land situated in
Lubbock County, Texas, described as follows, to -wit:
The East One -Half (E/2) of Survey 14, Block I, Abstract
742, as shown by Plat prepared by Sylvan Sanders, Licensed
Land Surveyor, Lubbock County, Texas, said property being
more fully described in two deeds from American National
Bank of Austin, Trustee, to A. L. Cone, both of said deeds
being dated February 21, 1949, and one of said deeds
recorded in Vol. 382, page 89, and one recorded in Vol.
382, page 92 of the Deed Records of Lubbock County, Texas.
SUBJECT TO a reservation of the 1/16 non -participating
royalty interest set out in two deeds dated February 21,
1949, recorded in Vol. 382, page 89, and Vol. 382, page
92, respectively, Deed Records of Lubbock County; and
RESERVATION of an undivided 1/2 interest in all oil, gas
and other minerals, with rights of ingress and egress for
exploration thereof set out in deed from A. L. Cone and
wife to James Lynn Jones dated February 19, 1970, such
reservation being charged with 1/2 of such royalty reser-
vation.
Lubbock. Texas 79401
a i /
568,11
vet Cis - rc_ � V
STATE OF TEXAS
COUNTY OF LUBBOCK
RIGHT -WAY EASEMEI4T
GF932,740
KNOW ALL MEN BY THESE PRESENTS:
That STONEVILLE PEDIGREED SEED COMPANY, a Mississippi
corporation, hereinafter referred to as Grantor, for and in con-
sideration of the sum of ONE. DOLLAR ($1.00), and other good and
valuable consideration to Grantor in hand paid by JOSEPN FRANKLIN
GRAY, being one and the same as J. FRANK GRAY, individually and
as Trustee under the Will of Lily Wilkins Gray, Deceased, and
JACK P. DRISKILL, Independent Executor of the Estate of Lily
Wilkins Gray, Deceased, hereinafter called Grantee, the receipt of
which is hereby acknowledged, does hereby grant, sell and convey
unto said Grantee, his heirs and assigns, a right-of-way and
easement
BEGINNING at the Southwest corner of a 317.924 acre tract
of land situated in the North part of Section 20, Block
S and the South part of Section 3, Block I, and being all
of Tract 8 of the A. H. Baer Estate, as said tract is
further described in that certain Warranty Deed of even
date herewith wherein Joseph Franklin Gray, individually
and as Trustee under the Will of Lily Wilkins Gray,
Deceased, and Jack P. Driskill, Independent Executor of
the Estate of Lily Wilkins Gray, Deceased, are Grantors
and Stoneville Pedigreed Seed Company, a Mississippi
corporation, is Grantee, reference to which is made for
all purposes, a 40 foot easement being 20 feet on either
side of the followina described center line:
THENCE N 89040125" E 23.4 feet;
THENCE 14 0026'40" W 1,507.5 feet;
THENCE 14 550 35'17" E 506.1 feet;
THENCE N 360018 E 825.9 feet
To a point in the North line of -the tract,
to construct, maintain, operate, repair, or replace an irrigation
pipeline under and through the above described property.
The Grantor's use and enjoyment of said premises shall not hinder,
conflict, or interfere with Grantee's rights hereunder, and no
building, structure, or reservoir shall be constructed upon, under,
or across said easement without Grantee's prior written consent.
This grant shall carry with it the right of ingress and egress to and
from said land with the right to use existing roads for the purpose
Of constructing, inspecting, repairing and maintaining said pipeline
and the right of removal or replacement of the same with either like
or differbnt size pipe, either in whole or in part. Grantee shall
upon permanent abandonment of the right-of-way and removal of all
lines and other improvements constructed thereon, execute and record
a recunveyance and release.
TO HAVE AND TO HOLD the above described rights and easements, together
with any other rights necessary to -operate and maintain a pipeline
under the above described premises unto the said Grantee, his heirs
and assigns.
Grantee shall bury all pipelines to a sufficient depth so as not to
interfere with cultivation of the soil.
Grantee shall have the right to relocate said irrigation pipelines
upon the 317.924 acre tract described and referred to above with the
prior written consent of Grantor; said consent from Grantor shall
not be unreasonably withheld.
The Grantor represents and warrants that it is the owner in fee
simple of the land above described, subject to outstanding mortgages,
if any, now on record in said County.
This right-of-way grant contains all the agreements and stipulations
between the Grantor and Grantee with respect to the granting of said
easement, and the same shall insure to the benefit of and be binding
upon the Grantor and Grantee and their respective heirs, successors
and assigns.
WITNESS THE EXECUTION HEREOF the day of February, 1980.
STONEVILLE PEDIGREED SEED COMPANY
Acel er, `r.,,
Vice —President
STATE OF TEXAS §
§
COUNTY OF LUBBOCK §
BEFORE ME, the undersigned authority �fOIS�ILLE"�E Eg DyCOMPANY
Texas, on this day personally appeared . g.E tt. WALKER_ .rx V cP ofJ
known to me to be the person and officer whose name is subscribe to
the foregoing instrument and acknowledged to me that the same was
the act of the said.STONEVILLE PEDIGREED SEED COMPANY, a Mississippi
corporation, and that he executed the same as the act of such
corporation for the purposes and consideration therein expresses,
and in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of
February, 1980.
r • Z. wo 14 '{'fi�3YAlAKE
!� �••��� }?ilk (eK
Seal
v � J
Notary Public in and for
Lubbock County, Texas.
SUIc 60 fbm
COUNTY OF LUBBOCK
1 V A —** IW 1�41.nn...t w PJJD W Y
yr d r A, tl.. ■.wrd 1..by.. Md .r dft
WORM J.dr Ydwi. Md P.... d tlr 4CCIC{ fd
3 a 2p 11 UU
L.ba.d
`"& Cv/ 7— r w..e.d M— M .%
MAP,
MAR s 1980
=Low cum
°Oa ur = 000"M N"
EXHIBIT "A"
GRAY PROPERTY TO BE SOLD TO CITY
PERSONAL PROPERTY:
All right, title and interest in and to the following
described personal property:
One (1) Starnes center pivot irrigation machine, eight tower
Model No. 8TG-001 (Bill of Sale from Starnes, dated March 26,
1985, attached);
Any and all flow lines, gated pipe, hydrants and fittings
located upon any of the real property hereinafter described
in this Exhibit;
Any and all booster pumps located upon any of the real prop-
erty hereinafter set forth in this Exhibit;
Any and all irrigation motors and pumps located upon the real
property hereinafter described in this Exhibit; and
Any and all fuel storage tanks located upon any of the real
property hereinafter described in this Exhibit, subject to
rights of suppliers of fuel.
REAL PROPERTY: (specific descriptions attached)
Tract
1
200.00
acres
Tract
2
153.93
acres
Tract
3
60.78
acres
Tract
4
38.525
acres
Tract
5
575.528
acres
Tract
6
150.00
acres
Tract
7
1.00
acre
Tract
8
160.00
acres
Tract
9
55.634
acres
Tract
10
149.1
acres
Tract
11
15.12
acres
Tract
12
320.00
acres
TOTAL 1,879.617 acres
Right -of -Way Easement across Section 20, Block S, and the
South part of Section 3, Block I.
EXHIBIT "C"
AGREEMENTS WITH CITY
All of the following described agreements with CITY will be
assigned to CITY or modified or terminated, in whole or in part,
at CITY's option, at closing, to -wit:
Addendum to Lease Agreement between CITY and S & G, dated
August 14, 1980, amending Lease Agreement, dated May 1, 1968,
between CITY and S & G.
Water Lease Contract between Hudman & GRAY and CITY, dated
May 1, 1968, concerning water wells drilled by CITY.
Options granted by Hudman & GRAY to CITY, dated May 1, 1968.
Sewage Effluent Supply Contract, dated August 13, 1980,
between S & G and LCC Institute of Water Research, as
modified by Agreement, dated March 15, 1982, between Vladic
Corporation, S & G, LCC Institute of Water Research and GRAY.
Agreement concerning the rights of CITY to maintain a storage
tank for sewage effluent, executed in approximately 1958.
It is understood that all of the above -referenced agreements
are interrelated and subject to the Lease Agreement, dated
March 1, 1968, between CITY and S & G, and that the May 1, 1968,
Lease Agreement provides that it shall terminate upon the CITY
acquiring the land herein being acquired by CITY pursuant to this
Contract.
AGREEMENTS WITH OTHER PARTIES
Research Lease between LCCIC and GRAY, et al, dated May 30,
1978 (Tracts 1-9).
Agreement with Environmental Protection Agency concerning
sewage effluent research.
Agricultural Lease between S & G, as Tenant, and GRAY, as
Landlord, covering 1,879 acres. This Agricultural Lease is
to be terminated at closing.
Lease on two (2) acres out of the southeast corner of Section
14, Block I, with Harold Markham, as Tenant, dated March 7,
1978, and subsequently assigned to Jackie Cox, as Tenant, on
November 1, 1979.
t
c
With respect to the following described oral agreements with
West Texas Pavers, Commercial Concrete, and Williams and Peters,
SELLERS warrant that each agreement is month -to -month and may be
terminated by SELLERS, and by CITY, as purchaser, upon thirty (30)
days' prior notice to the tenant:
West Texas Pavers Lease for hot mix plant (oral).
Commercial Concrete Lease for hot mix plant (oral).
Caliche sales to Williams & Peters (oral - including right to
remove all caliche crushed to date of sale).
EXHIBIT "C" - Page 2
EXHIBIT "D"
LIENS ON REAL PROPERTY TO BE SOLD
1. 1,050 acres owned by S & G is subject to the following liens:
1982, 1983, 1984p, 1985 and 1986 ad valorem taxes.
Benson Note: $600,000.00 Note, dated February 1, 1970, from
Standefer & Gray, Inc., payable to Nan H. Benson in partial
payment for four tracts of land out of Section 1, 4, 9, 10,
11, 14 and 18, Block S, G.C. & S.F. R.R. Co. Survey, Lubbock
County, Texas, which four tracts are fully described in a
warranty deed dated May 6, 1970, and recorded at Vol. 1236,
Page 613, of the Deed Records of Lubbock Country, Texas.
Blake Note: $600,000.00 Note, dated February 1, 1970, from
Standefer & Gray, Inc., payable to Marion Benson Blake in
partial payment for four tracts of land out of Section 1, 4,
9, 10, 11, 14 and 18, Block S, G.C. & S.F. R.R. Co. Survey,
Lubbock County, Texas, which four tracts are fully described
in a warranty deed dated May 6, 1970, and recorded at Vol.
1236, Page 613, of the Deed Records of Lubbock Country,
Texas.
SBA Note: $156,000.00 Note, dated December 17, 1970, se-
cured by 1,050 acres. Said Note is secured by a Deed of
Trust, recorded in Vol. 744, Page 612, of the Deed of Trust
Records of Lubbock County, Texas.
SBA Note: $144,900.00 Note, dated August 20, 1980, secured
by a Deed of Trust on 1,050 acres, recorded in Vol. 765, Page
966, Deed of Trust Records of Lubbock County, Texas.
FNB Lien: Super Priority Lien granted to First National
Bank at Lubbock by Bankruptcy Court Order dated April 8,
1985.
2. 1,879 acres owned by Gray is subject to the following liens:
1982, 1983, 1984, 1985 and 1986 ad valorem taxes.
Federal Land Bank Note: $228,000.00 Deed of Trust Note as
described in Deed of Trust, recorded in Vol. 597, Page 60,
Deed of Trust Records of Lubbock County, Texas, dated March
3, 1975, from J. Frank Gray and wife to Federal Land Bank of
Texas, secured by East One -Half (E/2) of Survey 14, Block I,
Lubbock County, Texas (Tract 12 of Exhibit "A").
Kent Clark Note: $62,622.00 Deed of Trust Note as described
in Deed of Trust, recorded in Vol. 660, Page 294, Deed of
Trust Records of Lubbock County, Texas, dated June 6, 1977,
payable to Nona R. Mitchell, Executrix and Trustee of the
Kent Clark Trust under the Will of Doyce M. Clark by J. Frank
Gray and J. E. Hancock, in annual installments of $6,497.00
principal and interest at the rate of 8.25% per annum until
paid, secured by the North 149.1 acres out of a 299.10 acre
tract in Section 10, Block S, of Lubbock County, Texas (Tract
10 of Exhibit "A").
Carl Clark Note: $62,622.00 Deed of Trust Note as described
in Deed of Trust, recorded in Vol. 660, Page 291, Deed of
Trust Records of Lubbock County, Texas, dated June 20, 1977,
payable to Nona R. Mitchell, Executrix and Trustee of the
Carl Clark Trust under the Will of Doyce M. Clark by J. Frank
Gray and J. E. Hancock, in annual installments of $6,497.00
principal and interest at the rate of 8.25% per annum until
paid, secured by the North 149.1 acres out of a 299.10 acre
tract in Section 10, Block S, of Lubbock County, Texas (Tract
10 of Exhibit "A").
Doyce Clark Note: $56,250.00 Promissory Note as described
in Deed, recorded in Vol. 1152, Page 461, Deed Records of
Lubbock County, Texas, executed by Standefer & Gray, Inc. and
payable to Henry W. Mitchell as Trustee under the Will of
Doyce M. Clark, dated February 3, 1967, and assumed by Gray
and Hudman on January 12, 1968, as recorded in Vol. 1162,
Page 27, of the Deed Records of Lubbock County, Texas. Said
Note is payable in twenty (20) annual installments of
$2,812.50 principal plus accrued interest at the rate of 6%
per annum. Final payment is due on January 15, 1987.
Secured by South 150 acres out of a 299.10 tract in Section
10, Block S, Lubbock County, Texas (Tract 6 of Exhibit "A").
Connecticut General Note: $52,000.00 Deed of Trust Note as
described in Deed of Trust, recorded in Vol. 565, Page 987,
Deed of Trust Records of Lubbock County, Texas, payable to
Connecticut General Life Insurance Company by J. Frank Gray
and Wylie Hudman and wives; twenty (20) annual installments
of $2,600.00 principal plus accrued interest at 8*% per
annum; first payment due March 1, 1974; last payment due
March 21, 1993. Secured by Northwest Quarter (NW/4) of
Section 14, Block I, Lubbock County, Texas (Tract 8 of
Exhibit "A").
EXHIBIT "D" - Page 2
Clendenin Note: $338,102.00 Deed of Trust Note as described
in Deed of Trust, recorded in Vol. 454, Page 453, of the Deed
of Trust Records of Lubbock County, Texas, dated July 25,
1966, from Wylie Hudman and Dewey Hukill and wives, payable
to the order of Jimmie L. Standefer and Dorothy Sue Clendenin,
secured by Tracts 1 through 5, inclusive of Exhibit "A",
which Deed of Trust Note was assumed by J. Frank Gray and
wife, Lily W. Gray, but such assumption was limited to ten
(10) percent by agreement of Wylie Hudman on June 6, 1977.
Federal Estate Tax Lien: Notice of Federal Tax Lien under
Internal Revenue Laws, dated May 21, 1986, in the amount of
$156,377.13 for Tax Period Ended 12/05/79 in the Estate of
Lily W. Gray, Deceased (copy attached).
First National Bank D/T Lien: Deed of Trust covering 1,879
acres of land from Gray to First National Bank at Lubbock,
dated January 1, 1985, securing all debt now owing or
hereafter incurred including S & G Notes dated January 1,
1985, for $213,983.00 and $478,553.00 and J. Frank Gray Note
dated January 1, 1985, for $280,000.00 and given in renewal
of Deed of Trust dated April 9, 1984, recorded in Volume 889,
Page 763, Deed of Trust Records of Lubbock County, Texas.
EXHIBIT "D" - Page 3
EXHIBIT "J"
LAND OWNED BY STANDEFER F, GRAY, INC.
1. A 633.683 acre tract of land out of Sections 9 and 18, Block
S, G.C.&, S.F. R.R. Co. Survey, Lubbock County, Texas, being
more particularly described as "First Tract" in that certain
warranty deed from Nan H. Benson and Marion Benson Blake.to
Standefer f, Gray, Inc., recorded at Vol. 1236, Page 613, of
the Deed Records of Lubbock County, Texas, a .copy of which
is attached hereto.
A 191.989 acre tract of land out of Sections 1, 4, 9, 10, 11
and 14, Block S, G.C.f,S.F. R.R. Co. Survey, Lubbock County,
Texas, being more particularly described as "Second Tract"
in that certain warranty deed from Nan H. Benson and Marion
Benson Blake to Standefer f, Gray, Inc., recorded at Vol. 1236,
Page 613, of the Deed Records of Lubbock County, Texas, a copy
of which is attached hereto.
A 53.811 acre tract of land out of Section 9, Block S, G.C.f,S.F.
R.R. Co. Survey, Lubbock County, Texas, being more particularly
described as "Third Tract" in that certain warranty deed from
Nan H. Benson and Marion Benson Blake to Standefer f, Gray, inc.,
recorded at Vol. 1236, Page 631, of the Deed Records of Lubbock
County, Texas, a copy of which is attached hereto.
A 170.517 acre tract of land out of Section 18, Block S, G.C.f,S.F.
R.R. Co. Survey, Lubbock County, Texas, being more particularly
described as "Fourth Tract" in that certain warranty deed from
Nan H. Benson and Marion Benson Blake to Standefer $ Gray, Inc.,
recorded at Vol. 1236, Page 631, of the Deed Records of Lubbock
County, Texas, a copy of which is attached hereto.
DEFENDANT'S
GRAY-VLADIC Exhibit "J" EXHIBIT
a Office of
Pater Utilities Operations
City of Lubbock
P.O. Box 2000
Lubbock, Texas 79457
606-762-641 1
February 27, 1990
Mr. Abraham K. Mathews
5009 59th Street
Lubbock, TX 79414
Dear Mr. Mathews:
After a careful review of your lease and apparant subsequent
understanding of lease extension for an addditional five (5) years, we
have determined the following points:
1. Your option extends the lease of the two acre tract out of
Section 14, Block I, Lubbock County, Texas until March 7,
1993.
2. Section 7 of this lease states that upon exercise of this
option the rent shall be increased on the first date of each
option period based on the proportionate increase in the
Consumer Price Index for all urban consumers between February
1978, and March 1988, not to exceed 12.5 percent. Following
is our calculation of the increase based on the formula
provided in the contract.
CPI (u) March 1988 = 116.5
CPI (u) February 1978 = 62.9
((116.5 - 62.9)/62.9) x 100 = 85.2%
This exceeds the 12.5 percent allowed in the contract so I
have calculated the amount owed based on 12.5 percent increase
in the $1,000 annual payment. Annual payments of $1,125.00
should have begun March 7, 1988. Following is a breakdown of
lease payments due and amounts paid.
Due Date Total Due Date Paid
1-15-88 $ 166.66 2-1-88
3-7-88 $1,125.00 N/A
3-7-89 $1,125.00 8-1-89
3-7-90 $1,125.00 --
Total Paid
$1,000.00
None
$1,000.00
$3,541.66' $2,000.00
Mr. Abraham Mathews
Letter - February 27, 1990
Page 2
The difference is $1,541.66.
As you can see $415.66 is the amount underpaid for 1988 and
1989. Advance payment for March 8, 1990 to March 7, 1991 is
$1,125.00. The total amount of $1,541.66 is due on or before
March 7, 1990.
3. Paragraph 8 of this lease states that "Lessee shall also pay
the necessary insurance premiums to carry liability insurance
on the above described premises protecting both the Lessor and
Lessee and such coverage shall be at least $100,000/$300,000
in amounts of coverage. It is City policy in cases such as
these to request that the Lessee provide proof of insurance
from his insurance carrier to the City Secretary's office. It
will be kept on file in that office along with copies of the
contract and option exercises.
You will need to provide us proof of insurance when you remit your
payment.
We appreciate your cooperation in this matter and hope that this letter
will clarify our position in future business dealings. If you have any
questions, please contact me at 767-2595.
Si rely,
Dan A. Hawkins
Director of Water Utilities
DAH:Ig
xc: Dennis McGill, Civil Trial Attorney
John Hindman, Farm Manager
Ranette Boyd, City Secretary
Kathy Rogers, Administrative Assistant