1440 RES CITY COUNCIL IS INTERESTED IN COOPERATING WITH INDUSTRIAL DEVELOPMENT COMMITTEERFSOLUTFON NO. 1440
WHER EAS, the City Council of the City of Paris, Paris,
Texas, is intErested in cooperating with the Industrial
Development Committee of the Chamber of Commerce of Lamar
County in encouraging industry to locate in the Paris area;
and,
WHIIREAS, the City of Paris is interested in encourag-
ing the development of industry in the Paris area, which
would increase the daily passenger load to Paris' Municipal
Airport; and,
WHEREAS, AGPRO, Inc. has shown interest in locating a
plant in or near the City of Paris, and in conjunction with
such location has requested a lease of Cox Field Airport
property, in accordance with the terms and conditions and
for the amount of land shown in the lease contract, a copy
of which is attached hereto as Exhibit I and made a part
hereof; and,
WHEREAS, it is to the best interest of the City of
Paris that the terms and conditions of said lease contract
be approved; NOW, THERF.F'ORE,
BE IT RFSOL.VED BY THE CITY COUNCIL OF THE CITY OF PARIS,
PARIS, TEXAS, That the City Council of the City of Paris
approves the terms and conditions of the lease contract be-
tween the City of Paris, Paris, Texas and AGPRO, Inc., attached
hereto as Exhibit I; and,
BE IT FURTHER RFSOLVED, That the Mayor, James W. Farris,
be, and he is hereby authorized and directed to execute in
duplicate originals the lease contract attached hereto as
Exhibit T.
Passed and adopted this 9th day of August, 1971.
s W. Farris,
ATTEST:
H. C. Gr ene, City Clerk
EXHIBIT I
STATE OF TEXAS i
COUNTY OF LAMAR k
THIS AGREEMENT OF OPTION TO LEASE made this the
9th day of August
, 1971 by and between the CITY OF PAR,IS,
TEXAS, acting by and through James Farris, its mayor, duly authorized,
known herein as LESSOR, and AGPRO, INC., a corporation, acting
by and through T. A. Gribble, its treasurer, duly authorized, known
herein as LESSEE, WITNESSETH:
That the said Lessor for and in consideration of TEN AND
NO/100 DOLLAR,S to it in hand paid by LESSEE does by these presents
GRANT unto Lessee an option to lease the following described property,
to-wit:
Three tracts of land containing a total of
approximately 410 acres of iand located East of
the City of Paris, Texas, and being a part of that
certain property belonging to the City of Paris
known as the Cox Field Airport property, said
property being shown as Tract 1, Tract 2 and Tract
3 on Exhibit A hereto attached.
The options to lease said property being granted the Lessee for the
respective tracts and upon the terms ancl conditions as follows:
1. Lessee shall have an option to lease Tract 1 on Exhibit
A to contain 9. 981 acres of land at any time within two years of this
date for a primary term of 15 years provided Lessee shall const ruct
and erect a manufacturing facility on suid 1 Y'aCt 1, manufacturing the
products of Lessee, said lease i:o commence 90 days after Lessee gives
Lessor no-Lice that it exercises said option and to continue for aprimary
Lerm of l:fteen years from said date. Lessee is to pay to Lessor a~
Paris, Texas, the sum of $250. 00 per annum for said leased premises,
the first of which payments shall be made t he d a y t h e 1 e a s e
b ecomes effective and a like payment on the same day in each year
thereafter during the term of this lease.
2. In the event Lessee leases Tract 1 shown on Exhibit A
and only in that event, Lessee shall have an option to lease from Lessor
for the limited purpose of research and demonstration of Agpro, Inc.
products and services on a model dairy operation, Tract 2 shown on
.
Exhibit A containing 250 acres of land more or less, which has its
beginning at the NW corner of the Lessor's Cox Field property and extends
along the Farm to Market Road in a Southerly direction for a distance of
approximately 1985 feet, less the approximately 935 feet that is in Tract 1,
shown on Exhibit A, for a primary term to expire at the same time that
the primary term expires on its lease of Tract 1, said lease to commence
90 days after Lessee gives Lessor notice in writing that it exercises its
option to lease the same, said option exercisable at any time within two
years after this date and at the commencement of said lease, Lessee shall
pay to Lessor $2500. 00 for one year's rental on said property, and shall
make a like payment on the same day in each year thereafter during the
term of the lease, except that if the last year of the lease is less than a
full year, the rent will be pro-rated.
3. In the event Lessee has Tract 1 leased and Tract 2
leased, and only in that event, Lessee is given an option to lease Tract
3 shown on Exhibit A hereto attached, said lease to commence upon the
expiration by lapse of time or otherwise of the present lease of said
property now held by S. J. Embry, -or 90 days after Lessee gives to
Lessor notice that it exercises said option, whichever date is later, said
option exercisable by Lessee at any time within 60 days of the expiration of
the Embry lease, Lessor agreeing to immediately notify Lessee
of the expiration of the Embry lease for any reason, and Lessee's
option to lease said 150 acres shall be for such period of time as then
remains on the primary term of its lease of Tract 1, and Lessee shall
pay to Lessor $1500. 00 at the commencement of its lease of said
Tract 3, and shall pay a lilce sum on the same day in each year tle reafter
during the primary term unto Lessor except that if the last year of the
primary term is less than a full year, the rent for that year shall
be pro-rated.
4. T~a t the Lessee shall take good care of the property
and its fixtures and suffer no waste; and shall at Lessee's own expense
and cost keep said premises in good repair, during the term cf this
lease, and at the end or other expiration oi the term shall deliver up the
demised premises in good order and condition, natural deterioration and
damage by fire and the elements only excepted; Lessee agrees to accept
possession of the premises in their present condition and to allow for
changes in such condition occurring by reasonable deterioration between
the date hereof and the date Lessee occupies said premises,
5. That the Lessee shall promptly execute and fulfili all
the ordinances of the city corporation applicable to said premises and
ail orders and requirements imposed by the Board of Health, Sanitary and
i'olice Departments, for the correction, prevention and abatement of
nuisances in or upon or connected with said premises during the said
term, at Lessee's expense,
6. That the Lessee may assibn this agreement or underlet
the premises, or any part thereof, as needed for its own operation and
financing but not for other commercial endeavor, but no subletting or
assignment shall relieve Lessee from its primary obligation for the
payment of the rent nor impair any of Lessee's other obligations under
this lease.
7. That in case of default in any of the covenants herein,
Lessor may enforce the performance of this lease in any modes provided
by law, and this lease may be forfeited at Lessor's discretion if such
default continue for a period of ten days a'Lter Lessor notifies said Lessee
of such default and his intention to declare the lease forfeited, such notice
to be sent by the Lessor by mail or otnerwise to the demised premises;
and thereupon (unless the Lessee shall have completely removed or cured
said default) Lessor's agent or attorney shall have the right, without
further notice or demand, to re-enter and remove aIl persons and Lessee's
property therefrom without being deemed guilty of any manner of trespass,
and witnout pre judice to any remedies for arrears of rent or breach of
covenant, or Lessor's agent or attorney may resume possession of the
premises and re-let the same for the remainder of the term at the best
rent said agent or attorney may obta;.n, for account of the Lessee, who
shall make good any deficiency.
8. That the Lessee sha11 keep and perform all agreements
and covenants herein contained or referred to or made a part hereof;
and that Lessor shall not be liable to Lessee, his agents, servants or
employees for any damage or injury to persons or property whatsoever
ar:sing from any cause of any nai:ure and t'ra t Lessee shall indemnify and
save and keep harmless Lessor from any claims for damages or injuries
to Lessee or his agents, servants or employees arising hereunder or to
property of Lessee, and Lessee agrees to carry public liability insurance
in an amount of at least $100, 000. 00 per person and $300, 000. 00 per
accident.
9. It is understood and agreed that Lessee shall build
and commence to operate a manufacturing facility on the approximately
10 acres of land shown on Tract 1 hereto attached and that all options
herein set out and the continuanction of any lease provided for herein
after the exercise of said option by Lessee is conditioned upon Lessee
establishing, building and carrying out a manufacturing operation on
said Tract 1, and all leases and options shall forthwith terminate in the
event Lessee terminates its manufacturing operation on Tract 1 for
any reason other than work stoppages or matters beyond control of Lessee
during any period of this lease, or any renewal or extension thereof.
10. In the event that the Lessee shall become bankrupt
or shall make a voluntary assignmer.t for the benefit of creditors, or
in the event that a receiver of the Lessee shall be appointed, then, at
the option of the Lessor and upon five (5) days notice to the Lessee of
the exercise of such option, this lease snall cease arri come to an end.
11. It is agreed and understood i:hat any holding over by the
Lessee of the hereby leased premises after the expiration of this lease
shall operate and be construed as a ter,ancy from month to month at a
then fair rental.
12. Lessee may hereunder use and occupy the rented premises
for any purpose which does not constitute a nuisance or adversely affect
the value of nearby property, and does not violate the present zoning
classification of the premises or any classiiication then in effeet. This
lease is subject to all the terms, provis:ons and conditions of the deed of
conveyance of such premises from the United States of America to the City
of Paris, recorded in Book 308, page 287, Deed Records of Lamar
County, Texas, to which reference is made for all purposes, ar.d it is
further understood that Lessee will abide by all rules, regulati ons and
laws pertaining to the use of the airport located at Cox Air r ield,
particularly all rules, regulations and instructions of I'ederal Aviation
Administration pertaining to the use and operation of such airport, the
sanie as if made a part hereof, and will not erect or permit to be erected,
any structure of any kind which will interfere with the use of such airport
in any way.
13. In consideration of Lessee's full and punctual payment
of the rent reserved, Lessor gives and grants to Lessee options to renew
the leases on Tracts i, 2 and 3 for an additional term of ten years at the
expiration of the primary term, and an option to renew the leases on
Tracts 1, 2 and 3 an additional term of ten years at the expiration of the
first ten year period, and an option to renew the leases on Tracts 1, 2
and 3 for an additional period of five years at the expiration of the second
ten year period, on condition that Lessee gives Lessor actual written
notice at least 60 days prior to the expiration of the primary term and at
least 60 days prior to the expiration of any extension ti-ie reof of its intention
to exercise such option and on condition Lessee is not in default in the
payment of the rent hereiri provided for, or in the discharge of any other
obligation imposed on it by this lease, each option period to be for the
same rental amounts and upon the same terms and conditions as the
primary term. It is expressly understood that Lessee may exercise
its options on tracts 2 and 3 only in the event it renews and extends its
option on Tract i and maintains a mar,ufaci uring facility on Tract 1 durin;
said extended period as provided for in the primary term.
14. The Lessor shall be liable for and promptly pay all
taxes on the land leased and Lessee shall be liable for and promptly pay
all taxes on its improvements.
15. This lease is execut ed with the express understanding
tnat the property is zoned or will 'ae caused to be zoned by Lessor so as
to permit the conduct of a dairy farming operation on the leased ,
premises.
IN TESTIMONY WHEREOF, this instrument is executed in
duplicate on this the 9th day of August , 1971.
CITY OF PA
ATTES,T : By
H. C. Greene, City Clerk
TEXAS
s, Its Mayor
LESSOR
AGPRO, 1NC ,
~
By r U !t=-~~./~-'~
Tre surer
LESSEE
.
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EXHIBIT A -