HomeMy WebLinkAboutContract 33290 CITY SECRETARY � r
CONTRACT NO- ORIGINAL
ASSIGNMENT OF TAX ABATEMENT AGREEMENT
This Assignment of Tax Abatement Agree is made and entered into by and
between Ridglea Place, L.P. ("Assignor") and James..,T...Garrett, ("Assignee") and the
City of Fort Worth, ("City")
RECITALS
A. Ridglea Place, L.P. ("Ridglea") and the City of Fort Worth, Texas (the "City")
entered into that certain Tax Abatement Agreement ("Agreement") for Property
Located 3823 Birkdale ("Property") which is located in the Ridglea Village and
Como Neighborhood Empowerment Zone, such Agreement approved by the City
Council of Fort Worth November 18, 2003 City Secretary Contract Number
29887 ("Agreement"):
B. Section 5 of the Agreement permits Assignor to assign all of its rights under the
Agreement to Assignee, without obtaining the prior consent of the City Council:
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C. Pursuant to that certain Special Warranty Deed dated as of `�,r te�.J�,�;050.
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Assignor conveyed the Property to 'aures T. Garrett and
Assignee acquired title to the real property which is the subject of the Agreement.
AGREEMENT
NOW THEREFORE, in consideration of the mutual terms and conditions herein
contained and other good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged, the parties hereby agree as follows:
1. Assignment. Assignor hereby ASSIGNS, TRANSFERS AND CONVEYS all
rights, duties, obligations, title and interest under the Agreement to Assignee.
2. Acceptance. Assignee hereby accepts the Assignment granted herein, and assumes
all of Assignor's rights, duties and obligations arising under the Agreement.
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3. Effective Date. The effective date of this Assignment is Db-csmber„ 16
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20,105::i i'..<< ; ; 2004 ("Effective Date"). All rights, duties and obligations under
the Agreement arising, accruing or relating to the period before the Effective Date
are allocated to Assignor and all rights, duties and obligations arising, accruing or
relating to the period thereafter shall be allocated to Assignee.
4. Release and Surrender of Assignor. Except as otherwise expressly set forth in this
Assignment, Assignor will be discharged from any and all further obligations under
the Agreement as of the Effective Date. Assignor must surrender the Property to
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the Assignee on or before 11:59 p. m. on the date prior to the Effective Date in its
present condition. Assignor relinquishes any right to any improvements, fixtures or
equipment on the Property.
5. Representations. Assignor represents, warrants and covenants with Assignee that
as of the Effective Date, that Assignor is not in default under any of its obligations
contained in the Agreement.
6. City of Fort Worth's Consent. City of Fort Worth hereby consents to this
Assignment upon the terms and conditions set forth herein. Unless and until City of
Fort Worth has executed this Assignment, this Assignment is of no effect. The
consent granted herein should not be construed as consent to any further assignment
except as provided in the Agreement. The failure or delay of City of Fort Worth in
seeking to enforce any provisions of the Agreement or this Assignment should not
be deemed a waiver of rights or remedies that City of Fort Worth may have, or a
waiver of any subsequent breach of the terms and provisions therein or herein
contained.
7. Notices. Any notice given by any party to another party hereto must be given in the
manner required under the Agreement. The addresses set forth below supercede
any addresses for notices set forth in the Agreement.
CITY OF FORT WORTH:
City of Fort Worth
Housing Department (NEZ)
1000 Throckmorton
Fort Worth, Texas 76102
ASSIGNEE:
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1arreT: Gare
5 :, ti;r k.dale
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Fent 116 'hexa` 76116
ASSIGNOR:
Michael Vick, President
Boulevard Builders, LLC
General Partner for Ridglea Place, LP
4809 Cole Avenue Suite 345
Dallas, Texas 75205
8. Successors. Except as herein otherwise provided, this Assignment will be binding
upon and inure to the benefit of the parties, and their respective heirs, executors,
administrators, successors and assigns.
Of Rid
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9. Counterparts. This Assignment may be executed in multiple counterparts, each of
which, once executed, will be an original and fully-binding on the parties so
executing; and all such counterparts together constitute one and the same
agreement.
10. Binding ffer. This Assignment will be not be binding until executed and
delivered by all three parties.
IN WITNESS WHEREOF, the parties have executed this Assignment as of the
date first above written.
ASSIGNOR: Ridglea Place, L.P.
Name: Don Love ad Mana
Boulevard Builders, LLC
General Partner for Ridglea Place, LP
ASSIGNEE: James T. Garrett
ame:
j M Qi®79)Mks
CITY OF FORT WORTH
Dale Fisseler
Assistant City Manager
ATTEST:
City Secretary
APPROVE S TO FORM AND LEGALITY:
Cynthia Garcia
Assistant City Attorney
M& C: C-19864
4ii
STATE OF TEXAS §
COUNTY OF TARRANT §
BEFORE ME, the undersigned authority, on this day personally appeared Dale
Fisseler, Assistant City Manager of the CITY OF FORT WORTH, a municipal
corporation, known to me to be the person and officer whose name is subscribed to the
foregoing instrument, and acknowledged to me that the same was the act of the said
CITY OF FORT WORTH, TEXAS, a municipal corporation, that he was duly authorized
to perform the same by appropriate Mayor and Council Communication of the City
Council of the City of Fort Worth and that he executed the same as the act of the said
City for the purposes and consideration therein expressed and in the capacity therein
stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this ' day of
200X&
NotaryP lic in and forr�paY P e JONI R JACOBS
NOTARY PUBLIC
the State of Texas 1 f* state of Texas
",rtiF ofd; Comm. Exp. 05-27-2007
RZ
STATE OF TEXAS §
COUNTY OF TARRANT §
Do Al
BEFORE ME, the undersigned authority, on this day personally appeared Lovelady,
Manager of Boulevard Builders, LLC, General Partner for Ridglea Place, L.P., known to
me to be the person whose name is subscribed to the foregoing instrument, and
acknowledged to me that he executed the same for the purposes and consideration therein
expressed, in the capacity therein stated and as the act and deed of Ridglea Place, L.P.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this 6 day of
ZL
) 2005.
WIN—
o"'e4=�� --�P�,v p�°r,MICHAEL BRINKLEY
* Notary Public
Notary Public in and for STATE OF TEXAS
the State of Texas My Comm.Exp.07/05/2009
STATE OF TEXAS §
COUNTY OF TARRANT §
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BEFORE ME, the undersigned authority, on this day personally appeared rages; ' <
Garret4 known to me to be the person whose name is subscribed to the foregoing
instrument, and acknowledged to me that he executed the same for the purposes and
consideration therein expressed, in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of
2005.
1 p�PRY Pv MICHAEL BRINKLEY
Notary Pzllic in and for Notary Public
STATE OF TEXAS
the State of Texas OF My Comm.Exp.07/05/2009
ilti�rtit
City of Fort Worth, Texas
Mayor and Council Communication
COUNCIL ACTION: Approved on 11/18/2003
DATE: Tuesday, November 18, 2003
LOG NAME: 05BLVD BUILDERS REFERENCE NO.: C-19864
SUBJECT:
Approval of Tax Abatement Agreement with Ridglea Place, LP for 55 Real Estate Properties
Located in the Ridglea Village/Como Neighborhood Empowerment Zone
RECOMMENDATION:
It is recommended that the City Council:
1. Approve a five-year Municipal Property Tax Abatement for each of 55 Real properties listed in Exhibit
"A", owned by Ridglea Place, LP and located in the Ridglea Village/Como Neighborhood Empowerment
Zone (NEZ) for the development of townhomes; and
2. Find that the statements set forth in the recitals of the attached Tax Abatement Agreement with Ridglea
Place, LP are true and correct; and
3. Authorize the City Manager to enter into a separate Tax Abatement Agreement with Ridglea Place,
LP for each of the properties listed on Exhibit "A" in accordance with the NEZ Tax Abatement Policy and
Basic Incentives.
DISCUSSION:
Ridglea Place, LP is the owner of the 55 properties listed in Exhibit "A". The real properties are located in
the Ridglea Village/Como NEZ and Neighborhood Empowerment Reinvestment Zone No. 2. Ridglea Place,
LP applied for a five-year municipal property tax abatement under the NEZ Tax Abatement Policy and Basic
Incentives (M&C G-13208R, M&C G-13580 and M&C G-13662, as amended). The Housing Department
reviewed the application and certified that the properties meet the eligibility criteria to receive NEZ municipal
property tax abatement. The NEZ Basic Incentives offers a five-year municipal property tax abatement on
the increased value of improvements to the qualified owner of any new home constructed within a NEZ.
Ridglea Place, LP will invest, at a minimum, $6,215,000 to construct 55 town homes in the Ridglea/Como
NEZ. In order for Ridglea Place, LP to qualify for the tax abatement, Ridglea Place, LP must construct the
townhomes with a minimum of 1700 square feet that will appraise for $140,000. A more detailed description
of the homes to be constructed is attached as Exhibit "B". The form of the Tax Abatement Agreement is
attached as Exhibit"C".
Upon execution of the agreement, the total assessed value of the home used for calculating municipal
property tax will be frozen for a five-year period, starting on January 1, 2004, at the estimated pre-
improvement value as defined by the Tarrant Appraisal District (TAD) on January 1, 2003, for each one of
the properties as follows:
Pre-improvement TAD Value of Improvements $0
Pre-improvement Estimated Value of Land $17,040
Total Pre-improvement Estimated Value $17,040
Logname: 05BLVD BUILDERS Page 1 of 2
The municipal property tax on the improved value of the homes is estimated at $684 per year on each
property for a total of $188,100 over the five-year period for the 55 homes. However, this estimate may be
different from the actual tax abatement value, which will be calculated based on the TAD appraised value of
the property. Upon the sale of the home, the agreement will be assigned to the new owner, so long as the
new owner meets all eligible criteria as stated in the NEZ Tax Abatement Policy and Basic Incentives. The
Tax Abatement Agreement provides that the agreement may be assigned without subsequent City Council
approval to Ridglea Place, LP's first mortgagee, or to a homeowner who will use the required improvements
as his/her primary residence or the homeowner's mortgagee. All other assignments must be approved by
the City Council.
Ridglea Place, LP is located in COUNCIL DISTRICT 3.
FISCAL INFORMATION/CERTIFICATION:
The Finance Director certifies that this action will have no material effect on City funds.
TO Fund/Account/Centers FROM Fund/Account/Centers
Submitted for City Manager's Office by: Reid Rector (6140)
Originating Department Head: Jerome C Walker (7537)
Additional Information Contact: Jerome C Walker (7537)
Elizee Michel (7336)
Logname: 05BLVD BUILDERS Page 2 of 2