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HomeMy WebLinkAboutContract 31359 CITY SECRETARY CONTRACT NO. —5,95q ASSIGNMENT OF TAX ABATEMENT AGREEMENT This Assignment of Tax Abatement Agree is made and entered into by and between Habitat for Humanity, Inc. ("Assignor") and Allison Ferguson, ("Assignee") and the City of Fort Worth, ("City") RECITALS A. Habitat for Humanity, Inc. ("Habitat") and the City of Fort Worth, Texas (the "City") entered into that certain Tax Abatement Agreement ("Agreement") for Property Located 1004 Baltimore Ave ("Property") which is located in the Evans and Rosedale Neighborhood Empowerment Zone, such Agreement approved by the City Council of Fort Worth September 16, 2003 City Secretary Contract Number 2GI2�.�("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: C. rsuant to that certain Special Warranty Deed dated as of ht d recorded under Tarrant County Deed Records, nstrument umber n/a Assignor conveyed the Property to Allison Ferguson 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. 3. ctive Date. The effective date of this Assignment is r1' a40:r ("Effective Date"). All rights, duties and igations 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 obligatiot a.mde y t„ 7? si 1 fi 4+ i'_I R r 5? s�a RCVr� the Agreement as of the Effective Date. Assignor must surrender the Property to 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 noticegiven 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: Allison Ferguson 1004 Baltimore Ave Fort Worth,Texas 76104 ASSIGNOR: Habitat for Humanity, Inc. Address Fort Worth, Texas 76110 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. 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 Offer. 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: Habitat for Humanity, Inc. Sianature Name: CD Title: ASSIGNEE: Allison Ferguson Name: Ak %So/-J'0' CITY OF FORT WORTH 11�/)111"�;::,� i - 11 r Dale Fi eler Assistant City Manager ATTEST: City Secretary APP ATO AND LEGALITY: Cynthia Garcia Assistant City Attorney M & C: C-19747 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 J +day of 4 , 2oo4' 5 Notary Public in and for """' KATHY F.DURHAM the State of Texas ?►; = MV COMMISSION EXPIRES January 24,2009 - �'V.Y STATE OF TEXAS § COUNTY OF TARRANT § BEFORE ME, the undersigned authority, on this day personally appearedWd_a h l , Board Member of Habitat for Humanity, Inc., known to me to be the person wh se 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 Habitat for Humanity, Inc. GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of 2005. N4Putfic in and for � r STACEY LYNNE JAMORUCKO the State of Texas * Notary P,&,,c ` STATE OF TEXAS OF STATE OF TEXAS § COUNTY OF TARRANT § BEFORE ME, the undersigned authority, on this day personally appeared Allison Ferguson, purchaser 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:�4 day of 72005. Notary ublic in and for the State of Texas STACEY LYNNE JAN0RUCK0 Notary Public ST ATE OF TEXAS n r... E—, fW26/08 City of Fort Worth, Texas 41"Clgolf And Council C,ammunicAtian DATE REFERENCE NUMBER LOG NAME PAGE 9/16/03 **C-19747 05HABITATTAAG 1 of 2 SUBJECT APPROVAL OF TAX ABATEMENT AGREEMENT WITH THE FORT WORTH AREA HABITAT FOR HUMANITY, INC. FOR 20 PROPERTIES LOCATED IN THE EVANS/ROSEDALE NEIGHBORHOOD EMPOWERMENT ZONE RECOMMENDATION: It is recommended that the City Council: 1. Approve a five-year Municipal Property Tax Abatement for 20 properties owned by the Fort Wo,Rh Area Habitat for Humanity, Inc. (Habitat) and located in the Evans/Rosedale Neighborhood Empowerment Zone (NEZ); and 2. Find that the statements set forth in the recitals of the attached Tax Abatement Agreement (the Agreement) with Habitat are true and correct; and 3. Authorize the City Manager to enter into a separate Tax Abatement Agreement with Habitat for each one of the properties listed on Exhibit "A" in accordance with the NEZ Tax Abatement Policy and Basic Incentives. DISCUSSION: Habitat is the owner of the 20 properties listed in Exhibit "A". The properties are located in the Evans/Rosedale NEZ and Neighborhood Empowerment Reinvestment Zone No. 4. Habitat applied for a five-year municipal property tax abatement under the NEZ Basic Incentives (M&C G-13208 R, M&C G-13580 and M&C G-13662, as amended). The Housing Department has 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. Habitat will invest at a minimum $1,100,000 to construct 20 single-family homes in the Evans/Rosedale NEZ. A 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 pre-improvement value as defined by the Tarrant Appraisal District (TAD) on January 1, 2003, for each property as follows: Pre-improvement TAD Value of Improvements $0 Pre-improvement Estimated Value of Land $2,000 Total Pre-improvement Estimated Value $2,000 The municipal property tax on the improved value of the homes is estimated at $363 per year on each property for a total of $36,300 over the five-year period for the 20 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. City of Fort Worth, Texas "(1.40ir And Council communication DATE REFERENCE NUMBER LOG NAME PAGE 9/16/03 **C-19747 05HABITATTAAG 2 of 2 SUBJECT APPROVAL OF TAX ABATEMENT AGREEMENT WITH THE FORT WORTH AREA HABITAT FOR HUMANITY, INC. FOR 20 PROPERTIES LOCATED IN THE EVANS/ROSEDALE NEIGHBORHOOD EMPOWERMENT ZONE 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 Habitat's affiliates or its first mortgagee, or to a homeowner who will use tete required improvements as his/her primary residence or the homeowner's mortgagee, and all other assignments must be approved by the City Council. FISCAL INFORMATION/CERTIFICATION: The Finance Director certifies this action will have no material effect on City funds. RR:r Submitted for City Manager's FUND ACCOUNT CENTER AMOUNT CITY SECRETARY Office by: (to) Reid Rector 6140 Originating Department Head: Jerome Walker 7537 (from) APPROVED 09/16/03 Additional Information Contact: Jerome Walker 7537