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Home My WebLink AboutContract 33240 TY SECRETARY Q,* CONTRACT NO. ASSIGNMENT OF TAX ABATEMENT AGREEMENT This Assignment of Tax Abatement Agree is made and entered into by and between Courtney Homes, Inc. ("Assignor") and Faye and Vanessa Richardson, ("Assignee")and the City of Fort Worth, ("City") RECITALS A. Courtney Homes, Inc. ("Courtney") and the City of Fort Worth, Texas (the "City") entered into that certain Tax Abatement Agreement ("Agreement") for Property Located 5321 Fernander Drive, Lot 5. 6. 7.. in Block 16 of Harlem Hill Addition ("Property"), which is located in the Ridglea Village and Como Neighborhood Empowerment Zone; such Agreement approved by the City Council of Fort Worth October 7, 2003 City Secretary Contract Number 29534 ("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. Pursuant to that certain Special Warranty Deed dated as of December 29, 2004, recorded under Tarrant County Deed Records, Assignor conveyed the Property to Faye and Vanessa Richardson 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. Effective Date. The effective date of this Assignment is May 27, 2005 ("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. 77' _7u� v rid LSL e �� 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 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. Reoresentations. 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: Faye and Vanessa Richardson 5321 Fernander Drive Fort Worth,Texas ASSIGNOR: Courtney Homes, Inc. 5203 Shadow Glen Drive Grapevine, Texas 76051 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. 2 i 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: Courtney Homes, Inc. Nam-/ r Titl President ASSIGNEE: Faye and Vanessa Richardson Name: a�Cs�a .asp Nam 3 CITY OF FORT WORTH r 1�1,1111111A�L Dale Fi ' er Assistant City Manager C ontract Authorization ATTEST: � • Date fN �.Al 0&" City Secretary APPROVE AS TO ORM AND LEGALITY: C Athia Ga cia Assistant City Attorney 4 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 is 'day of 2001.6 Notary Public in and for 'Y` ROSEUABARNES the State of Texas = '= MY COMMISSION EXPIRES °� Mann 31,zoos c C 5 ' STATE OF TEXAS § COUNTY OF TARRANT § BEFORE ME, the undersigned authority, on this day personally appeared Sherry Saylor, President of Courtney Homes, Inc., 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 Courtney Homes, Inc. GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of 2005. Notary Public in and for the State of Texas STATE OF TEXAS § COUNTY OF TARRANT § BEFORE ME, the undersigned authority, on this day personally appeared 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 �+�D day of 2005. Notary Pub is n aoll for the State o T xas �T+e►!:r"�i`� SHAVERS L. MOORE Notary Public,State of Texas My Commission Expires December 07,2008 'M11111 Page 1 of 2 City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 1/13/2004 DATE: Tuesday, January 13, 2004 LOG NAME: 05JSAYLOR REFERENCE NO.: C-19934 SUBJECT: Approval of Tax Abatement Agreement with Courtney Homes, Inc. for Three Real 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 the three real properties listed on Exhibit "A", owned by Courtney Homes, Inc., and located in the Ridglea Village/Como Neighborhood Empowerment Zone (NEZ); and 2. Find that the statements set forth in the recitals of the attached Tax Abatement Agreement with Courtney Homes, Inc. are true and correct; and 3. Authorize the City Manager to enter into a separate Tax Abatement Agreement with Courtney Homes, Inc. for each of the properties listed on Exhibit "A" in accordance with the NEZ Tax Abatement Policy and Basic Incentives. DISCUSSION: Courtney Homes, Inc. is the owner of the three properties listed on Exhibit "A". The properties are located in the Ridglea Village/Como NEZ and Neighborhood Empowerment Reinvestment Zone No. 2. Courtney Homes, Inc. 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, and M&C C-19551 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. Courtney Homes, Inc. will invest, at a minimum, $260,000 to construct three single-family homes in the Ridglea/Como 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 VIC11 Upon execution of the agreement, the total assessed value of improvements used for calculating municipal property tax will be frozen for five years at the most recent pre-improvement value as defined by the Tarrant Appraisal District (TAD). The abatement only applies to the improvement value, not to the land. The term of the abatement shall begin on January 1 of the year following the calendar year in which the house is sold to a homebuyer to be used as the buyer's primary residence and, unless sooner terminated, shall end on December 31 immediately preceding the fifth anniversary of the beginning date. On January 1, 2004, TAD estimated the pre-improvement value for each property as follows: Pre-improvement TAD Value of Improvements $0 Pre-improvement Estimated Value of Land $2,500 Total Pre-improvement Estimated Value $2,500 http://www.cfwnet.org/council_packet/Reports/mc_print.asp 3/6/2006 Page 2 of 2 The municipal property tax on the improved value of the homes is estimated at $526 per year on each property for a total of$7,890 over the five-year period for the three 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 Courtney Homes, Inc.'s first mortgagee, or to a homeowner who will use the required improvements as his/her primary residence or the homeowner's mortgagee, and all other assignments must be approved by the City Council. The properties are located in COUNCIL DISTRICT 7. 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 Walker (7537) Additional Information Contact: Jerome Walker (7537) Sarah Odle (7316) http://www.cfwnet.org/council_packet/Reports/mc_print.asp 3/6/2006