RES 2005-12TOWN OF TROPHY CLUB, TEXAS
RESOLUTION NO. 2005-12
A RESOLUTION OF TH~ TOWN COUNCIL OF THE TOWN OF TROPHY
CLUB, TEXAS, AND THE TROPHY CLUB ECONOMIC DEVELOPMENT
CORPORATION 4B, REPEALING RESOLUTION NO. 2003-04 AUTHORIZING
AN ECONOMIC DEVELOPMENT AGREEMENT WITH MIDWEST REALTY
AND ADOPTING A NEW RESOLTLTION AUTHORIZING A NEW ECONOMIC
DEVELOPMENT AGREEMENT WITH MIDWEST COMMERCIAL REALTY;
DESIGNATING TERMS OF THE AGREEMENT AND PROVIDING AN
EFFECTIVE DATE.
WHEREAS, the Town Council of the Town of Trophy Club, Texas, recognizes the need to attract
and retain economic development projects; and
WHEREAS, in 2003, EDC 4B agreed to provide certain economic development incentives to
Midwest Commercial Realty for the development of Planned Development Number 25 through the
passage of Resolution Number 2003-04; and
WHEREAS, Midwest Commercial Realty has indicated a desire to use EDC funds as a direct r incentive for a third party desiring to build commercial establishments within P.D. Number 25 which is a
change from the initial agreement adopted as part of Resolution Number 2003-04; and
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WHEREAS, the construction of commercial property such as restaurants and hotels as proposed
by Midwest Commercial Realty (hereinafter "Project") will increase the sales tax revenue to the Town
and the EDC4B; and
WHEREAS, Midwest Commercial Realty is currently in negotiations with a national hotel chain
on a proposed project on the site; and
WHEREAS, the EDC4B currently has funds available for the proposed Project and has agreed to
funding as specified in Exhibit "A", a copy of which is attached hereto and incorporated herein; and
WHEREAS, the EDC4B and the Town of Trophy Club believe it to be in the best interests of the
Town of Trophy Club and its' residents to pursue the Project with funding specified in Exhibit "A";
NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN
OF TROPHY CLUB, TEXAS:
Section 1: That the Town Council of the Town of Trophy Club hereby repeals Resolution
Number 2003-04 in its entirety and authorizes and approves the expenditure of EDC4B funds in the
manner outlined on the attached Exhibit "A" and such approval is evidenced by the Mayor's signature on
the document.
Section 2: That the agreement memorializing the terms specified in Exhibit "A is between
Midwest Commercial Realty and the EDC4B, and does not run with the land, is not assignable or
transferable, and terminates at such time that Midwest Commercial Realty ceases to be the principal
developer of the property which is the subject of the agreement approved by this Resolution.
I:
Section 3: That a substantial copy of the funding provisions of the agreement between
Midwest Commercial Realty and EDC4B is attached hereto as Exhibit "A" and that such amount shall not
exceed $100,000.
Section 4: That the development of the property shall be commenced within one year of the
effective date shown on the attached signature page or this agreement shall automatically terminate. It
shall be prima facie proof that development has commenced if a ground brealung on a construction
project has occurred.
Section 5: That this Resolution shall become effective from and after its date of passage in
accordance with law, and it is so resolved.
PASSED AND APPROVED by the Town Council of the Town of Trophy Club, Texas,
this 20th day of June, 2005.
Mayor
Town of Trophy Club, Texas
President, Economic Development 4B
ATTEST:
Town Secretary
Town of Trophy Club, Texas
[SEAL]
APPROVED AS TO FORM:
t~- R -
Town Attorney
-C
I '
Town of ~ro~h~ Club, Texas
EXHIBIT A
Ground Breaking;: Fifty Thousand dollars to be paid at the time of ground breaking on any project
expected to produce an annual income of more than $20,000 of combined Town of Trophy Club sales tax,
(EDCA, EDCB, and Town) within three years of completion.
At Completion: Twenty Five Thousand dollars to be paid at the point of issuance of the certificate of
occupancy by the Town of Trophy Club.
After One Year: Twenty Five Thousand dollars to be paid one year after issuance of the certificate of
occupancy.