R-12-10-25-H3 - 10/25/2012 1
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RESOLUTION NO. R-12-10-25-H3 `
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WHEREAS, the City Council has determined that one of its priority goals is to encourage
economic development within the historic two blocks of Main Street in downtown Round Rock and to
make said area an authentic downtown dining, entertainment and retail shopping destination for local
citizens and tourists alike; and
WHEREAS, Lewis RR Properties, LLC ("Lewis") has expressed an interest in purchasing the
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building located at 203 E. Main Street, Round Rock, for use as a dining, entertainment, and/or retail
shopping purpose, if the City is willing to provide interim financing for such purchase; and
WHEREAS, the Council wishes to promote economic development as contemplated by
Chapter 380 of the Texas Local Government Code whereby Lewis will expend significant sums to
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purchase and improve the Facility to lease or operate the bottom floor of the Facility as a dining,
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entertainment, and/or retail shopping establishment; and <
WHEREAS, the City wishes to provide an economic development real estate lien loan to
Lewis to assist in the purchase of the Facility; and
WHEREAS, §380.001 Local Government Code provides that a municipality may establish an
economic development program ("Program")to promote local economic development and to stimulate fi
business and commercial activity in the municipality, and
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WHEREAS, the City Council has determined that the Program described in Exhibit "A" will
encourage economic development within the historic two blocks of Main Street in downtown Round
Rock and to make said area an authentic downtown dining, entertainment and retail shopping
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destination for local citizens and tourists alike and will also meet the goals set forth in said §380.001, 4
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Now Therefore p`
BE IT RESOLVED BY THE COUNCIL OF THE CITY OF ROUND ROCK, TEXAS,
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That the City offers to Lewis a §380.001 Program whereby the City will provide Lewis with
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interim financing for the purchase of the building located at 203 E. Main St. for use as a dining,
entertainment, and/or retail shopping establishment, and
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BE IT FURTHER RESOLVED
That the offer of the Program shall be as generally outlined in Exhibit "A" attached hereto and
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incorporated herein for all purposes.
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The City Council hereby finds and declares that written notice of the date, hour, place and
subject of the meeting at which this Resolution was adopted was posted and that such meeting was {
open to the public as required by law at all times during which this Resolution and the subject matter a
hereof were discussed, considered and formally acted upon, all as required by the Open Meetings Act, s
Chapter 551, Texas Government Code, as amended.
RESOLVED this 25th day of October, 2012.
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ALAN MCGRAW, Mayor
City of Round Rock, Texas
ATTEST:
SARA L. WHITE, City Clerk
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EXHIBIT A
ECONOMIC DEVELOPMENT PROGRAM
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The terms of the §380.001 Economic Development Program to be offered to Lewis in exchange
for Lewis's purchasing the building at 203 E. Main Street, Round Rock, Texas and using said building
as a dining, entertainment, and/or retail shopping establishment.
1. Lewis's obligations:
1.1 Purchase of Facility. Lewis agrees to purchase the Facility. At the closing of the
contract to purchase the Facility, Lewis agrees to execute a Real Estate Lien Note. The
Note will be secured by a Vendor's Lien retained in the Warranty Deed and transferred
to City. The Note will also be secured by a Deed of Trust. In addition, Kip Lewis shall
execute a personal guaranty of the Note.
1.2 Improvements. Lewis agrees to construct and/or install any and all necessary
improvements to render the Facility suitable for a long term lease to a dining,
entertainment and/or retail shopping use.
1.3 Lease and/or Use of Facility. Lewis agrees to use his best efforts to occupy or lease the
ground floor of the Facility for a use which will further the goal of the City Council and g
to make the historic two block Main Street area an authentic dining, entertainment and
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retail shopping destination for local citizens and tourists alike. Prior to leasing or
occupying the building for any use, Lewis agrees to submit to the City its proposed use
for approval. The City Manager, on behalf of the City, shall have the sole and absolute
discretion to determine if the proposed use furthers the goal of the City and to approve
or not approve the proposed use. Lewis shall not allow any person or entity to use or
occupy the building without the express written consent of the City Manager.
1.4 Compliance with regulations. Lewis agrees that it shall comply with the City's
development approval processes and shall purchase the Facility and construct and
install the improvements and lease and operate the Facility consistent with City
ordinances, development regulations and requirements.
2. City's obligations:
2.1. Purchase Money Loan. In consideration of Lewis's compliance with the aforesaid
obligations, the City agrees to make Lewis an economic development purchase money
loan at the closing in the amount of$400,000.00.
3. The terms and provisions of this Program will be set out in more detail in the Economic
Development Program Agreement of even date herewith.
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ROUND ROCK,TEXAS City Council Agenda Summary Sheet
PURPOSE.PASSION.PROSPERITY.
Agenda Item No. H3.
Consider a resolution adopting an Economic Development Program to encourage Lewis RR
Agenda Caption: Properties, LLC to purchase and utilize a building located at 203 E. Main Street.
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Meeting Date: October 25, 2012
Department: Administration
Staff Person making presentation: Steve Norwood
City Manager
Item Summary:
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Cost:
Source of Funds:
Recommended Action: Approval
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