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Contract - Cornerstone Associates, LLC - 4/23/2020 DEVELOPMENT AGREEMENT This Development Agreement ("the Agreement") is made by and between the CITY OF ROUND ROCK, TEXAS, (the "City") and CORNERSTONE ASSOCIATES, LLC, (the "Developer") on this*2-3 Uay of April, 2020. RECITALS WHEREAS, Developer is proposing to build an affordable multi-family senior housing development (the "Project") at 1551 Red Bud Lane, 1561 Red Bud Lane and 3800 Doris Lane, located within the City's exterritorial jurisdiction ("ETJ"), as shown in Exhibit "A" (Property"), attached hereto; and WHEREAS, the Applicant consents to and shall request annexation of the Properties into the corporate boundaries of the City; and WHEREAS, the Developer proposes to apply for financing for the Project, specifically Low Income Housing Tax Credits ("Tax Credits") from the Texas Department of Housing and Community Affairs ("TDHCA"); and WHEREAS, the Developer has, pursuant to Section 2306.67071 of the Texas Government Code, provided notice to the City of its intent to file for Tax Credits with TDHCA; and WHEREAS, the City has held a public hearing regarding the Project as required by Section 2306.67071; and WHEREAS, pursuant to Section 2306.67071, after due consideration of the information provided by the Developer, the City must decide whether to accept or object to the Developers application for Tax Credits to the TDHCA. 00422877/ss2 TK- zap--00p 00 NOW THEREFORE, the parties hereto agree as follows: ARTICLE I 1. Recitals. The City hereby finds that the Recitals stated above are true and correct. 2. No Objections. Subject to the conditions stated herein, the City hereby approves Developer's application for Tax Credits with the TDHCA. 3. Developer's Obligations. The Developer, in consideration for the City's approval as stated above, agrees to the following: (a) The Developer, its successors and assigns, hereby agree to forego any vesting claims that could be made pursuant to Chapter 245 of the Texas Local Government Code and agree to develop the Project pursuant to all existing City regulations, including but not limited to, current SR(Senior) District zoning regulations. (b) The Developer, its successors and assigns, agree to not pursue any tax exemptions or abatements for the project. (c) The Developer agrees to pay any required impact fees, as provided for in the Round Rock Code of Ordinances. ARTICLE II 1. No Joint Venture. It is acknowledged and agreed by the parties that the terms of this Agreement are not intended to and shall not be deemed to create a partnership of joint venture among parties. Neither party shall have any authority to act on behalf of the other party under any circumstances. 2. Notice of Bankruptcy. In the event Developer files for bankruptcy, whether involuntarily or voluntary, Developer shall provide written notice to the City within three (3) business days of such event. 2 3. Authorization. Each party represents that it has full capacity and authority to grant all rights and assume all obligations that is granted and assumed under this Agreement 4. Notice. Any notice required or permitted to be delivered hereunder shall be deemed received three (3) days thereafter sent by United States Mail, postage prepaid, certified mail, return receipt requested, addressed to the party at the address set forth below (or such other address as such party may subsequently designate in writing) or on the day actually received if sent by courier or otherwise hand delivered. If Intended for the City: City of Round Rock, Texas Attention: Laurie Hadley City Manager 221 E. Main Street Round Rock, Texas 78664 With a copy to: City of Round Rock, Texas Attention: Steve Sheets City Attorney 309 E. Main Street Round Rock, Texas 78664 If intended for the Developer: Cornerstone Associates, LLC Attention: Bobbi Jo Lucas President 209 South 19th Street, Suite 100 Omaha,NE 68102 5. Entire Agreement. This Agreement is the entire Agreement between the parties with respect to the subject matter covered in this agreement. There is no collateral oral or written agreement between parties that in any matter relates to the subject matter of this Agreement. 6. Governing Law. This Agreement shall be governed and construed in accordance with the laws of the State of Texas, without giving effect to any conflicts of law rule or principle that 3 might result in the application of the laws of another jurisdiction. Venue for any action concerning the Agreement shall be in Williamson County, Texas. 7. Amendment. This Agreement may only be amended by the mutual written agreement of the parties. 8. Severability. In the event one or more of the provisions contained in this Agreement shall for any reason be held invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect other provisions, and it is the intention of the parties to this Agreement that in lieu of each provision that is found to be illegal invalid or unenforceable a provision shall be added to this Agreement which is legal, valid and enforceable and is as similar in terms as possible to the provision found to be illegal, invalid or unenforceable. 9. Assignment._ This Agreement may not be assigned without the written consent of the City. 10. Authorized to Bind. The persons who execute their signatures to this Agreement and any certifications related to this Agreement represent and agree that they are authorized to sign and bind their respective parties to all of the terms and conditions contained herein. 11. Counterparts, This Agreement may execute in counterparts. Each of the counterparts shall be deemed an original instrument, but all of the counterparts shall constitute one and the same instrument. [Signatures on the following page.] 4 .4 Executed on this 2?;)-' day of 52020. DEVELOPER: CORNERSTONE ASSOCIATES, LLC By: Cueol� Its: CITY: ROUND ROCK, TEXAS By: Craig organ, ayor Attest: Sara White, City Clerk 5 ACKNOWLEDGMENT STATE OF TEXAS COUNTY OF WILLIAMSON This instrument was acknowledged before me on �� 2020, by Craig Morgan, Mayor of the City of Round Rock, Texas, on behalf of said city. "�Y ^ bLANCACILLiS Notary Public, Stat of Texas My NotaryID#130582.387 Expires Merch15,2024 My Commission expires: J� 6 ACKNOWLEDGMENT STATE OF Ntbm,56. COUNTY OF DO This instrument was acknowledged before me on I i4D�- 2020 by &bki < 1 L lJl'aS 9 hre5lO1Pht- of CORNERSTONE ASSOCIATES, LLC, on behalf of said limited liability company. General Comm. 282022.Notary-State of Nebraska JILLIAN K.FLYNN Notary Public, State of Nebraska M My Commission expires: After recording, return to: Sheets & Crossfield, PLLC 309 East Main Street Round Rock, Texas 78664 7 Exhibit "A" ■■■■r E NowJ ?+ ~ � W ■r i V " Ln OC cD Isom Loss," 12 0 V ............ i { i a { i rnYrr+rrf+■'srrollrIla ugmmrrrnasu�rr�ur�u�nrrrnnrrrtrrrr�u�rur�u�ur�rrrrrrrrrr�rr rr�rrr�rr�rrwrr�rrr Red_B.u.d^Ln F 3 i e' I i I CLQ I z C i .......... 3 a 1 ELECTRONICALLY RECORDED 2020042813 Williamson County, Texas Total Pages: 9 DEVELOPMENT AGREEMENT This Development Agreement ("the Agreement") is made by and between the CITY OF ROUND ROCK, TEXAS, (the "City") and CORNERSTONE ASSOCIATES, LLC, (the "Developer") on this `� —day of April, 2020. RECITALS WHEREAS, Developer is proposing to build an affordable multi-family senior housing development (the "Project") at 1551 Red Bud Lane, 1561 Red Bud Lane and 3800 Doris Lane, located within the City's exterritorial jurisdiction ("ETJ"), as shown in Exhibit "A" (Property"), attached hereto; and WHEREAS, the Applicant consents to and shall request annexation of the Properties into the corporate boundaries of the City; and WHEREAS, the Developer proposes to apply for financing for the Project, specifically Low Income Housing Tax Credits ("Tax Credits") from the Texas Department of Housing and Community Affairs ("TDI-ICA"); and WHEREAS, the Developer has, pursuant to Section 2306.67071 of the Texas Government Code, provided notice to the City of its intent to file for Tax Credits with TDHCA; and WHEREAS, the City has held a public hearing regarding the Project as required by Section 2306.67071; and WHEREAS, pursuant to Section 2306.67071, after due consideration of the information provided by the Developer, the City must decide whether to accept or object to the Developers application for Tax Credits to the TDHCA. 00422877/ss2 ' y -Or` 9 2020042813 Page 2 of 9 NOW THEREFORE, the parties hereto agree as follows: ARTICLE I 1. Recitals. The City hereby finds that the Recitals stated above are true and correct. 2. No Objections. Subject to the conditions stated herein, the City hereby approves Developer's application for Tax Credits with the TDHCA. 3. Developer's Obligations. The Developer, in consideration for the City's approval as stated above, agrees to the following: (a) The Developer, its successors and assigns, hereby agree to forego any vesting claims that could be made pursuant to Chapter 245 of the Texas Local Government Code and agree to develop the Project pursuant to all existing City regulations, including but not limited to, current SR(Senior) District zoning regulations. (b) The Developer, its successors and assigns, agree to not pursue any tax exemptions or abatements for the project. (c) The Developer agrees to pay any required impact fees, as provided for in the Round Rock Code of Ordinances. ARTICLE II 1. No Joint Venture. It is acknowledged and agreed by the parties that the terms of this Agreement are not intended to and shall not be deemed to create a partnership of joint venture among parties. Neither party shall have any authority to act on behalf of the other party under any circumstances. 2. Notice of Bankruptcy. In the event Developer files for bankruptcy, whether involuntarily or voluntary, Developer shall provide written notice to the City within three (3) business days of such event. 2 2020042813 Page 3 of 9 3. Authorization. Each party represents that it has full capacity and authority to grant all rights and assume all obligations that is granted and assumed under this Agreement 4. Notice. Any notice required or permitted to be delivered hereunder shall be deemed received three (3) days thereafter sent by United States Mail, postage prepaid, certified mail, return receipt requested, addressed to the party at the address set forth below (or such other address as such party may subsequently designate in writing) or on the day actually received if sent by courier or otherwise hand delivered. If Intended for the City: City of Round Rock, Texas Attention: Laurie Hadley City Manager 221 E. Main Street Round Rock, Texas 78664 With a copy to: City of Round Rock, Texas Attention: Steve Sheets City Attorney 309 E. Main Street Round Rock, Texas 78664 If intended for the Developer: Cornerstone Associates, LLC Attention: Bobbi Jo Lucas President 209 South 19th Street, Suite 100 Omaha, NE 68102 5. Entire Agreement. This Agreement is the entire Agreement between the parties with respect to the subject matter covered in this agreement. There is no collateral oral or written agreement between parties that in any matter relates to the subject matter of this Agreement. 6. Governing Law. This Agreement shall be governed and construed in accordance with the laws of the State of Texas, without giving effect to any conflicts of law rule or principle that 3 2020042813 Page 4 of 9 might result in the application of the laws of another jurisdiction. Venue for any action concerning the Agreement shall be in Williamson County, Texas. 7. Amendment. This Agreement may only be amended by the mutual written agreement of the parties. 8. Severability. In the event one or more of the provisions contained in this Agreement shall for any reason be held invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect other provisions, and it is the intention of the parties to this Agreement that in lieu of each provision that is found to be illegal invalid or unenforceable a provision shall be added to this Agreement which is legal, valid and enforceable and is as similar in terms as possible to the provision found to be illegal, invalid or unenforceable. 9. Assignment. This Agreement may not be assigned without the written consent of the City. 10. Authorized to Bind. The persons who execute their signatures to this Agreement and any certifications related to this Agreement represent and agree that they are authorized to sign and bind their respective parties to all of the terms and conditions contained herein. 11. Counterparts. This Agreement may execute in counterparts. Each of the counterparts shall be deemed an original instrument, but all of the counterparts shall constitute one and the same instrument. [Signatures on the following page.] 4 2020042813 Page 5 of 9 Executed on this ``day of \_,Aprt.41 , 2020. DEVELOPER: CORNERSTONE ASSOCIATES, LLC By: Litt Its: PReStAni Bobbi Jo Lucas, President CITY: ROUND ROCK, TEXAS By: Craig organ, ayor Attest: Sara White, City Clerk 5 2020042813 Page 6 of 9 ACKNOWLEDGMENT STATE OF TEXAS COUNTY OF WILLIAMSON This instrument was acknowledged before me on , 2020, by Craig Morgan, Mayor of the City of Round Rock, Texas, on behalf of said city. <, 4,„ k ) ® _� e w i BLANC4GILJS I Notary Public, State of Texas .g.` My Notary ID 1305E23 7 MyCommission expires: Ex pies Mem-)15,2024 6 2020042813 Page 7 of 9 ACKNOWLEDGMENT STATE OF Nel-- o(& COUNTY OF DUm���_; This instrument was acknowledged before me on ;'-I-I41 04 Apr i i , 2020 by P,i)h; :Jo -u!' S of CORNERSTONE ASSOCIATES, LLC, on behalf of said limited liability company. General Notary-State of Nebraska JILLIAN K.FLYNN Notary Public, State of Nebraska My Comm.Exp.Sept.28, �..'. My Commission expires: /— After recording, return to: Sheets & Crossfield, PLLC 309 East Main Street Round Rock, Texas 78664 7 2020042813 Page 8 of 9 Exhibit "A" El� " 4.4 .'... vimit i to Cr) cap • Im Co) v to �--- co Ce 1 '� 1..... �. In ism CO L. in � ,ice ' 1 mg La w„.w:,w....uwnwnwurnw�.wuwuwuwnwuruwuruwnuwurill nwarur.+ n��+ Red_B.u.d�Ln 4** ' E "Flip 100' ..,..10, W 4 y 1 I 2020042813 Page 9 of 9 ELECTRONICALLY RECORDED OFFICIAL PUBLIC RECORDS 2020042813 Pages: 9 Fee: $49.00 04/28/2020 08:39 AM �AS E Of P11 `V • � tir Nancy E. Rister,County Clerk Williamson County,Texas