HomeMy WebLinkAboutAM ED Fidelity Town of Westlake
Memo
To: Honorable Mayor and Members of the Board of Aldermen
From: Trent Petty, Town Manager
Subject: Regular Meeting of April 24, 2006
Date: April 18, 2006
ITEM
Consider a Resolution adopting an Economic Development Agreement pursuant to the
Town's Economic Development Policy and Tax Abatement Policy with Fidelity Texas
Limited Partnership; and declaring an effective date.
RECOMMENDATION
Staff recommends approval.
BACKGROUND
Fidelity has announced a 600,000 sq. ft. expansion of its Westlake campus valued at over
$80,000,000 and employing up to 2,500 new people at build-out. Both Tarrant County
and the State of Texas have incentivized this project which has received nation wide
attention. As has been the history of Fidelity's agreements with the Town, Fidelity has
requested a new 10 year abatement of advalorem property taxes on Phase II beginning at
the time the facility is occupied. The agreement states that the Town would collect 10%
of the advalorem taxes due and the remaining 90% would be abated. In addition, as an
established precedent, the Town seeks to share sales tax dollars with Fidelity for sales
from the construction related aspects of the project situs in Westlake. Under the
agreement, Fidelity will be reimbursed 1% of the municipal collected sales tax and the
Town will keep the two (2) I/2 cent sales tax proceeds. Fidelity has also agreed to fund
their portion of the new upper Trinity line when and if it is built, in an amount not to
exceed the Town's estimate for construction($260,000).
In order to adopt the Incentive, state law requires that the Town adopt an Economic
Development Incentive Policy. This Policy is in place and was most recently adopted by
the Board pursuant to Maguire Partner's construction of the First American project. In
addition the provisions of the first Economic Development Agreement and Subdivision
Agreement for Phase I of the Fidelity project remain unchanged.
Fidelity must receive an approved preliminary plat and site plan amendment from
Planning and Zoning Commission and the Board of Aldermen in order for these
incentives to be available.
FUNDING
Sales tax revenues to the Town for the Phase I project totaled $536,374. None of these
funds would have been realized absent the situs agreement instituted by Fidelity. Since
the Town has not adopted an advalorem property tax, no property tax revenues have been
abated to Fidelity. Phase II should produce a similar sales tax revenue to the Town.
ATTORNEYS&COUNSELORS
901 Main Street,Suite 6000 Myron D.Domic
Dallas,T% 75202 (214)953-5946(Direct Dial)
(214)953-6000,Fax (214)953-5822
ww.v.ju�,com {2]4)661-6622(Direct Fax)
mdornic @jw.com
JACKSON WALKER L.L.P.
February 8,2007
L. Stanton Lowry
Town Attorney
Town of Westlake
2650 J.T. Ottinger Road
Westlake, Texas 76262
Re: Reinvestment Zone for Fidelity Expansion
Dear Stan:
For purposes of providing adequate notice, a description of the entire Fidelity campus
was given for identifying the location of the proposed reinvestment zone for the contemplated
Fidelity expansion. However, in finally designating the reinvestment zone for the expansion, I
believe it would probably be appropriate to exclude the area encompassing the existing buildings
(as the existing buildings were fully developed under prior agreements and are slated to be
returned in full to the tax rolls).
This would be accomplished by excepting the lot that was platted for the Phase I
buildings from the legal description for the ordinance to be considered by the Board of Aldermen
at Monday's meeting:
1. The following suffix would be added to the legal description to Parcel 1:
Save and except Lot 1 (87.725 acres more or less)of the Fidelity Investments Addition Phase 1,
an addition to the Town of Westlake, Tarrant County, Texas according to the map or plat thereof
recorded in Cabinet A, Slide 1104, Plat Records, Tarrant County, Texas.
(copy of modified description attached).
2. The resulting acreage of the new reinvestment zone would then be 249.648 acres.
Please do not hesitate to call should you want to discuss.
Si erely,
/ f -
M D. Dornic `�.
Austin
Dallas
Fort Worth
Houston
Richardson
San Angelo
San Antonin
Member of GLOBALAW''
EXHIBIT A
LEGAL DESCRIPTION OF PROPERTY
(2 Parcels)
Exhibit A
Parcel I
Being a tract of land situated in the Charles Medlin Survey, Abstract Number
823 (Denton County), Abstract Number 1084 (Tarrant County) , the Memucan Hunt
Survey, Abstract Number 756 (Tarrant County) and the J. Bacon Survey, Abstract
Number 2026 (Tarrant County), Town of Westlake, Denton and Tarrant Counties,
Texas and being all of the tract of land conveyed to Hillwood/1088, Ltd. ,
recorded in Volume 12260, Page 1948 of Deed Records, Tarrant County, Texas, and
being a portion of that tract of land conveyed to Hillwood/Willow Bend, Ltd. ,
recorded in Volume 11316, Page 2235 of Deed Records, Tarrant County, Texas and
under county clerk's number 93-R0075228 of Real Property Records, Denton
County, Texas, all of that tract of land conveyed to Scott Bradley and Kelly
Pace Bradley, recorded in Volume 6395, Page 67 of said Deed Records and all of
a called half acre tract of land conveyed to Edward T. Dicker and wife,
Nannette Dicker, recorded in Volume 3053, Page 164 of said Deed Records and
being more particularly described by metes and bounds as follows:
BEGINNING at a railroad spike, found at the intersection of the approximate
centerline of Precinct Line Road (a variable width right-of-way) and the
centerline of Roanoke-Dove Road (a called 50 foot right-of-way), and being the
Southeast corner of said Hillwood/1088 Tract;
THENCE S 01 degree 47 minutes 50 seconds W, 432.02 feet, with the East line of
said Hillwood/Willow Bend Tract, to a 5/8 inch iron rod with plastic cap,
stamped "Carter & Burgess", found;
THENCE N 80 degrees 10 minutes 38 seconds W, 161.68 feet, to a 5/8 inch iron
with plastic cap stamped "Carter & Burgess", found at the beginning of a curve
to the right;
THENCE with said curve to the right, an arc distance of 466.34 feet, through a
central angle of 26 degrees 52 minutes 50 seconds, having a radius of 994.00
feet, the long chord of which bears N 66 degrees 44 minutes 13 seconds W,
462.07 feet, to a 5/8 inch iron rod with plastic cap stamped "Carter & Burgess"
found;
THENCE N 53 degrees 17 minutes 48 seconds W, 41.67 feet to a 5/8 inch iron rod
with plastic cap stamped "Carter & Burgess", found at the beginning of a curve
to the left;
THENCE with said curve to the left, an arc distance of 472.87 feet, through a
central angle of 24 degrees 37 minutes 50 seconds having a radius of 1100.00
feet, the long chord of which bears N 65 degrees 36 minutes 43 seconds h,
469.24 feet, .-u a railroad spike, found in the South, Line of said Hill-wood/1088
Tract, _n the approximate centerline of Roanoke-Dove Road;
THENCE with the approximate centerline of Roanoke-Dove Road the following
bearinzs and distances: D
S 89 degrees 50 minutes 03 seconds W, 884.67 feet, to a railroad spike found;
Exhibit A (Continued)
N 86 degrees 34 minutes 52 seconds TAT, 550.83 feet to a railroad spike found;
N 82 degrees 28 minutes 16 seconds W, 252.07 feet to a railroad spike found;
S 65 degrees 50 minutes 11 seconds W, 562.77 feet to a railroad spike found;
S 71 degrees 04 minutes 02 seconds W, 198.77 feet to a railroad spike found;
THENCE N 11 degrees O1 minute 26 seconds W, 589.37 feet, departing said
approximate centerline, to a 5/8 inch iron rod with plastic cap stamped "Carter
& Burgess", found;
THENCE N 00 degrees 26 minutes 55 seconds W, 573.79 feet to a 5/8 inch iron rod
with plastic cap stamped "Carter & Burgess", found;
THENCE N 17 degrees 09 minutes 12 seconds E, 1518.12 feet to a 5/8 inch iron
rod with plastic cap stamped "Carter & Burgess", found;
THENCE N 09 degrees 07 minutes 25 seconds W, 892.93 feet to a 5/8 inch iron rod
with plastic cap stamped "Carter & Burgess", found at the beginning of a
non-tangent curve to the left;
THENCE with said non-tangent curve to the left, an arc distance of 1369.14
feet, through a central angle of 58 degrees 52 minutes 17 seconds, having a
radius of 1332.50 feet, the long chord of which bears N 49 degrees 12 minutes
42 seconds E, 1309.71 feet, to a 5/8 inch iron rod with plastic cap stamped
"Carter & Burgess" , found;
THENCE N 19 degrees 46 minutes 33 seconds E, 318.45 feet to a 5/8 inch iron rod
with plastic cap stamped "Carter & Burgess", found in the southerly right-of-way
of State Highway 114 (a variable width right-of-way), from which a Texas
Department of Transportation brass disc bears, S 70 degrees 39 minutes 43
seconds W, 21.56 feet;
THENCE with said southerly right-of-way the following courses and distances:
N 70 degrees 39 minutes 41 seconds E, 64.29 feet to a Texas Department of
_ransportaticn brass disc, found at the beginning of a non-tangent curve to the
Left,
17ith said non:- argent curve to _hle left, an arc distance of 44.3.43 feet,
-;,rough a central angle of C4 degrees 25 minutes 08 seconds, having a radius of
5749.78 feet, the long chord of which bears S 72 degrees 08 minutes 30 seconds
443.32 feet, to a 5/8 inch iron rod with plastic cap stamped "Carter &
Burgess" , found;
S 63 degrees 32 minutes 03 seconds E, 238.74 feet to a Texas Department of
Transportation brass disc, found;
Exhibit A (Continued)
N 84 degrees 41 minutes 23 seconds E, 154.28 feet to a Texas Department of
Transportation brass disc, found;
S 76 degrees 41 minutes 49 seconds E, 119.54 feet to a 5/8 inch iron rod with
plastic cap stamped "Carter & Burgess", found;
S 45 degrees 55 minutes 45 seconds E, 116.36 feet to a 5/8 inch iron rod with
plastic cap stamped "Carter & Burgess", found;
S 75 degrees 22 minutes 11 seconds E, 296.05 feet to a 5/8 inch iron rod with
plastic cap stamped "Carter & Burgess", found;
N 69 degrees 29 minutes 26 seconds E, 98.90 feet to a Texas Department of
Transportation, brass disc, found at the beginning of a non-tangent curve to the
left;
With said non-tangent curve to the left, an arc distance of 204.65 feet,
through a central angle of 02 degrees 03 minutes 13 seconds, having a radius of
5709.58 feet, the long chord of which bears S 72 degrees 10 minutes 21 seconds
E, 204.64 feet, to a Texas Department of Transportation brass disc, found;
S 71 degrees 03 minutes 31 seconds E, 736.07 feet to a railroad spike, found at
the northeast corner of said Hillwood/Willow Bend tract, in the approximate
centerline of aforementioned Precinct Line Foad;
THENCE S 00 degrees 30 minutes 00 seconds E, 1386.00 feet to a 1/2 inch iron
rod, found;
THENCE S 23 degrees 55 minutes 44 seconds W, 87.29 feet to a 3/8 inch iron rod,
found;
THENCE N 89 degrees 19 minutes 34 seconds W, 61.48 feet to a 5/8 inch iron rod
with plastic cap stamped "Carter & Burgess", set at the Northeast corner of
aforementioned Dicker Tract;
THENCE S 27 degrees 00 minutes 00 seconds W, 152.65 feet, with the East 'line of
said Dicker Tract, to a 5/8 inch iron rod with plastic cap stamped "Carter &
Burgess", set in the East amine of aforementioned Bradley Tract;
EHENCE S 00 degrees 16 minutes 79 seconds iv, 2147.22 feet, with the approximate
centerlinp of sai:i Precinct Line Roan, *o the Point of Beginning and Containing
34,r31 >c, ire °eet or _ .306 acres of land.
,SAVE AND EXCEPT Lot 1 (87.725 acres more or less)of the Fidelity Investments Addition
Phase I,an addition to the Town of Westlake,Tarrant County, Texas according to the map or
plat thereof recorded in Cabinet A, Slide i 104, Plat 13'ecords,Tarrant County, Texas.
Exhibit A (Continued)
Parcel 2
BEING a tract of land situated in the C.M. THROOP SURVEY, ABSTRACT No,
1510, the W. MEDLIN SURVEY, ABSTRACT No. 1958, and the WILLIAM PEA
SURVEY, ABSTRACT No. 1246, Tarrant County, Texas and in the WILLIAM PEA
SURVEY, ABSTRACT No. 1045, and the W. MEDLIN SURVEY, ABSTRACT No.
1588, Denton County, Texas and being a portion of that tract of land as described in
the Special Warranty Deed to MTP-IBM PHASE 11 and M JOINT VENTURE as
recorded in Volume 8995, Page 1268 of the Deed Records of Tarrant County, Texas
and being more particularly described as follows:
CONZMNCING at a 518 inch iron rod with cap stamped "Carter & Burgess" found at
the southwest comer of Lot 1, Block 3, Westlake/Southlake Park Addition No. 1, an
addition to the Town of Westlake, Texas as recorded in Volume 388-214, Page 78 &
79 of the Plat Records of Tarrant County, Texas, same being the southeast comer of
said MTP-IBM Phase H and III tract;
THENCE, North 89 degrees 57 minutes 44 seconds West, along the southerly line of
said MTP-IBM Phase H and III Joint Venture tract, a distance of 200.93 feet to a point
for a comer from which a I inch iron rod found bears North 59 degrees 11 minutes 44
seconds West, 0.35 feet;
THENCE, North 00 degrees 20 minutes 49 seconds East, along the southerly line of
said MTP-IBM Phase H and III Joint Venture tract, a distance of 45.01 feet to a 5/8
inch iron rod found with cap stamped "Carter &Burgess";
THENCE, North 89 degrees 39 minutes 10 seconds West, along the southerly line of
said MTP-IBM Phase II and III Joint Venture tract and along the northerly right-of-way
line of Roanoke Dove Road (variable width right-of-way), a distance of 1,346.51 feet
to a 518 inch iron rod found with cap stamped "Carter & Burgess" and being the
beginning of a curve to the right having a central angle of 89 degrees 45 minutes 10
seconds, a radius of 154.38 feet and being subtended by a 217.85 foot chord which
bears North 44 degrees 46 minutes 35 seconds West;
THENCE, in a northwesterly direction along the northeasterly right-of-way line of
Roanoke Dove Road and along said curve to the right, an arc distance of 241.83 feet to
a 518 inch iron rod found with cap stamped "Carter & urgess" at the end of d curve
B r, said
and also beinc, on the easterly right-of-way line of Precinct Line Road (variable width
right-of-way);
Exhibit A (Continued)
THENCE, along the westerly line of said MTP-IBM Phase II and III Joint Venture
Tract and along the easterly right-of-way line of Precinct Line Road the following;
North 00 degrees 06 minutes 00 seconds East, a distance of 977.90 feet to a 518
inch iron rod found with cap stamped "Carter &Burgess";
North 00 degrees 08 minutes 31 seconds West, a distance of 394,37 feet to a
5/8 inch iron rod found with cap stamped "Carter&Burgess";
North 00 degrees 10 minutes 13 seconds West, a distance of 289.94 feet to a
5/8 inch iron rod set with cap stamped "Huitt-Zollars", the WT OF
BEG G,
THENCE, continuing along the westerly line of said MTP-IBM Phase II and III Joint
Venture Tract and along the easterly right-of-way line of Precinct Line Road the
following;
North 00 degrees 10 minutes 13 seconds West, a distance of 261.73 feet to a
518 inch iron rod found with cap stamped "Huitt-Zollars";
North 02 degrees 20 minutes 32 seconds East, a distance of 554.17 feet to a 1/2
inch iron rod found;
North 28 degrees 49 minutes 02 seconds East, a distance of 164.88 feet to a 112
inch iron rod found with cap stamped "RPLS No. 2912";
North 23 degrees 30 minutes 55 seconds East, a distance of 98.16 feet to a 518
inch iron rod found with cap stamped "Huitt-Zollars";
North 12 degrees 46 minutes 54 seconds East, a distance of 100.00 feet to a 518
inch iron rod found with cap stamped "Carter&Burgess";
North 00 degrees.16 minutes 18 seconds West, a distance of 993.50 feet to a
518 inch iron rod found on an interior northerly line of said MTP-IBM Phase II
and III Joint Venture Tract;
THENCE, departing the easterly right-of-way line of said Precinct Line Road and
along an interior northerly line of said MTP-IBM Tract, North 89 degrees 47 minutes
00 seconds East, a distance of 258.02 feet to a 5/8 inch iron rod found;
THENCE, along an interior westerly line of said MTP-IBM Phase II and III Joint
Venture Tract, North 00 degrees 30 minutes 28 seconds West, a distance of 186.34 feet
to a Texas Department of Transportation monument found on the southwesterly right-
Exhibit A (Continued)
of-way line of State Highway No. 114 (variable width right-of-way), as described in
Donation Deed to the State of Texas as recorded in Volume 14591 Page 857 of the
Deed Records of Tarrant County, Texas;
THENCE, along the southwesterly right-of-way line of State Highway No. 114 as
described in said Donation Deed, the following;
South 63 degrees 04 minutes 29 seconds East, a distance of 144.15 feet to a 518
inch iron rod found in concrete;
South 49 degrees 15 minutes 26 seconds East, a distance of 107.70 feet to a
point for a corner from which a Texas Department of Transportation monument
found bears North 46 degrees 07 minutes 39 seconds West, 0.50 feet;
South 71 degrees 03 minutes 31 seconds East, a distance of 100.00 feet to a
Texas Department of Transportation monument found;
South 80 degrees 53 minutes 41 seconds East, a distance of 234.54 feet to a
Texas Department of Transportation monument found;
South 29 degrees 05 minutes 17 seconds East, a distance of 5233 feet to a point
for a corner from which a Texas Department of Transportation monument found
bears South 55 degrees 49 minutes 16 seconds West, 0.80 feet;
South 18 degrees 56 minutes 29 seconds West, a distance of 30.00 feet to a
point for a corner from which a Texas Department of Transportation monument
found bears South 17 degrees 46 minutes 53 seconds West, 0.61 feet;
South 71 degrees 03 minutes 31 seconds East, a distance of 60.00 feet to a 518
inch iron rod set with cap stamped "Huitt-Zollars";
TBINCE, departing the southwesterly right-of-way line of State Highway No. 114
South 19 degrees 01 minutes 54 seconds West, a distance of 335.03 feet to a 518 inch
iron rod set with cap stamped "Huitt-Zollars" at the beginning of a curve to the right
having a central angle of 09 degrees 44 minutes 51 seconds, a radius of 1,054.00 feet
and being subtended by a 178.42 foot chord which bears South 23 degrees 53 minutes
17 seconds West;
THENCE, along said curve to the right in a southwesterly direction, an are distance of
178.63 feet to a 518 inch iron rod set with cap stamped "Huitt-Zollars" at the end of
said curve;
THEN,CE, South 28 degrees 45 minutes 43 seconds West; a distance of 595.41 feet to
Exhibit A (Continued)
a 5/8 inch iron rod set with cap stamped "Huitt-Zollars' at the beginning of a curve to
the right having a central angle of 15 degrees 56 minutes 56 seconds, a radius of
1050.00 feet and being subtended by a 291.34 foot chord which bears South 36 degrees
45 minutes 01 seconds West;
THENCE, along said curve to the right in a southwesterly direction, an are distance of
292.28 feet to a 518 inch iron rod set with cap stamped "Huitt-Zollars" at the end of
said curve;
THENCE, South 44 degrees 42 minutes 25 seconds West., a distance of 109.52 feet to
518 inch iron rod set with cap stamped "Huitt-Zollars" and being the beginning of a
curve to the left having a central angle of 43 degrees 29 minutes 49 seconds, a radius
of 1050.00 feet and being subtended by a 778.12 foot chord which bears South 22
degrees 58 minutes 18 seconds West;
THENCE, along said curve to the left in a southwesterly direction, an arc distance of
797.12 feet to the POINT OF BEGINNING and containing 22.067 acres of land,
more or less.
ENVAS LWOW REY
January 12, 2007
Trent Petty
Town Manager
Town of Westlake
2650 JT Ottinger Road
Westlake, Texas 76262
Fidelity Investments—Phase H Expansion Proposal
Dear Trent,
I am writing on behalf of Fidelity Investments with regard to the potential expansion of
our Southwest Regional Center in Westlake. I am proud to serve as General Manager of
our Westlake site, and appreciate the opportunity to provide initial information on the
scope of this potential expansion to the Town of Westlake.
This letter is to request the support of the Town of Westlake for the Fidelity expansion.
Further, the firm requests the Town's agreement to again rebate 50%of sales tax
associated with construction;provide property tax abatement(should one be enacted
within 10 years of project completion); and support relevant permitting, infrastructure
improvements, and State and County incentive applications. More specific information
on these requests follows,below.
Background
As you know, Fidelity's existing facility in Westlake has reached its employment
capacity, and the firm is currently evaluating the potential for growth at the new site. The
Westlake facility today houses more than 3,000 employees in a broad range of high-
quality, well-paying jobs. As you know, Fidelity opened its Westlake campus in late
2000, and subsequently received recognition for both architectural design and
environmental efficiency. During this time, Fidelity has worked to maintain a strong and
cooperative working relationship with the Town of Westlake, Tarrant County
government,and with the State of Texas, and we anticipate continuing this strong
relationship in the future.
In order to meet the needs of Fidelity's growing customer base, the firm is currently
evaluating the potential for construction of a second facility on the Westlake campus.
The potential facility will require a capital expenditure exceeding$100 million, and is
expected to be of a size and quality similar to the existing building. We anticipate
Southwest Region One Gesi.n,Wap
'Aes:,ake,TX"c2c2
construction of a state-of-the-an office building of approximately 600,000 square feet.
Associated with construction would be the creation of approximately 1,500 new jobs.
The firm anticipates that hiring for the new positions could begin shortly after approval of
the Tom proposal, with hiring complete by 2009.
As with the ensting structure,Fidelity anticipates construction of structured parking
facilities to accommodate employee vehicles, and integration of the new facilities with
natural surrounding and landscapes,as is the company's practice. The firm has been and
will remain,sensitive to to concerns in the design and placement of facilities.
Clearly,the addition of new work ers is likely to also result in increased utilization of
existing roads and infrastructure. Fidelity has always worked closely with the Town to
appropriately meet these needs, and in particular to support completion of several long-
considered mad improvements abutting the site. Toward this end,the firni has requested
support from State and County entities for expedited relocation of FM 1938 adjacent to
the campus,and improvements to the existing interchange at lEghways 114/170.
Construction of a second facility on Fidelity's campus is likely to result in a variety of
long-term benefits to the to These range from the addition of new, hi quality,well-
paying positions on the campus,to opportunities for to businesses to provide service to
the site. As you know,Fidelity has regularly hosted and made space available to local
municipal, educational and non profit organizations, and anticipates continuing this into
the future. For example,Fidelity has hosted a school funding hearing,employees
volunteer more than 5,000 hours annually with Fidelity sponsored local non profit ard
educational initiatives, and for the past three years, we have hosted a 10 month police
training program for the Trophy Club Department of Public Safety to support the training
of area police officers.
The Fidelity expansion could also contribute to creation of a critical mass of workers that
could provide a customer base that could support private retail development, supplement
the Town's existing tax base, and provide improvements to the quality of life enjoyed by
all residents of Westlake and surrounding Tarrant and Denton counties.
R or Super
Nuest f port
This letter is to request that the To of Westlake review and evaluate Fidelity's
expansion proposal, and:
• Support the Fidelity expansion project. If the Town agrees to support the project,
we ask that the Town provide a letter of support to Fidelity in support ofthe
firm's application for incentives from the Texas Enterprise Fund, and for tax
abatement by Tarrant County.
• Extend 501/a rebate on sales tax on construction materials utilized in the firm's
expansion project, as provided by the Town of Westlake upon initial construction
in 1999-2000. As you are aware, at that time,the Town provided a 50%rebate on
the existing 2%local sales tax, bringing the effective rate to 1%.
a Extend 501/1a rebate on sales tax on construction materials utilized in the firm's
expansion project, as provided by the To of Westlake upon initial construction
in 1999-2000. As you are aware,at that time,the To provided a 5(r/o rebate on
the existing 2%to sales tax,bringing the effective rate to 1%.
a Provide a property tax abatement of 10 years from the tea certificate of
occupancy is issued on the new facility,.in the caset t such a tax is enacted
during that period of time. As you know,the To extended a similar agreanent
to Fidelity upon initial construction of its Westlake campus
® Agree to assist in prompt procurement of all necessary water and wastewater
contracts associated with the Fidelity campus and expansion project, as occurred
during the initial construction period.
6 Support expedited permitting for the facility on interactions with the Town, and
support for additional requests to County and State entities associated with the
project. Similar support was provided by the To to Fidelity during initial
construction.
Fidelity is proud to be a member of the Westlake community, and eager to work closely
with the Town to advance this exciting expansion project. As applications are currently
pending with State and County officiaN,we ask your prompt and expedited consideration
of this request. As the local General Manager of the site, I will be pleased to work with
you to answer your questions and provide any additional assistance that may be required.
Sincerely
Fran Eichorst
Vice President and General Manager
Southwest Regional Center
Fidelity Investments
LETTER OF INTENT
This is a Letter of Intent among the Town of Westlake, Scott Bradley, and Hillwood
Development Corporation and affiliates ("Hillwood"). The purpose of this Letter of
Intent is to facilitate the process by which affiliates of Fidelity Investments will locate a
major facility in the Town of Westlake that can have great benefits for the future of the
Town and its citizens, and by which land use, finance, and litigation matters affecting the
Town can be promptly resolved for the benefit of all concerned.
It is the intention of the parties to cause the terms of this Letter of Intent to be embodied
in one or more final written agreements. However, no party hereto shall be legally bound
with respect to any matter set forth herein until such final written agreement(s) have been
duly approved and signed by such party.
The following represents the intention of the parties hereto:
1. Fort Worth Proposal. The parties will do all things reasonably necessary to approve
and carry into effect the Proposal to the City of Fort Worth attached hereto as Exhibit A,
including the settlements of litigation described in such Exhibit and mutual releases
executed by the parties. Such settlements will not preclude the Town of Westlake or
Scott Bradley from challenging the legal validity of any actions by former Westlake
officials, employees, or attorneys in any ongoing litigation, but the parties (in exchange
for acceptable release) will not bring any damage claims or other suits against each other
or any of such persons by reason of anything occurring up to the date of the settlement.
Such Proposal, together with this Letter of Intent, will be submitted to the Board
of Aldermen of the Town of Westlake for formal approval and ratification on September
14, 1998. If such Proposal or any modified Proposal approved by the parties is accepted
by the City of Fort Worth, the parties hereto will do all things reasonably necessary to
finalize and perform the agreements that result from such acceptance.
ZD
2. Other Litigation. The parties will take or cause the following additional actions with
respect to pending litigation:
A. Hillwood and Westlake will dismiss all claims against each other in the Town
of Roanoke v. Town of Westlake litigation pending in the 367"' District Court
of Denton County, Texas; and
B. The pending proceedings by the Lake Turner (now Circle T) Municipal Utility
Districts for Certificates of Convenience and Necessity before the Texas
Natural Resources Conservation Commission will be dismissed.
3. Finance Plan. The parties will finalize and approve, and use their best efforts to
cause others to finalize and approve, on or before September 28, 1998, formation of
Public Improvement Districts and the Finance Plan proposed by Hillwood, in accordance
with the Deal Point Outline attached hereto as Exhibit B. The Finance Plan shall become
effective, without further action, upon the later of the final dissolution of the Circle T
Municipal Utility Districts or the settlement of the pending litigation referenced in
paragraphs 1 (Exhibit A) and 2.
4. Satisfaction of Conditions for Circle T Zoning. The Town of Westlake will accept
the settlement of pending litigation referenced in 1 (Exhibit A) and 2 above, as full
satisfaction of the conditions for final approval by Westlake of the zoning and related
land use regulation for the Circle T Ranch as stated by Westlake in its actions with
respect to such matters on July 27, 1998, and will take appropriate action to finalize such
actions on September 14, 1998.
5. Satisfaction of Conditions for Fidelity Investments Zoning/Economic
Development Agreement. The Town of Westlake will accept the settlement of pending
litigation referenced in 1 (Exhibit A) and 2 above, as full satisfaction of the conditions
(other than closing of the purchase of the referenced property) for final approval by
Westlake of the zoning and related land use regulation, and for the effectiveness of an
economic development agreement, with respect to the property proposed to be purchased
in Westlake by affiliates of Fidelity Investments, as stated by Westlake in its actions with
respect to such matters on or about August 10, 1998. Westlake and Hillwood will fully
cooperate in procuring services to serve Fidelity Investments in the event that final
dissolution of the MUDS is delayed.
6. Dissolution of Circle T MUD's. The Boards of Directors of Circle T Municipal
Utility Districts 1, 2 and 3 will vote, on or before September 18, 1998, to dissolve each of
such Municipal Utility Districts, conditioned upon and subject to settlement of litigation
as set forth in 1 (Exhibit A) and 2 above and final approval of the Finance Plan referred to
in 3 above by Westlake and all other governmental bodies whose approval is legally
required.
7. Westlake Facilities. Hillwood will dedicate sites for a Town Hall, a fire station, and
a police station to Westlake, at the time such facilities in the Town's reasonable
discretion are needed, at the locations designated in the PD Concept Plan conditionally
approved by the Board of Aldermen of Westlake on July 27, 1998, if such conditions are
removed and the PD Concept Plan is finally effective. A public announcement and
recommendation will be made by Hillwood in accordance with a statement to be
reviewed and approved by the parties.
FiWefify 0 Investments
Douglass A. Reed
Vice President
General Manager
400 East Las Colinas Blvd.
Irving, Texas 75039
(972) 584-7124
October 21, 1999
Members of the Board of Alderman
Members of the Planning and Zoning Commission
% Mr. Trent Petty
City Manager
Town of Westlake
3 Village Circle, Suite 207
Westlake, TX 76262
Via Hand Delivery
Dear Members of the Board and Members of the Commission:
We understand that WBTRC is seeking the necessary approvals from the Town of
Westlake in order to proceed with the development of its proposed upscale residential
community, inclusive of a Tom Fazio designed golf course and private country club
development.
We have previously been briefed on the project and feel that it is absolutely consistent
with the quality standards of the Town of Westlake. There are very few residential/golf
communities in North Texas that would match the quality that we understand will be
delivered by WBTRC.
Fidelity would welcome this project in the Town of Westlake, We encourage the
members of the Board and the Commission to approve this project. Please do not hesitate
to call if I can be of any assistance.
Sincerely,
Douglass A. Reed
DAR/kly