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HomeMy WebLinkAboutR2026-093 20260608RESOLUTION NO. R2026-93 A Resolution of the City Council of the City of Pearland, Texas, approving a Development Agreement with Ashton Oak Homes (Broadway) LLC associated with the Broadway Homes development and authorizing the City Manager or his designee to execute that Development Agreement. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS: Section 1. That certain Development Agreement, a copy of which is attached hereto as Exhibit “A” and made a part hereof for all purposes, is hereby authorized and approved. Section 2. That the City Manager or his designee is hereby authorized to execute and the City Secretary to attest the attached Development Agreement. PASSED, APPROVED and ADOPTED this the 8th day of June, A.D., 2026. _________________________________ QUENTIN WILTZ MAYOR ATTEST: ________________________________ FRANCES AGUILAR, TRMC, MMC CITY SECRETARY APPROVED AS TO FORM: ________________________________ LAWRENCE G. PROVINS CITY ATTORNEY Docusign Envelope ID: 570B8BEB-8DED-8CAD-8299-7F0E71273756 Resolution No. R2026-93 Exhibit A DEVELOPMENT AGREEMENT BETWEEN THE CITY OF PEARLAND, TEXAS AND ASHTON OAK HOMES (BROADWAY) LLC STATE OF TEXAS COUNTY OF BRAZORIA This Development Agreement (this "Agreement") is entered into by and between the City of Pearland, Texas (the "City") and Ashton Oak Homes (Broadway) (the "Owner"). The term "Owner" includes all owners of the Property. The City and the Owner are individually referred to as a "Party" and collectively as the "Parties"; and RECITALS WHEREAS, the City is a home -rule municipal corporation created and existing under the laws of the State of Texas and situated in Brazoria County, Texas, Fort Bend County, Texas and Harris County, Texas; WHEREAS, the Owner owns the real property (the "Property") that is wholly in the City's limit which is more particularly and separately depicted in the Final Plat of Broadway Homes (PLAT24-00097) approved on January 27, 2025, and attached as Exhibit "A"; WHEREAS, the residential development within the Property is depicted in the Unit Mix Site Plan, attached as Exhibit "B"; WHEREAS, Chapter 212 of the Texas Local Government Code allows the City to adopt rules governing plats and subdivisions of land within the City limits and the Extraterritorial Jurisdiction of the City; WHEREAS, Chapter 212 of the Texas Local Government Code allows the City to adopt reasonable specifications relating to the construction of streets and roads; WHEREAS, Chapter 212 of the Texas Local Government Code provides standards for plat approval, which include conformance with the general plan of the municipality and its current and future streets, and the general plan for the extension of the municipality and its road, streets, highways within the City and the ETJ; WHEREAS, the City's Unified Development Code (UDC) requires that land proposed for development in the City and in the City's extraterritorial jurisdiction must be served adequately by essential public facilities, including roadway facilities and that land shall not be approved for platting or development unless and until all public facilities necessary to serve the development exist or provision has been made for the facilities, whether the facilities are to be located within the property being developed or offsite (Section 3.2.1.1 (a)); WHEREAS, Section 3.1.8.2 (a) of the City's UDC requires the installation of all public improvements required to serve the subdivision, whether to be located off -site or on -site, including roadway improvements, to be finally completed in accordance with the approved construction plans prior to Final Plat Approval; WHEREAS, Section 3.1.8.2 (b), Section 3.1.8.3 (a), and Section 3.1.8.4 (a) of the City's UDC authorize the City Engineer to defer a property owner's construction obligation until after Final Subdivision Plat recordation if the Owner executes a Subdivision Improvement Agreement and provides sufficient surety to secure the construction obligations; WHEREAS, Owner's Property abuts a right-of-way, Broadway Street, which is in the City's Territorial Jurisdiction and within Fort Bend County, Texas, which is on both Fort Bend County's Thoroughfare Plan as Major Thoroughfare and the City's Thoroughfare Plan as a Major Thoroughfare, and which serves as the primary roadway for egress to and from the Property; WHEREAS, the Parties agree that Owner is required to install the traffic signal at the intersection of Broadway Street and Shadow Grove Lane (hereinafter referred to as "the Improvement"); WHEREAS, at the Owner's request and in accordance with the City's Unified Development Code, the City Engineer deferred the Owner's construction obligation of the Improvement, as evidenced by the approval of a Subdivision Improvement Agreement under SIA24-00003; WHEREAS, Section 3.1.8.3 (a) of the City's UDC requires that whenever public improvements to serve the development are deferred until after Final Subdivision Plat approval, the required public improvements must be completed no later than two (2) years following the date upon which the Final Subdivision Plat is recorded; WHEREAS, Section 3.1.8.4 (d) the City's UDC requires that when a subdivision improvement agreement is executed by a property owner and sufficient security is provided, the property owner is limited to a release for construction on up to five (5) percent of the residential lots; WHEREAS, the Parties agree that Owner has been asked by the Texas Department of Transportation (TXDOT) to delay installation of the Improvement until TXDOT's roadway improvement project at and near the intersection of Broadway Street and FM 521 ("the TXDOT Project") is completed, See Exhibit "C"; WHEREAS, the Parties agree TXDOT's request implies an estimated completion date for the TXDOT Project more than two years after the approval of the final plat of the Property; WHEREAS, the Parties agree that, upon the approval of this Development Agreement, Owner will modify, supplement, amend, and/or replace the applicable Subdivision Improvement Agreement and security supporting that agreement to guarantee all outstanding public improvements.; WHEREAS, the Parties agree the terms of Exhibit E are being modified by this Agreement to extend the deadline of completion for installing the Improvement to six months after Substantial Completion of the TXDOT Project; WHEREAS, the City Council approved and adopted this Agreement in open session in accordance with all applicable laws; and WHEREAS, all notices, hearings and other procedural requirements imposed by law for the adoption of this Agreement have been met; and WHEREAS, this Agreement provides benefits for the City and the Owner that are reasonable and equitable. NOW THEREFORE, for and in consideration of the mutual agreements contained in this Agreement, and for the good and valuable consideration the receipt and adequacy of which are hereby acknowledged, the Parties agree as follows: ARTICLE I. Section 1.1 Recitals. The recitals set forth above are true and correct and are incorporated herein and made a part hereof as findings for all purposes. Section 1.2 Definitions. Capitalized terms used herein, including the recitals here, shall have the meaning set forth in the section in which they are originally used, unless otherwise defined, or unless the context clearly requires another definition. Section 1.3 Effective Date. The effective date of this Agreement (the "Effective Date") is the date it is approved and adopted by the City Council. Section 1.4 Term. This Agreement commences on the day it is approved by City Council and continues until Owner's construction obligations for the Improvement has been constructed by Owner, dedicated to the City of Pearland, and accepted by the City of Pearland. Section 1.5 Filing in Property Records. This Agreement shall be filed in the Real Property Records of Fort Bend County, Texas. ARTICLE II. DEVELOPMENT OF THE PROPERTY Section 2.1 Owner. a. Owner will submit an amended Subdivision Improvement Agreement with satisfactory security for the Improvement within 10 business days after the execution of this Agreement. This security will be in an amount not less than 125% of the amount which Owner would pay for installation of the Improvement if installation were to take place beginning on the date of approval of this Agreement. The cost of installation is to be shown by one or more actual cost estimates by contractors and/or subcontractors who regularly perform this type of construction work or by fully executed contract(s) provided by Owner. b. On or before October 1, 2026, Owner will provide to the City an updated estimate from TXDOT of when the TXDOT Project will be completed, if their Project is still ongoing. This may include but is not limited to time/date stamped photos of the TXDOT Project, a formal letter from TXDOT, an email from a contractor confirmed to be involved with the TXDOT Project, etc. Owner will provide to the City an updated cost estimate for installation of the Improvement or a written notice indicating the cost estimate for installation has not changed. If the cost estimate has increased from the previous estimate provided by Owner, the Owner must provide the City proof of an updated security which will cover the additional cost, if any. c. If the Improvement has not been installed before Owner reaches the 60% construction limit or February 1, 2027, Owner will provide to the City an updated cost estimate for installation of the Improvement or a written notice indicating the cost estimate for installation has not changed, and an updated estimate from TXDOT of when the TXDOT Project will be completed, if their Project is still ongoing. If the cost estimate has increased from the previous estimate provided by Owner, the Owner must provide the City proof of an updated security which will cover the additional cost, if any. d. Owner will not be permitted to exceed 60% construction limit until the Improvement is Substantially Complete. e. Owner agrees to not submit any additional applications for residential construction permits in excess of what is authorized by this Agreement until after the Improvement is Substantially Complete. f. Owner agrees to install the Improvement at the earliest practicable date after receiving notice from TXDOT to proceed, based on TXDOT providing notice of completion or substantial completion of the TXDOT Project. Section 2.2 City a. Upon the satisfaction of Section 2.1 a. above, the City will allow Owner to exceed the construction limit established in Section 3.1.8.4 (d) of the UDC from 5% to 60%, which equates to 91 residential units to be built on the Property. The City will also allow the Owner to construct the non-residential amenities center. The area in which the City will allow Owner to make improvements authorized by this agreement is identified in Exhibit "B". b. Upon the determination by the City that the Improvement is Substantially Complete, the City will allow Owner to exceed the 60% limit established in subsection a. immediately above to 100% for the remaining areas of the Property. ARTICLE III. BREACH, NOTICE AND REMEDIES Section 3.1 Notification of Breach. If either Party commits a breach of this Agreement, the non - breaching Party shall give Notice to the breaching Party that describes the breach in reasonable detail. Section 3.2 Cure of Breach. The breaching Party shall commence curing the breach within 15 calendar days after receipt of the Notice of the breach and shall complete the cure within 30 days from the date of commencement of the cure; however, if the breach is not reasonably susceptible to cure within such 30 -day period, the non -breaching Party shall not bring any action so long as the breaching Party has commenced to cure within such 30 -day period and diligently completes the work within a reasonable time without unreasonable cessation. Section 3.3 Remedies for Breach. If the breaching Party does not substantially cure the breach within the stated period of time, the non -breaching Party may, in its sole discretion, and without prejudice to any other right under this Agreement, law, or equity, seek any relief available at law or in equity, including, but not limited to, an action under the Uniform DeclaratoryJudgment Act, specific performance, mandamus and injunctive relief; provided, however, that the non -breaching Party shall not be entitled to terminate this Agreement. The Parties specifically waive any right that they have or in the future may have to terminate this Agreement. Damages, if any, to which any non -breaching Party may be entitled shall be limited to actual damages and shall not include special or consequential damages. In addition, the prevailing party in any such action shall be entitled to reasonable attorney's fees and costs of litigation as determined in a final, non -appealable order in a court of competent jurisdiction. Additionally, Owner agrees that if Owner breaches this Agreement, as an additional remedy, the City may issue a Stop -Work Order for any outstanding permits and may refuse to issue any additional Certificates of Occupancy until the breach is cured. ARTICLE IV. ADDITIONAL PROVISIONS Section 4.1 Conveyance. All conditions and covenants of this Agreement are hereby declared to be covenants running with the land and shall be fully binding upon all persons acquiring any interest in all, or a portion of the Property described herein, whether by descent, demise, purchase, gift or otherwise. This Agreement and the benefits and obligations created hereby shall inure to the benefit of and be binding upon the parties hereto and their successors, transferees and assigns. Any purchaser of all or any portion of the Property assumes and agrees to be bound by the covenants and agreements of this Agreement that apply to the Owner. Any person who sells or conveys any portion of the Property shall, prior to such sale or conveyance, give written notice of this Agreement to the prospective purchaser or grantee, and shall give written notice of the sale or conveyance to the City. Section 4.2 Notices. Any notices, certifications, approvals, or other communications (a "Notice") required to be given by one Party to another under this Agreement shall be given in writing addressed to the Party to be notified at the address set forth below and shall be deemed given: (i) when the Notice is delivered in person to the person to whose attention the Notice is addressed; (ii) 10 business days after the Notice is deposited in the United States Mail, certified or registered mail, return receipt requested, postage prepaid; or (iii) when the Notice is delivered by Federal Express, UPS, or another nationally recognized courier service with evidence of delivery signed by any person at the delivery address. If any date or period provided in this Agreement ends on a Saturday, Sunday, or legal holiday, the applicable period for calculating the Notice shall be extended to the first business day following the Saturday, Sunday, or legal holiday. For the purpose of giving any Notice, the addresses of the Parties are set forth below. The Parties may change the information set forth below by sending Notice of such change to the other Party as provided in this Section 4.2. To the City: City of Pearland 3519 Liberty Drive Pearland, TX 77581 Attn: Community Development Director To the Owner: Ashton Oak Homes (Broadway) LLC 3 Sugar Creek Center Blvd, Suite 650 Sugar Land, Texas 77478 Attn: Mark Pearson Section 4.3 No Waiver. Any failure by a Party to insist upon strict performance by the other Party of any provision of this Agreement shall not be deemed a waiver thereof, and the Party shall have the right at any time thereafter to insist upon strict performance of any and all of the provisions of this Agreement. No provision of this Agreement may be waived except by writing signed by the Party waiving such provision. Any waiver shall be limited to the specific purpose for which it is given. No waiver by any Party of any term or condition of this Agreement shall be deemed or construed to be a waiver of any other term or condition or subsequent waiver of the same term or condition. Section 4.4 Governing Law and Venue. This Agreement shall be construed and enforced in accordance with the laws of the State of Texas, as they apply to contracts performed within the State of Texas and without regard to any choice of law rules or principles to the contrary. The Parties acknowledge that this Agreement is performable in Fort Bend County, Texas and hereby submit to the jurisdiction of the courts of Fort Bend County, Texas and hereby agree that any such court shall be a proper forum for the determination of any dispute arising hereunder. Section 4.5 Authority to Execute. The City represents and warrants to the Owner that the execution of this Agreement has been duly authorized by the City Council and that the person executing this Agreement on behalf of the City has been duly authorized to do so by the City Council. The Owner represents and warrants to the City that he has full authority to execute this Agreement. Section 4.6 Severability. The provisions of this Agreement are severable and, in the event any word, phrase, clause, sentence, paragraph, section, or other provision of this Agreement, or the application thereof to any person or circumstance, shall ever be held or determined to be invalid, illegal, or unenforceable for any reason, and the extent of such invalidity or unenforceability does not cause substantial deviation from the underlying intent of the Parties as expressed in this Agreement, then such provision shall be deemed severed from this Agreement with respect to such person, entity or circumstance, without invalidating the remainder of this Agreement or the application of such provision to other persons, entities or circumstances, and a new provision shall be deemed substituted in lieu of the provision so severed which new provision shall, to the extent possible, accomplish the intent of the Parties as evidenced by the provision so severed. Section 4.7 Changes in State or Federal Laws. If any state or federal law changes so as to make it impossible for the City or the Owner to perform its obligations under this Agreement, the parties will cooperate to amend this Agreement in such a manner that is most consistent with the original intent of this Agreement as legally possible. Section 4.8 Additional Documents and Acts. The Parties agree that at any time after execution of this Agreement, they will, upon request of the other Party, execute and/or exchange any other documents necessary to effectuate the terms of this Agreement and perform any further acts or things as the other Party may reasonably request to effectuate the terms of this Agreement. Section 4.9 Assignment. This Agreement shall not be assignable without the other Party's written consent. This Agreement shall be binding upon and inure to the benefit of the Parties and their respective representatives, successors, and assigns as permitted by this Agreement. Section 4.10 Amendment. This Agreement may be amended only with the written consent of the Parties. Section 4.11 Interpretation. This Agreement has been negotiated by the Parties, each of which has been represented by counsel; and both Parties acknowledge and stipulate that this Agreements is the product of mutual negotiation and bargaining; consequently, the rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Agreement. Section 4.12 No Third -Party Beneficiaries. This Agreement is solely for the benefit of the City and the Owner, and neither the City nor the Owner intends by any provision of this Agreement to create any rights in any third -party beneficiaries or to confer any benefit or enforceable rights under this Agreement or otherwise upon anyone other than the City and the Owner. Section 4.13 Governmental Powers. The City does not waive or surrender any of its governmental powers, immunities or rights, except as specifically waived pursuant in this Section 4.13. The City waives its respective governmental immunity from suit and liability only as to any action brought by Owner to pursue the remedies available under this Agreement. Nothing in this Section 4.13 shall waive any claims, defenses or immunities that the City has with respect to suits against it by persons or entities not a party to this Agreement. Section 4.14 Indemnity. The Owner agrees to indemnify, defend and hold harmless, City and its officers, agents, employees and representatives, from and against any and all liability, suits, actions, proceedings, judgments, claims, losses, liens, damages, injuries (whether in contract or in tort, including personal injury, accidental death or property damage, and regardless, of whether the allegations are false, fraudulent or groundless), costs and expenses (including attorney's fees, litigation, arbitration, mediation, appeal expenses) which in whole or in part arise out of or are connected with, or which are alleged to have arisen out of or to have been connected with this Agreement. Owner's obligation to indemnify, defend, and hold harmless shall remain in effect and shall be binding upon Owner whether such injury or damage or may be discovered after the Improvement has been accepted by the City. Section 4.15 Incorporation of Exhibits by Reference. All exhibits attached to this Agreement are incorporated into this Agreement by reference for the purposes set forth herein, as follows: Exhibit A — Final Plat of Broadway Homes (PLAT24-00097) Exhibit B — Unit Mix Site Plan Exhibit C — Letter from Texas Department of Transportation 4.16 Counterpart Originals. This Agreement may be executed in multiple counterparts, each of which shall be deemed to be an original. APPROVED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF PEARLAND ON JUNE 8, 2026. ATTEST: City Secretary APPROVED AS TO FORM AND LEGALITY: City Attorney STATE OF TEXAS COUNTY OF BRAZORIA CITY OF PEARLAND By: Printed Name:Tt eppei6Cel Title: inotnaTr This instrument was acknowledged before me on ..\ � ID , 20?�. )by t yt�e C `AI IntraDtt of the City of W1°�t(1prri , Texas on behalf of the city. (�� , Notary Public, State of Texas APPROVED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF PEARLAND ON JUNE 8, 2026. ATTEST: CITY OF PEARLAND City Secretary APPROVED AS TO FORM AND LEGALITY: City Attorney By: Printed Name: Title: APPROVED AND ADOPTED BY THE OWNER ON JUNE , 2026. ASHTON OAK HOMES (BROADWAY), LLC By: � /1, -cif( �' Printed Name: Mark Pearson STATE OF TEXAS § COUNTY OF FORT BEND § This instrument was acknowledged before me on 202je by oGtn- rar7or S yl{ 1:{ a , , on behalf of Ashton Oak Homes (Broadway), LLC. , Notary Public, State of Texas DANIELLE GONZALEZ Notary Public, State of Texas Comm. Expires 07-14-2029 Notary ID 133212673 PI! b. w_�;=n z , ]& z m;§} m§ & ! 4 6&/-/ /\ / nc, . } § \$®@a«§ ; Q� ~®�.1 n /\j s§ ] M1 O. 5 J'��uii:7�o''n�cP6:�>29g4c1� K10610Z 'O:! 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TH Docusign Envelope ID: 4F9FEDAE-8629-402A-8617-4B1F4749C793 Texas Department of Transportation March 30, 2026 18671 FM 523 ( Angleton, Texas 77515 979.864.8500 txdot.gov Rajendra Shrestha and Yolci Ramirez RE: Control: 0111-03-059 Project: F 2023(494) County: Fort Bend Highway: FM 521 Subject: Proposed Signailzation Dear Sheretha and Ramirez TxDOT acknowledges the Developer's proposed signalization request at the intersection of Broadway and Shadow Grove Lane. Please know that this request conflicts with the existing lane configurations and construction operations. We understand the signals are not warranted at this time and we prefer to coordinate the installation at a future time when there is less or no conflict with the construction project. Feel free to call me at 979-864-8500 or email me at Maria.Aponte@txdot.gov if you have additional questions or concerns. Respectfully, CSigned by: Mrv►:. Ate► Aye C8B39625B1F14DE... Maria P. Aponte, P.E. TxDOT Area Engineer Houston District cc: Rajendra Hada, P.E., Assistant Area Engineer, TxDOT Jason Case, Project Manager, TxDOT Nicole Bartek, Record Keeper, TxDOT Connecting You with Texas An Equal Opportunity Employer