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Legends Ranch Signed Strategic Partnership Agreement STRATEGIC PARTNERSHIP AGREEMENT BY AND BETWEEN THE CITY OF DENTON,TEXAS AND LEGENDS RANCH MUNICIPAL UTILITY DISTRICT OF DENTON COUNTY STATE OF TEXAS § COUNTY OF DENTON § This Strategic Partnership Agreement (this "Agreement") is entered into by the City of Denton, Texas (the "City"), and Legends Ranch Municipal Utility District of Denton County, a political subdivision of the State of Texas, acting by and through its duly authorized Board of Directors (the"District"), under the authority of Section 43.0751 of the Texas Local Government Code (the"Local Government Code"). RECITALS WHEREAS,Local Government Code Section 43.0751 (the"Act")authorizes the City and the District to negotiate and enter into a strategic partnership agreement by mutual consent; and WHEREAS, the District encompasses approximately 521.59 acres, all of which is located within the City's extraterritorial jurisdiction, described by metes and bounds and depicted on Exhibit"A" (the"Property"); and WHEREAS, this Agreement authorizes the City to annex certain portions of the Property that have been or may in the future be designated for commercial use for limited purposes for the purpose of collecting Sales and Use Tax Revenues (hereinafter defined) within such tracts designated for Commercial Use and to annex all of the Property for full purposes upon the terms contained herein; and WHEREAS,pursuant to this Agreement,the City will retain fifty percent(50%)of all Sales and Use Tax Revenues (hereinafter defined); and WHEREAS, the City and the District acknowledge that this Agreement provides benefits to each party, including revenue, services and regulatory benefits. NOW, THEREFORE, for and in consideration of the mutual agreements, covenants and conditions contained in this Agreement,and for other good and valuable consideration,the receipt and sufficiency of which are hereby acknowledged,the City and the District agree as follows: 018144. -6389.v 1 ARTICLE I FINDINGS A. The District is a municipal utility district encompassing approximately 521.59 acres that is located within the City's extraterritorial jurisdiction. B. The District was created pursuant to Article XVI, Section 59, and Article III, Section 52(b)(3), of the Texas Constitution; C. On June 28,2022,the City Council adopted Resolution No. 22-1351 consenting to the creation of the District(the "Consent Resolution"). D. The District provided notice of two public hearings concerning the adoption of this Agreement following the District's notification procedures for other matters of public importance, in accordance with the procedural requirements of the Act. E. The Board of Directors of the District conducted two public hearings regarding this Agreement, at which members of the public who wished to present testimony or evidence regarding this Agreement and the proposed limited purpose annexation were given the opportunity to do so, in accordance with the procedural requirements of the Act, on August 14, 2024,at 12:00 p.m. at the offices of Coats Rose, P.C., 16000 N. Dallas Parkway, Suite 350, Dallas, Texas 75248 and on September 17, 2024, at 12:00 p.m. at the offices of Coats Rose, P.C., 16000 N. Dallas Parkway, Suite 350, Dallas, Texas 75248. F. The Board of Directors of the District approved this Agreement on September 17, 2024, in open session at a meeting held in accordance with Chapter 551 of the Texas Government Code. G. The City provided notice of two public hearings concerning the adoption of this Agreement by publishing said notices in a newspaper of general circulation in the City and in the District, in accordance with the procedural requirements of the Act. H. The City Council conducted two public hearings regarding this Agreement, at which members of the public who wished to present testimony or evidence regarding this Agreement and the proposed limited purpose annexation were given the opportunity to do so, in accordance with the procedural requirements of the Act, on , 202_,at p.m. at the City Council Chambers,and on ,202_,at p.m. at the City Council Chambers. I. The City Council approved this Agreement on , 202_, in open session at a meeting held in accordance with Chapter 551 of the Texas Government Code,which approval occurred after the Board of Directors of the District approved this Agreement. 01 8144.000001\4894-1247-6389.v l J. All procedural requirements imposed by law for the adoption of this Agreement have been met. K. In accordance with the requirements of Subsection(p)(2)of the Act,this Agreement provides benefits to the City and the District, including revenue, services and regulatory benefits which are reasonable and equitable with regard to the benefits provided to the other. ARTICLE II DEFINITIONS Terms used in this Agreement shall have the following meanings: "Act" means the Texas Local Government Code, Section 43.0751, and any amendments thereto. "Agreement" means this Strategic Partnership Agreement between the City and the District. "Board of Directors"means the Board of Directors of the District. "City"means the City of Denton,Texas, a home rule municipal corporation of the State of Texas. "City Council"means the City Council of the City. "City Share" means the City's share of the Sales and Use Tax Revenues as defined in Section 4.2 of this Agreement. "Commercial Property" means those certain tracts hereinafter designated for commercial uses, which said tracts are within the City's ETJ. "Comptroller"means the Comptroller of Public Accounts for the State of Texas. "Consent Resolution"means the City's Resolution No. 22-1351 consenting to the creation of the District. "Development Agreement"means the Amended and Restated Development Agreement by and between the City,D.R. Horton—Texas,Ltd.,a Texas limited partnership,and Forestar(USA) Real Estate Group, Inc., a Delaware corporation, effective August 23, 2024, regarding development of the Property. "District"means Legends Ranch Municipal Utility District of Denton County. 0 18144.00000 1\4894-1247-6389.v 1 "District Share"means the District's share of the Sales and Use Tax Revenues as defined by Section 4.2 of this Agreement. "ETJ" means the extraterritorial jurisdiction of a city as defined by the Local Government Code, as amended. "Effective Date"means the date on which the City adopts this Agreement. "Government Code"means the Texas Government Code, as amended. "Limited Purpose Annexation Period"means the period commencing on the effective date of the limited purpose annexation of the Limited Purpose Property and ending upon the full purpose annexation or disannexation of such property. "Limited Purpose Property" means the property in the District that is within the City's ETJ and is annexed for limited purposes pursuant to this Agreement. "Local Government Code" means the Texas Local Government Code, as amended. "Notice"means notice as defined in Section 8.1 of this Agreement. "Party" means, individually, the City or the District, their successors and assigns as permitted by Section 8.8 of this Agreement. "Property" means the approximately 521.59 acres within the City's extraterritorial jurisdiction,described by metes and bounds and depicted on Exhibit"A" "Sales and Use Tax Revenues"means those revenues received by the City from the sales and use tax authorized to be imposed by the City on sales consummated at locations within the Limited Purpose Property pursuant to the Act and Chapter 321 of the Tax Code and whose use is not otherwise controlled or regulated, in whole or in part, by another governmental entity, authority or applicable law,ordinance, rule or regulation. "Tax Code"means the Texas Tax Code, as amended. ARTICLE III ADOPTION OF AGREEMENT AND LIMITED PURPOSE ANNEXATION OF COMMERCIAL PROPERTY 3.1 Public Hearings. The District and the City acknowledge and agree that prior to the execution of this Agreement,the governing bodies of the District and the City have conducted two public hearings for the purpose of considering the adoption of this Agreement and that such 0 18144.00000 1\4894-1247-6389.v 1 hearings were noticed and conducted in accordance with the terms of the Act,this Agreement and Chapter 551 of the Government Code. 3.2 Effective Date. Pursuant to Subsection (c) of the Act, this Agreement is effective on the date of adoption of this Agreement by the City. 3.3 Filing in Property Records. The City shall file this Agreement in the Real Property Records of Denton County,Texas. 3.4 Limited Purpose Annexation of Commercial Property. The District and the City agree that the City may annex all or any portion of the Commercial Property for the limited purpose of collecting Sales and Use Tax Revenues within the Commercial Property pursuant to Subsection (k) of the Act. The District acknowledges that the City Council may adopt one or more limited purpose annexation ordinances at one or more meetings conducted in accordance with Chapter 551 of the Government Code and further acknowledges that no additional notices, hearings or other procedures are required by law in order to approve such limited purpose annexations. The City may annex for limited purposes any portion of the Commercial Property at any time after Owner,or any subsequent owner of the Commercial Property,submits a final plat for such property to the City. 3.5 Consent to Limited Purpose Annexation. The District, on behalf of itself and all present and future owners of land within the District, hereby requests that the City annex the Commercial Property for limited purposes as provided in this Agreement. The District consents to such annexation and to the collection of Sales and Use Tax Revenues by the City within such Limited Purpose Property. Such consent shall bind the District and all current and future owners of land within the District. ARTICLE IV TAXATION AND PROVISIONS OF SERVICES 4.1 Collection of Sales and Use Tax Revenues. The City may impose a sales and use tax within the Limited Purpose Property pursuant to Subsection (k) of the Act. The sales and use tax shall be imposed on all eligible commercial activities at the rate of two percent(2%), or other rate allowed under future amendments to Chapter 321 of the Tax Code and imposed by the City. Collection of the Sales and Use Tax Revenues shall take effect on the date described in Section 321.102 of the Tax Code. 4.2 Payment of Sales and Use Tax. In return for the benefits received by the City pursuant to this Agreement,the City shall pay to the District an amount equal to fifty percent(50%) of the Sales and Use Tax Revenues paid to the City as reflected in sales tax reports provided by the Comptroller to the City to be used for any lawful purpose of the District. All amounts payable to the District are hereafter referred to as the"District Share." The City shall pay the District Share within thirty (30) days after the City receives the payment and the sales tax report reflecting such 018144. -6389.v 1 revenue from the Comptroller. Any payment of the District Share not made within such thirty(30) day period shall bear interest calculated in accordance with Section 2251.025 of the Government Code. The City shall retain all Sales and Use Tax Revenues that do not constitute the District Share (the "City Share"). To the extent allowed by law, the City shall deliver to the District a condensed version of each monthly area sales tax report provided by the Comptroller, containing only the contents of the sales tax report relating to retail sales and retailers in the Property within thirty (30)days of the City's receipt of the sales tax report. 4.3 Notification of Comptroller. The City shall send notice of this Agreement,together with other required documentation,to the Comptroller in the manner provided by Section 321.102 of the Tax Code, after the City Council annexes any portion of the Limited Purpose Property for limited purposes. ARTICLE V FULL PURPOSE ANNEXATION 5.1 Full Purpose Annexation and Conversion Date. In accordance with the provisions of Section 43.0751(f)(5) of the Act, the District consents to the full purpose annexation of the District by the City at any time on or after one hundred percent (100%) of the land in the District capable of being developed has been developed with water, sanitary sewer, and drainage facilities and roads (collectively, "Facilities") and the District has issued its bonds to fully reimburse the developer of such Facilities to the fullest extent allowed under the then current rules of the Texas Commission on Environmental Quality. The City agrees not to annex the District for full municipal purposes prior to such time. At least sixty (60) days prior to the date the City intends to annex the District,the City shall provide the District with a written notice of intent to annex the District and the date planned for annexation,which date shall constitute the full purpose annexation conversion date under the Act. The City further agrees that the full purpose annexation of the District by the City is further subject to the limitations contained in the Development Agreement. 5.2 Assumption of District Duties. Prior to the full purpose annexation conversion date, the District remains authorized to exercise all powers and functions of a municipal utility district provided by existing law or any amendments or additions thereto. The District's assets, liabilities, indebtedness, and obligations will remain the responsibility of the District during the period preceding full-purpose annexation and conversion. The District agrees that beginning on the Effective Date and until the full purpose annexation conversion date,the District shall maintain all of its roadway, property and utility infrastructure in good condition and repair. Upon the full purpose annexation conversion date Sections 43.075(c) and (d) of the Act shall apply and, (i) the City shall succeed to the powers, duties, assets, and obligations of the District; and (ii) the City shall take over all the property and other assets of the District, assume all the debts,liabilities,and obligations of the District, and perform all the functions of the District. The City and the District agree to fully comply with all requirements in Section 43.075 of the Texas Local Government Code. 01 8144.000001\4894-1247-6389.v 1 ARTICLE VI TERM This Agreement commences on the Effective Date and continues until the City annexes all of the Property for full purposes in accordance with the terms hereof. The provisions of this Agreement relating to the collection of sales and use tax will automatically terminate with regard to any portion of the Property upon disannexation or full purpose annexation of such property. ARTICLE VII BREACH,NOTICE AND REMEDIES 7.1 Notification of Breach. If either Party commits a breach of this Agreement, the non-breaching Party shall give Notice to the breaching Party that described the breach in reasonable detail. 7.2 Cure of Breach. The breaching Party shall commence curing such breach within fourteen(14)calendar days after receipt of Notice of the breach and shall complete the cure within fourteen(14)calendar days from the date of commencement of the cure; however, if the breach is not reasonable susceptible to cure by the breaching Party within such fourteen(14)day period,the non-breaching Party shall not bring any action so long as the breaching Party has commenced to cure the breach within such fourteen (14) day period and diligently completes the cure within a reasonable time without unreasonable cessation. 7.3 Remedies for Breach. If the breaching Party does not substantially cure such 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 relief available at law or in equity, including, but not limited to, an action under the Uniform Declaratory Judgment Act, specific performance, mandamus and injunctive relief; provided, however, 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. ARTICLE VIII ADDITIONAL PROVISIONS 8.1 Notices. All notices under this Agreement ("Notice") shall be in writing, shall be signed by or on behalf of the Party giving the Notice, and shall become effective as follows: (a) on the third(3rd)business day after being deposited with the United States mail service, Certified Mail,Return Receipt Requested with a confirming copy sent by facsimile; (b)on the day delivered by private delivery or private messenger service(such as FedEx or UPS)as evidenced by a receipt signed by any person at the delivery address (whether or not such person is the person to whom the Notice is addressed); or (c)otherwise on the day actually received by the person to whom the 018144. -6389.v 1 Notice is addressed,including,but not limited to,delivery in persona and delivery by regular mail. All Notices given pursuant to this section shall be addressed as follows: To the City: Attn: City Manager City of Denton, Texas 215 E. McKinney St. Denton, TX 76201 With a copy to: Attn: City Attorney City of Denton, Texas 215 E. McKinney St. Denton, TX 76201 To the District: Legends Ranch Municipal Utility District of Denton County Attn: Mindy L. Koehne Coats Rose, P.C. 16000 North Dallas Parkway, Suite 350 Dallas, Texas 75248 8.2 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 in 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 hereto 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. 8.3 Governing Law and Venue. This Agreement must 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 Denton County, Texas, and hereby submit to the jurisdiction of the courts of Denton County, Texas, and agree that any such court with proper jurisdiction shall be a proper forum for the determination of any dispute arising hereunder. 8.4 Authority to Execute. The City warrants that this Agreement has been approved by the City Council in accordance with all applicable public meeting and public notice requirements (including, but not limited to, notices required by the Texas Open Meetings Act) and that the individual executing this Agreement on behalf of the City has been authorized to do so. The District warrants that this Agreement has been approved by the Board in accordance with all applicable public meeting and public notice requirements (including, but not limited to, notices 018144. -6389.v 1 required by the Open Meetings Act) and the individual executing this Agreement on behalf of the District has been authorized to do so. 8.5 Entire Agreement; Severability_. This Agreement constitutes the entire agreement between the Parties and supersedes all prior agreements, whether oral or written, covering the subject matter of this Agreement. If any provision of this Agreement is determined by a court of competent jurisdiction to be unenforceable for any reason, then (a) such unenforceable provision shall be deleted from this Agreement; (b)the unenforceable provision shall,to the extent possible, be rewritten to be enforceable and to give effect to the intent of the Parties; and (c) the remainder of this Agreement shall remain in full force and effect and shall be interpreted to give effect to the intent of the Parties. 8.6 Changes in State or Federal Law. If any state or federal law changes so as to make it impossible for the City or the District 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 and legally possible. 8.7 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 as the other Party may reasonably request to effectuate the terms of this Agreement. 8.8 Assi r1�ty, Successors and Assigns. This Agreement shall not be assignable by any Party without the other Parry's written consent. This Agreement shall be binding upon and inure to the benefit of the Parties and their respective representatives, successors and assigns. 8.9 Amendment. This Agreement may be amended only by written agreement with approval of the governing bodies of both the City and the District. 8.10 Interpretation. The Parties acknowledge that each Party and, if it so chooses, its counsel, have reviewed and revised this Agreement and that the normal 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 or any amendments or exhibits hereto. As used in this Agreement,the term"including"means"including,without limitation"and the term"days"means calendar days,not business days. Wherever required by the context, the singular shall include the plural, and the plural shall include the singular. Each defined term herein may be used in its singular or plural form whether or not so defined 8.11 No Third-Party Beneficiaries. This Agreement is solely for the benefit of the City and the District. Neither the City nor the District 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 District. 018144. -6389.v I 8.12 Governmental Powers. By execution of this Agreement, neither the City nor the District waives or surrenders any of its respective governmental powers, immunities or rights, except as specifically waived pursuant to this section. The City and the District mutually waive their governmental immunity from suit and liability only as to any action brought by a Party to pursue the remedies available under this Agreement and only to the extent necessary to pursue such remedies. Nothing in this section shall waive any claims, defenses or immunities that the City or the District has with respect to suits against the City or the District by persons or entities not a party to this Agreement. Nothing in this Agreement is intended to delegate or impair the performance by the City of its governmental functions, and the City waives any claim or defense that any provision of this Agreement is unenforceable on the grounds that it constitutes an impermissible delegation or impairment of the City's performance of its governmental functions. 8.13 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 Legal Description and Map of Property 8.14 Counterpart Originals. This Agreement may be executed in multiple counterparts, each of which shall be deemed to be an original. [THE REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK] 0 18144.00000 1\4894-1247-6389.v 1 CITY OF DENTON, TEXAS By: Mayor Date: ATTEST: By: City Secretary APPROVED AS TO FORM By: City Attorney STATE OF TEXAS § COUNTY OF DENTON § This instrument was acknowledged before me, the undersigned notary, on the day of I , by , Mayor, and , City Secretary, of the city of Denton,Texas, on behalf of said city. Notary Public in and for the State of Texas (NOTARY SEAL) 0 18144.00000 1\4894-1247-6389.v 1 LEGENDS RANCH MUNICIPAL UTILITY DISTRICT By: Title: Date: STATE OF TEXAS) § COUNTY OF !% /��S § This instrument was acknowledged before me, the undersigned notary, on the /7 tay of jn�emaU , by of the Board of Directors of Legends Ranch Municipal Utility istrict, on behalf of said district. 4� 4;� �z Notary Public in and for the State of Texas (NOTARY SEAL) CARSON H LUDDECKE NOTARY ID#13330768-8 My Commission Expires September 01, 2025 01 8144.000001\4894-1247-6389.v 1 EXHIBIT "A" The Property BEING a tract of land located in the Thomas J. Egan Survey,Abstract No.406,the M.E.P&P. RR. Co. Survey,Abstract No. 1470,the George Orr Survey,Abstract No. 985,the William Davis Survey,Abstract No.374,and the Thomas Polk Survey,Abstract No.998,City of Denton Extraterritorial Jurisdiction(E.T.J.), Denton County, Texas, part of a called 565.364 acre tract described in the deed to Legends Ranch Development, LLC, recorded in Instrument No. 2019-146384 of the Official Records of Denton County, Texas(O.R.D.C.T.),and being more particularly described by metes and bounds as follows: BEGINNING at a 1/24nch iron rod found on the westerly right-of-way line of Thomas J.Egan Road(formerly Longhorn Drive),a 22.5 foot wide right-of-way dedication,according to the plat of Golden Hoof Ranchettes, an addition to Denton County,recorded In Volume 4,Page 8 of the Plat Records of Denton County,Texas (P.R.D.C.T.),at the northeast comer of a 10-foot wide right-of-way dedication according to the plat of Lot 1 R1 and 1 R2 of Golden Hoof Ranchettes,an addition to Denton County, recorded in Document No.2015- 319 P.R.D.C.T.,far a northerly southeast comer of said 565.364 acre tract and an easterly southeast comer hereof; THENCE North 8300&15"West,with a northerly south line of said 565.364 acre tract,and the north line of said 10-foot right-of-way dedication, the north line of Lot 1R1 of said Lot 1R1 and 1R2 of Golden Hoof Ranchettes,and the north line of Lot 6,Block A of said Golden Hoof Ranchettes,a distance of 960.54 feet to a 5/8-Inch iron rod with plastic cap stamped"KHA"set In the easterly right-of-way line of Golden Hoof Drive, a 60-foot right-of-way as dedicated according to the plat of said Golden Hoof Ranchettes, for the northwest comer of said Lot 6,an Interior comer of said 565.364 acre tract,and an interior comer hereof; THENCE South 0002645"West,with the easterly right-of-way line of said Golden Hoof Drive,the west line of said Lot 6, and an east line of said 565.364 acre tract, a distance of 417.42 feet to a 5/84nch iron rod with plastic cap stamped"KHA"set at the beginning of a tangent curve to the left with a radius of 367.50 feet,a central angle of 05053'02",and a chord bearing and distance of South 02029'46"East,37.72 feet; THENCE In a southeasterly direction, departing the easterly right-of-way line of said Golden Hoof Drive, the west line of said Lot 6,and east line of said 565.364 acre tract,and crossing said Lot 6,with said tangent curve to the left,an arc distance of 37.74 feet to a 5/8-inch iron rod with plastic cap stamped"KHA"set for comer, THENCE continuing across said Lot 6 and crossing said 565.364 acre tract the following courses and distances: South 05026'18" East, a distance of 100.54 feet to a 5/8-inch iron rod with plastic cap stamped "KHA"set at the beginning of a tangent curve to the right with a radius of 432.50 feet, a central angle of 12011'09",and a chord bearing and distance of South 0003917"West,91.81 feet, In a southwesterly direction,with said curve to the right,an arc distance of 91.98 feet to a 5/84nch Iron rod with plastic cap stamped"KHA"set at the end of said curve, South 604451"West,a distance of 36.02 feet to a 5/8-Inch iron rod with plastic cap stamped"KHA" set for comer, South 3801609"East,a distance of 28.28 feet to a 5/8-inch iron rod with plastic cap stamped"KHA" set on the northerly right-ofway Une of U.S.Highway 380.for a southeast comer hereof THENCE North 83015'09"West, along the northerly right-of-way line of said U.S. Highway 380,with the easterly south line of said 565.364 acre tract,a distance of 105.00 feet to a 5/8-inch iron rod with plastic cap stamped"KHA"set for the easterly southwest corner hereof. 0 18144.00000 1\4894-1247-6389.v 1 THENCE departing the northerly right-of-way line of said U.S.Highway 380,across said 565.364 acre tract, the following courses and distances: North 51°44'51"East,a distance of 28.28 feet to a 5/84nch iron rod with plastic cap stamped"KHA" set for comer, North 06°401"East,a distance of 36.02 feet to a 5/84nch iron rod with plastic cap stamped"KHA" set at the beginning of a tangent curve to the left with a radius of 367.50 feet, a central angle of 1201 T09",and a chord bearing and distance of North 00*39117"East,78.01 feet, In a northeasterly direction, with said curve to the left, an arc distance of 78.16 feet to a 5/8-inch iron rod with plastic cap stamped"KHA"set at the end of said curve, North 0502618"West, a distance of 100.54 feet to a 5/84nch Iron rod with plastic cap stamped "KHA"set at the beginning of a tangent curve to the right with a radius of 432.50 feet, a central angle of 05053'02",and a chord bearing and distance of North 02029'46"West,44.40 feet, In a northwesterly direction,with said curve to the right,an arc distance of 44.42 feet to a 5/84nch iron rod with plastic cap stamped"KW set at the end of said curve, North 0002645"East,a distance of 142.96 feet to a point for an interior comer hereof, North 83020'39"West,a distance of 2,563.89 feet to a point for an interior comer hereof, North 0002645"East,a distance of 142.96 feet to a point for comer, North 83020'39"West,a distance of 2,563.89 feet to a point for comer; North 06044'51"East,a distance of 11.36 feet to a point for comer, North 83015111"West,a distance of 146.29 feet to a point for comer, North 75012'40"West,a distance of 345.75 feet to a point for comer, North 52"4328"West,a distance of 459.57 feet to a point for comer, North 8301511"West, a distance of 332.29 feet to a point for comer, South 06044'49"West,a distance of 548.83 feet to a point for comer, North 8301609"West,a distance of 42.46 feet to a point for comer, South 0604449"West,a distance of 181.00 feet to a point a point on the northerly right-of-way line of said U.S. Highway 380, a southerly line of said 565.364 acre tract, for the westerly southeast comer hereof, THENCE along the northerly right-of-way lines of said U.S. Highway 380, with southerly lines of said 565.384 we tract,the following course and distance: North 83"1609"West,a distance of 1,022.88 feet to an aluminum TxDOT right-of-way monument found for the southeast comer of a called 30.470 acre tract of land described In the deed to Larry L.Salley and spouse,Patricia L.Bailey,recorded in Volume 5409,Page 4755 of the Deed Records of Denton County,Texas(D.R.D.C.T.),the southerly southwest comer of said 565.364 acre tract, and the southwesterly southwest comer hereof, 018144.000001\4894-1247-6389.v 1 THENCE North 00011'25" East,with the east line of said 30.470 acre tract and the southerly west line of said 565.364 acre tract,a distance of 1022.88 feet to a 2-inch pipe found in the south line of a called 43.92 acre tract described in the deed to Jan K. Bradley, recorded in Instrument No. 93-R0091889 O.R.D.C.T., for the northeast comer of said 30.470 acre tract,the southerly northwest comer of said 565.364 acre tract, and the southerly northwest comer hereof, THENCE North 8902T40"East,with the south line of said 43.92 acre tract and a southerly north line of said 565.364 acre tract,a distance of 1075.88 feet to a point on the approximate centerline of a creek,for the southeast comer of said 43.92 acre tract,an interior comer of said 565.364 acre tract and an interior comer hereof; THENCE along the centerline of said creek,with easterly lines of said 43.92 acre tract, and westerly lines of said 565.364 acre tract,the following courses and distances: North 54019'43"West, a distance of 225.34 feet to a point for comer, North 69029'24"West,a distance of 449.26 feet to a point for comer, North 17039'04"West, a distance of 543.10 feet to a point for the northeast comer of said 43.92 acre tract,an interior comer of said 565.364 acre tract,and an interior comer hereof, THENCE North 8904846"West,with the north line of said 43.92 acre tract and a northwesterly south line of said 565.364 acre tract,a distance of 2092.38 feet to a point within the margins of Nail Road,In the east line of a called 30.297 acre tract of land described in the deed to Brockland Properties, LLC, recorded in Instrument No. 2017-78184 O.R.D.C.T., for the northwest comer of said 43.92 acre tract, the northerly southwest comer of said 565.364 acre tract,and the northwesterly southwest comer hereof,a 1/2-Inch iron rod found for reference on the east margin of said Nail Road bears South 8904846"East 18.00 feet from said point for comer, THENCE North 00°13'42"East,within the margins of said Nail Road,with the east line of said 30.297 acre tract and the westemmost west line of said 565.364 acre tract, a distance of 631.58 feet to a 1/2-inch rod found In the southeasterly right-of-way line of Burlington Northern Railroad,on the northwest margin of said Nail Road,for the north comer of said 30.297 acre tract,a northwest corner of said 565.364 acre tract,and a northwest comer hereof, THENCE North 28040'26" East, with the southeast right-of-way line of said Burlington Northern Railroad, along the northwest margin of said Nail Road,with the Northwest line of said 565.364 acre tract,a distance of 1,355.15 feet to a point within the margins of Jackson Road, for the westerly northwest comer of said 565.364 acre tract and the westerly northwest comer hereof, THENCE North 89°32'55" East, within the margins of said Jackson Road, with the westerly north line of said 565.364 acre tract, the south line of a called 5.241 acre tract of land described in the deed to 2018 Stone Family Trust recorded In Instrument No. 2018-105715 O.R.D.C.T., and the southerly south line of said a called 298.204 acre tract of land described in the deed to McCart St, LLC, recorded in Instrument No. 2018-5215 O.R D.C.T., a distance of 1746.66 feet to a 1/2-inch iron rod found for the southerly southeast comer of said 298.204 acre tract, an interior comer of said 565.364 acre tract and an interior comer hereof, THENCE North 00057'04"East,continuing within the margins of said Jackson Road,with the southwesterly east line of said 298.204 acre tract, a northerly west line of said 565.364 acre tract,a distance of 138.90 feet to a 1/2-Inch Iron red found for the southwest gamer of a called 10.00 acre tract described In the deed to Russell Mark Sales and wife, Shelly Ann Sales, recorded in Instrument No. 93-R0030700 O.R.D.C.T., the northernmost northwest comer of said 565.364 acre tract and the northernmost northwest comer hereof, THENCE North 89014'20"East,continuing within the margins of said Jackson Road,with the south line of said 10.000 acre Sales tract, the south line of a called 10.00 acre tract of land described in the deed to 018144.000001\4894-1247-6389.v1 Jimmy Lee Grozier recorded In Instrument No.96-R0082430 O.R.D.C.T.,and a north line of said 565.364 acre tract, a distance of 2597.71 feet to a 1/2-inch Iron rod found for the southwest comer of a called 134 acre had described In the deed to James T.Addington and wife,Carol L Addington, recorded In Volume 611, Page 296 D.R.D.C.T., at an angle point In said north line of called 565.364 acre tract and an angle point In a north line hereof, THENCE North 87'52'07' East, continuing within the margins of said Jackson Road, with a north line of said 565.364 acre tract, the south line of said 134 acre tract, the south line of Lot 1, Block A of Connolly Addition, an addition to Denton County, as shown on the plat recorded In Document No. 2017-51 P.R.D.C.T.,and the south line of a called 10.035 acre tract described in the deed to Ira Sam Houston and wife, Helen Marie Houston, recorded in Volume 1239,Page 617 D.R.D.C.T., a distance of 2285.65 feet to a 1/2-inch iron rod found for the northwest comer of the right-of-way dedication at the Intersection of Jackson Road and Thomas J. Egan Road according to the plat of Bent Rails Addition, an addition to the City of Denton E.T.J.,recorded as Document No.2020-57 P.R.D.C.T.,the northeast comer of said 565.364 acre tract and the northeast comer hereof, THENCE South 00015'52"West,within the margins of said Thomas J. Egan Road,with the northerly east line of said 565.364 acre tract, the west line of the 32.54bot right-of-way dedication for Thomas J. Egan Road according to the plat of said Bent Rails Addition, the west line of a called 5.134 we tract of land described In the deed to Cesar Gonzalez Pegueros and wife, Grioelda Tovar-Gatvan Gonzalez,recorded In Instrument No.2013-=97 O.R.D.C.T.,the west fine of a called 175 acre tract of land described In the deed to Claude H. Smith recorded in Volume 362, Page 341 D.R.D.C.T.,the west line of a variable width right-of-way dedication for Thomas J. Egan Road according to the plat of Moreno Addition, an addition to the City of Denton E.T.J.,recorded in Document No.2020-36 P.R.D.C.T.,the west line of a called 30 acre had described in the deed to Vickie Murdock recorded In Instrument No.2004-80900 O.R.D.C.T.,and the westerly west (fine of a called 5.000 acre tract described In the deed to Brandon Murdock recorded In Instrument No. 2017-55842 O.R.D.C.T., a distance of 3028.84 feet to a PK nail found at the northeast corner of the right-of-way dedication at the Intersection of Tenderfoot Trail and said Thomas J. Egan Road (formerly Longhorn Drive)according to the plat of said Golden Hoof Ranchattas,for a northerly southeast comer of said 565.364 acre tract and a northerly southeast comer hereof, THENCE North 83°08'15"West,with the northerly right-of-way dedication for said Tenderfoot Trail,and a northerly south line of said 565.364 acre tract,a distance of 19.54 feet to a 1/2-inch Iron rod found for an interior comer of said 565.364 acre tract and an interior corner hereof, THENCE South 0002645"West, across said Tenderfoot Trail, with a southerly east line of said 565.364 acre tract,the east line of Block A of said Golden Hoof Ranchettes,the west right-of-way line of said Thomas J. Egan Road (formerly Longhorn Drive) a distance of 834.84 feet to the POINT OF BEGINNING and containing 521.69 acres of land,more or less. 018144.000001\4894-1247-6389.v 1