2017-145s:\legal\our documents\ordinances\17\421 e. oak ordinance.doc
ORDINANCE NO. 2017-145
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF DENTON, TEXAS,
APPROVING A GRANT APPLICATION OF TIM BEATY, REPRESENTING 421 E. OAK
STREET, FROM THE DOWNTOWN REINVESTMENT GRANT PROGRAM NOT TO
EXCEED $25,000; AND PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, on April 3, 2007, the City Council approved a Downtown Incentive
Reimbursement Program by Ordinance No. 2007-072; and
WHEREAS, on December 6, 2011, the City Council approved changes to the Downtown
Reinvestment Grant Program by Ordinance No. 2012-001; and
WHEREAS, Tim Beaty applied for a $25,000 grant; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The City Council of the City of Denton hereby approves the Agreement
...................
attached hereto from Tim Beaty in an amount not to exceed $25,000 from the Downtown Incentive
Reimbursement Grant Program.
SECTION 2. The City Manager, or his designee, is hereby authorized to execute the
Agreement and to carry out the duties and responsibilities of the City, including the expenditure
of funds as provided in the Agreement.
SECTION 3. This Ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the day of�, 2017.
CHRIST� �
TS, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
P
BY:....
APPI , ED AS 1'0 LEGAL FORM:
AARON LEAL, INTERIM CITY ATTORNEY
BY: ,,7,T _
"
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DOWNTOWN R.F',IMBIJR.SEMENI'('RAN'1'11'qCEN"I'lVt, AGIRIEEMIENT
This Downtown Reinvestnient Grant Ag.,,recment (the 'Agreeincnt") is entered into by
and between the City (A'Denton, '11'exas (the "Clity"), duly and herein by and. through its
Mayor, and "Fim Buity, representin,g 42 R El. Oak Street (the "Grantee"), dWy authorized to do
bU,Siness and in good standing in the State of-!"'ema.s, duly acting herein by and through its author.-
ized officer,
WHME'IAS, the City has adopted a resolution wbich provides that it elects to be efigible
to participate in downtown reinve.stment grant incentives and. has a.dopted guidelines and criteria
tadverning downtown reinvestment p
,rant incentivc agi,ecrnents known as the Dcnton Dowritown.
Reinvestrnent Grant Incentive Prograim-, and
WHEREAS, on the Yln (Jay of'Aprfl, 2007, the City Coinicil of Dervion, 1"exas (the "'City
C ouncil") adopted flie Denton [)owntown Inceinfivc ReimburserrMlt PT'01grain (ttie "Program"), a
cx-ipy ofwhich is on file hi the City of 1knitonEconorrfiC, Developrvient Office and which is in-
corporated herein byreferencc," and
WHEREAS, the Denton Downtown Incentive Reimbuirsernent Prograva Policy consti-
tutcs appropriatc "guidelines and. criteria" governirig downkm[i icinvestrnent grant incentive
aj,?,reenients to be entered into by the City; arnd
WHEREAS on Odabcm- 13, 2011, the Downtown Task. Foii°-cc rccornamended. changes to
the original [)ownfown, Incentivc Reirribursernent Grwit Prvq,nirn, and
WHEREAS on 1'4ovember 1, 20111, the Economic Development Partnership Roard rec-
ormuended t1ie changes to the City Council ofthe Oty, oflDenton, including changing the narne
of the program to "Downtown Reinvestment Grant Program" (the. "Progralln"); and
WHERI-AS, on Deceunber 6, 2011, the ClIty Council approved said chariges to the Down
town Reinvestment Grant Prograim, and
Wr HEREAS, the Ow n.er ivill be the Own,er, ar',' of the Effi,-(.,,tive Date (as hereinafter de.
fined), which status is a condition precedent, ofceftain real propcily, more particularly descrit)ed
in E,"xN[At "A" aflachexl hereto and incorpOTUted herein by reference and made a part of" this
AgTeement forall purposes (the "Premises") as of the Effective Date., and
WHERFIAS, on the 2 81h day of February, Ch 17., Owner sut.nnitted W)r application fior reirii
Vestment with vairious attachments to the ( ' "ity concerning the conternpiated use of the Premises
(the "Application"), which is attactied hereto arid incorporated hcrein by r6crence as Exhibit
'13"; arid
WHEREAS, the City Council finds that the contenaplated use� of the Pren,m.nsenn, the Con-
templated Improvernents (as hereinafler defined) to the 11'ru-nises as set fhrth in this Agreement,
and the officn- terms hercol"aire consistent with encouraging development in accordance with the
( 1� Sion; %bim I y A jTv I )mW I ve'A Aficywo A I Wundwws "I"M lupor-d y 1Intum"t V fles ( imilent OuHoolc A !4'vXVSX1)U',42 t lF 0a k' A groem mit fix,
purposes and are in compliance with the Ordinance and Program and sinailar guidefincs and cri-
teria adopted by the City and. all applicable Iivv,-,
NOW, THEREFORE', the City and Owner fin and in cunsideration of the premises and
the prmnises contained herein do hereby contract, covenavit, and agree as, follows:
I .
"I'ERMIS AND CONDITIONS OF REIMBURSEMENT
A. In consideration of and sul�ject to the Ownerniectingull the terrims and conditions
of reimbursernent net ffirth herein, theCity hereby grants the follomdng reimbursement:
A reimburscinent in an amount not to exceed $25,000 attrit-ni table to m.W
capital investments, as hereirafier described, being c.onstrucled on the
Premises.
B. A Condition of the Reimbursement is that, by May 9, 2018 (sulajccl to f"orce
majeuire delays not toexcf�med 180 (lays), a capital investmenit in the forin offlayadc, work , as de-
scribed in Exhibit "B"' be c.onstructed on thc,, Promises, F'or the purposes of phis paragraph, the
Laren "finve ai*eure" shall mean any circumstance or any condifion twyond flic, control ofown-
er, as sel rorth in Section XXI "'Force MaJeure" which inakes it impossible to mect the above-
mentioned thresholds,
C. 111C' lam mm "capital iiivestment" is d(.:,fin(,-d as the constructioul, renovation and
eqUippillg of faqade work, as descsibed in Exhibit "111" (the "Improvements on tha� Premises", The
"Contemplated Improvenumts" or "Improvernents"') to include c.mts rchated to 111C construefioll
of . ffic Improvements on the Premises,
D. A condition of the Reimbursement is that the Contemplatc,,d limprovernents ban
constrUcted and the Premises be used substantially in accordance with the desuiption of I'lic, pro-
ject set I'mili in Flxhibit 11B"�
EOwncr aggrees to comply with all the terms and conditions set t6rih in this Agree-
ment.
2.
CONDYTION OF REIMBI-JR.SEMEN'l'
A, At the fime of the award of flic, Grant, all ad valorem real property taxes with re-,,
spect to said property owned within the City shall be cument,
B, Prior to the award of the Grant, GrarAce shaHl have constructed the Capital Im-
provements as spccified in. Exhibit "B",
Page 2
C 9, sobvdy Appf Ila wA FVMPaHU/ htern ii,Y FflesConWW d hA HrKk 111A lil,%VXM P 0 F Oak Npccrticna dou
RE'-.00RDS AND EVALL)AT101'4 OTS T'ROJECT
A. ]["he Owner shall provide ac(,,-,ess andauthorize insi-3ection of the Premises by City
etriptoyees and allow suflicient inspection offinancial informaflon rclated to construction of tile
IMprovements to insure that the Irnprovements are madc and the thresholds are met according to
the specifications and, conditions of'this Agreement, Su(., -.h insplections shall be done in a way that
will not interfere with Owner's business operations.
4
GENERAL PROVISIONS
A, The City has determined tilat it has adopted guidefirics and criteria fi)r the Down. -
town RcinvCStMent Grant Program agreemcnts for the (.7ity to allow it to enter into this Agree-
ment contarifirig the terms set fibiith hcrein,
BThe City has detenmined, that procedures followcd by the City confimil to the r,e-
quirements of the (..'.ode and the Policy, and. havc been and mrill be undertaken iiri coordination
Nivith OwncT's corporate, public CITIP10yee, and busilless relations requirements.
' Neilher the Prernkes nor any oftlie Improvenicnts covered by this AV�eement are
owned or leased by Tammy rnCffiber' of the City Cbuncil, any mcrilber of the City Plarminp,; and Zon-
ing Com.mission of time City, or any rnember of the governing body of any taxirig unitsjoining in
Tar adopfing this Agreemlent,
11 In tile, event of any conflict between the 0ty zoning ordinances, oir othe�r City on.
dinances or regulations, and this Agreement, such ordinances or regulations shall control,
5,
NOTICE
All 110tiCCS CaHW for or required by this Agreement shall be addressed to the: ft..)Ilowing,
or such other party or address as either party desi�.,.;nated in writing, by certific(i mail. postage pre-
paire., [)y hand delivery or via facsirnile:
Nff��
Tim Beaty
421 E. Oak Street
[ki-W. Texas 76201.
Page 3
CITY:
,rmld lifleman, City Manager
City, ol'Denton
215 East McKinney
IDenton, Texas 76201
I'm No,, 940.349,8-596
( l hii'r" flw,im, Appl!ixa 11 nra9,%6 mmO whidow,ii nvnipoimy bdemet Ffles t rinficTil Ooh% ikd%X V NISX11 lit 1 42 F Oak Aignwimen� doe
6w
(71"IT C'OUNCIL, AL)THORIZA710N
rms Agremnent was authorized by the City Council k)y passal,;e of an enabling ordinance
at its mea,ating on the 2nd day cal' December, 2014, auflhoiizing Itic Mayor, to execute this Ag
ment on bichalf of the City, as copy of'which is attached hereto and inc.orporated hen.,,in by refier-,
unce as Exi-ditit "D"
T
SEVERABUILTY
Iri the event any section.,, saibsection,, paragraph, senteirwee, phraisc or word is held invalid,
illegal or unconstitutional, the balance of this Aj..T.eernent shall starid, ashall be enforceable and
shall be read as if the partics interidex.1 at all firnes to delete said invalid section, subsection, para. -
graph, seritencic, phriase, or word. In the vent:
that (i) thc. term ofthe Grant with respect to any
property is longer th.an. allowicid by law,, or (it) the Grant applies to a broader classificiation of
property than is allowed by law, then the Grant shall be valid with respect to the classificationi of
propertyabated hUCLindier, and the portion ofthe term, that us allowed by law.
OWNER STANDINGi
Owner, as as pzarty to this Agreement, shall be deemed as proper and nieciessary piirty in any
fifigatk.)n questioning or challeng 11t; tr IC
5i It validity ofthis Agreement or, any of the underlying or-
dinances, resolutions, or City Councii) actkiius authorizing, sanne and Owner shall be en titled to
illtelye
90
APPLACABL1 LAW
This ,gr een-tent shall bit, construed under the laws of the State of Telms and is Fully per-
f6ri-nable in Diem on County, Texas, Venue for any action under this Agreenlient shall lie ill Den..
toll. (7ol.,111ty,
10,
E,N'TIRE AGREEMENT
'I 'his histrument with, theattachwd exhibits contains the entire agreen.l.ent bctween tacpar-
tics withrespect to the trailisactioui coz,iterliplated in this Agreement,
11,
BINF)ING
This Agreement shall be binding on the parlies and thf.'. TC-Spective successors, assigns,
heirs, and legal representatives.
Page 4
C: Usen\tbeaty',AppData\Local\Microsoft'',Windows•Tcmpor,try Internet Files\Cnntent Outlook',AXVMSXDU\421 F. Oak Agreement doe
12.
COUNTERPARTS
This Agreement may be executed in counterparts, each of which shall be deemed an orig-
inal, but all of which together shall constitute one and the same instrument.
13,
SECTION AND OTHER HEADINGS
Section or other headings contained in this Agreement are for reference purposes only
and shall not affect in any way the meaning or interpretation of this Agreement.
14.
NO JOINT VENTURE
Nothing contained in this Agreement is intended by the parties to create a partnership or
joint venture between the parties, and any implication to the contrary is hereby disavowed.
15.
AMENDMENT
This Agreement may be modified by the parties hereto to include other provisions which
could have originally been included in this Agreement or to delete provisions that were not orig-
inally necessary to this Agreement.
16.
FORCE MAJEURE
If, because of flood, fire, explosions, civil disturbances, strikes, war, acts of God, or other
causes beyond the control of either Party, either Party is not able to perform any or all of its obli-
gations under this Agreement, then the respective Party's obligations hereunder shall be sus-
pended during such period but for no longer than such period of time when the party is unable to
perform.
executed to be effective 30 days after the executed date of the
til' Th. Agreement is 01LW^"1.fhc. ""Eff'oc6v Itc�"°'° by duly authorized otfi �ids of (lu (1t...
>s
PASSED AND APPROVED this the -1-9. ........... day of, 2017.
CITY OF DENTON
I' t1)ID HILEMAN
CITY MANAGER
Page 5
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ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
8th'VED ,- S," TO LEGAL FORM:
AARON LEAL, INTERIM CITY ATTORNEY
,m
�nuavi "H"
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I
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,
Page 6
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STATE OF TEXAS
COUNTY OF DENTON
Before me, the undersigned authority, a Notary Public in and for said State of Texas, on
this day personally appeared Todd Hileman, City Manager for the City of Denton, known to me
to be the person who signed and executed the foregoing instrument, and acknowledged to me
that this instrument was executed for the purposes and ,oiisi(�cra ioii therein expressed.
Given under my hand and seal of office this
rw� WERKWALTERS
E.
COMM. III P 12-19-2018
�cn��re44 NOTARY W 11117650
Page 7
1 da (if.- .. '1017.
Iw
N r 1 ul.;l�. ' >ntl°� for the
' ':c of Texas
My Commission Expires:
I'arpom-y hitmict E Oulic Agiveincint,doc
STA,rE OFIFEIXASZ�
COI JNTY OFDENT( ) N,
I'lefore me, (lie undersigned autbw ity, a 11114otary Publkc in and for said State of"I'exas, on
this day personallY appe'ared Tim Beaty, Owner, known to me to be the person who signed and
exectited theforegoing instrinnent, and acknowIccJgcd to me that this instrum. ent was ext:cuted
f(,,)r the purposes and consideTation therein expressed,
t [I e , I
Given, under my h,,,u.,jd and seal of office this -dd,Iy of' ('vTIII, 2017.
EUZABET14 HARDOWN
Notaw Public in and f6i, flic
11".4 14011�xv flubhc, Stalle of TOXOS
mbn Exphes
State of""
My Cornrr�!%
hAy 121, 2017 My Covvimis q-�hvsL-
" "' ... . . .....
CITY OF DENTON
DOWNTOWN REINVESTMENT GRANT PROGRAM
APPLICATION
MONROE PEARSON BUILDING
City of Denton
Department of Economic Development
215 E. McKinney Street
Denton, TX 76201
940-349-7732
wwwxit c Bdenton.com
Downtown Reinvestment Grant Program Policy 6
Downtown Reinvestment Grant Program Application
Please return completed with necessary attachments and signature to Economic Development
office, 215 E. McKinney no later than 5 pm by thefirst Monday of each month. If you have any
application c '
349-7732.
. . . . ............
ate
Applicant Name
Tim Beaty 02 28.1 7
Business Name TNT Holdings
fling Address Tim Beaty Builders, Inc
- — - ----------
P.O. Box 68
Denton, Texas 76202
. . . . . . . . ... ... . ....................... . . . ......
'niact Phone Address
940.387.3275 tbeaty@tbbuilders.com
....... . . ...... . . .............. . .. . . . ..... . . ... . ....... . . ......
uil I g Owner (if different from applicant)
. . . .....
—gisto—ricai/—&--rrent-
Monroe Pearson Building
— --- — - - ------ -.....m._
-------
Project Site/Address
421 E. Oak Street
Denton, Texas 6201
... ... ..... . ..... . . . .......... - - - - - -------.............
Type of Work: (check all that apply)
Paint Only I —_ --.1 Fapde & Building Renovation
SE
Signage El Awnings
Utility Upgra desImpact Fees
711111, 1, 1 1
Details of Planned Improvements relating to Grant Request (attach additional information if
necessary)
Reference attached sheet titled, "Details of Planned Improvement."
Downtown Reinvestment Grant Program Policy 7
Details of Planned Improvement:
Tim Beaty/TNT Holdings is the owner and project manager for the renovation and rehabilitation of 421
E. Oak Street also known as the Monroe Pearson Building. The building was originally a grocery
warehouse in the early 1900's. The project which is in the DTIP area proposes to completely renovate
the structure into a Downtown Event Center, Plans have been drawn to rehabilitate the building
facades and to replace and repair the docks per current building codes.
The exterior renovation will include building a dock on the west face of the building, repairing and
renovating the south dock enhanced with ADA ramp and Stair to front door, replacing overhead doors
and all original openings with new windows, cleaning and preserving original brick veneer and placing
awnings in original locations on the east and south sides.
The interior of the building will preserve all brick walls and openings. New areas will be constructed for
offices, chapel, banquet hall, catering kitchen, restroom facilities and foyer. The building will be
upgraded with new fire suppression system, electrical, plumbing and mechanical systems. The entire
building will be retro -fitted with a super structure for structural support of a new roof system including
sky -lights to mimic the original roof system.
Impact fees have been paid as part of the permit package. A new fire hydrant will be installed on Oak
Street. Upgrades to the transformer will be made as part of the permit agreement with DME. A fire lane
turn around was provided in the parking lot to accommodate the city's fire department.
Mr. Beaty intends to bring the vacant building and the lot it occupies back to life with a total building
renovation, new landscape and pedestrian sidewalk on Oak Street.
How will this nrolect benefit Downtown?
Reference attached sheet titled, "Project Benefits."
$ 1,215,673.00
TOTAL GRANTRE, QUEST S $ 25,000.00
(May not exceed 50% of TOTAL COST up to $25,000)
Attach with all required color samples ofpalist, awning/canopy, sign design, etc., as Well as
photographs of building's exterior facade, roof andfoundallon.
02.28.14
Applicant's Signature Date
Downtown Reinvestment Grant Program Policy 8
Project Benefit:.
The Event Center will accommodate approximately 1200 occupants including parking. It's expected
many of the events will be weekend wedding celebrations which will necessitate overnight stays for
some of the guests. Guests will create additional revenue for restaurants, hotels and businesses in
Denton.
Tim Beaty, owner of TNT Holdings, owns four buildings in close proximity along the railroad between
McKinney Street and Hickory Street. The Old Mill Building was renovated as a historical building and Old
Mill Village which contains three buildings were also renovated into downtown retail and restaurant
sites. In total, the four buildings house 12 businesses and 2 apartments. The new Event Center will
share the 269 parking spaces available at the completion of the project along with a few additional
spaces on Oak Street created by the project.
The owner of the building, Tim Beaty, worked closely with city staff during the design phases of the
project and agreed to provide safe pedestrian access through his properties in a "sunset easement
agreement" until a time the city can reroute it's pedestrian way in this area. This pedestrian way will
connect DCTA to the Bell Avenue corridor in a safer route.
The renovation of the vacant property will result in a significant increase in property and sales taxes.
Tim Beaty, as owner of TNT Holdings, spent over 20 years renovating this area to accommodate growth
in the downtown area benefiting many who own small local businesses, shop local businesses and enjoy
the popular coffee shop Zera.
Please complete and return with Downtown Reinvestment Grant Application to Economic
Development office, 215 E. McKinney no later than 5 pm by the first Monday of each month. If
you have any questions, please contact the Economic Development Program Administrator at 940-
349-7732.
I have met with the Economic Development Program Administrator, and I have read and fully understand
the Downtown Reinvestment Grant procedures established by the Denton City Council. I intend to use
this grant program for the aforementioned renovation projects to advance the efforts of revitalization and
historic preservation of Denton's historic downtown. I have not received, nor will I receive Insurance
monies for this revitalization project.
I understand that if I am awarded a Downtown Reinvestment Grant by the City of Denton, any deviation
from the approved project may result in the partial or total withdrawal of the grant. (If I am awarded a
reinvestment grant for fagade, awning or sign work and the fagade, sign or awning is altered for any
reason within one (1) year from construction, I may be required to reimburse the City of Denton
immediately for the frill amount of the grant.)
Tim Beatv Builders, Inc.
Business/Organization Name
Tim Beaty 02.28.17
Applicant's Signature Printed Name Date
'mmapplicant)
02.28.17
Tim .17TimBe tt
Building Owner's Sign��tr�d(if difBrentfom applicanPrintedName Date
lf�is so tion is to be completed by Economice w -staff
Date considered by DTTF Recommendation Staff Signature
Date considered by City Manager Recommendation City Manager Signature
Date considered by EDPB Recommendation Staff Signature
Downtown Reinvestment Grant Program Policy 9
Existing Building Fagade
Clean brick & repair mortar as required
Remove paint from brick excluding Lettering at top
Repair Dock, add steps and ADA ramp
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Preserve all decorative brick trim at windows and doors
0 Remove brick from old openings on East side —fill with store front
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0 Replace all glass missing from small windows
Clean and preserve brick work
Construct New Awnings over New Entrance doors
0 Replace overhead garage door with store front glass
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Customer Name: 'TNT Properties
i
"irj�rrf Name: Monroe Event GairaQeir
Date: January 25, 017
sfimaaor: D lRoftn
Cost Code Description of Wart TOTAL
FAqADEJBUILDING REHAB
Demolition window _ I
eteriorated wood20,
000 _ 000
open ingsfD
20,
Brick Resloralin 25,0W
� 25,000
Windm%r6ransom,'Ext Doors 62,6531 62,653
890 25890
Painting, Exle6or } r ,
Structural Steel 295,000 295,000,
F
Roof system 173,570 173,57
_. -
Founda eon i E 202,657 202,657
TOTAL COST 804,770.00
AWNINGS
Fabrication 12,500 12,500 '
Installation n y I '
3 500 3,500
TOTAL COT 16,000.00
SIGNS
1
Preservalion of ExO.. Siren _ i 5,600 5,600
TTL COST 5,600.
UTILITY UPGRADES
C 1
Plumbing M 293®600 87,600
1 293.160 '
Electrical
Fire Waterff'aP, FH t 6,543 8,543
TOTAL COST 369,303.00
GP�AVWO TOTAL COST � 1,215,673.00 '
421 E. HIckory St Denton, TX 76201 940,387.3275
IN =-
I =.I -A
mmn� ==
Project Name: Old Mill Event Center
Project Number; SP16-0023
Aoad Impact Fee Zone: E
Water Tap Size(s): 6"
Per Approved Site Plan
Water Tap Fee(s): $3800
See Notes, If applicable
Domestic Meter Size(s): n1a
Per Approved Site Plan
Irrigation Meter Slze(s): n/a
Per Approved Site Plan
Water Meter Fee(s): n/a
See Notes, ifapplicable
Header Fee(s): n/a
See Notes, IfapplIcable
Impact Fee: n/a
See Notes, Ifapplicable
Impact Fee Credit: n/a
See Notes, if applicable
Net Impact Fee: n/a
Notes: BITO CONFIRM METER SIZE WITH PLUMBING PLANS UPON PERMIT
Tomestic Meter Slze(s): n/a
Per Approved Site Plan
Sewer Tap SIze(s): n/a
See Notes, if applicable
Sewer Tap Fee (s): n/a
See Notes, if applicable
Impact Fee: n/a
See Notes, if applicable
Impact Fee Credit: n1a
See Notes, if applicable
Net Impact Fee: n/a
See Notes, If applicable
Notes: BITO CONFIRM METER SIZE WITH PLUMBING PLANS UPON PERMIT
ZEN= -
Parking Lot: Fee: $720
Notes: Standard Fee
EXHIBIT A
421 E. Oak
Legal Description
Fulton & Spalding Blk 1 Lot 9(s132' Of E28'),10,11,12(s132' Of Ea) 7to10/121///cisco 1184