Feb 16, 2026 Economic Development Corp. (Type A)

[* A portion of this video is without audio *]

[3.B. Consider and take possible action on a resolution authorizing a real estate contract between the Burleson 4A Economic Development Corporation and Shipman Properties, LP for the purchase of property located at 114 W. Ellison Street, Burleson, Texas in the amount of $1,100,000 dollars. (Staff Contact: Alex Philips, Director of Economic Development)]

[00:03:51]

I'M NOT SURE WHERE THEY WOULD PUT LANDSCAPING.

SO THESE.

INCLUDED IN THE AGREEMENT. CAPITAL INVESTMENT OF $3 MILLION.

PURCHASE THE BUILDING FOR $1.1 MILLION AND CLOSED ON THE PROPERTY BY APRIL 1ST OF THIS YEAR, COMMENCED CONSTRUCTION OF THE DEVELOPMENT BY OCTOBER 31ST OF THIS YEAR.

THE DEFINITION OF COMMENCING CONSTRUCTION IS POURING OF THE FOUNDATION. THE RIGHT OF REVERTER WOULD BE VOIDED IF PERFORMANCE MEASURE OF THE FOUNDATION IS MET.

COMPLETE THE CONSTRUCTION OF THE DEVELOPMENT BY DECEMBER 31ST OF 27, AND RECEIVED THE CEO AND OPEN TO THE PUBLIC BY MAY 1ST OF 28.

EDC OBLIGATIONS. WE WOULD PROVIDE A CASH GRANT OF $350,000 ONCE THE ASBESTOS REMOVAL AND THE DEMO OF THE BUILDING WAS COMPLETE.

ANOTHER CASH GRANT OF $300,000 ONCE THE DEVELOPER RECEIVED THE BUILDING PERMIT AND THEN THE LAST CASH GRANT ONCE THEY RECEIVE THE CO FOR THE CORPORATE RELOCATION OF SHIPMAN PROPERTIES AND APEX HOMES, THE AMOUNT OF $300,000.

SO TOTAL INCENTIVE OF $950,000. HERE'S THE PROFORMA SHOWING THAT.

[00:05:02]

THE CAPITAL INVESTMENT IS $3 MILLION, EXCLUDING THE PROPERTY VALUE, THE LAND PURCHASE ITSELF, THIS INCLUDES THE LAND PURCHASE ITSELF. BUT THE AGREEMENT THE ATTORNEYS WANTED TO KEEP THE PROPERTY PURCHASE OUT OF IT, BUT IN THE PROFORMA, WE PUT IT IN THERE JUST TO SHOW THE LAND PURCHASE COMING IN AND THEN GOING OUT.

SO TEN YEAR RETURN, 81%. 20 YEAR RETURN, 168% ON THIS DEVELOPMENT.

HERE TO ANSWER ANY KIND OF QUESTIONS THAT 4A BOARD MAY HAVE.

AND THE DEVELOPERS IN THE ROOM AS WELL TO ANSWER ANY OTHER QUESTIONS. OKAY.

QUESTIONS, ANYONE? OKAY. I'D LIKE TO SAY, ALEX, I APPRECIATE THE EFFORT THAT YOU GUYS HAVE PUT INTO TO GET THIS PROJECT TO THIS POINT. AND I DEFINITELY APPRECIATE MR. SHIPMAN'S WILLINGNESS TO BACK DOWN A LITTLE BIT FROM THE ORIGINAL CONCEPT PLAN, WHICH WAS SOMEWHAT MORE FUTURISTIC AND INTERESTING, WHICH I'M. BUT I THINK IT WAS, IN MY PERSONAL OPINION, WAS A LITTLE BIT TOO MUCH.

BUT THAT'S THE WAY WE GET THINGS WORKED OUT. EVERYBODY PULLS TOGETHER AND SOME TIME OR ANOTHER WE GET WHERE WE NEED TO GET.

I'M GOING TO ASK A QUESTION. THE PROFORMA SHOWS US AT THE TEN YEAR PERIOD TO BE AT 82% RECAP OF OUR INVESTMENT. THAT'S A LITTLE BIT LESS THAN WHAT I LIKE TO SEE.

I LIKE TO SEE US AT LEAST GET ABOVE WATER AT THE TEN YEAR POINT.

HOWEVER, WITH THAT SAID, I WONDERED, DO THESE NUMBERS TAKE INTO ACCOUNT THAT? WELL, LET ME ASK THE QUESTION. WILL THE EXISTING SHIPMAN OFFICE SPACE BE ON THE MARKET FOR RETAIL OR RESTAURANT OPPORTUNITY WHEN THEY MOVE OVER HERE? IS THAT THE WAY THAT'S. SO THE BOTTOM FLOOR WOULD HAVE SOME SALES TAX PRODUCING ENTITIES ON THE BOTTOM FLOOR OF THE NEW BUILDING.

AND ANY FUTURE SALES TAX IS NOT BUILT INTO THIS PROFORMA.

THE UPSTAIRS OF THE SHIPMAN BUILDING WHERE IT'S EXISTING NOW WOULD BE FOR SALE, BUT I THINK SHIPMAN PROPERTIES HAS SOMEBODY THAT IS.

IT'LL BE AN EXTENSION OF MORE OFFICE USE FOR THE UPSTAIRS, WHICH WILL GIVE US MORE LUNCH BUSINESS DOWN HERE WITH MORE EMPLOYEES.

OKAY. BUT THIS ALSO, I UNDERSTAND THE ROI BEING 8,182%, BUT THIS IS 4A DOLLARS, NOT GENERAL FUND DOLLARS AS WELL.

SO THE INCENTIVE IS JUST ALL 4A DOLLARS. YEAH, AND DON'T GET ME WRONG, I'M NOT COMPLAINING ABOUT THE DEAL.

YOU KNOW, I THINK THE DEAL IS AS GOOD AS IT COULD BE. YOU KNOW, IF WE WAITED UNTIL A DEAL CAME ALONG, THAT WOULD GET US EVEN AT THE TEN YEAR PERIOD, THEN WE'D WASTE 3 OR 4 YEARS GETTING THERE.

AND AT THE END OF THE DAY, TEN YEARS FROM TODAY, WE STILL WOULDN'T BE THERE.

SO. YES, SIR. I LIKE THE DEAL. LIKE I SAID, I ALWAYS WANT THE NUMBERS TO BE A LITTLE BIT BETTER THAN THEY ARE, BUT I LOVE THE BUILDING, I LOVE THE WAY IT'S GOING TO LOOK.

AND I FEEL LIKE IT'S FILLING OUR HAND. IT'S COMPLETING WHAT WE STARTED OUT TO DO YEARS AGO WITH DEVELOPMENT OF THE PLAZA AND SURROUNDING THE PLAZA WITH NEW BUILDINGS BUILT IN THE OLD TOWN ARCHITECTURAL STYLE.

I THINK THIS COMPLETES THAT EFFORT. AND, YOU KNOW, AT THIS POINT, WE CAN TAKE OUR GUNPOWDER AND GO AIM AT ANOTHER TARGET, PERHAPS, AND, YOU KNOW, DO SOME GOOD ELSEWHERE IN TOWN.

SO I LIKE IT. I'M HAPPY FOR IT. SO DOES ANYBODY ELSE HAVE ANY OTHER QUESTIONS OR RAISE ANY CONCERNS? OKAY. IT'LL BE TWO SEPARATE ACTIONS. YES I UNDERSTAND.

SO I'M GOING TO START BY. DAN. THE 81%, THAT WAS WHAT I'M HUNG UP ON AS WELL.

JUST BECAUSE IT SEEMS LIKE WE SHOULD BE A LITTLE BIT FURTHER ALONG BY YEAR TEN.

LIKE ARE THERE ANY ADJUSTMENTS THAT CAN BE MADE TO GET US CLOSER TO THAT? I THINK IT'LL GET CLOSER TO THAT WITH LOOKING AT FUTURE SALES TAX THAT WE'LL HAVE ON THE BOTTOM FLOOR THERE.

ON THE BOTTOM FLOOR HERE, IT'S NOT SHOWING ANY KIND OF SALES TAX PRODUCING OF ANY ENTITIES THAT WOULD MOVE INTO THE BOTTOM FLOOR OF THE NEW BUILDING.

BECAUSE WE WERE TRYING TO BE MORE ON THE CONSERVATIVE SIDE OF LIKE, IT'S EMPTY.

WE DON'T KNOW EXACTLY WHAT'S GOING IN THERE, BUT OUR GOAL IS TO HAVE MORE SALES TAX PRODUCING RETAIL OPERATIONS ON THE BOTTOM FLOOR THERE OF ANOTHER BOUTIQUE OR SOMETHING LIKE THAT.

SO I THINK IT WILL BE BETTER THAN THE 81% OVER TEN YEARS, BECAUSE WE'LL HAVE ADDITIONAL SALES TAX ALSO COMING IN FROM THAT BUILDING.

OKAY. ANYBODY WANT TO MAKE A MOTION? MOVE TO APPROVE 3.B.

SECOND. I HAVE A MOTION BY ADAM, A SECOND BY LARRY TO APPROVE ITEM 3.B.

THE LAND SALE. ALL THOSE IN FAVOR. AND THAT MOTION PASSES BY UNANIMOUS VOTE.

AND I'LL TAKE A MOTION ON 3.C.

[3.C. Consider and take possible action on a resolution authoring a Performance Agreement between the Burleson 4A Economic Development Corporation and Shipman Companies, LP for the development of the property located at 114 W. Ellison Street, Burleson, Texas. (Staff Contact: Alex Philips, Director of Economic Development)]

[00:10:02]

THANK YOU VERY MUCH, ALEX. GOOD WORK. ALL RIGHT.

NEXT UP, DO ANY BOARD MEMBERS HAVE A REQUEST FOR FUTURE AGENDA ITEMS? FUTURE REPORTS? I SEE NONE. HAVE WE A NEED FOR EXECUTIVE SESSION? WE DO NOT. SO WE'LL ADJOURN THE MEETING AT 4:10.

THANK YOU ALL.

* This transcript was compiled from uncorrected Closed Captioning.