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06-19-2017 (WEDC) Agenda Packet NOTICE OF MEETING Wylie Economic Developm C R P O RATION Special Meeting Agenda June 19, 2017—7:30 A.M. WEDC Offices—Conference Room 250 South Highway 78 —Wylie, Texas Marvin Fuller President Todd Winders Vice President John Yeager Secretary Demond Dawkins Treasurer Bryan Brokaw Board Member Mayor Eric Hogue Ex-Officio Member Mindy Manson,City Manager Ex-Officio Member Samuel Satterwhite Executive Director Jason Greiner Assistant Director Angel Wygant Senior Assistant In accordance with Section 551.042 of the Texas Government Code, this agenda has been posted at the Wylie Municipal Complex, distributed to the appropriate news media, and posted on the City Website: www.wylietexas.gov within the required time frame. CALL TO ORDER Announce the presence of a Quorum. CITIZEN PARTICIPATION Residents may address the WEDC Board regarding an item that is or is not listed on the agenda. Residents must provide their name and address. The WEDC Board requests that comments be limited to three (3) minutes. In addition, the WEDC Board is not allowed to converse, deliberate or take action on any matter presented during citizen participation. ACTION ITEMS I. Consider and act upon approval of the May 17, 2017 Minutes of the Wylie Economic Development Corporation(WEDC) Board of Directors Meeting. II. Consider and act upon approval of Resolution No. 2017-01(R)ratifying the Purchase and Sale Agreement and all subsequent Amendments between the Wylie Economic Development Corporation (WEDC) and Chick-Fil-A, Inc. for the sale of approximately 1.53 acres also known as Lot 5R Railroad Industrial Park Addition,Wylie,Texas as recorded in Volume 2017, Page 307 of the plat records of Collin County, Texas, further authorizing WEDC President Marvin Fuller to execute all documents necessary to effectuate the sale. ADJOURNMENT CERTIFICATION I certib; that this Notice of Meeting was posted on this 15th day of June 2017 at 5:00 p.m. as required by law in accordance with Section 551.042 of the Texas Government Code and that the appropriate news media was contacted. As a courtesy, this agenda is also posted on the City of Wylie website: www.wylietexas.gov. Carole Ehrlich,City Secretary Date Notice Removed Minutes Wylie Economic Development Corporation Board of Directors Meeting Wednesday, May 17, 2017—6:30 A.M. WEDC Offices—Conference Room 250 South Highway 78 —Wylie, Texas CALL TO ORDER Announce the presence of a Quorum President Marvin Fuller called the meeting to order at 6:33 a.m. Board Members present were John Yeager, Todd Wintters and Bryan Brokaw. Ex-officio members Mayor Eric Hogue and City Manager Mindy Manson were present. WEDC staff present was Executive Director Sam Satterwhite, Assistant Director Jason Greiner and Senior Assistant Angel Wygant. CITIZEN PARTICIPATION President Fuller welcomed citizen guest Lynn Grimes. Ms. Grimes thanked the Board for their support of the Taste of Wylie which was a successful fundraiser for the Christian Care Center. With no further citizen participation, President Fuller proceeded to Action Items. ACTION ITEMS ITEM NO. 1 — Consider and act upon approval of the April 19, 2017 Minutes of the Wylie Economic Development Corporation (WEDC) Board of Directors Meeting. Staff called the Board's attention to a typographical error on the item number associated with the Staff Report in the Minutes. Item No. 9 should have read Item No. 6. MOTION: A motion was made by John Yeager and seconded by Bryan Brokaw to approve the April 19, 2017 Minutes of the Wylie Economic Development Corporation as amended. The WEDC Board voted 4 —FOR and 0 — AGAINST in favor of the motion. ITEM NO. 2—Consider and act upon approval of the April 2017 WEDC Treasurers Report. MOTION: A motion was made by Todd Wintters and seconded by John Yeager to approve the April 2017 Treasurers Report for the Wylie Economic Development Corporation. The WEDC Board voted 4 — FOR and 0 —AGAINST in favor of the motion. WEDC—Minutes May 17, 2017 Page 2 of 6 ITEM NO. 3 — Consider and act upon a Performance Agreement between Metalbilia and the WEDC. Mr. Greiner presented a Performance Agreement between Metalbilia and the WEDC for consideration by the Board explaining that Mr. Patrick Payton initially came to the WEDC in an attempt to evaluate his options for a new facility in Wylie, TX. Mr. Payton planned to lease an existing structure to help with immediate production needs,but also knows his production capacity is limited by the size of facility. Future plans call for larger manufacturing or production space and a possible retail store front. Following direction from the WEDC Board in Executive Session and an oral commitment by the WEDC staff for assistance, Mr. Payton started renovation at 108 S. Jackson Ave., Ste. 201. Mr. Payton expects to hire at least one new full-time employee and his projected expenses for new equipment are expected to exceed $12,000 this first year. Although this is a smaller project, the WEDC Board recognizes the need for small business development and assisting our local entrepreneurs as they grow and expand. The Performance Agreement proposed totals a maximum incentive of$4,800 which is paid in $1,600 increments within the 10th, 11th, and 12th months of the lease following verification of expenditures and employment. Should Metalbilia fail to meet the identified Performance Measures, the entire Performance Agreement is voided in advance. Further, no partial incentive payments will be provided. Staff recommended that the WEDC Board of Directors approve a Performance Agreement between WEDC and Metalbilia providing for a maximum incentive of$4,800 and further authorizing the WEDC Executive Director to execute said Agreement. Board Member Fuller inquired about the confidence level of the equipment purchases meeting the $12,000 requirement. Mr. Greiner explained that the equipment is state of the art and extremely expensive. The likelihood of obtaining even a minor discount is extremely remote and would not impact the proposed incentive. Staff called the Board's attention to a correction needed in the Performance Agreement in that the $12,000 required equipment purchase is associated with Incentive No. 1 rather than Incentive No. 3. The correction was made in the body of the text but not in the Table and will be corrected prior to execution of the Performance Agreement. MOTION: A motion was made by Todd Wintters and seconded by Bryan Brokaw to approve a Performance Agreement, as amended,between WEDC and Metalbilia providing for a maximum incentive of$4,800 and further authorizing the WEDC Executive Director to execute said Agreement. The WEDC Board voted 4—FOR and 0—AGAINST in favor of the motion. WEDC—Minutes May 17, 2017 Page 3 of 6 ITEM NO. 4- Consider and act upon a Second Amendment to a Performance Agreement between KREA Acquisition, LLC and the WEDC. Staff reviewed that on July 29, 2015, the WEDC entered into a Performance Agreement with KREA Acquisitions to provide assistance with the construction of Qualified Infrastructure in the amount of $600,000. On January 20, 2017,the WEDC approved an extension requiring a Certificate of Occupancy (CO) for the project from March 31, 2017 to May 31, 2017. Due to continuing delays, KREA has indicated that a CO will not be issued sooner than September 30, 2017. Further, the Board amended the Start Date to 4 months from CO from the original 6-month time period. The Start Date is defined as the date upon which the WEDC will provide incentive payments equal to Occupancy Tax generated from the project. Based upon continual delays, the project has changed in terms of the cost/benefit along with significant concern with continual defaults. The `loss' to the community are those Occupancy Taxes that would have been generated had the project been completed originally in March and then amended to May. Further,while the property has been assessed at 3.1 mm,it was the WEDC's original understanding from the CCCAD that hotels were valued on an Income Basis. Therefore, this value may well be contested with the property not in production. While staff firmly believes that every project is evaluated on its own merits, there have been previous incentive programs that have been reduced as the result of multiple Defaults. For example, the Direct Development(Target)project was reduced from$12 mm in cumulative incentives to $6 mm based upon several events of default. Staff proposed a Second Amendment to Performance Agreement which details a recommended response to multiple events of default by KREA as follows: (a) reduction in potential cumulative incentives from $600,000 to $450,000, (b) Start Date begins upon issuance of CO, and (c) should a CO not be issued by November 30, 2017, the WEDC obligation to pay any portion of the Reimbursement Incentive is terminated. Staff recommended that the WEDC Board of Directors approve a Second Amendment to the Performance Agreement extending the date by which KREA Acquisitions, LLC must complete improvements associated with the La Quinta Inn & Suites to November 30, 2017, amending the Start Date to the Date upon which the City issues a CO, and terminating WEDC's obligation to fund Reimbursement Incentives should KREA be in default of Section 2 of the Agreement and subsequent First Amendment to the Agreement. MOTION: A motion was made by Todd Wintters and seconded by John Yeager to approve a Second Amendment to the Performance Agreement extending the date by which KREA Acquisitions, LLC must complete improvements associated with the La Quinta Inn & Suites to November 30, 2017, amending the Start Date to the Date upon which the City issues a CO, and terminating WEDC's obligation to fund Reimbursement Incentives should KREA be in default of Section 2 of the Agreement and subsequent First Amendment to the WEDC—Minutes May 17, 2017 Page 4 of 6 Agreement. The WEDC Board voted 4 — FOR and 0 —AGAINST in favor of the motion. ITEM NO.5—Consider and act upon issues surrounding a Purchase and Sale Agreement between the WEDC and Chick-Fil-A, Inc. In the Purchase and Sale Agreement (PSA) the WEDC committed to "assist CFA to attempt to cause the City to apply all or a portion of the Lane Contribution as a credit against the Development Fees". The Lane Contribution is a previously negotiated amount ($41,000)which CFA is to pay the WEDC at closing, compensating the WEDC for a portion of the deceleration lane improvements being constructed by the WEDC. The Development Fees are equal to $88,108 and must be paid to the City prior to the issuance of a building permit. The original thought was that the City would provide a credit against Thoroughfare Impact Fees for roadway improvements being funded by CFA. However, costs attributed to deceleration lanes do not qualify for credits under a Development Agreement process the City uses to provide benefits to developers who make improvements to roadways specifically identified within the City Thoroughfare Plan. Rather than have the City enter into a 380 Agreement with CFA to provide the $41,000 benefit, staff is proposing that it would be more expeditious for the WEDC to forego the collection of the Lane Contribution from CFA achieving the same result as the previously discussed credits. Staff recommended that the WEDC Board of Directors authorize the Executive Director to notify the Title Company that CFA is not required to pay the Lane Contribution called for within the PSA. MOTION: A motion was made by Bryan Brokaw and seconded by John Yeager to authorize the Executive Director to notify the Title Company that CFA is not required to pay the Lane Contribution called for within the PSA. The WEDC Board voted 4—FOR and 0—AGAINST in favor of the motion. ITEM NO. 6—Consider and act upon issues surrounding the marketing of WEDC pad sites. Staff held an open discussion on the merits of engaging a real estate brokerage firm to market WEDC pad sites on Highway 78 and F.M. 544. With the pending sale of a 1.5 acre pad next to Starbucks to CFA on or about June 19th and the availability of approximately 3 acres for pad development on F.M. 544 property owned by the City and WEDC, the need for professional assistance at least warrants a discussion. All things being equal, the WEDC will be paying 6% fee regardless whether its 3% to our broker and 3%to the buyers' broker, or whether it is the entire 6% to the buyers' broker if we represent ourselves. Even though we have the Retail Coach seeking out users in addition to staff's efforts, a broker would add that much more activity to our site. WEDC—Minutes May 17, 2017 Page 5 of 6 The Board agreed with staffs' assessment and directed staff to identify multiple commercial brokers in the Metroplex and bring back a recommendation at a future date. No action was requested by staff for this item. DISCUSSION ITEMS ITEM NO. 7 — Staff report: Staff reviewed issues surrounding a WEDC Performance Agreement Summary, Woodbridge Crossing,Environmental Activity Summary, ICSC 2017, WEDC Pad Sites, 100 Oak Street, and regional housing starts. Staff noted for the Board that Woodbridge Crossing tax receipts were up 20% over February 2016 and we are on track to meet our $6 mm incentive obligation by October 2019, 2 years earlier than originally anticipated. In addition, the development continues to grow with McAlister's Deli submitting plans for a location adjacent to and east of Cotton Patch within Woodbridge Crossing. For ICSC, staff has scheduled 16 confirmed appointments with Brokers and Retailers and identified 13 key sessions relevant to economic development in Wylie. At least one person will attend each of these sessions. No action was requested by staff for this item. EXECUTIVE SESSION Recessed into Closed Session at 7.•29 a.m. in compliance with Section 551.001, et.seq. Texas Government Code, to wit: Section 551.072 (Real Estate) of the Local Government Code, Vernon's Texas Code Annotated (Open Meetings Act). Consider the sale or acquisition of properties located near the intersection of: • Brown & Ballard • Birmingham& Hwy 78 Section 551.087 (Economic Development) of the Local Government Code, Vernon's Texas Code Annotated (Open Meetings Act). • Project 2017-3b • Project 2017-5a RECONVENE INTO OPEN MEETING The WEDC Board of Directors reconvened into open session at 7:49 a.m. and took no action. ADJOURNMENT With no further business, President Fuller adjourned the WEDC Board meeting at 7:49 a.m. WEDC—Minutes May 17, 2017 Page 6 of 6 Marvin Fuller, President ATTEST: Samuel Satterwhite, Director Wylie Economic Development Corporation MEMORANDUM TO: WEDC Board of Directors FROM: Samuel Satterwhite, Executive Director SUBJECT: Chick-fil-A Closing DATE: June 15, 2017 Issue Consider and act upon Resolution No. 2017-01(R)ratifying the Purchase and Sale Agreement and all subsequent Amendments between the Wylie Economic Development Corporation(WEDC)and Chick-Fil-A,Inc. for the sale of approximately 1.53 acres also known as Lot 5R Railroad Industrial Park Addition, Wylie, Texas as recorded in Volume 2017, Page 307 of the plat records of Collin County, Texas, further authorizing WEDC President Marvin Fuller to execute all documents necessary to effectuate the sale. Analysis Closing on the Chick-fil-A purchase is scheduled for Monday, June 19th. At closing, the WEDC is required to provide the attached Resolution along with a Certificate of Corporate Resolution authorizing President Fuller to execute all documents necessary to formalize the transaction. Further, staff is providing ratification of the Purchase and Sale Agreement along with all Amendments to the same. Recommendation Staff recommends that the WEDC Board of Directors approve Resolution No. 2017-01(R) ratifying the Purchase and Sale Agreement and all subsequent Amendments between the Wylie Economic Development Corporation(WEDC)and Chick-Fil-A, Inc. for the sale of approximately 1.53 acres also known as Lot 5R Railroad Industrial Park Addition, Wylie, Texas as recorded in Volume 2017, Page 307 of the plat records of Collin County, Texas, further authorizing WEDC President Marvin Fuller to execute all documents necessary to effectuate the sale. Attachments Resolution Certificate of Corporate Resolution Closing Statement Purchase and Sale Agreement First Amendment Second Amendment Third Amendment Fourth Amendment Fifth Amendment RESOLUTION NO. 2017-01(R) RESOLUTION RATIFYING A PURCHASE AND SALE AGREEMENT AND ALL SUBSEQUENT AMENDMENTS BETWEEN THE WYLIE ECONOMIC DEVELOPMENT CORPORATION AND CHICK-FIL-A, INC. AND AUTHORIZING PRESIDENT MARVIN FULLER TO EXECUTE ALL CLOSING DOCUMENTS REQURED TO CONSUMATE THE SALE OF PROPERTY CONTEMPLATED IN SAID AGREEMENT. WHEREAS, the Wylie Economic Development Corporation(the "Corporation")has been incorporated and exists and operates as a duly constituted authority and instrumentality of the City of Wylie, (the "City"), pursuant to Chapter 501 of the Texas Local Government Code (the "Development Corporation Act" or "Act"), and governed as a Type A Corporation under the Act and Chapter 501 and 504 of the Texas Local Government Code, is qualified to do business, and in good standing; and WHEREAS, no proceedings for forfeiture of the certificate of incorporation or for voluntary or involuntary dissolution of the Corporation are pending; and WHEREAS, neither the articles of incorporation nor the bylaws of the Corporation limit the Board of Directors to adopt this Resolution; and WHEREAS, the Wylie Economic Development Corporation Board of Directors finds and determines that it is appropriate to approve the Project as an authorized program and expenditure of the Corporation; and WHEREAS, the Corporation entered into a Purchase and Sale Agreement, along with subsequent Amendments to the Agreement, with Chick-fil-A, Inc. dated September 14, 2016 to sell approximately 1.53 acres located at the northeast corner of State Highway 78 and Cooper Drive (more specifically known as Lot 5R Railroad Industrial Park Addition, Wylie, Texas as recorded in Volume 2017, Page 307 of the plat records of Collin County, Texas) for the Purchase Price of$1,350,000.00 in addition to other consideration identified in the Agreement; and WHEREAS, the President, Marvin Fuller, is hereby authorized in the name of this Corporation and as its own act to execute all closing documents necessary to effectuate the sale of said property to Chick-fil-A, Inc.; and WHEREAS, the Secretary of the Corporation is directed to certify the minutes of this meeting and the contents of these resolutions and to deliver the certification in support of the authority of the Director named above to act on behalf of this Corporation. NOW, THEREFORE, BE IT RESOLVED BY THE WYLIE ECONOMIC DEVELOPMENT CORPORTION BOARD OF DIRECTORS: SECTION 1: The recitals set forth in the preamble hereof are incorporated herein and shall have the same force and effect as if set forth in this Section. The ratification of the Purchase and Sale Agreement,along with all subsequent Amendments,associated with the sale of approximately 1.53 acres located at the northwest corner of State Highway 78 and Cooper Drive (more specifically known as Lot 5R Railroad industrial Park Addition, Wylie. Texas as recorded in Volume 2017, Page 307 of the plat records of Collin County. 'Texas), along with authority granted to W l:DC President Marvin Fuller to execute all closing documents is hereby approved. SECTION 2: This Resolution shall take effect immediately upon its passage. DULY PASSED AND APPROVED by the Board of Directors of the Wylie Economic Development Corporation on this 1911' day of June, 2017. Marvin Fuller, President ATTEST TO: John Yeager, WEDC Secretary CERTIFICATE OF CORPORATE RESOLUTION Date: , 2017 Corporation: Wylie Economic Development Corporation, a Texas Non-Profit Corporation Date of Meeting of Board of Directors: We, the President and Secretary of the Corporation, certify the following facts: 1. The Corporation is a Texas Non-Profit Development Corporation, organized and operating under the Development Corporation Act, Chapter 501 of the Texas Local Government Code, is qualified to do business, and in good standing. 2. No proceedings for forfeiture of the certificate of incorporation or for voluntary or involuntary dissolution of the Corporation are pending. 3. Neither the articles of incorporation nor the bylaws of the Corporation limit the Board of Directors to adopt the resolution below. 4. The President and Secretary are the persons authorized to make and sign this resolution. 5. The Secretary keeps the records and minutes of the proceedings of the Board of Directors of the Corporation, and the resolution below is an accurate reproduction of the one made in those proceedings; it has not been altered, amended, rescinded, or repealed; and it is now in effect. 6. The resolution below was legally adopted at a legally called meeting of the Board of Directors pursuant to the Texas Open Meetings Act. 7. The following resolutions were adopted by the Board of Directors: "RESOLVED, the Corporation Ratifies a Purchase and Sale Agreement, and all subsequent amendments, with Chick-fil-A, Inc. to sell approximately 1.53 acres located at the northeast corner of State Highway 78 and Cooper Drive (more specifically known as Lot 5R Railroad Industrial Park Addition, Wylie, Texas as recorded in Volume 2017, Page 307 of the plat records of Collin County, Texas); and" "RESOLVED FURTHER, that the President, Marvin Fuller, is hereby authorized in the name of this Corporation and as its own act to execute all closing documents necessary to effectuate the sale of said property to Chick-fil-A, Inc; and" Certificate of Corporate Resolution Page 1 "RESOLVED FURTHER, that the Secretary of the Corporation is directed to certify the minutes of this meeting and the contents of these resolutions and to deliver the certification in support of the authority of the Directors named above to act on behalf of this Corporation." WYLIE ECONOMIC DEVELOPMENT CORPORATION, a Texas Non-Profit Corporation Marvin Fuller, President John Yeager, Secretary STATE OF TEXAS § COUNTY OF COLLIN § This instrument was acknowledged before me on , 2017 by Marvin Fuller, President of the Wylie Economic Development Corporation, a Texas Non-Profit Corporation. Notary Public in and for The State of Texas STATE OF TEXAS § COUNTY OF COLLIN § This instrument was acknowledged before me on , 2017 by John Yeager, Secretary of the Wylie Economic Development Corporation, a Texas Non-Profit Corporation. Notary Public for the State of Texas Certificate of Corporate Resolution Page 2 SELLER'S STATEMENT DATE: June 19,2017 GF NO.: 1913502852 SALE FROM: Wylie Economic Development Corporation TO: Chick-fil-A,Inc 250 Hwy. 78 S. 5200 Buffington Road Wylie,TX 75098 Atlanta, GA 30349 PROPERTY: Lot 5R,Railroad Industrial Park Addition,City of Wylie Collin County,Texas S.Highway 78 Wylie,TX 75098 SALES PRICE $1,350,000.00 REIMBURSEMENTS/CREDITS Contribution towards demolition work $74,758.00 TOTAL REIMBURSEMENTS/CREDITS $74,758.00 GROSS AMOUNT DUE TO SELLER $1,424,758.00 LESS: CHARGES AND DEDUCTIONS REAL ESTATE COMMISSIONS $70,500.00 Commission to Hardesty Realty Group $70,500.00 TITLE INSURANCE to Lawyers Title Company $7,457.00 Owner Title Policy $7,457.00 65%of Title Premium State of Texas Policy Guaranty Fee to Texas Title Insurance Guaranty Association .$3.00 Escrow Fee to J.Kent Newsom,Attorney at Law $350.00 Tax Certificate to Lawyers Title Company FBO National Tax Net $50.95 E-Filing Fee to Lawyers Title Company $3.00 Recording Fees to Lawyers Title Company $58.00 TOTAL CHARGES AND DEDUCTIONS $78,421.95 NET AMOUNT DUE TO SELLER $1,346,336.05 Seller understands the Closing or Escrow Agent has assembled this information representing the transaction from the best information available from other sources and cannot guarantee the accuracy thereof. Any real estate agent or lender in olved may be furnished a copy of this Statement. Seller understands that tax and insurance prorations and reserves were based on figures for the preceding year or supplied by others,or estimates for current year,and in the event of any change for current year,all necessary adjustments must be made between Purchaser and Seller direct. The undersigned hereby authorizes Lawyers Title Company to make expenditures and disbursements as shown and approves same for payment. The undersigned also acknowledges receipt of Loan Funds,if applicable,in the amount shown above and a receipt of a copy of this Statement. Wylie Economic Development Corporation Closing or Escrow Agent By: Baron Cook Marvin Fuller, President Lawyers Title Company 250 Hwy 78 S. Wylie,TX 75098 *Note: Interest on existing liens is figured to the date indicated, If not paid by then,additional interest will have to be collected and your statement will be adjusted to have sufficient funds to secure release from the lienholder. Printed at: 06/15/2017(05:14 pm) PURCHASE AND SALE AGREEMENT BY AND BETWEEN WYLIE ECONOMIC DEVELOPMENT CORPORATION, AS SELLER, AND CHICK-FIL-A,INC., AS PURCHASER 2E127375 TABLE OF CONTENTS Page 1. DESCRIPTION OF PROPERTY; AGREEMENT TO BUY AND SELL 1 2. EARNEST MONEY AND TITLE COMPANY 1 3. PURCHASE PRICE 1 4. CRITICAL DATES 1 5. TERMS AND CONDITIONS OF INSPECTION PERIOD; SELLER'S DELIVERY OF DUE DILIGENCE ITEMS 2 6. TERMS AND CONDITIONS OF PERMITTING PERIOD 2 7. EASEMENTS BENEFITTING LAND; RESTRICTIONS ON ADJOINING PROPERTY 3 8. SELLER'S WORK 5 9. CLOSING AND CLOSING DATE 5 10. EXPENSES AND PRORATIONS AT THE CLOSING 5 11. TITLE; SURVEY; EXISTING USE RESTRICTIONS; COVENANTS OF SELLER 6 12. REPRESENTATIONS AND WARRANTIES OF SELLER 7 13. DEFAULTS 8 14. CONDEMNATION 9 15. BROKERS 9 16. NOTICES 10 17. GENERAL PROVISIONS 10 18. DAY FOR PERFORMANCE 11 19. SURVIVAL OF PROVISIONS 11 20. SEVERABILITY 11 21. EFFECTIVE DATE 11 22. CONDITION OF LAND 11 23. SUBDIVISION OF THE LAND 11 24. DEVELOPMENT-RELATED MAILERS AND COST SHARING 11 28127375 TABLE OF CONTENTS (continued) EXHIBIT"A" DEPICTION OF LAND EXHIBIT"B" DEPICTION OF ADJOINING PROPERTY EXIIII3IT"B-I" DEPICTION OF PROTECTED DRIVES EXIUBIT"C" EARNEST MONEY ESCROW AGREEMENT EXHIBIT"D" SELLER'S WORK EXHIBIT"D-1" CONSULTANT'S CERTIFICATE EXHHBIT"D-2" SELLER'S WORK FINAL COMPLETION CERTIFICATE EXHIBIT"E" RESTRICTIVE COVENANTS/EXISTING EXCLUSIVES 28127375 -ii- PURCHASE AND SALE AGREEMENT THIS PURCHASE AND SALE AGREEMENT (this "Agreement") is made and entered into as of the 1 9" day ol'<11-- NT f , 2016 (the "Effective Date") by and between WYLIE ECONOMIC DEVELOP CORPORATION, a Texas economic development corporation ("Seller"), and CHICK-FIL-A,INC., a Georgia corporation("Purchaser"). A. Seller desires to sell and Purchaser desires to acquire the property described in this Agreement on the terms and conditions in this Agreement. B. In consideration of the mutual covenants and agreements in this Agreement, and for other good and valuable consideration, the receipt, adequacy and sufficiency of which are expressly acknowledged, Seller and Purchaser agree as follows: 1. Description of Property:Agreement to Buy and Sell. Subject to the terms and conditions in this Agreement, Purchaser agrees to buy and Seller agrees to sell the real property containing approximately 1.53 acres, at the northeast corner of State Highway 78 and Cooper Drive in the City of Wylie, Collin County, Texas, as depicted on Exhibit"A" (the "Land"), together with any and all improvements, appurtenances, rights, privileges and easements benefiting, belonging or pertaining to the Land, and all right, title and interest of Seller in and to any land lying in the bed of any road in front of or adjoining the Land,together with any strips or gores relating to the Land(collectively,the"Property"). 2. Earnest Money and Title Company. Within five (5) business days after the Effective Date, Purchaser will deliver to Lawyer's Title (the "Title Company") the sum of Ten Thousand and No/100 Dollars ($10,000.00) (the "Earnest Mon y"). Seller, Purchaser and Title Company have executed the Earnest Money Escrow Agreement attached as Exhibit"C". 3. Purchase Price. The "Purchase Price" of the Property is ONE MILLION THREE HUNDRED FIFTY THOUSAND AND NO/l00 DOLLARS ($1,350,000.00) and is subject to adjustments and prorations as provided in this Agreement. At Closing, the Purchase Price will be paid to Seller by wire transfer of immediately available funds to an account designated by Seller. 4. Critical Dates. Seller and Purchaser agree as follows: (a) The period commencing on the Effective Date of this Agreement and expiring at 5:00 p.m., Central Time, on the day which is ninety (90) days after the Effective Date is the "Inspection Period". (b) The period expiring ninety (90) days after the Inspection Period is the "Permitting Period". (c) Seller's Work (defined in Exhibit "D") must be completed by June 1, 2017 (the "Outside Completion Date"). (d) Subject to the satisfaction of Purchaser's contingencies in this Agreement, the Closing(defined in Section 9) will he not later than the date that is thirty(30) days after the later of(i)the expiration of the Permitting Period or(ii) completion of Seller's Work as provided in Exhibit"D", but in no event, later than ninety (90) days after the Outside Completion Date (subject to Purchaser's remedies for Seller's failure to timely complete Seller's Work set forth in Exhibit"D"). The dates in this Section are subject to extension only as expressly set forth in this Agreement. 28127375 5. Terms and Conditions of Inspection Period: Seller's Delivery of Due Diligence Items. Purchaser may at all times enter the Property and Adjoining Property (as defined in Section 7) as needed to do what is reasonably necessary to investigate and plan for the use and development of the Property. Purchaser may make tests related to surface, subsurface, topographic and environmental conditions of the Property. Purchaser will restore any area of the Property and Adjoining Property disturbed by Purchaser to as near its original condition as reasonably possible. Purchaser will indemnify Seller against any claims or damages incurred by Seller as a result of persons or firms entering the Property and Seller's Adjoining Property on Purchaser's behalf to complete the inspection of the Property and Adjoining Property. Purchaser's indemnity obligations under this Section 5 will survive for a period of eighteen (18)months from the earlier of the Inspection Period or the termination of this Agreement. Purchaser's obligations under this Agreement are conditioned on Purchaser's determination that the Property is satisfactory for the use and development intended by Purchaser and that the development is economically feasible. Purchaser has the right to terminate this Agreement on written notice to Seller given at any time and for any reason within the Inspection Period. On termination, the Title Company will pay the sum of$100.00 to Seller, the balance of the Earnest Money will be paid to Purchaser, and all rights and obligations of the parties under this Agreement will be of no further force or effect, except for obligations that are expressly stated to survive the termination of this Agreement. Seller acknowledges and agrees that the sum of$100.00 is good, adequate and sufficient consideration for the rights granted to Purchaser under this Section 5. Whether or not this Agreement is terminated pursuant to this Section 5, Purchaser will have no liability with respect to any Hazardous Materials (as defined in Section 12(f)) or underground storage tanks discovered as a result of any tests, inspections or studies performed by Purchaser under this Agreement. Seller will deliver to Purchaser, within ten (10) business days after the Effective Date, true and complete copies of all due diligence materials related to the Property in the possession or control of Seller. The materials will include,but are not limited to, environmental and soils reports,prior inspection reports, prior title policies, title exceptions, surveys, and the most recent property tax bills and assessments (collectively, "Site Information"). If Seller fails to deliver the Site Information within ten(10)business days after the Effective Date, the Inspection Period will be extended, automatically, for each day of delay. 6. Terms and Conditions of Permitting Period. Purchaser's obligations under this Agreement are contingent on its receipt, without extraordinary costs or conditions impacting economic feasibility of Purchaser's proposed development, of all private approvals and easements required from third parties and of all unappealable permits, allocation of public water and sewer capacity and other governmental authorizations deemed necessary or appropriate by Purchaser for the development and operation of the Property as a restaurant with a "drive-thru", pylon or monument sign and a children's play facility (collectively, including third party approvals, the "Permits"). Purchaser agrees to make its initial submittal for the Permits (which will be applied for and pursued in the order appropriate in the relevant jurisdiction) no later than thirty(30) days after the expiration of the Inspection Period. Purchaser will use commercially reasonable efforts to obtain the Permits. Seller will cooperate with Purchaser, at no expense to Seller, in obtaining the Permits. If Purchaser does not obtain the Permits on or before the expiration of the Permitting Period,then Purchaser may (i) extend the Permitting Period for a period not to exceed thirty (30) days, or (ii) terminate this Agreement, in which event all Earnest Money will be returned to Purchaser and all rights and obligations of the parties under this Agreement will be of no further force or effect, except for obligations that are expressly stated to survive the termination of this Agreement. In the event Purchaser elects to extend and the Permits have not been obtained (or the condition is not waived by Purchaser in writing)by the end of the thirty(30) day extension,Purchaser may(x) extend the Permitting Period for an additional period not to exceed thirty (30) days, or (y) terminate this Agreement, in which event all 2 28127375 Earnest Money will be returned to Purchaser and all rights and obligations of the parties under this Agreement will be of no further force or effect, except for obligations that are expressly stated to survive the termination of this Agreement. If Purchaser elects to extend and the Permits have not been obtained (or the condition is not waived by Purchaser in writing) by the end of the additional thirty (30) day extension, Purchaser may, on written notice to Seller, elect to terminate this Agreement as provided in clause (y). 7. Easements Benefitting Land;Restrictions on Adjoining Property. (a) Seller is also the owner of the property that adjoins the Land and is depicted on Exhibit "B" (the "Adjoining Property"). At Closing, Seller agrees to execute and record a Declaration of Easements, Covenants and Restrictions affecting the Land and the Adjoining Property (the "Declaration"). Seller and Purchaser will agree on a form of Declaration within thirty(30) days after the Effective Date. The Declaration will grant the following perpetual rights and easements over the Adjoining Property for the benefit of the Land: (i) General vehicular and pedestrian access, including the right (but not the obligation) to maintain, repair and replace the access roads,parking areas and sidewalks, • over the access roads, parking areas and sidewalks that may exist from time to time on the Adjoining Property. Purchaser also agrees to grant to Seller, at Closing, perpetual general vehicular and pedestrian access, including the right (but not the obligation) to maintain, repair and replace the access roads, parking areas and sidewalks, over the access roads,parking areas and sidewalks that may exist from time to time on the Land. (ii) Specific vehicular and pedestrian access over the portion of the accessways crosshatched on Exhibit `B-1" (the "Protected Drives") located on the Adjoining Property, which Seller will not be obligated to construct until it constructs vertical improvements on the Adjoining Property. (iii) General utility easements, in locations mutually acceptable to both parties, including the right to construct, tie into, maintain, repair and replace all utility facilities that are necessary to serve the Property (including storm and surface water drainage and detention facilities), together with the right of storm and surface water drainage from the Land on the Adjoining Property. (iv) A general temporary construction easement over a reasonable portion of the Adjoining Property if required for Purchaser's development of the Property. (b) Seller agrees to grant, at Closing, perpetual, specific vehicular and pedestrian access over the portion of the Protected Drives located on the Land, which Purchaser will not be obligated to construct until it constructs vertical improvements on the Land. (c) In addition to the foregoing easements, the Declaration will grant the following restrictive covenants for the benefit of the Land and burdening the Adjoining Property: (i) If not maintained by the City, Seller, and its successor and assigns, will maintain and repair, at no cost to Purchaser, all parking areas, fire lanes, driveways and access ways, and utility facilities that are the subject of the casements granted to Purchaser in Section 7(a) above (including, without limitation, the Protected Drives) in accordance with shopping center standards and practices of similar developments in the Wylie area, and Seller will not obstruct or alter the Protected Drives. Seller 3 28127375 acknowledges that Purchaser is relying on Seller to maintain all of such off-site access ways, parking areas and utility facilities that support the Property in good order and repair at all times. (ii) Seller will not lease, rent, sell or occupy, or permit to be leased, rented, sold or occupied, any portion of the Adjoining Property for any of the following: a theater of any kind; bowling alley, skating rink, amusement park, carnival or circus; meeting hall, place of instruction, sporting event or other sports facility, auditorium or any other like place of public assembly; a gym or fitness center; mortuary or funeral parlor; establishment selling cars or other motor vehicles, motor vehicle maintenance or repair shop or gas station, any establishment selling trailers; billiard parlor; tavern, pub, bar (tavern, pub or bar being a business where its alcohol sales exceed 40% of its total sales) or liquor store; pawn shop; or amusement center, flea market, massage parlor, "disco" or other dance hall, tattoo or body piercing parlor; casino, gaming room, or "off track betting" operation; for the sale of paraphernalia for use with illicit drugs or for the sale of medicinal marijuana; or for the sale,rental or display of pornographic materials. (iii) No restaurant will be permitted on any portion of the Adjoining Property unless the restaurant independently maintains a parking ratio of the greater of (a) the number of spaces required by law without a variance, or (b) ten (10) parking spaces for every one thousand (1,000) square feet of building space for a restaurant with up to five thousand(5,000) square feet of building space and thirteen (13) parking spaces for every one thousand (1,000) square feet of building space for a restaurant with more than five thousand (5,000) square feet of building space, without relying on any parking spaces located on the Land or any other property other than where the restaurant is located. (iv) No portion of the Adjoining Property will be leased, used or occupied as a restaurant selling or serving chicken as a principal menu item. For the purposes of this Agreement, "a restaurant selling or serving chicken as a principal menu item" means a restaurant deriving twenty-five percent (25%) or more of its gross sales from the sale of chicken. A "restaurant" includes any business establishment, including, without limitation, a kiosk, stand, booth, food truck or area located inside another business facility. (v) No portion of the Adjoining Property will be leased,used or occupied by or for any of the following uses: McDonald's, Wendy's, Arby's, Boston Market, Kentucky Fried Chicken, Popeye's, Church's, Bojangle's, Mrs. Winner's, Carl's Jr., Hardee's, Chicken Out, Zaxby's, Ranch One, El Pollo Loco, Pollo Campero, Pollo Tropical,Raising Cane's, Chester's or Bush's Chicken. Seller agrees that the easements, covenants and restrictions will run with the title to the Land and the Adjoining Properly. Seller further agrees that the covenants and restrictions will also be set forth in any lease or deed that Seller enters into after the Effective Date leasing or conveying any portion of the Adjoining Property. Purchaser will be entitled to injunctive relief and any other appropriate relief as may be available at law or in equity for any violation. Seller acknowledges that Purchaser is relying on the foregoing easements,restrictions and covenants in executing this Agreement. The foregoing easements, restrictions and covenants will be set forth in a separate, commercially reasonable agreement, in recordable form, to be executed by Seller (and its lender, if applicable) at Closing. The separate agreement will be prepared by Purchaser at its expense and submitted to Seller within thirty(30) days of the Effective Date for Seller's reasonable approval. 4 28127375 8. Seller's Work. Purchaser's obligations under this Agreement are conditioned on completion of the Seller's Work as provided in Exhibit"D"through Exhibit"D-2". 9. Closing and Closing Date. Subject to the conditions in this Agreement, the sale of the Property (the "Closin ") will be held at the office of the Title Company on the last date for the closing pursuant to this Agreement (the "Closing Date"). Seller and Purchaser agree to cooperate with one another to deliver documents in escrow to the Title Company in order to eliminate the need for representatives of Seller and Purchaser to attend the Closing. Seller will deliver to Purchaser full and exclusive possession of the Property on the Closing Date, subject only to the Permitted Exceptions (as defined in Section 11). At least three (3) business days prior to the Closing Date, Seller will execute and deliver to the Title Company (a) a special warranty deed(the"Deed") conveying fee simple title to the Property subject only to the Permitted Exceptions, (b) a customary owner's affidavit in order to delete the so-called "standard exceptions"in a TLTA title policy(other than the"survey"exception, which will be Purchaser's responsibility) and to insure the"gap"between the effective date of the title commitment and the Closing Date, (c) an affidavit of Seller as required by Section 1445 of the Internal Revenue Code of 1986, as amended, (d) evidence of Seller's authority as reasonably required by the Title Company, (e) the information required for Purchaser to file IRS Form 1099-S, and (f) any other documents required under this Agreement or deemed reasonably necessary by Purchaser, Seller, or the Title Company. 10. Expenses and Prorations at the Closing. Taxes for the Property will be prorated as of the date of the Closing based upon the most recently available tax bills for the Property. On receipt of the actual tax bills, Purchaser and Seller will promptly make adjustments as appropriate. On the Closing Date, if any special assessment affects the Property (not including any municipal or governmental assessments or customary charges for the development of which the Land is a part,which are not due and payable at Closing), all unpaid installments of the assessment (including those which will become due and payable after the Closing) will be prorated as of the date of the Closing based upon the most recently available special assessment bills for the Property. On receipt of the actual special assessment bills, Purchaser and Seller will promptly make adjustments as appropriate. Seller will cooperate with Purchaser to obtain a separate tax parcel identification number for the Property after the Closing if the Property is not separately assessed. If the Property is not separately assessed, Seller will pay all taxes on the tax parcel for the year of Closing, subject to Purchaser's payment of its share of the bill. In addition, if after the Closing there is an adjustment or reassessment by any governmental authority for the year of the Closing or any prior year (whether in the nature of a "roll-back" tax or otherwise), any additional tax payment assessed on the Property for year of the Closing will be prorated between Purchaser and Seller. Any additional tax payment for the Property for any year prior to the year of the Closing will be paid by Seller. If it is known, as of the date of Closing, that a so-called"roll-back" tax will be assessed after Closing,the estimated amount of the"roll-back"taxes will be escrowed with the Title Company at Closing. The taxes will then be paid by the Title Company when actually assessed and Seller and Purchaser agree to pay their share of any shortfall in the estimate, if applicable. Seller will pay Seller's attorney's fees and expenses, Purchaser's title examination fees for the title search performed on the Property by Chicago Title Insurance Company (not to exceed the sum of $500.00), and that portion of the owner's title insurance premium for the policy insuring Purchaser equal to the basic premium otherwise payable had Purchaser not increased the coverage in excess of the Purchase Price (but specifically excluding any fees and charges to delete the "survey exception" or any other endorsement premium). Purchaser will pay the recording fees with respect to the Deed, Purchaser's attorney's fees and expenses, the portion of the title insurance premium attributable to the amount of insurance coverage in excess of the Purchase Price and any endorsements required by Purchaser and any 5 28127375 other miscellaneous Title Company charges with respect to the issuance of the owner's title insurance policy. Seller will pay all costs for zoning the Land for use as a restaurant with a"drive-thru". The obligations of Seller and Purchaser in this Section 10 will survive the Closing. 11. Title; Survey; Existing Use Restrictions; Covenants of Seller. Purchaser will have until the expiration of the Inspection Period to examine title to the Property and obtain a survey(the"Survey") of the Land and to advise Seller in writing of any title or survey objections. Purchaser may update the effective date of its title examination or Survey and give notice to Seller of all objections appearing subsequent to the effective date of its previous title examination or Survey, as the case may be. The encumbrances disclosed by Purchaser's title examination or Survey and not objected to or accepted by Purchaser are referred to as the "Permitted Exceptions". In addition, if Purchaser subsequently waives an objection in writing, that encumbrance will be included in the Permitted Exceptions. The deed from Seller to Purchaser will contain the legal description prepared from Purchaser's Survey. Seller will have ten (10) days after receipt of Purchaser's notice to advise Purchaser in writing of the objections Seller agrees to cure, if any. However, Seller agrees that Seller will remove all monetary encumbrances at or prior to Closing. Notwithstanding the foregoing, "monetary encumbrances" will not include any obligations to pay municipal or governmental assessments or common charges for the development of which the Land is a part which are not due and payable at or prior to Closing. If Seller fails to respond within the ten(10) day period, then Seller will be deemed to have declined to cure any of the non-monetary objections in Purchaser's notice. If Seller declines to cure any specific non-monetary encumbrances, then Purchaser may elect either(i)to terminate this Agreement by written notice to Seller, in which event the Earnest Money will be immediately refunded to Purchaser and all rights and obligations of the parties under this Agreement will be of no further force or effect, except as expressly set forth in this Agreement, or(ii) to accept title subject to the specific non-monetary encumbrances. If Seller agrees in writing to cure a title or survey objection(or is obligated to) and fails to do so, Seller acknowledges that Purchaser will have relied on Seller's agreement to do so and the failure will be a default by Seller. In that event, (a) Purchaser may declare Seller in default and pursue the remedies in Section 13 of this Agreement, (b)Purchaser may attempt to cure the objection on Seller's behalf, in which event the Purchase Price will be reduced by the amount equal to the actual cost and expense incurred by Purchaser in curing the defect or objection, (c) Purchaser may accept title to the Property subject to the objection, or (d) any combination of clauses (b) and (c). If Purchaser elects to attempt to cure any objection pursuant to clause (b), Purchaser may extend the Closing for a period not to exceed sixty (60) days. If Purchaser is not successful in curing the objection,then Purchaser may exercise its options under either clauses (a) or(c). If required by the Title Company, at Closing, Seller agrees to execute an indemnity agreement in a form reasonably satisfactory to the Title Company that will be sufficient to allow the Title Company to delete any exception for mechanic's liens and materialmen's liens arising by,through or under Seller. Seller covenants and agrees that Seller will not (i) change or alter the physical condition of the Property or Protected Drives, (ii) grant, create, consent to, or modify any encumbrance benefitting or burdening the Property, (iii) unless expressly provided in this Agreement, pursue or consent to any rezoning of the Land, or(iv) market the Property for sale to any other party. 6 28127375 12. Representations and Warranties of Seller. Seller warrants and represents to Purchaser as follows: (a) Seller owns fee simple title to the Property free and clear of all liens, special assessments (not including any municipal or governmental assessments or common charges for the development of which the Land is a part which are not due and payable at or prior to Closing), easements, encroachments, reservations, restrictions and encumbrances, except for those appearing in the Title Commitment, excepting only monetary encumbrances to be removed by Seller at or prior to Closing, real property ad valorem taxes not yet due and payable and recorded general utility easements serving the Property. (b) There are no actions, suits or proceedings of any kind pending or threatened against Seller, the Property, the Adjoining Property or relating to any adjoining rights-of-way in any court or before or by any federal, state, county or municipal department, commission, board, bureau or agency or other governmental instrumentality. This includes, without limitation, any condemnation or eminent domain proceedings, widening, construction of acceleration/deceleration lanes, changes in or additions to existing or approved curb cuts or medians, proposed or pending installation or removal of traffic lights or any other changes or proposed changes in traffic patterns or management of traffic flow. (c) All actions required to authorize the execution and performance of this Agreement by Seller have been taken, and this Agreement constitutes a valid and binding agreement, enforceable against Seller. No person or entity has any right or option to lease, occupy or acquire the Property. (d) Seller has not received any notice that the Property is or will be subject to any reassessment due to a change in use of the Property or subject to any special assessments, whether or not presently a lien. The Property has not been classified under any designation authorized by law to obtain a special low ad valorem tax rate or to receive a reduction, abatement or deferment of ad valorem taxes which, in such case, will result in additional, catch-up or roll-back ad valorem taxes in the future in order to recover the amounts previously reduced, abated or deferred. (e) To the best of Seller's knowledge, there is no existing violation of any ordinance, code,law,rule,requirement or regulation applicable to the Property. (f) Seller has not used, operated or permitted the use of the Property or the Adjoining Property in any manner for the storage, use, treatment, manufacture or disposal of any Hazardous Materials (as defined below). To Seller's current actual knowledge, neither the Property nor the Adjoining Property have ever been used or operated by any other party for the storage,use, treatment, • manufacture or disposal of any Hazardous Materials. The term"Hazardous Materials"means and refers to any "hazardous waste" or "hazardous substance," as such terms arc set forth in, under or pursuant to the Environmental Laws and Regulations, oil or petroleum products or their derivatives, polychlorinated biphenyls, asbestos, radioactive materials or waste, and any other toxic, ignitable, reactive, corrosive, explosive, contaminating or polluting materials which are now or in the future subject to governmental regulation. "Environmental Laws and Regulations" means any federal, state or local laws now or hereafter in effect relating to pollution or protection of the environment or emissions, discharges, spills, releases or threatened releases of any Hazardous Substance into the environment (including without limitation indoor air, ambient air, surface water, ground water or land), including without limitation, the Resource Conservation and Recovery Act, 42 U.S.C. §§ 6901 et seq., as amended, the Comprehensive Environmental Response, Compensation and Liability Act ("CERCLA"), 42 U.S.C. §§ 9601 et seq., as amended, the Hazardous Materials Transportation Act, 49 U.S.C. §§ 1801 et seq., as amended, the Clean Water Act, 33 U.S.C. §§ 1251 et seq., as amended, the Clean Air Act, 42 U.S.C. §§ 7401 et seq., as 7 28127375 amended, the Toxic Substance Control Act, 15 U.S.C. §§ 2601 et seq., as amended, and any rules and regulations now or hereafter promulgated under any of such acts. (g) Seller has provided Purchaser with complete copies of all environmental site assessments, audits and similar reports covering the Property and Adjoining Property in Seller's possession or control. (h) The Land is currently subject to a zoning classification that will permit the development and use of a restaurant building including a drive-thru window and a children's play facility. (i) All utilities are available within the right-of-way adjoining the frontage of the Land or are available to be extended to the boundary of the Land through existing easements or easements that will be granted at Closing. (j) The Property is not located within an area designated a redevelopment area or project area by a redevelopment agency. Seller is not presently in and does not intend to enter into a disposition and development agreement or owner participation agreement with a redevelopment agency for development of the Property. (k) Except as set forth on Exhibit "E", there are no private restrictive covenants (such as a "no build" or"no change" area restriction) or so-called"exclusive?' (recorded or unrecorded) that will prevent Purchaser from constructing and operating a Chick-fil-A restaurant on the Property as such restaurants arc currently being operated (which restaurants include, in addition to chicken as a principal menu item, a broad variety of other menu items such as signature coffees, blended beverages, baked goods, salads, breakfast burritos and wraps). Exhibit "E" sets forth, verbatim, the only private restrictive covenants or so-called"exclusives"that burden the Property. (1) No consents or other approvals are required to be obtained from any private third party (including, but not limited to, other tenants of the Adjoining Property) to permit Purchaser's proposed construction and operation of a Chick-fil-A restaurant on the Property or for the granting of restrictive covenants, exclusives and easements burdening the Adjoining Property as set forth in this Agreement(including,but not limited to,the restrictions imposed by the Protected Drives). (m) The terms and conditions of this Agreement do not violate the terms and conditions of any existing lease for property or space located on the Adjoining Property. Seller will take, or cause to be taken, all action necessary to cause its warranties and representations to remain true and correct, in all material respects, through the date of the Closing. Purchaser's obligations to acquire the Property are conditioned upon the representations remaining true and correct, in all material respects, as of the date of the Closing. If any of the representations and warranties become untrue or misleading in any material respect prior to the Closing, Seller will give prompt written notice to Purchaser. In that event (i) if the change is due to the fault of Seller, the event will constitute a default by Seller and Purchaser will have the remedies in Section 13, and (ii) if the change is not due to the fault of Seller, Purchaser may either waive such condition, in writing, or terminate this Agreement and receive a refund of the Earnest Money, in which event neither Seller nor Purchaser will have any further obligations under this Agreement. All of the representations and warranties will be reaffirmed by Seller as true and correct as of the date of the Closing and will survive the Closing. 13. Defaults. If Seller fails to comply with or perform any of its covenants, agreements and obligations under this Agreement, or if Seller's warranties and representations set forth in this Agreement 8 28127375 are untrue in any material respect due to Seller's fault, then, at Purchaser's option: (i)Purchaser will be entitled to an immediate refund of all Earnest Money and to pursue any and all rights and remedies available to Purchaser at law or in equity including, without limitation, specific performance; or (ii) Purchaser will be entitled, on giving written notice to Seller, to terminate this Agreement and to receive reimbursement from Seller for Purchaser's actual out-of-pocket due diligence costs pertaining to this transaction (including attorneys' fees) up to $100,000. Upon any termination pursuant to option (ii), all Earnest Money will be immediately returned to Purchaser and Seller will pay Purchaser's expenses within ten(10) days of receipt of a written accounting of the expenses. In addition to the remedies set forth in this Agreement, if Seller's default is the failure to complete Seller's Work by the Estimated Completion Date or Outside Completion Date, Purchaser will have the remedies in Exhibit"D". If Purchaser fails to purchase the Property in accordance with the terms of this Agreement, then Seller's sole and exclusive remedy for the default will be to terminate this Agreement and to receive and retain the Earnest Money as full liquidated damages for Purchaser's default. Seller and Purchaser acknowledge that it is impossible to more precisely estimate the damages to be suffered by Seller and that retention of the Earnest Money is not intended to be a penalty. Upon the termination, except as expressly provided in this Agreement to the contrary, all rights and obligations created under this Agreement will terminate and be of no further force or effect. The provisions of this Section 13 will not limit Purchaser's obligations under any indemnity set forth in this Agreement. If either Seller or Purchaser enforces the obligations of the other under this Agreement by instituting legal proceedings, then the non-prevailing party in any such proceedings will pay all out-of- pocket expenses actually incurred by the prevailing party, including court costs and reasonable attorneys' fees. 14. Condemnation. If all or any material portion of the Property, any material portion of the Protected Drives, or any material portion of any land on which off-site access, parking, utility service or stormwater detention is located (and which is required for the use and development of the Property) is taken or condemned by any entity with the power of eminent domain prior to the date of the Closing, or if Purchaser receives notice of a proposed taking prior to the date of the Closing,then Purchaser will have the option of either (i) terminating this Agreement by giving written notice to Seller, in which event all Earnest Money will be immediately refunded to Purchaser and this Agreement and all rights and obligations created under this Agreement will be of no further force or effect, except as expressly provided to the contrary, or (ii) requiring Seller to convey the remaining portion of the Property to Purchaser pursuant to the terms and provisions of this Agreement and to transfer and assign to Purchaser at the Closing all of Seller's right, title and interest in and to any award made or to be made for the Property. Seller and Purchaser agree that Purchaser will have the right to participate in all negotiations relating to the Property or to the compensation to be paid for any portion or portions of the Property to be condemned. 15. Brokers. Purchaser and Seller acknowledge that David Hardesty of Hardesty Realty Group ("Purchaser's Broker") has acted as the only broker in connection with the sale of the Property. At the Closing, and only in the event of the Closing and funding of the transaction, Seller will pay Purchaser's Broker a real estate sales commission pursuant to a separate written agreement among Seller, Purchaser and Purchaser's Broker("Broker Agreement"). If this transaction is not consummated for any reason, then no commission is earned and none is payable. Seller will indemnify Purchaser against any claim for any real estate sales commission, finder's fees, or like compensation in connection with this transaction and arising out of any act or agreement of Seller, including any claims asserted by Purchaser's Broker. Likewise,Purchaser will indemnify Seller against any claim for any real estate sales commission, 9 28127375 finder's fees or like compensation in connection with this transaction and arising out of any act or agreement of Purchaser, other than any claims asserted by Purchaser's Broker. Seller's indemnity and Purchaser's indemnity will survive the Closing or any termination of this Agreement. 16. Notices. Notices given pursuant to this Agreement will be effective only if in writing and delivered (i) in person, (ii) by courier, (iii)by reputable overnight courier guaranteeing next business day delivery, (iv) if sent on a business day during the business hours of 9:00 a.m. until 7:00 p.m., eastern time, via facsimile, with a copy to follow by reputable overnight courier guaranteeing next business day delivery, or(v)by United States certified mail,return receipt requested. All notices will be directed to the other party at its address provided below or such other address as either party may designate by notice given in accordance with this Section 16. Notices will be effective (i) in the case of personal delivery or courier delivery, on the date of delivery, (ii) if by overnight courier, one (1) business day after deposit with all delivery charges prepaid, (iii) if by facsimile, on the date of transmission, provided that a confirmation sheet is received and a second copy is sent as required above, and(iv) in the case of certified mail, the earlier of the date receipt is acknowledged on the return receipt for such notice or five (5) business days after the date of posting by the United States Post Office. The notice addresses for Seller and Purchaser are as follows: If to Seller: Wylie Economic Development Corporation 250 State Highway 78 Wylie,Texas 75098 PHONE: (972)442-7901 ATTN: Sam Satterwhite With a copy to Seller's Abernathy,Roeder,Boyd&Hullett counsel: 1700 Redbud Boulevard, Suite 300 McKinney,Texas 75069 PHONE: (214) 544-4007 ATTN: Randy Hullett If to Purchaser: Chick-fil-A, Inc. 5200 Buffington Road Atlanta, Georgia 30349 PHONE: (404)765-8000 FAX: (404) 305-4780 ATTN: Legal Department—Real Estate With a copy to Purchaser's Troutman Sanders LLP counsel: 600 Peachtree Street,N.E., Suite 5200 Atlanta, Georgia 30308 PHONE: (404) 885-2617 FAX: (404) 962-6992 ATTN: Michael H.Wall 17. General Provisions. No failure of either party to exercise any right given in this Agreement or to insist upon strict compliance with any obligation in this Agreement, and no custom or practice at variance with the terms of this Agreement, will constitute a waiver of either party's right to demand exact compliance with this Agreement. This Agreement contains the entire agreement of the parties to this Agreement, and no representations, inducements, promises or agreements, oral or otherwise, between the parties not embodied in this Agreement will be of any force or effect. Any amendment to this Agreement will be binding on Seller and Purchaser only if the amendment is in writing 10 28127375 and executed by both Seller and Purchaser. The provisions of this Agreement will be for the benefit of and be binding upon Seller and Purchaser and their respective heirs, administrators, executors, personal representatives, successors and assigns. At the election of Purchaser, this transaction will be closed in the name of and the deed delivered to its nominee or assigns. Time is of the essence of this Agreement. This Agreement and all amendments will be governed by and construed under the laws of the state in which the Land is located. This Agreement may be executed in multiple counterparts, each of which will constitute an original, but all of which taken together will constitute one and the same agreement. All personal pronouns used in this Agreement,whether used in the masculine, feminine or neuter gender, will include all genders, the singular will include the plural and vice versa. The headings inserted at the beginning of each section are for convenience only, and do not add to or subtract from the meaning of the contents of each section. All exhibits attached to this Agreement are incorporated by reference into this Agreement. 18. Day for Performance. Wherever there is a day or time period established for performance and the day or the expiration of such time period is a Saturday, Sunday or holiday, then the time for performance will be automatically extended to the next business day. 19. Survival of Provisions. This Agreement will survive the Closing. 20. Severability. This Agreement is intended to be performed in accordance with, and only to the extent permitted by, all applicable laws, ordinances, rules and regulations. If any provision of this Agreement is for any reason and to any extent determined to be invalid or unenforceable, then the remainder of this Agreement and the application of the provision to other persons or circumstances will not be affected but rather will be enforced to the greatest extent permitted by law. 21. Effective Date. The"Effective Date"to be inserted on the first page of this Agreement is the date upon which this Agreement has been fully executed by Seller and Purchaser and each of Seller and Purchaser has received a fully executed original counterpart. The last party executing this Agreement will deliver a fully executed original counterpart to the other party by overnight delivery for receipt on the next succeeding business day and will insert the next succeeding business day on the first page of all original counterparts of this Agreement. 22. Condition of Land. Seller acknowledges that Purchaser is willing to pay the Purchase Price for the Land on the condition that(a)the Land has been rough graded, and(b)water, sanitary sewer, natural gas, storm drainage, power, telephone, and cable utility connections exist to a point within the boundary lines of the Land or within a contiguous public right-of-way not more than five feet(5) from a boundary line of the Land and such utilities are of proper size and capacity to support the operation of Purchaser's proposed Chick-fil-A restaurant and allow Purchaser to meet all code and permit requirements by all authorities having jurisdiction. Seller acknowledges that Purchaser may not discover (i) that the utility systems and connections are not as described above, or (ii) that the utility connections or systems are not properly functioning until the Closing and after commencement of construction. 23. Subdivision of the Land. Seller will be responsible, at its cost, for subdividing the Land into a separate, legal parcel of land by replatting the Land on or before the Closing Date. Purchaser will have the right to review and comment on the draft subdivision plat (the "Plat") proposed by Seller before the submission of the Plat to the applicable governmental authorities. Seller will obtain all necessary approvals for the subdivision on or prior to the expiration of the Permitting Period. On or before the Closing Date, Seller and Purchaser will amend this Agreement to replace Exhibit "A" and Exhibit "B" with the legal descriptions of the Land and the Adjoining Property, respectively,based on the Plat. 11 28127375 24. Development-Related Matters and Cost Sharing. Purchaser and Seller acknowledge that, in connection with Purchaser's redevelopment of the Property, Purchaser expects to be assessed approximately $91,077.00 in development fees (the "Development Fees") by the City of Wylie (the "City"), which include roadway and utility impact fees; including water, sewer and inspection fees. Purchaser will be responsible for remitting payment of the Development Fees to the City. Additionally, Purchaser and Seller acknowledge that in connection with the re-development of the Property and surrounding land (some of which is owned by Seller), the parties have agreed to expand the deceleration lane to to assist with the anticipated increase in traffic to the Property. Consequently, as part of Seller's Work, Seller has agreed to perform the Deceleration Lane Work (as defined in Exhibit "D"). Since the Deceleration Lane Work will benefit Purchaser, Purchaser has agreed to pay Seller at Closing for the cost of the Deceleration Lane Work, which Seller estimates to be $41,000.00 (the "Lane Contribution"). If Seller performs the Deceleration Lane Work,then,upon Seller's completion of the Deceleration Lane Work, Seller will deliver to Purchaser (i) reasonable evidence that the Deceleration Lane Work was completed in accordance with this Section 24, (ii)reasonable evidence of Seller's total out-of-pocket costs • for the Deceleration Lane Work (the "Total Cost"), (iii) lien waivers (the effectiveness of which is not conditioned on payment of any future amounts) in the form required under Texas law from all contractors, subcontractors, vendors and suppliers who provided services or materials in connection with the Deceleration Lane Work and(iv)written notice requesting payment of the Lane Contribution to Seller in an amount equal to the Total Cost. In exchange for the Lane Contribution, Seller will reasonably cooperate with and assist Purchaser to attempt to cause the City to apply all or a portion of the Lane Contribution as a credit against the Development Fees (the "Credit"). Regardless of the outcome of Seller's and Purchaser's attempt, Seller acknowledges and agrees that it will reimburse Purchaser for that portion of the Lane Contribution not covered by the Credit. At Closing, Purchaser will pay Seller an amount equal to $74,78.00, as a contribution toward Seller's costs of performing the demolition work(as further described in Exhibit"D"). 12 28127375 Sept- Purchaser has executed this Agreement under seal as of ) 121 ZO)(e "PURCHASER" CHICK-FIL-A,INC., a Georgia corporation By: /.4A,, (/ Name: Kelly .Ludwlck Vice I'resiaecii.Labor 41ed El till yrner:t Title: (CORPORATE SEAL) Federal Tax Identification Number of Purchaser: 58-0941582 13 28127375 IN ACCEPTANCE OF THIS AGREEMENT, Seller has executed this Agreement under seal as of "SELLER" WYLIE ECONOMIC DEVELOPMENT CORPORATION, a Texas economic development corporation By: - C12-A'k— Name: a.rn �5Q r't.A9C-14'� Title: �cr c i t[p D i teG-4-p/' By: Name: Title: (CORPORATE SEAL) Federal Tax Identification Number of Seller: 14 2812737.5 EXIT"A" DEPICTION OF LAND b0 ' PRELIMINARY \\\ ... ♦• CONCEPT '\ �. ��. •�`•♦ NOT FOR .\ • DESIGN ` • !...''''. 04,q6VV10. 4?.. . • �4.� •♦► ♦ %/1.-)11 ilk** dr . • • A Irmo \ li'.\\ \°\‘. s. 1, � 1 ♦ , '03,1. lipi 20' er tiA • ♦� �r .vi 4.),•- \if 1 i' volP%-"‘ ��r d C , :'�1 :. . ' V. _._ 1 ,,i a,r' -` %, 10, • 4 P 1( • 30' .'•?* ems` •4.,47f ? W. I I. �,p6♦, .Q. . 23. } •30 '' „•1\ •y • .1, r I' ' ,. 1 • 0. • V. LOCATION: TX DATE: 05--27 15 SH78 & COOPER DR. ATKINs SCALE: N.T.S. \NYI_ IE, TX. 1600 Riveredge Parkway NW, Suite 600 SKETCH " C" 38 C7701 933-0280 fax30770) 933--0971 28127375 EXHIBIT"B" DEPICTION OF ADJOINING PROPERTY \>,...::::::.,.., -.Lf......... � 9 . . N is •Y;- f .....,.: 1X ......,::::..,.. IWYLIE ECONO.C.O.V+%IPACPE CORPORATION +. (,........cipiplip ' f r .Kou..r•w rr• f'•.• d • f fj. F6 % J �P r_f _57,. jP 1•• WEDC ADJACENT PROPERTY +l•l k • 11.1 np.mnT.1 �- - ,rr Lc...wc Evai.( LNI c000....N '•-�1.i0/ Jsy ..nur •.S CriY or lY1'L�.TEXAS��'' :�Jj�+F. N Lxumnit AWenderaOFC` . . �' 28127375 2 EXHIBIT"C" EARNEST MONEY ESCROW AGREEMENT THIS EARNEST MONEY ESCROW AGREEMENT (this"Agreement")is made and entered into this day of , 2016, by and among CHICK-FM-A, INC., a Georgia corporation, ("Purchaser") and WYLIE ECONOMIC DEVELOPMENT CORPORATION, a Texas economic development corporation ("Seller"), and LAWYERS TITLE COMPANY ("Title Company"). • A. Seller and Purchaser entered into that certain Purchase and Sale Agreement(the"Contract") executed as of , 2016 for certain property located in the City of Wylie, Collin County,Texas described in Exhibit"A"to the Contract(the"Property"). B. Purchaser and Seller desire that Title Company hold the Earnest Money in escrow as defined in and required under the Contract and this Agreement, subject to the Conditions of Escrow, attached to this Agreement. C. In consideration of the promises and undertakings in this Agreement, and other good and valuable consideration, the receipt and sufficiency of which is acknowledged, the parties covenant and agree as follows: 1. Purchaser and Seller hereby appoint Lawyers Title Company as escrow agent. 2. Purchaser will deliver and deposit with Title Company the amount of Ten Thousand and No/100 Dollars ($10,000.00) representing the Earnest Money as required by the Contract. Title Company will confirm, by written notice to Seller and Purchaser, receipt of the Earnest Money. Title Company agrees to deposit the funds in a money market, interest-bearing account and to hold and disburse the funds as provided in this Agreement.Any additional earnest money required by the Contract will likewise be deposited if and when due with Title Company and will be a part of the"Earnest Money" in this Agreement. Purchaser's Federal Taxpayer Identification Number is: 58-0941582. All interest will accrue to and be reported to the Internal Revenue Service for the account of Purchaser. 3. Upon written notification from Purchaser and Seller that the sale is consummated, Title Company will deliver the Earnest Money to Seller to be applied to the purchase price. 4. Upon written notification from Purchaser and Seller that the sale will not take place,Title Company will deliver the Earnest Money in accordance with the release disbursement instructions also included in this Agreement. Notwithstanding the foregoing, in the event Purchaser terminates the Contract during the Inspection Period (as defined in the Contract) in accordance with the terms of the Contract, Purchaser will provide a copy of the termination to Title Company, and Title Company will immediately deliver the Earnest Money to Purchaser without requiring approval or authorization from Seller. 5. The parties covenant and agree that in performing any of its duties under this Agreement, Title Company will not be liable for any loss, costs or damage which it may incur in the capacity of Title Company, except for any loss, costs or damage arising out of its own default or gross negligence or willful misconduct. Accordingly,Title Company will not incur any liability with respect to (i) any action taken or omitted to be taken in good faith upon advice of counsel for the parties given with respect to any questions relating to duties and responsibilities, or (ii) any action taken or omitted to be taken in reliance 28127375 upon any documents, including but not limited to, any written notice of instruction provided for in this Agreement or in the Contract, not only as to its execution and the validity and effectiveness of its provisions, but also to the truth and accuracy of any information contained in the same, which Title Company in good faith believes to be genuine, to be signed or presented by a proper person or persons and to conform with the provisions of this Agreement. 6. The parties covenant and agree that, in an event of a dispute under this Agreement, the Title Company may, in the Title Company's discretion, tender into the registry or custody of any court of competent jurisdiction sitting in the state where the Property is located, all money held under the terms of this Agreement, together with such legal pleading as is appropriate and will be discharged of its duties under this Agreement. Title Company will be reimbursed for any and all costs and expenses, including reasonable attorney's fees in connection with any such action. 7. Notices will be given in accordance with Section 16 of the Contract. The address for Title Company is: Lawyers Title Company Attn: D.Barron Cook 250 South Highway 78 Wylie,Texas 75098 Phone: Facsimile: [SIGNATURES APPEAR ON THE FOLLOWING PAGES] 28127375 2 • The undersigned have caused this Agreement to be duly executed under seal as of day and year • first above written. PURCHASER: CHICK FIL-A, INC., a Georgia corporation By: Name: Title: (CORPORATE SEAL) (See following page for Title Company's signature) 3 7.8127375 TITLE COMPANY: LAWYERS 1'1'i'LE COMPANY By: Name: Title: (CORPORATE SEAL) (See following page for Seller's signature) 28127375 4 SELLER: WYLIE ECONOMIC DEVELOPMENT CORPORATION, a Texas economic development corporation B y: Name: Title: (CORPORATE SEAL) 28127375 5 CONDITIONS OF ESCROW Title Company accepts this undertaking subject to these Conditions of Escrow: 1. The Earnest Money may be processed for collection in the normal course of business by Title Company, who may commingle funds received by it with escrow funds of others in its regular escrow account at Inwood National Bank (the "Depository"). Title Company will not be •accountable for any incidental benefit which may be attributable to the funds so deposited. 2. Title Company will not be liable for any loss caused by the failure, suspension, bankruptcy or dissolution of the Depository; 3. Title Company will not be liable for loss or damage resulting from: a. any good faith act or forbearance of Title Company; b. any default, error, action or omission of any party, other than the Title Company; c. any defect in the title to any property unless such loss is covered under a policy of title insurance issued by the Title Company; d. the expiration of any time limit or other delay which is not solely caused by the failure of Title Company to proceed in its ordinary course of business, and in no event where such time limit is not disclosed in writing to the Title Company; e. the lack of authenticity of any writing delivered to Title Company or of any signature, or the lack of authority of the signatory to sign the writing; f. Title Company's compliance with all attachments, writs, orders,judgments, or other legal process issued out of any court; g. Title Company's assertion or failure to assert any cause of action or defense in any judicial or administrative proceeding; and h. Any loss or damage which arises after the Earnest Money has been disbursed in accordance with the terms of this Agreement. 4. Title Company will be fully indemnified by the parties for all its expenses, costs and reasonable attomey's fees incurred in connection with any interpleader action which Title Company may file, in its sole discretion, to resolve any dispute as to the Earnest Money; or which may be filed against the Title Company. Such costs, expenses or attorney's fees, as well as the fees of Title Company described below,may be deducted from the Earnest Money. 5. If Title Company is made a party to any judicial,non judicial or administrative action,hearing or process based on acts of any of the other parties and not on the malfeasance and/or negligence of Title Company in performing its duties,the expenses, costs and reasonable attorney fees incurred by Title Company in responding to such action, hearing or process may be deducted from the funds held and the party/parties whose alleged acts are a basis for such proceedings will indemnify and hold Title Company harmless from said expenses, costs and fees incurred. 6. Title Company's fee for acting escrow agent is shown on its Escrow Services and Charges which is available upon request. These fees, which may be paid in advance or will be deducted from the account upon disbursement, are the joint and several obligation of each party to any agreement, sales contract or other writing forming the basis for this escrow undertaking. 7. All controversies, issues, interpretation and other matters relating in any way to these Conditions of Escrow will be interpreted and governed by the laws of the State of Texas. 28127375 8. In the event of any conflict between the terms any provisions of these Conditions of Escrow and the terms and provisions of the Agreement or other document to which this is attached, the terms and provisions of these Conditions of Escrow will prevail. 9. Title Company will be fully indemnified by the other parties and such parties will hold Title Company harmless from all damages, costs, claims and expenses arising from Title Company's performance of its duties under this Agreement, including reasonable attorney's fees, except for those damages, costs, claims and expenses resulting from the gross negligence or willful misconduct of Title Company. 28127375 2 EXIT "D" SELLER'S WORK Seller agrees, at its expense, to complete the "Seller's Work" in accordance with this Exhibit. If any word in this Exhibit is capitalized but is not defined, the term has the meaning given in the Agreement. All notices between Seller and Purchaser required in this Exhibit will be given and received in accordance with the provision titled"Notices"in the Agreement. Section 1. Scope of Seller's Work. Seller will perform the following work required for Purchaser to proceed with the construction of its restaurant building (the `Building") and all related improvements (the"Purchaser's Work"). The work to be performed by Seller is referred to as the "Seller's Work", will be shown on the "Approved Plans" as defined in Section 2, and will consist of the following: (a) Construction and installation of all driveways, access ways and curb cuts from State Highway 78, including, without limitation, oversizing of the deceleration lane adjacent to State Highway 78 (the "Deceleration Lane Work"). (b) (i) Demolition of the existing improvements on the Land, including, without limitation, removal of all asphalt, concrete slabs, foundations, footings, utility lines, septic tanks, basements and any other and subterranean structures, (ii)performing all necessary or appropriate asbestos remediation and (iii) rough grade the Land if necessary as a result of the demolition and removal work above (collectively,the "Demolition Work"). Seller acknowledges and agrees that, as of the Effective Date, the Demolition Work has already been substantially completed. Section 2. Seller's Plans. Seller agrees to submit plans and specifications for Seller's Work to Purchaser for Purchaser's reasonable review and approval within thirty(30) days after the Effective Date of this Agreement. Seller's plans will include,by way of example only and not by way of limitation, the following types of drawings: (a) Grading Plan; (b) Paving Plan; and (c) Erosion and Sediment Control Plan. Once Purchaser approves in writing the plans and specifications (the "Approved Plans"), Seller will not modify the Approved Plans (except as provided below) without Purchaser's prior,written consent, which will not be unreasonably withheld. Section 3. Standard of Work. All of Seller's Work will comply with(i) the Approved Plans, (ii) all applicable laws, codes, ordinances,rules and regulations and(iii) all applicable easements,restrictions, covenants, and agreements of record. Section 4. Estimated Completion Date; Evidence of Completion; Purchaser's Remedies. Seller and Purchaser agree as follows: (a) Seller estimates that Seller's Work will be complete on or before April 1, 2017 (the"Estimated Completion Date"), subject to events of force majeure. Seller will use its commercially 28127375 reasonable efforts to meet the Estimated Completion Date. Seller's Work must be completed by the Outside Completion Date established in Section 4(c) of this Agreement,which is June 1, 2017. (b) Seller will have the right to extend the Estimated Completion Date (but not later than the Outside Completion Date) provided that Seller gives Purchaser not less than sixty (60) days {�{; prior, written notice of the new Estimated Completion Date. (c) Seller acknowledges that Purchaser will, subject to receipt of its Permits, establish a construction schedule based upon the Estimated Completion Date given by Seller. Notwithstanding anything in this Agreement to the contrary, Purchaser will not be required to close earlier than fifteen(15) business days after the date Seller actually completes Seller's Work and delivers the certificates attached to this Agreement as Exhibit"D-2" and Exhibit"D-3". Note: Other terms of this Agreement may establish a Closing Date that is later than the Outside Completion Date established in Section 4(c), and in that regard those provisions of this Agreement will control. . (d) If Purchaser has obtained its Permits and Seller misses the Estimated Completion Date given by Seller,Purchaser will receive a credit against the Purchase Price equal to $1,500.00 per day for each day of delay. (e) If Seller does not complete Seller's Work by the Outside Completion Date, Purchaser may, at its option, extend the Outside Completion Date for up to sixty (60) days (without waiver of its rights in Section 13) and receive the daily credit in (d), above, or pursue its remedies in Section 13. If Seller completes the Seller's Work within the extension period, Closing will occur on a date specified by Purchaser within thirty(30) days after Seller delivers the certificates in(g),below. (f) In addition, if Seller does not complete Seller's Work by the Outside Completion Date, as may be extended by Purchaser,Purchaser may elect to complete Seller's Work on Seller's behalf and proceed to Closing. In that event, an amount equal to 125% of the estimated costs to complete the Seller's Work, as determined Purchaser's contractor and subject to Seller's reasonable approval, will be escrowed at Closing. The escrow agreement will allow Purchaser to receive a reimbursement of all costs plus an administrative fee of 20%. The escrow agreement will be in a commercially reasonable form acceptable to Purchaser and Seller. (g) Within five (5) business days after completing Seller's Work, Seller will deliver the certificates attached to this Agreement as Exhibit"D-2" and Exhibit"D-3". Purchaser has the right to inspect Seller's Work. Purchaser's inspection or acceptance of Seller's Work will not constitute a waiver of any claim against Seller for defects in Seller's Work. (h) Seller hereby warrants all of Seller's Work for a period of one (1) year after the Closing. The warranty period will not limit Seller's responsibility for latent defects which are not discovered within such one(1)year period. (i) Purchaser's acceptance of the title to the Property will not constitute a waiver of any of the requirements in this Exhibit. If Purchaser discovers that any of Seller's Work was not performed in accordance with the terms of this Exhibit, Purchaser will give written notice to Seller, and Seller must correct the defect. Seller acknowledges that, notwithstAnding Seller's delivery of the certificates required in this Exhibit, Purchaser may not actually discover that the Seller's Work is not correct (for example,that the grading and fill work was not done properly) until Purchaser commences its construction. 28127375 2 (j) If Seller does not promptly commence within ten(10)business days after receipt of notice from Purchaser the work required to correct a defect in Seller's Work and diligently complete it within five (5) business days after commencement of the work, Purchaser will, in addition to all other rights and remedies, have the right to perform the work on Seller's behalf. In that event, Seller will be obligated to reimburse Purchaser for all costs incurred in performing the work plus an administrative fee of twenty percent(20%). 28127375 3 EXHIBIT"D-1" CONSULTANT'S CERTIFICATE Project Date Geotech.Engineer Surveyor Grading Contractor Const.Mgr. Each party signing this certificate on behalf of the consultant listed above has been duly authorized to execute and deliver this certificate on behalf of the company providing the services. GEOTECHNICAL ENGINEER CERTIFICATION I certify that the fill placement and surface and contour grading of the property being teased or purchased by Chick-fil-A, Inc. has been performed and completed substantially in accordance with the recommendations of the Geotechnical Investigation prepared by dated . The work was performed under the supervision of the Geotechnical Engineer signing this certification. A final report containing a description of the grading work, on-site recommendations, and the results of testing and inspections has been prepared by and dated Geotechnical Engineer(signature) Date Print Name: Registration No. AFFIX SEAL HERE Expiration Date: 28127375 SURVEYOR CERTIFICATION I certify that the surface and contour grading of the property being leased or purchased by Chick-fil-A, Inc. is complete and is substantially in accordance with the drawings and specifications by dated . I further certify that the boundaries of such property have been established by pins which as of the date of this Certification are located as described on the survey. Finished Floor Elevation Date . Surveyor(signature) Print Name: Registration No. AFFIX SEAL HERE Expiration Date: GRADING CONTRACTOR CERTIFICATION I certify that the fill placement and surface and contour grading of the property being leased or purchased by Chick-fil-A, Inc. is complete and, to the best of the undersigned's knowledge, has been performed substantially in accordance with the drawings and specifications by dated Contractor(signature) Date • Print Name: 28127375 5 EXEIBIT "D-2" SELLER'S WORK FINAL COMPLETION CERTIFICATE This certification is given in accordance with the requirements of the Purchase and Sale Agreement (the "Agreement") between ("Seller") and Chick- fil-A,Inc. I certify that I have personal knowledge of the subject matter of this certification. I certify that all of the Seller's Work, as that term is defined in the Agreement, has been completed in accordance with the Approved Plans (as defined in the Agreement) and all other requirements of the Agreement. The Seller's Work has been inspected by a qualified representative of Seller and has been inspected and ;. approved by all required governmental agencies. a by its duly authorized representative: • f Print name: Date signed; ,20_ • 28127375 EXHIBIT"E" RESTRICTIVE COVENANTS/EXISTING EXCLUSIVES None. 28127375 EARNEST MONEY ESCROW AGREEMENT THIS EARNEST MONEY ESCROW AGREEMENT(this"Agreement")is made and entered into this 20th day of September, 2016, by and among CHICK-FIIrA, INC., a Georgia corporation, ("Purchaser") and WYLIE ECONOMIC DEVELOPMENT CORPORATION, a Texas economic development corporation("Seller"),and LAWYERS TITLE COMPANY("Title Company"). A. Seller and Purchaser entered into that certain Purchase and Sale Agreement(the"Contract") executed as of September, 2016 for certain property located in the City of Wylie, Collin County,Texas described in Exhibit"A"to the Contract(the"Property"). B. Purchaser and Seller desire that Title Company hold the Earnest Money in escrow as defined in and required under the Contract and this Agreement,subject to the Conditions of Escrow, attached to this Agreement. C. In consideration of the promises and undertakings in this Agreement, and other good and valuable consideration, the receipt and sufficiency of which is acknowledged, the parties covenant and agree as follows: 1. Purchaser and Seller hereby appoint Lawyers Title Company as escrow agent. 2. Purchaser will deliver and deposit with Title Company the amount of Ten Thousand and No/100 Dollars (810,000.00) representing the Earnest Money as required by the Contract. Title Company will confirm, by written notice to Seller and Purchaser, receipt of the Earnest Money. Title Company agrees to deposit the funds in a money market, interest-bearing account and to hold and disburse the funds as provided in this Agreement.Any additional earnest money required by the Contract will likewise be deposited if and when due with Title Company and will be a part of the"Earnest Money" in this Agreement. Purchaser's Federal Taxpayer Identification Number is: 58-0941582. All interest will accrue to and be reported to the Internal Revenue Service for the account of Purchaser. 3. Upon written notification from Purchaser and Seller that the sale is consummated, Title Company will deliver the Earnest Money to Seller to be applied to the purchase price. 4. Upon written notification from Purchaser and Seller that the sale will not take place,Title Company will deliver the Earnest Money in accordance with the release disbursement instructions also included in this Agreement. Notwithstanding the foregoing, in the event Purchaser terminates the Contract during the Inspection Period (as defined in the Contract) in accordance with the terms of the Contract, Purchaser will provide a copy of the termination to Title Company, and Title Company will immediately deliver the Earnest Money to Purchaser without requiring approval or authorization from Seller. 5, The parties covenant and agree that in performing any of its duties under this Agreement, Title Company will not be liable for any loss, costs or damage which it may incur in the capacity of Title Company, except for any loss, costs or damage arising out of its own default or gross negligence or willful misconduct. Accordingly,Title Company will not incur any liability with respect to(i)any action taken or omitted to be taken in good faith upon advice of counsel for the parties given with respect to any questions relating to duties and responsibilities, or(ii) any action taken or omitted to be taken in reliance upon any documents, including but not limited to, any written notice of instruction provided for in this Agreement or in the Contract, not only as to its execution and the validity and effectiveness of its 29154052v1 CLEAN-v4-Earnest Money Escrow Agreement-Wylie BDC-ChickFilA 1973655(4).docx provisions, but also to the truth and accuracy of any information contained in the same, which Title Company in good faith believes to be genuine, to be signed or presented by a proper person or persons and to conform with the provisions of this Agreement. 6. The parties covenant and agree that, in an event of a dispute under this Agreement, the Title Company may, in the Title Company's discretion, tender into the registry or custody of any court of competent jurisdiction sitting in the state where the Property is located, all money held under the terms of • this Agreement, together with such legal pleading as is appropriate and will be discharged of its duties under this Agreement. Title Company will be reimbursed for any and all costs and expenses, including reasonable attorney's fees in connection with any such action. • 7. Notices will be given in accordance with Section 16 of the Contract. The address for Title Company is: Lawyers Title Company Attn: D.Barron Cook 250 South Highway 78 Wylie,Texas 75098 Phone: 972.442.3541 • Facsimile: 972.442.4162 [SIGNATURES APPEAR ON'1'Hi i FOLLOWING PAGES] 29154052v1 CLEAN-v4-Earnest Money Escrow Agreement-Wylie EAC-ChickFilA_1973655(4).docz CONDITIONS OF ESCROW Title Company accepts this undertaking subject to these Conditions of Escrow: 1. The Earnest Money may be processed for collection in the normal course of business by Title Company, who may commingle funds received by it with escrow funds of others in its regular escrow account at Inwood National Bank (the "Depository"). Title Company will not be accountable for any incidental benefit which may be attributable to the funds so deposited. 2. Title Company will not be liable for any loss caused by the failure, suspension, bankruptcy or • dissolution of the Depository; 3. Title Company will not be liable for loss or damage resulting from: a. any good faith act or forbearance of Title Company; b. any default,error,action or omission of any party, other than the Title Company; c. any defect in the title to any property unless such loss is covered under a policy of title insurance issued by the Title Company; d. the expiration of any time limit or other delay which is not solely caused by the failure of Title Company to proceed in its ordinary course of business, and in no event where such time limit is not disclosed in writing to the Title Company; e. the lack of authenticity of any writing delivered to Title Company or of any signature, or the lack of authority of the signatory to sign the writing; • f. Title Company's compliance with all attachments,writs, orders,judgments, or other legal process issued out of any court; g. Title Company's assertion or failure to assert any cause of action or defense in any judicial or administrative proceeding; and h. Any loss or damage which arises after the Earnest Money has been disbursed in accordance with the terms of this Agreement. 4. Title Company will be fully indemnified by the parties for all its expenses, costs and reasonable attorney's fees incurred in connection with any interpleader action which Title Company may file, in its sole discretion, to resolve any dispute as to the Earnest Money; or which may be filed against the Title Company Such costs, expenses or attorney's fees, as well as the fees of Title Company described below,may be deducted from the Earnest Money. 5. If Title Company is made a party to any judicial,non judicial or administrative action,hearing or process based on acts of any of the other parties and not on the malfeasance and/or negligence of Title Company in performing its duties, the expenses, costs and reasonable attorney fees incurred by Title Company in responding to such action, hearing or process may be deducted from the funds held and the party/parties whose alleged acts are a basis for such proceedings will indemnify and hold Title Company harmless from said expenses,costs and fees incurred. 6. Title Company's fee for acting escrow agent is shown on its Escrow Services and Charges which is available upon request. These fees,which may be paid in advance or will be deducted from the account upon disbursement, are the joint and several obligation of each party to any agreement, sales contract or other writing forming the basis for this escrow undertaking. 7. All controversies, issues, interpretation and other matters relating in any way to these Conditions of Escrow will be interpreted and governed by the laws of the State of Texas. 29154052v1 CLEAN-v4-EamestMoney Escrow Agreement-Wylie EDC-ChickFi1A 1973655(4).docx 8. In the event of any conflict between the terms any provisions of these Conditions of Escrow and the terms and provisions of the Agreement or other document to which this is attached,the terms and provisions of these Conditions of Escrow will prevail. 9. Title Company will be fully indemnified by the other parties and such parties will hold Title Company harmless from all damages, costs, claims and expenses arising from Title Company's performance of its duties under this Agreement, including reasonable attorney's fees, except for those damages, costs, claims and expenses resulting from the gross negligence or willful misconduct of Title Company. 29154052v) CUiA v4-Eamcs1 Money Escrow Ag:ecmcnt-Wylia EEC-ChickFilA_1973655(4).docx TITLE COMPANY: LAWYER'S 1'11'LE 8 : � �— y 1 r r4 COW— Tale: E >c.Ra4.l 4c- (CORPORATE SEAL) (See following page for Seller's signature) 29154052v! The undersigned have.caused this Agreement to be duly executed under seal as of day and year first above written. PURCHAIIt: CHICK-FIL-A,INC.,a Georgia corporation By: U � Name: Kell 0.Ludwick Title: Vice President,Labor and Emplaymerri (CORPORATE SEAL) (See following.page for Title Company's signature) 29154O52vi SELLER: WYLIE ECONOMIC DEVELOPMENT CORPORATION,a Texas economic development corporation By: Name: . _ _1 L. Title: (CORPORATE SEAL) 29154052v1 FIRST AMENDMENT TO PURCHASE AND SAL,E AGREEMENT Wylie EDC/Chick Fil-A (1.53 acres-Wylie,Texas) THIS FIRST AMENDMENT TO PURCHASE AND SALE AGREEMENT ("Amendment") is entered into and effective on September 28, 2016, between WYLIE ECONOMIC DEVELOPMENT CORPORATION, a Texas economic development corporation("Seller") and CHICK FIL-A,INC.,a Georgia corporation("Purchaser").. WHEREAS, the parties hereto entered into a Purchase and Sale Agreement, dated to be effective September 14, 2016 (the "Contract"), whereby Seller agreed to sell to Purchaser and Purchaser agreed to purchase from Seller,approximately 1.53 acres,at the northeast corner of State Highway 78 and Cooper Drive in the City of Wylie, Collin County, together with any and all improvements,appurtenances,rights,privileges and easements benefiting,belonging or pertaining to the Land,and all right,title and interest of Seller in and to any land lying in the bed of any road in front of or adjoining the Land, together with any strips or gores relating to the Land (collectively; the"Property");and WHEREAS, Seller and Purchaser desire to amend and modify the Contract in certain respects as set forth below. NOW, THEREFORE, in consideration of the premises, and other good and valuable consideration,the receipt and sufficiency of which the parties hereby acknowledge, the parties agree • to amend the Contract as follows: 1. Capitalized Terms. Unless otherwise defined herein, capitalized terms shall have the meaning as set forth in the Contract. 2. Effective Date,The parties agree that the Effective Date of the Contract is hereby amended and modified from September 14,2016 to September 26,2016. 3. Continued Validity. Except as amended herein, each and every term of the Contract shall remain in full force and effect as originally written and executed. 4. Counterparts/Delivery. This instrument may be executed in any number of counterparts and by the different parties on separate counterparts, and each such counterpart shall be deemed to be an original but all such counterparts shall together constitute one and the same agreement The parties hereto may execute and deliver this instrument by forwarding facsimile, telefax, electronic pdf or other means of copies of this instrument showing execution by the parties sending the same. The parties agree and intend that such signature shall have the same effect as an original signature,that the parties shall be bound by such means of execution and delivery,and that the parties hereby waive any defense to validity based on any such copies or signatures. 5. Captions. Headings of paragraphs are for convenience of reference only and shall not be construed as part of this Amendment [signatures appear on the following page] First Amendment to Purchase&Sale Agreement Page 1 Wylie EDC/Chick-Fil-A-1.53 acme—Wylie,Collin County,Texas PSA-let Amendment-1.53 ace-Wylie EDC to Chick-Fil-A-09-26-16 1989164(1).DOCX IN WTINESS WHEREOF, the parties have caused this Amendment to be executed and caused this amendment to be effective as of the date set forth above. SELLER WYLIE ECONOMIC DEVELOPMENT CORPORATION,a Texas economic development corporation By:4 N .c�.ame Aos-t t L ilei .9tv its: a tariec_io/' a CHI :W• r A,INC.,a Georgia corporation By: Name: 'I,1€>• ' • �� Its: . 5112. -A>;ZC-C✓ • Fires Amendment to Purchase&Sale Agreement Page 2 Wylie EDC/Chick Fil--A-153 acres—Wylie,Collin County,Texas PSA-1st Amendment 1.53 stc.-Wylie EDC to Chick-Fil-A-09 26-16_1989164(1).DOCX SECOND AMENDMENT TO PURCHASE AND SALE AGREEMENT THIS SECOND AMENDMENT TO PURCHASE AND SALE AGREEMENT (this "Second Amendment"), is entered into and is effective as of the 30h day of December, 2016 by and between WYLIE ECONOMIC DEVELOPMENT CORPORATION, a Texas economic development corporation ("Seller"),and CHICK-FIL-A,INC.,a Georgia corporation("Purchaser"). WITNES SETH: WHEREAS, Seller and Purchaser entered into that certain Purchase and Sale Agreement dated September 26,2016, as amended by First Amendment to Purchase and Sale Agreement dated September 28,2016 (collectively,the"Contract"),for certain property consisting of approximately 1.53 acres located in the City of Wylie,Collin County,Texas,as more particularly described in the Contract;and WHEREAS, Seller and Purchaser desire to modify and amend the Contract in certain respects, as more particularly set forth in this Second Amendment. NOW, THEREFORE, for and in consideration of Ten and No/100 Dollars ($10.00) and the premises, and other good and valuable consideration,the receipt, adequacy and sufficiency of which are hereby acknowledged by Seller and Purchaser,Seller and Purchaser covenant and agree as follows: 1. Defined Terms. Capitalized terms used but not defined in this Second Amendment will have the meanings given to them in the Contract. 2. Extension of Inspection Period. Notwithstanding anything to the contrary-in the Contract, the Inspection Period is extended until 5:00 p.m., Central Time, on January 26, 2017, solely with respect to Purchaser's right to terminate the Contract pursuant to Section 5 of the Contract based upon its good faith determination that the results of Purchaser's environmental investigations are not satisfactory to Purchaser in its sole discretion. 3. Modifications to Critical Dates. Notwithstanding anything to the contrary set forth in the Contract,Purchaser and Seller hereby acknowledge and agree to the following: (a) Purchaser agrees to make its initial submittal for the Permits no later than February 10, 2017. (b) The initial ninety (90)-day Permitting Period will expire on March 27, 2017. Purchaser will have the right to extend the Permitting Period as provided in Section 6 of the Contract. 4. Ratification. As expressly modified by this Second Amendment, the Contract is hereby ratified and confirmed by Seller and Purchaser. 5. Counterparts; Transmission. This Second Amendment may be executed in multiple counterparts, each of which shall be deemed an original, and all of which shall constitute one and the same agreement. Transmission of an executed signature page of this Second Amendment by email will be effective to create a binding agreement. [Signatures appear on next page] 30030637 IN WITNESS WHEREOF,the parties hereto have executed this Second Amendment the day and year first above written, PURCHASER: CHICK-FIL-A INC., a Georgia ❑rp,ration BN a: e: Y — (CORPORATE SEAL) SELLER: WYLIE ECONOMIC DEVELOPMENT CORPORATION. a Thxas economic development corporation Name:- Title: — .... - -- (CORPORATE SEAL) mx)3o837 IN WITNESS WHEREOF,the parties hereto have executed this Second Amendment the day and year first above written. PURCHASER: CHICK-FIG-A,INC., a Georgia corporation By: Name: Title: (CORPORATE SEAL) SELLER: WYLIE ECONOMIC DEVELOPMENT CORPORATION, a Texas economic Bevel pment corporation By: [f1, G ktf!' ; Name: t r 1, ) i.r I( i` (CORPORATE SEAL) 300/30637 THIRD AMENDMENT TO PURCHASE AND SALE AGREEMENT THIS THIRD AMENDMENT TO PURCHASE AND SALE AGREEMENT (this "Third Amendment"), is entered into and is effective as of the l day of Fe6h4 n ty , 2017 by and between WYLIE ECONOMIC DEVELOPMENT CORPORATION, a Texas economic development corporation("Seller"), and CHICK-FIL-A,INC., a Georgia corporation("Purchaser"). WITNESSETH: WHEREAS, Seller and Purchaser entered into that certain Purchase and Sale Agreement dated September 26, 2016, as amended by First Amendment to Purchase and Sale Agreement dated September 28, 2016 and as further amended by Second Amendment to Purchase and Sale Agreement dated December 30, 2016 (collectively, the "Contract"), for certain property consisting of approximately 1.53 acres located in the City of Wylie, Collin County, Texas, as more particularly described in the Contract; and WHEREAS, Seller and Purchaser desire to modify and amend the Contract in certain respects, as more particularly set forth in this Third Amendment. NOW, THEREFORE, for and in consideration of Ten and No/100 Dollars ($10.00) and the premises, and other good and valuable consideration,the receipt, adequacy and sufficiency of which are hereby acknowledged by Seller and Purchaser, Seller and Purchaser covenant and agree as follows: 1. Defined Terms. Capitalized terms used but not defined in this Third Amendment will have the meanings given to them in the Contract. 2. Extension of Inspection Period. Notwithstanding anything to the contrary in the Contract,the Inspection Period is extended until 5:00 p.m., Central Time, on March 2,2017, solely with respect to Purchaser's right to terminate the Contract pursuant to Section 5 of the Contract based upon its good faith determination that the results of Purchaser's environmental investigations are not satisfactory to Purchaser in its sole discretion. 3. Modifications to Critical Dates. Notwithstanding anything to the contrary set forth in the Contract,Purchaser and Seller hereby acknowledge and agree to the following: (a) Purchaser agrees to make its initial submittal for the Permits no later than February 10, 2017. (b) The initial ninety (90)-day Permitting Period will expire on March 27, 2017. Purchaser will have the right to extend the Permitting Period as provided in Section 6 of the Contract. 4. Ratification. As expressly modified by this Third Amendment, the Contract is hereby ratified and confirmed by Seller and Purchaser. 5. Counterparts; Transmission. This Third Amendment may be executed in multiple counterparts, each of which shall be deemed an original, and-all of which shall constitute one and the same agreement. Transmission of an executed signature page of this Third Amendment by email will be effective to create a binding agreement. [Signatures appear on next page] 30304520v1 IN WITNESS WHEREOF, the parties hereto have executed this Third Amendment the day and year first above written. PURCHASER: CHICK FIL-A,INC., a -. ;'a corporation B w. IP■ il1. . - ALIJUMP (Na e: Ste.Hanle Title Olrector, :,: .: (CO" TE SEAL) SELLER: WYLIE ECONOMIC DEVELOPMENT CORPORATION, a Texas economic development corporation By: Name: Title: (CORPORATE SEAL) 3030452AvI IN WITNESS WHEREOF,the parties hereto have executed this Third Amendment the day and year first above written. PURCHASER: CHICK-FIL-A, INC., a Georgia corporation By: Name: Title: (CORPORATE SEAL) SELLER: WYLIE ECONOMIC DEVELOPMENT CORPORATION, a Texas economic development corporation By: -.11 G 44'u1, tcx Name: mars Fit Its( Title: C'v 61dz4 (CORPORATE SEAL) 30304520vI 1 BRIAN J.MINK TROUTMAN TROUTMAN SANDERS LLP 404,885.3242 telephone Attorneys at Law 4brlan.mink@troulmansanders.com 0t facsimiloulmane SANDERS Bank of merica Plaza brlan.mink@troulmansanders.com 600 Peachtree Street,NE,Suite 5200 Atlanta,Georgia 30308-2216 4041485.3000telephone . Iroutmansenders.com March 13,2017 VIA FEDEX Wylie Economic Development Corporation 250 State Highway 78 Wylie,Texas 75098 ATTN: Sam Satterwhite Re: Purchase and Sale Agreement dated September 14, 2016 (as amended, the "Contract") between Wylie Economic Development Corporation, a Texas economic development corporation ("Seller"), and Chick-fil-A, Inc., a Georgia corporation ("CFA"), for approximately 1.53 acres located in the City of Wylie, Collin County, Texas (the "Property") Dear Sam: The Permitting Period under the Contract is set to expire on Monday, March 27, 2017. Despite its diligent efforts, CFA has not received its Permits yet. Accordingly, this letter serves as notice that CFA is exercising its right under Section 6 of the Contract to extend the Permitting Period for an additional thirty (30) days. The Permitting Period will now expire on Wednesday, April 26, 2017. All capitalized terms used in this letter have the meanings given to them in the Contract. Best regards, Brian J.Mink,Esq. cc: Abernathy,Roeder,Boyd&Hullett 1700 Redbud Boulevard, Suite 300 McKinney,Texas 75069 ATTN:Randy Hullett Mr.Tyrone Dillard(via e-mail) Vance Burgess,Esq.(via e-mail) Ms.Getra Sanders(via e-mail) Ms.Bonnie Jacobs(via e-mail) Ms.Brittany Berube(via e-mail) Ms.Natalie Knowles(via e-mail) Michael H.Wall,Esq.(via e-mail) ATLANTA BEIJING CHARLOTTE CHICAGO HONG KONG NEW YORK ORANGE COUNTY PORTLAND RALEIGH RICHMOND SAN DIEGO SHANGHAI TYSONS CORNER VIRGINIA BEACH WASHINGTON, DC 30565227v1 FIFTH AMENDMENT TO PURCHASE AND SALE AGREEMENT THIS FIFTH AMENDMENT TO PURCHASE AND SALE AGREEMENT (this "Fifth Amendment"), is entered into and is effective as of the day of June, 2017 by and between WYLIE ECONOMIC DEVELOPMENT CORPORATION, a Texas economic development corporation ("Seller"), and CHICK-FIL-A, INC., a Georgia corporation("Purchaser"). WITNESSETH: WHEREAS, Seller and Purchaser entered into that certain Purchase and Sale Agreement dated September 26, 2016, as amended by First Amendment to Purchase and Sale Agreement dated September 28, 2016, as further amended by Second Amendment to Purchase and Sale Agreement dated December 30, 2016, as further amended by Third Amendment to Purchase and Sale Agreement dated February 1, 2017 and as further amended by Fourth Amendment to Purchase and Sale Agreement dated March 6, 2017 (collectively,the "Contract"), for certain property consisting of approximately 1.53 acres located in the City of Wylie, Collin County, Texas, as more particularly described in the Contract; and WHEREAS, Seller and Purchaser desire to modify and amend the Contract in certain respects, as more particularly set forth in this Fifth Amendment. NOW, THEREFORE, for and in consideration of Ten and No/100 Dollars ($10.00) and the premises, and other good and valuable consideration, the receipt, adequacy and sufficiency of which are hereby acknowledged by Seller and Purchaser, Seller and Purchaser covenant and agree as follows: 1. Defined Terms. Capitalized terms used but not defined in this Fifth Amendment will have the meanings given to them in the Contract. 2. Descriptions of Land and Adioinin2 Property. Pursuant to Section 23 of the Contract, Seller and Purchaser have agreed to amend the Contract to replace Exhibit "A" and Exhibit "B" with the legal descriptions of the Land and the Adjoining Property, respectively, based on the Plat. Accordingly, Exhibit "A" attached to the Contract is deleted in its entirety and replaced with Exhibit "A" attached to this Fifth Amendment. Exhibit "B" attached to the Contract is deleted in its entirety and replaced with Exhibit"B" attached to this Fifth Amendment. 3. Development-Related Matters and Cost Sharing. Pursuant to Section 24 of the Contract, Seller agreed that Seller would reimburse Purchaser for that portion of the Lane Contribution not covered by the Credit. Purchaser and Seller acknowledge that none of the Lane Contribution was covered by the Credit and that Purchaser has not yet paid any portion of the Lane Contribution to Seller. Accordingly, Purchaser and Seller agree that since Purchaser is paying the Development Fees to the City of Wylie as defined in Section 24 of the Contract, Purchaser will not pay the Lane Contribution to Seller at Closing. 4. Ratification. As expressly modified by this Fifth Amendment, the Contract is hereby ratified and confirmed by Seller and Purchaser. 5. Counterparts; Transmission. This Fifth Amendment may be executed in multiple counterparts, each of which will be deemed an original, and all of which will constitute one and the same agreement. Transmission of an executed signature page of this Fifth Amendment by email will be effective to create a binding agreement. [Signatures appear on next page] 2185495v3 IN WITNESS WHEREOF, the parties hereto have executed this Fifth Amendment the day and year first above written. PURCHASER: CRICK-FIL,A. INC.. a Georgia corporation By: Name: Title: (CORPORATE SEAL) SELLER: WYLIE ECONOMIC DEVELOPMENT CORPORATION,a Texas economic development corporation By: Name: Title: (CORPORATE SEAL) 2185495 3 EXHIBIT "A" DESCRIPTION OF LAND Lot 5R of Railroad Industrial Park Addition. City of Wylie. Collin County, Texas. according to the Final Plat recorded as Instrument Number 201704I9010001900 in the Real Estate Records of Collin County, Texas. 2185.1950 EXHIBIT "B" DESCRIPTION OF ADJOINING PROPERTY Lori •44R of Railroad Industrial Park Addition, City of Wylie, Collin County. Texas. according,to the Final Plat recorded as Instrument Number 20170419010001900 in the Real Estate Records or Collin County. Texas. 1 H5495v3