07 - 5 In 5 Tax Abatement Agreement with Cultiv8Communities

Home Browse Search

Texas; before any affidavit relating to contingencies 1-4 above shall be filed in the deed records of Lamar County, Texas, the Grantee shall be given notice of the event causing the reverter and 10 business days to cure (the first day shall be the date the notice is presented to Grantee if hand delivered to the Grantee, otherwise the second business day after the notice is turned over to the United States Postal Service or other delivery service for delivery to the Grantee). V. Terms Specific to the Residential Tax Abatement Agreement—Texas Tax Code Chapter 312 A. Term 5.1 The term of this Tax Abatement Agreement shall commence on June 12, 2023. It is the intention of this Tax Abatement Agreement that Owner receive an abatement of taxes on each dwelling unit constructed as it is completed and issued a Certificate of Completion by City. Consequently, each dwelling. unit constructed and completed shall have its own five (5) year abatement period. The abatement period for each constructed and completed dwelling unit shall commence on January 1 of the year following City's issuance of a Certificate of Completion on said dwelling unit and end on the fifth (5t') anniversary of the commencement of the abatement period. This Tax Abatement Agreement shall terminate upon the expiration of the final abatement period granted herein unless otherwise terminated by default or agreement of the Parties. B. Abatement 5.2 Subject to the terms and conditions of this Economic Development Agreement and Tax Abatement Agreement, in further consideration for the construction and completion of the Improvements required herein and subject to the rights and holders of any outstanding bonds of the City, a portion of the maintenance and operations (M & O) ad valorem property taxes assessed upon each Improvement and otherwise owed to the City shall be abated for a period of five (5) years in an amount equal to 100% per year of the taxes assessed upon the increased value of the Improvements made by Owner to the Properties described in Section 3.1 of this Agreement, over the value in the year by which this agreement is executed (the "Base Value"), in accordance with the terms of this Agreement and all applicable state and local regulations or valid waivers thereof, provided that the Owner shall have the right to protest or contest any assessment of the Properties and said abatement shall be applied to the amount of taxes finally determined to be due as a result of any such protest or contest. For the purposes of this Agreement, the Base Value of the existing real property shall be deemed to be the value as shown on the tax rolls of the Lamar County Appraisal District as of January 1, 2023. 5