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CP 2013-04-23City Council City of Coppell, Texas Meeting Agenda 255 Parkway Boulevard Coppell, Texas 75019-9478 Council Chambers5:30 PMTuesday, April 23, 2013 KAREN HUNT TIM BRANCHEAU Mayor Mayor Pro Tem BOB MAHALIK BILLY FAUGHT Place 2 Place 5 WES MAYS MARVIN FRANKLIN Place 3 Place 6 GARY RODEN AARON DUNCAN Place 4 Place 7 CLAY PHILLIPS City Manager Also present were City Manager Clay Phillips, City Secretary Christel Pettinos and City Attorney Robert Hager. The City Council of the City of Coppell met in Regular Called Session on Tuesday, April 23, 2013, at 5:30 p.m. in the City Council Chambers of Town Center, 255 Parkway Boulevard, Coppell, Texas. 1.Call to Order 2.Executive Session (Closed to the Public) 1st Floor Conference Room Section 551.087, Texas Government Code - Economic Development Negotiations. A.Discussion regarding economic development prospects south of Houston Street and west of S. Coppell Road. Section 551.071, Texas Government Code Consultation with City Attorney to seek legal advice and Section 551.072, Texas Government Code Deliberation regarding Real Property. B.Discussion regarding property purchases, related legal issues and matters concerning property located at Northlake. 3.Work Session (Open to the Public) 1st Floor Conference Room Page 1 City of Coppell, Texas Printed on 12/28/2017 April 23, 2013City Council Meeting Agenda A.Discussion regarding the Oncor Agreement on Sandy Lake Road. B.Update on Joint Radio System. C.Discussion regarding Possible Joint Dispatch Project. D.Discussion regarding Council Retreat. E.Discussion of Agenda Items. Oncor Agreement on Sandy Lake.pdf Oncor Agreement on Sandy Lake Exhibit.pdf Attachments: Regular Session (Open to the Public) 4.Invocation 7:30 p.m. 5.Pledge of Allegiance 6.Presentation of an award to the Coppell Aquatic and Recreation Center from Ellis & Associates as the recipient of the 2012 Platinum International Aquatic Safety Award. Memo.pdfAttachments: 7.Consider approval of a proclamation naming Monday, April 29, 2013 as “Wilson Elementary Day in Coppell,” and authorizing the Mayor to sign. Proclamation - Wilson Elementary Day.pdfAttachments: 8.Citizens’ Appearance 9.Consent Agenda A.Consider approval of minutes: April 9, 2013. Minutes.pdfAttachments: B.Consider approval of entering into an agreement with TxDOT for maintenance and electric costs associated with lighting along State Highway 121, and acknowledgement that the yearly cost to the City of Coppell will be approximately $13,600.00; and authorizing the City Manager to sign and execute any necessary documents. State Highway 121 Lighting Agreement Memo.pdf State Highway 121 LIghting Agremeent 7/27/10 Memo.pdf State Highway 121 Lighting Agreement.pdf State Highway 121 Lighting Agreement Exhibits.pdf Attachments: C.Consider approval of accepting the resignation of John Boyd from the Library Advisory Board and appointing Adrienne Morton to fill the unexpired term. John Boyd Resignation.pdfAttachments: Page 2 City of Coppell, Texas Printed on 12/28/2017 April 23, 2013City Council Meeting Agenda D.Consider approval of an ordinance of the City of Coppell, Texas, readopting, ratifying, republishing and extending Chapter 9 of the Code of Ordinances, Article 9-19, Youth Camp Programs Standards of Care; and authorizing the Mayor to sign. Memo.pdf Resolution.pdf Attachments: E.Consider approval of the dedication of an easement along West Sandy Lake Road to Oncor Electric Delivery Company, LLC for the future installation of an electric transmission line; and authorizing the Mayor to sign and execute any necessary documents. Easement Dedication to Oncor West Sandy Lake Road Memo.pdf Easement Dedication to Oncor West Sandy Lake Road Exhibit.pdf Easement Dedication to Oncor West Sandy Lake Road Easement.pdf Attachments: End of Consent Agenda 10.Discuss and consider approving a Development Agreement and Economic Development Grant between the City of Coppell and CSE Commercial Real Estate, L.P. and authorize the City Manager and Mayor to sign all appropriate and necessary agreements and instruments related thereto. Development Agreement Memo.pdf Development Agreement.pdf Attachments: 11.Discuss and consider authorizing City Manager to negotiate and execute a purchase and sale agreement; and, authorize the City Manager and Mayor to execute any and all necessary agreements and instruments related thereto, for the transfer of all or a portion of Lots 1 through 5, Block A of the Villages of Old Coppell Addition and a portion of Lot 1, Block A of the Grapevine Springs Community Center, approximately 7.944 acres of land, to the Coppell Economic Development Foundation. Purchase and Sale Agreement Memo.pdf Purchase and Sale Agreement.pdf Attachments: 12.Consider approval of a surface use agreement by and between Luminant, Trammell Crow No. 43, Ltd., Coppell Independent School District and the City of Coppell covering approximately 1,700 ± acres of land at Northlake; and, authorizing the City Manager to sign and execute all necessary documents. Resolution.pdf Surface Use Agreement.pdf Exhibit A.pdf Exhibit B.pdf Exhibit C.pdf Attachments: Page 3 City of Coppell, Texas Printed on 12/28/2017 April 23, 2013City Council Meeting Agenda Exhibit 1.pdf Exhibit 2.pdf Exhibit D.pdf Exhibit E.pdf 13.Consider approval of settlement and release agreement by and between Luminant and Coppell concerning property located at Northlake; and, authorizing the City Manager to sign. Resolution.pdf Remediation Agreement.pdf F&O Lease.pdf Attachments: 14.Consider approval of a land purchase agreement by and between the City of Coppell and Luminant for the purchase of dam property, pump station and pad site, approximately 56.049± acres of land generally located at the eastern boundary of Northlake; and, authorizing the City Manager to sign and execute other necessary documents. Resolution.pdf Purchase and Sale Agreement.pdf Attachments: 15.Consider approval of Amended and Restated Northlake Settlement Agreement by and between the City of Coppell and Cypress Waters Land A, Ltd. concerning property located at Northlake; and, authorizing the City Manager to sign. Resolution.pdf Amended and Restated Northlake Agreement.pdf Exhibit A.pdf Exhibit B.pdf Exhibit C.pdf Exhibit 1.pdf Exhibit 2.pdf Attachments: 16.Consider approval of grant of temporary access easement and a water line easement to Cypress Waters Land A, Ltd. on the North Sliver Tract and East Tract, respectively, located at Northlake; and, authorizing the Mayor to sign. Resolution.pdf Temporary Construction and Easement Access.pdf Exhibit.pdf Easement and Right of Way.pdf Attachments: 17.Consider approval of a release agreement by and between Oncor and the City of Coppell concerning release of any easement rights over a portion of city owned property located at Northlake; and, authorizing the Mayor to Page 4 City of Coppell, Texas Printed on 12/28/2017 April 23, 2013City Council Meeting Agenda sign. Resolution.pdf Release of Rights.pdf Attachments: 18.Consider approval of grant of easement to Oncor for transmission and distribution lines over city owned property located at Northlake; and, authorizing the Mayor to sign. Resolution.pdf Easement and Right of Way.pdf Attachments: 19.City Manager Reports Project Updates and Future Agendas. 20.Mayor and Council Reports A.Report by Mayor Hunt regarding Bounce! 21.Council Committee Reports concerning items of community involvement with no Council action or deliberation permitted. 22.Public Service Announcements concerning items of community interest with no Council action or deliberation permitted. 23.Necessary Action from Executive Session Adjournment ________________________ Karen Selbo Hunt, Mayor ATTEST: ______________________________ Christel Pettinos, City Secretary PUBLIC NOTICE - STATEMENT FOR ADA COMPLIANCE The City of Coppell acknowledges its responsibility to comply with the Americans With Disabilities Act of 1990. Thus, in order to assist individuals with disabilities who require special services (i.e. sign interpretative services, alternative audio/visual devices, and amanuenses) for participation in or access to the City of Coppell sponsored public programs, services and/or meetings, the City requests that individuals makes requests for these services forty-eight (48) hours ahead of the scheduled program, service, and/or meeting. To make arrangements, contact Vivyon V. Bowman, ADA Coordinator or other designated official at (972) 462-0022, or (TDD 1-800-RELAY, TX 1-800-735-2989). Page 5 City of Coppell, Texas Printed on 12/28/2017 April 23, 2013City Council Meeting Agenda Page 6 City of Coppell, Texas Printed on 12/28/2017 Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-0997 File ID: Type: Status: 2013-0997 Agenda Item Executive Session 1Version: Reference: In Control: Administration 04/15/2013File Created: 04/23/2013Final Action: Exec Session: eco dev prospects s of Houston, w of S. Coppell File Name: Title: Discussion regarding economic development prospects south of Houston Street and west of S. Coppell Road. Notes: Agenda Date: 04/23/2013 Agenda Number: A. Sponsors: Enactment Date: Attachments: Enactment Number: Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 Discussed under Executive Session 04/23/2013City Council Discussed under Executive Session Action Text: Text of Legislative File 2013-0997 Title Discussion regarding economic development prospects south of Houston Street and west of S. Coppell Road. Summary Fiscal Impact: Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-0997) Staff Recommendation: Goal Icon: Business Prosperity Page 2City of Coppell, Texas Printed on 12/28/2017 Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-1010 File ID: Type: Status: 2013-1010 Agenda Item Executive Session 1Version: Reference: In Control: City Secretary 04/16/2013File Created: 04/23/2013Final Action: Executive SessionFile Name: Title: Discussion regarding property purchases, related legal issues and matters concerning property located at Northlake. Notes: Agenda Date: 04/23/2013 Agenda Number: B. Sponsors: Enactment Date: Attachments: Enactment Number: Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 Discussed under Executive Session 04/23/2013City Council Discussed under Executive Session Action Text: Text of Legislative File 2013-1010 Title Discussion regarding property purchases, related legal issues and matters concerning property located at Northlake. Summary Fiscal Impact: Staff Recommendation: Goal Icon: Sustainable City Government Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-1010) Business Prosperity Community Wellness and Enrichment Sense of Community Special Place to Live Page 2City of Coppell, Texas Printed on 12/28/2017 Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-1003 File ID: Type: Status: 2013-1003 Agenda Item Work Session 1Version: Reference: In Control: Engineering 04/15/2013File Created: 04/23/2013Final Action: Work SessionFile Name: Title: A.Discussion regarding the Oncor Agreement on Sandy Lake Road. B.Update on Joint Radio System. C.Discussion regarding Possible Joint Dispatch Project. D.Discussion regarding Council Retreat. E.Discussion of Agenda Items. Notes: Agenda Date: 04/23/2013 Agenda Number: Sponsors: Enactment Date: Oncor Agreement on Sandy Lake.pdf, Oncor Agreement on Sandy Lake Exhibit.pdf Attachments: Enactment Number: Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 Presented in Work Session 04/23/2013City Council Presented in Work Session Action Text: Text of Legislative File 2013-1003 Title A.Discussion regarding the Oncor Agreement on Sandy Lake Road. B.Update on Joint Radio System. C.Discussion regarding Possible Joint Dispatch Project. D.Discussion regarding Council Retreat. E.Discussion of Agenda Items. Summary Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-1003) Fiscal Impact: Staff Recommendation: Goal Icon: Sustainable City Government Business Prosperity Community Wellness and Enrichment Sense of Community Special Place to Live Page 2City of Coppell, Texas Printed on 12/28/2017 Oncor Transmission Line Removal / Easement Dedication. City of Coppell Project ST99-02B Created in CIVIL3D 1 INCH = 1 MILE 0 S:\CAD\In_Design\ST99-02 W Sandy Lake\dwg\X-BASE-exhibit.dwg \ONCOR LINES 2 Created on: 2 April 2013 by Scott Latta 1/2 11/2 1 INCH = FT. 0 500 500 250 Oncor Transmission Line Removal / Easement Dedication. City of Coppell Project ST99-02B Created in CIVIL3DS:\CAD\In_Design\ST99-02 W Sandy Lake\dwg\X-BASE-exhibit.dwg \ONCOR LINES 2 Created on: 2 April 2013 by Scott Latta ONCOR POWER TRANSMISSION LINES FOR PROPOSED REMOVAL 2/2 Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-1000 File ID: Type: Status: 2013-1000 Presentation Agenda Ready 1Version: Reference: In Control: Parks and Recreation 04/15/2013File Created: 04/23/2013Final Action: 2012 Ellis Platinum AwardFile Name: Title: Presentation of an award to the Coppell Aquatic and Recreation Center from Ellis & Associates as the recipient of the 2012 Platinum International Aquatic Safety Award. Notes: Agenda Date: 04/23/2013 Agenda Number: 6. Sponsors: Enactment Date: Memo.pdfAttachments: Enactment Number: Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 04/23/2013City Council Steve Miller, with Ellis & Associates, presented the 2012 Platinum International Aquatic Safety Award to the Coppell Aquatic and Recreation Center and staff members Kristen Bright and Nathan Cox. Action Text: Text of Legislative File 2013-1000 Title Presentation of an award to the Coppell Aquatic and Recreation Center from Ellis & Associates as the recipient of the 2012 Platinum International Aquatic Safety Award. Summary Fiscal Impact: There is no fiscal impact for this item. Staff Recommendation: Approval is recommended. Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-1000) Goal Icon: Sustainable City Government Community Wellness and Enrichment Page 2City of Coppell, Texas Printed on 12/28/2017 1 MEMORANDUM To: Mayor and City Council From: Brad Reid, Director of Parks and Recreation Date: April 23, 2013 Reference: Presentation of an award to the Coppell Aquatic and Recreation Center from Jeff Ellis and Associates as the recipient of the 2012 Platinum International Aquatic Safety Award. 2030: Excellent City Services with high level of Customer Satisfaction, Recreation Programs and Services for all Generations Introduction: Jeff Ellis & Associates (E&A) is the City’s aquatic safety and risk management consulting firm. E&A provides lifeguard training programs and safety audit assessments for the Aquatic and Recreation Center’s staff and programs. Analysis: The “Platinum International Aquatic Safety Award” is presented each year to the E&A clients who have shown exemplary performance during safety audits. E&A conducts four unannounced audits each year, which include hidden camera observations of lifeguards during their shifts to ensure that they are maintaining constant vigilance and professionalism as per the very-strict E&A guidelines. Earning this award demonstrates that the Aquatic and Recreation Center operates by consistently exceeding industry standards in risk management and epitomizes aquatic safety excellence. Steve Miller, Coppell’s Client Manager with E&A, will present the 2012 “Platinum International Aquatic Safety Award” to the City. The Aquatic and Recreation Center staff will be represented by: Jessica Carpenter, Aquatic Center Manager Kristen Bright, Head Lifeguard Nathan Cox, Head Lifeguard 2 Legal Review: Agenda item did not require legal review Fiscal Impact: There is no fiscal impact attached to this agenda. Recommendation: No action required. Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-1002 File ID: Type: Status: 2013-1002 Agenda Item Passed 1Version: Reference: In Control: Administration 04/15/2013File Created: 04/23/2013Final Action: Proclamation - Wilson Elementary Day in CoppellFile Name: Title: Consider approval of a proclamation naming Monday, April 29, 2013 as “Wilson Elementary Day in Coppell,” and authorizing the Mayor to sign. Notes: Agenda Date: 04/23/2013 Agenda Number: 7. Sponsors: Enactment Date: Proclamation - Wilson Elementary Day.pdfAttachments: Enactment Number: Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 PassApproved04/23/2013City Council Mayor Hunt read the proclamation into the record and presented the same to Mr. Nester, Ms. Madden and Wilson Elementary staff members. A motion was made by Councilmember Marvin Franklin, seconded by Councilmember Bob Mahalik, that this Agenda Item be approved. The motion passed by an unanimous vote. Action Text: Councilmember Tim Brancheau, Councilmember Bob Mahalik, Councilmember Gary Roden, Mayor Pro Tem Billy Faught, Councilmember Marvin Franklin, and Councilmember Aaron Duncan 6Aye: Text of Legislative File 2013-1002 Title Consider approval of a proclamation naming Monday, April 29, 2013 as “Wilson Elementary Day in Coppell,” and authorizing the Mayor to sign. Summary Fiscal Impact: Staff Recommendation: Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-1002) Goal Icon: Page 2City of Coppell, Texas Printed on 12/28/2017 PROCLAMATION WHEREAS, in one year’s time, when it usually takes a school five years to achieve, Wilson Elementary earned recognition as a Model School for Great Expectations; and WHEREAS, Wilson Elementary accomplished this through hard work, perseverance, and dedication; and WHEREAS, Great Expectations is a methodology that leads teachers to take a journey into excellence and success that will energize teaching and empower students; and WHEREAS, the goals in Great Expectations are to insure success for all learners, to build positive self-esteem, to develop a climate of mutual respect, to have high expectations for all learners, to believe in the ability of every individual to learn, to provide a well- rounded education for all students, and to renew the joy of teaching; and WHEREAS, the staff at Wilson Elementary attended a four day training session in July of 2011 for implementing all of the EXPECTATIONS, procedures, and activities that make Great Expectations successful in a school and on March 26, 2013, the announcement was made that Wilson Elementary had achieved the status of Model School for Great Expectations. NOW, THEREFORE, I, Karen Selbo Hunt, Mayor of the City of Coppell, do hereby proclaim Monday, April 29, 2013 as “WILSON ELEMENTARY DAY IN COPPELL” IN WITNESS THEREOF, I have set my hand and caused the seal of the City of Coppell to be affixed this 23rd day of April 2013. ____________________________ Karen Selbo Hunt, Mayor ATTEST: ______________________________ Christel Pettinos, City Secretary Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-1006 File ID: Type: Status: 2013-1006 Agenda Item Passed 1Version: Reference: In Control: City Secretary 04/15/2013File Created: 04/23/2013Final Action: MinutesFile Name: Title: Consider approval of minutes: April 9, 2013. Notes: Agenda Date: 04/23/2013 Agenda Number: A. Sponsors: Enactment Date: Minutes.pdfAttachments: Enactment Number: Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 PassApproved on the Consent Agenda 04/23/2013City Council A motion was made by Councilmember Bob Mahalik, seconded by Councilmember Billy Faught, that Agenda Items A-E be approved on the Consent Agenda. The motion passed by an unanimous vote. Action Text: Councilmember Tim Brancheau, Councilmember Bob Mahalik, Councilmember Gary Roden, Mayor Pro Tem Billy Faught, Councilmember Marvin Franklin, and Councilmember Aaron Duncan 6Aye: Text of Legislative File 2013-1006 Title Consider approval of minutes: April 9, 2013. Summary Fiscal Impact: Staff Recommendation: Approval recommended. Goal Icon: Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-1006) Sustainable City Government Page 2City of Coppell, Texas Printed on 12/28/2017 255 Parkway Boulevard Coppell, Texas 75019-9478City of Coppell, Texas Minutes City Council 6:00 PM Council ChambersTuesday, April 9, 2013 KAREN HUNT TIM BRANCHEAU Mayor Mayor Pro Tem BOB MAHALIK BILLY FAUGHT Place 2 Place 5 WES MAYS MARVIN FRANKLIN Place 3 Place 6 GARY RODEN AARON DUNCAN Place 4 Place 7 CLAY PHILLIPS City Manager Karen Hunt;Tim Brancheau;Bob Mahalik;Wes Mays;Gary Roden;Billy Faught;Marvin Franklin and Aaron Duncan Present 8 - Also present were City Manager Clay Phillips, City Secretary Christel Pettinos and City Attorney Robert Hager. The City Council of the City of Coppell met in Regular Called Session on Tuesday, April 9, 2013, at 6:00 p.m. in the City Council Chambers of Town Center, 255 Parkway Boulevard, Coppell, Texas. Call to Order1. Mayor Hunt called the meeting to order, determined that a quorum was present and convened into Executive Session at 6:08 p.m. Executive Session (Closed to the Public) 1st Floor Conference Room2. Section 551.071, Texas Government Code - Consultation with City Attorney to seek legal advice and Section 551.072, Texas Government Code - Deliberation regarding Real Property. A.Discussion regarding property purchases, related legal issues and matters concerning property located at Northlake. Discussed under Executive Session Page 1City of Coppell, Texas April 9, 2013City Council Minutes Work Session (Open to the Public) 1st Floor Conference Room3. Mayor Hunt adjourned the Executive Session at 6:55 p.m. and convened into the Work Session. A.Discussion regarding CISD School Security. B.Discussion regarding Red Light Cameras in Coppell. C.Discussion of Agenda Items. Presented in Work Session Regular Session (Open to the Public) Mayor Hunt recessed the Work Session at 7:30 p.m. and opened the Regular Session. Invocation 7:30 p.m.4. Rev. Jason Graves, Riverside Church of Christ, gave the Invocation. Pledge of Allegiance5. Mayor Hunt led those present in the Pledge of Allegiance. Citizens’ Appearance6. Mayor Hunt advised that no one signed up to speak. Consent Agenda7. A.Consider approval of the minutes: March 26, 2013. A motion was made by Councilmember Marvin Franklin, seconded by Councilmember Gary Roden, that Agenda Items A-I be approved on the Consent Agenda. The motion passed by an unanimous vote. Mayor Pro Tem Tim Brancheau ;Councilmember Bob Mahalik;Councilmember Wes Mays ;Councilmember Gary Roden;Councilmember Billy Faught;Councilmember Marvin Franklin and Councilmember Aaron Duncan Aye:7 - B.Consider approval of awarding Bid No. Q-0313-02 for the HVAC Maintenance contract to Johnson Controls in the amount of $186,443.00, as budgeted, for a one year period beginning May 1, 2013 with options to renew an additional four (4) one year periods; and authorizing the City Manager to sign and execute any necessary documents. A motion was made by Councilmember Marvin Franklin, seconded by Councilmember Gary Roden, that Agenda Items A-I be approved on the Consent Agenda. The motion passed by an unanimous vote. Page 2City of Coppell, Texas April 9, 2013City Council Minutes Mayor Pro Tem Tim Brancheau ;Councilmember Bob Mahalik;Councilmember Wes Mays ;Councilmember Gary Roden;Councilmember Billy Faught;Councilmember Marvin Franklin and Councilmember Aaron Duncan Aye:7 - C.Consider approval of an Ordinance of the City of Coppell, Texas amending the Code of Ordinances by amending Section 8-3-1(A) of the Code of Ordinances; amending the limits of no parking on Dividend Drive from its point of intersection with Freeport Parkway to the east city limits; providing a penalty of fine not to exceed the sum of two hundred dollars ($200.00) for each offense; and providing an effective date; and authorizing the Mayor to sign and execute any necessary documents. A motion was made by Councilmember Marvin Franklin, seconded by Councilmember Gary Roden, that Agenda Items A-I be approved on the Consent Agenda. The motion passed by an unanimous vote. Mayor Pro Tem Tim Brancheau ;Councilmember Bob Mahalik;Councilmember Wes Mays ;Councilmember Gary Roden;Councilmember Billy Faught;Councilmember Marvin Franklin and Councilmember Aaron Duncan Aye:7 - Enactment No: 2013-1337 D.Consider approval of awarding RFP #0114, and enter into an agreement with DFW Multimedia, Inc., DFW Video, in the amount of $52,620, as budgeted, for video production services, and authorizing the City Manager to sign. A motion was made by Councilmember Marvin Franklin, seconded by Councilmember Gary Roden, that Agenda Items A-I be approved on the Consent Agenda. The motion passed by an unanimous vote. Mayor Pro Tem Tim Brancheau ;Councilmember Bob Mahalik;Councilmember Wes Mays ;Councilmember Gary Roden;Councilmember Billy Faught;Councilmember Marvin Franklin and Councilmember Aaron Duncan Aye:7 - E.Consider approval of an Ordinance for Case No. ZC-624, Southwestern Industrial Addition , Lot 1, a zoning change from C (Commercial) to LI (Light Industrial), to be consistent with the zoning on the abutting properties on 0.9 acres of property located at the northeast corner of Southwestern Boulevard and South Coppell Road (440 Southwestern Blvd.) and authorizing the Mayor to sign. A motion was made by Councilmember Marvin Franklin, seconded by Councilmember Gary Roden, that Agenda Items A-I be approved on the Consent Agenda. The motion passed by an unanimous vote. Mayor Pro Tem Tim Brancheau ;Councilmember Bob Mahalik;Councilmember Wes Mays ;Councilmember Gary Roden;Councilmember Billy Faught;Councilmember Marvin Franklin and Councilmember Aaron Duncan Aye:7 - Enactment No: 91500-A-616 Page 3City of Coppell, Texas April 9, 2013City Council Minutes F.Consider approval of an Ordinance for Case No. PD-255R-SF, Westhaven, a zoning change from PD-255-SF (Planned Development 255-Single Family) to PD-255R-SF (Planned Development 255-Revised-Single Family), to reduce the rear yard setback from 50 feet from SH 121 R.O.W. to 45 feet on 11 lots containing 1.6 acres of property located south of S.H. 121, approximately 2,460 feet west of Magnolia Park and authorizing the Mayor to sign. A motion was made by Councilmember Marvin Franklin, seconded by Councilmember Gary Roden, that Agenda Items A-I be approved on the Consent Agenda. The motion passed by an unanimous vote. Mayor Pro Tem Tim Brancheau ;Councilmember Bob Mahalik;Councilmember Wes Mays ;Councilmember Gary Roden;Councilmember Billy Faught;Councilmember Marvin Franklin and Councilmember Aaron Duncan Aye:7 - Enactment No: 91500-A-617 G.Consider approval of an Ordinance for a text amendment to ARTICLE 27 - “PD” PLANNED DEVELOPMENT DISTRICT, Section 12, to revise various provisions, including granting the Director of Planning approval authority to approve Detail Plans, after DRC review, if in compliance with the Concept Plan and authorizing the Mayor to sign. A motion was made by Councilmember Marvin Franklin, seconded by Councilmember Gary Roden, that Agenda Items A-I be approved on the Consent Agenda. The motion passed by an unanimous vote. Mayor Pro Tem Tim Brancheau ;Councilmember Bob Mahalik;Councilmember Wes Mays ;Councilmember Gary Roden;Councilmember Billy Faught;Councilmember Marvin Franklin and Councilmember Aaron Duncan Aye:7 - Enactment No: 91500-A-618 H.Consider approval of an Ordinance for a text amendment to ARTICLE 30 - “S OR SUP”, SPECIAL USE PERMITS, Section 12-30-16(3), New restaurant in a lease space/building with an existing Special Use Permit for a restaurant, to eliminate the requirement for Administrative Approval of an SUP for a new restaurant occupant and authorizing the Mayor to sign. A motion was made by Councilmember Marvin Franklin, seconded by Councilmember Gary Roden, that Agenda Items A-I be approved on the Consent Agenda. The motion passed by an unanimous vote. Mayor Pro Tem Tim Brancheau ;Councilmember Bob Mahalik;Councilmember Wes Mays ;Councilmember Gary Roden;Councilmember Billy Faught;Councilmember Marvin Franklin and Councilmember Aaron Duncan Aye:7 - Enactment No: 91500-A-619 I.Consider approval of an Ordinance for a text amendment to ARTICLE 39 - BUILDING SITE CREATION AND SITE PLAN REVIEW, Section 12-39-2, Review of site plans, to allow the Planning & Zoning Page 4City of Coppell, Texas April 9, 2013City Council Minutes Commission to be the final authority on site plans and authorizing the Mayor to sign. A motion was made by Councilmember Marvin Franklin, seconded by Councilmember Gary Roden, that Agenda Items A-I be approved on the Consent Agenda. The motion passed by an unanimous vote. Mayor Pro Tem Tim Brancheau ;Councilmember Bob Mahalik;Councilmember Wes Mays ;Councilmember Gary Roden;Councilmember Billy Faught;Councilmember Marvin Franklin and Councilmember Aaron Duncan Aye:7 - Enactment No: 91500-A-620 End of Consent Agenda 8.PUBLIC HEARING: Consider approval of Case No. S-1137R3-SF-12, First United Methodist Church, Lot 1R, Block 1, a zoning change request from S-1137R2-SF-12 (Special Use Permit-1137 Revision 2-Single Family-12) to S-1137R3-SF-12 (Special Use Permit-1137 Revision 3-Single Family-12), to allow for the addition of a canopy at the entrance on the west elevation of the church on approximately 4.8 acres of property located at 420 S Heartz Road. Presentation: Gary Sieb, Director of Planning, made a presentation to Council. Mayor Hunt opened the Public Hearing and asked for those who signed up to speak: 1) Tim Allen, 420 Heartz Dr., spoke in favor of the item. A motion was made by Councilmember Billy Faught, seconded by Councilmember Wes Mays, to close the Public Hearing and approve this Agenda Item. The motion passed by an unanimous vote. Mayor Pro Tem Tim Brancheau ;Councilmember Bob Mahalik;Councilmember Wes Mays ;Councilmember Gary Roden;Councilmember Billy Faught;Councilmember Marvin Franklin and Councilmember Aaron Duncan Aye:7 - 9.PUBLIC HEARING: Consider approval of Case No. PD-221R8-HC, Duke Lesley Addition (Hotel & Conference Center) (REVISED), a zoning change request from PD-221R2-HC (Planned Development-221-Revision 2-Highway Commercial) to PD-221R8-HC (Planned Development-221-Revision 8-Highway Commercial), to attach a Detail Site Plan on 5.0 acres to allow the development of a hotel and a conference center to be located on the east side of Point West Boulevard , approximately 225 feet north of IH 635. Presentation: Gary Sieb, Director of Planning, made a presentation to Council. Mayor Hunt opened the Public Hearing and advised that no one signed up to speak. Page 5City of Coppell, Texas April 9, 2013City Council Minutes 1) Gary Murphree, 2311 Texas Drive, representing the applicant, answered questions of Council. 2) A.J. Katarie, 2500 Texas Dr., representing the engineer, answered questions of Council. A motion was made by Councilmember Marvin Franklin, seconded by Councilmember Bob Mahalik, to close the Public Hearing and approve this Agenda Item subject to the following conditions: 1) There will be additional comments during detailed engineering plan review; 2) All development shall be in conformance to the Site Plan, Landscape Plan, Elevations, and all other pertinent exhibits submitted with this application as corrected; 3) Driveway into the parking lot to the north will be fenced off with knox box (or Fire Department equivalent) and used only when over-flow parking is needed based upon event parking demands; 4) Construction of each building shall be undertaken at the same time;and 5) A tree removal permit will be required prior to removal of trees for creation of a left turn lane off Beltline Road. The motion passed by an unanimous vote. Mayor Pro Tem Tim Brancheau ;Councilmember Bob Mahalik;Councilmember Wes Mays ;Councilmember Gary Roden;Councilmember Billy Faught;Councilmember Marvin Franklin and Councilmember Aaron Duncan Aye:7 - 10.PUBLIC HEARING: Consider approval of the Duke Lesley Addition , Lot 2R, Block C, Replat, being a replat of Lot 2, Block C, of the Duke Lesley Addition , to establish fire lane, mutual access and utility easements to allow the development of a hotel and a conference center to be located on the east side of Point West Boulevard , approximately 225 feet north of IH 635. Presentation: Gary Sieb, Director of Planning, made a presentation to Council. Mayor Hunt opened the Public Hearing and advised no one signed up to speak. A motion was made by Councilmember Gary Roden, seconded by Mayor Pro Tem Tim Brancheau, to close the Public Hearing and approve this Agenda Item subject to the following conditions: 1) There will be additional comments during detailed engineering plan review; and 2) Tree removal permit is required to remove trees for creation of left turn lane off Beltline Road. The motion passed by an unanimous vote. Mayor Pro Tem Tim Brancheau ;Councilmember Bob Mahalik;Councilmember Wes Mays ;Councilmember Gary Roden;Councilmember Billy Faught;Councilmember Marvin Franklin and Councilmember Aaron Duncan Aye:7 - Page 6City of Coppell, Texas April 9, 2013City Council Minutes 11.PUBLIC HEARING: Consider approval of Case No. PD-261-RBN, Belmont Landing, a zoning change request from C (Commercial) to PD-261-RBN (Planned Development 261-Residential Urban Neighborhood), for the development of 55 single-family residences and three (3) common area lots on 15.18 acres of property located on the south side of East Belt Line Road, approximately 450 feet west of South MacArthur Boulevard. Presentation: Gary Sieb, Director of Planning, made a presentation to Council. Mayor Hunt opened the Public Hearing and advised no one signed up to speak. 1) Matthew Alexander, 5225 Village Creek Dr., representing the applicant, made a presentation and answered questions of Council. A motion was made by Councilmember Marvin Franklin, seconded by Councilmember Aaron Duncan, to close the Public Hearing and approve this Agenda Item subject to the following conditions: 1) There may be additional comments during detailed engineering plan review; 2) Construction of a deceleration lane from E. Belt Line Road to accommodate the eastbound traffic into this subdivision; 3) Entering into a License Agreement with the city for the maintenance of the on-street parking areas; and 4) Payment of Park fees of $1,285 per lot prior to the filing of the Final Plat. The motion passed by an unanimous vote. Mayor Pro Tem Tim Brancheau ;Councilmember Bob Mahalik;Councilmember Wes Mays ;Councilmember Gary Roden;Councilmember Billy Faught;Councilmember Marvin Franklin and Councilmember Aaron Duncan Aye:7 - 12.PUBLIC HEARING: Consider approval of Case No. S-1022R2-R, McDonald’s, a zoning change request from S-1022-Retail (Special Use Permit-1022-Retail) to S-1022R2-R (Special Use Permit-1022 Revision 2-Retail), to permit the addition of a second drive-thru lane, order board, reconfiguration of the parking lot layout, changes to the exterior elevations and signage package on approximately 0.9 acres of property located at 125 South Denton Tap Road. Presentation: Gary Sieb, Director of Planning, made a presentation to Council. Mayor Hunt opened the Public Hearing and asked for the following to speak: 1) Mandas Panda, 114 Arbor Manors Dr., spoke against the item. 2) Kevin Kennedy, 122 Arbor Manors Dr., spoke in favor of the item with specific changes. 3) Queenee Syre, 118 Arbor Manors Dr., did not speak but wanted the record to Page 7City of Coppell, Texas April 9, 2013City Council Minutes reflect she was against the item. Leslie Ford, 513 Main St., representing the applicant, made a presentation to Council and answered questions. Ted Murday, 910 S. Kimball Ave., representing the engineer, answered questions of Council. A motion was made by Mayor Pro Tem Tim Brancheau, seconded by Councilmember Billy Faught, to close the Public Hearing and approve this Agenda Item subject to the following conditions: 1) The new monument sign is designed in accordance with the Zoning Ordinance and is included on a detail sheet; 2) The two order point canopy designs are included on the detail sheet with the canopy colors limited to a brown or grey color to match the building and the supports are wrapped in either brick or stone to meet the masonry requirement of the Zoning Ordinance; 3) Add landscaping to area shown as painted stripe area; 4) Extend the (3) three-foot median 15 feet to the north; 5) Add additional landscaping along west side of alley with approved plant palate vegetation; 6) Close 2nd drive-thru from 11:00 p.m. to 5:00 a.m.; 7) Re-orient 2nd drive-thru speaker to be parallel to Denton Tap Road; 8) Construct “metered speakers” with decibel-regulated volume levels; and 9) Use red/green lighting or similar method to indicate closed/opened drive-thru lanes. The motion passed by an unanimous vote. Mayor Pro Tem Tim Brancheau ;Councilmember Bob Mahalik;Councilmember Wes Mays ;Councilmember Gary Roden;Councilmember Billy Faught;Councilmember Marvin Franklin and Councilmember Aaron Duncan Aye:7 - City Manager Reports13. Project Updates and Future Agendas. Read and Filed City Manager Clay Phillips reminded Council of the Five-Year Budget Workshop on April 11th and the 5th Tuesday Work Session on April 30th. The Heritage Park Dedication will be on April 13th in Old Town at 10 a.m. Finally, the parking lot construction for 265 Parkway will begin very soon. Mayor and Council Reports14. A.Report by Mayor Hunt regarding Metroplex Mayors’ Meeting . B.Report by Councilmember Mays regarding Coppell’s Legislative Trip to Austin. Read and Filed Page 8City of Coppell, Texas April 9, 2013City Council Minutes Mayor Hunt reported that North Texas Commission will be offering a free webinar on April 30th at 10 a.m. titled: "Emergency - Is Your Business Ready?" She also spoke about the Metroplex Mayors' Meeting yesterday. Gary Thomas from DART, gave a presentation. Mr. Thomas mentioned they are looking for legislation from this Legislative Session to continue providing services for neighboring counties. Councilmember Mays reported on Coppell Day at the State Capitol. Members of the City Council, the School Board, and the Chamber of Commerce went to Austin on March 29th. Escorted by Dan Shelly and Fred Hill, they passed out Coppell's Legislative Agenda to various legislators. Public Service Announcements concerning items of community interest with no Council action or deliberation permitted. 15. Nothing to report. Necessary Action from Executive Session16. Nothing to report. At this time, Mayor Hunt reconvened into Work Session at 9:00 p.m. Mayor Hunt adjourned Work Session at 9:21pm and reconvened into the Regular Session. Adjournment17. There being no further business before the Council, the meeting was adjourned. ________________________ Karen Selbo Hunt, Mayor ATTEST: ______________________________ Christel Pettinos, City Secretary Page 9City of Coppell, Texas Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-0981 File ID: Type: Status: 2013-0981 Agenda Item Passed 1Version: Reference: In Control: Engineering 04/01/2013File Created: 04/23/2013Final Action: State Highway 121 Lighting AgreementFile Name: Title: Consider approval of entering into an agreement with TxDOT for maintenance and electric costs associated with lighting along State Highway 121, and acknowledgement that the yearly cost to the City of Coppell will be approximately $13,600.00; and authorizing the City Manager to sign and execute any necessary documents. Notes: Agenda Date: 04/23/2013 Agenda Number: B. Sponsors: Enactment Date: State Highway 121 Lighting Agreement Memo.pdf, State Highway 121 LIghting Agremeent 7/27/10 Memo.pdf, State Highway 121 Lighting Agreement.pdf, State Highway 121 Lighting Agreement Exhibits.pdf Attachments: Enactment Number: Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 PassApproved on the Consent Agenda 04/23/2013City Council A motion was made by Councilmember Bob Mahalik, seconded by Councilmember Billy Faught, that Agenda Items A-E be approved on the Consent Agenda. The motion passed by an unanimous vote. Action Text: Councilmember Tim Brancheau, Councilmember Bob Mahalik, Councilmember Gary Roden, Mayor Pro Tem Billy Faught, Councilmember Marvin Franklin, and Councilmember Aaron Duncan 6Aye: Text of Legislative File 2013-0981 Title Consider approval of entering into an agreement with TxDOT for maintenance and electric costs associated with lighting along State Highway 121, and acknowledgement that the yearly cost to the City of Coppell will be approximately $13,600.00; and authorizing the City Manager Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-0981) to sign and execute any necessary documents. Summary This agreement will allow the City of Coppell to maintain and fund the electric cost associated with the continuous lighting along State Highway 121. Fiscal Impact: Funds will be provided by the Traffic Control Department, 01-03-43) for this agreement. Staff Recommendation: The Engineering Department recommends approval of this agreement. Goal Icon: Sustainable City Government Page 2City of Coppell, Texas Printed on 12/28/2017 To: From: Date: Reference 2030: Introduct For some TxDOT co This sectio Coppell an In July 20 TxDOT w and mainte session. A - 150’ ligh Recently, includes e Blvd & SH at Freepor and electri Analysis: The 150’ l are lowere maintenan place. The Mayor Kennet April 2 e: Agreem along S Sustain Excelle ion: time now, th oncerning li on of State nd lies entire 10, during w would furnish enance costs At that time, ht poles woul TxDOT sen ight (8) – 15 H 121 for th rt Pkwy & SH icity usage fr light poles in ed to the gro nce needed to e yearly mai and City Co h M. Griffin 3, 2013 ment with Tx State Highwa nable City Go ent and Well here has bee ighting alon Highway 1 ely within Da work session h the fixtures s. Please see it was estim ld be $10,20 nt us the atta 50’ light pol he City of Gr H 121 for th from six pole nclude an ar und to perfo o the pole or intenance co MEM ouncil n, P.E., Direc xDOT for m ay 121. overnment, G -maintained en discussion g State Hig 121 lies part allas County n, Council w s/equipment e the include mated that the 00.00. ached agreem les and inter rapevine and he City of Co es to eight th rray of 12 – orm mainten r pulley syst osts is estima 1 MORANDU ctor of Engin maintenance Goal 3 d City Infrast n between th ghway 121, tially within y. was presented and each Ci ed memorand e lighting co ment to exec rsection ligh d eight (8) – oppell to ma he costs beco 400 watt Hi nance such a em, a crane ated at $6,60 UM neering/Publ and electric tructure and he City of C from Northp n the City o d a prelimin ity would be dum from th osts for this p cute along w hting at Sand – 150’ light p aintain. If w ome $13,600 igh Pressure as bulb and b would be us 00.00. The e lic Works costs assoc Facilities Coppell, City point Drive of Grapevin ary lighting e responsible he July 27, 2 portion of SH with a 95% dy Lake Rd. poles and in we extrapolat 0.00. Sodium (HP ballast replac sed to take th electrical usa ciated with li y of Grapevi to Denton ne and the C proposal in e for the elec 2010 Counci H 121 using set of plans / Grapevine ntersection li te the mainte PS) fixtures cement. If t he system do age for an as ighting ine and Creek. City of which ctricity il work six (6) which e Mills ighting enance which there is own in ssumed 2 10hr/day can be estimated to be approximately 17,520 kwh per pole per year. The electricity usage for all eight poles based on our current electric rate is estimated at $7000.00. Legal Review: Agenda item was reviewed by Bob Hager on 3/18/13. Fiscal Impact: The fiscal impact of this Agenda item is approximately $13,600.00 per year. Recommendation: The Engineering Department recommends approval of the agreement with TxDOT. 1 MEMORANDUM TO: Mayor and City Council FROM: Kenneth M. Griffin, P.E., Director of Engineering/Public Works DATE: July 27, 2010 REF: Consider approval of the City's ongoing participation for maintenance and electric costs associated with lighting along State Highway 121, and acknowledgement that the yearly cost to the City of Coppell will be approximately $10, 200.00. For some time now, there has been discussion between the City of Coppell, City of Grapevine, and TXDOT concerning lighting along State Highway 121, from Northpoint Drive to Denton Creek. This section of State Highway 121 lies partially within the City of Grapevine and the City of Coppell and lies entirely within Dallas County. TXDOT has stated they will be providing safety lighting associated with the project generally located at the entrance and exits ramps and that TXDOT will be responsible for all costs associated with the construction, electric costs, and power maintenance of the safety lighting system. However, TXDOT has stated that if additional lighting is desired along the roadway, the ongoing maintenance and electrical costs of that lighting would be the responsibility of the adjoining cities. After discussion with Grapevine, there is general agreement between the City of Coppell and the City of Grapevine that if the additional lighting is installed along State Highway 121 that the type of lighting would be the 150 ft towers with the 400 watt hps bulbs. The initial cost of design and construction will be borne by TXDOT. However, once the lights have been installed and are operational, the City of Coppell and the City of Grapevine will be required to pick up the ongoing electrical costs and maintenance of the lights. It is estimated the annual costs will approximately $10,200.00, per city. The intent of this agenda item is to seek approval from the Council for the installation of lighting along the roadway, concurrence with the 150 ft. poles, and acknowledgement that the estimated yearly cost to the City would be approximately $10,200.00. If Council supports this agenda item, then at a future date, a revised “Agreement for Construction, Maintenance, and Operation of Continuous Highway Lighting Systems within a Municipality (Freeways or Expressways) (specific limits),” will be brought to Council for approval. This early action is needed such that TXDOT can continue with design of the lighting along State Highway 121. Staff will be available to answer any questions at the Council meeting. Traffic–Traffic_TEA22 Page 1 of 5 Revised 05/02/2008 CONTINUOUS LIGHTING SC(100) – CMO(100)(SL) AGREEMENT FOR CONSTRUCTION, MAINTENANCE AND OPERATION OF CONTINUOUS HIGHWAY LIGHTING SYSTEMS WITHIN A MUNICIPALITY (FREEWAYS OR EXPRESSWAYS) (Specific Limits) STATE OF TEXAS § COUNTY OF TRAVIS § THIS AGREEMENT, is made by and between the State of Texas, acting through the Texas Department of Transportation, hereinafter called the “State,” and the City of Coppell, Dallas County, Texas, hereinafter called the “City,” acting by and through its duly authorized officers. W I T N E S S E T H WHEREAS, the City has requested the State to contribute financial aid in the construction, maintenance, and operation of a continuous highway lighting system on the freeway or expressway designated as SH 121 within the limits from ¼ mile south of Freeport Parkway to 100’ north of Denton Creek inside the SH 121 right of way (within the City of Grapevine and Coppell) which is in accordance with 43 Texas Administrative Code, Section 25.11. Within the limits, said lighting system hereinafter referred to as the “lighting system” is to consist of continuous lighting to be built in sections as financed and designated by the Texas Transportation Commission; and WHEREAS, the Executive Director, acting for and in behalf of the Texas Transportation Commission, has made it known to the City that the State will construct said highway lighting system, conditioned that the City, as provided in 43 Texas Administrative Code § 25.11., and Transportation Code § 221.002, will maintain and operate said lighting system. NOW THEREFORE, in consideration of the premises and of the mutual covenants and agreements of the parties hereto to be by them respectively kept and performed as hereinafter set forth, it is agreed as follows: Traffic–Traffic_TEA22 Page 2 of 5 Revised 05/02/2008 CONTINUOUS LIGHTING SC(100) – CMO(100)(SL) A G R E E M E N T 1. CONSTRUCTION RESPONSIBILITIES A. The State will prepare or provide for the plans and specifications, advertise for bids, let the construction contract, or otherwise provide for the construction, and will supervise construction, reconstruction or betterment work as required by said plans and specifications. As this lighting system project is developed to construction stage, either as a unit or in increments, the State will submit plans and specifications of the proposed work to the City and will secure the City’s approval to construct the lighting system prior to awarding the contract; said City consent being signified by the signatures of duly authorized City officers in the spaces provided on the title sheet of the plans containing the following notation: “Attachment No. to special AGREEMENT FOR CONSTRUCTION, MAINTENANCE, AND OPERATION OF CONTINUOUS HIGHWAY LIGHTING SYSTEMS WITHIN A MUNICIPALITY, (FREEWAYS OR EXPRESSWAYS) (Specific Limits), dated . The City-State construction, maintenance, and operation responsibilities shall be as heretofore agreed to, accepted, and specified in the Agreement to which these plans are made a part.” B. All costs of constructing the lighting system will be borne by the State, and the lighting system will remain the property of the State. 2. MAINTENANCE AND OPERATION RESPONSIBILITIES A. The City hereby agrees to furnish at its expense the electrical energy required for proper operation of the lighting system, such electrical energy to be provided at points on the illumination system as designated by the State. The City further agrees to maintain and operate the lighting system in an efficient and sightly condition, including the furnishing of all equipment and labor and making any replacements which may become necessary, without cost to the State. B. The City shall assume maintenance and operation on a date to correspond Traffic–Traffic_TEA22 Page 3 of 5 Revised 05/02/2008 CONTINUOUS LIGHTING SC(100) – CMO(100)(SL) with the date construction of the lighting system is completed and accepted by the State. The State will provide written notification to the City of such acceptance. The City hereby agrees to furnish at its expense the electrical energy consumed by the system during the period of trial operation prior to acceptance by the State. If the lighting system is constructed by sections, this provision shall apply to each such separately constructed section. C. The City will obtain approval of the State before making any major changes in the design and/or operation of the lighting system as designed and constructed by the State or before the removal of any part of the installation except for the purpose of replacement where identical or accepted equivalent equipment to that originally installed is used. 3. GENERAL A. This Agreement shall remain in force for a period of two years from the date that maintenance and operation responsibilities are first assumed by the City and shall be automatically renewed for two-year periods unless modified by mutual agreement of both parties. B. The State will not incur any financial obligation to the City as a result of this Agreement. C. This Agreement may be terminated sixty (60) days after the filing of a written notice by either party of a desire for cancellation. The State reserves the right to remove the lighting system upon cancellation of the Agreement. D. If, at any time, the City does not maintain and operate the lighting system in a satisfactory manner, the State reserves the right to either arrange for maintenance at the expense of the City or to remove the lighting system. Should the lighting system be removed due to lack of maintenance, the City hereby agrees to reimburse the State for the cost of removal. E. Should disputes arise as to the parties’ obligations under this Agreement, the State’s decision shall be final and binding. F. The City shall comply with all federal, state, and local laws, statutes, ordinances, rules and regulations, and the orders and decrees of any court, or administrative bodies or tribunals in any matter affecting the performance of this Agreement. Traffic–Traffic_TEA22 Page 4 of 5 Revised 05/02/2008 CONTINUOUS LIGHTING SC(100) – CMO(100)(SL) G. Changes in time frame, character, cost, or obligations authorized herein shall be enacted by written amendment. Any amendment to this Agreement must be executed by both parties within the contract period. H. This Agreement shall bind, and shall be for the sole and exclusive benefit of the respective parties and their legal successors. The City shall not assign or transfer its interest in this Agreement without written consent of the State. I. In case any one or more of the provisions contained in this Agreement shall, for any reason, be held invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect any other provision thereof and this Agreement shall be construed as if such invalid, illegal, or unenforceable provision had never been contained herein. J. This Agreement constitutes the sole and only agreement for lighting at the location described herein of the parties hereto and supersedes any prior understandings or written or oral agreement between the parties respecting the within subject matter. K. The state auditor may conduct an audit or investigation of any entity receiving funds from the state directly under the contract or indirectly through a subcontract under the contract. Acceptance of funds directly under the contract or indirectly through a subcontract under this contract acts as acceptance of the authority of the state auditor, under the direction of the legislative audit committee, to conduct an audit or investigation in connection with those funds. An entity that is the subject of an audit or investigation must provide the state auditor with access to any information the state auditor considers relevant to the investigation or audit. L. At the request of the State, the Local Government shall submit any information required by the State in the format directed by the State. 4. RESPONSIBILITIES OF THE PARTIES The State and the City agree that neither party is an agent, servant, or employee of the other party and each party agrees it is responsible for its individual acts and deeds as wells as the acts and deeds of its contractors, employees, representatives, and agents. Traffic–Traffic_TEA22 Page 5 of 5 Revised 05/02/2008 CONTINUOUS LIGHTING SC(100) – CMO(100)(SL) IN TESTIMONY HEREOF, the parties hereto have caused these presents to be executed in duplicate counterparts. CITY OF COPPELL By:_____________________________ Title____________________________ Date:___________________________ THE STATE OF TEXAS Executed for the Executive Director and approved for the Texas Transportation Commission for the purpose and effect of activating and/or carrying out the orders, established policies or work programs heretofore approved and authorized by the Texas Transportation Commission. By: _________________________________ William L. Hale, P.E. District Engineer Date: ________________________________ Proposed Street Light Locations State Highway 121 City of Coppell Created in CIVIL3D 1 INCH = 1 MILE 0 S:\CAD\In_Design\MISC EXHIBITS\dwg\EXHIBITS 2013.dwg \SH 121 LIGHTS Created on: 12 March 2013 by Scott Latta 1/2 1/2 1 1 INCH = FT.015001500750Proposed Street Light LocationsState Highway 121City of CoppellCreated in CIVIL3DS:\CAD\In_Design\MISC EXHIBITS\dwg\EXHIBITS 2013.dwg\SH 121 LIGHTSCreated on: 17 April 2013 by Scott LattaPROPOSED STREETLIGHTS, COPPELL MAINTENANCE2/2PROPOSED STREETLIGHTS, GRAPEVINE MAINTENANCE Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-1009 File ID: Type: Status: 2013-1009 Agenda Item Passed 1Version: Reference: In Control: City Secretary 04/16/2013File Created: 04/23/2013Final Action: LAB ResignationFile Name: Title: Consider approval of accepting the resignation of John Boyd from the Library Advisory Board and appointing Adrienne Morton to fill the unexpired term. Notes: Agenda Date: 04/23/2013 Agenda Number: C. Sponsors: Enactment Date: John Boyd Resignation.pdfAttachments: Enactment Number: Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 PassApproved on the Consent Agenda 04/23/2013City Council A motion was made by Councilmember Bob Mahalik, seconded by Councilmember Billy Faught, that Agenda Items A-E be approved on the Consent Agenda. The motion passed by an unanimous vote. Action Text: Councilmember Tim Brancheau, Councilmember Bob Mahalik, Councilmember Gary Roden, Mayor Pro Tem Billy Faught, Councilmember Marvin Franklin, and Councilmember Aaron Duncan 6Aye: Text of Legislative File 2013-1009 Title Consider approval of accepting the resignation of John Boyd from the Library Advisory Board and appointing Adrienne Morton to fill the unexpired term. Summary Fiscal Impact: Staff Recommendation: Approval recommended. Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-1009) Goal Icon: Sustainable City Government Business Prosperity Community Wellness and Enrichment Sense of Community Special Place to Live Page 2City of Coppell, Texas Printed on 12/28/2017 737 Sparrow Lane Coppell, TX 75019 April 10 , 2013 21 4-493-6823 Victoria A. Chiavetta Director of Library Services William T. Cozby Public Library 177 N. Heartz Road Coppell, Texas 7501 9 Re: Resignation Vicki, Please accept my resignation from the Library Board, effective after the April 2013 meeting. Thank you for the opportunity to be part of the Library and the Strategic Planning process. Working with you, your employees and the Board was a highlight and a pleasure. I wish you continued success and growth as you meet the challenges change will bring. I have every confidence you will meet and exceed those challenges. Good luck to you, the Board and the entire Library community Sincerely, 'dhn D. Boyd jdb24000@yahoo.com 21 4-493-6823 (cell) Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-1001 File ID: Type: Status: 2013-1001 Agenda Item Passed 1Version: Reference: In Control: Parks and Recreation 04/15/2013File Created: 04/23/2013Final Action: Camp Standards of CareFile Name: Title: Consider approval of an ordinance of the City of Coppell, Texas, readopting, ratifying, republishing and extending Chapter 9 of the Code of Ordinances, Article 9-19, Youth Camp Programs Standards of Care; and authorizing the Mayor to sign. Notes: Agenda Date: 04/23/2013 Agenda Number: D. Sponsors: Enactment Date: Memo.pdf, Resolution.pdfAttachments: Enactment Number: 2013-1338 Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 PassApproved on the Consent Agenda 04/23/2013City Council A motion was made by Councilmember Bob Mahalik, seconded by Councilmember Billy Faught, that Agenda Items A-E be approved on the Consent Agenda. The motion passed by an unanimous vote. Action Text: Councilmember Tim Brancheau, Councilmember Bob Mahalik, Councilmember Gary Roden, Mayor Pro Tem Billy Faught, Councilmember Marvin Franklin, and Councilmember Aaron Duncan 6Aye: Text of Legislative File 2013-1001 Title Consider approval of an ordinance of the City of Coppell, Texas, readopting, ratifying, republishing and extending Chapter 9 of the Code of Ordinances, Article 9-19, Youth Camp Programs Standards of Care; and authorizing the Mayor to sign. Summary Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-1001) Fiscal Impact: There is no fiscal impact for this item. Staff Recommendation: Approval is recommended. Goal Icon: Sustainable City Government Community Wellness and Enrichment Page 2City of Coppell, Texas Printed on 12/28/2017 1 MEMORANDUM To: Mayor and City Council From: Brad Reid, Director of Parks and Recreation Date: April 23, 2013 Reference: Consider approval of an ordinance of the City of Coppell, Texas, readopting, ratifying, republishing and extending Chapter 9 of the Code of Ordinances, Article 9-19, Youth Camp Programs Standards of Care; and authorizing the Mayor to sign. 2030: Coppell 2030: Excellent City Services with high level of Customer Satisfaction, Financial Resources to Support City Services, Recreation Programs and Services for all Generations. Introduction: This item is submitted annually to the City Council so that guidelines for state exemption of day care licensing can be applied for all youth camp programs offered by the Parks and Recreation Department. These camps include Camp Do-It-All, KidzConnect, Missoula, Teen Camp, all those offered at the Recreation Center in the summer and any individual holiday camps that are scheduled throughout the school year. Analysis: The youth camps offered by the City of Coppell are exempt from licensure as observed in the Health and Safety code §141.0021 of the Texas Department of State Health Services (DSHS). This is applicable because our programs are operated by a municipality, are recreation programs for children ages 5 through 13, and because they meet the following criteria:  The Standards of Care for the program are annually adopted by ordinance.  The Standards of Care include staffing ratios and qualifications, facility health and safety standards, and monitoring and enforcement provisions.  The Standards of Care are provided to the parents of each program participant.  The parents of each program participant are informed that the program is not licensed by the state.  The program is not advertised as child care. 2 As parents register their children for Coppell camps they are provided a copy of the Standards of Care, as listed in the requirements. Along with the standards they are also provided information on camp hours of operation, rules, attire, activities and field trips, and all other information parents need for camp to be successful for their child. These Standards of Care are closely monitored by Recreation Coordinators and Supervisors as well as by the Assistant Director of Recreation. Legal Review: Agenda item was reviewed by Bob Hager on 4/15/13. Fiscal Impact: There is no fiscal impact attached to this agenda. Recommendation: The Parks and Recreation Department recommends approval. Page 1 TM 60281 AN ORDINANCE OF THE CITY OF COPPELL ORDINANCE NO. ____________ AN ORDINANCE OF THE CITY OF COPPELL, TEXAS, READOPTING, RATIFYING, REPUBLISHING AND EXTENDING CHAPTER 9 OF THE CODE OF ORDINANCES, ARTICLE 9-19, YOUTH CAMP PROGRAMS STANDARDS OF CARE; PROVIDING A REPEALING CLAUSE; PROVIDING A SEVERABILITY CLAUSE; PROVIDING A SAVINGS CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City of Coppell operates Youth Camp programs; and WHEREAS, the City of Coppell has adopted and implemented a comprehensive standards of care to provide a safe and instructive atmosphere; and WHEREAS, that state law requires each City to review and update its standards of care regulations for youth programs. NOW THEREFORE BE IT ORDAINED BY THE CITY COUNCIL OF COPPELL, TEXAS, THAT: SECTION 1. That Ordinance No. 2010-1248, as readopted and amended by Ordinance No. 2012-1306, codified as Chapter 9, Article 9-19, Section 9-19-1 through Section 9-19-19 of the Code of Ordinances of the City of Coppell, Texas, as amended, is hereby readopted, ratified, republished and extended in its entirety from the date of its adoption and shall remain in effect through April 2016 unless otherwise repealed, amended or terminated as provided by State Law SECTION 2. That all provisions of any ordinance or the Code of Ordinances of the City of Coppell, Texas, except as provided herein, in conflict with the provisions of this ordinance be, and the same are hereby, repealed, and all other provisions not in conflict with the provisions of this ordinance shall remain in full force and effect. Page 2 TM 60281 SECTION 3. That should any word, phrase, paragraph, or section of this ordinance or of the Code of Ordinances, as amended hereby, be held to be unconstitutional, illegal or invalid, the same shall not affect the validity of this ordinance as a whole, or any part or provision thereof other than the part so decided to be unconstitutional, illegal or invalid, and shall not affect the validity of the Code of Ordinances of the City of Coppell, Texas as a whole. SECTION 4. That this ordinance shall take effect immediately from and after its passage and publication, as the law and charter in such cases provide. DULY PASSED by the City Council of the City of Coppell, Texas, this ___ day of _______________, 2013. APPROVED: By: KAREN SELBO HUNT, MAYOR ATTEST: By: CHRISTEL PETTINOS, CITY SECRETARY APPROVED AS TO FORM: By: ROBERT E. HAGER, CITY ATTORNEY (REH/mpm) Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-0978 File ID: Type: Status: 2013-0978 Agenda Item Passed 1Version: Reference: In Control: Engineering 04/01/2013File Created: 04/23/2013Final Action: Easement Dedication to Oncor West Sandy Lake Road File Name: Title: Consider approval of the dedication of an easement along West Sandy Lake Road to Oncor Electric Delivery Company, LLC for the future installation of an electric transmission line; and authorizing the Mayor to sign and execute any necessary documents. Notes: Agenda Date: 04/23/2013 Agenda Number: E. Sponsors: Enactment Date: Easement Dedication to Oncor West Sandy Lake Road Memo.pdf, Easement Dedication to Oncor West Sandy Lake Road Exhibit.pdf, Easement Dedication to Oncor West Sandy Lake Road Easement.pdf Attachments: Enactment Number: Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 PassApproved on the Consent Agenda 04/23/2013City Council A motion was made by Councilmember Bob Mahalik, seconded by Councilmember Billy Faught, that Agenda Items A-E be approved on the Consent Agenda. The motion passed by an unanimous vote. Action Text: Councilmember Tim Brancheau, Councilmember Bob Mahalik, Councilmember Gary Roden, Mayor Pro Tem Billy Faught, Councilmember Marvin Franklin, and Councilmember Aaron Duncan 6Aye: Text of Legislative File 2013-0978 Title Consider approval of the dedication of an easement along West Sandy Lake Road to Oncor Electric Delivery Company, LLC for the future installation of an electric transmission line; and authorizing the Mayor to sign and execute any necessary documents. Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-0978) Summary Approval of this easement dedication is the final component needed for the removal of the Oncor electric transmission lines along West Sandy Lake Road from Denton Tap to North Coppell Road. The dedication of the easement preserves Oncor ’s right to rebuild this line at some point in the future when deemed necessary to provide adequate service to their customers. This will allow the removal of the existing poles necessary for the widening of Sandy Lake Road. Fiscal Impact: Funds are available in Street CIP for the City’s obligation associated with this easement. Staff Recommendation: The Engineering Department recommends approval of this easement dedication. Goal Icon: Special Place to Live Page 2City of Coppell, Texas Printed on 12/28/2017 To: From: Date: Reference 2030: Introduct This agend Delivery f Sandy Lak Analysis: In the proc Oncor tran transmissio in that we relocated a Upon revi transmissio Denton Ta In exchang along the preservatio Lake Road may recall our right o If they rem part that th Pending ap Agreemen Mayor Ken Gr April 2 e: Oncor T Sustain Excelle ion: da item is be for the futur ke Road. cess of desig nsmission po on to discus e have to pay at Oncor’s ex iew, Oncor on line in t ap Road to N ge for remov south side o on would tak d right of w l that Oncor of way. This move the pol heir right to r pproval of th nt necessary f and City Co riffin, P.E., D 3, 2013 Transmission nable City Go ent and Well eing presente re installatio gning West oles along th s relocating y for the co xpense. Our proposed to the amount North Coppel val of the exi of Sandy Lak ke the form ay. Approv r has a ‘blan s easement d le line witho reinstall a tra he dedicatio for Oncor to MEM ouncil Director of E n Line – We overnment, G -maintained ed for appro on of an ele Sandy Lake he south side those six po ost of the rel r projected c o the City t of $45,000 ll Road; ther isting transm ke Road for of an easem val of this ea nket’ easeme dedication w out the City p ansmission l n of this eas o begin the re 1 MORANDU Engineering est Sandy La Goal 3 d City Infrast val of the de ectric transm e Road impro of West San oles. Transm location of t cost to reloca that we fund .00. They reby, elimina mission lines future cons ment dedicat asement is th ent for the e ill basically providing an line in the fu sement the c emoval work UM and Public W ake Road tructure and edication of mission line ovements, w ndy Lake Ro mission poles transmission ate the six po d the remov would then ating the con s, they have struction of a ted by the C he item befo existing tran just redefine n easement, uture would b city will exe k. Works Facilities an easemen along the s we identified oad. We the s differ from n lines. Dis oles in confl val of the e n remove th nflicts with t asked us to p a new transm City to Oncor ore you this nsmission lin e the existin there is som be challenge ecute the Dis nt to Oncor E outh side of d conflicts w en contacted m distribution tribution po lict is $70,00 entire de-ene e entire line the road proj preserve a co mission line r within the evening. C ne that super ng Oncor eas me concern o ed. scretionary S Electric f West with six Oncor n poles oles are 00.00. ergized e from ject. orridor e. This Sandy Council r cedes sement. on their Service 2 Legal Review: This easement was reviewed by David Dodd and the final form was arrived at through several iterations between city staff and Oncor representatives. Fiscal Impact: The dedication of this easement has no fiscal impact; however upon approval the city will execute the Discretionary Service agreement in the amount of $45,000. Recommendation: The Engineering Department recommends approval of this easement. Oncor Transmission Line Removal / Easement Dedication. City of Coppell Project ST99-02B Created in CIVIL3D 1 INCH = 1 MILE 0 S:\CAD\In_Design\ST99-02 W Sandy Lake\dwg\X-BASE-exhibit.dwg \ONCOR LINES 2 Created on: 2 April 2013 by Scott Latta 1/2 11/2 1 INCH = FT. 0 500 500 250 Oncor Transmission Line Removal / Easement Dedication. City of Coppell Project ST99-02B Created in CIVIL3DS:\CAD\In_Design\ST99-02 W Sandy Lake\dwg\X-BASE-exhibit.dwg \ONCOR LINES 2 Created on: 2 April 2013 by Scott Latta ONCOR POWER TRANSMISSION LINES FOR PROPOSED REMOVAL 2/2 Coppell – Apollo Road 69 kV E#275234 EASEMENT AND RIGHT OF WAY THE STATE OF TEXAS KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS That, the City of Coppell, hereinafter called "Grantor," whether one or more, for and in consideration of Ten and no/100 Dollars ($10.00) and other valuable consideration to Grantor in hand paid by Oncor Electric Delivery Company LLC, a Delaware limited liability company, 1616 Woodall Rodgers Freeway, Dallas, Texas 75202-1234, hereinafter referred to as "Grantee", has granted, sold and conveyed and by these presents does grant, sell and convey unto said Grantee, its successors and assigns, an easement and right-of-way for electric power and communications lines, each consisting of variable number of wires and cables, and all necessary or desirable appurtenances including supporting structures, foundations, guy wires and guy anchorages (the “Facilities”) over, under, across and upon all that certain tract(s) of land located in Dallas County, Texas, more particularly described in Exhibits A and B, attached hereto and made part hereof. Together with: (1) the right of ingress and egress over and along the easement and right-of-way and over Grantor's adjacent lands to or from the easement and right-of- way, for the purpose of and with the right to construct, operate, improve, reconstruct, replace, repair, inspect, patrol, maintain and add or remove such electric power and communications lines or other Facilities as the Grantee may from time to time find necessary, convenient or desirable to erect thereon during the initial construction of the Facilities or at any time thereafter; (2) the right to install gates in all existing and future fences crossing the easement and right-of-way, provided such gates will be installed in a manner that will not weaken such fences; (3) the right to relocate its facilities along the same general direction of said lines; (4) the right to trim and cut down trees and shrubbery on the easement and right-of-way, including by use of herbicides or other similar chemicals approved by the U. S. Environmental Protection Agency, to the extent, in the sole judgment of the Grantee, necessary to prevent possible interference with the operation of said lines or to remove possible hazard thereto; and (5) the right to remove at Grantor's expense or to prevent the construction on the easement and right-of-way of any or all buildings, structures and obstructions. Should Grantee initially install and construct and operate one circuit of the electric transmission line permitted under the terms of this Easement and Right of Way, it is understood that Grantee shall have the right to install, construct, and operate additional circuits, including additional structures or other Facilities if necessary, of the electric transmission line where Grantee determines, in its sole discretion, that demand for electricity or the efficient operation of the line requires such additional circuits. VERSION 111209 EASEMENT AND RIGHT OF WAY Page 2 Grantor shall not make or cause any changes in grade, elevation, or contour of the land after the initial reconstruction of Sandy Lake Road within the easement and right-of-way described herein without first providing advance notice and obtaining prior written consent to do so from Grantee, except those activities associated with normal operation and maintenance activities associated with Grantor’s infrastructure, which may be conducted by Grantor with only prior notice to Grantee provided all work to be performed within the easement area by the Grantor, its employees, agents, representatives or contractors and the results of said work must comply with Chapter 752, Texas Health and Safety Code, the National Electrical Safety Code and any other clearance requirements. If written consent is not obtained prior to any other action by Grantor that causes any changes in grade, elevation, or contour of the land within the easement and right-of-way, Grantor shall, upon demand from Grantee, at Grantor’s expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the change in grade, elevation, or contour of the land within the easement and right-of-way in the event Grantor fails to promptly restore the grade, elevation, or contour to its previously existing condition. Except in circumstances requiring immediate excavations, trenching, or other soil disturbing activities by Grantor in order to (a) prevent imminent damage or injury to the health or safety of any person or to the public right of way; (b) restore service; or (c) prevent the loss of service (“emergency situations”), Grantor shall not perform any excavations, trenching, or other soil disturbing activities that, in the sole judgment of Grantee, will endanger the integrity of the supporting structures and/or foundations or other Facilities, as applicable, or perform any other activities that may, in the sole judgment of Grantee, remove, reduce, or adversely affect or impact the lateral support of the supporting structures and/or foundations or other Facilities, as applicable, without first providing advance notice and obtaining prior written consent to do so from Grantee. Grantee shall not unreasonably withhold consent, and shall respond to a written request within thirty (30) days granting consent, or detailing why consent cannot be granted. In emergency situations, Grantor shall notify Grantee of the need to perform excavations, trenching, or other soil disturbing activities by the next business day after commencement of the work. If prior written consent is not obtained by Grantor prior to performing any excavation, trenching or other soil disturbing activity that endangers the integrity of the supporting structures or foundations or other Facilities, as applicable, whether in the case of an emergency situation or otherwise, Grantor shall, upon demand from Grantee, at Grantor’s expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the excavation, trenching, or soil disturbing activity in the event Grantor fails to promptly restore the easement and right-of-way to its previously existing condition or cannot do so. Grantor reserves the right to use the easement and right of way area provided such use shall not include the growing of trees thereon or any other use that might, in the sole judgment of the Grantee, interfere with the exercise by the Grantee of the rights hereby granted. Grantor further reserves the right to lay out, dedicate, construct, VERSION 111209 EASEMENT AND RIGHT OF WAY Page 3 maintain and use across said strip such roads, streets, alleys, railroad tracks, underground telephone cables and conduits and gas, water and sewer pipe lines as will not interfere with Grantee's use of said land for the purpose aforesaid, provided all such facilities shall be located at angles of not less than 45 degrees to any of Grantee's lines, and shall be so constructed as to provide with respect to Grantee's Facilities the minimum clearances provided by law and recognized as standard in the electrical industry, as same may change from time to time. Grantor also reserves the right to erect fences not more than 8 feet high across said land, provided all such fences shall have gates, openings, or removable sections at least 16 feet wide which will permit Grantee reasonable access to all parts of said land. Should Grantee later determine that a width greater than 16 feet is necessary, then Grantee shall have the right granted above to install additional or wider gates at its sole discretion, but the installation of such additional or wider gates shall be at the sole expense of Grantee. Grantor retains all right, title, and interest in and to all oil, gas, and other minerals (whether by law classified as part of the mineral estate or the surface estate) and groundwater in, on, and under the strip or land described herein; provided, however, that Grantor shall not be permitted to drill for oil, gas, and other minerals, and groundwater from and under said strip of land but Grantor may extract oil, gas, and other minerals, and groundwater from and under said strip of land by directional drilling, mining, or other means, so long as Grantee’s use of said strip is not disturbed, which use shall include the right of Grantee to physical and/or lateral support for the Facilities, as well as the right that the Facilities shall not be endangered, obstructed, or interfered with by such operations. In addition to the consideration above recited for the easement and right-of-way hereby granted, the Grantee will pay to the owner of the land, and, if leased, to his tenant, as they may be respectively entitled for actual damages to fences and growing crops and improvements located on the easement and right-of-way caused by reason of the construction, maintenance, addition or removal of said lines; provided, however, that no such payment will be made for trimming or removal of trees growing on the easement and right-of-way, nor for removal of buildings, structures, or obstructions erected upon the easement and right-of-way after granting of this easement and right- of-way. TO HAVE AND TO HOLD the above described easement and right-of-way unto the said Grantee, its successors and assigns, until all of said lines and other Facilities shall be abandoned, and in that event said easement and right-of-way shall cease and all rights herein granted shall terminate and revert to Grantor or Grantor's heirs, successors or assigns; and Grantor hereby binds Grantor and Grantor’s heirs, successors, assigns, and legal representatives, to warrant and forever defend the above described easement and right-of-way unto Grantee, its successors and assigns, against every person whomsoever lawfully claiming or to claim the same or any part thereof. This easement may be assigned in whole or in part. VERSION 111209 EASEMENT AND RIGHT OF WAY Page 4 EXECUTED this __ day of _________, A.D. 2013 CITY OF COPPELL By: _____________________________ Karen Hunt, Mayor ACKNOWLEDGMENT STATE OF TEXAS § § COUNTY OF DALLAS § BEFORE ME, the undersigned authority, on this day personally appeared Karen Hunt, as the Mayor of the City of Coppell, known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that she executed the same for the purposes and consideration therein expressed, in the capacity therein stated and she is authorized to do so. GIVEN UNDER MY HAND AND SEAL OF OFFICE this __ day of ____________, A. D. 2013 ___________________________________________ Notary Public in and for the State of Texas After recording, return to: Laura De La Paz Oncor Electric Delivery Company Suite 505 115 W 7th Street Ft. Worth, Texas 76102 9407-ESMT-FN EXHIBIT A FIELD NOTES CITY OF COPPELL CENTERLINE OF PROPOSED EASEMENT Being a centerline description of a proposed transmission line easement being located in the J.E. HOLLAND SURVEY, ABSTRACT 614, J. MOORE SURVEY, ABSTRACT 968, T.L. HOLLAND SURVEY, ABSTRACT 624, G.W. JACK SURVEY, ABSTRACT 694 and S.A. & M.G. RAILROAD COMPANY SURVEY, ABSTRACT 1430, Dallas County, Texas, being a portion of that certain property being located within the Right Of Way (R.O.W.) of Sandy Lake Road and being more particularly described, by metes and bounds, as follows: BEGINNING at a point (N 7,040,266.21 E 2,424,901.68) being located in the South line of that certain TU Electric 2.726 acre tract described by plat recorded in Volume 90048, Page 2697, Official Public Records, Dallas County, Texas (O.P.R.,D.Co.,Tx.) and bearing South 47 degrees 25 minutes 39 seconds East a distance of 449.72 feet from an aluminum cap monument found for Northwest corner of said TU Electric 2.726 acre tract; THENCE departing said South line of 2.726 acre TU Electric tract, South 00 degrees 12 minutes 54 seconds West a distance of 19.90 feet to an angle point bearing North 62 degrees 19 minutes 19 seconds East a distance of 220.87 feet from a 1/2 inch iron pin found in the South R.O.W. line of said Sandy Lake Road for common Northwest corner of Lot 1, Block B of Oakbend Addition as recorded in Volume 91059, Page 1427, O.P.R.,D.Co.,Tx. and Northeast corner of Lot 24, Block B of said Oakbend Addition; THENCE South 48 degrees 38 minutes 53 seconds East a distance of 439.21 feet to an angle point; THENCE South 49 degrees 26 minutes 34 seconds East a distance of 430.81 feet to an angle point bearing North 41 degrees 55 minutes 55 seconds West a distance of 45.81 feet from a 1/2 inch iron pin found in the South R.O.W. line of said Sandy Lake Road for common Northeast corner of Lot 28, Block A of The Woodlands of Coppell as recorded in Volume 95200, Page 2733, O.P.R.,D.Co.,Tx. and Northwest corner of Lot 29, Block A of said Woodlands of Coppell; THENCE South 50 degrees 14 minutes 27 seconds East a distance of 381.00 feet to an angle point bearing South 55 degrees 11 minutes 30 seconds East a distance of 112.88 feet from a 1/2 inch iron pin found in the South R.O.W. line of said Sandy Lake Road for most Northerly corner of Lot 1, Block A of said Woodlands of Coppell; THENCE South 48 degrees 02 minutes 14 seconds East a distance of 412.79 feet to an angle point; Page 1 of 3 Date: 07/02/12 THENCE South 57 degrees 25 minutes 28 seconds East a distance of 345.73 feet to an angle point bearing North 76 degrees 21 minutes 04 seconds East a distance of 25.63 feet from a 5/8 inch iron pin found for interior corner of that certain Tract I conveyed to City of Coppell, Texas by deed recorded in Volume 91203, Page 1489, O.P.R.,D.Co.,Tx. and bearing North 43 degrees 40 minutes 00 seconds West a distance of 141.36 feet from a 5/8 inch iron pin found in the East R.O.W. line of Coppell Road for most Northerly corner of Lot 16, Block D of Forest Cove Phase 1 as recorded in Volume 98032, Page 9, O.P.R.,D.Co.,Tx. and most W esterly Northwest corner of Lot 17 of said Forest Cove Phase 1; THENCE South 85 degrees 07 minutes 31 seconds East a distance of 547.94 feet to an angle point; THENCE North 89 degrees 45 minutes 19 seconds East a distance of 615.16 feet to an angle point bearing North 85 degrees 08 minutes 54 seconds East a distance of 308.60 feet from a 1/2 inch iron pin found for common Northeast corner of Lot 1, Block A of said Forest Cove Phase 1 and Northwest corner of Lot 12, Block A of Forest Cove Phase 2 as recorded in Volume 98032, Page 10, O.P.R.,D.Co.,Tx.; THENCE North 89 degrees 39 minutes 00 seconds East a distance of 960.46 feet to an angle point bearing North 84 degrees 29 minutes 10 seconds East a distance of 59.54 feet from a 1/2 inch iron pin found in the South R.O.W. line of said Sandy Lake Road for common Northeast corner of Lot 2, Block B of Georgian Place as recorded in Volume 99119, Page 1, O.P.R.,D.Co.,Tx. and Northwest corner of Lot 3, Block B of said Georgian Place; THENCE South 89 degrees 16 minutes 40 seconds East a distance of 454.13 feet to an angle point bearing North 21 degrees 10 minutes 34 seconds East a distance of 8.88 feet from a 5/8 inch iron pin found at the intersection of the South R.O.W. line of Sandy Lake Road and West line of that certain 3.0128 acre tract conveyed to General Telephone Company of the Southwest by deed recorded in Volume 82021, Page 1087, O.P.R.,D.Co.,Tx. for Northeast corner of Lot 21, Block A of said Georgian Place; THENCE South 82 degrees 16 minutes 07 seconds East a distance of 559.14 feet to an angle point bearing South 84 degrees 05 minutes 38 seconds East a distance of 203.29 feet from a 5/8 inch iron pin found at the intersection of the South R.O.W. line of Sandy Lake Road, the East line of that certain 2.7614 acre tract conveyed to General Telephone Company of the Southwest by deed recorded in Volume 82021, Page 1087, O.P.R.,D.Co.,Tx. and West line of that certain 12.69 acre tract conveyed to H.T. Ardinger, Jr. by deed recorded in Volume 80024, Page 676, O.P.R.,D.Co.,Tx.; THENCE North 89 degrees 37 minutes 00 seconds East a distance of 509.36 feet to an angle point bearing North 81 degrees 46 minutes 29 seconds West a distance of 88.97 feet from a 5/8 inch iron pin found in the South R.O.W. line of Sandy Lake Road for Page 2 of 3 Date: 07/02/12 common Northeast corner of that certain Lot 2 of Sandy Lake Crossing as recorded in Volume 88037, Page 2602, O.P.R.,D.Co.Tx. and Northwest corner of that certain Lot 3, Block 1 of Sandy Lake Crossing as recorded in Volume 90012, Page 3601, O.P.R.,D.Co.,Tx.; THENCE North 88 degrees 47 minutes 32 seconds East a distance of 641.88 feet to a point (N 7,038,868.11 E 2,430,730.58) for end of herein described centerline, containing 6,375.96 linear feet. PREPARED FROM DEED RECORDS FURNISHED AND A SURVEY MADE ON THE GROUND JUNE, 2012. ISAAC P. GRIER R.P.L.S. 5838 OTE: Bearings, distances, acreages & coordinates are based on NAD 83 Grid, North Central Zone, Texas State Plane Coordinate System. Grid to surface scale factor = 1.00014557 Page 3 of 3 Date: 07/02/12 Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-0998 File ID: Type: Status: 2013-0998 Agenda Item Passed 1Version: Reference: In Control: Administration 04/15/2013File Created: 04/23/2013Final Action: Main Street Phase II Development AgreementFile Name: Title: Discuss and consider approving a Development Agreement and Economic Development Grant between the City of Coppell and CSE Commercial Real Estate, L.P. and authorize the City Manager and Mayor to sign all appropriate and necessary agreements and instruments related thereto. Notes: Agenda Date: 04/23/2013 Agenda Number: 10. Sponsors: Enactment Date: Development Agreement Memo.pdf, Development Agreement.pdf Attachments: Enactment Number: Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 PassApproved04/23/2013City Council Presentation: Mindi Hurley, Economic Development Coordinator, made a presentation to Council. A motion was made by Councilmember Marvin Franklin, seconded by Councilmember Gary Roden, that this Agenda Item be approved. The motion passed by an unanimous vote. Action Text: Councilmember Tim Brancheau, Councilmember Bob Mahalik, Councilmember Gary Roden, Mayor Pro Tem Billy Faught, Councilmember Marvin Franklin, and Councilmember Aaron Duncan 6Aye: Text of Legislative File 2013-0998 Title Discuss and consider approving a Development Agreement and Economic Development Grant between the City of Coppell and CSE Commercial Real Estate, L .P. and authorize the City Manager and Mayor to sign all appropriate and necessary agreements and instruments related thereto. Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-0998) Summary Fiscal Impact: [Enter Fiscal Impact Statement Here] Staff Recommendation: Economic Development recommends approval. Goal Icon: Business Prosperity Special Place to Live Page 2City of Coppell, Texas Printed on 12/28/2017 1 MEMORANDUM To: Mayor and City Council From: Clay Phillips, City Manager Date: April 23, 2013 Reference: Discuss and consider approving a Development Agreement and Economic Development Grant between the City of Coppell and CSE Commercial Real Estate, L.P. and authorize the City Manager and Mayor to sign all appropriate and necessary agreements and instruments related thereto. 2030: Business Prosperity and Special Place to Live Introduction: The City has owned approximately 46.57 acres of land located along S. Coppell Road south of Bethel Road since 1999. The City sold 9.4 acres of that land to Kolberg Development, LLC in 2007 for the development of a special events center, a boutique hotel and a variety of retail and restaurant establishments. Kolberg Development, LLC failed to perform as sp ecified in the Purchase and Sale Agreement; therefore, the City purchased the land back in 2011. Since that time, the land has remained vacant. On March 26, 2013, the City entered into a Letter of Intent with CSE Commercial Real Estate, LP to purchase a portion of that land for the development of approximately 64 single family homes. CSE is working with Darling Homes to develop 2-story Craftsman style homes on the east side of S. Coppell Road in accordance with the design guidelines established for Old Town Coppell. The development of these homes helps to meet the objective of promoting new urban housing with density found in the Vision Coppell 2030 Special Place to Live Strategy. These homes will be zero lot line homes, which was specifically identified as a form of new urban housing. It also helps to increase opportunities for living in Old Town Coppell, which is part of the Business Prosperity Strategy. Ultimately, the construction of 64 new homes will add to the critical mass of residents living in the area to support existing and future retail and restaurant establishments in Old Town Coppell. 2 Analysis: CSE will be purchasing lots in phases over a three year period, but they will need to make public improvements to the entire 7.944 acres in order to serve the 64 lot development. Therefore, the Development Agreement and Economic Development Grant allows CSE to make public improvements that are necessary to serve the lots prior to purchasing the total gross square footage from the City. The Development Agreement and Economic Development Grant also allows the City to sell the land, if necessary, for less than the fair market value. CSE will be purchasing the land for $4.70 per gross square foot for a total purchase price of $1,626,391. Legal Review: Agenda item was reviewed by Bob Hager and Kevin Laughlin. Fiscal Impact: The fiscal impact of this Agenda item is $1,626,391 as the total purchase price for CSE. Per new IRS regulations, a restricted escrow must now be established, rather than designating fund balance. At the point that the escrow has sufficient funds to pay off the bonds, then the bonds must be called and paid off. Recommendation: Economic Development recommends approval. PAGE 1 DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) STATE OF TEXAS COUNTY OF DALLAS § § § § DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P. This Development Agreement (this “Agreement”) is made by and between the City of Coppell, (“City”), a Texas home rule municipality and CSE Commercial Real Estate, L.P., (“Company”) a Texas limited partnership or its permitted assigns, acting by and through their respective authorized officers or partners. WITNESSETH: WHEREAS, City desires that the Project be developed in accordance with the Plan on the Land, which presently is owned by City; and WHEREAS, the City Council has determined that Company has presented the proposal that will be most advantageous to City for development of the Land for the Project; and WHEREAS, Company will develop the Land and purchase the finished Lots in phases in accordance with the Option Agreement; and WHEREAS, Company has advised City that a contributing factor that would induce Company to develop the Land and construct the Project would be an agreement by City to provide an economic development grant to Company to the extent such grant is necessary to purchase Lots pursuant to the Option Agreement in the event the fair market value of the Land, as determined by City, exceeds $4.70 per square foot; and WHEREAS, City has adopted programs for promoting economic development; and WHEREAS, City is authorized by TEX. LOC. GOV’T. CODE § 380.001 to provide economic development grants to promote local economic development and to stimulate business and commercial activity in City’s incorporated limits; and WHEREAS, City has determined that making an economic development grant to the Company in accordance with this Agreement will further the objectives of City, will benefit the City and City’s inhabitants and will promote local economic development and stimulate business and commercial activity in City. WHEREAS, City is authorized by Article 52-a Texas Constitution and TEX. LOC. GOV’T CODE CHAPTER 380 to provide economic development grants to promote local economic development and to stimulate business and commercial activity in the City; and PAGE 2 DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) WHEREAS, City will continue to retain title to the Land while Company constructs or causes the construction of the Public Infrastructure necessary to serve the Lots to be purchased by Company pursuant to the Option Agreement; and WHEREAS, City and Company desire to set forth the terms and conditions pursuant to which the construction of the Public Infrastructure will occur while City retains title to the Land; NOW THEREFORE, in consideration of the foregoing, and other valuable consideration the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: Article I Term The term of this Agreement shall begin on the Effective Date and continue until the Expiration Date, unless sooner terminated as provided herein. Article II Definitions Unless the context clearly indicates a different meaning, the following words and phrases shall have the meanings set forth below: “Allocated Gross Square Feet” shall have the meaning set forth in the Option Agreement. “Business Day” means a day on which banks in Dallas, Texas are generally open for business (but not including Saturdays). “CEDF” means the Coppell Economic Development Foundation, a Texas non-profit corporation. “City” means the City of Coppell, Texas. “City Contract” means that certain Purchase and Sale Agreement by and between City and CEDF relating to the sale by City of the Land to CEDF. “City Council” means the City Council of the City of Coppell, Texas. “Commencement of Construction” means with respect to the Public Infrastructure, that: (i) the plans have been prepared and all approvals thereof required by applicable governmental authorities have been obtained; (ii) all necessary permits for construction pursuant to the respective plans therefore have been issued by all applicable governmental authorities; and (iii) grading of the Land has commenced for the Public Infrastructure. PAGE 3 DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) “Company” means CSE Commercial Real Estate, L.P., a Texas limited partnership, or its permitted assigns. “Completion of Construction” means with respect to the Public Infrastructure that: (i) the Public Infrastructure, or portion thereof, has been substantially completed, and (ii) a certificate of substantial completion has been issued by the general contractor(s) for the work; and (iii) the City has accepted the Public Infrastructure or portion thereof. “Concept Plan” means a preliminary conceptual plan for the development of the Land for the Project as depicted in Exhibit “A” attached hereto and incorporated herein by reference. “Covenants” means the restrictive covenants described in Declaration of Covenants, Conditions and Restrictions for Main Street Coppell dated May 3, 2012, executed by Main Street Coppell, Ltd. and recorded May 4, 2012 as CC No. 201200128399 in the Official Public Records of Dallas County, Texas, as amended and supplemented. “Design Guidelines” means the development guidelines for Old Coppell as approved by City, from time to time, and as reflected in the Concept Plan. “Effective Date” means the date when (a) this Agreement bears the signatures of all of the authorized representatives of the Parties, (b) the Option Agreement is effective, and (c) the City Contract is effective. “Engineering Costs” shall mean all costs of the Engineering Services to be incurred in connection with the design and construction of the Public Infrastructure. “Engineering Services” means the professional engineering and surveying services relating to the design and construction of the Public Infrastructure. “Event of Bankruptcy, Insolvency, or Forfeiture” shall mean the dissolution or termination of a Party’s existence as a going business, insolvency, appointment of receiver for any significant part of such Party’s property and such appointment is not terminated within ninety (90) days after such appointment is initially made, any general assignment for the benefit of creditors, or the commencement of any proceeding under any bankruptcy or insolvency laws by or against such party and such proceeding is not dismissed within ninety (90) days after the filing thereof. An event of forfeiture shall also include the suspension or termination of the right to conduct business in the State of Texas pursuant to applicable provisions of the Texas Business Organizations Code for failure to pay required Impositions or file required reports. “Expiration Date” means the third (3) anniversary of the Final Approval Date, unless sooner terminated as provided herein. PAGE 4 DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) “Final Approval Date” shall have the meaning specified in Section 2.1(c)(2) of the Option Agreement. “Finished Lot” means a developed lot or parcel with frontage on a public street with on- site utilities installed. “Force Majeure” means any contingency or cause beyond the reasonable control of a party including, without limitation, acts of God or the public enemy, war, terrorism, riot, civil commotion, insurrection, criminal acts by unrelated third parties, government or de facto governmental action (unless caused by acts or omissions of the party) adverse weather, fires, explosions or floods, strikes, slowdowns or work stoppages. “Grant” means, with respect to each Lot sold to Company pursuant to the Option Agreement, an economic development grant made by City to Company pursuant to Chapter 380 of the Texas Local Government Code in an amount equal to the product of (1) the difference between $4.70 per Allocated Gross Square Feet of the Subject Lot(s) and the fair market value per Allocated Gross Square Feet of the Subject Lot(s) as determined by an appraisal obtained by City multiplied by (2) the number of Allocated Gross Square Feet of the Subject Lot(s). “Gross Square Feet” shall have the meaning set forth in the Option Agreement. “Impositions” means all taxes, assessments, use and occupancy taxes, charges, excises, license and permit fees, and other charges by public or governmental authority, general and special, ordinary and extraordinary, foreseen and unforeseen, which are or may be assessed, charged, levied, or imposed by any public or governmental authority on Company and/or affecting the Land. “Land” means an approximately 7.944± acre tract of land being all or a portion of Lots 1 through 5, Block A, The Villages of Old Coppell, an addition to the City of Coppell, Texas, according to the plat thereof recorded as Instrument No. 20070444189, Official Public Records, Dallas County, Texas, and a portion of Lot 1, Block A, Grapevine Springs Community Center Addition, an addition to the City of Coppell, Texas, according to the plat thereof recorded as Instrument No. 20080382276, Official Public Records, Dallas County, Texas, subject to final configuration and area to be shown on the City Survey (as defined in Section 3.10(a) of the Option Agreement). “Option Agreement” means that certain agreement between CEDF and Company effective _______________, 2013, granting to Company an option to purchase the Lots. “Option Land” means the real property which includes all of the Lots as shown on the Plat. “Parties” means collectively Company and City. PAGE 5 DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) “Planned Development District Ordinance” means the planned development zoning ordinance governing the development of the Land to be adopted by City during the Inspection Period as provided in the Option Agreement. “Plan” means the development plan for the Project to be agreed upon between City and Company during the Inspection Period as provided in Section 2.1(c)(2) of the Option Agreement, which shall incorporate the development and use standards substantially consistent with the numbers and sizes of lots and residential product mix set forth in the Concept Plan. “Plat” means the final plat of the Land for the Project to be approved by City during the Inspection Period as provided in Section 2.1(c)(2) of the Option Agreement. “Project” means a residential development to be constructed on the Land in accordance with the Plan. “Public Infrastructure” means and refers to all public rights of way, including streets and alleys; water, storm water and sanitary sewer in the public right-of-way in suitable capacities for the completion of the Project; public fire hydrants; all street or pedestrian lighting in or adjacent to the public right-of-way; open space or park areas as shown on the Plat; and the initial Storm Water Pollution Prevention Plan and implementation. “Related Agreements” means the Option Agreement, the Temporary Construction Easement Agreement, the Covenants and any other appropriate agreement(s) related to the Project. “Subject Lot” shall have the meaning set forth in the Option Agreement. “Substantially Complete” or “Substantial Completion” mean that stage by which the construction of the respective improvements and/or infrastructure or the designated portion thereof, is sufficiently complete in accordance with the respective plans that City and/or Company, as applicable, can occupy and/or enjoy the beneficial use of the respective improvements or designated portion thereof, for its intended purpose, exclusive of punch list items even though minor miscellaneous beyond punch list work and/or adjustment may be required. “Temporary Construction Easement Agreement” means the agreement substantially in the form set forth in Exhibit “B”, hereto, setting forth the terms and conditions relating to the use of all or the portions of the Land still owned by City for the construction of the Public Infrastructure and/or construction of private improvements to be constructed on Lots sold to Company pursuant to the Option Agreement. PAGE 6 DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) Article III Design and Construction of the Public Infrastructure 3.1 Company to Design and Construct. Company agrees, at its sole cost and expense (subject to Section 3.11, below) to design and construct, or cause the design and construction of, the Public Infrastructure on the Land in accordance with the Plan. Company shall cause all necessary permits and approvals required by City and any applicable governmental authorities to be issued for the construction of the Public Infrastructure. Company shall, at its cost be responsible for the design, inspection and supervision of the construction of the Project and the Public Infrastructure. 3.2 Compliance with Laws. Company shall comply with all local and state laws and regulations regarding the design and construction of the Project and the Public Infrastructure applicable to similar facilities constructed by City, including, but not limited to, any applicable requirement relating to payment, performance and maintenance bonds. Upon Completion of Construction of the Public Infrastructure, Company shall provide City with a final cost summary of all costs associated with the construction of the Public Infrastructure, and provide proof that all amounts owing to contractors and subcontractors have been paid in full evidenced by the customary affidavits executed by Company and/or its contractors. 3.3 Payment and Performance Bonds. In connection with the construction of the Public Infrastructure, Company shall : (a) Furnish to City a performance bond in a form reasonably satisfactory to City for the construction of the Public Infrastructure to ensure completion thereof in accordance with Chapter 2253, Texas Government Code, as amended and Texas Local Government Code §212.073; and (b) Must require its contractor to furnish a payment bond in a form reasonably acceptable to City which complies with Chapter 53, Subchapter I, Texas Property Code, as amended, which payment bond shall show City and Company both as “owners” and be in an amount not less than the amount of the contract for the construction of the Public Infrastructure. 3.4 Construction Meetings. Company agrees to meet with City representatives at least once per month to jointly review the progress of construction and to discuss any other matters pertaining to the construction of the Public Infrastructure, or portion thereof. Company will cause minutes of these meetings to be prepared and provided to City. Company will otherwise keep City reasonably informed as to the progress of the Public Infrastructure, or portion thereof and agrees to meet with City upon request to discuss the same. Furthermore, Company will allow City’s inspector to inspect the Public Infrastructure, or portion thereof at any time during business hours. PAGE 7 DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) 3.5 Warranties. Company agrees, as a part of the costs of construction, to obtain and assign to City warranties from Company’s contractors, subcontractors and suppliers providing labor and/or materials in connection with the Public Infrastructure, or portion thereof; provided that such assignment shall not prevent Company from enforcing the same. Such warranties shall: (a) be at least standard industry warranties from generally recognized contractors, subcontractors and suppliers with respect to the Public Infrastructure, or portion thereof; and (b) obligate Company’s contractors, subcontractors and suppliers to repair all defects in the applicable portion of the Public Infrastructure, or portion thereof, for a period of two (2) years following Completion of Construction in conformance with City’s Code of Ordinances §13-1-14.B.. 3.6 Casualty. Risk of loss due to casualty shall be borne by Company until Completion of Construction of the Public Infrastructure, or portion thereof, at which time said risk of loss due to Casualty shall be borne by City. Notwithstanding the foregoing, City shall reimburse the Company for the amount of any deductible under applicable insurance policies and uninsured theft and casualty losses (so long as Company maintains the insurance coverage required under this Agreement). Company shall carry or cause to be carried insurance in amounts sufficient to restore any of the Public Infrastructure, or portion thereof, damaged by Casualty to substantially the same condition they were in immediately prior to such Casualty, subject to industry standard deductibles. Company will in any event restore any of the Public Infrastructure, or portion thereof, damaged or destroyed by Casualty as part of its obligation to construct the Improvements, subject to the reimbursement obligations of City specified in this Subsection (f). 3.7 NCTCOG Standards. Except as otherwise provided in this Agreement, the design and construction of the Public Infrastructure shall be in accordance with the Standard Specifications for Public Works Constructions published by the North Central Texas Council of Governments, as amended, and as modified by City, and to the extent applicable are hereby incorporated by reference. 3.8 Project Construction Timing. Subject to events of Force Majeure and the issuance by City of required permits, Company agrees to: (a) cause the Commencement of Construction of the Public Infrastructure to occur not later than 180 days after the Final Approval Date; and (b) cause Completion of Construction of the Public Infrastructure to occur not later than 270 days after Commencement of Construction. 3.9 Withholding of Certificate of Occupancy. Company understands, acknowledges, and agrees that City may withhold issuance of a building permit for any building to be constructed on any Lot until the Public Infrastructure has been completed and accepted by City. In the event Company, or any successor in title to Company with respect to any Lot, desires to obtain a building permit for a building constructed on the Lot prior to completion and acceptance of the Public PAGE 8 DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) Infrastructure, City may, at its sole option, release a portion of the Land for construction of buildings subject to the provisions of §13-1-16 of City’s Code of Ordinances. 3.10 Failure to Exercise All Options – No Refund. City shall have no obligation to reimburse Company for any costs relating to the design and/or construction of the Public Infrastructure in the event Company fails to exercise all options to purchase all Lots as provided in the Option Agreement. 3.11 City Participation in Public Infrastructure. City agrees to participate in the cost of the Public Infrastructure in an amount not to exceed One and No/100 Dollars ($1.00), which amount shall in no case exceed 30% of the total contract price relating to construction of the Public Infrastructure. City’s payment of participation in the cost of the Public Infrastructure shall be credited against the Purchase Price at the time of the first Closing on the purchase of Lots pursuant to the Option Agreement. Article IV Other Company Obligations 4.1 Development of Option Land. Company shall develop the Option Land in accordance with the provisions of the Concept Plan, Planned Development District Ordinance, the Covenants, the Old Coppell Design Guidelines, and other applicable land use and development ordinances and regulations of the City. 4.2 Platting. Company shall, at Company’s sole cost, submit an application for the Plat not later than [60] days after the Effective Date of the Option Agreement and diligently pursue approval of the Plat so that approval is obtained prior to the end of the Inspection Period as set forth in the Option Agreement. City agrees to reasonably cooperate with respect to signing any applications as owner of the Land and to timely review all submittals. 4.3 Property Owners Association. Company shall be responsible for establishing a property owners association to provide for the maintenance of the common areas within the Project consistent with the Covenants. The property owner association documents shall be submitted to the City Attorney for review and approval prior to the approval of the Plat, and the Covenants shall be file of record concurrently with the closing of the purchase of the first Subject Lot(s) pursuant to the Option Agreement. Notwithstanding the foregoing, it shall not be necessary to establish a separate property owners association pursuant to this Section 4.4 if the Covenants are supplemented and/or amended in such a manner as to subject the Lots purchased by Company to the Covenants and the common areas of the Project subject to the authority and responsibility of the Main Street Coppell Property Owners Association, Inc. as provided in the Covenants; provided such supplement and/or amendment have been approved by the City Attorney. 4.4 Residential Lot Development. Company shall cause all residential lots and structures to be designed and constructed with noise mitigation features as reasonably determined PAGE 9 DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) by Company and approved by City; provided, however, noise mitigation features which are equal to or more stringent than those previously approved by City for residences constructed on lots in the Old Town Coppell Addition shall be deemed to be accepted by City. Company shall cause all purchasers, tenants and occupants of the Option Land and buildings/improvements thereon to be notified in writing of the noise conditions existing on the Option Land and of the existence of any noise conditions prior to occupancy. In addition to such other notes that may be required by City ordinance, every plat or replat of all or any portion of the Option Land shall include a note that reads substantially as follows: NOTICE: The property described in this plat is located within close proximity to the flight approach and departure paths of Dallas-Fort Worth International Airport and the City of Coppell Service Center. Consequently, the property described in this plat may be subject to increased noise levels resulting from activities occurring on the adjacent City-owned property or from aircraft operations occurring above or in close proximity to the property. 4.5 Insurance. On or before Commencement of Construction of the Public Infrastructure, and until later of (i) the termination or expiration of the Temporary Construction Easement or (ii) the closing of the last sale of all Lots by City pursuant to the Option Agreement, Company shall, at Company’s expense, obtain and maintain the following insurance policies in accordance with the following terms and conditions: (a) A Comprehensive General Liability policy of insurance for bodily injury, death and property damage insuring against all claims, demands or actions relating to the Company’s performance of its obligations pursuant to this Agreement with a minimum combined single limit of not less than $1,000,000 per occurrence for bodily injury and property damage with an aggregate of not less than $2,000,000; (b) An automobile liability insurance policy covering any vehicles owned and/or operated by Company, its officers, agents, and employees, and used in the performance of its obligations hereunder with a minimum of $1,000,000; and (c) If Company hires any employees, statutory Worker’s Compensation Insurance covering all employees involved in the performance of its obligations hereunder; (d) Insurance covering the Public Infrastructure until accepted by City against loss or damage from perils covered by an all risk or special form policy in amounts not less than eighty (80%) percent of the full insurable value of the buildings and other improvements included in the Public Infrastructure; and (e) Construction liability insurance at all times when demolition, excavation, or construction work is in progress on the Land with limits of not less than $100,000 for PAGE 10 DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) property damage and $300,000 for one person and $1,000,000 for one accident for personal injury and must protect City and Company, against all liability for injury or damage to any person or property in any way arising out of demolition, excavation, or construction work on the Land. All insurance shall be endorsed to provide the following provisions: (1) name the City, its officers, agents and employees as additional insureds as to all applicable coverage with the exception of Workers Compensation Insurance; (2) provide for at least thirty (30) days prior written notice to City for cancellation, non-renewal, or material change of the insurance; (3) provide for a waiver of subrogation against City for injuries, including death, property damage, or any other loss to the extent the same is covered by the proceeds of insurance. All insurance companies providing the required insurance shall be authorized to transact business in Texas and rated at least “A” by AM Best or other equivalent rating service. A certificate of insurance evidencing the required insurance with endorsements shall be submitted to City prior to Commencement of Construction the Public Infrastructure. 4.6 Contractor Insurance. Without limiting any of the other obligations or liabilities of Company, Company shall require its general contractors, at the general contractor's own expense, to maintain during the term of this Agreement, the above-required insurance including the required certificate and policy conditions as stated herein, while performing any work on the Land prior to its sale by City. Article V Grant Pursuant to the City Contract, in the event City determines that the fair market value of one or more Lots to be purchased by Company pursuant to the Option Agreement is greater than $4.70 per Allocated Gross Square Foot, City agrees to make a Grant to Company with respect to said purchase, the payment of which shall be made by City to CEDF on behalf of Company and which shall constitute part of the Purchase Price (as defined in the Option Agreement) for the Lot(s) being purchased. At no time shall Company be entitled to receive a direct payment of a Grant. Article VI Temporary Construction Easement Agreement Not later than three (3) Business Days following the payment in full by Company of the Option Fee (including the portion of the Option Fee payable pursuant to Section 2.1(c) of the Option Agreement), City and Company agree to execute and record the Temporary Construction Easement Agreement. PAGE 11 DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) Article VII Termination 7.1 Termination. This Agreement shall terminate upon the occurrence of any one or more of the following: (a) The execution by the Parties of a written agreement terminating this Agreement; (b) The occurrence of the Expiration Date; (c) Thirty (30) days after written notice is delivered by one Party to the other Party alleging a breach of the terms or conditions of this Agreement by the Party receiving the notice if such breach is not cured within said thirty (30) day period; provided, however, such period shall be extended for an additional thirty (30) days so long as the defaulting Party commences the cure of such breach within the initial 30-day period and thereafter diligently pursues the completion of such curative action; or (d) Upon notice the date of termination provided in a notice by City to Company, if Company suffers an Event of Bankruptcy, Insolvency, or Forfeiture; provided, however, if the event constitutes an Event of Bankruptcy, in no case shall the Agreement terminate if such termination would violate any applicable provisions of Federal Bankruptcy laws; (e) Upon the date of termination provided in a notice by City to Company if any Imposition owed to City or the State of Texas by Company shall become delinquent and such delinquent Imposition is not paid within thirty (30) days after written notice thereof; provided, however, Company retains the right to timely and properly protest and contest any such Imposition, and the payment of such Imposition shall not be deemed delinquent until the deadline for payment of such Imposition is required following the final determination of Company’s challenge to same; (f) Upon the date any subsequent Federal or State legislation or any decision by a court of competent jurisdiction declares or renders this Agreement invalid, illegal or unenforceable; provided, however, this paragraph shall be subject to severance pursuant to Section 8.9, below; or (g) upon termination of the Option Agreement if Company fails to exercise the Option to purchase the initial set of Subject Lots and close on the purchase of said Subject Lots within the time required by Section 3.5(a) of the Option Agreement. 7.2 City Rights Upon Termination. In the event the Agreement is terminated by City pursuant to Section 7.1(d), (e), (f), or (g), City shall be relieved of any further obligations PAGE 12 DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) under this Agreement. In the event this Agreement is terminated by City pursuant to Section 7.1(c), City may seek specific performance and/or actual damages incurred as a result of such uncured default by Company; provided, however, notwithstanding anything contained herein to the contrary, the obligations of Company contained in Section 3.1 of this Agreement shall be personal to Company and any assignee entity controlled by Charles Cotten and those parties shall be the only parties against which City may seek specific performance and/or actual damages for a breach thereof. If Company defaults pursuant to Section 3.8(a) and fails to cure such default within the time period provided herein, the sole remedy of City shall be the termination of this Agreement and pursuit of the remedies provided in the Option Agreement. 7.3 Company Rights Upon Termination. In the event this Agreement is terminated by Company pursuant to Section 8.1(c), Company may seek specific performance and/or actual damages incurred as a result of such uncured default by City. 7.4 Right of Offset. City may, at its option, following a default by Company which is not cured within any applicable cure period, offset any amounts due and payable under this Agreement against any debt (including Impositions) lawfully due to City from Company, regardless of whether the amount due arises pursuant to the terms of this Agreement or otherwise and regardless of whether or not the debt due City has been reduced to judgment by a court. Article VIII Miscellaneous 8.1 Binding Agreement; Assignment. The terms and conditions of this Agreement are binding upon the successors and permitted assigns of the Parties. This Agreement may not be assigned without the prior written consent of the City Manager; provided, however, Company may, without City Manager approval, upon thirty (30) days prior written notice to City, assign this Agreement to an entity controlled by Charles Cotten or to Darling Homes of Dallas, Ltd. or an affiliate thereof (“Darling”) if the new entity or Darling, as the case may be, agrees in writing to assume all rights and obligations of Company under this Agreement. In addition, this Agreement may be collaterally assigned by Company (or any permitted assignee) to a financial institution providing financing to Company (or any permitted assignee) for the purchase and/or development of the Project. 8.2 Limitation on Liability. It is understood and agreed among the parties that Company and City, in satisfying the conditions of this Agreement, have acted independently, and assume no responsibilities or liabilities to third parties in connection with these actions. 8.3 No Joint Venture. It is acknowledged and agreed by the parties that the terms hereof are not intended to and shall not be deemed to create a partnership or joint venture among the parties. 8.4 Authorization. Each Party represents that it has full capacity and authority to grant all rights and assume all obligations that are granted and assumed under this Agreement. PAGE 13 DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) 8.5 Notice. Any notice required or permitted to be delivered hereunder shall be deemed received (i) three (3) days after deposit into the United States Mail, postage prepaid, certified mail, return receipt requested, addressed to the party at the address set forth below or (ii) on the day actually received if sent by courier or otherwise hand delivered. If intended for City, to: Attn: City Manager City of Coppell, Texas P.O. Box 478 Coppell, Texas 75019 With a copy to: Robert E. Hager Nichols, Jackson, Dillard, Hager & Smith, L.L.P. 500 North Akard, Suite 1800 Dallas, Texas 75201 If intended for Company, to: CSE Commercial Real Estate, L.P. 4956 N. O'Connor Blvd. Irving, Texas 75062 Attn: Charles Cotten With a copy to: Jeffrey Fink Apple & Fink, LLP 735 Plaza Boulevard, Suite 200 Coppell, Texas 75019 Any party shall have the right to change its address for notice by sending notice of change of address to each other party, in the manner described above. 8.6 Entire Agreement. This Agreement is the entire agreement between the Parties with respect to the subject matter covered in this Agreement. There is no other collateral oral or written Agreement among the parties that in any manner relates to the subject matter of this Agreement, except as provided or referred to in this Agreement (including the Related Agreements) or as provided in any Exhibits attached hereto. PAGE 14 DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) 8.7 Governing Law. This Agreement shall be governed by the laws of the State of Texas; and venue for any action concerning this Agreement shall be in the State District Court of Dallas County, Texas. The Parties agree to submit to the personal and subject matter jurisdiction of said court. 8.8 Amendment. This Agreement may only be amended by a written agreement executed by all Parties. 8.9 Legal Construction. In the event any one or more of the provisions contained in this Agreement shall for any reason be held to be invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect other provisions, and it is the intention of the Parties that in lieu of each provision that is found to be illegal, invalid, or unenforceable, a provision shall be added to this Agreement which is legal, valid and enforceable and is as similar in terms as possible to the provision found to be illegal, invalid or unenforceable. 8.10 Recitals. The recitals to this Agreement are incorporated herein. 8.11 Counterparts. This Agreement may be executed in counterparts. Each of the counterparts shall be deemed an original instrument, but all of the counterparts shall constitute one and the same instrument. 8.12 Exhibits. The exhibits to this Agreement are incorporated herein by reference for all purposes wherever reference is made to the same. 8.13 Survival of Covenants. Any of the representations, warranties, covenants, and obligations of the parties, as well as any rights and benefits of the parties, pertaining to a period of time following the termination of this Agreement shall survive termination. 8.14 Indemnification by Company. CITY SHALL NOT BE LIABLE OR RESPONSIBLE FOR, AND SHALL BE INDEMNIFIED, DEFENDED, HELD HARMLESS AND RELEASED BY COMPANY FROM AND AGAINST ANY AND ALL SUITS, ACTIONS, LOSSES, DAMAGES, CLAIMS, OR LIABILITY OF ANY CHARACTER, TYPE, OR DESCRIPTION, INCLUDING ALL REASONABLE EXPENSES OF LITIGATION, COURT COSTS, AND ATTORNEY'S FEES FOR INJURY OR DEATH TO ANY PERSON, OR INJURY OR LOSS TO ANY PROPERTY, RECEIVED OR SUSTAINED BY ANY PERSON OR PERSONS, INCLUDING COMPANY, OR PROPERTY, ARISING OUT OF, OR OCCASIONED BY THE PERFORMANCE OF COMPANY UNDER THIS AGREEMENT. THE PROVISIONS OF THIS INDEMNIFICATION ARE SOLELY FOR THE BENEFIT OF THE PARTIES HERETO AND NOT INTENDED TO CREATE OR GRANT ANY RIGHTS, CONTRACTUAL OR OTHERWISE, TO ANY OTHER PERSON OR ENTITY. IT IS THE EXPRESSED INTENT OF THE PARTIES TO THIS AGREEMENT THAT THE INDEMNITY PROVIDED FOR IN THIS AGREEMENT IS AN INDEMNITY EXTENDED BY COMPANY TO INDEMNIFY AND PROTECT CITY FROM THE CONSEQUENCES OF COMPANY’S NEGLIGENCE, WHETHER SUCH NEGLIGENCE IS THE SOLE OR PARTIAL CAUSE OF PAGE 15 DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) ANY SUCH INJURY, DEATH, OR DAMAGE. NOTWITHSTANDING ANYTHING CONTAINED HEREIN TO THE CONTRARY, COMPANY SHALL NOT DEFEND, INDEMNIFY OR HOLD CITY HARMLESS FROM AND AGAINST ANY CLAIMS ARISING OUT OF, OR OCCASIONED BY THE GROSS NEGLIGENCE OR WILLFUL MISCONDUCT OF CITY OR RELATED TO ANY EMINENT DOMAIN PROCEEDINGS (OR PROPERTY ACQUISITIONS IN LIEU THEREOF) RELATED TO THE PROJECT. 8.15 Approvals. Whenever an approval or consent is required by a Party under the terms of this Agreement, such approval or consent shall not be unreasonably withheld, delayed or conditioned. 8.16 Current Revenue. Under no circumstances shall City’s obligations hereunder be deemed to create any debt within the meaning of any constitutional or statutory provision. Further, City shall not be obligated to pay any commercial bank, lender or similar institution for any loan or credit agreement made by Company and/or Company. 8.17 Condition Precedent. (a) This Agreement shall not be effective and is subject to and conditioned upon the following conditions having occurred: (i) Company and CEDF having entered into the Option Agreement; (ii) Company having submitted an application for zoning change for the Planned Development District Ordinance; (iii) City having adopted the Planned Development District Ordinance with no changes or conditions to the application not approved by Company; and (iv) City shall have caused a final plat of the Land to be approved in accordance with City’s applicable subdivision ordinances and regulations. (b) If Company terminates this Agreement due to the failure of the conditions described in clauses (a) (iii) or (iv) above, City shall reimburse Company for all Option Fee payments made under the Option Agreement. 8.18 Employment of Undocumented Workers. During the term of this Agreement, Company agrees not to knowingly employ any undocumented workers and, if convicted of a violation under 8 U.S.C. Section 1324a (f), Company shall repay the amount of the any grants and any other funds received by the Company from the City as of the date of such violation within 120 days after the date Company is notified by City of such violation, plus interest at the rate periodically announced by the Wall Street Journal as the prime or base commercial lending rate, or if the Wall Street Journal shall ever cease to exist or cease to announce a prime or base lending rate, then at the annual rate of interest from time to time announced by Citibank, N.A. (or by any other New York money center bank selected by City) as its prime or base commercial lending rate, from the date of such notice until paid. 8.19 Attorneys Fees. If it becomes necessary for either party hereto to file a suit to enforce this Agreement or any provisions contained herein, the Prevailing Party in such action is entitled to recover, in addition to all other remedies or damages, reasonable legal fees and court PAGE 16 DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) costs incurred by the Prevailing Party in such suit. The term “Prevailing Party” means the Party whose relief in an action is closest to the relief sought in the initial pleading in such proceeding (whether by way of affirmative recovery or defense of claim). (Signatures on Following Page) PAGE 17 DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) SIGNED AND AGREED this the ___ day of _________________, 2013. CITY OF COPPELL, a Texas home rule municipality By:_________________________________ Karen Selbo Hunt, Mayor Attest: By: Christel Pettinos, City Secretary Agreed as to Form: By:__________________________ City Attorney SIGNED AND AGREED this the ____ day of _________________, 2013. CSE COMMERCIAL REAL ESTATE, L.P., a Texas Limited Partnership By: Debco Partners, L.L.C., a Texas limited liability company, its general partner By:______________________________ Charles Cotten, Member PAGE 1 EXHIBIT “A” TO DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) Exhibit “A” Concept Plan PAGE 1 EXHIBIT “B” TO DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) Exhibit “B” Form of Temporary Construction Easement Agreement NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU ARE A NATURAL PERSON, YOU MAY REMOVE OR STRIKE ANY OR ALL OF THE FOLLOWING INFORMATION FROM ANY INSTRUMENT THAT TRANSFERS AN INTEREST IN REAL PROPERTY BEFORE IT IS FILED FOR RECORD IN THE PUBLIC RECORDS: YOUR SOCIAL SECURITY NUMBER OR YOUR DRIVER'S LICENSE NUMBER TEMPORARY CONSTRUCTION EASEMENT AGREEMENT STATE OF TEXAS § § KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS § This TEMPORARY CONSTRUCTION EASEMENT AGREEMENT (this “Agreement”) is made and executed as of the _____ day of ____________________, 20__, (the “Effective Date”), by and between CITY OF COPPELL, TEXAS, a Texas home rule municipality (“Grantor”), whose mailing address is P.O. Box 9478, Coppell, Dallas County, Texas 75019, and CSE COMMERCIAL REAL ESTATE, L.P., a Texas limited partnership (“CSE”) and its permitted successors and assigns (collectively, “Grantee”), whose mailing address is 4956 N. O’Connor Road, Irving, Dallas County, Texas, 75062. Preliminary Statements Grantor and Grantee agree that the following preliminary statements are true and correct in all material respects and incorporated into this Agreement: A. Capitalized terms used herein which are not otherwise defined shall have the meaning set forth in the Option Agreement (as defined below). B. Grantor owns that certain tract of real property situated in the City of Coppell, Dallas County, Texas, more particularly described on Exhibit “A” attached and incorporated into this Agreement (the “Land”). C CEDF and Grantee have entered into that certain Option Agreement dated _____________, 2013 (as amended, the “Option Agreement”) granting Grantee an option to purchase the Lots (the “Option Land”). D. Grantor and CEDF have entered into that certain Purchase and Sale Agreement dated _____________, 2013 (“the City/CEDF” Agreement”) by which Grantor has agreed to sell the Option Land to CEDF on or before the date that Grantee purchases the Option Land from Grantor. E. Grantee has agreed to construct the Project upon the Land. PAGE 2 EXHIBIT “B” TO DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) F. In order to facilitate the timely construction of the Project, Grantee has requested a temporary construction easement over the Land for the purpose of installing the Public Infrastructure and the improvements that will comprise the Project prior to conveyance of title to the Option Land to CEDF or Grantee. G. Grantor has agreed to grant a temporary construction easement to Grantee to facilitate the construction of the Public Infrastructure and the improvements which will comprise the Project, on the terms and conditions set forth below. Agreement NOW, THEREFORE, in consideration of the mutual agreements set forth herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 1. Grant of Temporary Easement for Construction. Subject to the terms and provisions contained in this Agreement, Grantor hereby grants to Grantee for use by Grantee and all future owners of all or any portion of the Option Land, and all contractors and subcontractors of Grantee and future owners of all or any portion of the Option Land (collectively, the “Beneficiaries”), a non-exclusive temporary easement (the “Construction Easement”) on, over and across the Land for the purpose of permitting the Beneficiaries to construct the Public Infrastructure and the improvements which will comprise the Project. Upon Substantial Completion of the Public Infrastructure, Grantor shall inspect the same and shall, subject to the completion of all identified punch list items, assignment of customary Grantor warranty and bonding requirements, and compliance with all of Grantor’s applicable ordinances and construction standards and specifications, accept the same as public property to be maintained and repaired by Grantor. 2. Restriction on Use of Land. Use of the Land by the Beneficiaries shall be subject to the following restrictions: (a) The Land shall not be used by any Beneficiary for the storage of materials, supplies or equipment for a period of longer than twelve (12) months without the prior written consent of Grantor. (b) All materials, supplies or equipment stored upon the Land shall be at the sole risk and expense of the owner or lessee of such materials, supplies or equipment, and Grantor shall have no responsibility or liability whatsoever for any damage to or theft of such items. (c) No improvements of any nature, including temporary fencing or latrines, shall be placed or constructed upon the Land without the prior written consent of Grantor. (d) Except when authorized by Grantor’s ordinances or as otherwise authorized in PAGE 3 EXHIBIT “B” TO DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) writing by Grantor, no storage of materials, supplies, or equipment shall occur within any area of the Land which has been dedicated, conveyed, or otherwise reserved by plat or separate instrument as a public road or street, public utility (including, water, sanitary sewer, storm sewer, gas, or telecommunications) easement, or drainage easement on, under, and/or over which is located any portion of the Public Infrastructure which has been completed and accepted as public property by Grantor. 3. Reservation of Grantor’s Rights. Grantor reserves the right to use the Land for any purpose not inconsistent with the uses for which the grant of the Construction Easement is made, including, without limitation, the granting of easements for public streets, utilities. or drainage as contemplated by the Plan. 4. Duration of Easement. This Agreement and all rights associated therewith shall be temporary and terminate upon the earlier of (i) the mutual agreement of the parties (as provided in Section 9, below), (ii) the termination of the Option Agreement, and (iii) 20 years following the date of recordation of this Agreement. This Agreement shall also terminate as to those portions of the Land conveyed to Grantee pursuant to the Option Agreement after the Effective Date. Upon the termination of this Agreement as to the entire Land, Grantee and Grantor shall execute and record in the Official Public Records of Dallas County, Texas, a release of this Agreement. 5. Hazardous Materials: Grantee shall not cause or allow any Hazardous Material to be placed, stored, generated, used, released or disposed of, in, on, under, about, or transported from the Land unless Grantee has complied with the following: (a) Grantee must obtain Grantor’s prior express written consent. Grantor may impose, as a condition of such consent, reasonable requirements, such as limits of the manner, time and contractor’s associated with such. (b) Grantee shall comply with prudent business practices and also with all applicable federal, state and local laws, ordinances, regulations, guidelines and order relating to health, safety and protection of persons, the public, and/or the environment. (c) Grantee shall limit the presence of such Hazardous Material to the least amount reasonably necessary for Grantee’s use of the Land as authorized by this Agreement. (d) Upon the request of Grantor, Grantee shall furnish reports, assessments or other evidence reasonably satisfactory to Grantor showing that the Land is not being used, nor have the Land been used by Grantee for any activities involving, directly or indirectly, the use, generation, treatment, storage or disposal of any Hazardous Materials other that those Hazardous Materials authorized by Grantor. PAGE 4 EXHIBIT “B” TO DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) (e) If at any time a release or danger of a release of Hazardous Materials is discovered on the Land or on or into Grantor’s sewage or storm drainage system, soil, air, groundwater or any improvements, which was caused or permitted by Grantee or Grantee’s officers, agents, employees, contractors, permittees, invitees, lessees or sublessees or there is the imminent danger of such release of Hazardous Materials, Grantee, at its sole cost and expense, shall ensure removal of such Hazardous Materials from the Land, the underlying groundwater, Grantor’s soil, air, storm drainage and the sewage system, in accordance with requirements of all appropriate governmental authorities. (f) In addition to notification of proper governmental authorities, Grantee shall immediately notify Grantor’s City Manager of any release of Hazardous Materials that exceeds the minimum amount that must be reported to a public agency. (g) Upon discovery of any Hazardous Materials that are a direct result of Grantee’s activities on, in, under or emanating from the Land, any release or threat of release of a Hazardous Materials, and/or any illness caused by exposure thereto, Grantee shall immediately, and at its sole cost and expense, take all actions necessary to remediate, abate, and/or rectify any such conditions at or upon the Land; provided, however, Grantee shall have no liability for pre-existing or subsequently discovered Hazardous Materials. For purposes of this paragraph, anything that is considered to be “pre-existing” means anything that existed on the Land prior to Grantee coming into possession of the Land pursuant to this Agreement. (h) In addition to all other rights and remedies of Grantor, if the removal of such Hazardous Materials from the Land, Grantor’s sewage or storm drainage system, soil, air, groundwater, or any improvements is not commenced by Grantee within thirty (30) days after written notice from Grantor of the discovery of such Hazardous Materials and continuously pursued using commercially accepted methods and in accordance with standards promulgated by the State of Texas or the United States Environmental Protection Agency (“EPA”), Grantor, in its discretion, may pay to have same removed and Grantee shall reimburse Grantor within thirty (30) days of Grantor’s demand for payment. If Grantor is required to remediate and/or abate any such conditions caused by Grantee on or upon the Land, Grantee shall reimburse Grantor for all costs and expenses incurred in so doing. In its sole discretion, Grantor may, but shall not be required to, grant Grantee more than fifteen (15) days after written notice to remove Hazardous Materials, all at Grantee’s expense. (i) Immediately upon receipt thereof, Grantee shall provide Grantor with copies of any notices, claims, complaints, demands, lawsuits, hearing, investigations, or governmental requests for information relating to the environmental condition on or of the Land and/or Hazardous Materials on, in, under or emanating from the Land during Grantee’s occupancy thereof pursuant to this Agreement. PAGE 5 EXHIBIT “B” TO DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) 6. Insurance. On or before the commencement of construction of the Public Infrastructure, and until the termination or expiration of this Agreement, Grantee shall, at Grantee’s expense, obtain and maintain the following insurance policies in accordance with the following terms and conditions: (a) A Comprehensive General Liability policy of insurance for bodily injury, death and property damage insuring against all claims, demands or actions relating to the Company’s performance of its obligations pursuant to this Agreement with a minimum combined single limit of not less than $1,000,000 per occurrence for bodily injury and property damage with an aggregate of not less than $2,000,000; (b) An automobile liability insurance policy covering any vehicles owned and/or operated by Company, its officers, agents, and employees, and used in the performance of its obligations hereunder with a minimum of $1,000,000; and (c) If Company hires any employees, statutory Worker’s Compensation Insurance covering all employees involved in the performance of its obligations hereunder; (d) Insurance covering the Public Infrastructure until accepted by Grantor against loss or damage from perils covered by an all risk or special form policy in amounts not less than eighty (80%) percent of the full insurable value of the buildings and other improvements included in the Public Infrastructure; and (e) Construction liability insurance at all times when demolition, excavation, or construction work is in progress on the Land with limits of not less than $100,000 for property damage and $300,000 for one person and $1,000,000 for one accident for personal injury and must protect City and Company, against all liability for injury or damage to any person or property in any way arising out of demolition, excavation, or construction work on the Land. All insurance shall be endorsed to provide the following provisions: (1) name the City, its officers, agents and employees as additional insureds as to all applicable coverage with the exception of Workers Compensation Insurance; (2) provide for at least thirty (30) days prior written notice to City for cancellation, non-renewal, or material change of the insurance; (3) provide for a waiver of subrogation against City for injuries, including death, property damage, or any other loss to the extent the same is covered by the proceeds of insurance. All insurance companies providing the required insurance shall be authorized to transact business in Texas and rated at least “A” by AM Best or other equivalent rating service. A certificate of insurance evidencing the required insurance with endorsements shall be submitted to City prior to Commencement of Construction of the Public Infrastructure. Without limiting any of the other obligations or liabilities of Grantee, Grantee shall require its general contractors, at the general contractor's own expense, to maintain during the term of this Agreement, the above-required PAGE 6 EXHIBIT “B” TO DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) insurance (including the required certificate and policy conditions as stated herein) for so long as such contractor is performing work on the Land. 7. Release. The Beneficiaries hereby release Grantor, its successors and assigns, and their respective agents, officers, employees, lessees, tenants, subtenants, licensees and invitees (collectively, the “Protected Parties”) from damage to property or injuries, including loss of life, sustained by any person or persons caused by or arising out of the use of the Land or the Construction Easement by the Beneficiaries. In addition, Grantee agrees to obtain waivers of subrogation rights by Grantee’s insurer against the Protected Parties pursuant to the insurance required to be obtained by Grantee pursuant to Section 5 above. GRANTOR AND GRANTEE INTEND FOR THE RELEASE AND WAIVER SET FORTH IN THIS SECTION 6 TO APPLY EVEN IF THE LOSS OR DAMAGE DESCRIBED IN SUCH SECTION IS CAUSED BY THE NEGLIGENCE OF THE PROTECTED PARTIES AND EVEN IF THE PROTECTED PARTIES WOULD OTHERWISE BE STRICTLY LIABLE FOR SUCH LOSS OR DAMAGE UNDER APPLICABLE LAW. 8. Indemnification. GRANTEE SHALL INDEMNIFY, DEFEND, AND HOLD GRANTOR FOREVER HARMLESS AGAINST AND FROM ANY PENALTY, OR ANY DAMAGE, OR CHARGE, IMPOSED FOR ANY VIOLATION OF ANY LAW, ORDINANCE, RULE OR REGULATION ARISING OUT OF THE USE OF THE LAND BY ANY BENEFICIARY, WHETHER OCCASIONED BY THE NEGLIGENT ACT OR OMISSION OF ANY BENEFICIARY, ITS EMPLOYEES, OFFICERS, AGENTS, CONTRACTORS OR ASSIGNS OR THOSE HOLDING UNDER GRANTEE. GRANTEE SHALL AT ALL TIMES DEFEND, PROTECT AND INDEMNIFY AND IT IS THE INTENTION OF THE PARTIES HERETO THAT GRANTEE HOLD GRANTOR HARMLESS AGAINST AND FROM ANY AND ALL LOSS, COST, DAMAGE, OR EXPENSE, INCLUDING ATTORNEY’S FEE, ARISING OUT OF OR FROM ANY ACCIDENT OR OTHER OCCURRENCE ON OR ABOUT THE LAND CAUSING PERSONAL INJURY, DEATH OR PROPERTY DAMAGE RESULTING FROM USE OF THE LAND BY ANY BENEFICIARY, ITS OFFICERS, EMPLOYEES, AGENTS, CONTRACTORS, AND INVITEES IN CONNECTION WITH THIS AGREEMENT, EXCEPT WHEN CAUSED BY THE WILLFUL MISCONDUCT OR GROSS NEGLIGENCE OF GRANTOR, ITS OFFICERS, EMPLOYEES OR AGENTS, AND ONLY THEN TO THE EXTENT OF THE PROPORTION OF ANY FAULT DETERMINED AGAINST GRANTOR FOR ITS WILLFUL MISCONDUCT OR GROSS NEGLIGENCE. THE RIGHTS AND PROTECTIONS AFFORDED TO GRANTOR IN THIS SECTION 7 SHALL ALSO EXTEND TO GRANTOR’S ELECTED AND APPOINTED OFFICIALS, EMPLOYEES, AGENTS, AND REPRESENTATIVES. THIS SECTION 7 SHALL SURVIVE THE TERMINATION OF THIS AGREEMENT. 9. Benefit; Binding Effect. This Agreement is binding upon and shall inure to the benefit of Grantor and its successors and assigns and the Beneficiaries, including, without limitation, all other persons or entities having or acquiring any right, title or interest in the Option Land, or any portion thereof. 10. Amendment/Termination. This Agreement may be amended or terminated only PAGE 7 EXHIBIT “B” TO DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) by written agreement executed by Grantor and Grantee, without the joinder of any other owners of all or any portion of the Land or the Option Land. Any such amendment shall be effective when filed for record in the Official Public Records of Dallas County, Texas. 11. Default. In the event Grantee fails to perform any of Grantee’s obligations and/or comply with any of the restrictions set forth in this Agreement (a “Default”), Grantor may give written notice to Grantee of said Default (the “Default Notice”). If Grantee does not cure any such Default within thirty (30) days after receipt of the Default Notice, or such earlier time if the Default may be reasonably cured prior to such 30-day period, then Grantor shall be entitled to all remedies available at law or in equity, including, without limitation, (i) the right to specific performance and (ii) the right to take such self-help measures as are necessary to cure the Default. In the latter event, Grantor may, among other things, perform any such maintenance, repair and/or replacement as is necessary to cure the Default. Any costs incurred by Grantor shall be reimbursed by Grantee not later than thirty (30) days of presentation of appropriate statements of actual costs incurred therefor, together with interest at the maximum rate allowable at law (accruing from the date said expenses were incurred). Notwithstanding the foregoing, no Default shall entitle Grantor to terminate the Construction Easement other than as provided in Sections 4 and 9 above. 12. Attorneys' Fees. Should any party hereto employ an attorney for the purpose of enforcing or construing this Agreement, or any judgment based on this Agreement, in any legal proceeding whatsoever, including insolvency, bankruptcy, arbitration, declaratory relief or other litigation, the prevailing party shall be entitled to receive from the other party or parties thereto reimbursement for all reasonable attorneys' fees and all costs, whether incurred at the trial or appellate level, including but not limited to service of process, filing fees, court and court reporter costs, investigative costs, expert witness fees and the cost of any bonds, whether taxable or not, and such reimbursement shall be included in any judgment, decree or final order issued in that proceeding. The term “prevailing party” means the party whose relief in an action is closest to the relief sought in the initial pleading in such proceeding (whether by way of affirmative recovery or defense of claim). 13. Severability. If any provision of this Agreement is held to be invalid, illegal or otherwise unenforceable for any reason, the remaining provisions of this Agreement shall remain in full force and effect and shall not be affected thereby. 14. Governing Law. The validity of this Agreement and any of its terms and provisions, as well as the rights and duties of the parties, shall be governed by the laws of the State of Texas; and venue for any action concerning this Agreement shall be in State District Court of Dallas County, Texas. The parties agree to submit to the personal and subject matter jurisdiction of said court. 15. Entire Agreement. This Agreement embodies the complete agreement of the parties hereto, superseding all oral or written, previous and contemporary agreements between the parties and relating to the matters in this Agreement, and except as otherwise provided herein cannot be modified except as provide in Section 10 above. Notwithstanding the foregoing, to the PAGE 8 EXHIBIT “B” TO DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) extent of any inconsistency between the terms and conditions of this Agreement and the terms and conditions of the Option Agreement, the terms of the Option Agreement shall control. 16. Notice. Any notice required or permitted to be delivered hereunder shall be deemed received (i) three (3) days after deposit into the United States Mail, postage prepaid, certified mail, return receipt requested, addressed to the party at the address set forth below or (ii) on the day actually received if sent by courier or otherwise hand delivered. If intended for Grantor, to: Attn: City Manager City of Coppell, Texas P.O. Box 478 Coppell, Texas 75019 With a copy to: Robert E. Hager Nichols, Jackson, Dillard, Hager & Smith, L.L.P. 500 North Akard, Suite 1800 Dallas, Texas 75201 If intended for Grantee, to: CSE Commercial Real Estate, LP 4956 N. O'Connor Road Irving, Texas 75062 Attn: Charles Cotten With a copy to: Jeffrey Fink Apple & Fink, LLP 735 Plaza Boulevard, Suite 200 Coppell, TX 75019 Any party shall have the right to change its address for notice by sending notice of change of address to each other party, in the manner described above. Beneficiaries (other than Grantee) including, without limitation, all other persons or entities having or acquiring any right, title or interest in the Option Land, or any portion thereof, by using the Land and accepting the benefits of this Agreement, are deemed to have irrevocably appointed Grantee as their agent for purposes of receipt of notice made pursuant to this Agreement, which agency is accepted by Grantee. Failure of Grantee to forward any notice provided by Grantor pursuant to this Agreement to a Beneficiary shall not constitute a failure of Grantor to provide proper notice pursuant to this Agreement. PAGE 9 EXHIBIT “B” TO DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) 17. Captions. Titles, headings or captions of articles or paragraphs contained in this instrument are inserted only as a matter of convenience and for reference, and in no way define, limit, extend or describe the scope of this instrument or the intent of any provisions hereof. 18. Multiple Counterparts. This Agreement may be executed in any number of identical counterparts, each of which for all purposes shall be deemed an original document and all of which together shall constitute but one and the same document; but, in making proof of this Agreement, it shall not be necessary to produce or account for more than one such counterpart. IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first set forth above. GRANTOR: CITY OF COPPELL, TEXAS By: ________________________________ Karen Selbo Hunt, Mayor GRANTEE: CSE COMMERCIAL REAL ESTATE, L.P., a Texas limited partnership By: Debco Partners, L.L.C., a Texas limited liability company, general partner By: _________________________ Charles Cotten, Member PAGE 10 EXHIBIT “B” TO DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) STATE OF TEXAS § § COUNTY OF DALLAS § This instrument was acknowledged before me this ___ day of _______________, 20__, by Karen Selbo Hunt, Mayor of the City of Coppell, Texas, a Texas home rule municipality, on behalf of said municipality. ______________________________________ Notary Public, State of Texas Commission Expires:_____________________ STATE OF TEXAS § § COUNTY OF DALLAS § This instrument was acknowledged before me this _________ day of ___________, 20__, by Charles Cotten, member, Debco Partners, LLC, a Texas limited liability company, on behalf of said company in its capacity as General Partner for CSE Commercial Real Estate, L.P., a Texas limited partnership, for and on behalf of said company and partnership. Notary Public, State of Texas My Commission expires:_______________ PAGE 1 EXHIBIT “B” TO DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P (kbl:4/15/13:60210) Exhibit "A" Land [To Be Attached] Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-0999 File ID: Type: Status: 2013-0999 Agenda Item Passed 1Version: Reference: In Control: Administration 04/15/2013File Created: 04/23/2013Final Action: Main Street Phase II Purchase and Sale AgreementFile Name: Title: Discuss and consider authorizing City Manager to negotiate and execute a purchase and sale agreement; and, authorize the City Manager and Mayor to execute any and all necessary agreements and instruments related thereto, for the transfer of all or a portion of Lots 1 through 5, Block A of the Villages of Old Coppell Addition and a portion of Lot 1, Block A of the Grapevine Springs Community Center, approximately 7.944 acres of land, to the Coppell Economic Development Foundation. Notes: Agenda Date: 04/23/2013 Agenda Number: 11. Sponsors: Enactment Date: Purchase and Sale Agreement Memo.pdf, Purchase and Sale Agreement.pdf Attachments: Enactment Number: Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 PassApproved04/23/2013City Council Presentation: Mindi Hurley, Economic Development Coordinator, made a presentation to Council. A motion was made by Councilmember Gary Roden, seconded by Councilmember Bob Mahalik, that this Agenda Item be approved. The motion passed by an unanimous vote. Action Text: Councilmember Tim Brancheau, Councilmember Bob Mahalik, Councilmember Gary Roden, Mayor Pro Tem Billy Faught, Councilmember Marvin Franklin, and Councilmember Aaron Duncan 6Aye: Text of Legislative File 2013-0999 Title Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-0999) Discuss and consider authorizing City Manager to negotiate and execute a purchase and sale agreement; and, authorize the City Manager and Mayor to execute any and all necessary agreements and instruments related thereto, for the transfer of all or a portion of Lots 1 through 5, Block A of the Villages of Old Coppell Addition and a portion of Lot 1, Block A of the Grapevine Springs Community Center, approximately 7.944 acres of land, to the Coppell Economic Development Foundation. Summary Fiscal Impact: [Enter Fiscal Impact Statement Here] Staff Recommendation: Economic Development recommends approval. Goal Icon: Business Prosperity Special Place to Live Page 2City of Coppell, Texas Printed on 12/28/2017 1 MEMORANDUM To: Mayor and City Council From: Clay Phillips, City Manager Date: April 23, 2013 Reference: Consider and authorize City Manager to negotiate and execute a purchase and sale agreement; and, authorize the City Manager and Mayor to execute any and all necessary agreements and instruments related thereto, for the transfer of all or a portion of Lots 1 through 5, Block A of the Villages of Old Coppell Addition and a portion of Lot 1, Block A of the Grapevine Springs Community Center, approximately 7.944 acres of land, to the Coppell Economic Development Foundation. 2030: Business Prosperity and Special Place to Live Introduction: The City has owned approximately 46.57 acres of land located along S. Coppell Road south of Bethel Road since 1999. The City sold 9.4 acres of that land to Kolberg Development, LLC in 2007 for the development of a special events center, a boutique hotel and a variety of retail and restaurant establishments. Kolberg Development, LLC failed to perform as sp ecified in the Purchase and Sale Agreement; therefore, the City purchased the land back in 2011. Since that time, the land has remained vacant. On March 26, 2013, the City entered into a Letter of Intent with CSE Commercial Real Estate, LP to purchase a portion of that land for the development of approximately 64 single family homes. CSE is working with Darling Homes to develop 2-story Craftsman style homes on the east side of S. Coppell Road in accordance with the design guidelines established for Old Town Coppell. The development of these homes helps to meet the objective of promoting new urban housing with density found in the Vision Coppell 2030 Special Place to Live Strategy. These homes will be zero lot line homes, which was specifically identified as a form of new urban housing. It also helps to increase opportunities for living in Old Town Coppell, which is part of the Business Prosperity Strategy. Ultimately, the construction of 64 new homes will add to the critical mass of residents living in the area to support existing and future retail and restaurant establishments in Old Town Coppell. 2 Analysis: The Purchase and Sale Agreement allows the City to transfer approximately 7.944 acres of land to the Coppell Economic Development Foundation for the resale of the property to CSE. The sales price is $4.70 per gross square foot for a total purchase price of $1,626,391. CSE will pay a $50,000 Option Fee after the documents have been executed by all parties to the agreement. CSE will then have 120 days to inspect the property. An additional $100,000 will be paid at the end of the inspection period as part of the Option Fee. CSE will have three years to purchase all 7.944 acres of land. Legal Review: Agenda item was reviewed by Bob Hager and Kevin Laughlin. Fiscal Impact: The fiscal impact of this Agenda item is $1,626,391 as the total purchase price for CSE. Per new IRS regulations, a restricted escrow must now be established, rather than designating fund balance. At the point that the escrow has sufficient funds to pay off the bonds, then the bonds must be called and paid off. Recommendation: Economic Development recommends approval. PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 1 (kbl:4/16/13:60249) PURCHASE AND SALE AGREEMENT This Purchase and Sales Agreement (“Agreement”) to buy and sell real property is entered between City and CEDF as identified below and is effective on the date (“Effective Date”) of the last of the signatures by City and CEDF as parties to this Agreement. City: City of Coppell Attn: City Manager 255 Parkway Blvd. Coppell, Texas 75019 Phone: (972) 304-3618 Fax: (972) 304-3673 E-mail: City’s Attorney: Robert E. Hager Kevin B. Laughlin Nichols, Jackson, Dillard, Hager & Smith, LLP 500 N Akard, Suite 1800 Dallas, Texas 75201 Phone: (214) 965-9900 Fax: (214) 965-0010 E-mail:rhager@njdhs.com klaughlin@njdhs.com CEDF: Coppell Economic Development Foundation Attn: President 255 Parkway Boulevard P. O. Box 9478 Coppell, Texas 75019 Phone: (972) 304-3677 Fax: (972) 304-3673 E-mail: Developer: CSE Commercial Real Estate, L.P., or assigns Attn: Charles Cotten 4956 N. O’Connor Road Irving, Texas 75062 Phone: (469) 417-0101 Fax: (469) 417-0104 E-mail: charles@csecre.com PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 2 (kbl:4/16/13:60249) Developer’s Attorney: Jeffrey Fink Apple & Fink, LLP 735 Plaza Boulevard, Suite 200 Coppell, Texas 75019 Phone: (972) 315-1900 x232 Fax: (972) 315-1955 E-mail: www.applefinklaw.com Title Company: Republic Title of Texas, Inc. Attn: Kathy Haynes, Escrow Officer 8810 MacArthur Boulevard Irving, Texas 75063 Phone: (972) 401-0222 Fax: (972) 516-2569 E-mail: khaynes@republictitle.com Land: An approximately 7.944± acre tract of land being all or a portion of Lots 1 through 5, Block A, The Villages of Old Coppell, an addition to the City of Coppell, Texas, according to the plat thereof recorded as Instrument No. 20070444189, Official Public Records, Dallas County, Texas, and a portion of Lot 1, Block A, Grapevine Springs Community Center Addition, an addition to the City of Coppell, Texas, according to the plat thereof recorded as Instrument No. 20080382276, Official Public Records, Dallas County, Texas, subject to final configuration and area as shown on the City Survey (as defined in Section 3.10(a) of the Option Agreement). Option Agreement That certain Option Agreement by and between CEDF and Developer relating to the sale by CEDF of the Land to Developer substantially in the form attached hereto as Attachment 1 and incorporated herein by reference . Development Agreement: That certain Development and Economic Development Grant Agreement by and between City and Developer substantially in the form attached hereto as Attachment 2 and incorporated herein by reference. Inspection Period: The period commencing on the Effective Date and ending on the termination of the Inspection Period as defined in the Option Agreement. Closing Date: Concurrent with the various closing dates on the sale of the Land, or portions thereof, by CEDF to Developer as set forth in the Option Agreement. PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 3 (kbl:4/16/13:60249) Purchase Price: For each Lot, (a) the product of $4.70 multiplied by the number of Allocated Gross Square Feet within such Lot and (b) the Grant. By way of example, if the entire area of the Land as determined by the City Survey is 346,040.6 square feet, the cash portion of the Purchase Price to be paid by Company for all Lots will be 346,040.6 times $4.70, or $1,626,390.82, which amount shall be allocated at the time of each Closing based on the area of the Lots being sold at the time in relation to the total area of the Lots. If the appraisal obtained by City finds the fair market value of the Land exceeds $4.70 per square foot, the balance of the Purchase Price to be paid at Closing for each Subject Lot after the payment of the cash portion of the Purchase Price will consist of a Grant. Grant: As defined in the Development Agreement and the Option Agreement. WHEREAS, City is authorized by TEX. LOC. GOV’T CODE §380.001 to provide economic development incentives to support the expansion of local economic development; and WHEREAS, CEDF desires to purchase the Land from City for resale to Developer pursuant to the Option Agreement for development in accordance with the Development Agreement; and WHEREAS, Tex. Loc. Gov’t Code §272.001 allows City to convey land it wants developed by contracting with an independent foundation without auction or soliciting competitive bids; and WHEREAS, CEDF is a Texas non-profit corporation and qualifies as an independent foundation under Tex. Loc. Gov’t Code §272.001; and WHEREAS, City has obtained an appraisal of the Land and has determined that the fair market value of the Land is greater than the amount of funds to be paid by Developer to CEDF for the Land; and WHEREAS, City desires to make the Grant pursuant to T EX. LOC. GOV’T CODE §380.001 to provide an economic development incentive to Developer to purchase the Land from CEDF and develop the Land in accordance with the Development Agreement; NOW, THEREFORE, in consideration of the sum of Ten and No/100 Dollars ($10.00) and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby agree as follows: 1. Sale and Purchase. City agrees to sell and convey portions of the Land to CEDF from time to time for the Purchase Price. PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 4 (kbl:4/16/13:60249) 2. Title, Survey, and Inspection Reports. City and CEDF understand and acknowledge that CEDF has contracted with Developer pursuant to the Option Agreement to sell and convey the Land, or portions thereof, to Developer. In order to save City, CEDF, and Developer the cost of multiple surveys and title policies and to expedite both transactions, City and CEDF agree as follows: (a) City, as owner of the Land, agrees to reasonably cooperate with CEDF’s obligations as City set forth in Section 3.2 of the Option Agreement with respect to curing title objections and, pursuant thereto, CEDF shall immediately forward to City any and all notices received by CEDF pursuant to Section 3.2(b) of the Option Agreement; (b) The transactions described in this Agreement and the transactions described in the Option Agreement shall be treated by the Title Company as pass-through transactions such that Title Company shall issue only one owner’s title policy to Developer as the ultimate purchaser and owner of the Land pursuant to Section 3.6 of the Option Agreement; and (c) If City does not otherwise obtain them directly, City and CEDF will accept, review, and rely upon the survey, environmental studies, and other inspection reports of the Land obtained by Developer pursuant to the Option Agreement as if they were obtained by CEDF pursuant to this Agreement. 3. Inspection Period. (a) During the Inspection Period set forth in the Option Agreement, CEDF and/or Developer and their respective agents or employees shall have the right to enter upon the Property during regular business hours upon reasonable notice and conduct such inspections, tests and studies as they may deem necessary. (b) If the Option Agreement is terminated prior to the sale of any portion of the Land to CEDF, this Agreement shall terminate with respect to any portion of the Land remaining to be purchased by notifying City and Title Company in writing. In such event, neither party shall have any further claim against the other under this Agreement. 4. Closing. (a) Except as extended as provided herein, the closing(s) on the sale of the Land, or any portion thereof, shall occur on the Closing Date at the Title Company. City and CEDF agree that the provisions of this Agreement shall be applicable to all closings on the Lots (as defined in the Option Agreement). (b) At each Closing, City shall deliver to the Title Company: (i) a special warranty deed, in form and substance reasonably acceptable to City, CEDF, and Developer conveying good and indefeasible title to the Land, or portion thereof, to CEDF, free and clear of any and all encumbrances subject only to the Permitted Exceptions; PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 5 (kbl:4/16/13:60249) (ii) Such documents as may be reasonably required by Title Company in order for Title Company to issue a Title Policy in favor of Developer as the insured owner pursuant to Section 3.5 of the Option Agreement; (iii) Evidence of City’s authority to close this transaction as may be required by the Title Company; and (iv) Settlement statement, and such other documents as Title Company may reasonably require. (c) At each Closing, CEDF shall deliver to City through Title Company: (i) the Purchase Price in cash or immediately available funds, inclusive of the Earnest Money previously paid by Developer and placed in Escrow pursuant to the Option Agreement (to be applied as provided in the Option Agreement) but less CEDF’s Closing cost deducted from the Purchase Price in accordance with the Option Agreement; (ii) such other documents that the Title Company may reasonably require of CEDF. With respect to the issuance of the title policy, City agrees to execute such documents as required by the Title Company to allow the cost of the Owner’s Title Policy and any related endorsements that are required to be issued pursuant to the Option Agreement regarding the Land are passed through to the sale of the Land by CEDF to Developer, it being the intent of City and CEDF that only one title policy by issued in favor of Developer following the concurrent closing of this transaction and the transaction between CEDF and Developer. (d) City agrees to make the Grant on behalf of the Developer at each Closing on the sale of the Land, or portion thereof, from CEDF to Developer, to the extent the Development Agreement requires the payment of a Grant. 5. Taxes. CEDF understands and acknowledges that the Land is presently exempt from the assessment of ad valorem taxes, which status may change upon conveyance of the Land to CEDF or Developer. City shall not be responsible for payment of property taxes assessed against the Land for periods after the date of each Closing, if any become due and payable. 6. Closing Costs. City hereby agrees to pay and be responsible for all closing costs related to the sale of the Land to CEDF pursuant to this Agreement and CEDF’s closing costs as City pursuant to Section 3.6 of the Option Agreement. 7. Permitted Exceptions. Those matters constituting Permitted Exceptions pursuant to the Option Agreement shall constitute Permitted Exceptions pursuant to this Agreement. PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 6 (kbl:4/16/13:60249) 8. Property Sold As Is. (a) CEDF hereby acknowledges and agrees that the sale of the Land hereunder is and will be made on an “as is, where is and with all faults” basis. The occurrence of Closing shall constitute an acknowledgment by CEDF that the Land was accepted without representation or warranty, express or implied (except as otherwise specifically set forth herein and except for the special warranties of title set forth in the special warranty deed). (b) Except as otherwise specifically set forth in this Agreement and except for the special warranties of title set forth in the special warranty deed, City hereby specifically negates and disclaims any representations, warranties or guaranties of any kind or character, whether express or implied, oral or written, past, present, future or otherwise, of, as to, concerning or with respect to the Land, including without limitation (i) the nature and condition of the Land and the suitability thereof for any and all activities and uses which CEDF or Developer may elect to conduct thereon, (ii) the nature and extent of any right-of-way, lease, possession, lien, encumbrance, license, reservation, condition or any other matter relating in any way to the Land, (iii) the compliance of the Land or its operation with any laws, ordinances or regulations of any government or other authority or body, (iv) the existence of any toxic or hazardous substance or waste in, on, under the surface of or about the Land, (v) geological conditions, including, without limitation, subsidence, subsurface conditions, water table, underground water reservoirs, limitations regarding the withdrawal of water and faulting, (vi) whether or not and to the extent to which the Land or any portion thereof is affected by any stream (surface or underground), body of water, flood prone area, floodplain, floodway or special flood hazard, (vii) drainage, (viii) zoning or land use restrictions rules and regulations to which the Land or any portion thereof may be subject, (ix) the availability of any utilities to the Land or any portion thereof including, without limitation, water, sewage, gas and electric and including the utility availability capacities allocated to the Land by the relevant governmental or regulatory authority, (x) usages of adjoining Land, (xi) access to the Land or any portion thereof, (xii) the value, compliance with the plans and specifications, size, location, age, use, design, quality, description, durability, structural integrity, operation, leasing, title to, or physical or financial condition of the Land or any portion thereof, or any income, expenses, charges, liens, encumbrances, rights or claims on or affecting or pertaining to the Land or any part thereof, (xiii) the potential for further development of the Land, or (xiv) the merchantability of the Land or fitness of the Land for any particular purpose (CEDF affirming that CEDF has not relied on City’s skill or judgment to select or furnish the Land for any particular purpose, and that City makes no warranty that the Land is fit for any particular purpose). (c) CEDF agrees that prior to the expiration of the Inspection Period it will have the opportunity to examine and investigate the Land and that, in purchasing the Land, CEDF will rely solely upon its independent examination, study, inspection and knowledge of the Land, and CEDF is relying solely upon its own examination, study, inspection, and, except for representations and warranties specifically set forth herein PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 7 (kbl:4/16/13:60249) and, except for the special warranties of title set forth in the special warranty deed, knowledge of the Land and CEDF’s determination of the value of the Land and uses to which the Land may be put, and not on any information provided or to be provided by City. (d) The provisions of this Section 8 shall survive the termination of this Agreement and the Closing. 9. Compliance with Tex. Loc. Govt. Code §272.001. CEDF understands and acknowledges that City is selling the Land to CEDF in CEDF’s capacity as an independent foundation pursuant to Tex. Loc. Gov’t Code §272.001 without conducting an auction or soliciting competitive bids, but subject to the requirement that the Land be developed in accordance with the Development Agreement and Option Agreement. CEDF agrees that the resale of the Land to Developer shall be subject to the Option Agreement and Development Agreement. 10. Conditions of Closing. Closing on the sale of any portion of the Land pursuant to this Agreement is expressly conditioned on and subject to the following: (a) The closing of the sale of any portion of the Land by CEDF to Developer concurrently with the Closing of this Agreement; (b) The Option Agreement and Development Agreement being in full force and effect with no uncured default by Developer pending; and (c) All other conditions for closing on the sale or any portion of the Land by CEDF to Developer as set forth in the Option Agreement being satisfied. 11. Remedies. If a party hereto defaults, the non -defaulting party’s sole remedy shall be to terminate this Agreement by providing written notice to the defaulting party. 12. Assignment of Rights to Deposit. As additional consideration for this Agreement, CEDF hereby assigns any and all rights that CEDF has as City pursuant to the Option Agreement to receipt of any Earnest Money, Option Fee, and Option Notice Termination Fee as defined in the Option Agreement, including, but not limited to any circumstances pursuant to which CEDF becomes entitled to receipt of the Earnest Money from the Escrow Agent , including termination of the Option Agreement prior to crediting such amounts to the purchase of any portion of the Land. City understands, acknowledges, and agrees that City shall have no vested rights in and to the Earnest Money or Option Fee unless and until such rights are vested in CEDF pursuant to the Option Agreement. 13. Reservation of Minerals. CEDF agrees that City, for itself and its successors and assigns, as their interests may appear, reserves unto City all oil, gas and other minerals owned by City located in and under and that may be produced from the Land to the extent not reserved by prior grantors; provided, however, City, for itself and its successors and assigns hereby waives all surface rights and other rights of ingress and egress in and to the Land, and agrees that in conducting operations with respect to the exploration for and production, PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 8 (kbl:4/16/13:60249) processing, transporting and marketing of oil, gas and other minerals from the Land, that no portion of the surface of the Land will be used, occupied or damaged and that fixtures, equipment, buildings or structures used in connection with the exploitation of the reserved mineral, oil and gas rights, shall not be placed on the surface of the Land. Nothing herein, however, restricts or prohibits the pooling or unitization of the portion of the mineral estate owned by City with land other than the Land; or the exploration or production of the oil, gas, and other minerals by means of wells that are drilled or mines that open on land other than the Land but enter or bottom under the Land, provided that these operations in no manner interfere with the surface or subsurface support of any improvements constructed or to be constructed on the Land. The foregoing reservation of minerals and City’s waiver of surface rights set forth above shall be included in the special warranty deed. 14. Additional Reservations. In addition to the reservations of oil, gas, and mineral interests set forth in Section 13, above, City shall have the right to reserve at Closing for itself and its successors and assigns and the public such easements and rights-of-way shown on the final plat of the Land, which shall constitute Permitted Exceptions at Closing to the extent they affect the Land. 15. Notices. Notices must be in writing to and given at the addresses stated above. Notice given by courier receipted delivery service or facsimile shall be effective upon receipt at the address of the addressee; notice given by mail shall be effective upon receipt. In addition, copies of notices, amendments, or termination agreements shall be sent to (a) the attorney for the party to whom the notice is being sent and (b) to Developer and Developer’s attorneys as shown above. 16. Miscellaneous. (a) Entire Agreement. This Agreement contains the entire agreement between City and CEDF, and there are no other terms, conditions, promises, undertakings, statements or representations, either written or oral or express or implied, concerning the sale contemplated by this Agreement. (b) Modifications and Waiver. This Agreement may be amended only by an instrument in writing signed by both City and CEDF. This Agreement may be terminated only in accordance with the terms of this Agreement or by an instrument in writing signed by both City and CEDF. No waiver of any of the provisions of this Agreement shall constitute a waiver of any other provision, nor shall any waiver be a continuing waiver. Except as expressly provided in this Agreement, no waiver shall be binding unless executed in writing by the party making the waiver. (c) Assignment. Neither party may assign its rights under this Agreement without the prior written consent of the other party. (d) Time is of the Essence. Time is of the essence with respect to the performance by the parties of their respective obligations hereunder. PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 9 (kbl:4/16/13:60249) (e) Effective Date. The Effective Date of this Agreement shall be the date on which the authorized representatives of the parties have signed this Agreement. (f) Non-Business Day. If the final date of any period provided herein for the performance of an obligation or for the taking of any action falls on a Saturday, Sunday, or holiday, then the end of such period shall be extended to the next business day. (g) Headings. Section headings are for convenience of reference only and do not modify or restrict any provisions hereof and shall not be used to construe any provisions. (h) Brokers. City and CEDF represent that no other broker is involved in this Agreement and, to the extent allowed by law, each party indemnifies th e other against brokerage or commission claims arising out of the indemnifying party's actions. (i) Counterparts. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original for all purposes and constitute one and the same instrument; but in making proof of this Agreement, it shall not be necessary to produce or account for more than one such counterpart. (j) Legal Construction. In the event any one or more of the provisions contained in this Agreement shall for any reason be held to be invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect other provisions, and the Agreement shall be construed as if such invalid, illegal, or unenforceable provision had never been contained in it. (k) Law Governing. This Agreement shall be construed under and in accordance with the laws of the State of Texas; and venue for any action arising from this Agreement shall be in the State District Court of Dallas County, Texas. The parties agree to submit to the personal and subject matter jurisdiction of said court. (l) Survival of Covenants. Any of the representations, warranties, covenants, and obligations of the parties, as well as any rights and benefits of the parties, pertaining to a period of time following the Closing shall survive. (Signatures on Following Page) PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 10 (kbl:4/16/13:60249) SIGNED AND AGREED this the _______ day of ___________, 2013. City of Coppell, Texas By: ______________________________________ Clay Phillips, City Manager SIGNED AND AGREED this the ________ day of ___________, 2013. Coppell Economic Development Foundation By: ______________________________________ James W. Walker, President RECEIPT OF CONTRACT Title Company acknowledges receipt of a copy of this Agreement executed by both CEDF and City on the ___ day of _______________________, 2013. Republic Title of Texas, Inc. By:______________________________________ Name:___________________________________ Title:____________________________________ ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 1 (kbl:4/16/13:60249) ATTACHMENT 1 FORM OF OPTION AGREEMENT State of Texas § § Option Agreement County of Dallas § This Option Agreement (“Agreement”) is made and entered as of the Effective Date (as defined below) by and between CSE Commercial Real Estate, L.P., a Texas limited partnership ( “Company”), and the Coppell Economic Development Foundation, a Texas nonprofit corporation ( “CEDF”) acting by and through their authorized representatives. WHEREAS, pursuant to Tex. Loc. Gov’t Code §272.001, CEDF has contracted or will contract to purchase the Land (as defined below) from the City of Coppell (“the City”) in accordance with the City Contract (as defined below) for the purpose of selling the Land to the Company to be developed in accordance with the conceptual development plan described in Exhibit “A” attached hereto and incorporated herein by reference (the “Conceptual Plan”); and WHEREAS, CEDF desires to grant Company an option (the “Option”) to purchase the portions of the Land consisting of the Lots (as defined below) for the Purchase Price; and WHEREAS, Company desires to develop the Land in accordance with the Plan (as defined below) and purchase the Lots pursuant to the Option; NOW, THEREFORE, in consideration of the sum of Ten and No/100 Dollars ($10.00) and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties hereby agree as follows: Article I Definitions Whenever used in this Agreement, the following words, terms, and phrases shall have the following meanings: “Allocated Gross Square Feet” means the number of Gross Square Feet contained within a Lot as shown on the Plat multiplied by a fraction, the numerator of which is the number of Gross Square Feet within the Land and the denominator of which is the number of Gross Square Feet within all of the Lots. “Business Day” means a day on which banks in Dallas, Texas are generally open for business (but not including Saturdays). “City” means the City of Coppell, Texas, a Texas home rule municipality. “City Contract” means that certain Purchase and Sale Agreement dated and effective _________, 2013, by and between City and CEDF relating to the sale by City of the Land to CEDF. ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 2 (kbl:4/16/13:60249) “Company” means CSE Commercial Real Estate, L.P., a Texas limited partnership, or its permitted assigns. “Covenants” means the restrictive covenants described in Declaration of Covenants, Conditions and Restrictions for Main Street Coppell dated May 3, 2012, executed by Main Street Coppell, Ltd. and recorded May 4, 2012 as CC No. 201200128399 in the Official Public Records of Dallas County, Texas, as amended and supplemented. “Design Guidelines” means the development guidelines for Old Coppell as approved by City, from time to time, and as reflected in the Conceptual Plan. “Earnest Money” shall have the meaning set forth in Section 2.1, below. “Effective Date” means the date this Agreement bears the signatures of all of the authorized representatives of the Parties and all conditions precedent to this Agreement being effective have been satisfied.. “Event of Bankruptcy, Insolvency, or Forfeiture” shall mean the dissolution or termination of a party’s existence as a going business, insolvency, appointment of receiver for any significant part of such party’s property and such appointment is not terminated within ninety (90) days after such appointment is initially made, any general assignment for the benefit of creditors, or the commencement of any proceeding under any bankruptcy or insolvency laws by or against such party and such proceeding is not dismissed within ninety (90) days after the filing thereof. An event of forfeiture shall also include the suspension or termination of the right to conduct business in the State of Texas pursuant to applicable provisions of the Texas Business Organizations Code for failure to pay required Impositions or file required reports. “Expiration Date” means the third (3) anniversary of the Final Approval Date. “Final Approval Date” shall have the meaning specified in Section 2.1(c)(2) below. “Grant” means, with respect to each Lot sold to Company, an economic development grant made by City to Company pursuant to Chapter 380 of the Texas Local Government Code in an amount equal to the product of (1) the difference between $4.70 per Allocated Gross Square Feet of the Subject Lot(s) and the fair market value per Allocated Gross Square Feet of the Subject Lot(s) as determined by an appraisal obtained by City multiplied by (2) the number of Allocated Gross Square Feet of the Subject Lot(s). “Gross Square Feet” means the number of square feet contained within the perimeter boundaries of the area of the Land in question, without deduction for easements or any other encumbrances upon title. “Impositions” means all taxes, assessments, use and occupancy taxes, charges, excises, license and permit fees, and other charges by public or governmental authority, general and special, ordinary and extraordinary, foreseen and unforeseen, which are or may be assessed, charged, levied, or imposed by any public or governmental authority on the Company and/or ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 3 (kbl:4/16/13:60249) affecting the Land. “Inspection Period” means the period beginning on the Effective Date and ending at 5:00 p.m. on the date 120 days thereafter. “Land” means an approximately 7.944± acre tract of land being all or a portion of Lots 1 through 5, Block A, The Villages of Old Coppell, an addition to the City of Coppell, Texas, according to the plat thereof recorded as Instrument No. 20070444189, Official Public Records, Dallas County, Texas, and a portion of Lot 1, Block A, Grapevine Springs Community Center Addition, an addition to the City of Coppell, Texas, according to the plat thereof recorded as Instrument No. 20080382276, Official Public Records, Dallas County, Texas, subject to final configuration and area as shown on the City Survey (as defined in Section 3.10(a)). “Lot” means a residential lot to be developed pursuant to the Plan on the Land and as shown on the Plat. “Lots” means all residential lots shown on the Plat. “Option” means the right granted to Company herein to purchase the Lots, in one or more sales transactions that close within the periods required by this Agreement. “Option Fee” shall have the meaning set forth in Section 2.1 below. “Option Land” means the real property which includes all of the Lots as shown on the Plat. “Parties” means collectively Company and CEDF. “Plan” means the development plan for the Project to be agreed upon between City and Company during the Inspection Period as provided in Section 2.1(c)(2) below, which shall incorporate the development and use standards substantially consistent with the numbers and sizes of lots and residential product mix set forth in the Conceptual Plan. “Plat” means the final plat of the Land for the Project to be approved by City during the Inspection Period as provided in Section 2.1(c)(2) below. “Project” means a residential development to be constructed on the Land in accordance with the Plan. “Public Infrastructure” means and refers to all public rights of way, including streets and alleys; water, storm water and sanitary sewer in the public right-of-way in suitable capacities for the completion of the Project; public fire hydrants; all street or pedestrian lighting in or adjacent to the public right-of-way; open space or park areas as shown on the Plat; and the initial Storm Water Pollution Prevention Plan and implementation. “Purchase Price” means for each Lot, (a) the product of $4.70 multiplied by the number ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 4 (kbl:4/16/13:60249) of Allocated Gross Square Feet within such Lot and (b) the Grant. By way of example, if the entire area of the Land as determined by the City Survey is 346,040.6 square feet, the cash portion of the Purchase Price to be paid by Company for all Lots will be 346,040.6 times $4.70, or $1,626,390.82, which amount shall be allocated at the time of each Closing based on the area of the Lots being sold at the time in relation to the total area of the Lots. If the appraisal obtained by City finds the fair market value of the Land exceeds $4.70 per square foot, the balance of the Purchase Price to be paid at Closing for each Subject Lot after the payment of the cash portion of the Purchase Price will consist of a Grant. “Substantially Complete” or "Substantial Completion" mean that stage by which the construction of the respective improvements and/or infrastructure or the designated portion thereof, is sufficiently complete in accordance with the Plan and applicable City requirements for its intended purpose, exclusive of minor miscellaneous punch list work, and in the case of public roads and utilities has been accepted by City for future maintenance (subject to any developer bond requirements). “Title Company” means Republic Title of Texas, Inc., whose address is 8810 N. MacArthur Boulevard, Irving, Texas 75063, or such other title company as may from time to time be chosen by CEDF, subject to the approval of Company, which approval shall not be unreasonably withheld or delayed. “Zoning Approval” means the zoning approval for the Land, if any, approved by City as described in Section 2.1(c)(2) below. Article II The Option 2.1 Earnest Money; Option Fee. Except as otherwise provided in this Agreement, the Earnest Money and Option Fee are non-refundable. Company shall pay the Earnest Money and Option Fee as follows: (a) $46,800.00 (the “Earnest Money”) to be paid to the Title Company within three (3) Business Days after the Effective Date; (b) $3,200.00 to be paid to CEDF within three (3) Business Days following the Effective Date; and (c) $100,000.00 to be paid to CEDF on or before the later of: (1) the third (3rd) Business Day following the expiration of the Inspection Period; and (2) the fifteenth (15th) day following the date (the “Final Approval Date”) upon which City has granted final approval of (i) a development plan for the Land (the “Plan”) (ii) a final plat for the Land (the “Plat”) and (iii) any zoning changes required to permit the development of the Land in accordance with the Plan (the “Zoning ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 5 (kbl:4/16/13:60249) Approval”). The payments required pursuant to Sections 2.1(b) and 2.1(c) above are collectively referred to herein as the “Option Fee”. Each installment of the Option Fee must be paid by certified or cashiers check made payable to CEDF, or wired directly to an accou nt designated by CEDF, provided, however, upon receipt of written notice of assignment by CEDF to City of CEDF’s rights to the Option Fee and City’s agreement to assume CEDF’s obligations relating to any required refund of the Option Fee pursuant to Section 3.2, below, Company shall pay the Option Fee to City. Upon payment of the portion of the Option Fee described in Section 2.1(c), Company shall direct the Title Company to release the Earnest Money to CEDF. Upon the release of the Earnest Money to CEDF, the Earnest Money shall be considered a part of the Option Fee for all purposes under this Agreement. 2.2 Option Granted. In consideration of payment of the Option Fee, CEDF hereby grants to Company the Option, which may be exercised only upon and subject to the following: (a) All installments of the Option Fee that are due must be paid and current; and (b) Company must deliver to CEDF, with a copy to City, a written notice of its desire and intent to close on one or more Subject Lots (“the Option Notice”) which must include: (1) a confirmation of the number of Allocated Gross Square Feet within each Subject Lot being purchased as determined from the Plat; (2) an acknowledgement and agreement that the purchase of the Subject Lot(s) is subject to the provisions of this Agreement and that this Agreement is in full force and effect; and (3) the date of the proposed Closing, which date shall be not be earlier than ten (10) Business Days or later than forty-five (45) days following delivery of the Option Notice to CEDF unless otherwise agreed by the Parties, but in any case not later than forty-five (45) days following the Expiration Date. 2.3 Withdrawal of Option Notice. After CSE delivers an Option Notice to CEDF, CSE may cancel the Option Notice on or before the date set for Closing on the Subject Lots by delivering a written notice of cancellation (“Option Cancellation Notice”) to CEDF with a copy to City and the Title Company; provided, however, if the Option Cancellation Notice is delivered on or after the fifth (5th) day prior to the Closing date set forth in the Option Notice, CSE shall pay to CEDF a cancellation fee of $250.00 which shall not be applied to any future payment of any Purchase Price. Upon the delivery of the Option Cancellation Notice, the status of the Subject Lots described in the Option Notice shall be as if the Option Notice had never been delivered to CEDF and may be included as the Subject Lots set forth in a subsequent Option Notice. ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 6 (kbl:4/16/13:60249) 2.4 Failure to Exercise Subsequent Options by Expiration Date: Company’s right to exercise the Option with respect to the Lots will terminate if not exercised on or before the Expiration Date. Article III Sale of Lots 3.1 Generally. Upon the timely exercise of the Option by Company through delivery of an Option Notice to CEDF, CEDF agrees to sell, and Company agrees to purchase, the Lot(s) described in the Option Notice subject to and in accordance with the provisions of this Agreement. 3.2 Survey and Title Commitment. (a) Not later than twenty (20) calendar days after the date of receipt of the Option Notice, CEDF shall deliver or have delivered to Company: (1) a current commitment for title insurance (the “Title Commitment”) from the Title Company for the Lot(s) subject to the Option Notice (the “Subject Lots”), setting forth the state of title to the Subject Lots, together with copies of any easements or restrictions benefiting or burdening the Subject Lots, together with all copies of all other exceptions or conditions to such title; and (2) a tax statement (the “Tax Statement”) showing the status of any ad valorem taxes owed with respect to the Subject Lots. Company may, at its option and expense, also cause a survey (the “Survey”) to be made of the Subject Lots. (b) Company shall, not later than twenty (20) days after the Company’s receipt of the Title Commitment and the Tax Statement, notify CEDF and Title Company of any objections to the Title Commitment, Survey or Tax Statement (collectively, “Title Objections”). If there are Title Objections, CEDF shall in good faith attempt to satisfy them prior to Closing, but CEDF shall not be required to incur any cost to do so. If CEDF delivers written notice to Company on or before the Closing Date that CEDF is unable to satisfy such Title Objections prior to Closing, the Closing Date shall, at the request of CEDF, be extended for a period of 60 days to provide additional time to cure the Title Objection(s). If CEDF is unable to cure the Title Objection(s) by the Closing Date, as extended, Company may either, waive such Title Objection(s) and accept such title as CEDF is able to convey, or terminate its exercise of the Option to purchase the Subject Lots by written notice to CEDF. (c) If CEDF is unable to cure the Title Objection(s) prior to the Closing Date and Company elects to terminate its exercise of its Option to purchase the Subject Lots pursuant to the Option Notice, the Subject Lots shall remain subject to a later exercise of an Option pursuant ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 7 (kbl:4/16/13:60249) to a subsequent Option Notice until the Expiration Date unless Company determines to permanently release the Subject Lots from this Agreement. Upon execution by Company of a release of the Subject Lots from this Agreement, CEDF agrees to refund the Option Fee in an amount equal to: (1) the ratio of the number of Gross Square Feet within the Subject Lots to the number of Gross Square Feet within all of the Lots; multiplied by (2) $150,000.00. In addition, if the Title Objection(s) results from any action taken by or consented to by City or CEDF after the Effective Date, CEDF shall also reimburse Company for the same pro rata share of all direct costs incurred by Company for the Project to date, plus interest on all of the above (including the portion of the Option Fee being refunded) f rom the date paid by Company until reimbursed at the rate of eight percent (8%) per annum. City’s refusal or failure to (i) approve a request by Company to amend any City zoning or subdivision regulation or grant any special exception or variance thereto, or (ii) approve any permit, site plan, certificate of occupancy, or other application requested by Company, its successors, assigns, tenants, or prospective purchasers or lessees in relation to the use of development of the Project or any portion thereof which City reasonably determines to not comply with applicable law, ordinances, regulations, or standards (including, but not limited to, health and safety laws, ordinances or regulations) shall not constitute a matter affecting title to which objection may be made by Company for purposes of obtaining a refund of the Option Fee or reimbursement of expenses pursuant to this Section 3.2 or Section 4.3(b) below. Notwithstanding anything herein to the contrary, in no case shall CEDF be required pursuant to this Paragraph (c) to refund the Option Fee in an amount greater than that portion of the Option Fee which, at the time of refund, has not been credited to the Purchase Price of one or more Lots on which closing has previously occurred. 3.3 Insured Amount of Title Policy. For purpose of determining the insured amount of each owner’s title policy to be issued with respect to each sale of Lots pursuant to this Agreement, the amount shall be the Purchase Price for the Lots being sold pursuant to the respective Option Notices less the Grant portion of said Purchase Price, if any. 3.4 Title to the Lots. At each Closing, Company shall be entitled to receive, and CEDF shall deliver, good and indefeasible fee simple title to the Lot(s) described in the Option Notice, free and clear of all liens and encumbrances, except: (a) the title exceptions shown on Exhibit “C”; (b) such liens and encumbrances in favor of Company’s lenders as may be created at the time of Closing; (c) zoning (including the Design Guidelines), the lien for current taxes, the ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 8 (kbl:4/16/13:60249) environmental condition of the Subject Lot(s), and the Covenants; and (d) such other matters as Company may waive or consent to as part of the platting process of the Land. The items described in clauses (a) – (d), above, shall be referred to herein as the “Permitted Exceptions”. CEDF and Company agree and understand that CEDF is conveying the Lots as an independent foundation for the City of Coppell, Texas. 3.5 Closing and Settlement. (a) Closing Date. Unless otherwise provided herein, the closing and settlement of the purchase and sale of the Lot(s) pursuant to any exercise of the Option (a “Closing”) shall be no earlier than the tenth (10th) business day nor later than the forty-fifth (45th) day following delivery of the Option Notice to CEDF (“the Closing Date”) unless otherwise agreed by the Parties. Notwithstanding the foregoing, the initial Closing under this Agreement shall include no less than ten (10) Lots and shall occur within the one year anniversary of the Final Approval Date, but, in any case, not until the earlier of (i) fifteen (15) days following the date upon which all but ten (10) residential lots in the adjacent Old Town Addition have received a building permit for the construction of a residential unit, or (ii) the second anniversary of the Final Approval Date. (b) Purchase Price. At each Closing, Company shall pay the Purchase Price, in cash or by certified or cashier’s check; provided, however, the Parties understand and acknowledge that the portion of the Purchase Price consisting of the Grant shall be paid outside of Closing by City on behalf of Company and not directly by Company. (c) Special Warranty Deed. At each Closing, CEDF shall deliver to the Title Company for delivery to Company a special warranty deed conveying the Subject Lots which shall be in form and substance reasonably satisfactory to CEDF, Company, and their respective counsel and containing such reservations and exceptions to title as allowed by the provisions of this Agreement, including, but not limited to, the Permitted Exceptions. (d) Covenants. At each Closing, Company shall cause the Subject Lots being purchased to be subjected to the terms of the Covenants; provided, however, the Covenants may be amended to provide that certain provisions unique to the Main Street Coppell development shall not apply to the Subject Lots. In lieu of being required to subject the Lots to the Covenants, Company may instead subject the Lots to an independent set of restrictive covenants si milar to the Covenants and otherwise approved by City. (e) Crediting Option Fee to Purchase Price. The Option Fee shall be credited to the Purchase Price of the last Lots to be purchased by Company; provided, however, if (i) CEDF and Company have closed on the sale of all of the Lots in the Option Land, and (ii) there remains any portion of the Option Fee which has not been fully credited against the Purchase Price following the Closing on the sale of the last Lotto Company, CEDF shall refund any unappl ied portion of the Option Fee to Company within thirty (30) days after said final Closing. ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 9 (kbl:4/16/13:60249) 3.6 CEDF’s Closing Costs. CEDF hereby agrees to pay and be responsible for the following closing costs: (a) the cost of all tax certificates relating to all taxes and other assessments incurred or arising in relation to the Lots; (b) one-half (½) of the Title Company’s escrow fees; (c) all costs and expenses incurred by or on behalf of CEDF, including CEDF’s attorney’s fees; (d) such other incidental costs and fees customarily paid by sellers of real property in Dallas County, Texas, for transactions of a similar nature to the transaction contemplated herein; (e) all fees and premiums for the Basic Owner’s Title Policy; provided, however, CEDF’s responsibility for payment of title policy fees and premiums for all transactions closed pursuant to this Agreement shall not exceed the amount that would be paid for a single issuance of an owner’s title policy in the amount of the total Purchase Price (not inclu ding the portion of the Purchase Price related to the Grants, if any) for all Lots calculated in accordance with the Texas title insurance rate rules in effect on the Final Approval Date; and (f) the cost of the City Survey. 3.7 Company’s Closing Cost. Company hereby agrees to pay and be responsible for the following closing costs: (a) all fees and premiums for any endorsements to the Basic Owner’s Title Policy, and fees and premiums for concurrent issuance of any mortgagee’s policy or interim construction binder for the benefit of Company’s lender; (b) all fees and premiums for the Basic Owner’s Title Policy in excess of the amount CEDF is required to pay pursuant to Section 3.6(e), above. (c) all costs for the survey(s) described in Section 3.2(a); (d) recording fees for the special warranty deed, all supplements to the Covenants (or, if applicable, any new restrictive covenants burdening the Subject Lots as authorized by Section 3.5(d), above), and any and all deeds of trusts, security agreements, collateral assignments, assignments of rents, and other similar documents related to any loan procured by the Company; (e) one-half (½) of the Title Company’s escrow fees; (f) all costs and expenses incurred by or on behalf of the Company, including ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 10 (kbl:4/16/13:60249) Company’s attorneys’ fees; (g) such other incidental costs and fees customarily paid by purchasers of property in Dallas County, Texas, for transactions of a similar nature to the transaction contemplated herein. 3.08 Proration of Taxes. Ad valorem taxes against the Lots described in the Option Notice shall be prorated as of the Closing Date and become the responsibility of Company as of the Closing Date. CEDF shall pay or cause to be released any ad valorem taxes or assessments or other charges against the Lots described in the Option Notice on or before the Closing. The Parties acknowledge and agree that the Land is currently exempt from ad valorem taxation and, therefore, no proration of ad valorem taxes is anticipated unless such exemption is removed prior to a Closing. 3.09 Representations and Covenants. CEDF represents and covenants that: (a) it has authority to enter into this Agreement; and (b) no other person has any interests in or claims against the Land (other than as reflected by the Title Commitment), and it will not hereafter encumber the Land. Company represents that it has authority to enter into this Agreement. The only representations made by any party concerning the Land and this Agreement are as set out in this Section 3.09. 3.10. Right to Inspect Land; Lots Sold As Is; CEDF Deliveries. (a) Company shall have the right to conduct such inspections and obtain such reports from third party engineers and consultants (including environmental consultants) as it may require to satisfy itself as to the condition of the Land. Not later than twenty (20) days following the Effective Date, CEDF shall make every reasonable effort to obtain from City and provide to Company, without representation or warranty of any kind, copies of all third party surveys, environmental, drainage and soil condition reports relating to the Land in the possession of City. In addition, within fifteen (15) days following the Effective Date, CEDF shall make every reasonable effort to cause City to provide to Company (i) a current title commitment from the Title Company covering the Land together with copies of all title exception documents, and (ii) a current on the ground survey of the Land prepared by a registered surveyor (the “City Survey”). If the Company does not object to the City Survey within fifteen (15) days following delivery to Company, the City Survey shall be deemed accepted by both Parties as establishing the boundaries of the Land. Company may, at its sole discretion, if it is not satisfied with th e Land for any reason or for no reason at all, terminate this Agreement by written notice to CEDF and City delivered on or before the expiration of the Inspection Period, in which case CEDF shall direct the Title Company to return the Earnest Money to Company, CEDF shall retain the Option Fee and the Parties shall have no further obligations under this Agreement. (b) Company represents that as of the Closing of any purchase of Lots pursuant to the Option that Company will have fully inspected the Land, will have made all investigations as it deems necessary or appropriate and will be relying solely upon its inspection and investigation of the Land for all purposes whatsoever, including, but not limited to, the determination of the condition of the structures, improvements, soils, subsurface, drainage, surface and groundwater ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 11 (kbl:4/16/13:60249) quality, and all other physical characteristics; availability and adequacy of utilities; compliance with governmental laws and regulations; access; encroachments; acreage and other survey matters and the character and suitability of the Land. (c) In addition, Company acknowledges and agrees that the Lots are being purchased and will be conveyed “AS IS” with all faults and defects, whether patent or latent, as of the Closing. (d) Except with respect to the quality of the title being conveyed by CEDF to Company pursuant to this Agreement, Company acknowledges and agrees that there have been no representations, warranties, guarantees, statements or information, express or implied, pertaining to the Land, its condition, or any other matters whatsoever, made to or furnished to Company by CEDF or City or any employee or agent of CEDF or City, except as specifically set forth in this Agreement. (e) During the Inspection Period, Company shall use good faith efforts to secure final approval by the City of the Plan, the Plat and the Zoning Approval, but the failure of Company to secure any such approvals shall not constitute a default by Company hereunder. (f) The provisions of this Section 3.10 shall survive the Closing, whether one or more, and the termination of this Agreement. 3.11 Pre-Closing Development of the Land. Within three (3) Business Days following the payment in full by Company of the Option Fee (including the portion of the Option Fee payable pursuant to Section 2.1(c)), CEDF shall make every reasonable effort to cause City to execute and record the Temporary Construction Easement Agreement (“Easement Agreement”) substantially in the form attached hereto as Exhibit “B” and incorporated herein by reference. Pursuant to the Easement Agreement, Company and the other persons named in the Easement Agreement shall have the right to enter upon the Land and install the Public Infrastructure and all work required to prepare the Lots for sale to homebuilders. 3.12 Additional Conditions of Closing. Notwithstanding anything to the contrary herein, no Closing shall occur unless and until the following conditions have been satisfied: (a) Company and City have agreed upon either (i) the form of any restrictive covenants to be applicable to the Subject Lots if other than the Covenants as provided in Section 3.5(d), above, or (ii) the form of the amendment to the Covenants which sets forth any amendments to or exemptions from the Covenants that will be applicable to the Subject Lots; and (b) City and Company have agreed to the Plan; (c) City has approved the Plat and granted the Zoning Approval; (d) City and Company have entered into an agreement relating to the provision of the Grants to Company and the construction of the Public Infrastructure on the Land prior to the ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 12 (kbl:4/16/13:60249) conveyance of any Lots by City to CEDF; (e) Execution and delivery of the Easement Agreement by City; (f) Construction of the Public Infrastructure has been completed and accepted by City, unless such condition is waived by City; and (g) CEDF has closed on the purchase of the Subject Lots from City, which may occur at a simultaneous closing with a Closing on the sale of the Subject Lots by CEDF to Company. Article IV Default, Termination, Remedies 4.1 Termination Events. In addition to such other circumstances as set forth elsewhere in this Agreement, this Agreement shall terminate upon the occurrence of any one or more of the following: (a) the execution by the Parties of a written agreement terminating this Agreement; (b) the Expiration Date; (c) by a party providing written notice of termination to the other party after the party receiving the notice has (1) failed to cure a breach of the terms and conditions of this Agree ment within 30 days after receiving written notice of said breach or (2) with respect to a breach that cannot under the circumstances be reasonably cured within said 30 day period, the breaching party has failed to commence the cure of such breach within 30 days after receiving written notice of said breach and thereafter diligently pursued to completion the cure of said breach; (d) by CEDF, if Company suffers an Event of Bankruptcy, Insolvency, or Forfeiture; provided that, in the case of a Forfeiture involving the suspension or termination of Company’s right to conduct business in the State of Texas, CEDF has sent written notice of such event to Company and Company has failed to cause the revocation (or equivalent action) of such suspension or termination within sixty (60) days thereafter; (e) the failure of Company to close on the purchase of at least ten (10) Lots within the time provided by Section 3.5(a) above, unless the date of such Closing is extended by agreement of the Parties or as otherwise allowed by the provisions of this Agreement; and (f) the failure of a financial institution, its successors, or assigns that holds a security interest in this Agreement pursuant to a collateral assignment as described in Section 6.3(a) below to assume, within thirty (30) days following the foreclosure of such collateral assignment, the rights and obligations of the Company in this Agreement. 4.2 Termination by CEDF. In the event this Agreement is terminated by CEDF pursuant to Section 4.1(c), (d), (e) or (f), or the Expiration Date passes without CEDF having exercised the Option to purchase all of the Lots, CEDF shall, as its sole and exclusive remedy: ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 13 (kbl:4/16/13:60249) (a) be relieved of any further obligation under this Agreement to sell any Lots to Company for which closing has not yet occurred; and (b) be relieved of any obligation, if any, to refund any portion of the Earnest Money or Option Fee paid pursuant to this Agreement, to the extent this Agreement would otherwise require such refund. 4.3 Termination by Company. In the event this Agreement is terminated by Company pursuant to Section 4.1(c) prior to the Closing on all Lots, Company’s sole remedy shall be to either: (a) enforce specific performance of the Obligations of CEDF under this Agreement; or (b) recover liquidated damages from CEDF equal to the sum of (i) the amount of the Option Fee paid to date plus (ii) all direct costs incurred by Company for the Project to date, multiplied by the ratio found by dividing the number of Gross Square Feet within the Lots not yet purchased by the number of Gross Square Feet within all of the Lots, plus interest on the sums described in clauses (i) and (ii) above from the date paid by Company until reimbursed at the rate of eight percent (8%) per annum. 4.4 Certain City Acts Not Grounds for Default. City’s refusal or failure to (i) approve a request by Company to amend any City zoning or subdivision regulation or grant any special exception or variance thereto, or (ii) approve any permit, site plan, certificate of occupancy, or other application requested by Company, its successors, assigns, tenants, or prospective purchasers or lessees in relation to the use of development of the Project or any portion thereof which City reasonably determines to not be in compliance wit h applicable law, ordinances, regulations, or standards (including, but not limited to, health and safety laws, ordinances or regulations) shall not constitute an event of default by CEDF for purposes of obtaining a refund of the Option Fee or reimbursement of expenses pursuant to Section 3.2 or Section 4.3(b) above. Article V Notices 5.1 Delivery of Notices. All notices, requests, demands or other communications required or permitted hereunder shall be in writing and shall be deemed to have been fully and completely made when given by hand, by confirmed facsimile transmission or by overnight delivery by Federal Express or other reliable courier or the mailing of such by registered or certified mail, addressed as follows: ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 14 (kbl:4/16/13:60249) If intended for CEDF, to: Coppell Economic Development Foundation 255 Parkway Blvd. Coppell, Texas 75019 Attn: Clay Phillips Telephone (972) 304-3677 With copy to: Robert E. Hager Kevin B. Laughlin Nichols, Jackson, Dillard, Hager & Smith, L.L.P. 1800 Lincoln Plaza 500 N. Akard Street Dallas, Texas 75201 Telephone (214) 965-9900 Fax (214) 965-0015 Email: rhager@njdhs.com klaughlin@njdhs.com If intended for Company, to: CSE Commercial Real Estate, L.P. 4956 N. O’Connor Road Irving, Texas 75062 Attn: Charles Cotten With Copy to: Jeffrey Fink Apple & Fink, LLP 735 Plaza Boulevard, Suite 200 Coppell, Texas 75019 5.2 Change of Address for Notice. Any party may at any time and from time to time by notice in writing to the other party hereto change the name or address of the person to whom notice is to be given as hereinbefore provided. Article VI Miscellaneous. 6.1 Entireties. This Agreement contains the entire agreement of the Parties pertaining to the Land and the sale and purchase of the Lots. ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 15 (kbl:4/16/13:60249) 6.2 Modifications. This Agreement may only be modified by a written document signed by the Parties. 6.3 Assignment. Company may not assign its rights under this Agreement to any entity without the express written consent of CEDF; provided, however, Company may, without prior approval but with written notice to CEDF: (a) grant a security interest in this Agreement by means of a collateral assignment of this Agreement to a financial institution providing financing to Company for the purchase of the Lots and/or development of the Project, but only if such collateral assignment obligates the financial institution: (1) to notify CEDF of any default in the provisions of any note or security agreement which is secured in whole or in part by a security agreement in this Agreement; and (2) acknowledges and agrees that CEDF may terminate this Agreement pursuant to Section 4.1(f) if the financial institution, its successors and assigns, fails to agree in writing to assume the rights and obligations of Company within thirty (30) days following such foreclosure in the event the financial institution forecloses its security interest in this Agreement; (b) assign this Agreement to an entity duly authorized to conduct business in the State of Texas controlled by Charles Cotten or to Darling Hom es of Dallas, Ltd. or an affiliate thereof (“Darling”), but only if the new entity or Darling, as the case may be, agrees in writing, in a form approved by CEDF, to assume all rights and obligations of Company under this Agreement. Company understands, acknowledges and agrees that CEDF shall be under no obligation to release Company, its partners, shareholders, successors, representatives, or assigns from the obligations set forth in this Agreement in the event of any assignment of this Agreement, whether such assignment is made with or without the consent of CEDF. 6.4 Estoppel Letter. CEDF shall, upon the written request of Company, and within a reasonable time thereafter, provide an estoppel letter or similar document requested by any financial institution providing financing for the Project or Darling confirming the existence and terms of this Agreement, and such other matters as shall be reasonably requested by such financial institution or Darling. 6.5 Residential Lot Development. Company shall cause all Lots and structures to be designed and constructed with noise mitigation features as reasonably determined by Company and approved by City. Company shall cause all purchasers, tenants and occupants of the Lots and buildings/improvements thereon to be notified in writing of the noise conditions existing on the Lots and of the existence of any noise conditions prior to occupancy. In addition to such other notes that may be required by City ordinance, every plat or replat of all or any portion of the Land shall include a note that reads substantially as follows: ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 16 (kbl:4/16/13:60249) NOTICE: The property described in this plat is located within close proximity to the flight approach and departure paths of Dallas-Fort Worth International Airport and the City of Coppell Service Center. Consequently, the property described in this plat may be subject to increased noise levels resulting from activities on the adjacent City-owned property or from aircraft operations occurring above or in close proximity to the property. 6.6 Time is of the Essence. Time is of the essence with respect to the performance by the Parties of their respective obligations hereunder. 6.7 Non-Business Day. If the final date of any period provided herein for the performance of an obligation or for the taking of any action falls on a Saturday, Sunday, or holiday, then the end of such period shall be extended to the next Business Day. 6.8 Platting and Zoning. CEDF assumes no obligation to change the current platting or zoning on the Land, but will cooperate to the extent of signing or causing the City to sign any necessary applications or plats as owner of the Property. 6.9 Brokers. The Parties represent and warrant that they have not worked with any broker relative to this transaction and that no brokerage commission is due and payable upon the Closing. To the extent allowed by law, each party shall indemnify each other from any claim for brokers’ commissions relative to the sale of the property and alleged to be due. 6.10 Counterparts. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original for all purposes and constitute one and the same instrument; but in making proof of this Agreement, it shall not be necessary to produce or account for more than one such counterpart. 6.11 Legal Construction. In the event any one or more of the provisions contained in this Agreement shall for any reason be held to be invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect other provisions, and the Agreement shall be construed as if such invalid, illegal, or unenforceable provision had never been contained in it. 6.12 Law Governing. This Agreement shall be construed under and in accordance with the laws of the State of Texas; and venue for any action arising from this Agreement shall be in the State District Court of Dallas County, Texas. The Parties agree to submit to the personal and subject matter jurisdiction of said court. 6.13 Survival of Covenants. Any of the representations, warranties, covenants, and obligations of the Parties, as well as any rights and benefits of the Parties, pertaining to a period of time following the Closing or the termination of the Agreement shall survive. 6.14 Attorneys Fees. If it becomes necessary for either Party hereto to file a suit to enforce this Agreement or any provisions contained herein, the Prevailing Party in such action is ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 17 (kbl:4/16/13:60249) entitled to recover, in addition to all other remedies or damages, reasonable legal fees and court costs incurred by the Prevailing Party in such suit. The term “Prevailing Party” means the Party whose relief in an action is closest to the relief sought in the initial pleading in such proceeding (whether by way of affirmative recovery or defense of claim). 6.15 Recording; Memorandum of Option. The Parties hereto agree that this Agreement shall not be recorded. The Parties shall, if requested by Company following the full payment of the Option Fee, execute and record a Memorandum of Option describing the option granted to Company hereunder. (Signatures on Following Page) ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 18 (kbl:4/16/13:60249) SIGNED AND AGREED this the ______ day of ___________, 2013. Coppell Economic Development Foundation By: ____________________________________ James W. Walker, President SIGNED AND AGREED this the ________ day of ___________, 2013. CSE Commercial Real Estate, L.P. By: Debco Partners, LLC, its general partner By: _________________________ Charles Cotten, Member ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 19 (kbl:4/16/13:60249) Exhibit "A" Conceptual Plan ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 20 (kbl:4/16/13:60249) Exhibit "B" Form of Temporary Construction Easement Agreement NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU ARE A NATURAL PERSON, YOU MAY REMOVE OR STRIKE ANY OR ALL OF THE FOLLOWING INFORMATION FROM ANY INSTRUMENT THAT TRANSFERS AN INTEREST IN REAL PROPERTY BEFORE IT IS FILED FOR RECORD IN THE PUBLIC RECORDS: YOUR SOCIAL SECURITY NUMBER OR YOUR DRIVER'S LICENSE NUMBER TEMPORARY CONSTRUCTION EASEMENT AGREEMENT STATE OF TEXAS § § KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS § This TEMPORARY CONSTRUCTION EASEMENT AGREEMENT (this “Agreement”) is made and executed as of the _____ day of ____________________, 20__, (the “Effective Date”), by and between CITY OF COPPELL, TEXAS, a Texas home rule municipality (“Grantor”), whose mailing address is P.O. Box 9478, Coppell, Dallas County, Texas 75019, and CSE COMMERCIAL REAL ESTATE, L.P., a Texas limited partnership (“CSE”) and its permitted successors and assigns (collectively, “Grantee”), whose mailing address is 4956 N. O’Connor Road, Irving, Dallas County, Texas, 75062. Preliminary Statements Grantor and Grantee agree that the following preliminary statements are true and correct in all material respects and incorporated into this Agreement: A. Capitalized terms used herein which are not otherwise defined shall have the meaning set forth in the Option Agreement (as defined below). B. Grantor owns that certain tract of real property situated in the City of Coppell, Dallas County, Texas, more particularly described on Exhibit “A” attached and incorporated into this Agreement (the “Land”). C CEDF and Grantee have entered into that certain Option Agreement dated _____________, 2013 (as amended, the “Option Agreement”) granting Grantee an option to purchase the Lots (the “Option Land”). D. Grantor and CEDF have entered into that certain Purchase and Sale Agreement dated _____________, 2013 (“the City/CEDF” Agreement”) by which Grantor has agreed to sell the Option Land to CEDF on or before the date that Grantee purchases the Option Land from Grantor. E. Grantee has agreed to construct the Project upon the Land. F. In order to facilitate the timely construction of the Project, Grantee has requested a temporary construction easement over the Land for the purpose of installing the Public Infrastructure and the improvements that will comprise the Project prior to conveyance of title to the Option Land to CEDF or Grantee. ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 21 (kbl:4/16/13:60249) G. Grantor has agreed to grant a temporary construction easement to Grantee to facilitate the construction of the Public Infrastructure and the improvements which will comprise the Project, on the terms and conditions set forth below. Agreement NOW, THEREFORE, in consideration of the mutual agreements set forth herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 1. Grant of Temporary Easement for Construction. Subject to the terms and provisions contained in this Agreement, Grantor hereby grants to Grantee for use by Grantee and all future owners of all or any portion of the Option Land, and all contractors and subcontractors of Grantee and future owners of all or any portion of the Option Land (collectively, the “Beneficiaries”), a non-exclusive temporary easement (the “Construction Easement”) on, over and across the Land for the purpose of permitting the Beneficiaries to construct the Public Infrastructure and the improvements which will comprise the Project. Upon Substantial Completion of the Public Infrastructure, Grantor shall inspect the same and sha ll, subject to the completion of all identified punch list items, assignment of customary Grantor warranty and bonding requirements, and compliance with all of Grantor’s applicable ordinances and construction standards and specifications, accept the same as public property to be maintained and repaired by Grantor. 2. Restriction on Use of Land. Use of the Land by the Beneficiaries shall be subject to the following restrictions: (a) The Land shall not be used by any Beneficiary for the storage of materi als, supplies or equipment for a period of longer than twelve (12) months without the prior written consent of Grantor. (b) All materials, supplies or equipment stored upon the Land shall be at the sole risk and expense of the owner or lessee of such materials, supplies or equipment, and Grantor shall have no responsibility or liability whatsoever for any damage to or theft of such items. (c) No improvements of any nature, including temporary fencing or latrines, shall be placed or constructed upon the Land without the prior written consent of Grantor. (d) Except when authorized by Grantor’s ordinances or as otherwise authorized in writing by Grantor, no storage of materials, supplies, or equipment shall occur within any area of the Land which has been dedicated, conveyed, or otherwise reserved by plat or separate instrument as a public road or street, public utility (including, water, sanitary sewer, storm sewer, gas, or telecommunications) easement, or drainage easement on, under, and/or over which is located any portion of the Public Infrastructure which has been completed and accepted as public property by Grantor. 3. Reservation of Grantor’s Rights. Grantor reserves the right to use the Land for any purpose not inconsistent with the uses for which the grant of the Construction Easement is made, including, without limitation, the granting of easements for public streets, utilities. or drainage as contemplated by the Plan. 4. Duration of Easement. This Agreement and all rights associated therewith shall be ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 22 (kbl:4/16/13:60249) temporary and terminate upon the earlier of (i) the mutual agreement of the parties (as provided in Section 9, below), (ii) the termination of the Option Agreement, and (iii) 20 years following the date of recordation of this Agreement. This Agreement shall also terminate as to those portions of the Land conveyed to Grantee pursuant to the Option Agreement after the Effective Date. Upon the termination of this Agreement as to the entire Land, Grantee and Grantor shall execute and record in the Offi cial Public Records of Dallas County, Texas, a release of this Agreement. 5. Hazardous Materials: Grantee shall not cause or allow any Hazardous Material to be placed, stored, generated, used, released or disposed of, in, on, under, about, or transported from the Land unless Grantee has complied with the following: (a) Grantee must obtain Grantor’s prior express written consent. Grantor may impose, as a condition of such consent, reasonable requirements, such as limits of the manner, time and contractor’s associated with such. (b) Grantee shall comply with prudent business practices and also with all applicable federal, state and local laws, ordinances, regulations, guidelines and order relating to health, safety and protection of persons, the public, and/or the environment. (c) Grantee shall limit the presence of such Hazardous Material to the least amount reasonably necessary for Grantee’s use of the Land as authorized by this Agreement. (d) Upon the request of Grantor, Grantee shall furnish reports, assessments or other evidence reasonably satisfactory to Grantor showing that the Land is not being used, nor have the Land been used by Grantee for any activities involving, directly or indirectly, the use, generation, treatment, storage or disposal of any Hazardous Materials other that those Hazardous Materials authorized by Grantor. (e) If at any time a release or danger of a release of Hazardous Materials is discovered on the Land or on or into Grantor’s sewage or storm drainage system, soil, ai r, groundwater or any improvements, which was caused or permitted by Grantee or Grantee’s officers, agents, employees, contractors, permittees, invitees, lessees or sublessees or there is the imminent danger of such release of Hazardous Materials, Grantee, at its sole cost and expense, shall ensure removal of such Hazardous Materials from the Land, the underlying groundwater, Grantor’s soil, air, storm drainage and the sewage system, in accordance with requirements of all appropriate governmental authorities. (f) In addition to notification of proper governmental authorities, Grantee shall immediately notify Grantor’s City Manager of any release of Hazardous Materials that exceeds the minimum amount that must be reported to a public agency. (g) Upon discovery of any Hazardous Materials that are a direct result of Grantee’s activities on, in, under or emanating from the Land, any release or threat of release of a Hazardous Materials, and/or any illness caused by exposure thereto, Grantee shall immediately, and at its sole cost and expense, take all actions necessary to remediate, abate, and/or rectify any such conditions at or upon the Land; provided, however, Grantee shall have no liability for pre - existing or subsequently discovered Hazardous Materials. For purposes of this paragraph, anything that is considered to be “pre-existing” means anything that existed on the Land prior to Grantee coming into possession of the Land pursuant to this Agreement. ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 23 (kbl:4/16/13:60249) (h) In addition to all other rights and remedies of Gr antor, if the removal of such Hazardous Materials from the Land, Grantor’s sewage or storm drainage system, soil, air, groundwater, or any improvements is not commenced by Grantee within thirty (30) days after written notice from Grantor of the discovery of such Hazardous Materials and continuously pursued using commercially accepted methods and in accordance with standards promulgated by the State of Texas or the United States Environmental Protection Agency (“EPA”), Grantor, in its discretion, may pay to have same removed and Grantee shall reimburse Grantor within thirty (30) days of Grantor’s demand for payment. If Grantor is required to remediate and/or abate any such conditions caused by Grantee on or upon the Land, Grantee shall reimburse Grantor for all costs and expenses incurred in so doing. In its sole discretion, Grantor may, but shall not be required to, grant Grantee more than fifteen (15) days after written notice to remove Hazardous Materials, all at Grantee’s expense. (i) Immediately upon receipt thereof, Grantee shall provide Grantor with copies of any notices, claims, complaints, demands, lawsuits, hearing, investigations, or governmental requests for information relating to the environmental condition on or of the Land and/or Hazardous Materials on, in, under or emanating from the Land during Grantee’s occupancy thereof pursuant to this Agreement. 6. Insurance. On or before the commencement of construction of the Public Infrastructure, and until the termination or expiration of this Agreement, Grantee shall, at Grantee’s expense, obtain and maintain the following insurance policies in accordance with the following terms and conditions: (a) A Comprehensive General Liability policy of insurance for bodily injury, death and property damage insuring against all claims, demands or actions relating to the Company’s performance of its obligations pursuant to this Agreement with a minimum combined single limit of not less than $1,000,000 per occurrence for bodily injury and property damage with an aggregate of not less than $2,000,000; (b) An automobile liability insurance policy covering any vehicles owned and/or operated by Company, its officers, agents, and employees, and used in the performance of its obligations hereunder with a minimum of $1,000,000; and (c) If Company hires any employees, statutory Worker’s Compensation Insurance covering all employees involved in the performance of its obligations hereunder; (d) Insurance covering the Public Infrastructure until accepted by Grantor against loss or damage from perils covered by an all risk or special form policy in amounts not less than eighty (80%) percent of the full insurable value of the buildings and other improvements included in the Public Infrastructure; and (e) Construction liability insurance at all times when demolition, excavation, or construction work is in progress on the Land with limits of not less than $100,000 for property damage and $300,000 for one person and $1,000,000 for one accident for personal injury and must protect City and Company, against all liability for injury or damage to any person or property in any way arising out of demolition, excavation, or construction work on the Land. All insurance shall be endorsed to provide the following provisions: (1) name the City, its officers, agents and employees as additional insureds as to all applicable coverage with the exception of Workers Compensation Insurance; (2) provide for at least thirty (30) days prior written notice to City for cancellation, non-renewal, or material change of the insurance; (3) provide for a waiver of subrogation ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 24 (kbl:4/16/13:60249) against City for injuries, including death, property damage, or any other loss to the extent the same is covered by the proceeds of insurance. All insurance companies providing the required insurance shall be authorized to transact business in Texas and rated at least “A” by AM Best or other equivalent rating service. A certificate of insurance evidencing the required insurance with endorsements shall be submitted to City prior to Commencement of Construction of the Public Infrastructure. Without limiting any of the other obligations or liabilities of Grantee, Grantee shall require its general contractors, at the general contractor's own expense, to maintain during the term of this Agreement, the above-required insurance (including the required certificate and policy conditions as stated herein) for so long as such contractor is performing work on the Land. 7. Release. The Beneficiaries hereby release Grantor, its successors and assigns, and their respective agents, officers, employees, lessees, tenants, subtenants, licensees and invitees (collectively, the “Protected Parties”) from damage to property or injuries, including loss of life, sustained by any person or persons caused by or arising out of the use of the Land or the Construction Easement by the Beneficiaries. In addition, Grantee agrees to obtain waivers of subrogation rights by Grantee’s insurer against the Protected Parties pursuant to the insurance required to be obtained by Grantee pursuant to Section 5 above. GRANTOR AND GRANTEE INTEND FOR THE RELEASE AND WAIVER SET FORTH IN THIS SECTION 6 TO APPLY EVEN IF THE LOSS OR DAMAGE DESCRIBED IN SUCH SECTION IS CAUSED BY THE NEGLIGENCE OF THE PROTECTED PARTIES AND EVEN IF THE PROTECTED PARTIES WOULD OTHERWISE BE STRICTLY LIABLE FOR SUCH LOSS OR DAMAGE UNDER APPLICABLE LAW. 8. Indemnification. GRANTEE SHALL INDEMNIFY, DEFEND, AND HOLD GRANTOR FOREVER HARMLESS AGAINST AND FROM ANY PENALTY, OR ANY DAMAGE, OR CHARGE, IMPOSED FOR ANY VIOLATION OF ANY LAW, ORDINANCE, RULE OR REGULATION ARISING OUT OF THE USE OF THE LAND BY ANY BENEFICIARY, WHETHER OCCASIONED BY THE NEGLIGENT ACT OR OMISSION OF ANY BENEFICIARY, ITS EMPLOYEES, OFFICERS, AGENTS, CONTRACTORS OR ASSIGNS OR THOSE HOLDING UNDER GRANTEE. GRANTEE SHALL AT ALL TIMES DEFEND, PROTECT AND INDEMNIFY AND IT IS THE INTENTION OF THE PARTIES HERETO THAT GRANTEE HOLD GRANTOR HARMLESS AGAINST AND FROM ANY AND ALL LOSS, COST, DAMAGE, OR EXPENSE, INCLUDING ATTORNEY’S FEE, ARISING OUT OF OR FROM ANY ACCIDENT OR OTHER OCCURRENCE ON OR ABOUT THE LAND CAUSING PERSONAL INJURY, DEATH OR PROPERTY DAMAGE RESULTING FROM USE OF THE LAND BY ANY BENEFICIARY, ITS OFFICERS, EMPLOYEES, AGENTS, CONTRACTORS, AND INVITEES IN CONNECTION WITH THIS AGREEMENT, EXCEPT WHEN CAUSED BY THE WILLFUL MISCONDUCT OR GROSS NEGLIGENCE OF GRANTOR, ITS OFFICERS, EMPLOYEES OR AGENTS, AND ONLY THEN TO THE EXTENT OF THE PROPORTION OF ANY FAULT DETERMINED AGAINST GRANTOR FOR ITS WILLFUL MISCONDUCT OR GROSS NEGLIGENCE. THE RIGHTS AND PROTECTIONS AFFORDED TO GRANTOR IN THIS SECTION 7 SHALL ALSO EXTEND TO GRANTOR’S ELECTED AND APPOINTED OFFICIALS, EMPLOYEES, AGENTS, AND REPRESENTATIVES. THIS SECTION 7 SHALL SURVIVE THE TERMINATION OF THIS AGREEMENT. 9. Benefit; Binding Effect. This Agreement is binding upon and shall inure to the benefit of Grantor and its successors and assigns and the Beneficiaries, including, without limitation, all other persons or entities having or acquiring any right, title or interest in the Option Land, or any portion thereof. 10. Amendment/Termination. This Agreement may be amended or terminated only by written agreement executed by Grantor and Grantee, without the joinder of any other owners of all or any portion of the Land or the Option Land. Any such amendment shall be effective when filed for record in ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 25 (kbl:4/16/13:60249) the Official Public Records of Dallas County, Texas. 11. Default. In the event Grantee fails to perform any of Grantee’s obligations and/or comply with any of the restrictions set forth in this Agreement (a “Default”), Grantor may give written notice to Grantee of said Default (the “Default Notice”). If Grantee does not cure any such Default within thirty (30) days after receipt of the Default Notice, or such earlier time if the Default ma y be reasonably cured prior to such 30-day period, then Grantor shall be entitled to all remedies available at law or in equity, including, without limitation, (i) the right to specific performance and (ii) the right to take such self-help measures as are necessary to cure the Default. In the latter event, Grantor may, among other things, perform any such maintenance, repair and/or replacement as is necessary to cure the Default. Any costs incurred by Grantor shall be reimbursed by Grantee not later than thirty (30) days of presentation of appropriate statements of actual costs incurred therefor, together with interest at the maximum rate allowable at law (accruing from the date said expenses were incurred). Notwithstanding the foregoing, no Default shall entitle Grantor to terminate the Construction Easement other than as provided in Sections 4 and 9 above. 12. Attorneys' Fees. Should any party hereto employ an attorney for the purpose of enforcing or construing this Agreement, or any judgment based on this Agreement, in any legal proceeding whatsoever, including insolvency, bankruptcy, arbitration, declaratory relief or other litigation, the prevailing party shall be entitled to receive from the other party or parties thereto reimbursement for all reasonable attorneys' fees and all costs, whether incurred at the trial or appellate level, including but not limited to service of process, filing fees, court and court reporter costs, investigative costs, expert witness fees and the cost of any bonds, whether taxable or not, and such reimbursement shall be included in any judgment, decree or final order issued in that proceeding. The term “prevailing party” means the party whose relief in an action is closest to the relief sought in the initial pleading in such proceeding (whether by way of affirmative recovery or defense of claim). 13. Severability. If any provision of this Agreement is held to be invalid, illegal or otherwise unenforceable for any reason, the remaining provisions of this Agreement shall remain in full force and effect and shall not be affected thereby. 14. Governing Law. The validity of this Agreement and any of its terms and provisions, as well as the rights and duties of the parties, shall be governed by the laws of the State of Texas; and venue for any action concerning this Agreement shall be in State District Court of Dallas County, Texas. The parties agree to submit to the personal and subject matter jurisdiction of said court. 15. Entire Agreement. This Agreement embodies the complete agreement of the parties hereto, superseding all oral or written, previous and contemporary agreements between the parties and relating to the matters in this Agreement, and except as otherwise provided herein cannot be modified except as provide in Section 10 above. Notwithstanding the foregoing, to the extent of any inconsistency between the terms and conditions of this Agreement and the terms and conditions of the Option Agreement, the terms of the Option Agreement shall control. 16. Notice. Any notice required or permitted to be delivered hereunder shall be deemed received (i) three (3) days after deposit into the United States Mail, postage prepaid, certified mail, return receipt requested, addressed to the party at the address set forth below or (ii) on the day actually received if sent by courier or otherwise hand delivered. ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 26 (kbl:4/16/13:60249) If intended for Grantor, to: Attn: City Manager City of Coppell, Texas P.O. Box 478 Coppell, Texas 75019 With a copy to: Robert E. Hager Nichols, Jackson, Dillard, Hager & Smith, L.L.P. 500 North Akard, Suite 1800 Dallas, Texas 75201 If intended for Grantee, to: CSE Commercial Real Estate, LP 4956 N. O'Connor Road Irving, Texas 75062 Attn: Charles Cotten With a copy to: Jeffrey Fink Apple & Fink, LLP 735 Plaza Boulevard, Suite 200 Coppell, TX 75019 Any party shall have the right to change its address for notice by sending notice of change of address to each other party, in the manner described above. Beneficiaries (other than Grantee) including, without limitation, all other persons or entities having or acquiring any right, title or interest in the Option Land, or any portion thereof, by using the Land and accepting the benefits of this Agreement, are deemed to have irrevocably appointed Grantee as their agent for purposes of receipt of notice made pursuant to this Agreement, which agency is accepted by Grantee. Failure of Grantee to forward any notice provided by Grantor pursuant to this Agreement to a Beneficiary shall not constitute a fai lure of Grantor to provide proper notice pursuant to this Agreement. 17. Captions. Titles, headings or captions of articles or paragraphs contained in this instrument are inserted only as a matter of convenience and for reference, and in no way define, limit, extend or describe the scope of this instrument or the intent of any provisions hereof. 18. Multiple Counterparts. This Agreement may be executed in any number of identical counterparts, each of which for all purposes shall be deemed an original document and all of which together shall constitute but one and the same document; but, in making proof of this Agreement, it shall not be necessary to produce or account for more than one such counterpart. ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 27 (kbl:4/16/13:60249) IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first set forth above. GRANTOR: CITY OF COPPELL, TEXAS By: ________________________________ Karen Selbo Hunt, Mayor GRANTEE: CSE COMMERCIAL REAL ESTATE, L.P., a Texas limited partnership By: Debco Partners, L.L.C., a Texas limited liability company, general partner By: _________________________ Charles Cotten, Member ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 28 (kbl:4/16/13:60249) STATE OF TEXAS § § COUNTY OF DALLAS § This instrument was acknowledged before me this ___ day of _______________, 20__, by Karen Selbo Hunt, Mayor of the City of Coppell, Texas, a Texas home rule municipality, on behalf of said municipality. ______________________________________ Notary Public, State of Texas Commission Expires:_____________________ STATE OF TEXAS § § COUNTY OF DALLAS § This instrument was acknowledged before me this _________ day of ___________, 20__, by Charles Cotten, member, Debco Partners, LLC, a Texas limited liability company, on behalf of said company in its capacity as General Partner for CSE Commercial Real Estate, L.P., a Texas limited partnership, for and on behalf of said company and partnership. Notary Public, State of Texas My Commission expires:_______________ ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 29 (kbl:4/16/13:60249) Exhibit "A" Land [To Be Attached] ATTACHMENT 1 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 30 (kbl:4/16/13:60249) Exhibit “C” Title Exceptions 1. Any street, utility (including water, sanitary sewer, gas, and telecommunications), drainage, and other easements dedicated to City on behalf of the public on the Plat approved prior to Closing, which easements shall be retained and reserved by City at Closing on the sale of the Lots to CEDF. 2. All oil, gas and other minerals owned by City located in and under the Land and that may be produced from the Lots to the extent not reserved by prior grantors; provided, however, City, for itself and its successors and assigns has agreed to waive all surface rights and other rights of ingress and egress in and to the Lots, and agree that in conducting operations with respect to the exploration for and production, processing, transporting and marketing of oil, gas and other minerals from the Lots, that no portion of the surface of the Lots will be used, occupied or damaged and that fixtures, equipment, buildings or structures used in connection with the exploitation of the reserved mineral, oil and gas rights, shall not be placed on the surface of the Lots; provided, however. the restrictions or prohibitions on use of the surface shall not prohibit the pooling or unitization of the portion of the mineral estate owned by City with land other than the Lots; or the exploration or production of the oil, gas, and other minerals by means of wells that are drilled or mines that open on land other than the Lots but enter or bottom under the Lots, provided that these operations in no manner interfere with the surfac e or subsurface support of any improvements constructed or to be constructed on the Lots. ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 1 (kbl:4/16/13:60249) ATTACHMENT 2 FORM OF DEVELOPMENT AGREEMENT STATE OF TEXAS COUNTY OF DALLAS § § § § DEVELOPMENT AND ECONOMIC DEVELOPMENT GRANT AGREEMENT BETWEEN CITY OF COPPELL AND CSE COMMERCIAL REAL ESTATE, L.P. This Development Agreement (this “Agreement”) is made by and between the City of Coppell, (“City”), a Texas home rule municipality and CSE Commercial Real Estate, L.P., (“Company”) a Texas limited partnership or its permitted assigns, acting by and through their respective authorized officers or partners. WITNESSETH: WHEREAS, City desires that the Project be developed in accordance with the Plan on the Land, which presently is owned by City; and WHEREAS, the City Council has determined that Company has presented the proposal that will be most advantageous to City for development of the Land for the Project; and WHEREAS, Company will develop the Land and purchase the finished Lots in phases in accordance with the Option Agreement; and WHEREAS, Company has advised City that a contributing factor that would induce Company to develop the Land and construct the Project would be an agreement by City to provide an economic development grant to Company to the extent such grant is necessary to purchase Lots pursuant to the Option Agreement in the event the fair market value of the Land, as determined by City, exceeds $4.70 per square foot; and WHEREAS, City has adopted programs for promoting economic development; and WHEREAS, City is authorized by TEX. LOC. GOV’T. CODE § 380.001 to provide economic development grants to promote local economic development and to stimulate business and commercial activity in City’s incorporated limits; and WHEREAS, City has determined that making an economic development grant to the Company in accordance with this Agreement will further the objectives of City, will benefit the City and City’s inhabitants and will promote local economic development and stimulate business and commercial activity in City. WHEREAS, City is authorized by Article 52-a Texas Constitution and TEX. LOC. GOV’T CODE CHAPTER 380 to provide economic development grants to promote local economic development and to stimulate business and commercial activity in the City; and ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 2 (kbl:4/16/13:60249) WHEREAS, City will continue to retain title to the Land while Company constructs or causes the construction of the Public Infrastructure necessary to serve the Lots to be purchased by Company pursuant to the Option Agreement; and WHEREAS, City and Company desire to set forth the terms and conditions pursuant to which the construction of the Public Infrastructure will occur while City retains title to the Land; NOW THEREFORE, in consideration of the foregoing, and other valuable consideration the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: Article I Term The term of this Agreement shall begin on the Effective Date and continue until the Expiration Date, unless sooner terminated as provided herein. Article II Definitions Unless the context clearly indicates a different meaning, the following words and phrases shall have the meanings set forth below: “Allocated Gross Square Feet” shall have the meaning set forth in the Option Agreement. “Business Day” means a day on which banks in Dallas, Texas are generally open for business (but not including Saturdays). “CEDF” means the Coppell Economic Development Foundation, a Texas non-profit corporation. “City” means the City of Coppell, Texas. “City Contract” means that certain Purchase and Sale Agreement by and between City and CEDF relating to the sale by City of the Land to CEDF. “City Council” means the City Council of the City of Coppell, Texas. “Commencement of Construction” means with respect to the Public Infrastructure, that: (i) the plans have been prepared and all approvals thereof required by applicable governmental authorities have been obtained; (ii) all necessary permits for construction pursuant to the respective plans therefore have been issued by all applicable governmental authorities; and (iii) grading of the Land has commenced for the Public Infrastructure. ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 3 (kbl:4/16/13:60249) “Company” means CSE Commercial Real Estate, L.P., a Texas limited partnership, or its permitted assigns. “Completion of Construction” means with respect to the Public Infrastructure that: (i) the Public Infrastructure, or portion thereof, has been substantially completed, and (ii) a certificate of substantial completion has been issued by the general contractor(s) for the work; and (iii) the City has accepted the Public Infrastructure or portion thereof. “Concept Plan” means a preliminary conceptual plan for the development of the Land for the Project as depicted in Exhibit “A” attached hereto and incorporated herein by reference. “Covenants” means the restrictive covenants described in Declaration of Covenants, Conditions and Restrictions for Main Street Coppell dated May 3, 2012, executed by Main Street Coppell, Ltd. and recorded May 4, 2012 as CC No. 201200128399 in the Official Public Records of Dallas County, Texas, as amended and supplemented. “Design Guidelines” means the development guidelines for Old Coppell as approved by City, from time to time, and as reflected in the Concept Plan. “Effective Date” means the date when (a) this Agreement bears the signatures of all of the authorized representatives of the Parties, (b) the Option Agreement is effective, and (c) the City Contract is effective. “Engineering Costs” shall mean all costs of the Engineering Services to be incurred in connection with the design and construction of the Public Infrastructure. “Engineering Services” means the professional engineering and surveying services relating to the design and construction of the Public Infrastructure. “Event of Bankruptcy, Insolvency, or Forfeiture” shall mean the dissolution or termination of a Party’s existence as a going business, insolvency, appointment of receiver for any significant part of such Party’s property and such appointment is not terminated within ninety (90) days after such appointment is initially made, any general assignment for the benefit of creditors, or the commencement of any proceeding under any bankruptcy or insolvency laws by or against such party and such proceeding is not dismissed within ninety (90) days after the filing thereof. An event of forfeiture shall also include the suspension or termination of the right to conduct business in the State of Texas pursuant to applicable provisions of the Texas Business Organizations Code for failure to pay required Impositions or file required reports. “Expiration Date” means the third (3) anniversary of the Final Approval Date, unless sooner terminated as provided herein. “Final Approval Date” shall have the meaning specified in Section 2.1(c)(2) of the Option Agreement. ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 4 (kbl:4/16/13:60249) “Finished Lot” means a developed lot or parcel with frontage on a public street with on- site utilities installed. “Force Majeure” means any contingency or cause beyond the reasonable control of a party including, without limitation, acts of God or the public enemy, war, terrorism, riot, civil commotion, insurrection, criminal acts by unrelated third parties, government or de facto governmental action (unless caused by acts or omissions of the party) adverse weather, fires, explosions or floods, strikes, slowdowns or work stoppages. “Grant” means, with respect to each Lot sold to Company pursuant to the Option Agreement, an economic development grant made by City to Company pursuant to Chapter 380 of the Texas Local Government Code in an amount equal to the product of (1) the difference between $4.70 per Allocated Gross Square Feet of the Subject Lot(s) and the fair market value per Allocated Gross Square Feet of the Subject Lot(s) as determined by an appraisal obtained by City multiplied by (2) the number of Allocated Gross Square Feet of the Subject Lot(s). “Gross Square Feet” shall have the meaning set forth in the Option Agreement. “Impositions” means all taxes, assessments, use and occupancy taxes, charges, excises, license and permit fees, and other charges by public or governmental authority, general and special, ordinary and extraordinary, foreseen and unforeseen, which are or may be assessed, charged, levied, or imposed by any public or governmental authority on Comp any and/or affecting the Land. “Land” means an approximately 7.944± acre tract of land being all or a portion of Lots 1 through 5, Block A, The Villages of Old Coppell, an addition to the City of Coppell, Texas, according to the plat thereof recorded as Instrument No. 20070444189, Official Public Records, Dallas County, Texas, and a portion of Lot 1, Block A, Grapevine Springs Community Center Addition, an addition to the City of Coppell, Texas, according to the plat thereof recorded as Instrument No. 20080382276, Official Public Records, Dallas County, Texas, subject to final configuration and area to be shown on the City Survey (as defined in Section 3.10(a) of the Option Agreement). “Option Agreement” means that certain agreement between CEDF and Company effective _______________, 2013, granting to Company an option to purchase the Lots. “Option Land” means the real property which includes all of the Lots as shown on the Plat. “Parties” means collectively Company and City. “Planned Development District Ordinance” means the planned development zoning ordinance governing the development of the Land to be adopted by City during the Inspection Period as provided in the Option Agreement. “Plan” means the development plan for the Project to be agreed upon between City and ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 5 (kbl:4/16/13:60249) Company during the Inspection Period as provided in Section 2.1(c)(2) of the Option Agreement, which shall incorporate the development and use standards substantially consistent with the numbers and sizes of lots and residential product mix set forth in the Concept Plan. “Plat” means the final plat of the Land for the Project to be approved by City during the Inspection Period as provided in Section 2.1(c)(2) of the Option Agreement. “Project” means a residential development to be constructed on the Land in accordance with the Plan. “Public Infrastructure” means and refers to all public rights of way, including streets and alleys; water, storm water and sanitary sewer in the public right-of-way in suitable capacities for the completion of the Project; public fire hydrants; all street or pedestrian lighting in or adjacent to the public right-of-way; open space or park areas as shown on the Plat; and the initial Storm Water Pollution Prevention Plan and implementation. “Related Agreements” means the Option Agreement, the Temporary Construction Easement Agreement, the Covenants and any other appropriate agreement(s) related to the Project. “Subject Lot” shall have the meaning set forth in the Option Agreement. “Substantially Complete” or “Substantial Completion” mean that stage by which the construction of the respective improvements and/or infrastructure or the designated portion thereof, is sufficiently complete in accordance with the respective plans that City and/or Company, as applicable, can occupy and/or enjoy the beneficial use of the respective improvements or designated portion thereof, for its intended purpose, exclusive of punch list items even though minor miscellaneous beyond punch list work and/or adjustment may be required. “Temporary Construction Easement Agreement” means the agreement substantially in the form set forth in Exhibit “B”, hereto, setting forth the terms and conditions relating to the use of all or the portions of the Land still owned by City for the construction of the Public Infrastructure and/or construction of private improvements to be constructed on Lots sold to Company pursuant to the Option Agreement. ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 6 (kbl:4/16/13:60249) Article III Design and Construction of the Public Infrastructure 3.1 Company to Design and Construct. Company agrees, at its sole cost and expense (subject to Section 3.11, below) to design and construct, or cause the design and construction of, the Public Infrastructure on the Land in accordance with the Plan. Company shall cause all necessary permits and approvals required by City and any applicable governmental authorities to be issued for the construction of the Public Infrastructure. Company shall, at its cost be responsible for the design, inspection and supervision of the construction of the Project and the Public Infrastructure. 3.2 Compliance with Laws. Company shall comply with all local and state laws and regulations regarding the design and construction of the Project and the Public Infrastructure applicable to similar facilities constructed by City, including, but not limited to, any applicable requirement relating to payment, performance and maintenance bonds. Upon Completion of Construction of the Public Infrastructure, Company shall provide City with a final cost summary of all costs associated with the construction of the Public Infrastructure, and provide proof that all amounts owing to contractors and subcontractors have been paid in full evidenced by the customary affidavits executed by Company and/or its contractors. 3.3 Payment and Performance Bonds. In connection with the construction of the Public Infrastructure, Company shall : (a) Furnish to City a performance bond in a form reasonably satisfactory to City for the construction of the Public Infrastructure to ensure comp letion thereof in accordance with Chapter 2253, Texas Government Code, as amended and Texas Local Government Code §212.073; and (b) Must require its contractor to furnish a payment bond in a form reasonably acceptable to City which complies with Chapter 53, Subchapter I, Texas Property Code, as amended, which payment bond shall show City and Company both as “owners” and be in an amount not less than the amount of the contract for the construction of the Public Infrastructure. 3.4 Construction Meetings. Company agrees to meet with City representatives at least once per month to jointly review the progress of construction and to discuss any other matters pertaining to the construction of the Public Infrastructure, or portion thereof. Company will cause minutes of these meetings to be prepared and provided to City. Company will otherwise keep City reasonably informed as to the progress of the Public Infrastructure, or portion thereof and agrees to meet with City upon request to discuss the same. Furthermore, Company will allow City’s inspector to inspect the Public Infrastructure, or portion thereof at any time during business hours. 3.5 Warranties. Company agrees, as a part of the costs of construction, to obtain and assign to City warranties from Company’s contractors, subcontractors and suppliers providing labor and/or materials in connection with the Public Infrastructure, or portion thereof; provided ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 7 (kbl:4/16/13:60249) that such assignment shall not prevent Company from enforcing the same. Such warranties shall: (a) be at least standard industry warranties from generally recognized contractors, subcontractors and suppliers with respect to the Public Infrastructure, or portion thereof; and (b) obligate Company’s contractors, subcontractors and suppliers to repair all defects in the applicable portion of the Public Infrastructure, or portion thereof, for a period of two (2) years following Completion of Construction in conformance with City’s Code of Ordinances §13-1- 14.B.. 3.6 Casualty. Risk of loss due to casualty shall be borne by Company until Completion of Construction of the Public Infrastructure, or portion thereof, at which time said risk of loss due to Casualty shall be borne by City. Notwithstanding the foregoing, City shall reimburse the Company for the amount of any deductible under applicable insurance policies and uninsured theft and casualty losses (so long as Company maintains the insurance coverage required under this Agreement). Company shall carry or cause to be carried insurance in amounts sufficient to restore any of the Public Infrastructure, or portion thereof, damaged by Casualty to substantially the same condition they were in immediately prior to such Casualty, subject to industry standard deductibles. Company will in any event restore any of the Public Infrastructure, or portion thereof, damaged or destroyed by Casualty as part of its obligation to construct the Improvements, subject to the reimbursement obligations of City specified in this Subsection (f). 3.7 NCTCOG Standards. Except as otherwise provided in this Agreement, the design and construction of the Public Infrastructure shall be in accordance with the Standard Specifications for Public Works Constructions published by the North Central Texas Council of Governments, as amended, and as modified by City, and to the extent applicable are hereby incorporated by reference. 3.8 Project Construction Timing. Subject to events of Force Majeure and the issuance by City of required permits, Company agrees to: (a) cause the Commencement of Construction of the Public Infrastructure to occur not later than 180 days after the Final Approval Date; and (b) cause Completion of Construction of the Public Infrastructure to occur not later than 270 days after Commencement of Construction. 3.9 Withholding of Certificate of Occupancy. Company understands, acknowledges, and agrees that City may withhold issuance of a building permit for any building to be constructed on any Lot until the Public Infrastructure has been completed and accepted by City. In the event Company, or any successor in title to Company with respect to any Lot, desires to obtain a building permit for a building constructed on the Lot prior to completion and acceptance of the Public Infrastructure, City may, at its sole option, release a portion of the Land for construction of buildings subject to the provisions of §13-1-16 of City’s Code of Ordinances. 3.10 Failure to Exercise All Options – No Refund. City shall have no obligation to reimburse Company for any costs relating to the design and/or construction of the Public ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 8 (kbl:4/16/13:60249) Infrastructure in the event Company fails to exercise all options to purchase all Lots as provided in the Option Agreement. 3.11 City Participation in Public Infrastructure. City agrees to participate in the cost of the Public Infrastructure in an amount not to exceed One and No/100 Dollars ($1.00), which amount shall in no case exceed 30% of the total contract price relating to construction of the Public Infrastructure. City’s payment of participation in the cost of the Public Infrastructure shall be credited against the Purchase Price at the time of the first Closing on the purchase of Lots pursuant to the Option Agreement. Article IV Other Company Obligations 4.1 Development of Option Land. Company shall develop the Option Land in accordance with the provisions of the Concept Plan, Planned Development District Ordinance, the Covenants, the Old Coppell Design Guidelines, and other applicable land use and development ordinances and regulations of the City. 4.2 Platting. Company shall, at Company’s sole cost, submit an application for the Plat not later than [60] days after the Effective Date of the Option Agreement and diligently pursue approval of the Plat so that approval is obtained prior to the end of the Inspection Period as set forth in the Option Agreement. City agrees to reasonably cooperate with respect to signing any applications as owner of the Land and to timely review all submittals. 4.3 Property Owners Association. Company shall be responsible for establishing a property owners association to provide for the maintenance of the common areas within the Project consistent with the Covenants. The property owner association documents shall be submitted to the City Attorney for review and approval prior to the approval of the Plat, and the Covenants shall be file of record concurrently with the closing of the purchase of the first Subject Lot(s) pursuant to the Option Agreement. Notwithstanding the foregoing, it shall not be necessary to establish a separate property owners association pursuant to this Section 4.4 if the Covenants are supplemented and/or amended in such a manner as to subject the Lots purchased by Company to the Covenants and the common areas of the Project subject to the authority and responsibility of the Main Street Coppell Property Owners Association, Inc. as provided in the Covenants; provided such supplement and/or amendment have been approved by the City Attorney. 4.4 Residential Lot Development. Company shall cause all residential lots and structures to be designed and constructed with noise mitigation features as reasonably determined by Company and approved by City; provided, however, noise mitigation features which are equal to or more stringent than those previously approved by City for residences constructed on lots in the Old Town Coppell Addition shall be deemed to be accepted by City. Company shall cause all purchasers, tenants and occupants of the Option Land and buildings/improvements thereon to be notified in writing of the noise conditions existing on the Option Land and of the existence of any noise conditions prior to occupancy. In addition to such other notes that may be required by City ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 9 (kbl:4/16/13:60249) ordinance, every plat or replat of all or any portion of the Option Land shall include a note that reads substantially as follows: NOTICE: The property described in this plat is located within close proximity to the flight approach and departure paths of Dallas-Fort Worth International Airport and the City of Coppell Service Center. Consequently, the property described in this plat may be subject to increased noise levels resulting from activities occurring on the adjacent City-owned property or from aircraft operations occurring above or in close proximity to the property. 4.5 Insurance. On or before Commencement of Construction of the Public Infrastructure, and until later of (i) the termination or expiration of the Temporary Construction Easement or (ii) the closing of the last sale of all Lots by City pursuant to the Option Agreement, Company shall, at Company’s expense, obtain and maintain the following insurance policies in accordance with the following terms and conditions: (a) A Comprehensive General Liability policy of insurance for bodily injury, death and property damage insuring against all claims, demands or actions relating to the Company’s performance of its obligations pursuant to this Agreement with a minimum combined single limit of not less than $1,000,000 per occurrence for bodily injury and property damage with an aggregate of not less than $2,000,000; (b) An automobile liability insurance policy covering any vehicles owned and/or operated by Company, its officers, agents, and employees, and used in the performance of its obligations hereunder with a minimum of $1,000,000; and (c) If Company hires any employees, statutory Worker’s Compensation Insurance covering all employees involved in the performance of its obligations hereunder; (d) Insurance covering the Public Infrastructure until accepted by City against loss or damage from perils covered by an all risk or special form policy in amounts not less than eighty (80%) percent of the full insurable value of the buildings and other improvements included in the Public Infrastructure; and (e) Construction liability insurance at all times when demolition, excavation, or construction work is in progress on the Land with limits of not less than $100,000 for property damage and $300,000 for one person and $1,000,000 for one accident for personal injury and must protect City and Company, against all liability for injury or damage to any person or property in any way arising out of demolition, excavation, or construction work on the Land. All insurance shall be endorsed to provide the following provisions: (1) name the City, its officers, agents and employees as additional insureds as to all applicable coverage with the exception of Workers Compensation Insurance; (2) provide for at least thirty (30) days prior ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 10 (kbl:4/16/13:60249) written notice to City for cancellation, non-renewal, or material change of the insurance; (3) provide for a waiver of subrogation against City for injuries, including death, property damage, or any other loss to the extent the same is covered by the proceeds of insurance. All insurance companies providing the required insurance shall be authorized to transact business in Texas and rated at least “A” by AM Best or other equivalent rating service. A certificate of insurance evidencing the required insurance with endorsements shall be submitted to City prior to Commencement of Construction the Public Infrastructure. 4.6 Contractor Insurance. Without limiting any of the other obligations or liabilities of Company, Company shall require its general contractors, at the general contractor's own expense, to maintain during the term of this Agreement, the above-required insurance including the required certificate and policy conditions as stated herein, while performing any work on the Land prior to its sale by City. Article V Grant Pursuant to the City Contract, in the event City determines that the fair market value of one or more Lots to be purchased by Company pursuant to the Option Agreement is greater than $4.70 per Allocated Gross Square Foot, City agrees to make a Grant to Company with respect to said purchase, the payment of which shall be made by City to CEDF on behalf of Company and which shall constitute part of the Purchase Price (as defined in the Option Agreement) for the Lot(s) being purchased. At no time shall Company be entitled to receive a direct payment of a Grant. Article VI Temporary Construction Easement Agreement Not later than three (3) Business Days following the payment in full by Company of the Option Fee (including the portion of the Option Fee payable pursuant to Section 2.1(c) of the Option Agreement), City and Company agree to execute and record the Temporary Construction Easement Agreement. Article VII Termination 7.1 Termination. This Agreement shall terminate upon the occurrence of any one or more of the following: (a) The execution by the Parties of a written agreement terminating this Agreement; (b) The occurrence of the Expiration Date; (c) Thirty (30) days after written notice is delivered by one Party to the other Party alleging a breach of the terms or conditions of this Agreement by the Party receiving the notice if such breach is not cured within said thirty (30) day period; provided, however, such period shall be extended for an additional thirty (30) ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 11 (kbl:4/16/13:60249) days so long as the defaulting Party commences the cure of such breach within the initial 30-day period and thereafter diligently pursues the completion of such curative action; or (d) Upon notice the date of termination provided in a notice by City to Company, if Company suffers an Event of Bankruptcy, Insolvency, or Forfeiture; provided, however, if the event constitutes an Event of Bankruptcy, in no case shall the Agreement terminate if such termination would violate any applicable provisions of Federal Bankruptcy laws; (e) Upon the date of termination provided in a notice by City to Company if any Imposition owed to City or the State of Texas by Company shall become delinquent and such delinquent Imposition is not paid within thirty (30) days after written notice thereof; provided, however, Company retains the right to timely and properly protest and contest any such Imposition, and the payment of such Imposition shall not be deemed delinquent until the deadline for payment of such Imposition is required following the final determination of Company’s challenge to same; (f) Upon the date any subsequent Federal or State legislation or any decision by a court of competent jurisdiction declares or renders this Agreement invalid, illegal or unenforceable; provided, however, this paragraph shall be subject to severance pursuant to Section 8.9, below; or (g) upon termination of the Option Agreement if Company fails to exercise the Option to purchase the initial set of Subject Lots and close on the purchase of said Subject Lots within the time required by Section 3.5(a) of the Option Agreement. 7.2 City Rights Upon Termination. In the event the Agreement is terminated by City pursuant to Section 7.1(d), (e), (f), or (g), City shall be relieved of any further obligations under this Agreement. In the event this Agreement is terminated by City pursuant to Section 7.1(c), City may seek specific performance and/or actual damages incurred as a result of such uncured default by Company; provided, however, notwithstanding anything contained herein to the contrary, the obligations of Company contained in Section 3.1 of this Agreement shall be personal to Company and any assignee entity controlled by Charles Cotten and those parties shall be the only parties against which City may seek specific performance and/or actual damages for a breach thereof. If Company defaults pursuant to Section 3.8(a) and fails to cure such default within the time period provided herein, the sole remedy of City shall be the termination of this Agreement and pursuit of the remedies provided in the Option Agreement. 7.3 Company Rights Upon Termination. In the event this Agreement is terminated by Company pursuant to Section 8.1(c), Company may seek specific performance and/or actual damages incurred as a result of such uncured default by City. 7.4 Right of Offset. City may, at its option, following a default by Company which is not cured within any applicable cure period, offset any amounts due and payable under this ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 12 (kbl:4/16/13:60249) Agreement against any debt (including Impositions) lawfully due to City from Company, regardless of whether the amount due arises pursuant to the terms of this Agreement or otherwise and regardless of whether or not the debt due City has been reduced to judgment by a court. Article VIII Miscellaneous 8.1 Binding Agreement; Assignment. The terms and conditions of this Agreement are binding upon the successors and permitted assigns of the Parties. This Agreement may not be assigned without the prior written consent of the City Manager; provided, however, Company may, without City Manager approval, upon thirty (30) days prior written notice to City, assign this Agreement to an entity controlled by Charles Cotten or to Darling Homes of Dallas, Ltd. or an affiliate thereof (“Darling”) if the new entity or Darling, as the case may be, agrees in writing to assume all rights and obligations of Company under this Agreement. In addition, this Agreement may be collaterally assigned by Company (or any permitted assignee) to a financial institution providing financing to Company (or any permitted assignee) for the purchase and/or development of the Project. 8.2 Limitation on Liability. It is understood and agreed among the parties that Company and City, in satisfying the conditions of this Agreement, have acted independently, and assume no responsibilities or liabilities to third parties in connection with these actions. 8.3 No Joint Venture. It is acknowledged and agreed by the parties that the terms hereof are not intended to and shall not be deemed to create a partnership or joint venture among the parties. 8.4 Authorization. Each Party represents that it has full capacity and authority to grant all rights and assume all obligations that are granted and assumed under this Agreement. 8.5 Notice. Any notice required or permitted to be delivered hereunder shall be deemed received (i) three (3) days after deposit into the United States Mail, postage prepaid, certified mail, return receipt requested, addressed to the party at the address set forth below or (ii) on the day actually received if sent by courier or otherwise hand delivered. If intended for City, to: Attn: City Manager City of Coppell, Texas P.O. Box 478 Coppell, Texas 75019 ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 13 (kbl:4/16/13:60249) With a copy to: Robert E. Hager Nichols, Jackson, Dillard, Hager & Smith, L.L.P. 500 North Akard, Suite 1800 Dallas, Texas 75201 If intended for Company, to: CSE Commercial Real Estate, L.P. 4956 N. O'Connor Blvd. Irving, Texas 75062 Attn: Charles Cotten With a copy to: Jeffrey Fink Apple & Fink, LLP 735 Plaza Boulevard, Suite 200 Coppell, Texas 75019 Any party shall have the right to change its address for notice by sending notice of change of address to each other party, in the manner described above. 8.6 Entire Agreement. This Agreement is the entire agreement between the Parties with respect to the subject matter covered in this Agreement. There is no other collateral oral or written Agreement among the parties that in any manner relates to the subject matter of this Agreement, except as provided or referred to in this Agreement (including the Related Agreements) or as provided in any Exhibits attached hereto. 8.7 Governing Law. This Agreement shall be governed by the laws of the State of Texas; and venue for any action concerning this Agreement shall be in the State District Court of Dallas County, Texas. The Parties agree to submit to the personal and subject matter jurisdiction of said court. 8.8 Amendment. This Agreement may only be amended by a written agreement executed by all Parties. 8.9 Legal Construction. In the event any one or more of the provisions contained in this Agreement shall for any reason be held to be invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect other provisions, and it is the intention of the Parties that in lieu of each provision that is found to be illegal, invalid, or unenforceable, a provision shall be added to this Agreement which is legal, valid and enforceable and is as similar in terms as possible to the provision found to be illegal, invalid or unenforceable. 8.10 Recitals. The recitals to this Agreement are incorporated herein. ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 14 (kbl:4/16/13:60249) 8.11 Counterparts. This Agreement may be executed in counterparts. Each of the counterparts shall be deemed an original instrument, but all of the counterparts shall constitute one and the same instrument. 8.12 Exhibits. The exhibits to this Agreement are incorporated herein by reference for all purposes wherever reference is made to the same. 8.13 Survival of Covenants. Any of the representations, warranties, covenants, and obligations of the parties, as well as any rights and benefits of the parties, pertaining to a period of time following the termination of this Agreement shall survive termination. 8.14 Indemnification by Company. CITY SHALL NOT BE LIABLE OR RESPONSIBLE FOR, AND SHALL BE INDEMNIFIED, DEFENDED, HELD HARMLESS AND RELEASED BY COMPANY FROM AND AGAINST ANY AND ALL SUITS, ACTIONS, LOSSES, DAMAGES, CLAIMS, OR LIABILITY OF ANY CHARACTER, TYPE, OR DESCRIPTION, INCLUDING ALL REASONABLE EXPENSES OF LITIGATION, COURT COSTS, AND ATTORNEY'S FEES FOR INJURY OR DEATH TO ANY PERSON, OR INJURY OR LOSS TO ANY PROPERTY, RECEIVED OR SUSTAINED BY ANY PERSON OR PERSONS, INCLUDING COMPANY, OR PROPERTY, ARISING OUT OF, OR OCCASIONED BY THE PERFORMANCE OF COMPANY UNDER THIS AGREEMENT. THE PROVISIONS OF THIS INDEMNIFICATION ARE SOLELY FOR THE BENEFIT OF THE PARTIES HERETO AND NOT INTENDED TO CREATE OR GRANT ANY RIGHTS, CONTRACTUAL OR OTHERWISE, TO ANY OTHER PERSON OR ENTITY. IT IS THE EXPRESSED INTENT OF THE PARTIES TO THIS AGREEMENT THAT THE INDEMNITY PROVIDED FOR IN THIS AGREEMENT IS AN INDEMNITY EXTENDED BY COMPANY TO INDEMNIFY AND PROTECT CITY FROM THE CONSEQUENCES OF COMPANY’S NEGLIGENCE, WHETHER SUCH NEGLIGENCE IS THE SOLE OR PARTIAL CAUSE OF ANY SUCH INJURY, DEATH, OR DAMAGE. NOTWITHSTANDING ANYTHING CONTAINED HEREIN TO THE CONTRARY, COMPANY SHALL NOT DEFEND, INDEMNIFY OR HOLD CITY HARMLESS FROM AND AGAINST ANY CLAIMS ARISING OUT OF, OR OCCASIONED BY THE GROSS NEGLIGENCE OR WILLFUL MISCONDUCT OF CITY OR RELATED TO ANY EMINENT DOMAIN PROCEEDINGS (OR PROPERTY ACQUISITIONS IN LIEU THEREOF) RELATED TO THE PROJECT. 8.15 Approvals. Whenever an approval or consent is required by a Party under the terms of this Agreement, such approval or consent shall not be unreasonably withheld, delayed or conditioned. 8.16 Current Revenue. Under no circumstances shall City’s obligations hereunder be deemed to create any debt within the meaning of any constitutional or statutory provision. Further, City shall not be obligated to pay any commercial bank, lender or similar institution for any loan or credit agreement made by Company and/or Company. 8.17 Condition Precedent. ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 15 (kbl:4/16/13:60249) (a) This Agreement shall not be effective and is subject to and conditioned upon the following conditions having occurred: (i) Company and CEDF having entered into the Option Agreement; (ii) Company having submitted an application for zoning change for the Planned Development District Ordinance; (iii) City having adopted the Planned Development District Ordinance with no changes or conditions to the application not approved by Company; and (iv) City shall have caused a final plat of the Land to be approved in accordance with City’s applicable subdivision ordinances and regulations. (b) If Company terminates this Agreement due to the failure of the conditions described in clauses (a) (iii) or (iv) above, City shall reimburse Company for all Option Fee payments made under the Option Agreement. 8.18 Employment of Undocumented Workers. During the term of this Agreement, Company agrees not to knowingly employ any undocumented workers and, if convicted of a violation under 8 U.S.C. Section 1324a (f), Company shall repay the amount of the any grants and any other funds received by the Company from the City as of the date of such violation within 120 days after the date Company is notified by City of such violation, plus interest at the rate periodically announced by the Wall Street Journal as the prime or base commercial lending rate, or if the Wall Street Journal shall ever cease to exist or cease to announce a prime or base lending rate, then at the annual rate of interest from time to time announced by Citibank, N.A. (or by any other New York money center bank selected by City) as its prime or base commercial lending rate, from the date of such notice until paid. 8.19 Attorneys Fees. If it becomes necessary for either party hereto to file a suit to enforce this Agreement or any provisions contained herein, the Prevailing Party in such actio n is entitled to recover, in addition to all other remedies or damages, reasonable legal fees and court costs incurred by the Prevailing Party in such suit. The term “Prevailing Party” means the Party whose relief in an action is closest to the relief sought in the initial pleading in such proceeding (whether by way of affirmative recovery or defense of claim). (Signatures on Following Page) ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 16 (kbl:4/16/13:60249) SIGNED AND AGREED this the ___ day of _________________, 2013. CITY OF COPPELL, a Texas home rule municipality By:_________________________________ Karen Selbo Hunt, Mayor Attest: By: Christel Pettinos, City Secretary Agreed as to Form: By:__________________________ City Attorney SIGNED AND AGREED this the ____ day of _________________, 2013. CSE COMMERCIAL REAL ESTATE, L.P., a Texas Limited Partnership By: Debco Partners, L.L.C., a Texas limited liability company, its general partner By:______________________________ Charles Cotten, Member ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 17 (kbl:4/16/13:60249) Exhibit “A” Concept Plan ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 18 (kbl:4/16/13:60249) Exhibit “B” Form of Temporary Construction Easement Agreement NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU ARE A NATURAL PERSON, YOU MAY REMOVE OR STRIKE ANY OR ALL OF THE FOLLOWING INFORMATION FROM ANY INSTRUMENT THAT TRANSFERS AN INTEREST IN REAL PROPERTY BEFORE IT IS FILED FOR RECORD IN THE PUBLIC RECORDS: YOUR SOCIAL SECURITY NUMBER OR YOUR DRIVER'S LICENSE NUMBER TEMPORARY CONSTRUCTION EASEMENT AGREEMENT STATE OF TEXAS § § KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS § This TEMPORARY CONSTRUCTION EASEMENT AGREEMENT (this “Agreement”) is made and executed as of the _____ day of ____________________, 20__, (the “Effective Date”), by and between CITY OF COPPELL, TEXAS, a Texas home rule municipality (“Grantor”), whose mailing address is P.O. Box 9478, Coppell, Dallas County, Texas 75019, and CSE COMMERCIAL REAL ESTATE, L.P., a Texas limited partnership (“CSE”) and its permitted successors and assigns (collectively, “Grantee”), whose mailing address is 4956 N. O’Connor Road, Irving, Dallas County, Texas, 75062. Preliminary Statements Grantor and Grantee agree that the following preliminary statements are true and correct in all material respects and incorporated into this Agreement: A. Capitalized terms used herein which are not otherwise defined shall have the meaning set forth in the Option Agreement (as defined below). B. Grantor owns that certain tract of real property situated in the City of Coppell, Dallas County, Texas, more particularly described on Exhibit “A” attached and incorporated into this Agreement (the “Land”). C CEDF and Grantee have entered into that certain Option Agreement dated _____________, 2013 (as amended, the “Option Agreement”) granting Grantee an option to purchase the Lots (the “Option Land”). D. Grantor and CEDF have entered into that certain Purchase and Sale Agreement dated _____________, 2013 (“the City/CEDF” Agreement”) by which Grantor has agreed to sell the Option Land to CEDF on or before the date that Grantee purchases the Option Land from Grantor. E. Grantee has agreed to construct the Project upon the Land. ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 19 (kbl:4/16/13:60249) F. In order to facilitate the timely construction of the Project, Grantee has requested a temporary construction easement over the Land for the purpose of installing the Public Infrastructure and the improvements that will comprise the Project prior to conveyance of title to the Option Land to CEDF or Grantee. G. Grantor has agreed to grant a temporary construction easement to Grantee to facilitate the construction of the Public Infrastructure and the improvements which will comprise the Project, on the terms and conditions set forth below. Agreement NOW, THEREFORE, in consideration of the mutual agreements set forth herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 1. Grant of Temporary Easement for Construction. Subject to the terms and provisions contained in this Agreement, Grantor hereby grants to Grantee for use by Grantee and all future owners of all or any portion of the Option Land, and all contractors and subcontractors of Grantee and future owners of all or any portion of the Option Land (collectively, the “Beneficiaries”), a non-exclusive temporary easement (the “Construction Easement”) on, over and across the Land for the purpose of permitting the Beneficiaries to construct the Public Infrastructure and the improvements which will comprise the Project. Upon Substantial Completion of the Public Infrastructure, Grantor shall inspect the same and shall, subject to the completion of all identified punch list items, assignment of customary Grantor warranty and bonding requirements, and compliance with all of Grantor’s applicable ordinances and construction standards and specifications, accept the same as public property to be maintained and repaired by Grantor. 2. Restriction on Use of Land. Use of the Land by the Beneficiaries shall be subject to the following restrictions: (a) The Land shall not be used by any Beneficiary for the storage of materials, supplies or equipment for a period of longer than twelve (12) months without the prior written consent of Grantor. (b) All materials, supplies or equipment stored upon the Land shall be at the sole risk and expense of the owner or lessee of such materials, supplies or equipment, and Grantor shall have no responsibility or liability whatsoever for any damage to or theft of such items. (c) No improvements of any nature, including temporary fencing or latrines, shall be placed or constructed upon the Land without the prior written consent of Grantor. (d) Except when authorized by Grantor’s ordinances or as otherwise authorized in writing by Grantor, no storage of materials, supplies, or equipment shall occur within any area of the Land which has been dedicated, conveyed, or otherwise ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 20 (kbl:4/16/13:60249) reserved by plat or separate instrument as a public road or street, public utility (including, water, sanitary sewer, storm sewer, gas, or telecommunications) easement, or drainage easement on, under, and/or over which is located any portion of the Public Infrastructure which has been completed and accepted as public property by Grantor. 3. Reservation of Grantor’s Rights. Grantor reserves the right to use the Land for any purpose not inconsistent with the uses for which the grant of the Construction Easement is made, including, without limitation, the granting of easements for public streets, utilities. or drainage as contemplated by the Plan. 4. Duration of Easement. This Agreement and all rights associated therewith shall be temporary and terminate upon the earlier of (i) the mutual agreement of the parties (as provided in Section 9, below), (ii) the termination of the Option Agreement, and (iii) 20 years following the date of recordation of this Agreement. This Agreement shall also terminate as to those portions of the Land conveyed to Grantee pursuant to the Option Agreement after the Effective Date. Upon the termination of this Agreement as to the entire Land, Grantee and Grantor shall execute and record in the Official Public Records of Dallas County, Texas, a release of this Agreement. 5. Hazardous Materials: Grantee shall not cause or allow any Hazardous Material to be placed, stored, generated, used, released or disposed of, in, on, under, about, or transported from the Land unless Grantee has complied with the following: (a) Grantee must obtain Grantor’s prior express written consent. Grantor may impose, as a condition of such consent, reasonable requirements, such as limits of the manner, time and contractor’s associated with such. (b) Grantee shall comply with prudent business practices and also with all applicable federal, state and local laws, ordinances, regulations, guidelines and order relating to health, safety and protection of persons, the public, and/or the environment. (c) Grantee shall limit the presence of such Hazardous Material to the least amount reasonably necessary for Grantee’s use of the Land as authorized by this Agreement. (d) Upon the request of Grantor, Grantee shall furnish reports, assessments or other evidence reasonably satisfactory to Grantor showing that the Land is not being used, nor have the Land been used by Grantee for any activities involving, directly or indirectly, the use, generation, treatment, storage or disposal of any Haz ardous Materials other that those Hazardous Materials authorized by Grantor. (e) If at any time a release or danger of a release of Hazardous Materials is discovered on the Land or on or into Grantor’s sewage or storm drainage system, soil, air, groundwater or any improvements, which was caused or permitted by Grantee or Grantee’s officers, agents, employees, contractors, permittees, invitees, lessees or ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 21 (kbl:4/16/13:60249) sublessees or there is the imminent danger of such release of Hazardous Materials, Grantee, at its sole cost and expense, shall ensure removal of such Hazardous Materials from the Land, the underlying groundwater, Grantor’s soil, air, storm drainage and the sewage system, in accordance with requirements of all appropriate governmental authorities. (f) In addition to notification of proper governmental authorities, Grantee shall immediately notify Grantor’s City Manager of any release of Hazardous Materials that exceeds the minimum amount that must be reported to a public agency. (g) Upon discovery of an y Hazardous Materials that are a direct result of Grantee’s activities on, in, under or emanating from the Land, any release or threat of release of a Hazardous Materials, and/or any illness caused by exposure thereto, Grantee shall immediately, and at its sole cost and expense, take all actions necessary to remediate, abate, and/or rectify any such conditions at or upon the Land; provided, however, Grantee shall have no liability for pre-existing or subsequently discovered Hazardous Materials. For purposes of this paragraph, anything that is considered to be “pre-existing” means anything that existed on the Land prior to Grantee coming into possession of the Land pursuant to this Agreement. (h) In addition to all other rights and remedies of Grantor, if t he removal of such Hazardous Materials from the Land, Grantor’s sewage or storm drainage system, soil, air, groundwater, or any improvements is not commenced by Grantee within thirty (30) days after written notice from Grantor of the discovery of such Hazardous Materials and continuously pursued using commercially accepted methods and in accordance with standards promulgated by the State of Texas or the United States Environmental Protection Agency (“EPA”), Grantor, in its discretion, may pay to have same removed and Grantee shall reimburse Grantor within thirty (30) days of Grantor’s demand for payment. If Grantor is required to remediate and/or abate any such conditions caused by Grantee on or upon the Land, Grantee shall reimburse Grantor for all costs and expenses incurred in so doing. In its sole discretion, Grantor may, but shall not be required to, grant Grantee more than fifteen (15) days after written notice to remove Hazardous Materials, all at Grantee’s expense. (i) Immediately upon receipt thereof, Grantee shall provide Grantor with copies of any notices, claims, complaints, demands, lawsuits, hearing, investigations, or governmental requests for information relating to the environmental condition on or of the Land and/or Hazardous Materials on, in, under or emanating from the Land during Grantee’s occupancy thereof pursuant to this Agreement. 6. Insurance. On or before the commencement of construction of the Public Infrastructure, and until the termination or expiration of this Agreement, Grantee shall, at Grantee’s expense, obtain and maintain the following insurance policies in accordance with the following terms and conditions: (a) A Comprehensive General Liability policy of insurance for bodily injury, ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 22 (kbl:4/16/13:60249) death and property damage insuring against all claims, demands or actions relating to the Company’s performance of its obligations pursuant to this Agreement with a minimum combined single limit of not less than $1,000,000 per occurrence for bodily injury and property damage with an aggregate of not less than $2,000,000; (b) An automobile liability insurance policy covering any vehicles owned and/or operated by Company, its officers, agents, and employees, and used in the performance of its obligations hereunder with a minimum of $1,000,000; and (c) If Company hires any employees, statutory Worker’s Compensation Insurance covering all employees involved in the performance of its obligations hereunder; (d) Insurance covering the Public Infrastructure until accepted by Grantor against loss or damage from perils covered by an all risk or special form policy in amounts not less than eighty (80%) percent of the full insurable value of the buildings and other improvements included in the Public Infrastructure; and (e) Construction liability insurance at all times when demolition, excavation, or construction work is in progress on the Land with limits of not less than $100,000 for property damage and $300,000 for one person and $1,000,000 for one accident for personal injury and must protect City and Company, against all liability for injury or damage to any person or property in any way arising out of demolition, excavation, or construction work on the Land. All insurance shall be endorsed to provide the following provisions: (1) name the City, its officers, agents and employees as additional insureds as to all applicable coverage with the exception of Workers Compensation Insurance; (2) provide for at least thirty (30) days prior written notice to City for cancellation, non-renewal, or material change of the insurance; (3) provide for a waiver of subrogation against City for injuries, including death, property damage, or any other loss to the extent the same is covered by the proceeds of insurance. All insurance companies providing the required insurance shall be authorized to transact business in Texas and rated at least “A” by AM Best or other equivalent rating service. A certificate of insurance evidencing the required insurance with endorsements shall be submitted to City prior to Commencement of Construction of the Public Infrastructure. Without limiting any of the other obligations or liabilities of Grantee, Grantee shall require its general contractors, at the general contractor's own expense, to maintain during the term of this Agreement, the above-required insurance (including the required certificate and policy conditions as stated herein) for so long as such contractor is performing work on the Land. 7. Release. The Beneficiaries hereby release Grantor, its successors and assigns, and their respective agents, officers, employees, lessees, tenants, subtenants, licensees and invitees (collectively, the “Protected Parties”) from damage to property or injuries, including loss of life, sustained by any person or persons caused by or arising out of the use of the Land or the Construction Easement by the Beneficiaries. In addition, Grantee agrees to obtain waivers of subrogation rights by Grantee’s insurer against the Protected Parties pursuant to the insurance ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 23 (kbl:4/16/13:60249) required to be obtained by Grantee pursuant to Section 5 above. GRANTOR AND GRANTEE INTEND FOR THE RELEASE AND WAIVER SET FORTH IN THIS SECTION 6 TO APPLY EVEN IF THE LOSS OR DAMAGE DESCRIBED IN SUCH SECTION IS CAUSED BY THE NEGLIGENCE OF THE PROTECTED PARTIES AND EVEN IF THE PROTECTED PARTIES WOULD OTHERWISE BE STRICTLY LIABLE FOR SUCH LOSS OR DAMAGE UNDER APPLICABLE LAW. 8. Indemnification. GRANTEE SHALL INDEMNIFY, DEFEND, AND HOLD GRANTOR FOREVER HARMLESS AGAINST AND FROM ANY PENALTY, OR ANY DAMAGE, OR CHARGE, IMPOSED FOR ANY VIOLATION OF ANY LAW, ORDINANCE, RULE OR REGULATION ARISING OUT OF THE USE OF THE LAND BY ANY BENEFICIARY, WHETHER OCCASIONED BY THE NEGLIGENT ACT OR OMISSION OF ANY BENEFICIARY, ITS EMPLOYEES, OFFICERS, AGENTS, CONTRACTORS OR ASSIGNS OR THOSE HOLDING UNDER GRANTEE. GRANTEE SHALL AT ALL TIMES DEFEND, PROTECT AND INDEMNIFY AND IT IS THE INTENTION OF THE PARTIES HERETO THAT GRANTEE HOLD GRANTOR HARMLESS AGAINST AND FROM ANY AND ALL LOSS, COST, DAMAGE, OR EXPENSE, INCLUDING ATTORNEY’S FEE, ARISING OUT OF OR FROM ANY ACCIDENT OR OTHER OCCURRENCE ON OR ABOUT THE LAND CAUSING PERSONAL INJURY, DEATH OR PROPERTY DAMAGE RESULTING FROM USE OF THE LAND BY ANY BENEFICIARY, ITS OFFICERS, EMPLOYEES, AGENTS, CONTRACTORS, AND INVITEES IN CONNECTION WITH THIS AGREEMENT, EXCEPT WHEN CAUSED BY THE WILLFUL MISCONDUCT OR GROSS NEGLIGENCE OF GRANTOR, ITS OFFICERS, EMPLOYEES OR AGENTS, AND ONLY THEN TO THE EXTENT OF THE PROPORTION OF ANY FAULT DETERMINED AGAINST GRANTOR FOR ITS WILLFUL MISCONDUCT OR GROSS NEGLIGENCE. THE RIGHTS AND PROTECTIONS AFFORDED TO GRANTOR IN THIS SECTION 7 SHALL ALSO EXTEND TO GRANTOR’S ELECTED AND APPOINTED OFFICIALS, EMPLOYEES, AGENTS, AND REPRESENTATIVES. THIS SECTION 7 SHALL SURVIVE THE TERMINATION OF THIS AGREEMENT. 9. Benefit; Binding Effect. This Agreement is binding upon and shall inure to the benefit of Grantor and its successors and assigns and the Beneficiaries, including, without limitation, all other persons or entities having or acquiring any right, title or interest in the Option Land, or any portion thereof. 10. Amendment/Termination. This Agreement may be amended or terminated only by written agreement executed by Grantor and Grantee, without the joinder of any other owners of all or any portion of the Land or the Option Land. Any such amendment shall be effective when filed for record in the Official Public Records of Dallas County, Texas. 11. Default. In the event Grantee fails to perform any of Grantee’s obligations and/or comply with any of the restrictions set forth in this Agreement (a “Default”), Grantor may give written notice to Grantee of said Default (the “Default Notice”). If Grantee does not cure any such Default within thirty (30) days after receipt of the Default Notice, or such earlier time if the Default may be reasonably cured prior to such 30-day period, then Grantor shall be entitled to all ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 24 (kbl:4/16/13:60249) remedies available at law or in equity, including, without limitation, (i) the right to specific performance and (ii) the right to take such self-help measures as are necessary to cure the Default. In the latter event, Grantor may, among other things, perform any such maintenance, repair and/or replacement as is necessary to cure the Default. Any costs incurred by Grantor shall be reimbursed by Grantee not later than thirty (30) days of presentation of appropriate statements of actual costs incurred therefor, together with interest at the maximum rate allowable at law (accruing from the date said expenses were incurred). Notwithstanding the foregoing, no Default shall entitle Grantor to terminate the Construction Easement other than as provided in Sections 4 and 9 above. 12. Attorneys' Fees. Should any party hereto employ an attorney for the purpose of enforcing or construing this Agreement, or any judgment based on this Agreem ent, in any legal proceeding whatsoever, including insolvency, bankruptcy, arbitration, declaratory relief or other litigation, the prevailing party shall be entitled to receive from the other party or parties thereto reimbursement for all reasonable attorneys' fees and all costs, whether incurred at the trial or appellate level, including but not limited to service of process, filing fees, court and court reporter costs, investigative costs, expert witness fees and the cost of any bonds, whether taxable or not, and such reimbursement shall be included in any judgment, decree or final order issued in that proceeding. The term “prevailing party” means the party whose relief in an action is closest to the relief sought in the initial pleading in such proceeding (whether by way of affirmative recovery or defense of claim). 13. Severability. If any provision of this Agreement is held to be invalid, illegal or otherwise unenforceable for any reason, the remaining provisions of this Agreement shall remain in full force and effect and shall not be affected thereby. 14. Governing Law. The validity of this Agreement and any of its terms and provisions, as well as the rights and duties of the parties, shall be governed by the laws of the State of Texas; and venue for any action concerning this Agreement shall be in State District Court of Dallas County, Texas. The parties agree to submit to the personal and subject matter jurisdiction of said court. 15. Entire Agreement. This Agreement embodies the complete agreement of the parties hereto, superseding all oral or written, previous and contemporary agreements between the parties and relating to the matters in this Agreement, and except as otherwise provided herein cannot be modified except as provide in Section 10 above. Notwithstanding the foregoing, to the extent of any inconsistency between the terms and conditions of this Agreement and the terms and conditions of the Option Agreement, the terms of the Option Agreement shall control. 16. Notice. Any notice required or permitted to be delivered hereunder shall be deemed received (i) three (3) days after deposit into the United States Mail, postage prepaid, certified mail, return receipt requested, addressed to the party at the address set forth below or (ii) on the day actually received if sent by courier or otherwise hand delivered. ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 25 (kbl:4/16/13:60249) If intended for Grantor, to: Attn: City Manager City of Coppell, Texas P.O. Box 478 Coppell, Texas 75019 With a copy to: Robert E. Hager Nichols, Jackson, Dillard, Hager & Smith, L.L.P. 500 North Akard, Suite 1800 Dallas, Texas 75201 If intended for Grantee, to: CSE Commercial Real Estate, LP 4956 N. O'Connor Road Irving, Texas 75062 Attn: Charles Cotten With a copy to: Jeffrey Fink Apple & Fink, LLP 735 Plaza Boulevard, Suite 200 Coppell, TX 75019 Any party shall have the right to change its address for notice by sending notice of change of address to each other party, in the manner described above. Beneficiaries (other than Grantee) including, without limitation, all other persons or entities having or acquiring any right, title or interest in the Option Land, or any portion thereof, by using the Land and accepting the benefits of this Agreement, are deemed to have irrevocably appointed Grantee as their agent for purposes of receipt of notice made pursuant to this Agreement, which agency is accepted by Grantee. Failure of Grantee to forward any notice provided by Grantor pursuant to this Agreement to a Beneficiary shall not constitute a failure of Grantor to provide proper notice pursuant to this Agreement. 17. Captions. Titles, headings or captions of articles or paragraphs contained in this instrument are inserted only as a matter of convenience and for reference, and in no way define, limit, extend or describe the scope of this instrument or the intent of any provisions hereof. 18. Multiple Counterparts. This Agreement may be executed in any number of identical counterparts, each of which for all purposes shall be deemed an original document and all of which together shall constitute but one and the same document; but, in making proof of this Agreement, it shall not be necessary to produce or account for more than one such counterpart. ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 26 (kbl:4/16/13:60249) IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first set forth above. GRANTOR: CITY OF COPPELL, TEXAS By: ________________________________ Karen Selbo Hunt, Mayor GRANTEE: CSE COMMERCIAL REAL ESTATE, L.P., a Texas limited partnership By: Debco Partners, L.L.C., a Texas limited liability company, general partner By: _________________________ Charles Cotten, Member ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 27 (kbl:4/16/13:60249) STATE OF TEXAS § § COUNTY OF DALLAS § This instrument was acknowledged before me this ___ day of _______________, 20__, by Karen Selbo Hunt, Mayor of the City of Coppell, Texas, a Texas home rule municipality, on behalf of said municipality. ______________________________________ Notary Public, State of Texas Commission Expires:_____________________ STATE OF TEXAS § § COUNTY OF DALLAS § This instrument was acknowledged before me this _________ day of ___________, 20__, by Charles Cotten, member, Debco Partners, LLC, a Texas limited liability company, on behalf of said company in its capacity as General Partner for CSE Commercial Real Estate, L.P., a Texas limited partnership, for and on behalf of said company and partnership. Notary Public, State of Texas My Commission expires:_______________ ATTACHMENT 2 TO PURCHASE AND SALE AGREEMENT: CITY OF COPPELL TO COPPELL ECONOMIC DEVELOPMENT FOUNDATION (7.944 ACRES – CSE COMMERCIAL REAL ESTATE, L.P.) – PAGE 28 (kbl:4/16/13:60249) Exhibit "A" Land [To Be Attached] Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-0989 File ID: Type: Status: 2013-0989 Resolution Passed 1Version: Reference: In Control: City Secretary 04/02/2013File Created: 04/23/2013Final Action: Northlake 3File Name: Title: Consider approval of a surface use agreement by and between Luminant, Trammell Crow No. 43, Ltd., Coppell Independent School District and the City of Coppell covering approximately 1,700 ± acres of land at Northlake; and, authorizing the City Manager to sign and execute all necessary documents. Notes: Agenda Date: 04/23/2013 Agenda Number: 12. Sponsors: Enactment Date: Resolution.pdf, Surface Use Agreement.pdf, Exhibit A.pdf, Exhibit B.pdf, Exhibit C.pdf, Exhibit 1.pdf, Exhibit 2.pdf, Exhibit D.pdf, Exhibit E.pdf Attachments: Enactment Number: 2013-0423.1 Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 PassApproved04/23/2013City Council Presentation: City Attorney Robert Hager read the Resolution into the record and presented the information to Council. A motion was made by Councilmember Marvin Franklin, seconded by Councilmember Aaron Duncan, that this Resolution be approved. The motion passed by an unanimous vote. Action Text: Councilmember Tim Brancheau, Councilmember Bob Mahalik, Councilmember Gary Roden, Mayor Pro Tem Billy Faught, Councilmember Marvin Franklin, and Councilmember Aaron Duncan 6Aye: Text of Legislative File 2013-0989 Title Consider approval of a surface use agreement by and between Luminant, Trammell Crow No . 43, Ltd., Coppell Independent School District and the City of Coppell covering approximately 1,700 ± acres of land at Northlake; and, authorizing the City Manager to sign and execute all necessary documents. Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-0989) Summary Fiscal Impact: Staff Recommendation: Approval recommended. Goal Icon: Sustainable City Government Business Prosperity Community Wellness and Enrichment Sense of Community Special Place to Live Page 2City of Coppell, Texas Printed on 12/28/2017 TM 60133 RESOLUTION NO. ________ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS, APPROVING THE TERMS AND CONDITIONS OF A SURFACE USE AGREEMENT BY AND BETWEEN LUMINANT GENERATION COMPANY, LLC., TRAMMELL CROW NO. 43, LTD., COPPELL INDEPENDENT SCHOOL DISTRICT AND THE CITY OF COPPELL COVERING APPROXIMATELY 1,700 ± ACRES OF LAND LOCATED AT NORTHLAKE AS PROVIDED IN SAID AGREEMENT; AUTHORIZING THE CITY MANAGER TO SIGN, WHICH IS ATTACHED HERETO AS EXHIBIT 1, FOLLOWING REVIEW BY THE CITY ATTORNEY; REPEALING ALL RESOLUTIONS IN CONFLICT; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City has entered into a Surface Use Agreement by and between Luminant Generation Company, LLC, Trammell Crow No. 43, Ltd. and Coppell Independent School District; and WHEREAS, the City Council find it is in the best interest of the City of Coppell and its citizens to approve said agreement. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS THAT: SECTION 1. The City Council hereby approves the terms and conditions of Surface Use Agreement by and between Luminant Generation Company, LLC, Trammell Crow No. 43, Ltd., Coppell Independent School District and the City of Coppell covering approximately 1,700 ± acres of land generally located at Northlake as provided in said agreement; and, hereby authorizes the City Manager to execute such agreement, as provided in Exhibit 1, which is attached hereto and incorporated herein by reference. SECTION 2. The City Manager of the City of Coppell, Texas, is hereby authorized to execute said agreement, which is attached hereto as Exhibit 1, subject to release of any and all easements in favor of Oncor Electric Delivery Company LLC following review by the City Attorney. SECTION 3. Any prior resolution of the City Council in conflict with the provisions contained in this Resolution are hereby repealed and revoked. SECTION 4. Should any part of this resolution be held to be invalid for any reason, the remainder shall not be affected thereby, and such remaining portions are hereby declared to be severable. SECTION 5. This resolution shall take effect immediately from and after its passage, and it is duly resolved. [Signature page to follow] TM 60133 DULY PASSED and approved by the City Council of the City of Coppell, Texas, on this the ____ day of , 2013. APPROVED: Karen Selbo Hunt, Mayor ATTEST: Christel Pettinos, City Secretary APPROVED AS TO FORM: _________________________________ Robert E. Hager, City Attorney (REH/mpm) Exhibit 1 TM 60133 After Recording, Return To: Chicago Title Insurance Company 2828 Routh, Suite 800 Dallas, TX 7520 1 Attn: Joycelyn Armstrong SURFACE USE AGREEMENT THIS SURFACE USE AGREEMENT (this "Surface Use Agreement") is made effective April , 20 13 (the "Effective Date") among LUMINANT MINERAL DEVELOPMENT COMPANY LLC, a Texas limited liability company (including its successors and assigns, "Mineral Owner"), LUMINANT GENERATION COMPANY LLC, a Texas limited liability company (including its successors and assigns, "Luminant Generation"), and the following parties (including each of their successors and assigns, collectively, the "Surface Owners"): TRAMMELL CROW COMPANY NO. 43 LTD., a Texas limited partnership ("TCC No. 43"), in its capacity as managing agent for the parties for which TCC No. 43 is shown to be acting in such capacity on the signature pages of this Surface Use Agreement (hereafter the "Billingslev Surface Owners"), the CITY OF COPPELL, TEXAS, a political subdivision of the State of Texas ("Coppell") and the COPPELL INDEPENDENT SCHOOL DISTRICT, a political subdivision of the State of Texas ("CISD"). RECITALS: A. Surface Owners are the owners of (or simultaneously with the execution of this Surface Use Agreement will become the owners of) the surface estate in the real property located in Dallas County, Texas described on Exhibit A attached hereto and made a part hereof (the "Conveyed Northlake Premises"). B. Mineral Owner is the owner of the mineral estate in the Conveyed Northlake Premises (the "Mineral Estate"). C. The portions of the conveyed Northlake Premises that were conveyed in 2006 and 2008 included limited surface waivers in favor of the grantees may not be effective because the Mineral Estate had already been conveyed to Mineral Owner (or its predecessors) and Mineral Owner and the Surface Owners desire to ensure that the limited surface waiver applies to the entire Conveyed Northlake Premises. D. Luminant Generation is the owner of the parcels described on Exhibit B attached hereto and made a part hereof (the "Drill-site Tracts") that it intends to make available to Mineral Owner for the purpose of mining, drilling, testing, exploring, fracture stimulating, producing, operating, completing, storing, processing, removing, transporting, marketing and developing oil, gas and other minerals on the Drill-site Tracts ("Mineral Development Operations"). E. Surface Owners, Mineral Owner and Luminant Generation desire to provide for orderly Mineral Development Operations. F. Simultaneously with the execution of this Surface Use Agreement, Luminant Generation is releasing certain surface and subsurface easements reserved over a portion of the Conveyed Northlake Premises for oil and gas transmission purposes and certain of the Billingsley Surface Owners and Mineral Owner desire to provide for the grant to Mineral Owner of surface and subsurface easements over the portion of the Conveyed Northlake Premises described herein as the "Oil and Gas Transmission Easement Area" for oil and gas transmission purposes. G. The Billingsley Surface Owners are planning the development of a mixed use community composed in part of residential units on the portions of the Conveyed Northlake Premises owned by the Billingsley Surface Owners (the "Cvpress Waters Development"). A key component of the Cypress Waters Development is the reservoir (the "Lake") known as "Northlake" centrally located on the Conveyed Northlake Premises. NOW, THEREFORE, for and in consideration of the covenants of the parties set forth in this Surface Use Agreement, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties agree as follows: 1. Oil and Gas Transmission 1.1 Oil and Gas Transmission Easement Area. Access and oil and gas transportation supporting Mineral Development Operations shall be confined to the property described on Exhibit C-1 and Exhibit C-2 attached hereto and made a part hereof (the "Oil and Gas Transmission Easement Area"), or publicly dedicated streets and roads, subject to the terms of this Surface Use Agreement. Any pipelines installed in the Oil and Gas Transmission Easement Area shall be located only in or on the property described on Exhibit C-1 hereto and shall be constructed in accordance with applicable Department of Transportation regulations and any applicable State of Texas regulations adopting such federal standards, establishing minimum construction standards for pressurized natural gas pipelines. Mineral Owner shall not construct pits on the Oil and Gas Transmission Easement Area for any purpose. 1.2 Grant of Oil and Gas Transmission Easement. [Coppell, CWShoreline Land, Ltd. and Tranlmell Crow Company No. 43, Ltd. (collectively, "Grrmior")] hereby grant and convey to Mineral Owner perpetual nonexclusive easements over, through, on, under and across the Oil and Gas Transmission Easement Area for the following purposes (collectively, the "Oil and Gas Transmission Easement"), subject to easements, covenants, conditions, and restrictions of record existing as of the Effective Date: 1.2.1 Transportation of hydrocarbons and/or natural gas plus water and byproducts used in, or produced by, operations for extraction of minerals ("Pipeline Operations"); and 1.2.2 Vehicular access and use as well as rights of ingress and egress in connection with Mineral Owner's Pipeline Operations. 1.2.3 In connection with the foregoing, Mineral Owner shall have the right within the Oil and Gas Transmission Easement Area: (a) to lay, repair, maintain, operate and remove pipelines and to replace existing lines with other lines for the transportation of oil or gas (and their products), water or any other fluid or substance: (b) to install valves, fittings, meters and similar appurtenances, including, without limitation, above-ground appurtenances, as may be necessary or convenient for the operation of the lines installed by Mineral Owner; (c) to erect, repair, maintain, operate, patrol and remove electric lines, graphite and steel anodes and other devices for the control of pipeline corrosion, over, through, on, under and across the Oil and Gas Transmission Easement Area; (d) to select the route of all pipelines, electric lines and other lines; (e) to enter the Oil and Gas Transmission Easement Area for purposes of exercising the rights granted to Mineral Owner in this Surface Use Agreement; and (f) to do any and all things that may be required for the enjoyment of the rights granted to Mineral Owner in this Surface Use Agreement. 1 541 5 16v.BHJ EFH 100152002 1.3 Reservations. Grantor reserves for Grantor and Grantor's successors and assigns, the right to convey rights and/or easements encumbering or which may encumber the Oil and Gas Transmission Easement Area to others and to pave and landscape the surface of the Oil and Gas Transmission Easement Area for drives, curbing, and medians, and to construct fences as permitted by Applicable Law, so long as such additional transfer is subject to the Oil and Gas Transmission Easement, subordinate to the Mineral Owner's rights hereunder and, so long as Grantor's exercise of such rights does not interfere with Mineral Owner's construction, reconstruction, repair or maintenance of facilities on and under the Oil and Gas Transmission Easement Area, and is not for the purpose of installing or operating an oil and/or natural gas pipeline or appurtenances thereto. After doing any work in connection with the construction, operation, or repair of facilities within the Oil and Gas Transmission Easement Area, Mineral Owner shall repair the surface of the Conveyed Northlake Premises affected by such work to as close to the condition in which it was found before such work was undertaken to the extent reasonably practicable. 2. Limited Surface Waivers. Subject to the terms and conditions of this Surface Use Agreement, Mineral Owner hereby waives, releases and relinquishes the right to enter upon or use the surface of the Conveyed Northlake Premises or any portion of the surface estate thereof for any purpose including, without limitation, for the purpose of Mineral Development Operations on the surface. Notwithstanding anything herein to the contrary, the foregoing shall not be construed as waiving, releasing or relinquishing in any way any of the Mineral Estate or Mineral Owner's rights to use, explore for, develop and produce from the Mineral Estate, by pooling, or by wells drilled and other subsurface operations in and under the Conveyed Northlake Premises (including, without limitation, directional or horizontal drilling techniques, fracturing and other completion operations) originating from surface locations (including, without limitation, the Drill-site Tracts) not on the Conveyed Northlake Premises; provided, however, that the well bore for any underground oil or gas well that enters the subsurface of the Conveyed Northlake Premises shall be at a depth of at least 3,000 feet below the surface of the Conveyed Northlake Premises. The foregoing waiver shall not, however, affect or impair Mineral Development Operations or Pipeline Operations in or on the Drill-site Tracts or the Oil and Gas Transmission Easement Area, respectively. In the event of any conflict between this Section 2 and any other covenant, condition or restriction between or among Mineral Owner and any of the Surface Owners, the terms and conditions of this Section 2 shall control. Subject to the terms and conditions of this Surface Use Agreement, Surface Owners hereby waive, release and relinquish the right to use the portion of the Conveyed Northlake Premises lying at or below 3,000 feet below the surface for the drilling, completion or operation of groundwater production wells for non-potable water ("Groundwater Operations"), it being expressly agreed and acknowledged by Surface Owners that Groundwater Operations shall be limited to the surface of the Conveyed IVorthlake Premises and the portion of the Conveyed Northlake Premises located above 3,000 feet below the surface of the Conveyed Northlake Premises. 3. Offsite Operations Easements. The Surface Owners, for adequate consideration, hereby grant, sell and convey to Mineral Owner exclusive easements (the "Offsite Operations Easements") over, through, on, under and across the lands comprising the Conveyed Northlake Premises, subject to easements, covenants, conditions, and restrictions of record existing as of the Effective Date, as follows: 3.1 Subsurface easements for purposes of mining, drilling, testing, exploring, fracture stimulating, producing, operating, completing, storing, processing, removing, transporting, marketing or developing oil, gas and other minerals from wells the surface locations of which are upon any of the Drill-site Tracts, such subsurface easements extending from each of the Drill-site Tracts across any portion of the subsurface of the Conveyed Northlake Premises lying at least 3,000 feet below the surface. 3.2 The Offsite Operations Easements herein granted will continue for so long as such Offsite Operations Easements are utilized or required by Mineral Owner. 4- %Surface Operations. Mineral Owner shall strictly comply with the following obligations: (a) WATER AND SURFACE PROTECTION: Mineral Owner's operations on or near the Conveyed Northlake Premises shall be conducted in such a manner as to prevent damage to, or contamination of (i) any and all waters in, under or on the Conveyed Northlake Premises and any adjoining lands, whether the water be found in surface tanks or any other type of storage, in creek beds or river beds, or in surface or subsurface water-bearing strata or formations, and (ii) the surface and subsurface of the Conveyed Northlake Premises and any adjoining lands, from salt water or other noxious, deleterious or contaminating substance flowing over or leaking or seeping onto, or penetrating such land. (b) SALT WATER AND DRILLING MUD DISPOSAL: No salt water, drilling mud, produced fluids or other waste substance shall be disposed of on or under the Drill-site Tracts or on the Conveyed Northlake Premises. (c) SEISMOGRAPHIC OPERATIONS: Mineral Owner will notify Coppell and TCC No. 43 (but not any of their successors or assigns) in writing prior to conducting any seismographic exploration under the Conveyed Northlake Premises. No seismographic operations using dynamite or explosives shall be conducted on the Conveyed Northlake Premises. Mineral Owner's exploration and operations shall not create any subsurface movement, vibration, void, or other condition which affects in any way the structural strength or integrity of the dam and spillway serving the Lake. (d) TRASH: Mineral Owner will prevent papers, boxes, sacks and containers and . . scrap, trash and waste materials of any kind from being discarded on or littering the Conveyed Northlake Premises. After the commencement of Mineral Development Operations, Mineral Owner shall maintain the Drill-site Tracts and any portion of the Conveyed Northlake Premises adversely affected by Mineral Development Operations in a neat and clean condition at all times. (e) ENVIRONMEIVTAL: As used in this Surface Use Agreement, the term "Hazardous Materials" means any substance defined or identified as a hazardous, extra hazardous or toxic substance, waste, or material under any applicable federal, state, or local statute or regulation. "Remedial Work" is defined as any site investigation or monitoring, any cleanup, containment, remediation, removal, or restoration work performed in response to any federal, state or local government authority or private party action, or pursuant to any federal, state or local statute, rule, regulation or other laws. Mineral Owner agrees (1) to remove from the Conveyed Northlake Premises, if, as and when required by law, any Hazardous Materials placed or released thereon by Mineral Owner, (2) to perform Remedial Work where the need therefor arises in connection with Mineral Owner's operations or activities, and (3) to comply in all respects with all federal, state and local governmental laws and regulations ("Applicable Law") governing operations by Mineral Owner and Remedial Work on or associated with the Conveyed Northlake Premises. (f) DISCHARGES: Mineral Owner shall not purposefully discharge any oil, condensate, saltwater, or any substance used in drilling or production onto the Conveyed Northlake Premises or Lake under any circumstances, and in order to prevent undue deterioration of streets, shall keep paved streets on the Conveyed Northlake Premises free of material discharges through spillage or leakage from Mineral Owner's trucks. Prior to commencing production from any well on the Drill-site Tracts, tanks 1541 5 16v.810 EFH 100152002 4 and other storage vessels shall be enclosed by an earthen berm or man-made structure of sufficient height to contain any discharge associated therewith which might occur. In the event that there is a discharge from a Drill-site Tract, the affected area shall be restored to its original condition insofar as reasonably practicable. Such restoration shall include correction of any erosion damage on the Drill-site Tract and removal of any contaminated soil, and replacement with uncontaminated soil, regardless of whether the discharge occurred through the negligence of Mineral Owner or otherwise. The provisions of this Subsection are cumulative of other provisions in this Surface Use Agreement relating to Mineral Owner's remedial obligations for environmental contamination. (g) TREES: Mineral Owner shall not cut or destroy any oaks or hardwood trees on the Oil and Gas Transmission Easement Area having a caliper diameter in excess of eight (8) inches without the prior consent of the overlying Surface Owner, which shall not be unreasonably withheld, delayed or conditioned. Tree removal on the Oil and Gas Transmission Easement Area shall be subject to tree replacement obligations imposed by Applicable Law (determined without regard to Mineral Owner's use of the Drill-site Tracts or Oil and Gas Transmission Easement Area for any industrial use or alternative methods otherwise available pursuant to Chapter 5 1A- 10.135 of the Code of Ordinances of the City of Dallas) and any Applicable Permits. (h) CATTLE FENCES: Mineral Owner shall obtain the consent of the overlying Surface Owner prior to cutting any livestock fence on the Oil and Gas Transmission Easement Area, such consent not to be unreasonably withheld, delayed or conditioned. If Mineral Owner cuts a fence, Mineral Owner, at its cost, must install a stretch post at each corner of the cut fence. Mineral Owner shall install and maintain cattle guards at every livestock fence crossing (using metal cattle guards of similar quality and structure currently located on the Oil and Gas Transmission Easement Area). With respect to fences cut by Mineral Owner (with Surface Owner's consent), Mineral Owner shall also install a 12-foot gate (using gate of similar quality and structure currently located on the Oil and Gas Transmission Easement Area) and cattleguard at the crossing, which gate shall remain locked. Mineral Owner shall provide the Surface Owner a key to all keyed locks securing gates and with the combination for all combination locks. All livestock fencing installed by Mineral Owner shall be constructed with 5-strand barbed wire with metal T posts set at intervals not exceeding thirty (30) feet. (i) SITE RESTORATION: Within sixty (60) days of the completion and equipping by Mineral Owner of a well (or series of wells permitted by the applicable drilling permit) on a Drill-site Tract as a producing well or the plugging and abandonment thereof, Mineral Owner, at its sole cost and expense, shall: (I) remove all unnecessary surface equipment, flow lines and tankage, all drilling mud, chemical mud, saltwater, surface oil and other materials; (2) remove all materials stored in any earthen pits, together with any contaminated soil, and refill any such pits; (3) repair in accordance with the provisions of Applicable Law and any Applicable Permit, any potholes or other paving damage to any public roads on the Conveyed Northlake Premises; and (4) All tank batteries and other surface equipment located on the Southern Drill-site Tract will be maintained in good repair and all such items which are of a permanent nature shall be painted. 0) CGL INSURANCE: Each policy of commercial general liability and environmental impairment or pollution legal liability insurance covering handling, removal, seepage, storage, testing, transportation, and disposal of materials which Mineral Owner is obligated to secure and maintain under Applicable Law shall (so long as coverage for additional insureds shall be generally available in the market on commercially reasonable terms) name as additional insureds the Surface Owners of which Mineral Owner is notified in writing by a Surface Owner. 5. &Special Terms and Conditions Applicable to the Southern Drill-Site. Except as specifiedin subsection (a), within 270 days following written notice from TCC No. 43 that one or more of the Billingsley Surface Owners intend-to commence construction of Olympus Boulevard extension, Luminant Generation will comnience and diligently pursue to completion the landscape improvements (excepting the site preparation work described in subsection (a), the "Landscape Improvements") identified in the landscaping plan (the hereto as Exhibit D on the Drill-site Tract identified as the "Southern (a) SITE PREPARATION WORK: Within 270 days following TCC No. 43's delivery to the Southern Drill-site Tract at temporary storage locations designatdbyyLuUmjnant Generation, at TCC No. 43's sole cost and expense, of fill sufficient to complete the Dirt Work (defined below), Luminant Generation will commence and diligently pursue to completion grading the portions of the Southern Drill-site Tract outside the boundaries of the limits of the Special Use Pennit for a drilling permit on the Southern Drill-site Tract issued by the City of Dallas (the "SUP Boundary") and will install and seed with grass berms ranging from three to six feet tall with a 311 maximum slope at the locations generally identified in the Landscaping Plan. All grading and drainage work shall be done in accordance with standard engineering practices, with the goal of retaining natural drainage patterns in the area, as determined by Luminant Generation's consulting engineer. The grading and berming described in this subsection (a) is herein referred to as the "Dirt Work." (b) LANDSCAPING: Once the berms are completed, Mineral Owner will plant and use commercially reasonable efforts to establish and maintain outside the SUP Boundary Bermuda grass and evergreen shrubs at the locations shown on the Landscaping Plan. The evergreen shrubs shall be installed in three foot-wide mulched planting beds no greater than five feet on-center. The evergreen shrubs shall be at least 20 gallon container sized at planting, and will be capable of obtaining a solid appearance and a minimum height of eight feet within three years from date of planting. (c) FENCES AND SCREENING: Within 90 days following conipletion of drilling operations on the Southern Drill-site Tract, Mineral Owner will commence and diligently pursue installation of a minimum eight (8) foot-tall green vinyl coated fence generally at the location of the SUP Boundary (the screen in^ Fence"). (d) MAINTENANCE: Mineral Owner, at its sole cost and expense, shall use commercially reasonable efforts to repair, maintain and replace the Screening Fence and the Landscape lniprovements. All plant materials required herein must be maintained in a healthy, growing condition at all times. Luminant Generation's and Mineral Owner's obligations pursuant to this Section 45 and to obtain TCC No. 43's consent pursuant to the second sentence of Section 827.2 shall terminate upon the occurrence of any of the following: (a) any taxes, assessments or other charges are levied or imposed by Cypress Waters Municipal Management District, a political subdivision of the State of Texas (the "District") on the Mineral Estate or the Southern Drill-site Tract and the District has not, pursuant to and in accordance with an economic development grant approved by the City of Dallas and the District, rebated such amounts to the payor; (b) the District regulates, controls, limits or otherwise exercises rule-making authority over the Mineral Estate or the Southern Drill-site Tract; or (c) the Billingsley Surface Owners, any ofthe Billingsley Surface Owners parents, affiliates, assignees, associated companies, and the successor entities for each and every one of those entities, Henry or Lucy Billingsley, or any affiliate or relative by blood or marriage of Henry or Lucy Billinglsey, or any attorney or advisor to any of the foregoing petitions or advocates for the District to take any of the actions described in subsections (a) or (b) above. 1 341 5 16v.810 EFH 100152002 6 6 - &Incorporation of Applicable Laws. To the extent Mineral Development Operations may be regulated by City of Dallas and Texas Railroad Commission, the parties hereby acknowledge their intention that the provisions of Applicable Law pertaining to Mineral Development Operations and Remedial Work, and any provisions of Mineral Owner's permits issued by governmental authorities with jurisdiction over Mineral Development Operations (the "Applicable Permits") for work conducted on the Drill-site Tracts and Oil and Gas Transmission Easement Area, are hereby incorporated into this Surface Use Agreement. Operating and remedial standards established by Applicable Law or Applicable Permits, to the extent they may provide restrictions, covenants, and standards applicable to Mineral Development Operations beneath the Conveyed Northlake Premises or in the Oil and Gas Transmission Easement Area more stringent than those set forth in the Surface Use Agreement shall be enforceable by the parties hereto and Surface Owners impacted by Mineral Development Operations to the same extent as if such restrictions, covenants, and standards were expressly set forth in this Surface Use Agreement. 7.1 %Notices. Any and all notices, demands, consents and approvals required under this -- Surface Use Agreement shall be sent by certified or registered mail, postage prepaid, return receipt requested, or by reputable overnight delivery service (e.g. Fed Ex or Airborne) addressed to the party at the address shown on the signature pages to this Surface Use Agreement. Such address for notices may be changed and additional notice addresses added to reflect additional Surface Owners upon a minimum of ten (10) days prior written notice, delivered to all parties to this Surface Use Agreement at the then effective addresses for such parties. Any notice to the Billingsley Surface Owners shall be sufficient if sent only to TCC No. 43. All notices shall be deemed to have been given upon receipt (or refusal of receipt) thereof. 7.2 -General. This Surface Use Agreement may only be amended in writing with the consent ofthe Mineral Owner and the Surface Owner affected by such amendment. The consent of TCC No. 43 shall be required for any amendment of Sections 1, 2, 3, 54 and 45 (to the extent any such amendment would, if adopted, modify the surface use of the Conveyed Northlake Premises, save and except the ''lGx&dedBestricted Property" described on Exhibit E hereto, the surface use of which may be modified without the consent of TCC No. 43), or 7, 8,9 or 10, notwithstanding any term or provision hereof to the contrary. The invalidation of any provision in this Surface Use Agreement by any court shall in no way affect any other provision, which shall remain in full force and effect, and to this end the provisions are declared to be severable. If any inconsistency exists or arises between the provisions contained in this Surface Use Agreement and the exhibits attached hereto, the provisions contained in this Surface Use Agreement shall control. 7.3 8-2-Covenants Run with the Land. Except as otherwise expressly provided in this Surface %e Agreement, the provisions of this Surface Use Agreement are hereby declared covenants running with the land and shall be perpetual and are fully binding on all successors, heirs, and assigns of the Surface Owners, Mineral Owner and Luminant Generation, respectively, who acquire any right, title, or interest (including, without limitation, any leasehold interest) in or to the Conveyed Northlake Premises, the Mineral Estate, the Drill-site Tracts or the Oil and Gas Transmission Easement or any part thereof. Any person who acquires any right, title, or interest in or to Conveyed Northlake Premises, the Mineral Estate, the Drill-site Tracts or the Oil and Gas Transmission Easement or any part thereof, thereby agrees and covenants to abide by and fully perform the provisions of this document. 7.4 WSeverability. In case any one or more of the provisions contained in this Surface Use ~~reemez shall for any reason be held to be invalid, illegal or unenforceable in any respect, such invalidity, illegality or unenforceability shall not affect any other provision hereof, and, to the greatest extent legally possible, effect shall be given to the intent manifested by the portion held invalid or inoperative. 7.5 8&Chan~e in Use; Division. The rights granted pursuant to this Surface Use Agreement shall not terminate or be in any way impaired by reason of a change of the present uses of the Conveyed 1541 5 16v.8Q EFH 100152002 7 Northlake Premises or the present improvements or fixtures thereon. If any portion of the Conveyed Northlake Property is hereafter divided into two or more parts by separation of ownership or lease, each portion shall enjoy the benefits and be subject to the burdens, as applicable, of the rights, easements and restrictions created hereby. 7.6 %No Strict Construction. The rule of strict construction does not apply to the grant of rights contained herein. These grants shall be given a reasonable construction in order that the intention of the parties to confer a commercially useable right of enjoyment to Mineral Owner and Luminant Generation with respect to such rights shall be effectuated. The parties acknowledge that the parties and their counsel have reviewed and revised this Surface Use Agreement and that the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Surface Use Agreement or any exhibits or amendments hereto. 7.7 -No Waiver. The failure of either party to enforce at any time any provision of this -- Surface & Agreement shall not be construed to be a waiver of such provision, nor in any way to affect the validity of this Surface Use Agreement or any part hereof or the right of such party thereafter to enforce each and every such provision. No waiver of any breach of this Surface Use Agreement shall be held to constitute a waiver of any other or subsequent breach. 7.8 WAuthorie; Multiple Originals; No Oral Chanpe. The individuals who sign below representand warrant that they are authorized to execute this Agreement on behalf of the named Party. This Agreement is a contract subject to Texas Local Government Code Chapter 271, Subchapter 1. This Agreement may be executed simultaneously in any number of counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same instrument. This Surface Use Agreement cannot be changed orally or by course of conduct, and no executory agreement, oral agreement or course of conduct shall be effective to waive, change, modify or discharge it in whole or in part unless the same is in writing and is signed by the party against whom enforcement of any waiver, change, modification or discharge is sought. 7.9 -Remedies; Attorneys' Fees. The breach of any of the agreements, covenants, conditions and restrictions contained herein may not only give rise to an action for damages at law, but also may be made subject to an action for injunctive relief and or specific performance in equity in any court of competent jurisdiction. If any party breaches this Surface Use Agreement (the breach in^ Pare"), (2) as a result of such breach, it becomes necessary for the another party (the "Enforcinp Pare") to institute or defend legal proceedings against the Breaching Party, and (3) the Enforcing Party employs an attorney to enforce this Surface Use Agreement against the Breaching Party, obtain injunctive relief or collect damages against the Breaching Party, then the Breaching Party will pay to Enforcing Party all reasonable out-of-pocket attorneys' fees, court costs and expenses in connection with the foregoing. It is expressly agreed that no breach of this Surface Use Agreement shall entitle any party to cancel, rescind or otherwise terminate this Surface Use Agreement. 7.10 WTexas Law and Venue. This Agreement shall be construed and enforced according to the laws of the State of Texas. Any suit to enforce the rights conveyed by this Agreement shall be brought in Dallas County, Texas. THIS SURFACE USE AGREEMENT is executed in multiple originals as of the day and year first above written. [SIGNATURE PAGES TO COME WHEN TITLE WORK COMPLETE] EXHIBIT A CONVEYED NORTH LAKE PREMISES All of the parcels described in the following deeds: 1. Special Warranty Deed and Drainage Easement dated September 8, 2004 and recorded as Volume 20041 78 Page 4 in the Real Property Records of Dallas County, Texas 2. Special Warranty Deed dated December 29,2006 and recorded as Instrument No. 20070001 188 in the Real Property Records of Dallas County, Texas 3. Special Warranty Deed dated December 29,2006 and recorded as Instrument No. 20070001 190 in the Real Property Records of Dallas County, Texas, as superseded by the Correction Special Warranty Deed dated December 29,2006 and recorded as Instrument No. 20070084853 in the Real Property Records of Dallas County, Texas 4. Special Warranty Deed dated December 29,2006 and recorded as Instrument No. 2007000 1 189 in the Real Property Records of Dallas County, Texas 5. Special Warranty Deed dated December 29,2006 and recorded as Instrument No. 2007000 1 191 in the Real Property Records of Dallas County, Texas 6. Special Warranty Deed dated December 29,2006 and recorded as Instrument No. 20070001 192 in the Real Property Records of Dallas County, Texas 7. Special Warranty Deed dated December 29,2006 and recorded as lnstrument No. 2007000 1 193 in the Real Property Records of Dallas County, Texas 8. Special Warranty Deed dated December 29,2006 and recorded as Instrument No. 20070001 194 in the Real Property Records of Dallas County, Texas 9. Special Warranty Deed with Easement Reservation and Restrictive Covenants dated November 2 1, 2008 and recorded as Instrument No. 20080370202 in the Real Property Records of Dallas County, Texas 10. Special Warranty Deed with Easement Reservation and Restrictive Covenants dated November 2 1, 2008 and recorded as Instrument No. 20080370203 in the Real Property Records of Dallas County, Texas 1 1. Special Warranty Deed with Easement Reservation and Restrictive Covenants dated November 2 1, 2008 and recorded as Instrument No. 20080370204 in the Real Property Records of Dallas County, Texas 12. Special Warranty Deed with Restrictive Covenant dated November 21, 2008 and recorded as lnstrument No. 20080370205 in the Real Property Records of Dallas County, Texas 13. Special Warranty Deed dated November 2 1,2008 and recorded as Instrument No. 200803702 13 in the Real Property Records of Dallas County, Texas Special Warranty Deed dated November 21,2008 and recorded as Instrument No. 2008037021 2 in the Real Property Records of Dallas County, Texas Special Warranty Deed dated November 21,2008 and recorded as Instrument No. 2008037021 1 in the Real Property Records of Dallas County, Texas Special Warranty Deed dated November 21,2008 and recorded as Instrument No. 20080370210 in the Real Property Records of Dallas County, Texas Special Warranty Deed dated November 21,2008 and recorded as Instrument No. 20080370209 in the Real Property Records of Dallas County, Texas Special Warranty Deed dated October 3 1,2008 and recorded as 20080320976 in the Real Property Records of Dallas County, Texas as superseded by Correction Special Warranty Deed dated November -, 2008 and recorded as 20080370170 in the Real Property Records of Dallas County, Texas Special Warranty Deed dated November 21, 2008 and recorded as 20080370207 in the Real Property Records of Dallas County, Texas Special Warranty Deed dated November 21, 2008 and recorded as 20080370206 in the Real Property Records of Dallas County, Texas Special Warranty Deed with Reserved Right of First Refusal and Restrictive Covenants dated November 21,2008 and recorded as 20080370218 in the Real Property Records of Dallas County, Texas Special Warranty Deed with Reserved Right of First Refusal and Restrictive Covenants dated October 28, 2009 and recorded as 200900305881 in the Real Property Records of Dallas County, Texas DRILL-SITE TRACTS Pad Site B BElNG a 15.96 acre tract of land situated in the Jacob G. Carlock Survey, Abstract IVumber 3 12, and in Official City of Dallas Block number 846 1, in the City of Dallas, Dallas County, Texas, and being a part of that tract of land described in Warranty Deed to Dallas Power & Light Company, as recorded in Volunie 44 14, Page 82, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), and being more particularly described as follows: COMMENCING at 112 inch found iron rod with yellow plastic cap stamped "HALFF ASSOC INC." (hereinafter referred to as "with cap") for the northeast comer of said Dallas Power & Light Company tract in Volume 44 14, Page 82, said point being on the west line of that tract of land described in deed to Dallas Power & Light Company, as recorded in Volume 4404, Page 321, D.R.D.C.T.; THENCE South 00 degrees 00 minutes 46 seconds West, passing the southeasterly right-of-way line of Belt Line Road (a variable width right-of-way) at a distance of 132.72 feet, continuing in all a total distance of663.10 feet to a 112 inch found iron rod with cap stamped "RPLS 6013 TX" for the POlNT OF BEGlNNlNG; THENCE South 00 degrees 00 minutes 00 seconds East, a distance of 846.81 feet to a found "X" cut for corner; THENCE South 90 degrees 00 minutes 00 seconds West, a distance of 755.00 feet to a 112 inch found iron rod with cap stamped "RPLS 60 13 TX" for corner; THENCENorth 00 degrees 00 minutes 00 seconds West, a distance of 226.75 feet to a 112 inch set iron rod with cap for corner; THENCE South 90 degrees 00 minutes 00 seconds West, a distance of 284.70 feet to a 112 inch set iron rod with cap for corner; THENCE North 00 degrees 00 minutes 00 seconds West, a distance of 369.22 feet to a 112 inch set iron rod with cap for corner: THENCE North 72 degrees 51 minutes 50 seconds Easf a distance of 297.92 feet to a 112 inch found iron rod with cap staniped "RPLS 6013 TX" for corner; THENCE North 77 degrees 48 minutes 48 seconds Easf a distance of 772.40 feet to the POINT OF BEGINNING and CONTAINING 695,398 square feet or 15.96 acres of land, more or less. The Basis of Bearing of this Survey is NAD 83 (1993) Texas State Plane North Central Zone 4202 as observed by GPS fioni "DALLAS CORS ARP, "COLLIN CORS ARP", "ARLINGTON CORS", "DENTON CORS ARP". Convergence angle at "DALLAS CORS ARP" is - 03 degrees 0 1 minutes 49.9 seconds as computed by Corpscon for Windows Version 6.0. All coordinates shown are surface and may be converted to grid by dividing by the conversion factor of 0.99983043. Pad Site F BEING a tract of land situated in the Francis Jones Survey, Abstract Number 674, the Samuel T. Brown Survey, Abstract Number 50 and the I. & G. N. N. RR Survey, Abstract Number 1624, all in the City of Dallas, Dallas County Texas, said tract also being and in the Official City of Dallas Block Numbers 8468, 8469 and 8470 and being part of that tract of land described in Special Warranty Deed to Trammell Crow Company No. 43, Ltd., as recorded in Volume 2005045, Page 08912 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.), being all of that tract of land described in Special Warranty Deed to Trammell Crow Company No. 43, Ltd., as recorded in County Clerk's Document Number 20080370213, O.P.R.D.C.T., also being all of that tract of land described in Special Warranty Deed to Luminant Generation Company, LLC, as recorded in County Clerk's Document Number 20080370210, O.P.R.D.C.T., also being all of that tract of land described in Special Warranty Deed to TXU Generation CO., L.P., as recorded in County Clerk's Document Number 20070001 192, O.P.R.D.C.T., and being more particularly described as follows: BEGINNING at a 518-inch found iron rod with cap stamped "CARTER & BURGESS" for the northwest corner of that tract of land described in Special Warranty Deed to Enserch Corporation, as recorded in Volume 84064, Page 1370 of the Deed Records of Dallas County, Texas (D.R.D.C.T.) and an "ell" corner of said Trammell Crow tract recorded in Volume 2005045, Page 08912, O.P.R.D.C.T.; THENCE South 00 degrees 49 minutes 51 seconds East, along the west line of said Enserch Corporation tract, a distance of 62.35 feet to a 518-inch found iron rod with cap stamped "CARTER & BLIRGESS" for the southwest corner of said Enserch Corporation tract and the most southerly southeast comer of said Trammell Crow tract, said corner also being on the north right-of-way line of Ranch Trail Road, as described in Right-of-way Deed to County of Dallas, as recorded in Volume 2780, Page 35 1, D.R.D.C.T. (a variable width right-of-way); THENCE North 89 degrees 08 minutes 28 seconds West, along the south line of said Trammell Crow tract and said north right-of-way line of Ranch Trail Road, a distance of 752.82 feet to a 112-inch set iron rod with yellow plastic cap stamped "HALFF" (hereinafter referred to as "with cap") for corner; THENCE North 00 degrees 03 minutes 40 seconds East, departing said south line of Trammell Crow tract and said north right-of-way line of Ranch Trail Road, a distance of 250.00 feet to a 112-inch set iron rod with cap for corner; THENCE North 89 degrees 08 minutes 32 seconds West, a distance of 363.77 feet to a 112-inch set iron rod with cap for corner at the beginning of a circular curve to the left, having a radius of 1,270.24 feet, whose chord bears North 12 degrees 45 minutes 01 second West, a distance of 493.35 feet; THENCE Northerly, along said curve to the left, through a central angle of 22 degrees 23 minutes 44 seconds, an arc distance of496.5 1 feet to a 112-inch set iron rod with cap for corner at the end of said curve, said corner also being on the south line of that called 12.60 acre tract of land described as SAVE AND EXCEPTING THEREFROM in Special Warranty Deed to Trammell Crow Company No. 43, Ltd., as recorded in Volume 2005045, Page 08912, O.P.R.D.C.T.; THENCE South 84 degrees 32 minutes 24 seconds East, along said south line of said called 12.60 acre tract of land, a distance of 599.24 feet to a 3-inch found metal post for the southeast corner of said called 12.60 acre tract; THENCE North 05 degrees 39 minutes 34 seconds East, along the east line of said called 12.60 acre tract, a distance of 480.42 feet to a 112-inch set iron rod with cap for corner; THENCE South 85 degrees 13 minutes 49 seconds East, departing said east line of said called 12.60 acre tract, a distance of 648.07 feet to a 112-inch set iron rod with cap for corner on the east line of said Trammell Crow tract; THENCE South 00 degrees 47 minutes 05 seconds East, along said east line of said Trammel1 Crow tract, a distance of 1,053.94 feet to a 112-inch set iron rod with cap for the northeast corner of said Enserch Corporation tract; THENCE North 89 degrees 13 minutes 15 seconds West, along the north line of said Enserch Corporation tract, a distance of 79.99 feet to the POINT OF BEGINNING AND CONTAINING 24.125 acres (1,050,885 square feet) of land, more or less. The Basis of Bearing of this Survey in NAD 83 (1993) Texas State of Plane North Central Zone 4202 as observed by GPS from "DALLAS CORS ARP", "COLLIN CORS ARP", "ARLIIVGTOIV CORS", "DENTON CORS ARP". Convergence angle at "DALLAS CORS ARP" is - 03 degrees 01 minute 49.9 seconds as computed by Corpscon for Windows Version 6.0. All coordinates shown are surface and may be converted to grid by multiplying by the conversion factor of 0.99983043. 154 1 5 16v.Bu EFH 100152002 EXHIBIT C OIL AND GAS TRANSMISSION EASEMENT AREA Attached 1541 5 16v.810 EFH 100152002 EXHIBIT C-1 OIL AND GAS TRANSMISSION EASEMENT AKEA Attached 1 54 1 5 16v.810 EFH 100152002 EXHIBIT C-2 OIL AND GAS TRANSMISSION EASEMENT AREA Attached EXHIBIT D LANDSCAPING PLAN 1541 5 16v.810 EFH 100151002 IN OL joo 450 8W EXHIBIT'A' ~mrn PARCEL A UW w EXHIBIT E ,.ViWKESTHICTEL) PROPERTY 1 54 I 5 16v.810 EFH I00152002 EXCEPT 140.525 SO. FT. 3.13 AC. NORTH LAKE 0 4 0 z 738.34 ACRES 6.22 ACRES NORTH LAKE J W m Lrj 217,TPII SO. FT. 114800 FT. 5.00 AC. HACKBERRY ROAD RANCH TRAIL \ SAM EL SAM EL SAVEEL SAVE EL N MMD EXHIBIT . L' W-c=p E 7 950.61 ACRES - i : EXCEPT#.? EXCEPT#3 WU01 SO. FT. EXCEPT112 I-635 1*3s CITY OF DALLAS. DALL4S COUNTY TEXAS ' S '*..Hc:,.\<c Mr.=, - .. .'. . -. . .. nww. &., .* -~ ,,,,, ,",,,m , o.r. r-.. nn, .sr..r,.*-, ,*.r .vn,,:nur . w . l"""lk3ml"'? w PA1 -I 1 1"" .: ,.,. -1 ""1 ,,>i l \ Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-0986 File ID: Type: Status: 2013-0986 Resolution Passed 1Version: Reference: In Control: City Secretary 04/02/2013File Created: 04/23/2013Final Action: Northlake 1File Name: Title: Consider approval of settlement and release agreement by and between Luminant and Coppell concerning property located at Northlake; and, authorizing the City Manager to sign. Notes: Agenda Date: 04/23/2013 Agenda Number: 13. Sponsors: Enactment Date: Resolution.pdf, Remediation Agreement.pdf, F&O Lease.pdf Attachments: Enactment Number: 2013-0423.2 Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 PassApproved04/23/2013City Council Presentation: City Attorney Robert Hager read the Resolution into the record and presented the information to Council. A motion was made by Councilmember Bob Mahalik, seconded by Mayor Pro Tem Tim Brancheau, that this Resolution be approved. The motion passed by an unanimous vote. Action Text: Councilmember Tim Brancheau, Councilmember Bob Mahalik, Councilmember Gary Roden, Mayor Pro Tem Billy Faught, Councilmember Marvin Franklin, and Councilmember Aaron Duncan 6Aye: Text of Legislative File 2013-0986 Title Consider approval of settlement and release agreement by and between Luminant and Coppell concerning property located at Northlake; and, authorizing the City Manager to sign. Summary Fiscal Impact: Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-0986) Staff Recommendation: Approval recommended. Goal Icon: Sustainable City Government Business Prosperity Community Wellness and Enrichment Sense of Community Special Place to Live Page 2City of Coppell, Texas Printed on 12/28/2017 TM 60130 RESOLUTION NO. ________ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS, APPROVING THE TERMS AND CONDITIONS OF SETTLEMENT AND RELEASES BY AND BETWEEN THE CITY OF COPPELL, TEXAS AND LUMINANT GENERATION COMPANY LLC; AUTHORIZING THE CITY MANAGER TO SIGN, WHICH IS ATTACHED HERETO AS EXHIBIT 1 AND EXHIBIT 2, FOLLOWING REVIEW BY THE CITY ATTORNEY; REPEALING ALL RESOLUTIONS IN CONFLICT; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City has entered into settlement and releases with Luminant Generation Company, LLC; and WHEREAS, the City Council find it is in the best interest of the City of Coppell and its citizens to approve said contract. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS THAT: SECTION 1. The City Council hereby approves the terms and conditions of Settlement Agreement by and between the City of Coppell and Luminant Generation Company, LLC. and hereby authorizes the City Manager to execute said releases, as provided in Exhibit 1 and Exhibit 2, which is attached hereto and incorporated herein by reference. SECTION 2. The City Manager of the City of Coppell, Texas, is hereby authorized to execute said agreement, which is attached hereto as Exhibit 1 and Exhibit 2. SECTION 3. Any prior resolution of the City Council in conflict with the provisions contained in this Resolution are hereby repealed and revoked. SECTION 4. Should any part of this resolution be held to be invalid for any reason, the remainder shall not be affected thereby, and such remaining portions are hereby declared to be severable. SECTION 5. This resolution shall take effect immediately from and after its passage, and it is duly resolved. [Signature page to follow] TM 60130 DULY PASSED and approved by the City Council of the City of Coppell, Texas, on this the ____ day of , 2013. APPROVED: Karen Selbo Hunt, Mayor ATTEST: Christel Pettinos, City Secretary APPROVED AS TO FORM: _________________________________ Robert E. Hager, City Attorney (REH/mpm) Exhibit 1 TM 60130 Exhibit 2 TM 60130   1 US 1801655v.2 EFH100/52002 Prepared by, and after recording, return to: Chicago Title Insurance Company 2828 Routh Street, Suite 800 Dallas, Texas 75201 Attn: Joycelyn Armstrong G.F. No. _____________ RELEASE OF MEMORANDUM OF ENVIRONMENTAL REMEDIATION AGREEMENT This Release of Memorandum of Environmental Remediation Agreement is executed as of April ___, 2013, by CBIC COPPELL LAND, LLC, a Texas limited liability company (“CBIC”), CYPRESS WATERS LAND A, LTD. (“Cypress A”), CYPRESS WATERS LAND B, LTD. (“Cypress B”), CYPRESS WATERS LAND C, LTD. (“Cypress C”, and, together with CBIC, Cypress A, and Cypress B, the “Billingsley Parties”), THE CITY OF COPPELL, TEXAS (“Coppell”) and LUMINANT GENERATION COMPANY LLC, a Texas limited liability company (“Luminant”). RECITALS: A. Luminant entered into the Environmental Remediation Agreement with CBIC dated as of November 21, 2008 (the “Remediation Agreement”), with respect to certain obligations, covenants and indemnities affecting the real property described in Exhibit A attached hereto, all located in Dallas County, Texas. B. CBIC and Luminant executed a Memorandum of Environmental Remediation Agreement dated November 21, 2008 (the “Memorandum”), which was recorded in the Real Property Records of Dallas County, Texas on November 24, 2008, which recording information is more particularly described as follows: Instrument No. 20080370214. C. Through a series of conveyances of the property affected by the Remediation Agreement, CBIC assigned or purported to assign all or a portion of its interests under the Remediation Agreement to Cypress A, Cypress B, and Cypress C. D. Cypress A purported to assign a portion of its interest in the Remediation Agreement to Coppell pursuant to a Non-Exclusive Assignment of Environmental Remediation Agreement dated November 21, 2008. E. Luminant, the Billingsley Parties, and Coppell are executing this Release of Memorandum of Environmental Remediation Agreement for the purpose of terminating the Memorandum and giving third parties notice that the Remediation Agreement has been terminated. AGREEMENTS: NOW, THEREFORE, Luminant, the Billingsley Parties, and Coppell hereby terminate the Memorandum as more particularly described above. [THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK.]   Signature Page US 1801655v.2 Executed as of the date first above written. CBIC: CBIC COPPELL LAND, LLC, a Texas limited liability company By: ______________________________________________ Name: ____________________________________________ Title: _____________________________________________ STATE OF TEXAS § § COUNTY OF DALLAS § This instrument was acknowledged before me on ______________, 2013, by ___________________, _______________ of CBIC Coppell Land, LLC, a Texas limited liability company, on behalf of said limited liability company. _________________________________________ Notary Public, State of Texas CYPRESS A: CYPRESS WATERS LAND A, LTD., a Texas limited partnership By:___________, a ___________________, its ____________ By: ______________________________________________ Name: ____________________________________________ Title: _____________________________________________ STATE OF TEXAS § § COUNTY OF DALLAS § This instrument was acknowledged before me on ______________, 2013, by ___________________, _______________ of _____________________________, a _______________________________, on behalf of said _________________________. _________________________________________ Notary Public, State of Texas   Signature Page US 1801655v.2 CYPRESS B: CYPRESS WATERS LAND B, LTD., a Texas limited partnership By:___________, a ___________________, its ____________ By: ______________________________________________ Name: ____________________________________________ Title: _____________________________________________ STATE OF TEXAS § § COUNTY OF DALLAS § This instrument was acknowledged before me on ______________, 2013, by ___________________, _______________ of _____________________________, a _______________________________, on behalf of said _________________________. _________________________________________ Notary Public, State of Texas CYPRESS C: CYPRESS WATERS LAND C, LTD., a Texas limited partnership By:___________, a ___________________, its ____________ By: ______________________________________________ Name: ____________________________________________ Title: _____________________________________________ STATE OF TEXAS § § COUNTY OF DALLAS § This instrument was acknowledged before me on ______________, 2013, by ___________________, _______________ of _____________________________, a _______________________________, on behalf of said _________________________. _________________________________________ Notary Public, State of Texas   Signature Page US 1801655v.2 COPPELL: THE CITY OF COPPELL, TEXAS By: Name: Title: Date: THE STATE OF TEXAS § § COUNTY OF DALLAS § The foregoing instrument was acknowledged before me on _______________________, 2013, by ____________________, _______________ of the City of Coppell, a political subdivision of the State of Texas, on behalf of the City of Coppell. _________________________________________________ Notary Public, State of Texas Printed Name: My commission expires: ______________________________ LUMINANT: LUMINANT GENERATION COMPANY LLC, a Texas limited liability company By: ______________________________________________ Name: ____________________________________________ Title: _____________________________________________ STATE OF TEXAS § § COUNTY OF DALLAS § This instrument was acknowledged before me on ______________, 2013, by ___________________, _______________ of Luminant Generation Company LLC, a Texas limited liability company, on behalf of said limited liability company. _________________________________________ Notary Public, State of Texas   US 1801655 RE “Affected North Trac 5v.2 ELEASE OF d Property” (a ct: MEMORAND as defined in th E DUM OF ENV he Remediatio Exhibit A XHIBIT A TO VIRONMENT on Agreement TAL REMED t): DIATION AGRREEMENT   US 18016555v.2 Exhibit A   US 1801655 North Slive 5v.2 er Tract: Exhibit A   US 1801655 “Leased P 5v.2 Premises” (as ddefined in the Remediation Exhibit A Agreement):   US 1801655 5v.2 Exhibit A   US 1801655 5v.2 Exhibit A   US 1801655 5v.2 Exhibit A   US 1801655 5v.2 Exhibit A   US 1801655 5v.2 Exhibit A   US 1801655 5v.2 Exhibit A   US 1801655 5v.2 Exhibit A   US 1801655 5v.2 Exhibit A   US 1801655 5v.2 Exhibit A   Exhibit A US 1801655v.2   US 1801655 5v.2 Exhibit A   US 18016555v.2 Exhibit A     1   Prepared by, and after recording, return to: Chicago Title Insurance Company 2828 Routh Street, Suite 800 Dallas, Texas 75201 Attn: Joycelyn Armstrong G.F. No. _____________ RELEASE OF MEMORANDUM OF LEASE This Release of Memorandum of Lease is executed as of April ___, 2013, by CBIC COPPELL LAND, LLC, a Texas limited liability company (“CBIC”), CYPRESS WATERS LAND A, LTD., a Texas limited partnership (“Cypress A”), CYPRESS WATERS LAND B, LTD., a Texas limited partnership (“Cypress B”), CYPRESS WATERS LAND C, LTD., a Texas limited partnership (“Cypress C”, and, together with CBIC, Cypress A, and Cypress B, the “Billingsley Parties”), the CITY OF COPPELL, TEXAS (“Coppell”, and, together with the Billingsley Parties, “Landlord”) and LUMINANT GENERATION COMPANY LLC, a Texas limited liability company (“Tenant”). RECITALS: A. Tenant entered into the Facilities and Operations Lease with the Billingsley Parties dated as of November 21, 2008 (the “Lease”), for the lease of a portion of the real property described in Exhibit A attached hereto, all located in Dallas County, Texas. B. Cypress A, Cypress B and Cypress C assigned a portion of its interest in the Lease to Coppell pursuant to a Non-Exclusive Assignment of Facilities and Operations Lease dated September [undated], 2011. C. The Billingsley Parties and Tenant executed a Memorandum of Lease dated November 21, 2008 (the “Memorandum”), which was recorded in the Real Property Records of Dallas County, Texas on November 24, 2008, which recording information is more particularly described as follows: Instrument No. 20080370215. D. Tenant and Landlord are executing this Release of Memorandum of Lease for the purpose of terminating the Memorandum and giving third parties notice that the Lease has been terminated. AGREEMENTS: NOW, THEREFORE, Tenant and Landlord hereby terminate the Memorandum as more particularly described above. [THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK.] US 1790082v.4    Signature Page Executed as of the date first above written. LANDLORD: CBIC COPPELL LAND, LLC, a Texas limited liability company By: ______________________________________________ Name: ____________________________________________ Title: _____________________________________________ STATE OF TEXAS § § COUNTY OF DALLAS § This instrument was acknowledged before me on ______________, 2013, by ___________________, _______________ of CBIC Coppell Land, LLC, a Texas limited liability company, on behalf of said limited liability company. _________________________________________ Notary Public, State of Texas CYPRESS WATERS LAND A, LTD., a Texas limited partnership By:___________, a ___________________, its ____________ By: ______________________________________________ Name: ____________________________________________ Title: _____________________________________________ STATE OF TEXAS § § COUNTY OF DALLAS § This instrument was acknowledged before me on ______________, 2013, by ___________________, _______________ of _____________________________, a _______________________________, on behalf of said _________________________. _________________________________________ Notary Public, State of Texas   Signature Page CYPRESS WATERS LAND B, LTD., a Texas limited partnership By:___________, a ___________________, its ____________ By: ______________________________________________ Name: ____________________________________________ Title: _____________________________________________ STATE OF TEXAS § § COUNTY OF DALLAS § This instrument was acknowledged before me on ______________, 2013, by ___________________, _______________ of _____________________________, a _______________________________, on behalf of said _________________________. _________________________________________ Notary Public, State of Texas CYPRESS WATERS LAND C, LTD., a Texas limited partnership By:___________, a ___________________, its ____________ By: ______________________________________________ Name: ____________________________________________ Title: _____________________________________________ STATE OF TEXAS § § COUNTY OF DALLAS § This instrument was acknowledged before me on ______________, 2013, by ___________________, _______________ of _____________________________, a _______________________________, on behalf of said _________________________. _________________________________________ Notary Public, State of Texas   Signature Page THE CITY OF COPPELL, TEXAS By: Name: Title: Date: THE STATE OF TEXAS § § COUNTY OF DALLAS § The foregoing instrument was acknowledged before me on _______________________, 2013, by ____________________, _______________ of the City of Coppell, a political subdivision of the State of Texas, on behalf of the City of Coppell. _________________________________________________ Notary Public, State of Texas Printed Name: My commission expires: ______________________________ TENANT: LUMINANT GENERATION COMPANY LLC, a Texas limited liability company By: ______________________________________________ Name: ____________________________________________ Title: _____________________________________________ STATE OF TEXAS § § COUNTY OF DALLAS § This instrument was acknowledged before me on ______________, 2013, by ___________________, _______________ of Luminant Generation Company LLC, a Texas limited liability company, on behalf of said limited liability company. _________________________________________ Notary Public, State of Texas   Exhibit A EXHIBIT A TO RELEASE OF MEMORANDUM OF LEASE Property [See pages immediately following]   Exhibit A   Exhibit A   Exhibit A   Exhibit A   Exhibit A   Exhibit A   Exhibit A   Exhibit A   Exhibit A   Exhibit A   Exhibit A   Exhibit A   Exhibit A   Exhibit A   Exhibit A   Exhibit A   Exhibit A   Exhibit A   Exhibit A   Exhibit A   Exhibit A Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-0988 File ID: Type: Status: 2013-0988 Resolution Passed 1Version: Reference: In Control: City Secretary 04/02/2013File Created: 04/23/2013Final Action: Northlake 2File Name: Title: Consider approval of a land purchase agreement by and between the City of Coppell and Luminant for the purchase of dam property, pump station and pad site, approximately 56.049± acres of land generally located at the eastern boundary of Northlake; and, authorizing the City Manager to sign and execute other necessary documents. Notes: Agenda Date: 04/23/2013 Agenda Number: 14. Sponsors: Enactment Date: Resolution.pdf, Purchase and Sale Agreement.pdfAttachments: Enactment Number: 2013-0423.3 Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 PassApproved04/23/2013City Council Presentation: City Attorney Robert Hager read the Resolution into the record and presented the information to Council. A motion was made by Councilmember Billy Faught, seconded by Councilmember Gary Roden, that this Resolution be approved. The motion passed by an unanimous vote. Action Text: Councilmember Tim Brancheau, Councilmember Bob Mahalik, Councilmember Gary Roden, Mayor Pro Tem Billy Faught, Councilmember Marvin Franklin, and Councilmember Aaron Duncan 6Aye: Text of Legislative File 2013-0988 Title Consider approval of a land purchase agreement by and between the City of Coppell and Luminant for the purchase of dam property, pump station and pad site, approximately 56.049± acres of land generally located at the eastern boundary of Northlake; and, authorizing the City Manager to sign and execute other necessary documents. Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-0988) Summary Fiscal Impact: Staff Recommendation: Approval recommended. Goal Icon: Sustainable City Government Business Prosperity Community Wellness and Enrichment Sense of Community Special Place to Live Page 2City of Coppell, Texas Printed on 12/28/2017 TM 60132 RESOLUTION NO. ________ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS, APPROVING THE TERMS AND CONDITIONS OF A LAND PURCHASE AGREEMENT FOR THE PURCHASE OF DAM PROPERTY, PUMP STATION AND PAD SITE, ON APPROXIMATELY 56.049 ± ACRES OF LAND GENERALLY LOCATED AT NORTHLAKE AS PROVIDED IN SAID AGREEMENT; AUTHORIZING THE CITY MANAGER TO SIGN, WHICH IS ATTACHED HERETO AS EXHIBIT 1, FOLLOWING REVIEW BY THE CITY ATTORNEY; REPEALING ALL RESOLUTIONS IN CONFLICT; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City has entered into a Land Purchase Agreement; and WHEREAS, the City Council find it is in the best interest of the City of Coppell and its citizens to approve said contract. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS THAT: SECTION 1. The City Council hereby approves the terms and conditions of Land Purchase and Sale Agreement, and Exhibits attached thereto, for the purchase of dam property, pump station and pad site on approximately 56.049 ± acres of land generally located at Northlake as provided in said agreement; and, hereby authorizes the City Manager to execute such agreement, as provided in Exhibit 1, and all necessary documents append thereto, which is attached hereto and incorporated herein by reference. SECTION 2. The City Manager of the City of Coppell, Texas, is hereby authorized to execute said agreement subject to release of any and all easements in favor of Oncor Electric Delivery Company LLC, following review by the City Attorney. SECTION 3. Any prior resolution of the City Council in conflict with the provisions contained in this Resolution are hereby repealed and revoked. SECTION 4. Should any part of this resolution be held to be invalid for any reason, the remainder shall not be affected thereby, and such remaining portions are hereby declared to be severable. SECTION 5. This resolution shall take effect immediately from and after its passage, and it is duly resolved. [Signature page to follow] TM 60132 DULY PASSED and approved by the City Council of the City of Coppell, Texas, on this the ____ day of , 2013. APPROVED: Karen Selbo Hunt, Mayor ATTEST: Christel Pettinos, City Secretary APPROVED AS TO FORM: _________________________________ Robert E. Hager, City Attorney (REH/mpm) Exhibit 1 TM 60132 THIS DOCUMENT IS A DRAFT DOCUMENT FOR DISCUSSION PURPOSES ONLY AND IS NOT INTENDED TO BE AND SHALL NOT BE DEEMED TO BE CONTRACTUALLY BINDING IN ANY WAY ON ANY PERSON (AN “APPLICABLE PERSON”). THIS DOCUMENT DOES NOT OBLIGATE ANY APPLICABLE PERSON TO NEGOTIATE IN GOOD FAITH OR TO PROCEED TO COMPLETION AND EXECUTION OF A FINAL AGREEMENT. NO APPLICABLE PERSON IS BOUND BY ANY PROVISION OF THE DOCUMENT UNTIL IT IS EXECUTED BY SUCH PERSON. NO APPLICABLE PERSON HAS OR SHALL HAVE ANY CLAIM AGAINST ANY OTHER APPLICABLE PERSON IN CONNECTION WITH THIS DOCUMENT OR THE NEGOTIATION THEREOF. Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 PURCHASE AND SALE AGREEMENT BETWEEN LUMINANT GENERATION COMPANY LLC, AS SELLER AND THE CITY OF COPPELL, TEXAS, AS PURCHASER DATED APRIL ___, 2013 Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 i TABLE OF CONTENTS Page No. ARTICLE 1 BASIC INFORMATION 1.1 Certain Basic Terms ........................................................................................................................................ 1 1.2 Closing Costs .................................................................................................................................................. 2 1.3 Notice Addresses: ............................................................................................................................................ 2 ARTICLE 2 PROPERTY 2.1 Property ........................................................................................................................................................... 3 2.2 Excluded Property and Reserved Rights ......................................................................................................... 4 ARTICLE 3 DUE DILIGENCE 3.1 Waiver of Inspections; Property Documents To Be Delivered ....................................................................... 4 3.2 Proprietary Documents; Confidentiality .......................................................................................................... 4 3.3 TPIA Request .................................................................................................................................................. 5 3.4 No Representation or Warranty by Seller ........................................................................................................ 5 ARTICLE 4 TITLE AND SURVEY 4.1 Title Commitment ........................................................................................................................................... 5 4.2 Survey ............................................................................................................................................................. 5 4.3 Title Review .................................................................................................................................................... 5 4.4 Title Objections ............................................................................................................................................... 5 4.5 Delivery of Title Policy ................................................................................................................................... 6 ARTICLE 5 CLOSING 5.1 Closing ............................................................................................................................................................ 6 5.2 Conditions to Parties’ Obligation to Close at Closing ..................................................................................... 6 5.3 Seller’s Deliveries in Escrow .......................................................................................................................... 7 5.4 Purchaser’s Deliveries in Escrow .................................................................................................................... 8 5.5 Seller’s and Purchaser’s Mutual Deliveries in Escrow .................................................................................... 8 5.6 Lien Releases................................................................................................................................................... 9 5.7 Closing Statements .......................................................................................................................................... 9 5.8 Purchase Price ................................................................................................................................................. 9 5.9 Possession ....................................................................................................................................................... 9 5.10 Delivery of Books and Records ....................................................................................................................... 9 ARTICLE 6 PRORATIONS, DEPOSITS, COMMISSIONS 6.1 Prorations ........................................................................................................................................................ 9 Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 ii 6.2 Closing Costs ................................................................................................................................................ 10 6.3 Final Adjustment After Closing .................................................................................................................... 10 6.4 Commissions ................................................................................................................................................. 10 ARTICLE 7 REPRESENTATIONS AND WARRANTIES 7.1 Seller’s Representations and Warranties ....................................................................................................... 10 7.2 Purchaser’s Representations and Warranties ................................................................................................. 10 7.3 Survival of Representations and Warranties ................................................................................................. 11 ARTICLE 8 DEFAULT AND REMEDIES 8.1 Seller’s Remedies .......................................................................................................................................... 11 8.2 Purchaser’s Remedies.................................................................................................................................... 12 8.3 Attorneys’ Fees ............................................................................................................................................. 12 8.4 Other Expenses .............................................................................................................................................. 12 ARTICLE 9 DISCLAIMERS, RELEASE AND INDEMNITY 9.1 Disclaimers by Seller..................................................................................................................................... 12 9.2 Sale “As Is, Where Is” ................................................................................................................................... 13 9.3 Seller Released from Liability ....................................................................................................................... 13 9.4 “Hazardous Materials” Defined .................................................................................................................... 13 9.5 Indemnity ...................................................................................................................................................... 14 9.6 Survival ......................................................................................................................................................... 14 ARTICLE 10 MISCELLANEOUS 10.1 Parties Bound; Assignment ........................................................................................................................... 14 10.2 Headings ........................................................................................................................................................ 14 10.3 Invalidity and Waiver .................................................................................................................................... 14 10.4 Governing Law .............................................................................................................................................. 14 10.5 Survival ......................................................................................................................................................... 14 10.6 Entirety and Amendments ............................................................................................................................. 14 10.7 Time .............................................................................................................................................................. 14 10.8 Confidentiality ............................................................................................................................................... 14 10.9 Electronic Transactions ................................................................................................................................. 15 10.10 Notices ........................................................................................................................................................... 15 10.11 Construction .................................................................................................................................................. 15 10.12 Calculation of Time Periods; Business Day .................................................................................................. 15 10.13 Execution in Counterparts ............................................................................................................................. 15 10.14 No Recordation ............................................................................................................................................. 15 10.15 Further Assurances ........................................................................................................................................ 16 10.16 Discharge of Obligations ............................................................................................................................... 16 Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 iii 10.17 No Third-Party Beneficiary ........................................................................................................................... 16 10.18 Reporting Person ........................................................................................................................................... 16 10.19 Dispute Resolution ........................................................................................................................................ 16 10.20 Venue ............................................................................................................................................................ 16 10.21 Special Provisions Concerning the Purchaser ............................................................................................... 16 Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 iv LIST OF DEFINED TERMS Page No. Acceptance Period ................................................................................................................................................... E-11 Access Easement ....................................................................................................................................................... E-8 Adjacent Property ...................................................................................................................................................... E-9 Affected Property .................................................................................................................................................... E-11 Agreement ..................................................................................................................................................................... 1 Assignee ................................................................................................................................................................... A-1 Assignment .................................................................................................................................................................... 3 Assignor .................................................................................................................................................................... A-1 Bill of Sale ................................................................................................................................................................ A-1 Billingsley Parties .......................................................................................................................................................... 7 Billingsley Settlement Documents................................................................................................................................. 7 Business Day ............................................................................................................................................................... 15 Cap ............................................................................................................................................................................... 12 CERCLA ..................................................................................................................................................................... 14 Certificate of Adjudication ............................................................................................................................................ 3 Certified Resolution of the City Council ....................................................................................................................... 9 Closing ........................................................................................................................................................................... 6 Closing Condition .......................................................................................................................................................... 7 Closing Date .................................................................................................................................................................. 1 Conditional Deliveries ................................................................................................................................................... 7 Dallas Water Contract ................................................................................................................................................... 3 Dam Facilities ............................................................................................................................................................ E-8 Dam Property ................................................................................................................................................................. 3 Deed ............................................................................................................................................................................... 8 Dispute Resolution Period ........................................................................................................................................... 16 Earnest Money ............................................................................................................................................................... 1 Easement Area ........................................................................................................................................................... E-8 Easement Survey ....................................................................................................................................................... E-9 Effective Date ................................................................................................................................................................ 1 Escrow Agent ................................................................................................................................................................ 1 Excluded Property ......................................................................................................................................................... 4 Existing Water Delivery Easements .......................................................................................................................... E-8 Financing Liens ............................................................................................................................................................. 6 Grantee ...................................................................................................................................................................... E-8 Grantee Party ............................................................................................................................................................. E-9 Grantor ....................................................................................................................................................................... E-8 Hazardous Materials .................................................................................................................................................... 14 Improvements ................................................................................................................................................................ 3 Intangible Personal Property .......................................................................................................................................... 3 Land ............................................................................................................................................................................... 3 Lien Releases ................................................................................................................................................................. 9 Loss ........................................................................................................................................................................... E-9 North Lake Property ...................................................................................................................................................... 7 OFAC .......................................................................................................................................................................... 11 Oncor ................................................................................................................................................................... 3, E-12 Oncor Release ................................................................................................................................................................ 7 Oncor Rights .................................................................................................................................................................. 6 Pad Site Property ........................................................................................................................................................... 3 Permitted Exceptions ..................................................................................................................................................... 6 Permitted Outside Parties .............................................................................................................................................. 4 Permitted Use ............................................................................................................................................................ E-9 Personalty ................................................................................................................................................................. A-1 Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 v Plant Property ............................................................................................................................................................ E-8 Plant Site Water Delivery Easement .......................................................................................................................... E-8 Property ......................................................................................................................................................................... 3 Property Contracts ......................................................................................................................................................... 3 Property Documents ...................................................................................................................................................... 4 Pump Station Property ................................................................................................................................................... 3 Purchase Agreement ................................................................................................................................................. A-1 Purchase Offer ......................................................................................................................................................... E-13 Purchase Price ............................................................................................................................................................... 1 Purchaser ....................................................................................................................................................................... 1 Purchaser’s City Manager.............................................................................................................................................. 2 Real Property ................................................................................................................................................................. 3 Related Parties and Successors ................................................................................................................................ E-13 Related Party ........................................................................................................................................................... E-13 Release of Memoranda .................................................................................................................................................. 7 ROFR Contract ........................................................................................................................................................ E-12 ROFR Property ........................................................................................................................................................ E-11 Sale Agreement ....................................................................................................................................................... E-10 Sale Period ............................................................................................................................................................... E-11 Seller .............................................................................................................................................................................. 1 Seller’s Representative ................................................................................................................................................ 11 Settlement Agreement ................................................................................................................................................... 9 Severed Interests ...................................................................................................................................................... E-11 Surface Operations .................................................................................................................................................. E-11 Surface Use Agreement ....................................................................................................................................... 7, E-12 Survey ........................................................................................................................................................................ 2, 5 Surveyor ........................................................................................................................................................................ 5 Survival Period ............................................................................................................................................................ 11 Tangible Personal Property ............................................................................................................................................ 3 Taxes ............................................................................................................................................................................. 9 Texas AG ....................................................................................................................................................................... 5 Third-Party .............................................................................................................................................................. E-13 Title Commitment.......................................................................................................................................................... 5 Title Company ............................................................................................................................................................... 1 Title Policy .................................................................................................................................................................... 6 to Seller’s knowledge .................................................................................................................................................. 11 to the best of Seller’s knowledge ................................................................................................................................. 11 TPIA .............................................................................................................................................................................. 5 Transfer Notice ........................................................................................................................................................ E-11 Transferee .................................................................................................................................................................. F-1 Transferor .................................................................................................................................................................. F-1 Water Delivery Pipeline ................................................................................................................................................ 4 Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 vi LIST OF EXHIBITS Exhibit A - Bill of Sale, Assignment and Assumption Exhibit B - Oncor Easement Exhibit C - North Lake Property Exhibit DD - Special Warranty Deed and Right of First Refusal Agreement Exhibit EE - FIRPTA Certificate Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 1 PURCHASE AND SALE AGREEMENT North Lake, Dallas, Texas This Purchase and Sale Agreement (this “Agreement”) is made and entered into by and between Purchaser and Seller. RECITALS A. Defined terms are indicated by initial capital letters. Defined terms shall have the meaning set forth herein, whether or not such terms are used before or after the definitions are set forth. B. Purchaser desires to purchase the Property and Seller desires to sell the Property, all upon the terms and conditions set forth in this Agreement. NOW, THEREFORE, in consideration of the mutual terms, provisions, covenants and agreements set forth herein, as well as the sums to be paid by Purchaser to Seller, and for other good and valuable consideration, the receipt and sufficiency of which are acknowledged, Purchaser and Seller agree as follows: ARTICLE 1 BASIC INFORMATION 1.1 Certain Basic Terms. The following defined terms shall have the meanings set forth below: 1.1.1 Seller: LUMINANT GENERATION COMPANY LLC, a Texas limited liability company 1.1.2 Purchaser: THE CITY OF COPPELL, TEXAS, a political subdivision of the State of Texas 1.1.3 Purchase Price: $1,000,000.00 1.1.4 Earnest Money: None. 1.1.5 Title Company: Chicago Title Insurance Company 2828 Routh, Suite 800 Dallas, Texas 75201 Attention: Joycelyn Armstrong Telephone: 214.965.1668 E-mail: armstrongjo@ctt.com 1.1.6 Escrow Agent: Chicago Title Insurance Company 2828 Routh, Suite 800 Dallas, Texas 75201 Attention: Joycelyn Armstrong Telephone: 214.965.1668 E-mail: armstrongjo@ctt.com 1.1.7 Effective Date: Closing Date (defined below). 1.1.8 Closing Date: April ___, 2013. Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 2 1.1.9 Purchaser’s City Manager: Purchaser’s City Manager or principal officer or, if designated by Purchaser’s City Council or other governing body from time to time, another officer of Purchaser with general management responsibilities, it being expressly agreed and understood that there shall always be a Purchaser’s City Manager and that, in the absence of such designation or the inability of any officer designated by the Purchaser to act, Purchaser’s City Manager for purposes of this Agreement shall be the city manager or principal officer of Purchaser. 1.2 Closing Costs. Closing costs shall be allocated and paid as follows: COST RESPONSIBLE PARTY Title Commitment delivered pursuant to Section 4.1 Seller Premium for standard form title policy delivered pursuant to Section 4.5 (the “Title Policy”) Seller Premium for any upgrade of the Title Policy for extended or additional coverage and any endorsements to the Title Policy desired by Purchaser, any inspection fee charged by the Title Company, tax certificates, municipal and utility lien certificates, and any other Title Company charges Purchaser Costs of the survey delivered pursuant to Section 4.2 (the “Survey”) Seller Cost of and/or any revisions, modifications or recertifications to any Survey Purchaser Costs for UCC Searches Purchaser Recording Fee Purchaser Any escrow fee charged by Escrow Agent for conducting the Closing Purchaser ½ Seller ½ All other closing costs, expenses, charges and fees Purchaser 1.3 Notice Addresses: Purchaser: The City of Coppell, Texas 255 Parkway Blvd. Coppell, TX 75019-9478 Attention: City Manager Telephone: 972.304.3618 E-mail: cmo@coppelltx.gov Copy to: Nichols, Jackson, Dillard, Hager & Smith, LLP 1800 Lincoln Plaza 500 N. Akard St. Dallas, TX 75201 Attention: Robert E. Hager Telephone: 214.965.9900 E-mail: rhager@njdhs.com Seller: Luminant Generation Company LLC 1601 Bryan Street, EP 22-110C Dallas, TX 75201 Attention: Patrick J. McInroe Director – Real Estate Development Telephone: 214.875.8686 E-mail: patrick.mcinroe@luminant.com Copy to: Luminant Generation Company LLC 1601 Bryan Street, 22nd Floor Dallas, TX 75201 Attention: Stephanie Moore, General Counsel Telephone: 214.875.8183 E-mail: stephanie.moore@luminant.com Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 3 and to: Vinson & Elkins L.L.P. 2001 Ross Avenue, Suite 3700 Dallas, TX 75201 Attention: Paul Martin Telephone: 214.220.7875 E-mail: pmartin@velaw.com ARTICLE 2 PROPERTY 2.1 Property. Subject to the terms and conditions of this Agreement, Seller agrees to sell to Purchaser, and Purchaser agrees to purchase from Seller, the following property (collectively, the “Property”): 2.1.1 Real Property. The land described in Exhibit A-1 to the Deed (defined below) (the “Dam Property”); Exhibit A-2 to the Deed (the “Pump Station Property”) and Exhibit A-3 to the Deed (the “Pad Site Property”) (the Dam Property, the Pad Site Property and the Pump Station Property, collectively the “Land”), together with, without warranty, all right, title and interest of Seller, if any, in and to (a) all improvements and fixtures located on the Land, but expressly excluding improvements, fixtures and structures owned by any tenant or other third party (including, without limitation, Oncor Electric Delivery Company LLC (“Oncor”) (the “Improvements”), (b) the rights, benefits, privileges, easements, tenements, hereditaments, and appurtenances thereon or in anywise appertaining thereto (expressly excluding, however, that certain Untreated Water Purchase Contract dated May 27, 1998 between the City of Dallas and Seller’s predecessor (the “Dallas Water Contract”), and (c) all strips and gores and any land lying in the bed of any street, road or alley, open or proposed, adjoining the Land (collectively, the “Real Property”). 2.1.2 Tangible Personal Property. All of Seller’s right, title and interest, without warranty, in the equipment, machinery and other tangible personal property, if any, owned by Seller and now or hereafter located in and used in connection with the operation or ownership of the Real Property but specifically excluding any items of personal property owned by third parties (including Oncor) (collectively, the “Tangible Personal Property”). 2.1.3 Intangible Personal Property. All of Seller’s right, title and interest, if any, without warranty, in all intangible personal property related to the Real Property, including, without limitation, if any: the plans and specifications and other architectural and engineering drawings for the Improvements (to the extent assignable without cost to Seller); contract rights related to the operation, ownership or management of the Real Property, including maintenance, service, construction, supply and equipment rental contracts and leases or license agreements covering the Real Property (collectively, the “Property Contracts”) (but only to the extent assignable without cost to Seller and Seller’s obligations thereunder are expressly assumed by Purchaser pursuant to a Bill of Sale, Assignment and Assumption, in the form of Exhibit A hereto (the “Assignment”); warranties (to the extent assignable without cost to Seller); governmental permits, approvals and licenses (to the extent assignable without cost to Seller), including that certain Certificate of Adjudication 08-2365 with a priority date of September 24, 1956 concerning the dam and reservoir known as North Lake (the “Certificate of Adjudication”) but excluding the Dallas Water Contract (all of the items described in this Section 2.1.3 are collectively referred to as the “Intangible Personal Property”). Tangible Personal Property and Intangible Personal Property shall not include (a) any appraisals or other economic evaluations of, or projections with respect to, all or any portion of the Real Property, including, without limitation, budgets prepared by or on behalf of Seller or any affiliate of Seller, (b) any documents, materials or information which are subject to attorney/client, work product or similar privilege, which constitute attorney communications with respect to the Property and/or Seller, or which are subject to a confidentiality agreement, and (c) any trade name, mark or other identifying material that includes the name “Luminant” or the name “Energy Future Holding” or any derivative thereof. 2.1.4 Water Delivery Pipeline and Water Delivery Easements. (a) Without warranty, all of Seller’s right, title and interest, if any, in and to the existing water delivery pipeline and related improvements and fixtures running between the water intake structure on the Trinity River located on the Pump Station Property and the water outtake structure located on the Dam Property (the “Water Delivery Pipeline”); Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 4 (b) Without warranty, all of Seller’s right, title and interest, if any, in and to any Existing Water Delivery Easements described in the Deed; and (c) The Plant Site Water Delivery Easement described in the Deed. 2.1.5 Access Easement. The Access Easement described in the Deed. 2.2 Excluded Property and Reserved Rights. The following shall be reserved from the conveyances hereunder for Seller and Seller’s successors and assigns forever (the “Excluded Property”): all of the oil, gas and other minerals in, on, under and that may be produced from the Land including the right to pool or unitize the Land or portions thereof with other lands for the purpose of exploration, production and development of oil, gas and other minerals. ARTICLE 3 DUE DILIGENCE 3.1 Waiver of Inspections; Property Documents To Be Delivered. Purchaser agrees and acknowledges that it has previously been provided access to the Property and the opportunity to make all inspections and evaluations of the Property necessary for Purchaser to evaluate the Property and hereby waives any right to conduct any inspections on the Property prior to Closing. Seller shall has delivered, or caused to be delivered, to Purchaser the following (the “Property Documents”): 3.1.1 Environmental Reports. A copy of the most recent environmental reports or site assessments related to the Property prepared for the benefit of Seller; 3.1.2 Service Contracts. A list of any service contracts pertaining to the Property to be assumed by Purchaser at Closing; 3.1.3 Lease and License Agreements. A list of any lease agreements and license agreements pertaining to the Property to be assumed by Purchaser at Closing. 3.1.4 As-Built Plans for Dams. A copy of the as-built plans for the dams located on the Dam Property and the adjoining spillway. 3.1.5 Inspection Report. A copy of the most recent inspection report for the Dams prepared for the benefit of Seller; Seller’s obligations to deliver the items listed in this Section 3.1 and in Section 5.10 shall be limited to the extent such items are in the possession of Patrick McInroe or Kyle Ray and to the extent Seller is legally or contractually permitted to provide such items. 3.2 Proprietary Documents; Confidentiality. Purchaser acknowledges that the Property Documents are proprietary and confidential and have been and will be delivered or made available to Purchaser solely to assist Purchaser in determining the feasibility of purchasing the Property. Purchaser shall not use the Property Documents for any purpose other than as set forth in the preceding sentence. Purchaser shall not disclose the contents to any person other than to those persons who are responsible for determining the feasibility of Purchaser’s acquisition of the Property and who have agreed in writing to preserve the confidentiality of such information as required hereby (collectively, “Permitted Outside Parties”) or as permitted by Section 3.3. At any time and from time to time, within two Business Days after Seller’s request, Purchaser shall deliver to Seller a list of all parties to whom Purchaser has provided any Property Documents, any information taken from the Property Documents. Purchaser shall not divulge the contents of the Property Documents and other information except in strict accordance with the confidentiality standards set forth in this Section 3.2. In permitting Purchaser to review the Property Documents or any other information, Seller has not waived any privilege or claim of confidentiality with respect thereto, and no third-party benefits or relationships of any kind, either express or implied, have been offered, intended or created. Purchaser’s obligations under this Section 3.2 shall survive the termination of this Agreement. Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 5 3.3 TPIA Request. Should Purchaser receive a request for disclosure of the Property Documents in accordance with the Texas Public Information Act (“TPIA”), Purchaser: (a) shall promptly notify Seller of the request; (b) shall consult with and reasonably cooperate with Seller regarding the response to the request; (c) shall timely ask for a decision from the Texas Attorney General (the “Texas AG”) as to whether the Property Documents are within an exception from the disclosure requirements of the TPIA, including but not limited to sections 552.101, 552.105 and 552.110 of the TPIA, and shall submit written comments to the Texas AG stating the reasons why the exceptions stated in such comments apply to the Property Documents; and (d) will not release any Property Documents while the decision of the Texas AG is pending. If, in response to a request for decision under this Section, the Texas AG determines that all or a portion of the Property Documents must be disclosed, Purchaser shall promptly provide notice of the decision to Seller, and without the consent of Seller, may not disclose that information before the 10th day after the date of receipt of the decision. If, within that period, Seller files a petition in a Travis County, Texas district court or, if permitted by applicable law, in a Dallas County, Texas district court, seeking a declaratory judgment, a writ of mandamus, or other relief from compliance with the decision of the Texas AG, Purchaser will not disclose the information pending final judgment in the suit unless ordered to do so by the court. 3.4 No Representation or Warranty by Seller. Purchaser acknowledges that, except as expressly set forth in this Agreement, Seller has not made and does not make any warranty or representation regarding the Property’s physical, environmental or economic condition, compliance or lack of compliance with any ordinance, order, permit or regulation or any other attribute or matter relating thereto or the truth, accuracy or completeness of the Property Documents or the source(s) thereof. Purchaser further acknowledges that some if not all of the Property Documents were prepared by third parties other than Seller. Seller expressly disclaims any and all liability for representations or warranties, express or implied, statements of fact and other matters contained in such information, or for omissions from the Property Documents, or in any other written or oral communications transmitted or made available to Purchaser. Purchaser shall rely solely upon its own investigation with respect to the Property, including, without limitation, the Property’s physical, environmental or economic condition, compliance or lack of compliance with any ordinance, order, permit or regulation or any other attribute or matter relating thereto. Seller has not undertaken any independent investigation as to the truth, accuracy or completeness of the Property Documents and is providing the Property Documents solely as an accommodation to Purchaser. ARTICLE 4 TITLE AND SURVEY 4.1 Title Commitment. Seller has caused the following to be prepared and delivered to Purchaser: a current commitment for title insurance or preliminary title report covering the Real Property, the Plant Site Water Delivery Easement and the Access Easement issued by the Title Company, in the amount of the Purchase Price on a Texas T-7 Form commitment, with Purchaser as the proposed insured (the “Title Commitment”), and copies of all documents of record referred to in the Title Commitment as exceptions to title to the Property. 4.2 Survey. Seller has obtained from Frontier Surveying Company (the “Surveyor”) and delivered to Purchaser a new boundary survey (“Survey”) to determine the boundaries of the Land and the Access Easement and has provided Purchaser, at Purchaser’s sole cost and expense, the opportunity revise, modify or recertify the Survey as necessary in order for the Title Company to delete the survey exception from the Title Policy or otherwise satisfy Purchaser’s objectives. 4.3 Title Review. Purchaser has had the opportunity to review title to the Property. Purchaser agrees and acknowledges that it has accepted title to the Property at the Closing. 4.4 Title Objections. Purchaser agrees and acknowledges that Seller has not cured any exceptions or encumbrances to title; provided, however that the release of financing liens of an ascertainable amount created by Seller or financing statements concerning the Property (“Financing Liens”) is a Closing Condition pursuant to Section 5.6 entitled “Lien Releases”. Purchaser agrees and acknowledges that the Property is being delivered subject to the following (the “Permitted Exceptions): the specific exceptions (including exceptions that are a part of the promulgated title insurance form) in the Title Commitment that the Title Company has not agreed to remove from the Title Commitment prior to Closing (provided that the Title Company shall not remove exceptions from a title commitment without Seller’s prior written consent); matters created by, through or under Purchaser; items shown on Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 6 the Survey which have not been removed as of Closing; real estate taxes not yet due and payable; rights of third parties under Property Contracts; and easements to Oncor in the form attached as Exhibit B hereto; easement expansion rights in that certain Special Warranty Deed executed by TXU Electric Company, acknowledged on December 14, 2001, recorded in Volume 05071, Page 05561 Deed Records, Collin County, Texas or any encumbrance, conveyance or other item created by the exercise by Oncor of any of Oncor’s rights or voluntarily created by Seller in lieu or in satisfaction of, or to obtain release of Oncor’s rights (including Seller’s approval of such rights) (the “Oncor Rights”). Purchaser expressly agrees and acknowledges that the Oncor Rights are prior and superior to Purchaser’s rights under this Agreement and that Seller is providing no assurance to Purchaser that the Oncor Rights will be released at or prior to the Closing. Except as expressly provided in Section 5.2.3(a), Purchaser shall have no right to object to, request revision of or otherwise seek modification, amendment or alteration of, any Permitted Exception other than to request Oncor to release the Oncor Rights as to the Real Property. 4.5 Delivery of Title Policy. In the event that the Title Company does not issue at the Closing, or unconditionally commit at the Closing to issue, to Purchaser, an owner’s title policy in accordance with the Title Commitment, insuring Purchaser’s fee simple title to the Property in the amount of the Purchase Price, subject only to the standard exceptions and exclusions from coverage contained in such policy and the Permitted Exceptions (the “Title Policy”), Purchaser shall have the right, as its sole and exclusive remedy, to terminate this Agreement and the parties hereto shall have no further rights or obligations, other than those that by their terms survive the termination of this Agreement and neither party shall be deemed to be in default hereunder. ARTICLE 5 CLOSING 5.1 Closing. The consummation of transaction contemplated herein (“Closing”) shall occur on the Closing Date at the offices of Escrow Agent (or such other location as may be mutually agreed upon by Seller and Purchaser). Funds shall be deposited into and held by Escrow Agent in a closing escrow account with a bank satisfactory to Purchaser and Seller. Upon satisfaction or completion of all closing conditions and deliveries, the parties shall direct Escrow Agent to immediately record and deliver the closing documents to the appropriate parties and make disbursements according to the closing statements executed by Seller and Purchaser. 5.2 Conditions to Parties’ Obligation to Close at Closing. 5.2.1 Seller’s and Purchaser’s Conditions. In addition to all other conditions set forth herein, the obligation of Seller, on the one hand, and Purchaser, on the other hand, to consummate the transactions contemplated hereunder at Closing are conditioned upon the following: (a) Representations and Warranties. The other party’s representations and warranties contained herein shall be true and correct in all material respects as of the Closing Date; (b) Deliveries. As of the Closing Date the other party shall have tendered all deliveries required to be made at Closing; and (c) Actions, Suits, etc. There shall exist no pending or threatened actions, suits, arbitrations, claims, attachments, proceedings, assignments for the benefit of creditors, insolvency, bankruptcy, reorganization or other proceedings, against the other party that would materially and adversely affect that party’s ability to perform its obligations under this Agreement at Closing. 5.2.2 Seller’s Additional Conditions. In addition to all other Closing Conditions set forth herein, the obligation of Seller to consummate the transactions contemplated hereunder at the Closing is conditioned upon the execution and acknowledgement by affiliates of Lucy Billingsley and Henry Billingsley and all parties claiming any interest in the North Lake Property by, through and under Lucy Billingsley and Henry Billingsley (including Coppell Independent School District) (collectively, the “Billingsley Parties”) and delivery to Seller (with a copy or original to Escrow Agent), on terms satisfactory to Seller in its sole and absolute discretion, of the following documents (which may be contingent on Closing) (collectively, the “Billingsley Settlement Documents”) Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 7 (a) a full and final settlement of all claims, controversies, causes of action associated with the property described on 0 hereto (the “North Lake Property”), (b) a surface use agreement permitting Seller to develop its mineral interest underlying the North Lake Property on terms satisfactory to Seller in its sole and absolute discretion (the “Surface Use Agreement”) and (c) a release and discharge of that certain Facilities and Operations Lease dated November 21, 2008 between CBIC Coppell Land, LLC, Cypress Waters Land A, Ltd., Cypress Waters Land B, Ltd., and Cypress Waters Land C, Ltd., jointly and severally as landlord, and Seller, as tenant and that certain Environmental Remediation Agreement dated November 21, 2008 by and between CBIC Coppell Land, LLC and Seller and execution and acknowledgement of releases of that certain Memorandum of Lease dated November 21, 2008, by and between CBIC Coppell Land, LLC, Cypress Waters Land A, Ltd., Cypress Waters Land B, Ltd., and Cypress Waters Land C, Ltd., jointly and severally as landlord, and Seller, as tenant, recorded as Instrument No. 20080370215 in the Real Property Records of Dallas County, Texas and that certain Memorandum of Environmental Remediation Agreement dated November 21, 2008 by and between CBIC Coppell Land, LLC and Seller, recorded as Instrument No. 20080370214 in the Real Property Records of Dallas County, Texas (the “Release of Memoranda”). 5.2.3 Purchaser’s Additional Condition. In addition to all other Closing Conditions set forth herein, the obligation of Purchaser to consummate the transactions contemplated hereunder at the Closing is conditioned upon (a) the execution and acknowledgement by Oncor, on terms reasonably satisfactory to Purchaser, of a release (which may be contingent upon Closing) of the Oncor Rights encumbering the Real Property (the “Oncor Release”) and delivery of the Oncor Release to the Escrow Agent or the prior recordation of the Oncor Release in the Real Property Records of Dallas County, Texas (with a copy to the Escrow Agent) and (b) the execution and acknowledgement by the Billingsley Parties and delivery to Purchaser, on terms satisfactory to Purchaser in its sole and absolute discretion of a full and final settlement of all claims, controversies, causes of action associated with the North Lake Property. 5.2.4 Non-Satisfaction of Conditions. So long as a party is not in default hereunder, if any condition to such party’s obligation to proceed with Closing hereunder (a “Closing Condition”) has not been satisfied as of the Closing Date (or such earlier date as is provided herein), such party may, as its sole remedies and recourses (except as provided in the last sentence of this Section 5.2.4 if the other party is in default), either (a) terminate this Agreement by delivering written notice to the other party on the Closing Date or (b) elect to close notwithstanding the non-satisfaction of such Closing Condition, in which event such party shall be deemed to have waived such Closing Condition. In the event such party elects to close, notwithstanding the non-satisfaction of such Closing Condition, such party shall be deemed to have waived such Closing Condition, and there shall be no liability on the part of any other party hereto for breaches of representations and warranties of which the party electing to close had knowledge at the Closing. Notwithstanding any provision of this Section 5.2.4 to the contrary, (the Closing Condition set forth in Section 5.2.1(b) entitled “Deliveries” (expressly excluding, however, the deliveries pursuant to Section 5.2.2, 5.2.3 and 5.6 (the “Conditional Deliveries”) or execution or delivery of documents by a person other Seller or Purchaser) is not satisfied, or if a party is otherwise in default hereunder at or prior to Closing, the provisions of Article 8 of this Agreement (including the applicable notice and cure periods set forth therein) shall govern the rights and remedies of the parties hereunder with respect to such default. For the avoidance of doubt, no party shall be in default under this Agreement if the Conditional Deliveries (or any of them) are not made and the provisions of Article 8 shall not govern in any such event. 5.3 Seller’s Deliveries in Escrow. As of or prior to the Closing Date, Seller shall deliver in escrow to Escrow Agent the following: 5.3.1 Deed. A Special Warranty Deed and Right of First Refusal Agreement in the form of Exhibit D hereto (“Deed”) executed and acknowledged by Seller; 5.3.2 Bill of Sale, Assignment and Assumption. The Assignment executed and acknowledged by Seller, vesting in Purchaser, without warranty, Seller’s right, title and interest in and to the property described therein free of any claims, except for the Permitted Exceptions (as defined in the Deed) to the extent applicable; 5.3.3 Oncor Easement. If not earlier executed, acknowledged and recorded by Seller, the Oncor Easement. Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 8 5.3.4 Conveyancing or Transfer Tax Forms or Returns. Such conveyancing or transfer tax forms or returns, if any, as are required to be delivered or signed by Seller by applicable state and local law in connection with the conveyance of the Property; 5.3.5 FIRPTA. A Foreign Investment in Real Property Tax Act affidavit in the form of Exhibit E hereto executed by Seller; 5.3.6 Authority. Evidence of the existence, organization and authority of Seller and of the authority of the persons executing documents on behalf of Seller reasonably satisfactory to the underwriter for the Title Policy; 5.3.7 Additional Documents. Any additional documents that Escrow Agent or the Title Company may reasonably require for the proper consummation of the transaction contemplated by this Agreement (provided, however, no such additional document shall expand any obligation, covenant, representation or warranty of Seller or result in any new or additional obligation, covenant, representation or warranty of Seller under this Agreement beyond those expressly set forth in this Agreement). 5.4 Purchaser’s Deliveries in Escrow. As of or prior to the Closing Date, Purchaser shall deliver in escrow to Escrow Agent the following: 5.4.1 Deed. The Deed, executed and acknowledged by Purchaser. 5.4.2 Bill of Sale, Assignment and Assumption. The Assignment, executed and acknowledged by Purchaser; 5.4.3 Release of Memoranda. Release of Memoranda executed and acknowledged by Purchaser and the other parties thereto. 5.4.4 Conveyancing or Transfer Tax Forms or Returns. Such conveyancing or transfer tax forms or returns, if any, as are required to be delivered or signed by Purchaser by applicable state and local law in connection with the conveyance of the Real Property; 5.4.5 Authority. Evidence of the existence, organization and authority of Purchaser and of the authority of the persons executing documents on behalf of Purchaser reasonably satisfactory to the underwriter for the Title Policy and certification by the Purchaser’s City Manager that no portion of the Purchase Price is being paid from the proceeds of bonds issued by Purchaser; and 5.4.6 Certified Resolution. A resolution, accompanied by a secretary’s certificate in form reasonably acceptable to Seller (the “Certified Resolution of the City Council”) approving the execution and delivery of the Agreement (and all exhibits hereto) and all other documents to be delivered by Purchaser pursuant to this Article 5, including, without limitation, the Settlement Agreement and the Surface Use Agreement) has been approved by its City Council. 5.4.7 Additional Documents. Any additional documents that Seller, Escrow Agent or the Title Company may reasonably require for the proper consummation of the transaction contemplated by this Agreement (provided, however, no such additional document shall expand any obligation, covenant, representation or warranty of Purchaser or result in any new or additional obligation, covenant, representation or warranty of Purchaser under this Agreement beyond those expressly set forth in this Agreement). 5.5 Seller’s and Purchaser’s Mutual Deliveries in Escrow. Seller and Purchaser shall execute and deliver in escrow to the Escrow Agent the following: 5.5.1 Settlement Agreement. Settlement Agreement between Purchaser and Seller releasing all claims, controversies and causes of action associated with the North Lake Property in form satisfactory to Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 9 Purchaser and Seller in their sole and absolute discretion (the “Settlement Agreement”), executed and acknowledged by Seller and Purchaser. 5.5.2 Surface Use Agreement. A Surface Use Agreement in form satisfactory to Purchaser, Seller and the other owners the North Lake Properties in their sole and absolute discretion, executed and acknowledged by Seller, Purchaser and the other parties thereto. 5.6 Lien Releases. As of or prior to the Closing Date, Seller shall use reasonable efforts to obtain and, at Seller’s election, either file in the Real Property Records of Dallas County, Texas (with a copy to the Escrow Agent) or deliver to the Escrow Agent, releases (which may be contingent upon Closing, with Seller having the right to apply the purchase price or a portion thereof for the purpose of obtaining such releases) of all Financing Liens encumbering the Property (“Lien Releases”). The deliveries pursuant to this Section 5.6 are Conditional Deliveries and shall be a Closing Condition of Seller and Purchaser. 5.7 Closing Statements. As of or prior to the Closing Date, Seller and Purchaser shall deposit with Escrow Agent executed closing statements consistent with this Agreement in the form required by Escrow Agent. 5.8 Purchase Price. At or before Noon local time on the Closing Date, Purchaser shall deliver to Escrow Agent the Purchase Price plus or minus applicable prorations, in immediate, same-day U.S. federal funds wired for credit into Escrow Agent’s escrow account. All funds to be delivered at Closing must be delivered in a manner to permit Escrow Agent to deliver good funds to Seller or its designee on the Closing Date (and, if requested by Seller, by wire transfer); in the event that Escrow Agent is unable to deliver good funds to Seller or its designee on the Closing Date, then the closing statements and related prorations will be revised as necessary. 5.9 Possession. At Closing, Seller shall deliver possession of the Property to Purchaser. 5.10 Delivery of Books and Records. After Closing, Seller shall deliver to the offices of Purchaser to the extent in Seller’s possession: maintenance records and warranties; plans and specifications; leases, licenses, permits and certificates of occupancy; copies or originals of all books and records of account, contracts, and copies of correspondence with tenants and suppliers; and keys. Seller’s obligation pursuant to this Section 5.10 shall survive Closing. ARTICLE 6 PRORATIONS, DEPOSITS, COMMISSIONS 6.1 Prorations. At Closing, the following items shall be prorated as of the Closing Date with all items of income and expense for the Property being borne by Purchaser from and after (and including) the Closing Date: accrued operating expenses; real and personal ad valorem taxes (“Taxes”); and any assessments by private covenant for the then-current calendar year of Closing. Specifically, the following shall apply to such prorations: 6.1.1 Taxes. If Taxes for the year of the Closing are not known or cannot be reasonably estimated, Taxes shall be prorated based on Taxes for the year prior to Closing. Any additional Taxes relating to the year of Closing or prior years arising out of a change in the use of the Real Property or a change in ownership shall be assumed by Purchaser effective as of Closing and paid by Purchaser when due and payable, and Purchaser shall indemnify Seller from and against any and all such Taxes, which indemnification obligation shall survive the Closing. Seller reserves the right to pursue any challenge to Taxes attributable to any time period prior to Closing shall be entitled to any refund or reduction of Taxes attributable to any time period prior to Closing. Purchaser’s City Manager shall take all necessary actions (or refrain to take action, as appropriate) to cause Purchaser to comply with this Section 6.1.1, Seller acknowledges that Purchaser is a political subdivision of the State of Texas and may be exempt from payment of ad valorem taxes. 6.1.2 Utilities. Purchaser shall take all steps necessary to effectuate the transfer of all utilities, if any, to its name as of the Closing Date, and where necessary, post deposits with the utility companies. Seller shall ensure that all utility meters are read as of the Closing Date. Seller shall be entitled to recover any and all deposits held by any utility company as of the Closing Date. Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 10 6.2 Closing Costs. Closing costs shall be allocated between Seller and Purchaser in accordance with Section 1.2 entitled “Closing Costs”. 6.3 Final Adjustment After Closing. If final bills are not available or cannot be issued prior to Closing for any item being prorated under Section 6.1, then Purchaser’s City Manager on behalf of Purchaser and Seller shall allocate such items on a fair and equitable basis as soon as such bills are available, final adjustment to be made as soon as reasonably possible after the Closing and Purchaser’s City Manager shall cause Purchaser to make any payments allocated to Purchaser pursuant to this Section 6.3. Payments in connection with the final adjustment shall be due within 30 days of written notice. All such rights and obligations shall survive the Closing. 6.4 Commissions. Seller and Purchaser each represent and warrant to the other that no real estate brokerage commission is payable to any person or entity in connection with the transaction contemplated hereby. Seller’s and Purchaser’s representations and warranties under this Section 6.4 shall survive the termination of this Agreement and shall survive the Closing. ARTICLE 7 REPRESENTATIONS AND WARRANTIES 7.1 Seller’s Representations and Warranties. Seller represents and warrants to Purchaser that: 7.1.1 Organization and Authority. Seller is validly existing, and is in good standing in the state in which it was formed. Seller has the full right and authority and has obtained any and all consents required to enter into this Agreement and to consummate or cause to be consummated the transactions contemplated hereby. This Agreement has been, and all of the documents to be delivered by Seller at the Closing will be, authorized and executed and constitute, or will constitute, as appropriate, the valid and binding obligation of Seller, enforceable in accordance with their terms. 7.1.2 Conflicts and Pending Actions. There is no agreement to which Seller is a party or, to Seller’s knowledge, that is binding on Seller which is in conflict with this Agreement. To Seller’s knowledge, there is no action or proceeding pending or threatened against Seller or relating to the Property, which challenges or impairs Seller’s ability to execute or perform its obligations under this Agreement. 7.1.3 Notices from Governmental Authorities. To Seller’s knowledge, Seller has not received from any governmental authority (other than Purchaser) written notice of any material violation of any laws applicable (or alleged to be applicable) to the Real Property, or any part thereof, that has not been corrected, except as may be reflected by the Property Documents or otherwise disclosed in writing to Purchaser. 7.2 Purchaser’s Representations and Warranties. Purchaser represents and warrants to Seller that: 7.2.1 Organization and Authority. Purchaser is validly existing as a political subdivision of the State of Texas. Purchaser has the full right and authority and has obtained any and all consents required to enter into this Agreement, to deposit and invest the Earnest Money and to consummate or cause to be consummated the transactions contemplated hereby. This Agreement has been, and all of the documents to be delivered by Purchaser at the Closing will be, authorized and properly executed and constitute, or will constitute, as appropriate, the valid and binding obligation of Purchaser, enforceable in accordance with their terms. 7.2.2 Conflicts and Pending Action. There is no agreement to which Purchaser is a party or, to Purchaser’s knowledge, binding on Purchaser which is in conflict with this Agreement. Purchaser has not received notice of any action or proceeding, pending or, to Purchaser’s knowledge, threatened, against Purchaser which challenges or impairs Purchaser’s ability to execute or perform its obligations under this Agreement. 7.2.3 Prohibited Persons and Transactions. Purchaser is currently in compliance with and shall at all times during the term of this Agreement (including any extension thereof) remain in compliance with the regulations of the Office of Foreign Asset Control (“OFAC”) of the Department of the Treasury (including those named on OFAC’s Specially Designated Nationals and Blocked Persons List) and any statute, executive order Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 11 (including the September 24, 2001, Executive Order Blocking Property and Prohibiting Transactions with Persons Who Commit, Threaten to Commit, or Support Terrorism), or other governmental action relating thereto. 7.3 Survival of Representations and Warranties. The representations and warranties set forth in this Article 7 shall survive Closing for a period of six months (the “Survival Period”); provided, however, that such representations and warranties shall automatically terminate if following the Closing, any direct or indirect transfer, assignment, conveyance or sale of the Property or any ownership interest in Purchaser occurs. Terms such as “to Seller’s knowledge,” “to the best of Seller’s knowledge” or like phrases mean the actual present and conscious awareness or knowledge of Patrick J. McInroe (“Seller’s Representative”), without any duty of inquiry or investigation; provided that so qualifying Seller’s knowledge shall in no event give rise to any personal liability on the part of Seller’s Representative, or any of them, or any other officer or employee of Seller, on account of any breach of any representation or warranty made by Seller herein. Said terms do not include constructive knowledge, imputed knowledge, or knowledge Seller or such persons do not have but could have obtained through further investigation or inquiry. No broker, agent, or party other than Seller is authorized to make any representation or warranty for or on behalf of Seller. Each party shall have the right to bring an action against the other on the breach of a representation or warranty or covenant hereunder or in the documents delivered by Seller at the Closing, but only on the following conditions: (1) the breach in question results from, or is based on, a condition, state of facts or other matter that was not known prior to Closing by the party bringing the action, (2) the party alleging the breach gives written notice of such breach to the other party before the earlier to occur of (i) 91 days following the date on which the party alleging the breach becomes aware of such breach and (ii) the end of the Survival Period and files the action with respect to such breach on or before the first day following the second anniversary of the Closing Date, and (3) neither party shall have the right to bring a cause of action for a breach of a representation or warranty or covenant unless the damage to such party on account of such breach (individually or when combined with damages from other breaches) equals or exceeds $50,000, and then only to the extent of such excess (but not in excess of the Cap defined below). The parties stipulate that the periods of time referenced above to give written notice of the alleged breach and to file the action with respect to such breach is reasonable and hereby waive any claims to the contrary. If a party fails to timely notify the other party or file such action within the required time periods as described above, such action shall be barred. Neither party shall have any liability after Closing for the breach of a representation or warranty or covenant hereunder of which the other party hereto had knowledge as of Closing. Without limiting the generality of the foregoing, and notwithstanding any other provision of this Agreement, Seller shall have no liability with respect to any of Seller’s representations, warranties and covenants hereunder if, prior to the Closing, Purchaser has knowledge of any breach of a representation, warranty or covenant of Seller hereunder, or Purchaser obtains knowledge that contradicts any of Seller’s representations, warranties or covenants hereunder (and the representations and warranties of Seller shall be deemed to be modified thereby to be accurate), and Purchaser nevertheless consummates the transactions contemplated by this Agreement (in which event any such breach or contradiction shall be deemed waived by Purchaser). Notwithstanding any other provision of this Agreement, any agreement contemplated by this Agreement, or any rights which Purchaser might otherwise have at law, equity, or by statute, whether based on contract or some other claim, Purchaser agrees that any liability of Seller to Purchaser will be limited to $50,000 (the “Cap”). The provisions of this Section 7.3 shall survive the Closing. Any breach of a representation or warranty that occurs prior to Closing shall constitute the non-satisfaction of the Closing Condition set forth in Section 5.2.1(a) entitled “Representations and Warranties” and shall be governed exclusively by Section 5.2.4 entitled “Non-Satisfaction of Conditions”. ARTICLE 8 DEFAULT AND REMEDIES 8.1 Seller’s Remedies. If Purchaser fails to consummate the purchase of the Property pursuant to this Agreement or otherwise defaults on its obligations hereunder at Closing for any reason except failure by Seller to perform hereunder, Seller shall be entitled, as its sole remedy (except as provided in Sections 6.4, 8.3 and 8.4 hereof), to terminate this Agreement. Notwithstanding anything in this Section 8.1 to the contrary, in the event of Purchaser’s default or a termination of this Agreement, Seller shall have all remedies available by mandamus to compel the performance of Purchaser or other suit, action or proceeding available at law or in equity in the event Purchaser or any party associated with Purchaser is asserting any claims or right to the Property that would otherwise delay or prevent Seller from having clear, indefeasible and marketable title to the Property, and in said event Seller shall not be required to submit such matter to dispute resolution as contemplated by Section 10.19. In all other events Seller’s remedies shall be limited to those described in Section 6.4 entitled “Commissions”, and Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 12 Sections 8.1, 8.3 and 8.4 hereof. If Closing is consummated, Seller shall have all remedies available by mandamus to compel the performance of Purchaser or other suit, action or proceeding available at law or in equity in the event Purchaser fails to perform any obligation of Purchaser under this Agreement. 8.2 Purchaser’s Remedies. If Seller fails to consummate the sale of the Property pursuant to this Agreement or otherwise defaults on its obligations hereunder at Closing for any reason except failure by Purchaser to perform hereunder, Purchaser shall elect, as its sole remedy, either to (a) terminate this Agreement by giving Seller timely written notice of such election prior to or at Closing, (b) enforce specific performance to consummate the sale of the Property hereunder, or (c) waive said failure or breach and proceed to the Closing without any reduction in the Purchase Price for the Property. Notwithstanding anything herein to the contrary, Purchaser shall not be entitled to a remedy of specific performance and shall be deemed to have elected to terminate this Agreement unless a duly authorized signatory of Purchaser is physically present at the offices of the Title Company on the Closing Date with all closing documents for the Property as required by Article 5, executed on behalf of Purchaser where applicable, in Purchaser’s possession and Purchaser files to seek specific performance within ten Business Days following the expiration of the Dispute Resolution Period. Purchaser’s remedies shall be limited to those described in this Section 8.2 and Sections 8.3 and 8.4 hereof. IN NO EVENT SHALL SELLER’S DIRECT OR INDIRECT PARTNERS, SHAREHOLDERS, MEMBERS, MANAGERS, OWNERS OR AFFILIATES, ANY OFFICER, MANAGER, DIRECTOR, EMPLOYEE OR AGENT OF THE FOREGOING, OR ANY AFFILIATE OR CONTROLLING PERSON THEREOF HAVE ANY LIABILITY FOR ANY CLAIM, CAUSE OF ACTION OR OTHER LIABILITY ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE PROPERTY, WHETHER BASED ON CONTRACT, COMMON LAW, STATUTE, EQUITY OR OTHERWISE. 8.3 Attorneys’ Fees. In the event either party hereto employs an attorney in connection with claims by one party against the other arising from the operation of this Agreement, the non-prevailing party shall pay the prevailing party all reasonable fees and expenses, including attorneys’ fees, incurred in connection with such claims. 8.4 Other Expenses. If this Agreement is terminated due to the default of a party, then the defaulting party shall pay any fees or charges due to Escrow Agent for any escrow cancellation fees or charges and any fees or charges due to the Title Company for preparation and/or cancellation of the Title Commitment. ARTICLE 9 DISCLAIMERS, RELEASE AND INDEMNITY 9.1 Disclaimers by Seller. Except as expressly set forth in this Agreement, it is understood and agreed that Seller and Seller’s agents or employees have not at any time made and are not now making, and they specifically disclaim, any warranties, representations or guaranties of any kind or character, express or implied, with respect to the Property, including, but not limited to, warranties, representations or guaranties as to (a) matters of title (other than Seller’s special warranty of title to be contained in the Deed), (b) environmental matters relating to the Property or any portion thereof, including, without limitation, the presence of Hazardous Materials in, on, under or in the vicinity of the Property, (c) geological conditions, including, without limitation, subsidence, subsurface conditions, water table, underground water reservoirs, limitations regarding the withdrawal of water, and geologic faults and the resulting damage of past and/or future faulting, (d) whether, and to the extent to which the Property or any portion thereof is affected by any stream (surface or underground), body of water, wetlands, flood prone area, flood plain, floodway or special flood hazard, (e) drainage, (f) soil conditions, including the existence of instability, past soil repairs, soil additions or conditions of soil fill, or susceptibility to landslides, or the sufficiency of any undershoring, (g) the presence of endangered species or any environmentally sensitive or protected areas, (h) zoning or building entitlements to which the Property or any portion thereof may be subject, (i) the availability of any utilities to the Property or any portion thereof including, without limitation, water, sewage, gas and electric, (j) usages of adjoining property, (k) access to the Property or any portion thereof, (l) the value, compliance with the plans and specifications, size, location, age, use, design, quality, description, suitability, structural integrity, operation, title to, or physical or financial condition of the Property or any portion thereof, or any income, expenses, charges, liens, encumbrances, rights or claims on or affecting or pertaining to the Property or any part thereof, (m) the condition or use of the Property or compliance of the Property with any or all past, present or future federal, state or local ordinances, rules, regulations or laws, building, fire or zoning ordinances, codes or other similar laws, (n) the existence or non-existence of underground storage tanks, surface impoundments, or landfills, (o) any other Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 13 matter affecting the stability and integrity of the Property, (p) the potential for further development of the Property, (q) the merchantability of the Property or fitness of the Property for any particular purpose, (r) the truth, accuracy or completeness of the Property Documents, (s) tax consequences, or (t) any other matter or thing with respect to the Property. 9.2 Sale “As Is, Where Is”. Purchaser acknowledges and agrees that upon Closing, Seller shall sell and convey to Purchaser and Purchaser shall accept the Property “AS-IS, WHERE-IS, WITH ALL FAULTS,” except to the extent expressly provided otherwise in this Agreement and any document executed by Seller and delivered to Purchaser at Closing. Except as expressly set forth in this Agreement, Purchaser has not relied and will not rely on, and Seller has not made and is not liable for or bound by, any express or implied warranties, guarantees, statements, representations or information pertaining to the Property or relating thereto (including specifically, without limitation, Property Documents) made or furnished by Seller, or any property manager, real estate broker, agent or third party representing or purporting to represent Seller, to whomever made or given, directly or indirectly, orally or in writing. Purchaser represents that it is a knowledgeable, experienced and sophisticated purchaser of real estate and that, except as expressly set forth in this Agreement, it is relying solely on its own expertise and that of Purchaser’s consultants in purchasing the Property and shall make an independent verification of the accuracy of any documents and information provided by Seller. Purchaser will conduct such inspections and investigations of the Property as Purchaser deems necessary, including, but not limited to, the physical and environmental conditions thereof, and shall rely upon same. Purchaser acknowledges that Seller has afforded Purchaser a full opportunity to conduct such investigations of the Property as Purchaser deemed necessary to satisfy itself as to the condition of the Property and the existence or non-existence or curative action to be taken with respect to any Hazardous Materials on or discharged from the Property, and will rely solely upon same and not upon any information provided by or on behalf of Seller or its agents or employees with respect thereto, other than such representations, warranties and covenants of Seller as are expressly set forth in this Agreement. Upon Closing, Purchaser shall assume the risk that adverse matters, including, but not limited to, adverse physical or construction defects or adverse environmental, health or safety conditions, may not have been revealed by Purchaser’s inspections and investigations. Purchaser hereby represents and warrants to Seller that: (a) Purchaser is represented by legal counsel in connection with the transaction contemplated by this Agreement; and (b) Purchaser is purchasing the Property for business, commercial, investment or other similar purpose and not for use as Purchaser’s residence. Purchaser waives any and all rights or remedies it may have or be entitled to, deriving from disparity in size or from any significant disparate bargaining position in relation to Seller. 9.3 Seller Released from Liability. Purchaser acknowledges that it has been provided the opportunity to inspect the Property prior to the Effective Date to observe its physical characteristics and existing conditions and the opportunity to conduct such investigation and study on and of the Property and adjacent areas as Purchaser deems necessary, and Purchaser hereby FOREVER RELEASES AND DISCHARGES Seller from all responsibility and liability, including, without limitation, liabilities under the Comprehensive Environmental Response, Compensation and Liability Act Of 1980 (42 U.S.C. Sections 9601 et seq.), as amended (“CERCLA”), regarding the condition, valuation, salability or utility of the Property, or its suitability for any purpose whatsoever (including, but not limited to, with respect to the presence in the soil, air, structures and surface and subsurface waters, of Hazardous Materials or other materials or substances that have been or may in the future be determined to be toxic, hazardous, undesirable or subject to regulation and that may need to be specially treated, handled and/or removed from the Property under current or future federal, state and local laws, regulations or guidelines, and any structural and geologic conditions, subsurface soil and water conditions and solid and hazardous waste and Hazardous Materials on, under, adjacent to or otherwise affecting the Property). Purchaser further hereby WAIVES (and by Closing this transaction will be deemed to have WAIVED) any and all objections and complaints (including, but not limited to, federal, state and local statutory and common law based actions, and any private right of action under any federal, state or local laws, regulations or guidelines to which the Property is or may be subject, including but not limited to, CERCLA) concerning the physical characteristics and any existing conditions of the Property. Purchaser further hereby assumes the risk of changes in applicable laws and regulations relating to past, present and future environmental conditions on the Property and the risk that adverse physical characteristics and conditions, including, without limitation, the presence of Hazardous Materials or other contaminants, may not have been revealed by its investigation. 9.4 “Hazardous Materials” Defined. For purposes hereof, “Hazardous Materials” means “Hazardous Material,” “Hazardous Substance,” “Pollutant or Contaminant,” and “Petroleum” and “Natural Gas Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 14 Liquids,” as those terms are defined or used in Section 101 of CERCLA, and any other substances regulated because of their effect or potential effect on public health and the environment, including, without limitation, PCBs, lead paint, asbestos, urea formaldehyde, radioactive materials, putrescible materials, and infectious materials. 9.5 Indemnity. From and after Closing, Purchaser agrees to indemnify, defend and hold Seller harmless of and from any and all liabilities, claims, demands, and expenses of any kind or nature which are in any way related to the ownership, maintenance, operation or physical condition of the Property, including, without limitation, in connection with Hazardous Materials and any requirements or demands of governmental agencies with jurisdiction over the Property. Purchaser’s indemnification obligations shall be payable from Purchaser’s interest in the Property after the Closing and Purchaser’s service revenues (and not tax revenues) including, without limitation, water and sewer revenues and shall survive the Closing. 9.6 Survival. The terms and conditions of this Article 9 shall expressly survive the Closing, not merge with the provisions of any closing documents and shall be incorporated into the Deed. Purchaser acknowledges and agrees that the disclaimers and other agreements set forth herein are an integral part of this Agreement and that Seller would not have agreed to sell the Property to Purchaser for the Purchase Price without the disclaimers and other agreements set forth above. ARTICLE 10 MISCELLANEOUS 10.1 Parties Bound; Assignment. This Agreement, and the terms, covenants, and conditions herein contained, shall inure to the benefit of and be binding upon the heirs, personal representatives, successors, and assigns of each of the parties hereto. Purchaser may not assign its rights under this Agreement. 10.2 Headings. The article, section, subsection, paragraph and/or other headings of this Agreement are for convenience only and in no way limit or enlarge the scope or meaning of the language hereof. 10.3 Invalidity and Waiver. If any portion of this Agreement is held invalid or inoperative, then so far as is reasonable and possible the remainder of this Agreement shall be deemed valid and operative, and, to the greatest extent legally possible, effect shall be given to the intent manifested by the portion held invalid or inoperative. The failure by either party to enforce against the other any term or provision of this Agreement shall not be deemed to be a waiver of such party’s right to enforce against the other party the same or any other such term or provision in the future. 10.4 Governing Law. This Agreement shall, in all respects, be governed, construed, applied, and enforced in accordance with the law of the state in which the Real Property is located. 10.5 Survival. The provisions of this Agreement that contemplate performance after the Closing and the obligations of the parties not fully performed at the Closing (other than any unfulfilled closing conditions which have been waived or deemed waived by the other party) shall survive the Closing and shall not be deemed to be merged into or waived by the instruments of Closing. 10.6 Entirety and Amendments. This Agreement embodies the entire agreement between the parties and supersedes all prior agreements and understandings relating to the Property. This Agreement may be amended or supplemented only by an instrument in writing executed by the party against whom enforcement is sought. All Exhibits hereto are incorporated herein by this reference for all purposes. 10.7 Time. Time is of the essence in the performance of this Agreement. 10.8 Confidentiality. Purchaser shall make no public announcement or disclosure of any information related to this Agreement to third parties, before or after the Closing, without the prior written specific consent of Seller; provided, however, that Purchaser may, subject to the provisions of Section 3.2 entitled “Proprietary Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 15 Documents; Confidentiality”, make disclosure of this Agreement to its Permitted Outside Parties as necessary to perform its obligations hereunder and as may be required under laws or regulations applicable to Purchaser. 10.9 Electronic Transactions. Except as expressly provided in Section 10.10 entitled “Notices” and Section 10.13 entitled “Execution in Counterparts”, the parties hereby acknowledge and agree (a) this Agreement shall not be executed, entered into, altered, amended or modified by electronic means and (b) without limiting the generality of subparagraph (a), the parties hereby agree the transactions contemplated by this Agreement shall not be conducted by electronic means. 10.10 Notices. All notices required or permitted hereunder shall be in writing and shall be served on the parties at the addresses set forth in Section 1.3. Any such notices shall, unless otherwise provided herein, be given or served (a) by depositing the same in the United States mail, postage paid, certified and addressed to the party to be notified, with return receipt requested, (b) by overnight delivery using a nationally recognized overnight courier, (c) by personal delivery, or (d) by electronic mail addressed to the electronic mail address set forth in Section 1.3 entitled “Notice Addresses” for the party to be notified with a confirmation copy delivered by another method permitted under this Section 10.10. Notice given in accordance herewith for all permitted forms of notice other than by electronic mail, shall be effective upon the earlier to occur of actual delivery to the address of the addressee or refusal of receipt by the addressee (even if such addressee refuses delivery thereof). Notice given by electronic mail in accordance herewith shall be effective upon the entrance of such electronic mail into the information processing system designated by the recipient’s electronic mail address. Except for electronic mail notices as described above, no notice hereunder shall be effective if sent or delivered by electronic means. A party’s address may be changed by written notice to the other party; provided, however, that no notice of a change of address shall be effective until actual receipt of such notice. Copies of notices are for informational purposes only, and a failure to give or receive copies of any notice shall not be deemed a failure to give notice. Notices given by counsel to the Purchaser shall be deemed given by Purchaser and notices given by counsel to the Seller shall be deemed given by Seller. 10.11 Construction. The parties acknowledge that the parties and their counsel have reviewed and revised this Agreement and agree that the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Agreement or any exhibits or amendments hereto. 10.12 Calculation of Time Periods; Business Day. Unless otherwise specified, in computing any period of time described herein, the day of the act or event after which the designated period of time begins to run is not to be included and the last day of the period so computed is to be included, unless such last day is not a Business Day, in which event the period shall run until the end of the next day which is a Business Day. The last day of any period of time described herein shall be deemed to end at 5:00 p.m. local time in the state in which the Real Property is located. As used herein, the term “Business Day” means any day that is not a Saturday, Sunday or legal holiday for national banks in the city in which the Real Property is located. 10.13 Execution in Counterparts. This Agreement (and any alterations, amendments or modifications thereto) may be executed in any number of counterparts, each of which shall be deemed to be an original, and all of such counterparts shall constitute one Agreement. To facilitate execution of this Agreement (or any alteration, amendment or modification thereto), the parties may execute and exchange by electronic mail PDF counterparts of the signature pages, provided that executed originals thereof are forwarded to the other party on the same day by any of the delivery methods set forth in Section 10.10 other than electronic mail PDF. Signature pages may be detached from the counterparts and attached to a single copy of this Agreement (or any alteration, amendment or modification thereto) to physically form one document. 10.14 No Recordation. Without the prior written consent of Seller, there shall be no recordation of either this Agreement or any memorandum hereof, or any affidavit pertaining hereto, and any such recordation of this Agreement or memorandum or affidavit by Purchaser without the prior written consent of Seller shall constitute a default hereunder by Purchaser, whereupon Seller shall have the remedies set forth in Section 8.1 entitled “Seller’s Remedies” hereof. In addition to any such remedies, Purchaser’s City Manager shall execute on behalf of Purchaser an instrument in recordable form releasing this Agreement or memorandum or affidavit, and Purchaser’s and Purchaser’s City Manager’s obligations pursuant to this Section 10.14 shall survive any termination of this Agreement as a surviving obligation. Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 16 10.15 Further Assurances. In addition to the acts and deeds recited herein and contemplated to be performed, executed and/or delivered by either party at Closing, each party agrees to perform, execute and deliver, but without any obligation to incur any additional liability or expense, on or after the Closing any further deliveries and assurances as may be reasonably necessary to consummate the transactions contemplated hereby or to further perfect the conveyance, transfer and assignment of the Property to Purchaser and Purchaser’s City Manager shall take all necessary actions (or refrain to take action, as appropriate) to cause Purchaser to comply with this Section 10.15, and Purchaser’s and Purchaser’s City Manager’s obligations pursuant to this Section 10.15 shall survive any termination of this Agreement as a surviving obligation. 10.16 Discharge of Obligations. The acceptance of the Deed by Purchaser shall be deemed to be a full performance and discharge of every representation and warranty made by Seller herein and every agreement and obligation on the part of Seller to be performed pursuant to the provisions of this Agreement, except those which are herein specifically stated to survive Closing. 10.17 No Third-Party Beneficiary. The provisions of this Agreement and of the documents to be executed and delivered at Closing are and will be for the benefit of Seller and Purchaser only and are not for the benefit of any third party, and accordingly, no third party shall have the right to enforce the provisions of this Agreement or of the documents to be executed and delivered at Closing. 10.18 Reporting Person. Purchaser and Seller hereby designate the Title Company as the “reporting person” pursuant to the provisions of Section 6045(e) of the Internal Revenue Code of 1986, as amended. 10.19 Dispute Resolution. In the event of a dispute between the parties, before resorting to litigation, the parties will submit to the following dispute resolution process for not more than sixty days following the date on which a party initiation of the dispute resolution process by written notice to the other party (the “Dispute Resolution Period”). The parties agree to negotiate in good faith in an effort to resolve any dispute related to this Agreement that may arise for a period of five business days following the initiation of the dispute resolution process. If the dispute cannot be resolved by negotiation within such five business day period, the parties will submit the dispute to non-binding mediation before resorting to litigation and will equally share the costs of a mutually acceptable mediator. If such dispute cannot be resolved during the Dispute Resolution Period, then either party may commence litigation. Purchaser’s General Manager shall take all necessary actions (or refrain to take action, as appropriate) to cause Purchaser to comply with this Section 10.19. This Section 10.19 shall survive the termination of this Agreement and shall survive the Closing. The provisions of this Section 10.19 shall not apply to a party seeking injunctive relief or temporary restraining orders. 10.20 Venue. Venue of any dispute concerning this Agreement shall be in Dallas County, Texas. 10.21 Special Provisions Concerning the Purchaser. 10.21.1 Purchaser’s City Manager. References in this Agreement to actions by the Purchaser’s City Manager shall refer to such person acting on behalf of Purchaser in such person’s official capacity and nothing herein shall give rise to any personal liability on the part of Purchaser’s City Manager. 10.21.2 Waiver of Sovereign Immunity. TO THE MAXIMUM EXTENT PERMITTED BY LAW AND TO ANY LIMITATIONS CONTAINED IN PURCHASER’S CHARTER, PURCHASER HEREBY AGREES TO WAIVE SOVEREIGN IMMUNITY FROM SUIT AND/OR LIABILITY FOR THE PURPOSE OF ADJUDICATING A CLAIM TO ENFORCE THIS AGREEMENT OR FOR DAMAGES FOR BREACH OF THIS AGREEMENT. 10.21.3 Conflicts with Applicable Law or Charter. Notwithstanding anything to the contrary contained in this Agreement, Purchaser shall not have the obligation to perform any covenant or agreement under this Agreement that is found by a court of competent jurisdiction in a final, non-appealable judgment to violate applicable law or Purchaser’s charter as of the Effective Date (but nothing contained in this Section 10.21.3 shall prevent Luminant from seeking recovery under quantum meruit or seeking or exercising other equitable remedies). Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 17 [SIGNATURE PAGES AND EXHIBITS TO FOLLOW] Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 18 IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and year written below. SELLER: LUMINANT GENERATION COMPANY LLC, a Texas limited liability company By: Name: Title: Date Executed by Seller: PURCHASER: THE CITY OF COPPELL, TEXAS, a political subdivision of the State of Texas By: Name: Title: Date Executed by Purchaser: Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 A-1 EXHIBIT A BILL OF SALE, ASSIGNMENT AND ASSUMPTION NORTH LAKE THIS BILL OF SALE, ASSIGNMENT AND ASSUMPTION (this “Bill of Sale”) is made as of _______________, 20__, by and between LUMINANT GENERATION COMPANY LLC, a Texas limited liability company (“Assignor”), and THE CITY OF COPPELL, TEXAS, a political subdivision of the State of Texas (“Assignee”). W I T N E S S E T H: For good and valuable consideration, receipt and sufficiency of which are hereby acknowledged, Assignor and Assignee hereby agree as follows: 1. Assignor hereby sells, transfers, assigns and conveys to Assignee the following: (a) All right, title and interest of Assignor in and to all tangible personal property (“Personalty”) located on and used in connection with the maintenance or operation of that certain land and improvements located in the County of Dallas, State of Texas, as more particularly described in Schedule 1 hereto and made a part hereof (“Real Property”). (b) To the extent assignable, all warranties, guaranties, indemnities and claims (including, without limitation, for workmanship, materials and performance) and which exist or may hereafter exist against any contractor, subcontractor, manufacturer or supplier or laborer or other services relating thereto. (c) All right, title and interest of Assignor in all intangible personal property related to the Real Property and the improvements thereon (the “Improvements”), including, without limitation: all trade names and trademarks associated with the Real Property and the Improvements, including Assignor’s rights and interests, if any, in the name of the Real Property; the plans and specifications and other architectural and engineering drawings for the Improvements, if any; warranties (to the extent assignable without cost to Seller); governmental permits, approvals and licenses, if any; and telephone exchange numbers (collectively, the “Intangible Personal Property”). Tangible Personal Property and Intangible Personal Property shall not include (1) any appraisals or other economic evaluations of, or projections with respect to, all or any portion of the Property, including, without limitation, budgets prepared by or on behalf of Assignor or any affiliate of Assignor, (2) any documents, materials or information which are subject to attorney/client, work product or similar privilege, which constitute attorney communications with respect to the Property and/or Assignor, or which are subject to a confidentiality agreement, and (3) any trade name, mark or other identifying material that includes the name “Luminant”, the name “Energy Future Holding” or any derivative thereof. 2. This Bill of Sale is given pursuant to that certain Purchase and Sale Agreement (as amended, the “Purchase Agreement”) dated as of ____________________, between Assignor and Assignee, providing for, among other things, the conveyance of the Personalty and the Intangible Personal Property. 3. As set forth in Article 9 of the Purchase Agreement, which is hereby incorporated by reference as if herein set out in full and except as set forth herein, the property conveyed hereunder is conveyed by Assignor and accepted by Assignee AS IS, WHERE IS, AND WITHOUT ANY WARRANTIES OF WHATSOEVER NATURE, EXPRESS OR IMPLIED, EXCEPT AS EXPRESSLY SET FORTH IN THE PURCHASE AGREEMENT, IT BEING THE INTENTION OF ASSIGNOR AND ASSIGNEE EXPRESSLY TO NEGATE AND EXCLUDE ALL WARRANTIES, INCLUDING, WITHOUT LIMITATION, THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR ANY PARTICULAR PURPOSE, WARRANTIES CREATED BY ANY AFFIRMATION OF FACT OR PROMISE OR BY ANY DESCRIPTION OF THE PROPERTY CONVEYED HEREUNDER, OR BY ANY SAMPLE OR MODEL THEREOF, AND ALL OTHER WARRANTIES WHATSOEVER CONTAINED IN OR CREATED BY THE TEXAS UNIFORM COMMERCIAL CODE. Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 A-2 4. Assignee hereby accepts the assignment of the Personalty and the Intangible Personal Property and agrees to assume and discharge, in accordance with the terms thereof all of the obligations thereunder from and after the date hereof. Assignee agrees to indemnify and hold harmless Assignor from any cost, liability, damage or expense (including attorneys’ fees) arising out of or relating to Assignee’s failure to perform any of the foregoing obligations. 5. This Bill of Sale may be executed in any number of counterparts, each of which shall be deemed an original, but all of which shall constitute one and the same instrument. [THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK.] Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 A-3 IN WITNESS WHEREOF, the parties hereto have executed this Bill of Sale as of the date first above written. ASSIGNOR: LUMINANT GENERATION COMPANY LLC, a Texas limited liability company By: Name: Title: ASSIGNEE: THE CITY OF COPPELL, TEXAS, a political subdivision of the State of Texas By: Name: Title: Schedule 1 Real Property Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 A-4 Schedule 1 Real Property Tract 1 BEING a 39.638 acre tract of land situated in the G. Hendricks Survey, Abstract No. 630, the J.G. Carlock Survey, Abstract No. 312 and the Francis Jones Survey, Abstract No. 674 in Dallas County, Texas, and being a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), and a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4420, Page 549 D.R.D.C.T. Said 39.638 acre tract being more particularly described by metes and bounds as follows: BEGINNING at a 3/4 inch iron rod found (N=7,031,066.82, E=2,438,553.41) at the northwest corner of the Grand Estates at Northlake Hills Phase II, recorded in Volume 2005041, Page 185 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) and in the south line of a tract of land described in deed to Crow-Billingsley Belt Line, LTD., recorded in Volume 86068, Page 5186 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.) from which a 3/4" iron rod found capped "PEWITT" bears S 32o30'57" W, a distance of 0.78 feet; THENCE: S 00° 22' 55" E, with the West line of said Grand Estates at Northlake Hills Phase II, a distance of 1102.51 feet to a 5/8 inch iron rod with Aluminum Cap stamped "'Frontier Surveying Company - RPLS 5991" set for the southeast corner of this tract and the northeast corner of a tract of land described as "East Tract IB" in deed to the City of Coppell, recorded in Document No. 20080370218 O.P.R.D.C.T.; THENCE: WEST, with the north line of said City of Coppell tract, a distance of 734.96 feet to a point on the meander line of the easterly shoreline of North Lake established at an elevation of 509.00 feet and the common northwest corner of said City of Coppell tract; THENCE: in a northerly direction, along said established 509.00 foot elevation meander line, the following courses and distances listed as follows for reference purposes only; N 26o13'37" W, a distance of 1853.70 feet to a point for corner; N 75o06'50" W, a distance of 32.32 feet to a point for corner; N 20o52'39" E, a distance of 46.22 feet to a point for corner; S 77o50'52" W. a distance of 61.00 feet to a point for corner; N 22°55'50" W, a distance of 39.04 feet to a point for corner; N 53°58'22" E, a distance of 31.31 feet to a point for corner; N 16o22'22" E a distance of 24.51 feet to a point for corner; N 26o38'33" W, a distance of 87.99 feet to a point for corner; THENCE: EAST over and across said Dallas Power & Light Company, tract, a distance of 868.99 feet to a 5/8 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set in the west line of a tract of land described as "Tract 4", in deed to Crow-Billingsley North Lake HB&T Joint Venture, recorded in Volume 90106, Page 2492 D.R.D.C.T. from which a 1/2 inch iron rod found capped "RPLS6013TX" bears N 00°34'01" W, a distance of 75.72 feet; THENCE: S 00o34'01" E. with the West line of said Crow-Billingsley North Lake HB&T Joint Venture Tract and the west line of a tract of land described in deed to Trammel Crow Company No. 43 Et al, recorded in Document Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 A-5 No. 20070001189 O.P.R.D.C.T., and passing a chain link fence corner post at the south corner of said Crow- Billingsley North Lake HB&T Joint Venture Tract and the common northwest corner of said Trammel Crow Company No. 43 Et al tract at a distance of 69.38 feet and continuing with the west line of said Trammel Crow Company No. 43 Et al tract, a total distance of 169.15 feet to a 5/8 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company – RPLS 5991" set for corner from which a chain link fence post found bears N 83° 16'45" W, a distance of 2.93 feet; THENCE: S 30° 26' 32" E, continuing with the West line of said Trammel Crow Company No. 43 Et al tract, a distance of 678.19 feet to a 5/8 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set at the southwest corner of said Trammel Crow Company No. 43 Et al tract from which a chain link fence post bears S 39o51'52" E, a distance of 1.33 feet; THENCE: S 89° 46' 16" E, with the south line of said Trammel Crow Company No. 43 Et al tract and the south line of said Crow-Billingsley Belt Line, LTD. tract, passing a 3/8 inch iron rod found at the southeast corner of said Trammel Crow Company No. 43 Et al tract and the common southwest corner of said Crow-Billingsley Belt Line, LTD. tract at a distance of 201.31 feet, and continuing with the south line of said Crow-Billingsley Belt Line, LTD. tract a total distance of 429.36 feet to the POINT OF BEGINNING and containing 39.638 acres of land more or less. Tract 2 BEING a 16.014 acre tract of land situated in the Francis Jones Survey, Abstract No. 674, in Dallas County, Texas, and being a portion of a called 490.6 acre tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.) and being more particularly described by metes and bounds as follows: BEGINNING at a 5/8 inch iron rod with aluminum cap stamped "FRONTIER SURVEYING COMPANY - RPLS 5991" set (N = 7,028,735.94, E = 2,438,568.69) at the southwest corner of a tract of land described as "EAST TRACT 1B" in deed to the City of Coppell, recorded in Document No. 20080370218 Official Public Records Dallas County, Texas (O.P.R.D.C.T.) and in the west line of the Final Plat of The Hollows of Valley Ranch Section Four, recorded in Volume 95012, Page 6285 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) from which a 3/4 inch iron rod found at the northwest corner of the Final Plat of Grand Estates At Northlake Hills Phase II, recorded in Volume 2005041, Page 185, P.R.D.C.T. bears N 00o22'32" W, a distance of 2330.92 feet; THENCE: S 00o 21' 19" E, with the west line of said Hollows of Valley Ranch Section Four and the west line of The Final Plat of the Hollows of Valley Ranch, Amended, Section Two, Recorded in Volume 94067, Page 7887, P.R.D.C.T., a distance of 947.44 feet to a point at the southwest corner of said Hollows of Valley Ranch, Amended, Section Two and the common northwest corner of The Amended Final Plat of Valley Ranch, Phase IV, 6th Installment, recorded in Volume 94197, Page 2086, P.R.D.C.T. from which a 1/2 inch iron rod found bears N 45o52'59" E, a distance of 1.00 foot; THENCE: S 00° 21' 7" E, with the West line of said Valley Ranch Phase IV-6th Installment, a distance of 256.81 feet to a 1/2 inch iron rod found at the northeast corner of a tract of land conveyed to C W Shoreline Land, LTD., recorded in Document No. 201200024638 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.): THENCE: West, with the North line of said C W Shoreline Land, LTD. tract, a distance of 384.77 feet to a point on the meander line of the easterly shoreline of North Lake established at an elevation of 509.00 feet; THENCE: in a northerly direction, along said established 509.00 foot elevation meander line, the following courses and distances for listed for reference purposes only; N 08° 40' 03" W, a distance of 26.24 feet to a point for corner; N 46° 36' 01" W, a distance of 203.92 feet to a point for corner; N 35° 50' 06" W, a distance of 164.27 feet to a point for corner; Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 A-6 N 17° 52' 45" W, a distance of 169.59 feet to a point for corner; N 01° 14' 05" W. a distance of 183.97 feet to a point for corner; N 20° 00' 12" E, a distance of 166.36 feet to a point for corner; N 27° 09' 58" E, a distance of 453.36 feet to a point at the southwest corner of said City of Coppell tract; THENCE: East, with the South line of said City of Coppell tract, a distance of 417.73 feet to the POINT OF BEGINNING and containing 16.014 acres of land more or less. Tract 3 A parcel of land lying and situated in County of Dallas, Texas, being a part of that certain 11.62 acre tract of land in the W. Perry Survey, Abstract No. 1152, conveyed to the City of Dallas by A.G. Kirksey, et ux. by a deed of record in Volume 540, Page 21, Deed Records of Dallas County, Texas and more particularly described by metes and bounds as follows: BEGINNING at a point in the most westerly line of the said 11.62 acre tract, 89.0 feet N 0° 03' W of the extreme southwest corner thereof located in the Old Dallas-Denton Road; THENCE N 0° 03' W, along the most westerly line of the said 11.62 acre tract, a distance of 111.0 feet to an iron pin in concrete; THENCE N 46° 57' E, continuing with the boundary line of the said 11.62 acre tract, a distance of 290.0 feet to the point for corner; THENCE S 43° 03' E, 40.7 feet to a point on the west bank of the Elm Fork of the Trinity River; THENCE S 14° 15' E, 64.0 feet to a point for corner; THENCE S 37° 05' W. 30.0 feel to a point for corner; THENCE S 88° 25' W, 64.0 feet to a point on the west bank of the Elm Fork of the Trinity River; THENCE S 37° 05' W along the west bank of the Elm Fork of the Trinity River, a distance of 30.0 feet to a point for corner; THENCE N 52° 55' W, a distance of 35.0 feet to a point for corner; THENCE S 46° 57' W, a distance of 83.3 feet to a point for corner; THENCE S 37° 56' W, a distance of 54.9 feet to a point for corner; THENCE S 22° 50' W, a distance of 54.5 feet to a point for corner; THENCE S 16° 46' W, a distance of 40.0 feet to the place of beginning; and containing 0.397 acre of land. Tract 4 BEING a 2.741 acre tract of land situated in the Francis Jones Survey, Abstract Number 674, and in Official City of Dallas Block Number 8470, in the City of Dallas, Dallas County, Texas, and being a part of that tract of land described in deed to Dallas Power & Light Company, as recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), and being more particularly described as follows: Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 A-7 COMMENCING at a 5/8 inch found iron rod for the common north corner of said Dallas Power & Light Company tract and Grand Estates at Northlake Hills Phase II, an addition to the City of Irving, Dallas County, Texas, as recorded in Volume 2005041, Page 185, of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.); THENCE South 00 degrees 23 minutes 11 seconds East, along the east line of said Dallas Power & Light Company tract, a distance of 1,415.88 feet to a point for corner; THENCE South 79 degrees 48 minutes 40 seconds West, departing said east line, a distance of 457.63 feet to a 1/2 inch set iron rod with yellow plastic cap stamped "HALFF ASSOC INC." (hereinafter referred to as "with cap") for the POINT OF BEGINNING of the herein described tract; THENCE South 10 degrees 11 minutes 20 seconds East, a distance of 398.00 feet to a 1/2 inch set iron rod with cap for corner; THENCE South 79 degrees 48 minutes 40 seconds West, a distance of 300.00 feet to a 1/2 inch set iron rod with cap for corner; THENCE North 10 degrees 11 minutes 20 seconds West, a distance of 398.00 feet to a 1/2 inch set iron rod with cap for corner; THENCE North 79 degrees 48 minutes 40 seconds East, a distance of 300.00 feet to the POINT OF BEGINNING and CONTAINING 119,400 square feet or 2.741 acres of land, more or less. Line Name: ____________ Tract: 1a Easement #: _________ WA #: __________ 1505488v.18 EFH100/52002 EXHIBIT B ONCOR EASEMENT EASEMENT AND RIGHT OF WAY STATE OF TEXAS § § KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS § That, Luminant Generation Company LLC, a Texas limited liability company, hereinafter called "Grantor," whether one or more, for and in consideration of Ten and no/100 Dollars ($10.00) and other valuable consideration to Grantor in hand paid by Oncor Electric Delivery Company LLC, a Delaware limited liability company, 1616 Woodall Rodgers Freeway, Dallas, Texas 75202, hereinafter referred to as "Grantee", has granted, sold and conveyed and by these presents does grant, sell and convey unto said Grantee, its successors and assigns, an easement and right-of-way for electric transmission, distribution and communication lines, each consisting of a variable number of wires and cables, together with all necessary or desirable appurtenances including supporting structures, foundations, guy wires and guy anchorages (the “Facilities”) over, under, across and upon all that certain tract(s) of land located in Dallas County, Texas, more particularly described in Exhibits A and B, attached hereto and made part hereof. Together with: (1) the right of ingress and egress over and along the easement and right-of-way and over Grantor's adjacent lands to or from the easement and right-of-way, for the purpose of and with the right to construct, operate, improve, reconstruct, replace, repair, inspect, patrol, maintain and add or remove such electric power and communications lines or other Facilities as the Grantee may from time to time find necessary, convenient or desirable to erect thereon during the initial construction of the Facilities or at any time thereafter; (2) the right to install gates in all existing and future fences crossing the easement and right-of-way, provided such gates will be installed in a manner that will not weaken such fences; (3) the right to relocate its facilities along the same general direction of said lines; (4) the right to trim and cut down trees and shrubbery on the easement and right-of-way, including by use of herbicides or other similar chemicals approved by the U. S. Environmental Protection Agency, to the extent, in the sole judgment of the Grantee, necessary to prevent possible interference with the operation of said lines or to remove possible hazard thereto; and (5) the right to remove at Grantor's expense or to prevent the construction on the easement and right-of-way of any or all buildings, structures and obstructions. Grantor shall not make or cause any changes in grade, elevation, or contour of the land (except those activities, excluding terracing, associated with normal agricultural activities) within the easement and right-of-way described herein without first providing advance notice and obtaining prior written consent to do so from Grantee. If written consent is not obtained prior to any action by Grantor that causes any changes in grade, elevation, or contour of the land within the easement and right-of-way, Grantor shall, upon demand from Grantee, at Grantor’s expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the change in grade, elevation, or contour of the land within the easement and right-of-way in the event Grantor fails to promptly restore the grade, elevation, or contour to its previously existing condition. Grantor shall not perform any excavations, trenching, or other soil disturbing activities (except those activities, excluding terracing, associated with normal agricultural activities) that, in the sole judgment of Grantee, will endanger the integrity of the supporting structures and/or foundations or other Facilities, as applicable, or perform any other activities that may, in the sole judgment of Grantee, remove, reduce, or adversely affect or impact the lateral support of the supporting structures and/or foundations or other Facilities, as applicable, without first providing advance notice and obtaining prior written consent to do so from Grantee. If prior written consent is not obtained by Grantor prior to performing any excavation, trenching or other soil disturbing activity that endangers the integrity of the supporting structures or foundations or other Facilities, as applicable, Grantor shall, upon demand from Grantee, at Grantor’s expense, restore the easement and right-of-way to its previously existing condition, or 1505488v.18 EFH100/52002 reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the excavation, trenching, or soil disturbing activity in the event Grantor fails to promptly restore the easement and right-of-way to its previously existing condition or cannot do so. Grantor reserves the right to use the easement and right of way area provided such use shall not include the growing of trees thereon or any other use that might, in the sole judgment of the Grantee, interfere with the exercise by the Grantee of the rights hereby granted. Grantor further reserves the right to lay out, dedicate, construct, maintain and use across said strip such roads, streets, alleys, railroad tracks, underground telephone cables and conduits and gas, water and sewer pipe lines as will not interfere with Grantee's use of said land for the purpose aforesaid, provided all such facilities shall be located at angles of not less than 45 degrees to any of Grantee's lines, and shall be so constructed as to provide with respect to Grantee's Facilities the minimum clearances provided by law and recognized as standard in the electrical industry, as same may change from time to time. Grantor also reserves the right to erect fences not more than 8 feet high across said land, provided all such fences shall have gates, openings, or removable sections at least 16 feet wide which will permit Grantee reasonable access to all parts of said land. Should Grantee later determine that a width greater than 16 feet is necessary, then Grantee shall have the right granted above to install additional or wider gates at its sole discretion, but the installation of such additional or wider gates shall be at the sole expense of Grantee. Grantor retains all right, title, and interest in and to all oil, gas, and other minerals (whether by law classified as part of the mineral estate or the surface estate) and groundwater in, on, and under the strip or land described herein; provided, however, that Grantor shall not be permitted to drill for oil, gas, and other minerals, and groundwater from and under said strip of land but Grantor may extract oil, gas, and other minerals, and groundwater from and under said strip of land by directional drilling, mining, or other means, so long as Grantee’s use of said strip is not disturbed, which use shall include the right of Grantee to physical and/or lateral support for the Facilities, as well as the right that the Facilities shall not be endangered, obstructed, or interfered with by such operations. In addition to the consideration above recited for the easement and right-of-way hereby granted, the Grantee will pay to the owner of the land, and, if leased, to his tenant, as they may be respectively entitled for actual damages to fences and growing crops and improvements located on the easement and right-of-way caused by reason of the construction, maintenance, addition or removal of said lines; provided, however, that no such payment will be made for trimming or removal of trees growing on the easement and right-of-way, nor for removal of buildings, structures, or obstructions erected upon the easement and right-of-way after granting of this easement and right-of- way. TO HAVE AND TO HOLD the above described easement and right-of-way unto the said Grantee, its successors and assigns, until all of said lines and other Facilities shall be abandoned, and in that event said easement and right-of-way shall cease and all rights herein granted shall terminate and revert to Grantor or Grantor's heirs, successors or assigns; and Grantor hereby binds Grantor and Grantor’s heirs, successors, assigns, and legal representatives, to warrant and forever defend the above described easement and right-of-way unto Grantee, its successors and assigns, against every person whomsoever lawfully claiming or to claim the same or any part thereof. This easement may be assigned in whole or in part. EXECUTED this __ day of _________, A.D. 20__. Grantor Luminant Generation Company LLC, a Texas limited liability company By: Name: Title: 1505488v.18 EFH100/52002 ACKNOWLEDGEMENT STATE OF TEXAS § § COUNTY OF DALLAS § BEFORE ME, the undersigned authority, on this day personally appeared __________________________________, as the ______________________________ of Luminant Generation Company LLC, a Texas limited liability company, known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he/she executed the same for the purposes and consideration therein expressed, in the capacity therein stated and he/she is authorized to do so. GIVEN UNDER MY HAND AND SEAL OF OFFICE this __ day of _________, A. D. 20__. ___________________________________________ Notary Public in and for the State of Texas After recording, return to: Laura De La Paz Oncor Electric Delivery Company Suite 505 115 W 7th Street Ft. Worth, Texas 76102 1505488v.18 EFH100/52002 EXHIBIT A FIELD NOTE DESCRIPTION BEING a 9.389 acre tract of land situated in the J. G. Carlock Survey, Abstract No. 312 and the Francis Jones Survey, Abstract No. 674 in Dallas County, Texas, and being a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.) and a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4420, Page 549 D.R.D.C.T. Said 9.389 acre tract being more particularly described by metes and bounds as follows: COMMENCING at a 3/4 inch iron rod found at the northwest corner of the Grand Estates at Northlake Hills Phase II, recorded in Volume 2005041, Page 185 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) and in the south line of a tract of land described in deed to Crow-Billingsley Belt Line. LTD., recorded in Volume 86068, Page 5186 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.) from which a 3/4 inch iron rod found capped "PEWITT" bears S 32o30'50" W, a distance of 0.78 feet; THENCE: S 00° 22' 55" E, with the West line of said Grand Estates at Northlake Hills Phase II, a distance of 622.33 feet to THE POINT OF BEGINNING; THENCE: S 00° 22' 55" E, continuing with the West line of said Grand Estates at Northlake Hills Phase II, a distance of 480.17 feet to a 5/8 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for the southeast corner of this tract and the northeast corner of a tract of land described as "East Tract 1B" in deed to the City of Coppell, recorded in Document No. 20080370218 O.P.R.D.C.T.; THENCE: WEST, with the north line of said City of Coppell tract, a distance of 251.43 feet to a point for corner; THENCE: over and across said Dallas Power & Light Company tract the following courses and distances; N 00°21'52" W, a distance of 501.89 feet to a point for corner; N 30o31'08" W, a distance of 1574.25 feet to a point for corner; EAST, a distance of 272.06 feet to a 5/8 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set in the west line of a tract of land described as "Tract 4", in deed to Crow- Billingsley North Lake HB&T Joint Venture, recorded in Volume 90106, Page 2492 D.R.D.C.T. from which a 1/2 inch iron rod found capped "RPLS6013TX" bears N 00o34'01" W, a distance of 75.72 feet; THENCE: S 00o34'01" E, with the west line of said Crow-Billingsley North Lake HB&T Joint Venture Tract and the west line of a tract of land described in deed to Trammel Crow Company No. 43 Et al, recorded in Document No. 20070001189 O.P.R.D.C.T., and passing a chain link fence corner post at the south corner of said Crow- Billingsley North Lake HB&T Joint Venture Tract and the common northwest corner of said Trammel Crow Company No. 43 Et al tract at a distance of 69.38 feet and continuing with the west line of said Trammel Crow Company No. 43 Et al tract, a total distance of 169.15 feet to a 5/8 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for corner from which a chain link fence post found bears N 83o16'45" W, a distance of 2.93 feet; THENCE: S 30° 26'32" E, continuing with the West line of said Trammel Crow Company No. 43 Et al tract, a distance of 678.19 feet to a 5/8 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set at the southwest corner of said Trammel Crow Company No. 43 Et al tract from which a chain link fence post bears S 39°51'52" E, a distance of 1.33 feet; THENCE: S 89o46'16" E, with the south line of said Trammel Crow Company No. 43 Et al Tract, a distance of 66.07 feet to a point for corner; 1505488v.18 EFH100/52002 THENCE: S 30o30'02" E, over and across said Dallas Power & Light Company tract, a distance of 723.95 feet to the POINT OF BEGINNING and containing 9.389 acres of land more or less. 1505488v.18 EFH100/520002 D E DEPICTION O EXHIBIT B OF EASEMENNT AREA Line Name: ____________ Tract: 1b Easement #: _________ WA #: __________ 1505488v.18 EFH100/52002 EASEMENT AND RIGHT OF WAY STATE OF TEXAS § § KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS § That, City of Coppell, a Texas municipality, hereinafter called "Grantor," whether one or more, for and in consideration of Ten and no/100 Dollars ($10.00) and other valuable consideration to Grantor in hand paid by Oncor Electric Delivery Company LLC, a Delaware limited liability company, 1616 Woodall Rodgers Freeway, Dallas, Texas 75202, hereinafter referred to as "Grantee", has granted, sold and conveyed and by these presents does grant, sell and convey unto said Grantee, its successors and assigns, an easement and right-of-way for electric transmission, distribution and communication lines, each consisting of a variable number of wires and cables, together with all necessary or desirable appurtenances including supporting structures, foundations, guy wires and guy anchorages (the "Facilities") over, under, across and upon all that certain tract(s) of land located in Dallas County, Texas, more particularly described in Exhibits A and B, attached hereto and made part hereof. Together with: (1) the right of ingress and egress over and along the easement and right-of-way and over Grantor's adjacent lands to or from the easement and right-of-way, for the purpose of and with the right to construct, operate, improve, reconstruct, replace, repair, inspect, patrol, maintain and add or remove such electric power and communications lines or other Facilities as the Grantee may from time to time find necessary, convenient or desirable to erect thereon during the initial construction of the Facilities or at any time thereafter; (2) the right to install gates in all existing and future fences crossing the easement and right-of-way, provided such gates will be installed in a manner that will not weaken such fences; (3) the right to relocate its facilities along the same general direction of said lines; (4) the right to trim and cut down trees and shrubbery on the easement and right-of-way, including by use of herbicides or other similar chemicals approved by the U. S. Environmental Protection Agency, to the extent, in the sole judgment of the Grantee, necessary to prevent possible interference with the operation of said lines or to remove possible hazard thereto; and (5) the right to remove at Grantor's expense or to prevent the construction on the easement and right-of-way of any or all buildings, structures and obstructions. Grantor shall not make or cause any changes in grade, elevation, or contour of the land (except those activities, excluding terracing, associated with normal agricultural activities) within the easement and right-of-way described herein without first providing advance notice and obtaining prior written consent to do so from Grantee. If written consent is not obtained prior to any action by Grantor that causes any changes in grade, elevation, or contour of the land within the easement and right-of-way, Grantor shall, upon demand from Grantee, at Grantor's expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the change in grade, elevation, or contour of the land within the easement and right-of-way in the event Grantor fails to promptly restore the grade, elevation, or contour to its previously existing condition. Grantor shall not perform any excavations, trenching, or other soil disturbing activities (except those activities, excluding terracing, associated with normal agricultural activities) that, in the sole judgment of Grantee, will endanger the integrity of the supporting structures and/or foundations or other Facilities, as applicable, or perform any other activities that may, in the sole judgment of Grantee, remove, reduce, or adversely affect or impact the lateral support of the supporting structures and/or foundations or other Facilities, as applicable, without first providing advance notice and obtaining prior written consent to do so from Grantee. If prior written consent is not obtained by Grantor prior to performing any excavation, trenching or other soil disturbing activity that endangers the integrity of the supporting structures or foundations or other Facilities, as applicable, Grantor shall, upon demand from Grantee, at Grantor's expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the excavation, trenching, or soil disturbing activity in the event Grantor fails to promptly restore the easement and right-of-way to its previously existing condition or cannot do so. 1505488v.18 EFH100/52002 Grantor reserves the right to use the easement and right of way area provided such use shall not include the growing of trees thereon or any other use that might, in the sole judgment of the Grantee, interfere with the exercise by the Grantee of the rights hereby granted. Grantor further reserves the right to lay out, dedicate, construct, maintain and use across said strip such roads, streets, alleys, railroad tracks, underground telephone cables and conduits and gas, water and sewer pipe lines as will not interfere with Grantee's use of said land for the purpose aforesaid, provided all such facilities shall be located at angles of not less than 45 degrees to any of Grantee's lines, and shall be so constructed as to provide with respect to Grantee's Facilities the minimum clearances provided by law and recognized as standard in the electrical industry, as same may change from time to time. Grantor also reserves the right to erect fences not more than 8 feet high across said land, provided all such fences shall have gates, openings, or removable sections at least 16 feet wide which will permit Grantee reasonable access to all parts of said land. Should Grantee later determine that a width greater than 16 feet is necessary, then Grantee shall have the right granted above to install additional or wider gates at its sole discretion, but the installation of such additional or wider gates shall be at the sole expense of Grantee. Grantor retains all right, title, and interest in and to all oil, gas, and other minerals (whether by law classified as part of the mineral estate or the surface estate) and groundwater in, on, and under the strip or land described herein; provided, however, that Grantor shall not be permitted to drill for oil, gas, and other minerals, and groundwater from and under said strip of land but Grantor may extract oil, gas, and other minerals, and groundwater from and under said strip of land by directional drilling, mining, or other means, so long as Grantee's use of said strip is not disturbed, which use shall include the right of Grantee to physical and/or lateral support for the Facilities, as well as the right that the Facilities shall not be endangered, obstructed, or interfered with by such operations. In addition to the consideration above recited for the easement and right-of-way hereby granted, the Grantee will pay to the owner of the land, and, if leased, to his tenant, as they may be respectively entitled for actual damages to fences and growing crops and improvements located on the easement and right-of-way caused by reason of the construction, maintenance, addition or removal of said lines; provided, however, that no such payment will be made for trimming or removal of trees growing on the easement and right-of-way, nor for removal of buildings, structures, or obstructions erected upon the easement and right-of-way after granting of this easement and right-of- way. TO HAVE AND TO HOLD the above described easement and right-of-way unto the said Grantee, its successors and assigns, until all of said lines and other Facilities shall be abandoned, and in that event said easement and right-of-way shall cease and all rights herein granted shall terminate and revert to Grantor or Grantor's heirs, successors or assigns; and Grantor hereby binds Grantor and Grantor's heirs, successors, assigns, and legal representatives, to warrant and forever defend the above described easement and right-of-way unto Grantee, its successors and assigns, against every person whomsoever lawfully claiming or to claim the same or any part thereof. This easement may be assigned in whole or in part. EXECUTED this __ day of _________, A.D. 20__. Grantor City of Coppell, a Texas municipality By: Name: Title: 1505488v.18 EFH100/52002 ACKNOWLEDGEMENT STATE OF TEXAS § § COUNTY OF DALLAS § BEFORE ME, the undersigned authority, on this day personally appeared __________________________________, as the ______________________________ of City of Coppell, a Texas municipality, known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he/she executed the same for the purposes and consideration therein expressed, in the capacity therein stated and he/she is authorized to do so. GIVEN UNDER MY HAND AND SEAL OF OFFICE this __ day of _________, A. D. 20__. ___________________________________________ Notary Public in and for the State of Texas After recording, return to: Laura De La Paz Oncor Electric Delivery Company Suite 505 115 W 7th Street Ft. Worth, Texas 76102 1505488v.18 EFH100/52002 EXHIBIT A FIELD NOTE DESCRIPTION BEING a 7.092 acre tract of land situated in the Francis Jones Survey, Abstract No. 674, in Dallas County, Texas, and being a portion of a tract of land described as "EAST TRACT IB" in deed to the City of Coppell, recorded in Document No. 20080370218 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.) and being more particularly described by metes and bounds as follows: BEGINNING at a point (N = 7,029,964.34, E = 2,438,309.33) in the north line of said City of Coppell tract from which a 3/4 inch iron rod found at the northwest corner of the Final Plat of Grand Hills Estates At Northlake Hills Phase II, recorded in Volume 2005041, Page 185 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) bears N 12o 29' 00" E, a distance of 1129.18 feet; THENCE: East, with the North line of said City of Coppell tract, a distance of 251.43 feet to a point for corner; THENCE: S 00o 22' 12" E, with said West line, a distance of 1228.42 feet to a point for corner; THENCE: West, with the South line of said City of Coppell tract, a distance of 251.55 feet to a point for corner; THENCE: N 00° 21' 52" W, over and across said City of Coppell tract, a distance of 1228.42 feet to the POINT OF BEGINNING and containing 7.092 acres of land more or less. 1505488v.18 EFH100/520002 E Depiction EXHIBIT B of Easemennt Area Line Name: ____________ Tract: 1c Easement #: _________ WA #: __________ 1505488v.18 EFH100/52002 EASEMENT AND RIGHT OF WAY STATE OF TEXAS § § KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS § That, Luminant Generation Company LLC, a Texas limited liability company, hereinafter called "Grantor," whether one or more, for and in consideration of Ten and no/100 Dollars ($10.00) and other valuable consideration to Grantor in hand paid by Oncor Electric Delivery Company LLC, a Delaware limited liability company, 1616 Woodall Rodgers Freeway, Dallas, Texas 75202, hereinafter referred to as "Grantee", has granted, sold and conveyed and by these presents does grant, sell and convey unto said Grantee, its successors and assigns, an easement and right-of-way for electric transmission, distribution and communication lines, each consisting of a variable number of wires and cables, together with all necessary or desirable appurtenances including supporting structures, foundations, guy wires and guy anchorages (the “Facilities”) over, under, across and upon all that certain tract(s) of land located in Dallas County, Texas, more particularly described in Exhibits A and B, attached hereto and made part hereof. Together with: (1) the right of ingress and egress over and along the easement and right-of-way and over Grantor's adjacent lands to or from the easement and right-of-way, for the purpose of and with the right to construct, operate, improve, reconstruct, replace, repair, inspect, patrol, maintain and add or remove such electric power and communications lines or other Facilities as the Grantee may from time to time find necessary, convenient or desirable to erect thereon during the initial construction of the Facilities or at any time thereafter; (2) the right to install gates in all existing and future fences crossing the easement and right-of-way, provided such gates will be installed in a manner that will not weaken such fences; (3) the right to relocate its facilities along the same general direction of said lines; (4) the right to trim and cut down trees and shrubbery on the easement and right-of-way, including by use of herbicides or other similar chemicals approved by the U. S. Environmental Protection Agency, to the extent, in the sole judgment of the Grantee, necessary to prevent possible interference with the operation of said lines or to remove possible hazard thereto; and (5) the right to remove at Grantor's expense or to prevent the construction on the easement and right-of-way of any or all buildings, structures and obstructions. Grantor shall not make or cause any changes in grade, elevation, or contour of the land (except those activities, excluding terracing, associated with normal agricultural activities) within the easement and right-of-way described herein without first providing advance notice and obtaining prior written consent to do so from Grantee. If written consent is not obtained prior to any action by Grantor that causes any changes in grade, elevation, or contour of the land within the easement and right-of-way, Grantor shall, upon demand from Grantee, at Grantor’s expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the change in grade, elevation, or contour of the land within the easement and right-of-way in the event Grantor fails to promptly restore the grade, elevation, or contour to its previously existing condition. Grantor shall not perform any excavations, trenching, or other soil disturbing activities (except those activities, excluding terracing, associated with normal agricultural activities) that, in the sole judgment of Grantee, will endanger the integrity of the supporting structures and/or foundations or other Facilities, as applicable, or perform any other activities that may, in the sole judgment of Grantee, remove, reduce, or adversely affect or impact the lateral support of the supporting structures and/or foundations or other Facilities, as applicable, without first providing advance notice and obtaining prior written consent to do so from Grantee. If prior written consent is not obtained by Grantor prior to performing any excavation, trenching or other soil disturbing activity that endangers the integrity of the supporting structures or foundations or other Facilities, as applicable, Grantor shall, upon demand from Grantee, at Grantor’s expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the excavation, trenching, or soil disturbing activity in the event Grantor fails to promptly restore the easement and right-of-way to its previously existing condition or cannot do so. 1505488v.18 EFH100/52002 Grantor reserves the right to use the easement and right of way area provided such use shall not include the growing of trees thereon or any other use that might, in the sole judgment of the Grantee, interfere with the exercise by the Grantee of the rights hereby granted. Grantor further reserves the right to lay out, dedicate, construct, maintain and use across said strip such roads, streets, alleys, railroad tracks, underground telephone cables and conduits and gas, water and sewer pipe lines as will not interfere with Grantee's use of said land for the purpose aforesaid, provided all such facilities shall be located at angles of not less than 45 degrees to any of Grantee's lines, and shall be so constructed as to provide with respect to Grantee's Facilities the minimum clearances provided by law and recognized as standard in the electrical industry, as same may change from time to time. Grantor also reserves the right to erect fences not more than 8 feet high across said land, provided all such fences shall have gates, openings, or removable sections at least 16 feet wide which will permit Grantee reasonable access to all parts of said land. Should Grantee later determine that a width greater than 16 feet is necessary, then Grantee shall have the right granted above to install additional or wider gates at its sole discretion, but the installation of such additional or wider gates shall be at the sole expense of Grantee. Grantor retains all right, title, and interest in and to all oil, gas, and other minerals (whether by law classified as part of the mineral estate or the surface estate) and groundwater in, on, and under the strip or land described herein; provided, however, that Grantor shall not be permitted to drill for oil, gas, and other minerals, and groundwater from and under said strip of land but Grantor may extract oil, gas, and other minerals, and groundwater from and under said strip of land by directional drilling, mining, or other means, so long as Grantee’s use of said strip is not disturbed, which use shall include the right of Grantee to physical and/or lateral support for the Facilities, as well as the right that the Facilities shall not be endangered, obstructed, or interfered with by such operations. In addition to the consideration above recited for the easement and right-of-way hereby granted, the Grantee will pay to the owner of the land, and, if leased, to his tenant, as they may be respectively entitled for actual damages to fences and growing crops and improvements located on the easement and right-of-way caused by reason of the construction, maintenance, addition or removal of said lines; provided, however, that no such payment will be made for trimming or removal of trees growing on the easement and right-of-way, nor for removal of buildings, structures, or obstructions erected upon the easement and right-of-way after granting of this easement and right-of- way. TO HAVE AND TO HOLD the above described easement and right-of-way unto the said Grantee, its successors and assigns, until all of said lines and other Facilities shall be abandoned, and in that event said easement and right-of-way shall cease and all rights herein granted shall terminate and revert to Grantor or Grantor's heirs, successors or assigns; and Grantor hereby binds Grantor and Grantor’s heirs, successors, assigns, and legal representatives, to warrant and forever defend the above described easement and right-of-way unto Grantee, its successors and assigns, against every person whomsoever lawfully claiming or to claim the same or any part thereof. This easement may be assigned in whole or in part. EXECUTED this __ day of _________, A.D. 20__. Grantor Luminant Generation Company LLC, a Texas limited liability company By: Name: Title: 1505488v.18 EFH100/52002 ACKNOWLEDGEMENT STATE OF TEXAS § § COUNTY OF DALLAS § BEFORE ME, the undersigned authority, on this day personally appeared __________________________________, as the ______________________________ of Luminant Generation Company LLC, a Texas limited liability company, known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he/she executed the same for the purposes and consideration therein expressed, in the capacity therein stated and he/she is authorized to do so. GIVEN UNDER MY HAND AND SEAL OF OFFICE this __ day of _________, A. D. 20__. ___________________________________________ Notary Public in and for the State of Texas After recording, return to: Laura De La Paz Oncor Electric Delivery Company Suite 505 115 W 7th Street Ft. Worth, Texas 76102 1505488v.18 EFH100/52002 EXHIBIT A FIELD NOTE DESCRIPTION BEING a 6.951 acre tract of land situated in the Francis Jones Survey, Abstract No. 674, in Dallas County, Texas, and being a portion of a called 490.6 acre tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.) and being more particularly described by metes and bounds as follows: BEGINNING at a 5/8 inch iron rod with aluminum cap stamped "FRONTIER SURVEYING COMPANY RPLS - 5991" set (N = 7,028,735.94, E = 2,438,568.69) at the southwest corner of a tract of land described as "EAST TRACT IB" in deed to the City of Coppell. recorded in Document No. 20080370218 Official Public Records Dallas County, Texas (O.P.R.D.C.T.) and in the west line of the Final Plat of The Hollows of Valley Ranch Section Four, recorded in Volume 95012, Page 6285 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) from which a 3/4 inch iron rod found at the northwest corner of the Final Plat of Grand Estates At Northlake Hills Phase II, recorded in Volume 2005041, Page 185 P.R.D.C.T. bears N 00°22'32" W, a distance of 2330.92 feet; THENCE: S 00° 21' 19" E, with the west line of said Hollows of Valley Ranch Section Four and the west line of The Final Plat of the Hollows of Valley Ranch, Amended, Section Two, Recorded in Volume 94067, Page 7887 P.R.D.C.T., a distance of 947.44 feet to a point at the southwest corner of said Hollows of Valley Ranch, Amended, Section Two and the common northwest corner of The Amended Final Plat of Valley Ranch, Phase IV, 6th Installment, from which a 1/2 inch iron rod found bears N 45°52'59" E, a distance of 1.00 foot; THENCE: S 00° 21' 17" E, with the West line of said Valley Ranch Phase IV-6th Installment, a distance of 256.81 feet to a 1/2" iron rod found at the northeast corner of a tract of land conveyed to C W Shoreline Land, LTD., recorded in Document No. 201200024638 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.); THENCE: West, with the North line of said C W Shoreline Land, LTD. tract, a distance of 251.35 feet to a point for corner; THENCE: N 00° 21' 52" W, over and across said Dallas Power & Light Company, tract, a distance of 1204.26 feet to a point for corner in the south line of said City of Coppell Tract; THENCE: East, with the South line of said City of Coppell tract, a distance of 251.55 feet to the POINT OF BEGINNING and containing 6.951 acres of land more or less. Purchase and 1505488v.1 d Sale Agreement – 8 EFH100/5200 – North Lake 02 D E DEPICTION O B-1 EXHIBIT B OF EASEMENNT AREA Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 C-2 EXHIBIT C NORTH LAKE PROPERTY All of the parcels described in the following deeds: 1. Special Warranty Deed and Drainage Easement dated September 8, 2004 and recorded as Volume 2004178 Page 4 in the Real Property Records 2. Special Warranty Deed dated December 29, 2006 and recorded as Instrument No. 20070001188 in the Real Property Records 3. Special Warranty Deed dated December 29, 2006 and recorded as Instrument No. 20070001190 in the Real Property Records, as superseded by the Correction Special Warranty Deed dated December 29, 2006 and recorded as Instrument No. 20070084853 in the Real Property Records 4. Special Warranty Deed dated December 29, 2006 and recorded as Instrument No. 20070001189 in the Real Property Records 5. Special Warranty Deed dated December 29, 2006 and recorded as Instrument No. 20070001191 in the Real Property Records 6. Special Warranty Deed dated December 29, 2006 and recorded as Instrument No. 20070001192 in the Real Property Records 7. Special Warranty Deed dated December 29, 2006 and recorded as Instrument No. 20070001193 in the Real Property Records 8. Special Warranty Deed dated December 29, 2006 and recorded as Instrument No. 20070001194 in the Real Property Records 9. Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001211 in the Real Property Records 10. Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001206 in the Real Property Records 11. Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001207 in the Real Property Records 12. Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001208 in the Real Property Records 13. Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001209 in the Real Property Records 14. Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001210 in the Real Property Records Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 C-3 15. Mineral Deed dated December 28, 2006 and recorded as Instrument No. 20070001202 in the Real Property Records 16. Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001201 in the Real Property Records 17. Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001205 in the Real Property Records 18. Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001204 in the Real Property Records 19. Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001203 in the Real Property Records 20. Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001200 in the Real Property Records 21. Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001196 in the Real Property Records 22. Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001212 in the Real Property Records 23. Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001197 in the Real Property Records 24. Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001195 in the Real Property Records 25. Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001198 in the Real Property Records 26. Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001199 in the Real Property Records 27. Special Warranty Deed with Easement Reservation and Restrictive Covenants dated November 21, 2008 and recorded as Instrument No. 20080370202 in the Real Property Records, including the save and except tract for Pad Site D out of East 1B 28. Special Warranty Deed with Easement Reservation and Restrictive Covenants dated November 21, 2008 and recorded as Instrument No. 20080370203 in the Real Property Records, including the save and except tract for Pad Site A out of the West Tract 29. Special Warranty Deed with Easement Reservation and Restrictive Covenants dated November 21, 2008 and recorded as Instrument No. 20080370204 in the Real Property Records 30. Special Warranty Deed with Restrictive Covenant dated November 21, 2008 and recorded as Instrument No. 20080370205 in the Real Property Records 31. Special Warranty Deed dated November 21, 2008 and recorded as Instrument No. 20080370213 in the Real Property Records Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 C-4 32. Special Warranty Deed dated November 21, 2008 and recorded as Instrument No. 20080370212 in the Real Property Records 33. Special Warranty Deed dated November 21, 2008 and recorded as Instrument No. 20080370211 in the Real Property Records 34. Special Warranty Deed dated November 21, 2008 and recorded as Instrument No. 20080370210 in the Real Property Records 35. Special Warranty Deed dated November 21, 2008 and recorded as Instrument No. 20080370209 in the Real Property Records And the following parcels: Pad Site B BEING a 15.96 acre tract of land situated in the Jacob G. Carlock Survey, Abstract Number 312, and in Official City of Dallas Block number 8461, in the City of Dallas, Dallas County, Texas, and being a part of that tract of land described in Warranty Deed to Dallas Power & Light Company, as recorded in Volume 4414, Page 82, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), and being more particularly described as follows: COMMENCING at 1/2 inch found iron rod with yellow plastic cap stamped "HALFF ASSOC INC." (hereinafter referred to as "with cap") for the northeast corner of said Dallas Power & Light Company tract in Volume 4414, Page 82, said point being on the west line of that tract of land described in deed to Dallas Power & Light Company, as recorded in Volume 4404, Page 321, D.R.D.C.T.; THENCE South 00 degrees 00 minutes 46 seconds West, passing the southeasterly right-of-way line of Belt Line Road (a variable width right-of-way) at a distance of 132.72 feet, continuing in all a total distance of 663.10 feet to a 1/2 inch found iron rod with cap stamped "RPLS 6013 TX" for the POINT OF BEGINNING; THENCE South 00 degrees 00 minutes 00 seconds East, a distance of 846.81 feet to a found "X" cut for corner; THENCE South 90 degrees 00 minutes 00 seconds West, a distance of 755.00 feet to a 1/2 inch found iron rod with cap stamped "RPLS 6013 TX" for corner; THENCE North 00 degrees 00 minutes 00 seconds West, a distance of 226.75 feet to a 1/2 inch set iron rod with cap for corner; THENCE South 90 degrees 00 minutes 00 seconds West, a distance of 284.70 feet to a 1/2 inch set iron rod with cap for corner; THENCE North 00 degrees 00 minutes 00 seconds West, a distance of 369.22 feet to a 1/2 inch set iron rod with cap for corner; THENCE North 72 degrees 51 minutes 50 seconds East, a distance of 297.92 feet to a 1/2 inch found iron rod with cap stamped "RPLS 6013 TX" for corner; THENCE North 77 degrees 48 minutes 48 seconds East, a distance of 772.40 feet to the POINT OF BEGINNING and CONTAINING 695,398 square feet or 15.96 acres of land, more or less. The Basis of Bearing of this Survey is NAD 83 (1993) Texas State Plane North Central Zone 4202 as observed by GPS from "DALLAS CORS ARP", "COLLIN CORS ARP", "ARLINGTON CORS", "DENTON CORS ARP". Convergence angle at "DALLAS CORS ARP" is - 03 degrees 01 minutes 49.9 seconds as computed by Corpscon for Windows Version 6.0. All coordinates shown are surface and may be converted to grid by dividing by the conversion factor of 0.99983043. North Tract Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 C-5 BEING a 83.804 acre tract of land situated in the J.G. Carlock Survey, Abstract No. 312 Dallas County, Texas, and being a portion of two tracts of land described as “Part A, Tract 1” and Part B” in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 374, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4414, Page 82, D.R.D.C.T., a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4404, Page 321, D.R.D.C.T., a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4420, Page 549 D.R.D.C.T., and all of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4403, Page 618 D.R.D.C.T. Said 83.804 acre tract being more particularly described by metes and bounds as follows: BEGINNING at a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found (N=7,030,067.46, E=2,437,726.61) at the southeast corner of a tract of land described as “Tract 2” in deed to CW SHORELINE LAND LTD., recorded in Document No. 201100289322 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.), and in the west Right-of-Way (R.O.W.) line of South Northlake Road described in deed to County of Dallas, recorded in Volume 4669, Page 443 D.R.D.C.T. from which a 3/4 inch iron rod found (N=7,031,066.82, E=2,438,553.41) at the northwest corner of the Grand Estates at Northlake Hills Phase II, recorded in Volume 2005041, Page 185 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) and at the common northwest corner of a tract of land described in deed to Dallas Power and Light Company, recorded in Volume 4378, Page 372 D.R.D.C.T. and in the south line of a tract of land described in deed to Crow-Billingsley Belt Line, LTD., recorded in Volume 86068, Page 5186 O.P.R.D.C.T. bears S 22°27’13” E, a distance of 2164.75 feet, and from said 3/4” iron rod found, another 3/4” iron rod found capped “PEWITT” bears S 32°30’57” W, a distance of 0.78 feet; THENCE: with the west line of said South Northlake Road the following courses and distances; S 00°39’12” E, a distance of 356.17 feet to a 5/8 inch iron rod with Aluminum Cap stamped “Frontier Surveying Company – RPLS 5991” set for corner; S 44°39’44” W, a distance of 127.14 feet to a 5/8 inch iron rod with Aluminum Cap stamped “Frontier Surveying Company – RPLS 5991” set for corner; S 00°20’16” E, a distance of 60.00 feet to a 5/8 inch iron rod with Aluminum Cap stamped “Frontier Surveying Company - RPLS 5991” set at the southwest corner of said South Northlake Road R.O.W.; THENCE: N 89°38’51” E, with the south line of said South Northlake Road R.O.W., a distance of 129.77 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found at the northwest corner of a tract of land described in deed to CROW-BILLINGSLEY NORTH LAKE HB&T JOINT VENTURE, recorded in Volume 90106, Page 2492 D.R.D.C.T. THENCE: S 00°34’32” E, with the west line of said CROW-BILLINGSLEY NORTH LAKE HB&T JOINT VENTURE tract, passing a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found at a distance of 663.61 feet and continuing a total distance of 739.35 feet to a 5/8 inch iron rod with Aluminum Cap stamped “Frontier Surveying Company – RPLS 5991” set for corner; THENCE: WEST, over and across said Dallas Power and Light Company tract (Vol. 4420, Pg. 549), a distance of 868.99 to a point on the meander line of the easterly shoreline of North Lake established at an elevation of 509.00 feet and at the common northwest corner of a tract of land described as “STORAGE TRACT A” in deed to The City of Coppell, recorded in Document No. 20080370218 O.P.R.D.C.T., from which a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found bears N 27°05’25” W, a distance of 85.21 feet; THENCE: in a westerly direction, along said established 509.00 foot elevation meander line, the following courses and distances listed as follows for reference purposes only; N 45°51’26” W, a distance of 26.82 feet to a point for corner; N 71°10’46” W, a distance of 48.60 feet to a point for corner; Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 C-6 S 89°35’20” W, a distance of 1138.02 feet to a point for corner; S 89°49’54” W, a distance of 297.45 feet to a point for corner; N 86°32’18” W, a distance of 126.25 feet to a point for corner; N 79°16’20” W, a distance of 127.38 feet to a point for corner; N 69°02’ 53” W, a distance of 269.56 feet to a point for corner; THENCE: leaving said meanders, over and across said Dallas Power and Light (Vol. 4414, Pg. 82) the following courses and distances; NORTH, a distance of 242.44 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found for corner, from which an aluminum cap set in concrete called Northlake Monument No. 4 (NAD83 North Central Zone N=7,032,397.37, E=2,434,058.96), bears N 78°02’15” W, a distance of 866.11 feet; EAST, a distance of 754.87 feet to an “x” cut found for corner; NORTH, a distance of 846.67 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found for corner; S 77°48’48” W, a distance of 772.27 feet to a 5/8 inch iron rod with Aluminum Cap stamped “Frontier Surveying Company – RPLS 5991” set for corner; NORTH, a distance of 379.00 feet to a 5/8 inch iron rod with Aluminum Cap stamped “Frontier Surveying Company – RPLS 5991” set for corner in the south R.O.W. line of East Belt Line Road (a variable width R.O.W.); THENCE: N 67°22’19” E, with the south R.O.W. line of said East Belt Line Road, a distance of 924.30 feet to a point at the west corner of a tract of land described in deed to UNIVERSITY BUSINESS PARK PHASE II, recorded in Volume 94055, Page 3162 D.R.D.C.T, and at the beginning of a curve to the right having a radius of 1330.00 feet, a delta of 08°55’38”, a chord bearing of N 71°46’39” E, and a chord length of 207.02 feet; THENCE: leaving the south R.O.W. line of said East Belt Line Road with said curve to the right and with the south line of said UNIVERSITY BUSINESS PARK PHASE II, passing a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found at an arc length of 1.62 feet and continuing a total arc length of 207.23 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found at the northwest corner of a tract of land described as “Tract 1” in deed to CW SHORELINE LAND LTD., recorded in Document No. 201100289322 O.P.R.D.C.T.; THENCE: leaving the south line of said UNIVERSITY BUSINESS PARK PHASE II with the west line of said “Tract 1” the following courses and distances: S 10°37’34” E, a distance of 144.20 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found for corner; S 07°57’53” E, a distance of 246.27 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found at the southwest corner of said “Tract 1”; THENCE: N 77°48’49” E, with the south line of said “Tract 1”, a distance of 1000.02 feet to a 5/8 inch iron rod with Aluminum Cap stamped “Frontier Surveying Company – RPLS 5991” set for the southeast corner of said “TRACT 1” and rejoining the south line of said UNIVERSITY BUSINESS PARK PHASE II at the beginning of a non-tangent curve to the left having a radius of 2120.00 feet, a delta of 07°07’46”, a chord bearing of S 62°02’09” E, and a chord length of 263.63 feet; Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 C-7 THENCE: with said curve to the left an arc length of 263.80 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found at the angle point in the north line of said “TRACT 2” (CW SHORELINE LAND LTD.,); THENCE S 77°48’48” W, leaving the south line of said UNIVERSITY BUSINESS PARK PHASE II, with the north line of said “TRACT 2”, a distance of 549.80 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found at the northwest corner of said “TRACT 2”; THENCE: SOUTH, with the west line of said “TRACT 2”, a distance of 219.19 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found at the southwest corner of said “TRACT 2”; THENCE: EAST, with the south line of said “TRACT 2”, a distance of 1036.92 feet to the POINT OF BEGINNING and containing 83.804 acres of land more or less. Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-8 EXHIBIT D SPECIAL WARRANTY DEED AND RIGHT OF FIRST REFUSAL AGREEMENT After Recording, Return To: Chicago Title Insurance Company 2828 Routh, Suite 800 Dallas, TX 75201 Attn: Joycelyn Armstrong SPECIAL WARRANTY DEED AND RIGHT OF FIRST REFUSAL AGREEMENT STATE OF TEXAS § § KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS § LUMINANT GENERATION COMPANY LLC, a Texas limited liability company (“Grantor”), for and in consideration of the sum of $10.00 and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, has GRANTED, BARGAINED, SOLD, and CONVEYED and by these presents does GRANT, BARGAIN, SELL, and CONVEY unto THE CITY OF COPPELL, TEXAS, a political subdivision of the State of Texas (“Grantee”) the following property (collectively, the “Property”). A. The tract or parcel of land in Dallas County, Texas, described in Exhibits A-1; A-2 and A-3 hereto (the “Land”), together with (a) all improvements located thereon, but expressly excluding improvements and structures owned by any tenant or any other third party, (b) all right, title, and interest of Grantor, if any, in and to the rights, benefits, privileges, easements, tenements, hereditaments, and appurtenances thereon or in any way appertaining thereto, and (c) all right, title, and interest of Grantor, if any, in and to all strips and gores and any land lying in the bed of any street, road or alley, open or proposed, adjoining such tract or parcel of land; B. Without warranty, all of Grantor’s right, title and interest, if any, in and to the existing water delivery pipeline and related improvements and fixtures running between the water intake structure on the Trinity River located on the Pump Station Property identified on Exhibit A-2 hereto and the water outtake structure located on the Dam Property identified on Exhibit A-1 hereto (the “Water Delivery Pipeline”); C. Without warranty, all of Grantor’s right, title and interest, if any, in and to any existing water delivery pipeline easements in which the Water Delivery Pipeline is located (collectively, the “Existing Water Delivery Easements ”); and D. A perpetual and non-exclusive easement in, on, under and across the property shown on Exhibit C hereto (the “Plant Property”) 30 feet in width (15 feet on each side of the centerline of the portion of the Existing Water Delivery Pipeline), including the right to construct, maintain, repair and replace the Plant Site Water Delivery Pipeline (the “Plant Site Water Delivery Easement”). E. Subject to the terms and conditions set forth herein, a perpetual and non-exclusive easement in, on under and across the corridor shown on Exhibit D hereto (the “Easement Area”) solely for the following purposes (the “Access Easement”): (A) ingress and egress to the Land for purposes of repairing, modifying, inspecting and maintaining the dam and spillway and related structures on or adjacent to the Land (the “Dam Facilities”) and (B) constructing, installing, maintaining, and replacing gravel or caliche roads necessary to permit Grantee to repair, modify, inspect and maintain the Dam Facilities (the “Permitted Use”). Grantee may at any time, at Grantee’s sole cost and expense, obtain an on-the-ground survey or plat of the Plant Site Water Delivery Easement or any portion thereof in form reasonably acceptable to Grantor, for the purpose Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-9 of specifying the boundaries of the Plant Site Water Delivery Easement (or portion thereof, as applicable) and for the purpose of identifying any features located within the Plant Site Water Delivery Easement and to locate any below ground features and utilities (each, an “Easement Survey”). Grantor shall reasonably cooperate with Grantee if and when Grantee elects to obtain any Easement Survey, and Grantor and Grantee shall thereafter enter into one or more recordable modifications to this Deed, in form and substance reasonably acceptable to both parties, to reflect the Easement Survey. The Access Easement shall only be used for the Permitted Use and shall not be used by the general public or for any recreational purpose. Grantee shall maintain any roads constructed by Grantee on the Easement Area, which shall include periodic grading or blading and replacement of surface material where necessary and shall repair any damage to any roads constructed by Grantor on the Easement Area. Grantee’s use of the Access Easement shall not interfere with Grantor’s use of the Easement Area and areas adjacent to or in the proximity of the Easement Area (“Adjacent Property”). Grantee shall avoid causing any damage to the Easement Area or any Adjacent Property, or any improvements thereon. Grantee shall be solely responsible for providing for the safety of its representatives and agents and all other persons using the Access Easement at the request or direction of Grantee (each, “Grantee Party”). Grantor reserves the right to relocate, at Grantee’s sole cost and expense, the Easement Area to another location that provides access to the Dam Facilities, such relocation to be conclusively established by recordation by Grantor of an instrument in the real property records of Dallas, County, Texas showing the relocated Easement Area. Grantor reserves the right to limit access to the Easement Area through construction of a gate or other means of access control so long as Grantee is provided a reasonable means to access the Easement Area. Grantee shall not access the Easement Area unless Grantee has in effect the following insurance coverage: comprehensive commercial general liability insurance (including property damage, bodily injury and personal injury coverage) in amounts of $1,000,000 per occurrence in primary coverage, with an additional $5,000,000 in umbrella coverage insuring Grantee, Grantor and Grantors agents, representatives and affiliates (and naming Grantor as additional insured), against all liability for injury to or death of a person or persons or damage to property and contractual liability insurance sufficient to cover Grantee’s indemnity obligations hereunder if not already included in Grantee’s commercial general liability insurance policy; commercial auto liability insurance covering automobiles owned, hired or used by Grantee with limits not less than $1,000,000 combined single limit for each accident; worker’s compensation insurance required by applicable law or employer’s liability insurance with limits of at least $1,000,000 and such other coverage as Grantor may from time to time reasonably require. Grantee’s insurance shall provide primary coverage to Grantor when any policy issued to Grantor provides duplicate or similar coverage, and in such circumstance Grantor’s policy will be excess over Grantee’s policy. Grantee shall furnish certificates of such insurance and such other evidence satisfactory to Grantor of the maintenance of all insurance coverages required hereunder, and Grantee shall use reasonable efforts to obtain a written obligation on the part of each insurance company to notify Grantor at least 30 days before cancellation or a material change of any such insurance. All such insurance policies shall be in form, and issued by companies, reasonably satisfactorily to Grantor. To the extent permitted by applicable law, Grantee shall defend, indemnify and hold harmless Grantor and its representatives, agents and affiliates from and against all claims, demands, liabilities, causes of action, suits, judgments, and expenses (including attorneys’ fees) for any injury to or death of any person or persons or to damage to or theft, destruction, loss, or loss of use of any property or inconvenience (a “Loss”) arising from any act or omission by a Grantee Party on the Easement Area or the Adjacent Property or from Grantee’s failure to perform its obligations hereunder, even if caused or alleged to be caused by the joint, comparative, or concurrent negligence or fault of Grantor or its representatives, agents or affiliates, and even though any such claims, cause of action, or suit is based upon or alleged to be based upon the strict liability of Grantor or its representatives, agents or affiliates (other than a Loss arising from the sole or gross negligence of Grantor or its representatives, agents or affiliates). This indemnity provision is intended to indemnify Grantor and its representatives, agents and affiliates against the consequences of their own negligence or fault as provided above when Grantor or its representatives, agents or affiliates are jointly, comparatively, or concurrently negligent with Grantee. Grantee’s obligation to indemnify Grantor shall be payable solely from any of Grantor’s unrestricted funds legally available therefor, including, without limitation, its water and sewer revenues. If Grantee fails to perform any obligation concerning the Access Easement or its use thereof, Grantor shall have the right, but not the obligation, to restrict Grantee’s access to the Easement Area or to perform the obligation and be reimbursed for the reasonable cost of that performance by Grantee within ten days after receipt of a statement therefor along with any documentation substantiating the costs incurred by Grantor reasonably requested by Grantee. Thereafter, interest shall accrue upon any unpaid amounts at a rate equal to the lesser of 1) eighteen percent (18%) per annum or 2) the maximum rate permitted by law. Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-10 This Special Warranty Deed and the conveyance hereinabove set forth is executed by Grantor and accepted by Grantee subject to all easements, restrictions, reservations and covenants now of record and further subject to all matters that a current, accurate survey of the Property would show, together with the matters described in Exhibit B hereto and incorporated herein by this reference, to the extent the same are validly existing and applicable to the Property (hereinafter referred to collectively as the “Permitted Exceptions”). Grantee acknowledges that Grantee has independently and personally inspected the Property. The Property is hereby conveyed to and accepted by Grantee in its present condition, “AS IS, WITH ALL FAULTS, AND WITHOUT ANY WARRANTY WHATSOEVER, EXPRESS OR IMPLIED.” Notwithstanding anything contained herein to the contrary, it is understood and agreed that Grantor and Grantor’s agents or employees have never made and are not now making, and they specifically disclaim, any warranties, representations or guaranties of any kind or character, express or implied, oral or written, with respect to the Property, including, but not limited to, warranties, representations or guaranties as to (1) matters of title (other than Grantor’s warranty of title set forth herein), (2) environmental matters relating to the Property or any portion thereof, including, without limitation, the presence of Hazardous Materials (as defined in the purchase and sale agreement, the “Sale Agreement” between Grantor and Grantee) in, on, under or in the vicinity of the Property, (3) geological conditions, including, without limitation, subsidence, subsurface conditions, water table, underground water reservoirs, limitations regarding the withdrawal of water, and geologic faults and the resulting damage of past and/or future faulting, (4) whether, and to the extent to which the Property or any portion thereof is affected by any stream (surface or underground), body of water, wetlands, flood prone area, flood plain, floodway or special flood hazard, (5) drainage, (6) soil conditions, including the existence of instability, past soil repairs, soil additions or conditions of soil fill, or susceptibility to landslides, or the sufficiency of any undershoring, (7) the presence of endangered species or any environmentally sensitive or protected areas, (8) zoning or building entitlements to which the Property or any portion thereof may be subject, (9) the availability of any utilities to the Property or any portion thereof including, without limitation, water, sewage, gas and electric, (10) usages of adjoining property, (11) access to the Property or any portion thereof, (12) the value, compliance with the plans and specifications, size, location, age, use, design, quality, description, suitability, structural integrity, operation, title to, or physical or financial condition of the Property or any portion thereof, or any income, expenses, charges, liens, encumbrances, rights or claims on or affecting or pertaining to the Property or any part thereof, (13) the condition or use of the Property or compliance of the Property with any or all federal, state or local ordinances, rules, regulations or laws, building, fire or zoning ordinances, codes or other similar laws, (14) the existence or non-existence of underground storage tanks, surface impoundments, or landfills, (15) any other matter affecting the stability and integrity of the Property, (16) the potential for further development of the Property, (17) the merchantability of the Property or fitness of the Property for any particular purpose, (18) the truth, accuracy or completeness of the Property Documents, (19) tax consequences, or (20) any other matter or thing with respect to the Property. EXCEPT AS EXPRESSLY SET FORTH HEREIN OR IN THE SALE AGREEMENT, GRANTOR MAKES NO REPRESENTATIONS OR WARRANTIES OF ANY KIND TO GRANTEE, INCLUDING, WITHOUT LIMITATION, THE PHYSICAL CONDITION OF THE PROPERTY, OR ITS SUITABILITY FOR ANY PARTICULAR PURPOSE OR OF MERCHANTABILITY. GRANTEE IS RELYING ON ITS INVESTIGATIONS OF THE PROPERTY IN DETERMINING WHETHER TO ACQUIRE IT. THE PROVISIONS OF THIS PARAGRAPH ARE A MATERIAL PART OF THE CONSIDERATION FOR GRANTOR EXECUTING THIS SPECIAL WARRANTY DEED, AND SHALL SURVIVE CLOSING. Grantee hereby FOREVER RELEASES AND DISCHARGES Grantor, its partners, shareholders, members, managers, owners, officers, directors, agents, employees, controlling persons and affiliates and all of their respective predecessors-in-interest from all responsibility and liability relating to the physical, environmental or legal compliance status of the Property, whether arising before or after the date hereof, and liabilities under the Comprehensive Environmental Response, Compensation and Liability Act Of 1980 (42 U.S.C. Sections 9601 et seq.), as amended (“CERCLA”), regarding the condition, valuation, salability or utility of the Property, or its suitability for any purpose whatsoever (including, but not limited to, with respect to the presence in the soil, air, structures and surface and subsurface waters, of Hazardous Materials or other materials or substances that have been or may in the future be determined to be toxic, hazardous, undesirable or subject to regulation and that may need to be specially treated, handled and/or removed from the Property under current or future federal, state and local laws, regulations or guidelines, and any structural and geologic conditions, subsurface soil and water conditions and solid and hazardous waste and Hazardous Materials on, under, adjacent to or otherwise affecting the Property). Grantee further hereby WAIVES any and all objections and complaints (including, but not limited to, federal, state and local Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-11 statutory and common law based actions, and any private right of action under any federal, state or local laws, regulations or guidelines to which the Property is or may be subject, including, but not limited to, CERCLA concerning the physical characteristics and any existing conditions of the Property, whether arising before or after the date hereof. Grantee further hereby assumes the risk of changes in applicable laws and regulations relating to past, present and future environmental conditions on the Property and the risk that adverse physical characteristics and conditions, including, without limitation, the presence of Hazardous Materials or other contaminants, may not have been revealed by its investigation. For purposes hereof, “Hazardous Materials” means “Hazardous Material,” “Hazardous Substance,” “Pollutant or Contaminant,” and “Petroleum” and “Natural Gas Liquids,” as those terms are defined or used in Section 101 of CERCLA, and any other substances regulated because of their effect or potential effect on public health and the environment, including, without limitation, PCBs, lead paint, asbestos, urea formaldehyde, radioactive materials, putrescible materials, and infectious materials. Grantor hereby reserves and excludes from the conveyance hereunder for the benefit of Grantor and Grantor’s successors and assigns forever all of the underground water and all oil, gas and other minerals in, on, under and that may be produced from the Property including the right to pool or unitize the Property or portions thereof with other lands for the purpose of exploration, production and development of underground water, oil, gas and other minerals; provided, however, Grantor, with respect to its right, title and interest in the underground water and oil, gas, and other minerals that are in, under and that may be produced from the Property (Grantor’s right, title and interest in the underground water and oil, gas, and other minerals that are in, under and that may be produced from the Property being referred to herein as the “Severed Interests”), hereby waives, releases and relinquishes the right to enter upon or use the surface of the Property or any portion of the surface estate for any purpose including, without limitation, for the purpose of mining, drilling, exploring, producing, storing, processing, removing, transporting, marketing or developing the Severed Interests or the water or hydrocarbons produced therefrom (herein referred to as “Surface Operations”). Notwithstanding anything herein to the contrary, the foregoing shall not be construed as waiving, releasing or relinquishing in any way any of the Severed Interests or Grantor’s rights to use, explore for, develop and produce the Severed Interests, by pooling, or by wells drilled and other subsurface operations in and under the Property (including, without limitation, directional or horizontal drilling techniques, fracturing and other completion operations) originating from surface locations not on the Property; provided, however, that the well bore for any underground water or oil or gas well that enters the subsurface of the Property shall be at a depth of at least 3,000 feet below the surface of the Property. Grantor hereby grants to Grantee a right of first refusal to purchase all of Grantor’s right, title and interest in and to the Grantor Restricted Property shown on Exhibit E hereto (the “ROFR Property”) or any portion which Grantor determines to sell, on the terms and conditions set forth herein. If Grantor receives a Purchase Offer (as defined below) that Grantor wishes to accept, Grantor shall deliver written notice thereof to Grantee (a “Transfer Notice”), containing all of the material terms of the Purchase Offer. The Transfer Notice shall set forth the terms and conditions of the Purchase Offer and shall state that Grantor offers to sell to Grantee the portion of the ROFR Property included in the Purchase Offer (the “Affected Property”), on such terms and conditions. Within 15 days following Grantor’s delivery to Grantee of the Transfer Notice (the “Acceptance Period”), Grantee, at its option by written notice to Grantor, may elect to purchase the Affected Property, on the same terms and conditions contained in the Transfer Notice. If Grantor does not receive Grantee’s written notice of such election before the expiration of the Acceptance Period, Grantee’s rights under this Section shall terminate with respect to the Affected Property and Grantor shall have the right to close the sale of the Affected Property free and clear of Grantee’s right of first refusal on the terms and conditions of the Purchase Offer (with minor amendments, if any, not effecting a material improvement in the purchaser’s purchase rights, it being agreed and acknowledged that a decrease in the purchase price not in excess of 10% shall not constitute a material improvement in purchaser’s purchase right) within 270 days (the “Sale Period”) after the date of the Transfer Notice free of Grantee’s right of first refusal. If Grantor’s sale of the Affected Property is not closed on such terms (as such terms may be amended pursuant to the preceding sentence) within the Sale Period, Grantee’s right of first refusal shall apply once again on the terms of this paragraph to the sale of all or any portion of the ROFR Property. Notwithstanding anything herein to the contrary, Grantee’s rights under this paragraph shall not apply to (a) any conveyance, transfer or assignment of the ROFR Property, or any part thereof, to any Related Party of Grantor or to Oncor Electric Delivery Company LLC (“Oncor”) or a Related Party of Oncor or to a purchaser or owner of any portion of the “Mineral Estate” described in that certain Surface Use Agreement of even date herewith among Grantor, Grantee and others (the “Surface Use Agreement”), (b) any transaction in which all or a portion of the ROFR Property is being sold with other property, (c) the granting of any liens or security interest pursuant to a deed of trust, mortgage or other encumbrance of the ROFR Property, or Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-12 any part thereof, to secure the repayment of any loans or credit provided or extended to Grantor or any of Grantor’s Related Parties or Successors, or (d) any sale of the ROFR Property, or any part thereof, upon foreclosure under a deed of trust or mortgage (or conveyance in lieu thereof); however, the grantee, transferee or purchase of the ROFR Property, or any part thereof, under the transaction described in the preceding clause (a) only shall acquire the ROFR Property or party thereof subject to Grantee’s rights under this paragraph. Grantee acknowledges and agrees that if Grantor sells the Affected Property to Grantee pursuant to this paragraph, Grantee shall accept the Affected Property “AS IS, WHERE IS, WITH ALL FAULTS.” Grantee has not relied and will not rely on, and Grantor has not made and is not liable for or bound by, any express or implied warranties, guarantees, statements, representations or information pertaining to the Affected Property or relating thereto made or furnished by Grantor or any real estate broker, agent or third party representing or purporting to represent Grantor, to whomever made or given, directly or indirectly, orally or in writing. Grantee represents it is a knowledgeable, experienced and sophisticated purchaser of real estate and it is relying solely on its own expertise and that of Grantee’s consultants in purchasing the Affected Property and shall make an independent verification of the accuracy of any documents and information provided by Grantor. Grantee will conduct such inspections and investigations of the Affected Property as it deems necessary, including, but not limited to, the physical and environmental conditions thereof, and shall rely upon same. Grantee acknowledges Grantor has afforded Grantee a full opportunity to conduct such investigations of the Affected Property as Grantee deemed necessary to satisfy itself as to the condition of the Affected Property and the existence or non-existence of curative action to be taken with respect to any Hazardous Materials on or discharged from the Affected Property, and will rely solely upon same and not upon any information provided by or on behalf of Grantor or its agents or employees with respect thereto. Upon closing of the sale of the Affected Property, Grantee shall assume the risk that adverse matters, including, but not limited to, adverse physical or construction defects or adverse environmental, health or safety conditions may not have been revealed by its inspections and investigations. Grantee’s rights under this paragraph shall automatically terminate if Grantee fails to enter into a purchase and sale agreement in Grantor’s standard form with such modifications thereof as are reflected in the Purchase Offer or as Grantor and Grantee may agree prior to the expiration of such ten business day period following written notification by Grantee to purchase the Affected Property (the “ROFR Contract”), incorporating the terms and conditions set forth in the Transfer Notice, (a) if Grantee breaches the Surface Use Agreement and Grantee has not cured such breach within five days following notice of such breach from Grantor to Grantee, or (b) if Grantee’s rights under this paragraph have not previously terminated, the date on which Grantee terminates its obligation to purchase the Affected Property under the ROFR Contract, to the extent Grantee has such termination right, for any reason other than Grantor’s failure to convey the Affected Property to Grantee at the closing thereunder. Time shall be of the essence with respect to the exercise and performance of Grantor’s and Grantee’s rights and obligations hereunder. Unless earlier terminated as provided herein, the rights herein granted shall be in full force and effect for a term of twenty-five (25) years, after which time the rights granted in the paragraph shall terminate and be of no further force and effect. Upon the termination of Grantee’s rights under this paragraph as to the ROFR Property or the Affected Property, as applicable, and within ten business days following Grantor’s written request therefor, Grantee shall execute such instruments or other documents further evidencing such termination. If Grantor fails to execute such instruments or other documents evidencing such termination, Grantor shall have the right to record in the real property records of Dallas County, Texas an affidavit stating that the rights granted pursuant to this paragraph have terminated, following which recording, the ROFR Property shall no longer be encumbered by this paragraph, but Grantor shall remain liable to Grantee for any wrongful filing of such affidavit. Grantor and Grantee each warrant and represent to the other that it has not dealt with any broker or agent in connection with the negotiation or execution of this paragraph. Additionally, Grantor shall not be obligated to pay a commission with respect to the Affected Property if Grantee elects to purchase the Affected Property pursuant to this paragraph and Grantee’s rights under this paragraph shall immediately terminate if any broker or agent claims any right to a commission in connection with the sale of the Affected Property. As used in this paragraph, “Purchase Offer” shall mean a bona fide, written offer by an unrelated third-party (a “Third-Party”) to purchase from Grantor all of Grantor’s right, title and interest in and to the ROFR Property that does not include other property; “Related Parties and Successors” shall mean, with respect to a party, such party’s parents, affiliates, assignees, associated companies, and the predecessor and successor entities for each and every one of those entities (each, a “Related Party”). NOTWITHSTANDING ANYTHING CONTAINED HEREIN TO THE CONTRARY, THE CONVEYANCE OF THE WATER DELIVERY PIPELINE AND EXISTING WATER DELIVERY EASEMENTS PURSUANT TO THIS DEED IS MADE BY GRANTOR, AND GRANTEE HAS ACCEPTED THE CONVEYANCE OF THE WATER DELIVERY PIPELINE AND EXISTING WATER DELIVERY Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-13 EASEMENTS, WITHOUT ANY RECOURSE, REPRESENTATION, COVENANT, OR WARRANTY OF TITLE, EXPRESS OR IMPLIED, AND GRANTOR SPECIFICALLY EXCLUDES, NEGATES AND DISCLAIMS ANY REPRESENTATIONS, WARRANTIES OR COVENANTS, EXPRESS OR IMPLIED, ARISING BY COMMON LAW, PURSUANT TO SECTION 5.023 OF THE TEXAS PROPERTY CODE OR OTHERWISE, REGARDING TITLE TO THE WATER DELIVERY PIPELINE AND EXISTING WATER DELIVERY EASEMENTS. WITHOUT LIMITING THE FOREGOING, ANY COVENANT OR WARRANTY OF TITLE IMPLIED BY STATUTE OR LAW BY THE USE HEREIN OF THE WORDS “GRANT” OR “CONVEY” OR OTHER SIMILAR WORDS ARE HEREBY EXPRESSLY DISCLAIMED, WAIVED AND NEGATED WITH RESPECT TO THE WATER DELIVERY PIPELINE AND EXISTING WATER DELIVERY EASEMENTS. THIS CONVEYANCE IS MADE WITH FULL SUBSTITUTION AND SUBROGATION OF GRANTEE, AND ITS SUCCESSORS AND ASSIGNS, IN, TO AND UNDER ALL COVENANTS AND WARRANTIES BY OTHERS (NOT AFFILIATED WITH GRANTOR) HERETOFORE GIVEN OR MADE IN RESPECT OF THE TITLE TO THE WATER DELIVERY PIPELINE AND EXISTING WATER DELIVERY EASEMENTS, ANY PART THEREOF, OR ANY INTEREST THEREIN. TO HAVE AND TO HOLD the Property, together with all and singular the rights and appurtenances thereunto in anywise belonging, unto Grantee, its successors and assigns forever, and Grantor does hereby bind itself, its successors and assigns, to WARRANT AND FOREVER DEFEND all and singular the title to the Property unto the said Grantee, its successors and assigns against every person whomsoever lawfully claiming or to claim the same or any part thereof by, through, or under Grantor but not otherwise, subject to the Permitted Exceptions. Grantee’s address is: __________________________. EXECUTED as of _____________________, 20__. LUMINANT GENERATION COMPANY LLC, a Texas limited liability company By: Name: Title: STATE OF TEXAS § § COUNTY OF DALLAS § This instrument was acknowledged before me on _____________, 20__, by ______________________________, ____________________ of LUMINANT GENERATION COMPANY LLC, a Texas limited liability company, on behalf of said limited liability company. Notary Public, State of Texas Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-14 Agreed and acknowledged on __________________, 20__. THE CITY OF COPPELL, TEXAS By: ______________________________________________ Name: ____________________________________________ Title: _____________________________________________ THE STATE OF TEXAS § § COUNTY OF DALLAS § The foregoing instrument was acknowledged before me on _______________________, 20__, by ____________________, _______________ of the City of Coppell, a political subdivision of the State of Texas, on behalf of the City of Coppell. _________________________________________________ Notary Public, State of Texas Printed Name: ______________________________________ My commission expires: ______________________________ Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-15 EXHIBIT A-1 DAM PROPERTY Tract 1 BEING a 39.638 acre tract of land situated in the G. Hendricks Survey, Abstract No. 630, the J.G. Carlock Survey, Abstract No. 312 and the Francis Jones Survey, Abstract No. 674 in Dallas County, Texas, and being a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), and a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4420, Page 549 D.R.D.C.T. Said 39.638 acre tract being more particularly described by metes and bounds as follows: BEGINNING at a 3/4 inch iron rod found (N=7,031,066.82, E=2,438,553.41) at the northwest corner of the Grand Estates at Northlake Hills Phase II, recorded in Volume 2005041, Page 185 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) and in the south line of a tract of land described in deed to Crow-Billingsley Belt Line, LTD., recorded in Volume 86068, Page 5186 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.) from which a 3/4" iron rod found capped "PEWITT" bears S 32o30'57" W, a distance of 0.78 feet; THENCE: S 00° 22' 55" E, with the West line of said Grand Estates at Northlake Hills Phase II, a distance of 1102.51 feet to a 5/8 inch iron rod with Aluminum Cap stamped "'Frontier Surveying Company - RPLS 5991" set for the southeast corner of this tract and the northeast corner of a tract of land described as "East Tract IB" in deed to the City of Coppell, recorded in Document No. 20080370218 O.P.R.D.C.T.; THENCE: WEST, with the north line of said City of Coppell tract, a distance of 734.96 feet to a point on the meander line of the easterly shoreline of North Lake established at an elevation of 509.00 feet and the common northwest corner of said City of Coppell tract; THENCE: in a northerly direction, along said established 509.00 foot elevation meander line, the following courses and distances listed as follows for reference purposes only; N 26o13'37" W, a distance of 1853.70 feet to a point for corner; N 75o06'50" W, a distance of 32.32 feet to a point for corner; N 20o52'39" E, a distance of 46.22 feet to a point for corner; S 77o50'52" W. a distance of 61.00 feet to a point for corner; N 22°55'50" W, a distance of 39.04 feet to a point for corner; N 53°58'22" E, a distance of 31.31 feet to a point for corner; N 16o22'22" E a distance of 24.51 feet to a point for corner; N 26o38'33" W, a distance of 87.99 feet to a point for corner; THENCE: EAST over and across said Dallas Power & Light Company, tract, a distance of 868.99 feet to a 5/8 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set in the west line of a tract of land described as "Tract 4", in deed to Crow-Billingsley North Lake HB&T Joint Venture, recorded in Volume 90106, Page 2492 D.R.D.C.T. from which a 1/2 inch iron rod found capped "RPLS6013TX" bears N 00°34'01" W, a distance of 75.72 feet; THENCE: S 00o34'01" E. with the West line of said Crow-Billingsley North Lake HB&T Joint Venture Tract and the west line of a tract of land described in deed to Trammel Crow Company No. 43 Et al, recorded in Document Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-16 No. 20070001189 O.P.R.D.C.T., and passing a chain link fence corner post at the south corner of said Crow- Billingsley North Lake HB&T Joint Venture Tract and the common northwest corner of said Trammel Crow Company No. 43 Et al tract at a distance of 69.38 feet and continuing with the west line of said Trammel Crow Company No. 43 Et al tract, a total distance of 169.15 feet to a 5/8 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company – RPLS 5991" set for corner from which a chain link fence post found bears N 83° 16'45" W, a distance of 2.93 feet; THENCE: S 30° 26' 32" E, continuing with the West line of said Trammel Crow Company No. 43 Et al tract, a distance of 678.19 feet to a 5/8 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set at the southwest corner of said Trammel Crow Company No. 43 Et al tract from which a chain link fence post bears S 39o51'52" E, a distance of 1.33 feet; THENCE: S 89° 46' 16" E, with the south line of said Trammel Crow Company No. 43 Et al tract and the south line of said Crow-Billingsley Belt Line, LTD. tract, passing a 3/8 inch iron rod found at the southeast corner of said Trammel Crow Company No. 43 Et al tract and the common southwest corner of said Crow-Billingsley Belt Line, LTD. tract at a distance of 201.31 feet, and continuing with the south line of said Crow-Billingsley Belt Line, LTD. tract a total distance of 429.36 feet to the POINT OF BEGINNING and containing 39.638 acres of land more or less. Tract 2 BEING a 16.014 acre tract of land situated in the Francis Jones Survey, Abstract No. 674, in Dallas County, Texas, and being a portion of a called 490.6 acre tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.) and being more particularly described by metes and bounds as follows: BEGINNING at a 5/8 inch iron rod with aluminum cap stamped "FRONTIER SURVEYING COMPANY - RPLS 5991" set (N = 7,028,735.94, E = 2,438,568.69) at the southwest corner of a tract of land described as "EAST TRACT 1B" in deed to the City of Coppell, recorded in Document No. 20080370218 Official Public Records Dallas County, Texas (O.P.R.D.C.T.) and in the west line of the Final Plat of The Hollows of Valley Ranch Section Four, recorded in Volume 95012, Page 6285 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) from which a 3/4 inch iron rod found at the northwest corner of the Final Plat of Grand Estates At Northlake Hills Phase II, recorded in Volume 2005041, Page 185, P.R.D.C.T. bears N 00o22'32" W, a distance of 2330.92 feet; THENCE: S 00o 21' 19" E, with the west line of said Hollows of Valley Ranch Section Four and the west line of The Final Plat of the Hollows of Valley Ranch, Amended, Section Two, Recorded in Volume 94067, Page 7887, P.R.D.C.T., a distance of 947.44 feet to a point at the southwest corner of said Hollows of Valley Ranch, Amended, Section Two and the common northwest corner of The Amended Final Plat of Valley Ranch, Phase IV, 6th Installment, recorded in Volume 94197, Page 2086, P.R.D.C.T. from which a 1/2 inch iron rod found bears N 45o52'59" E, a distance of 1.00 foot; THENCE: S 00° 21' 7" E, with the West line of said Valley Ranch Phase IV-6th Installment, a distance of 256.81 feet to a 1/2 inch iron rod found at the northeast corner of a tract of land conveyed to C W Shoreline Land, LTD., recorded in Document No. 201200024638 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.): THENCE: West, with the North line of said C W Shoreline Land, LTD. tract, a distance of 384.77 feet to a point on the meander line of the easterly shoreline of North Lake established at an elevation of 509.00 feet; THENCE: in a northerly direction, along said established 509.00 foot elevation meander line, the following courses and distances for listed for reference purposes only; N 08° 40' 03" W, a distance of 26.24 feet to a point for corner; N 46° 36' 01" W, a distance of 203.92 feet to a point for corner; N 35° 50' 06" W, a distance of 164.27 feet to a point for corner; Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-17 N 17° 52' 45" W, a distance of 169.59 feet to a point for corner; N 01° 14' 05" W. a distance of 183.97 feet to a point for corner; N 20° 00' 12" E, a distance of 166.36 feet to a point for corner; N 27° 09' 58" E, a distance of 453.36 feet to a point at the southwest corner of said City of Coppell tract; THENCE: East, with the South line of said City of Coppell tract, a distance of 417.73 feet to the POINT OF BEGINNING and containing 16.014 acres of land more or less. Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-8 EXHIBIT A-2 PUMP STATION PROPERTY That certain tract of land lying and situated in Dallas County, Texas, being a part of that certain 11.62 acre tract of land in the W. Perry Survey, Abstract No. 1152 conveyed to the City of Dallas by A.G. Kirksey, et ux, by a deed of record in Volume 540, Page 21, Deed Records of Dallas County, Texas, and more particularly described by metes and bounds as follows: BEGINNING at a point in the most westerly line of the said 11.62 acre tract, 89.0 feet N 0o 03’ W of the extreme southwest corner thereof located in the old Dallas-Denton Road; THENCE N 0o 03’ W along the most westerly line of the said 11.62 acre tract, a distance of 111.0 feet to an iron pin set in concrete; THENCE N 46o 57’ E, continuing with the boundary line of the said 11.62 acre tract, a distance of 290.0 feet to a point for corner; THENCE S 43o 03’ E, 40.7 feet to a point on the west bank of the Elm Fork of the Trinity River; THENCE S 14o 15’ E, 64.0 feet to a point for corner; THENCE S 37o 05’ W, 30.0 feet to a point for corner; THENCE S 88o 25’ W, 64.0 feet to a point on the west bank of the Elm Fork of the Trinity River; THENCE S 37o 05’ W along the west bank of the Elm Fork of the Trinity River, a distance of 30.0 feet to a point for corner; THENCE N 52o 55’ W, a distance of 35.0 feet to a point for corner; THENCE S 46o 57’ W, a distance of 83.3 feet to a point for corner; THENCE S 37o 56’ W, a distance of 54.9 feet to a point for corner; THENCE S 22o 50’ W, a distance of 54.5 feet to a point for corner; THENCE S 16o 46’ W, a distance of 40.0 feet to the place of beginning; and containing 0.397 acre of land. Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-9 EXHIBIT A-3 PAD SITE PROPERTY BEING a 2.741 acre tract of land situated in the Francis Jones Survey, Abstract Number 674, and in Official City of Dallas Block Number 8470, in the City of Dallas, Dallas County, Texas, and being a part of that tract of land described in deed to Dallas Power & Light Company, as recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), and being more particularly described as follows: COMMENCING at a 5/8 inch found iron rod for the common north corner of said Dallas Power & Light Company tract and Grand Estates at Northlake Hills Phase II, an addition to the City of Irving, Dallas County, Texas, as recorded in Volume 2005041, Page 185, of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.); THENCE South 00 degrees 23 minutes 11 seconds East, along the east line of said Dallas Power & Light Company tract, a distance of 1,415.88 feet to a point for corner; THENCE South 79 degrees 48 minutes 40 seconds West, departing said east line, a distance of 457.63 feet to a 1/2 inch set iron rod with yellow plastic cap stamped "HALFF ASSOC INC." (hereinafter referred to as "with cap") for the POINT OF BEGINNING of the herein described tract; THENCE South 10 degrees 11 minutes 20 seconds East, a distance of 398.00 feet to a 1/2 inch set iron rod with cap for corner; THENCE South 79 degrees 48 minutes 40 seconds West, a distance of 300.00 feet to a 1/2 inch set iron rod with cap for corner; THENCE North 10 degrees 11 minutes 20 seconds West, a distance of 398.00 feet to a 1/2 inch set iron rod with cap for corner; THENCE North 79 degrees 48 minutes 40 seconds East, a distance of 300.00 feet to the POINT OF BEGINNING and CONTAINING 119,400 square feet or 2.741 acres of land, more or less. The Basis of Bearing of this Survey is NAD 83 (1993) Texas State Plane North Central Zone 4202 as observed by GPS from "DALLAS CORS ARP", "COLLIN CORS ARP", "ARLINGTON CORS", "DENTON CORS ARP". Convergence angle at "DALLAS CORS ARP" is - 03 degrees 01 minutes 49.9 seconds as computed by Corpscon for Windows Version 6.0. All coordinates shown are surface and may be converted to grid by dividing by the conversion factor of 0.99983043. Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-10 Exhibit B Permitted Exceptions 1. Taxes and assessments for the year 2013 and subsequent years. 2. Restrictive Covenants of record in Volume 90019, Page 4720, Deed Records, Dallas County, Texas. 3. Easement granted by Mrs. M. A. Root, a widow to Lone Star Gas Company, filed for record on July 11, 1929 and recorded in Volume 1577, Page 10, Real Property Records, Dallas County, Texas. 4. Easement granted by Dallas Power & Light Company to Lone Star Gas Company, dated September 20, 1956, filed for record on October 18, 1956 and recorded in Volume 4595, Page 155, Real Property Records, Dallas County, Texas. 5. Easement granted by Dallas Power & Light Company to Southwestern Bell Telephone Company, dated February 24,1958, filed for record on March 6, 1958 and recorded in Volume 4855, Page 564, Real Property Records, Dallas County, Texas. 6. Easement granted by Mrs. Lena Sanders et al to Lone Star Gas Company, filed for record on March 16, 1970 and recorded in Volume 70051, Page 325, Real Property Records, Dallas County, Texas. 7. Easement granted by Dallas Power & Light Company to Southwestern Bell Telephone Company, dated March 16, 1988, filed for record on May 24, 1988 and recorded in Volume 88101, Page 1231, Real Property Records, Dallas County, Texas. 8. Agreement, executed by and between Dallas Power & Light Company and City of Dallas, dated September 10, 1981, filed for record on September 18, 1981 and recorded in Volume 81183, Page 1847, Real Property Records, Dallas County, Texas. 9. Certificate of Adjudication by and between Dallas Power & Light Company and Texas Water Commission filed August 17, 1983, recorded in Volume 83161, Page 669, Real Property Records, Dallas County, Texas. As affected by Assignment of Water Rights, filed December 20, 2001 and recorded in Volume 2001248, Page 7785, Real Property Records, Dallas County, Texas. 10. Easement granted by Dallas Power & Light Company to County of Dallas, dated September 28, 1956, filed for record on October 29, 1956 and recorded in Volume 4601, Page 33, Real Property Records, Dallas County, Texas. 11. Easement granted by Dallas Power & Light Company to County of Dallas, dated February 19, 1957, filed for record on March 13, 1957 and recorded in Volume 4669, Page 443, Real Property Records, Dallas County, Texas. 12. Easement granted by TXU Electric Company, a Texas corporation to TXU Gas Company, a Texas corporation, dated December 14, 2001, filed for record on December 21, 2001 and recorded in Volume 2001248, Page 7208, Real Property Records, Dallas County, Texas. As affected by Supplemental Gas Facilities Easement filed October 27, 2003 and recorded in Volume 2003212, Page 832, Real Property Records, Dallas County, Texas. 13. Interest in and to all coal, lignite, oil, gas and other minerals, and all rights incident thereto, contained in instrument dated April 20, 2006, recorded May 10, 2006, under Clerk's File No. 200600171168, of the Official Records of Dallas County, Texas. 14. Lease for coal, lignite, oil, gas or other minerals, together with rights incident thereto, dated November 1, 2007, by and between Luminant Mineral Development Company, LLC, as Lessor, and Chief Exploration & Development, LLC, as Lessee, recorded November 6, 2007, under Clerk's File No. 20070397856, of the Official Records of Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-11 Dallas County, Texas. As amended by instruments recorded under Clerk's File No. 20080339597; 200900202460; 200900350130; and 201000123200, Real Property Records, Dallas County, Texas. 15. Surface Use Agreement (and all matters referred to therein) dated of even date between Luminant Mineral Development Company LLC, Luminant Generation Company LLC, Trammell Crow Company No. 43, Ltd., City of Coppell and Coppell Independent School District recorded in the Official Public Records of Dallas County, Texas simultaneously herewith. 16. Easements dated of even date between Luminant Generation Company LLC and Oncor Electric Delivery Company LLC recorded in the Official Public Records of Dallas County, Texas simultaneously herewith. 17. Settlement Agreement and Release (and all matters referred to therein) of even date between Luminant Generation Company LLC and the City of Coppell recorded in the Official Public Records of Dallas County, Texas simultaneously herewith. Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-12 Exhibit C Plant Property BEING a 83.804 acre tract of land situated in the J.G. Carlock Survey, Abstract No. 312 Dallas County, Texas, and being a portion of two tracts of land described as “Part A, Tract 1” and Part B” in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 374, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4414, Page 82, D.R.D.C.T., a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4404, Page 321, D.R.D.C.T., a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4420, Page 549 D.R.D.C.T., and all of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4403, Page 618 D.R.D.C.T. Said 83.804 acre tract being more particularly described by metes and bounds as follows: BEGINNING at a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found (N=7,030,067.46, E=2,437,726.61) at the southeast corner of a tract of land described as “Tract 2” in deed to CW SHORELINE LAND LTD., recorded in Document No. 201100289322 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.), and in the west Right-of-Way (R.O.W.) line of South Northlake Road described in deed to County of Dallas, recorded in Volume 4669, Page 443 D.R.D.C.T. from which a 3/4 inch iron rod found (N=7,031,066.82, E=2,438,553.41) at the northwest corner of the Grand Estates at Northlake Hills Phase II, recorded in Volume 2005041, Page 185 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) and at the common northwest corner of a tract of land described in deed to Dallas Power and Light Company, recorded in Volume 4378, Page 372 D.R.D.C.T. and in the south line of a tract of land described in deed to Crow-Billingsley Belt Line, LTD., recorded in Volume 86068, Page 5186 O.P.R.D.C.T. bears S 22°27’13” E, a distance of 2164.75 feet, and from said 3/4” iron rod found, another 3/4” iron rod found capped “PEWITT” bears S 32°30’57” W, a distance of 0.78 feet; THENCE: with the west line of said South Northlake Road the following courses and distances; S 00°39’12” E, a distance of 356.17 feet to a 5/8 inch iron rod with Aluminum Cap stamped “Frontier Surveying Company – RPLS 5991” set for corner; S 44°39’44” W, a distance of 127.14 feet to a 5/8 inch iron rod with Aluminum Cap stamped “Frontier Surveying Company – RPLS 5991” set for corner; S 00°20’16” E, a distance of 60.00 feet to a 5/8 inch iron rod with Aluminum Cap stamped “Frontier Surveying Company - RPLS 5991” set at the southwest corner of said South Northlake Road R.O.W.; THENCE: N 89°38’51” E, with the south line of said South Northlake Road R.O.W., a distance of 129.77 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found at the northwest corner of a tract of land described in deed to CROW-BILLINGSLEY NORTH LAKE HB&T JOINT VENTURE, recorded in Volume 90106, Page 2492 D.R.D.C.T. THENCE: S 00°34’32” E, with the west line of said CROW-BILLINGSLEY NORTH LAKE HB&T JOINT VENTURE tract, passing a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found at a distance of 663.61 feet and continuing a total distance of 739.35 feet to a 5/8 inch iron rod with Aluminum Cap stamped “Frontier Surveying Company – RPLS 5991” set for corner; THENCE: WEST, over and across said Dallas Power and Light Company tract (Vol. 4420, Pg. 549), a distance of 868.99 to a point on the meander line of the easterly shoreline of North Lake established at an elevation of 509.00 feet and at the common northwest corner of a tract of land described as “STORAGE TRACT A” in deed to The City of Coppell, recorded in Document No. 20080370218 O.P.R.D.C.T., from which a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found bears N 27°05’25” W, a distance of 85.21 feet; THENCE: in a westerly direction, along said established 509.00 foot elevation meander line, the following courses and distances listed as follows for reference purposes only; Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-13 N 45°51’26” W, a distance of 26.82 feet to a point for corner; N 71°10’46” W, a distance of 48.60 feet to a point for corner; S 89°35’20” W, a distance of 1138.02 feet to a point for corner; S 89°49’54” W, a distance of 297.45 feet to a point for corner; N 86°32’18” W, a distance of 126.25 feet to a point for corner; N 79°16’20” W, a distance of 127.38 feet to a point for corner; N 69°02’ 53” W, a distance of 269.56 feet to a point for corner; THENCE: leaving said meanders, over and across said Dallas Power and Light (Vol. 4414, Pg. 82) the following courses and distances; NORTH, a distance of 242.44 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found for corner, from which an aluminum cap set in concrete called Northlake Monument No. 4 (NAD83 North Central Zone N=7,032,397.37, E=2,434,058.96), bears N 78°02’15” W, a distance of 866.11 feet; EAST, a distance of 754.87 feet to an “x” cut found for corner; NORTH, a distance of 846.67 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found for corner; S 77°48’48” W, a distance of 772.27 feet to a 5/8 inch iron rod with Aluminum Cap stamped “Frontier Surveying Company – RPLS 5991” set for corner; NORTH, a distance of 379.00 feet to a 5/8 inch iron rod with Aluminum Cap stamped “Frontier Surveying Company – RPLS 5991” set for corner in the south R.O.W. line of East Belt Line Road (a variable width R.O.W.); THENCE: N 67°22’19” E, with the south R.O.W. line of said East Belt Line Road, a distance of 924.30 feet to a point at the west corner of a tract of land described in deed to UNIVERSITY BUSINESS PARK PHASE II, recorded in Volume 94055, Page 3162 D.R.D.C.T, and at the beginning of a curve to the right having a radius of 1330.00 feet, a delta of 08°55’38”, a chord bearing of N 71°46’39” E, and a chord length of 207.02 feet; THENCE: leaving the south R.O.W. line of said East Belt Line Road with said curve to the right and with the south line of said UNIVERSITY BUSINESS PARK PHASE II, passing a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found at an arc length of 1.62 feet and continuing a total arc length of 207.23 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found at the northwest corner of a tract of land described as “Tract 1” in deed to CW SHORELINE LAND LTD., recorded in Document No. 201100289322 O.P.R.D.C.T.; THENCE: leaving the south line of said UNIVERSITY BUSINESS PARK PHASE II with the west line of said “Tract 1” the following courses and distances: S 10°37’34” E, a distance of 144.20 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found for corner; S 07°57’53” E, a distance of 246.27 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found at the southwest corner of said “Tract 1”; Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-14 THENCE: N 77°48’49” E, with the south line of said “Tract 1”, a distance of 1000.02 feet to a 5/8 inch iron rod with Aluminum Cap stamped “Frontier Surveying Company – RPLS 5991” set for the southeast corner of said “TRACT 1” and rejoining the south line of said UNIVERSITY BUSINESS PARK PHASE II at the beginning of a non-tangent curve to the left having a radius of 2120.00 feet, a delta of 07°07’46”, a chord bearing of S 62°02’09” E, and a chord length of 263.63 feet; THENCE: with said curve to the left an arc length of 263.80 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found at the angle point in the north line of said “TRACT 2” (CW SHORELINE LAND LTD.,); THENCE S 77°48’48” W, leaving the south line of said UNIVERSITY BUSINESS PARK PHASE II, with the north line of said “TRACT 2”, a distance of 549.80 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found at the northwest corner of said “TRACT 2”; THENCE: SOUTH, with the west line of said “TRACT 2”, a distance of 219.19 feet to a 1/2” iron rod with orange plastic cap stamped “RPLS6013TX” found at the southwest corner of said “TRACT 2”; THENCE: EAST, with the south line of said “TRACT 2”, a distance of 1036.92 feet to the POINT OF BEGINNING and containing 83.804 acres of land more or less. Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-15 Exhibit D Access Easement BEING a 0.427 acre tract of land situated in the J. G. Carlock Survey, Abstract No. 312, and in the City of Dallas, Dallas County, Texas, and being a part of a tract of land described as in deed to Dallas Power & Light Company, recorded in Volume 4420, Page 549, of the Deed Records of Dallas County, Texas (D.R.D.C.T.). Said 0.427 acre tract being more particularly described by metes and bounds as follows: BEGINNING at a point (N = 7,032,586.92, E = 2,437,284.71) in the north line of said Dallas Power & Light Company tract, from which a 3/8" inch iron rod found for the northeast corner of said Dallas Power & Light Company tract, bears N 89° 28' 24” E, a distance of 526.79 feet; THENCE: over and across said Dallas Power & Light Co. tract, the following courses and distances; S 05° 58’ 42" W distance of 516.49 feet to a point for corner at the beginning of a curve to the right having a radius of 100.00 feet, a delta angle of 18° 34' 27", a chord bearing of S 15° 15' 56" W, and a chord length of 32.28 feet; Along said curve to the right an arc length of 32.42 feet to a point for corner; S 24° 33' 09" W a distance of 30.48 feet to a point for corner at the beginning of a curve to the right having a radius of 120.00 feet, a delta angle of 60° 05' 57" a chord bearing of S 56° 49' 47" W, and a chord length of 120.18 feet; Along said curve to the right an arc length of 125.87 feet to a point for corner; S 86° 52' 46" W, a distance of 81.22 feet to a point for corner at the beginning of a curve to the left having a radius of 17.50 feet, a delta angle of 114° 34' 05", a chord bearing of S 29° 35' 43" W, and a chord length of 29.45 feet; Along said curve to the left an arc length of 34.99 feet to a point for corner; S 27° 41’ 19" E, a distance of 108.67 feet to a point for corner; West, a distance of 22.59 feet to a point for corner from which a 1/2 inch capped iron rod found stamped "RPLS 6013TX" bears N 66° 00' 00" W, a distance of 186.49 feet; N 27° 41' 19" W. a distance of 98.17 feet to a point for corner at the beginning of a curve to the right having a radius of 37.50 feet, a delta angle of 114° 34' 05", a chord bearing of N 29° 35' 43" E, and a chord length of 63.10 feet; Along said curve to the right an arc length of 74.98 feet to a point for corner; N 86° 52' 46" E, a distance of 81.22 feet to a point for corner at the beginning of a curve to the left having a radius of 100.00 feet, a delta angle of 59° 53' 11", a chord bearing of N 56° 56' 10" E, and a chord length of 99.83 feet; Along said curve to the right an arc length of 104.52 feet to a point for corner; N 24° 33’ 09" E, a distance of 30.07 feet to a point for corner at the beginning of a curve to the left having a radius of 80.00 feet, a delta angle of 18° 34' 27", a chord bearing of N 15° 15' 56" E and a chord length of 25.82 feet; Along said curve to the right an arc length of 25.93 feet to a point for corner; Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-16 N 05° 58' 42" E a distance of 514.21 feet to a point for corner in the north line of said Dallas Power & Light Co. tract; THENCE: N 89° 28' 24" E, with the north line of said Dallas Power & Light Co. tract a distance of 20.13 feet to POINT OF BEGINNING and containing 0.427 acres of land more or less. Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 D-17 Exhibit E ROFR PROPERTY BEING a 15.96 acre tract of land situated in the Jacob G. Carlock Survey, Abstract Number 312, and in Official City of Dallas Block number 8461, in the City of Dallas, Dallas County, Texas, and being a part of that tract of land described in Warranty Deed to Dallas Power & Light Company, as recorded in Volume 4414, Page 82, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), and being more particularly described as follows: COMMENCING at 1/2 inch found iron rod with yellow plastic cap stamped "HALFF ASSOC INC." (hereinafter referred to as "with cap") for the northeast corner of said Dallas Power & Light Company tract in Volume 4414, Page 82, said point being on the west line of that tract of land described in deed to Dallas Power & Light Company, as recorded in Volume 4404, Page 321, D.R.D.C.T.; THENCE South 00 degrees 00 minutes 46 seconds West, passing the southeasterly right-of-way line of Belt Line Road (a variable width right-of-way) at a distance of 132.72 feet, continuing in all a total distance of 663.10 feet to a 1/2 inch found iron rod with cap stamped "RPLS 6013 TX" for the POINT OF BEGINNING; THENCE South 00 degrees 00 minutes 00 seconds East, a distance of 846.81 feet to a found "X" cut for corner; THENCE South 90 degrees 00 minutes 00 seconds West, a distance of 755.00 feet to a 1/2 inch found iron rod with cap stamped "RPLS 6013 TX" for corner; THENCE North 00 degrees 00 minutes 00 seconds West, a distance of 226.75 feet to a 1/2 inch set iron rod with cap for corner; THENCE South 90 degrees 00 minutes 00 seconds West, a distance of 284.70 feet to a 1/2 inch set iron rod with cap for corner; THENCE North 00 degrees 00 minutes 00 seconds West, a distance of 369.22 feet to a 1/2 inch set iron rod with cap for corner; THENCE North 72 degrees 51 minutes 50 seconds East, a distance of 297.92 feet to a 1/2 inch found iron rod with cap stamped "RPLS 6013 TX" for corner; THENCE North 77 degrees 48 minutes 48 seconds East, a distance of 772.40 feet to the POINT OF BEGINNING and CONTAINING 695,398 square feet or 15.96 acres of land, more or less. Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 E-1 EXHIBIT E FIRPTA CERTIFICATE Section 1445 of the Internal Revenue Code provides that a transferee of a U.S. real property interest must withhold tax if the transferor is a foreign person. For U.S. tax purposes (including Section 1445), the owner of a disregarded entity (which has legal title to a U.S. real property interest under local law) will be the transferor of the property and not the disregarded entity. To inform ______________________________ (“Transferee”) that withholding of tax is not required upon the disposition of a U.S. real property interest by ______________________________ (“Transferor”), the beneficial owner of ______________________________ (U.S. employer identification number ____________________), the undersigned, in his capacity as ______________________________ of ______________________________, but not individually, hereby certifies to Transferee the following on behalf of Transferor: 1. Transferor is not a foreign corporation, foreign partnership, foreign trust, or foreign estate (as those terms are defined in the Internal Revenue Code and Income Tax Regulations); 2. Transferor is not a disregarded entity as defined in Section 1.1445-2(b)(2)(iii); 3. Transferor’s U.S. employer identification number is 75-2967820; and 4. Transferor’s office address is _________________________________. Transferor understands that this certification may be disclosed to the Internal Revenue Service by Transferee and that any false statement contained herein could be punished by fine, imprisonment, or both. Under penalties of perjury I declare that I have examined this certification and to the best of my knowledge and belief it is true, correct and complete, and I further declare that I have authority to sign this document on behalf of Transferor. Dated as of _______________, 20__. ________________________________________, a _____________________ By: Name: Title: Date: THE STATE OF § § COUNTY OF § This instrument was acknowledged before me on _____________, 20__, by ______________________________, ____________________ of ______________________________, a ____________________, on behalf of said ____________________. Notary Public, State of Purchase and Sale Agreement – North Lake 1505488v.18 EFH100/52002 E-2 SWORN TO AND SUBSCRIBED BEFORE ME by ______________________________ on _____________, 20__. Notary Public, State of Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-0990 File ID: Type: Status: 2013-0990 Resolution Passed 1Version: Reference: In Control: City Secretary 04/02/2013File Created: 04/23/2013Final Action: Northlake 4File Name: Title: Consider approval of Amended and Restated Northlake Settlement Agreement by and between the City of Coppell and Cypress Waters Land A, Ltd. concerning property located at Northlake; and, authorizing the City Manager to sign. Notes: Agenda Date: 04/23/2013 Agenda Number: 15. Sponsors: Enactment Date: Resolution.pdf, Amended and Restated Northlake Agreement.pdf, Exhibit A.pdf, Exhibit B.pdf, Exhibit C.pdf, Exhibit 1.pdf, Exhibit 2.pdf Attachments: Enactment Number: 2013-0423.4 Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 PassApproved04/23/2013City Council Presentation: City Attorney Robert Hager read the Resolution into the record and presented the information to Council. A motion was made by Councilmember Bob Mahalik, seconded by Councilmember Billy Faught, that this Resolution be approved. The motion passed by an unanimous vote. Action Text: Councilmember Tim Brancheau, Councilmember Bob Mahalik, Councilmember Gary Roden, Mayor Pro Tem Billy Faught, Councilmember Marvin Franklin, and Councilmember Aaron Duncan 6Aye: Text of Legislative File 2013-0990 Title Consider approval of Amended and Restated Northlake Settlement Agreement by and between the City of Coppell and Cypress Waters Land A, Ltd. concerning property located at Northlake; and, authorizing the City Manager to sign. Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-0990) Summary Fiscal Impact: [Enter Fiscal Impact Statement Here] Staff Recommendation: Approval recommended. Goal Icon: Sustainable City Government Business Prosperity Community Wellness and Enrichment Sense of Community Special Place to Live Page 2City of Coppell, Texas Printed on 12/28/2017 TM 60136 RESOLUTION NO. ________ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS, APPROVING THE TERMS AND CONDITIONS OF A SETTLEMENT AGREEMENT BY AND BETWEEN THE CITY OF COPPELL, TEXAS AND CYPRESS WATERS LAND A, LTD.; AUTHORIZING THE CITY MANAGER TO SIGN, WHICH IS ATTACHED HERETO AS EXHIBIT 1, FOLLOWING REVIEW BY THE CITY ATTORNEY; REPEALING ALL RESOLUTIONS IN CONFLICT; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City has entered into a settlement agreement with Cypress Waters Land A, Ltd.; and WHEREAS, the City Council find it is in the best interest of the City of Coppell and its citizens to approve said contract. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS THAT: SECTION 1. The City Council hereby approves the terms and conditions of Settlement Agreement by and between the City of Coppell and Cypress Waters Land A, Ltd. and hereby authorizes the City Manager to execute such agreement, as provided in Exhibit 1, which is attached hereto and incorporated herein by reference. SECTION 2. The City Manager of the City of Coppell, Texas, is hereby authorized to execute said agreement, which is attached hereto as Exhibit 1, subject to release of any and all easements in favor of Oncor Electric Delivery Company LLC following review by the City Attorney. SECTION 3. Any prior resolution of the City Council in conflict with the provisions contained in this Resolution are hereby repealed and revoked. SECTION 4. Should any part of this resolution be held to be invalid for any reason, the remainder shall not be affected thereby, and such remaining portions are hereby declared to be severable. SECTION 5. This resolution shall take effect immediately from and after its passage, and it is duly resolved. [Signature page to follow] TM 60136 DULY PASSED and approved by the City Council of the City of Coppell, Texas, on this the ____ day of , 2013. APPROVED: Karen Selbo Hunt, Mayor ATTEST: Christel Pettinos, City Secretary APPROVED AS TO FORM: _________________________________ Robert E. Hager, City Attorney (REH/mpm) Exhibit 1 TM 60136 Draft date: April 16, 201 3, 201 3 Draft by: Carrington Coleman Sloman & Blumenthal LLP AMENDED AND RESTATED NORTHLAKE AGREEMENT THIS AMENDED AlVD RESTATED NORTHLAKE AGREEMENT (the "Northlake Agreement" or "Agreement") is made and entered into this day of , 2013 (the "Effective Date") by and between by and between CYPRESS-WATERS LAND A, LTD., a Texas limited partnership ("Billingsley"), and CITY OF COPPELL, a Texas home rule municipality ("City"), upon the terms set forth herein. The following recitals of fact are true and correct and form the basis of this Agreement: RECITAL A. On October 2, 2008, City and Billingsley affiliates entered into a Settlement Agreement (the "Settlement Agreement"), by and among City, Coppell Independent School District, CB Parkway Business Center VI, Ltd. and Trammel1 Crow Company No. 43, Ltd. and that one certain Contract of Purchase and Sale in Lieu of Eminent Domain (as amended on November 14, 2008, the "Original Contract"), which Original Contract has been partially performed. The Original Contract called for Billingsley to sell and convey, and for the City to purchase, certain real property, water rights, and a water purchase contract, all pertaining to the Northlake reservoir (collectively, the "City Northlake Property"). RECITAL B. Billingsley has advised the City that Billingsley planned to purchase the Northlake Property from Luminant Generation Company LLC ("Luminant"), under Billingsley affiliates' contracts with Luminant (collectively, the "Luminant Contract") entered into simultaneously with the Original Contract. Billingsley entered into the Luminant Contract for two purposes: i) to acquire and retain ownership of certain portions for future development of a mixed use real estate project ("Cypress Waters Project"), and ii) to resell certain portions to City and Coppell Independent School District in lieu of such entities' exercise of eminent domain powers. RECITAL C. As the result of defects in title, Billingsley posed objections to Luminant pursuant to the Luminant Contract as to such title defects related to the easement to TXU Electric Delivery Company ("Oncor") created pursuant to that one certain Special Warranty Deed from TXU Electric Company to TXU Generation Company LP, TXU Mountain Creek Electric Company LP, and TXU Electric Delivery Company, recorded on December 20,2001 in Volume 2001248, Page 11540, Dallas County Real Property Records (the "Oncor Easement"). Luminant failed or refused to cure such objections. City likewise objected to the terms of the Oncor Easement and refused to proceed with the purchase of the affected portions of the City Northlake Property from Billingsley. REClTAL D. As a result of Luminant's refusal to cure Billingsley's title objections, Billingsley has not sold and conveyed to City, and the City has not purchased, the following portions of the City Northlake Property (the "Plant and Spillway") pursuant to the Original Contract (all as defined in the Original Contract): 1. North Tract TI; . . 11. East Tract 1 A; . . . 111. East Tract 1C; iv. Pump Station; and v. Water Rights and Water Purchase Agreement. RECITAL E. Luminant recently advised City that Luminant has secured the consent of all necessary parties to certain amendments to the Oncor Easement which address City's objections to the easement. The proposed form of amended and restated Oncor Easement (the "Revised Oncor Easement"), as it affects the Remainder, is set forth on Exhibit "B" to this Agreement. RECITAL F. On November 21, 2008, as owners of subdivided portions of Northlake, Billingsley and City entered into that one Northlake Water Supply Planning Agreement, which the parties amended on October 28, 2009, pursuant to that one certain Omnibus Amendment to Contract of Purchase and Sale in Lieu of Eminent Domain, Settlement Agreement, and Northlake Water Supply Planning Agreement (as amended, the "Lake Planning Agreement"). The Lake Planning Agreement addressed various topics, including, without limitation, City's duties and obligations with respect to lowering the spillway at Northlake (the "Reclamation Project") to establish a lower elevation lake pool, the parties' respective rights and obligations concerning the reconfiguration of the Northlake shoreline at the contour elevation of 485 feet above mean sea level (such contour being referred to herein as the "Shoreline"), and landscaping, upkeep, maintenance, and repair of the area lying between 200 feet downgradient and 200 feet upgradient of the Shoreline (the "Shoreline Area"), as more particularly described on Exhibit "C" attached to this Agreement, after such reconstruction occurs. RECITAL G. The City Council of the City has determined that it is in City's best interest to proceed with its purchase of all or portions of the Remainder from Luminant, and in order to facilitate City's plan, Billingsley has agreed to release its contractual rights to purchase the Remainder and resell it to City, subject to the terms of this Agreement. RECITAL H. On or about , 2013, the City Council adopted resolution no. , authorizing the City Manager to bind the City to the amendment and restatement of the Original Contract through the execution of this Agreement, and purchase of the Remainder from Luminant. The City Council's action is authorized under the City Charter and Texas Local Government Code Section RECITAL I. Contemporaneously with this Agreement, City and Luminant are entering into a contract (the "Remainder Contract") for City's purchase of a portion of the Plant and Spillway more particularly described on Exhibit "A" from Luminant (the "Remainder"). The Remainder Contract provides for certain additional actions by Luminant which are expected to benefit Billingsley and the City. AMENDED ASD RESSATED NOKSHLAKE AGHEE~IENI' RECITAL J. City and Billingsley hereby intend to amend and restate their contractual relations previously set forth in the Original Contract and Lake Planning Agreement in this Northlake Agreement, which the parties agree shall supersede the Original Contract and Lake Planning Agreement for all purposes. NOW, THEREFORE, for and in consideration of the premises, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, City and Billingsley hereby agree as follows: 1. Amendment and Restatement. This Northlake Agreement amends and restates the Original Contract, Lake Planning Agreement, and the Settlement Agreement, and supersedes such agreements in their entirety. The portions of the Original Contract relating to the purchase and sale of the Remainder are intended to be terminated. With respect to other previous agreements of City and Billingsley: a. The provisions in the Original Contract which are restated, ratified, and confirmed are set forth in Sections 3, 4, and 5, below. The Lake Planning Agreement pertained to the City's ownership of the northern portion of the Northlake reservoir (the "Storage Tract") and Billingsley affiliates' ownership of the sourthern portion of the Northlake reservoir (the "Shallows Tract"), the reclamation project involving the lowering of the spillway elevation by the City, and various matters relating to ownership, improvement, maintenance and operation of the Shoreline Area. b. The provisions in the Lake Planning Agreement which are amended, restated, ratified, and confirmed are set forth in Sections 6 through 13, below. c. The provisions in the Settlement Agreement which the parties intend to continue to apply hereafter are amended, restated, ratified, and confirmed in Section 30, below. All other terms of the Settlement Agreement relating to the legal relationship of City, Billingsley, and Billingsley affiliates are superseded in this Northlake Agreement. d. The Declaration of Dwelling Unit Restriction dated October 28, 2009, executed by various affiliates of Billingsley and City, recorded as Document No. 2009900305882 in the Official Public Records of Dallas County, Texas (the "Unit Cap"), shall survive the execution of this Northlake Agreement and continue in full force and effect in accordance with its terms. e. The Facilities and Operations Lease dated October 2, 2008, by and between Billingsley affiliates and Luminant, an interest in which was assigned to the City, under which the lessor leased the Northlake reservoir to Luminant, is being terminated contemporaneously pursuant to separate agreements of City and Luminant and Billingsley affiliates and Luminant. AMENDED AND RESTATED NORTHLAKE ACREERIENT 2. Mutual Release of Original Contract Responsibilities relating to the Plant and Spillway. In consideration of this Northlake Agreement, the parties agree to release any and all claims that either may have arising under the Original Contract concerning the Plant and Spillway, in accordance with the following releases of liability: a. In consideration of the mutual promises and covenants herein contained, City. with the intention of binding its affiliates, predecessors, successors and assigns, does hereby expressly release, acquit and forever discharge Billingsley, together with its partners, members, officers, attorneys, affiliates, predecessors, successors, and assigns, from any and all claims, demands, actions and causes of action of whatsoever nature or character, whether in contract or in tort, known or unknown, which arise out of relate to the Plant and Spillway (reserving, however, any obligation with respect to the Plant and Spillway set forth in or contemplated by this Northlake Agreement). b. In consideration of the mutual promises and covenants herein contained, Billingsley, with the intention of binding its affiliates, predecessors, successors and assigns, does hereby expressly release, acquit and forever discharge City, together with its manager, staff members, attorneys, successors, and assigns, from any and all claims, demands, actions and causes of action of whatsoever nature or character, whether in contract or in tort, known or unknown, which arise out of relate to the Plant and Spillway (reserving, however, any obligation with respect to the Plant and Spillway set forth in or contemplated by this Northlake Agreement). 3. Remainder Right of First Refusal. Contemporaneously with its purchase of the Remainder, City shall grant to Billingsley a right of first refusal to acquire any one or more of the tracts that comprise the Remainder, in accordance with the terms described on Schedule 2 (Reserved Right of First Refusal). Such rights shall be identical to the rights of first refusal provided for in the Original Contract with respect to properties previously conveyed to City pursuant to the Original Contract. 4. Interim Utility Arrangements. As additional consideration for Billingsley's agreement to impose the Unit Cap, Coppell previously covenanted and agreed to deliver certain interim utility services to the Cypress Waters Project. Coppell and Billingsley hereby reaffirm such agreement, which is restated in its entirety below: a. Interim Water Service: Coppell has an existing 16" water line located along Dividend Drive connecting to an existing 21" water line in Belt Line Road, which has a current Peak Hour capacity of 3.6 MGD with minimum pressure of 40 psi at a maximum service elevation of 520', 2.0 MGD with minimum pressure of 40 psi at a maximum service elevation of 530', and 0.75 MGD with minimum pressure of 40 psi at a maximum service elevation of 550'. Through an interlocal agreement between the City of Dallas and Coppell, initial water service to Billingsley and its affiliates involved in the Cypress Waters Project (collectively, the "Billingsley Group") will be made available by Coppell from this line for first phase construction purposes only, with the point of connection to be at a mutually agreeable location. The Billingsley Group shall be allowed to utilize this water service (at the standard rates charged to residents of Coppell) until first phase development is complete and ready for occupancy, when Billingsley affiliates will cause the City of Dallas water service system to be placed in service. Upon completion of the first phase development, the water main connection from the Cypress Waters Project to this line shall remain as an inter-local connection between Coppell and the City of Dallas for emergency use. In the event Coppell subsequently reasonably determines that the available capacity in such line is required for one or more new major commercial developments with the Coppell city limits, then Coppell shall have the right, upon not less than 6 months prior written notice to the Billingsley Group, to require the Billingsley Group to cease using such line for interim construction water and to obtain such construction water from other sources. Notwithstanding the foregoing, Coppell agrees to keep the Billingsley Group reasonably apprised of any such potential new major commercial developments which may require such capacity and to provide the Billingsley Group with as much advance notice thereof as is reasonably possible (but in no event less than six (6) months prior written notice as aforesaid). b. Future Interlocal Connections: Coppell will cooperate reasonably with the City of Dallas and the Billingsley Group regarding any future inter-local emergency connections that may be needed north of the lake following completion of additional project infrastructure design and planning. c. Interim Sanitary Sewer Service: City has 1.8 MGD capacity available within an existing 15" sanitary sewer line along Belt Line Road. Through an interlocal agreement between the City of Dallas and City of Coppell, this line will be used to accommodate the initial phases of the Cypress Waters Project, with the construction of an on-site lift-station (perhaps temporary) and force main, connecting at a point on Belt Line Road at Lakeshore or at another mutually agreeable location. Construction of the City of Dallas sanitary sewer infrastructure will be based on the following: 1. When City notifies the Billingsley Group in writing that the measured sanitary sewer flow from the Billingsley Group's Cypress Waters Project equals or exceeds 1.35 MGD - the Billingsley Group will begin planning (Preliminary Engineering) and design (Permit Drawings) for a City of Dallas system of permanent on-site lift-station and force main to serve the Billingsley Group's Cypress Waters Project which will be connected to a City 30" sewer main located north of Belt Line Road. . . 11. When City notifies the Billingsley Group in writing that the measured sanitary sewer flow from the Billingsley Group's Cypress Waters Project equals or exceeds 1.68 MGD - the Billingsley Group will begin construction of a City of Dallas system of permanent on-site lift station and force A~IENDED AND RESI-ATED NORTHLAKE AGREEMENT PACE 5 main to serve the Billingsley Group's Cypress Waters Project which will be connected to a City 30" sewer main located north of Belt Line Road. . . . 111. When City notifies the Billingsley Group in writing that the measured sanitary sewer flow in the above referenced 30" sewer main reaches 80% of its capacity - the Billingsley Group will initiate planning and design of an extension of the City of Dallas force main to serve the Billingsley Group's Cypress Waters Project which will be connected to a TRA point of delivery near Bush Turnpike and Belt Line Road, including the rehab of an existing 33" line for a portion of the route. Construction of this line and/or improvement will be initiated so as to complete construction prior to the flow in the City 30" line reaching capacity. iv. When City notifies the Billingsley Group in writing that the measured sanitary sewer flow in the above referenced 30" sewer main has reached 100% of its capacity - (a) the Billingsley Group will not commence any new development which requires sanitary sewer service through such sewer main (unless such development has an alternate sewer service which will be fully available for such development when such sewer service is required), and (b) if requested by City in such written notice, the Billingsley Group will, within six (6) months after receipt of such notice, obtain alternate sewer service for any portion of the Billingsley Group's then existing Cypress Waters Project which is utilizing such City sewer main for sewer service, as may be specified by City in such notice. 5. Covenants Relating to Future Zoning Applications. Contemporaneously with its purchase of the Remainder, City shall impose the following covenants and restrictions on the Remainder to run with title of the Remainder, consistent with covenants and restrictions accepted by the City with respect to properties previously conveyed to City pursuant to the Original Contract: In consideration of the execution, delivery, and performance of that one certain Amended and Restated Northlake Agreement, City of Coppell covenants and agrees on behalf of itself and its successors and assigns, for the benefit of the Billingsley Group and their respective successors and assigns, not to oppose or support the opposition of zoning on any tract of land owned by Cypress Waters Land A, Ltd., or a party affiliated with Cypress Waters Land A, Ltd. (collectively, the "Cypress Waters Affiliates"), lying within the bounds of Interstate Highway 635 (to the south), Beltline Road (to the west and north) and the easternmost boundary line of the Transmission Easement containing 15 1.5 19 net acres set forth on Exhibit D of the Special Warranty Deed recorded in Volume 2001248, page 11540 of the Real Property Records of Dallas AMENDED AND RES'I'AI-ED NORTHLAKE AGREEME~T PAGE 6 County, Texas (to the east), in any action or proceeding before the Planning and Zoning Commission or City Council of Dallas, Irving, or City which does not breach Cypress Waters Affiliates' contractual obligations under that one certain Settlement Agreement (the "Settlement Agreement") dated October 2, 2008, by and among City of Coppell, Coppell Independent School District, CB Parkway Business Center VI, Ltd. and Trammel1 Crow Company No. 43, Ltd., or any documentation contemplated by such Settlement Agreement, so long as such application does not propose heavy manufacturing, industrial uses, sexually oriented businesses, or a retail store, which store will recognize substantially all its revenues from retail alcohol sales. In determining a party's affiliation hereunder, "affiliation" with Cypress Waters Land A, Ltd. shall be determined by ownership of the affiliated party, and any partnership, limited liability company, corporation, or other legal entity at least twenty five percent (25%) of which is owned by Lucy Billingsley, Henry Billingsley, or trusts formed for the benefit of Lucy Billingsley, Henry Billingsley, or one or more lineal descendants of Lucy or Henry Billingsley shall be deemed to be affiliated with Cypress Waters Land A, Ltd. for purposes of this covenant. The Remainder shall not be developed or used for residential use of any kind until (I) expiration of the Repurchase Period, as expressly provided in Schedule 3 to this Agreement, if no repurchase shall occur as allowed pursuant to Schedule 3 to this Agreement, or (2) Billingsley's repurchase of the Remainder (or a tract within the Remainder, in which case such use restriction shall thereafter be null and void as to such tract), as more particularly provided in Schedule 3 to this Agreement. For purposes of this use restriction, "residential use" shall mean any land use treated as residential pursuant to applicable provisions of the City of Dallas Code of Ordinances, as amended from time to time. 6. Lake Planning. a. Agreement to Lower Lake Elevation on a Permanent Basis. City hereby agrees to cause the lowering of the Lake spillway, subject to the terms of this Agreement, to an elevation of 485 feet above mean sea level, expected to produce an approximately 362 net acre lake surface area. It is expected that the corresponding reduction of the Lake surface area will yield a final pool shape similar to that shown on Exhibit "C" for the Storage Tract and Shallows Tracts boundaries, subject to reconfiguration by the City and Billingsley as permitted by this IUorthlake Agreement. City or other appropriate governmental authorities shall be responsible for any permitting specifically required to effect the modification of the dam or spillway impounding the waters of the Lake and for AMENDED AND RESTATED NOR IHL.AKE AGREEhlENT PAGE 7 the design and construction of the dam or spillway modifications, without cost to Billingsley. Water will then be discharged to maintain a Lake surface area in accordance with this Section 6. It is specifically provided that any costs relating to realignment of the Lake shoreline as provided in Subsection c. below shall be the sole responsibility of the party with property owned adjacent to the project area which is landscaped or otherwise improved. b. Water Rights; Lake Surface. Subject to City of Dallas agreement, City will enter into a raw water purchase agreement, and apply for the modification of the Certificate of Adjudication as appropriate for City's planned usage of the Lake water, to the extent City's use requires such modification. Evaporation shall occur at the reconfigured Lake and City and Billingsley mutually recognize the importance of maintaining a constant surface area and storage volume for their respective planned utilization of the Lake. City shall be responsible for maintaining the surface area of the Lake at a constant 362 net acres (+I%) by replenishing its waters as required. City's covenant obligations with respect to maintenance of Lake water elevation shall be contingent upon the consent of the City of Dallas to the assignment of the Water Purchase Agreement, and maintaining in the future a source of purchase for untreated water for use in replenishment. c. Shorelines. While the shoreline configuration resulting after lowering of the Spillway is expected to conform generally with the boundaries shown on Exhibit "Dm to this Northlake Agreement, the inherent uncertainties in the lake-bottom topography may result in a slightly different shoreline configuration. Following reclamation of the Shallows Tracts, each of City and Billingsley shall have the option to realign the shorelines of the Lake owned by each within the Lake bed and shoreline properties owned by each, constructing inlets, peninsulas, varying the depth of near-shoreline lake bed, and performing other modifications to improve functionality and aesthetic appeal, as they may periodically elect, provided the aggregate storage volume of the Lake is not materially reduced by such realignment(s) and the 362 net acre lake surface area is not permanently affected. Realignment may entail (without implied limitation) dredging, filling, and reconstruction of Lake bed and shoreline, and each party agrees to cooperate, in good faith, with the other in any permit applications or certificate amendments required in order to effect such realignment(s). All such permit applications will be the responsibility of the party seeking to realign the shoreline, and shall be at the sole cost and expense of such party. If either party elects to realign shoreline as permitted herein, it will provide the other party upon request with information, plans, drawings, and specifications relating to the planned realignment. AMENDED ASD RESTATED NOK~HLAKE AGREERIENT d. Shoreline Exchange. In the event that master-planning of the Cypress Waters Project for a residential community contemplated by Billingsley calls for an adjustment of the common boundary lines between the Storage Tracts and Shallows Tracts, for the purpose of realigning property boundaries with a realigned shoreline, or bringing inundated portions of the lake bed under City ownership, Billingsley and City will cooperate in effecting an exchange of properties (the "Shoreline Exchange") adjoining the realigned shoreline, so long as the Shoreline Exchange would result in an acre-for-acre exchange of owned properties between Billingsley and City and occurs (if at all) within five (5) years after the date of issuance (the "Spillway Completion Date") of the City of Dallas' Certificate of Occupancy for spillway modifications performed by City pursuant to this Agreement. If such a Shoreline Exchange is elected by Billingsley, Billingsley shall notify City and provide the survey(s) necessary to confirm that the proposed Shoreline Exchange will be on an acre-for-acre basis, without net loss of acreage by the City. Special warranty deeds effecting such Shoreline Exchange shall be delivered simultaneously by City and Billingsley no later than ninety (90) days after Billingsley's notice of the proposed exchange, and title to the exchanged properties shall be conveyed free of all debts, liens, and encumbrances, but subject to other matters of record. The parties agree to amend the Unit Cap to conform its boundaries to the boundaries of the property to be owned by Billingsley affiliates (after the Shoreline Exchange). Billingsley's right to call for a Shoreline Exchange shall be null and void after expiration of the five (5) year period following the Spillway Completion Date. e. Cypress Waters Recreational Facilities. City and Billingsley have discussed the possibility of a hike-and-bike trail incorporating one or more public piers (the "Public Trail") and a fountain or water feature for beautification purposes (the "Water Feature")(collectively, the Public Trail and Water Feature being herein referred to as the "Cypress Waters Recreational Facilities") in the Shoreline Area and lake, respectively. The Public Trail is intended to be planned to connect to other such public trails maintained by Dallas County, City of Dallas, City of Irving, and/or City located in the vicinity of Northlake, in order to enhance public recreation opportunities in and around the City Northlake Property. The parties agree to cooperate in the investigation of and application for funding of the design and installation of the Cypress Waters Recreational Facilities, but neither City nor Billingsley presently commit to such expenditures. f. Shoreline Area Declaration. At any time after installation of a Public Trail is completed over more than one owner's property, if the District shall not accept dedication of the Shoreline Area, the upkeep, maintenance, and repair of the Shoreline Area open for public recreation shall be the responsibility of the property owner upon whose property the Public Trail is located. City and Billingsley shall negotiate in good faith a Declaration of Covenants, Conditions, and Restrictions (the "Declaration") to be recorded in the Official Public Records of Dallas County, Texas, by the fee owners of the Shoreline Area (after the Shoreline Exchange), prohibiting the construction or installation of any above- ground improvements, except the Cypress Waters Recreational Facilities contemplated in this Agreement, within the Shoreline Area, and further establishing mutually agreeable minimum standards for maintenance, landscaping, and lighting in the Shoreline Area. g. Water Storage. To the extent that either Billingsley or City shall in the future elect to drill production wells for utilization of groundwater, the parties agree to permit the storage of such water in the lake bed and withdrawal of such added water from the lake at pump stations for irrigation purposes, as more particularly provided in Section 8, below. 7. Reclamation Project Construction. City's contract to purchase the Storage Tract required that it take assignment of the Water Purchase Agreement and Certificate of Adjudication either directly from Billingsley or as Billingsley's designee under Billingsley's contract with Luminant. City will simultaneously complete the purchase of certain property adjoining the Lake, including the tracts on which the dam and spillway for the Lake are located. City agrees to complete the Reclamation Project at its sole cost, subject to the following terms and conditions: a. Plans. For the purpose of verifying compliance with the agreed specifications under the Settlement Agreement. City shall furnish Billingsley with copies of the engineering plans and permits for the Reclamation Project as the same are prepared and delivered to City. City shall also respond to Billingsley's periodic inquiries concerning project schedule and status. Billingsley agrees to cooperate with City in the execution of documents, instruments. consents, and assurances required of Billingsley, in its capacity as owner of the Shallows Tracts, in the course of City's application for permits for the Reclamation Project required under applicable law. City agrees to apply for all permits necessary for the Reclamation Project within thirty (30) days after taking title to the Remainder Tract. b. Bidding. City will submit the completed plans for the Reclamation Project for competitive bidding in accordance with Applicable Law and shall specifically require all bidders (among any other submissions City may require) to stipulate in bid submissions the maximum time period for completing the construction to which the contractor is willing to bind itself contractually. City will secure a minimum of three (3) competitive bids for the Reclamation Project. c. Commencement and Completion of Construction. City shall commence construction of the Reclamation Project within thirty (30) days after receiving its permit from the City of Dallas authorizing such construction. City shall provide Billingsley with A~IENDED AND RESTATED NORTHLAKE AGREEMENT PACE 10 a minimum of fifteen (15) days' prior written notice of construction commencement. The construction period stipulated by the bidder selected by City for the Reclamation Project is herein referred to as the "Completion Period." The City shall complete the Reclamation Project within the Completion Period, subject to events or conditions such as inclement weather preventing construction, labor disputes, acts of God, or shortages of critical materials beyond the reasonable control of City. d. Temporary Construction Easements. Upon request, Billingsley shall execute and deliver to City's contractor(s) a temporary construction easement providing City and its contractors, without fee or charge, temporary access and construction easements over, across, through and on the Shallows Tracts to the extent necessary, in City's reasonable discretion, to facilitate the Reclamation Project. e. Completion Certificate. Throughout the progress of the Reclamation Project, City shall diligently and continuously prosecute construction to completion in accordance with applicable law and the terms of this Agreement. Billingsley and City agree that the Reclamation Project will be deemed complete at such time as City obtains and delivers to Billingsley the Certificate of Occupancy issued by the City of Dallas or other applicable governmental authority and the drainage of the Lake contemplated herein shall be occurred. f. City's Failure to Complete Construction. If City does not timely complete construction of the Reclamation Project as contemplated in this Section, upon a minimum of sixty (60) days' prior written notice (the "Notice") to the City, Billingsley may elect (the "Election") effective as of the sixtieth day after Billingsley's Notice to undertake completion of construction of the Reclamation Project (following City's failure to complete construction thereof on or before the Required Completion Date), subject to the following terms: 1. The City agrees that if Billingsley elects to complete the Project or any portion thereof in accordance with the provisions of this Section 7, effective the date of the Election, City shall assign to Billingsley its engineering, supply, and constructions contracts (collectively, the "Project Contracts") pertaining to the Reclamation Project as well as the drawings, plans, and specifications therefor (on a nonexclusive basis authorizing Billingsley to utilize such plans in completing the portion of the Project assumed by Billingsley), and any and all applicable permits, licenses, easements and other rights owned or held by City and necessary to complete that portion of the Project assumed by City (on a nonexclusive basis authorizing Billingsley to utilize such permits, licenses, easements and other rights in completing the portion of the Project assumed by Billingsley). AMENDED AND RESTATED NORTHLAKE AGREEMEST PACE 1 I . . 11. If at the time of the Election a contractor is not in default under the its Project Contract, City shall indemnify Billingsley against all loss, costs, damage, and expense incurred under the Project Contract prior to the date of Billingsley's assumption thereof, and Billingsley shall assume the Owner's obligations under the Project Contract effective as of the date of the Election. Billingsley shall indemnify City against all loss, costs, damage, and expense incurred under the Project Contract from and after the date of Billingsley's assumption thereof. . . . 111. If at the time of the Election a contractor is in default under a Project Contract, City shall indemnify Billingsley against all loss, costs, damage, and expense incurred under the Project Contract prior to the date of Billingsley's Election, and Billingsley shall have no obligation or duty to assume such Project Contract. iv. To the full extent allowed by applicable law, City hereby agrees to indemnify and hold Billingsley harmless from and against all out-of-pocket costs incurred by Billingsley in completing construction of the Reclamation Project in accordance with this Northlake Agreement and applicable law. 8. Lake Water Use. Raw water shall be available for use by the Billingsley for irrigation and water feature recharge purposes through one or two metered pumps, to be operated and maintained by Billingsley, at points of withdrawal to be located on the north and south shores of the lake, with the cost of said water to be the same as the City is charged by the City of Dallas Water Utilities (inclusive of wheeling charges, if any) to maintain the lake level as required in subsection 5b. The maximum withdrawal shall be 1250 acre feet per year. Permitting or amendments required in connection with such water utilization shall be Billingsley's responsibility. In order to drain the Cypress Waters Project, City shall permit, by public drainage easements, storm sewers, and storm water drainage, drainage of surface waters and storm sewer conveyances into the Lake, as well as pump station easements for irrigation pumps located in one or more locations mutually agreeable to City and Billingsley designed to provide for the efficient supply of irrigation water to the installed irrigation systems. 9. Future Shallows Tracts Dedications. If Billingsley decides, on or before January 1, 2058, to dedicate land out of the inundated portions of the Shallows Section, if any, on a permanent basis as lake use (excluding, however, any dedication for street or other rights-of- way), City will have a right of first refusal to purchase such portions of the Shallows Tracts at fair market value, to be determined by the procedure set forth in Section 10 of this Agreement, by the same procedure as Billingsley's Right of First Refusal set forth in Section 5, above. 10. Market Value Determinations. For all purposes under this Agreement, fair market value shall be determined by an appraiser appointed by each of the Billingsley and City, if the two appraisers shall agree; by the average of the two appraisers' valuations, if neither differs by more than 10% from the average of the two valuations; or by a third appraiser, selected by mutual agreement of the two appointed appraisers, by the third appraiser's selection of one of the two appointed appraisers' valuations. All appraisers shall be MA1 designated with a minimum of 10 years' experience in valuing area commercial land. 11. Cooperation in Reclamation Project and Shoreline Realignment. Billingsley agrees to cooperate to the fullest extent possible in order to facilitate the performance of the Reclamation Project, including, but not limited to, providing to City any information reasonably requested by or on behalf of City, attending meetings with representatives of appropriate governmental authorities, executing documents and agreements which may arise out of or pertain to this Agreement and/or the performance of City's obligations hereunder (including, but not limited to, access agreements, easements, dedication agreements and public easements which do not impair development of the Project property), obtaining agreements from holders of any liens and/or security interests against the Shallows Tracts, subordinating such liens and/or security interests to the covenants contained in this Agreement. Billingsley covenants and agrees not to interfere with or otherwise impair the progress of the Reclamation Project. 12. Indemnity for Project-related Damage. To the full extent allowed by applicable law, City shall indemnilj, and hold Billingsley harmless from and against all liens, loss, costs, damage, or claims (including reasonable attorney's fees) asserted against or suffered or incurred by Billingsley resulting from personal injury or property damage arising out of the City's execution of the Reclamation Project, except for such liens, loss, costs, damages, or claims caused by Billingsley's negligence or willful misconduct. 13. Certain Easements. Each of Billingsley and City shall cooperate with the other in recording in the Official Public Records of Dallas County, Texas such grants of such temporary construction easements as may be requested by the other for the purposes described in this Northlake Agreement. a. Temporary Construction Easement for Shoreline Realignments. Pending con~pletion of the shoreline property exchange(s) described in Section 6(d), City and Billingsley agree that each is granted a temporary construction easement over the property of each in the Shoreline Area, to permit the shoreline realignments referred to in Section 6(c), for the duration of such realignment activity. b. Public Trail Easements. Pending funding, design, and installation of the Cypress Waters Recreational Facilities, City agrees that it will negotiate in good faith for the grant to Billingsley, and Billingsley will negotiate in good faith for the grant to City, of reciprocal easements (the "Reciprocal Easements") over their respective portions of the Shoreline Area and lake bed, for use for the Public Trail, to be located more precisely within the Shoreline Area in accordance with the plans and specifications to be prepared in the future and mutually approved by City and Billingsley (to the extent such plans contemplate in~provements to property owned by each party). At such time as such plans AR~ESDED AND RESTATED NORTHLAKE AGREEMENT PAGE 13 are approved, City and Billingsley agree to cooperate, in good faith, in documenting and recording in the Official Public Records of Dallas County, Texas, the Reciprocal Easements within the boundaries determined by such plans, or to effect dedication of such easements to the Cypress Waters Municipal Management District (the "District") should the District agree to accept dedication. c. Pier and Water Feature Easements. In conceptual plans for the shoreline design, Billingsley is considering the enhancement of the shoreline by installing pedestrian piers and/or walkways over water, extending from the shoreline owned by Billingsley affiliates, which might extend onto portions of the lake bed owned by City. Acknowledging the negligible market value of the lake bed and lake surface for these purposes, subject to compliance with applicable codes, ordinances, rules, and regulations and liability limitations consistent with City's protections in comparable circumstances, City will negotiate in good faith for the grant to Billingsley of an easement over the lake bed owned by City for the construction, support, operation, and maintenance of such public pedestrian piers and Water Feature, in consideration of the public interest in enhancing recreation opportunities. 14. Covenant Not to Construct or Expand Transmission Facilities. On September 24, 1969, Luminant's and Oncor's predecessor, Dallas Power & Light Company ("DPL"), entered into that one certain License Agreement (the "License Agreement"), granting a license to A.H. Belo Corporation and Carter Publications Incorporated to utilize certain property now owned by Billingsley affiliates adjacent to property owned by City (the "Licensed Premises") for construction and operation of broadcast equipment and reserving to DPL the rights, subject to certain contractual limitations, to (a) "construct, reconstruct, maintain and operate, on the licensed premises, any and all electric power transmission lines, electric power substations, telephone lines, gas lines, oil lines, water lines, or any other facilities which it may deem necessary or desirable in the conduct of its business" and (b) grant easements or licenses to construct "any improvement or facility of any type." On November 21, 2008, Luminant assigned to Crow-Billingsley Investment Con~pany its interest in the License Agreement pursuant to that one certain Amendment to License Agreement with Luminant and KLIF Broadcasting Inc. (the successor licensee). Crow-Billingsley Investment Company hereby covenants and agrees, for City's benefit, not to exercise any right granted to the licensor under the License Agreement (or permit any Billingsley affiliate to exercise any such right) to install additional electrical transmission lines, substations, or distribution facilities, or any appurtenances to such facilities (other than service lines for buildings constructed on the Licensed Premises), or grant any easement for the purpose of authorizing or permitting the construction of any such additional facilities on or over the Licensed Premises. 15. References. All references to Article, Articles, Section, or Sections contained herein are, unless specifically indicated otherwise, references to Articles and Sections of this Agreement. AhlENDED AND RESTATED NORTHLAKE AGREEXlEN'I 16. Captions. The for convenience only and do conditions of this Agreement. captions, headings, and arrangements used in this Agreement are not in any way affect, limit, amplify, or modify the terms and 17. Number and Gender of Words. Whenever herein the singular number is used, the same shall include the plural where appropriate, and words of any gender shall include each other gender where appropriate. 18. Notices. Any notice, consent, approval, request, demand, or payment required or permitted to be given or made between the parties to this Agreement (collectively called "Notices") must be in writing to be effective. Any Notice that is addressed to the party for whom it is intended at its address specified for the receipt of Notices (which is currently the address set forth below) will be deemed to have been given or made upon actual receipt after it is deposited in the United States mail, postage prepaid, certified, return receipt requested. Any party may change its address for the receipt of Notices by Notice in accordance with this Section. Notices given otherwise than in accordance with this Section, such as by facsimile or by overnight delivery, will be effective upon receipt. The current addresses of the parties for Notices are as follows: If to City: With a copy to: If to Billingsley: City of Coppell 255 Parkway Boulevard Coppell, Texas 750 19 Attention: City Manager Telephone: (972) 304-36 1 8 Fax: (972) 304-3673 Robert Hager Nichols Jackson Dillard Hager & Smith 500 North Akard, Suite 1800 Dallas, Texas 75201 Telephone: (2 14) 965-9900 Fax: (214) 965-0010 Cypress Waters Land A, Ltd. 1722 Routh Street, Suite 13 13 Dallas, TX 75201 Attention: Tatiana Bell Telephone: (2 14) 820-0949 Fax: (214) 270- 0992 With a copy to: Carrington Coleman Sloman and Blumenthal, L.L.P. 901 Main Street, Suite 5500 Dallas, Texas 75202 AMENDED AND RESTATED NORTIII,AKE AGREEMENT Attention: Charles C. Jordan Telephone: (214) 855-302 1 Fax: (214) 758-3721 19. Governing Law; Venue. This Agreement is being executed and delivered, and is intended to be performed, in the State of Texas, and the laws of such State shall govern the validity, construction, enforcement, and interpretation of this Agreement, unless otherwise specified herein. The parties agree that exclusive venue for any action brought for breach of this Agreement shall lie in Dallas County, Texas. 20. Multiple Counterparts. This Agreement may be executed in any number of identical counterparts. If so executed, each of such counterparts is to be deemed an original for all purposes, and all such counterparts shall, collectively, constitute one agreement, but, in making proof of this Agreement, it shall not be necessary to produce or account for more than one such counterpart. 2 1. Parties Bound. This Agreement shall be binding upon, and inure to the benefit of, Billingsley and City, and their respective heirs, personal representatives, successors, and assigns. 22. Further Acts. In addition to the acts and deeds recited herein and contemplated to be performed, executed, and/or delivered by Billingsley or City, Billingsley and City agree to perform, execute, and/or deliver or cause to be performed, executed, and/or delivered at the Closing or after the Closing any and all such further acts, deeds, and assurances as may be necessary to consummate the transactions contemplated hereby. 23. Time of the Essence. It is expressly agreed by the parties hereto that time is of the essence with respect to this Agreement. 24. Dates. Each date upon which an event is to occur or a period of time is to expire in accordance with the terms of this Agreement will automatically be postponed and extended to the next Business Day if it falls on a Non-Business Day, and any time periods that are defined terms in this Agreement will be automatically extended, and their definitions will include such extensions, in accordance with this Section. A "Business Day" is a day upon which national banks in Dallas, Texas, are open for banking business, and a "Non-Business Day" is a day upon which national banks in Dallas, Texas, are not open for banking business. 25. Attorneys' Fees. In the event it becomes necessary for either party hereto to file suit to enforce this Agreement or any provision contained herein, the party prevailing in such suit shall be entitled to recover, in addition to all other remedies or damages, reasonable attorneys' fees incurred in such suit. 26. Entire Agreement, Amendment. This Agreement, together with all exhibits hereto and documents referred to herein, if any, constitutes the entire arrangements and understandings among the parties hereto. This Agreement may not be amended, modified, AMENDED AND RESTATED NORTHLAKE AGREEMENT PAGE 16 changed or supplemented, nor may any obligations hereunder be waived except by a writing signed by the party to be charged or by its agent duly authorized in writing or as otherwise permitted herein. 27. Severabilit~. Whenever possible, each provision of this Agreement and every related document shall be interpreted in such manner as to be valid under applicable law; but, if any provision of any of the foregoing shall be invalid or prohibited under said applicable law, such provision shall be ineffective to the extent of such invalidity or prohibition without invalidating the remainder of such provision or the remaining provisions of this Agreement. 28. Waiver. No claim of waiver, consent, or acquiescence with respect to any provision of this Agreement shall be made against any party hereto except on the basis of a written instrument executed by or on behalf of such party. However, the party for whose unilateral benefit a condition is herein inserted shall have the right to waive such condition. 29. Assignment. Except as expressly permitted by this Section, neither party may assign this Agreement without the prior written consent of the other party, which may be given or withheld in the non-assigning party's sole and absolute discretion. Any such prohibited assignment shall be void. Notwithstanding the foregoing prohibition, either party may assign this Agreement without the other party's consent to an Affiliate of the assigning parly. Subject to the foregoing, this Agreement shall be binding upon and inure to the benefit of the respective legal representatives, successors, assigns, heirs, and devisees of the parties. For the purposes of this Section, the term Affiliate means (a) an entity that directly or indirectly controls, is controlled by or is under common control with a party or (b) an entity at least a majority of whose economic interest is owned by a party or which owns a party; and the term control means the power to direct the management of such entity through voting rights, ownership or contractual obligations. 30. Disclaimer of Third Party Benefit. This Agreement is not intended to give or confer any benefits, rights, privileges, claims, actions or remedies to any person or entity as a third party beneficiary, decree, or otherwise. 31. Reciprocal Releases. The following releases were contained in the Settlement Agreement, and City and Billingsley hereby express their mutual intention to ratify and confirm such releases (to the extent of the binding effect thereof on a party to this Northlake Agreement), notwithstanding any term or provision of this Northlake Agreement to the contrary. (To the extent that the Settlement Agreement governed legal and/or contractual relations between Billingsley affiliates and the Coppell Independent School District, which was also a party to the Settlement Agreement, Billingsley herby confirms its intention to preserve and ratify such legal and/or contractual relations without amendment of any kind.) a. Release of Governmental Authorities. In consideration of the foregoing, Developer, Trammel1 Crow Company No. 43, Ltd. and CB Parkway Business Center VI, A~IENDED ARD RESTATED NORTHLAKE AGREEMENT Ltd., with the intention of binding such parties' respective affiliates, partners, managers, directors, predecessors, successors, and assigns, RELEASES, ACQUITS and DISCHARGES City of Coppell and Coppell Independent School District, together with their respective governing bodies, present and former trustees, present and former Council members, directors, managers, superintendents, staff members, attorneys, successors and assigns, from each and every claim, damage or injury, including, but not limited to debts, interest, and attorneys fees, and causes of action of every nature whatsoever, whether asserted or not, whether known or unknown, which exist as of or prior to the date of the execution of this Agreement, directly or indirectly related to any complaints comprising the Pending Litigation, or complaints which could have been made known to any of the parties by another party, arising out of any dealings, acts or inactions between and/or among the parties, SAVE AND EXCEPT the liabilities and obligations of the parties created under this Agreement or the collateral settlement documents executed contemporaneously herewith or contemplated hereby. b. Release of Developer. In consideration of the foregoing, City of Coppell and Coppell Independent School District, together with their respective governing bodies, trustees, Council members, directors, managers, superintendents, staff members, attorneys, successors and assigns, RELEASES, ACQUITS and DISCHARGES Developer, Trammel1 Crow Company No. 43, Ltd. and CB Parkway Business Center VI, Ltd., and such parties' respective affiliates, present and former partners, managers, directors, predecessors, successors, and assigns, from each and every claim, damage or injury, including, but not limited to debts, interest, and attorneys fees, and causes of action of every nature whatsoever, whether asserted or not, whether known or unknown, which exist as of or prior to the date of the execution of this Agreement, directly or indirectly related to any complaints comprising the Pending Litigation, or complaints which could have been made known to any of the parties by another party, arising out of any dealings, acts or inactions between and/or among the parties, SAVE AlVD EXCEPT the liabilities and obligations of the parties created under this Agreement or the collateral settlement documents executed contemporaneously herewith or contemplated hereby. Each capitalized term in this Section 31 shall have the meaning assigned in the Settlement Agreement. 32. List of Exhibits. All references to Exhibits contained herein are references to exhibits attached hereto, all of which are made a part hereof for all purposes. The following is a list of exhibits for convenience only: a. Exhibit "A": Remainder Property Description b. Exhibit "B": Revised Oncor Easement c. Exhibit "C": Projected Lake Pool and Shoreline Area Description AhlENDED AND RESI'A'I CD NORTHLAKE AGREEMENT d. Schedule 1 : Luminant-City Contract e. Schedule 2: Remainder Right of First Refusal [conforming to prior right of first refusal] 33. Effective Date. The effective date of this Northlake Agreement (the "Effective Date") shall be the date that a fully executed original is delivered by the last party to execute it. IN WITNESS WHEREOF, the parties have executed this Northlake Agreement effective as of the Effective Date. [Signature Pages Follow] AhlENDED AND RESTATED NORTHLAKE ACKEEI~IEST BILLINGSLEY: Cypress Waters Land A, Ltd., a Texas limited partnership By: Billingsley 380 North GP, LLC, a Texas limited liability company, Its General Partner By: , Manager Date: ,2013 TRAMMELL CROW COMPANY NO. 43 LTD. CB PARKWAY BUSINESS CENTER VI, LTD. [OTHER BILLINGSLEY PARTIES?] AMENDED AND RESTATED NOR'II-~LAKE AGREEMENT CITY: CITY OF COPPELL, a Texas home rule municipality By: Clay Phillips, City Manager Date: ,2013 ATTEST: City Secretary APPROVED AS TO FORM AND CONTENT: City Attorney EXHIBIT "A" Remainder Property Description A~IE~DED AND RESTATED NORTCILAKE AGREEVENT EXHIBIT A-1 DAM PROPERTY Tract I BEING a 39.638 acre tract of land situated in the G. Hendricks Survey, Abstract No. 630, the J.G. Carlock Survey, Abstract No. 312 and the Francis Jones Survey, Abstract No. 674 in Dallas County, Texas, and being a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), and a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4420, Page 549 D.R.D.C.T. Said 39.638 acre tract being more particularly described by metes and bounds as follows: BEGiNNlNG at a 314 inch iron rod found (N=7,031,066.82, E=2,438,553.41) at the northwest corner of the Grand Estates at Northlake Hills Phase 11, recorded in Volun~e 2005041, Page 185 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) and in the south line of a tract of land dcscribed in deed to Crow-Billingslcy Belt Line, LTD., recorded in Volume 86068, Page 5186 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.) from which a 314" iron rod found capped "PEWITT" bears S 32"30157" W, a distance of 0.78 feet; TIIENCE: S 00" 22' 55" E, with the West line of said Grand Estates at Northlake Hills Phase 11, a distance of 1102.51 feet to a 518 inch iron rod with Aluminum Cap stamped "'Frontier Surveying Company - RPLS 5991" set for the southeast corner of this tract and the northeast corncr of a tract of land described as "East Tract IB" in deed to the City of Coppell, recorded in Document No. 20080370218 O.P.R.D.C.T.; THENCE: WEST, with the north line of said City of Coppell tract, a distance of 734.96 feet to a point on the meander line of the easterly shoreline of North Lake established at an elevation of 509.00 feet and the common northwest corner of said City of Coppell tract; THENCE: in a northerly direction, along said established 509.00 foot elevation meander line, the following courses and distances listed as follows for reference purposes only; N 26'13'37" W, a distance of 1853.70 feet to a point for corner; N 75'06'50" W, a distance of 32.32 feet to a point for corner; N 20°52'39" E, a distance of 46.22 feet to a point for corner; S 77'50'52" W. a distance of 61.00 feet to a point for corner; N 22O55'50" W, a distance of 39.04 feet to a point for corner; N 53O58'22" E, a distance of 3 1.3 1 feet to a point for corner; N 16'22'22" E a distance of 24.51 feet to a point for corner; N 26'38'33" W, a distance of 87.99 feet to a point for corner; THENCE: EAST over and across said Dallas Power & Light Company, tract, a distance of 868.99 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set in the west line of a tract of land described as "Tract 4", in deed to Crow-Billingsley North Lake HB&T Joint Venture, recorded in Volume 90106, Page 2492 D.R.D.C.T. from which a 112 inch iron rod found capped "RPLS6013TX0 bears N 00°34'01" W, a distance of 75.72 feet; THENCE: S 00°34'01" E. with the West line of said Crow-BilIingsley North Lake HB&T Joint Venture Tract and the west line of a tract of land described in deed to Trammel Crow Company No. 43 Et al, recorded in Document Purchase and Sale Agreement - North Lake 1505488v.17 EFH100152002 No. 20070001189 O.P.R.D.C.T., and passing a chain link fence corner post at the south corner of said Crow- Billingsley North Lake HBKT Joint Venture 'Tract and the common northwcst corner of said Trammel Crow Company No. 43 Et al tract at a distance of 69.38 feet and continuing with the west line of said Trammel Crow Company No. 43 Et al tract, a total distance of 169.15 fcet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for corner from which a chain link fence post found bears N 83" 16'45" W, a distance of 2.93 feet; THENCE: S 30" 26' 32" E, continuing with the West line of said Trammel Crow Company No. 43 Et al tract, a distance of 678.19 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set at the southwest corner of said Trammel Crow Company No. 43 Et al tract from which a chain link fence post bears S 39'51'52" E, a distance of 1.33 feet; THENCE: S 89" 46' 16" E, with the south line of said Trammel Crow Company No. 43 Et al tract and the south line of said Crow-Billingsley Belt Line, LTD. tract, passing a 3/8 inch iron rod found at the southeast corner of said Trammel Crow Company No. 43 Et al tract and the common southwest corner of said Crow-Billingsley Belt Line, LTD. tract at a distance of 201.3 1 feet, and continuing with the south line of said Crow-Billingsley Belt Line, LTD. tract a total distance of 429.36 feet to the POlNT OF BEGINNING and containing 39.638 acres of land more or less. Tract 2 BElNG a 16.014 acre tract of land situated in the Francis Jones Survey, Abstract No. 674, in Dallas County, Texas, and being a portion of a called 490.6 acre tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.) and being more particularly described by metes and bounds as follows: BEGINNING at a 518 inch iron rod with aluminum cap stamped "FRONTIER SURVEYING COMPANY - RPLS 5991" set (N = 7,028,735.94, E = 2,438,568.69) at the southwest corner of a tract of land described as "EAST TRACT IB" in deed to the City of Coppell, recorded in Document No. 20080370218 Official Public Records Dallas County, Texas (O.P.R.D.C.T.) and in the west line of the Final Plat of The Hollows of Valley Ranch Section Four, recorded in Volume 95012, Page 6285 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) from which a 314 inch iron rod found at the northwest corner of the Final Plat of Grand Estates At Northlake Hills Phase 11, recorded in Volume 2005041, Page 185, P.R.D.C.T. bears N 00~22'32" W, a distance of 2330.92 feet; THENCE: S 00°21' 19" E, with the west line of said Hollows of Valley Ranch Section Four and the west line of The Final Plat of the Hollows of Valley Ranch, Amended, Section Two, Recorded in Volume 94067, Page 7887, P.R.D.C.T., a distance of 947.44 feet to a point at the southwest corner of said Hollows of Valley Ranch, Amended, Section Two and the common northwest corner of The Amended Final Plat of Valley Ranch, Phase IV, 6th Installment, recorded in Volume 94197, Page 2086, P.R.D.C.T. from which a 112 inch iron rod found bears N 45O52'59" E, a distance of l .OO foot; THENCE: S 00" 21' 7" E: with the West line of said Valley Ranch Phase 1v-6~~ Installment, a distance of 256.81 feet to a 112 inch iron rod found at the northeast corner of a tract of land conveyed to C W Shoreline Land, LTD., recorded in Document No. 20 1200024638 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.): THENCE: West, with the North line of said C W Shoreline Land, LTD. tract, a distance of 384.77 feet to a point on the meander line of the easterly shoreline of North Lake established at an elevation of 509.00 feet; THENCE: in a northerly direction, along said established 509.00 foot elcvation meander line, the following courses and distances for listed for reference purposes only; N 08" 40' 03" W, a distance of 26.24 fcet to a point for corner; N 46" 36' 01" W, a distance of 203.92 feet to a point for corner; N 35" 50' 06" W, a distance of 164.27 feet to a point for corner; Purchase and Sale Agreement - North Lake 1505488v.17 EFH100152002 N 17" 52' 45" W, a distance of 169.59 feet to a point for corner; N 01" 14' 05" W. a distance of 183.97 feet to a point for corner; N 20" 00' 12" E, a distance of 166.36 feet to a point for corner; N 27" 09' 58" E, a distance of 453.36 feet to a point at the southwest corner of said City of Coppell tract; THENCE: East, with the South line of said City of Coppell tract, a distance of 417.73 feet to the POINT OF BEGINNING and containing 16.014 acres of land more or Icss. Purchase and Sale Agreement - North Lake 1505488v.17 EFH100/52002 EXHIBIT A-2 PUMP STATION PROPERTY That certain tract of land lying and situated in Dallas County, Texas, being a part of that certain 11.62 acre tract of land in the W. Perry Survey, Abstract No. 1152 conveyed to the City of Dallas by A.G. Kirksey, et ux, by a deed of record in Volume 540, Page 21, Deed Records of Dallas County, Texas, and more particularly described by metes and bounds as follows: BEGINNING at a point in the most westerly line of the said 1 1.62 acre tract, 89.0 feet N 0" 03' W of the extreme southwest comer thereof located in the old Dallas-Denton Road; THENCE N 0" 03' W along the most westerly line of the said 1 1.62 acre tract, a distance of 11 1.0 feet to an iron pin set in concrete; THENCE N 46" 57' E, continuing with the boundary line of the said 11.62 acre tract, a distance of 290.0 feet to a point for corner; THENCE S 43" 03' E, 40.7 feet to a point on the west bank of the Elm Fork of the Trinity River; THENCE S 14" 15' E, 64.0 feet to a point for comer; THENCE S 37"s' W, 30.0 feet to a point for comer; THENCE S 88" 25' W, 64.0 feet to a point on the west bank of the Elm Fork of the Trinity River; THENCE S 37" 05' W along the west bank of the Elnl Fork of the Trinity River, a distance of 30.0 feet to a point for comer; THENCE N 52" 55' W, a distance of 35.0 feet to a point for comer; THENCE S 46'57' W, a distance of 83.3 feet to a point for comer; THENCE S 37" 56' W, a distance of 54.9 feet to a point for comer; THENCE S 22" 50' W, a distance of 54.5 feet to a point for comer; THENCE S 16" 46' W, a distance of 40.0 feet to the place of beginning; and containing 0.397 acre of land. Purchase and Sale Agreement - North Lake 1505488~. 17 EFH100152002 EXHIBlT A-3 PAD SITE PROPERTY BEING a 2.741 acre tract of land situated in the Francis Jones Survey, Abstract Number 674, and in Official City of Dallas Block Number 8470, in the City of Dallas, Dallas County, Texas, and being a part of that tract of land described in deed to Dallas Power & Light Company, as recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), and being more particularly described as follows: COMMENCING at a 518 inch found iron rod for the common north coiner of said Dallas Power & Light Company tract and Grand Estates at Northlake Hills Phase 11, an addition to the City of Irving, Dallas County, Texas, as recorded in Volume 2005041, Page 185, of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.); THENCE South 00 degrees 23 ininutes 11 seconds East, along the east line of said Dallas Power & Light Company tract, a distance of 1,4 15.88 feet to a point for comer; THENCE South 79 degrees 48 ininutes 40 seconds West, departing said east line, a distance of 457.63 feet to a 112 inch set iron rod with yellow plastic cap stamped "HALFF ASSOC INC." (hereinafter referred to as "with cap") for the POINT OF BEGINNING of the herein described tract; THENCE South 10 degrees 11 minutes 20 seconds East, a distance of 398.00 feet to a 112 inch set iron rod with cap for corner; THENCE South 79 degrees 48 minutes 40 seconds West, a distance of 300.00 feet to a 112 inch set iron rod with cap for comer; THENCE North 10 degrees 11 ininutes 20 seconds West, a distance of 398.00 feet to a 112 inch set iron rod with cap for comer; THENCE North 79 degrees 48 min~~tes 40 seconds East, a distance of 300.00 feet to the POINT OF BEGINNING and CONTAINING 119,400 square feet or 2.741 acres of land, more or less. The Basis of Bearing of this Survey is NAD 83 (1993) Texas State Plane North Central Zone 4202 as observed by GPS from "DALLAS CORS ARP", "COLLIN CORS ARP", "ARLINGTON CORS", "DENTON CORS ARP". Coilvergence angle at "DALLAS CORS ARP" is - 03 degrees 01 minutes 49.9 seconds as computed by Corpscon for Windows Version 6.0. All coordinates shown are surface and may be converted to grid by dividing by the conversion factor of 0.99983043. Purchase and Sale Agreement - North Lake 1505488~. 17 EFH100152002 Exhibit C Plant Property The remainder of those tracts of land, owned by Seller, lying in the McKinney & Williams Survey, Abstract No. 1054 and being a portion of those tracts described in a deed to Dallas Power & Light Company recorded in Volume 4420, Page 549 and in Volume 4414, Page 82 and Volu~ne 4519, Page 62 in the Deed Records of Dallas County Texas. Purchase and Sale Agreement - North Lake 1505488v.17 EFH100152002 EXHIBIT "B" Revised Oncor Easement AMENDED AND RES~ATED NORTHLAKE AGREF,\lEN'L' Line Name: I Tract: I a Easement #: 1 WA #: EASEMENT AND RIGHT OF WAY STATE OF 'TEXAS 9 9 KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS 9 That, the City of Coppell, a Texas municipality, hereinafter called "Grantor," whether one or more, for and in consideration of Ten and no1100 Dollars ($10.00) and other valuable consideration to Grantor in hand paid by Oncor Electric Delivery Company LLC, a Delaware limited liability company, 1616 Woodall Rodgers Freeway, Dallas, Texas 75202, hereinafter referred to as "Grantee", has granted, sold and conveyed and by these presents does grant, sell and convey unto said Grantee, its successors and assigns, an easement and right-of-way for electric transmission, distribution and cornmunication lines, each consisting of a variable number of wires and cables, together with all necessary or desirable appurtenances including supporting structures, foundations, guy wires and guy anchorages (the"'Facilities") over, under, across and upon all that certain tract(s) of land located in Dallas County, Texas, more particularly described in Exhibits A and B, attached hereto and made part hereof. Together with: (1) the right of ingress and egress over and along the easement and right-of-way and over Grantor's adjacent lands to or from the easement and right-of- way, for the purpose of and with the right to construct, operate, improve, reconstruct, replace, repair, inspect, patrol, maintain and add or remove such electric power and communications lines or other Facilities as the Grantee may from time to time find necessary, convenient or desirable to erect thereon during the initial construction of the Facilities or at any time thereafter; (2) the right to install gates in all existing and future fences crossing the easement and right-of-way, provided such gates will be installed in a manner that will not weaken such fences; (3) the right to relocate its facilities along the same general direction of said lines; (4) the right to trim and cut down trees and shrubbery on the easement and right-of-way, including by use of herbicides or other similar chemicals approved by the U. S. Environmental Protection Agency, to the extent, in the sole judgment of the Grantee, necessary to prevent possible interference with the operation of said lines or to remove possible hazard thereto; and (5) the right to remove at Grantor's expense or to prevent the construction on the easement and right-of-way of any or all buildings, structures and obstructions. Grantor shall not make or cause any changes in grade, elevation, or contour of the land (except those activities, excluding terracing, associated with normal agricultural activities) within the easement and right-of-way described herein without first providing advance notice and obtaining prior written consent to do so from Grantee. If written consent is not obtained prior to any action by Grantor that causes any changes in grade, elevation, or contour of the land within the easement and right-of-way, Grantor shall, upon demand from Grantee, at Grantor's expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the change in grade, elevation, or contour of the land within the easement and right-of-way in the event Grantor fails to promptly restore the grade, elevation, or contour to its previously existing condition. Grantor shall not perform any excavations, trenching, or other soil disturbing activities (except those activities, excluding terracing, associated with normal agricultural activities) that, in the sole judgment of Grantee, will endanger the integrity of the supporting structures and/or foundations or other Facilities, as applicable, or perform any other activities that may, in the sole judgment of Grantee, remove, reduce, or adversely affect or impact the lateral support of the supporting structures and/or foundations or other Facilities, as applicable, without first providing advance notice and obtaining prior written consent to do so from Grantee. If prior written consent is not obtained by Grantor prior to performing any excavation, trenching or other soil disturbing activity that endarlgers the integrity of the supporting structures or foundations or other Facilities, as applicable, Grantor shall, upon demand from Grantee, at Grantor's expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the excavation, trenching, or soil disturbing activity in the event Grantor fails to promptly restore the easement and right-of-way to its previously existing condition or cannot do so. Grantor reserves the right to use the easement and right of way area provided such use shall not include the growing of trees thereon or any other use that might, in the sole judgment of the Grantee, interfere with the exercise by the Grantee of the rights hereby granted. Grantor further reserves the right to lay out, dedicate, construct, maintain and use across said strip such roads, streets, alleys, railroad tracks, underground telephone cables and conduits and gas, water and sewer pipe lines as will not interfere with Grantee's use of said land for the purpose aforesaid, provided all such facilities shall be located at angles of not less than 45 degrees to any of Grantee's lines, and shall be so constructed as to provide with respect to Grantee's Facilities the minimum clearances provided by law and recognized as standard in the electrical industry, as same may change from time to time. Grantor also reserves the right to erect fences not more than 8 feet high across said land, provided all such fences shall have gates, openings, or removable sections at least 16 feet wide which will permit Grantee reasonable access to all parts of said land. Should Grantee later determine that a width greater than 16 feet is necessary, then Grantee shall have the right granted above to install additional or wider gates at its sole discretion, but the installation of such additional or wider gates shall be at the sole expense of Grantee. Grantor retains all right, title, and interest in and to all oil, gas, and other minerals (whether by law classified as part of the mineral estate or the surface estate) and groundwater in, on, and under the strip or land described herein; provided, however, that Grantor shall not be permitted to drill for oil, gas, and other minerals, and groundwater from and under said strip of land but Grantor may extract oil, gas, and other minerals, and groundwater from and under said strip of land by directional drilling, mining, or other means, so long as Grantee's use of said strip is not disturbed, which VERSION 05131 1 EASEMENT AND RIGHT OF WAY use shall include the right of Grantee to physical andlor lateral support for the Facilities, as well as the right that the Facilities shall not be endangered, obstructed, or interfered with by such operations. In addition to the consideration above recited for the easement and right-of-way hereby granted, the Grantee will pay to the owner of the land, and, if leased, to his tenant, as they may be respectively entitled for actual damages to fences and growing crops and improvements located on the easement and right-of-way caused by reason of the construction, maintenance, addition or removal of said lines; provided, however, that no such payment will be made for trimming or removal of trees growing on the easement and right-of-way, nor for removal of buildings, structures, or obstructions erected upon the easement and right-of-way after granting of this easement and right- of-way. TO HAVE AND TO HOLD the above described easement and right-of-way unto the said Grantee, its successors and assigns, until all of said lines and other Facilities shall be abandoned, and in that event said easement and right-of-way shall cease and all rights herein granted shall terminate and revert to Grantor or Grantor's heirs, successors or assigns; and Grantor hereby binds Grantor and Grantor's heirs, successors, assigns, and legal representatives, to warrant and forever defend the above described easement and right-of-way unto Grantee, its successors and assigns, against every person whomsoever lawfully claiming or to claim tlie same or any part thereof. This easement may be assigned in whole or in part. EXECUTED this - day of , A.D. 20-. Grantor Luniinant Generation Company LLC, a Texas limited liability company By: Name: Title: VERSION 051311 EASEMENT AND RIGHT OF WAY ACKNOWLEDGEMENT STATE OF TEXAS § 9 COUNTY OF DALLAS § BEFORE ME, the undersigned authority, on this day personally appeared 1 as the of Luminant Generation Corr~pany LLC, a Texas limited liability company, known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that helshe executed the same for the purposes and consideration therein expressed, in the capacity therein stated and helshe is authorized to do so. GIVEN LINDER MY HAND AND SEAL OF OFFICE this - day of , A. D. 20-. Notary Public in and for the State of Texas After recording, return to: Laura De La Paz Oncor Electric Delivery Company Suite 505 11 5 W 7th Street Ft. Worth, Texas 761 02 VERSION 051 31 1 EASEMENT AND RIGHT OF WAY EXHIBIT A FIELD NOTE I)ESCRIPTION BEING a 9.389 acre tract of land situated in the J. G. Carlock Survey, Abstract No. 312 and the Francis Jones Survey, Abstract No. 674 in Dallas County, Texas, and being a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.) and a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4420, Page 549 D.R.D.C.T. Said 9.389 acre tract being more particularly described by metes and bounds as follows: COMMENCING at a 314 inch iron rod found at the northwest comer of the Grand Estates at Northlake Hills Phase 11, recorded in Volume 2005041, Page 185 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) and in the south line of a tract of land described in deed to Crow-Billingsley Belt Line. LTD., recorded in Volume 86068, Page 5186 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.) fiom which a 314 inch iron rod found capped "PEWITT" bears S 32"30t50" W, a distance of 0.78 feet; THENCE: S 00" 22' 55" E, with the West line of said Grand Estates at Northlake Hills Phase 11, a distance of 622.33 feet to THE POINT OF BEGINNING; THENCE: S 00" 22' 55" E, continuing with the West line of said Grand Estates at Northlake Hills Phase 11, a distance of 480.17 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for the southeast corner of this tract and the northeast comer of a tract of Iand described as "East Tract 1B" in deed to the City of Coppell, recorded in Document No. 20080370218 O.P.R.D.C.T.; THENCE: WEST, with the north line of said City of Coppell tract, a distance of 25 1.43 feet to a point for comer; THENCE: over and across said Dallas Power & Light Company tract the following courses and distances; N 00'2 1'52" W, a distance of 501.89 feet to a point for comer; N 30'3 1'08" W, a distance of 1574.25 feet to a point for comer; EAST, a distance of 272.06 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set in the west line of a tract of land described as "Tract 4", in deed to Crow- Billingsley North Lake HB&T Joint Venture, recorded in Volume 90106, Page 2492 D.R.D.C.T. from which a 112 inch iron rod found capped "RPLS6013TX" bears N 00°34'01" W, a distance of 75.72 feet; THENCE: S 00°34'01" E, with the west line of said Crow-Billingsley North Lake HB&T Joint Venture Tract and the west line of a tract of land described in deed to Trammel Crow Company No. 43 Et al, recorded in Document No. 20070001189 O.P.R.D.C.T., and passing a chain link fence comer post at the south comer of said Crow- Billingsley North Lake HB&T Joht Venture Tract and the common northwest corner of said Trammel Crow Company No. 43 Et a1 tract at a distance of 69.38 feet and continuing with the west line of said Trammel Crow Company No. 43 Et a1 tract, a total distance of 169.15 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for comer fiom which a chain link fence post found bears N 83'16'45" W, a distance of 2.93 feet; THENCE: S 30" 26'32" E, continuing with the West line of said Trammel Crow Company No. 43 Et a1 tract, a distance of 678.19 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set at the southwest comer of said Trammel Crow Company No. 43 Et a1 tract from which a chain link fence post bears S 39'51'52" E, a distance of 1.33 feet; THENCE: S 89"46'16" E, with the south line of said Trammel Crow Company No. 43 Et a1 Tract, a distance of 66.07 feet to a point for comer; THENCE: S 30°30'02" E, over and across said Dallas Power & Light Company tract, a distance of 723.95 feet to the POINT OF BEGINNING and containing 9.389 acres of land more or less. EXHIBIT B DEPICTION OF EASEMENT AREA Line Name: 1 Tract: I b Easement #: 1 WA #: EASEMENT AND RIGHT OF WAY STATE OF TEXAS 8 0 KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS 0 That, City of Coppell, a Texas municipality, hereinafter called "Grantor," whether one or more, for and in consideration of Ten and no1100 Dollars ($10.00) and other valuable consideration to Grantor in hand paid by Oncor Electric Delivery Company LLC, a Delaware limited liability company, 1616 Woodall Rodgers Freeway, Dallas, Texas 75202, hereinafter referred to as "Grantee", has granted, sold and conveyed and by these presents does grant, sell and convey unto said Grantee, its successors and assigns, an easement and right-of-way for electric transmission, distribution and communicatior~ lines, each consisting of a variable number of wires and cables, together with all necessary or desirable appurtenances including supporting structures, foundations, guy wires and guy anchorages (the "Facilities") over, under, across and upon all that certain tract(s) of land located in Dallas County, Texas, more particularly described in Exhibits A and 6, attached hereto and made part hereof. Together with: (1) the right of ingress and egress over and along ,the easement and right-of-way and over Grantor's adjacent lands to or from the easement and right-of- way, for the purpose of and with tlie right to construct, operate, improve, reconstruct, replace, repair, inspect, patrol, maintain and add or remove such electric power and communications lines or other Facilities as the Grantee may from time to time find necessary, convenient or desirable to erect thereon during the initial construction of the Facilities or at any time thereafter; (2) the right to install gates in all existing and future fences crossing the easement and right-of-way, provided such gates will be installed in a manner that will not weaken such fences; (3) the right to relocate its facilities along the same general direction of said lines; (4) the right to trim and cut down trees and shrubbery on the easement and right-of-way, includiqg by use of herbicides or other similar chemicals approved by ,the U. S. Environmental Protection Agency, to the extent, in the sole judgment of the Grantee, necessary to prevent possible interference with the operation of said lines or to remove possible hazard thereto; and (5) the right to remove at Grantor's expense or to prevent the construction on the easement and right-of-way of any or all buildings, structures and obstructions. Grantor shall not make or cause any changes in grade, elevation, or contour of the land (except those activities, excluding terracing, associated with normal agricultural activities) within the easement and right-of-way described herein without first providing advance notice and obtainiqg prior written consent to do so from Grantee. If written consent is not obtained prior to any action by Grantor that causes any changes in grade, elevation, or contour of the land within the easement and right-of-way, Grantor shall, upon demand from Grantee, at Grantor's expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the change in grade, elevation, or contour of the land within the easement and right-of-way in the event Grantor fails to promptly restore the grade, elevation, or contour to its previously existing condition. Grantor shall not perform any excavations, trenching, or other soil disturbing activities (except those activities, excluding terracing, associated with normal agricultural activities) that, in the sole judgment of Grantee, will endanger tlie integrity of the supporting structures and/or foundations or other Facilities, as applicable, or perform any other activities that may, in the sole judgment of Grantee, remove, reduce, or adversely affect or impact the lateral support of the supporting structures andlor foundations or other Facilities, as applicable, without first providing advance notice and obtaining prior written consent to do so from'Grantee. If prior written consent is not obtained by Grantor prior to performing any excavation, trenching or other soil disturbing activity that endangers the integrity of the supporting struct~~res or foundations or other Facilities, as applicable, Grantor shall, upon demand from Grantee, at Grantor's expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the excavation, trenching, or soil disturbing activity in the event Grantor fails to promptly restore the easement and right-of-way to its previously existing condition or cannot do so. Grantor reserves 'the right to use the easement and right of way area provided such use shall not include the growing of trees thereon or any other use that might, in the sole judgment of the Grantee, interfere with the exercise by the Grantee of the rights hereby granted. Grantor further reserves the right to lay out, dedicate, construct, maintain and use across said strip such roads, streets, alleys, railroad tracks, underground telephone cables and conduits and gas, water and sewer pipe lines as will not interfere with Grantee's use of said land for the purpose aforesaid, provided all such facilities shall be located at angles of not less than 45 degrees to any of Grantee's lines, and shall be so constructed as to provide with respect to Grantee's Facilities the rr~inimum clearances provided by law and recognized as standard in the electrical industry, as same may change from time to time. Grantor also reserves the right to erect fences not more than 8 feet high across said land, provided all such fences shall have gates, openings, or removable sections at least 16 feet wide which will permit Grantee reasonable access to all parts of said land. Sho~~ld Grantee later determine that a width greater than 16 feet is necessary, then Grantee shall have the right granted above to install additional or wider gates at its sole discretion, but the installation of such additional or wider gates shall be at the sole expense of Grantee. Grantor retains all right, title, and interest in and to all oil, gas, and other minerals (whether by law classified as part of the mineral estate or the surface estate) and groundwater in, on, and under the strip or land described herein; provided, however, that Grantor shall not be permitted to drill for oil, gas, and other minerals, and groundwater from and under said strip of land but Grantor may extract oil, gas, and other minerals, and groundwater from and under said strip of lalid by directional drilling, mining, or other means, so long as Grantee's use of said strip is not disturbed, which VERSION 051 31 1 EASEMENT AND RIGHT OF WAY use shall include the right of Grantee to physical andlor lateral support for the Facilities, as well as the right that the Facilities shall not be endangered, obstructed, or interfered with by such operations. In addition to the consideration above recited for the easement and right-of-way hereby granted, the Grantee will pay to the owner of the land, and, if leased, to his tenant, as they may be respectively entitled for actual damages to fences and growing crops and improvements located on the easement and right-of-way caused by reason of the construction, maintenance, addition or removal of said lines; provided, however, that no such payment will be made for trimming or removal of trees growing on the easement and right-of-way, nor for removal of buildings, structures, or obstructions erected upon the easement and right-of-way after granting of this easement and right- of-way . TO HAVE AND TO HOLD the above described easement and right-of-way unto the said Grantee, its successors and assigns, until all of said lines and other Facilities shall be abandoned, and in that event said easement and right-of-way shall cease and all rights herein granted shall terminate and revert to Grantor or Grantor's heirs, successors or assigns; and Grantor hereby binds Grantor and Grantor's heirs, successors, assigns, and legal representatives, to warrant and forever defend the above described easement and right-of-way unto Grantee, its successors and assigns, against every person whomsoever lawfully claiming or to claim the same or any part thereof. TI-/is easement may be assigned in whole or in part. EXECUTED this - day of , A.D. 20-. Grantor City of Coppell, a Texas municipality By: Name: Title: VERSION 05131 1 EASEMENT AND RIGHT OF WAY STATE OF TEXAS § COUNTY OF DALLAS § § BEFORE IVIE, the undersigned authority, on this day personally appeared as the of &ity of Coppell, a Texas municipality, known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that helshe executed the same for the purposes and consideration therein expressed, in the capacity therein stated and helshe is authorized to do so. GIVEN UNDER MY HAND AND SEAL OF OFFICE this - day of , A. D. 20-. Notary Public in and for the State of Texas After recording, return to: Laura De La Paz Oncor Electric Delivery Company Suite 505 I1 5 W 7th Street Ft. Worth, Texas 761 02 VERSION 051311 EASEMENT AND RIGHT OF WAY EXHIBIT A FIELD NOTE DESCRIPTION BEING a 7.092 acre tract of land situated in the Francis Jones Survey, Abstract No. 674, in Dallas County, Texas, and being a portion of a tract of land described as "EAST TRACT IS" in deed to the City of Coppell, recorded in Document No. 20080370218 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.) and being more particularly described by metes and bounds as follows: BEGINNING at a point (N = 7,029,964.34, E = 2,438,309.33) in the north line of said City of Coppell tract from which a 314 inch iron rod found at the northwest corner of the Final Plat of Grand Hills Estates At Northlake Hills Phase 11, recorded in Volume 200504 1, Page 185 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) bears N 12" 29' 00" E, a distance of 1 129.18 feet; THENCE: East, with the North line of said City of Coppell tract, a distance of 25 1.43 feet to a point for comer; THENCE: S 00°22' 12" E, with said West line, a distance of 1228.42 feet to a point for corner; THENCE: West, with the South line of said City of Coppell tract, a distance of 25 1.55 feet to a point for comer; THENCE: N 00" 21' 52" W, over and across said City of Coppell tract, a distance of 1228.42 feet to the POINT OF BEGINNING and containing 7.092 acres of land more or less. EXHIBIT B Depiction of Easement Area sw 1- - 200' --- cm c+ WFUL - - = I.)~~EBISP)(W BWNU mi rnu -amsrm WNL ~OORDWLTE -. ZONE rmz. ~10 cwm &Tj,z7.E&,EL%TLM& anmm 1310 Ca)llOlIUTCi sLI(E om. 2.)hESCRWXUW CHH MXP& 1 W 2MU PlCE a OF z -m ms men. PAGE 2 OF 2 EASEMENT EXHIBIT Line Name: 1 Tract: Ic Easement #: I I WA #: EASEMENT AND RIGHT OF WAY STATE OF TEXAS 8 8 KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS 5 That, the City of Coppell, a Texas municipality, hereinafter called "Grantor," whether one or more, for and in consideration of Ten and no1100 Dollars ($10.00) and other valuable consideration to Grantor in hand paid by Oncor Electric Delivery Company LLC, a Delaware limited liability company, 161 6 Woodall Rodgers Freeway, Dallas, Texas 75202, hereinafter referred to as "Grantee", has granted, sold and conveyed and by these presents does grant, sell and colivey unto said Grantee, its successors and assigns, an easement and right-of-way for electric transmission, distribution and conimunication lines, each consisting of a variable number of wires and cables, together with all necessary or desirable appurtenances including supporting structures, foundations, guy wires and guy anchorages (the "Facilities") over, under, across and upon all that certain tract(s) of land located in Dallas County, Texas, more particularly described in Exhibits A and 6, attached hereto and made part hereof. Together with: (1) the right of ingress and egress over and along the easement and right-of-way and over Grantor's adjacent lands to or from the easement and right-of- way, for the purpose of and with the right to construct, operate, improve, reconstruct, replace, repair, inspect, patrol, maintain and add or remove such electric power and communications lines or other Facilities as the Grantee may from time to time find necessary, convenient or desirable to erect thereon during the initial construction of the Facilities or at any time thereafter; (2) the right to install gates in all existing and future fences crossing the easement and right-of-way, provided such gates will be installed in a manner that will not weaken such fences; (3) the right to relocate its facilities alorlg the same general direction of said lines; (4) the right to trim and cut down trees and shrubbery on the easement and right-of-way, i~icluding by use of herbicides or other sirr~ilar cherr~icals approved by the U. S. Environmental Protection Agency, to the extent, in the sole judgment of the Grantee, necessary to prevent possible interference with the operation of said lines or to remove possible hazard thereto; and (5) the right to remove at Grantor's expense or to prevent the construction on the easement and right-of-way of any or all buildings, structures and obstructions. Grantor shall not make or cause any changes in grade, elevation, or contour of the land (except those activities, excluding terracing, associated with normal agricultural activities) within the easement and right-of-way described herein without first providing advance notice and obtaining prior written consent to do so from Grantee. If written consent is not obtained prior to any action by Grantor that causes any changes in grade, elevation, or contour of the land within the easement and right-of-way, Grantor shall, upon demand from Grantee, at Grantor's expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accorrlmodate the change in grade, elevation, or contour of the land within the easement and right-of-way in the event Grantor fails to promptly restore the grade, elevation, or contour to its previously existing condition. Grantor shall not perform any excavations, trenching, or other soil disturbing activities (except those activities, excluding terracing, associated with normal agricultural activities) that, in the sole judgment of Grantee, will endanger the integrity of the supporting structures and/or foundations or other Facilities, as applicable, or perform any other activities that may, in the sole judgment of Grantee, remove, reduce, or adversely affect or impact the lateral support of the supporting structures and/or foundations or other Facilities, as applicable, without ,first providing advance notice and obtaining prior written consent to do so froni Grantee. If prior written consent is not obtained by Grantor prior to performing any excavation, trenching or other soil disturbing activity that endangers the integrity of the supporting structures or foundations or other Facilities, as applicable, Grantor shall, upon demand from Grantee, at Grantor's expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the excavation, trenching, or soil disturbing activity in the event Grantor fails to promptly restore the easement and right-of-way to its previously existing condition or cannot do so. Grantor reserves the right to use the easement and right of way area provided such use shall not include the growirlg of trees thereon or any other use that might, in the sole judgment of the Grantee, interfere with the exercise by the Grantee of the rights hereby granted. Grantor further reserves the right to lay out, dedicate, construct, maintain and use across said strip such roads, streets, alleys, railroad tracks, underground telephone cables and conduits and gas, water and sewer pipe lines as will not interfere with Grantee's use of said land for the purpose aforesaid, provided all such facilities shall be located at angles of not less than 45 degrees to any of Grantee's lines, and shall be so constructed as to provide with respect to Grantee's Facilities the minimum clearances provided by law and recogrrized as standard in the electrical industry, as same may change froni time to time. Grantor also reserves the right to erect fences not more than 8 feet high across said land, provided all such fences shall have gates, openings, or removable sections at least 16 feet wide which will permit Grantee reasonable access to all parts of said land. Should Grantee later determine that a width greater than 16 feet is necessary, then Grantee shall have the right granted above to install additional or wider gates at its sole discretion, but the installation of such additional or wider gates shall be at the sole expense of Grantee. Grantor retains all right, title, and interest in and to all oil, gas, and other minerals (whether by law classified as part of the mineral estate or the surface estate) and groundwater in, on, and under the strip or land described herein; provided, however, that Grantor shall not be permitted to drill for oil, gas, and other minerals, and groundwater from and under said strip of land but Grantor may extract oil, gas, and other minerals, and groundwater from and under said strip of land by directional drilling, mining, or other means, so long as Grantee's use of said strip is not disturbed, which VERSION 051 31 1 EASEMENT AND RIGHT OF WAY use shall include the right of Grantee to physical andlor lateral support for the Facilities, as well as the right that the Facilities shall not be endangered, obstructed, or interfered with by such operations. In addition to the consideration above recited for the easement and right-of-way hereby granted, the Grantee will pay to the owner of the land, and, if leased, to his tenant, as they may be respectively entitled for actual damages to fences and growing crops and improvements located on the easement and right-of-way caused by reason of the construction, maintenance, addition or renioval of said lines; provided, however, that no such payment will be made for trimming or removal of trees growing on the easenient and right-of-way, nor for removal of buildings, structures, or obstructions erected upon the easement and right-of-way after granting of this easement and right- of-way. TO HAVE AND TO HOLD the above described easement and right-of-way unto the said Grantee, its successors and assigns, until all of said lines and other Facilities shall be abandoned, and in that event said easement and right-of-way shall cease and all rights herein granted shall terminate and revert to Grantor or Grantor's heirs, successors or assigns; and Grantor hereby binds Grantor and Grantor's heirs, successors, assigns, and legal representatives, to warrant and forever defend the above described easement and right-of-way unto Grantee, its successors and assigns, against every person whomsoever lawfully claiming or to claim the same or any part thereof. This easement may be assigned in whole or in part. EXECUTED this - day of , A.D. 20-. Grantor Luminant Generation Company LLC, a Texas limited liability company Name: Title: VERSION 051 31 1 EASEMENT AND RIGHT OF WAY ACKNOWLEDGENIENT STATE OF TEXAS § COUNTY OF DALLAS § § BEFORE ME, the undersigned authority, on this day personally appeared as the of ~uminant Generation Company LLC, a Texas limited liability company, known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that helshe executed the same for the purposes and consideration therein expressed, in the capacity therein stated and helshe is authorized to do so. GIVEN UNDER MY HAND AND SEAL OF OFFICE this - day of , A. D. 20-. Notary Public in and for the State of Texas After recording, return to: Laura De La Paz Oncor Electric Delivery Company Suite 505 1 15 W 7th Street Ft. Worth, Texas 76102 VERSION 051 31 1 EASEMENT AND RIGHT OF WAY EXHIBIT A FIELD NOTE DESCRIPTION BEING a 6.951 acre tract of land situated in the Francis Jones Survey, Abstract No. 674, in Dallas County, Texas, and being a portion of a called 490.6 acre tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.) and being more particularly described by metes and bounds as follows: BEGINNING at a 518 inch iron rod with aluminum cap stamped "FRONTIER SURVEYING COMPANY WLS - 5991" set (N = 7,028,735.94, E = 2,438,568.69) at the southwest comer of a tract of land described as "EAST TRACT IB" in deed to the City of Coppell. recorded in Document No. 20080370218 Official Public Records Dallas County, Texas (O.P.R.D.C.T.) and in the west line of the Final Plat of The Hollows of Valley Ranch Section Four, recorded in Volume 95012, Page 6285 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) from which a 314 inch iron rod found at the northwest comer of the Final Plat of Grand Estates At Northlake Hills Phase 11, recorded in Volume 2005041, Page 185 P.R.D.C.T. bears N 00~22'32" W, a distance of 2330.92 feet; THENCE: S 00" 21' 19" E, with the west line of said Hollows of Valley Ranch Section Four and the west line of The Final Plat of the Hollows of Valley Ranch, Amended, Section Two, Recorded in Volume 94067, Page 7887 P.R.D.C.T., a distance of 947.44 feet to a point at the southwest comer of said Hollows of Valley Ranch, Amended, Section Two and the common northwest comer of The Amended Final Plat of Valley Ranch, Phase IV, 6th Installment, from which a 112 inch iron rod found bears N 45"52'59" E, a distance of 1 .OO foot; THENCE: S 00" 21' 17" E, with the West line of said Valley Ranch Phase IV-6th Installment, a distance of 256.8 1 feet to a 112" iron rod found at the northeast comer of a tract of land conveyed to C W Shoreline Land, LTD., recorded in Document No. 20 1200024638 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.); THENCE: West, with the North line of said C W Shoreline Land, LTD. tract, a distance of 25 1.35 feet to a point for comer; THENCE: N 00" 21' 52" W, over and across said Dallas Power & Light Company, tract, a distance of 1204.26 feet to a point for comer in the south line of said City of Coppell Tract; THENCE: East, with the South line of said City of Coppell tract, a distance of 251.55 feet to the POINT OF BEGINNING and containing 6.95 1 acres of land more or less. EXHIBIT B DEPICTION OF EASEMENT AREA Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 EXHIBIT "C" Projected Lake Pool and Shoreline Area Description A~IESDED AND RESTATED NORTHLAKE ACREEVENT SCHEDULE 1 Luminant-City Contract A~IEKDED AND RESTATED NORTHI.,\KE AGREE~IEN'I' PURCHASE AND SALE AGREEMENT BETWEEN LUMINANT GENERATION COMPANY LLC, AS SELLER AND THE CITY OF COPPELL, TEXAS, AS PURCHASER DATED APRIL, 2013 THIS DOCUMENT IS A DRAFT DOCUMENT FOR DISCUSSION PURPOSES ONLY AND IS NOT INTENDED TO BE AND SHALL NOT BE DEEMED TO BE CONTRACTUALLY BINDING IN ANY WAY ON ANY PERSON (AN "APPLICABLE PERSON"). THIS DOCUMENT DOES NOT OBLIGATE ANY APPLICABLE PERSON TO NEGOTIATE IN GOOD FAITH OR TO PROCEED TO COMPLETION AND EXECUTION OF A FINAL AGREEMENT. NO APPLICABLE PERSON IS BOUND BY ANY PROVISION OF THE DOCUMENT UNTIL IT IS EXECUTED BY SUCH PERSON. NO APPLICABLE PERSON HAS OR SHALL HAVE ANY CLAIM AGAINST ANY OTHER APPLICABLE PERSON IN CONNECTION WITH THIS DOCUMENT OR THE NEGOTIATION THEREOF. - -- Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 TABLE OF CONTENTS ARTICLE 1 BASIC INFORMATION Certain Basic Terms ........................................................................................................................................ 1 Closing Costs .................................................................................................................................................. 2 Notice Addresses: ........................................................................................................................................... 2 ARTICLE 2 PROPERTY ........................................................................................................................................................... Property 3 Excluded Property and Reserved Rights ......................................................................................................... 4 ARTICLE 3 DUE DlLIGENCE Waiver of Inspections; Property Documents To Be Delivered ....................................................................... 4 Proprietary Documents; Confidentiality ......................................................................................................... 4 TPIA Request .................................................................................................................................................. 5 No Representation or Warranty by Seller ........................................................... ......................................... 5 ARTICLE 4 TITLE AND SURVEY Title Commitment ........................................................................................................................................... 5 Survey ............................................................................................................................................................. 5 Title Review .................................................................................................................................................... 5 Title Objections ............................................................................................................................................... 5 Delivery of Title Policy ................................................................................................................................... 6 ARTICLE 5 CLOSlNG Closing ............................................................................................................................................................ 6 Conditions to Parties' Obligation to Close at Closing .................................................................................... 6 Seller's Deliveries in Escrow .......................................................................................................................... 7 Purchaser's Deliveries in Escrow .................................................................................................................... 8 Seller's and Purchaser's Mutual Deliveries in Escrow ................................................................................... 8 Lien Releases .................................................................................................................................................. 9 Closing Statements .......................................................................................................................................... 9 Purchase Price ................................................................................................................................................. 9 ....................................................................................................................................................... Possession 9 Delivery of Books and Records ...................................................................................................................... 9 ARTICLE 6 PRORATIONS, DEPOSITS, COMMISSlONS Prorations ........................................................................................................................................................ 9 Purchase and Sale Agreement . Nonh Lake 1505488v.18 EFH100/52002 ................................................................................................................................................ 6.2 Closing Costs 10 .................................................................................................................... 6.3 Final Adjustment After Closing 10 ARTICLE 7 REPRESENTATIONS AND WARRANTIES 7.1 Seller's Representations and Warranties ....................................................................................................... 10 .............................................................................................. 7.2 Purchaser's Representations and Warranties 10 ................................................................................................. 7.3 Survival of Representations and Warranties 11 ARTICLE 8 DEFAULT AND REMEDIES 8.1 Seller's Remedies .......................................................................................................................................... 11 8.2 Purchaser's Remedies ................................................................................................................................... 12 ............................................................................................................................................. 8.3 Attorneys' Fees 12 8.4 Other Expenses ............................................................................................................................................. 12 ARTICLE 9 DISCLAIMERS. RELEASE AND INDEMNITY .................................................................................................................................... 9 .I Disclaimers by Seller 12 .................................................................................................................................. 9.2 Sale "As Is, Where Is" 13 ...................................................................................................................... 9.3 Seller Released fiom Liability 13 9.4 "Hazardous Materials" Defined .................................................................................................................... 13 Indemnity ...................................................................................................................................................... 14 Survival ......................................................................................................................................................... 14 ARTICLE 10 MISCELLANEOUS Parties Bound; Assignment ........................................................................................................................... 14 Headings ...................................................................................................................................................... 14 Invalidity and Waiver .................................................................................................................................... 14 Governing Law ............................................................................................................................................. 14 Survival ......................................................................................................................................................... 14 Entirety and Amendments ............................................................................................................................. 14 Time .............................................................................................................................................................. 14 Confidentiality .............................................................................................................................................. 14 ................................................................................................................................. Electronic Transactions 15 .......................................................................................................................................................... Notices 15 .................................................................................................................................................. Construction 15 Calculation of Time Periods; Business Day .................................................................................................. 15 ............................................................................................................................. Execution in Counterparts 15 No Recordation ............................................................................................................................................. 15 ........................................................................................................................................ Further Assurances 16 Discharge of Obligations ............................................................................................................................... 16 Purchase and Sale Agreement . North Lake 1505488~ . 18 EFH100/52002 ........................................................................................................................... 10.17 No Third-Party Beneficiary 16 ........................................................................................................................................... 10.18 Reporting Person 16 ........................................................................................................................................ 10.19 Dispute Resolution 16 10.20 Venue ............................................................................................................................................................ 16 10.2 1 Special Provisions Concerning the Purchaser ............................................................................................... 16 Purchase and Sale Agreement . North Lake 1505488v.18 EFH100152002 LIST OF DEFINED TERMS Page No . Acceptance Period ................................................................................................................................................... E- 1 1 Access Easement ....................................................................................................................................................... E-8 Adjacent Property ...................................................................................................................................................... E-9 Affected Property .................................................................................................................................................... E-1 1 Agreement ..................................................................................................................................................................... 1 Assignee .................................................................................................................................................................... A- 1 Assignment .................................................................................................................................................................... 3 Assignor .................................................................................................................................................................... A-1 Bill of Sale ................................................................................................................................................................. A-1 Billingsley Parties .......................................................................................................................................................... 7 Billingsley Settlement Documents ................................................................................................................................ 7 Business Day ............................................................................................................................................................... 15 Cap ............................................................................................................................................................................. 12 CERCLA ..................................................................................................................................................................... 14 Certificate of Adjudication ............................................................................................................................................ 3 Certified Resolution of the City Council ....................................................................................................................... 9 Closing .......................................................................................................................................................................... 6 Closing Condition ......................................................................................................................................................... 7 Closing Date .................................................................................................................................................................. 1 Conditional Deliveries ................................................................................................................................................... 7 Dallas Water Contract ................................................................................................................................................... 3 Dam Facilities ........................................................................................................................................................... E-8 Dam Property ................................................................................................................................................................ 3 Deed .............................................................................................................................................................................. 8 Dispute Resolution Period ........................................................................................................................................... 16 Earnest Money ............................................................................................................................................................... 1 Easement Area ........................................................................................................................................................... E-8 Easement Survey ....................................................................................................................................................... E-9 Effective Date ................................................................................................................................................................ 1 Escrow Agent ................................................................................................................................................................ 1 Excluded Property ......................................................................................................................................................... 4 Existing Water Delivery Easements .......................................................................................................................... E-8 Financing Liens ............................................................................................................................................................. 6 Grantee ...................................................................................................................................................................... E-8 Grantee Party ............................................................................................................................................................. E-9 Grantor ...................................................................................................................................................................... E-8 Hazardous Materials .................................................................................................................................................... 14 Improvements ................................................................................................................................................................ 3 Intangible Personal Property ......................................................................................................................................... 3 ............................................................................................................................................................................... Land 3 Lien Releases ................................................................................................................................................................. 9 Loss ........................................................................................................................................................................... E-9 North Lake Property ...................................................................................................................................................... 7 OFAC .......................................................................................................................................................................... 1 1 Oncor ................................................................................................................................................................... 3. E-12 Oncor Release ............................................................................................................................................................... 7 Oncor Rights ................................................................................................................................................................. 6 Pad Site Property ........................................................................................................................................................... 3 Permitted Exceptions ..................................................................................................................................................... 6 Permitted Outside Parties .............................................................................................................................................. 4 Permitted Use ............................................................................................................................................................ E-9 Personalty .................................................................................................................................................................. A-1 Purchase and Sale Agreement . North Lake 1505488~ . 18 EFH100152002 ............................................................................................................................................................ Plant Property E-8 ......................................................................................................................... Plant Site Water Delivery Easement E-8 Property ......................................................................................................................................................................... 3 Property Contracts ......................................................................................................................................................... 3 ...................................................................................................................................................... Property Documents 4 Pump Station Property ................................................................................................................................................... 3 .................................................................................................................................................. Purchase Agreement A- 1 Purchase Offer ......................................................................................................................................................... E-13 Purchase Price ............................................................................................................................................................... 1 Purchaser ....................................................................................................................................................................... 1 ............................................................................................................................................. Purchaser's City Manager 2 Real Property ................................................................................................................................................................. 3 ................................................................................................................................ Related Parties and Successors E-13 ............................................................... ..................................................................................... Related Party .. E- 13 Release of Memoranda .................................................................................................................................................. 7 ........................................................................................................................................................ ROFR Contract E-12 ........................................................................................................................................................ ROFR Property E- 1 1 Sale Agreement ....................................................................................................................................................... E-10 ............................................................................................................................................................... Sale Period E-1 1 Seller ............................................................................................................................................................................. 1 ................................................................................................................................................ Seller's Representative 11 ................................................................................................................................................... Settlement Agreement 9 Severed Interests ..................................................................................................................................................... E-1 1 .................................................................................................................................................. Surface Operations E-11 ....................................................................................................................................... Surface Use Agreement 7, E-12 Survey ...................................................................................................................................................................... 2 5 ........................................................................................................................................................................ Surveyor 5 Survival Period ............................................................................................................................................................ 1 1 Tangible Personal Property ........................................................................................................................................... 3 ............................................................................................................................................................................. Taxes 9 Texas AG ....................................................................................................................................................................... 5 .............................................................................................................................................................. Third-Party E- 13 Title Commitment ......................................................................................................................................................... 5 ............................................................................................................................................................... Title Company 1 .................................................................................................................................................................... Title Policy 6 .................................................................................................................................................. to Seller's knowledge 11 to the best of Seller's knowledge ................................................................................................................................. 1 1 TPIA .............................................................................................................................................................................. 5 Transfer Notice ........................................................................................................................................................ E-1 1 .................................................................................................................................................................. Transferee F- 1 .................................................................................................................................................................. Transferor F- 1 ................................................................................................................................................ Water Delivery Pipeline 4 Purchase and Sale Agreement . North Lake 1505488~ . 18 EFHI 00152002 LIST OF EXHIBITS Exhibit A Bill of Sale, Assignment and Assumption Exhibit B Oncor Easement Exhibit C North Lake Property Exhibit D{ - Special Warranty Deed and Right of First Refusal Agreement Exhibit EL - FIRPTA Certificate Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 PURCHASE AND SALE AGREEMENT North Lake, Dallas, Texas This Purchase and Sale Agreement (this "Agreement") is made and entered into by and between Purchaser and Seller. RECITALS A. Defined terms are indicated by initial capital letters. Defined terms shall have the meaning set forth herein, whether or not such terms are used before or after the definitions are set forth. B. Purchaser desires to purchase the Property and Seller desires to sell the Property, all upon the terms and conditions set forth in this Agreement. NOW, THEREFORE, in consideration of the mutual terms, provisions, covenants and agreements set forth herein, as well as the sums to be paid by Purchaser to Seller, and for other good and valuable consideration, the receipt and sufficiency of which are acknowledged, Purchaser and Seller agree as follows: ARTICLE 1 BASIC INFORMATION 1.1 Certain Basic Terms. The following defined terms shall have the meanings set forth below: 1.1.1 Seller: 1.1.2 Purchaser: LUMINANT GENERATION COMPANY LLC, a Texas limited liability company THE CITY OF COPPELL, TEXAS, a political subdivision of the State of Texas 1.1.3 Purchase Price: $1,000,000.00 1.1.4 Earnest Money: None. 1.1.5 Title Company: Chicago Title Insurance Company 2828 Routh, Suite 800 Dallas, Texas 75201 Attention: Joycelyn Armstrong Telephone: 21 4.965.1668 E-mail: armstronoio@ctt.com 1.1.6 Escrow Agent: 1.1.7 Effective Date: 1.1.8 Closing Date: Chicago Title Insurance Company 2828 Routh, Suite 800 Dallas, Texas 75201 Attention: Joycelyn Armstrong Telephone: 2 14.965.1668 E-mail: armstrongio@ctt.com Closing Date (defined below). April -, 2013. Purchase and Sale Agreement - North Lake 1505488v.18 EFH100152002 1.1.9 Purchaser's City Purchaser's City Manager or principal officer or, if designated by Manager: Purchaser's City Council or other governing body from time to time, another officer of Purchaser with general management responsibilities, it being expressly agreed and understood that there shall always be a Purchaser's City Manager and that, in the absence of such designation or the inability of any officer designated by the Purchaser to act, Purchaser's City Manager for purposes of this Agreement shall be the city manager or principal officer of Purchaser. 1.2 Closing Costs. Closing costs shall be allocated and paid as follows: COST RESPONSIBLE PARTY Title Commitment delivered pursuant to Section 4.1 I Seller Premium for standard form title policy delivered pursuant to Section 4.5 (the ''Title Policy") Premium for any upgrade of the Title Policy for extended or additional coverage and any endorsements to the Title Policy desired by Purchaser, any inspection fee charged by the Title Company, tax certificates, municipal and utility lien certificates, and any other Title Company charges I Seller Purchaser Costs of the survey delivered pursuant to Section 4.2 (the "Survey") Cost of andlor any revisions, modifications or recertifications to any Survey Seller Purchaser Costs for UCC Searches Purchaser Recording Fee I Purchaser Any escrow fee charged by Escrow Agent for conducting the Closing 1.3 Notice Addresses: I Purchaser % Seller % I All other closing costs, expenses, charges and fees Purchaser: The City of Coppell, Texas 255 Parkway Blvd. Coppell, TX 750 19-9478 Attention: City Manager Telephone: 972.304.3618 E-mail: cmo@coppelltx.gov Purchaser Copy to: Nichols, Jackson, Dillard, Hager & Smith, LLP 1800 Lincoln Plaza 500 N. Akard St. Dallas, TX 75201 Attention: Robert E. Hager Telephone: 214.965.9900 E-mail: rhager@njdhs.com Seller: Luminant Generation Company LLC Copy to: Luminant Generation Company LLC 1601 Bryan Street, EP 22-1 10C 1601 Bryan Street, 22nd Floor Dallas, TX 75201 Dallas, TX 75201 Attention: Patrick J. McInroe Attention: Stephanie Moore, Director - Real Estate Development General Counsel Telephone: 2 14.875.8686 Telephone: 214.875.8183 E-mail: patrick.mcinroe@luminant.com E-mail: stephanie.moore@luminant.com Purchase and Sale Agreement - North Lake 1505488v.18 EFH100152002 and to: Vinson & Elkins L.L.P. 200 1 Ross Avenue, Suite 3700 Dallas, TX 75201 Attention: Paul Martin Telephone: 214.220.7875 E-mail: pn1artinOve1aw.com ARTICLE 2 PROPERTY 2.1 Property. Subject to the terms and conditions of this Agreement, Seller agrees to sell to Purchaser, and Purchaser agrees to purchase ii-om Seller, the following property (collectively, the "Property"): 2.1.1 Real Property. The land described in Exhibit A-1 to the Deed (defined below) (the "Dam Property"); Exhibit A-2 to the Deed (the "Pump Station Property") and Exhibit A-3 to the Deed (the "Pad Site Property") (the Dam Property, the Pad Site Property and the Pump Station Property, collectively the ''W'), together with, without warranty, all right, title and interest of Seller, if any, in and to (a) all improvements and fixtures located on the Land, but expressly excluding improvements, fixtures and structures owned by any tenant or other third party (including, without limitation, Oncor Electric Delivery Company LLC ("Oncor") (the "Imvrovements"), (b) the rights, benefits, privileges, easements, tenements, hereditaments, and appurtenances thereon or in anywise appertaining thereto (expressly excluding, however, that certain Untreated Water Purchase Contract dated May 27, 1998 between the City of Dallas and Seller's predecessor (the "Dallas Water Contract"), and (c) all strips and gores and any land lying in the bed of any street, road or alley, open or proposed, adjoining the Land (collectively, the "Real Property"). 2.1.2 Tangible Personal Property. All of Seller's right, title and interest, without warranty, in the equipment, machinery and other tangible personal property, if any, owned by Seller and now or hereafter located in and used in connection with the operation or ownership of the Real Property but specifically excluding any items of personal property owned by third parties (including Oncor) (collectively, the "Tangible Personal Property"). 2.1.3 Intangible Personal Property. All of Seller's right, title and interest, if any, without warranty, in all intangible personal property related to the Real Property, including, without limitation, if any: the plans and specifications and other architectural and engineering drawings for the Improvements (to the extent assignable without cost to Seller); contract rights related to the operation, ownership or management of the Real Property, including maintenance, service, construction, supply and equipment rental contracts and leases or license agreements covering the Real Property (collectively, the "Property Contracts") (but only to the extent assignable without cost to Seller and Seller's obligations thereunder are expressly assumed by Purchaser pursuant to a Bill of Sale, Assignment and Assumption, in the form of Exhibit A hereto (the "Assignment"); warranties (to the extent assignable without cost to Seller); governmental permits, approvals and licenses (to the extent assignable without cost to Seller), including that certain Certificate of Adjudication 08-2365 with a priority date of September 24, 1956 concerning the dam and reservoir known as North Lake (the "Certificate of Adiudication") but excluding the Dallas Water Contract (all of the items described in this Section 2.1.3 are collectively referred to as the "Intangible Personal Property"). Tangible Personal Property and Intangible Personal Property shall not include (a) any appraisals or other economic evaluations of, or projections with respect to, all or any portion of the Real Property, including, without limitation, budgets prepared by or on behalf of Seller or any affiliate of Seller, (b) any documents, materials or information which are subject to attorneylclient, work product or similar privilege, which constitute attorney communications with respect to the Property and/or Seller, or which are subject to a confidentiality agreement, and (c) any trade name, mark or other identifying material that includes the name "Luminant" or the name "Energy Future Holding" or any derivative thereof. 2.1.4 Water Delivery Pipeline and Water Deliverv Easements. (a) Without warranty, all of Seller's right, title and interest, if any, in and to the existing water delivery pipeline and related improvements and fixtures running between the water intake structure on the Trinity River located on the Pump Station Property and the water outtake structure located on the Dam Property (the "Water Delivery Pipeline"); Purchase and Sale Agreement - North Lake 1505488v.18 EFH100/52002 (b) Without warranty, all of Seller's right, title and interest, if any, in and to any Existing Water Delivery Easements described in the Deed; and (c) The Plant Site Water Delivery Easement described in the Deed. 2.1.5 Access Easement. The Access Easement described in the Deed. 2.2 Excluded Property and Reserved Rights. The following shall be reserved t?om the conveyances hereunder for Seller and Seller's successors and assigns forever (the "Excluded Property"): all of the oil, gas and other minerals,in, on, under and that may be produced from the Land including the right to pool or unitize the Land or portions thereof with other lands for the purpose of exploration, production and development of oil, gas and other minerals. ARTICLE 3 DUE DILIGENCE 3.1 Waiver of Inspections; Property Documents To Be Delivered. Purchaser agrees and acknowledges that it has previously been provided access to the Property and the opportunity to make all inspections and evaluations of the Property necessary for Purchaser to evaluate the Property and hereby waives any right to conduct any inspections on the Property prior to Closing. Seller shall has delivered, or caused to be delivered, to Purchaser the following (the "Property Documents"): 3.1.1 Environmental Reports. A copy of the most recent environmental reports or site assessments related to the Property prepared for the benefit of Seller; 3.1.2 Service Contracts. A list of any service contracts pertaining to the Property to be assumed by Purchaser at Closing; 3.1.3 Lease and License Acreements. A list of any lease agreements and license agreements pertaining to the Property to be assumed by Purchaser at Closing. 3.1.4 As-Built Plans for Dams. A copy of the as-built plans for the dams located on the Dam Property and the adjoining spillway. 3.1.5 Inspection Report. A copy of the most recent inspection report for the Dams prepared for the benefit of Seller; Seller's obligations to deliver the items listed in this Section 3.1 and in Section 5.10 shall be limited to the extent such items are in the possession of Patrick McInroe or Kyle Ray and to the extent Seller is legally or contractually permitted to provide such items. 3.2 Proprietary Documents; Confidentiality. Purchaser acknowledges that the Property Documents are proprietary and confidential and have been and will be delivered or made available to Purchaser solely to assist Purchaser in determining the feasibility of purchasing the Property. Purchaser shall not use the Property Documents for any purpose other than as set forth in the preceding sentence. Purchaser shall not disclose the contents to any person other than to those persons who are responsible for determining the feasibility of Purchaser's acquisition of the Property and who have agreed in writing to preserve the confidentiality of such information as required hereby (collectively, "Permitted Outside Parties") or as permitted by Section 3.3. At any time and from time to time, within two Business Days after Seller's request, Purchaser shall deliver to Seller a list of all parties to whom Purchaser has provided any Property Documents, any information taken from the Property Documents. Purchaser shall not divulge the contents of the Property Docun~ents and other information except in strict accordance with the confidentiality standards set forth in this Section 3.2. In permitting Purchaser to review the Property Documents or any other information, Seller has not waived any privilege or claim of confidentiality with respect thereto, and no third-party benefits or relationships of any kind, either express or implied, have been offered, intended or created. Purchaser's obligations under this Section 3.2 shall survive the termination of this Agreement. Purchase and Sale Agreement - North Lake 1505488v.18 EFH100152002 3.3 TPIA Request. Should Purchaser receive a request for disclosure of the Property Documents in accordance with the Texas Public Information Act ("TPIA"), Purchaser: (a) shall promptly notify Seller of the request; (b) shall consult with and reasonably cooperate with Seller regarding the response to the request; (c) shall timely ask for a decision fiom the Texas Attorney General (the "Texas AG") as to whether the Property Documents are within an exception from the disclosure requirements of the TPIA, including but not limited to sections 552.101, 552.105 and 552.1 10 of the TPIA, and shall submit written comments to the Texas AG stating the reasons why the exceptions stated in such comments apply to the Property Documents; and (d) will not release any Property Documents while the decision of the Texas AG is pending. If, in response to a request for decision under this Section, the Texas AG determines that all or a portion of the Property Documents must be disclosed, Purchaser shall promptly provide notice of the decision to Seller, and without the consent of Seller, may not disclose that information before the 10th day after the date of receipt of the decision. If, within that period, Seller files a petition in a Travis County, Texas district court or, if permitted by applicable law, in a Dallas County, Texas district court, seeking a declaratory judgment, a writ of mandamus, or other relief from compliance with the decision of the Texas AG, Purchaser will not disclose the information pending final judgment in the suit unless ordered to do so by the court. 3.4 No Representation or Warranty by Seller. Purchaser acknowledges that, except as expressly set forth in this Agreement, Seller has not made and does not make any warranty or representation regarding the Property's physical, environmental or economic condition, compliance or lack of compliance with any ordinance, order, permit or regulation or any other attribute or matter relating thereto or the truth, accuracy or completeness of the Property Documents or the source(s) thereof. Purchaser further acknowledges that some if not all of the Property Documents were prepared by third parties other than Seller. Seller expressly disclaims any and all liability for representations or warranties, express or implied, statements of fact and other matters contained in such information, or for omissions from the Property Documents, or in any other written or oral communications transmitted or made available to Purchaser. Purchaser shall rely solely upon its own investigation with respect to the Property, including, without limitation, the Property's physical, environmental or economic condition, compliance or lack of compliance with any ordinance, order, permit or regulation or any other attribute or matter relating thereto. Seller has not undertaken any independent investigation as to the truth, accuracy or completeness of the Property Documents and is providing the Property Documents solely as an accommodation to Purchaser. ARTICLE 4 TITLE AND SURVEY 4.1 Title Commitment. Seller has caused the following to be prepared and delivered to Purchaser: a current commitment for title insurance or preliminary title report covering the Real Property, the Plant Site Water Delivery Easement and the Access Easement issued by the Title Company, in the amount of the Purchase Price on a Texas T-7 Form commitment, with Purchaser as the proposed insured (the "Title Commitment"), and copies of all documents of record referred to in the Title Commitment as exceptions to title to the Property. 4.2 Suwey. Seller has obtained from Frontier Surveying Company (the "Survevor") and delivered to Purchaser a new boundary survey ("Survey") to determine the boundaries of the Land and the Access Easement and has provided Purchaser, at Purchaser's sole cost and expense, the opportunity revise, modify or recertify the Survey as necessary in order for the Title Company to delete the survey exception from the Title Policy or otherwise satisfy Purchaser's objectives. 4.3 Title Review. Purchaser has had the opportunity to review title to the Property. Purchaser agrees and acknowledges that it has accepted title to the Property at the Closing. 4.4 Title Obiections. Purchaser agrees and acknowledges that Seller has not cured any exceptions or encumbrances to title; provided, however that the release of financing liens of an ascertainable amount created by Seller or financing statements concerning the Property ("Financing Liens") is a Closing Condition pursuant to Section 5.6 entitled "Lien Releases". Purchaser agrees and acknowledges that the Property is being delivered subject to the following (the "Permitted Exceptions): the specific exceptions (including exceptions that are a part of the promulgated title insurance form) in the Title Commitment that the Title Company has not agreed to remove from the Title Commitment prior to Closing (provided that the Title Company shall not remove exceptions from a title commitment without Seller's prior written consent); matters created by, through or under Purchaser; items shown on Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 the Survey which have not been removed as of Closing; real estate taxes not yet due and payable; rights of third parties under Property Contracts; and easements to Oncor in the form attached as Exhibit B hereto; easement expansion rights in that certain Special Warranty Deed executed by TXU Electric Company, acknowledged on December 14, 2001, recorded in Volume 05071, Page 05561 Deed Records, Collin County, Texas or any encumbrance, conveyance or other item created by the exercise by Oncor of any of Oncor's rights or voluntarily created by Seller in lieu or in satisfaction of, or to obtain release of Oncor's rights (including Seller's approval of such rights) (the "Oncor Rights"). Purchaser expressly agrees and acknowledges that the Oncor Rights are prior and superior to Purchaser's rights under this Agreement and that Seller is providing no assurance to Purchaser that the Oncor Rights will be released at or prior to the Closing. Except as expressly provided in Section 5.2.3(a), Purchaser shall have no right to object to, request revision of or otherwise seek modification, amendment or alteration of, any Permitted Exception other than to request Oncor to release the Oncor Rights as to the Real Property. 4.5 Delivery of Title Policy. In the event that the Title Company does not issue at the Closing, or unconditionally commit at the Closing to issue, to Purchaser, an owner's title policy in accordance with the Title Commitment, insuring Purchaser's fee simple title to the Property in the amount of the Purchase Price, subject only to the standard exceptions and exclusions from coverage contained in such policy and the Permitted Exceptions (the "Title Policv"), Purchaser shall have the right, as its sole and exclusive remedy, to terminate this Agreement and the parties hereto shall have no further rights or obligations, other than those that by their terms survive the termination of this Agreement and neither party shall be deemed to be in default hereunder. ARTICLE 5 CLOSING 5.1 Closing. The consummation of transaction contemplated herein ("Closin$"' shall occur on the Closing Date at the offices of Escrow Agent (or such other location as may be mutually agreed upon by Seller and Purchaser). Funds shall be deposited into and held by Escrow Agent in a closing escrow account with a bank satisfactory to Purchaser and Seller. Upon satisfaction or completion of all closing conditions and deliveries, the parties shall direct Escrow Agent to immediately record and deliver the closing documents to the appropriate parties and make disbursements according to the closing statements executed by Seller and Purchaser. 5.2 Conditions to Parties' Obligation to Close at Closing. 5.2.1 Seller's and Purchaser's Conditions. In addition to all other conditions set forth herein, the obligation of Seller, on the one hand, and Purchaser, on the other hand, to consummate the transactions contemplated hereunder at Closing are conditioned upon the following: (a) Representations and Warranties. The other party's representations and warranties contained herein shall be true and correct in all material respects as of the Closing Date; (b) Deliveries. As of the Closing Date the other party shall have tendered all deliveries required to be made at Closing; and (c) Actions, Suits, etc. There shall exist no pending or threatened actions, suits, arbitrations, claims, attachments, proceedings, assignments for the benefit of creditors, insolvency, bankruptcy, reorganization or other proceedings, against the other party that would materially and adversely affect that party's ability to perform its obligations under this Agreement at Closing. 5.2.2 Seller's Additional Conditions. In addition to all other Closing Conditions set forth herein, the obligation of Seller to consummate the transactions contemplated hereunder at the Closing is conditioned upon the execution and acknowledgetnent by affiliates of Lucy Billingsley and Henry Billingsley and all parties claiming any interest in the North Lake Property by, through and under Lucy Billingsley and Henry Billingsley (including Coppell Independent School District) (collectively, the "Billingslev Parties") and delivery to Seller (with a copy or original to Escrow Agent), on terms satisfactory to Seller in its sole and absolute discretion, of the following documents (which may be contingent on Closing) (collectively, the "Billingslev Settlement Documents") Purchase and Sale Agreement - North Lake 1505488~. 18 EFHlOOl52002 (a) a full and final settlement of all claims, controversies, causes of action associated with the property described on 0 hereto (the "North Lake Property"), (b) a surface use agreement permitting Seller to develop its mineral interest - underlying the North Lake Property on temis satisfactory to Seller in its sole and absolute discretion (the "Surface Use Agreement") and (c) a release and discharge of that certain Facilities and Operations Lease dated November 21, 2008 between CBIC Coppell Land, LLC, Cypress Waters Land A, Ltd., Cypress Waters Land B, Ltd., and Cypress Waters Land C, Ltd., jointly and severally as landlord, and Seller, as tenant and that certain Environmental Remediation Agreement dated November 21, 2008 by and between CBIC Coppell Lapd, LLC and Seller and execution and acknowledgement of releases of that certain Memorandum of Lease dated November 21, 2008, by and between CBIC Coppell Land, LLC, Cypress Waters Land A, Ltd., Cypress Waters Land B, Ltd., and Cypress Waters Land C, Ltd., jointly and severally as landlord, and Seller, as tenant, recorded as Instrument No. 20080370215 in the Real Property Records of Dallas County, Texas and that certain Memorandum of Environmental Remediation Agreement dated November 21, 2008 by and between CBIC Coppell Land, LLC and Seller, recorded as Instrument No. 20080370214 in the Real Property Records of Dallas County, Texas (the "Release of Memoranda"). 5.2.3 Purchaser's Additional Condition. In addition to all other Closing Conditions set forth herein, the obligation of Purchaser to consummate the transactions contemplated hereunder at the Closing is conditioned upon (a) the execution and acknowledgement by Oncor, on terms reasonably satisfactory to Purchaser, of a release (which may be contingent upon Closing) of the Oncor Rights encumbering the Real Property (the "Oncor Release") and delivery of the Oncor Release to the Escrow Agent or the prior recordation of the Oncor Release in the Real Property Records of Dallas County, Texas (with a copy to the Escrow Agent) and (b) the execution and acknowledgement by the Billingsley Parties and delivery to Purchaser, on terms satisfactory to Purchaser in its sole and absolute discretion of a full and fmal settlement of all claims, controversies, causes of action associated with the North Lake Property. 5.2.4 Non-Satisfaction of Conditions. So long as a party is not in default hereunder, if any condition to such party's obligation to proceed with Closing hereunder (a "Closing Condition") has not been satisfied as of the Closing Date (or such earlier date as is provided herein), such party may, as its sole remedies and recourses (except as provided in the last sentence of this Section 5.2.4 if the other party is in default), either (a) terminate this Agreement by delivering written notice to the other party on the Closing Date or (b) elect to close notwithstanding the non-satisfaction of such Closing Condition, in which event such party shall be deemed to have waived such Closing Condition. In the event such party elects to close, notwithstanding the non-satisfaction of such Closing Condition, such party shall be deemed to have waived such Closing Condition, and there shall be no liability on the part of any other party hereto for breaches of representations and warranties of which the party electing to close had knowledge at the Closing. Notwithstanding any provision of this Section 5.2.4 to the contrary, (the Closing Condition set forth in Section5.2.l(b) entitled "Deliveries" (expressly excluding, however, the deliveries pursuant to Section 5.2.2, 5.2.3 and 5.6 (the "Conditional Deliveries") or execution or delivery of documents by a person other Seller or Purchaser) is not satisfied, or if a party is otherwise in default hereunder at or prior to Closing, the provisions of Article 8 of this Agreement (including the applicable notice and cure periods set forth therein) shall govern the rights and remedies of the parties hereunder with respect to such default. For the avoidance of doubt, no party shall be in default under this Agreement if the Conditional Deliveries (or any of them) are not made and the provisions of Article 8 shall not govern in any such event. 5.3 Seller's Deliveries in Escrow. As of or prior to the Closing Date, Seller shall deliver in escrow to Escrow Agent the following: 5.3.1 Deed. A Special Warranty Deed and Right of First Refusal Agreement in the form of Exhibit D hereto (''W') executed and acknowledged by Seller; 5.3.2 Bill of Sale, Assienment and Assumption. The Assignment executed and acknowledged by Seller, vesting in Purchaser, without warranty, Seller's right, title and interest in and to the property described therein free of any claims, except for the Permitted Exceptions (as defined in the Deed) to the extent applicable; 5.3.3 Oncor Easement. If not earlier executed, acknowledged and recorded by Seller, the Oncor Easement. Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100/52002 5.3.4 Conveyancinp; or Transfer Tax Forms or Returns. Such conveyancing or transfer tax forms or returns, if any, as are required to be delivered or signed by Seller by applicable state and local law in connection with the conveyance of the Property; 5.3.5 FIRPTA. A Foreign Investment in Real Property Tax Act affidavit in the form of Exhibit E hereto executed by Seller; 5.3.6 Authority. Evidence of the existence, organization and authority of Seller and of the authority of the persons executing documents on behalf of Seller reasonably satisfactory to the underwriter for the Title Policy; 5.3.7 Additional Documents. Any additional docun~ents that Escrow Agent or the Title Company may reasonably require for the proper consummation of the transaction contemplated by this Agreement (provided, however, no such additional document shall expand any obligation, covenant, representation or warranty of Seller or result in any new or additional obligation, covenant, representation or warranty of Seller under this Agreement beyond those expressly set forth in this Agreement). 5.4 Purchaser's Deliveries in Escrow. As of or prior to the Closing Date, Purchaser shall deliver in escrow to Escrow Agent the following: 5.4.1 Deed. The Deed, executed and acknowledged by Purchaser. 5.4.2 Bill of Sale, Assipnment and Assumption. The Assignment, executed and acknowledged by Purchaser; 5.4.3 Release of Memoranda. Release of Memoranda executed and acknowledged by Purchaser and the other parties thereto. 5.4.4 Convevancinp; or Transfer Tax Forms or Returns. Such conveyancing or transfer tax forms or returns, if any, as are required to be delivered or signed by Purchaser by applicable state and local law in connection with the conveyance of the Real Property; 5.4.5 Authority. Evidence of the existence, organization and authority of Purchaser and of the authority of the persons executing documents on behalf of Purchaser reasonably satisfactory to the underwriter for the Title Policy and certification by the Purchaser's City Manager that no portion of the Purchase Price is being paid from the proceeds of bonds issued by Purchaser; and 5.4.6 Certified Resolution. A resolution, accompanied by a secretary's certificate in form reasonably acceptable to Seller (the "Certified Resolution of the City Council") approving the execution and delivery of the Agreement (and all exhibits hereto) and all other documents to be delivered by Purchaser pursuant to this Article 5, including, without limitation, the Settlement Agreement and the Surface Use Agreement) has been approved by its City Council. 5.4.7 Additional Documents. Any additional documents that Seller, Escrow Agent or the Title Company may reasonably require for the proper consummation of the transaction contemplated by this Agreement (provided, however, no such additional document shall expand any obligation, covenant, representation or warranty of Purchaser or result in any new or additional obligation, covenant, representation or warranty of Purchaser under this Agreement beyond those expressly set forth in this Agreement). 5.5 Seller's and Purchaser's Mutual Deliveries in Escrow. Seller and Purchaser shall execute and deliver in escrow to the Escrow Agent the following: 5.5.1 Settlement Agreement. Settlement Agreement between Purchaser and Seller releasing all claims, controversies and causes of action associated with the North Lake Property in form satisfactory to Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 Purchaser and Seller in their sole and absolute discretion (the "Settlement Agreement"), executed and acknowledged by Seller and Purchaser. 5.5.2 Surface Use Agreement. A Surface Use Agreement in fortn satisfactory to Purchaser, Seller and the other owners the North Lake Properties in their sole and absolute discretion, executed and acknowledged by Seller, Purchaser and the other parties thereto. 5.6 Lien Releases. As of or prior to the Closing Date, Seller shall use reasonable efforts to obtain and, at Seller's election, either file in the Real Property Records of Dallas County, Texas (with a copy to the Escrow Agent) or deliver to the Escrow Agent, releases (which may be contingent upon Closing, with Seller having the right to apply the purchase price or a portion thereof for the purpose of obtaining such releases) of all Financing Liens encumbering the Property ("Lien Releases"). The deliveries pursuant to this Section 5.6 are Conditional Deliveries and shall be a Closing Condition of Seller and Purchaser. 5.7 Closing Statements. As of or prior to the Closing Date, Seller and Purchaser shall deposit with Escrow Agent executed closing statements consistent with this Agreement in the form required by Escrow Agent. 5.8 Purchase Price. At or before Noon local time on the Closing Date, Purchaser shall deliver to Escrow Agent the Purchase Price plus or minus applicable prorations, in immediate, same-day U.S. federal funds wired for credit into Escrow Agent's escrow account. All hnds to be delivered at Closing must be delivered in a manner to permit Escrow Agent to deliver good funds to Seller or its designee on the Closing Date (and, if requested by Seller, by wire transfer); in the event that Escrow Agent is unable to deliver good funds to Seller or its designee on the Closing Date, then the closing statements and related prorations will be revised as necessary. 5.9 Possession. At Closing, Seller shall deliver possession of the Property to Purchaser. 5.10 Delivery of Books and Records. After Closing, Seller shall deliver to the offices of Purchaser to the extent in Seller's possession: maintenance records and warranties; plans and specifications; leases, licenses, permits and certificates of occupancy; copies or originals of all books and records of account, contracts, and copies of correspondence with tenants and suppliers; and keys. Seller's obligation pursuant to this Section 5.10 shall survive Closing. ARTICLE 6 PRORATIONS, DEPOSITS, COMMISSIONS 6.1 Prorations. At Closing, the following items shall be prorated as of the Closing Date with all items of income and expense for the Property being borne by Purchaser fiom and after (and including) the Closing Date: accrued operating expenses; real and personal ad valorem taxes ("Taxes"); and any assessments by private covenant for the then-current calendar year of Closing. Specifically, the following shall apply to such prorations: 6.1.1 Taxes. If Taxes for the year of the Closing are not known or cannot be reasonably estimated, Taxes shall be prorated based on Taxes for the year prior to Closing. Any additional Taxes relating to the year of Closing or prior years arising out of a change in the use of the Real Property or a change in ownership shall be assumed by Purchaser effective as of Closing and paid by Purchaser when due and payable, and Purchaser shall indemnify Seller from and against any and all such Taxes, which indemnification obligation shall survive the Closing. Seller reserves the right to pursue any challenge to Taxes attributable to any time period prior to Closing shall be entitled to any rehnd or reduction of Taxes attributable to any time period prior to Closing. Purchaser's City Manager shall take all necessary actions (or refrain to take action, as appropriate) to cause Purchaser to comply with this Section 6.1.1, Seller acknowledges that Purchaser is a political subdivision of the State of Texas and may be exempt from payment of ad valorem taxes. 6.1.2 Utilities. Purchaser shall take all steps necessary to effectuate the transfer of all utilities, if any, to its name as of the Closing Date, and where necessary, post deposits with the utility companies. Seller shall ensure that all utility meters are read as of the Closing Date. Seller shall be entitled to recover any and all deposits held by any utility company as of the Closing Date. Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100f52002 6.2 Closing Costs. Closing costs shall be allocated between Seller and Purchaser in accordance with Section 1.2 entitled "Closing Costs". 6.3 Final Adjustment After Closing. If final bills are not available or cannot be issued prior to Closing for any item being prorated under Section 6.1, then Purchaser's City Manager on behalf of Purchaser and Seller shall allocate such items on a fair and equitable basis as soon as such bills are available, fmal adjustment to be made as soon as reasonably possible after the Closing and Purchaser's City Manager shall cause Purchaser to make any payments allocated to Purchaser pursuant to this Section 6.3. Payments in connection with the final adjustment shall be due within 30 days of written notice. All such rights and obligations shall survive the Closing. 6.4 Commissions. Seller and Purchaser each represent and warrant to the other that no real estate brokerage commission is payable to any person or entity in connection with the transaction contemplated hereby. Seller's and Purchaser's representations and warranties under this Section 6.4 shall survive the termination of this Agreement and shall survive the Closing. ARTICLE 7 REPRESENTATlONS AND WARRANTIES 7.1 Seller's Representations and Warranties. Seller represents and warrants to Purchaser that: 7.1.1 Organization and Authority. Seller is validly existing, and is in good standing in the state in which it was formed. Seller has the full right and authority and has obtained any and all consents required to enter into this Agreement and to consummate or cause to be consummated the transactions contemplated hereby. This Agreement has been, and all of the documents to be delivered by Seller at the Closing will be, authorized and executed and constitute, or will constitute, as appropriate, the valid and binding obligation of Seller, enforceable in accordance with their terms. 7.1.2 Conflicts and Pendinv Actions. There is no agreement to which Seller is a party or, to Seller's knowledge, that is binding on Seller which is in conflict with this Agreement. To Seller's knowledge, there is no action or proceeding pending or threatened against Seller or relating to the Property, which challenges or impairs Seller's ability to execute or perform its obligations under this Agreement. 7.1.3 Notices from Governmental Authorities. To Seller's knowledge, Seller has not received from any governmental authority (other than Purchaser) written notice of any material violation of any laws applicable (or alleged to be applicable) to the Real Property, or any part thereof, that has not been corrected, except as may be reflected by the Property Documents or otherwise disclosed in writing to Purchaser. 7.2 Purchaser's Representations and Warranties. Purchaser represents and warrants to Seller that: 7.2.1 Organization and Authority. Purchaser is validly existing as a political subdivision of the State of Texas. Purchaser has the full right and authority and has obtained any and all consents required to enter into this Agreement, to deposit and invest the Earnest Money and to consummate or cause to be consummated the transactions contemplated hereby. This Agreement has been, and all of the documents to be delivered by Purchaser at the Closing will be, authorized and properly executed and constitute, or will constitute, as appropriate, the valid and binding obligation of Purchaser, enforceable in accordance with their terms. 7.2.2 Conflicts and Pending Action. There is no agreement to which Purchaser is a party or, to Purchaser's knowledge, binding on Purchaser which is in conflict with this Agreement. Purchaser has not received notice of any action or proceeding, pending or, to Purchaser's knowledge, threatened, against Purchaser which challenges or impairs Purchaser's ability to execute or perform its obligations under this Agreement. 7.2.3 Prohibited Persons and Transactions. Purchaser is currently in compliance with and shall at all times during the term of this Agreement (including any extension thereof) remain in compliance with the regulations of the Office of Foreign Asset Control ("OFAC") of the Department of the Treasury (including those named on OFAC's Specially Designated Nationals and Blocked Persons List) and any statute, executive order Purchase and Sale Agreement - North Lake 1505488v.18 EFH100152002 (including the September 24, 2001, Executive Order Blocking Property and Prohibiting Transactions with Persons Who Commit, Threaten to Commit, or Support Terrorism), or other governmental action relating thereto. 7.3 Survival of Representations and Warranties. The representations and warranties set forth in this Article 7 shall survive Closing for a period of six months (the "Survival Period"); provided, however, that such representations and warranties shall automatically terminate if following the Closing, any direct or indirect transfer, assignment, conveyance or sale of the Property or any ownership interest in Purchaser occurs. Terms such as "to Seller's knowledge," "to the best of Seller's knowledge" or like phrases mean the actual present and conscious awareness or knowledge of Patrick J. McInroe ("Seller's Representative"), without any duty of inquiry or investigation; provided that so qualifying Seller's knowledge shall in no event give rise to any personal liability on the part of Seller's Representative, or any of them, or any other officer or employee of Seller, on account of any breach of any representation or warranty made by Seller herein. Said terms do not include constructive knowledge, imputed knowledge, or knowledge Seller or such persons do not have but could have obtained through hrther investigation or inquiry. No broker, agent, or party other than Seller is authorized to make any representation or warranty for or on behalf of Seller. Each party shall have the right to bring an action against the other on the breach of a representation or warranty or covenant hereunder or in the documents delivered by Seller at the Closing, but only on the following conditions: (1) the breach in question results from, or is based on, a condition, state of facts or other matter that was not known prior to Closing by the party bringing the action, (2) the party alleging the breach gives written notice of such breach to the other party before the earlier to occur of (i) 91 days following the date on which the party alleging the breach becomes aware of such breach and (ii) the end of the Survival Period and files the action with respect to such breach on or before the first day following the second anniversary of the Closing Date, and (3) neither party shall have the right to bring a cause of action for a breach of a representation or warranty or covenant unless the damage to such party on account of such breach (individually or when combined with damages from other breaches) equals or exceeds $50,000, and then only to the extent of such excess (but not in excess of the Cap defined below). The parties stipulate that the periods of time referenced above to give written notice of the alleged breach and to file the action with respect to such breach is reasonable and hereby waive any claims to the contrary. If a party fails to timely notify the other party or file such action within the required time periods as described above, such action shall be barred. Neither party shall have any liability after Closing for the breach of a representation or warranty or covenant hereunder of which the other party hereto had knowledge as of Closing. Without limiting the generality of the foregoing, and notwithstanding any other provision of this Agreement, Seller shall have no liability with respect to any of Seller's representations, warranties and covenants hereunder if, prior to the Closing, Purchaser has knowledge of any breach of a representation, warranty or covenant of Seller hereunder, or Purchaser obtains knowledge that contradicts any of Seller's representations, warranties or covenants hereunder (and the representations and warranties of Seller shall be deemed to be modified thereby to be accurate), and Purchaser nevertheless consummates the transactions contemplated by this Agreement (in which event any such breach or contradiction shall be deemed waived by Purchaser). Notwithstanding any other provision of this Agreement, any agreement contemplated by this Agreement, or any rights which Purchaser might otherwise have at law, equity, or by statute, whether based on contract or some other claim, Purchaser agrees that any liability of Seller to Purchaser will be limited to $50,000 (the "Cap"). The provisions of this Section 7.3 shall survive the Closing. Any breach of a representation or warranty that occurs prior to Closing shall constitute the non-satisfaction of the Closing Condition set forth in Section 5.2.l(a) entitled "Representations and Warranties" and shall be governed exclusively by Section 5.2.4 entitled "Non-Satisfaction of Conditions". ARTICLE 8 DEFAULT AND REMEDIES 8.1 Seller's Remedies. If Purchaser fails to consummate the purchase of the Property pursuant to this Agreement or otherwise defaults on its obligations hereunder at Closing for any reason except failure by Seller to perform hereunder, Seller shall be entitled, as its sole remedy (except as provided in Sections 6.4, 8.3 and 8.4 hereof), to terminate this Agreement. Notwithstanding anything in this Section 8.1 to the contrary, in the event of Purchaser's default or a termination of this Agreement, Seller shall have all remedies available by mandamus to compel the performance of Purchaser or other suit, action or proceeding available at law or in equity in the event Purchaser or any party associated with Purchaser is asserting any claims or right to the Property that would otherwise delay or prevent Seller from having clear, indefeasible and marketable title to the Property, and in said event Seller shall not be required to submit such matter to dispute resolution as contemplated by Section 10.19. In all other events Seller's remedies shall be limited to those described in Section 6.4 entitled "Commissions", and Purchase and Sale Agreement - North Lake 1505488v.18 EFH100152002 Sections 8.1, 8.3 and 8.4 hereof. If Closing is consummated, Seller shall have all remedies available by mandamus to compel the performance of Purchaser or other suit, action or proceeding available at law or in equity in the event Purchaser fails to perform any obligation of Purchaser under this Agreement. 8.2 Purchaser's Remedies. If Seller fails to consum~nate the sale of the Property pursuant to this Agreement or otherwise defaults on its obligations hereunder at Closing for any reason except failure by Purchaser to perform hereunder, Purchaser shall elect, as its sole remedy, either to (a) terminate this Agreement by giving Seller timely written notice of such election prior to or at Closing, (b) enforce specific performance to consummate the sale of the Property hereunder, or (c) waive said failure or breach and proceed to the Closing-without any reduction in the Purchase Price for the Property. Notwithstanding anything herein to the contrary, Purchaser shall not be entitled to a remedy of specific performance and shall be deemed to have elected to terminate this Agreement unless a duly authorized signatory of Purchaser is physically present at the offices of the Title Company on the Closing Date with all closing documents for the Property as required by Article 5, executed on behalf of Purchaser where applicable, in Purchaser's possession and Purchaser files to seek specific performance within ten Business Days following the expiration of the Dispute Resolution Period. Purchaser's remedies shall be limited to those described in this Section 8.2 and Sections 8.3 and 8.4 hereof. IN NO EVENT SHALL SELLER'S DIRECT OR INDIRECT PARTNERS, SHAREHOLDERS, MEMBERS, MANAGERS, OWNERS OR AFFILIATES, ANY OFFICER, MANAGER, DIRECTOR, EMPLOYEE OR AGENT OF THE FOREGOING, OR ANY AFFILIATE OR CONTROLLING PERSON THEREOF HAVE ANY LIABILITY FOR ANY CLAIM, CAUSE OF ACTION OR OTHER LIABILITY ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE PROPERTY, WHETHER BASED ON CONTRACT, COMMON LAW, STATUTE, EQUITY OR OTHERWISE. 8.3 Attorneys' Fees. In the event either party hereto employs an attorney in connection with claims by one party against the other arising from the operation of this Agreement, the non-prevailing party shall pay the prevailing party all reasonable fees and expenses, including attorneys' fees, incurred in connection with such claims. 8.4 Other Expenses. If this Agreement is terminated due to the default of a party, then the defaulting party shall pay any fees or charges due to Escrow Agent for any escrow cancellation fees or charges and any fees or charges due to the Title Company for preparation and/or cancellation of the Title Commitment. ARTICLE 9 DISCLAIMERS, RELEASE AND INDEMNITY 9.1 Disclaimers by Seller. Except as expressly set forth in this Agreement, it is understood and agreed that Seller and Seller's agents or employees have not at any time made and are not now making, and they specifically disclaim, any warranties, representations or guaranties of any kind or character, express or implied, with respect to the Property, including, but not limited to, warranties, representations or guaranties as to (a) matters of title (other than Seller's special warranty of title to be contained in the Deed), (b) environmental matters relating to the Property or any portion thereof, including, without limitation, the presence of flazardous Materials in, on, under or in the vicinity of the Property, (c) geological conditions, including, without limitation, subsidence, subsurface conditions, water table, underground water reservoirs, limitations regarding the withdrawal of water, and geologic faults and the resulting damage of past and/or future faulting, (d) whether, and to the extent to which the Property or any portion thereof is affected by any stream (surface or underground), body of water, wetlands, flood prone area, flood plain, floodway or special flood hazard, (e) drainage, (f) soil conditions, including the existence of instability, past soil repairs, soil additions or conditions of soil fill, or susceptibility to landslides, or the sufficiency of any undershoring, (g) the presence of endangered species or any environmentally sensitive or protected areas, (h) zoning or building entitlements to which the Property or any portion thereof may be subject, (i) the availability of any utilities to the Property or any portion thereof including, without limitation, water, sewage, gas and electric, 6) usages of adjoining property, (k) access to the Property or any portion thereof, (1) the value, compliance with the plans and specifications, size, location, age, use, design, quality, description, suitability, structural integrity, operation, title to, or physical or fmancial condition of the Property or any portion thereof, or any income, expenses, charges, liens, encumbrances, rights or claims on or affecting or pertaining to the Property or any part thereof, (m) the condition or use of the Property or compliance of the Property with any or all past, present or future federal, state or local ordinances, rules, regulations or laws, building, fire or zoning ordinances, codes or other similar laws, (n) the existence or non-existence of underground storage tanks, surface impoundments, or landfills, (0) any other Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100/52002 matter affecting the stability and integrity of the Property, (p) the potential for further development of the Property, (q) the merchantability of the Property or fitness of the Property for any particular purpose, (r) the truth, accuracy or completeness of the Property Documents, (s) tax consequences, or (t) any other matter or thing with respect to the Property. 9.2 Sale "As Is, Where Is". Purchaser acknowledges and agrees that upon Closing, Seller shall sell and convey to Purchaser and Purchaser shall accept the Property "AS-IS, WHERE-IS, WITH ALL FAULTS," except to the extent expressly provided otherwise in this Agreement and any document executed by Seller and delivered to Purchaser at Closing. Except as expressly set forth in this Agreement, Purchaser has not relied and will not rely on, and Seller has not made and is not liable for or bound by, any express or implied warranties, guarantees, statements, representations or information pertaining to the Property or relating thereto (including specifically, without limitation, Property Documents) made or hmished by Seller, or any property manager, real estate broker, agent or third party representing or purporting to represent Seller, to whomever made or given, directly or indirectly, orally or in writing. Purchaser represents that it is a knowledgeable, experienced and sophisticated purchaser of real estate and that, except as expressly set forth in this Agreement, it is relying solely on its own expertise and that of Purchaser's consultants in purchasing the Property and shall make an independent verification of the accuracy of any documer~ts and information provided by Seller. Purchaser will conduct such inspections and investigations of the Property as Purchaser deems necessary, including, but not limited to, the physical and environmental conditions thereof, and shall rely upon same. Purchaser acknowledges that Seller has afforded Purchaser a full opportunity to conduct such investigations of the Property as Purchaser deemed necessary to satisfy itself as to the condition of the Property and the existence or non-existence or curative action to be taken with respect to any Hazardous Materials on or discharged from the Property, and will rely solely upon same and not upon any information provided by or on behalf of Seller or its agents or employees with respect thereto, other than such representations, warranties and covenants of Seller as are expressly set forth in this Agreement. Upon Closing, Purchaser shall assume the risk that adverse matters, including, but not limited to, adverse physical or construction defects or adverse environmental, health or safety conditions, may not have been revealed by Purchaser's inspections and investigations. Purchaser hereby represents and warrants to Seller that: (a) Purchaser is represented by legal counsel in connection with the transaction contemplated by this Agreement; and (b) Purchaser is purchasing the Property for business, commercial, investment or other similar purpose and not for use as Purchaser's residence. Purchaser waives any and all rights or remedies it may have or be entitled to, deriving from disparity in size or from any significant disparate bargaining position in relation to Seller. 9.3 Seller Released from Liability. Purchaser acknowledges that it has been provided the opportunity to inspect the Property prior to the Effective Date to observe its physical characteristics and existing conditions and the opportunity to conduct such investigation and study on and of the Property and adjacent areas as Purchaser deems necessary, and Purchaser hereby FOREVER RELEASES AND DISCHARGES Seller from all responsibility and liability, including, without limitation, liabilities under the Comprehensive Environmental Response, Compensation and Liability Act Of 1980 (42 U.S.C. Sections 9601 et seq.), as amended ("CERCLA), regarding the condition, valuation, salability or utility of the Property, or its suitability for any purpose whatsoever (including, but not limited to, with respect to the presence in the soil, air, structures and surface and subsurface waters, of Hazardous Materials or other materials or substances that have been or may in the future be determined to be toxic, hazardous, undesirable or subject to regulation and that may need to be specially treated, handled andlor removed fiom the Property under current or hture federal, state and local laws, regulations or guidelines, and any structural and geologic conditions, subsurface soil and water conditions and solid and hazardous waste and Hazardous Materials on, under, adjacent to or otherwise affecting the Property). Purchaser further hereby WAIVES (and by Closing this transaction will be deemed to have WAIVED) any and all objections and complaints (including, but not limited to, federal, state and local statutory and common law based actions, and any private right of action under any federal, state or local laws, regulations or guidelines to which the Property is or may be subject, including but not limited to, CERCLA) concerning the physical characteristics and any existing conditions of the Property. Purchaser further hereby assumes the risk of changes in applicable laws and regulations relating to past, present and future environmental conditions on the Property and the risk that adverse physical characteristics and conditions, including, without limitation, the presence of Hazardous Materials or other contaminants, may not have been revealed by its investigation. 9.4 "Hazardous Materials" Defined. For purposes hereof, "Hazardous Materials" means "Hazardous Material," "Hazardous Substance," "Pollutant or Contaminant," and "Petroleum" and "Natural Gas Purchase and Sale Agreement - North Lake 1505488v.18 EFH100152002 Liquids," as those terms are defined or used in Section 10 1 of CERCLA, and any other substances regulated because of their effect or potential effect on public health and the environment, including, without limitation, PCBs, lead paint, asbestos, urea formaldehyde, radioactive materials, putrescible materials, and infectious materials. 9.5 Indemnity. From and after Closing, Purchaser agrees to indemnify, defend and hold Seller harmless of and from any and all liabilities, claims, demands, and expenses of any kind or nature which are in any way related to the ownership, maintenance, operation or physical condition of the Property, including, without limitation, in connection with Hazardous Materials and any requirements or demands of governmental agencies with jurisdiction over the Property. Purchaser's indemnification obligations shall be payable froin Purchaser's interest in the Property after the Closing and Purchaser's service revenues (and not tax revenues) including, without limitation, water and sewer revenues and shall survive the Closing. 9.6 Survival. The terms and conditions of this Article 9 shall expressly survive the Closing, not merge with the provisions of any closing documents and shall be incorporated into the Deed. Purchaser acknowledges and agrees that the disclaimers and other agreements set forth herein are an integral part of this Agreement and that Seller would not have agreed to sell the Property to Purchaser for the Purchase Price without the disclaimers and other agreements set forth above. ARTICLE 10 MISCELLANEOUS 10.1 Parties Bound; Assignment. This Agreement, and the terms, covenants, and conditions herein contained, shall inure to the benefit of and be binding upon the heirs, personal representatives, successors, and assigns of each of the parties hereto. Purchaser may not assign its rights under this Agreement. 10.2 Headings. The article, section, subsection, paragraph and/or other headings of this Agreement are for convenience only and in no way limit or enlarge the scope or meaning of the language hereof. 10.3 Invalidity and Waiver. If any portion of this Agreement is held invalid or inoperative, then so far as is reasonable and possible the remainder of this Agreement shall be deemed valid and operative, and, to the greatest extent legally possible, effect shall be given to the intent manifested by the portion held invalid or inoperative. The failure by either party to enforce against the other any term or provision of this Agreement shall not be deemed to be a waiver of such party's right to enforce against the other party the same or any other such term or provision in the future. 10.4 Governing Law. This Agreement shall, in all respects, be governed, construed, applied, and enforced in accordance with the law of the state in which the Real Property is located. 10.5 Survival. The provisions of this Agreement that contemplate performance after the Closing and the obligations of the parties not fully performed at the Closing (other than any unfulfilled closing conditions which have been waived or deemed waived by the other party) shall survive the Closing and shall not be deemed to be merged into or waived by the instruments of Closing. 10.6 Entirety and Amendments. This Agreement embodies the entire agreement between the parties and supersedes all prior agreements and understandings relating to the Property. This Agreement may be amended or supplemented only by an instrument in writing executed by the party against whom enforcement is sought. All Exhibits hereto are incorporated herein by this reference for'all purposes. 10.7 Time. Time is of the essence in the performance of this Agreement. 10.8 Confidentiality. Purchaser shall make no public announcement or disclosure of any information related to this Agreement to third parties, before or after the Closing, without the prior written specific consent of Seller; provided, however, that Purchaser may, subject to the provisions of Section 3.2 entitled "Proprietary Purchase and Sale Agreement - North Lake 1505488v.18 EFH100/52002 Documents; Confidentiality", make disclosure of this Agreement to its Permitted Outside Parties as necessary to perform its obligations hereunder and as may be required under laws or regulations applicable to Purchaser. 10.9 Electronic Transactions. Except as expressly provided in Section 10.10 entitled "Notices" and Section 10.13 entitled "Execution in Counterparts", the parties hereby acknowledge and agree (a) this Agreement shall not be executed, entered into, altered, amended or modified by electronic means and (b) without limiting the generality of subparagraph (a), the parties hereby agree the transactions contemplated by this Agreement shall not be conducted by electronic means. 10.10 Notices. All notices required or permitted hereunder shall be in writing and shall be served on the parties at the addresses set forth in Section 1.3. Any such notices shall, unless otherwise provided herein, be given or served (a) by depositing the same in the United States mail, postage paid, certified and addressed to the party to be notified, with return receipt requested, (b) by overnight delivery using a nationally recognized overnight courier, (c) by personal delivery, or (d) by electronic mail addressed to the electronic mail address set forth in Section 1.3 entitled "Notice Addresses" for the party to be notified with a confirmation copy delivered by another method permitted under this Section 10.10. Notice given in accordance herewith for all permitted forms of notice other than by electronic mail, shall be effective upon the earlier to occur of actual delivery to the address of the addressee or refusal of receipt by the addressee (even if such addressee refuses delivery thereof). Notice given by electronic mail in accordance herewith shall be effective upon the entrance of such electronic mail into the information processing system designated by the recipient's electronic mail address. Except for electronic mail notices as described above, no notice hereunder shall be effective if sent or delivered by electronic means. A party's address may be changed by written notice to the other party; provided, however, that no notice of a change of address shall be effective until actual receipt of such notice. Copies of notices are for informational purposes only, and a failure to give or receive copies of any notice shall not be deemed a failure to give notice. Notices given by counsel to the Purchaser shall be deemed given by Purchaser and notices given by counsel to the Seller shall be deemed given by Seller. 10.1 1 Construction. The parties acknowledge that the parties and their counsel have reviewed and revised this Agreement and agree that the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Agreement or any exhibits or amendments hereto. 10.12 Calculation of Time Periods; Business Day. Unless otherwise specified, in computing any period of time described herein, the day of the act or event after which the designated period of time begins to run is not to be included and the last day of the period so computed is to be included, unless such last day is not a Business Day, in which event the period shall run until the end of the next day which is a Business Day. The last day of any period of time described herein shall be deemed to end at 5:00 p.m. local time in the state in which the Real Property is located. As used herein, the term "Business Day" means any day that is not a Saturday, Sunday or legal holiday for national banks in the city in which the Real Property is located. 10.13 Execution in Counterparts. This Agreement (and any alterations, amendments or modifications thereto) may be executed in any number of counterparts, each of which shall be deemed to be an original, and all of such counterparts shall constitute one Agreement. To facilitate execution of this Agreement (or any alteration, amendment or modification thereto), the parties may execute and exchange by electronic mail PDF counterparts of the signature pages, provided that executed originals thereof are forwarded to the other party on the same day by any of the delivery methods set forth in Section 10.10 other than electronic mail PDF. Signature pages may be detached from the counterparts and attached to a single copy of this Agreement (or any alteration, amendment or modification thereto) to physically form one document. 10.14 No Recordation. Without the prior written consent of Seller, there shall be no recordation of either this Agreement or any memorandum hereof, or any affidavit pertaining hereto, and any such recordation of this Agreement or memorandum or affidavit by Purchaser without the prior written consent of Seller shall constitute a default hereunder by Purchaser, whereupon Seller shall have the remedies set forth in Section 8.1 entitled "Seller's Remedies" hereof. In addition to any such remedies, Purchaser's City Manager shall execute on behalf of Purchaser an instrument in recordable form releasing this Agreement or memorandum or affidavit, and Purchaser's and Purchaser's City Manager's obligations pursuant to this Section 10.14 shall survive any termination of this Agreement as a surviving obligation. Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 10.15 Further Assurances. In addition to the acts and deeds recited herein and contemplated to be performed, executed and/or delivered by either party at Closing, each party agrees to perform, execute and deliver, but without any obligation to incur any additional liability or expense, on or after the Closing any further deliveries and assurances as may be reasonably necessary to consummate the transactions contemplated hereby or to further perfect the conveyance, transfer and assignment of the Property to Purchaser and Purchaser's City Manager shall take all necessary actions (or refrain to take action, as appropriate) to cause Purchaser to comply with this Section 10.15, and Purchaser's and Purchaser's City Manager's obligations pursuant to this Section 10.15 shall survive any termination of this Agreement as a surviving obligation. 10.16 Discharge of Obligations. The acceptance of the Deed by Purchaser shall be deemed to be a full performance and discharge of every representation and warranty made by Seller herein and every agreement and obligation on the part of Seller to be performed pursuant to the provisions of this Agreement, except those which are herein specifically stated to survive Closing. 10.17 No Third-Party Beneficiary. The provisions of this Agreement and of the documents to be executed and delivered at Closing are and will be for the benefit of Seller and Purchaser only and are not for the benefit of any third party, and accordingly, no third party shall have the right to enforce the provisions of this Agreement or of the documents to be executed and delivered at Closing. 10.18 Reporting Person. Purchaser and Seller hereby designate the Title Company as the "reporting person" pursuant to the provisions of Section 6045(e) of the Internal Revenue Code of 1986, as amended. 10.19 Dispute Resolution. In the event of a dispute between the parties, before resorting to litigation, the parties will submit to the following dispute resolution process for not more than sixty days following the date on which a party initiation of the dispute resolution process by written notice to the other party (the "Dispute Resolution Period"). The parties agree to negotiate in good faith in an effort to resolve any dispute related to this Agreement that may arise for a period of five business days following the initiation of the dispute resolution process. If the dispute cannot be resolved by negotiation within such five business day period, the parties will submit the dispute to non-binding mediation before resorting to litigation and will equally share the costs of a mutually acceptable mediator. If such dispute cannot be resolved during the Dispute Resolution Period, then either party may commence litigation. Purchaser's General Manager shall take all necessary actions (or refrain to take action, as appropriate) to cause Purchaser to comply with this Section 10.19. This Section 10.19 shall survive the termination of this Agreement and shall survive the Closing. The provisions of this Section 10.19 shall not apply to a party seeking injunctive relief or temporary restraining orders. 10.20 Venue. Venue of any dispute concerning this Agreement shall be in Dallas County, Texas. 10.21 Special Provisions Concerning the Purchaser. 10.21.1 Purchaser's City Mana~er. References in this Agreement to actions by the Purchaser's City Manager shall refer to such person acting on behalf of Purchaser in such person's official capacity and nothing herein shall give rise to any personal liability on the part of Purchaser's City Manager. 10.21.2 Waiver of Sovereign Immunity. TO THE MAXIMUM EXTENT PERMITTED BY LAW AND TO ANY LIMITATIONS CONTAINED IN PURCHASER'S CHARTER, PURCHASER HEREBY AGREES TO WAIVE SOVEREIGN IMMUNITY FROM SUIT AND/OR LIABILITY FOR THE PURPOSE OF ADJUDICATING A CLAIM TO ENFORCE THIS AGREEMENT OR FOR DAMAGES FOR BREACH OF THIS AGREEMENT. 10.21.3 Conflicts with Applicable Law or Charter. Notwithstanding anything to the contrary contained in this Agreement, Purchaser shall not have the obligation to perform any covenant or agreement under this Agreement that is found by a court of competent jurisdiction in a final, non-appealable judgment to violate applicable law or Purchaser's charter as of the Effective Date (but nothing contained in this Section 10.21.3 shall prevent Luminant from seeking recovery under quantum meruit or seeking or exercising other equitable remedies). Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 [SIGNATURE PAGES AND EXHIBITS TO FOLLOW] Purchase and Sale Agreement - North Lake 1505488v.18 EFH100152002 rN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and year written beIow. SELLER: PURCHASER: LUMINANT GENERATION COMPANY LLC, a Texas limited liability company By: Name: Title: Date Executed by Seller: THE CITY OF COPPELL, TEXAS, a political subdivision of the State of Texas By: Name: Title: Date Executed by Purchaser: Purchase and Sale Agreement - North Lake 1505488v.18 EFH100152002 EXHIBIT A BILL OF SALE. ASSIGNMENT AND ASSUMPTION NORTH LAKE THIS BILL OF SALE, ASSIGNMENT AND ASSUMPTION (this "Bill of Sale") is made as of , 20-, by and between LUMINANT GENERATION COMPANY LLC, a Texas limited liability company ("Assignor"), and THE CITY OF COPPELL, TEXAS, a political subdivision of the State of Texas ("Assignee"). WITNESSETH: For good and valuable consideration, receipt and sufficiency of which are hereby acknowledged, Assignor and Assignee hereby agree as follows: I. Assignor hereby sells, transfers, assigns and conveys to Assignee the following: (a) All right, title and interest of Assignor in and to all tangible personal property ("Personalty") located on and used in connection with the maintenance or operation of that certain land and improvements located in the County of Dallas, State of Texas, as more particularly described in Schedule 1 hereto and made a part hereof ("Real Property"). (b) To the extent assignable, all warranties, guaranties, indemnities and claims (including, without limitation, for workmanship, materials and performance) and which exist or may hereafter exist against any contractor, subcontractor, manufacturer or supplier or laborer or other services relating thereto. (c) All right, title and interest of Assignor in all intangible personal property related to the Real Property and the improvements thereon (the "Improvements"), including, without limitation: all trade names and trademarks associated with the Real Property and the Improvements, including Assignor's rights and interests, if any, in the name of the Real Property; the plans and specifications and other architectural and engineering drawings for the Improvements, if any; warranties (to the extent assignable without cost to Seller); governmental permits, approvals and licenses, if any; and telephone exchange numbers (collectively, the "Intangible Personal Property"). Tangible Personal Property and Intangible Personal Property shall not include (I) any appraisals or other economic evaluations of, or projections with respect to, all or any portion of the Property, including, without limitation, budgets prepared by or on behalf of Assignor or any affiliate of Assignor, (2) any documents, materials or information which are subject to attorneylclient, work product or similar privilege, which constitute attorney communications with respect to the Property and/or Assignor, or which are subject to a confidentiality agreement, and (3) any trade name, mark or other identifying material that includes the name "Luminant", the name "Energy Future Holding" or any derivative thereof. 2. This Bill of Sale is given pursuant to that certain Purchase and Sale Agreement (as amended, the "Purchase Agreement") dated as of , between Assignor and Assignee, providing for, among other things, the conveyance of the Personalty and the Intangible Personal Property. 3. As set forth in Article 9 of the Purchase Agreement, which is hereby incorporated by reference as if herein set out in full and except as set forth herein, the property conveyed hereunder is conveyed by Assignor and accepted by Assignee AS IS, WHERE IS, AND WITHOUT ANY WARRANTIES OF WHATSOEVER NATURE, EXPRESS OR IMPLIED, EXCEPT AS EXPRESSLY SET FORTH IN THE PURCHASE AGREEMENT, IT BEING THE INTENTION OF ASSIGNOR AND ASSIGNEE EXPRESSLY TO NEGATE AND EXCLUDE ALL WARRANTIES, INCLUDING, WITHOUT LIMITATION, THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR ANY PARTICULAR PURPOSE, WARRANTIES CREATED BY ANY AFFIRMATION OF FACT OR PROMISE OR BY ANY DESCRIPTION OF THE PROPERTY CONVEYED HEREUNDER, OR BY ANY SAMPLE OR MODEL THEREOF, AND ALL OTHER WARRANTIES WHATSOEVER CONTAINED IN OR CREATED BY THE TEXAS UNIFORM COMMERCIAL CODE. Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 4. Assignee hereby accepts the assignment of the Personalty and the Intangible Personal Property and agrees to assume and discharge, in accordance with the terms thereof all of the obligations thereunder from and after the date hereof. Assignee agrees to indemnify and hold harmless Assignor from any cost, liability, damage or expense (including attorneys' fees) arising out of or relating to Assignee's failure to perform any of the foregoing obligations. 5. This Bill of Sale may be executed in any number of counterparts, each of which shall be deemed an original, but all of which shall constitute one and the same instrument. [THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK.] Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100/52002 IN WITNESS WHEREOF, the parties hereto have executed this Bill of Sale as of the date frst above written. ASSIGNOR: ASSIGNEE: LUMINANT GENERATION COMPANY LLC, a Texas limited liability company By: Name: Title: THE CITY OF COPPELL, TEXAS, a political subdivision of the State of Texas By: Name: Title: Schedule 1 Real Property Purchase and Sale Agreement - North Lake 1505488v.18 EFH100152002 Schedule 1 Real Property Tract 1 BEING a 39.638 acre tract of land situated in the G. Hendricks Survey, Abstract No. 630, the J.G. Carlock Survey, Abstract No. 3 12 and the Francis Jones Survey, Abstract No. 674 in Dallas County, Texas, and being a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), and a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4420, Page 549 D.R.D.C.T. Said 39.638 acre tract being more particularly described by metes and bounds as follows: BEGINNING at a 314 inch iron rod found (N=7,031,066.82, E=2,438,553.41) at the northwest comer of the Grand Estates at Northlake Hills Phase 11, recorded in Volume 2005041, Page 185 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) and in the south line of a tract of land described in deed to Crow-Billingsley Belt Line, LTD., recorded in Volume 86068, Page 5 186 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.) from which a 314" iron rod found capped "PEWITT" bears S 32"30157" W, a distance of 0.78 feet; THENCE: S 00" 22' 55" E, with the West line of said Grand Estates at Northlake Hills Phase 11, a distance of 1102.5 1 feet to a 518 inch iron rod with Aluminum Cap stamped "'Frontier Surveying Company - RPLS 5991" set for the southeast comer of this tract and the northeast comer of a tract of land described as "East Tract IB" in deed to the City of Coppell, recorded in Document No. 20080370218 O.P.R.D.C.T.; THENCE: WEST, with the north line of said City of Coppell tract, a distance of 734.96 feet to a point on the meander line of the easterly shoreline of North Lake established at an elevation of 509.00 feet and the common northwest comer of said City of Coppell tract; THENCE: in a northerly direction, along said established 509.00 foot elevation meander line, the following courses and distances listed as follows for reference purposes only; N 26O13'37" W, a distance of 1853.70 feet to a point for comer; N 75"06'50" W, a distance of 32.32 feet to a point for corner; N 20°52'39" E, a distance of 46.22 feet to a point for comer; S 77"50152" W. a distance of 61 .OO feet to a point for comer; N 22"55'50" W, a distance of 39.04 feet to a point for comer; N 53O.58'22" E, a distance of 3 1.3 1 feet to a point for comer; N 16O22'22" E a distance of 24.5 1 feet to a point for comer; N 26O38'33" W, a distance of 87.99 feet to a point for comer; THENCE: EAST over and across said Dallas Power & Light Company, tract, a distance of 868.99 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set in the west line of a tract of land described as "Tract 4", in deed to Crow-Billingsley North Lake HB&T Joint Venture, recorded in Volume 90106, Page 2492 D.R.D.C.T. fiom which a 112 inch iron rod found capped "RPLS6013TX" bears N 00°34'01" W, a distance of 75.72 feet; THENCE: S 00°34'01" E. with the West line of said Crow-Billingsley North Lake HB&T Joint Venture Tract and the west line of a tract of land described in deed to Trammel Crow Company No. 43 Et al, recorded in Document Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 No. 20070001 189 O.P.R.D.C.T., and passing a chain link fence comer post at the south comer of said Crow- Billingsley North Lake HB&T Joint Venture Tract and the common northwest corner of said Trammel Crow Company No. 43 Et a1 tract at a distance of 69.38 feet and continuing with the west line of said Trammel Crow Company No. 43 Et a1 tract, a total distance of 169.15 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for comer from which a chain link fence post found bears N 83" 16'45" W, a distance of 2.93 feet; THENCE: S 30" 26' 32" E, continuing with the West line of said Trammel Crow Company No. 43 Et a1 tract, a distance of 678.19 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set at the southwest comer of said Trammel Crow Company No. 43 Et a1 tract from which a chain link fence post bears S 39'5 1'52" E, a distance of 1.33 feet; THENCE: S 89" 46' 16" E, with the south line of said Trammel Crow Company No. 43 Et a1 tract and the south line of said Crow-Billingsley Belt Line, LTD. tract, passing a 318 inch iron rod found at the southeast comer of said Trammel Crow Company No. 43 Et a1 tract and the common southwest comer of said Crow-Billingsley Belt Line, LTD. tract at a distance of 201.3 1 feet, and continuing with the south line of said Crow-Billingsley Belt Line, LTD. tract a total distance of 429.36 feet to the POlNT OF BEGINNING and containing 39.638 acres of land more or less. Tract 2 BEING a 16.014 acre tract of land situated in the Francis Jones Survey, Abstract No. 674, in Dallas County, Texas, and being a portion of a called 490.6 acre tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.) and being more particularly described by metes and bounds as follows: BEGINNING at a 518 inch iron rod with aluminum cap stamped "FRONTIER SURVEYING COMPANY - RPLS 5991" set (N = 7,028,735.94, E = 2,438,568.69) at the southwest comer of a tract of land described as "EAST TRACT 1B" in deed to the City of Coppell, recorded in Document No. 20080370218 Official Public Records Dallas County, Texas (O.P.R.D.C.T.) and in the west line of the Final Plat of The Hollows of Valley Ranch Section Four, recorded in Volume 95012, Page 6285 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) from which a 314 inch iron rod found at the northwest comer of the Final Plat of Grand Estates At Northlake Hills Phase 11, recorded in Volume 2005041, Page 185, P.R.D.C.T. bears N 00'22'32" W, a distance of 2330.92 feet; THENCE: S 00'21' 19" E, with the west line of said Hollows of Valley Ranch Section Four and the west line of The Final Plat of the Hollows of Valley Ranch, Amended, Section Two, Recorded in Volume 94067, Page 7887, P.R.D.C.T., a distance of 947.44 feet to a point at the southwest comer of said Hollows of Valley Ranch, Amended, Section Two and the common northwest comer of The Amended Final Plat of Valley Ranch, Phase IV, 6Ih Installment, recorded in Volume 94197, Page 2086, P.R.D.C.T. from which a 112 inch iron rod found bears N 45'52'59" E, a distance of 1 .OO foot; THENCE: S 00" 21' 7" E, with the West line of said Valley Ranch Phase IV-6' Installment, a distance of 256.81 feet to a 112 inch iron rod found at the northeast comer of a tract of land conveyed to C W Shoreline Land, LTD., recorded in Document No. 201200024638 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.): THENCE: West, with the North line of said C W Shoreline Land, LTD. tract, a distance of 384.77 feet to a point on the meander line of the easterly shoreline of North Lake established at an elevation of 509.00 feet; THENCE: in a northerly direction, along said established 509.00 foot elevation meander line, the following courses and distances for listed for reference purposes only; N 08" 40' 03" W, a distance of 26.24 feet to a point for comer; N 46" 36' 01" W, a distance of 203.92 feet to a point for comer; N 35" 50' 06" W, a distance of 164.27 feet to a point for comer; Purchase and Sale Agreement - North Lake 1505488v.18 EFH100152002 N 17" 52' 45" W, a distance of 169.59 feet to a point for comer; N 0 1 " 14' 05" W. a distance of 183.97 feet to a point for comer; N 20" 00' 12" E, a distance of 166.36 feet to a point for comer; N 27" 09' 58" E, a distance of 453.36 feet to a point at the southwest comer of said City of Coppell tract; THENCE: East, with the South line of said City of Coppell tract, a distance of 417.73 feet to the POINT OF BEGINNING and containing 16.014 acres of land more or less. Tract 3 A parcel of land lying and situated in County of Dallas, Texas, being a pait of that certain 11.62 acre tract of land in the W. Perry Survey, Abstract No. 1152, conveyed to the City of Dallas by A.G. Kirksey, et ux. by a deed of record in Volume 540, Page 21, Deed Records of Dallas County, Texas and more particularly described by metes and bounds as follows: BEGINNING at a point in the most westerly line of the said 1 1.62 acre tract, 89.0 feet N 0" 03' W of the extreme southwest comer thereof located in the Old Dallas-Denton Road; THENCE N 0" 03' W, along the most westerly line of the said I 1.62 acre tract, a distance of 1 1 1.0 feet to an iron pin in concrete: THENCE N 46" 57' E, continuing with the boundary line of the said 11.62 acre tract, a distance of 290.0 feet to the point for comer; THENCE S 43" 03' E, 40.7 feet to a point on the west bank ofthe Elm Fork of the Trinity River; THENCE S 14" 15' E, 64.0 feet to a point for comer; THENCE S 37" 05' W. 30.0 feel to a point for comer; THENCE S 88" 25' W, 64.0 feet to a point on the west bank of the Elm Fork of the Trinity River; THENCE S 37" 05' W along the west bank of the Elm Fork of the Trinity River, a distance of 30.0 feet to a point for comer: THENCE N 52" 55' W, a distance of 35.0 feet to a point for comer; THENCE S 46" 57' W, a distance of 83.3 feet to a point for comer; THENCE S 37" 56' W, a distance of 54.9 feet to a point for comer; THENCE S 22" 50' W, a distance of 54.5 feet to a point for comer; THENCE S 16" 46' W, a distance of 40.0 feet to the place of beginning; and containing 0.397 acre of land. Tract 4 BEING a 2.74 1 acre tract of land situated in the Francis Jones Survey, Abstract Number 674, and in Oficial City of Dallas Block Number 8470, in the City of Dallas, Dallas County, Texas, and being a part of that tract of land described in deed to Dallas Power & Light Company, as recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), and being more particularly described as follows: Purchase and Sale Agreement - North Lake 1505488v.18 EFH100/52002 COMMENCING at a 518 inch found iron rod for the common north comer of said Dallas Power & Light Company b-act and Grand Estates at Northlake Hills Phase 11, an addition to the City of Irving, Dallas County, Texas, as recorded in Volume 2005041, Page 185, of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.); THENCE South 00 degrees 23 minutes 11 seconds East, along the east line of said Dallas Power & Light Company tract, a distance of 1,415.88 feet to a point for comer; THENCE South 79 degrees 48 minutes 40 seconds West, departing said east line, a distance of 457.63 feet to a 112 inch set iron rod with yellow plastic cap stamped "HALFF ASSOC 1NC." (hereinafter referred to as "with cap") for the POINT OF BEGINNlNG ofthe herein described tract; THENCE South 10 degrees 11 minutes 20 seconds East, a distance of 398.00 feet to a 112 inch set iron rod with cap for comer; THENCE South 79 degrees 48 minutes 40 seconds West, a distance of 300.00 feet to a 112 inch set iron rod with cap for comer; THENCE North 10 degrees 11 minutes 20 seconds West, a distance of 398.00 feet to a 112 inch set iron rod with cap for comer; THENCE North 79 degrees 48 minutes 40 seconds East, a distance of 300.00 feet to the PON OF BEGINNING and CONTAINING 119,400 square feet or 2.741 acres of land, more or less. Purchase and Sale Agreement - North Lake 1505488v.18 EFH100/52002 Line Name: Tract: la Easement #: WA #: I EXHIBIT B ONCOR EASEMENT EASEMENT AND RIGHT OF WAY STATE OF TEXAS 5 § KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS 8 That, Luniinant Generation Company LLC, a Texas limited liability company, hereinafter called "Grantor," whether one or more, for and in consideration of Ten and no/100 Dollars ($10.00) and other valuable consideration to Grantor in hand paid by Oncor Electric Delivery Company LLC, a Delaware limited liability company, 1616 Woodall Rodgers Freeway, Dallas, Texas 75202, hereinafter referred to as "Grantee", has granted, sold and conveyed and by these presents does grant, sell and convey unto said Grantee, its successors and assigns, an easement and right-of-way for electric transmission, distribution and communication lines, each consisting of a variable number of wires and cables, together with all necessary or desirable appurtenances including supporting structures, foundations, guy wires and guy anchorages (the "Facilities") over, under, across and upon all that certain tract(s) of land located in Dallas County, Texas, more particularly described in Exhibits A and B, attached hereto and made part hereof. Together with: (1) the right of ingress and egress over and along the easement and right-of-way and over Grantor's adjacent lands to or from the easement and right-of-way, for the purpose of and with the right to construct, operate, improve, reconstruct, replace, repair, inspect, patrol, maintain and add or remove such electric power and communications lines or other Facilities as the Grantee may from time to time find necessary, convenient or desirable to erect thereon during the initial construction of the Facilities or at any time thereafter; (2) the right to install gates in all existing and future fences crossing the easement and right-of-way, provided such gates will be installed in a manner that will not weaken such fences; (3) the right to relocate its facilities along the same general direction of said lines; (4) the right to trim and cut down trees and shrubbery on the easement and right-of-way, including by use of herbicides or other similar chemicals approved by the U. S. Environmental Protection Agency, to the extent, in the sole judgment of the Grantee, necessary to prevent possible interference with the operation of said lines or to remove possible hazard thereto; and (5) the right to remove at Grantor's expense or to prevent the construction on the easement and right-of-way of any or all buildings, structures and obstructions. Grantor shall not make or cause any changes in grade, elevation, or contour of the land (except those activities, excluding terracing, associated with normal agricultural activities) within the easement and right-of-way described herein without first providing advance notice and obtaining prior written consent to do so from Grantee. If written consent is not obtained prior to any action by Grantor that causes any changes in grade, elevation, or contour of the land within the easement and right-of-way, Grantor shall, upon demand from Grantee, at Grantor's expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the change in grade, elevation, or contour of the land within the easement and right-of-way in the event Grantor fails to promptly restore the grade, elevation, or contour to its previously existing condition. Grantor shall not perform any excavations, trenching, or other soil disturbing activities (except those activities, excluding terracing, associated with normal agricultural activities) that, in the sole judgment of Grantee, will endanger the integrity of the supporting structures and/or foundations or other Facilities, as applicable, or perform any other activities that may, in the sole judgment of Grantee, remove, reduce, or adversely affect or impact the lateral support of the supporting structures and/or foundations or other Facilities, as applicable, without first providing advance notice and obtaining prior written consent to do so from Grantee. If prior written consent is not obtained by Grantor prior to performing any excavation, trenching or other soil disturbing activity that endangers the integrity of the supporting structures or foundations or other Facilities, as applicable, Grantor shall, upon demand from Grantee, at Grantor's expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the excavation, trenching, or soil disturbing activity in the event Grantor fails to promptly restore the easement and right-of-way to its previously existing condition or cannot do so. Grantor reserves the right to use the easement and right of way area provided such use shall not include the growing of trees thereon or any other use that might, in the sole judgment of the Grantee, interfere with the exercise by the Grantee of the rights hereby granted. Grantor hrther reserves the right to lay out, dedicate, construct, maintain and use across said strip such roads, streets, alleys, railroad tracks, underground telephone cables and conduits and gas, water and sewer pipe lines as will not interfere with Grantee's use of said land for the purpose aforesaid, provided all such facilities shall be located at angles of not less than 45 degrees to any of Grantee's lines, and shall be so constructed as to provide with respect to Grantee's Facilities the minimum clearances provided by law and recognized as standard in the electrical industry, as same may change from time to time. Grantor also reserves the right to erect fences not more than 8 feet high across said land, provided all such fences shall have gates, openings, or removable sections at least 16 feet wide which will permit Grantee reasonable access to all parts of said land. Should Grantee later determine that a width greater than 16 feet is necessary, then Grantee shall have the right granted above to install additional or wider gates at its sole discretion, but the installation of such additional or wider gates shall be at the sole expense of Grantee. Grantor retains all right, title, and interest in and to all oil, gas, and other minerals (whether by law classified as part of the mineral estate or the surface estate) and groundwater in, on, and under the strip or land described herein; provided, however, that Grantor shall not be permitted to drill for oil, gas, and other minerals, and groundwater fiom and under said strip of land but Grantor may extract oil, gas, and other minerals, and groundwater fiom and under said strip of land by directional drilling, mining, or other means, so long as Grantee's use of said strip is not disturbed, which use shall include the right of Grantee to physical and/or lateral support for the Facilities, as well as the right that the Facilities shall not be endangered, obstructed, or interfered with by such operations. In addition to the consideration above recited for the easement and right-of-way hereby granted, the Grantee will pay to the owner of the land, and, if leased, to his tenant, as they may be respectively entitled for actual damages to fences and growing crops and improvements located on the easement and right-of-way caused by reason of the construction, maintenance, addition or removal of said lines; provided, however, that no such payment will be made for trimming or removal of trees growing on the easement and right-of-way, nor for removal of buildings, structures, or obstructions erected upon the easement and right-of-way after granting of this easement and right-of- way. TO HAVE AND TO HOLD the above described easement and right-of-way unto the said Grantee, its successors and assigns, until all of said lines and other Facilities shall be abandoned, and in that event said easement and right-of-way shall cease and all rights herein granted shall terminate and revert to Grantor or Grantor's heirs, successors or assigns; and Grantor hereby binds Grantor and Grantor's heirs, successors, assigns, and legal representatives, to warrant and forever defend the above described easement and right-of-way unto Grantee, its successors and assigns, against every person whomsoever lawfully claiming or to claim the same or any part thereof. This easement may be assigned in whole or in part. EXECUTED this - day of , A.D. 20-. Grantor Luminant Generation Company LLC, a Texas limited liability company Name: Title: 1505488~. 18 EFH 100152002 ACKNOWLEDGEMENT STATE OF TEXAS 4 4 COUNTY OF DALLAS 4 BEFORE ME, the undersigned authority, on this day personally appeared , as the of Luniinant Generation Company LLC, a Texas limited liability company, known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that helshe executed the same for the purposes and consideration therein expressed, in the capacity therein stated and helshe is authorized to do so. GIVEN UNDER MY HAND AND SEAL OF OFFICE this - day of , A. D. 20-. Notary Public in and for the State of Texas After recording, return to: Laura De La Paz Oncor Electric Delivery Company Suite 505 115 W 7th Street Ft. Worth, Texas 76 102 EXHIBIT A FIELD NOTE DESCRIPTION BEING a 9.389 acre tract of land situated in the J. G. Carlock Survey, Abstract No. 312 and the Francis Jones Survey, Abstract No. 674 in Dallas County, Texas, and being a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.) and a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4420, Page 549 D.R.D.C.T. Said 9.389 acre tract being more particularly described by metes and bounds as follows: COMMENCING at a 314 inch iron rod found at the northwest comer of the Grand Estates at Northlake Hills Phase 11, recorded in Volume 2005041, Page 185 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) and in the south line of a tract of land described in deed to Crow-Billingsley Belt Line. LTD., recorded in Volume 86068, Page 5186 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.) from which a 314 inch iron rod found capped "PEWITT" bears S 32"30'5OU W, a distance of 0.78 feet; THENCE: S 00" 22' 55" E, with the West line of said Grand Estates at Northlake Hills Phase 11, a distance of 622.33 feet to THE POINT OF BEGINNING; THENCE: S 00" 22' 55" E, continuing with the West line of said Grand Estates at Northlake Hills Phase 11, a distance of 480.17 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for the southeast corner of this tract and the northeast comer of a tract of land described as "East Tract 1B" in deed to the City of Coppell, recorded in Document No. 200803702 18 O.P.R.D.C.T.; THENCE: WEST, with the north line of said City of Coppell tract, a distance of 25 1.43 feet to a point for comer; THENCE: over and across said Dallas Power & Light Company tract the following courses and distances; N 00°21'52" W, a distance of 501.89 feet to a point for comer; N 30"1108" W, a distance of 1574.25 feet to a point for comer; EAST, a distance of 272.06 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set in the west line of a tract of land described as "Tract 4", in deed to Crow- Billingsley North Lake HB&T Joint Venture, recorded in Volume 90106, Page 2492 D.R.D.C.T. from which a 112 inch iron rod found capped ltRPLS6013TX" bears N 00°34'01" W, a distance of 75.72 feet; THENCE: S 00°34'01" E, with the west line of said Crow-Billingsley North Lake HB&T Joint Venture Tract and the west line of a tract of land described in deed to Trammel Crow Company No. 43 Et al, recorded in Document No. 20070001189 O.P.R.D.C.T., and passing a chain link fence comer post at the south comer of said Crow- Billingsley North Lake HB&T Joint Venture Tract and the common northwest corner of said Trammel Crow Company No. 43 Et a1 tract at a distance of 69.38 feet and continuing with the west line of said Trammel Crow Company No. 43 Et a1 tract, a total distance of 169.15 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for comer from which a chain link fence post found bears N 83"16'45" W, a distance of 2.93 feet; THENCE: S 30" 26'32" E, continuing with the West line of said Trammel Crow Company No. 43 Et a1 tract, a distance of 678.19 feet to a 518 inch iron rod with Aluminunl Cap stamped "Frontier Surveying Company - RPLS 5991" set at the southwest comer of said Trammel Crow Company No. 43 Et a1 tract from which a chain link fence post bears S 399 1'52" E, a distance of 1.33 feet; THENCE: S 89"46'16" E, with the south line of said Trammel Crow Company No. 43 Et al Tract, a distance of 66.07 feet to a point for comer; THENCE: S 30°30'02" E, over and across said Dallas Power & Light Company tract, a distance of 723.95 feet to the POINT OF BEGINNING and containing 9.389 acres of land more or less. EXHIBIT B DEPICTION OF EASEMENT AREA Line Name: : Tract: I b Easement #: : WA #: I EASEMENT AND RIGHT OF WAY STATE OF TEXAS 3 3 KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS 5 That, City of Coppell, a Texas municipality, hereinafter called "Grantor," whether one or more, for and in consideration of Ten and no/100 Dollars ($10.00) and other valuable consideration to Grantor in hand paid by Oncor Electric Delivery Company LLC, a Delaware limited liability company, 16 16 Woodall Rodgers Freeway, Dallas, Texas 75202, hereinafter referred to as "Grantee", has granted, sold and conveyed and by these presents does grant, sell and convey unto said Grantee, its successors and assigns, an easement and right-of-way for electric transmission, distribution and communication lines, each consisting of a variable number of wires and cables, together with all necessary or desirable appurtenances including supporting structures, foundations, guy wires and guy anchorages (the "Facilities") over, under, across and upon all that certain tract(s) of land located in Dallas County, Texas, more particularly described in Exhibits A and B, attached hereto and made part hereof. Together with: (I) the right of ingress and egress over and along the easement and right-of-way and over Grantor's adjacent lands to or from the easement and right-of-way, for the purpose of and with the right to construct, operate, improve, reconstruct, replace, repair, inspect, patrol, maintain and add or remove such electric power and communications lines or other Facilities as the Grantee may from time to time find necessary, convenient or desirable to erect thereon during the initial construction of the Facilities or at any time thereafter; (2) the right to install gates in all existing and future fences crossing the easement and right-of-way, provided such gates will be installed in a manner that will not weaken such fences; (3) the right to relocate its facilities along the same general direction of said lines; (4) the right to trim and cut down trees and shrubbery on the easement and right-of-way, including by use of herbicides or other similar chemicals approved by the U. S. Environmental Protection Agency, to the extent, in the sole judgment of the Grantee, necessary to prevent possible interference with the operation of said lines or to remove possible hazard thereto; and (5) the right to remove at Grantor's expense or to prevent the construction on the easement and right-of-way of any or all buildings, structures and obstructions. Grantor shall not make or cause any changes in grade, elevation, or contour of the land (except those activities, excluding terracing, associated with normal agricultural activities) within the easement and right-of-way described herein without first providing advance notice and obtaining prior written consent to do so from Grantee. If written consent is not obtained prior to any action by Grantor that causes any changes in grade, elevation, or contour of the land within the easement and right-of-way, Grantor shall, upon demand from Grantee, at Grantor's expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the change in grade, elevation, or contour of the land within the easement and right-of-way in the event Grantor fails to promptly restore the grade, elevation, or contour to its previously existing condition. Grantor shall not perform any excavations, trenching, or other soil disturbing activities (except those activities, excluding terracing, associated with normal agricultural activities) that, in the sole judgment of Grantee, will endanger the integrity of the supporting structures and/or foundations or other Facilities, as applicable, or perform any other activities that may, in the sole judgment of Grantee, remove, reduce, or adversely affect or impact the lateral support of the supporting structures and/or foundations or other Facilities, as applicable, without first providing advance notice and obtaining prior written consent to do so from Grantee. If prior written consent is not obtained by Grantor prior to performing any excavation, trenching or other soil disturbing activity that endangers the integrity of the supporting structures or foundations or other Facilities, as applicable, Grantor shall, upon demand from Grantee, at Grantor's expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the excavation, trenching, or soil disturbing activity in the event Grantor fails to promptly restore the easement and right-of-way to its previously existing condition or cannot do so. Grantor reserves the right to use the easement and right of way area provided such use shall not include the growing of trees thereon or any other use that might, in the sole judgment of the Grantee, interfere with the exercise by the Grantee of the rights hereby granted. Grantor further reserves the right to lay out, dedicate, construct, maintain and use across said strip such roads, streets, alleys, railroad tracks, underground telephone cables and conduits and gas, water and sewer pipe lines as will not interfere with Grantee's use of said land for the purpose aforesaid, provided all such facilities shall be located at angles of not less than 45 degrees to any of Grantee's lines, and shall be so constructed as to provide with respect to Grantee's Facilities the minimum clearances provided by law and recognized as standard in the electrical industry, as same may change from time to time. Grantor also reserves the right to erect fences not more than 8 feet high across said land, provided all such fences shall have gates, openings, or removable sections at least 16 feet wide which will permit Grantee reasonable access to all parts of said land. Should Grantee later determine that a width greater than 16 feet is necessary, then Grantee shall have the right granted above to install additional or wider gates at its sole discretion, but the installation of such additional or wider gates shall be at the sole expense of Grantee. Grantor retains all right, title, and interest in and to all oil, gas, and other minerals (whether by law classified as part of the mineral estate or the surface estate) and groundwater in, on, and under the strip or land described herein; provided, however, that Grantor shall not be permitted to drill for oil, gas, and other minerals, and groundwater from and under said strip of land but Grantor may extract oil, gas, and other minerals, and groundwater from and under said strip of land by directional drilling, mining, or other means, so long as Grantee's use of said strip is not disturbed, which use shall include the right of Grantee to physical and/or lateral support for the Facilities, as well as the right that the Facilities shall not be endangered, obstructed, or interfered with by such operations. In addition to the consideration above recited for the easement and right-of-way hereby granted, the Grantee will pay to the owner of the land, and, if leased, to his tenant, as they may be respectively entitled for actual damages to fences and growing crops and improvements located on the easement and right-of-way caused by reason of the construction, maintenance, addition or removal of said lines; provided, however, that no such payment will be made for trimming or removal of trees growing on the easement and right-of-way, nor for removal of buildings, structures, or obstructions erected upon the easement and right-of-way after granting of this easement and right-of- way. TO HAVE AND TO HOLD the above described easement and right-of-way unto the said Grantee, its successors and assigns, until all of said lines and other Facilities shall be abandoned, and in that event said easement and right-of-way shall cease and all rights herein granted shall terminate and revert to Grantor or Grantor's heirs, successors or assigns; and Grantor hereby binds Grantor and Grantor's heirs, successors, assigns, and legal representatives, to warrant and forever defend the above described easement and right-of-way unto Grantee, its successors and assigns, against every person whomsoever lawfully claiming or to claim the same or any part thereof. This easement may be assigned in whole or in part. EXECUTED this - day of , A.D. 20-. Grantor City of Coppell, a Texas municipality By: Name: Title: ACKNOWLEDGEMENT STATE OF TEXAS 9 9 COUNTY OF DALLAS 9 BEFORE ME, the undersigned authority, on this day personally appeared , as the of City of Coppell, a Texas municipality, known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that helshe executed the same for the purposes and consideration therein expressed, in the capacity therein stated and helshe is authorized to do so. GIVEN UNDER MY HAND AND SEAL OF OFFICE this - day of , A. D. 20-. Notary Public in and for the State of Texas After recording, return to: Laura De La Paz Oncor Electric Delivery Company Suite 505 115 W 7th Street Ft. Worth, Texas 76 102 EXHIBIT A FIELD NOTE DESCRIPTION BEING a 7.092 acre tract of land situated in the Francis Jones Survey, Abstract No. 674, in Dallas County, Texas, and being a portion of a tract of land described as "EAST TRACT IB" in deed to the City of Coppell, recorded in Document No. 200803702 18 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.) and being more particularly described by metes and bounds as follows: BEGINNING at a point (N = 7,029,964.34, E = 2,438,309.33) in the north line of said City of Coppell tract from which a 314 inch iron rod found at the northwest comer of the Final Plat of Grand Hills Estates At Northlake Hills Phase 11, recorded in Volume 2005041, Page 185 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) bears N 12" 29' 00" E, a distance of 1 129.18 feet; THENCE: East, with the North line of said City of Coppell tract, a distance of 25 1.43 feet to a point for comer; THENCE: S 00'22' 12" E, with said West line, a distance of 1228.42 feet to a point for comer; THENCE: West, with the South line of said City of Coppell tract, a distance of 25 1.55 feet to a point for comer; THENCE: N 00" 21' 52" W, over and across said City of Coppell tract, a distance of 1228.42 feet to the POINT OF BEGINNlNG and containing 7.092 acres of land more or less. EXHIBIT B Depiction of Easement Area CWD rnATLS AT HDRMLME -, . , - . . --A -- HlU WE I -- -- ~XSVRUCIUHE . 1,)THE BWS DF 6WOHCS MlUS W 6 M STATE WE CWRDllMR rmM. WE t102 WY WW ~&JP7~I,~-Ig(~8%~~~: mwCC9 AM0 coxcR&CI 8mG m. Z.)ADSCMIWOF&V4 MlZ PlCE 1 OF 1ChDPHjE 1DfZ~WIbTW~. PAGEZOFZ 1505488~. 18 EFH 100/52002 Line Name: Tract: Ic Easement #: WA #: 1 EASEMENT AND RIGHT OF WAY STATE OF TEXAS 5 5 KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS 5 That, Luminant Generation Company LLC, a Texas limited liability company, hereinafter called "Grantor," whether one or more, for and in consideration of Ten and noI100 Dollars ($10.00) and other valuable consideration to Grantor in hand paid by Oncor Electric Delivery Company LLC, a Delaware limited liability company, 1616 Woodall Rodgers Freeway, Dallas, Texas 75202, hereinafter referred to as "Grantee", has granted, sold and conveyed and by these presents does grant, sell and convey unto said Grantee, its successors and assigns, an easement and right-of-way for electric transmission, distribution and communication lines, each consisting of a variable number of wires and cables, together with all necessary or desirable appurtenances including supporting structures, foundations, guy wires and guy anchorages (the "Facilities") over, under, across and upon all that certain tract(s) of land located in Dallas County, Texas, more particularly described in Exhibits A and B, attached hereto and made part hereof. Together with: (1) the right of ingress and egress over and along the easement and right-of-way and over Grantor's adjacent lands to or from the easement and right-of-way, for the purpose of and with the right to construct, operate, improve, reconstruct, replace, repair, inspect, patrol, maintain and add or remove such electric power and communications lines or other Facilities as the Grantee may fiom time to time find necessary, convenient or desirable to erect thereon during the initial construction of the Facilities or at any time thereafter; (2) the right to install gates in all existing and future fences crossing the easement and right-of-way, provided such gates will be installed in a manner that will not weaken such fences; (3) the right to relocate its facilities along the same general direction of said lines; (4) the right to trim and cut down trees and shrubbery on the easement and right-of-way, including by use of herbicides or other similar chemicals approved by the U. S. Environmental Protection Agency, to the extent, in the sole judgment of the Grantee, necessary to prevent possible interference with the operation of said lines or to remove possible hazard thereto; and (5) the right to remove at Grantor's expense or to prevent the construction on the easement and right-of-way of any or all buildings, structures and obstructions. Grantor shall not make or cause any changes in grade, elevation, or contour of the land (except those activities, excluding terracing, associated with normal agricultural activities) within the easement and right-of-way described herein without first providing advance notice and obtaining prior written consent to do so from Grantee. If written consent is not obtained prior to any action by Grantor that causes any changes in grade, elevation, or contour of the land within the easement and right-of-way, Grantor shall, upon demand from Grantee, at Grantor's expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the change in grade, elevation, or contour of the land within the easement and right-of-way in the event Grantor fails to promptly restore the grade, elevation, or contour to its previously existing condition. Grantor shall not perform any excavations, trenching, or other soil disturbing activities (except those activities, excluding terracing, associated with normal agricultural activities) that, in the sole judgment of Grantee, will endanger the integrity of the supporting structures and/or foundations or other Facilities, as applicable, or perform any other activities that may, in the sole judgment of Grantee, remove, reduce, or adversely affect or impact the lateral support of the supporting structures and/or foundations or other Facilities, as applicable, without first providing advance notice and obtaining prior written consent to do so from Grantee. If prior written consent is not obtained by Grantor prior to performing any excavation, trenching or other soil disturbing activity that endangers the integrity of the supporting structures or foundations or other Facilities, as applicable, Grantor shall, upon demand from Grantee, at Grantor's expense, restore the easement and right-of-way to its previously existing condition, or reimburse Grantee fully for the cost of adjusting its Facilities as necessary to accommodate the excavation, trenching, or soil disturbing activity in the event Grantor fails to promptly restore the easement and right-of-way to its previously existing condition or cannot do so. Grantor reserves the right to use the easement and right of way area provided such use shall not include the growing of trees thereon or any other use that might, in the sole judgment of the Grantee, interfere with the exercise by the Grantee of the rights hereby granted. Grantor hrther reserves the right to lay out, dedicate, construct, maintain and use across said strip such roads, streets, alleys, railroad tracks, underground telephone cables and conduits and gas, water and sewer pipe lines as will not interfere with Grantee's use of said land for the purpose aforesaid, provided all such facilities shall be located at angles of not less than 45 degrees to any of Grantee's lines, and shall be so constructed as to provide with respect to Grantee's Facilities the minimum clearances provided by law and recognized as standard in the electrical industry, as same may change from time to time. Grantor also reserves the right to erect fences not more than 8 feet high across said land, provided all such fences shall have gates, openings, or removable sections at least 16 feet wide which will permit Grantee reasonable access to all parts of said land. Should Grantee later determine that a width greater than 16 feet is necessary, then Grantee shall have the right granted above to install additional or wider gates at its sole discretion, but the installation of such additional or wider gates shall be at the sole expense of Grantee. Grantor retains all right, title, and interest in and to all oil, gas, and other minerals (whether by law classified as part of the mineral estate or the surface estate) and groundwater in, on, and under the strip or land described herein; provided, however, that Grantor shall not be permitted to drill for oil, gas, and other minerals, and groundwater from and under said strip of land but Grantor may extract oil, gas, and other minerals, and groundwater from and under said strip of land by directional drilling, mining, or other means, so long as Grantee's use of said strip is not disturbed, which use shall include the right of Grantee to physical and/or lateral support for the Facilities, as well as the right that the Facilities shall not be endangered, obstructed, or interfered with by such operations. In addition to the consideration above recited for the easement and right-of-way hereby granted, the Grantee will pay to the owner of the land, and, if leased, to his tenant, as they may be respectively entitled for actual damages to fences and growing crops and improvements located on the easement and right-of-way caused by reason of the construction, maintenance, addition or removal of said lines; provided, however, that no such payment will be made for trimming or removal of trees growing on the easement and right-of-way, nor for removal of buildings, structures, or obstructions erected upon the easement and right-of-way after granting of this easement and right-of- way. TO HAVE AND TO HOLD the above described easement and right-of-way unto the said Grantee, its successors and assigns, until all of said lines and other Facilities shall be abandoned, and in that event said easement and right-of-way shall cease and all rights herein granted shall terminate and revert to Grantor or Grantor's heirs, successors or assigns; and Grantor hereby binds Grantor and Grantor's heirs, successors, assigns, and legal representatives, to warrant and forever defend the above described easement and right-of-way unto Grantee, its successors and assigns, against every person whomsoever lawfully claiming or to claim the same or any part thereof. This easement may be assigned in whole or in part. EXECUTED this day of , A.D. 20-. Grantor Luminant Generation Company LLC, a Texas limited liability company BY:- Name: Title: ACKNOWLEDGEMENT STATE OF TEXAS 9 S COUNTY OF DALLAS 9 BEFORE ME, the undersigned authority, on this day personally appeared 9 as the ~~~~~~~ of Luminant Generation Company LLC, a Texas limited liability company, known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that helshe executed the same for the purposes and consideration therein expressed, in the capacity therein stated and helshe is authorized to do so. GIVEN UNDER MY HAND AND SEAL OF OFFICE this - day of , A. D. 20-. Notary Public in and for the State of Texas After recording, return to: Laura De La Paz Oncor Electric Delivery Company Suite 505 1 15 W 7' Street Ft. Worth, Texas 76 102 EXHIBIT A FIELD NOTE DESCRIPTION BEING a 6.951 acre tract of land situated in the Francis Jones Survey, Abstract No. 674, in Dallas County, Texas, and being a portion of a called 490.6 acre tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.) and being more particularly described by metes and bounds as follows: BEGINNING at a 518 inch iron rod with aluminum cap stamped "FRONTIER SURVEYING COMPANY RPLS - 5991" set (N = 7,028,735.94, E = 2,438,568.69) at the southwest comer of a tract of land described as "EAST TRACT 1B" in deed to the City of Coppell. recorded in Document No. 2008037021 8 Official Public Records Dallas County, Texas (O.P.R.D.C.T.) and in the west line of the Final Plat of The Hollows of Valley Ranch Section Four, recorded in Volume 95012, Page 6285 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) from which a 314 inch iron rod found at the northwest comer of the Final Plat of Grand Estates At Northlake Hills Phase IT, recorded in Volume 2005041, Page 185 P.R.D.C.T. bears N 00'22'32" W, a distance of 2330.92 feet; THENCE: S 00' 21' 19" E, with the west line of said Hollows of Valley Ranch Section Four and the west line of The Final Plat of the Hollows of Valley Ranch, Amended, Section Two, Recorded in Volume 94067, Page 7887 P.R.D.C.T., a distance of 947.44 feet to a point at the southwest comer of said Hollows of Valley Ranch, Amended, Section Two and the common northwest comer of The Amended Final Plat of Valley Ranch, Phase IV, 6& Installment, from which a 112 inch iron rod found bears N 45O52'59" E, a distance of 1 .OO foot; THENCE: S 00' 21' 17" E, with the West line of said Valley Ranch Phase IV-6' Installment, a distance of 256.81 feet to a 112" iron rod found at the northeast comer of a tract of land conveyed to C W Shoreline Land, LTD., recorded in Document No. 20 1200024638 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.); THENCE: West, with the North line of said C W Shoreline Land, LTD. tract, a distance of 251.35 feet to a point for comer; THENCE: N 00" 21' 52" W, over and across said Dallas Power & Light Company, tract, a distance of 1204.26 feet to a point for comer in the south line of said City of Coppell Tract; THENCE: East, with the South line of said City of Coppell tract, a distance of 251.55 feet to the POINT OF BEGINNING and containing 6.95 1 acres of land more or less. EXHIBIT B DEPICTION OF EASEMENT AREA Purchase and Sale Agreerncnt - North Lake 1505488v.18 EFH100/52002 EXHIBIT C NORTH LAKE PROPERTY All of the parcels described in the following deeds: 1. Special Warranty Deed and Drainage Easement dated September 8, 2004 and recorded as Volume 2004 178 Page 4 in the Real Property Records 2. Special Warranty Deed dated December 29,2006 and recorded as Instrument No. 20070001 188 in the Real Property Records 3. Special Warranty Deed dated December 29,2006 and recorded as Instrument No. 20070001 190 in the Real Property Records, as superseded by the Correction Special Warranty Deed dated December 29, 2006 and recorded as Instrument No. 20070084853 in the Real Property Records 4. Special Warranty Deed dated December 29,2006 and recorded as Instrument No. 2007000 1 189 in the Real Property Records 5. Special Warranty Deed dated December 29,2006 and recorded as Instrument No. 2007000 1191 in the Real Property Records 6. Special Warranty Deed dated December 29,2006 and recorded as Instrument No. 20070001 192 in the Real Property Records 7. Special Warranty Deed dated December 29,2006 and recorded as Instrument No. 2007000 1 193 in the Real Property Records 8. Special Warranty Deed dated December 29,2006 and recorded as Instrument No. 20070001 194 in the Real Property Records 9. Mineral Deed dated December 29,2006 and recorded as Instrument No. 2007000121 1 in the Real Property Records 10. Mineral Deed dated December 29,2006 and recorded as Instrument No. 20070001206 in the Real Property Records 1 1. Mineral Deed dated December 29,2006 and recorded as Instrument No. 2007000 1207 in the Real Property Records 12. Mineral Deed dated December 29,2006 and recorded as Instrument No. 20070001208 in the Real Property Records 13. Mineral Deed dated December 29,2006 and recorded as Instrument No. 20070001209 in the Real Property Records 14. Mineral Deed dated December 29,2006 and recorded as Instrument No. 200700012 10 in the Real Property Records Purchase and Sale Agreement -North Lake 1505488v.18 EFH100152002 15. Mineral Deed dated December 28,2006 and recorded as Instrument No. 20070001202 in the Real Property Records Mineral Deed dated December 29,2006 and recorded as Instrument No. 20070001201 in the Real Property Records Mineral Deed dated December 29,2006 and recorded as Instrument No. 20070001205 in the Real Property Records Mineral Deed dated December 29,2006 and recorded as Instrument No. 20070001204 in the Real Property Records Mineral Deed dated December 29,2006 and recorded as Instrument No. 20070001203 in the Real Property Records Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001200 in the Real Property Records Mineral Deed dated December 29,2006 and recorded as Instrument No. 20070001 196 in the Real Property Records Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001212 in the Real Property Records Mineral Deed dated December 29, 2006 and recorded as Instrument No. 20070001 197 in the Real Property Records Mineral Deed dated December 29,2006 and recorded as Instrument No. 20070001 195 in the Real Property Records Mineral Deed dated December 29,2006 and recorded as Instrument No. 20070001 198 in the Real Property Records Mineral Deed dated December 29,2006 and recorded as Instrument No. 20070001 199 in the Real Property Records Special Warranty Deed with Easement Reservation and Restrictive Covenants dated November 21, 2008 and recorded as Instrument No. 20080370202 in the Real Property Records, including the save and except tract for Pad Site D out of East 1B Special Warranty Deed with Easement Reservation and Restrictive Covenants dated November 2 1, 2008 and recorded as Instrument No. 20080370203 in the Real Property Records, including the save and except tract for Pad Site A out of the West Tract Special Warranty Deed with Easement Reservation and Restrictive Covenants dated November 21, 2008 and recorded as Instrument No. 20080370204 in the Real Property Records Special Warranty Deed with Restrictive Covenant dated November 21, 2008 and recorded as Instrument No. 20080370205 in the Real Property Records Special Warranty Deed dated November 21,2008 and recorded as Instrument No. 20080370213 in the Real Property Records Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 32. Special Warranty Deed dated November 21,2008 and recorded as Instrument No. 20080370212 in the Real Property Records 33. Special Warranty Deed dated November 21,2008 and recorded as Instrument No. 2008037021 1 in the Real Property Records 34. Special Warranty Deed dated November 21,2008 and recorded as Instrument No. 20080370210 in the Real Property Records 35. Special Warranty Deed dated November 21,2008 and recorded as Instrument No. 20080370209 in the Real Property Records And the following parcels: Pad Site B BEING a 15.96 acre hact of land situated in the Jacob G. Carlock Survey, Absbact Number 3 12, and in Official City of Dallas Block number 8461, in the City of Dallas, Dallas County, Texas, and being a part of that tract of land described in Warranty Deed to Dallas Power & Light Company, as recorded in Volume 4414, Page 82, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), and being more particularly described as follows: COMMENCING at ID inch found iron rod with yellow plastic cap stamped "HALFF ASSOC INC." (hereinafter referred to as "with cap") for the northeast comer of said Dallas Power & Light Company tract in Volume 4414, Page 82, said point being on the west line of that tract of land described in deed to Dallas Power & Light Company, as recorded in Volume 4404, Page 32 1, D.R.D.C.T.; THENCE South 00 degrees 00 minutes 46 seconds West, passing the southeasterly right-of-way line of Belt Line Road (a variable width right-of-way) at a distance of 132.72 feet, continuing in all a total distance of 663.10 feet to a ID inch fomd iron rod with cap stamped "RPLS 6013 TX" for the POINT OF BEGINNING; THENCE South 00 degrees 00 minutes 00 seconds East, a distance of 846.81 feet to a found "X cut for comer; THENCE South 90 degrees 00 minutes 00 seconds West, a distance of 755.00 feet to a ID inch found iron rod with cap stamped "RPLS 6013 TX" for comer; THENCE North 00 degrees 00 minutes 00 seconds West, a distance of226.75 feet to a lD inch set iron rod with cap for comer; THENCE South 90 degrees 00 minutes 00 seconds West, a distance of 284.70 feet to a ID inch set iron rod with cap for comer; THENCE North 00 degrees 00 minutes 00 seconds West, a distance of369.22 feet to a lD inch set iron rod with cap for comer; THENCE North 72 degrees 5 1 minutes 50 seconds East, a distance of 297.92 feet to a ID inch found iron rod with cap stamped "RPLS 601 3 TX for comer; THENCE North 77 degrees 48 minutes 48 seconds East, a distance of 772.40 feet to the POINT OF BEGINNING and CONTAWING 695,398 square feet or 15.96 acres of land, more or less. The Basis of Bearing of this Survey is NAD 83 (1993) Texas State Plane North Central Zone 4202 as observed by GPS &om "DALLAS CORS ARP", "COLLIN CORS ARP", "ARLINGTON CORS", "DENTON CORS ARP". Convergence angle at "DALLAS CORS ARP" is - 03 degrees 01 minutes 49.9 seconds as computed by Corpscon for Windows Version 6.0. All coordinates shown are surface and may be converted to grid by dividing by the conversion factor of 0.99983043. North Tract Purchase and Sale Agreement - North Lake 1505488v.18 EFH100152002 BEING a 83.804 acre tract of land situated in the J.G. Carlock Survey, Abstract No. 3 12 Dallas County, Texas, and being a portion of two tracts of land described as "Part A, Tract 1" and Part B" in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 374, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 44 14, Page 82, D.R.D.C.T., a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4404, Page 321, D.R.D.C.T., a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4420, Page 549 D.R.D.C.T., and all of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4403, Page 618 D.R.D.C.T. Said 83.804 acre tract being more particularly described by metes and bounds as follows: BEGINNING at a 112" iron rod with orange plastic cap stamped "WLS6013TX found (N=7,030,067.46, E=2,437,726.61) at the southeast comer of a tract of land described as "Tract 2" in deed to CW SHORELINE LAND LTD., recorded in Document No. 201 100289322 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.), and in the west Right-of-way (R.O.W.) line of South Northlake Road described in deed to County of Dallas, recorded in Volume 4669, Page 443 D.R.D.C.T. f?om which a 314 inch iron rod found (N=7,031,066.82, E=2,438,553.41) at the northwest comer of the Grand Estates at Northlake Hills Phase 11, recorded in Volume 2005041, Page 185 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) and at the common northwest comer of a tract of land described in deed to Dallas Power and Light Company, recorded in Volume 4378, Page 372 D.R.D.C.T. and in the south line of a tract of land described in deed to Crow-Billingsley Belt Line, LTD., recorded in Volume 86068, Page 5186 O.P.R.D.C.T. bears S 22'27'13" E, a distance of 2164.75 feet, and f?om said 314" iron rod found, another 314" iron rod found capped "PEWITT" bears S 32'30'57" W, a distance of 0.78 feet; THENCE: with the west line of said South Northlake Road the following courses and distances; S 00'39'12" E, a distance of 356.17 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for comer; S 44'39'44" W, a distance of 127.14 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for comer; S 00'20'16" E, a distance of 60.00 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set at the southwest comer of said South Northlake Road R.O.W.; THENCE: N 89'38'51" E, with the south line of said South Northlake Road R.O.W., a distance of 129.77 feet to a 112" iron rod with orange plastic cap stamped "WLS6013TX found at the northwest comer of a tract of land described in deed to CROW-BILLINGSLEY NORTH LAKE HB&T JOINT VENTLTRE, recorded in Volume 90 106, Page 2492 D.R.D.C.T. THENCE: S 00'34'32" E, with the west line of said CROW-BILLINGSLEY NORTH LAKE HB&T JOINT VENTURE tract, passing a 112" iron rod with orange plastic cap stamped "WLS6013TX" found at a distance of 663.61 feet and continuing a total distance of 739.35 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - WLS 5991" set for comer; THENCE: WEST, over and across said Dallas Power and Light Company tract (Vol. 4420, Pg. 549), a distance of 868.99 to a point on the meander line of the easterly shoreline of North Lake established at an elevation of 509.00 feet and at the common northwest comer of a tract of land described as "STORAGE TRACT A" in deed to The City of Coppell, recorded in Document No. 20080370218 O.P.R.D.C.T., from which a 112" iron rod with orange plastic cap stamped "RPLS6013TX" found bears N 27'05'25" W, a distance of 85.21 feet; THENCE: in a westerly direction, along said established 509.00 foot elevation meander line, the following courses and distances listed as follows for reference purposes only; N 45'5 1'26" W, a distance of 26.82 feet to a point for comer; N 71'10'46" W, a distance of 48.60 feet to a point for comer; Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 S 89'35'20" W, a distance of 1138.02 feet to a point for comer; S 89'49'54" W, a distance of 297.45 feet to a point for comer; N 86'32'18" W, a distance of 126.25 feet to a point for comer; N 79'16'20" W, a distance of 127.38 feet to a point for comer; N 69'02' 53" W, a distance of 269.56 feet to a point for comer; THENCE: leaving said meanders, over and across said Dallas Power and Light (Vol. 4414, Pg. 82) the following courses and distances; NORTH, a distance of 242.44 feet to a lI2" iron rod with orange plastic cap stamped "RPLS6013TX" found for comer, from which an aluminum cap set in concrete called Northlake Monument No. 4 (NAD83 North Central Zone N=7,032,397.37, E=2,434,058.96), bears N 78'02' 15" W, a distance of 866.11 feet; EAST, a distance of 754.87 feet to an "x" cut found for comer; NORTH, a distance of 846.67 feet to a 112" iron rod with orange plastic cap stamped "RPLS6013TXV found for comer; S 77'48'48" W, a distance of 772.27 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for comer; NORTH, a distance of 379.00 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Con~pany - RPLS 5991" set for comer in the south R.O.W. line of East Belt Line Road (a variable width R.O. W.); THENCE: N 67'22'19" E, with the south R.O.W. line of said East Belt Line Road, a distance of 924.30 feet to a point at the west comer of a tract of land described in deed to UNIVERSITY BUSINESS PARK PHASE 11, recorded in Volume 94055, Page 3 162 D.R.D.C.T, and at the beginning of a curve to the right having a radius of 1330.00 feet, a delta of 08'55'38", a chord bearing of N 71'46'39" E, and a chord length of207.02 feet; THENCE: leaving the south R.O.W. line of said East Belt Line Road with said curve to the right and with the south line of said UNIVERSITY BUSINESS PARK PHASE 11, passing a 112" iron rod with orange plastic cap stamped "RPLS6013TX found at an arc length of 1.62 feet and continuing a total arc length of 207.23 feet to a 112" iron rod with orange plastic cap stamped "RPLS6013TXn found at the northwest comer of a tract of land described as "Tract 1" in deed to CW SHORELINE LAND LTD., recorded in Document No. 201 100289322 O.P.R.D.C.T.; THENCE: leaving the south line of said UNIVERSITY BUSINESS PARK PHASE I1 with the west line of said "Tract 1" the following courses and distances: S 10'37'34'' E, a distance of 144.20 feet to a 112" iron rod with orange plastic cap stamped "RPLS6013TXn found for comer; S 07'57'53" E, a distance of 246.27 feet to a 112" iron rod with orange plastic cap stamped "RPLS6013TXn found at the southwest comer of said "Tract 1"; THENCE: N 77'48'49" E, with the south line of said "Tract l", a distance of 1000.02 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for the southeast comer of said "TRACT 1" and rejoining the south line of said UNIVERSITY BUSINESS PARK PHASE I1 at the beginning of a non-tangent curve to the left having a radius of 2120.00 feet, a delta of 07'07'46", a chord bearing of S 62'02'09" E, and a chord length of 263.63 feet; Purchase and Sale Agreement -North Lake 1505488~. 18 EFH100/52002 THENCE: with said curve to the left an arc length of 263.80 feet to a 112" iron rod with orange plastic cap stamped "RPLS6013TX" found at the angle point in the north line of said "TRACT 2" (CW SHORELINE LAND LTD.,); THENCE S 77'48'48" W, leaving the south line of said UNIVERSITY BUSINESS PARK PHASE 11, with the north line of said "TRACT 2", a distance of 549.80 feet to a 112" iron rod with orange plastic cap stamped "RPLS6013TX found at the northwest corner of said "TRACT 2"; THENCE: SOUTH, with the west line of said "TRACT 2", a distance of 219.19 feet to a 112" iron rod with orange plastic cap stamped "RPLS6013TX" found at the southwest comer of said "TRACT 2"; THENCE: EAST, with the south line of said "TRACT 2", a distance of 1036.92 feet to the POmT OF BEGNING and containing 83.804 acres of land more or less. Purchase and Sale Agreement - North Lake 1505488v.18 EFH100/52002 EXHIBIT D SPECIAL WARRANTY DEED AND RIGHT OF FIRST REFUSAL AGREEMENT After Recording, Return To: Chicago Title Insurance Company 2828 Routh, Suite 800 Dallas, TX 75201 Attn: Joycelyn Armstrong SPECIAL WARRANTY DEED AND RIGHT OF FIRST REFUSAL AGREEMENT STATE OF TEXAS 4 4 COUNTY OF DALLAS 4 KNOW ALL MEN BY THESE PRESENTS: LUMINANT GENERATION COMPANY LLC, a Texas limited liability company ("Grantor"), for and in consideration of the sum of $10.00 and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, has GRANTED, BARGAINED, SOLD, and CONVEYED and by these presents does GRANT, BARGAIN, SELL, and CONVEY unto THE CITY OF COPPELL, TEXAS, a political subdivision of the State of Texas ("Grantee") the following property (collectively, the "Propertv"). A. The tract or parcel of land in Dallas County, Texas, described in Exhibits A-1; & and A-3 hereto (the ''W'), together with (a) all improvements located thereon, but expressly excluding improvements and structures owned by any tenant or any other third party, (b) all right, title, and interest of Grantor, if any, in and to the rights, benefits, privileges, easements, tenements, hereditaments, and appurtenances thereon or in any way appertaining thereto, and (c) all right, title, and interest of Grantor, if any, in and to all strips and gores and any land lying in the bed of any street, road or alley, open or proposed, adjoining such tract or parcel of land; B. Without warranty, all of Grantor's right, title and interest, if any, in and to the existing water delivery pipeline and related improvements and fixtures running between the water intake structure on the Trinity River located on the Pump Station Property identified on Exhibit A-2 hereto and the water outtake structure located on the Dam Property identified on Exhibit A-1 hereto (the "Water Delivery Pipeline"); C. Without warranty, all of Grantor's right, title and interest, if any, in and to any existing water delivery pipeline easements in which the Water Delivery Pipeline is located (collectively, the "Existing Water Delivery Easements "); and D. A perpetual and non-exclusive easement in, on, under and across the property shown on Exhibit C hereto (the "Plant Property") 30 feet in width (15 feet on each side of the centerline of the portion of the Existing Water Delivery Pipeline), including the right to construct, maintain, repair and replace the Plant Site Water Delivery Pipeline (the "Plant Site Water Delivery Easement"). E. Subject to the terms and conditions set forth herein, a perpetual and non-exclusive easement in, on under and across the corridor shown on Exhibit D hereto (the "Easement Area") solely for the following purposes (the "Access Easement"): (A) ingress and egress to the Land for purposes of repairing, modifying, inspecting and maintaining the dam and spillway and related structures on or adjacent to the Land (the "Dam Facilities") and (B) constructing, installing, maintaining, and replacing gravel or caliche roads necessary to permit Grantee to repair, modify, inspect and maintain the Dam Facilities (the "Permitted Use"). Grantee may at any time, at Grantee's sole cost and expense, obtain an on-the-ground survey or plat of the Plant Site Water Delivery Easement or any portion thereof in form reasonably acceptable to Grantor, for the purpose Purchase and Sale Agreement - North Lake 1505488v.18 EFH100152002 of specifying the boundaries of the Plant Site Water Delivery Easement (or portion thereof, as applicable) and for the purpose of identifying any features located within the Plant Site Water Delivery Easement and to locate any below ground features and utilities (each, an "Easement Survey"). Grantor shall reasonably cooperate with Grantee if and when Grantee elects to obtain any Easement Survey, and Grantor and Grantee shall thereafter enter into one or more recordable modifications to this Deed, in form and substance reasonably acceptable to both parties, to reflect the Easement Survey. The Access Easement shall only be used for the Permitted Use and shall not be used by the general public or for any recreational purpose. Grantee shall maintain any roads constructed by Grantee on the Easement Area, which shall include periodic grading or blading and replacement of surface material where necessary and shall repair any damage to any roads constructed by Grantor on the Easement Area. Grantee's use of the Access Easement shall not interfere with Grantor's use of the Easement Area and areas adjacent to or in the proximity of the Easement Area ("Adiacent Property"). Grantee shall avoid causing any damage to the Easement Area or any Adjacent Property, or any improvements thereon. Grantee shall be solely responsible for providing for the safety of its representatives and agents and all other persons using the Access Easement at the request or direction of Grantee (each, "Grantee m'). Grantor reserves the right to relocate, at Grantee's sole cost and expense, the Easement Area to another location that provides access to the Dam Facilities, such relocation to be conclusively established by recordation by Grantor of an instrument in the real property records of Dallas, County, Texas showing the relocated Easement Area. Grantor reserves the right to limit access to the Easement Area through construction of a gate or other means of access control so long as Grantee is provided a reasonable means to access the Easement Area. Grantee shall not access the Easement Area unless Grantee has in effect the following insurance coverage: comprehensive commercial general liability insurance (including property damage, bodily injury and personal injury coverage) in amounts of $1,000,000 per occurrence in primary coverage, with an additional $5,000,000 in umbrella coverage insuring Grantee, Grantor and Grantors agents, representatives and affiliates (and naming Grantor as additional insured), against all liability for injury to or death of a person or persons or damage to property and contractual liability insurance sufficient to cover Grantee's indemnity obligations hereunder if not already included in Grantee's commercial general liability insurance policy; commercial auto liability insurance covering automobiles owned, hired or used by Grantee with limits not less than $1,000,000 combined single limit for each accident; worker's compensation insurance required by applicable law or employer's liability insurance with limits of at least $1,000,000 and such other coverage as Grantor may from time to time reasonably require. Grantee's insurance shall provide primary coverage to Grantor when any policy issued to Grantor provides duplicate or similar coverage, and in such circumstance Grantor's policy will be excess over Grantee's policy. Grantee shall furnish certificates of such insurance and such other evidence satisfactory to Grantor of the maintenance of all insurance coverages required hereunder, and Grantee shall use reasonable efforts to obtain a written obligation on the part of each insurance company to notify Grantor at least 30 days before cancellation or a material change of any such insurance. All such insurance policies shall be in form, and issued by companies, reasonably satisfactorily to Grantor. To the extent permitted by applicable law, Grantee shall defend, indemnify and hold harmless Grantor and its representatives, agents and affiliates fiom and against all claims, demands, liabilities, causes of action, suits, judgments, and expenses (including attorneys' fees) for any injury to or death of any person or persons or to damage to or theft, destruction, loss, or loss of use of any property or inconvenience (a "m') arising fiom any act or omission by a Grantee Party on the Easement Area or the Adjacent Property or fiom Grantee's failure to perform its obligations hereunder, even if caused or alleged to be caused by the joint, comparative, or concurrent negligence or fault of Grantor or its representatives, agents or affiliates, and even though any such claims, cause of action, or suit is based upon or alleged to be based upon the strict liability of Grantor or its representatives, agents or affiliates (other than a Loss arising from the sole or gross negligence of Grantor or its representatives, agents or affiliates). This indemnity provision is intended to indemnify Grantor and its representatives, agents and affiliates against the consequences of their own negligence or fault as provided above when Grantor or its representatives, agents or affiliates are jointly, comparatively, or concurrently negligent with Grantee. Grantee's obligation to indemnify Grantor shall be payable solely fiom any of Grantor's unrestricted funds legally available therefor, including, without limitation, its water and sewer revenues. If Grantee fails to perform any obligation concerning the Access Easement or its use thereof, Grantor shall have the right, but not the obligation, to restrict Grantee's access to the Easement Area or to perform the obligation and be reimbursed for the reasonable cost of that performance by Grantee within ten days after receipt of a statement therefor along with any documentation substantiating the costs incurred by Grantor reasonably requested by Grantee. Thereafter, interest shall accrue upon any unpaid amounts at a rate equal to the lesser of 1) eighteen percent (1 8%) per annum or 2) the maximum rate permitted by law. Purchase and Sale Agreement - North Lake 1505488v.18 EFI-I100152002 This Special Warranty Deed and the conveyance hereinabove set forth is executed by Grantor and accepted by Grantee subject to all easements, restrictions, reservations and covenants now of record and further subject to all matters that a current, accurate survey of the Property would show, together with the matters described in Exhibit B hereto and incorporated herein by this reference, to the extent the same are validly existing and applicable to the Property (hereinafter referred to collectively as the "Permitted Exceptions"). Grantee acknowledges that Grantee has independently and personally inspected the Property. The Property is hereby conveyed to and accepted by Grantee in its present condition, "AS IS, WITH ALL FAULTS, AND WITHOUT ANY WARRANTY WHATSOEVER, EXPRESS OR IMPLIED." Notwithstanding anything contained herein to the contrary, it is understood and agreed that Grantor and Grantor's agents or employees have never made and are not now making, and they specifically disclaim, any warranties, representations or guaranties of any kind or character, express or implied, oral or written, with respect to the Property, including, but not limited to, warranties, representations or guaranties as to (1) matters of title (other than Grantor's warranty of title set forth herein), (2) environmental matters relating to the Property or any portion thereof, including, without limitation, the presence of Hazardous Materials (as defined in the purchase and sale agreement, the "Sale Apreement" between Grantor and Grantee) in, on, under or in the vicinity of the Property, (3) geological conditions, including, without limitation, subsidence, subsurface conditions, water table, underground water reservoirs, limitations regarding the withdrawal of water, and geologic faults and the resulting damage of past and/or future faulting, (4) whether, and to the extent to which the Property or any portion thereof is affected by any stream (surface or underground), body of water, wetlands, flood prone area, flood plain, floodway or special flood hazard, (5) drainage, (6) soil conditions, including the existence of instability, past soil repairs, soil additions or conditions of soil fill, or susceptibility to landslides, or the sufficiency of any undershoring, (7) the presence of endangered species or any environmentally sensitive or protected areas, (8) zoning or building entitlements to which the Property or any portion thereof may be subject, (9) the availability of any utilities to the Property or any portion thereof including, without limitation, water, sewage, gas and electric, (10) usages of adjoining property, (1 1) access to the Property or any portion thereof, (12) the value, compliance with the plans and specifications, size, location, age, use, design, quality, description, suitability, structural integrity, operation, title to, or physical or financial condition of the Property or any portion thereof, or any income, expenses, charges, liens, encumbrances, rights or claims on or affecting or pertaining to the Property or any part thereof, (13) the condition or use of the Property or compliance of the Property with any or all federal, state or local ordinances, rules, regulations or laws, building, fire or zoning ordinances, codes or other similar laws, (14) the existence or non-existence of underground storage tanks, surface impoundments, or landfills, (15) any other matter affecting the stability and integrity of the Property, (16) the potential for further development of the Property, (17) the merchantability of the Property or fitness of the Property for any particular purpose, (18) the truth, accuracy or completeness of the Property Documents, (19) tax consequences, or (20) any other matter or thing with respect to the Property. EXCEPT AS EXPRESSLY SET FORTH HEREIN OR IN THE SALE AGREEMENT, GRANTOR MAKES NO REPRESENTATIONS OR WARRANTIES OF ANY KIND TO GRANTEE, INCLUDING, WITHOUT LIMITATION, THE PHYSICAL CONDITION OF THE PROPERTY, OR ITS SUITABILITY FOR ANY PARTICULAR PURPOSE OR OF MERCHANTABILITY. GRANTEE IS RELYING ON ITS INVESTIGATIONS OF THE PROPERTY IN DETERMINING WHETHER TO ACQUIRE IT. THE PROVISIONS OF THIS PARAGRAPH ARE A MATERIAL PART OF THE CONSIDERATION FOR GRANTOR EXECUTING THIS SPECIAL WARRANTY DEED, AND SHALL SURVIVE CLOSJNG. Grantee hereby FOREVER RELEASES AND DISCHARGES Grantor, its partners, shareholders, members, managers, owners, officers, directors, agents, employees, controlling persons and affiliates and all of their respective predecessors-in-interest from all responsibility and liability relating to the physical, environmental or legal compliance status of the Property, whether arising before or after the date hereof, and liabilities under the Comprehensive Environmental Response, Compensation and Liability Act Of 1980 (42 U.S.C. Sections 9601 et seq.), as amended ("CERCLA"), regarding the condition, valuation, salability or utility of the Property, or its suitability for any purpose whatsoever (including, but not limited to, with respect to the presence in the soil, air, structures and surface and subsurface waters, of Hazardous Materials or other materials or substances that have been or may in the future be determined to be toxic, hazardous, undesirable or subject to regulation and that may need to be specially treated, handled and/or removed from the Property under current or future federal, state and local laws, regulations or guidelines, and any structural and geologic conditions, subsurface soil and water conditions and solid and hazardous waste and Hazardous Materials on, under, adjacent to or otherwise affecting the Property). Grantee further hereby WAIVES any and all objections and complaints (including, but not limited to, federal, state and local Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 statutory and common law based actions, and any private right of action under any federal, state or local laws, regulations or guidelines to which the Property is or may be subject, including, but not limited to, CERCLA concerning the physical characteristics and any existing conditions of the Property, whether arising before or after the date hereof. Grantee further hereby assumes the risk of changes in applicable laws and regulations relating to past, present and future environmental conditions on the Property and the risk that adverse physical characteristics and conditions, including, without limitation, the presence of Hazardous Materials or other contaminants, may not have been revealed by its investigation. For purposes hereof, "Hazardous Materials" means "Hazardous Material," "Hazardous Substance," "Pollutant or Contaminant," and "Petroleum" and "Natural Gas Liquids," as those terms are defined or used in Section 101 of CERCLA, and any other substances regulated because of their effect or potential effect on public health and the environment, including, without limitation, PCBs, lead paint, asbestos, urea formaldehyde, radioactive materials, putrescible materials, and infectious materials. Grantor hereby reserves and excludes from the conveyance hereunder for the benefit of Grantor and Grantor's successors and assigns forever all of the underground water and all oil, gas and other minerals in, on, under and that may be produced from the Property including the right to pool or unitize the Property or portions thereof with other lands for the purpose of exploration, production and development of underground water, oil, gas and other minerals; provided, however, Grantor, with respect to its right, title and interest in the underground water and oil, gas, and other minerals that are in, under and that may be produced from the Property (Grantor's right, title and interest in the underground water and oil, gas, and other minerals that are in, under and that may be produced from the Property being referred to herein as the "Severed Interests"), hereby waives, releases and relinquishes the right to enter upon or use the surface of the Property or any portion of the surface estate for any purpose including, without limitation, for the purpose of mining, drilling, exploring, producing, storing, processing, removing, transporting, marketing or developing the Severed Interests or the water or hydrocarbons produced therefrom (herein referred to as "Surface Operations"). Notwithstanding anything herein to the contrary, the foregoing shall not be construed as waiving, releasing or relinquishing in any way any of the Severed Interests or Grantor's rights to use, explore for, develop and produce the Severed Interests, by pooling, or by wells drilled and other subsurface operations in and under the Property (including, without limitation, directional or horizontal drilling techniques, fracturing and other completion operations) originating from surface locations not on the Property; provided, however, that the well bore for any underground water or oil or gas well that enters the subsurface of the Property shall be at a depth of at least 3,000 feet below the surface of the Property. Grantor hereby grants to Grantee a right of first refusal to purchase all of Grantor's right, title and interest in and to the Grantor Restricted Property shown on Exhibit E hereto (the "ROFR Property") or any portion which Grantor determines to sell, on the terms and conditions set forth herein. If Grantor receives a Purchase Offer (as defined below) that Grantor wishes to accept, Grantor shall deliver written notice thereof to Grantee (a "Transfer Notice"), containing all of the material terms of the Purchase Offer. The Transfer Notice shall set forth the terms and conditions of the Purchase Offer and shall state that Grantor offers to sell to Grantee the portion of the ROFR Property included in the Purchase Offer (the "Affected Prop-"), on such terms and conditions. Within 15 days following Grantor's delivery to Grantee of the Transfer Notice (the "Acceptance Period"), Grantee, at its option by written notice to Grantor, may elect to purchase the Affected Property, on the same terms and conditions contained in the Transfer Notice. If Grantor does not receive Grantee's written notice of such election before the expiration of the Acceptance Period, Grantee's rights under this Section shall terminate with respect to the Affected Property and Grantor shall have the right to close the sale of the Affected Property ti-ee and clear of Grantee's right of first refusal on the terms and conditions of the Purchase Offer (with minor amendments, if any, not effecting a material improvement in the purchaser's purchase rights, it being agreed and acknowledged that a decrease in the purchase price not in excess of 10% shall not constitute a material improvement in purchaser's purchase right) within 270 days (the "Sale Period") after the date of the Transfer Notice free of Grantee's right of first refusal. If Grantor's sale of the Affected Property is not closed on such terms (as such terms may be amended pursuant to the preceding sentence) within the Sale Period, Grantee's right of first refusal shall apply once again on the terms of this paragraph to the sale of all or any portion of the ROFR Property. Notwithstanding anything herein to the contrary, Grantee's rights under this paragraph shall not apply to (a) any conveyance, transfer or assignment of the ROFR Property, or any part thereof, to any Related Party of Grantor or to Oncor Electric Delivery Company LLC ("Oncor") or a Related Party of Oncor or to a purchaser or owner of any portion of the "Mineral Estate" described in that certain Surface Use Agreement of even date herewith among Grantor, Grantee and others (the "Surface Use Apreement"), (b) any transaction in which all or a portion of the ROFR Property is being sold with other property, (c) the granting of any liens or security interest pursuant to a deed of trust, mortgage or other encumbrance of the ROFR Property, or Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100/52002 any part thereof, to secure the repayment of any loans or credit provided or extended to Grantor or any of Grantor's Related Parties or Successors, or (d) any sale of the ROFR Property, or any part thereof, upon foreclosure under a deed of trust or mortgage (or conveyance in lieu thereof); however, the grantee, transferee or purchase of the ROFR Property, or any part thereof, under the transaction described in the preceding clause (a) only shall acquire the ROFR Property or party thereof subject to Grantee's rights under this paragraph. Grantee acknowledges and agrees that if Grantor sells the Affected Property to Grantee pursuant to this paragraph, Grantee shall accept the Affected Property "AS IS, WHERE IS, WITH ALL FAULTS." Grantee has not relied and will not rely on, and Grantor has not made and is not liable for or bound by, any express or implied warranties, guarantees, statements, representations or information pertaining to the Affected Property or relating thereto made or furnished by Grantor or any real estate broker, agent or third party representing or purporting to represent Grantor, to whomever made or given, directly or indirectly, orally or in writing. Grantee represents it is a knowledgeable, experienced and sophisticated purchaser of real estate and it is relying solely on its own expertise and that of Grantee's consultants in purchasing the Affected Property and shall make an independent verification of the accuracy of any docun~ents and information provided by Grantor. Grantee will conduct such inspections and investigations of the Affected Property as it deems necessary, including, but not limited to, the physical and environmental conditions thereof, and shall rely upon same. Grantee acknowledges Grantor has afforded Grantee a full opportunity to conduct such investigations of the Affected Property as Grantee deemed necessary to satisfy itself as to the condition of the Affected Property and the existence or non-existence of curative action to be taken with respect to any Hazardous Materials on or discharged from the Affected Property, and will rely solely upon same and not upon any information provided by or on behalf of Grantor or its agents or employees with respect thereto. Upon closing of the sale of the Affected Property, Grantee shall assume the risk that adverse matters, including, but not limited to, adverse physical or construction defects or adverse environmental, health or safety conditions may not have been revealed by its inspections and investigations. Grantee's rights under this paragraph shall automatically terminate if Grantee fails to enter into a purchase and sale agreement in Grantor's standard form with such modifications thereof as are reflected in the Purchase Offer or as Grantor and Grantee may agree prior to the expiration of such ten business day period following written notification by Grantee to purchase the Affected Property (the "ROFR Contract"), incorporating the terms and conditions set forth in the Transfer Notice, (a) if Grantee breaches the Surface Use Agreement and Grantee has not cured such breach within five days following notice of such breach from Grantor to Grantee, or (b) if Grantee's rights under this paragraph have not previously terminated, the date on which Grantee terminates its obligation to purchase the Affected Property under the ROFR Contract, to the extent Grantee has such termination right, for any reason other than Grantor's failure to convey the Affected Property to Grantee at the closing thereunder. Time shall be of the essence with respect to the exercise and performance of Grantor's and Grantee's rights and obligations hereunder. Unless earlier terminated as provided herein, the rights herein granted shall be in full force and effect for a term of twenty-five (25) years, after which time the rights granted in the paragraph shall terminate and be of no further force and effect. Upon the termination of Grantee's rights under this paragraph as to the ROFR Property or the Affected Property, as applicable, and within ten business days following Grantor's written request therefor, Grantee shall execute such instruments or other documents further evidencing such termination. If Grantor fails to execute such instruments or other documents evidencing such termination, Grantor shall have the right to record in the real property records of Dallas County, Texas an affidavit stating that the rights granted pursuant to this paragraph have terminated, following which recording, the ROFR Property shall no longer be encumbered by this paragraph, but Grantor shall remain liable to Grantee for any wrongfbl filing of such affidavit. Grantor and Grantee each warrant and represent to the other that it has not dealt with any broker or agent in connection with the negotiation or execution of this paragraph. Additionally, Grantor shall not be obligated to pay a commission with respect to the Affected Property if Grantee elects to purchase the Affected Property pursuant to this paragraph and Grantee's rights under this paragraph shall immediately terminate if any broker or agent claims any right to a commission in connection with the sale of the Affected Property. As used in this paragraph, "Purchase Offer" shall mean a bona fide, written offer by an unrelated third-party (a "Third-Party") to purchase from Grantor all of Grantor's right, title and interest in and to the ROFR Property that does not include other property; "Related Parties and Successors" shall mean, with respect to a party, such party's parents, affiliates, assignees, associated companies, and the predecessor and successor entities for each and every one of those entities (each, a "Related Party"). NOTWITHSTANDING ANYTHING CONTAINED HEREIN TO THE CONTRARY, THE CONVEYANCE OF THE WATER DELIVERY PIPELINE AND EXISTING WATER DELIVERY EASEMENTS PURSUANT TO THIS DEED IS MADE BY GRANTOR, AND GRANTEE HAS ACCEPTED THE CONVEYANCE OF THE WATER DELIVERY PIPELINE AND EXISTING WATER DELIVERY Purchase and Sale Agreement - North Lake 1505488v.18 EFH100152002 EASEMENTS, WITHOUT ANY RECOURSE, REPRESENTATION, COVENANT, OR WARRANTY OF TITLE, EXPRESS OR IMPLIED, AND GRANTOR SPECIFICALLY EXCLUDES, NEGATES AND DISCLAIMS ANY REPRESENTATIONS, WARRANTIES OR COVENANTS, EXPRESS OR IMPLIED, ARJSING BY COMMON LAW, PURSUANT TO SECTION 5.023 OF THE TEXAS PROPERTY CODE OR OTHERWISE, REGARDING TITLE TO THE WATER DELIVERY PIPELINE AND EXISTING WATER DELIVERY EASEMENTS. WITHOUT LIMITING THE FOREGOING, ANY COVENANT OR WARRANTY OF TITLE IMPLIED BY STATUTE OR LAW BY THE USE HEREIN OF THE WORDS "GRANT" OR "CONVEY" OR OTHER SIMILAR WORDS ARE HEREBY EXPRESSLY DISCLAIMED, WAIVED AND NEGATED WITH RESPECT TO THE WATER DELIVERY PIPELINE AND EXISTING WATER DELIVERY EASEMENTS. THIS CONVEYANCE IS MADE WITH FULL SUBSTITUTION AND SUBROGATION OF GRANTEE, AND ITS SUCCESSORS AND ASSIGNS, IN, TO AND UNDER ALL COVENANTS AND WARRANTIES BY OTHERS (NOT AFFILIATED WITH GRANTOR) HERETOFORE GIVEN OR MADE IN RESPECT OF THE TITLE TO THE WATER DELIVERY PIPELINE AND EXISTING WATER DELIVERY EASEMENTS, ANY PART THEREOF, OR ANY INTEREST THEREIN. TO HAVE AND TO HOLD the Property, together with all and singular the rights and appurtenances thereunto in anywise belonging, unto Grantee, its successors and assigns forever, and Grantor does hereby bind itself, its successors and assigns, to WARRANT AND FOREVER DEFEND all and singular the title to the Property unto the said Grantee, its successors and assigns against every person whomsoever lawfully claiming or to claim the same or any part thereof by, through, or under Grantor but not otherwise, subject to the Permitted Exceptions. Grantee's address is: EXECUTED as of ,20-. LUMINANT GENERATION COMPANY LLC, a Texas limited liability company By: Name: Title: STATE OF TEXAS 4 4 COUNTY OF DALLAS 4 This instrument was acknowledged before me on , 20-, by , of LUMINANT GENERATION COMPANY LLC, a Texas limited liability company, on behalf of said limited liability company. Notary Public, State of Texas Purchase and Sale Agreement - North Lake 1505488v.18 EFH100/52002 Agreed and acknowledged on ,20-. THE CITY OF COPPELL, TEXAS By: Name: Title: THE STATE OF TEXAS 9 COUNTY OF DALLAS 5 The foregoing instrument was acknowledged before me on , 20-, by Y -- of the City of Coppell, a political subdivision of the State of Texas, on behalf of the City of Coppell. Notary Public, State of Texas Printed Name: My commission expires: Purchase and Sale Agreement - North Lake 1505488~. 18 EFH 100/52002 Exhibit A Description of the Property Purchase and Sale Agreement - North Lake 1505488v.17 EFH100152002 EXHIBIT A-1 DAM PROPERTY Tract 1 BEING a 39.638 acre tract of land situated in the G. Hendricks Survey, Abstract No. 630, the J.G. Carlock Survey, Abstract No. 3 12 and the Francis Jones Survey, Abstract No. 674 in Dallas County, Texas, and being a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), and a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4420, Page 549 D.R.D.C.T. Said 39.638 acre tract being more particularly described by metes and bounds as follows: BEGWNING at a 314 inch iron rod found (N=7,031,066.82, E=2,438,553.41) at the northwest comer of the Grand Estates at Northlake Hills Phase 11, recorded in Volume 2005041, Page 185 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) and in the south line of a tract of land described in deed to Crow-Billingsley Belt Line, LTD., recorded in Volume 86068, Page 5 186 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.) from which a 314" iron rod found capped "PEWITT" bears S 32'30'57" W, a distance of 0.78 feet; THENCE: S 00" 22' 55" E, with the West line of said Grand Estates at Northlake Hills Phase 11, a distance of 1102.51 feet to a 518 inch iron rod with Aluminum Cap stamped "'Frontier Surveying Company - RPLS 5991" set for the southeast comer of this tract and the northeast comer of a tract of land described as "East Tract IB" in deed to the City of Coppell, recorded in Document No. 200803702 18 O.P.R.D.C.T.; THENCE: WEST, with the north line of said City of Coppell tract, a distance of 734.96 feet to a point on the meander line of the easterly shoreline of North Lake established at an elevation of 509.00 feet and the common northwest comer of said City of Coppell tract; THENCE: in a northerly direction, along said established 509.00 foot elevation meander line, the following courses and distances listed as follows for reference purposes only; N 26'13'37" W, a distance of 1853.70 feet to a point for comer; N 75'06'50" W, a distance of 32.32 feet to a point for comer; N 20'52'39" E, a distance of 46.22 feet to a point for comer; S 77'50'52'' W. a distance of 61.00 feet to a point for comer; N 22'55'50'' W, a distance of 39.04 feet to a point for comer; N 53'58'22" E, a distance of 3 1.3 1 feet to a point for comer; N 16'22'22" E a distance of 24.5 1 feet to a point for comer; N 26'38'33" W, a distance of 87.99 feet to a point for comer; THENCE: EAST over and across said Dallas Power & Light Company, tract, a distance of 868.99 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set in the west line of a tract of land described as "Tract 4", in deed to Crow-Billingsley North Lake HB&T Joint Venture, recorded in Volume 901 06, Page 2492 D.R.D.C.T. from which a 112 inch iron rod found capped "RPLS60 13TX" bears N 00'34'0 1" W, a distance of 75.72 feet; THENCE: S 00'34'01" E. with the West line of said Crow-Billingsley North Lake HB&T Joint Venture Tract and the west line of a tract of land described in deed to Trammel Crow Company No. 43 Et al, recorded in Document Purchase and Sale Agreement - North Lake 1505488v.18 EFH100/52002 No. 20070001 189 O.P.R.D.C.T., and passing a chain link fence comer post at the south comer of said Crow- Billingsley North Lake HB&T Joint Venture Tract and the common northwest corner of said Trammel Crow Company No. 43 Et a1 tract at a distance of 69.38 feet and continuing with the west line of said Trammel Crow Company No. 43 Et a1 tract, a total distance of 169.15 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for comer from which a chain link fence post found bears N 83" 16'45" W, a distance of 2.93 feet; THENCE: S 30" 26' 32" E, continuing with the West line of said Trammel Crow Company No. 43 Et a1 tract, a distance of 678.19 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set at the southwest comer of said Trammel Crow Company No. 43 Et a1 tract from which a chain link fence post bears S 39'51'52" E, a distance of 1.33 feet; THENCE: S 89" 46' 16" E, with the south line of said Trammel Crow Company No. 43 Et a1 tract and the south line of said Crow-Billingsley Belt Line, LTD. tract, passing a 318 inch iron rod found at the southeast comer of said Trammel Crow Company No. 43 Et a1 tract and the common southwest comer of said Crow-Billingsley Belt Line, LTD. tract at a distance of 201.3 1 feet, and continuing with the south line of said Crow-Billingsley Belt Line, LTD. tract a total distance of 429.36 feet to the POlNT OF BEGlNNlNG and containing 39.638 acres of land more or less. Tract 2 BEING a 16.014 acre tract of land situated in the Francis Jones Survey, Abstract No. 674, in Dallas County, Texas, and being a portion of a called 490.6 acre tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.) and being more particularly described by metes and bounds as follows: BEGINNING at a 518 inch iron rod with aluminum cap stamped "FRONTIER SURVEYING COMPANY - RPLS 5991" set (N = 7,028,735.94, E = 2,438,568.69) at the southwest comer of a tract of land described as "EAST TRACT lB" in deed to the City of Coppell, recorded in Document No. 200803702 18 Official Public Records Dallas County, Texas (O.P.R.D.C.T.) and in the west line of the Final Plat of The Hollows of Valley Ranch Section Four, recorded in Volume 95012, Page 6285 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) from which a 314 inch iron rod found at the northwest comer of the Final Plat of Grand Estates At Northlake Hills Phase 11, recorded in Volume 2005041, Page 185, P.R.D.C.T. bears N 00'22'32" W, a distance of 2330.92 feet; THENCE: S 00'21' 19" E, with the west line of said Hollows of Valley Ranch Section Four and the west line of The Final Plat of the Hollows of Valley Ranch, Amended, Section Two, Recorded in Volume 94067, Page 7887, P.R.D.C.T., a distance of 947.44 feet to a point at the southwest comer of said Hollows of Valley Ranch, Amended, Section Two and the common northwest comer of The Amended Final Plat of Valley Ranch, Phase IV, 6" Installment, recorded in Volume 94197, Page 2086, P.R.D.C.T. from which a 112 inch iron rod found bears N 45'52'59" E, a distance of 1 .OO foot; THENCE: S 00" 21' 7" E, with the West line of said Valley Ranch Phase IV-6" Installment, a distance of 256.81 feet to a 112 inch iron rod found at the northeast comer of a tract of land conveyed to C W Shoreline Land, LTD., recorded in Document No. 201200024638 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.): THENCE: West, with the North line of said C W Shoreline Land, LTD. tract, a distance of 384.77 feet to a point on the meander line of the easterly shoreline of North Lake established at an elevation of 509.00 feet; THENCE: in a northerly direction, along said established 509.00 foot elevation meander line, the following courses and distances for listed for reference purposes only; N 08" 40' 03" W, a distance of 26.24 feet to a point for comer; N 46" 36' 01" W, a distance of 203.92 feet to a point for comer; N 35" 50' 06" W, a distance of 164.27 feet to a point for comer; Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 N 17" 52' 45" W, a distance of 169.59 feet to a point for comer; N 0 lo 14' 05" W. a distance of 183.97 feet to a point for comer; N 20" 00' 12" E, a distance of 166.36 feet to a point for comer; N 27" 09' 58" E, a distance of 453.36 feet to a point at the southwest comer of said City of Coppell tract; THENCE: East, with the South line of said City of Coppell tract, a distance of 417.73 feet to the POINT OF BEGINNING and containing 16.014 acres of land more or less. Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 EXHIBIT A-2 PUMP S'TATION I'ROPER'TY That certain tract of land lying and situated in Dallas County, Texas, being a part of that certain 11.62 acre tract of land in the W. Perry Survey, Abstract No. 1152 conveyed to the City of Dallas by A.G. Kirksey, et ux, by a deed of record in Volume 540, Page 21, Deed Records of Dallas County, Texas, and more particularly described by metes and bounds as follows: BEGINNING at a point in the most westerly line of the said 11.62 acre tract, 89.0 feet N 0" 03' W of the extreme southwest comer thereof located in the old Dallas-Denton Road; THENCE N 0'03' W along the most westerly line of the said 11.62 acre tract, a distance of 1 1 1.0 feet to an iron pin set in concrete; THENCE N 46" 57' E, continuing with the boundary line of the said 11.62 acre tract, a distance of 290.0 feet to a point for comer; THENCE S 43" 03' E, 40.7 feet to a point on the west bank of the Elm Fork of the Trinity River; THENCE S 14" 15' E, 64.0 feet to a point for comer; THENCE S 37" 05' W, 30.0 feet to a point for comer; THENCE S 88" 25' W, 64.0 feet to a point on the west bank of the Elm Fork of the Trinity River; THENCE S 37" 05' W along the west bank of the Elm Fork of the Trinity River, a distance of 30.0 feet to a point for comer; THENCE N 52" 55' W, a distance of 35.0 feet to a point for comer; THENCE S 46" 57' W, a distance of 83.3 feet to a point for comer; THENCE S 37" 56' W, a distance of 54.9 feet to a point for comer; THENCE S 22" 50' W, a distance of 54.5 feet to a point for comer; THENCE S 16" 46' W, a distance of 40.0 feet to the place of beginning; and containing 0.397 acre of land. Purchase and Sale Agreement - North Lake 1505488v.18 EFH100/52002 EXHIBIT A-3 PAD SITE PROPERTY BEING a 2.741 acre tract of land situated in the Francis Jones Survey, Abstract Number 674, and in Official City of Dallas Block Number 8470, in the City of Dallas, Dallas County, Texas, and being a part of that tract of land described in deed to Dallas Power & Light Company, as recorded in Voluine 4378, Page 372, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), and being more particularly described as follows: COMMENCING at a 518 inch found iron rod for the coininon north corner of said Dallas Power & Light Company tract and Grand Estates at Northlake Hills Phase 11, an addition to the City of Irving, Dallas County, Texas, as recorded in Volume 2005041, Page 185, of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.); THENCE South 00 degrees 23 minutes 11 seconds East, along the east line of said Dallas Power & Light Company tract, a distance of 1,415.88 feet to a point for corner; THENCE South 79 degrees 48 minutes 40 seconds West, departing said east line, a distance of 457.63 feet to a 112 inch set iron rod with yellow plastic cap stamped "HALFF ASSOC PNC." (hereinafter referred to as "with cap") for the POINT OF BEGINNING of the herein described tract; THENCE South 10 degrees 11 minutes 20 seconds East, a distance of 398.00 feet to a 112 inch set iron rod with cap for corner; THENCE South 79 degrees 48 minutes 40 seconds West, a distance of 300.00 feet to a 112 inch set iron rod with cap for corner; THENCE North 10 degrees 11 minutes 20 seconds West, a distance of 398.00 feet to a 112 inch set iron rod with cap for corner; THENCE North 79 degrees 48 minutes 40 seconds East, a distance of 300.00 feet to the POINT OF BEGINNING and CONTAINING 1 19,400 square feet or 2.741 acres of land, more or less. The Basis of Bearing of this Survey is NAD 83 (1993) Texas State Plane North Central Zone 4202 as observed by GPS from "DALLAS CORS ARP", "COLLIN CORS ARP", "ARLINGTON CORS", "DENTON CORS ARP". Convergence angle at "DALLAS CORS ARP" is - 03 degrees 01 minutes 49.9 seconds as computed by Corpscon for Windows Versioil6.0. All coordinates shown are surface and may be converted to grid by dividing by the conversion factor of 0.99983043. Purchase and Sale Agreement - North Lake 1505488v.18 EFH100/52002 Exhibit B Permitted Exceptions Taxes and assessments for the year 201 3 and subsequent years. Restrictive Covenants of record in Volume 900 19, Page 4720, Deed Records, Dallas County, Texas. Easement granted by Mrs. M. A. Root, a widow to Lone Star Gas Company, filed for record on July 11, 1929 and recorded in Volume 1577, Page 10, Real Property Records, Dallas County, Texas. Easement granted by Dallas Power & Light Company to Lone Star Gas Company, dated September 20, 1956, filed for record on October 18, 1956 and recorded in Volume 4595, Page 155, Real Property Records, Dallas County, Texas. Easement granted by Dallas Power & Light Company to Southwestern Bell Telephone Company, dated February 24,1958, filed for record on March 6, 1958 and recorded in Volume 4855, Page 564, Real Property Records, Dallas County, Texas. Easement granted by Mrs. Lena Sanders et a1 to Lone Star Gas Company, filed for record on March 16, 1970 and recorded in Volume 7005 1, Page 325, Real Property Records, Dallas County, Texas. Easement granted by Dallas Power & Light Company to southwestern Bell Telephone Company, dated March 16, 1988, filed for record on May 24, 1988 and recorded in Volume 88 10 1, Page 123 1, Real Property Records, Dallas County, Texas. Agreement, executed by and between Dallas Power & Light Company and City of Dallas, dated September 10, 1981, filed for record on September 18, 198 1 and recorded in Volume 8 1 183, Page 1847, Real Property Records, Dallas County, Texas. Certificate of Adjudication by and between Dallas Power & Light Company and Texas Water Commission filed August 17, 1983, recorded in Volume 83161, Page 669, Real Property Records, Dallas County, Texas. As affected by Assignment of Water Rights, filed December 20, 2001 and recorded in Volume 2001248, Page 7785, Real Property Records, Dallas County, Texas. Easement granted by Dallas Power & Light Company to County of Dallas, dated September 28, 1956, filed for record on October 29, 1956 and recorded in Volume 4601, Page 33, Real Property Records, Dallas County, Texas. Easement granted by Dallas Power & Light Company to County of Dallas, dated February 19, 1957, filed for record on March 13, 1957 and recorded in Volume 4669, Page 443, Real Property Records, Dallas County, Texas. Easement granted by TXU Electric Company, a Texas corporation to TXU Gas Company, a Texas corporation, dated December 14, 2001, filed for record on December 21,2001 and recorded in Volume 2001248, Page 7208, Real Property Records, Dallas County, Texas. As affected by Supplemental Gas Facilities Easement filed October 27,2003 and recorded in Volume 20032 12, Page 832, Real Property Records, Dallas County, Texas. Interest in and to all coal, lignite, oil, gas and other minerals, and all rights incident thereto, contained in instrument dated April 20, 2006, recorded May 10, 2006, under Clerk's File No. 200600171 168, of the Official Records of Dallas County, Texas. Lease for coal, lignite, oil, gas or other minerals, together with rights incident thereto, dated November 1,2007, by and between Luminant Mineral Development Company, LLC, as Lessor, and Chief Exploration & Development, LLC, as Lessee, recorded November 6, 2007, under Clerk's File No. 20070397856, of the Official Records of Purchase and Sale Agreement - North Lake 1505488v.18 EFH100/52002 Dallas County, Texas. As amended by instruments recorded under Clerk's File No. 20080339597; 200900202460; 200900350130; and 201000123200, Real Property Records, Dallas County, Texas. 15. Surface Use Agreement (and all matters referred to therein) dated of even date between Luminant Mineral Development Company LLC, Luminant Generation Company LLC, Tramnlell Crow Conlpany No. 43, Ltd., City of Coppell and Coppell Independent School District recorded in the Official Public Records of Dallas County, Texas simultaneously herewith. 16. Easements dated of even date between Lunlinant Generation Company LLC and Oncor Electric Delivery Company LLC recorded in the Official Public Records of Dallas County, Texas simultaneously herewith. 17. Settlement Agreement and Release (and all matters referred to therein) of even date between Luminant Generation Company LLC and the City of Coppell recorded in the Official Public Records of Dallas County, Texas simultaneously herewith. Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 Dallas County, Texas. As amended by instruments recorded under Clerk's File' No. 20080339597; 200900202460; 200900350130; and 201000123200, Real Property Records, Dallas County, Texas. . 15. Surface Use Agreement (and all matters referred to therein) dated of even date between Luminant Mineral Development Company LLC, Luminant Generation Company LLC, Trammel1 Crow Company No. 43, Ltd., City of Coppell and Coppell tndependent School District recorded in the Official Public Records of Dallas County, Texas simultaneously herewith. 16. Easements dated of even date between Luminant Generation Company LLC and Oncor Electric Delivery Company LLC recorded in the Official Public Records of Dallas County, Texas simultaneously herewith. 17. Settlement Agreement and Release (and all matters referred to therein) of even date between Luminant Generation Company LLC and the City of Coppell recorded in the Official Public Records of Dallas County, Texas simultaneously herewith. Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 Exhibit C Plant Property BEING a 83.804 acre tract of land situated in the J.G. Carlock Survey, Abstract No. 3 12 Dallas County, Texas, and being a portion of two tracts of land described as "Part A, Tract 1" and Part B" in deed to Dallas Power & Light Company, recorded in Volume 4378, Page 374, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4414, Page 82, D.R.D.C.T., a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4404, Page 321, D.R.D.C.T., a portion of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4420, Page 549 D.R.D.C.T., and all of a tract of land described in deed to Dallas Power & Light Company, recorded in Volume 4403, Page 618 D.R.D.C.T. Said 83.804 acre tract being more particularly described by metes and bounds as follows: BEGINNlNG at a 112" iron rod with orange plastic cap stamped "RPLS6013TX" found (N=7,030,067.46, E=2,437,726.61) at the southeast comer of a tract of land described as "Tract 2" in deed to CW SHORELTNE LAND LTD., recorded in Document No. 201 100289322 of the Official Public Records of Dallas County, Texas (O.P.R.D.C.T.), and in the west Right-of-way (R.O.W.) line of South Northlake Road described in deed to County of Dallas, recorded in Volume 4669, Page 443 D.R.D.C.T. from which a 314 inch iron rod found (N=7,03 1,066.82, E=2,438,553.41) at the northwest comer of the Grand Estates at Northlake Hills Phase 11, recorded in Volulne 200504 1, Page 185 of the Plat Records of Dallas County, Texas (P.R.D.C.T.) and at the common northwest comer of a tract of land described in deed to Dallas Power and Light Company, recorded in Volume 4378, Page 372 D.R.D.C.T. and in the south line of a tract of land described in deed to Crow-Billingsley Belt Line, LTD., recorded in Volume 86068, Page 5 186 O.P.R.D.C.T. bears S 22'27'1 3" E, a distance of 2 164.75 feet, and from said 314" iron rod found, another 314" iron rod found capped "PEWITT" bears S 32'30'57" W, a distance of 0.78 feet; THENCE: with the west line of said South Northlake Road the following courses and distances; S 00'39'12" E, a distance of 356.17 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for comer; S 44'39'44'' W, a distance of 127.14 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for comer; S 00'20'16" E, a distance of 60.00 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set at the southwest comer of said South Northlake Road R.O.W.; THENCE: N 89'38'51" E, with the south line of said South Northlake Road R.O.W., a distance of 129.77 feet to a 112" iron rod with orange plastic cap stamped "RPLS6013TX found at the northwest comer of a tract of land described in deed to CROW-BILLINGSLEY NORTH LAKE HB&T JOINT VENTURE, recorded in Volume 90106, Page 2492 D.R.D.C.T. THENCE: S 00'34'32" E, with the west line of said CROW-BILLINGSLEY NORTH LAKE HB&T JOINT VENTURE tract, passing a 112" iron rod with orange plastic cap stamped "RPLS6013TX" found at a distance of 663.61 feet and continuing a total distance of 739.35 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 599 1" set for comer; THENCE: WEST, over and across said Dallas Power and Light Company tract (Vol. 4420, Pg. 549), a distance of 868.99 to a point on the meander line of the easterly shoreline of North Lake established at an elevation of 509.00 feet and at the common northwest comer of a tract of land described as "STORAGE TRACT A" in deed to The City of Coppell, recorded in Document No. 20080370218 O.P.R.D.C.T., from which a 112" iron rod with orange plastic cap stamped "RPLS6013TX found bears N 27'05'25'' W, a distance of 85.2 1 feet; THENCE: in a westerly direction, along said established 509.00 foot elevation meander line, the following courses and distances listed as follows for reference purposes only; Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100/52002 N 45O5 1'26" W, a distance of 26.82 feet to a point for comer; N 71 "1 0'46" W, a distance of 48.60 feet to a point for comer; S 89O35'20" W, a distance of 1138.02 feet to a point for comer; S 89O49'54" W, a distance of 297.45 feet to a point for comer; N 86'32'18" W, a distance of 126.25 feet to a point for comer; N 79O16'20" W, a distance of 127.38 feet to a point for comer; N 69'02' 53" W, a distance of 269.56 feet to a point for corner; THENCE: leaving said meanders, over and across said Dallas Power and Light (Vol. 4414, Pg. 82) the following courses and distances; NORTH, a distance of 242.44 feet to a 112" iron rod with orange plastic cap stamped "RPLS6013TX found for comer, from which an aluminum cap set in concrete called Northlake Monument No. 4 (NAD83 North Central Zone N=7,032,397.37, E=2,434,058.96), bears N 78O02' 15" W, a distance of 866.1 1 feet; EAST, a distance of 754.87 feet to an "x" cut found for corner; NORTH, a distance of 846.67 feet to a 112" iron rod with orange plastic cap stamped "RPLS6013TX" found for comer; S 77O48'48" W, a distance of 772.27 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for comer; NORTH, a distance of 379.00 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for comer in the south R.O.W. line of East Belt Line Road (a variable width R.O.W.); THENCE: N 67O22'19" E, with the south R.O.W. line of said East Belt Line Road, a distance of 924.30 feet to a point at the west comer of a tract of land described in deed to UNIVERSITY BUSINESS PARK PHASE 11, recorded in Volume 94055, Page 3 162 D.R.D.C.T, and at the beginning of a curve to the right having a radius of 1330.00 feet, a delta of 08"55'38", a chord bearing of N 7 1°46'39" E, and a chord length of 207.02 feet; THENCE: leaving the south R.O.W. line of said East Belt Line Road with said curve to the right and with the south line of said UNIVERSITY BUSINESS PARK PHASE 11, passing a 112" iron rod with orange plastic cap stamped "RPLS6013TXn found at an arc length of 1.62 feet and continuing a total arc length of 207.23 feet to a 112" iron rod with orange plastic cap stamped "RPLS60 13TX" found at the northwest corner of a tract of land described as "Tract 1" in deed to CW SHORELINE LAND LTD., recorded in Document No. 201 100289322 O.P.R.D.C.T.; THENCE: leaving the south line of said UNIVERSITY BUSINESS PARK PHASE I1 with the west line of said "Tract 1" the following courses and distances: S 10°37'34" E, a distance of 144.20 feet to a 112" iron rod with orange plastic cap stamped "RPLS60 13TX" found for comer; S 07O57'53" E, a distance of 246.27 feet to a 112" iron rod with orange plastic cap stamped "RPLS60 13TX" found at the southwest comer of said "Tract 1"; Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100/52002 THENCE: N 77'48'49'' E, with the south line of said "Tract I", a distance of 1000.02 feet to a 518 inch iron rod with Aluminum Cap stamped "Frontier Surveying Company - RPLS 5991" set for the southeast comer of said "TRACT 1" and rejoining the south line of said UNIVERSITY BUSDESS PARK PHASE I1 at the beginning of a non-tangent curve to the left having a radius of 2120.00 feet, a delta of 07'07'46", a chord bearing of S 62'02'09" E, and a chord length of 263.63 feet; THENCE: with said curve to the left an arc length of 263.80 feet to a 112" iron rod with orange plastic cap stamped "RPLS6013TX found at the angle point in the north line of said "TRACT 2" (CW SHORELINE LAND LTD.,); THENCE S 77'48'48" W, leaving the south line of said UNIVERSITY BUSINESS PARK PHASE 11, with the north line of said "TRACT 2", a distance of 549.80 feet to a 112" iron rod with orange plastic cap stamped "RPLS60 13TX found at the northwest comer of said "TRACT 2"; THENCE: SOUTH, with the west line of said "TRACT 2", a distance of 219.19 feet to a 112" iron rod with orange plastic cap stamped "RPLS6013TX" found at the southwest comer of said "TRACT 2"; THENCE: EAST, with the south line of said "TRACT 2", a distance of 1036.92 feet to the POINT OF BEGINNING and containing 83.804 acres of land more or less. Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 Access Easement BEING a 0.427 acre tract of land situated in the J. G. Carlock Survey, Abstract No. 3 12, and in the City of Dallas, Dallas County, Texas, and being a part of a tract of land described as in deed to Dallas Power & Light Company, recorded in Volume 4420, Page 549, of the Deed Records of Dallas County, Texas (D.R.D.C.T.). Said 0.427 acre tract being more particularly described by metes and bounds as follows: BEGINNlNG at a point (N = 7,032,586.92, E = 2,437,284.71) in the north line of said Dallas Power & Light Company tract, from which a 318" inch iron rod found for the northeast corner of said Dallas Power & Light Company tract, bears N 89" 28' 24" E, a distance of 526.79 feet; THENCE: over and across said Dallas Power & Light Co. tract, the following courses and distances; S 05" 58' 42" W distance of 516.49 feet to a point for comer at the beginning of a curve to the right having a radius of 100.00 feet, a delta angle of 18" 34' 27", a chord bearing of S 15" 15' 56" W, and a chord length of 32.28 feet; Along said curve to the right an arc length of 32.42 feet to a point for comer; S 24" 33' 09" W a distance of 30.48 feet to a point for comer at the beginning of a curve to the right having a radius of 120.00 feet, a delta angle of 60" 05' 57" a chord bearing of S 56" 49' 47" W, and a chord length of 120.18 feet; Along said curve to the right an arc length of 125.87 feet to a point for comer; S 86" 52' 46" W, a distance of 8 1.22 feet to a point for comer at the beginning of a curve to the left having a radius of 17.50 feet, a delta angle of 114" 34' 05", a chord bearing of S 29" 35' 43" W, and a chord length of 29.45 feet; Along said curve to the left an arc length of 34.99 feet to a point for comer; S 27" 41' 19" E, a distance of 108.67 feet to a point for comer; West, a distance of 22.59 feet to a point for comer from which a 112 inch capped iron rod found stamped "RPLS 6013TX" bears N 66" 00' 00" W, a distance of 186.49 feet; N 27" 41' 19" W. a distance of 98.17 feet to a point for comer at the beginning of a curve to the right having a radius of 37.50 feet, a delta angle of 114" 34' 05", a chord bearing of N 29" 35' 43" E, and a chord length of 63.10 feet; Along said curve to the right an arc length of 74.98 feet to a point for comer; N 86" 52' 46" E, a distance of 8 1.22 feet to a point for comer at the beginning of a curve to the left having a radius of 100.00 feet, a delta angle of 59" 53' 1 l", a chord bearing of N 56" 56' 10" E, and a chord length of 99.83 feet: Along said curve to the right an arc length of 104.52 feet to a point for comer; N 24" 33' 09" E, a distance of 30.07 feet to a point for comer at the beginning of a curve to the left having a radius of 80.00 feet, a delta angle of 18" 34' 27", a chord bearing of N 15" 15' 56" E and a chord length of 25.82 feet; Along said curve to the right an arc length of 25.93 feet to a point for comer; Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100/52002 N 0.5" 58' 42" E a distance of 514.21 feet to a point for comer in the north line of said Dallas Power & Light Co. tract; THENCE: N 89" 28' 24" E, with the north line of said Dallas Power & Light Co. tract a distance of 20.13 feet to POINT OF BEGINNNG and containing 0.427 acres of land more or less. Purchase and Sale Agreement - North Lake 1505488v.18 EFH100152002 Exhibit D Access Easement BEING a 0.427 acre tract of land situated in the J. G. Carlock Survey, Abstract No. 3 12, and in the City of Dallas, Dallas County, Texas, and being a part of a tract of land described as in deed to Dallas Power & Light Company, recorded in Volume 4420, Page 549, of the Deed Records of Dallas County, Texas (D.R.D.C.T.). Said 0.427 acre tract being more particularly described by metes and bounds as follows: BEGINNING at a point (N = 7,032,586.92, E = 2,437,284.71) in the north Iine of said Dallas Power & Light Company tract, from which a 318" inch iron rod found for the northeast comer of said Dallas Power & Light Company tract, bears N 89" 28' 24" E, a distance of 526.79 feet; THENCE: over and across said Dallas Power & Light Co. tract, the following courses and distances; S 05" 58' 42" W distance of 5 16.49 feet to a point for comer at the beginning of a curve to the right having a radius of 100.00 feet, a delta angle of 18" 34' 27", a chord bearing of S 15" 15' 56" W, and a chord length of 32.28 feet; Along said curve to the right an arc length of 32.42 feet to a point for comer; S 24" 33' 09" W a distance of 30.48 feet to a point for comer at the beginning of a curve to the right having a radius of 120.00 feet, a delta angle of 60" 05' 57" a chord bearing of S 56" 49' 47" W, and a chord length of 120.18 feet; Along said curve to the right an arc length of 125.87 feet to a point for comer; S 86" 52' 46" W, a distance of 81.22 feet to a point for comer at the beginning of a curve to the left having a radius of 17.50 feet, a delta angle of 114" 34' 05", a chord bearing of S 29" 35' 43" W, and a chord length of 29.45 feet; Along said curve to the left an arc length of 34.99 feet to a point for comer; S 27" 4 1' 19" E, a distance of 108.67 feet to a point for comer; West, a distance of 22.59 feet to a point for comer from which a 112 inch capped iron rod found stamped "RPLS 6013TX" bears N 66" 00' 00" W, a distance of 186.49 feet; N 27" 41' 19" W. a distance of 98.17 feet to a point for comer at the beginning of a curve to the right having a radius of 37.50 feet, a delta angle of 114" 34' 05", a chord bearing of N 29" 35' 43" E, and a chord length of 63.10 feet; Along said curve to the right an arc length of 74.98 feet to a point for comer; N 86" 52' 46" E, a distance of 81.22 feet to a point for comer at the beginning of a curve to the left having a radius of 100.00 feet, a delta angIe of 59" 53' ll", a chord bearing ofN 56" 56' 10" E, and a chord length of 99.83 feet; Along said curve to the right an arc length of 104.52 feet to a point for comer; N 24" 33' 09" E, a distance of 30.07 feet to a point for comer at the beginning of a curve to the left having a radius of 80.00 feet, a delta angle of 18" 34' 27", a chord bearing ofN 15" 15' 56" E and a chord length of 25.82 feet; Along said curve to the right an arc length of 25.93 feet to a point for comer; Purchase and Sale Agreement - North Lake 1505488v.18 EFH100/52002 N 05" 58' 42" E a distance of 514.21 feet to a point for comer in the north line of said Dallas Power & Light Co. tract; THENCE: N 89" 28' 24" E, with the north line of said Dallas Power & Light Co. tract a distance of 20.13 feet to POINT OF BEGINNING and containing 0.427 acres of land more or less. Purchase and Sale Agreement - North Lake 1505488~. 18 EFHI 00152002 Exhibit D Access Easement BEING a 0.427 acre tract of land situated in the J. G. Carlock Survey, Abstract No. 3 12, and in the City of Dallas, Dallas County, Texas, and being a part of a tract of land described as in deed to Dallas Power & Light Company, recorded in Volume 4420, Page 549, of the Deed Records of Dallas County, Texas (D.R.D.C.T.). Said 0.427 acre tract being more particularly described by metes and bounds as follows: BEGINNING at a point (N = 7,032,586.92, E = 2,437,284.71) in the north line of said Dallas Power & Light Company tract, from which a 318" inch iron rod found for the northeast corner of said Dallas Power & Light Company tract, bears N 89" 28' 24" E, a distance of 526.79 feet; THENCE: over and across said Dallas Power & Light Co. tract, the following courses and distances; S 05" 58' 42" W distance of 516.49 feet to a point for corner at the beginning of a curve to the right having a radius of 100.00 feet, a delta angle of 18" 34' 27", a chord bearing of S 15" 15' 56" W, and a chord length of 32.28 feet; Along said curve to the right an arc length of 32.42 feet to a point for corner; S 24" 33' 09" W a distance of 30.48 feet to a point for corner at the beginning of a curve to the right having a radius of 120.00 feet, a delta angle of 60" 05' 57" a chord bearing of S 56" 49' 47" W, and a chord length of 120.18 feet; Along said curve to the right an arc length of 125.87 feet to a point for comer; S 86" 52' 46" W, a distance of 81.22 feet to a point for corner at the beginning of a curve to the left having a radius of 17.50 feet, a delta angle of 114" 34' 05", a chord bearing of S 29" 35' 43" W, and a chord length of 29.45 feet; Along said curve to the left an arc length of 34.99 feet to a point for corner; S 27" 41' 19" E, a distance of 108.67 feet to apoint for comer; West, a distance of 22.59 feet to a point for corner from which a 112 inch capped -imn rod found stamp-ed "RPLS 6013TX" bears N 66" 00' 00" W, a distance of 186.49 feet; N 27" 41' 19" W. a distance of 98.17 feet to a point for corner at the beginning of a curve to the right having a radius of 37.50 feet, a delta angle of 114" 34' 05", a chord bearing of N 29" 35' 43" E, and a chord length of 63.10 feet; Along said curve to the right an arc length of 74.98 feet to a point for corner; N 86" 52' 46" E, a distance of 81.22 feet to a point for corner at the beginning of a curve to the left having a radius of 100.00 feet, a delta.angle of 59" 53' 11", a chord bearing of N 56" 56' 10" E, and a chord length of 99.83 feet; Along said curve to the right an arc length of 104.52 feet to a point for corner; N 24" 33' 09" E, a distance of 30.07 feet to a point for corner at the beginning of a curve to the left having a radius of 80.00 feet, a delta angle of 18" 34' 27", a chord bearing of N 15" 15' 56" E and a chord length of 25.82 feet; Along said curve to the right an arc length of 25.93 feet to a point for corner; Purchase and Sale Agreement - North Lake 1505488v.17 EFH100152002 N 05" 58' 42" E a distance of 514.21 feet to a point for corner in the north line of said Dallas Power & Light Co. tract; THENCE: N 89" 28' 24" E, with the north line of said Dallas Power & Light Co. tract a distance of 20.13 feet to POINT OF BEGINNING and containing 0.427 acres of land more or less. Purchase and Sale Agreement - North Lake 15054SSv.17 EFH100/52002 groundwater from and under said strip of land by directional drilling, mining, or other means, so loug as Grantee's use of said strip is not disturbed, which use shall include the right of Grantee to physical and/or lateral support for the Facilities, as well as the right that the Facilities shall not be endangered, obstructed, or interfered with by such operations. In addition to the consideration above recited for the easement and right-of-way hereby granted, the Grantee will pay to the owner of the land, and, if leased, to his tenant, as they may be respectively entitled for actual damages to fences and growing crops and improvements located on the easement and right-of-way caused by reason of the construction, maintenance, addition or removal of said 1 !pipelines. TO HAVE AND TO HOLD the above described easenient and right-of-way unto the said Grantee, its successors and assigns, until all of said lines and other Facilities shall be abandoned, and in that event said easement and right-of-way shall cease and all rights herein granted shall terminate and revert to Grantor or Grantor's heirs, successors or assigns; and Grantor hereby binds Grantor and Grantor's heirs, successors, assigns, and legal representatives, to warrant and forever defend the above described easement and right-of-way unto Grantee, its successors and assigns, against every person whomsoever lawfully claiming or to claim the same or any part thereof. This easement may be assigned in whole or in part. Grantee and Grantee's successors or assians may dedicate the easement and right-of-wav herein aranted to the public authorities, after which such easement and right-of-way shall be meraed into the public authoritv's right-of-wav for all purposes. EXECUTED this - day of , A.D. 20-. Grantor City of Coppell, a Texas municipality By: Name: Title: - EASEMENT AND RIGHT OF WAY Page 3 ACKNOWLEDGEMENT STATE OF TEXAS .§ § COLlhlTY OF DALLAS 3 BEFORE ME, the undersigned authority, on this day personally appeared , as the of City of Coppell, a Texas municipality, known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that helslie executed the same for the purposes and consideration therein expressed, in the capacity therein stated and helshe is authorized to do so. GIVEN UNDER MY HAND AND SEAL OF OFFICE this-day of , A. D. 20-. Notary Public in and for the State of Texas After recording, return to: Attention: .II~\I\~I 720 Routh Street. Suite 1313 Dallas, TX 75201 - EASEMENT AND RIGHT OF WAY Page 4 J. G. CARLOCK A-31 2 b-OHE- DALLAS POWER & UGH COMPAW (LUMINIWT GENERAllON CO.. LLC.) VOL. 4420. PG. 549 D.R.D.C.T. CONTAINMENT DIKE a ELECT. TRANS. D.R.D.C.T.= DEED R CORDS DALM COUNIY, TEXAS P.O.B. = POINT 005 BEGIANING CONTROLUNG MONUMENT 1 PARENTHESIS INDICATE RECORD MONUMEm OHE = OVERHEAD ELECRIC CURVE RADIUS ARC LENGTH CHORD LENGTH CHORD BEARING DELTA ANGLE C1 90.00' 29.18' 29.05' S 1515'56' W 18'34'27' . C2 110.00' 115.19' 110.00' S 5652'46' W 60'00'00' C3 27.50' 54.99' 46.27' S 29'35'43' W 1 lC34'05' A 20' ACCESS EASEMENT NORTH LAKE S.E.S OUT OF THE J. G. CARLOCK SURVEY, ABSTRACT NO. 312 IN DALLAS COUNTY, TEXAS J. G. CARLOCK A-3 12 bOHE DMW POWER k LlGM COMPANY (LUMINAM GENERAION CO.. LLC.) VOL. 4420. PG. 549 D.R.D.C.T. CONTAINMENT DIKE ELECT. TRANS. D.R.D.C.T.= DEED RECORDS DALLAS COUW, TEXAS P.O.B. = POINT OF BEGI~NING CM CONTROLUNG MONUMENT { 1 PARENTHESIS INDICATE RECORD MONUMENT OHE = OVERHEAD ELECTRIC CENTERLINE LINE TABLE CENTERLINE CURVE TABLE CURVE RADIUS ARC LENGTH CHORD LENGTH CHORD BEARING DELTA ANGLE C1 90.00' 29.18' 29.05' S 1515'56' W 18'34'27' C2 110.00' 115.19' 110.00' S 56'52'46' W 60'00'00' C3 27.50' 54.99' 46.27' S 2935'43' W 1 1434'05' OUT OF THE J. G. CARLOCK SURVEY, ABSTRACT NO. 312 IN DALLAS COUNM. TEXAS JOB #: 1206096 TRANSMISSION EASEMENT VOL 2001248. PG. 11540 D.R.D.C.T. DALLAS POWER & UGHl COM (LUMINAN? GENERATION CO.. CROW-BILLINGSLEY BELT LINE. LTO. 86068-5186 O.P.R.D.C.T. ME BEIS OF BEARINGS FOR THIS SURMY IS THE STATE PLANE COORDINATE mM, ZONE 4202. NAD 83(HARN ADJUSTMENT), AND BASED ON NOi?TH ME MONUMENT 004. NORlH=7032397.37. E,W=2434058.96 WITH ALL BEARINGS, DISTANCES AND COORDINATES BEING GRID. A OESCRlmON OF MN DATE. PAGE 1 OF 3 AND PAGE 2 OF 3 ACCOMPANIES MIS EXHIBIT. PROPOSED TRACT A NOT REPREEM WARM OF TITLE OR A GUARANTEE OF OWNERSHIP. J. G. CARLOCK OUT OF THE J. G. CARLOCK SURVEY, ABSTRACT NO. 312 IN DALLAS COUNTY. TEXAS 3108 W. 6' Street Fort Worth. Texas 76107 817-560-4500 Fax: 817-289-3530 FIELD NOTE DESCRIPTION BEING a 0.427 acre tract of land situated in the J. G. Carlock Survey, Abstract No. 3 12, and in the City of Dallas, Dallas County, Texas, and being a part of a tract of land described as in deed to Dallas Power & Light Company, recorded in Volume 4420, Page 549, of the Deed Records of Dallas County, Texas (D.R.D.C.T.). Said 0.427 acre tract being more particularly described by metes and bounds as follows: BEGINNING at a point (N = 7,032,586.92, E = 2,437,284.71) in the north line of said Dallas Power & Light Cornpany tract, from which a 3/8" inch iron rod found for the northeast corner of said Dallas Power & Light Company tract, bears N 89" 28' 24' E, a distance of 526.79 feet; THENCE: over and across said Dallas Power & Light Co. tract, the following courses and distances; S 05" 58' 42" W distance of 516.49 feet to a point for corner at the beginning of a curve to the right having a radius of 100.00 feet, a delta angle of 18" 34' 27", a chord bearing of S 15" 15' 56" W, and a chord length of 32.28 feet; Along said curve to the right an arc length of 32.42 feet to a point for comer; S 24" 33' 09" W, a distance of 30.48 feet to a point for comer at the beginning of a curve to the right having a radius of 120.00 feet, a delta angle of 60" 05' 57", a chord bearing of S 56" 49' 47" W, and achord length of 120.18 feet; Along said curve to the right an arc length of 125.87 feet to a point for comer; S 86" 52' 46" W, a distance of 81.22 feet to apoint for comer at the beginning of a curve to the left having a radius of 17.50 feet, a delta angle of 114" 34' 05", a chord bearing of S 29" 35' 43" W, and a chord length of 29.45 feet; Along said curve to the left an arc length of 34.99 feet to a point for comer; S 27" 41' 19" E, a distance of 108.67 feet to apoint for corner; West, a distance of 22.59 feet to a point for comer from which a 112 inch capped iron rod found stamped "RPLS 6013TX" bears N 66" 00' 00" W, a distance of 186.49 feet; N 27" 41' 19" W, a distance of 98.17 feet to a point for comer at the beginning of a curve to the right having a radius of 37.50 feet, a delta angle of 114" 34' 05", a chord bearing of N 29" 35' 43" E, and a chord length of 63.10 feet; Along said curve to the right an arc length of 74.98 feet to a point for comer; N 86" 52' 46" E, adistance of 81.22 feet to a point for comer at the beginning of a curve to the left having a radius of 100.00 feet, a delta angle of 59" 53' 11", a chord bearing of N 56" 56' 10" E, and a chord length of 99.83 feet; Along said curve to the right an arc length of 104.52 feet to a point for corner; N 24" 33' 09" E, a distance of 30.07 feet to a point for comer at the beginning of a curve to the left having a radius of 80.00 feet, a delta angle of 18" 34' 27, a chord bearing of N 15" 15' 56" E, and a chord length of 25.82 feet; Along said curve to the right an arc length of 25.93 feet to a point for comer; N 05" 58' 42" E, a distance of 5 14.21 feet to a point for comer in the north line of said Dallas Power & Light Co. tract; 3 108 W. 6' Street Fort Worth, Texas 76 107 817-560-4500 Fax: 817-289-3530 THENCE: N 89" 44' 21" E, with the north line of said Dallas Power & Light Co. tract a distance of 20.13 feet to POINT OF BEGINNING and containing 0.427 acres of land more or less. This Field Notes Description constitutes a legal document, and, unless it appears in its entirety, in its original form. It is strongly recommended, for the continuity of future surveys, that this document be incorporated in all future conveyances, withotll any revisions or deletions. The survey plat was prepared from record data furnished by the client 'and was done without the benefit of a title report. Surveyor has made no investigation or search for easements or other matters of record that a title report would disclose and this survey does not represent a warranty of title or a guarantee of ownership. I, Ted A. Gossett, do hereby state that the above and foregoing description was prepared from a survey made on the ground, under my direction and supervision during the month of January 2013. Ted A. Gossett Registered Professional Land Surveyor State of Texas No. 5991 January 2013 SURVEYOR'S NOTES 1. THE BASIS OF BEARING FOR THIS SURVEY IS THE TEXAS STATE PLANE COORDINATE SYSTEM, ZONE 4202, NAD 83 (HARN ADJUSTMENT) AND BASED ON NORTHLAKE MONUMENT 004. N=7032397.37, E=2434058.96, WITH ALL BEARINGS, DISTANCES AND COORDINATES BEING GRID. 2. BEFORE DIGGING IN THIS AREA, CALL THE TEXAS EXCAVATION SAFETY SYSTEM (800- DIG-TESS). 3. AN EXHIBIT OF EVEN DATE (PAGE 3 OF 3) ACCOMPANIES THIS FIELD NOTE DESCRIPTION. Exhibit E ROFR PROPERTY BEING a 15.96 acre tract of land situated in the Jacob G. Carlock Survey, Abstract Number 312, and in Official City of Dallas Block number 8461, in the City of Dallas, Dallas County, Texas, and being a part of that tract of land described in Wananty Deed to Dallas Power & Light Company, as recorded in Volume 4414, Page 82, of the Deed Records of Dallas County, Texas (D.R.D.C.T.), and being more particularly described as follows: COMMENCING at li2 inch found iron rod with yellow plastic cap stamped "HALFF ASSOC INC." (hereinafter referred to as "with cap") for the northeast comer of said Dallas Power & Light Company tract in Volume 4414, Page 82, said point being on the west line of that tract of land described in deed to Dallas Power & Light Company, as recorded in Volume 4404, Page 32 1, D.R.D.C.T.: THENCE South 00 degrees 00 minutes 46 seconds West, passing the southeasterly right-of-way line of Belt Line Road (a variable width right-of-way) at a distance of 132.72 feet, continuing in all a total distance of 663.10 feet to a ID inch found iron rod with cap stamped "RPLS 6013 TX" for the POINT OF BEGINNING; THENCE South 00 degrees 00 minutes 00 seconds East, a distance of 846.81 feet to a found "X cut for comer; THENCE South 90 degrees 00 minutes 00 seconds West, a distance of 755.00 feet to a ID inch found iron rod with cap stamped "RPLS 601 3 TX" for comer; THENCE North 00 degrees 00 minutes 00 seconds West, a distance of 226.75 feet to a li2 inch set iron rod with cap for comer; THENCE South 90 degrees 00 minutes 00 seconds West, a distance of 284.70 feet to a lD inch set iron rod with cap for comer; THENCE North 00 degrees 00 minutes 00 seconds West, a distance of 369.22 feet to a ID inch set iron rod with cap for comer; THENCE North 72 degrees 51 minutes 50 seconds East, a distance of 297.92 feet to a 112 inch found iron rod with cap stamped "RPLS 6013 TX" for comer; THENCE North 77 degrees 48 minutes 48 seconds East, a distance of 772.40 feet to the POINT OF BEGINNING and CONTAINING 695,398 square feet or 15.96 acres of land, more or less. Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 EXHIBIT E FIRPTA CERTIFICATE Section 1445 of the Internal Revenue Code provides that a transferee of a U.S. real property interest must withhold tax if the transferor is a foreign person. For U.S. tax purposes (including Section 1445), the owner of a disregarded entity (which has legal title to a U.S. real property interest under local law) will be the transferor of the property and not the disregarded entity. To inform ("Transferee") that withholding of tax is not required upon the disposition of a U.S. real property interest by .. . -("~ransferor"), the beneficial owner of (U.S. employer identification number ), the undersigned, in his capacity as of , but not individually, hereby certifies to Transferee the following on behalf of Transferor: 1. Transferor is not a foreign corporation, foreign partnership, foreign trust, or foreign estate (as those terms are defined in the Internal Revenue Code and Income Tax Regulations); 2. Transferor is not a disregarded entity as defined in Section 1.1445-2(b)(2)(iii); 3. Transferor's U.S. employer identification number is 75-2967820; and 4. Transferor's office address is Transferor understands that this certification may be disclosed to the Internal Revenue Service by Transferee and that any false statement contained herein could be punished by fine, imprisonment, or both. Under penalties of perjury I declare that I have examined this certification and to the best of my knowledge and belief it is true, correct and complete, and I further declare that I have authority to sign this document on behalf of Transferor. Dated as of ,20-. By: Name: Title: Date: THE STATE OF 5 § COUNTY OF 5 This instrument was acknowledged before me on , 20L by , of - , a , on behalf of said Notary Public, State of Purchase and Sale Agreement - North Lake 1505488~. 18 EFH 100f52002 SWOKN TO AND SUBSCRIBED BEFORE ME by on ,20-. Purchase and Sale Agreement - North Lake 1505488~. 18 EFH100152002 Notary Public, State of SCHEDULE 2 Reserved Right of First Refusal for Remainder A. If City sells any of the Remainder solely for private development on or before January 1, 2058, Billingsley will have a Right of First Refusal (herein so-called) to purchase such portion of the Remainder at fair market value. The period elapsing between the date of this Deed and January 1,2058 is herein referred to as the "Repurchase Period." B. If the Remainder or any portion of the Remainder (the whole or any portion being herein referred to as the "Resale Property") is declared surplus, or City elects to offer the Resale Property for sale, City shall first notify Billingsley prior to offering the Resale Property for sale to any other party or to the public and provide Billingsley with a summary of the material terms (the "Proposed Sale Terms") on which City shall offer the Resale Property. Billingsley shall have a prior right and option to purchase the Resale Property subject to the Proposed Sale Terms, and otherwise subject to the terms of this Schedule 2 C. If City shall receive a bona fide written offer of purchase (an "Offer") as to a Resale Property which City wishes to accept, City shall immediately notify Billingsley of the terms and conditions of the Offer received by City and provide Billingsley with a copy of any documents comprising such Offer, together with available financial information concerning the offeror, and Billingsley shall have a prior right and option to purchase the Resale Property subject to the Offer on the terms of the Offer, and otherwise subject to the terms of this Schedule 2. Billingsley's purchase rights under this Schedule 2 are herein referred to collectively as the "Right of First Refusal." D. Following receipt by Billingsley of the notice of the Proposed Sale Terms or Offer, Billingsley shall have a period of fifteen (15) business days (the "Reply Period") to notify City of whether Billingsley desires to acquire the Resale Property upon the terms and conditions in the notice or Offer. If Billingsley elects to acquire the Resale Property and so notifies City within the Reply Period, Billingsley and City shall execute a binding contract in accordance with the terms of the Proposed Sale Terms or Offer within thirty (30) days after Billingsley's notice to City, and close on the Resale Property in accordance with the terms of their agreement. In review of title and survey for the Resale Property, Billingsley shall be presumed to have approved for all purposes any Permitted Exception encumbering or affecting the Resale Property at the time it was conveyed by Luminant to City. E. If Billingsley does not notify City that it has elected to acquire the Resale Property within the Reply Period, or if Billingsley notifies City that Billingsley does not desire to acquire the Resale Property, then Billingsley's Right of First Refusal shall not apply to such Resale Property in connection with City's sale thereof to a third party, except as otherwise expressly provided herein with respect to City's failure to close the sale of such Resale Property within nine (9) months after expiration of the Reply Period. Within such nine (9) month period, AMESDED AND RESTATED NORTHLAKE ACREEAIENT City may proceed to market the Resale Property or accept the Offer and close on the sale of the Resale Property covered thereby in substantial accordance with the terms and conditions of the Proposed Sale Terms or Offer (respectively) or on terms and conditions more favorable to City, free of Billingsley's Right of First Refusal. If the City's sale does not close within nine (9) months after expiration of the Reply Period, then Billingsley's Right of First Refusal to acquire the Resale Property which were the subject of the Proposed Sale Terms or Offer shall be reinstated. F. Billingsley shall cooperate with City in executing such acknowledgements and releases as a purchaser of the Resale Property may reasonably require, reflecting Billingsley's election not to acquire the Resale Property under this Agreement in response to the Proposed Sale Terms or Offer. G. The Right of First Rehsal shall survive sales to governmental authorities, transit authorities, econon~ic development corporations, and other similar governmental units, allowing exercise upon subsequent resale by such authority(ies) for private development. 7 AMENDED AND RESTATED NORTHLAKE AGREEMENT Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-0991 File ID: Type: Status: 2013-0991 Resolution Passed 1Version: Reference: In Control: City Secretary 04/02/2013File Created: 04/23/2013Final Action: Northlake 5File Name: Title: Consider approval of grant of temporary access easement and a water line easement to Cypress Waters Land A, Ltd. on the North Sliver Tract and East Tract, respectively, located at Northlake; and, authorizing the Mayor to sign. Notes: Agenda Date: 04/23/2013 Agenda Number: 16. Sponsors: Enactment Date: Resolution.pdf, Temporary Construction and Easement Access.pdf, Exhibit.pdf, Easement and Right of Way.pdf Attachments: Enactment Number: 2013-0423.5 Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 PassApproved04/23/2013City Council Presentation: City Attorney Robert Hager read the Resolution into the record and presented the information to Council. A motion was made by Councilmember Gary Roden, seconded by Councilmember Aaron Duncan, that this Resolution be approved. The motion passed by an unanimous vote. Action Text: Councilmember Tim Brancheau, Councilmember Bob Mahalik, Councilmember Gary Roden, Mayor Pro Tem Billy Faught, Councilmember Marvin Franklin, and Councilmember Aaron Duncan 6Aye: Text of Legislative File 2013-0991 Title Consider approval of grant of temporary access easement and a water line easement to Cypress Waters Land A, Ltd. on the North Sliver Tract and East Tract, respectively, located at Northlake; and, authorizing the Mayor to sign. Summary Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-0991) Fiscal Impact: Staff Recommendation: Approval recommended. Goal Icon: Sustainable City Government Business Prosperity Community Wellness and Enrichment Sense of Community Special Place to Live Page 2City of Coppell, Texas Printed on 12/28/2017 TM 60137 RESOLUTION NO. ________ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS, APPROVING THE TERMS AND CONDITIONS OF A GRANT OF TEMPORARY ACCESS AND CONTRUCTION EASEMENT AND A WATER LINE EASEMENT TO CYPRESS WATERS LAND A, LTD AND/OR TRAMMELL CROW NO. 43, LTD. ON LAND LOCATED AT THE NORTH SLIVER TRACT AND EAST TRACT, RESPECTIVELY, AT NORTHLAKE; AUTHORIZING THE MAYOR TO SIGN, WHICH IS ATTACHED HERETO AS EXHIBIT 1 AND EXHIBIT 2, FOLLOWING REVIEW BY THE CITY ATTORNEY; REPEALING ALL RESOLUTIONS IN CONFLICT; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City desires to enter into a Grant of Temporary Access and Construction Easement and Water Line Easement with Cypress Waters Land A, Ltd. and/or Trammell Crow No. 43, Ltd.; and WHEREAS, the City Council finds it is in the best interest of the City of Coppell and its citizens to grant such easement. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS THAT: SECTION 1. The City Council hereby approves and authorizes the terms and conditions of a Grant of Temporary Access Easement and Construction Easement and Water Line Easement to Cypress Waters Land A, Ltd and/or Trammell Crow No. 43, Ltd. on land located on the North Sliver Tract and East Tract, respectively, at Northlake; and, hereby authorizes the Mayor to execute such easements, as provided in Exhibit 1 and Exhibit 2, which are attached hereto and incorporated herein by reference. SECTION 2. Any prior resolution of the City Council in conflict with the provisions contained in this Resolution are hereby repealed and revoked. SECTION 3. Should any part of this resolution be held to be invalid for any reason, the remainder shall not be affected thereby, and such remaining portions are hereby declared to be severable. SECTION 4. This resolution shall take effect immediately from and after its passage, and it is duly resolved. [Signature page to follow] TM 60137 DULY PASSED and approved by the City Council of the City of Coppell, Texas, on this the ____ day of , 2013. APPROVED: Karen Selbo Hunt, Mayor ATTEST: Christel Pettinos, City Secretary APPROVED AS TO FORM: _________________________________ Robert E. Hager, City Attorney (REH/mpm) Exhibit 1 TM 60137 Exhibit 2 TM 60137 TM 60351 After Recording Please Return To: Clay Phillips, City Manager City of Coppell 255 E. Parkway Blvd Coppell, Texas 75019 NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU ARE A NATURAL PERSON, YOU MAY REMOVE OR STRIKE ANY OR ALL OF THE FOLLOWING INFORMATION FROM ANY INSTRUMENT THAT TRANSFERS AN INTEREST IN REAL PROPERTY BEFORE IT IS FILED FOR RECORD IN THE PUBLIC RECORDS: YOUR SOCIAL SECURITY NUMBER OR YOUR DRIVER'S LICENSE NUMBER TEMPORARY CONSTRUCTION AND ACCESS EASEMENT STATE OF TEXAS § § KNOW ALL MEN BY THESE PRESENTS: COUNTY OF DALLAS § That CITY OF COPPELL, TEXAS (“Grantor”), whose mailed address is 255 E. Parkway Boulevard, Coppell, Dallas County, Texas 75019, for and in consideration of the sum of TEN AND NO/100 DOLLARS ($10.00) and other good and valuable consideration in hand paid by the CYPRESS WATERS LAND 1, LTD, (hereinafter “Grantee”), whose mailing address is , the receipt and sufficiency of which is hereby acknowledged, has DEDICATED, GRANTED, SOLD AND CONVEYED, and by these presents does DEDICATE, GRANT, SELL AND CONVEY, unto Grantee, a non-exclusive variable width TEMPORARY CONSTRUCTION AND ACCESS EASEMENT over, along, across and under the property described in Exhibit “A”, which is attached and incorporated herein, located in Dallas County, Texas for the purpose of providing access to and staging area for the construction, installation, replacement, repair, inspection, modification, and maintenance of real property owned Grantee adjacent to city owned property and shall under the terms hereof have temporary access as provided. Grantee and Grantee’s contractors will at all times, after doing any work in connection with this construction, operation, or repair restore the surface of the Easement Property as close to the condition in which it was found before such work was undertaken; provided. THIS TEMPORARY CONSTRUCTION AND ACCESS EASEMENT will expire at such a time that the Project is completed, but shall expire on December 31, 2016. To have and to hold the above described property for temporary construction and access purposes as deemed necessary by the Grantee, with the right of ingress, egress, and regress therein, together with all and singular the usual rights thereto in anywise belonging, unto the said Grantee, its successors and assigns, for the purposes set forth herein. Grantor may use the Easement Property for any and all purposes that do not unreasonably interfere with or prevent the use by Grantee or Grantee’s contractors of the Easement Property for the purpose set forth herein. The temporary construction easement described herein is conveyed without warranty of title. TM 60351 SIGNED AND AGREED this ______ day of _______________________ 2013. GRANTOR: _______________________________ By: , Mayor GRANTOR’S ACKNOWLEDGMENT STATE OF TEXAS § § COUNTY OF ELLIS § This instrument was acknowledged before me, the undersigned authority on the _____ day of _______, 2013, by __________________________, on behalf of said corporation. ___________________________________ Notary Public, State of Texas My commission expires: _______________ Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-0992 File ID: Type: Status: 2013-0992 Resolution Passed 1Version: Reference: In Control: City Secretary 04/02/2013File Created: 04/23/2013Final Action: Northlake 6File Name: Title: Consider approval of a release agreement by and between Oncor and the City of Coppell concerning release of any easement rights over a portion of city owned property located at Northlake; and, authorizing the Mayor to sign. Notes: Agenda Date: 04/23/2013 Agenda Number: 17. Sponsors: Enactment Date: Resolution.pdf, Release of Rights.pdfAttachments: Enactment Number: 2013-0423.6 Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 PassApproved04/23/2013City Council Presentation: City Attorney Robert Hager read the Resolution into the record and presented the information to Council. A motion was made by Councilmember Marvin Franklin, seconded by Councilmember Bob Mahalik, that this Resolution be approved. The motion passed by an unanimous vote. Action Text: Councilmember Tim Brancheau, Councilmember Bob Mahalik, Councilmember Gary Roden, Mayor Pro Tem Billy Faught, Councilmember Marvin Franklin, and Councilmember Aaron Duncan 6Aye: Text of Legislative File 2013-0992 Title Consider approval of a release agreement by and between Oncor and the City of Coppell concerning release of any easement rights over a portion of city owned property located at Northlake; and, authorizing the Mayor to sign. Summary Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-0992) Fiscal Impact: Staff Recommendation: Approval recommended. Goal Icon: Sustainable City Government Business Prosperity Community Wellness and Enrichment Sense of Community Special Place to Live Page 2City of Coppell, Texas Printed on 12/28/2017 TM 60134 RESOLUTION NO. ________ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS, APPROVING THE TERMS AND CONDITIONS OF A RELEASE AGREEMENT BY AND BETWEEN ONCOR ELECTRIC DELIVERY COMPANY LLC AND THE CITY OF COPPELL CONCERNING RELEASE OF ANY EASEMENT RIGHTS OVER CITY OWNED PROPERTY GENERALLY LOCATED AT NORTHLAKE; AUTHORIZING THE MAYOR TO SIGN, WHICH IS ATTACHED HERETO AS EXHIBIT 1, FOLLOWING REVIEW BY THE CITY ATTORNEY; REPEALING ALL RESOLUTIONS IN CONFLICT; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City has entered into a Release Agreement by and between Oncor Electric Delivery Company LLC; and WHEREAS, the City Council find it is in the best interest of the City of Coppell and its citizens to approve said agreement. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS THAT: SECTION 1. The City Council hereby approves the terms and conditions of a Release Agreement by and between Oncor Electric Delivery Company LLC and the City of Coppell concerning the release of any easement rights over city owned property generally located at Northlake; and, hereby authorizes the Mayor to execute such agreement, as provided in Exhibit 1, which is attached hereto and incorporated herein by reference. SECTION 2. The Mayor of the City of Coppell, Texas, is hereby authorized to execute said agreement, which is attached hereto as Exhibit 1, following review by the City Attorney. SECTION 3. Any prior resolution of the City Council in conflict with the provisions contained in this Resolution are hereby repealed and revoked. SECTION 4. Should any part of this resolution be held to be invalid for any reason, the remainder shall not be affected thereby, and such remaining portions are hereby declared to be severable. SECTION 5. This resolution shall take effect immediately from and after its passage, and it is duly resolved. [Signature page to follow] TM 60134 DULY PASSED and approved by the City Council of the City of Coppell, Texas, on this the ____ day of , 2013. APPROVED: Karen Selbo Hunt, Mayor ATTEST: Christel Pettinos, City Secretary APPROVED AS TO FORM: _________________________________ Robert E. Hager, City Attorney (REH/mpm) Exhibit 1 TM 60134 Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-0993 File ID: Type: Status: 2013-0993 Agenda Item Passed 1Version: Reference: In Control: City Secretary 04/02/2013File Created: 04/23/2013Final Action: Northlake 7File Name: Title: Consider approval of grant of easement to Oncor for transmission and distribution lines over city owned property located at Northlake; and, authorizing the Mayor to sign. Notes: Agenda Date: 04/23/2013 Agenda Number: 18. Sponsors: Enactment Date: Resolution.pdf, Easement and Right of Way.pdfAttachments: Enactment Number: 2013-0423.7 Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 PassApproved04/23/2013City Council Presentation: City Attorney Robert Hager read the Resolution into the record and presented the information to Council. A motion was made by Mayor Pro Tem Tim Brancheau, seconded by Councilmember Billy Faught, that this Resolution be approved. The motion passed by an unanimous vote. Action Text: Councilmember Tim Brancheau, Councilmember Bob Mahalik, Councilmember Gary Roden, Mayor Pro Tem Billy Faught, Councilmember Marvin Franklin, and Councilmember Aaron Duncan 6Aye: Text of Legislative File 2013-0993 Title Consider approval of grant of easement to Oncor for transmission and distribution lines over city owned property located at Northlake; and, authorizing the Mayor to sign. Summary Fiscal Impact: Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-0993) Staff Recommendation: Approval recommended. Goal Icon: Sustainable City Government Business Prosperity Community Wellness and Enrichment Sense of Community Special Place to Live Page 2City of Coppell, Texas Printed on 12/28/2017 TM 60135 RESOLUTION NO. ________ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS, APPROVING THE TERMS AND CONDITIONS OF A GRANT OF EASEMENT FROM THE CITY OF COPPELL TO ONCOR ELECTRIC DELIVERY COMPANY LLC FOR TRANSMISSION AND DISTRIBUTION LINES OVER CITY OWNED PROPERTY GENERALLY LOCATED AT NORTHLAKE; AUTHORIZING THE MAYOR TO SIGN, WHICH IS ATTACHED HERETO AS EXHIBIT1A, FOLLOWING REVIEW BY THE CITY ATTORNEY; REPEALING ALL RESOLUTIONS IN CONFLICT; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City has entered into a Grant of Easement by and between Oncor Electric Delivery Company LLC; and WHEREAS, the City Council find it is in the best interest of the City of Coppell and its citizens to approve said Agreement. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS THAT: SECTION 1. The City Council hereby approves the terms and conditions of a Grant of Easement from the City of Coppell to Oncor Electric Delivery Company LLC for the transmission and distribution lines over city owned property generally located at Northlake; and, hereby authorizes the Mayor to execute such easement, as provided in Exhibit 1, which is attached hereto and incorporated herein by reference. SECTION 2. Any prior resolution of the City Council in conflict with the provisions contained in this Resolution are hereby repealed and revoked. SECTION 3. Should any part of this resolution be held to be invalid for any reason, the remainder shall not be affected thereby, and such remaining portions are hereby declared to be severable. SECTION 4. This resolution shall take effect immediately from and after its passage, and it is duly resolved. [Signature page to follow] TM 60135 DULY PASSED and approved by the City Council of the City of Coppell, Texas, on this the ____ day of , 2013. APPROVED: Karen Selbo Hunt, Mayor ATTEST: Christel Pettinos, City Secretary APPROVED AS TO FORM: _________________________________ Robert E. Hager, City Attorney (REH/mpm) Exhibit 1 TM 60135 Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-1007 File ID: Type: Status: 2013-1007 Agenda Item Read and Filed 1Version: Reference: In Control: City Secretary 04/15/2013File Created: 04/23/2013Final Action: City Manager's ReportFile Name: Title: Project Updates and Future Agendas. Notes: Agenda Date: 04/23/2013 Agenda Number: Sponsors: Enactment Date: Attachments: Enactment Number: Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 Read and Filed04/23/2013City Council Read and Filed City Manager Clay Phillips reminded Council of their 5th Tuesday Work Session on April 30th in the 2nd Floor Conference Room. He also mentioned that while Mr. Hager brought forward some resolutions at this meeting pertaining to Northlake, additional items will be coming forward pertaining to the lake edge. Action Text: Text of Legislative File 2013-1007 Title Project Updates and Future Agendas. Summary Fiscal Impact: Staff Recommendation: Goal Icon: Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-1007) Sustainable City Government Business Prosperity Community Wellness and Enrichment Sense of Community Special Place to Live Page 2City of Coppell, Texas Printed on 12/28/2017 Master City of Coppell, Texas 255 Parkway Boulevard Coppell, Texas 75019-9478 File Number: 2013-1004 File ID: Type: Status: 2013-1004 Agenda Item Read and Filed 1Version: Reference: In Control: City Secretary 04/15/2013File Created: 04/23/2013Final Action: Mayor and Council ReportsFile Name: Title: A.Report by Mayor Hunt regarding Bounce! Notes: Agenda Date: 04/23/2013 Agenda Number: Sponsors: Enactment Date: Attachments: Enactment Number: Hearing Date: Contact: Effective Date: Drafter: History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 Read and Filed04/23/2013City Council Read and Filed Mayor Hunt reported that Bounce is just around the corner on May 11th. Activities will include: Bounce Houses galore, a live band - Moving Colors (current upbeat pop), Face Painting, Balloon Artists, Free Hotdogs (first come first serve) and tons of recreational and health vendors from Coppell. The time is from 10am – 2pm. It will be tons of fun – Don’t miss out! Action Text: Text of Legislative File 2013-1004 Title A.Report by Mayor Hunt regarding Bounce! Summary Fiscal Impact: Staff Recommendation: Goal Icon: Page 1City of Coppell, Texas Printed on 12/28/2017 Master Continued (2013-1004) Sustainable City Government Business Prosperity Community Wellness and Enrichment Sense of Community Special Place to Live Page 2City of Coppell, Texas Printed on 12/28/2017