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HomeMy WebLinkAboutResolution - 4825 - Qualified Business Certification-United Supermarkets Inc #503-Enterprise Project - 04/27/1995Resolution No. 4825 April 27, 1995 Item #37 RESOLUTION WHEREAS, the Texas Department of Commerce ("Commerce") designated the Lubbock North Enterprise Zone (the "Zone") on June 7, 1993 and amended said zone on February 11, 1994; and WHEREAS the City Council for the City of Lubbock, Texas desires to pursue the creation of the proper and social environment in order to induce the investment of private resources in productive business enterprises located in enterprise zones and to provide employment to residents of the enterprise zones and to other economically disadvantaged individuals; and WHEREAS, the Texas Department of Commerce will only consider an enterprise project application from UNITED SUPERMARKETS, INC., #503 pursuant to a nomination and an application made by the City of Lubbock, provided UNITED SUPERMARKETS, INC., #503 is located in a designated enterprise zone within its jurisdiction; and WHEREAS, pursuant to the Texas Enterprise Zone Act (Chapter 2303 of the Government Code), UNITED SUPERMARKETS, INC., #503 has applied to the City of Lubbock for designation as an enterprise project; and WHEREAS, the City of Lubbock finds that UNITED SUPERMARKETS, INC., #503 meets the criteria for designation as an enterprise project under Section 2303.403 of the Government Code (Section 3 of Acts 1993, 73rd Leg.,Ch. 974). 1. UNITED SUPERMARKETS, INC., #503 is a qualified business under Section 2303.401 of the Government Code (Section 2 of Acts 1993, 73rd Leg.Ch. 974) since it will be engaged in the active conduct of a trade or business in the enterprise zone and at least twenty-five percent (25%) of the business employees will be residents of the Lubbock Enterprise Zone or economically disadvantaged individuals. A Qualified Business Certification to comply with this provision by the Applicant is attached hereto as Exhibit A and made a part hereof for all purposes. 2. UNITED SUPERMARKETS, INC., #503 is located in an enterprise zone which has an unemployment rate of one and one-half ( 11/2) times the state I unemployment rate and is an economically distressed area because it has a zone poverty rate of at least twenty percent (20%). There has been and will continue to be a high level of cooperation between public, private, and neighborhood entities within the enterprise zone; and 4. The designation of UNTIED SUPERMARKETS, INC., #503 as an enterprise project will contribute significantly to the achievement of the plans of the City of Lubbock for the development and revitalization of the enterprise zone. WHEREAS, the City of Lubbock finds that UNITED SUPERMARKETS, INC., #503 meets the criteria for tax relief and other incentives adopted by the City of Lubbock and nominates UNITED SUPERMARKETS, INC., #503 on the grounds that it will be located wholly within the enterprise zone, and will create a higher level of employment, economic activity and stability; and WHEREAS, the City of Lubbock finds that it is in the best interest of the City of Lubbock to nominate UNITED SUPERMARKETS, INC., #503 as an enterprise project pursuant to the Act; NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the findings of the City Council and its action approving this resolution taken at the Council meeting are hereby approved as adopted. BE IT FURTHER RESOLVED that UNITED SUPERMARKETS, INC., #503 is a "qualified business," as defined in Section 2303.401 of the Government Code (Section 2 of Acts 1993, 73rd Leg.,Ch. 974), and meets the criteria for designation as an enterprise project, as set forth in Section 2303.403 of the Government Code (Section 3 of Acts 1993, 73rd Leg.,Ch. 974) of the Texas Enterprise Zone Act. BE IT FURTHER RESOLVED that the enterprise project shall take effect on the date of I approval and designation of the enterprise project by the Texas Department of Commerce and terminate five (5) years after that date of designation. 2 Passed by the City Council this ATTEST: y %2! - Betty M. ohnson, C ty Secretary APPROVED AS TO CONTENT: Joel Beesinger, ltlterim Dif "or of Business Development R*li1! 4 074 M�7 Eb ald G. Vandiver, First Assistant City Attorney DGV:dplccdoce,uni tedZ.Res April 13, 1995 3 Q LUBBOCK TFX DAVID R. LANGSTON MAYOR Resolution No. 4825 April 27, 1995 CITY OF LUBBOCK item 437 LUBBOCK, TEXAS April 27, 1995 Mr. Dan Wattles, Manager Enterprise Zone Program Texas Department of Commerce P.O. Box 12728 Austin, Texas 78711 Re: United Supermarkets, Inc. Enterprise Project Application Lubbock North Enterprise Zone Dear Mr. Wattles: To the best information and belief of the City of Lubbock, Texas, the information contained in this Enterprise Project Application is true and correct and the governing body's representative and designated liaison for the Lubbock Enterprise Zone has read the Texas Enterprise Zone Act and the Enterprise Zone Program Rules and are familiar with the provisions contained therein. Signed this 27th (Seal) day of April, 1995 Attest: etty ki. 7ohnso , City Secretary _gip k, Bob N. Cass, City Manager Enterprise Zone Liaison APR -16 95 10:55 FROM:UNITED SUPERMARKETS 806-791-7,183 TO:606 767 2051 PAGE:11 APR -14-35 FRI 9:59 iGpV•T SERVICE AGENCY 2143421896 P.63 04/13-195 15:23 TEXRS DEPARTMENT OF COMMERCE 022 j "EXHIBIT A" i Pursuant to Section 2303.00 (6) of the Texas Enterprise Zone Act (Texas Goveramant Code), the tuiderei ed business does hereby certify to the enterprise zone govora ng body(s) of (pte Ie enter mane of governing badx(ies)): the Terse Department of Coro nerce, and to the Comptroller of Public Accounts (Comptroller) for the State of Texas that (please initial at left -where applicable and r oRe name): 1. it is engaged in qr hsa provided substantial commitment to Initiate tha ( nitial s) active couduct of s trade or business in the LMDDOCK )Enterprise Zone (zaue), and Z. at least twenty-11ye pervent (25%) of Its new employees in the zone WV (Ir�t�aln) residents of any :ons in the governint bow's or bodies' jurisdiction or economically digadvintagad individuals, or 3. the business wilt retain a level of ormpioyment from the date of sales tax CI iti als) reiland for throe years, or may be subject to recapture nf'rdfunds by the Comptroller. The undersigned busine9a agrees to annually certify to the parties named herein no later than October 1 that the business is, and will remain in compliance with the above criteria, end that, if during any time period that compliance is not met, the business will be ineligible to. clairm any benefits to which it may be entitled to as a qualified business in the enterprise zone. This agreement and certificatiD� is affective from the date of designation through the date of expiration as a qualified business. Signedtris 1 th &yot,_AMT1. Company Name-11al,rE / SUPERxa..i UT. , INC . By, /2 pocitioa/Ntle• VP Chief Financial Officer Address of Company; P 0 Box 6 84 0 P 791 0220 ��. Lubbock, ra � ©,d,ae,�79493 � Phone Number.E, R06 ) 10/13/94 Fora, EPP-09 Duainess Development bivIsiun, Taxis Department of Commoroe APR -18 95 14:06 FROM:UNITED SUPERMARKETS 606-791-7483 TO:806 767 2051 PAGE:02 April 17, 1995 UNITED SUPERMARKETS, INC. Mr. pan wattles, Manager Enterprise Zone Program Business Finance Division Texas Department of Commerce P 0 Box 12728 Austin, Texas 78711 Dear Mr. Wattles: United Supermarkets, Inc. ("United") is a privately owned corporation incorporated in the State of Texas with headquarters at 7830 Orlando Avenue in Lubbock, Texas. The primary ownership of this corporation is as follows: Robert Snell - 39%; H.D. Snell Jr. Trust, 39.8%; Sara Jane Wood, 9.3%; and Ethel Ann Bumstead, 9.3%_ United has operated retail grocery stores since 1916, and currently operates thirty-nine stores in cities throughout West Texas, including Amarillo, Lubbock, Wichita Falls and Abilene, United Supermarkets, Inc. employs approximately 2,622 full-time employees and 810 part-time employees. The store for which we are requesting Enterprise Project designation (United #503) is a new store that will be located at N. University and Auburn in Lubbock, Texas. The new store will replace our existing facility located at lab N. University which currently employs 44 full-time and 15 part-time employees with a current market of North Central Lubbock and surrounding farm communities. our primary supplier for foods for this facility is Fleming Foods. Our short and long range goals for the new facility in Lubbock, Texas, are as follows: (1) to provide consumers with "one stop shopping" in a larger, modern, superstore type supermarket which provides customers with a wide selection of perishable and dry grocery products under one roof at competitively low prices, P.O. Box 6840 4 806791-0220 9 Lubbock, Texas 79493-6840 APR -18 95 14:09 FROM:UNITED SUPERMARKETS E06-791-7483 TO:806 767 2051 PAGE:03 (2) to provide quality and service, by offering consumers only the highest quality products in a clean and attractive store environment, and by offering consumers a wide variety of perimeter service departments where a large selection of fresh products can be found, with special emphasis on merchandising to the needs of consumers in the Lubbock area, (3) to create a family environment for United shoppers through ongoing support and involvement in civic, charitable and community activities. When completed, the total investment in the new Lubbock facility will be approximately $6,100,000. The breakdown will be $3,900,000 for building improvements and the remaining $2,200,000 for machinery and equipment. Equipment and machinery will be purchased with funds from existing operating cash flow and/or United's short term operating line with Amarillo National Bank. The land and building improvements will be financed with traditional long term financing. Three (3) warranty deeds are attached as Exhibit A. We will begin ordering the needed equipment, machinery, and fixtures in August, 1995. These items should begin arriving between August, 1995 and December, 1995. The following is a list of the equipment, machinery and fixtures to be purchased: Bakery, deli, market equipment $ 550,000 Refrigeration cases, shelving, display cases and other equipment 1,350.000 Computers, phones, office equipment and decor 300.000 $2,200,000 operations of the new facility will commence in December, 1995 or January, 1996. United Supermarkets, Inc. does not require any special permits and licenses in order to operate. We currently employ 59 persons in our existing Lubbock facility with a current annual payroll of $782,170. A list of the current employees is included as Exhibit B. APR -16 95 14:09 FROM:UNITED SUPERMARKETS E06 -791-74E3 TO:eOG 767 2051 PAGE:04 It is estimated that within five years there will be an additional 103 employees at the replacement store. The list of the new jobs to be created with total annual salary is included as Exhibit c. The annual payroll at the new store should be approximately $2,103,070. Initial hiring for the new jobs as a result of this proposed expansion will begin in December 1995. United Supermarkets, Inc. commits to participate in local efforts to achieve development and revitalization of the Lubbock, Texas Enterprise Zone. United Supermarkets, Inc, will hire under - skilled, inexperienced, disadvantaged, displaced workers, minorities, or residents of the enterprise zone. United Supermarkets, Inc. understands that to be a "qualified business" eligible for enterprise project designation, twenty-five percent (251) of its new or additional employees must be residents of an enterprise zone within the city's jurisdiction or economically disadvantaged persons. United Supermarkets, Inc. hereby commits that twenty-five percent (25%-) of its new employees will be residents or an enterprise zone or economically disadvantaged persons. United Supermarkets, Inc. further understands that it must retain a level of employment for three years from the date of refund of state sales taxes, or United Supermarkets, Inc. may become liable for recapture of refunded taxes of the Comptroller. Rest assured United Supermarkets, Inc. understands the importance of a stable work force and will diligently follow a path that keeps layoffs to a minimum. Along with our job creation commitment, United Supermarkets, Inc. also commits to hire minority workers and to contract with minority-owned and small businesses. United Supermarkets, Inc. is committed to participating heavily in community affairs. our employees participated in the United way through payroll deductions, as well as an annual corporate donation by the home office. In recent years, we have supported financially the Little Leagues, Ronald McDonald House, Fine Arts of Lubbock, Medical Health Research and many other needs. The company is also willing to participate individually, in groups, or with other organizations which contribute time and manpower for the good of the community. United Supermarkets, Inc. is willing to negotiate and cooperate in the achievement of the purposes of the Texas Enterprise Zone Act. APR -18 95 14:09 FROM:UMITE© SUPERMARKETS 606-791-7483 TO:606 767 2051 PAGE:05 I also certify that the company's proposed Lubbock facility is located within the Lubbock Enterprise Zone and that separate books and reports of the business activity conducted in the zone or any other information as required by local and state government units will be made available for inspection and review as needed. United supermarkets, Inc. appreciates the nomination and values the implications of the designation as an enterprise project in the city of Lubbock, Texas Enterprise Zone. We look forward to working with the city of Lubbock and the State of Texas in furthering the purposes of the Texas Enterprise Zone Program. Sincerely, United Supermarkets, Inc. L. Kent Moore vice President and Chief Financial Officer APR -18-95 TUE 13:16 GOVAT SERVICE AGENCY 2143421896 ,'. RETURN TO: UNITED SUPERMARKETS, INC. ATT N: KEN"- MOORE 7830 CRL! f0, LUBBOCK; TX 79423 - . Warranty Deed •, THE STATE OF TEXAS 1258 P.02 VOL 4470ncM GF 20017267 KNOW ALL MEN BY THESE PRESENTS: COUNTY OF LUBBOCK That CERROS MORADO CORPORATION, a Texas corporation, for and in consideration of the sum of TEN AND N0/100 DOLLARS ($10.00), and other goad and valuable consideration, to Grantor paid by: UNITED SUPERMARKETS, INC., a Texas corporation 7830 Orlando Avenue Lubbock, Texas 79423, have Granted, Sold, and Conveyed, and by these presents do Grant,' Sell, and Convey unto the said IINITED SUPERMARKETS, INC., a, Texas corporation, of the County of Lubbock, State of Texas, all that certain lot, tract, or parcel of land situated in Lubbock County, Texas, described as follows: Lot Three (3), Judy Jane Addition to the City of Lubbock, Lubbock County, Texas, according to the map, plat, and/or dedication deed thereof recorded in volume 891, Page 425 of the Deed Records of Lubbock county, Texas; Subject to any and all covenants, restrictions, and easements found of record. To HAVE AND TO HOLD the above described premises, together with all and singular, the rights and appurtenances thereto in anywise belonging unto the said UNITED SUPERKA.RYETS, INC., -its successors and assigns forever; 4nd Grantor does hereby bind itself, its successors and assigns, to Warrant and Forever Defend all and singular the said Premises zno the said UNITED SUPERHARKETs, INC., its successors and assigns, against every person whomsoever lawfully claiming, or to claim the same or any part thereof. EXECUTED this 31st day of January, 1994. Ey: THE STATE OF NEW MEXICO COUNTY OF BERNALILLO CERRO MO O ORPORATION S,'D. LEVENSON, President This instrument was acknowledged before rise on the 31st day of January, 1994, by S. D. LEVENSON, President of CERROS MORADO CORPORATION, a Texas corporation, on behalf of said corporation. OFFICIAL SEAQ",- NATHA M. SILVA Notary Public, State of New Mexico NOTAR"f PUBLIC - NEW MExiY" Commission Expires: Notsy bone Filed wi'r, Secrew-y a., t - Typed/Printed Name: My C.VM"n1551;;1.. Expires '-r? - c.20 ..','4 APR -18-95 TUE 13:17 GOVT SERVICE AGENCY 2143421896 P.03 :,�y.yr��Vrcv.'4 -.+... ��•. •*.. r _ •rte._ -}-;-• - •1 .;,i.-�'t=._..��w !PWS— :4-,:r•.�_rt� •r._• \�i� .. Tt T2j jy?T�fi.TCL 1�rT T GUARANTY C©DiPA.NX I TEXAS RESIDENTIAL OWNER POLICY OF TITLE INSURANCE # ONE -TO -FOUR FAMILY RESIDENCES j OWNER'S INFORfAA71ON SHEET Your Title Insurance Policy is a legal Su Poliza de Seguro de Titulo es un contract between you and Stewart Title contracto legal entre usted y Stewart Guaranty Company. This policy is not Title Guaranty Company. Esta poliza an opinion or report of your title. It is a no es una opinion o reporte en relation contract of indemnity, meaning aprom- a su titulo de propiedad. Es un contrato ise to pay you or to take other action if de indemnificacion, esto es. la promesa you have a loss resulting from a cov- de reembolsarle o de tomar cualquier ered title risk, otro Lipo de action si usted sufre una perdida como resultado de cualquier It applies only to an improved one -lo- riesgo cubierto por la poliza. four family residential property or con- dominium unit. If your land is not either Esta forma de poliza ha sido designada of these, contact us immediately. para serutilizadaexclusivamenteenlos casosde propiedades en las cuales hay construidas viviendas para no mas de cuatro familias o en los casos de unidades en condominios. Si su propiedad no es ninguna de las anteriores, por favor, notifiquenos inmediatar'nenle. W< rail I , We insure you against certain risks to your;and title. We ii5t hies" risks on pane 1. The following limit " your coverage. ' l Exclusions on page 2. t Exceptions on Sclieduie f. j Condi ions on pages 2 ani s. You should steep the policy even if you transfer tlis Lille to your land. if you wan, to make a claim, see section 3 under Conditions on page 2. t I r �t j You do not owe any more premiums for the Policy. ,, I This sheet is nod your insurance Policy. Itis on)y a brief outline of some of the important Policy features. 3 4 The Policy explains in detail your rights and obligations and our rights and obligations. The Policy -- and 4 not this sheet -• is the legal document. YOU SHOULD READ THE POLICY VERY CAREFULLY.. I, THE TOLL-FREE NUMBER OF STEWARTTITLE GUARANTY COMPANY IS 1-500-729-1902. YOU MAY CALL THIS NUMBER TO DISCUSS THIS POLICY OR TO MAKE A COMPLAINT. YOU MAY f WRITE TO STEWART TITLE GUARANTY COMPANY AT THE ADDRESS IN SECTION 3 UNDER CONDITIONS ON PAGE 2. t- 'f-t�3'7�r1•t�1,e�'+nn+r,-s•xws.iG-a+.ry•r.: e.s+e.�.rtc:".-•-. ta'a+:+ti r�'r�s'ey�+��`rr r'?rr"ir;.'r•�q+r` '+1`.-'•'.•+.'.�1 •"�. APR -18-95 TUE 13:18 GdV'T SERVICE AGENCY 2143421896 P.04 lb-II'0RTA NTNO'l''1C1 1 TO 013 TAIN INFORMATION Olt MAICI; A COMPLAINT: YOU MAY CALLI.-Olt INVOIL MATION ORTOMA1C1iA C6611-LAIN`I'A`1' 1-800.729.1902 YOU MAY ALSO NVIWIT'. TO STE01YARTTITLE0 GUAIIANTY CONI{'A11' AT: 11. 0. it Ox 2029 110 US't ON, TX 77251-202) YOU MAY CONTACT " 1'11H.TEX,Iti ()IITAlN INFORNIATION ON C©MI'ANIES, COYUI(ACEti, RICII'I'S Olt COMPLAINTS o1,'I' �-Sa0-252-��i3� YOU P. 0.IIQX 1.12104 AUS -1.1N, TX 71171-1-)104 VAX It (5 12) -i75-1771 11111-i'IIUM Olt CLAIM DISPU'1E's., $MOULD YOU IIAVI; n DI.SI'U'1'1; CON CERN INC. 1'DIJIt V]LEMIIffia 0 i All()VTA C1,AIM vOL) StIOULD CQN'1'ACl'1'lll: CQN�I'ANY i'lttti'I', u1Sl'u'►'I: 1:; NUT ltl::;Ul.�'lil), YOU MAY CONTACT -1-1111. TLXAS bLITAIVI'MENT OF INSURANCE. AT1'ACII THIS NOTICI;1'0 YOUR POLICY: '1'lI1S NO"1'ICI; IS FOR INFORMATION ONL1' AND 1)01-S NOT IWCOME. E. A PAWr Olt CONDITION UF'1'III: XITA,CIIL•'I) 1?O,CU�'►liN'1', Dole; Attach flus houcC; a:; lite �i,;;l, sccuild or Ihird JmEc oC 111c pulic,. F,VVT4TT 11A11 APR -18-95 TUE 13:19 GOVT SERVICE AGENCY 2143421896 P.05 T-1 Owner Policy Schedule; orm Prescribed by Texas Department of ,urance - Revised 1/1/93 GF. No. 10017267 OWNER POLICY SCHEDULE B - EXCEPTIONS FROM COVERAGE Policy No.: 0-5841- 16746 This policy does not insure against loss or damage (and the Company will not pay costs, attorney's fees or expenses) that arise by reason of the terms and conditions of the leases and easements, if any, shown In Schedule A, and the following matters: 2. Any discrepancies, conflicts, or shortages in area or boundary lines, or any encroachments or protrusions, or any overlapping of improvements. 3. Homestead or community property or survivorship rights, if any, of any spouse of any insured. 4- Any titles or rights asserted by anyone, including but not limited to, persons, the public, corporations, governments or other entities, a. to tidelands, or lands comprising the shores or beds of navigable or perennial rivers and streams, lakes, bays, gulfs or oceans, or b. to lands beyond the line of the harbor or bulkhead lines as established or changed by any government, or C. to filled-in lands, or artificial islands, or d. to statutory water rights, including riparian rights, or e. to the area extending from the line of mean low tide to the line of vegetation, or the right of access to that area or easement along and across that area. 5. Standby fees, taxes and assessments by any taxing authority for the year 19 —19-4 and subsequent years, and subsequent taxes and assessments by any ;axing authority for prior years due to change in nand usage cr ownersN . a. he fallowing matters and all Germs of the documenis creaong or offering eviaence of the maters 1 he Company must insert maters or delete this exception.;. 7. Rights of parkies in possession. Countersigned: By Authorized Countersignature sTEWj RT TITLE GUARANTY COMPANY APR -18-95 TUE 13:19 GOVT SERVICE AGENCY 2143421896 P.06 T•1 Owner Policy Schedules orm Prescribed by Texas Department of urance . Revised 111/93 SCHEDULEA - - GF NO. 10017267 Owner Policy No.: 0 -5841 - Amount of Insurance: S DOLLARS 16745 Date of Policy: February 01, 1994 SEVEN HUNDRED THOUSAND & 00/100 - ($700,000.00) - Y1 1. Name of Insured: UNITED SUPERMARKETS, INC. 2. The estate or interest in the Land that Is covered by this policy is: FEE SIMPLE 3. Title to the estate or interest in the land is insured as vested in: UNITED SUPERMARKETS, INC. 4. The land referred to in this policy is described as follows: Lot Three (3), Judy Jane Addition to the City of Lubbock, Lubbock County, Texas, according to the snap, plat, and/or dedication deed thereof recorded in volume 891 Page 425 of the Deed Records of Lubbock County, Texas. STEWART TITLE. APR -18-95 TUE 13:20 GO'V'T SERVICE AGENCY 2143421896 ROnVRT A. RRANBt ' i?caldcn� WESTERN TITLE COMPANY MAIN OFFICE 17RANCH tw61747-3426 Bi001 TM704 181614TH STREET 7200 QUAKER AVENM SUITE N LUEBOCK TEXAS 7941.1 LUBBOCK. TEXAS 79424 December 2, 1937 United Supermarkets, Inc. P.O. Box 6840 Lubbock, Texas 79413 Robert Snell United Supermarkets, Inc. Re: GF39551-11 P.07 TITLE INSURANCE CE AND ABSLRACT3 .n_onne;:� on w tF1 the a;3r h25� cr .ne -t)O r6 Ca0`.iOn-2d DrODer:V, 61e are enclosing herewith the ' cl_owinz: Rq ::2rrantV deed nay teen ra`Orded and will be retur neo to You. We hE ✓ aeon r conal ,.e _ o i inE Y U vr3oer y. �. cr'�!f,ot. err_ciery --)C =jr' aevjs `:antling of uzure title service, Dle;?ge reel free to Nall lj4. Very truly yours, Michael R. Billingsley 9 =scrou Officer 1WV-UTR7T "Aff APR -18-95 TIDE 13:20 GOVT SERVICE AGENCY 2143421896 P.es Title USS, Insurance Corporatit, r Owner -Policy, of Title Insurance OP 367449 Title USA Insurance Corporat;on, DALLAS, TEXAS, a Texas Corporation, 'HEREINAFTER CALLED THE COMPANY, for value does hereby guarantee to the insured (as herein defined) that as of the date hereof, the Insured has good and indefeasible title to the estate or interest in the land described or referred to in this policy, The Company shall not be liable in a greater amount than the actual monetary loss of the Insured, and in no event shall the Company be, liable for more than the amount shown in Schedule A hereof, and shall, except as herein iter stated, at its own cost defend the TIInsured in every action or proceeding on any claim against, or right to the estate or interest L in the land, or any part thereof, adverse to the title to the estate or interest in the land as hereby guaranteed, but the Company shall not be required to defend against any claims IDSA based upon matters in any manner excepted under this policy by the exceptions in Schedule B hereof or excluded by Paragraph 2, "Exclusions from Coverage of this Policy," of the Conditions and Stipulations hereof. The party or parties Entitled to such defense shall within a reasonable time after the commencement of such action or proceeding, and in ample time for defense therein, give the Company written notice of the pendency of the action or proceeding, and authority to defend. The Company stall not be liable until such adverse interest, claim, or right shall have been held valid by a court of last resort to which either litigant may apply, and if such adverse interest, claim, or right so established shall be for less than the whole of the estate or interest in the land, then the liability of the Company shall be only such part of the whole liability limited above as shall bear the same ratio to the whole liabikty that the adverse interest, claire, or right established may bear to the whole estate or interest in the land, such ratio'to be based on respective values determinable as of the date of this policy. In the absence of notice as aforesaid, the Company is relieved from all liability with respect to any such interest. claim or right; provided, however, that failure to notify shall not prejudice the rights of the insured if such insured shall not be a aarnv to such action or proceeding, nor be served with process therein, nor have any knowleoge thereof, nor in any case, unless the Company shall be a:.tualiy prejudiced by such failure. Upon sale of ,r -,e estata or interest in tHe land, this policy automatically thereupon shall bevome a v:arrar',tor's policv and the Insured shall for a period of twenty-five years iron' the date hereof remain fully protected according ,o the terms hereof, by reason of me, payment of any loss hot tnev or it may sustain on acceunt of any warranty of ti -de contained in the transfer or conveyance executed by the Insured conveying I, le estate or interest in the land. The Comoany shall be liable under said warranty only by reason of oefecis, liens or encumb.-anGr5 axiStin- prior To Q' a: the date hereof and npt ex-.ludeo el:n?r of :ne exc•aa,lons o., 5t.,ne Condi ions and Stlpluiations hereof, Sud'1 ilcJlll,� no-, t' exceed the amount oS in!s oollcv. IN WITNESS r4EREO=, me Title USA Insurance Corporation has caused this policy to be executed by its President unser the seal of the Company, but this policy is to be valid only when it bears an authorized countersignature, as of the date set forth in Schedule A- --1 n —i _ M"13 oBnr b .t! CnFre [ut,ve ll,Grr - ,�IFJF"'. G N[�. d rrtrl $Ocrrii ry �...rir1010 M"13 APR -18-95 TUE 13:21 GOVT SERVICE AGENCY 2143421896 P.09 5CHEDULE A Amount: $150,000.00 Owner Policy No.: O P 357449 GF or File No.: 30661-11 MRB Date of Policy: Ndvember 12, 1997 Name of Insured: United Supermarkets, Inc. 1. The estate or interest in the land insured by this policy is: Fee simple (fee simple, leasehold, easement, etc.—identify or describel Z. The land referred to in this policy is described as folio -s: Lots One (1) and Two (2), of the ,Revised Plat of Judy Jane Addition to the City of Lubbock, Lubbock County, Texas, according to the Map or Plat thereof, recorded in Volume 521, Page 272, Deed Records, Lubbock County, Texas. EXHIBIT "A" APR -18-95 TUE 13:21 GOO' T SERVICE AGENCY 2143421896 SCHEDULE $ Owner Policy No_: V R6f449 P. 10 This policy fs subject to the Conditions and Stipulations hereof, the terms and conditions of the (eases or easements insured, if any, shown in Schedule A, and to the following matters which are additional exceptions from the coverage of this policy. 1. the following restrictive covenants of record itemized below (the company must either insert specific recording data or state "None of Record"). None of Record 3. Any discrepancies, conflicts, or shortages in area or boundary lines, or any encroachments, or any o4erfapping of im- provements. 3. Taxes for the year 19 87 and subsequent years, and subsequent assessments for prior years due to change in land usage or ownership_ 4. The following lien(s) and all terms, provisions and conditions of the instruments) creating or evidencing said hen(s): 5. Visible or apparent easements on or acro5s the Droperty herein described. W:.ST'E T ( _ t+J Au1h6r Zcc Counlcni};T) rc P� j APR -18-95 TUE 13:22 GOVO T SERVICE AGENCY 2143421896 P.11 OWNER +y n,� k c �! I FOLI„Y NIiIASSEFI a PO' CY AW0k,,gT 7 EFFECTIVE DATE OWNER,POLIC POLICY: 3 CUUM1EY TTS 6 RATE CODE 9 A0DT0N LCHA,N^yfi I.awyersTiflelnsuranceo poi-ation OWNER POLICY OF TITLE INSURANCE PCE 1100 UN DIT; OF POLICY iMDUMI OF I-QRUCE KL.1CY YUreFB THE POLICY NUMBER SHOWN ON THIS SCHEOUIE MUST #99-11015 2/19/92 @A -.-H 312,000.00 AGREE WITH THE PREPRINTD 90--00-392873 P.M NUMBER ON THE COYER o'clock P.M. SCHEDULE A UNITED SUPERMARKETS, INC., a Texas corporation 1. Name of Insured: 2. The estate or interest in the land that is covered by this policy is: Fee Simple 3. Title to the estate or interest in the land is vested In: UNITED SUPERMARKETS, INC., a Texas corporation 4. The land referred to in this policy is described as follows: Block Fifty (50), ROBERTS AND McWHORTER ADDITION to the City of Lubbock, Lubbock County, Texas, according to the map, plat and/or dedication deed thereof, recorded in Volume 18, Page 177, Deed Records of Lubbock County, Texas and Volume 19, Page 484, Deed Records of Lubbock County, Texas; Includes the East Five Feet (E 5') of Lot Two (2), JUDY JANE ADDITION to the City of Lubbock, Lubbock County, Texas, according to the map, plat and/or dedication deed thereof, recorded in Volume 521, Page 272, Deed Records of Lubbock Counter, Texas; SAVE AND EXCEPT the west rive rest (W 5') oT the South Two Hundred Fifty Feet (S 250') thereof; SAVE AND EXCEPT the West Eight Peet. (W 8') o� ane North Three Hundred Feet (N 300') `h, reof. Counlersigned w Lubbock texas LUBBOCK ABSTRACT & TITLE COMPA' • �(� r � C11/ / L AL[hor?zed COuntersig- ."re Page 1 oI SCheel. A APR -18-95 TUE 13:22 GOV4T SERVICE AGENCY 2143421896 P.12 ['.`+.` 'iiT7'.'T.► _�i ,'-C—'mo i_+.`"['i',.ii'ti'_�T y;, Ca,+`C`=i.'r_'I'i '. •'�- I.�_ _ ., .� iiY. 6 .!'_S-1_ '_ �:i L' `�" PER 1� " e�. eIS�IUe�YiSUTdrICe -,e , iporatio�i OWNER POLICY OF TITLE INSURANCE THE POLICY NUMBER SHOWN #99-11015 ON S SCHEDULE MUST AGREE HWITH THE REPLANTED NUMBER ON THE COVER SHEET SCHEDULE B EXCEPTfUNS FROM COVERAGE This policy does not insure against loss or damage (and the Company will not pay costs, attorneys' fees or expenses) that arise by reason of the terms and conditions of the leases or easements insured, if any, shown in Schedule A and the following matters: 1' );1pa. - 2. Any discrepancies, conflicts, or shortages in area or boundary lines, or any encroachments or protrusions, or any overlapping of improvements, 3. Homestead or community property or survivorship rights, if any, of any spouse of any insured. 4. Any titles or rights asserted by anyone, including, but not limited to, persons, corporations, governments or other enti- ties, to tidelands, or lands comprising the shores or beds of navigable or perennial rivers and streams, lakes, bays, gulfs or oceans, or to any land extending from the line of mean low tide to the line of vegetation, or to lands beyond the line or the harbor or bulkhead lines as established or changed by any government, or to filled-in lands, or artificial islands, or to riparian rights or other statutory water rights, or the rights or interests of the State of Texas or the public generally in the area extending from the line of mean low tide to the rine of vegetation or the right of access thereto. or right of easement along and across the same. 5. Standby tees and taxes for the year 1942 and subseouen, years. and subsequent assessments Tor priorysars due to change in land usage or ownership, 6. T ha iolfowing lion(s) and other mate. (s) a ,_t all terms. provisions and c:,nditions of the instrument(s) creatine or ev;- 71 dencirtigs id Bents) and other matter(s) This exception may oe celeted if no lien or otner mater is set forth belowl: A. The East Fi teen Feet (E 15') of the West Twenty Feet (W 20') of the South Three Hundred Feet (S 3031), and the East Twelve Feet (E 121) o the West Twenty Feet (W 201) of the North Three aundred Feet (N 300') dedicated for alley-, includes reversion for non use, as shown by ins-'_rument recorded in Volume 397, Pace 556, Deed Records o, Lubbock County, Texas_ E. The Easy men Feet (E 10') o` the subject nroper�y dedicated for alley, includes reversion for non use, as shown by instrument recorded in Volume 541, Page 557, Deed Records c` Lubbock County, Texas, C. Claims which might arise from the fact that the Wes:. Five Feet (W 5') of the North Fifty Feet (N 50') of the South Three Hundred Feet (S 300') of the subject property has been included in the platting of Lot Two (2), JUDY JANE ADDITION to the City of Lubbock, Lubbock County, Texas, by instrument recorded in Volume 521, Wage 273, Deed Records of Lubbock County, Texas. D. Easements, or claims of easements, not shown by the public records. E, Subject to the rights of parties in possession. /' Page T of Screed. B JMC-41MC 'in[ -=C _=1C •,31C MC AMCAMC4LnC.Amc.ulc ,.Lilc 1710.17 -"r- -JJ1C.1L"Q4 K ;171C,191C laxIATJC AMC' 11CLi�7�:171C-J71C LTIC APR -18-95 TUE 13:23 GGVrT SERVICE AGENCY 2143421896 P.13 EMPLOYEES CURRENTLY EMPLOYED BY UNITED SUPERMARKETS STORE #503 .Jab Title/Position Number of Jobs Full-Time/Part- Time/Seasonal Annual Salary Mana ement 6 Full -Time $31,980 Checkers 9 Full -Time $13?050 Checkers 4 Part -Time $3,500 Meat Market 7 Full -Time $16,000 Stackers 7 Full -Time $5,595 Stockers 1 Part -Time $7,000 Departmental Clerks 4 Full -Time $12,300 Sackers 7 Full -Time $5,950 Sackers 4 Part -Time $3,000 Pharmacist 2 Full -Time $52,000 Pharmacy Staff 2 Full -Time $13,500 Security 6 Part -Time $8,250 TOTAL 59 $764,845 Exhibit "B" APR -18-95 TIE 13:24 GOV'T SERVICE AGENCY 2143421896 P.14 PROPOSED JOBS TO BE CREATED BY UNITED SUPERMARKETS STORE #503 Job Title/Position Number of Jobs Full-Time/Part- Time/Seasonal Annual Salary Management $ Full -Time $27,250 Checkers 18 Full -Time $11,750 Checkers 3 Part -Time $2,750 Meat Market $ Full -Time $21,000 Meat Market i Part -Time $3,000 Stockers 10 Full -Time $14,500 Stockers 1 Part-Tiome $4,200 Departmental Clerks 30 Full -Time $13,$00 Departmental Clerks 5 Part -Time $4,000 Bakers 3 Full -Tithe $15,000 Security 3 Part -Time $5,000 Sackers 7 Full -Time $5,2501 Sackers 4 Part -Time $3,000 Pharmacist 1 Full -Time $52,000 Pharmac Staff 1 Full -Time $12,250 TOTAL 103 $11355,950 EXHIBIT "C"