The company that owns the original Magni-Fab building on Howe's northern edge is preparing a plan for an industrial and commercial development there, and the City Council will decide Tuesday whether to sign the first agreement for it.
APEX SCM Corp owns about 22 acres west of U.S. 75 that include the old building, City Administrator Monte Walker wrote in a memo to the council. The item on the Nov. 17 agenda is a pre-development and professional services agreement, a deal Walker said has become a customary first step for developers who want to open discussions with the city's attorney and engineer.
Staff recommends approval.
Who pays for the early work
Under the agreement in the meeting packet, the owner would pay for outside professionals the city brings in to study the project, starting with up to $25,000. That covers engineering and planning work from WSB, legal work from the Sherman firm Wolfe, Tidwell & McCoy, and financial advisers to be named later.
The company would put the money in escrow with the city on request, review itemized invoices and get back anything left unspent when the work ends.
If charges reach $20,000, the two sides can agree in writing to raise the cap or either side can walk away. The agreement runs two years and then renews yearly unless ended, and either party can terminate it with written notice.
The document also states that signing it guarantees nothing: not a future development agreement, not a funding district and not the development itself.
