HomeMy WebLinkAboutRES 13-172 RESOLUTION NO.13-172
WHEREAS,the City of Beaumont borrowed$11,000,000 from the U.S. Department
of Housing and Urban Development (HUD) in 1999 as a future loan against future HUD
Community Development Block Grants to be loaned by the City to finance community
development projects including the Hotel Beaumont project to renovate a senior living
facility for low to moderate income seniors; and,
WHEREAS, the loan to the 625 Orleans Limited Partnership to renovate Hotel
Beaumontwas structured bytwo(2)promissory notes of$2,000,000 and$1,175,OOOwhich
both notes were subordinate and junior to a senior loan made to 625 Orleans Limited
Partnership by Chase Bank, predecessor to Capital One Bank; and,
WHEREAS, in October 2011 625 Orleans Limited Partnership, as owner of Hotel
Beaumont, closed its doors owing Capital One Bank a balance of about$820,000 and the
City's loan of $3,175,000 exposed; and,
WHEREAS, with Capital One Bank threatening to foreclose its lien on the property
and extinguish the City's lien, the City took action to protect its interest in the property by
buying Capital One's note and lien for the balance owed of $824,248.95; and,
WHEREAS, in order to sell the property, it was necessary to negotiate a Plan of
Foreclosure agreeable to HUD and the Department of Health and Human Services(DHHS)
which had filed a notice of federal interest against the property to secure a grant it made
to the owners for hurricane related repairs; and,
WHEREAS, a Plan of Foreclosure has been formulated which would allow for the
sale of the property and provides for the allocations of the proceeds to be pledged and
deposited with HUD as substitute collateral to secure the City's loan to HUD. The
recommended Plan of Foreclosure is attached hereto as Exhibit "A;" and,
WHEREAS, the City Council for the City of Beaumont finds that it is in the best
interest of the City of Beaumont to adopt the recommended Plan of Foreclosure, allowing
for the ratification of the prior assignment of the notes and liens to HUD and authorize the
transfer of title to the Hotel Beaumont property to the Beaumont Housing Finance
Corporation for foreclosure;
NOW, THEREFORE, BE IT RESOLVED BY THE
CITY COUNCIL OF THE CITY OF BEAUMONT:
THAT the statements and findings set out in the preamble to this resolution are hereby, in
all things, approved and adopted; and,
THAT the Recommended Plan of Foreclosure of the Hotel Beaumont property be
and it is hereby approved. The Recommended Plan of Foreclosure is attached hereto as
Exhibit "A;" and,
BE IT FURTHER RESOLVED THAT the City Manager is authorized to execute for
filing in the deed records of Jefferson County,Texas a Ratification, Renewal and Extension
of Deed of Trust and Assignment and Transfer of Liens in favor of the United States
Secretary of Housing and Urban Development. The Ratification, Renewal and Extension
of Deed of Trust and Assignment and Transfer of Liens is attached hereto as Exhibit "B;"
and,
BE IT ALSO RESOLVED THAT the City Manager be and he is hereby authorized
to execute for filing in the deed records of Jefferson County, Texas a Special Warranty
Deed conveying title to the property commonly known as the Hotel Beaumont to the
Beaumont Housing Finance Corporation subject to the outstanding notes and liens in favor
of the U.S. Department of Housing and Urban Development. The Special Warranty Deed
is attached hereto as Exhibit "C."
PASSED BY THE CITY COUNCIL of the City of Beaumont this the 13th day of
August, 2013. a9mio �l�,
- ayor Becky Ames -
RECOMMENDED FORECLOSURE PLAN
The proposed plan our firm has recommended to the City, which has been approved by
HUD, is as follows
1. Get the original Note 1, Note 2, the transfer of the Liens from the City to
HUD, and the related documents that were deposited into escrow with
Capital One (as escrow custodian) released from escrow to the City.
2. Record the Transfer of Lien executed by the City in 1999 in favor of HUD that
assigned to HUD the liens securing Note 1 and Note 2.
3. Have the City sign a written ratification that can be filed of record
confirming that Note 1 and Note 2 and the liens securing such notes
were previously assigned to HUD in 1999 to secure the City's loan
to HUD, and that such notes and liens remain in place, are
outstanding and valid and are held by HUD.
4. Have the City convey title to Hotel Beaumont to the Beaumont
Housing Finance Corporation, subject to the outstanding Note 1 and
Note 2 and the Liens securing same that are assigned to and held by
HUD. Thus, the Beaumont Housing Finance Corporation would
become the owner of the property,subject to such debts and Liens, but
it would not assume and would not have any liability to pay such debt and
Liens.
5. Have HUD reassign to the City Note 1 and Note 2 and the Liens securing
such Notes.Once completed,this means that the City will again own and
hold Note 1 and Note 2 and the Liens securing same, and ownership of
the property will be in the Beaumont Housing Finance Corporation.
6. Have the City foreclose the Liens securing Note 1 and Note 2 and conduct
a public foreclosure sale. This should have the effect of extinguishing all
junior liens and encumbrances, including the DHHS' interest.
7. Assuming the City is the successful bidder at the foreclosure sale, the
City will then acquire title to Hotel Beaumont and can proceed with selling
it in the regular course of business.Alternately,Ws.possible a third party may bid
for the property at the foreclosure sale, and the City will have to decide what
is the minimum bid price it would accept for the property.
EXHIBIT "A"
RATIFICATION, RENEWAL AND EXTENSION OF DEED OF
TRUST AND ASSIGNMENT AND TRANSFER OF LIENS
THE STATE OF TEXAS §
§ KNOW ALL MEN BY THESE PRESENTS:
COUNTY OF JEFFERSON §
The City of Beaumont, Texas, a home rule municipality organized and existing under
the laws of the State of Texas (herein referred to as the "City"), hereby executes this
Ratification, Renewal and Extension of Deed of Trust and Assignment and Transfer of
Liens, for the benefit of the United States Secretary of Housing and Urban Development
("HUD"), and hereby acknowledges, confine and agrees as follows:
WHEREAS, the City is indebted to HUD under that certain Contract For Loan Guarantee
Assistance Under Section 108 of the Housing and Community Development Act of 1974, as
amended, 42 U.S.C. §5308, dated February 5, 1999 (the "Section 108 Loan Agreement"), entered
into between the City and HUD, as thereafter amended, and
WHEREAS, the Section 108 Loan Agreement was entered into between the City and HUD
pursuant to which HUD loaned to the City $11,000,000.00 (the "Section 108 Loan"), the
proceeds of which loan were used and re-loaned by the City to other borrowers to finance
multiple community development projects located in the City of Beaumont, Texas, pursuant to
Section 108 of the Housing and Community Development Act of 1974, as amended, 42 U.S.C.
§5308 (the "Act"); and
WHEREAS, one of the projects financed by the City with the Section 108 Loan is commonly
referred to as the "Hotel Beaumont Project", pursuant to which the City made two loans to 625
Orleans Limited Partnership ("625 Orleans LP"), in the total amount of $3,175,000.00, as
evidenced by (i) that certain Promissory Note dated May 19, 1999, executed by 625 Orleans LP
and,payable to the order of the City in the original principal amount of$2,000,000.00 ("Note I")
and (ii) that certain Promissory Note dated May 19, 1999, executed by 625 Orleans LP and
payable to the order of the City in the original principal amount of$1,175,000.00("Note 2"); and
WHEREAS, Note I and Note 2 and the indebtedness and obligations of 625 Orleans LP
thereunder to the City are secured by that certain Second Lien Deed of Trust and Security
Agreement and UCC Finance Statement for Fixture Filing, with Assignment of Rents and Leases
and Assignment of Contracts and Sales Proceeds, dated May 19, 1999, executed by 625 Orleans
LP to Lance Fox, Trustee, for the benefit of the City and its assigns, recorded under County
Clerk's File Number 1999019654, Official Public Records of Jefferson County, Texas (the
"Deed of Trust"), wherein a deed of trust lien is granted on the property described therein
commonly known as "Hotel Beaumont", more particularly described in Exhibit "A" attached
YN30NDIBEAU MONT SECTION 108 FINANCING 1999VIOTEL BEAUMONT)2013 FORECLOSURE&TRANSFERS%DOCtJMENTSIRATIFICATION RENEWAL EXTENSION
OF TRANSFER OF LIENSWC
EXHIBIT "B"
hereto and incorporated herein by reference (herein referred to as the "Hotel Beaumont
Property"); and
WHEREAS, pursuant to the terms of the Section 108 Loan Agreement between the City and
[IUD and to secure the City's Section 108 Loan to HUD, the City made a collateral transfer and
assignment of Note I and Note 2 to HUD and assigned and transferred the liens and interest
granted to it under the Deed of Trust to HUD pursuant to a Transfer of Lien dated October 8,
1999, executed by the City in favor of HUD (the "Transfer of Lien"); and
WHEREAS, pursuant to the Section 108 Loan Agreement, the Transfer of Lien was delivered to
a custodian to hold in custody for the benefit of HUD, and such Transfer of Lien was just
recently filed of record and is recorded under County Clerk's File Number 2013021884 of the
Official Public Records of Jefferson County,Texas; and
WHEREAS, 625 Orleans LP defaulted in its obligations to the City under Note I and Note 2 and
under the Deed of Trust and it vacated the Hotel Beaumont Property, and in connection
therewith, the City acquired title to the Hotel Beaumont Property from 625 Orleans LP by that
certain Special Warranty Deed dated March 1, 2012, recorded under County Clerk's File Number
2012006727 of the Official Public Records of Jefferson County, Texas; and
WHEREAS, by this instrument, the City desires to acknowledge, ratify and confirm that its
acquisition of title to the Hotel Beaumont Property was and is subject to the outstanding liens and
encumbrances under the Deed of Trust that secure Note I and Note 2 and that were collaterally
transferred and assigned by the City to HUD as described hereinabove, which assignment and
transfer rernain outstanding as security for the City's indebtedness and obligations to HUD under
the Section 108 Loan Agreement;
NOW, THEREFORE, in consideration of the premises and other good and valuable
consideration, the receipt and sufficiency of which is hereby acknowledged, the City hereby
acknowledges, ratifies, confirms and agrees as follows:
(i) Note I and Note 2 are outstanding and unpaid and are still due and owing by 625
Orleans LP,
(ii) the Deed of Trust securing Note I and Note 2 is outstanding and in full force and
effect,
(Ili) Note I and Note 2 and the Deed of rust and liens thereunder securing payment of
Note I and Note 2 were assigned and transferred by the City to HUD on October
8, 1999 (the "1999 Assignment"),
(1v) By virtue of the 1999 Assignment, HUD is the legal owner and holder of Note I
and Note 2 and the liens under the Deed of Trust,
Y.16ONM8F-AVMONT SECTION 108 FINANCING 1999kHOTEL BEAUMONIQ013 FORECLOSURE&TRANSFERStDOCUMENTS\RATIFICA7'ION RENEWAL EXTENSION
OF TRANSFER OF LIENSDOC 2
(v) The City's acquisition of the Hotel Beaumont Property was and is subject to the
Deed of Trust and the liens granted thereunder to secure payment of Note I and
Note 2, and
(vi) As the current owner of the Hotel Beaumont Property, the City hereby ratifies,
confirms, renews and extends the liens granted under the Deed of Trust and the
Deed of Trust is and shall remain in full force and effect.
EXECUTED on this day of 2013.
THE CITY OF BEAUMONT, TEXAS
By:
Kyle Hayes, City Manager
STATE OF TEXAS §
COUNTY OF JEFFERSON §
This instrument was acknowledged before me on
2013, by Kyle Hayes, City Manager of The City of Beaumont, Texas, on behalf of said City.
Notary Public in and for
the State of Texas
AFTER RECORDING RETURN 1-0:
Lance Fox
P0 Box 5607
Beaumont,TX 77726
Y�OONMSEAUMONT SECTION 108 FINANCING 19991HOTEL13EAUMONn2Ol3FORECLOSURE&TRAN,;FERSIDOCUMENTS%RAT[FICATION RENEWAL EXTENSION
OF TRANSFER OF LIENSDOC 3
EXHIBIT"A"
Property Description
[See Attached]
F--,( tlrf+"All
BEING a 25,700 square feet trail of laud out of Block 40 of the Original Town of Beaumont in
the Noah Tevis Survey, Abstract 52, Beaumont, Jefferson County, Texas, said tract being all of
Lot 201 and 202 and part of Lots 198, 199, 200 and 206 of said Bock 40, and being all of the
property conveyed to F{arvey 8. Miller by Deed dated May 17, 1981, and recorded in Vol. 2317
page 400 of the Deed Records of Jefferson County, Texas.
BEGINNING at the most Westerly or Northwest corner of Lot 201 of Block 40, of the Original
Town of Beaumont, said corner being located at the point of intersection of the Northeasterly
right of way line of Orleans Street and the Southeasterly right of way litre of Fannin Street;
THENCE North 490 26' East (reference bearing) along the Southeasterly right of way line of
Fannin Street and along the Northwesterly line of Lots 201 and 202 of Block 40, a distance of
120 0 feet to the Northeast or most Northerly corner of Lot 202, and the most westerly corner of
Lot 203 and being the most westerly or northwest corner of that certain tract conveyed to
Jefferson Theatre Preservation Society by Deed dated November 11. 1976 and recorded in Vol.
2036 page 442 of the Deed Records of Jefferson County, Texas. i
THENCE South 40° 34' East along the common line of Lots 202 and 203 and along the
Southwesterly line of the said Jefferson Theatre Tract, a distance of 160.0 feet to the most
Southerly or Southwest corner of said Jefferson Theatre Tract locate in Lot 206;
THENCE North 49° 26, Fast along the Southeasterly line of the Jefferson Theatre Tract, a
distance of 30.00 feet to a point for corner located in the dividing line between Lots 206 and
207= i
THENCE South 40° 34' East along the common line between Lots 206 and 207, a distance of
50.00 feet to a point for corner located in Lot 198;
THENCE South 49° 26' West along the Northwesterly line of a tract conveyed to Rogers
Brothers by Deed dated April 13, 1964 and recorded in Vol. 1384 page 173 of the Deed Records ,
of Jefferson County, Texas, said liner being parallel to and 94.00 feet Northwesterly of the f
Northwesterly right of way Brie of Forsythe Street, a distance of 150.0 feet to the most Westerly
or Northwest corner of said Rogers Brothers tract, said corner being located in the Northeasterly
right of way litre of Orleans Street and being 94.00 feet from the Southwest corner of Lot 200;
THENCE North 40° 34' West along the Northeasterly right of way line of Orleans Street and
along the Southwesterly line of Lots 200, 206 and 201 of Block 40, a distance of 210 0 feet to
the PLACE OF BEGINNING and containing in area 26,700 square feet of land, more or less.
NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU ARE A NATURAL PERSON, YOU
MAY REMOVE OR STRIKE ANY OF THE FOLLOWING INFORMATION FROM THIS
INSTRUMENT BEFORE IT IS FILED FOR RECORD IN THE PUBLIC RECORDS:
YOUR SOCIAL SECURITY NUMBER OR YOUR DRIVER'S LICENSE NUMBER.
SPECIAL WARRANTY DEED
(SUBJECT TO LIENS AND INDEBTEDNESS AND
RESTRICTIVECOVENANT)
THE STATE OF TEXAS §
§ KNOW ALL MEN BY THESE PRESENTS:
COUNTY OF JEFFERSON §
That The City of Beaumont, Texas, a home rule city and municipality organized and
existing under the laws of the State of Texas, in consideration of the sum of TEN DOLLARS
AND NO/100 DOLLARS ($10.00) and other good and valuable consideration to Grantor in hand
paid by Grantee hereinafter named, the receipt of which is hereby acknowledged, has
GRANTED, SOLD and CONVEYED, and by these presents does GRANT, SELL and CONVEY
unto the Beaumont Housing Finance Corporation, a non-profit housing finance corporation
organized and existing under and pursuant to the Texas Housing Finance Corporations Act,
Chapter 394, Texas Local Government Code, as amended, herein referred to as "Grantee", whose
mailing address is 801 Main Street, Beaumont, TX 77701, all of that certain property situated in
Jefferson County, Texas, more particularly described as follows, to-wit:
BEING a 26,700 square foot tract of land out of Block 40 of the Original rown of
Beaumont in the Noah Tevis Survey, Abstract 52, Beaumont, Jefferson County,
Texas, said tract being all of Lot 201 and 201 and part of Lots 198, 199, 200 and
206 of said Block 40,of the Original Town of Beaumont, Jefferson County, Texas,
as more particularly described in Exhibit "A" attached hereto and incorporated
herein by reference; together with (i) any and all improvements located thereon;
(ii) all appurtenances belonging or appertaining thereto; (iii) all easements or
rights of way affecting said real property and any of Grantor's rights to use same
(iv) all rights of ingress and egress to and from said real property; (v) any right,
title and interest of Grantor in and to any and all roads, streets and ways affecting
EXHIBIT "C"
or bounding said real property; (vi) any right, title and interest Of Grantor in and to
any and all strips or pieces of property abutting, bounding or which are adjacent to
said real property; (vii) any right, title to the present or future use any utility
facilities to the extent same pertain to or benefit said real property, including,
without limitation,all reservations of or commitments or letters covering any such
use in the future; and (viii) any and all fixtures, equipment- and other personal
property (tangible or intangible) owned by Grantor and located on or about or
used in connection with said real property; (hereinafter referred to as the
"Property").
This conveyance is made and accepted expressly subject to the following:
(a) all prior reservations, conveyances, agreements, leases and/or other agreements, if
any, related to the hereinabove described property as shown In the records of the
County Clerk of Jefferson County, Texas;
(b) any and all validly existing easements, encumbrances, liens, conditions and
restrictions, if any, relating to the hereinabove described property as now reflected
by the records of the County Clerk of Jefferson County, Texas; and specifically,
this conveyance is made subject to the liens and encumbrances that exist on the
Property granted under that certain Second Lien Deed of Trust and Security
Agreement and UCC Finance Statement for Fixture Filing, with Assignment of
Rents and Leases and Assignment of Contracts and Sales Proceeds, dated May 19,
1999, by 625 Orleans Limited Partnership to Lance Fox, Trustee, for the benefit of
The City of Beaumont, Texas and its assigns, recorded under County Clerk's File
Number 1999019654, Official Public Records of Jefferson County, Texas (the
"Deed of Trust"), said Deed of Trust having been granted and recorded to secure
the following indebtedness and obligations: (i) all indebtedness and obligations of
625 Orleans Limited Partnership under that certain Loan Agreement dated May
19, 1999, between 625 Orleans Limited Partnership, as borrower, and The City of
Page 2 of 8
Beaumont, Texas, as lender (the "Loan Agreement"); (ii) the indebtedness under
that certain Promissory Note dated May 19, 1999, executed by 625 Orleans
Limited Partnership and payable to the order of The City of Beaumont,. Texas, in
the original principal amount of $2,000,000,00 ("Note I") and (Iii) the
indebtedness under that certain Promissory Note dated May 19, 1999, executed by
625 Orleans Limited Partnership and payable to the order of The City of
Beaumont, Texas, in the original principal amount of$1,175,000.00 ("Note 2") ;
and said Deed of Trust and the liens thereunder having been ratified, renewed and
extended by that certain Ratification, Renewal and Extension of Deed of Trust
and Assignment and Transfer of Liens dated 2013, executed by
Grantor and recorded under County Clerk's File Number
of the Official Public Records of Jefferson County, Texas (the "Ratification and
Renewal Agreement");
(c) ad valorem taxes for the year 2013 and subsequent years, together with any
subsequent assessments for prior years due to changes in land usage and/or
ownership;
(d) all existing statutes, zoning laws, ordinances, rules and/or regulations of
municipal, county, state, federal and other governmental entities, to the extent
same affect the hereinabove described property; and
PROVIDED, HOWEVER, this conveyance and the Property and all improvements now
or hereafter erected or affixed thereon shall be and are hereby made subject to the
restrictive covenant, condition and limitation that the Property and all improvements and
fixtures now or hereafter erected or affixed thereon shall be used for the purpose of
providing housing for low-income or moderate-income residents (the "Restrictive
Page 3 of 8
Covenant"). This Restrictive Covenant shall constitute a covenant running with the
Property; provided, however, this Restrictive Covenant is subordinate to the indebtedness
and liens under the Loan Agreement, Note 1, Note 2 and Deed of Trust described above
and this Restrictive Covenant shall automatically be extinguished and terminate in the
event there is ever a trustee's foreclosure sale of the Property that takes place pursuant to
the enforcement and foreclosure of the liens granted under the Deed of Trust described
above or under any other senior or prior lien that exists on the Property that is recorded of
record prior to the date of this Deed.
BY THE ACCEPTANCE OF THIS DEED, GRANTEE TAKES THE
PROPERTY "AS IS", "WHERE IS", WITHOUT WARRANTIES, EXPRESS OR
IMPLIED, OF ANY NATURE, EXCEPT FOR WARRANTIES OF TITLE AS
PROVIDED AND LIMITED HEREIN, GRANTOR HAS NOT MADE AND DOES
NOT MAKE ANY REPRESENTATIONS OR WARRANTIES AS TO THE
PHYSICIAL CONDITIONS, LAYOUT, FOOTAGE, EXPENSES, ZONING,
OPERATION, ENVIRONMENTAL CONDITION OR ANY OTHER MATTER
AFFECTING OR RELATING TO THE PROPERTY, AND GRANTEE HERBY
EXPRESSLY ACKNOWLEDGES THAT NO SUCH REPRESENTATIONS OR
WARRANTIES HAVE BEEN MADE. GRANTOR MAKES NO WARRANTIES,
EXPRESS OR IMPLIED, OF MERCHANTABILTIY, MARKETABILITY, FITNESS,
HABITABILITY OR SUITABILITY FOR A PARTICULAR PURPOSE OR
O'T'HERWISE, EXCEPT AS TO THE WARRANTY OF TITLE AS SET FORTH AND
LIMITED HEREIN. ANY IMPLIED WARRANTIES ARE EXPRESSLY
DISCLAIMED AND EXCLUDED. .
TO HAVE AND TO HOLD the Property, together with all and singular the rights,
Page 4of8
hereditalnents and appurtenances thereto in anywise belonging, unto said Grantee, its successors
and assigns forever and Grantor does hereby bind Grantor and Grantor's executors, successors
and assigns to WARRANT AND FOREVER DEFEND all and singular the title to the Property
unto said Grantee, and Grantee's 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, and subject to the exceptions to conveyance and warranty stated above.
By acceptance of this Deed, Grantee acknowledges that Grantor has disclosed to Grantee
that the indebtedness and obligations under the Loan Agreement, Note 1 and Note 2 described
above were assigned and transferred by The City of Beaumont, Texas to the United States
Secretary of Housing and Urban Development ("]IUD") as collateral to secure the loan,
indebtedness and obligations of The City of Beaumont, Texas to HUD under that certain
Contract For Loan Guarantee Assistance Under Section 108 of the Housing and Community
Development Act of 1974, as amended, 42 U.S.C. §5308, dated February 5, 1999 (the "Section
108 Loan Agreement"), entered into between The City of Beaumont, Texas and IIUD, as
thereafter amended, and the Section 108 Loan Agreement and the indebtedness and obligations
of The City of Beaumont, Texas to HUD thereunder remain outstanding and in effect.
Page 5 of 8
IN WITNESS WHEREOF, this Special Warranty Deed is executed by Grantor and
acknowledged and accepted by Grantee this ____ day of
2013.
The City of Beaumont, Texas
By:
Kyle Hayes, City Manager
Grantee hereby accepts this Deed and consents to its form and substance.
Beaumont Housing Finance Corporation
By:
Becky Ames,President
THE STATE OF TEXAS §
COUNTY OF JEFFERSON §
This instrument was acknowledged before on this day of
2013, by Kyle Hayes, City Manager of The City of Beaumont,
Texas,on behalf of said city,
Notary Public, State of Texas
Page 6 of 8
THE STATE OF TEXAS §
COUNTY OF JEFFERSON §
This instrument was acknowledged before on this day of
2013, by Becky Ames, President of Beaumont Housing Finance
Corporation, on beWa-if of said entity.
Notary Public, State of Texas
AFTER RECORDING RETURN TO:
Lance Fox
PO Box 5607
Beaumont,TX 77726
Page 7 of 8
EXHIBIT "A"
See attached legal description.
Page 8 of 8
L'iJ=1T"A"
i
BEING a 26,700 square feet tract of land out of Block 40 of the Original Town of Beaumont in
the Noah Tevis Survey, Abstract 52, Beaumont, Jefferson County, Texas, said tract being all of
Lot 201 and 202 and part of Lots 198, 199, 200 and 206 of said Bock 40, and being all of the
property conveyed to Harvey E. Millet by Deed dated May 17, 1981, and recorded in Vol. 2317
page 400 of the Deed Records of Jefferson County, Texas.
BEGINNINO at the most Westerly or Northwest comer of Lot 201 of Bloch 40, of the Original
Town of Beaumont, said comer being located at the point of intersection of the Northeasterly
right of way llne of Orleans Street and the Southeasterly right of way Iine of Fannin Street;
THENCE North 490 26' East (reference bearing) along the Southeasterly right of way line of
Fannin Street and along the Northwesterly line of Lots 201 and 202 of Block 40, a distance of
120 0 feet to the Northeast or most Northerly corner of Lot 202, and the most westerly comer of
Lot 203 and being the most westerly or northwest comer of that certain tract conveyed to
Jefferson Theatre Preservation Society by Deed dated November 11, 1976 and recorded in Vol.
2036 page 442 of the Deed Records of Jefferson County, Texas.
THENCE South 40° 343 East along the common line of Lots 202 and 203 and along the
Southwesterly line of the said Jefferson Theatre Tract, a distance of 160.0 feet to the most
Southerly or Southwest corner of said Jefferson Theatre Tract located in Lot 206;
THENCE North 491 26' East along the Southeasterly line of the Jefferson Theatre Tract, a
distance of 30.00 feet to a point for corner located in the dividing line between Lots 206 and
207, !
THENCE South 40° 34' East along the common line between Lots 206 and 207, a distance of f
50.00 feet to a point for corner located in Lot 198;
THENCE South 49° 26' West along the Northwesterly line of a tract conveyed to Rogers
Brothers by Deed dated April 13, 1964 and recorded In Vol. 1384 page 175 of the Decd Records
of Jefferson County, Texas, said line being parallel to and 90.00 feet Northwesterly of the
Northwesterly right of way rule of.Forsythe Street, a distance of 150.0 feet to the most Westerly
or Northwest corner of said Rogers Brothers tract, said corner being located in the Northeasterly
right of way line of Orleans Street and being 94.04 feet from the Southwest comer of Lot 200;
THENCE North 40° 34' West along the Northeasterly right of way line of Orleans Street and
along the Southwesterly line of Lots 200, 206 and 201 of Block 40, a distance of 210 0 feet to
the PLACE OF BEGINNMG and containing to area 26,700 square feet of land, more or less,