Council Approves Master Lease Agreement with DART for Transit Center Property

In June 2021, the City Council approved an Interlocal Agreement (ILA) with DART that set forth the terms and conditions for the potential inclusion of the 5.5+- acres of DART-owned land in the Addison Circle area as part of the transit-oriented development around the new Addison light rail station. DART’s property holdings include the existing transit center and the adjacent office building. At its November 14 meeting, the City Council approved a Master Lease Agreement, the terms of which are in accordance with the approved ILA.

Some of the major provisions in the lease include:

• An initial term of 49 years, with two 25-year extension options.
• A Pre-Development Period of up to 60 months for the Town to select a master developer, who in turn must acquire financing and complete the surveying/zoning/planning/platting and permitting process, during which time DART receives no base rent.
• The Town and DART will enter into a set of Covenants, Conditions, and Restrictions that prohibit noxious uses on all properties but promote the development of a high-density, mixed-use transit-oriented development. 
• DART’s ongoing bus and rail operations must be accommodated and continued as part of the development.
• The Town has exclusive authority to solicit proposals from developers, to select the master developer and enter into a sublease for DART’s property and associated development agreements.

You can watch the Council's DART lease discussion here and read the presentation here.