During an Aug. 21 special meeting, Magnolia City Council approved a Chapter 380 agreement that will bring Texas Roadhouse, a national steakhouse chain, to Magnolia.

The Chapter 380 agreement stipulates BCS Magnolia, a Houston-based developer, must build an 8,000-square-foot Texas Roadhouse on a 22.67-acre tract of mixed-use land at the intersection of FM 1488 and Spur 149, according to the Aug. 21 agenda packet.

The details

The city will pay up to $2.3 million in economic incentives to BCS Magnolia beginning in 2026 if a building permit has been issued for the Texas Roadhouse or 8,000 square feet of the development’s retail component has been completed, according to the agreement.

The economic incentive payments will be comprised of a combination of property tax and sales tax revenue collected by the city and generated by the development.

• In years one through six, the city of Magnolia will receive 75% of property and sales tax from the development. BCS Magnolia will receive 25%.
• In years seven through 15, the city of Magnolia will receive 25% of property and sales tax from the development. BCS Magnolia will receive 75%.

Payments from the city will end once $2.3 million has been paid to BCS Magnolia or until 2040, whichever is first.

Also of note

Other retailers, restaurants and commercial-use projects will be developed on the 22.67-acre tract of land, according to the agenda packet. BCS Magnolia has plans for The Learning Experience and Discount Tire to be tenants at the development.

View the Chapter 380 agreement below.