The Dickinson Management District on Monday directed the district’s legal counsel to negotiate an incentive agreement for Stella’s Fresh Brunch, a restaurant proposing to open at Dickinson Plaza. The board’s action was limited to authorizing negotiations; final approval will require a detailed agreement returned to the board.

Vijay Mishra, representing Dickinson Plaza LLC, asked the board for a $130,000 forgivable loan to renovate the former Little Mexico space and support Stella’s opening. “Stella’s Fresh Brunch is well regarded for its warm hospitality, fresh ingredients, and innovative brunch menu,” Mishra said during his presentation, adding the owners would guarantee the loan alongside Dickinson Plaza LLC.

Sherry Rabenal, one of Stella’s owners, told the board her Pearland location draws customers from surrounding cities and that the Dickinson location — at roughly twice the size — could perform as well or better. “I’m more than confident that this location will bring those people and many, many more people,” she said.

Mishra’s presentation included financial projections the applicant described as conservative: $1,635,000 in taxable sales for the Dickinson location, producing roughly $32,700 in annual city sales-tax revenue at a 2% local rate, and a projected 35 full-time equivalent jobs at the new location. The applicant said the total initial project budget was about $180,000, with the owners contributing approximately $50,000 and requesting $130,000 from the district; any costs beyond that would be covered by Dickinson Plaza LLC.

Board members questioned the form of the award (forgivable loan versus grant), the benchmarks that would trigger forgiveness, how the district would secure repayment if milestones were not met, and whether the district has available budget authority. Legal counsel said the district historically has used forgivable loans tied to performance milestones and recommended a detailed agreement with objective, auditable milestones and clawback provisions.

One board member asked whether the applicant had sought Economic Development Corporation funding instead. Mishra replied no. Board members also pressed for clarity on how the district would verify jobs and sales claims and requested language that reduces the need for litigation to enforce clawbacks.

After discussion, the board voted to direct the district’s counsel to negotiate a proposed forgivable-loan agreement in the amount of $130,000 and return a draft to the board for final approval. The motion passed in a recorded voice vote that included at least one recorded nay during the meeting’s deliberations; the final draft and any budget amendments will be considered at a later meeting.

Next steps: legal counsel will work with staff and the applicant to draft the agreement outlining term length, objective milestones, audit and reporting expectations, security (such as a lien on property), and clawback language. The board indicated the draft will be circulated to members in advance of the next meeting for review.