HomeMy WebLinkAboutEC17-206 - Other - Marquee on Meeker - Phase I - Section 04: Lease with Option to Purchase Lots 3, 4 & 5 - 03/29/2018Section 4
LI|ASn (rvith ()ptiorr {n l}urchasc}
by :rntl bctrvcen
(iit.y of l(culo a"r l,andlol'tl
and
l\'Iarquec or: l\ilcckel l,L(i,ls
Tcn:rnl
2S4l t(|tb tt3l2";i18
!rur(l:1 lAl,\lti!'crllfrliJ Jtiill Y*rlrtrf',i)li;l,c i ()tr::rrrr l.)*e:
lcrse irvilh i4rtiotr k:1:r:rch:rsc) v3
TABI,E OT CONTtrNTS
I ncor po<ion_ nf' &ecitai.q : Dcfi1ltrqUf
l,eased Premises
li$r
Rcnt.......
'l'axes and l,:tilitics
Usq al l.Eased Prcmisesl Perl'nittcd ljse
& Lisc oflgssqdPr-er1lge_st lprntil.tqd Utlt ,......,
i,telg.
Dcyglepnre:lt A greemenr
l1r.s-U"14gc-q_g;1d I nd err n iJi cal i r: n . .., ......,. . -.
eerdc$;a-1!al1_pl_lbp_P&ge.r1y
Assisnment: Sublefilng
A.lstgumqilrqndqxbe-L-l$n{b$!l-udi:e-1qry.Lqfl,lra.ri.q..
"l'$arlsrl' slll1sq$lr lleIsls[gl
Dctin i ti o-:r. of'_ I'rans fcr
I itle to l.eased Prenrises
"lle:rcrs$a1j!ru
Citv &:p:eser:talions
9eyslslrerileprs$wlal-ielri
14.
C-onditigrs Preqecleqt 1s-Q,e-yel9!erjs Iilpr:qise q! Qp.iiq-rl-tp-lglgh.us lbq -l=pas_e,j
'AS-lS" Sale .............
liremiscs.....
flomplianqc bv DcveloDer
C o rrectn e ls.. Q f. gplp rgtqlAn-s
lYs lledsrlp:sy
Crlrectness of llep.reserlalions .
egndillorl _s f ,fr;Qpq-r t)
lillc le-liriy
Page
4.
lt,
ir,
t\.
tl
L
?.
L
4.
5,
6.
a
e
2.
lJL
JL
12.
1
.6
1
I
I
0
0
I
2
2
6
6
{r
7
I
.19
.?0
11
{Jptiorr to f urcllasc Leaserj Prenrises17.
11LL
)1
22
22
23
A.
B.
e.
ir.
f.
D,
24
24
24
24
Qptiqr --tq-Purebare
!,r-ers-us-qfgpliqrr
Payn:ent 0jl0]:-tj_or: Pri cg ...
-lS. flq-gng-id-lqshac"e qf !c$ed_!]r:qunps..
!l ip.l,ilrg Jluccdurcr . . .
Delivcrv by..eitv
Deli E{y- .b:, lf_gy_ei etsr
li!:rq--fl"qsi sg_fa$lr . .
Developer's Closinq {losls
llq"cq: dslrsp sd-Uehrlc:r d_2glussi$
Nolifi catiur: CJosi*q Slatements
t2. P-clbul
l8J l ',0ll(, 0312?/1 8
hrad\l lAl-\Biverbcnd .lrint \tenrurri,Phu:c I Clnsilrr: llnc:
&
B.
C:,
...24
&
8,
C.
D,
E.
r'.
o
I'1.
I.
&l}I'alsll
Pg$g,tupr
..2s
..26
,24
.25
.25
.25
.26
.25
.26
.27
lcasc lwith option ro prrrcbnsc) r,."i
A.
L
f,
t).
f,,
?n
2L
22.
A.
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.A
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At
C.
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i-I.
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atl
a,
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s.t
1_l.
Iler:clell.qt-l)sfaul!
Rernsdies Dcvcl Ilvcnt ol'Default...
$1y-Aq&ril1;B-eirsdi es
lff arvsl nf e.g;1;9{tggn!isl,iludllta}Uyt:"_1")_qnrpgq,t ......
Ri shls a4il_lkguxliatcullulalivs ., .. ... .....
I i n-<qdr,"r"E$bsiat$q.s
lllttq qf thq fs.sqLqt..,....
Crl$ Rraht tp Etrler lbgl.qa$qd-l}qqisct...
Cqrditjrit..,
Nqlisqs
Notices.".
)
Surrender...,
Misce llatrgo,-r.r!
F,nlrrs AgrAgpprrl ..,.,..,......
Np-l-:W-aag
Consh'uqtien
$s-ve&bdru,.. ,.
Nc!ua13l'&a$hip
Natqrq q{ B,qlations,[lp
\io Brokers
Survival
Rscording ot' Memorandum .,..,.".
(]tt:e!rgl1s-$- Ruu-vilh.,{p* I'and .,., -..,..,
Noldieer:imila$ss,.......
No Third Party llighls
Non-Waiver of Govetnmentsl Rillhts.
l:rirthel':Aglutgltg
Adtgl:lr
Conflicrs, o{hle,rq$$
N-q!:iidb{:iy- -ol cit:,.:0d1're$ls br}"pLq}.gra.ardlseuif
Applicable Law,,..,.....,,
co:!llgmalu
Alsr&yr-fees-
iixtitntTs
ll.xlribit A - Lcgal l)cscripliol al'l-and
llxhibit B - Apprr:vcd Phasing l'1sn
Exhjbil C - I-egal Descriptio:r of l,ease Premiscs
Exiribit D - Map of Property
Exltibit E' Legal Descriptiot of llhase I Propcrty
U.xhibit F - Bargair: and Sale Dci:rd
2841108687n711$ " ri.
irctdll{Al,\ttivcrfrcnd loirrt \rdntrfctl'h{ig I (-'lorine i)ous
.32
.32
.55
"33
.33
.33
waty!&_J}lrlrr{Y_l.tilal_
34
34
Jr+
.1+
34
34
.-r{
.35
.35
.35
lensc lwith itption tn purehlsc.) rl
)
)
li,xhibit {i - List oi'l'ernrittcd l-xceptir:ns
lixhibit ll - Pro l]onn;l litle Policv
784],fi860327t18 . i'i
trcad\lIAI-liliverl)end JrliDt \icnturcil,llise i {lkrsint l)ucs
lcase {rvith option tD p$rchrsc) v3
LIASII
(rvith oplion to pnrchasc)
'J'his L!.ASU (WITII Opl'l()M'0 PtJl{CiJASl:l} f"l.case") is nradc lntl r.:nlcrrrd irrtl as
ol"Aplil g4Z*t8 {thc "liff,:etive Dale") by *ld irclrvr:c:n rhc Cl'l'Y Ol: l(IiNl', a Washingron
ttttit'ticipal cot'puruliori. ltereinalier callt;d "flitv". nrd N,lAl{QllE}r ON h4lrl",KilR 1,T,C, a
ltrtashiugterr: linitccl liahility co,lrpeny, ircrcinaficr {rallcd "I)eve}npcr". with rcl'erencc rr,r tl:c
lirllor,ving faets:
ITECITAI,S
A'. City has plarrned a revitalizaliou of i{s cllrwnkrrlin ar€a 10 crcale a high quaiitv
eon:prelicnsive ittteg'atcd rcuil, eunrrrrcrcial. and resicienlial anchol' lbr rliiwnlnrvn" lilovicic
adilitionnl irunsirg dr:rvntorvr) in close proxirnity 1o lhe Kerl cornnruler rail and bus tlalrsil ccitle r.
inciease pedes{r'iart ar:livily clownlown anrl thercby direclly aud iiidirectly inrprcvc puhlie snfct-1,..
itt tltc dcn.nlorm relail corc. irnprovc" tlrc cconolnic vitality of'Clity, cxpand and rlivelsitj,Cily's
tax hasc. incrcasc tax I'cvenues, cr('ate .iobs and ilrereby enhance olher Cily invcstnrcnts aud
assels. and acliicve n:ultiple City rbf ecrives,
B. (iily ir tlte oraucr' o1'cerlain real prnpcrty locateel eensrallv at 2{130 W. it{ecker
St., Kcnt, WA 98032 atrd nrore partieularly elescribed on llxhihil A allschod helelo and by this
refereitce incorporaterl lrcrein {1he "Land"). I'he Land is the sile of Cil1,'s existing Itivcrbcnd par
3 gall'course and within rhe City's planr:ed revitnlization area described in Reeital A abovc. I he
l,and is approximalel.l, -j0 acrcs in sizc. consisting of a 6-acrc {approxintatcly} gall'driving range
area that City shall rctair and a ?4-ac.re (apprnxirnately) J'ar 3 gr:lf course area thal (lity hus
agrced to sell and convcY to Dcvcloper {irerein lhe "Properly") pursuanl ta that cel1ain Rcal
fsiarc Purchase arrcJ Sale Agrcenrenl rvith Lcascl0plion to Pmdrase n'ladc :rg r:f li4ay 5.201? by
tnd betwccn City and Dcvcloper. as atnencled by Amendn'Isn1 1r: Renl Ilslnle Purcliasc;urd Snlo
Agt'ccnrcnt rvith Leasel0ption to Purchase dated as o1'Septc'mbe r 20.2t|17 {as anrerrdcd. thc
" l)u rch$se A grceurenl "),
C:. Prrsuanl to thal certain l)cvclopmctrl Agreentcnt approvcd b1' lhc itcnt {,Jity
t,lor.rncil on Augltsl 15, 2017 with an elfective date ol'Augusi ?3. 2t)l? frhe "Devr:lopmcnt
Aglcenenl".), Cily and l)evcloper have also agreed ort thc tenrrs and sonditions trlDevelopcr's
eonlcmplalcd desigrr ;rnd developmcnt {,f'1he Plolrerty including nccessary major 1:uh;lic and
pfivate improvetnertts ancl infi'astrncture. mitigation. dc,dicittions and uther 1erms. conclitions iind
sl;rndarris assccialed theretvith {the "Prnicel"),
l). The Project is a mixed-usrr lctaillnrulti-fan:ily rcsirlcntial eonrruunitv consisting
ttl'apprt:ximalely 492 rcsiilential apartnrcnl unils loecther u'ith cert*in acr)csliory uscs" ltrlaliug
apprr:ximalc1y 12,000 squarc l'ect of comn:erciallrclail as more lully rlesclibed in thc
Dcve lcpntcnl Agreement. T'he residential units rvill be containcd in two podiurn style huildings
and multiple lhrce story urban style walk-up bnikiings, 'I"he podium buildings are iinticipatcd 1*
bave lbur levels of nood li'arnc rcsidential construcrion ovcr colrorllie podium decks conlaining
a;:proxinalcll'6.f!00 Sl; cf rcstaurar:rtlrciail space ircluding arljacent exleritx'li{cstyle palios arrd
approxin:atcl"v 240 stalls ol'parldng. 'l'he Pro.jerci will also contain surhec parking, prcsentiy
.rnlicipiiled lar nn adtiitional 510 stalls for fl total nf ?5iJ slalls.
:*,11i{t,\6 i}3.2i119
trcadtllAl.illircrheld.irrirrr Vcr:ture\l'ha:ir: I f'lorinr: D{}cs
lc*.,;r fivith iltlli(xl i! purrlruse) v3
tt iJcvc.lopct' llrc$cnlly intends tcl corlstrucl dlc l)roicct in lrvo (2) phascs (cach a
"Phass" lierein). rvillt eacit Fhasc comprising apprnxir-nalely one-half nl' thc land irca ol" {.hc
Irropctty and wjth roughly lralf o{'tl:e rcsiderttial. oornr:roreiallretail atrtl tpce.c$r}r'y parhirig in
*ach Plrase. 'l'irc agrecd-upon phasing 1:lari lor the Pro.icct is attachcrl lrere:ln as llxhibil-$.
l)cvelopel, al l)eveJoper's elccdiur!, nray elecl lo conslrucl the enlire Fnrject in a single Plrase;
prolidod. hcwevcr. tJral rrotrvirhslarrrling anylhing 1o thc contrary set Jix'th hetein, if rhe
Dcvelo;:er elec.ls to dn'clop the l'roiect in trvo llhases. thc lirst Phasc cr:nslructirx sliall in an1'
L-l'cltl ilte.lrtdc ctitrslruf.lion of on-sile and oli'-sile public a:,rrl pt'iva1e n:ainline inlraslrur:lure.
includitig waler. stonn u,atcr. sarlilaty sewer utilities and trafficlpedc'strian lnprovemeuls for the
cttlirc: Pro.iect anel "\4eet Mc on A4cr:kcr" inrprovcmen{s lrrr the. eltlirc Pro.iccl {i,e ,- bol}r Phnres).
F. I:t crdrr to far:ilitate l)cveloller's trrhased devclopnrent of tlrc l)r'ojeel, Cit1, aurl
l)*vciopcr have agrced pursuanl to rhc Purchfise Agroemenl that Citv shall sell and convrry
approxintately onc-hall' of tlie Propcrty lo f)evelcrper {hcrcin llrr: "l}husc I l,roperly") and
eonlllln'erl therr:wilh Citl'and l)cv$Lrper shall cntcr inlo a lease with of thc remaining onc-lralf
of lire Prr:pcrfy {deirncd lrcrcin as lhe "Phasc ? Propcrty" or thc "I-cased Premiscs") as legally
described nn altached E*.ibit C. Itru'suanl lo the l,ease, Developer rvill have accur,;s to llre l,eased
llret:rises lbl putpose.s of mal<ing cct'tain sile ;utl inli'aslruclul'e imprrvcnlcnl.ti 1() thc l.cased
Prcmises as agrced to in the i)evelopnrerrl r\grccntcnl or as othcrrvi;,-e reqlired purslanl lo
Proiecl pertrits prior ta l)evelopcr''s purchasc cl the l,eared Prenriscs.
C. Lease of thi) l,cased Itrernises slrall be atlhe rent and oth* lei:rs *ud conditiorrs
sr:t tbrth belnw" City has furthcr agrecd to gr:ul1 l)evcloper an optitx to purchase {he l,cased
Premises subjecl tr.r satisfactiol of cerLain condilions ;:recedcnt, a1 an rlplion price and ou other
lernrs and eonditirrns hereinafter set krrth.
NOW, TI-IEREI"ORE, in ceinsirJet'aliorr o1'lhe f*regoing rccitals and olhcr good and
vnluablo consideralion, the receipl and sufJicicncy of ivhich is heleby achtrowledged. thc partios
flgteeas follori's:
AGIIItrM,I,:N]'
I. lnqgrporalion of*ltg*till,!-l]dltrllt&!. Lach recital set lbrth ahr,rvc is
ittcorporatecl inlo this l.ease as though lirllv sct forth hercin. As used herein, the ibllorving lorm$
shall have the fbllowing meaninBs:
"Additional ltent" tncans an),' lnfilelaty "cunr rcqlirccl io bc paid by fleveioper to
{'i11,urrclcr the provisions of this Leasc (orhcl tlrl.ur ilcnr).
"Bltsitlcss l)ay" tncatrr- a dr1' other than Satutdayo Sunday. any lerleral or
Washingk:n State holida,v, ar'!): daic on rvlrich banks localerJ in the srals of WashingLon arc
authorized or obligated to elose {}r an,v daic on *'hicJr the King Couull,Iteeorder's officc is closccl,
"(lil)"'n:ealts thc City,of Kenl. a Washington ntunicipal cotporatiolt.
"C)lnsing" n"tcans the dirtr: uiren Develeycr and l'ity havc tlcliveled 1o ilscrow
Agent all of the docunerts and {irnds rcqLrired lo he chlivercd by tlrcm lLr com1)lij1c rhe purchase
2841t086 A3121 /t8
tt*ridillAl-ilt ivcr}rnd Jourr Vulllrrc:,.},hill{ I ( hrrirru 1 Jr:c,-
l{:nsr ilfil,l nplion tt purcha-rr} t3
atld salc of thc Lcascd llrutniscs (if l)cvelopcr cxcrciscs its t)ption) ir accordarrcc rr,ith thc
provisious oI'Sections l7 and lll hereof.
"Lilosing 1)ale" r:teims lhe dale orr lvlrich the lllosing orcln's.
"Cttttslructictt Leneler" rreilns Nortlr {-'ascade s llanlt. n division ol Glacier Barrk,
ot'sonlc otlter slatc ar nalionrl bank. insurarlcc con'ryally, pcnsion furrd or othcr rnujor I'inancial
iustilulion whiclr l:as aglccd to il&ks a canstrucliun loari kr Dcvcloper 10 coustrucl the
I'ro,jcct with a crcclit rnling subslantially siurilar to, nr'*xceeding. tlrat of North {lascades lJauk.
"{-lonsl.nrclion Pcrmils" }ne:lns tlre civil conslruciion penlits and buiiding
pennits iirr thc lrrn"feul.
"l)evelol er Parties" n:ear1s irrdividually and collectir,ely, Dcveleiper's agents.
ctuployecs. ol{lccls, c<lttstthltnts, colltrarlors and subconlraclor$. guesls, licelsees r.rr olher
invilees of l)cve lopcr.
"l)evclol)nrertl AgLeelncnl" nrcarls tJral cerlain l)evelopn:cnl Agrectnt:r:l
approved b1'rhe Kcnt Cily Council on August I5" 2017 with al cL"leclivc d*tc o1'August 23, 2{Jl7
lly unrl bctu'ccn City and DeveJr4ler lor rievelol:rnent af lhe Projecl.
"Discrclic,nary Pemrits" msans City's design review approval proce$$ nnd any
other pcn'nil other lh:ln {.lonstnrctirin lrermiLs required ta huiid the Prtrject,
"H'feclive Dal.e " nteans the: date this Lcasc has lrccn iirllv execuled.
acknowlcdgecl, arrd delivered by City ard l)evckrper,
"linvirottmettlal Laws" rnealts, as amendcd h'onr titlc to tine, the Fcderal
Itcsource Conscrualion and Recovery Aei a| 1976,42 ti.S,C, $ 6901 et seq,- Iledr::ral
C<inrpreirensive Environrnental l{csponsr:. Compensalion and Liability Act ol'1980. 42 {J.S,C,
$9601 et seq." I;ederal I'lazardous Malerial 'li"ansportati*l Llnnlrr:l AcL 491),S.Cl. g l$()l rrl
.tcA".I;edcral Cllean Air Act. 42{"1.S.C, $ 7401 et serl,. Fedefal Water Po}lulion Conlrc} Act.
33 U.S.C. $ 13:1. Fcdcral Watcr Acl af 1977,93 U.S.{:, $ l25l et,req..,}ied*al lnsecricide.
Fungicide and Rodenlicide Act, I;ederrrl Pcsticide Aci of 1978.7 U.S,L:. $ l3fictreq.,Federal'lbxic Suhstanecs Conlr*lAcl, l5L.f.S.C. {i2601 etseq,, Federal Sa{b Drinking Water Ac1, 42
I l.S.{-1. $ l(l(}J' el ,r'eq,. Srashilgton W$ter Pollulion Control Act, {iCW sh. 90.48. Washington
Clean Air AcL RllW clr. 70.94. Wasliirrgton Srilid Waslc Managcmcnt l{ccovery and Recycling
Act, IICW ch" 70.95. \Yasliilgtorr Hazardous ll/aste L4anagcmcnt Act. RCW ch. ?0.105,
Wrshington I'lazardous Waslc l'ces Acl, ttC\V ch, 7tt,95l:,. Washington tr4odcl 'l'oxiss Contr6t
Aet. llCW cli. 7il,l0JD. Wasliinglon Nuclenr' lnergy and Radiatiol Act. RCW ch. 7A.98.
Washinglan ltadioaetive trVastc Sloragc ald'lranspnrlatir:n Acl af 1980, I{C:W ch.7$,gg^
Washington l-lndergrotmd Pctrolcunr Smragc'l'anks Act, R.(]\4r ch, 70.148 and any regulations
promril gated thereunder,
"Essl'ol Agent" llcan:i Filst Anrcrican 'l'itle llsurancc Con:panv r.vhich shall
pxrvide escrotv siet'vices :rnri issue lhe l-ille Policy to he delivererl to Develoirer in conneciiln
r,r,ilh the (ilosing.
7x4)'t 8h{t3iz1 18
{rcatl\l lALrlliverhcnd .1tlini Vt,'lttur*\}htse I l llsing l)rrrrs
[:rsc {rvilh lplku io purch*seJ v-l
"l:.rrenls ol'Dcfhult" has the rneanilg sct I'orth in iicction l9 oi'this l,ease.
"lixpiration l)ate" rnuarrs thu earliest of; (i)rht: datc r.vhich is twr-r(2)yearsaller
the clcsing dalc of l)evelupcl's pulcl:ase of thc Phasc I lropcfly (wlrit:lr closing date is of cvelr
datc rvitlr thc Ii.flectivc Date). sLrbjcct to extension in accorrlance u'i1h the provisions r:{'scction 3
lL"lnra,: (ii) the Closing Dale; (iij-) any datc on which lliis l-ease terrninalcs in accorclancc ivith its
terms: providecl, holvevel', ihat in no evenl shal.l ti're Expiration l)alc be a dale r.r'h'iclr is laler {han
Itvo {2J,vcars aflcr thE: lrl{bctive Date.
"i:it:al {,'rrntplciictn" or "Fir:al Cotupletion of thc Pro.icct" ntcalts thal {aJ
ccnsfritclion ol'1he portion oi'the Pr<rjccl leicatcd cn the l,eascd lremiscs is substantially
c{)m}rlel€ as cvidcnceci by a cerlilicale r:l"sui:staulial c.omplction isslcd by thr: Projccl alchitect.
anr.i {b} Ciry has issued a tenrporary cerlilicalr of occupancy for thc portion rti'lhc l)rr.iecl located
on l.ir* I-eased Premise-q.
"Foroe Mafeurc" mcltns cxlranrdilary nalurrl evenls r:r r:oltiilirurs sueh as Lvar,
riot, labar dispulcs, abnnrmally exircme rvcalher, or *lher cau.ses beyond the rcnsonablc conlrol
of the obligaled party, City's or l)eveloper's inabilily to J'und. or decisiorr not 1o kurcl. any nf its
obligations shall nr-rt bc a Force Majcurc n'cut lrcreuuder.
"Governrnenlal Approvais" lneans all land use and othcr perrnits, licenses and
appnrvals ltecessaty lo huild fhr Pro"iect on the Properry or Lcased Plemises,
"(ioveul'ucntal Authority" rnenrls any crlurl or lribunal in any jurisdistiiln within
thc L,nited SHtes o:'any l'ederal. stale. fibal, municipal or local govcrnmernt or olher
grlvernn:rn{al bclcly. agctrcy, auilrolily, dcpartnrenl, commission, boarcl, bureau. or
hstrumentalilv.
"Hazardous Suhstances" means any malcrial, \ryastr:, srrbslance. induslrial wastc,
Iuxic waste, cherttical cortaininart" pelroleum, asbestos. polychlorinalcd biphcnyls r;r other
substauccs lcgulatcd r::'classificd hy Bnr.,ironmenial L,aws ils iiazardnus. toxic trr lellral la persons
or plopcrty.
"llitial inj}aslruetuI'c" mean$ all Phasc I Freiperty atd Phase 2 Properry {i.e.. thc
Phase I Propcriy artd L"eascd lrremises) on-sitc anti r:ff'-sitc pLrblic and ;:rivate niainline
inll'astruclure. inciucling tvatcr, $lorm wat*'. saritary scwcr utilixics arrri lralficlpedcstritu:
irtprovemc:rls attd including all "Msel Me ou Mecker'" inrpmvemenls for thc Project and
including Phasc I Property "gco-piers" ar:d podiunr building loundalions,
"lnjlial Infi'aslluclurc Penlits" lllcans all gratle, llli and nraillinc civil
canstrucliou pcrnits Jbr ths, Initial ltrfraslnrclurc,
"it:itial 'l"ertn" Jrenns the carliest of: (i) the date which is lrvo {?) ycars aller thc
Illfectivc Dttte: ('ii) the Closing Date; or (iiii any date on rvhich this l.ease lelrninates in
acc*rd;rnce rvith irs tenns.
"KCC" lllcans Lhc Kr:nl e ity L'ode as amei:ded {r.orn linrc to tir:re.
?$,1 ll08fr {l3ll?/l lt il
lrearl\l{Al,\l{irrrbenr! .hri!il V{:nture'.Plritlc I l'}o:rrra I)ocs
lcasr {rvitli oJrti|rr lp pun:lurifl I J
"I.,a$,s" mcans any coltt{t'1utiurt" stllutc. ordinancc, rcgulalion- rulc, rcsolttiion.
.iuilicial decision" arltlinistt'a1ive ordcr" or r:llter requirenrent of any lcdr:ral. stale. counly.
lluriici.pal" or other (jover:rmcnlal Aulliority lTaving.iurisdictir.ln uruer llre parlies or thc Lcased
Prenriscs. or botli. in elfect eill:er al thc linre ul'execulir"rn nl'this Leasc or at anv linre during thc
'I'emr. iuclilding without linritalion, iiny regulatio:r or ordel af a qua:;i-r:flicial cntity or body
{e.g.. board oi'{lre exarliners or public utilities) including, but not limited to Enviromnental
Lau's and all rulcs. laws ancl regulaliiins issued thereunder" as lhe sanre uray be ameuded fi'rrn
titnc lri linie.
"l,eased Prernises" ltleans lbat pr-rr'lion ol the ilrc,pcny rvhich ivill be lenscel to
l)evcloper putsuant to tl:is l"easc rvhich is legalll'descrilieti on l.ixhibit C atlached hcrctcr and by
this reJ'err.-.ncc irrccxporaled liereil antl which is depicterl on tlre site plarr atrachcJ hcrsta as
l-'ixhibil i) ;trtcl b1, tlris rcierenre incorporaled bercin.
"l-icrrs" means nny lien, 1:hargc, securil!, inlcrcsl or arcumbrance accruing or
inrpused upol the Lcased Prenise s lor llre prrriod e onrnrcrcing nn 1l:e Eflbctivc l)atc.
"()plion" llrearls Dcvelolxr's oiltion kr pr:rchasc tltc L,eascd l)renrises as provided
irr Seetion l7 oi'this Leasc.
'\)ption llrice" nreans thc purchasc pricc lbr the Leasccl Prei:rises payable ttr
llitl,in ca;h cn the Closing Date as clescribed iu Sections I 7 and 18 of this Lensc,
"l.rlrase i Properly" mea11s that portiorr of the Prcpcrty which is legally desuibed
on l:xhibit.! attached ir*re1o and incorporaled hercir:,
"Prcrject Agrcernents" rneau$ {,a) thc option lr: repurchase ngrcement belueen City
atd Devclopcr o{'evcn date herewilh; {h'i the guaranty o1-complclion anrl perfamance lionr
FNW. lnc. in lavor r.rf Citi'; (c) tlte agrccnrent concclnitg lransfcr antl enoumbr;urce reshietions
ou lhc llhase I Pm4rerl1, of sven date lrcrcrvith (tlie "l,inritccl Snlc and 'l riursfer Re.strictior:".); {cli
tlte dcvelopment sehedule lor the Pro.iect flir Developer's snbrnillal of applications I'or and City's
1:rocessing ol cntitlemerts and pernrits lbl lhe Prtrjecr alrd f qJ the De:vclopment Agrecncnt.
"l'urchase Agreellent" ffcans llral Real Hstalc Purchasc and Sale Agreeruent
lretween City tnd llevcloper rlaled as ci'May 5,2011" as anendetJ try that certairr Aniendment
io lieal Uslate llurcltase ancl $ale Agreemenl u,ith l.casel0ption lo Prrrchasc daled as o1'
Se.ptemtrer' 20" 2017, lix the purchase and sale of'tlre Fh:rsc I Property,
"Renl" tlrcans thc atnourrl payalrle by !)cr,eloper tc City pLtrsultnl to lieclinn 4
below I'orthe lcascoi'the l,r:ast:d Premiscs. and includrs Additiernal llcnl.
"Requiren:errts ol l-aw" mealrs all rcquircrnenls relaling to land and building
ccnstruction (inr-',luding those specificallv applicablc ta tl'le conlemplated use of the Leased
llrentises for the Projcct), inc,lucling, without lirnitation, pla:l:ir:g" znning, subrJivision. the
Anrerican with Disabililies Act, as amencled, environrncntal, air quaiity. flood hazard, fire
saf'efy, acccssibility and ofier governmcnlal applovals, pennits, liccnsc.s an#or certificalcs as
may bc ncccs.rary li'onr linic lr: linre 1o comply with all o1'thc lbrcgoing and arlrer applicablc
statutes. rulcs, ordcrs. regulaliorts, laws, ordinancrs and covenallts, cantlitlons *nd rrstrictions
:$4t (j{b 03121118
lrcil(lllAl,iltiverllcnd Joint Vrrltursll),use I Closing l)rrts
letr;e {with uption tl purl|asc) v3
rvhich appiy 1o andlor alili:r:t thc desigtr, conslruclion, cxislcnce" iniended usc. opcralior andlor
(rucupancy olthe f-cassd Prstt iscs or :ur1' ;lar1 tlrelecf.
"'l'irxcs" tilealts lrll rcal artd personai property laxes. surfhce waler n'tanagcntcr{
chargos and rssessmcnts {inclurlitrg assessnrents fcx'public ir:rprovenrcntsJ. charges fbr public
utilitics u4rich il'uupaid may ber:onrc * licn an the l.ea-sed Fremise s, leaschold excise taxes, other
cxcis* laxcs, k:vies, .sales. usc and ocrupancy taxes, arry 1ax or charge assessed agairrst thc
Ttrxatrle Rent as tlctlncd in llCW Chapter !{?,29A *r fair markct valuc nf rhe l..eased Prcrlises
antl atny laxcs levied or assesscd iu additiorr to ol in lieu ol in rvlrols or in pan. such tares.
asscssntcn{s or other chargcs {includir:g any lcas*hold cxcise laxes w'hich lnrl, be tl'orn limc to
lin:e levied on the leaseirold r$taie creatcri by this Lease) and ail oilrer governn:ental inipositions
and cltarges r:J'everv lcirirl tnd n;rlurc. guneral and spec,ial. nldinary and l:xlraordinary. fltleseen
and unfirrcseen crl'n'ery character {including intcrest and pclaltics {hereon) which at any tine
flurrr and alier the l:lfl'cclive llak: rrJ'lhis l,case rrury be inposcd, levied upon or assessed against
or which arisc u'ilh respecl lo nr conslitute a lien upon the l-eased Prcmises (or any p$rt thcrc{)l),
the ieasei:olel estalc ercatsd by lhis Lea.'ie or any part tl,ercof. nr any eslale, right or inlcrcsl
thcrcin, {rr any occtiprlllcy. r}sc (}r llr}sscssiorr ll'nt actiy-i{y conduclcd on thc l-eascd Prernises elr
anlr par( lhcreof.
"f'ellt" lllrilns tire pcrioel beginning on thc Ltfective l)a1e and ending or the
Hxpiraiitn [)irle.
"Title Conrpitny" treans l"irsl. Anielican'l"itle lnsurancc Cornparry, q'hieh willbe
issuing the fille Policy.
"'l"itle Polic1," lras the uennirrg sel &"rrlh iu Section l?.8 belerrv.
"{ llililics" nrcans a}l pul':lic or privale utililies and services Iiu'r:ished 1o tl:e l,eascel
ftrcn:iscs, il'any.
2, l,cascd trremiscs
A, Lsascd l'rgllsr:s, llity, in considerntion of thc Rcnl herein pa-vable by
l)cl,clopcr to City ard the lerffis, co1,rn$ilts, zurd conditions oltthis J-ease to bc kept nnrJ
perforrncd by l)cvcloper. hercby demises and ieascs lo Dcvcloper" and l)evelopcr hcrcby hircs
and lcases lrorn (Jity. thc l-cascd llrcuriscs"
B. "l"jtlc to and -Conriition. oi'J,eascd Premisej, Dcrnclupcr has hacl ari
opportunity to invesligale the l.eased Prcn:ises and is lcrowledgeable and lan:ilja' with tbe
present cr:ndilion o1'tjtle anclthc prescnl condilior: and slate ol'rr:pair of rhe l,eased Preniises,
i)eveloper shall have thc right to obtain a leasehold orvncr's policy oJ'title insuralrce al its sole
cosl and expensr: as ol'llte lifibclive Dateand, if l)evelopet'exerciscs its Optiou, a:l owrrcL's
polic3' of titlc insurancc lron'r thc "l'itle Ccurpany wirh rcspccl to the l,eased ilreurises in
accordatlce u''ith lhe 1:rovisions of .Section I2 hereoL 'l'he L,easecl Premises are leased ltr
Dcvelopct'by Citl,' in lheir luesenl conclition and slalc o1'repair nrr an "AS IS" irasis and lvillrout
ttclld\llAl.\lliverbcttti .lcint Vcnlilrci[,htlr I i]krsilg llucs
I lurr (rvith r:pti,tn l.! pInJti,sr] y3
any rrprcssnlalion or $'arr',111)'olanyliind hy Clity. cxprc.ss rr:ir:rplied. othcrlhnnas scl lolil:
lrct'cin, anrl suhiecl tc {aJ the existiug cordilior: of title {exccpt lbr tlrosrr tille exceplions. if any,
that City lras agrccd l.o lellxlve as set f'nrth jn L:lxhilrit I,r): (b) all applioablr: llec;uircnrcrrs ol'l,aw
l1o\\r of hcrcaller in cJTect: (r) an1, liens. e.rceplions ur cncumt:tances creatcd by or arising bv or
lll'riuglr l')cveklper durirrg tlrc 'l'enl ol the l.ease; atrd (d) alt)' cxccpliolts or eltculllbrauces on
thc Lsascd Ilrenriscs ;rs a result of the l)iscrctieua.ry llennits, the l)cvclopnlonl Agrcctr:cllt or
rlherwise consertted to in wriling by Developer. Developer sl'rall have lhe right tr: usc. rentovr:.
stll or rlisposc of all exisling intprovcrncnts on lhc Leasr:d Plm:ises. inrllding any and all
l')cr;r'ollill propcrt,Y and eqriipttiettl locatccl tlrcrcirt. at l)cvehpel's sole ccsl and cxpens€,
l)ncloper hercby accep{sthe J,easlrd l)rnnises suirject lo all r:1'l}rc lbregoing ar;d r,vithcul any
re;:re.sctttatirin rxrvan'anli'b1, l-'itV. cxprcss or ir:rplied, exccpt assr-:1 {brth hclcin- anel ex;xessly
ta'ithout reooullic la ('i11,as lo lhc physir:alcondjtion ol'ilre l,easecl Prcmiscs olthc suitabilii3:
ol-the I-eased Pren:ires {irr Dcvclopcr's intcrrtlecl purposcs.
C. Seller l)isclosure Ststemc:rl: W vcr cf Riuht t{: Iter:cive Seller'
-U!-ugl,r,t:us $lalerqerl. pL;ltSlJANl'1'O RCW Cll.64.06.:\S Al\4l;]iiDEB BY CIIAP'|ER
64. LAWS Ol':0rfl, lll,lvlil,(]plll{ ilEIU-:By wAivns trs lil{il,f l' l(} }ilicl,:tvr,i Tltll
Sfil"l,llR DISIILOSIJRiI S'IA'fll\4I]NT Rtif IRItlll)'l't) 'lllllRfN WIl'li I{I:SPI]'{]]-'l'O'l'I"llr,l-LlASIln PRIiMISHS. 'i'l.liS wAlVlilt D{)HS r"l{)'l'irxl'l1ND'l'O'llll: SIX]l'lON OtrlllI DIS{:l,O$UI{IJ STAffh{ENT ENl'11'l"lit) "]ll"jvlR{)NMfiN'l'4L". Dcveloper
aclittitwledgcs receipt ol'tlrc "lirvirorrnental" sectiorr of lhc Seller lliscJnsurc Statonent and
by cxccrtling llris Lease, Dnclapcr waives its rigirr lo rcceive llre l:alanee clthe conrplclcd
.leller Discloturc Slalcmetrt n,ith rcspcci to lhc l,,sascd Prerujses. I)evclopcr {urther agrses
thal ar:y irt{brmation discovered by Develnper concerning tlrc l,easer'l Prelrriscs shnll nol
obligalc De vcloper lo prepare and dclivcr to l)cve lnper a reviscd or updatcd Scllsr I)isclosurc
Slatcntent. Developer hereb5, rvaivcs any righl lo rrceive an updalcd or :'cviscd Seller
IJise tcstrre Stalemcnt, rcgardlcss oJ'llre source r:{'any lcw infbrmatir:1, eilher at 1he ti:ne ol'
discr-rvi:ry o{'surdr ncw iltJ'ormation or, il' Dcvelopey excrciscs its ()ption to pr.rrchase th*
Lr:ased I)rctriscs, al Closirrg l)evelopcr;rclinowletiges thal il is a sophislisalrd party l'arniliar
rt'ith tlte ownersbip arid develol rnenl o1'rea1 cstate prrrjccts similar to lhe l,eascd Prcniiscs
antl i)et,$lcrper lras or will Itave adcquate optr{}rrulity to cornplcle suelr independelt
insl:ections of the Leascd llrcnrises as it dccn:s nccfssal'y. anil rvill clcc:t whclhcr lo cxercise
it.r 0ptiun to acqtrire thr: Lcasrd Prcnriscs solel.r' or: tl:c basjs ol'anri ir: reliance upon suclr
cxsmjnalieits ancl nol on anv inlbrn:ation prr:vielcd in any Scllcr l)iselosure Sluternenl or
ollrerwisc providccl or to brl provirled b-v Citl' or by ant,onc acting or r".tainring lo act by,
tlrrouglr nr undet r:r on Cily's bchall'. As grrr.rviderl in I{CW 64.06.013(?), the real propcrly
traltsfer dise losure stalcmeni shall bc for dise losure purposes trnly and slrall nct bc cnntirJered
part olliris Lcngc or thc Option 1o Iulchasc.iict folth in Scction lT hercoi.
3. I'crm
A. lui{ial-lg{u, This Leasc sirall con:rnence on {he, i:ff'ectir,e Datc and
shall cxpire rn the lixpiration Dalc, unlsss r;ooller lernrinntr-:d as providr.cl l:erein. or utrl{:ss
ihc lnitial 'l'clrl is crt*nded prll'su*nt ir rhc rcnrliniler t:1'1his scction l.
2X'it/(186 tt1l21|N
trcrd\l Lll,\ll ivr.rbi:rr{l,loilt Vr:rr(ure\l,h;rse I (. krsinr: l)lcs
k:;rse /rlrlh lptiotr tr' plrehlse) v-l
B. Qplgl rlt Lr!!:1]-cl-f-c-c-au.lgjt Aplqalslljit-r'cglSurrtql Arrprovirls, So
lutg as there exisls rt* livett o1' Dc{ault b-v l)cveloirer (or ar:y cther rcsponsible parl1, as
applicablc) uncicr this Lcase or olher llro.iecl Agreenrcnls and there is no cvenl r:J'dc{airlt unrler
arry af the laregcirig or that rveruld otlrer$'ise, u'iih tlie giving {:1'noticc. rhe passagc of timc. or
both. conslitu{e alt llvent of Delault Lry Devcloper uldsr thi-c l.,ease. l}cvelopcr sl,all l"rave the
rigltt to extend lhe Initial 'l'crn: of tlris l-ease and itn {}ption lo purchase tlrc l,eiisecl J}rc:niscs lbr
up Lc nine (9) nrontirs if Devclr:pcr has nol satisfiecl all of the cor:ditious pr',;cedent to lJeveloper's
uxeroisc oi'its Optitin lc prucl'lnse thc Leasr:d llrcmiscs soLrly heearlse ula tinrcly- appcal 1o flily's
approvai of thc issuancc cJ'lhe lliscretionan,Permils ibr thc prx'rion oi'the Prticcl locrted tn
the Leased Prenises;providcd. howcver" Lhat il'any such appeal is not {inally cr,rlcluded rvithin
ni:re i9) nionths lbllowing City's approval of lhe issuance of the Discretio:rary Perrnits. *s
applicable. then City shall lrave lhe righl lo terminalc this J-,easc {and the Option to purchasc thc
I -cascd fret:tises sel lbnh in Scction 1 7) rviihr,rut liahilitv 1c Develcpcr upon sixty {60} days prior
wrilten nolicc lei l)eyel*pr,l,
C. ODlxrti !9 n-xiend ibr l-ilrcc Maje.rlfc-l*cltlt. If Der,cloper has l:ccn unable
t* satisf)'all conditions prececlcnl to lleveioper'.s excrcise ol'its Option lo purchasc lhe Lcasecl
Prentises 1;ritr lo the )lxpiral.inn l)atc solcly bccause oJ lhe ol'cufrence of oue ol nrore Foree
Maieurc ev$nts, thcrr provided (i) that thcre is no livr:nt ot'Delirult by l)eveloper under lhis l-ease
or Prcr.iect Agreeme:rts and no cvenl tlra! with the givi:tg nf nolice. the passage of titnc or both,
would constitllte a defar:lt therculdel or an livorl oI'Delault by Dcveloper under this Lea-se. and
(ii) Dcvcloper provides Cily rvith wlilten notice and n'idence in lirnn rcasonably salisfacbry to
City of the occut'l'ence of such Furce h4aicure rverlt nc la{cr lhan sixty {6t}) days priot'to the thcn
Expiratior: llate. Ikvellrper shall havc thc righl tu cxlelrd the Tenn of this Lcsse ancl its Option
10 purchase thc L.easc.d Pt'ctniscr lrrr the dulation olsuch l;orcc N4ajcut'e evetrl no1 10 sxcecd d'r'cc
(3J monlhs.
D, Qut.siqlc lixpir'4tiort lli{g. In rro evenl shall the 'l'cnn oJ'tlris l,ease, as it
lt*y bc oxlcnried pursuant to the pvoviriions o1'Sce{ion 3,Il or 3.C ahovc be extcnclecl lti a dale
u,hieh is rrrorc tlrnn nine (9) morrths aller'lhe lrritial 'lcmr.
H, I)evele'lper''s-fermue!i-e!r-Bjg!i1. l)nclopr:r shull hare tlrc right upun
lhir1y {30) daysprior lariilstt rloticf 1o {lity lo tclrninate tlris Lcasc prior to thc [xpilation Dafr:
withaut any {lrlher liability or ohligalion to lii1i, l:ercundcr pr olherwise in comectian willr
the l-elscd Prcntiscs, with thc r:xccplion oi' 1'rn-vncnt ol' Liens, any and all Rents due for lhe
pcdod prir:r 1o $e ellbctivc dalr u{' lcrmjlaiion or olher charges lhrrt are l)er,eloper's
rcsponsibilitv here Lrnder, or perlorflrilncs of any incle:n.nification r:bligati{rr:s sel Jb*h il this
Lease lor the period arising or accruing lar Lhe pcrioel prior to l)evcloper's tenrriralion o1'1he
Lease pulsuant lo this Secticrt 3.ii. 'l'trnination of tl'ris Lease undcr rhis Section 3.[ sball
aulernratically temrinatc lJeveloper's option tn purchasc the l-eased Prenrises.
2841l{ttlt, {t3t27,lN
rrcadtl L{,I.\llivcdrgld,l(rilil \rcntrrrciltlalr I (ifu rsit:g I)oer
r.lcnlr 4u'ith *plii'rr lo pu6hrrsc) v3
4. J{enl
A, I{cnt. {iity ae knorvledge s leceipl eillhc sunr ol'i)ne l}ullar ($1 .00) which
repre$cnls prepaicl Rent fcrr lhe lnitial 'l'erm. Dcveiopcr shall pai, {lity Additional Rcnt for any
cxlension ol'the Tcrnt as providcd in fiection 3 abovc. llclt is lirlly earned oncc paid and is
rx:r:r'ef urtdal;lc.
tl. l.easclrr:ld lixeire__l'r-x. ln addition to prcpaid lLctrt. lJcvclopcr shall pay
City leaseholtl cxcise lax ort 'l'axablc Rcnl as defined in RCW \7.VL)A (crurcntly 12.844i' *t
'i'axable Renl) cornmencing as r-rfthc l:lJl'ctrtivc lJalc" Lcrseircld excise lax is iilso payable {)n rillv
rcttal pa,"-mcnts nrade during anv exl€llsiolr lrmr of 1he l.ease , Nolwilhslanding anything to lhe
r:tnlrar1, contait:ed irereitr, I)evellper shall bc solcly rcsponsible lbr alrd shall irrdernnify ruiei
hcld Citi' irarmlcss fron: the tolal anrr:unt ol' anv nnd ail lcasehi:ld cxcisc lax on the l,easecl
Pretttises, irrchiding but not limited te arr1, additiorral leaseliold cxcise taxcs, inleresl ar peualtics
ilttc ald owing in conneelian i+,ith thcr le*se oJ'lhc l,eas$ii l)renrises pnlsuaul 1o a departnrent r:f
revenuc laxahlc rent conrpntalion under RC\\'' 82.29A.020(2Xg).
(:. Addil.iorral ltcrl, All sr"tlounls whi{:h lJeveloper is t'equired to pay 1<l
C'ity pursuent to thi$ Lcase lother than prepaid Rent) shall canslilutc additinnal rerrt
{"Additioual Rcnt") rvhether .}r nol tl:c same bc designaled as Adclitiexral l{ent in this Lease,
Ex*epi as othcrwisc: expressly provided herein, l)evcloper shall perform all of its obligations
undcr this Lsasc at i1s seilc ca,st ard expens€, and shall prontptly pay all Adclitional ltcnt.
Dcrvgloilsl shall al:r: p:'cmptly pay to all thinl parlics any other sums required to bc paid by
Developer unde l this l,ease. when rhe snrlc shall hc duc ancl payable and in all events prior t{t
deliriqucncy.
l)" Alli-ol{rlriple Net l.casc, 'l'his l-cr*c is intcnrJed 1o be ard shall tre
conslrur:d as an absolulely triplc nct lcase pursuant 1c which City shall noto cxcc;rt as
otherwise expressly providctl in this l..caire. Lurdel any eircumstanoes or o$nditions, rvhether
preseirl.ll' existing $r hcrsallcr arising" or u'hetlrer heyond thc prescrrt contcrnplation of thc:
parti€s; bc cxpccled or required la makc any layments of my kind wh*lsoevcr ot'be under
any othet obligation err liability. cxcspt as r:lherwise expressly prlvidcil in this l,ease, and
l)eveloper shallnrakc any and all p:rynenls rcquired hereundcr.
-5. liugr:idllti|tt_i_rl"
A t:tenl o1''i'nxcs With the cxccplion of leasuhold cxeise
ttx which slrall be paid to Cily as prnvidcd in Scction 4.8 abave, Dcveloper shall pay all 'l"axes
direcll,v to the applicablc govcrnrncnlal agr:ncy priur to clelinquency atrd shall proviclc proaf oI'
such paymcrll prcllptl), ta Cily upon rcqucsl, 'lt-: the exte,tt faxcs or otirer clrarge; can [e paid
in irtstalhnents" Dn'eloper rnav pay suclr 'l'axrs in instalhncnts and shall only be liablc lbr'l'axe:; lvhich accntc frara and a{1cr thc Ii,l'f'cctivc Date. Witl: respccl to any gerrcral or spec.ial
.:84 I /{}l{6 t.\3 |2't / I S
lrcurJrl 1,4'l,..I,r,i vertrsld .luilr Vcrrlrtrctllrnsi I Chi,ilg t Jocs
lcrhc {rvilL (r!}tio't kr l)l,rcltitse} !J
ass{rss,tlijllts n,l:iclr llay bc leviecl agains{ or upon lhe l-easeci I'rcmisee. or rvlrich unde.r tire Larvs
thctt itt fol'cr: nta1, bc cviclenced L:y in4iloveincnls or othcr l-ror.rcls or may be paicl in annual
inslallmr:nts. only l.lii: rlnturrt ol'such annr.ral installmcr:i. and irrtcrest ciue theLecn, shall be
irrcludcd u,ithin thc conrput:tlitxt o{'Taxes. I)cvclopcr's obligarion 1tl pay such "laxes shall
survive thc cxpiration or eall'icr lermirralion of this Leasc-
ll. lqryugl lrqpe.fil, 'l-axes, l)cvclopcr shali pay priar to delinqucncr-v all
personal propcrty laxes, ilany. assesscd against and lcvicd upon all persc;nal propei1), located
on llie l-,cascd Pretttiscs. il':tttt,. llevckrper *hall causc all suuh propcrl-v lo hc assr;ssed and billed
sepalalely litrl the Leascd l)rcrriscs.
{1. tllilitics. l'ily shall rrol be lesponsiblc lor the cersl oi' providing an1,
Utilities to the l"eascd Premises ancl sliall not be liable for iu'ry loss- in jury or damagc t{, pcr:ion
ot'propurty caused b), r,t,"*utrtng frerm anv variatior:, inlcn'uptiou, rir J'ailurr of utilities dire tr"r
any causc tvhitltittcver. and llen{ sltall not abatc as a lesull lhereof. Devcloper shall be solcly
rcsponsible lbr dctcrminiug u,lrether avajlable lllilitics" ii'ar'ty, and thci:' c:apaciiies ra,ill rleel
l)evtdoper's ncccls during the Term of lhis l.ease, In addilion, I)eveloper shall he solely
respnnsii:le {br aud shatl pay sepat:ttely fi:r all clrarges ft)r litilities uscd or ronstrmeti {}n the
l,cased Pr"emises. 1t is understood thal City shnli nerl be requircti ir: providc any Litilities to
l)cveluper, and l)evclnper sh*ll make any n$cessary an'angcnreurs to have all such l.ltilirics billed
dircctly to and paid {br dircctil,by Developer.
6, Usr: ol'l,q&sed Premises: Pgrmitted ljsp,
A. Uge-Qlkased Pt'eniiscs , l)eveloper shnll havc 1be rigirt
to use 1he l-cased Prcmises {br eonstruc,lion oI'the Initial Infi'astructure only pursuatt to the Initial
htfrastructut'e Pe:lt'tits, fsr eonslruc{ion slagingrelated ttr l)evelaper's corrstruclion o1'thc porlion
of thc Prtiecl localed on the Phase 1 Prol:crt1,, fbr ternporary parking, lor erecting signs that
ecmply ivilh City's sign ordinance, and lix'arry pre-ccnstrucliun actiriilics r"olatcd ro tlre Prniecl
as aulhot'ized bv Citv in rvriting. all at f)cvclopcr's solc cost and exFr:nsc (ihc "Pernriltcd i-lsc")
and {br no olhcr purpose withoul the prior rvriflen con$eitt of City, rvhich cou^sent shall not
uneaseinably be withheld.
Il. Ouiql ligi-ovrrrerrt. tJpon paynlcrlt by i)cvclc4rer nJ- Relt as h{":rcin
prrivided and upon thc obssrvanr:e and pcrlixmance nlthe covcnants. lerms and coniliiiorrs on
l)evcloper's part 1tr be ohserved and perfirrrned, l)cvelopcl shali peaceably anti quictiy hold ancl
enj*v ftc Lcascd ltrr,niscs f<ir the 'l-erm hereby denised witiroul hinilra::ee or inteuuption by
Cily or'alty llerson or persons lawlirlly or equitably claiming. b3,, through or undcr (lity. except
lbL thc righrs o1'palries underPenlittcd Exceplierns.
2841,(t86 A3t21/tt,
kuarl\llAL,if{ivlrbcrrrl .loinl V{llutell}hrsc I Iilosing I)lcs
l0 lcuc {witlt lptirrl tr purchx'e ; 13
C:. llq lUUallq,ll-qttccllalir;tt. Developcr sirall not do, bring" or ker.p
anyLhing in ot'alroul lhe Leased Prcmises that u,ill ealrsc a caricellation olany iflsurance rcquircd
b1, Dcvr:li:pcr 10 lravc'. in plircc lirr ilre l,eirsed Prcnriscs.
l), Ns-lh1a]\,&d--Lrsg Was1c.. .lluit{ruc Ju- Dgrggc, Dcvcloper shall
nrainlain ihc Lcased Jrrcrrriscs in a clcan and rlrderly coudilion rr:rnove all tlchris snd nrbbish
and mairrtai:r ecrnslruclion {bncing or olher conslruction baricades or scrcening rrhen rcqr.rired by
law atrd olherrvise in good coudiiion and lcpair. lln'rloper shall not allow thc Lcased Pre rnises
tr: be uscd f,or any unlawlul prn?ose- nor shall Dcvclopcr usc thc I"eased Preltises in auy manncr
thai will constitutc rvasle 01'thc l"cased I'rcmises nr a uuist:ncr..
lt. f_o,rn1tjrlfcj*_trUlflqp'S, lleveloper :;hall clnrply with all Laws
concerning lhe l,cased Premiscs and l)cveloper's use ollhc l-cascd Prcrnises. including withaul
limitation,l:lrrvironnrental l"aws. So long ss no ijvenl ol'i)clault iias occun'cd and is continuing.
Devcloprr shall have. tlrc riglrt lo colllest ot ils sCIle cost and cxpersc and aller pdor lcticc to
Cit,v, by appraprialr- lcgal procccditrgs conductcd in grrrd lnith and rvith tlue diligence. a:ry
I-aw" 'l'ax. rule, order, ol'diuance, regulalion or eilhcr rcquircm*nt aflecting tlrc l.eased Prenisrs
and 1o postpone compliancc rvith tlre sanre during thc pcnder:cy o1' sueh sonlesl plnvided lhat
the enlorcetnenl r:fsuch l,aw" 'l'ax, rule, oldcr, lrdinance. rcgulatiori or otherrcquircmcnl is
stayed ilulirrg the pendcncy of such contcst anri thc corlssl rvill nol subiect {iil.y tn crin:inal or
civil penaliy or {rne or icopirdizc ritle to the l-eased Premises. Clity shall {:oopel'ale with
Dcvcloper iu such contesi al no cost ro tliry and shall execule any elocunrcnts orpr*vide susli
informatiou us Devrrloper rrsy reasonably requesl iu fLulherance 01' such prcceedings.
l)eveloper rhall pri"rceed ililigtntly and in gor:d failh to rcsrllve such conlest and shall not
postpone ccmpliance rvith aliy Lar.l', rulc. ordcr, rirdinance. regulalion or other rcrluirenrenls
if lhe sanre shall invalidale arry insurance requircrl hy this Lease. Develo;:er shall indemnify,
prolecl. defcnd and hold City, thc Propcrty and the Leasetl Premiscs harmless lronr any lien or
liability with respecl to such Law.'l'ax, rulc, ordcr. orcii:rance. regulalion or olh{:r rcquiremcnt
or conlesl thereul, inclutling all cost aad expcnscs related therclo.
7. Licns.
A. Coven4t!_AgAl$Llggg. Erccpt ls pcrmiltrd under Secrion 7.8.
Devcloper co\renanls and agrccs tha1 it shall nnt suffcr or pcrn:il an1, l-iens to be atlached to,
upon ot against llie Froper{y ilrc Lcased Premises or anv portion thereof or aily Renl payable
rrrrder this Lease arisiltg oul o1'l)cvclttl:er's possession. Llsr:. Llccuplr:r:y, repair. maintenance or
couslruction of lhe Initial lnfrastr*clure ol othelwise in ccllnection rvith l)eveloper's activities
on the Leased I'rcmiscs, or lry reasan o{ the firrnisi:ing ol labor, services, rnalerials or
equipmcnl to the Lcarsed lrttnises or ln Devclofcr or any ol'the Developer Partics {other
lltan Ljcns arising through lhc astious of flity not consenterd lo by Developer). I)cveloper
agrefs to indemni{y. prolcct. tlcl'entJ ald lrold City harrnlcss lrum and against all lia}rilitics,
losses, damagcs" oxpenses ard cr:s{.s {including reasonable altorncy's lbes anel *osls} incun'ed
in connection rvilh an1' such Licn(.'r) arisirrg cluring thc 'l'crrn ol'this Lcnse {other than Licns
?841l{X(t t}-ll}7118
tlc.ld'!! l,{i.11{rv$rbctr.:,'oilt Vrn{ure\Plrasc I t los^inn l'}trrr
t1.leirrr (B'ith lpti(,r! lo p)urhrl{c,} 1'.3
arising lhrougl: atliotrs o1' Citl' nol conscrllcd 1o by Dcvclopcr). l)n,clopcr's obligalir:us
pursuaJrl to this Scclion 7.A slrall survivc thc cxpiratinu or eariir.:rlcrnriltalion ol'thjs l-ease,
ll. Coyglarl*lqllCt'nt1:C..p_cyglApslljgg5. llcvcltrpcr uill prrrrnplly. anrl
in ali cvcnts rvitlrin lhirly (30) dal'" 1'u1,o.t'ng the allachmcnt eif siutre. remol,e ancl discharge any
and nll l.ii:ns (oihcr than l,icns arising lhrrrugh actjons of Ciry nol consonled to by Develnper:)
q'ltich attach lo, rpon err against thc Prcperly. 1he l-cascd Premises or any portion thereof,
Dcveloper rcscl\,cs ihe right 1tr cr)nlcst the validity or amouui of auy sue h l,icns il gcod faith;
providud thal withirt thirtl' (3{}) riays allcr"t}re liling olsuch Licns,l)cl'ckrgrcr discharges said
Licr:s of rccord or tci;orcls a bond u,hich camplies rvith thcrcquircrncnts of ltCl\V 60.04.1Ci1
eliminating suid l,ir:ns as an clrcur:hrancc against the Propcrlyandlor lhc l.casedPrelnises,
ln thc cvcnt Dcvclopcr shall fuil 10 so rt:rlrol.e nr:y .ruch l,iens, City rnay takc sreh acliun as
City sirall rcasollably delennine to temovc sucl: l,ielis and ali r:osts and cxpcJtses incurrecl
by Cily including, without lirr:ilalion. an:ounts pairl in good faith settlement rrl"such f,iens and
a11ornc3's' fees anrl uosts slrall he paid by Dcvelolrr to {"lity as Adtlitir:nnl ltent. together with
ittterest thercou at dre late ol'eight perccnl {8%) interesl per ttnnunt fi'orn tite ilate atlr':ficed
until paid. IJet'cloper's ol-rligations pulsurut lo this $ecl.inn 7.8 shall sr:rvive tlrc expiralion or
carlier lermination oi'this l "c;rsc,
C. jltr,ciatt::er-s{.1aabilit:'bv CIII. ]Jollring contained in this Leasc s]rall be
constrtpcl as th* colsent ttr rerpresl ol'Lliiy, express or impliecl. lbr the per*rmrauce by llcvcloper'
ol arry labor or scliccs or- Jirt'the furtishing of any maierials *r equiplrenl f'cr any construction,
aherolion, adriition. repair tn thc Ploper{y ar tbe l-,esscd Prcmises {or auy part thcreoi), NOI'lClils llirRIlBY GIVIiN cr',l',\' WII-I" N(]1' t3E t.lAtll.n FoR ANy LAtl0tt. Slilrvtcl;ts,
h{ATnRIALS 0}{ L,QtilPMliNT fllRl\ii$llLI) Ol{ l'O llti FURNISIIED 1'O 1)livtil,Opl.:11
OR ANYONE l.lOl-DINC; A){Y lNl'lll{Es]' tN 'll{l,i PROPITR'I'Y (llt l'l-Jlt l.ljASlrl)
PRIIMISI$ OR Al,iY llAR',l'',fllnRr"orlljlt()uct't oR {JNDER ItHVELOI'tin AlVt) }i()
I4T'{]]IANIC'S OIt O'I'IJIiR I.IIINS FOR ANY SUCH I.AI]OR, SERVIC'S. MAIIiII]AI, OR
I;QIJIFMI;N"I-SllAl.l- A'fl'A(rl'1 T0 oI{ Atri;rcl"lliti NTI].lt}asl'ol'Cl't'y t}J'fHl-i
I.NAS ED PRE\4 I SES fj]l I-I.I I i I}IT{] PIITTT"Y,
8, l)qyqlqzuul:1-A$Sru{i!1. In case o{'a sonllicl betwcrlr thc iotms trf thir ]-ease
and lhe lenns nf the l)cvclopnrent Agrcenrent rcgarding dn'clopncnl nf the Projeel. lhr {orms
of the l)cvek:;'rrnenl Agreenrent slitll conlrol.
9" ltru:Arqe anqllrtdcrnni{icatiorr,
A, Iusut'ancc. Devcloper shall procurc and maintain, al a m:'nimrln, l"or
tire I ernr of tJiis Lcas*. the ltrllowing irtsuranuc :rgainsl ciaims fbr iniuries 1o persons ol.
dantage to p()pcrty idrich may arise lionr, or in conneclion with 1hc ;:erlbrnl;rnce nl u'orli
Itereunder h1' Devcloper. rlr an)' oi'the llevcloper Parties, 'fhe eost of such insuliurce sliall
bc paid by l)cvcloper or llic LJcvclttpcr' l)arlies. Covcrage shall trc, a1 l€iist as |roacl as:
lB4l/{}ll(: t)3127119
trr:ndil I A l-'.Rivff brnrJ Jrint Venlrrrc\lthirsc I { lkrr ilrr l-tccr
t:lcare iu ith optitrl tu plrrrhlt.scJ r'3
(ij Ceneral Liabiliry: Insurance Servicss Ofiicc lonl nurrber (CCOO
001) crivering Con:mercial General Liability, with a lirnit of not less than $2,000.000 combined
single limit pcr occrurence, $2,000,000 aggregatc.
(ii) l"lntcntionally*mittedl
(iiit Automr:bile Liabilify; L:suvance Scn*iccs Officc {bmr numbpr
{CA 00 0l) covering Busincss Automobile Coverage, syr:rbol I "any auto"; or llre combination
nl symbols 2, ll" and 9, with a limit of nol less than $1,000,000 comi:ined single limit pcr
oecrlrencs, $2.000,000 aggregatc,
(iv) Workers' Compcnsalion: Workers'{iompcnsation sovcruge, as
rcquired by tbc Induslrial Insru'ance Act of tlre State of Washingtou, slatutory li:riits.
(a) Deductibles and Self-lrrsurcd l{etenlions, Any deductibles
or self=insured retentions must be declarcd to ancl approved by City, wlrich approval shall not
be unreasonably withheld or delaycd. The deductible and/or self-insured relenlimr of tire
policies shall tre tlre sole responsibility of Developer.
tt) Olher Insurance Prr:visions. l.l:e insuance policies
required by this l-casc arc tr contain or be endorsed 1o conlain the lirllowing ;:rovisions where
applicahle:
(A) LiabilityPolicies:
fremnind* o{ page intenlianally left blankJ
?rtd t/{}86 {)3t?ll8
lreadl,l.t.{liRivtrtrend Jojrrt Venture\l,hasc I Closilrg Doer
1":lcnsc (rvilh opiion to purelusc) v3
ti) City, its ofliccrs, olJicials, employees ard
*gcnts ire lo be covsrcd as adclitinnal insureds as rcspccts: {iability orising ou1 of acrivities
perlbr:ned by or elr behalf of'l)evekrper or any of tlre Developer l'arlies in conncction witlr
this Lease.
(;i.l l)evcloper's insurau*e coverage shall be
primarS'insrrance as respccls Clity. its officers. officials. cmployces and agents. Aly insurancc
andlor self-insurance mainlahed by Clity, its t.rlficers, n{ficials, eraployecs and/or agenls shall
nol contributc with Dcvclopcr's insrirance or bencfii l)cvelopcr in any way"
(iii) I)evcloper's insurance shall apply
separnlely to eaoh insrrt'ed ag*inst whom a clain is n:ade andlor lawsuit is hroughl, cxcept
with respect to llre limits ollbe hsurer's lisiriliiy.
{ivt ll"v ruquirirrg such minimuri ilsurance,
City shall nol tre decmed to. or cmrstlued 1o. lrave assessed thc risks tlrat rnay be applieable
ter Dcvcleiper assosiated witb this Lsasc. I)evclnper shall assess its orvn risks and, if it decms
appropriate and/or prudenL, maintain greatcr limits or broader coverage.
{v) Insurance reqnired under this Lease may
be coveied under a blanket policy of insuriurce so long as such blankct policy ol'insuranse
lnr:ets the n:inin:um anrounls of insurancc required hereunder.
(B) Ail I']olicies. Caverage shall not brc {:anceled rnlil
allerthirly (30) days' {10 davs' lbr nnu-paynient) prior rvritlelr notice bas been given to Cily.
tC) Acceptability rif Insurcrs.
(i) Ljnless olherwise approved by City, or its
riskntarager, insurancc is to be plai:ed wilh insurcrx with a llesi's rating of no lcss than A:VIll,
ilr, if nal raled by llesl's. with minimum surpluses the equivalent of Best's surplus siz* VIll.
All insurar ce cotnpzuries providing insurancc under this Lease shall be suthorizcd to do
husitress in tire Slate oi Washingtr:r:,
(ii) If, at any tinrc, any olthe lblegoing pulicies
shall fail to nteet tlte above ntinintum standarcls, Developer shall. upon nolice to that effecl frorn
City, pronrptly otrtain a nsw policy. and shall subnrit ths saile ta City, with cenificales and
endorsements. lbr approval.
284y0it6 $!n?/18 l4
trcad,llAl,',Rherhrnd loint Venlurr\l,i:ast I {ilurirrg l)ous
Irt$r (lvilI oplion ttr purclllse) r'3
{t)) \/eri.l-icalion of Coverage. l)cvclopcr shall
1ur:nisli City rvith rrvidcncr: ol'llre irrsulancc rci;uired by this l,case. Cily rcserves thc riglrt
ln rcquirc Ilcvcloper 1o dclivcr cornplcte cedified ccpics ol'nll required pulicics at an-y linrc^
li. Inden:rification
(i) By Dcvclopcr. Developcr sh*ll ploiect. dei'enrl, inderlnifv. nnd
savs lrarnrless eity" and its oi'ficers, cfficials, cnrployees and agenls, f'rorrr any and ali clains,
dcmands, sLrits, penahies. losscs, rluaages. judgrnernts" or eusls af any kind ryhalcver {hereinafier
"C)laims"J. 1o thc cxtcnt such Clain:s arise dircctly or indirectly oul cf or in any way rl,sult {i.trnr
{hc ncls rx'ornissions of l)cvcluper, or iirly of the I)eveloper Fanies ol iheir respective officers.
employces, ag{:nl$. crintrac{ors and/cr subcnnlraoicrs ol' all tiem, irr tlre pcdbrmatce nl ils
obligalions unrlcr lhis l-"case. Dcveloper's obligaticrts uncJer this Sccliotr g,B shall inclutk. but
rrol bc limiled 1o:
(A) Thc duty to prornptly acci:pl teudel' cf defersc ilnd
pravide dcl'cnsc to C-lilt, at Devcloper's uwn expensc.
(B) 'I"he duty 1o inden:nily rurel defend Clity iron:r any Clairn
br*ught b1' or on behnll" ol' aity of the l)evcloper Parlies or any of their respective agenls ot'
enrplol'ccs" I'he frrregoing duty is specifically and cxprcssly intended to constilute a waivcr of
l)eveloper's inrmurity under Washington's hlduslrial hrsuranoc Act, RCW'I'itle 51. as respects
Cily orily. rvith a lu1l and complele indernnity anri delense of Claims made by emplo,vees o1'
Devclq:cr or an-y *l'tlre Dcveloper lladies, I'he parlics acklowlcdge that these provisions wcre
mutually rcgotiatcd and agreed uporr [r1, ilrem,
tct In the event City incnls auy judgnrent, arvard, andlor
costs ariting therctiom, :including ailorncys'l'ees, t{r errlorcc llre prr:visians of Scction 9.IJ,
all such fecs. c.xpeuses. snel e:osts shall tre paid by J)cvelr:pet.
Nois:id1t1ut'tding lhc provisions containcd in Subsection 9-lJ, Dcvcleper''s obligaLion tir
indenrnify City shall rxrl exlend to any Clai:n" li: the exterrl caussd by thc negligcucc rrf City ol
any al' its *l{icers, oflicials, cmployees or agcnts, nr by breach of this l.ease by Llity.
{ii) By t.it1,. 'lu the extcnt permittcd by law. City shall prorect.
dclbrcl, inderarrify, and save harnrle.ss Dcvclcr;:*r and i1s officers, oflicials. ernplol,ees arrd
xget1ls. liorr arry and all Citints, lo the cxlent such tllaims arise oul of crr in any lvay resull finn:
lhe negligent aots, onissions or willful misccnduct of tlily in &c perkrrnance of its obligations
nnder this l,ease. City's obligalions ur:dei this Scction 9"8 shall include. but nat bc lirnitr:d to:
tAl 1'he duty lo prorriplly acccpt tclder af defcnse and
pr*vidc dcJensc lo Devclal:cr at {iily's {)wn expcnso.
7ll4 1 l{}lll, lj3l2.7ttx
ttcad\l lAl"'lltvurherul .loinl Vc*turtl:hiiie I f"lJosir:l llnr:s
t:Itar'c {*'i1h npli{)n 1{r l}srchilrcl v-'{
(n"l 'l-he elut1' lr-r indemnilv and dr,lbnd l)evclcpcr li'om any
Clainr brouglrtr by or on bchall'of Citv's agerrls nr cmployr:cs, 'l'hc {trlegoing dr:ly is specifically
and cxplcssly ir.rtended to cnnstitr"{c a rryaivsrol'City's irnmunity under Stashingtor:'s lnduslrial
Iusurauce AcJ. it(J W 'l'illc 5l. as respects Dcvcloper r:nly. rvith a lull nnd conrplotc int{cninitl'
ard rlufen.se ol.' [-lairns lradc by crnployees nf L]ity, 'l-hc partics acknowledge that these
provisiei:rs wcrc rnulually negotiatccl a$d ;igrced r:pon by thenr.
(C) ln the evenl Dcveloper incurs any judgurcnt. award,
andlor cosis arising tl:orcllrlm, including attorncys' lbcs. 1o cnlbrce the provisions oi'this
Srctirxt !).8. nll suclt {'ees, expcnses, and cosls :hHll be pnid b1, Cil.v.
Notwithstanding the provisions containcd in Subsection 9,8 above, City's
tibligatiorr 1o irrdenrnily llcvckrpsr shall not exlend 1t:l anv Clainr to llic cxtenl caused by the
negligcnce of l)cvclopcr nr an.y of the Devcloper Parlies. nr by hrcach nl' lhis l,r:use by
lJevclopcr'.
10, Ur:ndernnation ql lhe Propeilr,
A. lintirc Cr:ndenrnation. If thc Lcassd Prcnrises are subjecl lo a laking in
wlrolc by rorlineul domain, ur conveyed under a threal of condemnalion. this Lease shall
aulonlalically lcrminale as nf the earlier nf the date tille vrl sts in the condcn:ning authority or the
condeiruing auiharity {'irsl has possession of thc Lcascd ltrcmises and all Rcnl, ancl othcr
payment$ shall be paid 1.o that clak. City slull L:e entitled to thc enlirc arv*artl frorn *re
rondcmning aull"lority atlribulablc lo the valuc of lhc l.cased Premiscs and Developer shall rn:*e
no claim for thc valuc ol'its leasehold.
B. Parlial Clou<Jemnalion. lf less lhan all nl srrhstanl.ially all rrlthc. Lcascd
Prr:lniscs shall bc laken as a resull ol'the exercise ol'lhe powcr o1' enrinerrt ckxlairr, then
levelopcr may. iil its option, lern:inale this l,case by rvdtten nolice to the City, ll'the Lease is
so lentrinaled. dre Option l)ayrnent slrall be relurncd to Dcvi:lopcr. lf the l.ease is nol sn
tcminatccl, lhis i-ease shall continue in lull lorcs and el'fect as lo tl:e remaining l.eased llremises
and thcre shall i:e ,:o abatenrcnt of Renl or ad.iustrr.rcnl ol"lhe Pulcltase prie.e"
11. 6;.!ig1yneg[*$rblq{.ulg.
A. A,slignrlents and other]l'ansfers During'l'r:rm r:1'Leg_sg, l)evckrper shall
not assign" transibr- :norlgage, pledge. hypothccatc or encumher this Lease or atiy intercst
thereon. including, but not lirniled to irs Option to purchasc lirc i-eased Premises, or suirlel
the Lcased l)femises rlr an)'paflthereof. rvithoul, Cil1"s pririrwritten conscnt in eaeh insta:rce.
2fi411086 A3l2,7 r&
tread\flA1-{{ivgrbeud,loilt Vfnrure\l,hirsc I {-.i$si,tg I)ircs
l{,Itrsr: {lilb oplion to prrrhasci r'}
whicll con-scr:t nray bc u,ithheld by (:itf in its sole discrction: plovided. howevcr. lhal
I-}-rvelopr:r rlay assign or lrar:siel its interssl undcr llris Lcase 10 an alfiliaicd entity tlral: 1i) is
luttder common orvncrshif! nnd control rvith l)cveloper aneilor the principals of Dcvctopcr; and
(ii1 assurres in w:'iting all obligatiuns olDeveloper undcr this i,easc md all l)roicet Agreenrents.
Anl,tcquesl by Develnper lbr suelt cunser:l shall be in wlitilg, which shali se1 {blth ilTe
eletajls as to thc propr:scd assigrtutcnl. trar:slcr, morlgagr. piedge, encumtrrance or sublctting
and hnt'e anrtexed iherelo a r:opy ol' the prnposed nrorlgage, assignr:rent or sutrlease. Arry
atienptctiassignnent, t:'ansfcr. rnortgrge . cricur:'lbrancc or sutrklling lvilltout suclr conscnt shall
he void and shall constilulc a bleach of this l.casc.
B.'!'rqutb{.1gll1]j!SXglli-iltj)ttql_qpr:r, Develnpcr *cknowleelges ibat Ciiy is
rclying upon [he personal knorvlc:dge. cxpedisc and cxpedence oll)eveloper and its principals,
and City would trol have enlered intei this Lease or granlcti L)evclopcr a:r Option lo purchase thc
Optior: Prrlperly, but for lhe persorrai knowletlge, expertise and e.xpericnc.e ol Jsln McKemra
and lJrcrll .lacobsen. and .lolrr [4r",K$nna's arrd Brell .lacnbscu's ruulinued orvnersi:ip ol'an interest
in Dcvcioper. Aecoldingly. thc pcrsrx:s hokling dircct or indircct beneiicial interests in
Devr:loper oth{rr than John McKenna and l3retl Jacobscn lnay trals{br, coltvc:y or assign inlerests
in l)r:vclupcrt sr long as .lchn McKenn* and llretl .lacohscn shall clrnlinue 1o hokl the same
proportionatr inLl;rsst in llevelr4rel and.lohn i\4{rlterina and Brctt .lacobsen shaU collinue to have
I nratelial and activc invrr.lvcrlcnl in tlre. o:r-going rnanagernenl and dcvclopnenl ol'1he Project
unlil Iinal Cornpletiou o{'thc Pro.jcct,
{:. pe.finitiorr Sl._l'ra:g.&:. As used bernin, a "lransfer" includes any
nlortgage. plcdgc or sale, transl-er'. crlrlveyilnce, assigrlrrenl or olht:r elisposition of {ifty*nr:
pcrcent \51%) or t'nore o1'thc toial eiulrlanding voting menrbership intcre sts in Devel<rper (each,
st "Conlrollirtg ln!erest"), rvhcthcr volunlary en' it:volunlary. h1' operaliiin ol larv or olherwise.
ilcluding transfers trt a lrustee in bankruptey. r*t:civcl or assignee ltrr lhc benefit of credilors.
iiny merger^ consoliilalion. liquidatir.rn or dissolulion ol'l)o'cloper and includcs lhc sale, transfer.
tnortgage, pledge or encr,rmbrancc o1'n Contlul.ling Iurcrcst in Dcvcloper. The lern "!r'a:r$l'er"
:;hrll also includc a transfbr cl'interesl iry .lohn McKenna tx Brett .lacobse n tirat violates the terms
of Ssetirx 1 l.B. above,
l?. 'l'itle l0leascri llremi,ses,
A. I|tls-1g lclgsd trc]ds$, Citl, sliall cxecutc ;urd deliver to Developer a{
Closing a bargain and salc deed in the lbrnr rtlacheti herelo rs Ii{lrU!--L {"I)eed") which
shall be accepled b1' Developer, convel,ing I'cc ritlc tr) tlte l,cas(:d Plcmiscs sulrject tc the
Permitted Lixccplions delermincd in accordance rvith scctions 1] and C belorv.
I3. I'itlc Insurance. On thc tllt;sin g Date. City shall cause the fitle
llon:pany lo issue Developsr a siandarcl foverage Olvncr's Poliey ol'Titlc lnsurance (rhcr "Tilie
Policy"). witb lialrility in lhe anrouni ul-the Option Pricc irrsurirrg fee simple title to rhc l.eased
Prentises in Developcr, itgainsl any loss o' dau:age by reason oJ'delccls in Liily's tirle lo the
?$,{l/{}8$ 0i/:?rl8
trcad\l1Al,\l{ivcrbend Joirrt \rcrrtlrr\i)hasr I f'hrsurg Di,cr
t:lrn$c ($'ilh optj{t} tl purcirasc) r,3
l"eased Prcntiscs oihcr tlran llrc Pcrnrillccl lrxceptions. Dcvelopcr ma-v. nl its sole cost and
experlsc, rcqucsl cxtcndcrJ ccvexlge ol entlors$:ricnts to the 'l'itlc l"'olior,. l"nrl the availatrility of'
such cxtended covclags or endorserrrents shall nol i:e a corrtlilion precedcnt to Closing,
llcvcloper, at Dcvelaper's solc ceist ancl expenss- :nay furthel elccl 1o obtain a leasclxrld
polir:y o1-tillc insrrrancc insrrring ils intcrcsts in ihe Leaseel Prern.ises Lltu'ir:g the 'I'ernr.
C. .tr-tlg*|1gyigly, lJcvekrper aclinowlcdge;" thal the Title Llompanl' has
prrrvided De vcluirer wilh a prclinrinaly cormlilnrent lbr title insurancc J'or il:c cutite lroperty
undrr lrirsl American'f ille lnsuratrcc firdel txa.4TA9-73740AV daled Augusl 8, 2016 as
theleallcr srqrplenrculcd (" litle Ccmmilmcnt"1, Develol:cr has apprrrved all of the spcclal
excc;llions sel lorth irr Exhibil_C altached herciu (lbcr "Pcnritled lixccpliorr-t")"
(i) LJpdated 'l'ilk: I{eporl. l)cvclopel shall lrave lltc riglrt to order
a sullirlernenl to the I'itle Conrmitnrcnt a1 an1, lime. f)cr.clopcr shall advise City rvhat
cxccplions 1o title, il'an1,. in additian to lhe llermiited lixceptior:s, will be accepled bv
l)eveloper witlrirr len ( 1 0J days tirlk:wing Deve loper's receipt cl-thc sr"rpplsnenl li: thc 'l'ill{r
CorRmilnrenl; pravidcd, horrever, that D$veloper shall noi [:e cntitJed to ob"fect to
agreemcnts and eascmerrls lhal are requircd undcr llre terms of any Clovcrtuncnlal
Approvals rcquilcd to truild thc l)ro.iect; ol easenrcRts, liens or olher exceptions arising
tlrrough t)evcloper or aily r;f'tlie Dcveloper Parties ol Project Agreemet:ts" and Cib, shati
be rcsponlible lor removing r:r lcnninaling any *dditiclnal cxce;rlions fo titlc crealerl by m'
thrnugh Cify rvi!.hout lhe conselt of l)cveloper after thc Effsctivc l)ale. If Devcloper fails
{c ot-r,ject in writing 1o iiny such arltlition*il exeeptiorrs wi{hin such tcrn {10) day period,
l)evclopcr shall be cleemcclta havc disapproved the same as ,Pennitted lix*cption{s).
{ii) City's Noticc. Ciit1, shall lrave len {101 rlays alicr rcccipi of
Developer's notificnlion within rvlrich 1o notib, Dcveloper wlrether or nol it cleets to culc
or rernove any *l"the disapprovcd cxscjrtions {as lirrrited by subsection l2.U.ij) abovcj of
whieh {lily receives titnely n{}tice pursuanl lo Sccliorr l2,C(i), {-lily's lirihtre 1o su nnlify
Ilcvclopcr shall constitulc flity's clcclion to !1ot rcntovc allsucl': cxcepticns. Notrvithstancling
the li:regoing, Cit1, shall rpnrcve ail cxeeplions it is required or othcrwise elects lo renlove
orl or belble lhc Closing l)alc liu'IJe:velojrcr's purclinse ol'lhe l,sascd Prcnilscs"
(iiil Dcvelopcr's l:h:stinrr. II' City docs nerl clccl lo lemnve a.lJ
exee;:lirns tlisap;rovr:ci by l)evclopet under Ser:fion l?.C{i) (with tlie exr:eplion ol'any
exceptions City is requirecl 1o retr:ervc lhcrcunder), l)eveloper may eiect to terminate this Lcasc
iu:d Optiori by u'rilten nplice 1o City given u'ithin ten {10} cla1,s 1'u,tu*ing tlity's rrolice,
rvhcrcupolr this Leasc and Option caclr shall autonratieally tcnninate, ancl cxccpt trs olhenvise
exprcssly pruvidcd hercin, ncjlber ;rirny herelo shalt have any l'urther rights. duties or
obligations under this Lease. Tl Devcloper docs not clect 1o tern:inate this l,ease. rvitldn llre time.
iiame sel lirrlh hcrcin. dis:lpplrved exceplions thai Clity has noi electcd to renrov* {ancl is not
rcquircri to rcn:ove) shall bccornc llenrii{cd F"xceplit-rus for thc Lcascd Prenriscs,
(iv) 'l'itle \ot Insr.rrahlc, lf titlc is not insurabic sulrjcct otrly tr: thc,
Permit{cd )'lxce ptir:ns i.leterrnincd in lceot datrce rvilh this Leaser. l)eve loper may clcr:l to procccd
r,vith the Clcsing ol'tlrc purchiise of thc Lcasecl l)rsrnises despitc sr:eh rrlrninsulabilit_v-. lherebl,
2R4vurah u:.1)-7itx
trcad\Jl:\l"illirtrbcrui.fpinl Yelture\l'hase i {-llosirrr Illis
lcasc {rrit}r r.rplior lr pun:}rnsr,} r3
acocpting any slrch ]natlels as Fcrrnittcri llxceptirrns. ur Developcr tnay terntitrale this l-easr, by
wyiftr:n notice ta City in whish eveul this Leasc ancl t)plitin shall automaticallf icrtrrinale, anrJ
cxcsl]t as otrheruisc expressly prcviilcd liercin, neithcr pzuty liereto shall have *ny lurlher lights,
clurir:s or nbligations undcr this Lease, In addition, il' City fails 1o rsrnovc anr" additioual
exceplion lhat (lity is rccluircd 1o remove hcreunder, {-lily shall bi: in dekult hcrcundcr atrr-l the
tcrrlr ol Section 19"C helcrw shall apply,
ll. Rg11;SIeUAiiqlr5. in order lo ir:du(s eacir oiher 1o cnlel into ti:is Lease attd
thc transactions con(cniplaled hereby- {iily nrrd Dcvcloper n:ake thc fi;llu',ving re1:resetttiltions
as ol'the lifl-eclive Date ar:rl, if Devcloper *xersises the Option to purchasu thc Leascd
Ptemises, as o1'll"rc Closing llati::
A. Ciry&ff:g$Ili!!!f!. {'ih, represerlts k; l)evelopc:r as irrllou's:
(i) Authorill', City is a r:runicipal eorpoillti()n dul1, et'na,,'teil and
existing urdcr lhe laws ol'lhs State of Washinglnn. Pursuanl tri Ciil, llouncil tnotion ilaled
August 15. 20l?, thu (lity tlouncil anthorizecl i1s Mayul or N{ayor pro tcnr 1o ex€cule and tli:livcr
this l.ease on beh*lf of Citr,. No otJrer aulhorizations or approvals uI'the Ciity (loulcil arc
leqriired lbr (iiiy to lcase the l.eased Prsmises lt Devclcpcr r:r sell tl:e l.cased l'rcmistrr (if
l)r:veloper cxerciscs the Option to purchasr the L,casecl Prentiscs) !t l)n'ulrtper.
{ij) No Corrfljcts, Nci:her the executiitu, delivery not' perlirrnrance
by fliry of its tbligalions u:rder this Leasc nr:r the consnntnralion o{' the transaclions
conlenrplalcd herc.unde.r will constitule a breach ol'any conlrael, evidencc o{' indebtedness or
other financing agreemenl to which City is n parly or hy which Citf is tround.
{iii) 'fitle. 'lir Cit.v's Knowleclge. therc are no licnr, cnotu:rbrantres ol'
lrlb* mallers affccling titlc ta tlrc l,e ased Preruises except as diselcscd in the Tille llotrtttilrnent.
City lras uol enterer:l itlr:r any agreet:rent granling any pcls{}n lhe right to uscr rlr lease all or any
portion crI"&e l,e*sed Frrmises, qlher than {ixeculion oltiris l,oase with Dcvclopcr, nor lias Cily
granled *ny opliol or otherwise cilnrrnified itscli'1o sell thc Lcasetl Prernises or any portion
thereoi'kr any paily other lhart l)cveloper.
{i") No l.itigalinl. 'l'lrcrc is rro litigation pencling or, ro City's
Knoivledge. threatened againsl thc Leascd Preuriscs.
{v) No Ctni.lenlnation. 'l'her"e are no conderrnatinn pnrcc(:dings
pencling tx', ln {lit1,'s Knowlrdge. llrrealonecl against the Leaseel Ptcrtiscs,
{vi) Complirrrce rvilh i-ar,. I'.xcept as dclivercd to Developcr pursilani
Itr thc J'ui'clrasc Agrccmcnl as part of lhr l:ropelty lnibnnulion" Ci1.1'has noi rcccjved aly writlcn
notificarion fronr any governmeDtal aufhority rcquiling any rvo* 1a be done cn thc Lcased
l)rrmises r:r ndvising of any {lanelilit}n {including. without }inritation, hazardous sul'rstances or
rvastes) tJrat would adversely affcet thc uss or devclopmenl o1'lhe l,cased Prcmisrs. Tir City's
Itnowledgc. lhere rrre no hazardous suirstances ul' n'asle prcscnt i.rt, on or undcr thc l-eased
l)rcnrjses in any nlallncr or qrrantity that rvould violaLc anl' applic;rble lan,or regulalion.
\1{'l l/{J${r U3'?7/r$
tre;ltl\l lAj.il{:vlrbrnri Joint Vcnlureil'hrsc I tikr:ing I)tt.'s
to lcrrsc tu'ilh tlplion lo plrc,hllsr'J vi
(\,ji) I)claults. ()ity is uct in dcfault lnd therc lias orrctirred utr rrltcttrcd
eveni that. rvilh nolicc, the 1:assagc ol linre ot' bolh wauld bc a def?ult, tltldct any lralerial
collttaci, agreement, lc;iser. cncunibrance. or inslnttnenl pertairrirtg to thc l,cased Pt'entiscs whiclr
u,ill lle trinding rxr Developer ot'thc Lcased Premises al1cr tlrtr (ilt:sing dcscribcel itr Secticn 1tl
br:low,
{viii) Llitr,'s Knowlerlge, As usr:d hereitl. the tcrtr "lo {)ity's
Kuorvle$ge" trnculs lhc uurrenl itctual ktetu,ledgr, nl" lirtri llansott. i:i:nnomic l)r":vslopr:rcnt
J\4anagcr. :urd llcn Woltcrs, Direclor, I;conornic & Cttuttrtunily Dcvr:lopnrirnt. ful'alily.
Jn lhc cvent that aftei the i:llcctii'e l)atc atld lrierr 1o l,he Cllosing l.)rttc.
City bcconlcs aware of the existurcr o1'any lact iir:chidirrg a I'act r€\rcaled bv Dcveloper and not
knorv:r tn City as ollhe lil-fective Date). that nralies any nf thc rclrrcscttlations sct forlb abctve tto
longer lruc aud coilect, City shall promptly uotill' l)cveloper of the samr:. l1' and to thc rxtcnl
of rlisclosrrre by Citv of any such changc in its represctttatio[s, Develaper ntay clccl lo lcrnlinatc
dris Lease ori or Lrclbrc the clnte thal is lhc later of'{i) fourtcen (l4J Busittcss Days atler
I)cvclgpcr's receipt of such noticc. or lii; i1'Dcl clopcl has exerciscd tlre Opliorr ltt prrrchase lhc
l,eased Prenriscs, the Closing Datc. and thc (,ilnsing Datc shall bc cxlendcd, if rcquirccl to providg
Ileveloper with u mininrum of fourtcc* i1'{) I3usiness Days to c.v-aluale such addititlnal
inforr:ralion. I1'a reprcscnlalior: by Cify is no longcr lrue and accuralri cltte k.l a m;derial breach
[y C]ity. I)evelo;:er shall also have tlrc rights descrihcd in Sccliotl 19.C bclorv.
It, Detglopcr lteptesgnlati*ns: l)eveloper' rcpresenls tr: Cily as lbllows:
|i) Arithcriry. Develo;rr i; a lin:itcd liairility oomptrnv iluly
organizcd and validl3, existing undcr ilre lan's of lhe stalc a1' Washinglon ard has the powr:r
10 can'y on jts business as llr)w contlucled. AII corporate or olhrtr action on the parl ol
Developer and its elireclors ancl shareholdcrs treccssat't, ftrr thc cxeculiott, delivury antl
perlormance of this Lcase has bcen duly laken and l)cvelcpr,r has iull cotporatc pcwcr:uld
autholily lo enl.sr intr:. execute and delivcr this Lease at:d pmfirrnr its obiigations undcr this
I-,ease .
(ii) l\o Conflicts. \icither the excculinn, tlelit'er1' cr pcrfo:"nance
lry Developer ol' its r,bligations unclcr llris Leasc nor llte uutrsumtnation o{' thc lransactiotts
contcmplated hercunder {incduding lhe purehase o1'thc l,eased Prsmiscs iJ'lJevclnFer e"rcrciscs
thc Optian granlcd under Si:stir:rr l7 hereol) x.ill eonslilule a breach uf' atty colltracts or
aglesnlenrs of arry kind to whieh Dcvclcpcr is a party or by which i)evelopel is bound. in*lrrding
bu1 not liurited to any evidcnue al'indcbtedness or othcr llnancing agreemcnt tn whieh l)eveloper
is a part-v r:r by which L)cvcloper is iround"
(iii) All Conscnts Olltained. Nt consents, apprervals, pcrntissions.
auihr.lriz.slior'!s. ordr:rs nr licerrses of any pcrson rr of any liotentnicnial Artiltorit-t'is ncccssary
?s1 I/{}li6 (l3r?.?l! li
trrru.l\l lA1.'d{ivcrbertd l:ttrt Vcnlurtil'it:r,ic I (..lrrsiut: L)tre.s
l{}|{.:asc irf itl: optirn tl plrch:rseJ 13
in ctxrneclion r,r,ith thc cxesutiori. deliver,v and pc.rftrnirancc of lhis l,casc or an). transaclirrn
conlc.mltlated hercb,v. 'l-hcrc is no provision i;r l)cvcloper's gnvcrning (iocurncnts ll'ral u'ould bc
rrontravsned by the cre.culian and dc:livery of this Leasr or" the perlirrmancc. c{'atty provisi*n,
condilion, col,cnanl or other tcn:: rcquired to be pcrfonnccl tl' l)evclopcr urclcr tliis I"case.
{ivl No I-itignti*n, 'l'herc is nrr perrding or, lo i)cvc|-rpcr's I{norvlcdgc.
threnlened litigation. lax clainr. irclion. rlispute rx' othcr procccding of any naturc whalscever
allbcting l)eve lopcr which cnuld liavc a nralcrial adverse elfect on lhc lcgal exi*teuec. power or
opcratiorrs ol Developer or dlc {lnancial condilion ol'lJcvclcper or thc ahility of l}:vclopcr to
pellirrm its obligatir:nl uirder lhis Lease- and Develogrer is nol in deliruli with rcspcl lu anr
Requircnrenls of Larv thal nriglrt restrlt iu any suuh ufi'ccl.
tv) Devclopnrent oi- lrr'cr.f ecl. IJcvclcip*r rcpre:ienls and aglccs that i{'
Dcvclolrc exercises tlte ()ptiol to purchase tlie l.cassd Premises. thc L,cassd l]fenrises wjll he
used srilcly llrr the putposcti Lll'tinrelt dcvclopnrent a{' the Projcct nrr{ rot hc,ld bv l}cvcli:per
fcrr spceulalior.
(rri) I)svLrlopor's Knor,vlcdge. As usctl herein, the lenn "lXrveloper's
Knowledge" nleans the eun'enl actual knnrvledgc of John L4cKenna a.rrtl Brelt .lacobscn,
ln the errcnt thal allel the Eflbctirre Datc and prior to the (llosing Date,
l)cvclaper becomes awrrc ol'lhe eristcltoe ol'any fhst llral make s any ol'the rcprcsentatiurs :;ct
ibrth above ro lnnget l.rue and ccrrccl.I)eveloper shail prctnptly nolify, City ol'thc same. [f and
ltr ilte exlenl of disclosurc by Dcvcloper l:lat:v such cltangc in its reprcsentations. Clily rnay clcct
1o tcnr:inate this Lcasc iand thc Oplion to purchase the l,eased Premiscs rionlained herein) on or
bcfbre 1hc date l.lrat is tlre later r:l'{i) ftrurteen (l4J llusiness i)a1,s alier City's rece,ipl of such
notice. or {ii) if'Dcvcloper has exercisc,d thc Oplinn to purchase the f,,cased Prenriscs, llrc ('ilusirrg
l)ate. and the Closing Date shiill be extenclcd, if requi:ed to provicic Clity u'idr a rninitnuln ol'
fi;urlccn (l4l llusiness Days 1o cvtluale srrch ailditior,al inlirnnrtinlr.
11. A$d5'_r54Jc, If l)evelopet exereises the optinn lo llurchare lhc l,caseel Premises,
I-)eyelopcr acknowler{ges thdt it has had an op;rorlunity lo and has conductcrl a thorotgh
investig;rtio:r ilf thc l,e*r*d Premises and is in all respercls knorvledgeable and fauriliar ia,ith tlre
prcsenl eandilion and stalc ol'repair ol lhc Lcased Prclnises. Dcvcloper achrowledges thal il
will bc ccnclutlilg the purchase of the Lcasecl Premiscs bascd solely upt:n l)cvelo;rcr's it:speciiorr
atrd invesligation o1'the l.cased Prernises and tlrat the l,eased Pretnises is being sold 10 l)evclopcr'
in eur "AS-IS" cilr.ldition auri slale o1-repair. a::d u'ith all Jirulls, nlany lrind or nitture ar:d withont
any r€prcscntatii,rtx *r rvarranties: sxprcss, implied or statulory" iiXCllPT AS SPECII;ICAl.l"Y
SiJT FORTIi I}; 'I']-IIS I.I;ASE, TIIE PUITC]I-IASE AND SAL,I] AGITTEMEN ANI) 'I'HIi
DL,VI,l,OPMnN'i' A$ltnliMlihil". CITY [4Ali],S l*iO REPIU:SUIi'IA'ftONS Ot{
wARRAhl'l'1l]s WI-IATSOHVHIi wl'lH RlisPlic'f '10't'Hli t,i{YStcAL co},,tDil"t0}'J 0R
vAl,llE olj I'ilE l,llAsriD PRnMisEs,'I'Hii l,l{llsliNc:E oR AusENcti oF I,IAZARIIOUS
SLTIJS'l'ANCIIS oN "l'l"ln LIIASED PRHI\4lSLlS. SOIt.S CIONDI]'|ONS. OR (]11tLR
PilYSlllAl, Ci-IARA(:TIiltlSllC Ol;'11{ll LIIASIjD PIt}':MlSliS OR ]'l-lE St.:I]'Allll.ll'Y 0:;
')N4I t1\1h {}'\/27III
i{crrldlAi,illiyrrirtrrd .loirrt \'{u}lrrrrll)h*sc i {'k:rrng Ihc:
luusr lrvillr rr|ttiur: tl) putrlinrli) v.1
I]INDII!(i LTPON DIJVE
L:L{JSING. TIlIS SECI'I
'l'HI-; LIlASlil) Pl{Ul\{riins [,{}lt DItvLl.()FER',s lN.l'ltNt)t;D DEVELOpMriNT. c1'l'y
MAKES !\iO RIIPRESLN'l'A'l'lON \\/ltA','SOliVllR Rti{iAlilXNc -flIE ,rlNANill,Si-
l;liASIIlll-l'l"Y OI; 'l'lJf PI{OPOSIill RI-;.D[VHL0}'\4li}'j'r {lF 'l'llti I.I:ASID PRLL4lSliS,
Exccl:l as specificrlll. set iirrth in *ris Lcasc rx in the Purchase and Salc Agrccmenl. uirorr
recordiltg of ths Deed 1o the Leascd llrett'riscs. Devcltper"shall bc dccmcd tri lravc irr:cu1:ted the
l,uasctl Prentiscs il its "AS-lij, \\/llf':I{Il-lS" condilion ancl statc olrcpair anci eloes hercby
"rtrivcat:d rslcasc (lity, its ollir:ials. oJ-Jicgrs. {:mpk}),ecs and agcnts iinrn an1, and all claiils lbr
dantages. losscs, liabilitics, cosls and e.{pensc w,rals{)cver {inc.luding. u,ilhour lirnitation.
reasonabie tltcx'levs' I'ces anLl costs), rvhctller dilecl nr inriilsei- krtr.ru,n or unkloq'n, lirresccrr or
unfotcseen, whiclr nray nrisc ott acc{:rnt olor in any way arising oul oJ'or in eonnctrtirrn with tlre
physical cr cnt,irttltnental coneiilion of' the Lcasecl Prunrises or iiny l{cqriletncnts ol l"aw
applicable thercto. l)llVlit,OllR l..lERr".nY SPllCli:lCAl.l,Y ACI(N()WI,ltl)fifs TilA'f
DiiVELOt'l::lt IJAS alARl;l;ULLY Rlivlgwlil) '!'lllS SECl-l()N A\O IllSLlUSSlil) ITS
MT,ANINCJ WI'I'H I.I;GAI, COI.]NSIJI, OT: I]"S L:IIOIC:I'. TI:A1' DL,VI:I,OP]:R -IS }:'tJI.I.Y
AWAltll Of 11'S COl{Sl:.QtJENCtiS. Al'iD 1-I-IAT lllE PIiO\tistf)\S (")l: 'l'HlS IiHCTION
ARIj A l\44'llil{1,41, PAt{'l Ori' 'fllts A{it{t-rriMr.iNT AND Allli t}.rTIiNDIIt 'i'o Br1
1-()pul{I'fS SIJCCHSSORS AND ASSIO$*S N'OUI ANI) A'i'
tjlrvtvl': closI{fi"gII li
Developcr's lnitials
i 5, eudXjIut$&ggcdgf! to D*velopq's Llxelcisq_r:f OFrlg::JqrfurSltaselhqLqa$id
h'g:]rb-el, As coaditions precedertt 1o Cily's obligation to sell thc l,cased Prcmiscs to
iltvelopcr a:rd Developet:'s cxercise of its Optiun to purchusc tbe J.eascrd Premises. llrc
lbllorving condilions rnusl bc urc:l lr,r lhe reasonable satislaclion of City:
A. Conrgli4llgu]ry9f, f,lqgq;. l)cvelopcr shall lrave nralelially pcrlbrmed.
rthserved attd corrplicd with {'rnd shall be iri cun'eul compliance with) al} ol the crovrrnants.
agr(leulcl1ls. obligations nnd condilinns rcquircd by llris l-,caseas requircil 1u hc perlnnled.
abservcrJ and cornplied with by itprior to or as of the Closing Dntc.
ll. eg:'gctnes$ of ltspro ftltli J'l:c rcprsscnlati(rns crj' l)cr,elnper scr
Jirnh ir lltis i,,case shall hc lrue and c{rrrcct in all :nalerial resl:ccts on aitcl as of ths rlate the
Option is cr.crcised and lire Closing [)atc,
(:. Jrio Bankluggy. Dcvclopcr shall nol h*r,c: {nj applied lirr or ecnsenlcd lrr
tl:e appointlllenl o1'a receivcr, custoclrian or lrus1ee fbr any ol lris or its properly" (b) heeonrc
irsolvent. {cj I'nilcd gcncrally nr;rdmitted in r.r,r'iting its inribility 1o pay its dcbts as they heconrc
clue. td.) bccn consolidatccl, iiqlidaled or dissolved. {e) Jilerl a pctitirxt or ae:rion {'ar reliel'rclaring
to ar)' ledcral or $litlt: baltkl'uptc\,- rcorgar:is.alion. insoJvcncl'. rnr:laloriun eir sinrilar statule crr
any o&er larv or laws lbr the relief or of rclating trr debtors, or {l) made an irssignrirerl ftrr thc
bencfit of its r,:rerlilors or entcred inln an agrccrlsnl olrolnposition rvilh irs *reclitors, nor {g) had
a petitiolt besr {ilcd ag:rit':.tl Devrlnpcr unclet' an1' Itdcral ur stale Lrankruplcy, reorgnnizatiou,
insolvrir:cy-. ttrorattlriurn or similar slatulc, or any other larv clr larvs lix'the relii:t'erl'or relating to
riehtnrs.
234 I r{}Nf} t}'-t 121 l t 8
treii{,il lA l,'J{ il,erh(0{i .tr!iru Vr'lt Ire1]'hrsc I Uiorirri! [)oil
?2 lilxf I\r'it! ol)!i{{l t(} prtru}rilsrl \'3
D. lllltgpl Agrpcnr(:nts, Developcr shall have ;natcrirlly perftrrlred,
obsr.:n,cd nnd uomplied rlilh {and shall b* in curcnl cornlrliatce wilh) all of rhe covcnants.
agreelrlenls, ohligatiorrs arrd conciilions rr:quired nf i1 pursuant 1o ihe Projeet Agrecnrenis and any
othcr permits ol approv$l.s lix' the Project or othcrj agrccmcnls rvith Citv apperlainirrg ln tlie
Propct'{y, or l-cased Prenrises. inclueling bul not linitcd lo iln1, and all cliserelionary or
colrsl"ruoiiou- ri:lated prrrni i ts.
li. Q!IE;. ln adeliliun tn thc fr:regoing;
(i) 'l'hc podiurtr buikling nn tlre Phasc 1 Ploperly shall be lully lramcd
rn
{ii} All lnitinl lnf:'astrucrtulc lor the Phasc 1 irri:;:crly and the i,eased
l'reruises lrursuarl lo the lniliai lnfraslruclure Pc,nnils shall be contplctc and accepted or
dcdicated !: {lily" as applicable.
iiiil A guararrly ol'complelirn rniiperlirnnance b1,}:N!V,lnc. to Cily
fbr thal portirxi of 1he, Projcct on lhe Leascd Prcnriscs in fcrm nnd subslance slbsta:rlially sinrilar
lo the gLlarant),ofcompletion unri perlirrnralce lbr the Phase I Propcrry shall have been execulcd
iuxl delivered to Ciry,
'I'i:e ibregcirrg condilitxrs contained in rhjs Scclion 15 arc soicly fbr dre benefit ol'
Clity. lf any of lhe {brcgoing eorrditions ar"c }rol saiisfied, City shall have tht: right, al its sole
elcction. lo waive the conditir:rn arrd procecd with thc sale r:f the Lerserl Prenrises,
16. Dn'qloperls Cqnditio.rls_l'recedent j$_gb$rlg_a'llufc.lrase of L,qas.id llternin$.
11' Devekrper elecls to exercisc ilre O;:tion grnntcd under Scction l7 hereall l)eveloper's
obligations to ciosc thc sale of the Lcased Prenriscs arc sulrjecl to satislbction o1'Each of
the {bllorvilrg conditions, each of which is for the irenctit af l)evelnper ancl any or all nf
rvhich may lre waived by Dcvclopn in writing al its o]rtinn:
A. ClonrJrli.qtce h]' Ciry, Ciiy shall ltnvc malelially performed, obscrved
anrl contplietl rvjih all of tlre covenants. agrccments. obligations and conditions reeluired by
this l"ease to be pcrfonned, obscrvcd and cnmplierl wilh h1, il prior 1o the Ciosing l)ate.
B. Correclrtess ofRep{esenla1iexs, 'l'lre represcntalions of Ciity set folth in
this L,ease shall be true and conecl i:r all material rcs;lcets on and as of th{r ilatc tlic Optionis
exercised antJ the Closing l)ate.
C. Condition r:f ProIg{ly. (lity .shall bs in a position to de livcr pcsscssion of
the i,eased Premises at Closing free and clear of'all lcases, licns irnd cther excoplions
(except fcr the Permittr:d Exccptions) and cxecpl lbr encumbrances crrated hy or through
Dcveloper.
ll. Itlbloliry. l'hc Tille Contpany shall be in a pusil.ion to i.,rsue l)evelnpcr
tire fitle Policy in aceordance rvith lie$tion l4 ancl the Prc l:cnna f-itle Polic1,, attac,hcd heieto as
Hxl-:ib":tll,
2$,1 1 /{}lt6 0.tr?.7/l B
read\l lAl.UaiYerbend Joint Vcnlr:rc'il'hnsc I {llus!ng Dlc*
:3 leasc 1rvilh uyrlirrrr l(t purchusr) !'J
l'he loregoing eonditions cor:laincd in lhis Secticn 16arc solcly li-rr tlie benefit
ol'Devck")pcr. lf"rny of the loregoing eouditir)r')s arc ntrt satisfied, f)eveloper shall have the
riglrl. al i1s soie clcclion. tr-r u,irive llre condiliorr rmd proceed with the salc ol'lhe l,eased Prcnrises.
11 . Opdg::31l'urchasc Lcascd]lqlqi-gg1
A, QpltAgg-fUiqhgig, Plovidcd that l)evelopcr is nol in dclirult under this
l,ease {.incluciing payrnenl erl'any Additional Rent lrcn iluc ar:d owing), arid Deveiopcl has
satislictl all olthe Cnnditiorrs llrcccdenl 1o l]r:r'eloper's exelsi$e ol'ils Oplion hr Purchase the
l,cased l'rcnriscs sc1 lbrt.h ir Scr'.tion i 5. Developer sl'rall havc the oirtion ter purchasc lhc l.cased
Prelnises {lhc "Option") antl l|eLe}ry lr:nninatg this Lease at any tinte prior 1o the lixpilatiol l)atc
by giving nolice ol'its clcclion to cxcre ise thc Option, paying thc Option llriuc scl (brth in Section
I 7,C tncl dclivcring tlrc dtuulncr:ls requiled under Sectior: 18 of tlris Lease.
B. Hxercise_p1'QFtiun. Developor shail give ra'ritten notice ol'ils eiectirrn 1o
exercise its Option to purchnse the Lcasecl llrenrises by dclivery of'writlen xolice to Cily prior 1n
llrc l:xpiralion l)alc as il nray l:e cxterrricd hereun;ier,
l:, lrry_1ueil_tL!).1rtig,L I,g!S. The Option Pricc shall be $10.500,000, less the
purchase price pni<i by Devcloper on thc Phasc I Prr4rertv Closing. payable in cash rn the
Lilosing i)ale. I)evelopet's eai-nesl nroney deposit of $500,00{) rnade under the l)urchase
Agreemenl :hall scrve as ru: option paymenl rurder the Option and shall be applicable tn tlre
Optiern Price al Cilosing. 'l'hc cnlile ar:rount of the optior: paymcnt is nonrelundable to Developer.
except as otlierwise providerl it lhr, l'urchase Agrccnrent, or in this Lriasc,
18. Closinr ofPurclusgjr|l,es&dl&nig;.
A. Cllosius I'rocctlurcs
(,) "Closing" shall oeeur rvhcn the Deed conveying titlc to the
Lessed Premises tn l)cvcloper is recordetl. ilre Option Price has bcc:i disbursed 1o Cily and
I)eveli:per has executed nnd ciclivcrcd tlre eiocurrcnts rcquired undr,r Scsticn 18.C belorv to
Cit1,. 'fhe Closing shall be hcld at thc olficcs oll llscr*w .Agent. The Closing Dalr shall be on
a date desigrratcd hy l)cvcloircr x,lrich shall ber on a Business l)*y not less than thirtr, {3{t) days
nol lrols frnr ninely {90) days ftrllou'ing rxcrsisc, of'the Option. Sric,h date nray no1 be
cxtended q'itlrout llrr.: wrjtlen np;iroval of' Citl' and Oevcluper cxcl:pt as otllerwi$l1 expressll,
provideri in this Lcase. All ilucutnents shall be deerned delivererJ ou the date lhe Deed is
rccarded,
{iil ln the event the Closing does not o(:cul r}lt or irefore the Cllosing
Dnte. l-".scrou' Agc:rt sltall, unlcss it is notifiecl by botfr parties to the contrary withiu fir'e (5)
days afler the Closirrg Date. rcturn to lhe depositor thereof itetns u{rjch may havc been
d*posiLed herettndcr. Any sucl: relurn sirall lo1, l:orvever, relicve either parry hereto of any
liability il r:ray have lor its wronglul lailure 1o close.
,rl4l10*6 t)3/27IIti
trrad'rl Idl.!,lt ivcrhcntl .loint Vrnturc'rl)iriise i {'LrsirU I)or:r
:4 k;rsc {u,ith iption irr pr[eirr**] r3
11. Deliv{rrv lty City. On or pricr to llie Closing Date. City shall deposit rvith
llsr:row Agcnt. zurd shall dcliver copics lo Dcveloper to lhe extenl nul previously dclivered
priorlo llre (liosing. the follnwing:
li) 'l"ire Dccd to lhe Lcascd l)rcuises in the Jbrm ailacltctl hcrcto a-c
Exltlbil j: exeeuted by C:ily jn recordable lonn couvcying fee simplc litlc to the Lcased
l)remises fi'ee and clear nf all licns aud encurnbrallor:$, except fiir thc lernritlcd l:.xcep1ions.
togrther with a duly excculed re*i estatc;i{fidavit;
iii) Afljdavit executed by City ivhjch satisfics llre requircmcnts r:f
Section I445 oJ'lhe Unites Stales hrtemal Rcvcnuc Codc rcgarding firreign invcsleirs; lolicy;
(ili) tiily shall cause llre ll'itle Conrpany 1o issuc Developer the 'l'itle:
(iv) Such resolutinns, authorizations, ccrtif:cates or other cor?otate
docuilsnts or agrecmerlis relating lo City as slrall be reasonably rcquired by Dcvclopcr or thc
-l-itlc Llornparry in corurection rvith tliis lransar:tian: and
(v) City's share af Closing Costs
C. lJeiivgrv bv l)gvelorrer. On or beft:]re the Lllosing Date, Dcveleiper shall
depr:sil lvith llscrow Agenl the Option Price {less any ad.justnren{s authodzerl undei this l.case)
and shall deposit the lollowingr
(i) The Dsed duly exccnted by Develnpcr in tecordablc ibrrn,
tcgclher rvith a du11, sr*.rt(:d real cslate excisc tax allirlavil;
(ii) Such rcsolLrtions, aulhorizatirins, cefiilicates or otlter ordinances
or agrcerrcnts relaling io lleveloper as sirall be reasonabl)'rcquired lty City or ihe'l'itle {inmpanl'
in connectirur u.ith this transaction: and
(iii) I)evelnper's sharc of (.losing Corts
l), Crity's Closir,g Costs. ln crnnection rvith the Closirtg, City sirall pay
the real estate excise tax. if any, the ccst cf tlrrr'l'itli] Poliey wilh liability in an amuunl equal
to $c Option Priee to lhc extent ol'the premiun: tbr standard {rlvncr'li soverage! anc-halJ'nf
Lhc eser'ow lecs aud Ci{v's attomc\'rs 'lcss.
,j. Developcr's Closing Cosls. l:r connectiern with the Closing. I)eveloper
shall pay the cosl r:f {lie Title Policy to lJre extcnt in exuess of lhs prerniunr fnr standard
owrcr's coverage. togclher rvith all endorscmerls to the'l'itle Polir'y requcsted Lry l)evclopcr, the
r:r,rst ol'arly slrvcy rcquired bv'l'itlc Company il'l conncc{inn wilh the'J'itk l}olicy, one-half of
2lt4li{t|6 0l,??rl tt
trcadil{:\l-\l{ivsrhcrrl .lliril Vcn'turc\l'ltltss 1 l]lei.,;inp Ducl;
fi leasc lwitlJ .rption to pIrehosc] \',1
ihe escrcrv tees, all recording lbr:s, a1l cosls assrtcinlcd u'ith l)evelopcr's financiag. inclrrrlirTg titlc
prc:riums and rccording eost-r; a:rd Deveioper's altorncy's lbes,
F. Pron*inns. All revenuc anti all cxpcnses olths Lcaseel Prerliscs {othel
tlran real properiy l.axesl lu lhe exlell nol otlrcrwisc payalrle [ri; Developer undsr this l,e.ase
shall be plorotcrl as *{'thc {llusing l)ate. Becnrse (lit-v is exenrpt fi'omrcal pft)peil.y laxes^ no
prolalinn ol'rsal propeily laxes, special asscssnrenls or surfRce. u,alcr r::anagcmeut chargcs is
rcquired; ltowcvcr, I)cvelope:' shali iie responsiblc l'ar graynrent of allpropcrly 1axcs, inclnding
spceial asscssmcnis and surface water manrgen:cllr cl:argcs u'lrich riil'cel the l,eased Prcnrises
l}lrn and a1ier lhc Clnsi:rg Date.
C. Bqqgd!3jgg ildQSliygry*Sl LlAC!!0Clr1A. llrovided that liscrarv Agcnr
has nolreceiveel prior u,ritten noljce fi'rxr r:ithsr palty that an,r,eondilion sel loflh eisewhcre
in this Lease has not bccn fullillcd. Isgrou' Agcnt is authr-rrized anel instmcled 1o take the
fnllowing actiorts :u:d record thc {'ollowing dccunrents in thc oJlicial rscords of King Cuunty.
Washinglon on the Cilosing D*te pursuant tn foirrl cscrilw inslructians lo bc cxecille.rl by City
and Dr:veloper:
(i) {lccorri rhe Deed;
(ii) Deliverlhenttdavit dcscribed in Sectinn 1ll,ll(viltoDevelopex
{iii) Deliver ths cletsunrenl.s described in Seetinn l8.B ln Devclopur
anri deliver the dncurncnts dcsurjbed in Sectiixr ltl.C to Citl'.
l-1. Notiliuation; Closins Slalernenls. ll'llscrow A genl cannot cotnply lvith
the instruclions herein and 1o br: pruvided within the tirne peliod sct by the parlies, lscrow
.Agenl isrolaulhorized to causc thc rccr:rding of tlrc tbregoing clocuments. ll.Iiscrow Agent is
rnable to eausc the rccording, Iiscrorv Agent shall notily tiity and l)cvelopcr at lhe addresses
set fodh it Seclion 23 bcluw and shnll., upon fivc {5) days prior wittcn noticc. relrun
aulcxnaticallv all dtrcurlenls and nr"rnieslo tlre parries rlepositing the same. tvheteupon llscreiw
Agerl shall be relc*sed liom all firfihi:r obligations as escrow agenl hereuntler. Promptly
lbllowing the {"ilosing Date. all closirrgs stalcrnclts and documenls to be dciivered tc City and
Deveiopcr shalltre deliveierl 1o L.it-r and l)evelnper atthc addrcsssel lirrtir inSection2-ibelow.
l. Postegiq!. l)cvelcpr:r shall bc cntitled to pussession eif thc l,cascd
Prcn:ises on (llosing, lrce and ule;rr olall lirns, lcases, eucunrbranccs and cxceptions o&er ti:an
ths Pei'rnitted F,xceptions and all licns, encumbransrrs or other exceptitus arising threrugh lhe
actions of llcr,eloper rlr any ol'1bc lJevcloper l'arlies or any afllxiir respeclive agenls, cmployecs
r:ir er:risultn:rts.
llt.l t ltlS(, lj l l21 t lU
lruodll lAi,'rtivcrbonrt Joirrt Yenturc'i[']rnr-r' I ('ldling l-!rs
:.6 kasr {rvilh ilpiio,r ta prrrchalej v3
I tl. l)r:Jirult.
A. Ilgvglonsi Default, 'I'hc fbllolving events u'ill eonslitutc air "llvenl of
fle{hui t" try l)c1'( } op{,rl';
(i) Dcvclupcr {ails 1o pay Ken{. Additional llent or 'l'axes prior ro
delinqucncl,. permilling ur rrther l'ecs payable 1$ City ir: cannection with obtaining any
{iovcrntnettt Approinls re<;uircd lo cnrrslnrcl l.hc Proicet, Jails til naintain itrsurauce tlial
suhstantialll, conrplies with Secticrr 9, or fails lo pay an)' other amounl rcquirccl 1o be paid hy
1)eveloper under lhis l,.casc within len { l{)) clays of the date rvben tlue: or
{ii) l)eve,loper (or any othcr rcsponsiblc parr1, ns applieahle) fails to
peribrrn any tratt:rial ohligalion und*r'this Lcase or olher Project Agrecnrents: or
(iji) 1;g1,glop{-:r assigns. pledges or encunrbcrs its rigl'1ls. duries or
ll:ligations undel this Lr:ase in violalion of this Lcase ; r:r
{iv,) Any represcntalion rnrde by Developer set ftrrth in Scction l3.ll
is ttnlrue ur breached in any matcrial re$pecl and l)cvcloper fails lo nolily City as r:equired
therein; or
tv) A petition for bankruptcy is filed by or against Dcvcloper or if
Dcvel*per maLes a gcncral ;rssignmenl lor thc. benefit ollhis or its creditors, or if a rcceiv*r is
appnirrtecl on accounl af his or ils insolvcncl, and any such pctition or appoinmrent is not
dislrisscd q'itlrin sixty (60) days; nr
(r'i) Arty lnirial Infi'aslructure I'ennits are !'tot pickcd up and paid lbr
hy l)cvelnper lvifhin liiiccn (15) calendar days of the latcr ol: thc closing dare of thq Phase 1
Propcrty r::r (lily trotice 1o Devcloper lhal lhe lnitirrl lnii'aslluclure lrcnnits arc rcady lirr issuance;
0r
{r,ii) Develnper fails to "conlmcnce constructioa" within thi,ty (30i
cals:rdaf days of the later of: thc closing tJate r:fthe Phase I Propcrty clr the dale Developer;:icks
uplpays lbr tlic lnitial Infrasruclule Pen'rrits {the lcrm "rollllrenco c*nslruclion" a$ uscd herein
shall meau al a ninirrum the ccxnmencemcnt of substantial llro.jecl rvork ol thc Phasc 1 Propelty
*nd Phase 2 Prnperty pursuanl to llrc irrjtial hllaslruclure Pcnnils with notic.e lo l)eveloper's
genetal conlraeltlr L: prnceed and r",ornurcRccltleltl of actual on-site conslrtrction aclivilies on a
cotrlinuous basis as pcrrnittcd Lrnder tire Initinl Infiaslrustrrc l'ennits, provided, however. fiat
lhc foregoing rvork with respcct lu tltc Phase ? Properly r:nly may L:rlrilnence, in Devclopcr's
disr.t'etion, not laler tha:r lwelr'e {12J nronths aJler the closing date of ths Phasc 1 J:roperry); or
-l8,1 lrLR.t A3/27t18
rrrl:tdll lrtl-iRiver bcnd .lnrnt Vcnllrc!1,|air I { ihnrng l)trcr
li:|l{c (1fllh riFlit,n to Iiltchilic, yJ
iviiil llcvelnper closcs. on lhc saie and coll\'(-r),:ll:ce n{' the Phasc I
Proprrly. ir: wl:*lc or"iu pafi. plicr to [)cvc,lr;per's subslanti;rl cunri:letir:n of tltc podiunl building
orr the Plrase 1 Fropcrty or ollrenrise violalcs all)i tr,r11 or conrJition o{'1he Negativc Plcrlgc
Agl'ccrrncntl or
{ix) Constructior: ur llic lrhasc I l}ropcnv is haltcd lbr in rrxcess of 180
colsecutive salerrtlal days. :;r.rbicct f o l-ori:e \4a.ieutc.
11. eity Sernedics ulaL,llcijrl-qpcdycrl gl_Ag&u&. llpnn ln1, L,r'cnl ol'
llciault l.ry l)n,elopcr" (litv shali givc Devclopcr u,ri11{:n rrolice of tlrc, sanrc, r,hereupor:
lollorving recl.ipt ol'suc,h u,riltcri noliee l}:velnper shall have lhirty {3{}) dayr rvilhin rvirich to
cr)rru1rence all neccssary action to Lrurc any such llvenl of Dclault (and if sueh c,urer js
commcnccd, praceed 1o rliligcntly cr-rrnplcle.ruch curc rvithin a leasonablc pcrioclo1'tiurc), except
with respect to l"rve:rls olDelault set lrrrth in Sesli{}r'r 19,A(i). (iii}. (iv), {vJ. {vi). (r,ii) cr {viii) {irr
rvhich no cure perind exisls be.yund llre time pcriod stated therein. ln &e event I)evelopcr lails
to *ure such livcnl rif Dcfauk rvithirr thc linre peritrel scl lbrtlr;rbove. then City nay clecl tc take
sither *r bnth i:f thc f'ollowing aetions; {a) rccover Rent. A<tditional ltcnl, Taxcs, pc,nnilting atrii
application lees and any and all other rnonrlary uharges drcn dltc and payable by Devclq:er
undcr this l,sasc or o*er Prrrjccl Agrecnrents, tcgcthcr with iutcrest thereori *t 1he ratc olleiglrt
percenl (lt%) pcr lrnrlum lrom tl:e date duc unlil paid in t'ull; andlor {b) te:rninate this l.ease
(includirg the Opliorr to pu;chasc 1l:e l,eased Plemiscs] hy giving Developcr lhirly (30J days
prior written r':otice r"rfsuch lclrninaliixr as its sale ancl exclusivc remedies ftrr su;lt default,
{1. City .llqltqlllRqrrledics. lf Clty lails without legal i:xeuse lo perform
ar:y uraterial obligalion under il:is Lcasc, rrr under thc Dcl'eloFrncnl Agrecntent, l)cvcloJ;cr shall
give Cily written nolicc ol' sanre. wl:ercupon iirllerwing receipt r:f suclr u'r'itten xcltice, City slrall
harrc thi$y (30) days r,vithin whiuh to comrllenr-:c all nccessarv action {.o oure aly sueh failurc
(and il'cure is ecmnrenced rvith sr.rch thirty t30.) day period. procecd to cliligcntly eomplelc sr.rch
crre wit}in nn additional pcririd ll thrly i30) dr:ys), In the evcrrt City lails 10 cure such l'ailurc
rvithin the time period sr1 lir{h abuvc aud proviiiul Dcvcl.:rper is not in elelallt hereunder"
Devcloper shall hnvc the l'ight as ils sole and exclusive remedy to eilirer {i) {enninate this Lease
try giving Ciry utiilcn noticr: o1'srrch lernrination and receive a rcfud ol'the Option Paymcut or
{ii) seek and oblairr specific pr:rlornarrcc af the Llity's obliga{ions hercundcr; providcd,liou'ever.
lhai in the cr,snt !)evelolxr elecls the leru{.:dv lrf'si:ecific pctlbmrance but such rcncdy is nol
availablc b Devclopcr bccrausc r,rf thr liily's prior sirlcr ol convc],ilncg ol'dghts irr *nd 1o lhc
Leased Prcn:iscs to a third parly, thr:n l)eveloirer shall he enlitlecl io Lrring suit ngainst the ility
{irr Developcr's rr:tual- ru1-o1'-pockel third party colls incurrccl in curmecliorr rvitl: l)evelopcl's
lc{rse rrl'and opiion to purc:lrasc tlre L.eased Prclriscs- including withoul linrikticrn l}eveloprr's
costs incurreti !n construeting ald irsLaliirrg Initial luliastructurc, i{ any, all crf which cosls rllu$t
be substantiated in back-up elocunrcntatior reasonnbly accepLulrle lo f)ily. and prervided funJrer
that in no r:verlt sitall Dcvclo;)rrL'ri recrivcly of such costs fi'om Cily cxcccd the sum of Orrc
Million f ivr Hundrecl Thousnnd l)ollurs {S 1,500.00{}J.
D. Waivel ol Conssqusntial and Punitivc l)amages. llach o1'Ciry and
l)g!,clqrpcr ruiive any right trr sue llrc otl:cr party ftrr s6,',r..',t,entiol. iricidental or punitir,c
l 2E4llt\86 01/27ilX
trcadlllAlillivcrhcflrl llrrl Vrllrrrrlltlrtrc i 1'lrsire I)ir::
:t |:ace irrith cp!ion tr, purrhrr.i r,3
(larrag.cs. The ltrttvisions ol'this Section 19.D shrill survive Closing trr te rr:rirratiorr ollltis J-casc,
Notlring r:ontaincd hcrcin is inlended to rv:rivr: eith*r party'r right lc irreltrmuillcatioll uudcl
Seciicn 9. Citi,'s lighl ta rccovcr t{ent. Additil:nal ldent, Tnxr-:s. pcrrnittirtg *urd applicalilrn lbes
or any olhcr rtnounl rvirich l)cvcloper is oblig*tcd l(l payl wlrc{her ciuu"actclizcd as Rent,
Ariditiul;rl Rcnt or r:llrerwise" uneler this l,ca.sr: or llte Dcvcloprnent Agrc:crucrl.
l.,. llishts arttl Re;r;cdies Cumulativc. l:xe ept as otlrr;ru,isr cxliressly slatcd
irt this Lcasrr. thc rights iurrl rr:r:redies of the par"lics are culnuhlir,t:. ;urd thr cxcrcise or failule 1cr
exsrcise {)nc or rncrc ol'suclr rights or relnerlies by eithcr party shall no1 ;:rccludc the cxcreisc by
it, at thc sarne lir:re or dilib:"ent 1imes, ol'arry light or rclncdf iir thr"-. sanre dclirult ol any otlicr
delirull tr1, thc o{hcr parlv.
2A. I:bzardeqs :iub,st3111gg5. h,xcepl in aceordanee u,itlr |nl'ilonmcr:tal l,au,s.
l)evelopcl slrall not cause or perrnit any I laznrdrlus Suhslanccs Io frc bxrLrghl upol. ltr":pl nr uscd
itr or abctrl the l-easccl l'renrises b}' l)evelnpel'. an), oj' the l)evclopcr P:rrtir.rs ('r any of thcir
r'{lspcstivc agenls. enrployccs, {:rxrlractors nr intrilees, willxiut llu: plinr wrilLrn ronscrll of City.
I f l)er,elopcr breasl"ies its obligatiilns $e t lofih nbol,(r or i1'the plcsr"rncc nl'l lazardinrs Substiulc(rri
ein or abr:ul thc Lsased ltrcmises caused or pcnnilled hy L)e vcloper or an)' r:l'thc Jlevelopcr Pa{ics
results in ccinlarnination o1'tl"re l,e*sed Plemiscs. llren Developer shnll p:'olecl. del'encl.
indenrnil-v' and hokl City harmless J-runT and againsl any and all clainis. judgnrents. darnages.
pr:nahies, {ines. cttsts. liabilities or lossus (irreluding, rvithoul limilrtiol, diniinuticru in valuc of'
the Leased Pre:nises, darnages arising lion: auy adveLse inrpact or markctabilit.v ri orher
prcpcliies owned by City, urd suns paid in seltleruerll u1'clain:s, allunrcv':; {'ees, consultanl f'ecs
and cxpcrt fees) r,vhich alise during or allcr tlre Tcrm oi' lhis l"c;rss as a rcsull *f such
eorlamin*lion. l{'the preserrce ol any llazardous Sirbstancr: on ex' abnul thc Lcased Pren:ises
causcd or permitlcd by Dcveloper or alry ol'the l)cverleipc:: lnrtics rcsulls in any contauiirration
r:l{'i,hc l.eascd Premises, or causes llre Lcased Prcmises to bc in viclation ol';iny llnvironmcntal
l.arvs. Dcvcloper shall prrurrptll,lake al its solc .rxpense:rll ae,lions necessar)l 10 rctunl the l.cased
llrcmi-ses lr: the condilion existing priar tr: 1he inlroductiol of sucli I lazurdous Sutrstnncc and in
con:plilrrec witlr npplicnbJc linvironnrcntal l,aws: prcvidecl that Cil1,'s approval shall l'irst be
l'rad and olrt;rined. which approval sirall no1. bc uurcasonal,]y u,iilrlrcld so lo*g as such acliolrs
rvoulcJ ncl polculially lrave aly rnaletial adverse long-lcrnr or short-ler:l cll'ect on thc l-eascd
Plcmiscs. 'lhis inderlr:illcnlior"r sirall survivc thc *xllilatirin or other lcrnrirution of this Leasr-r
alrllot ttrc Lllosing ard recordir:g r"rf llre Deed. \otlring conlaincd irr this Seetion 20 shall be
do(mcd Lo constilule or {.:rsilLe an oblig*liorr oleither 1:arty to indenrnilv lhe ollrer pally lirr'
llazardous Suhslrrnces cxisting on the i'rascd Pnrmises prior io tlrc Ffl'betivc l)atr: ol'tlris Leasc
nor shall eitircr pnrty be leeluirctl 1o rcnredialc nn],.. Ilazaldous $uhslilriccs cxisting on lhe
Lcased lirenriscs plior ln the Lfl-ective Dirle cl'this l,r:asc as part ot'its obligalions 1o the other
parly undr:r lhis l"easc. Developer shall pronrlrlly nntili, Citl in writing il'it discovcrs
Haznldous Subs{unccs orr lhe l,cascd l}r'erlises.
21. fil0g of the jrslenc-g, "l-hc pirtics agrce thal tin:e is of lhc cssclce in thc
pc{otntancc etf e.r,cry c:ovenant. turrn. condition. ancl obligation to bc pcrhrnncd hcrr,undcr. All
pcrii-rds ul'tiitte rclbrrccl to hereirr shall. nnlsss o{hrrwisc cxprcssly providcd hereit. includc
Salurdnys. $undays anelleg*llu:liclays in the Stntc ul'Washilglnn. e.rcepl tl:at it'llrc last day ol'
:[4il.r8{i {!3t21itE
trerrlil lAi !liiverhrnd Jorrr{ !enltrrrll'lt;rlr: I l.'lnriu: I }ocr
lr,k;rie lrvrlh irpliru lf lu:ihixr:l r,-i
ary period falls on any Salrrrdav, Sundaf or such lroliday. 1hc pcnriod shall hc cxlcnrlcd to thc nEXt
Busir:css l)ay.
22. (li!.x's Right to l,nter:llre-teasqd llrcmires. City rcscrvcs and shall have thc righl
to enlcr thc l-easecl Prcnrises at rcusonablc limes !'eir the bclrrv listed purposes. {trilowing prior
reasonabie nolice to L)evcloper, {ii1y slrall not bc liable in any n:}{irlner firr any inconve[ience.
finn(ryance ilr dist.rrrbance to l)cvclopcr or frrr any ollrcl darnages arising or* o1'City'.r enlry ontcr
lhe l.,eased Prcmiscs as provided in this Seclion ?2, provideti ility will exercisc its riglrts itr a
rlrallrcr sc as lo rninirnizc intcribrence u'itl: Dcveloper's operations st the Leased l\cmises:
A. Coaditirrn. 'l'o delernine whelhcr the l,euscd lrrcrrises arc in good
eanclition anil whether l)svclol:er is irr corirplianuc wilh its ohligatior:s uricler this Lease.
B. ltqtiqqE. 'l'o serve, po$l or kccp posred iuty notices rrquired or allowcd
under the provisions ofthis Le*sc.
23. *$qql. Any noticcs or olher comnrunicalion which City or l)evcloper shall
desire*rberequircd to give pursuanl tei the provisior"x of this l-ease shall be in writing and
shall bc pcrsonallv delivercd or sent by rcgular mail and registcred or cerlilied rnail or by
fucsirnile transn:ission. The giving of such notices shall be cleenred complete an lhe third {3rd)
Business Day a&er dre sanx is depositeel in a United States Post Office with postagc chargcs
prepaid or on the daie when delivcred rx faxed {provitled the fax nrachiue has issued a printed
curt{innalion o1'receipl). All noticcs s}rall be aeldressed to ihe persorn intcndcd lo tre givcn
such noliet rti llie rcspective adtlresses set lbrth below or lo such olher address as such parly
nlay lbcretorbrc hnve designated by notice pur.suanl 1o this Section 23:
Addrcss o1'City
With a copy ttl:
And to:
?IttI|tIt6 03/}.7III
lrcndtl iAl-\l{ivcrhclld Joint Vcntur*tl'hasc I lir'sinr l)ocs
City ofKent
40i]W. 6owe Street
KenL Washinglon 98032
Altentiori: I(an Ilanscn. Lirrononris l)cvuloprnenl DirccLor
lracsimile: {253) ll5fi"$454
Citl'of Kent
?30 Fourrlr Avenue S0uth
Kurt, Washington 98t)3?
Arlenlion: City Attonrey
liacsimilc: {2531 856-570{:
I'osler Pepper l)1,1.(i
111 i lhird Avcnue. Suitc 300i)
Seattle, WA 98lf,l
Attrrntion: Beth A. Clark
lacsirnilc: t206) 7 49-11) I 6
.t ()lcLsc iu'ilh optirtr tt luruhale) vJ
Address ofl)evcloper:
r\nd to:
:[4 l/t]tl6 03i]?ll lt
l?ra{t'd lA I "ii{ lyrrhtrrd,loinr Ycrhrcil'hnsr I f lLrrinE Dlcs
l4arquec on Meeker I-1,{l
Atln: Bretl,faccl'rssn
?71 1 Wcsl Valley I'Iighway l\Jortlr, Slite 200
ALihunr. WA 98001
I'lAL Real lslale lnc.
Altn: .lonat'han Manhcil:r
?025 First Avcnue, Suite 70u
Scatrle. WA 98121
Alstorr, Courlnage & llassetti l,LP
l4?0 filth Avenue, Suitc l65t)
Seafile, WA 98101-401 1
,Attn: Tlrornas W, Rcad
!'acsimile : {206) 623-175?-
Any palty ntay change the addrcss 1o rdrich lrotir:cs shall be senl bv r:olice 1o llie othcr
parly i:r {he mamrer and rvith the elfect se1 ftx'lh in thir Secljon 23.
24, $utretdlir.
A. $urfend.et. Developcr shali, on the last day of'the Teu:: of this Lcasc or
rrpon atiy earlicr tcunination olthis Lease (except any tennination as a result al'Developer's
exercise of ils Opioll to pul'chase the Leased Premises), surrcndt:r and deliver pcssession of
thc Lcased Premises to City, frec and clear of all Licns ather than those cxisting on the date
of this Leass and those" if any. creatcd ur eonsenled to by City.
B. {qilgftlq $!rqn{l-ql. ll'Developcr {irils lr: rurrcncler tlre l.cased Prcmiscs
tc Cily $n the Expirariun Dare, Developcr shall pay City monthly rcnl in an amounl equal to
onc hundrcd filty percent {l5il%) ol'the thcn luir marltet rcntal valus lbr the i,eased Frcuriscs
as reasonably dclerrrrined bv City. Nothing eontaincd hclein shall constitute the consent,
r:xpress or implicd, of City kr lhe holding ovrv of Dcvcloper alier tire expiralion or earlier
terminatir:n o1'tbis Leasc.
C. HSldjOg-.OygI. ll'Developer, with City's consei:t remains in pos:irssiorr
of lhe L"eased Prenrise s al'ler expiration or tenninatinn of lhe'l'enn. or after Lhc dalc in any notice
given by Cily tc Oeveloper l.enrinaling this l,case. such posscssion by Developer shall be
dce$cd 1o be a rnonth-to-month Lcnancy tcrminablc oil twenly i?OJ days prior u.ritter: nolic,e
givcn at any tinre by eithcr parly. l)uring such monlh-1o-s:onth tcnancy. Ilevelopcr shall pa1'
all Rent in an mrounl erlual 1o lltc firir nrnrket renlal valuc lbr lhe Leased Prcmises as reasanably
delent:ined by City. A1l provisions ol'tlris Leasc. cxccpt those pcrtair:lng 1o 'fcnn and thc
Option ln purchase the Leascd Jrleuises, shall apply tro the month-to-nronlh tcnancy,
.il lease iwitlr opt,{x} l.r pulchrsr:j v3
25. \,lisccllaneous
A. il,$rrclgrcCl]E]]1. This l..case anrl any cxhibits or utkchmsnls h{jrelo
attd lorrring a parl hcrcol. set lorth the crttirc agrcemclt of f)evclopcr and Citv cernccrnir:g
llre l-eased Prcnriscs (in*ludes lhe Oplirin to purchase the l,eased Premis*s) and tlrcre arc !r{}
olher agrcctncnts or undcrstandings, or*l r:r lu'illen. bclween lleveloper and City cclccrning
Developer's lease oJ'tlrc l ,eased Prenrises. .:xcept rts m*) he set I'onh in the P:'cr.icct Agrcr:nrcnis,
l)iscretionary I''cnnils or trlher fiovemnrental Approvals, An1, suhsequerrt modificalion o{'this
I-ease shail hc binding upon l)cvcloper and City only if rcdue rc1 1o writing and signed by lhe parll'
intended 1o bc bound,
3. Not\llaiyEf. Nr: waiver nl' any breaoh by rithcr 1iaily ol any tcrnr,
covcnanl, cnndition or agrecmcnl hele il and ro lailrrc hy cithcr party to cxerc.ise any right or
remedy in r"es;:r:r:t lo any irreach hcrcuneter, shall oon)-lilule a waivcr or relir:quirhmenl lor ihrr
hrturc r:f any such lcrm. cl)venant, condilion (rt agtcclnenl orof an1'strbsequent breaoh ul'any
such lerm, covenantr coudilion or agl'ssnen1. nor bar any riglrt err remedy of such party in rcspcet
o1'atty such subsequcut. brcnch. ncr shall therccei;rt oi'any ltt:r:l, ulanyportion the:er:f i:yCity
cpcrate as arr accnlc.l aud satisfaction or a waiver of the rights of City kr enfirrc.e 1lr* paynrenl of
any oilter ltcnL i"herr or'lhereaf"lcr in dclault, ur ltr lenlinate this Lease, or lo recover possessiorr
nltlte Lcascd Prernises orto hrvolee any olher appropriate remedy which City may sclcct as
herein or by law provided. No waivcr r:f a:ry tclrn, covet:ant. condition, provision or
agreement under this Lcase sliall be dcemed 1o havc becn *rade unless in writing and signed by
such pany.
(1" {l-rnstructit'Ir. lrach agreement. tcrr:1. ancl prnvisiarr of rlris l,,ease tt.l bc
pcrfirnncd b1, I)cvelopu or City shallbc c*nstlued tc, be irorh a covcnrnt and a condition. liach
party will csrry out its obligations under this l.ense diligently and in goocl lbith. Section captiorrs
cot:tained in this Lcasc are includcd for cortvenienct: ol'rckrencc only and lo:rn rro part cl'the
agreenrenl be1*'een thc parlies. As used in lhis Lcase, thc nrasculine shall include the lcminine
altd ticuter. the leininine sliall include the masculius $rd ncllter:" tln ncuter shail include all
gutdcrs, tlrc sirrgulzu' shall ineludc $c plural and the plural shall includc the singular, as the
conlext nray req*ire.
i). Sevcrahililr,. ll'any provisirirr of'lhis Lease or the applicatior: thereof
lo any persorl {tr circurnstance shall 10 any cxtcnt bc invalid or rurenlbrccablc. tbe rernainder ol'
lltis I.ease, or lhe application o{'such pravision io pcrsorrs or circun'rstanccjr otber than thosr
as to which it is invalid cr uncnfcrceable, sirall not be affeeted thcreby, and each provision
aJ' this l,easc shall bc valid and eni'orr:eablc to thc fLrllest exteu permirec'l by law.
E. Ncrtral Authorshin. 'l'hc pr"ur,iriotrs of this Lcase shall be construpd as
a rvhoie aeeording tei thcir courrlon rnctlting anei ntTl stric1l1, Jbr or against any party rurcl
cttttsistenl with lhe trrrcvisior:s containcd helein in ordcr to achicve the olrjectivcs and purposes
?li4l,'t'86 0l,Qlll8
trr:gd\llAl-1llivcrhmd.loirrt Vcntlrc'J,hl{r I f.'}{ritg l}ors
l.1 lcll,ic iryi{h t)rtit,lr lil ])ufchrsrl v.i
of this Lr:ase. liae:h pan-1,' herclo and its srrunsei hils reviewcil and rcviscd lhis Lease rintl agrees
that the nr-rrrnul rille$ ul'e orrstructiolr tii thc eflcel lh*t lin.y aurlriguilics arc to be resolvcd against
llie drafting parly shall no1 be corstrucd in lhe inlcrplelati*n ol'l.l,is l-easc.
F. Nat*rc r:l'Relatio:rship. fhe lcl*lionship helrvecn Clity and Dcvelopcr
ulder tlris l.ease shalJ br solcly that of land]ord and t.:nant and sciler and bu1'er cl'real propcrty
(il'the Oprion is exercisedJ. lt is not intended by this l,,case to, ancl nt:thing cerrriaincd in this
l,r:ase or tlie Optian lo purchase the l,eascd Prcnriscs grar,ted herein shall, crcatc any
parinersirip. joint vcnture or othrr aratgentcnl bclwcen llt"velnpcr *nd City.
C" NO_BUrig!. City irnd l)eveloper each rcprescni t* lh€ olher that
neitlrer is rcprcscnle"d by any broker, agcnl or lindcr ivith rcspeel to this Leasr: (or thc Optiorr to
pureltare the Leasc<i Prsmises conlaincd herein) in :rny manner with the cxccption o{'Matt
KemperulJrnesl,angl-aSalle withrespec{1ol:isrepresentalionolCity. liachparlyagreesto
indr:mnily urd hold thc other pariy hannlcss ll'om and againsl any and all liability. crrsts.
danragcs, rarsc.c of action ol othcr pror:crdir:gs irrstiluled b1, any brr:ker, agenl or finder,
lisensed rtr otherwise, claiming lhrlugir, lnder ur by reasr:rr olthe conduqt oi'the indemnilying
;:arty in ally ntanner whatsosver in conncction wjth ihis L.easc or the op{ion to purchase the
l-eased Premises conlaincd herein, rvhich int'lemrriircation shall sulvive the cxpiration or carlier
tcrmi:ration ol'this Lease, or the Closing o1'the sale ol'thc l.eascd Prenrises and recording of
the Deed.
H" Survival. All provisions of this Leasc which invclve obligariors, duties
or riglrts which have nol bccn ciclcurincd cr asccrt*incrl as o{'tbc Closing Date aud all
representalions, wnnanlies, ooverlants, agrecmenls and inde runifications made in or pursuanl to
this Leasc shall suryive lhc expiration or terninalion o1'tlris Lease or ihe Closing of t.hc sale oJ'
the l-eased Premises and tire rcconling ol'lhe Deori.
l. Recordirq o1- Menroranrlurn. Ncitlrr,r City rlrr Developer shall record
tiris Lrase n'il,houl the $,ritten conscnt of thc ttlrerparty; prr:vidcd, lrowcvcr. tlrat cilhr:r Ciry or
Developer shalJ bavc the right 1o record a h4ernorandun o1'' this l,ease in a fnrm reasonably
acceplable 1o hotlr parties.
.f. Cevcnanls-.[r Run. with t]{Ll4!ld 'fhc lerms, covcnant$, agreemsnls
and sondil.iotrs heteiu conlaincd arc arrd shali be deenrcd lo be coverurnts runrring with the land
arrdthccstatecr*atcd by this l,ease nncl. srrb.iect to lhe prnvisiius cl'$cction 1l hr:n:ci, shall
bind arrd inure 1o the benellt oi'the parties heleto and the ir respeclive srccessors and pcnnitlcd
assigns.
l{. Xqldl5gttruE[ar]" l)eveloper will no1 discriminate and shail ensurc
that all eontractrxs er:gagcd iry D*,elopet in cerru:eslion rvilh thc Proieet contply rvitl all
npplicable fbderal" slate and local cliselirnina{ion laws, rules and rcgulalicns.
?riJ | (.)li6 {r:{,2? / I tl
trcatlllALll{tyerbcnrl Joinl Vcnlurcd!hasr I (llcsil*r I}xr
Itriis iu,ilh o;ttirin to purchast l r,3
1". No 'l'hird l'}artt ltishts. 'fhe prcvisiorrs ol'tl:is l-.ease arc inlcndrd sulely
lirr the benelii ol, antl nra-v only be cnJbrced by. the parlies hcrcto ancl their respective sucsessots
and pcrmille d assigns. Nonc ol'lh{j rights tr obligations of the parties herein $ct ft)flh fol impiied)
is irrt*nded to cttnl'er an"y claim, eailsc of'ac1inn, rertredy, delcnse, lcgal.iustilieation, irrdcrnnity,
conlribution claim, set-r:{'|. *r olher right, wl:atsoevel up(1n or otheru'isc inure lo the bcncfit o1'
any conl.ractor. iirchitect, consuhanl, subcernlrr:clur, workcr. supplicl, nrcchanie, archilect,
i;rsurer, sltrely. lender, inveslor. guesl, lenanl. rlertber ol'lhe pi"rblic, err nll:cr third partics
Itnvitrg deaiirrgs u'ilh an),ul'lhe parlies hcreto or invnlved. in any rlitnncr. irr the l)roperty.
M, !fuirr,Waiveref Govet ql"Etg.!:lj. Nothingc*nlained in this l,ease
shall lcquire Cit.y to takc any disclctionary action rclaling to cleveloprrrcnt of d:c irnlrrovements
to beootrstructed on the l",cased Prenrises as p.rit o{'the I'ro,iecl, ineluding, bul not linited to.
zoning and land use decisions, ncrnritling" de sign r evicu ()r ijny othcr governmcnl:rl approvals,
N, &Ul1gf_A5t!l1ggg9. Iiach party hercl.r) agrces lhal it rvill execulc or:
Jumish such elocurnsnls ard f'urlher osstirances to the rilher or to propcr aulhorilies as may bc
nccr:ssery lor the lull implernenlatiern and consununalion of flris i,caso and thc transaclions
conlrmplated hereby,
O. A$bg:Iy Each nf lhe pclsols signing bekrr,v rejlresenl and rvan'ant
that thcy luve the rcquisite authorill,to bind thc parly orr wl:ose bchalf they ale signing.
AIVFR 0l- JtiltY'mr cll'Y AND l)rivitr.oPrR I'llilil:lly
WAIVE ANY RICI-]]' 'fO TRIAL BY .IURY OI' An*Y CLAIM Al{lSlNG 01"r'f {)l' I'HIS
],i]ASE. WII]]"|I{ERNOW OR HIJREAFI'L:R AR]IiTNG ANI] !/HII'I'I"II1R SOIJNI)INiG IN
CONTRAI:T, I OI{1' t}lt O]'I-IERWISE ANI) Hl-:ItllBY Ll05t,t*", AND AGRIIE lHn j'
ANY S{JCI{ L]LAIM SHAI,I. Bli DEI]IDEI) i3Y 'I]i"IAI, WI'I'I IOI }'I' A .II
'RY,
A}iY PAIT]Y
HHRETO MAY ftl,I]l nN ORIfiINAL COl.ll\''ffiRPAItl' OR {:Ol'Y OIr Tllls SECI"ION
WI'|1-I ANY I]OIjR''' AS WRITTI-:}I IVII)TNCI,: OT iljE WAIVIJIT AND ACREE]\4IiN I'
C OXT A I -r\* Il D I I ER F IN .
a, Conflicts of lntereqts. No nreubcr'. olll:ial r:r ernplol'ce cl' City shall
nakc atty decision relating to this Lease whicl: alilcls his or her perseinal intelesls or the
intcrcsts ol' any corporalion, parlncrship or as$ilcillliol in rvhiclr he r'ir shc is clircctly nr: itrdirectll'
inlele.sted.
l{. W_Officials ErnploJge,s. and Asents. Nir r1,"r",.ltr*r'.
official, cntp)eiyee or agenl ol'City shall be personallv liable 1o Developer. or any $ueccssor
inintcrcst, in the errent ol'riny iJefaull orbrcscJr by Cir1,*r fr:r any arnounl wirich nray beconc
dttc to l)evr.loper or such :;ucccssor or on an), o[:ligatir-rn under the lerms ol'this l,ease .
:r{4 I lflfiir {}ll: ?ll ll
P. \\'AI
ttcrrl\l-l LIRircrtcrrcl,loint VctttLrruillhasc I Cloriru lJcrs
lca.ss {$,i{h (lllir}n t(: pr.lr(rlr0sr} v-l
S. Appliqgblg Law. This Lease shall be construed and enforred in
accordancc with the iaws of the State of Washington, without regard to principles of conflicts
of laws, and venue nf any action brauglrt tet enfurcc this Lcass sirall 1ie exclusively in King
County Supericr Coud. The parties heretr cotrsent to the jurisdictiot of the King County
Superior Court and waivc thc rigbt ro {ile suit elsewhere.
T. Cosnterparts. 'fbis l,ease may be executed in any number of
courterparts, and each such cuunlerparl hsrcof shall be deemed to be a:r original insrumenln
but all such counterparts togetber shall eonslilute but one agreement.
U, Attgmeys' Fees. Except as otherwise expressly providcd hcrein, each
party shall be responsible for paynent of the legal fees of its counsel in the cvent of any
litigation or olher procceding brought 1o enforce or interpret or othenvise arising uut ofthis
Lease.
f Reruainder of page intentior, al I y I eft bl ank. Si gnalure page follows.l
2t411086 ffin'|il\
lrcadll lAlliiverlxnrl Jnint Vcntun\Phus* I t-'losing Dous
;
Ir
l:
!
1q leasc (with option to purchasc! rt
cI'IrY
CITY (}F KEN'|', a Washingtou
municipal ccrporation
Dana ltaiph, Mayor
DgVgLO?ER
MARQUE$ ON MtlI,lKnR LLC, a Washingkrr.r
limired liability company
Ily: The Missing Links [,LC, a
Waslrilgtun Iirlited liability foinlrarly!
its Manager
Brefi Jacobsen, Mar:ager
STATE Ol'W^SHING'I"ON )
) ss.
COUNI'Y OIT KINO )
;.(h lr I
Orr rhis ''Au da1, r.r1 'lV\l[iMlt. _-, 2018, treforc me. 1hc undersigned, a Notary
Public in and lirr tlre Stut. of Udtffi,lufy
"ortmissioncd
and swom personally upp**,*,i
Dana Ralph, knora'n !o mc to be thc Mayor of thc CITY OF KENT. the Vashington municipal
corporalian thal cxcculed the foregoing inslrumenl, anr.l acknowledged the said instrurned to be
lhe fi'ee atrd volurtary act and desd o{'said corporation. lbr the pulposes thercin mcntioned, :u:d on
oath stated tl*rt she was aufhorized to r:xecute said instrument.
i certily that J hnorv or hrvc satisiactory evidencc thal ilre person appcaring beftrre nte and
r:raling thjs aeknorvledgmcnt is thc person whrrse truc signalure appcars on this documelt.
Wl'lNliSS rny hauri and official seal herelo af{ixed rhc elay and year in the ccrtificate
above wryitlen.
r I .! ,
,\ il,t/til1 U'lili[b-
$ignarurl )
Alt'*v, lt\ffr {rrr
Prir:l Namc
NOTAIIY l'tJtJLlC in and frrr lhe Slate o{'
Washitrglon, resiiling nt
My comnrission cxpires
tAu0ttUnJiityr
rit4l?-L'L ..--^..'_..!.-
2fi41l0$fi {}3€?l}8
1*adtl lALil{ivtrbend .i{rjnt Vcnturr.'J}Lrxc I Ckrsitrp Dle"s
37-lrrse {uilh opliot lo purulusc) v3
CITY
CITY OF KI'IN'I', a Washingtcn
municipal corpomliou
Dana ilalph, Mayor
DEVELOPER
t{ARQtltE Of,i Mttt'lKllR l,l,C, a Washingron
liuited liability cr,mpany
liy: 'fhg.{fiissing l.inks LLC, a
Wobhi"gton linritccl iiabiliry corrpany"
its
Brelt Manager
s1'411r OF W
C]OLB$ Y OF KING
On this day nl 2f)18, heforc nrc, thc ru:de,r'signed, a Notary
Public in and forthe State of WashingLon, duly ccrrmissioned and swom personally appeared Darra
Ralph. knowr: to me to be the Mayor o{ the CITY OF KEI{I', the Wasldngton nunicipal
corporalieln that executetl the linegoing inslrumenl, and achncrvledged the sairl irxtrumeni to be the
{iee a:rd voluntary act and decd o{'said corpomlion, for the puq)oses thereir: nrentioned, and on oath
slalcd thal she was aulhorir-ed to execute said instrurnent.
I cexily that I knr:w or have satisfaetory evidenc€ thal the persor appearing beforc mc and
n:alting this ackrrowledgrner:lis thc person whose true signahre appears on this dacumenl.
Wf$ifSS my irand ane{ olficial sealhereto aflixcd the day and year in the ccrtificale abovc
wntlen.
Sigr:tature
Print Nnme
NOI"ARY PLIIILIC in and for the State oi
Washingtr:n" residing at --*_.
My conrnrission expircs
284Uu$* $JR]lttl
ss.
)
)
)
trcarlllIALrJtivrrbcnd Jrrinl Venrurc\t'hasc I Closin! I}tcr
3(l lemc lrritb option ll purchirse) v3
slnrfi or w,A,sll]Nc1"c]N ]
) ss.
{:OTJNTY OT.'KITG i
- .\Ar
On this 5o dav oi' b\o"t&20lll. befcrre me, tlre undersigned, a Notary
Public, in and for the State uf Waslrington, duly comnrissioned and sworn pcrsr;nally appeared Brell
.lacobsen, kncr"'n to me to be the Manager of 'lJrc Missing Links l,lC, the it4anager of MARQUUIi
ON MEEKER l,LC. the linrited liability company that executed the lirregoing instrurncnt, and
aclcnowledgeci thc said insl.nrment 1o be the free ar:d voluntary act and deEd of said lirnitccl liabiliry
conlpany. lbr the puryoscs thcrein merrtioned, ancJ on oal]r staled that lre was aulhoriz,ed to cxecute
said instrurlsnt.
I certily that I knorv or have salisfactory evidenee tlrat tLre persorl appearing belbre me a:rd
making this acknowlcdgn"rent is ihe person whose truc signature appctrs on {ris documerl
WIINI1SS rny hand and oflicial seal hsrelo attixed the day and year in thc certilicate above
writtcn.
*PF ?'[*
lignrtrrc
Tcfiuc-*. *g*r.,.
Print Namc
of
Mycommission expires ll?.1tlo * .
284 t /01J6 03lJ?/t t{
trcad\ll,ll,lftivorbcnd Joint V{[h!njU,h&j. I l:lnsin g I ]oct
-32 -lrasr ($.!ah ofiion kr Frrchrsci v:l
EXIITBTT A
l,IiGAL DCISCIIIPTIOI.i T)F LA:\I}
LEGAL DESCRTPIIO'V
PARCII A;
TlJ0sf P0RIIONS 0f 60VEniJ[.lEl,lT L0Ts 4 ANO 5 iN IHE S0U1H!iESI QUAnr-a 0F SgC]lON :A IOvr{sHlP 22 N1nn,
RAl\l6t 4 IASL W.M., tN KlN0 CoUNry, ]'/A5H"{cI0ru, At'10 litAl P0R1I0N 0r fir s0ulH[Asr ouAft]rR 0r fit
t{ORI{l4rsI 0uARtEB 0r sACI 5[cT]0N :3, Al1 t]?N6 Souftr8ty 0r sgcON0AnY srAr H6Hi?Ay NU[r8fB
'-A
AN0
ltESltRLv 0r JoHN
'011r{€Y
noAD ilO. 722 t54Tl4 PtACt S0U''H).
sxffpr p0fi110N lHtRt0r n IIrD A5 cotoNy Pnfix c0il00il,NluMs A5 Rtc0fi$0 f'l vctuMr Jl 0r c0N00i,llt'lluils,
pAcEs s5 lltR0uGH 57, tNctus'vt, ,1,, KIN$ c0uNIY, lilA5Hlll0r0N;
AN0 rxcEpl IHAI p0n1i0l{ 0F G0vrnNffiNI toi s tN stctl0i{ 2J, 10l11v5HlP ?2 NofrTH, RAN6r 4 tAsl, |t,il,, JN
(,r,t6 c0uilry, l{AsHtNGI0N, 0r5c8'8rD AS rfll0lt/Sr
SICINNING ON lHE Cf:il]T'NUilT OT SICOII'AFY STA]E HIcHlryAY NUMSTR 5-A AT HIGHII'AY INO'I\ITTR'S STATION
16J+00.00 BACK,163+48.2 AHIAO AS St0llN 0,{ lHE STA1[ HIGHIVAY MAP FtARll,iC DA]I0F APPROVAL 0F
JANUARy ?3, '1957, ftEVtSE MAROH 19, 1957, tHr ffNEftJNr 0r wcq ,s Atso sH0ll{v 0r RecORO
'N
v0lui{E '1,
PACE J: 0r fi,OHlyAy PLATS, ll'l X|NO cOJNIv, |IISHINGI0N;
iHtilcf NOR1H 6J5J'J0" EASL AI0NG fiE CEN]rRilNr 0]: sAlD HICHlllAY 549.68 FftI;
ilJri,cE soufi l45l'10'{ffir, 30t.fi Frrl
rHrilct soutH 73'08'5p'lltsl, 60.00 Ft[T;
nENCr SOU1H 14'-51'10'EASI l'9.7J FffI I0 lH[ lRUt POINT 0r 8t€lNl'lll,l0;
tl,$.l0t C0l'lllNU,f'JC 50utl, 14'$'W'[ASI, 166.t4 fffl
]l,u'lcf I'loRlll 06'23'23' {.AST, 55.20 fEtT;
lH[Nrr NoFTH 14',51'$'1€SI, 76.19 F[F*
fffri0E t'l0FlH 4218'110' lytsT, 4:.6S FEIT l0 nf AUf P0NI 0f St0lNl'llliJGi
PARCft B;
T00['t]tE8 tt4lH AN ilsfttfitr ron ,N6Rtss, rcRfss AN0 unulfis As DEscftlEtt 8v Rrconoll{0 NUMEIR
9542020945.
2841trt6il3/2'1i18 ,l
trend\l"lA l-\ll iv':rb*rd Jlj*t \tcrtuldlt'hirlt I l lolirrg l)ai::;
hr;:st frvil| oplion to purchrsel r'.i
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axHtBt'r n
Irl,Il
1C qw-
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LFGT.NF
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(sr:Er)l iiir = too tr
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knat'mr.. )\.r1r,f,pilfi&10*r:ij;J=!dil
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F
)2*,111086 03t21J18 - I
trcrdV lAl"\ll.ilerbrrnd Jotn( Vgllrr4tl'llilsr I l'losill Drts
[:hase
'ATRAC1
A'
)
Plrase ll
PtficFt h"'9
'A6a6
Itlsc irvith optrrrt: tti purchurcJ r,3
lixlunl'rl
t.E(;At. t)ttscRlI'1'loN (}r l.nASIiD Pl{l'll,ltslas
l"{)'1'Sl,;1 i\\l}5Ol:l'1'l'YOl;KliYl'SllOlt'l pl.A'l'NO.Sl'-2{)17'.1.1{ll(lOl{l)lll)1]Nl)l:lt
l{lf('{)l(l)lN{,i N(.).2{}i80i219[]0004" IN l(li''l(l {rOl,:Nl-Y. WASltl}'l(l't'{)N.
2't4)i\til6ttll),j|18 - |
liri*l'l lAl.'ll{ivr:r|rr'rrr.i.lpjril VsltlJlcri}llr\e I l'lliinr lloir
L:;r:r {rr illr *nlirn lir llr::!rir:t} r'.j
)
trxHl'lilT f)
MAI' OF PROI'I]R,I'Y
lrllAl-lllt, DL,l{rr:
200
( rx rssr li ilch - t00 il
10
qi*ffir w
d TIIt 81
{l$
cilf
ilf
fiicow[s ot i]ls gt*l
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trr:adil l.{.1-l,l{ivcrlrtnd loint Vcniurc\l'hast I {llosing l)rrc.r
tt$
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I.EGs;
i_.
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Phas* il
x't
PARCET
PAHCEL
6
)lcarr {\sitlr r4riion lc prrrcharc} v-i
l
IiXIIIBIT tr
LtrcAr, pliscRrpTlqixi orr l'ItAsli I l$Qff liltl'Y
r.,0]'s 1 AND 2 0F Ct'l'Y Ot KEN'f Sl-{Oti.]' PLA]' N0. Sl'-2017-1, RiiCOlU)1I) l"lNl)ljiiL
I{[CORl]ll\*C NO" ?0lti03?19000U4. lN Kltr"C (r01iN-fY. WASIIINC;'l ON.
lS4lrtt'6uir27rlt
tr cail'l l;11..\I{ir crircrrd .loilr \/rntIrr1l'lla\e I {-'losi*i: i )rrs
t-lease (rviiir npiior) l() pur.hnrs) r'-i
TIXJ{TBIT F
BARGATN AND,\ALN DEtrI}
WIfEfi RNCORI}ED RETURN TO:
Thomas W. Itead
Alslsn" Courtnage & Bassctti LLP
l4?0 l'ifth Avcnue, Suite 3650
lenttlc, Washlnglon 98101-401 I
Documeni Title: T ARGAIN AND SALE Dlll'lD
{i'rantor: CITY Of KENT
Grantee: MARQUEE 0N MlillKtl{ l,l,tl
Legal llescription:
Abbreviated Lcgrl Dcscription:
Full Lcgal Description: See ExltibjU! altaehed.
A$sesgor's 'fax Parcel Nos,:
Refcrcnce Nos. of Docurue.nts Rclcased or Assignerl: N/A
gARGAIN AND SAI-II DENI)
CRAN'|OR, the CITY OF KSNT, a Washington municipal corporatian. for and in
consideration ol'i-en ($10.00) l)ollars and r:lher good and valuable consideration in hand paid,
bargains. sellsand conveys to MARQUEtr ON MIIEKER LLC, a Washington limited liability
crrmpany, the real estate, situatcd in King Clounly. Washington, and lcgally described on attached
Ldribil A. subject lo the rnatters described on atlachsd l'lxhibil il,
I'he Crantor, for itsclfaud its successors in interesl" ilocs by thcse presr:nis expressiy lin'rit
the ccvenants offhe dsed to those herein cxpresscd, and excludes all covonants ar:isiug or to arise
by statuiory or olher irnplication. and does hereby covenant that against all pcrsons whomsoever
lawfully claiming or to claim by, iluough or under said Grnntor and not otherwise, Grantar will
I'orcver warranl and dcfend thc said described real estate .
Ztt4ltt)tl(tll3??t18 - I '
trsfidiHAi,\Rivcrbcnd Jtrint l'enturc\Fhesrr I {llosilts Docs
lcusc {rvith oplion tl purehqsc) y3
DATEi)2A1
--lGRANTOR:
CITY OF KENT, aWashitr€fon
rnunicipal corporation
tsy:
Its:
STATE OF IfASHTNGTON )
) ss.
COUN'IY OT KING i
On this doy of 207_..- before me, lhe undersigned, a Notary
Fublic in and for the State of Washinglou duly commissioned and swonr personally appeared
known tc me to be the of
CITY Otr KANT. the Washington rnunieipal ccrporationlhat executed&eforegoing bstrumen{
and asknowledged the said insbument to be the free and voluntary act and dced of said iimited
liability corpauy, lbr tlre purpases therein mentioned, and on oeih stated tlut he/she was autbsri:eed
to execute said instrurnent.
I certify that I know or have satisfastory eviderce that the person appearirig beforre me and
making this acknowledgnrent is the person whose true signaturc appears on this doculent.
WITNESS n:y hand and cfficial seal hereto affxed the day and year in the certificate above
written.
Signature
PrintName
NOTARY PIIBLIC ia and lbril:e Slate of
Washirgton, residing at
My cornmission expires
28dva8603t2'7il1 -2 -
asa.l${AL{tivsrbend Joinl VenlurcU'hase I (Jlorirrg Dor*
t
l
)
i
!
L.
I
li
i
1
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rI
!
l'
I
t'
I
f'I
7.
I
1,
f,
lense {wilh option to purohse} v3
)
Exhibii A lo llarsain and Salc lleed
Lcgnl f)cscription
)
)28411(\*643'2111E - 3
tcad\llAl"\liiverhcnd.loinl Vcn{ure\}'hasc ! lilo,iing l)ocs
Itrirsc (s'ilh oplion to puichrsc) r'3
)
trxhibit lt [gjt{rsain and lial* l)ecd
l'crmitted Excelttiolrs
l
z84t/48663t17il8 .4
trsrd'.]'lAi.illiverbcnd Jt:int Vcnlurr\J'harr i (lltsirt: I )or.i
lca.se {rvith optior 1o purchasc) v3
hl,xnltttT G
LIS OF PEIWTIT'TIiD NXCET'TIONS
1, l{eal estalc taxcs lcvied irul not yct due aud payahle
2, Potcntial charges, lor the King Count"y Scwagc "l'rcatrnent Capac,ity Cliarge, as:iuthorizcd
urrder RCW 35.58 and l(ing (hunly Corle 28.ti4.050, Said chnrgcs r:oultl apply lor any
i:rcpcrly llral connecled ta the King eounty Sewer Servicc arsa olt oraflcr lebruati, t"
1990, Norre tluc or owing ai the i)ate r:f Folicl',
i. Hascmcnt" including tcrms and provisior:s conlained thercin:
Itecnrding lnfomralion: Novcmber 8, 1961
Recu'riing No. fi50q42
ln F'avor ol: Ccutrly ol'King, a munic'ipal corpuralion
F*r': River prrttecliotr
4.. Ilasenrent. including tcrrus and pxrvisions contained thercin:
Iteculding Infonnation: April 25, 1962
I{ecorcling No. 54174(t1
In Favol r:il Caunly of King. a municipal corporation
iir:r: lliver protectiott
5. Easement. inolurJi:rg l.erms and ptavisi*ns eonlained therein:
llccr:rdi:rglnfornation: January72.1964
Rectrrr{ing No. 5694275
In Favor ot-: Ilugel Sormd Power & l,ight Cou:pany
l;or: Illectric lincs
6. liasement, including terrns and provisiexs contained lherein
Recrrrding l:rformatiun: 790424A944
Ferr; lngress, egrcss and ulilities
A{hcts: As ciesclibed *ercir:
7 , Easenrent, including ternrs and provisions corlairred therein:
l{ecording Inlblrnation: lt4l I 160550
ln Favor ol: Puget Sounil Power & Light Company
For: Undcrground clesr'ic syst€nl
!l i{clinquishmerrt nf all cxisling arrd f'uturc rig}rts to light, view and air. togclhcr rvith the
rights of ascess to and fnxr the State llighway conslructed on lands g6n1,1,],eel hy
eior:urnent in favor of tlre Stale of Washingtcn:
Rccorded: April I?. 1985
Recnrding No,; 8504120861
2ta4ll{}86 03ni/18 - i
trcad,J l:{'l.\l{rvrrltcraj Join' Venluroll|Jll?t;e I lilr rsing I }rrcs
bil.c ($ith fiprioil In F$rdh'trlll !'1
9. l:.a$crnenl, inciuding lcrnrs and provisions conlaincd therejn;
Recording irdirnlation: 9502020q45
f ert': lngrcss. e gretis, vehiclc and equipnrent parking and
utilitie s
Affc*ts: As dcscribed thercin
Note a Relcasc of l;irst Right of l{efusal was lccordcd urrder Recnrding No.
:011it523000167,
10. I"lascment" i:rcluding lernis anti provisions con{ailed therein:
Recording lnlirrmation: 9502A2A946
For: Building sctback, palking ancl $rnarcund for corslruc:lion,
operalion and nain{crance of carporl sirucnlres
Affects: As dcscribed thcrein
1 1. 'lelms, covsnanl$. condilions ancl restrictions as corrtainecl in rccorcicd l.ot [-ine
Adj ristu:e:rt {l}aLrndary l,inc. l{c:vi s i on) LL- 94-29 :
Rccorded: Iebruary 16.1995
I{ecordinglnfirrmali*n: 95t)216{}277
12. A documenl cntitled "An:encied and l{estated Grant eif Eascncnu and Levee Easeil:enl
Agreemcnt", executed by and b$lween {)ily of Kenl and King Connl1'Flond CorrrrolZone
District rccorded Augusl 22. 20A8. as Inslrunrctt No. ?0080822000569 oi'O{{icial
Resords.
Said instrumcnl ar:rends and restates tl:al agrcenrcn{ recorded under Reeording No,
?00508130t118r0.
13, The terms and provisions containcd in 1he docuntent entilled "Declaratiou of,Slonnwaler
Faeility Mainteuance Covena'll" rscorded Msruh 9, 2018 us 201803090001 l0 of Official
i{ecords.
14.'l'he lerrrls a:rd plovisions cr:ilaincd in the clocunrenl cnlitlcd "l)evelcpnrenl Agrcemenl"
recorded March l 4" 301 I as 20 I 803 I 400t)845 oi" Ollicial Recards.
i5. Itestriclions, condilions, dedications" nolcs, ensenents and provisiorts, if iury,
conlaincd andlor clelineaiccl ou the lbce of thc City of Kert Sho:'t Plat No. SP-?{}l
r€coldcd Malch 21,2011t as 201t10371900004. in King Coru1y.. Washington,
16. Survey by , datcd iolr no.discloses thc
fnllowing: to be corlpleted u;:on rcccipt and revinv of survey.
t84l/0$6 t)1i27118 - 2
trcadll lA l,\l{iverhcnrl .loint \?rlrlurc\l'lrtrsc I t . lolrns I )ocs
as
"l7
lcarc (rvrlh rrption tn purubixr) r'3
IXHIBIT H
PIIO FORMA TI'TLA FOI,I(]Y
Owner's Polica_
Poliry of Title lnsurance
ISgJlt 8Y
First American Title Insurance Cornpany
r{iueY NUM}|L'{
5011453-898220
Any notic* of clalm and any ottrsr noti* or rtrllhant ln 1' iitng requir€d to be glvet tg th{, C:otnpany qrdet thts pollcy must t e
giv€D to lle Compafly ntthc.ddr€ri thown ln Sectlon 18 ot th6 6ffidltlon6'
covER€D nts(s
:URl€cT TO 7HF LxclustoNt rROFI Ctlv€RAGt, lfl€ EXCFPTiOl,lg FI{OM Crh'r&AGl C{rNrr\tNf;al ll, st!1tl}utl u, ANn 1Hf c0}lDl'lL9,ls,
Fl(,sT AMfnJCAN TfTLf lflsunAt{ef COMPAIIY, n Nebrnski rottr$rr,rtro* {lhs'farrpany") lnsrs, ;s ot Ddle ol folict nnd, to lh€ aront
t tc.i ii {:avered lliek$ 9 axd !0, rfter l}eie of P{rliry, aorinst loss $ drtnagcr. nrt *K!!dnt Ule All,'rtnt ot lnsllattce, $trrlalnriJ ot ix{tlcd l}y llx
lnsured 14 reorrn o(:
l. TiBe beinq ve5ied ather ahan a3 sinted il' s(lxdulE A.
?. Arty defe{t ln or tin u ercumbaarrc€ on l'}a tillc, lhlr Covered liir! irrludqr Ltrt i5 ryi
'i.dilf;ri
to in5uttricc ilgtinsl lole frorf,
{a) i defed h tlre'l'llls raused tJY
ltj lotqery, fraud, uldse i,{luc'rc,e, dut"J!, incoln|Etefrry incpe:ly. or imf eltonalior;(rll iailuh ot nny rsson or Enily lo hdvt a!&oti:cd a lrrri5frra rr toovcylt)ce;
(ril) ndocumd*alfrrllh0litlerotptoptrrt'rrcntcfr.e)aecuted,|.'ik!!f,isrd,scaled,aLklor'rkr,gffJ,noldti;ed,or.teliverlTJ:
{iv} tsih,,r to Frform those act, aEce5sary to ctels d rr€unlmt by shtlrqxlc mearrt arthotiza{, bY ,3w;
(v) 3 documtf qrecuted xnder a ,ildtle4 expi.ed, ol rrhef wise lrvalld Fws ol gf'.otncy.
{vi} n doetrment ftot proFBily lital, r*colded, or indexerl ir lhe Pvblir lte(or.t! iry.l*1fulq ilikrre tc pet,{rrx, ItEs€ a$5 by tllttronic
xu.rE autholced by l.!ti et
(vli] a dcfeclive Judiclal s adtninistrativc pvecdinl
{b) ihe lien ol real ectate tax6 or as-*mefll! imposcd on lhe TlUe by a lover,lmenlei authcnty dua ot pryable, brt unpaid.
iu.! Any crxroachmr-r{, anarmblinmi violrtion, mnabon, or adve$e t.rc!,mslime nliefths the litte that worrlct lts t lgdo5ed try an
arerrmle and complete hhd ixrvcy df ttE Latd, Tic ictfi "eilcioachlI,ml" intludes enar$ad$il{$ts ol erlsilrg irnprilYilItcnt!, ixdKd
on tlc lind srto ildioinino laf td, drd eal(roachments orrk} lhe Land *f .Jslirrg irrptovenFnts locatxl xr irdJolnltrq laul.
:, t,Imrrketrb,e'i-ilb.
9. No rlltrt of aeces !o ani lranr lr]e Land.(covs.d Rirhi C.ntinued on Psgd Li
ltr \ry[r:sr !lihe.6{, firrt &nsican tiile lruurnnce Cfifnpbr}y hns tauscd lts trltor*te rrm€ to lt€ herurlto affrtd by il5 srrt}nrl/cd omcss is ot
t)rte ol Po,l(ry shown In 9chRhlle A
Flrsl Amarlcan Tirte tn,urcncg Cotnpsny
I.rffi
1
First American
*"{seFIftg! nt
W #. &a"/."'rv*.u
,lell8i S l{tnn5oi
iofftlory
{ll;r n6llry ir vrlid orly *her sahedltc} A {[,-l F ft e nrt&rtdJ 7hi,lrd$t wr6 c@ted itffionlrllly rnd colfrituls on fflgln!l dMsl
hrydrhr tOO6-1@e AilrGt6n Lnd Tlrl.lrrrdraln,4ll trrh& E$dr.t.1lr r$ d *i: ro'e q rrit'.d eAa ire wr A.l4 r.**E;. Fft .sdr{.r dilFrilrsl r-
ll oli{. hlr.r t4l'Lrd 8.tffiI r&, rcffi tom t}E h!d[n bryi ldl? A{ddh
A f;wrrcls I'olicy oi
:lt,lll{}l{6 0i/2?/18
trcad\llAl.lltiverbend .loirll VentureiPhosc 1 Llosirrg l)ocr
ir:nsc I l,ith lplion io purcllle) vJ)
7.
B.
r.l,
COWRFD i16l(S tConllnued)
i. ?tre viulnli$tr ot €irfonnmen! of atry lavr, ordinnnft. lxrrrit, ur govennnntal regulaUun (ll!(lu,iiro lhnsf rahlirg to buildit! n.irj rminq)
r':!Bi$ing, reg'r,iatlng, prohibitirg. cr rclatjng !o
(!) Uw {xrlpancy, usc, ot cnjoYnrerll of tle lmd;
(b! lhr: cna€dti, drnxrsilils, or loration oi any lmptovetncnt ctecled dn $F laild;
{c} therubdivlsionorland; o{
(d) envitonnr*tal protertion
il a nolic, derri$ng *ny parr nf tllr I aru,, iE re(orulerl in tht fubllc Resrtlr *ettinq tonh lhc ri6lali{.Jn o'' intdntiot lo cnlorti., bul !t|iy l*
ttre exlenl of Ure violnfiln ot eofor(iemcnt fefercd tc, in:hal notice"
6, Alt cnfon-emcnt adl0n based o1 lh* ox$arle D, a gov?nm€nial pclke power no1 q11'ercd llY Lt{efed &sk I lfa rclim o{fte enfcrterncrt
arliqn, {ts{tiltng any frrt i,f the lnnd, ,s rso'ded in tle plbllc llc.rtd$, b'.t oniy ta l|'e extent ol the mtotcsrnen! telcrted tE i'r i}ul
rillic!-
Itre e*:rcke of the rightr *f eminent dsnrairi lf a tlrli(c ol lhe ereni*. ciescdhing any parl *l the Laad, is ltrorded in tlte Publh Re..dd!.
Arll taling by a gcv€rnmcntil h.dy thrt hss orcrri€d ar* is bnding u thc 'iglrtr ol a purcbaser far vaite griti{xii Xnawlt*lgr,.
?ifl* beiflg vrslrd olh*t than a$ elri€d ir SchetJtrlp A Dt belng delective
(l) a: a resulf nl lhe avqidanre in wlnle or ih parl. or tron a colJ|l ordcr providing itr nlta.naiivc remedy, ol s itanlter o{ all ot any par:
of th€ litk to or any il}tere;t lfl the lnnd occglrin{ ffinl to lhe ttnnsaatlon va61rn9 Title as shol{n lrt khedulc A becau:e tha: priar
trnns{er r.orulitlled i! kauduit'nl, H prefarf,ntial kardier under fedoral hankruplcy. stnte inr'lvcfirl. or similnr i.iriditors' dqhE lsws; ot
{bJ brn*c the indnrren! of kan:hr vesting Title ar dnrwn in khedule A cohstihdf-' n preffrential ttar$fer lrilds fads.l bnnkupllY,
slate ilsoivcncy, ut iinihr scdilort' rigilt! larys by reason of thr fiihrre of iB rcrordi0g in lhe tublk t{ecords
{l} to br timly, or
{li} to inpart iloLice .f its e(islt{ce to a prrcllaxt lor vaiue or !o a judgmenl {r lien etetjkor,
Any defed irr or lnn rlr encumlraice a'r $e litle or ollwr nrltkr ltrcluderj iri foveled Rl*: I through g lhat has lrs{ff (rtst.d ar 6liadle{,
or has ben filec ot re(.orded ,') the I'rblic Records subseesr'nt to Oalc ol policy aftd prhr to lhr reerrdinq of ihe derd or oi,llr irBlirneri
ll lranJei in the Public Re<-ari: lhrl vess Title as rhedrn n Scheddit A.
{ompnty r}ii, also pay lhe mers, arralueys'frei, anrl ex;wre' inelrred in d€f6n3e of any rnaiter in*ifecl ngslnst by llit pdiiay, but orly lo
erlenl provided in tlu C0ndilioru.
txclustot|ts f RoH c.ovrRAGE
10,
lhe
the
ihe follnl'ring slnllfri ar* ewsssly excludsd fforn *'c toveliuf of
lhis pslicy, dnd lhs Company wiil not pBy loJc nr dnmige, €0s15,
atlo.rrysr fes, or expenw thrl arix hy reas0c of:
1. (a! Any law, ordirnln:e? Bcnnit, or Savernnrcntal re{ulebon
(irxluding lhoee rnlatin$ lo b{ildhrg nffl z.oning} rcsirictirtg,
tegulathg, Prohibldng, s 16l66ng 61
{iJ ur€ ocsrtEn.y, usc, 6 sioyrrE|t ol the i ilt{j;
{ii) fha characler, dkneisians, or lrcalion ol tny
imprwe:rl€,lt crerled s ihe l!nC;
(ill) ttB subdivisiBn of iand; or
{iv) eilirofit}lentai !'ot€.tiotl
or the effect rrt nny yiolttion ol there law, crdinancet, ct
govrnul$bl regulattr-u:, thl5 fxclu{on 1(a) doct lol
tn0dlfy qr lintit tlrc rownge prEvid€o undef cdvctcd {sk
5.
{lti Any
n0t
golemmental police povJer. l}rs Excturaon !(b) dort
n$dlfy or limii the coveaage proitiet'l under Cowed
Ris* 5.
:. Rhhts nf emtnent Jvrrraiil. This fx.hrsial doai ncrt modlfu ot
lirnil dE fovera&e proyided mrJer Coverarl nirk 7 or 8-
3. l*fe{-$, ilro6. eflr])mbraxr$, adverse clatml or olhq matle$
{a} sr.trd, rutfeJed, asb-med, or agreed to by l[e lnsurrnJ
alaimsntj
{ll} rnt l(nown lo lhc Csnpany, rrol :ccor.lrd h lhe trhlm
far$r:Ott*: fl:t
281t/{,96 t}3e?lll{
lrndlll.{l-\ltiverhcnd Jnint Venturc\Phrtr I t..'lasing I)ilr*
Recod. nl lJdtl: ol tuliLl, but ('lown io the Insu€d {:'alnaill
and ll0t di$cil6€d in rrntrg to the C{$i$lly hy ttle lisured
ahimsnt priil ir tJe date the Insursl ChanrEnt becnfte Fn
kuurell undcr lhr$ policy;
(c) resuldrtg in rro !o:s at damaqe tc Lhe InsureC cbirnrnu
id) rtlaching s t'e;trd ${rl}ss4uent lq Dr(f, of po[cy (ho!!rver,
tHs dffi rot nrcrllfy or limil fhc cnterage F{ovit rd $,ndr
Cove€d Rjsk s ard 10); or
{r) refflting l! lars or danrige lhat rJould n6t hare been
slstairred ii itle l,rstrreri Chiman{ had psirl value ftri thc Tilln.
4, Any elaim, hy rti:sor r:l Sre r4:er:drl of feCeral barlruptcl, stale
iruiolvenLl, st i{nilar eredilors' dghts laws, lhal the lransadign
vc5ting tlle Titk as sh6lr|r in $rhedrle A, l5
{a) a froudulent crrnwva.(r or frnrCulenl trnntterl 5l
(h) a prefcrcatlal lrar${cr,'or any reaso.r n5t slated ln covcre/,
Ri:k9 lfiltispnl,cy"
5, Any lien orr the'litlc for rs:l rEtate lixs o: a!trssnc.nl"t impow,
by tovcrnm€nhl audxrrity and s€tql Bi atldlirrg bei\,!ee{ Dale
oF Po'ir.y affi thc dnlr 0f recofdr$q ol the decd or ritiier ilElrunreri
ol $dnsf€r in thc ,,ubli( llecotds that vest$ llde & dlrown itr
:;chedulc A.
ALIA flwlels Poliry ofJlUa
f lcxrr {rvith apriorr lrr pucbnrrl 1,3
cor{irmoNs
1_ tltflntrTloH oF lEnns
ll0 trllowing lcrmi !|hm lrcd irl tlls fplrry mean:
(a) "Amounl qf ln$r&nce": The anlount stal{d in Schrdttle A,
as msy b. tnoen{ed or dettrared by endltcement t0 thi&
tdlioy', inlreaedd by f€dirn B(l:), or dmrcxed lly Sedidre
10 and J i ol these Cond(]ors.
{b} "}at€ of Pollry": Tho date dsignated aE "oit. .,, lhlicy" ilr
Scherlule i.
ic) "fqtitv"; A (ortrilatton, pdrtnelshrp, ttuit, limlt*, l&:bill{y
(nnilldnY, or olhlt srnilar lcgal entltt.
{il} "lnlurcd": The lnrured ffime{j lq $rlr:dr:le A
{i) Tlx {rrnr olruuted'' alm iruludes
{A} succrgsots ln {he Tltle nl" the lhsur{o ,y
ol,erotion ol law as dslogursl'ed !tont pgr6h353,
indrKtir€ heir$, deviSeer, ittvll,{r$, pe.reonal
relrfJerdltlvcl, ar nert of lin;
(B) su:cexors to an lnrurrr, by dklololion, rnerger,
.0nsol]datim, di!1tibt!tstr, pf r trrgani:'tti0l;
{c} smceslort to an lrsurec by ib eurlvefsion ls
aoother klnd of fnfty;
{0) r grantee oi sn llr$urer, urrlcr . dsed delivered
withoilt prtnrenr of ndual vatuable ctnsideratioff
rdlwyirg the litie
(1) if thr slock? sharer. r]en{refElips, rr llher
cauity jrll$elt! oi Urc Atal(tr are vtttally'
ry/n€d by tlE narn€d Jntrcd,
\?j tf {ne Eantec wlrolly owns lht named
Ill$1{ed,
(3; ,l lhe €larler E wholiy-oaned by rn
alfilloted tntity 0f the named lnrl,fed,
ryrr,ided the affilutcd Enli$ nnd tle narned
hnrred sre ilh wlollf cwned by th€ $anc
lssoq tr Entity, 0t
{4) if tfu grantBe ls a t'ustr$ ot hendidary o: a
tsunt ctcaled by i wdtl€n lnilnmrnt
establislad by the ltxurrd ffimcd ln
lrh€duh A for state planning purposs.
{iii Wth regrrrl to (Al {8). {C), arrrl (D) teserving,
lrwevrr, all righk inrj defsrou ar l.o any rrtercssw
thrt th€ comlany would have had Eqalnsl any
predec€s$r lnruftd,(e) "lmrnc Clainant": An lnsured ddlnl.n! l$i.r or dnr'lage,
(l) "l{mvledqe'' sr "Krrown": Ar-tuai }:nnwlerlg*, ml
mnfuur{va knwlejge or nolic? tlit nay be irrqrrtrrl te
an Inrured by rason of lhe Prbli€ Rccord: s ary dher
r€cgrdr that lmpart consUucllv{: notlcc cf FF:terg af{ectir}S
lhe Tttle.
{{rJ "Ldnd": Ihe land d*rr.ribrrj in Srlfddle 4 axi allixerl
iriproyements thdt by law {:snslitute rl}al property. lhe
terr.r "l anrl" do* ncr inrude ahy Frupedy heyood the lhc$
of lhe arsB <lesrribed in \edlrle A, 16r nny righl, litlc,
lnteteft, fjtnte, or €asenenl in abdtthg :treets, redr,
uvmues, alleyr, lan:s, way4 s ml{*at5, but ttde .J!*
nnt &adify or limit tie ettent lhat a righl ol n.(esr 1$ dnd
fton ll'rc Lnnd'16 0sumd hy t|is polit},
{h) ''M.r*tdg€": Mo*q5ge, deed ot aust, ltult dead, a{ .fher
sd$ity instlrn€J)t, itxiuditrq oqe.{idencld hf elpr}onir
rncax authorired by hw.(l) "P*lc l{cf.rrd!"; Reca.dj cstdbiBhEd unde{ ifnle sfrtutrs
at Oale sf Polir"y for the qrrr}rse ol irnlnrling eonshllrlivr
rBtice t/ t''allrrs telating te t{:ai t.opedy lo lnrcltasels {rr
yaluc and wilhout l(rrowlxlge, Witl resFrt tc lavercd Ri*
5(d), 'Prrdic Re(o.dd' rh€i alsc lrulude erwircnaantn:
,rotrclion lieor tiled in the r*ords ot the {lert ol th€ Unilei
Sfrt$ Distri$ Court ftr lh.i disirnt $h6c lhe Lnnd is ltratcd.
ii) "l'itia": I h*- cstote or intsesl described jn Schedule A
{k} "u8nlarketalri Till.": Titlc atfeded by:tr allegmi or apparell
lrr;tter tl*rt fio:rld perflfl a lroJpsliv€ t{r.haler s fus:i* oi
the Tilk or lerrder un th€ T:de to b€ rrhased I'qr{ lhe
ch'rgilior, tc putrhare, lease, or lend il lhe i5 a .rnlradual
{ffditicn rcquinrtg the tlelivay ol nerkeiaHe titie.?. coilTriluATlo[orlilsunAtcf
Ild mverage oi this po1iry $hill ccnlinile in force lr ol )flte ot
Polict ilr flvor ol 3!r lnsured, lut orly ao lon11 ar lhe lnuiad
retarru an t5!at4 or inlffeit in th: larr:.,, or hoids ao dlli$sliffi
5ectrfed by a pur.Jiare monry 110:tgs!e qlvsn by .i purrhasar tro{n
lhe |ilsr,rud, ar anly F4 lo[g es the lnsur*d #raf have ltrhllly by
rrso$ of $ar,')ilUei in ony L"nder 0r calveyan c of lhc IrtL
This trlily shall not contiouc in tofte 1n favor of aoy purchenr
from the lnsuled of rither {,) an estale of irte}Erl in thr tand, rt
(ii) nn obligrltfi se.u.ed by a p{t*Eic
'110.r.}
l{ortFg€ gl!€n to
tl* lfisurcd.
3. NOnCr Or CIAIM To gE OMI{ 3Y II{SUREO CtAtMAl{T
lhe lnsured :hall rutily llle knqrany prunptly in wiling {l) hi
ca* ol any liligalion c aei lorti in Sectiol 5(t) of ths5e
{:oFriltiqns, {il) ,n rdse l(rrnwie.dtn shall enme to 6r ln*r&d
neranler rf any dainr *f lllle ur interfll tbat E adv€rsf tn lha
Tlle, il itrglted, nrd lhat mighl latt5r lo5! rr rlonage ftr r.vlleh
the c-omprny nmy be lialrc l:y villrre ol f:ris tnlicy, or (til] ll l]*
litl€. ati lnsured, ir reied€d a5 Unmarkelable lide. Il th€ Cornpany
ls pr4ldksl t1y thc f.ilur! of th€ lrurr€d Claknant tn trovirle
profipt tptkr, tle Comf,anls lrability tc lhe lnsrred fraitrnht
rurxler lhe poiicy shill b. redu.€d io llw qtrnt ol lhr prejudic€.
4. PROOTOTLOSS
ln dle event the Cbmpaay is unsble to dehrmire dre ,rr6unt €l
lmt x doragq tlre Conpany fi6y, at tl:5 opIon, reqlfr€ as r
rondition o{ paym€nt lhal lhs hflred (hlmanl f!fthh a stfcd
pmot ol lDss. -fte proof of h'ss musl r,s..rihc thc dde.l, licn,
enrunrbrarcg ff r}th$ rnaltd ins&€d aqainst by lhts poliq lhrt
conf,tiluls tle bssis of loss or danagc and shall stata lo tlle
e*ter{ pgrslHel l}re ha$is ol crl(rlatirq ihe anount cf the iosE or
danragc.
5. OEr€U5E Ar{O Pno$tgr,ll0r OrACTtol{S
{a) iJprxr arillen reqilcsl by tbe lnsrEd. ard subject to thc
optiurs ccntalned in sa.ctrion ? ol thcae Conditirrs, tlx
a:ompany, al ils own cost and rlthoui unreasonable delay,
shall ptovli* for the dderse 0l an tnsured ln liligatior in
wlrlch auy thlrd pndl ilssdtE r dalm covcr€d by lhis ldicl
adver* {d tfie hsured, lhis o}rilgatlo* iE llmiled to only $rose
$t6ted causes al adicn allEEin! ,raftels insuEd .garnst by
this poliry. lhe Conpany dBl, haw thc iloht to sdleet
counsel of ils choke {subJed lo lhe ,ight of t}te lnsured tt
ol}Jrrl tol rtseonnble *ac:c) lo reF e5enl, lh€ ,nsl,FC n! to
nlose 5€t€d au5€s sf triio&, tt shrll not lre liatjle for ardi will
not tray lhe tec$ of iny olher cO$nso!. 'the cartany will n$t
pry sny fee€, co5ln, ol €fiper3e5 lnqlred by th€ l&rured itl
*,e dciens€ of ll*e cawcs o{ act':on ltut o,t* rilats! oot
insuleJ lgainsl by this p3licy.
:84 1l{186 0.i/:7rl tr
rfs.l{'lAl,l}irvcrbcn{i .l{}iul Velturc\ltJrn-,;r I L'losing Docr
lctre {wilh rqrtior li} pDrch&sr} vi
COilDITIOXS (CoItirtn6d)
Itr) 'lhe CorFany sllall hare llle rl,ilrt, itt ad,l;tjafi te lh:
opticns runtairorl in 9xlon 7 nt lhere fon{rrlims, al ,ts
own l1r51, !s ,nriitrle nfd posecul.€ Blry aeiirn rrl
promedirg oi to do }ny rlhil xt l.lal in tt! sfitlirr! fuy l'x'
Kcrqry nr rie3irabl€ ts eglalbh tlr llile, as i]sured, !r
lo lreyeni o- redrce ics s llamage tr ilc lrrrured- Tire
Conpany ntay tate Briv rlli{rpi0t€ teticr urdg lhr ltrns
of this 1olky, wlrether or lot it chall lE lhlrls t! ili?
lns$€d. tbe elerclse a{ lhe-{, lJihir shnll noi h€ ail
ddmlsslg[ of lisbtlrty or vrnr,"t ol nny Fmtlsior of lhit
pJiicy. ,f thc &r:lFany exerc&€$ iti tiglrt5 lrder ttr{,
srb:cttJcn, it nlst ic so drh4ently,
ic] ylhenaver LIH crrFany hinoi ail aalion s assrrt1 d
defrise as rAllimd $ peilyrittrd by lhis lsli.-y, t]1c
ansparry nal'pxrstre the iil4audt lo a tinal detarn{{eblfl
try 6 corrt d {orniptnrf Jrnrrjidiotr, anC li exprersly
tc5r!ve5 tre riglrt, n lh :6le di{ielion, lo 4l)eal any
idvers€ Jrrdgm[nt 0t order.
6, OUTY OF II{5UNED CI.4IIIANT TO COOPERITT
{a} ln all cass *'liqz th{s policy pernrilc sr te.luk6 llu
ConrFany lo prosc{ut! or prsalde fer thc def€ru* 0f a:1},
a(ti6n or pr6a€€d,it snl any 6ppdsl6, the lrolred sh:l!
sesrre to tlre Canpdny nK aiqht lo so prs8rute or l'hv,r,e
defen* in llte nct ort ar p{o{a€dlrt, ktch.tilg lrt8 right t,
usc, at itc opt!&, the r$rm oF thc ln ured for tltir pljrpoff.
whenever req:ested by the comprny, lhe ln$trcd, at tfre
tumFrnys €xflp{Lse, slDll give lhe Co.npany nl{ rca$onahld
aid (i) in s€etlir{ e!,ithn.& obtaining wtn:s*r,
p.ox{illing or dc{erdllg lhs adion ol lrtxreilitxJ, or
{lfslhg ip.nJemnlr rrd (li)
'h
sny slhrl
'oh{rI
.r} thrr in
the opition cf the {orpany nuy le trmsary ai derirabkr
It eili$lirh the'ljtle {rl an/ rlher maiier .s tst';ed. lf ltrc
Cornprny is gajsdksl by lhe frllull gl lhe hrsured to
Fumi$l lh€ r€qoi.cd roop€latiofi! th€ {ompdny! rbligntiong
lo fhe lnslr€d wdrr the polie,slnl kfninate, lnetuding
any liabiily or (*rkalion tr! rltfehd, troscrlltf, or contilue
any |tibation, witlr regarc to lh€ oBtter e matte,r
requiriag rurh *rpera(ion.
(b) TIE Cornpany my teaionrbly tcquirc lhe lniured Clni$ani
to submit td axamindtlon lnd€r onth by aly aulhori?.d
tepffi{nfdlige of t}[ a0rht6ny Dnd lo prodilcs tor
clamination, inspedir*r, ard {trpylrg. at utr rexomble
fn* rd plam i6 mry htr designit{d LY l}N drrllFri}r:{i
reprerenl*dve dl tlt Coriilany, all rerorll, in rvhatieve.
n'ledl[m nfihtained, lnduding lxoks, ledger:, clrecls,
a,ror$rdlda, ccaretpordcnc€, teportr, e,mall6, dlsls, tap*,
anC vhcos wluther boring a dat€ lretorc or rlrer 0!lo {rf
Policy, lhat r?3sonabiy pertair to tie lo$ or ddms{re.
f$thet, lf rap*fnl by any althefi€d reprr$ertaliw: {f
Itrr lor!:nny. ihe tr6ural Chimnl 5lHIl 0rant ili
p*msshn, ih niitingr for ary rdtholired reple$cn{ative of
Ure Co:npany lo ixamhe, ircpect, and copy al sf th6e
reer:rds in Se euctady or control of i tltifd nilly tut
reilonably Fc{taii to lhe krss or Crnrge. All intor$ahol]
d{n'SrBted ne.nntidentitrl Iry tha lniured flalntent
lrryirls.l 10 the Compnny Btrs&nt tr lhir fulion chrll nn!
br: tlistloeed ta clia: urrlss, in ilic 1ta*rrable jtdgnerri
af [he Cotr!6ty, il:s rEcdsaty h] ihe adTtnistrntlm ol the
clni,rr. Faihre 6f the h5ur?ri Cjuisrrl tr tuhril for
examinatiofi {nder oath, produce lry reaeonally reqlwterl
infofmatjoo, or qrant fletnlsdi(rr a! se.ure Ear*ubly
nsjer$ary ,rfo,Ttati6t ftoh tltird pnrue: as re.quicd in rlit
$lb4ec!on, lnlEs pffh,Ukd by lar,r !r lsv(rflnrntal
.€gdlolion, 5lk1li lsminaie arry' iiability 0l thr Conlpany
undcr lhll polrry ns to thrt crarm.
7. Opnoils To p y oR oTHERwtsr ssTTtr cu$ts;
TIRMINAI1ON OT T'AsILITY
ln cnsc c1 a :laim urriu tris po!.j},, ire fcmfany *all lravc the
following addiliopal oplir)r$;
{ii) to IJay fl {rilc$ t,iymrnt r{ the rlJtlQ$nt tl k'Jrrance.
To pby {rt l{{!t:r pnymrl ol lh. imourJt st ln:*'arue rnds
tfiis polirl lrgr.lher rxth :sy cos&: rllorilcys' tFes, 4n,
expen:es inc1nled bt irlp ln!iled abintafil th6l tv€rr
arrfror,:cd try il-!c ComFany {ig lo lh€ ti.nc or taylllent ot
trr*lr:r pf taymcat anC tlul tie ComFdry ir c&lgatrrt la pny.
Upcr the ererrire }y th* {'onrpan'l of lhl: oplior, rll lia$lliy
ah{, oi}Ji{ialigns of lll€ frmFany lo lhc l[sored utdd aid{
pdiry, olh$ tl"€n i6 Inike ll1e payflcnl '*qrield ill thig
i{bKJhrl, slisll lcnninrlc. in{ludxa d|y liniliity nt ('t}ii{ratk l
ts {illtlrdr pit]te.ille, er cfitiNe illy li!!ls:.ion.
{bi To Fny or Ol|*rt{is: g"nle Wilh Pa{ies Olher 'iierr 0rg
]*irrci rr Vfith thr lr€rtred cjalmdnl,
{t) ao fay ({ ollcmtsc selte ryifr otftcr lxtlier td.rf in tt]e
narm sl an lnirfld elaimant nny tlekn l{srrsd igaingt
!d.r lhi! txr'(y. it, ,slktiriox, tbe Cmtpany yri,l pny tny
ret€, atlcrndyr'fes, and *per*r incunod by tlre
lnrrJred Llnirnanl itnl lvete ardloti2cC ry dla f,ompEhy
il! 16 lrlc ltnlr oa [riylnenl dnd tlBt :iw Conpgfly It
clriiiialel ll: ;ay, o:
(lt) lo pay i,t ottremire seRle witlr lhc lH'ad (ldinHnt lft€
losr $r d;lmtqt prolldsd til lnder l{r pdlr.y, ialrlher
wiilt ttly acctt, atlorneys' {ees. and ulen*s in:urrad
|y lhe lnrurrd Cldiniant llut woe autlxxired by the
C$rpiny up,.o [rc Nimc ot paytr[t "fti Urat tltd
compary rs olliqalEd l0 Fay,
tJpcn thr lxeKiie by ll€ ComFany,f elrhiy of tp sptione
provided fu in subrections {bIil dr tll;, ilH Clmpan/t
oblllJatims to lhe lnst|rdd trrd€r ihis polky for &e ebimed
lus or d*muqe, othtr tl,in the paymnfi req{lr"d i( be
mide, rhdl tdrliflale, rtrdudiu a{ry lldbiltty or obligation ts
lBiflrd, pro3ec$c, or €orllinua aly liligtuon.
8. DF'TB$TilATIOT AIIO E'(T3IIT Of UAIIIITY
Thls poliry ir a (otrt,ar1 of hrdsiltily a,l;ln€l actudl lnffi€tJry loE
df damaga sustilined rr ln.Urr€d by tha rmtrsd CLaimatlt v$o llss
:dfsal hrl qr &:rntoe by r*arori { trdtfq" tmund igrimt by
Uri: po|ry.
{n) Tle €rt?rt ot llaNlil}, of lle torr6a|y lor lu* or dcrloge
llnder this trgllay rltall nsl e{.cf,d lhr less rl
{i) lhc A$ounl st Inflr.rnre; 0r
{tl) tbe diffsem lrebreen tlrr vthre r;f hre Tltb at inqired
a[d ihe va'[r of lhe Tltlc ;rlbjtit t(] dE risl htqurd
ag€l,l3t hy thir lBli.Y.
ib) tf tite Cotnpary ;xrnr* its rlgl'rts u*ser SnrtioF 5 ,l th€re
Conditiolls srid is Llniucte$fut tn dbbh$hlry Slc TiUe, 15
trillrcd,
(l) llE Anrrrilt of Insumncr shdt !x ir*reorcd lry 10%, ard
(ir) tl|e Irfiuretl Oattnlt 6hal! tlavc tlte |t(ht to haw the
lns* or dama6 del$rrrin€d nkhef ar of the date thc
rl,rin w.rs rade Lly irtr !nsr$?d Oaima,tl or as dt thr
daie lt i5 tetlled and pdkl.
{ci ln rdditiorl iu tlle ertent of l,abrlity lndr (a) arrC {!), ihe
(4mpnny wtll abo poy rfrosc (rle!s, rttomeyJ f€e!, ahd
e,(pcnsel ifttrrgd !r, r*iia,lict rstil -5ccti6ns ! and 7 oll,!r* Concltians
ALT/r li*n*l Pnlic:y.ol f tlq,
7Il4lil)&$t)3nlilli
lreiirlU lAl.Utiverlleld,luint Venturr'\fbase I tlioriing fll*Jeille {i*lh rlptil}n t{! }urah.lss] v-l
CONDmOilS {Continued}
9, UMrIATION OF IIABI{-IrY
{a} l( t}re G?ilFgny eEfritilhes $e ttie, ct refiovrs rltr:
aliegefi deff.*, ireq tr encrmbr{rcf,, o, egl€ lhe lack of
* r;ght of ao:fi:s to Br fiorn trre Liln4 s tl'Jru tJe cJsirn
sf Unn:athelable'lille, ail a: ir*rred, irr c reoonaLly
iii'ligrrt ryanl{r by any nrthod, itdldirq lillltal1{rr dtlt
Ure.lu$!:lelion ll any apprtlr, it slrall havt: frrlly
prrlo:med irs of;ipad6n5 !'ith rrx.pr{t lo th,tl flratter ald
-chall rrs! te liabln for :rlf loss dr ddnagc cius{xl lo tlui
lnsrr cd.
{b} In ir}e cvenl o[ aty
'ilrtaba{.
incluriirq litlgntion ly Uts
lompany or wtlh thc fdnfdny'r.d$ett, llE llmlally
sLall have ho ll.hillry far ioss ot damage lrrtil there h*;
tulocinlion f'lidl6''), Errept d$ proviCeil in tbe ltul€E lhfle 5hn!'
lE te joindel or roteillll,nle:t wilh clatmi ,: controwtii€! rlf
6ther p€f5.nJ, Ar?ltrable mnttcn niny inrl0dc, but are nol lhril:d
lo, alry llntro\trly ol rlaift bollveEn drc (ornpalry ;rrJ lhe
hsured adsinu qut sf or relab'ng to this ttalicy. !.ly ielv&e [,
.orfi;ctior wiiJr it6 irsffitr€ or ltc b,€6rh ol 6 tle{ic} f,rous{rr,e lc nily qtfuf ffilrovcrsy ar rlaifi 0rising o,;t o{ {k tran:arlirn
givirig {se to lhi; pollry All drirtrablr matti.i whf,} tlc ii]idnt
of In$ilranre i.r t?,0e$,000 ul le!! ehall bi: irhitlokd al lhc
op'Jo,l na €ither the {&rnpany s tlic t$r,r€{,. All trlitrablr
nitfcru when Lrlc ifrlolJil *rf lrrs*rln:c 15 rr! exr€sr of
tl,l;{Jil,0'r{r shall be iltilrted rrnly wlrer atrecd to by brlh $t
Comfirly {nd lllc lmtred, Arhitratio'1 FlilJritl ro ihk; tx}lc1 s}ri
Lfidcl the Rules slxrll L€ bhding rpr[ t]c tdrlis:. Ji.jd{nrefll
rFnr llle anild runCcre, lry thc Arbiirator{s) nrty be enlend tr
nny roult o{ .u{rp{le'lt jutirdkn-on.
15. tIAolLlTY LIlllITfD TO TXIS pOUCY; 9ollcy Er\lrIRr.
collTfiAcT
ia) this poliry to!€fire. with all mdoraamerls, il rtr!,, dltn(]re.,
ic it by lh€ tompaoy ts ItE enlir: FolEy rid aonL.rd
beh{c*n lhc hsured ald liw Compan}. !n irlrTrctin0 ,ry
Flovislon 0l lhls gulicy, ih,' polirv sl}:ll bc cw;tru* :rs a
vholc.
{h) A& {lair1 e{ los or darrnqc tfi;! ar6cs srt il the staius oi
{re TiUe or lry any act}0n a-rlnltint su.h claim ;l'nl! be
.edridrrt}srhi.rtrir{.
{r) Aty a*rnrirne.:tl of or .:.dorstne l}1 lo thit p0lky mrt ire ir
wilirrg arrd drrhenlirstrd by i.t,|Ulor,&, lf,rrclr, (]t
4xtrersh inctrpornted by Schedule A of llris lulirylrll t;*r erdoriement 10 ttlls p:licy issmd at a[y trnlr !r nlrd(
a 0ail 0F thir poljcy dnd is ilbject Ir ell cf i:5 leil[ arut
proviliol,. E{cept !5 lhe erxlorsgfirer* expn6rly stites. *
does not {il nsdify nay 6I llr termr and provisim o[ lhe
F 'cy,
(1i) lntrlify any prlor cnd6.c€nenl, {iri} eilrnd $r
Ottts of Poficy, or {iv} inffrasc the &nqiint cl trEurEr,ee.
16. SE1/SRABIUTY
lr ihr aenl iny pnrvirion tl llris poliry, ;n wttle or in pa(t, i5
luld ttrvrlkl x lrrntmcraHe unde applirahle lawf tlie tn[r]
rha! he deemed nor to include $ill plavblon or such pall hfld t$
le l*valid, lul all olt*. provisions elull rwuin in full hrrc and
elfe*.
17, cHolff Or L $l; iOI,UM
{a) CiDice ol lnyr: TIE lnsurd{ fch'tnwlrdtrrs lhe armtnny hns
urderwtittrx tlle risLq eovf;.ed by this pclq and
dcternrirred lhe ptenriurr eltarged lhr,Tflr in relianro lpcn
thr law alluting lnlcrHsls il r&l potrxrty anc! applksk tn
lln irtcrpretation. nghb, remerlias, or enfotrrjt|c|{ of
prlicle$ ot tillc {r$urrnce of th. j(ltisdldio,t wh€ra thn I and
i9 l0cntl:d.
lltoraFore, th! {ouri or ar arbitrator shall apgly la lrr{ ot
the trnsdi,tim yJhcrc llie Lanei b lorrter tr o..tcrmiilc thc
vrli{rrry of ibilns a!€ir}st the TtS€ fhat arc advcra rc lhe
lrs.Jred allC to inteip:cf rod entor.c the terms sI tttis
poliq" ln reilhs €se *trtll ll!* .@1t or artltrit4 atply ltt
conllias o{ iaw princiFlei t'] d*terfilne tlf applicalle low.
{lt) tlpl* nt lirdln: A{ry !figriion or ol.hcr FrGf,rth!! lioir$lrt
Ity itrc lnr$6j dgrlct $r C€mFiny mlsl he fthd rtrly ,!t a
slate or fedi:rilm( within tlrr lnind Suts rt A'neri.a st
lls te{dlrrries hsvlnl tpplopriatE irlriFd*iolt.
18, t{OTtCf6, WI€FE SEI{T
Any ioirq 6f tlairn afid nny ou*. rilicd or datenlpn! in n,iiirq
t€qurr€d ts ba gilen 1,0 tle f.ompary Ll(lCtlr this policy nurt bc
{iivcn la thc lffilnny nr flrrt Anerl€en Tt0e ,nrumnre
companyl Attnl Clsirnr ilotional htaka Cenl€r, t Fi€t
Americftn Way; Santa An6, CA 92707. pttonr; 888-632-
1643.
I court lf i:lntpetell
alpf,nis, arlverse kl lie
tc, thc compilny shali not be lldhe l$ lors rr .t,nrge io tfu
lnslred tDr llshilit), VokJntnrlly a$5umc.d b't, the lnsurrJ in
stliint any ('laix) !i lull wlthol,t lhe Hifrr fflficn conlent
cf sle fsmparv.
t0. t{EDUCTIOII 0r lftsirRar{cfi nEoucTlofi on
TTflMIIATIOI9 OT LI,EIUTY
All gflysBllr rlxlsr thi: policy, crcept pay.nents ,irade f6r
rcrt!, attyney!' fw-r, ard exposc*, shaii rcducc *re Atnourt
ol lnsLronce by lhe nnlfrlnl cf the p8yrun!,
11. LIABIUTY i{ONCUMUtATTg-iic Ah$rnl 3t lnstj.anie shnll b€ reddc€d hy any Enlnuftt the
Cnflipany paye ,nde. any pdrry il5urinll a l.iutgage tt whi*r
{rftpii3o i6 tnle{ fir Schedule B o{ 1s gltcI lhc ln5ure.J has
nlrccdr ,rsrurrcd, or ttken sub)tri, or wt{ch ts excrutcd by in
t[qurc{, ailer Dntc ol policy and wbrri ti n cham0 0r lh[ or!
lhe litl€, anC the atnount so paid :hall bc dccnxd i paytnrnt
ta ill? lrrrreJ dn:ler lhs trolir.y.
'.2, ''AYMfHT
OF LOSS
Wlleil llihillty rrrl tt|€ sxtebt ol los 6r {tamn9f have bmn
d€tinit€,y tixed it accordar[r wlth llitsr Condition*, tl*r
Fay,nent shall be rnade vrittrin l0 day:.
13. RrGHrg Of nFCOVTRY UlOt{ pAyuENl of,.
STTTLEMf'IT
{o) llhcnr,,ym lhe Ccmfxnv shall hive *ttled anel Faid a
chin! sndcr this pol'cy, rt rlall b€ subtognted axj entitbd
to fte rights rf lh. lFsurc, {lnimonf in lhe TiUe an4 all
othel ri0hls and tetrr{,|[! ln resleff tn the clalm thet the
lrlsut?al clximdnl has sg|iffst nrly perscn ot lrrogertyi to
the crefit 6t Olt nlloum uf any lols, coi151 alto,neys'
fee5, ald expersee prid by ihe Comtitry, lf r€qsestsd by
lJrc Canlpnoy, lhe lnsure{i d}inBnl shall ef*flrle
il{xrnlcnts to svrdlntr lle Ua4sf$ to tll& Coilprny tf
thpir righls and rsnedles. Th€ ,Irurried fiaitnan! shrll
p$mit the C€rnttny ts s!e, csnlrlqlisc, or scttle il thc
nsrne sl lha lt$ured Clnimanl a!!d tt use the nlme ol ltr
hrrred Ct.lratrl an any tsr*{tix'l u }itigahon lnvohihg
tllcr rights n|d r.tr[dirr.
lf e payrurr on .cos,t ut a cbim del lot fully awr
tlle lars ol the lnsured L-iatrnarrl, llu Con4rany shall deler,e rxeriise sl ile right ts re(pvet qnlil afiet ths tn$rcd
{]a:,lrant ;lrail h;ve rsryereel il.: lm:,
fb; fhc company's riqir! ol rubogation inrhrdee tl* rights olllc Insstcd tb hrdsnnitis, ttarsnli€i, oth€t policies ol
ij:esraneq oi b$fJF, nolw;listirdirq any iennr or
coriditiorr {c.tained in :l}asc i|iltrmefit3 th:t addre::
sutrogdtion tithltr.
14. ARnITRATION
I itftr:r ii{: (]]npa.y aa lhe lrsllrsr] fiuy r,onand thf,! the rlaint
cr crntrrveriy llall ha srbnritte* to rrbtbitior l'tlriunnl to lhc'lrur lns;iGnce Arhiltilio,r Fule.r df the AmerEan LaM Tiije
Form 501 l45l {7.1-14)
lree,r a linsl drttemlnation
jrrisdrlior,, r,]lJ tn5ia3ition el
Tit,€, nr in5u.rl.
by
nll
,* r:1'"'o * i
:8n I ll'l.jir {,l1lll I tl
lrcndil lA L.l{i1'cl berd -1oinl Vfl ilurc',I}ltasu I {-'lrllirrg l)or:c
lc.trst trvillt rTllr{nr !r, plrchasci v-j
)
Firct American Owner's Policy of Title Insurance
rgsuro 8Y
First American Title Iasurance CompanySchedule A forma no. I
POLICY NUI4SER
898220
Name and Address of Title Insurance cornpanyl
Flrst American Tltle Ingurance Compiny, 1 Rrrt Americin Way. Sante Aa', CA9Z7O?.
File No.: NCS-898220-WA1
Addrss Reference: Vacant Land, Kent, WA Amount of lnsurance: $TBD
Fremium: $TBD Date of Policy: Date and time of recording
1. tilame of lnsured:
T8D
2. The astate or interest in the Land that is insured by this policl is:
F€e Simple
3, ?ltle ls v€sted in:
TBD
4. The Land refened to in this policy is der.crlbed as bllows:
LOTS 3, :l AND 5 OF rJTy oF KENT SHoRT ptAT NO. 5p-2017-1, RSQRDED UNDER
RECOROING NO. 2OI8$2T9OOOO4, IN KING COUNTY, WASHINGTON.
APN; 232204-9011-01
.$r, s0I4l3 tl-!-ltl
flaoe
0 of e ALrA ownor'r pol'cy of JtleJrqurttnH{lft
2841/0E6 t3,??/18
Fead\l'lAl\Rivcrbend Johrt Veoturc\Phrsc I C'l*ing Dols
6 lea*e {with optior io pmchasr} v3
Ir-m
:
J{rsf American Owner's Policy of Title Insurance
ISsl,ED SY
First American Title Insurance Company
; Schedule B
1.
v.
POTICY NIFIBEft
898220
EXCEPTIOI{S FROM COVERAGE
File No,; NCS-898220-W,A:
This policy does notingure against loss ot damage, and the Connpany will not pay cosis, atlorneys'fees,
or expenses that nrise by reason ofl
This itenr has been intentionally deleted
6eneral Taxes for the year ?018,
Tax Account Ns.: ?3220{-9011-01
Amount Billed: $ 785,296.7Q
Amount Paid; g 0,00
Amount Due; $ ?84,?96.70
Assessed Land Value; $ 22,125,900,00
Ass€ssed lmprovement Value; $ 760,500.00
Affects The land and other property.
Potential charges, for the King County Sewage Tr€atrnent Capacity Charge, as auihorized under
RCW 35.5S and King County Coda ?8.84.050, Said charges could apply for any propedy that
mnneded io he Xing County Sewer Service atea on or after february 1, 1990. None due or
owlng at lhc Date of Policy.
This item has been intentlonally deleted.
Easement, induding tarms and provisions contained therein:
Recotding Information: l.lovember 8, 1961, Recording No. 535094?
ln Favor of: County of King, a municipal ccrporation
fsr: River protection
Easenrent, includlng terms and provisicns cantained therein;
Recording Information: April 25, 1962, RecordirE No. 5417461
In Favor ofl County of King, a municipal corporation
For: River nrotectlon
Easement, including terms an'd provlsions contained therehr:
Secotdhg Information: lanuary 2?, 1964 as 5690275
!n Favor of; Puget Sound Power & Ltght Company
For Eleclric lines
8. Easenent, including terms and provisions contained tiereln
4.
r
6.
7
?.l14llll9{t il3fr1llE
tread\flAl.\Ril,srbcn<t Jcint VcnurctPhasc I C'lurinu lloes
^LTA
Crflnar'!
lcirsr ($ilh {rption to purrhase! v"1
Recording lnformation;
For:
,Affects:
790{240940
Irrgre:s, egtress and utilities
As descrlbed therein
o
10.
Easernent, including terms and provisians conlarrred therein:
Recording Jnformation: 8411160550
In Favor of: Puget Sound Power & Llght Company
For: llnderground electric system
Relinquishment of all existrng and tutu.e righte to light, view and air, together with the rightr ol
access to and from the State Hlghway constrr.rcted on lands conveyed by document in favor of
the State of Washington:
Recsrded: April 12, 1985
Recording No.; 8504120861
Fasement, inclUditg terms and provision$ contained therein:
Recordlng Infornation; 9502020945
For: Ingress, egress, vehicl€ and eqrripment pa*ing and ufilltiesAffect:: As descriired therein
Nole a Release of Firut Right of Refusal was recorded under Recordinq No, 201105?3000167,
Easemanl, including terms and provislons contained therein:
Recording Infornratlon: 95020209{6
Fnr: Building selback, parking and turnaround for construction,
nperation and maintenance of carport structutesAffacts; As described th€rein
tt
72.
13.
14.
t5.
16.
Thi$ llem has been intentionally delet*d.
This item has been intentionally delekrJ.
A document entitled "Amended and Restated Grant ol Easements and Levee Easernent
Agreenrent", executed by and between City of Krnt and King County Flood Conbol Zone
oistrict recorded August ?2, 2008. as lnsbument No. 20080822000569 of officlal Records.
Said instrunrent amends and restates thai agreement recorded under Reeording No,
20F5081300t810.
The terms and provlslons contained in the document entitled "Declaration of Stsrmwater Facilily
Maintenance covenanf're€orded March g, 2018 as 20180309000110 of official Records.
Termq covenants, conditions and restrictions as conrained in recorded Lot Line Adjustment
(8oundary Line Revlsion) LL-94"29 :
Recoldedl Febr'uary 16,1995
Recording Infsrmation; 950216A277
The terms and provisions ccntained in the document entifled ',Development Agreement,,
recorded March 14, 20t$ as 201803140008{5 cf Official Records.
Restrictions, conditions, dedications, notes, easernent$ and provisions, if any, as contained
and/or delinealed on the face of the city of (ent sho6 Plat No, sP-2017-1 recorded llarch 21,
2018 as ?01803?1900004, in King Counly, Washington,
to.
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20. Survey by ...__.. ,._ .__**- dated . , job no.
to be contpieted upon reaeipt and review of survey.
21, This item has been int€ntiona,ly deleted.
22, This iteryr has been intentionally deleteri.
23. This item has been intentionally dcleted.
, discloses the following
),E4tN)86 03/27118
lrcnd\JiAt;ti jverbcnd Joint Venlruc\l)hiur l (.ih.tinp l)ou:
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l*asc a\frlh option ro purchascJ r'3