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HomeMy WebLinkAboutResolution No. 17-7739-Approving Second Amendment to Real Property Purchase & Sale Agmt b/w CD & PCCP IRG Downey, LLC and IRG Downey, LLCRESOLUTION OF • OF OF DOWNEY APPROVING THE • i AMENDMENT TO THE REAL PROPERTY PURCHASE AND SALE AGREEMENT BETWEEN THE CITY OF DOWNEY AND PCCP IRG DOWNEY, LLC AND IRG DOWNEY, LLC TO AMEND SOME OF THE RIGHTS AND OBLIGATIONS SPECIFIED IN THE ORIGINAL PURCHASE AND SALE AGREEMENT FIRST Wi WHEREAS, the City of Downey ("City") and Industrial Realty Group, LLC, a Nevada limited liability company entered into a Real Property PurchaseandSale Agreement, dated on or about November 30, 2003, pursuant to which City sold to Industrial Realty Group, LLC certain real property described therein. A true and correct copy of the original Real Property Purchase and Sale Agreement is attached hereto as Exhibit "A" and incorporated herein by reference; and, WHEREAS, City and Industrial Realty Group, LLC, entered into the First Amendment to Agreements in Real Property Purchase and Sale Agreement, dated on or about March 15, 2012 ("First Amendment"). A true and correct copy of the First Amendment is attached hereto as Exhibit "B" and incorporated herein by reference; and, WHEREAS, PCCP/IRG DOWNEY, LLC, a Delaware limited liability company ("PCCP/IRG") is a successor -in interest to the applicant's rights under the Real Property Purchase and Sale Agreement; and, WHEREAS, the City and PCCP 1RG DOWNEY, LLC, and IRG DOWNEY, LLC, (collectively "Developer") wish to enter into a Second Amendment to Real Property Purchase and Sale Agreement ("Second Amendment") attached hereto as Exhibit "C" and incorporated herein by reference; and, WHEREAS, as set forth in that certain Second Amendment the Developer has requested amendments to the Real Property Purchase and Sale Agreement to reflect (i) beneficial changes to the City's profit participation rights; and, WHEREAS, the City Council does hereby desire to approve the Second Amendment to the Real Property Purchase and Sale Agreement pursuant to the terms and conditions as set forth in the Second Amendment Real Property Purchase and Sale Agreement. HEREBYNOW THEREFORE, THE CITY COUNCIL OF THE CITY OF DOWNEY DOES •I •I • SECTION 1. The City Council finds, determines, and declares that the activities contemplated in the Second Amendment to the Real Property Purchase and Sale Agreement have no likelihood of causing any environmental impact and are, in any event, subsumed within the activities studied in the Final Environmental Impact Report for the proposed development of the Tierra Luna Marketplace at 12214 Lakewood Blvd. pursuant to the Amended Downey Landing Specific Plan. SECTION 2. The City Council DOES HEREBY APPROVE the Second Amendment to the Real Property Purchase and Sale Agreement, substantially in the form attached as Exhibit "C„ 4:W61511Mi 11 � i 6 SECTION 3. The City Manager and his/her authorized designees are hereby authorized to execute the Second Amendment to the Real Property Purchase and Sale Agreement. SECTION 4. If any section, subsection, paragraph, sentence, clause or phrase of this Resolution is declared by a court of competent jurisdiction to be unconstitutional or otherwise invalid, such decision shall not affect the validity of the remaining portions of this Resolution. The City Council declares that it would have adopted this Resolution, and each section, subsection, sentence, clause, phrase or portion thereof, irrespective of the fact that any one or more sections, subsections, phrases, or portions be declared invalid or unconstitutional. SECTION 5. Except as expressly provided in this approval, nothing in the Second Amendment to the Real Property Purchase and Sale Agreement shall be deemed to waive or modify any other provisions of the original Real Property Purchase and Sale Agreement. APPROVED AND ADOPTED this 22nd day of August, 2017, FERNAPDO VASQUEZ, Mayor A ALICIAbUARTE, MC Interim City Clerk HEREBY CERTIFY that the foregoing Resolution was adopted by the City Council of the City of Downey at a regular meeting held on the 22nd day of August, 2017 by the following vote, to wit: AYES: Council Members: Pacheco, Saab, Ashton, Mayor Vasquez NOES: Council Member: None. ABSENT: Council Member: None. ABSTAIN: Council Member: Rodriguez 4AL ALICIA DUARTE, CMC Interim City Clerk EXHIBIT "A" REAL PROPERTY PURCHASE AND SALE AGREEMENT This REAL PROPERTY PURCHASE AND SALE AGREEMENT ("Agreement") is made and entered into as of November 30, 2003 ("Effective Date"), by and between THE CITY OF D® Y, a municipal corporation of the State of California ("City") and INDUSTRIAL REALTY GROUP, LLC, a Nevada limited liability company ("Developer"). City and Developer are hereinafter sometimes individually referred to as a "Party" and collectively referred to as the "Parties." A. This Agreement addresses Developer's acquisition and future development of a seventy-seven (77) acre portion of the approximately 160 -acre National Aeronautics and Spac- • • • Administration ("NASA") Industrial Plant site (the "NASA Site") which is located in the City Of Downey, California and generally bounded by Lakewood Boulevard, Stewart and Gray Road, Bellflower Boullcvard, Imperial Highway and Clark Avenue. The NASA Site - as been use over a 70 --year period for aircraft manufacture, the invention, testing, and patenting of the chemical milling process, research, production, and assembly of rockets and missiles, and the design, production, assembly, and testing of the equipment and materials for the Apollo Space Program and the Space Shuttle Orbiter program. The NASA Site is composed of 6 separate parcels of land ("Parcels 1, 2, 3, 4, 5 and 6" respectively) as shown on the diagram attached hereto,as Exhibit B, In April 1999, City acquired from the United States of Amenica, acting by an through the General Services Administration ("GSA") and NASA, approxin-lately 66 acres of th NASA Site, comprised of Parcels 3, 4, 5 and 6 ("Parcels 3. 4, 5 and 6"), pursuant to that cartai Quitclaim Deed dated April 19, 1999, recorded in the official records of the County of Lo Angeles as Document No. 99 0690588 (the "1999 NASA Quitclaim Deed"). Parcels 3, 4, 5,aqnn 6 are also subject to various agreements between the City and the United States (Collectively, "Existing NASA Restrictions"): C. Developer acknowledges, that City is in negotiations (,"Negotiations") with the United States of America, acting by and through GSA and NASA, to acquire the remaining approximately 94 -acre portion of the NASA site, comprised of Parcels I and 2 C'Parcels 1 and pursuant to the California Desert Protection Act. C'Act") of 1994, 16 UiS.C. § 410aaa et seq. Developer acknowledges that upon their transfer to Developer from City, Parcels 1 and 2 shall be subject to certain reservations, covenants and restrictions relating to the future use, remediation and development of Parcels 1 and 2, some of which will run with the land as set forth in each of the documents listed below (which are collectively referred to as the "NASA 2003 Transaction Documents"): (i) NASA Quitclaim Deed (the "2003 NASA Deed"); (ii) Transfer Agreement between City and the United States (the "Transfer Agreement"); S:\JAM\L1CHTER\Downey\Purchase AgreementlDowneyPSAvlg.12-04-03.doc (iii) Environmental Liability Assumption Agreement between the City and International Risk Assumption Downey, LLC ("IRAD"), an environmental risk management company (the "Assumption Agreement"); (iv) Escrow Agent Agreement between the City, IRAD and an escrow agent to be determined (the "Escrow Agreement"); (v) Environmental Services Agreement between NASA and the City (the "ESA77); (vi) Covenant Deferral Request dated December 20, 2001-(the'-'CDW')-, (vii) Memorandum of Agreement Among NASA, the GSA, the California State Historic Preservation Officer and the City of Downey Regarding Disposal of a Portion of the NASA Industrial Plant (the "MOA"); and (viii) Revocable License Agreement between NASA and the City of Downey dated November 26, 2001 attached hereto as Exhibit "B" (the "License Agreement"). This License Agreement is intended to expire upon transfer of Parcels I and.2 to Developer. The Existing NASA Restrictions, the NASA 2003 Transaction Documents, the Additional NASA Documents (defined in Section 4.1 herein) and the Superior NASA Documents (defined_ in Section 9.4.1 herein) are sometimes collectively referred to herein as the "NASA Documents." On September 15, 2003, the Governor of the State of California approved the Covenant Deferral Request for the transfer of title to Parcels 1 and 2 of the NASA Site to City in accordance with 42 U.S.C. Section 9620(h)(3)(C). In addition, the NASA 2003 Transaction Documents have now been finalized which will effectuate the remediation of Parcels 1 and 2 and other areas of the NASA Site and City's purchase of Parcels I and 2 from the United States, through the GSA. D. NASA has described the environmental condition of Parcels 1 and 2 in the NASA 2002 Transaction Documents and the environmental reports and analyses referenced therein. City has made available to Developer those certain environmental reports and other documents described in Exhibit "C" attached hereto (the "Existing Environmental Documents") c further describe the environmental condition of the NASA'site. Trichlorethylene ("TCE"), Perchloroethylene ("PCE"), and other volatile organic compounds have been detected in soils on, and in groundwater beneath, Parcels I and 2. Groundwater monitoring wells have been installed on Parcels 1 and 2 and sampled quarterly. Since June 2000, NASA (and its agents) have been conducting an investigation and remediation of such soil and groundwater conditions on the NASA Site, including Parcels I and 2, under the supervision of the California Regional Water Quality Control Board - Los Angeles Regional (the "Regional Board'). The Reg onal Board has ordered additional investigation and testing of certain areas of concern on the NASA Site, and further soil and ground water investigation and remediation activities will be required. E. Developer is proposing the development of an approximately 77 -acre central portion of the NASA Site (the "Studio Property"), which is composed of an approximately 58- 2 5:\JAM%L1CHTER\DowneyNPurchase AgreemenMowneyPSA 09.12-04-03,doc acre portion that would be acquired in fee by Developer from City and an approximately 2 1 -acr- r• • portion that would be ground leased by City to Developer. The general location of the Studio Property is shown on the "Studio Property Site Map" attached hereto as Exhibit "W'. The Studio Property consists of (i) the "Acquisition Parcel" which is generally shown on the "Acquisition Parcel Site Map" attached hereto as Exhibit "E" and legally described on Exhibit "Y' attached hereto, and (ii) the "Ground Lease Parcel" which is generally shown on the "Ground Lease Parcel Site Map" attached hereto as Exhibit "G" and legally describe on Exhibit "H11 attached hereto. The Acquisition Parcel will be transferred by City to Developer as two separate legal lots designated as the "Building #6 Lot" and the "Studio Lot" on the Acquisition Parcel Site Map. F. Developer's proposed future development of the Acquisition Parcel and the Ground Lease Parcel involves the demolition of some of the existing Improvements (defined in Section 2.1.2) located thereon and the construction of a movie studio/film. location production facility (the "Production Facilities"), as well other non-studio/film. commercial uses. Developer has, is or will be processing all discretionary governmental planning, land use, zoning, development and environmental perrnits, plans, and approvals which are required for the development, use and operation of the Studio Property (the "Entitlements"). The Entitlements include (but are not limitedto) the following non -exhaustive list of discretionary government approvals for the development of the Studio Property (the "City Entitlements"): (i) Downey Landing Specific Plan, dated February 2002, which includes rezoning and design guidelines) (the "Specific Plan"); (ii) Final Environmental Impact Report, approved by City Council on March 28, 2002 (the "EW); (iii) A parcelization of the NASA Site pursuant to Government Code Section 66428(a)(2) for the purposes of creating separate parcels comprising the Acquisition Parcel and the Ground Lease Parcel and other development areas conforming to the Specific Plan for sale, lease and financing purposes (the "NASA Site Parcel Map"); Certificate of Compliance executed by City, in recordable form, substantially the form as attached hereto as Exhibit "I" (the "Certificate of Compliance"); ani (v) Any required demolition and building permits and related approvals for the possible reconfiguration of buildings or improvements in order to provide additional area which may be included within the Studio Property area (the "Construction Approvals"). Developer acknowledges that the Entitlements include (and the Studio Property is subject to) required regulatory approvals and permits from government agencies other than the City of Downey. G. The Studio Property shall be developed in accordance with the requirements ani standards set forth in the City Entitlements (as the same are obtained by Deve oper . 3 SAJAMNUCHTERNDowneyTurchase AgreementDowneyPSA 09.12-04-01doc • • • WPJs' ARTICLE 1: JECT OF AQR EMENT AND DEFINI1'lONS. foregoing-sy incorporated int• and made a •, rt of - by - fr this Agreeiri�- is to tuatt the • in Section 1.3 Definitions'. 1.3.1 The "Studio property" shall mean all that certain real property set forth on the Studio property Site Map attached hereto as Exhibit I'D."' The Studio property will be comprised of both the Acquisition parcel and the Ground Lease Parcel to be formed pursuant to this Agreement in compliance with the California Subdivision Map Act. 1.3.2 QiOL I et reseutatJyLM "City Representatives," respectively, shall mean and include all of the respective predecessors, successors, assigns, agents, officials, employees, members, independent contractors, affiliates, principals, officers, -directors, attorneys, accountants, representatives, staf, council members, board members, and/or planning commissioners of City. 1.3.3 Com. "City" shall mean the City of Downey and its City Representatives, together with any assignee or successor to City's rights, powers and responsibilities under this Agreement. 1.3.4 dverrirnan - Restrictions. "Governmental Restrictions" shall mean and include any and all laws, statutes, ordinances, cedes, rules, regulations„ writs, injunctions, orders, decrees, rulings, conditions of approval, or authorization, now in force or which may hereafter be in force, of any governmental entity, City or political subdivision. _4 S:VANI\LICHTER\Downey\Purchase Agreement\DcwneyPSA 09.12-04-03:doc Loabilities. "Losses and Liabilities" shall mean and include all claims, demands, causes of action, liabilities, losses, damages, judgments, injuries, expenses (including, without limitation, attorneys' fees and costs incurred by the indemnified party with respect to legal counsel selected by the indemnifying party and reasonably acceptable to the indemnified party), charges, penalties or costs of whatsoever character, nature and kind, whether to property or to person, and whether by direct or derivative action, known or unknown, suspected or unsuspected, latent or patent, existing or contingent. 1.3.6 Affiliate. "Affiliate" shall mean any person directly or indirectly, Developer, which, in the case of a partnership, shall include, each of the constituent partners thereof. The term "control," as used in the immediately preceding sentence, means, with respect to a corporation, the right to exercise, directly or indirectly, at least fifty percent (50%) of the voting rights attributable to the shares of the controlled corporation and, with respect to a person that is not a corporation, such as a limited liability company, the possession directly or indirectly, of the power to direct or cause the direction of the -if WWWW11-111no rterson -b �c* g but not limited to, the manager or managing member of the limited liability company. 1.3.7 064fifieJ Finandat ftj�tinlfibh. "Qualified Financial Institution" shall mean a bank, savings and loan, pension fund, insurance company or other institutional 2-nii iffla-1; Y *f fxywff-Z�Jiw�- '#* if 7AW&uw� reuse contemplated hereunder and which, in the reasonable opinion of City, has a sufficient net worth and liquidity position to meet the contemplated financing commitment. 1.3.8 Person. "Person" means an individual, corporation, partnership, joint venture, association, firm, joint stock company, trust, unincorporated association or other entity. 13.9 Rqed Uses. The phrase "Permitted Uses" shall have the meaning as set forth in Section 11. 1 of this Agreement. ARTICLE 2. 2.1 ih&SaLe qf t U - &�kl. City agrees to sell to Developer and Developer agrees to purchase from City the Acquisition Parcel, all on the terms, covenants and conditions set forth in this Agreement. For purposes hereof, the term "Acquisition Parcel" shall mean and include the Land, Improvements, Personal Property and Intangible Property, as follows: 21.1 Land. The Land as legally described on Exhibit "Y' attached to this Agreement and made a part hereof, together with all of City's right, title and interest in and to all casements, utility reservations, mineral rights, rights of way, strips of land, tenements, -5- SAJAM\UCHTEROowneylPurchase Agreement0owneyPSA vl9,12-04-03.doe hereditaments, privileges, licenses, appurtenances, reversions, remainders in any way belonging, remaining or appertaining thereto; 1mbk&d all other structures and improvements (collectively, the "Improvements") now situated on e Lan inc uding, but not limited to, fixtures and equipment, elevators, heating, air conditioning, plumbing, mechanical, electrical, drainage, security, life safety and fire alarm systems, and their component parts; 2.1.3 ft6 All of City's interest in fixtures, furnishings, equipment, appliances, machinery, tools and other personal property of every kind and character (collectively "Personal Property") owned by City and currently attached to, located on or used in connection with the ownership, management, maintenance and operation of the Improvements on the Land, excluding those items set forth. on Exhibit I'M" attached hereto; and 2.1.4 intimible PrP.,egy. Any and all right, title and interest of City in all leases, contract rights, equipment leases, licenses, warranties, guarantees, assignable permits, entitlements, tenant lists, advertising material, and other intangible property (collectively "Intangible Property") pertaining to the Land or the Acquisition Parcel, the Improvements or the Personal Property or use thereof which in anyway relates to the ownership, management or operation of the Land or the Acquisition Parcel. 12 Pult ikld�k. The purchase price (the "Purchase Price) for the Acquisition Parcel shall be the sum of (a) $12,697,595.00 (based upon 58.3 acres at $5.00 per square foot), and (b) the product of $5.00 per square foot multiplied by the square footage contained in the Cut -Out Parcel legally described on Exhibit "J" attached hereto. The Purchase Price shall be adjusted at Closing based upon the total square footage of the Acquisition Parcel as finally agreed upon by City and Developer. 2.3 Pdvrrwn:t of Pqf&h4og�. The Purchase Price shall be paid to City by Developer as follows: 2.3J Promptly following expiration of the Review Period (as defined in Section 4.2), an escrow ("Escrow") will be opened with First American Title Insurance Company (the "Title Company"), by delivery to Title Company of a copy of this Agreement executed by City and Developer. if Title Company requires any supplement or addit onal instructions, then City and Developer shall promptly provide the same consistent with the provisions of this Agreement. 2.3.2 Promptly upon the opening of Escrow, Developer shall deposit with the Escrow Agent the sum of Two Hundred Fifty Thousand Dollars ($250,000.00) (the "Deposit"). The Deposit shall be placed in an interest-bearing account and all interest accrued thereon shall become part of the Deposit and shall be payable to the party entitled to receive the Deposit pursuant to this Agreement. On the Closing Date (as defined in Section 6.1), the M Deposit shall be applied against the Purchase Price. In the event Buyer terminates this Agreement before the expiration of the Review Period 'any Deposit paid by Developer to Escrow shall be returned to Developer along with any interest earned thereon promptly following such termination. 2.3.3 Developer shall pay the balance of the Purchase Price to City in immediately available funds through the Escrow at the Closing (defined in Section 6.1). ARTICLE 3. TITLE. 3.1 jhk_Rqjky. City shall convey good and clear record and marketable title to the Acquisition Parcel, evidencing the Building #6 Lot and the Studio Lot as two separate legal lots, pursuant to the Certificate of Compliance substantially in the form attached hereto as Exhibit "I", to Develop ("Permitted Exceptions"): 3.1.1 A lien to secure payment of real estate taxes and assessments not yet due and payable; 3.1.2 A reservation in favor of NASA, if any, of oil, gas, hydrocarbon substances and minerals of every kind and character lying more than 500 'feet below the surface (collectively, the "Mineral Rights"), together with the right to drill into, through, and to use and occupy all parts of the Studio Property lying more than 500 feet below the surface thereof for any and all purposes incidental to the exploration for and production of oil, gas, hydrocarbon substances or minerals from the Acquisition Parcel; provided, however, that in no event shall any party with any interest in the Mineral Rights have the right to use either the surface of the Acquisition Parcel or any portion thereof within 500 feet of the surface for any purpose or purposes therefore whatsoever; 3.1.3 The CC&Rs to be entered into between City and all owners of the NASA Site; and WQ-V 1-01 t 4 CAI a igg" *10 3.2 Surve an g l ovirmen S. Within ten (10) days after the full execution of this Agreement, City shall promptly deliver to Developer copies of any and all surveys in its possession or control ("Surveys") covering the Studio Property and all improvements thereon and a title commitment ("Title Commitment") together with legible copies of all -7- S:\JAMkLiCtiTER\]Downey\Furchase Agreement0owricyPSA v19.12-04-03.dac title exception documents shown thereon covering the Acquisition Parcel (collectively, the "Title Documents"). Developer's approval of the Title Commitment and the Survey shall be a condition precedent to Developer's obligation to purchase the Acquisition Parcel. In the event Developer • disapproves of • or t . ig, the nature of its disapproval "Disa roval Notice"), on or before the later of ARTICLE 4. - a ,•• • - � is a` •- r`a •• r 1 -• - r - r• I- I It, ti L111' 4.2 Commencing upon the Developer's receipt of a fully executedcopy of _ - � expiring 1 a. -"Review Period"),Developer shall have the aa■: to environmental and NASA related documents As it deems r to decik Studio Property is oKceptable to DevoloM specificallybut • • to, Specific ■lan (the "Legal R&iew costs rconnection _gs S:UAM\LLCHTER\Downey\Purchase Agreement\DowneyPSA x1912-04-03.doc any such review shall be borne solely by Developer. Developer's obligation to purchase the Acquisition Parcel as herein provided shall be subject to Developer's approval of the Legal Review Documents in its sole discretion. City shall provide access to the Studio Property to Developer and Developer's agents and consultants during normal business hours for the purpose of completing its review during the Review Period. Developer shall indemnify, defend (by counsel selected by Developer and reasonably acceptable to City) and hold City harmless from and against all liability, claims, demands, damages or costs, including reasonable attorneys' fees, arising from or connected with Developer's inspection of the Studio Property. If before the end of the Review Period Developer sends written notice to City that the Acquisition Parcel is not acceptable to Developer, the obligation of City to sell and Developer to buy the Acquisition Parcel shall terminate. If Developer fails to send written notice to City before the end of the Review Period that the Acquisition Parcel is not acceptable to Developer, Developer shall be deemed to have decided that the Acquisition Parcel is acceptable to Developer and Developer shall be obligated to close the transaction as herein provided. ARTICLE 5. 5.1 Conditions Precedent to Develoees Obligation to Close. The obligation of P 0 Developer to buy the Acquisition Parcel shall be subject to full satisfaction of the following conditions precedent: 5.1.1 Title. Approval of the conditions of title and the issuance of the marked commitment for the Owner's Policy in the form provided in Section 3.1.4 above; 5.1.2 Review Period. Approval of the Acquisition Parcel within the Review Period in accordance with Section 4.2 above; 5.1.3 Representations Warranfies and Covenants. The representations, warranties and covenants of City contained herein shall be accurate and true in all material respects on the Closing Date as if made on the Closing Date; 5.1.4 Certificate of Compliance. City has delivered two (2) fally executed Certificates of Compliance, in recordable form, certifying that the Building #6 Lot and the Studio Lot, respectively, are separate legal parcels, and the Title Company is willing to insure that the Building #6 Lot and the Studio Lot are each in full compliance with the Subdivision Map Act; 5.1.5 Intentionally Deleted; 5.1.6 Lease of the Ground Lease Parcel. City and Developer shall have entered into a 55 -year ground lease with Developer for the Ground Lease Parcel (the "Ground Lease"), the terms of which the parties shall finalize during the Review Period. In connection therewith, City and Developer shall also agree to execute and acknowledge a -9- SAJAMLICHTER0owneyTurchase Agreement\DowneyPSA v19J2-04-01dac Memorandum of Ground Lease substantially in the form attached hereto as Exhibit "U. City and Developer hereby agree to use their best efforts to finalize the Ground Lease and obtain all necessary governmental approvals required to authorize City's execution of the Ground Lease as soon as possible after the execution of this Agreement. 5.1.7 Delivery of Documents. City shall have executed and delivered to Escrow each and all of the documents to be delivered by City pursuant to Section 6.3 herein; 5,1.8 CC&Rs. The form and substance of the CC&Rs, as defined in Section 3.1.3 herein, have been approved by Developer; 5.1.9 No _Defaults. As of the Close of Escrow, City shall not be in material default of any its obligations under the terms of this Agreement. 5.1.10 t!o_Nlatcrtal Adverse Chars e. The nonoccurrence of a Material Adverse Change with respect to the Studio Property following the expiration of the Review Period and prior to the Closing. For purposes hereof, "Material Adverse Change" shall mean Period any material adverse change in the physical condition, Entitlements (or prospects for Entitlements), new environmental condition, or value having a significant negative impact on the value of the Studio Property from the facts existing on the expiration of the Review Period. 5.1,11 Infrastructure Payment -Method. Developer and City shall have agreed upon the Infrastructure Payment Method required for Developer's payment of Devvlopei's Infrastructure Payment Contribution, as those terms are defined in Section 11.2.2. 5.2 Conditions Precedent to City's -Obligation to Close. The obligation of City to sell the Acquisition Parcel shall be subject to full satisfaction of the following conditions precedent: 5.2.1 Delivery g1LPurebase _ .,,Price. Developer's timely delivering to Title , Company the Deposit, the balance of the Purchase Price and any other funds required of Developer hereunder; 5.2.2 City shall acquire fee title to the portions of Parcels I and 2 that constitute the Acquisition Parcel, subject only to the Permitted Exceptions; 5.23 Delivery of �Qoqu�ments. Developer shall have executed and delivered to Escrow Holder each and all of the documents to be delivered by Developer pursuant to Section 6.3; 5.24 fLepreselitations, Warranties and Covenants. The representations, warranties and covenants of Developer contained herein shall be accurate and true in all material respects on the Closing Date as if made on the Closing Date; and - 10- S:VANRL1CHTER\Downey\Purchase Agreement\DawncyPSA v 1U2-04-03,doc 5.2.5 No Defaults. As of the Close of scrow, eveloper s all not be in material default of any its obligations under the terms of is Agreement. 5.2.6 Developer and City shall have agreed upon the Infrastructure Payment Method required for Developer's payment of Developer's Infrastructure Payment Contribution, as those terms are defined in Section 112.2. • Other than as set forthr: 5.3 and 7 '1.12 herein, in the event that any of the conditions precedent set forth in Section 5.1 • 5.2 have not• . satisfied, this Agreementand Developer and City shall have no further rights or obligations h- - a In such event,party shall have • option,but • the obligation, to waive any of • - conditions precedent r prejudice to any other rights and. remedies that they may have against the other. Withrespect to City, the City Manager of of Downey,• •r with the Mayor, at his discretion, -• t • to approve extensions of •^ Agreement anr to respectvrlz.��V If the -Close of Escrow as rovided and with to Developer, - Eric Kaplan. • purchase of Acquisition Parcel provided shall be consummated at a closing oor "Closeof r be r -i• • Closingthe Date at the offices of • r•. or other time and place as City and Developer . agTee upon.. herein, "Closing 1, 1 days after the expiration of the Review Period (defined in Section 42) or such earlier or later date as City and Developer may agree upon, but in no event later than March 1, 2004 (the "Outside Closing Date"). Notwithstanding the Outstanding Closing Date referenced above, in the event that the Closing has not occurred by the Outside Closing Date through no fault of Developer or City, the Closing Date shall be extended for such time as may reasonably be necessary to resolve the issue(s) preventing the Closing from occurring and City shall use its best efforts,and shall diligently take such actionsbe - • .• necessary,• consummate the sale of the Acquisition Parcel to Developer as contemplate erein. 6.2 City shall pay • of • all of the recording fees fordeed, - entire premium for the Owner'sPolicy, documentary transfer- and any other costsof • Developer pay • • • • premiums • • • i • • ,• Developer,and any other • of - •r hereunder. • Developer shall pay their own attorneys' fees. Security deposits held by City shall be delivered to Developer by -+ to the • ••-r's account at the Closing. •- r • •. • r r prorated • - • + •• •r • r and utility charges shall be prorated as of the Closing Date. Real property taxes (if applicable) shall be prorated as of the Closing Date based upon the latest tax bill available. Developer and City agree to prorate as of the Closing Date any taxes assessed against the Property by a supplemental bill e 11__ SNAMUCHTEMDowneyTurchase Agreement\DowneyPSA v19.12-04-03.doc • f Section i' 6.3 Closi nit Deliveries. At Closing, such documents as are typicaland customary for• • pr6petties of / ilar r. , ' •ii • fappropriate { transactioncontemplated in this AgreementDocuments"). consummate the The failure of eitherparty to deliver the Closing Documents to the Title Company on or before the Closing shall be an Event of Default. 6.4 to�� City shall deliver possession of • r Parcel and a] keys to the Acquisitionto Developer • _ ARTICLE r 7.1 ReVresentatiolis Warran-tics and Covenants b�v City. Effective as of f,:e -4 -eClosM9Date-.-0 hereby f"resents, warrants and covenants -tothatr r representations, • • covenantsw�arrauties and • • r f •the laws of the State of forthCallf4riiia� and is - (411y authojija to �&k&duw this Agreement and to fulfill its obligations as set - 712 City r"euts and wArraiiis 6 to the best of ro S:UAM\LICHTER\Do�,vney\Purchase Agreement\DowneyPSA v19.12-04-03.doc 1 • ` : : • • '.. .. i • is i : � ,, ;• i - � - - 1. `: • i .: ♦ r i at � a ri f• • a ,i - - \ - i \ • t \ f s r • •' f• t •i` r- is - r - •' -i t; -1 - - - 1 - 1 -. • - - - •••• • - f- - is • r • - • ClosingStudio Property, and (ii) assist Deve btaining the o tier project approvals require Developer from other governmental agencies or third parties for Developer's intended development of the Studio Property. The above Sections 7.1.12(i) and (ii) shall survive e ii the delivery of Deed for - years from• • exercise ood Nth add we its; best efforts to�sa(ishr all of its conditions precedent set forth in Section _5.the i • of • 7.1.13 Wh Other than as setforth1 and 11.2.3 herein, (i) except for subsequent subdivision or parcel map requirements in connection with an application filed by Developer, City shall not require Developer to install t, f. 0- ,. or pay for any other off-site infrastructure improvements in connection with Developer' reuse of the existing buildings located on the Acquisition Parcel, and (ii) except for buildin or fire code requirements, City is not aware of any additional municipal requirements for o site infrastructure improvements needed for Developer's reuse of the existing buildin located on the Acquisition Parcel. This provision shall survive the Closing and the delive of the Deed for a period of seven and one-half years from the Closing. I M 7.1.14 1 Mctiveness and- SurviVa[ AbfL��R�hwtw�i Litigs: anip The representations, warranties and covenants of City contained in thiM t ontheClosin DateasifmadIV materia S 7.24 Consent )rovals and Authorizations. All consents, approvals and authorizations of all applicable governmental authorities required in connection with the execution, delivery and performance by Developer of this Agreement will have been obtained and delivered to City at the appropriate time hereunder. 7.2.5 This Agreement has been duly executed and delivered by Developer and d and binding instrument, enforceable against Developer in ac�66�6 with its tckm8i tuept as such enforceability may be limited by (i) bankruptcy, -14- S:\JAA4\LICIiTER\Downey\Purchase Agreement\DowneyPSA 09.12-04-01doc insolvency, reorganization, moratorium or other similar laws affecting the enforcement of creditors' rights generally, and (ii) general principles of equity (regardless of whether such enforceability is considered in a proceeding in equity or at law). tjq• • • o Developer's knowledge, there are no suits, other proceedings or investigations pending or threatened against, or affecting the business or the properties of Developer which, if determined adversely to Developer, would 4 uMm on I=- �iDevelo ecer in violation of any laws or ordinances which would result in a material adverse affect on the financial condition of Developer. 7.2.7 Default. There are no facts now in existence which would, with the giving of notice or the lapse of time, or both, constitute a "Default" hereunder. 7.2.8 project Copllanc,e. The construction and completion of any or all of the improvements to be constructed on the Acquisition Parcel will: (i) comply with all applicable Governmental Restrictions, including, without limitation, compliance with all laws and ordinances necessary to permit development, completion and sale or lease, as permitted by this Agreement; (ii) will be entirely on the Acquisition Parcel; and (iii) will not violate any enforceable use, easement, license, covenant, condition or restriction. 7.2.9 Notice rroin, Governing Jurisdiction. Developer has not received any notice from any governing jurisdiction of any violation of laws and ordinances, nor any notice requiring any improvements or alterations to be made in connection with the improvements to be constructed on the Acquisition Parcel other than those specified in this Agreement. 7.2.10 AAverse _Conditions. etc. Developer does not know of any adverse condition or circumstances, pending or threatened litigation, governmental action, or other condition which could prevent or materially impair Developer's ability to develop the Acquisition Parcel as contemplated by the terms of this Agreement. 7.2.11 Effect _Covenants. The representations, warranties and covenants of Developer contained in this Agreement shall be accurate and true in all material respects on the Closing Date as if made on the Closing Date and shall survive the Closing of the transaction and the delivery of the Deed for the later of the period expressly stated therein or the maximum period allowed by law, provided, however, the representations, warranties and covenants set forth in Sections 7.2.1 through 7.2.10 shall only survive for a period of one year from the Closing. -_15 - S:UAM\LICHTER\Downey\Purchase AgreementTowneyPSA v 19.12-04-03.doe ARTICLE 8. ARTICLE 9. 9.1 "A . Developer hereby expressly acknowledges that it is purchasing the Acquisition Parcel in "As IsIVVhere Is" condition • warranty • any k nd, express or limited, • without limitation, any warranty as to title (except as set forth above in . I • — a • , 1 11 • in a condition entire y suitar or such use or uses. IN CONNECTION WITH THE ABOVE, DEVELOPER HEREBY ACKNOWLEDGES AND REPRESENTS TO THAT, DEVELOPER HAS HAD AMPLE OPPORTUNITY TO INSPECT AND -16- SAJAM\LICHTER\Downey\Purchase Agreement\DowneyPSA v 19.12-04-03.doc i • r � ': • 'i r � 1 9.2 Hazardous Materials/Environ '. As used in this Agreement the term "Hazardous Materials" means any material or substance which (i) is defined or listed as a "hazardous waste," "extremely hazardous waste," "restrictive hazardous waste, "hazardous material" or "hazardous substance" or considered a waste, condition of pollution or nuisance under Environmental Laws (defined below), (ii) is petroleum or a petroleum product or fraction thereof, (iii) contains asbestos or an asbestos containing material; or (iv) is a substance known by the State of California or the United States to cause cancer and/or reproductive toxicity. As used in this Agreement the term "Environmental Laws" means any federal, state or local Law or Legal Requirement pertaining to (a) the existence, release, threatened release, use, storage, handling, generation, remediation and/or transportation of Hazardous Materials, or (b) health, industrial hygiene or the environmental conditions in, on, under or about the Property, including without limitation: (i) the Comprehensive Environmental Response, Compensation and Liability Act of 1980 ("CCLA"), 42 U.S.C. Sections 9601 et seq.; (ii) the Resource Conservation and Recovery Act of 1976 ("C "), 42 U.S.C. Sections 6901 et seq.; (iii) California Health and Safety Code Sections 25100 et seq.; (iv) the Safe Drinking Water and Toxic Enforcement Act of 1986, California Health and Safety Code Section 25249.5 et seq.; (v) the Federal Water Pollution Control Act, 33 U.S.C. Sections 1317 et seq.; (vi) California Water Code Section 1300 et seq.; (vii) California Civil Code Section 3479 et seq.; as such laws are amended and the regulations and administrative codes applicable thereto. It_ is the intent of the parties hereto to construe the terms "Hazardous Materials" and "Environmental Laws" in their broadest sense. 9.3 fi�istina Enviro ' ental Con ination. Prior_to City's acquisition of the NASA Site, of which the Acquisition Parcel is a part, the NASA Site was owned and - operated by NASA. Developer acknowledges that it has been informed that as part of -17= S:17AM1LICHTEMD®wneyTurchase Agreement\DcwneyPSA v 1912-04-03.doc NASA's use and operation of such property, that releases of Hazardous Materials occurred in, on, under or about the NASA Site, including the Acquisition Parcel (the "Prior Contamination") as more fully set forth in the Existing Environmental Documents listed on Exhibit "C" attached hereto. In connection therewith, Developer acknowledges receipt of, and represents and warrants to City that prior to the Close of Escrow it will have reviewed in detail, each and all of the Existing Environmental Documents and each of the NASA Documents. It is expressly understood and agreed that the amount of the Purchase Price reflects the existence of the Prior Contamination, and the Acquisition Parcel is being sold by City to Developer subject to the Prior Contamination. .V4 9.4.1 Subordination. Developer hereby agrees that (i) each and all of its rights under this Agreement shall be fully subject and subordinate to (A) the rights of MAD (and any successor to or replacement for IRAD, for any reason) under the Assumption Agreement, and any and all amendments or modifications of an any successor agreements thereto, hereinafter adopted, created, effected or put into place, (B) the rights of NASA, GSA and/or the United States of America (collectively, the "US Parties") under the NASA Documents, including, specifically, the ESA and any and all amendments or modifications of the NASA Documents hereinafter adopted, created, effected or put into place and (C) the rights of City and the Coordinating Party (as defined in the CC&Rs), including, without limitations, the rights of the same when acting on behalf of one or more of the "Ovrners,"'as that term is defined M' the Assumption Agreement, under the ESA and/or the CC&Rs, and/or the NASA Documents and all amendments or modifications of (and any successor agreements to) the same hereafter adopted, created, effected or put into place (collectively, as the same may exist from time to time, the "Superior NASA Documents(ii) Developer shall not take or permit any action or omission in, on, under or about the Acquisition Parcel which shall breach or violate any of the obligations of an "Owner" (including without limitation, any ground lessee) of all or any.portion of the Acquisition Parcel, under any of the Superior NASA Documents, and (iii) Developer shall strictly and timely perform each and all of the obligations applicable to the "Ownee' of the Acquisition Parcel under each of the Superior NASA Documents (including without limitation, the obligations of each fee simple owner and each ground lessee of each portion of the Acquisition Parcel). 9.4.2. S. Developer acknowledges that City has entered into the various Superior NASA Documents in order to benefit the various owners and ground lessees of the NASA Site, including, without limitation, Developer, and to facilitate execution and implementation of the Superior NASA Documents. Developer agrees that notwithstanding any provision of this Agreement (or any other document) to the contrary, and notwithstanding the City's designation and/or performance as the "Coordinating Party" under one or more of the Superior NASA Documents, (i) in no event and in no case shall IRAD (or any successor or replacement thereof) or any of their respective agents, contractors, subcontractors, employees or representatives (collectively, the '11RAD Parties") be considered, characterized, deemed or WIN S:VAM\L1CHTER\Downey\Purchase Agreement\DowneyPSA v 19.12-04-03.doc interpreted to be the agent, contractor, subcontractor or representative of City or any agency, department or official thereof and in no event shall City be legally responsible for any of acts, omissions, negligence or misconduct of the IRAD Parties under any legal theory whatsoever, (ii) in no event and in no case shall any of the US Parties or any of their respective agents, contractors, subcontractors, employees or representatives (collectively, the "US Representative Parties") be considered, characterized, deemed or interpreted to be the agent, contractor, subcontractor or representative of City ( or any agency, department or official thereof) and in no event shall City be legally responsible or liable, in whole or in part, for any of the acts or omissions of any of the US Representative Parties under any legal theory whatsoever, (iii) in no event shall any of the IRAD Parties or any US Representative Parties ever be considered a City Party (under any legal theory) for purposes of the application and interpretation of this Agreement and (iv) Developer shall indemnify, defend and hold City harmless from any and Losses and Liabilities asserted against or incurred by City in connection with any claim or action by Developer which is inconsistent in whole or in part with Developer's agreements under clauses (i), (ii) and/or (iii) above. 9.5 _Release. Except as otherwise set forth in this Agreement, Developer hereby waives, releases and discharges forever the City and all City Representatives from all present and future claims, demands, suits, legal and administrative proceedings and from all liability for damages, losses, costs, liabilities, fees and expenses, present and future, arising out of or in any way connected with the Developer's use, maintenance, ownership or operation of the Acquisition Parcel, any physical, title or other defects in, of, or related to the Acquisition Parcel, any Hazardous Materials on the Acquisition Parcel, or the existence of Hazardous Materials contamination in any state in, on, under, or adjacent to the Acquisition Parcel, however they came to be placed there, without qualification. Developer acknowledges that it is aware of and familiar with the provisions of Section 1542 of the California Civil Code, which provides as follows: "A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS FAVOR AT THE TIME OF EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM MUST HAVE MATERI L E ED SETTLEMENT WITH THE DEBTOR." As such relates to this Section 9.5, Developer hereby waives and relinquishes all rights and benefits which it may have under Section 1542 of the California Civil Code. i =T Notwithstanding the foregoing, the release set forth in the Section 9.5 shall not apply to any claim, liability, obligation, demand or cause of action to the extent the same results from (i) any default by City in the performance of its obligations under this Agreement or, subject to the provisions of the CC&Rs, under the CC&Rs or (ii) any Hazardous Materials S:\JAMILICI-ITEP,\Downey\Purchase Agreement\DawneyPSA v 19.12-04-03.doe released into the environment in violation of Environmental Laws as the result of any act of City following the Close of Escrow constituting gross negligence or willful misconduct. 9.6 Dccunant Release. 9.6.1 Rcicgse� Rgduit��. Developer hereby agrees that it shall requi each tenant, lessee, subtenant, sublessee, licensee, easement holder or other occup (collectively, an "Occupant") of any portion of the land or improvements constituting t Studio Property to execute and deliver to the City of Downey a release of claims in the fo attached as Exhibit 'IN" (an "Occupant Release") prior to permitting any such Occupant t tzij- sssession-rilgli 14 under any document as to, or otherwise occupy, any portion of the land or improveme constituting the Studio Property. To the extent permitted under the NASA Documents, i lieu of requiring an Occupant Release to be signed by each Occupant as set forth herei I= �er in its discretion rriat,,A elect to inde=ifrj and hold City harmless from any Los or Liabilities resulting from any action brought or claimed by or through any Occup against City which would have been released or barred had such Occupant signed Occupant Release. I 9.62 fidih 6ft Sgecessors. The obligation to obtain the Occupant Relea Bi i a from each Tenant shall be binding upon each party that acquires a fee ownership interest• any type of leasehold interest in all or any portion of the Acquisition Parcel at any d following the Closing, and such obligation shall (i) survive the Close of Escrow and delivery of the Deed and the other documents to be delivered by the parties hereto at Closing, and (ii) be covenants running with the land as to the Acquisition Parcel. 9.7 Corn frnpjementatj[Qon on M�n Measures. Developer acknowledges that (i) the Regional Board has directed that additional soil and groundwater investigation be undertaken on the Acquisition Parcel in connection with the transfer of Parcels I and 2 from NASA to City, (ii) the Regional Board, in its letter dated April 11, 2002, requires additional soil remediation in the area of Buildings 61 and 287 on the Acquisition Parcel and requires groundwater remediation of the TCE plume on the Acquisition Parcel in the vicinity of the existing groundwater monitoring well PI -MW -01 through PI -MW -03, and groundwater remediation- of emediationof the PCE plume associated with and in the area of Building 244, (ill) remedial action plans ('RAPs") for such soil and groundwater remediation are required to be submitted and approved by the Regional Board; and (iv) MAD will be performing remediation activities pursuant to the Assumption Agreement and the ESA. Developer agrees that (a) in the grading, construction, development and operation of the Acquisition Parcel, Developer shall cooperate with City and IRAD, at no cost to Developer, to implement the requirements of the Regional Board in connection with environmental remediation or any IRAD requirements, and any work plans or RAPs approved by the Regional Board and coordinate its construction, development and operation activities with the remediation activities that will be occurring under the Assumption Agreement and the ESA, and (b) Developer shall otherwise perform in compliance with its obligations as owner of the Acquisition Parcel under the Assumption Agreement, the ESA and the CC&Rs. Developer a6mowledges that City will SMANBLICHTERMowneyTurchase Agreement\DowneyPSA v19.12-04-03.doc Parcel pursuant to the Assumption Agreement, the ESA or the NASA 2002 Transaction Documents, or any actions of City in implementing the provisions of such agreements and documents or performing the fiinctions of the Coordinating Party there under. From and after the execution of this Agreement, Developer hereby agrees to indemnify, defend and hold harmless City and any and all City Representatives, and each of them, by counsel selected by Developer and reasonably acceptable to City, from and against all Losses and Liabilities related directly or indirectly to, or arising out of or in connection with: (i) any breach or Default of Developer hereunder; (ii) any of Developer's activities on the Acquisition Parcel after the Closing (or the activities of Developer's agents, employees, lessees, representatives, licensees, guests, invitees, contractors, subcontractors or independent contractors on the Acquisition Parcel after the Closing), including without limitation, the construction of any improvements on the Acquisition Parcel; or (iii) any other fact, circumstance or event related to Developer's performance hereunder, or which may otherwise arise from Developer's ownership, use, possession, improvement, operation, or disposition of the Acquisition Parcel, regardless of whether such Losses and Liabilities shall accrue or e discovered before or after termination or expiration of this Agreement, except such Losses and Liabilities arising out of the negligence or misconduct of City, or arising out any breach or Default of this Agreement by City. In addition to the foregoing, Developer hereby agrdes to defend and hold City harmless from any claim by NASA that all or any portion of the Studio Management Fee paid by City to Developer pursuant to Section 11.4 herein, is not a valid City expense pursuant to Section h of Section H of the License Agreement (defined in Recital C (viii) herein) relating to the sharing of all motion picture and television production income generated at the Studio Property between NASA and City. ARTICLE 11, 11.1 Permitted Uses. Developer covenants and agrees for itself, its successors and assigns, which covenants shall run with the land and bind every successor or assign in interest of Developer, that, for the first thirty (30) months following the date the City issues or should have issued the Certificate of Required Development Investment, as set forth in Section 11.2.1 (the "Required Studio Use Period"), it shall use at least 715,894 gross square feet of the buildings located on the Acquisition Parcel for principal use as a studio production facility, including use by such "ancillary business establishments" as are normally associated with a studio production facility (a "Studio Production Facility"), For purposes of this Section 11.1, "ancillary business establishments" shall include, but not be limited to: prop and set construction and storage facilities; office, production and support personnel for production companies and studios-, production trade vendors (such as lighting, grip and food catering providers); and, any type of pre -and post production services and facilities (such as editing, screening and similar facilities). Developer further covenants and agrees for itself ~2l- • its successorsand assigns that it shall notor pernift any activity on Acquisition Parcel that would violate the existing zoning or any applicable Governmental Restrictions. r rgand agrees that forall purposes, -Classification"for the Acquisition Parcel as proposed by Developer and as identified in the Specific Plan is "Commercial/Industrial". 1li1111 •., ri 1• �� �•� � .. ��,r • i- -•r • , r r- s • rr- a `-r i • � - r- - • - r i • • r• - rr.r -a r - '• 1- - r•- • i- - •r- i,- -i•r- -r - • - s ` i 1- -'•r- • • •r - r r;- • -r + -• ii - * r - r � i• • • - • r - i • • • - r • r- • i- •a' a • - r S:VAMtL[CHTER\Do,�voey\Purchase AgreementOowneyPSA v19:12-04-03.doc allW–W093-IMA offia W"T-3 [a] oil) ON Igo 0 V1,14 ILI U61111 RINUMN ling 1 4 1 Lail fralitar-0714 11.2.3 In addition to the Required Downey infrastructure set forth in Section 11.2.2 above, Developer, at its sole cost and expense,shall also be responsible for the installation of the infrastructure requirements set forth oil Exhibit "0" attached hereto. 11.2.4 On a regular basis, but in no event less often than semi-annually, Developer shall submit to City a ■ "Development Report" which shall consist of a certified statement prepared by, or on behalf of, Developer setting forth, in reasonable detail, the amount of the Development Costs expended by Developer to date. J&pgq-&lJ Itw. - Wi follo ng submission of the Develo ment Re:aort to ob eet to any of the Development Costs contained therein. If City fails to object to any Development Report within the foregoing thirty (30) day period, all such Development Costs contained therein shall be deemed to be approved by City for purposes of satisfying Required Development investment and obtaining the Certificate of Required Development Investment as set forth in Section 11.2.1 above. If City fails objects in writing to any Development Report wit]-iin the foregoing thirty (30) day period, City and Developer agree to meet an confer in good faith promptly thereafter to resolve the dispute. Developer agrees to dedicate to City, and 0 shall pay to Developer the amount of Five Dollars ($5,00) per square foot, that portion of Acquisition Parcel which is adjacent to Lakewood Boulevard and Clark Avenue and -23- S:\)Alvl\LJCHTER\Do,A,ney\Purchase AgreemcnMowneyPSA v 19.12-04-03.doc required and determined by City to be reasonably necessary for public right-of-way purposes ("Dedicated Portion"). This Dedicated Portion shall not encroach upon or interfere with any existing buildings or parking areas of the Acquisition Parcel. This obligation of Developer shall terminate twelve (12) months after the date of this Agreement. 11.3 Removal of DifL Developer shall remove, at Developer's expense, the excess dirt located on • •' Lease Property • by operations at the studio in or about throughr rrer 2003, and dispose of dirt in compliancerr r - federal, state • localr • Parcel fails to Close forany r and this Agreement is terminated, Developer shall remain obligated to remove the excess dirt on the Ground Lease Parcel in compliance with all applicable federal, state and local laws. This provision shall survive the terminati• of •r any reason and shallbe covenant separate• apart •m the remedies set forth 11.4 ,StudioManak6tjieht F&.; In considerationof Developer'sday-to-day management r of - fihn and television operations presently • place at the Studio Property rDeveloper'spre-Closing funt of certain capitalit • s thereto, Developer shall be entitled to receive a studio management fee equal to (i) the sum of • by • i . • television operations at the Studio Property for period between July 1, 2003and continuing through• Date, less • the City's expenses related thereto, which shall be agreed to be $40,000.00 .-month (the "Studio Management creditagainst price at Closing as set forthSectioni herein. In theevent Acquisition Parcel fails to Close for any reason and this Agreement is terminated, City shall promptly pay to Developer • • Management Fee forperiod between 00 r •r � • • - r. - • tr •r • . -- - - i;r - - • a r - ■ expendituresrhicluillog• incuftd pursuant to on • Agreement forreason and shall be a covenant forth in Article Developer and City recognizer • of business proposed • be •ra • on r' Studio Property and r.t the tradition business license tax would not fairly measure the extentof ` business conducted within boundaries • would be r • - for ••er's customers to r. Accordingly, • •er agrees to pay the City a one •' ' "Studio based on the gross rental receipts from rental of the portion of the Studio Property actual being a• - • • • • • • production rr •, a Payment • Fee shall not • or •s • • .z@'WVm&ilm Activities• • PropertrA fromPropresponsibility • •. Business voluntarily+• willfully agreed to pay the Studio Fee, in lieu of • all City busine taxes, using this alternative method of tax payment on behalf of those transient entiti conducting Film Activities at the Studio Property. This iii -lieu fee does not apply permanent occupants of any buildings, management of the Studio Property, parking 24 S:VANAL1CHTER\DowneyTurchase AgreemenffiowneyPSA v19.12-04-03.doc Ptb"dibii Facil -25- SMAMLICHTER0owneyTurchase Agreement\DowneyPSA v 19.12-04-03.doc Center Costs (other than the Pre -Development Costs) shall be conditioned upon Developer being able to secure the Learning Center Loan as set forth herein. The "Learning Center Costs" shall include all costs and expenses associated with the design, build -out and financing of the Learning Center, including, but not limited to, all costs directly and indirectly associated with the Learning Center Subdivision, the Learning Center Pre Development Costs and other development costs, and all costs and expenses incurred by Developer in obtaining and servicing the Learning Center Loan, specifically excluding any fees or compensation to Developer, or any of its employees, for its time and effort incurred. 11.6.5 The Learning Center Lease shall have a monthly "Base Rent" payable by City to Developer in equal monthly installments during a Lease term, which term shall be no less than that which is sufficient to fully reimburse Developer for all of the Learning Center Costs (the "Reimbursement Period"), on those terms and conditions mutually agreed to by City and Developer. The Lease may not be terminated by City during the Reimbursement Period but may be assigned by City to third parties, with the prior consent of Developer, which consent shall not be unreasonably withheld; provided, however, that in the event of such an assignment, City shall not be released from its obligations under the Learning Center Lease and that any assignment that has a term beyond that of the Reimbursement Period must also comply with the provisions of 11.6.6 below. If City desires to assign the Learning Center Lease during the Reimbursement Period, City shall first offer to Developer in writing the right to accept the cancellation of the Learning Center Lease with no additional payments due from City. Developer shall accept or reject City's offer, in Developer's sole discretion, by written notice given within thirty (30) days after receipt,of written notice from City. If Developer fails to accept City's offer to cancel the Learning Center Lease within thirty (30) days after receipt of written notice from City, City's offer shall be deemed rejected. 11.6.6 The Learning Center Lease may have a Lease term longer than the Reimbursement Period, at the option of City. In the event that City requests a lease term longer than the Reimbursement Period, for the remainder of the lease to after the Reimbursement Period expires, the monthly Base Rent payable by City to Developer shall be reduced to One Dollar ($1.00) until the expiration or termination of the Learning Center Lease; provided, however, that City shall remain responsible for the payment of Additional Rent. After the Reimbursement Period expires, City shall have the right to terminate the Lease at any time in its sole discretion. Upon the expiration of the Reimbursement Period, City may not convert the use of the Learning Center from an aeronautical educational learning center without the prior written consent of Developer, in which event Developer may withhold its consent in its sole discretion. 11.6.7 Title to any improvements installed or developed by Developer within the Learning Center shall remain in Developer, and title to any improvements installed or developed by City within the Learning Center shall remain in City, unless otherwise agreed to by the parties in the Learning Center Lease, provided that City shall be responsible for removing all of its improvements upon the expiration of the Learning Center Lease term. S:UAM\L1CHTER1Dawney\Purchase Agreement\DowneyPSA v19.12-04-03.doc 11.6.8 In connection with City's operations of the Learning Center, Developer and City shall negotiate a mutual cooperation agreement for the purposes of conducting tours of the Studio Facility, subject to the rights of tenants and other parties in possession. In addition, Developer shall cooperate with City for a period of one year after the Closing with respect to City's collection and storage of historically significant artifacts located on or about the Studio Property. 11.7 J)Ist I laimler Actions. Developer acknowledges that as a public municipal corporation, City and its City Council, Boards, Commissions, Departments, employees, officers, agents and representatives exercise certain police powers, taxation powers, and other governmental powers duties and authorities over the Property and of Downey, the Downey Municipal Code, the California Environmental Quality Act (Public Resources Code § 21000 et seq., 110EQA11), and other ordinances, regulations, statutes and laws (collectively the "Entitlement Laws") regarding the review, consideration, processing and approval of the Entitlements and other administrative or ministerial approvals, permits, plans or actions required for the development of the Studio Property. The Entitlement Laws require, among other actions, the filing of applications, payment of processing fees, and public notice and public hearings regarding the City Entitlements and the Studio Property. Developer acknowledges that City reserves the right (without qualification or restriction statute, law ordinance, order, code or regulation) (collectively, "Laws") to approve, conditionally approve, modify, or deny the City Entitlements and all other administrative or ministerial approvals, permits, plans or actions required for the development of the Studio Property. Nothing contained in this Agreement shall in any manner (a) limit, restrict or affect (or constitute any forni of promise to limit, restrict or affect in the fixture) in any manner the exercise by City of its police powers, taxation powers or any Other governmental powers, duties and authorities under the Entitlement Laws or any other statutes, laws, ordinances, or regulations or (b) except as expressly provided to the contrary herein, create any duty or obligation of City (or any other governmental body) to cooperate with or assist Developer in the development of the Studio Property; provided, however, that in its dealings with City in processing the City Entitlements, City shall treat Developer on generally the same basis as it would deal with any similarly situated purchaser of real property located in the City of Downey, without regard to City's interest in the Property. 11.8 To the extent legally available and without the requirement fbf paying Any third party* the usW thereof, Developer agrees to use the ha= "Downey cOhneotion with the operations of the studio fhaitits at the Studio Property. Any change of the foregoing name shall require the prior consent of City, which consent shall not be unreasonably withheld or delayed. 1119 ajL Aof jc�U�t-out �. Developer agrees to sell the Cut -Out Parcel to Downey Landing for the amount of $5.00 per square foot pursuant to Developer's standard purchase and sale agreement, provided, however, the closing occurs within six (6) months after the Closing hereunder, time being of the essence. If the closing for the Cut -Out Parcel occurs more than six (6) months after the Closing hereunder for any reason whatsoever other S:\JAM\L1CHTER\Downey\Purcha9e Agreement\DowneyPSA Y19.12-0403.doe - • �. r- - - r - r- • -r r '� 11 r- r - •r • r • - li - + r + '' r - • ' �- -',rr- r•r , r• •• r r • r r •� r r ,• - - • • � • • .ra r r- r 11.10 lift Pan iciatIon by City: Upon the sale of the Studio Lot, as defined in Recital E herein, by -Developer, City shall be entitled to receive, as a profit participatibn interest ("City's Profit Participation") an amount equal to five percent (5%) of all "Net Sale Proceeds" over abase price of $100,000,000,00 (the "Base Price"). The Base Price shall be increased by ten percent (10%) every five years after the Closing Date. For purposes of this Section 11. 10, "Net Sale Proceeds" shall be defined as the aggregate sales price for the Studio Lot actually received by Developer, less all brokerage commissions, legal fees, and title and closing costs related thereto. Notwithstanding the foregoing, any sales or transfers by Developer to any Affiliate of Stuart Lichter shall be exempt from the application of this Section 11.10. 11.11 Drainage Easement. Developer agrees to abandon or relinquish an existing drainage easement over the adjacent parcel currently intended to be developed by Kaiser Permanente when such easement is no longer needed as determined by Developer in its sole discretion and such drainage requirement is superseded by a road and drainage plan approved by the City in compliance with all applicable laws and acceptable to Developer in its sole discretion. Developer agrees to grant a drainage -easement over the Acquisition Parcel to benefit theadjacentnortherly parcel currently intended to be developed as a commercial shopping center when such easement is reasonably required as part of the overall drainage requirement for the site on such terms and conditions as determined by Developer in its sole discretion and suchdrainageplan is approved by the City in compliance_ with all applicable laws and acceptable to Developer in its sole discretion. _Zg_ S:VAMUCHTER\Downey\Purcha_sa Agreement\DowneyPSA v I 9.12-04-03.doc Niglio M= 12.1 obligation to_Refrain from Discrimination. Developer shall refrain from restricting the rental, sale or lease of the Studio Property or any portion thereof on the basis of race, color, creed, religion, sex, marital status, national origin, or ancestry of any person. All such deeds, leases or contracts shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: (a) In deeds: "The grantee herein covenants by and for itself or its successors and assigns, and all persons claiming under or through it, that there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, sex, marital status, national origin, or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoymentof the land herein conveyed; nor shall the grantee of any person claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessee, or vendees in the land herein conveyed. The foregoing covenants shall run with tine land." (b) In leases: The lessee herein covenants by and for itself or its successors and assigns, and all persons claiming under or through it, and this lease is made and accepted under and subject to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons, on account of race, color, creed, religion, sex, marital status, national origin, or ancestry, in the leasing, subleasing, transferring, use, occupancy, tenure, or enjoyment of the land herein leased nor shall the lessee itself, or any person claiming under or through it,establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees', sublessee, subtenants, or vendees in the land herein leased." (c) In contracts: "There shall be no discrimination against or segregation of any person or group of persons, on account of race, color, creed, religion, sex, marital status, national origin, or ancestry, in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the premises, nor shall the parties to this contract or any person claiming under or through them,_ establish or permit any such practice or such practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, subtenants, sublessee, or vendees of the premises." 12.2 Police Power. Nothing contained herein shall bedeemedto limit, restrict, amend or modify, nor to constitute a waiver or release of, any ordinances, notices, orders, rules, regulations or requirements (now or hereafter enacted or adopted and/or as amended from time to time) of the City of Downey, its departments, agencies and boards and the officers thereof (for the purposes of this Section 12.2, collectively referred to as "City") &VAMUCHTER\DowneyTurchaseAgreement\DowneyPSA x19.12-04-03.doc including, without limitation, any redevelopment or general plan or any zoning ordinances, or any of City's duties, obligations, rights or remedies thereunder or pursuant thereto or the general police powers, rights, privileges and discretion of City in the furtherance of the public health, welfare and safety of the inhabitants thereof, including, without limitation, the right under law to make and implement independent judgments, decisions and/or acts with respect to planning, development and/or redevelopment matters (including, without limitation, approval or disapproval of plans and/or issuance or withholding of building permits) whether or not consistent with the provisions of this Agreement, any Exhibits attached hereto or any other documents contemplated hereby (collectively, "City Rules Powers"). In the event of any conflict, inconsistency or contradiction between any terms, conditions or provisions of this Agreement, Exhibits or such other documents, on the one hand, and any such City Rules and Powers, on the other hand, the latter shall prevail and govern in each case. This Section shall be interpreted for the benefit of City. Notwithstanding the foregoing, the City represent and warrant that to the, best of their knowledge the obligations assumed and the rights granted hereunder by the City are consistent with City Rules and Powers and they are unaware of any conflict with any such City Rules and Powers. Further, should it subsequently be determined by a court of w-.4k-A-swc-%�nconsistency, exists and in the reasonable business iudgment of Developer such inconsistency materially impairs Developer's ability to use the Studio Property for its intended purpose, then Developer shall have the right but not the obligations to terminate this Agreement without further obligation on the part of Developer. 12.3 Conflict of Interest. No member, official or employee of the City shall have any direct or indirect interest in this Agreement, or participate in any decision relating to the Agreement that is prohibited by law. 12.4 Em foment Coiaorttlnities. To the extent permitted by law, Developer shall make a good faith effort to employ and provide a preference for employment to Downey residents for permanent jobs in the project. Developer shall cooperate with the applicable City departments and local agencies in the advertisement and referral for employment to Downey residents. ARTICLE 13. 13.1 PDgehfaguRss- Cenerall The occurrence of any or all of the following (each, an "Event of Default") shall, after the expiration of the applicable cure period provided in Section 13.3 below, constitute a default (Default(s)") under and a breach of this Agreement: (a) Failure of either party to promptly pay in full any sums or amounts due the other party under any term of this Agreement; (b) Failure or delay in the due, prompt and complete observance and performance of each and every condition, covenant or obligation imposed on Developer or City, respectively, by this Agreement; -30- SAJAMUCHTERTowney\Purchase Agreement\DowneyPSA v I 9.12-04-03.doc -3l- which shalt survive any termination of this Agreement separate and apart from this Section 13.4. 13.5 Specific Performance. If City Defaults under any of the provisions of this Agreement, Developer may commence an action for specific performance of the terms of this Agreement. 14.1 This Agreement is the final, enti and exclusive agreement between the parties and supersedes any and all prior agreement cc ej negotiations and communications, oral or written. No representation, promise, induceme or in the documents referred to herein, and no party shall be bound by or liable for alleged representation, promise, inducement or statements of intention not set forthl referred to in this Agreement. 14.2. ajLccessol lnd s i ns. The terms, covenants, conditions, representations and warranties, contained herein shall be binding on and inure to the benefit of the heirs, successors and assigns of the respective parties hereto. No party to this Agreement shall assign its rights hereunder without the written consent of all parties to this Agreement, which shall not be unreasonably withheld. Any such assignment shall not relieve the party assigning its rights of its obligations hereunder. Notwithstanding the above, Developer may freely assign its rights hereunder. 14.3. Notices. Any notice, request, demand, instruction or other document or communication required or permitted to be given hereunder shall be in writing addressed to the respective party as set forth below and may be personally served, sent by facsimile, or sent by a nationally recognized overnight courier or by U.S. Mail, first class, addressed as follows: To Developer: Industrial Realty Group, LLC 12214 Lakewood Blvd. Downey, California 90242 Attention: Stuart Lichter Fax: (562) 803-4796 With Copies to: Fainsbert, Mase & Snyder, LLP 11835 West Olympic Blvd. Suite 1100 Los Angeles, California 90064 Attention: John A. Mase, Esq. Fax: (310) 473-8702 -32- S:VAWL1CHTER\Downey\Purchase Agreement\DowneyPS A v 19.12-04-03.doc o City I ,Downey: 11 111 Brookshire Avenue Downey, California 90241-7016 Attention: City Manager Fax: (562) 923-6388 With copies to: Oliver, Vose, Sandifer, Murphy & Lee 281 S. Figueroa Street, Second Floor Los Angeles, California 90012 Attention: Charles S. Vose, Esq. Fax No. (213) 621-2211 Any party may change their notice address and/or facsimile number by giving written notice thereof in accordance with this Section. All notices hereunder shall be deemed given: (1) if served in person, when served; (2) if sent by facsimile, on the date of transmission if before 6:00 p.m. P.S.T.; provided that a hard copy of such notice is also sent by either a nationally recognized overnight courier or by U.S. Mail, first class; (3) if by overnight courier, by a nationally recognized courier which has a system of providing evidence of delivery, on the first business day after delivery to the courier; or (4) if by U.S. Mail, on the third day after deposit in the mail, postage prepaid, certified mail, return receipt requested. 14.4 Attorneys' lees- In the event any suit, action or proceeding is instituted by any party in connection with the breach, enforcement or interpretation of this Agreement, the prevailing party therein shall be entitled to the award of reasonable attorneys' fees and related costs in addition to whatever relief the prevailing party may be awarded. 14.5 Real Estate CgMjpi:ssLqn. Developer represents and warrants to City and City represents and warrants to Developer that no broker has been engaged by it in connection with the transaction contemplated by this Agreement. Each party shall indemnify, protect, defend and hold harmless the other party, including reasonable attorneys fees, in respect of any breach of such representation and warranty. 14.6 5qygLqhjjLty. The invalidity, illegality, or unenforceability of any provision of this Agreement shall in no way affect the validity of any other provision of this Agreement. In the event that any provision of this Agreement is contrary to any present or future statute,- law, tatute,law, ordinance, or regulation, the latter shall prevail, but in any such event the provisions of this Agreement affected shall be curtailed and limited only to the extent necessary to bring it within the requirements of the law. 14.7 Law- This Agreement shall be governed by and construed in accordance with California law. 14.8 Waiver. The waiver or failure to enforce any provision of this Agreement shall not operate as a waiver of any future breach of such provision or any other provision hereof. _33- SMAMUCHTEMDowney\Purchase Agret:mcnt\DcwneyPSA v 19.12-04-03.doc -34- S:\JAM\LICHTER1Downey\PurchaseAgreement\DowneyPSAvl9.12-04-03.doe 14.15 _Further Acts. In addition to the acts recited in this Agreement to be performed by City and Developer, City and Developer agree to perform or cause to be performed before or after the Closing any and all such further acts as may be reasonably necessary to consummate the transaction contemplated hereby. _, 14.16 '000 ration ° rior_to Closing'. City agrees to cooperate with Developer to determine the status and availability of all City approvals and permits necessary to enable Developer to develop the Studio Property as contemplated hereunder, and will provide copies or information relating to any other request made by Developer in any way relating to the Studio Property, any past or present operation thereon, specifically including any and all information relating to the City's present use of theNASASite as a movie and television production facility. 14.17 Coo neration in the Event of Le al Challen e. In the event of any legal action instituted by a third party, including, without limitation, any other governmental entity or official, challenging the validity of this Agreement or any Entitlements which may be granted by City for the Studio Property, the parties agree to cooperate fully with each other in defending such action. 14.18 Ex line _Coo o. Developer and City agree to cooperate with each other in accomplishing a tax deferred exchange for either party under Internal Revenue Code Section 1031, which shall include the signing of reasonably necessary exchange documents; provided, however, that (a) neither party shall incur any additional liability or financial obligations as a consequence of such exchange, (b) such exchange shall not delay the Closing; and (c) neither party shall be required to take title to any property as part of an exchange other than Developer receiving title to the subject property herein- This Agreement is not subject to or contingent upon either party's ability to effectuate a tax deferred exchange. In the event any exchange contemplated by either party should fail to occur, for whatever reason, the sale of the subject property shall nonetheless be consummated as provided herein. 14.19 IncoEponItion _ofExhibits. All Exhibits referredtoin this Agreement are incorporated herein by such reference and made a part hereof. [Signatures contained on the following page] =35= S:UAWLICHTEMDowneyTurchase Agreement\DawneyPSA vl9.12.04-03.doc IN WITNESS WHEREOF, the Parties have executed this Real Property Purchase and Sale Agreement as of the date first above written. All signatures of the Parties must be notarized. cccitY7 Date- December 1 9 2009 AITES APPROVED AS TO FORM: Oliver, Vose, Sandifer, Murphy & Lee City Counsel Date: December I'2003 A RO AS TO FORM: Fainsbert Mase & Snyder, LLP Do I WIMT-9-7-M lwqy Deputy City Clerk 9 1 I F 1 9 1 a 1 , , WN=- iF1 By: S. L. Properties, Inc. A Delaware corporation Its: Manage By,. Stuart Lichter, President -36- &VAMUCHTERTowneyTurchase Agreemenl\DowncyPSA v19.12-04-03.doc State of California County of his A_rA9e_1e_5 On ►9 i 20n before mei Date personally appeared or the entity Though the information below is not required by la�, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. Title or Type of Document: Peal PYO i?urchase and Sale Agreement Document Date. Novenber 30, 2003 Number of Pages". 39 Signer(s) Other Than Named Above: StuaKt Lichtex Signer's Name: Trejo I signer's Name: 0 Individual 0 Individual 0 Corporate Officer 0 Corporate Officer Title(s): Title(s): [I Partner — 0 Limited 0 General El Partner — El Limited El General 0 Attorney -in -Fact 0 Attorney -in -Fact EJ Trustee C1 Trustee D Guardian or Conservator0 Guardian or Conservator :E Other: i 1 op of thumb We 0 Other: �®R ®s thumb hM Mayor, City of Signer Is Representing: Signer Is Representing: City of Downey In Q 1995 National Notary Asunciailon ® 0236 Rornmel Ave., P.O. Box 7184 ® Canoga Park. CA 91309-7104 Prod, No. 5907 Reorder: Call Tall -Free 1-800-878-8827 STATE OF r •• COUNTYOF • On it the Mayor of E OF DOWNEY, the public entity named persontherein, personally known to me (or proved to me on the basis of satisfactory evidence) to be the - , he executed the same in his authorized capacity, and that by his signatureum ent the public entity upon behalf of which the person acted, executed the within instrument. WITNESS my hand and official seal. Signature (This area for official notarial seal) STATE OF CALIFORNIA COUNTYOF • Signature - 37 S:VAMILICHTER\Downey\Purchase Agreement\DowneyPSA v 19;12-04-01doc C :nirnr soon 8i 1305372 +;k": h4oWYPublic -C3hfOrr,12 f � Los Anples County x�m..� h�� r;nr�rY, £ �airrx7��y21 2CPii5 (This area for official notarial seal) rir Exhibit "A" NASA Site Plan (Recital A) Exhibit "B" License Agreement (Recital C (viii)) Exhibit "C" Existing Environmental Documents (Recital D.- Section 9 , 3) Exhibit "D" Studio Property Site Map (Recital E; Section 1.3.1) Exhibit "E" Acquisition Parcel So Map (,Recital E) Exhibit "F" Acquisition Parcel Legal Desdiplioq (Recital E, Section 2. 1. 1) Exhibit "G" Ground Lease Parcel Site Map (Recital E) Exhibit "9' Ground Lease Parcel Legal Description (Recital E) Exhibit "I" Form of Certificate of Compliance (Recital F (iv); Section 3.1) Exhibit "J" Cut -Out Parcel Legal Description (Section 2.2) Exhibit "K7 NASA Documents (Section 4.1;Section 7.1.3) Exhibit "I:' Form of Memorandum of Ground Lease (Section 5.1.6) E,,Iaibit'QTW7 Excluded Personal Property (Section 2.1.3) Exhibit "N" Form of Occupant Release (Section 9.6.1) ExEbit "0" Other hiftastructure Requests (Section 11.2.3) -3B~ 1 E71EADSON k ASBQCIATE1,_INC. Surveying & Mapping Consultants SIEWART AND GRAY ROAD 5220 0 STREET CHINO, CA. 91710 (909) 364-1681 EMS11NG PARCELS (909) 364-1781 FAX PARCEL 6 ELM- 4i'TA DR. PARCEL.. 1 I Tech _- 400 - feet WASKSUR 1RM ; m PARCEL 5 0 m Y PARCEL 2 1 -5 x PARCEL 3 ! f I PARCEL Ii IMPERIAL HIGHWAY EXMIT A - DIAGRAM OF THE NASA Si t(141FXHlRlTRAwo 5-1.9-03 9:.42-45 = FST License Y REVOCABLE LICENSE The NATIONAL'AERONAUTICS AND SPACE ADIA MSTRATION (NASA), acting by and through grant to the CITY, OF DO Y, CALIEO A (the City), this Revocable License (this. License) for the term of one (1) year, for the non-exclusive use of Parcels I and 2 of the NASA Industrial Plant (the Premises), located at 12214 Lakewood Boulevard, Downey, California, and described in Exhibit A to this License, for film and video production, other purposes related to film and video production, site preparation for development (including environmental testing), and for such other purposes as may be added to this License pursuant to the terms thereof, subject to existing easements and rights-of-way. and subject to the following conditions: yes by this License, and any construction, m aintenAncc, License, all communications, requests for approval; and other coordination pursuant to this License between the City and NASA shall occur through the JSC Realty Officer, NASA Johnson Space Center, 2101 NASA Road 1, Mail Code JA16, Houston,, Texas 77055. All requests for consent or approval from the City to NASAunderthis License, and all consents or approvals granted by NASA under this License, must be in writing_ b. STRUMMES. The City shall not place or construct upon, over or under the Premises any installation or structure of any kind or character, without the prior written consent of NASA. Upon terrinna tion of this License, to the extent directed by NASA; the City shall remove all alterations, additions, betterments and improvements made, or installed, pursuant to this License, and restore the Premises to the same, or as good condition, as existed on the date ofentry under this License (with the exception of reasonable wear and tear, acts of God, or apts of NASA, its agents or contractors), unless such termination is incident to the transfer of title to the Premises from the United States to the City. c, LAWS AND ORDINANCES. Ina the exercise of any privilege granted by this License, the City shall comply with all applicable Federal, State, municipal and local laws, regulations, and ordinances, mid the rules, orders, regulations and requirements of Federal governmental departments and bureaus. d. SANITARY CONDITIONS. The City shall at all times keep the Premises in a sanitary condition satisfactory to NASA. ee 'DAMAGE. No United States property shall be destroyed, displaced or damaged by the City in the exercise of the privileges granted by this License without the prior written consent of NASA. NASA's consent will be conditioned upon the express agreement of the City promptly to remove all rubble and debris resulting from the destruction; displacement, or damage to property in the exercise of the privileges granted by this License. Any proposal by the City to destroy, displace, or damage United States property underthis License which may result in the generation of hazardous Waste shall be subject to the requirements of section H. d_ below. The City shrill be liable for any loss of, or damage to, the Premises, including any environmental loss or damage to the Premises, incurred ai a result of its use, and shall make such restoration or r6pairi or monetary compensation, as may be directed by NASA. Tlie City shall not be responsible for any loss of, or damage to, the Premises incurred solely as a result of reasonable wear and tear, acts of God, or acts of NASA, its agents or contractors, occurring during the term of this License. Pre-existing conditions are covered by section L p. below. f, STORAGE. Any United States property which must be removed to pen -nit exercise of the privilege granted by this License shall be stored, relocated or removed from the, site, and returned to its original location upon terrninstion of this license, at the sole cost and expense of the City, as directed by NASA, unless NASA determines that such activities will be rendered unnecessary due to the transfer of title of the Premises from the United States to the City. g. OPERATION. The City shall confine activities on the Premises strictly to those reasonably necessary for the enjoyment of the authorized uses hereby Licensed, as set forth in section [I. a., and shal I refrain froin unreasonably marring or impairing the appearance of said Premises, obstructing access thereto, inter&ring with the transaction of Government business and the convenience of the public, or jeopardizing the safety of persons or property, or causing public criticism. The City shall maintain the Premises, including all equipment, fixtures, and appurtenances furnished by NASA under this License, in as good a repair and condition as the condition of the Premises as of the date hereof; with the exception of reasonable wear and tear, acts of God, or act's of NASA, its Agents or contractors. The City shall obtain, at its own expense, any utility/energy resources required to operate the Promises in the desired operable condition ("Promises Utility Services"). The City,shall also provide, at its own expense, security adequate to maintain the Premises in a safe condition. In addition to the Premises Utility Services, upon request by NASA the City shall undertake commercially reasonable efforts to provide available Utility service, including uninterruptible power, to NASA for the ongoing remediation work ("NASA Utility Service"). NASA shall reimburse the City for all actualldirect costs and expenses incurred by the City. in supplying the NASA Utility Service in a manner to be agreed upon by NASA and the City. The City shall have the right to contract with any utility provider, in its sole and absolute discretion, for the supply of the NASA Utility Service. In no event shall the City be required to assume or be bound by any contract, arrangement or other agreement by which utility service is currently being provided to NASA for the ongoing remediation work. h. NO-TICE. Any property of the City installed or lo ' cated on the Premises shall be removed upon: thirty 0. 0) calendar days written notice livoin NASA, or upon such notice as indicated in section I. m. below, unless NASA determines that such activities will be rendered unnecessary due to the transfer of title of the Premises from the United States to the City, i. NONDISCRIMINATION. The City agrees that no person will be discriminated against in connection with the use made by the City of the Premises on the ground of race, color, national origin, sex, handicapped condition, or age, nor will any person be denied the benefits of or be subjected to discrimination under any program or activity held, conducted or sponsored by the City in that any activity, program or use made of the Premises by the City will be in compliance with the provisions of title VI of the Civil Rights Act of 1964, as amended (42 U.S.C.'2000d et seq.), Section 504 of the Rehabilitation Act of 1073, as amended (29 U.S.C. 794), and the Age• Discrimination Act of 1975, as amended (42 U.S.C, 6101 et seq.), and the applicable regulations of NASA (14 CFR. Parts 1250-1232). The City will obtain from each person or firm, who through contractual or other arrangements with the City, provides services, benefits or performs work on the Premises, a written agreement whereby the person or firm agrees to assume the same obligations with respect to nondiscrimination as those imposed upon the City by law and will furnish a copy of such agreement to NASA. The breach by the City of conditions relating to nondiscrimination shall constitute sufficient cause for termination of this License. j. IN ' DEMNIFICATION. The City shall indemnify and hold hartnlegs the United States, its officers, agents servants and employees (the released parties) against any and all actions, claims, demands, liabilities, losses, or damages whatsoever, that may in any manner be imposed on, or incurred by, the released parties under the Federal Tort Claims Act, as amended (28 U.S.C. 2671 et seq.), any environmental law or regulation, or any other law, due to the death or injury of any person, or The loss or 2 damage, including environmental loss or damage, to the property of any person, directly or indirectly due to the exercise by the City of the privileges granted by this License, or to any other act or omission of the City, including failure to comply with the obligations of this LB'cense_ Pre-existina conditions are covered by section 1. p. below. The indemnification provided for in this section 1. j. shall be independent of the presence or absence of any insurance coverage. k. INSURANCE. The City, at no expense to NASA, shall carry and maintain the following insurance during the entire period of this License: (1) Insurance providing coverage (in the amount of two million dollars ($2,000,000) per occurrence and in the aggregate) against claims for property damage, and personal injury, including without limitation, bodily injury or death, occurring upon, in or about the Premises, including any buildings thereon and adjoining Sidewalks, streets, and passageways, which shall include coverage against liability for bodily injury and property damage arising out of the acts or omissions by or on behalf of any person or organization using the Premises in connection with the City's activities, including use involving any owned, non -owned, leased or hired automotive equipment ("General Liability Insurance"). NASA acknowledges that the City shall: (i) be'self insured for the first one million dollars ($1,000,000) of General Liability Insurance, and (ii) maintain excess municipal liability insurance in the amount of one million dollars ($1,000,000) through a pooled system of insurance provided by the Independent Cities Risk Management Authority ("ICRMA'); in full satisfaction of its General Liability Insurance obligations under this License. Subject to the terms of section 1. k.(5), the City shall maintain General Liability Insurance throughout the term of this License. The City's self insurance coverage shall be evidenced by the issuance of a Certificate of Insurance to NASA in the form attached hereto as Exhibit 8, concurrently with the execution of this License. (2) If and to the extent required bylaw, the insurance required to be carried and maintained by the City shall include workers' compensation and employer's liability or similar insurance in form and amounts required by law. (3) All policies of insurance which this License requires the City to carry and maintain shall be effected under valid and enforceable polices issued by,insurers of recognized responsibility. All insurance policies` or certificates issued by the respective insurers as provided `for above shall be for the mutual benefit of the United States and the City, and shall name the United States, National Aeronautics and Space Administration, as either a named- insured or as an additional insured, as appropriate for the particular policy, Each policy shall provide that any losses shall be payable notwithstanding any acts or failure to act or negligence of NASA or the City or any other person; provide that no cancellation, reduction in amount, or material !change in coverage thereof shall be effective until at least thirty (30) calendar days after receipt by NASA of written notice thereof; provide that the insurer shall have. no right of subrogation against the United States; and be reasonably satisfactory to NASA in all other respects. Under no circumstances will the City be entitled to assign to any third party rights of action that the City may have against the United States. Notwithstanding the foregoing, any cancellation of insurance coverage based - on nonpayment of the premium shall be effective upon thirty (30) calendar days' written notice to NASA, The City understands and agrees that cancellation of any insurance coverage required to be carried and maintained by the City shall constitute a failure to comply with a material tent of this License, and NASA shall have the right.to terminate this License upon receipt of any 'such cancellation notice provided that NASA has first notified the City in writing of its intent to terminate this License on account of such failure, and the City fails to provide NASA evidence of insurance within fifteen (15) days ofthe City's receipt of such notice. (4) The City shall apply and use any proceeds paid under any insurance policy or policies carried and rnaintaiiied.by the City pursuant to this; License first to satisfy any claims, damages, and costs assessed against the United States, or to restore, repair or replace any United States property damaged or destroyed, or both, as the case may be. 3 (5) Notwithstanding anything to the contrary in -this section 1. k., the City may satisfy its insurance obligations under section 1. k. , 1) and section 1. k. (2) by requiring its licensees, sub.licensees, and invitees to carry such insurance coverage and requidng that they name NASA an additional insured 00 policies evidencing such insurance, in which event the City shall be relieved of its obligations under section 1. k. (1) and section 1. k. (2) until such licensees, sublicensees, and invitees n ' o longer carry such insurance coverage; provided that NASA has given its prior written approval to each such insurance policy carried, and provided that the City has assured NASA that no gap in the required insurance coverage will result from this alternative procedure, I. NON -ASSIGNABILITY. The License shall be neither assignable nor transferable by the City, The City may enter into sublicemses under this License upon prior written approval by NASA for each such sublicense. Such approval shall not be unreasonably denied. TERMINATION. This License shall terminate at the end of one (1) year from the date hereof, unless renewed pursuant to section 1. o, below. This License may be terminated at any time by NASA, without cost to'NASA, upon thirty (30) calendar days written notice to the City if there has been a failure by the City to comply with any term or condition of this License; or there has been a determination by NASA that the interests of the national defense, the national space prograin, or the public welfare require such termination, or that termination is desirable in order to facilitate disposal of the Premises. If this License is terminated by NASA, written notice of termination shall be given to the City by the Director of J.SC, and the terminaticin shall be effective as of the date specified by such notice- This License may be terminated by the City at any time, upon thirty (30) calendar days written notice to NASA. This License shall automatically terminate upon tho transfer of title to the Premises from the United States to the City, if such transfer occurs prior to the expiration of this License. n. ATTEMPTED VARIATIONS. There shall be no variation or departure from the terms of this License by the City without prior written consent of NASA. 9, - RENEWAL. Upon the mutual consent of NASA and the City., this License may be renewed prior to its termination at the end of its One (1) year term for an additional one (1) year period, p. PRE-EXISTINO CONDITIONS. The City shall not have any obligation, liability or responsibility to (i) correct,, rernedy, or indenutify the released parties under section I. j, above, for any violations of applicable Federal, State, municipal and local laws, regulations and ordinances, and the rules, orders, regulations and requirements of Federal governmental departments and bureaus in effect as of the date hereof relating to the physical and/or environmental condition of the Premises existing on or before the date hereofi or:(jl) to remediatc, indemnify the released parties under section I. j. above, or otherwise take any action with respect to any hazardous substance existing in, on, under, or about the Premises as of the date hereof not released by the City or any sublicensce, agent or contractor of the City, and for which the City, or any sublicensee, agent or contractor of the City, is not otherwise responsible. ilow&er, the City agrees that no action shall be taken or omitted which would in any way aggravate any existing violation of applicable Federal., State, municipal and local laws, regulations and ordinances, and the rules, ordert, regulations and requirements of Federal goveminental departments and bureaus in effect as of the date heredf relating to the physical and/or environmental condition of the Premises. Consistent with section .1, q. below, the City accepts the Premises under this License "As Is". I. TRANSFER OF THE PRE SES "AS IS". The City agrees that the Premises are transferred to the City under this License "As Is" for the authorized uses contained herein, without any representation, warranty, or guaranty of any, kind as to any matter related to the condition or state of repair of the Premises, including but not united to any representation, warranty, or guaranty that the Premises are in a condition or fit to be used for the purposes authorized by this Liccnse. The City acknowledges that it has inspected, is aware of', and accepts lie condition and state of repair of the Premises, and further acknowledges that NASA has not made any representation, warranty, or guaranty concerning the condition of state of repair of the Premises. n 11. SPECIAL CONDITIONS— a, The only authorized uses of the Premises as of the effective date of this License are for film and video production, other purposes related to Film and video production, and site preparation for development (including environmental testing). NASA may authorize additional uses upon the request of the City, provided that such uses are not incompatible with ownership of the Premises by NASA. Such authorization of additional uses must be, in writing. b. The City and NASA recognize the importance of the environmental remediation and monitoring being undertaken by NASA pursuant to its responsibilities under environmental laws and regulations, and the necessity of Maintaining undisturbed the areas of such environmental remediation and MoOitorifig. The City w . ill take all necessary measures to secure these areas, listed in Exhibit C to this License, and to ,restrict access to these areas to City and NASA employees and contractors -with a need to inspect or work in these areas. The City will also ensure that all activities undertaken pursuant to the above authorized use or uses are compatible with the proper operation and maintenance of the environmental remediation and monitoring being undertaken by NASA. c. The City is authorized to conduct environmental testing upon the Premises for purposes of site characterization in preparation for development subject, to the following conditions. Prior to the commencement of any environmental testing on the Premises, the City shall provide a workplan for NASA approval at least ten (10) working days prior to the proposed commencement of testing. The work plan must outline the kind of testing being proposed, the location and the duration of the proposed testing, and the methods to be used in such testing. The work plan must also include an opportunity to take split -samples for analysis by NASA's environmental contractor. The City must provide NASA with a copy of any reports produced as a result of any tests taken on the site. The work plan should be submitted to the Environmental Office, NASA Johnson Space Center, 2101 NASA Road 1, Mail Code 'JAI 3 1, Houston, Texas 77058. NASA will use it best efforts to either approve or deny approval to the plan within ten (10) working days of receipt of the work plan by the Environmental Office. Environmental testing shall not commence before the approval of NASA is obtained. If approval is denied, NASA will give its reasons for such denial, and will use its best efforts to work with the City to help formulate an acceptable work plan for environmental testing. d. Any proposal bythe City to destroy, displace, or damage United States property under this License which may result in the gen'eration of hazardous w ' waste pursuant to the Resource Conservation and Recovery Act (RCRA), as amended, 42 U.S.C. 6901 qLM., shall include a work plan for NASA approval containing a description of the proposed process for packaging and handling the hazardous waste, and transferring the hazardous waste off site, including record-keeping procedures and the identities and Environmental Protection Agent' ID numbers of all entities involved in the generation, transportation, and,disposal of the hazardous waste. The work plan should be submitted to the Environmental Office,'NASA Johnson Space Center, 2 101 NASA Road I, Mail Code JA 13 1, Houston, Texas 77058. NASA will use it best efforts to either approve or deny approval to the plan within twenty (20) working days of receipt of the working plan by thi Environmental Office, No United States property containing hazardous waste shall be, destroyed, displaced or damaged before the approval of NASA is obtained. If approval is denied, NASA will give its reasons for such denial, and will use its best efforts to work with the City to help formulate an acceptable work plan for hazardous waste, disposal. d. The City shall forward any funds received from the sale of United States property destroyM, displaced, or damaged under this License, including but not limited to sales for recycling or materials recovery purposes, net of reasonably allocated costs, to the following address: -ISC Collection Agent, NASA Johnson Space Center, 2101 NASA Road 1, Mail Code, LZ, Houston, exas 77058, f. The City and NASA acknowledge the existence of numerous structures on the Premises which have been identified as having historical significance, and that a Memorandum of Agreement (MOA), dated use or uses are corrrpatible with the Historic property MOA. ty MOA include Buildings 1, 6, 10, 11, 25;;36, 39, 41, 42, 108, 120, 123, 125, 126, 127, 128, 130, 288, and 290. parties agree: that this listing of structures covered by the MOA is not all inclusive.) Furthermore, the City shall provide a copy of the MOA along with all referenced documents to any sublicensee, agent or contractor, and agrees to provide oversight to make certain that all aspects of the MOA are properly complied with by any sublicensee, agent or contractor. The parties agree that failure to comply with the MOA shall constitute a sufficient' cause for termination of this License. g. Prior to the commencement of any film production activity on the Premises, the City shall afford NASA a reasonable opportunity to review the script, to ensure that the script does not compromise or otherwise adversely affect the integrity, reputation, and high standards associated with NASA and the U.S. Government. Film production activity shall not commence before the approval of NASA is obtained. NASA will use its best efforts to initially approve or deny approval of the script within twelve (12) working days of receipt of the script by the JSC Realty Officer, NASA Johnson Space Center - 2101 NASA Road 1, Mail Code JAI 6, Houston, Texas 77058, who will forward the script to NASA Headquarters for review, if necessary. h. For any authorized use pursuant to which the City derives net revenue during the term of this License, the City shall submit to the Collection Clerk at the address shown below at the end of the one (1) year terra of this License, and at the end of the one, (l) year renewal period, if applicable, a certified statement itemizing its operating expenses and the revenues derived from the use or the Premises, along with a check or money order made payable to NASA for 50 percent of the revenues generated by the use of the Premises in excess of the City's expenses. The certified statement and payment, if any, shall be mailed -to the following address: JSC Collection Agent, NASA. Johnson Space Center, 2101 NASA Road 1, Mail Code LZ, Houston, Texas 77058. (All such revenues received by the JSC Collection Agent shall be deposited in the miscellaneous receipts accounts of the U.S. Treasury,) i. For purposes of implementing the above GENERAL CONDITIONS and SPECIAL CONDITIONS clauses, prior to commencing any activities cn mpassul by the above authorized use or uses, the City shall submit a plan to the Environmental Office, NASA Jehnson Space Center,, 2101 NASA Road 1, Mail 'Code JA131, Houston, Texas 77058, which shall include the following; 1) a description of the locations proposed to be utilized for such activities, including the specific buildings and areas to be utilized; 2) whether flammable or hazardous materials will be used in the perfomisacc of the activities, including the proposed utilization of any. Federal or State listed hazardous or toxic materials, pyrotechnic devices, bio hazardous materials, radioactive materials, or hazardous wastes from anyoff-site location; 3) whether individuals who are not employees of NASA or the City will be Invited onto the Premises, and 4) the .precautions and safeguards to be implemented for purposes of complying with Federal, State, municipal and local environmental and healthand safety laws, regulations and ordinances. The plan tnust contain a certification by the sire Marshal of the City, or other appropriate City official, to the effect that the proposed activities are compatible with the areas in which they are to be perforated, with the Historic Property MOA, and with the proper operation and maintenance of tile environmental remediation and monitoring areas; and that the proposed activities comply with all Federal, State, municipal and local 1k, Aronmentat and health and safety laws, regulations, and ordinances. 6 IN WITNESS WHEREOF, NASA and the City have executed this license of the date last set forth below. FOR NASA: Dater Po a + a' ;DO Roy S. EsWas Acting Director Lyndon'B. Johnson Space Center FOR THE CITY: Date: O V. Robert C. Winningham Mayor City of Downey ,4 F Y a APPROVED AS TO FO r x 4 f a a q tel Ugal Counsol 7 EXHIBIT tt�,, PSOMAS EXHIBIT* A 4L,A . DES CWMq N r. 3 a Those portions of Lots 2 and 3 and the northwest quarter of the southwest quarter 5 of fractional Section 10, Township 3 South_ lunge 12 West, in the Rancho Santa 6 0CMUdes, in the' City of Downey. County of Los Angelos, State of California as 7 per trap mcordcd in Book L Page 502, of KUallan ous Records, records of said 8 County, described as d whole m follows-, 9 ° 1t) Sat" a point on the northerly line of Ut 2 In said northwest quntscr of It bcdonal Secgon 10, said ling also hcing the northerly line of Stewart and Gray 12: Road, $0 foot wide, distant thereon .South 89 degrees 52 minutes 14 seconds West 17 Sl fact Emm the northeast comet of said Lott; thence en a line between said ." 14 point of beginning and the southwest corner of tiro southeast quarter of the 13 northeast 9 of the s0uthwcst quarter of said fractional Secdon 10, South p ° 16 t degrees 13 minutes 16 seconds West 1722.21 feet•, thence South 09,degrSes $1 11 talnut=04 seconds We5018,12feer, thence South 0 dcgtas 08 rwnut=S6 11 seconds 70.39 feet; thence South 89 dagtecs 46 trtinutax 04 seconds West 19 ' 1039.00 feat; thence South 0 dagr= 08 nunutas 56 seconds est 25,70 feet; M thcucc South 89 deg= 51 minutes 04 seconds West 357-50 fcet to the 21 notthwestcrly lino of sald fractional Sccdon 10, said lime being parangi with and ' 22 d1stant 20.00 fejt •$Ouch=. tc°rly, Racasutrd ac right ®ng)=, fico' the ccntr of 23 Lskewo9d Boulevard, 80 feet wide, as shown on County Surveyors B Seder Map 24 No. 1147, an filo in the offrcc of the County Engines of said County; thence 25 along said no7rthwtsterly line offrwtional Section 10. North 31 do 41 26 'uta 38 S=onds Faso 1593,10 foot to an jV00 poittit; thence Wong'same Notch ; 27 31 do 2e, minutes 35 306003 East 558.11 feat to the notrhedy line of said 211 ; Lot 2; thenc c along sad northerly lino. Norah 99 ftre c 52 minutes le, seconds 29 FpStI97.112 fret to the point of beginning. I A 7. tth t r 'taloa Shect 1 of 2 I1 . �. A -99 06905894 BEING A PORTION OF SECTION 10, TOWNSHIP 3 SOUTHi RANGE 12 WEST, RANCHO SANTA GERTRUDES- IN THE CITY OF DOWNEY, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA PER THE MAP THEREOF RECORDED IN BOOK 32, PAGE 18 OF MISCELLANEOUS RECORDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID LOS ANGELES COUNTY, DESCRIBED AS FOLLOWS: COMMENCING AT THE MONVMENT IN THE CENTERLINE INTERSECTION OF LAKEWOOD BOULEVARD AND STEWART AND GRAY ROAD, AS SAID MONUMENT IS SHOWN ON CALIFORNIA DEPARTMENT OF TRANSPORTATION bISTRICT 7 SURVEY FIELD NOTES, FIELD BOOK ALA019C, PAGE 35; THENCE SOUTH 9406.1W FAST A DISTANCE OF 544.13 FEET TO THE TRUE POINT OF BEGINNING; THENCE SOUTH 0903'04" EAST A DISTANCE OF 152.65 FEET; THENCE NORTH 69055'46" EAST A. DISTANCE OF 278-72 FEET; THENCE NORTH 0'06'38" WEST A DISTANCE OF 204.40 FEET; THENCE NORTH 88452'21"WEST A DISTANCE OF 148.88 FEET; THENCE SOUTH O*OV406 WEST A DISTANCE OF 19.43 FEET THENCE NORTH'89'41'0 1"WESTA DISTANCE OF 76-82 FEIET. THENCE SOVTH 0`091W EAST A DISTANCE OF 36.71 FEET; THENCE NORTH 69414'03" WEST A DISTANCE or 52.74 FEET TO THE TRUE POINT OF .BEGINNING. GORDON D. EDWARDS PLS 6678 EXPIRES 6-302004 1 w, 2 Except the nonhweatesly 20 fact of UW parlion lying wuthMy of the coutbcrly 9 lino of the lead dc=mibcd in the dccd to 1, }L Mu, as mcanicd in Book 20, Page $67 of , of aMd County. included in s A 6 pdoQ 13 dascribed is deUncafed o4 the actiompsgytng "CITY QF 7 DOWNIEY -.NASA EXMIT and Is ma& a pan hm=f for mfcm= ® p 9 10 TWa lcpl description is not intcndtd to be owl in the camvcyaticc of land in 1! violati®n of me Suc vision Map Act of the 2kW of Ca4fprnjjL 12 , 1] 16 Robcrt C. Olson. PU 5440 1s` sF Psotaas and A=JaW JIL8. 14 x 4 T Y 0 F I � \ EX PSOMAS s t tw [ON 4 That pardon of the southwexquawa of freedonal Section l0. Township 3 South, Rsagc S 12 Wm in the PAncho Santa Ge , in the City of Downey, County of las Angales, d Statt of California v ger map recorded 1st Book 1, page 502, of Nscollaneous rcot*, 7 'r ands of sold County: dmribed as foUowr. s 9 Beginning at a point on the narthady line n(Lot 2 In said northwest quiocrof nudond 10 Sectlan 10, said line also being the ssorthedy line of sed Sttwast and Gray 11oa4, 80 feet 41 wide, distant thatnon South 89 dcp= 52 minutes 14 swunds West 846.51 fat (rota 12 the tiorrheast comer of a4d Lot 2: th<mcc on a Lina betw=n said point of beginning and 13 the southwest tomer of the southom quartar of the northeast quarter of the southwest 14 quvwr of said fractional Section lei. South 6 degm la minuses 16 scconds West 1S 1722-21 feet to the tme point of beginning. thence South 89 degrees 51 ruinutes 04 15 seconds west 318.22 tat; thence South 4 degrvts 08 rninutas 56 seconds t 7039 17 faet; thence South 89 deVres 46 adnatsa 04 sccands West 1039.00 feet•, thenen South 0 l8 deg=& 08 minutes 56 seconds Elst 25,70 fat; chance South 89 degrftz Sl minutes 04 19 seconds West 33196 feat to the southeasterly line of L&k4-wood $ouleva,d, 80 feet 20 ` wide, as shown on County Surveyors 11 Sedet MV No. 1147, an file in the office of the 21 County Xagineerof said County; thence alogg said southmtedy lint of _ wood 22 Boulevard South 31 degiecs 41 WaUlcl 38 seconris Weal505.70 fcct to the easterly line 23 of Clark Avenue, 74 feet wide, as chowa on said County Surveyors B Series No, a. 24 1147; titan= along said aasn;rly tinc, of ClUk AvtztU4 South 0 degrees 03 mji utas 38 25 'seconds Nest 465.36 feet to aline which is Iel with and $93.40 fact northedy, ° 2d at right angles, from the northerly flue of P 'Map N®. 24577, in said City. 27 as per map filed in Book 273, PaM 73 through 75, inclusive of Penial Maps, t oids of 22 said County; thence along said p. el litre North 19 degroes 51 r ahnutca 30 seconds 29 a. Eut 96126 Fea to the amtherly prolonptlan of the easstnxty Vne of told Parcel Map No. Sheet I of ... _ 069058q,* I 24sn, thence slang saki aurthedy prolan Won Somh 0 ddpw4 oo manutu 20 S=01lds 2 EA31407.41 feet to a line pwallel with and 844,00 feet northerly. mc&vAtd alright 3 angles to the southerly line of ftcdonal Section 10; d=c* Man& Wd parip,01 JWC North 4 89 dtgm= 51 winotel 30 Seconds ELU 991.56 feet to the mtmiy line of the weswly S half of the soulheut quartitr of the souAhww quarter of Said fcwdcqW Sxd4n 10; 6 thence Norah 0 dc5rea 02 minutas 18 moods West 477.41 fat to the /oothwast corner a 7 of the southeast q of the aortheaat quanct of tate southwest quarter of Said a buctiOul Secdon 101 thence North 0 degmes 13 mirluto 16 seeorrds EAn 922.82 feet to 9 the mw Doing of begimiing. 10 11 This UDescription As described is dohnexled on the womponying" OF 13 RO - NASA EXIIb3rr MAPand lr mak a put hemof for refer tnca purposes. 13 14 This legal description is not iateaded to he wed is the eanvoyance of lend In violation tee of the Subdivision Map Act of die swe of forma. 16 17, 1� r 19 r, 30 if0 Rob C. Olson, PLS 3490 1Psomp snd Associvzs , v . O 24 26 27 I S 29 i 29 . r tit shaft 2 ®f 2 + s+ 99,0690589 + w • r ' ("'ITY OF DOWNEY - NASA EXHIBIT MAP PAP44EL 2 eoUK" ff tlo& EXHIBIT "B" UTURE UNLIMITED CERTIFICATE OF INSURANCE OR SELF INSURANCE below, it is the intent of the City of Downey to mail 30 days' prior nofice thereof to: JSC Realty Officer NASA Johnson Space Center 2101 NASA Road 1, Mail Code JA16 Houston, Texas 77058 Th ' e City of Downey certifies that the following self - insurance programs or insurance policies are in force: Tins CFATIFICATF, IS NOT VALID UNLM SIGNIED BY AN AUTHORIZED REPRIESENTATIVE OF THE CITY OFF it PATE +INANCE DIRRIUMCrOWRIZ MANAGER CATY OF oov*sy 'Qor intonnticia regarding dw a1mve self-iftsumace coverage pleasc contact the Finance DcPart-but at (310) 904.7264 I-L-NFILIANCEUM1011COFF)INS CERTIFICATE 1131T `<C" TO SPIKC AND WASHER At C% wl OF RAW1W ST & VWEE AVE A.C.CEP70 rS Cn OF 0911He'f MOH 160, 0-511. PW HQ 4-7A AP.n HOfCS ON W WH THE CITY 0461NCEA N.$716.2I 76.o `� ... E .6748 1 Yet MUM) v �• `v fit+ MS`5 09 Mf) -'j.. M 94L AO WTASITTR LS 049 At Ct 4t, Or WEWOW OL * ST€WrAAr 00 ouw 0,040, EhTEO P3 C,Tt OT oomwr UCK 1". 0-"1—. NO, 134 PER T TQC. 'I OIE W*WEY WY TTtiIWRT CL M PVT MIPANS T4 "$w/o=N a s,,gSa E 8S 074107 V 1 AN® rt 1794757,1¢53 t � f GRAY ACTAO X M w O SWK( W1444ER Hi,'k: 18713. X NO off"EACC" ACC At o"T CN :. LINE a OT vywoou 0t N 412'21, � Vw$.g;00"T74.0"� CO.� 4 244 ftp 1,22 ACRES b a OR LESS � yy Y , I 81Q0. 217 CSR to WA SlItIc AND *Alto, Act tatty, No EaLt z'- -1AW 1, J CPTco AS "Itc POV41 STAVAN "Ot- + of .t .1 V&VOW T1t. PCTT . OA IRAt40 TO. MAA -401. WE „S6 1 : U hNTA .. 'O EW WAS OT,"tril AND 2111 :. AT OF of Wal Or WOO, we", #14 00 Y !S„ 1, Tt 95 96T A P: TT t WtMf AITt 01W WE OP RE z WELL AND PIPWG LarA WfAe PROVM CY CAM TE01 Ado ME NOT A PART OF TNS SUV. EXP NATIn SURVEWO FENCE OW LOCATM' - ---- Y uwn GROUNOWAIU WMTW04WkL LOCATM SOL WPM RMAUM (M WELL LWAMN --- — TE LOWION OF WE Nf1TCQ� _ 1, SOURCE OP - SURVEYED BY IM. EH MCONiG ON MAY 15, 200E Q: SAIL YAP®R EXTRACTION COMPOLM Aga ANO WM LOCATIONS ARE APPROXIMATE, J. BUWK LWnONS 9ASW ON UAP BY ROCKWUL FAMMES.. RONNYNTAL PEPQN40 Dui UY iTO��' 4 R YY pREC � EORk_— rING 0 E& OY 09,..SUITE 100orIR. IINS Ix7 1+H. s k;l l r r, IT 44C99 Existing Environmental DocumentsI 1 EXHIBIT C List of EnvilroutitentAl DoOtMeRt' 1. Proposal for Environmental Insurance - City of Downey, California; IRG Environmental, LLC; undated but circa July 2002 2. Groundwater Remediation Scope of Work - Enhanced Reductive Dechlorinatiop - NASA Industrial Plant, Downey, California, AGM, undated but circa July 2002 1 3. Groundwater Monitoring Report First Quarter 2002 NASA Industrial Plant 12214 Lakewood Boulevard, Downey, California 90241; Earth Tech; April 30,2002' 4. City of Downey - Downey Landing Specific Plan; BIP Associates; February 2002 5. Additional Site Assessment Report= NASA Industrial Plant 12214 Lakewood Boulevard, Downey, California Project Number 36484; Earth Tech; February 15, 2002 6. Work Plan for Phase 11 Environmental Site Assessment and Risk Assessment Former Parcel 11 Portion and Parcel IV of NASA/Boeing Industrial Facility 12214 Lakewood Boulevard Downey, California; SECOR Intemational Incorporated; Jandary 29, 2002 7. Phase E Environmental Site Assessment Report Former Parcel 11 Portion and Parcel IV of NASA/Boeing Industrial Facility 12214 Lakewood Boulevard Downey, California SECOR Job Number 037.20576.001; SECOR International, Incorporated; November 15, 2001 8. Draft Health Risk Assessment Former NASA Industrial Facility, Downey, California, Clayton Group Services, -Inc., October 2001 9. Midpoint Sampling Report Building 244 and Additional Assessment Building 287 NASA Industrial Plant 12214 Lakewood Boulevard Downey, California 90241- 7009; 0241-7009; Earth Tech; August 3, 2001 10. Report of Phase I Environmental Site Assessment Proposed Bellflower Replacement Hospital Near Northwest Coiner of Imperial Highway and Bellflower Boulevard Downey, California (LAW Prbject 70131-1-0097.0002); LawGibb Group; May 8, 2001 . I It. Radiation Survey of the Downey Facility (RS -00019); The 'Boeing Corporation; March 1, 2001 . LAnVS39.21 F 12_ Additional Site Assessment Report Parcel l and Parcel 11 NASA Industrial Plant 12214 Lakewood Boulevard, Downey, California 90241-7009; Earth Tech, Inc.; September 28, 2000 13. Interim Remedial Action Plan Building 244 Area NASA Industrial Plant 12214 Lakewood Boulevard Downey, California 90241-7009; Earth Tech; June 27, 2000 14. Environmental Assessment for the Disposal and Reuse of NASA Industrial Plant Downey, California, NASA; May 2000 15. Preliminary Assessment Report Parcel l NASA Industrial Plant 12214 Lakewood Boulevard, Downey, California 90214-7009; Earth Tech; May 30, 2000 16 Preliminary Assessment Report Parcel 2, NASA Industrial Plant 12214 Lakewood Boulevard, Downey, California 90214-7009; Earth Tech; May 31, 2000 17. Environmental Assessment Disposal and Reuse of NASA Industrial Plant Downey, California; NASA; February 2000 18 National Aeronautics and Space Adrt inistr t on NASA Contract NASA. -4598 Task Order Number 87 Environmental Baseline Survey of Parcel I NASA Industrial Plant Downey, California Foster Wheeler Environmental Corporation; January 2000 19 Work Plan for Oreo -technical Investigation Proposed Kaiser Bellflower Hospital Facility Northwest Corner of Imperial Highway and Bellflower Boulevard 12214 Lakewood Boulevard, Downey, California; SECOR International Incorporated; January 29, 2000 20. Application for Permit to otistr°uct(Operate NASA Industrial Plant 1214 Industrial Plant 12214 Lakewood Boulevard Downey, California; Earth Tech; December 29 1999 21. Final Historic Buildings and Structures Inventory and Evaluation National Aeronautics and Space Admini ttation Industrial Plant Parcels 1 and II, Downey, California; Earth Tech; November 1999 22. Quality Assurance Plan and Field Sampling Plan NASA ndust ial Plant 12214 Lakewood Boulevard Downey, California 90241-7009; Earth Tech; November 12, 1999 23. Underground Storage Tank Closure Report Boeing North American 12214 Lakewood Boulevard Downey, California; Earth Tech; September 17, 1999 LA/727539.21 2 24. Site Assessment Report Building 244 NASA Industrial Plant 12214 Lakewood Boulevard Downey, California 90241-7009; Earth Tech, Inc.; August 16, 1999 25. 90 -Day SVE Pilot Test Report- April/May 1999 Building 244 NASA Industrial Plant 12214 Lakewood Boulevard Downey, California; Earth Tech; June 14, 1999 26. 90 -Day SVE Pilot Test Report Mach 1999 Build 244 NASA Industrial Plant 12214 Lakewood Boulevard, Downey, California; Earth Tech, April 26, 1999 27. Groundwater Well Installation Report Parcels 1 and [I NASA Industrial Plant 12214 Lakewood Boulevard, Downey, California 90241-7009; Earth Tech, February 3, 1999 28.v Underground Storage Tanks Removal Closure Report Building 25 Area NASA Industrial Plant 12214 Lakewood Boulevard Downey, California; Earth Tech; July 30, 1998 29. LA -105 De -watering Model Study Los Angeles County, California CALTRANS Contract Number 43YO46 EA -C3408; Professional Service Industries; April 3, 1998 30. Soil Investigation Report Parcels 3, 4, 5, and 6 NASA Facility Powney, California File; Number 0197120.01); SCS Engineers (SCS); February 1998 31. Health and Safety Plan NASA Parcel 1 Site Assessment 12214 Lakewood Boulevard Downey, California; Earth Tech, Inc.; October 1997 32. Initial Site Investigation ,Report Parcels I and II NASA Industrial Plant 12214 Lakewood Boulevard Downey, California 9021=7009; Earth Tech, Inc.; April 14, 1997 33. Closure Report for Underground Diesel and Gasoline Storage tanks at Rockwell International Corporation 12214 Lakewood Boulevard, Downey, California; Earth Tech; October 24, 1996 34. Subsurface Soil investigation. Parcels 4, 5 and 6 NASA Industrial Plant Downey, California; Groundwater Resources Consultants, Inc_; August 21, 1996 35. Environmental Baseline Survey of Parcel 5 NASA Industrial Plant Downey, - California; Foster Wheeler Environmental Corporation; July 1996 36. Closure Report for Underground Diesel Tanks at Rockwell International Corporation 12214 Lakewood Boulevard, Downey, California 902241-7009; Earth Tech; May 23, 1996 4AM1539z1 3 37. Groundwater r • Report July 1996 Former Tank 1 15 Site Rockwell California;IntemafilOnal Corporation Space Systems DivWon Downey, Gro , phase18. e Groundwater r+ r 111 Area Rockwell International Corporation Space Systems Division Downey, Califonua; �a, Groundwater 39. Environmental Site AssessnLent Helipad Area NASA Industdal Facility Downey, California; Fugro McClelland, Inc., May 1993 40 Limited Subsurface Environmental Assessment Investigation Rockwell International 12214 Lakewood Boulevard, Downey, California; Active Leak Testing; April 1.993 41. Tank Removal Report - Building 36, Tank #15: Active Leak Testing; March 2, 1992 42. Tank Removal Report =Building 249, Tank 920: Active Leak Testing; January 28, 1992 43. Tank Closure Report 's Internat,01101 Division 12214 Lakewood er r r March r 1990 44. Report of Site Investigation performed At Space Transportation Systems Division Rockwell international Corporation 122114 Lakewood Boulevard Downey, California 90241 Building 61 Tank Number l; Acture Leak Testing. incorporated; August_ 1988 45. Final Report of ,Site Investigation Performed For Rockwell Intemational.- Corporation Downey Facility 12214 Lakewood Boulevard; Downey, California Phase IIt-Sums Active Leak Testing, Inc; May 1988 46. lett rim Report O Site U'vesti ation perfortned for Rockw ll International Corporation Downey Facility 12214 Lakewood Boulevard, Downey, California Active Leak Tetirig, Inc; April 1, 1988 47 Interim Report of Site Investigation Performed for Rockwell International Corporation Downey Facility 12214 Lakewood Boulevard Downey, CA Phase II Active Leak Testing; January " 1988' 48. A Work Plan for Rockwell Intemational Corporation Downey Facility (UST Investigations); Active Leak Testing, Inc.; August 1987 W27539.21 _ 4 49. Rockwell International Downey Facility Environmental Resources Document (SOD 80-0511); Rockwell International; December 1980 SO., Rockwell International Downey Complex, Downey, California Asbestos Survey Report; Baker Consultants, Inc.; The report is undated, but laboratory results are ted July 21, 1986 51. Legal Description of Parcels I through 6 (each a separate document); PSOMAS Professional Land Surveyor; March 1997 through April 1998 52. Groundwater Monitoring Report Fourth Queer 2001 'Parcels I and 11NASA Industrial Plant 12214 Lakewood Boulevard, Downey, California; Earth Tech; January .:.. 11, 2002 53. Groundwater <Monitoring Report and HydropunchSampling Report Second Quarter 2000 Parcels I and II NASA Industrial Plant 12214 Lakewood Boulevard, Downey, California 90241-7009; Earth Tech; August 29, 2000- 54. Groundwater Well Ganging and Sampling Deport thirst Quarter 2000 Parcels I and II NASAIndustrial Plant 12214 Lakewood Boulevard Downey, California 9024 1- 7009; Earth Tech; May 3, 2000 55. Groundwater Monitoring and Hydropunch Sampling Report Fourth Quarter 1999 Parcels I and iI NASA Industrial Plant 12214 Lakewood Boulevard Downey, California; Earth Tech; May 3, 2000 56. Groundwater Well Gauging and Sampling Report Third Quarter 1999 ParcelsI and II NASA Industrial Plant 12214 Lakewood Boulevard Downey, California 90241=7009; Earth Tech; February 28, 2000 57. Groundwater WeU Gauging and Sampling Report Second Quarter 1999 Parcels`I and It NASA Industrial Plant 12214 Lakewood Boulevard Downey, California 90241-7009; Earth Tech; July 31, 1999 58. Groundwater Well Gauging and Sampling Report First Quarter 1999 Parcels I and II NASA Industrial Plant 12214 Lakewood Boulevard Downey, California 90241- 7009; Earth Tech, July 22, 1999 59. Replacement Groundwater Well Installation and Groundwater Sampling Report Parcels I and iI NASA Industrial Plant 12214 Lakewood Boulevard Downey, California 90241-009; Earth Tech; June 24, 1999 60. Groundwater Monitoring Report Parcels I and 1l NASA Industrial Plant 12214 Lakewood Boulevard Downey, California 90241-7009; Earth Tech June 20, 1999 LAf727539.21 S 61. Phase II ESA Report, Former Parcel I1 and Parcel IV of. NASA/Boeing Industrial Facility, 12214 Lakewood Boulevard, Downey, California; SECOR; November 25, 2002. 62. Risk Assessment of Construction/Operation of Hospital Complex Report, Proposed Downey Facility, California; SECOR; September 10, 2002. 63. I Clayton Group Services (CGS), 2000. Review of Environmental Baseline Reports, NASA Downey Industrial Facility, Downey, California. April 13. 64. Clayton Group Services (CGS), 2001. Technical Memorandum, Results of the Surface Flux CharnberTesting at the NASA Site located in Downey, California. September. 65. Environmental Resolutions (E), Inc., 2000. Work plan addendurn listing production wells within a one -mile radius of 114.45 Dolan Avenue, Downey, California. March 14. 66. Tech (ET), Inc., 1996. Closure Report for Underground Diesel Tanks at Rockwell International Corporation, 12214 Lakewood Boulevard, Downey, California. May 23. 67. Foster Wheeler Environmental Corporation, 1999. Environmental Baseline Survey, Parcel 11, NASA Downey, Industrial Facility, Downey, California. June. 68. National Aeronautics and Space Administration (NASA), 2000. Environmental Assessment, Disposal and Reuse of NASA Industrial Plant, Downey, California. May, 69. PhaseI ESA,Spartan L d Paint Corporation,9255 East Imperial Downey,/SECOR, March 1, 2002. 0Phase I ESA, FormerBuilding 05 of Rockwell Boeing Bellflower Boulevard, Downey, California; SECOR; September 13, 200 L 71, Expedited Phase 11 ESA, Former Boeing Building 305,12254 Bellflower Boulevard, 1 1 i i November I' December72.Department of Toxic Substances Control, Memorandum Regarding- Risk assessment of Construction/Operatibn of Hospital Compjex Report, Proposed .Downey Facility, California, 1 2002. 73. Department of Toxic Substances Control, Memorandum Regairding- Phase 2 Environmental Site Assessment Final Report, Former Parcel [I Portion and Parcel LAn77579.2I 6 IV of NASA/Boeing Industrial Facility, 12214 Lakewood, Boulevard, Downey, California, January 9, 2003. 74. Department of Toxic Substances Control, Memorandum Regarding: Geologir,/Hy4rogeologic Review of Prioliminary Endangerment Assessment Equivalent for a portion of the former Parcel 11 and Parcel IV of the - NASA[Boeing Industrial Fac ' ility (Phase I and Phase It Reports) 12214 Lakewood Boulevard, Downey, California, January 13, 2003. 75¢ Workplan for Additional Phase 11 Environmental Site Assessment, Parcel 11 'Portion and Parcel IV of the Former NASA/Boeing Industrial Facility, 12212 Lakewood, Boulevard, Downey, California, SECOR International, April 18, 2003. 76. Grouridwater Monitoring Report, Fourth Quarter 2002, NASA Industrial Plant, 12214 Lakewood Boulevard, Downey, California, Earth Tech, Inc., March 12, 2003. 77. Environmental Baseline Survey of Parcel I, NASA Industrial Platit, Foster Wheeler Environmental Corp., January 2000. 78. 'Environmental Baseline Survey of.Parcel 111, NASA Industrial Plant, Foster Wheeler Environmental Corporation, April 1996. 79. Environmental Baseline Survey of Parcel IV, NASA Industrial Plant, Foster Wheeler Environmental Corporation, July 1996. 80. Environmental Baseline Survey of Parcel VI, NASA Industrial Plant, Foster Wheeler Environmental Corporation, July 1996. 81. -Site Assessment Report, Earth Tech Inc., December 15, 1997. '82. Covenant Deferral Request for the 96 -Acre Parcel, NASA, January 30,2002. 83- Report of Site Investigation Performed at Space Transportation Systems Division, Active Leak Testing Inc., August 1988b. 84. LA -105 Groundwater Investigation Construction Dewatering Project, Los Angeles County, California, Volume 1, Professional Service Industries, February 23, 1998 [Excerpted Portions]. 85. Subsurface Soil and Groundwater Investigation Requirements —NASA, California Regional Water Quality Coutrof Board, November 5, 1999. 86. DTSC Correspondence regarding their non-involvement in a non-emergeacy release, DTSC, March 5, 1998. LAn21519-21 7 87. Non -Emergency Release Report, Boeing, February 6,1998. 88. Correspondence Characterization of Oil from an UST, NASA Industrial Park, Downey, California, Global Geochemistry Corporation, February 9, 1998. -89. DTSC Correspondence, Non -emergency Hazardous Substance Release Report — NASA Industrial Plant — Report #94-R3-19-022, DTSC, February 27, 1995. 90, Non -emergency Release Report, Rockwell International, December 23, 1994. 9L Results of Soil and Groundwater Sampling in the Vicinity of Spartan Lacquer and Paint, Groundwater Resources Consultants, Inc., November 10, 1994. 92. Groundwater Monitoring Report, Former Tank 011 Site, Groundwater Resources Consultants, Inc., July 1996. 93. Transmittal Letter to County of Los Angeles, Tank Permit Corrections, Rockwell Aerospace, February 18, 1997. . 94. Transmittal Letter to County of Los Angeles, Sump Exemption Determination, Rockwell Aerospace, October 28, 1996. 95. Map., Plant Fire House, North American Aviation, Unknown Date. 96. Operational Report, Third Quarter 2001, Soil Vapor Extraction System Building 244, NASA Industrial Plant, Downey, California, Earth Tech, Inc., February 5, 2002. NEED TO VERIFY DATE. 97. Draft Letter to Mr. Douglas B_ Gray to follow upon the meeting held on 09128/00 at the NIP in Downey & on 09/ 18/00 request for documents & information, Siosky & Company, Inc., July l0, 2001. 98. Existing Data Gaps, Former NASA Industrial Site, Downey, California, Clayton Group Services, September 10, 20.0 1. 99. Work Plan for Subsurface Investigation, Building 25 and Midpoint Wells, NASA Industiial Plant, 12214 Lakewood Boulevard, Downey, California 90241-7009, Earth Tech, Inc., August 16, 1999. 100. Transmittal of Preliminary Results of the October 2000 Environmental Sampling NASA Industrial Plant, Slosky & Company, December 19, 2000. jai. Permit to Construct Soil Vapor Extraction and Treatment System, NASA Industrial Plant, Building 244., South Coast Air Quality Management District, May 19, 2000. LAn7753921 8 102. Map/Drawing, General Arrangement ­ Water Couditioning° and Wastewater Treatment Facilities, Pockwell International, Downey, CA, August 1993. 103. Map/Drawing, Plot Plan & Tank Schedule, Rockwell International, May 1995. 104. Map/Drawing, Building & Property Ownership, Consolidated Vultee Aircraft Corporation, November t, 1944. 105. Results of Observations Near a Pipe Break and Contaminant Metals Analysis Performed at Space Transportation Systems Division Rockwell International Corporation, Building 61— Excavation Pit, Active Leak Testing Inc., August 1998a. 106. Correspondence to the RWQCB Concerning Fortner Sumpg, Clarifiers, and Tanks at the NASA Industrial Plant, Earth Tech, February 7, 2000. 107. Geophysical Investigation of Possible Underground Storage Tanks, Boeing North American, NASA Industrial Plant, Earth Tech, May 7, 1999. IM Correspondence from Regional Water Quality Control Board Regarding Soil and I Groundwater Remediation, NASA Industrial Plant, April 11, 2002. -109. Tank and Sump Summary Table, Provided by Earth Tech (electronic file), March 26, 2002. it. 1 0. Correspondence from Regional Water Quality Control Board Regarding Time Schedule for Additional Investigation and Remediation, NASA Industrial Plant, September 26, 2001. 111. Correspondence from Regional Water Quality Control Board Regarding Determination of the Status of Remediation, NASA Industrial Plant, March 21,' 2001. 112. Correspondence from Regional Water Quality Control Board Regarding Interim Remediation. Action Plan Approval—Building 244, NASA Industrial Plant, March 20, 2001. 113. Correspondence from Regional Water Quality Control Board Regarding Spills, Leaks, investigations and Cleanups Cost Recovery Program —NASA File No. 97- 197, November 20, 1998. 114. Correspondence from U.S. Environmental Protection Agency -NASA Industrial Plant, Downey, California, July 2, 2001. LAn27539.21 9 115- Correspondence Regarding Review of Soil Data from Parcels IV., V, and VI and Release Reporting Requirements, NASA Industrial Plant, Foster Wheeler Environmental Corporation, September 13, 1996. '116. Memorandum Regarding Need for Additional Site Characterization and Documentation, Downey NASA Industrial Plant, Leonard Slosky, Slosky & Company, October 22, 2001. 117. Correspondence Regarding Current Outstanding Environmental Issues, Former NASA industrial Site, Downey, California, Ed Steward, Clayton Environmental Services, November 8, 2001. 118, Memorandum Regarding Soil Staining and Pond Along Old Vuttee Runway, Leonard Slosky, Slosky & Company, October 17, 2001. 119. Correspondence Regarding Draft Environmental Assessment, May 2000 For Disposal and Reuse of NASA Industrial Plant in Downey, California, Department of Toxic Substances Control, August 24, 2000. 120. 000- 120. Groundwater Results for Hexavalent Chromium, NASA Industrial Plant Parcels`I and 11, Earth Tech, January 14, 2002. 121- Documents in File Related to Permit for. 3,000-gation Underground Storage Tank for Herbicide Located Near Building 39, 1956-1957. 122. Agency Contact Report, Boeing, March 15, 2000- 123. Groundwater Monitoring and Upgradient Hydropunch Sampling Report, Second Quarter 2002, NASA Industrial Plan, t2214 Lakewood Boulevard, Downey, California, Earth Tech, September 6, 2002. 124. Groundwater Monitoring Report., Third Quarter 2002, NASA Industrial Plan, 12214 Lakewood Boulevard, Downey, California, Earth Tech, December 4, 2002. 125, Response to CGS Review 6 ' f Geology and Seismology, Kaiser Bell.flower Medical Center, 12214 Lakewood Boulevard, Downey, California; OSH11D Permit Number HL -020740-19; SECOR International Incorporated; April 15, 2003. 126. Letter Transmitting Comments Regarding "Workplan for Additional Phase It Environmental Site 127.Assessment (Workplan), Parcels 11 & IV of the NASAABoeing Facility, Downey, Ca(ifbmia," Department of Toxic Substances Control, May 23, 2003- 127- Additional Information and Sampling Rationale for Areas of Concern as identified in the DTSC Correspondence datedJanuary 13, 2003, former Parcel 11 LAn27539.21 to Portion and Parcel IV of the NASA Industrial Plant; SECOR International, Itc. March 16, 2003, 128: Soil Vapor Extraction System Operationat Report, First Quarter 2002, Building 244: --NASA Industrial Plant, 1:2,214 Lakewood Boulevard, Downey, Californ1a, Earth Tech, May 13, 2002. 129. Downey Landing Specific Plan, Final Program Envirorunentat Impact Report, State Clearinghouse Number 2001031096, EIP Associates, February 2002. 130. In -Situ Reactive Zone Interim Measure Source Reduction Remedial Action Plan, Former NASA Industrial Plant, Downey, California, ARC IS G, Inc., May 20, 2003. 131: Groundwater Monitoring Well Installation Report, NASA Industrial Plant, 12214 Lakewood Boulevard, Downey, California, Earth Tech, May. 15, 2003. 132. Well Construction Diagrams, P1=MW-8, P1- -9, P1=MW-10,and P1- -11; Earth Tech, May 2003. 133. Correspondence from NASA to RWQCB Requesting Extension of Deadlines in April 11, 2002 RWQCB Letter, April 30, 2002. 134. Correspondence from RWQCB Regarding VSAT Program. –Request for Additional Information; April 21, 2003. 135. Correspondence from Los Angeles County Regarding Hazardous Materials Underground Storage Tank Closure Certification, March 19, 2003. 136. Correspondence from RWQCB Approving Groundwater Remedial Action Plan; July' 15, 2003. 137. Correspondence from Secor International, Inc. to IRGtransmitting comments o Draft Risk ManagementPlan—Future Hospital and Medical Office Buildings Project a; June 23, 2003. 138. Email Correspondence from Downey Landing to ISG transmitting comments on Draft R"s t gement Plati—Downey Landing Detail Redevelopment Project Area, June 0, 2003. 139. Correspondence from Ervin, Cohen & Jessup to IRG transmitting comments on Draft Risk Management Plan—Downey Landing Retail Redevelopment Project Area; June 24, 2003, LAM7539.21 l' l 140, Correspondence from IRG to Secor International responding to comments on Draft Risk Management Plan—Future Hospital and Medical Office Buildings Project Area; July 18, 2003. 141. Correspondence from IRG to &lipse Development Group (DowneY Landing) responding to comments on Draft Risk Management Plan—Draft Risk Management Plan—Downey Landing Retail Redevelopment Project Area; July 18, 2003. 142. Risk Management/Soil Mariagerrient Plan—Downey Landing Retail Redevelopment Project Area, Former -NASA Industrial Plant, Downey, California; ARCADIS- G&M, Inc., July 17, 2003. 143. Risk Management/Soil Management Plan=Future Hospital and Medical Office Buildings Project Area, Farmer NASA Industrial Plant, Downey, California:,' ARCADIS G&M, Inc., July 17, 2003. 144. SECOWs Responses to DTSC Comments Regarding WPIHASPISAP/QAPP Document Dated April 18, 2003. Correspondence dated June 13, 2003. W72753921 M EXHIBIT Studio PropertySection N.E.SWDIO PROPERTY SITE MAP T AM CRAY RM / LOT UNE 1 1"=400' ` g i ® 00 VIE 5=0 PARCEL '` ® 2g115e305 S.F. v BUKWI G 6 PARM 435,671 S.F. FADS ASSOCIATES,INC. SurmAnq & Moppfn9 Consuk®nls CALIFORNIA- -5,220 4 STRW LICENSED IN: 111 b, W10 ARRONA t3 TM9081 CAUFORNIA- 00 —1701 FAX NEVADA 111,10 ®Yl ®N f 1 1 r cel Site Map (Recital E) "ACQUISITION PARCEL" N.E. COR, LOT MWART AND W ° - LLOT N 1"=400' min AEXIM STA —M �1 !NUIEPO PLO 89r4811" W 1194.23' 4 CENTER RD 5 its° ° } `'® :2 :470° 0 ++ r 6 7Eg'Oi V, f* N 0,00,0 ...E L 1 I`<3.70° @g{ R L -541s ° 9010(yo E BES.?S X13°&5" S.W. C i.° tt jj R.600.00- S.E. 1 1 I L 1 Si7.00` N E. 1 , S.W. i,,/4, SEC. 10 s°AWMATES. Me. CKMNIA ARIZONA 10 mol" i t v. ° °. NEVADA Ac4*Wion Parcel Legal Section , • f• • f i ii �fY- •-■ • BEGINNING AT A POINT IN THE NORTHERLY LINE OF SAID LOT 2 IN THE NORTHWEST • •' i R^ M • • r • i • 1' • i/ 1' r • '.� / is 1/•: / • i' i • /' r • r • R r i / / •1 11 • -r 7THENCE SOUTH OOOOT38" WEST, ALONG LAST SAID PARALLEL LINE, A MP 465.49 FEET; THENCE NORTH 000' ST 559.79 FEET TO THE OF A TANGENT CURVE CONCAVE NORTHWESTERLY AND HAVING A 11 • 1• r - i r, / i EXHIBIT "B" "ACQUISITION PARCEL" L®. OR, T STEWART AND ffl9y-SK4*0 W —7 WLY LINE - 1 IN A LOT 2 MLa 1"=400' � ELM M—STADR. MARL; s W 1194.23' So - 4190 N 90'00 ow l L- R� 9 .o 321.62' 40� L-541.05' R-82.00* 4-5912'23" N 90 00E 859,79 T- A -la -4842" !;-WCI R,a - R -16,307-000q S.E. I N.E. 1 4: L- S.W. 14, 1 SEC. EAD90N & AS&OCIATES, MC. E burMIng & Mopptnq C,4mauMmto CAUFORMA 5220 0 STREEr UCENSED IN: , ""rOe IZONA 3641—teal CALIFORNIA 3"-1781 FAX NEVADA EXHIBIT'G" Ground Lease Parcel Site Map(Recital 1MfliTIESAbri rvr r , ` cru *E S Ml5lJrM*jiftlty ' STEWART AD GkAYt'kO awa #`a s Atq7fll FAXPmflk s W i DING PARC, AS x. 4 t § � . +p i'*'°p m ,{ 1u'y I t �i4 a,+„# y� v 7€tis �s�aF. fix« 2p� r t``,.' p 406 �r 4 •; s� TWEL ,0 r «4, ^: l , » 4. , y 5a »` F w� ' Jrf a a s I. . no otI U PA 14, k t o nra t` 4rTt, a=* ky, ?� t �y. �F' rj” •% ,xx°f " Z � a 9 4"a 'W � .y, , e. PARCEL �r7v, Y4 t F "g r p ° i ,�q g p �t�y �y �» 4rya4 pt�* h i C*� n. e , ,» a , a ENMBIT Ground Lease Parcel Legal(Recital EXHIBIT "A" LEGAL DESCRIPTION GROUPIMUST9141L IM -41 --V 1-it i • - • • • • 1 It # i • r -i • • • ii AS • • EXHIBIT 111390 "INDUSTRIAL REALTY GROUP - GROUND LEASE" N.L COR. )m & AATES. Mc. VOOpi'01 vAwr%MNM 0181FAX NEVADA LW 1 Z SMWART AND VON* W LOT N'LY LINE:)' 2 MSTA OR. 0 52#210 9 i42 GIN IN8" 61126' 90F. Polol`-- 7� 0EG,ti :iVLY LINE LOT 2 CIN CTEII, SE 1 41 or 11 L 48.00 L-230.23' S.W. (�NR,�A S'LY UNE* S.E. I 1� N.E. 1/4, � N.E. ir�l S.W. 74, S. W. 1/SEC. . SEC. 1 0 0 Certificate of Compliance Ii,...Section City of Downey I I I I I Brookshire Avenue P.O. Box 7016 R• 9 Y- , a= - Z WJLr (Space above reserved for Recooder's use) The division of land that set off the following described property, situated in tfFe-Uq­dt­T�n"7 County of Los Angeles, State of California, more particularly described in Exhibitattached, complies with applicable provisions of the California Subdivision Map Act and the City of Downey Subdivision Ordinance. The Certificate of Compliance issued herein only relates to issues of compliance noncompliance with the California Subdivision Map Act and local ordinances enacted purs �al thereto. The parcel described herein may be sold, teased, or financed without further compliawn with the California Subdivision Map Act or any local ordinance enacted pursuant thereto. -W-TT --- - MM"IWW- above described parcel, for a variance, conditional use permit, building permit, site plan review, tj--fto Ock- City of Downey Municipal Code, Such approvals to develop the above described parc6l must be separately applied for and the City reserves all rights to grant, condition or withhold such approvals as authorized by Califortiia state law and the Downey Municipal Code. Name and Address of Owner Property Address Ron Yosbiki, Planning Director By__ Date - 114823 EXHIBIT "A" Description of Property EXHIBIT "A" LfaAL DESCRIPTION THOSE PORTIONS OF LOTS 21 3 AND THE SOUTHWEST QUARTER OF FRACTIONAL SECTION '1, TOWNSHIP 3 SOUTH,O SANTA GERTRUDES. IN THE CITY OF DOWNEY, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA AS RECORDED IN BOOK 1, PAGE 502 OF MISCELLANEOUS RECORDS, RECORDED IN THE OFFICE OF •UNTY RECORDER OF SAID COUNTY DESCRIBED AS • i E TABLE _ C !T OsE309 LINE BEARING A"MOVIE STUDIO" DISTNCE OC �+ L1 S 80'56'18" W 64.23° L2 L3 S 89"50°58 W 5 86'1104" W 81.71' 17'3.33" AP S T ® 5 4 W L4 S 69'23'25" W 119.27` 4 1' L5 S 80°5618" -W 110.86` Le' N -07-0100' W 14.00°� N JG L7 S 82'58°59" W1 63.90' 'LLOT Z INE L8 6 000" 155.16° 1 "-400° L9 N 5825'34" W 61.56' f U0 8'5041" E 432..97 ` n N L11 N 6122E24531ELIA N a A DR. rV-IST L3L1 L6 w " d POOL 0 :�5 446.75" �S r 01~®� 46N R 1003 — -- — 63 q- 31'04 E : N X0"00 t}0 E a " N w i\ S.E. 1 4, N.E. I4, a N 90'00 00 E SEC. 10 723.90' 99 k i i E EADSON ALS$OCIATES, INC. $u �Q ` Mappinq ConsuM.as+ta CAUF As£I040k 01710 ARIZONA 4�1tii FAX CAiJ9FQR NEVADANEVADA--1 LEGAL DESCRIPTION (CONTINUED) A DISTANCE OF 84.73 FEET TO THE BEGINNING OF A COMPOUND CURVE CONCAVE NORTHWESTERLY AND HAVING A RADIUS OF 800.00 FEET; THENCE SOUTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 18048°42", A DISTANCE OF 197.00 FEET; THENCE NORTH 90000'00" WEST 145.89 FEET TO THE TRUE POINT OF BEGINNING. CONTAINING AN AREA OF 435,871 SQUARE FEET, MORE OR LESS. ALL AS SHOWN ON EXHIBIT "B" ATTACHED HERETO AND MADE A PART HEREOF. WILLI1�1�1 E. DIDS L.S. 6i54 NO, 6184 UW TAKE EXHIBIT " -LINE BEARING DISTANCE "BUILDING 6" L11 S 80"5611 @ 64.23' LOT 2R. L2 S 89"50'58'° 51.71' L3 S 86`11'04 W 173.53-Y5 40W L4 S 69'23"25" W 119.27 6 1 � L5 S 80'5618' W 110.86' L6 N 07°01`00W 14.00` L7 S e2'58'59" W 63.90 L8 N 90"00'00" W 155.18' LOT1NE 2' L9 N 58°25`34" W 61.55' N L10_ N 61'25'22' E 245.31' E; L11 N 90'00`00' E 581.33` L12 N 9 `OOH W 321.62° 3 L3 ®1 L£1 12 S8 8"1"w 446.75` —R=10000' i g,. Y y 23841'04' E I »�01 ev Via/ N 891'50"1' E a{ w 4-78`01 °00" 1p12 F R398.00` L-541.95, "'I =59"1223'" 1'l'19'C ®'" R-82,00', I1 418M ,, L-84.73 L-I28.711 145»8' �f 72&90 S.W. 01 R., N 910"011`00' E 869."x'91`spry-118'45'42"SPW S.�L(�4. " I/4, L=197,00° I 51;. 117 I I I Ex AD901114 i ASSOICIAT193. INC. Surveying & Mapping Consultants CAUFORNIA 3220 D STREET LICEN IN: CHINO, CA. 91710 ARIZONA (909) 384-1881 N (909) 384-1761 FAX NEVAbA E X141BIT gqq� Cut-out Parcel Legal Description (Section 2.1 THAT PORTION OF LOT 2 IN THE NORTHWEST QUARTER OF FRACTIONAL SECTION 10, TOWNSHIP 3 SOUTH, RANGE 12 WEST, IN THE RANCHO SANTA GERTRUDES, IN THE CITY OF DOWNEY, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA AS RECORDED IN BOOK 1, PAGE 502 OF MISCELLANEOUS RECORDS, RECORDED IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS FOLLOWS: BEGINNING AT A POINT 1N THE NORTHERLY LINE OF SAID LOT 2 IN THE NORTHWEST QUARTER OF FRACTIONAL SECTION 10, SAID LINE ALSO BEING THE NORTHERLY LINE OF STEWART AND GRAY ROAD, 80 FEET WIDE, DISTANT THEREON SOUTH 89°52'14" WEST 646.51 FEET FROM THE NORTHEAST CORNER OF SAID LOT 2; THENCE ON A LINE BETWEEN SAID POINT OF BEGINNING AND THE SOUTHWEST CORNER OF THE SOUTHEAST QUARTER OF THE NORTHEAST QUARTER OF THE SOUTHWEST QUARTER OF FRACTIONAL SECTION 10, SOUTH 00°13'18" WEST 1011.24 FEET; THENCE SOUTH 89°48°11° WEST 448.75 FEET TO THE TRUE POINT OF BEGINNING; THENCE CONTINUING SOUTH 89°48'11. WEST 745.47 FEET TO A LINE THAT IS PARALLEL WITH AND DISTANT SOUTHEASTERLY 40.00 FEET, MEASURED AT RIGHT ANGLES, FROM THE CENTERLINE OF LAKEWOOD BOULEVARD, AS SHOWN ON COUNTY SURVEYORS B SERIES MAP NO. 1147, ON FILE IN THE OFFICE OF THE COUNTY ENGINEER OF SAID COUNTY; THENCE SOUTH 31041'38' WEST, ALONG SAID PARALLEL LINE, A DISTANCE OF 60.23 FEET; THENCE SOUTH 58025'34" EAST 41.55 FEET; THENCE NORTH 90000'00" EAST 155.16 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE NORTHERLY AND HAVING A RADIUS OF 100.00 FEET; THENCE EASTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 07601'01", A DISTANCE OF 12.25 FEET; THENCE NORTH 82°58'59" EAST 63.90 FEET; THENCE SOUTH 07001'00" EAST 14.00 FEET; THENCE NORTH 60"58'18" EAST 110.86 FEET; THENCE NORTH 69023'25 EAST 119.27 FEET; THENCE NORTH 86011'04" EAST 173.55 FEET; THENCE NORTH 89150'58" EAST 51,71 FEET; THENCE NORTH 80°56'18" EAST 64-23 FEET TO THE TRUE POINT OF BEGINNING. CONTAINING AN AREA OF 34,130 SQUARE FEET, MORE OR LESS. ALL AS SHOWN ON EXHIBIT "B" ATTACHED HERETO AND MADE APART HEREOF. EXHIBIT "B" "BUILDING 1" bEf JOll. SIEVART D AD TUAR4 W, ®® N'L IN LOTo J on ELM M VISTA DR. r - NEW[ a '�,1°` -S 5 89°4811" W 119' 4.22° 745.47' 448.75° 1 7,01,01 Idlre5" � � Id D: t ! SEM 1® `Rom. ;. ot _Z 1,/4: E it ASSOCIATES. SIM gurvvino t Mapping Consuftnts CAUFORNIA 5220 0 STREET UCENSEO IN: t0 91710 ARIZONA 00, ^-4751 FAX NEVADA EXHIBIT "K7 NASA DOCUMENTS 1. Quitclaim Deed dated April 19, 1999 and recorded in the Official Records as Document No. 99 0690588 2. Right of First Refusal Agreement dated April 19, 1999 and recorded in the Official Records as Document No. 99 0690586 3. Assigriment of Sate Proceeds dated April 19, 1999 and recorded in the Official Records as Document No. 99 0690587 4. Easement Agreement dated April 19, 1999 and recorded as Document No. 99 0690589 5. Prornis"Y Note dated Apr4 2 1, t999 in the principal amount of $20,145',000.00 executed by the City dfDbI Aof the United States, as tender 6. Pledge, Escrow AM Trust Agoeme4 dated April 21) 1999 between the City of Downey, the Urliw States� and tc� U.S. Bank Tru$tNkiorw Association; Agreement Concerning Payment of Sate Proceeds dated April 21, 1999 between the City of Downey and the United States 8.. Proposed 2003 NASA Quitclaim Deed for Parcels I and 2 of the NASA Site 9, Transfer Agreement dated N, 2003 by and between the City and the United States of America through GSA 10. Covenant Deferral Request dated December 20, 2001 (the "C R") 11. Environmental Services Agreement between the City and the United States of America through NASA, dated _-- 2003 12. Environmental Responsibility Assumption Agreement dated as of ----------- $ 2003 entered into between City of Downey and International Risk Assumption Downey, LLC ('IRAD") 13. Remediation Agreement between IRAD and ARCADIS identified in Section 2.1.4.3 of the Assumption Agreement q 15. Declaration of Covenants, Conditions and Environmental Restrictions dated --.� 2003 and recorded on 2003 in the Official Records of the County of Los Angeles as Docurne � No. 16. Memorandum of Agreement Among NASA, the GSA, the California State Historic Preservation Officer and the City of Downey Regarding Disposal of a Portion ofthe NASA Industrial Plant (the 11MOVI) 17. Revocable License Agreement between NASA and the City of Downey dated November 26,2001 (the "License Agreement") Form of Memorandumof i l 1 RECORDING REQUESTED AND WHEN RECORDED MAIL TO: Oliver, Vose, Sandifer, Murphy & Lee 281 South Figueroa Street Second Floor Los Angeles, CA 90012 Attn: Charles S. Vose, Esq. Xem 1_-G_9V'tC0 d i3 (Space above for Recorder's Use) This Memorandum of Ground Lease ("Memorandum") is made as of 2003, between the City of Downey, C'City"), a municipal corporation of the State of California, and industrial Realty Group, LLC ("Developee'), a Nevada limited t. PURPOSE OF TRIS MEMORANDUM. 11�is Memorandum is entered into for the purpose of providing record notice of that certain "Ground Lease" ("Lease") dated as of 2003 entered into by City and Developer. The Lease provides for the leasing by City to Developer of that certain real property described on the attached Exhibit A, 2. NO MODIFICATION OF LEASE TERMS. This Memorandum is prepared solely for the purposeof record and in no way modifi any of the express and particular provisions of the Lease referred to hereinabove. I [Signatures on following pages] CITY; CITY OF DO EY, a municipal corporation of the State of California By: Mayor ATTEST: City Clerk APPROVEDAS TO LEG:AL . OLIVER, VOSE, SANDIFER, MURPHY & LEE City Attorney DEVELOPER: INDUSTRIAL REALTY GROUP, LLC a Nevada limited liability co[ftpany By: Title: APPROVED AS TO LEGAL FORM: FAINSBERT, MASE & SNYDER Developer's Counsel M EXHWIT A Description of Real Property EADSON k A330CIATE3. INC. ey q & Mapping Suryin Ma ng Consultanks _ STEWART AND GRAY ROAD 5220 0 STREET CHINO* CA. 91710 909 364-1681 909;'364-1781 FAX` ELM i A DR. a 1 inch = 400 feet ���f * y6 m y w�.� x r�°*�,m"��r' �• �'w `' � �'��r" ,,,"�*�sr °� w ''�x°°"t �'"� w" t" A d" N w •,/� �,. r m ,r��.r �� t" 'sir � ,r � '' d , r �t`r� .r� �, � *" w,.« ` � r,f ✓ • �` ��,� /.I , �'� r ", �;• `� ` . �� w RC Rsue IG x W"'iFRC } C1� n i J IMPERIAL IiMWAY 4� EAD30N A330CIATE3. INC. a_ �+ ^°-p •= y ps pd •ly OwcIfIJ4A 141160 Sl`EWART AND GRAY ROAD 5220 0 STREET CHINO. CA. 91710 {909) 364-1681 909 364-1781 FAX VISTA DR... 1 inch 400 feet d WASHBURN FUTURE GROUND ,. . r El r PAR CTRIC L I H ElE TRC" SUBSTATION PARCEL 1 x x a i IMPERIAL HIGHWAY Ei '1 Personal Property ii Excluded Personal Progerty All property which currently occupies Building 14 on the NASA site AND that which of the rooms which directly connect to that space and which are locked as part of the shuttle mock-up storage area. The gro ert is in the form of I'llifill:IL; fth It They City retains the first right of ownership of any other portable property found subsequent to the land transfer in other parts of the site which can be considered to be artifacts of the aviation/aerospace history of the site (such as models, displays, documents, photographs, etc,). o � i Form Occupant Retease (Section 9.6.1) THIS RELEASE ("Release") is made as of this _ day of 1 26_ 1 11 1 ("New Occupant") in favor of the City of Downey, a political's ubd ivision of the State of California ("City"). New Occupant acknowledges and agrees as follows - A. Pursuant to that certain [Lease/Sublease/License/Easement] —dated as of 20 by and between a,._. ("Owner") and New Occupant, New Occupant has agreed —to -- acquire ' from Owner certain rights to use and occupy those certain premises commonly known as and more particularly described on Exhibit "'I" attached hereto (the "Promises"). B. The Premises are located within that certain real property owned by Owner which is located within that certain land containing approximately one hundred sixty (160) acres located in the City of Downey, California and generally bounded by Lakewood Boulevard,' Stewart and Gray Road, Bellflower Boulevard, Imperial Highway and Clark Avenue as more particularly described in Exhibit "2" attached hereto (the "NASA Site"). C. The NASA Site, including the Premises, is subject to those certain Covenants, Conditions & Environm6ntal Restrictions recorded as Document No. 03-_. in the Official Records, County of Los Angeles, California ("CC&Rs"). b. Pursuant to the CC&Rs, Owner is required to cause New Occupant to execute and deliver this Release to the City. NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, New Occupant hereby agrees as follows: 1. Release. New Occupant hereby irrevocably and unconditionally waives, re_leases and forever discharges the City., its City Council members, and its and their employees, affiliated entities, successors -in -interest and any other person or entity associated with the City (collectively, the "City Parties") from any and all present and future claims, demands, suits, legal LAM9462.1 and administrative proceedings an ro , a ia i i y n o liga ions r damages, losses, costs, liabties, fees and expenses, including, without limitation, attorneys'fees and •u.urt costs present and future, in any manner arising out of or in any way related to any physical, title or other defect or condition in, of, or related to the Premises or the NASA Site, any Hazardous Materials in, on, under or about the Premises or the NASA Site (or the improvements contained thereon), or the existence of any Hazardous Materials contamination in any state in, on, under, about or adjacent to the Premises or the NASA Site (or any of the improvements contained thereon) as of the "Effective Date," as such term is defined in the CC&Rs. New Occupant acknowledges that it is aware of and familiar with the provisions of Section 1542 of the California Civil Code which provides as follows: "A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS FAVOR AT 'THE TIME OFEXECUTING THE RELEASE, WHICH IF KNOWN BY HIM MUST HAVE MATERIALLY AFFECTED HIS SETTLEMENT WITH THE DEBTOR." As such relates to this Section 1, New Occupant hereby waives and relinquishes all rights and benefits which it may have under Section 1542 of the California Civil Code. 2, g��btaffdh. New Occupant further acknowledges and agrees to cooperate with City in the execution of any additional documents needed to effectuate the provisions of this Release. I 3. Each person executing this Release on behalf o New Occupant hereby represents and warrants to and for the benefit of the City that each signatory to this Release is duly authorized to execute and deliver this Release to the City on behalf of New Occupant. LAMOSC2.1 IN WITNESS WHEREOF, Neje Occupant has caused this Release to be executed by its duly authorized officer as of the date first written above.. a By Name: Its: By: Name: Its; LAA098"I 4 Exhibit "I" The Premises LA1909862.1 Exhibit "2" The NASA Site ]CAMBIT'40" RequestsOther Infrastructure Lakewood Boulevard 1. Reclaimed water line from south of Rose Street to north property line 2. Will connect all landscape irrigation to reclaim water line Steve Hom Wav 3 Pay pro rata share to construct Steve Horn Way Other 4. Provide a utility easement along the northerly property line that meets the City's requirements for maintenance of any required utilities 3. Drainage improvements shall comply with all applicable regulations, either City, state and federal. Itestrictionsof r RESOLUTION NO. 17-7739 PAGE 4 �:TT--moi i FIRST AMENDMENT • AGREEMENTS IN REAL PROPERTY PURCHASE AND SALE V AMENDMENT TO AGREEMENTS IN REAL PROPERTY PURCHASE AND SALE AGREEMENT This Amendment to Agreements in Real Property Purchase and Sale Agreement (this "Amendment") is made as of this 151h day of March, 2012, by and between THE CITY OF DOWNEY, a municipal corporation of the Sate of California ("City") and PCCP IRG DOWNEY, LLC, a Delaware limited liability company, as to an undivided 90% interest, and IRG DOWNEY, LLC, a California limited liability company, as to an undivided 10%® interest (collectively "Developer"). A. City and Industrial Realty Group, LLC, a Nevada limited liability company ("IRG") (as Seller and Buyer, respectively) entered into a Real Property Purchase and Sale Agreement, dated on or about November 30, 2003 (the "Original Purchase Agreement"), pursuant to which City sold to IRG certain real property described therein (the "Property") that was formerly a part of the NASA Industrial Plant in Downey, California. A true and correct copy of the Original Purchase Agreement is attached hereto as Exhibit "X' and incorporated herein by reference. B. The Original Purchase Agreement contained various rights and obligations that survived the closing of the sale contemplated by the Original Purchase Agreement. Co Developer has succeeded to IRG's interest in the Property D. All defined terms used herein but not herein defined shall have the meanings ascribed to such terrns mi the Original Purchase Agreement. E. City and Developer now desire to enter into this Amendment to amend some of the rights and obligations specified in the Original Purchase Agreement, all subject and pursuant to the terms and conditions set forth in this Amendment below. The Original Purchase Agreement, as amended by this Amendment, is hereinafter referred to as the "Agreement". MIXI"t'i Una URIN 0 NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, City and Developer hereby agree to amend, modify and/or supplement the Original Purchase Agreement as of the Effective Date as follows: 1. Effective Date. The effective date of this Amendment shall be the date upon which City and Developer have each executed and delivered an executed counterpart of this Amendment to the other party (the "Eft&tive Date"). 2. Original Purchase _AgELement Section I I, 10. Section 11.10 of the Original Purchase Agreement is amended to read in full as follows: 1111.10AW& Upon the sale of the Studio Lot, and each portion thereof, as defined in Recital E herein, by Developer andlor its successor(s) in interest 6207414114770v5 vs. 411477Ov4 I A.e. z..{/ 8..... A - L. _ b. ra... di'•dd Fi4 LJ !3!%{G �BMOM!, LL{y r$/{(.{u 4/C L'/7r{{`eit {B/ profit participation interest ("City's Profit Participation') an amount equal to five percent (5%) of all "Net Sale Proceeds" over abase price of $100,000,000.00 (the "Base Price'). The Base Price shall be increased by ten percent (10%) every five years after the Effective Date of the Amendment. For purposes of this Section 11.10, "Net Sale Proceeds" shall be defined as the aggregate sales price(s) for the Studio Lot actually received by Developer, less all brokerage commissions, legal fees, and title and closing costs related thereto. If the Studio Property is sold in more than one piece andlor at more than one time, then purposes of calculating the City's Profit Participation, the first sale of each portion of t Property r be I r in the calculationof r' Proceeds, r the totalr Proceeds rll continue to .le until all portions of the Studio Property have been t subjectof r sale at + once.Developer r Ir, the City ProfitParticipation Amendmentconcurrent wit each sale of any portion of the Studio Property that yields total Net S41 Proceeds in excess of the Base Price. C This be -• in any numberof counterparts,of be deemed an original, but of • L constitute one • the same instrument. Amendment5. Ogye jj�g� This •e under and shall be construed pursuant to the laws of of • 62074\411477®v5 vs.411477®v4 2 IN WITNESS WHEREOF, the parties hereto have executed this Amendment the date and year first above written. CITY OF DOWNEY, a Muni 1pal corporation of the State of California By: ui?� - --- - i 'Name: Its, kt PCCP IRG DOWNEY, LLC, By: PCCP LB IRG Downey, LLC, its M paging Member Name: Linesay Title: sigh*4 IRG DOWNEY, LLC, By: S1. Pr pe ies, Inc By: –=. — Name' 5'-rc-,,A 4-1014—' 6 Title: /'/I u 62074\4114770v5 vs. 411477Ov4 This REAL PROPERTY PURCHASE AND SALE AGREEMENT ("Agreement") is made and entered into as of November 3 0, 2003 ("Effective Date"), by and between THE CITY OF DOWNEY, a municipal corporation of the State of California ("City") and INDUSTRIAL REALTY GROUP, LLC, a Nevada limited liability company ("Developer"), City and Developer are hereinafter sometimes individually referred to as a "Party" and collectively referred to as the "Parties." A. This Agreement addresses Developer's acquisition and future development of a seventy-seven (77) acre portion of the approximately 160 -acre National Aeronautics and Space Administration ("NASA") Industrial Plant site (the "NASA Site") which is lo ' cated in the City of Downey, California and generally bounded by Lakewood Boulevard, Stewart and Gray Road, Bellflower Boulevard, Imperial Highway and Clark Avenue. The NASA Site has been used over a 70 -year period for aircraft manufacture, the invention, testing, and patenting of the chemical milling process, research, production, and assembly of rockets and missiles, and the design, production, assembly, and testing of the equipment and materials for the Apollo Space Program and the Space Shuttle Orbiter program. The NASA Site is composed of 6 separate parcels of land ("Parcels 1, 2, 3, 4, 5 and 6" respectively) as shown on the diagram attached hereto :as Exhibit "A." B. In April 1999, City acquired from the United States of America, acting by and through the General Services Administration C'GSA") and NASA, approximately 66 acres of the NASA Site, comprised of Parcels 33, 4, 5 and 6 ("Pareels 3, 4, 5 and 6"), pursuant to that certain Quitclaim Deed dated April 19, 1999, recorded in the official records of the County of Los Angeles as Document No. 99 0690588 (the "1999 NASA Quitclaim Deed'), Parcels3,4,5and 6 are also subject tovarious agreements between the City and the United States (Collectively, the "Existing NASA Restrictions"): C. Developer acknowledges that City is in negotiations ("Negotiations") with the United States of America, acting by and through GSA and NASA, to acquire the remaining approximately 94 -acre portion of the NASA site, comprised of Parcels 1 and 2 ("Parcels I and 2"), pursuant to the California Desert Protection Act. ("Act") of 1994, 16 U.S.C. § 410aaa et seq. Developer acknowledges that upon their transfer to Developer from City, Parcels I and 2 shall be subject to certain reservations, covenants and restrictions relating to the future use, remediation and development of Parcels I and 2, some of which w,11 run with the land as set forth in each of the documents listed below (which are collectively referred to as the "NASA 2003 Transaction Documents"): (i) NASA Quitclaim Deed (the "2003 NASA Deed"); (ii) Transfer Agreement between City and the United States (the "Transfer Agreement"); 1 SNAMIICHTER\DowneylPurchase AgraemenMowneyPSA 09.12--04-01doc Environmental Liability International Risk Assumption Downey, LLC company (the "Assumption Agreement"); Assumption Agreement between the City and CIRAb'nan -enviroranental risk mZjae—j= (iv) Escrow Agent Agreement between the City, IRAD and an escrow agent to be determined (the "Escrow Agreement"); Environmental Services Agreement between NASA and the City (the C'ESA"); (vi) Covenant Deferral Request dated December 20, 2001�(the'TDW), (VII) Memorandum of Agreement Among NASA, the GSA, the California State Historic Preservation Officer and the City of Downey Regarding Disposal of a Portion of the NASA Industrial Plant (the "MOA"); and (viii) Revocable License Agreement between NASA and the City of Downey dated November 26, 2001 attached hereto as Exhibit "B" (the "License Agreement"). This License Agreement is intended to expire upon transfer of Parcels 1 and 2 to Developer. The Existing NASA Restrictions, the NASA 2003 Transaction Documents, the Additional NASA Documents (defined in Section 4.1 herein) and the Superior NASA Documents (de -Fined, in Section 9.4.1 herein) are sometimes collectively referred to herein as the "NASA Documents." On September 15, 2003, the Governor of the State of California approved the Covenant Deferral Re�-vjuest for the transfer of title to Parcels 1 and 2 of the NASA Site to C in accordance with 42 U.S.C. Section 9620(h)(3)(C). In addition, the NASA 2003 Transaction Documents have now been firialized which will effectuate the remediation of Parcels 1 and 2 and other areas of the NASA Site and City's purchase of Parcels I and 2 from the United States, through the GSA. D. NASA has described the environmental condition of Parcels I and 2 in the NAS 2002 Transaction Documents and the environmental reports and analyses referenced therei City has made available to Developer those certain environmental reports and other docume described in Exhibit IICII attached hereto (the "Existing Environmental Documents") whic further describe the environmental condition of the NASA'site. Trichlorethylene ("TCE" Perchloroethylene C'PCE"), and other volatile organic compounds have been detected in soi on, and in groundwater beneath, Parcels 1 and 2. Groundwater monitoring wells have be installed on Parcels 1 and 2 and sampled quarterly. Since June 2000, NASA (and its agent &,icinaduagitia. 'n t'gation and remediation of such soil and groundwater conditio E. Developer is proposing the development of an approximately 77 -acre central portion of the NASA Site (the "Studio Property', which is composed of an approximately 59- 2 SAJAMICHTERMawneyIPurchase AgreementTowneyPSA 09.12-04-01doc acre portion that would be acquired in fee by Developer from City and an approximately 21 -acre portion that would be ground leased by City to Developer. The general location of the Studio Property is shown on the "Studio Property Site Map" attached hereto as Exhibit I'D". The Studio Property consists of (i) the "Acquisition Parcel" which is generally shown on the "Acquisition Parcel Site Map" attached hereto as Exhibit "E" and legally described on Exhibit 'IF" attached hereto, and (ii) the "Ground Lease Parcel" which is generally shown on the "Ground Lease Parcel Site Map" attached hereto as Exhibit "G" and legally described on Exhibit "H" attached hereto. The Acquisition Parcel will be transferred by City to Developer as two separate legal lots designated as the "Building #6 Lot" and the "Studio Lot" on the Acquisition Parcel Site Map. F. Developer's proposed future development of the Acquisition Parcel and the Ground Lease Parcel involves the demolition of some of the existing Improvements (defined in Section 2.1.2) located thereon and the construction of a movie studio/film location production facility (the "Production Facilities"), as well other non-studio/film commercial uses. Developer has, is or will be processing all discretionary governmental planning, land use, zoning, development and environmental permits, plans, and approvals which are required for the development, use and operation of the Studio Property (the "Entitlements"). The Entitlements include (but are not limited to) the following non -exhaustive list of discretionary government approvals for the development of the Studio Property (the "City Entitlements"): (i) Downey Landing Specific Plan, dated February 2002, which includes rezoning and design guidelines) (the "Specific Plan"); (ii) Final Environmental Impact Report, approved by City Council on March 28, 2002 (the "EIW'); (iii) A parcelization of the NASA Site pursuant to Government Code Section 66428(a)(2) for the purposes of creating separate parcels comprising the Acquisition Parcel and the Ground Lease Parcel and other development areas conforming to the Specific Plan for sale, lease and financing purposes (the "NASA Site Parcel Map"); (iv) A Certificate of Compliance executed by City, in recordable form, in substantially the form as attached hereto as Exhibit "I" (the "Certificate of Compliance"); and (y) Any required demolition and building permits and related approvals for the possible reconfiguration of buildings or improvements in order to provide additional area which may be included within the Studio Property area (the "Construction Approvals"). Developer acknowledges that the Entitlements include (and the Studio Property is subject to) required regulatory approvals and permits from government agencies other than the City of Downey. G. The Studio Property shall be developed in accordance with the requirements and standards set forth in the City Entitlements (as the same are obtained by Developer). 3 SAJAMUCHTEMDowney\Purchase AgreemenMowneyPSA v1 9.12-04-03. doc addition to the transfer of the Studio Property as contem'plated hereunder ' City is also presently under contract to sell portions of the NASA Site to Kaiser Permanente and Downey Landing for the construction of a hospital and a retail shopping center, respectively. As part of the overall development plan for the NASA Site, City has required certain off-site traffic and intersection infrastructure improvements to be made, the costs of which are to be reimbursed, on a pro -rata basis, by Developer, Kaiser Permanente and Downey Landing, LLC, all as more fully set forth in Section 11.2.2 herein. ARTICLE 1. - — I ENT AND D 1.1 R_ecitals. The foregoing recitals are hereby incorporated into and made a part of this Agreement by this reference. 1.2 The purpose of this Agreement is to effectuate the Wre � g for the purchase and sale 4OTZi*J,f11Za&f,i yrs"T J I y_&A.V of certain real property situated within the NASA Site. That portion of the NASA Site to r- •- - •r-• edeveloped pursuant to this Agreement is defined in Section 1.3.1. 1.3 P—efinitions. A 1.3.1 Studio Pro The "Studio Property" shall mean all that certain MR99Z Exhibit "D." The real property sd forth •on •the StUdi� •Property Site Map attache hereto as SW16 Propbe comprised of both the Acquisition Parcel and the Ground Lease Parcel to be formed pursuant to this Agreement in compliance with the California Subdivision Map Act. 1.3.3 fill. "City " shall mean the City of Downey and its Cita Representatives, together with any assignee or successor to City's rights, powers anl responsibilities under this Agreement. 1.3.4 0overriniental Restrictions. "Governmental Restrictions" shall mean and include any and a , It laws, statutes, ordinances, codes, rules, regulations, writs, injunctions, orders, decrees, rulings, conditions of approval, or authorization, now in force or which may hereafter be in force, of any governmental entity, City or political subdivision. S:\JADA\LICHTERkDo,Nney\Purchase Agreement\DowneyPSA Y19.12-04-03.doc 1.3.5 Losses and Liabilities. "Losses and Liabilities" shall mean and include all claims, demands, causes of action, liabilities, losses, darnages, judgments, injuries, expenses (including, without limitation, attorneys' fees and costs incurred by the indemnified party with respect to legal counsel selected by the indemnifying party and reasonably acceptable to the indemnified party), charges, penalties or costs of whatsoever character, nature and kind, whether to property or to person, and whether by direct or derivative action, known or unknown, suspected or unsuspected, latent or patent, existing or contingent. 1.3.6 Affili�k. "Affiliate" shall mean any person directly or indirectly, through one or more intermediaries. controllin . controlled bpi or under common control with Developer, which, in the case of a partnership, shall include, each of the constituent partners thereof. The term "control," as used in the immediately preceding sentence, means, with respect to a corporation, the right to exercise, directly or indirectly, at least fifty percent (50%) of the voting rights attributable to the shares of the controlled corporation and, with respect to a person that is not a corporation, such as a limited liability company, the possession directly or indirectly, of the power to direct or cause the direction of the management or policies of the controlled person, including but not limited to, the manager or managing member of the limited liability company, "Qualified Financial Institution" shall mean a bank, savings and loan, pension fund, insurance company or other institutional entity which is duly established and in the business of financing the size and type of adaptive reuse contemplated hereunder and which, in the reasonable opinion of City, has a sufficient net worth and liquidity position to meet the contemplated financing commitment. 1.3.8 Person "Person" means an individual, corporation partnership, joint venture, association, firm, joint stock company, trust, unincorporated association or other entity. 1.3.9 Pdrinitt6d Uses. The phrase "Permitted Uses" shall have the meaning as set forth in Section 11.1 of this Agreement. ARTICLE 2. 2.1 Pare agrees to sell toDevelop and Developer agrees to purchase from City the Acquisition Parcel, all on the term covenants and conditions set forth in this Agreement. For purposes hereof, the te "Acquisition Parcel" shall mean and include the Land, Improvements, Personal Prope and Intangible Property, as follows - 2.1.1 Land. The Land as legally described on Exhibit" attached to this Agreement and made a part hereof, together with all of City's right, title and interest in and to all easements, utility reservations, mineral rights, rights of way, strips of land, tenements, M S:VAM\L1CHTER\Downey\Purchase AgreementWowneyPSA v19.12-04-03.doc hereditaments, privileges, licenses, appurtenances, reversions, remainders in any way belonging, remaining or appertaining thereto; 2.1.2 joqt���The buildings and all other structures and improvements (collectively, the "Improvements") now situated on the Land including, but not ! to, fixtures . • equipment, •conditioning, plumbing, mechanical, electrical, drainage, security, life safety and fire alarin systems, and their component parts; 2.1.3 Personal Pi6b6tb� All of furnishings, equipment,appliances,•• and other personal property of . and (collectivelycharacter "Person Property") owned b . currently attached located on or used in connection, • management, .r and •r • of -Im.rovements on • excludin those items -t forth on 1 r - - ' - ' - r- a. r • a WXj 91 all •J r. - r - • 0- M SMAMUCHTERMowney\Purchase AgreementOowneyPSA v14a2-04-03.doc Deposit shall be applied against the Purchase Price. In the event Buyer terminates this Agreement before the expiration of the Review Period, any Deposit paid by Developer to Escrow shall be returned to Developer along with any interest earned thereon promptly following such termination. WON 3.1 fifld�Miby City shall convey good and clear record and marketable title to the Acquisition Parcel, evidencing the Building #6 Lot and the Studio Lot as two separate legal lots, pursuant to the Certificate of Compliance substantially in the form attached hereto as Exhibit "I"- to D=lLskp44Vi-giwxjt deed. ub- e i- to the following ("Permitted Exceptions"): 3.1.1 A lien to secure payment of real estate taxes and assessments not yet due and payable; 3.1.2 A reservation in favor of NASA, if any, of oil, gas, hydrocarbon substances and minerals of every kind and character lying more than 500 feet below the surface (collectively, the "Mineral Rights"), together with the right to drill into, throu , and to use a -ad occupy all parts of the Studio Property lying more than 500 feet below the surface thereof for any and all purposes incidental to the exploration for and production of oil, gas, hydrocarbon substances or minerals from the Acquisition Parcel; provided, however, that in no event shall any party with any interest in the Mineral Rights have the right to use either the surface of the Acquisition Parcel or any portion thereof within 500 feet of the surface for any purpose or purposes therefore whatsoever; 3.1-3 The CC&Rs to be entered into between City and all owners of the NASA Site; and 3. 1 A Such other exceptions to title as may be approved by Developer pursuant to the provisions of Section 3.2 below. On the Closing Date (defined in Section 6.1) and as a condition precedent to the Closing of the purchase and sale provided in this Agreement, the Title Company shall issue to Developer its standard form of (i) ALTA owner's extended policy of title insurance (the "Owner's Policy") in the face amount of the Purchase Price showing title to the Property vested of record in Developer subject only to the Permitted Exceptions. 3.2 SdrVOV and Within ten (10) days after the full execution of this Agreement, City shall promptly deliver to Developer copies of any and all surveys in its possession or control ("Surveys") covering the Studio Property and all improvements thereon and a title commitment ("Title Commitment") together with legible copies of all -7- title exception docurnents shown thereon covering the Acquisition Parcel (collec vely, the "Title Documents"). Developer's approval of the Title Con-unitment and the Survey shall be a condition precedent to Developer's obligation to purchase the Acquisition Parcel. In the event Developer gives written notice that it disapproves of the Title Commitment or the Survey, stating the nature of its disapproval ("Disapproval Notice"), on or before the later of (i) thirty (3 0) days after receipt of the Survey and the Title Documents, and (ii) expiration of the Review Period (defined in Section 4.2), City shall proceed with diligence to take all steps reasonably necessary to remove or correct such items listed in the Disapproval Notice. If City, after exercising diligence, is unable to remove or correct such items within thirty (30) days after receipt of the Disapproval Notice, the obligation of Developer to buy and City to sell the Acquisition Parcel shall terminate, unless Developer waives in writing - its disapproval. In the event Developer fails to timely give the Disapproval Notice, the condition in this Section 3.2 shall be deemed approved. ARTICLE 4. .UAVP_R&1XM*WAM_VAFAEW PEI? T - 4.1 Phas previously made available to Developer for its review and approval, the NASA Documents described on Exhibit "KII, attached hereto. Developer hereby acknowledges and agrees that City has made no warranties, express or implied, oral or written, with respect to the truth, accuracy or completeness of the NASA Documents except as otherwise expressly provided in Section 7.1 herein, and any impl�ed warranties are hereby waived by Developer. Furthermore, Developer acknowledges that, many of the documents received by Developer were prepared by third parties other than City, and in several instances, were prepared prior to City's ownership of the Acquisition Parcel, that neither City or any City Representatives have made any warranty or representation regarding the truth accuracy or completeness on any of the documents or the sources thereof, and that City has not undertaken any independent investigation as to the truth, accuracy or vicrr rsuam '-ff 4 'UmMIMM jK@&=cjeAo to Deve accommodation to Developer. Upon the Close of Escrow as provided hereunder, City shall, to the extent assignable, assign to Developer a non-exclusive right to the NASA Documents, subject to any and all terms, conditions and restrictions set forth in each of the NASA Documents and/or any other applicable agreements relating to the NASA Documents. Developer acknowledges and agrees that City has not made and will not make any warranties, express or implied, oral or written, with respect to its right, title and interest in the NASA Documents or its right to assign the same to Developer. All of the foregoing information, including the NASA Documents, is collectively referred to as the "Property Information." 4.2 Review Period. Commencing upon the Developer's receipt of a fully executed copy of this Agreement and expiring thirty (30) days thereafter (the "Review Period"), Developer shall have the opportunity to review all legal, title., survey, environmental and NASA related documents as it deems appropriate to decide whether the Studio Property is acceptable to Developer, specifically including, but not limited to, the Specific Plan (the "Legal Review Documents"). All costs and expenses in connection with -8- SAJAMNLICHTEMDowneyTurchase Agreement\DowneyPSA v19.12-04-03.doc any such review shall be borne solely by Developer. Developer's obligation to purchase the Acquisition Parcel as herein provided shall be subject to Developer's approval of the Legal Review Documents in its sole discretion. City shall provide access to the Studio Property to Developer and Developer's agents and consultants during normal business hours for the purpose of completing its review during the Review Period. Developer shall indemnify, defend (by counsel selected by Developer and reasonably acceptable to City) and hold City harmless from and against all liability, claims, demands, damages or costs, including reasonable attorneys' fees, arising from or connected with Developer's inspection of the Studio Property. If before the end of the Review Period Developer sends written notice to City that the Acquisition Parcel is not acceptable to Developer, the obligation of City to sell and Developer to buy the Acquisition Parcel shall terminate. If Developer fails to send written notice to City before the end of the Review Period that the Acquisition Parcel is not acceptable to Developer, Developer shall be deemed to have decided that the Acquisition Parcel is acceptable to Developer and Developer shall be obligated to close the transaction as herein provided. E P m 5.1 Conditions Precedent to Develooer's Obliggagtligopa,�toClose The obligation of Developer to buy the Acquisition Parcel shall be subject to full satisfaction of the following conditions precedent: 5.1.1 Title. Approval of the conditions of title and the issuance of the marked commitment for the Owner's Policy in the form provided in Section 3.1.4 above; 5.1.2 Review Period. Approval of the Acquisition Parcel within the Review Period in accordance with Section 4.2 above; 5.1.3 Re resentations. Warranties and Covenants. The representations, warranties and covenants of City contained herein shall be accurate and true in all material respects on the Closing Date as if made on the Closing Date; 5.1.4 Certificate of CornDliance. City has delivered two (2) fully executed Certificates of Compliance, in recordable form, certifying that the Building #6 Lot and the Studio Lot, respectively, are separate legal parcels, and the Title Company is willing to insure that the Building #6 Lot and the Studio Lot are each in full compliance with the Subdivision Map Act; 5.1.5 Intentionally Deleted; 5.1.6 Lease of the Ground Lease Parcel. City and Developer shall have entered into a 55 -year ground lease with Developer for the Ground Lease Parcel (the "Ground Lease"), the terms of which the parties shall finalize during the Review Period. In connection therewith, City and Developer shall also agree to execute and acknowledge a -9- SNAMLICHTERUDowney\Purchasc Agrccrnent\DovvneyPSA v19.12-04-03.doc Memorandum of Ground Lease substantially in the form attached hereto as Exhibit"U. City and Developer hereby agree to use their best efforts to finalize the Ground Lease and obtain all necessary governmental approvals required to authorize City's execution of the Ground Lease as soon as possible after the execution of this Agreement. 5.1.7 Deliver of DoeugLe_nts. City shall have executed and delivered to Escrow each and all of the documents to be delivered by City pursuant to Section 6.3 herein; 5.1.8 CC&Rs. The form and substance of the CC&Rs, as defined in Section 3.1.3 herein, have been approved by Developer; 5.1.9 No _Defaults. As of the Close of Escrow, City shall not be in material default of any its obligations under the terms of this Agreement. 5.1.10 No Material Adverse Change. The nonoccurrence of a Material Adverse Change with respect to the Studio Property following the expiration of the Review Period and prior to the Closing. For purposes hereof, "Material Adverse Change" shall mean any material adverse change in the physical condition, Entitlements (or prospects for Entitlements), new environmental condition, or value having a significant negative impact on the value of the Studio Property from the facts existing on the expiration of the Review Period. 5.1.11 Lnfrastructure, "Payment Method. Developer and City shall have agre ' ed upon the Inflastructure Payment Method required for Developer's payment of Developer's Infrastructure Payment Contribution, as those terms are defined in Section 11.2.2. 5.2 Conditions Precedent to Ci 's Qbligation _toClose. The obligation of City to sell the Acquisition Parcel shall be subject to fall satisfaction of the following conditions precedent: 5.2.1 Deliveryof Purchase Price. Developer's timely delivering to Title _ Company the Deposit, the balance of the Purchase Price and any other funds required of Developer hereunder; 5.2.2 City's Ac �uisitiognoff�itle to the Pro �ert . City shall acquire fee title to the portions of Parcels 1 and 2 that constitute the Acquisition Parcel, subject only to the Permitted Exceptions; 5.23 Delivery of Documents, Developer shall have executed and delivered to Escrow Holder each and all of the documents to be delivered by Developer pursuant to Section 6.3; 5.2.4 Re' resent,-ttiGnsWarr ,-,mties and Covenants. The representations, warranties and covenants of Developer contained herein shall be accurate and true in all material respects on the Closing Date as if made on the Closing Date; and -10- SAJAMLICHTERMawneyTurchase AgreementWoNvneyPSA Y 19.12-04-03.doc No Defaults. As of the Close of Escrow, Developer shall not be in material default of any its obligations under the terms of this Agreement. 5.2.6 1pftastruct ____y_Wthod. Developer and City shall have agreed upon the Infrastructure Payment Method required for Developer's payment of Developer's Infrastructure Payment Contribution, as those terms are defined in Section 11.2.2. 5.3 Failure of a Condition Precedent Other than as set forth in this Section 5.3 and 7.1.12 herein, in the event that any of the conditions precedent set forth in Section 5.1 and 5.2 have not been satisfied, this Agreement shall terminate and Developer and City shall have no further rights or obligations hereunder. In such event, either party shall have the oi% tion - but not th_eDla4ationl. -to .­* . of their prejudice to any other rights and remedies that they may have against the other. With respect to City, the City Manager of the City of Downey, after consultation with the Mayor, at his discretion, is hereby authorized to approve extensions of time under this Agre-u- • ': meof City's conditions or requirements to the Close of Escrow as provided and with respect to Developer, Stuart Lichter and Eric Kaplan. 6.1 Cipsig. The sale and purchase of the Acquisition Parcel provided herein shall be consummated at a closing C'Closing" or "Close of Escrow') which shall be held'on the Closing Date at the offices of Title Company, or at such other time and place as City and Developer may agree upon. As used herein, "Closing Date" means thirty (30) days after the expiration of the Review Period (defined in Section 4.2) or such earlier or later date as City and Developer may agree upon, but in no event later than March 1, 2004 (the "Outside Closing Date"). Notwithstanding the Outstanding Closing Date referenced above, in the event that the Closing has not occur -red by the Outside Closing Date through no fault of Developer or City, the Closing Date shall be extended for such time as may reasonably be necessary to resolve the issue(s) preventing the Closing from occurring and City shall use its best efforts, and shall diligently take such actions as may be reasonably necessary, to consummate the sale of the Acquisition Parcel to Developer as contemplated herein. 6.2 Closine Cd§t� andPf6k6fions. City shall pay one-half (1/2) of the escrow fees, all of the recording fees for the deed, the entire premium for the Owner's Policy, all documentary transfer taxes (if any) and any other costs of City hereunder. Developer shall pay one-half (1/2) of the escrow fees, all of the premiums for any special title endorsements requested by Developer, and any other costs of Developer hereunder. City and Developer shall pay their own attorneys' fees. Security deposits held by City shall be delivered to Developer by a credit to the Developer's account at the Closing. Rent and other items paid by tenants shall be prorated as of the Closing Date. Operating expenses and utility charges shall be prorated as of the Closing Date. Real property taxes (if applicable) shall be prorated as of the Closing Date based upon the latest tax bill available. Developer and City agree to prorate as of the Closing Date any taxes assessed against the Property by a supplemental bill S:\JAM\L1CHTER1DownQy\Purchase AgreemcnNDowneyPSA Y 19.12-04-03.doc levied by reason of an event occurring prior to the Closmig. It is the intent o the parties that all property taxes attributable to the period prior to Closing be the responsibility of City and all property taxes attributable to the period after Closing be the responsibility of Developer. City shall pay all assessments levied against the Property on or before the Closing Date. Developer shall pay all assessments levied against the Property after the Closing Date. Any other costs, expenses or fees of the Escrow not otherwise provided for shall be shared in the mariner customary for real estate transactions in Los Angeles County. All prorations. as of the Closing Date shall be made as of 12:01 a.m, on the Closing Date. City shall issue a credit to Developer at the Closing in an amount equal to the Studio Management Fee, as defined in • 6.3 Cl6sing" Deliveries. At Closing, City and Developer shall deliver to each other such documents as are typical and customary for transactions involving properties of similar size, type and location as the Acquisition Parcel, and as may be necessary or appropriate to consummate the transaction contemplated in this Agreement (the "Closing Documents"). The failure of either- party to deliver the Closing Documents to the Title Company on or before the Closing shall be an Event of Default. 6A Possmion. City shall deliver possession of the Acquisition Parcel and all keys • the Acquisition Parcel to Developer at the Closing. ARTICLE 7. REQ RESENTAIJONS. WARRANTIES AND COVENANTS. 7.1•Effective as • the date If to Developer, and acknowledges that Developer is relying upon such representations, warranties • • in ■ the Acquisition Parcel, as follows: 7.1.1 Qh��� City is a public /•f corporate and ••' exercising governmental functions and powers and organized and existing under the laws of the State of • and is fully authorized to execute this Agreement and to fulfill its obligations as set • herein. 71.2 kjg��� City represents and wan -ants that to the best of its knowledge, and without any independent investigation by City, the Property Information contains no material misstatement of fact or false information; for purposes of this Section 7.1.2 the City's knowledge shall be limited solely to the actual knowledge of Darrell J. George, Community Development Director, and Gerald M. Caton, City Manager. 7.1.3 Leases. Other than the recorded agreements with NASA (or those agreements provided to •r` and listed • Exhibit "K"), City is unaware • any leases affecting the Acquisition Parcel or any parties in possession other than related to the studio operations. S:VAWL1CHTER\Downey\Purchasc AgreemenfflowneyPSA v19.12-04-03,doc W-JFiU-MT9 W1 flTgc- t 117.7 Developer from other governmental agencies or third parties for Developer's intended development of the Studio Property. The above Sections 7.1.12(i) and (ii) shall survive the Closing and the delivery of the Deed • five years from the Closing. City shall also exercise good faith and use its best efforts to satisfy all of its conditions precedent set forth in Section 5.2 herein which covenant shall terminate at the Closing of the transaction. 7.1.13 Infrastructure Rtauirements. Other than as set forth in Sections 11.2.2 and 11.2.3 herein, (i) except • subsequent subdivision • parcel map requirements in -ctio-g. wit'W a --t aDr) lication filed bv Developer, City shall not reguire De-velODer to instaMm SAJAMUCHTEMDowneyTurchase Agreemen ftDowneyPSA Y 19.12-04-03. doe or pay for any other off-site infrastructure improvements in connection with Developer's reuse of the existing buildings located on the Acquisition Parcel, and (ii) except for building or fire code requirements, City is not aware of any additional municipal requirements for on- site infrastructure improvements needed for Developer's reuse of the existing buildings located on the Acquisition Parcel. This provision shall survive the Closing and the delivery of the Deed for a period of seven and one-half years from the Closing. 7.1 14 V nm and of R1cdtdkbMhJI& Warranties Ae The representations, warranties and covenants of City contained in this Agreement shall be accurate and true in all material respects on the Closing Date as if made on the Closing Date and shall survive the Closing of the transaction and the delivery of the Deed for the later of the period expressly stated therein or the maximum period allowed by law, provided, however, the representations, warranties and covenants set forth in Sections 7.1.1 through 7.1.10 shall only survive for aperiod of one year fromthe Closing. 7.2 &presentations. Witrrgnfiqjg�ovenant by DOveldber. Effective as of the date of this Agreement and as of the Closing Date, Developer hereby represents, warrants and covenants to City, and acknowledges that City is relying upon such representations, warranties and covenants in selling the Acquisition Parcel, as follows: 72.1 The Developer has not paid or given, and will not pay or give, any third person any money or other consideration for obtaining this Agreement, other tlaan the normal cost of conducting business and cost of professional services such as architects, engineers and attorneys. Developer is a limited liability company duty organized, qualified and validly existing and in good standing under the laws of the State of Nevada, is duly qualified to do business and in good standing under the laws of each other jurisdiction where the operation of its business or its ownership of property make such qualification •lumyvilirt-ruired iNower and authoritg to own and oilerate its troperties, to cany_ on its business as now and whenever conducted, and to enter into and perform its obligations under this Agreement. 7.2.3 � aWU Opetild—Om Developer will obtain a local business license prior to Closing and from and after Closing will obtain all licenses, permits, consents and approvals required by all applicable governmental authorities to own and operate the Acquisition Parcel. 7.2.4 Cons Jrovals and Authorization . All consents, approvals and authorizations of all applicable governmental authorities required in connection with the execution, delivery and performance by Developer of this Agreement will have been obtained and delivered =propriate time hereunder. 7.2.5 This Agreement has been duly executed and delivered by Developer and is a legal, valid and binding instrument, enforceable against Developer in accordance with its terms, except as such enforceability may be limited by (�) bankruptcy, SAJAWLICHTER0owneyTurchase Agreement\DowneyPSA v19.12-04-03.doc insolvency, reorganization, moratorium or other similar laws affecting the enforcement of creditors' rights generally, and (ii) general principles of equity (regardless of whether such enforceability is considered in a proceeding in equity or at law). 7.2.6 Litigation d Com liance. To Developer's knowledge, there are no suits, other proceedings or investigations pending or threatened against, or affecting the business or the properties of Developer which, if determined adversely to Developer, would have a materially adverse affect on the financial condition of Developer, nor is Developer in violation of any laws or ordinances which would result in a material adverse affect on the financial condition of Developer. 7.2.7 Default. There are no facts now in existence which would, with the giving of notice or the lapse of time, or both, constitute a "Default" hereunder. 7.2.8 Prgiect Compliance. The construction and completion of any or all of the improvements to be constructed on the Acquisition Parcel will: (i) comply with all applicable Governmental ,Restrictions, including, without limitation, compliance with all laws and ordinances necessary to permit development, completion and sale or lease, as permitted by this Agreement; (ii) will be entirely on the Acquisition Parcel; and (iii) will not violate any enforceable use, easement, license, covenant, condition or restriction. 7.2.9 Notice From Governing Jurisdiction. Developer has not received any notice from any governing jurisdiction of any violation of laws and ordinances, nor any notice requiring any improvements or alterations to be made in connection with the improvements to be constructed on the Acquisition Parcel other than those specified in this Agreement. 7.2.10 Adverse Conditions. etc. Developer does not know of any adverse condition or circumstances, pending or threatened litigation, governmental action, or other condition which could prevent or materially impair Developer's ability to develop the Acquisition Parcel as contemplated by the terms of this Agreement. 7.2.11 Effectiveness and Survival of �e resentation 'Marra ties alld Covenants. The representations, warranties and covenants of Developer contained in this Agreement shall be accurate and true in all material respects on the Closing Date as if made on the Closing Date and shall survive the Closing of the transaction and the delivery of the Deed for the later of the period expressly stated therein or the maximum period allowed by law, provided, however, the representations, warranties and covenants set forth in Sections 7.2.1 through 7.2.10 shall only survive for a period of one year from the Closing. S:\JAA4\.LICHTERMowney\PurchaseAgreement\DowncyPSAY19.12-04-03-doc ' ARTICLE 8. g.1 If any portion of the Acquisition Parcel is materially damaged or destroyed between the date of this Agreement and the Closing Date, Developer shall have the right, exercisable in Developer's sole discretion, to: Terminate thisAgreement, in which evei partyneither - obligation or .r to the • - or 81.2 Accent Accept- Acquisition Parcel in its then condition, in which event there shall be credited against the Purchase Price any deductible which is payable under all applicable insurance policies which provide insurance coverage for the Acquisition Parcel or the Improvements and all proceeds of insurance payable to City, if any, by reason of such damage shall be assigned and paid by City to Developer. 8.2 Qhd���. if, prior to the Closing Date, all or any portion of the Studio Property or the means of ingress or egress thereon is taken by eminent domain, or is the subject of a pending or contemplated taking which has not been consummated, including, but not - c to, any land donation or public •... - requirements or encumbrances • - Studio Property a • owner contributionsi, promptly a notify Developer of such fact and Developer shall have the option to terminate this Agreement upon notice'to City given not later than twenty (20) days after receipt of City'snotice, and in such event the Deposit • be returned to Developer and neither party shall have any further rights or obligations hereunder.Developer does not• elect to terminate this Agreement, includesatisfactoZ,,LIQ both -tarties, and turn over, and Developer shall be entitled to receive and keep, all awards for the taking by eminent domain. A Taking shall not required dedications of street, utility .1f open space- be f f in connection with 1 • or development of 1 s Property. ARTICLE 9. • Developer .. that purchasing the Acquisition Parcel in . Is/Where Is" condition withoutof any • express limited,or including, a • • r - r above •aconditionor the existence or absence of f•us Substances on the Acquisition- of • r of • 1 - . • hereafter, if the Acquisition Parcel is not in all respects entirely suitable for the use or -uses to which the Acquisition Parcel or any part thereof will be put, then it is the sole responsibility and obligation of Developer to take such action as may be necessary to place the Acquisition Parcel s • •n entirely suitable foror -CONNECTION ABOVE, DEVELOPER HEREBY ACKNOWLEDGES AND REPRESENTS TO CITY DEVELOPERHAS HAD AMPLE OPPORTUNITY TO INSPECT AND ®16® S:UAM\LICHTER\Downey\Purchase Agreement\DowneyPSA v19.12-04-03 doe EVALUATE THE ACQUISITION PARCEL AND THE ACQUISITION PARCEL DOCUMENTS AND THE FEASIBILITY OF THE USES AND ACTIVITIES DEVELOPER • TO CONDUCT ON E ACQUISITION PARCEL; DEVELOPERDEVELOPMENT; DEVELOPER MAY RELY ENTIRELY ON DEVELOPER'S EXPERIENCE, EXPERTISE AND ITS OWN INSPECTION OF THE ACQUISITION PARCEL IN ITS CURRENT STATE IN PROCEEDING EXPRESSLY PROVIDED AGREEMENT, ,.... • r , i ACCEPT THE ACQUISITION PARCEL i ITS PRESENT • If • It THAT,TO THE EXTENT THAT DEVELOPER'S OWN EXPERTISERESPECT ANY OF • •.. INSUFFICIENT TO ENABLE DEVELOPER •, REACH • " i, CONCLUSION, DEVELOPER + ENGAGED. OF PERSONS DEVELOPMATTERS- DEVELOPER IS NOTON ANY EXPRESS OR • ORAL OR WRITTEN REPRESENTATIONS OR WARRANTIES MADE BY CITY OR ANY CITY REPRESENTATIVES WITH RESPECT TO THE CONDITIONOF • • PARCEL SITE IN ENTERING INTO TEES AGREEMENT. The foregoing shall not be deemed to limit or waive any express covenants, warranties, representations or obligations of City set forth in this Agreement. 9;2 Hazardous Materials/Envirorimental Laws. As used in this Agreement the term "HazardousMaterials" means any material or substance which (i) is defined or listed as a "hazardous waste," "extremely hazardous waste," "restrictive hazardous waste," "hazardous material" or "hazardous substance" or considered a waste, condition of pollution or nuisance under Environmental Laws (defined below), (ii) is petroleum or a petroleum product or fraction thereof, (iii) contains asbestos or an asbestos containing material; or (iv) is a substance known by the State of California or the United States to cause cancer and/or reproductive toxicity. As used in this Agreement the term "Environmental Laws" means any federal, state or local Law or Legal Requirement pertaining to (a) the existence, release, threatened release, use, storage, handling, generation, remediation and/or transportation of Hazardous Materials, or (b) health, industrial hygiene or the environmental conditions in, on, under or about the Property, including without limitation: (i) the Comprehensive Environmental Response, Compensation and Liability Act of 1980 ("CECLA"), 42 U.S.C. Sections 9601 et seq.; (ii) the Resource Conservation and Recovery Act of 1976 (" C " ), 42 U.S.C. Sections 6901 et seq.; (iii) California Health and Safety Code Sections 25100 et seq.; (iv) the Safe Drinking Water and Toxic Enforcement Act of 1986, California Health and Safety Code Section 25249.5 et seq.; (v) the Federal Water Pollution Control Act, 33 U.S.C. Sections 1317 et seq.; (vi) California Water Code Section 1300 et seq.; (vii) California Civil Code Section 3479 et seq.; as such laws are amended and the regulations and administrative codes applicable thereto. It is the intent of the parties hereto to construe the terms "Hazardous Materials" and "Environmental Laws" in their broadest sense. 9.3 Ex,]Aing .Envir. .. . - • .Site, of which Acquisition Parcel part,owned d operated by NASA. Developer acknowledges that it has been informed that as part of _17 S:VAMILICHTERTOWnCy\Purchase Agreement\DowneyPSAvl9.L2-04-03.doc NASA's use and operation of such property, that releases of Hazardous Materia s occurre in, on, under or about the NASA Site, including the Acquisition Parcel (the "Pri Contamination") as more fully set forth in the Existing Environmental Documents listed o Exhibit "C" attached hereto. In connection therewith, Developer acknowledges receipt o' and represents and warrants to City that prior to the Close of Escrow it will have reviewed i detail, each and all of the Existing Environmental Documents and each of the NAS Documents. It is expressly understood and agreed that the amount of the Purchase Pri 'I reflects the existence of the Prior Contamination, and the Acquisition Parcel is being sold b City to Developer subject to the Prior Contamination - 9.4.1 Subordination. Developer hereby agrees that (i) each and all of its (and any successor to or replacement for IRAD, for any reason) -under the Assumption Agreement, and any and all amendments or modifications of an any successor agreements thereto, hereinafter adopted, created, effected or put into place, (B) the rights of NASA, GSA and/or the United States of America (collectively, the "US Parties") under the NASA Documents, including, specifically, the ESA and any and all amendments or modifications of the NASA Documents hereinafter adopted, created, effected or put into place and (C) the rights of City and the Coordinating Party (as defined in the CC&Rs), including, without limitations, the rights of the same when acting on behalf of one or more of the "Owners,"'as the NASA Documents and all amendments or modifications of (and any successor agreements to) the same hereafter adopted, created, effected or put into place (collectively, as the same may exist from time to time, the "Superior NASA Documents"), (ii) Developer shall not take or perimit any action or ornission in, on, under or about the Acquisition Parcel which shall breach or violate any of the obligations of an "Owner" (including without limitation, any ground lesse of all or gLnygortion of the Ac uisition Parcel, under of the Supenor 1127=9771 -Mr -T il-7,7 um- -M V, 111 of the obligations applicable to the "Owner" of the Acquisition Parcel under each of the Superior NASA Documents (including without limitation, the obligations of each fee simple owner and each ground lessee of each portion of the Acquisition Parcel). Developer acknowledges that City has entered into the various Superior NASA Documents in order to benefit the various owners and ground lessees of the NASA Site, including, -a� ementatio of the Superior NASA Documents. Developer agrees that notwithstanding any provision of this Agreement (or any other document) to the contrary� and notwithstanding the City's designation and/or performance as the "Coordinating Party" under one or more of the Superior NASA Documents, (i) in no event and in no case shall IRAD (or any successor or replacement thereof) or any of their respective agents, contractors, subcontractors, employees or representatives (collectively, the "IRAD Parties") be considered, characterized, deemed or -l8- interpreted to be the agent, contractor, subcontractor or representative of City or any agency, department or official thereof and in no event shall City be legally responsible for any of acts, omissions, negligence or misconduct of the MAD Parties under any legal theory whatsoever, (ii) in no event and in no case shall any of the US Parties or any of their respective agents, contractors, subcontractors, employees or representatives (collectively, the "US Representative Parties") be considered, characterized, deemed or interpreted to be the agent, contractor, subcontractor or representative of City ( or any agency, department or official thereof) and in no event shall City be legally responsible or liable, in whole or in part, for any of the acts or omissions of any of the US Representative Parties under any legal theory whatsoever, (iii) in no event shall any of the IRAD Parties or any US Representative Parties ever be considered a City Party (under any legal theory) for purposes of the application and interpretation of this Agreement and (iv) Developer shall indemnify, defend and hold City harmless from any and Losses and Liabilities asserted against or incurred by City in connection with any claim or action by Developer which is inconsistent in whole or in part with Developer's agreements under clauses (i), (ii) and/or (iii) above. 9.5 Release. elease. Except as otherwise set forth in this Agreement, Developer hereby waives, releases and discharges forever the City and all City Representatives from all present and future claims, demands, suits, legal and administrative proceedings and from all liability for damages, losses, costs, liabilities, fees and expenses, present and future, arising out of or in any way connected with the Developer's use, maintenance, ownership or operation of the Acquisition Parcel, any physical, title or other defects in, of, or related to the Acquisition Parcel, any Hazardous Materials on the Acquisition Parcel, or the existence of Hazard6us Materials contamination in any state in, on, under, or adjacent to the Acquisition Parcel, however they came to be placed there, without qualification. Developer acknowledges that it is aware of and familiar with the provisions of Section 1542 of the California Civil Code, which provides as follows: "A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS FAVOR AT THE TIME OF EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM MUST HAVE MATERIALLY AFFECTED HIS SETTLEMENT WITH THE DEBTOR." As such relates to this Section 9.5, Developer hereby waives and relinquishes all rights and benefits which it may have under Section 1542 of the California Civil Code. 11i ft 51TUR Notwithstanding the foregoing, the release set forth in the Section 9.5 shall not apply to any claim, liability, obligation, demand or cause of action to the extent the same results from (i) any default by City in the performance of its obligations under this Agreement or, subject to the provisions of the CC&Rs, under the CC&Rs or (ii) any Hazardous Materials -19- SMAMUCT-ITERMowneyTurchase AgreementDowncyPSA A9,12-04-01doc released into the environment in violation of Environmental Laws as the result of any act of City following the Close of Escrow constituting gross negligence or willful misconduct. 9.6 Occuvant Release. 9.61 • Developer hereby agrees that it shall require each tenant, lessee 'subtenant, sublessee, licensee, easement holder or other occupant (collectively, an "Occupant") of any portion of the land or improvements constituting the Studio Property to execute and deliver to the City of Downey a release of claims in the foTin attached as Exhibit "N" (an "Occupant Release") prior to permitting any such Occupant to lease, sublease or otherwise obtain any tenancy, license, easement or other possession rights under any document as to, or otherwise occupy, any portion of the land or improvements constituting the Studio Property. To the extent permitted under the NASA Documents, in lieu of requiring an Occupant Release to be signed by each Occupant as set forth herein, •- •r' Mii-iscretion- m,.ao elect to indemnifjj and hold City harmless from any Losse's or Liabilities resulting from any action brought or claimed by or through any Occupant against City which would have been released or barred had such Occupant signed the Occupant Release. 9.6.2 The obligation to obtain the Occupant Release from each Tenant shall be binding upon each party that acquires a fee ownership interest or any type of leasehold interest in all or any portion of the Acquisition Parcel at any time following the Closing, and such obligation shall (i) survive the Close of Escrow and the delivery of the Deed and the other documents to be delivered by the parties hereto at the Closing, and (ii) be covenants running with the land as to the Acquisition Parcel. 0 ("RAPs") for such soil and groundwater remediation are required to be submitted and approved by the Regional Board; and (iv) IRAD will be performing remediation activities pursuant to the Assumption Agreement and the ESA. Developer agrees that (a) in the !-&-adi 14on, develowent. and oNeration of the Acquisition Parcel, Developer shalL cooperare -Irr-cl k-177=7117YMI-F, 4 Regional Board in connection with environmental remediation or any IRAD requirements, and any work plans or RAPs approved by the Regional Board and coordinate its construction, development and operation activities with the remediation activities that will b- • under the Assumption Agreement and the ESA, and (b) Developer shall otherwise perform in compliance with its obligations as owner of the Acquisition Parcel under the Assumption Agreement, the ESA and the CC&Rs, Developer acknowledges that City will -20- S.-VAMLICHTEMDowneyTurchase Agreement\DowneyPSA Y19.12-04-03.doc not be responsible for any acts or activities of IRAD or NASA conducted on the Acquisition Parcel pursuant to the Assumption Agreement, the ESA or the NASA 2002 Transaction Documents, or any actions of City in implementing the provisions of such agreements and documents or performing the functions of the Coordinating Party there under. KROXICSIM "I From and after the execution of this Agreement, Developer hereby agrees to indemnify, defend and hold harmless City and any and all City Representatives, and each of them, by counsel selected by Developer and reasonably acceptable to City, from and against all Losses and Liabilities related directly or indirectly to, or arising out of or in connection any breach or Default of Developer hereunder; (ii) any of Developer's activities on the Acquisition Parcel after the Closing (or the activities of Developer's agents, employees, lessees, representatives, licensees, guests, invitees, contractors, subcontractors or independent contractors on the Acquisition Parcel after the Closing), including without limitation, the construction of any improvements on the Acquisition Parcel; or (iii) any other fact, circumstance or event related to Developer's performance hereunder, or which may otherwise am-OhKoWiWomession l'tio-111 of Alto the Acquisition Parcel, regardless of whether such Losses and Liabilities shall accrue or be discovered before or after termination or expiration of this Agreement, except such Losses and Liabilities arising out of the negligence or misconduct of City, or arising out any breach or Default of this Agreement by City. In addition to the foregoing, Developer hereby agrees to defend and hold City harmless from any claim by NASA that all or any portion of the Studio Management Fee paid by City to Developer pursuant to Section 11.4 herein, is not a valid City expense pursuant to Section h of Section H of the License Agreement (defined in Recital C (viii) herein) relating to the sharing of all motion picture and television production income generated at the Studio Property between NASA and City. ARTICLE 11. ,s-RECTuTj 11.1 R_ Developer covenants and agrees for itself, its successors and assigns, which covenants shall run with the land and bind every successor or assign in interest of Developer, that, for the first thirty (30) months following the date the City issues or should have issued the Certificate of Required Development Investment, as set forth in Section 11.2.1 (the "Required Studio Use Period"), it shall use at least 715 ; 894 gross square feet of the buildings located on the Acquisition Parcel for principal use as a studio production facility, including use by such "ancillary business establishments" as are normally associated with a studio production facility (a "Studio Production Facility"), For purposes of this Section 11.1, "ancillary business establishments" shall include, but not be limited to: prop and set construction and storage facilit es; office, product on and support personne or production companies and studios; production trade vendors (such as lighting, grip and food catering providers); and, any type of pre -and post production services and facilities (such as editing, screening and similar facilities). Developer further covenants and agrees for itself -21- SAJAMUCHTEKDowneyWumbase AgreementMowneyPSA v19.12-04-03.doc and its successors and assigns that it shall not engage in or permit any activity on the Acquisition Parcel that would violate the existing zoning or any applicable Governmental maL- '0 r1 t the Acquisition Parcel as proposed by Developer and as identified in the Specific Plan is "Commercial/Industrial". I1 !M 11.2.1 pgdy�eloer�'SCosts �and �E�. Developer, its studio management company, or their affiliates, successors or assigns, shall cause to be invested not less than $13,000,000.00 (the "Required Development Investment") of Deve opment osts, as hereinafter defined, in the Studio Property. For purposes of this Agreement, "Development Costs" shall include, but not be limited to, all costs and expenses directly and indirec incurred in connection with the construction and development of buildings 1, 6, 9, 11, 14, 23 and 290 located on the Acquisition Parcel and all operations related thereto, including, without limitation, all costs incurred in connection with the investigation, acquisition and preparation of the Acquisition Parcel for development, building, pen -nit and developer fees, and all costs of investigation, acquisition and/or preparation of any development plans. City shall issue a "Certificate of Required Development Investment," in recordable form, or such other similar document reasonably acceptable to Developer, confirming that Developer has satisfied the Required Development Investment within thirty (30) days following Developer's request for the Certificate of Required Development Investment and Developer's satisfaction of such requirement. If City fails to object to Developer's reque'st for a Certificate of Required Development Investment within thirty (30) days following receipt of Developer's request, the Required Development Investment shall be deemed approved and City shall forthwith issue the Certificate of Required Development Investment. If City objects to Developer's request for a Certificate of Required Development Investment, City shall give written notice to Developer within thirty (30) days after receipt of the request, stating with specificity the nature and amounts objected to by City. City and Developer agree to meet and confiar in good faith promptly thereafter to resolve the dispute. 11.2.2 j�qa bowney fi&aitructure. Developer's obligations hereunder shall also include the reimbursement to the City for its a -rata share, along with Kaiser Pernianente and Downey Landings, of complying with the Mitigation Monitoring and Reporting Program of the EIR for the Specific Plan (the "Required Downey Infrastructure"). The Required Downey Infrastructure consists of roadway improvements or traffic signal coordination system or other traffic mitigation measures for the development of the NASA Site at the following six intersections surrounding the NASA Site: Mitigation Measures 3.9-1 (improvements at the Lakewood Blvd. and Firestone Blvd. intersection), 3.9- 2 (improvements at the Lakewood Blvd. and Bellflower Blvd. intersection), 3.3-3 (improvements at the Lakewood Blvd. and Stewart and Gray intersection), 3.9-4 (improvements at the Lakewood Blvd. and Imperial Highway), 3.9-5 (improvements at the Bellflower Blvd. and Imperial 1-fighway intersection), 3,9-6 (improvements at the Bellflower Blvd and Stewart and Gray intersection). In order to satisfy Developer's requirements in connection with the Required Downey Infrastructure, Developer agrees to pay to City a sum S:UA3of\LICHTER\DoNvney\Purchase Agreemerit\DowneyPSA v I 9.12-04-01doc not to exceed Three Million -Dollars ($3,000,000.00) ("Developer's Infrastructure Contribution") as payment for Developer's fair share cost of the Required Downey Infrastructure. The parties agree that Developer's Infrastructure Contribution shall be payment in full for Developer's share of the Required Downey Infrastructure, and that Developer's Infrastructure Contribution shall not be increased even if City's actual costs for the Reguired Downe?i Infrastmucture -are greater than City from Developer, Kaiser Permanente and Downey Landings, However, if Developer's share of the total costs of the Required Downey Infrastructure is less than Three Million Dollars ($3,000,000.00), Developer's Infrastructure Contribution shall be reduced accordingly. City and Developer shall mutually agree on one of the following three choices (the "Infrastructure Payment Method") for payment of Developer's Infrastructure Contribution: (1) fully funded cash deposit account, (2) an irrevocable letter of credit, or (3) a third party guaranty. For purposes of this Section 11.2.2, Developer's Infrastructure Payment gLO! �V 11�w4iklqi"t to the construction of the Required Downey Infrastructure are actually incurred by City (each, a "Developer Infrastructure Paymenf). Each Developer Infrastructure Payment shall be equal to Developer's pro -rata. share of the Required Downey Infrastructure costs, which shall be deemed to be 39% (based upon the relationship the total estimated costs for the Required Downey Infrastructure bears to Developer's Infrastructure Contribution (i.e. Dewtopet's obligation to reirnbu= City for the Required Downey IftkaStructure shall tdimludt6b4i ffic� fiffi (5h) anniversary of the Closing Date at Which dine any obligations securing of Developer's Infrastructure Contribution shall be released and any funds held for Developer's Infrastructure Contribution shall be retumed to Developer. 11.2.3 Other Infrastructure Requirements. In addition to the Required Downey Infrastructure set forth in Section 11.2.2 above, Developer, at its sole cost and expense, shall also be responsible for the installation of the infrastructure requirements set forth on Exhibit '1011 attached hereto. 11.2.4 DeveloppNp=. On a regular basis, but in no event less often than semi-annually, Developer shall submit to City a "Development Report" which shall consist of a certified statement prepared by, or on behalf of, Developer setting forth, in reasonable detail, the amount of the Development Costs expended by Developer to date. City shall have thirty (30) days following submission of the Development Report to object to any of the Development Costs contained therein. If City fails to object to any Development Report within the foregoing thirty (30) day period, all such Development Costs contained therein shall be deemed to be approved by City for purposes of satisfying Required Development Investment and obtaining the Certificate of Required Development Investment as set forth in Section 11.2.1 above. If City fails objects in writing to any Development Report within the foregoing thirty (30) day period, City and Developer agree to meet and confer in good faith promptly thereafter to resolve the dispute. 11.2.5 Dedicated Pnrfinn. Developer agrees to dedicate to City, and City shall pay to Developer the amount of Five Dollars ($5,00) per square foot, that portion of the Acquisition Parcel which is adjacent to Lakewood Boulevard and Clark Avenue and is -23- SAJAMUCHTEMDowneffurchase Agreement\DowneyPSA v19.12-04-03.doc required and determined by City to be reasonably necessary for public right-of-way purposes ("Dedicated Portion"). This Dedicated Portion shall not encroach upon or interfere with any existing buildings or parking areas of the Acquisition Parcel. This obligation of Deve oper shall terminate twelve (12) t• after the date of this Agreement. 11.3 RemdVat • Developer shall remove, at Developer's expense, e excess • located • the Ground Lease Property caused by operations at the studio in • .r• July through September 2003, and dispose of such dirt in compliance with all applicable federal, state and local laws. In the event the Acquisition Parcel fails to • for any reason and this Agreement is terininated, Developer shall remain obligated to remove the excess dirt on the Ground Lease Parcel in compliance with all applicable federal, state and local laws. This provision shall survive the termination of this Agreement for any reason and shall be a covenant separate and apart from the remedies set forth in Article 13. 11.4 Studio Manaaement Fee, In consideration of Developer's day-to-day management 0 t e fihn and television operations presently taking place at the Studio Property and Developer's pre -Closing funding of certain capital improvements related thereto, Developer shall be entitled to receive a studio management fee equal to (i) the sum e ations at the Studio P SNAWLICHTEMDowneyTurchase Agrecment)DowneyPSA Y19.12-04-03.doc r. LeaM er t3aivision or LeaTIT execute the Learning Center Lease, City shall promptly reimburse Developer for the Pre- Development Costs which have been previously approved by City. 11.6.4 - Developer intends on obtaining a loan (the "Learning Center Loan") from a Qualified Financial Institution to fund e earning Center osts, as hereinafter defined. City agrees to authorize the Base Rent, as defined in Section 11.6.5 below to be payable out of the City's general revenue so that the City's financial credit can be used in connection with obtaining the Learning Center Loan. The funding of the Learning SAJAMUCHTERUDowneykPurchase AgreemenODowneyPSA v19.12-04-03.doc W I MM" - Ires, e In ase 1164 -RIP reduced to One Dollar ($1.00) until the expiration or termination of the Learning Center Lease; provided, however, that City shall remain responsible for the payment of Additional Rent. After the Reimbursement Period expires, City shall have the right to terminate the Lease at any time in its sole discretion. Upon the expiration of the Reimbursement Period, City may not convert the use of the Learning Center from an aeronautical educational learning center without the prior written consent of Developer, in which event Developer may withhold its consent in its sole discretion. 11.6.7 Title to any improvements installed or developed by Developer in Develoi•er and title to anqjaprovernents installed or developed by City within the Learning Center shall remain in City, unless otherwise agreed to by the parties in the Learning Center Lease, provided that City shall be,responsible for removing all of its improvements upon the expiration of the Learning Center Lease term. M S:\JAM\LICI-ITER\Downey\Purchase AgTCemcnt\DowneyPSA v19.12-04-03.doc 11.6.8 In connection with City's operations of the Learning Center, Developer and City shall negotiate a mutual cooperation agreement for the purposes of conducting tours of the Studio Facility, subject to the rights of tenants and other parties in possession. In addition, Developer shall cooperate with City for a period of one year after the Closing with respect to City's collection and storage of historically significant artifacts located on or about the Studio Property. 11.7 Diseldmer Regardigg City Entitlement Actions. Developer acknowledges that as a public municipal corporation, City and its City Council, Boards, Commissions, Departments, employees, officers, agents and representatives exercise certain police powers, taxation powers, and other governmental powers duties and authorities over the Property and are required to follow applicable provisions and requirements of the City Charter of the City of Downey, the Downey Municipal Code, the California Environmental Quality Act (Public Resources Code § 21000 et seq., "CEQA"), and other ordinances, regulations, statutes and laws (collectively the "Entitlement Laws") regarding the review, consideration, processing and approval of the Entitlements and other administrative or ministerial approvals, permits, plans or actions required for the development of the Studio Property. The Entitlement Laws require, among other actions, the filing of applications, payment of processing fees, and public notice and public hearings regarding the City Entitlements and the Studio Property. Developer acknowledges that City reserves the right (without qualification or restriction statute, law ordinance, order, code or regulation) (collectively, "Laws") to approve, conditionally approve, modify, or deny the City Entitlements and all other administrative or ministerial approvals, permits, plans or actions required for the development of the Studio Property. Nothing contained in this Agreement shall in any manner (a) limit, restrict or affect (or constitute any form of promise to limit, restrict or affect in the future) in any manner the exercise by City of its police powers, taxation powers or any other governmental powers, duties and authorities under the Entitlement Laws or any other statutes, laws, ordinances, or regulations or (b) except as expressly provided to the contrary herein, create any duty or obligation of City (or any other governmental body) to cooperate with or assist Developer in the development of the Studio Property, provided, however, that in its dealings with City in processing the City Entitlements, City shall treat Developer on generally the same basis as it would deal with any similarly situated purchaser of real property located in the City of Downey, without regard to City's interest in the Property. 11.8 Larne of Studio. To the extent legally available and without the requireme for paying any third party for the usage thereof, Developer agrees to use the name "Do Studios" in connection with the operations of the studio facilities at the Studio Property. change of the foregoing name shall require the prior consent of City, which consent shall Inn be unreasonably withheld or delayed. 11.9 Sale of Cut -Oat -Parcet. Developer agrees to sell the Cut -Out Parcel to Downey Landing for the amount of $5.00 per square foot pursuant to Developer's standard purchase and sale agreement, provided, however, the closing occurs within six (6) months after the Closing hereunder, time being of the essence. If the closing for the Cut -Out Parcel occurs more than six (6) months after the Closing hereunder for any reason whatsoever other -27- S:UAM\LICHTER\DowneykPuTehsse Agrament\DowncyPSA Y19.12-04-03.doe than Developer's intentional failure or refusal to close, but before twelve (12) months after the Closing Date hereunder, the sale price shall be an amount equal to $5.00 per square foot increased by Developer's carrying costs for the Cut -Out Parcel incurred from the Closing Date hereunder through the closing date with Downey Landing. If Downey Landing fails to close the sale of the Cut -Out Parcel within twelve (12) months after the Closing Date hereunder for any reason whatsoever other than Developer's intentional failure or refliW to close, Developer obligation to sell the Cut -Out Parcel to Downey Landing shall terminate, time being of the essence. Downey Landing shall pay all costs and expenses directly and indirectly related to subdivision of the Cut -Out Parcel from the Acquisition Parcel, demolition, renovation, and restoration costs, and conveyance of the Cut -Out Parcel to Downey Landing, including, but not limited to, prompt payment of or reimbursement for the legal fees and costs of Developer's counsel incurred in connection with this Section 11.9 and Developer cooperating with Downey Landing. In connection with the subdivision, Developer's sole obligation shall be to reasonably cooperate with Downey Landing in the subdivision process. Such cooperation shall also include signing a mutually acceptable purchase and sale agreement, easement/access agreement and deed, and approval of the construction plans for building one alteration in its sole discretion. In addition, the sale and P all applicable goverrimentat restrictions and regulations as well as any terms, conditions and restrictions required by Developer in its sole discretion. 11.10 fit Partic on -by Qiti� Upon the sale of the Studio Lot, as defined i Recital E herein, by -Developer, City shall be entitled to receive, as a profit participatio We S interest ("City's Profit Participation") an amount equal to five percent (5%) of all' t al Proceeds" over a base price of $100,000,000-00 (the "Base Price"). The Base Price shall 1 b increased by ten percent (10%) every five years after the Closing Date. For purposes of thi Section 11.10, "Net Sale Proceeds" shall be defined as the aggregate sales price for thl- Studio Lot actually received by Developer, less all brokerage conu-nissions, legal fees, an title and closing costs related thereto. Notwithstanding the foregoing, any sales or transfe by Developer to any Affiliate of Stuart Lichter shall be exempt from the application of thi Section 11.10. 1 11. 11 _piiiina�e Egs_�. Developer agrees to abandon or relinquish an existing drainage easement over the adjacent parcel currently intended to be developed by Kaiser 7 ts so IT I UISUCL14111 U1114 - by the City in compliance with all applicable laws and acceptable to Developer in its sole discretion. Developer agrees to grant a drainage easement over the Acquisition Parcel to Y enefit the adjacent northerly parcel currently intended to be developed as a commercial shopping center when such easement is reasonably required as part of the overall drainage rwj4AqiYxqr_V&r the site on such terms and conditions as determined by Developer in its sole discretion and such drainage plan is approved by the City in compliance with all .•• .r e laws and acceptable to Developer in its sole discretion, -28- S:\JAM\L1CHTER\DowneyNPurcfiase Agraement\DowneYPSA v I 9.12-04-03.doc 12,1 �Obflddtion � 16 6m Developer shall refrain from restricting the rental, sale or lease of the Studio Property or any portion thereof on the basis of race, color, creed, religion, sex, mantal status, national origin, or ancestry of any person. All such deeds, leases or contracts shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: (a) In deeds: "The grantee herein covenants by and for itself or its successors and assigns, and all persons claiming under or through it, that there shall be no discrimIn ion against or segregation of, any person or group of persons on account of race, color, creed, religion, sex, marital status, national origin, or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the land herein conveyed, nor shall the grantee of any person claiming -under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subteriants, sublessee, or vendees in the land herein conveyed, The foregoing covenants shall run with the land." (b) In leases- The lessee herein covenants by and for itself or its successors and assigns, and all persons claiming under or through it, and this lease is made and accepted under and subject to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons, on account Of race, color, creed, religion, sex, marital status, national origin, or ancestry, in the leasing, subleasing, transferrmi g, use, occupancy, tenure, or enjoyment of the land herein leased nor ,dall Vue less Ii Weii 0. r an berson clairm*n pr=(T of PITELICUS VI number, use, or occupancy, of tenants, lessees, sublessee, subtenants, or vendees in the land herein leased." (c) In contracts: "There shall be no discrimination against or segregation of any person or group of persons, on account of race, color, creed, religion, sex, marital status, national ongin, or ancestry, in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the premises, nor shall the parties to this contract or any person claiming under or through them, establish or permit any such practice or such practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, subtenants, sublessee, or vendees of the premises�" 12.2 hk•M Nothing contained herein shall be deemed to limit, restrict, amend or modify, nor to constitute a waiver or release of, any ordinances, notices, orders i rules, regulations or requirements (now or hereafter enacted or adopted and/or as amended from time to time) of the City of Downey, its departments, agencies and boards and the officers thereof (for the purposes of this Section 12.2, collectively referred to as "City") -29- S:UAM\LICHTER\Downcy\Purchase Agreement\DowneyPSA vl9.12-04-03.doc 12.3 Conflict of _Interest. No member, official or employee of the City shall have any direct or indirect interest in this Agreement, or participate in any decision relating to the Agreement that is prohibited by law. 12.4 rrloloyment Dort 'tics. To the extent permitted by law, Developer shall make a good faith effort to employ and provide a preference for employment to Downey residents for permanent jobs in the project. Developer shall cooperate with the applicable City departments and local agencies in the advertisement and referral for employment to Downey residents. ARTICLE 13. DEp-uL F AND TF A Ts, ,DIES 13.1 PSfaults-Generally. The occurrence of any or all of the following (each, an "E -vent of Default") shall, after the expiration of the applicable cure period provided in Section 13.3 below, constitute a default ('Default(s)") under and a breach of this Agreement: (a) Failure of either party to promptly pay in fall any sums or amounts due the other party under any term of this Agreement; (b) Failure or delay in the due, prompt and complete observance and performance of each and every condition, covenant or obligation imposed on Developer or City, respectively, by this Agreement; M SMAMUCHTER\DowneyTurchase Agreement\DowneyPSA v19.12-04-03.doc is- on MUM of the Acquisition Parcel as and when contemplated by this Agreement. This liquidated damage provision shall not apply to the covenants set forth in Sections 11.3 and 11.4 hereo which shall survive any termination of this Agreement separate and apart from this Section 13.4. i3. _S�pee ,fie Performance, If City Defaults under any of the provisions of this Agreement, Developer may commence an action for specific performance of the to of this Agreement. ARTICLE 14. L shall be bound by or liable for any or in the documents referred to herein, a -ad to party not �set ibA or alleged representation, promise, inducement ot stAt�bts in� referred to in this Agreement. 14.2. lu-gc—e—ss—o-rs—and ---A-s—sighs. The terms, covenants, conditions, representations and warranties, contained herein shall be binding on and inure to the benefit of the heirs, successors and assigns of the respective parties hereto. No party to this Agreement shall assign its rights hereunder without the written consent of all parties to this Agreement, which shall, not be unreasonably withheld. Any such assignment shall not relieve the party assigning its rights of its obligations hereunder. Notwithstanding the above, Developer may freely assign its rights hereunder - To Developer. industrial Realty Group, LLC 12214 Lakewood Blvd. Downey, California 90242 Attention: Stuart Lichter Fax: (562) 803-4796 With Copies to: Fainsbert, Mase & Snyder, LLP 11835 West Olympic Blvd. Suite 1100 Los Angeles, California 90064 Attention: John A. Mase, Esq. Fax: (310) 473-8702 -32- SAJAM\LjcHTER\Downey\Purchase AgreernentMovyneyPSA v 19.12-04-03.doc City of Downey: 11111 Brookshire Avenue Downey, California 90241-7016 Attention: City Manager Fax: (562) 923-6388 With copies to: Oliver, Vose, Sandifer, Murphy & Lee 281 S. Figueroa Street, Second Floor Los Angeles, California 90012 Attention: Charles S. Vose, Esq. Fax No, (213) 621-2211 within the requirements of the law. 14.7 Law. This Agreement shall be governed by and construed in accordance with California law. 14.8 Waiver. The waiver or failure to enforce any provision of this Agreement shall not operate as a waiver of any future breach of such provision or any other provision hereof. SAJAMLICHTERTowney\Purchase Agreement0owneyPSA v19.12-04-03.doc 14.9 This Agreement may be executed in hiiffibof counterparts, each 6fi��h so executed "I be deemed to be an Original, and such counterparts shall together constitute but one and the same Agreement. 14. 10 Each party to this Agreement has carefully reviewed this Agreement, is familiar with the terms and conditions herein, and was advised by legal counsel of his or its own choice with respect thereto. This Agreement is the product of negotiation among the parties hereto and is not to be interpreted or construed against any party hereto. duration of such, pertoo smu oc W which is not a Saturday, Sunday or legal holiday. • 14.14 Noriliability, The parties agree that, in the event any party is a corporation, neither the directors, officers, employees, shareholders nor any agents of any such corporation shall have any personal liability or obligation hereunder, and that each party shall not seek to assert any claim or enforce any of its rights hereunder against such directors, officers, employees, shareholders or agents, whether disclosed or undisclosed. -34- SMAKLICHTERDowney\Purchase Agreemenf\DowneyPSA vl9.12-04-03.doc 14.15 _Further Acts. In addition to the acts recited in this Agreement to be performed by City and Developer, City and Developer agree to perform or cause to be performed before or after the Closing any and all such ftu-ther acts as may be reasonably necessary to consummate the transaction contemplated hereby. . 14.16 Coo eratior prior to Closirl . City agrees to cooperate with Developer to determine the status and availability of all City approvals and permits necessary to enable Developer to develop the Studio Property as contemplated hereunder, and will provide copies or information relating to any other request made by Developer in any way relating to the Studio Property, any past or present operation thereon, specifically including any and all information relating to the City's present use of the NASA Site as a movie and television production facility. 14.17the vent of any legal action instituted by governmental entity or a s which may be granted official, challenging by City for the fully with each other in defending such action. 14.18 Developer and City agree to cooperate with each other in accomplishing a tax deferred exchange for either party wider Internal Revenue Code Section 1031, which shall include the signing of reasonably necessary exchange documents; provided, however, that (a) neither party shall incur any additional liability or financial obligations as a consequence of such exchange, (b) such exchange shall not delay the Closing; and (c) neither party shall be required to take fit - le to any property as part of an exchange other than Developer receiving title to the subject property herein. This Agreement is not subject to or contingent upon either party's ability to effectuate a tax deferred exchange. In the event any exchange contemplated by either party should fail, to occur, for whatever reason, the sale of the subject property shall nonetheless be consummated as provided herein. 14.19 Incorporation of Exhibits. All Exhibits referred to in this Agreement are incorporated herein by such reference and made a part hereof. [Signatures contained on the following page] -35- S-.\JAM\LECHTEEL\Downey\Purchasr Agreement\DowneyPSA y19.12-04-03.doc IN WITNESS WHEREOF, the Parties have executed this Real Property Purchase and Sale Agreement as of the date first above written. Date: December 1 2003 ATTE S J a"& APPROVED AS TO FORK Oliver, Vose, Sandifer, Murphy & Lee City Counsel Date: December 1 12003 of I I BY: Ric Trej WiTTri- M M. City Clerk By- Properties, Inc. A Delaware corporation Its: a all, By: Stuart Licliter, President SAJAM\L1CHTER\Dawney%Purchase Agreement0owncyPSA Y19-12-04-01doc CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California M On 9, 2003 before me, Date a AW'r.6 of OOkO Wg,, "Jane One, Notary PublIT) ersonall a eared WITNESS my hand and official seal. 0 � L01(,!),VZ_0j S10"Tkila of hGooly ptalk, OP i. Though the information below is not required by lav, It may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. Title or Type of Document: Real Prorty Purchase and Sale�EM�nt Document Date: Novvmber -30, 2003 Number of Pages-, 39 Signer(s) Other Than Named Above: Stuart L`oh ter Capacity(ies) Claimed by Signer(s) Signer's Name: Trejo 0 Individual [I Corporate Officer Title(s): — D Partner — 0 Limited 0 General 0 Attorney -in -Fact 0 Trustee D Guardian or Conservator El Other: c l COt-P. Tbp of thumb here Mayor® City of DMMY Signer Is Representing: City of Downey Signer's Name: 0 Individual 0 Corporate Officer Title(s): El Partner — El Limited 0 General 0 Attorney -in -Fact 0 Trustee 0 Guardian or Conservator 0 Other: — [—Toy —R—iiiiRb howe Signer Is Representing: (9 1995 National Notary Association - 8236 Ramirnet Ave., P.O. Box 7184- Canoga Park, CA 91309-7184 Prod. No. 5907 Reorder; Call Toll -Free 1-800-876-8827 STATE OF CALIFORNIA ) s COUNTY OF LOS ANGELES ) I On 2003, before me, personally appeared ,, the. Mayor of THE CITY OF DOWNEY, the public entity named therein, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his authorized capacity, and that by his signature on the instrument the public entity upon behalf of which the person acted, executed the within instrument 01101=111 jjj� Signature (This area for official notarial seal) STATE OF CALIFORNIA ss. COUNTY OF LOS CxELES On t-::: 2003, before L me, personally appeared STUART LIC ER - i_e,(or proved to me on the basis of satisfactory truman 'T t0 gesso hose are sul�cribe to `lhe within inscot d acknowledged evidence) t b e zed. capacity, and that by hiiAteif signature on the behalf of which the persooK acted, e cuted the within instrument. kA- ALVAREZ 1 hand and official seal. Mmisslon # 1305372 5 Ma tary Public Califcr" Lor Angeles County kMy(- a.Omm Expim,7 Moy2l Signature (This area for official notarial seal) -37- S:\JANAL1CHTER0owney\Purchase AgrcemenADowncyPSA v19.12-04-03.doc =3g S:UAM\LICHTER\Downey\Purchase Agreement\DowaeyPSA v19.12-04-03.doe r r w ■ r . r s' =3g S:UAM\LICHTER\Downey\Purchase Agreement\DowaeyPSA v19.12-04-03.doe E, XMIT cc .» NASA She Cit r r License Agreement REVOCABLE LICENSE The NATIONALAERONAUTICS AND ADMINISTRATION by • through the Director, consideration,hereby • • • rt• i• • )• • a r • t • a Mateo for a video production,other purposes -r to film and video production, or"r • •(includingr trt t. added '+ this License Inntuirot to the terms diereoOAcot 1$it • • r subjectto the following• t' a t t r w 'r.l a • •� r" • r- • 1 1 .rr • -• r r- r - h. SMUCTURE& The City shall not place or construct upon, over or under the Premises any installation or structure of any kind or character, without the prior'written consent of NASA. Upon termination of this License, to the extent directed b NASA, the City shall remove all alterations, additions, betterments and improvements made, or installed, pursuant to this License, and restore the Premises to the same, or as good condition, as exist. -d on the date of entry under this License with the exception of reasonable wear and tear, acts of God, or apts of NASA, its agents or contractors), unless such termination is incident to the transfer of title to the Premises from the United States to the City. c. LAWS AND CI INA«.NCES. In the exercise of any privilege granted by this License, the City shall; comply with all applicable Federal, State, municipal and local laws, regulations, and ordinances d the rules, orders, regulations and requirements of Federal govemmental departments and bureaus. • r 't r r- r 1 r -• •r - • - + a s r - a • 1 • • r r a r- r a • t a t t • - • r 1 r r' • . c ... 1 1 ...:: 1. ` i.. ; .. _ F J. 1 r 1 ''a. 11 r 1 ': r '. i t 1 , r i. 1 1 // . r { } Y. q r. 1. f: ► 1 1 f. •. 1;.. ... i 1 { i a 1 1. [ i 1 1 i r, � * r s l y ati � r *.- y { '1 i 1 P a 1 -t { 1 1 r. r r 1 1` /:. 1 '. 511: f # f a ... tl .. d ► r.. 4 4. # kp r. 1 .: } -: 1 1, �; # 1 . � ® �1 t i,. � � I 1" ® tr r� 1 r r -s r r; r �� � 11 r � � 1 rr 1 t ► • � r � 1 f, � i f � a r l: 1 9k 1 , 4 1:.. 1: 1 * ► I a. 1 a.r { ' 1' �..-111 l� -,1 1 11 ,'y i l a � ' r • r- 1 1 f i * 1 i' Y fa li 1 11 `1. � Y 1 � - f 1 1' � i i 1 I i 1' 1 a i f /': 1 1:, f is i,', r f - 1 1 1 :: r '. f 1 1 f :: damage, including environmental less or damage, to the property of any person, directly or indirectly due to the exercise by the City of the privileges granted by this License, or to any other act or omission of the C'itv ;nrikidinp failnre. 10 not"OIV uAth the. nblivatin r of Ithiq I Sr.p.me Pre-eyi.4ainor ir-Onditions are covered by section 1. p. below-, The indemnification provided for in this section 1. j. shall be independent of the presence or absence of any insurance coverage. k. INSURANCE. The City, at no expense to NASA, sball carry and maintain the following insurance during the entire period of this License: (1) Insurance, providing coverage (in the amount of two million dollars ($2,000,000) per occurrence and in the aggregate) against claims for property damage, and personal injury, including without limitation, bodily injury or death, occurring upon, in or about the Premises, including any buildings thereon and adjoining sidewalks, streets, and passageways, which shall include coverage against liability for bodily injury and property damage arising out of the acts or omissions by or on behalf of any person or organization using the Premises in connection with the City's activities, including use involving any owned, non -owned, leased or hired automotive equipment ("General Liability Insurance'). NASA acknowledges that the City -shall: (i) be'scif insured for the first one million dollars ($1,000,000) of General Liability Insurance; and (H) maintain excess municipal liability insurance in the amount ofone million dollars ($1,000,000) through a pooled system of insurance provided by the Independent Cities Risk Management Authority ("ICRMA"),,in kll satisfaction of its General L ' iability Insurance obligations under this License. Subject to the terms of section 1.41.(5), the City shall maintain General Liability Insurance throughout the term of this License. The City's self insurance coverage shall be evidenced by the issuance of a Certificate of Insurance to NASA in the form attached hereto as Exhibit B, concurrently with the execution of this License. I (2) If and to the extent required bylaw, the insurance required to be carried and maintained by the City shall include workers' compensation and employer's liability or similar insurance in form and amounts required bylaw. (3) All policies of insurance which this License requires the City to carry and maintain shall be effeoted under valid and enforceable polices issued by insurers of recognized responsibility. All insurance policies or certificates issued by the respective insurers as provided for above shall be for the mutual benefit of the United States and the City, and shall name the United States, National Aeronautics and Space Administration, as either a named, insured or as an additional insured, as appropriate for the particular policy. Each policy shall provide that any losses shall be payable notwithstanding any acts or failure to act or negligence of NASA or the City or any other person; provide that no cancellation, reduction in amount, or material !change in coverage thereof shall be effective until at least thirty (30) calendar days after receipt by NASA of written notice thereof-, provide that the insurer shall have no right of subrogation against -the United States; and be reasonably satisfactory to NASA in all other respects. Under no circumstances will the City be entitled to assign to any third party rights of action that the City may have against the United States. Nbtwiffistanding the foregoing, any cancellation of insurance coverage based on nonpayment of the premium shall be effective upon thirty (30) calendar days' written notice to NASA. The City understands and agrees that cancellation of any insurance coverage required to be carried and .maintained by the City shall constitute a failure to comply with a material term of this License, and VASA shall have the right.to terminate this License upon receipt of any 'such cancellation notice provided that NASA has first notified the City in writing of its intent to terminate this License on account of such failure, and the City fails to provide NASA evidence of insurance within fifteen (15) days orthe City's receipt of such notice. (4) The City shall apply and use any proceeds paid under any insurance policy or policies carried and rhaintaihed by the City pursuant to this. License first to satisfy any claims, damages, and costs assessed against the United States, or to restore, repair or replace any United States property dairidged or destroyed, or both, as the case may be. 0 (5) Noi*ithst2ndiog anything to the contrary in. this section I. k.. the City may satisfy its insurance qMigaiions under section 1. k..(I) and section 1. k. (2) by requiring its licensees, sublicepsees, and invitees to tarry such insurance coverage and requiring that they narne NASA an additional ins.ored cim policies evidencing such insurance, in which event t1w City shall be relieved of its obligations under section L k. (1) and section 1. k- (2) until such licensees, sublicensees, and invitees no longer carry such insurance coverage-, provided that NASA has given its prior Written approval to each such insurance policy carried, and provided that the City has assured NASA that no gap in the required insurance coverage will result frorn this alternative procedure, I. NON -ASSIGN ABILRY. The License shall be neither assignable nor transferable by the City. The City may enter into sublicenses under this License upon prior written approval by NASA for each such sublicense, Such approval shall not be unreasonably denied. "OMMUTA I Ki C-1 I ima, 4 MIX L-1 MOM if such transfer occurs prior to the expiraition of this License. n. ATTEMPTED VARIATIONS. There shall be no variation or departure from the terms of this License by the City without prior written consent of NASA. 9, - RENEWAL. Upon the rntitual conscnt of NASA and the City, this License may be renewed prior to its termination at the end of Ug bne (1) year term for an additional one (1) year period. rim, yrm� q. TKANSFER OF THE MEMISES "AS IS". The City agrees that die Premises arc transferred to the 'City under this License "As Is" for the authorized uses contained herein, without any representation, *wranty,,or guaranty of any kind as to any. matter related to the condition or state of repair of the Premises, Including but not ficnitdd to any represcntalion, warranty, or guaranty that the Premises are in a condition or fit to be used for thc�purpqses authorized by this License. The City acknowledges that it has 'ihsptcted, is aware of, and 4cce pts the condition and state of repair of the Premises, and furtlie'r acknqwlcdgf,s that NASA has not nidde any representation, warranty, or guaranty concerning the condition or'state of rcp.ir 1f the TreflkiSeS. 11, SPECIAL CONDITIONS— a. The only authorized uses of the Premises as of the effective, date of this License are for film and video production, other purposes related to Film and video production, and site preparation for development (including environmental testing). NASA may authorize additional uses upon the request of the City, provided that such uses are not incompatible with ownership of the Premises by NASA. Such authorization of additional uses must be, in writing. b. The City and NASA recognize the importance of the environmental remediation and monitoring Being undertaken by NASA pursuant to its responsibilities under ehvironmental laws and regulations, and the necessity of maintaining undisturbed the areas of such environmental rrmediation and monitoring. The City w . ill take all necessary measures to secure these areas, listed in Exhibit C to this License, and to ,restrict access to these areas to City and NASA employees; and contractors with a need to inspect or work in these areas. The City will also ensure that all activities undertaken pursuant to the above authorized use or uses are compatible with the proper operation and maintenanor, of the environmental remediation and monitoring being undertaken by NASA. c. The City is authorized to conduct environmental testing upon the Premises for purposes of site, characterization in preparation for development subject to the following conditions. Prior to the commencement of any environmental testing on the Premises, the City shall provide a work plan for NASA approval at least ten (10) working days prior to the proposed commencement of testing, The work plan must outline the kind of testing Ding proposed, the locatiQn and the duration of the proposed tatting, and the methads to be used in such testing. The work plan must also include an opportun4 to 'take split samples for analysis by NASA's environmental contractor. The City must provide NASA with a copy of any reports produced as a result of any tests taken on the site. The work plan should be submitted to the Environmental Office, NASA Johnson Space Center, 2101 NASA Road 1, Mail Code .IA13-1, Houston, Texas 77058. NASA will use it best efforts to either approve or deny approval to the plan within ten (10) working days of receipt of the work plan by the Environmental Office, Environmental testing shall not commence before the approval of NASA is obtained. If approval is denied, NASA will give its reasons for such denial, and will use its best efforts to work with the City to help formulate an acceptable work plan for environmental testing. d. Any proposal by the City to destroy, displace, or damage United States property under this License which may result in the generation of hazardous w ' aste pursuant to the Resource Conservation and Recovery Act'( CRA), as amended, 42 U.S.C. 6901 gk_M., sliall include a work plan for NASA approval containing a description, of the proposed process for packaging and handling the hazardous waste, and transferring the hazardous waste off site, including record-keeping procedures and the identities and Environmental Protection Ageny [D numbers of all entities involved in tile ge"etation, transportation, and -disposal of the hazardous waste. The work plan should be submitted to the Environmental Offwc,'NASA Johnson Space Center, 2 101 NASA Road 1, Mail Code JAI 3 1, Houston, Texas 77058. 'NASA will use it best efforts to either approve or deny approval to the plan within twenty (20) working days of receipt of the working plan by thi Environmental Office, No United States property containing hazardous waste shall be destroyed, displaced or damaged before the approval of NASA is obtained. If approval is denied, NASA will give its reasons fo ' r such denial, and will use its best efforts to -work with the, City to help formulate an acceptable work plan for hazardous waste disposal. d. The City shall forward any funds received -from the sale of United States property destroy6d, displaced, or damaged under this License, including but not limited to sales for recycling or materials recovery purposes, net of reasonably allocated costs, to the following address: JSC Collection Agent, NASA Johnson Space Center, 2101 NASA Road 1, Mail Code. LZ, Houston, Texas 77058. f. The City and NASA acknowledge the existence of numerous structures on the Premises which have been identified as having historical significance, and that a Memorandum of Agreement (MOA), dated 61 (k.1c7^l I IJU tIM X_ .jjAVl ulU O7 AkV A AJOVVM J s L ww.,,.+. •+ -V—.a •:v�— %1— historical n tore of these stroctures. The City will like all hccmar undertaken ursru tit to the above authorized use or uses are COMPOI a IN WI SS VAMREOF, NASA and the City have executed this license of the date last set forth below. FOR NASA: Date: _ .(%v 24 A001 _ Roy S. Estess Acting Director Lyndon B. Johnson Space Center FOR THE CITY; Date: RobertC.'W"mingham Mayor City of Downey w m� A APPROVED AS TO FO t iw Special Legal Counsel EXHIBIT "A7 EXHIBIT APSOAAKAS ; vitt l • 3 ® `Those WdOns of I ots 2 orad 3 and the northwest qua to of the southwest q uartar 5 of Iona! Section 10, Township 3 South, Range 12 West, in the Rancho Sant$ 6 OcrUUdes, In the'City of Downey. County of Los Angeles, State of C41romia as 7 per tunp mcordcd in Dook 1, Page 50"«® of lvX.iSccllenweu Records, teeords of said 4 County. describrA its a wh®lc as follows; 9 sm 1Q Be im lin St a 6 point on the northerly lane a�I�t 2 !n said northwest quttrrer of •` ` ' ° 11 fractional Section 10, said Lina 0140 Wain the northerly lint of Stewart and Gray: ` 12 Roa480 rect wide, dlscactt thestan South 89 d4p= 52 minutes 14 seconds West 13 Sl feet fMC4 the notE11eaSt comet of said Lac 2; thence ah a line between said 14 point of beBx wing azkd the soutitwesc Gorncr of tho southease quarter of the 15 northeast quarter of the southwcsc quarter 4f said fja oval Secdon 10, Sour 0 1s de 1.3 Minutes 15 seconds West 1722.21 fat, thence South 99•degmcs $1 11 minucas 04 seconds Wcat-118,12 fret, thence South 0 dggre= 08 4nuces 56 is -seconds East 70.39 fett-, thence South 89 degrees 46 wlnutes 04 acconds West 19 1039,00 fect; thence South 0 de08 winutrs 56 scaon& Put 25,70 fact; 20 thence Sothic 89 dcgre=51 minutes 04. fonds West 357-50 feet to the 21 notthw .' y 11nc of said Dmcdanal Saticrn 10, said lick being parallel with arid. 22 discattt20'00 foct-spucheasierly, me-a.sumd at right ahglas, from the centarlinc of 23 LakewoQd Boulevard, So feet wide, as shown on County Surveyors $ Steens Map 24 No. `L147; c4 fila in the office of the CouneyEngine of stud County; theme : 'r 25 along said northwe4tcdy lluc of fractional $ecdan 10, Notch 31 de 41 26 Ininut= 38 Zdcands Fast 1583,10 feet to In anL PJe thence along same North Pfln • rn 27 31 dcgt= 29 minutes 35 s000ads East $58.11 fit to the notsherly lino of solei .24 ° t o slang, sdd nort&arly line. North 89 degdos 52 minutes 14 seconds 29 4W 597.82 feet to the Lxtimt of begntiurtg. I tsot due t Sheat 1 of 2 0 6 6 BEING A PORTION OF SECTION 10, TOWNSHIP 4 SOUTH, RANGE 12 WEST, RANCHO SANTA GERTRUDES- IN THE CITY OF oovvtity� c6UNI* 60 LOS ANGELES, StAte OF CALIFORNIA PER THE MAP THEREOF RECORDED IN BOOK 32. PAGE 18 OF MISCELLANEOUS RECORDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID LOS ANGELES COUNTY. DESCRIBED AS FOLLOWS: COMMENCING AT THE MONUMENT IN THE CENTERLINE INTERSECTIO� OF LAKEW00o 13OULEVARD AND STEWART AND GRAY ROAD, AS SAID MONUMENT IS SHOWN ON CALIFORNIA DEPARTMENT OF TRANSPORTATION'DISTRICT 7 SURVEY FIELD NOTES, FIELD BOOK ALA019C, PAGE THENCE SOUTH 9"06'10" EAST A DISTANCE OF 544.13 FEET TO THE TRUE POINT OF BEGINNINO; THENCE SOUTH 0"03'04" EAST A DISTANCE OF 152.65 FEET; THENCE NORTH 8905546 EAST A. DISTANCE OF 278J2 FEET; THENCE NORTH 0"08'38"WEST A DISTANCE OF 204.40 FEET,' THENCE NORTH 88"52'21"WEST A DI$TANCE OF 143,88 FEET, THENCE SOUTH 0*05'46" WEST A DISTANCE OF 19.43 FEET,, THENCE NORTH 89*41'014 WEST -A DISTANCE OF 76.82 FEET - THENCE sOuTH 0*09'10- EAST A DISTANCE OF 36.71 FEET. THENCE NORTH 89914'03" WEST A DISTANCE Or 52.74 FEET TO THE TRUE POINT OF AEGINNING. GORDON D. EDWARDS PLS 6678 fEXPIRES 6-30-2004 PSOMAS 2 F.atccpt the northwate:dy 20 fat of that portion lyin9 aautheriy of the mutherly 9 Una of the land describcd in the 4ced to L M Men, as =moo 14 Book 7.0, Page 4 357 of of Wd Cowty, Includcd in s , 4 M Lzpl Dmdl)don as described i4 dcheaged on the mp&Ayjng Ittry OF 7 • NASA EXMIT and it made w pan heteaf for mf a 10 ThIs lcgd dcscripdon is not int =' to be ugd in the Conveyance of land in 1! violation ofthe S vWon Map Act of the stum of CaUQr3iL _, « _1' 13 14 IT t0®p 'P� Robat C. Olson, PU $490 16_ Psomw and Anoclatas n p -IS bv+ 21 24 M + x N.. 24 .M a +w + s Sheet $ of l Vt " 4 � 05 r CITY OF 00' PAI came" or rNASAAP 1 ,i 1 I i; i PSOMAS IW 4 That pardon of the southwest qua= of f rutioaai Section 10. Towrs t ip 3 South, lunge, S 12 Was; in the RAncha Soots Ga . in the City of Downey, County of tos Angcics, 6 Srstt of California es per trap rec pr44-A In Hoak 1, Pagc 502, of Miscellaneous Rcaoi*, 7 records of said County, described as fallowr, 9 9 Beginning at point on the northtdy line of Lot 2 In mid northw st qu&4wof fracdoaaf 10 Section 10, said litre also being the northerly line of said Stewart and y head, 80 feet 11 wide. distant thereon South 89 depecs 52 rninutas 14 seconds West 646.51 fcct fivtn 12 the narrhcsst corner of said I,.ct 2. tlttatee on a One bctwcen seed point of begituting mnd 43 the southwest Coma of the southeast quarter of tlea northeast qud= of the southwest 1 14 quartee of said fractional Section Ia. South o dzgrees 13 wnUw /6 wands west 15 1722.21 feet to tht true point of bcgituuag'. thence South 89 degrees 51 suinutes 04 1s sxood9 West 3ISM feet; thence South 0 degrees 08 rainum 56 seconds W. t 7039 • Y 17 fectl thance South 89 deprAs 46 m1nutes 04 xceands W=t 1039.00 feet; thence Sooth 0 II deg= 08 v4nutes $6 seconds Ent 25,70 feet, thcoca South 29 ftrees 51 minutes 04 19 seconds Wast 33196 feet to the southtastrtiy line dLakcwood Doulevesd. 90 feat i 20 wide, as drown an Couacy Surveyors B Series MV No, 1147, an file, in the office of the j 21 CountyXaginoet• of said County; then= along said southebstetiy Luc of _Lakewood '. 22 Boulevard South 31 degrees 41 W ' 38 'nds West 505.70 trot to the eastexiyUna 23 of Cleric Avenue, 70 fcct wide, as shown on said County $urvcyon B $cr es Map No. 24 1147• thence along said easterly tint of Cluck Avenue South 0 de 03 rt mutes 38 ?S °`=onds W*%t 46$.36 feet to `line Which is parallcl with and $93.40 feet vcrtht fly, 26 measured it right angles, from the northcziy lin* of P p bio. 2077. in said c=ity. a 27 as pts map fdod is B oalt 273, Pages 73 through 75, inclusive of Pircel Maps, recaids of 29 said County, thamce dung said p, of lien North 89 depvft 51 minutes 30 seconds 29 1962,26 feat to -the a caly prolongation of the easterly Vne of Wd Parcel iup No. 7,. t Sheat I of s m. � •'. y... ...er . ... :. ,: s., e , .i'A `: .. ,e. Y�l•..a"•'�.'cii:+i I 241n'. thence along said noahedy pmlonpdon South 0 dctrtm 00 axinuics 20 s=tkds s Eml QTAI feat W a linel)USHLI will® and 844,00 foal nordiedy. mc&uamd acri t 3 angia to the muthcriy Una of ftactional Sidon 10; tb&tm Aloag Wd par4cl lint Nonh 4 ` 89 dt $1 i i,= 90 scccuds Ew 901.56 tea to the e4stwy Eno of dm weswly S half of the southeast quartex of tine southwest q of aid Section 10; 6 thence Notch 0 de 02 minutes 18 w4ads West 477.41 feet to the oouthwegt(MrACK 7 of the gotttheast q ® of th® aunh. t q of ttye southwest qtudcr of •d 9 finctional Section 10i theacg Noah 0 dogrea 13 mixiums 16 smopds Em M82 feet to 9 the aw point of beginning. 1a 11 nds Ugal Dest6ption, as descdbed is da-Hautcd ac tht womponying "CITY OF 13 AO - NASA EXkMIT MAP" and Is mado a part h f for mfmncep sm. 13 14 M 14Md desctiption is not intcadcd to be uW in the conveyance of land In violation 15 of the Subdivision Wp Act of tha suis of Ca.1.1formiz. 16 17; 1t a 19 ✓F' ° zfl Roben C --son. PLS 5490 Psomms and Aamiwal- a � 42 w a. 73° 1 • 24 2S• fis t t a k i 29 w ® a • a aW a r e e • • • • tt Sh 2 vE2 w R ®\ a~ a s • ® • y. + 99 p + ° '%*W*ITY OF DOWNEY NASA EXHIBIT MAP PARCEL 2 Lm -A YL c]ERTIF ICATE OF INSURANCE OR srLF INSURANCE In the event of cancellation of the self - insurance pros Mms or policies designated t below, it is the intent of the City of Downey to mail 30 days' prior notice thereof to: JSC Realty officer NASA Johnson Space Center 2101 NASA, Road 1, Mail Code JA16 Houston, Texas 77058 The City of Downey certifies that the, following self - insurance programs or insurance policies are in force: TypE OF COVERAGE COMPANY & POLICY LIMITS OF LIABILITY ITY POLICY N 0. PERIOD BODILy ga. rPFOP DAMAGE .L, L COMPREHENSIVE, GENERAL SELF-INSURED INDEVINITE $1,000,000 COMBINED SINGLE LIMITS LIABILITY Itte). AUTO LIABILITY iVG RS NO VERA OMPEN5ATION SELF -W" D _1NDEFINITE_ $325 COGE THIS GERTIFICATE IS NOT VALID UNLESS SIGNED BY AN AUTHORIZED REPRESENTATIVE OF THE CITY OF DOWNEY. IGII DATE .1fiN#ANts (ORCTOPIR SIC MANAGER CITY OF'1 Vor infonwCi6n. cegifrding 11w above self-insurance covejagc pleasc contact the Finance Dcpart-W at (110) "4-7264 jL,NF[NANCEvmjcHICOM14S CERTIFICATE 016 EXHIBIT 44C" CO SPkC AND WAWA AT (,,, #11 4f WKAT IT & Wit(CE AV( #CCEPWA -3 C OF WJI"Ff %MR l4 9-6k --" "k *Rt PER Rota On nLc "m Tic CWT cos"TEER it 11a033J&m 444 5 Amt, mo wkgv. is 25do At 4L vgmoo QL' *'010AAr No CRAY WAPTW 4 tv of molEy Win. go. 0-73, Ow m m of# wKs ON ALE WON 04 DOWNEY osy efoxem ti. INS PER CALK105 A ft t v GRAY 900 14t 15 W r. AN:0 Wq VFXC RJ�144ER RCF 18713, NO off flotm t'otlmo �s "mr ON Nfil I; WE M OF LAXV400 gtrR, ft -t Jamul 14 6= 244 W100*41412 MR0 ywi{ 0 Afto. Ane- Fry BkK 277 j�owftqii: I " VNIA c 491mum)- 0 4mo CM j(wC No *MKP R" $0713. no mulce-l'- xm cul4 AWILI: Pon VAT" 144444034 01 CL Uxt"Do RL P03 r,-qjmo Fit A20-001. PA" A VOW Noww# Gi;71T:7 aloe.J 274 1, 'Olt MVA,WIMO KRUM WAS 001WO ANO $#JRVM UNDER MY OffCWK wt Moom Of I" twi or too swo,6woiam of) my K mi. 11(c vxw*Agy o� Not A PRWAIV uNt usil"T offmr( om tm UP ROW". 7- WEII MD F40WG LOCAWAS *M FMOW Oy EAM RCH MD ARE MT A PART OF MS SURVEY. s OLM DR, SUITE 100 ORA alai SLW&K5 FeWX LIW WCATIM' vmv sow"T um" ackmawom MMTORW *m L=lIm SOL VWN WWCW (M WaL LWAMN APPROXIMAft LOCATION OF VC PM4 MUA— OINGS 24277 QUIL411 1, SOURCE Of WW-. SURVEYED W CAW EWMEONG ON VAY 15, 2001. SX OiL VAPOR AMON NEA LAYOUT TREAT- VAR $QL VAPOR WWFIOR COMMUNO ARCA M40 kmeLt LOWIMS ME APPROXIMATE LIRILW10 ISO NfA� (U;t 0122J4 'WN IF W,, 11fl.ae-Di "am I OMRONMENOL OTTAND " a 0 . Environmental DocumentsSection f EXHIBIT C f,ist of Environmental Documents I)eseribin P, Environmental Condition of MAASite 1. Proposal for Environmental Insufan" - City of Downey, California; IRG Environmental, , LIM undated but circa July 2002 2. Groundwater Remediation Scope of Work - Enhanced Reductive Dechlorinatioil - da NASA Industrial Plant, Downey, California, AGM, unted but circa July 2002 3. Groundwater Monitoring Report First Quarter 2002 NASA industrial Plant 12214 Lakewood Boulevard, Downey, California 90241; Earth Tech; April 30,2002 - City of Downey - Downey Lan"ding Specific Plan; EIP Associates; February 2002 5. Additional Site Assessment Report - NASA Industrial Plant 12214 Lakewood Boulevard, Downey, Cali forriia Project Number 36484; Earth Tech; February 15, 2002 6. Work Plan for Phase 11 Environmental Site Assessment and Risk Assessment Former Parcel II Portion and Parcel IV of NASA/Boeing Industrial Facility 12214 Lakewood Boulevard Downey, California; SECOR International Incorporated; January 29, 2002 7. phase I. Environmental Site Assessment Report Former Parcel It Portion and Parcel IV of NASA/Boeing Industrial Facility 12214 Lakewood Boulevard Downey, California, SECOR Job Nmber 03720576.001; SECT R Intematiouat, 8. Draft Health Risk Assessment Former NASA industrial Facility, Downey, California, Clayton Group Services, Inc., October 2001 9. Midpoint Sampling Report Building 244 and Additional Assessment Building 287 NASA Industrial Plant 12214 Lakewood Boulevard Downey, California 90241- 7009; Earth Tech; August 3, 2001 10. Report of Phase [ Erivirorunernal Site Assessm ent Proposed Bellflower Replacement Hospital Near Northwest Comet Of Imperial [fighway and Bellflower Boulevard Downey, CalAmia (LAW Project 70131-1-0097.0002); LawGibb Group -'M. May 8,2-001 It. Radiation Survey of the Downey Facility (RS -00019); The -Boeing Corporation; March 1, 2001 . LAnvnq2t 13 14. 15. 16. M 21. 22. 23. LAn2753921 24e Site Assessment Report Building 244 NASA Industrial Plant 12214 Lakdwood Boulevard Downey, California 90241-7009; Earth Tech, Inc.; August 16, 1999 25., -90-Day SVE Pilot "Test.. Report - Ap ay 1999 Building 244 NASA Industrial Plant 12214 Lakewood Boulevard Downey, California; Earth Tech; June 14, 1999 26. 90 -Day S E Pilot Test Report Mach 1999 Build 244 NASA Industrial Plant 12214 LakewoodBoulevard, Downey, California; Earth Tech, April 26, 1999 27. Groundwater Well Installation Report - Parcels I and 11 NASA Industrial Plant 12214 Lakewood Boulevard, Downey, California 90241-7009; Earth Tech, February 3, 1999 28.• Underground Storage Tanks Removal Closure geporf Brailding 25 Area NASA Industrial Plant 12214 Lakewood Boulevard Downey, California; Earth Tech; July 30, 1995 29. LA-105De-watering Model Study Los Angeles`County, California CALTRANS Contract Number 43 Y046 EA -C3408, Professional Service Industries; April 3, 1998 30_ Soil Investigation Report Parcels 3, 4, 5, and 6 NASA Facility Downey, California. (File Number 097120.01); SCS Engineers SCS; Fcb� y 1998 31 Health and Safety Plan NASA Parcel !site Assessment 12214 Lakewood Boulevard Downey, California; Earth Tech, Inc.; October 1997 32. Initial Site Investigation. Report Parcels I and It NASA Industrial Plant 12214 Lakewood Boulevard Downey, California 9021-7009; Earth Tech, Inc.; April 14, 1997 33, Closure Report for Underground Diesel and Gas6liae Storage tanks at Rock well International Corporation 12214 Lakewood Boulevard; Downey, California; Earth Tech; October 24, 1996 34. Subsurface Soil Investigation Parcels 4, 5 and 6 NASA Industrial Plant Downey, California; Groundwater Resources Consultants, Inc.; August 21, 1996 -35. Environmental Baseline Survey of Parcel 5 NASA Industrial Plant Downey, California; Foster Wheeler Environinentat Corporation; July 1996 36 Closure Report for Underground Diesel Tanks at Rockwell International Corporation12214Lakewood Boulevard, Downey, California 902241-7009; Earth Tech; May 23, 1996 LAn27539.21 3 37. Groundwater Monitoring Report July 1996 Fomier Tank 015 Site Rockwell International Corporation Space Systems Division Downey, California; Groundwater Resources Consultants, Inc.; August 26, 1996. 38. Phase 11 Investigation Groundwater Conditions Tank 011 Area Rockwell International Corporation. Space Systems Division Downey, California; Groundwater Resources Consultants, Inc.; March 17, 1995 39. Envitonmental Site Assessment Helipad Area NASA Industrial Facility Downey California; Fugro McClelland, Inc., May 1993 40. Limited Subsurface Environmental Assessment Investigation Rockwell International 12214 Lakewood Boulevard, Downey, California; Active Leak Testing; April 1993 41. Tank Removal Report - Building 36, Tank 415: Active Leak Testing; Mirch 2, 1992 42, Tank Rerno.val. Report= Building 249, Tank 420: Active Leak Testing; January 28, 1992 43. Tank Closure Report R -o ' ckwell international Space Transportation Systems Division 12214 Lakewood Boulevard Downey Catifonia-,Active, Leak Testing, March 29, 1990 44. Report of Site Investigation Performed At Space Transportation Sypterris Division Rockwell International Corporation 122114 Lakewood Boulevard Downey, California 90241 Building 61 Tank Number 1; Active Leak Testing Incorporated; August 1988 45- Finat Report of Site investigation Performed For Rockwell international Corporation Downey FiiciliLy 12214 Lakewood Boulevard, Downey, California Phase III -Sumps; Active Leak Testing, Inc; May 1988 46. Interim Report of Site Investigation Per -formed for Rockwell International Corporation Downey Facility 12214 Lakewood Boulevard, Downey, California; Active Leak Testing, Inc; April 1, 1988 47. Interim Report of Site Investigation Performed for Rockwell International Corporation Downey Facility 12214 Lakewood Boulevard Downey, CA Phase 11; Active Leak Testing; January 1988 48. A Work Plan for Rockwell international Corporation Downey Facility (UST Investigations); Active Leak Testing, Inc.; August 1987 I.An21539.21 4 EXHIBIT "B" 49. Rodkwell International Downey Facility Environmental Resources Document (SOD 80-0511); Rockwell International, December 1980 SO-- Rockwell International Downey Complex, Downey, California- Asbestos Survey Report; Baker Consultants, Inc.; The Feport is undated, but laboratory results are dated July 21, 1986 51. Legal Description of Parcels I through 6 (each a separate document); PSOMAS Professional Land Surveyor; March 1997 through April 1998 52. Groundwater Monitoring Report Fourth Quarter 2001 Parcels I and 11 NASA Industrial Plant 12214 Lakewood Boulevard, Downey, Califortua; Earth Tech; January 11, 2,002 53. Groundwater Monitoring Report and Hydropuach Sampling Report Second Quarter 2000 Parcels'I and 11 NASA Industrial Plant 12214 Lakewood Boulevard, Downey, California 90241-7009; Earth Tech; August 29, 2000 54. Groundwater Well Gauging and Sampling Report First Quarter 2000 Parcels I and 11 NASA Industrial Plant 12214 Lakewood Boulevard Downey, California 90241 7009; 0241- 7009.- Earth Tech; May 3, 2000 55. Groundwater Monitoring and Hydropunch Sampling Report Fourth Quarter 1999 Parcels I and 11 NASA Industrial Plant 12244 Lakewood Boulevard Downey, California; Earth Tech; May 3, 2000 56, Groundwater Well Gauging and Sampling Report Third Quarter 1999 Parcels -1 and 11 NASA Industrial Plant 12214 Lakewood Boulevard Downey, California 90241-7009; Earth Tech; February 28, 2000 57. Groundwater Well Gauging and Sampling Report Second Quarter 1999 Parcels I and 11 NASA Industrial Plant 12214 Lakewood, Boulevard Downey, California 90241-7009; Earth Tech; July 31, 1999 58. Groundwater Well Gauging and Sarripling Report First Quarter 1999 Parcels I and 11 NASA Industrial Plant 12214 Lakewood Boulevard Downey, California 90241- 7009; Earth Tech; July 22, 1999 59, Replacement Groundwater Well Installation and Groundwater Sampling Report Parcels I and If NASA Industrial Plant 12214 Lakewood Boulevard Downey, California 90241-009, Earth Tech; June 24, 1999 60- Groundwater Monitoring Report Parcels I and 11 NASA Industrial Plant 12214 Lakewood Boulevard Downey, California 90241-7009; Earth Tech June 20, 1999 LAJ727539.21 5 61. Phase II ESA Report, Former Parcel 11 and Parcel IV of. NASA/Boeing Industrial Facility, 12214 Lakewood Boulevard, Downey, California; SECOR; November 25, 2002. 62. Risk Assessment of Construction/Operation of Hospital Complex Report, Proposed Downey Facility, California; SECOR; September 10, 2002. 63. Clayton Group Services (CCS), 2000. Review of Environmental Baseline Reports, NASA Downey Industrial Facility, Downey, California. April 13. 64. Clayton Group Services (CGS), 2001. Technical Memorandum, Results of the Surface Flux Chamber Testing at the NASA Site located in Downey, California. September. 65. Environmental Resolutions (ER), Inc., 2000. Work plan addendum listing production wells within a one -mile radius of 11445 Dolan Avenue, Downey, California. March 14. 66. 'Earth Tech (ET), Inc., t996, Closure Report for Underground Diesel Tanks at Rockwell International Corporation, 12214 Lakewood Boulevard, Downey, California. May 23. 67. Foster Wheeler Environmental Corporation, 1999. Environmental Baseline Survey, Parcel 11, NASA Downey, Industrial Facility, Downey, California. June. 68 National Aeronautics and Space Administration (NASA), 2000. Environmental Assessment, Disposal and Reuse of NASA Industrial Plant, Downey, California. May. 69. Phase I ESA, Spartan Lacquer -and Paint Corporation, 9255 East Imperial Highway, Downey, California; SECOR; March 1, 2002. 70. Phase I ESA, Former Building 305 of Rockwell Boeing Facility, 12254 Bellflower Boulevard, Downey, California; SECOR; September 13, 2001. 71. Expedited Phase It ESA, Fortner Boeing Building 305, 12254 Beliflower Boulevard, Downey, California; SECOR; November 7, 2001. 72.°Department of Toxic Substances Control, Memorandum Regarding: Risk assessment of Construction/Operatibn of Hospital Complex Report, Proposed Downey Facility, California, December 20, 2002. 73. Department of Toxic Substances Control, Memorandum Regarding: Phase 2 Environmental Site Assessment Final Report, Former Parcel 11 Portion and Parcel LAn27539.21 M Em IV of NASA/Boeing Industrial Facility, 12214 Lakewood, Boulevard, Downey, California, January 9, 2003. 74. Department of Toxic Substances Control, Memorandum Regarding: logi y rogeologic Review of preliminary Endangerment Assessment Equivalent for a portion of the fo er Parcel It and Parcel IV of the - NASA/Boeing Industrial Facility (Phase I and Phase II Reports) 12214 Lakewood Boulevard, Downey, California, January 13, 2003. 75. Workplan, for Additional Phase 11 Environmental Site Assessment, Parcel 11 Portion and Parcel IV of the Former NASA/Boeing Industrial Facility, 12 12` Lakewood, Boulevard, Downey, California, SECOR International, April 18 2003. 76. Groundwater Monitoring Report, Fourth Quarter 2002, NASA Industrial Plant, 12214 Lakewood Boulevard,; Downey, California, Earth Tech, Inc., March; 12, 2003. 77.Envitoranentat Baseline Survey of Parcel I, NASA Industrial Plant, Foster Wheeler Environmental Corp., January 2000. 78. 'Environmental Baseline Survey of.Parcel III, NASA Industrial Plant, Foster Wheeler Environmental Corporation, April 1996. 79 Envirorunental Baseline Survey of Parcel IV, NASA industrial Plant, Foster Wheeler Environmental Corporation, July 1996. 80. Envirorunental Baseline Survey of Parcel VI, NASA Industrial Plant, Foster Wheeler Environmental Corporation, July 1996. 81. Site Assessment Report, Earth Tech Inc., December 15, 1997. 2. Covenant Deferril Request€or the 96 -Acre Parael, l4ASA, January 30, 2002. 3_ Report of Site Investigation Perforated at Space Transportation Systems Division, Active Leak. Testing Inc., August 188b. 4 LA -105 Groundwater Investigation Constriction Dewatering Project, Los Angeles County, California, Volume 1, Professional Service Industries, February 23, 1998 [Excerpted Portions]. 85. Subsurface Soil and Groundwater Investigation Requirements —NASA, California Regional dater Quality Control Board, November 5, 1999.. 86. DTSC Correspondence regarding their non-involvement in a non -emergency release, DISC, March 5, 1998. LM27534.21 I 87. Non -Emergency Release Report, Boeing, February 6, 1998. 88. Correspondence Characterization of Oil from an UST, NASA Industrial Park, Downey, California, Global Geochemistry Corporation, February 9, 1998. -89. DTSC Correspondence, Non -emergency Razardous Substance Release Report- NASA Industrial Plant —Report #94-R3-19-022, DTSC, February 27, 1995. 90. Non -emergency Release Report, Rockwell International, December 23, 1994. 91.- Results of Soil and Groundwater Sampling in the Vicinity of Spartan Lacquer and Paint, Groundwater Resources Qonsultants, Inc., November 10, 1994. 92' Groundwater Monitoring Report, Fortner Tank 011 Site, Groundwater Resources Consultants, Inc., July 1996. 93. Transmittal Letter to County of Los Angeles, Tank Permit Corrections, Rockwell Aerospace, February 18, 1997: 94. 95. 96_ Em Trr 7WIM -1 ransnunal Lercer to k-; - w - P Rockwell Aerospace, October 28, 1996. Ppotatibriat Rqpdr( Third QuaMr�100 1, Soil Vapor Extraction System 8utwing �441 NASA Industrial Plant, Downeyi, CaMatia, EaiiltTeph, Inc., 1Febni* 5, 2002. NEED TO VERIFY DATE - Draft Letter to Mr. Douglas B. Gray to follow up on the meeting held on 09128/00 atthe NIP in Downey & on 09/18100 request for documents & Information, Slosky L. Company, Inc., July 10, 200 1. 98. Existing Data Gaps, Former NASA Industrial Site, Downey, California, Clayton Group Services, September 10, 2001. 99. Wori Plan for Subsurface Investigallon, Building 25 and Midpoint Wells, NASA Itidusttial Plant; 12214 Lakewood Boulevard, Downey, Califomia 90241-7009, Earth Tech, Inc., August 16, 1999. [00. Transmittal of Preliminary Results of the October 2000 Enviromnental Sampling NASA Industrial Plant, Slosky & Company, December 19, 2000. 101. Permit to Construct Soil Vapor Extraction and Treatment System, NASA Industrial Plant, Building 244., South Coast Air Quality Management District, May 19, 2000, LAn27539.21 8 102. Map/Drawing, General Arrangement — Water Conditioning and Wastewater Treatment Facilities, Rockwell International, Downey, CA, August 1993. 103. Map/Drawing, Plot Plan & Tank Schedule, Rockwell International, May 1995- 104. Map/Drawing, Building & property ownership, Consolidated Vultee Aircraft Corporation, November 1, 1944- 105. Results of Observations Near a Pipe Break and Contaminant Metals Analysis Performed at Space Transportation Systems Division Rockwell International Corporation, Building 61— Excavation Pit, Active Leak Testing Inc., August 1988& 106. Correspondence to the RWQCB Concerning Fortner Sumpg, Clarifiers, and Tanks at the NASA Industrial Plant, Earth Tech, Febmary 7, 2000. 107. Geophysical Investigation of Possible Underground Storage Tanks, Boeing North American, NASA Industrial Plant, Earth Tech, May 7, 1999. log. Correspondence from Regional Water Quality Control Board Regarding Soil and Groundwater Remediation, NASA Industrial Plant, April 11, 2002. -16. Tank and Sump Summary Table, Provided by Earth Tech (electronic file), March 26, 2002. I t0, 1 Correspondence from Regional Water Quality Controt Board Regarding Time Schedule for Additional Investigation and Remodiation, NASA Industrial Plant, September 26, 2001. Ill. Correspondence from Regional Water Quality Control Board Regarding Determination, of the SV-Atus of Remediation, NASA Industrial Plant, March 21, . 2001. 114. Correspondence from U.S. Environmental Protection Agency NASA industrial Plaftt, Downey, California, July 2, 2001. LM2753UI 9 115. Correspondence Regarding Review of Soil Data from Parcels IV, V, and VI and Release Reporting Requirements, NASA Industrial Plant, Foster Wheeler Environmental Corporation, September 13, 1996. '116. Memorandum Regarding Need for Additional Site Characterization and bocuentation,`Downey _NASA Industrial Plant, Leonard Slosky, Slosky Company, October 22, 2001 _ 117. Correspondence Regarding Current Outstanding Environmental Issues, Former " NASA Industrial Site; Downey, California, Ed Steward, Clayton Environmental Services, November 8, 2001. 118. Memorandum Regarding Soil Staining and Pond Along Old Vultee Runway, Leonard Slosky, Slosky & Company, October 17, 2001. 119. Correspondence Regarding Draft Environinental Assessment, May 200Q For Disposal and Reuse of NASA Industrial Plant in Downey, California, Department of Toxic Substances Control, August 24, 2000. .120. Groundwater Results for Hexavalent Chrorniurn, NASA Industrial Plant Parcels I and II, Earth Tech, January 14, 2002. 121. Documents in File Related to Permit for.3,000-gallon Underground Storage Tank for Herbicide Located Near Building 39,1956-1957. 122. Agency Contact Report, Boeing, March 15, 2000. 123. Groundwater Monitoring and Upgradient Hydropunch Sampling Report, Second Quarter 2002, NASA Industrial Plan, 12214 Lakewood Boulevard, Downey, California, Earth Tech, September 6, 2002. 124, Groundwater Monitoring Report-, Third Quarter 2002, NASA Industrial Plant, 12214 Lakewood Boulevard, Downey, California, Earth Tech, December 4, 2002. 125. Response to CGS Review of Geology and Seismology, Kaiser Bellflower Medical Center, 12214 Lakewood Boulevard, Downey, California; OS Permit Number L-020740-19; SECOR International Incorporated; April 15, 2003_ 126. Letter Transmitting Comments Regarding "Workplan for Additional Phase It Environmental Site 127.Assessent (Workplan), Parcels It & IV of the NAS oeing Facility, Downey, California," Department of Toxic Substances Control, May 23, 2003. 127. Additional Information and Sampling Rationale for Areas of Concern as identified in the DTSC Correspondence datedJanuary 13, 2003, former Parcel 11 LAn27539.21 to Portion and Parcel TV of the NASA industrial Plant; SECOR International, kc -i March 16, 2003, uart 1i. soil Vapor Extraction System Operational RFirst Qer'2002, Building eport, wney, Californ, 244 -­ NASA Industrial Plant, 12214 Lakewood Boulevard, Doia Earth Tech, May 13, 2002, 129. 'Downey Landing Specific Plan, Final Program Environmental Impact Report, State Clearinghouse Number 2001031096, EIP Associates, February 2002. 136, In -Situ Reactive Zone Interim Measure Source Reduction Remedial Action Plan, Fonner NASA Industrial Plant, Downey, California, ARCS G&M, Inc., May 20, 2003. 1. Groundwater Monitoring Well Installation Report, NASA industrial Plant, 12214 Lakewood Boulevard, Do wney, California, Earth Tech, May 15, 2003. 132. Well Construction Diagrams, P I -MW -8, p I_MW_9, P I -MW -10, and P1--11; Earth Tech, May 2003. 133'. Correspondence from 14ASA to RWQCB Requesting Extension of Deadlines in April It, 2002 RWQCB Letter, April 31), 2002. 134. Correspondence frodi RWQCB Regarding USAT Program –Request for Additional Information, April 21, 2003. .13 . 5. Correspondence from Los Angeles County Regarding Hazardous Materials Underground Storage Tank Closure Certification, March 19, 2003. 136. Correspondence from RWQCB Approving Groundwater Remedial Action Plan; July' l 5, 2003. 137. Correspondence frorn, Secor International, lnc, to IRG',transmitting comments on Draft Risk Managergent Plan—future Hospital and Medical Office Buildings Project Area; June 23, 2003.- 13 . 003.138. it Correspondence from Downey Landing to (RG transmitting co rents on Draft Risk Management Platz Dowricy Landing Retail Redevelopment Project Area; June 16, 2003. 139. Correspondence from Ervin, Cohen & Jessup to IRC transmitting comments On Draft Ri ' sk. Management P [an—Downey Landing Retail Redevelopment Project Area; June 24, 2003. LAn27539.21 140. Correspondence from IRG to Secor bite matioual responding to comments on Dmft Risk Management Plan—Future Hospital and Medical Office Buildings Project A-reaq July 18, 2003. 14 1. Correspondence, from IR G to Ulipse Development Group (Downey Landing) respondingto comments on Draft Risk Management Plari—Draft Risk ' Management Plan—Downey Landing Retail Redevelopment Project Area; July 13, 2003. 142. Risk Management/Soil Mariagement Plan—Downey Landing Retail Redevelopment Project -Area, Former NASA Industrial Plant; Downey, California; ARCADIS G&M, Inc., July 17, 2001 143. Risk Management/Soil Management Plan—Future- Hospital and Medical Office Buildings Project Area, Former NASA Industrial Plant, Downey, California;' ARCADIS G&M, Inc,, July 17, 2003. 144. SECOWs Responses to DT -SC Comments Regarding WP/HASP/SAP/QAPP Document Dated April 18, 2003. Correspondence dated June 13, 2003. LAn2753921 12 EXHIBIT Studio Property Site Map (Recital STUDIOPROPERTY % LOT COR` ` JrW MT AND Y ROAD WLY YNF--/ I"=400' ! / LOT IMSTA DiL tia 4®� SECT 1� 1 Oj VIE" '`WSMAL REALTY 2,115,305 S.F. & GROUP ®;LEASE PARCEL ¢o• 857,497 S.F. I l 0� i 435,671 S.F. l S.W.E. ., S. 14: N.E. 14 S.W. 14' SEC. 1 E®ON&ASSOCIATES, INC. San*)4"q du mQppfn9 ConsuR®nt® CALIFORNIA 5220 0 SMEr LICENSED IN: , . F#ht�71TIO ARIZONA CALIFORNIA MR --t117ti411 FAX NEVADA Acqui"on Parcel ' "ACQUISITION PARCEL N.E. C1R. I.CT 1N07 N cv, 1"=400° ® I' MMA , . S 88'413°11" W 1194.2' 1 CT 10 l 3 / _f "Sas" r 7 taC1VO€1�' N 911`00"0C" L-118107'V" 9 fi RO.t10" 21.5?` 1 }` L-541. 8' i RS.00" I84.7" 850.79 4 10'48'42"` S.E. , 00.01 N E 1,( ,4, E I_*197.Ot S.W 5N.E. C. I 1 %4t I r[ 1. E,n m,%$arDr4ft k foaming comuftqnu CAMAMA $220 0 SMIXT iJ IN: C i M 41710 ARIZONA flQa} 1489 CAUFORNIA 4000 141 PAX NEVADA LegalAcquisition Parcel DeSection EXHIBIT "A" F-YASINIM111431 :•r r i r - •-r r -r ■ • •,r a /•.r -t r • r r • t i 11 •- i r / i- t � . r • r r 1r ■ - - ■ r + • i - ► s, , r r • / • I • 11 II ' • • -� r • �& r r . �, • r •: r i r • • • t t '1 1. •' i i � EXHIBIT "B" "ACQUISITION PARCEL"STEWARL®7 i 1 W ® LOTE 4 —yJ sp A G cv 1"-400' " d A ELM a U 1 S 88'48'111' W_-- 1194.23' x 501 ft" UR1 CENTER—" SECT, 10 4° SVA -41 15� ,4 8,01,06" 00rO E L 12883 9,[icl' X21.82' L 84tgV l L-84.73-- N 0"C 00 E 11.E + -18'48'42#" -W. C R, R-60(7.110' S,E.1 4" I is 11 �.�1t7" N.E. IZ4. 0.114`` l EADSON St , 010. 'FitBurwYPnp �ISAtn vltanb CALIFORNIA 8220 D svw UOEWZD IN: }fi}r' X1710 ARIMMA CAUgip)1761 FAX NNN Ground Lease Parcel Site Map (Recital a. nF eel, Y: 1±1r%i 4 �UWA l a wig € G$ Rwa ti ":, -Oki Ox as AgLl- % 9 �?y y��yy a !!s�+5a#;Fl"+'}.,m ✓s 2 t9 rr* d :,��pS', r t•t1ST"€. 7 s en �,€} „yip #wase SG ="' ',,. Y `a-�+"'�•�, Z4, t At m r `g �€ A64 ' mo y m •� w` �."�''I' .; '• � t,8 ,� I �r3"x x#� -h w n,' :, ra a'� k'^s 2 + i *� a e � �h�k t m ��.{ .`N S s� :a g mY �;•� 4z. � A r * r ,. r ",� rk €x, a Sd IW?�jtj"�'� P m �" 3 8�,� €"" �*� M ;ae aa1� �������'x s .�� a"a�w.i m w '�°'• + � 5 "m �u�. a+ ..� a�"t "a�'et�d� c"€�g�7 ;''.'^�j F r s '�{S' '. x.* x m �k a• ,+ o- x "'M" k.. a a "WIN �v kmu'ti� �i;iFP7� d �,„ y ' $ v r k• S°'isp 5 �'f 1111 M-1 iii 4a t H(130WA,"C cx fir. •,m �. a ai6' h � n •y..n '•3reY•X� m1 �, SR� n Ground Lease ]Parcel Lega EXHIBIT " LEGAL DESCRIPTION INDUSTRIAL REALTy GR UP - GROUND LEASE Csli� • "e � i • if, �# • # a 1#Ila, J* • ALTABROMmulIN • • • r i • • r ; I7 EXHIBIT it B i® "INDUSTRIAL. REALr( GROUP - GROUND LEASE" UNE TA13LE STE"OT A"o T'91-5,RVOW UNE BEARING DISTANCE 81 LNT LINE Nr ZELM STA -DR. sw 52'2� E I*=4 000 T 613.20 0 L 4 _(Y CENTER SECT. 10 3: r n cn 0 R-2 L27M09 :12,00" L2 '09 217 418.00 Lm 23' 1 T_ W, y I I.V_ SX rtr-17 501-y El &E. 1 4. L 4, N.E. 1! Y', NIL %4, i W, 1�141 SEC. 0 kc. 10 ASOOCL"". INC. A L CAUFORNIA 5.220 D SIREEI UCENSM IN, 1� 01 CA, 17 0 MUM g --ltoo —WWOKKA 001 M4—Twi ft W-17811 FAX NVADA Form of of i'o 1 + (Recital City of Downey 11111 Brookshire Avenue P.O. Box 7016 Downey, CA 90241-7016 (Space above reserved for rdoes "so) (Filed pursuant to State of California Govermnent Code Section 66499.35) The division of land that set off the following described property, situated in the City of Downey, County of Los Angeles, Stat e of California, more particularly described in Exhibit "A" attached, complies with applicable provisions of the California Subdivision Map Act and the City of Downey Subdivision Ordinance. I The Certificate of Compliance issued herein only relates to issues of compliance or noncompliance with the Califomia Subdivision Map Act and local ordinances enacted pursuant thereto. The parcel described herein may be sold, leased, or financed without further compliance with the California Subdivision Map Act or any local ordinance enacted pursuant thereto. N11IUW'TML4=6 11W6 Nor, I M"WIL51 EI. FIM -11W. City of Downey Municipal Code. Such approvals to develop the above described parc6l must separately applied for and the City reserves all rights to grant, condition or withhold su approvals as authorized by Californ'la state law and the Downey Municipal Code. I Name and Address of Owner Property Address My R,191�..Il 111" i"R .e am 11 n III I =1 By_ - 114823 EXHIBIT "A7 Description of Property LEGAL DESCRIPTION (CONTINUED) DISTANCE OF • THE BEGINNING OF s '• r CURVE CONCAVE • - r • r • .ts . � a r t -s • r • ALL AS SHOWN ON 1 HERETO AND MADE A PART HEREOF, UNE TARE BEARING EXHIBIT "B" UNE I BEARING DISTANCE LI S 82 14 E LI 5 66'56*18* W 54.23" L,6f CoR L3 S 8691*04` W 173.53' MEW TAM 9�54W AO L4 S 69*23!25" W 119.27' L5 S 80'5618" w 110.66' LG N 07`01'00* w 14.00' L7 S 8258*59* W 63,90' LOT LIN —16 L8 N 90-00'00* W 55' OT 2 cv L9 N 5875'34" W LIO N 61 *25'22" E 245.31' 1 Lll N 9D—'00'00r E 561. 11 L12 N"90'00'00" w 321.62 L3 0 STA L1 Q V) Jr LS 448.75' 07'01'01" L2 rV F —R100001 Ca 'c� MN N 389'�l '04- E d, 2.54 'b I r \1113 I w N, N842.97' 8E E U2Z 9471 * &=7WOl' LI 398.0 R-62.00 _41840 vQ L-84.73' IL-.12MV ®.145.89' , I — — — 7.9 I I X CP,, . N 00'00'00' E 869-79SX. 1' =18'48'42" I �4 N.E. 1/,4. S �. L-197.00* SS CW�. 4 1 0 EEADSON ASSOCIATg$, INC. CALIFORNIA $220 0 SMEET UCENSED IN; CHINO, 04, 91110 ARIZONA f4-140 CAUFORNK oo"091 334—t7011 FOX NEV IA r ■ r Cut-out r r i(Section ■ .. l is i. : C : ` ■ •, . • . .. i • i i • i i' it` 1 • r ;• r' •�•1r 11 i i r • / • i i , i i i, 11 UNE TABLE EXHIBIT-„ " LINE BEARING DISTANCE "BUILDING I" tbEt 90R. Ll —S gF2FNF R L2 N E' 155.16- MVART WSftq L3 N 82'5859' E 83.90, AND YS4 2 APW S 07'01'00" E 14.00' L4 7 L5 N 80'567IEr E 110,86' LO N W—MY E 119.27` Ito, —0 R 8671'04 —!,E --17-3.55, LO' L8 N 89'50'58* E 51.71' L9 N 80-56-10- E 64,23- iD EW VISTArl DR. WON S 69'481 11" W 1194.22° 745,47' 44a:75- L3 tm9 ty L8 =07'GV01' R i CIO 00® L-12.25' CENTER RD, 111L1 SECT. 10 47 65' A.) &10111 - S, W. C M,—\ S.E. 1Y44 N.E.i /e4 SECS.W. . 114' '- 1EADDOM & AS40CIAT96. PM E it Su~jlN & Mappl"q Cartaultmts .UK-- CAUFDRNIA 5220 D STREET UCENSCO IN: g PWO r�k 21710 ARIZCINA rof681 CAIJFMNIA ,781 fAK NEVADA NASA Documents(SectionSection I hil EXTON Walleft 1. Quitclaim Deed dated April 19, 1999 and recorded in the Official Records as Document No. 99 0690588 2. Right of First Refusal Agreement dated April 19, 1999 and recorded in the Official Records as Document No. 99 0690586 Official Recor as ds 3- Assignment of Sale Proceeds dated April 19, 1999 atnd recorded in he Off Document No. 99 0690587 4. Easement Agreement dated April 197 1999 and recorded as Document No. 99 0690589 5. April 21, 190 in the principal amount of $20,145',000.00 executed by the City 0mo"jiM agborrc,wqr� in �aot of the (Jitited States, as lender 6. Pledgc� Escrow ard TrustAgreemoor dkedApril 21, 1999 between the City of Downey, the jfn�tcd St6ids; aqd� * US tank Association; 7. Agreement Concerning Payment of Sale Proceeds dated April 21, 1999 between the City of Downey and the United States 8. Proposed 2003 NASA Quitclaim Deed for Parcels I and 2 of the NASA Site 9. Transfer Agreemetdated 2003 by and between the City and the United States of America through GSA 10. Covenant Deferral Request dated December 20, 2001 (the "CDR!') 11. Environmental Services Agreement between the City and the United States of America through NASA, dated - 2003 12. Environmental Responsibility Assumption Agreement dated as of 2003 entered into between City of Downey and International Risk Assumption Downey, LLC ('IRAD") I 13. Remediation Agreement between FRAD and ARCADIS identified in Section 2.1.4.3 of the Assumption Agreement 14. Escrow Agent Agreement between the City, IRAD and AIG Environmental 15, Declaration of Covenants, Conditions and Environmental Restrictions dated 2003 and recorded on 2003 in the Official Records of the County of Los Angeles as Document No. 16. Memorandum of Agreement Among NASA, the GSA, the California State Historic Preservation Officer and the City of Downey Regarding Disposal of a Portion of the NASA Industrial Plant (the "MOA") 17. Revocable License Agreement between NASA and the City of Downey dated November 26, 2001 (the "License ghee et") Form of o , of 6 7 RECORDING REQUESTED AND '%UEN RECORDED MAIL TO: Oliver, Vose, Sandifer, Murphy & Lee 281 South Figueroa Street Second Floor Los Angeles, CA 90012 Attn: Charles S. Vose, Esq. Gov't gq_dd § 221821 (space above for Recorder's Use) This Memorandum of Ground Lease ("Memorandum") is made as of 2003, between the City of Downey, ("City"), a municipal corporation of the State of California, and Industrial Realty Group, LLC ("Developer"), a Nevada limited liability company. 1. PURPOSE OF THIS MEMORANDUM. This Memorandum is entered into for the purpose of providing record notice of that certain "Ground Lease" ("Lease") dated as of 2003 entered into by City and Developer. The Lease provides for the leasing by City to Developer of that certain real property described on the attached LWfibit 2. NO MODIFICATION OF LEASE TERMS. This Memorandum 'is prepared solely for the purpose of record and in no way modifies any of the express and particular provisions of the Lease referred to hereinabove. [Signatures on following pages] CITY OF DOWNEY, a municipal corporation of the State of California By: Mayor ATTEST: City Clerk ArpRovED AS TO LEG OLIVER, VOS , SANDIFER, MURPHY & LEE City Attorney DEVELOPER- GROUP, LLC a Nevada limited liability company By: Title; APPROVED AS TO LEGAL FORM FAINSBERT, MASE & SNYDER Developer's Counsel EXRIBIT k Description of Real Property E7tEADSON k A330CIATE3, INC. Surveying & Mapping Consultants w _STEWART AND GRAY ROAD 5220 0 STREET' CHINO, CA. 91710 909• 364-1681 909 '364-1781 FAX' "STA DR. Gfj 1 iucfi = 400 feet rr ,.�,' . �,' ,�'" ,r �, r'�*`�*�'�r > `", • � ��` ✓'• ' "•"�,r+- µms. r J.^',_'' { rtr✓ • ,"'`r y„r e' '' Q E SA in „ ARCEL H le ELECTRIC r r'' SUBSTATION TATION ° r r ,r ✓ ,' rr` PARCH. f 9 i n Ia . J EAD30M A3 0CI T INC —r � .crscs 7 WA T AND GRAY ROAD 5220 0 STREET CHINO. CA 91710 (909) 364-1681 909 364-1781 FAX ELM VISTA OR 1 inch = 400 feetWASHBURN " x� F1iT111TE D (41 PARCELCD iELEc SUBSTAnoN PARCE I IMPERIAL HtCHWAY i x i i J I"IBIT Excluded Personal I i(Section StorageAll property which currently occupies Building 14 on the NASA site at Whi occupies the rooms and space within Building 1 that is referred to as the Shuttle Mock-up • •' • ► currently occupies and all of •r directly connectto that spaceand which are locked as p.rt of shuttle• r storage propertyTfie form of of . and space development models,the site such as r'. documents,blueprints, graphics photographs,drawings,• r memorabilia • the shuttle mock-up.. They City retains the first right of ownership • other portable property found subsequent to the land transfer in other parts of the site which can be considered • be artifacts of • r a. history of •ddisplays, documents, photographs, etc.). U Form of Occupant c . Exhibit "N" THIS RELEASE ("Release") is made as of this — day of 'T 20 by ('New Occupant") in favor of the City of Downey, a political'subdivision of the State of California A. Pursuant to that certain [Lease/Sublease/License/EEisementI dated as of 20 by and betwee0wher) and New Occupant ' New Occupant has agreed to acquire from Owner certain rights to use and occupy those certain premises commonly known as and more particularly described on Exhibit 'T attached hereto (the "Promises"). B. The Premises are located within that certain real property owned by Owner which is located within that certain land containing approximately one hundred sixty �160) acres looOted in the City of Downey, California 'and generally bounde by Lakewood Boulevard,' Stewart and Gray Road, Bellflower Boulevard, Imperial Highway and Clark Avenue as more particularly described in attached hereto (the "NASA C. The NASA Site, including the Premises, is subject to those certain Covenants, Conditions & Environmental Restrictions recorded as Document No. 03- in the Official Records, County of Los Angeles, California (" C—C&Rs").— b. Pursuant to the CC Rs, Owner is required to cause New Occupant to execute and :deliver this Release to the City. NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, New Occupant hereby agrees as follows: 1. Release. New Occupant hereby irrevocably and unconditionally waives, releases and forever discharges the City, its City Council members, and its and their employees, affiliated entities, successors -in -interest and any other person or entity associated with the City (collectively, the "City Parties") from any and all present and future claims, demands, suits, legal LAM902.1 and administrative proceedings and from all liability and obligations for damages, losses, costs, liabilities, fees and expenses, including, without limitation, attorneys' fees and court costs present and future, in any manner arising out of or in any way related to any physical, title or other defect or condition in, of, or related to the Premises or the NASA Site, any Hazardous Materials in, on, under or about the Premises or the NASA Site (or the improvements contained thereon), or the existence of any Hazardous Materials contamination in any state in, on, under, about or adjacent to the Premises or the NASA Site (or any of the improvements contained thereon) as of the "Effective Date," as such term is defined in the CC&Rs. New Occupant acknowledges that it is aware of and familiar with the provisions of Section 1542 of the California Civil Code which provides as follows: "A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS FAVOR AT 7HE TIME OF'EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM MUST HAVE MATERIALLY AFFECTED HIS SETTLEMENT WITH THE DEBTOR." As such relates to this Section 1, New Occupant hereby waives and relinquishes all rights and benefits which it may have under Section 1542 of the California Civil Code. Cowoggn. New Occupant further acknowledges and agrees to cooperate with City in the execution of any additional documents needed to effectuate the provisions of this Release. 3. Authori . Each person executing this Release on behalf of New Occupant herpby represents and warrants to and for the benefit of the City the!t each signatory to this Release is duly authorized to execute and deliver this Release to the City on behalf of New Occupant. IN WITNESS WHEREOF, New Occupant has caused this Release to be executed by its duly authorized officer as of the date first written above. a By: Name: Its: By: Name: Its: k LAAMISM Exhibit "I" The Premises LA1809862.1 Exhibit 1 211 The NASA Site LA1909862.1 EXffMIT i Other Infrastructure'eq All ! V .ka I z is feral ewood Boulevard 1 Reclaimed water line from south of Rose. Street to north property line 2. Will connect all landscape irrigation to reclaim water line Steve qM Way, 3. Pay pro rata share to construct Steve Hom Way Other 4• Provide a utility casement along the northerly property line that meets the City's requirements for maintenance of any required utilities 5. Drainage improvements shall comply with all applicable regulations, either City, state and federal. • r r Restrictions o Sale of Cut-out*parci SECOND AMENDMENT TO AGREEMENTS PROPERTYIN , •,. r an a 01 • This Second Amendment to Real Property Purchase and Sale Agreement ("Second Amendment") '... • .s of e • between THE CITY OF DOWNEY, a municipal corporatnlon��bf("City") and PCCP IRG DOWNEY, LLC, a Delaware limited liability company,to an undivided 90% interest, • IRG DOWNEY, LLC, a California limited liability company, as to an undivided 10% interest (collectively "Devel••_ A. City and Industrial Realty Groups LLC, a Nevada limited liability company entered into a Real Property Purchase and Sale Agreement, dated on or about November 30, 2003 ("Original Purchase Agreement"), pursuant to which City sold to IG certain real property described therein (the 'Property") that was formerly a part of the NASA industrial Plant in Downey, California. A true and correct copy of the Original Purchase Agreement is attached hereto as Exhibit "A" and incorporated herein by reference. B. City and Developer entered into an Amendment to Agreements in Real Property Purchase and Sale Agreement, dated on or about March 15, 2012 ("First Amendment"). A true and correct copy of the First Amendment is attached hereto as Exhibit "" and incorporated herein by reference. C. City and Developer also entered into the TIERRA LUNA- DEVELOPENT AGREEMENT by and between CITY OF DOWNEY and PCCP IG DOWNEY, LLC, a Delaware limited liability company, as town undivided 90%® interest, and IG DOWNEY, LLC, a California limited liability company, as to an undivided 10% interest, dated on or about March 15, 2012 ("Development Agreement"). A true and correct copy of the Development Agreement is attached hereto as Exhibit "C" and incorporated herein by reference. D. The Original Purchase Agreement, the First Amendment, and the Development Agreement contain various rights and obligations that survived the closing of the sale contemplated by the Original Purchase Agreement. E. All capitalized terms used herein but not herein defined shall have the meanings ascribed to such terms in the Original Purchase Agreement, the First Amendment and the Development Agreement. F. City and Developer now desire to enter intothisSecond Amendment to amend some of the rightsandobligations specified in the Original PurchaseAgreementand the First_Amendment, all subject and pursuant to the terms and conditions set forth in this Second Amendment. The Original Purchase Agreement,as amended by the First Amendment and this Second Amendment, is hereinafter referred to as the "Agreement." _s;ga.t7 a1-:.. 1...... `1 OHN NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, City and Developer hereby agree to amend, modify and/or supplement the Original Purchase Agreement and the First Amendment, as of the Second Amendment - D. (defined • a 1. • i Amende effective date of - a Amendment shall be the date upon which City and Developer have each executed and delivered an executed counterpart of this Second Amendment to the other party (the "Second Amendment Effective Section0 of the Original is previously amended by Amendment,be - a and replaced as follows: Profit Participation by r•: of portion of a • Lot defined in Recital E herein, by Developer and/or its successor(s) in interest, under the original Purchase Agreement, the First Amendment • t, this Second Amendment, be entitled to receive, as a profit participation inter ("City's Profit Participation"), an amount equal to five percent (5%) of all "Net Sale • • over base price of $100,000,000.00 E. For purposes of a, Proceeds" shall be defined as the r of the • .' received r Developer, aggregate brokerage commissions, legal fees, and title and closing costs related thereto. The Base Price shall be increased by ten percent (10%) every five years after the Effective Date of the First r `r'. • 111111 1# •:• i. • +, a • C. r i or the Net Sale Proceeds received by Developer and/or its successor(s) in interes The City's Minimum Profit Participation shall be due in full to the City at the earli of the following: (1) the sale by Developer and/or its successor(s) in interest 75% of the developable square footage on the Studio Lot; or (2) Developer and/ its successor(s) in interest's receipt of Net Sale Proceeds from the Studio Lot $200,000,000.00 ("Minimum Profit Participation • Date" Notwithstanding any thing to the contraryDeveloper and/or successor(s)interest be required to pay $2,000,000.00 of - Minimum Profit Participation on or before December 31, 2018. If the 1 • Lot is sold in moreone piece and/or at m•. one time, t en a• -s calculating the City's Profit Participation, - of portion totalof the Property shall be included in the calculation of Net Sales Proceeds, and the -t Sales Proceeds• - to aggregate all portions of a • Property have been the subject of a sale at least once. Developer and/or its SUccessor(s) in interest shall pay the City's Profit Participation to City concurrent with each sale of portion of 1 • •'.:ii-..rty that yieli e# -2- 4 made prior to the Minimurn Profit Participation Pay -in -Full Date shall be credite toward the City's Minimum Profit Participation. Once Developer and/or its successor(s) in interest sells the Studio Lot or a portion thereof and pays the City's Minimum Profit Participation in full, any subsequent its successor(s) in interest , If the result is negative, no additional City's Profit Participation shall be due and payable at that time. If the result is positive, additional City's Profit Participation shall be due and payable at that time. I -Or clarity' one portion ofthe Studio Lot has already been sold tbr development ot a Wal-Mart ("Wal-Mart Parcel"). The Net Sale Proceeds from the sale of the Wal- Mart Parcel were [$9,685,299.00]. To date, there have been no other sales of Studio Property. 3. This Second Amendment may be executed in any number of counterparts, each of which shall be deemed an original, but all of which, taken together, shall constitute one and the same instrument. 4. -"aniney Law: This Second Amendment is made under and shall b construed pursuant to the laws of the State of California. I rar.43MMEEMSEN M- 91 A. [ 7 -3- of- -4., L'-- —". u's 'et;6lic"t , liei'l'ffwwt D4 AVIVIATNESS WTLT1Tk]R'k3(`--)r$, thc 'Pal Lies ficluto uavv C;Accuied '11 0 tu u it date and year first above written. KY, • California PTCP IRG DOWNEY, LLC, Aaliciar CMG "IG" Interim City Clerk UTVJ���� By: PCCP LB IRG Downey, LLC, its Managing Member By: Name: Its: IRG DOWNEY, LLC, a California limited liability companU B-14-17 -4- 02HUNUM" Ila CALIFORNIA. •. A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California ); County of - ) On t before me, Art Gs IL Date Here Insert Name and Title of the Office personally appeared- Name(s) of Signer(s) who proved to me on the basis of satisfactory evidence to be the person whose nameo islewe subscribed to the within instrument and acknowledged to me that he/sheAh4ry executed the same in hislhaWth6r authorized capacity(' , and that by his/ r signature( on the instrument the person or the entity upon behalf of which the person acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws •� of the State of California that the foregoing paragraph MARIA A. DUARTE is true and correct. Notary Public - California Los Angeles County WITNESS my hand and official seal. Commission 9 2202960 My Comm. Expires Jun 26, 2021 Signature .Signature of otary Public Place Notary Seal Above OPTIONAL Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: Document Date: ....,mm — Signer(s) Other Than Named Above: Capacity(les) Claimed by Signer(s) Signer's Name: ❑ Corporate Officer — Title(s):_ . ❑ Partner ❑ Limited ❑ Gner, ❑Individual EJI Attorney act 7-1 Trustee . Guar ` n or Conservator ❑ Other: Signer Is Re ng» r of Pages: Signer's Name: NN. ❑ Corporate Officer — Title(s): ❑ Partner — ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing: m al Notary Association • www.Nationa[Notary.org • 1'800 -US NOTARY (1-800-876-6827) Item #5907 IN WITNESS WHEREOF, the parties r o have executed this Second Amendment the date and year first above written. Maria Alicia Duarte, CMC Interim City Clerk Yvette M. Abich Garcia City Attorney CITY OF DOWNEY, By: Name: Its. PCCP IRG DOWNEY, LLC, .#f »warnlimited liability company By: PCCP LB IRG Downey, LLC, its M �By- — Na Authomed M IRG DOWNEY, LLC, /\\\ 4�ni a limited liability company mmgumzff-22- f3y_____ Name: Its: