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HomeMy WebLinkAbout1969-12-22 57-X ORDERG -2 57-X Introduced by COunciler Haldacci, Dec. 22, 1969 CITY OF BANGOR (TITLE) (DrAfer,....."proving Proppaed Confraat for sale of Land in. the Stillwater Park Urban Renewal Project - Parcel NcS. 124, 125 & 134 By the Csey CemaeR of has City of Banter: ORDERED, TWT WEEMS, the Urban Renewal Authority of the City of Bangor proposes to enter into a contract for the sale of parcel numbered 124, 125 & 134 in the Stillwater Park Urban Renewal Project with The Narrows Corporation and WHEREAS, the said Pne Narrows Corporation has offered to pay the a= of Fifty-five Hundred and 00/100 Dollars ($5, coo .00) for said parcel said price being the mint mum approved price for said parcel as established by the Urban :Renewal Authority and approved by the Department of Housing and Urban Development; and WHEREAS under the provisions of Chapter 168 Of the Private and Special Laws of Maine, 1951, as attended, City Council approval of all contracts for the sale of land within the project area is required; and WHEREAS, the Urban Renewal Authority has filed a copy of the proposed contract with TheNarrowsCorp. in the office Of the City Cleft: NOW, THEREFORE, BE IT MMD: THAT the proposed contract on file with the City Clerk be and is hereby approved. ORDER IN CITY COUNCIL Tide, Dec. 22, 1969 ne ordinance requiring the filing of an order was suspended Ey the follow- AAIAPf,JAM tp..A.. RFc;DQFM.-. ear.;e,1. ing yea end n0 vote: Councilors voting Ballou yes: , Cox, 1, rrica,, inky, Bralley. Nq., 1za ... dna lip COM1enr Cox, as thenar Mewed Ne211ey. ••✓•••••••• •••••••••••••••••• This order was then received and PASSED. Introduced and filed by Cl Y CLER% ce _qI r STMWATEB PA&C PROJECT PROTECT NO. ME. R-4 PART I of CONTRACT FOR e E OF LAND FOR PRIVATE NEDMLOE R (OFFER AND ACCEPTANCE) Ey and Between _Urban Renewal Authority of the City of BaMor and The Nary Corporation PART I CONTENTS 1. Sale: Purchase Price 2. Conveyance of Property 3. Good Faith Deposit 4. Time for Coaaencement am Completion of Improvements 5. Time for Certain Other Actions 6. Period of Duration of Covenant on Use ]. Notices and Demands 8. Special Provisions 9. Mad ificationt of Part II 10. Counterparts Page 3 5 5 5 5 CONTRACT FOR SALE OF LAND POR PRIVATE ReDEUBLopwggy AGREEKENT, consisting of this Part I and Part II (Pow H-62098, 1-64) annexed hereto and made a part hereof (which Part I and Part II are together hereinafter called "Agreement"), made on or as of the 20th day of November , 190, by and between the Urban Renewal Authority of the City of Bangor, a public body corporate (which, together with any suc cesaor public body or officer hereafter designated by or pursuant to law, 1s hereinafter called "Agency"), established pursuant to Chapter 168 of the Private and Special Laws of the State of Maine, 1957, as emended (hereinafter called 'Urban Renewal Act") and having its office at City Nall in the City of Bangor (hereinafter called "City"), State of Wine, and the Narrow Corporation corporation organized and existing under the laws of the State of Wim* hereinafter called "Redeveloper") and having an office for the transaction of business at 55 Broad" 1n the City of Nugoi , County of Gandedc" and State of WSna WITNESSETH: WHEREAS, in furtherance of the objectives of the Urban Renewal Act, the Agency has undertaken a program for the clearance and reconstruction or re- habilitation of slum and blighted areas in the City, and in this connection is engaged in carrying out am urban renewal project known as the "Stillwater Park Urban Renewal Project" (hereinafter called "Project") in an area (here- inafter called "Project Area") Located in the City; and WHEREAS, the Agency has offered to sell and the Redeveloper is willing to purchase certain real property located in the Project Area and more Partic- ularly, described in Schedule A Annexed hereto and made a part hereof (which property as so described is hereinafter called 'Tropercy") and to redevelop the Property for and in accordance with the v specified in the Declaration Of Restrictions recorded in Penobscot Registry of Bends, Book 2113, Page 835 and In accordance with the agreement, and WIERUSS, the Agency believes that the redevelopment of the Property put - ant to the Agreement, and the fulfillment generally of the Agreement, are in the vital and beat interests of the City and the health, safety, morale, and -1- welfare of its residents, and in accord with the public purposes and provisions of the applicable Federal, State, and local laws and requirements under which the Project has been undertaken and is being assisted: NOW, THEREFORE, in consideration of the premises and the mutual oblige - tines of the parties hereto, each of them does hereby covenant and agree with the other as follows. SRC. 1. SALE: PURCHASE PRICE. Subject to all the terms, covenants, and conditions of the Agre®ent, the Agency will sell the Property to the Redeveloper for, and the Redeveloper will purchase the Property from the Agency and pay thereforthe amount of Fifty-five. Hundred Dollars (*5,50w ), hereinafter called 'Purchase price", to be Paid in cash or by certified check simultaneously with the delivery of the deed conveying the Property to the Redeveloper. SEC. 2. CONFETAME OF PROPRRTT. (a) Form of Deed. The Agency shall convey to the Redeveloper title to the Property by Warranty Deed (hereinafter called "Deed"). Such conveyance and title shall, in addition to the condition subsequent provided for in Section 704 hereof, and to all other conditions, covervants, and restrictions set forth orreferred to elsewhere in the Agreement, be subject to the terms, 1f any, set forth on said Schedule A, attached hereto. (b) Time and Place for Delivery of Deed. The Agency shall deliver the Ned and possession of tax Property to the Redeveloper on Nmesbar 1 19_6% o otab earlier date as the parties hereto say mutually agree in writing. Conveyance shall be made at the principal office of the Agency and the Hedeve Loper shall accept such conveyance and pay to the Agency at such time and place the Purchase Price. (c) Apportlareent of Current Taxes. The portion of the current tame, if any, on the Property r r which a a lien on the date of deliveryDe of the ed to the Redeveloper allocable to buildings and other faprovementy which have been demolished or removed fron the Property by the Agency shall be borne by the Agency, and the portion of such current taxes aLlaeeble to the land shall be apportioned between the Agency and the Redeveloper as of the date of the delivery of the Deed. If the amount of the current texas on the Property is notascertainable on such date, the apportionment between the Agency and the Redeveloper shall be on the basis of the amount of the most recently aer- tainable taxes on the Property, but such apportionment shall be subject to final adjustment within thirty (30) days after the date the actual amount of such current taxes is ascertained. (d) Recordation of peed. The Redeveloper shall promptly fila the Deed for recordation in the Penobscot Registry of Deeds at Danger, Mine. The Redeveloper shall pay all coats (iaeludin the cost of the Federal documentary stamp tax on the Deed, for Which stamps in the proper'. eet shall be affixed to the Deed by the Redeveloper) for an recording the Deed. -2- (e) Further Obli¢aC lona of the Agency and the Redeveloper. See Schedule A. SBC. 3. CLOD FAITH DEPOSIT. (a) Amount. The Redeveloper has, prior to or simultaneously with the execution of the Agreement by the Agency, delivered to the Agency a good faith deposit of cash or a rifled check satisfactory to the Agency in the amount o£ Tmp HUMrad and gizty Dollars (5_ 260.00 ), hereinafter called "Deposit', as security for the performance of the obligations of the Redeveloper to be performed prior to the return of the Deposit to the Redeveloper, or its retention by the Agency as liquidated damages, or Its application ancunt of the Purchase Price, as the ca may be, 1n accordance with the Agreement. The Deposit, if cash or certified check, shall be deposited in an account of the Agency In a bank or trust company selected by it. (b) Interest. The Agency shall be under no obligation to pay or m interest on the Deposit, but if interest is Payable thereon such interest when received by the Agency shall be promptly paid to the Emanuel oyer. (c) Application to Purchase Price. Upon written request Of the Redeveloper, tM1e amount of she Deposit, made in cash sr by certified check, shall be applied on account of the Purchase Price at the time payment of the Purchase Price is made. (d) Retention by Agency. Upon termination of sit Agreement as provided in Section 703 hereof, the swPOsit, if cash, or bonds or similar obligations of the United States, including all interest payable thereon after such termination, or, if a surety hood, the proceeds thereof, shell be retained by the Agency as provided in Section 703 hereof. (e) Saturn to Redeveloper, Upon termination of the Agreement as provided in Section 702 hereof, the Deposit shall be returned to the Redevetoper by the Agency as provided In Section 702 hereof. If the Agreement shell not have been terminated as in Section 702 or 703 hereof provided, the Agency shall return the Deposic to the Redeveloper upon receipt by the Agency of the fallowing: (i) A copy of the commitment or commitments Obtained by the Redeveloper for the mortgage loan or loans to assist in financing the construction of the Improvements (as defined in Section 301 hereof), certified by the Redeveloper to be a true and correct copy or copies thereof; M "'Idence satisfactory to the Agency that the interim mortgage loan to assist in financing the construction Of the Improvements Me been Initially closed) (fit) A copy of the scatter between the Redevatoper and the general contractor for the construction of the improvements, Certified by the Redevelopet to be a true aha correct copy thereof; and (iv) A copy of she contract bond provided by the general contractor in connection with the aforesaid construction contract which -3- bend shall be in a penal aum equal to not less than ten percent (10%) of the contract price under said construction contract, certified by the Redeveloper to be a true and correct copy thereof. SEC. 4.. I= FOR CQR@NCPIENT AND C01PLETION OF INPROVPMENTS. The construction of the Improvements referred to in Section 301 hereof shall be commenced in any event within six (6) months after the date of the Deed, and, kept as otherwise provided in the Agreement, shall be completed within eighteen (18) months after such Deed date. SEC. 5. TINE FOR CERTAIN OTHER ACTIONS. (a) Time for Submission of Construction plane. The time within which the Redeveloper shall submit its Consuvucrion Plans" (as defined In Section 301 hereof) to the Agency in any event, pursuant to Section 30L hereof, shall be no later than one hundred twenty (120) days from the date of this Agreement. (b) Time for Submission of Corrected Canetructinn Plans. Except as provided 1n Paragraph (c) of this Section 5, the time within which the Redeveloper ahall submit any new or corrected Construction Plans as provided for in Section 301 hereof shall be not later than sixty (60) days after the date the Redeveloper receives written notice from the Agency of the Agency's rejection of the Construction Plane referred to in the latest such notice. (c) Maximum Time for Approved Conetruction Plane. In any event, the time within which the Redeveloper shall submit Construction Plans which conform to the requirements of Section 301 hereof and are approved by the Agency shall be not later than ninety (90) days after the date . the Redeveloper receives written notice free the Agency of the Agency's first rejection of the original Construction plans submitted to it by the Redeveloper. (d) Time for Agency Action on Chance in Const¢Ctton Plana. The time within which the Agency may reject any change in the Construction Plans, as provided in Section 302 hereof, shall be forty-five (45) days after the date of the Agency's receipt of notice of such change. (e) Iia¢ fox Submission. of. Evidence of Eeuity Capital and Nor ranee Pte. The time within which the Redeveloper shall submit to the agency, in any event, evidence as to equity capital and any Creal meant necessary for mortgage financing, as provided in Section 303 hereof, shall be net later than TEitfv ( 00 ) days after the date of written notice to the Redeveloper of approval of the Construction Plane by the Agency Or, if the Construction Plans shall be deemed to have been approved as provided in Section 301 hereof, after the expiration of thirty (30) days following the date of receipt by the Agency of the Construction Plane so Seemed approved. SEC. 6. PERIOD OF DURATION DP COVENANT ON ONE. The covenant pertaining to the uses of the Property, set forth in Section 401 hereof, small remain in effect from the date of the Deed until January 22, -4- 2022, the period specified or referred to in the peclaration of Restrictions or until such date thereafter to which it may be extended by proper amendment of the Declaration of Restrictions, on which date, as the case may be, such covenant shall terminate. SBC. ). NOTICES AN DEMANDS. A notice, dement, orother covmunlcation under the Agreement by either party to the other shall be sufficiently given or delivered if it is dispatched by registered or certified mail, postage prepaid, return receipt requested, Or delivered personally, and (1) in the case of the Redeveloper, is addressed to or delivered personally to the Redeveloper at n RroedvaY�Ranpoi, Naha Atbnt 01 n, ism GB00Y1ae , and (ii) in the case of the Agency. is addressed to or delivered personally to the Agency at City Rall, Burger, Maine or at such other address with respect to either pach party as that party may, tram time to time, designate in writing and forward to the other as provided in this Section. SEC. E. SPECIAL P ISIOVS Nene SBC. 9. MODIFICATION OF PART iI. The following amendments and modification are hereby made in the terms, covenants, and condition forming Part II hereof . NOM SM. 10. COUNTERPARTS. The Agreement is executed in three (3) counterparts, each of which shall constitute on and the same instrument. IN WITNESS WHEREOF, the Agency has caused the Agreseent to be duly executed in its name and behalf by its Exacutlw Director and its seal to be hereunto duly affixed end actuated by its _ Secretary , and the -5- COUNTERPARTS The Agreement is executed in three (3) counterparts, each of which shelf con stftute one and the same instrument. IN WITNESS WIREREOF, the Agency has cussed the Agreement to be Culy executed in its name and behalf by its and its seal to be hereunto duly affixed and attested by its and the Redeveloper has caused the Agreement to be duly executed in its name and behalf by its President and its corporate seal to be hereunto duly ef£ixed by its Secretary, on or as of the day first above written. Attest: (Secretary) A[[esq (Secretary) P yet... Approved: In City Council Pere: Council Order No.: URRAN RENEWAL AUTHORITY OF THE CITY OF BANGOR ($edevelope r) Ey The Narrows Corooratlon (Paealdent) Vow /Y� SCHEDULE A Description of Property All that certain parcel or parcels of land located in the City of Bangor, Canary of Penobscot, State of Maine, more particularly described as follows: Lots nl®beied IZ. 134 and 124as shown on Plan of Lend entitled "Stillwater Park Project, Bangor. Penobscot County. Maine, Urban Renes- luthority of the City of Bangor. project Me. R-4" consisting of nine (9) pages and recorded in Penobscot Registry of Deeds in Plan Book 24. pages 1 to 9. Inclusive. Subject to the following covenants, restrictions and Assonance: (if none, ea state) Subject to telephone easements at rear of property. i_. further obligations of the Agency and the Redeveloper: -7- DEPARTMENT OF HOUSING AND URBAN DEVE101W[ENT URBAN RENEWAL PROGRAM TIBBS AND COMITIONS Part II of CONTRACT FOR SALE OF LAND FOR PRIVATE REDEVELORINNT By and Between URFAN RENRNAL AUTHORITY OF THE CITY OF BANGOR and The Narrows Corporation ARTICLE I. PREPARATION OF PROPERTY FOR REDEVELOPMENT SEC. 101. Work Tone Perfor bA¢encv. The Agency shall, prior to convoy- ance of the Property and without expense to the Redeveloper, prepare the Property for redevelopment by the Redeveloper in accordance with the Urban Renewal Plan and the Agreement. Such preparation of the Property shall consist of the following (unless the Agency and the Redeveloper hereafter agree in writing that any of such prepare - time shall not be done, or that It shall be done subsequent to the conveyance of the Property): (a) RemolitIon and Removal. The demolition and removal to the surface eleva- Cion of the adjoining ground of all existing buildings, other structures and improvements on the Property, including the removal of all bricks, lumber, pipes, equipment and other material, and all debris and rubbish r - Sulting from such demolition, except such material and debris as may be used for any filling required by this Section. (b) Redaction of Walls. The reduction of all walla, including foundation wells, to the surface elevation of the adjoining ground. (_) Breaking Uv Basement Floors. The breaking up of all basement or cellar floors sufficiently to permit proper drainage. (d) Removal of Paving. The removal by the Agency or by the appropriate public body of all paving (including catch basins, curbs, gutters, drives, and sidewalks) within or on the Property. (e) Removal of Pub tic Utility Lines. Ther oval n abandonment by the Agency or by the appropriate body or public utility company of all public utility lines, installations, facilities, and related equipment within or on the Property. (f) Filling and Grading. Such filling, grading, and leveling of the land (but not including topsoil or landscaping) as wi1L permit proper drainage and place the Property in a safe, clean, sanitary and nonhazardous condition. (g) Pilling Materials. The filling of all basements or other excavations ex- posed posed a result of the work performed by the Agency pursuant Co this Section, with noncombustible materials to a level twelve (12) inches below the surface of the adjoining ground on all sides thereof. EEC. 102. Expenses, or Inc and Salva All expenses,including current taxes, if any, relating tobuildingsother structures demcliahed or to be demolished in arcordance with Section 101 herec of shall tbeborne by, and all income or salvage re calved a result of the demolition of such buildings or structures shall belong Co the Agenc. SEC. 103. Agancy'a Reseonaini1Ltles for Certain Other Actions. The Agency, without expense to the Redeveloper oassessment o claim against the Property and prior impletion of the Improvements(orat such earlier time or times are the Re- developer and the A.ency may agree Lwriting), shall, in accordance with the Urban Renewal Plan, provide it secure or cause to be provided or secured, the following: (a) Vacation of Streets. Etc. The closing and vacation of all existing streets, alleys and other public rights-of-way within orabutting on the Property, except are may be otherwise provided within the Agreement. -1- (b) Replotting, Resubdivision or Rezoning. The replatting, resubdivision o ,,zoning of the Property, if necessary for the conveyance thereof to the Redeveloper. (c) Improvements of Misting Streets. The improvement (by the Agency or by the appropriate public body) by resurfacing, rebuilding or new construction in accordance with the technical specifications, standards and practices of the City, of the existing streets, alleys, o other public rights-of- way (including catch basins, curbs and gutters, or and curb cuts, and drives between the property line of the Property and the public rights-of- way) abutting on the Property. (d) Construction and Dedication of New Streets. The construction (by the Agency or by the appropriate public body), in accordance with the technical specifications, standards and practices of the City, am the dedication of all new streets, alleys and ocher public tights -of -way (including catch basins, curbs and gutters) abutting on the Property. (e) Installation of Sidewalks. The installation (by the Agency or by the appropriate public body), in accordance with the technical specifications, standards and practices of the City, of public sidewalks along the front- age of the public streets abutting on the Property or within the rights- of-way lines of such public streets, together with sodding or eeding of any such public area between such sidewalks or the curb lines of such public streets. (f) Street Lighting. Signs and Poe Hydrants. The installation (by the Agency or by the appropriate public body), in accordance with the technical specifications, standards and practices by the City, of street lighting, signs and fixe hydrants In ection with all new streets abutting On the Property and to be cont:ructad pursuant to this Section. (g) Installation of Public Utilities. The installation or relocation (by the Agency or by the appropriate public body or public utility company) of such drains, water and gas distribution lines, electric, telephone and telegraph lines, and all other public utility lines, installations and facilities a necessary to be installed o relocated o r in connec- tion are Property b r n o onnec' Urba with Me Property by r¢ of the redevelopment contemplated ed, by the Urban Renewal Plan and re dovsible for, of bre Property: Provided, athat co the Agency shell no[ ce responsible for, enorct baa[ any n the boundaries of Me cost of,the inatallProperty b twe n ImY utility c ctfana within oM1e heProprt of the Property betweenthe thImproveste tante a er and an the Property by the Redeveloper and nes water, y the Ci sew and storm drain mains or comer public utility linea owned by the City Derby any public utility tympany within or without auwM1 d by any public o electric, gap, y within¢, o wirer public utility linea turned by any public all secure company within Or require such boundaries, and the Redeveloper shall a any termite required for any such installation without coat or expense to the agency. SEC. 104. Waiver of Claims and Joining In Petition by Redeveloper. The Rede- veloper hereby waives (as the purchaser of the Property ender the Agreement and as the owner after the conveyance e of the Property provided for n the Agre went) any and all claims to awards of damages, if any, to compensate for the closing, vacation, o change of grade of any street, alley or other public right-of-way within or fronting or abutting on, or adjacent to, the Property which, pursuant to subdivision (a) of -2- Section 103 hereof, is to be closed at rated, or the grade of which is to be changed, and shell upon the request of the Agency subscribe to, and join with, the Agency in any petition or proceeding requited for such vacation, dedication, change of grade, and, to the extent necessary, rezoning, and execute any waiver or other document in respect thereof. ARTICLE II. RIGHTS OF ACCESS M PROPERTY SEC. 201. Right of Entry for Utilities Service. The Agency reserves for it- self, the City, and any public utility company, as mav be appropriate, the unquali- fied right to enter upon the Property at all reasonabe times for the purpose of reconstructing, maintaining, repairing or servicing the public utilities Located within the Property boundary lines and provided for in the easements described or referred to in Paragraph (a), Section 2 of Part I hereof. SEC. 202. Redeveloper Not To Construct Over Utility Easements. Me Redevelo- per shall not construct any building or Other structure Or improvement On within the boundary lines of any casement for public utilities described or referred to in Paragraph (a), Section 2 of Part I hereof, unless such construction is Crovl- ded for in such easement or has been approved by the City. If approval for such construction is requested by the Redeveloper, the Agency shall use its best efforts to assure that such approval shall not be withheld unreasonably. SEC. 203. Access to Property. Prier to the conveyance of the Property by the Agency to the Redeveloper, the Agency Shall permit x natives of the Redevelo- per to have access to any part of the Property as toewhich the A ency holds title, at all reasonable times for the purpose of ob raining Jars and making varis testa concerning the Property necessary to carry out the Agreement. After the c0 rt veyance of the Property by the Agency to the Redeveloper, the Redeveloper shall permit the representatives of the Agency, the City ani the United States of America e to the Property a all reasonable times which any of chem deems sorsa c aawed necessary for the purposes tal of the Agreemeincluding, the not limited Agreement, or the Conall ractwork for Lean and Capital Grant, including, but not limited to, inspection of all work being shalt be in notion with the construction gbe of Me Iorm by anyS. Nocompensation shall be provided f shall any charge be made in any form by any parry for the access provided foxrin this Section. ARTICLE III. CONSTRUCTION PLANS; CONSTRUCTION OF IMPROVEMENTS: CERTIFICATE OF COMPLETION SEC. 301. Plans for Construction of Improvements. (a) Within ( ) days after the aeration of this Agree- ment, the redeveloper shall submit to the lgeocy prelimna ary plan at a cl rale specified by the Agency and outline speficacione prepared by the Architect, Including a rendering, indicating surrounding buildings, all elevations and such perspectives as my be necessary to show the archi- tectural character of the improvements, for all of the Improvements to becnstructed by is n the Property in accordance with the Site Plan, the Plan, the Application, the Project and this Agreement. The Agency shall review and approve reject such preliminary plane and specifications and shell promptly notify the Redeveloper of its -3- (b) (a) approval o rejection i writing, Setting forth in detail any grounds for rejections If no grounds of rejection are delivered in our itiug to the Redeveloper within thirty (30) days after the submission of the prelimin- ary plana and outline specifications, Or any resubmission thereof as here - troller provided, such pleas and specifications shall be deemed approved. In the event of a rejection, the Redeveloper shall, within thirty (30) days after the date the Redeveloper receives the written notice of such rejection, resubmit the preliminary plans and outline specifications al- tered to meet the grounds of [ejection. Ther submi shall be sub- ject to the review and approval of the Agency to accordance with the pro - relate hereinabove provided for an original submission, until preliminary plans and outline specifications shall be approval by the Agency; provided, however, that the Redeveloper shall submit preliminary plans and outline specifications which meet the requirements of this subsection and the approval of the Agency within ( ) days after the execution of this Agreement. Within ( ) days after the preliminary plans and outline specifications are approved, or deemed approved, by the Agency, and in any ant within ( ) days after the execution of this Agree- mut, the Redeveloper Shall submit to the Agency final architectural plane and specifications prepared by the Architect and in conformity with the previously approved preliminary plans and outline specifications, the Site Plan, the Plan, the Application, the Project and this Agreement. Final architectural plans and specifications Submitted hereunder shall be reviewed for such conformity in accordance with the review and approval procedure set forth in subsection (a) hereof; provided, however, that the Redeveloper shall submit final architectural plana and specifications which meet the requirements of this subsection and the approval of the Agency within ( ) days after the execution of this Agreement. The Redeveloper shall not apply for a building permit for the construction uction r of the Improvements to be erected on the Property without the priorcer- tification -rification of the Authority that the work to be done or completed is in byordance"with the final architectural plans andspecifications approved the Agency in accordance with the provisions of this Agreement. No ark shall be done on the construction of the improvements to be erected rteconformn the Property unless such work conform i every respectsuch approved final architectural plans and specifications, except and only to the extent that modifications thereof have been requested by the Redeveloper in writing and have been approved in writing by the Agency, and except that such plans and specifications may be modified from time to time by the Redeveloper acting alone, provided the plans and specifications as thus modified are in substantial conformity with the final architectural plan and specifications a approved by the Agency. In the event the Redeveloe per shall fail to comply with the foregoing requirements, the Agency may, within a reasonable time after discovery thereof by the Agency, direct in citing thathe Redeveloper a modify o such portion o w o r being ¢recto e r part now of one Improvements erected ve being a acted on the Property e are not i nsformany with the approved final architectural plans and s specifications o any approved a Redecattona thereof, as to bring [hem into conformencertherewith. The Redeveloper shall promptly comply with -4- such a directive, and shall not proceed further with construction of the Improvements until such directive Is complied with. Any delays i - platioa of the Improvements .resulting from such unapproved modification at reconstruction shall not be a ground for the extension Of the time Limits of construction on the Property as provided for in Section 707 of Part II of this Agreement. (d) In submitting plana and specifications to the Agency for its approval. the Redeveloper shall consider and take into account the planning and design objectives set forth In the Plan, and the Agency shall pursue such objectives in its review of and action upon the plans and specifications so submitted. SEC. 303. Evidence of Equity Capital and Mortgage Financing. As promptly a possible after approval by the Agency of the Construction Plana, and, in any event, o later than the time specified therefor in Paragraph (e), Section 5 of Part 1 hereof, the Redeveloper shall submit to the Agency evidence satisfactory to the Agency that the Redeveloper has the equity capital and commitments for mortgage financing necessary for the construction of the Improvements. SEC. 304. Approvals of Construction Plans aM Evidence of Financing As Con- ditions Precedent to Conveyance. The submission of Construction Plans and their approval by the Agency as provided in Section 301 hereof, and the submission of evidence of equity capital and commitments for mortgage financing as provided in Sectione 303 hereof, conditions precedent to the obligation of the Agency to convey the Property tothe Redeveloper. SEC. 305. Commencement and Completion of Construction of Improvements. The Redeveloper agrees for itself, its s and assigns, and every ell interest to the Property, o any part thereof, and the Deed shall contain acovenants on the part of the Redeveloper for itself and such successors and assigns, that the Redeveloper and such s and assigns shalt promptly begin and diligently prosecute to completion a redevelopment of the Property through the construction of the Improvements thereon, and that such construction shall in any event be be- gun within the period specified in such Section 4 of Part I hereof and be completed within the period specified in such Section 4. It is intended and agreed, and the Deed shall so expressly provide, that such agreements and covenants shall be cove- nants ants r ing with the land and that they shall, in any event, and without regard to technical classification or designation, legal or otherwise, and except only as otherwise specifically provided in the Agreement itself, be, to the fullest extent mm permitted by law and equity, binding for the benefit of the community and the Agency and enforceable by the Agency against the Redeveloper and its successors and assigns to or of the Property or any part thereof or any interest therein.es SEC. 306. Progress Reports. Subeequent to conveyance of the Property, or any part thereof, to the Redeveloper, and until construction of the Improvements has been completed, the Redeveloper shall make reports, mai a uch detail and at such times as y reasonably M onably be requested by the Agency, as to eactual progress of the Re- developer with respect to such construction. SEC. 307. Certificate of Completion. (a) Promptly after completion of the Improvents in accordance with those provisions of the Agreement relating solely to the obligations of the Redeveloper -5- to c t the Improvements (including the dates for beginning and completion thereof),uthe Agency will furnish the Redeveloper with an appropriate instrument so certifying. Such certification by the Agency shall be (and it shall be so Pre- sided ro-sided in the Deed and in the certification itself) a conclus ive determination of satisfaction and termination Of the agreements and covenants in the Agreement and the Deed with respect to the obligations of the Rede elope; and its auand o assigns, to construct the Improvements and the dates for the beginning andscomple- tion thereof; Provided, that if there is upon the Property a mortgage insured o held o Owned by the Federal Housing Administration and the Federal Housing Atl in- Letxatioshall have determined that all buildings constituting a part of Che Im- provements and covered by such mortgage a n fact, substantially completed i accordancewith the Construction ?Long and are eady for occupancy, then, in such the Agency add the Redeveloper shall accept the determination of the Federal Housing Administration as to such completion of the construction of the Improvements incc oxdan with the Construction Flow, and, if the other agreementsand c e ants in the Agreement obligating the Redeveloper i respect of theconstruction completion of the Improvements have been fully satisfied, the Agency shall forth- with leave lea certification provided for in this Section. Such certification and such determination shall not constitute evidence of compliance with or satisfaction Of any obligation of the Redeveloper to any holder of a mortgage, or any insurer of a mortgage, securing money loaned to finance the Improvements, or any part thereof. (b) With respect to such individual parts or parcels of the Property which, if so provided in Part I hereof, the Redeveloper may convey or lease as the Improve- ments to be constructed thereon are completed, the Agency will also, upon proper completion of the Improvements relating to any such part or parcel, certify to the Redeveloper that such Improvements have been made in accordance with the provisions of the Agreement. Such certification shall m and provide, (1) that any party purchasing or leasing such individual part o[ parcel pursuant to the authorization herein contained shall not (because of such purchase or lease) incur any obligation with respect to the construction of the Improvements relating to such part or parcel r to any other part or parcel of the Property; and (2) that neither the Agency n0 any other party shall thereafter have of be entitled to exercise with respect to any such individual part or parcel so sold (o[ n she case of Lease, with respect to the leasehold 'interest) any rights or remedies orcontrols that it may otherwise have or be entitled to exercise with respect to the Property a Ault Of a de- fault i or breach of any provisions of the Agreement or the Deed by the Redevelo- per or any successor in interest o assign, unless (1) such default or branch be by the pxucheaez at s lessee, or any successor in interest to or tassign of such individ- ual par r parcel with respect to the covenants contained taed and referred to in Section 401 hereof, and (ii) the right, remedy or control relates to such default or breach. (c) Hach certification provided for in this Section 307 shall be in such form as will enable it to be recorded 1n the proper office for the recordation of deeds and other instruments pertaining t the Property, including theNed. If the Agency shall refuse or fail to provide any certification in accordance with the provisions Of this Section, the Agency shall, within thirty (30) days after written request by the Redeveloper, provide the Redeveloper with a written state- ment, indicating in adequate detail to what respects the Redeveloper has failed CC complete the Improvements in accordance with the provisions of the Agreement, Or is Otherwise in default, and what measures or acts it will be necessary, in the Winton of the Agency, for the Redeveloper to take or perform ciorder to obtain such certification. -6- ARTICLE IV. RESTRICTIONS UPON USE CF PROPERTY SEC. 401. Restrictions on Use The Redeveloper agrees for itself, and its and assigns, and every successor in interest Co the Property. o any part thereof, and the Deed shall contain s< ants On the part Of the Redeveloper for itself, and such successors and assigns,, covenants the Aadev¢Loper, and such succes- sors and assigns, shall ce (a) Devote the Property to and only to and in accordance with the uses specified in the Declaration of Restrictions; and (b) Not discriminate upon the basis of race, color, creed a national origin In the sale, Lease O ental orin the use or occupancy of the Property or any improvements erected or to be erected thereon, or any part thereof. SEC. W2. Covenants' Binding Upon Successors in Interest' Period of Counties. It is Intended end agreed, and the Need shall so expressly provide, that the agree- ments and covenants provided in Section 401 hereof shall be covenants rnning with the land and that they shall, in any event, and without regard to technical sliesf- fication or designation, Legal or otherwise, and except only as otherwise specific- ally provided In the Agreement, be binding, to the fullest extent permitted by law and equity, for the benefit and in favor of, and enforceable by, the Agency, its and assigns, the City and any successor in interest to the Property, o any part t other land r any part thereof, and the ow of o t other land (or any interest re triM1 land) in the ProjecDeclaration Area which i tions, CO the land a States the and restrictions the[Love of the provided in ion o£ Restrictions, and the Uvaere f), against (an she < Redeveloper, the c - pmveded In subdivision assigns (b) every Section sor in Inter st tot ehe Property, or any and assigns and a the a party in to the Property, o any successors a v successor in r par[ thereof perty O any part estthe therein, and any party en ed and ion o occupancy Of Me Property o any par[ thereof. I[ is feather intended end agreed that the agxa - mentaffe t f covenant provided me subdivision until (a) to Section if 401 hereof fe shall remain In effect for the period re time, o chCtL [he date, specified an o referred to in Section 6 of Part I hereof (at which time each agreement and c aoa1L t imnv- ate) and that the remain is a and covenants provided is subdivision tire irn(b) of Section 401 hereof shalt r main effect without ling Cation as to time: Provided, that such agreements and covenants shall be and eve on the Redeveloper teach p each to interest ,ores Property, and every part thereof, and each party in possession occupancy, respectively, only for such period a such successor party shall part title to o n interest Is, sor pecified possession o occupancy of, the Property Or efID theing to The visions o ' Urban Renewal the Urban Renewal Planlanguage, am e, doth a referring Co pro of theend all Renewal Plan miler language, an the Agreement shall include the land and all building, rt pertaining to andsuch other re- quirements -. quiremencs a roe trictione of the Urban Renewal Plan pertaining Co eucM1 laM. n SEC. 403. Agency add United States Rights to Enforce. In amplification, and C in restriction, iction, of the provisions of the preceding Section, it is intended and agreed that the Agency and its s and assigns shall be deemed beneficiaries v of the agreements and covenants provided in Section 401 hereof, and the United States shall be deemed abeneficiary of the covenant provided i subdivision (b) Of Section 401 hereof, both for and in their o its Own right and also for the purposes Of protecting the interests of the community and other parties, public or private, in whose favor or for whose benefit such agreements and covenants have -7- been provided. such agreements and covenants shall (and the need shall so state) to[, n favor of the Agency and the United States, for the entire period during which such agreements and covenants shall be in force and effect, without regard to whathwe the Agency or the United States has at any time been, remains, or is an owner of any land o interest therein to or in favor of which such agreements and c nants relate. The Agency shall have the right, In the event of any breach of any such agreement or covenant, and the United States shall have the right in the event of any breach of the covenant provided in subdivision (b) of Section 40L hereof, to exercise all the rights and remedies, and to maintain any actions or suite at law or in equity or other proper proceedings to enforce the curing of such breach of agreement or rant, to which it or any other beneficiaries of such agreement or covenant my be entitled, but nothing herein contained shall obligate the Agency to institute or prosecute such curative action. SEC. 404. Advertising. The Redeveloper agrees for itself, its successors ani signs, that during construction and thereafter the Redeveloper, and its s and assigns shall include in all advertising for the sale o ental of the Property statement to the effect (a) that the Property is open to all persons without dis- crimination on the basis of race,colon, creed or national origin and (b) that there shall be no discrimination in public access and use of the property to the extent that it is open to the public. ARTICLE V. PROHIRITI0N5 AGAINST ASSIGMAENT AND TRANSMR SEC. 50L. Representations as to Redevelopment. The Redeveloper represents and agree that its purchase of the Property, and its other undertakings pui the Agreement, are, and will be Deed, for the propose of redevelopment of the Property and not for speculation in land holding. no Redeveloper further recognizes that, In view of (a) the importance of the redevelopment of the Property to the general welfare of the community: (b) the substantial financing and other public aide that have been made available by law and by the Federal and local governments for the purpose of making such redevelopment possible; and (c) the fact that a transfer of the stock in the Redeveloper or of e Substantial part thereof, or any other act or transaction involving or resulting in a significant change in the ownership or distribution of such stock or with respect to the Identity of the parties it on- trol of the Redeveloper or the degree thereof, In for practical purposes a transfer or disposition of the Property then owned by the Redeveloper, the qualifications and identity of the Redeveloper, and Its stockholders, are of par- ticular concern to the co®unity and the Agency. The Redeveloper further recognizes that it is because of such qualifications and Identity that the Agency is entering Inco the Agreement with the Redeveloper, and, in ss doing, is further willing to accept and rely on the obligations of the Redeveloper for the faithful performance of oil undertakings and covenants hereby by it to be performed without requiring in addition a surety bond o similar undertaking for such performance of all undertak_ngs and covenants in the Agreement. -8- SEC. 502. Prohibition Against Transfer of Shares of Stock; Binding gPow_Stock- holders Individually. For the foregoing reasons, the Redeveloper repre eats and agrees for itself, its stockholders, and any successor n interest of itself and tts stockholders, respectively, that: Prior to completion of the Improvements as cer- tified by the Agency, and without the price written approval of the Agency, (a) there shall be no transfer by any party owing 30 per cent or more of the stock in the Redeveloper (which term shall be deemed for the puritans of this and related pro- visions to include successors in interest of such stock or any part thereof o in- terest therein), (b)ut ll any such owesuffer any such transfer to be made he) n shall there be r be suffered to he by the Redeveloper, or by any Owner of 10 per cent ormore of the stock therein, any other similarly significant change to the ownership of such stock or In the relative distribution thereof, or with respect to theidentity of the parties in control of the Redeveloper or the degree thereof, by any other method Or , whether by increased capitalisation, merger with pother corporation, corporate or other amendments, issuance of additional o stock o classification of stock r o otherwise. With respectto this provision,W the Redeveloper and the parties signing the Agreement on behalf of the Redeveloperepre- sent that they have the authority of all of its existing stockholders to agree to this provision on their behalf and to bind them with respect thereto. SEC. 503. Prohibition Against Transfer of Property and Assignment of Agreement. Also, for the foregoing reasons the Redeveloper represents and agrees for itself, and its successors and assigns, than (a) Except only (1) by any of security for, and only for, (i) the purpose of obtaining financing necessary to enable the Redeveloper any successor interest to the Property, t any part thereof, to perform eits obn ligationE with respect to making the Impro meats under the Agree- ment, gre -ment, and (ii) any other purpose authorizedbythe Agre rent, and (2)as tany individual parts or parcels of the Property o which the Imprweents to be constructed thereon have been completed, and which, by the terms of the Agreement, the Redeveloper is authorized to convey at lease as such Improvements arecempleted, the Redeveloper (except authorized) has not made o created, and that it will prior to the proper completlon of the Improvements as certified by the Agency, make or create, t suffer to be made o ted, any total or partial sale, assign- ment, Conveyance, or lease, o any treator power, or transfer In any other made c farm of or with respect to the Agreement or the Property, or any part thereof or ary interest therein or any contract or agreement to do any of the same, without the prior written approval of the Agency: Provided, that, prior to the issuance by the Agency of the certificate provided for in Section 307 hereof as to completion of m struction of the Improvements,ma the Redeveloper y enter into any agreement to sella lease, o otherwise transferafter the i of such certificate, the property or any part thereof or Interest therein, which agreement shall not provide for payment Of o of the purchase price rent for the Property, or the part thereof r the Interest therein to be so transferred, prior to the issuance of such cextifi- Cate. (b) The Agency shall be entitled to require, except as otherwise provided in the Agreement. as coMftions to any such approval they -9- (1) Any proposed transferee shall have the qualifications and financial responsibility, as determined by the Agency, necessary and adequate to fulfill the obligations undertaken in the Agreement by the Rede- veloper (or, in the event the transfer is of or relates to part of the Property, such obligations to the extent that they relate to such pert). (2) Any proposed transferee, by instrument in writing satisfactory to the Agency and in form recordable among the land records, shall, for itself and its a and assigns, and expressly for the benefit of the Agency, successors erexpressly assumed all of the obliga- tions of the Redeveloper under the Agreement and agreed to be subject to all the conditions and restrictions to which the Re- developer is subject (or, in the event the transfer is of or relates to part of the Property, such obligations, conditions, and astrictions to the extent that they relate to such part): Pro- vided, that the fact that any transferee of, orany ether successor in interest whatsoever to the Property, o any part thereof,shall� whatever the reason, not have assumed such obligations O agreed, shall not (unless and only to the extent otherwise specifically provided in the Agreement or agreed to in writing by the agency) relieve or except such transferee oTof or from such ob- Ligatione, conditions, o estrictionsOrsdeprive or limit the Agency of or with respect to any rights or remedies or controls with respect to the Property or the construction of the Improve - wants; it being the intent of this, together with Other provisions Of the Agreement, that (to the fullest extent permitted by taw and equity and excepting only in the manner and to the extent specific- ally provided otherwise in the Agreement) no transfer Of or change with respect to ow rship in the Property or any part thereof, o any interest therein, however consummated c ing. and whethe- voluntary or involuntary, shall operate, legally or practically, O deprive or limit the Agency of or with respect to any rights or remedies or controls provided in or resulting from the Agreement with respect to the Property and theconstruction of the Improve- ments that the Agency would have had, had there been n0 such trans- fer or change. (3) There shall be submitted to the Agency for review all instruments and other legal documents Involved in effecting transfer; and if approved by the Agency, its approval shall be Indicated to the Redeveloper in writing. (4) The consideration Payable for the trans fax by the transferee or on Its behalf shall not exceed a mount representing the actual cost (including carrying charges) to the Redeveloper of the Property (or allocable to the part thereof Or interest therein trans fexred) am the Improvements, if any, theretofore made thereon by It; it being the intent of this provision to preclude assignment of the Agreemeat r transfer of the Property (or any parte thereof ether than those referred to in subdivision (2), Paragraph (a) of this Section 503) for profit prior to the completion of the Improvements and to pro- vide that in the event any such assignment or transfer is made (add -10- is not canceled), the Agency shall be entitled t0 increase the Pur- chase Price to the Redeveloper by the amount that the consideration payable for theassignment or transfer is in excess of the amount that may be authorised pursuant to this subdivision (4), and such consideration shall, to the extent it is in excess of the amount so authorized, belong to and forthwith be paid to theAgency. (5) The Redeveloper and its transferee shall comply with such other conditions as the Agency may find desirable in order to achieve and safeguard the purposes of the Urban Renewal Act and the Urban Renewal Plan. Provided, that in the absence of specific written agreement by the Agency to the con- trary, no such transfer or approval by the Agency thereof shall be deemed to relieve the Redeveloper, or any other party bound in any way by the Agreement or otherwise with respect to the construction of the Improvements, from any of its obligations with respect thereto. SEC. 504. Information as to Stockholders. In order to assist in the effectu- ation of the purposes of this Article V and the statutory objectives generally, the Redeveloper agrees that during the period between execution of the Agreement and com- pletion of the Improvements as certified by [M1e Agency, (a) the Redeveloper will Promptly notify the Agency of any and all changes whatsoever in the ownership of stock, legal or beneficial, or of any other act or transaction involving or resulting In any change in the ownership of such stock or in the relative distribution thereof, or with respect to the identity of the parties i control of the Redeveloper or the degree thereof, of which it o any of its officerhave been notified or otherwise have knowledge or Information and (b) the Redeveloper shall, at such time or times as the Agency may request, furnish the Agency with a complete statement, subscribed and sworn to by the President o other executive officer of the Redeveloper, setting forth all of the stockholders of the Redeveloper and the extent of their respective holdings, and in the event any other parties have a beneficial interest to such stock [heir and the extent of such interest, all as determined or indicated by the records of mazes the Redeveloper, by specific inquiry made ty any such officer, of all pat - [fes who on the basis of such records own 10 per cent or� of the stock in the Redeveloper, and by such other knowledge or Information as such officer shall have. Such lists, data, and information shall in any event be furnished the Agency immedi- ately prior to the delivery of the Deed to the Redeveloper and as a condition pre- cedent thereto, and annually thereafter on the anniversary of the date of the Deed until the issuance ofnn certificate of completionforrall the Property. ARTICLE VI. MORT AGE FINANCINGS ALERTS OF MORTGAGEES SEC. 601. Limitation Upon Encumbrances Of Property. Prior to [M1e completion of the Improvements, as certified by the Agency, neither the Redeveloper nor any su - ceeamr in interest to the Property or any part thereof shall engage in any financing any other transaction creating any mortgage o othev a umbraoce or lien upon the or tronas creat [ nc Property, whether mad by expressagreement oProperoperatty, O'_ leo, o enure[ o encumbrance g or lien to be made o attach ac es the for making sept for the purposeof obtaining (a) funds only to I Can extent accessary t t mexceedeth Improvements Price paid such ed- detiorel funds, iE any, in he not not to exceed the Purchase Price paid by the the Re- developer to the Agency. The Redeveloper (or xeu a in other larshalll notify the Agency to advance of any financing, secured by mortgage o O[M1ez any par lien instru- ment, it proposes to sneer into with respect to the Property, or any per[ thereof, -11- and in any event it shall promptly notify the Agency of any encumbrance or lien that has been created on attached to the Property, whether by voluntary act of the Redeveloper or otherwise For the purposes of such mortgage financing as may be made pursuant to the Agreement, the Property may, at the option of the Redeveloper (oz successor in interest), be divided into se ral parte or parcels, provided that such subdivision, in the opinion of the Agency,,ais not inconsistent with the purposes of the Urban Renewal Plan and the Agreement and is apps ved in writing by the Agency. SEC. 602. Mortgagee Not Obligated to Construct. Notwithstanding any of the pro - vicious of the Agreement, including but not limited to those which are or a inten- ded to be c nants running with the land, the holder of any mortgageauthorized by the Agreement (including any such holder who obtains title to the Property or any part thereof as a result of foreclosure proceedings, or action in lieu thereof, but not including (a) any other party who thereafter obtal atitle to the Property o such part from or trough such holder or (b) any other purchaser at foreclosure sale other than the holder of the mortgage itself) shall in no wise be obligated by the provisions of the Agreement to construct or complete tae improvements or to guarantee such Construction or completion; nor shall any covenant or any other provision in the Deed be construed to so obligate such holder; Provided, that nothing in this Section or any other Section or provision of the Agreement shall be deemed or construed to permit orauthorize any such holder to devote the Property o any part thereof t any or to construct any improvements thereon, other than those uses or improvements provided or permitted in the Urban Renewal Plan and in the Agreement. SEC. 603. Copy of Notice of Default to Mortgagee. Whenever the Agency shall deliver any notice or demand to to Redeveloper with respect to any breach or default by the Redeveloper in its obligations vnante under the Agreement, ,he Agency shall at the a time forward a copy of such notice or demand to each holder of any mortgage authorized by the Agreement at the last address of such holder shown on the records of the Agency. SEC. 604. Mortgagee's Option to Cure Defaults. After any breach or default re- ferred to in Section 603 hereof, each such holder she 11 (insofar as the rights of the Agency a concerned) have the right, at its option, to c medy such breach or default (Or suchbreach or default to the atent that it relates to the part of the Property c red by its mortgage) and to add the cost thereof to the mortgage debt and the lien of its mortgage: Provided, that if the breach or default is with re- spect to construction of the Impro,ements, nothing contained in this Section or any other section of the Agreement shall be deemed to permit or authorize such holder, either before or after foreclosure oraction. in lieu thereof, to undertake o con- tinue the construction o completion of the Improvements (beyond the extent n axy to co r protect Improvements o construction already made) without fixethav- ing expressly assumed the obligation to the Agency, by written agreement satisfactory o the Agency, to complete, in the e manner provided in the Agreement, the Impxo ments on the Property or the part thereof to Which the lien or title of such holder relates. Any such holder who shall properly complete the Improvements relating to the Property r applicable part thereof shall be entitled, written request made to the Agency, to certification or certifications by the Agency to such effect in the manner provided In Section 307 of the Agreement, and any such certification shall, if so requested by such holder, meaand provide that any remedies o rights with respect to recapture of o reversion or eating of title to the Property that the Agency shall have o be entitled to because of failure of the Redeveloper or any successor in Interest to -12- the Property, orany part thereof, to a evedy any default with respect to the construction of the Improvements o other parts or parcels of the Property, or be - sauce Of any other default in or breach of the Agreement by the Redeveloper or such shall not apply to the part or parcel of the Property to which such cer- ti£icatlon relates. SEC, 605. Agency'e Option to Pay Nor[ e Debt In any where, subsequent to default or breacha by the Redeveloper (orrt in- terest) under the Agreement, the holder of any mortgage on the Property or pa thereof (a) has, but does not ex , the option to construct o complete the im- pxovements relating to Property or part thereof covered by its mort- gage Or to which it has Obtained title, and such failure continues for a period of sixty (60) days after the holder has been notified or in- formed of the default or breach; o (b) undertakes construction Or completion of the Improvements but does not complete such construction within the period as agreed upon by the Agency (which period shall in any event be at least as long as the period pre- scribed for such construction or completion In the Agreement), and such default shall not have beenred within sixty (60) days after written demand by the Agency so todo, the Agency shell (and every mortgage instrument made prior to completion of the Im- provements with respect to the Property by the bad "eloper or successor In interest shall so provide) have the Option of paying to the holder the amouat of the mortgage debt and securing anassignment of the mortgage and the debt secured thereby, the event Ownershipofthe Property (or part thereof) has vested i such holder in by way of foreclosure or action in lieu thereof, the Agency shall be entitled, at its Option, c conveyance to it of the Property or part thereof ( as the c may be) upon payment t -,ch holder of am amount equal to the s of; (i) the mortgage debt at the time of foreclosure or action inlieu thereof (less all appropriate credits including those resulting from collection and application of rentals and other in- come creceived during foreclosure proceedings); (11) all expenses with respect to the for(III) the net expense, if any (exclusive of general C erhead), incurred by such holder n and a a directr cult of the subsequent management of the Property; (iv) the costs of any Improvements made by such holder and (v) an amount equivalent to the interest that would have rued on the aggregaten of such amounts had all such amounts become part of the mortgage debt and such debt had continued in existence. SEC. 606. Agency's option to Cure Mortgage Default_ In the event of a default r breach prix to the completion of the Improvements by the Redeveloper,any suc- cessor interest, in a of any of its obligations under and to the holer of anynt mortgage Cr other instrument creating a ncumbraace or lien upon the Property or part thereof, the Agency may at its option cure such default or breach, in which case the Agency shall be entitled, i addition a and without limitation upon any otherrights or remedies to which it shall be entitled by the Agreement, Waterloo of law, o Otherwise, to reimbursement £tom the Redeveloper o r in interest of all oats and expensesu incurred by the Agency In curing such default or breach and to a lien upon the Property (or the part thereof to Which the mortgage,¢umbrance, o lien relates) for such reimbursement Provided, that any such lien shall be subject always to the lien of (including any lien contemplated, because of advances yet to be made, by) any then existing mortgages on the Property authorised by the Agreement. -13- SEC. 607. Mortgage and Holder. Por the purposes of the Agreement: The term "mort- gage' shall include a deed of trust or other instrument creating an ¢ ncumbrance or lien upon the Property, o day part thereof, a security for a loan.the term n "Holder" reference to a mortgage shall includee any i r guarantorof any obligation or condition secured by such mortgage or deed softrust, including, but not limited to, the Federal Housing Commissioner, the Administrator of Veterans Af- fairs, and any successor In office of either such official. ARTICLE VII. REMEDIES SEC. 701. In General. Except as otherwise provided in the Agreement, the event of any default i r breach of the Agreement, o any of Its terms o onditicns by either patty hereto, or any successor to Such party, such party (or successor) shall, upon written notice from the other, proceed immediately to c remedy such default or breech, and, in any event, within sixty (60) days aftereceipt of such notice. In case such action is not taken n not diligently pursued, or the de- fault or breach shalt not be cured or remedied within a reasonable time, the aggrie- ved party may institute such pre eedingaemay be necessary or desirable n its Opinion to cu and remedy such default or breach, including, but not limited to, proceedings to compel specific performance by the party in default or breach of its obligations. SEC. 702. Termirmtion by Redeveloper Prior o Con In the event that (a) the Agency does not tender conveyance of the Property or possession thereof in the =once and condition and by the date provided in the Agreement,fled any such failureshall not be cured within thirty (30) days after the date of written demand by the Redeveloper; or (b) the Redeveloper shall, after preparation of Construction Plana satisfactory to the Agency, furnish evidence satisfactory to the Agency that it has been nable after and despite diligent effort for a period of sixty (60) days after approval by the Agency of the Construction Plane, to obtain mortgage financing for the construction of the Improvements on a basis and on terms that would generally be considered satisfactory by builders or contractors for improvements of the nature. and type provided In such Construction Plana, and the Redeveloper shall, after having submitted such evidence and 1f so requested by the A3emy, continue to make diligent ef- forts to obtain such financing for a period of sixty (60) days after suci request, but without success, then the Agreement shall, at the option of the Redeveloper, be terminated by written notice thereof to the Ajency, and, except with respect to the return of the Deposit s provided in Paragraph (e), Section 3 of Part I hereof, neither the Agency no the Redeveloper shall have any further rights against or liability to the other under the Agreement. SEC. 703. Termination by Agency Prior to Conveyance. In the event that (e) prior to conveyance of the Property to the Redeveloper and in violation Of the Agreement (1) the Redeveloper (or any successor in interest) assigns orattempts to assign the Agreement or any rights therein, or in the Property, or -14- (if) there in any change in the ownership or distribution of the stack of the Redeveloper or with respect to the identity of the parties in control Of the Redeveloped or the degree thereof; or (b) the Redeveloper does not submit Construction Plana, as required by the Agreement, or (except as excused under subdivision (b) of Section 702 hereof) evidence that 1t has the n mo ary equity capital and mortgage financing,age satisfactory form, and in the manner and by the dates re spectively provided in the Agreement therefor; or (c) the Redeveloper does not pay the Purchase Price and take title to the Property upon tender of conveyance by the Agency pursuant to the Agreement, and if any default or failure referred to in subdivisions (b) and (c) of this Section 703 shall not be cured within thirty (30) days after the date of written demand by the Agency, then the Agreement, and any rights of the Redeveloper, any assignee r transferee, n the Agreement, or arising therefrom with respect to the Agency or the Property, shall, at the option of the Agency, be terminated by the Agency, in which event, a provided in Paragraph (d), Section 3 of Part I hereof, the Deposit shall be retained by the Agency as liquidated damages and as Its property without say deduction, off- set o recoupment whatsoever, and neither she Redeveloper (ox assignee or'transferee) c the Agency shall have any further rights against or liability to the other under the Agreement. SBC. 704. Revesting Title in Agency Upon Happening of Event Subsequent to Ccn- verance to Redeveloper In the event that subsequent to conveyance of the Property or any part thereof to the Redeveloper and prior to completion Of the Improvements as certified by the Agency (a) the Redeveloper (or successor in interest) shall default i violate its obligation with respecttoo the construction of the Improvements (including the nature and the dates for the beginning and completion thereof), or shall abandon or substantially suspend construction work, and any such de- fault, violation, abandonment a suspension shall not be cured, ended, o remedied within three (3) months (six (6) months, if the default is wi.h aspect to the date for completion of the Improvements) after written do- mand by the Agency so to do; or (b) the Redeveloper (orcx In interest) shall fail to pay real estate taxes o r the Property o any part thereof when due, o shall piece sthereon sany encumbrance or Lien unauthorized by the Agreement, or shall suffer any levy o attachment to be made p any matexialmav s meechan • lien o any other unauthorized encumbrance or lien t ach,r and such taxes or assessments shall not base been paid or the encumbrance or lie removed or discharged or provision satisfactory to the Agency made for such payment, removal or discharge within ninety (90) days after writ- ten demand by the Agency so to do; or (c) there is, to iolation of the Agreement, any transfer of the Property or any part thereof, or any change In the ownership or distribution of the stock of the Redeveloper, or with respect to the identity of the parties In control of the Redeveloper or the degree thereof, and such violation shall not be cured within sixty (60) days after written demand by the Agency to the Redeveloper, -15- then the Agency shall have the right to re-enter and take possession of the Property and to terminate (and rooter in the Agency) the estate conveyed by the Deed to the Redeveloper, it being the intent of this provision, together with other provisions of the Agreement, that the conveyance of the Property to the Redeveloper shell [be made upon, and that the Deed shall contain, a condition subsequent to the effect that in the event of any default, failure, violation or other action or inaction by the Redeveloper specified in subdivisions (a), (b) and (c) of this Section 704, fail - ore on the part of the Redeveloper to remedy, end or abrogate such default, failure, violation or other action or fraction, within the period and in the manner Stated in such subdivisions, the Agency at its option may declare a termination in favor of the Agency of the title, and of all the rights and Interests in and to the Property con- veyed by the Deed to the Redeveloper, and that such title and all rights and inter- ests of the Redeveloper, and any assigns or successors in interest to and in the Property, shall revert to the Agency: Provided. that Such condition subsequent and any revealing of title as a result thereof in the Agency (L) shall always be subject to and limited by, and Shall not defeat, gentler valid, or limit in any way, (i) the lien of any mortgage authorized by the Agreement, and (ii) any rights or interests provided in the Agreement for the protection of the holders of such mortgagee; and (2) shall not apply to individual parte or parcels of the Property (or, in the case of parts or parcels Leased, the leasehold interest) on which the Im- prwements to be constructed thereon have been completed in accordance with the Agreement and for which aertificate of completion is issued therefor as provided in Section 307 hereof. SEC. 705. Resale of Reacquired Property: Disposition of Proceeds. Upon the re- eating in the Agency of title to the Property or any part thereof as provided in Section 704, the Agency shall, pursuant to its responsibilities under State law, One Its beat efforts to resell the Property or partthereof (subject to such mortgage liens and leasehold interests as in Section 704 set forth and provided) as soon and In such Penner as the Agency shall find feasible and consistent with the objectives of such law and of the Urban Renewal Plan to a qualified and xeaponsible party o parties (as determined by the Agency) ago will assume the obligation of making o cmpleting the Improvements or uch other Improvements In their stead as shall be satisfactory to the Agency and In accordance with the uses specified for such Pro- perty or part thereof in the Urban Renewal Plan. Upon such resale of the Property, the proceeds thereof shall be applied; (a) First, to imburse the Agency an Its own behalf or n the behalf of the City for all casts and expenses incurred by the Agency, including but not limited to salaries of pers ouneI in connection with the recapture, man- agement and resale of the Property or part thereof (but leas any income derived by the Agency from the Property or part thereof in connection with such management); all taxes, a ent$ and water and s charges with respect to the Property or part thereof (or n the event the Property is xempt from taxation or assessment o Such charges during the period of Ownership thereof by the Agency. , if paid, equal t such taxes, assessments o charges (as determined by the City assessing official) a would have been payable if the Property were not soexempt); any payments made ornecessary to be made to discharge any encumbrances or liens exist- ing ontheProperty or part thereof at the time of revesting of title -16- thereto in the Agency or to discharge or prevent from attaching of being made any subsequent encumbrances or Liens due to obligations, defaults o acts of the Redeveloper, its successors r transferees; any expenditures made o obligations i red with respect to the making o completion of the Improvements o any part [hereof on the Property or part thereof; and any amounts otherwise owing the Agency by the Redeveloper and its across - sera or transferees; and (b) Second, to reimburse the Redeveloper, its s r transferee, up to u the amount equal to (1) the a of the purchase price paid by it for the Property (or allocable to the part thereof) and the cash actually invested by it in making any of the Improvements on the Property or part thereof, less (2) any gains or income withdrawn or made by it it= the Agreement or the Property. Any balance remaining after such retmbrusemen[a shall be retained by the Agency as its property. SEC. 706. Other Rights and Remedies of Agency; No Waiver by Delay. The Agency Shall have the right to Joe titute such actions or proceedings as it may deem desir- able for effectuating the purposes of this Article VII, including also the right to execute and record or file among the public land records in the office in which the Deed isrcorded a written declaration of the termite tion of all the right, title and Interest of the Redeveloper, and (except for such individual parts or parcels upon which construction of that part of the improvements required to be constructed there- on hen been completed, in accordance ordance with the Agreement, and for which a certificate of completion as provided in Section 307 hereof Is to he delivered, and subject to such mortgage liens and leasehold interests as provided 1v Section 704 hereof) its successors in interest and assigns, to the Property, and the revesting of title thereto in the Agency: Provided, that any delay by the Agency in instituting or ec pro- seducing Ia act ysuch ions or proceedings s otherwise asserting its rights under this operate as a waive[ of such rights or to deprive it of or limit such rights in any way (it being the intent of this provision that the Agency should not be constralned (so s to avoid the risk of being deprived of or limited in the exercise of the remedy provided in this Section because of concepts of waiver, Lacher or otherwise) to exercise such remedy at a time when It may still hope otherwise to solve the problems created by the default involved);nor shall any waiver in fact made by the Agency with respect to any specific default by the Redeveloper under this Section be considered or treated as a waiver of the rights of the Agency with respect to any other defaults by the Redeveloper under this Section orwith respect to the particular default except to the extent spec ific�lly waived In writing. SEC. 707. Enforced Delay In Performance for Causes Beyond Control of Party. For the purposes of any of the provisions of the Agreement, neither the Agent the Redevelo c no per, as the c may be, n any au n respect to shall be - the Property er bleach ed ve defaulopmente in its beginning ns and with completion to the prepaconstruction of he Imp Improvements fox redevelopment o the thereto, inn and event of on of c ns delay in of the perfov ncea or such obligations progress in aspect thereto, se the event of enforced delay in the without its of such vnegligence dna to unforeseeable causes beyond its control and of its fault o acts torn Federal but n acts of t to, aces of God, atm of the public enemy, acts of the restrictions, s, strikes, arca of ems ocher party, Fiala, floods, epidemics, quarantine reatziccions, ¢talk¢ a, freight embargoes and unusually -17- severe weather or delays of subcontractors due to such c it being the purpose and intent of this provision that in the event of the eccurrence of any such enforced delay, the time or times for performance of the obligations of the agency with re- spect to the preparation of the Property for redevelopment orof the Redeveloper with aspect to construction of the Improvements, a a the c maybe, shall be extended for the period of the enforced delay as determined by the Agency: Provided, that the party seeking the benefit of the provisions of this Section shall, within ten (10; days after the beginning of any such enforced delay, have first notified the other party thereof in writing, and of the cause or causes thereof, and requested an ex- tension for the period of the enforced delay. SEC. 708. Rights and Remedies Cumulative. The rights and remedies of the par- ties to the Agreement, whether provided by law or by the Agreement, shall be - lative, and the exercise by either party of any one or were of such remedies shall not preclude the exercise by it, at the same r different tines, of any other such remedies for the same default or breech or of any of its remedies for any other de- fault or breach by the other party. No waiver made by either such party with respect to the performance,time thereof, a any obligation of the other party or any conditto its ownmanner under theAgreementshall be considered a waiver of any rights of the party making the w withrespectto the particular obligation of the other party o condition to its can obligation beyond those expres- sly waived In writing and to the extent thereof, or a waiver in any respect to [e gard to any other rights of the party making the waiver or any other obligati one of the other party. SEC. 709. Party in Position of Surety With Respect to Obligations. The Rede- veloper, far itself and its a and assigns, and for all other personswho are or who shall become, whether by express or implied assumption or otherwise, liable upon or subject to any obligation or burden uncer the agreement, hereby waives, to the fullest extent permitted by Law and equity, any and all claims o defenses otherwise or whether by agreement ooperation of law, including, withouo Limitation on the generality of the foregoing, any and all claims and defenses beat - upon extension of time, Indulgence or modification of terms of contract. ARTICLE VIII. MISCELLANEOUS SEC. 801. Conflict of Interests: Agency Representatives Not Individually r Liable. No member, official o employee of the Agency shall have any personal in- terest, direct or indirect, in the Agreement. nor Shall any such member, official or employee participate in any decision relating to the Agreement which affects his personal Interests or the interests of any corporation, partnership o n in which he is, directly or indirectly, interested. No member,nr officialor, employee of the Agency shall be personally liable to the Redeveloper, or any s inter- est, in the event of any default or breach by the Agency or for any amount which any became due to the Redeveloper or successor or on any obligations under the terms of the Agreement. SEC. 802. Equal Employment opportunity. The Redeveloper, for itself and its successors and assigns, agrees that during the construction of the Improvements pro- videdfor in the Agreement: -18- (a) The Redeveloper will set discriminate against any employee or applicant for employment because of race, creed, solar or national origin. The Re- developer will take affirmative action to ensure that applicants are em - played and that employees are treated during employment without regard to their race, creed, color o national origin Such action shall include but not be limited to the fallowing: employment, upgrading, demotion a transfer: recruitment o recruitment advertising; layoff or termination: rates of pay or other forms of compensation{ and selection for training, including apprenticeship. The Redeveloper agrees to post in conspicuous places available to employees and applicants for employment notices to be Pros idedby the Agency setting forth the provisions of this nondiscrimina- tion clause. (b) The Redeveloper will, in all solicitations a- advertisements for employees placed by or on behalf of the Redeveloper, state that all qualified appli- ants will receive consideration for employment without regard to race, creed, color or national origin. (c) The Redeveloper will send to each labor union or representative of workers with which the Redeveloper has a collective bargainingment or other contract or understanding, a notice, to be provided, advising the labor union rworkers' representative of the Redeveloper's commitments under Section 202 of Executive Order 1L246 of September 24, 1965, and shall pest copies of the notice i conspicuous places available to employees and ap- plicants fox employment.a (d) The RedeveLoper will comply with all provisions of Executive Order 1124E of September 24, 1965, and of the rules, regulations and relevant orders of the Secretary of Labor. (e) The Redeveloper will furnish all information and reports required by Execu- tive Order 11246 of September 24, 1965, and ey the rules, regulations and orders of the Secretary Of Labor or the Secretary of dousing and Urban be- velopment, and the Secretary of Labor for purposes of Investigation to as- certain compliance with such rules, regulations and orders. (f) In the event of the Redeveloper ompliance with the nondiscrimination e clan t of this Section, o with any of the said rules, regulations or data, my Agreement y bee celed, terminated or suspended in whole or in part and the Redeveloper my be declared ineligible for further Government contracts or federally assisted construction contracts In accordance with proceduresauthorized in Executive Order 11D 6 of September 24, 1965, aad uch other sanctions may be imposed and remedies invoked as provided i Executive Order 11246 of September 24, 1965, or by rule, regulation or order of the Secretary of Labor, or as otherwise provided by Saw. (g) The Redeve Loper will include the provisions of paragraphs (a) through (a) of this Section in every contract or purchase order, and will require the inclusion of these provisions in every subcontract entered into by any of its contractors, unless exempted by rules regulations or orders of the Secretary of Labor issued pursuant to Rection, 204 of Executive Order 11246 of September 24, 1965, so that such provisions will be binding upon each such contractor, subcontractor or vendor, as the case may be. The Redevel- oper will take such action with respect to any construction contract, Sub- contract or purchase order as the Agency or the Department of Housing and -19- Urban Development may direct aprovisions, of enforcing such - eluding sanctions for n compliance; Provided, however, that intheevent the Redeveloper become involved in, or is threatened with, litigation with a subcontractor or vendor as result of such direction by the Agency r the Department of Housing and Urban Development, the Redeveloper may request the United States t0 enter into such litigati On to protect the in- terests of the United States. For the purpose of including such provisions in any construction contract, subcontract, or purchase order, s required hereby, the first three lines of this Section Shall be changed to read "During the performance of this Contra", the Contractor agrees as fol- lova:", and the term "Redeve Loper" shall be changed to 'Contractor." SEC. 803. Provisions Not Morass With Deed. None of the provisions of the Agreement are intended to or shall be merged by reason of any deed tranaherring title to the Property from the Agency to the Redeveloper or any successor in interest and any such deed shall hot be deemed to affect or Impair the provisions and cove- nants of the Agreement. SEC. 806. Titles of Articles and Sections. Any tithes of the several pares- Articles ar, Articles and Sections of the Agreement are inserted for convenience of reference only and shall be disregarded in construing or interpreting any of its provisions. -20-