HomeMy WebLinkAbout7391RESOLUTION NO. 7 3 91
A RESOLUTION APPROVING AN AGREEMENT BETWEEN
PUEBLO, A MUNICIPAL CORPORATION AND LAN
TECHNOLOGIES INC. RELATING TO A JOB CREATING
CAPITAL IMPROVEMENT PROJECT AND AUTHORIZING
THE EXPENDITURE OF $1,000,000 THEREFOR FROM THE
1992 SALES AND USE TAX CAPITAL IMPROVEMENT
PROJECT FUND
WHEREAS, Lan Technologies, Inc. has expressed a willingness to locate its business
activities within the Pueblo Municipal Airport Industrial Park and has committed to employ at its
facilities within the Pueblo Municipal Airport Industrial Park, 100 full time employees within
twenty -four months, and
WHEREAS, Lan Technologies, Inc. through the Pueblo Economic Development Corporation
has made application for funds from the 1992 Sales and Use Capital Improvement Project Fund, and
WHEREAS, the City Council is willing to approve such application for funds upon the terms
and conditions set forth herein; NOW, THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that:
SECTION 1
The City Council does hereby find and determine that Lan Technologies, Inc.'s application
for funds meets and complies with the criteria and standards established by Ordinance No. 5742 and
will create employment opportunities justifying the expenditure of public funds.
SECTION 2
The Agreement dated May 23, 1994 between Pueblo, a municipal corporation and Lan
Technologies, Inc., a copy of which is attached hereto and incorporated herein, having been
approved as to form by the City Attorney, is hereby approved. The President of the City Council
is authorized to execute and deliver the Agreement in the name of the City and the City Clerk is
authorized and directed to affix the seal of the City thereto and attest same.
SECTION 3
Funds in an amount not to exceed $1,000,000 are hereby authorized to be expended and made
available to Lan Technologies, Inc. out of the 1992 Sales and Use Tax Capital Improvement Fund
for the sole purpose of reimbursing it for the cost of the capital improvement project described in
the attached Agreement. The funds hereby authorized to be expended shall be released and paid by
the Director of Finance to or for the benefit of Lan Technologies, Inc. upon receipt of written
requests for payment required by paragraphs 2(c) and (d) of the Agreement.
SECTION 4
This Resolution shall become effective upon final passage.
ATTEST:
ity Clerk
INTRODUCED: May 23 , 1994
By SAMUEL CORSENTIN
Councilperson
APPROVED:
V esi ent of the City Council
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AGREEMENT
THIS AGREEMENT entered into as of May 23, 1994 between Pueblo, a municipal
corporation (the "City ") and Lan Technologies, Inc., a Massachusetts corporation (the "Company ").
WHEREAS, Company has expressed a willingness to locate its business within the Pueblo
Municipal Airport Industrial Park, and in furtherance thereof has through the Pueblo Economic
Development Corporation made application for funds with the City, and
WHEREAS, the City has approved such application and will make funds available to
Company subject to and upon the terms and conditions of this Agreement.
NOW, THEREFORE, City and Company agree as follows:
1. Company shall lease from Pueblo Development Foundation (the "PDF ") the
approximately 51,500 square foot building together with improvements to be made thereto by PDF
on 4.80 acres of land located on William White Boulevard at Pueblo Municipal Airport Industrial
Park described in the attached Exhibit "A" (the "Property ") upon terms and conditions mutually
agreeable to Company and PDF (the "Lease ").
2. City will advance funds in an amount not to exceed $1,000,000 in the aggregate to
or for the benefit of Company for the following purposes: $60,000 to purchase equipment, and
$940,000 to PDF for the benefit of the Company for the cost of improvements to be made by PDF
to the Property, subject to and contingent upon
(a) Company filing in the office of the City Clerk copies of the following: (i)
Executed Lease between Company and PDF for the Property and (ii) Certified copy of the resolution
of the board of directors of Company approving this Agreement and authorizing its officers to
execute and deliver this Agreement in the name of Company. The date of such filings is herein
referred to as "Closing."
(b) All construction contracts for improvements to the Property for which
payment is sought from City shall be awarded by PDF after competitive bidding which allows
qualified local contractors to reasonably participate in the competitive bidding procedures.
(c) In the case of equipment purchases, Company submitting to the Director of
Finance of City written requests for payment certified by an authorized officer of Company that the
amounts included in the requests for payment have not been included in any prior request for
payment and are for costs of equipment to be used by Company on the Property, identifying the
equipment purchased by Company for which reimbursement is sought, including invoices.
(d) In the case of improvements to the Property, PDF submitting to the Director
of Finance of City written request for payment certified by an officer of PDF that the amounts
included in the requests for payment are for the actual cost of improvements to the Property,
identifying the improvements for which payment is sought, including certificates of the Architect
and contractor that such improvements have been installed in accordance with approved plans and
specifications.
3. Company acknowledges that the primary purpose of City in entering into this
Agreement and the sole benefit to the City for making funds available to Company hereunder is the
creation of jobs. Therefore, Company represents and commits that it will employ at the Property one
hundred (100) full -time employees within twenty -four (24) months from the Commencement Date
of the Lease. Within thirty (30) days after the first and second anniversary of the Commencement
Date of the Lease, Company will certify in writing to City the number of full -time persons employed
at the Property by Company on the last business day of each month of the prior year. For purposes
of verifying such employment, City shall have access to Company's books including payroll records.
The City will, however, respect the rights of employees of the Company as to the confidentiality of
personnel records.
4. Notwithstanding anything contained herein to the contrary, if Company shall for any
reason default in its employment commitment set forth in paragraph 3 hereof, Company shall repay
to City a pro -rata share of the funds advanced by City under paragraph 2 hereof based upon the
number of persons employed full -time by Company at the Property as follows:
0
Repayment Amount
Period After Per Employee Less
Commencement Number of Than The Number
Date of the Lease Full Time Employees Specified in Column OO
1 st year less than 60 $8,000
2nd year less than 70 but more
than 60 $5,000
(For example, if Company employs 65 full time employees during the second year
after closing, Company's repayment obligation would be $25,000, computed by
multiplying 5 [the number of employees less than 70 but more than 60] by $5,000)
The number of full -time employees shall be determined during the first and second year by
dividing by 12 the sum of the number of full -time employees employed on the last business day of
each month during each year. Company's repayment obligations contained in this paragraph 4 shall
be secured by a collateral assignment of Company's leasehold estate in the Property which will
convey such leasehold estate to City if Company defaults. Company shall provide all information
and Company shall execute all documents and instruments required to grant to City a collateral
assignment of Company's leasehold estate in the Property before City will advance any funds under
this Agreement.
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The parties agree that the amounts set forth above are not penalties but liquidated damages
to reimburse City for damages caused to the City by Company's default in its employment
commitment and constitute City's exclusive remedy against the Company resulting from Company's
default in its employment commitment.
5. (a) City Council of City may relieve Company, in whole or in part, from
Company's repayment obligations set forth in paragraph 4, if the City Council, after public hearing,
finds and determines based upon competent evidence presented at such hearing that Company was
prevented from complying with its employment commitment by reason of an act of God, or the
elements, fire, explosion, strike, insurrection, riot, shortage or unavailability of materials, supplies
or labor, shortage or interruption of transportation facilities, market forces, technology changes
rendering Company's products obsolete, involuntary bankruptcy, governmental laws, regulations or
restrictions, or other causes beyond Company's control. The findings and decision of the City
Council shall be final and binding upon Company and City, subject to judicial review pursuant to
C.R.C.P. 106(a)(4).
(b) Prior to instituting any proceedings to enforce Company's repayment
obligation under paragraph 4, City shall notify Company in writing of its intention to institute such
proceedings. If Company desires to seek relief pursuant to paragraph 5(a), Company, within thirty
(30) days after receipt of City's notice, shall deliver to City its written request for relief specifying
the grounds upon which such relief is sought. The timely filing of Company's written request for
relief shall stay City's institution of proceedings to enforce Company's repayment obligation until
ten (10) days after findings and decision of City Council.
(c) No delay or failure by City to exercise its right to enforce Company's
repayment obligation, and no partial or single exercise of that right, shall constitute a waiver of that
right, unless the City Council otherwise expressly provides in its findings and decision made
pursuant to paragraph 5(a).
6. If Closing does not occur on or before June 30, 1994, this Agreement shall terminate
and City and Company shall be released and discharged from all obligations hereunder.
7. In the event of any litigation arising out of this Agreement, the court shall award to
the prevailing party its costs and reasonable attorney fees. All such litigation shall be filed in the
District Court, County of Pueblo, State of Colorado and each party submits to the jurisdiction of that
Court. Each party waives its right to a jury trial.
8. This Agreement expresses the entire understanding of the parties and supersedes any
and all prior dealings and commitments with respect to the subject matter of this Agreement and may
not be amended except in writing signed by City and Company.
9. This Agreement shall be construed in accordance with and governed by the laws of
the State of Colorado.
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10. Any notices hereunder shall be sufficiently given if given personally or mailed by
first class mail, postage prepaid, addressed:
(a) if to City, City Manager, City of Pueblo, 1 City Hall Place, Pueblo, Colorado,
81003, or
(b) if to the Company, 9 Crosby Drive, Bedford, Massachusetts, 01730;
or to such other address as either party shall specify in written notice given to the other party.
11. This Agreement shall be binding upon and inure to the benefit of the parties and their
respective successors and assigns, provided Company may not assign this Agreement or any interest
herein without the prior written consent of City, which consent shall not be unreasonably withheld.
At the election of City, any assignment or attempted assignment without the consent of City shall
be null and void.
12. The person signing this Agreement on behalf of a parry hereto represents and warrants
that such parry and person have the requisite power and authority to enter into, execute, and perform
this Agreement.
13. This Agreement may be executed in two or more counterparts, each of which shall
be deemed an original but all of which together shall constitute one and the same instrument.
Executed at Pueblo, Colorado, the day and year first above written.
[SEAL]
ATTEST
� City Cle
PUEBLO, A MUNICIPAL CORPORATION
By
es' ent oirtli �C ty Council
[SEAL
ATTEST
LAN TECHNOLOGIES, INC.
By
Preside
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A pared of land located within the County of Pueblo, Stat4
of Colorado to -wit:
A parcu1 of land described in that document filed for record
November 20, 1969 in Book 2468 at Page 379 which reads as
follows.
A parcol of land located in the N112 of the SE1 14 of Section
26, Township 20 South, Range 64 Wast of the 6th Principal
Moridian, said parcel being more particularly described as
hollows:
boyinni:�l at a point from which the Northeast corner of said
Soctior, 26 boars N 18 - 01 - 14 E (bearings based on the North
line of said Section 26 to bear N 89 -10 -98 W), a distance of
2,629.05 foot; thence S 01 -57 -57 E, a distance of 513.69
feet; thence S 86 -02 -3 W, a distance of 919.03 feat; thou g
N 01 -57 -57 W, a distance of 51.3.64 taut; thoncv
N 68 -02 -03 E, a distance of 419.OJ faut to the Point of
Beginning.
Except and Less the Northerly fifteen (15) feet of said parcel
Said parcel contains 4.80 acres, more or less.
EXHIBIT "A" --
LAN TECHNOLOGIES, INCORPORATED
9 CROSBY DRIVE,
BEDFORD, MASSACHUSETTS 01730
Phone (617) 271 -0199
CORPORATE RESOLUTION
Fax(617)271.1640
Enrique Sales, being the Clerk - Secretary of Lan Technologies,
Inc., a corporation duly organized, validly existing, and in good
standing under the laws of the Commonwealth of Massachusetts
(hereafter referred to as Company), certifies that the following
resolution was duly adopted by the unanimous consent of the
Directors, the originals of which consent having been placed with
the records of meetings of Directors and is in conformity with
the Articles of Organization - Certificate of Incorporation and
By -Laws, each as amended to date and this resolution being
presently in full force and effect without
RESOLVED: That by the unanimous consent of the Directors, the
Company's plan to relocate the Company's manufacturing facilities
to the Pueblo Municipal Airport Industrial Park in Pueblo,
Colorado has been approved.
RESOLVED: That by the unanimous consent of the Directors, the
Agreement between the City of Pueblo and the Company has been
approved.
RESOLVED: That Lan T. Nguyen, President of the Company, is
authorized to act in the name and on behalf of the Company to
execute, seal, acknowledge, and deliver in the name and on behalf
of the Company the Agreement between the City of Pueblo and the
Company and any such instruments, documents and papers which
relate thereto as may be appropriate, each in such form and upon
such terms as he so authorized determines, such execution and
delivery to be conclusive of his authority so to act in the name
and on behalf of the Company.
In witness whereof, I have set my hand and the seal of the
Company on this 31st day of May, 1994.
(Corporate Seal)
es
retary
PRINTED ON RECYCLED PAPER
...............�f
4
REMODELING AND LEASE AGREEMENT
This Remodeling and Lease Agreement ( "Agreement ") is made and entered into this 31 s-- day
of May, 1994 by and between the Pueblo Development Foundation, a Colorado nonprofit
corporation having its principal place of business located at Pueblo, Colorado ( "PDF ") and Lan
Technologies, Inc., a Massachusetts corporation, having is principal place of business located at
9 Crosby Drive, Bedford, Massachusetts ( "Company ")
BACKGROUND
WHEREAS, PDF owns certain premises in the City of Pueblo, County of Pueblo and State of
Colorado consisting of 4.80 acres of land located on William White Boulevard at Pueblo Municipal
Airport Industrial Park as more particularly described on Exhibit "A" attached hereto ( "Land "),
including an unoccupied existing building to be remodeled by PDF in accordance with the plans and
specifications approved by Company and PDF described in Exhibit "B" attached hereto
( "Improvements "), which building is located upon said Land and contains approximately 51,500
square feet of space ( "Building ") (the Land, Building and Improvements are collectively referred
to as 'Premises ");
WHEREAS, the Company has provided PDF with equipment layout, office arrangement and
electrical and heat load requirements which are incorporated as part of Exhibit "B ";
WHEREAS, PDF will engage contractors and cause such Improvements to be installed and
substantially completed as provided in section 24 hereof in accordance with the plans and
specifications described in Exhibit "B "; and
WHEREAS, upon substantial completion of the Improvements and subject to the terms hereof, the
lease term will begin and the Company will be deemed to have leased the Premises from PDF.
WITNESSETH:
Subject to the terms and conditions hereof, PDF leases the Premises to the Company and the
Company rents those Premises from PDF.
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To Have And To Hold the same for a term beginning on the day Landlord delivers possession of
the Premises as described in Section 25 hereof ( "Commencement Date ") and ending on the date
which is ten (10) years and six (6) months from the Commencement Date ( "Lease Term "). The
Company hereby agrees to pay rent during the Lease Term and as provided herein in the amount as
described on Exhibit "C" attached hereto, payable in advance, without notice or demand and without
abatement, deduction or setoff, on the first business day of each month (prorated for any partial
month's occupancy) to PDF at P.O. Box 1663, Pueblo, Colorado 81002, or elsewhere as PDF may
from time to time in writing direct; provided however, that: (i) the Company shall pay no rent
during the first six (6) months of the Lease Term; (ii) the Company's monthly rent may under no
circumstances and regardless of any adjustments hereunder exceed Ten Thousand Dollars
($10,000.00) per month; and (iii) if it is not in default hereunder, the Company shall have the option
to purchase the Building and Premises from PDF for Seven Hundred Thousand Dollars
($700,000.00) at the end of the Lease Term,
Provided Always, that this Agreement is entered into on the following terms and conditions, all of
which the parties hereto covenant to keep and perform:
Use and Occupancy PDF represents that:
(a) Legal title in fee simple to the Premises will be held by PDF throughout the Lease
Term subject to restrictions, reservations and conditions contained in the quit claim deed from the
United States of America to the City of Pueblo recorded in Book 1074, Page 87 as Instrument No.
819072 of the records of Pueblo County, Colorado ( "Quit Claim Deed ") and those contained in the
Warranty Deed attached as Exhibit "D ";
(b) PDF through the City of Pueblo will cause the Federal Aviation Administration to
issue a Deed of Release in substantially the form and content of the attached Exhibit "D -1" (except
legal description) with respect to the Premises. The purpose of the Deed of Release is to release the
Premises from the restrictions, reservations and conditions contained in the Quit Claim Deed.
(c) PDF has full right, power and authority to enter into this Agreement;
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(d) The Premises may be used by the Company during the entire Lease Term for
manufacturing and distribution and other reasonable related business purposes;
(b) The Premises do and will comply with applicable zoning requirements and recorded
covenants; and
(c) The condition of the Premises will on Commencement Date be in compliance with
applicable building codes.
The Company represents that:
(a) . It has full right, power and authority to enter into this Agreement; and
(b) During the Lease Term, it will use the Premises for manufacturing and distribution
and other reasonable related business purposes.
2. Company's Repairs and Alterations Except as is provided in Section 4 hereof, the
Company covenants and agrees that it will, at its own expense, during the Lease Term, keep said
Premises in good condition and repair. The Company, with the approval of PDF, may, at its own
expense, make alterations on the Premises and may remove such alterations at the expiration of the
Lease Term, provided Company repairs all damage to the Premises caused by such removal.
3. Company's Care of Premises The Company shall keep the Premises clean and free from
rubbish, dirt, snow and ice and it is agreed that in the event the Company shall not comply with this
provision, PDF, with prior notice to the Company, may enter upon said Premises and have rubbish
and dirt removed and the sidewalks cleaned, in which event the Company agrees to pay the
reasonable cost thereof.
4. Maintenance of Building by PDF PDF shall not be responsible or obligated for any
maintenance, repairs, alterations, improvements or additions to the Premises other than those
Improvements described in Exhibit "B ", provided that during the twelve month construction
warranty period after PDF delivers possession of the Premises to the Company, PDF shall be
responsible for structural repairs and structural maintenance of the Building. PDF will assign and
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transfer to the Company all applicable manufacturer's warranties and contracts between PDF and
architect and general contractor; remaining exclusively liable for payment of amounts due under
such contracts and agreeing to indemnify and save harmless the Company therefrom.
5. Utilities Public utility services, including sewer and water lines, into the Premises shall be
provided by PDF as part of the remodeling costs of the Building, to the degree that sewer and water
lines necessary for the Company's business are not already in place. The Company will pay all
charges for utility services, including gas, water, sewer, heat, electricity, city's combined services
fee and telephone service used in or supplied to the Premises during the Lease Term. Electrical
connection charges or water connection fees, as shown on Exhibit "B" shall be paid by PDF as part
of the remodeling costs.
6. Building Expansion The Company may, at its sole option during the Lease Term, expand
the Building by adding, at its cost and expense, up to an additional 20,000 square feet to the
Building, provided (a) that the Company's plans, specifications and general contractor have been
approved by PDF, which approval shall not be unreasonably withheld, (b) that such alterations and
improvements shall comply with all applicable laws, statutes, ordinances, regulations, and rules of
all governmental authorities, and will not damage or injure the structural integrity of the Building,
(c) that the Company shall not permit any lien to be placed on the Premises and shall indemnify and
save harmless PDF and the Premises from liens arising out of such expansion and the Company shall
reimburse PDF upon demand for any costs and expenses incurred in connection with any such lien,
including reasonable attorney's fees, and (d) that upon completion of the work PDF will be furnished
with "as built" drawings.
7. Environmental Compliance
(a) For the purposes of this Agreement, "Hazardous Materials" means any hazardous or
toxic substance, material or waste which is or becomes regulated by any local government authority,
the State of Colorado or the United States government and shall include, but not be limited to
(l) substances defined as "hazardous waste," "restricted hazardous waste," "hazardous substance"
or "hazardous material" under any applicable federal, state or local law or regulation
( "Environmental Regulations "), (2) asbestos - containing materials, (3) PCBs, (4) petroleum or
petroleum based products, and (5) lead.
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(b) PDF represents and warrants that there are no septic tanks, no above or below ground
fuel oil tanks, gasoline or chemical storage tanks, and no other underground tanks or piping or
deposits of Hazardous Materials as now defined and regulated located on, under or about any
portion of the Premises; that no portion of the Premises is as of the date of execution of this
Agreement subject to any lawsuit, proceeding, citation, or investigation pending or overtly
threatened relating to any contamination or alleged contamination by any Hazardous Materials or
any violation or alleged violation of any Environmental Regulation; that no material expenditure
of funds is required of PDF to bring any portion of the Premises into compliance with any
Environmental Regulations; and, finally, that all disclosures have been made to the Company
regarding existing environmental conditions known by or to PDF.
(b) The Company will comply with Environmental Regulations that are applicable to the
Company and its use of the Premises. No activity shall be undertaken by the Company, its
employees, agents, licensees, invitees, contractors or subcontractors, on all or portion of the
Premises which would cause: (i) any portion of the Premises to become a hazardous waste
treatment, storage or disposal facility without receiving proper governmental authorization, and in
compliance with all applicable federal, state and local laws; or (ii) the discharge of pollutants or
effluents into any water source or system, or the discharge into the air of any emissions without
receiving proper governmental authorization, and in compliance with all applicable federal, state
and local laws, including, without limitation, the Federal Water Pollution Control Act, U.S.C.
Section 1251 et sea. and the Clean Air Act, 42 U.S.C. Section 7401 et sea.
8. Taxes and Other Assessments The Company will reimburse PDF when due for all real
estate taxes and assessments levied or assessed upon the Premises at any time during the term
hereof, within fifteen (15) days of receipt of invoice therefor. The Company will pay when due, all
other taxes or assessments arising out of the Company's use or occupancy of the Premises which
may become a lien against the Premises and indemnify and save harmless PDF therefrom.
9. Insurance and Indemnification
(a) The Company, at its expense, will carry "all -risk" (including fire, extended coverage
and boiler) insurance upon the Premises at all times during the Lease Term. Such insurance shall
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be in an amount equal to the full replacement value of the Building and Improvements and shall
contain a mortgage clause in favor of PDF and PDF's financing institution.
(b) The Company will maintain and provide, at its own expense, during the term hereof,
public liability insurance, including personal injury and property damage liability, in the amount of
One Million Dollars ($1,000,000) Combined Single Limit naming PDF as an additional insured.
(c) Upon written request of PDF the Company shall supply a certificate, satisfactory to
PDF, evidencing the insurance required herein.
(d) The Company shall indemnify and hold harmless PDF for injury or damages arising
from the Company's use and occupancy of the Premises during the term hereof or incurred by reason
of the negligent acts or omissions of the Company, its agents or employees, except to the extent such
claims of injury or damages shall be caused by the negligent acts or omissions of PDF, its agents,
or employees.
10. Damage or Destruction of Premises If any part of the Premises shall be damaged or
destroyed by fire, the elements or other casualty, the Company shall proceed forthwith and thereafter
diligently cause such damage to be repaired and shall restore the Premises to a like condition as
when the Company took possession, excluding any Company improvements (not included in
Exhibit "B" but instead constructed according to Section 2), ordinary wear and tear excepted. PDF
shall release insurance proceeds payable to PDF for such purpose. In lieu of the foregoing,
however, if the Premises or Improvements be substantially damaged or destroyed and repairs or
replacement thereof cannot reasonably be accomplished within 180 days after the occurrence
thereof, the Company shall have the right to terminate its' lease obligations upon written notice to
PDF, and rent shall be paid to the time the Company surrenders possession of the Premises. In the
event of such termination, all proceeds of insurance required to be carried by Company under
Article 9(a) shall be paid to PDF.
11. Default If the Company shall default in the payment of any rent due hereunder after ten
(10) days written notice, or in the performance of any of the terms and conditions hereof, and shall
fail to correct and rectify any such default within thirty (30) days from the receipt of written notice
thereof in the event of a default other than payment of rent from PDF, or if the Company shall be
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adjudicated bankrupt or make any assignment for benefit of creditors, or if the interest of the
Company herein shall be sold under execution, or other legal process, PDF may enter the Premises,
and again have and repossess the same, and shall thereupon have the right to cancel this Agreement,
without prejudice to the right of PDF to recover all rent and other amounts payable under this
Agreement. In case of any such default and entry, PDF shall use its best efforts to relet the Premises
during all or a portion of the remainder of the term hereof for a reasonable rent and may recover
from the Company any deficiency between such amount and the rent herein reserved and all
reasonable costs and expenses of such reletting. If PDF shall breach any of the covenants, terms or
conditions required to be performed by it under this Agreement and shall fail to correct and rectify
such breach or undertake and diligently pursue action to correct and rectify such breach within thirty
(30) days from the receipt of written notice thereof from the Company, the Company may cure such
breach and recover from PDF all costs and expenses involved in curing such breach, including
attorney's fees and court costs.
12. Attorney's Fees In the event of litigation arising from this Agreement or the performance
of failure to perform of the terms and conditions contained herein, the prevailing party shall be paid,
in addition to any other damages to which it may be entitled, its reasonable attorney's fees incurred
in such litigation.
13. Assignment and Subletting With the prior approval of PDF, which approval shall not be
unreasonably withheld, the Company may sublet all or part of the Premises or assign its lease at any
time during the term thereof. Notwithstanding the foregoing, without the proper approval of PDF,
the Company may assign its lease at any time during the term hereof to a subsidiary or affiliated
company of the Company, or any entity which purchases from the Company, or otherwise becomes
the successor to the Company of, the business being conducted on the Premises; provided, however,
that if the purchasing entity has a net worth of less than five million dollars, the Company will
remain primarily liable under this Agreement.
14. Purchase If the Company is not in default hereunder upon the expiration of the Lease
Term, the Company may upon its written notice to PDF of its election to do so given to PDF prior
to the expiration of the Lease Term, purchase the Premises with payment to PDF of Seven Hundred
Thousand Dollars ($700,000):
IS►AI
(a) Upon timely receipt of such notice from the Company, PDF shall deliver to the
Company a general warranty deed, in substantially the same form as attached Exhibit "D ",
transferring to the Company title to the Premises in fee simple free and clear of all liens and
encumbrances of any nature except those caused by or resulting from the acts or defaults of the
Company, easements for utility services, taxes not yet due and payable, restrictions, conditions and
reservations contained in the Deed of Release described in Section 1(b), and those contained in
Exhibit "D ".
(b) The Company may, at its cost and expense, cause a reputable title company to issue
a title insurance policy to the Company, or its designee, insuring that the deed is recorded and title
is in the condition set forth in paragraph 14(a) above. Should the Company be unable to obtain such
a policy or a commitment to issue such a policy, then PDF shall be obligated to remove any liens,
encumbrances or encroachments, except those set forth in Section 14(a) above so that such
commitment and /or title insurance policy will be issued.
15. Eminent Domain - Condemnation If the Premises or any part thereof which adversely
impacts the Company's use of the Premises in a material way shall be appropriated and taken for any
public use by virtue of eminent domain or condemnation proceedings, the Company shall have the
right to terminate this Lease upon written notice to PDF, and rent shall be paid to the time when the
Company surrenders possession of the Premises, or in the event of partial appropriation, the
Company may elect to continue in possession of that part of Premises not so appropriated or
impaired under the same terms and conditions hereof, except that the Company shall be entitled to
an equitable reduction in the rent payable hereunder. If eminent domain or condemnation
proceedings shall involve the taking of any leasehold improvements and alterations to the Premises
made by the Company, the Company shall share in the award received by PDF to the extent that
such award shall include the taking or impairment of such leasehold improvements and alterations
to the Premises.
16. Waiver of Breach Waiver of the breach of any of the covenants, terms and conditions of
this Agreement by either party shall be limited to the particular instance and shall not be deemed
as a waiver of any other breaches of such terms and conditions subsequent thereto. Acceptance of
rent by PDF shall not constitute a waiver of any then existing breach by the Company.
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17. Holding Over In the event that the Company shall hold over and retain possession of the
Premises after the end of the Lease Term, but not exercise its option to purchase, thereafter the
tenancy shall be from month to month, at a monthly rental equal to the last month's rent payable
hereunder in the absence of a written agreement to the contrary.
18. Signs and Advertising The Company shall have the right, subject to PDF's approval which
shall not be unreasonably withheld, to use the Premises for advertising purposes and the display of
advertising signs. All of said signs and advertising displayed in and about the Premises shall be such
only as advertise the business of the Company and shall conform to pertinent local laws and
regulations.
19. Early Occupancy PDF hereby grants to the Company the right, prior to the
Commencement Date of the Lease Term, to enter upon the Premises at reasonable times, with prior
notice of PDF specifying the purpose and time of such entry, for the purpose of installing furniture,
furnishings, fixtures and equipment; provided that the Company shall not interfere with activities
of PDF in readying the Premises for occupancy or hinder or delay PDF's work.
20. Access to Premises PDF may enter upon the Premises at all reasonable times, during
normal business hours with prior notice to the Company, to examine the condition thereof and to
make necessary repairs at PDF's expense and to show the Premises to prospective purchasers,
lenders, or tenants, but such right shall not be exercised in a manner to interfere unreasonably with
the business of the Company.
21. Quiet Enjoyment If Tenant shall perform all and singular the covenants and obligations
herein imposed, PDF will warrant and defend the Company in the enjoyment and peaceful
possession of the Premises during the Lease Term hereof.
22. Successors to Parties The covenants, conditions and agreements of the parties hereto are
declared binding on and shall inure to the benefit of their respective successors and assigns and if
required, the Company's approved assigns.
In
23. Notice Any notice to be given by either party hereto to the other party under any of the
provisions of this Agreement shall be sent, with adequate postage affixed, by registered or certified
mail, addressed to the Company as follows:
Lan Technologies, Inc.
9 Crobsy Drive
Bedford, MA 01730
or to PDF as follows:
Pueblo Development Foundation
P.O. Box 1663
Pueblo, CO 81002
as the case may be, or to such other place as the parties may from time to time direct in writing.
Notice so sent shall be deemed received upon three business days after deposit in the U.S. mail.
24. Construction of the Improvements The Building shall be remodeled and /or modified in
accordance with the approved plans and specifications initialed by the parties hereto and described
in Exhibit "B ", attached hereto (subject to possible minor deviations therefrom which the Company
accepts in writing), as they may be modified as hereinafter provided. As soon as practicably
possible, PDF shall secure all building permits and governmental permits and approvals necessary
for the Building remodeling described in the approved plans and specifications as described in
Exhibit "B ". The costs of all permits shall be included in the total construction costs. Thereafter,
PDF, at its sole expense, shall proceed diligently with the remodeling and /or modification of the
Building in accordance with the approved plans and specifications in Exhibit "B" and all applicable
governmental permits and approvals and all applicable laws, ordinances, regulations and court
orders. PDF shall complete the Building and it shall be ready for occupancy by the Company in two
phases (i) Phase I, the portion of the Building necessary for Company's manufacturing of its 3' /z -inch
disk product, not later than July 31, 1994 and (ii) Phase 2, the balance thereof, not later than August
31, 1994, or as such dates may be extended by force majeure or any delay caused by a change order
requested by the Company or early entry by Company pursuant to Section 19. Time is of the
essence. As used in this Agreement, the term "force majeure" shall mean strikes, lockouts or labor
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disputes, inability to obtain labor or materials or necessary government approvals or building
permits, war, fire, earthquake, flood, or other casualty or act of God, and court orders (provided the
court orders do not result from the conduct of the party claiming the delay) or other similar
conditions beyond PDF's reasonable control. PDF shall notify the Company in writing of any force
majeure event within three (3) business days after PDF becomes aware of such occurrence.
(a) Delay in Possession If for any reason PDF cannot deliver possession of the Premises
to the Company with the Building remodel completed as agreed herein by the times specified in
Section 24, PDF shall thereafter pay to the Company a Five Hundred Dollar ($500) sum per day
until PDF delivers possession of the Premises to the Company. The failure by PDF to deliver
possession of the Premises to the Company by the times specified in Section 24 shall not affect the
validity of this Agreement, or the obligation of the Company hereunder, but in such case the
Company shall not be obligated to pay rent or perform any other obligations of the Company under
the terms hereof until PDF delivers possession of Phase I of the Building, which date shall become
the Commencement Date of the Lease Term. If, for any reason other than force majeure or any
delay caused by a change order requested by the Company or early entry by Company pursuant to
Section 19, PDF does not deliver possession of Phase I of the Building to the Company by July 31, 4
k
1994, then the Company shall have the right, if it so elects, to terminate this Agreement and both
parties shall be released from all obligations hereunder.
PDF hereby agrees to hold the Company harmless from and against any liens filed in
connection with the Building (other than liens caused by the Company). PDF shall reimburse the
Company upon demand for any costs and expenses incurred in connection with any such lien,
including, without limitation, reasonable attorney's fees.
25. Completion and Delivery The Building shall be deemed completed and PDF deemed to
have delivered possession of the Premises to the Company when:
(a) The architect or engineer in charge of remodeling of the Building has prepared,
certified by his signature and delivered to PDF and the Company a written statement certifying that
Phase I of the Building remodel has been substantially completed in accordance with the approved
plans and specifications described in Exhibit "B ", the working drawings and any properly authorized
construction changes, and certifying the date of such completion;
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(b) A temporary or permanent certificate of occupancy for Phase I of the Building has
been issued; and
(c) The Company shall have accepted Phase I of the Building in writing.
PDF shall diligently complete any Punch -List items as soon as reasonably possible. "Punch-
list Items," as used herein, shall refer to minor, non structural repairs and /or minor, non structural
replacement of work not installed (i) in a workmanlike manner and /or (ii) in accordance with the
approved plans and specifications described in Exhibit "B ". "Minor, non structural repairs and
replacements" shall mean repairs and replacements that do not interfere with the occupancy of the
Building and Premises or use of the Building and Premises for their intended purposes. All "Punch
List" items must be completed by November 1, 1994, or PDF shall pay the Company a One Hundred
Dollar ($100) sum per day until completion.
PDF and the Company shall execute a Certificate of Commencement indicating the
Commencement Date of the term. The Company may not refuse to accept either Phase I or Phase
2 of the Building unless conditions therein prohibit the immediate use of same for the Company's
business. The Company will not unreasonably withhold or delay its acceptance. If the Company
occupies either Phase I or Phase 2 of the Building and commences manufacturing operations therein,
the Company will be deemed to have accepted that Phase of the Building.
Notwithstanding anything contained herein to the contrary, if, for any reason other than force
majeure or any delay caused by a change order requested by Company or early entry by Company
pursuant to Section 19, the conditions described in (a), (b) and (c) above have not occurred with
respect to Phase 2 of the Building by August 31, 1994, PDF shall pay to Company a Five Hundred
Dollar ($500) sum per day until such time as the conditions described in (a), (b) and (c) above have
occurred with respect to Phase 2 of the Building. The amounts payable by PDF to Company under
Sections 24 and 25 constitute liquidated damages and not a penalty in favor of the Company, the
parties having agreed to their reasonableness and that the Company's actual damages would be
impossible to calculate. Except for Company's right to terminate this Agreement pursuant to Section
24(a), the liquidated damages constitute Company's exclusive remedy, against PDF for any delay
occasioned by PDF's failure to timely complete the Building remodel.
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26. Tenant Requested Construction Changes The Company may, at any time, by a written
request signed by one of the Company's Change Representatives and delivered or mailed in
accordance with this Agreement to one of PDF's Change Representatives at PDF's address for
notices, make any change in the work within the general scope of construction contemplated by the
approved plans and specifications in Exhibit "B ", provided (a) a written change order specifying the
scope and cost of such work has been approved and signed by the Company, PDF, architect and
contract and (b) the cost of such work for all change orders shall not exceed Fifty Thousand Dollars
($50,000). The Company's Change Representatives will be Lan Nguyen who will be the only
representatives of the Company authorized to request construction changes.
Upon receipt of any change order issued pursuant to this Section, PDF shall immediately
proceed in accordance with the directions in the change order. PDF shall have the right to (i) require
the Company to pay, in addition to any other payments due under this Agreement, all of the increase
in construction costs caused by the change order as such changes are completed or (ii) increase thd'
Company's annual rent payable by T�, /�� q ti I ��pp �c�/i�a 4 ($ 107. P" I
for every One Thousand Dollars ($1,000) (pro -rated for amounts less than $1,000) of increases in
construction costs caused by the change and included in the approved change order.
If the Company shall have requested a construction change which is incorporated in an
approved change order and PDF elects to increase the annual rent, then within thirty (30) days after
the term commencement date, PDF and the Company shall execute an amendment to this Agreement
setting forth the rent payable, as adjusted pursuant to this Section.
Except as provided in this Section 26, no order, statement, or conduct of the Company's
Change Representative, or of any manager, inspector, engineer, architect, employee representative,
or consultant of the Company, shall be treated as a change order under this Section.
The time period specified above for the completion of the Building remodel shall be
extended, if absolutely required, by delays caused by approved change orders.
27. PDF's Requested Construction Changes PDF may, at any time and at PDF's expense, by
a written request signed by its Change Representative and delivered or mailed in accordance with
this Agreement to the Company's Change Representative at the Company's address for notices, make
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any change in the work within the general scope of the construction contemplated by the approved
plans and specifications in Exhibit "B" necessary to comply with law, to obtain required
governmental permits or approvals, or to complete the improvements in accordance with the
approved plans and specifications in Exhibit "B ", provided a written change order specifying the
scope of work and cost of such work has been approved and signed by the Company, PDF, architect
and contractor.
PDF's Change Representative will be Joseph A. Fortino, who will be the only representative
of PDF authorized to request construction changes
Except as provided in this Section 27, no order, statement of conduct of PDF's Change
Representative or of any manager, inspector, engineer, architect or other employee representative,
or consultant of PDF shall be treated as a change order request under this Section.
28. Airport Provisions The Company acknowledges that it and its use of the Premises are
subject to the covenants, restrictions and conditions set forth on the Warranty Deed attached hereto
as Exhibit "D ", and agrees to abide by and comply therewith the same as if they were specifically
incorporated herein.
29. Governing Law This Agreement shall be construed in accordance with and be governed
by the laws of the State of Colorado.
30. Complete Agreement This Agreement constitutes the entire agreement between the parties
hereto with respect to the subject matter hereof and supersedes all prior verbal or written
agreements, covenants, communications, understandings, commitments, representations or
warranties by any party hereto or any of its representatives pertaining to such subject matter.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the
date first above written.
PUEBLO DEVELOPMENT FOUNDATION LAN TECHNOLOGIES, INC.
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P ff-- " , -
Its 1- 11121 t�le� 1 -1 1 1 -1111
m
Its
m
Its Its
A parcel of land located within the County of Pueblo, Stat_&
of Colorado to -wit:
A parcel of land described in that document filed for record
November 20, 1989 in Book 2468 at Page 379 which reads as
Follows.
A parcel of land located in the 141 12 of the SE114 of Section
26, Township 20 South, Range 64 West of the 6th Principal
Meridian, said parcel being more particularly described as
Follows:
Beginnin,l at d point from which the Northeast corner of said
Section 26 burs N 18 -01 -14 E (bearings based on the North
line o1 said Section 26 to bear N 89 -10 -48 W), a distance of
2,824.05 feet; thence S 01 -57 -57 E, a distance of 513.64
feet; thence: S 88 -02 -3 W, a distance of 419.03 feet; thence
N 01 -57 -57 W, a distance of 513.64 fuut; thenca
N 88 -02 -03 E, a distance of 419.03 fuvt to the Point of
Beginning.
Except and Less the Northerly fifteen (15) feet of said parcel
Said parcel contains 4.80 acres, more or less.
EXHIBIT "A" _.
"EXHIBIT B"
Below is a list of documents being prepared by Hurtig, Gardner, Froelich, Architects, Inc. which
describe the 51,500 sf manufacturing building to be remodeled by the Pueblo Development
Foundation for Lan -Tech Corporation.
PART I
1. Project Manual (Specifications)
Dated: In Progress
Title: Pueblo Development Foundation
Lan -Tech Building
145 William White Boulevard
Pueblo, Colorado
2. Drawings: In Progress
PART II (CHANGE ORDER #1)
3. Project manual (Specifications)
Dated: In Progress
Title: Pueblo Development Foundation
Lan -Tech Building
145 William White Boulevard
Pueblo, Colorado
4. Drawings: In Progress
Company and PDF agree to inspect, approve or reject all plans and specifications within five (5)
calendar days after completed by Hurtig, Gardner, Froelich, Architects, I 'ailure of either
party to inspect,approve or reject any plan or specification within such 6oj-d3alperiod shall
constitute acceptance thereof by such party.
s �1
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EXHIBIT "C"
RENTSCHEDULE
Months 1 -6: *
Months 7 -126:
Actual Total Cost:
Subsidized Cost:
Diligent Charge:
$0.00
Subsidized cost of construction of Improvements amortized at an annual rate
of over 120' onths but in no event to exceed $10,000.00 per month.
jqf 1' ' Definitions
The total cost to construct the Improvements in accordance with the plans and
specifications described in Exhibit "B" determined from billings submitted
by the contractor and architect.
Actual Total Cost less $940,000 from the City and less $200,000 from the
State.
Company will be obligated to reimburse PDF for any late loan penalty charge
resulting from any late rent payments by Company.
*It is the parties' intent that Company shall receive 6 months free rent from the time that PDF
delivers possession of Phase I of the Building to Company.
WARRANTY DEED
THIS DEED, made this day of , 1994 by and between Pueblo, a
Municipal Corporation (herein "City ") and Pueblo Development Foundation, a Colorado nonprofit
corporation (herein "Company "), WITNESSETH:
That City for and in consideration of the sum of $10.00 and other good and valuable
consideration to City in hand paid by the Company, the receipt whereof is hereby confessed and
acknowledged, has granted, bargained, sold and conveyed, and by these presents does grant, bargain,
sell, convey and confirm unto the Company, its successors and assigns forever, all the real property
situate, lying and being at Pueblo Memorial Airport, County of Pueblo, State of Colorado, more
particularly described in Exhibit "A" attached hereto and incorporated herein (herein "Property),
with all its appurtenances, and warrant the title to the same, subject to restrictions and reservations
of record and to the following covenants, conditions, and restrictions which are and shall be
construed to be covenants running with the land described herein and binding upon the Company,
its successors and assigns and inuring to the benefit of the City, its successors and assigns.
1. City reserves unto itself and its successors and assigns, for use and benefit of the
public, a right of flight for the passage of aircraft in the airspace above the surface of the Property,
together with the right to cause in the airspace above the surface of the Property such noise as may
be inherent in the operation of any aircraft now known or hereafter used for navigation of or flight
in said airspace, and for use of the airspace above the surface of the Property for landing on, taking
off from, or operation on or over the Pueblo Memorial Airport.
2. Company expressly agrees for itself, its successors and assigns to restrict the height
of structures, objects of natural growth and other obstructions on the Property, to a height of not
EXHIBIT "D"
more than 4,710 feet above the mean sea level.
3. Company expressly agrees for itself, its successors and assigns, that it will prevent
any use of the Property which would interfere with landing or taking off of aircraft at the Pueblo
Memorial Airport, or otherwise constitute an airport hazard. In the event this covenant is breached,
City reserves the right to enter upon the Property at the expense of the Company to remove the
offending structure or object and to cut the offending growth.
4. The Property and its use are further subject to the following Restrictive Covenants:
(a) The Property may be used only for industrial and manufacturing facilities and
incidental office and warehouse uses. The Property shall not be used for smelting or plating
operations, or for the storage or processing of putreseible materials, or for any purpose or business
which constitutes a nuisance, or which exceeds the state air pollution control standards for the
facility. Gasoline or diesel fuel used in connection with the business conducted on the Property but
not for sale at retail or wholesale may be stored on the Property in an environmentally sound manner.
(b) Outdoor storage shall not be permitted except for storage of equipment used
in the facility. Parking areas for vehicles and roads on the Property shall be paved.
(c) The Property shall not be subdivided and no building or structure over sixty
(60) feet in height shall be installed or constructed on the Property.
(d) No structure or building shall be constructed or installed nearer than thirty -
five (35) feet of the right -of -way line of Eaton Place or sixty -five (65) feet of the right of way line
of William White Boulevard or twenty -five (25) feet of side or rear of other streets. There must be
installed and maintained a minimum twenty -five (25) foot strip of living landscaped ground along
the front of the Property adjacent to Eaton Place, thirty -five (35) foot adjacent to William White
Boulevard and twenty -five (25) feet adjacent to other abutting streets. Minimum side yards set-
backs shall be twenty -five (25) feet.
(e) Company shall keep and maintain the Property and all buildings, landscaping
and improvements located thereon in a good, clean, safe and orderly condition free of waste, rubbish,
debris and trash, and enclose and screen from public view all outside storage and unsightly areas of
the Property.
(f) Company shall comply with notifications and review requirements of the
Federal Aviation Administration prior to the construction, modification or alteration of any building
or structure on the Property.
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or structure on the Property.
(g) Company shall, at its own expense, cause all utilities and roads used or to be
used on the Property to be extended from adjacent streets, installed on the Property, and kept and
maintained in good order and condition.
(h) Company shall pay to City a combined service fee for services and facilities
now furnished by City at the Pueblo Memorial Airport, namely: public street maintenance, fire
protection, and street lighting based upon $295.00 per acre per annum payable monthly for each acre
of land conveyed to Company hereunder. City may, from time to time, reduce or eliminate any or
all of the services or facilities presently being furnished and may modify, increase, or decrease the
annual combined service fee provided (i) such services and fee shall be non - discriminatory among
other tenants and owners of land at Pueblo Memorial Airport receiving such services and facilities,
and (ii) such fee shall be reasonable in relation to City's actual cost and expense of furnishing the
services and. facilities then being furnished. City's cost may include the cost of capital
improvements amortized over the useful life of the, improvements. Domestic waste water
discharged from the Property is transported to and treated at City's waste water treatment facilities,
Company and the waste water so transported and treated are subject to the same restrictions,
limitations, conditions, fees, and charges as other users of City's sanitary sewer system and facilities.
Company shall only discharge domestic waste water into the City's sanitary sewer system.
(i) Company shall provide for storm water drainage which shall include the
construction and installation of storm water detention facilities on the Property. The detention
facility shall be capable of storing the developed on -site runoff from a 100 -year frequency storm.
The maximum release rate from the detention facility at the ponding depth corresponding to the 10-
year volume shall be .30 cfs /acre and 1.00 cfs /acre for the 100 -year ponding depth. All calculations
and details shall conform with the City of Pueblo Storm Drainage Criteria Manual. The point of
discharge from the detention facility shall be at a location approved by the Director of Public Works.
0) Before commencing the construction, installation or alteration of any
building, structure, parking facility, outdoor sign, or other permanent improvement, or landscaping
on the Property, the Company shall submit to and have approved by the City in writing the site plans
and plans and specifications therefor. City's approval will not be unreasonably withheld. In the
event the City or its designated representatives shall fail to approve or disapprove such plans and
specifications within twenty -five (25) working days after they have been submitted to the City, such
approval will not be required and this covenant will be deemed to have been complied with. All
buildings constructed on the Property will be architecturally and aesthetically compatible with
buildings constructed at the Pueblo Memorial Airport industrial park since 1985. Company shall
use its best efforts to assure that all buildings, improvements and activities on the Property shall be
constructed and conducted in compliance with all applicable federal, state and local law, regulations,
and codes.
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F
(k) City reserves the right to waive all or any part of these Restrictive Covenants.
5. At the request of City, Company shall meet and in good faith confer with City
concerning the annexation of the Property to the City when the Pueblo Memorial Airport, or any
part thereof, including without limitation, the Property becomes eligible for annexation.
6. Invalidation of any one of the foregoing covenants, conditions, restrictions or
reservations by judgment or court order or otherwise shall not affect any of the other of said
covenants, reservations, restrictions or conditions which shall remain in full force and effect.
7. City shall have the right to enforce the restrictions, covenants and conditions hereof
by injunction or other lawful procedure and to recover damages, costs, expenses, including
reasonable attorney fees, resulting from any violation thereof or arising out of their enforcement.
[S E A L] PUEBLO DEVELOPMENT FOUNDATION
ATTEST:
By
President
Secretary
[SEAL]
ATTEST:
City Clerk
COUNTY OF PUEBLO )
) ss.
STATE OF COLORADO )
PUEBLO, A MUNICIPAL CORPORATION
By
President of the City Council
The foregoing instrument was acknowledged before me this
19_ by as President and
of Pueblo Development Foundation, a Colorado nonprofit corporation.
Witness my hand and official seal.
day of
as Secretary
-4-
My commission expires:
[SEAL]
COUNTY OF PUEBLO )
) ss.
STATE OF COLORADO )
19
Notary Public
The foregoing instrument was acknowledged before me this day of ,
by as President of the City Council of Pueblo, Colorado and
as City Clerk of the City of Pueblo, Colorado.
Witness my hand and official seal.
My commission expires:
[SEAL]
Notary Public
-5-
J
DEED OF RELEASE
This instrument, a Deed of Release, made by the •United•States
of America, acting by and through the Federal Aviation
Administration, under and pursuant to the powers and authority
contained in the provisions of Public Law 81 -311 (63 Stat. 700),
as amended, to the City of Pueblo, a body politic under the laws
of the State of Colorado, Witnesseth
c�
WHEREAS,
w,
0
The United States of America, acting by and through the War
Assets Administrator, under and pursuant to Reorganization Plan One-
of 1947 (12 Fed. Reg. 4534) and the powers and authority contained
T in the provisions of the Surplus Property Act of 1944, as amended,
by instrument entitled "Quitclaim Deed," dated July 20, 1948, and
recorded in Pueblo County, Colorado, in book 1074, page 87, did
C) surrender, transfer, remise, release, quitclaim and convey to the
ID City of Pueblo, Colorado, airport facilities commonly known and
designated. as Public Memorial Airport, subject to certain
conditions, reservations, exceptions, and restrictions; and,
a�
?? WHEREAS,
The City has requested the FAA to execute a Agreement of
Release, whereby it would release the said described property from
all the reservations, restrictions, and conditions as set forth in
the said Agreement; and
WHEREAS,
The City intends to dispose of said land free and clear of the
reservations, restrictions, and conditions and receive other
valuable consideration therefor.
NOW THEREFORE,
1 For and in consideration of the above - expressed recitals and
a of the benefits to accrue to the United States and to civil
aviation, the United States of America upon inclusion by the City
•,; of Pueblo, Colorado, in the Instrument of Transfer conveying title
to the hereinafter described real property of provisions as
�. follows:
(1) That the City of Pueblo, Colorado, reserves unto itself,
its successors and assigns, for the use and benefit of the
public a right of flight for the passage of aircraft in the
airspace above the surface of the real property hereinafter
described, together with the right to cause in said airspace
such noise as may be inherent in the operation of aircraft,
now known or hereafter used, for navigation of flight in the
said airspace, and for use of said airspace for landing on,
taking off from'or operating on Pueblo Memorial Airport,
EXHIBIT "D -1"
r
Book: 2674 Page: 878 Chris C. Munoz
Page: 2 of 3 Pueblo Co.C1k. &Rec.
2
(2) That the Grantee expressly agrees for itself, its
successors and assigns to restrict the height of structures,
objects of natural growth and other obstructions on the
hereinafter described real property to a height of not more
than 4,710 feet above sea level,
(3) That the Grantee expressly agrees for itself, its
successors and assigns to prevent any use of the hereinafter
described real property which would interfere with landing or
taking off of aircraft at the Pueblo Memorial Airport, or
otherwise constitute an airport hazard,
hereby releases the said real property from the conditions,
reservations and restrictions as contained in the above - mentioned
Instrument of Transfer from the United states of America to the
City of Pueblo, Colorado, dated July 20, 1948, which real property
is described as follows:
A parcel of land located within the County of Pueblo,
State of Colorado, to wit:
A parcel of land being a portion of the NW1 /4 of the SW1 /4 of
Section 30, Township 20 South, Range 63 West and a portion of
the NE1 /4 of the SE1 /4 of Section 25, Township 20 South, Range
64 West of the Sixth Principal Meridian, being more
particularly described as follows:
Beginning at a point from which the NW corner of said Section
30 bears N 07 27 W (Bearings based on the north line of
said Section 30 to bear N 89 59' 27" E, with all bearings
contained herein being relative thereto),' a distance of
2713.62 feet; thence S 01 31' 26" E, a distance of 400.27
feet; thence S 88 27' 57" W, a distance of 895.66 feet;
thence N 01 31' 26" W, a distance of 400.16 feet; thence N
88° 27' 39" E, a distance of 895.66 feet to the Point of
Beginning. Said parcel contains 8.23 acres, more or less.
j .
Book: 2674 Page: 879 Chris C. Munoz
Page: 3 of 3 Pueblo Co.C1k.&Rec.
By its acceptance of this Deed of Release the City of Pueblo,
Colorado, covenants and agrees for itself, its successors and
assigns, to comply with and observe all of the conditions and
limitations hereof, which are expressly limited to the above -
described real property.
IN WITNESS WHEREOF the United States of America has caused this
Deed of Release to be executed as of the 10th day of
February 19 93
UNITED STATES OF AMERICA
By
Accepted:
City of Pueblo, Colorado
B �
Y
(Ti le)
Acting Manager, �firports Div . on
Northwest Mountain Region
Federal Aviation Administra ion
STATE OF WASHINGTON
County of King
On this 10th day of February , 1993, before me
personally appeared Matthew J. Cavanuagh TO BE KNOWN
TO BE THE PERSON DESCRIBED IN AND WHO EXECUTED THE FOREGOING
INSTRUMENT AND ACKNOWLEDGED THAT HE EXECUTED THE SAME AS HIS FREE ACT
AND DEED. I
NOT Q,, State of Washington
M,,-%VVK ioh expires:
3- 10 - 95 -
O••.4y���/ ti
/ / ►hllrrrer