Exhibit 10.142
Execution Original
909 CHESTNUT
REAL ESTATE SALE CONTRACT
The mailing, delivery or negotiation of this
Contract by Seller or its agents or attorneys shall not be deemed
an offer by Seller to enter into any transaction or to enter into
any other relationship, whether on the terms contained herein or on
any other terms. This Contract shall not be binding upon Seller,
nor shall Seller have any obligations or liabilities or Purchaser
any rights with respect thereto, or with respect to the Property,
unless and until Seller has executed and delivered this Contract.
Until such execution and delivery of this Contract, Seller may
terminate all negotiation and discussion of the subject matter
hereof, without cause and for any reason, with recourse or
liability.
ARTICLE 1: GENERAL
PROVISIONS
1.1
Contract . Subject to the terms and conditions of this
Real Estate Sale Contract (this “ Contract ”),
SOUTHWESTERN BELL TELEPHONE, L.P., a Texas limited partnership
(collectively “ Seller ”) agrees to sell to
INLAND REAL ESTATE ACQUISITIONS, INC., an Illinois corporation or
its nominee permitted under Section 11.1 below (“
Purchaser ”), and Purchaser agrees to purchase from
Seller, that certain high rise office tower, underground parking
and related improvements located at 909 Chestnut Street, St. Louis,
Missouri, consisting of the following (collectively, the “
Property ”): (i) the real property described on
Exhibit A attached hereto, together with all improvements
(the “Improvements”) located thereon (collectively, the
“ Real Property ”); and (ii) all of
Seller’s right, title and interest in and to fixtures, which
are used in the operation of the Improvements (collectively, the
“ Fixtures ”), including, without limitation,
all affixed heating, ventilation and air conditioning equipment,
and fire sprinklers, but excluding (x) any personal property used
by Seller or any other occupant of the Improvements or the Property
in the operation of its business, and (y) any trademarks, trade
names or other intellectual property, including, without
limitation, the AT&T name and any variant thereof.
1.2
Purchase Price
: The total purchase price to be
paid to Seller by Purchaser for the Property shall be TWO HUNDRED
FOUR MILLION NINE HUNDRED THOUSAND AND NO/100 DOLLARS
($204,900,000.00) (the “ Purchase Price ”)
. The Purchase Price shall be paid to Seller at Closing,
plus or minus prorations and other adjustments hereunder, including
all Earnest Money (hereinafter defined) credited against the
Purchase Price by federal wire transfer of immediately available
funds.
1.2.1 Lease Back : During the Review Period, Seller and Purchaser
shall negotiate in good faith to finalize the terms of a lease for
the Property whereby Seller shall leaseback the entire Property for
a primary lease term of Ten (10) years nine (9) months and lease
payments of One Million Two Hundred Twenty-Six Thousand Two Hundred
Ninety-Three Dollars ($1,226,293.00) per month and Fourteen Million
Seven Hundred Fifteen Thousand Five Hundred Sixteen Dollars
($14,715,516.00) per annum for the first year, with annual
increases of two percent (2%) per year thereafter.
1.3
Title Company and Escrow
Agent : The Title Company
and Escrow Agent for this transaction shall be First American Title
Insurance Company, 1401 South Brentwood Boulevard, Suite 300, Saint
Louis, Missouri, 63144, Attn: Nanci Napoli, Phone: (314)
785-6202.
1.4
Effective Date
: This Contract is executed as of
November 3, 2006 (the “ Effective Date
”).
1.5
Inspection Period
: The “ Inspection
Period ” is the period beginning on the Effective Date
and ending at 5:00 p.m. Central Standard Time on November 30,
2006,.
1.6
Closing Date
: The “ Closing Date
” shall be on the later of (i) five (5) days following
the MPSC Approvals per Section 1.13 hereof (or such days fewer than
five so that the Closing occurs by December 29, 2006); or (ii) five
(5) business days after expiration of the Inspection Period; or
(iii) on such other date or place as may be mutually agreed to in
writing by Seller and Purchaser. Provided, however, that
notwithstanding the foregoing, if the Closing has not occurred by
Friday, December 29, 2006, then Seller may terminate this Contract
and thereupon the Escrow Agent shall return the Earnest Money to
Purchaser, the same as if MPSC Approvals had not been obtained, it
being the intention of the parties that the sale and leaseback as
contemplated by this Contract shall occur, if at all, before the
end of calendar year 2006.
1.7
Deposit of Earnest
Money . Within two
business days after the Effective Date, Purchaser shall deposit
Five Million Dollars ($5,000,000) in immediately available funds
(such amount the “ Earnest Money ”) with Escrow
Agent, evidencing Purchaser’s good faith to perform
Purchaser’s obligations under this Contract. If Purchaser
fails to timely deposit the Earnest Money with the Escrow Agent,
this Contract shall terminate and be of no force and effect. The
Escrow Agent shall hold and disburse the Earnest Money in
accordance with the terms and provisions of this Contract. If the
Closing under this Contract occurs, the Escrow Agent shall deliver
the Earnest Money into the closing escrow with Title Company, to be
applied against the Purchase Price. All interest earned on the
Earnest Money shall in all events be the money of Purchaser,
regardless of the ultimate disposition of the Earnest Money and
shall be paid to Purchaser upon written request of
Purchaser.
1.8
AT&T Lease
. Provided the parties have fully
and finally negotiated the terms of the lease, at the Closing,
Purchaser, as landlord, shall enter into a lease agreement (the
“ AT&T Lease ”) with AT&T Services,
Inc., which AT&T Lease shall be in the form agreed to by the
parties as evidenced by their execution thereof. The execution and
delivery of the AT&T Lease by the parties is a condition
precedent to the closing hereunder. If the parties have not agreed
upon the terms of the AT&T Lease and finalized the same by the
end of the Inspection Period then either party may terminate this
Contract upon written notice to the other prior to the expiration
of the Inspection Period.
1.9
Skywalks . At Closing, Purchaser and Seller shall enter
into an easement agreement in form and substance mutually agreeable
to the parties, that establishes easement rights in and to the
existing skywalks that connect 909 Chestnut to the adjoining Data
Center and Central Office Building owned by Seller and/or related
Seller entities (the “Skywalk Easement”). The
execution, delivery and recordation of the Skywalk Easement is a
condition precedent to the closing hereunder.
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1.10 Rooftop Rights . At Closing, Purchaser and Seller shall enter
into a perpetual easement agreement in form and substance mutually
agreeable to the parties, that establishes sole and exclusive
easement rights in favor of Seller in and to all of the rooftop
areas of the Improvements, together with 24 hour, seven day a week
access for Seller and Seller’s designees to and from such
rooftop areas (the “Rooftop Easement”). The execution,
delivery and recordation of the Rooftop Easement is a condition
precedent to the closing hereunder.
1.11 Blanket Technology Easement
. At Closing, Purchaser and Seller
shall enter into a perpetual easement agreement in form and
substance mutually agreeable to the parties, that grants to Seller
a blanket easement on, under and through those portions of the
Property as presently exists (including the existing risers and
chase from the basement to the rooftop of the Property) or as
Seller may in the future determine are necessary, in Seller’s
sole discretion, for such wiring, conduit, connections, cabling and
any and all such other technology or operating system needs of the
Data Center and Central Office Building of AT&T located
adjacent to the Property so that those two buildings continue to
have the same connectivity, functionality and operations through
the Property as would exist if Seller had continued to own the
Property (the “Blanket Easement”). The execution,
delivery and recordation of the Blanket Easement is a condition
precedent to the closing hereunder.
1.12 Seller Approval . Seller’s obligations under this Contract
are conditioned on Seller obtaining such approvals as Seller deems
necessary from the Board of Directors (or a committee of such Board
) of AT&T, Inc. with respect to this Contract and the
transactions contemplated herein. If Seller does not receive the
necessary approvals, Seller may terminate this Contract by written
notice to Purchaser given prior to the Closing Date.
1.13 Missouri Public Service Commission
Approval . It is further
understood and agreed that this Contract and Seller’s
obligations to close hereunder are contingent upon Seller obtaining
the approval of this Contract and the conveyance provided for
herein upon terms and conditions acceptable to Seller in its sole
and exclusive discretion, from the Missouri Public Service
Commission (hereinafter the “MPSC”) in accordance with
the Missouri Revised Statutes and regulations adopted pursuant
thereto, without appeal therefrom (collectively, the “MPSC
Approvals”). Seller agrees at its own cost and expense to
diligently prepare and submit an application requesting the MPSC
Approvals promptly following the date of this Contract and to
diligently pursue the MPSC Approvals. Seller shall have no
obligation to appeal any adverse MPSC decision, or to defend any
appeal from any favorable decision. In the event that Seller does
not obtain the MPSC Approvals upon terms and conditions acceptable
to Seller in its sole and exclusive discretion by December 23,
2006, then Seller shall give notice to Purchaser to that effect and
thereafter upon written request of Purchaser the Title Company
shall return to Purchaser the Earnest Money together with interest
accrued thereon, whereupon this Contract and all rights of
Purchaser hereunder shall terminate (except for those provisions
which specifically survive termination) and Seller shall have no
further obligations to Purchaser hereunder.
1.14 Trade Fixtures and Equipment
. Purchaser acknowledges that Seller
is currently conducting its telecommunications business and other
related operations at the Property. All trade fixtures, equipment,
furniture, furnishings, appliances, supplies, records, documents
and other items of moveable personal property relating to the
operation of Seller’s
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business that may be situated upon
the Property (including, without limitation, signage, computer
hardware, racking, such wiring as Seller may chose to remove,
alarms and security equipment, telecommunication and technology
equipment and infrastructure and all proprietary equipment and
systems) are hereby excluded from the Improvements to be conveyed
hereunder and shall remain the property of Seller or AT&T
Services, Inc., as the tenant under the AT&T Lease.
1.15 Termination for Convenience.
In addition to any other provision
in this Contract permitting Seller to terminate the Contract,
Seller may also terminate this Contract upon written notice to
Purchaser at any time prior to the Closing Date for the convenience
of Seller, provided that Seller in the event of any termination by
Seller of this Contract, whether for convenience or as otherwise
permitted hereunder, shall in such event reimburse Purchaser for
all of its then reasonable and customary third party expenses
incurred in performing due diligence on the Property. Seller shall
make such reimbursement within thirty (30) business days of being
presented with copies of all third party invoices and billings for
such third party due diligence services and expenses, together with
such other supporting or back-up documentation as Seller may
reasonably request. In the event Seller disputes any third party
due diligence expense included in Purchaser’s request for
reimbursement then Seller shall reimburse Purchaser for all
nondisputed due diligence expenses and the parties shall resolve
any disputed due diligence expenses by binding
mediation.
ARTICLE 2:
INSPECTION
2.1
Property Information
. Seller shall deliver or make
available to Purchaser the following, to the extent in
Seller’s possession or control (the “ Property
Information ”), within five days after the Effective
Date:
2.1.1 Environmental Reports . Existing third party environmental reports or
site assessments related to the Property to be delivered to
Purchaser by Seller;
2.1.2 Tax Statements . Copies of most recent ad valorem tax
statements relating to the Property, together with the latest
assessment information; and
2.1.3 Contracts and Leases . Copies of any and all management, service,
supply, equipment rental and other contracts related to the
operation of the Property which would survive the terms of the
AT&T Lease, as well as a copy of the existing first floor
leases for tenants who will become subtenants under the AT&T
Lease, as provided therein.
Except as otherwise expressly
provided herein, Seller makes no representations or warranties as
to the accuracy or completeness of the Property Information. The
Property Information and all other information, other than matters
of public record, furnished to, or obtained through inspection of
the Property by, Purchaser, its affiliates, lenders, employees or
agents relating to the Property, will be treated by Purchaser, its
affiliates, lenders, employees and agents as confidential, and will
not be disclosed to anyone other than on a need-to-know basis to
Purchaser’s consultants who agree to maintain the
confidentiality of such information, and will be returned to Seller
by Purchaser if the Closing does not occur.
2.2
Inspections
. Commencing on the Effective Date,
at its sole cost and expense, upon reasonable prior notice to
Seller, Purchaser shall have reasonable access during
normal
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business hours to the Property and
conducting inspections and tests, including surveys and
architectural, engineering, geotechnical and environmental
inspections and tests, provided that i) such inspections shall be
at such times and subject to and under such terms, conditions and
requirements as Seller may impose in its sole discretion; ii) shall
exclude any areas deemed by Seller as being secret areas into which
Purchaser may not enter due to confidential or proprietary matters;
and iii) no photography, video or other recording may be taken of
any part of the interior of the building without the prior written
consent of Seller, which consent may be granted or denied in
Seller’s sole discretion. Before any such entry, Purchaser
shall provide Seller with a certificate of insurance naming Seller
as an additional insured and with an insurer and insurance limits
(minimum $5 million) and coverage reasonably satisfactory to
Seller. Purchaser shall not disturb Seller’s business
operations on the Property. In connection with its due diligence
investigations, Purchaser or Purchaser’s representatives may
meet with or contact building officials and governmental
authorities, parties to Service Contracts and other agreements, the
property management personnel, and a walk through of the Property;
provided that Seller shall be given a reasonable opportunity to
participate in any of the foregoing. Purchaser may only enter and
inspect the interior of the Improvements when accompanied by a
representative of Seller. Purchaser may not perform any invasive
testing or drilling without the consent of Seller which consent
will not be unreasonably withheld. In conducting any inspections or
tests of the Property, Purchaser shall keep the Property free and
clear of any liens arising from work performed on behalf of
Purchaser. Purchaser shall restore the Property to substantially
the same condition as existed prior to the tests and inspections,
and shall defend, indemnify and hold Seller harmless from and
against any claims and liabilities asserted against Seller arising
out of Purchaser’s inspections; provided, however, the
indemnity shall not extend to claims or liabilities arising out of
the discovery of any existing environmental condition except to the
extent such condition is made worse by Purchaser’s negligence
or willful misconduct. This indemnity shall survive the Closing and
any termination of this Contract. Within five days after
Seller’s request, Purchaser shall provide Seller with a copy
of the results of any tests and inspections made by or for
Purchaser, excluding only market and economic feasibility studies
(the “ Purchaser’s Reports
”).
2.3
Absolute Termination
Right . Purchaser shall
have through the last day of the Inspection Period in which to
examine, inspect, and investigate the Property and, in
Purchaser’s sole and absolute judgment and discretion,
determine whether the Property is acceptable to Purchaser.
Notwithstanding anything to the contrary in this Contract,
Purchaser may terminate this Contract for any reason or no reason,
by giving written notice of termination to Seller and Escrow Agent
(the “ Inspection Termination Notice ”) on or
before the last day of the Inspection Period. If Purchaser does not
give an Inspection Termination Notice, this Contract shall continue
in full force and effect, Purchaser shall be deemed to have waived
its right to terminate this Contract pursuant to this Section
2.3, and the Earnest Money shall become non-refundable except
as expressly provided herein.
2.4
Purchaser’s Reliance on its
Investigations . To the
maximum extent permitted by applicable law and except for
Seller’s representations and warranties in Section 8.1
and the warranties of title in the deed delivered at the Closing
(“ Seller’s Warranties ”), this sale is
made and will be made without representation, covenant, or warranty
of any kind (whether express, implied, or, to the maximum extent
permitted by applicable law, statutory) by Seller. As a material
part of the consideration for this Contract, Purchaser agrees to
accept the Property on an
5
“As is” and “Where
is” basis, with all faults and any and all latent and patent
defects, and without any representation or warranty, all of which
Seller hereby disclaims, except for Seller’s Warranties.
Except for Seller’s Warranties, no warranty or representation
is made by Seller as to (a) fitness for any particular purpose, (b)
merchantability, (c) design, (d) quality, (e) condition, (f)
operation or income, (g) compliance with drawings or
specifications, (h) absence of defects, (i) absence of hazardous or
toxic substances, (j) absence of faults, (k) flooding, or (l)
compliance with laws and regulations including, without limitation,
those relating to health, safety, and the environment. Purchaser
acknowledges that Purchaser has entered into this Contract with the
intention of making and relying upon its own investigation of the
physical, environmental, economic use, compliance, and legal
condition of the Property and that Purchaser is not now relying,
and will not later rely, upon any representations and warranties
made by Seller or anyone acting or claiming to act, by, through or
under or on Seller’s behalf concerning the Property, except
for Seller’s Warranties.
Consistent with the foregoing and
subject solely to the Seller’s Warranties, effective as of
the Closing Date, Purchaser, for itself and its agents, affiliates,
successors and assigns, hereby releases, covenants not to sue, and
forever discharges Seller, its agents, affiliates, subsidiaries,
successors and assigns (collectively the “ releasees
”) from any and all rights, claims and demands at law or in
equity, whether known or unknown at the time of this Contract,
which Purchaser has or may have in the future, arising out of the
physical, environmental, economic or legal condition of the
Property, including, without limitation, all claims in tort or
contract and any claim for indemnification or contribution arising
under the Comprehensive Environmental Response, Compensation, and
Liability Act (42 U.S.C. Section 9601, et seq.) or any similar
federal, state or local statute, rule or regulation. Purchaser,
upon Closing, shall be deemed to have waived, relinquished and
released Seller and all other releasees from and against any and
all matters affecting the Property.
The provisions of this Section
2.4 shall survive indefinitely any closing or termination of
this Contract and shall not be merged into the closing
documents.
ARTICLE 3: TITLE REVIEW AND
APPROVAL
3.1
Title Review
. Purchaser acknowledges its receipt
of a current preliminary title report or commitment (such report or
commitment, as it may be amended, supplemented and updated, the
“ Preliminary Title Report ”) issued by the
Title Company, together with legible copies of all documents of
record referred to in the Preliminary Title Report as exceptions to
title to the Property. Upon execution of this Contract by the
parties, Seller shall direct Title Company to revise the commitment
to name Purchaser’s acquisition entity as the named insured
in the amount of the Purchase Price. Seller shall obtain, at
Seller’s expense, a current ALTA survey (“
Survey ”) of the Property during the Inspection Period
certified to Purchaser, Title Company and any other party as
Purchaser may direct. During the Inspection Period, Purchaser shall
review title to the Property as disclosed by the Preliminary Title
Report and the Survey. Seller shall remove or cause the title
company to insure over at Closing any monetary lien for a
determinable sum. Seller may cause the Title Company to insure over
mechanics liens for unpaid labor and materials relating to the
Repair Contracts (defined below). With respect to any other title
exceptions, Seller shall have no obligation to remove such
exceptions. The term “ Permitted Exceptions ”
means those specific exceptions in the Preliminary Title Report as
of the
6
end of the Inspection Period other
than those that Seller is required to remove, any real estate taxes
not yet due and payable, zoning ordinances and regulations and
other laws or regulations governing use or enjoyment of the
Property, the Rooftop, Skywalk and Blanket Easements, and the
AT&T Lease, and the current first floor subtenants under lease,
as applicable.
3.2
Title Policy Condition
. Purchaser shall not be obligated
to close this transaction unless, upon the sole condition of
payment of the premium, at Closing, the Title Company is willing to
issue to Purchaser an owner’s policy of title insurance,
dated as of the date and time of the recording of the Deed, with
extended coverage, in the amount of the Purchase Price, insuring
Purchaser that title to the Property is vested of record in
Purchaser on the Closing Date, subject only to the Permitted
Exceptions, the printed conditions and exceptions of such policy
other than the standard exceptions deleted by extended coverage and
any other title exceptions accepted or deemed accepted by Purchaser
but including the following endorsements: 3.1 zoning; subdivision;
utility facility, tax parcel number; access; and contiguity (the
“ Title Policy ”). The agreement of the Title
Company to issue such endorsements will be a condition to
Purchaser’s obligation to close, but the failure of the Title
Company to issue such endorsement will not be deemed a default by
Seller hereunder.
3.3
Owner’s
Affidavit . At the
Closing, Seller shall execute and deliver to the Escrow Agent an
ALTA statement in customary form, a standard gap indemnity, and any
other document or undertaking required to cure or remove the
exceptions to title that Seller is obligated to remove pursuant to
Section 3.1 .
3.4
Leasehold Policy
. Seller shall also request, at
Seller’s sole cost and expense, that the Title Company
provide Seller at Closing with a simultaneous leasehold title
commitment issued by the Title Company under which the Title
Company will agree at Closing to issue an ALTA Leasehold Policy of
Title Insurance in the amount of the Purchase Price insuring
Seller’s leasehold interest under the Lease, subject only to
the Permitted Exceptions and Purchaser’s acquisition
financing.
3.5
SNDA . Purchaser will provide Seller at Closing with
a Subordination, Non-Disturbance and Attornment Agreement (in
substantially the form attached as an exhibit to the Lease between
the parties) from the holders of all such mortgages, deeds of
trust, liens or other encumbrances arising from the acquisition
financing.
ARTICLE 4:
COVENANTS
4.1
Operation of Property; Ongoing
Repairs and Maintenance .
From the Effective Date through the Closing, Seller shall operate
and manage the Property in substantially the same manner in which
it is being operated as of the Effective Date.
4.2
New Contracts
. From the Effective Date through
the Closing, Seller will not enter into or amend any contract that
will be an obligation affecting the Property subsequent to the
Closing, except contracts entered into in the ordinary course of
business that do not have a term extending beyond the end of the
terms of the AT&T Lease.
4.3
Estoppel Certificate
. [Intentionally
Deleted]
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4.4
Maintenance of
Insurance . From the
Effective Date through the Closing, Seller shall continue to carry
its existing insurance on the Improvements.
4.5
Permits and
Encumbrances . From the
Effective Date through the Closing, without the prior written
consent of Purchaser, which shall not be unreasonably withheld or
delayed, Seller shall not encumber the Property or create or modify
any exceptions to title to the Property, or initiate or consent to
any action with respect to zoning or other Property entitlements or
permits.
ARTICLE 5: CONDITIONS AND
REMEDIES
5.1
Conditions
. The obligation of Seller, on the
one hand, and Purchaser, on the other hand, to consummate the
transactions contemplated hereunder shall be subject to the
following conditions:
5.1.1 Representations and Warranties
. The other party’s
representations and warranties contained herein shall be true and
correct in all material respects as of the respective dates made
and re-made (subject to Section 10.3.2 below);
5.1.2 Covenants . As of the Closing Date, the other party shall
have performed its material covenants and obligations
hereunder;
5.1.3 Proceedings . There shall exist no pending or threatened
action, suit or proceeding with respect to the other party before
or by any court or administrative agency which seeks to restrain or
prohibit, or to obtain damages or a discovery order with respect
to, this Contract or the consummation of the transactions
contemplated hereby; and
5.1.4 Other . Any other condition set forth in this Contract
to such party’s obligation to close is not satisfied by the
applicable date and time.
5.2
Effect of Failure of
Condition . So long as a
party is not in default hereunder, if any condition benefiting such
party has not been satisfied as of the Closing Date or other
applicable date, such party may, in its sole discretion: (i)
terminate this Contract by delivering written notice to the other
party on or before the Closing Date or other applicable date, in
which event the Earnest Money shall be returned to Purchaser
(unless Purchaser is in default hereunder), (ii) extend the time
available for the satisfaction of such condition by up to a total
of 10 business days, but not past December 29, 2006, or (iii) elect
to close, notwithstanding the non satisfaction of such condition,
and therefore waive satisfaction of such condition. If such party
elects to proceed pursuant to clause (ii) above, and such condition
remains unsatisfied after the end of such extension period, then,
at such time, such party may proceed pursuant to either clause (i)
or (iii) above.
ARTICLE 6: CLOSING
6.1
Closing . The consummation of the transaction
contemplated herein (“ Closing ”) shall occur on
the Closing Date through the usual form of deed and money escrow,
which the parties shall establish with Escrow Agent. Counsel for
the respective parties may provide closing escrow instructions to
the Title Company. In the event of any conflict between
the
8
escrow instructions and the
provisions of this Contract, as between the parties, the provisions
of this Contract shall control. All conditions to Closing must be
met and the Purchase Price paid to Seller by wire transfer from the
Escrow Agent prior to 1:00 p.m. Central Standard Time on the
Closing Date.
6.2
Seller’s Deliveries in
Escrow . On the Closing
Date, Seller shall deliver in escrow to Escrow Agent the
following:
6.2.1 Deed . Special Warranty Deed (the “Deed”)
executed by Seller conveying the Property to Purchaser in the form
attached to this Contract as Exhibit B subject to no
exceptions other than the Permitted Exceptions;
6.2.2 Evidence of Authority . If required by the Title Company, an affidavit
signed on behalf of Seller as of the Closing Date, so as to
evidence the authority of the person signing the Deed and other
documents to be executed by Seller at Closing
6.2.3 Foreign Person . An affidavit of Seller certifying that Seller
is not a “foreign person” as defined in the federal
Foreign Investment in Property Tax Act of 1980;
6.2.4 Owner’s Affidavit . An executed affidavit or other document
acceptable to the Title Company in issuing the owner’s title
policy without exception for possible lien claims of mechanics,
laborers and materialmen and without exception for parties in
possession, except for the rights of the tenant under the AT&T
Lease and the first floor subtenants;
6.2.5 Easements . An executed original of each of the Section
1.9 (Skywalk), 1.10 (Rooftop) and 1.11 (Technology)
easements;
6.2.6 AT&T Lease . Two (2) originals of the AT&T Lease
executed by AT&T Services, Inc. as the tenant thereunder;
and
6.2.7 Other Documentation . Such other documents as may be reasonable and
necessary in the opinion of the Title Company to consummate and
close the purchase and sale contemplated herein pursuant to the
terms and provisions of this Contract.
6.3
Purchaser’s Deliveries in
Escrow . On the Closing
Date, Purchaser shall deliver in escrow to Escrow Agent the
following:
6.3.1 Purchase Price . The Purchase Price, less the Earnest Money
that is applied to the Purchase Price, plus or minus applicable
prorations, in immediate, same-day U.S. federal funds wired for
credit into Escrow Agent’s escrow account;
6.3.2 Evidence of Authority . Such consents and authorizations as the Title
Company may reasonably deem necessary to evidence authorization of
Purchaser for the purchase of the Property, the execution and
delivery of any documents required in connection with Closing and
the taking of all action to be taken by the Purchaser in connection
with Closing;
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6.3.3 Lease . Two (2) originals of the AT&T Lease
executed by Purchaser or Purchaser’s acquisition entity, as
landlord;
6.3.4 Easements . An executed original of each of the Section
1.9 (Skywalk), 1.10 (Rooftop) and 1.11 (Technology) easements as
described therein; and
6.3.5 Other Documentation . Such other documents as may be reasonable and
necessary in the opinion of the Title Company to consummate and
close the purchase and sale contemplated herein pursuant to the
terms and provisions of this Contract.
6.4
Closing Statements
. As of or prior to the Closing
Date, Seller and Purchaser shall deposit with Escrow Agent executed
closing statements consistent with this Contract in the form
required by Escrow Agent.
6.5
Possession
. Seller shall deliver possession of
the Property to Purchaser at the Closing, subject to the AT&T
Lease and the first floor subtenants.
6.6
Proration . There shall be no prorations of taxes,
utilities or other charges since Seller is leasing back the
Property at Closing pursuant to the Lease.
6.7
Closing Expenses
. Seller shall pay, on the Closing
Date, the cost of the survey, the base premium cost for
Purchaser’s Title Policy and all title search fees or
commitment fees, one-half (1/2) of any escrow fees and other
customary Closing charges of the Title Company and the cost for
Seller’s leasehold title policy. Purchaser shall pay, on the
Closing Date, all recording costs and the balance of any escrow
fees and other customary Closing charges of the Title Company, the
premium cost of all requested endorsements for the Title Policy,
including any extended coverage or other endorsements set out in
Section 3.2 hereof or otherwise desired by Purchaser. Each party
shall pay its own attorneys’ fees.
ARTICLE 7: PRORATIONS AND
ADJUSTMENTS
7.1
Prorations
. Real estate taxes and assessments,
charges under Service Contracts, and utility charges will not be
prorated at Closing. At Closing Seller will cause the tenant under
the AT&T Lease to pay, or Purchaser shall be credited, for
“Base Rent” payable under the AT&T Lease from and
including the date of Closing through and including the last day of
the calendar month in which the Closing occurs. Seller shall
continue to be responsible as set forth in the AT&T Lease after
Closing for real estate taxes and assessments, charges under
Service Contracts, and utility charges which accrue before Closing;
provided that Seller’s obligation for real estate taxes
accrued through the date of Closing shall be adjusted between
Seller and the tenant under the AT&T Lease as set forth therein
and real estate taxes shall thereafter be paid and settled as
provided in the AT&T Lease.
7.2
Transfer Taxes
. [Intentionally Deleted]
7.3
Sales Commissions
. Seller and Purchaser represent
and warrant each to the other that they have not dealt with any
real estate broker, sales person or finder in connection with this
transaction other than CB Richard Ellis/Brian Scott (NYC office),
on behalf of Seller (the “Broker”). The Broker is an
independent contractor and is not authorized to make any
agreement
10
or representation on behalf of
Seller. Seller shall pay the Broker in accordance with its separate
agreement with the Broker. Subject to the foregoing sentence, in
the event of any claim for broker’s or finder’s fees or
commissions in connection with the negotiation, execution or
consummation of this Contract or the transactions contemplated
hereby, each party shall defend, indemnify and hold harmless the
other party from and against any such claim based upon any
sta