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Purchase and Sale Agreement

 

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Title:

Purchase and Sale Agreement

Entities:

Midlantic Office Trust, Inc.

Date:

2005

Size:

Preview shows 9KB of 101KB total

Price:

$54

ID:

#1505065

 

 

► Purchase & Sale ► Purchase & Sale Agreements

 

 

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                                                            Buildings A, B and C

Paradise/Sudley North Business Park
Manassas, Prince William County, Virginia

PURCHASE AND SALE AGREEMENT

by and between

SUDLEY NORTH BUILDINGS A, B & C, LLC

a Delaware Limited Liability Company

as Seller

and

MIDLANTIC PARTNERSHIP, LP

a Delaware Limited Partnership

or its nominee

as Purchaser

<PAGE>

PURCHASE AND SALE AGREEMENT

1. PARTIES.

This Purchase and Sale Agreement (this "CONTRACT" or "AGREEMENT") is
made between SUDLEY NORTH BUILDINGS A, B & C, LLC, a Delaware limited liability
company ("SELLER"), and MIDLANTIC PARTNERSHIP, LP, a Delaware limited
partnership or its nominee ("PURCHASER") as of July 21, 2005 (the "EFFECTIVE
DATE").

2. PROPERTY.

On the terms and conditions stated in this Contract, Seller hereby agrees
to sell to Purchaser and Purchaser hereby agrees to purchase from Seller all of
the following described property (collectively, the "PROPERTY"):

2.1 LAND. Seller's fee interest in and to all of that certain tract
of land situated at Buildings A, B and C, Paradise/Sudley North Business
Park, Manassas, Prince William County, Virginia, and described more
particularly in EXHIBIT A attached hereto and incorporated herein by
reference, together with all of Seller's right, title and interest
appurtenant to such land, including, without limitation, all of Seller's
right, title and interest, if any, in and to (i) all minerals, oil, gas,
and other hydrocarbon substances thereon, (ii) all adjacent strips,
streets, roads, alleys and rights-of-way, public or private, open or
proposed pertaining thereto, (iii) all easements, privileges, and
hereditaments pertaining thereto, whether or not of record, and (iv) all
access, air, water, riparian, development, and utility, and solar rights
pertaining thereto (collectively, the "LAND").

2.2 IMPROVEMENTS. The office buildings and all other improvements
and structures constructed on the Land (collectively, the "IMPROVEMENTS").
The Land and Improvements are referred to herein as the "REAL PROPERTY."

2.3 PERSONAL PROPERTY. All of Seller's right, title and interest, if
any, in the following additional property ("PERSONAL PROPERTY"):

2.3.1. TANGIBLE PROPERTY.

(i) mechanical systems, fixtures and equipment comprising a
part of or attached to or located upon the Improvements,

(ii) maintenance equipment and tools owned by Seller, located
on the Land and used exclusively in connection with the Improvements,

(iii) site plans, surveys, plans and specifications, marketing
materials and floor plans in Seller's possession which relate exclusively to the
Real Property,


<PAGE>

(iv) all signs, supplies, appliances, security systems,
decorations, furniture, furnishings, machinery, landscaping and other tangible
personal property owned by Seller, located at and/or used in connection with the
leasing, management, operation, maintenance and/or repair of the Property,

(v) pylons and other signs located on the Land, and

(vi) other tangible property of every kind and character owned
by Seller and located in or on the Real Property (collectively, the "TANGIBLE
PROPERTY").

2.3.2. LEASE RIGHTS. Leases and rental agreements with tenants
occupying space in the Improvements (the "LEASES"), and any guaranties or other
security applicable thereto and all security deposits, advance rental, or like
payments, if any, held by Seller in connection with the Leases.

2.3.3. OTHER CONTRACT RIGHTS. To the extent assignable or
transferable, only the contracts or agreements as set forth on the Certification
of Operating Contracts (collectively, the "CONTRACT RIGHTS") related to the Real
Property, Tangible Property or Leases (other than insurance policies),
including, without limitation, Seller's interest in all management, employment,
maintenance, construction, commission, architectural, parking,
telecommunication, supply or service contracts, warranties, guarantees and bonds
and other agreements related to the Improvements, Tangible Property, or Leases
(collectively, the "OPERATING CONTRACTS") and that Purchaser elects to assume by
delivery of written notice to Seller of Purchaser's Contract Assumption Notice
as set forth in Exhibit "D" within ten (10) days of the receipt of the
Assumption Approval as set forth in Section 9.1(a) below.

2.3.4. PERMITS. To the extent assignable or transferable, all
permits, licenses, certificates of occupancy, and governmental approvals which
relate to the Real Property, Tangible Property, Leases, the Contract Rights or
the Operating Contracts (collectively, the "PERMITS" and any pending
applications thereon or the renewal thereof).

2.3.5. CLAIMS AND AWARDS. Any pending or future award made with
respect to condemnation of the Land or Improvements, any award or payment for
damage to the Real Property or claim or cause of action against third parties
for damage, injury or loss with respect to the ownership, maintenance and
operation of the Real Property.

2.3.6. BOOKS AND RECORDS. Any and all data, books and records
related to the Property and the operations of the Property, including without
limitation, clients and tenant lists, market reports, operations manuals,
service and warranty records, correspondence and property tax records.

2
<PAGE>

3. PURCHASE PRICE.

3.1 PAYMENT. The purchase price (the "PURCHASE PRICE") for the Property
will be the sum of Fourteen Million Eight Hundred Sixty Six Thousand Dollars
($14,866,000.00) The Purchase Price will be payable in accordance with Sections
4 and 9 hereof. The cash portion of the Purchase Price will be payable by wire
transfer of US Dollar funds immediately available at the Closing (hereinafter
defined).

4. CONSIDERATION.

4.1 DEPOSIT NOTE AND TITLE COMPANY. Within three (3) business days after
the execution of this Contract by all parties hereto, Purchaser will deposit
with First American Title Insurance Company (the "TITLE COMPANY"), as earnest
money, a non interest bearing demand promissory note payable to Seller in the
amount of Seven Hundred Forty Three Thousand Three Hundred Dollars ($743,300.00)
representing five percent (5%) of the Purchase Price (the "Deposit Note").

4.1 (a) The Purchase Price, plus or minus other adjustments
required under this Agreement, shall be paid at Closing by (i)
assumption of the existing loan which is secured by a mortgage on the
Property (the "EXISTING LOAN"), and (ii) the balance of the Purchase
Price, after crediting the principal balance and accrued interest of
the Existing Loan as of Closing, by wire transfer of funds in such
amount in accordance with the written instructions delivered by Seller
to Purchaser at least two (2) business days prior to Closing.

4.2 APPLICATION OF DEPOSIT NOTE. The Deposit Note shall be in the form of
Exhibit "B" attached hereto. The Deposit Note shall be cancelled (i) at
the time of Closing or (ii) upon the occurrence of a material default by
Seller or the failure of a condition precedent to Purchaser's obligation
to close hereunder. Upon the occurrence of a material default by Purchaser

 

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