Agreement of Purchase and Sale (2005)Full Document 

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AGREEMENT OF PURCHASE AND SALE

 

BY AND BETWEEN

 

FARLEY WHITE ASSOCIATES, LLC

(“SELLER”)

 

AND

 

WELLS FUND XIV - 150 APOLLO DRIVE, LLC

 

(“PURCHASER”)

 

May 16, 2005

 

    Property:   150 Apollo Drive
        Chelmsford, Massachusetts


TABLE OF CONTENTS

 

            Page

ARTICLE I. Incorporation of Recitals    2

1.1.

     Incorporation of Recitals    2
ARTICLE II. Purchase and Sale    2

2.1.

     Purchase and Sale    2
ARTICLE III. Purchase Price    2

3.1.

     Purchase Price    2
ARTICLE IV. Deposit    2

4.1.

     Deposit    2

4.2.

     Application of Deposit    3

4.3.

     Escrow Agent    3
ARTICLE V. Prorations and Closing Costs    3

5.1.

     Prorations    3

5.1.1.

     Collected Rents and Income    3

5.1.2.

     Taxes    4

5.1.3.

     Operating Costs    4

5.1.4.

     Tenant Improvement Allowance    4

5.2.

     Closing Costs    4
ARTICLE VI. Purchaser’s Right of Inspection; Avaya Interview Period    5

6.1.

     Purchaser’s Right of Inspection    5

6.2.

     Intentionally Deleted    6

6.3.

     Due Diligence Materials    6

6.4.

     Continued Right to Access    7

6.5.

     As-Is, Where Is    7
ARTICLE VII. Title, Survey, Cooperation with Purchaser    8

7.1.

     Title    8

7.2.

     Commitment    9

7.3.

     Survey    9

7.4.

     Title and Survey Defects    9

7.5.

     Affidavits    10
ARTICLE VIII. Representations and Warranties of Seller    11

8.1.

     Authority    11

8.2.

     Legal Action Against Seller    11

8.3.

     Bankruptcy or Debt of Seller    11

8.4.

     Compliance with Existing Law    11

8.5.

     Condemnation    11

8.6.

     [Intentionally Omitted]    11

8.7.

     Asbestos, PCBs, Hazardous Materials    12

8.7.1.

     Representations and Warranties    12

 

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8.7.2.

     Definitions    12

8.8.

     Avaya Lease    12

8.9.

     Leasing/Brokerage Commissions    12

8.10.

     [Intentionally Omitted]    13

8.11.

     Contracts    13

8.12.

     Insurance    13

8.13.

     [Intentionally Omitted]    13

8.14.

     [Intentionally Omitted]    13

8.15.

     Foreign Person    13

8.16.

     [Intentionally Omitted]    13

8.17.

     Employees    13

8.18.

     Third Party Rights    13

8.19.

     Compliance with Anti-Terrorism, Embargo, Sanctions and Anti-Money Laundering Laws    13

8.20.

     Knowledge    13

8.21.

     Seller’s Representations and Warranties Deemed Modified    14

8.22.

     Survival    14
ARTICLE IX. Representations and Warranties of Purchaser    15

9.1.

     Authority    15

9.2.

     Legal Action Against Purchaser    15

9.3.

     Bankruptcy or Debt of Purchaser    15

9.4

     Binding on Purchaser    15

9.5.

     Compliance with Anti-Terrorism, Embargo, Sanctions and Anti-Money Laundering Laws    15

9.6.

     Knowledge    15

9.7

     Survival    16
ARTICLE X. Covenants of Seller    16

10.1.

     Operation and Maintenance of the Property    16

10.2.

     Leases    16

10.3.

     Contracts    16

10.4.

     Insurance    16

10.5.

     Notice to Purchaser    16
ARTICLE XI. Conditions Precedent    17

11.1.

     Covenants    17

11.2.

     Representations and Warranties    17

11.3.

     Title    17

11.4.

     Condition of the Property    17

11.5.

     [Intentionally Omitted]    17

11.6.

     Title Insurance    17

11.7.

     [Intentionally Omitted]    17

11.8.

     No Material Change    17

11.9.

     Avaya Lease    17

 

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ARTICLE XII. Closing    18

12.1.

     Closing and Closing Date    18

12.2.

     Seller’s Closing Deliveries    18

12.2.1.

     Possession    18

12.2.2.

     Deed    18

12.2.3.

     Bill of Sale    18

12.2.4.

     Assignment and Assumption Agreement re: Contracts    18

12.2.5.

     Assignment and Assumption Agreement re: Leases and Security Deposits    18

12.2.6.

     Funding by Seller of Avaya Allowance    18

12.2.7.

     [Intentionally Omitted]    18

12.2.8.

     Contracts    19

12.2.9.

     Intentionally Deleted    19

12.2.10.

     Intentionally Deleted    19

12.2.11.

     Keys    19

12.2.12.

     Reaffirmation of Representations and Warranties    19

12.2.13.

     FIRPTA Certificate    19

12.2.14.

     [Intentionally Omitted]    19

12.2.15.

     Owner’s Affidavit, etc.    19

12.2.16.

     Settlement Statement    19

12.2.16.

     Evidence of Authority of Seller    19

12.2.18.

     Tenant Notification Letters    19

12.2.19.

     1099-B Certification    19

12.2.20.

     Payment to Real Estate Brokers    19

12.2.21.

     Termination of Management Contracts    20

12.2.22.

     Further Assurances    20

12.3.

     Purchaser’s Closing Deliveries    20

12.3.1.

     Purchase Price    20

12.3.2.

     Bill of Sale    20

12.3.3.

     Assignment and Assumption Agreements    20

12.3.4.

     Settlement Statement    20

12.3.5.

     Further Assurances    20

12.4.

     Seller’s Post-Closing Deliveries    20
ARTICLE XIII. Risk of Loss and Condemnation    20

13.1.

     Risk of Loss    20

13.2.

     Condemnation    21
ARTICLE XIV. Default    21

14.1.

     Purchaser’s Default    21

14.2.

     Seller’s Default    21
ARTICLE XV. Broker    22
ARTICLE XVI. Miscellaneous    23

16.1.

     Notices    23

16.2.

     Governing Law    24

16.3.

     Headings    24

 

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16.4.

     Business Days    24

16.5.

     Counterpart Copies    24

16.6.

     Binding Effect    24

16.7.

     Assignment    24

16.8.

     Interpretation    24

16.9.

     Entire Agreement    24

16.10.

     Severability    25

16.11.

     Confidentiality    25

16.12.

     [Intentionally Omitted]    25

16.13.

     Agreement Not to Market    26

16.14.

     Limitation of Liability    26

16.15.

     Prevailing Party    26

16.16.

     No Agreement Until Execution and Delivery    26

16.17.

     Time of the Essence    26

16.18.

     Recording    26

16.19.

     Headings    26

16.20.

     Survival    26

16.21.

     Use of Proceeds to Clear Title    27

16.22.

     Governing Law    27

16.23.

     Like-Kind Exchange    27
ARTICLE XVII. Escrow Agent Provisions    27

17.1.

     Duties and Responsibilities of Escrow Agent    27

17.2.

     Liabilities of Escrow Agent    28

17.3.

     Expenses of Escrow Agent    29

 

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Exhibit A.    Legal Description    A-1
Exhibit B.    Schedule of Due Diligence Materials    B-1
Exhibit C.    Form of Deed    C-1
Exhibit D.    Form of Bill of Sale    D-1
Exhibit E.    Schedule of Environmental Reports    E-1
Exhibit F.    Form of Assignment and Assumption Agreement re: Contracts    F-1
Exhibit G.    Form of Assignment and Assumption Agreement re: Leases and Security Deposits    G-1
Exhibit H.    Form of Avaya Estoppel    H-1
Exhibit I.    Form of Certificate Regarding Representations and Warranties    I-1
Exhibit J.    Form of FIRPTA Affidavit    J-1
Exhibit K.    Schedule of Existing Operating Contracts    K-1

 

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AGREEMENT OF PURCHASE AND SALE

 

THIS AGREEMENT OF PURCHASE AND SALE (the “Agreement”) is made and entered into as of the 16th day of May, 2005 (the “Effective Date”), by and between FARLEY WHITE ASSOCIATES, LLC, a Massachusetts limited liability company having an address of 155 Federal Street, Suite 1200, Boston, MA 02110 (hereinafter referred to as “Seller”) and WELLS FUND XIV - 150 APOLLO DRIVE, LLC, a Delaware partnership, having an address of c/o Wells Capital, Inc., 6200 The Corners Parkway, Suite 2500, Atlanta, Georgia 30092 (together with its successors and assigns, hereinafter referred to as “Purchaser”).

 

R E C I T A L S

 

Seller desires to sell and Purchaser desires to purchase on the terms hereinafter provided (a) certain land commonly known as 150 Apollo Drive in Chelmsford, Massachusetts, more particularly described in Exhibit A attached hereto and incorporated herein by this reference, together with all easements, licenses, covenants, interests, and other rights appurtenant thereto, including, without limitation, all mineral, oil and gas rights on or under such land, all development rights, land use rights, air rights, and rights of way appurtenant thereto, and all right, title and interest of Seller in and to any land lying in the bed of any street, road, avenue or alley, open or closed, in front of, abutting or adjoining said land and to the center line thereof (collectively, the “Land”), (b) all buildings and improvements located on said land (collectively, the “Improvements”) (which Land and Improvements are sometimes referred to herein collectively as the “Real Property”), and (c) the following tangible and intangible property:

 

(i) all right, title and interest of Seller in and to all furniture, fixtures, equipment, machines, supplies and other personal property of every nature and description and all replacements thereof, which are now, or may hereafter prior to the Closing Date (as herein defined) be placed on, in or attached to the Real Property, or used in connection with the management, operation, maintenance or repair of the Real Property (collectively, the “Personalty”);

 

(ii) all right, title and interest of Seller (to the extent assignable) in and to the licenses, permits, approvals, guaranties, certificates of occupancy and other approvals of every nature and description issued in connection with the operation of all or any part of the Real Property or necessary to operate the Real Property as it is presently being operated (collectively, the “Permits”); and

 

(iii) all right, title and interest of Seller (to the extent assignable), in and to any plans and specifications, surveys, manuals, title inspections, studies and reports with respect to the Real Property, together with Seller’s right, title and interest in and to all transferable guaranties, warranties, contracts, lease agreements, utility contracts or other rights relating to the ownership, use or operation of the Real Property (collectively, the “Intangibles”).

 

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The Land, Real Property, the Personalty, the Permits and the Intangibles are collectively referred to herein as the “Property.”

 

NOW, THEREFORE, for and in consideration of the recitals, the mutual promises hereinafter set forth, the payment by Purchaser to Seller of Ten and 00/100 Dollars ($10.00) and of other good and valuable consideration, the receipt, sufficiency and delivery of which are hereby acknowledged, the Seller and Purchaser hereby agree as follows:

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