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PROJECT AGREEMENT This Project Agreement (the "Agreement"), by and between The City of Carmel Redevelopment Commission ("CRG") and AMLI Residential Properties, L.P., a Delaware limited partnership (the "Developer"), executed as of the 2nd day of November, 1999, WITNESSES: Recitals WHEREAS, CRC owns the Residential Project Site, and intends for the Residential Project Site to be incorporated into the City Center as the real estate upon which multi-family residential apartment buildings and related facilities are constructed; WHEREAS, GRC intends to convey the Residential Project Site to a developer that will construct the Residential Project on the Residential Project Site; WHEREAS, CRG is required to comply with the Statute and conduct a public offering prior to any conveyance of the Residential Project Site; WHEREAS, in compliance with the Statute, GRG prepared the Notice of Sale, which Notice of Sale showed the Residential Project Site and an offering price not less than the average of two separate appraisals by independent appraisers; WHEREAS, in compliance with the Statute, the Notice of Sale: (a) was published twice in and , on , 1999, and , 1999; (b) stated that GRC would open and consider written offers for the purchase of the Residential Project Site at the Designated Time; and (c) stated the general location of the Residential Project Site, identified the Required Use, and required bidders to submit certain information, including, without limitation, all information required by the Statute; WHEREAS, in compliance with the Statute, and at the Designated Time, GRG opened and considered the bids that had been submitted, including, without limitation, the Development Proposal; WHEREAS, in compliance with the Statute, eRG accepted the Development Proposal, based upon a determination that the sale of the Residenthal Project Site to Developer, and the development of the Residential Project Site by Developer, will further the creation of the City Center and best serve the interest of the community, from the standpoint of both human and economic welfare; and WHEREAS, Developer desires to: (a) acquire the Residential Project Site from CRe; and (b) construct upon the Residential Project Site the Residential Project, as generally shown on the Residential Project Site Plan; Aareement NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are acknowledged hereby, CRC and Developer agree as follows: 1. Defined Terms. Adiacent Real Estate shall mean that certain real estate depicted on Exhibit A, and more particularly described on Exhibit A-1, attached hereto and incorporated herein by reference. Chanae Order shall mean a change order executed by CRC and Developer finalizing the inclusion into the Final Developer Plans of a change proposed in a Change Order Request by Developer that is approved by CRC; provided that, in the case of a Permitted Change, such change order shall be effective if executed only by Developer. o o '- Chance Order Reauest shall mean a written request for a change to the Final Developer Plans. '" Citv shall mean the City of Carmel, Indiana. Citv Center shall mean a redevelopment project on the City Center Project Site that will provide a balanced mixture of residential facilities, retail facilities, dining options, a corporate office campus, and public amenities. Citv Center Proiect Site shall mean that certain real estate depicted on Exhibit A, attached hereto and incorporated herein by reference. Closinc shall mean the closing with respect to the conveyance of the Residential Project Site to Developer. Closina Date shall mean the date of the Closing. Conditions for Development shall mean the conditions imposed by CRC on its offer of the Residential Project Site for sale and redevelopment, as set forth in the Notice of Sale, as the same have been or shall be amended by this Agreement. Construction Trade shall mean any trade or other discrete aspect of construction of the Residential Project. CRC Construction Plans shall mean the plans and specifications for completion of the CRC Site Work and construction of the CRC Improvements approved by Developer and set forth on Exhibit C, attached hereto and incorporated herein by reference; provided that: (a) such plans and specifications are subject to modification by CRC upon completion of: (i) the Mitigation Plan and the Mitigation Schedule; and (ii) the Final Developer Plans; so that CRC can coordinate completion of the CRC Site Work and construction of the CRC Improvements with mitigation of the Wetlands and construction of the Residential Project; and (b) all modifications to such plans and specifications shall be subject to the approval of Developer, which approval shall not be withheld or delayed unreasonably. CRC Construction Schedule shall mean the schedule for completion of the CRC Site Work and construction of the CRC Improvements approved by Developer and set forth on Exhibit 0, attached hereto and Incorporated herein by reference; provided that: (a) such schedule is subject to modification by CRC upon completion of: (i) the Mitigation Plan and the Mitigation Schedule; and (ii) the Final Developer Plans; so that CRC can coordinate completion of the CRC Site Work and construction of the CRC Improvements with mitigation of the Wetlands and construction of the Residential Project; and (b) all modifications to such schedule shall be subject to the approval of Developer, which approval shall not be withheld or delayed unreasonably. CRC Imorovements shall mean the infrastructure and site improvements described in the CRC Construction Plans. CRC Site Work shall mean that site work described in Exhibit B, attached hereto and incorporated herein by reference. Cure Period shall mean a period of 30 days after a party failing to perform or observe any term or condition of this Agreement to be performed or observed by it receives notice specifying the nature of the failure; provided that, if the failure is of such a nature that it cannot be remedied within 30 days, despite reasonably diligent efforts, then the 30 day period shall be extended as reasonably may be necessary for the defaulting party to remedy the failure, so long as the defaulting party commences to remedy the failure within the 30 day period, and diligently pursues such remedy to completion. Declaration shall mean that certain Declaration of Covenants and Cross-Easements with respect to the Residential Project Site; provided that Developer shall have the right to review and approve the Declaration, which approval shall not be withheld or delayed unreasonably. C:\WlNDOWS\TEMP\PROJECT AGREEMENT FOR APARTMENTS.V6.DOC -2- OlFebOO ,.~ U) o " Desionated Time shall mean July 13, 1999, at 5:30 p.m., local time. Desion Development Documents shall mean detailed design development documents that describe and establish systems, equipment, and finishes for the Residential Project, which documents shall be consistent in all material matters with the Residential Project Site Plan, the Development Guidelines, the Conditions for Development, the Development Proposal, and the Laws. Developer Construction Drawlnas shall mean construction drawings with respect to the construction of the Residential Project in accordance with the Design Development Documents, which drawings shall be consistent in all material matters with the Design Development Documents and the Developer Construction Schedule approved by CRC. Developer Construction Schedule shall mean a detailed schedule for construction of the Residential Project in accordance with the Final Developer Plans, which schedule shall reflect that Developer shall: (a) commence construction of the Residential Project within 60 days after the later of: (i) the issuance of all Transferable Permits and Required Permits; (ii) the Required Zoning has been obtained; or (iii) completion of the Final Developer Plans; provided that such schedule shall reflect that Developer shall commence and complete the Initial Site Work in accordance with the Initial Site Work Plans; (b) complete construction of the Residential Project by the date that is the earlier of: (i) _ months after Developer receives the Transferable Permits; or (ii) ; and (c) complete certain quantities of apartment units In accordance with the Unit Completion Timeline. Development Guidelines shall mean those guidelines for development of the Residential Project Site set forth on Exhibit E, attached hereto and incorporated herein by reference. Development Proposal shall mean that certain proposal, and all related materials, submitted by Developer to CRC, as the same has been or will be amended by this Agreement and the public offering described in Section 23, including, without limitation, the elevation renderings and descriptions attached hereto and incorporated herein by reference as Exhibit F. Due Dillaence Period shall mean a period commencing on the Execution Date and expiring on December 10,1999. Earnest Monev shall mean the amount of $200,000.00, which was deposited by Developer with CRC at the time that Developer submitted the Development Proposal. . Environmental Assessment shall mean the existing Phase One Environmental Assessment of the Residential Project Site, together with all wetlands delineation studies or reports with respect to the Residential Project Site. Escrow Closina shall mean a Closing into escrow, with the Title Insurer as the escrow agent. Execution Date shall mean the date on which this Agreement is executed. Final Documents and Drawinas shall mean final schematic design drawings, final design development documents, the final construction schedule, and final construction drawings, as each is finalized and approved or reviewed by CRC pursuant to Section 11. Final Developer Plans shall mean the aggregated Final Documents and Drawings. Force Maieure shall mean: (a) an act or omission of the other party; or (b) any other cause that is not within the reasonable control of such party, including, without limitation: (i) any act of God, any fire, explosion, or other casualty; (ii) inclement weather; (iii) war (declared or undeclared) or police action; (iv) restraint by or of C:\WINDOWS\"l'EMP\PROJECT AGREEMENT FOR APARTMENTS.V6.DOC -3- 01 FebOO o o <: governmental, civil or military authorities; (v) riot or insurrection; (vi) sabotage; (vii) the unavailability of materials, equipment, services, or labor, so long as such unavailability does not result from the act or omission of the party claiming Force Majeure; (viii) strike, lockout, or other industrial or labor disturbance; and (ix) utility or energy shortages or acts or omissions of public utility providers. IDEM shall mean the Indiana Department of Environmental Management. Initial Site Work shall mean the initial site work with respect to the Residential Project, as described in the Initial Site Work Plans. Initial Site Work Plans shall mean the detailed plans and schedule for the Initial Site Work, which plans and schedule shall reflect that Developer shall commence the Initial Site Work before the expiration of the calendar year 1999, subject to the issuance of all Transferable Permits and Required Permits that are necessary for the commencement of the Initial Site Work. Insoectina Architect shall mean an architect chosen by CRC, at its expense, for purposes of inspecting construction of the Residential Project. Laws shall mean all applicable laws, statutes, and/or ordinances, and any applicable governmental rules, regulations, guidelines, orders, and/or decrees. Mitiaation Plan shall mean the plan for mitigation of the Wetlands that has been or will be approved by CRC, Developer, USACE, IDEM, and any other governmental authorities whose approvals are required. Mitiaation Schedule shall mean the schedule for mitigation of the Wetlands pursuant to the Mitigation Plan, which schedule shall be consistent with, and shall not interfere with, the CRC Construction Plans, the CRC Construction Schedule, and the Final Developer Plans. Notice of Sale shall mean that certain Notice of Sale of Real Estate For the. Private Redevelopment Of Redevelopment Parcel No.1 In the Carmel City Center. Per Acre Price shall mean an amount equal to $ total number of acres in the Residential Project Site). Permitted Chance shall mean any change to: (i) that portion of the Final Developer Plans consisting of the final Developer Construction Schedule with respect to construction of one or more of the Residential Buildings, so long as such change will not result in a material extension of any of the dates set forth in the Unit Completion Tlmeline by which Developer must have a set number of apartment units ready for lease and occupancy; or (ii) that portion of the Final Developer Plans consisting of the final Developer Construction Drawings, so long as such change is consistent with the Design Development Documents approved by CRC. {calculated by dividing the Purchase Price by the Permitted Exceotions shall mean any exceptions to title reflected In the Title Commitment: (a) that are not Title Defects; or (b) to which: (i) Developer does not object within 15 days after receipt by Developer of the Title Commitment, all title exception documents, and the Survey (except the lien of any mortgage or other security instruments to be released at or before the Closing); (ii) Developer agrees in writing to accept; or (iii) Developer waives pursuant to the terms and conditions of Section 8. Plan Refinement Process shall mean the process for refining the Final Developer Plans set forth in Section 11. Pre-Aooroved Schematic Desian Drawinas shall mean those schematic design drawings for the Residential Project listed on Exhibit G, attached hereto and incorporated herein by reference, which schematic design drawings have been approved by CRC as of the Execution Date and are final schematic design drawings. Purchase Price shall mean $4,000,000.00. C:\WlNDOWS\TEMP\PROJECT AGREEMENT FOR APARTMENTS.V6.DOC -4- OlFebOO (.D o ;; Real Estate Taxes shall mean all real estate taxes, assessments, fees, levies, or charges of any nature levied on, against, or with respect to the Residential Project Site by any governmental or quasi-governmental agency, department, or body. Remainina Schematic Desian Drawinas shall mean those schematic design drawings for the Residential Project listed on Exhibit H, attached hereto and incorporated herein by reference, which schematic design drawings have not been approved by CRC as of the Execution Date. Reauired Amenities shall mean appropriate resident amenities, including, without limitation, those resident amenities set forth in Exhibit I, attached hereto and incorporated hereln by reference. Reaulred Permits shall mean all permits, licenses, approvals, and consents required by the Laws for the ownership, construction and use of the Residential Project by Developer consistent and In accordance with the Required Zoning, excluding the Transferable Permits. Reauired Use shall mean the use of the Residential Project consistent with, and pursuant to the terms and conditions of, this Agreement. Reauired Zonina shall mean a zoning classification or designation of the Residential Project Site pursuant to the Laws of the City necessary to permit and allow the Required Use. Residential Buildinas shall mean market-rate residential apartment buildings to be constructed in accordance with the Development Guidelines. Residential Prolect shall mean the Residential Buildings, the Required Amenities, and related improvements to be constructed in accordance with the Final Developer Plans. Residential Proiect Site shall mean that certain real estate depicted on Exhibit A, and more particularly described on Exhibit A-2, attached hereto and incorporated herein by reference. Residential Project Site Plan shall mean the site plan for the Residential Project that has been approved by CRC and Developer, which site plan is attached hereto and incorporated herein by reference as Exhibit J. Riaht of Entrv shall mean a right of entry with respect to the Residential Project Site that grants to Developer the right to enter upon the Residential Project Site to perform such tests, inspections, examinations, studies, and investigations as it reasonably deems to be necessary or appropriate with respect to the Residential Project Site. Sian Permit shall mean a permit to: (a) erect, at the Intersection of 126th Street (also known as City Center Drive) and Rangeline Road, a sign of a size and design reasonably agreed to by CRC and Developer; and (b) permanently maintain the existence of such sign. Statute shall mean IND. CODe ~36-7-14-22. Survey shall mean a survey that complies with Minimum Standard Detail Requirements for an Indiana Land Title Survey. Title Commitment shall mean a title insurance commitment for an owner's policy of title insurance with respect to the Residential Project Site that: (a) is issued by the Title Insurer; (b) commits to insure marketable, indefeasible fea simple title to the Residential Project Site in the name of Developer; and (c) commits to insure the easements and rights of Developer under the Declaration. Title Defects shall mean conditions or defects disclosed in the Title Commitment, or by the Survey, that C:\WINDOWS\T.EMPlPROJECT AGREEMENT FOR APARTMENTS.V6.DOC -5- OlPebOO o o materially and adversely interfere with the development of the Residential Project on the Residential Project Site or the use of the Residential Project Site for the Required Use; provided that, the lien of any mortgage or other security instruments to be released at or before the Closing shall not be a Title Defect. Title Insurer shall mean Chicago Title Insurance Company. Transferable Permits shall mean the permits, licenses, approvals, and consents that are listed on Exhibit K, attached hereto and incorporated herein by reference, which permits, licenses, approvals, and consents are required by the Laws for the ownership, construction, and Required Use of the Residential Project by Developer consistent and in accordance with the Required Zoning. Unit Comoletion Timeline shall mean a timeline for completion of the apartment units in the Residential Buildings, which timeline shall commit that, by certain specified dates, which dates shall not be later than 14 months following commencement of construction of the Project for the first set of apartment units, and 24 months following commencement of construction of the Project for the final set of apartment units, Developer shall have a set number of apartment units ready for lease and occupancy. USACE shall mean the United States Army Corps of Engineers. Wetlands shall mean those wetlands on the Residential Project Site that are depicted and/or described on Exhibit L, attached hereto and incorporated herein by reference, 2. Obligations of Parties. CRC shall: (a) cause the rezoning of the Residential Project Site to the Required Zoning; (b) obtain the Transferable Permits; (c) obtain, for the use and benefit of Developer, the Sign Permit; provided that: (i) Developer shall be responsible for all costs and expenses of obtaining the Sign Permit; and (Ii) to the extent that CRC incurs costs and expenses to obtain the Sign Permit, Developer shall reimburse CRC for such costs and expenses promptly upon receipt of written notice; (d) convey to Developer fee simple title to the Residential Project Site for the Purchase Price; and (e) complete the CRC Site Work and construct the CRC Improvements, subject to the terms and conditions of this Agreement. Developer shall: (a) purchase the Residential Project Site for the Purchase Price; and (b) construct the Residential Project, subject to the terms and conditions of this Agreement. 3. Earnest Money. The Earnest Money shall be applied to the Purchase Price, or refunded to Developer, in accordance with the terms and conditions of this Agreement. 4. Closing. Subject to the terms and conditions of this Agreement, the Closing shall occur on or before the date that is five days after the expiration of the Due Diligence Period, with the Closing Date to be established mutually by CRC and Developer. The Closing shall take place at the office of the Title Insurer, or at such other place as CRC and Developer mutually agree. At the Closing, Developer shall pay the Purchase Price to CRC by wire transfer or other immediately available funds, reduced by the Earnest Money and any reductions, credits, or prorations for which this Agreement provides. 5. Escrow Closing. On the date that the Due Diligence Period expires, the conditions set forth in Subsections 8(a), 8(b), 8(c), 8(d), 8(e), 8(f), 8(g), and 8(k) shall be deemed to be satisfied or waived, unless Developer has terminated this Agreement as permitted in Section 8. If the conditions set forth in Subsections 8(h), 8(i), 8m, 8(1), and 8(m) are not satisfied or waived in writing by Developer on the date that the Due Diligence Period expires, then there shall be an Escrow Closing. If there is an Escrow Closing, then, at the Escrow Closing, CRC and Developer shall execute an escrow agreement, with customary terms and conditions, in a form and substance reasonably satisfactory to CRC, Developer, and the Title Insurer; provided that such escrow agreement shall require that: (a) the Purchase Price, reduced by the Earnest Money and any reductions, credits, or prorations for which this Agreement provides, shall be paid to the Title Insurer, as escrow agent, and held ilJ a federally insured interest bearing account at a financial institution reasonably approved by CRC, Developer, and the Title Insurer; (b) interest earned on the amount paid to the Title Insurer shall be paid to Developer on a monthly basis; (c) all of the closing documents shall be deposited with the Title Insurer, as escrow agent; and (d) when all of the conditions set forth in Subsections 8(h), 8(i), 8m, 8(1), and C:\WINDOWS\TEMP\PROJECT AGREEMENT FOR APARTMENTS.V6.DOC -6- OlFebOO (J) o ; 8(m) are satisfied or waived in writing by Developer: (i) CRC and Developer each shall execute a certificate to such effect; and (ii) upon receipt of such certificate, the Title Insurer shall: (A) pay the Purchase Price to CRC by wire transfer or other immediately available funds, reduced by the Earnest Money and any reductions, credits, or prorations for which this Agreement provides; (8) record the deed; and (C) deliver the closing documents to the appropriate parties. Notwithstanding anything to the contrary set forth herein, if the conditions set forth in Subsections 8(h), 8(i), 80), 8(1), and 8(m) are not satisfied or waived in writing on or before the date that is 120 days after completion of the Final Developer Plans, then, upon receipt of a written request by. either party: (a) the Title Insurer shall release the amount paid to it and return the closing documents to the appropriate parties; (b) CRC shall refund the Earnest Money to Developer; and (c) CRC and Developer shall execute a written termination of this Agreement. 6. Closing Documents. At the Closing, Developer and/or CRC, as the case may be, shall execute and deliver the following documents: (a) a fully executed limited warranty deed conveying to Developer marketable, indefeasible fee simple title to the Residential Project Site, free and clear of any and all liens, encumbrances, easements, restrictions, covenants, and other title defects, except the lien of current Real Estate Taxes not delinquent and the Permitted Exceptions; (b) a vendor's affidavit in form and substance required for the Title Insurer to delete the standard "pre-printed" exceptions; (c) an affidavit that CRC is not a "foreign person", in form and substance required by the Internal Revenue Code of 1986, as amended, and the rules and regulations promulgated thereunder; (d) an affidavit that, to the best of CRC's knowledge, the Residential Project Site is not "property" under IRPTL, in form and substance reasonably satisfactory to Developer; (e) a fully executed confirmation by CRC of the representations and warranties set forth in Subsection 10(a), in form and substance reasonably satisfactory to Developer; (1) a fully executed confirmation by Developer of the representations and warranties set forth in Subsection 10(b), in form and substance reasonably satisfactory to CRC; (g) the Declaration; (h) copies of such resolutions, consents, authorizations, and other evidence as CRC or Developer, as the case may be, or the Title Insurer reasonably may request to establish that: (I) the persons executing and delivering the..19regoing documents fully are empowered, and duly are authorized, by all necessary action of CRC or Developer, as the case may be; and (ii) the execution and delivery of such documents, the conveyance of the Residential Project Site to Developer, the acquisition of the ResfclBntiaJ Project Site by Developer, and the performance by CRC or Developer, as the case may be, of its obligations hereunder and under the foregoing documents duly have been authorized by CRC or Developer, as the case may be; and (i) such other customary documents and instruments as CRC or Developer, as the case may be, or the Title Insurer reasonably may request in connection with the Closing. 7. Real Estate Taxes. Developer assumes and agrees to pay all Real Estate Taxes first becoming a lien against the Residential Project Site after the Closing Date. CRC shall pay all Real Estate Taxes first becoming a lien against the Residential Project Site prior to the Closing Date. Any Real Estate Taxes that are not assumed by Developer and that are not due and payable at the time of the Closing shall be allowed to Developer as a credit against the Purchase Price at the Closing, and CRC shall not be further liable for such Real Estate Taxes. 8. Conditions to Developer Obligations. The obligations of Developer with respect to Closing shall be subject to the satisfaction or waiver in writing, within the Due Diligence Period, or within such other period as is specified by the terms and conditions of this Section, of the following: (a) Provision of Commitment. Within 30 days after the Execution Date, CRC, at its cost and expense, shall have provided to Developer the Title Commitment. At the Closing, CRC, at its cost and expense, shall deliver to Developer an owner's policy of title insurance with respect to the Residential Project Site, Issued by the Title Insurer and conforming with the Title Commitment. Developer shall pay for all endorsements requested by Developer. (b) Provision of Survev. Within 30 days after the Execution.Date, CRC, at its cost and expense, shall have provided the Survey to Developer. (c) Title Defects. Neither the Title Commitment nor the Survey shall reflect any Title C:\WINDOWS\TBMPIPROIECT AGREEMENT FOR APARTMENTS.V6.DOC -7- OlFebOO o o Defects that CRC does not commit to cure or remove at or before the Closing. (d) RiQht of Entrv. Within five days after the Execution Date, CRC shall have provided the Right of Entry to Developer. (e) Provision of Environmental Assessment. Within five days after the Execution Date, CRC shall have provided to Developer the Environmental Assessment; provided that Developer, at its cost and expense, may obtain any environmental testing or assessments in addition to the Environmental Assessment that it deems to be necessary or appropriate. (f) Environmental Condition. The environmental testing and assessments of the Residential Project Site do not disclose any: (i) contamination or pollution of the Residential Project Site or any groundwater thereunder by any hazardous waste, material, or substance in violation of any Laws; (ii) underground storage tanks located on the Residential Project Site; and (Hi) there are no wetlands on the Residential Project Site, other than the Wetlands and any other wetlands that CRC commits to mitigate pursuant to the Mitigation Plan and as required by the Laws. (g) Phvsical Condition. The tests, inspections, examinations, studies, and investigations of the Residential Project Site do not establish that the Residential Project Site is unsuitable for the Required Use. . (h) ReQuired Permits. Developer shall have obtained, or shall be able to obtain, all Required Permits. (i) Transferable Permits. As of the Closing Date, Developer shall have obtained, or shall be able to obtain, the Transferable Permits, by transfer from CRC or otherwise. 0} ReQuired Zonina. As of the Closing Date, the City Council of the City shall have approved the Required Zoning, so that no further appeals or changes are pending or may be filed challenging the Required Zoning. (k) Utilitv Availabilitv. Gas, electricity, telephone, water, storm and sanitary sewer, and other utility services in adjoining public rights-of-way or properly granted and recorded utility easements are serving or will serve the Residential Project Site at adequate pressures and in sufficient quantities and volumes for the Required Use. (I) MitiQation Plan. As of the Closing Date, the Mitigation Plan shall have been approved by CRC, Developer, USACE, IDEM, and/or any of the other governmental authorities whose approvals are required. (m) No CRC Breach. As of the Closing Date: (i) there shall be no breach of this Agreement by CRC that CRC has failed to cure within the Cure Period; and (ii) all of the representations and warranties set forth in Subsection 10(a) shall be true and accurate in all respects. If one or more of the conditions set forth In this Section is not, or cannot be, timely and completely satisfied, then, as its sole and exclusive remedy, Developer either may elect to: (i) waive in writing satisfaction of the conditions and to proceed to Closing; or (II) terminate this Agreement by a written notice to CRC, in which case all Earnest Money shall be refunded to Developer immediately; provided that, with respect to breaches of this Agreement by CRC, Developer shall have the rights and remedies set forth in Section 16. On the date that the Due Diligence Period expires, the conditions set forth in Subsections 8(a), 8(b), 8(c), 8(d}, 8(e), 8(f), 8(g}, and 8(k) shall be deemed to be satisfied or waived, unless Developer has terminated this Agreement as permitted in this Section within the Due Diligence Period. If the conditions set forth in Subsections 8(h), 8(i), C:\WINDOWS\TEMP\PROJECT AGREEMENT FOR APARTMENTS.V6.DOC -8- OlFebOO C] o 80), 8(1), and 8(m) are not satisfied or waived in writing by Developer on the date that the Due Diligence Period expires, then there shall be an Escrow Closing in accordance with the terms and conditions of Section 5. Notwithstanding anything to the contrary set forth herein, Developer shall work diligently and in good faith to satisfy the conditions set forth in this Section. 9. Conditions to CRC Obligations. The obligations of CRC with respect to Closing shall be subject to the satisfaction or waiver in writing, within the period that is specified by the terms and conditions of this Section, of the following: (a) Financial Abilitv. As of the Closing Date, Developer shall have established, to the reasonable satisfaction of CRC, that Developer has sufficient available equity funding to construct the Residential Project in accordance with the terms and conditions of this Agreement. (b) No Develooer Breach. As of the Closing Date: (i) there shall be no breach of this Agreement by Developer that Developer has failed to cure within the Cure Period; and (il) all of the representations and warranties set forth in Subsection 10(b) shall be true and accurate in all respects. If one or more of the conditions set forth in this Section is not, or cannot be, timely and completely satisfied, then, as its sole and exclusive remedy, CRC either may elect to: (i) waive in writing satisfaction of the conditions and to proceed to Closing; or (ii) terminate this Agreement by a written notice to Developer, in which case all Earnest Money shall be refunded to Developer immediately; provided that, with respect to breaches of this Agreement by Developer, CRC shall have all of the rights and remedies set forth in Section 16. If: (i) one of the conditions set forth in this Section is not, or cannot be, timely and completely satisfied; and (ii) CRC fails to terminate this Agreement as permitted in this Section within such period as is specified for satisfaction of such condition; then such unsatisfied condition automatically shall be deemed to be waived by CRC. Notwithstanding anything to the contrary set forth herein, CRC shall work diligently and In good faith to satisfy the conditions set forth in this Section. 10. Representations and Warranties. (a) GRG Reoresentations. CRC represents and warrants to Developer that: (I) CRC shall not enter into any contracts or undertakings that would: (A) limit, conflict with, or constitute a breach of this Agreement; or (B) otherwise adversely affect the performance by Developer of its obligations under this Agreement; (ii) to the best of CRC's knowledge, there is not now, and there has not been, any contamination or pollution of the Residential Project Site or any groundwater thereunder by any hazardous waste, material, or substance in violation of any Laws, except as disclosed In the Environmental Assessment; (iii) to the best of CRC's knowledge, the Residential Project Site is not "property" under IRPTL; (iv) CRG is a public body organized and existing under the laws of the State of Indiana; and (v) CRC has the power to enter Into this Agreement and to perform its obligations hereunder, CRC duly has been authorized by proper action to execute and deliver this Agreement, and to perform its obligations hereunder, and this Agreement is the legal, valid, and binding obligation of CRG. (b) Develooer Reoresentations. Developer represents and warrants to CRC that: (I) Developer shall not enter into any contracts or undertakings that would limit, conflict with, or constitute a breach of this Agreement; (ii) the general partner of Developer is a Real Estate Investment Trust authorized to do business in the State of Indiana; and (iii) Developer has the power to enter Into this Agreement and to perform its obligations hereunder, Developer duly has been authorized by proper action to execute and deliver this Agreement, and to perform its obligations hereunder, and this Agreement is the legal, valid, and binding obligation of Developer. C:\WINDOWS\TEMP\PROJBCT AGREEMENT FOR APARTMENTS.V6.DOC -9- OlFcbOO o o 11. Developer Construction. Developer shall construct the Residential Project on the Residential Project Site in accordance with the following terms and conditions: (a) Initial Site Work Plans. On or before the date that Is 30 days after the Execution Date, Developer, at its cost and expense, shall submit to CRC for its review and approval the Initial Site Work Plans. Within ten days after CRC receives the Initial Site Work Plans, CRC shall deliver to Developer written notice that it approves or rejects the Initial Site Work Plans; provided that, if: (i) CRC rejects all or any part of the Initial Site Work Plans, then such notice shall: (A) specify the part or parts that CRC is rejecting; and (B) include the specific basis for such rejection; and (ii) within 15 days after CRC receives the Initial Site Work Plans, CRC fails to deliver to Developer written notice that it approves or rejects all or any part of the Initial Site Work Plans, then CRC shall be deemed to have approved the Initial Site Work Plans. If CRC rejects all or any part of the Initial Site Work Plans, or any revisions thereto, then Developer shall: (i) revise the Initial Site Work Plans; and (ii) submit the revisions to CRC within ten days after Developer receives notice from CRC that it has rejected all or any part of the Initial Site Work Plans. Within ten days after CRC receives the revised Initial Site Work Plans, CRC shall deliver to Developer written notice that it approves or rejects the revised Initial Site Work Plans; provided that, if: (I) CRC rejects all or any part of the revised Initial Site Work Plans, then such notice shall: (A) specify the part or parts that CRC is rejecting; and (B) include the specific basis for such rejection; and (ii) within 15 days after CRC receives the revised Initial Site Work Plans, CRC fails to deliver to Developer written notice that it approves or rejects all or any part of the revised Initial Site Work Plans, then CRC shall be deemed to have approved the revised Initial Site Work Plans. If Developer desires to make any material changes to the Initial Site Work Plans after approval by CRC of the Initial Site Work Plans, then Developer shall submit the proposed changes, in writing, to CRC for approval. Within 15 days after CRC receives the proposed changes, CRC shall deliver to Developer written notice that it approves or rejects the proposed changes; provided that: (i) if CRC rejects all or any part of the proposed changes, then such notice shall: (A) specify the part or parts that CRC is rejecting; and (B) include the specific basis for such rejection; and (ii) CRC shall not withhold its approval unreasonably. If Developer desires to make any changes to the Initial Site Work Plans that are not material, then Developer shall submit to CRC for its review the changes to the Initial Site Work Plans. (b) Schematic Desion Drawinos. On or before the date that is 30 days after the Execution Date, Developer, at its cost and expense, shall submit to CRC for its review and approval the Remaining Schematic Design Drawings. Within 15 days after CRC receives the Remaining Schematic Design Drawings, CRe shall deliver to Developer written notice that it approves or rejects the Remaining Schematic Design Drawings; provided that, if: (i) CRC rejects all or any part of the Remaining Schematic Design Drawings, then such notice shall: (A) specify the part or parts that CRC is rejecting; and (B) include the specific basis for such rejection; and (ii) within 20 days after CRC receives the Remaining Schematic Design Drawings, CRC fails to deliver to Developer written notice that it approves or rejects all or any part of the Remaining Schematic Design Drawings, then CRC shall be deemed to have approved the Remaining Schematic Design Drawings. Upon approval of the Remaining Schematic Design Drawings, the Remaining Schematic Design Drawings shall be final schematic design drawings, subject to modifications by Change Orders. The Pre-Approved Schematic Design Drawings constitute final schematic design drawings, subject to modifications by Change Orders. (c) Desion Develooment Documents. Within 30 days after approval of the Remaining Schematic Design Drawings, Developer, at its cost and expense, shall submit to CRC for its review and approval the Design Development Documents and the Developer Construction Schedule. Within 15 days after CRC receives the Design Development Documents and the C:\WINDOWS\TEMP\PROJECT AGREEMENT FOR APARTMENTS.V6.DOC -10- OlFebOO (j) o Developer Construction Schedule, CRC shall deliver to Developer written notice that it approves or rejects the Design Development Documents and/or the Developer Construction Schedule; provided that, if: (i) CRC rejects all or any part of the Design Development Documents and/or the Developer Construction Schedule, then such notice shall (A) specify the part or parts that CRC is rejecting; and (B) include the specific basis for such rejection; and (ii) within 20 days after CRC receives the Design Development Documents and/or the Developer Construction Schedule, CRC fails to deliver to Developer written notice that it approves or rejects all or any part of the Remaining Schematic Design Drawings, then CRC shall be deemed to have approved the Remaining Schematic Design Drawings. Upon approval of all of the Design Development Documents with respect to any Construction Trade, the Design Development Documents shall be final as to such Construction Trade, subject to modifications by Change Orders. Upon approval of the Developer Construction Schedule, the Developer Construction Schedule shall be the final construction schedule with respect to construction of the Residential Project, subject to modifications by Change Orders. (d) Developer Construction Drawincs. Within 60 days after each approval of the Design Development Documents with respect to a Construction Trade: (i) Developer, at its cost and expense, shall submit to CRC for its review the Developer Construction Drawings with respect to such Construction Trade; and (ii) the Developer Construction Drawings for such Construction Trade shall be final construction drawings with respect to such Construction Trade, subject to modifications by Change Orders. (e) Resubmitted Documents. If, at any stage of the Plan Refinement Process, CRC, rather than approving any drawings, documents, or schedules, instead rejects any drawings, documents, or schedules prior to the time that such drawings, documents, or schedules are deemed to be approved pursuant to this Section, then, within 15 days after Developer receives notice from CRC that it has rejected any drawings, documents, or schedules, Developer shall: (i) revise the drawings, documents, or schedules; and (ii) resubmit the drawings, documents, or schedules to CRC. Within 15 days after CRC receives the resubmitted drawings, documents, or schedules, CRC shall deliver to Developer written notice that it approves or rejects the resubmitted drawings, documents, or schedules; provided that, if CRC rejects all or any part of the resubmitted drawings, documents, or schedules, then such notice shall specify the part or parts that CRC is rejecting, and shall include the specific basis for such rejection. Upon approval of the resubmitted drawings, documents, or schedules, the resubmitted drawings, documents, or schedules shall become part of the Final Developer Plans, subject to modifications by Change Orders. Notwithstanding the involvement of CRC in the Plan Refinement Process, Developer shall be responsible for insuring that revisions submitted by Developer to CRC in writing are implemented in the Final Developer Plans. (f) Final Developer Plans. Upon completion of the Final Documents and Drawings through the Plan Refinement Process, the aggregated Final Documents and Drawings shall constitute the complete Final Developer Plans, subject to modification by Change Orders. All references herein to the Final Developer Plans shall be deemed to be references to the Final Documents and Drawings, until such time as all of the Final Documents and Drawings are completed; provided that, when all of the Final Documents and Drawings are completed, all references herein to the Final Developer Plans shall be deemed to be references to the Final Developer Plans, as modified by Change Orders. (g) Chances to Final Developer Plans. If Developer desires to make any changes to the Final Developer Plans, then Developer shall submit a Change Order Request to CRC for review and approval. Within 15 days after CRC receives the Change Order Request, CRC shall deliver to Developer written notice that it approves or rejects the Change Order Request; provided that: (i) CRC shall not withhold its approval unreasonably; (ii) if CRC C:\WlNDOWS\TEMP\PROIECT AGREEMENT FOR APARTMENTS.V6.DOC -11- o lFebOO o o rejects all or any part of the Change Order Request, then such notice shall: (A) specify the part or parts that CRC is rejecting; and (B) include the specific basis for such rejection; and (Hi) if, within 20 days after CRC receives the Change Order Request, CRC fails to deliver to Developer written notice that it approves or rejects all or any part of the Change Order Request, then CRC shall be deemed to have approved the Change Order Request. If CRC approves a Change Order Request, then CRC and Developer shall execute a Change Order. Notwithstanding anything to the contrary set forth herein: (i) Developer shall not be required to obtain the approval of CRC with respect to a Permitted Change; and (ii) a Change Order with respect to a Permitted Change shall be effective if executed only by Developer; provided that, with respect to a Permitted Change, Developer shall submit a Change Order Request to CRC for review. (h) Permits. Based upon the Initial Site Work Plans and the Final Developer Plans, CRC shall obtain and transfer the Transferable Permits to Developer. Prior to commencing construction of the Residential Project, Developer, at its cost and expense, shall obtain and submit to CRC for its review the Required Permits. (i) Construction. Developer shall construct the Residential Project: (i) in a good and workmanlike manner; (ii) in accordance with the Initial Site Work Plans and the Final Developer Plans; and (iii) in compliance with the Development Guidelines and the Laws. Developer shall coordinate construction of the Residential Project with the mitigation by CRC of the Wetlands in accordance with the Mitigation Plan. 12. CRC Construction. CRC shall complete, or shall cause to be completed, the CRC Site Work, and construct the CRC Improvements: (a) in a good and workmanlike manner; (b) in accordance with the CRC Construction Plans and the CRC Construction Schedule; and (c) in compliance with all Laws. CRC shall instruct and direct the contractors and subcontractors completing the CRC Site Work and constructing the CRC Improvements to concentrate, organize, and phase their work in a manner than provides reasonable flexibility to Developer in the concentration, organization, and phasing of the construction of the Residential Project. 13. Wetlands Mitigation. Upon completion of the Final Developer Plans, CRC and Developer jointly shall establish the Mitigation Schedule. CRC shall mitigate the Wetlands: (a) in accordance with the Mitigation Plan and the Mitigation Schedule; (b) in a good and workmanlike manner; and (c) in compliance with all Laws. 14. CRe Inspection. Upon reasonable written notice delivered to Developer, CRC anellor its Inspecting Architect may perform such reasonable Inspections of the construction of the Residential Project as CRC anellor its Inspecting Architect reasonably deem to be necessary or appropriate. In the case of an inspection by eRC pursuant to this Section: (a) CRC anellor its Inspecting Architect shall specify the portion of the construction to be inspected; (b) CRC anellor its Inspecting Architect shall comply with all health and safety rules of which CRC has been informed that have been established for personnel present on the construction site; (c) CRC and/or its Inspecting Architect shall check in at the on-site construction office prior to commencing such inspection; and (d) CRC anellor its Inspecting Architect shall coordinate the inspections so that the inspections do not interfere with the performance of the construction on the construction site. Developer shall have the right to accompany, and/or to have its construction manager accompany, CRC anellor its Inspecting Architect during any inspection pursuant to this Section. In conjunction with any inspection pursuant to this Subsection, CRC shall notify Developer of any identified item or component of such construction that: (a) deviates materially from the Initial Site Work Plans or the Final Developer Plans, as the case may be; or (b) has not been performed materially in accordance with the terms and conditions of this Agreement: and Developer shall correct, or cause to be corrected, any such item or component as soon as is practicable. 15. Insurance. During construction of the Residential Project, Developer shall maintain the policies of insurance described on Exhibit M, attached hereto and incorporated herein by reference. Each such policy C:\WlNDOWS\TEMPlPROJECT AGREEMENT FOR APARTMENTS.V6.DOC -12- OIFebOO C.D w shall: (a) be written by a company with a Best rating of _ or better; and (b) provide that the same shall not be modified or canceled without written notice to CRC at least 30 days in advance. The policy of general liability insurance required by this Section shall name CRC as an additional insured. Developer shall deliver to CRC certificates of the insurance policies required by this Section to be maintained by it, duly executed by the insurance company or the general agency writing such policies. 16. Default. (a) Events of Default. It shall be an "Event of Default" if either party fails to perform or observe any term or condition of this Agreement to be performed or observed by it: (i) with respect to the obligation to pay money, if such failure is not cured within ten days after such payment is due; and (ii) with respect to any other obligation, if such failure is not cured within the Cure Period. (b) Remedies Uoon an Event of Default. Whenever an Event of Default occurs, the non-defaulting party may take whatever actions at law or in equity are necessary or appropriate to: (i) collect any payments due under this Agreement; (ii) protect the rights granted to the non-defaulting party under this Agreement; (iii) enforce the performance or observance by the defaulting party of any term or condition of this Agreement, including, without limitation, the right to specifically enforce any such term or condition (it being acknowledged and understood by the parties that monetary damages are not an adequate remedy for the failure of either party to observe and/or perform any term or condition of this Agreement); or (Iv) cure, for the account of the defaulting party, any failure of the defaulting party to perform or observe a material term or condition of this Agreement to be performed or observed by it. If the non-defaulting party incurs any costs or expenses in connection with exercising its rights and remedies under, or enforcing, this Agreement, then the defaulting party shall reimburse the non-defaulting party for all such costs and expenses, together with interest at the rate of 15% per annum. (c) No Remedv Exclusive. No right or remedy herein conferred upon, or reserved to, a non-defaulting party is Intended to be exclusive of any other available right or remedy, unless otherwise expressly stated; instead, each and every such right or remedy shall be cumulative, and shall be in addition to every other right or remedy given under this Agreement or now or hereafter existing at law or in equity. No delay or omission by a non-defaulting party to exercise any right or remedy upon any Event of Default shall impair any such right or remedy, or be construed to be a waiver thereof, and any such right or remedy may be exercised from time to time, and as often as may be deemed to be expedient. To entitle a non-defaulting party to exercise any right or remedy conferred upon, or reserved to, the non-defaulting party, it shall not be necessary for the non-defaulting party to give notice to the defaulting party, other than such notice as may be required by this Section or by the Laws. 17. Recapture by CRC. (a) No Commencement. If: (i) Developer has not commenced construction of any portion of the Residential Project; and (ii) subject to Section 22, commencement of the construction of the Residential Project has not occurred within 120 days after the scheduled date for commencement set forth in the Developer Construction Schedule; then, from time to time until construction commences, CRC may elect to require Developer to reconvey to CRC, by one or more conveyances, all or any portion of the Residential Project Site for an amount equal to the Per Acre Price, multiplied by the number of acres to be conveyed. (b) Delinauent Commencement. If: (i) Developer has not commenced construction of a particular Residential Building; and (ii) subject to Section 22, commencement of the C:\WlNDOWSlTEMPlPROJECT AGREEMENT FOR APARTMENTS.V6.DOC -13- OlFebOO o o construction of such Residential Building has not occurred within 180 days after the scheduled date for commencement set forth in the Developer Construction Schedule; then CRC may elect to require Developer to reconvey to CRC the portion of the Residential Project Site on which such Residential Building was to be constructed for an amount equal to: (i) the Per Acre Price, multiplied by the number of acres to be conveyed; plus (ii) the reasonable value of the improvements constructed by Developer on such portion of the Residential Project Site; provided that, such period of 180 days shall be extended as reasonably required by any lender holding a mortgage lien on the Residential Project Site, or any party holding an equity interest in Developer, to obtain possession of the Residential Project Site and commence construction of that Residential Building. (c) Reconvevance Closino. If CRC elects to require Developer to reconvey the Residential Project Site or any Residential Building Parcels pursuant to this Section, then CRC and Developer shall close the reconveyance within 45 days after CRC exercises its election. At the closing of the reconveyance: (i) Developer shall execute and deliver closing documents to CRC that are substantially the same in form and substance as those delivered by CRC to Developer at the Closing; (ii) the limited warranty deed will be subject only to the Permitted Exceptions; and (iii) Real Estate Taxes with respect to the Residential Project Site or the Residential Building Parcel(s), as the case may be, shall be allocated in the same manner as at the Closing. 18. Mutuallndemnlflcation. CRC shall indemnify and hold harmless Developer, its affiliated, parent, and subsidiary companies, and their respective officers, directors, partners, members, employees, agents, representatives, successors, and assigns from and against any and all claims, damages, losses, and expenses (including, without limitation, attorneys' fees) arising from or connected with: (a) the performance of any work on the Residential Project Site by CRC or any party acting by, under, through, or on behalf of CRC; (b) the negligence or willful misconduct of CRC or any party acting by, under, through, or on behalf of CRC; or (c) the breach by CRC of any term or condition of this Agreement. Developer shall indemnify and hold harmless CRC, its affiliated, parent, and subsidiary companies, and their respective officers, directors, partners, members, employees, agents, representatives, successors, and assigns from and against any and all claims, damages, losses, and expenses (including, without limitation, attorneys' fees) arising from or connected with: (a) the performance of any tests, Inspections, examinations, studies, or investigations on the Residential Project Site by Developer or any party acting by, under, through, or on behalf of Developer; (b) the performance of any work on the Residential Project Site by Developer or any party acting by, under, through, or on behalf of Developer; (c) the negligence or willful misconduct of Developer or any party acting by, under, through, or on behalf of Developer; or (d) the breach by Developer of any term or condition of this Agreement. 19. AssIgnment. Neither CRC nor Developer shall assign this Agreement, without the prior written approval of the other party; provided that: (a) CRG may assign this Agreement to another agency or instrumentality of the City, without the prior written approval of Developer; and (b) Developer may assign this Agreement without the prior written approval of CRC to any joint venture, limited partnership, or limited liability company that retains Developer as a general partner or managing member, as the case may be, so that, if Developer so desires, Developer may enter into a financial joint venture with one or more institutional debt or equity partners for the construction of the Residential Project. Notwithstanding any assignment permitted under this Section, CRC or Developer, as the case may, shall remain liable to perform all of the terms and conditions to be performed by it under this Agreement, and the approval by the other party of any assignment shall not release CRC or Developer, as the case may be, from such performance. 20. Notice. Any notice required or permitted to be given by either party to this Agreement shall be in writing, and shall be deemed to have been given when: (a) delivered in person to the other party; (b) sent by facsimile, with electronic confirmation of receipt; or (c) sent by national overnight delivery service, with confirmation of receipt, addressed as follows: C:\WINDOWS\TEMPlPROJECT AGREEMENT FOR APARTMENTS.V6.DOC -14- 01FebOO CD If to CRC: With A Copy To: If To Developer: With A Copy To: Q James Brainard, Mayor City of Carmel, Indiana One Civic Square Carmel, Indiana 46032 Facsimile: 317-844-3498 Karl P. Haas, Esq. Wallack Somers & Haas One Indiana Square Suite 1500 Indianapolis, Indiana 46204 Facsimile: 317-231-9900 clo AMLI Residential Properties 5875 Castle Creek Parkway, North Drive Suite 310 Indianapolis, Indiana 46250 Attention: James E. Thomas, Jr. Facsimile: 317-577-5633 Paul G. Reis, Esq. Paul G. Reis Esq., LLG 12358 Hancock Street Carmel, Indiana 46032 Facsimile: 317-848-4899 21. Authority. The undersigned persons executing this Agreement on behalf of CRC and Developer represent and certify that (a) they fully are empowered and duly are authorized by all necessary action of CRC and Developer, respectively, to execute and deliver this Agreement; (b) they have full capacity, power, and authority to enter into and carry out this Agreement; and (c) the execution, delivery, and performance of this Agreement duly have been authorized by GRC and Developer, respectively. 22. Force Majeure. Notwithstanding anything to the contrary set forth herein, whenever: (a) under this Agreement CRC or Developer is required to observe, perform, or satisfy any obligation, term, or condition of this Agreement either: (i) within a specified time period; or (ii) on or before a specified date; and (b) CRC or Developer, acting in good faith, is delayed in, or prevented from, observing, performing, or satisfying such obligation, term, or condition, as a result of Force Majeure; then such observation, performance, or satisfaction shall be excused for the period of days that such observation, performance, or satisfaction is delayed or prevented, and the deadlines for observation, performance, and satisfaction, as applicable, shall be extended for the same period. 23. Offering. CRC shall conduct a public offering of the Adjacent Real Estate, in accordance with the schedule set forth on Exhibit N, attached hereto and incorporated herein by reference. The terms of the offering shall be that: (a) the Adjacent Real Estate must be used for redevelopment as, and construction of, market-rate residential apartment buildings that satisfy the offering requirements set forth on Exhibit 0, attached hereto and incorporated herein by reference; (b) the successful bidder must convey to CRC sufficient acres of real estate to satisfy the requirements of USAGE, IDEM, and any of the other necessary governmental authorities with respect to mitigating the Wetlands in accordance with the Mitigation Plan and the Mitigation Schedule. 24. Miscellaneous. Subject to Section 19, this Agreement shall inure to the benefit of, and shall be binding upon, CRC and Developer, and their respective successors and assigns. This Agreement constitutes the entire agreement between CRG and Developer with respect to the subject matter hereof, and may be modified only by a written agreement signed by both CRG and Developer. The invalidity, illegality, or C:\WINDOWSlTEMPlPROJECT AGREEMENT FOR APARTMENTS.V6.DOC -15- o lFebOO o o unenforceability of anyone or more of the provisions of this Agreement shall not affect the validity, legality, or enforceability of the remaining provisions hereof. Whenever in this Agreement a singular word is used, it also shall include the plural wherever required by the context and vice versa. This Agreement shall be governed by, and construed in accordance with, the laws of the State of Indiana. IN WITNESS WHEREOF, this Agreement is executed as of the day and year first written above. CRC: THE CITY OF CARMEL REDEVELOPMENT :.~~ Printed: Title: DEVELOPER: AMLI RESIDENTIAL PROPERTIES, L.P. By: AMLI Residential Properties Trust, its sole general partner C:\WU'IDOWS\TEMP\PROJECT AGREEMENT FOR APARTMENTS.V6.DOC -16- OlFebOO Exhibit A Exhibit A-1 Exhibit A-2 Exhibit B Exhibit C Exhibit D Exhibit E Exhibit F Exhibit G Exhibit H Exhibit I Exhibit J Exhibit K Exhibit L Exhibit M Exhibit N Exhibit 0 C.D Q INDEX TO EXHIBITS Depiction of City Center Project Site, including depletion of Residential Project Site and depiction of Adjacent Real Estate Description of Adjacent Real Estate Description of Residential Project Site CRC Site Work and CRC Improvements CRC Construction Plans CRC Construction Schedule Development Guidelines Elevation renderings and descriptions from the Development Proposal List of Pre-Approved Schematic Design Drawings List of Remaining Schematic Design Drawings Required Amenities Residential Project Site Plan Transferable Permits Depiction of Wetlands Required Insurance Offering schedule Offering requirements C:\WINDOWS\TEMPlPROJECT AGREEMENT FOR APARTMENTS.V6.DOC -17- OlFebOO o o AMENDMENT TO PROJECT AGREEMENT This Amendment to Project Agreement (the "Amendment"), entered into as of the _ day of February, 2000, by and between The City of Carmel Redevelopment Commission ("CRCIf) and AMLI Residential Properties, L.P., a Delaware limited partnership (the "DeveloperD), WITNESSES: Recitals WHEREAS, CRC and Developer have entered into that certain Project Agreement dated as of November 2, 1999, for the development of the Residential Project Site (the "Project Agreement"); WHEREAS, Exhibits A, A.1, A-2, 8, D, E, F, G, I, J, K, L, M, N, and 0 to the Project Agreement are complete, and are attached hereto and incorporated herein by reference (theUCompleted Exhibits"); WHEREAS, Exhibits C and H to the Project Agreement have not been completed; provided that a preliminary Exhibit C is attached hereto and incorporated herein by reference (the "Incomplete Exhibits"); WHEREAS, a schedule for the completion of the Incomplete Exhibits is attached hereto and incorporated herein by reference as Schedule I (the "Completion Schedule"); and WHEREAS, the parties desire to amend the Project Agreement as set forth below; Aareement NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are acknowledged hereby, CRC and Developer agree as follows: 1. CRC and Developer shall work diligently and in good faith to complete the Incomplete Exhibits in accordance with the Completion Schedule. 2. Notwithstanding anything to the contrary set forth in the Project Agreement, the Due Diligence Period shall commence on the Execution Date (as defined in Section 3), and expire on the date that is 30 days after the Execution Date. 3. In Section 1, entitled "Defined Terms", the terms set forth below are modified to read as follows: uDevelooer Construction Schedule shall mean a detailed schedule for construction of the Residential Project in accordance with the Final Developer Plans, which schedule shall reflect that Developer shall: (a) commence construction of the Residential Project within 60 days after the later of: (i) the issuance of all Transferable Permits and Required Permits; (ii) the Required Zoning has been obtained; and (iii) completion of the Final Developer Plans; provided that, notwithstanding the foregoing, Developer shall not be obligated to commence construction of the Residential Project until the CRC Site Work has been completed; (b) complete construction of the Residential Project by the date that is 24 months after: (i) Developer receives the Transferable Permits and the Required Permits; and (ii) the CRC Site Work is completed; and (c) complete certain quantities of apartment units in accordance with the Unit Completion Timeline." "Develooment Guidelines shall mean those guidelines for development of the Residential Project Site set forth on Exhibit E, attached hereto and incorporated herein by reference; provided that such guidelines shall be amended as contemplated by the terms and conditions of this Agreement." "Execution Date shall mean the date as of which this Amendment is executed." v o "Initial Site Work shall mean the initial site work with respect to the Residential Project, as: (a) determined by mutual agreement of the parties pursuant to Subsection 11 (a); and (b) described in the Initial Site Work Plans." ' "Initial Site Work Plans shall mean the detailed plans and schedule for the Initial Site Work, which plans and schedule shall reflect the agreement reached between CRC and Developer pursuant to Subsection 11 (a) with respect to the commencement of the Initial Site Work." "Residential Proiect Site shall mean that certain real estate depicted on Exhibit A, and more particularly described on Exhibit A-2, attached hereto and incorporated herein by reference; provided that, if Developer acquires the Adjacent Real Estate, then, from and after the date of such acquisition, the Adjacent Real Estate shall be included as part of the Residential Project Site." 4. Section 4, entitled "Closing", is modified to read as follows: "Subject to the terms and conditions of this Agreement, including, without limitation, Section 5: (a) the Closing shall occur on or before the date that is five days after the expiration of the Due Diligence Period, with the Closing Date to be established mutually by CRC and Developer; and (b) at the Closing, Developer shall pay to CRC, by wire transfer or other immediately available funds, the Purchase Price, reduced by the Earnest Money and any reductions, credits, or prorations for which this Agreement provides (the "Adjusted Purchase Price")." 5. Section 5, entitled "Escrow Closing", is modified to read as follows: "On the date that the Due Diligence Period expires, the conditions set forth in Subsections 8(a), 8(b), 8(c), 8(d), 8(e), 8(f) , 8(g), and 8(k) shall be deemed to be satisfied or waived, unless Developer has terminated this Agreement as permitted in Section 8. If the conditions seUorthin Subsections 8(h), 8(i), 80), 8(1), and 8(m) are not satisfied or waived in writing by Developer on the date that the Due Diligence Period expires, then, within five days thereafter, there shall be an Escrow Closing; provided that the date of the Escrow Closing shall be established mutually by CRC, Developer, and the Title Insurer. If there is an Escrow Closing, then, at the Escrow Closing, CRC and Developer shall execute an escrow agreement, with customary terms and conditions, In a form and substance reasonably satisfactory to CRC, Developer, and the Title Insurer (the "Escrow Agreemenf'); provided that the Escrow Agreement shall require that: (a) on the date of the Escrow Closing, the Adjusted Purchase Price shall be paid to the Title Insurer, as escrow agent, and held In a federally insured interest bearing account at a financial institution reasonably approved by CRC, Developer, and the Title Insurer; (b) interest earned on the Adjusted Purchase Price (the "Escrow Interesf') shall be distributed to Developer on a monthly basis; (c) on the date of the Escrow Closing, all of the closing documents shall be deposited with the Title Insurer, as escrow agent; and (d) when all of the conditions set forth in Subsections 8(h), 8(i), 80), 8(1), and 8(m) are satisfied or waived in writing by Developer: (i) CRC and Developer each shall execute a certificate to such effect; (Ii) upon receipt of such certificate by the Title Insurer, CRC, Developer, and the Title Insurer shall establish the Closing Date; and (iii) at the Closing, the Title Insurer shall: (A) pay the Adjusted Purchase to CRC by wire transfer or other immediately available funds; (B) pay to Developer any undistributed Escrow Interest; and (C) deliver the closing documents to the appropriate parties; provided that the Title Insurer shall retain the original deed and any other original documents to be recorded, and shall be responsible for their recordation. Notwithstanding anything to the contrary set forth herein, if the conditions set forth in Subsections 8(h), 8(1), 80), 8(1), and 8(m) are not satisfied or waived in writing on or before the date that is 120 days after completion of the Final Developer Plans, then, upon receipt of a written request by either party: (a) the Title Insurer shall: (i) release and return to Developer the Adjusted Purchase Price and any undistributed Escrow Interest; and (ii) return the closing documents to the appropriate parties; (b) CRC shall refund the Earnest Money to Developer; and (c) CRC and Developer shall execute a written termination of this Agreement." C:\WINDOWS\TEMP\AMBNDMENT TO PROJECT AGREEMENT. V5.DOC -2- OIFebOO o o 6. Subsection 8(a), entitled "Provision of Commitmenf', is modified to read as follows: a(a) Provision of Commitment. Within five days after the Execution Date, CRC, at its cost and expense, shall have provided the Title Commitment to Developer. At the Closing, CRC, at its cost and expense, shall deliver to Developer an owners policy of title insurance with respect to the Residential Project Site, issued by the Title Insurer and conforming with the Title Commitment. Developer shall pay for all endorsements requested by Developer." 7. Subsection 8(b), entitled "Provision of Survey", is modified to read as follows: "(b) Provision of Survey. Within five days after the Execution Date, CRC, at its cost and expense, shall have provided the Survey to Developer." 8. Subsection 8(h), entitled "Required Permits", is modified to read as follows: a(h) Reauired Permits. As of the Closing Date, Developer shall have obtained, or shall be able to obtain, all Required Permits." 9. In Section 8, entitled "Conditions 'to Developer Obligations", the final paragraph is modified to read as follows: "If one or more of the conditions set forth in this Section is not, or cannot be, timely and completely satisfied, then, as its sole and exclusive remedy, Developer either may elect to: (I) waive in writing satisfaction of the conditions and to proceed to Closing; or (ii) terminate this Agreement by a written notice to CRC, in which case: (A) all Earnest Money, and, if there has been an Escrow Closing, the Adjusted Purchase Price and the Escrow Interest, shall be refunded and/or paid to Developer immediately; and (8) if there has been an Escrow Closing, the closing documents shall be retumed to the appropriate parties; provided that, with respect to breaches of this Agreement by CRC, Developer shall have the rights and remedies set forth in Section 16. On the date that the Due Diligence Period expires, the conditions set forth in Subsections 8(a), 8(b), 8(c), 8(d), 8(e), 8(f), 8(g), and 8(k) shall be deemed to be satisfied or waived, unless Developer has terminated this Agreement as permitted in this Section within the Due Diligence Period. If the conditions set forth in Subsections 8(h), 8(1), 80), 8(1), and 8(m) are not satisfied or waived in writing by Developer on the date that the Due Diligence Period expires, then there shall be an Escrow Closing in accordance with the terms and conditions of Section 5. Notwithstanding anything to the contrary set forth herein, Developer shall work diligently and in good faith to satisfy the conditions set forth in this Section." 10. In Section 9, entitled "Conditions to CRC Obligations", the final paragraph is modified to read as follows: "If one or more of the conditions set forth in this Section is not, or cannot be, timely and completely satisfied, then, as its sole and exclusive remedy, CRC either may elect to: (i) waive in writing satisfaction of the conditions and to proceed to Closing; or (ii) terminate this Agreement by a written notice to Developer, in which case: (A) all Earnest Money and, if there has been an Escrow Closing, the Adjusted Purchase Price and the Escrow Interest, shall be refunded to Developer immediately; and (B) if there has been an Escrow Closing, the closing documents shall be returned to the appropriate parties; provided that, with respect to breaches of this Agreement by Developer, CRG shall have all of the rights and remedies set forth in Section 16. If: (i) one of the conditions set forth in this Section is not, or cannot be, timely and completely satisfied; and (ii) CRC fails to terminate this Agreement as permitted in this Section within such period as is specified for satisfaction of such condition; then such unsatisfied condition automatically shall be deemed to be waived by CRC. Notwithstanding anything to the contrary set forth herein, CRC shall work diligently and in good faith to satisfy the conditions set forth in this Section." C:\WlNDOWSlTEMP\AMENDMENT TO PROJECT AGREEMENT. V5.DOC -3- OIFebOO CD o 11. Subsection 11 (a), entitled "Initial Site Work Plans" is modified to read as follows: "(a) Initial Site Work Plans. On or before the date that is five days after the Execution Date, CRC and Developer jointly shall determine the Initial Site Work, if any, to be performed by Developer. If CRC and Developer determine that Developer is to perform Initial Site Work, then, within ten days after such determination, Developer, at its cost and expense, shall submit to CRC for its review and approval the Initial Site Work Plans. Within two days after CRC receives the Initial Site Work Plans, CRC shall deliver to Developer written notice that it approves or rejects the Initial Site Work Plans; provided that, if: (i) CRC rejects all or any part of the Initial Site Work Plans, then such notice shall: (A) specify the part or parts that CRC is rejecting; and (6) include the specific basis for such rejection; and (ii) within two days after CRC receives the Initial Site Work Plans, CRC fails to deliver to Developer written notice that it approves or rejects all or any part of the Initial Site Work Plans, then CRC shall be deemed to have approved the Initial Site Work Plans. If CRC rejects all or any part of the Initial Site Work Plans, or any revisions thereto, then Developer shall: (i) revise the Initial Site Work Plans; and (ii) submit the revisions to CRC within two days after Developer receives notice from CRC that it has rejected all or any part of the Initial Site Work Plans. Within two days after CRC receives the revised Initial Site Work Plans, CRC shall deliver to Developer written notice that it approves or rejects the revised Initial Site Work Plans; provided that, if: (i) CRC rejects all or any part of the revised Initial Site Work Plans, then such notice shall: (A) specify the part or parts that CRC is rejecting; and (6) include the specific basis for such rejection; and (ii) within two days after CRC receives the revised Initial Site Work Plans, CRC fails to deliver to Developer written notice that it approves or rejects all or any part of the revised Initial Site Work Plans, then CRC shall be deemed to have approved the revised Initial Site Work Plans. If Developer desires to make any material changes to the Initial Site Work Plans after approval by CRC of the Initial Site Work Plans, then Developer shall submit the proposed changes, in writing, to CRC for approval. Within two days after CRC receives the proposed changes, CRC shall deliver to Developer written notice that it approves or rejects the proposed changes; provided that: (i) if CRC rejects all or any part of the proposed changes, then such notice shall: (A) specify the part or parts that CRC is rejecting; and (6) include the specific basis for such rejection; and (Ii) CRC shall not withhold its approval unreasonably. If Developer desires to make any changes to the Initial Site Work Plans that are not material, then Developer shall submit to CRC for its review the changes to the Initial Site Work Plans." 12. In Subsection 11 (c), entitled "Design Development Documents., the first sentence is modified to read as follows: "(c) Desian Develooment Documents. Within the later of: (i) 30 days after approval of the Remaining Schematic Design Drawings; or (Ii) 60 days following the Execution Date; Developer, at its cost and expense, shall submit to CRC for its review and approval the Design Development Documents and the Developer Construction Schedule.. 13. Developer and its agents, employees, and contractors shall have the right to enter upon the Residential Project Site at reasonable times and: (a) conduct all tests, inspections, examinations, studies, and investigations as Developer reasonably deems to be necessary or appropriate; and/or (b) perform the Initial Site Work; provided that Developer shall perform the Initial Site Work: (a) in accordance with the Initial Site Work Plans and the Laws; and (b) in a careful and safe manner. Developer shall indemnify and hold harmless CRC from and against all claims, suits, judgments, liabilities, losses, costs, and expenses (including reasonable attorneys' fees and court costs) arising from or connected with: (a) the conducting of such tests, inspections, examinations, studies, and/or investigations by Developer or any party acting by, under, through, or on behalf of Developer; or (b) the performance of the Initial Site Work; except to the extent that any such claim, suit, Judgment, liability, loss, cost, or expense results from the negligence or misconduct of CRC, or any agent, employee, or contractor of CRC. 14. All capitalized words used in this Amendment and not defined herein shall have the meanings ascribed to such words in the Project Agreement. C:\WINDOWS\TEMP\AMENDMENT TO PROJECT AGREEMENT. V5.DOC -4- o IFebOO o Q 15. In the event of any conflict between the Project Agreement and this Amendment, the terms and conditions of this Amendment shall control. Except as expressly provided in this Amendment, aU of the terms and conditions of the Project Agreement shall remain in full force and effect. IN WITNESS WHEREOF, CRC and Developer have executed this Amendment as of the day and year first written above. CRC: THE CITY OF CARMEL REDEVELOPMENT :.~ Printed: It Co It eud re. 'R () e S c - h Title: Pre.;, (rI t? VI../- DEVELOPER: AMU RESIDENTIAL PROPERTIES, L.P. By: AMLI Residential Properties Trust, its sole general partner Title: Senior Vice President C:\WlNDOWS\'I'EMP\AMENDMENT TO PROJECT AGREEMBNT.V5.DOC -5- o lFebOO , .- m: '\ ~ll I I I I I I I u u -- --- =======-- ---- - ==-=====-===-= ---- ---------~~~)~--n-- i! -~--i--~ i..Oi II ~~~~ORii~~ fl ti~ I~!!;;~~:~~i ; !~IJ,u!LJ,I~~!;. ~~ IDRHHHHO II'~~ I~~I~III;: -=- ~~;:~;~~;i;iii;~: :{;11Joo ~ ~ ' Ail I .......--.. ........." I I Q) III ~~ (o~(1 I r ~ ~ V ~ I.I.UUW . I~ ~ . ----- -------- " JL, LJlj/ I Dc:=:J 01/ I 1=:= ~\ ' D ~~ \\ ---- ---- aliI! I III I Ill. I 111 I III I III I 'II If'~ I, II 1!li~ !i!i ,-==-- 'tI"l~ I s~ \ ... I ~ DlllItI DlllItI' ~ 'WWIJ!!.I, I~ S/ :"\ . , u ~ .\--~.:" ~[F..f 'I RPI (~OH~I;rn; "". -- ~~ ,f",t IIIIIlllll\: . I ..", : - Iw~IR~:'a'T , I I, ,,- " : I I I I' Ii UJJ 0HHtHtHIt0 '. I : V i1f~U1frD rn :s: . n a ~~ :-J:n I 1111 ~ ~ ~ - i ...2' I ! 1::..;;1 ;:) :t:t . ~ .L......L... I' '\ =f=_ ;, ~ i3, I · Ii.., I =. I\l1;;;; == \~\ JJr I ~::;: \ ~ ~\ ~ ~ II r-'". ';t,-.. ,. '; 7--r 'i r;'l-, A'~ \~,\ .._.._~~_.~~.~.1.~~J '\' , :llr I , ""I "\51" t,' I -~ . U 0/tIIfHtHIf{].. n_n?;;f.1; i E=JQm~! 1 ~m~ll r . I r'. "tr2.~ rnl i '~~~I ~ I~e~~d ... · ~ ~ ~ ~ r . . b:h . b:a:i . . b:f '-t...~..:::J ~ p _ 0-- ._._.__.1_ ______._______ I ~i c m - a... L- a> ... en 8 Cd ~ ~ ~ I i <( .., . ~ ... .- .a .- .t::. >< W o ~ . .. 'r" Q) B CJ) ~(8 . I u (;) EXHIBIT K CARMEL CITY CENTER City of Carmel will obtain the following permits for the development: 1. Wetlands Permit 2. IDEM sewer extension permit for CRC work 3. All applicable local sewer and water permits 4. Pennits for CRC Site Work and CRC Improvements 5. All other Transferable Permits not covered above r 1- u u THIRD AMENDMENT TO PROJECT AGREEMENT This Third Amendment to Project Agreement (the ''Third Amendmenf'), entered into as of the 2D~ay of November, 2000, by and between The City of Carmel Redevelopment Commission ("CRC") and AMLI Residential Properties, LP, a Delaware limited partnership (the "Developer"), WITNESSETH: Recitals WHEREAS, CRC and Developer have entered into that certain Project Agreement dated as of November2, 1999, as amended as of February 1, 2000 and March 15, 2000, for the development of the Residential Project Site (collectively, the "Project Agreemenf'); WHEREAS, CRC and Developer have proceeded to an Escrow Closing as provided for under the Project Agreement; WHEREAS, CRC conducted a public offering with respect to the Adjacent Real Estate in accordance with the terms and conditions of Section 23 of the Project Agreement (the "Offering"); WHEREAS, Developer was the successful bidder with respect to the Offering; WHEREAS, pursuant to the Offering, AMLI, as the successful bidder, was to provide CRC with sufficient acres of real estate to satisfy the requirements of USACE, IDEM, and any other necessary governmental authorities with respect to mitigating the Wetlands in accordance with the Mitigation Plan and the Mitigation Schedule; WHEREAS, pursuant to the Project Agreement, the Wetlands are located within the Residential Project Site; WHEREAS, rather than provide CRC with additional acreage, CRC and Developer agreed that Developer would relinquish its right to purchase the Wetlands (the "Relinquishmenf'); WHEREAS, due to the fact that: (a) Developer was the successful bidder with respect to the Offering, and, as such, will receive title to the Adjacent Real Estate; and (b) CRC and Developer agreed to the Relinquishment; the amount and description of the real estate comprising the Residential Project Site has changed; WHEREAS, CRC and Developer desire to amend the Project Agreement to reflect the change in the amount and description of the real estate comprising the Residential Project Site; WHEREAS, commencement. of the CRC Site Work, and construction by Developer of the Residential Project, have been delayed due to the delay in obtaining the approval of the Mitigation Plan by the USACE; and WHEREAS, the parties desire to amend the Project Agreement to adjust the CRC Construction Schedule to reflect the delay in the completion of the CRC Site Work and the commencement of construction by Developer of the Residential Project; ,~ --j u o Agreement NOW, THEREFORE for g.ood and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, CRC and Developer agree as follows: 1. In Section 1 of the Project Agreement, entitled "Defined Terms," the following terms, as the same may have been amended by any amendment to the Project Agreement, are amended and, if applicable, restated to read, as follows: (a) Develooer Construction Schedule shall mean a detailed schedule for construction of the Residential Project in accordance with the Final Developer Plans, which .schedule shall reflect that Developer shall: (a) commence construction of the Residential Project within 60 days after the later of: (i) the issuance of all Transferable Permits and Required Permits; (ii) the Required Zoning has been obtained; and (iii) completion of the Final Developer Plans; provided that, notwithstanding the foregoing, Developer shall not be obligated to commence construction of the Residential Project until the CRC Site Work has been completed and the commencement of construction by Developer shall occur within thirty (30) days of the completion of the CRC Site Work; (b) complete construction of the Residential Project by the date that is 24 months after: (i) Developer receives the Transferable Permits and the Required Permits; and (ii) the CRC Site Work is completed; and (c) complete certain quantities of apartment units in accordance with the Unit Completion Timeline. (b) The term "Residential Project Site" is amended to: (i) exclude the Wetlands; and (ii) include the real estate that originally comprised the Adjacent Real Estate. To reflect the terms and conditions of this Subsection: (i) Exhibits A and A-2 have been amended to reflect: (A) that the Residential Project Site no longer includes the Wett"ands; and (B) that the real estate that originally comprised the Adjacent Real Estate now is included within the Residential Project Site; and (ii) the amended Exhibits A and A-2: (A) are attached to this Third Amendment; and (B) replace and supersede the original Exhibits A and A-2. 2. In Section 1 of the Project Agreement, entitled "Defined Terms," the following term is added: Staaina Area shall mean that certain real estate depicted and described on Exhibit A-4, attached hereto. 3. Section 2 of the Project Agreement, entitled "Obligations of Parties," is amended and restated to read as follows: CRC shall: (a) cause the rezoning of the Residential Project Site to the Required Zoning; (b) obtain the Transferable Permits; (c) obtain, for the use and benefit of Developer, the Sign Permit within three (3) months of the execution of the Third Amendment; provided that: (i) Developer shall be responsible for all costs and expenses of obtaining the Sign Permit; and (ii) to the extent that CRC incurs costs Z;\DocumentslShoup, IennylCity ofCannellMulti-Family Rodevelopment-AMLllAmendments to Project AgreementlThird AmendmentlThird Amendment. v4.wpd 20NovOO 2 u u 'i and expenses to obtain the Sign Permit, Developer shall reimburse CRC for such costs and expenses promptly upon receipt of written notice; (d) convey to Developer fee simple title to the Residential Project Site for the Purchase Price; and (e) complete the CRC Site Work and construct the CRC Improvements, subject to the terms and conditions of this Agreement. Developer shall: (a) purchase the Residential Project Site for the Purchase Price; and (b) construct . the Residential Project, subject to the terms and conditions of this Agreement. 4: Subparagraph (0) to Section 8, "Conditions to Developer Obligations," which was added by the Second Amendment, shall be amended andrestated to read as follows: . (0) Amendment of Exhibit B. CRC and Developer have agreed upon an amendment to Exhibit B to: (i) revise the drawing of the CRC Site Work and Improvements to reflect certain agreed upon changes for median and curb cuts in the right-of-way of City Center Drive; and (ii) state in the Description of CRC Site Work and Improvements that, as a part of the CRC Site Work, CRC will relocate the stockpiled topsoil located on the southeast comer of the Residential Project Site. The amended Exhibit B drawing and description: (i) are attached to this Third Amendment; and (ii) replace and supersede the original Exhibit B drawing and description. 5. The following new subparagraph (j) shall be added to Section 11 of the Project Agreement, entitled "Developer Construction": (j) Use of Staaina Area. Developer shall have the option of using the Staging Area, for purposes of construction staging and to provide temporary .;access to the Residential Project Site. Developer may install, at its sole cost and expense, a temporary stone or crushed gravel road over the Staging Area; provided that, if Developer opts to use the. Staging Area, then the terms and conditions of the Project Agreement with respect to the maintenance of insurance shall apply with respect to such use. Upon completion of construction on the Residential Project Site, Developer, at its sole cost and expense, shall return the Staging Area to substantially the same condition as existed prior to the use of the Staging Area by Developer; provided, however, that at the request of CRC, Developer will leave any temporary road constructed over the Staging Area in the condition existing at the time of completion of construction. Developer shall indemnify and hold harmless CRC, its affiliated, parent, and subsidiary entities, and the officers, directors, partners, members, employees,agentsl representatives, successors, and assigns of each, from and against any and all claims, damages, losses, and expenses (including, without limitation, attorneys' fees) arising from or connected with the use by Developer of the Staging Area. 6. The terms and conditions of Section 23 of the Project Agreement, entitled "Offering", have been satisfied in full, and, as a result, Section 23 of the Project Agreement no longer has any force or effect. 7. CRC and Developer have agreed upon changes to the CRC Construction Plans. An amended Exhibit C, reflecting such changes: (a) is attached to this Third Amendment; and (b) replaces and supersedes the original Exhibit C. Z:\DocumenlS\Shoup, lenn)'\City of Carmel\Multi-Family Redevolopment-AMLI\Amendmen" IX> Project Agreement\Third Amendment\Third Amendmenlv4.wpd 20NovOO 3