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THERMAL CIRCUITS BUILD OUT LOAN AND GRANTS / "fbit/rna,Q (;crcu,ids ' ��tnanl.�v�, r , .� I THERMALspecializing in the design, engineering and INUH CIRCUITS-0 production of surface heaters, air heaters, molded heaters, heater assemblies, and infrared panel emitters August 24, 1998 Fafard Real Estate And Development Corp. 0- 290 Eliot Street 7Z, �r ex Ashland, MA 01721 Attn: Mr. Howard Fafard i, Dear Howard, , Nearly two-and-one-half years ago, Thermal Circuits moved into it's newly constructed 32,000 sq. ft. facility at One Technology Way in Salem. In September, a 20,000 sq. ft. addition to this facility will be completed making a total of$2.7mm invested in Technology Park by Thermal Circuits. Unfortunately, our investment in Technology Park remains solitary. From our viewpoint, Technology Park has served as a strip-mine-staging-area for other Fafard projects. The road has never received its finish coat and has started to deteriorate especially around catch basins and man holes, and the area at the entrance to the front lot adjacent to our lot. Side walks, temporary at best, remain unsafe and impassable. The entrance to the Park is unsightly and requires extreme caution when entering or exiting in any amount of traffic. The general appearance of the Park is a prime reason why vandalism is on the increase. We have been told by your people numerous times that these issues are being addressed. Still nothing happens. Our desire to see Salem prosper with a commercially and technically vibrant Technology Way remains undaunted. Please provide us with your plans to address these issues as soon as possible. Yours very truly, THERMAL CIRCUITS INC., Anthony A. Klein -` W President cc: Mayor Stanley J. Usovicz, Jr. ` ='.' n Dave Abbot \`: Jack Kellogg 7 G� -to", Thermal Circuits Inc. One Technology Way Technology Park Salem, Massachusetts 01970-7000 PHONE 800.808.HEAT(4328) EMAIL 808heat@thermalcircuits.com WEB www.thermaicircuits.com FAX 978.741.3420 CITY OF SALEM, MASSACHUSETTS PLANNING DEPARTMENT WILLIAM E. LUSTER ONE SALEM GREEN City Planner ► s 01970 t` `o (508) 745-9595. EXT. 31 ,y � r FAX (508) 744-5918 September 12. 1995 Anthonv A. Klein, President Thermal Circuits. Inc. 4 Jefferson Ave. Salem. MA 01970 Dear Mr. Klein: Attorney Ellen Winkler has requested that the City write a letter of commitment, outlining its role in the development of a new Thermal Circuits plant on Technology Way in Salem. Please consider this letter as evidence of the City's commitment to provide the following forms of financial assistance: • $50,000 no-interest. deferred loan to be repaid when the company sells its Jefferson Avenue facility • $19,000 erant to defrav the cost of site work • $12,500 grant to defray the cost of construction The City intends to make the loan and to provide the other funds at the time of your closing on the property with Fafard Real Estate and Development. If you have any questions about this matter, please feel free to contact me. erely. illiam er City PI cc: Attorney Ellen Winkler. Serafrni. Serafini& Darling t SERAFINI, SERAFINI AND DARLING ATTORNEYS AT LAW 63 FEDERAL STREET SALEM, MASSACHUSETTS 01970 JOHN R, SERAFINI. SR. TELEPHONE JOHN R. SERAFINI,JR. 508-744-0212 JOHN E. DARLING 617 581-2743 ELLEN M. WINKLER TELECO PIER JOSEPH C. CORRENTI November 6, 1995 508741-4683 VIA HAND DELIVERY Ms., Michelle Camarata City of Salem Planning Department One Salem Green Salem, MA 01970 Re: Swampscott Road, Salem, Massachusetts Dear Michelle: Enclosed please find the following: 1. Original Loan Agreement executed by KAK Associates, KAK Realty Trust, Jefferson Realty Trust and the City; 2 . Copy of a Trustee' s Certificate for KAK Realty Trust, filed as Document No. 313353 ; 3 . Copy of the Mortgage granted by KAK Realty Trust to the City on One Technology Way, filed as Document No. 313354 ; 4. Copy of a Trustee's Certificate of Jefferson Realty Trust, recorded at Book 13269, Page 178; 5. Copy of the Mortgage granted by Jefferson Realty Trust to the City on 4 Jefferson Avenue, recorded at Book 13269, Page 179; 6. Copy of the Deed from Fafard Real Estate and Development Corp. to the City, filed as Document No. 313347; and 7. Copy of the Deed from Fafard Real Estate and Development Corp. to KAY Realty Trust, filed as Document No. 313349. Kindly forward a check in the amount of Forty and No/100 ($40. 00) Dollars payable to Serafini, Serafini and Darling, to cover the cost of recording the deed for Technology Way. If you have any questions, or would like copies of additional documentation, please feel free to call. i Ms. Michelle Camarata Page Two November 6, 1995 Thank you for your assistance in bringing this matter to its long-awaited conclusion. Very truly yours, Ellen M. Winkler EMW:cbg Enclosures JI�J 7 MASSACHUSETTS OUITCLAM DEED BY CORP ATION (SHO/T FOAM) 684 -SSEX SOUTH REGISTRY DISTRICT. Fafard Real Estate and Development Corp. a corporation duly established under the laws of the Commonwealth of Massach' u�— and having its usual place oEbuslness at - 290 Eliot Street, Ashland, MidkUser,3 � �ii �– assachuselts ECIEVEDO'CLOC Mars o for consideration paid, and in full consideration of Four Hundred Fifty T ousan an 717"T ( t4?0 000.00) 1 ;E'-ISTRATIONBK gY nfstb The City of Salem, Massachusetts a municipal Corporation of 93 Washington Street, Salem, MA 01970 with rluiTrltttltt•ruuennnfa the land in Salem, Essex County, Massachusetts, described as follows: (Description and encumbrances,if any) �Itt ritttnPss m1PrPnf, thesaid Fafard Real Estate and Development Corp. has caused its corporate seal to be hereto affixed and these presents to be signed, acknowledged and delivered in its name and behalf by Howard A. Fafard its President and Treasurer ikx hereto duly authorized, this a �� day of September in the year one thousand nine hundred and ninety–five Sig^and sealed in presence of Fafard Real Estate and Development Corp. 1 ................................................. . . . ....... 1 . .... . ...... ... .... .... by Howard A. Fafard, President and Treasurer – �, - - �E?e Luunnn?ttuPnit!I Lf�.41'{ttttauriiugelYa. �*!" Middlesex ss. September 2.91 19 95 Then personally appeared the above named Howard A. Fafard, President and Treasurer and acknowledged the foregoing instrument to be the free act and deed of the Fafard Real Estate andDevelopment Corp. before me > .................. ......................... Notary P/u/hlir --iustirc of the Pearc My commission %spires ......................((� 6. ............... 19 CHAPTER 183 SEC. 6 AS AMENDED BY CHAPTER 497 OP 1969 Every deed presented for record shall contain or have endorsed upon it the full name, residence and post office address of the gramec and a recital of the.amount of the full consideration thereof in dollars or the nature of the other consideration therch,r, if not delirerc%I for a specific monetary sum. The full consideration .%hall mean the total price for the conveyance %6-hout deduction for any liens or ennuchr,.na•. assunud by the grantee or remaining thereon. All such ctldorsl•Illents slid recitals shall be ranr•IcJ as pan Of the decd. Poihoe n, with this section shall not affect the validity of any deed. No register of devilsshall accept a deed t'-,r recording unless it i% in co lid:: he requirements of this section. EXHIBIT"A" That certain parcel of land in Salem, Essex County, Massachusetts, located on Technology Way and shown as Lot 723 and as "Technology Way" shown on a plan of land entitled: Subdivision of Lot 698 Land Court Case No. 11802 Definitive Pian of Land in Salem, MA Owner: Fafard Real Estate and Development Corp., 290 Eliot Street, Ashland, MA 01721, Prepared by: Fafard Real Estate and Development Corp., 290 Eliot Street, Ashland, MA 01721, Date: 24 March 1995, Scale: 1" = 100' recorded with the Land Court Engineering Department on a'uEo61 ' , 1995 as Plan No. 11802 - 54. Grantor, its successors and assigns, reserves the right and easement, in common with those lawfully entitled thereto, to use Lot 723, "Technology Way", as shown on said plan, for all purposes as streets, roads and ways are commonly used in the Commonwealth of Massachusetts. The lot herein conveyed is subject to easements, restrictions and rights of way of record, if any, as the same are now in force and applicable. The lot herein conveyed is not all or substantially all of the Grantor's assets in the Commonwealth of Massachusetts. For title see Certifcate 62422 Essex South District of the Land Court. fovns/Salex723 LAND TON, The land hereinja shown on our approved plan to follow as OCT 25 1995;1 //•� 1 Plan 11802— ' Cot��1![�t (EXAMINED AS TD DESfi.R 704 Q�Y1 Louis A Mmra, w, MASSACHUSETTS QUITCLAIM DEED BY CORP RATION tSHORT FORM) 004 ESSEX SOL: J y 7 Fafard Real Estate and Development Corp. j corporation duly established under the laws of the Commonwealth of Ma tsachusetts `� 8 -rd having its usiaa{ pfa<e of business at 29D Eliot Street, "Island, Middl4M , '1} O'CLOCK__„M_ j- Country, Massachusetts na .I,, )-.! RI( >r consideration paid, and in full consideration of C(� - :an[sto JOHN H. KELLOGG, TRUSTEE OF KAK REALTY TRUST undef Declaration of Trust of even date, filed herewith, /NA 0/uZ% with quifrlatul raueuttnfs . eland in Salem, Essex County, Massachusetts , moreparticularlydescribed in Exhibit "A", attached hereto. (Description and encumbrances,if any) The lot herein conveyed is not all or substantially all of the Grantor's assets in the Commonwealth of Massachusetts. In witmwi w4jm if, thesaid Fafard Real Estate and Development Corp. as caused its corporate seal to be hereto affixed and these presents to be signed, acknowledged and delivered 1 its name and behalf by Howard A. Fafard, President and Treasurer hereto duly authorized, this a`7.}h 1Y of QCfD 8 ER in the year one thousand nine hundred and ninety-five gned and sealed in presence of Fafard Real Estate and Development Corp. ...................................... ............... ,.. .�.. by Howard„A. Fafard ........................... ....................... President and Treasurer 011e (gal”In0171 131111 of lttnattrlfuarffa Middlesex ss. IGCTDBER 27 19 95 Then personally appeared the above named Howard A. Fafard, President and Treasurer d acknowledged the foregoing instrument to be the free act and deed of the Fafard Real Estate and velopment Corpbefoteme ....ec.- ......... Notary pt -LLuirc nF the Parc Dry commission c;vpires .............. /[,... /// �......... I J CHAPTER 183 SGC. 6 AS AMENIDGD BY CHAPTER 497 OP 1969 Every deed presented for record shall contain or have endorsed upon it the full name, residence and post office address of rhe gramce and :,,at of dm amount of the full consideration ther4of in dollars or the nature of the olhcr consideration therefor, if not delivered for a ilic monetary sum. 'fhe full cnnsideratimt shall mean the total price for the mna•ey:mre without deduction for any liens Br enrnmhrantty .rued by the grantee or remaining thertvn, All such endorscnsems and recitals shall be renmlvd as pan of the d,,,i. Failure In nt•� i.I.,with :cairn shall not nifert flue validity of Roy dceJ. No register of deeds shall accept a deed f"r recording unless it is in Ixcnp! :::, .,:it!I the :iremcnis of this section. 10/05/95 THU 18:44 FAX 508 741 4883 SERAFINI&DARLING U004 I� EXHIBIT A That certain parcel of land situated on Technology Way, in Salem, Essex County, Massachusetts, and being shown as Lot 722, containing 4. 1 acres, more or less on a plan of land entitled: Subdivision of Lot 698 Land Court Case No. 11802 Definitive Plan of Land in Salem, MA owner: Fafard Real Estate and Development Corp. , 290 Eliot Street, Ashland, MA 01921, Prepared by: Fafard Real Estate and Development Corp. , 290 Eliot Street, Ashland, MA 01721, Date: 24 March 1995, Scale: 1" - 100' recorded with the Land Court Engineering Department onl0�, 1995, as Plan No. 11802-5-+-. All of said boundaries are determined by the Court to be located as shown upon Plan numbered 11802-_5+, drawn by Fafard Real Estate and Development Corp. , dated March 24, 1995, as medified and the L iled the T. tratle" affle sepy f + Lten 1.' h t - _"_led w4th eertjfieata�ill!10 NO. in the Registered T A r-AntleR at and the above described land isshownas Lot 722 on last mentioned plan. Said Lot 722 is conveyed subject to a thirty (30) foot wide Utility Easement, reserved for the benefit of grantor Fafard Real Estate and Development Corp. , its successors and assigns. Grantor shall install initial utilities within said Easement area on or before December 7, 1995. Subsequent to that date Grantor, its successors and assigns, shall give ten (10) days written notice to Grantee, its successors and assigns, of its intention to excavate the easement area for the purposes stated below. Evidence of reasonable insurance coverage for Grantor, its successors and assigns will also be required at this time. Said purposes shall be the installation, upgrading, expansion, maintenance, repair, replacement, operation or termination of one or more utility line or lines within the easement area, all of which rights are reserved hereunder to Grantor, its successors and assigns. The easement rights herein retained by Grantor shall not unreasonable interfere with Grantee, its successors and/or assigns use of the premises herein conveyed. Grantor, its successors and assigns, after excavation of the easement area, shall restore the area to the same or better condition as existed prior to said excavation. Said Lot 722 is conveyed with the right to use, in common with others lawfully entitled thereto, Lot 723 shown as Technology Way on said Plan, for all purposes as streets, roads and ways are commonly used in the Commonwealth of Massachusetts. Fafard Real Estate and Development Corp. , its successors and assigns, reserves the fee interest in said Lot 723, shown as Technology Way. Said Lot 722 is conveyed subject to the following easements, restrictions and rights of way of record, insofar as the same are now in force and applicable: LAND C T STON, The lane herein rill be shown on our approved plan to follow as OCT 25 1995 Plan I (EXAMINED AS TO DESCRIPTION ONI.Y Lo is A. Moore, Engin-.P. n 1. A Taking of Easement by the Essex County Commissioners, dated July 16, 1963, and filed as Document No. 106456 in said Registry of Deeds, and shown on plan filed with said Document. 2. A Taking of Easement by the City of Salem, dated July 8, 1965, as described in Document No. 115868 in said Registry of Deeds. 3 • A Taking of Easement by the Essex County Commissioners, dated November 6, 1966, and filed as Document No. 121948 in said Registry of Deeds. 4. A Special Permit from the City of Salem dated August 2, 1985, filed as Document No. 204357 in said Registry of Deeds. 5. A Decision of the City of Salem Planning Board dated August 2, 1985, filed as Document No. 206104 in said Registry of Deeds. The above described land is subject to an Easement granted to New England Telephone and Telegraph Company dated July 30, 1985, filed as Document No. 203793 in said Registry of Deeds. The above described land is subject to a Declaration of Restrictive Covenant dated May 14, 1986, filed as Document No. 212087 in said Registry of Deeds. The above described land is subject to certain rights and easements in favor of Lot 699 as described in Document No. 206220 in said Registry of Deeds, insofar as the same are now in force and applicable. The above described land is subject to Order of Conditions No. 64- 152 issued by the Salem Conservation Commission, filed as Document No. 239892 in said Registry, as extended by Extension Permits dated October 16, 1991, September 23, 1993 , October 28, 1993, February 24, 1994, April 28, 1994, and July 28, 1994, filed as Documents No. 266244, No.3k333a , No. 313333 , NO. 31333�F, NO.-31 3335, and No. 31 3 3i� , respectively, and as Amended by Amendment dated G45, , and filed as Document NO. Registry of Deeds. 3i 333 in said " r The above described land is subject to Order of Conditions No. 64- 178 issued by the Salem Conservation Commission, filed as Document No. 245902 in said Registry, as extended by Extension Permits dated October 22, 1992, September 23, 1993, October 28, 1993 , February 24, 1994, April 28, 1994, and July 28, 1994, filed as Documents No. 3k33,x� , No.-3 \ 33�nk7I No. 3\33aCs No. '313 4 , No.3\ 333x, and No. 3133 3 , respectively, in said Registry of Deeds. -2- i The above described land issubject to a Special Permit Decision of the City of Salem Planning Board, filed with the Salem City Clerk on April 24, 1995, as amended by a Decision filed with Salem Clerk on September 25, 1995, filed as Documents . 31 'St 3y G and No. ' i33•{ � , Norespectively, in said Registry of Deeds. The above described land is subject to a Subdivision Decision of the City of Salem Planning Board, filed with the Salem City Clerk on April 24, 1995, filed as Document No. 3 (3 3.13S in said Registry Of Deeds, and the Release issued therewith, filed in said Registry of Deeds as Document No. 3 l 33 3�( . Said Lot 722 is conveyed with the benefit of an Encroachment Easement dated March 25, 1991, filed as Doci}ment No. 262345 in said Registry of Deeds, insofar as the same 41s now in force and applicable. For grantor's title see Certificate of Title No. 62422 in said Registry of Deeds. r I t 1 I ' f I -3- I 1/thermald.eed-10/27 KAK ASSOCIATES 4 Jefferson Avenue Salem, MA 01970 INVOICE September 20, 1995 TO: The City of Salem AMOUNT: $50,000 DESCRIPTION: These funds shall be the principal amount of a low-interest, deferred loan to enable KAK Associates to purchase land at Technology Way in Salem, where KAK Associates will develop a 32,000 s.f. facility for Thermal Circuits, Inc. DATE DUE: September 22, 1995 KAK ASSOCIATES 4 Jefferson Avenue Salem, MA 01970 INVOICE September 20, 1995 TO: The City of Salem AMOUNT: $31,500 DESCRIPTION: This grant of$31,500 will be used to defray the cost of construction and site work in the development of a 32,000 s.f. facility for Thermal Circuits, Inc. at Technology Way in Salem. DATE DUE: September 22, 1995 CITY OF SALEM, MASSACHUSETTS PLANNING DEPARTMENT WILLIAM E. LUSTER ONE SALEM GREEN City Planners 01970 (508) 745.9595, EXT. 31FAX (508) 744-5918 September 12, 1995 Anthony A. Klein, President Thermal Circuits, Inc. 4 Jefferson Ave. Salem, MA 01970 Dear Mr. Klein: Attorney Ellen Winkler has requested that the City write a letter of commitment, outlining its role in the development of a new Thermal Circuits plant on Technology Way in Salem. Please consider this letter as evidence of the City's commitment to provide the following forms of financial assistance: • $50,000 no-interest, deferred loan to be repaid when the company sells its Jefferson Avenue facility • $19,000 grant to defray the cost of site work • $12,500 grant to defray the cost of construction The City intends to make the loan and to provide the other funds at the time of your closing on the property with Fafard Real Estate and Development. If you have any questions about this matter, please feel free to contact me. i erely. 111iam ter City PI cc: Attorney Ellen Winkler, Serafini. Serafini& Darling SERAFINI, SERAFINI AND DARLING ATTORNEYS AT LAW 63 FEDERAL STREET SALEM. MASSACHUSETTS 01970 JOHN R. SERAFINI. SR. TELEPHONE JOHN R. SERAFINI.JR. 500-7440212 JOHN E. DARLING 617-501-2743 ELLEN M. WINKLER T ELECO PIER JOSEPH C. CORRENTI November 6, 1995 506-741-4603 VIA HAND DELIVERY Ms. Michelle Camarata City of Salem Planning Department One Salem Green Salem, MA 01970 Re: SNampSCOtt Road, Salem, Massachusetts Dear Michelle: Enclosed please find the following: 1. Original Loan Agreement executed by KAK Associates, KAK Realty Trust, Jefferson Realty Trust and the City; 2 . Copy of a Trustee's Certificate for KAK Realty Trust, filed as Document No. 313353 ; 3 . Copy of the Mortgage granted by KAK Realty Trust to the City on One Technology Way, filed as Document No. 313354 ; 4. Copy of a Trustee's Certificate of Jefferson Realty Trust, recorded at Book 13269, Page 178 ; 5. Copy of the Mortgage granted by Jefferson Realty Trust to the City on 4 Jefferson Avenue, recorded at Book 13269, Page 179 ; 6. Copy of the Deed from Fafard Real Estate and Development Corp. to the City, filed as Document No. 313347 ; and 7. Copy of the Deed from Fafard Real Estate and Development Corp. to KAK Realty Trust, filed as Document No. 313349. Kindly forward a check in the amount of Forty and No/100 ($40. 00) Dollars payable to Serafini, Serafini and Darling, to cover the cost of recording the deed for Technology Way. If you have any questions, or would like copies of additional documentation, please feel free to call. Ms. Michelle Camarata Page Two November 6 , 1995 Thank you for your assistance in bringing this matter to its long-awaited conclusion. Very truly yours, /i Ellen M. Winkler EMW:cbg Enclosures IRAN AGREEMENT AGREEMENT made this day of (j6 YD hey- , 1995 by and between KAK Associates, a Massachusetts general partnership of Salem, Essex County, Massachusetts ("KAK") , John H. Kellogg, Trustee of KAK Realty Trust, u/d/t dated 06(nhz,✓ a2, 1995, filed with the Registered Land Division of the Essex South District Registry of Deeds as Document No. 3133`(';5 ("KAK Realty Trust") , John H. Kellogg, Trustee of Jefferson Realty Trust, u/d/t dated December 12, 1984 , recorded in the Essex South District Registry of Deeds, Book 7603 , Page 446 ("Jefferson Realty Trust") , and the City of Salem, a municipal corporation (the "City") , acting by and through its Planning Department. WHEREAS, Jefferson Realty Trust is the owner of real property located at 4 Jefferson Avenue, Salem, Essex County, Massachusetts (the "Jefferson Avenue Site") , which property presently houses manufacturing facilities operated by Thermal Circuits, Inc. , a Massachusetts corporation ("Thermal") ; and WHEREAS, KAK Realty Trust is the prospective Buyer of real property situated off Swampscott Road in Salem, Massachusetts, shown as Lot 722 on a subdivision plan entitled "Subdivision of Lot 698, Land Court Case No. 11802, Definitive Plan of Land in Salem, MA" dated March 24, 1995, under an agreement for the purchase and sale of said Lot 722 dated October ,, 1995; and WHEREAS, Thermal intends to relocate its manufacturing facilities from the Jefferson Avenue Site to new facilities to be constructed by KAK on Lot 722 ; and WHEREAS, the City has agreed to make an interest-free loan to KAK in the amount of Fifty Thousand and No/100ths ($50, 000. 00) Dollars, to help KAK and KAK Realty Trust offset the cost of the purchase of Lot 722 ; NOW, THEREFORE, in consideration of the mutual obligations and agreements set forth below, the parties hereto agree as follows: 1. At the time of closing on KAK Realty Trust's purchase of Lot 722, the City will make an interest-free, deferred loan in the amount of Fifty Thousand and No/100ths ($50, 000. 00) Dollars to KAK to be applied to the cost of said purchase. 2 . Such loan will be repaid by KAK upon the sale of the Jefferson Avenue Site. 3 . KAK's obligation to repay the Fifty Thousand and 00/100ths ($50, 000. 00) Dollars loan will be secured by a mortgage placed on the Jefferson Avenue Site which shall be subordinate to the Jefferson Realty Trust's existing mortgages to Shawmut Merchants Bank, N.A. and the Small Business Administration and a mortgage to be placed on Lot 722 which will be subordinate to Eastern Bank and the Small Business Administration. IN WITNESS WHEREOF, KAK Associates, KAK Realty Trust, Jefferson Realty Trust and the City have caused this Agreement to be executed as a sealed instrument on the day and year first written above. KAK ASSOCIATES ll By: A onyrKlein, e ral Partner/ David M. Abbot, General Partner By• � �•�.� n H. Kellogg, General Partner KAK REALTY TRUST By• � -s— hn H. Kellogg, T e JEFFERSON REALTY TRUST By• 2s n H. Kellogg, tee CITY OF SALEM ) By•' 3\thermal\loan.agr 313 3S3 SCLiTH S-EGISTFY D'S-'•-'. CERTIFICATE OF TRUSTEE NOV 31 The undersigned, John H. Kellogg,':PeR. tF o eal y Trust under Declaration of Trust dated October 277'_ttl.-ed - with the Registered Land Division of the 'E's AJ$M K District Registry of Deeds as Document No. 313 34/9 , here y hat: 1. I am the only Trustee of the said Trust; 2. The Trust has not been altered, amended, revoked or terminated, except as aforesaid, and is in full force and effect; 3 . I have been directed by the beneficiaries of said Trust to execute and deliver a Loan Agreement and Mortgage to the City of Salem (the "Mortgagee") concerning real property, title to which is held by me as Trustee of this Trust at One Technology Way, Salem, Massachusetts, which Mortgage will secure the repayment of a $50, 000 grant from the City of Salem to KAK Associates for the purchase of real property located at One Technology Way, Salem, Massachusetts; 4. The beneficiaries of this Trust are above the age of majority and are not incapacitated. IN WITNESS WHEREOF, I have set my hand and seal this -1h day of n(,ftj X4 , 1995. hn H. Kellogg, TIIQZ de COMMONWEALTH OF MASSACHUSETTS Essex, ss. _LC,&kX,7 3f?) , 1995 Then personally appeared the above-named John H. Kellogg, Trustee as aforesaid, and acknowledged the foregoing instrument to be his free act and deed, before me, r Notary Public / My commission expires: / -16_,, 3\Thermal\TrusteeK.Crt JDNNl. Q'9RfEN.dR 4Eg�r�;C�� CERTIFICATE OF RIIS �� 3 5 The undersigned, John H. jgrJ Tr, ste ,of Jef erson Realty Trust under Declaration of #044 date De'ceinbe by 1984, recorded with Essex South District Regisir— 'Heeds iBook 7603, Page 446, hereby certify that: -- 1. I am the only Trustee of the said Trust; 2. The Trust has not been altered, amended, revoked or terminated, except as aforesaid, and is in full force and effect; 3. I have been directed by the beneficiaries of said Trust to execute and deliver a Loan Agreement and Mortgage to the City of Salem (the "Mortgagee") concerning real property, title to which is held by me as Trustee of this Trust at 4 Jefferson Avenue, Salem, Massachusetts, which Mortgage will secure the repayment of a $50, 000 grant from the City of Salem to KAY Associates for the purchase of real property located at One Technology Way, Salem, Massachusetts; 4. The beneficiaries of this Trust are above theage of majority and are not incapacitated. IN WITNESS WHEREOF, I have set my hand and seal this &yam day of 0ay1Qf4 1995. ohn H. Kellogg, lqr ee COMMONWEALTH OF MASSACHUSETTS Essex, ss. (}(�7�hc� d'p, 1995 Then personally appeared the above-named John H. Kellogg, Trustee as aforesaid, and acknowledged the foregoing instrument to be his free act and deed, before me, Notary Public / My commission expires: ((0 110 3\Therma1\TrusteeJ.Crt 5 % � ,aOUFH JEG1gTFW 01ST QTJ WEN 1F aE6tiTFF SLI } MORTGAGE i)ATE KNOW ALL MEN BY THESE PRESENTS THAT I, JOHN H. KELLOGG, TRUSTEE OF J7tEF�F£1LSOD_2E&LT.T TRUST Ju/d/t dated December 12, 1984, recorded in Z1e—Essex--Sou -Da.gtrict Registry of Deeds, in Book 7603 , Page 446, of Salem, Essex County, Massachusetts (the "Mortgagor") , for consideration paid, hereby grant to the City of Salem, a municipal corporation. (the "City") , acting by and through its Planning Department (the "Mortgagee") with MORTGAGE COVENANTS, to secure the payment of $50,000.00 by KAK Associates, a Massachusetts general partnership ("KAK") to the City as provided in a Loan Agreement of even date (the "Agreement") , the following described land with the structures thereon, described on Schedule A attached hereto (the "mortgaged premises") . Subject to a first mortgage by the Mortgagor to Shawmut Merchants Bank, N.A. , dated March 20, 1985, recorded with said Registry of Deeds, in Book 7960, Page 535. Upon written request of the Mortgagee, the Mortgagor covenants to pay to the Mortgagee on each interest payment date during the term hereof an amount equal to one-twelfth (1/12) of the municipal `taxes and assessments, if any, which the Mortgagee estimates will become payable on account of the mortgaged premises within the year next succeeding, and to pay to the Mortgagee when the actual amount of such taxes and assessments becomes known, the amount of any deficiency of the fund so collected. The Mortgagee agrees to apply the fund so collected to the payment of said municipal taxes and assessments, refunding to the Mortgagor the amount of any excess of the fund so collected, provided at such time there is no breach of or default in any of the conditions, covenants, agreements, or stipulations of this mortgage. In the event that the ownership of the mortgaged premises, or any part thereof, becomes vested in anyone other than the Mortgagor named herein, the whole sum of principal and interest then remaining unpaid shall become immediately due without notice at the option of the Mortgagee, or the Mortgagee may, without notice to the Mortgagor named herein, deal with such successor or successors in interest with reference to the mortgage and the debt hereby secured, and in the same manner as with the Mortgagor named herein, without in any way vitiating or discharging any Mortgagor' s liability hereunder or upon the debt hereby secured. The Mortgagor makes the following covenants to the Mortgagee, any breach of which shall constitute a default hereunder: 1. to pay when due all taxes, charges, assessments and water rates to whomsoever laid or assessed, whether on the mortgaged premises or on any interest therein or on the debt or obligation secured hereby; 2. to keep the buildings now or hereafter on the mortgaged premises insured against fire and such other casualties and contingencies as the Mortgagee may from time to time require, all such insurance to be deposited with and first payable in case of loss to the Mortgagee and to be written by such companies, through such agencies on such terms, in such form and for such periods and amounts as the Mortgagee shall from time to time approve, hereby granting to the Mortgagee in the event of foreclosure full authority as attorney irrevocable of the Mortgagor to cancel such insurance and retain the return premiums thereof or to transfer such insurance to any person or persons claiming title to the mortgaged premises or any part thereof by virtue of foreclosure proceedings; 3. To keep the mortgaged premises in such repair, order and condition as the same now are or may hereafter be put, reasonable wear and tear and damage by fire only excepted; 4. to pay interest at the rate and times herein provided upon all sums from time to time secured hereby; This mortgage is upon the STATUTORY CONDITION, and upon the further condition that the Mortgagor shall not convey or otherwise transfer (voluntarily or by operation of law) the mortgaged premises, for any breach of which the Mortgagee shall have the STATUTORY POWER OF SALE. The rights and obligations hereunder shall be governed by the laws of the Commonwealth of Massachusetts. In the event that any provision or clause of this mortgage or the note secured hereby conflicts with applicable law, such conflict shall not affect other provisions of this mortgage or said note, which can be given effect without the conflicting provision, and to this end the provisions of this mortgage and said note are declared to be severable. This mortgage secures the obligation of KAK to repay $5b, 000.00 to the City as provided in the Agreement. Any default under said Agreement may be considered by the Mortgagee as a default under this mortgage. 2 IN WITNESS WHEREOF, I, the said JOHN H. KELLOGG, TRUSTEE OF JEFFERSON REALTY TRUST have hereunto set my hand and seal this day of October, 1995. JEFFERSON REALTY TRUST BY: rwZ¢sa HN H. KELLOGG, TEE COMMONWEALTH OF MASSACHUSETTS Essex, ss. October k, 1995 Then personally appeared the above named and acknowledged the foregoing to be his free act and deed, before me, Notary Public My commission expires: 3\THERMAL\M0RTGAGE.JEF 3 SCHEDULE A A certain triangular piece or parcel of land with the buildings thereon situated in Salem in the County of Essex and commonwealth of Massachusetts, known and numbered 4 Jefferson Avenue, bounded and described as follows: SOUTHEASTERLY by es (35) feet; Three Hundred Eight and Five Tent SOUTHWESTERLY by Winthrop Street, One Hundred Eighty-Five and Four Tenths (185.4) feet NORTHERLY by Margin Thrfeet. ee 4) dred Twelve and Sixty- FouHundredths Said parcel containing Twenty-Seven Thousand Four Hundred Seventy (27, 470) square feet. 4 MORTGAGE 1_S-- EX SOUTH REGISTRY DIST RIC KNOW ALL MEN BY THESE PRESENTS THAT Nov S i iFp __ p Ct I, JOHN H. KELLOGG TRUSTEE OF KAKIREAtW7 RII SOCK N•. S u/d/� dated O ak-4 .. ?-1 _, 1995, filed with the Registe2rAoo taW Division_ of the Essex South District Registry of Deeds- as8= c o 31 .3q , of Salem, Essex County, Massachusetts (the "Mortgagor") , for consideration paid, hereby grant to the City of Salem, a municipal corporation (the "City") , acting by and through its Planning Department (the "Mortgagee") with MORTGAGE COVENANTS, to secure the payment of $50,000. 00 by KAK Associates, a Massachusetts general partnership ("KAK") to the City as provided in a Loan Agreement of even date (the "Agreement") , the following described land with the structures thereon, described on Schedule A attached hereto (the "mortgaged premises") . S���}�r��+ect to a first mortgage by the Mortgagor to Eastern Bank, dated 004- l" �, 1995, filed with said Registry of Deeds as Document No. S Upon written request of the Mortgagee, the Mortgagor covenants to pay to the Mortgagee on each interest payment date during the term hereof an amount equal to one-twelfth (1/12) of the municipal taxes and assessments, if any, which the Mortgagee estimates will become payable on account of the mortgaged premises within the year next succeeding, and to pay to the Mortgagee when the actual amount of such taxes and assessments becomes known, the amount of any deficiency of the fund so collected. The Mortgagee agrees to apply the fund so collected to the payment of said municipal taxes and assessments, refunding to the Mortgagor the amount of any excess of the fund so collected, provided at such time there is no breach of or default in any of the conditions, covenants, agreements, or stipulations of this mortgage. In the event that the ownership of the mortgaged premises, or any part thereof, becomes vested in anyone other than the Mortgagor named herein, the whole sum of principal and interest then remaining unpaid shall become immediately due without notice at the option of the Mortgagee, or the Mortgagee may, without notice to the Mortgagor named herein, deal with such successor or successors in interest with reference to the mortgage and the debt hereby secured, and in the same manner as with the Mortgagor named herein, without in any way vitiating or discharging any Mortgagor' s liability hereunder or upon the debt hereby secured. The Mortgagor makes the following covenants to the Mortgagee, any breach of which shall constitute a default hereunder: 1. to pay when due all taxes, charges, assessments and water rates to whomsoever laid or assessed, whether on the mortgaged premises or on any interest therein or on the debt or obligation secured hereby; 2. to keep the buildings now or hereafter on the mortgaged premises insured against fire and such other casualties and contingencies as the Mortgagee may from time to time require, all such insurance to be deposited with and first payable in case of loss to the Mortgagee and to be written by such companies, through such agencies on such terms, in such form and for such periods and amounts as the Mortgagee shall from time to time approve, hereby granting to the Mortgagee in the event of foreclosure full authority as attorney irrevocable of the Mortgagor to cancel such insurance and retain the return premiums thereof or to transfer such insurance to any person or persons claiming title to the mortgaged premises or any part thereof by virtue of foreclosure proceedings; 3 . To keep the mortgaged premises in such repair, order and condition as the same now are or may hereafter be put, reasonable wear and tear and damage by fire only excepted; 4. to pay interest at the rate and times herein provided upon all sums from time to time secured hereby; This mortgage is upon the STATUTORY CONDITION, and upon the further condition that the Mortgagor shall not convey or otherwise transfer (voluntarily or by operation of law) the mortgaged premises, for any breach of which the Mortgagee shall have the STATUTORY POWER OF SALE. The rights and obligations hereunder shall be governed by the laws of the Commonwealth of Massachusetts. In the event that any provision or clause of this mortgage or the note secured hereby conflicts with applicable law, such conflict shall not affect other provisions of this mortgage or said note, which can be given effect without the conflicting provision, and to this end the provisions of this mortgage and said note are declared to be severable. This mortgage secures the obligation of KAK to repay $50,000.00 to the City as provided in the Agreement. Any default under said Agreement may be considered by the Mortgagee as a default under this mortgage. 2 IN WITNESS WHEREOF, I, the said JOHN H. KELLOGG, TRUSTEE OF KAK REALTY TRUST have hereunto set my hand and seal this 3tPf day of October, 1995. KAK REALTY TRUST BY _ )HN H. KELLOGG, ST GG, ST E En 4 COMMONWEALTH OF MASSACHUSETTS Essex, ss. October 3, 1995 Then personally appeared the above named and acknowledged the foregoing to be his free act and deed, before me,Notary Public / My commission expires: '-( 3\THERMAL\MORTGAGE.KAK 3 SCHEDULE A That certain parcel of land situated on Technology Way, in Salem, Essex County, Massachusetts, and being shown as Lot 722, containing 4 . 1 acres, more or less on a plan of land entitled: Subdivision of Lot 698, Land Court Case No. 11802, Definitive Plan of Land in Salem, MA Owner: Fafard Real Estate and Development Corp. , 290 Eliot Street, Ashland, MA 01921, Prepared by: Fafard Real Estate and Development Corp. , 290 Eliot Street, Ashland, MA 01721, Date: 24 March 1995, Scale: 1" = 100' recorded with the Land Court Engineering Department on October 24, 1995, as Plan No. 11802-54. All of said boundaries are determined by the Court to be located as shown upon Plan numbered 11802-54, drawn by Fafard Real Estate and Development Corp. , dated March 24, 1995, and' the above described land is shown as Lot 722 on last mentioned plan. Together with the right to use, in common with others lawfully entitled thereto, Lot 723 shown as Technology Way on said Plan, for all purposes as streets, roads and ways are commonly used in the Commonwealth of Massachusetts. Together with the benefit of an Encroachment Easement dated March 25, 1991, filed as Document No. 262345 in said Registry of Deeds, insofar as the same is now in force and applicable. Subject to a thirty (30) foot wide Utility Easement, reserved for the benefit of Fafard Real Estate and Development Corp. ("Fafard") , its successors and assigns, as described in deed of Fafard to the Mortgagor herein of even date and filed in said Registry of Deeds herewith. Subject to the following easements, restrictions and rights of way of record, insofar as the same are now in force and applicable: 1. A Taking of Easement by the Essex County Commissioners, dated July 16, 1963 , and filed as Document No. 106456 in said Registry of Deeds, and shown on plan filed with said Document. 2-. A Taking of Easement by the City of Salem, dated July 8, 1965, as described in Document No. 115868 in said Registry of Deeds. 3 . A Taking of Easement by the Essex County Commissioners, dated November 8, 1966, and filed as Document No. 121948 in said Registry of Deeds. 4 . A Special Permit from the City of Salem dated August 2 , 1985, filed as Document No. 204357 in said Registry of Deeds. 5. A Decision of the City of Salem Planning Board dated August 2 , 1985, filed as Document No. 206104 in said Registry of Deeds. Subject to an Easement granted to New England Telephone and Telegraph Company dated July 30, 1985, filed as Document No. 203793 in said Registry of Deeds. Subject to a Declaration of Restrictive Covenant dated May 14, 1986, filed as Document No. 212087 in said Registry of Deeds. Subject to certain rights and easements in favor of Lot 699 as described in Document No. 206220 in said Registry, insofar as the same are now in force and applicable. Subject to Order of Conditions No. 64-152 issued by the Salem Conservation Commission, filed as Document No. 239892 in said Registry, as extended by Extension Permits dated October 16, 1991, September 23, 1993, October 28, 1993, February 24, 1994, April 28, 1994, and July 28, 1994, filed as Documents No. 266244, No.313332_ , No. , No.3/333LI , No.313335 , and No. 31333(. , respectively, and as Amended by Amendment dated Rpri I 13 I9QS , and filed as Document No. 31 �3'�'7 in said Registry of Deeds. Subject to Order of Conditions No. 64-178 issued by the Salem Conservation Commission, filed as Document No. 245902 in said Registry, as extended by Extension Permits dated October 22, 1992, September 23, 1993 , October 28, 1993, February 24 , 1994, April 28, 1994, and July 28, 1994, filed as Documents No. 317-)32-(o , No. 313 , No. 3133 8 , No.3)33Lc( , No. 3(3 3�b and No. 313331 . respectively, in said Registry of Deeds. Subject to a Special Permit Decision of the City of Salem Planning Board, filed with the Salem City Clerk on April 24, 1995, as amended by a Decision filed with the Salem Clerk on September 25, 1995, filed as Documents No. 3133140 and No. 313 5q respectively, in said Registry of Deeds. Subject to a Subdivision Decision of the City of Salem Planning Board, filed with the Salem City Clerk on April 24 , 1995, filed as Document No.313 3 3$ in said Registry of Deeds, and the Release issued therewith, filed in said Registry of Deeds as Document No. 31333q . Being the same premises conveyed to the Mortgagor by Deed of Fafard Real Estate and Development Corp. dated O�IaN 7 1995, to be filed with said Registry of Deeds herewith. 513 3Ll1� 1/thermdes.mtg i MASBAOHUSETT9 OUITCLAM DEED BY GORPQ�TION (SHORT FORM) 006 1 1ESSEX SOUTH REGISTRY DISTRICT Fafard Real Estate and Development Corp. a corporation duly established under the laws of the Commonwealth ofiMassach'�—i and having its usual place of business at 290 Eliot SSsget, Ashland, Midw@Vse73 I-- assachuse is RECIEVED O'CLOC t� Lars for consideration aid, and in full consideration of . Four Hundred Fifty T ousan an UU�1llU si 414P0 000.00)p i',AE ISTRATION BK g nstb The City of Salem, Massachusetts a municipal Corporation of 93 Washington Street, Salem, MA 01970 with quiTrluiln rnuentlnis the land in Salem, Essex County, Massachusetts, described as follows: (Description and encumbrances,if any) �}kk kktZfltP S w4rrPDf, thesaid Fafard Real Estate and Development Corp. has caused its corporate seal to be hereto affixed and these presents to be signed, acknowledged and delivered in its name and behalf by Howard A. Fafard its President and Treasurer i§§g hereto duly authorized, this a q fh day of September in the year one thousand nine hundred and ninety-five Sig9ed�and sealed in presence of Fafard Real Estate and Development Corp. /) ............................................... . . . . . ....... 1 q . ... .. .. ..... . ._. _o by Howard A. Fafard, President and Treasurer 014e QTvii1 uunmeulflj of MannarlluorfYs Middlesex ss. September Z9 1 19 95 Then personally appeared the above name-1 Howard A. Fafard,y-Pres .dent ani Treasurer, , Fafard Real Estate and and acknowledged the foregoing instrument to be the free act and deed of the Development Corp. before me ............ ................................ ................... ......................... Not. Pu/hlie--iu.srirc of the Pearc My commission expires ......................��i... ...... ......... 19 CHAPTER 183 SEC. 6 AS AMENDED 13Y CHAPTER 497 OF 1969 Every decd presented for record shall contain or have endorsed upon it the full name, residence and post office address of the granece and a recital of the amount of the full consideration thereof in dollars or the nature of the cidwr consideration therefuq if not drfivered for a specific monetary sum. The full eonsideratinn shall mean the total price for the convepan('c widhout deduction for illy liens or ennunhrmly, assumed by the grantee or remaining thereon. All such endorsements and recitals shall be rca.rded as pan of the deed. poifuro n, r�r r!� with this section shall not affect the validity of any decd. No register of deeds shall inept a dmi fi!r recording unless it it in ron;,i !,. the requirements of this section. EXHIBIT"A" That certain parcel of land in Salem, Essex County, Massachusetts, located on Technology Way and shown as Lot 723 and as "Technology Way" shown on a plan of land entitled: Subdivision of Lot 698 Land Court Case No. 11802 Definitive Plan of Land in Salem, MA Owner: Fafard Real Estate and Development Corp., 290 Eliot Street, Ashland, MA 01721, Prepared by: Fafard Real Estate and Development Corp., 290 Eliot Street, Ashland, MA 01721, Date: 24 March 1995, Scale: 1" = 100' recorded with the Land Court Engineering Department on a AV6,0( 2-+ , 1995 as Plan No. 11802 - 54. Grantor, its successors and assigns, reserves the right and easement, is common with those lawfully entitled thereto, to use Lot 723, "Technology Way", as shown on said plan, for all purposes as streets, roads and ways are commonly used in the Commonwealth of Massachusetts. The lot herein conveyed is subject to easements, restrictions and rights of way of record, if any, as the same are now in force and applicable. The lot herein conveyed is not all or substantially all of the Grantor's assets in the Commonwealth of Massachusetts. For title see Certifcate 62422 Essex South District of the Land Court. fonndSalex723 LAND RT ETON, The lana herein+if�be Shown on our approved plan to follow,as OCT 25 1995; Plan 11802-'Cot 'lCC�1 1 (EXAMINED AS TO DESf. ?MT1 t°Jg-Y) l Louis A Moa*e Erorfiff al z . e MASliAOH V5HTT9 OUITGIAM DEED eY GORP RATION (SHORT FORM) 0c4� ESSEX SOt. - ✓ y 7 Fafard Real Estate and Development Corp. 3 I corporation duly established under the laws of the Commonwealth of Ma sachusetts / -:d fiaving its usual flat<®f lana+mess at 29D F.11oS Slrzet, Ashland., Middlli��cfr i) _.O'CLOCK:M Count ,Massachusetts >r consideration paid, and in full consideration of LGvxLe.G� LUQ / .cn,sto JOHN H. KELLOGG, TRUSTEE OF .KAK REALTY TRUST under Declaration of Trust of even date, filed herewith, �p !(�,l >� [ �� /1/l/� 0/kZ7% with quifrluiul rnurnanfs _ elandin Salem, Essex County, Massachusetts , more -particularly described in Exhibit "A", attached hereto. - (]Description and encumbrances,if any) x t The lot herein conveyed is not all or substantially all of the Grantor's assets in the Commonwealth of Massachusetts. lit witnrao w4puuf, thesaid Fafard Real Estate and Development Corp. as caused its corporate seal to be hereto affixed and these presents to be signed, acknowledged and delivered 1 its name and behalf by Howard A. Fafard, President and Treasurer hereto duly authorized, this "7 }h 1Y of QC7o 8 ER in the year one thousand nine hundred and ninety-five , .r fined and sealed in presence of Fafard Real Estate and Development Corp. ............... ..... .................... by ,Howard„A. Fr . .afa. . d. ................................................... President and Treasurer afflr (Flnnnnnnurrulfll of filuuaarl)uarffa - Middlesex ss. OC.TvBEA 2-7, 19 95 Then personally appeared the above named Howard A. Fafard, President and Treasurer d acknowledged the foregoing instrument to be the free act and deed of the Fafard Real Estate and `' , ,I velopment Corpbefore me Notary Pl slie--hlslire of (hr peace My colnrnissiun Upires ............... .....:...... 19 CHAPTER 183 SEC. 6 AS AMENDED DY CHAPTER -197 OF 1969 —very decd presented for record shall contain or have endorsed upon it the full name, residence and post office address of the granuc and :hal of die amount of the full considrratlon theroof in dollars or the MQUrc of the ot!lvr consideration therefor, if not ddivcrcd For a ,.ic menetar'sum. 7'Ise full consideration shall mean the total price for the rnmcyame wi�hour deduction for any liens or i orad for .1 W by the gruuce or remaining thcreua. All such wdorsenscnis and «citals sh:dl be rcaq•Icd as pan of the deal. F;liluro In ncu with :remcnoll shall not ndcot the validity of any decd. No R,gister of detds shall accept a deed fw recording unless it is in a.:npi ::: . •.;ith dtu :irtm<nls of Ilsis section. 10/05/95 THU 18:44 FAX 508 741 4883 SERAFINI&DARLING U004 EXHIBIT A That certain parcel of land situated on Technology Way, in Salem, Essex County, Massachusetts, and being shown as Lot 722, containing 4.1 acres, more or less on a plan of land entitled: Subdivision of Lot 698 Land Court Case No. 11802 Definitive Plan of Land in Salem, MA Owner: Fafard Real Estate and Development Corp. , 290 Eliot Street, Ashland, MA 01921, Prepared by: Fafard Real Estate and Development Corp. , 290 Eliot Street, Ashland, MA 01721, Date: 24 March 1995, Scale: 1" = 100' recorded with the Land Court .2 Engineering Department Onl , 1995, as Plan No. 11802-194- . All of said boundaries aredeterminedby the Court to be located as shown upon Plan numbered 11802-5�L, drawn by Fafard Real Estate and Development Corp. , dated March 24, 1995, &B ffiedified • by the Ekled in the T3&Hd s tten >,i w is i the D 4 ♦ A Land seation• of Essex __South 91stL184-5 � ^�T^ ^f nsods, and the above described land is shown as Lot 722 on last mentioned plan. Said Lot 722 is conveyed subject to a thirty (30) foot wide Utility Easement, reserved for the benefit of grantor Fafard Real Estate and Development Corp. , its successors and assigns. Grantor shall install initial utilities within said Easement area on or before December 71 1995. Subsequent to that date Grantor, its successors and assigns, shall give ten (10) days written notice to Grantee, its successors and assigns, of its intention to excavate the easement area for the purposes stated below. Evidence of reasonable insurance coverage for Grantor, its successors and assigns will also be required at this time. Said purposes shall be the installation, upgrading, expansion, maintenance, repair, replacement, operation or termination of one or more utility line or lines within the easement area, all of which rights are reserved hereunder to Grantor, its successors and assigns. The easement rights herein retained by Grantor shall not unreasonable interfere with Grantee, its successors and/or assigns use of the premises herein conveyed. Grantor, its successors and assigns, after excavation of the easement area, shall restore the area to the same or better condition as existed prior to said excavation. Said Lot 722 is conveyed with the right to use, in common with others lawfully entitled thereto, Lot 723 shown as Technology way on said Plan, for all purposes as streets, roads and ways are commonly used in the Commonwealth of Massachusetts. Fafard Real Estate and Development Corp. , its successors and assigns, reserves the fee interest in said Lot 723, shown as Technology Way. Said Lot 722 is conveyed subject to the following easements, restrictions and rights of way of record, insofar as the same are now in force and applicablei LAND C T STON, The land herein t ill be shown on our approved plan to follow as OCT 25 1995 Plan I�$�Z 7`► LaLZ __ (EXAMINED AS TO DESCRIPTION ONLY; Lo is A. Moore, Enginee- l 1. A Taking of Easement by the Essex County Commissioners, dated July 16, 1963, and filed as Document No. 106456 in said Registry of Deeds, and shown on plan filed with said Document. 2. A Taking of Easement by the City of Salem, dated July 8, 1965, as described in Document No. 115868 in said Registry of Deeds. 3 . A Taking of Easement by the Essex County Commissioners, dated November 8, 1966, and filed as Document No. 121948 in said Registry of Deeds. 4. A Special Permit from the City of Salem dated August 2, 1985, filed as Document No. 204357 in said Registry of Deeds. S. A Decision of the City of Salem Planning Board dated August 2, 1985, filed as Document No. 206104 in said Registry of Deeds. The above described land is subject to an Easement granted to New England Telephone and Telegraph Company dated July 30, 1985, filed as Document No. 203793 in said Registry of Deeds. The above described land is subject to a Declaration of Restrictive Covenant dated May 14, 1986, filed as Document No. 212087 in said Registry of Deeds. The above described land is subject to certain rights and easements in favor of Lot 699 as described in Document No. 206220 in said Registry of Deeds, insofar as the same are now in force and applicable. The above described land is subject to Order of Conditions No. 64- 152 issued by the Salem Conservation Commission, filed as Document No. 239892 in said Registry, as extended by Extension Permits dated October 16, 1991, September 23, 1993, October 28 , 1993, February 24, 1994, April 28, 1994, and July 28, 1994, filed as Documents No. 266244, No.3k3'33,;L , No. 3k3333 , No. No.-3 i -s-3-3-1>-, and No. 3k 3 33G , respectively, and as Amended by Amendment dated Apac 13, ( G55. , and filed as Document No. Registry of Deeds. 3i 33:37 in said The above described land is subject to Order of Conditions No. 64- 178 issued by the Salem Conservation Commission, filed as Document No. 245902 in said Registry, as extended by Extension Permits dated October 22, 1992, September 23, 1993, October 28, 1993, February 24, 1994, April 28, 1994, and July 28, 1994, filed as Documents No. 3k33aG , No."3 \33 7 , No. 3\33aCS No. 3 � 33�q , No.3\ 3330, and No. 3��s3 3 � , respectively, in said Registry of Deeds. -2- i f The above described land is subject to a Special Permit Decision of the City of Salem Planning Board, filed with the Salem City Clerk on April 24, 1995, as amended by a Decision filed with the Salem Clerk on September 25, 1995, filed as Documents No. 3l � `+G and No. i33y \ respectively, in said Registry of Deeds. The above described land is subject to a Subdivision Decision of the City of Salem Planning Board, filed with the Salem City Clerk on April 24, 1995, filed as Document No. -I (3 3-3S in said Registry Of Deeds, and the Release issued therewith, filed in said Registry of Deeds as Document No. 3 ( 33 Said Lot 722 is conveyed with the benefit of an Encroachment Easement dated March 25, 1991, filed as Doc9ment No. 262345 in said Registry of Deeds, insofar as the same bis now in force and applicable. For grantor's title see Certificate of Title No. 62422 in said Registry of Deeds. • I j 1 f I I -3- I 1/thermald.sed-10/27 v��LON81T,l�Qi �9ff�/MINE D�� CITY OF SALEM, MASSACHUSETTS NEIL J. HARRINGTON MAYOR August 11, 1994 William A. Fitzhenry U.S. Department of Commerce Economic Development Administration Thomas P. O'Neill, Jr. Federal Building 10 Causeway Street Boston, MA 02222 Dear Mr. Fitzhenry: The City of Salem is prepared to submit an application to the Economic Development Administration for $400,000 of Public Works and Development Facilities Assistance. The project which the City is proposing is construction of an access road which will create a new industrial park in Salem. If funded, this project will allow Salem to retain Thermal Circuits, a Salem-based manufacturer of surface heaters and heater assemblies with 63, full-time employees, as well as assist in attracting four other medium sized manufacturing firms to Salem. Thermal Circuits has outgrown its current manufacturing facility and must move into an expanded plant by July, 1995. Currently, no suitable facility exists in Salem. However, the City has worked hard to find a parcel of industrial land that would be very suitable for Thermal Circuits. The owner of the land is Fafard Real Estate and Development Corporation. Discussions between the City, the land owner and Thermal Circuits have led to an understanding that Thermal Circuits will locate at this site and, the land owner will create four additional, four-acre development parcels, provided that the City can obtain Economic Development Administration (EDA) funding to construct a road and infrastructure. If this is done, the land owner will greatly subsidize the sale price of the parcel to Thermal Circuits. The land cost subsidy is vital because the total cost of constructing a new plant in Salem is estimated at $1.6 million while an existing, facility outside of Salem can fit their specifications at a cost of $1.1 million. Without help in defraying a portion of the $500,000 difference of developing a new facility in Salem, the City will lose 63 manufacturing jobs and approximately $17,000 in tax revenue. A brief description of yhe project and its potential benefits is attached. We hope that you will review our preliminary proposal and forward a preapplication form to us as soon as possible. Sincerely, Neil J. Harrington Mayor SALEM CITY HALL • 93 WASHINGTON STREET • SALEM. MASSACHUSETTS 01970 • 508/7459595 . FAX 508/744-9327 i City of Salem, Massachusetts--Thermal Circuits Proposal for Public Works and Facilities Program Salem Risks Losing Manufacturing Jobs: Thermal Circuits, a Salem-based manufacturer of surface heaters and heater assemblies, has outgrown its antiquated, three-floor, 27,000-square foot facility. To remain competitive and upgrade its production processes to fulfill new contracts, the company must move to a modern, single-floor, 30,000 square foot facility by July 1, 1995. No suitable site currently exists in Salem. If a new facility is not built, Thermal Circuits and 63 manufacturing jobs will leave the City. Salem's industrial base will take another blow, unless the City is able to defray the costs associated with of building a new plant at a currently undeveloped, four-acre site at Swampscott Road. Proposal for Public Works and Development Facilities Assistance: Through the Economic Development Administration's Public Works and Development Facilities Assistance Program, the City of Salem seeks a grant in the amount of $400,000 to construct an access road, install sewer lines and other utilities, and grade an undeveloped parcel of land. Because Thermal Circuits will locate at the site of these improvements, this $400,000 public investment will immediately leverage nearly $1.2 million in private investment and retain 63 manufacturing jobs. Fafard Real Estate and Development Corporation, owners of the property, has agreed to transfer four (4) developable acres to Thermal Circuits if the City is able to provide funds to construct an access road. This access road will not be solely to benefit Thermal Circuits - additional private investment will follow. With road and sewer lines in place, the surrounding industrially zoned property, also owned by Fafard Real Estate and Development Corporation, will be subdivided into four, four-acre industrial parcels. As a result, Salem will be able to offer existing manufacturing firms a place to expand and will compete more effectively for small manufacturing firms interested in relocating to our region. Without a grant from the EDA, Thermal Circuits will leave Salem. The cost of purchasing land and constructing a plant in Salem is estimated at $1.6 million, nearly $500,000 more than the estimated cost of purchasing and upgrading an existing facility which Thermal Circuits has found outside of the City. Exhibit A compares the cost of constructing a facility in Salem with the cost of purchasing an existing plant. How the Project Meets EDA Criteria: This project meets all of the EDA's criteria for funding public works projects at industrial sites. Specifically, the project accomplishes the following: 1. Creates an opportunity for the expansion of an industrial facility, Thermal Circuits. The company's existing business plan calls for 15 to 18 percent growth each year for the next five years. 2. Retains and generates jobs. If Thermal Circuits remains in Salem, 63 jobs stay as well. The company's growth projections translate into approximately nine to 12 new factory- level jobs per year, with additional administrative positions, for the next five years. 3. "Fulfills a pressing need of the area in which it will be located." In the short term, this project will sustain Salem's manufacturing base, keeping Thermal Circuits in the City. In the long run, the construction of a road and utility lines at the site will make the area a viable location for growing Salem-based firms and will enable the City to attract companies that desire a location in Greater Boston. 4. Leverages significant private investment. Not only will Thermal Circuits immediately build a new, $1 million facility, the surrounding area will become an attractive location for other companies, as noted above. 5. Promotes both the development of new technology and exports. The company's New Technology Development Effort has recently spawned three products capable of producing sales beyond forecast, including exports, which currently account for 23 percent of the firm's total business. Investment in new and updated capital equipment and process improvements is targeted at $150,000 over the next two years. 6. State and local investment will accompany the EDA's investment if Salem is designated an Economic Target Area by the Commonwealth of Massachusetts. Designation will enable Salem companies to qualify for investment tax credits and corporate income tax credits from the Commonwealth and property tax credits from the City. An announcement regarding ETA selection is expected in September. 7. The prospective tenant and developer are committed to begin construction in a timely manner. Time is of the essence for Thermal Circuits; the company must be in a new facility by July, 1995. Economic Development Benefits for Salem: This project advances several elements of Salem's economic development agenda. It retains and creates good jobs for local residents, sustains Salem's manufacturing base and serves a valuable "corporate neighbor", Thermal Circuits, an innovative firm that invests in its workforce. Maintaining a diverse economic base is crucial to Salem's future. While the tourist trade and service sectors are strong, Salem's industrial base has eroded significantly. In 1983, the City was home to 4,566 manufacturing jobs. By 1992, that number fell to 2,424 jobs -- a decrease of 46.9 percent. Exhibits B and C depict Salem's changing employment base. Salem faces several challenges in trying to maintain its industrial base. Unlike other cities in the region, Salem does not own any industrial land and cannot package attractive deals for potential developers. Nor is there significant privately-owned industrial property available in the City. Salem's existing small manufacturers cannot find adequate facilities as they grow, and many outside firms do not consider our City a viable location for that reason. A small city such as Salem might not be able to compete for giant manufacturing concerns, but we are confident that, with better facilities, we can be an attractive option to small and medium-sized industrial firms. The development of a new Thermal Circuits plant at Swampscott Road represents a rare and outstanding opportunity to improve Salem's industrial facilities. Thermal Circuits' expansion will generate high quality, stable jobs for local residents of diverse levels of skill and education. The average length of service at the company is 14 years. Salem wants to remain the home of a company that continually invests in the skills of its workforce. At Thermal Circuits, employees enjoy specialized training -- the company has already invested more than $42,000 in training programs and continues with plans to upgrade workers' skills and remain competitive in a highly specialized industry. Exhibit A The Cost of Building a New Thermal Circuits Plant in Salem Swampscott Road Land Acquisition and Site Work: Item Cost Real Estate $65,000/acre " 4 acres = $260,000 Grading $50,000 Paving $45,260 Utilities $58,350 Parking Lot Lights $8,000 Contingency (less real estate) 10% $17,600 Engineering (less real estate) 4% $7,000 Supervision $10,000 $456,210 New Building Construction: $37.50/sq. ft. • 30,000 = $1,125,000 Turn-key Electrical Build-Out $45,000 Total $1,626,210 Comparison: Purchase existing 32,000 sq. ft. facility (outside Salem) $900,000 Upgrade/Build-Out $240-000 Total $1,140,000 Premium to Build New Facility in Salem $486,210 Exhibit B Changes in Salem's Employment Base: 1982 to 1992 Total Employment Breakdown by Industry Salem-- 1982 (4.7%)Finance,Insurance&Real Estate (27.4%)Manufacturing (24.4%)Services E.�'a'+ (4.8%)Transportation/Communimtion/Utilities (3.0%)Construction NK (12.3%)Govemment (23.3%)Wholesale&Retail Trade 1982 INDUSTRY #JOBS Manufacturing 5,136 Finance, Insurance & Real Estate 888 Services 4,570 Government 2,305 Wholesale & Retail Trade 4,373 Construction 565 Transportation/Communication/Utilities 899 Total Employment Breakdown by Industry Salem— 1992 (5.8%)Finance,Insurance&Real Estate (38.8%)Services .(13.4%)Manufacturing (4.3%)Transportation/Communimtion/Utilities (2.1%)Construction w(�7��24Y (13.2%)Government (22.5%)Wholesale 8 Retail Trade 1992 INDUSTRY #JOBS Manufacturing 2,424 Finance, Insurance & Real Estate 1,040 Services 6,989 Government 2,379 Wholesale & Retail Trade 4,053 Construction 370 Transportation/Communication/Utilities 779 Source: Massachusetts Department of Employment&Training Exhibit C Decline in Salem's Manufacturing Jobs: 1980 to 1992 Decline in Manufacturing Jobs Salem: 1980 to 1992 6 w 5 0 a O m 4 0 H E E Z 3 2 1980 1982 1984 1986 1988 1990 1992 Source: Massachusetts Department of Employment&Training 09/19/95 TDE 18:57 FAX 508 741 4680 SERAFINI&DARLING [A 001 V � E ERA INI, SERAFINI AND DARLING ATTORNEYS AT LAW not 63 FEDERAL STREET V� SALEM. MASSAGHU5ETT501970 F 1. VVVVTELEPHONE FI SOa-144-0212 IN 61T•661'2Y43 1KLETELECOPIER RRENTI 30N'141-4SS3 MULTIPLE FAX DISTRIBUTION COVER SHEET TO. Paul J. Beattie, Esq. The Fa£ard Companies (508) 875-8610 (Name) (Company) (Fax No. ) TO• Anthony Klein Thermal Circuits 741-3420 (Name) (Company) (Fax No. ) T0: William E. Luster City Planning Dept, 744-5918 (Name) (Company) (Fax No. ) TO• (Name) (Company) (Fax No. ) From: Ellen M. Winkler Date• 9/19/95 Number of Pages 3 File No. T139-9501 (including cover sheet) SPECIAL INSTRUCTIONS: If there is a problem with this transmission, call (508) 744-0212 and ask for Cynthia CONFIDENTIALITY NOTE THE DOCUMENTS ACCOMPANYING THIS TELECOPY TRANSMISSION CONTAIN INFORMATION FROM THE LAW FIRM OF SERAFINI, SERAFINI AND DARLING WHICH IS CONFIDENTIAL OR PRIVILEGED. THE INFORMATION IS INTENDED TO BE FOR THE USE OF THE INDIVIDUAL OR ENTITY NAMED ON THIS TRANSMISSION SHEET. IF YOU ARE NOT THE INTENDED RECIPIENT, BE AWARE THAT ANY DISCLOSURE, COPYING, DISTRIBUTION OR USE OF THE CONTENTS OF THIS TELECOPIED INFORMATION IS PROHIBITED. IF YOU HAVE RECEIVED THIS TELECOPY IN ERROR, PLEASE NOTIFY US BY TELEPHONE IMMEDIATELY SO THAT WE CAN ARRANGE FOR THE RETRIEVAL OF THE ORIGINAL DOCUMENTS. 09/19/95 TOTE 16:58 FAX 508 741 4683 5ERAFINI&DARLING 0 002 SERAFINI, SERAFINI AND DARLING ATTORNEYS AT LAW 63 FEDERAL STREET SALEM, MASSACHUSETTS 01970 JOHNR,SERAFINI,SR, TELEPHONE 40M R.SERAFINI.JR. 506.744-0219 JOHN E.OARLiNO 61T-ESI-2743 ELLEN M.W~%94 TELECO PIER JOSEPH C.COIRCNTI 5UM-741.4663 September 19, 1995 VIA TELXCOPIER Paul J. Beattie, Esq. The Fafard Companies 290 Eliot Street Ashland, MA 10721 Re: Swampscott Road Salem, Massachusetts Dear Paul: This letter is a follow-up to our conversations yesterday and today regarding outstanding issues to be resolved prior to execution of a purchase and sale agreement. As you know, my client has reached a critical juncture where the expenditure of significant additional funds must be authorized if the project is to proceed this fall. Tony Klein spoke with Howard Fafard earlier today. On the basis of Howard's assurances that he can still honor an October 9th finish date, Tony has authorized twenty thousand ($20,000.00) dollars for architectural work. We remain concerned, however, that the site work has significantly progressed without agreement on the geotechnical specifications in the Haley & Aldrich Report or the required geotechnical monitoring. You have now indicated that Howard still objects to Exhibit A. The respective parties must be prepared to address this issue immediately. To that end, please memorialize your client's position and arrange for Ul necessary parties to be available to meet. It is anticipated that another one hundred thousand ($100,000.00) dollars for structural steel and architectural fees will be required within the next week to insure the feasibility of the project. We absolutely must have a signed agreement prior to making any further expenditures. 09/19/95 TUE 18:58 FAX 508 741 4883 SERAFINI&DARLING 1A 003 Paul J. Beattie, Esq. Page Two September 19, 1995 Your efforts to resolve the engineering and title issues are acknowledged and greatly appreciated. Nevertheless, final agreement on the contract specifications and remaining issues outlined in my correspondence last week are, in our view, of equal importance and must be addressed immediately in order to preserve the viability of this project. We are available to discuss any and all remaining issues and await your response. Very truly yours, �i�Ce�ldr�l/W Ellen M. Winkler ENW:cbg cc: Mr. Anthony Klein r CITY OF SALEM, MASSACHUSETTS PLANNING DEPARTMENT ONUIT� WILLIAM E. LUSTER 5`v ONE SALEM GREEN City Planner 01970 fitrTo` (508) 745-9595, EXT. 311 9gGnIN6rr"' FAX (508) 744-5918 July 27, 1995 Ms. Elizabeth Trifone Massachusetts Certified Development Corporation One Liberty Square Boston, MA 02109 Dear Ms. Trifone: Thank you for your efforts to help Thermal Circuits obtain the financing necessary to construct a new plant at Technology Way in Salem. To retain this growing manufacturer in Salem and to promote the development of a six- parcel industrial park, the City has obtained a state grant to construct a road and infrastructure, Terhnology Way, off of Swampscott Road in Salem. In addition, the City has offered financial hici:otives to the company. Last October, the City of Salem was designated an Economic Target Area (ETA), through the Commonwealth's Economic Development Incentive Program. Salem's ETA designation allows new or existing Salem companies to qualify for a variety of state and local tax benefits not available in other communities. In March, Thermal Circuits was designated a certified project, making the company eligible for both property tax benefits and a state investment tax credit of five percent. The City and Thermal Circuits negotiated a ten-year tax increment financing agreement which provides the company with more than $231,000 in local property tax relief. In addition, the City provided a low-interest, deferred loan of$50,000. The attached materials confirm Salem's status as an Economic Target Area. I hope that this information is helpful to you as work to assist Thermal Circuits. i erely, William L ter City Planner