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HomeMy WebLinkAboutOld Town Open Space PropertyVr DEN t 1RHY LACE P. L. L-C. ATTORNEYS AT LAW May 4, 2009 Sandra Chase, City Clerk City of Edmonds 121 — 5th Ave. North Edmonds, WA 98020 Re: Gregg Production Associates, Inc. Dear Sandy: Enclosed for your records an original Quit Claim Deed from Bob Gregg. Very truly yours, OGDEN MURPHY WALLACE, P.L.L.C. � a�-- W. Scott Snyder WSS:gjz Enclosure P "CEIVED MAY 0 5 2009 EDMONDS LITY CLERK W. Scott Snyder 206.447.2260 ssnyder@ omwlaw. com Established 1902 A Member of the International Lawyers Network with independent member law firms worldwide 1601 Fifth Avenue, Suite 2100 • Seattle, WA 98101-1686 • 206.4477000 • Fax: 206.4470215 • Web: www.omwlaw.com 1 WSS727596.DOC;1/00006.900000/} 4? �61,01-" 127273 When Recorded Return To: W. Scott Snyder OGDEN MURPHY WALLACE, P.L.L.C. 1601 Fifth Avenue, Suite 2100 Seattle, Washington 98101-1686 >. ti �. m M �- M 7 M fl II!!IllIIl11!lIII!!IIlIlIII!!I!lIIIlI1111111IIlllllll!lllllllll!!II!!I 03/30/2009 4:45 PGS V7 m m SNOHOMISH 51.00 �ASHINGTON �L COUNT, a.�Q Cj 1 Document Title: QUIT CLAIM DEED Grantor: Gregg Production Associates, Inc. Grantee: City of Edmonds, Snohomish County, Washington Legal Description: Ptn. Lot 40, Block 121, plat of City of Edmonds, v. 2, page 39 Additional Legal Description: Pages 8 Assessor's Tax Account Number: 00434212103700 QUIT CLAIM DEED (easement) INS�� (nURED cza BY CHICAGO TITLE For good and valuable consideration the sufficiency and receipt of which is hereby acknowledged, Gregg Production Associates, Inc., the GRANTOR, whose address is 51 West Dayton Street, Suite 304, Edmonds, Washington 98020-4111, hereby releases, quit claims and conveys an easement in and to the property described on Exhibit C (hereafter "the Courtyard" or "easement") to City of Edmonds, Snohomish County, Washington, GRANTEE, for public use. The Courtyard is a portion of the Grantor's property described on Exhibit A. Use of the easement is limited to passive park uses including open space, landscaping and use as a public gathering space, and the following terms and conditions shall apply to the easement and the use of the Courtyard: (a) Improvements. The Grantee shall have the right and obligation to install and maintain a surface of pavers, concrete or other surface consistent with the use of the Courtyard as a public gathering space (hereafter "pavement'). Pavement installed shall, at a minimum, comply with engineering requirements for sidewalk surfaces. The installation of pavement shall minimize the disturbance of underlying soil, and any soil or other materials removed shall be disposed of in accordance with the requirements of state and federal law. Nothing herein shall be interpreted to obligate the Grantee to provide any vapor barrier, cap or QUIT CLAIM DEED — Page I subsurface material beneath the pavement other than that which is required for or consistent with the installation of the selected pavement. (i) The Grantee shall have the right to install landscaping, planter boxes, benches, tables and public art on the Courtyard consistent with a public gathering space. No structure shall exceed 40 inches in height and landscaping installations shall be consistent with Architectural Design Board guidelines. In addition, up to two (2) gazebo structures consistent with the gazebo previously maintained on the Courtyard may be installed and maintained. Nothing herein shall be interpreted to prohibit the maintenance of existing trees or the planting and maintenance of additional trees consistent with the City of Edmonds' street tree program. (ii) The installation of improvements on the Courtyard shall be designed to maintain walkways to adjacent properties consistent with the engineering requirements of the City of Edmonds, the State Building Code, and the requirements of state and federal law regarding accessibilities of buildings. (b) The adjacent property, as described in the attached Exhibit A shall retain all right, interest and obligation in the subsurface area below the pavement surface. The "pavement surface" is hereby defined as an area no greater than ten inches in depth from the existing grade including the foundation necessary for the Grantee's pavement improvements installed in accordance with Grantee's engineering guidelines and standards for sidewalks and walkways. (c) The improvements installed pursuant to this agreement shall not impair access to or operation of the grease traps installed beneath the surface of the Courtyard area. The abutting property shall have a permanent construction easement over and across the Courtyard, provided, however, that: (i) Any construction activities shall not exceed thirty days in length in any calendar year. If construction activities exceed thirty days in any calendar year, the abutting property owner shall pay a fee equal to that required by the City of Edmonds for construction permits for street use activities. (ii) In the event of disruption of the improvements by the abutting property owner, the park area shall be restored at the abutting property owner's cost, to a condition at least equal to that which existed prior to the construction activities. (d) The adjacent property shall maintain the right to install awnings and decorative architectural elements above and over the Courtyard, provided that any exercise of these rights shall not impede public use of the Courtyard and shall be consistent with all requirements of City of Edmonds ordinances, the State Building Code, and any limitations or requirements imposed by design or other similar review of the City of Edmonds pursuant to its ordinances. QUIT CLAIM DEED — Page 2 (e) Nothing herein shall be deemed to shift responsibility for compliance with any requirement of state or federal law from the current or future owners of the subsurface area to the Grantee. The Grantor and Grantee warrant and acknowledge that they have reviewed environmental assessments of subsurface conditions and acknowledge that responsibility for the clean up of those conditions remains with the party to whom such liability resides under state and federal law. Nothing herein shall be deemed to shift that responsibility. Dated this ?70'R4' day of March 2009. GRANTOR: GREGG PRODUCTION ASSOCIATES, INC. By Robert R. Gregg, Presiders CONSENTS OF LIENHOLDERS The undersigned holders of deeds of trust and/or other liens against the above - described property hereby consent to the granting of this easement and agree that their liens and lien rights against the subject property are subordinate to the easement rights in favor of Grantee contained herein. CASCADE BANK: eau',�' 14A��z Dated March Z (o, 2009 01 by Co n E i %4as h t VK c f'o its VIC& press d ev�� BELFOR USA GROUP, INC. Dated March _ 2009 by its QUIT CLAIM DEED — Page 3 (e) Nothing herein shall be deemed to shift responsibility for compliance with any requirement of state or federal law from the current or future owners of the subsurface area to the Grantee. The Grantor and Grantee warrant and acknowledge that they have reviewed environmental assessments of subsurface conditions and acknowledge that responsibility for the clean up of those conditions remains with the party to whom such liability resides under state and federal law. Nothing herein shall be deemed to shift that responsibility. Dated this 1 day of March 2009. GRANTOR: GREGG PRODUCTION ASSOCIATES, INC. By Robert RGregg, Pres' e CONSENTS OF LIENHOLDERS The undersigned holders of deeds of trust and/or other liens against the above - described property hereby consent to the granting of this easement and agree that their liens and lien rights against the subject property are subordinate to the easement rights in favor of Grantee contained herein. CASCADE BANK: Dated March 32009 by its BELFOR USA GROUP, INC. /V C P- V "Dated March , 2009 IS Rey;orwl rvlunuyel QUIT CLAIM DEED - Page 3 LEES: j&= Edmon A. Lee, individually lc[-'-� Barbara L. Lee, individually Dated March 2 , 2009 Dated March g.S 2009 NOTARIZATIONS / CERTIFICATIONS STATE OF WASHINGTON ) ss COUNTY OF SNOHOMISH ) I certify that I know or have satisfactory evidence that Robert R. Gregg is the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the President of Gregg Production Associates, Inc. to be the free and voluntary act of such parry for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this ?017�day of March 2009. NOTARY PUBLIC F04< WASHINGTON residing at AC Appointment Expires: QUIT CLAIM DEED — Page 4 STATE OF WASHINGTON ss COUNTY OF Cava -Qv ey I certify that I know or have satisfactory evidence that H1*97AP7 � is the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the Vice -President of Cascade Bank, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. STATE OF WASHINGTON ss COUNTY OF SNOHOMISH ) TO before me this 26 day of March 2009, NOTARY PUBLIC FO WASHINGTON residing at Jam' Appointment Expires: Z j I certify that I know or have satisfactory evidence that the person who appeared before me and said person acknowledged that he is signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the Vice -President of Belfor USA Group, Inc., to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this _ day of March 2009. NOTARY PUBLIC FOR residing at Appointment Expires: QUIT CLAIM DEED — Page 5 WASHINGTON STATE OF WASHINGTON ) ss COUNTY OF SNOHOMISH ) I certify that I know or have satisfactory evidence that is the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the Vice -President of Cascade Bank, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this _ day of March 2009. NOTARY PUBLIC FOR WASHINGTON residing at Appointment Expires: STATE OF WASHINGTON ) iGNCI- : ss COUNTY OF SNONOMtM) I certify that I know or have satisfactory evidence that gulf- C. tAVISC.0is the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the ypl1 Belfor USA Group, Inc., to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this day of March 2009. TARY "LIC FO ASHINGTON residing at �� , — " ` = Appointment Expires: 01-19-2013 QUIT CLAIM DEED - Page 5 STATE OF WASHINGTON ) M1 COUNTY OF SNOHOMISH ) I certify that I know or have satisfactory evidence that Edmond A. Lee and Barbara L. Lee are the persons who appeared before me and said persons acknowledged that they signed this instrument, on oath stated that they were authorized to execute the instrument, and acknowledged it to be their free and voluntary act for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this day of March 2009. Notary Pd)k _ &AbdWaW*00 NO AR PU l FOR WASHINGTON �: b res 1-2oos resi t G-7r* Appointment Expires: S 2-cr--g C:1D.W\Gregg- Old Milt —%Sale to Cit➢\QWI Claim deed -draft 4 DOC QUIT CLAIM DEED — Page 6 EXHIBIT A LEGAL DESCRIPTION OF GRANTOR'S PROPERTY ("the Adjacent Property") Lots 1, 2, 3, 4, 5, 6, 37, 38, 39, and 40, Block 121, The City of Edmonds, according to the plat thereof recorded in volume 2 of plats, pages 39 and 40, records of Snohomish County, State of Washington Except the east 16 feet of said lot 37 Together with that portion of the vacated alley adjoining lots 1 through 4 and lots 37 through 40, inclusive, Except that portion of the south half of said vacated alley lying adjacent to the east 16 feet of lot 37. Situate in Section 24, Township 27 North, Range 3 East, W.M., in the City of Edmonds, County of Snohomish, State of Washington. QUIT CLAIM DEED — Page 7 Exhibit C Legal Description of Courtyard ACQUISITION LEGALDF,SCI2IPTION THE SOUTH 100.00 F ET OF THE WEST 22.00 FEET 01= LOT 40, MOCK 121, PLAT OF TIME CITY OF 1 DMONDS, AS RECORDED IN VOLUME 2 OF PLATS, PAGE 39, ]tl"CORUS OF SM01.10M1SH COUNTY, WASHINGTON. SITUATE IN SECTION 24, TOWNSHIP 27 NORTH, RANGE: 3 EASY, W.M. IN -FIG ary Or EUMONDS, COUNTY OF SNOHOMISH, STATB OF WASHINGPON. SAID ACQUISITION CONTAINING 2,200 SQ. FEF,-r, MORE OR LESS. ARE OG N�s 1)6R's �p R C��C�gCCUMEN SCA7. NNING QUIT CLAIM DEED — Page 8 RECEIVED APR 0 2 2009 Chicago TMi 1 l i1 0CM rL'RK Commercial Escrow Department April 1, 2009 Ms. Linda Hynd City of Edmonds 121 Fifth Avenue North Edmonds, WA 98020 Re. Escrow No.: 1271285 — SS Buyer: City of Edmonds Seller: Gregg Production Associates, Inc. Dear Ms. Hynd: In connection with the above mentioned closed transaction, please find enclosed the following documents for your records: 1. A refund check in the amount of $124.71 2. Copy of Buyer's Final Settlement Statement 3. Copy of Buyer's Estimated Settlement Statement 4. Copy of Escrow Instructions 5. Copy of REETA 6. Copy of Federal Reporting Affidavit 7. Recorded copy of the Quit Claim Deed We appreciate the opportunity to assist you with this closing. If we may be of any further assistance, please do not hesitate to contact me directly at (206) 628-5693. Sincerely, f'_JLr&WtA1 Z- Scott Smouse Commercial Escrow Specialist By: Vania Maganinho Enclosures cc: Scott Snyder (w/copies) 701 Fifth Avenue r Suite 3400 ■ Seattle, WA 98104 ■ 206-628.5666 ■ Fax 206.628.971 1 ■ 800.627.0530 ■ vwvw.UseChicagoTitle.com Paid to: Date Check Number Check Amount CITY OF EDMONDS 03/31/09 9602108070 $124.71 ESCROW #: 00633-001271285-001 ORDER #: 04660-005304563 CLOSER: SS CLOSING LOC: COM BUYER: CITY OF EDMONDS SELLER: GREGG PRODUCTION ASSOCIATES, INC. PROPTY: THE COURTYARD PORTION OLD MILL TOWN SALE OF EASEMENT CITY: EDMONDS REFUND DUE BUYER 124.71 --------------- CHECK TOTAL $124.71 CHICAGO TITLE INSURANCE COMPANY 701 FIFTH AVENUE, SUITE 3400 SEATTLE WA 98104 206/628-5666 PAY gLK�>F NF n F R CY51 Pay ■ ONE HUNDRED TWENTY-FOUR AND 71/100 9602108070 RANKOF AMERICA 19-3511210 LOSANGELESCA MARCH 31, 2Q99 RLG NO. Sub LWN CLOSER 00i2712$5 0.01 CUP1 MAGANINHOV $3.24.71 Td,the ■ CITY OF EDMONDS ** Order of Lmemo n' 9 60 2 L080 7011' 1: L 2 L000 3 SEP: L 2 3 30 L 4 20 311' F- L (9) ESCROW NUMBER CLOSING DATE: BUYER: SELLER: PROPERTY: CHICAGO TITLE INSURANCE COMPANY BUYER'S/BORROWER'S SETTLEMENT STATEMENT 00633-001271285-001 ORDER NUMBER: 04660-005304563 03/30/09 CLOSER: SCOTT SMOUSE CITY OF EDMONDS GREGG PRODUCTION ASSOCIATES, INC_ THE COURTYARD PORTION OLD MILL TOWN, SALE OF EASEMENT, EDMONDS, WASHINGTON 98020 Sales Price DEPOSIT BY CITY OF EDMONDS: 03/26/09 ESCROW FEE: 1/2 SALE FEE @ $250,000.00 ESCROW SALES TAX DELIVERY CHARGE: 1/2 CHARGE DELIVERY SALES TAX RECORDING FEES: DEED (MARCH 30, 2009) Funds Due To Buyer At Closing TOTALS CHARGE BUYER $ 250,000.00 $ 675.00 60.75 45.58 4.10 52.00 124.71 ----------------- PAGE: 01 CREDIT BUYER 250,962.14 $ 250,962.14 $ 250,962.14 f.. _ w i correct capy. C'F ii'v,au' 1 I I" L E fI'd,' lJriA CE COMPANY cZOn 47 ti AL.,j (Dw CHICAGO TITLE INSURANCE COMPANY ESTIMATED BUYER'S/BORROWER'S SETTLEMENT STATEMENT ESCROW NUMBER: 00633-001271285-001 ORDER NUMBER: 04660-005304563 CLOSING DATE: 03/27/09 CLOSER: SCOTT SMOUSE BUYER: CITY OF EDMONDS - SELLER: GREGG PRODUCTION ASSOCIATES, INC. PROPERTY: THE COURTYARD PORTION OLD MILL TOWN, SALE OF EASEMENT, EDMONDS, WASHINGTON 98020 Sales Price Prorations And Adjustments SURFACE WATER MANAGEMENT CHARGES (EST.) from 03/27/09 to 01/01/10 Total amount $ 100.00 for 365 days ESCROW FEE: 1/2 SALE FEE @ $250,000.00 ESCROW SALES TAX DELIVERY CHARGE: 1/2 CHARGE DELIVERY SALES TAX RECORDING FEES: DEED (ESTIMATED) Funds Due From Buyer At Closing TOTALS C. READ ; APPROVED r cxxYG/nr^soxo - y oip— PAGE: 01 CHARGE BUYER CREDIT BUYER $ 250,000.00 $ 76.71 675.00 60.75 45.58 4.10 100.00 250,962.14 $ 250,962.14 $ 250,962.14 i..� ;21JRANGE COMPANY R' L DATE: 03/25/09 11:21:34 FEDERAL REPORTING AFFIDAVIT (CERTIFICATION OF NON -FOREIGN STATUS) Section 1445 of the Internal Revenue Code provides that a transferee of a U.S. real property interest must withhold tax if the transferor is a foreign person. For U,S. tax purposes (including section 1445), the owner of a disregarded entity (which has legal title to a U.S. real property interest under local law) will be the transferor of the property and not the disregarded entity. To inform the transferee that withholding of tax is not required upon the disposition of a U.S. real property interest by Gregg Production Associates, Inc. ["the Transferor"], the undersigned hereby certifies the following on behalf of Transferor: 1. The Transferor is not a nonresident alien, foreign corporation, foreign partnership, foreign trust, or foreign estate for purposes of U.S. income taxation, as those terms are defined in the Internal Revenue Code and Income Tax Regulations, 2. The Transferor is not a disregarded entity as defined in § 1.1445-2(b)(2)(iii), 3. The Transferor's Taxpayer Identification Number (Federal Reporting Identification Number) is <5Z 35 1. 4. The Transferor's mailing address: 51 West Dayton Street, Suite 304 Edmonds WA 98020-4111 5. The Transferor understands that this certificate may be disclosed to the Internal Revenue Service by Transferee or third parties, and that any false statement contained herein could be punished by fine, imprisonment, or both. Under penalties of perjury, 1 certify that the number shown on this statement is the corporation's correct taxpayer identification number and that the rest of the information provided is true, correct and complete, Dated: March jzy, 2009. GREGG PRODUCTION ASSOCIATES, INC. by Robert R. Gregg, President Clibldep - OW NitlW+�\Lk b CiMFe�d papu�.V MWnlmc ( CHICAGO TITLE INSURANCE COMPANY 701 FIFTH AVENUE, SUITE 3400, SEATTLE, WASHINGTON 98104 (206)628-5693 (206)628-9737 ESCROW INSTRUCTIONS Escrow No. 1271285 I'itle No. 0053 04563 i)ate: MARCH 25, 2009 Buyer: CITY OF EDMONDS feller: GREGG PRODUCTION ASSOCIATES, INC. 1'roperty: THE COURTYARD PORTION OLD MILL TOWN SALE OF EASEMENT EDMONDS, WASHINGTON 98020 TO: CHICAGO TITLE INSURANCE COMPANY 701 FIFTH AVENUE, SUITE 3400 SEATTLE, WASHINGTON 98104 ELLER herein shall deposit with escrow under these instructions the following: REAL ESTATE PURCHASE AND SALE AGREEMENT & ADDENDUMS THERETO, IF ANY ESTIMATED SETTLEMENT STATEMENT NOTICE: THE ESTIMATED CLOSING STATEMENT IS SUBJECT TO CHANGES, CORRECTIONS AND/OR ADDITIONS AT THE TIME OF FINAL COMPUTATION OF CLOSING ESCROW STATEMENT. QUIT CLAIM DEED REAL ESTATE EXCISE TAX AFFIDAVIT CERTIFICATION OF NON -FOREIGN STATUS LOAN MODIFICATION DOCUMENTS FROM CASCADE BANK which you are instructed to deliver, release and/or record when you have for the account of the seller TWO HUNDRED FIFTY THOUSAND AND 00/100 ($250,000.00 subject to any charges and/or credits authorized herein and PURCHASER herewith deposits with escrow: REAL ESTATE EXCISE TAX AFFIDAVIT FUNDS AS REQUIRED TO CLOSE ESTIMATED SETTLEMENT STATEMENT NOTICE: THE ESTIMATED CLOSING STATEMENT IS SUBJECT TO CHANGES, CORRECTIONS AND/OR ADDITIONS AT THE TIME OF FINAL COMPUTATION OF CLOSING ESCROW STATEMENT. which sums and documents you are instructed to use: ]. When you are able to close according to the terms and conditions set forth in the Real Estate Purchase and Sale Agreement and Addendums attached thereto and in compliance with these instructions, and issue your policy (or policies) of title insurance in the amount (or amounts) as follows: OWNER'S STANDARD POLICY 0 $250,000.00; AND LENDERS ENDORSEMENTS AS REQUIRED BY CASCADE BANK containing the insuring clauses, exceptions, exclusions, provisions and stipulations as contained in commitment issued under number 0053 04563 under which parties herein have read and approved, and a. Conditions, restrictions or reservations as may be contained in the plat or Federal or State patents. b. Matters attaching by, through or under the Grantee c. Special Exceptions SECOND COMMITMENT, SPECIAL EXCEPTIONS PARAGRAPHS NO.: 2 (TO THE EXTENT OF SURFACE WATER MANAGEMENT CHARGES, IN AN AMOUNT STILL TO BE DETERMINED) AND 4. PARAGRAPH 5 WILL BE DELETED IF TITLE OFFICER RECEIVES A COPY OF THE BHAK LEASE AND CONFIRMS IT DOES NOT AFFECT THE SUBJECT PROPERTY. 2. You are instructed to disburse deposited funds pursuant to closing statement(s) examined and approved by the parties hereto and by this reference made a part hereof. Certain items shown on the closing statements may be estimated only and the final figures may be adjusted to accommodate exact amounts required at the time of disbursement. ESCROW INSTRUCTIONS Es;rowNo. 1271285 Date: MARCH 25, 2009 Title No. 005304563 3. The undersigned have examined and hereby approve for use in this escrow the documents described above as to content and form. 4. Assume a per diem basis in any pro -rate herein provided, and unless parties otherwise instruct you, you are to use the information contained in the last available tax statement as provided by the seller, beneficiary's statement, and fire insurance policies delivered into escrow for the pro -rates provided above. 5. All money received by you in this escrow is to be deposited in your trust account pending closing. It is understood that all checks, money orders or drafts will be. processed for collection in the normal course of business. You may commingle funds received in this escrow with escrow funds of others, and you may, without limitation, deposit such funds in your custodial or escrow accounts with any reputable trust company, bank, savings bank, savings association, or other financial services entity, including any affiliate of Chicago Title Insurance Company. You shall be under no obligation to invest the funds deposited with you on behalf of any depositor, nor shall you be accountable for any earnings or incidental benefit attributable to the funds which you may receive while you hold such funds. If for any reason funds are retained or remain in escrow after closing date, you are authorized to deduct therefrom a reasonable charge as custodian. 6. You are instructed that all money and documents required by you hereinshall be deposited with you on or before MARCH 27, 2009 . If this escrow has not been placed in a condition to close by said date, the above items deposited by me (us) are to be returned to me (us) upon written demand, at which time I/we will pay all your charges in connection herewith, but in the absence of such written demand, you will proceed with these instructions as soon as practicable, 7. These closing escrow instructions may be executed in counterparts with like effect as if all signatures appeared on a single copy. Facsimile copies of certain documents may be accepted, at the discretion of Chicago Title Insurance Company, for purposes of closing, 8. These escrow instructions are not intended to amend, modify or supersede the terms and conditions set forth in the Real Estate Purchase and Sale Agreement and Addendums thereto, if any, Escrow is to be concerned only with the provisions specifically set forth in these instructions and identified by the Buyer and Seller as conditions to the closing of this escrow. 9_ You are instructed to furnish to any broker or lender identified with this transaction or anyone acting on behalf of such lender, any information concerning this Escrow upon request of said broker or lender. 10. Should any dispute arise between parties interested in property or funds covered by these instructions, you shall have the option to hold all matters pending in their then existing status or to join in or commence a court action, deposit the money and documents referred to herein into the Registry of the Court or upon holding this &screw open for determination of the rights of the parties, you will be relieved of all responsibility. It is further agreed that in the event of any suit or claim made against you by either or both parties to this agreement, that said parties shall be required to pay you all expenses, costs and reasonable attorney's fees in connection therewith, whether suit is instituted by you or any of the parties hereto. 11. Escrow Holder is to assume no responsibility or liability for the preparation of the Truth in Lending, Consumer Protection Statement, 12. Escrow Holder is to assume no responsibililty or liability for the calculation, deduction, or any other act such as the withholding of funds and/or for the payment of taxes in compliance with the Foreign Investment in Real Property Tax Act as amended in 1984 JRC 1445 et seq.). The determination of whether such tax is due and its payment or withholding, if due, shall be handled by the parties- outside of escrow. Escrow Holder has advised the parties to contact their attorney or tax advisor regarding the applicability of section 1445 to this transaction. Escrow Holder reserves the right to take any action it believes the law requires it to take, whether included in instructions or not. 13. The legal description as in Preliminary Commitment for Title Insurance No. 0053 04563 is that of the property intended to be conveyed in this transaction. 14. The undersigned hereby acknowledge receipt of the Commitment for Preliminary Title Insurance covering subject property together with Escrow Agents Admission to Practice Rule Disclosure. 15. You are instructed to prorate as of the date of recording the following: SURFACE WATER MANAOEKENT CHARGES, ONLY. 16 17 The undersigned hereby advise escrow holder that pro -ration and payment of all utilities, including but not limited to water, sewer, garbage, electricity, gas and oil, will be handled between the parties outside of escrow. Escrow holder shall not be responsible for determining whether any utility charges are or may become due or for payment of any such charges. By signing these instruction., the undersigned hereby assume full responsibility for proration and payment, if any, of utilities. Escrow holder is advised that the personal property, if any, will be transferred outside of escrow between the principals hereto, and escrow holder is to assume no responsibility or liability for the condition, delivery or sales tax due thereon. ESCLINAZ/4-3-97/RLM ESCROW INSTRUCTIONS Escrow No. 1271285 Title No. 0053 04563 Date: MARCH 25, 2009 ADDITIONAL INSTRUCTIONS: 18. THE UNDERSIGNED HEREBY AGREE THAT ALL SPECIAL CONDITIONS AND CONTINGENCIES OF THE PURCHASE AND SALE AGREEMENT, TOGETHER WITH ANY AND ALL ADDENDA THERETO, EITHER HAVE BEEN OR WILL BE MET TO THEIR SATISFACTION OR WAIVED. CHICAGO TITLE, AS ESCROWEE, SHALL ONLY BE RESPONSIBLE FOR CLOSING IN ACCORDANCE WITH THE WRITTEN TERMS OF THE PURCHASE AND SALE AGREEMENT AND ANY OTHER WRITTEN INSTRUCTIONS DEPOSITED TO ESCROW. THE PARTIES SHALL HOLD CHICAGO TITLE INSURANCE COMPANY AND ITS EMPLOYEES HARMLESS FROM ANY CLAIM RESULTING FROM THE FAILURE OF ANY PARTY TO MEET ANY ADDITIONAL CONDITIONS AND/OR CONTINGENCIES. 15. BUYER HEREIN HAS READ, RECEIVED AND APPROVED CHICAGO TITLE INSURANCE COMPANY'S PRELIMINARY TITLE COMMITMENT DATED FEBRUARY 11, 2009, AT 8:00 A.M. AND IS AWARE OF THE CONTENTS THEREIN AND DIRECTS ESCROW HOLDER TO PROCEED WITH THE CLOSING OF THIS ESCROW AS DIRECTED HEREIN. 20. UTILITY ISSUES: THE UNDERSIGNED HEREBY ADVISE ESCROW HOLDER THAT PRORATION AND PAYMENT OF ALL UTILITIES, INCLUDING BUT NOT LIMITED TO, WATER, SEWER, GARBAGE, ELECTRICITY, GAS AND OIL, WILL BE HANDLED BETWEEN THE PARTIES OUTSIDE OF ESCROW, ESCROW HOLDER SHALL NOT BE RESPONSIBLE FOR DETERMINING WHETHER ANY UTILITIES CHARGES ARE OR MAY BECOME DUE OR FOR PAYMENT OF ANY CHARGES. BY SIGNING THESE INSTRUCTIONS, THE UNDERSIGNED HEREBY ASSUME FULL RESPONSIBILITY FOR PRORATION AND PAYMENT, IF ANY, OF UTILITIES AS DESCRIBED ABOVE AND AS MAY BE CONTAINED IN THE EARNEST MONEY RECEIPT AND AGREEMENT BETWEEN THE PARTIES. ESCROW INSTRUCTIONS Escrow No. 1271285 Title No. 005304563 Date: MARCH 25, 2009 DECLARATION OF ESCROW SERVICES Both Purchaser and Seller acknowledge by their signatures hereon the following: I have been specifically informed that CHICAGO TITLE INSURANCE COMPANY (hereinafter designated 'CHICAGO') is not licensed to practice law and no legal advice has been offered by CHICAGO or any of its employees. I have been further informed that CHICAGO is acting only asan escrow holder and that it is forbidden by law from offering any advice to any party respecting the merits of this escrow transaction or the nature of the instruments utilized, and that it has not done so. T have not been referred by CHICAGO to any named attorney or attorneys or discouraged from seeking advice of any attorney but have been requested to seek legal counsel of my own choosing at my own expense, if I have doubt concerning any aspect of this transaction. I further declare all instruments to which I am a party, if prepared by CHICAGO, have been prepared under the direction of my attorney or myself and particularly declare that copying legal description from title reports into forms of deed, etc. or reforming of legal descriptions or agreements is, or will be solely at my direction or request. I have been afforded adequate time and opportunity to read and understand these escrow instructions and all other documents referred to therein. THE UNDERSIGNED HAVE READ AND FULLY UNDERSTAND THE FOREGOING CLOSING TNSTRUCTIONS AND ALSO THE DECLARATION SET FORTH ABOVE AND AGREE TO THE SAME READ & APPROVED ►AF p._ . 4011 3vw�w�'' .OF W�kq GREGG PRODUCTION ASSOCIATES, _NC. Forwarding Address: FSCLINA3 ESCROW INSTRUCTIONS Escrow No. 1271285 Title No. 005304563 Date: MARCH 30, 2009 DECLARATION OF ESCROW SERVICES Both Purchaser and Seller acknowledge by their signatures hereon the following: I have been specifically informed that CHICAGO TITLE INSURANCE COMPANY (hereinafter designated 'CHICAGO') is not licensed to practice law and no legal advice has been offered by CHICAGO or any of its employees. I have been further informed that CHICAGO is acting only as an escrow holder and that it is forbidden by law from offering any advice to any party respecting the merits of this escrow transaction or the nature of the instruments utilized, and that it has not done so. I have not been referred by CHICAGO to any named attorney or attorneys or discouraged from seeking advice of any attorney but have been requested to seek legal counsel of my own choosing at my own expense, if I have doubt concerning any aspect of this transaction. I further declare all instruments to which I am a party, if prepared by CHICAGO, have been prepared under the direction of my attorney or myself and particularly declare that copying legal description from title reports into forms of deed, etc, or reforming of legal descriptions or agreements is, or will be solely at my direction or request. I have been afforded adequate time and opportunity to read and understand these escrow instructions and all other documents referred to therein. THE UNDERSIGNED HAVE READ AND FULLY UNDERSTAND THE FOREGOING CLOSING INSTRUCTIONS AND ALSO THE DECLARATION SET FORTH ABOVE AND AGREE TO THE SAME CITY OF EDMONDS READ PPROV .10' GREGG PRODUCTION ASSO .ES, INC. Forwarding Address: ESCLINA3 ATI:f.)oparlmonl of vil evenue REAL ESTATE EXCISE TAX AFFIDAVIT This form is your receipt PLEASE TYPE OR PRINT CHAPTER 82.45 RCW — CHAPTER 458-61 A WAC when stamped by cashier. THIS AFFIDAVIT WILL NOT BE ACCEPTED UNLESS ALL AREAS ON ALL PAGES ARE FULLY COMPLETED (See back of last naee for instructions) Name GREGG PRODUCTION ASSOCIATES, INC. Name City of Edmonds W attn: City Clerk w z Mailing Address 51 West Dayton Street., Suite 304 w w } z Mailing Address 121 - 5th Avenue North a City/State/Zip Edmonds, WA 98020 City/State/Zip Edmonds, WA 98020 Phone No. (including area code) (425) 673-4218 Phone No. (including area code) Send all property tax correspondence to: ❑ Same as Buyer/Grantee Name Mailing Address City/State/Zip Phone No. (including area code) List all real and personal property tax parcel account numbers — check box if personal property 004342-121-001-00 n 0 Street address of property: 201 - 5th Avenue South, Edmonds, WA 98020 This property is located in Edmonds ✓❑ Check box if any of the listed parcels are being segregated from a larger parcel. Legal description of property (if more space is needed, you may attach a separate sheet to each page of the affidavit) List assessed value(s) The south 100.00 feet of the west 22.00 feet of lot 40, Block 121, plat of the city of Edmonds, as recordedin volume 2 of plats, page 39, records of Snohomish County, Washington; situate in Section 24, Township 27 North, Range 3 East, W.M„ in the City of Edmonds, County of Snohomish, State of Washington Select Land Use Code(s): 191 -Undeveloped land (land only) 1 enter any additional codes: (See back of last page for instructions) YES NO Is this property exempt from property tax per chapter ❑ 84.36 RCW (nonprofit organization)? ® YES NO Is this property designated as forest land per chapter 84.33 RCW? ❑ ❑✓ Is this property classified as current use (open space, faun and ❑ ❑✓ agricultural, or timber) land per chapter 84.34? Is this property receiving special valuation as historical property ❑ a per chapter 84.26 RCW? If any answers are yes, complete as instructed below. (1) NOTICE OF CONTINUANCE (FOREST LAND OR CURRENT USE) NEW OWNER(S): To continue the current designation as forest land or classification as current use (open space, farm and agriculture, or timber) land, you must sign on (3) below. The county assessor must then determine if the land transferred continues to qualify and will indicate by signing below. If the land no longer qualifies or you do not wish to continue the designation or classification, it will be removed and the compensating or additional taxes will be due and payable by the seller or transferor at the tirne of sale. (RCW 84,33.140 of RCW 84.34,108), Prior to signing (3) below, you may contact your local county assessor for more information. This land ❑ does ❑ does not qualify for continuance. DEPUTY ASSESSOR DATE (2) NOTICE OF COMPLIANCE (HISTORIC PROPERTY) NEW OWNER(S): To continue special valuation as historic property, sign (3) below. If llie new owner(s) does not wish to continue, all additional tax calculated pursuant to chapter 84.26 RCW, shall be due and payable by the seller or transferor at the time of sale, (3) OWNER(S) SIGNATURE PRINT NAME List all personal property (tangible and intangible) included in selling pri ce, If claiming an exemption, list WAC number and reason for exemption: WAC No. (Section/Subsection) Reason for exemption Type of Document Quit Claim Deed (easement) Date of Document _0 i9" 3 No i 'Agvq Gross Selling Price $ - 250,000.00 *Personal Property (deduct) $ Exemption Claimed (deduct) % Taxable Selling Price $ 250,000.00 Excise Tax : State $ 3,200.00 0.0050 Local $ 1,250.00 *Delinquent Interest: State $ Local $ *Delinquent Penalty $ Subtotal S 4.450.00 *State Technology Fee $ 5.00 *Affidavit Processing Fee S Total Due $ 4,455.00 A MINIMUM OF $10.00 IS DUE IN FEE(S) AND/OR TAX *SEE INSTRUCTIONS ® I CERTIFY UNDER PENALTY OF PERJURY THAT THE FOREGOING IS TRUE AND CORRECT. Signature of Signature of Grantor or Grantor's Agent Grantee or Grantee's Agent Nat (print) Robert R, Gregg, President of Gregg Pro Assoc., Name (print) Gary Haakenso ,May Date & city of signing: March 26, 2009 @ Edmonds, WA Date & city of signing: March 26, 2009 @ Edmonds, WA Perjury: Perjury is a class C felony which is punishable by imprisonment in the state correctional institution for a maximum term of not more than five years, or by a fine in an amount fixed by the court of not more than five thousand dollars ($5,000.00), or by both imprisonment and fine (RCW 9A.20.020 (I C)). REV 84 0001 a (1/29/09) THIS SPACE - TREASURER'S USE ONLY COUNTY TREASURER 200903300727.001 Z Ui t; b, 127273 When Recorded Return To: W. Scott Snyder Q OGDEN MURPHY WALLACE, P.L.L.C. 1601 Fifth Avenue, Suite 2100 a Seattle, Washington 98101-1686 \ 4. ro � \ 7 j JIANCErCOMPpN. I II��l IIl1[jJ111jjgg:!',;SIJB1jiAY IIN II111111 11� C>Aorectooy 09N34072 pGS ) 3130/2009 4yyRR� gg51. 00 r U -.: , SN44f71S�f C411�11,1RSHIPFG74 xis Document Title: QUIT CLAIM DEED Grantor: Gregg Production Associates, Inc. Grantee: City of Edmonds, Snohomish County, Washington Legal Description: Ptn. Lot 40, Block 121, plat of City of Edmonds, v. 2, page 39 Additional Legal Description: Pages 8 Assessor's Tax Account Number: 00434212103700 QUIT CLAIM DEED (easement) SIC) L s �.3 INSURED BY CHICAGO TITLE For good and valuable consideration the sufficiency and receipt of which is hereby acknowledged, Gregg Production Associates, Inc., the GRANTOR, whose address is 51 West Dayton Street, Suite 304, Edmonds, Washington 98020-4111, hereby releases, quit claims and conveys an easement in and to the property described on Exhibit C (hereafter "the Courtyard" or "easement") to City of Edmonds, Snohomish County, Washington, GRANTEE, for public use. The Courtyard is a portion of the Grantor's property described on Exhibit A. Use of the easement is limited to passive park uses including open space, landscaping and use as a public gathering space, and the following terms and conditions shall apply to the easement and the use of the Courtyard: (a) Improvements. The Grantee shall have the right and obligation to install and maintain a surface of pavers, concrete or other surface consistent with the use of the Courtyard as a public gathering space (hereafter "pavement'). Pavement installed shall, at a minimum, comply with engineering requirements for sidewalk surfaces. The installation of pavement shall minimize the disturbance of underlying soil, and any soil or other materials removed shall be disposed of in accordance with the requirements of state and federal law. Nothing herein shall be interpreted to obligate the Grantee to provide any vapor barrier, cap or QUIT CLAIM DEED — Page I 200903300727.002 subsurface material beneath the pavement other than that which is required for or consistent with the installation of the selected pavement. (i) The Grantee shall have the right to install landscaping, planter boxes, benches, tables and public art on the Courtyard consistent with a public gathering space. No structure shall exceed 40 inches in height and landscaping installations shall be consistent with Architectural Design Board guidelines. In addition, up to two (2) gazebo structures consistent with the gazebo previously maintained on the Courtyard may be installed and maintained. Nothing herein shall be interpreted to prohibit the maintenance of existing trees or the planting and maintenance of additional trees consistent with the City of Edmonds' street tree program. (ii) The installation of improvements on the Courtyard shall be designed to maintain walkways to adjacent properties consistent with the engineering requirements of the City of Edmonds, the State Building Code, and the requirements of state and federal law regarding accessibilities of buildings. (b) The adjacent property, as described in the attached Exhibit A shall retain all right, interest and obligation in the subsurface area below the pavement surface. The "pavement surface" is hereby defined as an area no greater than ten inches in depth from the existing grade including the foundation necessary for the Grantee's pavement improvements installed in accordance with Grantee's engineering guidelines and standards for sidewalks and walkways. (c) The improvements installed pursuant to this agreement shall not impair access to or operation of the grease traps installed beneath the surface of the Courtyard area. The abutting property shall have a permanent construction easement over and across the Courtyard, provided, however, that: (i) Any construction activities shall not exceed thirty days in length in any calendar year. if construction activities exceed thirty days in any calendar year, the abutting property owner shall pay a fee equal to that required by the City of Edmonds for construction permits for street use activities. (ii) In the event of disruption of the improvements by the abutting property owner, the park area shall be restored at the abutting property owner's cost, to a condition at least equal to that which existed prior to the construction activities. (d) The adjacent property shall maintain the right to install awnings and decorative architectural elements above and over the Courtyard, provided that any exercise of these rights shall not impede public use of the Courtyard and shall be consistent with all requirements of City of Edmonds ordinances, the State Building Code, and any limitations or requirements imposed by design or other similar review of the City of Edmonds pursuant to its ordinances. QUIT CLAIM DEED — Page 2 200903300727.003 (e) Nothing herein shall be deemed to shift responsibility for compliance with any requirement of state or federal law from the current or future owners of the subsurface area to the Grantee. The Grantor and Grantee warrant and acknowledge that they have reviewed environmental assessments of subsurface conditions and acknowledge that responsibility for the clean up of those conditions remains with the party to whom such liability resides under state and federal law. Nothing herein shall be deemed to shift that responsibility. Dated this 1074 day of March 2009. GRANTOR: GREGG PRODUCTION ASSOCIATES, INC. By Robert R. Gregg, Presiden CONSENTS OF LIENHOLDERS The undersigned holders of deeds of trust and/or other liens against the above - described property hereby consent to the granting of this easement and agree that their liens and lien rights against the subject property are subordinate to the easement rights in favor of Grantee contained herein. CASCADE BANK: Dated March 2 (o, 2009 by Co u. n e .i VAQS h j Wt c f'a its V IC.0 P r-ef% d evJ} BELFOR USA GROUP, INC. Dated March , 2009 by its QUIT CLAIM DEED — Page 3 200903300727.004 (e) Nothing herein shall be deemed to shift responsibility for compliance with any requirement of state or federal law from the current or future owners of the subsurface area to the Grantee. The Grantor and Grantee warrant and acknowledge that they have reviewed environmental assessments of subsurface conditions and acknowledge that responsibility for the clean up of those conditions remains with the party to whom such liability resides under state and federal law. Nothing herein shall be deemed to shift that responsibility. Dated this ?i9* day of March 2009. GRANTOR: GREGG PRODUCTION ASSOCIATES, INC. By Robert R. Gregg, Prey e CONSENTS OF LIENHOLDERS The undersigned holders of deeds of trust and/or other liens against the above - described property hereby consent to the granting of this easement and agree that their liens and lien rights against the subject property are subordinate to the easement rights in favor of Grantee contained herein. CASCADE BANK: Dated March , 2009 by its BELFOR USA GROUP, INC. Cf'✓" z Dated March , 2009 K„t-t C . orwi loud is Rej)'a l piunayef QUIT CLAIM DEED — Page 3 200903300727.005 LEES: IV= Edmon A. Lee, individually Barbara L. Lee, individually Dated March 25 , 2009 Dated March a.$ 2009 NOTARIZATIONS / CERTIFICATIONS STATE OF WASHINGTON ) ss COUNTY OF SNOHOMISH ) certify that I know or have satisfactory evidence that Robert R. Gregg is the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the President of Gregg Production Associates, Inc. to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this ?VMday of March 2009. 6w�%e NOTARY PUBLIC F"WASHINGTON residing at kg� ARpointment Expires: QUIT CLAIM DEED — Page 4 200903300727.006 STATE OF WASHINGTON ) : ss COUNTY OF ' Cavpv ey I certify that I know or have satisfactory evidence that ff*01^07V is the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the Vice -President of Cascade Bank, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. WORN TO before me this 26day of March 20K -1L u p,RY - -"" f ' s p: O !^ 1 41A STATE OF WASHINGTON ) ss COUNTY OF SNOHOMISH } NOTARY PUBLIC FOR-WASHINGTON residing at 1hgft Pic Appointment Expires: Z t 1 certify that I know or have satisfactory evidence that is the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the Vice -President of Belfor USA Group, Inc., to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this day of March 2009. NOTARY PUBLIC FOR WASHINGTON residing at Appointment Expires: QUIT CLAIM DEED — Page 5 200903300727.007 STATE OF WASHINGTON ss COUNTY OF SNOHOMISH ) I certify that I know or have satisfactory evidence that is the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the Vice -President of Cascade Bank, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this day of March 2009. NOTARY PUBLIC FOR WASHINGTON residing at Appointment Expires: STATE OF WASHINGTON ) {Gt NCd : ss COUNTY OF SNOHtMM) I certify that I know or have satisfactory evidence that JAAOLT- C. LAVJSGQis the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the ; 1 " Belfor USA Group, Inc., to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this day of March 2009. h TARY SLIC FO ASHINGTON residing at Appointment Expires: O! —19-20 l3 QUIT CLAIM DEED — Page 5 200903300727.008 STATE OF WASHINGTON ) ss COUNTY OF SNOHOMISH ) 1 certify that I know or have satisfactory evidence that Edmond A. Lee and Barbara L. Lee are the persons who appeared before me and said persons acknowledged that they signed this instrument, on oath stated that they were authorized to execute the instrument, and acknowledged it to be their free and voluntary act for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this 25t- day of March 2009. iAk�ta+y t�b8a ft"p j� NO AR PU LI FOR WASHINGTON Cana�dfon Q8-2�-�4qs! resi t S .�a f�-m--:t l�. Lo [.�7rt Appointment Expires: MA, � C lb.%G u-Old MIM.mWIe to VOYXM Cl—dmd. drg4 DOC QUIT CLAIM DEED — Page 6 200903300727.009 EXHIBIT A LEGAL DESCRIPTION OF GRANTOR'S PROPERTY ("the Adjacent Property") Lots 1, 2, 3, 4, 5, 6, 37, 38, 39, and 40, Block 121, The City of Edmonds, according to the plat thereof recorded in volume 2 of plats, pages 39 and 40, records of Snohomish County, State of Washington Except the east 16 feet of said lot 37 Together with that portion of the vacated alley adjoining lots 1 through 4 and lots 37 through 40, inclusive, Except that portion of the south half of said vacated alley lying adjacent to the east 16 feet of lot 37. Situate in Section 24, Township 27 North, Range 3 East, W.M., in the City of Edmonds, County of Snohomish, State of Washington. QUIT CLAIM DEED — Page 7 200903300727.010 Exhibit C Legal Description of Courtyard ACQUISITION LEGAL DESCRIPTION THE SOUTH 100.00 Fr ET Of T1113 WEST 22.00 FEET OF LOT 40, 131=K 121, PLAT OF 7'14L• CITY OF CDMONDS, AS RtCORDCD 1N VOLUME. 2 OF PLATS, PAGE 39, R>:CORDS OF SNOHOMISII COIINTY, WASHINGTON. SITIJATE IN SECTION 24. TOWNSHIP 27 NORTH, RANGS 3 LAST, W.M. IN 'ITIE CITY OR FI)MONDS, COUNTY OF SNOHOMISH, STATE OF WASHINGTON. SAID ACQUIsrnoN CONTAINING 2.200 SQ, Fpn f , MORL OR LESS. Cn 'SAE pOOR NS 0 y S N07 . O'JA2ITy ORO J 41 ANNING QUIT CLAIM DEED — Page 8 DVInit 1. 1-111 VP �L1JVIVLJ SELLER: GREGG PRO "TION ASSOCIATES, INC. PROPERTY: THE COURTYARD PORTION OLD MILL TOWN, SALE OF EASEMENT, EDMONDS, WASHINGTON 98020 Sales Price DEPOSIT BY CITY OF EDMONDS: 03/26/09 ESCROW FEE: 1/2 SALE FEE @ $250,000.00 ESCROW SALES TAX DELIVERY CHARGE: 1/2 CHARGE DELIVERY SALES TAX RECORDING FEES: DEED (MARCH 30, 2009) Funds Due To Buyer At Closing TOTALS CHARGE BUYER $ 250,000.00 $ 675.00 60.75 45.58 4.10 52.00 124.71 ----------------- CREDIT BUYER 250,962.14 $ 250,962.14 $ 250,962.14 13UYhh: CITY Ut'' tUMUNIIS SELLER: GREGG PRO' TION ASSOCIATES, INC. PROPERTY: THE COURTYARD PORTION OLD MILL TOWN, SALE OF EASEMENT, EDMONDS, WASHINGTON 98020 Sales Price R/E EXCISE TAX: 1.780 ® $250,000.00 R/E EXCISE TAX: STATE TECHNOLOGY FEE OWNER'S STANDARD POLICY @ $250,000.00 TITLE SALES TAX CASCADE BANK 110.5 ENDORSEMENT ENDORSEMENT SALES TAX ESCROW FEE: 1/2 SALE FEE @ $250,000.00 ESCROW SALES TAX DELIVERY CHARGE: 1/2 CHARGE DELIVERY SALES TAX RECORDING FEES: LOAN DOCUMENTS (3/30/09) 2009 R/E TAX: 1ST 1/2 #004342-121-037-00 2009 R/E TAX: 1ST 1/2 #004342-121-001-00 FOSTER PEPPER PLLC: LENDER LEGAL FEES CASCADE BANK: INTEREST RESERVE CASCADE BANK: CONSTRUCTION CONTINGENCY CHARGE SELLER 4,450.00 5.00 1,010.00 86.86 1,000.00 86.00 675.00 60.75 45.58 4.10 189.00 4,076.32 11,231.38 8,400.00 200,000.00 18,680.01 CREDIT SELLER $ 250,000.00 TOTALS $ 250,000.00 $ 250,000.00 1601 Fifth Avenue, Suite 2100 Seattle, Washington 98' 1686 Document Title: QUIT CLAIM DEED Grantor: Gregg Production Associates, Inc. Grantee: City of Edmonds, Snohomish County, Washington Legal Description: Ptn. Lot 40, Block 121, plat of City of Edmonds, v. 2, page 39 Additional Legal Description: Pages 8 Assessor's Tax Account Number: 00434212103700 QUIT CLAIM DEED (easement) For good and valuable consideration the sufficiency and receipt of which is hereby acknowledged, Gregg Production Associates, Inc., the GRANTOR, whose address is 51 West Dayton Street, Suite 304, Edmonds, Washington 98020-4111, hereby releases, quit claims and conveys an easement in and to the property described on Exhibit C (hereafter "the Courtyard" or "easement") to City of Edmonds, Snohomish County, Washington, GRANTEE, for public use. The Courtyard is a portion of the Grantor's property described on Exhibit A. Use of the easement is limited to passive park uses including open space, landscaping and use as a public gathering space, and the following terms and conditions shall apply to the easement and the use of the Courtyard: (a) Improvements. The Grantee shall have the right and obligation to install and maintain a surface of pavers, concrete or other surface consistent with the use of the Courtyard as a public gathering space (hereafter "pavement'). Pavement installed shall, at a minimum, comply with engineering requirements for sidewalk surfaces. The installation of pavement shall minimize the disturbance of underlying soil, and any soil or other materials removed shall be disposed of in accordance with the requirements of state and federal law. Nothing herein shall be interpreted to obligate the Grantee to provide any vapor barrier, cap or QUIT CLAIM DEED — Page 1 (i) The Grantee shall have the right to install landscap; planter boxes, benches, tables and public art or Courtyard consistent with a public gat,—ing space. No structure shall exceed 40 inches in height and landscaping installations shall be consistent with Architectural Design Board guidelines. In addition, up to two (2) gazebo structures consistent with the gazebo previously maintained on the Courtyard may be installed and maintained. Nothing herein shall be interpreted to prohibit the maintenance of existing trees or the planting and maintenance of additional trees consistent with the City of Edmonds' street tree program. (ii) The installation of improvements on the Courtyard shall be designed to maintain walkways to adjacent properties consistent with the engineering requirements of the City of Edmonds, the State Building Code, and the requirements of state and federal law regarding accessibilities of buildings. (b) The adjacent property, as described in the attached Exhibit A shall retain all right, interest and obligation in the subsurface area below the pavement surface. The "pavement surface" is hereby defined as an area no greater than ten inches in depth from the existing grade including the foundation necessary for the Grantee's pavement improvements installed in accordance with Grantee's engineering guidelines and standards for sidewalks and walkways. (c) The improvements installed pursuant to this agreement shall not impair access to or operation of the grease traps installed beneath the surface of the Courtyard area. The abutting property shall have a permanent construction easement over and across the Courtyard, provided, however, that: (i) Any construction activities shall not exceed thirty days in length in any calendar year. If construction activities exceed thirty days in any calendar year, the abutting property owner shall pay a fee equal to that required by the City of Edmonds for construction permits for street use activities. (ii) In the event of disruption of the improvements by the abutting property owner, the park area shall be restored at the abutting property owner's cost, to a condition at least equal to that which existed prior to the construction activities. (d) The adjacent property shall maintain the right to install awnings and decorative architectural elements above and over the Courtyard, provided that any exercise of these rights shall not impede public use of the Courtyard and shall be consistent with all requirements of City of Edmonds ordinances, the State Building Code, and any limitations or requirements imposed by design or other similar review of the City of Edmonds pursuant to its ordinances. QUIT CLAIM DEED — Page 2 ...av vaµalavv. aaav vlulLvl µaaU V1N11�Vr VV"A.".1t "IIU "%W1�11VVV1l4Us\, U10L tJl%w' 11QV%, 1%,Vl%,VVVU environmental assessments of subsurface conditions and acknowled— that responsibility for the clean up of those con -)ns remains with the party to whom su. .ability resides under state and federal law. Nothing herein shall be deemed to shift that responsibility. Dated this "3074 day of March 2009. GRANTOR: GREGG PRODUCTION ASSOCIATES, INC. By Robert R. Gregg, PresldeTl CONSENTS OF LIENHOLDERS The undersigned holders of deeds of trust and/or other liens against the above - described property hereby consent to the granting of this easement and agree that their liens and lien rights against the subject property are subordinate to the easement rights in favor of Grantee contained herein. CASCADE BANK: Dated March Z (p, 2009 by Co n e H 4-�as h Yri v f'o its V IC& pr-esk d ehi, BELFOR USA GROUP, INC. Dated March , 2009 by its QUIT CLAIM DEED — Page 3 environmental assessments of subsurface conditions and acknowledee that responsibility for the clean up of those coi ons remains with the party to whom s liability resides under state and federal law, Notnmg herein shall be deemed to shift that responsibility. Dated this ?�97?� day of March 2009. GRANTOR: GREGG PRODUCTION ASSOCIATES, INC. By Robert R. Gregg, Pres' e CONSENTS OF LIENHOLDERS The undersigned holders of deeds of trust and/or other liens against the above - described property hereby consent to the granting of this easement and agree that their liens and lien rights against the subject property are subordinate to the easement rights in favor of Grantee contained herein. CASCADE BANK: Dated March , 2009 b,v its BELFOR USA GROUP, INC. Dated March _ , 2009 Its Rt'�i�('�•V'�l �IGr1i.•�i'(.'r' QUIT CLAIM DEED — Page 3 Edmon(FA. Lee, individually Dated March g57,206 TaQara L. Lee, individually Dated March a.S 2009 NOTARIZATIONS / CERTIFICATIONS STATE OF WASHINGTON : ss COUNTY OF SNOHOMISH ) I certify that I know or have satisfactory evidence that Robert R. Gregg is the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the President of Gregg Production Associates, Inc. to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this '3VMday of March 2009. 69r��e NOTARY PUBLIC FW WASHINGTON residing at' Appointment Expires: Nk4WNkMO i 54V7t' cc,r' . QUIT CLAIM DEED — Page 4 L• ...� .. . .� a-y,rvxraa .err � I certify that I kn or have satisfactory evidence that _ ArTV is the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the Vice -President of Cascade Bank, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. S STATE OF WASHINGTON COUNTY OF SNOHOMISH WORN TO before me this 21° day of March 2009. V NOTARY PUBLIC FO WASHINGTON residing at 14Cr' Appointment Expires: 213 ss I certify that 1 know or have satisfactory evidence that is the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the Vice -President of Belfor USA Group, Inc., to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this _ day of March 2009. NOTARY PUBLIC FOR residing at Appointment Expires: QUIT CLAIM DEED — Page S WASHINGTON I certify that I kr or have satisfactory evidence that is the person who appearea before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the Vice -President of Cascade Bank, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this day of March 2009. NOTARY PUBLIC FOR WASHINGTON residing at Appointment Expires: STATE OF WASHINGTON ) (G1 NG,- : ss COUNTY OF StiOMOMISH) I certify that I know or have satisfactory evidence that KutZt C- tA\AsLC(1K_is the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the `'' 'e�iiF Belfor USA Group, Inc., to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this tP— day of March 2009. aAdtL__ VTARY '=BOIOASHINGTON esiding atWAC Appointment Expires: 01-1 q-2o 13 QUIT CLAIM DEED — Page S �.VVIv I 1 lll' o1VVnVlvilarl I certify that I kr, or have satisfactory evidence that EdmL - A. Lee and Barbara L. Lee are the persons who appeared before me and said persons acknowledged that they signed this instrument, on oath stated that they were authorized to execute the instrument, and acknowledged it to be their free and voluntary act for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this day of March 2009. Nowt' Rkw ft" A ulywwaftNOtARNIPUbLIFFOR WASHINGTON 15°limb mom Dsv-am resi t LJ.It Appointment Expires: AZ" C'lAooU Irogg - Old IXX: QUIT CLAIM DEED — Page 6 Lots 1, 2, 3, 4, 5, 6, 37, ? 9, and 40, Block 121, The City of Edm 3, according to the plat thereof recorded in volume 2 of plats, pages 39 and 40, records of Snohomish County, State of Washington Except the east 16 feet of said lot 37 Together with that portion of the vacated alley adjoining lots 1 through 4 and lots 37 through 40, inclusive, Except that portion of the south half of said vacated alley lying adjacent to the east 16 feet of lot 37. Situate in Section 24, Township 27 North, Range 3 East, W.M., in the City of Edmonds, County of Snohomish, State of Washington. QUIT CLAIM DEED —Page 7 Legal Uescnpuon or uourLyaru ACQUISITION LEGAL DESCRIPTION 11-1Z SOUTH 100.00 FFET OF TI-11: WLs'r 22.00 FEET OF LOT 40, 91,OCK 121, PLAT OF THE CITY OF I DMONDS. AS RECORDED IN VOLUME 2 Or PLA-rs, PAGE 39, RECORDS OF SN01.10MISH COUNTY, WA S H I NGTON. SITUATE IN SECTION 24, TOWNSHIP 27 NORTH, RANGE 3 EAST, W.M. IN'RIE CITY Of-, FDMONDS, COUNTY Of SNOHOMISHI, STA'rL'- Or WASHING"TON. SAID ACQUISIT)ON CONTAINING 2,200 SQ, FP.ET, MORE; OR LESS QUIT CLAIM DEED —Page 8 Foster Pepper PLLC 1111 Third Avenue, Sm. - -4400 Seattle, Washington 98101 Attention: Douglas R. Prince MEMORANDUM OF SECOND LOAN MODIFICATION AGREEMENT WITH AMENDMENTS TO DEED OF TRUST (Old Mill Town/Main Cascade Loan) Grantor (Borrower and Grantor GREGG PRODUCTION ASSOCIATES, INC., a under Deed of Trust): Washington Corporation Grantee #1 (Trustee under Deed CHICAGO TITLE INSURANCE COMPANY, a of Trust): Missouri corporation Grantee #2 (Beneficiary under CASCADE BANK, a Washington State Chartered Deed of Trust): Commercial bank Abbreviated Legal Description: Lots 1, 2, 3, 4, 5, 6, 37, 38, 39 and 40, Block 121, The City of Edmonds, Vol. 2, Page 39 Official Legal Description on Exhibit A Assessor's Tax Parcel ID#s: 004342-121-001-00; 004342-121-037-00 Reference Nos. 200607100131; 200711290550; 200902110602 Memorandum of Second Loan Modification Agreement —Old Mill Town/Main Cascade Loan SEADOCS 50972442 OMT MEMORANDUM OF SECOND LM AGMT 1 DOC trim iviiu i own/iviam t. ascaae Loan) THIS MEMORANDUM OF SECOND LOAN MODIFICATION AGREEMENT WITH AkIJENDMENTS TO DEED OF TRUST ("Memorandum") is made as of the �` day of March, 2009 by GREGG PRODUCTION ASSOCIATES, INC., a Washington corporation ("Borrower") and CASCADE BANK, a Washington state chartered commercial bank ("Lender"). This Memorandum is made with reference to a loan (the "Main Cascade Loan") in the maximum principal amount of SIX MILLION SIX HUNDRED FIFTY THOUSAND DOLLARS ($6,650,000) which was modified pursuant to a loan modification agreement (the "Main Cascade Loan First Modification Agreement") dated as of February 11 2009 between GPA, Cascade and Lender, a memorandum of which was recorded under Auditor's File Number 200902110602, Records of Snohomish County, Washington. Capitalized terms which are defined in the Main Cascade Loan First Modification Agreement shall have the same meaning when used herein, except that the term "Main Cascade Loan Documents" shall mean those documents as modified by the Main Cascade Loan First Modification Agreement. The collateral for the Main Cascade Loan includes the real property legally described on attached Exhibit A (the "Property"). Pursuant to that certain Second Loan Modification Agreement (the "Main Cascade Loan Second Modification Agreement") dated as of March , 2009, Borrower, Lender and the Guarantor of the Main Cascade Loan ("Guarantor") have agreed to certain additional modifications to the Main Cascade Loan terms, as more particularly set forth in the Main Cascade Loan Second Modification Agreement. The modifications to the Main Cascade Loan terms contained in the Main Cascade Loan Second Modification Agreement include, but are not limited to: (i) consent to an open space easement across the courtyard portion of the Property in favor of the City of Edmonds; (ii) a principal paydown on the Main Cascade Loan in the amount of $250,000 (the "Paydown Amount"); and (iii) provisions for re -advancing the Paydown Amount to pay interest on the Main Cascade Loan and for other purposes set forth in the Main Cascade Loan Second Modification Agreement. To bring the provisions of the Main Cascade Loan Deed of Trust in conformity with the provisions of the Main Cascade Loan Second Modification Agreement, Borrower and Memorandum of Second Loan Modification Agreement —Old Mill Town/Main Cascade Loan SEADOCS 50972442 OMT MEMORANDUM OF SECOND LM AGMT I DOC 1. Secured f--li ations. The Obligations Secured ' the Main Cascade Loan Deed of Trust sh, _ include, in addition to all obligati(,..., presently specified therein, the obligations of the Borrower under the Main Cascade Loan Documents (as that term is defined in the Main Cascade Loan First Modification Agreement), as modified by the Main Cascade Loan First Modification Agreement and as further modified by the Main Cascade Loan Second Modification Agreement, including any re - advances of the Paydown Amount. All references to the "Note" or the "Loan Agreement' in the Main Cascade Loan Deed of Trust shall be deemed to mean those documents as modified by the Main Cascade Loan First Modification Agreement and as further modified by the Main Cascade Loan Second Modification Agreement. [Signatures Appear on Following Page] 2 Memorandum of Second Loan Modification Agreement —Old Mill Town/Main Cascade Loan SEADOCS 50972442 OMT MEMORANDUM OF SECOND LM AOMT I DOC Lri, i nii azi ui uic uay auu year nrst avove wnuen. ORAL AGREE, ANTS OR ORAL COMMITMENTS .O LOAN MONEY EXTEND CREDIT OR TO FORBEAR FROM ENFORCING REPAYMENT OF A DEBT ARE NOT ENFORCEABLE UNDER WASHINGTON LAW. BORROWER: GREGG PRODUCTION ASSOCIATES, INC., a Washington corporation LENDER: Memorandum of Second Loan Modification Agreement —Old Mill Town/Main Cascade Loan SEADOCS 50972442 OMT MEMORANDUM OF SECOND LM AGMT I DOC By: Robert R. Gregg, Pres' CASCADE BANK, a Washington state chartered commercial bank • �. _ 1 AL=f _► Name- C�oW4-wky ra 11. 1 at SS. COUNTY OF �`� I certify that I know or have satisfactory evidence that ROBERT R. GREGG is the person who appeared before me, and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute this instrument and acknowledged it as PRESIDENT of GREGG PRODUCTION ASSOCIATES, INC., a Washington corporation, and acknowledged this instrument to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Dated thistay of March, 2009. 4k�\e tjz ALT"" Memorandum of Second Loan Modification Agreement —Old Mill Town/Main Cascade Loan SEADOCS 50972442 OMT MEMORANDUM OF SECOND LM AGMT I DOC (Signature of Notary) (Legibly Print or Stamp Name of Notary) Notary public in and for the state of Washington, residing at 00 My appointment expires 17-1 -zt> ts- 4 STATE OF WASHINGTON SS. COUNTY OF VYO devracy I certify that I know or have satisfactory evidence that 6A401V is the person who appeared before me, and said person acknowledged that he signed this instrument, on oath stated hat he wat§ authorized to execute this instrument and acknowledged it as VIM "kM7" of CASCADE BANK, a Washington state chartered commercial bank, and acknowledged this instrument to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Dated this?blCy of March, 2009. (Signature of Notary) 5 4m" d4r (Legibly Print or Stamp Name of Notary) Notary public in and for the state of Washington, residing at K-C- My appointment expires Z Memorandum of Second Loan Modification Agreement— Old Mill Town/Main Cascade Loan SEADOCS 50972442 OMT MEMORANDUM of SEcoND LM AoMT I DOC Legal Description LOTS 1, 2, 3, 4, 5, 6, 37, 38, 39, AND 40, BLOCK 221, THE CITY OF EDMONDS, ACCORDING TO THE PLAT THEREOF RECORDED IN VOLUME 2 OF PLATS, PAGES 39 AND 40, RECORDS OF SNOHOMISH COUNTY, WASHINGTON; EXCEPT THE EAST 16 FEET OF SAID LOT 37; TOGETHER WITH THAT PORTION OF THE VACATED ALLEY ADJOINING LOTS 1 THROUGH 4 AND LOTS 37 THROUGH 40, INCLUSIVE, EXCEPT THAT PORTION OF THE SOUTH HALF OF SAID VACATED ALLEY LYING ADJACENT TO THE FAST 16 FEET OF LOT 37. SITUATE IN THE COUNTY OF SNOHOMISH, STATE OF WASHINGTON. SF.ADOCS 50972442 OMT MEMORANDUM OF SECOND LM AGMT I DOC FOSTER PEPPER PLLC 1111 Third Avenue, Suite? _9 Seattle, Washington 98101 Attention: Douglas R. Prince FIRST AMENDMENT TO MASTER AGREEMENT AND PRIORITY AGREEMENT (Old Mill Town) Grantors: GREGG PRODUCTION ASSOCIATES, INC., a Washington Corporation CASCADE BANK, a Washington State Chartered Commercial bank EDMOND A. LEE AND BARBARA LEE BELFOR USA GROUP, INC., a Colorado corporation Grantees: CASCADE BANK, a Washington State Chartered Commercial bank EDMOND A. LEE AND BARBARA LEE BELFOR USA GROUP, INC., a Colorado corporation Abbreviated Legal Description: Lots 1, 2, 3, 4, 5, 6, 37, 38, 39 and 40, Block 121, The City of Edmonds, Vol. 2, Page 39 Official Legal Description on Exhibit A Assessor's Tax Parcel ID#: 004342-121-001-00; 004342-121-037-00 Reference Nos.: 200902110606 (Original Priority Agreement) Al \ iJ 1 1�1 V 1�1 1 1 A V L\1'J1J 1111J1 \ 1 (Old Mill Town) THIS FIRST AMENDMENT TO MASTER AGREEMENT AND PRIORITY AGREEMENT ("First Amendment") is made this ay of March, 2009 between CASCADE BANK, a Washington state chartered commercial bank ("Cascade"); EDMOND A. LEE AND BARBARA L. LEE (collectively, "Lee"); BELFOR USA GROUP, INC. ("Belfor"); ROBERT R. GREGG ("Gregg") and GREGG PRODUCTION ASSOCIATES, INC., a Washington corporation ("GPA"). This First Amendment is made with reference to that certain Master Agreement (the "Master Agreement") between the parties hereto dated as of February 11, 2009 and the documents referred to therein as well as that certain Priority Agreement (the "Priorift Agreement") between Cascade, Lee and Belfor dated as of February 11, 2009 and recorded under Auditor's File No. 200902110606, Records of Snohomish County, Washington . Capitalized terms which are defined in the Master Agreement or Priority Agreement shall have the same meaning when used herein. The "Proiect", as defined in the Master Agreement, is located on the real property in Snohomish County, Washington legally described on attached Exhibit A. Concurrently herewith, GPA has granted an open space easement across the courtyard portion of the Project to the City of Edmonds (the "City of Edmonds Easement") and in consideration therefor, GPA is entitled to a cash payment from the City of Edmonds (the "City of Edmonds Payment") in the amount of Two Hundred Fifty Thousand Dollars ($250,000) which GPA has represented will be paid concurrently herewith. Cascade, Lee and Belfor have consented to the City of Edmonds Easement on the condition that the City of Edmonds Payment, less closing expenses and certain other deductions approved by Cascade and described in the Second Loan Modification Agreement, as hereinafter defined, be paid to Cascade as a principal paydown on the Main Cascade Loan and re -advanced as and when needed to pay interest and real estate taxes on the Project provided there is insufficient cash flow from the Project as well as to fund certain construction contingencies. In that regard, Cascade, Gregg and GPA have entered into a Second Loan Modification Agreement and a Memorandum of Second Loan Modification Agreement (the "Main Cascade Loan Second Modification Documents"), copies of which have been delivered to Lee and Belfor. As an inducement for Cascade, Lee and Belfor to consent to the City of Edmonds Easement and for Cascade to enter into the Main Cascade Loan Second Modification Documents, the parties agree as follows: Old Mill Town First Amendment to Master Agreement 1 And Priority Agreement 1 50972443.4 of funds under the Main Caq-ade Loan, as described above, shall hp--- no effect on the relative priorities of the liens on tl roject in favor of Cascade, Lee and Aor, as expressed in the Master Agreement and the Priority Agreement. Such paydown and re -advance shall be deemed to be from the portion of the Main Cascade Loan which is not part of the "Disputed Priority Amount", as that term is defined in the Master Agreement, and the Main Cascade Loan Deed of Trust, as security for the re -advance, shall have priority over all liens in favor of Lee or Belfor. 3. Miscellaneous. Except as herein modified, all terms and conditions of the Master Agreement and the Priority Agreement shall remain in full force and effect without modification or change. [Signatures Appear on Following Page] Old Mill Town First Amendment to Master Agreement And Priority Agreement 50972443.4 ORAL AGREEMENTS O'Q ORAL COMMITMENTS TO LV' N MONEY EXTEND CREDIT OR FORBEAR OM ENFORCING REPAYMENT if A DEBT ARE NOT ENFORCEABLE UNDER WASHINGTON LAW CASCADE BANK By: ■. �w ■ ■ r GREGG PRODUCTION ASSOCIATES, INC. By: - - Name: Title: Old Mill Town First Amendment to Master Agreement And Priority Agreement SEADOCS 50972443 OMT FIRST AMENDMENT TO MASTER AGMT AND PRIORITY AGMT 3 DOC BELFOR USA GROUP, INC., a Colorado corporation Name: Title: Robert R. Gregg, individually Edmond A. Lee, individually Barbara L. Lee, individually ORAL AGREEMENTS 01D ORAL COMMITMENTS TO Le - N MONEY, EXTEND CREDIT OR FORBEAR OM ENFORCING REPAYMENT .z A DEBT ARE NOT ENFORCEABLE UNDER WASHINGTON LAW CASCADE BANK By.-- - - Name: Title: GREGG PRODUCTION ASSOCIATES, INC. By: -- - Name: _ ji;tr i Title: Old Mill Town First Amendment to Master Agreement 3 And Priority Agreement .J 50972443.4 BELFOR USA GROUP, INC., a Colorado corporation By: Name: _ Title: Robert R. Gregg, individually Edmond A. Lee, individually Barbara L. Lee, individually ORAL AGREEMENTS OR ORAL COMMITMENTS TO Y ^ 4N MONEY, EXTEND CREDIT OR FORBEA: ROM ENFORCING REPAYMEN _. OF A DEBT ARE NOT ENFORCEABLE UNDER WASHINGTON LAW CASCADE BANK Name: Title: GREGG PRODUCTION ASSOCIATES, INC. Name: Title: OId Mill l myn Hist Ainendment to Muter Agreement And Prloflly Agl'eelllcfll BELFOR USA GROUP, INC., a Colorado corporation By: L,44 e N me: Kurt C. Dewi av r - Title: RP4_m+l Robert R. Gregg, individually Edmond A. Lee, individually Barbara L. Lee, individually ORAL AGREEMENTS CAR ORAL COMMITMENTS TO i 'kN MONEY, EXTEND CREDIT OR FORBEAI ROM ENFORCING REPAYMEN _ JF A DEBT ARE NOT ENFORCEABLE UNDER WASHINGTON LAW CASCADE BANK Name: Title: GREGG PRODUCTION ASSOCIATES, INC. By: Name: Title: Zd Mill Town First Amendment to Master Agreement d Priority Agreement 50972443.3 BELFOR USA GROUP, INC., a Colorado corporation Name: Title: Robert R. Gregg, individu Edmond A. Lee, individually a Barbara L. Lee, individually ss. COUNTY OF l�'I c'h 1 VEi I certify that I know or have satisfactory evidence that "M AhVTD is the person who appeared before me, and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute this instrument and acknowledged it as V I GE MeW (MV7 of CASCADE BANK, a Washington state chartered commercial bank, and acknowledged this instrument to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Dated this 74 day of March, 2009. "1tu. (Signature of Notary) pp s -�5' (Legibly Print or Stamp Name of Notary) Notary public in and for the state of Washington, residing + at ny cC= ►►, +�'- �a = . _�� My appointment expires Z '?Yi '-wilt [ certify that I know or have satisfactory evidence that ROBERT R. GREGG is the person who appeared before me, and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute this instrument and acknowledged it as PRESIDENT of GREGG PRODUCTION ASSOCIATES, INC., a Washington corporation, and acknowledged this instrument to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Dated this � l day of March, 2009. (Signature of Notary) 011 •� IGi (Legibly Print or Stamp Name of Notary) Notary public in and for the state of Washington, residing at My appointment expires �% i-It,Yo- I certify that I know or have satisfactory evidence that K"Pr C. PAVIV-0 urn is the person who appeared before me, and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute this instrument and acknowledged it as +IAe- VX,&i0'IJA4_ MMAN .of BELFOR USA GROUP, INC., a Colorado corporation, and acknowledged this instrument to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Dated this f=' day of March, 2009. (Sig kature of No } �^ r Ly 1 .d x wl?r �i Sw L w ,V`• �lY I (Legibly PrhJtir Stamp Name o otary) Notary public in and for the state of Washington, residing `.�, at p ie WA - Y�•,.C.r • rii�: !•��� � �u7� �� R' My appointment expires o 1- l 9 .�• �';'i. tel:! ,,y'S' L U U N I Y UP F(Af-M 1 certify that I know or have satisfactory evidence that ROBERT R. GREGG is the person who appeared before me, and said person acknowledged that he signed this instrument, and acknowledged this instrument to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Dated this'Wq�day of March, 2009. (Signature of Notary) ., i t.• x�. t� a r'...... ' 1 (Legibly Print or Stamp Name of Notary) �''" - ' •` Notary public in and for the state of Washington, residing �; at f ' ` My appointment expires N ss. COUNTY OF ;k&JAR4 0 I certify that I know or have satisfactory evidence that EDMOND A. LEE is the person who appeared before me, and said person acknowledged that he signed this instrument, and acknowledged this instrument to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Dated this .Z50- day of March, 2009. IND*, w, Pi� (Signature of Not ] >�ri f R.J. MeyeruWW CanwdWx Eome 0844 (Legib)y Print or Stamp Name of Notary) Notary public in and for the state of Washington, residing at M Lk. (+-V, ww - S,—c.`y, s l.- C,, My appointment expires 9 z-`{ -o-? ss. COUNTY OF I certify that I know or have satisfactory evidence that BARBARA L. LEE is the person who appeared before me, and said person acknowledged that she signed this instrument, and acknowledged this instrument to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Dated this :2.S'' - day of March, 2009. Nmry (Signature of Notary) tea. of W&IN 9lon R.J. yer a J meyar C�ommkWim Expires 08.24-42MM (Legibly Print or Stamp Name of Notary) Notary public in and for the state of Washington, residing at tDw - My appointment expires LOTS 1, 2, 3, 4, 5, 6, 37, 38, 39, AND 40, BLOCK 121, THE CITY OF Fr)moNDS, ACCORDING TO THE PLAT THEREOF RECORDED IN VOLUME 2 OF PLATS, PAGES 39 AND 4D, RECORDS OF SNOHOMISH COUNTY, WASHINGTON; EXCEPT THE EAST 16 FEET OF SAID LOT 37, TOGETHER WITH THAT PORTION OF THE VACATED ALLEY ADJOINING LOTS 1 THROUGH 4 AND LOTS 37 THROUGH 40, INCLUSIVE, EXCEPT THAT PORTION OF THE SOUTH HALF OF SAID VACATED ALLEY LYING ADJACENT TO THE EAST 16 FEET OF LOT 37. SITUATE IN THE COUNTY OF SNOHOMISH, STATE OF WASHINGTON- this day of March, 2000 between CASCADE BANK, a W hington state chartered commercial bank ("Case:, .' or "Lender"); ROBERT R. AEGG ("Gregg" or "Guarantor") and GREGG PRODUCTION ASSOCIATES, INC., a Washington corporation ("GPA" or "Borrower"). This Agreement is made with reference to a loan (the "Main Cascade Loan") in the maximum principal amount of SIX MILLION SIX HUNDRED FIFTY THOUSAND DOLLARS ($6,650,000) which was modified pursuant to a loan modification agreement (the "Main Cascade Loan First Modification Agreement") dated as of February 11 2009 between GPA, Cascade and Lender, a memorandum of which was recorded under Auditor's File Number 200902110602, Records of Snohomish County, Washington. Capitalized terms which are defined in the Main Cascade Loan First Modification Agreement shall have the same meaning when used herein, except that the term "Main Cascade Loan Documents" shall mean those documents as modified by the Main Cascade Loan First Modification Agreement. The parties now wish to further modify the terms of the Main Cascade Loan Documents, and in consideration in consideration of the mutual benefits accruing to each, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: 1. No Offset or Defense. Borrower and Guarantor acknowledge that the Main Cascade Loan Documents are presently in full force and effect and they have no offset or defense to repayment of the Main Cascade Loan and performance of the other obligations contained in the Main Cascade Loan Documents in accordance with their respective terms. 2. Release. Borrower and Guarantor forever waive, relinquish and release all claims of any nature whatsoever that Borrower or Guarantor may have against Cascade, its employees, officers, agents or attorneys, known or unknown, which arise from facts or circumstances existing as of the date hereof or occurring prior to the date hereof including, without limitation, claims related to the making or servicing or any prior modification of the Main Cascade Loan, the execution and delivery of this Agreement, or the transactions contemplated by this Agreement or the Main Cascade Loan Documents. Nothing herein shall constitute an admission by Cascade that any such claims exist or may hereafter arise. 3. Consent to City of Edmonds _Easement. Concurrently herewith, Cascade, Belfor and Lee have consented to an open space easement in favor of the City of Edmonds across the courtyard portion of the Project (the "City of Edmonds Easement"). The City of Edmonds Easement is being delivered and recorded concurrently herewith. 4. Application of Payment from Citv of Edmonds. The City of Edmonds has agreed to pay GPA the sum of Two Hundred Fifty Thousand Dollars ($250,000) as consideration for the Second Loan Modification Agreement. — Old Mill Town/Main Cascade Loan 509724413 (a) first, to pay closin, )sts associated with the City of EdmonL —asement, as approved by Cascade. (b) second, to pay the legal fees incurred by Cascade in connection with the City of Edmonds Easement and this Agreement, as well as the administration of the Loan from and after the closing of the most recent loan modification in February, 2009. (c) third, to pay the first half 2009 real estate taxes on the Project. (d) the balance ("City of Edmonds Net Proceeds"), to Cascade for application to the unpaid principal balance of the Main Cascade Loan. 5. Re -Advance of City of Edmonds Net Proceeds. 5.1 Interest Payments. The Interest Reserve on the Main Cascade Loan presently has a zero balance. From the principal paydown under Section 4(d) below, Cascade agrees to re - advance up to a total of Two Hundred Thousand Dollars ($200,000) as and when needed to pay the interest on the Main Cascade Loan provided that there is insufficient cash flow from the Project to pay the entire amount of the interest then due. GPA must use all of the available cash flow from the Project to pay interest before any funds are used from the Interest Reserve. Cascade may also advance funds from the Interest Reserve to pay real property taxes on the Project, provided there is insufficient cash flow to pay such taxes. 5.2 Construction Contingency Reserve. The balance of the City of Edmonds Net Proceeds ($250,000 less the $200,000 allocated to interest under Section 5.1 and less the amounts paid under Sections 4(a) through (c) above) shall be available (and shall be re -advanced by Cascade) to fund construction expenses associated with renovation of the Project which were not anticipated at the time of execution of the First Loan Modification Agreement and are approved by Cascade in its reasonable discretion. No payment shall be made to GPA or affiliates of GPA under this Section 5.2. All advances under this Section 5.2 shall be subject to the draw procedures contained in the First Loan Modification Agreement and the other Loan Documents. Any funds available under this Section 5.2 which are not advanced to pay construction expenses by shall instead be allocated to pay interest on the Main Cascade Loan in accordance with Section 5.1. 6. Title Matters. At closing of the modifications herein described, Cascade shall receive, at Borrower's sole cost an update or endorsement to its existing mortgagee's policy of title insurance in connection with the Main Cascade Loan insuring the continued first lien -2- Second Loan Modification Agreement. — Old Mill Town/Main Cascade Loan 50972441 3 /. iJ--Vv Vl Jl1Nll F44.y Nll VVJLJ Nllbl VArlV11JVJ 111V N11 Vl.1 Vj 111 connection with the transact; s contemplated by this Agreement, it - 'ding but not limited to title premiums, recording co.. , and Cascade's attorneys' fees. Such _lnounts shall be paid in accordance with Section 4(b). 8. Recording of Memorandum. Concurrently herewith, the parties shall cause to be executed and recorded in the records of Snohomish County, Washington, a memorandum of loan modification agreement providing record notice of this Agreement and modifying certain terms of the Main Cascade Loan Deed of Trust, in form approved by Cascade. 9. Binding Effect. All agreements, covenants, conditions and provisions of this Agreement shall be binding upon and inure to the benefit of the successors and assigns of each of the parties hereto. 10. Full Force and Effect. Except as herein modified, all the terms, covenants and conditions of the Main Cascade Loan Documents remain in full force and effect without modification or change. All references to the Main Cascade Loan Documents in any document shall be deemed to mean the Main Cascade Loan Documents as herein modified. 11. Further Assurances. Each of Borrower and Guarantors agree to execute such other instruments and provide Cascade with such further assurances as Cascade, in its reasonable discretion, deems necessary to protect its security or to more fully carry out the intent and purposes of this Agreement. 12. Conflicts Between Documents. In the event of a conflict in the terms and conditions of any of the Main Cascade Loan Documents and this Agreement, the terms and conditions of this Agreement shall prevail. In the event of a conflict between the terms and conditions of this Agreement and the Master Agreement, the terms and conditions of the Master Agreement shall prevail. 13. Guarantor Matters. Guarantor hereby ratifies and reaffirms Guarantor's liability under the Main Cascade Loan Guaranty, and agrees that the Main Cascade Loan Guaranty extends to the Main Cascade Loan as modified herein. 14. Governing Law. This Agreement is made with reference to and is to be construed in accordance with the laws of the state of Washington. 15. Attornevs Fees. The prevailing party shall be entitled to its reasonable attorneys fees and all other costs and expenses in any action to enforce or interpret this Agreement. %Signatures on Following Page] -3- Second Loan Modification Agreement. — Old Mill Town/Main Cascade Loan 50972441 3 V l�lSL AV11/LJ111JL 1 AJ Va_ V1L fay EXTEND CREDIT PvF TO FORBEAR FROM ENFORCIT REPAYMENT OF A DEBT ARE NOT El JRCEABLE UNDER WASHINGTG �LAW. BORROWER: GREGG PRODUCTION ASSOCIATES, INC., a Washington corporation By: Robert R. Gregg, Presid t GUARANTOR: Robert R. Gregg, individu 1 CASCADE: CASCADE BANK, a Washington state chartered commercial bank i L�..Name: C SEADOCS 50972441 OMT SECOND LM AGMT 1 DOC CITY OF E D M O N D S GARY HAAKENSON MAYOR 121 5TH AVENUE NORTH • EDMONDS, WA 98020 • (425) 775-2525 CITY CLERK r14c.18o40 March 25, 2009 Mr. Scott Smouse Chicago Title Insurance Co. 3400 Columbia Center 701 5th Avenue Seattle, WA 98104 Re: Transmittal of closing documents Dear Mr. Smouse: Attached please find the Borrower's Settlement Statement, Escrow Instructions, and Real Estate Tax Affidavits in regard to the Old Milltown Courtyard sale with the City of Edmonds. I have provided the wire notice document to Kathleen Junglov, our Finance Director, for her attention. Her phone number is (425) 771-0240. Please don't hesitate to call me on (425)-771-0245 if you have any questions. Yours truly, Linda Hynd Deputy City Clerk (425) 771-0245 enclosure • Incorporated August 11, 1890 • Sister City - Hekinan, Japan (ED CCHICAGO TITLE INSURANCE COMPANY ESTIMATED BUYER'S/BORROWER'S SETTLEMENT STATEMENT ESCROW NUMBER: 00633-001271285-001 ORDER NUMBER: 04660-005304563 CLOSING DATE: 03/27/09 CLOSER: SCOTT SMOUSE BUYER: CITY OF EDMONDS SELLER: GREGG PRODUCTION ASSOCIATES, INC. PROPERTY: THE COURTYARD PORTION OLD MILL TOWN, SALE OF EASEMENT, EDMONDS, WASHINGTON 98020 Sales Price Prorations And Adjustments SURFACE WATER MANAGEMENT CHARGES (EST.) from 03/27/09 to 01/01/10, Total amount $ 100.00 for 365 days ESCROW FEE: 1/2 SALE FEE ® $250,000.00 ESCROW SALES TAX DELIVERY CHARGE: 1/2 CHARGE DELIVERY SALES TAX RECORDING FEES: DEED (ESTIMATED) Funds Due From Buyer At Closing TOTALS READ & APPROVED o. C1 MO 4� 4�.�NspMQyo,e, DATE: 03/25/09 11:21:34 PAGE: 01 CHARGE BUYER CREDIT BUYER $ 250,000.00 $ 76.71 675.00 60.75 45.58 4.10 100.00 250,962.14 $ 250,962.14 $ 250,962.14 NDCHICAGO TITLE INSURANCE COMPANY 701 FIFTH AVENUE, SUITE 3400, SEATTLE, WASHINGTON 98104 (206)628-5693 (206)628-9737 ESCROW INSTRUCTIONS Escrow N o. 1271285 Title No. 005304563 I)ate: MARCH 25, 2009 Buyer: CITY OF EDMONDS Zeller: GREGG PRODUCTION ASSOCIATES, INC. Property: THE COURTYARD PORTION OLD MILL TOWN SALE OF EASEMENT EDMONDS, WASHINGTON 98020 TO: C14ICAGO TITLE INSURANCE COMPANY 701 FIFTH AVENUE, SUITE 3400 SEATTLE, WASHINGTON 98104 ELLER herein shall deposit with escrow under these instructions the following: REAL ESTATE PURCHASE AND SALE AGREEMENT & ADDENDUMS THERETO, IF ANY ESTIMATED SETTLEMENT STATEMENT NOTICE: THE ESTIMATED CLOSING STATEMENT IS SUBJECT TO CHANGES, CORRECTIONS AND/OR ADDITIONS AT THE TIME OF FINAL COMPUTATION OF CLOSING ESCROW STATEMENT, QUIT CLAIM DEED REAL ESTATE EXCISE TAX AFFIDAVIT CERTIFICATION OF NON -FOREIGN STATUS LOAN MODIFICATION DOCUMENTS FROM CASCADE BANK which you are instructed to deliver, release and/or record when you have for the account of the seller TWO HUNDRED FIFTY THOUSAND AND 00/100 ($250,000.00 subject to any charges and/or credits authorized herein and PURCHASER herewith deposits with escrow: REAL ESTATE EXCISE TAX AFFIDAVIT FUNDS AS REQUIRED TO CLOSE ESTIMATED SETTLEMENT STATEMENT NOTICE: THE ESTIMATED CLOSING STATEMENT IS SUBJECT TO CHANGES, CORRECTIONS AND/OR ADDITIONS AT THE TIME OF FINAL COMPUTATION OF CLOSING ESCROW STATEMENT. which sums and documents you are instructed to use: I When you are able to close according to the terms and conditions set forth in the Real Estate Purchase and Sale Agreement and Addendums attached thereto and in compliance with these instructions, and issue your policy (or policies) of title insurance in the amount (or amounts) as follows: OWNER'S STANDARD POLICY @ $250,000.00; AND LENDERS ENDORSEMENTS AS REQUIRED BY CASCADE BANK containing the insuring clauses, exceptions, exclusions, provisions and stipulations as contained in commitment issued under number 0053 04563 under which parties herein have read and approved, and a. Conditions, restrictions or reservations as may be contained in the plat or Federal or State patents. b, Matters attaching by, through or under the Grantee c: Special Exceptions SECOND COMMITMENT, SPECIAL EXCEPTIONS PARAGRAPHS NO.: 2 (TO THE EXTENT OF SURFACE WATER MANAGEMENT CHARGES, IN AN AMOUNT STILL TO BE DETERMINED) AND 4. PARAGRAPH 5 WILL BE DELETED IF TITLE OFFICER RECEIVES A COPY OF THE BHAK LEASE AND CONFIRMS IT DOES NOT AFFECT THE SUBJECT PROPERTY. 2. You are instructed to disburse deposited funds pursuant to closing statement(s) examined and approved by the parties hereto and by this reference made a part hereof. Certain items shown on the closing statements may be estimated only and the final figures may be adjusted to accommodate exact amounts required at the time of disbursement. ESCROW INSTRUCTIONS Escrow No. 1271285 Date: MARCH 25, 2009 Title No. 0053 04563 3. The undersigned have examined and hereby approve for use in this escrow the documents described above as to content and form. 4. Assume a per diem basis in any pro -rate herein provided, and unless parties otherwise instruct you, you are to use the information contained in the last available tax statement as provided by the seller, beneficiary's statement, and fire insurance policies delivered into escrow for the pro -rates provided above. 5. All money received by you in this escrow is to be deposited in your trust account pending closing. It is understood that all checks, money orders or drafts will be processed for collection in the normal course of business. You may commingle funds received in this escrow with escrow funds of others, and you may, without limitation, deposit such funds in your custodial or escrow accounts with any reputable trust company, bank, savings bank, savings association, or other financial services entity, including any affiliate of Chicago Title Insurance Company. You shall be under no obligation to invest the funds deposited with you on behalf of any depositor, nor shall you be accountable for any earnings or incidental benefit attributable to the funds which you may receive while you held such funds. If for any reason funds are retained or remain in escrow after closing date, you are authorized to deduct therefrom a reasonable charge as custodian. 6. You are instructed that all money and documents required by you herein shall be. deposited with you on or before MARCH 27, 2009 . If this escrow has not been placed in a condition to close by said date, the above items deposited by me (us) are to be returned to me (us) upon written demand, at which time I/we will pay all your charges in connection herewith, but in the absence of such written demand, you will procced with these instructions as soon as practicable. 7. These closing escrow instructions may be executed in counterparts with like effect as if all signatures appeared on a single copy. Facsimile copies of certain documents may be accepted, at the discretion of Chicago Title Insurance Company, for purposes of closing. 8, These escrow instructions are not intended to amend, modify or supersede the terms and conditions set forth in the Real Estate Purchase and Sale Agreement and Addendums thereto, if any, Escrow is to be concerned only with the provisions specifically set forth in these instructions and identified by the Buyer and Seller as conditions to the closing of this escrow. «. You are instructed to furnish to any broker or lender identified with this transaction or anyone acting on behalf of such lender, any information concerning this Escrow upon request of said broker or lender. 10, Should any dispute arise between parties interested in property or funds covered by these instructions, you shall have the option to hold all matters pending in their then existing status or to join in or commence a court action, deposit the money and documents referred to herein into the Registry of the Court or upon holding this escrow open for determination of the rights of the parties, you will be relieved of all responsibility. It is further agreed that in the event of any suit or claim made against you by either or both parties to this agreement, that said parties shall be required to pay you all expenses, costs and reasonable attorney's fees in connection therewith, whether suit is instituted by you or any of the parties hereto. 11, Escrow Holder is to assume no responsibility or liability for the preparation of the Truth in Lending, Consumer Protection Statement. 12. Escrow Holder is to assume no responsibililty or liability for the calculation, deduction, or any other act such as the withholding of funds and/or for the payment of taxes in compliance with the Foreign Investment in Real Property Tax Act as amended in 1984 (IRC 1445 et seq.). The determination of whether such tax is due and its payment or withholding, if due, shall be handled by the parties outside of escrow. Escrow Holder has advised the parties to contact their attorney or tax advisor regarding the applicability of section 1445 to this transaction. Escrow Holder reserves the right to take any action it believes the law requires it to take, whether included in instructions or not. 13. The legal description as in Preliminary Commitment for Title Insurance No. 0053 04563 is that of the property intended to be conveyed in this transaction. 14. The undersigned hereby acknowledge receipt of the Commitment for Preliminary Title Insurance covering subject property together with Escrow Agents Admission to Practice Rule Disclosure. 15. You are instructed. to .prorate as of the date of recording the following: SURFACE WATER MANAGEMENT CHARGES, ONLY. 16. The undersigned hereby advise escrow holder that pro -ration and payment of all utilities, including but not limited to water, sewer, garbage, electricity, gas and oil, will be handled between the parties outside of escrow. Escrow holder shall not be responsible for determining whether any utility charges are or may become due or for payment of any such charges. By signing these instructions, the undersigned hereby assume full responsibility for proration and payment, if any, of utilities. 17. Escrow holder is advised that the personal property, if any, will be transferred outside of escrow between the principals hereto, and escrow holder is to assume no responsibility or liability for the condition, delivery or sales tax due thereon. ESCLINAZA-3-97MM ESCROW INSTRUCTIONS Escrow No. 1271285 Title No. 0053 04563 Date: MARCH 25, 2009 AUDITIONAL INSTRUCTIONS: 18. THE UNDERSIGNED HEREBY AGREE THAT ALL SPECIAL CONDITIONS AND CONTINGENCIES OF THE PURCHASE AND SALE AGREEMENT, TOGETHER WITH ANY AND ALL ADDENDA THERETO, EITHER HAVE BEEN OR WILL BE MET TO THEIR SATISFACTION OR WAIVED. CHICAGO TITLE, AS ESCROWEE, SHALL ONLY BE RESPONSIBLE FOR CLOSING IN ACCORDANCE WITH THE WRITTEN TERMS OF THE PURCHASE AND SALE AGREEMENT AND ANY OTHER WRITTEN INSTRUCTIONS DEPOSITED TO ESCROW. THE PARTIES SHALL HOLD CHICAGO TITLE INSURANCE COMPANY AND ITS EMPLOYEES HARMLESS FROM ANY CLAIM RESULTING FROM THE FAILURE OF ANY PARTY TO MEET ANY ADDITIONAL CONDITIONS AND/OR CONTINGENCIES. 19. BUYER HEREIN HAS READ, RECEIVED AND APPROVED CHIC -AGO TITLE INSURANCE COMPANY'S PRELIMINARY TITLE COMMITMENT DATED FEBRUARY 11, 2009, AT 8:00 A.M. AND IS AWARE OF THE CONTENTS THEREIN AND DIRECTS ESCROW HOLDER TO PROCEED WITH THE CLOSING OF THIS ESCROW AS DIRECTED HEREIN. 20. UTILITY ISSUES: THE UNDERSIGNED HEREBY ADVISE ESCROW HOLDER THAT PRORATION AND PAYMENT OF ALL UTILITIES, INCLUDING BUT NOT LIMITED TO, WATER, SEWER, GARBAGE, ELECTRICITY, GAS AND OIL, WILL BE HANDLED BETWEEN THE PARTIES OUTSIDE OF ESCROW. ESCROW HOLDER SHALL NOT BE RESPONSIBLE FOR DETERMINING WHETHER ANY UTILITIES CHARGES ARE OR MAY BECOME DUE OR FOR PAYMENT OF ANY CHARGES. BY SIGNING THESE INSTRUCTIONS, THE UNDERSIGNED HEREBY ASSUME FULL RESPONSIBILITY FOR PRORATION AND PAYMENT, IF ANY, OF UTILITIES AS DESCRIBED ABOVE AND AS MAY BE CONTAINED IN THE EARNEST MONEY RECEIPT AND AGREEMENT BETWEEN THE PARTIES. ESCROW INSTRUCTIONS Escrow No. 1271285 Title No. 005304563 Date: MARCH 25, 2009 DECLARATION OF ESCRO4 SERVICES Both Purchaser and Seller acknowledge by their signatures hereon the following: I have been specifically informed that CHICAGO TITLE INSURANCE COMPANY (hereinafter designated 'CHICAGO') is not licensed to practice law and no legal advice has been offered by CHICAGO or any of its employees. I have been further informed that CHICAGO is acting only as an escrow holder and that it is forbidden by law from offering any advice to any party respecting the merits of this escrow transaction or the nature of the instruments utilized, and that it has not done so. I have not been referred by CHICAGO to any named attorney or attorneys or discouraged from seeking advice of any attorney but have been requested to seek legal counsel of my own choosing at my own expense, if I have doubt concerning any aspect of this transaction. I further declare all instruments to which I am a party, if prepared by CHICAGO, have been prepared under the direction of my attorney or myself and particularly declare that copying legal description from title reports into forms of deed, etc. or reforming of legal descriptions or agreements is, or will be solely at my direction or request. I have been afforded adequate time and opportunity to read and understand these escrow instructions and all other documents referred to therein. THE UNDERSIGNED HAVE READ AND FULLY UNDERSTAND THE FOREGOING CLOSING INSTRUCTIONS AND ALSO THE DECLARATION SET FORTH ABOVE AND AGREE TO THE SAME READ & APPROVED GREGG PRODUCTION ASSOCIATES, INC. Forwarding Address: ESCLINA3 AeDepartment of enue Washington State REALESTATE EXCISE TAX AFFIDAVIT This form is your receipt PLEASE TYPE OR PRINT CHAPTER 82.45 RCW — CHAPTER 458-61A WAC when stamped by cashier. THIS AFFIDAVIT WILL NOT BE ACCEPTED UNLESS ALL AREAS ON ALL PAGES ARE FULLY COMPLETED (See back of last page for instructions) ❑Check box if partial safe ufnrc�aerty If multiple owners_ list oercentaee of ownership next to name. Name GREGG PRODUCTION ASSOCIATES, INC. Name City of Edmonds a z w 7N pp attn: City Clerk Mailing Address 51 West Dayton Street, Suite 304 City/State/Zip Edmonds, WA 98020 Mailing Address 121 - 5th Avenue North City/State/Zip Edmonds, WA 98020 Phone No. (including area code s Phone No. (including area code) (425) 673-4218 Send all property tax correspondence to: ❑ Same as Buyer/Grantee List all real and personal property tax parcel account numbers — check box if personal property List assessed value(s) Name 004342-121-001-00_ ❑ Mailing Address ❑ City/State/Zip _ ❑ ❑ Phone No. (including area code) ® Street address of property: 201 - 5th Avenue South, Edmonds, WA 98020 This property is located in Edmonds ❑✓ Check box if any of the listed parcels are being segregated from a larger parcel. Legal description of property (if more space is needed, you may attach a separate sheet to each page of the affidavit) The south 100.00 feet of the west 22.00 feet of lot 40, Block 121, plat of the city of Edmonds, as recordedin volume 2 of plats, page 39, records of Snohomish County, Washington; situate in Section 24, Township 27 North, Range 3 East, W.M., in the City of Edmonds, County of Snohomish, State of Washington ® Select Land Use Codes): 91 - undeveloped land (land nniyy enter any additional codes: (See back of last page for instructions) YES NO Is this property exempt from property tax per chapter ❑ ✓❑ 84.36 RCW (nonprofit organization)? 0 YES NO Is this property designated as forest land per chapter 84.33 RCW? ❑ M Is this property classified as current use (open space, farm and ❑ ❑✓ agricultural, or timber) land per chapter 84.34? Is this property receiving special valuation as historical property ❑ ❑✓ per chapter 84.26 RCW? If any answers are yes, complete as instructed below. (1) NOTICE OF CONTINUANCE (FOREST LAND OR CURRENT USE) NEW OWNER(S): To continue the current designation as forest land or classification as current use (open space, farm and agriculture, or timber) land, you must sign on (3) below. The county assessor must then determine if the land transferred continues to qualify and will indicate by signing below. If the land no longer qualifies or you do not wish to continue the designation or classification, it will be removed and the compensating or additional taxes will be due and payable by the seller or transferor at the time of sale. (RCW 84.33.140 or RCW 84.34.108). Prior to signing (3) below, you may contact your local county assessor•for more information. This land ❑ does ❑ does not qualify for continuance. DEPUTY ASSESSOR DATE (2) NOTICE OF COMPLIANCE (II[STORIC PROPERTY) NEW OWNER(S): To continue special valuation as historic property, sign (3) below. If the new owner(s) does not wish to continue, all additional tax calculated pursuant to chapter 84.26 RCW, snail be due and payable by the seller or transferor at the time of sale. (3) OWNER(S) SIGNATURE PRINT NAME List all personal property (tangible and intangible) included in selling price. If claiming an exemption, list WAC number and reason for exemption' WAC No. (Section/Subsection) Reason for exemption Type of Document Quit Claim Deed (easement) Date of Document 3/26/09 Gross Selling Price $ 250,000.00 *Personal Property (deduct) 5 Exemption Claimed (deduct) $ Taxable Selling Price $ 250,000.00 Excise Tax : State $ 3,200,00 0.0050 J Local $ 1,250.00 *Delinquent Interest: State $ Local $ *Delinquent Penalty $ Subtotal $ 4.450.00 *State Technology Fee $ 5.00 *Affidavit Processing Fee $ Total Due $ 4,455.00 A MINIMUM OF $10.00 IS DUE IN FEE(S) AND/OR TAX *SEE INSTRUCTIONS © I CERTIFY UNDER PENALTY OF PERJURY THAT THE FOREGOING IS TRUE AND CORRECT. 01 Signature of Signature of Grantor or Grantor's Agent Grantee or Grantee's Agent �/,�•�•� Name (print) Robert R. Gregg, President of Gregg Production Assoc., Name (print) Gary Haakensod May-O v v Date & city of signing: March 26, 2009 @ Edmonds, WA Date & city of signing: March 26, 2009 @ Edmonds, WA Perjury: Perjury is a class C felony which is punishable by imprisonment in the state correctional institution for a maximum term of not more than five years, or by a fine in an amount fixed by the court of not more than five thousand dollars ($5,000.00), or by both imprisonment and fine(RCW 9A.20.020 (1C)). _ REV 84 0001a (1/29/09) THIS SPACE - TREASURER'S USE ONLY COUNTY TREASURER rDepartment of 0wo"CelvenuesREAL ESTATE EXCISE TAX AFFIDAVIT This form is your receipt PLEASE TYPE OR PRINT CHAPTER 82.45 RCW — CHAPTER 458-61A WAC when stamped by cashier, THIS AFFIDAVIT WILL NOT BE ACCEPTED UNLESS ALL AREAS ON ALL PAGES ARE FULLY COMPLETED (See back of last page for instructions) Check box if artial sale of ro em If multi le owners list nercenEave ofawnershin next to name. Name GREGG PRODUCTION ASSOCIATES, INC. Name City of Edmonds w pq attn: City Clerk a Mailing Address 51 West Dayton Street, Suite 304 City/State/Zip Edmonds, WA 98020 Phone No. (including area code) (425) 673-4218 _ Mailing Address 121 - 5th Avenue North City/State/Zip Edmonds, WA 98020 Phone No. (including area code) Send all property tax correspondence to: ❑ Same as Buyer/Grantee List all real and personal property tax parcel account numbers — check box if personal property List assessed value(s) Name 004342-121-001-00 ❑ ❑ Mailing Address ❑ City/State/Zip ❑ Phone No. (including area code) NStreet address of property: 201 - 5th Avenue South, Edmonds, WA 98020 This property is located in Edmonds ❑✓ Check box if any of the listed parcels are being segregated from a larger parcel Legal description of property (if more space is needed, you may attach a separate sheet to each page of the affidavit) The south 100.00 feet of the west 22.00 feet of lot 40, Block 121, plat of the city of Edmonds, as recordedin volume 2 of plats, page 39, records of Snohomish County, Washington; situate in Section 24, Township 27 North, Range 3 East, W.M., in the City of Edmonds, County of Snohomish, State of Washington Select Land Use Codes : 91 - undeveloped land (land only) enter any additional codes: (See back of last page for instructions) YES NO Is this property exempt from property tax per chapter ❑ 0 84.36 RCW (nonprofit organization)? N YES NO Is this property designated as forest land per chapter 84.33 RCW? ❑ 0 Is this property classified as current use (open space, farm and ❑ ❑✓ agricultural, or timber) land per chapter 84.34? Is this property receiving special valuation as historical property ❑ IZI per chapter 84.26 RCW? If any answers are yes, complete as instructed below. (1) NOTICE OF CONTINUANCE (FOREST LAND OR CURRENT USE) NEW OWNER(S): To continue the current designation as forest land or classification as current use (open space, farm and agriculture, or timber) land; you must sign on (3) below. The county assessor must then detemrine if the land transferred continues to qualify and will indicate by signing below. If the land no longer qualifies or you do not wish to continue the designation or classification, it will be removed and the compensating or additional taxes will be due and payable by the seller or transferor at the time of sale. (RCW 84.33.140 or RCW 84.34.108). Prior to signing (3) below, you may contact your local county assessor for more information. This land ❑ does ❑ does not qualify for continuance. DEPUTY ASSESSOR DATE (2) NOTICE OF COMPLIANCE (HISTORIC PROPERTY) NEW OWNER(S): To continue special valuation as historic property, sign (3) below. If the new owner(s) does not wish to continue, all additional tax calculated pursuant to chapter 84.26 RCW, shall be due and payable by the seller or transferor at the time of sale. (3) OWNER(S) SIGNATURE PRINT NAME List all personal property (tangible and intangible) included in selling price. If claiming an exemption, list WAC number and reason for exemption: WAC No. (Section/Subsection) Reason for exemption Type of Document Quit Claim Deed (easement) Date of Document 3/26/09 Gross Selling Price S 250,000.00 *Personal Property (deduct) S Exemption Claimed (deduct) $ Taxable Selling Price $ 250,000.00 Excise Tax : State $ 3,200.00 0.0050 Local $ 1,250.00 *Delinquent Interest: State S Local $ *Delinquent Penalty S Subtotal $ 4.450.00 *State Technology Fee $ 5.00 *Affidavit Processing Fee S Total Due $ 4,455.00 A MINIMUM OF $10.00 IS DUE IN FEE(S) AND/OR TAX *SEE INSTRUCTIONS © I CERTIFY UNDER PENALTY OF PERJURY THAT THE FOREGOING IS TRUE CORRECT. Signature of Signature of Grantor or Grantor's Agent Grantee or Grantee's Agent Name (print) Robert R. Gregg, President of Gregg Production Assoc., Name (print) Gary Haakenso , Ma o Date &.'city of signing: March 26, 2009 @ Edmonds, WA Date & city of signing: March 26, 2009 @ Edmonds, WA Perjury: Perjury is a class C felony which is punishable by imprisonment in the state correctional institution for a maximum term of not more than five years, or by a fine in an amount fixed by the court of not more than five thousand dollars $5,000.00 , orb both imprisonment and fine RCW 9A.20.020 (1C)). REV 84 0001a (1/29/09) THIS SPACE - TREASURER'S USE ONLY COUNTY ASSESSOR Department of levenu"e Woshvigtan State REAL ESTATE EXCISE TAX AFFIDAVIT This form is your receipt PLEASE TYPE OR PRINT CHAPTER 82.45 RCW — CHAPTER 458-61A WAC when stamped by cashier. THIS AFFIDAVIT WILL NOT BE ACCEPTED UNLESS ALL AREAS ON ALL PAGES ARE FULLY COMPLETED (See back of last page for instructions) ❑rherrL- hnv if nartial cal@ nfnrnnefiv Umultiple owners. list percentage of ownership next to name. Name GREGG PRODUCTION ASSOCIATES, INC. Name City of Edmonds a: a Fz 7H pq attn: City Clerk Mailing Address 51 West Dayton Street, Suite 304 City/State/Zip Edmonds, WA 98020 Mailing Address 121 5th Avenue North City/State/Zip Edmonds, WA 98020 Phone No. (including area code) Phone No. (including area code) (425) 673-4218 Send all property tax correspondence to: ❑ Same as Buyer/Grantee List all real and personal property tax parcel account numbers — check box if personal property List assessed value(s) Name 004342-121-001-00 ❑ Mailing Address City/State/Zip ❑ Phone No. (including area code} ❑ ® Street address of property: 201 - 5th Avenue South, Edmonds, WA 98020 This property is located in Edmonds ✓❑ Check box if any of the listed parcels are being segregated from a larger parcel. Legal description of property (if more space is needed, you may attach a separate sheet to each page of the affidavit) The south 100.00 feet of the west 22.00 feet of lot 40, Block 121, plat of the city of Edmonds, as recordedin volume 2 of plats, page 39, records of Snohomish County, Washington; situate in Section 24, Township 27 North, Range 3 East, W.M., in the City of Edmonds, County of Snohomish, State of Washington Select Land Use Codc(s): 91 - Undeveloped land (land anty) enter any additional codes: (See back of last page for instructions) YES NO Is this property exempt from property tax per chapter ❑ 84.36 RCW (nonprofit organization)? 0 YES NO Is this property designated as forest land per chapter 84.33 RCW? ❑ ❑✓ Is this property classified as current use (open space, farm and ❑ El agricultural, or timber) land per chapter 84.34? Is this property receiving special valuation as historical property ❑ ❑� per chapter 84:26 RCW? if any answers are yes, complete as instructed below. (1) NOTICE OF CONTINUANCE (FOREST LAND OR CURRENT USE) NEW OW SMR(S): To continue the current designation as forest land or classification as current use (open space, farm and agriculture, or timber) land, you must sign on (3) below. The county assessor trust then determine if the land transferred continues to qualify and will indicate by signing below. If the land no longer qualifies or you do not wish to continue the designation or classification, it will be removed and the compensating or additional taxes will be due and payable by the seller or transferor at the time of sale. (RCW 84.33.140 or RCW 84.34.108). Prior to signing (3) below, you may contact your local county assessor for more information. This land ❑ does ❑ does not qualify for continuance. DEPUTY ASSESSOR DATE (2) NOTICE OF COMPLIANCE (i-Ii.SMRIC PROPERTY) NEW OWNER(S): To continue special valuation as historic property, sign (3) below. If the new owner(s) does not wish to continue, all additional tax calculated pursuant to chapter 84.26 RCW, shall be due and payable by the seller or transferor at the time of sale. (3) OWNER(S) SIGNATURE PRINT NAME © List all personal property (tangible and intangible) included in selling price. If claiming an exemption, list WAC number and reason for exemption: WAC No. (Section/Subsection) Reason for exemption Type of Document Quit Claim Deed (easement) Date of Document 3/26/09 Gross Selling Price $ 250,000.00 *Personal Property (deduct) $ Exemption Claimed (deduct) S Taxable Selling Price $ 250,000.00 Excise Tax : State $ 3,200.00 D.0050 Local $ 1,250.00 *Delinquent Interest: State $ Local $ *Delinquent Penalty $ Subtotal $ 4,450.00 *State Technology Fee $ 5.00 *Affidavit Processing Fee $ Total Due $ 4,455.00 A MINIMUM OF $10.00 IS DUE IN FEE(S) AND/OR TAX *SEE INSTRUCTIONS © I CERTIFY UNDER PENALTY OF PERJURY THAT THE FOREGOING IS TRUE A CORRECT. Signature of Signature of Grantor or Grantor's Agent Grantee or Grantee's Agent Name (print) Robert R. Gregg, President of Gregg Production Assoc., Name (print) Gary Haakenson, M r Date & city of signing: March 26, 2009 Ca? Edmonds, WA Date & city of signing: March 26, 2009 @ Edmonds, WA Perjury: Perjury is a class C felony which is punishable by imprisonmenfin the state correctional institution for a maximum term of not more than five years, or by a fine in an amount fixed by the court of not more than five thousand dollars ($5,000.00), or by both imprisonment and fine (RCW 9A.20.020_(IC& REV 84 0001a (1/29/09) THIS SPACE - TREASURER'S USE ONLY DEPT. OF REVENUE Department of LweV'Wni.Je REAL ESTATE EXCISE TAX AFFIDAVIT 'NQ�"+r'P" scare This form is your receipt PLEASE TYPE OIL PRINT CHAPTER 82.45 RCW — CHAPTER 458-61A WAC when stamped by cashier. THIS AFFIDAVIT WILL NOT BE ACCEPTED UNLESS ALL AREAS ON ALL PAGES ARE FULLY COMPLETED (See back of last page for instructions) ❑Check box if nartiai sale of oromrty if muldole owners_ list oercentsee of ownership next to name Name GREGG PRODUCTION ASSOCIATES, INC. Name City of Edmonds 0 a w w pa attn: City Clerk Mailing Address 51 West Dayton Street, Suite 304 City/State/Zip Edmonds, WA 98020 Phone No. (including area code) (425) 673-4218 Mailing Address 121 - 5th Avenue North City/State/Zip Edmonds, WA 98020 Phone No. (including area code) Send all roe tax correspondence to: y property rty p ❑Same as Buyer/Grantee er/Grantee List all real and personal property tax parcel account numbers — check box if personal property List assessed value s ( ) Name. 004342-121-001-0.0 Mailing Address ❑ ❑ City/State/Zip rl Phone No. (including area code) 0 Street address of property: 201 - 5th Avenue South, Edmonds, WA 98020 This property is located in Edmonds ❑✓ Check box if any of the listed parcels are being segregated from a larger parcel. Legal description of property (if more space is needed, you may attach a separate sheet to each page of the affidavit) The south 100.00 feet of the west 22.00 feet of lot 40, Block 121, plat of the city of Edmonds, as recordedin volume 2 of plats, page 39, records of Snohomish County, Washington; situate in Section 24, Township 27 North, Range 3 East, W.M., in the City of Edmonds, County of Snohomish, State of Washington Select Land Use Codes : 91 - Undeveloped land (land only) enter any additional codes: (See back of last page for instructions) YES NO Is this property exempt from property tax per chapter ❑ ❑✓ 84.36 RCW (nonprofit organization)? r YES NO Is this property designated as forest land per chapter 84.33 RCW? ❑ ❑✓ Is this property classified as current use (open space, farm and ❑ agricultural, or timber) land per chapter 84.34? Is this property receiving special valuation as historical property ❑ ❑✓ per chapter 84.26 RCW? If any answers are yes, complete as instructed below. (1) NOTICE OF CONTINUANCE (FOREST LAND OR CURRENT USE) NEW OWNER(S): To continue the current designation as forest land or classification as current use (open space, farm and agriculture, or timber) land, you must sign on (3) below. The county assessor must then determine if the land transferred continues to qualify and will indicate by signing below. If the land no longer qualifies or you do not wish to continue the designation or classification, it will be removed and the compensating or additional taxes will be due and payable by the seller or transferor at the time of sale. (RCW 84.33.140 or RCW 84.34.108). Prior to signing (3) below, you may contact your local county assessor for more information. This land ❑ does ❑ does not qualify for continuance DEPUTY ASSESSOR DATE (2) NOTICE OF COMPLIANCE (HISTORIC PROPERTY) NEW OWNER(S): To continue special valuation as historic property, sign (3) below. If the new owner(s) does not wish to continue, all additional tax calculated pursuant to chapter 84.26 RCW, shall be due and payable by the seller or transferor at the time of sale. (3) OWNER(S) SIGNATURE PRINT NAME List all personal property (tangible and intangible) included in selling price. If claiming an exemption, list WAC number and reason for exemption: WAC No. (Section/Subsection) Reason for exemption Type of Document Quit Claim Deed (easement) Date of Document 3/26/09 Gross Selling Price $ 250,000.00 *Personal Property (deduct) $ Exemption Claimed (deduct) $ Taxable Selling Price $ 250,000.00 Excise Tax : State $ 3,200.00 0.0050 Local $ 1,250.00 *Delinquent Interest: State .S Local 5 *Delinquent Penalty $ Subtotal $ 4,450.00 *State Technology Fee $ 5.00 *Affidavit Processing Fee S Total Due S 4,455.00 A MINIMUM OF $10.00 IS DUE IN FEE(S) AND/OR TAX *SEE INSTRUCTIONS © I CERTIFY UNDER PENALTY OF PERJURY THAT THE FOREGOING IS TRUE AN CORRECT. Signature of Signature of Grantor or Grantor's Agent Grantee or Grantee's Agent Name (print) Robert R. Gregg, President of Gregg Production Assoc., Name (print) Gary Haakonsqf,Mayo Date & city of signing: March 26. 2009 Edmonds. WA Date & city of signing: March 26, 2009 @ Edmonds, WA Perjury: Perjury is a class C felony which is punishable by imprisonment in the state correctional institution for a maximum term of not more than five years, or by a fine in an amount fixed by the court of not more than five thousand dollars ($5,000.00) or by both imprisonment and fine (RCW 9A.20.020 (1C). REV 84 0001a (1/29/09) THIS SPACE - TREASURER'S USE ONLY TAXPAYER INSTRUCTIONS Note: To report a transfer of a controlling interest in real property, please use the Real Estate Excise Tax Affidavit Controlling Interest Transfer Return, Revenue Form No. 84-0001B. This form is available online at hht ://dor.wa g-ov. Section 1: Enter the name(s) of seller/grantor. This is the person(s) conveying interest in the property. Section 2: Enter the name(s) of buyer/grantee. This is the person(s) receiving interest in the property. Section 3: • Enter the name and address where you would like all future property tax information sent. • Enter the tax parcel number and current assessed value for real and personal property being conveyed. Check the box to indicate personal property. Section 4: • Enter the street address of the property. • Enter the county if in unincorporated area. Enter city name if located within a municipality. • Enter the legal description of the property. Section 5: • Enter the appropriate land use code for the property. Please list all codes that apply on the lines provided in section 5. See WAC 458-53-030 (5) for a complete list. 09 -Land with mobile home 23 - Apparel and other finished ■ 33 - Primary metal industries ■ 71 - Cultural activities/nature exhibitions 10 -Land with new building products made from fabrics, ■ 34 - Fabricated metal products ■ 74 - Recreational activities (golf leather, and similar materials ■ 11 - Household single family units ■ 35 - Professional scientific and controlling courses, etc.) ' 12 - Multiple family residence 2-4 Units p ( ) 6 Pr na1 ' 24 - Lumber and wood products (except furniture) instruments; photographic and optical ■ 75 - Resorts and group eamps ■ 13 - Multiple family residence (5 + Units) ■ 25 - Furniture and fixtures goods; watches/clocks manufacturing ■ 80 - Water or mineral right ■ 14 -Residential condominiums ■ 26 - Paper and allied products ■ 39 - Miscellaneous manufacturing 81 -Agriculture (not in current use) • 15 -Mobile home parks or courts ■ 27 - Printing and publishing ■ 50 - Condominiums -other than residential ■ 83 -Agriculture current use RCW 84.34 ■ 16 - Hotels/motels • 28 -Chemicals ■ 53 - Retail Trade - general merchandise ■ 86 - Standing Timber (separate from ■ 17 - Institutional Lodging (convalescent 29 - Petroleum refining and related 54 -Retail Trade -food land) homes, nursing homes, etc.) industries ■ 58 - Retail trade -eating &drinking 88 -Forest land designated RCW 84.33 ■ 18 - All other residential not coded 30 - Rubber and miscellaneous (restaurants, bars) 91 - Land Undeveloped land onl p ( y) ■ 19 - Vacation and cabin plastic products 59 - Tenant occupied, commercial properties �n Pa 94 - ❑ space land RCW 84.34 ■ 21 - Food and kindred products 31 - Leather and leather products ■ 64 - Repair services ■ ■ f ' 'cal 95 - Timberland classified RCW 84.34 ■ 22 -Textile mill products 32 -Stone, clay and glass products — Sal VICES ' ') 96 - Improvements on leased land Section 6: - Indicate whether the property is designated as forest land per chapter 84.33 RCW, classified as current use (open space, farm, agricultural, or timber) per chapter 84.34 RCW, or receiving special valuation as historic property per chapter 84.26 RCW. Section 7: • List personal property included in the selling price of the real property. For example, include tangible (furniture, equipment, etc) and intangible (goodwill, agreement not to compete, etc). • Use Tax is due on personal property purchased without payment of the sales tax. Use Tax may be reported on your Combined Excise Tax Returnor a Consumer Use Tax Return, both available at http://dor.wa.gov. • If you are claiming a tax exemption, cite the specific Washington Administrative Code (WAC) number, section and subsection and provide a brief explanation. Most, tax exemptions require specific documentation. Refer to the appropriate WAC to determine documentation requirements: Chapter 458-61A WAC is available online at http://dor.wa.gov. • Enter the type of document (quit claim deed, statutory warranty deed, etc.), and date of document (MM/DD/YYYY) • Enter the selling price of the property. Selling price: For tax purposes, the selling price is the true and fair value of the property conveyed. When property is conveyed in an arm's length transaction between unrelated persons for valuable consideration, there is a presumption that the selling price is equal to the total consideration paid or contracted to be paid, including any indebtedness. Refer to RCW 82.45.030 for more information about selling price. • Deduct the amount of personal property included in the selling price. • Deduct the amount of tax exemption claimed per chapter 458-61A WAC. Due Date, Interest and Penalties: Tax is due at the time of sale/transfer. If tax is not paid within one month of the date of sale/transfer, interest and penalties will apply. The interest rate is variable and determined per RCW 82.32.050. Delinquent penalties are 5% one month after the due date; 10% two months after the due date; and 20% three months after the due date. (RCW 82.45.100) State Technology Fee - A $5.00 Electronic Technology Fee that is due on all transactions. Affidavit Processing Fee - A minimum of $5.00 shall be collected in the form of tax and processing fee. A processing fee is due on all transactions where no tax is due and on all taxable transactions where the tax due is less than $5.00. Section 8: Both grantor (seller) and grantee (buyer), or the agent of each, must sign this form, certifying that all the information provided is correct. Note: Original signatures required on the "County Treasurer" copy. Signatures may be required on the "Assessors" copy. Check with your county. Where to send completed forms: Completed forms should be submitted to the County Treasurer's or Recorder's Office where the property is located. Audit: Information you provide on this form is subject to audit by the Department of Revenue. Underpayments of tax will result in the issuance of a tax assessment with interest and penalties. Note: in the event of an audit, it is the taxpayers' responsibility to provide documentation to support the selling price or any exemption claimed. This documentation must be maintained for a minimum of four years from date of sale. (RCW 82.45.100) Ruling requests: You may request a predetermination of your tax liability. The written opinion will be binding on both you and the Department based on the facts presented (WAC 458-20-100(9)). Send your ruling request to: Department of Revenue Taxpayer Information & Education P.O. Box 47478 Olympia, WA 98504-7478 FAX (360) 705-6655 For tax assistance, contact your local County Treasurer/Recorder or visit dor.wa.gov or call (360) 570-3265. To inquire about the availability of this document in an alternate format for the visually impaired, please call (360) 705-6715. Teletype (TTY) users please call 1-800-451-7985. REV 84 0001a inst. (1/29/09) 200707120009.001 RETURN NAME & ADDRESS City of. Edmonds City Clerk's Office 121 5th Avenue N Edmonds, WA 98020 11111 1111 P IE N INA1111111M H 701 Ojl S�CC�' MINTY, GIRSHINGTON GS Please print neatly or type information Document Title(s) 4fl4eeme^4 -k n7e rrip 4 A),-&1 %7 []7 (r /IJ s! h iwS'�l!IV�i NC� y4 �{-•I�Cf G� .I Reference Number(s) of related documents Additional Reference Ws on page _ Grantor(s) (Last, First, and Middle Initial) Grantee(s) (Last, First, and Middle Initial) Additional Grantors on page Additional Grantees on page Legal Description (abbreviated form i e lot, block, plat or section, township, range, q ua rte rlquarter) Complete legal on page Y Assessor's Property Tax Parcel/Account Number 00 y3 ►4 -W /.2zr,0i,Q L Additional parcel Vs on page The Audltor/Recorder will rely on the information provided on this form The responsibility for the accuracy , of the indexing information Is that of the document preparer. 200707120009.002 MEMORANDUM OF UNDERSTANDING REGARDING GREASE INTERCEPTORS THIS MEMORANDUM OF UNDERSTANDING ("MOU") is made this day of July, 2007, between the CITY OF EDMONDS, a municipal corporation ("City"), and GREGG PRODUCTION ASSOCIATES, INC, a Washington corporation ("GPA") 1 GPA is the owner of the property at 201 Fifth Avenue South, Edmonds, WA 98020 that is more particularly described as follows (hereafter referred to as the "Old Milltown Property"), Lots 1, 2, 3, 4, 5, 6, 37,38, 39, and 40, Block 121, The City of Edmonds, according to the Plat thereof recorded in Volume 2 of Plats, Pages 39 and 40, Records of Snohomish County, Washington, EXCEPT the East 16 feet of said Lot 37, TOGETHER WITH That Portion of the vacated alley adjoining Lots 1 through 4 and Lots 37 through 40, inclusive, EXCEPT That Portion of the South half of said vacated alley lying adjacent to the East 16 feet of Lot 37 SITUATE in the County of Snohomish, State of Washington 2 GPA is refurbishing the Old Milltown Property in accordance with current City zoning, building and other applicable regulations It is expected that GPA will lease space in the Old Milltown Property to one or more food service establishments-("FSE") who will discharge to a common grease interceptor ("Gl") 3 GPA agrees to accept the responsibility, as owner of the Old Milltown Property, for the proper installation, operation and maintenance of the GI in accordance with the requirements in the City of Edmonds Municipal Code (EMC), in particular EMC 7 91 080 For purposes of 200707120009.003 EMC 7 91080, GPA is both the "User" and the "Facility " It shall be GPA's responsibility to enforce these requirements with respect to any FSE tenants occupying the Old Milltown Property It is understood, however, that GPA shall remain responsible for compliance with these -requirements vis a vis the City 4 This MOU shall be recorded in the records of Snohomish County, shall attach to and run with the Old Milltown Property, and shall be binding upon the heirs, successors and assigns of the parties DATED this I I day of July, 2007 CITY OF EDMONDS, a municipal corporation By L��L (;,,RY H AHGN5on1, MOWDOq GREGG PRODUCTION ASSOCIATES, INC, a Washington corporation By e-+ /e Robert R Gregg, President of STATE OF WASHINGTON ) ) ss COUNTY OF SNOHOMISH ) On this I I day of July, 2007, before me, a Notary Public in and for the State of Washington, personally appeared 6iR y NnaXirNsoy , known to me (or proved to me on the basis of satisfactory evidence) to be the person who executed this instrument, and on oath stated that hp/she was authorized to execute the instrument, and acknowledge it as the In19 yo!q of CITY OF EDMONDS to be the free and voluntary act and deed of said municipal corporation for the uses and purposes mentioned in the instrument 200707120009.004 IN WITNESS WHEREOF, I have hereunto set my hand and official seal the day and year first above written ''x'��51a►y 'rrr� �IJ r� T 4rt h• i t1►� ,6+ us Z STATE OF WASHINGTON ) ) ss COUNTY OF KWt 5,1oNvm15j'I ) NOTARY PUBLIC in and for the State of Washington, residing at C e meWD s. My appointment expires -0 9-09 Print Name 6ogm D ,4 S . On this I!+' day of July, 2007, before me, a Notary Public in and for the State of Washington, personally appeared ROBERT R GREGG, known to me (or proved to me on the basis of satisfactory evidence) to be the person who executed this instrument, and on oath stated that he was authorized to execute the instrument, and acknowledge it as the President of GREGG PRODUCTION ASSOCIATES, INC , to be the free and voluntary act and deed of said corporation for the uses and purposes mentioned to the instrument IN WITNESS WHEREOF, I have hereunto set my hand and official seal the day and year first above written NOTARY PUBLIC in and for the State of Washington, residing at AEo ie -s My appointmcnt expires _ /-o9-p 2- -"-Print Name .6 qND S . ws CHICAGO TITLE INSURANCE 1800 COLUMBIA CENTER, 701 FIFTH AVE., SEATTLE, WA 98104 (206) 628-5666 TO: Fax: 0 FROM: Scott Smouse (206-628-5693) WIRING INSTRUCTIONS Account Name: Chicago Title Insurance Company Please instruct wire to be directed to: Bank: Bank of America RETS Department 275 Valencia Ave, 2nd Floor Brea, CA 92823 Mail Code CA 7701 0266 ABA: 0260-0959-3 (new as of March 6, 2006) Account Number: 1233014227 PLEASE REFERENCE ESCROW NUMBER: 1271285 — SS (Seller: Gregg Production Associates, Inc.) (Buyer: City of Edmonds) (Sale of Easement, Old Mill Town, Edmonds, WA) NOTE: For Bank of America to Bank of America transfers, please instruct your banking representative to "memo post" the transfer. Transfers not "memo posted" will not post to our account until the next business day. If there are any questions regarding this procedure, please have your banking representative contact our Bank of America customer service dept at 1-888-635-2714 (Rosario - extension 61772) with any questions. Thank you. CHICAGO TITLE INSURANCE 1800 COLUMBIA CENTER, 701 FIFTH AVE., SEATTLE, WA 98104 (206) 628-5666 0 CHICAGO TITLE INSURANCE 1800 COLUMBIA CENTER, 701 FIFTH AVE., SEATTLE, WA 98104 (206) 628-5666 1-03 Fax: FROM: Scott Smouse (206.628-5693) WIRING INSTRUCTIONS 0 Account Name: Chicago Title Insurance Company Please instruct wire to be directed to: Bank: Bank of America RETS Department 275 Valencia Ave, 2nd Floor Brea, CA 92823 Mail Code CA 77010266 ABA: 0260-0959-3 (new as of March 6, 2006) Account Number: 1233014227 PLEASE REFERENCE ESCROW NUMBER: 1271285 — SS (Seller: Gregg Production Associates, Inc.) (Buyer: City of Edmonds) (Sale of Easement, Old Mill Town, Edmonds, WA) NOTE: For Bank of America to Bank of America transfers, please instruct your banking representative to "memo post" the transfer. Transfers not "memo posted" will not post to our account until the next business day. If there are any questions regarding this procedure, please have your banking representative contact our Bank of America customer service dept at 1-888-635-2714 (Rosario - extension 61772) with any questions. Thank you. When Recorded Return To: W. Scott Snyder OGDEN MURPHY WALLACE, P.L.L.C. 1601 Fifth Avenue, Suite 2100 Seattle, Washington 98101-1686 Document Title: QUIT CLAIM DEED Grantor: Gregg Production Associates, Inc. Grantee: City of Edmonds, Snohomish County, Washington Legal Description: Ptn. Lot 40, Block 121, plat of City of Edmonds, v. 2, page 39 Additional Legal Description: Pages 8 Assessor's Tax Account Number: 00434212103700 QUIT CLAIM DEED (easement) For good and valuable consideration the sufficiency and receipt of which is hereby acknowledged, Gregg Production Associates, Inc., the GRANTOR, whose address is 51 West Dayton Street, Suite 304, Edmonds, Washington 98020-4111, hereby releases, quit claims and conveys an easement in and to the property described on Exhibit C (hereafter "the Courtyard" or "easement") to City of Edmonds, Snohomish County, Washington, GRANTEE, for public use. The Courtyard is a portion of the Grantor's property described on Exhibit A. Use of the easement is limited to passive park uses including open space, landscaping and use as a public gathering space, and the following terms and conditions shall apply to the easement and the use of the Courtyard: (a) Improvements. The Grantee shall have the right and obligation to install and maintain a surface of pavers, concrete or other surface consistent with the use of the Courtyard as a public gathering space (hereafter "pavement'). Pavement installed shall, at a minimum, comply with engineering requirements for sidewalk surfaces. The installation of pavement shall minimize the disturbance of underlying soil, and any soil or other materials removed shall be disposed of in accordance with the requirements of state and federal law. Nothing herein shall be interpreted to obligate the Grantee to provide any vapor barrier, cap or QUIT CLAIM DEED — Page I subsurface material beneath the pavement other than that which is required for or consistent with the installation of the selected pavement. (i) The Grantee shall have the right to install landscaping, planter boxes, benches, tables and public art on the Courtyard consistent with a public gathering space. No structure shall exceed 40 inches in height and landscaping installations shall be consistent with Architectural Design Board guidelines. In addition, up to two (2) gazebo structures consistent with the gazebo previously maintained on the Courtyard may be installed and maintained. Nothing herein shall be interpreted to prohibit the maintenance of existing trees or the planting and maintenance of additional trees consistent with the City of Edmonds' street tree program. (ii) The installation of improvements on the Courtyard shall be designed to maintain walkways to adjacent properties consistent with the engineering requirements of the City of Edmonds, the State Building Code, and the requirements of state and federal law regarding accessibilities of buildings. (b) The adjacent property, as described in the attached Exhibit A shall retain all right, interest and obligation in the subsurface area below the pavement surface. The "pavement surface" is hereby defined as an area no greater than ten inches in depth from the existing grade including the foundation necessary for the Grantee's pavement improvements installed in accordance with Grantee's engineering guidelines and standards for sidewalks and walkways. (c) The improvements installed pursuant to this agreement shall not impair access to or operation of the grease traps installed beneath the surface of the Courtyard area. The abutting property shall have a permanent construction easement over and across the Courtyard, provided, however, that: (i) Any construction activities shall not exceed thirty days in length in any calendar year. If construction activities exceed thirty days in any calendar year, the abutting property owner shall pay a fee equal to that required by the City of Edmonds for construction permits for street use activities. (ii) In the event of disruption of the improvements by the abutting property owner, the park area shall be restored at the abutting property owner's cost, to a condition at least equal to that which existed prior to the construction activities. (d) The adjacent property shall maintain the right to install awnings and decorative architectural elements above and over the Courtyard, provided that any exercise of these rights shall not impede public use of the Courtyard and shall be consistent with all requirements of City of Edmonds ordinances, the State Building Code, and any limitations or requirements imposed by design or other similar review of the City of Edmonds pursuant to its ordinances. QUIT CLAIM DEED — Page 2 (e) Nothing herein shall be deemed to shift responsibility for compliance with any requirement of state or federal law from the current or future owners of the subsurface area to the Grantee. The Grantor and Grantee warrant and acknowledge that they have reviewed environmental assessments of subsurface conditions and acknowledge that responsibility for the clean up of those conditions remains with the party to whom such liability resides under state and federal law. Nothing herein shall be deemed to shift that responsibility. Dated this day of March 2009, GRANTOR: GREGG PRODUCTION ASSOCIATES, INC. By Robert R. Gregg, President CONSENTS OF LIENHOLDERS The undersigned holders of deeds of trust and/or other liens against the above - described property hereby consent to the granting of this easement and agree that their liens and lien rights against the subject property are subordinate to the easement rights in favor of Grantee contained herein. CASCADE BANK: Dated March , 2009 by its BELFOR USA GROUP, INC. Dated March 52009 by its QUIT CLAIM DEED — Page 3 LEES: Dated March , 2009 Edmond A. Lee, individually Dated March , 2009 Barbara L. Lee, individually NOTARIZATIONS / CERTIFICATIONS STATE OF WASHINGTON M COUNTY OF SNOHOMISH ) I certify that I know or have satisfactory evidence that Robert R. Gregg is the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the President of Gregg Production Associates, Inc. to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this _ day of March 2009. NOTARY PUBLIC FOR residing at Appointment Expires: QUIT CLAIM DEED — Page 4 WASHINGTON STATE OF WASHINGTON ) ss COUNTY OF SNOHOMISH ) I certify that I know or have satisfactory evidence that _ is the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the Vice -President of Cascade Bank, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this day of March 2009. NOTARY PUBLIC FOR WASHINGTON residing at Appointment Expires: STATE OF WASHINGTON ) ss COUNTY OF SNOHOMISH ) I certify that I know or have satisfactory evidence that is the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the Vice -President of Belfor USA Group, Inc., to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this _ day of March 2009. NOTARY PUBLIC FOR WASHINGTON residing at Appointment Expires: QUIT CLAIM DEED — Page 5 STATE OF WASHINGTON ) ss COUNTY OF SNOHOMISH ) I certify that I know or have satisfactory evidence that Edmond A. Lee and Barbara L. Lee are the persons who appeared before me and said persons acknowledged that they signed this instrument, on oath stated that they were authorized to execute the instrument, and acknowledged it to be their free and voluntary act for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this day of March 2009, NOTARY PUBLIC FOR WASHINGTON residing at Appointment Expires: C:\IJem\Gregg - Old Milllown\S.1e to Cily\Q.il Cluim d..d -d,.n 4. DOC QUIT CLAIM DEED — Page 6 EXHIBIT A LEGAL DESCRIPTION OF GRANTOR'S PROPERTY ("the Adjacent Property") Lots 1, 2, 3, 4, 5, 6, 37, 38, 39, and 40, Block 121, The City of Edmonds, according to the plat thereof recorded in volume 2 of plats, pages 39 and 40, records of Snohomish County, State of Washington Except the east 16 feet of said lot 37 Together with that portion of the vacated alley adjoining lots 1 through 4 and lots 37 through 40, inclusive, Except that portion of the south half of said vacated alley lying adjacent to the east 16 feet of lot 37. Situate in Section 24, Township 27 North, Range 3 East, W.M., in the City of Edmonds, County of Snohomish, State of Washington. QUIT CLAIM DEED — Page 7 Exhibit C Legal Description of Courtyard ACQUISITION LEGAL DESCRIPTION 7,1•IE SOU7'ti I0o.00 rl:E7' QF T1.1L'• WL•;ST 22.00 FEET 01' 1..0'1* 40, MOCK 121, PLAT OF THECITY Or I"sI?MONDS, AS RECORDED IN VOLUME 2 Of PLA"I'S, PAGE: 39, RI COILUS OF SNOI-IOMISH COUNTY, WASH I NGTON. S11E.JATE IN SECTION 24, TOWNS11IP 27 NORTH. RANGE; 3 EAST, W.M. 1N THE CITY OF FDMONDS, COUNTY Of SNOHOMISI.1, STA'I'L'- OF WASI-IINOTON, SAID ACQUISrfEON CONTAINING 2,200 SQ, FEET, MORL OR LESS. QUIT CLAIM DEED — Page 8 ADDENDUM TO REAL ESTATE PURCHASE AND SALE AGREEMENT WHEREAS, the parties Gregg Production Associates ("Seller") and the City of Edmonds ("Buyer") entered into a Real Estate Purchase and Sale Agreement dated October 27, 2008, and WHEREAS, during the course of negotiations, the parties agreed to the purchase and sale of an easement rather than a fee simple estate, and WHEREAS, the Purchase and Sale Agreement refers at places to a fee simple title and in Section 4(d), 2(a), ALTA Form 1970 Title Insurance Policy with 1984 revisions, and WHEREAS, such title policy is no longer available, NOW, THEREFORE The parties have entered into this agreement in consideration of the mutual benefits to be derived. 1. The Purchase and Sale Agreement between the parties is amended in, but only in the following respects: 1.1 All references throughout the agreement to fee simple title shall be and are hereby amended to refer to transfer of an easement interest as described in said document. 1.2 Paragraph 4(d) is hereby amended to refer to an Owner's Standard Coverage Title Insurance Policy (ALTA Form 2006) insuring said easement. 2. In all other respects, the original agreement between the parties shall remain in full force and effect. BUYER: CITY OF EDM ND5 By: ary Venson, Mayor ATTEST/AUTHENTICATED : By: Sandra S. Chase, City Clerk Dated: 1- z-1- 0 1 Dated: { WSS715562. DOC;1 /00006.900000/} APP O A5 RM: By: Dated: W. Scott Snyder, City A o ney SELLER: GREGG PRODUCTION ASSOCIATES, INC. By: Dated: Z - 13 — O `l Robert Gregg, Preside6V { WSS715562. DOC;1 /00006.900000/} nu CHICAGO TITLE INSURANCE COMPANY 3030 HOYT AVENUE, EVERETT, WA 98201 PHONE: 425)259-87M5 FAX: (4 259$239 RECEIVED JAN 2 9 Z009 ORDER NO: 005304563 YOUR NO: BOB GREGG mores CITY CLERK LOANAN NO': CU Ei R J v SUPPLEMENTAL COMMITMENT SUPPLEMENTAL NUMBER 1 DATED AS OF JANUARY 20, 2009 AT 8:00 A.M. PARAGRAPH NUMBER 7 OF OUR COMMITMENT IS ELIMINATED - THE FOLLOWING PARAGRAPH HAS BEEN ADDED TO OUR COMMITMENT: v 1. LABOR AND/OR MATERIAL LIEN: CLAIMED BY: AGAINST: IN THE AMOUNT OF: WORK COMMENCED OR MATERIAL DELIVERED: RECORDED: RECORDING NUMBER: WESTERN STATES FIRE PROTECTION BELFOR USA GROUP, INC. AND GREGG PRODUCTION ASSOCIATES, INC. $ 48,895.55 FEBRUARY 8, 2008 JANUARY 14, 2009 200901140574 AUTHORIZED BY: STEVE SIMONS, TITLE OFFICER SUPPLCOM/RDA/0999 AM-2040 Addendum to Real Estate Purchase and Sale Agreement Edmonds City Council Meeting Date: Submitted BY: Submitted For. Department: Review Committee: Action 01 /20/2009 Sandy Chase Scott Snyder, City Attorney City Clerk's Office Time: Consent Type: Action 2.K. Information Subiect Title Authorization for the Mayor to sign an Addendum to the Real Estate Purchase and Sale Agreement for the courtyard at Old Milltown. Recommendation from Mayor and Staff Authorize the Mayor to sign the addendum. Previous Council Action On December 16, 2008, the City Council approved the Purchase and Sale Agreement for the purchase of an easement for public use of a strip of land known as "the Courtyard at Old Milltown." Narrative The City Attorney prepared the attached addendum as requested by the Title Company. A memorandum from the City Attorney is attached explaining the need for the addendum. Fiscal Im act Attachments Link: Ci1y Attorngy Memo Link: Addendum to Purchase & Sale A eement Form RoutinglStatus Route Seq Inbox Approved By Date Status 1 City Clerk Sandy Chase 01/16/2009 10:10 AM APRV 2 Mayor Gary Haakenson 01/16/2009 10:11 AM APRV 3 Final Approval Sandy Chase 01/16/2009 10:29 AM APRV Fonn Started By: Sandy Chase Started On: 01/16/2009 09:54 AM Final Approval Date: 01/16/2009 DEN U,PHY AT ACE. AT"i01igEY3 AT LAW lu 1_DIu to] ;77►11111UT I DATE: January 16, 2009 TO: City Council Members City of Edmonds FROM W. Scott Snyder, Office of the City Attorney RE: Purchase & Sale Agreement - Old Milltown The title company pointed out several ambiguities in the Purchase & Sale Agreement and has requested correction. The title insurance form referenced in the Purchase & Sale Agreement has changed and there remain several references to "fee simple" rather than the easement interest the City is purchasing. If you have any questions regarding this document, please contact me at your convenience. WSS:gjz {WSS715630.DOC;1/00006.900000/}A MEMBER OF THE INTERNATIONAL LAWYERS NETWORK WITH INDEPENDENT MEMBER LAW FIRMS WORLDWIDE 1601 Fifth Avenue. Suite 2100 • Seattle, WA 98101-1686 • 206.447.7000 • Fax: 206.447.0215 Web: www.omwlaw.com ADDENDUM TO REAL ESTATE PURCHASE AND SALE AGREEMENT WHEREAS, the parties Gregg Production Associates ("Seller") and the City of Edmonds ("Buyer") entered into a Real Estate Purchase and Sale Agreement dated October 27, 2008, and WHEREAS, during the course of negotiations, the parties agreed to the purchase and sale of an easement rather than a fee simple estate, and WHEREAS, the Purchase and Sale Agreement refers at places to a fee simple title and in Section 4(d), 2(a), ALTA Form 1970 Title Insurance Policy with 1984 revisions, and WHEREAS, such title policy is no longer available, NOW, THEREFORE The parties have entered into this agreement in consideration of the mutual benefits to be derived. 1. The Purchase and Sale Agreement between the parties is amended in, but only in the following respects: 1.1 All references throughout the agreement to fee simple title shall be and are hereby amended to refer to transfer of an easement interest as described in said document. 1.2 Paragraph 4(d) is hereby amended to refer to an Owner's Standard Coverage Title Insurance Policy (ALTA Form 2006) insuring said easement. 2. In all other respects, the original agreement between the parties shall remain in full force and effect. BUYER: CITY OF EDMONDS Lo Gary Haakenson, Mayor ATTEST/AUTHENTICATED: Lo Sandra S. Chase, City Clerk Dated: Dated: { W SS 715562.DOC;1 /00006.900000/) APPROVED AS TO FORM: W. Scott Snyder, City Attorney SELLER: GREGG PRODUCTION ASSOCIATES, INC. Lm Robert Gregg, President Dated: Dated: { WSS715562.DOC;1 /00006.900000/} CHICAGO TITLE INSURANCE COMPANY 3030 HOYT AVENUE, EVERETT, WA 98201 A.L.T.A. COMMITMENT SCHEDULE A Order No.: 5304563 Title Unit: E4679 Customer Number: BOB GREGG Phone: (425)259-8205 Buyer(s): CITY OF EDMONDS Fax: (425)259-8239 Officer: COMMERCIAL TITLE UNIT Commitment Effective Date: DECEMBER 31, 2008 at 8:00 A.M. 1 . Policy or Policies to be issued _ ALTA Owner's Policy Amount: $ 2 5 0, 0 0 0. 0 0 1992 STANDARD Premium: $1,010.00 GENERAL SCHEDULE RATE Tax: $ 86.86 Proposed Insured: CITY OF EDMONDS, A MUNICIPAL CORPORATION OF THE STATE OF WASHINGTON Policy or Policies to be issued: ALTA Loan Policy Amount: $ 0. 0 0 Premium: Tax: Proposed Insured: Policy or Policies to be issued: ALTA Loan Policy Amount: $ 0, 0 0 Premium: Proposed Insured: Tax: 2. The estate or interest in the land which is covered by this Commitment is: EASEMENT 3 . Title to the estate or interest in the land is at the effective date hereof vested in: GREGG PRODUCTION ASSOCIATES, INC., A WASHINGTON CORPORATION 4. The land referred to in this Commitment is described as follows: SEE ATTACHED LEGAL DESCRIPTION EXHIBIT coM MA805/K1.C/11.1.05 CHICAGO TITLE INSURANCE COMPANY A.L.T.A. COMMITMENT SCHEDULE A (Continued) Order No.: 5304563 Your No.: BOB GREGG LEGAL DESCRIPTION EXHIBIT (Paragraph 4 of Schedule A continuation) AN EASEMENT FOR PUBLIC USE, WHICH IS LIMITED TO PASSIVE PARK USES INCLUDING -OPEN- -S-PACE; LANDSCAPING AND -USE -AS -'A -PUBLIC-GATHERING--SPACE, -OVER-THE -LAND- - - DESCRIBED AS FOLLOWS; THE SOUTH 100.00 FEET OF THE WEST 22.00 FEET OF LOT 40, BLOCK 121, THE CITY OF EDMONDS, ACCORDING TO THE PLAT THEREOF RECORDED IN VOLUME 2 OF PLATS, PAGES 39 AND 40, RECORDS OF SNOHOMISH COUNTY, WASHINGTON; SITUATE IN THE COUNTY OF SNOHOMISH, STATE OF WASHINGTON. CLTACMA6/RDA/0999 CHICAGO TITLE INSURANCE COMPANY A.L.T.A. COMMITMENT SCHEDULE B OrderNo.: 5304563 Your No.: BOB GREGG Schedule B of the policy or policies to be issued will contain exceptions to the following matters unless the same are disposed of to the satisfaction of the Company. GENERAL EXCEPTIONS A. Rights or claims of parties in possession, or claiming possession, not shown by the Public Records, B. Any encroachment, encumbrance, violation, variation, or adverse circumstance affecting the Title that would be disclosed by an accurate and complete land survey of the Land. C. Easements, prescriptive rights, rights -of -way, liens or encumbrances, or claims thereof, not shown by the Public Records. D. Any lien, or right to a lien, for contributions to employee benefit funds, or for state workers' compensation, or for services, labor, or material heretofore or hereafter furnished, all as imposed by law, and not shown by the Public Records. E. Taxes or special assessments which are not yet payable or which are not shown as existing liens by the Public Records. F. Any lien for service, installation, connection, maintenance, tap, capacity, or construction or similar charges for sewer, water, electricity, natural gas or other utilities, or for garbage collection and disposal not shown by the Public Records. G. Unpatented mining claims, and all rights relating thereto; reservations and exceptions in United States Patents or in Acts authorizing the issuance thereof; Indian tribal codes or regulations, Indian treaty or aboriginal rights, including easements or equitable servitudes. H. Water rights, claims or title to water. I. Defects, liens, encumbrances, adverse claims or other matters, if any, created, first appearing in the Public Records, or attaching subsequent to the effective date hereof but prior to the date the proposed Insured acquires of record for value the estate or interest or mortgage thereon covered by this Commitment. SPECIAL EXCEPTIONS FOLLOW WLTACOMB bk 05/17/07 CHICAGO TITLE INSURANCE COMPANY A.L.T.A. COMMITMENT SCHEDULE B (Continued) Order No.: 0053 04563 Your No.: BOB GREGG SPECIAL EXCEPTIONS D 1. PAYMENT OF THE REAL ESTATE EXCISE TAX, IF REQUIRED. THE PROPERTY DESCRIBED HEREIN IS SITUATED WITHIN THE BOUNDARIES OF LOCAL TAXING AUTHORITY OF UNINCORPORATED SNOHOMISH COUNTY. PRESENT RATE OF REAL ESTATE EXCISE TAX AS OF.THE DATE HEREIN IS 1.78 PERCENT. SHORT SALES: ADDITIONAL REAL ESTATE EXCISE TAX IS DUE ON THE AMOUNT OF ANY NEGOTIATED REDUCTION IN INDEBTEDNESS IN CONNECTION WITH A RELEASE OR RECONVEYANCE OF A MONETARY ENCUMBRANCE. THE AMOUNT OF ANY NEGOTIATED REDUCTION IN INDEBTEDNESS MUST BE ADDED TO THE SALES PRICE TO DETERMINE THE "GROSS SELLING PRICE" TO BE SHOWN IN THE REAL ESTATE EXCISE TAX AFFIDAVIT. s 2. GENERAL AND SPECIAL TAXES AND CHARGES, PAYABLE FEBRUARY 15, DELINQUENT IF FIRST HALF UNPAID ON MAY 1, SECOND HALF DELINQUENT IF UNPAID ON NOVEM13ER 1 OF THE TAX YEAR (AMOUNTS DO NOT INCLUDE INTEREST AND PENALTIES): c D YEAR: TAX ACCOUNT NUMBER: LEVY CODE: ASSESSED VALUE -LAND: ASSESSED VALUE -IMPROVEMENTS: GENERAL & SPECIAL TAXES: AFFECTS: INCLUDES OTHER PROPERTY 2008 004342-121-037-00 0210 $ 934,000 $ 61,000 BILLED: $ 7,963.50 PAID: $ 3,981.75 UNPAID: $ 3,981.75 3. SETTLEMENT AGREEMENT AND THE TERMS, CONDITIONS AND PROVISIONS CONTAINED THEREIN: RECORDED: RECORDING NUMBER: JUNE 21, 2007 200706210800 4. MEMORANDUM OF UNDERSTANDING REGARDING GREASE INTERCEPTORS AND THE TERMS, CONDITIONS AND PROVISIONS CONTAINED THEREIN: C I: !'A CMBS jRt7A/" CHICAGO TITLE INSURANCE COMPANY A.L.T.A, COMMITMENT SCHEDULE B (Continued) Order No.; 5304563 Your No.: BOB GREGG SPECIAL EXCEPTIONS RECORDED: JULY 12, 2007 RECORITNG NUMBER : — 2'0'07'D'712'0'0'0'9" a 5. RIGHT TITLE AND INTEREST OF PAUL & HAERAN BHAK, HUSBAND AND WIFE,. REFERRED TO AS THE LESSEE OF SUITE ##1, LOCATED WITHIN A PORTION OF SAID LAND, BY ASSIGNMENT OF LEASE DATED AUGUST 6, 2007, AS DISCLOSED BY ASSIGNMENT AND ASSUMPTION OF LEASE RECORDED UNDER AUDITOR'S FILE NUMBER 200708130611. F 6. DEED OF TRUST AND THE TERMS AND CONDITIONS THEREOF: GRANTOR: GREGG PRODUCTION ASSOCIATES, INC., A WASHINGTON CORPORATION TRUSTEE: CHICAGO TITLE INSURANCE COMPANY BENEFICIARY: CASCADE BANK AMOUNT: $ 4,800,000.00 DATED: JULY 6, 2006 RECORDED: JULY 10, 2006 RECORDING NUMBER: 200607100131 LOAN NUMBER: 5306062009 THE AMOUNT NOW SECURED BY SAID DEED OF TRUST AND THE TERMS UPON WHICH THE SAME CAN BE DISCHARGED OR ASSUMED SHOULD BE ASCERTAINED FROM THE HOLDER OF THE INDEBTEDNESS SECURED. a MODIFICATION OF DEED OF TRUST RECORDED UNDER AUDITOR'S FILE NUMBER 200711290550. x 7. DEED OF TRUST AND THE TERMS AND CONDITIONS THEREOF: GRANTOR: GREGG PRODUCTION ASSOCIATES, INC., A WASHINGTON CORPORATION TRUSTEE: CHICAGO TITLE INSURANCE COMPANY BENEFICIARY: EDMOND A. LEE AND BARBARA L. LEE, HUSBAND AND WIFE AMOUNT: $ 100,000.00 DATED: JULY 7, 2006 RECORDED: JULY 10, 2006 RECORDING NUMBER: 200607100132 CLTACMB2/RDA/0999 CHICAGO TITLE INSURANCE COMPANY A.L.T,A. COMMITMENT SCHEDULE B (Continued) OrderNo.: 5304563 Your No.: BOB GREGG SPECIAL EXCEPTIONS THE -AMOUNT NOW -SECURED BY SAPD-DEED--OF-TRUST AND-THE-TERMS-UPDN-WHICH— - - THE SAME CAN BE DISCHARGED OR ASSUMED SHOULD BE ASCERTAINED FROM THE HOLDER OF THE INDEBTEDNESS SECURED, z 8. SECOND DEED OF TRUST AND THE TERMS AND CONDITIONS THEREOF: GRANTOR: GREGG PRODUCTION ASSOCIATES, INC., A WASHINGTON CORPORATION TRUSTEE: LUKE, CASTEEL & OLSEN, PSC, A WASHINGTON PROFESSIONAL SERVICE CORPORATION BENEFICIARY: EDMOND A. LEE AND BARBARA L. LEE, HUSBAND AND WIFE AMOUNT: $ 900,000.00 DATED: JULY 7, 2006 RECORDED: JULY 11, 2006 RECORDING NUMBER: 200607110340 THE AMOUNT NOW SECURED BY SAID DEED OF TRUST AND THE TERMS UPON WHICH THE SAME CAN BE DISCHARGED OR ASSUMED SHOULD BE ASCERTAINED FROM THE HOLDER OF THE INDEBTEDNESS SECURED. a 9. DEED OF TRUST AND THE TERMS AND CONDITIONS THEREOF: GRANTOR: GREGG PRODUCTION ASSOCIATES, INC., A WASHINGTON CORPORATION TRUSTEE: CHICAGO TITLE INSURANCE COMPANY BENEFICIARY: CASCADE BANK AMOUNT: $ 300,000.00 DATED: DECEMBER 20, 2007 RECORDED: DECEMBER 26, 2007 RECORDING NUMBER: 200712260774 THE AMOUNT NOW SECURED BY SAID DEED OF TRUST AND THE TERMS UPON WHICH THE SAME CAN BE DISCHARGED OR ASSUMED SHOULD BE ASCERTAINED FROM THE HOLDER OF THE INDEBTEDNESS SECURED. CLTACMB2/RDA/0999 CHICAGO TITLE INSURANCE COMPANY A.L.T.A. COMMITMENT SCHEDULE B (Continued) Order No.: 5304563 Your No.: BOB GREGG SPECIAL EXCEPTIONS -x---- 1-0--LABOR—AND/OR-MATERIAL LIENT-- CLAIMED BY: AGAINST: IN THE AMOUNT OF: WORK COMMENCED OR MATERIAL DELIVERED: RECORDED: RECORDING NUMBER: L 11. LABOR AND/OR MATERIAL LIEN: CLAIMED BY: AGAINST: IN THE AMOUNT OF: WORK COMMENCED OR MATERIAL DELIVERED: RECORDED: RECORDING NUMBER: FERGUSON ENTERPRISES, INC. D/B/A/ FERGUSON WATERWORKS GREGG PRODUCTION ASSOCIATES, INC., A WASHINGTON CORPORATION $ 5,146.10 NOVEMBER 16, 2007 MAY 13, 2008 200805130086 SEATTLE GLASS BLOCK, INC. BELFOR USA GROUP, INC. $ 5,439.00 SEPTEMBER 3, 2008 DECEMBER 2, 2008 200812020545 M 12. THE PROPOSED CONVEYANCE MUST BE AUTHORIZED BY RESOLUTION OF THE DIRECTORS OF THE FOLLOWING NAMED CORPORATION AND A COPY SUBMITTED: GREGG PRODUCTION ASSOCIATES, A WASHINGTON CORPORATION N 13, EVIDENCE OF THE IDENTITY AND AUTHORITY OF THE OFFICERS OF GREGG PRODUCTION ASSOCIATES, INC. TO EXECUTE THE PROPOSED CONVEYANCE OR ENCUMBRANCE. o NOTE A: EFFECTIVE JANUARY 1, 1997, DOCUMENT FORMAT AND CONTENT REQUIREMENTS HAVE BEEN IMPOSED BY WASHINGTON LAW. FAILURE TO COMPLY WITH THE FOLLOWING REQUIREMENTS MAY RESULT IN REJECTION OF THE DOCUMENT BY THE COUNTY RECORDER OR IMPOSITION OF A $50.00 SURCHARGE. FIRST PAGE OR COVER SHEET: 3" TOP MARGIN CONTAINING NOTHING EXCEPT THE RETURN ADDRESS. CLTACM82/RDA/QM CHICAGO TITLE INSURANCE COMPANY A.L.T.A, COMMITMENT SCHEDULE B (Continued) Order No.: 5 3 0 4 5 6 3 Your No.: BOB GREGG SPECIAL EXCEPTIONS 1" SIDE AND BOTTOM MARGINS CONTAINING NO MARKINGS OR SEALS. --- RECORDING N0. OF ANY ASSIGNED, RELEASED OR REFERENCED DOCUMENT(S). GRANTORS NAMES (AND PAGE NO. WHERE ADDITIONAL NAMES CAN BE FOUND). GRANTEES NAMES (AND PAGE NO. WHERE ADDITIONAL NAMES CAN BE FOUND). ABBREVIATED LEGAL DESCRIPTION (AND PAGE NO. FOR FULL DESCRIPTION). ASSESSOR'S TAX PARCEL NUMBER(S). RETURN ADDRESS (IN TOP 3" MARGIN). **A COVER SHEET CAN BE ATTACHED CONTAINING THE ABOVE FORMAT AND DATA IF THE FIRST PAGE DOES NOT CONTAIN ALL REQUIRED DATA. ADDITIONAL PAGES: 1" TOP, SIDE AND BOTTOM MARGINS CONTAINING NO MARKINGS OR SEALS. ALL PAGES: NO STAPLED OR TAPED ATTACHMENTS. EACH ATTACHMENT MUST BE A SEPARATE PAGE.ALL NOTARY AND OTHER PRESSURE SEALS MUST BE SMUDGED FOR VISIBILITY.FONT SIZE OF 8 POINTS OR LARGER. THE FOLLOWING MAY BE USED AS AN ABBREVIATED LEGAL DESCRIPTION ON THE DOCUMENTS TO BE RECORDED TO COMPLY WITH THE REQUIREMENTS OF RCW 65.04. SAID ABBREVIATED LEGAL DESCRIPTION IS NOT A SUBSTITUTE FOR A COMPLETE LEGAL DESCRIPTION WHICH MUST ALSO APPEAR IN THE BODY OF THE DOCUMENT: PTN, LOT 40, BLOCK 121, THE CITY OF EDMONDS s P2 CLTACMB2/RDA/0999 + �fi fi � fi v� AA4 3- + �1V 3=N fi �Co�v ---5T+f- - ihia tk NP) i;i for tho purpose of showing the Apprt,::iritita S)eneral location of the premimvz witoout actual survey and t ,_ 7:iTV VCn..-nbtr rr Kr hili#v4w- O ■ ? V m E I W 1 79 �-no�p w m n CONDO +I ONi DOti '3 om ' I �n .roH �^ I I Ga�N I i T Er.) I f0 -9 �j CD N- I 3 d W D m0;oa: —I I 0 a m C � �� o•q rri I ♦1 r 5 a s o m — I J' Q - � ADDENDUM TO REAL ESTATE PURCHASE AND SALE AGREEMENT WHEREAS, the parties Gregg Production Associates ("Seller") and the City of Edmonds ("Buyer") entered into a Real Estate Purchase and Sale Agreement dated October 27, 2008, and WHEREAS, during the course of negotiations, the parties agreed to the purchase and sale of an easement rather than a fee simple estate, and WHEREAS, the Purchase and Sale Agreement refers at places to a fee simple title and in Section 4(d), 2(a), ALTA Form 1970 Title Insurance Policy with 1984 revisions, and WHEREAS, such title policy is no longer available, NOW, THEREFORE The parties have entered into this agreement in consideration of the mutual benefits to be derived. 1. The Purchase and Sale Agreement between the parties is amended in, but only in the following respects: 1.1 All references throughout the agreement to fee simple title shall be and are hereby amended to refer to transfer of an easement interest as described in said document. 1.2 Paragraph 4(d) is hereby amended to refer to an Owner's Standard Coverage Title Insurance Policy (ALTA Form 2006) insuring said easement. 2. In all other respects, the original agreement between the parties shall remain in full force and effect. BUYER: CITY OF EDMONDS By: Dated: Gary Haakenson, Mayor ATTEST/AUTHENTICATED: By: Dated: Sandra S. Chase, City Clerk (W SS715562.DOC;1 /00006.900000/) APPROVED AS TO FORM: Dated: W. Scott Snyder, City Attorney SELLER: GREGG PRODUCTION ASSOCIATES, INC. Dated: Robert Gregg, President { WSS715562.DOC;1 /00006.900000/} ..... I IVY I....wI GS all, WHEN RECORDED RETURN TO 611 II i4N GREGG PRODUCTION ASSOCIATES, INC. /5 3 P.O. BOX25469 SEATTLE. WASHINGTON velar)-2369 106887 N CHICAGO TITLE INSURANCE COMPANY 5302450 STATUTORY WARRANTY DEED THE GRANTOR(S) YVE'S OLD MILLTOWN, INC., A WASHINGTON CORPORATION, AS TO AN UNDIVIDED 70% INTEREST AS TENANTS IN COMMON WITH DICK K,P.YUE AND EVA W. YUE, HUSBAND AND WIFE, AS TO AN UNDIVIDED 3014 INTEREST for and in consideration of TEN DOLLARS AND OTHER GOOD AND VALUABLE CONSIDERATION and aB an IRC Section 1031 Tax Deferred Exchange in hand paid, conveys and warrants to GREGG PRODUCTION ASSOCIATES, INC., A WASHINGTON CORPORATION the following described real estate situated in the County of SNOHOMISH State of Washington: LOTS i, 2, 3, 4, 5, 6, 37, 36, 39, AN040, BLOCK 121, THE CITY OF EDMONDS, ACCORDING TO THE PLAT THE:3EOF li"_- Q0FIDED IN VOLUME 2 OF FLATS, PAGES 39 AND 40, RECORDS OF SNOHOMISH COUNTY, WASHMTO; i; EXCEPT THE EAST 16 FEET OF SAID LOT 37; TOGETHER WITH THAT PORTION OF THE VACATED ALLEY ADJOINING LOTS 1 THROUGH 4 AND LOTS 37 THROUGH 40, INCLUSIVE, EXCEPT THAT PORTION OF THE SOUTH HALF OF SAID VACATED ALLEY LYING ADJACENT TO THE EAST 16 FEET OF LOT 37, SITUATE IN THE COUNTY OF SNOHOMISH, STATE OF WASHINGTON, Tax Account Number(s): 00434212100100/60434212103700 Datcd: JULY 5, 2WB k-�' 1 /1, V E'S OLD MILLI NJNC.BY:BROWN YUE, DICK K,P; YUE,By: Browt'i Yua, Me an6loy n loci AUTHORIZED SIGNOR aQ EVA W. YUE,By;&own Y e,hor atly.ln 40 LPB 21E a STATE OF "SHINGTOM COUNTY OF SNOHOMISH ON THIS _6!�L' DAY OF S by 2006_, BEFORE ME, THE UNDERSIGNED, A NOTARY PUBLIC IN AND FOR THE STATE OF WASHINGTON, DULY COMMISSIONED AND SWORN, PERSONALLY APPEARED BROWN YUE TO ME KNOWN TO BE THE _AUTHORIZED SIGNER OF THE CORPORATION THAT EXECUTED THE FOREGOING INSTRUMENT, AND ACKNOWLEDGED THE SAID INSTRUMENT TO BE THE FREE AND VOLUNTARY ACT AND DEED OF SAID CORPORATION, FOR THE USES AND PURPOSES THEREIN MENTIONED, AND ON OATH STATE THAT HE WAS AUTHORIZED TO EXECUTE THE SAID INSTRUMENT AND THAT THE SEAL AFFIXED THERETO (IF ANY) IS THE CORPORATE SEAL OF SAID CORPORATION. IN WITNESS WHEREOF, I HAVE HEREUNTO SET MY HAND AND AFFIXED BY OFFICIAL SEAL THE DAY AND YEAR FIRST ABOVE WRITTEN, NOTARY SIGNATURE PRINTED NAME; �' S`� 4, j � NOTARY PUBLIC IN AND FOR THE STATE OF WASHIN RESIDING AT\t MY COMMISSION EXPIR S STATE OP WASMT�GTON, COUNTY SNOHOMISH as, ON THIS '�� DAY OF 2006_ , aEFORE ME PERSONALLY APPEARED BROWN YU TO ME KNOWN TO BE T13E INDIVIDUAL WHO EXECUTED THE FOREGOING INSTRUMENT AS ATTORNEY IN FACT FOR DICK K,P, YUB AND EVA W. YUE AND ACKNOWLEDGED THAT HE SIGNED THE SAME AS HIS FREE AND VOLUNTARY ACT AND DEED AS ATTORNBY IN FACT FOR SAID PRINCIPALS FOR THE USES AND PURPOSES HEREIN MENTIONED, AND ON OATH STATED THAT THE POWER OF ATTORNEY AUTHORIZING THE EXECUTION OF THIS INSTRUMENT HAS NOT BEEN REVOKED AND THAT SAID PRINCIPAL IS NOW LIVING AND IS NOT INSANE, GIVEN UNDER MY HAND AND OFFICIAL SEAL THE DAY AND YEAR LAST ABOVE WRITTEN, NOTARY SIGNATURE PRINTED NAME: L. 5...L�7 S NOTARY PUBLIC IN AND FOR THE STATE OF WASHINGTON RESIDING AT 6!1�S y,he . 14Y COMMISSION EXPIRES /O'elo dloo4 NQTARLEWIS LIC STA of wA iINoTo� commi5510N E7cPIPES OCTOBER 2 2 M 200706210800.001 RETURN NAME & ADDRESS ppI Illul �1II �IIppIggIIIII II�II I�III IINI �I�I �I I IIIII II� �i� II� IIII City of Edmonds ClJMM?K C lh'IRM RRSAIVI N GS City Clerk's office 121 5th Avenue N Edmonds, WA 98020 Please print neatly or type information Document Title(s) Reference Number(s) of related documents. Agcabonal Reference q's on page Grantors) (Last, First, and Middle Initial) Additional Grantors on page Grantee(s) (Last, First, and Middle Initial) Additional Grantees on page_ Legal Description (abbreviated form im, lot, block, plat or section, township, range, quarterlquarter) completo legal on page Assessor's Property Tax Parcel/Account Number Additional parcel it's on page The Auditor/Recorder will rely on the information provided on this form The responsibility for the accuracy. of the Indexing information is that of the document preparer. lli's ma dots not grpon to show all highways rands or easements arrcciingsaid ro uty; no liability is assumcd for variatians in dimensions and I=Li0n. 200706210800.002 SETTLEMENT AGREEMENT The CITY OF EDMONDS, a Washington municipal corporation ("City"), and GREGO PRODUCTION ASSOCIATES, INC, a Washington corporation ("GPA" ), in full resolution of the pending litigation between the parties, agree as follows: " 1. Development Agreement; Vesting. Upon approval by the City Council after a public hearing conducted in accordance with RCW 36 70B 170, GPA and the City will enter into a Development Agreement in the form attached and incorporated by reference as Attachment A to this Settlement Agreement The Development Agreement shall provide vesting for GPA in the development of the "Old Milltown Property" (as defined in Attachment A7 until January 15, 2008 In the event the City Council does not approve of the Development Agreement in the form attached to this Settlement Agreement as Attachment A, this Settlement Agreement shall be null and void 2. Damages. The City will pay GPA damages in the amount of Thirty Thousand Dollars and no/100ths ($30,000 00) Such payment will be made to GPA in the following manner (a) Fifteen Thousand Dollars and no/100ths ($15,000.00) in the form of a cashier's check or equivalent, to be delivered promptly following the City Council's approval of the Development Agreement in accordance with the provisions of Paragraph 1 above, and (b) Fifteen Thousand Dollars and no/100ths ($15,000 00) in the form of a credit to GPA against past or future sidewalk and right-of-way access mitigation payments incurred with respect to development of the Old Milltown Property, 3. Good -Faith Review. The City agrees to engage in good -faith and timely review of all currently issued, pending, or future applications for building permits, land use decisions or any other entitlements related to the Old Milltown Property, 4. Waiver of Claims and Dismissal of Suits. GPA and the City will release and waive all pending claims against each other that have or could have been made relating to the subject matter of the three actions identified below and, upon City Council approval and the parties' execution of the Development Agreement (identified in ¶ 1 above) and payment by the City of GPA's damages (identified in 12 above), GPA will dismiss, with prejudice, the This rnap does not u art [a show all ifighways roads or easements affeotiaxaid roperty; no iiahility is assumed For variations in dimensions anti location. 200706210800.003 following actions against the City; Gregg Production Associates, Ina v, City of Edmonds, et al, Snohomish County Superior Court No 07-2-02086-0 (GUPA case); and Gregg Production Associates, Inc v City of Edmonds, Snohomish County Superior Court No 07-2-02092-4 (damages case), and Gregg Production Associates, Inc v City of Edmonds, Snohomish County Superior Court No 07-2-03677-4 (damages case) 5. Successors and Assigns. This Settlement Agreement shall be binding on the parties, their successors and assigns DATED this 6 h day of June, 2007 Approved as to Form By W. Scott Snyder City Attorney CITY OF EDMONDS By Its M A YC' GREGG PRODUCTION ASSOCIATES, INC Robert R. Gregg Its President 1 his map does not purparl to shave all hi, i+�tnys roads ❑r casements affecting sand propcfty; no Ildhility is ii55imnO fuf VAT ak:i5 ill d[TTJLNM(lll5 aDd loo ian. page 3 1a LT rd LVU Uy. pp ul r I e r Pr i 200706210800.004 ATTACHMENT A DEVELOPMENT AGREEMENT THIS AGREEMENT is made this G + day of a n1 F- , 2007, between the CITY OF EDMONDS, a municipal corporation ("City"), and GREGG PRODUCTION ASSOCIATES, INC, a Washington corporation ("GPA") WHEREAS, GPA is the owner of the property at 201 Fi" Avenue South, Edmonds, WA 98020 that is more particularly described as follows (hereafter referred to as the "Old Milltown Property"), Lots 1, 2, 3, 4, 5, 6, 37,38, 39, and 40, Block 121, The City of Edmonds, according to the Plat thereof recorded in Volume 2 of Plats, Pages 39 and 40, Records of Snohomish County, Washington, EXCEPT the East 16 feet of said Lot 37; TOGETHER WITH That Portion of the vacated alley adjoining Lots I through 4 and Lots 37 through 40, inclusive, EXCEPT That Portion of the South half of said vacated alley lying adjacent to the East 16 feet of Lot 37 SITUATE in the County of Snohomish, State of Washington WHEREAS, GPA intends to develop and refurbish the Old Milltown Property in accordance with the current zoning, land use and other applicable City regulations, WHEREAS, the City is responsible for the review and processing of all applications for City entitlements that might be required for the development and refurbishment of the Old Milltown Property; and WHEREAS, the City conducted a public hearing and voted on June 5, 2007, to approve this Agreement; This map dues not pur ort to show all highways WAS or casements affecting said roperty, no liability is assumed fur vnriaiions in dimensions and Iocalian. 200706210800.005 NOW, THEREFORE, pursuant to the authority granted by RCW 36.70B 170 and for good and valuable consideration, the adequacy of which is acknowledged, the City and GPA enter into the following agreement: 1 The parties agree that until the end of the business day on January 15, 2008 (hereafter the "Term"), applications submitted for the development or refurbishment of the Old Milltown Property shall be governed by the zoning, design review, and other applicable City development standards as they existed on April 15, 2007. 2 Any and all City permits issued for the Old Milltown Property as a result of applications submitted to the City during the Term of this Agreement shall be considered vested under Washington law against the City development standards as they existed on April 15, 2007 3 The City reserves the authority, pursuant to RCW 36 70B 170(4), to "impose new or different regulations to the extent required by a serious threat to public health and safety " 4 This Agreement shall be recorded in the records of Snohomish County, shall attach to and run with the Old Milltown Property, and shall be binding upon the heirs, successors and assigns of the parties DATED this (P r� day of 7'E4P , 2007. CITY OF EDMONDS, a municipal corporation By 41 GREGG PRODUCTION ASSOCIATES, INC, a Washington pcorporation Tlsls ma � wo, not purporE To show all l ig mjys roads or easements afreoing said ropcliy, ito liability it assumed for variations in dimensions and location. l I 200706210800.006 By � Robert R Gregg, Prestdent STATE OF WASHINGTON ) ) ss COUNTY OF KING ) On this 7 *t day of -uN i , 2007, before me, a Notary Public to and for the State of Washington, personally appeared known to me (or proved to me on the bans of satisfactory evidence) to be the person who executed this instrument, and on oath stated thatk/she was authorized to execute the instrument, and acknowledge it as the 41AYPA of CITY OF EDMONDS to be the free and voluntary act and deed of said municipal corporation for the uses and purposes mentioned in the instrument. IN WITNESS WHEREOF, I have hereunto set my hand and official seal the day and year first above written ORA �1�Sip ++'9 IjNOTARY rBt- na for State of �art1e+--7 & Washington, residing a�o.�o • . s My appointment expires ii . -Dn _9-9 KU= Print Name S Ne s. c s 6 t. tG - STATE OF WASHINGTON ) ) ss COUNTY OF KING ) On this - 4& day of XKg , 2007, before me, a Notary Public to and for the State of Washington, personally appeared ROBERT R. GREGG, known to me (or proved to me on the basis of satisfactory evidence) to be the person who executed this instrument, and on oath stated that he was authorized to execute the instrument, and acknowledge it as the President of GREGG PRODUCTION ASSOCIATES, INC., to be the free and voluntary act and deed of said corporation for the uses and purposes mentioned in the instrument IN WITNESS WHEREOF, I have hereunto set my hand and official seal the day and year first above wntten APP� �:�u;��+��f''•, NOTARY PUBLIC in and for the State of o°NoyAR Washington, residing at My appointment ex ices - w Print Name,% r�r4 �F 90 �►�►►171111kN{15111j1 .. � _ This mnp does not rt to shawall Itiigh►vays roadx or easements afrixtin said roKily; no liability is assumed rorvariatbons in dimensions and location. RETURN NAME & ADDRESS f il1111 NIII Iliil IINI lilN IIIN ill Niel NIN lINI qIN �fN ��� IUI City of Edmonds City Clerk's Office 4 PGS �7 1Pp� ra; m gg3 �@ 121 51h Avenue N SNONON�5� �n1idT�, NARKTON Edmonds, WA 98020 Please print neatly or type information Document Title(s) /�,yeeemeA4 .k n7e ,no! -,.A&-& M v{ L'/VVW/ /Vf Jce fC/P—e,6If Reference Number(s) of related documents Grantor(s) (Last, First, and Middle Initial) Grantee(s) (Last, First, and Middle Initial) of " _ 1 200707120009.001 Additional Reference Ws on page _ Additional Grantors on page ___ Additional Grantees on page __._ Legal Description (abbreviated form i e lot, block, plat or section, township, range, quarter/quarter) 107- 1-60 37- Rz!5.' ILL d. Vr- ten ---_- Assessor's Property Tax Parcel/Account Number 60 34-2?1•,21C,0,112611 6 Complete legal on page T Additional parcel Vs on page ,_ The Auditor/Recorder will rely on the information provided on this form The responsibility for the accuracy , of the Indexing information is that of the document preparer. i'his nta does not u n to show all hi hwn s roads or wumants afreeting said roKrry; no liability is assumed Far �nriaiions in dimensions and location. 200707120009.002 MEMORANDUM OF UNDERSTANDING REGARDING GREASE INTERCEPTORS A THIS MEMORANDUM OF UNDERSTANDING ("MOU") is made this _IL_ day of July, 2007, between the CITY OF EDMONDS, a municipal corporation ("City'), and GREGG PRODUCTION ASSOCIATES, INC, a Washington corporation ("GPA") GPA is the owner of the property at 201 Fifth Avenue South, Edmonds, WA 98020 that is more particularly described as follows (hereafter referred to as the "Old Milltown Property"), Lots 1, 2, 3, 4, 5, 6, 37,38, 39, and 40, BLock 121, The City of Edmonds, according to the Plat thereof recorded in Volume 2 of Plats, Pages 39 and 40, Records of Snohomish County, Washmgton, EXCEPT the East 16 feet of said Lot 37, TOGETHER WITH That Portion of the vacated alley adjoining Lots 1 through 4 and Lots 37 through 40, inclusive, EXCEPT That Portion of the South half of said vacated alley lying adjacent to the East 16 feet of Lot 37 SITUATE in the County of Snohomish, State of Washington 2 GPA is refurbishing the Old Milltown Property in accordance with current City zoning, building and other applicable regulations It is expected that GPA will lease space in the Old Milltown Property to one or more food service establishments ("FSE") who will discharge to a common grease interceptor ("GI") 3 GPA agrees to accept the responsibility, as owner of the Old Milltown Property, for the proper installation, operation and maintenance of the GI in accordance with the requirements in the City of Edmonds Municipal Code (EMC), in particular EMC 7 91 080 For purposes of This map does not Purport to show all highway,; roads or easements affeeling said � r Nny; no Imbility is assumed ror variations in dimensions and locaiion. I i 200707120009.003 EMC 7 91080, GPA is both the "User" and the "Facility" It shall be GPA's responsibility to enforce these requirements with respect to any FSE tenants occupying the Old Milltown Property It is understood, however, that GPA shall remain responsible for compliance with these requirements vis a vis the City 4 This MOU shall be recorded in the records of Snohomish County, shall attach to and run with the Old Milltown Property, and shall be binding upon the heirs, successors and assigns of the parties DATED this 1 I day of July, 2007 CITY OF FDMONDS, a municipal corporation By 7L GAR�tIAtidIC14SPAI, YpA GREGG PRODUCTION ASSOCIATES, INC, a Washington corporation By ` Robert R Gregg, President STATE OF WASHINGTON ) ) ss COUNTY OF SNOHOMISH ) On this I I rh day of July, 2007, before me, a Notary Public in and for the State of Washington, personally appeared 64 Ry_ q,4,t s vs,Aj, known to me (or proved to me on the basis of satisfactory ev)dence) to be the person who executed this instrument, and on oath stated that bj�Ishe %vas authorized to execute the instrument, and acknowledge it as the loogy,,� of CITY OF EDMON DS to be the free and voluntary act and deed of said municipal corporation for the uses and purposes mentioned in the instrument 'this rnap duos not purport to show all highways roads or easements aficc:Dng said ro�xxly; no liability ra assumed rur yanaliom in dimensions and iocation r 1I f 200707120009.004 IN WITNESS WHEREOF, I have hereunto set my hand and official seal the day and year first above written NOTARY PUBLIC in and for the State of Washington, residing at tpiaHAs My appointment expires Pnn(-Name S► ,vb R STATE OF WASHINGTON ) ) ss COUNTY OF KRqt 51'-IY--isN ) On this I I�' day of July, 2007, before me, a Notary Public in and for the State of Washington, personally appeared ROBERT R GREGG, known to me (or proved to me on tha basis of satisfactory evidence) to be the person who executed this instrument, and on oath stated that lie was authonzed to execute the instrument, and acknowledge it as the President of GREGG PRODUCTION ASSOCIATES, INC ;mentioned be the free and voluntary act and deed of said corporation for the uses and purposes mentioned in the instrument IN WITNESS WHEREOF, I have hereunto set my hand and official seal the day and year first above written r;o;�N�?}'Ak 0!1 Washington, NOTARY residing atLIC in d for En the otaste of to y My appointment expires - � _ Print Maine c' I.. -w o � 'ran this map does not purport to show ail hi hways roads or easements affecting said roperty; no liability is assumed For variations in dimensions and location- i` I I IINI NIN Ili {IIN IIIII 11111 III III NIN I{�{ {NN II{{l 11111111 S 12GH &NiT l W$INGTONGS When filed return to Mr Chris Engle Cloutier & Engle, PLLC 320 Dayton St Sutte 260 Edmonds. WA 98020 200708130611.001 NO EXCISE TAX REQUIRED IAUG 13 2007 BOB DANTINI, 5n9honsh County Treasurer By BOB DANTINI ASSIGNMENT AND ASSUMPTION OF LEASE Agreement made this _L day of � , 2007 by and among Edmonds Pride, Inc., a corporation organized and existing raider the laws of the State of Washington having an office at 201 5th Ave. South, Suite 1, Edmonds, WA 98020 (hereinafter the "Assignor"), and Paul & Haeran Bhak, of 15123 7e Drive SE, Snohomish, WA 98296 a marital community (hereinafter the "Assignee") WITNESSETH: WHEREAS, the Assignor is the Tenant under a lease dated March 29', 2005 with the Landlord of ccruun property commonly known as 201 5th Ave South, State 41, Edmonds Washington (the "Lease"), situated upon land described as follows; Lots 1,2,3,4,5,6,37,39 and 40, Block 121, The City of Edmonds, according to the plat thereof recorded in Volume 2 of Plats, pages 39 and 40, records of the Auditor of the County of Snohomish, State of Washington EXCEPT the East 16 feet of said lot 37. TOGETHER WITH that portion of the vacated alley adjoining Lots 1 through 4 and Lots 37 through 40, inclusive ALL situated in the County of Snohomish, State of Washington. WHEREAS, in connection with the sale of the Quiznos franchise, the Assignor is required to assign the Lease to the Assignee, WHEREAS, as consideration for said assignment, the Assignee has agreed to assume all of the Assignor's obligations under the Lease as of August 61", 2007; NOW THEREFORE, in consideration of the foregoing and other valuable consideration paid to the Assignor by the Assignee, the parties hereto hereby agree as follows, i) The Assignor grants, conveys, transfers and assigns to the Assignee all of the Assignor's right, title and interest in and to the Lease as of August &, 2007. 1'liis map does not aspen io show all 11911ways roads or casements arrCcSing said ra T:, no liability is assumed inr mriatiom in dimensions and location, 200708130611.002 ii) The Assignee assumes all of the Tenant's obligations and liabilities under the Lease and agrees to be bound by and perform all the covenants, terms and conditions of the Lease as of August 6'h, 2007. iii) The Assignor represents to the Assignee as follows. (I) The Lease is m full force and effect and has not been amended or modified in any respect except as set forth hereumbove (2) There is no presently existing event of default by the Landlord or the Tenant under the Lease (3) The Tenant has paid rent under the Lease through August 5 h, 2007. As igrior Mr. Randall Bowers, President On behalf of Edmonds Pride, Inc Dater(l ! 07- -V;ZZ9S, • V �r,.,uy e Sin STATE OF WASHINGTON ) ) ss. COUNTY OF 'aQ 1S" ) Assignee Paul B Bhak Date -.- MS. ran Bhak Date.44 ,W0 U•1AA Lz; D1c 14 On this day personally appeared before me Mr. Randall Bowers�to me known to be the individual, or individuals described in and who e u the within and foregoing instrument, and acknowledged thaft7signed the same ee and voluntary act and deed, for the uses and purposes therein mentioned. Given under my hand and official seal THIS _l,_ day of2004- I]Illllf+y� !re P Ogl LY" i�pts`y Pnut Name R q� NOTAR k NOTARY PUBLIC for the State of weshingtos siding at YH, ' PUBLIC oo�: Z rrtCJ►��i5 Q*FB 20. My appo►ntment expires � � 7� 1 ❑P- This map dots not purportto show all highways roads or easements affecting said raparty; no liability is assumed for variations in dimensions and location. STATE OF WASHINGTON ) ) ss COUNTY OF5a&M__�Sa ) On this day personally appeared before me Paul Bhak to me known to be the -individual, or -individuals described -in and -who executed the -within and foregoing__- instrument, and acknowledged that he signed the same as his free and voluntary act and deed, for the uses and purposes therein mentioned. THIS j day of U__� 200+ "tz k4all �' a r� NA :yam ' Oe�A p � F F` Ca ��OP STATE OF WASHINGTON ) ) ss. COUNTY OF %0H0N_1S.0 ) 200708130611.003 Given under my hand and official seal Print Name �JW-4 g0s- � '� a-k NOTARY PUBLIC for the State of Washington, residing at mars. A* My appointment expires FD' � On this day personally appeared before me Haeran Bhak to me known to be the individual, or individuals described in and who executed the within and foregoing instrument, and acknowledged that he signed the same as his free and voluntary act and deed, for the rises and purposes therein mentioned Given under my hand and official sea] THIS day oF_, 200 �— f Print Warne tbW4 pewum NOTARY PUBLIC far the Slate of Washington, residing at tx nriot,5 _ W-A, My appointment expires 200607100131.001 Qfi4r5H6C9l�NTY. 4�S��GTONGS This Space Provided for Recorder's Use When Recorded Return to: TAMI HOOD, Credit Operations, Cascade Bank, 2828 Colby Ave, Everett, Washington 98201 INSURED BY DEED OF TRUST CHICAGO TITLE (With Future Advance Clause) tj3 vLlf50 Grantor(s): Gregg Production Associates, Inc. Grantee(s): Cascade Bank Legal Description; Lots 1, 2, 3, 4, 5, 6, 37, 38, 39, and 40, Blk 121, The City of Edmonds, Vol, 2, Pg 39 Assessor's Property Tax Parcel or Account Number: 004342-121 -001 -00; 004342-121-037-00 Reference Numbers Of Documents Assigned or Released: DATE AND PARTIES. The date of this Deed Of Trust (Security Instrumentl is July 6, 2006, The parties and their addresses are: GRANTOR; GREGG PRODUCTION ASSOCIATES, INC. A Washington Corporation 51 W. Dayton St,, Ste, 304 Edmonds, Washington 98020 TRUSTEE: CHICAGO TITLE a Missouri Corporation 3030 Hoyt Avenue Everett, Washington 98201 Deed 01 Trust TsmEa0B87100005188014070606Y 01996 Bankers Systems, Inc., St, Cloud, MN Paga 1 This map does not purport to sha%u 311 highways roads or cascments afrculing said properly, no haUilily is assumed Car ❑uriations !n dimensions and Iocasion. uroer:s o ! rP1111U�U.-T772U09-37 FM "I I u0q ao{ pue sun{suaullp u{ suo�iyi3an in3 pautrlssg s} I�1!Fsg89{ ou ` axd lrles enllra�ts syuautasea i0 speos sAwAgM I lilt toys n1 nd IOU soap dew sty �, LENDER: CASCADEBANK Organized and existing under the laws of Washington 2828 Colby Avenue Everett, Washington 98201 _ 1. CONVEYANCE. For good and valuable consideration, the receipt and sufficiency of which is acknowledged, and to secure the Secured Debts and Grantor's performance under this Security Instrument, Grantor irrevocably grants, conveys and sells to Trustee, in trust for the benefit of Lender, with power of sale, the following described property: LOTS 1, 2, 3, 4, 5, 6, 37, 38, 39 AND 40, BLOCK 121, THE CITY OF EDMONDS, ACCORDING TO THE PLAT THEREOF RECORDED IN VOLUME 2 OF PLATS, PAGES 39 AND 40, RECORDS OF SNOHOMISH COUNTY, WASHINGTON; EXCEPT THE EAST 16 FEET OF SAID LOT 37; TOGETHER WITH THAT PORTION OF THE VACATED ALLEY ADJOINING LOTS 1 THROUGH 4 AND LOTS 37 THROUGH 40, INCLUSIVE, EXCEPT THAT PORTION OF THE SOUTH HALF OF SAID VACATED ALLEY LYING ADJACENT TO THE EAST 16 FEET OF LOT 37. The property is located in Snohomish County at 201 5th Avenue South, Edmonds, Washington 98020. Together with all rights, easements, appurtenances, royalties, mineral rights, oil and gas rights, crops, timber, all diversion payments or third party payments made to crop producers and all existing and future Improvements, structures, fixtures, and replacements that may now, or at any time in the future, be part of the real estate described (all referred to as Property), This Security Instrument will remain in effect until the Secured Debts and all underlying agreements have been terminated in writing by Lender. 2. SECURED DEBTS. The term "Secured Debts" includes and this Security Instrument will secure each of the following: A. Specific Debts, The following debts and all extensions, renewals, refinancings, modifications and replacements, A promissory note or other agreement, No. 5306062009, dated July 6, 2006, from Grantor to Lender, with a loan amount of 04,800,000,00, with an initial interest rate of 8.25 percent per year (this is a variable interest rate and may change as the promissory note prescribes), One or more of the debts secured by this Security Instrument contains a future advance provision, B. All Debts. All present and future debts from Grantor to Lender, even if this Security Instrument is not specifically referenced, or if the future debt Is unrelated to or of a different type than this debt. If more than one person signs this Security Instrument, each agrees that it will secure debts incurred either individually or with others who may not sign this Security Instrument. Nothing In this Security Instrument constitutes a commitment to make additional or future loans or advances, Any such commitment must be in writing. In the event that Lender fails to provide any required notice of the right of rescission, Lender waives any subsequent security interest in the Grantor's principal dwelling that is created by this Securlty Instrument, This Security Instrument will not secure any debt for which a non - Gregg Production Associates, Inc, Washington Deed Of Trust WAI4XXXXTami00937100005188014070600Y ®1998 Bankers Systems, Inc., St. cloud, MN Exge� Page 2 Wa as a+ae 200607100131.003 possessory, non -purchase money security interest is created in "household goods" in connection with a "consumer loan," as those terms are defined by federal law governing unfair and deceptive credit practices, This Security Instrument will not secure any debt for which a security interest is created in "margin stock" and Lender does not obtain a "statement of purpose," as defined and required by federal law governing securities, C. Sums Advanced. All sums advanced and expenses incurred by Lender under the terms of this Security Instrument. _ 3. PAYMENTS, Grantor agrees that all payments under, the Secured Debts will be paid when due and in accordance with the terms of the Secured Debts and this Security Instrument. 4. WARRANTY OF TITLE. Grantor warrants that Grantor is or will be lawfully seized of the estate conveyed by this Security Instrument and has the right to irrevocably grant, convey and sell the Property to Trustee, in trust, with power of sale. Grantor also warrants that the Property is unencumbered, except for encumbrances of record. 5. PRIOR SECURITY INTERESTS. With regard to any Other mortgage, deed of trust, security agreement or other lien document that created a prior security interest or encumbrance on the Property, Grantor agrees: A. To make all payments when due and to perform or comply with all covenants, B. To promptly deliver to Lender any notices that Grantor receives from the holder, C. Not to allow any modification or extension of, nor to request any future advances under any note or agreement secured by the lien document without Lender's prior written consent. 6. CLAIMS AGAINST TITLE. Grantor will pay all taxes, assessments, liens, encumbrances, lease payments, ground rents, utilities, and other charges relating to the Property when due. Lender may require Grantor to provide to Lender copies of all notices that such amounts are due and the receipts evidencing Grantor's payment. Grantor will defend title to the Property against any claims that would impair the lien of this Security Instrument. Grantor agrees to assign 10 Lender, as requested by Lender, any rights, claims or defenses Grantor may have against parties who supply labor or materials to maintain or improve the Property. 7, DUE ON SALE OR ENCUMBRANCE. Lender may, at its option, declare the entire balance of the Secured Debt to be immediately due and payable upon the creation of, or contract for the creation of, any lien, encumbrance, transfer or sale of all or any part of the Property. This right is subject to the restrictions imposed by federal law (f 2 C.F.R. 591), as applicable, 8. TRANSFER OF AN INTEREST IN THE GRANTOR. If Grantor is an entity other than a natural person (such as a corporation or other organization), Lender may demand immediate payment if; A. A beneficial interest in Grantor is sold or transferred. B. There is a change in either the identity or number of members of a partnership or similar entity. C, There Is a change in ownership of more than 25 percent of the voting stock of a corporation or similar entity. However, Lander may not demand payment in the above situations if it is prohibited by law as of the date of this Security Instrument, 9, WARRANTIES AND REPRESENTATIONS. Grantor makes to Lender the following warranties and representations which will continue as long as this Security Instrument Is in effect: A. Power. Grantor is duly organized, and validly existing and In flood standing in all jurisdictions in which Grantor operates. Grantor has the power and aulhority to enter into Grego P,cdocucn A.vooiaMos,lnc. Was3vmgton Deed Of Trust WA14XXXXTemi00937100D05188014070606y 01996 Bankers Systems, Inc., St, Cloud, MN [ °° Page 3 This mpg dots nai purport to show al) hi �bwdys roads or easements a?recting said pm rly; no Inbilily is asssvmctl rnr variations in dimensions and ioratian. 3 Il uu,l�s0o1 pr,a suu�suatu�p uL sflon2 AA 30J patunscc sr fpp4a;l au 'rtu0daid pses 9un�a;}x sivatuasea kn spoor s.Cra�y9�tg {{n.++nys ni dill too sa0p uui siyt this transaction and to carry on Grantor's business or activity as it is now being conducted and, as applicable, is qualified to do so in each jurisdiction in which Grantor operates. B. Authority. The execution, delivery and performance of this Security Instrument and the obligation evidenced by this Security Instrument are within Grantor's powers, have been duly authorized, have received all necessary governmental approval, will not violate any provision of law, or order of court or governmental agency, and will not violate any agreement to WhLCh Grantor js a_party_or to which Grantor_is or eny_.of Grantor's propert�is subject. C. Name and Place of Business. Other than previously disclosed in writing to Lender, Grantor has not changed Grantor's name or principal place of business within the last 10 years and has not used any other trade or fictitious name. Without Lender's prior written consent, Grantor does not and will not use any other name and will preserve Grantor's existing name, trade names and franchises. 10, PROPERTY CONDITION, ALTERATIONS AND INSPECTION. Grantor will keep the Property In good condition and make all repairs that are reasonably necessary. Grantor will not commit or allow any waste, impairment, or deterioration of the Property. Grantor will keep the Proporty free of noxious weeds and grasses. Grantor agrees that the nature of the occupancy and use will not substantially change without Lender's prior written consent. Grantor will not permit any change in any license, restrictive covenant or easement without Lender's prior written consent. Grantor will notify Lender of all demands, proceedings, claims, and actions against Grantor, and of any loss or damage to the Property. No portion of the Property will be removed, demolished or materially altered without Lender's prior written consent except that Grantor has the right to remove items of personal property comprising a part of the Property that become worn or obsolete, provided that such personal property is replaced with other personal property at least equal in value to the replaced personal property, free from any title retention device, security agreement or other encumbrance, Such replacement of personal property will be deemed subject to the security interest created by this Security Instrument. Grantor will not partition or subdivide the Property without Lender's prior written consent, Lender or Lender's agents may, at Lender's option, enter the Property at any reasonable time for the purpose of inspecting the Property. Lender will give Grantor notice at the time of or before an inspection specifying a reasonable purpose for the inspection. Any inspection of the Property will be entirely for Lender's benefit and Grantor will in no way rely on Lender's inspection, 11, AUTHORITY TO PERFORM. If Grantor fails to perform any duty or any of the covenants contained in this Security Instrument, Lender may, without notice, perform or cause them to be performed. Grantor appoints Lander as attorney in fact to sign Grantor's name or pay any amount necessary for performance. Lender's right to perform for Grantor will not Create an obligation to perform, and Lender's failure to perform will not preclude Lender from exercising any of Lender's other rights under the law or this Security Instrument. If any construction on the Property is discontinued or not carried on in a reasonable manner, Lender may take all steps necessary to protect Lender's security interest In the Property, including completion of the construction. 12, ASSIGNMENT OF LEASES AND RENTS, Grantor irrevocably assigns, grants, conveys to Lender as additional security all the right, title and interest in the following (Property). A. Existing or future leases, subleases, licenses, guaranties and any other written or verbal agreements for the use and occupancy of the Property, including but not limited to any extensions, renewals, modifications or replacements (Leases). Grag$ Production AS16E,e1e9, Inc. Yysshatgtan Osed Of Trust WAI4XXXXTomIC0937100005199014070906Y G199e Bankers Systems, Inc., St. Claud, MN Ekl!59rW Page 4 200607100131.005 8, Rents, issues and profits, including but not limited to security deposits, minimum rents, percentage rents, addltluilel rents, common area maintenance charges, parking charges, real estate taxes, other applicable taxes, insurance premium contributions• liquidated damages itclaims fallowing default, cancellation premiums, "loss of rents' insurance, guest receipts, revenues, royalties, proceeds, bonuses, accounts, contract rights, general intangibles, and all rights and in to or are on account of the use or which Grantor may have that any way pertain occupancy of the whole or any part of the Property lRentsi. _ 1 in the event any item its#vd as leases w-Rants Is deierrnifi6d-to be personal -property, this Assignment will also be regarded as a security agreement. Grantor will promptly provide Lender with copies of the Leases and will certify these Leases are true and correct copies. The existing r + Leases will he provided on execution of the Assignment, and all future Leases and any other information with respect to these Leases will be provided immediately after they are executed. I Grantor may collect, receive, enjoy and use the Rents so long as Grantor is not in default. in advance any Plants due in future lease periods, unless Grantor first t Grantor will not collect obtains Lender's written consent. Upon default, Grantor will receive any Rents in trust for Lender and Grantor will not commingle the Rants with any other funds. Grantor agrees that this Security instrument is immediately effective between Grantor and Lander and effective as to e third parties on the recording of this Assignment. This Security Instrument will remain effective redemption period until the Secured Debts are satisfied. As long as this { during any statutory Assignment is in effect, Grantor warrants and represents that no default exists under the Leases, and the partles subject to the Leases have not violated any applicable law on leases, licenses and landlords and tenants. Grantor, at Its so4a cost and expense, will keep, observe Leases to comply with the Leases and any i and perform, and require a!1 other parties to the Lease defaults or fails to observe any applicable 1 ' applicable law. !f Grantor or any party t❑ the Grantor will notify Lander. if Grantor neglects or refuses to enforce compliance law, promptly with the terms of the Leases, then Lender may, at Lender's option, enforce compliance. Grantor alter the Leases, or accept the surrender of i will net sublet, modify, extend, cancel, or otherwise by the Leases [unless the Leases so rvquirei without Lender's consent. + e the Property covered Grantor will not assign, compromise, subordinate or encumber the Leases and Rents without or become liable for the Property's i Lender's prior written consent. Lander does not assume depreciation, or other losses or damages when Lender acts to manage, protect or maintenance, preserve the Property, except for losses and darnages due to Lender's gross negiigenca or Lander and hold Lander harmless for all intentional torts, Otherwise, Grantor will indemnify liability, loss or damage that Lender may Incur when Lender opts to exercise any of its remedies against any party obligated under the Leases. When the Property is not farm land or the Grantor agrees that lender is entitled homestead of Grantor or Grantor's successor in interest, to Grantor or Grantor's tenants to make payments of Rents dos or to become due directly notify to Lender after such recording. however Lender agrees not to notify Grantor's tenants until the default and demands that Grantor and Grantor defaults and Lender notifies Grantor of Grantor's tenants pay all Rents due or to become due directly to Lender. Grantor consents to Grantor's tenants paying all Rents due or to become due directly to lender after Lender makes property is farm land or the homestead of this notification and demand to Grantor. When the Grantor or Grantor's successor in interest, Lender may not enforce this Security Instrument by taking possession of the Property for the purpose of collecting Rants, but Lender may seek the the Rents for non -homestead appointment of a receiver to take charge of the Property, collect property, and apply the Rents under this Assignment. 13, DEFAULT. Grantor will be in default if any of the following occur; A. Payments, Grantor falls to make a payment in full when due. GfGos Production A290ciatc1. ins. WssKrivton Hand Of Trust Page 5 WAf4XXXXiami0093710000518801407060BY 01996 Bankers Systems, Inc., St. Cloud, MN Y ]his rna p does not purport to 5AIQW all highways rfju iS ❑r aascnlcnts affecting said property no liability 45 assupi(,d far variations in d+u,ens+om and location I 'U011MI pus 5g01Su9Wlp u1 9UD?iu11IL1 Jc 1)Mpff 9Sit Rl 41 tgs!I ou ',iu3a p184 8u117JJ0 S1u01U06g010 spurn SIMMIJiJS o1 VOdJ 1ou swop dIIW SSi{,], B. Insolvency or Bankruptcy, The death, dissolution or insolvency of, appointment of a receiver by or on behalf of, application of any debtor relief law, the assignment for the benefit of creditors by or on behalf of, the voluntary or involuntary termination of existence by, or the commencement of any proceeding under any present or future federal or state insolvency, bankruptcy, reorganization, composition or debtor relief law by or against Grantor, Borrower, or any co-signer, endorser, surety or guarantor of this Security Instrument or arty atheL-obligoT!om Borrow.er_has_w.ithLender... C. Business Termination, Grantor merges, dissolves, reorganizes, ends its business or existence, or a partner or majority owner dies or is declared legally incompetent. D. Failure to Perform. Grantor fails to perform any condition or to keep any promise or covenant of this Security Instrument, E, Other Documents, A default occurs under the terms of any other document relating to the Secured Debts, F, Other Agreements, Grantor is in default on any other debt or agreement Grantor has with Lender, G. Misrepresentation, Grantor makes any verbal or written statement or provides any financial information that is untrue, inaccurate, or conceals a material fact at the time it is made or provided. H. Judgment. Grantor fails to satisfy or appeal any judgment against Grantor. 1. Forfeiture. The Property is used in a manner or for a purpose that threatens confiscation by a legal authority, J. Name Change, Grantor changes Grantor's name or assumes an additional name without notifying Lender before making such a change. K, Property Transfer, Grantor transfers all or a substantial part of Grantor's money or property. This condition of default, as it relates to the transfer of the Property, Is subject to the restrictions contained in the DUE ON SALE section. L. Property Value. Lender determines in good faith that the value of the Property has declined or is impaired. M. Material Change. Without first notifying Lender, there is a material change In Grantor's business, including ownership, management, and financial conditions. , N. Insecurity, Lender determines in good faith that a material adverse change has occurred in Grantor's financial condition from the conditions set forth in Grantor's most recent financial statement before the date of this Security Instrument or that the prospect for payment or performance of the Secured Debts is impaired for any reason, 14, REMEDIES. On or after default, Lender may use any and all remedies Lender has under state or federal law or in any document relating to the Secured Debts. Any amounts advanced on Grantor's behalf will be immediately due and may be added to the balance owing under the Secured Debts. Lender may make a claim for any and all insurance benefits or refunds that may be available on Grantor's default. Subject to any right to cure, required time schedules or any other notice rights Grantor may have under federal and state law, Lender may make all or any part of the amount owing by the terms of the Secured Debts immediately due and foreclose this Security Instrument in a manner provided by law upon the occurrence of a default or anytime thereafter. All remedies are distinct, cumulative and not exclusive, and the Lender Is entitled to all remedies provided at law or equity, whether or not expressly set forth. The acceptance by Lender of any sum in payment or partial payment on the Secured Debts after the balance is due or is Gregg Production Associates, Inc. Washington Dead Of Trost WAI4XXXXTami00937100005188014070806Y ®1996 Bankers Systems, Inc„ St, Cloud, MN €kfiP "" Page 6 9iw"'n.nn� 200607100131.007 # accelerated or after foreclosure proceedings are filed will not constitute a waiver of Lender's i. right to require full and Complete cure of any existing default, By not exercising any reme y, Lender does not waive Lender's right to later consider the event a default if it continues or happens again. 15. COLLECTION EXPENSES AND ATTORNEYS' FEES. On or after Default, to the extent j permitted by law, Grantor agrees to pay all expanses of collection, enforcement or protection of Lender's rights and remedies under this Security Instrument or any other document relating to the 'SecLi ed-De17ts.--Grantor—Agrees to 'payexp6nsas for --Lender, to inspect and preserve the — Property and for any recordation Costs of releasing the Property from this Security Instrument. Expanses include, but are not limited to, attorneys' fees, court costs and other legal expenses. These expenses are due and payable immediately. If not paid immediately, these expenses will I bear interest from the date of payment until paid In full at the highest interest rate in effect as I provided for in the terms of the Secured Debts. In addition, to the extent permitted by the sI United States Bankruptcy Code, Grantor agrees to pay the reasonable attorneys' feels incurred i by Lender to protect Lender's rights and interests in connection with any bankruptcy proceedings initiated by or against Grantor. 16. ENVIRONMENTAL LAWS AND HAZARDOUS SUBSTANCES. As used in this section, I11 Environmental Law means, without limitation, tha Comprehensive Environmental Response, Compensation and Liability Act (CERCLA• 42 U.S.C. 9601 et seq.), all Other federal, state and local laws, regulations, ordinances, court orders, attorney general opinions or interpretive letters i concerning the public health, safety, welfare, environment or a hazardous substance; and (2) } Hazardous Substance means any toxic, radioactive or hazardous material, waste, pollutant or } contaminant which has characteristics which render the substance dangerous or potentially I dangerous to the public health, safety, welfare or environment. The term includes, without { limitation, any substances defined as "hazardous material," "toxic substance," "hazardous waste,,, "hazardous substance," or "regulated substance" under any Environmental Law. i Grantor represents, warrants and agrees that; A. Except as previously disclosed and acknowledged in writing to Lender, no Hazardous i Substance has been, is, or will be located, transported, manufactured, treated, refined, or i handled by any parson on, under or about the Property, except in the ordinary course of I business and in strict compliance with all applicable Environmental Law. } B. Except as previously disclosed and acknowledged in writing to Lender, Grantor has not and will not cause, contribute to, or permit the release of any Hazardous Substance on the Property. C, Grantor will immediately notify Lender if (1) a release or threatened release of Hazardous Substance occurs an, under or about the Property or migrates or threatens to migrate from 1 nearby property; Dr (2) there is a violation of any Environmental Law concerning the Property. in such on event, Grantor will take all necessary remedial action in accordance with Environmental Law. D. Except as previously disclosed and acknowledged in writing to Lender, Grantor has no knowledge of or reason to believe there is any pending or threatened investigation, claim, or ! proceeding of any kind relating to ill any Hazardous Substance located on, under or about I the Property; or 0 any violation by Grantor or any tenant of any Environmental Law. Grantor vvili immediately notify Lender in writing as soon as Grantor has reason to believe there is any such pending or threatened invustigatlon, claim, or praoeoding. In such an event, Lender has the right, but not the obligation, to participate in any such proceeding including the right to receive ❑opies of any documents roleting to such proceedings. i C aW Production Muocia,va. Inc. Wahingson Deed Of Tnmt 01990 Bankers Systems, Inc., St. Cloud, MN Ear Page 7 WA14)Lxxx7aml00937100005188014070606Y E. Except as previously disclosed and acknowledged in writing to Lander, Grantor and every tenant have been, are and will remain in full compliance with any applicable Environmental Law. F. Except as previously disclosed and acknowledged in writing to Lander, there are no underground starage tanks, private dumps or open wells located on or under the Property and no such tank, dump or well will be added unless Lender first consents in writing. — — --G. Granias will regularly Inspect iFi,� Property, MChilvr the activities a nd--ope rations- -on -the----- - — --- Property, and confirm that all permits, licenses or approvals required by any applicable Environmental Law are obtained and complied with. H. Grantor will permit or cause any tenant to permit, Lender or Lender's agent to enter and inspect the Property and review atl records at any reasonable time to determine 11I the existence, location and nature of any Hazardous Substance on, under or about the Property; i2} the existence, location, nature, and magnitude of any Hazardous Substance that has been released on, under or about the Property; or 13) whether or not Grantor and any tenant are in compliance with applicable Environmental Law, I. Upon Lender's request and at any time, Grantor agrees, at Grantor's expense, to engage a qualified environmental engineer to prepare an environmental audit of the Property and to submit the results of such audit to Lender, The choice of the environmental engineer who will perform such audit is subject to Lender's approval. J. Lender has the right, but not the obligation, to perform any of Grantor's obligations under this section at Grantor's expense. K. As a consequence of any breach of any representation, warranty or promise made in this section, f 11 Grantor will indemnify and hold Lender and Lender's successors or assigns harmless from and against all losses, claims, dernands, liabilities, damages, cleanup, response and remediation costs, penalties and expenses, including without limitation all costs of litigation and attorneys' fees, which Lender and Lender's successors or assigns may sustain; and M at Lender's discretion, Lander may release this Security instrument and in return Grantor will provide Lender with collateral of at least equal value to the Property without prejudice to any of Lender's rights under this Security Instrument. L. Notwithstanding any of the language contained in this Security instrument to the contrary, the terms of this section will survive any foreclosure or satisfaction of this Security Instrument regardless of any passage of title to Lender or any disposition by Lender of any or all of the Property, Any claims and defenses to the contrary are hereby waived. 17. CONDEMNATION. Grantor wilt give Lender prompt notice of any pending or threatened action by private or public entities to purchase or take any or all of the Property through condemnation, eminent domain, or any other means. Grantor authorizes Lender to intervene in Grantor's name in any of the above described actions or claims. Grantor assigns to Lander the proceeds of any award or claim for damages connected with a condemnation or other taking of all or any part of the Property. Such proceeds will be considered payments and will be applied as provided in this Security Instrument. This assignment of proceeds is subject to the terms of any prior mortgage, deed of trust, security agreement or other lien document, 18, INSURANCE. Grantor agrees to keep the Property insured against the risks reasonably associated with the Property. Grantor will maintain this insurance in the amounts Lender requires. This insurance will last until the Property is released from this Security instrurnerlt, What Lender requires pursuant to the preceding two sentences can change during the term of the Secured Debts. Grantor may choose the insurance company, subject to Lender's approval, which will not be unreasonably withheld. eragp Production Msaciases, lac. Washington Deed Of Trust 01996 Bankers systems, Inc., St. Cloud, MN 6r159W Page B WA14XX SXTamlCK)837I o00a5 t aeot ao7oeoev 8oa' i s> oo l taco 200607100131.009 All insurance policies and renewals will include a standard "mortgage clause" and, where applicable, "loss payee clause," If required by Lender, Grantor agrees to maintain comprehensive general liability insurance and rental loss or business interruption insurance in amounts and under policies acceptable to Lender. The comprehensive general liability insurance must name Lender as an additional insured. The rental loss or business interruption insurance must be in an amount equal to at least coverage of one year's debt service, and required escrow account deposits (if agreed to separately In writing), grantor wil�ilie Canso ai�the �uranee company immediate notice of any Toss, All insurance proceeds will be applied to restoration or repair of the Property or to the Secured Debts, at Lender's option. If Lender acquires the Property in damaged condition, Grantor's rights to any insurance policies and proceeds will pass to Lender to the extent of the Secured Debts. Grantor will immediately notify Lender of cancellation or termination of insurance. If Grantor fails to keep the Property insured, Lender may obtain insurance to protect Lender's interest in the Property and Grantor will pay for the Insurance on Lender's demand, Lender may demand that Grantor pay for the insurance all at once, or Lender may add the insurance premiums to the balance of the Secured Debts and charge interest on it at the rate that applies to the Secured Debts. This insurance may include coverages not originally required of Grantor, may be written by a company other than one Grantor would choose, and may be written at a higher rate than Grantor could obtain if Grantor purchased the insurance. Grantor acknowledges and agrees that Lender or one of Lender's affiliates may receive commissions on the purchase of this insurance. 19, ESCROW FOR TAXES AND INSURANCE. Grantor will not be required to pay to Lender funds for taxes and insurance in escrow. 20. CO-SIGNERS. If Grantor signs this Security Instrument but is not otherwise obligated to pay the Secured Debts, Grantor does so only to convey Grantor's interest in the Property to secure payment of the Secured Debts and Grantor does not agree by signing this Security Instrument to be personally liable on the Secured Debts. If this Security Instrument secures a guaranty between Lender and Grantor, Grantor agrees to waive any rights that may prevent Lender from bringing any action or claim against Grantor or any party indebted under the obligation. These rights may include, but are not limited to, any anti -deficiency or one -action laws, 21. SUCCESSOR TRUSTEE. Lender, at Lender's option, may from time to time remove Trustee and appoint a successor without any other formality than the designation in writing, The successor trustee, without conveyance of the Property, will succeed to all the title, power and duties conferred upon Trustee by this Security Instrument and applicable law. 22. USE OF PROPERTY. The real property conveyed by this Security Instrument is not used principally for agricultural purposes. 23. FIXTURE FILING. Grantor gives to Lender a security interest in all goods that Grantor owns now or in the future and that are or will become fixtures related to the Property, 24. APPLICABLE LAW. This Security Instrument is governed by the laws of Washington, the United States of America, and to the extent required, by the laws of the jurisdiction where the Property is located, except to the extent such state laws are preempted by federal law. 25. JOINT AND INDIVIDUAL LIABILITY AND SUCCESSORS, Each Grantor's obligations under this Security Instrument are independent of the obligations of any other Grantor. Lender may sue each Grantor individually or together with any other Grantor. Lender may release any part of the Property and Grantor will still be obligated under this Security Instrument for the remaining Property. Grantor agrees that Lender and any party to this Security Instrument may Grapy P+v7uauon Asaociatoa. lnu. Weshinoton ❑ond D1 Trust WA14XxHk7emi00937100005188014070606Y "1990 Benkere Syetema, Inc., St, Cloud, MN ECOWr Pape 9 Tl,is map does not purport to show ail highways mods ur CaSCme[IS afiecting said propar[y; 110 1i4biIAY is assumed fur var,ati0ns in dimensions and locator!. I extend, modify or make any change in the terms of this Security instrument or any evidence of debt without Grantor's consent. Such a change will not release Grantor from the terms of this Security Instrument, The cluties and benefits of this Security Instrument will bind and benefit the successors and assigns of Lander and Grantor. 26, AMENDMENT, INTEGRATION AND SEVERABILITY. This Security instrument may not be amended or modified by oral agreement. No amendment � or od by ii ice onaoff his Security This --Instrument-is-effeetive-unless-made-in.. writing-unless�— Y - -- Security instrument and any other documents relating to the Secured Debts are the complete on the agrgument. 11 any is unenforceable,and final then fprovision rument n theunenforceable provision willl beSecurity everod and the remainingtprovisions will still be enforceable. 21, INTERPRETATION. Whenever used, the singular includes the plural and the plural includes the singular, The section headings are for convenience only and are not to be used to interpret or define the terms of this Security instrument. 28. NOTICE, FINANCIAL REPORTS, notice VALL DOCUMENTS l be given bvAND ItRo malDIN it both S. Unless otherwise required by law, Y first class and either registered or certified mail, return receipt requested, to the appropriate party's address listed in the DATE AND PARTIES section, or to any other address designated in writing. Notice to one Grantor will be deemed to be notice to all Grantors.. Grantor will Inform Lender in writing of any change in Grantor's name, address or other application 'information. Grantor will provide Lender any financial statements or Information Lender requests. All financial statements and information Grantor gives Lander will be correct and complete. Grantor agrees to pay all expenses, charges and taxes in connection with the preparation and recording of this Security instrument. Grantor agrees to sign, deliver, and file any additional documents or certifications that Lender may consider necessary to perfect, continue, and preserve Grantor's obligations under this Security Instrument and to confirm Lender's lien status an any ProPerty, and Grantor agrees to pay all expenses, charges and taxes in connection with the preparation and recording thereof. Time is of the essence. 29, AGREEMENT TO ARBITRATE. Lender or Grantor may submit to binding arbitration any dispute, claim or other matter in question between or among Lender and Grantor that arises out of or relates to this Transaction (Dispute), except as otherwise Indicated in this section or as Lender and Grantor agree to in writing. For purposes of this section, this Transaction Includes this Security Instrument and any other document relating to the Secured Debts, and proposed Loans or extensions of credit that relate to this Security instrument. Lender or Grantor will not arbitrate any Dispute within any "core proceedings' under the United States bankruptcy laws. Lender and Grantor must consent to arbitrate any Dispute concerning the Secured Debt secured by real estate at the time of the proposed arbitration. Lender may foreclose or exercise any powers of sale against real property securing the Secured Debt underlying any Dispute before, during or after any arbitration. Lender may also enforce the Secured arbitration. Debt secured by this real property and underlying the Dispute before, during or after any Lender or Grantor may, whether or not any arbitration has begun pursue any self-hetp or similar remedies, including taking property or exercising other rights under the law; seek attachment, garnishment, receivership or other provisional remedies rro or court rtvhaving or jurisdiction gainst preserve the rights of or to prevent irreparable injury Foreclosing or .......art,. hij Anv method or take legal action to recover any property_ -„ 6 rSing 1 r - exercising a power of sale, beginning an❑ cPnL%Jt%J !d o t------- -- remedies will not constitute a waiver of the right to compel arbitration. p�.d.ar Truai Page 10 r-,..;rw19a71nOW6188014070808Y 01998 Bankers Systems, Ina, St. Cloud, MN E+d o w LE 60f) l.1 nQnn7 200607100131.011 The arbitrator will determine whether a Dispute Is arbitrable, A single arbitrator will resolve any Dispute, whether individual or joint in nature, or whether based on contract, tort, or any other matter at law or in equity, The arbitrator may consolidate any Dispute with any related disputes, claims or other matters in question not arising out of this Transaction, Any court having jurisdiction may enter a judgment or decree on the arbitrator's award, The judgment or decree will be enforced as any other judgment or decree. Lender and Grantor acknowledge that the agreements, transactions or the relationships which —result-from the-agreements-or-transactions-between-and-among-Lun-der-arlil--Gr�or involve Interstate commerce. The United States Arbitration Act will govern the interpretation and enforcement of this section, The American Arbitration Association's Commercial Arbitration Rules, in effect on the date of this Security Instrument, will govern the selection of the arbitrator and the arbitration process, unless otherwise agreed to in this Security Instrument or another writing, 30. WAIVER OF TRIAL FOR ARBITRATION. Lender and Grantor understand that the parties have the right or opportunity to litigate any Dispute through a trial by judge or jury, but that the parties prefer to resolve Disputes through arbitration Instead of litigation, If any Dispute is arbitrated, Lender and Grantor voluntarily and knowingly waive the right to have a trial by jury or judge during the arbitration. SIGNATURES. By signing, Grantor agrees to the terms and covenants contained In this Security Instrument. Grantor also acknowledges receipt of a copy of this Security Instrument. GRANTOR; Gregg Production Associates, Inc, By Robert R, Gregg, Presider tU Gregg Production Associates, Inc. Weslnn0[on Deed or Trust WA/4XXXXTemi00937100005188014070606Y 01996 Bankers Systems, Inc., St, Cloud, MN E, e, _l° Page 11 an!Iaanl pug suassuaw!p u! sutxln!isn �03 palunsse s! !Iigesl ou !Ali a]pies eutlaa!�a stuawasea lo spsna sSemq1!g IleA7ogs oI vadrnd Iou snap deal s!y r ACKNOWLEDGMENT. (Business or Entity) OF ss. OF sofe I certify that I know Or have atisaid person(s) cs know edged-RthatGreg e e heltfteyhsignerd this -who-appeared-bef[zr_ene,- - instrument, on oath stated that�helthey waslwe+e iotltcsrized to exeute the inshefe a an acknowledged it as the President of Gregg Production Associatesr Inc. to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Dated; xeosLf h State of My appointment expires! 101aI0, .1-001, INo ary public In and or t e Washington, residing at) REQUEST FOR OR RECONVEYANCE (Not to be completed until paid in full) TO TRUSTEE: notes secured by this Security Instrument. Said The undersigned is the holder of the note or note ors d in full together You arelth all herebyther di ectedtto canceledness sthisrSe urityed by llnstruments Security �nwhi h istdelivered been p you under this Security hereby, and to reconvey, without warranty. all the estate now held by y instrument to the person or persons legally entitled thereto. ............................ (Date) (Authorized tender Signaturel cGen Assoeirtes, Inc, ���� Page 12 peed 0I Trust � t____ --nav 01996 aenkere systems, Inc., St, Cloud, MN �y-c�A Z 60' 1 S i,00 u0900Z 200711290660.001 I II Illl NIN IIIN IIIII IIUI III II NIII NI'i i IIIN II I I I l� �I1 INN i i f'� Illl ilrS 05 m @0 PGS SN �I H C kiH1 , H 60 JAVTGc 1300E W.CG, cReOrT Cj?SItArrr0k/5 C-Oicove 64.j. ZFLP C-OL07 A.F £v CRErr w A 0 4 z_v I CNJCACo This Space Provided for Recorder's Use When Recorded Return to, JANICE BODEWIG, Credit Operations, Cascade Bank, 2828 Colby Ave, Everett, Washington 98201 C 7-:53 n Q q3 . MODIFICATION OF DEED OF TRUST (With Future Advance Clause) Grantor(s)• Gregg Production Associates, Inc, Granteels) Cascade Bank Legal Description' Lots 1,2,3,4,5,6,37,38,39 a11d 40, Blk 121, The City of Edmonds, Vol 2, Pg 39 f a9e Y Assessor's Property Tex Parcel or Account Number; 004342-121-001-00 004341-121-037-00 Reference Numbers Of Documents Assigned or ReleasedC2oo O C,C;, / DATE AND PARTIES. The date of this Real Estate Modification (Modification) is November 20, 2007 The parties and their addresses are, GRANTOR: GREGG PRODUCTION ASSOCIATES, INC. A Washington Corporation 51 W. Dayton St., Ste. 304 Edmonds, Washington 98020 TRUSTEE: CHICAGO TITLE INSURANCE COMPANY a Missouri Corporation 3030 Hoyt Ave Everett, Washington 98201 arogg Production Aacocuaoe, no Washington Rear E21ate Mod Rcsdon WZ4xxJan =D00027090006848005112707Y 0199E Bankers Systems, Inc , St Cloud, MN Pam' Page 1 i'hts map dotty not purport I highways roads or eavarn0rLts airccting so id rpprrry; nD liability is assumed for variaoom in dimensions and incatinn. iTP PSr 200711290550.002 LENDER: CASCADE BANK Organized and existing under the laws of Washington 2828 Colby Avenue Everett, Washington 98201 1. BACKGROUND. Grantor and Lender entered Into a security Instrument dated July 6, 2006 and recorded on July 10, 2006 ISecurity Instrument) The Security Instrument was recorded in the records of Snohomish County, Washington at Snohomish County Auditor's file #200607100131 and covered the following described Property, See Attached The property is located in Snohomish County at 201 5th Ave S , Edmonds, Washington 98020 2. MODIFICATION. For value received, Grantor and Lender agree to modify the Security Instrument as provided for in this Modification The Security Instrument is modified as follows - A. Secured Debt The secured debt provision of the Security Instrument is modified to read 11) Secured Debts, The term "Secured Debts" Includes and this Security Instrument will secure each of the following, (a) Specific Debts, The following debts and all extensions, renewals, refinancings, modifications and replacements. A promissory note or other agreement, No 5306062009, dated November 26, 2007, from Grantor to Lender, with a loan amount of $6,000,000 00, with an Initial interest rate of 7 5 percent per year (this is a variable Interest rate and may change as the promissory note prescribes) One or more of the debts secured by this Security Instrument contains a future advance provision (b) All Debts. All present and future debts from Grantor to Lender, even if this Security Instrument is not specifically referenced, or if the future debt is unrelated to or of a different type than this debt If more than one person signs this Security Instrument, each agrees that it will secure debts incurred either Individually or with others who may not sign this Security Instrument. Nothing in this Security Instrument constitutes a commitment to make additional or future loans or advances. Any such commitment must be in writing. In the event that Lender fails to provide any required notice of the right of rescission, Lender waives any subsequent security Interest in the Grantor's principal dwelling that is created by this Security Instrument, This Security Instrument will not secure any debt for which a non -possessory, non - purchase money security interest is created in "household goods" in connection with a "consumer loan," as those terms are defined by federal law governing unfair and deceptive credit practices This Security Instrument will not secure any debt for which a security interest is created in "margin stock" and Lender does not obtain a "statement of purpose," as defined and required by federal law governing securities (c) Sums Advanced All sums advanced and expenses incurred by Lender under the terms of this Security Instrument, 3. WARRANTY OF TITLE. Grantor warrants that Grantor continues to be lawfully seized of the estate conveyed by the Security Instrument and has the right to irrevocably grant, convey and Grepp Production Aesacrates, Inc Wasrunplon Red Esiato Modification WA/4XXJarnoe0002200D005848005112707Y 01996 Bankers Systame, Inp , 51 Cloud, MN Uo45EZtV pope 2 This ma does not urpan w show rill highways roads or easements affecting said raperty; no liability is assumed for variations in dimamiom and Ipcation. 200711290550.003 sell the Property to Trustee, in trust, with power of sale, Grantor also warrants that the Property is unencumbered, except for encumbrances of record. 4. CONTINUATION OF TERMS. Except as specifically amended in this Modification, all of the terms of the Security Instrument shall remain in full force and effect. SIGNATURES, By signing, Grantor agrees to the terms and covenants contained in this Modification Grantor also acknowledges receipt of a copy of this Modification GRANTOR: Gregg Production Assoeiutes, Inc, RY &� Robe prssident ACKNOWLEDGMENT. (Business or Entity) OF (, r t^ OFt4� ss I certify that now or havo satistectory evidence that Robert R. egg, is/'Dw the person who appaWud before me, and said personal acknowledged that hol�It.* signed t is Instrument, an oath stated that h01*d?1Xy was/were authorized to execute the instrument and acknowledged it as the President of Gregg Productron Asseciates, Inr•., to be the Iree and voluntary act of such parry for the uses and purposes mentioned in the instrument Dated. it Z 7 zoo? (Notary Publi i d for�h�� My appointment expires d -Zt2'* Washington, I residing aiat)� & 111011 i 1 1 I I I f 0111E p,PPi�ff,,f �pTAR y ►'U811G oz ti OF iw1P`�� G,nyg P,oducu on AMC C, DTF It. Ine Vrla,iungtan Reel Esuta Modlautlon WAIa%XJa.vice0O62YWOGe5848e❑5] 127o7Y 01999 Bankers Systems, Inc , St Cloud, MN Eaq5&7fX Peg* 3 This marr oes no[ purport to s�O[j highways roads or easements affcc[inv, snit uopsm ; so Itubility is assumed for vam itinns in dimensions and fouitian. 200711290560.004 LEGAL DESCRIPTION LOTS 1, 2, 3, 4, 5, 6, 37, 38, 39, AND 40, BLOCK 121, THE CITY OF EDMONDS, ACCORDING TO THE PLAT THEREOF RECORDED IN VOLUME 2 OF PLATS, PAGES 39 AND 40, RECORDS OF SNOHOMISH COUNTY, WASHINGTON, EXCEPT THE EAST 16 FEET OF SAID LOT 37, TOGETHER WITH THAT PORTION OF THE VACATED ALLEY ADJOINING LOTS 1 THROUGH 4 AND LOTS 37 THROUGH 40, INCLUSIVE, EXCEPT THAT PORTION OF THE SOUTH HALF OF SAID VACATED ALLEY LYING ADJACENT TO THE I EAST 16 FEET OF LOT 37 SITUATE IN THE COUNTY OF SNOHOMISH, STATE OF WASHINGTON This map dacs nol purpon so shot all highways roads or casumcriis affecting saId apcny; no liahiiiiy ix asswrrd F'or vas�nt�uns >» dh�iensiaoss and locnicon. r3� 6T1 CZr}e755 Cr i i . 200607100132.001 WHEN RECORDED RETURN TO CHICAGO TITLE CO. 3030 HOYT AVE EVERETT, WA 9=1 Escrow No. 5302450 LDL �J q1111,1111111 CHICAGO TITLE INSURANCE COMPANY SECOND DESID OF TRUST 005302450 (For Use in the Slate of Washington Only) 'IiSS DEED OFTRUSf, made this 77H day of Jury , 2006 between IREGG pRpDUCTION ASSOCIATES, INC,, A WASHINGTON CORPORATION vhosa nlfdress is ,.0. BOX 264M. SEATTLE. WASHINGTON 98165 2369 tnd CHICAGO TITLE INSURANCE CO. s corporation, as TRUSTEE, whose address is 3WO HOYT AVENUE, EVERETT. WASHINGTON 98201 and EDMOND A LEE AND BARBARA L. LEE, HUSBAND AND WIFE as BENEFICIARY, whose address is 645 NW 205TH ST. SEATTLE, WA 96177 wl'm S58m1i: Cruntor(s) hereby bargain(s), sttll(s), 4nd convoy(s) to Truslec in crust, with p[nvor of sale, the following described Tell property in Snohomish County,washinglon.. LOTS 1, 2, 3, 4.5, 6.37, A 38. AND 40, BLOCK 181, THE CRY OF EDMONDS, ACCORDING TO THE PLAT THEREOF RECORDED IN VOLUME 2 OF PLATS, PAGES 39 AND 40, RECORDS OF SNOHOM15H COUNri, WASHCGMN; EXCEPT THE EAST 16 FEET OF SAID LOT 37; TOGETHER WITH THAT PORTION OF THE VACATED ALLEY ADJOINING LOTS 1 THROUGH 4 AND LOTS 37 THROUGH 40, INCLUSIVE, EXCEPT` THAT PORTION OF THE SOUTH HALF OF SAID VACATED ALLEY LYING ADJACENT TO THE EAST 16 FEET OF LOT 37- SITUATE IN THE COUNTY OF SNOHOMISH, STATE OF WASHINGTON. CHICAGO TITLE INSURANCE COMPANY HAS PLACED THIS DOCUMENT OF RECOnD AS A CUSTOMER COURTESY AND ACGEPTi NO LIABILITY FOR THE ACCURACY OR VALIDITY OF THE DOCUMENT. Tax Parccl Nnrnber(x): W43421210DI00 100434212103700 which real property is nol used priusipally for agricultural or farming purpOsca together with all the ng nr in any Wyse t .Mtaonts, hcrcditamcnt% and appurtenances now or hereafter IhoTeunlo belongi apperlmini 08, and the rents, issues, and profits thereof. This deed is for the purpnsc or securing perfofmunce of tech agreemcui nT Gsantor[s} herein contained, and paymenloft hesum of I i100,900.00 1 ONEHUNOREOTHOUSANDANDOD/100 t7nllan with interest, in aceordanoa with the terms of a promissory note of even date herewith, payable to Beneficiary or order, and made by Grnntor(s), and all renewals, modifications and extensions thereof, and also such further sums as may be advanced or loaned by Beneficiary In Oranlor(s), or any of his/her/their successors or assigns, together WW interest thereon at such rate as shall be agreed upon. LPB22/KLC/0606 This map does IIOI urpori to show sll highways roads or easements affeclin said ro ; no IiabiIit is assumtd for variations in dimoRxions and location. 200607100132.002 005302450 'o Protect the setvrity of this Deed of Trust, Grantor(s) coavenant(s) and agree(s)t 1'a keep the property in good condition and tcpall; to permit as wn ate thereof; In complcSe any Uilding, structure or improvement being bunt or about to he bulb thereon; to restore promptly eny uilding, 51ructurc yr le, pyOyu mcnt thcrco , wbich may be damaged or doatroycd; and to comply with dl laws, ofdill ances, regulations, covcnants, cDo&10as and Icat riClint s affecting the properly. .. To pay before dcliuqucnl all lawful hates and assessments uponthc property; to kcep the property rcc and el car of BB other eba,gum, linnr a oncumbtancc5 impairing the accurity of this DecJ of TrusL L To keep a3] buildings now or hereaftcf orccied on She properly descr!bed heroin Calai inunusiv Insured Bgamat loss by Cure or olber htsxards io an amount oat Icss than the lost, debt secured )y this feed of-Trust--A11 policies shad be held.hy.ihe.Bonrfiriary, end be such cnmpanias as the Bencf iciary may approve and have loss payable first to t6c Beaaitclary, eeik iuleresi mom, fad then I the 0rautor(s). The amount call acled under Say iOsttromce policymaybo applied upon any indebtedness hereby secured in such order as the BED cfieiary shall dctetmmo. Such application by rust - 1c. Bcnei'iciary Sba11 not cause drscankinumeet of any procccdiugs to torcdot5 LEIS Deed of pass la the event of fureciaaure, all rights of the Grantor is msur utcc politics then in force siudl pass to She purchaser al lb foreclosure sale. 4. To defengpurportin g to affect lbc security baraof or the rights or powers of EcueficiDry orTrussae, and to payd any action or pr0uvcdinall coats and eapcasoa, including costs of title search and attorneys fees in a reaannable amount, Ia eny Guth nul un or proceeding, and In any suit brought by Bcnuftcisry to foreclose this iced 01 1Yust. 5. To pay ell Costs, fees and expooses in connection with this Dt7rd of Trust, Including the expenses of the Tt"tee incurred in enforcing the obligation accured hereby and Trustee's and attorneys tees actually i-ncurrcd, as provided by statute. 6. Should Grant ar(s) fail 10 peywhon due may taxes, asacssmenls, insurancc premiums, Liens, cncumbranccs or ather churgcs against the property hcreinabove dcscrilitA llcncficiary may pay the rime, and the amount so paid, with interest at the rule set forth in the note secured hcrrby, 5b0 be added to and hoe Pmo a part of the debt secured in this Deed of Trust. IT IS MUTUALLY AGREED THAT; 1, ]n the event any pursiup of !ho property islakcu er damaged in an eminent domain proceeding, the satire amount aFthe award or such part ion as muy be neceasary to fully satisfy the obllgulion secured hereby, ahall be paid to fseacficiary t0 be applied to said obligation. after its eficiary does not ?i Etyto re Accepting p omct t of any sum secured ant when duc ❑f all other sums so secured nruo dais. nlo declare default ( waive its Esh 9 P p p Ym failure to so pay. 3. The True[cc shall rccoovcy all or any parr of the prape rty covered by Ibis Uced of7'rust to the person eatiticd Ihcrelo on written rcqucst of the Grantm(s) and the Bnuoficiary, or upon aalisfaction of the obligation secured and writ tcn rcquczk for rccfmvayaacc made by lb Beneficiary or the person entitled tberet0. A, Upon dalault byOrtwtor[) in the paymcnl of any indchled ncss so our o d hereby 01 in the parfarmancc of any agrc0rnoni cc at mined erem, all sums secured horeby sballimmcdIatcly become die and payable al the oplioa of the Beueficiary. I rucb avont and up onwrittca request of Ecncficiary, shall ticll I b E trust pro perty, in accordance with lbe Deed of Trust A c I of the Slate of Washington 8t pnbll. aucllon to the highest bidder. Any person eRccpt Trustee may bid at Trusito Salt. Trust cc shall apply the procceds of tho sale as to,]ows' (I) to the expense of the aale, including a loss able Trustee's fee and attorneys fcc; (2) to She ob4ution secured by this Deed of Trust; and (3) the surplus, if any, shall be distributed to the persons entitled thereto. 5. Trustee Shall daliver to the purchaser at the sale its deed, wilbonI warranty, which shall convey to thr purchaser the interest in the prupertywhich Grantor(a) had or had the power 10ccove r' at the tima of his/her/their exetulion of thu Uced ofTrusl, and such as he/+he/tbcy may have acqutrad theroaRer. 7c}uiroments of ]aw xndl0f sh sDrtd of Fmrus wthich rec11al1hall be prima facmla a dc0li More Lrtof afuchl t c compliance oweand conclusive tMdcnrc thcrcar in €evor of bona frdc puyckrasrr and cnc6. Thu umbraaces far vokuc b is Trust and by th r D cod or Tr to L Act of the S W shimg[on is not Ian cucku rvc emEdy aEP f[ciary may cause thim Dccd ufTrust to be fa ctclosed os a morlgagc- 7. in the eye aI of the deatb, incupuciry, disability or resigaation OFTrustcc, Bancfciury may appoint in of such A o rr cords of ouaty in which this Dcod of Tru t is re o dad d h g e eceapa yT It I15t cc shall he nest d With tAll powers lire of the ori&al [ruche. She trustee 15 not obligated tP eotlfy tiny party bereto of peading salt under any other Do ad of Trust or Of any aCl3nn l7i pYO coed IA$ ]n whleh [;runty r(r), Trust cc or B c a ciici my shall be party un3c%such action or pfact ediog is brought by the Trustre. LPB22P2/KLC/OW6 'Phis rr,ap duns not purporl to show all higlnvuys rands or eascmcnt5 11 o' ping 9aid rttpertyI no nubility is assumed for variations in dimensions and Igtistion. 200607100132.003 8. This Deed of Trust applies, to inures to the hencfil uf, and is binding not only on the parfics hereto, but his/her/their hrirs, deviates, legatees, hdministratom, executors and assigns. i he term Eenaficiaryshall mean the holder and owner of the note secured hereby, whether or not named as EentCtuttry hor0n, GREGG PRODUOTION ASSOCIATES, INC. ROBERT R. GREGG, PRES. (/ SjATz OFCOUNTY OF COUNOF SNOHOMISH � ON THIS � DAY OF �. 20 0 �, BEFORE ME, THE UNDERSIONUP, A NOTARY PUBLIC IN AhfD FOR THE STATE OF WASHINGTON, DULY COMISSIONHG AND SWORN, PERSONALLY APPEARED ROBERT R. GREGG TO ME MOM TO EE TILL PRESIDENT OF THE CORPORATION THAT EXEG'IT n THE FOREGOXNG INSTRUMWr, AND ACIONOWL WED THE SAID INSTRUMEiWC TO BE THE FREE AND VOL111"ARY ACT AND DEED OF SAID CORPORATION, FOR THE USES AND PURPOSES THEREIN MENTIONED, AND ON OATH STATE THAT HE WAS AUTHORIZED TO EXECUTE THE SAID INSTRUMENT AND THAT THE SEAL AFFIXED THERETO (IF ANY) IS THE CORPORATE SEAL OF SAID CORPORATION. IN WITNESS WHEREOF, I HAVE HEREUNTO SET MY HAND AND AFFIXED BY OFFICIAL SEAL THE DAY AND YEAR FIRST ABOVE WRITTEN. NOTARY SIGN 'i'URE PRINTED NAME: '-�'�'v' ��� f •� NOTARY PUBLIC IN AND FOR THE �TATE OF WASHINGTON, RESIDING AT GLI` f ✓' MY COMMISSION EXPIR •C7.O L15A : ii�'i5 STATE ai ;GTaN IDOMM168', -XPIRES OCTr::; 06 REQUEST FOR FULL RECONVEYANCE DO NOT RECORD. TO BE USED ONLY WHEN NOTE HAS BEEN PAID TO: TRUSTEE The undersigned is the legal owner and holder of the note and all other Indebtedness secured by the withln Deed of Trust. ` Said note, together with all other indebtedness secured by said Peed of Trust, has been fully Paid and satisfied; and you are hereby requested and directed, on payment to you crony sums owing to you under the terms of said Dwd of Trusl, to cancel said note above mentioned, and all other evidences of of indebtedness secured by said Deed of Trust delivemd to you with the said Deed or Trual, and to mcuovey, Mthoutwananty, to the parties designated by the tarms of said Deed of Trust, all the wlale not held by you thereunder. Dated: After Recording, Mail to 1 abeWN—Luke LUKE, CASTEEL & OLSEN, PSC 3400 188'h Street SW, Suite 484 Lynnwood, WA 98037 —sNo�sNcra wira� �s 200607110340.001 5° q SECOND DEED OF TRUST, SECURITY AGREEMENT, INSURED BY AND ASSIGNMENT OF RENTS CHICAGO TITLE (Document Summary) Grantor: GREGG PRODUCTION ASSOCIATES, INC Grantee (Beneyiciary);EDMOND A LEE and BARBARA L LEE Legal Description (abbreviated); see EXHIBIT "A" hereto /0 a5�e'l F * Assessor's Property Tax parcel or Account Number 004342-121-001-00, 004342-121-037-00 ik**fib*t—cps 5—+ LAo lay,; `2-`t� C;kl� 041EAWV)r�Cg •*�*��*«*•***. ,r******«***��+ THIS DEED OF TRUST, SECURITY AGREEMENT, AND ASSIGNMENT OF RENTS ("Deed of Trust") is made and entered into as of July 7, 2006 by and between GREGG PRODUCTION ASSOCIATES, INC, a Washington corporation ("Grantor-Trustor"), whose address is 51 West Dayton Street, Suite 304, Edmonds, WA 98020, LUKE, CASTEEL & OLSEN, PSC, a Washington professional service corporation ("Trustee"), whose address is 3400 188'11 Street SW, Suite 484, Lynnwood, WA 98037, and EDMOND A LEE and BARBARA L LEE, husband and wife (together, "Beneficiary"), whose address is c/o THE HOTEL GROUP, l 10 James Street, Suite 102, Edmonds, WA 98020 TO SECURE THE FULL AND PUNCTUAL PAYMENT, WHETHER AT STATED MATURITY OR ON ACCELERATION OF MATURITY, AND PERFORMANCE WHEN DUE OF THE OBLIGATIONS DESCRIBED BELOW, GRANTOR-TRUSTOR GIVES, GRANTS, REPRESENTS, WARRANTS, COVENANTS, AND AGREES AS FOLLOWS 1 Grant Grantor-Trustor hereby irrevocably bargains, sells, grants, transfers, assigns, and conveys to Trustee, in trust, with power of sale and right of entry, all of Grantor- Trustor's estate, right, title, and interest, now owned or hereafter acquired, in and to the following property, rights and items (the "Property") which Property is not used principally for agricultural or farming purposes, together with all the tenements, hereditaments, and appurtenances now or hereafter thereunto belonging or in any wise appertaining, to have and to hold such Property forever DEED op TRUST - 1 This map does npi purport to show all highways roads or easements affecting said pm rty; na liability is assumed for variations in dimensions and location. 200607110340.002 1 1 Real Propertv The real property located in Snohomish County, Washington, described in EXHIBIT "A", attached hereto and incorporated herein by this reference, now owned or hereafter acquired, including without limitation all easements, agreements, tenements, reversions, rights, remainders, licenses, privileges, imgation and water rights, water stock, timber, crops, oil and gas rights, royalties, minerals and mineral rights, transferable elitltlements-and-development-rights,_hereditaments-and-appurtenances-belongilfc,.nr in any way appertaining thereto, together with all the estate and rights of Grantor-Trustor in and to land lying in streets and roads adjoining the real property (the "Real Property") 12 Improvements All buildings, structures, improvements, fixtures, and articles of property now or at any time hereafter situated upon the Real Property or any part thereof, and all apparatus, appliances, furnaces, boilers, machinery, engines, motors, compressors, dynamos, elevators, fittings, piping, connections, conduits, ducts, equipment, furnishings, and other personal property, except personal property owned by tenants occupying the Property, of every kind and description now or hereafter affixed or attached to each such building, structure, improvement, equipment, or fixture, or otherwise situated upon the Real Propeny, including without limitation heating, cooling, lighting, plumbing, ventilation, air conditioning, refrigeration, cleaning, fire alarm, security and access control systems, and equipment, together with any and all alterations, repairs, replacements thereof, accessions and additions thereto, and any increases therein, added and substituted parts, equipment, accessories, supplies, and improvements; and all proceeds thereof, whether made by Grantor-Trustor or any successor in interest (the "Improvements") 13 Rents and I& sea All rents, issues, income, royalties, receipts, revenues, proceeds, and profits of the Property, subject to the nght, power, and authority herein confcrred to Beneficiary or reserved to Grantor-Trustor to collect and apply the same, all existing and future leases of the Property, including without limitation any extensions, renewals, and subleases, all agreements for use and occupancy of the Property, and all guaranties of tenants' performances under the foregoing, together with the immediate and continuing right to collect and receive all of the rents, issues, income, royalties, receipts, revenues, proceeds, profits, and other income of any nature now or hereafter due during any redemption period under the foregoing, all proceeds payable under any policy of insurance covering loss of rents or destruction or damage to the Property, all proceeds derived from the termination or rejection of any lease in a bankruptcy or other insolvency proceeding, and all proceeds from any rights and claims of any kind that Grantor-Trustor may have against any tenant under any lease see Section 23 herein) 14 Contracts All permits, licenses, and franchises with respect to the Property, all plans, specifications, drawings, contracts, warranties, and agreements required or used in connection with the ownership or operation of the Property, all compensation, awards, damages, rights of action, and proceeds, including without limitation the proceeds of any policies Of insurance, arising out of or relating to a taking or damaging of the Property by reason of any DEED OF TRUST - 2 This ma dries Tip[ urpott to show all highways roads or easements affecting said pro n ; no liability is assumed for variations in dimenslons and location. 200607110340.003 public or private improvement, condemnation proceeding, or fire, earthquake, or other casualty, and return premiums or other payments upon any insurance at any time provided for the benefit of Beneficiary and refunds or rebates of taxes or assessments on the Property 1 5 Proceeds All additions, accessions, replacements, substitutions, proceeds, and products of the foregoing 2 Obligations Secured This Deed of Trust is given to secure the following 21 Note Obligations Payment of the sum of Nine Hundred Thousand and no1100 Dollars ($900,000 00) with interest thereon according to the terms of a secured note of even date herewith, payable to Beneficiary or order and made by Grantor-Trustor (the "Note"), including without limitation all replacements, renewals, modifications, or extensions thereof, together with interest, fees, and late charges thereon or thereunder 22 Other Obhggtions Performance of each obligation of Grantor-Trustor incorporated by reference or contained herein 23 Other Expenses Payment of any costs and expenses incurred or advances made by Beneficiary pursuant to this Deed of Trust or any other documents executed by Grantor- Trustor evidencing, securing, or relating to the Note and any other document or instrument securing the payment of the indebtedness secured hereby 24 Additional Loans Payment of any further sums loaned by Beneficiary to Grantor-Trustor, or any of Grantor-Trustor's successors or assigns, if the note or other writing evidencing the further loan states that it is secured by this Deed of Trust 2 5 Other Agreements Performance of each agreement, term, and condition set forth or incorporated by reference herein or in any other loan documents, pursuant to which this Deed of Trust is executed, including any other loan document of even date herewith 3 SecuntXAgreement To the extent any portion of the Property is, or is construed to be, personal property, this Deed of Trust shall constitute a security agreement between Grantor-Trustor, as debtor, and Beneficiary, as secured party, under the Uniform Commercial Code of the state in which the Property is located and any other applicable law The grant of a security interest hereunder shall not be construed to derogate from or impair the lien or provisions of or rights of Beneficiary under this Deed of Trust with respect to any of the Property hereunder which is real property Grantor-Trustor grants a security interest to Beneficiary in any of the Property or rents that are personal property and also grants a security interest in the following property now owned or hereafter acquired by Grantor-Trustor (the "Collateral") 3 1 Personal Property All furniture, furnishings, appliances, machinery, equipment, and other personal property, except personal property owned by tenants occupying the Property, of any kind now or hereafter located on the Property, used or intended to be used on DEED of TRUST - 3 niix map does not urport to show all highways roads or easements 0=11ng said property; no liability is assumed for mriatians in d'rmcnsions and location. 200607110340.004 the Property wherever actually located, and all nghts of Grantor-Trustor as lessee of any personal property described above 32 Awards All unearned premiums under insurance policies now or hereafter obtained by Grantor-Trustor, all proceeds of the conversion, voluntary or involuntary, of any of the Property or the Collateral into cash or other liquidated claims, all refunds or rebates nf_taxes or assesstnentarLth4pe17,y9>�Co11aISLF11,_a1lJCtgklisaCn m respect of the Property or Collateral, and all judgments, damages, awards, settlements, and compensation (including interest thereon) heretofore or hereafter made to the present and all subsequent owners of the Property or Collateral and any other property or rights conveyed or encumbered hereby for any injury to or decrease in the value thereof for any reason, or by any governmental or other lawful authority for the taking by eminent domain, condemnation, or otherwise of all or any part thereof 33 Plans All plans, specifications, contracts, agreements, and purchase orders pertaining or incidental to the design or construction of any improvements, Grantor- Trustor's rights under any payment, performance, or other bond in connection with construction of improvements, and all construction materials, supplies, and equipment delivered to the Property or intended to be used in connection with the construction of improvements 34 Contracts All contracts and rights pertaining to or affecting the Property, including without limitation all options or contracts to acquire other property for use in connection with the operation or development of the Property, deposits, bank accounts, contract rights, accounts, general intangibles, trademarks, trade names and symbols, permits, licenses, franchises, and certificates 35 Loan Commitments All commitments or agreements, now or hereafter in existence, intended by the obligor thereof to provide Grantor-Trustor with proceeds to satisfy the Note or improve the Property and the right to receive all proceeds due under such commitments or agreements including refundable deposits and fees 36 Books and Records All books, records, surveys, reports, and other documents related to the Property or Collateral 37 Inventory All inventory pertaining to or affecting the Property 3 8 Proceeds All additions, accessions, replacements, substitutions, proceeds, and products of the foregoing 4 Payment of Oblig-ations Grantor-Trustor shall pay promptly the pnncipal of, and interest on, the indebtedness evidenced by the Note in the manner therein provided, which must be paid in full no later than March 31, 2007, or sooner pursuant to the terms of the Note Title Grantor-Trustor holds title to an indefeasible estate in fee simple in the DEED OF TRUST - 4 This mnp doas not purm rt to show all h ighways rands or easements airectin said pro Puny. no liability is assumed for variations in dimcnsium and location. 200607110340.005 Real Property described herein and good and absolute title to all of the Collateral and other property which does not constitute real property Grantor-Trustor will keep the Property and the Collateral free from statutory, governmental, and other liens of any kind Other than as provided herein or as approved in writing by Beneficiary, there arc no liens or encumbrances against or upon the same and none superior to this Deed of Trust will be created or suffered to be created by Grantor -Truster during the life of this Deed of Trust Grantor-Trustor has .full right, power, and as�t_h rrit to make this Deed of Trust and will forever warrant and defend the Property and all Collateral unto Beneficiary and Beneficiary's successors and assigns against the claims of all persons or parties whomsoever 6 ltescrvc fflr'1 axcs_and insurance Premiums If Beneficiary so requests, Grantor - Truster shall pay to Beneficiary, in addition to the regular installments of principal and/or interest due under the terms of the Note, monthly until the Note is paid in full a sum equal to one -twelfth (1/12) of the annual taxes, assessments, and other impositions next due on the Property, as estimated by Beneficiary and sufficient to allow payment at least 30 days before the same become due, and a sum equal to one -twelfth (1112) of the annual premiums that will next become due and payable on policies of fire, flood, rental value, and other insurance covering the Property and required under the terms hereof or of any other loan documents as estimated by Beneficiary and sufficient to allow payment at least 30 days before the same become due All such payments described in this Section 5 shall be held by Beneficiary in trust without any obligation arising for the payment of interest thereon to Grantor-Trustor In the event Grantor-Trustor is not in default hereunder, Beneficiary shall apply such payment to all taxes, assessments, and other impositions and premiums next due In the event of default by Grantor - Truster under this Deed of Trust, Beneficiary may apply any such payments field by Beneficiary to the payment of any indebtedness secured by this Daed of Trust in such manner as Beneficiary may elect 7 Maintenance Grantor-Trustor shall protect and preserve the Property and the Collateral and maintain them in good condition and repair Grantor-Trustor shall not alter, remove, or demolish any improvements thereon or thereto, without Beneficiary's prior written consent Grantor-Trustor shall complete or restore promptly and in good and workmanlike manner any improvement which may be constructed, damaged, or destroyed thereon, and shall pay when due all costs incurred therefor Grantor-Trustor shall not commit or permit waste of the Property or the Collateral Grantor-Trustor shall cultivate, irrigate, fertilize, fumigate, prune, prevent freezing, and do all other acts which from the character and use of the Property may be reasonably proper or necessary, the specific enumerations herein not excluding the general Grantor-Trustor shall comply with all applicable laws, ordinances, regulations, covenants, Conditions, and restnctions affecting the Property and not commit, suf€er, or permit any act upon or concerning the Property in violation of law Beneficiary may recover as damages for any breach of this covenant, the amount 11 would cost to put the Property in the condition called for herein, without the necessity of Beneficiary proving impairment of security Insurance DEED of TRUST - 5 200607110340.006 8 1 Casualty insurance Grantor-Trustor shall provide and maintain, through a domestic or foreign company qualified to do business in the state in which the Property is located, insurance, including such endorsements as Beneficiary may request or require, against loss by fire (extended coverage), earthquake, flood, vandalism, malicious mischief, loss of rents and other hazards, casualties, and contingencies as may be reasonably required from time to time by Beneficiary to such amounts and for such periods as may be reasonably required by .Benellciay.., witli_B.eneficlary-natt] d—m 1QSS_)Zyer &s Beneficiary's interest may appear, and shall deliver all policies to Beneficiary, which delivery shall constitute an assignment to Beneficiary of all return premiums 82 Liability Insurance Comprehensive public liability insurance on an "occurrence basis" insuring against claims for bodily injury, death, or property damage occurring in, on, or about the Property and adjoining streets, sidewalks, and passageways arising out of or in any way connected with the use, occupancy, possession, ownership, or condition (whether or not now existing) of the same The limits of such coverage shall be no less than $1,000,000 00 per occurrence Such policy shall insure performance of Grantor-Trustor's indemnity obligations hereunder and shall name Beneficiary as an additional insured, providing coverage for Beneficiary regardless of whether the asserted claim is also asserted against Beneficiary 83 Worker's Compensation Grantor-Trustor shall maintain worker's compensation insurance as required by state law 84 General Requirements and Use of Proceeds All insurance shall be carried in companies approved by Beneficiary, shall be subject to the approval of Beneficiary as to amount, content, form, and expiration date, shall contain a non-contributory standard mortgagee clause and tender's loss payable endorsement or the equivalent thereof in favor of Beneficiary, and shall provide that the proceeds thereof shall be payable to Beneficiary to the extent of Beneficiary's interest All policies required hereunder shall be written for not less than one year with premiums prepaid and shall contain no co-insurance provisions, a waiver of subrogation provision, a provision naming Beneficiary as an additional insured or loss payee, as appropriate, a primary tnsurance provision without nght of contribution from Beneficiary, and a cross -liability provision In the event of loss or change in ownership or occupancy, Grantor-Trustor shall give immediate notice thereof to Beneficiary Grantor-Trustor hereby authorizes Beneficiary, at Beneficiary's option, to collect, adjust, and compromise any losses under any of the insurance aforesaid The amount collected under any such insurance policy may be applied by Beneficiary upon the indebtedness and obligations secured hereby and in such order as Beneficiary may determine or, at the option of Beneficiary, the entire amount so collected, or any part thereof, may be released to Grantor-Trustor Such application or release shall not cure or waive any default, or notice of default hereunder, or invalidate any act done pursuant to such notice Nothing herein contained shall excuse Grantor-Trustor from repairing or maintaining the Property or restoring all damage or destruction to the same regardless of the existence, payment, or adequacy of insurance proceeds Defense of Security Subject to Beneficiary's right to demand "reserve" payments DEED OF TRUST - 6 This ma Boas not purport to show ail highways roads or easements affecting said pro rty; no 1 iaWity is assumed ror variations in dimensions and location. 200607110340,007 as set forth in Section 5 herein, Grantor-Trustor shall appear in and defend any action or proceeding purporting to affect the security hereof or the rights or powers of Beneficiary or Trustee and shall pay all costs and expenses, including cost of evidence of title and actual attorneys' fees, in any such action or proceeding in which Beneficiary or Trustee may appear 10 Pa ent of Taxes an L n Grantor -Trustee shall pay when due and before .delinquency_all.re,nts,_taxes,aad. assessments ¢rid all encumbrances, charges, and liens or any installment thereof, with interest, that may now or hereafter be levied, assessed, or claimed against or may affect the Property or any part thereof which at any time appear to be prior or superior to this Deed of Trust and for which provision for payment has not been made from reserves required therefor hereunder Upon request, Grantor-Trustor shall provide to Beneficiary official receipts showing payment in full of the aforesaid Upon default under this Section 9, Beneficiary may, at Beneficiary's option, pay any such sums without waiver of any other right of Beneficiary by reason of such default by Grantor-Trustor, and without obligation or liability by Beneficiary to Grantor-Trustor for any failure to exercise any such option If Grantor-Trustor is contesting, in good faith, the amount or validity of any tax, Grantor-Trustor may do so by lawful means, provided that Beneficiary receives prior notice of such contest, Beneficiary's interest in the Property is not Jeopardized, in Beneficiary's Judgment, Grantor-Trustor has posted security satisfactory to Beneficiary, and Grantor-Trustor promptly pays all amounts ultimately determined to be payable l l IIsng iciarv's Rieht to Protect ecunt Should Grantor-Trustor fail to make any payment or to do any act as herein provided, then Beneficiary or Trustee, but without obligation to do so and without notice to or demand upon Grantor-Trustor and without releasing Grantor- Trustor From any obligation hereof, may make or do the same in such manner and to such extent as either may deem necessary to protect the security hereof, Beneficiary or Trustee being authorized to enter upon the Property for such purposes, commence, appear in, and defend any action or proceeding purp❑rung to affect the secunty hereof or the rights or powers of Beneficiary or Trustee, pay, purchase, contest, or compromises any encumbrance, charge, or lied which in the Judgment of either appears to be superior hereto, and, in exercising any such powers, incur any liability and expand whatever amounts in Beneficiary's absolute discretion it may deem necessary therefor, including cost of evidence of title and employment of counsel Grantor-Trustor covenants and agrees to pay immediately and without demand all sums so expended by Beneficiary or Trustee with all costs, fees, and expenses relating to this need of Trust and the Property secured hereby, with Interest from the date of expenditure at the rate specified in the Note, which sums are secured by this Deed of Trust 12 Repa ment of enef iar I Expendiwres Grantor-Trustor shall pay immediately, upon written notice to Grantor-Trustor, all sums expended hereunder by Beneficiary or Trustee, with interest from the date of expenditure at the rate provided in the Note, and the repayment thereof shall be secured hereby Failure to repay any such expenditure with interest thereon within 30 days of the mailing of notice thereof shall constitute an event of default hereunder, at Beneficiary's option DEED OF TRUST - 7 200607110340.008 13 Sale Transfer, or Encumbrance of Property If Grantor-Trustor or any successor in interest to the Property should, without the prior written consent of Beneficiary, which consent may be withheld at Beneficiary's sole discretion, sell, convey, transfer, encumber, or alienate the Property, any part thereof, or any interest therein or be divested of Grantor-Trustor's title or any interest therein in any manner, whether voluntary or involuntary, or if in the case Grantor-Trustor, Grantor-Trustor's successors or assigns is a corporation or partnership and Grantorsrustar.'s_principal_shareholders or_partners, or-an_y—one of them should, without the pnor written consent of Beneficiary, which consent shall not be unreasonably withheld, sell, convey, transfer, encumber, pledge, or alienate a substantial portion of their shares in the corporation or interest in the partnership, either voluntarily or involuntarily, then in recognition of the reliance by Beneficiary on the ownership and management of the Property by Grantor-Trustor which is a material inducement to Beneficiary to extend credit to Grantor-Trustor and in recognition of the increased risk to Beneficiary upon the conveyance of the Property, shares, or interest, as the case may be, by Grantor-Trustor, Grantor-Trustor's principal shareholders or partners, Beneficiary, at Beneficiary's sole option, shall have the right to declare all sums secured hereby forthwith due and payable, or at Beneficiary's sole option, Beneficiary may increase the interest rate of the Note by an amount then to be determined by Beneficiary to compensate Beneficiary for Beneficiary's increased risk . The following shall not be deemed to constitute a sale, transfer, or encumbrance for purposes hereof (a) creation of a purchase money security interest in items which may become affixed or attached to the Property, (b) a transfer by devise, descent, or operation of law upon the death of a joint tenant, if any, and (c) the grant of any leasehold interest of not more than five years, including any extension or renewal options, which does not involve or contain any purchase rights, options, or obligations in either the instrument granting the leasehold interest or any other agreement In addition, prior to the passage of title to or control of or an interest in the Property, Grantor-Trustor shall give not less than 30 days' pnor written notice to Beneficiary of any such sale, transfer, or encumbrance and deliver such information concerning the financial capability and experience of the party acquiring such title, control, or interest, as Beneficiary may in Beneficiary's discretion require Waiver of any right granted to Beneficiary herein as to one transaction, event, or occurrence shall not be deemed to be a waiver of right as to any subsequent transaction, event, or occurrence 14 Remedies In addition to any other rights and remedies provided herein, in the Note, and in any document evidencing or securing the obligations secured hereby, or available at law or in equity, Beneficiary shall have the following rights and remedies upon and after any event of default 141 Acceleration Beneficiary, by written notice given to Grantor-Trustor, may declare the entire principal of the Note then outstanding, and all accrued and unpaid interest thereon, and all other obligations of Grantor-Tiustor to Beneficiary related to any obligation secured hereby (including any prepayment penalty due under the Note upon acceleration thereof), to be due and payable immediately, anything in the Note or in this Deed of Trust to the contrary notwithstanding 142 Possession and Receiver Trustee or Beneficiary personally or by its DEED OF TRUST - 8 This map doers not purport to show all hi hways roads or easements arfaeiing said pmpeny; no l iabi14 is assumed ror Variations in dimensions and Iocatm. I . - - 200607110340.009 agents or attorneys, or through a duly appointed receiver, may, at Beneficiary's sole option, enter into and upon all or any part of the Property, and each and every part thereof, and may exclude Grantor-Trustor and Grantor-Trustor's agents wholly therefrom, and, having and holding the same, may use, operate, manage, improve, and control the Property and conduct the business thereof, and Trustee or Beneficiary shall be entitled to collect and receive all earnings, revenues, rents, issues, profits, and income of the Property and every part thereof, whether or not Beneficiary, Trustee, or a receiver is in possession of the Property Beneficiary shall be entitled to the appointment of a receiver as a matter of right, whether or not the apparent value of the Property exceeds the indebtedness secured hereby, and any receiver appointed may serve without bond Employment by Beneficiary shall not disqualify a person from serving as a receiver The exercise of any right under this Section shall not be deemed an election of remedies or a "pending action" so as to preclude the exercise of any other right or remedy Upon taking possession of all or any part of the Property, the receiver may a Use, operate, manage, control, and conduct the business of the Property and make expenditures for all maintenance and improvements as in the receiver's judgment are proper, b Collect all rents, revenues, income, issues, and profits from the Property and apply such sums to the expenses of use, operation, and management,, and c Complete any construction in progress and in that connection pay bills, borrow funds, employ contractors, and make any changes in plans or specifications as the receiver deems appropriate If the revenues produced by the Property are insufficient to pay expenses, the receiver may borrow, from Beneficiary or otherwise, such sums as the receiver deems necessary for the purposes stated herein and repayment of such sums shall be secured by the lien hereof The amounts borrowed from or advanced by Beneficiary shall bear interest at the rate set forth in the Note from the date of expenditure until repaid, and such amounts and interest shall be an indebtedness of Grantor-Trustor secured hereby 143 Uniform Commercial Code Beneficiary shall have all of the remedies of a secured party under the Uniform Commercial Code of the state in which the Property is located and any other applicable law To the extent permitted bylaw, Grantor-Trustor expressly waives any notice of sale or other disposition and any other right or remedy of Beneficiary existing after an event of default hereunder, and to the extent any such notice is required and cannot be waived, Grantor-Trustor agrees that as it relates to this Section, only if such notice is marked, postage prepaid, to Grantor-Trustor at the above address as least five days before the time of tht sale or disposition, such notice shall be deemed reasonable and shall fully satisfy any requirement for giving of said notice 144 Sale Trustee may, and upon the written request of Beneficiary shall, and Beneficiary may to the extent permitted by law, with or without entry, personally or by DEED of TRUST - 9 This map darn not pu art to show all highw¢ys roads ¢r easermnis arfWiing said pro rty; no liability is assumed for variations in dimcnsiaru and laeation. 200607110340.010 Beneficiary's agents or attorneys, insofar as applicable a Sell the Property and otherwise exercise the power of sale granted herein in the manner provided by the laws of the state in which the Property is located, b Institute proceedings for the complete or partial foreclosure of this tt�ae in the manner Dvided by the laws of the state in which the Property is located, and/or c Apply to any court of competent jurisdiction for the appointment of a receiver or receivers for the Property to operate the same and collect all the earnings, revenues, rents. issues, profits, and income therefrom 145 Proceeds In the event of any judicial or nonjudicial foreclosure sale made under or by virtue of this Section, right to the entire principal of and interest on the Note, if not previously due and payable, anything in the Note or in this Deed of Trust to the contrary notwithstanding The purchase money, proceeds, or profits of any sale made under or by virtue of this Section, together any sums which then may be held by Trustee or Beneficiary under this Deed of Trust, whether under the provisions of this Section or otherwise, shall be applted in the manner provided by Washington State law 146 Bid Upon any judicial or nonjudicial sale made under or by virtue of this Section, Beneficiary may bid for and acquire the Property or any part thereof, and in lieu of paying cash therefor, may make settlement for the purchase price by crediting upon the indebtedness of Grantor-Trustor secured by this Deed of Trust the net sales price after deducting therefrom the expenses of the sale and the cost of the action and any other sums which Beneficiary is authorized to deduct under this Deed of Trust 147 Tenancy at Will In the event Grantor-Trustor remains in possession of the Property or any part thereof after the same is sold as provided above or after Beneficiary otherwise becomes entitled to possession of the same, Grantor-Trustor shall become a tenant at will of Beneficiary or the purchaser of the Property and shall pay, while in possession, a reasonable rental for use of the Prop", and shall be subject to the landlord -tenant laws of the State of Washington 148 Remedies Not Exclusive No remedy granted herein is intended to be exclusive of any other remedy provided herein or in law or equity, but each shall be cumulative Each such remedy may be exercised singly, collectively, or senatim, and as often as may be deemed expedient by Trustee or Beneficiary If there exists additional security for the performance of the obligations secured hereby, Beneficiary, at Beneficiary's sole option and without limiting or affecting any rights or remedies hereunder, may exercise any of the rights or remedies hereunder, may exercise any of the rights and remedies to which Beneficiary may be entitled hereunder either concurrently with whatever or other rights Beneficiary may have in connection with such other secunty or in such order as Beneficiary may deterimne DEED OF TRUST - 10 This ma dots not ilmrt in showall highways roads or easements affeeiing said roperiy; no liability is assumed for variations in dimensions and location. 200607110340.011 15 Maximum Iriteresi Rate If, under any circumstances whatever, fulfillment of any provision of this Deed of Trust, the Note which it secures, or any other instrument securing or evidencing this loan shall transcend the limit or validity prescribed by the usury statute or any other applicable law, then inso facto the obligation to be fulfilled shall be reduced to the limit of such validity so that in no event shall any exaction be possible under this Deed of Trust, the Note which it secures, or such other instrument that is in excess of the limit of Such validity, but such obligation shall be fulfilled to the limit of such validity 16 Books and Records Grantor-Trustor will keep and maintain or cause to be kept and maintained at the property or Grantor-Trustor's address, as set forth herein, proper and accurate books, records, and accounts reflecting all items of income and expenses with respect to the operation of the property and in connection with any services, equipment, or furnishings provided with respect to the operation of the Property Benefrctary or Beneficiary's representatives shall have the right to inspect such books, records, and accounts during normal business hours upon reasonable request, and to make copies or extracts thereof. 17 Financia} Statements and Credi[ Reports Upon request, Grantor-Trustor shall furnish Beneficiary with copies of a current Financial Statement for Grantor-Trustor, certified by Grantor-Trustor as being an accurate, true, and complete statement of Grantor-Trustor and, in addition, Grantor-Trustor shall furnish Beneficiary, at Grantor-Trustor's request, with copies of current credit reports for Grantor-Trustor Such reports and statements shall be in form and content satisfactory to Beneficiary 18 ]ns ct f 1'r a Grantor-Trustor shall allow Beneficiary and Beneficiary's representatives to inspect the Property and the Collateral at any reasonable time and from time to time 19 Late Charges In the event that payment in full is not paid when due, on either the principal amount or related interest, fees or costs, Grantor-Trustor agrees to pay a monthly late penalty charge, in addition to default interest, as specified in the Secured Note 20 Cnndemnatio Grantor-Trustor, immediately upon obtaining knowledge of any contemplated condemnation of the Property or any portion thereof, or of the institution of any proceeding for the condemnation of the Property or any portion thereof, shall notify Beneficiary of the pendency thereof Grantor-Trustor hereby assigns, transfers, and sets over unto Beneficiary all compensation, rights of action, the entire proceeds of any award, and any claim for damages for any of the Property taken or damaged under the power of eminent domain or by condemnation or by sale in lieu thereof, excluding the portion of any award made to tenants in accordance with the leases thereof Beneficiary may, at Beneficiary's option, commence, appear in, and prosecute, to Beneficiary's own name, any action or proceeding, or make any compromise or settlement, in connection with such condemnation, taking under the power of eminent domain, or sale in lieu thereof After deducting therefrom all of Beneficiary's expenses, including attorneys' fees, the net proceeds of the award which have been paid to Beneficiary shall be applied to the payment of the indebtedness secured hereby, or, at the election of Beneficiary, in DEED OF TRUST - 11 200607110340.012 Beneficiary's sole and absolute discretion, may be made available to Grantor-Trustor for restoration or rebuilding of the Property if such restoration is feasible in such a way as to restore the Property to the same use and at least the condition and quality as the Property existed prior to the condemnation, the value of which shall exceed the sum of the then unpaid balance of the debt secured hereby To the extent that such proceeds are paid to Beneficiary but are either not made available to Grantor-Trustor under the preceding sentence, or are not used by Grantor-Trustor for such purpose within 180 days, such proceeds shall be applied to the indebtedness and obligations secured hereby in such manner as Beneficiary may determine rnntor- rustor agrees to execute such further assignments of any compensation, award, damages, rights of action, and proceeds, as Beneficiary may require 21 Waiver of Default By accepting payment of any such secured hereby after its due date, Beneficiary does not waive Beneficiary's right either is require prompt payment when due of all other sums so secured or to declare default for failure to so pay The waiver of Beneficiary or Grantor-Trustor of the breach of any covenant may not be construed as waiving the breach of any other covenant or a subsequent breach of the same 22 R4cpnve ante Plattin asc ncnts Etc At any time or from time to time, without liability therefor and without notice, upon written request of Beneficiary and presentation of this Deed of Trust and said Note for endorsement, and without affecting the persariM liability of any person for payment of the indebtedness secured hereby, Trustee may reconvey all or any part of said Property, consent to the making of any map or plat thereof, join in granting any emernent thereon, or join iri any extension agreement or any agreement subordinating the lien or charge hereof 23 Reconve ance A€ter Pa ment Upon written request of Beneficiary stating that all sums secured hereby have been paid, and upon surrender of this Deed of Trust and said Note to Trustee for cancellation and retention and upon payment of Trustee's fees, Trustee shall reconvey, without warranty, the Property then held lereunder The recitals in any reconveyance executed under this Deed of Trust of any matters or facts shall be conclusive proof of the truthfulness thereof The grantee in such reconveyance may be described as "the person, persons, or entity legally entitled thereto " 24 Assianment_of Rents As additional security, Grantor-Tnistor hereby absolutely and unconditionally assigns, transfers and confers to Beneficiary the right, power, and authority, during the conilnuance of this Deed of Trust, to collect the rents, issues, and profits of the Property, regardless of to whom said payments are payable, reserving unto Grantor-Trustor the right, prior to any default by Grantor= i'ruster in payment of any indebtedness secured hereby or in performance of any agreement hereunder, to collect and retain such rents, issues, and profits as they become due and payable Upon any such default, Benefictary may at any time without notice, either in person, by agent, or by a receiver to be appointed by a court, and without regard to the adequacy of any security for the indebtedness hereby secured, enter upon and take possession of said Property or any part thereof, and/or in Benef=ary's own name sue for or otherwise collect such rents, issues, and profits, including those past due and unpaid, and apply DEED OF TRUST - 12 200607110340.013 the same, less costs and expenses of operation and collection, including actual attorneys' fees, upon any indebtedness secured hereby, and in such order as Beneficiary may determine Failure or discontinuance of Beneficiary at any time, or from time to time, to collect any such amounts shall not in any manner affect the subsequent enforcement by Beneficiary of the right, power, and authority to collect the same The entering upon and taking possession of said Property, and/or the collection of such rents, issues, and profits, and the application thereof as aforesaid shall not cure or waive any default or notice of default hereunder or invalidate any act done pursuant to such notice Grantor-Trustor shall not collect rent from any tenant- or any reason more than of e month in advance of the accrual thereof unless approved in writing by Beneficiary Nothing contained herein, nor the exercise of the right by Beneficiary to collect, shall be or be construed to be an affirmation by Beneficiary of any tenancy, lease, or option, nor an assumption of liability under, nor a subordination of the lien or charge of this Deed of Trust to any such tenancy, lease, or option Grantor-Trustor shall not enter into any leases of the Property or any portion thereof, except on the terms and conditions first approved by Beneficiary in writing 25 Default and Foreclosure Upon default by Grantor-Trustor in payment of any obligation secured hereby or in performance of any agreement hereunder or upon default in the performance of any oblibatioas under the Note or related agreements executed in connection therewith, or if Grantor-Trustor should default in any obligation or condition of any lien, encumbrance, contract, or other instrument affecting the Property and fail timely to cure such default, all sums secured hereby shall become due and payable at the option of Beneficiary in accordance with the terms of the Note In such event, Beneficiary may execute or cause Trustee to execute a written notice of such event and of Beneficiaiy's election to exercise Beneficiary's remedies hereunder Any such notice and exercise of remedies in connection therewith and any other act or procedure related or incidental thereto shall be in conformity with the applicable laws of the state in which the Property is located 26 Right of Subrogation Trustee and Beneficiary are subrogated to the rights of all beneficiaries, inortgagces, lienholders, and owners directly or indirectly paid off or satisfied In whole or in part by the proceeds of the loan hereby secured, regardless of whether such persons upon payment assigned or released of record their rights 27 Statement of Amaunt 9—w-11-1Z Within ten (10) days of written request, Grantor- Trustor shall furnish an acknowledged statement of the amount due on the Note secured by this Deed of Trust, and shall state whether any offsets or defenses exist against such debt 28 ApDointmentofTmstee Beneficiary concurs in the appointment of the above - identified Trustee Beneficiary may, from time to time, as provided by statute, unilaterally appoint another trustee in power and stead of Tnistee named herein, and thereupon, Trustee herein named shall be discharged and the trustee so appointed shall be substituted as Trustee hereunder with the same effect as if originally named Trustee herein 29 Prepayment Penalty_ The Note secured hereby provides that there is no premium or penalty for prepayment of any indebtedness secured hereby DEED of TRUST - 13 phis map does not pur}wri la slow all Ighways roads or easements affei;ting snits I re eriy; Eto lia6ilky is assumed !flr varialions ui dimunsians and location. 200607110340.014 30 Ri fit to Release Collateral Eic In the event Beneficiary (a) releases any part of the security described herein or any persons liable for any indebtedness secured hereby, (b) releases any part of any other collateral or security for the Note, (e) grants an extension of time on any payments of the indebtedness secured hereby (d) takes other or additional security for the payment thereof, or (e) waives or fails to exercise any right granted herein or in said Note, said act or omission shall not release Grantor-Trustor, subsequent purchasers of the Property or any Dan thereof or makers or sureties of this Deed of Trust or of said Note, under any covenant of this Deed of Trust or of the Note, nor preclude the holder of the Note from exercising any nght, power, or privilege herein granted or intended to be granted in the event of any other default then made or any subsequent default If Grantor-Trustor shall grant any lien, mortgage, or deed of trust on the Property junior to this Deed of Trust, such junior lien, mortgage, or deed of trust shall be subject to all such renewals and extensions, modifications, releases, increases, changes, or exchanges, without the consent of such junior Isenholder, mortgage holder, or deed of trust beneficiary, and without obligation to give notice of any kind thereto 31 Subordination of the Leases At any time, and from time to time, without liability therefor, upon written request by Beneficiary and presentation for endorsement of this Deed of Trust and the Note secured hereby, Trustee may execute a subordination agreement whereby this Deed of Trust shall become subject and subordinate, in whole or in part (but not with respect to the priority of entitlement to insurance proceeds or any award in condemnation) to any and all leases of all or any part of the Property, upon recording thereof in the county in which the Property is situated 32 Execution of Further Instruments Within 15 days of written request, Grantor- Trustor shall execute, acknowledge, and deliver to Beneficiary a security agreement or other similar security instrument, in form satisfactory to Beneficiary, covering all property of any kind whatsoever owned `by Grantor-Trustor which, in the reasonable opinion of Beneficiary, is essential to the operation of the Property described herein and concerning which there may be any doubt whether the title to same has been conveyed by and included within this Deed of Trust under the laws of the state in which the Property is located, and will further execute, acknowledge, and deliver any financing statement, affidavit, continuation statement, or certificate or other document as Beneficiary may reasonably request in order to perfect, preserve, maintain, continue, and extend the security interest thereunder and the priority of such security instrument Grantor-Trustor further agrees to pay to Beneftctary on demand all reaswiable costs and expenses incurred by Beneficiary in connection with the preparation, execution, and filing of any su:h document 33 Marshalling of Assets Beneficiary may take or release other securities, release any party primarily or secondarily liable for any indebtedness secured hereby, grant extensions, renewals, and indulgences with respect to such indebtedness, and enforce or apply any other security or proceeds to the indebtedness secured hereby either simultaneously or in any other Beneficiary may so choose In the event of a sale under this Deed of Trust, the Property, real, personal, and mixed, may be sold in one parcel DEED OF TRUST - 14 This map dacs nus purport to shuw all highways roads or easements nrTeC[ing sand re city; nn l ability Es assumed for variations in dimctasians and lunon. yr r. .SN.70 -- - — 200607110340.016 34 Use of Property The Property which is the subject of this Deed of Trust is not used principally or primarily for agricultural or farming purposes 35 Notices All notices to be given hereunder shall be deemed to have been given when given in writing by depositing the same in the United States marl, postage prepaid, certified mail, return receipt requested, and addressed to the party at the respective mailing address as herein set forth, and shall be deemed effective 24 hours thereafter unless otherwise specified herein It is understood that each party may change the address to wh0i notices may be sent y giving written notice of such change to the other party hereto in the manner herein provided 36 Severance Nothing contained herein nor any transaction related thereto shall be construed or shall so operate eithef presently or prospectively to require Grantor-Trustor or permit Trustee to do any act contrary to law, and if any clause or provision shall otherwise so operate, then such offensive clause or provision shall be null and void as though not herein contained, and the remainder of this Deed of Trust shall remain operative and in full force and effect 37 Time Time is of the essence of this Deed of Trust and each and all of its provisions in which performance is a factor 38 Taxation In the event any law is passed after the date of this Deed of Trust, deducting from the value of real property for purposes of taxation any lien thereon or changing in any way the laws for the taxation of deeds of trust or debts secured by deeds of trust for state or local purpose or the manner of the collection of any taxes, and imposing a tax, either directly or indirectly, on this Deed of Trust or the Note, the holder of this Heed of Trust and of the debt which it secures shall have the right to declare the principal sum and interest due on a date to be specified by not less than 30 days' written notice to be given to Grantor-Trustor by Beneficiary, provided, however, that such election shall be ineffective if Grantor-Trustor is permitted by law to repay the whole of such tax in addition to all other payments required hereunder and if Grantor-Trusior, prior to such specified date, does pay such tax and agrees to pay any such tax when thereafter levied or assessed against the Property, and such agreement shall constitute a modification of this Deed of Trust 39 Environmental Laws For the purposes hereof, the phrase "Hazardous Materials" shall mean and include any oil, hazardous substance, pollutant, contaminant, hazardous waste, hazardous material, dangerous waste, extremely hazardous waste, toxic waste, asbestos, or air pollution, as any such term or similar term as now or hereafter defined, used or understood in or under any federal, state, county, city, or tither governmental statute, rule, ordinance, order, or regulation which relates in any way to the protection of the environment ("Environmental Laws") Grantor-Trustor warrants and covenants to the best of Grantor-Trustor's knowledge as follows There are no Hazardous Materials in, upon, or buried on or beneath the Real Property or the improvements thereof, nor have any Hazardous Materials been emitted or released therefrom in violation of any Environmental Laws In no event shall Grantor-Trustor bring onto, store upon, bury, use upon, emit, or release form, nor allow to be brought onto, stored upon, buried, DEED OF TRUST - 15 200607110340.016 used upon, emitted, or released from the Real Property or the improvements thereon, any Hazardous Materials in violation of any Environmental Laws There are no underground storage tanks located on the Real Property, including any storage tanks which contain or previously contained any Hazardous Matenals Grantor-Trustor shall not cause or permit any such tanks to be installed Grantor-Trustor shall indemnify and hold Beneficiary, Beneficiary's officers, directors, agents, and the Property harmless from any claim, cost, damage, expense, including attorneys' fees, monitoring costs, response costs, and penalties with respect to any breach or alleged breach of these warranties and covenants These warranties and covenants shalt survive the exercise of any remedies by Beneficiary, including without limitation foreclosure or obtaining title in lieu of foreclosure 40 Successors This Deed of Trust applies to, inures to the benefit of, and is binding not only on the parties hereto, but on their heirs, devisees, legatees, administrators, executors, and assigns The term Beneficiary shall mean the holder and owner of the Note secured hereby, whether or not named as Beneficiary herein 41 Attorneys' Fees If any litigation is instituted to enforce or interpret any provision hereof, or to foreclose this Deed of Trust, the prevailing party shall be entitled to collect, in addition to all other amounts and relief, its court costs, title search costs, and reasonable attorneys' fees incurred both at and in preparation for trial and any appear or review, such amount to be set by the court before which the matter is heard If Beneficiary is the prevailing party, such costs and attorneys' fees shall be secured by this Deed of Trust 42 Governing Law This Deed of Trust shall be governed by and construed in accordance with the laws of the State of Washington NOTICE ORAL AGREEMENTS, PROMISES OR COMMITMENTS TO LEND MONEY, TO EXTEND CREDIT, TO MODIFY OR AMEND THE TERMS UNDER WHICH MONEY WAS LENT OR CREDIT WAS EXTENDED, TO RELEASE ANY GUARANTOR OR CONSIGNEE, TO FORBEAR WITH RESPECT TO THE REPAYMENT OF ANY DEBT OR THE EXERCISE OF ANY REMEDY, OR TO MAKE ANY OTHER FINANCIAL. ACCOMMODATION PERTAINING TO A DEBT OR OTHER EXTENSION OF CREDIT, ARE NOT ENFORCEABLE UNDER WASHINGTON LAW EXECUTED as of the day and year first above written GRANTOR-TRUSTOR GRESG PRODUCTION ASSOCIATES, INC a Washington corporation By �f /I Robert R Gregg, President DEED OF TRUST - 16 This ma does not purport to show all I»ghways roads or easements afreciing said ra arty; no liabilit is assumcd for variations in dimensions and location. — 200607110340-.017 STATE OF WASHINGTON) County of Snohomish ] I certify that I ]mow or have satisfactory evidence that ROBERT R GREGG is the person who appeared before me, and said person acknowledged that said person signed this instrument, on oath stated that said person was authonzed to execute the instrument and acknowledged it as the President of GREGO PRODUCTION ASSOCIATES, INC to be the free and voluntary act and deed of the said entity for the uses and purposes DATED this _r2!;r day of July, 2006 liotuy Ftlbato � d Ws�Nngtget Ila�r DEED OF TRUST - 17 NOTAR BLI for c State of Washington Printed a S 'i My commission expires 200601110340.ffn EXHIBIT "A" >✓GAL ESCRIPTION ALL THAT CERTAIN LAND SITUATED IN THE STATE OF WASHINGTON, COUNTY OF SNOHOMISH, DESCRIBED AS FOLLOWS LOTS 1, 2, 3, 4, 5, 6, 37, 38, 39, ANY) 40, BLOCK 121, I 135;A-CC0RDTI G TO THE PLAT THEREOF RECORDED IN VOLUME 2 OF PLATS, PAGES 39 AND 40, RECORDS OF SNOHOMISH COUNTY, WASHINGTON, EXCEPT THE EAST 16 FEET OF SAID LOT 37, TOGETHER WITH THAT PORTION OF THE VACATED ALLEY ADJOINING LOTS 1 THROUGH 4 AND LOTS 37 THROUGH 40, INCLUSIVE, EXCEPT THAT PORTION OF THE SOUTH HALF OF SAID VACATED ALLEY LYING ADJACENT TO THE EAST 16 FEET OF LOT 37 SITUATE IN THE COUNTY OF SNOHOMISH, STATE OF WASHINGTON SUBJECT TO and SUBORDINATE to the following Deed of Trust Grantor GREGG PRODUCTION ASSOCIATES, INC Beneficiary CASCADE BANK Dated July 4__, 2006 Original Sum $4,900,000 00 Recording No TRUST DEED - lg This ma does not purport to show all highways roads or easements aifMing said ro e1 no liahilily is assume far variations in dimensions and ivcation. 200712260774.001 IIINI NINgIINI IINI IIIII IIIII Nlll NIA INI IIIN IIIII IiIN I ll III 5 i H7C0UNTY, 6�SHihGTONGS This Space Provided for Recorder's Use When Recorded Return to JANICE BODEWIG, Credit Operations, Cascade Bank, 2828 Colby Ave, Everett, Washington 98201 DEED OF TRUST Grantor(s) Gregg Production Associates, Inc. Grantee(s) Cascade Bank Legal Description Lots 1, 2, 3, 4, 5, 6, 37, 38, 39, and 40, B1k 121, The City of Edmonds, Vol 2, Pg 39 Assessor's Property Tax Parcel or Account Number 004342-121-001-00 004341.121-037-00 Reference Numbers Of Documents Assigned or Released DATE AND PARTIES The date of this Deed Of Trust I,Secunty Instrument) Iecember 20, 2007 The parties and their addresses are S j c 3 to s r.1 1�4, GRANTOR' GREGG PRODUCTION ASSOCIATES, INC. CHICA60 TOLE IHSdMME 8800 HAB PLOEB A Washington Corporation THIS DDCU`NT OF RECORD AS A CUSTOMER 51 W. Dayton St., Ste. 304 COURTESY A. 9 ACCEPTS NO LIABILITY FOR THE Edmonds, Washington 98020 ACCURACY OR VALIDITY OF THE DOCUMENT. TRUSTEE: CHICAGO TITLE INSURANCE COMPANY a Missouri Corporation 3030 Hoyt Ave Everett, Washington 98201 LENDER: CASCADE BANK Organized and existing under the laws of Washington 2828 Colby Avenue Everett, Washington 98201 Splash P,opertles JV, LLC Wasisngton Owd Of Trust WAI4XXpn,ce00022000006848025122607Y 01996 Bankers Systems, Inc, 51 Cloud, MN axpa? r Page 1 This map does n0l urponto show all h's hways roads or easements affecting said l;yo , no liability is assumcd for variations in dimensions and Imlion. 200712260774.002 1 CONVEYANCE, For good and valuable consideration, the receipt and sufficiency of which is acknowledged, and to secure the Secured Debts and Grantor's performance under this Security Instrument, Grantor Irrevocably grants, conveys and sells to Trustee, in trust for the benefit of Lender, with power of sale, the following described property LOTS 1, 2, 3, 4, 5, 6, 37, 38, 39 AND 40, BLOCK 121, THE CITY OF EDMONDS, ACCORDING TO THE PLAT THEREOF RECORDED IN VOLUME 2 OF PLATS, PAGES 39 AND 40, RECORDS-OF-SNOHOMISH-C-OUNTITWASHING-TOfv, - -- EXCEPT THE EAST 16 FEET OF SAID LOT 37, TOGETHER WITH THAT PORTION OF THE VACATED ALLEY ADJOINING LOTS 1 THROUGH 4 AND LOTS 37 THROUGH 40, INCLUSIVE, EXCEPT THAT PORTION OF THE SOUTH HALF OF SAID VACATED ALLEY LYING ADJACENT TO THE EAST 16 FEET OF LOT 37 SITUATE IN THE COUNTY OF SNOHOMISH, STATE OF WASHINGTON. The property is located in Snohomish County at 201 5th Ave, S., Edmonds, Washington 9B020 Together with all rights, easements, appurtenances, royalties, mineral rights, oil and gas rights, all water and riparian rights, wells, ditches and water stock, crops, limber, all diversion payments or third party payments made to crop producers and all existing and future improvements, structures, fixtures, and replacements that may now, or at any time in the future, be part of the real estate described (all referred to as Property) This Security Instrument will remain in effect until the Secured Debts and all underlying agreements have been terminated in writing by Lender 2. SECURED DEBTS. The term "Secured Debts" includes and this Security Instrument will secure each of the following A. Specific Debts The following debts and all extensions, renewals, refinancings, modifications and replacements A promissory note or other agreement, No 6307122831, dated December 20, 2007, from Splash Properties IV, LLC (Borrower) to Lender, with a loan amount of 0300,000.00, B, All Debts. All present and future debts from Splash Properties IV, LLC to Lender, even if this Security Instrument is not specifically referenced, or if the future debt is unrelated to or of a different type than this debt If more than one person signs this Security Instrument, each agrees that it will secure debts incurred either individually or with others who may not sign. this Security Instrument Nothing in this Security Instrument constitutes a commitment to make additional or future loans or advances Any such commitment must be in writing In the event that Lender fails to provide any required notice of the right of rescission, Lender waives any subsequent security interest in the Grantor's principal dwelling that is created by this Security Instrument This Security Instrument will not secure any debt for which a non - possessory, non -purchase money security interest is created in "household goods" in connection with a "consumer loan," as those terms are defined by federal law governing unfair and deceptive credit practices This Security Instrument will not secure any debt for -which a security interest is created in "margin stock" and Lender does not obtain a "statement of purpose," as defined and required by federal law governing securities. sp'c9h Properties IV. LLC Washington Dovd Of TmAl WA14xxyarnceoo022000005848025122607Y 01996 Bankers Systems, Inc , St Cloud, MN fnx�" Page 2 This snap does not pompon to show ali highways rends or casements afreCdng said proNrty; no IinhiIity is assuInc d rar varin0cns in dimensions and iocwjoil , 200712260774.003 C, Sums Advanced. All sums advanced and expenses Incurred by Lender under the terms of this Security Instrument 3 PAYMENTS Grantor agrees that all payments under the Secured Debts will be paid when due and in accordance with the terms of the Secured Debts and this Security Instrument 4. WARRANTY OF TITLE. Grantor warrants that Grantor is or will be lawfully seized of the estate conveyed by this Security Instrument and has the right to Irrevocably grant, convey and sell the Property to Trustee, In trust, with power of sale, Grantor also warrants that the Property is unencumbered, except for encumbrances of record 5, PRIOR SECURITY INTERESTS With regard to any other mortgage, deed of trust, security agreement or other lien document that created a prior security Interest or encumbrance on the Property, Grantor agrees A To make all payments when due and to perform or comply with all covenants B To promptly deliver to Lender any notices that Grantor receives from the holder, C Not to allow any modification or extension of, nor to request any future advances under any note or agreement secured by the lien document without Lender's prior written consent. 6 CLAIMS AGAINST TITLE Grantor will pay all taxes, assessments, liens, encumbrances, lease payments, ground rents, utilities, and other charges relating to the Property when due Lender may require Grantor to provide to Lender copies of all notices that such amounts are due and the receipts evidencing Grantor's payment Grantor will defend title to the Property against any claims that would impair the lien of this Security Instrument, Grantor agrees to assign to Lender, as requested by Lender, any rights, claims or defenses Grantor may have against parties who supply labor or materials to maintain or improve the Property 7. DUE ON SALE OR ENCUMBRANCE Lender may, at its option, declare the entire balance of the Secured Debt to be immediately due and payable upon the creation of, or contract for the creation of, any lien, encumbrance, transfer or sale of all or any part of the Property This right is subject to the restrictions imposed by federal law (12 C F R 591), as applicable. 8, TRANSFER OF AN INTEREST IN THE GRANTOR If Grantor is an entity other than a natural person (such as a corporation or other organization), Lender may demand immediate payment it A A beneficial interest in Grantor is sold or transferred, 8 There is a change in either the identity or number of members of a partnership or similar entity. C. There is a change in ownership of more than 25 percent of the voting stock of a corporation or similar entity However; Lender may not demand payment in the above situations if it is prohibited by law as of the date of this Security Instrument, 9 WARRANTIES AND REPRESENTATIONS Grantor makes to Lender the following warranties and representations which will continue as long as this Security Instrument is in effect, A, Power. Grantor is duly organized, and validly existing and in good standing in all jurisdictions in which Grantor operates Grantor has the power and authority to enter into this transaction and to carry on Grantor's business or activity as it is now being conducted and, as applicable, is qualified to do so in each jurisdiction in which Grantor operates B. Authority. The execution, delivery and performance of this Security Instrument and the obligation evidenced by this Security Instrument are within Grantor's powers, have been duly authorized, have received all necessary governmental approval, will not violate any provision Splash Properites IV, LLC Washington Deed Of Trust WA14XXiamce0OD22000005848025122607Y 01998 Bankers Systems, Inc , st Cloud, MN Ex�^�s Pape 3 This ma dons not rport to show all ways roads or easements aFreetin sold property; m liability is assumed ror variations in dimeilsiolts lrnd location. - 200712260774.004 of law, or order of court or governmental agency, and will not violate any agreement to which Grantor Is a party or to which Grantor is or any of Grantor's property Is subject C. Name and Place of Business. Other than previously discl❑s❑d in writing to Lender, Grantor has not changed Grantor's name or principal place of business within the last 10 years and has not used any other trade or fictitious name Without Lender's prior written consent, Grantor does not and will not use any other name and will preserve Grantor's existing name, trade names and franchises 10—PROPER-T-Y—CONDITION—AL-TERA7IONS-AND-INSP-ECTI.ON. GrantDf-DIJL.keeP the Property in good condition and make all repairs that are reasonably necessary. Grantor will not commit or allow any waste, impairment, or deterioration of the Property Grantor will keep the Property free of noxious weeds and grasses. Grantor agrees that the nature of the occupancy and use will not substantially change without Lender's prior written consent Grantor will not permit any change in any license, restrictive covenant or easement without Lender's prior written consent Grantor will notify Lender of all demands, proceedings, claims, and actions against Grantor, and of any loss or damage to the Property. No portion of the Property will be removed, demolished or materially altered without Lender's prior written consent except that Grantor has the right to remove items of personal property comprising a part of the Property that become worn or obsolete, provided that such personal property is replaced with other personal property at least equal in value to the replaced personal property, free from any title retention device, security agreement or other encumbrance Such replacement of personal property will be deemed subject to the security tnterest created by this Security Instrument Grantor will not partition or subdtvide the Property without Lender's prior written consent. Lender or Lender's agents may, at Lender's option, enter the Property at any reasonable trine for the purpose of inspecting the Property Lender will give Grantor notice at the time of or before an inspection specifying a reasonable purpose for the inspection Any inspection of the Property will be entirely for Lender's benefit and Grantor will in no way rely an Lender's inspection 11. AUTHORITY TO PERFORM. If Grantor fails to perform any duty or any of the covenants contained in this Security Instrument, Lender may, without notice, perform or cause them to be performed. Grantor appoints Lender as attorney in fact to sign Grantor's name or pay any amount necessary for performance Lender's right to perform for Grantor will not create an obligation to perform. and Lender's failure to perform will not preclude Lender from exercising any of Lender's other rights under the law or this Security Instrument If any construction on she Property is discontinued or not curried on in a reasonable manner, Lender may take all steps necessary to protect Lender's security interest in the Property, including completion of the construction. 12 ASSIGNMENT OF LEASES AND RENTS. Grantor irrevocably assigns, grants, conveys to Lender as additional security all the right, title and interest in the following (Property) A. Existing or future leases, subleases, licenses, guaranties and any other written or verbal agreements for the use and occupancy of the Property, including but not limited to any extensions, renewals, modifications or replacements (Leases), B. Rents, issues and profits, including but not limited to security deposits, minimum rents, percentage rents, additional rents, common area maintenance charges, parking charges, real estate taxes, other applicable taxes, insurance premium contributions, liquidated damages following default, cancellation premiums, "loss of rents" insurance, guest receipts, revenues, royalties, proceeds, bonuses, accounts, contract rights, general intangibles, and all rights and claims which Grantor may have that in any way pertain to or are on account of the use or occupancy of the whole or any part of the Property (Rents) _ Properuea IV, L1C Qean Dead Of Trust X.n.caOD022000006048025122SQ7Y D1996 Bankers Systems, Inc , St Cloud, MN E I o?t;i" Page 4 This ma does not purport to show ail highways roads or easements affe6tin said propeny; no liabi% is assumed for varialiuns in dimcmions end location. 200712260774.005 In the event any item listed as Leases or Rents is determined to be personal property, this Assignment will also be regarded as a security agreement Grantor will promptly provide Lender with copies of the Leases and will certify these Leases are true and correct copies The existing Leases will be provided on execution of the Assignment, and all future Leases and any other information with respect to these Leases will be provided immediately after they are executed Grantor may collect, receive, enjoy and use the Rents so long as Grantor is not in default Grantor will not collect in advance any Rents due in future lease periods, unless Grantor first obtains Lender's written consent Upon default, Grantor will receive any Rents in trust for Lender and Grantor will not commingle the Rants with any other Grantor agrees hafthis Security Instrument is immediately effective between Grantor and Lender and effective as to third parties on the recording of this Assignment, This Security Instrument will remain effective during any statutory redemption period until the Secured Debts are satisfied. As long as this Assignment is in effect, Grantor warrants and represents that no default exists under the Leases, and the parties subject to the Leases have not violated any applicable law on leases, licenses and landlords and tenants. Grantor, at its sole Cost and expense, will keep, observe and perform, and require all other parties to the Leases to comply with the Leases and any applicable law If Grantor or any party to the Lease defaults or fails to observe any applicable law, Grantor will promptly notify Lender If Grantor neglects or refuses to enforce compliance with the terms of the Leases, then Lender may, at Lender's option, enforce compliance Grantor will not sublet, modify, extend, cancel, or otherwise alter the Leases, or accept the surrender of the Property covered by the Leases (unless the Leases so require) without Lender's consent, Grantor will not assign, compromise, subordinate or encumber the Leases and Rents without Lender's prior written consent. Lender does not assume or become liable for the Property's maintenance, depreciation, or other losses or damages when Lender acts to manage, protect or preserve the Property, except for losses and damages due to Lender's gross negligence or intentional torts. Otherwise, Grantor will indemnify Lender and hold Lender harmless for all liability, loss or damage that Lender may incur when Lender opts to exercise any of its remedies against any party obligated under the Leases When the Property is not farm land or the homestead of Grantor or Grantor's successor in interest, Grantor agrees that Lender is entitled to notify Grantor or Grantor's tenants to make payments of Rents due or to become due directly to Lender after such recording, however Lender agrees not to notify Grantor's tenants until Grantor defaults and Lender notifies Grantor of the default and demands that Grantor and Grantor's tenants pay all Rents due or to become due directly to Lender Grantor consents to Grantor's tenants paying all Rents due or to become due directly to Lender after Lender makes this notification and demand to Grantor, When the Property is farm land or the homestead of Grantor or Grantor's successor in interest, Lender may not enforce this Security Instrument by taking possession of the Property for the purpose of collecting Rents, but Lender may seek the appointment of a receiver to take charge of the Property, collect the Rents for non -homestead Property, and apply the Rents under this Assignment. 13. DEFAULT. Grantor will be in default if any of the following occur A. Payments. Grantor or Borrower fail to make a payment in full when due B. insolvency or Bankruptcy. The death, dissolution or insolvency of, appointment of a receiver by or on behalf of, application of any debtor rehef law, the assignment for the benefit of creditors by or on behalf of, the voluntary or involuntary termination of existence by, or the commencement of any proceeding under any present or future federal or state insolvency, bankruptcy, reorganization, composition or debtor relief law by or against Grantor, Borrower, or any co-signer, endorser, surety or guarantor of this Sectinty Instrument or any other obligations Borrower has with Lender peed Of iruIt Pee 5 �c.00022ao00058d8o25122607Y 01996 Bankers Bystems, Inc , St Cloud, MN Ems" 6 This ma does not purport to show all highways roads or easements affecting said property; no liuhilfty is assumed fbr Variations in diancnsions and location. 200712260774,006 C. Business Termination. Grantor merges, dissolves, reorganizes, ends its business or existence, or a partner or majority owner dies or is declared legally incompetent D. Failure to Perform Grantor fails to perform any condition or to keep any promise or covenant of this Security Instrument E. Other Documents. A default occurs under the terms of any other document relating to the Secured Debts F. Other Agreements, Grantor is in default on any other debt or agreement Grantor has with Lender - - — - G. Misrepresentation. Grantor makes any verbal or written statement or provides any financial information that is untrue, inaccurate, or conceals a material fact at the time it is made or provided H. Judgment. Grantor fails to satisfy or appeal any Judgment against Grantor I. Forfeiture The Property is used in a manner or for a purpose that threatens confiscation by a legal authority J. Name Change, Grantor changes Grantor's name or assumes an additional name without notifying Lender before making such a change K, Property Transfer Grantor transfers all or a substantial part of Grantor's money or property. This condition of default, as it relates to the transfer of the Property, is subject to the restrictions contained in the DUE ON SALE section, L. Property Value. Lender determines in good faith that the value of the Property has declined or is impaired, M. Material Change, Without first notifying Lender, there is a material change in Grantor's business, including ownership, management, and financial conditions N. Insecurity. Lender determines in good faith that a material adverse change has occurred in Borrower's financial condition from the conditions set forth in Borrower's most recent financial statement before the date of this Security Instrument or that the prospect for payment or performance of the Secured Debts is impaired for any reason 14. REMEDIES On or after default, Landet may use any and all remedies Lender has under state or federal law or in any document relating to the Secured Debts Any amounts advanced on Grantor's behalf will be immediately due and may be added to the balance owing under the Secured Debts Lender may make a claim for any and all insurance benefits or refunds that may be available on Grantor's default, Subject to any right to cure, required time schedules or any other notice rights Grantor may have under federal and state law, Lender may make all or any part of the amount owing by the terms of the Secured Debts immediately due and foreclose this Security Instrument in a manner provided by law upon the occurrence of a default or anytime thereafter All remedies are distinct, cumulative and not exclusive, and the Lender is entitled to all remedies provided at law or equity, whether or not expressly set forth The acceptance by Lender of any sum in payment or partial payment on the Secured Debts after the balance is duo or is accelerated or after foreclosure proceedings are filed will not constitute a waiver of Lender's right to require full and complete cure of any existing default, By not exercising any remedy, Lender does not waive Lender's right to lacer consider the event a default if it continues or happens again 15, COLLECTION EXPENSES AND ATTORNEYS' FEES On or after Default, to the extent permitted by law, Grantor agrees to pay all expenses of collection, enforcement or protection of Lender's rights and remedies under this Security Instrument or any other document relating to Splash Piopartws !V, LLC Weshingrvn Geed Of Yr l WA/4XXlanrce00022000005848025122e07Y 01896 bankers Systems, Inc , St Cloud, MN J5q!0F Page a This map does not purport 1O show a!i irighw s roads or easements affecting said pre rcy; nts liahiiiiy is assumed for variations in dimensions and loratian. 200712260774.007 the Secured Debts Grantor agrees to pay expenses for Lender to Inspect and preserve the Property and for any recordation costs of releasing the Property from this Security Instrument, Expenses include, but are not lirnaod to, attorneys' fees, court costs and o1ber legal expenses These expenses are due and payable Immediately. If not paid immediately, those expenses will beer interest from the date of payment until paid in full at the highest Interest rate in effect as provided for in the terms of the Secured Debts In addition, to the extent permitted by the United States Bankruptcy Code, Grantor agrees to pay the reasonable attorneys' fees incurred by Lender to protect Lender's rights and interests in connection with any bankruptcy proc�dings-initiated by -or against Grantor 16 ENVIRONMENTAL LAWS AND HAZARDOUS SUBSTANCES As used in this section, (1) Environmental Law means, without limitation, the Comprehensive Environmental Response, Compensation and Liability Act ICERCLA, 42 U.S.C. 9601 et seq.), all other federal, state and local laws, regulations, ordinances, court orders, attorney general opinions or interpretive letters concerning the public health, safety, welfare, environment or a hazardous substance, and (2) Hazardous Substance means any toxic, radioactive or hazardous material, waste, pollutant or contaminant which has characteristics which render the substance dangerous or potentially dangerous to the public health, safety, welfare or environment The term includes, without limitation, any substances defined as "hazardous material," "toxic substance," "hazardous waste," "hazardous substance," or "regulated substance" under any Environmental Law Grantor represents, warrants and agrees that. A. Except as previously disclosed and acknowledged in writing to Lander, no Hazardous Substance has been, is, or will be located, transported, manufactured, treated, refined, or handled by any person on, under or about the Property, except in the ordinary course of business and in strict compliance with all applicable Environmental Law B. Except as previously disclosed and acknowledged in writing to Lender, Grantor has not and will not cause, contribute to, or permit the release of any Hazardous Substance on the Property. C Grantor will immediately notify Lender it 11) a release or threatened release of Hazardous Subsiance occurs on, under or about the Property or migrates or threatens to migrate from nearby property, or 0 tktare is a violation of any Environmental Law concerning the Property In such an event. Grantor will take all necessary remedial action in accordance with Environmental Law D. Except as previously disclosed and acknowledged in writing to Lender, Grantor has no knowledge of or reason to believe there 1s any pending or threatened investigation, claim, or proceeding of any kind relating to (11 any Hazardous Substance located on, under or about the Property, or (2) any violation by Grantor or any tenant of any Environmental Law Grantor will immediately notify Lender in writing as soon as Grantor has reason to believe there is any such pending or threatened investigation, claim, or proceeding, In such an event, Lender has the right, but not the obligation, to participate in any such proceeding including the right to receive copies of any documents relating to such proceedings E Except as previously disclosed and acknowledged in writing to Lender, Grantor and every tenant have been, are and will remain in full compliance with any applicable Environmental Law F. Except as previously disclosed and acknowledged in writing to Lender, there are no underground storage tanks, private dumps or open wells located on or under the Property and no such tank, dump or well will be added unless Lender first consents in writing Splosh Psvpan,ae IV, LLC Wasinnuion Deed Of Trust WAI4XXianice00022000006S4B025122607V 01996 Bankers Symms, Inc , St cloud, MN F 5W " Papo 7 This map does not purport to show all highways roads or ensemetits affecting said prppt:iiy; no IiubiIily is iusunied for variations m dimensions end locvnun_Va. 3 • 200712260774.008 G. Grantor will regularly inspect the Property, monitor the activities and operations on the Property, and confirm that all permits, licenses or approvals required by any applicable Environmental Law are obtained and complied with H Grantor will permit, or cause any tenant to permit, Lender or Lender's agent to enter and inspect the Property and review all records at any reasonable time to determine 11) the existence, location and nature of any Hazardous Substance on, under or about the Property, 12) the existence, location, nature, and magnitude of any Hazardous Substance that has been -released-on,-under-.or_about-the-P..ropert.y.,. or_I3f 1tYh t er or not Grantor and any tenant are in compliance with applicable Environmental Law, 1. Upon Lender's request and at any time, Grantor agrees, at Grantor's expense, to engage a qualified environmental engineer to prepare an environmental audit of the Properly and to submit the results of such aud,t to Lender. The choice of the environmental engineer who will perform such audit is subject to Lender's approval J Lender has the right, but not the obligation, to perform any of Grantor's obligations under this section at Grantor's expense K. As a consequence of any breach of any representation, warranty or promise made in this section, 111 Grantor will indemnify and hold Lender and Lender's successors or assigns harmless from and against all losses, claims, demands, liabilities, damages, cleanup, response and remediatron costs, penalties and expenses, Including without limitation all costs of litigation and attorneys' fees, which Lender and Lender's successors or assigns may sustain, and (2) at Lender's discretion, Lender may release this Security Instrument and in return Grantor will provide Lender with collateral of at least equal value to the Property without prejudice to any of Lender's rights under this Security Instrument L Notwithstanding any of the language contained in this Security Instrument to the contrary, the terms of this section will survive any foreclosure or satisfaction of this Security Instrument regardless of any passage of title to Lender or any disposition by Lender of any or all of the Property Any claims and defenses to the contrary are hereby waived 17 CONDEMNATION. Grantor will give Lender prompt notice of any penning or threatened action by private or public entities to purchase or take any or all of the Property through condemnation, eminent domain, or any other means Grantor authorizes Lender to Intervene in Grantor's name in any of the above described actions or claims Grantor assigns to Lender the proceeds of any award or claim for damages connected with a condemnation or other taking of all or any part of the Property. Such proceeds will be considered payments and will be applied as provided in this Security instrument. This assignment of proceeds is subject to the terms of any prior mortgage, deed of trust, security agreement or other lien document, 18, INSURANCE Grantor agrees to keep the Property insured against the risks reasonably associated with the Property. Grantor will maintain this insurance in the amounts Lender requires This insurance will last until the Property is released from this Security Instrument What Lender requires pursuant to the preceding two sentences can change during the term of the Secured Debts Grantor may choose the insurance company, subject to Lender's approvel, which will not be unreasonably withheld All insurance policies and renewals will include a standard "mortgage clause" and, where applicable, "loss payee clause." If required by Lender, Grantor agrees to maintain comprehensive general liability insurance and rental lass or business interruption insurance in amounts and under policies acceptable to Lender The comprehensive general liability insurance must name Lender as an additional insured The rental loss or business interruption insurance must be in an amount equal to at least coverage of one year's debt service, and required escrow account deposits (if agreed to separately in writing) Splash Properties IV, LLC W03hington Deed of Ttvsl WA14xXianice00022008005848025122607Y 01996 Bankers systems, Inc , St Cloud, MN rz. tL Page a this snap does not pu ort to show ail highways roads or easctnciris afTecting said properly; no IiabiIil is assumed for variations in dimensions and location. 200712260774.009 Grantor will give Lender and the Insurance company immediate notice of any loss All insurance proceeds will be applied to restoration or repair of the Property or to the Secured Debts, at Lender's option If Lender acquires the Property in damaged condition, Grantor's rights to any Insurance policies and proceeds will pass to Lender to the extent of the Secured Debts. Grantor will Immediately notify Lender of cancellation or termination of Insurance If Grantor falls to keep the Property Insured, Lender may' obtain Insurance to protect Lender's Interest in the Property and Grantor will pay for the Insurance on Lender's demand Lender may demand that Grantor pay for the insurance all at once, or Lender may add the insurance premiums to the balance of the Secured Debts and charge interest on it at the rate that applies to the ecure Debts This Insurance may Include coverages not originally required of Grantor, may be written by a company other than one Grantor would choose, and may be written at a higher rate than Grantor could obtain if Grantor purchased the insurance Grantor acknowledges and agrees that Lender or one of Lender's affiliates may receive commissions on the purchase of this insurance, 19. ESCROW FOR TAXES AND INSURANCE. Grantor will not be required to pay to Lender funds for taxes and insurance in escrow 20. CO-SIGNERS, If Grantor signs this Security Instrument but is not otherwise obligated to pay the Secured Debts, Grantor does so only to convey Grantor's interest in the Property to secure payment of the Secured Debts and Grantor does not agree by signing this Security Instrument to be personally liable on the Secured Debts. If this Security Instrument secures a guaranty between Lender and Grantor, Grantor agrees to waive any rights that may prevent Lender from bringing any action or claim against Grantor or any party indebted under the obligation These rights may include, but are not limited to, any anti -deficiency or one -action laws 21. SUCCESSOR TRUSTEE. Lender, at Lender's option, may from time to time remove Trustee and appoint a successor without any other formality than the designation in writing The successor trustee, without conveyance of the Property, will succeed to all the title, power and duties conferred upon Trustee by this Security Instrument and applicable law 22. USE OF PROPERTY. The real property conveyed by this Security Instrument is not used principally for agricultural purposes, 23 FIXTURE FILING. Grantor gives to Lender a security interest in all goods that Grantor owns now or in the future and that are or will become fixtures related to the Property 24, APPLICABLE LAW, This Security instrument is governed by the laws of Washirigion, the United States of America, and to the extent required, by the laws of the yLrnsdictlon where the Property is located, except to the extent such state laws are preempted by federal law 25 JOINT AND INDIVIDUAL LIABILITY AND SUCCESSORS Each Grantor's obligations under this Security Instrument are independent of the obligations of any other Grantor Lender may sue each Grantor Individually or together with any other Grantor. Lender may release any part of the Property and Grantor will still be obligated under this Security Instrument for the remaining Property. If this Security Instrument secures a guaranty between Lender and Grantor, Grantor agrees to waive any rights that may prevent Lender from bringing any action or claim against Grantor or any party indebted under the obligation, These rights may include, but are not limited to, any anti -deficiency or one -action laws. Grantor agrees that Lender and any party to this Security Instrument may extend, modify or make any change in the terms of this Security Instrument or any evidence of debt without Grantor's consent Such a change will not release Grantor from the terms of this Security Instrument, The duties and benefits of this Security Instrument will bind and benefit the successors and assigns of Lender and Grantor Splash Roperues IV, LLC Washington D—d 01 T-u11 WA14XXianrcoWOV..OMDOSB4B025122607Y 01996 Bankers Systems Inc St Claud, MN Ex15OFtV Page 9 'ibis map does not upon to show ali highways roads or easements affrwng sDid o rty; no liability is assumed for variations in dimensions and lontion. 200712260774.010 26. AMENDMENT, INTEGRATION AND SEVERABILITY, This Security Instrument may not be amended or modified by oral agreement No amendment or modification of this Security Instrument is effective unless made in writing and executed by Grantor and Lender. This Security Instrument and any other documents relating to the Secured Debts are the complete and final expression of the agreement If any provision of this Security Instrument is unenforceable, then the unenforceable provision will be severed and the remaining provisions will still be enforceable. 2-1.�INTERPRET-A-T-ION—Whenever-used, the -singular -includes -the -plural -and -the -plural -includes the singular. The section headings are for convenience only and are not to be used to interpret or define the terms of this Security Instrument 28. NOTICE, FINANCIAL REPORTS, ADDITIONAL DOCUMENTS AND RECORDING TAXES. Unless otherwise required by law, any notice will be given by delivering it or mailing it by both first class and either registered or certified mail, return receipt requested, to the appropriate party's address listed in the DATE AND PARTIES section, or to any other address designated in writing Notice to one Grantor will be deemed to be notice to all Grantors Grantor will inform Lender in writing of any change in Grantor's name, address or other application information Grantor will provide Lender any financial statements or information Lender requests All financial statements and information Grantor gives Lender will be correct and complete. Grantor agrees to pay all expenses, charges and taxes in connection with the preparation and recording of this Security Instrument. Grantor agrees to sign, deliver, and file any additional documents or certifications that Lender may consider necessary to perfect, continue, and preserve Grantor's obligations under this Security Instrument and to confirm Lender's lien status on any Property, and Grantor agrees to pay all expenses, charges and taxes in connection with the preparation and recording thereof Time is of the essence 29 AGREEMENT TO ARBITRATE. Lender or Grantor may submit to binding arbitration any dispute, claim or other matter in question between or among Lender and Grantor that anses out of or relates to this Transaction (Dispute), except as otherwise indicated in this section or as Lender and Grantor agree to in writing For purposes of this section, this Transaction includes this Security Instrument and any other document relating to the Secured Debts, and proposed loans or extensions of credit that relate to this Security Instrument. Lender or Grantor will not arbitrate any Dispute within any "core proceedings" under the United States bankruptcy laws Lender and Grantor must consent to arbitrate any Dispute concerning the Secured Debt secured by real estate at the time of the proposed arbitration Lender may foreclose or exercise any powers of sale against real property securing the Secured Debt underlying any Dispute before, during or after any arbitration Lender may also enforce the Secured Debt secured by this real property and underlying the Dispute before, during or after any arbitration Lender or Grantor may, whether or not any arbitration has begun, pursue any self-help or similar remedies, including taking property or exercising other rights under the law; seek attachment, garnishment, receivership or other provisional remedies from a court having jurisdiction to preserve the rights of or to prevent irreparable injury to Lender or Grantor, or foreclose against any property by any method or take legal action to recover any property. Foreclosing or exercising a power of sale, beginning and continuing a judicial action or pursuing self-help remedies will not constitute a waiver of the right to compel arbitration. The arbitrator will determine whether a Dispute is arbitrable A single arbitrator will resolve any Dispute, whether individual or joint in nature, or whether based on contract, tort, or any other matter at law or in equity The arbitrator may consolidate any Dispute with any related disputes, claims or other matters in question not arising out of this Transaction Any court Spiaih Peoperiins 1V, LLC Washington Deed Or True WA14XXianies00022000005848028122607Y e1998 Bankers SVstems, Inc , 51 Cloud. MN L=xrsi?° Page 10 This map does riot purport to show oil highways roads or Lnsemen is affecting said 9 ro •rty; ria liability is oxsuillcd fur variations in dimensions slid 1of;al1oil. 200712260774.011 having jurisdiction may enter a judgment or decree on the arbitrator's award The judgment or decree will be enforced as any other judgment or decree, Lender and Grantor acknowledge that the agreements, transactions or the relationships which result from the agreements or transactions between and among Lender and Grantor Involve Interstate commerce The United States Arbitration Act will govern the interpretation and enforcement of this section. The American Afiration Association's Commercial Arbitration Rules, in effect on the date of this Security Instrument, will govern the selection of the arbitrator and the arbitration process, unless otherwise agreed to in this e� curlty Instrument or nothm-W rung 30, WAIVER OF TRIAI. FOR ARBITRATION. Lender and Grantor understand that the parties have the right or opportunity to litigate any Dispute through a trial by judge or jury, but that the parties prefer to resolve Disputes through arbitration Instead of litigation. If any Dispute -is arbitrated, Lender and Grantor voluntarily and knowingly walve the right to have a trial by jury or judge during the arbitration SIGNATURES By signing, Grantor agrees to the terms and covenants contained in this Security Instrument Grantor also acknowledges receipt of a copy of this Security Instrument GRANTOR: Gregg Production Associates, Inc. BY-2Z Robert R Gregg, President Splash Progenies IV, LLC Wsahingisn Deed Of Trust WA14%%pniciD0022000005848025122607Y 01995 Bankers Systems, Ina , St Cloud, MN Page I This map does not urpart to showall highways rands ar casements airtx ring said ra Ity; rw liability is assumed Far vappol ns in tttmensions and location. - 200712260774.012 ACKNOWLEDGMENT tBusiness or Entity) OF Wasalti n •�- OF Sn0homf ss I certify that I know or have satisfactory aYldenG@ tat Robert R Greg 01ra the person(s) who appeared before me, anrj.Zgald personlsl acknowledged that el elthay signed this instrument, on oath stated thalb shellhey was1were authorized to execute tho instrument and acknowledged--i"se -the-President--of-Gregg-Production-Associates,-Inc—to-be ilaeJre"nd voluntaryyy act of such party for the uses and purposes mentioned in th nstrumeht Dated i 1, *L�1���1111itiil � . � ;� P `NWIMI , rrir ( oiary Public in and for the State of M ,�a��tt�Ilesr yf ' was gi t reside Y y� tin Flo 11 SUSAN A. SMITH REQUEST FOR RECONVEYANCE (Not to be completed until paid in full) TO TRUSTEE The undersigned is the holder of the note or notes secured by this security Instrument Said note or notes, together with all other indebtedness secured by this Security Instrument, have been paid in full You are hereby directed to cancel this Security lnst►umenl, which is delivered hereby, and to reconvey, without warranty, all the estate now held by you under this Security Instrument to the person or parsons legally entitled thereto (Authorized Lender Signature) (Date) 5prasii Prop;jrt a W. LLC Washington Deed Of Trusl WA14Xxlamce00o22000005848025122607Y 01996 Bankers SYstems Inc , 51 Cloud MN Page 12 Chic mop dacs not purport 10 show rill highways roMds or easements affecting said ro city; na liahlity is assumed for varialiaris in dirnensigns and lawu4' After rec )rdin , return to f 1111111 oil 111111111011111111111 IN 1111 ff Mike DeLeo Eisenhower & Carlson, PLLC j0 J6am 4 1201 Third Avenue, Suite 1650 S N�S Seattle, Washington 98101 Document Title(s) (or transactions contained therein) Claim of Lien Grantor(s) (Last name, first, then First name and initials) 1 Gregg Production Associates, Inc ❑ Additional names on page of document Grantee(s) (Last name first, then first name and initials) 1 Ferguson Enterprises, Inc d/b/a Ferguson Waterworks �(Additionat names on page ,, - of document Legal Description (abbreviated i e , lot, block plat or section, township, range, qtr /qtr ) 201 a Ave S , Edmonds, WA 98020, Snohomish County ❑ Additional legal is on page of document Reference Number(s) of Documents assigned or released ❑ Additional numbers on page of document Assessor's Property Tax Parcel/Account Number ❑ Property Tax Parcel ID is not yet assigned • Additional parcel numbers on page of document 08560616 Doc Yids ma p does not purport to show nil highways roads orrasemems afrectingsaid roperty; no IiabiIit is assumtsd for variations in dimensions and location. Record and Return To: Mike S DeLeo Eisenhower & Carlson, PLLC 1201 Third Ave, Suite 1650 Seattle, WA 98101 CLAIM OF LIEN FERGUSON ENTERPRISES, INC, d/b/a Ferguson Waterworks (herein after "Ferguson'), claimant, v BB & C Excavating, Inc, a party indebted to claimant Notice is hereby given that Ferguson hereby claims a construction lien pursuant to RCW 60 04 et seq In support of this lien, the following information is submitted 1. The name and address of the person performing labor or furnishing material is Feluson Waterworks, 8526 S. 222" St. Kent, Washington, 980341-1939 phone number (253) 437-5141 2. The date on which the claimant began performance of labor or the furnishing of materials was November 16, 2007 3. The name of the person indebted to plaintiff is BB & C Excavating. Inc 4. The property against which the lien is claimed is described as 201 5'h Ave S , Edmonds, WA, 98020, Sno_hornish County 5. The name of the owner or reputed owner is G(egg Production Associat_csLInc 6. The last date labor was performed or material was provided was March 26, 2008 7. The principal amount of the lien claim is $5,146 10, plus lien fees of at least $300 00, plus interest and attorney fees allowed by law Dated this day of May, 2008 By �a cl,en, Attorney for Claimant, 1201 Third Avenue #1650, Seattle, WA 98101, phone number (206)382-1830, Claimant - Ferguson Waterworks, 8528 S 222nd St , Kent, Washington, 9803), phone number (253) 437-5141 08560611 doe Phis map do.s not urpott to show all highwnys roads or cascmcnIs affecting said pro per[y, no Iiabi1:Ly is assumenns ed fnr vuriatMS In dimsioand Ipcation. 6d�P:"5 0 .- -5G C-- VuS zvub()5i3 oya Z-OT-3 L7eWCM377W.5 3 VERIFICATION Mike DeLeo, being swom says I am the attorney for the claimant above named and authorized to file this claim on behalf of the claimant I have read the foregoing claim, read and know the contents thereof, and believe the some to be true and correct and that the claim of lien is not fnvolous and is made with reasonable cause, and is not clearly excessive under penaltyofperjury — - — — — - Executed at Seattle, WA on Mayp'l-,Z2008 $y c M c eLeo, Attorney for Claimant, 1201 Third Avenue # 1650, Seattle, WA 98101, phone number (206)382-1830, Claimant - Ferguson Waterworks, 8528 S 222nd St , Kent, Washington, 98031, phone number. (253) 437-5141 STATE OF WASHINGTON ) ss COUNTY OF KING ) On this day personally appeared before me Mike DeLeo, to me known to be the individual described in and who executed the within and foregoing instrument, and acknowledged that he signed the same as his free and voluntary act and deed, for the uses and purposes therein mentioned `tk SUBSCRIBED AND SWORN to before me this 12 day of May, 2008 ti PAU Name —Emily E-- ubmski isr'�'L NOTARY PUBLIC in and for the State of Washington, residing at Seattle My commission expires 07/29/2011 a 08560617 dot Thus ma dots not purpuri tv shave aES highways roads ❑r a tsemcns affcetiug Said eoperty, nn liuhiiity is asxumed for variaiiuj s in dimensions a3�d to avian. a 805T30Q 200812020545.001 WHEN RECORDED MAIL TO - Seattle Glass Block —6029-238"'ST_S,2 — Woodinville, WA 9B072 I II IIII IIII IIIII Illll lily IIII ul� Ilgl Ill Ulll Illy lllll III Illl pA�ki�GiONG LIEN Seattle GlassBlock, Inc Claimant, ) ] CLAIM OF LIEN OF ] CONTRACTOR, LABORER, VS ) MATERIAL OR EQUIPMENT ] SUPPLIER ] Belfor USA Group, Inc. Defendant, ) 3826 Woodland Park Ave. N } Seattle, WA 98103 ] NOTICE IS HERBY GIVEN that on the September 3, 2008, the above named claimant at the request of Steven Gray, commenced to perform labor, furnish material, or supply equipment to be used upon the following described real property: Old Milltown 201 5" Ave S Edmonds, WA 98020 In Snohomish County, State of WaIihington, of which property the owner or reputed owner is Bob Gregg, The performance of labor, furnishing of materials, or supplying of equipment ceased on September 5, 2008, The name of the person who performed labor, furnished material, or supplied equipment was Seattle Glass Block. The value of the labor performed, material furnished, or equipment supplied was Five Thousand, Four Hundred and Thirty Nine Dollars and zero cents ($5,439.00), of which the sum of $5,439.00, plus interest, remains owing, and Seattle Glass Block is assignee of claim. DATED this 24"' day of Novrancber, 2008. LIEN RELEASOR: Seattle Glass Block, Inc. 6029 — 238th ST. S.E. Woodinville, WA 98072 STATE OF WASHINGTON COUNTY OFSNOHOMISH ) Molly A. Davis, being sworn, says, I am the claimant (employee orclaimant) named above, I have read the forgoing claim, know the contents thereol'and believe the some to be true and lust. SUBSCRIF3V AND RN to before me this day of OAW.AT�-- Notuy—ft9is for the Stale of W sh gton, residing at noh Y, My commission e<pirea 1 This map dow nat purport to show all highways roads or easements affceting said ro pert : no Ilabiiity is assumed for variations in dimensions and location. Chase, Sandy From: sue.moody@ctt.com Sent: Thursday, January 08, 2009 2:43 PM To: Chase, Sandy Subject: Documents are available for Property located at 201 5TH AVENUE SOUTH CHICAGO TITLE INSURANCE COMPANY Order Number: 5304563 Property Address: 201 5TH AVENUE SOUTH EDMONDS, WA 98020 Buyer Name: CITY OF EDMONDS Seller Name: GREGG PRODUCTION ASSOCIATES, INC. Good afternoon CITY OF EDMONDS, The following Documents are available for download- Downlo.ad PRELIM TITLE ORDER Download PRELIM TITLE ORDER To continue providing personal and professional service to our clients we ask that if you have any questions regarding your transaction, please do not hesitate to contact our office. Sincerely, Sue Moody, Escrow Officer Chicago Title Insurance Company 194th St Suite 100 Lynn 98 Lynnwood, WA 98036 Phone: 425-775-1840 Fax: 425-775-0990 Email: sue.moody@ctt.com Renee Olesen Escrow Assistant Phone: 425-775-1840 Email: renee.olesenCalctt.com This information along with much more is also available on Zimray.com. Please contact your Account Representative or Escrow Officer for a username/password. 73ml0sn] 1 /8/2009 REAL ESTATE PURCHASE AND SALE AGREEMENT This Real Estate Purchase and Sale Agreement ("Agreement") is dated, for reference purposes only, October 27, 2008. This Agreement is by and between Gregg Production Associates, a Washington corporation ("Seller"), and the City of Edmonds, a municipal corporation of the State of Washington ("Buyer" ), with references to the following facts: Whereas, the Seller is the owner of certain real property located in Snohomish County, Washington commonly referred to as "Old Milltown." Part of that property includes a strip of land known as "the Courtyard" over which the Buyer wishes to acquire an easement for public use. Now, therefore, in consideration of the terms and conditions of this Agreement, and the mutual covenants herein contained, Buyer and Seller hereby agree as follows: 1. Agreement to Buy and Sell. The Seller agrees to sell, and the Buyer agrees to purchase an easement for public use of the Courtyard under the terms and conditions stated in this Agreement. 2. Purchase and Sale Price. The Buyer offers to purchase for TWO HUNDRED THIRTY-FIVE THOUSAND AND NO/100 DOLLARS ($235,000.00), an easement for passive park purposes on and over the area described in Exhibit C (hereinafter "Courtyard"). Use of the easement is limited to passive park uses including open space, landscaping and use as a public gathering space. (a) Improvements. The Buyer shall have the right and obligation to install and maintain a surface of pavers, concrete or other surface consistent with the use of the Courtyard as a public gathering space (hereafter "pavement'). Pavement installed shall, at a minimum, comply with engineering requirements for sidewalk surfaces. The installation of pavement shall minimize the disturbance of underlying soil, and any soil or other materials removed shall be disposed of in accordance with the requirements of state and federal law. Nothing herein shall be interpreted to obligate the City to provide any vapor barrier, cap or subsurface material beneath the pavement other than that which is required for or consistent with the installation of the selected pavement. (i) The Buyer shall have the right to install landscaping, planter boxes, benches, tables and public art on the Courtyard consistent with a public gathering space. No structure shall exceed 40 inches in height and landscaping installations shall be consistent with Architectural Design Board guidelines. In addition, up to two (2) gazebo structures consistent with the gazebo previously maintained on the site may be installed and maintained. Nothing herein shall be interpreted to prohibit the maintenance of existing trees or the planting and maintenance of additional trees consistent with the City's street tree program. {WSS693513.DOC;1/00006.900000/1 REAL ESTATE PURCHASE AND SALE AGREEMENT — Page I of 16 Seller: MG Buyer (ii) The installation of improvements on the Courtyard shall be designed to maintain walkways to adjacent properties consistent with the engineering requirements of the City of Edmonds, the State Building Code and the requirements of state and federal law regarding accessibilities of buildings. (b) The adjacent property, as described in the attached Exhibit A shall retain all right, interest and obligation in the subsurface area below the pavement surface. The "pavement surface" is hereby defined as an area no greater than ten inches in depth from the existing grade including the foundation necessary for the Buyer's pavement improvements installed in accordance with Buyer's engineering guidelines and standards for sidewalks and walkways. (c) The improvements installed pursuant to this agreement shall not impair access to grease traps installed beneath the surface of the Courtyard area. The abutting property shall have a permanent construction easement over and across the park area, provided, however, that: (i) Any construction activities shall not exceed thirty days in length in any calendar year. If construction activities exceed thirty days in any calendar year, the abutting property owner shall pay a fee equal to that required by the Buyer for construction permits for street use activities. (ii) In the event of disruption of the improvements by the abutting property owner, the park area shall be restored at the abutting property owner's cost, to a condition at least equal to that which existed prior to the construction activities. (d) The adjacent property shall maintain the right to install awnings and decorative architectural elements above and over the Courtyard, provided that any exercise of these rights shall not impede public use of the Courtyard and shall be consistent with all requirements of City ordinance, the State Building Code and any limitations or requirements imposed by design or other similar review of the City of Edmonds pursuant to its ordinances. (e) Nothing herein shall be deemed to shift responsibility for compliance with any requirement of state or federal law from the current or future owners of the subsurface area to the Buyer. The parties warrant and acknowledge that they have reviewed environmental assessments of subsurface conditions and acknowledge that responsibility for the clean up of those conditions remains with the party to whom such liability resides under state and federal law. Nothing herein shall be deemed to shift that responsibility. 3. Description of Properties. The entire parcel presently owned by the Seller is described on Exhibit A. The Courtyard is approximately 2,200 in total square feet, about 22-foot-wide and 100-foot-long, running north and south from Maple Street North (also { WSS693513.DOC;1/00006.900000/} REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 2 of 16 Seller: XZ6 Buyer: herein "Property"). The Courtyard is depicted in Exhibit B as the "Proposed 22' X 100' acquisition," and legally described on the attached Exhibit C. 4. Title to be Conveyed to City. The Seller shall convey to Buyer good and marketable title to a public easement over the Courtyard, except for other easements which may presently exist of record. (a) Conveyance Deed. On the Closing Date, Seller shall convey to Buyer an easement over the Property by a duly executed and acknowledged Deed (the "Deed"), in substantially the form attached to this Agreement as Exhibit D, free and clear of all defects and encumbrances and subject only to those exceptions that Buyer approves pursuant to Section 4(b) below (the "Permitted Exceptions"). (b) Preliminary Title Commitment. The Buyer shall order a preliminary commitment for an owner's standard coverage policy of title insurance in the amount of the Purchase Price to be issued by Title Company and accompanied by copies of all documents referred to in the commitment (the "Preliminary Commitment"). Buyer shall advise Seller by written notice what exceptions to title, if any, are objected to by Buyer ("Objections") within ten (10) days following the Effective Date or following the receipt of the Preliminary Commitment, whichever date is later, but in no event later than the Closing Date. If Buyer fails to give notice before the expiration of the ten (10) day period, or by the Closing Date, whichever is earlier, Buyer will be deemed to have approved the title exceptions identified in the Preliminary Commitment and all such exceptions shall be Permitted Exceptions. No later than seven (7) days after receipt of Buyer's notice, Seller may give Buyer notice that (i) Seller will remove Objections or (ii) Seller elects not to remove Objections. If Seller fails to give Buyer such notice, Seller will be deemed to have given Buyer notice as of the seventh (7th) day after receipt of Buyer's notice, or the Closing Date, whichever is earlier, that Seller elected not to remove any of the Objections. Notwithstanding the foregoing, Seller will be required to remove any monetary liens, monetary assessments or monetary encumbrances affecting the Property prior to or as of the Closing Date. Immediately upon discovering the need to amend or add any exception to the Title Commitment, Escrow Agent shall notify Buyer and Seller. Within ten (10) business days after notice from Escrow Agent together with a copy of such intervening lien or matter, but in no event later than the Closing Date, Buyer shall notify Seller in writing of any objections thereto (the "Amendment Objections"). No later than seven (7) days after receipt of Buyer's notice, Seller may give Buyer notice that (i) Seller will remove Amendment Objections or (ii) Seller elects not to remove Amendment Objections. If Seller fails to give Buyer such notice, Seller will be deemed to have given Buyer notice as of the seventh (7th) day after receipt of Buyer's notice, or the Closing Date, whichever is earlier, that Seller elected not to remove any of the Amendment Objections. (c) Title Objections: If Seller elects not to remove any non -monetary Objections or Amendment Objections, Buyer will have five (5) days from receipt of Seller's notice, but in no event later than the Closing Date, to notify Seller of Buyer's election either to proceed with the purchase and take the Property subject to those {WSS693513.DOC;1/00006.900000/} REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 3 of 16 Seller: /% Buyer: exceptions, in which case the Objections and Amendment Objections shall be deemed Permitted Exceptions, or to terminate this Agreement. If Seller gives notice that it will cause one or more non -monetary Objections or Amendment Objections to be removed but fails to remove any of them from title on or before the Closing Date, Buyer may either (i) elect to terminate this Agreement by written notice to Seller, or (ii) proceed with the purchase and take the Property subject to those exceptions, which shall be deemed Permitted Exceptions. If Buyer elects to terminate this Agreement under this Section 4(c), the escrow will be terminated, all documents and funds, including the earnest money note, will be returned to the party who deposited them, and neither party will have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. If this Agreement is terminated due to non -removal of an Objection or Amendment Objection after Seller has agreed to remove it, then Seller will pay any costs of terminating the escrow and any cancellation fee for the Preliminary Commitment. (d) Title Policy. Buyer shall receive at Closing, at Seller's expense, an Owner's Standard Coverage Title Insurance Policy (ALTA Form 1970 with 1984 revisions) with such endorsements as Buyer may request, issued by the Title Company to be furnished to Buyer ("Title Policy"). The Title Policy shall be issued in the amount of the total Purchase Price and shall insure fee simple title to the Property in Buyer, subject only to the Permitted Exceptions. Buyer's obligation to close this transaction shall be contingent on Buyer's receipt of such Title Policy. If Buyer so elects, Buyer may purchase extended coverage with the additional portion of the premium for extended coverage to be paid by Buyer. 5. Earnest Money Deposit. Upon the execution of this Agreement (the "Effective Date"), Buyer shall deposit with Chicago Title in Edmonds, Washington (the "Escrow Agent" or "Title Company") the amount of Twenty Eight Thousand and no/100 Dollars ($28,000.00) as an earnest money deposit (the "Earnest Money"). The earnest money deposit shall be payable to the Seller only if the Buyer defaults under this Agreement. On the Closing Date, Buyer shall deposit with Escrow Agent the entire amount of the Purchase Price in cash, as adjusted for any amounts to be charged or credited against the Purchase Price in accordance with this Agreement. 6. Seller's Representations and Warranties. Seller hereby makes the following representations and warranties, which representations and warranties shall be deemed made by Seller to Buyer also as of the Closing Date: (a) Parties in Possession. There are no parties or trespassers in possession or which have a right to possession of all or any portion of the easement, and there are no leases, licenses, or encroachments affecting the easement, except those that can and will be eliminated at the time of Closing; (b) Foreign Person. Seller is not a foreign person and is a "United States Person" as such term is defined in Section 7701(a)(30) of the Internal Revenue Code of 1986, as amended (the "Code") and shall deliver to Buyer prior to the Closing an affidavit evidencing such fact and such other documents as may be required under the Code; {WSS693513.DOC;1/00006.900000/} REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 4 of 16 Seller: Adc� Buy et (c) Option to Acquire Premises. No person or entity has any right of first refusal or option to acquire any interest in the Property or any part thereof, and Seller has not sold or contracted to sell the Property or any portion thereof or interest therein other than as set forth herein; (d) Sole Legal Owner. Seller is the sole legal fee owner of the Property, and is not holding fee title as a nominee for any other person or entity; (e) Taxes. There are no governmental taxes, fees or other impositions on the Property, other than those that may be frilly paid or satisfied at time of Closing; 7. Closing. The following terms and conditions apply to the Closing of this purchase and sale: (a) Closing Date. Within five (5) business days following the expiration of the period established in Paragraph 4(c) (the "Closing Date"), the closing of the purchase of the Property (the "Closing") shall be held at the offices of the Escrow Agent. The Closing shall occur when the Deed to Buyer is recorded and the Purchase Price is delivered to the Escrow Agent for delivery to Seller. (b) Items to be Delivered by Seller. For and in consideration of, and as a condition precedent to, the payment to Seller of any of the Purchase Price, Seller shall obtain and deliver to Buyer at Closing the following documents (all of which shall be duly executed and acknowledged where required): (i) Deed of Dedication. A Deed of Dedication ("Deed") in recordable form and otherwise in form and substance reasonably acceptable to Buyer containing the legal description of the Property in such form as will convey to Buyer a good and marketable title in fee simple to the Property, free and clear of all liens, encumbrances, conditions, easements, assignments, and restrictions, except for the Permitted Exceptions; (ii) Title Documents. Such other documents, including, without limitation, lien waivers, indemnity bonds, and indemnification agreements as shall be reasonably required by the Title Company as a condition to its insuring Buyer's good and marketable fee simple title to the Property free of any exceptions, other than the Permitted Exceptions; (iii) Excise Tax Affidavit. An excise tax affidavit for filing with the Snohomish County Auditor at the time of recording Deed; (iv) FIRPTA Affidavit. The affidavit of non -foreign status described in Section 7(b) of this Agreement, as required by federal tax law; (v) Title Policy. The Title Policy referred to in Section 4(d) of this Agreement. (c) Items to be Delivered by Buyer. Buyer shall deliver the Purchase Price. (d) Payment of Costs. Seller and Buyer shall pay their own respective costs incurred with respect to this Agreement and the consummation of the purchase and sale of the Property including, without limitation, their own respective attorneys' fees. Notwithstanding the foregoing: (i) Seller shall pay the costs of a standard owner's title { WSS693513.DOC;1/00006.900000/} REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 5 of 16 Seller: A& Buyer: _ ^ policy and Buyer shall pay the costs, if any, of the extended coverage of the Title Policy; (ii) Buyer shall pay the fee to record the deed; (iii) Buyer and Seller shall each pay one- half of the escrow fee; and (iv) Seller shall pay any real estate excise tax due on the transaction. 8. Notices. Unless applicable law requires a different method of giving notice, any and all notices, demands or other communications required or desired to be given hereunder by any party (collectively, "notices") shall be in writing and shall be validly given or made to another party if delivered either personally or by Federal Express or other overnight delivery service of recognized standing, or if deposited in the United States mail, certified, registered, or express mail with postage prepaid. If such notice is personally delivered, it shall be conclusively deemed given at the time of such delivery. If such notice is delivered by Federal Express or other overnight delivery service of recognized standing, it shall be deemed given twenty-four (24) hours after the deposit thereof with such delivery service. If such notice is mailed as provided herein, such shall be deemed given forty-eight (48) hours after the deposit thereof in the United States mail. Each such notice shall be deemed given only if properly addressed to the party to whom such notice is to be given as follows: To Seller: Robert Gregg Gregg Production Associates, Inc. 51 West Dayton St., Suite 304 Edmonds WA 98020 With a copy to: Gary Krohn Northgate Executive Center II 9725 3rd Avenue N.E., Suite 600 Seattle WA 98115-2060 To Buyer: City of Edmonds Attn: Sandy Chase 121 5th Avenue North Edmonds, WA 98020 With a copy to: W. Scott Snyder, City Attorney Ogden Murphy Wallace P.L.L.C. 1601 Fifth Avenue, Suite 2100 Seattle, WA 98101 Any party hereto may change its address for the purpose of receiving notices as herein provided by a written notice given in the manner aforesaid to the other party hereto. { W SS693513.DOC;1/00006.900000/} REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 6 of 16 Seller: ZG Buyer: 9. Event of Default. In the event of a default under this Agreement by Seller (including a breach of any representation, warranty or covenant set forth herein), Buyer shall be entitled (a) in addition to all other remedies, to seek monetary damages and specific performance of Seller's obligations hereunder; or (b) to terminate this Agreement by written notice to Seller and Escrow Agent. In the event of a breach or default by Buyer without any default by Seller or failure of any condition to Buyer's obligations hereunder, Seller's sole and exclusive remedy shall be to recover liquidated damages from Buyer in the amount of the Earnest Money. The parties acknowledge that in the event of such default by Buyer, Seller will have incurred substantial but unascertainable damages and that therefore the provision herein for liquidated damages is a valid one. 10. Miscellaneous Provisions. The following miscellaneous terms and conditions apply: (a) Possession. Buyer shall be entitled to possession of the easement on Closing. (b) Survival of Representations and Warranties. All representations, warranties, covenants indemnities, and agreements of the parties contained in this Agreement, or in any instrument or other writing provided for herein, shall survive the Closing. (c) Termination. In the event of a termination of this Agreement for any reason, the escrow will be terminated, all documents and funds will be returned to the party who deposited them except as otherwise provided herein, and neither party will have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. (d) Applicable Law and Venue. This Agreement shall in all respects be governed by the laws of the State of Washington, and any action at law or equity to enforce or interpret its terms shall be filed in the Superior Court, Snohomish County, Washington. (e) Further Assurances. Each of the parties shall execute and deliver any and all additional papers, documents and other assurances and shall do any and all acts and things reasonably necessary in connection with the performance of its obligations hereunder, to carry out the intent of the parties hereto. (f) Modification or Amendment. No amendment, change or modification of this Agreement shall be valid, unless in writing and signed by all of the parties hereto. Assignment. This Agreement may not be assigned without the prior written content of all parties. {WSS693513.DOC;1/00006.900000/1 REAL ESTATE PURCHASE e AND SALE AGREEMENT — Page 7 of 16 Seller: ,t�, /IG Buyer: (g) Successors and Assigns. All of the terms and provisions contained herein shall inure to the benefit of and shall be binding upon the parties hereto and their respective heirs, legal representatives, successors and assigns. (h) Entire Agreement. This Agreement constitutes the entire understanding and agreement of the parties with respect to its subject matter and any and all prior agreements, understandings or representations with respect to its subject matter are hereby canceled in their entirety and are of no further force or effect. (i) Attorneys' Fees. Should either party bring suit to enforce this Agreement, the prevailing party in such lawsuit shall be entitled to an award of its reasonable attorneys' fees and costs incurred in connection with such lawsuit. 0) Interpretation. This Agreement has been submitted to the scrutiny of all parties and their counsel, if desired, and it shall be given a fair and reasonable interpretation in accordance with its words, without consideration to or weight given to its being drafted by any party or its counsel. The captions and paragraph headings used in this Agreement are inserted for convenience of reference only and are not intended to define, limit or affect the interpretation or construction of any term or provision hereof. (k) Counterparts. This Agreement may be signed in counterparts and all of such counterparts when properly executed by the appropriate parties thereto together shall serve as a fully executed document, binding upon the parties. BUYER: CITY Ozawrl�� By: Gary aakenson, Mayor ATTEST/AUTHENTICATED: By: andra S. Chase, City Clerk Dated: /.- 91,- Q 9 Dated: l- �5 - 0 APPROVED S OR By: Dated: �� ✓�-y W. Scott Snyder, City At ley SELLER: GREGG PRODUCTION ASSOCIATES, INC. By: � C Dated: Robert Gregg, President Of {W SS693513.DOC;1/00006.900000/} REAL ESTATE PURCHASE AND SALE AGREEMENT - Page 8 of 16 ((f Z 5 1200$ Seller: 416 Buyer: Exhibit A Legal Description of Seller's Property Property Address: 201 5ch Avenue South, Edmonds, WA 98020 Parcel Number: 00434212103700 Legal Description: CITY OF EDMONDS BLK 121 D-00-LOT 37 EXC E 16FT THOF & ALL LOTS 38-39-40 TGW S1/2 VAC ALLEY ADJ SD LOTS EXC E 16FT LOT 37 THOF { W S S 693513.D OC;1 /00006.900000/} REAL ESTATE PURCHASE �/� AND SALE AGREEMENT — Page 9 of 16 Seller: i G Buyer: Iw Exhibit B General Description and Location of Courtyard DAY FN Si.� M T M I S0' T— T T I 30 ! � o J�@ 1 al 0 l a! in PLAT QF 111E TY -17 OF DLigNN3 _J @LOCK 121 w 1 l �f 40 i 39 38 1 N ] C� + f TAX PARCEL //00434212103700 E'1tpPd1OW � I AWmnm l -- 104.00' MAPLE SI. SCALE IN FEET 50 0 50 100 EXHIBIT B 728 1346 Sired SW • Suite 200 " Mil Evetelf, k6i9lon 98204 Ph; 425 741—m SCALE: 1° = 50' DATF" 03/31/08 I:\22\2008\001 \5TH--A1APLE-ACQ UISITION. DWG EXHIBIT B { W SS693513.DOC;1 /00006.900000/} REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 10 of 16 Seller: A�- Buyer: 0 eGa a e' P1'•` Exhibit B General Description and Location of Courtyard iiw: n"ate r.{ II Rr.1i � a" P1C }j}L ��i k rlRry x w� S u!c AN. 4. IEj � � �.�r •i ••T.�y, W �� 5q I rot" PDNWEMT M C u NSIIEb 11/IS/20P6 '~ ¢ww Ltlr mr a' b:N .y t R aee. a' a { W SS693513.DOC;1 /00006.900000/} REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 11 of 16 DAMN $TREE? S C R am rL�'I MT Or THE CITY OF EDMCND5 %LOCH 121 1-]1a5t eg0...rc r caxnER' NLINNiM: N.LU. I IC 'Jirl r]' Nn�rl']d'E A.4'.r r J � /ae'ie] t 1 elrnNL1 1 I 1 I T k 1 I I I e511AL1 PMRMC � 011 TNP M SixcTE I l ` NWIL; k � B 1 1 F j' r ► r 1 / EXHIBIT B Seller: li'(, Buyer: Exhibit C Legal Description of Courtyard ACQUISITION LEGAL, D-WRIPTION 1,1113 SOUTH 100.00 I I:E"f OF TIaE WLST 22.00 r•EI37 Ol-'I..o'r 40, 8LOCK 121, PLAT OP'TI•IE CITY OF FDMONDS, AS RLCORDrD IN VOLUMI- 2 OF PLATS, PAGF, 39, RI CORI>S OF SNOWOMISI•I COUNTY, WAS11INGTON. SI'I'LJA'I'G IN SECTION 24, TOWNSHIP 27 NORTH, RANG]; 3 BAST, W.M. 1N TI-IE CITY OF f UMONDS, COI)NTY OF SNOHOMISI•i, STATL OF WAS1-11NGTON. SAID ACQUISITION CONTAINING 2,200 SQ. 1' E-r, MORL OR LESS. MARCH 31, 2008 JBRRY J FRANKLIN, PLS 11 37527 128 134"' Sl. SW Everett, WA 98201 425n41-3800 { W SS693513.DOC;1 /00006.900000/} REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 12 of 16 Seller: 46 Buyer: EXHIBIT D Quit Claim Deed When Recorded Return To: W. Scott Snyder OGDEN MURPHY WALLACE, P.L.L.C. 1601 Fifth Avenue, Suite 2100 Seattle, Washington 98101-1686 Document Title: QUIT CLAIM DEED Reference Number s of Related Documents: N/A Grantor: Gregg Productions Associates Grantee: City of Edmonds, Snohomish County, Washington Legal Description: Additional Legal Description on Page 4 Assessor's Tax Account Number: 00434212103700 Consideration: For good and valuable consideration the sufficiency and receipt of which are hereby acknowledged. Conveyance of Grantor's Interest: For the above -mentioned consideration, the Grantor, whose address is 51 West Dayton Street, Suite 304, hereby releases, quit claims and conveys an easement in the Described Property to Grantee for public use of a tract of land described herein. Use of the easement is limited to passive park uses including open space, landscaping and use as a public gathering space. (a) Improvements. The Buyer shall have the right and obligation to install and maintain a surface of pavers, concrete or other surface consistent with the use of the Courtyard as a public { W SS693513.D OC;1/00006.9000001 REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 13 of 16 Seller: rG Buyer: gathering space (hereafter "pavement'). Pavement installed shall, at a minimum, comply with engineering requirements for sidewalk surfaces. The installation of pavement shall minimize the disturbance of underlying soil, and any soil or other materials removed shall be disposed of in accordance with the requirements of state and federal law. Nothing herein shall be interpreted to obligate the City to provide any vapor barrier, cap or subsurface material beneath the pavement other than that which is required for or consistent with the installation of the selected pavement. (i) The Buyer shall have the right to install landscaping, planter boxes, benches, tables and public art on the Courtyard consistent with a public gathering space. No structure shall exceed 40 inches in height and landscaping installations shall be consistent with Architectural Design Board guidelines. In addition, up to two (2) gazebo structures consistent with the gazebo previously maintained on the site may be installed and maintained. Nothing herein shall be interpreted to prohibit the maintenance of existing trees or the planting and maintenance of additional trees consistent with the City's street tree program. (ii) The installation of improvements on the Courtyard shall be designed to maintain walkways to adjacent properties consistent with the engineering requirements of the City of Edmonds, the State Building Code and the requirements of state and federal law regarding accessibilities of buildings. (b) The adjacent property, as described in the attached Exhibit A shall retain all right, interest and obligation in the subsurface area below the pavement surface. The "pavement surface" is hereby defined as an area no greater than ten inches in depth from the existing grade including the foundation necessary for the Buyer's pavement improvements installed in accordance with Buyer's engineering guidelines and standards for sidewalks and walkways. (c) The improvements installed pursuant to this agreement shall not impair access to grease traps installed beneath the surface of the Courtyard area. The abutting property shall have a permanent construction easement over and across the park area, provided, however, that: (i) Any construction activities shall not exceed thirty days in length in any calendar year. If construction activities exceed thirty days in any calendar year, the abutting property owner shall pay a fee equal to that required by the Buyer for construction permits for street use activities. (ii) In the event of disruption of the improvements by the abutting property owner, the park area shall be restored at the {W SS693513.DOC;1/00006.9000001 REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 14 of 16 Seller: Buyer: abutting property owner's cost, to a condition at least equal to that which existed prior to the construction activities. (d) The adjacent property shall maintain the right to install awnings and decorative architectural elements above and over the Courtyard, provided that any exercise of these rights shall not impede public use of the Courtyard and shall be consistent with all requirements of City ordinance, the State Building Code and any limitations or requirements imposed by design or other similar review of the City of Edmonds pursuant to its ordinances. (e) Nothing herein shall be deemed to shift responsibility for compliance with any requirement of state or federal law from the current or future owners of the subsurface area to the Buyer. The parties warrant and acknowledge that they have reviewed environmental assessments of subsurface conditions and acknowledge that responsibility for the clean up of those conditions remains with the party to whom such liability resides under state and federal law. Nothing herein shall be deemed to shift that responsibility. .4 Dated this 2 s +' day of Nyd ¢.w b e. , 2008. GRANTOR: STATE OF WASHINGTON ) ss COUNTY OF .S, l4wc,Aois� ) I certify that I know or have satisfactory evidence that o 6e rz JZ C-,A-eZG is the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the Pies ) ,,-v-Xof G PeecK�rud A-ssd6� •�sN� to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. SUBSCRIBED AND SWORN TO before me this ,Z51ay of 2008. IW SS693513.DOC;1/00006.9000001 REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 15 of 16 NOTARY PUBLIC FOR WASHINGTON residing at A; P-e5�4a r k Appointment Expires: '?- /- Z �17 Seller: Af 6 Buyer: EXHIBIT A LEGAL DESCRIPTION ACQUISITION LEGAL DESCRIPTION T'I IC SOUT13 100.00 PIEETOF T1.1L WEST 22.00 FLIT OF UOT 40, BLOCK 121, PLAT OF TIE CITY OF EDMONDS, AS RECORDED IN VOLUMi 2 OF PLATS, PAGE 39, RI -CORDS OF SNOI10MIS11 COUNTY, WAS fi INGTON. SITUATE IN SECTION 24, TOWNSHIP 27 NORT I•I, RANG]'-" 3 EAST, W.M. 1N TI•IE Cl"TY OF t UMONDS, COUNTY OF SNOHOMISI•I, STATC OF WASI•I INO"TUN. SAID ACQUISITION CONTAINING 2,200 SQ. i EC:"i, MORE OR LESS. MARCH 31, 2008 JI,RRY J FRANKLIN, PLS n '•.rJ, 128 134"' Sl, SW Everett, WA 98204 425/941-3800 {WSS693513.DOC;1/00006.900000/) REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 16 of16 Seller: ,��G Buyer: ADDENDUM REAL ESTATE PURCHASE AND SALE AGREEMENT The following is a part of the Real Estate Purchase and Sale Agreement ("the Agreement"), dated October 27, 2008 between The City of Edmonds ("Buyer") and Gregg Production Associates, Inc. ("Seller") regarding the Old Milltown Courtyard. IT IS AGREED BETWEEN THE SELLER AND BUYER AS FOLLOWS: 1. Price. The purchase and sale price is $250,000.00 2. Access to Existing Commercial Spaces. To the extent that paragraph 2(a)(ii) is not explicit, the Buyer shall not use the property or construct any improvements in a manner which unreasonably restricts access to and from the existing commercial spaces at "Old Milltown." This provision shall be made a part of the deed so that "adjacent properties" is deemed to include the existing structure that the Seller is retaining. 3. "Park Area." The "park area," as set forth on page 14 (which in turn becomes part of the deed) is intended to means the entire courtyard area being sold. H H Buyer: Date: November _, 2008 Seller: //i 6 Date: November Z S, 2008 Buyer: Date: November 2008 Seller: Date: Neven+er , 29H Manua rj 5, a009 AM-1971 Old Milltown P&S agreement Edmonds City Council Meeting Date: 12/16/2008 Submitted By: Linda Carl Submitted For: Gary Haakenson Time: Department: Mayor's Office Tyne: Review Committee: Action: 30 Minutes Action Information Subject Title Discussion and potential action on the Real Estate Purchase and Sale Agreement for the purchase of an easement for public use of a strip of land known as "the Courtyard at Old Milltown." Recommendation from Mayor and Staff There is no staff recommendation. 9. Previous Council Action Narrative The City Council previously directed Mayor Haakenson to negotiate with the property owner regarding the strip of land in front of Old Milltown commonly known as "the courtyard." In November, a deal was reached according to the terms set by the Council. It is now up to the Council as to whether or not they would like to purchase the easement for public use of the courtyard. Fiscal Impact Attachments Link: PBS Agreement Link: Response from B. Gregg, Link: Addendum Form Routing/Status Route Seq Inbox Approved By Date Status 1 City Clerk Sandy Chase 12/09/2008 04:02 PM APRV 2 Mayor Gary Haakenson 12/09/2008 05:02 PM APRV 3 Final Approval Sandy Chase 12/09/2008 05:04 PM APRV Form Started By: Linda Carl Started On: 12/09/2008 03:34 PM Final Approval Date: 12/09/2008 REAL ESTATE PURCHASE AND SALE AGREEMENT This Real Estate Purchase and Sale Agreement ("Agreement") is dated, for reference purposes only, October 27, 2008. This Agreement is by and between Gregg Production Associates, a Washington corporation ("Seller"), and the City of Edmonds, a municipal corporation of the State of Washington ("Buyer" ), with references to the following facts: Whereas, the Seller is the owner of certain real property located in Snohomish County, Washington commonly referred to as "Old Milltown." Part of that property includes a strip of land known as "the Courtyard" over which the Buyer wishes to acquire an easement for public use. Now, therefore, in consideration of the terms and conditions of this Agreement, and the mutual covenants herein contained, Buyer and Seller hereby agree as follows: 1. Agreement to Buy and Sell. The Seller agrees to sell, and the Buyer agrees to purchase an easement for public use of the Courtyard under the terms and conditions stated in this Agreement. 2. Purchase and Sale Price. The Buyer offers to purchase for TWO HUNDRED THIRTY-FIVE THOUSAND AND NO/100 DOLLARS ($235,000.00), an easement for passive park purposes on and over the area described in Exhibit C (hereinafter "Courtyard"). Use of the easement is limited to passive park uses including open space, landscaping and use as a public gathering space. (a) Improvements. The Buyer shall have the right and obligation to install and maintain a surface of pavers, concrete or other surface consistent with the use of the Courtyard as a public gathering space (hereafter "pavement'). Pavement installed shall, at a minimum, comply with engineering requirements for sidewalk surfaces. The installation of pavement shall minimize the disturbance of underlying soil, and any soil or other materials removed shall be disposed of in accordance with the requirements of state and federal law. Nothing herein shall be interpreted to obligate the City to provide any vapor barrier, cap or subsurface material beneath the pavement other than that which is required for or consistent with the installation of the selected pavement. (i) The Buyer shall have the right to install landscaping, planter boxes, benches, tables and public art on the Courtyard consistent with a public gathering space. No structure shall exceed 40 inches in height and landscaping installations shall be consistent with Architectural Design Board guidelines. In addition, up to two (2) gazebo structures consistent with the gazebo previously maintained on the site may be installed and maintained. Nothing herein shall be interpreted to prohibit the maintenance of existing trees or the planting and maintenance of additional trees consistent with the City's street tree program. {wSS 693513.DOC;1/00006.900000n REAL ESTATE PURCHASE AND SALE AGREEMENT — Page I of 16 Seller: A ��G Buyer: (ii) The installation of improvements on the Courtyard shall be designed to maintain walkways to adjacent properties consistent with the engineering requirements of the City of Edmonds, the State Building Code and the requirements of state and federal law regarding accessibilities of buildings. (b) The adjacent property, as described in the attached Exhibit A shall retain all right, interest and obligation in the subsurface area below the pavement surface. The "pavement surface" is hereby defined as an area no greater than ten inches in depth from the existing grade including the foundation necessary for the Buyer's pavement improvements installed in accordance with Buyer's engineering guidelines and standards for sidewalks and walkways. (c) The improvements installed pursuant to this agreement shall not impair Access to grease traps installed beneath the surface of the Courtyard area. The abutting property shall have a permanent construction easement over and across the park area, provided, however, that: (1) Any construction activities shall not exceed thirty days in length in any calendar year. If construction activities exceed thirty days in any calendar year, the abutting property owner shall pay a fee equal to that required by the Buyer for construction permits for street use activities. (ii) In the event of disruption of the improvements by the abutting property owner, the park area shall be restored at the abutting property owner's cost, to a condition at least equal to that which existed prior to the construction activities. (d) The adjacent property shall maintain the right to install awnings and decorative architectural elements above and over the Courtyard, provided that any exercise of these rights shall not impede public use of the Courtyard and shall be consistent with all requirements of City ordinance, the State Building Code and any limitations or requirements imposed by design or other similar review of the City of Edmonds pursuant to its ordinances. (e) Nothing herein shall be deemed to shift responsibility for compliance with any requirement of state or federal law from the current or future owners of the subsurface area to the Buyer. The parties warrant and acknowledge that they have reviewed environmental assessments of subsurface conditions and acknowledge that responsibility for the clean up of those conditions remains with the party to whom such liability resides under state and federal law. Nothing herein shall be deemed to shift that responsibility. 3. Description of Properties. The entire parcel presently owned by the Seller is described on Exhibit A. The Courtyard is approximately 2,200 in total square feet, about 22-foot-wide and 100-foot-long, running north and south from Maple Street North (also {WSS693513.DOC;1 /00006.9000001 REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 2 of 16 Seller: oe,16 Buyer: herein "Property"). The Courtyard is depicted in Exhibit B as the "Proposed 22' X 100' acquisition," and legally described on the attached Exhibit C. 4. Title to be Conveyed to City. The Seller shall convey to Buyer good and marketable title to -a public easement over the Courtyard, except for other easements which may presently exist of record. (a) Conveyance Deed. On the Closing Date, Seller shall convey to Buyer an easement over the Property by a duly executed and acknowledged Deed (the "Deed"), in substantially the form attached to this Agreement as Exhibit D, free and clear of all defects and encumbrances and subject only to those exceptions that Buyer approves pursuant to Section 4(b) below (the "Permitted Exceptions"). (b) Preliminary Title Commitment. The Buyer shall order a preliminary commitment for an owner's standard coverage policy of title insurance in the amount of the Purchase Price to be issued by Title Company and accompanied by copies of all documents referred to in the commitment (the "Preliminary Commitment"). Buyer shall advise Seller by written notice what exceptions to title, if any, are objected to by Buyer ("Objections") within ten (10) days following the Effective Date or following the receipt of the Preliminary Commitment, whichever date is later, but in no event later than the Closing Date. If Buyer fails to give notice before the expiration of the ten (10) day period, or by the Closing Date, whichever is earlier, Buyer will be deemed to have approved the title exceptions identified in the Preliminary Commitment and all such exceptions shall be Permitted Exceptions. No later than seven (7) days after receipt of Buyer's notice, Seller may give Buyer notice that (i) Seller will remove Objections or (ii) Seller elects not to remove Objections. If Seller fails to give Buyer such notice, Seller will be deemed to have given Buyer notice as of the seventh (7th) day after receipt of Buyer's notice, or the Closing Date, whichever is earlier, that Seller elected not to remove any of the Objections. Notwithstanding the foregoing, Seller will'be required to remove any monetary liens, monetary assessments or monetary encumbrances affecting the Property prior to or as of the Closing Date. Immediately upon discovering the need to amend or add any exception to the Title Commitment, Escrow Agent shall notify Buyer and Seller. Within ten (10) business days after notice from Escrow Agent together with a copy of such intervening lien or matter, but in no event later thanthe Closing Date, Buyer shall notify Seller in writing of any objections thereto (the "Amendment Objections"). No later than seven (7) days after receipt of Buyer's notice, Seller may give Buyer notice that (i) Seller will remove Amendment Objections or (ii) Seller elects not to remove Amendment Objections. If Seller fails to give Buyer such notice, Seller will be deemed to have given Buyer notice as of the seventh (7th) day after receipt of Buyer's notice, or the Closing Date, whichever is earlier, that Seller elected not to remove any of the Amendment Objections. (c) Title Objections: If Seller elects not to remove any non -monetary Objections or Amendment Objections, Buyer will have five (5) days from receipt of Seller's notice, but in no event later than the Closing Date, to notify Seller of Buyer's election either to proceed with the purchase and take the Property subject to those {WSS693513.DOC;1100006.9000004 REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 3 of 16 Seller: 1QG Buyer: exceptions, in which case the Objections and Amendment Objections shall be deemed Permitted Exceptions, or to terminate this Agreement. If Seller gives notice that it will cause one or more non -monetary Objections or Amendment Objections to be removed but fails to remove any of them from title on or before the Closing Date, Buyer may either (i) elect to terminate this Agreement by written notice to Seller, or (ii) proceed with the purchase and take the Property subject to those exceptions, which shall be deemed Permitted Exceptions. If Buyer elects to terminate this Agreement under this Section 4(c), the escrow will be terminated, all documents and funds, including the earnest money note, will be returned to the party who deposited them, and neither party will have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. If this Agreement is terminated due to non -removal of an Objection or Amendment Objection after Seller has agreed to remove it, then Seller will pay any costs of terminating the escrow and any cancellation fee for the Preliminary Commitment. (d) Title Policy. Buyer shall receive at Closing, at Seller's expense, an Owner's Standard Coverage Title Insurance Policy (ALTA Form 1970 with 1984 revisions) with such endorsements as Buyer may request, issued by the Title Company to be furnished to Buyer ("Title Policy"). The Title Policy shall be issued in the amount of the total Purchase Price and shall insure fee simple title to the Property in Buyer, subject only to the Permitted Exceptions. Buyer's obligation to close this transaction shall be contingent on Buyer's receipt of such Title Policy. If Buyer so elects, Buyer may purchase extended coverage with the additional portion of the premium for extended coverage to be paid by Buyer. 5. Earnest Money Deposit. Upon the execution of this Agreement (the "Effective Date"), Buyer shall deposit with Chicago Title in Edmonds, Washington (the "Escrow Agent" or "Title Company") the amount of Twenty Eight Thousand and no/100 Dollars ($28,000.00) as an earnest money deposit (the "Earnest Money"). The earnest money deposit shall be payable to the Seller only if the Buyer defaults under this Agreement. On the Closing Date, Buyer shall deposit with Escrow Agent the entire amount of the Purchase Price in cash, as adjusted for any amounts to be charged or credited against the Purchase Price in accordance with this Agreement. 6. Seller's Representations and Warranties. Seller hereby makes the following representations and warranties, which representations and warranties shall be deemed made by Seller to Buyer also as of the Closing Date: (a) Parties in Possession. There are no parties or trespassers in possession or which have a right to possession of all or any portion of the easement, and there are no leases, licenses, or encroachments affecting the easement, except those that can and will be eliminated at the time of Closing; (b) Foreign Person. Seller is not a foreign person and is a "United States Person" as such term is defined in Section 7701(a)(30) of the Internal Revenue Code of 1986, as amended (the "Code") and shall deliver to Buyer prior to the Closing an affidavit evidencing such fact and such other documents as may be required under the Code; {WSS693513.DOC;1/00006.900000/) REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 4 of 16 Seller: Buyer: (c) Option to Acquire Premises. No person or entity has any right of first refusal or option to acquire any interest in the Property or any part thereof, and Seller has not sold or contracted to sell the Property or any portion thereof or interest therein other than as set forth herein; (d) Sole Legal Owner. Seller is the sole legal fee owner of the Property, and is not holding fee title as a nominee for any other person or entity; (e) Taxes. There are no governmental taxes, fees or other impositions on the Property, other than those that may be fully paid or satisfied at time of Closing; 7. Closing. The following terms and conditions apply to the Closing of this purchase and sale: (a) Closing Date. Within five (5) business days following the expiration of the period established in Paragraph 4(c) (the "Closing Date"), the closing of the purchase of the Property (the "Closing") shall be held at the offices of the Escrow Agent. The Closing shall occur when the Deed to Buyer is recorded and the Purchase Price is delivered to the Escrow Agent for delivery to Seller. (b) Items to be Delivered by Seller. For and in consideration of, and as a condition precedent to, the payment to Seller of any of the Purchase Price, Seller shall obtain and deliver to Buyer at Closing the following documents (all of which shall be duly executed and acknowledged where required): (i) Deed of Dedication. A Deed of Dedication ("Deed") in recordable form and otherwise in form and substance reasonably acceptable to Buyer containing the legal description of the Property in such form as will convey to Buyer a good and marketable title in fee simple to the Property, free and clear of all liens, encumbrances, conditions, easements, assignments, and restrictions, except for the Permitted Exceptions; (ii) Title Documents. Such other documents, including, without limitation, lien waivers, indemnity bonds, and indemnification agreements as shall be reasonably required by the Title Company as a condition to its insuring Buyer's good and marketable fee simple title to the Property free of any exceptions, other than the Permitted Exceptions; (iii) Excise Tax Affidavit. An excise tax affidavit for filing with the Snohomish County Auditor at the time of recording Deed; (iv) FIRPTA Affidavit. The affidavit of non -foreign status described in Section 7(b) of this Agreement, as required by federal tax law; (v) Title Policy. The Title Policy referred to in Section 4(d) of this Agreement. (c) Items to be Delivered by Buyer. Buyer shall deliver the Purchase Price. (d) Payment of Costs. Seller and Buyer shall pay their own respective costs incurred with respect to this Agreement and the consummation of the purchase and sale of the Property including, without limitation, their own respective attorneys' fees. Notwithstanding the foregoing: (i) Seller shall pay the costs of a standard owner's title (WSS693513.D0C;Il00006.9000001) REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 5 of 16 Seller: AO&C, Buyer: policy and Buyer shall pay the costs, if any, of the extended coverage of the Title Policy; (ii) Buyer shall pay the fee to record the deed; (iii) Buyer and Seller shall each pay one- half of the escrow fee; and (iv) Seller shall pay any real estate excise tax due on the transaction. 8. Notices. Unless applicable law requires a different method of giving notice, any and all notices, demands or other communications required or desired to be given hereunder by any party (collectively, "notices") shall be in writing and shall be validly given or made to another party if delivered either personally or by Federal Express or other overnight delivery service of recognized standing, or if deposited in the United States mail, certified, registered, or express mail with postage prepaid. If such notice is personally delivered, it shall be conclusively deemed given at the time of such delivery. If such notice is delivered by Federal Express or other overnight delivery service of recognized standing, it shall be deemed given twenty-four (24) hours after the deposit thereof with such delivery service. If such notice is mailed as provided herein, such shall be deemed given forty-eight (48) hours after the deposit thereof in the United States mail. Each such notice shall be deemed given only if properly addressed to the party to whom such notice is to be given as follows: To Seller: Robert Gregg Gregg Production Associates, Inc. 51 West Dayton St., Suite 304 Edmonds WA 98020 With a copy to: Gary Krohn Northgate Executive Center II 9725 3rd Avenue N.E., Suite 600 Seattle WA 98115-2060 To Buyer: City of Edmonds Attn: Sandy Chase 121 5th Avenue North Edmonds, WA 98020 With a copy to: W. Scott Snyder, City Attorney Ogden Murphy Wallace P.L.L.C. 1601 Fifth Avenue, Suite 2100 Seattle, WA 98101 Any party hereto may change its address for the purpose of receiving notices as herein provided by a written notice given in the manner aforesaid to the other party hereto. {WSS693513.DOC;1/00006.9000001) REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 6 of 16 Seller: A& Buyer: 9. Event of Default. In the event of a default under this Agreement by Seller (including a breach of any representation, warranty or covenant set forth herein), Buyer shall be entitled (a) in addition to all other remedies, to seek monetary damages and specific performance of Seller's obligations hereunder; or (b) to terminate this Agreement by written notice to Seller and Escrow Agent. 1n the event of a breach or default by Buyer without any default by Seller or failure of any condition to Buyer's obligations hereunder, Seller's sole and exclusive remedy shall be to recover liquidated damages from Buyer in the amount of the Earnest Money. The parties acknowledge that in the event of such default by Buyer, Seller will have incurred substantial but unascertainable damages and that therefore the provision herein for liquidated damages is a valid one. 10. Miscellaneous Provisions. The following miscellaneous terms and conditions apply: (a) Possession. Buyer shall be entitled to possession of the easement on Closing. (b) Survival of Representations and Warranties. All representations, warranties, covenants indemnities, and agreements of the parties contained in this Agreement, or in any instrument or other writing provided for herein, shall survive the Closing. (c) Termination. In the event of a termination of this Agreement for any reason, the escrow will be terminated, all documents and funds will be returned to the party who deposited them except as otherwise provided herein, and neither party will have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. (d) Applicable Law and Venue. This Agreement shall in all respects be governed by the laws of the State of Washington, and any action at law or equity to enforce or interpret its terms shall be filed in the Superior Court, Snohomish County, Washington. (e) Further Assurances. Each of the parries shall execute and deliver any and all additional papers, documents and other assurances and shall do any and all acts and things reasonably necessary in connection with the performance of its obligations hereunder, to carry out the intent of the parties hereto. (f) Modification or Amendment. No amendment, change or modification of this Agreement shall be valid, unless in writing and signed by all of the parties hereto. Assignment. This Agreement may not be assigned without the prior written content of all parties. {WSS693513.DOC;1/00006.9000001 REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 7 of 16 Seller: ,4/16 Buyer: (g) Successors and Assigns. All of the terms and provisions contained herein shall inure to the benefit of and shall be binding upon the parties hereto and their respective heirs, legal representatives, successors and assigns. (h) Entire Agreement. This Agreement constitutes the entire understanding and agreement of the parties with respect to its subject matter and any and all prior agreements, understandings or representations with respect to its subject matter are hereby canceled in their entirety and are of no further force or effect. (i) Attorneys' Fees. Should either party bring suit to enforce this Agreement, the prevailing party in such lawsuit shall be entitled to an award of its reasonable attorneys' fees and costs incurred in connection with such lawsuit. (j) Interpretation. This Agreement has been submitted to the scrutiny of all parties and their counsel, if desired, and it shall be given a fair and reasonable interpretation in accordance with its words, without consideration to or weight given to its being drafted by any party or its counsel. The captions and paragraph headings used in this Agreement are inserted for convenience of reference only and are not intended to define, limit or affect the interpretation or construction of any term or provision hereof. (k) Counterparts. This Agreement may be signed in counterparts and all of such counterparts when properly executed by the appropriate parties thereto together shall serve as a fully executed document, binding upon the parties. BUYER: CITY OF EDMONDS Lo Gary Haakenson, Mayor ATTEST/AUTHENTICATED: Sandra S. Chase, City Clerk APPROVED AS TO FORM: W. Scott Snyder, City Attorney SELLER: GREGG PRODUCTION ASSOCIATES, INC. By: 12 Robert Gregg, President { WSS693513.DOC;1 /00006.900000/} REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 8 of 16 Dated: Dated: Dated: Dated: !( z-5 200$ Seller: 94 Buyer: Exhibit A Legal Description of Seller's Property Property Address: 201 5`� Avenue South, Edmonds, WA 98020 Parcel Number: 00434212103700 Legal Description: CITY OF EDMONDS BLK 121 D-00-LOT 37 EXC E 16FT THOF & ALL LOTS 38-39-40 TGW S1/2 VAC ALLEY ADJ SD LOTS EXC E 16FT LOT 37 THOF {WSS693513.DOC;1/00006.9000001 REAL ESTATE PURCHASE ,l , AND SALE AGREEMENT — Page 9 of 16 Seller: L1� G Buyer: Exhibit B General Description and Location of Courtyard DAYroN sr.._.. I 30 T PLAT pr me Ty N �F Ft7Lf0F1G5 I `�1O _ 6L0CK 121r j `� 1 v I r Ji 1 0 TAK ! Cfl �a0�i5+z 12103700 ! ! ^ ! � 30 30, I MAPLE SI', n SCALE IN FEET 50 0 50 100 EXHIBIT B ra 13flh $W sw • Sale zoo Ent 11-*�1190M . 17c 12s ��t-goo SGLC:. 1' 4 50' OATE, 03/31/06 F:\2I\2008�001\STH •-kMLE-ACQIHSRFON.LWlG {WSS693513.DOC;1 /00006.900000/) REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 10 of 16 EXHIBIT B Seller: & Buyer: I I Exhibit B General Description and Location of Courtyard DAYIOH 9YAect PLAT Dj THE CITY OF EDMOHDB BLOM 121 1- —fire i3A� i r'Ii0! INS' 1 1 1 1 96 1 Rw6we1 1 EXHIBIT B { W SS 693513.D OC;1 /00006.900000/) REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 11 of 16 Seller: 1V6 Buyer: Exhibit C Legal Description of Courtyard ACQUISITION LEGAL DESCRIPTION THE SOU71i I00.00 FEET OF TRIG WEST 22.00 FEET OF LOT 40, BLOCK 121, PLAT OP 7'IiC CITY OF EDMONDS, AS RECORDED IN VOLUME 2 OF PLATS, PAGE 39, RECORDS OF SNOHOMISIJ COUNTY, WASHINGTON, SITUATE IN SECTION 24; TOWNSHIP 27 NORTI•I, RANGE 3 EAST, W.M. IN THE CITY OF EDMONDS, COUNTY OF SNOHOMISI-1, STATE OF WASi•11NOTON. SAID ACQUISITION CONTAINING 2,200 SQ. FEF P, MORE OR LESS. MARCH 31. 2008 1FdtItY 1 FRANKLIN, PI-S B 37527 _ 128134" Sl. SW Everett, WA 98204 425n41-3800 { WSS693513.DOC;1 /00006.9000001 REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 12 of 16 Seller: 46 Buyer: E)CMIT D Quit Claim Deed When Recorded Return To: W. Scott Snyder OGDEN MURPHY WALLACE, P.L.L.C. 1601 Fif i Avenue, Suite 2100 Seattle, Washington 98101-1686 Document Title: QUIT CLAIM DEED Reference Number(s) of Related Documents: N/A Grantor: Gregg Productions Associates Grantee: City of Edmonds, Snohomish County, Washington Legal Description: Additional Legal Description on Page 4 Assessor's Tax Account Number: 00434212103700 Consideration: For good and valuable consideration the sufficiency and receipt of which are hereby acknowledged. Conveyance of Grantor's Interest: For the above -mentioned consideration, the Grantor, whose address is 51 West Dayton Street, Suite 304, hereby releases, quit claims and conveys an easement in the Described Property to Grantee for public use of a tract of land described herein. Use of the easement is limited to passive park uses including open space, landscaping and use as a public gathering space. (a) Improvements. The Buyer shall have the right and obligation to install and maintain a surface of pavers, concrete or other surface consistent with the use of the Courtyard as a public {W SS693513.DOC;1100006.9000004 REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 13 of 16 Seller: Buyer: gathering space (hereafter "pavement'). Pavement installed shall, at a minimum, comply with engineering requirements for sidewalk surfaces. The installation of pavement shall minimize the disturbance of underlying soil, and any soil or other materials removed shall be disposed of in accordance with the requirements of state and federal law. Nothing herein shall be interpreted to obligate the City to provide any vapor barrier, cap or subsurface material beneath the pavement other than that which is required for or consistent with the installation of the selected pavement. (i) The Buyer shall have the right to install landscaping, planter boxes, benches, tables and public art on the Courtyard consistent with a public gathering space. No structure shall exceed 40 inches in height and landscaping installations shall be consistent with Architectural Design Board guidelines. In addition, up to two (2) gazebo structures consistent with the gazebo previously maintained on the site may be installed and maintained. Nothing herein shall be interpreted to prohibit the maintenance of existing trees or the planting and maintenance of additional trees consistent with the City's street tree program. (ii) The installation of improvements on the Courtyard shall be designed to maintain walkways to adjacent properties consistent with the engineering requirements of the City of Edmonds, the State Building Code and the requirements of state and federal law regarding accessibilities of buildings. (b) The adjacent property, as described in the attached Exhibit A shall retain all right, interest and obligation in the subsurface area below the pavement surface. The "pavement surface" is hereby defined as an area no greater than ten inches in depth from the existing grade including the foundation necessary for the Buyer's pavement improvements installed in accordance with Buyer's engineering guidelines and standards for sidewalks and walkways. (c) The improvements installed pursuant to this agreement shall not impair access to grease traps installed beneath the surface of the Courtyard area. The abutting property shall have a permanent construction easement over and across the park area, provided, however, that: (i) Any construction activities shall not exceed thirty days in length in any calendar year. If construction activities exceed thirty days in any calendar year, the abutting property owner shall pay a fee equal to that required by the Buyer for construction permits for street use activities. (ii) In the event of disruption of the improvements by the abutting property owner, the park area shall be restored at the { W SS693513.DOC;1100006.90000 DI REAL ESTATE PURCHASE AND SALE AGREEMENT —Page 14 of 16 Seller: X/Of 6 Buyer: abutting property owner's cost, to a condition at least equal to that which existed prior to the construction activities. (d) The adjacent property shall maintain the right to install awnings and decorative architectural elements above and over the Courtyard, provided that any exercise of these rights shall not impede public use of the Courtyard and shall be consistent with all requirements of City ordinance, the State Building Code and any limitations or requirements imposed by design or other similar review of the City of Edmonds pursuant to its ordinances. (e) Nothing herein shall be deemed to shift responsibility for compliance with any requirement of state or federal law from the current or future owners of the subsurface area to the Buyer. The parties warrant and acknowledge that they have reviewed environmental assessments of subsurface conditions and acknowledge that responsibility for the clean up of those conditions remains with the party to whom such liability resides under state and federal law. Nothing herein shall be deemed to shift that responsibility. Dated this 2 's}' day of Ny0 enw b-ri , 2008. GRANTOR: STATE OF WASHINGTON ) ss COUNTY OF 5�� } I certify that I know or have satisfactory evidence that o 6E RT a Gx-gC�G is the person who appeared before me and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument, and acknowledged it as the Per-;) d--I-of Pc.a«rtd �ssoo+i N� to be the free and voluntary act of such parry for the uses and purposes mentioned in the instrument. ,,�!�y SUBSCRIBED AND SWORN TO before me this .Z✓7`day of ZkWoopgUM2008. \ �•■1~�. ��5y1Qli . ° �fY rii �V\ _ PU8L1�' .moo= I�11'1!1III1flll�ly NOTARY PUBLIC FOR WASHINGTON residing at '4WAs SaWS W r I. Appointment Expires: _ V 1-- 2Z�eD9 (WSS693513.D0C;1/00006.900000/) REAL ESTATE PURCHASE D AND SALE AGREEMENT — Page 15 of 16 Seller: 16; Buyer: EXHIBIT A LEGAL DESCRIPTION ACQUISITION LEGAL I)IFSCRII'TION THE SOUTI-I 100.00 FEET OF THE WGS'r 22.00 FEET OF 1.01' 40, BLOCK 121, PLAT OF TWE CITY OF F;DMONDS, AS RECORDED IN VULVME 2 OF PLATS, PAGE 39, RECORDS OF SNOFIOMISli COUNTY, WASFI INGTON. SITUATE IN SECTION 24, TOWNSHIP 27 NORTI.1, RANGE 3 L•AST, W.M. IN TFIE CITY Or ssDMOND% COUNTY OF SNOFIOMISFI, STATL' OF WASII INOTON. SAID ACQUISITION CONTAINING 2,200 SQ, FEET, MORE OR LESS. MARC:I•I 31. 2008 JERRY J PRANKIJN, PLS H 37527 128134►►'SI. SW Everett, WA 98204 425r/41-3800 {WSS693513.DC1C;1/00006.900000/) REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 16 of 16 Seller: Buyer: November 25, 2008 City of Edmonds 121 5`" Ave. North Edmonds, WA 98020 Subject: Real Estate Purchase and Sale Agreement Old Milltown Courtyard Dear Gary, Please find attached a fully executed and notarized purchase and sale agreement for real property known as The Courtyard located on the Old Milltown site. Although the city's appraiser valued the property for this transaction at $338,800, I agreed to sell it to the city for $282,766. We then discussed a covenant not to build and finally received the attached proposal to sell the city an easement for public use for $235,000. Under this structure, I will retain certain ongoing financial liabilities and will have to pay the real estate excise tax at closing. For these reasons, I have countered at what I trust will be an acceptable figure of $250,000 (see Addendum). The other two points in the Addendum are intended as clarifications, not additions or changes. Sincerely, Robert R. Gregg President, GPA, Inc. Cmm,erd rsn 2009-11-25.doc A <3REGG r>ttc: IDUC-r10N nssc�Cas�'r[ts, INC_ 15 1 W Dayton St I.Ste 3041 13dnionds WA 98020 Phone 425-673-421 8 1 Fax 425-673-1 831 ADDENDUM REAL ESTATE PURCHASE AND SALE AGREEMENT The following is a part of the Real Estate Purchase and Sale Agreement ("the Agreement"), dated October 27, 2008 between The City of Edmonds ("Buyer") .and Gregg Production Associates, Inc. ("Seller") regarding the Old Milltown Courtyard. IT IS AGREED BETWEEN THE SELLER AND BUYER AS FOLLOWS: 1. Price. The purchase and sale price is $250,000.00 2. Access to Existing Commercial Spaces. To the extent that paragraph 2(a)(ii) is not explicit, the Buyer shall not use the property or construct any improvements in a manner which unreasonably restricts access to and from the existing commercial spaces at "Old Milltown." This provision shall be made a part of the deed so that "adjacent properties" is deemed to include the existing structure that the Seiler is retaining. 3. "Park Area." The "park area," as set forth on page 14 (which in turn becomes part of the deed) is intended to means the entire courtyard area being sold. H H Buyer: Date: November_, 2008 Seller: /L /G Date: November .Z S, 2008 l3Lrver Date: November , 2008 Seller: Date: November _, 2008 Inc. is()O CITY OF EDMONDS CITY HALL • THIRD FLOOR 121 5TH AVENUE NORTH • EDMONDS, WA 98020 • (425) 771-0247 • FAX (425) 771-0252 OFFICE OF THE MAYOR October 28, 2008 SENT VIA CERTIFIED MAIL Bob Gregg Gregg Productions Associates, Inc. 51 West Dayton, #304 Edmonds, WA 98020 Re: Real Estate Purchase and Sale Agreement Old Milltown Courtyard Dear Bob, GARY HAAKENSON MAYOR Please find attached a revised purchase and sale agreement for real property known as The Courtyard located on the Old Milltown site. Pursuant to the agreement, Gregg Production Associates agrees to sell, and the City agrees to purchase, an easement for public use of The Courtyard under the terms and conditions stated in this Agreement. Although the City Council has expressed its desire to present a revised offer on the property, in light of the City's current financial situation, market conditions, declining real estate values, and identified contamination on the property, the City is offering to purchase the property for an amount of Two Hundred Thirty -Five Thousand and No/100 Dollars ($235,000). If you wish to accept this offer, please sign the attached purchase and sale agreement and return to the City. We appreciate your willingness to continue working with the City and look forward to a mutually beneficial arrangement. If you have any questions or concerns, please feel free to contact me at (425) 771-0247. Sincere y, Gary I3aa enson Mayor Eric: Real Estate Purchase and Sale Agreement G Mic el Plunkett Council President c: Scott Snyder, City Attorney Stephen Clifton, Community Services & Economic Development Director Brian McIntosh, Parks and Recreation Director Incorporated August 11, 1890 Sister City - Hekinan, Japan November 25, 2008 City of Edmonds 121 5ch Ave. North Edmonds, WA 98020 Subject: Real Estate Purchase and Sale Agreement Old Milltown Courtyard Dear Gary, Please find attached a fully executed and notarized purchase and sale agreement for real property known as The Courtyard located on the Old Milltown site. Although the city's appraiser valued the property for this transaction at $338,800, I agreed to sell it to the city for $282,766. We then discussed a covenant not to build and finally received the attached proposal to sell the city an easement for public use for $235,000. Under this structure, I will retain certain ongoing financial liabilities and will have to pay the real estate excise tax at closing. For these reasons, I have countered at what I trust will be an acceptable figure of $250,000 (see Addendum). The other two points in the Addendum are intended as clarifications, not additions or changes. Sincerely, Robert R. Gregg President, GPA, Inc. Courtyard PSA 2008-11-25.doc GREGG PRODUCTION ASSOCIATES, n�TC. 151 W Dayton St ISte 3041 Edmonds WA 98020 Phone 425-673-4218 1 Fax 425-673-1831 CITY OF EDMONDS GARY HAAKENSON MAYOR 121 5TH AVENUE NORTH • EDMONDS, WA 98020 • :425) 775-2525 CITY CLERK fnc.IS90 April 24, 2008 Robert Gregg Fifth Ave Development LLC 51 W. Dayton St., Suite 304 Edmonds, WA 98020 Subject: Real Estate Purchase and Sale Agreement Courtyard Area at Old Milltown Dear Mr. Gregg: On April 22, 2008, the Edmonds City Council approved the Real Estate Purchase and Sale Agreement related to the courtyard area at Old Milltown. Two copies of the agreement are enclosed for your signature. Once you have signed, would you please return the two copies to my attention? I will then obtain the remaining signatures and will be sure that you receive a fully signed original. If you should have any questions, I can be reached at 425.775.2525. Yours truly, Sandra S. Chase, CMC City Clerk Enclosure cc: Gary Haakenson, Mayor ■ Incorporated August 11, 1890 ' Sister City - Hekinan, Japan REAL ESTATE PURCHASE AND SALE AGREEMENT This Real Estate Purchase and Sale Agreement ("Agreement") is dated, for reference purposes only, April 22, 2008. This Agreement is by and between Gregg Production Associates, a Washington corporation ("Seller"), and the City of Edmonds, a municipal corporation of the State of Washington ('Buyer" ), with references to the following facts: Whereas, the Seller is the owner of certain real property located in Snohomish County, Washington commonly referred to as "Old Milltown." Part of that property includes a strip of land known as "the Courtyard" that the Buyer wishes to acquire. Now, therefore, in consideration of the terms and conditions of this Agreement, and the mutual covenants herein contained, Buyer and Seller hereby agree as follows: 1. Agreement to Buy and Sell. The Seller agrees to sell, and the Buyer agrees to purchase, the Courtyard, on the terms and conditions stated in this Agreement. 2. Purchase and Sale Price. The Buyer shall pay the Seller Two Hundred Eighty Two Thousand Seven Hundred Sixty Six and no/100 dollars ($282,766.00) (the "Purchase Price") for the Courtyard and the other rights specified in this Agreement. 3. Description of Properties. The entire parcel presently owned by the Seller is described on Exhibit A. The Courtyard is approximately 2,200 in total square feet, about 22-foot-wide and 100-foot-long, running north and south from Maple Street North. The Courtyard is depicted in Exhibit B as the "Proposed 22' X 100' acquisition," and legally described on the attached Exhibit C. The Courtyard is not yet a separate tax parcel but, as explained below, the parties will cooperate in segregating it from the Seller's property. 4. Segregation of The Courtyard. The `parties agree to cooperate in having the Courtyard segregated from the Seller's property and designated as a separate tax parcel. The Buyer will bear all costs and expenses of doing so, including, but not limited to, having a survey of the Courtyard performed and creating its new legal description. 5. Reservation of Easements by Seller. The Seller reserves certain rights and easements to the Courtyard parcel, primarily for the eventual redevelopment of the remaining portion of Old Milltown. These easements shall "run with the land" and bind not only the parties, but also their successors and assigns. The easements shall be exceptions to the deed given by the Seller to the Buyer and shall not be considered a defect in title. The Seller reserves the following rights in and to the Courtyard: {WSS693513.DOC;I/00006.900000/}REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 1 of 16 Seller: Buyer: (a) Utility Easement. The Seller reserves a surface and subsurface utility easement on and below an area 15 feet wide by 20 feet wide of the Courtyard as depicted on Exhibit B. The utility easement shall be for the installation, maintenance, repair, and periodic maintenance of a grease interceptor line for use by and in conjunction with the remainder of the Seller's property described on Exhibit A. In addition, the Seller shall have the right, at the Seller's own expense, to construct, repair, maintain, and reconstruct utilities, including a grease interceptor line through the use of a temporary construction easement on the north 50.73 feet of the court yard as shown on Exhibit B. Any utilization of the easement shall be limited to thirty (30) days in any calendar year, and the restoration should occur within the thirty (30) day period immediately following said utilization. The Seller shall restore the surface and subsurface area, together with any fixtures, structures, or improvements, to its original conditions following utilization of this Utility Easement or pay the Buyer's cost of such restoration. (b) General Construction Easement. The Seller also reserves a one-time, temporary construction easement over the Courtyard, of up to twelve (12) months in duration, for the erection and maintenance of a crane and other construction equipment, or the staging of construction materials and supplies during construction activities on the Seller's adjacent property. This easement shall run with the land and benefits the remainder of the parcel described in Exhibit A. This 12-month construction easement shall commence upon a date set by the mutual agreement of the parties, agreement not to be unreasonably withheld. This easement shall expire if not utilized by January 1, 2013. Within 30 days of the conclusion of the use of the construction easement, the Seller shall fully restore the Courtyard to its condition just prior to utilization of the easement or pay the Buyer's costs of such restoration. If the City, in its regulatory capacity, imposes any charges or fees during such construction for use of the Courtyard, then only those charges or fees that are uniformly charged to all similarly situated parties for "sidewalk disruption permits" will be imposed on the Seller. (c) Maintenance of Eaves. The dotted line on the eastern side of the courtyard as depicted on Exhibit B represents an existing eave which overlaps the courtyard by approximately two feet. Seller reserves an easement to maintain and, as required for public safety on the integrity of the structure, to rebuild the existing eaves in their current configuration and location. Should the building on which the eaves are located be reconstructed or remodeled in a fashion such that the eaves are removed, this easement shall expire. If the eaves are reduced in size, the reserved easement shall accordingly be reduced to the minimum necessary to permit maintenance of the replacement eaves. Neither the eaves nor any replacement architectural feature shall be constructed or reconstructed so as to expand their size, scope or location without the express written consent of the City. 6. Title to be Conveyed to City. The Seller shall convey to Buyer good and marketable title to the Courtyard, except for the easements reserved in this Agreement and other easements which may presently exist of record, which title shall including the land, {WSS693513.DOC;1/00006.900000/}REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 2 of 16 Seller: Buyer: together with all easements, appurtenances, rights, privileges, reversionary rights and improvements thereunto belonging or appurtenant to the Courtyard. In this regard, the following terms and conditions shall apply: (a) Conveyance Deed. On the Closing Date, Seller shall convey to Buyer fee simple title to the Property by a duly executed and acknowledged Statutory Warranty Deed (the "Deed"), in substantially the form attached to this Agreement as Exhibit D, free and clear of all defects and encumbrances and subject only to the easement reserved by the Seller and those exceptions that Buyer approves pursuant to Section 4(b) below (the "Permitted Exceptions"). (b) Preliminary Title Commitment. The Buyer shall order a preliminary commitment for an owner's standard coverage policy of title insurance in the amount of the Purchase Price to be issued by Title Company and accompanied by copies of all documents referred to in the commitment (the "Preliminary Commitment"). Buyer shall advise Seller by written notice what exceptions to title, if any, are objected to by Buyer ("Objections") within ten (10) days following the Effective Date or following the receipt of the Preliminary Commitment, whichever date is later, but in no event later than the Closing Date. If Buyer fails to give notice before the expiration of the ten (10) day period, or by the Closing Date, whichever is earlier, Buyer will be deemed to have approved the title exceptions identified in the Preliminary Commitment and all such exceptions shall be Permitted Exceptions. No later than seven (7) days after receipt of Buyer's notice, Seller may give Buyer notice that (i) Seller will remove Objections or (ii) Seller elects not to remove Objections. If Seller fails to give Buyer such notice, Seller will be deemed to have given Buyer notice as of the seventh (7th) day after receipt of Buyer's notice, or the Closing Date, whichever is earlier, that Seller elected not to remove any of the Objections. Notwithstanding the foregoing, Seller will be required to remove any monetary liens, monetary assessments or monetary encumbrances affecting the Property prior to or as of the Closing Date. Immediately upon discovering the need to amend or add any exception to the Title Commitment, Escrow Agent shall notify Buyer and Seller. Within ten (10) business days after notice from Escrow Agent together with a copy of such intervening lien or matter, but in no event later than the Closing Date, Buyer shall notify Seller in writing of any objections thereto (the "Amendment Objections"). No later than seven (7) days after receipt of Buyer's notice, Seller may give Buyer notice that (i) Seller will remove Amendment Objections or (ii) Seller elects not to remove Amendment Objections. If Seller fails to give Buyer such notice, Seller will be deemed to have given Buyer notice as of the seventh (7th) day after receipt of Buyer's notice, or the Closing Date, whichever is earlier, that Seller elected not to remove any of the Amendment Objections. (c) Title Objections. If Seller elects not to remove any non -monetary Objections or Amendment Objections, Buyer will have five (5) days from receipt of Seller's notice, but in no event later than the Closing Date, to notify Seller of Buyer's election either to proceed with the purchase and take the Property subject to those exceptions, in which case the Objections and Amendment Objections shall be deemed {wSS693513.DOC;1/00006.900000/}REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 3 of 16 Seller: Buyer: Permitted Exceptions, or to terminate this Agreement. If Seller gives notice that it will cause one or more non -monetary Objections or Amendment Objections to be removed but fails to remove any of them from title on or before the Closing Date, Buyer may either (i) elect to terminate this Agreement by written notice to Seller, or (ii) proceed with the purchase and take the Property subject to those exceptions, which shall be deemed Permitted Exceptions. If Buyer elects to terminate this Agreement under this Section 4(c), the escrow will be terminated, all documents and funds, including the earnest money note, will be returned to the party who deposited them, and neither party will have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. If this Agreement is terminated due to non -removal of an Objection or Amendment Objection after Seller has agreed to remove it, then Seller will pay any costs of terminating the escrow and any cancellation fee for the Preliminary Commitment. (d) Title Policy. Buyer shall receive at Closing, at Seller's expense, an Owner's Standard Coverage Title Insurance Policy (ALTA Form 1970 with 1984 revisions) with such endorsements as Buyer may request, issued by the Title Company to be furnished to Buyer ("Title Policy"). The Title Policy shall be issued in the amount of the total Purchase Price and shall insure fee simple title to the Property in Buyer, subject only to the Permitted Exceptions. Buyer's obligation to close this transaction shall be contingent on Buyer's receipt of such Title Policy. If Buyer so elects, Buyer may purchase extended coverage with the additional portion of the premium for extended coverage to be paid by Buyer. 7. Earnest Money Deposit. Upon the execution of this Agreement (the "Effective Date"), Buyer shall deposit with Chicago Title in Edmonds, Washington (the "Escrow Agent" or "Title Company") the amount of Twenty Eight Thousand and no/100 Dollars ($28,000.00) as an earnest money deposit (the "Earnest Money"). The earnest money deposit shall be payable to the Seller only if the Buyer defaults under this Agreement. On the Closing Date, Buyer shall deposit with Escrow Agent the entire amount of the Purchase Price in cash, as adjusted for any amounts to be charged or credited against the Purchase Price in accordance with this Agreement. 8. General Contingencies and Obligations. The purchase and sale obligations of the parties are subject to the following general conditions and contingencies: (a) Investigation of the Property. Seller shall provide or make available to Buyer for inspection and copying to the extent available or within Seller's possession or control all documents and information pertaining to the Property, including, but not limited to, all soils reports and environmental studies, any existing surveys, architectural drawings or renderings, plans and specifications with respect to the Property. The Seller need not disclose documents relating to appraisals not performed in support of this transaction and business and financial records of the Seller unrelated to the physical condition of the purchase area depicted in Exhibit B. Buyer and its employees and agents shall have the right from the date of this Agreement through Closing Date (or earlier {WSS693513.DOC;1/00006.900000/}REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 4 of 16 Seller: Buyer: termination of this Agreement) to enter upon the Property or any part thereof at reasonable times and from time to time upon providing two business days advance notice to the Seller and receiving the Seller's approval, which shall not be unreasonably withheld, conditioned or delayed, for the purpose, at Buyer's cost and expense, for making all soil and other tests or studies under the provisions of this Agreement. If the Seller does not respond to the Buyer within the two -business -day period stated above, the Seller shall be deemed to have approved Buyer's entry upon the Property; provided, however, Buyer shall indemnify and hold harmless Seller from and against any mechanic's or other liens or claims that may be filed or asserted against the Property or Seller by any actions taken by Buyer in connection with the Property. Buyer's obligation to purchase the Property shall be subject to and contingent upon Buyer's inspection and approval, in its sole and absolute discretion, of the physical condition of the Property ("Property Inspection"), including, without limitation, the conducting of soil tests (including borings), toxic and hazardous waste studies, surveys, engineering, historical use, traffic and access studies, structural studies and review of zoning, SEPA requests, fire, safety and other compliance matters. Buyer shall correct any damage to the Property caused by the Property Inspection and shall return the Property to its condition prior to the Property Inspection. (i) If an inspector recommends further evaluation of the site by a specialist, Buyer shall have an additional forty-five (45) days to obtain the additional inspection at Buyer's option and expense. Buyer shall provide a copy of the inspector's recommendation and notice that Buyer will seek additional inspections. Time for conducting any additional inspection shall commence on the day after Buyer gives notice of Additional inspection. The total for all inspections shall not exceed the period set forth in subparagraph (b) below. (ii) If any defect or problem is uncovered, the Buyer may, at its option, attempt to negotiate with the Seller, provided that nothing herein shall limit the Buyer's right to terminate pursuant to subparagraph (c) below. (b) Due Diligence Period. As used herein, the term "Due Diligence Period" means the period ending on the earlier of (i) the date not to exceed one hundred thirty- five (135) days from execution of this Agreement by both parties; or (ii) the date that is five (5) days after Seller's receipt of Buyer's written notice to terminate the Due Diligence Period prior to the end of the one hundred thirty-five (135) day period. (c) Buyer's Right to Terminate. If the conditions set forth in this Section are not satisfied in Buyer's sole and absolute discretion, Buyer shall have the right, prior to the expiration of the Due Diligence Period, to terminate its rights and obligations under this Agreement by sending written notice to Seller (such notice referred to as a "Termination Notice"), and the Earnest Money Note shall be returned to Buyer, and Buyer and Seller shall have no further rights or obligations under this Agreement except as otherwise provided in this Agreement. {WSS693513.DOC;1/00006.900o0o/}REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 5 of 16 Seller: Buyer: (d) Representations and Warranties are -True. Buyer's obligation to purchase the Property shall be subject to the following conditions which must be satisfied by Seller as of Closing unless waived by Buyer at Closing: (i) All representations and warranties of Seller contained herein shall be true,, accurate and complete at the time of the Closing as if made again at such time; (ii) Seller shall have performed all obligations to be performed by it hereunder on or before Closing (or, if earlier, on or before the date set forth in this Agreement for such performance); (iii) At Closing, Seller shall deliver title to the Property in the condition required by Section 4 of this Agreement; and (iv) At Closing, the physical condition of the Property shall be the same as on the date hereof, except as changed by Buyer's due diligence activities and damage resulting from the weather or other acts of God. If the conditions set forth in this subsection are not satisfied as of Closing and Buyer does not waive same, Buyer is entitled to return of the Earnest Money, and neither Buyer nor Seller shall have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. 9. Seller's Representations and Warranties. Seller hereby makes the following representations and warranties, which representations and warranties shall be deemed made by Seller to Buyer also as of the Closing Date: (a) Parties in Possession. There are no parties or trespassers in possession or which have a right to possession of all or any portion of the Property, and there are no leases, licenses, or encroachments affecting the Property, except those that can and will be eliminated at the time of Closing; (b) Foreign Person. Seller is not a foreign person and is a "United States Person" as such term is defined in Section 7701(a)(30) of the Internal Revenue Code of 1986, as amended (the "Code") and shall deliver to Buyer prior to the Closing an affidavit evidencing such fact and such other documents as may be required under the Code; (c) Option to Acquire Premises. No person or entity has any right of first refusal or option to acquire any interest in the Property or any part thereof, and Seller has not sold or contracted to sell the Property or any portion thereof or interest therein other than as set forth herein; (d) Sole Legal Owner. Seller is the sole legal fee owner of the Property, and is not holding fee title as a nominee for any other person or entity; (e) Taxes. There are no governmental taxes, fees or other impositions on the Property, other than those that may be fully paid or satisfied at time of Closing; (f) Hazardous Substances. To the best of Seller's knowledge, the Property is not in violation of any law, ordinance, rule or regulation relating to the environmental conditions thereon. Moreover, to the best of Seller's knowledge, there is no hazardous {WSS693513.DOC;1/00006.900000/}REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 6 of 16 Seller: Buyer: waste or other substance, including but not limited to those that would be a hazardous waste material or substance, toxic substance, gas or pollutant, as defined under the federal Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended, 42 U.S.C. Section 9601 et. seq., the Washington Model Toxics Control Act, RCW Ch. 70.105D, RCW Ch. 70.95, and the regulations promulgated thereunder or under any applicable local or state environmental ordinance, statute, law, rule or regulation ("Hazardous Substances"), on or about the Property or on any parcels of land which abut the Property, except as disclosed in Exhibit E and the reports and other documents referenced therein, which shall be provided to the Buyer upon execution of this Agreement. Further, to the best of Seller's knowledge: (i) there has been no release, spill, leak, discharge, emission, leak or disposal, (ii) there are no substances or conditions, in or on the Property or any other parcels of land which may affect the Property or use thereof which may support a claim or cause of action under any federal, state or local environmental statute, regulation, ordinance or other environmental regulatory requirements and (iii) there is no asbestos, PCBs or underground storage tanks located on the Property or which have been removed there from, except as disclosed in Exhibit E and the reports and other documents referenced therein; and (g) Indemnification. Seller agrees to indemnify, hold harmless and defend the Buyer, its appointed officials, officers, employees, agents, and representatives, from and against any and all liability, loss, cost, expenses and damages of any nature whatsoever including costs and attorneys' fees, which are caused by or arise out of a claim or action by a governmental entity (other than the City of Edmonds) with regulatory jurisdiction over Hazardous Substances emanating on or migrating from the Property. The Seller shall indemnify the Buyer from any and all liability whatsoever, including the costs of reasonable defense by counsel of the Buyer's choosing which arises from or out of any physical property or condition affecting or relating to the Courtyard which is described or otherwise referred to in any document alleged by the Seller to be a "business or financial record" and not disclosed to the Buyer pursuant to Section 8(a) above. 10. Closing. The following terms and conditions apply to the Closing of this purchase and sale: (a) Closing Date. Within five (5) business days following the end of the Due Diligence period (the "Closing Date"), the closing of the purchase of the Property (the "Closing") shall be held at the offices of the Escrow Agent. The Closing shall occur when the Deed to Buyer is recorded and the Purchase Price is delivered to the Escrow Agent for delivery to Seller. (b) Items to be Delivered by Seller. For and in consideration of, and as a condition precedent to, the payment to Seller of any of the Purchase Price, Seller shall obtain and deliver to Buyer at Closing the following documents (all of which shall be duly executed and acknowledged where required): (i) Statutory Warranty Deed. A {WSS693513.DOC;1/00006.g00000!}REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 7 of 16 Seller: Buyer: Statutory Warranty deed ("Deed") in recordable form and otherwise in form and substance reasonably acceptable to Buyer containing the legal description of the Property in such form as will convey to Buyer a good and marketable title in fee simple to the Property, free and clear of all liens, encumbrances, conditions, easements, assignments, and restrictions, except for the Permitted Exceptions; (ii) Title Documents. Such other documents, including, without limitation, lien waivers, indemnity bonds, and indemnification agreements as shall be reasonably required by the Title Company as a condition to its insuring Buyer's good and marketable fee simple title to the Property free of any exceptions, other than the Permitted Exceptions; (iii) Excise Tax Affidavit. An excise tax affidavit for filing with the Snohomish County Auditor at the time of recording Deed; (iv) FIRPTA Affidavit. The affidavit of non -foreign status described in Section 7(b) of this Agreement, as required by federal tax law; (v) Title Policy. The Title Policy referred to in Section 4(d) of this Agreement. (c) Items to be Delivered by Buyer. Buyer shall deliver the Purchase Price. (d) Payment of Costs. Seller and Buyer shall pay their own respective costs incurred with respect to this Agreement and the consummation of the purchase and sale of the Property including, without limitation, their own respective attorneys' fees. Notwithstanding the foregoing: (i) Seller shall pay the costs of a standard owner's title policy and Buyer shall pay the costs, if any, of the extended coverage of the Title Policy; (ii) Buyer shall pay the fee to record the deed; (iii) Buyer and Seller shall each pay one- half of the escrow fee; and (iv) Seller shall pay any real estate excise tax due on the transaction. (e) Real Property Taxes and Utility Charges. Seller and Buyer are both exempt from paying real property taxes and assessments and utility charges against the Property are paid in full. As a result, it will not be necessary to pro -rate taxes, assessments. or utility charges at Closing; (f) Monetary Liens. Seller shall pay or cause to be satisfied at or prior to Closing all monetary liens created by or arising through Seller on or with respect to all or any portion of the Property, including, but not limited to, mortgages, deeds of trust, security agreements, assignments of leases, rents and/or easements, judgment liens, tax liens (other than those for taxes not yet due and payable) and financing statements. 11. Notices. Unless applicable law requires a different method of giving notice, any and all notices, demands or other communications required or desired to be given hereunder by any party (collectively, "notices") shall be in writing and shall be validly given or made to another party if delivered either personally or by Federal Express or other overnight delivery service of recognized standing, or if deposited in the United States mail, certified, registered, or express mail with postage prepaid. If such notice is personally delivered, it shall be conclusively deemed given at the time of such delivery. If such notice is delivered by Federal Express or other overnight delivery service of {WSS693513.DOC;1/00006.900oo0/}REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 8 of 16 Seller: Buyer: "recognized standing, it shall be deemed given twenty-four (24) hours after the deposit thereof with such delivery service. If such notice is mailed as provided herein, such shall be deemed given forty-eight (48) hours after the deposit thereof in the United States mail. Each such notice shall be deemed given only if properly addressed to the party to whom such notice is to be given as follows: To Seller: Robert Gregg Gregg Production Associates, Inc. 51 West Dayton St., Suite 304 Edmonds WA 98020 With a copy to: Gary Krohn Northgate Executive Center II 9725 3rd Avenue N.E., Suite 600 Seattle WA 98115-2060 To Buyer: City of Edmonds Attn: Sandy Chase 121 5th Avenue North Edmonds, WA 98020 With a copy to: W. Scott Snyder, City Attorney Ogden Murphy Wallace P.L.L.C. 1601 Fifth Avenue, Suite 2100 Seattle, WA 98101 Any party hereto may change its address for the purpose of receiving notices as herein provided by a written notice given in the manner aforesaid to the other party hereto. 12. Event of Default. In the event of a default under this Agreement by Seller (including a breach of any representation, warranty or covenant set forth herein), Buyer shall be entitled (a) in addition to all other remedies, to seek monetary damages and specific performance of Seller's obligations hereunder; or (b) to terminate this Agreement by written notice to Seller and Escrow Agent. In the event of a breach or default by Buyer without any default by Seller or failure of any condition to Buyer's obligations hereunder, Seller's sole and exclusive remedy shall be to recover liquidated damages from Buyer in the amount of the Earnest Money. The parties acknowledge that in the event of such default by Buyer, Seller will have incurred substantial but unascertainable damages and that therefore the provision herein for liquidated damages is a valid one. {WSS693513.DOC;1/00006.900000/}REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 9 of 16 Seller: Buyer: 13. Miscellaneous Provisions. The following miscellaneous terms and conditions apply: (a) Possession. Buyer shall be entitled to possession of the Property on Closing. (b) Survival of Representations and Warranties. All representations, warranties, covenants indemnities, and agreements of the parties contained in this Agreement, or in any instrument or other writing provided for herein, shall survive the Closing. (c) Termination. In the event of a termination of this Agreement for any reason, the escrow will be terminated, all documents and funds will be returned to the party who deposited them except as otherwise provided herein, and neither party will have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. (d) Applicable Law and Venue. This Agreement shall in all respects be governed by the laws of the State of Washington, and any action at law or equity to enforce or interpret its terms shall be filed in the Superior Court, Snohomish County, Washington. (e) Further Assurances. Each of the parties shall execute and deliver any and all additional papers, documents and other assurances and shall do any and all acts and things reasonably necessary in connection with the performance of its obligations hereunder, to carry out the intent of the parties hereto. (f) Modification or Amendment. No amendment, change or modification of this Agreement shall be valid, unless in writing and signed by all of the parties hereto. Assignment. This Agreement may not be assigned without the prior written content of all parties. (g) Successors and Assigns. All of the terms and provisions contained herein shall inure to the benefit of and shall be binding upon the parties hereto and their respective heirs, legal representatives, successors and assigns. (h) Entire Agreement. This Agreement constitutes the entire understanding and agreement of the parties with respect to its subject matter and any and all prior agreements, understandings or representations with respect to its subject matter are hereby canceled in their entirety and are of no further force or effect. (i) Attorneys' Fees. Should either party bring suit to enforce this Agreement, the prevailing party in such lawsuit shall be entitled to an award of its reasonable attorneys' fees and costs incurred in connection with such lawsuit. {WSS6935]3.DOC;I/00006.900000/}REAL ESTATE PURCHASE AND SALE AGREEMENT —Page 10 of 16 Seller: Buyer: 0) Interpretation. This Agreement has been submitted to the scrutiny of all parties and their counsel, if desired, and it shall be given a fair and reasonable interpretation in accordance with its words, without consideration to or weight given to its being drafted by any party or its counsel. The captions and paragraph headings used in this Agreement are inserted for convenience of reference only and are not intended to define, limit or affect the interpretation or construction of any term or provision hereof. (k) Counterparts. This Agreement may be signed in counterparts and all of such counterparts when properly executed by the appropriate parties thereto together shall serve as a fully executed document, binding upon the parties. BUYER: CITY OF EDMONDS Lo Gary Haakenson, Mayor ATTEST/AUTHENTICATED : Lo Sandra S. Chase, City Clerk APPROVED AS TO FORM: IED W. Scott Snyder, City Attorney SELLER: GREGG PRODUCTION ASSOCIATES, INC. LN Robert Gregg, President Dated: Dated: Dated: Dated: {WSS693513.DOC;1/00006.900000/}REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 11 of 16 Seller: Buyer: Exhibit A Legal Description of Seller's Property IN�'SS686046.])O u00006.9oa000i}REAL ESTATE PURCHASE AND SALE AcRI'EMENT — Prege 12 of 16 Seller: __ Buyer: EXHIBIT A ENTIRE PARCEL LEGAL DESCRIPTION Properly Address: 201 51h Avenue South, Edmonds, WA 98020 Parcel Number 00434212103700 Legal Description: CITY OF EDMONDS BLK 121 D-00 — LOT 37 EXC E 16FT THOF & ALL LOTS 38-39-40 TGW S 1/2 VAC ALLEY ADJ SD LOTS EXC E 16FT LOT 37 THOF Exhibit B General Description and Location of Courtyard (1VSS6860A6.DOC;I/00006.900000/yREAL ESTATE, PURCEEASr AND SALE ACRE rmENT—Page 13 ofl6 Seller: Buyer: DAYTON ST. 0 0 � M I f 1 �Io 1� 3 g l l �IJ�Io i 0 a Iin LEI Q _ —�104� r ' ,n I IIII o TAX PARCEL #00434212103700 I PLAT v F THE CITY OF EDMONDS BLOCK 121 j Q 2 F- PRopom I I I I 30 1 104.00' r = 0 M MAPLE ST, SCALE IN FEET 50 0 50 100 EXHIBIT B 7281341h Street SW - Suite 200 N 1 . Everett, Woshinoon 98204 Mr, 425 741-3800 SCALE__ 1" = 50' DATE" 03/31/08 I:\22\2008\001 \5TH-MAPLE--ACODiSITION.DWG EXHIBIT B I I I ws+TEo i1/njloo6 K 5. 5 s V RCP DAYTON STREET 4 +57]0 It 5a.05 W 12' RCP "' 6 Ir RPM u M89i7WE M7V (PCE) 650.00' (P) 659.68' ("Glr) It 48-" E 12' RCP It 4"W S 18' RCP_�-�- IE .e.le W AN1 58.43 V its' IE 51.60 IN le' RCP 1 8Q+D0'pp- •a Ir :r IE 57,35 S 1B• pCP wii o- F • - a o-i o-f >.; CORCAETE CRG"WA GF ' - CONCRETE ffAui VCr , OiL I" ,x t 50.67 N B" RCP I IC 56.89NE 4" PVC •' ' • • EAVE LINE IC 56.B2's 8" PVC TYPICAL RIM a 47 IE S5.57 NE 8" RCP It 5557 S 6' RCP i 30• 1• as 70� - P 1 � PLAT OF THE Cr(Y OF EDMONDS BLOCK 121 a a 2-STORY SU"MG NI two tU r CONCRETE RETAMIING WALL I Wmn RIN 54,00 53�7 IE Se.W • ]" Rx! 7]S+I 4-,v CON WITS w� a•�Y N8957'3fi-E Vo NDOVO N r P i R69'SY36'E gl � • `x o-1t i J � I L N-_ , 16.00• (01 r ASPHALT i 1 •� � � I , r CAICBO �� Z ti 1 r Ow TOP Cr s�w;LE ` o b - ; ; i sralY yukalNc 3T 36 r B' CONCRETE 8 0 1 1 RETAINING WALL I OO I 2 F • O-IP � 1 m 1 p I O RIM a r � 1 I o 1. ,.: ..I. i ,..;;. up 1eRl • "N64 7'Ss�f. 1O3.4 ;sq L I �•aMr. f It 60.4 IE 55173 E Ir RCP FOUND UONUNENT CASE. N N8857.ul "Jov (PCQ 88[k00' (P) NSr1ED Il/15/2006 _ R111 60.43 MAPLES7HEE7 IE SJ.1. N 10' Rep SOL1N 70 IE 5l.5x S IV RCP 1.2 �n IC 57,7.Se'DI IE 55.77 NN 18RCA w- EXHIBIT B Exhibit C Legal Description of Courtyard {NYSS686046.1)OC;I/OOOO6.900000i)RCAI, FS"rA'I'1? PIJRCIIASL AND SAU AcRt>>: M E NT — Page 14 of 16 Seller: Buyer; EXHIBIT C ACQUISITION LEGAL DESCRIPTION THE SOUTH 100.00 FEET OF THE WEST 22.00 FEET OF LOT 40, BLOCK 121, PLAT OF TIME CITY OF EDMONDS, AS RECORDED IN VOLUME 2 OF PLATS, PAGE 39, RECORDS OF SNOI-IOM1S1.1 COUNTY, W ASH INGTON. SITUATE IN SECTION 24, TOWNSHIP 27 NORTH, RANGE 3 LAST, W.M_ IN THE CITY OF EDMONDS, COUNTY OF SNOHOMISH, STATE OF WASHINGTON. SAID ACQUISITION CONTAINING 2,200 SQ. FEET, MORE OR LESS. ' MARCH 31, 2008 JFRIZY J FRANKLIN, PLS N 37527 128 134°i St. SW Everett, WA 98204 42sn41-3800 i KIDO022SAO8\00I_City of Edmonds On -Col 11001_Old Mill Town Open ArcaU egals151ii-Maple-Aalaisition.doe i i f - 4 i EXHIBIT D DEED [Reserved] (1YSS636O46.1)OC;1/OOOO6.900000/)nGAL ESTATL PURCHASE AND SAI,r<, ACRLEIuE.N'r--Page 15 of 16 Seller: Buyer: Exhibit E [Reserved] {NN`SS686046.DUC;I/00006.g00000/}REAL ESTATE PURCHASr" AND SALE ACRN EA9 NT — Page 16 of 16 Seller: Buyer: AM-1531 6. Old Milltown Purchase & Sale Agreement Edmonds City Council Meeting Date: 04/22/2008 Submitted By: Linda Carl Submitted For: Gary Haakenson Time: 15 Minutes Department: Mayor's Office fie: Action Review Committee: Action Information Subiect Title Approval of purchase of the courtyard area at Old Milltown. Recommendation from Ma or and Staff Please approve the purchase of the courtyard area at Old Milltown. Pre MonsCouncil Actin Narrative Attached is the purchase and sale agreement, along with several exhibits. Exhibit D, the deed, is being tailored to limit grease -trap access to the minimum necessary for maintenance. It will be provided as soon as it's available. Exhibit E includes environment documents of Phase 1 (site assessment) and 2 (subsurface investigation summary). These documents are available with the City Clerk, if you'd like to review them. The Council is requested to approve the agreement subject to addition of a deed form and confirmation of a final area for the grease trap. Please note that the City has the ability to walk away if environmental issues arise. Landau Associates has been retained to provide a Phase 1 environmental assessment, which is already underway. Fiscal Impact Attachn�s Link: P&S Agreement Form Routing atus Route Seq Inbox Approved By Date Status 1 City Clerk Sandy Chase 04/18/2008 11:42 AM APRV 2 Mayor Gary Haakenson 04/18/2008 11:56 AM APRV 3 Final Approval Sandy Chase 04/18/2008 12:23 PM APRV Form Started By: Linda Carl Started On: 04/18/2008 11:17 AM Final Approval Date: 04/18/2008 REAL ESTATE PURCHASE AND SALE AGREEMENT This Real Estate Purchase and Sale Agreement ("Agreement") is dated, for reference purposes only, April 22, 2008. This Agreement is by and between Gregg Production Associates, a Washington corporation ("Seller"), and the City of Edmonds, a municipal corporation of the State of Washington ("Buyer" ), with references to the following facts: Whereas, the Seller is the owner of certain real property located in Snohomish County, Washington commonly referred to as "Old Milltown." Part of that property includes a strip of land ]mown as "the Courtyard" that the Buyer wishes to acquire. Now, therefore, in consideration of the terms and conditions of this Agreement, and the mutual covenants herein contained, Buyer and Seller hereby agree as follows: 1. Agreement to Buy and Sell. The Seller agrees to sell, and the Buyer agrees to purchase, the Courtyard, on the terms and conditions stated in this Agreement. 2. Purchase and Sale Price. The Buyer shall pay the Seller Two hundred Eighty Two Thousand Seven Hundred Sixty Six and no/100 dollars ($282,766.00) (ihe "Purchase Price") for the Courtyard and the other rights specified in this Agreement. 3. Description of Properties. The entire parcel presently owned by the Seller is described on Exhibit A. The Courtyard is approximately 2,200 in total square feet, about 22-foot-wide and 1.00-foot-long, running north and south from Maple Street North. The Courtyard is depicted in Exhibit B as the "Proposed 22' X 100' acquisition," and legally described on the attached Exhibit C. The Courtyard is not yet a separate tax parcel but, as explained below, the parties will cooperate in segregating it from the Seller's property. 4. Segregation of The Courtyard. The parties agree to cooperate in having the Courtyard segregated from the Seller's property and designated as a separate tax parcel. The Buyer will bear all costs and expenses of doing so, including, but not limited to, having a survey of the Courtyard performed and creating its new Iegal description. 5. Reservation of Easements by Seller. The Seller reserves certain rights .and casements to the Courtyard parcel, primarily for the eventual redevelopment of the remaining portion of Old Milltown. These easements shall "run with the land" and bind not only the parties, but also their successors and assigns. The easements shall be exceptions to the deed given by the Seller to the Buyer and shall not be considered a defect in title. The Seller reserves the following rights in and to the Courtyard: (a) Utility Easement. The Seller reserves a subsurface utility easement on and below the north 50.73 feet of the Courtyard as depicted on Exhibit B. The utility easement shall be for the installation, maintenance, repair, construction, and INiISS686046.i)OC;1/00006.900000/)REAL ESTATE PURCHASE AND SAU, AGREEMENT -- Page 1 of 16 Seller: Buyer: reconstruction of a grease interceptor line for use by and in conjunction with the remainder of the Seller's property described on Exhibit A. The Seller shall have the right, at the Seller's own expense, to construct, repair, maintain, and reconstruct utilities, including a grease interceptor line. Any utilization of the easement shall be limited to thirty (30) days in any calendar year, and the restoration should occur within the thirty (30) day period immediately following said utilization. The Seller shall restore the surface and subsurface area, together with any fixtures, structures, or improvements, to its original conditions following utilization of this Utility Easement or pay the Buyer's cost Of such restoration. (b) General Construction Easement. The Seller also reserves a one-time, temporary construction easement over the Courtyard, of up to twelve (12) months in duration, for the erection and maintenance of a crane and other construction equipment, or the staging of construction materials and supplies during construction activities on the Seller's adjacent property. This easement shall run with the Iand and benefits the remainder of the parcel described in Exhibit A. This 12-month construction easement shill commence upon a date set by the mutual agreement of the parties, agreement not to be unreasonably withheld. This easement shall expire if not utilized by January 1, 2013. Within 30 days of the conclusion of the use of the construction easement, the Seller shall frilly restore the Courtyard to its condition just prior to utilization of the easement or pay the Buyer's costs of such restoration. If the City, in its regulatory capacity, imposes any charges or fees during such construction for use of the Courtyard, then only those charges or fees that are uniformly charged to all similarly situated parties for "sidewalk disruption permits" will be imposed on the Seller. (c) Maintenance of Eaves. The dotted line on the eastern side of the courtyard as depicted on Exhibit B represents an existing cave which overlaps the courtyard by approximately two feet. Seller reserves an easement to maintain and, as required for public safety on the integrity of the structure, to rebuild the existing eaves in their current configuration and location. Should the building on which the eaves are located be reconstructed or remodeled in a fashion such that the eaves are removed, this easement shall expire. If the eaves are reduced in size, the reserved easement shall accordingly be reduced to the minimum necessary to permit maintenance of the replacement eaves. Neither the eaves nor any replacement architectural feature shall be constructed or reconstructed so as to expand their size, scope or location without the express written consent of the City. G. Title to be Conveyed to City. The Seller shall convey to Buyer good and marketable title to the Courtyard, except for the casements reserved in this Agreement and other easements which may presently exist of record, which title shall including the land, together with all easements, appurtenances, rights, privileges, reversionary rights and improvements thereunto belonging or appurtenant to the Courtyard. In this regard, the following terms and conditions shall apply: (NI'SS686o4G.DOC;I/ooao6.900000/)REAL ESTATE PURCHASE AND SALE AGREEMENT— Poge 2 of 16 Seller: Buyer: (a) Conveyance Deecl. On the Closing Date, Seller shall convey to Buyer fee simple title to the Property by a duly executed and acknowledged Statutory Warranty Deed (the "Deed"), in substantially the form attached to this Agreement as Exhibit D, free and clear of all defects and encumbrances and subject only to the easement reserved by the Seller and those exceptions that Buyer approves pursuant to Section 4(b) below (the "Permitted Exceptions"). (b) Preliminary Title Commitment. The Buyer shall order a preliminary commitment for an owner's standard coverage policy of title insurance in the amount of the Purchase Price to be issued by Title Company and accompanied by copies of all documents referred to in the commitment (the "Preliminary Commitment"). Buyer shall advise Seller by written notice what exceptions to title, if any, are objected to by Buyer ("Objections") within ten (10) days following the Effective Date or following the receipt of the Preliminary Commitment, whichever date is later, but in no event later than the Closing Date, If Buyer fails to give notice before the expiration of the ten (10) day period, or by the Closing Date, whichever is earlier, Buyer will be deemed to have approved the title exceptions identified in the Preliminary Commitment and all such exceptions shall be Permitted Exceptions. No later than seven (7) days after receipt of Buyer's notice, Seller may give Buyer notice that (i) Seller will remove Objections or (ii) Seller elects not to remove Objections. If Seller fails to give Buyer such notice, Seller will be deemed to have given Buyer notice as of the seventh (7th) day after receipt of Buyer's notice, or the Closing Date, whichever is earlier, that Seller elected not to remove any of the Objections. Notwithstanding the foregoing, Seller will be required to remove any monetary liens, monetary assessments or monetary encumbrances affecting the Property prior to or as of the Closing Date. Immediately upon discovering the need to amend or add any exception to the Title Commitment, Escrow Agent shall notify Buyer and Seller. Within ten (10) business clays after notice from Escrow Agent together- with a copy of such intervening lien or matter, but in no event later than the Closing Date, Buyer shall notify Seller in writing of any objections thereto (the "Amendment Objections"). No later- than seven (7) days after receipt of Buyer's notice, Seller may give Buyer notice that (i) Seller will remove Amendment Objections or (ii) Seller elects not to remove Amendment Objections. If Seller fails to give Buyer such notice, Seller will be deemed to have given Buyer notice as of the seventh (7th) day after receipt of Buyer's notice, or the Closing Date, whichever is earlier, that Seller elected not to remove any of the Amendment Objections. (c) Title Objections. If Seller elects not to remove any non -monetary Objections or Amendment Objections, Buyer will have five (5) days from receipt of Seller's notice, but In no event Iater than the Closing Date, to notify Seller of Buyer's election either to proceed with the purchase and take the Property subject to those exceptions, in which case the Objections and Amendment Objections shall be deemed Permitted Exceptions, or to terminate this Agreement. If Seller gives notice that it will cause one or more non -monetary Objections or Amendment Objections to be removed but fails to remove any of them from title on or before the Closing Date, Buyer may 11,VSS686046.1)OC;I/o0006.90o000/)RTAI. Es'rA rt. PURCHASE AND SALE ACREENrENT -- Page 3 of 16 Seller: Buyer: either (i) elect to terminate this Agreement by written notice to Seller, or (ii) proceed with the purchase and take the Property subject to those exceptions, which shall be deemed Permitted Exceptions. If Buyer elects to terminate this Agreement under this Section 4(c), the escrow will be terminated, all documents and funds, including the earnest money note, will be returned to the party who deposited them, and neither party will have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. If this Agreement is terminated dice to non -removal of an Objection or Amendment Objection after Seller has agreed to remove it, then Seller will pay any costs of terminating the escrow and any cancellation fee for the Preliminary Commitment. (d) Title Policy. Buyer shall receive at Closing, at Seller's expense, an Owner's Standard Coverage Title Insurance Policy (ALTA Form 1970 with 1984 revisions) with such endorsements as Buyer may request, issued by the Title Company to be furnished to Buyer ("Title Policy"). The Title Policy shall be issued in the amount of the total Purchase Price and shall insure fee simple title to the Property in Buyer, subject only to the Permitted Exceptions. Buyer's obligation to close this transaction shall be contingent on Buyer's receipt of such Title Policy. If Buyer so elects, Buyer may purchase extended coverage with the additional portion of the premium for extended coverage to be paid by Buyer. 7. Earnest Money Deposit. Upon the execution of this Agreement (the "Effective Date"), Buyer shall deposit with Chicago Title in Edmonds, Washington (the "Escrow Agent" or "Title Company") the amount of Twenty Eight Thousand and no/100 Dollars ($28,000.00) as an earnest money deposit (the "Earnest Money"). The earnest money deposit shall be payable to the Seller only if the Buyer defaults tinder this Agreement. On the Closing Date, Buyer shall deposit with Escrow Agent the entire amount of the Purchase Price in cash, as adjusted for any amounts to be charged or credited against the Purchase Price in accordance with this Agreement. 8. General Contingencies and Obligations. The purchase and sale obligations of the parties are subject to the following general conditions and contingencies: (a) Investigation of the Property. Seller shall provide or make available to Buyer for inspection and copying to the extent available or within Seller's possession or control all documents and information pertaining to the Property, including, but not limited to, all soils reports and environmental studies, any existing surveys, architectural drawings or renderings, plans and specifications with respect to the Property except appraisals not performed in support of this transaction and other documents not available for public disclosure. Buyer and its employees and agents shall have the right from the date of this Agreement through Closing Date (or earlier termination of this Agreement) to enter upon the Property or any part thereof at reasonable times and from time to time upon providing two business days advance notice to the Seller and receiving the Seller's approval, which shall not be unreasonably withheld, conditioned or delayed, for the purpose, at Buyer's cost and expense, for making all soil and other tests or studies under (N1'SS686046.1)OC;ii00006.90000o/}REAI. ESTATE PURCHASE AND SALE AGRr MINT — P age 4 of 16 Seller: Buyer: the provisions of this Agreement. If the Seller does not respond to the Buyer within the two -business -day period stated above, the Seller shall be deemed to have approved Buyer's entry upon the Property; provided, however, Buyer shall indemnify and hold harmless Seller from and against any mechanic's or other liens or claims that may be filed or asserted against the Property or Seller by any actions taken by Buyer in connection with the Property. Buyer's obligation to purchase the Property shall be subject to and contingent upon Buyer's inspection and approval, in its sole and absolute discretion, of the physical condition of the Property ("Property Inspection"), including, without hmltatlon, the conducting of soil tests (including borings), toxic and hazardous waste studies, surveys, engineering, historical use, traffic and access studies, structural studies and review of zoning, SEPA requests, fire, safety and other compliance matters. Buyer shall correct any damage to the Property caused by the Property Inspection and shall return the Property to its condition prior to the Property Inspection. (1) If an inspector recommends further evaluation of the site by a specialist, Buyer shall have an additional forty-five (45) days to obtain the additional inspection at Buyer's option and expense. Buyer shall provide a copy of the inspector's recommendation and notice that Buyer will seek additional inspections. Time for conducting any additional inspection shall commence on the day after Buyer gives notice of Additional inspection. The total for all inspections shall not exceed the period set forth in subparagraph (b) below. (ii) If any defect or problem is uncovered, the Buyer may, at its option, attempt to negotiate with the Seller, provided that nothing herein shall limit the Buyer's right to terminate pursuant to subparagraph (c) .below. (b) Due Diligence Period. As used herein, the term "Due Diligence Period" means the period ending on the earlier of (i) the date not to exceed one hundred thirty- five (135) days from execution of this Agreement by both parties; or (ii) the date that is five (5) clays after Seller's receipt of Buyer's written notice to terminate the Due Diligence Period prior to the end of the one hundred thirty-five (135) day period. (c) Buyer's Right to Terminate. If the conditions set forth in this Section are not satisfied in Buyer's sole and absolute discretion, Buyer shall have the right, prior to the expiration of the Due Diligence Period, to terminate its rights and obligations under this Agreement by sending written notice to Seller (such notice referred to as a "Termination Notice"), and the Earnest Money Note shall be returned to Buyer, and ` Buyer and Seller shall have no further rights or obligations under this Agreement except as otherwise provided in this Agreement.. t (d) Representations and Warranties are True. Buyer's obligation to purchase the Property shall be subject to the following conditions which must be satisfied by Seller as of Closing unless waived by Buyer at Closing: (i) All representations and 1 warranties of Seller contained herein shall be true, accurate and complete at the time of tN\'SS686046.1)OC;1100006.900oo0/)REA1. ESTATE PURCIIASE AND SAix AGIZEEN1FNT — Page 5 of 16 Seller: Buyer: the Closing as if made again at such time; (ii) Seller shall have performed all obligations to be performed by it hereunder on or before Closing (or, if earlier, on or before the date set forth in this Agreement for such performance); (iii) At Closing, Seller shall deliver title to the Property in the condition required by Section 4 of this Agreement; and (iv) At Closing, the physical condition of the Property shall be the same as on the date hereof, except as changed by Buyer's due diligence activities and damage resulting from the weather or other acts of God. If the conditions set forth in this subsection are not satisfied as of Closing and Buyer does not waive same, Buyer is entitled to return of the Earnest Money, and neither Buyer nor Seller shall have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. (e) (Modification of Sidewallcs/Curbeuts. The Buyer will assume or delete the requirements under building permit #BLD2006-0845 for modification, by the Buyer, of the sidewalk or curb cuts at (i) the corner of 5"' Avenue and Maple Street, Edmonds, and (ii) east and west of the driveway on Maple Street. 9. Seller's Representations and Warranties. Seller hereby makes the following representations and warranties, which representations and warranties shall be deemed made by Seller to Buyer also as of the Closing Date: (a) Parties in Possession. There are no parties or trespassers in possession or which have a right to possession of all or any portion of the Property, and there are no leases, licenses, or encroachments affecting the Property, except those that can and will be eliminated at the time of Closing; (b) Foreign Person. Seller is not a foreign person and is a "United States Person" as such term is defined in Section 7701(a)(30) of the Internal Revenue Code of 1986, as amended (the "Code") and shall deliver to Buyer prior to the Closing an affidavit evidencing such fact and such other documents as may be required under the Code; (c) Option to Acquire Premises. No person or entity has any right of first refusal or option to acquire any interest in the Property or any part thereof, and Seller has not sold or contracted to sell the Property or any portion thereof or interest therein other than as set forth herein; (d) Sole Legal Owner. Seller is the sole legal fee owner of the Property, and is not holding fee title as a nominee for any other person or entity; (e) Taxes. There are no governmental taxes, fees or other impositions on the Property, other than those that may be fully paid or satisfied at time of Closing; (f) Hazardous Substances. To the best of Seller's knowledge, the Property is not in violation of any law, ordinance, rule or regulation relating to the environmental conditions thereon. Moreover, to the best of Seller's knowledge, there is no hazardous (wSS6860 6.D0(:;v00006.g00000/)Rt AL ESTATE PURCHASE AND SALE AGREEMENT— Page 6 of 16 Seller: Buyer: waste or other substance, including but not limited to those that would be a hazardous waste, material or substance, toxic substance, gas or pollutant, as defined under the federal Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended, 42 U.S.C. Section 9601 et. seq., the Washington Model Toxics Control Act, RCW Ch, 70.105D, RCW Ch. 70.95, and the regulations promulgated thereunder or under any applicable local or state environmental ordinance, statute, law, rule or regulation ("Hazardous Substances"), on or about the Properly or on any parcels of land which abut the Property, except as disclosed in Exhibit E and the reports and other documents referenced therein, which shall be provided to the Buyer upon execution of this Agreement. Further, to the best of Seller's knowledge: (i) there has been no release, spill, leak, discharge, emission, leak or disposal, (ii) there are no substances or conditions, in or on the Property or any other parcels of land which may affect the Property or use thereof which may support a claim or cause of action under any federal, state or local environmental statute, regulation, ordinance or other environmental regulatory requirements and (iii) there is no asbestos, PCBs or underground storage tanks located on the Property or which have been removed there from, except as disclosed in Exhibit E and the reports and other documents referenced therein; and (g) Indemnification. Seller agrees to indemnify, hold harmless and defend the Buyer, its appointed officials, officers, employees, agents, and representatives, from and against any and all liability, loss, cost, expenses and damages of any nature whatsoever including costs and attorneys' fees, which are caused by or arise out of a claimor action by a governmental entity (other than the City of Edmonds) with regulatory jurisdiction over Hazardous Substances emanating on or mitigating from the Property. 10. Closing. The following terms and conditions apply to the Closing of this purchase and sale: (a) Closing Date. Within five (5) business days following the end of the Due Diligence period (the "Closing Date"), the closing of the purchase of the Property (tile "Closing") shall be held at the offices of the Escrow Agent. The Closing shall occur when the Deed to Buyer is recorded and the Purchase Price is delivered to the Escrow Agent for delivery to Seller. (b) Items to be Delivered by Seller. For and in consideration of, and as a condition precedent to, the payment to Seller of any of the Purchase Price, Seller shall obtain and deliver to Buyer at Closing the following documents (all of which shall be duly executed and acknowledged where required): (i) Statutory Warranty Deed, A Statutory Warranty deed ("Deed") in recordable form and otherwise in form and substance reasonably acceptable to Buyer containing the legal description of the Property in such form as will convey to Buyer a good and marketable title in fee simple to the Property, free and clear of all liens, encumbrances, conditions, easements, assignments, and restrictions, except for the Permitted .Exceptions; (ii) Title Documents. Stich other 1wSS686046.1)0(:;1I00006.9oo0001)REAL ESTATE' PURCHASE AND SAL: AGRr,,Ei\,IEN'r — Page 7 of 16 Seller: Buyer: documents, including, without limitation, lien waivers, indemnity bonds, and indemnification agreements as shall be reasonably required by the Title Company as a condition to its insuring Buyer's good and marketable fee simple title to the Property free of any exceptions, other than the Permitted Exceptions; (iii) Excise Tax .Affidavit. An excise tax affidavit for filing with the Snohomish County Auditor at the time of recording Deed; (iv) FIRPTA Affidavit. The affidavit of non -foreign status described in Section 7(b) of this Agreement, as required by federal tax law; (v) Title Policy, The Title Policy referred to in Section 4(d) of this Agreement. (c) Items to be Delivered by Buyer. Buyer shall deliver the Purchase Price. (d) Payment of Costs. Seller and Buyer shall pay their own respective costs incurred with respect to this Agreement and the consummation of the purchase and sale of the Property including, without limitation, their own respective attorneys' fees. Notwithstanding the foregoing: (i) Seller shall pay the costs of a standard owner's title policy and Buyer shall pay the costs, if any, of the extended coverage of the Title Policy; (h) Buyer shall pay the fee to record the deed; (iii) Buyer and Seller shall each pay one- half of the escrow fee; and (iv) Seller shall pay any real estate excise tax due on the transaction. (e) Real Property Taxes and Utility Charges. Seller and Buyer are both exempt from paying real property taxes and assessments and utility charges against the Property are paid in full. As a result, it will not be necessary to pro -rate taxes, assessments. or utility charges at Closing; (1:) Monetary Liens. Seller shall pay or cause to be satisfied at or prior to Closing all, monetary liens created by or arising through Seller on or with respect to all or any portion of the Property, including, but not limited to, mortgages, deeds of trust, security agreements, assignments of leases, rents and/or easements, judgment liens, tax liens (other than those for taxes not yet due and payable) and financing statements. 11. Notices. Unless applicable law requires a different method of giving notice, any and all notices, demands or other communications required or desired to be given hereunder by any party (collectively, "notices") shall be in writing and shall be. validly given or made to another party if delivered either personally or by Federal Express or other overnight delivery service of recognized standing, or if deposited in the United States rail, certified, registered, or express mail with postage prepaid. If such notice is personally delivered, it shall be conclusively deemed given at the time of such delivery. If such notice is delivered by Federal Express or other overnight delivery service of recognized standing, it shall be deemed given twenty-four (24) hours after the deposit thereof with such delivery service. If such notice is mailed as provided herein, such shall be deemed given forty-eight (48) hours after the deposit thereof in the United States mail. Each such notice shall be deemed given only if properly addressed to the party to whom such notice is to be given as follows: (1\ISS686046.1)0(:;1/00006.900000i}RLAL EsrA,rr PURCHASE AND SALE Ac.11EEMENT—Page 8 of 16 Seller: Buyer: To Seller: Robert Gregg Gregg Production Associates, Inc. 51 West Dayton St., Suite 304 Edmonds WA 98020 With a copy to: Gary Krohn Northgate Executive Center II 9725 3rd Avenue N.E., Suite 600 Seattle WA 98115-2060 To Buyer: City of Edmonds Attn: Sandy Chase 121 5th Avenue North Edmonds, WA 98020 With a copy to: W. Scott Snyder, City Attorney Ogden Murphy Wallace P.L.L.C. 1601 Fifth Avenue, Suite 2100 Seattle, WA 98101 Any party hereto may change its address for the purpose of receiving notices as herein provided by a written notice given in the manner aforesaid to the other party hereto. 12. Event of Default. In the event of a default under this Agreement by Seller (including a breach of any representation, warranty or covenant set forth herein), Buyer shall be entitled (a) in addition to all other remedies, to seek monetary damages and specific performance of Seller's obligations hereunder; or (b) to terminate this Agreement by written notice to Seller and Escrow Agent. In the event of a breach or default by Buyer without any default by Seller or failure of any condition to Buyer's obligations hereunder, Seller's sole and exclusive remedy shall be to recover liquidated damages from Buyer in the amount of the Earnest Money. The parties acknowledge that in the event of such default by Buyer, Seller will have incurred substantial but unascertainable damages and that therefore the provision herein for liquidated damages is a valid one. 13. Miscellaneous Provisions. The following miscellaneous terms and conditions apply: (a) Possession. Buyer shall be entitled to possession of the Property on Closing. NN'SS686046.1)OC;1/00006.900000/)RI.AL ESTATE PURCHASE AND SALE AGREUMENT — Page 9 of 16 Seller: Buyer: (b) Survival of Representations and Warranties. All representations, warranties, covenants indemnities, and agreements of the parties contained in this Agreement, or in any instrument or other writing provided for herein, shall survive the Closing. (c) Termination. In the event of a termination of this Agreement for any reason, the escrow will be terminated, all documents and funds will be returned to the party who deposited them except as otherwise provided herein, and neither party will have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. (d) Applicable Law and Venue. This Agreement shall in all respects be governed by the laws of the State of Washington, and any action at law or equity to enforce or interpret its terms shall be filed in the Superior Court, Snohomish County, Washington. (e) Further Assurances. Each of the parties shall execute and deliver any and all additional papers, documents and other assurances and shall do any and all acts and things reasonably necessary in connection with the performance of its obligations hereunder, to carry out the intent of the parties hereto. (f) Modification or Amendment. No amendment, change or modification of this Agreement shall be valid, unless in writing and signed by all of the parties hereto. Assignment. This Agreement may not be assigned without the prior written content of all parties. (g) Successors and Assigns. All of the terms and provisions contained herein shall inure to the benefit of and shall be binding upon the parties hereto and their respective heirs, legal representatives, successors and assigns. (h) Entire Agreement. This Agreement constitutes the entire understanding and agreement of the parties with respect to its subject matter and any and all prior agreements, understandings or representations with respect to its subject matter are hereby canceled in their entirety and are of no further force or effect. (i) Attorneys' Fees. Should either party bring suit to enforce this Agreement, the prevailing party in such lawsuit shall be entitled to an award of its reasonable attorneys' fees and costs incurred in connection with such lawsuit. (j) Interpretation. This Agreement has been submitted to the scrutiny of all parties and their counsel, if desired, and it shall be given a fair and reasonable interpretation in accordance with its words, without consideration to or weight given to its being drafted by any party or its counsel. The captions and paragraph headings used in INNISS686046.1)0(:;1100006.900000r}REAL ESTATE PURCHASE AND SALE AGRUME\T — Page 10 of 16 Seller: Buyer: this Agreement are inserted for convenience of reference only and are not intended to define, limit or affect the interpretation or construction of any term or provision hereof. (k) Counterparts. This Agreement may be signed in counterparts and all of such counterparts when properly executed by the appropriate parties thereto together shall serve as a fully executed document, binding upon the parties. )BUYER: CITY Of EDMONDS By: Dated: Gary Haakenson, Mayor ATTEST/AUTHENTICATED: By: Dated: Sandra S. Chase, City Clerk APPROVED AS TO FORM: Dated: W. Scott Snyder, City Attorney SELLER: GREGG PRODUCTION ASSOCIATES, INC. BY -- Dated: - - - Robert Gregg, President {wSS686046.1)OC;1/00006.900000ljREAl, ESTATE W)RCHASE AND SALE AGREEMENT— Page 11 of 16 Seller: �__ Buyer: I Exhibit A Legal Description of Seller's Property (N)-sS(,86046.))oc;1i00006 .g00000i}RrAL ESTATE PuRCHASPPI, AND SALE AGREEMENT- PCege 12 of 16 Seller: �_ Buyer: I EXHIBIT A ENTIRE PARCEL LEGAL DESCRIPTION Property Address: 201 51h Avenue South, Edmonds, WA 98020 Parcel Number 00434212103700 Legal Description: CITY OF EDMONDS BLK 121 D-00 — LOT 37 EXC E 16FT THOF & ALL LOTS 38-39-40 TGW S 1/2 VAC ALLEY ADJ SD LOTS EXC E 16FT LOT 37 THOF Exhibit B General Description and Location of Courtyard {N\'SS686046.1)0C;1/00006.900000/}REAL ESTA'rE PURCIiASU AND SALE AGREE-mrRT—Puge 13 of 16 Seller: Buyer: DAYTON ST. 0 M 30' 1 1 1 lbo 3 4 l @ 0 l� l L PLAT THE CITY OF EDMONDS vi_ `T W --. �104� Q l7 66 Il I 1 TAX PARCEL #00434212103700PRopom AM1 1 II 30 ' 30' I 1114,00' l � o M MAPLE ST. SCALE IN FEET 50 0 50 100 EXHIBIT B 728 134th Streel SW - SuRe 200 1 Everest, Waftoon 98204 Ph; 425141-M SCALE: 1" = 50' DATE" 03/31/08 1:\22\2008\001 \5TH-MAP LE -ACQUISITION. DWG EXHIBIT B vISITEo it/t7j2oo6 sA W 54 96 s S' RCP DAYTON STREET N -w IC S4.00 M 12- RfP Rlli G6 12' RCP N6B57']6•E 659.7Y (PCE) 660.00' (P) 659.60' (CROS) IE 40.26 C 12• RCP �f K 49.DB lSi 18• RCP RIY 5d43 �, R Sbs]H ]1 90ti2'24•(PGE) 9i IE 57.50 N 6' Pvc 9arx2w(olDs} 1 IE+• 51.60 W 1C RCP f 96tD0Y1O'(P) w� „ W w It 51,35 S 1B• pCP 3 wu • fr- ►' -a=r o-? C,ONCRETE YfAtX- CONCRE7E OSSWALI VCT . •VCi ''�_L_ - --- --_--_ - L• _4-1 IY 2 _ IE so. b7 N 0• RCP 1 ��.• It 56.82 NE 4' PVC ' EAVE LINE IE $6-82 S 6' PVC v56A" TYPICAL y RIY 6.2 IC 58,57 WE 6" RCP 1• It M57 S r RCP P f . PLAT DF THE C1rY OF EDMONDS BLOCK 121 'A n 2-STORY BUILDING WI o- CONCRETE �{ RETAINING WAµ 1 ma RIN s9. 47 t�n1 iE 56,40 tmc5 ]- C 72.99 N S• 4_ a• CONDUITS yr, a+ NB957'36'E 59.97• s c-a io f6.00' IID0 ! 'E � ` N09ir36-E I � I • • ••S • ]` /J 15,00' (0) 1 ASPHALT OA7C00 ,{ O •' ` ASPHALT PARKING 1 is a ON TOP Of $WL7_E STORY BU)LIHNc 1 37 36 1 B• CONCRETE O 1 i 11 1 RETAINNG MALL � �� •II� �/ nn� 1 1 1 g w I . ;!' FOVHTA1k' gg r (/•�} 1 � � � i 1 V , •• 7•. -rL.• i N �4Y 5 t IE 7os1 E x 1 I mASH I / ', 10AD• (ol !`L-�._ _ _ _ ' _ _ _ _ _ . 1 3 CO'S �! 1 IE 53 5b N IV RCP o IE ll.?5 E tb• RCP i1 FOUND YONW/E IT INuB9'S]'J6'E 659.7T• (ACE) 6"OW (p) 6a.94 cwsE 2 MAPLE STREET L4sflEo It/ts/zaob R7Lf It 5144 N 10• RCP 50141f 5570 ,q•� IE a52 S 10• RCP ,Y 61.27 r. tC 57a4 S 6• Dt IE 55.77 NW 1B' RCP li rii P"1 C .N� oho •I •- ---- EXHIBIT B Exhibit C Legal Description of Courtyard I)VSS686046.1)0(:;i/00006.900000/)REAL Es,rATE PURCHASE AND SAI,I"s AGRE-ENIENT —Page 14 of 16 Seller: _ Buyer: EXHIBIT C ACQUISITION LEGAL DESCRIPTION THE- SOUTH 100.00 FEET OF THE WEST 22.00 FEET OF L.OT 40, BLOCK 121, PLAT OF 7'I-JE CITY OF EDMONDS, AS RECORDED IN VOLUME 2 OF PLATS, PAGE. 39, RECORDS OF SNQI•IOMISII COUNTY, WASHING'I'ON. SITUATE IN SECTION 24, TOWNSHIP 27 NORTH, RANGE 3 EAST, W.M. 1N THE CITY OF EDMONDS, COUNTY OF SNOHOMISH, STATE OF WASHINGTON. SAID ACQUISITION CONTAINING 2,200 SQ. FEET, MORE OR LESS. MARCI•I 31, 2008 1ERRY J FRANKLIN, PL8 N 37527 ML1 1 I 128 134"' St. SW Everett, WA 98204 425n41-3800 I I l:1l�OG722Sv\081001-Ciey of 13dmonds On-Cn=01_Old Mill Town Open Area\l.egals\5tli-Maple-Acquisition.doc EXHIBIT D DEED [Reserved] (�N'SS686O46.1)OC;I/OOOO6.900000/)REAL ESTATE' PURCHASE AND SALE AGREEMENT -- Page 15 of 16 Seller: _Buyer: Exhibit E [Reserved] {\VSS686046.D4C;1/00006.900000/)IZLAI. ESTATE, PURCH.ASC AND SAU, AGIZUmr,,NT — Page 16 of 16 Seller: Buyer: - N'iiEri N N 5. L_r a�a ��.r�r+■ n� ri�� i �_Y �i �i �-�1 11 Nit Ri CAI\■ REAL ESTATE PURCHASE AND SALE AGREEMENT This Real Estate Purchase and Sale Agreement ("Agreement") is dated, for reference purposes only, April 22, 2008. This Agreement is by and between Gregg Production Associates, a Washington corporation ("Seller"), and the City of Edmonds, a municipal corporation of the State of Washington ('Buyer" ), with references to the following facts: Whereas, the Seller is the owner of certain real property located in Snohomish County, Washington commonly referred to as "Old Milltown." Part of that property includes a strip of land known as "the Courtyard" that the Buyer wishes to acquire. Now, therefore, in consideration of the terms and conditions of this Agreement, and the mutual covenants herein contained, Buyer and Seller hereby agree as follows: 1. Agreement to Buy and Sell. The Seller agrees to sell, and the Buyer agrees to purchase, the Courtyard, on the terms and conditions stated in this Agreement. 2. Purchase and Sale Price. The Buyer shall pay the Seller Two Hundred Eighty Two Thousand Seven Hundred Sixty Six and no/100 dollars ($282,766.00) (the "Purchase Price") for the Courtyard and the other rights specified in this Agreement. 3. Description of Properties. The entire parcel presently owned by the Seller is described on Exhibit A. The Courtyard is approximately 2,200 in total square feet, about 22-foot-wide and 100-foot-long, running north and south from Maple Street North. The Courtyard is depicted in Exhibit B as the "Proposed 22' X 100' acquisition," and legally described on the attached Exhibit C. The Courtyard is not yet a separate tax parcel but, as explained below, the parties will cooperate in segregating it from the Seller's property. 4. Segregation of The Courtyard. The parties agree to cooperate in having the Courtyard segregated from the Seller's property and designated as a separate tax parcel. The Buyer will bear all costs and expenses of doing so, including, but not limited to, having a survey of the Courtyard performed and creating its new legal description. 5. Reservation of Easements by Seller. The Seller reserves certain rights and easements to the Courtyard parcel, primarily for the eventual redevelopment of the remaining portion of Old Milltown. These easements shall "run with the land" and bind not only the parties, but also their successors and assigns. The easements shall be exceptions to the deed given by the Seller to the Buyer and shall not be considered a defect in title. The Seller reserves the following rights in and to the Courtyard: �g�g�Q p o�.�nna n�n� IWSSb84oa6-.eoE;iae000&.900000/}REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 1 of 16 Seller: Buyer: (a) Utility Easement. The Seller reserves a surface and subsurface utility easement on and below an area 15 feet wide by 20 feet wide of the Courtyard as depicted on Exhibit B. The utility easement shall be for the installation, maintenance, repair, and periodic maintenance of a grease interceptor line for use by and in conjunction with the remainder of the Seller's property described on Exhibit A. In addition, the Seller shall have the right, at the Seller's own expense, to construct, repair, maintain, and reconstruct utilities, including a grease interceptor line through the use of a temporary construction easement on the north 50.73 feet of the court yard as shown on Exhibit B. Any utilization of the easement shall be limited to thirty (30) days in any calendar year, and the restoration should occur within the thirty (30) day period immediately following said utilization. The Seller shall restore the surface and subsurface area, together with any fixtures, structures, or improvements, to its original conditions following utilization of this Utility Easement or pay the Buyer's cost of such restoration. (b) General Construction Easement. The Seller also reserves a one-time, temporary construction easement over the Courtyard, of up to twelve (12) months in duration, for the erection and maintenance of a crane and other construction equipment, or the staging of construction materials and supplies during construction activities on the Seller's adjacent property. This easement shall run with the land and benefits the remainder of the parcel described in Exhibit A. This 12-month construction easement shall commence upon a date set by the mutual agreement of the parties, agreement not to be unreasonably withheld. This easement shall expire if not utilized by January 1, 2013. Within 30 days of the conclusion of the use of the construction easement, the Seller shall fully restore the Courtyard to its condition just prior to utilization of the easement or pay the Buyer's costs of such restoration. If the City, in its regulatory capacity, imposes any charges or fees during such construction for use of the Courtyard, then only those charges or fees that are uniformly charged to all similarly situated parties for "sidewalk disruption permits" will be imposed on the Seller. (c) Maintenance of Eaves. The dotted line on the eastern side of the courtyard as depicted on Exhibit B represents an existing eave which overlaps the courtyard by approximately two feet. Seller reserves an easement to maintain and, as required for public safety on the integrity of the structure, to rebuild the existing eaves in their current configuration and location. Should the building on which the eaves are located be reconstructed or remodeled in a fashion such that the eaves are removed, this easement shall expire. If the eaves are reduced in size, the reserved easement shall accordingly be reduced to the minimum necessary to permit maintenance of the replacement eaves. Neither the eaves nor any replacement architectural feature shall be constructed or reconstructed so as to expand their size, scope or location without the express written consent of the City. 6. Title to be Conveyed to City. The Seller shall convey to Buyer good and marketable title to the Courtyard, except for the easements reserved in this Agreement and other easements which may presently exist of record, which title shall including the land, JMM69OW -6a& ;wss6ssoa6DOC l *00ob.-90000a}REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 2 of 16 Seller: Buyer: together with all easements, appurtenances, rights, privileges, reversionary rights and improvements thereunto belonging or appurtenant to the Courtyard. In this regard, the following terms and conditions shall apply: (a) Conveyance Deed. On the Closing Date, Seller shall convey to Buyer fee simple title to the Property by a duly executed and acknowledged Statutory Warranty Deed (the "Deed"), in substantially the form attached to this Agreement as Exhibit D, free and clear of all defects and encumbrances and subject only to the easement reserved by the Seller and those exceptions that Buyer approves pursuant to Section 4(b) below (the "Permitted Exceptions"). (b) Preliminary Title Commitment. The Buyer shall order a preliminary commitment for an owner's standard coverage policy of title insurance in the amount of the Purchase Price to be issued by Title Company and accompanied by copies of all documents referred to in the commitment (the "Preliminary Commitment"). Buyer shall advise Seller by written notice what exceptions to title, if any, are objected to by Buyer ("Objections") within ten (10) days following the Effective Date or following the receipt of the Preliminary Commitment, whichever date is later, but in no event later than the Closing Date. If Buyer fails to give notice before the expiration of the ten (10) day period, or by the Closing Date, whichever is earlier, Buyer will be deemed to have approved the title exceptions identified in the Preliminary Commitment and all such exceptions shall be Permitted Exceptions. No later than seven (7) days after receipt of Buyer's notice, Seller may give Buyer notice that (i) Seller will remove Objections or (ii) Seller elects not to remove Objections. If Seller fails to give Buyer such notice, Seller will be deemed to have given Buyer notice as of the seventh (7th) day after receipt of Buyer's notice, or the Closing Date, whichever is earlier, that Seller elected not to remove any of the Objections. Notwithstanding the foregoing, Seller will be required to remove any monetary liens, monetary assessments or monetary encumbrances affecting the Property prior to or as of the Closing Date. Immediately upon discovering the need to amend or add any exception to the Title Commitment, Escrow Agent shall notify Buyer and Seller. Within ten (10) business days after notice from Escrow Agent together with a copy of such intervening lien or matter, but in no event later than the Closing Date, Buyer shall notify Seller in writing of any objections thereto (the "Amendment Objections"). No later than seven (7) days after receipt of Buyer's notice, Seller may give Buyer notice that (i) Seller will remove Amendment Objections or (ii) Seller elects not to remove Amendment Objections. If Seller fails to give Buyer such notice, Seller will be deemed to have given Buyer notice as of the seventh (7th) day after receipt of Buyer's notice, or the Closing Date, whichever is earlier, that Seller elected not to remove any of the Amendment Objections. (c) Title Objections. If Seller elects not to remove any non -monetary Objections or Amendment Objections, Buyer will have five (5) days from receipt of Seller's notice, but in no event later than the Closing Date, to notify Seller of Buyer's election either to proceed with the purchase and take the Property subject to those exceptions, in which case the Objections and Amendment Objections shall be deemed twssRR[,aas Dnr-�mnnnas_9nnn_1 1wSS686046-.00C—,t/o oo6-m000/}REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 3 of 16 Seller: Buyer: Permitted Exceptions, or to terminate this Agreement. If Seller gives notice that it will cause one or more non -monetary Objections or Amendment Objections to be removed but fails to remove any of them from title on or before the Closing Date, Buyer may either (i) elect to terminate this Agreement by written notice to Seller, or (ii) proceed with the purchase and take the Property subject to those exceptions, which shall be deemed Permitted Exceptions. If Buyer elects to terminate this Agreement under this Section 4(c), the escrow will be terminated, all documents and funds, including the earnest money note, will be returned to the party who deposited them, and neither party will have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. If this Agreement is terminated due to non -removal of an Objection or Amendment Objection after Seller has agreed to remove it, then Seller will pay any costs of terminating the escrow and any cancellation fee for the Preliminary Commitment. (d) Title Policy. Buyer shall receive at Closing, at Seller's expense, an Owner's Standard Coverage Title Insurance Policy (ALTA Form 1970 with 1984 revisions) with such endorsements as Buyer may request, issued by the Title Company to be furnished to Buyer ("Title Policy"). The Title Policy shall be issued in the amount of the total Purchase Price and shall insure fee simple title to the Property in Buyer, subject only to the Permitted Exceptions. Buyer's obligation to close this transaction shall be contingent on Buyer's receipt of such Title Policy. If Buyer so elects, Buyer may purchase extended coverage with the additional portion of the premium for extended coverage to be paid by Buyer. 7. Earnest Money Deposit. Upon the execution of this Agreement (the "Effective Date"), Buyer shall deposit with Chicago Title in Edmonds, Washington (the "Escrow Agent" or "Title Company") the amount of Twenty Eight Thousand and no/100 Dollars ($28,000.00) as an earnest money deposit (the "Earnest Money"). The earnest money deposit shall be payable to the Seller only if the Buyer defaults under this Agreement. On the Closing Date, Buyer shall deposit with Escrow Agent the entire amount of the Purchase Price in cash, as adjusted for any amounts to be charged or credited against the Purchase Price in accordance with this Agreement. 8. General Contingencies and Obligations. The purchase and sale obligations of the parties are subject to the following general conditions and contingencies: (a) Investigation of the Property. Seller shall provide or make available to Buyer for inspection and copying to the extent available or within Seller's possession or control all documents and information pertaining to the Property, including, but not limited to, all soils reports and environmental studies, any existing surveys, architectural drawings or renderings, plans and specifications with respect to the Property,. 1 e need not disci se documents relating to appraisals not performed in support of this transaction and business and financial records —of the Seller unrelated to the physioa cgndition titre purchase area depieted in Exhibit _ support- ansa f,&"ubhe-diselosure-Buyer rwsSr.Rfiod�nac 3ronon�sn.on.00�iwss6s6oa�Doc—,im ►o&.gowo/IREAL ESTATE PURCHASE AND SALE AGREEMENT — Page 4 of 16 Seller: Buyer: and its employees and agents shall have the right from the date of this Agreement through Closing Date (or earlier termination of this Agreement) to enter upon the Property or any part thereof at reasonable times and from time to time upon providing two business days advance notice to the Seller and receiving the Seller's approval, which shall not be unreasonably withheld, conditioned or delayed, for the purpose, at Buyer's cost and expense, for making all soil and other tests or studies under the provisions of this Agreement. If the Seller does not respond to the Buyer within the two -business -day period stated above, the Seller shall be deemed to have approved Buyer's entry upon the Property; provided, however, Buyer shall indemnify and hold harmless Seller from and against any mechanic's or other liens or claims that may be filed or asserted against the Property or Seller by any actions taken by Buyer in connection with the Property. Buyer's obligation to purchase the Property shall be subject to and contingent upon Buyer's inspection and approval, in its sole and absolute discretion, of the physical condition of the Property ("Property Inspection"), including, without limitation, the conducting of soil tests (including borings), toxic and hazardous waste studies, surveys, engineering, historical use, traffic and access studies, structural studies and review of zoning, SEPA requests, fire, safety and other compliance matters. Buyer shall correct any damage to the Property caused by the Property Inspection and shall return the Property to its condition prior to the Property Inspection. (i) If an inspector recommends further evaluation of the site by a specialist, Buyer shall have an additional forty-five (45) days to obtain the additional inspection at Buyer's option and expense. Buyer shall provide a copy of the inspector's recommendation and notice that Buyer will seek additional inspections. Time for conducting any additional inspection shall commence on the day after Buyer gives notice of Additional inspection. The total for all inspections shall not exceed the period set forth in subparagraph (b) below. (ii) If any defect or problem is uncovered, the Buyer may, at its option, attempt to negotiate with the Seller, provided that nothing herein shall limit the Buyer's right to terminate pursuant to subparagraph (c) below. (b) Due Diligence Period. As used herein, the term "Due Diligence Period" means the period ending on the earlier of (i) the date not to exceed one hundred thirty- five (135) days from execution of this Agreement by both parties; or (ii) the date that is five (5) days after Seller's receipt of Buyer's written notice to terminate the Due Diligence Period prior to the end of the one hundred thirty-five (135) day period. (c) Buyer's Right to Terminate. If the conditions set forth in this Section are not satisfied in Buyer's sole and absolute discretion, Buyer shall have the right, prior to the expiration of the Due Diligence Period, to terminate its rights and obligations under this Agreement by sending written notice to Seller (such notice referred to as a "Termination Notice"), and the Earnest Money Note shall be returned to Buyer, and �g�g�,p�:�ra000�9aopUa,�WSS686046.DoE;ve0006�900000/jREAL ESTATE PURCHASE AND SALE AGREEMENT — Page 5 of 16 Seller: Buyer: Buyer and Seller shall have no further rights or obligations under this Agreement except as otherwise provided in this Agreement. (d) Representations and Warranties are True. Buyer's obligation to purchase the Property shall be subject to the following conditions which must be satisfied by Seller as of Closing unless waived by Buyer at Closing: (i) All representations and warranties of Seller contained herein shall be true, accurate and complete at the time of the Closing as if made again at such time; (ii) Seller shall have performed all obligations to be performed by it hereunder on or before Closing (or, if earlier, on or before the date set forth in this Agreement for such performance); (iii) At Closing, Seller shall deliver title to the Property in the condition required by Section 4 of this Agreement; and (iv) At Closing, the physical condition of the Property shall be the same as on the date hereof, except as changed by Buyer's due diligence activities and damage resulting from the weather or other acts of God. If the conditions set forth in this subsection are not satisfied as of Closing and Buyer does not waive same, Buyer is entitled to return of the Earnest Money, and neither Buyer nor Seller shall have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. eat!on -of-Sidewa lis/C-mr-beuts—The-Buyer will a,a"F-delete 845 7 7 eur1h .F F1:d,..1y , 1.. �+ !�f1 41V r�.V� y� G, ] ,PL and (ii) east and t 3 -fit a A- A iT 1 StrvnL 9PV�]L V lirllV Li Ll VVL• 9. Seller's Representations and Warranties. Seller hereby makes the following representations and warranties, which representations and warranties shall be deemed made by Seller to Buyer also as of the Closing Date: (a) Parties in Possession. There are no parties or trespassers in possession or which have a right to possession of all or any portion of the Property, and there are no leases, licenses, or encroachments affecting the Property, except those that can and will be eliminated at the time of Closing; (b) Foreign Person. Seller is not a foreign person and is a "United States Person" as such term is defined in Section 7701(a)(30) of the Internal Revenue Code of 1986, as amended (the "Code") and shall deliver to Buyer prior to the Closing an affidavit evidencing such fact and such other documents as may be required under the Code; (c) Option to Acquire Premises. No person or entity has any right of first refusal or option to acquire any interest in the Property or any part thereof, and Seller has not sold or contracted to sell the Property or any portion thereof or interest therein other than as set forth herein; (d) Sole Legal Owner. Seller is the sole legal fee owner of the Property, and is not holding fee title as a nominee for any other person or entity; .{W5%W46M -IMM rM;wss6gsoa6.BOE;H00006.-mooalREAL ESTATE PURCHASE AND SALE AGREEMENT — Page 6 of 16 Seller: Buyer: (e) Taxes. There are no governmental taxes, fees or other impositions on the Property, other than those that may be fully paid or satisfied at time of Closing; (f) Hazardous Substances. To the best of Seller's knowledge, the Property is not in violation of any law, ordinance, rule or regulation relating to the environmental conditions thereon. Moreover, to the best of Seller's knowledge, there is no hazardous waste or other substance, including but not limited to those that would be a hazardous waste, material or substance, toxic substance, gas or pollutant, as defined under the federal Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended, 42 U.S.C. Section 9601 et. seq., the Washington Model Toxics Control Act, RCW Ch. 70.105D, RCW Ch. 70.95, and the regulations promulgated thereunder or under any applicable local or state environmental ordinance, statute, law, rule or regulation ("Hazardous Substances"), on or about the Property or on any parcels of land which abut the Property, except as disclosed in Exhibit E and the reports and other documents referenced therein, which shall be provided to the Buyer upon execution of this Agreement. Further, to the best of Seller's knowledge: (i) there has been no release, spill, leak, discharge, emission, leak or disposal, (ii) there are no substances or conditions, in or on the Property or any other parcels of land which may affect the Property or use thereof which may support a claim or cause of action under any federal, state or local environmental statute, regulation, ordinance or other environmental regulatory requirements and (iii) there is no asbestos, PCBs or underground storage tanks located on the Property or which have been removed there from, except as disclosed in Exhibit E and the reports and other documents referenced therein; and (g) Indemnification. Seller agrees to indemnify, hold harmless and defend the Buyer, its appointed officials, officers, employees, agents, and representatives, from and against any and all liability, loss, cost, expenses and damages of any nature whatsoever including costs and attorneys' fees, which are caused by or arise out of a claim or action by a governmental entity (other than the City of Edmonds) with regulatory jurisdiction over Hazardous Substances emanating on or 'n ati" from the Property. The Seller shall inde 1t� the Buyu ftom Any a 'fly whatsoever, including the casts of reasonable defense by ounsel of the Buyer's choosing which arises fmm or out of any nhy§jOIX perty or condition affecting or relating to the CouMard which is de cribed or otherwise referred_ to in any document ailez- by the Seller to be a "business at financial record" and not disclosed to theB&ygLpMrsuantW Section a s e 10. Closing. The following terms and conditions apply to the Closing of this purchase and sale: (a) Closing Date. Within five (5) business days following the end of the Due Diligence period (the "Closing Date"), the closing of the purchase of the Property (the "Closing") shall be held at the offices of the Escrow Agent. The Closing shall occur when 44D9 ;wss68604&DOC—;VM06.90 ooa}REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 7 of 16 Seller: Buyer: the Deed to Buyer is recorded and the Purchase Price is delivered to the Escrow Agent for delivery to Seller. (b) Items to be Delivered by Seller. For and in consideration of, and as a condition precedent to, the payment to Seller of any of the Purchase Price, Seller shall obtain and deliver to Buyer at Closing the following documents (all of which shall be duly executed and acknowledged where required): (1) Statutory Warranty Deed. A Statutory Warranty deed ("Deed") in recordable form and otherwise in form and substance reasonably acceptable to Buyer containing the legal description of the Property in such form as will convey to Buyer a good and marketable title in fee simple to the Property, free and clear of all liens, encumbrances, conditions, easements, assignments, and restrictions, except for the Permitted Exceptions; (ii) Title Documents. Such other documents, including, without limitation, lien waivers, indemnity bonds, and indemnification agreements as shall be reasonably required by the Title Company as a condition to its insuring Buyer's good and marketable fee simple title to the Property free of any exceptions, other than the Permitted Exceptions; (iii) Excise Tax Affidavit. An excise tax affidavit for filing with the Snohomish County Auditor at the time of recording Deed; (iv) FIRPTA Affidavit. The affidavit of non -foreign status described in Section 7(b) of this Agreement, as required by federal tax law; (v) Title Policy. The Title Policy referred to in Section 4(d) of this Agreement. (c) Items to be Delivered by Buyer. Buyer shall deliver the Purchase Price. (d) Payment of Costs. Seller and Buyer shall pay their own respective costs incurred with respect to this Agreement and the consummation of the purchase and sale of the Property including, without limitation, their own respective attorneys' fees. Notwithstanding the foregoing: (i) Seller shall pay the costs of a standard owner's title policy and Buyer shall pay the costs, if any, of the extended coverage of the Title Policy; (ii) Buyer shall pay the fee to record the deed; (iii) Buyer and Seller shall each pay one- half of the escrow fee; and (iv) Seller shall pay any real estate excise tax due on the transaction. (e) Real Property Taxes and Utility Charges. Seller and Buyer are both exempt from paying real property taxes and assessments and utility charges against the Property are paid in full. As a result, it will not be necessary to pro -rate taxes, assessments. or utility charges at Closing; (f) Monetary Liens. Seller shall pay or cause to be satisfied at or prior to Closing all monetary liens created by or arising through Seller on or with respect to all or any portion of the Property, including, but not limited to, mortgages, deeds of trust, security agreements, assignments of leases, rents and/or easements, judgment liens, tax liens (other than those for taxes not yet due and payable) and financing statements. gElll{i{•WSSb86o4G-Boc—v0000C.90000wIREAL ESTATE PURCHASE AND SALE AGREEMENT — Page 8 of 16 Seller: Buyer: 11. Notices. Unless applicable law requires a different method of giving notice, any and all notices, demands or other communications required or desired to be given hereunder by any party (collectively, "notices") shall be in writing and shall be validly given or made to another party if delivered either personally or by Federal Express or other overnight delivery service of recognized standing, or if deposited in the United States mail, certified, registered, or express mail with postage prepaid. If such notice is personally delivered, it shall be conclusively deemed given at the time of such delivery. If such notice is delivered by Federal Express or other overnight delivery service of recognized standing, it shall be deemed given twenty-four (24) hours after the deposit thereof with such delivery service. If such notice is mailed as provided herein, such shall be deemed given forty-eight (48) hours after the deposit thereof in the United States mail. Each such notice shall be deemed given only if properly addressed to the party to whom such notice is to be given as follows: To Seller: Robert Gregg Gregg Production Associates, Inc. 51 West Dayton St., Suite 304 Edmonds WA 98020 With a copy to: Gary Krohn Northgate Executive Center II 9725 3rd Avenue N.E., Suite 600 Seattle WA 98115-2060 To Buyer: City of Edmonds Attn: Sandy Chase 121 5th Avenue North Edmonds, WA 98020 With a copy to: W. Scott Snyder, City Attorney Ogden Murphy Wallace P.L.L.C. 1601 Fifth Avenue, Suite 2100 Seattle, WA 98101 Any party hereto may change its address for the purpose of receiving notices as herein provided by a written notice given in the manner aforesaid to the other party hereto. 12. Event of Default. In the event of a default under this Agreement by Seller (including a breach of any representation, warranty or covenant set forth herein), Buyer shall be entitled (a) in addition to all other remedies, to seek monetary damages and specific f]i5Sd86(145ILf].1[OU4{-►vsss6mo46..Doc tl00006.900000gREAL ESTATE PURCHASE AND SALE AGREEMENT — Page 9 of 16 Seller: Buyer: performance of Seller's obligations hereunder; or (b) to terminate this Agreement by written notice to Seller and Escrow Agent. In the event of a breach or default by Buyer without any default by Seller or failure of any condition to Buyer's obligations hereunder, Seller's sole and exclusive remedy shall be to recover liquidated damages from Buyer in the amount of the Earnest Money. The parties acknowledge that in the event of such default by Buyer, Seller will have incurred substantial but unascertainable damages and that therefore the provision herein for liquidated damages is a valid one. 13. Miscellaneous Provisions. The following miscellaneous terms and conditions apply: (a) Possession. Buyer shall be entitled to possession of the Property on Closing. (b) Survival of Representations and Warranties. All representations, warranties, covenants indemnities, and agreements of the parties contained in this Agreement, or in any instrument or other writing provided for herein, shall survive the Closing. (c) Termination. In the event of a termination of this Agreement for any reason, the escrow will be terminated, all documents and funds will be returned to the party who deposited them except as otherwise provided herein, and neither party will have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. (d) Applicable Law and Venue. This Agreement shall in all respects be governed by the laws of the State of Washington, and any action at law or equity to enforce or interpret its terms shall be filed in the Superior Court, Snohomish County, Washington. (e) Further Assurances. Each of the parties shall execute and deliver any and all additional papers, documents and other assurances and shall do any and all acts and things reasonably necessary in connection with the performance of its obligations hereunder, to carry out the intent of the parties hereto. (f) Modification or Amendment. No amendment, change or modification of this Agreement shall be valid, unless in writing and signed by all of the parties hereto. Assignment. This Agreement may not be assigned without the prior written content of all parties. (g) Successors and Assigns. All of the terms and provisions contained herein shall inure to the benefit of and shall be binding upon the parties hereto and their respective heirs, legal representatives, successors and assigns. lWSS6&6046-.DGIG�-ll 0M06.900000F}REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 10 of 16 Seller: Buyer: (h) Entire Agreement. This Agreement constitutes the entire understanding and agreement of the parties with respect to its subject matter and any and all prior agreements, understandings or representations with respect to its subject matter are hereby canceled in their entirety and are of no further force or effect. (i) Attorneys' Fees. Should either party bring suit to enforce this Agreement, the prevailing party in such lawsuit shall be entitled to an award of its reasonable attorneys' fees and costs incurred in connection with such lawsuit. (j) Interpretation. This Agreement has been submitted to the scrutiny of all parties and their counsel, if desired, and it shall be given a fair and reasonable interpretation in accordance with its words, without consideration to or weight given to its being drafted by any party or its counsel. The captions and paragraph headings used in this Agreement are inserted for convenience of reference only and are not intended to define, limit or affect the interpretation or construction of any term or provision hereof. (k) Counterparts. This Agreement may be signed in counterparts and all of such counterparts when properly executed by the appropriate parties thereto together shall serve as a fully executed document, binding upon the parties. BUYER: CITY OF EDMONDS Lo Gary Haakenson, Mayor ATTEST/AUTHENTICATED: Sandra S. Chase, City Clerk APPROVED AS TO FORM: W. Scott Snyder, City Attorney SELLER: GREGG PRODUCTION ASSOCIATES, INC. Un Robert Gregg, President Dated: Dated: Dated: Dated: LWSSbB-6046.DOC:it00f6SlN i-WS5686046-DOC, /00006900000/IREAL ESTATE PURCHASE AND SALE AGREEMENT — Page 11 of 16 Seller: Buyer: Exhibit A Legal Description of Seller's Property LWM6R6Q46-nQr-1/QQ {•wss686m.DGC;i/00006.g00000gREAL ESTATE PURCHASE AND SALE AGREEMENT — Page 12 of 16 Seller: Buyer: Exhibit B General Description and Location of Courtyard ,D I-W&%S"--DOC,IION06-"OomgREAL ESTATE PURCHASE AND SALE AGREEMENT — Page 13 of 16 Seller: Buyer: Exhibit C Legal Description of Courtyard #WSS68 adfijHW41100006.900OM W5s686046-ZGC;]1000U6-"NO01}REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 14 of 16 Seller: Buyer: EXHIBIT D DEED [Reserved] twsS6S6N6:poG;]/noon6.9onao0/IREAL ESTATE PURCHASE AND SALE AGREEMENT — Page 15 of 16 Seller: Buyer: Exhibit E [Reserved] rwSsMs MMOC_ -00U. l.wS5686o".Doc,ti0000fi:9u0000/IREAL ESTATE PURCHASE AND SALE AGREEMENT — Page 16 of 16 Seller: Buyer: CONSULTANT AGREEMENT BETWEEN LANDAU ASSOCIATES AND CITY OF EDMONDS THIS AGREEMENT, made and entered into between the City of Edmonds, hereinafter referred to as the "City", and Landau Associates, hereinafter referred to as the "Consultant"; WHEREAS, the City desires to engage the professional services and assistance of a consultant to environmental review services regarding a tract of land known as the Old Milltown Courtyard, as set forth in the attached Statement of Work, Exhibit A hereto; and NOW, THEREFORE, in consideration of mutual benefits accruing, it is agreed by and between the Parties hereto as follows: 1. Statement of Work. The Statement of Work shall include all services and materials necessary to prepare a Phase I Environmental Report in accordance with its attached Statement of Work, set forth in Exhibit A, incorporated by this reference as fully as if herein set forth.. 2. Payments. The Consultant shall be paid by the City for completed work for services rendered under this Agreement as provided hereinafter. Such payment shall be full compensation for work performed or services rendered and for all labor, materials, supplies, equipment and incidentals necessary to complete the work. A. Amount. Payment for work accomplished under the terms of this Agreement shall be as set forth in the Statement of Work and the authorization provided under paragraph 1 above, provided that in no event shall the payment for work performed pursuant to this Agreement exceed the sum of Four Thousand Five Hundred Dollars ($4,500.00). B. Payment Approval. All vouchers shall be submitted by the Consultant to the City for payment pursuant to the terms of this Agreement. The City shall pay the appropriate amount for each voucher to the Consultant. The Consultant may submit vouchers to the City monthly during the progress of the work for payment of completed phases of the project. Billings shall be reviewed in conjunction with the City's warrant process. No billing shall be considered for payment that has not been submitted to the Finance Director three (3) days prior to the scheduled cut-off date. Such late vouchers will be checked by the City and payment will be made in the next regular payment cycle. �f /* � S {WSS688876.DOC;1/00006.120080/} Page 1 of 6 C. Record Retention. The costs, records and accounts pertaining to this Agreement are to be kept available for inspection by representatives of the City for a period of three (3) years after final payment. Copies shall be made available upon request. 3. Ownership and Use of Documents. All research, tests, surveys, preliminary data and any and all other work product prepared or gathered by the Consultant in preparation for the services rendered by the Consultant under this Agreement shall be and are the property of Consultant and shall not be considered public records, provided, however, that: A. Final Document. All final reports, presentations and testimony prepared by the Consultant shall become the property of the City upon their presentation to and acceptance by the City and shall at that date become public records. B. Copies. The City shall have the right, upon reasonable request, to inspect, review and, subject to the approval of the Consultant, copy any work product. C. Default. In the event that the Consultant shall default on this Agreement, or in the event that this contract shall be terminated prior to its completion as herein provided, the work product of the Consultant, along with a summary of work done to date of default or termination, shall become the property of the City and tender of the work product and summary shall be a prerequisite to final payment under this contract. The summary of work done shall be prepared at no additional cost. 4. Hold Harmless Agreement. In performing the work under this contract, Consultant agrees to protect, indemnify and save the City harmless from and against any and all injury or damage to the City or its property, and also from and against all claims, demands, and cause of action of every kind and character arising directly or indirectly, or in any way incident to, in connection with, or arising out of negligent work performed under the terms hereof, caused by the fault of the Consultant, its agent, employees, representatives or subcontractors. Consultant specifically promises to indemnify the City against claims or suits brought under Title 51 RCW by its employees or subcontractors and waives any immunity that the Consultant may have under that title with respect to, but only to, the City. Consultant further agrees to fully indemnify City from and against any and all costs of defending any such claim or demand to the end that the City is held harmless therefrom. This paragraph shall not apply to damages or claims resulting from the sole negligence of the City. 5. General and Professional Liabiliq Insurance. The Consultant shall secure and maintain in full force and effect during performance of all work pursuant to his contract a policy of business general liability insurance providing coverage of at least $1,000,000 {WSS688876.DOC;1/00006.120080/} Page 2 of 6 per occurrence and $2,000,000 aggregate for personal injury; and $1,000,000 per occurrence and aggregate for property damage. Certificates of coverage shall be delivered to the City within fifteen (15) days of execution of this Agreement. Coverage limit provided herein is neither intended nor shall it cap Consultant's liability resulting from breach of contract, warranty, negligence or any other act of tort. 6. Discrimination Prohibited. Consultant shall not discriminate against any employee or applicant for employment because of race, color, religion, age, sex, national origin or physical handicap. 7. Consultant is an Independent Contractor. The Parties intend that an independent Contractor relationship will be created by this Agreement. No agent, employee or representative of the Consultant shall be deemed to be an agent, employee or representative of the City for any purpose. Consultant shall be solely responsible for all acts of its agents, employees, representatives and subcontractors during the performance of this contract. 8. Citx Apimval of Work and Relationships. Notwithstanding the Consultant's status as an independent Contractor, results of the work performed pursuant to this contract must meet the approval of the City. During pendency of this Agreement, the Consultant shall not perform work for any party with respect to any property located within the City or for any project subject to the administrative or quasi-judicial review of the City without written notification to the City and the City's prior written consent. 9. Termination. This being an Agreement for professional services, either party may terminate this Agreement for any reason upon giving the other party written notice of such termination no fewer than ten (10) days in advance of the effective date of said termination. 10. Changes/Additional Work. The City may engage Consultant to perform services in addition to those listed in this Agreement, and Consultant will be entitled to additional compensation for authorized additional services or materials. All such authorizations shall comply with paragraph 1 above. The City shall not be liable for additional compensation until and unless any and all additional work and compensation is approved in advance in writing and signed by both Parties to this Agreement. If conditions are encountered which are not anticipated in the Statement of Works, the City understands that a revision to the Statement of Work and fees may be required. Provided, however, that nothing in this paragraph shall be interpreted to obligate the Consultant to render or the City to pay for services rendered in excess of the payments discussed in Section 2.A, unless or until an amendment to this Agreement is approved in writing by both Parties. 11. Standard of Care. Consultant represents that Consultant has the necessary knowledge, skill and experience to perform services required by this Agreement. Consultant and any persons employed by Consultant shall use their best efforts to perform the work in a professional manner consistent with sound practices, in accordance {W SS688876.DoC;1100006.12008011 Page 3 of 6 with the usual and customary professional care required for services of the type described in the Statement of Work. 12. Non -waiver. Waiver by the City of any provision of this Agreement or any time limitation provided for in this Agreement shall not constitute a waiver of any other provision. 13. Non -assignable. The services to be provided by the Contractor shall not be assigned or subcontracted without the express written consent of the City. 14. Covenant Against Contingent Fees. The Consultant warrants that he has not employed or retained any company or person, other than a bona fide employee working solely for the Consultant, to solicit or secure this contract, and that he has not paid or agreed to pay any company or person, other than a bona fide employee working solely for the Consultant, any fee, commission, percentage, brokerage fee, gifts or any other consideration contingent upon or resulting from the award of making this contract. For breach or violation of this warranty, the City shall have the right to annul this contract without liability or, in its discretion to deduct from the contract price or consideration, or otherwise recover, the full amount of such fee, commission, percentage, brokerage fee, gift, or contingent fee. 15. Com fiance with Laws. The Consultant in the performance of this Agreement shall comply with all applicable Federal, State or local laws and ordinances, including regulations for licensing, certification and operation of facilities, programs and accreditation; and licensing of individuals, and any other standards or criteria as described in the Agreement to assure quality of services. The Consultant specifically agrees to obtain a business license during and for any period in which services are provided under this Agreement. 16. Notices. Notices shall be sent to the following address, with receipt of any notice being deemed effective three days after deposit of written notice. City Stephen Clifton Community Services Director City of Edmonds 121 Fifth Avenue North Edmonds, WA 98020 425-771-0251 Consultant LANDAU ASSOCIATES 130 2nd Avenue South Edmonds WA 98020 206-778-0907 17. Severabjlity. This Agreement shall be read and interpreted as a whole, except that the capitalized and underlined headings for each numbered paragraph are for descriptive purposes and shall not prevail over the provision which they head. In the event that any provision herein shall be struck down, particularly those contained in paragraph 7 (Consultant is an independent Contractor), this Agreement shall be at an immediate end. {WSS688876.DOC;1/00006.120080/} Page 4 of 6 LANDAU ASSOCIATES Exhibit A— Statement of Work Task 1— Phase I Environmental Site Assessment Landau Associates will conduct a Phase I Environmental Site Assessment (ESA) for the Old Milltown Courtyard, located in Edmonds, Washington (subject property), in general accordance with the ASTM Standard Practice for Environmental Site Assessments: Phase I Environmental Site Assessment Process, E 1527-05 (as currently applied in the State of Washington). This standard, while subject to changes (as are all ASTM standards), is recognized as generally meeting the due diligence provisions of the federal statute [Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) 42 USC 9601(35)(B)] and the Washington State Model Toxics Control Act (MTCA) (RCW 70.105D.040) at the time this scope of work was prepared. ASTM E 1527-05 was published in November 2005 to satisfy the elements of the U.S. Enviromnental Protection Agency's (EPA) All Appropriate Inquiry (AAl) rule. The AAI rule became effective in November 2006 and establishes requirements that purchasers must meet to limit their environmental liability under CERCLA and qualify for protections, including the "Bona Fide Prospective Purchaser" and "Contiguous Property Owner" defenses that were added by the amendments to CERCLA passed by Congress in 2002. The goal of the assessment process outlined in ASTM E 1527-05 is to identify recognized environmental conditions, which are defined as the presence or likely presence of any hazardous substances or petroleum products under conditions that indicate an existing release, a past release, or a material threat of a release of any hazardous substances or petroleum products into structures on the subject property or into the ground, groundwater, or surface water of the subject property. The term includes hazardous substances or petroleum products even under conditions in compliance with laws. The term is not intended to include de minimis conditions that generally do not present a threat to human health or the environment, and that generally would not be the subject of an enforcement action if brought to the attention of the appropriate governmental agencies. Elements not included in ASTM E 1527-05 (e.g., identification, sampling, and analysis of asbestos, radon, lead paint, and lead in drinking water and/or wetlands; regulatory compliance; cultural and historic resources; indoor air quality and vapor intrusion, including the potential presence of mold or other biological contaminants; industrial hygiene; health and safety; ecological resources; and endangered species) are not included in our statement of work. It is important to understand that Phase I ESAs are not a means of finding "everything there is to know about a property." Rather, they are attempts to determine the environmental liabilities of a property ENVIRONMENTAL I GEOTECHNICAL I NATURAL RESOURCESdraR 130 2nd Avenue South • Edmonds, WA 98o2D • f 425) 778-0907 • fax (425) 778.6409 • wwW.Iandauinc.com SEATTLE • SPOKANE • TACOMA • PORTLAND based on reasonably available documentation (both oral and written) within the budget and schedule limitations. This approach will be applied to this statement of work for the Phase I ESA for the subject property, which will include: • Reviewing available aerial photographs, historical fire insurance neaps, topographic maps, city or county maps and street directories, and local historical information to assess past uses of the subject and surrounding properties from the present back to the subject property's first developed use, or back to 1940, whichever is earlier. • Interviewing past owners, operators, and occupants likely to have material information about past and current uses of the subject property if they are identified by the current site owners and likely have information that is not duplicative of information from other sources. • Reviewing listings from a subcontracted database service (Environmental Data Resources, Inc.) of confirmed and suspected contaminated sites abstracted from EPA, tribal, and Washington State Department of Ecology (Ecology) environmental databases, as prescribed by ASTM. ASTM requires that these databases be searched for confirmed and suspected contaminated sites within various distances up to a 1-mile radius of the subject property. • Contacting the local health, fire, and building departments for information they may have on environmental conditions at and immediately adjacent to the subject property. • Conducting a site reconnaissance of the subject property to visually and physically observe current land use activities and environmental conditions. Conditions at the subject property will be documented with notes and photographs. We will assess current uses at adjoining properties from the subject property and public rights -of -way to the extent that they are visually and/or physically observable. ■ Reviewing Department of Ecology files as described in Task 2. • Preparing a draft written report presenting the results of the Phase I ESA for your review. The report will identify data gaps in our assessment, our efforts to fill them, and comments on whether the data gaps are significant and affect our overall findings. ■ Preparing a final report incorporating your comments, as appropriate. A total of three hard copies and one PDF version of the final report will be provided to you. Along with findings, our assessment will include, as appropriate, recommendations for any follow-on activities to address any incomplete or unresolved issues regarding the subject property. Our recommendations will be discussed with you before we submit the draft report and can be included in the draft, if requested. Task 2 — Ecology File Review As part of the Phase I ESA, -Landau Associates will conduct a file review at the Ecology Northwest Regional Office in Bellevue, Washington. The file review will consist of a review of agency files regarding the parcel at the southwest corner of 56� Avenue South and Dayton St., which was formerly 3/10/08 CADocumenls and SettingslbowerlDesklop101d Mill Town —Scope of SeNces.doc LANDAU ASSoclATES 2 the location of an ARCO service station. Information obtained during the review will be incorporated into the Phase I ESA report. ASSUMPTIONS Our assumptions in preparing this statement of work include the following: The City of Edmonds will provide copies of available environmental information about the subject property including any previous investigations or surveys that you may possess. (We are in receipt of the May 11, 2006 Phase II Subsurface Investigation Summary [Farallon Consulting 2006] previously provided.) • The City of Edmonds will arrange for access and any necessary rights -of -entry to the subject property. ■ The City of Edmunds will provide access to individuals/owners/tenants familiar with historical operations at the subject property. • The City of Edmonds will return to, Landau Associates a completed copy of the "User Provided Information Request Form" (Attachment 1) regarding the subject property. • The draft report will need only minor revisions, requiring not more than 2 hours to produce the final report. • Conditions at immediately adjoining properties may not be observable from accessible roads on the subject property or from public access areas and, as a result, may not be identified during the site reconnaissance. ESTIMATED SCHEDULE We are prepared to initiate the work described in this statement of work upon receipt of your authorization to proceed and we anticipate that the draft Phase I ESA will be available for your review within 4 weeks of receiving your authorization. COMPENSATION Our services will be billed on a time -and -materials basis, in accordance with the Compensation Schedule provided in Attachment 2. The total amount billed will not exceed the limits specified in the Consultant Agreement for these services. 3110/08 CADocuments and SettingslbowerlDesktop0d FAII Town —Scope of Services.doc t_ANDAu ASSOCIATES 3 Attachment 1: Phase I ESA Questionnaire i4At.ANiDAu Phase I Real Estate Transfer Assessment / Environmental SSOCLkTES Site Assessment User Provided Information Request Form Name: Company Name: . Relationship to user: Title: Phone: Relationship to subject property: 1. Are you aware of any environmental cleanup liens against the subject property that are filed or recorded under federal, tribal, state or local law? No — yes _ (if yes, please provide details in the space below). 2. Are you aware of any Activity and Use Limitations (AULs), such as engineering controls, land use restrictions or institutional controls that are in place at the subject property and/or have been filed or recorded in a registry under federal, tribal, state or local law? No--- Yes— (if yes, please provide details in the space below). 3. As the user of this Environmental Site Assessment (ESA) do you have any specialized knowledge or experience related to the subject property or nearby properties? For example, are you involved in the same line of business as the current or former occupants of the subject property or adjacent property so that you would have specialized knowledge of the chemicals and processes used at this type of business? No Yes (if yes, please provide details in the space below). 4. Does the purchase price being paid for the subject property reasonably reflect the fair market value of the subject property? No — Yes . If you conclude that there is a difference, have you considered whether the lower price is because contamination is known or believed to be present at the subject property. No Yes (please provide details in the space below). 2/28/07 gEdmdata%sharedocl000proposafT=SAs\ Ph 1 ESA Questionnaire.doc 1 LANDAU ASSOCIATES LANDAU1AAssoCLkTES Phase I Real Estate Transfer Assessment / Environmental Site Assessment User Provided Information Request Form 5. Are you aware of commonly known or reasonably ascertainable information about the subject property that would help Landau Associates to identify conditions indicative of releases or threatened releases? For example, as user, a) Do you know the past uses of the subject property? No Yes b) Do you know of specific chemicals that are present or once were present at the subject property? No Yes c) Do you know of spills or other chemical releases that have taken place at the subject property? No Yes d) Do you known of any environmental cleanups that have taken place at the subject property? No Yes If you answered yes to any of the above, please provide details in the space below. 6_ As the user of this ESA, based on your knowledge and experience related to the subject property, are there any obvious indicators that point to the presence or likely presence of contamination at the subject property? No Yes _ (if yes, please provide details in the space below). Signature / Date 2128/07%%Edmdata\sharedocMOProposellESAs\ Ph I ESA Questionnaim.doc LANDAU ASSOCIATES 2 Attachment 2: Landau Associates 2008 Compensation Schedule COMPENSATION SCHEDULE - 2008 Personnel Labor Principal Senior Associate Associate Senior GIS Specialist Senior Project Project GIS Analyst Senior Staff Senior CAD Staff / Senior Technician II Assistant / Senior Technician I Project Coordinator CAD / GIS Technician Technician Support Staff LANDAU ASSOCIATES Hourly Rate 190 172 155 140 130 127 117 110 104 93 92 82 80 75 71 60 Expert professional testimony in court, deposition, declaration, arbitration, or public testimony is charged at 1.5 times the hourly rate. Rates apply to all labor, including overtime. Technical disciplines include: Biologist, Chemist, Engineer, Environmental Planner, Geochemist, Geologist, Hydrogeologist, Hydrologist, Risk Analyst, Scientist. Equipment Field, laboratory and office equipment used in the direct performance of authorized work is charged at unit rates. A rate schedule will be provided on request. Subcontractor Services and Other Expenses Invoices Term Subcontractor billing and other project expenses incurred in the direct performance of authorized routine services will normally be charged at a rate of cost plus a twelve percent (12%) handling charge. A higher handling charge for technical subconsultants and for high -risk field operations may be negotiated on an individual project basis; similarly, a lower handling charge may be negotiated on projects requiring disproportionally high subconsultant involvement. Invoices for Landau Associates, services will be issued monthly. Interest of 1'/z percent per month (but not exceeding the maximum rate allowable by law) will be payable on any amounts not paid within 30 days. Unless otherwise agreed, Landau Associates reserves the right to make reasonable adjustments to our compensation rates over time (e.g., long-term continuing projects). MOM http9fintranet/documents/forms/projmgmt/Compensation 20D8.dot l_ANDAu ASSOCIATES 18. Integration. The Agreement between the Parties shall consist of this document and the Exhibits attached hereto. These writings constitute the entire Agreement of the parties and shall not be amended except by a writing executed by both parties as provided in paragraph 10 (Changes/Additional Work). In the event of any conflict between this written Agreement and any provisions of Exhibits attached hereto, this Agreement shall control. 19. Venue and Jurisdiction. Any action to interpret or enforce this Agreement shall be brought before the Superior Court of Snohomish County, Washington, and the Parties agree that, as between them, all matters shall be resolved in that venue. DATED THIS /1 DAY OF rnm 0- , 20 A? CITY O ED4aemn S May r Ga on ATTEST/AUTHENTICATED: By: �" LfCa rr Sandra S. Chase, City Clerk APPROVE AS Q FOIE By: W. Scott Snyder, City At ey CONSULTANT LANDAUASSTEAT J By Its: STATE OF WASHINGTON ) COUNTY OF K 10 ) I certify that I know or have satisfactory evidence that is the person who appeared before me, and said person acknowodg that he/she signed this instrument, and on oath stated that he/she was authorized to execute the instrument as { WS S6888 76.DOC;1100006.120080/} Page 5 of 6 the C-ZS 6 _ of Landau Associates, to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. DATED: �/42 NOT Y PLJBLT.G�' MARY ANNF ZOBRIST Prin ed ame: r� �v jU t ST STATE PF WASHINGTON My appoinimellt expires t —ram MOTARY _ . PUBLIC MY CokogsSM EXPIRES >la».os { WSS688876.DOC;1 /00006.120080/) Page 6 of 6 CITY OF E D M O N D S GARY HAAKENSON MAYOR 121 5TH AVENUE NORTH - EDMONDS, WA 98020 - (425) 775-2525 CITY CLERK 11,c.189❑ March 17, 2008 Tod Gold Salter Joyce Ziker 1601 5th Avenue Suite 2040 Seattle, WA 98101 Subject: Old Milltown Property — Landau's Consultant Agreement Dear Mr. Gold: Enclosed please find a fully signed copy of the Consultant Agreement between Landau Associates and the City of Edmonds on the Old Milltown property for your records. Please don't hesitate to call if you have any questions. Thank you for your assistance in this matter. Sincerely, Linda Hynd Deputy City Clerk Edmonds City Clerk's Office enclosure • Incorporated August 11, 1890 • Sister City - Hekinan, Japan R EC,EIVED © SALTER 0 JOYCE MAN 12 2008 © Z I K E R EDMONDS CITY CLERK Tod A. Gold Direct Dial: 206.957.5953 Email: tgold@sjzlaw.com March 11, 2008 Sandra S. Chase City Clerk City Hall 121 5th Ave. No. Edmonds, WA 98020 Re: Old Milltown Pro crt-v Landau's Consultant Agreement Dear Ms. Chase: Enclosed please find a Consultant Agreement between Landau Associates ("Landau") and City of Edmonds ("Agreement") for the Old Milltown Property. Pursuant to the Agreement, Landau will prepare a Phase I Environmental Site Assessment. Landau has signed the Agreement. Per Scott Snyder's instruction, please process the Agreement for the City's signature. Please contact me at 206.957.5953 if you have any questions about the Agreement. Very truly yours, SALTER JOYCE ZIKER, PLLC Tod A. Gold TAG/maz Enclosure cc: W. Scott Snyder (w/encl.) 2010 004 ec110501 SALTER JOYCE ZIKER, PLLC ■ 1601 Fifth Avenue, Suite 2040 Seattle, WA 98101 0 p 206.957.5960 f 206.957.5961 0 www.sjztaw.com MEMORANDUM Edmonds Parks, Recreation & Cultural Services 700 Main St., Edmonds WA 98020 425-771-0256(w) 425-239-2562(c) FAX 425-771-0253 mcintoshQci.edmonds.wa.us Date: September 25, 2007 To: Council: Executive Session From: Brian McIntosh Subject: Old Milltown Open Space Points to Consider: Appraisal: 117 ft x 22 ft = 2,574 sq. ft x $153/ sq. ft. = $395,000 Current Owner purchased July 2006: $3,218,495 / 30,928 sq. ft. = $105/sq. ft. If sold back to City at his cost = $270,000 Underground Storage Tanks Soil contamination Development & Maintenance Funding Source City of Edmonds Parks, Recreation & Cultural Services COMPLETE APPRAISAL OF APPROXIMATELY 2,574 SF OF LAND At the common address of 201 5th Ave. S. Edmonds, WA FURNISHED AT THE REQUEST OF City of Edmonds 700 Main Street Edmonds, WA 98020 Attn: Mr. Brian McIntosh, Director AS OF September 11, 2007 JOB NO. S007-166 PREPARED BY C. Edward Boyle, CCIM Appraiser and Consultant Edward Williamson, Appraiser Trainee and Researcher 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants September 11, 2007 Attn: Mr. Brian McIntosh City of Edmonds 700 Main Street Edmonds, WA 98020 RE: Appraisal of a piece of land to be divided from a larger parcel of land and the NE Corner of Maple and 5th Ave. S, Edmonds WA. Dear Mr. McIntosh As requested, we have made an investigation and analysis of the above captioned property, more particularly described in detail within the following Appraisal Report. The purpose of the report is to express a probable Market Value of the property in the present condition. Supporting analysis of the data is included to indicate the process of arriving at the conclusions herein. This is a Complete Appraisal, Summary Report, which is intended to comply with the reporting requirements set forth under Standards Rule 2-2(b) of the Uniform Standards of Professional Appraisal Practice. As such, it reports the data, reasoning, and analyses that were used in the appraisal process to develop the appraiser's opinion of value. Additional supporting documentation concerning the data, reasoning, and analyses is retained in the appraiser's file. The depth of discussion contained in this report is specific to the needs of the client and for the intended use stated below. The appraiser is not responsible for unauthorized use of this report. The subject of this report is presently used as a small park -like area in the front of a developed lot. The city desires to acquire it as permanent open space, more or less continuing its present use. For purposes of definition, the property that is to be acquired will be called the subject property in this report. The whole property as it currently exists will be called the larger parcel, and the parcel that will exist after the acquisition will be called the remainder. Typically, an appraisal for a potential acquisition such as this would need a "before and after" report to properly assess the value of the prospective acquisition property (subject property). In this instance, this technique is not required in our opinion. The reasons will be set forth in more detail in a later section. In our opinion, the subject property has an estimated Market Value as of September 11, 2007, the date of valuation, as: Three Hundred and Ninety -Five Thousand Dollars $395,000 Again, it is emphasized that we used best efforts to estimate the size of the subject property. If the actual size, after surveying, proves to be greater or smaller in size, the factor of $153/SF can be applied to the difference, and the price adjusted either up or down as appropriate. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES; INC. Professional Real Estate Appraisers and Consultants The appraisal includes only the land. It does not include any value for equipment, stock, inventory, furniture, tools, fixtures or any other items, movable or immovable, of a personal nature. Market value, as used in this report, is defined as: The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently, knowledgeably and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: (A) Buyer and seller are typically motivated, (B) Both parties are well informed or well advised, each acting in what they consider their own interest; (C)A reasonable time is allowed for exposure in the open market; (D) Payment is made in terms of cash in U. S. dollars or in terms of financial arrangements comparable thereto; and (E) The price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale. This appraisal has been prepared in conformance with the Uniform Standards of Professional Appraisal Practice as adopted by the Appraisal Standard Board of the Appraisal Foundation. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants CERTIFICATE OF APPRAISER We certify that, to the best of our knowledge and belief: 1.The statements of fact contained in this report are true and correct. 2.The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and are our personal, impartial, and unbiased professional analyses, opinions, and conclusions. 3.We have no present or prospective interest in the property that is the subject of this report, and we have no personal interest or bias with respect to the parties involved. 4. We have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment. 5.Our engagement in this assignment was not contingent upon developing or reporting predetermined results. 6.Our compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal. 7.Our analyses, or opinions, and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice. 8.C. Edward Boyle and Edward Williamson .have both made one or more personal inspections of the property that is the subject of this report. 9. No one provided significant real property appraisal assistance to the person(s) signing this certification, but base information was gathered with the assistance of others. 10. We certify that, to the best of our knowledge and belief, the reported analyses, opinions and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Code of Professional Ethics and the Standards of Professional Appraisal Practice of the Appraisal Institute. 11.The use of this report is subject to the requirements of the Appraisal Institute relating to review by their authorized representatives. Michael B. Lamb, MAI, SRA, is currently licensed as a Certified General Real Estate Appraiser by the State of Washington under License No. 27011-00893. He is in compliance with all State continuing education requirements. Michael B. Lamb, MAI, SRA, is under the voluntary continuing education requirement for the MAI designation. As of the date of this report, he has completed the requirements of the continuing education program of the Appraisal Institute. He is current 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants He is current through December 31, 2007. 12. Possession of this report, a copy, or any part thereof does not carry with it the right of publication. Disclosure of the contents of this report is governed by the By -Laws and Regulations of the Appraisal Institute. The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. 13. Neither all, nor any part of the contents of this report (especially any conclusions as to value, the identity of the appraiser or the firm with which he is connected, or any reference to the Appraisal Institute or to the MAI, or SRA designations, or to the RM, SRPA, CCIM or SREA designations) shall be used for any purposes by anyone but the client specified in the report, without the previous written consent of the Appraiser. Nor shall it be conveyed by anyone to the public through advertising, public relations, news, sales, or other media, without the express written consent and approval of the undersigned. 14.The client has been advised and has also acknowledged that Title XI of the Federal Financial Institutions Reform, Recovery and Enforcement Act of 1989 requires that all appraisals utilized for federally related transactions must be ordered directly by a regulated institution or its agent. C. Edward Boyle, CCIM Appraiser and Consultant Certified General Real Estate Appraiser 1101754 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants ASSUMPTIONS AND LIMITING CONDITIONS By this notice, all persons and firms reviewing, utilizing or relying on this report in any manner bind themselves to accept these assumptions and limiting conditions. Do not use this report if you do not so accept. These conditions are a part of the appraisal report. They are a preface to any certification, definition, fact, or analysis, and are intended to establish as a matter of record that the appraiser's function is to provide a present market value indication for the subject property based upon the appraiser's observations as to the subject property and real estate market. This appraisal is not an engineering, construction, legal or architectural study, nor is it a survey of the land. Expertise in these areas, among others, is not implied. 2. The appraisal is based on the premise that there is full compliance with all applicable federal, state and local environmental regulations and laws unless otherwise stated in the report. Further, we assume that applicable zoning, building, use regulations and restrictions of all types have been complied with unless otherwise stated in the report. It is assumed that all required licenses, consents, permits, or other legislative or administrative authority, local, state, federal and/or private entity or organization have been or can be obtained or renewed for any use considered in the value estimate. 3. The appraisers have inspected so far as possible, by observation, the land and the improvements; however, it was not possible to personally observe conditions beneath the soil or hidden structural, or other components. We have not critically inspected mechanical components within the improvements and no representations are made herein as to these matters unless specifically stated and considered in the report. The value estimate assumes that there are no such conditions that would cause a loss of value. 4. The appraisal is based on the assumption that there are no hidden, unapparent, or apparent conditions of the property site, subsoil, or structures that would render it more or less valuable. The appraiser and firm have no responsibility for any such conditions or for any expertise and engineering to discover them. 5. No specific soil bearing tests were furnished or made as a part of this report; however, soil stability and bearing capacity are assumed to be sufficient to permit development as improved, or to allow redevelopment consistent with the zoning. 6. All dimensions and legal descriptions are assumed to be correct as supplied and/or found through available records. Any maps, sketches, reproductions or photographs included in this report are for illustration and as an aid for visualizing the property only. All information as found in data furnished or in public records is deemed reliable. If any errors are found, the right is reserved to modify the conclusions reached. 8. This report is based on the premise that the title to the property is good and merchantable, and that there are no liens, clouds or encumbrances against the title. No responsibility is assumed for matters that are legal in nature. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants 9. Any liens or encumbrances that may now exist have been disregarded, and the property has been appraised as though free of indebtedness and as though no delinquency in payment of general taxes and special assessments exists. 10.It is assumed that the property that is the subject of this report will be under prudent and competent ownership and management, neither inefficient nor super -efficient. 11.The distribution of the total valuation in this report between land and improvements applies only under the existing program of utilization. The separate valuations for land and building must not be used in conjunction with any other appraisal and are invalid if so used. The values assigned to improvement shown in this report are in proportion to the contribution said improvements make to the value of the property as a whole. 12.The value premises cited in this report are considered foundational and basic to the value opinions reported herein. The right is hereby reserved by the appraiser to alter, revise and/or rescind any of these said value opinions should subsequent or additional data be found, or in the event the conditions are modified to any extent. 13. Possession of this report or any portion or copy thereof does not carry with it the right to publication. Neither may the same be used for any purpose by anyone but the c►ient without the prior written consent and approval of the appraiser, and in any event only in its entirety. 14. Employment to make this appraisal does not require testimony in court unless mutually satisfactory arrangements are made in advance. 15.The estimated market value, which is defined in the report, is subject to change with market changes over time; value is highly related to exposure, time, promotional effort, terms, motivation, and conditions surrounding the offering. The value estimate considers the productivity and relative attractiveness of the property physically and economically in the marketplace. 16.In cases of appraisals involving the capitalization of income benefits, the estimate of market value is a reflection of such benefits and the appraiser's interpretation of income yields and other factors derived from market information. Such estimates are as of the date of the estimate of value only; they are thus subject to change as the market and value is naturally dynamic. 17.Appraisal reports that contain a valuation relating to an estimate in land that is less than the whole fee simple estate are subject to the following: "the value reported for such estates relates to a fractional interest only in the real estate involved and the value of the fractional interest plus the value of all other fractional interests may or may not equal the value of the entire fee simple estate considered as a whole". 18.Appraised values that relate to geographical portions of a large parcel or tract of real estate are subject to the following: "the value reported for such geographical portion relates to such portion only and should not be construed as applying with equal validity to other portions of the larger parcel or tract. The value reported for such geographical portion plus the value of all other geographical portions may or may not equal the value of the entire parcel or tract considered as an entity". 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants 19.The appraiser assumes that a purchaser is aware that: (1) this appraisal on the subject property does not serve as a warranty on the condition of the property; (2) it is the responsibility of the purchaser to examine the property carefully and to take all necessary precautions before signing a purchase contract, and; (3) any estimate for repairs is a non -warranted opinion of the appraiser unless otherwise stated. 20.If this appraisal is prepared in conformance with the plans and specifications provided to your appraiser it assumes completion in a workmanlike manner. The appraiser cannot be held responsible for unforeseeable events that alter market conditions prior to completion or effective date of the opinion. 21. Where a Discounted Cash Flow Analysis has been used it has been prepared on the basis of information and assumptions stipulated in this report. The achievement of any financial projections will be affected by fluctuating economic conditions and is dependent upon the occurrence of other future events that cannot be assured. Therefore, the actual results achieved may vary from the projections made and such variation may be material. 22. Prior to entering into an agreement to perform any assignment, an appraiser must carefully consider the knowledge and experience that will be required to complete the assignment competently; or disclose any lack of specific knowledge or experience to the client, and take all steps necessary or appropriate to complete the assignment competently. Your appraisers have both the knowledge and experience required to complete this assignment competently. 23. Unless otherwise stated in this report, the existence of hazardous substances, including without limitation asbestos, polychlorinated biphenyls, petroleum leakage, or agricultural chemicals, any of which may or may not be present on the property, or other environmental conditions, were not called to the attention of nor did the appraiser become aware of such during the appraiser's inspection. The appraiser has no knowledge of the existence of such materials on or in the property unless otherwise stated. The appraiser, however, is not qualified to test such substances or conditions. The presence of such substances, such as asbestos, urea formaldehyde foam insulation, or other hazardous substances or environmental conditions, may affect the value of the property. The value estimated is predicated on the assumption that there is no such condition on or in the property or in such proximity thereto that it would cause a loss in value. No responsibility is assumed for any such conditions or for any expertise or engineering knowledge required to discover them. The client is urged to retain an expert in this field, if so desired. 24. Neither all nor any part of the contents of this report (especially any conclusions as to value, the identity of the appraisers, or the firm with which they are connected, or any reference to the Appraisal Institute or the MAI designation) shall be disseminated to the public through advertising media, public relations media, news media or any other public means of communications without prior written consent and approval of the appraiser. 25.The Americans with Disabilities Act ("ADA") became effective January 26, 1992. We have not made a specific compliance survey and analysis of this property to determine whether or not it is in conformity with the various detailed requirements of 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants the ADA. It is probable that a compliance survey of the property, together with a detailed analysis of the requirements of the ADA, would reveal that the property is not in compliance with one or more of the requirements of the Act. If so, this fact could have a negative effect upon the value of the property, as improved. Since we did not seek evidence relating to this issue, we did not consider possible non- compliance with the requirements of ADA in estimating the value of the property. 26.The liability of Michael B. Lamb, MAI, SRA, Lamb Hanson Lamb Appraisal Associates, Inc., its Associate Appraisers and employees is limited to the client only and only up to the amount of the fee actually received for the assignment. Further, there is no accountability, obligation, or liability to any third party. If this report is placed in the hands of anyone other than the client the client shall make such party aware of all limiting conditions and assumptions of the assignment and related discussions. The appraisers are in no way responsible for any costs incurred to discover or correct any deficiency in the property. In the case of limited partnerships or syndication offerings or stock offerings in real estate, the client agrees that in case of lawsuit (brought by lender, partner, or part owner in any form of ownership, tenant, or any other party), any and all awards, settlements, or cost, regardless of outcome, the client will hold Michael B. Lamb, MAI, SRA, Lamb Hanson Lamb Appraisal Associates, Inc. and its Associate Appraisers completely harmless. Acceptance of and/or use of this appraisal report by the client or any third party is prima facie evidence that the user understands and agrees to these conditions. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants SCOPE OF APPRAISAL: The subject property in this report is a rectangular strip of land that is to be segregated by the owner and the city from the present larger parcel, with approximate dimensions of 117 feet in length, with a slightly variable width average 22 feet according to information from the owner. If these dimensions prove to be inaccurate, the appraisers reserve the right to restate the value based upon the new accurate dimensions. This strip of land is currently used as a Park -Like open space on the front of the larger parcel. The larger parcel a retail -use building that is sited east of the proposed subject property. The subject land is a part of the larger parcel and will be required to be segregated by a legal subdivision of the larger parcel. At present, the larger parcel is used for retail storefronts. The storefronts are not sited on the subject property, but are located to its immediate east side. The owner is about to undertake a major remodeling project of the existing improvements. The owner's intent is to enlarge the footprint of the improvements onto the subject property. It is our understanding that the permits for such a remodeling and expansion are either in hand, or imminent. The owner has expressed a willingness to forgo expanding on the subject if the city and the owner can reach agreement as to a sales price for the subject property. The city has expressed and interest in acquiring the subject property. The best approach to estimating a value for the subject property is to establish an estimated value for the larger parcel, as if vacant. This value would then be pro -rated to the subject. This is considered as being the best method for estimating value for the subject property. The Direct Sales Comparison approach to land value will be utilized in the present analysis. This is the most common and preferred method of appraising vacant land where adequate sales data are available. This approach will be utilized in that this is a currently vacant piece of land that is directly producing no income in a direct manner, thereby making the income approach to value not applicable. There are no existing improvements beyond the personal property and water feature, so the Cost Approach to Value is not applicable as it cannot produce a reliable result. We will search the market for sales of similarly zoned properties that are located proximate to the subject property, and suitable for a use similar to the intended use of the larger parcel as presently contemplated. If adequate applicable sales of such are not found, we will search for improved property sales in the immediate vicinity of the subject property and extract an indication of lot value from these. In all probability, few or no sales will be found that are completely comparable to the subject property in its current condition, so adjustments will need to be made. In such cases, the comparable sale is adjusted to the subject. Given the small size of the subject, and depending upon the sales data found, it may be necessary to make other adjustments as well. From data thus gathered, we will establish a value estimate for the subject property 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants INTENDED USE OF APPRAISAL: The client seeks to have a market value opinion to make a determination as to whether to acquire the subject property, and to establish a prospective price. No other use is intended. CLIENT AND INTENDED USER OF APPRAISAL: The City of Edmonds Parks Department, as prospective buyer, is the client to whom this report is addressed and the Intended User. NOTE ON CASH EQUIVALENCY: This appraisal estimates the cash equivalent value of the subject property. This requires that all comparables utilized must be cash transactions or adjusted to "cash" if atypical seller financing was involved. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants TABLE OF CONTENTS Title Page Frontispiece Letter of Transmittal and Certification Frontispiece Underlying Assumptions and Limiting Conditions Frontispiece Scope of Appraisal Frontispiece Summary of Salient Facts and Conclusions 1 PROPERTY IDENTIFICATION 2 Ostensible Owner 2 Delineation of Title & Sales History 2 Tax Account Number and Assessed Valuation 2 Personal Property 2 Access 2 Legal Description 2 Definition of Property Rights Appraised 3 Current Plat Map 3 Aerial Photograph 4 Plat Map Showing Subject 5 Subject Photographs 6 Description of Subject Property 9 BACKGROUND DATA 14 Seattle Metro Area 15 Puget Sound Area Map 21 Edmonds area location map 22 Edmonds Overview 23 GENERAL DISCUSSION OF PROPERTY Highest and Best Use 24 Market Exposure time 26 VALUATION OF PROPERTY 28 Valuation Methods 28 Sales Comparison Approach to Value, Land 30 Final Opinion of Value 38 QUALIFICATIONS OF APPRAISERS C. Edward Boyle, CCIM 40 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants SUMMARY OF SALIENT FACTS AND CONCLUSIONS Property Appraised: A 2,574 SF (approximately) piece of land that is a part of a larger parcel located at the NE Corder of Maple St. and 5tn Ave. S in Edmonds WA Client and Intended User: The City of Edmonds Parks Dept. Intended Use: To determine an indication of market value to assist in the potential acquisition of the subject property. Date of Value: September 11, 2007 Date of Report: September 11, 2007 Zoning: At the date of valuation, the City of Edmonds zoning map indicates a zoning of BD1 (Downtown Retail Core). The comprehensive map indicates that this, or a similar zoning, will continue into the future. Land Area: Improvements: Highest and Best Use: VALUATION: Approximately 2,574 SF of land in a rectangular piece running approximately 117 feet along the easterly side of 5tn Ave. S and 22 along the northerly side of Maple St. There are no improvements on site except for some paving or concrete, a water feature, landscaping, and other items of personalty. To improve it with a mixed use retail/office/condominium building per allowable uses under the zoning as a part of a larger parcel (as currently exists). In our opinion, the subject property would exhibit an as is value as of the date of valuation of: Three Hundred and Ninety -Five Thousand Dollars $395,000 Again, it is emphasized that we used best efforts to estimate the size of the subject property. If the actual size, after surveying, proves to be greater or smaller in size, the factor of $153/SF can be applied to the difference, and the price adjusted either up or down as appropriate. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 1 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants PROPERTY IDENTIFICATION OSTENSIBLE OWNER: According to Public Records the present owner of the subject site is: Gregg Production Associates, Inc Robert Gregg 51 W. Dayton St. Edmonds, WA 98020 DELINEATION OF TITLE and SALES HISTORY: The ostensible owner appears to have acquired title on or about 7/5/2006 from Yue's Old Milltown Inc. for the consideration of $3,218,495, under a Warranty Deed. The subject was acquired as a portion of the larger parcel. Please note that the above stated price included the parcel to the north of this parcel as a part of the acquired property, which was acquired simultaneously. We have no information as to there being a segregation of values for the two parcels. The two acquired parcels totaled to 30,928 SF according to our best information. PROPERTY ADDRESS: The subject property has no specific common street address, but the larger parcel has the address of 201 5th Ave. S., Edmonds WA. Please see the plat map following this section to identify its specific location. TAX ACCOUNT NUMBER: ASSESSED VALUATION AND TAXES: As the subject property is not currently segregated, is has no parcel number and therefore not taxes or assessed value specific to the subject is included in the Assessor's Records. The larger parcel has an assessed value for the land of $877,300 for its 11,326 SF, or &77.46/SF. This assessed value is 37.5% greater than for the year previous. PERSONAL PROPERTY: There is no value for personal property included in this appraisal. ACCESS: The subject parcel fronts on 5th Ave. S, a main commercial street in Edmonds. It also has about 22 feet of frontage on Maple St. LEGAL DESCRIPTION: No legal description is currently available for the subject property. It is currently a part of a larger parcel from which it has not yet be subdivided. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 2 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants DEFINITION OF PROPERTY RIGHTS APPRAISED: The property rights being appraised are those of the fee simple estate, free and clear of all encumbrances and liens. Real Estate Appraisal Terminology defines a fee simple as "An absolute fee; a fee without limitations to any particular class or heirs or restrictions, but subject to, the limitations of eminent domain, escheat, police power, and taxation." Should liens on the property exist, it would be the expectation that they would be satisfied or negotiated as a part of any sale or financing. EFFECTIVE DATE OF APPRAISAL: This appraisal report, its analysis, opinions, and the final expression of Market Value are specifically applicable to the date of values as of September 11, 2007, the date of the appraiser's last inspection of the site. DATE OF THE REPORT: The date of this report is September 11, 2007. Current Plat Configuration I r. I 0i 42.1200- Ara7zc:ao-. I 277323tFLs{{r7? K1 '*01d212fG Q_ -14 41'12760709 .. g1:F0�2a0U2L1;1� r �t�SJ��rl�auos�rn f q _ 27fi373L�0 E 7 (7 I r�V34 r2107 00- bOW90UA4ttzlJtl - bDs[?pIHi0Qt2500 rk7F52��r S3:,2rD[i t 7P.13�P7ZrOTi�A • 00(01714 Ct F J0R5?�30U 3_�?340 i }} DnB�t�R�0i�P7�7Hi � i >9�.32:3�3i}�?8?fail ~. _.._--�707.B5ii,7Lirry2l37 �..0a7�8gOCi71(r7?7 - i l r + � `tr 165Ctr3U 1 LsdS3� �ATz8,4fJn?3U3J� � 04J42722�;�?B5{.�{12i�71iA : UQ72E9Ao2.".01LL7: ... i :•f�.QiiJ: i ''i7?,4.� 19rl.iM t!li77RDl}fi•T Tli-rififl Yellow arrow indicates larger parcel. Subject is west side of larger parcel. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 3 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants 2002 Aerial Photo of Subject Property 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 4 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants 6" CONCR n ry{16 RETAINING RIM 59.p0 YO 5347 IE 58.40 N&S 3" RIM 73.54 4-4" CO 4 IE 72.99 W 3' N89' GV f N Ld % siYo i '� P-14 dao N00 16.00' G N89'57'36"E 7.5 - _ _ I z J � r 16A0' (0) �' iSAZEf3fl I 1 _.� ASPHALT PARKING ON TOP OF SINGLE 1 STORY BUILDING 1 r�i ° o n-s n CONCR _ m 1 RETAINING P O U y n Ld ' L, •� � :FOUNTAIN / S 4 / 3 0e 12 • YD 54:54 1 RIM 71.56 1 ` 1E 70.51 E 3" 13 i \ 1 a ; n 16.00' (D) N89 7'36"E 103.9 '•- - W ., 13 Go S f a r t Drawing of subject site, shaded orange. Remainder parcel extends to the east of the subject property, and the two combine to be the larger parcel. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 5 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants SUBJECT PHOTOS t u1mos Sul, Subject property from SW corner of site alkv ?�o �S' *& FT A SR NO c,..��h• N:1 �•`� tit �_;,''. .. , •. Subject property from near NW corner, showing gazebo 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 6 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants • _ 7 • 1k =MEW._ Suhiect orooerty from across 5" Ave. looking NNE 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 7 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants DESCRIPTION OF THE SUBJECT PROPERTY: The subject property is rectangular in shape, with the west end of the lot fronting on 80tn Ave. West. Please see plat maps and photographs, including the aerial photo. The dimensions are approximately 117 feet north to south and 22 feet east to west. These dimensions were provided by the owner, and can be adjusted by mutual agreement between the owner and the city. Based upon these dimensions, we estimate the size to be 2,574 SF. As there is uncertainty as to the exact size of the subject, the appraisers reserve the right to amend the site size and resultant finished value, if required. The subject is a part of a larger parcel identified as Assessors Parcel Number 004342- 121-037-00. It currently contains 11,326 SF according to the assessor's records. All typical Utilities are available to the site. The larger parcel slopes upward from west to east, but the existing building is at 5tn Ave. street grade due to past excavation. The subject property is at street grade with 5tn Onsite drainage on the subject property appears adequate, and at least one catch basin for stormwater is located thereon. Zoning: (see zoning map, next page) Zoning is BD1 — Downtown Retail Core. The following information is taken from the Edmonds Municipal Code. 16.43.010 Subdistricts. The "downtown business" zone is subdivided into five distinct subdistricts, each intended to implement specific aspects of the comprehensive plan that pertain to the Downtown Waterfront Activity Center. Each sub district contains its own unique mix of uses and zoning regulations, as described in this chapter. The five subdistricts are: BD1 — Downtown Retail Core; BD2 — Downtown Mixed Commercial; BD3 — Downtown Convenience Commercial; BD4 — Downtown Mixed Residential; BD5 — Downtown Arts Corridor. [Ord. 3624 § 1, 2007], 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 9 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants 16.43.020 Uses. Permitted Uses BD1 BD2 BD3 BD4 BD5 Commercial Uses Retail stores or sales A A A A A Offices A A A A A Service uses A A A A A Retail sales requiring intensive outdoor display or storage areas, such as trailer sales, used car lots (except as part of a new car sales and service dealer), and heavy equipment storage, sales or services X X X X X Enclosed fabrication or assembly areas associated with and on the same property as an art studio, art gallery, restaurant or food service establishment that also provides an on -site retail outlet open to the public A A A A A Automobile sales and service X A A X X Dry cleaning and laundry plants which use only nonflammable and nonexplosive cleaning agents C A A A X Printing, publishing and binding establishments C A A A C Community -oriented open air markets conducted as an outdoor operation and licensed pursuant to provisions in the Edmonds City Code A A A A A Residential Uses Single-family dwelling A A A A A Multiple dwelling unit(s) A A A A A Other Uses Bus stop shelters A A A A A Churches, subject to the requirements of ECDC 17.100.020 A A A A A Primary and high schools subject to the requirements of ECDC 17.100.050(G) through (R) A A A A A Local public facilities subject to the requirements of ECDC 17.100.050 C C C A C Neighborhood parks, natural open spaces, and community parks with an adopted master plan subject to the requirements of ECDC 17.100.070 A A A A A Off-street parking and loading areas to serve a permitted use B B B B B Commuter parking lots in conjunction with a facility otherwise permitted in this zone g g g g X Commercial parking lots C C C C X 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 10 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Wholesale uses X X C X X Hotels and motels A A A A A Amusement establishments C C C C C Auction businesses, excluding vehicle or livestock auctions C C C C C Drive-in businesses C C A C X Laboratories X C C C X Fabrication of light industrial products not otherwise listed as a permitted use X X C X X Day-care centers C C C A C Hospitals, health clinics, convalescent homes, rest homes, sanitariums X C C A X Museums and art galleries of primarily local concern that do not meet the criteria for regional public facilities as defined in ECDC 21.85.033 A A A A A Zoos and aquariums of primarily local concern that do not meet the criteria for regional public facilities as defined in ECDC 21.85.033 C C C C A Counseling centers and residential treatment facilities for current alcoholics and drug abusers X C C A X Regional parks and community parks without a master plan subject to the requirements of ECDC 17.100.070 C C C C C Outdoor storage, incidental to a permitted use D D D D D Aircraft landings as regulated by Chapter 4.80 ECC D D D D D A = Permitted primary use B = Permitted secondary use C = Primary uses requiring a conditional use permit D = Secondary uses requiring a conditional use permit X = Not permitted For conditional uses listed in Table 16.43-1, the use may be permitted if the proposal meets the criteria for conditional uses found in Chapter 20.05 ECDC, and all of the following criteria are met: 1. Access and Parking. Pedestrian access shall be provided from the sidewalk. Vehicular access shall only be provided consistent with ECDC 18.80.060. When a curb cut is necessary, it shall be landscaped to be compatible with the pedestrian streetscape and shall be located and designed to be as unobtrusive as possible. 2. Design and Landscaping. The project shall be designed so that it is oriented to the street and contributes to the pedestrian streetscape environment. Fences more than four feet in height along street lot lines shall only be permitted if they are at least 50 percent open, such as a lattice 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 11 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants lattice pattern. Blank walls shall be discouraged, and when unavoidable due to the nature of the use, shall be decorated by a combination of at least two of the following: 16.43.030 Site development standards. A. Table 16.43-2. Minimum Minimum Minimum Minimum Minimum Sub Lot Lot Width Street Side Rear District Area Setback Setback1 Setback1 Minimum Height of Maximum Ground Height2 Floor4 BD15 0 0 0 0 0 25' 15' BD25 0 0 0 0 0 25' 12' BD35 0 0 0 0 0 25' 12' BD43,5 0 0 0 0 0 25' 12' BD55 0 0 0 0 0 25' 12' 1 The setback for buildings and structures located at or above grade (exempting buildings and structures entirely below the surface of the ground) shall be 15 feet from the lot line adjacent to residentially (R) zoned property. 2 Specific provisions regarding building heights are contained in EDCD 16.43.030(C). 3 Within the BD4 zone, site development standards listed in Table 16.43-2 apply when a building contains a ground floor consisting of commercial space to a depth of at least 60 feet measured from the street front of the building. If a proposed building does not meet this ground floor commercial space requirement (e.g., an entirely residential building is proposed), then the building setbacks listed for the RM-1.5 zone shall apply. See ECDC 16.43.030(B)(4) for further details. 4 "Minimum height of ground floor" means the vertical distance from top to top of the successive finished floor surfaces; and, if the ground floor is the only floor above street grade, from the top of the floor finish to the top of the ceiling joists or, where there is not a ceiling, to the top of the roof rafters. "Floor finish" is the exposed floor surface, including coverings applied over a finished floor, and includes, but is not limited to, wood, vinyl flooring, wall-to-wall carpet, and concrete, as illustrated in Figure 16.43-1. Figure 16.43-1 shows a ground floor height of 15 feet; note that the "finished" ceiling height is only approximately 11 feet in this example. Existing buildings may be added onto or remodeled without adjusting the existing height of the ground floor to meet the specified minimum height so long as the addition or remodel does not increase the building footprint or its frontage along a street by more than 25 percent. 5 Site development standards for single-family dwellings are the same as those specified for the RS-6 zone. As can be seen, it appears that the footprint can cover the site, except for a minimal requirement 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 12 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants requirement for open space. Bulk regulations would also appear to require that the building have a 25-foot height limit. The current owner plans to remodel and build a structure that generally maximizes the site, and tells us that permits are either in hand or imminently available. Zoning Map, Central Edmonds: Yellow arrow identifies larger parcel The subject property, on a stand alone basis, has dimensions such that development may not be permitted. However, as it is a part of a larger parcel, full devilment of the subject property is allowed. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 13 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants BACKGROUND DATA 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 14 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Seattle Metro Area Market Overview (5-07 update) The Seattle metro area, encompassing King, Island and Snohomish Counties, is located in the Western half of Washington State. The metro area occupies a major lowland area between two mountain ranges, the Olympics to the west, and the Cascades to the east. It also borders an inland body of water called the Puget Sound that is connected to the Pacific Ocean. Topography Urban areas, small agricultural valleys, and forests dominate land use surrounding the Puget Sound. Inward from the shoreline, the land is mostly undulating between areas of flat valleys and plateaus. The Cascade Mountains act as a natural divider from the eastern portion of the state. Climate The Puget Sound basin is protected from heavy rainfall and high winds off the Pacific Ocean by the Olympic Mountains. On the east, the Cascade Mountains shield the area from the winter cold of eastern Washington. The area has a mild climate throughout the year. Access The Seattle metro area is accessible by all four of the region's major interstates including 1-5, 1- 90, SR 520, and 1-405. Seattleites commute daily into downtown via the metro transit system, car, vanpool, carpool, ferry, and taxi. The regional airport, Seattle Tacoma International Airport, is only 25 minutes south of downtown Seattle. Diversitv of the Puclet Sound Reaion's Boeing Seattle 55,400 Aerospace Costco Wholesale Issaquah 6,526 Retail Group Health Coop Seattle 8,422 Healthcare Microsoft Redmond 28,007 Software Developer Providence Health System Seattle 8,499 Healthcare Starbucks Seattle 8,806 Retail University of Washington Seattle 21,358 Education Washington Mutual Seattle 7,968 Financial Svcs Weyerhaeuser Co. Federal Way 7,700 Forestry Seattle 2005 The diversity of the Puget Sound's economic structure has created a stable trade and industry base allowing businesses to thrive, relying less on the region's largest employer, the Boeing Company. Seattle is one of the nation's foremost biotechnology centers; consequently impacting the region's the greater economy. Biotech plays a leading role in the economy of the Puget Sound, particularly in North King and South Snohomish counties where the state's most dynamic clusters of biotechnology exist. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 15 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants According to the 2001 Washington Biotechnology & Medical Technology Annual Report, Washington State is home to nearly 190 biotech and medical device companies, which employ more than 18,500, an 18.8 percent increase from 2000. It is estimated that these sectors combined, indirectly employ more than 55,000 people. "One of the industry leaders in biotech, Amgen, recently completed an 860,000 square foot research campus in Downtown Seattle. Other biotech companies such as Seattle Biomedical Research Institute, Rosetta Inpharmatics/Merck, Corixa and Icos are expanding to join the University of Washington, Fred Hutchinson Cancer Research Center and Institute for Systems Biology to make Seattle a formidable center for research," according to CB Richard Ellis. With an expanding role as a center for medical and biotechnology research, the strategic advantage of its port in relation to growing trade with Asia and the countries of the Pacific Rim, and the successful development in the computer software business, Puget Sound continues to flourish economically. Regional Gross Metropolitan Product Seattle ranks as the 15th - largest metro area in the U.S. with a "gross metropolitan product" of $120.9 billion, an increase of 1.6 percent from the previous year, the U.S. Conference of Mayors report states. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 16 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Population Growth Population Populatil Washington 4,154,678 4,909,043 5,911,182 6,203,788 20.41% 4.95' King County Cities 1,269,898 1,507,319 1,737,034 1,835,300 1,861,042 15.24% 5.66' Algona 1,276 1,467 1,694 2,590 2,695 52.89% 4.05' Auburn 21,653 26,417 33,650 43,890 43,820 30.43% -0.16, Beaux Arts 475 328 303 302 300 -0.33% -0.66' Bellevue 61,196 73,903 86,872 116,400 117,000 33.99% 0.52' Black Diamond 1,160 1,170 1,422 3,995 4,085 180.94% 2.25' Bothell 4,979 7,973 11,986 16,250 16,600 35.57% 2.15' Burien 31,480 31,080 N/A -1,27' Carnation 530 951 1,243 1,905 1,900 53.26% -0.26, Clyde Hill 3,150 3,229 2,957 2,830 2,795 -4.29% -1.24' Covington 14,850 17,240 N/A 16.09, Des Moines 3,951 7,378 17,283 29,120 29,020 68.49% -0.34' Duvall 607 729 2,770 5,460 5,735 97.11% 5.04' Enumclaw 4,703 5,427 7,227 11,140 11,220 54.14% 0,72' Federal Way N/A N/A 67,449 83,500 86,530 23.80% 3.63' Hunts Point 578 483 514 445 480 -13.42% 7.87' Issaquah 4,341 5,536 7,786 15,110 19,570 94.07% 29.52' Kenmore 19,200 19,680 N/A 2.50' Kent 16,596 22,961 37,960 84,210 85,650 121.84% 1.71' Kirkland 15,070 18,785 40,059 45,630 47,180 13.91% 3.40' Lake Forest Park 2,539 2,485 3,372 12,750 12,770 278.11% 0.16' Maple Valley 15,730 19,140 N/A 21.68' Medina 3,455 3,220 2,981 2,970 2,945 -0.37% -0.84' Mercer Island 19,819 21,522 20,816 21,840 21,860 4.92% 0.09 Milton N/A N/A 697 800 825 14.78% 3.13 Newcastle 8,320 9,175 N/A 10.28 Normandy Park 4,202 4,268 6,709 6,345 6,415 -5.43% 1.10 North Bend 1,625 1,701 2,578 4,680 4,690 81.54% 0.21 Pacific 1,831 2,261 4,622 5,525 5,815 19,54% 5.25 Redmond 11,020 23,318 35,800 46,480 49,890 29.83% 7.34 Renton 25,878 31,031 41,688 54,900 58,360 31.69% 6.30 Sammamish 35,930 39,370 N/A 9.57 Seatac N/A N/A 22,701 25,100 25,230 10.57% 0.52 Seattle 530f831 493,846 516,259 571,900 578,700 10.78% 1.19 Shoreline 52,730 52,830 N/A 0.19 Skykomish 283 209 273 210 210 -23.08% 0.00 Snoqualmie 1,260 1,370 1,546 4,785 7,815 209.51% 63.32 Tukwila 3,509 3,578 11,874 17,230 17,930 45.11% 4.06 Woodinville 9,905 10,350 N/A 4.49 Yarrow Point 1.101 1,077 957 1,000 970 4.49% -3.00 The Seattle Metro area is home to more than 40 percent of the state's population. The fastest growing area is the Snoqualmie area, followed by Issaquah and Maple Valley. These are outlying areas located east of the main urban hub of Bellevue, Kirkland and Renton. As housing prices continue to go up, these areas are seeing the greatest amount of development for new housing. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 17 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Employment & Personal Income Growth Unemployment Rate Washington -King Count According to the Washington State Securities Department, the Seattle - Bellevue -Everett Metro area unemployment rate for April 2007 is 1995 6.40 1996 6.50 3.6 percent. This is down from March's figure of 4.4 percent. It is 1997 4.80 also down from April 2006's figure 1998 4.80 of 4.0. 1999 4.70 2000 5.00 2001 6.20 5.10 2002 7.34 6.50 2003 7.41 6.80 2004 6.26 5.70 2005 5.54 4.50 2006 4.94 4.20 2007 5.21 3.50 2008 5.30 2009 5.35 Source: Washington State Security Department - fHWy 2007 According to the Washington Economic & Revenue Forecast for March 2007, personal income was $32,458 for the year 2006, and is expected to increase 2.7 percent in 2007. It is expected that personal income will continue to increase through 2009. WashingtonState of Per Capita Personal 2000 Income 31,779 2001 32,291 2002 31,455 2003 31,370 2004 32,258 2005 31,781 2006 32,458 2007 33,366 2008 34,308 2009 35,284 Source: Washington Economic & Revenue forecast, Mar 2007 Educated Work Force The Seattle metro area has a well-educated work force. According to 2002 U.S. Census data, Seattle ranks highest among major U.S. cities with 49 percent with a bachelor's degree or higher, and ranks second in percentage of high school graduates with 91 percent. An extensive network of colleges and universities contribute to the high level of education region -wide including the prestigious University of Washington, eight private colleges and universities, eight community colleges, and two technical colleges, according to a CB Richard Ellis report. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 18 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Reallonal Housina Market 2000 8.05 2001 7.45 2002 6.54 2003 5.82 2004 5.84 2005 5.86 2006 6.42 2007 6.33 2008 6.58 2009 6.85 Source: Washington Economic & Revenue Forecast - Mar 2007 The chart shows that interest rates have gone down to record lows since the downturn in 2001. Currently, it is expected that interest rates will continue to rise which will have an effect on the real estate market, particularly the housing market. As seen here, the Office of Financial Forecasting is expecting interest rates to decrease slightly in 2007 and then increase again in 2008 and 2009. The rise in interest rates and the effect on the housing market can be seen in the housing starts. During the peak years for single-family residential development, interest rates were low. Multi- family development went down significantly has more renters turned into homeowners. Now, as the interest rates rise, single-family housing starts are starting to decrease as more and more people are priced out of the market. Multi -family housing starts are beginning to increase again, as the rental market is expected to increase. Year 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Single Family 26.372 26.761 30.239 33.091 36.489 41.407 35.02 30.425 29.851 28.794 Multi -Family 12.693 13.623 9.961 9.734 13,600 11.581 15.152 16.456 19.225 19.244 Source: Washington Revenue and Economic Forecast, Mar 2007 In King County, the median home price jumped from $419,500 in April 2006 to $465,000 in April 2007, an increase of 11 percent. In Snohomish County, prices rose from $329,900 to $375,000, an increase of 14 percent. In Pierce County, the increase in median home price went up from 268,075 to $279,950, an increase of 4 percent. The Puget Sound region has seen home prices continue to rise. According a recent Seattle Times article, Dick Conway, a respected regional 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 19 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants economist states, "In terms of job growth, Seattle is now growing 50 percent faster than the U.S. economy." It also posts the nation's fifth -highest per -capita income, which is what allows buyers to afford home prices that have climbed substantially in the past year." Median Home Prices by County (Residential only) County Apr 06 Apr 07 % Change King $419,500 $465,000 11.0% Snohomish $329,900 $375,000 14.0% Pierce $268,075 $279,950 04.0% Source: Northwest Multiple Listing Service The Port of Seattle Access to navigable waterways allows people and goods to move easily across the Puget Sound and around the world. "Seattle is equidistant by air to Asia and Europe and closer to Asia by water than other West Coast states," according to the Seattle: A World -Class Talent Pool report by The Seattle Times. With nearly $34 billion in exports in 2002, Washington State ranked as the fourth largest exporting state in the nation, just after Texas, California and New York. The Seattle metro area has been found to be one of the most export -dependent metro areas in the nation, according to the Washington Council on International Trade. Seattle and Tacoma are among the most diversified ports in the Western region, making trade crucial to Washington's economy. One out of three jobs is directly or indirectly related to international trade. Seattle -Tacoma International Airport ranks 15th for airport passengers among the top U.S. Commercial Service Airports and ranks 27th among the top ACI Airports Worldwide, according to the Airports Council International 2002 data. Regional Transportation The voter approved 20-year plan for the Seattle metro area will create more public transportation choices for state residents and will prepare the state for population growth and alleviate traffic congestion problems. Intended to encourage public transportation, the Regional Transit Authority plans to build a comprehensive light rail system throughout the Puget Sound region. The light rail system will go directly through downtown Seattle and will use the existing bus tunnel. It will also provide a direct route to the airport. Conclusion In the market analysis, several economic indicators were reviewed, including forecasts through 2009. The population of the Puget Sound area is increasing and with that demand for housing has also increased. Single family home prices continue to rise, although the market is getting less volatile as affordability becomes an issue. Interest rates are expected to stay relatively low for the next two to three years. The unemployment rate for Puget Sound also will remain below 4.5 percent over the next year or two as well. The retail and Industrial segments of the market are also running at a quite high level of activity. In the case of retail, vacancies are very low and good retail space is in demand. Industrial space and office space are both seeing high levels of absorption. The economic factors show that the Puget Sound area is expected to continue to grow and prosper. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 20 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants SEATTLE/PUGET SOUND AREA MAP Showing subject property location 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 21 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Edmonds Area Map showing Subject Location 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 22 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Edmonds Market Overview The City of Edmonds is one of Washington State's most picturesque waterfront communities. It offers a variety of lifestyle activities including: beaches, parks, a senior center, two performance arts theatres, art center, historical society and museum, fishing pier, dining and comprehensive health services. It is the second largest city in Snohomish County (and reportedly, its oldest), and is located about 18 miles North of Seattle. The population of the area is estimated at 39,860, a 0.8 percent increase from the year 2000, according to the 2005 data from the Washington State Office of Financial Management, the latest data found. The median age of the Edmonds population is 42 years and the median household income in dollars is $53,522, according to the 2000 U.S. Census report. Despite. slow growth in population, the Edmonds housing market has experienced about 5 years of strong growth. This is a combination of new SFRs, new condominium projects, and remodeling activity. The median SFR price in Edmonds was $329,950 in 2005, according to the Northwest Multiple Listing Service statistical data, but the most recent number for median home price is $570,000. "Edmonds is most reminiscent of small-town America. A coming home feeling to a place you've never been," according to the Greater Edmonds Chamber of Commerce. Commercial properties have also seen substantial price escalations over this period, but not as great as have the residences. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 23 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants ZONING AND HIGHEST AND BEST USE: Highest and best use is defined by the 12th Edition of "The Appraisal of Real Estate" as, The reasonably probable and legal use of vacant land or an improved property, which is physically possible, appropriately supported, financially feasible, and that results in the highest value. The four criteria the highest and best use must meet are legal permissibility, physical possibility, financial feasibility, and maximum profitability. The highest and best use of a property is an economic concept that measures the interaction of the four criteria. The determination of a property's highest and best use is a critical appraisal component that provides the valuation framework upon which comparable market information is derived. Such comparable data includes cost, sales, and income and expense data when appropriate as it pertains to the property's concluded best use. Implied within these definitions is recognition of the contribution of specific uses to community environment or to community development goals in addition to the wealth maximization of individual property owners. Also implied is that the determination of the highest and best use results from the appraiser's judgment and analytical skill and that the use determined from analysis represents an opinion, not a fact to be found. In appraisal practice, the concept of highest and best use represents the premise upon which value is based. In the context of most probable selling price, fair market value, another appropriate term to reflect highest and best would be probable use. In the context of investment value, an alternative term would be most profitable use. To render a reliable use and value estimate, the highest and best use of the property as if vacant must be considered separately from the highest and best use of the property as improved. This is because the site must be valued as though vacant and available for development to its highest and best use even if the property's existing improvements do not represent the highest and best use of the site. The following discussions separately relate highest and best use consideration of the subject as though vacant and as improved followed by supporting analyses and conclusions. HIGHEST AND BEST USE AS THOUGH VACANT: Highest and best use of land or a site as though vacant is defined by the 12th Edition of "The Appraisal Of Real Estate" as, Among all reasonable alternative uses, the use that yields the highest present land value, after payments are made for labor, capital and coordination. The use of a property based on the assumption that the parcel of land is vacant or can be made vacant by demolishing any improvements. Legally Permissible: The subject property is zoned under the City of Edmonds Zoning Code as BD-1, Downtown Retail Core, as has been previously discussed. The current owner has (or soon will have) a permit in hand to remodel and enlarge the existing structure as located on the larger parcel, and the end product will reflect the size and type of building allowable under the zoning, as if the site were vacant. Given the dimensions of the subject property, it is probable that no structures would be allowed, although the zoning information as found on the city website does not specifically confirm this as best we can tell. Physical Adaptability: Size, shape, topography and other physical characteristics affect the use 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 24 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants use to which a site can be developed. The larger parcel is over 11,000 SF, and adaptable to the uses as allowed under the zoning. The subject property has dimensions such that the development may not be allowed, were it an existing stand alone lot. Even if it were, the storefronts would be little more than kiosks is size and configuration. Financial Feasibility: The subject market area has the necessary physical characteristics and infrastructure to sustain continued growth. Supporting facilities and services such as transportation networks and utilities can adequately serve the subject's location. Favorable interest rates are a positive factor, although the availability of mortgage funds appears to be diminishing in response to the national residential mortgage situation. Conclusion of Hi hest and Best Use; As Vacant It appears from the information at hand that the larger parcel could and would be improved with a structure similar in scope and scale to the one proposed by the current owner. The subject property, if a stand alone parcel, may not have an economically feasible use due to the limitations of its size and dimensions. It is fully adaptable as a "mini park", however, as this is the effective current use and continuation in such us is physically and legally feasible, it appears, although the economic benefit to the land would be minimal. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 25 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants HIGHEST AND BEST USE, AS IMPROVED: The larger parcel is improved with an old retail storefront building that is about to undergo a total remodeling and expansion. The subject property is a vacant strip of land on the street fronting side of the larger parcel. It is currently vacant except for a parked - out use, with benches, water feature, and landscaping. It is presently slated to become improved as a part of the remodel and enlargement of the existing building. Improving it thusly represents the highest and best use of the site. ESTIMATION OF MARKETING TIME: The larger parcel would likely find a buyer within a 3 to 6 month time period in its as is conditions. The subject property would not likely find a buyer in the current market if it were segregated into a separate legal lot due to the dimensions of the property. However, this is probably moot, as it is not likely that a subdivision of the site would be approved given that it would remove the frontage from the remainder parcel, and it would be too narrow for usual and typical uses as allowed under the zoning. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 26 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants VALUATION OF PROPERTY 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 27 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants VALUATION METHODS, APPROACHES TO VALUE The Appraisal Process is based on a dynamic problem -solving model consisting of a series of interrelated procedures with the common objective of formulating a reliable estimate of value. In the present analysis, the value to be estimated is Market Value as previously defined. This is value in exchange subject to the interplay of supply and demand together with other pertinent open market factors. Because Market Value reflects the reactions of typical buyers and sellers in the marketplace, it is the primary concern of most real estate appraisals. The first procedures in the appraisal process include defining the problem at hand, establishing an appraisal plan and collecting and analyzing appropriate data relating to the general area, subject property and comparable properties to establish the economic setting and competitive framework for the property under appraisal. Analysis of these factors leads to that of highest and best use and finally to the usual application of three approaches to value. These are the Cost, Sales Comparison and Income Approaches. In this instance, an additional consideration is required. As above stated, the subject property has a value as a part of a larger parcel. If it were legally segregated from the larger parcel, the remainder would retain its worth, as it would be large enough to put to an economic use. The subject, however, would likely have no economic use due to its size and dimensions. Given that it contributes to the value of the larger parcel (regarding land contribution); has the same prospective use as the larger parcel, would contribute to the enlargement of the remodeled/enlarged improvement on the larger parcel as currently proposed, it has a prorate value as compared to the land of the larger parcel. In other words, if the larger parcel is 11,326 SF, and the subject parcel is 1,414 SF, 12.5% of the value of the larger parcel is resident in the subject property. Given that the existing improvement is about to undergo major renovation, it is our opinion that its current contribution is limited to shell value. This shell value will be minimal in relationship to the total value of the larger parcel. The subject, as before stated, is effectively vacant land, in any event. It is therefore our opinion that the most proper method of valuing the subject property is to estimate the value of the land only for the larger parcel, and apply the pro -rated portion of this total value to the subject property. The Cost Approach is a summation of the various agents in production that contribute to the whole property. It is the process of estimating the Replacement or Reproduction Cost, New, of the subject improvements, and deducting from the new cost the estimated total loss in value from all causes to arrive at the depreciated value. The value of the land, as estimated from analysis of comparable land sales, is added to the depreciated value of the improvements to indicate the value of the whole property. The Cost Approach is based largely on the Principle of Substitution, which asserts that when items of equal utility are available in an open market, the one with the lowest price will attract the greatest demand. Since the value of a replaceable property tends to be 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 28 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants to be indicated by the value of an equally desirable substitute property, the cost of producing such a substitute through new construction often reflects the upper limit of value. We have elected to value the larger parcel as if vacant, as this is the effective condition of the subject property. There are no substantial improvements on the subject property. As a result, the cost approach is rendered as being without merit. The Sales Comparison Approach is the process of comparing sales of similar properties to the subject. When the sales have dissimilar attributes, these differences must be analyzed and adjusted in order to equate them with the subject property. As with the Cost Approach, this approach is based largely on the Principle of Substitution which here implies that a typical prudent purchaser will not pay more for a property than it would cost to buy a comparable substitute property. Because this approach is a direct reflection of the attitudes and behavior of typical buyers and sellers, it is a primary application of the theory of value in exchange. The reliability of this and other approaches depends largely on the availability of adequate comparative data. We will identify the best market sales as to comparability to the larger parcel, and estimate the larger parcel's value based upon the results. This is the only method we will apply to the larger parcel, and therefore to the subject property. A search was done for instructive sales in the surrounding and in competing nearby areas. We found an adequate number of such sales, although some required that we extract the contribution value of the land from whole property sales. Acceptable methods for extraction of land value were utilized. The selected were considered to be the most comparable to the subject lots and are located in near proximity to the subject. The Income Approach is not applicable in this appraisal process due to the fact that the larger parcel is being evaluated as if vacant land — which is the effective condition of the subject property. Unless there is a land lease (which there is not) or land leases are a common element in the near proximate market area (which they are not) the use of the income approach is not indicated and therefore will not be used. The Direct Sales Comparison Approach to lot value will be the relied upon in the present analysis. In cases such as this, it is the best method available. The following pages contain specific data on sales discovered to have occurred that will provide guidance as to the value of the larger parcel, and therefore the subject property. Following these pages there is discussion as to the conclusions that can be reached from this information. NOTE ON CASH EQUIVALENCY: This appraisal estimates the cash equivalent value of the subject property. This requires that all comparables utilized must be cash transactions or adjusted to "cash" if a typical seller financing was involved. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 29 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants COMPARABLE SALES METHOD OF VALUATION: When an appraisal assignment is undertaken, particularly when the subject property is primarily land, the appraiser must, during the course of developing the comparable sales, make a decision as to which of the possible units of value is most applicable in the particular assignment. Among the various important units of value are price per square foot; price per acre; price per building unit; price per waterfront or street front foot; and price per net usable square foot. While there are still other possible considerations, these are the most usual. In this instance, the clear unit of value is the value per building lot. This directly reflects the utility of the land, as in the current marketplace building lots are highly sought after. Moreover, lot sizes do not have a significant impact on value. While it is true that large lots command a premium over small lots, it is only nominal and by no means based directly upon the lot size. The larger parcel, and therefore the subject land is being appraised on the basis of the determination that the highest and best use is for a mixed use retail/office/condominium building. This approach is consistent with the concluded opinion of highest and best use set forth in the previous segment of this report. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 30 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Sale Comparable 1: Address Sunset Avenue Building size, gross vacant Sale date 02/20/07 Building age vacant Buyer Irene Holro d Bldg Price/SF unadjusted vacant Seller Don. H. Drew, et al Land Price/SF unadjusted $1,770,000 Sales price $1,770,000 Access Sunset Ave Land area, SF 12,220 SF Zoning RS-6, Edmonds Topography Slopes down East to West Floor area ratio FAR vacant Bld uality vacant Street Appeal ood Information source: CBA, County Assessor, Metroscan, Thelma Knight Comments- parcel # 00434401300300 Parcel is vacant lot with utilities present in street. Site has unobstructed view of the sound with good street frontage, just North of the Kingston ferry dock and downtown corridor. West borders on active railroad tracks with associated noise factor. Listing agent confirms arm's length transaction and that buyer intends to develop six townhomes on parcel. Adjustments: time/market, (+5%) view, (-10%) zoning +10% The adjusted value indication for the comp property is $1,858,500, or $152.09/SF. vw]wvl]vvevo 001]II01]00500 cavrlvlxarvl 7. earWors7wrr vw]nvlvvma N 00961023128000 - ppl>•1 11C21C 210R]0010]10] Ip770.17C kQ ra ulr�>vuv 00131/01]— rmnvurewl vc.ulvr:ovwl awvnrr:lxv 001]1101]00102 Cbd, lwIIN M Plat of Sale Property Photo of Sale Property 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 31 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Sale Comparable 2: Address 233 3' Ave N Building size, gross Building age 18,000 Sale date 05/31/07 43 1964 $208.70 Buyer MBR Properties LLC Land Price/SF unadjusted Seller Robt B Harrington, et al View To Sound, territorial Sales price $3,000,000 Access 3rdAve W, Edmonds St. Land area, SF 14,375 SF Zoning RM-15, Edmonds Topography Mostly level Floor area ratio FAR 1.252 Bldg Quality Average - guality cost Street A eal avers e Information source: CoStar, County Assessor, Metroscan Comments- parcel # 00434400800500 Comp is an average cost quality construction class D apartment building stacked on a large garage. Site has a comparable location and view potential to subject. Reported plans are to convert to condos. Using Marshall Valuation Service for cost assignment and depreciation, it is determined that the improvements contribute $756,000 to the property, making the land contribution to the sale $2,244,000. Adjustments: time/market (+2.5%). No adjustment for zoning as it is medium high density residential The adjusted land value indication for the comp property is $2,300,100, or $160.00/SF. Plat of Sale Property Photo of Sale Property 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 32 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Sale Comparable 3: Address 505 Edmonds St Building size, gross 6,375 Sale date 10/06/05 Building age 30 1977 Buyer Erling Julius Olsen Bypass Land Price/SF $272.04 Trust unadjusted Seller DeSantis Family LLC View Territorial, to Sound Sales price $1,185,000 Access Edmonds St., Sprague Land area, SF 4,356 SF Zoning RM-15, Edmonds TopographyToDography Mostly level Floor area ratio FAR 1.463 Bldg Quality Average/ good - quality cost, Street Appeal good Information source: Costar, Counly Assessor, Metroscan, Jeff Menday Comments- parcel # 00434202400300 Comp is a average/good - cost quality construction class D apartment building stacked on two garages. Site has a comparable location and view potential to subject. Buyer's agent would not adequately confirm conditions of sale. Using Marshall Valuation Service for cost assignment and depreciation, it is determined that the improvements contribute $365,378 to the sale value, making the unadjusted land value $819,622. Adjustments: time/market (+18%). The adjusted land value indication for the comp property is $967,154, or $222.03/SF. Plat of Sale Property Photo of Sale Property 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 33 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Sale Comparable 4: Address 545 & 547 Main St Building size, gross 3,223 Sale date 09/22/06 Building, age 56 1951 Buyer Bryan & Cheryl Stewart Land Price/SF $135.45 unadjusted View i Seller Wm. & Jan Teal Territorial Sales price $885,000 Access Main St Land area, SF 6,534 SF Zoning BC, Edmonds Topography Mostly level Floor area ratio FAR 0.493 Bldg Quality Average - quality cost Street Appeal Average Information source: CBA, County Assessor, Metroscan, Donna Lambourn Comments- parcel # 00434202101900, 00434202101800 Comp is two average - cost quality construction class D retail/office buildings with three dedicated parking spaces. One building has 1820 SF, the other 1403 SF, and both are comparable in style and quality. The larger building is currently occupied and the smaller is for lease. Site has a comparable location and view potential to subject. Buyer's agent verified arm's length transaction with no sales concessions. Using Marshall Valuation Service for cost assignment and depreciation, it is determined that the improvements contribute $92,196 to the property, making the unadjusted land value $792,804. Adjustments: time/market (+15%). The adjusted land value indication for the comp property is $911,725, or $139.53 /SF. Plat of Sale Property Photo of Sale Property 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 34 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Sale Comparable 5: Address 523 Main St Building sizegross 2,412 Sale date 06/30/06 Building age 59 1948 Buyer 523 Main LLC Land Price/SF $166.67 unadjusted Seller Vera Allbery Estate View Territorial, Sound Sales price $500,000 Access Main St Land area, SF 3,000 SF Zoning BC, Edmonds Topography Mostly level Floor area ratio FAR 0.804 Bldg Quality - quality cost Street Appeal Average —Average Information source: NWMLS, County Assessor, Metroscan, Mel Steinke Comments- parcel # 00434202102800 Comp is an average - cost quality construction class C retail building with four dedicated parking spaces. The property is currently unoccupied and in fair general condition. Site has a comparable location and view potential to subject. Buyer's agent verified arm's length transaction with no sales concessions. Using Marshall Valuation Service for cost assignment and depreciation, it is determined that the improvements contribute $69,843 to the property, making the unadjusted land value $430,157. Adjustments: time/market (+16%) smaller size — 8% The adjusted land value indication for the comp property is $459,064, or $153.02/SF. Plat of Sale Property �„�• -��•. 's l•1 • I � -• l lip 1 -_ Photo of Sale Property 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 35 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Sale Comparable 6: Address 222 Dayton St Building size, gross 4,082 Sale date 02/06/07 Building age Land Price/SF 17 1990 $250.80 Buyer Richard & Joan Bennett unadjusted Seller Loretta Lind Trust View Territorial, Sound Sales price $1,092,500 Access Dayton St Land area, SF 4,356 SF Zoning RM-15, Edmonds Topography Slight sloe Floor area ratio FAR 0.937 Bldg Quality Average/good - quality cost Street Appeal Good Information source: Costar. Countv Assessor. Metroscan_, Dick Bennett Comments- parcel # 27032300409300 Comp is an average/good - cost quality construction class D multi -residence building stacked on a carport. There are three apartment rental units. Site has a comparable location and view potential to subject. Buyer verified arm's length transaction with no sales concessions. Using Marshall Valuation Service for cost assignment and depreciation, it is determined that the improvements contribute $323,197 to the property, making the unadjusted land value $686,053. Adjustments: time/market (+7%). Lot size -4% The adjusted land value indication for the comp_property is $704,714, or $161.78/SF. Plat of Sale Property Photo of Sale Property 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 36 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants COMPARABLE SALES LOCATION MAP - I �- 1 CA Comparable Property #1 r z Sunset Ave Comparable Property #2 a =4 233 3rd Ave N I 'SR 104 Comparable Property #3 ��2 uget ss r,e Ch' 505 Edmonds St Comparable Property 523 Main St I Comparable Property 04 f 'r .timond 545 & 547 Main St ° -- 1 Comparable Property #6 1 Subject Property 222 Dayton St 1 0 H f 11Ct I LA0. !, t AA�E=AYl `�r4Ctitl� , P 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 37 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants FINAL OPINION OF VALUE: We looked at all of the sales properties that are cited herein. The characteristics of the lots were considered. Only one of the sales was for a vacant. parcel and that is sale 1. It has the "lowest" zoning of the group, but also has the best Sound view. After adjustments for the factors listed above, a value indication from this sale was estimated to be $152.09 per SF of land. Sale 2 is considered as being an adequate comparable sale. The zoning is different from the subject, but it allows for a relatively high use. The value indication from this sale is estimated at $160.00/SF of land. Sale 3 is given a reduced weight in our considerations because none of the parties to the transaction was forthright in their confirmations of the sale. Basic data, however, such as sales price and sale date are accurate. This sale extracted the land value estimate out at $222/SF of land, which is well above the other sales. This, too, is zoned differently from the subject, but has a similar density use Sale 4 is very proximate to the subject, and shares zoning designation. It is improved, and required a land extraction. However, the improvements are nominal and the site is under improved. The extracted value, as adjusted, is indicated at $139.53/SF of land. Sale 5 is very proximate to the subject, and shares zoning designation. It is improved, and required a land extraction. However, the improvement is old and provides only nominal contribution value. The site is under improved. The extracted value, as adjusted, is indicated at $153.02/SF of land. Sale 6 also required extraction. The zoning is different, but is a higher density zoning, as well. After extraction of land contribution to value, and adjustments thereto as deemed appropriate, the value indication from this sale is $151.78 per SF of land. If sale 3 is excluded, the remaining sales fall within the fairly narrow range of $139.53 per SF to $160.00 per SF. The mean of these 5 sales is $153.28 per SF, and the median is $153.02. When sale 3 is included, the mean runs up to about $165.00/SF. The two sales with the same zoning designation were sales 4 and 5, which show adjusted land values at $139.53 and $153.02, respectively. The downtown Edmonds area is mature, and very few vacant lots that are desirable remain unused. As a result, it is not surprising that few vacant land sales were discovered to have occurred in the past 1 to 2 years. Older sales were deemed to not be useful due to the substantial inflation of land values in the area. However, we are confident in our extraction techniques, and the two sales of like zoning have minimal buildings, so those extractions have a high level of credibility. Lastly, we were quite reluctant to leave the Edmonds core in search of comparable sales. The ambiance of Edmonds together with the water view potentials are not easily duplicated in competing areas. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 38 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants As a result, we have concluded that we discovered the best comparable sales available, and have reasonably extracted land values from those sales that were improved properties. We conclude with the opinion that the larger parcel reasonably exhibits a value of $153.00 per SF of land. Given that the subject property has been postulated to have and equal value as a part of the larger parcel, the same value of $153.00 per SF of land is ascribed to it, as well. With our best estimate of 2,574 SF of land, this would bring a value to the subject property of $393,822, and given the features located thereon, is rounded up to: Three Hundred and Ninety -Five Thousand Dollars $395,000 Again, it is emphasized that we used best efforts to estimate the size of the subject property. If the actual size, after surveying, proves to be greater or smaller in size, the factor of $153/SF can be applied to the difference, and the price adjusted either up or down as appropriate. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 39 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Qualifications of Appraisers C. Edward Boyle, CCM PROFESSIONAL PROFILE Ed Boyle has been an Appraiser and Consultant with Lamb Hanson Lamb Appraisal Associates, since 1998. He has held the Certified Commercial Investment Member (CCIM) designation (#838) of the Commercial Investment Division of the National Association of Realtors since 1978. Mr. Boyle has been retained as a consultant in a variety of real estate valuation assignments including highest and best use studies, feasibility studies, market analysis, and investment analysis. He has served as an expert witness in a number of real estate related actions. He specializes in appraisal of raw land, development land, and subdivisions, and also has considerable experience appraising a wide assortment of other property types including: Industrial, Office, Retail, Multi- family, and Special Purpose buildings. Mr. Boyle's broad and diverse real estate experience assists him in determining accurate property valuations. PROFESSIONAL LICENSES & QUALIFICATIONS Certified Commercial Investment Member (CCIM) #838, of the Commercial Investment Division of the National Association of Realtors, attained designation 1978 25 years as a licensed real estate broker in the State of Washington 8 years licensed as out-of-state real estate salesman, State of Oregon 8 years DPP Securities license for syndication of real estate equities. WORK EXPERIENCE Present- Lamb Hanson Lamb Appraisal Associates, Inc. General Real Estate Appraiser ■ Licensed salesman, and/or associate broker, West and Wheeler Assoc., a commercial brokerage firm. • Investment property sales manager, Vincent D. Miller, Inc., commercial brokerage firm • Founding principal partner, general manager, designated broker, Westlake Associates, Inc. commercial brokerage firm 1974-1982 • Past President (1981) and founding board member, Commercial Investment Brokers Association (now CBA), Statewide commercial multiple listing service. • Past President, (1983) Seattle, King County Board of Realtors. • Past President, (1986) Washington Association of Realtors, • Multiple terms as Director, National Association of Realtors. ■ President, GTF, Inc. real estate investment corporation • President, Allied Commercial Group, Inc., Commercial Brokerage, Consulting, Land development. ■ Founding Board Member, Loan Committee member, Washington State Bank, Federal Way 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 40 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants HONORS AND AWARDS "EDDY" Award, Washington Real Estate Education Foundation, a "1 per year award". Associate of the Year, Seattle King County Association of Realtors, 1981 Realtor of the Year, Seattle, King County Association of Realtors, 1983 Listed, Who's Who in Real Estate, 1986 OTHER • Instructor, various real estate topics and courses for such entities as N. Seattle Community College; Washington Real Estate Education Foundation; National Association of Realtors, Realtors National Marketing Institute; private real estate firms. Developed course -work in some instances. • Sought after for conducting half -day seminars on Parliamentary Procedure and "How to run a Productive Meeting". • Testified on real estate industry matters before U.S. House and Senate Committees & State House and Senate Committees. • Liaison between National Association of Realtors and various congressmen including Rep. Don Bonker, Sen. Slade Gorton, Sen. Dan Evens, Rep. Mike Lowry. PROPERTY TYPES APPRAISED Food processing facilities Special benefit studies Industrial waterfront Multi -family complexes Office buildings Subdivision lands Indoor athletic facilities PARTIAL CLIENT LIST: U.S. Corps of Engineers U. S. Dept. of Agriculture City of Renton City of Seattle Housing Authority City of Seattle Public Works Seattle Port Authority Low Income Housing Institute Auburn School District Kent School District NW College of the Arts Julin, Fosso, McBride & Barrett Industrial park land Destination Resorts, Prospective Industrial buildings College Campus Retail buildings Rural Lands Raw Land Motel/Hotel Warehouses Environmentally sensitive areas Restaurants Private Schools Water rights Cellular Towers Asia Europe Americas Bank First Heritage Bank Frontier Bank US Bank Metro Mortgage Thurston First Bank Viking Bank Admiral Mortgage Corp Coopers & Lybrand Ltd. Sinsheimer & Meltzer Washington Depart. of Natural Resources 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 41 COMPLETE APPRAISAL OF APPROXIMATELY 2,574 SF OF LAND At the common address of 201 5th Ave. S. Edmonds, WA � TJ 'Yl F-! y A ,a - FURNISHED AT THE REQUEST OF City of Edmonds 700 Main Street Edmonds, WA 98020 Attn: Mr. Brian McIntosh, Director AS OF September 11, 2007 B NO. S007-166 PREPARED BY C. Edward Boyle, CCIM Appraiser and Consultant Edward Williamson, Appraiser Trainee and Researcher 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants September 11, 2007 Attn: Mr. Brian McIntosh City of Edmonds 700 Main Street Edmonds, WA 98020 RE: Appraisal of a piece of land to be divided from a larger parcel of land and the NE Corner of Maple and 5th Ave. S, Edmonds WA. Dear Mr. McIntosh As requested, we have made an investigation and analysis of the above captioned property, more particularly described in detail within the following Appraisal Report. The purpose of the report is to express a probable Market Value of the property in the present condition. Supporting analysis of the data is. included to indicate the process of arriving at the conclusions herein. This is a Complete Appraisal, Summary Report, which is intended to comply with the reporting requirements set forth under Standards Rule 2-2(b) of the Uniform Standards of Professional Appraisal Practice. As such, it reports the data, reasoning, and analyses that were used in the appraisal process to develop the appraiser's opinion of value. Additional supporting documentation concerning the data, reasoning, and analyses is retained in the appraiser's file. The depth of discussion contained in this report is specific to the needs of the client and for the intended use stated below. The appraiser is not responsible for unauthorized use of this report. The subject of this report is presently used as a small park -like area in the front of a developed lot. The city desires to acquire it as permanent open space, more or less continuing its present use. For purposes of definition, the property that is to be acquired will be called the subject property in this report. The whole property as it currently exists will be called the larger parcel, and the parcel that will exist after the acquisition will be called the remainder. Typically, an appraisal for a potential acquisition such as this would need a "before and after" report to properly assess the value of the prospective acquisition property (subject property). In this instance, this technique is not required in our opinion. The reasons will be set forth in more detail in a later section. In our opinion, the subject property has an estimated Market Value as of September 11, 2007, the date of valuation, as: Three Hundred and Ninety -Five Thousand Dollars $395,000 Again, it is emphasized that we used best efforts to estimate the size of the subject property. If the actual size, after surveying, proves to be greater or smaller in size, the factor of $153/SF can be applied to the difference, and the price adjusted either up or down as appropriate. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants The appraisal includes only the land. It does not include any value for equipment, stock, inventory, furniture, tools, fixtures or any other items, movable or immovable, of a personal nature. Market value, as used in this report, is defined as: The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently, knowledgeably and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: (A) Buyer and seller are typically motivated; (B) Both parties are well informed or well advised, each acting in what they consider their own interest; (C)A reasonable time is allowed for exposure in the open market; (D) Payment is made in terms of cash in U. S. dollars or in terms of financial arrangements comparable thereto; and (E) The price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale. This appraisal has been prepared in conformance with the Uniform Standards of Professional Appraisal Practice as adopted by the Appraisal Standard Board of the Appraisal Foundation. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants CERTIFICATE OF APPRAISER We certify that, to the best of our knowledge and belief: 1.The statements of fact contained in this report are true and correct.. 2.The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and are our personal, impartial, and unbiased professional analyses, opinions, and conclusions. 3.We have no present or prospective interest in the property that is the subject of this report, and we have no personal interest or bias with respect to the parties involved. 4. We have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment. 5.Our engagement in this assignment was not contingent upon developing or reporting predetermined results. 6.Our compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal. 7.Our analyses, or opinions, and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice. 8.C. Edward Boyle and Edward Williamson have both made one or more personal inspections of the property that is the subject of this report. 9. No one provided significant real property appraisal assistance to the person(s) signing this certification, but base information was gathered with the assistance of others. 10. We certify that, to the best of our knowledge and belief, the reported analyses, opinions and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Code of Professional Ethics and the Standards of Professional Appraisal Practice of the Appraisal Institute. 11.The use of this report is subject to the requirements of the Appraisal Institute relating to review by their authorized representatives. Michael B. Lamb, MAI, SRA, is currently licensed as a Certified General Real Estate Appraiser by the State of Washington under License No. 27011-00893. He is in compliance with all State continuing education requirements. Michael B. Lamb, MAI, SRA, is under the voluntary continuing education requirement for the MAI designation. As of the date of this report, he has completed the requirements of the continuing education program of the Appraisal Institute. He is current 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants He is current through December 31, 2007. 12. Possession of this report, a copy, or any part thereof does not carry with it the right of publication. Disclosure of the contents of this report is governed by the By -Laws and Regulations of the Appraisal Institute. The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. 13. Neither all, nor any part of the contents of this report (especially any conclusions as to value, the identity of the appraiser or the firm with which he is connected, or any reference to the Appraisal Institute or to the MAI, or SRA designations, or to the RM, SRPA, CCIM or SREA designations) shall be used for any purposes by anyone but the client specified in the report, without the previous written consent of the Appraiser. Nor shall it be conveyed by anyone to the public through advertising, public relations, news, sales, or other media, without the express written consent and approval of the undersigned. 14.The client has been advised and has also acknowledged that Title XI of the Federal Financial Institutions Reform, Recovery and Enforcement Act of 1989 requires that all appraisals utilized for federally related transactions must be ordered directly by a regulated institution or its agent. C. Edward Boyle, CCIM Appraiser and Consultant Certified General Real Estate Appraiser 1101754 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants ASSUMPTIONS AND LIMITING CONDITIONS By this notice, all persons and firms reviewing, utilizing or relying on this report in any manner bind themselves to accept these assumptions and limiting conditions. Do not use this report if you do not so accept. These conditions are a part of the appraisal report. They are a preface to any certification, definition, fact, or analysis, and are intended to establish as a matter of record that the appraiser's function is to provide a present market value indication for the subject property based upon the appraiser's observations as to the subject property and real estate market. This appraisal is not an engineering, construction, legal or architectural study, nor is it a survey of the land. Expertise in these areas, among others, is not implied. 2. The appraisal is based on the premise that there is full compliance with all applicable federal, state and local environmental regulations and laws unless otherwise stated in the report. Further, we assume that applicable zoning, building, use regulations and restrictions of all types have been complied with unless otherwise stated in the report. It is assumed that all required licenses, consents, permits, or other legislative or administrative authority, local, state, federal and/or private entity or organization have been or can be obtained or renewed for any use considered in the value estimate. 3. The appraisers have inspected so far as possible, by observation, the land and the improvements; however, it was not possible to personally observe conditions beneath the soil or hidden structural, or other components. We have not critically inspected mechanical components within the improvements and no representations are made herein as to these matters unless specifically stated and considered in the report. The value estimate assumes that there are no such conditions that would cause a loss of value. 4. The appraisal is based on the assumption that there are no hidden, unapparent, or apparent conditions of the property site, subsoil, or structures that would render it more or less valuable. The appraiser and firm have no responsibility for any such conditions or for any expertise and engineering to discover them. 5. No specific soil bearing tests were furnished or made as a part of this report; however, soil stability and bearing capacity are assumed to be sufficient to permit development as improved, or to allow redevelopment consistent with the zoning. 6. All dimensions and legal descriptions are assumed to be correct as supplied and/or found through available records. Any maps, sketches, reproductions or photographs included in this report are for illustration and as an aid for visualizing the property only. 7. All information as found in data furnished or in public records is deemed reliable. If any errors are found, the right is reserved to modify the conclusions reached. 8. This report is based on the premise that the title to the property is good and merchantable, and that there are no liens, clouds or encumbrances against the title. No responsibility is assumed for matters that are legal in nature. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants 9. Any liens or encumbrances that may now exist have been disregarded, and the property has been appraised as though free of indebtedness and as though no delinquency in payment of general taxes and special assessments exists. 10.It is assumed that the property that is the subject of this report will be under prudent and competent ownership and management, neither inefficient nor super -efficient. 11.The distribution of the total valuation in this report between land and improvements applies only under the existing program of utilization. The separate valuations for land and building must not be used in conjunction with any other appraisal and are invalid if so used. The values assigned to improvement shown in this report are in proportion to the contribution said improvements make to the value of the property as a whole. 12.The value premises cited in this report are considered foundational and basic to the value opinions reported herein. The right is hereby reserved by the appraiser to alter, revise and/or rescind any of these said value opinions should subsequent or additional data be found, or in the event the conditions are modified to any extent. 13. Possession of this report or any portion or copy thereof does not carry with it the right to publication. Neither may the same be used for any purpose by anyone but the client without the prior written consent and approval of the appraiser, and in any event only in its entirety. 14. Employment to make this appraisal does not require testimony in court unless mutually satisfactory arrangements are made in advance. 15.The estimated market value, which is defined in the report, is subject to change with market changes over time; value is highly related to exposure, time, promotional effort, terms, motivation, and conditions surrounding the offering. The value estimate considers the productivity and relative attractiveness of the property physically and economically in the marketplace. 16.In cases of appraisals involving the capitalization of income benefits, the estimate of market value is a reflection of such benefits and the appraiser's interpretation of income yields and other factors derived from market information. Such estimates are as of the date of the estimate of value only; they are thus subject to change as the market and value is naturally dynamic. 17.Appraisal reports that contain a valuation relating to an estimate in land that is less than the whole fee simple estate are subject to the following: "the value reported for such estates relates to a fractional interest only in the real estate involved and the value of the fractional interest plus the value of all other fractional interests may or may not equal the value of the entire fee simple estate considered as a whole". 18.Appraised values that relate to geographical portions of a large parcel or tract of real estate are subject to the following: "the value reported for such geographical portion relates to such portion only and should not be construed as applying with equal validity to other portions of the larger parcel or tract. The value reported for such geographical portion plus the value of all other geographical portions may or may not equal the value of the entire parcel or tract considered as an entity". 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants 19.The appraiser assumes that a purchaser is aware that: (1) this appraisal on the subject property does not serve as a warranty on the condition of the property; (2) it is the responsibility of the purchaser to examine the property carefully and to take all necessary precautions before signing a purchase contract, and; (3) any estimate for repairs is a non -warranted opinion of the appraiser unless otherwise stated. 20.If this appraisal is prepared in conformance with the plans and specifications provided to your appraiser it assumes completion in a workmanlike manner. The appraiser cannot be held responsible for unforeseeable events that alter market conditions prior to completion or effective date of the opinion. 21. Where a Discounted Cash Flow Analysis has been used it has been prepared on the basis of information and assumptions stipulated in this report. The achievement of any financial projections will be affected by fluctuating economic conditions and is dependent upon the occurrence of other future events that cannot be assured. Therefore, the actual results achieved mely vary from the projections made and such variation may be material. 22. Prior to entering into an agreement to perform any assignment, an appraiser must carefully consider the knowledge and experience that will be required to complete the assignment competently; or disclose any lack of specific knowledge or experience to the client, and take all steps necessary or appropriate to complete the assignment competently. Your appraisers have both the knowledge and experience required to complete this assignment competently. 23. Unless otherwise stated in this report, the existence of hazardous substances, including without limitation asbestos, polychlorinated biphenyls, petroleum leakage, or agricultural chemicals, any of which may or may not be present on the property, or other environmental conditions, were not called to the attention of nor did the appraiser become aware of such during the appraiser's inspection. The appraiser has no knowledge of the existence of such materials on or in the property unless otherwise stated. The appraiser, however, is not qualified to test such substances or conditions. The presence of such substances, such as asbestos, urea formaldehyde foam insulation, or other hazardous substances or environmental conditions, may affect the value of the property. The value estimated is predicated on the assumption that there is no such condition on or in the property or in such proximity thereto that it would cause a loss in value. No responsibility is assumed for any such conditions or for any expertise or engineering knowledge required to discover them. The client is urged to retain an expert in this field, if so desired. 24. Neither all nor any part of the contents of this report (especially any conclusions as to value, the identity of the appraisers, or the firm with which they are connected, or any reference to the Appraisal Institute or the MAI designation) shall be disseminated to the public through advertising media, public relations media, news media or any other public means of communications without prior written consent and approval of the appraiser. 25.The Americans with Disabilities Act ("ADA") became effective January 26, 1992. We have not made a specific compliance survey and analysis of this property to determine whether or not it is in conformity with the various detailed requirements of 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants the ADA. It is probable that a compliance survey of the property, together with a detailed analysis of the requirements of the ADA, would reveal that the property is not in compliance with one or more of the requirements of the Act. If so, this fact could have a negative effect upon the value of the property, as improved. Since we did not seek evidence relating to this issue, we did not consider possible non- compliance with the requirements of ADA in estimating the value of the property. 26.The liability of Michael B. Lamb, MAI, SRA, Lamb Hanson Lamb Appraisal Associates, Inc., its Associate Appraisers and employees is limited to the client only and only up to the amount of the fee actually received for the assignment. Further, there is no accountability, obligation, or liability to any third party. If this report is placed in the hands of anyone other than the client the client shall make such party aware of all limiting conditions and assumptions of the assignment and related discussions. The appraisers are in no way responsible for any costs incurred to discover or correct any deficiency in the property. In the case of limited partnerships or syndication offerings or stock offerings in real estate, the client agrees that in case of lawsuit (brought by lender, partner, or part owner in any form of ownership, tenant, or any other party), any and all awards, settlements, or cost, regardless of outcome, the client will hold Michael B. Lamb, MAI, SRA, Lamb Hanson Lamb Appraisal Associates, Inc. and its Associate Appraisers completely harmless. Acceptance of and/or use of this appraisal report by the client or any third party is prima facie evidence that the user understands and agrees to these conditions. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants SCOPE OF APPRAISAL: The subject property in this report is a rectangular strip of land that is to be segregated by the owner and the city from the present larger parcel, with approximate dimensions of 117 feet in length, with a slightly variable width average 22 feet according to information from the owner. If these dimensions prove to be inaccurate, the appraisers reserve the right to restate the value based upon the new accurate dimensions. This strip of land is currently used as a Park -Like open space on the front of the larger parcel. The larger parcel a retail -use building that is sited east of the proposed subject property. The subject land is a part of the larger parcel and will be required to be segregated by a legal subdivision of the larger parcel. At present, the larger parcel is used for retail storefronts. The storefronts are not sited on the subject property, but are located to its immediate east side. The owner is about to undertake a major remodeling project of the existing improvements. The owner's intent is to enlarge the footprint of the improvements onto the subject property. It is our understanding that the permits for such a remodeling and expansion are either in hand, or imminent. The owner has expressed a willingness to forgo expanding on the subject if the city and the owner can reach agreement as to a sales price for the subject property. The city has expressed and interest in acquiring the subject property. The best approach to estimating a value for the subject property is to establish an estimated value for the larger parcel, as if vacant. This value would then be pro -rated to the subject. This is considered as being the best method for estimating value for the subject property. The Direct Sales Comparison approach to land value will be utilized in the present analysis. This is the most common and preferred method of appraising vacant land where adequate sales data are available. This approach will be utilized in that this is a currently vacant piece of land that is directly producing no income in a direct manner, thereby making the income approach to value not applicable. There are no existing improvements beyond the personal property and water feature, so the Cost Approach to Value is not applicable as it cannot produce a reliable result. We will search the market for sales of similarly zoned properties that are located proximate to the subject property, and suitable for a use similar to the intended use of the larger parcel as presently contemplated. If adequate applicable sales of such are not found, we will search for improved property sales in the immediate vicinity of the subject property and extract an indication of lot value from these. In all probability, few or no sales will be found that are completely comparable to the subject property in its current condition, so adjustments will need to be made. In such cases, the comparable sale is adjusted to the subject. Given the small size of the subject, and depending upon the sales data found, it may be necessary to make other adjustments as well. From data thus gathered, we will establish a value estimate for the subject property 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants INTENDED USE OF APPRAISAL: The client seeks to have a market value opinion to make a determination as to whether to acquire the subject property, and to establish a prospective price. No other use is intended. CLIENT AND INTENDED USER OF APPRAISAL: The City of Edmonds Parks Department, as prospective buyer, is the client to whom this report is addressed and the Intended User. NOTE ON CASH EQUIVALENCY: This appraisal estimates the cash equivalent value of the subject property. This requires that all comparables utilized must be cash transactions or adjusted to "cash" if atypical seller financing was involved. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants TABLE OF CONTENTS Title Page Frontispiece Letter of Transmittal and Certification Frontispiece Underlying Assumptions and Limiting Conditions Frontispiece Scope of Appraisal Frontispiece Summary of Salient Facts and Conclusions 1 PROPERTY IDENTIFICATION 2 Ostensible Owner 2 Delineation of Title & Sales History 2 Tax Account Number and Assessed Valuation 2 Personal Property 2 Access 2 Legal Description 2 Definition of Property Rights Appraised 3 Current Plat Map 3 Aerial Photograph 4 Plat Map Showing Subject 5 Subject Photographs 6 Description of Subject Property 9 BACKGROUND DATA 14 Seattle Metro Area 15 Puget Sound Area Map 21 Edmonds area location map 22 Edmonds Overview 23 GENERAL DISCUSSION OF PROPERTY Highest and Best Use 24 Market Exposure time 26 VALUATION OF PROPERTY 28 Valuation Methods 28 Sales Comparison Approach to Value, Land 30 Final Opinion of Value 38 QUALIFICATIONS OF APPRAISERS C. Edward Boyle, CCIM 40 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants SUMMARY OF SALIENT FACTS AND CONCLUSIONS Property Appraised: A 2,574 SF (approximately) piece of land that is a part of a larger parcel located at the NE Corner of Maple St. and 5tn Ave. S in Edmonds WA Client and Intended User: The City of Edmonds Parks Dept. Intended Use: To determine an indication of market value to assist in the potential acquisition of the subject property. Date of Value: September 11, 2007 Date of Report: September 11, 2007 Zoning: At the date of valuation, the City of Edmonds zoning map indicates a zoning of BD1 (Downtown Retail Core). The comprehensive map indicates that this, or a similar zoning, will continue into the future. Land Area: Improvements: Highest and Best Use: VALUATION: Approximately 2,574 SF of land in a rectangular piece running approximately 117 feet along the easterly side of 5tn Ave. S and 22 along the northerly side of Maple St. There are no improvements on site except for some paving or concrete, a water feature, landscaping, and other items of personalty. To improve it with a mixed use retail/office/condominium building per allowable uses under the zoning as a part of a larger parcel (as currently exists). In our opinion, the subject property would exhibit an as is value as of the date of valuation of: Three Hundred and Ninety -Five Thousand Dollars $395,000 Again, it is emphasized that we used best efforts to estimate the size of the subject property. If the actual size, after surveying, proves to be greater or smaller in size, the factor of $153/SF can be applied to the difference, and the price adjusted either up or down as appropriate. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 1 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants PROPERTY IDENTIFICATION OSTENSIBLE OWNER: According to Public Records the present owner of the subject site is: Gregg Production Associates, Inc Robert Gregg 51 W. Dayton St. Edmonds, WA 98020 DELINEATION OF TITLE and SALES HISTORY: The ostensible owner appears to have acquired title on or about 7/5/2006 from Yue's Old Milltown Inc. for the consideration of $3,218,495, under a Warranty Deed. The subject was acquired as a portion of the larger parcel. Please note that the above stated price included the parcel to the north of this parcel as a part of the acquired property, which was acquired simultaneously. We have no information as to there being a segregation of values for the two parcels. The two acquired parcels totaled to 30,928 SF according to our best information. PROPERTY ADDRESS: The subject property has no specific common street address, but the larger parcel has the address of 201 5th Ave. S., Edmonds WA. Please see the plat map following this section to identify its specific location. TAX ACCOUNT NUMBER: ASSESSED VALUATION AND TAXES: As the subject property is not currently segregated, is has no parcel number and therefore not taxes or assessed value specific to the subject is included in the Assessor's Records. The larger parcel has an assessed value for the land of $877,300 for its 11,326 SF, or &77.46/SF. This assessed value is 37.5% greater than for the year previous. PERSONAL PROPERTY: There is no value for personal property included in this appraisal. ACCESS: The subject parcel fronts on 51h Ave. S, a main commercial street in Edmonds. It also has about 22 feet of frontage on Maple St. LEGAL DESCRIPTION: No legal description is currently available for the subject property. It is currently a part of a larger parcel from which it has not yet be subdivided. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 2 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants DEFINITION OF PROPERTY RIGHTS APPRAISED: The property rights being appraised are those of the fee simple estate, free and clear of all encumbrances and liens. Real Estate Appraisal Terminology defines a fee simple as "An absolute fee; a fee without limitations to any particular class or heirs or restrictions, but subject to the limitations of eminent domain, escheat, police power, "and taxation." Should liens on the property exist, it would be the expectation that they would be satisfied or negotiated as a part of any sale or financing. EFFECTIVE DATE OF APPRAISAL: This appraisal report, its analysis, opinions, and the final expression of Market Value are specifically applicable to the date of values as of September 11, 2007, the date of the appraiser's last inspection of the site. DATE OF THE REPORT: The date of this report is September 11, 2007. urrent Plat Configuration - W434212003900 00434212003000 D0434212003100 0480590000D307 _ 270323DD407800 01007200030100 00020200 27032300407700 W434212100100 00434212100700 010072000720000700 �, n1D4720002nzoo 0100720M W100 00805900000207 - ? 00434212103600 - 006429000DOSOD 00642900000400 27032300407900 0043421270,2700 00847900000244 00852000052900 00642900000509 00434212102100 00642900000100 D0852000053100 00642900000300 00642900001000 01018500010200 007282D0770700 07018500010400 00728900230300 01018500020100 00728900270100 Yellow arrow indicates larger parcel. Subject is west side of larger parcel. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 3 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants 2002 Aerial Photo of Subject Property Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 4 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants g }g RIM 99.00 IE 59.40 N&S 3' . .r M w YD -0tl fl Q 4 Q iz� i a N � GALEDO'• r � • A � J p. Q cr 0 ` C1 FOUNTAIN, r in r��f n_ 12. r • 1, I TRASH 8' GDN RETAINING - 4-4" G IE 72.99 W 3"11 N88 4v vn J y f l _ _ �i.- - 4 J v-$ 4 II 16. DO' N00'0 N89'57'36"E ��0 7.5 i --1 f I 16.00' (D) � I � � I I 1 ` ASPHALT PARKING ON TOP OF SINGLE l STORY BUILDING 1 r"�i p 3 8" CONCR RETAINING 0 a 1 1 0 O W O ZLLJ U z a o / \ O YD 5434 RIM 71. 6 1 IE 70.51 E 3" 16.00' (D) N89157'3S"E 1D3.9 , • II l f 'a - _ { a - ' 1. � s co's Drawing of subject site, shaded orange. Remainder parcel extends to the east of the subject property, and the two combine to be the larger parcel. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 5 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants SUBJECT PHOTOS _ I r '# gk FB ? _tr% I Subject property from SW corner of site I Subject property from near NW corner, showing gazebo 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 6 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants -c� 1 - 1 But-F T i SuhiPrt nronerty from across 5" Ave_ looking NNE rn _ lei.. ';I. :�=,: �i r ••- ;�. Suhiect orooertv from across 5t' Ave.. looking SSE 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 7 Alf, jR LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants DESCRIPTION OF THE SUBJECT PROPERTY: The subject property is rectangular in shape, with the west end of the lot fronting on 801h Ave. West. Please see plat maps and photographs, including the aerial photo. The dimensions are approximately 117 feet north to south and 22 feet east to west. These dimensions were provided by the owner, and can be adjusted by mutual agreement between the owner and the city. Based upon these dimensions, we estimate the size to be 2,574 SF. As there is uncertainty as to the exact size of the subject, the appraisers reserve the right to amend the site size and resultant finished value, if required. The subject is a part of a larger parcel identified as Assessors Parcel Number 004342- 121-037-00. It currently contains 11,326 SF according to the assessor's records. All typical Utilities are available to the site. The larger parcel slopes upward from west to east, but the existing building is at 5tn Ave. street grade due to past excavation. The subject property is at street grade with 5th Onsite drainage on the subject property appears adequate, and at least one catch basin for stormwater is located thereon. Zoning: (see zoning map, next page) Zoning is BD1 — Downtown Retail Core. The following information is taken from the Edmonds Municipal Code. 16.43.010 Subdistricts. The "downtown business" zone is subdivided into five distinct subdistricts, each intended to implement specific aspects of the comprehensive plan that pertain to the Downtown Waterfront Activity Center. Each sub district contains its own unique mix of uses and zoning regulations, as described in this chapter. The five subdistricts are: BD1 — Downtown Retail Core; BD2 — Downtown Mixed Commercial; BD3 — Downtown Convenience Commercial; BD4 — Downtown Mixed Residential; BD5 — Downtown Arts Corridor. [Ord. 3624 § 1, 2007]. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 9 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants 16.43.020 Uses. Permitted Uses IBD11BD21BDd BD4 BD5 Commercial Uses Retail stores or sales A A A A A Offices A A A A A Service uses A A A A A Retail sales requiring intensive outdoor display or storage areas, such as trailer sales, used car lots (except as part of a new car sales and service dealer), and heavy equipment storage, sales or services X X X X X Enclosed fabrication or assembly areas associated with and on the same property as an art studio, art gallery, restaurant or food service establishment that also provides an on -site retail outlet open to the public A A A A A Automobile sales and service X A A X X Dry cleaning and laundry plants which use only nonflammable and nonexplosive cleaning agents C A A A X Printing, publishing and binding establishments C A A A C Community -oriented open air markets conducted as an outdoor operation and licensed pursuant to provisions in the Edmonds City I Code A A A A A Residential Uses Single-family dwelling A A A A A j Multiple dwelling unit(s) A A A A A Other Uses Bus stop shelters A A A A A Churches, subject to the requirements of ECDC 17.100.020 A A A A A Primary and high schools subject to the requirements of ECDC 17.100.050(G) through (R) A A A A A Local public facilities subject to the requirements of ECDC 17.100.050 C C C A C Neighborhood parks, natural open spaces, and community parks Vwith an adopted master plan subject to the requirements of ECDC 17.100.070 A A A A A Off-street parking and loading areas to serve a permitted use B B B B B Commuter parking lots in conjunction with a facility otherwise permitted in this zone B B B B X Commercial parking lots C C C C X 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 10 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Wholesale uses X X C X X Hotels and motels A A A A A Amusement establishments C C C C C Auction businesses, excluding vehicle or livestock auctions C C C C C Drive-in businesses C C A C X Laboratories X C C C X Fabrication of light industrial products not otherwise listed as a permitted use X X C X X Day-care centers C C C A C Hospitals, health clinics, convalescent homes, rest homes, sanitariums X C C A X Museums and art galleries of primarily local concern that do not meet the criteria for regional public facilities as defined in ECDC 21.85.033 A A A A A Zoos and aquariums of primarily local concern that do not meet the criteria for regional public facilities as defined in ECDC 21.85.033 C C C C A Counseling centers and residential treatment facilities for current alcoholics and drug abusers X C C A X Regional parks and community parks without a master plan subject to the requirements of ECDC 17.100.070 C C C C C Outdoor storage, incidental to a permitted use D D D D D Aircraft landings as regulated by Chapter 4.80 ECC D D D D D A = Permitted primary use B = Permitted secondary use C = Primary uses requiring a conditional use permit D = Secondary uses requiring a conditional use permit X = Not permitted For conditional uses listed in Table 16.43-1, the use may be permitted if the proposal meets the criteria for conditional uses found in Chapter 20.05 ECDC, and all of the following criteria are met: 1. Access and Parking. Pedestrian access shall be provided from the sidewalk. Vehicular access shall only be provided consistent with ECDC 18.80.060. When a curb cut is necessary, it shall be landscaped to be compatible with the pedestrian streetscape and shall be located and designed to be as unobtrusive as possible. 2. Design and Landscaping. The project shall be designed so that it is oriented to the street and contributes to the pedestrian streetscape environment. Fences more than four feet in height along street lot lines shall only be permitted if they are at least 50 percent open, such as a lattice 650 S Orcas Street, Suite 114 Seattie, WA 98108 206-903-1500 Fax 206 903 0648 Page 11 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants lattice pattern. Blank walls shall be discouraged, and when unavoidable due to the nature of the use, shall be decorated by a combination of at least two of the following: 16.43.030 Site development standards. A. Table 16.43-2. Minimum Minimum Minimum Minimum Minimum Sub Lot Lot Width Street Side Rear District Area Setback Setback1 Setback1 Minimum Height of Maximum Ground Height2 Floor4 BD15 0 0 0 0 0 25' 15' BD25 0 0 0 0 0 25' 12' BD35 0 0 0 0 0 25' 12' BD43,5 0 0 0 0 0 25' 12' BD55 0 0 0 0 0 25' 12' 1 The setback for buildings and structures located at or above grade (exempting buildings and structures entirely below the surface of the ground) shall be 15 feet from the lot line adjacent to residentially (R) zoned property. 2 Specific provisions regarding building heights are contained in EDCD 16.43.030(C). 3 Within the BD4 zone, site development standards listed in Table 16.43-2 apply when a building contains a ground floor consisting of commercial space to a depth of at least 60 feet measured from the street front of the building. If a proposed building does not meet this ground floor commercial space requirement (e.g., an entirely residential building is proposed), then the building setbacks listed for the RM-1.5 zone shall apply. See ECDC 16.43.030(13)(4) for further details. 4 "Minimum height of ground floor" means the vertical distance from top to top of the successive finished floor surfaces; and, if the ground floor is the only floor above street grade, from the top of the floor finish to the top of the ceiling joists or, where there is not a ceiling, to the top of the roof rafters. "Floor finish" is the exposed floor surface, including coverings applied over a finished floor, and includes, but is not limited to, wood, vinyl flooring, wall-to-wall carpet, and concrete, as illustrated in Figure 16.43-1. Figure 16.43-1 shows a ground floor height of 15 feet; note that the "finished" ceiling height is only approximately 11 feet in this example. Existing buildings may be added onto or remodeled without adjusting the existing height of the ground floor to meet the specified minimum height so long as the addition or remodel does not increase the building footprint or its frontage along a street by more than 25 percent. 5 Site development standards for single-family dwellings are the same as those specified for the RS-6 zone. As can be seen, it appears that the footprint can cover the site, except for a minimal requirement 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 12 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants requirement for open space. Bulk regulations would also appear to require that the building have a 25-foot height limit. The current owner plans to remodel and build a structure that generally maximizes the site, and tells us that permits are either in hand or imminently available. Zoning Map, Central Edmonds: Edmonds S. rs f� ,gyp ;R- v*. d� BD 5 Yellow arrow identifies larger parcel 6 The subject property, on a stand alone basis, has dimensions such that development may not be permitted. However, as it is a part of a larger parcel, full devilment of the subject property is allowed. 650 S Orcas Street, Suite 114 Seattle, WA 98108 205903-1500 Fax 206 903 0648 Page 13 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants BACKGROUND DATA 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 14 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Seattle Metro Area Market Overview (5-07 update) The Seattle metro area, encompassing King, Island and Snohomish Counties, is located in the Western half of Washington State. The metro area occupies a major lowland area between two mountain ranges, the Olympics to the west, and the Cascades to the east. It also borders an inland body of water called the Puget Sound that is connected to the Pacific Ocean. Topography Urban areas, small agricultural valleys, and forests dominate land use surrounding the Puget Sound. Inward from the shoreline, the land is mostly undulating between areas of flat valleys and plateaus. The Cascade Mountains act as a natural divider from the eastern portion of the state. Climate The Puget Sound basin is protected from heavy rainfall and high winds off the Pacific Ocean by the Olympic Mountains. On the east, the Cascade Mountains shield the area from the winter cold of eastern Washington. The area has a mild climate throughout the year. Access The Seattle metro area is accessible by all four of the region's major interstates including 1-5, 1- 90, SR 520, and 1-405. Seattleites commute daily into downtown via the metro transit system, car, vanpool, carpool, ferry, and taxi. The regional airport, Seattle Tacoma International Airport, is only 25 minutes south of downtown Seattle. Diversity of the Puget Sound Region's Boeing Seattle 55,400 Aerospace Costco Wholesale Issaquah 6,526 Retail Group Health Coop Seattle 8,422 Healthcare Microsoft Redmond 28,007 Software Developer Providence Health System Seattle 8,499 Healthcare Starbucks Seattle 8,806 Retail University of Washington Seattle 21,358 Education Washington Mutual Seattle 7,968 Financial Svcs Weyerhaeuser Co. Federal Way 7,700 Forestry Seattle 2005 The diversity of the Puget Sound's economic structure has created a stable trade and industry base allowing businesses to thrive, relying less on the region's largest employer, the Boeing Company. Seattle is one of the nation's foremost biotechnology centers; consequently impacting the region's the greater economy. Biotech plays a leading role in the economy of the Puget Sound, particularly in North King and South Snohomish counties where the state's most dynamic clusters of biotechnology exist. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 20.6 903 0648 Page 15 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants According to the 2001 Washington Biotechnology & Medical Technology Annual Report, Washington State is home to nearly 190 biotech and medical device companies, which employ more than 18,500, an 18.8 percent increase from 2000. It is estimated that these sectors combined, indirectly employ more than 55,000 people. "One of the industry leaders in biotech, Amgen, recently completed an 860,000 square foot research campus in Downtown Seattle. Other biotech companies such as Seattle Biomedical Research Institute, Rosetta Inpharmatics/Merck, Corixa and Icos are expanding to join the University of Washington, Fred Hutchinson Cancer Research Center and Institute for Systems Biology to make Seattle a formidable center for research," according to CB Richard Ellis. With an expanding role as a center for medical and biotechnology research, the strategic advantage of its port in relation to growing trade with Asia and the countries of the Pacific Rim, and the successful development in the computer software business, Puget Sound continues to flourish economically. Regional Gross Metropolitan Product Seattle ranks as the 15th - largest metro area in the U.S. with a "gross metropolitan product" of $120.9 billion, an increase of 1.6 percent from the previous year, the U.S. Conference of Mayors report states. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 16 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Po ulation Growth Population Washington 4,154,678 4,909,043 5,911,182 6,203,788 20.41% 4.95 King County Cities 1,269,898 1,507,319 1,737,034 1,835,300 1,861,042 15.24% 5.66 Algona 1,276 1,467 1,694 2,590 2,695 52.89% 4.05 Auburn 21,653 26,417 33,650 43,890 43,820 30.43% -0.16 Beaux Arts 475 328 303 302 300 -0.33% -0.66 Bellevue 61,196 73,903 86,872 116,400 117,000 33.99% 0.52 Black Diamond 1,160 1,170 1,422 3,995 4,085 180.94% 2.25 Bothell 41979 7,973 11,986 16,250 16,600 35.57% 2.15 Burien 31,480 31,080 N/A -1.27 Carnation 530 951 1,243 1,905 1,900 53.26% -0.26 Clyde Hill 3,150 3,229 2,957 2,830 2,795 -4.29% -1.24 Covington 14,850 17,240 N/A 16.09 Des Moines 3,951 7,378 17,283 29,120 29,020 68.49% -0.34 Duvall 607 729 2,770 5,460 5,735 97.11% 5.04 Enumclaw 41703 5,427 7,227 11,140 11,220 54.14% 0,72 Federal Way N/A N/A 67,449 83,500 86,530 23.80% 3.63 Hunts Point 578 483 514 445 480 -13.42% 7.87 Issaquah 4,341 5,536 7,786 15,110 19,570 94.07% 29.52 Kenmore 19,200 19,680 N/A 2.50 Kent 16,596 22,961 37,960 84,210 85,650 121.84% 1.71 Kirkland 15,070 18,785 40,059 45,630 47,180 13.91% 3.40 Lake Forest Park 2,539 2,485 3,372 12,750 12,770 278.11% 0.16 Maple Valley 15,730 19,140 N/A 21.68 Medina 3,455 3,220 2,981 2,970 2,945 -0.37% -0.84 Mercer Island 19,819 21,522 20,816 21,840 21,860 4.92% 0.09 Milton N/A N/A 697 800 825 14.78% 3.13 Newcastle 8,320 9,175 N/A 10.28 Normandy Park 4,202 4,268 6,709 6,345 6,415 -5.43% 1.10 North Bend 1,625 1,701 2,578 4,680 4,690 81.54% 0.21 Pacific 1,831 2,261 4,622 5,525 5,815 19.54% 5.25 Redmond 11,020 23,318 35,800 46,480 49,890 29.83% 7.34 Renton 25,878 31,031 41,688 54,900 58,360 31.69% 6.30 Sammamish 35,930 39,370 N/A 9.57 Seatac N/A N/A 22,701 25,100 25,230 10.57% 0.52 Seattle 530,831 493,846 516,259 571,900 578,700 10.78% 1.19 Shoreline 52,730 52,830 N/A 0.19 Skykomish 283 209 273 210 210 -23.08% 0.00 Snoqualmie 1,260 1,370 1,546 4,785 7,815 209.51% 63.32 Tukwila 3,509 3,578 11,874 17,230 17,930 45.11% 4.06 Woodinville 9,905 10,350 N/A 4.49 Yarrow Point 1,101 1,077 957 1,000 970 4.49% -3.00 The Seattle Metro area is home to more than 40 percent of the state's population. The fastest growing area is the Snoqualmie area, followed by Issaquah and Maple Valley. These are outlying areas located east of the main urban hub of Bellevue, Kirkland and Renton. As housing prices continue to go up, these areas are seeing the greatest amount of development for new housing. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 17 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Employment & Personal Income Growth Unemployment- According to the Washington State Securities Department, the Seattle - Washington King County Bellevue -Everett Metro area 1995 6.40 unemployment rate for April 2007 is 3.6 percent. This is down from 1996 6.50 March's figure of 4.4 percent. It is 1997 4.80 also down from April 2006's figure 1998 4.80 of 4.0. 1999 4.70 2000 5.00 2001 6.20 5.10 2002 7.34 6.50 2003 7.41 6.80 2004 6.26 5.70 2005 5.54 4.50 2006 4.94 4.20 2007 5.21 3.50 2008 5.30 2009 5.35 [Source: Washington State Security Department - May 2007 I According to the Washington Economic & Revenue Forecast for March 2007, personal income was $32,458 for the year 2006, and is expected to increase 2.7 percent in 2007. It is expected that personal income will continue to increase through 2009. WashingtonState of Per Capita Personal 2000 Income 31,779 2001 32,291 2002 31,455 2003 31,370 2004 32,258 2005 31,781 2006 32,458 2007 33,366 2008 34,308 2009 35,284 Source: Washington Economic & Revenue Forecast, Mar 2007 Educated Work Force The Seattle metro area has a well-educated work force. According to 2002 U.S. Census data, Seattle ranks highest among major U.S. cities with 49 percent with a bachelor's degree or higher, and ranks second in percentage of high school graduates with 91 percent. An extensive network of colleges and universities contribute to the high level of education region -wide including the prestigious University of Washington, eight private colleges and universities, eight community colleges, and two technical colleges, according to a CB Richard Ellis report. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 18 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Reaional Housincl MarKet 1011 ■17e 2000 8.05 2001 7.45 2002 6.54 2003 5.82 2004 5.84 2005 5.86 2006 6.42 2007 6.33 2008 6.58 2009 6.85 Source: Washington Economic & Revenue Forecast - Mar 2007 The chart shows that interest rates have gone down to record lows since the downturn in 2001. Currently, it is expected that interest rates will continue to rise which will have an effect on the real estate market, particularly the housing market. As seen here, the Office of Financial Forecasting is expecting interest rates to decrease slightly in 2007 and then increase again in 2008 and 2009. The rise in interest rates and the effect on the housing market can be seen in the housing starts. During the peak years for single-family residential development, interest rates were low. Multi- family development went down significantly has more renters turned into homeowners. Now, as the interest rates rise, single-family housing starts are starting to decrease as more and more people are priced out of the market. Multi -family housing starts are beginning to increase again, as the rental market is expected to increase. Year 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Single Family 26.372 26.761 30.239 33.091 36.489 41.407 35.02 30.425 29.851 28.794 Multi -Family 12.693 13.623 9.961 9.734 13.600 11.581 15.152 16.456 19.225 19.244 Source: Washington Revenue and Economic Forecast, Mar 2007 In King County, the median home price jumped from $419,500 in April 2006 to $465,000 in April 2007, an increase of 11 percent. In Snohomish County, prices rose from $329,900 to $375,000, an increase of 14 percent. In Pierce County, the increase in median home price went up from 268,075 to $279,950, an increase of 4 percent. The Puget Sound region has seen home prices continue to rise. According a recent Seattle Times article, Dick Conway, a respected regional 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 19 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants economist states, "In terms of job growth, Seattle is now growing 50 percent faster than the U.S. economy." It also posts the nation's fifth -highest per -capita income, which is what allows buyers to afford home prices that have climbed substantially in the past year." Median Home Prices by County (Residential only) County Apr 06 Apr 07 % Change King $419,500 $465,000 11.0% Snohomish $329,900 $375,000 14.0% Pierce $268,075 $279,950 04.0% Source: Northwest Multiple Listing Service The Port of Seattle Access to navigable waterways allows people and goods to move easily across the Puget Sound and around the world. "Seattle is equidistant by air to Asia and Europe and closer to Asia by water than other West Coast states," according to the Seattle: A World -Class Talent Pool report by The Seattle Times. With nearly $34 billion in exports in 2002, Washington State ranked as the fourth largest exporting state in the nation, just after Texas, California and New York. The Seattle metro area has been found to be one of the most export -dependent metro areas in the nation, according to the Washington Council on International Trade. Seattle and Tacoma are among the most diversified ports in the Western region, making trade crucial to Washington's economy. One out of three jobs is directly or indirectly related to international trade. Seattle -Tacoma International Airport ranks 15th for airport passengers among the top U.S. Commercial Service Airports and ranks 27th among the top ACI Airports Worldwide, according to the Airports Council International 2002 data. Regional Transportation The voter approved 20-year plan for the Seattle metro area will create more public transportation choices for state residents and will prepare the state for population growth and alleviate traffic congestion problems. Intended to encourage public transportation, the Regional Transit Authority plans to build a comprehensive light rail system throughout the Puget Sound region. The light rail system will go directly through downtown Seattle and will use the existing bus tunnel. It will also provide a direct route to the airport. Conclusion In the market analysis, several economic indicators were reviewed, including forecasts through 2009. The population of the Puget Sound area is increasing and with that demand for housing has also increased. Single family home prices continue to rise, although the market is getting less volatile as affordability becomes an issue. Interest rates are expected to stay relatively low for the next two to three years. The unemployment rate for Puget Sound also will remain below 4.5 percent over the next year or two as well. The retail and Industrial segments of the market are also running at a quite high level of activity. In the case of retail, vacancies are very low and good retail space is in demand. Industrial space and office space are both seeing high levels of absorption. The economic factors show that the Puget Sound area is expected to continue to grow and prosper. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 20 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants SEATTLE/PUGET SOUND AREA MAP Showing subject property location i glon S-ubject & I,uW Parcel] Eq . Kingston.. 't r o, Rio�ond Neach6 i Jndianola on-q arnish +� i HaR� Point �+ P_orE Madison North w Crown Hili j Metum@ � u g vita Sunset Nil a RollmgUay l Ft taorror, Military Reservation° a ra ui FIrmile Roc o}veemah Winslow Port Blakey 1 • - - _ - _ = Prnrieea=' auga Beach 1 4PLVJ dStnte Pardo- . - �` rnre attie Comer re City � vUhrce 3uanita A Laullla r. rM1ucndale V • E3 ig od Kirkland IS &w Ridge Re[Imond an Ferri urelhuml Houghton &idle b-.2 - `�4 Yarrow Point* I Ssmm '14 nadmnc Cry _ HI Medina i313 in L•ake'Hills 'Beflevare RGanotkr i2 t 1111 Wand F o i B a. aa� e ar.v- la Ma 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 110 Pads I Page 21 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Edmonds Area Map showing Subject Location 1] - . SR 104 S*Jtcl & Leer act] JI ,Otr,�ANU H EIALOCXWAY' tAUI1eL*AY IN FIR A WAY kSCs11- LN 207711 PCSw ph. Ridge;, 2wvma�um H 2e 214T*I; —215TR:r sw 83w3r:2*7�- 2V v 11 FL --il, 6PL V1221ST" SW- 650 S Orcas Street, Suite 114 Seattle, WA98108 206-903-1500 Fax 206 903 0648 Page 22 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Edmonds Market Overview The City of Edmonds is one of Washington State's most picturesque waterfront communities. It offers a variety of lifestyle activities including: beaches, parks, a senior center, two performance arts theatres, art center, historical society and museum, fishing pier, dining and comprehensive health services. It is the second largest city in Snohomish County (and reportedly, its oldest), and is located about 18 miles North of Seattle. The population of the area is estimated at 39,860, a 0.8 percent increase from the year 2000, according to the 2005 data from the Washington State Office of Financial Management, the latest data found. The median age of the Edmonds population is 42 years and the median household income in dollars is $53,522, according to the 2000 U.S. Census report. Despite slow growth in population, the Edmonds housing market has experienced about 5 years of strong growth. This is a combination of new SFRs, new condominium projects, and remodeling activity. The median SFR price in Edmonds was $329,950 in 2005, according to the Northwest Multiple Listing Service statistical data, but the most recent number for median home price is $570,000. "Edmonds is most reminiscent of small-town America. A coming home feeling to a place you've never been," according to the Greater Edmonds Chamber of Commerce. Commercial properties have also seen substantial price escalations over this period, but not as great as have the residences. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 23 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants ZONING AND HIGHEST AND BEST USE: Highest and best use is defined by the 12th Edition of "The Appraisal of Real Estate" as, The reasonably probable and legal use of vacant land or an improved property, which is physically possible, appropriately supported, financially feasible, and that results in the highest value. The four criteria the highest and best use must meet are legal permissibility, physical possibility, financial feasibility, and maximum profitability. The highest and best use of a property is an economic concept that measures the interaction of the four criteria. The determination of a property's highest and best use is a critical appraisal component that provides the valuation framework upon which comparable market information is derived. Such comparable data includes cost, sales, and income and expense data when appropriate as it pertains to the property's concluded best use. Implied within these definitions is recognition of the contribution of specific uses to community environment or to community development goals in addition to the wealth maximization of individual property owners. Also implied is that the determination of the highest and best use results from the appraiser's judgment and analytical skill and that the use determined from analysis represents an opinion, not a fact to be found. In appraisal practice, the concept of highest and best use represents the premise upon which value is based. In the context of most probable selling price, fair market value, another appropriate term to reflect highest and best would be probable use. In the context of investment value, an alternative term would be most profitable use. To render a reliable use and value estimate, the highest and best use of the property as if vacant must be considered separately from the highest and best use of the property as improved. This is because the site must be valued as though vacant and available for development to its highest and best use even if the property's existing improvements do not represent the highest and best use of the site. The following discussions separately relate highest and best use consideration of the subject as though vacant and as improved followed by supporting analyses and conclusions. HIGHEST AND BEST USE AS THOUGH VACANT: Highest and best use of land or a site as though vacant is defined by the 12th Edition of "The Appraisal Of Real Estate" as, Among all reasonable alternative uses, the use that yields the highest present land value, after payments are made for labor, capital and coordination. The use of a property based on the assumption that the parcel of land is vacant or can be made vacant by demolishing any improvements. Legally Permissible: The subject property is zoned under the City of Edmonds Zoning Code as BD-1, Downtown Retail Core, as has been previously discussed. The current owner has (or soon will have) a permit in hand to remodel and enlarge the existing structure as located on the larger parcel, and the end product will reflect the size and type of building allowable under the zoning, as if the site were vacant. Given the dimensions of the subject property, it is probable that no structures would be allowed, although the zoning information as found on the city website does not specifically confirm this as best we can tell. Physical Adaptability: Size, shape, topography and other physical characteristics affect the use 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 24 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants use to which a site can be developed. The larger parcel is over 11,000 SF, and adaptable to the uses as allowed under the zoning. The subject property has dimensions such that the development may not be allowed, were it an existing stand alone lot. Even if it were, the storefronts would be little more than kiosks is size and configuration. Financial Feasibility: The subject market area has the necessary physical characteristics and infrastructure to sustain continued growth. Supporting facilities and services such as transportation networks and utilities can adequately serve the subject's location. Favorable interest rates are a positive factor, although the availability of mortgage funds appears to be diminishing in response to the national residential mortgage situation. Conclusion of Highest and Best Use; As Vacant It appears from the information at hand that the larger parcel could and would be improved with a structure similar in scope and scale to the one proposed by the current owner. The subject property, if a stand alone parcel, may not have an economically feasible use due to the limitations of its size and dimensions. It is fully adaptable as a "mini park", however, as this is the effective current use and continuation in such us is physically and legally feasible, it appears, although the economic benefit to the land would be minimal. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 9.03 0648 Page 25 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants HIGHEST AND BEST USE, AS IMPROVED: The larger parcel is improved with an old retail storefront building that is about to undergo a total remodeling and expansion. The subject property is a vacant strip of land on the street fronting side of the larger parcel. It is currently vacant except for a parked - out use, with benches, water feature, and landscaping. It is presently slated to become improved as a part of the remodel and enlargement of the existing building. Improving it thusly represents the highest and best use of the site. ESTIMATION OF MARKETING TIME: The larger parcel would likely find a buyer within a 3 to 6 month time period in its as is conditions. The subject property would not likely find a buyer in the current market if it were segregated into a separate legal lot due to the dimensions of the property. However, this is probably moot, as it is not likely that a subdivision of the site would be approved given that it would remove the frontage from the remainder parcel, and it would be too narrow for usual and typical uses as allowed under the zoning. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 26 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants VALUATION OF PROPERTY 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 27 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants VALUATION_ METHODS, APPROACHES TO VALUE The Appraisal Process is based on a dynamic problem -solving model consisting of a series of interrelated procedures with the common objective of formulating a reliable estimate of value. In the present analysis, the value to be estimated is Market Value as previously defined. This is value in exchange subject to the interplay of supply and demand together with other pertinent open market factors. Because Market Value reflects the reactions of typical buyers and sellers in the marketplace, it is the primary concern of most real estate appraisals. The first procedures in the appraisal process include defining the problem at hand, establishing an appraisal plan and collecting and analyzing appropriate data relating to the general area, subject property and comparable properties to establish the economic setting and competitive framework for the property under appraisal. Analysis of these factors leads to that of highest and best use and finally to the usual application of three approaches to value. These are the Cost, Sales Comparison and Income Approaches. In this instance, an additional consideration is required. As above stated, the subject property has a value as a part of a larger parcel. If it were legally segregated from the larger parcel, the remainder would retain its worth, as it would be large enough to put to an economic use. The subject, however, would likely have no economic use due to its size and dimensions. Given that it contributes to the value of the larger parcel (regarding land contribution); has the same prospective use as the larger parcel, would contribute to the enlargement of the remodeled/enlarged improvement on the larger parcel as currently proposed, it has a prorate value as compared to the land of the larger parcel. In other words, if the larger parcel is 11,326 SF, and the subject parcel is 1,414 SF, 12.5% of the value of the larger parcel is resident in the subject property. Given that the existing improvement is about to undergo major renovation, it is our opinion that its current contribution is limited to shell value. This shell value will be minimal in relationship to the total value of the larger parcel. The subject, as before stated, is effectively vacant land, in any event. It is therefore our opinion that the most proper method of valuing the subject property is to estimate the value of the land only for the larger parcel, and apply the pro -rated portion of this total value to the subject property. The Cost Approach is a summation of the various agents in production that contribute to the whole property. It is the process of estimating the Replacement or Reproduction Cost, New, of the subject improvements, and deducting from the new cost the estimated total loss in value from all causes to arrive at the depreciated value. The value of the land, as estimated from analysis of comparable land sales, is added to the depreciated value of the improvements to indicate the value of the whole property. The Cost Approach is based largely on the Principle of Substitution, which asserts that when items of equal utility are available in an open market, the one with the lowest price will attract the greatest demand. Since the value of a replaceable property tends to be 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 28 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants to be indicated by the value of an equally desirable substitute property, the cost of producing such a substitute through new construction often reflects the upper limit of value. We have elected to value the larger parcel as if vacant, as this is the effective condition of the subject property. There are no substantial improvements on the subject property. As a result, the cost approach is rendered as being without merit. The Sales Comparison Approach is the process of comparing sales of similar properties to the subject. When the sales have dissimilar attributes, these differences must be analyzed and adjusted in order to equate them with the subject property. As with the Cost Approach, this approach is based largely on the Principle of Substitution which here implies that a typical prudent purchaser will not pay more for a property than it would cost to buy a comparable substitute property. Because this approach is a direct reflection of the attitudes and behavior of typical buyers and sellers, it is a primary application of the theory of value in exchange. The reliability of this and other approaches depends largely on the availability of adequate comparative data. We will identify the best market sales as to comparability to the larger parcel, and estimate the larger parcel's value based upon the results. This is the only method we will apply to the larger parcel, and therefore to the subject property. A search was done for instructive sales in the surrounding and in competing nearby areas. We found an adequate number of such sales, although some required that we extract the contribution value of the land from whole property sales. Acceptable methods for extraction of land value were utilized. The selected were considered to be the most comparable to the subject lots and are located in near proximity to the subject. The Income Approach is not applicable in this appraisal process due to the fact that the larger parcel is being evaluated as if vacant land — which is the effective condition of the subject property. Unless there is a land lease (which there is not) or land leases are a common element in the near proximate market area (which 'they are not) the use of the income approach is not indicated and therefore will not be used. The Direct Sales Comparison Approach to lot value will be the relied upon in the present analysis. In cases such as this, it is the best method available. The following pages contain specific data on sales discovered to have occurred that will provide guidance as to the value of the larger parcel, and therefore the subject property. Following these pages there is discussion as to the conclusions that can be reached from this information. NOTE ON CASH EQUIVALENCY: This appraisal estimates the cash equivalent value of the subject property. This requires that all comparables utilized must be cash transactions or adjusted to "cash" if a typical seller financing was involved. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 29 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants COMPARABLE SALES METHOD OF VALUATION: When an appraisal assignment is undertaken, particularly when the subject property is primarily land, the appraiser must, during the course of developing the comparable sales, make a decision as to which of the possible units of value is most applicable in the particular assignment. Among the various important units of value are price per square foot; price per acre; price per building unit; price per waterfront or street front foot; and price per net usable square foot. While there are still other possible considerations, these are the most usual. In this instance, the clear unit of value is the value per building lot. This directly reflects the utility of the land, as in the current marketplace building lots are highly sought after. Moreover, lot sizes do not have a significant impact on value. While it is true that large lots command a premium over small lots, it is only nominal and by no means based directly upon the lot size. The larger parcel, and therefore the subject land is being appraised on the basis of the determination that the highest and best use is for a mixed use retail/office/condominium building. This approach is consistent with the concluded opinion of highest and best use set forth in the previous segment of this report. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 30 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Sale Comparable 1: Address Sunset Avenue Building size gross vacant Sale date 02/20/07 Building age vacant Buyer Irene Holro d Bldg Price/SF unad'usted vacant Seller Don. H. Drew, et al Land Price/SF unad'usted $1,770,000 Sales price $1,770,000 Access Sunset Ave Land area, SF 12,220 SF Zoning RS-6, Edmonds Topography Slopes down East to West Floor area ratio FAR vacant Bldg Quality vacant Street Appeal good Information source: CBA, County Assessor, Metroscan, Thelma Knight Comments- parcel # 00434401300300 Parcel is vacant lot with utilities present in street. Site has unobstructed view of the sound with good street frontage, just North of the Kingston ferry dock and downtown corridor. West borders on active railroad tracks with associated noise factor. Listing agent confirms arm's length transaction and that buyer intends to develop six townhomes on parcel. Adjustments: time/market, (+5%) view, (-10%) zoning +10% The adjusted value indication for the comp property is $1,858,500, or $152.09/SF. 001]i101]0064V OM3N01100500 0.VNg1.1'1tt0i ]1012]00103BW 0041M01100J01 oc11ao1zoozoo 9 0099102]I]8000 OO/Nalf);^,bT 0= ]/031]00105300 iulau1v1757170� 4Q vW]i:1L:3: RVNwlsalm ]101]100IDH OM11101300101 p(•,;r.,"��-r ON.101]00101 0434401101100 Plat of Sale Property f � I ,a. T•i Y '•. 5..4 y 1. �} •1�i��y. 4. � � ,F } h 1 Photo of Sale Property 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 31 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Sale Comparable 2: Address 233 3 Ave N Building size,_gross 18,000 Sale date 05/31/07 Building age 43(1964) Buyer MBR Properties LLC Land Price/SF $208.70 unadjusted Seller Robt B Harrington, et al View To Sound, territorial Sales price $3,000,000 Access 3rdAve W, Edmonds St. Land area, SF 14,375 SF Zonin RM-15, Edmonds Topography Mostly level Floor area ratio FAR 1.252 Bldg Quaff Average - quality cost Street Appeal average Information source: Costar, County Assessor, Metroscan Comments- parcel # 00434400800500 Comp is an average cost quality construction class D apartment building stacked on a large garage. Site has a comparable location and view potential to subject. Reported plans are to convert to condos. Using Marshall Valuation Service for cost assignment and depreciation, it is determined that the improvements contribute $756,000 to the property, making the land contribution to the sale $2,244,000. Adjustments: time/market (+2.5%). No adjustment for zoning as it is medium high density residential The adjusted land value indication for the comp property is $2,300,100, or $160.00/SF. Plat of Sale Property Photo of Sale Property 650 S Oreas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 32 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Sale Comparable 3: Address 505 Edmonds St Building size, gross 6,375 Sale date 10/06/05 Building age 30 1977 Buyer Erling Julius Olsen Bypass Land Price/SF $272.04 Trust unadjusted Seller DeSantis Family LLC _ View Territorial, to Sound Sales price $1,185,000 Access Edmonds St., Sprague Land area, SF 4,356 SF Zoning RM-15, Edmonds Topography Mostly level Floor area ratio FAR 1.463 Bldg Quality Average/ good - quality cost) Street Appeal good Information source: CoStar, Count Assessor, Metroscan, Jeff Menda Comments- parcel # 00434202400300 Comp is a average/good - cost quality construction class D apartment building stacked on two garages. Site has a comparable location and view potential to subject. Buyer's agent would not adequately confirm conditions of sale. Using Marshall Valuation Service for cost assignment and depreciation, it is determined that the improvements contribute $365,378 to the sale value, making the unadjusted land value $819,622. Adjustments: time/market (+18%). The adjusted land value indication for the comp property is $967,154, or $222.03/SF. 1 e h Plat of Sale Property Photo of Sale Property 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 in Page 33 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Sale Comparable 4: Address 545 & 547 Main St Building size, gross 09/22/06 Building age 3,223 56 (1951) $135.45 Sale date Buyer Bryan & Cheryl Stewart Land Price/SF unadjusted Seller j Wm. & Jan Teal View Territorial Sales price $885,000 Access Main St Land area, SF 6,534 SF BC, Edmonds Topography Mostly level -Zoning Floor area ratio FAR 0.493 Bldg Quali Average - quaRy cost Street AppeaI Average Information source: CBA, County Assessor, Metroscan, Donna Lambourn Comments- parcel # 00434202101900, 00434202101800 Comp is two average - cost quality construction class D retail/office buildings with three dedicated parking spaces. One building has 1820 SF, the other 1403 SF, and both are comparable in style and quality. The larger building is currently occupied and the smaller is for lease. Site has a comparable location and view potential to subject. Buyer's agent verified arm's length transaction with no sales concessions. Using Marshall Valuation Service for cost assignment and depreciation, it is determined that the improvements contribute $92,196 to the property, making the unadjusted land value $792,804. Adjustments: time/market (+15%). The adjusted land value indication for the comp property is $911,725, or $139.53 /SF. a Plat of Sale Property Photo of Sale Property 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 34 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Sale Comparable 5: Address 523 Main St Building size, gross 2,412 Sale date 06/30/06 Building age 59 1948 Buyer 523 Main LLC Land Price/SF $166.67 unadjusted Seller Vera Allbery Estate View Territorial, Sound Sales price $500,000 Access Main St Land area, SF 3,000 SF Zoning BC, Edmonds Topography Mostly level Floor area ratio FAR 0.804 Bldg Quality Average - quality cost Street Appeal Average Information source: NWMLS, County Assessor, Metroscan, Mel Steinke Comments- parcel # 00434202102800 Comp is an average - cost quality construction class C retail building with four dedicated parking spaces. The property is currently unoccupied and in fair general condition. Site has a comparable location and view potential to subject. Buyer's agent verified arm's length transaction with no sales concessions. Using Marshall Valuation Service for cost assignment and depreciation, it is determined that the improvements contribute $69,843 to the property, making the unadjusted land value $430,157. Adjustments: time/market (+16%) smaller size — 8% The adjusted land value indication for the comma property is $459,064, or $153.02/SF. -- Plat of Sale Property Photo of Sale Property 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 35 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants Sale Comparable 6: Address 222 Dayton St Building size, gross 4,082 Sale date 02/06/07 Building age 17 1990 Buyer Richard & Joan Bennett Land Price/SF $250.80 i unadjusted View Territorial, Sound Seller Loretta Lind Trust Sales price $1,092,500 Access Da on St Land area, SF 4,356 SF Zoning Floor area ratio FAR Street Appeal RM-15, Edmonds 0.937 Good Topography Slight slope Bldg Quality Average/good - quality cost Information source: Costar, County Assessor, Metroscan, Dick Bennett Comments- parcel # 27032300409300 Comp is an average/good - cost quality construction class D multi -residence building stacked on a carport. There are three apartment rental units. Site has a comparable location and view potential to subject. Buyer verified arm's length transaction with no sales concessions. Using Marshall Valuation Service for cost assignment and depreciation, it is determined that the improvements contribute $323,197 to the property, making the unadjusted land value $686,053. Adjustments: time/market (+7%). Lot size -4% The adjusted land value indication for the comp property is $704,714, or $161.78/SF. rAnr_-; Plat of Sale Property Photo of Sale Property 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 36 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants COMPARABLE SALES LOCATION MAP uNTAIN-LN CA Comparable Property #1 ,r i _=W CAs Sunset Ave y Comparable Property C 233 3rd Ave N�— I l= •GLE r SR 104 4, 5 Y -----. Comparable Property k3 52 Puget Sound Ch 505 Edmonds St Comparable Property#5 SPRk%1: SPRA.GUE 523 Main St f Comparable Property#4 Bc dMand 545 & 547 Maur St " AY.-TOR" DAYT ON-. ¢ 3 c, Ay Comparable Property #6 ; ALDEa_i Y Subject Property f 1 222 Dayton St, I _:: WALNl1T-�—� kLNTJT- C-E �i p 1� — jfj"j v H01t ELL G j l i 1 7m M LAND cn S UCE — x xy HOME I T 95 HEtuit QCK' � LAURE f0 HEMLOCKWWAY LAUREL tY of�'� _ — __ _ 214TWP�- .6 LAUREL 215TH S, � _• � to �i �215TH P ITS 10:. m m 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 37 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants FINAL OPINION OF VALUE: We looked at all of the sales properties that are cited herein. The characteristics of the lots were considered. Only one of the sales was for a vacant parcel and that is sale 1. It has the "lowest" zoning of the group, but also has the best Sound view. After adjustments for the factors listed above, a value indication from this sale was estimated to be $152.09 per SF of land. Sale 2 is considered as being an adequate comparable sale. The zoning is different from the subject, but it allows for a relatively high use. The value indication from this sale is estimated at $160.00/SF of land. Sale 3 is given a reduced weight in our considerations because none of the parties to the transaction was forthright in their confirmations of the sale. Basic data, however, such as sales price and sale date are accurate. This sale extracted the land value estimate out at $222/SF of land, which is well above the other sales. This, too, is zoned differently from the subject, but has a similar density use Sale 4 is very proximate to the subject, and shares zoning designation. It is improved, and required a land extraction. However, the improvements are nominal and the site is under improved. The extracted value, as adjusted, is indicated at $139.53/SF of land. Sale 5 is very proximate to the subject, and shares zoning designation. It is improved, and required a land extraction. However, the improvement is old and provides only nominal contribution value. The site is under improved. The extracted value, as adjusted, is indicated at $153.02/SF of land. Sale 6 also required extraction. The zoning is different, but is a higher density zoning, as well. After extraction of land contribution to value, and adjustments thereto as deemed appropriate, the value indication from this sale is $151.78 per SF of land. If sale 3 is excluded, the remaining sales fall within the fairly narrow range of $139.53 per SF to $160.00 per SF. The mean of these 5 sales is $153.28 per SF, and the median is $153.02. When sale 3 is included, the mean runs up to about $165.00/SF. The two sales with the same zoning designation were sales 4 and 5, which show adjusted land values at $139.53 and $153.02, respectively. The downtown Edmonds area is mature, and very few vacant lots that are desirable remain unused. As a result, it is not surprising that few vacant land sales were discovered to have occurred in the past 1 to 2 years. Older sales were deemed to not be useful due to the substantial inflation of land values in the area. However, we are confident in our extraction techniques, and the two sales of like zoning have minimal buildings, so those extractions have a high level of credibility. Lastly, we were quite reluctant to leave the Edmonds core in search of comparable sales. The ambiance of Edmonds together with the water view potentials are not easily duplicated in competing areas. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 38 LAMB HANSON LAMB APPRAISAL ASSOCIATES, INC. Professional Real Estate Appraisers and Consultants As a result, we have concluded that we discovered the best comparable sales available, and have reasonably extracted land values from those sales that were improved properties. We conclude with the opinion that the larger parcel reasonably exhibits a value of $153.00 per SF of land. Given that the subject property has been postulated to have and equal value as a part of the larger parcel, the same value of $153.00 per SF of land is ascribed to it, as well. With our best estimate of 2,574 SF of land, this would bring a value to the subject property of $393,822, and given the features located thereon, is rounded up to: Three Hundred and Ninety -Five Thousand Dollars $395,000 Again, it is emphasized that we used best efforts to estimate the size of the subject property. If the actual size, after surveying, proves to be greater or smaller in size, the factor of $153/SF can be applied to the difference, and the price adjusted either up or down as appropriate. 650 S Orcas Street, Suite 114 Seattle, WA 98108 206-903-1500 Fax 206 903 0648 Page 39 November 19, 2007 To: Gary Haakenson From: Bob Gregg Re: Old Milltown Courtyard The City Council has expressed an interest in the City of Edmonds acquiring the open space at Old Milltown along 5th Avenue South. The City has had an appraisal of the property conducted. I have not seen the appraisal, but I was told the value was $154 per sf. I have met with Scott Snyder regarding this potential transaction and would be willing to sell the majority of the open space to the City subject to the following details: 1. Description: The Property will be approximately 100 x 22 feet or 2,200 sf made up of the open space in front of the retail shops on the "boardwalk" running north/south from the south property line on Maple north 100 feet. This will leave a seating area for a potential restaurant that is approximately the remaining 25 feet south of the main Old Milltown building. Price: Appraised value; 2,200 x $154 = $338,800.00 2. The property will be subject to an easement for a grease interceptor which will be located underground on a portion of the Property including rights to access the grease interceptor for periodic cleaning and maintenance. 3. An agreement to utilize the Property during any future renovation of the buildings bordering the Property to the east. I would propose this be handled the same way a sidewalk disruption is handled and that the City would charge the same as they do for a sidewalk disruption permit. 4. The City will assume or delete the requirement under building permit #BLD2006-0 to modify the sidewalk corner at 5th and Maple. 5. The City will assume or delete the requirement under building permit #BLD2006-0845 to modify the sidewalk east and west of the driveway on Maple. 6. The City will establish an expedite fee and agree to expedite the building permit application for the addition of three residential condominiums to be built on the top of Old Milltown. This Phase II addition to Old Milltown was unanimously approved by the b ADB on November 7, 2007 and the building permit application will be submitted shortly. NWhen determining the fee, which we will pay directly to the City and/or to third parties as directed by the City, please take into consideration that we are requesting a 3 week turn around for initial comments and a 3 week turn around for review of our responses to comments. We propose that at least 2 face-to-face meetings be utilized to expedite the review process and that red lined changes be allowed where reasonable. 7. We understand that the City does not wish to purchase the recently constructed bathrooms adjacent to the Property, but Scott Snyder suggested that he draft a use Agreement for the public to use the bathrooms. Similar to the agreement with Bank of Washington for the public to use their parking lot, the City will provide an indemnity agreement and clean and maintain the bathrooms. Gary, Scott Snyder suggested I handle the next item outside this Agreement. That is, currently our building permit calls for 4 x 4 tree grates in the sidewalk. Just as at The Gregory, this does not make sense for the following reasons: ■ The Cities' new street tree plan calls for smaller trees which we will be planting. • The existing grates are already 3 x 3 and have been for many years. • 4 x 4 grates just take up that much more sidewalk 4 x 4 grates move the trees 6 inches toward the buildings which conflicts with the awnings and with sidewalk seating for the restaurants. I don't think engineering really cares; they just will enforce whatever the plans say. I would like the existing 3 x 3 tree grates to be approved for re -use. I assume the next step is for the council to approve the purchase and then Scott Snyder and Gary Krohn can finalize the documentation. Washington for the public to use their parking lot, the City will provide an indemnity agreement and clean and maintain the bathrooms. Gary, Scott Snyder suggested I handle the next item outside this Agreement. That is, currently our building permit calls for 4 x 4 tree grates in the sidewalk. Just as at The Gregory, this does not make sense for the following reasons: ■ The Cities' new street tree plan calls for smaller trees which we will be planting. • The existing grates are already 3 x 3 and have been for many years. ■ 4 x 4 grates just take up that much more sidewalk • 4 x 4 grates move the trees 6 inches toward the buildings which conflicts with the awnings and with sidewalk seating for the restaurants. I don't think engineering really cares; they just will enforce whatever the plans say. I would like the existing 3 x 3 tree grates to be approved for re -use. I assume the next step is for the council to approve the purchase and then Scott Snyder and Gary Krohn can finalize the documentation. 6iDEN�PHY LAC ��.t.. t.. C. A T T O R N P. Y S A T t. A W MEMORANDUM DATE: January 28, 2008 TO: Mayor Gary Haakenson Council Member Ron Wambolt City of Edmonds City of Edmonds Council Members FROM: W. Scott Snyder, Office of the City Attorney RE: Purchase and Sale Agreement - Old Milltown Courtyard Attached is the third draft of a Purchase and Sale Agreement regarding the courtyard prepared by Mr. Gregg's attorney, Gary Krohn. It is in substantially the same form as I originally proposed. The purchase price is shown as $282,766.00. This purchase price is potentially impacted by a number of costs shifted to the City upon purchase of the property. A number of these items will cost the City additional monies, one provides a method of cost recovery. Cost Items - Issues. I. No legal description of the courtyard currently exists. The Purchase and Sale Agreement places the burden on the City to survey the property (a relatively small cost) as well as to segregate the courtyard. The segregation process is one that I can work through with Planning to determine the most efficient way to develop a separate parcel. 2. The utility easement for the grease trap remains unlocated. (See paragraph 5 A) 3. The general construction easement (for a crane) is in favor of both of the adjacent Old Milltown parcels. It retains the twelve-month limitation placed in the original offer. The City is permitted under the terms of the Agreement to charge normal and customary sidewalk disruption fees for use of the courtyard as a way of recouping some of the City's costs. Paragraph 5 B needs to have the language "in its regulatory capacity" added. I will address this issue with Mr. Krohn. A Member of the International Lawyers Network with independent member low Firms worldwide 1601 Fifth Avenue, Suite 2100 • Seattle, WA 98101-1686 • 206.447.7000 • Fax: 206.447.0215 - Web; www.omwlaw.com I WSS685432.DOC;1/00006.900000/1 Mayor Gary Haakenson Council Member Ron Wambolt January 28, 2008 Page 2 4. The final addition/cost issue (and one which the Mayor indicates is unacceptable) is an obligation of the City in paragraph 6 to "repair and maintain" the restrooms to food service standards in consideration for the public's use. The current proposed obligation is open-ended and has no termination provision. It does not anticipate the many changes in use which could occur over the next decades and is unacceptable in its current format. Make that unacceptable in any format. Environmental Issues. The Agreement contains a warranty in paragraph I I F that "to the bests of Seller's knowledge" the property is not in violation of any law nor are there hazardous waste or other substances on the property, including asbestos, PCBs or underground storage tanks. Note this warranty is limited to the Seller's knowledge. In addition, the City has the right to inspect, test and, if the results are not adequate, walk away under paragraph 9 A. Please note that this inspection period is set at 90 days, so that if the City desires to use a consultant to conduct test borings or other testing, it should have a consultant lined up prior to executing the Purchase and Sale Agreement. After speaking with the Mayor about the process, it is my understanding that you will respond directly to Mr. Gregg. I will advise Gary Krohn that: We need to work on paragraph 5 B regarding sidewalk disruption fees; 2. I would like to reach some understanding regarding the potential size of the utility easement; and 3. While the Mayor will be negotiating the terms with Mr. Gregg, it is my understanding that the City will not assume restroom maintenance obligations. WSS:gjz Attachment { WSS685432.DOC;1/00006.900000/} REAL ESTATE PURCHASE AND SALE AGREEMENT [DRAFT 31 This Real Estate Purchase and Sale Agreement ("Agreement") is dated, for reference purposes only, January 23, 2008. This Agreement is by and between Gregg Production Associates, a Washington corporation ("Seller"), and the City of Edmonds, a municipal corporation of the State of Washington ("Buyer" or "City"), with references to the following facts: Whereas, the Seller is the owner of certain real property located in Snohomish County, Washington commonly referred to as "Old Milltown." Part of that property includes a strip of land known as "the Courtyard" that the City wishes to acquire. Now, therefore, in consideration of the terms and conditions of this Agreement, and the mutual covenants herein contained, Buyer and Seller hereby agree as follows: 1. Agreement to Buy and Sell. The Seller agrees to sell, and the Buyer agrees to purchase, the Courtyard, on the terms and conditions stated in this Agreement. 2. Purchase and Sale Price. The City shall pay the Seller Two Hundred Eighty -Two Thousand Seven Hundred Sixty Six and no/100 dollars ($282,766.00) (the "Purchase Price") for the Courtyard and the other rights specified in this Agreement. 3. Description of Properties. The entire parcel presently owed by the Seller is described on Exhibit A. The Courtyard is approximately 2,200 in total square feet, about 22' wide and 100' long, running north and south from Maple Street north. The Courtyard is depicted in Exhibit B. The Courtyard is not yet a separate tax parcel but, as explained below, the parties will cooperate in segregating it from the Seller's property. The restrooms located on the Seller's property are also part of the terms and conditions of this Agreement, and they are depicted on Exhibit C. 4. Segregation of The Courtyard. The parties agree to cooperate in having the Courtyard segregated from the Seller's property and designated as a separate tax parcel. The City will bear all costs and expenses of doing so, including, but not limited to, having a survey of the Courtyard performed and creating its new legal description. S. Reservation of Easements by Seller. The Seller reserves certain rights and easements to the Courtyard parcel, primarily for the eventual redevelopment of the remaining portion of Old Milltown. These easements shall "run with the land" and bind not only the parties, but also their successor and assigns. The easements shall be exceptions to the deed given by the Seller to the City, and shall not be considered a defect in title. The Seller reserves the following rights in and to the Courtyard: a. Utility Easement. The Seller reserves a utility easement on, over, and below that portion of the Courtyard depicted on Exhibit D. The exact location or description of this easement shall be defined by the parties as part of the process of having the Courtyard segregated from the remaining property. The utility easement REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 1 of 16 Seller: Buyer shall be for the installation, maintenance, repair, construction, and reconstruction of a grease interceptor line for use by and in conjunction with the Seller's property described on Exhibit A and the Seller's adjacent property described on Exhibit E. The Seller shall have the right, at the Seller's own expense, to construct, repair, maintain, and reconstruct utilities, including a grease interceptor line. Any utilization of the easement shall be limited to thirty (30) days in any calendar year, and the restoration should occur within the thirty (30) day period immediately following said utilization. The Seller shall restore the surface and subsurface area, together with any fixtures, structures, or improvements to its original condition following utilization of this Utility Easement or pay the City's cost of such restoration. b. General Construction Easement. The Seller also reserves a one-time, temporary construction easement over the Courtyard, of up to twelve (12) months in duration, for the erection and maintenance of a crane and other construction equipment, or the staging of construction materials and supplies, during construction activities on the Seller's adjacent property. This 12-month construction easement shall commence upon a date set by the mutual agreement of the parties, agreement not to be unreasonably withheld. This easement shall expire if not utilized by January 1, 2013, Within 30 days of the conclusion of the use of the construction easement, the Seller shall fully restore the Courtyard to its condition just prior to utilization of the easement or pay the City's costs of such restoration. If the City imposes any charges any fees during such construction for use of the Courtyard, then only those fees that would be usual and customary for a "sidewalk disruption permit" will be imposed on the Seller. 6. Restroom Use and Maintenance Covenant. In addition to selling the Courtyard to the City, the Seller will allow the general public to use the newly constructed restrooms at the Boardwalk, which are located on Exhibit C. The City will repair and maintain the restrooms, at the City's cost and expense. The City will repair and maintain the restroom to at least that level which would otherwise be required for restrooms servicing food service establishments, including those at Old Milltown. The City will also indemnify and hold the Seller harmless from any personal injury, harm, or damage arising from the use or occupancy of the restrooms. The parties will execute a more detailed indemnification and hold harmless agreement prior to Closing. If the restrooms are damaged or destroyed to the extent that they cannot be used, then the SELLER/BUYER ?? shall pay for the cost and expense of reconstruction. 7. Title to be Conveyed to City. The Seller shall convey to Buyer good and marketable title to the Courtyard, except for the easements reserved in this Agreement and other easements which may presently exist of record, which title shall including the land, together with all easements, appurtenances, rights, privileges, reversionary rights and improvements thereunto belonging or appurtenant to the Courtyard. In this regard, the following terms and conditions shall apply: (a) Conveyance Deed. On the Closing Date, Seller shall convey to Buyer fee simple title to the Property by a duly executed and acknowledged Statutory Warranty Deed (the "Deed"), in substantially the form attached to this Agreement as Exhibit D, free and clear of all defects and encumbrances and subject only to the easement REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 2 of 16 Seller: Buyer: reserved by the Seller and those exceptions that Buyer approves pursuant to Section 4(b) below (the "Permitted Exceptions"). (b) Preliminary Title Commitment. The Buyer shall order a preliminary commitment for an owner's standard coverage policy of title insurance in the amount of the Purchase Price to be issued by Title Company and accompanied by copies of all documents referred to in the commitment (the "Preliminary Commitment"). Buyer shall advise Seller by written notice what exceptions to title, if any, are objected to by Buyer ("Objections") within ten (10) days following the Effective Date or following the receipt of the Preliminary Commitment, whichever date is later, but in no event later than the Closing Date, If Buyer fails to give notice before the expiration of the ten (10) day period, or by the Closing Date, whichever is earlier, Buyer will be deemed to have approved the title exceptions identified in the Preliminary Commitment and all such exceptions shall be Permitted Exceptions. No later than seven (7) days after receipt of Buyer's notice, Seller may give Buyer notice that (i) Seller will remove Objections or (ii) Seller elects not to remove Objections. If Seller fails to give Buyer such notice, Seller will be deemed to have given Buyer notice as of the seventh (7th) day after receipt of Buyer's notice, or the Closing Date, whichever is earlier, that Seller elected not to remove any of the Objections. Notwithstanding the foregoing, Seller will be required to remove any monetary liens, monetary assessments or monetary encumbrances affecting the Property prior to or as of the Closing Date. Immediately upon discovering the need to amend or add any exception to the Title Commitment, Escrow Agent shall notify Buyer and Seller. Within ten (10) business days after notice from Escrow Agent together with a copy of such intervening lien or matter, but in no event later than the Closing Date, Buyer shall notify Seller in writing of any objections thereto (the "Amendment Objections"). No later than seven (7) days after receipt of Buyer's notice, Seller may give Buyer notice that (i) Seller will remove Amendment Objections or (ii) Seller elects not to remove Amendment Objections. If Seller fails to give Buyer such notice, Seller will be deemed to have given Buyer notice as of the seventh (7th) day after receipt of Buyer's notice, or the Closing Date, whichever is earlier, that Seller elected not to remove any of the Amendment Objections. (c) Title Objections. If Seller elects not to remove any non -monetary Objections or Amendment Objections, Buyer will have five (5) days from receipt of Seller's notice, but in no event later than the Closing Date, to notify Seller of Buyer's election either to proceed with the purchase and take the Property subject to those exceptions, in which case the Objections and Amendment Objections shall be deemed Permitted Exceptions, or to terminate this Agreement. If Seller gives notice that it will cause one or more non -monetary Objections or Amendment Objections to be removed but fails to remove any of them from title on or before the Closing Date, Buyer may either (i) elect to terminate this Agreement by written notice to Seller, or (ii) proceed with the purchase and take the Property subject to those exceptions, which shall be deemed Permitted Exceptions. If Buyer elects to terminate this Agreement under this Section 4(c), the escrow will be terminated, all documents and funds, including the earnest money note, will be returned to the party who deposited them, and neither party will have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. If this Agreement is REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 3 of 16 Seller: Buyer: terminated due to non -removal of an Objection or Amendment Objection after Seller has agreed to remove it, then Seller will pay any costs of terminating the escrow and any cancellation fee for the Preliminary Commitment. (d) Title Policy. Buyer shall receive at Closing, at Seller's expense, an Owner's Standard Coverage Title Insurance Policy (ALTA Form 1970 with 1984 revisions) with such endorsements as Buyer may request, issued by the Title Company to be furnished to Buyer ("Title Policy"). The Title Policy shall be issued in the amount of the total Purchase Price and shall insure fee simple title to the Property in Buyer, subject only to the Permitted Exceptions. Buyer's obligation to close this transaction shall be contingent on Buyer's receipt of such Title Policy. If Buyer so elects, Buyer may purchase extended coverage with the additional portion of the premium for extended coverage to be paid by Buyer. 8. Earnest Money Deposit. Upon the execution of this Agreement (the "Effective Date"), Buyer shall deposit with Chicago Title in Edmonds, Washington (the "Escrow Agent" or "Title Company") the amount of Twenty Eight Thousand and no/100 Dollars ($28,000.00) as an earnest money deposit (the "Earnest Money"). The earnest money deposit shall be payable to the Seller only if the Buyer defaults under this Agreement. On the Closing Date, Buyer shall deposit with Escrow Agent the entire amount of the Purchase Price in cash, as adjusted for any amounts to be charged or credited against the Purchase Price in accordance with this Agreement. 9. General Contingencies and Obligations. The purchase and sale obligations of the parties is subject to the following general conditions and contingencies: (a) Investigation of the Property. Seller shall provide or make available to Buyer for inspection and copying to the extent available or within Seller's possession or control all documents and information pertaining to the Property, including, but not limited to, all soils reports and environmental studies, any existing surveys, architectural drawings or renderings, plans and specifications with respect to the Property except appraisals not performed in support of this transaction and other documents not available for public disclosure. Buyer and its employees and agents shall have the right from the date of this Agreement through Closing Date (or earlier termination of this Agreement) to enter upon the Property or any part thereof at reasonable times and from time to time upon providing two business days advance notice to the County and receiving the County's approval, which shall not be unreasonably, withheld, conditioned or delayed, for the purpose, at Buyer's cost and expense, for making all soil and other tests or studies under the provisions of this Agreement. If the County does not respond to the Buyer within the two -business -day period stated above, the County shall be deemed to have approved Buyer's entry upon the Property; provided, however, Buyer shall indemnify and hold harmless Seller from and against any mechanic's or other liens or claims that may be filed or asserted against the Property or Seller by any actions taken by Buyer in connection with the Property. Buyer's obligation to purchase the Property shall be subject to and contingent upon Buyer's inspection and approval, in its sole and absolute discretion, of the physical condition of the Property ("Property Inspection"), including, without limitation, the conducting of soil tests (including borings), toxic and hazardous waste REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 4 of 16 Seller: Buyer: studies, surveys, engineering, historical use, traffic and access studies, structural studies and review of zoning, SERA requests, fire, safety and other compliance matters. Buyer shall correct any damage to the Property caused by the Property Inspection and shall return the Property to its condition prior to the Property Inspection. (b) Due Diligence Period. As used herein, the term "Due Diligence Period" means the period ending on the earlier of (i) the date that is ninety (90) days from execution of this Agreement by both parties; or (ii) the date that is five (5) days after Seller's receipt of Buyer's written notice to terminate the Due Diligence Period prior to the end of the ninety (90) day period. (c) Buyer's Right to Terminate. If the conditions set forth in this Section are not satisfied in Buyer's sole and absolute discretion, Buyer shall have the right, prior to the expiration of the Due Diligence Period, to terminate its rights and obligations under this Agreement by sending written notice to Seller (such notice referred to as a "Termination Notice"), and the Earnest Money Note shall be returned to Buyer, and Buyer and Seller shall have no further rights or obligations under this Agreement except as otherwise provided in this Agreement. (e) Representations and Warranties are True. Buyer's obligation to purchase the Property shall be subject to the following conditions which must be satisfied by Seller as of Closing unless waived by Buyer at Closing: (i) All representations and warranties of Seller contained herein shall be true, accurate and complete at the time of the Closing as if made again at such time; (ii) Seller shall have performed all obligations to be performed by it hereunder on or before Closing (or, if earlier, on or before the date set forth in this Agreement for such performance); (iii) At Closing, Seller shall deliver title to the Property in the condition required by Section 4 of this Agreement; (iv) At Closing, the physical condition of the Property shall be the same as on the date hereof, except as changed by Buyer's due diligence activities and damage resulting from the weather or other acts of God. If the conditions set forth in this subsection are not satisfied as of Closing and Buyer does not waive same, Buyer is entitled to return of the Earnest Money, and neither Buyer nor Seller shall have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. (f) Modification of Sidewalks/Curbeuts. The Buyer will assume or delete the requirements under building permit #BLD2006-0845 for modification, by the Buyer, of the sidewalk or curb cuts at (i) the corner of 5`1' Avenue and Maple Street, Edmonds, and (ii) east and west of the driveway on Maple Street. 11. Seller's Representations and Warranties. Seller hereby makes the following representations and warranties, which representations and warranties shall be deemed made by Seller to Buyer also as of the Closing Date: (a) Parties in Possession. There are no parties or trespassers in possession or which have a right to possession of all or any portion of the Property, and there are no leases, licenses, or encroachments affecting the Property, except those that can and will be eliminated at the time of Closing; (b) Foreign Person. Seller is not a foreign person and is a "United States Person" as such term is defined in Section 7701(a)(30) of the Internal Revenue Code of 1986, REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 5 of 16 Seller: Buyer: as amended (the "Code") and shall deliver to Buyer prior to the Closing an affidavit evidencing such fact and such other documents as may be required under the Code; (c) Option to Acquire Premises. No person or entity has any right of first refusal or option to acquire any interest in the Property or any part thereof, and Seller has not sold or contracted to sell the Property or any portion thereof or interest therein other than as set forth herein; (d) Sole Legal Owner. Seller is the sole legal fee owner of the Property, and is not holding fee title as a nominee for any other person or entity; (e) Taxes. There are no governmental taxes, fees or other impositions on the Property, other than those that may be fully paid or satisfied at time of Closing; (f) Hazardous Substances. To the best of Seller's knowledge, the Property is not in violation of any law, ordinance, rule or regulation relating to the environmental conditions thereon. Moreover, to the best of Seller's knowledge, there is no hazardous waste or other substance, including but not limited to those that would be a hazardous waste, material or substance, toxic substance, gas or pollutant, as defined under the federal Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended, 42 U.S.C. Section 9601 et. seq., the Washington Model Toxics Control Act, RCW Ch. 70.105D, RCW Ch. 70.95, and the regulations promulgated thereunder or under any applicable local or state environmental ordinance, statute, law, rule or regulation ("Hazardous Substances"), on or about the Property or on any parcels of land which abut the Property, except as disclosed in Exhibit D and the reports and other documents referenced therein, which shall be provided to the Buyer upon execution of this Agreement. Further, to the best of Seller's knowledge: (i) there has been no release, spill, leak, discharge, emission, leak or disposal, (ii) there are no substances or conditions, in or on the Property or any other parcels of land which may affect the Property or use thereof which may support a claim or cause of action under any federal, state or local environmental statute, regulation, ordinance or other environmental regulatory requirements and (iii) there is no asbestos, PCBs or underground storage tanks located on the Property or which have been removed there from, except as disclosed in Exhibit F and the reports and other documents referenced therein. (g) Indemnification. Seller agrees to indemnify, hold harmless and defend the Buyer, its appointed officials, officers, employees, agents and representatives, from and against any and all claims, actions, suits, liability, loss, cost, expenses and damages of any nature whatsoever, including costs and attorneys' fees, which are caused by or arise out of (i) the existence of Hazardous Substances on the Property or the migration of Hazardous Substances originally released or deposited on the Property onto other parcels of land; (ii) the Seller's failure or insufficient compliance with any federal, state or local laws applicable to Hazardous Substances; or (iii) any claim, in law or equity, brought by any third party or the Seller's own officials, officers, employees, agents or representatives alleging any cause of action relating to the existence of Hazardous Substances on the Property or any migration of Hazardous Substances originally released or deposited on the Property onto other parcels of land, and, with respect to (i), (ii) and (iii), that existed, or in the case of migration commenced due to a condition that existed, as of or prior to the Closing Date and did so in violation of Seller's representations set forth in this Agreement. REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 6 of 16 Seller: Buyer: 8. Closing. The following terms and conditions apply to the Closing of this purchase and sale: (a) Closing Date. Within five (5) business days following the end of the Due Diligence period (the "Closing Date"), the closing of the purchase of the Property (the "Closing") shall be held at the offices of the Escrow Agent. The Closing shall occur when the Deed to Buyer is recorded, the agreement pertaining to the use of the Restrooms is executed, and the Purchase Price is delivered to the Escrow Agent for delivery to Seller. (b) Items to be Delivered by Seller. For and in consideration of, and as a condition precedent to, the payment to Seller of any of the Purchase Price, Seller shall obtain and deliver to Buyer at Closing the following documents (all of which shall be duly executed and acknowledged where required): (i) Statutory Warranty Deed. A Statutory Warranty deed ("Deed") in recordable form and otherwise in form and substance reasonably acceptable to Buyer containing the legal description of the Property in such form as will convey to Buyer a good and marketable title in fee simple to the Property, free and clear of all liens, encumbrances, conditions, easements, assignments, and restrictions, except for the Permitted Exceptions; (ii) Title Documents. Such other documents, including, without limitation, lien waivers, indemnity bonds, and indemnification agreements as shall be reasonably required by the Title Company as a condition to its insuring Buyer's good and marketable fee simple title to the Property free of any exceptions, other than the Permitted Exceptions; (iii) Excise Tax Affidavit. An excise tax affidavit for filing with the Snohomish County Auditor at the time of recording Deed; (iv) FIRPTA Affidavit. The affidavit of non -foreign status described in Section 7(b) of this Agreement, as required by federal tax law; (v) Title Policy. The Title Policy referred to in Section 4(d) of this Agreement. (c) Items to be Delivered by Buyer. Buyer shall deliver the Purchase Price. (d) Payment of Costs. Seller and Buyer shall pay their own respective costs incurred with respect to this Agreement and the consummation of the purchase and sale of the Property including, without limitation, their own respective attorneys' fees. Notwithstanding the foregoing: (i) Seller shall pay the costs of a standard owner's title policy and Buyer shall pay the costs, if any, of the extended coverage of the Title Policy; (ii) Buyer shall pay the fee to record the deed; (iii) Buyer and Seller shall each pay one-half of the escrow fee; and (iv) Seller shall pay any real estate excise tax due on the transaction. (d) Real Property Taxes and Utility Charges. Seller and Buyer are both exempt from paying real property taxes and assessments and utility charges against the Property are paid in full. As a result, it will not be necessary to pro -rate taxes, assessments, or utility charges at Closing; (e) , Monetary Liens. Seller shall pay or cause to be satisfied at or prior to Closing all monetary liens created by or arising through Seller on or with respect to all or any portion of the Property, including, but not limited to, mortgages, deeds of trust, security agreements, assignments of leases, rents and/or easements, judgment liens, tax liens (other than those for taxes not yet due and payable) and financing statements. REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 7 of 16 Seller: Buyer: 9. Notices. Unless applicable law requires a different method of giving notice, any and all notices, demands or other communications required or desired to be given hereunder by any party (collectively, "notices") shall be in writing and shall be validly given or made to another party if delivered either personally or by Federal Express or other overnight delivery service of recognized standing, or if deposited in the United States mail, certified, registered, or express mail with postage prepaid. If such notice is personally delivered, it shall be conclusively deemed given at the time of such delivery. if such notice is delivered by Federal Express or other overnight delivery service of recognized standing, it shall be deemed given twenty-four (24) hours after the deposit thereof with such delivery service. If such notice is mailed as provided herein, such shall be deemed given forty-eight (48) hours after the deposit thereof in the United States mail. Each such notice shall be deemed given only if properly addressed to the party to whom such notice is to be given as follows: To Seller: Mr. Robert Gregg Gregg Production Associates, Inc. 51 West Dayton St., Suite 304 Edmonds WA 98020 With a copy to: Mr. Gary Krohn Northgate Executive Center II 9725 3rd Avenue N.E., Suite 600 Seattle WA 98115-2060 To Buyer: City of Edmonds Attn: Sandy Chase 121 5th Avenue North Edmonds, WA 98020 With a copy to: Mr. W. Scott Snyder, City Attorney Ogden Murphy Wallace P.L.L.C. 1601 Fifth Avenue, Suite 2100 Seattle, WA 98101 Any party hereto may change its address for the purpose of receiving notices as herein provided by a written notice given in the manner aforesaid to the other party hereto. 11. Event of Default. In the event of a default under this Agreement by Seller (including a breach of any representation, warranty or covenant set forth herein), Buyer shall be entitled (a) in addition to all other remedies, to seek monetary damages and specific performance of Seller's obligations hereunder; or (b) to terminate this Agreement by REAL. ESTATE PURCHASE AND SALE AGREEMENT — Page 8 of 16 Seller: Buyer: Exhibit F: Seller's Disclosure of Known Hazardous Materials REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 16 of 16 Seller: Buyer: Exhibit E: Legal Description of Seller's Adjacent Property REAL ESTATE PURCHASE AND SALE AGREEMENT - Page 15 of 16 SelIer: Buyer: written notice to Seller and Escrow Agent. In the event of a breach or default by Buyer without any default by Seller or failure of any condition to Buyer's obligations hereunder, Seller's sole and exclusive remedy shall be to recover liquidated damages fiom Buyer in the amount of the Earnest Money. The parties acknowledge that in the event of such default by Buyer, Seller will have incurred substantial but unascertainable damages and that therefore the provision herein for liquidated damages is a valid one. 14. Miscellaneous Provisions. The following miscellaneous terms and conditions apply: (a) Possession. Buyer shall be entitled to possession of the Property on Closing. (b) Survival of Representations and Warranties. All representations, warranties, covenants indemnities, and agreements of the parties contained in this Agreement, or in any instrument or other writing provided for herein, shall survive the Closing. (c) Termination. In the event of a termination of this Agreement for any reason, the escrow will be terminated, all documents and funds will be returned to the party who deposited them except as otherwise provided herein, and neither party will have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. (d) Applicable Law and Venue. This Agreement shall in all respects, be governed by the laws of the State of Washington, and any action at law or equity to enforce or interpret its terms shall be filed in the Superior Court, Snohomish County, Washington. (e) Further Assurances. Each of the parties shall execute and deliver any and all additional papers, documents and other assurances, and shall do any and all acts and things reasonably necessary in connection with the performance of its obligations hereunder, to carry out the intent of the parties hereto. (f) Modification or Amendment. No amendment, change or modification of this Agreement shall be valid, unless in writing and signed by all of the parties hereto. Assignment. This Agreement may not be assigned without the prior written content of all patties. (g) Successors and Assigns. All of the terns and provisions contained herein shall inure to the benefit of and shall be binding upon the parties hereto and their respective heirs, legal representatives, successors and assigns. (h) Entire Agreement. This Agreement constitutes the entire understanding and agreement of the parties with respect to its subject matter and any and all prior agreements, understandings or representations with respect to its subject matter are hereby canceled in their entirety and are of no further force or effect. (i) Attorneys' Fees. Should either party bring suit to enforce this Agreement, the prevailing party in such lawsuit shall be entitled to an award of its reasonable attorneys' fees and costs incurred in connection with such lawsuit. 0) Interpretation. This Agreement has been submitted to the scrutiny of all parties and their counsel, if desired, and it shall be given a fair and reasonable interpretation in accordance with its words, without consideration to or weight given to its being drafted by any party or its counsel. The captions and paragraph headings used in this Agreement are inserted for convenience of reference only and are not REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 9 of 16 Seller: Buyer: Exhibit D: General Location of Utility Easement ].ZEAL ESTATE PURCHASE AND SALE ACREEMEN'r — Page 14 of 16 Seller: Buyer: intended to define, limit or affect the interpretation or construction of any term or provision hereof. (k) Counterparts. This Agreement may be signed in counterparts and all of such counterparts when properly executed by the appropriate parties thereto together shall serve as a fully executed document, binding upon the parties. BUYER: CITY OF EDMONDS Gary Haakenson, Mayor ATTEST/AUTHENTICATED : M. Sandra S. Chase, City Clerk APPROVED AS TO FORM: W. Scott Snyder, City Attorney SELLER: GREGG PRODUCTION ASSOCIATES, INC. IM Robert Gregg, President Dated: Dated: Dated: Dated: C:MUIR7,tmv1i.wk SWingATenil-wy W—t Fik11OLKAREAL ESTAI'F. PURCIIASFACRUMFNT • ikatlMac REAL ESTATE PURCHASE AND SALE AGREEMENT — Page 10 of 16 Seller: Buyer: Exhibit C: General Location of Restrooms REAL ESTATE PURCIIASE AND SALE AGREEMENT — Page 13 of 16 Seller: Buyer: OFFER SHEET - OLD MILLTOWN PLAZA The City offers to purchase 2,200 square feet consisting of the seating and plaza area at Old Milltown on 5th Avenue South, Edmonds, Washington for $282,766.00. The Seller, Gregg Production Associates, may reserve the following easement rights: a. A subsurface utility easement for installation, maintenance, construction, and reconstruction of a grease interceptor line for use by and in conjunction with the dominant estate. The dominant estate is the property known as Old Milltown, 5th Avenue South, Edmonds, Washington. The subsurface utility easement needs to be legally described. b. A construction easement over and above the surface of the subsurface utility to repair or reconstruct the grease interceptor line. This easement, in favor of the dominant estate, must carry with it the obligation to restore the surface and subsurface area, together with any fixtures, structures, or improvements to their original condition following utilization of this construction easement or pay the City's actual cost of restoration. Any utilization of the easement shall be limited to thirty (30) days in any calendar year, and the restoration should occur within the thirty (30) day period immediately following said utilization. C. A one-time, temporary construction easement of up to six (6) months in duration for the erection and maintenance of a crane and other construction equipment on the purchased premises during construction activities on the dominant estate (to be designated). The six-month easement shall commence upon a date set by the mutual agreement of the parties, agreement not to be unreasonably withheld. This easement shall expire if not utilized by January 1, 2017. The dominant estate shall be responsible to fully restore the site to its original condition within thirty (30) days of the expiration of the easement or pay the city's costs of restoration. Attached is a Purchase and Sale Agreement with reference to the property containing sample terms. Please note that to complete our transaction the City will require a legal description of the purchase, easements, site, and the dominant estate(s). We request that it be provided by the Seller or that a City survey crew be given access to survey the site. In addition, if the construction easement for the erection of a crane is not tied to the Old Milltown property, but is in favor of another site, we will need a legal description of that property as well. { WSS680379.DOC;1 /00006.900000/1 REAL ESTATE PURCHASE AGREEMENT This REAL ESTATE PURCHASE AGREEMENT ("Agreement") is made as of this day of , 2007, by and between Gregg Production Associates, a ( "Seller"), and the City of Edmonds, a municipal corporation of the State of Washington ("Buyer" or "City"), with references to the following facts: RECITALS A. Seller is the owner of that certain real property located in Snohomish County, Washington, and legally described on Exhibit A (the "Property"). The Property contains approximately 2,200 square feet and is located on 5th Avenue South, Edmonds, Washington. B. Seller agrees, upon the terms and conditions set forth herein, to sell the Property to Buyer for TWO HUNDRED EIGHTY-TWO THOUSAND SEVEN HUNDRED SIXTY-SIX THOUSAND and 00/100 DOLLARS ($282,766.00). AGREEMENT NOW, THEREFORE, in consideration of the terms and conditions of this Agreement, and the mutual covenants herein contained, Buyer and Seller hereby agree as follows: 1. Description of The Pro ert . Seller shall sell and convey to Buyer, and Buyer shall purchase and acquire from Seller, upon and subject to the terms and conditions set forth in this Agreement, the Property, which shall include: the land, together with all easements, appurtenances, rights, privileges, reversionary rights and improvements thereunto belonging or appurtenant to the Property, except as explicitly reserved herein: a. A subsurface utility easement for installation, maintenance, construction, and reconstruction of a grease interceptor line for use by and in conjunction with the dominant estate. The dominant estate is legally described as Exhibit B and is known as Old Milltown, 5th Avenue South, Edmonds, Washington. The subsurface utility easement is legally described as Exhibit C. Exhibits B and C are incorporated by this reference as fully as if herein set forth. b. A construction easement over and above the surface of the subsurface utility to repair or reconstruct the grease interceptor line. This easement, in favor of the dominant estate, carries with it the obligation to restore the surface and subsurface area, together with any fixtures, structures, or improvements to their original condition following utilization of this construction easement or pay the City's cost of restoration. Any utilization of the easement shall be limited to thirty (30) days in any calendar year, and the restoration should occur within the thirty (30) day period immediately following said utilization. C. A one-time, temporary construction easement of up to six (6) months in duration for the erection and maintenance of a crane and other construction equipment on the W S S 679721. DOC;1 /00006.900000/} Revisions: 12/7/07 premises during construction activities on the dominant estate. Said six month easement shall commence upon a date set by the mutual agreement of the parties, agreement not to be unreasonably withheld. This easement shall expire if not utilized by January 1, 2013. The dominant estate shall be responsible to frilly restore the site to its original condition prior to utilization within thirty (30) days of the expiration of the easement or pay the city's costs of restoration. 2. Purchase Price. The purchase price to be paid by Buyer to Seller for the Property is TWO HUNDRED EIGHTY-TWO THOUSAND SEVEN HUNDRED SIXTY-SIX THOUSAND and 00/100 DOLLARS ($282,766.00) (the "Purchase Price"). Upon the execution of this Agreement (the "Effective Date"), Buyer shall deposit with Chicago Title in Edmonds, Washington (the "Escrow Agent" or "Title Com an ") the amount of TWENTY-EIGHT THOUSAND and 00/100 Dollars ($28,000.00) as an earnest money deposit (the "Earnest Money"), payable only in the event that Buyer defaults under this Agreement. On the Closing Date, Buyer shall deposit with Escrow Agent the entire amount of the Purchase Price in cash, as adjusted for any amounts to be charged or credited against the Purchase Price in accordance with this Agreement. 3. Closing Date. The Due Diligence period is defined in Section 5(b). Within five (5) business days following the end of the Due Diligence period (the "Closing Date"), the closing of the purchase of the Property (the "Closing") shall be held at the offices of the Escrow Agent. The Closing shall occur when the Deed to Buyer is recorded and the Purchase Price is delivered to the Escrow Agent for delivery to Seller. 4. Title and Survey Matters. (a) Conveyance. On the Closing Date, Seller shall convey to Buyer fee simple title to the Property by a duly executed and acknowledged Statutory Warranty Deed (the "Deed"), in substantially the form attached to this Agreement as Exhibit D, free and clear of all defects and encumbrances and subject only to those exceptions that Buyer approves pursuant to Section 4(b) below (the "Permitted Exceptions") and the easement reserved pursuant to Sections 1.1, 1.2, and 1.3. (b) PreliminM Commitment. Buyer shall order a preliminary commitment for an owner's standard coverage policy of title insurance in the amount of the Purchase Price to be issued by Title Company and accompanied by copies of all documents referred to in the commitment (the "Preliminary Commitment"). Buyer shall advise Seller by written notice what exceptions to title, if any, are objected to by Buyer ("Objections") within ten (10) days following the Effective Date or following the receipt of the Preliminary Commitment, whichever date is later, but in no event later than the Closing Date. If Buyer fails to give notice before the expiration of the ten (10) day period, or by the Closing Date, whichever is earlier, Buyer will be deemed to have approved the title exceptions identified in the Preliminary Commitment and all such exceptions shall be Permitted Exceptions. No later than seven (7) days after receipt of Buyer's notice, Seller may give Buyer notice that (i) Seller will remove Objections or (ii) Seller elects not to remove Objections. If Seller fails to give Buyer such notice, Seller will be deemed {wss679721.Doc;1/00006.900000/} - 2 to have given Buyer notice as of the seventh (71h) day after receipt of Buyer's notice, or the Closing Date, whichever is earlier, that Seller elected not to remove any of the Objections. Notwithstanding the foregoing, Seller will be required to remove any monetary liens, monetary assessments or monetary encumbrances affecting the Property prior to or as of the Closing Date. Immediately upon discovering the need to amend or add any exception to the Title Commitment, Escrow Agent shall notify Buyer and Seller. Within ten (10) business days after notice from Escrow Agent together with a copy of such intervening lien or matter, but in no event later than the Closing Date, Buyer shall notify Seller in writing of any objections thereto (the "Amendment Objections"). No later than seven (7) days after receipt of Buyer's notice, Seller may give Buyer notice that (i) Seller will remove Amendment Objections or (ii) Seller elects not to remove Amendment Objections. If Seller fails to give Buyer such notice, Seller will be deemed to have given Buyer notice as of the seventh (7th) day after receipt of Buyer's notice, or the Closing Date, whichever is earlier, that Seller elected not to remove any of the Amendment Objections. (c) Title Objections. If Seller elects not to remove any non -monetary Objections or Amendment Objections, Buyer will have five (5) days from receipt of Seller's notice, but in no event later than the Closing Date, to notify Seller of Buyer's election either to proceed with the purchase and take the Property subject to those exceptions, in which case the Objections and Amendment Objections shall be deemed Permitted Exceptions, or to terminate this Agreement. If Seller gives notice that it will cause one or more non -monetary Objections or Amendment Objections to be removed but fails to remove any of them from title on or before the Closing Date, Buyer may either (i) elect to terminate this Agreement by written notice to Seller, or (ii) proceed with the purchase and take the Property subject to those exceptions, which shall be deemed Permitted Exceptions. If Buyer elects to terminate this Agreement under this Section 4(c), the escrow will be terminated, all documents and funds, including the earnest money note, will be returned to the party who deposited them, and neither party will have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. If this Agreement is terminated due to non -removal of an Objection or Amendment Objection after Seller has agreed to remove it, then Seller will pay any costs of terminating the escrow and any cancellation fee for the Preliminary Commitment. (d) Title Policy. Buyer shall receive at Closing, at Seller's expense, an Owner's Standard Coverage Title Insurance Policy (ALTA Form 1970 with 1984 revisions) with such endorsements as Buyer may request, issued by the Title Company to be furnished to Buyer ("Title PolicY"). The Title Policy shall be issued in the amount of the total Purchase Price and shall insure fee simple title to the Property in Buyer, subject only to the Permitted Exceptions. Buyer's obligation to close this transaction shall be contingent on Buyer's receipt of such Title Policy. If Buyer so elects, Buyer may purchase extended coverage with the additional portion of the premium for extended coverage to be paid by Buyer. {WSS679721.DOC;1/00006.900000/} - 3 - 5. Contingencies and Obligations. (a) Investigation of the ProRerty. Seller shall provide or make available to Buyer for inspection and copying to the extent available or within Seller's possession or control all documents and information pertaining to the Property, including, but not limited to, all soils reports and environmental studies, any existing surveys, architectural drawings or renderings, plans and specifications with respect to the Property except appraisals not performed in support of this transaction and other documents not available for public disclosure. Buyer and its employees and agents shall have the right from the date of this Agreement through Closing Date (or earlier termination of this Agreement) to enter upon the Property or any part thereof at reasonable times and from time to time upon providing two business days advance notice to the County and receiving the County's approval, which shall not be unreasonably, withheld, conditioned or delayed, for the purpose, at Buyer's cost and expense, for making all soil and other tests or studies under the provisions of this Agreement. If the County does not respond to the Buyer within the two -business -day period stated above, the County shall be deemed to have approved Buyer's entry upon the Property; provided, however, Buyer shall indemnify and hold harmless Seller from and against any mechanic's or other liens or claims that may be filed or asserted against the Property or Seller by any actions taken by Buyer in connection with the Property. Buyer's obligation to purchase the Property shall be subject to and contingent upon Buyer's inspection and approval, in its sole and absolute discretion, of the physical condition of the Property ("Property Inspection'), including, without limitation, the conducting of soil tests (including borings), toxic and hazardous waste studies, surveys, engineering, historical use, traffic and access studies, structural studies and review of zoning, SEPA requests, fire, safety and other compliance matters. Buyer shall correct any damage to the Property caused by the Property Inspection and shall return the Property to its condition prior to the Property Inspection. (b) Due Diligence Period. As used herein, the term "Due Diligence Period" means the period ending on the earlier of (i) the date that is ninety (90) days from execution of this Agreement by both parties; or (ii) the date that is five (5) days after Seller's receipt of Buyer's written notice to terminate the Due Diligence Period prior to the end of the ninety (90) day period. (c) Buyer's Right to Terirninate. If the conditions set forth in Section 5(a) are not satisfied in Buyer's sole and absolute discretion, Buyer shall have the right, prior to the expiration of the Due Diligence Period, to terminate its rights and obligations under this Agreement by sending written notice to Seller (such notice referred to as a "Termination Notice"), and the Earnest Money Note shall be returned to Buyer, and Buyer and Seller shall have no further rights or obligations under this Agreement except as otherwise provided in this Agreement. 6. Additional Closing Conditions. (a) Buyer's obligation to purchase the Property shall be subject to the following conditions which must be satisfied by Seller as of Closing unless waived by Buyer at Closing: {wss67972LDoc;1i00006.900000i) - 4 - (i) All -representations and warranties of Seller contained herein shall be true, accurate and complete at the time of the Closing as if made again at such time; (ii) Seller shall have performed all obligations to be performed by it hereunder on or before Closing (or, if earlier, on or before the date set forth in this Agreement for such performance); (iii) At Closing, Seller shall deliver title to the Property in the condition required by Section 4 of this Agreement; (iv) At Closing, the physical condition of the Property shall be the same as on the date hereof, except as changed by Buyer's due diligence activities and damage resulting from the weather or other acts of God; (b) If the conditions set forth in Section 6(a) are not satisfied as of Closing and Buyer does not waive same, Buyer is entitled to return of the Earnest Money, and neither Buyer nor Seller shall have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. 7. Seller's Representations and Warranties. Seller hereby makes the following representations and warranties, which representations and warranties shall be deemed made by Seller to Buyer also as of the Closing Date: (a) Parties in Possession. There are no parties or trespassers in possession or which have a right to possession of all or any portion of the Property, and there are no leases, licenses, or encroachments affecting the Property; (b) Foreign Person. Seller is not a foreign person and is a "United States Person" as such term is defined in Section 7701(a) (30) of the Internal Revenue Code of 1986, as amended (the "Code") and shall deliver to Buyer prior to the Closing an affidavit evidencing such fact and such other documents as may be required under the Code; (c) Option to Acquire Premises. No person or entity has any right of first refusal or option to acquire any interest in the Property or any part thereof, and Seller has not sold or contracted to sell the Property or any portion thereof or interest therein other than as set forth herein; (d) Sole Legal Owner. Seller is the sole legal fee owner of the Property, and is not holding fee title as a nominee for any other person or entity; (e) Taxes. There are no governmental taxes, fees or other impositions on the Property. {WSS679721.DOC;1/00006.900000/} - 5 - (f) Hazardous Substances. To the best of Seller's knowledge, the Property is not in violation of any law, ordinance, rule or regulation relating to the environmental conditions thereon. Moreover, to the best of Seller's knowledge, there is no hazardous waste or other substance, including but not limited to those that would be a hazardous waste, material or substance, toxic substance, gas or pollutant, as defined under the federal Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended, 42 U.S.C. Section 9601 et. seq., the Washington Model Toxics Control Act, RCW Ch. 70.105D, RCW Ch. 70.95, and the regulations promulgated thereunder or under any applicable local or state environmental ordinance, statute, law, rule or regulation ("Hazardous Substances"), on or about the Property or on any parcels of land which abut the Property, except as disclosed in Exhibit D and the reports and other documents referenced therein, which shall be provided to the Buyer upon execution of this Agreement. Further, to the best of Seller's knowledge: (i) there has been no release, spill, leak, discharge, emission, leak or disposal, (ii) there are no substances or conditions, in or on the Property or any other parcels of land which may affect the Property or use thereof which may support a claim or cause of action under any federal, state or local environmental statute, regulation, ordinance or other environmental regulatory requirements and (iii) there is no asbestos, PCBs or underground storage tanks located on the Property or which have been removed there from, except as disclosed in Exhibit D and the reports and other documents referenced therein. (g) Indemnification. Seller agrees to indemnify, hold harmless and defend the Buyer, its appointed officials, officers, employees, agents and representatives, from and against any and all claims, actions, suits, liability, loss, cost, expenses and damages of any nature whatsoever, including costs and attorneys' fees, which are caused by or arise out of (i) the existence of Hazardous Substances on the Property or the migration of Hazardous Substances originally released or deposited on the Property onto other parcels of land; (ii) the Seller's failure or insufficient compliance with any federal, state or local laws applicable to Hazardous Substances; or (iii) any claim, in law or equity, brought by any third party or the Seller's own officials, officers, employees, agents or representatives alleging any cause of action relating to the existence of Hazardous Substances on the Property or any migration of Hazardous Substances originally released or deposited on the Property onto other parcels of land, and, with respect to (i), (ii) and (iii), that existed, or in the case of migration commenced due to a condition that existed, as of or prior to the Closing Date and did so in violation of Seller's representations set forth in Section 7(f). 8. Closing. (a) Time and Place. Provided that all the contingencies set forth in this Agreement have been previously fulfilled, the Closing shall take place at the place and time determined as set forth in Section 3 of this Agreement. (b) Documents to be delivered by Seller. For and in consideration of, and as a condition precedent to, the payment to Seller of any of the Purchase Price, Seller shall obtain and deliver to Buyer at Closing the following documents (all of which shall be duly executed and acknowledged where required): IWSS679721.DOC;1/00006.900000/1 - 6 - (i) Statutory Warranty Deed. A Statutory Warranty deed ("Deed") in recordable form and otherwise in form and substance reasonably acceptable to Buyer containing the legal description of the Property in such form as will convey to Buyer a good and marketable title in fee simple to the Property, free and clear of all liens, encumbrances, conditions, easements, assignments, and restrictions, except for the Permitted Exceptions; (ii) Title Documents. Such other documents, including, without limitation, lien waivers, indemnity bonds, and indemnification agreements as shall be reasonably required by the Title Company as a condition to its insuring Buyer's good and marketable fee simple title to the Property free of any exceptions, other than the Permitted Exceptions; (iii) Excise Tax Affidavit. An excise tax affidavit for filing with the Snohomish County Auditor at the time of recording Deed; (iv) FIRPTA Affidavit. The affidavit of non -foreign status described in Section 7(b) of this Agreement, as required by federal tax law; (v) Title Policy. The Title Policy referred to in Section 4(d) of this Agreement; and (c) Items to be Delivered by Bu er. Buyer shall deliver the Purchase Price. (d) Payment of Costs. Seller and Buyer shall pay their own respective costs incurred with respect to this Agreement and the consummation of the purchase and sale of the Property including, without limitation, their own respective attorneys' fees. Notwithstanding the foregoing: (i) Seller shall pay the costs of a standard owner's title policy and Buyer shall pay the costs, if any, of the extended coverage of the Title Policy; (ii) Buyer shall pay the fee to record the deed; (iii) Buyer and Seller shall each pay one-half of the escrow fee; and (iv) Seller shall pay any real estate excise tax due on the transaction. (e) Real Property Taxes and Utility Charges. Seller and Buyer are both exempt from paying real property taxes and assessments and utility charges against the Property are paid in full. As a result, it will not be necessary to pro -rate taxes, assessments, or utility charges at Closing. (f) Monetary Liens. Seller shall pay or cause to be satisfied at or prior to Closing all monetary liens created by or arising through Seller on or with respect to all or any portion of the Property, including, but not limited to, mortgages, deeds of trust, security IWSS679721.DOQ1/00006.900000/} - 7 - agreements, assignments of leases, rents and/or easements, judgment liens, tax liens (other than those for taxes not yet due and payable) and financing statements. 9. Notices. Unless applicable law requires a different method of giving notice, any and all notices, demands or other communications required or desired to be given hereunder by any party (collectively, `notices") shall be in writing and shall be validly given or made to another party if delivered either personally or by Federal Express or other overnight delivery service of recognized standing, or if deposited in the United States mail, certified, registered, or express mail with postage prepaid. If such notice is personally delivered, it shall be conclusively deemed given at the time of such delivery. If such notice is delivered by Federal Express or other overnight delivery service of recognized standing, it shall be deemed given twenty-four (24) hours after the deposit thereof with such delivery service. If such notice is mailed as provided herein, such shall be deemed given forty-eight (48) hours after the deposit thereof in the United States mail. Each such notice shall be deemed given only if properly addressed to the party to whom such notice is to be given as follows: To Seller: Robert Gregg GREGG PRODUCTION ASSOCIATES 51 West Dayton St., Suite 304 Edmonds WA 98020 To Buyer: City of Edmonds 121 5th Avenue North Edmonds, WA 98020 Attn: Sandy Chase With a copy to: W. Scott Snyder, City Attorney Ogden Murphy Wallace P.L.L.C. 1601 Fifth Avenue, Suite 2100 Seattle, WA 98101 Any party hereto may change its address for the purpose of receiving notices as herein provided by a written notice given in the manner aforesaid to the other party hereto. 10. Survival of Representations and Warranties. All representations, warranties, covenants indemnities, and agreements of the parties contained in this Agreement, or in any instrument or other writing provided for herein, shall survive the Closing. 11. Event of Default. In the event of a default under this Agreement by Seller (including a breach of any representation, warranty or covenant set forth herein), Buyer shall be entitled (a) in addition to all other remedies, to seek monetary damages and specific performance of Seller's obligations hereunder; or (b) to terminate this Agreement by written notice to Seller and Escrow Agent. In the event of a breach or default by Buyer without any default by Seller or {WSS679721.DOC;1/00006.900000/} -8- failure of any condition to Buyer's obligations hereunder, Seller's sole and exclusive remedy shall be to recover liquidated damages from Buyer in the amount of the Earnest Money. The parties acknowledge that in the event of such default by Buyer, Seller will have incurred substantial but unascertainable damages and that therefore the provision herein for liquidated damages is a valid one. 12. Termination. In the event of a termination of this Agreement for any reason, the escrow will be terminated, all documents and funds will be returned to the party who deposited them except as otherwise provided herein, and neither party will have any further rights or obligations under this Agreement except as otherwise provided in this Agreement. 13. Possession. Buyer shall be entitled to possession of the Property on Closing. 14. Miscellaneous. (a) Applicable Law and Venue. This Agreement shall in all respects, be governed by the laws of the State of Washington, and any action at law or equity to enforce or interpret its terms shall be filed in the Superior Court, Snohomish County, Washington. (b) Further Assurances. Each of the parties shall execute and deliver any and all additional papers, documents and other assurances, and shall do any and all acts and things reasonably necessary in connection with the performance of its obligations hereunder, to carry out the intent of the parties hereto. (c) Modification or Amendment. No amendment, change or modification of this Agreement shall be valid, unless in writing and signed by all of the parties hereto. (d) Assigpment. This Agreement may not be assigned without the prior written content of all parties. (e) Successors and Assigns. All of the terms and provisions contained herein shall inure to the benefit of and shall be binding upon the parties hereto and their respective heirs, legal representatives, successors and assigns. (f) Entire Agreement. This Agreement constitutes the entire understanding and agreement of the parties with respect to its subject matter and any and all prior agreements, understandings or representations with respect to its subject matter are hereby canceled in their entirety and are of no further force or effect. (g) Attorneys' Fees. Should either party bring suit to enforce this Agreement, the prevailing party in such lawsuit shall be entitled to an award of its reasonable attorneys' fees and costs incurred in connection with such lawsuit. (h) Interpretation. This Agreement has been submitted to the scrutiny of all parties and their counsel, if desired, and it shall be given a fair and reasonable interpretation in {WSS679721.DOC;1/00006.900000/} - 9 - accordance with its words, without consideration to or weight given to its being drafted by any party or its counsel. The captions and paragraph headings used in this Agreement are inserted for convenience of reference only and are not intended to define, limit or affect the interpretation or construction of any term or provision hereof. (i) Counterparts. This Agreement may be signed in counterparts and all of such counterparts when properly executed by the appropriate parties thereto together shall serve as a fully executed document, binding upon the parties. Dated as of the date first written above. BUYER CITY OF EDMONDS Mayor Gary Haakenson ATTEST/AUTHENTICATED: LOIN Sandra S. Chase, City Clerk APPROVED AS TO FORM: IIn W. Scott Snyder, City Attorney SELLER GREGG PRODUCTIONS ASSOCIATES I' M STATE OF WASHINGTON ) COUNTY OF SNOHOMISH) Robert Gregg, President I certify that I know or have satisfactory evidence that Robert Gregg is the person who appeared before me, and said person acknowledged that he signed this instrument, on oath stated that he/she was authorized to execute the instrument and acknowledged it as the President of IWSS679721.DOC;1/00006.900000/1 - 10 - Gregg Production Associates to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. DATED: NOTARY PUBLIC Printed Name: My appointment expires: {WSS679721.DOC;1/00006.900000/} - 11 - 3203rd Ave N.L. :- Issaquah, WA 98027 FARALLON CONSULTING F: `I2i 427006j �2� 427 0067 QualiryService for Environnrernal Solutions May 11, 2006 Mr. Robert Gregg GPA, Inc. 51 West Dayton Street, Suite 304 Edmonds, WA 98020 RE: PHASE II SUBSURFACE INVESTIGATION SUMMARY OLD MILLTOWN BUILDING EDMONDS, WASHINGTON FARALLON PN: 502-001 Dear Mr. Gregg: Farallon Consulting, L_L.C. (Farallon) has prepared this Phase II Subsurface Investigation Summary Report (Summary Report) to document the results of the subsurface investigation conducted at the Old Milltown Building, located at 201 5t' Avenue South in Edmonds, Washington (herein referred to as the Site) (Figure 1). The subsurface investigation was conducted in accordance with Farallon's Proposal for Phase II Subsurface Investigation, Old Milltown Building, dated April 6, 2006. The objective of the subsurface investigation was to determine if historical operations at the Site resulted in the release of hazardous substances to shallow soil and/or groundwater at the Site at concentrations exceeding the Washington State Department of Ecology (Ecology) Model Toxics Control Act Cleanup Regulation (MTCA) cleanup levels, as established in Chapter 173-340 of the Washington Administrative Code (WAC 173-340), amended February 12, 2001. This Summary Report includes background information and a summary of the previous investigation, a description of the field activities, results of the subsurface investigation, and Farallon's conclusions. BACKGROUND The Site consists of 0.45 acre developed with two commercial buildings. The approximately 36,000-square-foot building consists of two stories, was constructed in 1910, and is currently occupied by boutiques, antique dealers, several small eateries, and a barber shop, The approximately 4,900-square-foot building was constructed in 1947 and is a single -story antique store_ Farallon completed a preliminary review of historical Sanborn Fire Insurance Maps and a limited site reconnaissance of the Site. The review of historical Sanborn Fire Insurance Maps (dated 1926) depicted the northeast corner of the Site as a truck store with a concrete floor; the northwest corner of the Site as a garage with offices, a sales room, a repair shop, and a paint room; and the southwest portion of the Site as a service Q'XrujcL1&M2 GPAX502GOI Old N11L0VMNRcPbMTh33e 11 Rpt\Phue 31 RpLAne 1 GPA, Inc. May 11, 2006 Page 2 station with underground storage tanks (USTs). The USTs were reportedly closed in place in 1989. The limited site reconnaissance conducted on April 5, 2006 identified a suspected vent line for a UST on the north end of the Site building and suspected fill ports in the sidewalk along Maple Street (Figure 2). PREVIOUS SUBSURFACE INVESTIGATION Thorne Environmental conducted a subsurface investigation at the Site in May and June 1989. The investigation included completion of six test pits and advancement of three soil borings adjacent to two USTs and suspected fill ports located in the sidewalk along Maple Street. The investigation results are presented in the Results of Limited Subsurface Exploration and Soil Sampling, Old Mill Site, Edmonds, Washington, dated July 6, 1989, which is attached in Appendix A (Thorne 1989). Three test pits and one soil boring were completed adjacent to a 10,000-gallon UST located in the northeast corner of the southern portion of the Site (Figure 2). The test pits were extended to a depth of 11 feet below ground surface (bgs) and the soil boring was advanced to 24 feet bgs. One test pit and one soil boring were completed to depths of 7 feet bgs and 12.5 feet bgs, respectively, adjacent to a 1,000-gallon UST located on the western portion of the Site (Figure 1 of Appendix A). The investigation conducted by Thorne Environmental included a survey of the suspected fill ports located in the sidewalk along Maple Street (Figure 2). An FM radio -band survey indicated that the pipes converged to the north beneath the sidewalk. Further investigation, including the completion of two shallow test pits in the landscaped area along the southwestern portion of the property, indicated that the pipes were likely cut at the property line. The laboratory analytical results of soil samples collected from the test pits and soil boring adjacent to the 10,000-gallon UST did not detect concentrations of total petroleum hydrocarbons (TPH) above the laboratory detection limits (Thorne 1989). Concentrations of undifferentiated TPH were detected in soil between 5 and 9 feet bgs near the 1,000-gallon UST ranging from 41.5 milligrams per kilogram (mg/kg) to 941 mg/kg. Groundwater was encountered at depths ranging from 5.5 feet bgs to 7 feet bgs, but was not sampled. FIELD ACTIVITIES The scope of work completed by Farallon for the subsurface investigation included the following activities: • Preparing a Site -specific health and safety plan prior to initiating field activities, in accordance with WAC 296-62 and Part 1910.120 of Title 29 of the Code of Federal Regulations; ■ Performing a utility locate at the proposed boring locations using a private utility location service, and contacting the One -Call Center for public utility location; GAProjecIA502 GM502001 old MilhownUteports\Phne 11 Rp1U'hnse 11 Rpl.doo 711-1--7-- GPA, Inc. May 11, 2006 Page 3 i Advancing direct -push borings BI through B5 at the Site (Figure 2); • Collecting soil and groundwater reconnaissance samples from the borings, where available; ■ Submitting soil samples collected from each boring for laboratory analysis; • Submitting reconnaissance groundwater samples collected from four borings for laboratory analysis; and • Preparing this Summary Report. The subsurface investigation conducted on May 2, 2006 included collection of soil samples from direct -push borings at select locations at the Site. Prior to commencement of drilling, Applied Professional Services, Inc, of North Bend, Washington conducted a private utility location survey at the Site. Cascade Drilling, Inc. of Woodinville, Washington performed the drilling activities using a direct -push Geoprobe drilling rig. Each of the five direct -push borings (BI through B5) was drilled in 4-foot intervals from the ground surface to 8 feet bgs (Figure 2). Soil samples were collected continuously during advancement of the borings from the ground surface to the bottom of each boring. The 4-foot sampler was lined with disposable polyethylene sleeves, which were removed and opened to reveal the soil sample after each sample interval was completed. The soil sample was described in accordance with the Unified Soil Classification System and evidence of potential contamination such as unusual odor, discoloration, or sheen was noted. Soil samples were also screened in the field for the presence of volatile organic vapors using a photoionization detector (PID). The boring logs containing the soil descriptions, field observations, and PID readings are provided in Appendix B. One soil sample from boring B1, B2, B4, and B5, and two soil samples from boring B3 were submitted for laboratory analyses of TPH as diesel -range organics (DRO) and TPH as heavy -oil -range organics (ORO) using Northwest Method NWTPH-Dx; TPH as gasoline -range organics (ORO) using Northwest Method NWTPH-Gx; benzene, toluene, ethylbenzene, and xylenes (BTEX) using U.S. Environmental Protection Agency (EPA) Method 8021B; and Resource Conservation and Recovery Act (RCRA) 8 Metals, arsenic, barium, cadmium, chromium, mercury, lead, silver and selenium using EPA Method 6010B. Soil samples for analysis of ORO and BTEX were collected according to EPA Method 5035A, following Ecology guidance for the sampling of low- level volatile compounds. Soil samples collected from the borings were transferred directly into laboratory -prepared containers. The laboratory analytical reports are provided in Appendix C. Reconnaissance groundwater samples were collected from borings B1, B2, B4, and B5. A reconnaissance groundwater sample was not collected from boring B3 because groundwater was not encountered during the boring activities. A temporary polyvinyl chloride well screen was set into the boring and groundwater was pumped from the GAProject91502 GPA\502001 Old Milltuwn\Repntts\Phase U RIATIme 71 Rpt doc GPA, Inc. May 11, 2006 Page 4 temporary well using a peristaltic pump and dedicated polyethylene tubing. The temporary wells were purged for several minutes prior to sample collection to allow for removal of fine sediment particles suspended during the advancement of the borings. Reconnaissance groundwater samples were collected directly from the tubing outlet into laboratory -prepared containers. The reconnaissance groundwater, samples were submitted for laboratory analysis of DRO and ORO by Northwest Method NWTPH-Dx, GRO by Northwest Method NWTPH-Gx, BTEX by EPA Method 8021 B, and dissolved RCRA 8 Metals by EPA Methods 200.8 and 7470A (Appendix Q. The soil and reconnaissance groundwater sample containers were clearly labeled using a unique sample number and placed immediately in an iced cooler. The soil samples were submitted to OnSite Environmental, Inc. of Redmond, Washington under standard chain -of -custody protocols. SUBSURFACE INVESTIGATION RESULTS The results of the subsurface investigation field activities and laboratory analyses are presented below. The boring locations are shown on Figure 2_ Borings B 1 and B2 were advanced in the landscaped area on the southwest portion of the Site to evaluate soil and groundwater conditions adjacent to known and suspected former USTs (Figure 2). Boring B3 was advanced adjacent to a suspected UST vent line identified during the site reconnaissance. Borings B4 and B5 were advanced inside the northern portion of the building in the former garage area (Figure 2). The laboratory analytical results for soil samples collected from the borings are summarized on Tables 1 and 2. Tables 3 and 4 summarize the analytical results for reconnaissance groundwater samples. A copy of the complete laboratory report for the soil and reconnaissance groundwater sample analyses is provided in Appendix C. SOIL The soil encountered in boring B1 consists of approximately 4 feet of poorly graded sand with gravel and silt overlying poorly graded silty sand and sand with gravel and silt. Borings B2 through B5 encountered soil consisting of poorly graded fine to medium grained sand with trace amounts of gravel and silt. Sandy silt was encountered from approximately 5 to 6 feet bgs in boring B3. The boring logs for borings B 1 through B5 are provided in Appendix B. No field evidence of potential contamination, such as unusual odor, discoloration, or sheen, was observed in any of the soil samples,. PID measurements recorded during the sample collection ranged from 0.0 to 0.2 parts per million. Concentrations of DRO, ORO, GRO, BTEX, and RCRA 8 Metals were not detected above the MTCA Method A cleanup levels for soil or MTCA Method B cleanup levels for soil, where Method A cleanup levels are not established, in any of the soil samples analyzed from borings B1 through B5 (Tables 1 and 2). GAFmjects%502 GPAM2001 Old Mill1uWMRep0n3\Phue 11 RPIThese 11 RPI d0c kA GROUNDWATER GPA, Inc. May 11, 2006 Page 5 Groundwater was encountered in borings B1, B2, B4, and B5 at depths ranging from 5.5 to 6 feet bgs; groundwater was not encountered in boring B.3. Reconnaissance groundwater samples were collected from borings B1, B2, B4, and B5. Concentrations of ORO, GRO, BTEX, and dissolved RCRA 8 Metals were not detected above the MTCA Method A cleanup levels for groundwater or MTCA Method B cleanup levels for groundwater, where Method A cleanup levels are not established (Tables 3 and 4). DRO was detected above the MTCA Method A cleanup level of 500 micrograms per liter (µg/l) in the reconnaissance groundwater sample collected from. boring B2 at a concentration of 4,400 µg/l (Table 4) (Figure 2). DRO was not detected above the laboratory practical quantitation limit (PQL) of 250 µg/1 in reconnaissance groundwater samples collected from borings B1, B4, and B5_ CONCLUSIONS The laboratory analytical results detected concentrations of DRO above the MTCA Method A cleanup levels in groundwater in the vicinity of boring B2, located near the former UST in the southwest corner of the Site. DRO was detected in the reconnaissance groundwater sample collected from boring B2 at a concentration of 4,400 µg/l, which is above the MTCA Method A cleanup level for groundwater of 500 µg/1_ However, DRO was not detected above the laboratory PQL in the soil samples collected from boring B2, indicating that shallow soil has not been impacted in this area. The concentration of DRO detected in groundwater in boring B2 is indicative of a small, localized release. Based on Farallon's review of the environmental activities on the Arco Facility No. 822, located west of the Site, the groundwater flow direction in the Site vicinity is towards the west (Figure 1). Concentrations of DRO in shallow groundwater may have migrated off of the property beneath 5a' Avenue South. However, there is insufficient data to evaluate the extent of off -site migration of DRO in groundwater. Results of the subsurface investigation confirm that shallow subsurface soil beneath the former truck shop and garage has not been impacted by historical Site activities. Based on the results of the soil samples analyzed from boring B1, the shallow soil contamination identified during the investigation conducted by Thorne Environmental, Inc. does not appear to have impacted groundwater in the vicinity of the 1,000-gallon UST, G-Tzojens\502 OPA1502001 Old Mill10w \RcP0nAPl=t 11 RpOrhase Ti Rpi doc GPA, Inc. May 11, 2006 Page 6 CLOSING Farallon trusts that this provides sufficient information for your needs. Please call the undersigned at (425) 427-0061 if you have any questions or comments regarding this report. Sincerely, Farallon Consulting, L.L.C. 'raeey �Iu ern, L . Staff Geologist Attachments: twash•o 0 �. neal+npGeaa9at .C1P 908 a e'a� ed Peter Day Jewett Figure 1, Site Vicin'r'ty Map Figure 2, Site Plan with Boring Locations Table 1, Summary of Soil Analytical Results — Total Petroleum Hydrocarbons Table 2, Sunima)y of'Soil Analytical Results — Total Metals Table 3, Summary of Groundwater Analytical Results — Total Peh,oleum Hydrocarbons Table 4, Surninary of'Groundwater Analytical Results — Dissolved Metals Appendix A, Historical Report Appendix B, Boring Logs Appendix C, Laboratory Analytical Results cc: Gary Krohn TM:PJ:bw G:tl'tojensl502 GPM50200) old "Illown%Reporl0ho H Rpffhwc 13 Rpt.doe FIGURES PHASE II SUBSURFACE INVESTIGATION Old Milltown Building Edmonds, Washington Farallon PN: 502-001 GAProjeciA502 GPA1502001 Old Milltown\Rcports\Phisc 11 RpL%Phasc 11 Rpt.doc I W D Z W Q r ire f— O U) I — — DAYTON STREET — — — SUSPECTED UST VENTLINE 83 Lu 1 � I F 1 w i II I o I FORMER GARAGE U FORMER TRUCK STORE I �B4 OB5 I I I i --APPROXIMATE LOCATION OF CLOSED -IN -PLACE -1,000-GALLON UST I 1 Imo• -APPROXIMATE LOCATION OF I I I CLOSED -IN -PLACE 10,000-GALLON UST I I I lz 10- O I IvlL i jj2nd STORY PARKING Iz10 l� I I I I I 0 40 1 ' ` APPROXIMATE SCALE IN FEET 0 0 O—SUSPECTED FILL PORTS I MAPLE STREET - - - - LEGEND FIGURE 2 — — — — SITE BOUNDARY _' — - —CENTER LINE SITE PLAN WITH BORING LOCATIONS ® MILL TOWN HISTORICAL GASOLINE EDMONDS, WASHINGTON UNDERGROUND STORAGE TANK (UST) IDENTIFIED ON 1926 SANBORN FIRE INSURANCE MAP rARALLON CONSULTING ALL LOCATIONS ARE APPROXIMATE 3rAve. NE Issuqoquoh, WA 98027 FARALLON PN: 502-001 Drawn 3y: DEW I Checked 6y: CB I Date:4/6%05 I Disk Reference:502001 TABLES PHASE II SUBSURFACE INVESTIGATION Old Milltown Building Edmonds, Washington Farallon PN:.502-001 G:U3rojcc1sl502 GPA%502001 Old Mi11lolwlRcporlsTlime 11 Rpiftisc 11 Rpl doc Table 1 Summary of Soil Analytical Results - Total Petroleum Hydrocarbons Old Milltown Building Edmonds, Washington Farallon PN: 502-001 NOTES: <Indicates concenlrallons not identified above the staled laboratory practical quantttation limit. 'Feet below ground surface. 'Analyzed by Northwest Method N WTPH-Dx. 'Analyzed by Northwest, Method NWTPFI-Gx. 4Analyzed by U.S. Environmental Protection Agency Method 8021B. sWashingtvn Statc Department of Ecology Model Toslcs Control Act Cleanup Regulation iblethod A Soil Cleanup Levels For Unrestricted Land Uses. Table 740-t of Section 900 of Chapicr 173 -3 40 o(tbe Washington Admtmstrauve Code, as amended Fcbraary 7001. BTEX = benzene, toluene, elhylbcnzenc, and xylencs DRO = total petroleum hydrocarbons as diesel -range organics GRO = total petroleum hydrocarbons as gasoline -range organics ORO = total petroleum hydrocarbons as oil -range organics TPH = total petroleum hydrocarbons loft G-TwjmBX5n2 01-A\50200r old htilllmro\RepansU9tue 1[ Rpl\TnbI.)!q.H-TPIi Table 2 Summary of Soil Analytical Results - Total Metals Old Milltown Building Edmonds, Washington Farallon PN: 502-001 Armiyticai Results (milli rams perIciiugrar:) Sample Sample Depth Identification Sample Date Location (feet)' Arsenic'' Bariumz Cadmium Chromium Lead' Mercury2 Selenium Silver= B 1-5-6 5/2/2006 B 1 5-6 <11 30 <_0.55 ' _ 41_ <5.5 _ <0.27 <l l <0.55 - B2-5-6 B2 5-6 <12 46 <0.60 28 <6.0 _ _ <0.30 _<12 _ <0.60 _5/2/2006_ B3-3-4 5/2/2006 B3 3-4 _ <11 60 _ _ <0.54 19 — <5.4 <0.27 <11 <0.54 B3-7-8 5/2/2006 B3 7-8 <12 - 40 _ <0.62 — 36 _ <6.2 <0.31 _ T <12 u <0. _ _ f<0.57 - B4-3-4 - 5/2/2006 B4 3-4 �i1 42 <0.57 28 _<5.7_ <0.28 _ <11_ _— B5-3-4 ^ 5/2/2006 -- B5 3-4 <11 32 <0.54 28 <5,4 <0.27 <11 <0.54 MTCA Cleanup Levels for Soil 3'� 203 5,6004 23 2,000315 2503 23 400� 40,- NOTES: <Indicates concentramns not identified above the staled laboratory practical quantitation limit. 'Feet below ground surface. 'Analyzed by U.S. Environmental Protection Agency Method 601013. 'Washington Stale Duparlmenl of Ecology (Ecology) iiMcdel Tomes Control Act Clc:Liiup Regulation 0,11CA) Method A Soil Cleanup Levels for Unres[rictcd Land Uscs, Table 740-1 orSeclion S100 of Chapler n• 7l-3'lh of the Washington Administrative Code, as amended February 2001. °Ecology IvITCA Cleanup Levels and Risk Calculations, Version 3.1 Soil cleanup Levels for Direct Contact Pathway, Ecology Publication No. 94-145, as updated November 200I. 5Ceeanup level for chromium III loft G:1ProlcciA1502 GPAIJ02001 old Milliuwntaepomll'hnse 11 ap1%7ablcALSa5•blc1al3 Table 3 Summary of Groundwater Analytical Results - Total Petroleum Hydrocarbons Old Milltown Building Edmonds, Washington Farallon PN: 502-001 NOTES: <Indicates concentrations not identified above the stated laboratory practical quantitatlon limit. BOLD indicates sample result exceeds Washington Department of Ecology (Ecology) Model Toxtes Control Act Cleanup Regulation (MICA) Cleanup Level. 'Analyzed by Northwest Method NWTPH-Dx. Analyzed by Northwest Method NWTPIi-G L 'Analyzed by U.S. Environmental Protection Agency Method 8021 B. 'Ecology NITCA Method A Cleanup Levels for Groundwater, Table 720-1 or Section 900 of Chapter 173-340 of the Washington Administrative Code, as amended February 2001. BTEX = benzene, toluene, ciltylbenzwe, and xylencs DRO = total petroleum hydrocarbons as diesel -range organics GRO = total petroleum hydrocarbons as gasoline -range organics ORO = total petroleum hydrocarbons as oil -range organics TPH=total petroleum hydrocarbons loft Ga'rolcvs\5M- GM50200I OIJ tilillla� nlRcpotlslPhue 11 Rpffnblcs GW-TPH Table 4 Summary of Groundwater Analytical Results - Dissolved Metals Old Milltown Building Edmonds, Washington Farallon PN. 502-001 Sample Sample I Dissolved ' Dissolved Identification Location Sample Date Arsenic' Barium' B1-RGW BI 5/2/2006 _ <3.0 —_<3.0 _ <25 B2-RGW 132 _ 5/2/2006 <25 B4-RGW B4 5/2/2006 <3.0 <25 R5_RGW B5 5/2/2006 <3.0 <25 Levels for Groundwater•''' NOTES: <Indicates concentrations not identified above the stated laboratory practical quantitation limit. 'Analyzcd by U.S. Environmental Protection Agency (EPA) Method 200.8. Analyzed by EPA Method 7470A, 3Washinglon Stale Department of Ecology (Ecology) Model To\ics Control Act Cleanup Regulation (hITCA) Method A Cleanup Levels for Ground« aicr. Ta blc 720-i of Section 900 of Chanter 173-340 of the Washington Administrative Code, as amended February 2001. 'Ecology MTCA Cleanup Levels and Risk Calculations, Version 3.i, Standard Method B Values for Groundwater, Ecology Publication No. 94-145, as updated November 2001, Analytical Results (micrograms per liters Dissolved Dissolved Dissolved Dissolved Cadmium' Chromium' Lead' Mereury2 <4.00 <10 <l.0 <0.50. <4.0 <I0 8.5 <0.50 <4.0... <10-- - <I.0 Y1 _ <0.50 -- <4,0 <10 <1.0 <0.50 5' 1 50-1 1_ 153 1 e Dissolved i Dissolved Selenium' Silver' _<5.0 _ <10 <5.0 <10 <5.0 <10 RCRA = Resource Conservation and Recovery Act loft GAProlcc W02 GPAl50]001 old hIilhonnLncporb%Ph=11 IrpiliabluAG%V-Alctals APPENDIX A HISTORICAL REPORT PHASE II SUBSURFACE INVESTIGATION Old Milltown Building Edmonds, Washington Farallon PN: 502-001 GAPSOJECLA502 GPAX502001 Old Milhown%eponsThase 11 Rpffbase 11 Rpl doe Pnmo THORNE ENVIRONMEN IAL A TG Cornoory July 6, 1989 University Savings Bank 6400 Roosevelt Way N.E. Seattle, Washington 98115-1000 Attention: Mr. Michael H. Voss Commercial Real Estate Loan Officer Subject: Results of Limited Subsurface Exploration and Soil Sampling Old Mill Site Edmonds, Washington E-� 5E•, 1044-1 Mr. Voss; Thorne Environmental, Inc. is pleased to provide the following report on the above referenced project. The report describes our observations and findings during the recent subsurface exploration at the site. Please contact us should you have any questions about this report. Sincerely, T,ffQRNE ENVIRONMENTAL, INC. Steven R. Bruce Environmental Manager Maurice W. Gallarda, RE, Principal Engineer 4 --7')n L -L. % - , < .. a I .. - -. -J %%/A r!-'I'�IA - rl!-:_1 -7-7t G is ri University Savings Bank July 6, 1989 VI CZ):tIViROHhI£�il Page 1 5E-1044-1 At the request of University Savings Bank, Thorne Environmental, Inc. conducted a limited subsurface exploration program at the Old Mill site in Edmonds, Washington. The intent of this work was to: 1) explore for underground fuel -storage tanks remaining beneath the site; 2) F evaluate whether the fuels stored in any located tanks had impacted the subsurface soils in the vicinity of the tanks; and 3) provide general recommendations for abandoning the located tanks and any associated piping. The scope of work consisted of: 1) observing and documenting the subsurface conditions exposed in test pit explorations adjacent to an underground storage tank l in the upper parking lot and a used 'oil tank near the western building entrance; 2) observing an FM radio -band survey and limited subsurface explorations to trace piping in the western landscaped area; 3) collecting soil samples in the test pits adjacent to the tanks as well as from two soils borings subsequently completed by others; 4) conducting quantitative chemistry analyses on selected soil samples; 5) interpreting the collected data; and 6) preparing this letter report. Our findings indicated the following: r - r o The 10,000-gallon capacity underground storage tank at the northeastem side of the upper parking lot was aligned in a north -south direction: Test pits excavated to about 11 feet ' below ground surface on the south, west and north sides of the tank indicate the tank is surrounded by trace silty, sand FELL. Groundwater was not encountered in the test pits, and hydrocarbon odors or sheens were not detected in the test pit soils. Quantitative chemistry analyses of shred soil samples obtained from the three test pits showed fuel hydrocarbons and volatile aromafic hydrocarbon concentrations to be non -detected at the f analytical detection limits. The detection limits for the analyzes were all below the Washington State Department of Ecology (WDOE) action Iirnits. We recommend that this tank be abandoned in place due to slope stability concerns, provided that approval I; can be obtained from the local fire department. o The FM radio -band piping survey and subsurface explorations indicated that piping connected to three tank fill caps on Maple Street is truncated near the northern edge of the sidewalk This information, and conversations with Lt. Stan Olsen of the Edmonds Fire Department and other local residents suggest that the underground storage tanks on { the western side of the site were removed prior to the conversion of the Old A+iill into a retail mall in 1973. in addition, the fuel pump at the western building entrance was decorative; no piping connections were observed on The surface of the concrete slab beneath the pump. We recommend that the piping connected to the fill caps along Maple Street be abandoned in place, assuming that the abandoned piping will not impact future usage of this area of the site. F` o An underground storage tank with an estimated capacity of 1,000-• gallons was discovered { in a Iandscaped area on the southern side of the western building entrance. This tank was located within one foot of a main structural wall. A measurement in the tank L, indicated that the tank was full of ail. Subsurface explorations an the western side of the tank indicated that about three feet of imported topsoil overlay native, silk SAND, and 1 ' that the surface of unconfined groundwater was about seven feet belouground surface at the time of our explaratic.:s. �[JPOR _ ENVIRQNMEN' University Savings Bank Page July 6, 1989 5E-1044-1 o Hydrocarbon -like staining and odors were detected in a test pit at the western edge of the 1,000-gallon capacity tank. Analysis of soil samples from this test pit showed Tota] Petroleum Hydrocarbon (TFH) concentrations of 941 and 41.5 mg/kg in the samples collected at depths of about 65 and nine feet below ground surface, respectively. Additional analysis of the sample with the elevated TPH showed: 1) the concentrations of selected chlorinated solvents and polychlorinated biphenyls (PCB) were non -detected at the analytical limits of detection; and 2) EP Toxicity metals were within federal regulatory limits. Subsequent analysis of samples collected at depths of about five and r nine feet below ground surface in a boring about five feet west of the tank showed 92.2 mg/kg and non -detected concentrations of TPH, respectively. The detection limit for these two TPH analyses was 5.0 mg/kg. o Due to the proximity of the structural foundation wail, we recommend abandoning the 1,000-gallon tank in place after the tank contents are removed and the tank triple -rinsed. We also recommend obtaining WDQE permission to leave the TPH-impacted soils in place to avoid excavating adjacent to the building foundations. r o All tank and piping system abandonment activities will need to be in accordance with the federal, state and local permitting and regulations in effect at the time of the i abandonments. We recommend that the work be accomplished by a contractor f . experienced with in situ tank and piping abandonment. We also suggest that University Savings Bank permanently retain copies of the abandonment records. This summary is presented only for introductory purposes and is intended for use in conjunction ' with the full text of this report. This report contains a site and project description, soil sampling procedures, analytical chemistry methods and results, and our conclusions. @RJEN IRONMEN University Savings Bank Page ; July 6, 1989 5E-1044- 1 1.0 rNTRODUC n0N On May 25, 1989, Thorne Environmental, Inc. was authorized by University Savings Bank tc provide professional services related to assessment and abandonment of existing buried fue, storage tanks at the Old Mill, Edmonds, Washington. The field activities were conductec between May 30 arid June 2, 1989. Subsequent to this work, additional soil sampling in boring! j to be completed by others was verbally authorized by Mr. Mike Voss on June 19, 1989. These services were completed on June 19, 1989. 1.1 Purpose and Scope of Work The purpose of our services was to: 1) explore for underground fuel -storage tanks remaining beneath the site; 2) evaluate whether the fuels stored in any located tanks bad impacted the { subsurface soils in the vicinity of the tanks; and 3) provide general recommendations for abandoning the located tanks and any associated piping. The scope of work implemented on this project consisted of: 1) observing and documenting the subsurface conditions exposed in test I pit excavations adjacent to a buried storage tank in the upper parking lot; 2) observing an FM radio -band piping survey and limited subsurface exploration to trace piping in the lower landscaped area, 3) collecting soil samples in the test pits adjacent to the underground tanks as .� well as from two borings later completed by others; 4) conducting quantitative chemistry analyses i on selected soil samples; 5) interpreting the collected data; and 6) preparing this report. We have prepared this report for the use of University Savings Bank, and their agents, in z accordance with our proposal dated May 16, 1989, a change order dated June 20, 1989, and generally accepted hydrogeological and environmental engineering practices in existence in the project area at the time the work was performed. The statements and conclusions contained in this report are based on the explorations and sampling completed for this project by Thorne Environmental, Inc. No other warranties, either express or implied, are provided. 1.2 Site Location and Description The project site is the Old Mill retail mail in Edmonds, Washington (see Figure 1). The ' property is bounded on the south by Maple Street, on the west by Fifth Avenue, on the north _:. by Dayton Street, and on the east by property owned by others. Surface cover consists of asphaltic pavement in the upper parking lot, and imported top -soil in the landscaped area on the western side of the site. Topography across the site slopes to the west with an estimated i . relief of approximately twenty feet. We understand that the existing building at the site was originally used for the maintenance and manufacturing of buses. Later changes included the addition of service station facilities. About 1973, the building was remodeled to serve as a retail mall. T An underground storage tank was known to exist in the upper parking lot at the site. The fill neck for this tank was located about 35 feet south of the upper mall entrance. A previous report by others indicated that this tank contained about three inches of a fluid that was 1J determined to be mostly water. Three fill caps existed along Maple Street about 30 feet east of 5th Avenue South, however, it was uncertain if the tanks connected to the fill pipes remained on -site. A vent line also existed near the public restrooms as did an antique fuel pump. It was unJaaown whether the vent and punip were connect Jd to ti;YtkS. University Savings Bank July 6, 1989 2.0 FIELD ACTIVITIES ENVIRONMENT Page 4 5E-1044-1 The subsurface test pit explorations were conducted at the site by A.1., Sleister & Sons Construction of Edmonds, Washington between May 30 and June 2, 1989. A total of six test pits were excavated at the locations shown on the attached Figure 2. Under a subsequent scope of work, we were retained to observe the conditions exposed in soils borings completed by others on June 19, 1989. These borings were intented to provide soils engineering data. The locations { of the two borings we observed, B-2 and B-3, are also indicated on Figure 2. ( A photoionization detector (PID) was used to field screen the soils for organic vapors. I However, the concentrations detected were considered to be semi -quantitative since the measurements were obtained in the open atmosphere about one to two inches above the excavated soils. The instrument used was a Thermo Environmental Instruments, Inc. Model 580A OVK calibrated to benzene. The PID had an operating range from 0 to 2,000 parts per million (ppm) with a minimum detection limit of 0.1 ppm. �^ Selected samples were obtained from the materials excavated from the test pits since the unshored excavations could not be entered. The soil samples collected from the borings were —, obtained from split -spoon samplers. Hand tools used to collect the soil samples into containers were decontaminated prior to each use by washing with detergent, followed by a distilled water rinse. However, the augers and sampling rods used in the geotechnical study completed by others were not steam cleaned prior to use since the borings were intended only for soils l� engineering data. Glass jars sealed with Teflon -lined lids were used to contain each sample. The jars were labeled as to their respective origins and placed in a chilled ice chest for transport to the contract laboratory. Chain. -of -custody procedures were used to document the sample handling. 2.1 Subsurface Explorations in the Upper Parking Lot Test pits TT-1, TP-2, and TP-3 were excavated with a backhoe on May 30, 1989. These excavations extended to a depth of about eleven feet below the existing ground surface at the south, north and west sides of the estimated 10,U00-gallon capacity steel tank underlying the 1 upper parking lot. The excavations indicated that the tank was aligned north to south with a length of about 28 feet and a diameter of eight feet. The soils encountered in the test pits �' consisted of trace silty, sand FILL. which extended to the Rill depths explored by the test pits. Groundwater was not observed in the test pits. No hydrocarbon odors or sheens were detected in the excavated soils and the PID did not indicate the presence of detectable organic vapor concentrations. Soil samples for laboratory analysis were collected from the bottom of test pits 1. TP-1, 'IT-2 and TP-3; these samples were identified as 'Tank 1 SV, 'Tank 1 ST and 'Tank 1 S3", respectively. The test pits in the upper parking lot were backfilled by compacting about one -foot thick lifts of the excavated soils with the backhoe bucket. The final three soil lifts �.: were each compacted with a portable, gasoline -powered compactor. The densities of the compacted soils were not measured, as this was outside the scope of work. University Savings Bank July 6, 1989 L ENVIRONMENT Page 5 5E-1044-1 On June 19, 1989, a truck -mounted Mobile B-61 drill with hollow -stem augers was used to com- plete boring B-2 which was east of the upper tank as shown on Figure 2. Although this boring was part of a separate geotechnical engineering study by others, we had been requested by t-" University Savings Bank to observe the drilling and collect soil samples. The boring penetrated to about 24 feet below ground surface in unsaturated, gravelly SAND. The PID showed a max- imum of 0.2 ppm of organic vapors in the split -spoon drive samples obtained at about five feet intervals in the boring. Soil samples for chemistry analyses were collected at about 16 and 21 j feet below ground surface; these samples were identified as "B-2 S4" and "B-2 S-6", respectively. r 2.2 Subsurface Explorations on the Western Portion of the Site 2.2.1 Southern Side of Landscaped Area An FM radio -band survey was conducted on May 30, 1989 in the south side of the landscaped area to explore the extent of the piping connected to the three fill caps on Maple Street. The survey was completed by attaching a wire to the. pipe and searching the surrounding area with a FM receiver for a return signal. This survey indicated the three fill pipes converged to the north under the sidewalk. However, the response did not persist ten feet to the north of the S]I caps and a signal could not be found elsewhere in the landscaped area Test pits TP-5 and TP-6 were then excavated to a depth of about four feet below the existing ground surface in the landscaped area in an attempt to locate the piping. However, no piping could be located in these explorations. Conversations with Lt. Stan Olsen of the Edmonds Fire Department and with other local residents indicated that other underground storage tanks in the lower landscaped area were removed prior to the conversion of the Old Mill into a site for small shops in 1973. 2.2.2 Northern Side of Landscaped Area The antique furl pump on the northern side of the landscaped area was unbolted from the concrete pad on May 30, 1989 to check for piping that may have connected to a tank. No piping was observed on the surface of the concrete slab. a On May 30, 1989, an estimated 1,000-gallon capacity steel tank was discovered below the exposed vent line near the public restrooms. This tank was about 3.5 feet in diameter by more I than eight feet in length and appeared to be filled with oil. The east end of the tank was overlain by a wooden boardwalk and immediately north of the tank was a building foundation. Test pit TP4 was hand -bored to a depth of about seven feet below ground surface on the western end of the tank. Soils encountered in the test pit consisted of about three feet of imported organic -rich, sandy SILT (top -soil) overlying native, silty SAND with cobbles. A soil ' sample for quantitative chemistry analyses was obtained at depth of about 6.5 below the existing ground surface in the hand boring. This sample was identified as 'Tank 2 Sl". Groundwater was observed in test pit TP4 at a depth of about seven feet below the existing ground surface. f ' Hydrocarbon -like odors were detected below a depth of about six feet in the test pit. Bas6d 3, on the hydrocarbon odors and discussions with Mr. Voss, the hand boring was deepened on June 2, 1989. A soil sample identified as 'Tank 2 S2" was collected in this test pit at approximately nine feet below the existing ground surface; auger refusal in gravels was then encountered below this depth. J 1 70 7 ogjMOk ENVIRONMENT) University Savings Bank Page 6 July 6, 1989 5E-1044-1 On June 19, 1989, a boring was drilled about five feet south of the 1,000-gallon capacity tank This boring, identified as B-3,,was completed by others as part of a geotechnical engineering study. A portable Acker drilling rig equipped with hollow -stem augers was used to drill and ' sample the sails. Groundwater was encountered in the horing beneath a depth of about 5.5 feet below ground surface. We collected soil samples "B-3 S-3" and 'S-3 S4" in the boring at depths of about five feet and mine feet below ground surface, respectively. The boring was terminated at about 12.5 feet below the existing ground surface due to auger refusal in gravelly SOBS. 3.0 LABORATORY ANALYSES 3.1 Analysis Procedures Chernical analysis of the collected soil samples was performed by AmTest, Inc. of Redmond, Washington. The three samples collected in test pits TP-1, 'IT-2 and TP-3 by the tank in the upper parking lot (identified as samples Tank 1 S1, Tank 1 S2 and Tank 1 S3) were analyzed for the concentrations of fuel hydrocarbons and selected volatile aromatic hydrocarbons common to automotive fuels (specifically, benzene, toluene, ethylbenzene, and xylenes, hereafter referred to as BTEX). EPA Methods 8015(modified) and 8020 were used to complete the fuel hydrocarbon and BTEX analyses, respectively. These tests were selected since the size of the tank and the historic site information suggested that diesel or gasoline fuels were stored in the tank. L- Since the 1,000-gallon capacity tank appeared to have contained oil, sample '"Tank 2 SI" from near the water -table surface in test pit TP-4 was selected for quantitative chemistry analyses. • This sample, from a depth of about 6.5 feet below ground surface, was analyzed for: 1) Total Petroleum Hydrocarbon (TPH) concentrations by EPA Method 418.1; 2) EP-toxicity for metals by EPA Method 1320; 3) chlorinated solvents by EPA Method 8010; and 4) polychlorinated L a biphenyls (PCB) by EPA Method 8080. Sample 'Tank 2 S2" from about nine feet below the existing ground surface in test pit TP-4 was then analyzed after the 'Tank 2 S-1" results were reported to us. The soil samples from borings B-2 and B-3 were analyzed for the TPH concentrations by EPA ' T Method 418.1. i The analytical results and detection limits are shown in the laboratory analysis reports in Appendix A. The mg/kg units reported by the analytical laboratory approximate part per million (ppm) concentrations. 3.2 Analytical Results 3.2.1 Upper Parking Lot Tank The fuel hydrocarbon analyses on the samples from the test pits adjacent to the upper parking lot tank (samples Tank 1 S1, Tank 1 S2 and Tank I S3) showed that gasoline, diesel #1 and diesel #2 concentrations were non -detected at the analytical detection limits of 20, 25 and 40 mg/kg, respectively. The results of the BTEX analyses also demonstrated that these corm -ou:-ds r • were non -detected at the analytical detection limits. The BTEX analysis limits were: e� mg/kg for benzene, toluene, ethylbenzene and o-xylene; and 2) 0-010 mg/kg for m-and p-xrlr University Savings Bank July 6, 1989 ENVIRONMENT Page 7 5E-1044-1 since these isomers coelute during the analysis. The laboratory analysis reports for these analyses are contained in Tables A-1 and A-2 in Appendix A. The analysis results for the two samples from boring B-2 (B-2 S-4 and B-2 S-6) showed non - detected concentrations of TPH at the analytical detection limits of 5 mg/kg. These results are contained in Table A-3. 3.2.2 Landscaped Area Tank The soil sample collected from a depth of about 6.5 feet below ground surface in the test pit adjacent to the 1,0007gallon tank in the lower landscaped area was identified as 'Tank 2 S1". The TPH analysis on this sample detected a concentration of 941 mg/kg as shown in Table A- 4. Additional analysis on this sample showed PCBs to be non -detected at the analytical detection limit of 0.05 mg/kg (see Table A;-5). The EP Tonicity metals were also non -detected at the liniits of detection (see Table A-6). In addition, a chlorinated solvent analysis showed the analyzes to be non -detected at the detection limits, except for 0.720 ug/kg of methylene chloride which was also present in the Quality Assurance (QA) blank as shown in Table A 7. Since the TPH concentration were elevated in the 'Tank 2 S1" sample, the sample collected --- from about nine feet below ground surface (Tank 2 S2) was subsequently analyzed. The analysis showed a concentration of 41.5 mg/kg of TPH. The laboratory report is provided in Table A- S. The analyses for the boring B-3 samples showed TPH concentrations to be: 1) 92.2 mg/kg for the B-3 S-3 sample; and 2) non -detected at the analytical detection Hinit of 5.0 mg/kg for the B-3 S-4 sample. These results are shown on Table A-3. 4.0 CONCLUSIONS i The results of our explorations indicated that two buried storage tanks remained at the site. ` One tank, of an estimated 10,000-gallons capacity, was Iocated at the north side of the upper parking lot. The other tank, estimated to have a 1,000-gallon capacity, was west of the entrance to the public restrooms. Based on the attempts to trace the piping connected to the three Maple Street fill pipes and conversations with local individuals, the tanks that were "Lrrmerly connected to these fill pipes have apparently been removed from the site. In addition, the ' antique fuel pump near the western entrance to the site appeared to be only for decorative purposes. The field observations and the analytical chemistry results indicate that the subsurface soils in the vicinity of the 10,000-gallon capacity tank meet the WDOE petroleum hydrocarbon compliance limits in effect at the time of this report, assuming that the soils sampled were representative of the area. This is further supported by the non -detected concentrations of TPH in boring B-2 which was in the alley about 25 feet east of this tank. Based on the analytical chemistry results, the soils in the vicinity of the 1,000-gallon caI=s�.`ry l_ tank locally only exceed the 200 mg/kg WDOE guideline for TPH concentrations. University Savings Bank July 6, 1989 172/1 Dak M ENVIRONMENT Page 8 5E-1044-1 5.0 RECOMMENDATIONS r- 5.1 Tank and Piping Abandonments We recommend abandoning the 1,000-gallon and 10,000-gallon capacity tanks in place due to the potential impacts to the.existing nearby structures. In addition, the piping connected to the three fill caps along Maple Street should be abandoned in place unless future site development ! will be impaired. Our discussions with Lt. Stan OIsen of the Edmonds Fire Department and Mr. Joseph Hickey of the Washington State Department of Ecology (WDOE) on June 1, 1989 indicate that in -place abandonments should be possible, provided the Chief of the Edmonds i Fire Department concurs and approves the permits. We suggest that in -place abandonments should be evaluated in terms of future site usage before this work is completed, however. We recommend leaving the TPH-impacted soils near the 1,000-gallon capacity tank in place, provided that the WDOE approves. This is due to the potential to disturb the building's foundations during any excavation to remove or treat the soils. The WDOE approval for leaving the soils untreated in situ should be obtained before abandoning this tank. (-_ The abandonments should be completed by a qualified contractor experienced with in situ tank and piping abandonment procedures. The contractor should arrange for the required permits and notifications. All of the tank abandonment work should be completed in accordance with the existing federal, state and local regulations in effect at the time of the tank abandonments. t Prior to starting the actual abandonment activities, we recommend having a licensed hazardous waste removal contractor pump the contents out of both tanks. The waste removal contractor l should then triple rinse the tanks and remove all rinsate. Finally, we recommend that University Savings Bank notify the WDOE of the abandonments once the work is completed. We would be pleased to do this on your behalf, if requested. We also suggest that University Savings Bank permanently retain copies of the abandonment documents. THORNE ENVIRONMENTAL, INC. r ' Steven R. Bruce Environmental Manager 11�eA) t. s Maurice W. Gallarda, P.E. ` 1 Principal Engineer i LJ FM W Antique Z Fuel w Pump t 000-gal TP-40 Tank B-3 Landscaped Area TP-5 ❑ TPA__ Jr 000 Fill Caps DAYTON STREET Old Mill Retail Shops TP-22 10,000-gal Tank TP-3 Upper 2 Parking Lot TP-1 MAPLE STREET 13-2 C EXPLANATION Not to Scale Number and Approximate Test Pit Location Number and Approximate Boring Location By Others TH0N E University ,savings Bank 111 a Old :Mill, Edmonds, USIA Figure ENVIRONMENTAL -- SITE PLAN Al?;D Dam June w. SA <, �L.E W-C-A SON MAP PrajEc-t Nuri:,�: 5�.104L-71 - -- - - ...—._._....—..�....�._.. _- ... a APPENDIX A ANALYTICAL CHEMISTRY DATA CLIENT: Thorne Environmental DATE RECEIVED: 5/31/89 REPORT TO: Steve Bruce DATE REPORTED: 6/15/89 PROJECT NC . ; BE 1044 4 FUEL ANALYSIS (EPA METHOD 8015 MODIFIED) IN SOIL r Laboratory Client Sample No. Identification Gasoline Diesel #1 Diesel 47r2 908621 Tank 1 S1 ND ND ND �- 908622 Tank 1 S2 ND ND ND 908623 Tank 1 S3 ND ND ND r Detection Limit 20. 25. 40. f 0 All concentrations reported in mg/kg on an "as received" basis. ND = Not Detected TABLE A-1 1 N M S1 CLIENT: Thorne Environmental DATE RECEIVED: 5/31/89 REPORT TO: Steve Bruce DATE REPORTED: 6/14/89 PROTECT :;w.. 5E-1044 BTEX BY EPA METHOD 8020 Laboratory Sample Number 908621 908622 908623 Detection Limit Client Identification Tank z Tank 1 Tank 1 (mg/kg) S1 S2 S3 Benzene ND ND ND 0.005 Toluene ND ND ND 0.005 m+p-Xylene ND ND ND 0.01.0 o-Xylene ND ND ND 0.005 Ethyl Benzene ND ND ND 0.005 ND = Not Detected REPORTED BY: MH/ja Mark Hamilton TABLE A-2 6 ►� 1� ►err-ar� ��►VJIi � A Inc ofassmTeiv Prpluiional Analytical Sarvices 14603 N S 971h Redmond WA 980E2 Fax: 206 303 349 ANALYSIS REPORT Tel: 206US MA CLIENT: Thorne Environmental Lab DATE RECEIVED: 6/21/89 REPORT TO: Steve Bruce DATE REPORTED: 6/30/89 19730 - 64th Avenue West Suite 205 P.O. NO.: 5E-10444 r Lynnwood, WA 98036 f f Laboratory Client Total Petroleum Hydrocarbons i Sample Nos. Identification (mg/kg) 910113 H-2, S-4 ND - NDI r 910114 B-2 , S-6 ND L910115 B-3, S-3 92.2 910116 B-3, S-4 ND DETECTION LIMIT 5.0 ND = Nothing Detected. r Analysis by EPA Method 418.1. r REPORTED BY l 17TD/pb John T.4Dai TABLE Am3 i, rnTait �� Anfess Inc Prleaaional Analytical cervices 14603 N E. B7th Redmond. WA 98052 Fax: 206 883 349' ANALYSTS REPORT Ta1:206 8851664 CLIENT: Thorne Environmental DATE RECEIVED: 5/31/89 REPORT TO: Steve Bruce DATE REPORTED: 6/1.6/89 19730 64th Avenue West Suite 205 PROJECT NO.: 5E 1044 Lynnwood, WA 98036 Laboratory Client Total Petroleum. Hydrocarbon Sample No. Identification (mg/kg) 908624 Tank 2 S1 X 941. TABLE A- 4 r f CLIENT: Thorne Environmental DATE RECEIVED: 5/31/89 REPORT TO: Steve Bruce DATE REPORTED: 6/15/89 nRVLTLCi 14T 11M. • 5E 1044 PCB'S IN SOIL BY EPA METHOD 8080 Detection Laboratory Client Conc. Limit Sample No. Identification Arochlor (mg/kg) (mg/kg) 908624 Tank 2 SZ ND 0.05 ND = Not Detected Results reported on an "as received" basis. TABLE A, 5 U CLIENT: Thorne Environmental REPORT TO: Steve Bruce E.P. TOXICITY DATE RECEIVED: 5/31/89 DATE REPORTED: 6/14/89 PROJECT I;0.: 5E-1044 Laboratory Sample Number 908624 Client Identification Tank 2 S1 Arsenic <0.02 Barium <1.0 Cadmium <0.05 Chromium <0.10 Lead <0.16 Mercury <0.001 selenium <0.05 salver <0.05 All values in mq/1. < = Less than Maximum Allowable Concentration (Mg/1) 5.0 100.0 1.0 5.0 5.0 0.20 1.0 5.0 TABLE A-�6 A -4- CLIENT: Thorne Environmental REPORT TO: Steve Bruce DATE RECEIVED: 5/31/89 DATE REPORTED: 6/14/89 DATE REVISED: 7/14/89** PROJF,C'T No:! 6 E_ 1 n A e GC ANALYSIS OF PURGEABLE HALOCARBONS By EPA Method 8010 Laboratory Sample Number Blank 908624 Client Identification Tank 2 S1 Detection Limit (mg/kg) Chloromethane ND ND 0.040 Vinyl Chloride ND ND 0.040 Bromomethane ND ND 0.040 Chloroethane ND ND 0.040 Dichloredifluorometha.ne ND ND 0.040 Trichlorofluoromethane ND ND 0.040 1,1-Dichloroethylene ND ND 0.040 Methylene Chloride 0.660 0.720 0.040 Trans-1,2-Dichloroethylene ND ND 0.020 1,1-Dichloreethane ND ND 0.020 1 Chloroform ND ND 0.020 1,1,1-Trichloroethane ND ND 0.020 Carbon Tetrachloride ND ND 0.020 1,2-Dichloroethane ND ND 0.020 Trichloroethylene ND ND 0.020 1,2-Dichloropropane ND ND 0.020 Di,chlorobromomethane ND ND 0.020 Trans-1,3-Dichloropropene ND ND 0.020 Cis-1,3-Dichloropropene ND ND 0.020 I 1,1,2-Trichloroethane ND ND 0.020 Tetrachloroethylene ND ND 0.020 Dibromochloromethane ND ND 0.020 Bromof'orm ND ND 0.020 1, 1, 2,2-Tetrachloroethane ND ND 0.020 ND = Not Detected All results. in mg/kg. *Methylene Chloride is found both in the Blank and sample, so th background laboratory contamination is suspected. Conversicn of un is involved, causing elevated value. **Report revised due to typographical error. i J FA L• IIY.11�e.�:df� rI r r- �C AmTe Inc v Professional Analydcal sor.iz6s 14603 N E 67th S% Redmond WA 98052 Fax:206 883 USS ANALYSIS REPORT Tel: 206 885 1664 CLIENT: Thorne Environmental DATE RECEIVED: 6119189 REPORT TO: Steve Bruce DATE REPORTED: 6/26/89 19730 64th Avenue West Suite 205 PROJECT NO.: 5E 1044 Lynnwood, WA 98036 Laboratory Client Total Petroleum Hydrocarbon* Sample No. Identification (mg/kg) 909989 Tank 2 - S2 41.5 *EPA Method 418.1 BY:Galt— REPORTED►- JTD/ja John T. Dailey TABLE A - 8 TANK CLEANING CERTIFICATION E Nardsvest .,- ROB. {z 19 Y � P • i w TO whom it may-b&ncern: t'hie letter is to 6arttfg that this tank(s), si.ze(s)+- have been pumped and-rAftx9 i for 4ork was preformed at WhTHWES`F ERVIRQSSERVICHe INC- Jndergro=d Tank aperations .: ►Note : This letter does nett . certify thatthe above tank (s) have been eleaned`�' for disposal or be considered gas free. L � � EDMONDS FARE DEPT. tea• i- r +d{ ti, •_+-.� . s f -: fi �t� Ti;�T�t�©. 1 ? CH--V°�Y.. CERTFI YE � �� tS���R— � . •�-----�— Y� I�� �. ;,�, i T�c,rft-fir �rL���.�� �_.__� »lam by— t, r r. _L =� a s�.orclac.lS�;VnYd O [ t— Tine L31 ealgoes _ -'w^ +, LCI - - C o 10 -� +S �. _. Oil _. ��--•mar`-'+y=G•2,•:.Fn-7r �•^'•.S"' 141, • G ' - Y.. : �... f =�-'r +• r�' r • t - _ _ •e• r y°• 'tom l�r�d '• _:�Y'-• F. _ ii� • is •-�. •' 'r A. is •l " r� it�Yi - L ------- all • a er c�aa�+a } `>rltiRaP�AgiR'� fE b� cCtL�*�"!-_�- . il'rY.i• ��•r �Clfn 4arssol�`+xiZlti*�•' sFrnAwtiY,{W Y �ywl �;'�"+•v� Y STRSvp0.RG SAFETY 0EStGNATSi�N nere�at �ig"'Ved taf : -- 0rgye1 wlttrMir ul st>n atmvsa n r�gsh:tp strs+n !er'c aknsits.�?id shat.iCill'+� rL•r�d:sas 71C tksiCA[7tlWE c! p*odnr�nQ U]%tC� • , - r '- "• . WGRY.ERS- n nme�5s pr space sa _- SAFE _on Mews dial inlr>p � �"' rare costce�, matt cti.l, a ?n?�!w; arey+rt �l.pe[ £] v;� r_ctu iceSt �g rxik 1iC� ill inimtarpl i rf�rikenix nI Sefr !Cr W txkErS F v�roKf ratrs.d�seeit%x+rhdq mail sp dessgltalpd. lhi regLr aLSCast Yolsrls�.-usQ r K�� aiE�eLYs Ln tlic-il P lnlusrs pr space iTiha�e��� ltO± R G7i3Pns�xi ed• w DXYS n 66ntuA p4 eha amrus +a T�_ inW++ ktbkz Hcxr tRro > ' "fir;,, a i r� m r u,s1xk�►s,ai, r "d`k`d by s I-- iP f zP au erc not cygsh�0[ charm s� rr-scan:: arx! Frxdsel, that. Or Gre t haveb1°''nLlt { fiuitlmnlr� iL tf-il>1c3ad Osl 1hC AS1rg1, pr Who on ta" or erKiCUM• . - - ss•[' Ca'k. and whs�e rile �rrrttls� pr, 1R kSra of iur3 tdltkS. i j `_ '• - ; tt>R>lgrCl+d ircc 4r are p�B[= v uaeRneius I Sale lur F4Dt Work rkeva nsH bmert; 1'cc i j�, £hemtdl's � artnienl sa de ,902Md- the n:k r �El rttOT SAf!~ FCIB lliiT VVt3RK Mears Sisal m lha mrss;t uClgwd[aha. 50 dkt T�:k rcYA[ OiyprT- and trss tfisan T 6 pat h[,ykns tlsat Ina ramu�nmanss aralsaarxx syf rtsc irasnrttahSe �� ceru � �.» •'•.r , ,.,� ��pArR YARD ENT" a�� sd tie �e - E• lts s�y[yHFPA30t�d tsarons, resurxSarxSSSist`t�` 16ta[esn _ . • ' x„.t' remorw sarr.p n`4 li58{'al[ syaCcsinkiselsfr imiud. rigs rhave airy dcierrrm'*�d i�+• _ � T ] : -F `- M elvr TnLeis su cYskiiy t �it+ xoeardar!cz rnsmris ass+yned rSes+s _ : Lne *+�°'►' ' sr £HE:MlsTt ENDOWSPlx ian atwd5 fn , it K;Izdrx, ms Vol and ham` found ttss ctprdr[ •r �• • ..r.,,, '^", ._ rn •��1p,� y aye ,gtti�d { _ _ ...� ..n.. i ali0 St:ra CtIIkILCfIC K �id� � +[}+Jed 11llal� � � 7 I' Fug. --�---- j i r jjr ql �' APPENDIX B BORING LOGS PHASE 11 SUBSURFACE INVESTIGATION Old Milltown Building Edmonds, Washington Farallon PN: 502-001 GAProjects1503 GM503001 Old Mllllmsn\RepansTlmse 11 Rptlphue 11 Rpt.dac FARALLON CONSULTING 320 3rd Avenue NE USCS Classification and Graphic Legend Issaquah, WA 9BO27 0 a o to T U tl± Major Divisions t CL � Lithologic Description N U � U N � Coarse- GRAVEL CLEAN GRAVEL (Little Off' �d GW Well graded GRAVEL, well graded GRAVEL with sand Grained AND or no fines) Soil (More GRAVELLY ➢ GP Poorly graded GRAVEL, GRAVEL with sand than 50% SOIL (More ° q GRAVEL WITH FINES GP -GM Poorly graded GRAVEL - GRAVEL with sand and sill of material than 50% of is larger coarse (Appreciable amount of GM Silty GRAVEL than No. fraction fines) 200 sieve retained on size) No. 4 sieve) r� ra GC Clayey GRAVEL .rf:r SAND AND CLEAN SAND (Little or SW Well graded SAND SANDY no fines) SP Poorly graded SAND SOIL (More than 50% of SAND WITH FINES SP-SM Poorly graded SAND - silty SAND coarse fraction (Appreciable amount of SM Silty SAND passed fines) through No SC Clayey SAND 4 sieve) SM-ML SILT - Silty SAND Fine- SILT AND H ML SILT Grained CLAY (Liquid - CL CLAY Soil (More limit less than 50% than 50) OL _ ^Organic SILT of material is smaller I I I I I than No. SILT AND MH Inorganic SILT 200 sieve CLAY (Liquid CH Inorganic CLAY size) limit greater than 50) OH Organic CLAY Highly Organic Soil PT Peat OTHER PAVEMENT AC Asphalt concrete MATERIALS - CO Concrete RK Bedrock OTHER WD Wood Debris 2L_ DB Debris (Miscellaneous) FAPC Portland cement Legend ❑ Sample Interval Solid line indicates sharp Grab Sample Interval p:;; Cement Grout contact between units well defined. ❑ Water level at time of drilling �lllllll Bentonite ------_ Dashed line indicates gradational contact between units Water level at time of sampling feel bgs = feet below ground surface II Blank Casing l Sand Pack NE = Not Encountered NA = Not Applicable J1 PID = Photolonizalion Detector Well Cap PN = Project Number Screened Casing ppm = Parts per Million E;kFonnslBollerolaleslLooPlotlLllhology�Coverpage USCS = Untried Soil Classification System FARALLON CONSULTING 320 .3rd Avenue NE Log g O� BOI"Il"I B Issoquoh, WA 98027 Page i of i Client: GPA, Inc. DatelTime Started: 5/02/06 1600 Sampler Type: 4' w/poly sleve Project: Old Milltown Building Daterrime Completed: 5/02/06 1730 Drive Hammer (lbs.): NA Location: Edmonds, WA Equipment: Geo Probe Depth of Water ATD (ft bgs): 6 Drilling Company: Cascade Drilling, IncTotal Boring Depth (ft bgs): 8 Drilling Foreman: Casey Total Well Depth (ftbgs): 8 Farallon PN: 502-001 J Drilling Method: Direct Push Logged By: John Schmitt y D) i0 V 01 � a z c Boring/Well w d Lithologic Description c9 o 'o a Construction t a N a) V v Sample ID Q Details o m m a ui 0 0-2' Hand dig 0-l' Topsoil. SP-SM 1'-2' SAND with gravel, minor silt, brown, moist. Attempt to drive probe 2'-6', no recovery due to rock, move off hole and attempt second drive. Hand auger to 4' 4'-5' Silty SAND, minor gravel, dark brown to black, loose, moist, no SM odor 5 — 5'-6' Becomes SAND, fine to medium grained, minor gravel, minor silt, SP gray 01 B1-5-6 X -------------- -------------- 6'-8' Becomes trace silt, fine to coarse gravel, coarse gravel at 8', .' 100 _ Temporary well screen brown, wet, no odor Collect reconnaissance groundwater sample, cloudy. yellowish brown B1-7-8 02 B1-RGW X Ground Surface Elevation (ft): NA Monument Type: NA Well Construction Information ( ) Casing Diameter (inches): 1 Filter Pack: NA Top of Casing Elevation (ft): NA Screen Slot Size (inches): 0 010 Surface Seal: NA Boring Abandonment: Bentonile Screened Interval (ft bgs): 3-8 Annular Seal: NA Surveyed Location: X: NA Y: NA aR FARALLON CONSULTING 320 -3rd Avenue NE Issaquoh, WA 98027 Client: GPA, Inc. Project: Old Milltown Building Location: Edmonds, WA I Farallon PN: 502-001 1 LnnnP-d Rv- Jahn Schmitt Log of Boring: B2 Page 1 of 1 DateMme Started: 5102/06 1740 Sampler Type: W w/poly sleve Date/Time Completed: 5/02/06 1825 Drive Hammer (lbs.): NA Equipment: Geo Probe Depth of Water ATD (ft bgs): 65 Drilling Company: Cascade Drilling, Inc Total Boring Depth (ft bgs): 8 Drilling Foreman: Casey Total Well Depth (ft bgs): 8 Drilling Method: Direct Push co Q m BoringlWell w v Lithologic Description o o w a Construction e E v a ; Sample ID `an. Details o O w U) =3:3 v) = o m 0 a 8 0 0-4" CONCRETE CO 4"-5 5' SAND, fine to medium grained, trace fine gravel, trace silt, SP brown, moist, no odor . 100 0.0 B2-2-4 5 5 5'-8' Becomes fine to coarse grained, wet 0.1 B2-5-6 X • 100 Temporary Well Screen Collect reconnaissance groundwater sample, slightly yellowish B2-RGW X Monument Type: NA Casing Diameter (inches): Screen Slot Size (inches): Screened Interval (ft bgs): Well construction information Ground Surface Elevation (ft): Filter Pack: NA 1 0 010 Surface Seal: NA 3-8 Annular Seal: NA Top of Casing Elevation (ft): Boring Abandonment: Surveyed Location: X: NA Y: NA NA NA Bentonite FARALLON CONSULTING 320 .3rd Avenue NE Issaquah, WA 98027 Client: GPA, Inc. Project: Old Milltown Building Location: Edmonds, WA Farallon PN: 502-001 Logged By: John Schmitt Log of Boring: B3 Page 1 of 1 DaterrIme Started: 5/02/06 1825 Sampler Type: 4' w/poly sleve DatefTime Completed: 5/02/06 1900 Drive Hammer (lbs.): NA Equipment: Geo Probe Depth of Water ATD (ft bgs): NA Drilling Company: Cascade Drilling. Inc Total Boring Depth (ft bgs): 8 Drilling Foreman: Casey Total Well Depth (ft bgs): NA Drilling Method: Direct Push m m co m a t3oringtWell Lithologic Description o a construction Y CL u b M Sample ID a Details d N D a e m a n 0 0-4" CONCRETE co 4"-5' SAND, fine to medium grained, minor fine gravel. trace to monor SP sill, brown, moist, no odor, roots present 75 01 B3-3-4 X 5'-6' Sandy SILT. brown, moist, no odor, organics and wood ash (black) 6'-8' SAND with silt, fine to medium grained, brown. moist, no odor Refusal at 8' ML 01 B3-5-6 SM 75 00 1 B3-7-8 I X ! Monument Type: NA Well Construction Information ( ) Ground Surface Elevation (ft): NA [IS2arsin9 Diameter (inches): NA Filter Pack: NA p g Elevation (ft): NA To of Casing cren Slot Size (inches): NA Surface Seal: NA Boring Abandonment: Bentonite cened Interval (ft bgs): NA Annular Seal: NA Surveyed Location: X: NA Y: NA FARALLON CONSULTING 320 3rd Avenue NE Issaquah, WA 98027 Client: GPA, Inc. Project: Old Milltown Building Location: Edmonds, WA Farallon PN: 502-001 Logged By: John Schmitt. Log of Boring: B4 Page 1 of 1 Date/Time Started: 5/02/06 1900 Sampler Type: 4' w/poly sleve Daterl'ime Completed: 5/02/06 1945 Drive Hammer (lbs.): NA Equipment: Geo Probe Depth of Water ATD (ft bgs): 6 Drilling Company: Cascade Drilling, Inc Total Boring Depth (ft bgs): 8 Drilling Foreman: Casey Total Well Depth (ft bgs): 8 Drilling Method: Direct Push V � Lithologic Description rD o o r O m fA N m V o v a o w CUn > vi > o m 0 a 0 0-4" CONCRETE co 4"-3' SAND, with gravel, trace slit, brown, moist, no odor SP ------------------------------------------------------- 3'-4 5' Becomes SAND, fine grained, minor silt, grey -brown, moist, no SP-SM odor -o N BoringlWell 4 Construction Sample ID 0- Details 02 1 134-3-4 1 X 4.5'-8' Becomes SAND, fine to medium grained, trace silt, brown. with SP orange mottling at 6' 5 0 1 B4-5-6 Collect reconnaissance groundwater sample, cloudy, yellow -orange. .'. snn Monument Type: NA Casing Diameter (inches): 1 Screen Slot Size (inches): 0 010 Screened Interval (it bgs): 3-B Temporary well screen 02 B4-7-8 B4-RGW X Well Construction Information Ground Surface Elevation (ft): NA Filter Pack: NA Top of Casing Elevation (ft): NA Surface Seal: NA Boring Abandonment: Bentonile Annular Seal: NA Surveyed Location: X: NA Y: NA EARALLON CONSULTING o Log Boring: B5 320 3rd Avenue NE g g Issaquoh, WA 98027 Page 1 of 1 Client: GPA, Inc. DatelTime Started: 5/02/06 1945 Sampler Type: 4'wlpoly sieve Project: Old Milltown Building Date/Time Completed: 5102106 2030 Drive Hammer (lbs.): NA Location: Edmonds, WA Equipment: Geo Probe Depth of Water ATD (ft bgs): 6 Drilling Company: Cascade Drilling_ Inc Total Boring Depth (ft bgs): 8 Drilling Foreman: Casey Total Well Depth (ft bgs): 8 Farallon PN: 502.001 Drilling Method: Direct Push Logged By: John Schmitt Q7 2 °O c a T a C Boring/Well w Lithologic Description o o a Construction E U a Sample ID a Details o m N W a rn e o m c a E w 0 0-4" CONCRETE CO 4"-5' SAND. fine to medium grained, trace fine gravel, [race silt Sp ,i 100 B5-3-4 X g---------------- ......------------------------- -- 5'-6' Becomes fine to coarse B5-5-6 -------------------------------------------- 6'-8' Becomes wet ,' 100 3r Temporary well screen Collect reconnaissance groundwater sample, cloudy, yellowish 85-7-8 B5-RGW X Well Construction Information Ground Surface Elevation (ft): NA Monument Type: NA Filler Pack: NA () Casing Diameter (Inches): 1 Top of Casing Elevation (it): NA Screen Slot Size (inches): 0 010 Surface Seal: NA Boring Abandonment: Benlonite Screened Interval (ft bgs): 3-8 Annular Seal: NA Surveyed Location: X: NA Y: NA APPENDIX C LABORATORY ANALYTICAL RESULTS PHASE II SUBSURFACE INVESTIGATION Old Milltown Building Edmonds, Washington Farallon PN: 502-001 GAProjcc1sUO2 GM302001 Old MilltownTeportsNhasc 11 RpOlwsc 11 ltpt.doc OnSite Environmental Inc, 14648 NE 951h Street, Redmond, WA 98052 • (425) 883-3881 May 10, 2006 Carla Brock Farallon Consulting, LLC 320 3'd Avenue NE, Suite 200 Issaquah, WA 98027 Re: Analytical Data for Project 502-001 Laboratory Reference No, 0605-028 Dear Carla: Enclosed are the analytical results and associated quality control data for samples submitted on May 3, 2006. The standard policy of OnSite Environmental Inc. is to store your samples for 30 days from the date of receipt_ If you require longer storage, please contact the laboratory. We appreciate the opportunity to be of service to you on this project. If you have any questions concerning the data, or need additional information, please feel free to call me. Sincerely, David Baumeister Project Manager Enclosures OnSite Environmental, Inc. 14648 NE 95"' Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the Individual or company to whom It Is addressed. Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-02B Project: 502-001 Case Narrative Samples were collected on May 2, 2006 and received by the laboratory on May 3, 2006. They were maintained at the laboratory at a temperature of 20C to 60C except as noted 'below. General QA/QC issues associated with the analytical data enclosed in this laboratory report will be indicated with a reference to a comment or explanation on the Data Qualifier page. More complex and involved QA/QC issues will be discussed in detail below. OnSite Environmental, Inc 14648 NE 95`" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 3 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 NWTPH-Gx/BTEX Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix. Water Units: ug/L (ppb) Client ID: B1-RGW 82-RGW Lab ID: 05-028-01 05-028-02 Result Flags PQL Result Flags PQL Benzene ND 1.0 ND 1.0 Toluene ND 1.0 ND 1.0 Ethyl Benzene ND 1.0 ND 1.0 m,p-Xylene ND 1.0 ND 10 o-Xylene ND 1.0 ND 10 TPH-Gas ND 100 ND 100 Surrogate Recovery: Fluorobenzene 107% 104% OnSite Environmental, Inc. 14648 NE 95"' Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed. 4 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 NWTPH-Gx/BTEX Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Water Units: ug/L (ppb) Client ID: B4-RGW B5-RGW Lab ID: 05-028-03 05-028-04 Result Flags PQL Result Flags PQL Benzene N❑ 1.0 ND 1'0 Toluene ND 10 ND 10 Ethyl Benzene ND 1'0 ND 1 0 m,p-Xylene ND 1.0 ND 1.0 o-Xylene ND 1.0 ND 1.0 TPH-Gas ND 100 ND 100 Surrogate Recovery: Fluorobenzene 104% 103% OnSite Environmental, Inc 14648 NE 95Street, Redmond, WA 98052 (425) 883-3881 This report pertains tc the samples analyzed in accordance wish the chain of custody, and is intended only for the use of the Indlv}duai or company to whom it is addressed. 5 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 NWTPH-Gx/BTEX METHOD BLANK QUALITY CONTROL Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Water Units: ug/L (ppb) Lab ID: MB0505W1 Result Flags PQL Benzene ND 1 0 Toluene ND 1.0 Ethyl Benzene ND 1.0 m,p-Xylene ND 1 0 o-Xylene ND 1.0 TPH-Gas ND 100 Surrogate Recovery: Fluorobenzene 105% OnSite Environmental, Inc 14648 NE 95'" Street, Redmond, WA 98052 (425) 883-38131 This report pertains to the samples analyzed in accordance with the chain of custody, and Is intended only for the use of the individual or company to whom it is addressed. Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 NWTPH-Gx/BTEX DUPLICATE QUALITY CONTROL Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Water Units: ug/L (ppb) Lab ID: 05-028-01 05-028-01 Original Duplicate RPD Flags Benzene ND ND NA Toluene ND ND NA Ethyl Benzene ND ND NA m,p-Xylene ND ND NA o-Xylene ND ND NA TPH-Gas ND ND NA Surrogate Recovery: Fluorobenzene 107% 104% OnSite Environmental, Inc. 14648 NE 95"' Street, Redmond, WA 98052 (426) 883-3881 This renal pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed. Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 NWTPH-Gx/BTEX MS/MSD QUALITY CONTROL Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Water Units: ug/L (ppb) Spike Level: 50.0 ppb Lab ID: 05-028-01 Percent 05-028-01 Percent MS Recovery MSD Recovery RPD Benzene 50.6 101 51.2 102 1 Toluene 50.8 102 51.3 103 1 Ethyl Benzene 51.1 102 51.3 103 0 m,p-Xylene 50.8 102 5'1.3 103 1 o-Xylene 51.3 103 51.2 102 0 Surrogate Recovery: Fluorobenzene 92% 95% OnSite Environmental, Inc 14648 NE 95,n Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 7 Flags 8 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 NW7PH-Dx Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Water Units: mg/L (ppm) Client ID: BI-RGW B2-RGW B4-RGW Lab ID: 05-028-01 05-028-02 05-028-03 Diesel Range: ND 4.4 ND PQL: 0.25 0.25 0.25 Identification: Diesel Range Organics --- Lube Oil Range: ND ND ND POL: 0.40 0.40 0.40 Identification; --- — Surrogate Recovery o-Terphenyl: 85% 96% 77% Flags: Y Y Y OnSite Environmental, Inc. 14648 NE 95m Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 9 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 NWTPH-Dx Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Water Units: mg/L (ppm) Client ID: B5-RGW Lab ID: 05-028-04 Diesel Range: ND PQL: 0.25 Identification: - Lube Oil Range: ND PQL: 0.40 Identification: --- Surrogate Recovery o-Terphenyl: 83% Flags: Y OnSite Environmental, Inc 14648 NE 951" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is Intended only for the use of the individual or company to whom it is addressed. 10 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 NWTPH-Dx METHOD BLANK QUALITY CONTROL Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Water Units: mg/L (ppm) Lab ID: MB0505W1 Diesel Range: ND POL: 025 Identification: ... Lube Oil Range: ND PQL: 0.40 Identification: Surrogate Recovery o-Terphenyl: 80% Flags: Y OnSite Environmental, Inc. 14648 NE 95'" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed In accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed. 11 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 NWTPH-Dx DUPLICATE QUALITY CONTROL Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Water Units: mg/L (ppm) Lab ID: 05-028-01 05-028-01 DUP Diesel Range: ND ND PQL: 025 0.25 RPD: N/A Surrogate Recovery o-Terphenyl: 85% 135% Flags: Y Y OnSite Environmental, Inc. 14648 NE 95,n Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody. and is intended only for the use of the individual or company to whom it is addressed, 12 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 DISSOLVED METALS EPA 200.817470A Date Filtered: 5-4-06 Date Analyzed: 5-8&9-05 Matrix: Water Units: ug/L (ppb) Lab ID: 05-028-01 Client ID: B1-RGW Analyte Method Result PQL Arsenic 200.8 ND 3.0 Barium 200.8 ND 25 Cadmium 200.8 ND 4.0 Chromium 200.8 ND 10 Lead 200.8 ND 1 0 Mercury 7470A ND 050 Selenium 2008 ND 5.0 Silver 200.8 ND 10 OnSite Environmental, Inc 14648 NE 95'" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 13 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 DISSOLVED METALS EPA 200.8/7470A Date Filtered: 5-4-06 Date Analyzed: 5-8&9-06 Matrix: Water Units: ug/L (ppb) Lab ID: 05-028-02 Client ID: B2-RGW Analyte Method Result PQL Arsenic 2008 NO 30 Barium 200�8 NO 25 Cadmium 200.8 NO 4.0 Chromium 2008 NO 10 Lead 200.8 8.5 1 0 Mercury 7470A NO 0.50 Selenium 2008 NO 5.0 Silver 2008 NO 10 nnSite Environmental, Inc. 14648 NE 95 n Street, Redmond, WA 98052 (425) 883-3681 This repert pertains to the samples analyzed in accordance with the chain of custody, and is mieridcd only for the use of the individual or company to whom it is addressed 14 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 DISSOLVED METALS EPA 200.8/7470A Date Filtered: 5-4-06 Date Analyzed: 5-8&9-06 Matrix: Water Units: ug/L (ppb) Lab ID: 05-028-03 Client ID: B4-RGW Analyte Method Result PQL Arsenic 200.8 ND 3.0 Barium 200.8 ND 25 Cadmium 200..8 ND 4.0 Chromium 200.8 ND 10 Lead 200.8 ND 1.0 Mercury 7470A ND 0.50 Selenium 2008 ND 5.0 Silver 200.8 ND 10 OnSite Environmental, Inc. 14648 NE 95,n Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 15 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 DISSOLVED METALS EPA 200.8/7470A Date Filtered: 5-4-06 Date Analyzed: 5-8&9-06 Matrix: Water Units: ug/L (ppb) Lab ID: 05-028-04 Client ID: B5-RGW Analyte Method Result PQL Arsenic 200.8 ND 3.0 Barium 200.8 ND 25 Cadmium 200.8 ND 4.0 Chromium 200.8 ND 10 Lead 2008 ND 1.0 Mercury 7470A ND 0.50 Selenium 200.8 ND 50 Silver 200.8 ND 10 OnSite Environmental, Inc 14648 NE 95'n Street, Redmond, WA 98052 (425) 883-3881 This report perlains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 16 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 DISSOLVED METALS EPA 200.8I7470A METHOD BLANK QUALITY CONTROL Date Filtered: 5-4-06 Date Analyzed: 5-8&9-06 Matrix: Water Units: ug/L (ppb) Lab ID: M130504D1 Analyte Method Result PQL Arsenic 200.8 ND 3.0 Barium 200.8 ND 25 Cadmium 200.8 ND 4.0 Chromium 200.8 ND 10 Lead 2008 ND 1.0 Mercury 7470A ND 0.50 Selenium 200.8 ND 5,0 Silver 200.8 ND 10 OnSite Environmental, Inc_ 14648 NE 95"' Street, Redmond, WA 98052 (425) 883-3881 This repio pertains to the samples analyzed in accordance with the chain of custody, and is interred �d only for the use of the individual orcompany to whom it is addressed. 17 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 DISSOLVED METALS EPA 200.8/7470A DUPLICATE QUALITY CONTROL Date Filtered: 5-4-06 Date Analyzed: 5-8&9-06 Matrix: Water Units: ug/L (ppb) Lab ID: 05-028-01 Sample Duplicate Analyte Result Result RPD PQL Arsenic ND ND NA 3.0 Barium ND ND NA 25 Cadmium ND ND NA 4.0 Chromium ND ND NA 10 Lead ND ND NA 1.0 Mercury ND ND NA 0.50 Selenium ND ND NA 5.0 Silver ND ND NA 10 Flags OnSite Environmental, Inc 14648 NE 95'" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is inlended only for the use of the individual or company to whom it is addressed. 18 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 DISSOLVED METALS EPA 200.817470A MS/MSD QUALITY CONTROL Date Filtered: 5-4-06 Date Analyzed: 5-8&9-06 Matrix: Water Units: ug/L (ppb) Lab ID: 05-028-01 Spike Percent Percent Analyte Level MS Recovery MSD Recovery RPD Flags Arsenic 250 246 98 249 100 1 Barium 250 260 104 264 106 2 Cadmium 250 247 99 251 100 2 Chromium 250 241 96 242 97 1 Lead 250 250 100 253 101 1 Mercury 12.5 11.9 95 11.8 94 1 Selenium 250 239 96 243 97 2 Silver 250 247 99 254 102 3 OnSite Environmental, Inc- 14648 NE 95" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 19 onSite Environmental Inc. Data Qualifiers and Abbreviations A - Due to a high sample concentration, the amount spiked is insufficient for meaningful MS/MSD recovery data B - The analyte indicated was also found in the blank sample- C - The duplicate RPD is outside control limits due to high result variability when analyte concentrations are within five limes the quanlilalion limit. E - The value reported exceeds the quantitation range and is an estimate. F - Surrogate recovery data is not available due to the high concentration of coeluting target compounds G - Insufficient sample quantity for duplicate analysis H -The analyle indicated is a common laboratory solvent and may have been introduced during sample preparation, and be impacting the sample result. I - Compound recovery is outside of the control limits_ J - The value reported was below the practical quantitation limit- The value is an estimate K - Sample duplicate RPD is outside control limits due to sample inhomogeneily. The sample was re -extracted and reanalyzed with similar results L - The RPD is outside of the control limits. M - Hydrocarbons in the gasoline range (toluene-napthalene) are present in the sample. Q - Hydrocarbons indicative of diesel fuel are present in the sample and are impacting the gasoline result, P - The RPD of the detected concentrations between the two columns is greater than 40. Q - Surrogate recovery is outside of the control limits. S - Surrogate recovery data is not available due to the necessary dilution of the sample T - The sample chromatogram is not similar to a typical U - The analyte was analyzed for, but was not detected above the reported sample quantitation limit. V - Matrix Spike/Matrix Spike Duplicate recoveries are outside control limits due to matrix effects. W - Matrix Spike/Matrix Spike Duplicate RPD are outside control limits due to matrix effects. X - Sample extract treated with a silica gel cleanup procedure_ Y - Sample extract treated with an acid/silica gel cleanup procedure. Z- ND - Not Detected at PQL PQL - Practical Quantitation Limit RPD - Relative Percent Difference OnSite Environmental, Inc 14648 NE 95"' Street, Redmond, WA 95052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it Is addressed --- Chain of Custody Page of onSite Environmental Inc. Laboratory Number: 0 5— 0 2 8 14W NE 95th Street • Radmand, WA 9ee52 Phone: t4251 aBo- i Fat:(425) OSS-4543 I Company* 1 (Check One) TJc:. ri +.� I f r. 3 ❑ Same Day ❑ 1 Day LM Project Number: soa-� R N Project Name: ❑ 2 Day ❑ 3 Day U .Standard (7 working days) tx c -1 m — o m� Pro)ect Manager: C.w ray t[ tads.-� G p ~ x cv m n m o CU Co C5 W Semptad �W1j'[� +` (ether] = C� © m m CoN m cc � m y o Date Time Sampled'T of r nt ;� z p_r Z z o is x m rn ¢ a U rL d a a)U z o r isample > > -Sampled!Z ff —y I C4 S x vJ ly �. o o v Relinquished by Company Date Time ; 1 't/ Comments/Speclal Instructions: Received by� [p✓�� (•-O i �� d Relinquished by Received by Relinquished by Received by Reviewed by/Dale Reviewed by/Date Chromatograms with Iinai report ❑ DISTRIBUTION LEGEND: White - OnSlte Copy Yellow - Report Copy Pink - Client Copy r OnSite Environmental Inc. 14648 NE 95" Street, Redmond, WA 98052 • (425) 883-3881 May 10, 2006 Carla Brock Farallon Consulting, LLC 320 Td Avenue NE, Suite 200 Issaquah, WA 98027 Re: Analytical Data for Project 502-001 Laboratory Reference No, 0605-029 Dear Carla: Enclosed are the analytical results and associated quality control data for samples submitted on May 3, 2006. The standard policy of OnSite Environmental Inc. is to store your samples for 30 days from the date of receipt. If you require longer storage, please contact the laboratory_ We appreciate the opportunity to be of service to you on this project If you have any questions concerning the data, or need additional information, please feet free to call me. Sincerely, -- , - r� David Baumeister Project Manager Enclosures OnSite Environmental, Inc 14648 NE 95,n Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed. 2 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 Case Narrative Samples were collected on May 2, 2006 and received by the laboratory on May 3, 2006. They were maintained at the laboratory at a temperature of 20C to 60C except as noted below.. General QA/QC issues associated with the analytical data enclosed in this laboratory report will be indicated with a reference to a comment or explanation on the Data Qualifier page. More complex and involved QAIQC issues will be discussed in detail below. NWTPI-I GxIBTEX Anal sis Per EPA Method 5035A, samples were received by the laboratory in pre -weighed 40 mL VOA vials within 46 hours of sample collection_ They were stored in a freezer at between -70C and -20°C until extraction or analysis. Any other QA/QC issues associaled with this extraction and analysis wilt be indicated with a footnote reference and discussed in detail on the Data Qualifier page.. OnSite Environmental, Inc. 1464E NE 95"' Street, Redmond, WA 98052 (425) B83-3881 This report pertains to the samples analyaed in accordance with the chain of custody, and is intended only for the use of the [ndiv'.dual or company to whom it is addressed 3 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 NWTPH-Gx/BTEX Date Extracted: 5-8-06 Date Analyzed: 5-8-06 Matrix: Soil Units: mg/kg (ppm) Client ID: Bi-5-6 132-5.6 Lab ID: 05-029-01 05-029-04 Result Flags POL Result Flags PQL Benzene ND 0.020 ND 0.020 Toluene ND 0,046 ND 0.047 Ethyl Benzene ND 0.046 ND 0.047 m,p-Xylene ND 0.046 ND 0,047 o-Xylene ND 0.046 ND 0.047 TPH-Gas ND 4.6 ND 41 Surrogate Recovery: Fluorobenzene 102% 93% OnSite Environmental, Inc. 14648 NE 95'n Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the lndlvidual or company to whom it is addressed. 4 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 NWTPH-Gx/BTEX Date Extracted: 5-8-06 Date Analyzed: 5-8-06 Matrix: Soil Units: mg/kg (ppm) Client ID: 83-3-4 63-7-8 Lab ID: 05-029-05 05-029-07 Result Flags PQL Result Flags PQL Benzene ND 0.020 ND 0.020 Toluene ND 0.051 ND 0 057 Ethyl Benzene ND 0.051 ND 0.057 m,p-Xylene ND 0.051 ND 0.057 o-Xylene ND 0.051 ND 0.057 TPH-Gas ND 5.1 ND 5.7 Surrogate Recovery: Fluorobenzene 109% 85% OnSite Environmental, Inc. 14648 NE 951" Street, Redmond, WA 98052 (425) 883-3881 This rep�rl pertains to the samples analged in accordance with the chain of c,=tcdy, and Is if,ler,ded only far the use of the individual or company to whom it is addressed. 5 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Prosect: 502-001 Date Extracted: Date Analyzed: Matrix: Soil Units: mg/kg (ppm) Client ID: Lab ID: Benzene Toluene Ethyl Benzene m,p-Xylene o-Xylene TPH-Gas Surrogate Recovery: Fluorobenzene NWTPH-Gx/BTEX 5-6-06 5-8-06 134-3-4 B5-3-4 05-029-08 05-029-11 Result Flags PQL Result Flags PQL NO 0.020 NO 0 020 NO 0.039 NO 0.041 NO 0.039 NO 0.041 NO 0 039 NO 0.041 NO 0 039 NO 0.041 NO 39 NO 4,1 91% 105% OnSite Environmental, Inc, 14648 NE 9-5"' Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 6 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 NWTPH-GxIBTEX METHOD BLANK QUALITY CONTROL Date Extracted: 5-8-06 Date Analyzed: 5-8-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: MB0508S2 Result Benzene ND Toluene ND Ethyl Benzene ND m,p-Xylene ND o-Xylene ND TPH-Gas ND Surrogate Recovery: Fluorobenzene 95% Flags PQL 0.020 0 050 0.050 0.050 0.050 5.O OnSlte Environmental, Inc. 14648 NL ` b 5[reet, meamono, vvn aou— t4co) 000-000 r This report pertains to the samples analyzed In accord.ince with the chain of custody, and is -derided only for the use of the individual or cnrnpany to whom it is addressed 7 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 NWTPH-Gx/BTEX DUPLICATE QUALITY CONTROL Date Extracted: 5-8-06 Date Analyzed: 5-8-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-045-01 05-045-01 Original Duplicate RPD Flags Benzene ND ND NA Toluene ND ND NA Ethyl Benzene ND ND NA m,p-Xylene ND ND NA o-Xylene ND ND NA TPH-Gas ND ND NA Surrogate Recovery: Fluorobenzene 84% 83% OnSite Environmental, Inc 14648 NE 951" Street, Redmond, WA 9BO52 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 NWTPM-Gx/BTEX MSIMSD QUALITY CONTROL Date Extracted; 5-8-06 Date Analyzed: 5-8-06 Matrix: Soil Units: mg/kg (ppm) Spike Level (ppm): 2.63 Lab ID: 05-008-01 Percent 05-008-01 Percent MS Recovery MSD Recovery Benzene 2.64 101 2.71 103 Toluene 2.65 101 2.7'1 103 Ethyl Benzene 2.67 102 2.73 104 m,p-Xylene 2.67 102 2.73 104 o-Xylene 2.68 102 2.74 104 Surrogate Recovery: Fluorobenzene 92% 93% 8 RPD Flags 3 3 2 2 IJ OnSite Environmental, Inc- 14648 NE 951" Street, Redmond, WA 98052 (425) 883-3881 This repan pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 9 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 NWTPH-Dx Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Soil Units: mg/kg (ppm) Client ID: Bi-5-6 132-5-6 B3-3-4 Lab ID: 05-029-01 05-029-04 05-029-05 Diesel Range: ND ND ND PQL: 28 30 27 Identification: --- - Lube Oil Range: ND ND ND PQL: 55 60 54 Identification: --- Surrogate Recovery o-Terphenyl : 98% 98% 104% Flags: Y Y Y OnSite Environmental, Inc 14648 NE 95" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analysed in accorclance •:J[h the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 10 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 NW'TPH-Dx Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Soil Units: mg/kg (ppm) Client ID: 133-7-8 1334-3-4 135-34 Lab ID: 05-029-07 05-029-08 05-029-11 Diesel Range: ND ND ND PQL: 31 28 27 Identification: --- Lube Oil Range: ND ND ND PQL: 62 57 54 Identification: --- Surrogate Recovery o-Terphenyl: 86% 95% 97% Flags: Y Y Y OnSite Environmental, Inc. 14648 NE 95"' Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed. 11 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-025 Project: 502-001 NWTPH-Dx METHOD BLANK QUALITY CONTROL Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: MB0505S1 Diesel Range: ND PQL: 25 Identification: --- Lube Oil Range: ND PQL: 50 Identification: --- Surrogate Recovery o-Terphenyl: 106% Flags: Y OnSite Environmental, Inc. 14648 NE 95"' Street, Redmond, WA 98052 (425) 883-3881 This report pertains in the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed. 12 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 NWTPH-Dx DUPLICATE QUALITY CONTROL Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Soil Units: mg/kg (ppm) Lab 1D: 05-029-05 05-029-05 DUP Diesel Range: ND ND PQL: 25 25 RPD: N/A Surrogate Recovery o-Terphenyl : 104% 107% Flags: Y Y OnSile Environmental, Inc_ 14648 NE 95m Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analy:_ed In accordance with the chain of custody, and is intended only for the use of the individual or cornpany to whom it is addressed. 13 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 60/08/7471 A Date Extracted: 5-4&'10-6 Date Analyzed: 5.4&10-6 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-029-01 Client ID: B1-5-6 Analyte Method Arsenic 6010E Barium 6010B Cadmium 6010E Chromium 6010E Lead 6010E Mercury 7471 A Selenium 6010E Silver 6010B Result PQL ND 11 30 27 ND 0,55 41 055 ND 5.5 ND 0.27 ND 11 ND 0.55 OnSite Environmental, Inc. 14648 NE 95"' Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance %01 the chain of custody, and is intended only for the use of the Indlvfdual or co.rnpany la ---horn it is addressed 14 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 60101317471A Date Extracted: 5-4&10-6 Date Analyzed: 5-4&10-6 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-029-04 Client ID: 132-5-6 Analyte Method Result PQL Arsenic 6010B ND 12 Barium 6010B 46 3.0 Cadmium 6010B ND 0,60 Chromium 6010B 28 0.60 Lead 6010B ND 6.0 Mercury 7471 A ND 0.30 Selenium 6010B ND 12 Silver 6010B ND 0.60 OnSite Environmental, Inc 14648 NE 95"` Street, Redmond, WA 98052 (425) 883-3881 This ieport pertains to the samples ana'yr.ed In accord :rice with the chain of custody, and is intended only for the use of the individual or co7npany to whom it is addressed 15 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 6010B/7471 A Date Extracted: 5-4&10-6 Date Analyzed: 5-4&10-6 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-029-05 Client ID: B3-3-4 Analyte Method Result PQL Arsenic 601 OB ND 11 Barium 601 OB 60 23 Cadmium 601 OB ND 054 Chromium 601 OB 19 0.54 Lead 601 OB ND 54 Mercury 7471 A ND 0.27 Selenium 601 OB ND 11 Silver 6010E ND 0.54 OnSile Environmental, Inc, 14648 NE 95" Street, Redmond, WA 9B052 (425) 883-3881 This report pertains to the samples ana'yxed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 16 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 601013/7471 A Date Extracted: 5-4&10-6 Date Analyzed: 5-4&10-6 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-029-07 Client ID: 133-7-8 Analyte Method Result PQL Arsenic 6010E ND 12 Barium 6010B 40 3.1 Cadmium 6010B ND 0.62 Chromium 6010B 36 062 Lead 6010E ND 62 Mercury 7471 A ND 0.31 Selenium 6010B ND 12 Silver 6010B ND 0.62 OnSite Environmental, Inc. 14648 NE 95'° Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed In accordance wilh the chain of custody. and Is intended only for the use of the individual or company to whom it is addressed 17 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 601013/7471 A Date Extracted: 5-4&10-6 Date Analyzed: 5-4&10-6 Matrix, Soil Units: mg/kg (ppm) Lab ID: 05-029-08 Client ID: B4-3-4 Analyte Method Result PQL Arsenic 6010B ND 11 Barium 6010B 42 28 Cadmium 6010B ND 0.57 Chromium 6010B 28 0.57 Lead 6010B ND 5.7 Mercury 7471 A ND 0.28 Selenium 6010B ND 11 Silver 6010B ND 0„57 OnSite Environmental, Inc_ 14648 NE 95"' Street, Redmond, WA 98052 (425) 883-38131 This report pertains to the samples analy-ed in accordance wikh the chain of custody, and is intended only for the use of the individual or company to whom it is addressed. 18 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project; 502-001 TOTAL METALS EPA 6010B/7471 A Date Extracted: 5-4&10-6 Date Analyzed: 5-4&10-6 Matrix: Soil Units: mg/kg (ppm) Lab 1D: 05-029-11 Client ID: B5-3-4 Analyte Method Result PQL Arsenic 6010B ND 11 Barium 6010B 32 27 Cadmium 6010B ND 0.54 Chromium 6010B 28 0.54 Lead 601 oB ND 5.4 Mercury 7471 A ND 027 Selenium 6010B ND 11 Silver 6010E ND 0.54 OnSite Environmental, Inc. 14648 NE 951" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordFrice with the chain of custody, and is intended only for the use of the Individual or company to whom it is addressed 19 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 6010B METHOD BLANK QUALITY CONTROL Date Extracted: 5-4-06 Date Analyzed: 5-4-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: MB0504S1 Analyte Method Result PQL Arsenic 6010B ND 10 Barium 6010B ND 2.5 Cadmium 601013 ND 0.50 Chromium 6010B ND 0.50 Lead 6010B ND 50 Selenium 6010B ND 10 Silver 6010B ND 0.50 OnSite Environmental, Inc. 14648 NE 95"' Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analysed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 20 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 7471 A METHOD BLANK QUALITY CONTROL Date Extracted: 5-10-06 Date Analyzed: 5-10-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: MB0510S1 Analyte Method Result PQL Mercury 7471 A ND 0,25 OnSite Environmental, Inc. 14648 NE 95 Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analy4ed in accordance wilh the chain of custody, and is inlended only for the use of the individual or company to whom it is addressed 21 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 6010E DUPLICATE QUALITY CONTROL Date Extracted: 5-4-06 Date Analyzed: 5-4-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-031-01 Sample Duplicate Analyte Result Result RPD PQL Arsenic ND ND NA 10 Barium 127 140 9 2.5 Cadmium ND ND NA 0.50 Chromium 6.52 5,76 12 050 Lead ND ND NA 5.0 Selenium ND ND NA 10 Silver ND ND NA 0,50 Flags OnSite Environmental, Inc. 14648 NE 95°' Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom 11 is addressed Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 Date Extracted: 5-10-06 Date Analyzed: 5-10-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-029-08 Analyte Mercury TOTAL METALS EPA 7471 A DUPLICATE QUALITY CONTROL Sample Duplicate Result Result RPD PQL ND ND NA 025 Flags OnSite Environmental, Inc 14648 NE 95'" Street, Redmond, WA 98052 (425) 883.3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed, 22 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 601013 MSIMSD QUALITY CONTROL Date Extracted: 5-4-06 Date Analyzed: 5-4-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-031-01 Spike Percent Percent Analyte Level MS Recovery MSD Recovery RPD Arsenic 100 84.9 85 85.8 86 Barium 100 228 101 234 107 2 Cadmium 50 43.5 87 43.8 88 1 Chromium 100 94.3 88 99.4 93 5 Lead 250 221 89 222 89 0 Selenium 100 79.3 79 83.4 83 5 Silver 25 19.1 77 21.6 86 12 OnSlte Environmental, Inc 14648 NE 95'" Street, Redmond, WA 98052 (425) BB3-3881 This report pertalns to the samples analyzed in accordance vrih the chain of custody, and is intended only for the use of the individual or compary to whom it Is addressed 23 Flags Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 Date Extracted: 5-10-06 Date Analyzed: 5-10-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-029-08 Spike Analyte Level Mercury 0.50 24 TOTAL METALS EPA 7471 A MS/MSD QUALITY CONTROL Percent Percent MS Recovery MSD Recovery RPD Flags 0.502 100 0.503 101 0 OnSite Environmental, Inc 14648 NE 951" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is Intended only for the use of the individual or company to whom it is addressed. 25 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 % MOISTURE Date Analyzed: 5-4-06 Client ID Lab ID % Moisture 91-5-6 05-029-01 9 82-5-6 05-029-04 16 B3-3-4 05-029-05 7 133-7-8 05-029-07 19 134-3-4 05-029-08 12 85-3-4 05-029-11 7 bnSite Environmental, Inc 14648 NE 95"' Street, Redmond, WA 9so52 (425) bUd-J661 This report pertains to the samples analy2ed in accordance with the chain of custody, and Is Intended only for the use of the -n6vidual or cornpany to ::h•}rn it is addressed 26 Onsite Enviponmental Inc. Data Qualifiers and Abbreviations A - Due to a high sample concentration, the amount spiked Is insufficient for meaningful MS/MSD recovery data. B - The analyte indicated was also found in the blank sample. C - The duplicate RPD is outside control limits due to high result variability when analyte concentrations are within five limes the quanlltaticn limit. E - The value reported exceeds the quantitation range and Is an estimate. F - Surrogate recovery data is not available due to the high concentration of coeluting target compounds. G - Insufficient sample quantity for duplicate analysis H - The analyte indicated is a common laboratory solvent and may have been introduced during sample preparation, and be impacting the sample result_ I - Compound recovery Is outside of the control limits J - The value reported was below the practical quantitation limit. The value is an estimate. K - Sample duplicate RPD is outside control limits due to sample inhomogeneity. The sample was re -extracted and re -analyzed with similar results L - The RPD is outside of the control limits. M - Hydrocarbons in the gasoline range (toluene-napthalene) are present in the sample. O - Hydrocarbons indicative of diesel fuel are present in the sample and are impacting the gasoline result_ P - The RPD of the detected concentrations between the two columns is greater than 40_ Q - Surrogate recovery is outside of the control limits. S - Surrogate recovery data is not available due to the necessary dilution of the sample. T - The sample chromatogram is not similar to a typical U - The analyte was analyzed for, but was not detected above the reported sample quantitation limit V - Matrix Spike/Matrix Spike Duplicate recoveries are outside control limits due to matrix effects. W - Matrix Spike/Matrix Spike Duplicate RPD are outside control limits due to matrix effects. X - Sample extract treated with a silica gel cleanup procedure. Y - Sample extract treated with an acid/silica gel cleanup procedure Z- ND - Not Detecled at PQL PQL - Practical Quantitation Limit RPD - Relative Percent Difference OnSite Environmental, Inc. 14648 NE 951?' Street, Redmond, WA 98052 (425) 883-3881 This reporl pertains to the samples analyzed in accordance with the chain of cuslody, and is intended only for the use of the Individual or company to whom it is addressed &ii o-nmental Inc. 14W NF 95th $IRMt - RndmoW. WA V8052 PT1Dw (4M 9&1,*01 - FaX (4251 6854G63 Compww: Prof Hum f: ❑ cs-Ca-oo t Nama; El ice} LJ L iri11 ❑ pm[mt Man agor: Q, 1bcr7vu ,C0- Sam uod W. r. �Lj �o 9 Relinquished by Received by Relinquished by Received by Relinquished by Received by Reviewed by/Date Chum of Custody (Check One) Same Day ❑ 1 Day 2 Day ❑ 3 Day Standard (7 working days) (other) Dt,j _ Number: Page of U5-QZ9. m m 1 U m m N N Q rn o m o a as m w Go (Q m Y m xl I I I I I IX I )D (- [ (CD Reviewed by/Date I Ctlromatograrrls with final report ❑ DISTRIBLTTION LEGEND: While - OnSl1e Copy Yolk- - Report Copy Pink - Client Copy Chaim of Custody Pageof anSite _ 5 _ 0 2-9. 61V�anmental Inc. Laboratory Number: 14W N£ (35th SVAut • Rednnpst. WA 99e5i prMnu� {dg5 Be:)-7885 • F= I1125) 885 -45M • " . Compenyr• (Check One) kG+- r,,A1l Project Number. El same Day ❑ I Day 0 N Proloct vama: ❑ 2 Day El3 Day a m Standard (7 working days) x o co N c LL7 N Project manager, Y �•-=� OL P �G Aj CU U 0 x to ;, 0 CM o � n 5 p t (other] r E M QJ a�yJ N ¢ �42 o t _s O N W a m W r� x i w tz a t 10 Sample Identification ` G 77 +j l-� — 0ce Rellnqulshedby r.l S�J d 10 I Received by [r �` 17 — F� Relinquished by Received by Relinquished by Received by Reviewed by/Date Reviewed by/Dale GtlramattlQldmS with final report 0 DISTRIBUTION LEGEND: White - OnSlte Copy Yellow - Report Copy Pink - Ment Copy 320 3rd Ave N. E. �•» Issaquah, WA 95027 FARA,LLON CONSULTING T: 425 4270061 F: 425 427.0067 Qually 5en4ce for Lnvirororrenral Solutions May 11, 2006 Mr. Robert Gregg GPA, Inc. 51 West Dayton Street, Suite 304 Edmonds, WA 98020 RE: PHASE H SUBSURFACE INVESTIGATION SUMMARY OLD MILLTOWN BUILDING EDMONDS, WASHINGTON FARALLON PN: 502-001 Dear Mr. Gregg: Farallon Consulting, L.L.C. (Farallon) has prepared this Phase II Subsurface Investigation Summary Report (Summary Report) to document the results of the subsurface investigation conducted at the Old Milltown Building, located at 201 5t' Avenue South in Edmonds, Washington (herein referred to as the Site) (Figure 1). The subsurface investigation was conducted in accordance with Farallon's Proposal for Phase II Subsurface Investigation, Old Milltown Building, dated April 6, 2006. The objective of the subsurface investigation was to determine if historical operations at the Site resulted in the release of hazardous substances to shallow soil and/or groundwater at the Site at concentrations exceeding the Washington State Department of Ecology (Ecology) Model Toxics Control Act Cleanup Regulation (MICA) cleanup levels, as established in Chapter 173-340 of the Washington Administrative Code (WAC 173-340), amended February 12, 2001, This Summary Report includes background information and a summary of the previous investigation, a description of the field activities, results of the subsurface investigation, and FaralIon's conclusions. BACKGROUND The Site consists of 0.45 acre developed with two commercial buildings. The approximately 36,000-square-foot building consists of two stories, was constructed in 1910, and is currently occupied by boutiques, antique dealer's, several small eateries, and a barber shop. The approximately 4,900-square-foot building was constructed in 1947 and is a single -story antique store. Farallon completed a preliminary review of historical Sanborn Fire Insurance Maps and a limited site reconnaissance of the Site. The review of historical Sanborn Fire Insurance Maps (dated 1926) depicted the northeast comer of the Site as a truck store with a concrete floor; the northwest corner of the Site as a garage with offices, a sales room, a repair shop, and a paint room; and the southwest portion of the Site as a service GAPrajcpA502 GPA502001 Old PIIIIIovm\Rcporu\PWc II Rptfth A Rpt dx GPA, Inc. May 11, 2006 Page 2 station with underground storage tanks (USTs). The USTs were reportedly closed in place in 1989. The limited site reconnaissance conducted on April 5, 2006 identified a suspected vent line for a UST on the north end of the Site building and suspected fill ports in the sidewalk along Maple Street (Figure 2). PREVIOUS SUBSURFACE INVESTIGATION Thorne Environmental conducted a subsurface investigation at the Site in May and June 1989. The investigation included completion of six test pits and advancement of three soil borings adjacent to two USTs and suspected fill ports located in the sidewalk along Maple Street. The investigation results are presented in the Results of Limited Subsui ace Exploration and Soil Sampling, Old Mill Site, Edmonds, Washington, dated July 6, 1989, which is attached in Appendix A (Thorne 1989). Three test pits and one soil boring were completed adjacent to a 10,000-gallon UST located in the northeast corner of the southern portion of the Site (Figure 2). The test pits were extended to a depth of 11 feet below ground surface (bgs) and the soil boring was advanced to 24 feet bgs. One test pit and one soil boring were completed to depths of 7 feet bgs and 12.5 feet bgs, respectively, adjacent to a 1,000-gallon UST located on the western portion of the Site (Figure 1 of Appendix A). The investigation conducted by Thorne Environmental included a survey of the suspected fill ports located in the sidewalk along Maple Street (Figure 2). An FM radio -band survey indicated that the pipes converged to the north beneath the sidewalk. Further investigation, including the completion of two shallow test pits in the landscaped area along the southwestem portion of the property, indicated that the pipes were likely cut at the property line. The laboratory analytical results of soil samples collected from the test pits and soil boring adjacent to the 10,000-gallon UST did not detect concentrations of total petroleum hydrocarbons (TPH) above the laboratory detection limits (Thorne 1989). Concentrations of undifferentiated TPH were detected in soil between 5 and 9 feet bgs near the 1,000-gallon UST ranging from 41.5 milligrams per kilogram (mg/kg) to 941 mg/kg. Groundwater was encountered at depths ranging from 5.5 feet bgs to 7 feet bgs, but was not sampled. FIELD ACTIVITIES The scope of work completed by Farallon for the subsurface investigation included the following activities: • Preparing a Site -specific health and safety plan prior to initiating field activities, in accordance with WAC 296-62 and Part 1910.120 of Title 29 of the Code of Federal Regulations; ■ Performing a utility locate at the proposed boring locations using a private utility location service, and contacting the One -Call Center for public utility location; GAYrojecIA502 GPAl502001 Old Milhown\RepornslPhase I1 RpOhme Q Apt doe GPA, Inc. May 11, 2006 Page 3 • Advancing direct -push borings B1 through B5 at the Site (Figure 2); ■ Collecting soil and groundwater reconnaissance samples from the borings, where available; • Submitting soil samples collected from each boring for laboratory analysis; ■ Submitting reconnaissance groundwater samples collected from four borings for laboratory analysis; and • Preparing this Summary Report. The subsurface investigation conducted on May 2, 2006 included collection of soil samples from direct -push borings at select locations at the Site. Prior to commencement of drilling, Applied Professional Services, Inc. of North Bend, Washington conducted a private utility location survey at the Site. Cascade Drilling, Inc. of Woodinville, Washington performed the drilling activities using a direct -push Geoprobe drilling rig. Each of the five direct -push borings (B1 through B5) was drilled in 4-foot intervals from the ground surface to 8 feet bgs (Figure 2). Soil samples were collected continuously during advancement of the borings from the ground surface to the bottom of each boring. The 4-foot sampler was lined with disposable polyethylene sleeves, which were removed and opened to reveal the soil sample after each sample interval was completed. The soil sample was described in accordance with the Unified Soil Classification System and evidence of potential contamination such as unusual odor, discoloration, or sheen was noted. Soil samples were also screened in the field for the presence of volatile organic vapors using a photoionization detector (PID). The boring logs containing the soil descriptions, field observations, and PID readings are provided in Appendix B. One soil sample from boring B1, B2, 134, and B5, and two soil samples from boring B3 were submitted for Iaboratory analyses of TPH as diesel -range organics (DRO) and TPH as heavy -oil -range organics (ORO) using Northwest Method NWTPH-Dx; TPH as gasoline -range organics (GRO) using Northwest Method NWTPH-Gx; benzene, toluene, ethylbenzene, and xylenes (BTEX) using U.S. Environmental Protection Agency (EPA) Method 8021 B; and Resource Conservation and Recovery Act (RCRA) 8 Metals, arsenic, barium, cadmium, chromium, mercury, lead, silver and selenium using EPA Method 6010B. Soil samples for analysis of GRO and BTEX were collected according to EPA Method 5035A, following Ecology guidance for the sampling of low- level volatile compounds. Soil samples collected from the borings were transferred directly into laboratory -prepared containers. The laboratory analytical reports are provided in Appendix C. Reconnaissance groundwater samples were collected from borings B1, B2, B4, and B5. A reconnaissance groundwater sample was not collected from boring B3 because groundwater was not encountered during the boring activities. A temporary polyvinyl chloride well screen was set into the boring and groundwater was pumped from the GAPmjectA502 GPA1502001 Old Milltow \ReportsThase 11 Rpl true H Rpt.doc GPA, Inc. May 11, 2006 Page 4 temporary well using a peristaltic pump and dedicated polyethylene tubing. The temporary wells were purged for several minutes prior to sample collection to allow for removal of fine sediment particles suspended during the advancement of the borings. Reconnaissance groundwater samples were collected directly from the tubing outlet into laboratory -prepared containers. The reconnaissance groundwater samples were submitted for laboratory analysis of DRO and ORO by Northwest Method NWTPH-Dx, GRO by Northwest Method NWTPH-Gx, BTEX by EPA Method 8021 B, and dissolved RCRA 8 Metals by EPA Methods 200.8 and 7470A (Appendix Q. The soil and reconnaissance groundwater sample containers were clearly labeled using a unique sample number and placed immediately in an iced cooler. The soil samples were submitted to OnSite Environmental, Inc. of Redmond, Washington under standard chain -of -custody protocols. SUBSURFACE INVESTIGATION RESULTS The results of the subsurface investigation field activities and laboratory analyses are presented below. The boring locations are shown on Figure 2. Borings B 1 and B2 were advanced in the landscaped area on the southwest portion of the Site to evaluate soil and groundwater conditions adjacent to known and suspected former USTs (Figure 2). Boring B3 was advanced adjacent to a suspected UST vent line identified during the site reconnaissance. Borings B4 and B5 were advanced inside the northern portion of the building in the former garage area (Figure 2). The laboratory analytical results for soil samples collected from the borings are summarized on Tables 1 and 2. Tables 3 and 4 summarize the analytical results for reconnaissance groundwater samples. A copy of the complete laboratory report for the soil and reconnaissance groundwater sample analyses is provided in Appendix C. SOIL The soil encountered in boring B1 consists of approximately 4 feet of poorly graded sand with gravel and silt overlying poorly graded silty sand and sand with gravel and silt. Borings B2 through B5 encountered soil consisting of poorly graded fine to medium grained sand with trace amounts of gravel and silt. Sandy silt was encountered from approximately 5 to 6 feet bgs in boring B3. The boring logs for borings B1 through B5 are provided in Appendix B. No field evidence of potential contamination, such as unusual odor, discoloration, or sheen, was observed in any of the soil samples,. PID measurements recorded during the sample collection ranged from 0.0 to 0.2 parts per million. Concentrations of DRO, ORO, GRO, BTEX, and RCRA 8 Metals were not detected above the MTCA Method A cleanup levels for soil or MTCA Method B cleanup levels for soil, where Method A cleanup levels are not established, in any of the soil samples analyzed from borings B1 through B5 (Tables I and 2). GAPmjecls1502 GPA1502001 Old Klllown\Rcpons\Phase 0 RpAPhosc ❑ RPI doc GPA, Inc. May 11, 2006 Page 5 GROUNDWATER Groundwater was encountered in borings B1, B2, B4, and B5 at depths ranging from 5.5 to 6 feet bgs; groundwater was not encountered in boring B3. Reconnaissance groundwater samples were collected from borings B1, B2, B4, and B5. Concentrations of ORO, GRO, BTEX, and dissolved RCRA 8 Metals were not detected above the MTCA Method A cleanup levels for groundwater or MTCA Method B cleanup levels for groundwater, where Method A cleanup Ievels are not established (Tables 3 and 4). DRO was detected above the MTCA Method A cleanup level of 500 micrograms per liter (µg/l) in the reconnaissance groundwater sample collected from boring B2 at a concentration of 4,400 µg/l (Table 4) (Figure 2). DRO was not detected above the laboratory practical quantitation limit (PQL) of 250 µg/1 in reconnaissance groundwater samples collected from borings B1, B4, and B5. CONCLUSIONS The laboratory analytical results detected concentrations of DRO above the MTCA Method A cleanup levels in groundwater in the vicinity of boring B2, located near the former UST in the southwest corner of the Site_ DRO was detected in the reconnaissance groundwater sample collected from boring B2 at a concentration of 4,400 µg/1, which is above the MTCA Method A cleanup level for groundwater of 500 µg/1. However, DRO was not detected above the laboratory PQL in the soil samples collected from boring B2, indicating that shallow soil has not been impacted in this area. The concentration of DRO detected in groundwater in boring B2 is indicative of a small, localized release. Based on Farallon's review of the environmental activities on the Arco Facility No. 822, located west of the Site, the groundwater flow direction in the Site vicinity is towards the west (Figure I). Concentrations of DRO in shallow groundwater may have migrated off of the property beneath 5`h Avenue South. However, there is insufficient data to evaluate the extent of off -site migration of DRO in groundwater. Results of the subsurface investigation confirm that shallow subsurface soil beneath the former truck shop and garage has not been impacted by historical Site activities. Based on the results of the soil samples analyzed from boring B1, the shallow soil contamination identified during the investigation conducted by Thorne Environmental, Inc. does not appear to have impacted groundwater in the vicinity of the 1,000-gallon UST, G Nrojec \502 GM502001 Old Milh—\RcponsThsse n Rpi\Pha Ti Rpi dx —I CLOSING GPA, Inc. May 11, 2006 Page 6 Farallon trusts that this provides sufficient information for your needs. Please call the undersigned at (425) 427-0061 if you have any questions or comments regarding this report. Sincerely, Farallon Consulting, L.L.C. racey Mu ern, L. Staff Geologist Attachments ��ofvvashi, a � �hgGeobQ+tl � a� a ed Ge°, j Peter Day Jewett I Figure 1, Site Vicinity Map Figure 2, Site Plan with Boring Locations Table 1, Summary of Soil Analytical Results — Total Petroleum Hydrocarbons Table 2, Su»rrrrary of Soil Analytical Results — Total Metals Table 3, Summary of Groundwater Analytical Results — Total Petroleum Hydrocarbons Table 4, Summary of'Groundivater Analytical Results — Dissolved Metals Appendix A, Historical Report Appendix B, Boring Logs Appendix C, Laboratory Analytical Results = Gary Krohn iM:Pr:hw G'U'rcjcnsl502 GPA150200I Old KlhD"\Rcpons\Pbuc R RplThuc 0 Rpt doc FIGURES PHASE II SUBSURFACE INVESTIGATION Old Milltown Building Edmonds, Washington Farallon PN: 502-00I GAProjats\503 GPA%503001 Oki N ilk—%XReportsWhau 11 Rpl'Plv=11 Rpl.d= zn Imh_st, Rai - F �.; 'i 1J, �t�' S+ir • n ' f� - �:� ` `��; yam, r ..y' _ 'k r•. 1 . i. I , �+ �• .. �� ...� SITE LOCATION i.. Y s L 1 Edwards P6.14Je '' II.' . ! j 1►aiii - ,:' 1� �i.. � , =:+ ' t. ��'.� ± I. `i_nL•.?I � Li T�1r � Tlijj.'-. z 1� •I? iS'$. f C i L a. ^i Set :r r I ? i.• 1 1.. • a VIP Pilc". ��--' .rlGeny._ t i •f 4. Ili,' 4f I s _;`y;? i �.' ' r• o � � • 1c ��I f • Sri,'• l' � 1 ---yam lnij. •�r Imo- DFFr' -ate_ rE' t7l I .-`l' Yam' ' =jl•� .. •del Li hS �.Sy •ii 4117ank . L 13Tanki ` �- ' i _• �, - i •.1 �i I�� j �- . `rs-` iAEinrq.s .. ee 4. .',;�;!, °• r. I nls J F r '•�f ri 1i`..y • ' � I '��. �= JtI� Point Wells an0e.: ` ,�;' ,=® -I f v �s. :, =� .+�r• • [ ghf'-c.� iNallYIIT� � •s�~' �+ � { I ;�i, 1 L '•:?�;.,��}•,.i� �i ,. i J SNOHOMISH CO.! _ r n r I �. _`- �^ - t �.. I N KING CO i �,II .,• :fi=,.._-i � 'Sj i • r y� It �,� �c.., .fir .,•', trl�'• ~r I REFERENCE: 7 5 MINUTE USGS OUADRANGLE EDMONDS EAST AND WEST. WASHINGTON DATED 1953 AND PHOTOREVISED 1961 4C� FIGURE 1 EDMONDS p SITE VICINITY MAP OLD MILL TOWN EDMONDS, WASHINGTON FARALLON CO1 sui Tim 320 3rd Ave. NE WASHINGTON Issaquah_ WA 95027 FARALLON PN: 502-001 Drawn By: DEW I Checked By: CB 1. Dote:4/6/06 I Disk Reference: 502001 - - - DAYTON STREET - - - - SUSPECTED UST VENTLINE $3 LU I 1 � S Q I 1W a: I a L) z 1 O FORMER GARAGE 0 FORMER TRACK STORE 1 �B4 Of35 JI • I APPROXIMATE LOCATION OF CLOSED -IN -PLACE 1,000-GALLON UST I 11 IJ—­APPROXIMATE 3 LOCATION OF I CLOSED -IN -PLACE 10,000-GALLON UST f I L _j I I� f < r�10 I Ic¢.,� ID 2nd STORY PARKING II z Iglu : I I D 40 I ! I APPROXIMATE SCALE IN FEET I I � 132 .� -- -- --� 0 OO—SUSPECTED FILL PORTS — MAPLE STREET — — — — LEGEND FIGURE 2 — - - — SITE BOUNDARY SITE PLAN WITH BORING LOCATIONS — - — CENTER LINE OLD MILL TOWN 0 HISTORICAL GASOLINE �` EDMONDS, WASHINGTON UNDERGROUND STORAGE TANK (_UST) IDENTIFIED ON 1926 SANBORN FIRE INSURANCE MAP FARALLON CONSULTING ALL LOCATIONS ARE APPROXIMATE Issaquah,32rV d Ave. NE 96027 FARALLON PN:502-001 Drawn By: DEW I Checked By: CB I Date:4/6/06 Disk Reference:502001 TABLES PHASE II SUBSURFACE INVESTIGATION Old Milltown Building Edmonds, Washington Farallon PN: 502-001 G:Wrojcnsl502 GM502001 Old hIiUIo AmXRepartsXPb= 11 Rptftasc II Rpt doc Table 1 Summary of Soil Analytical Results - Total Petroleum Hydrocarbons Old Milltown Building Edmonds, Washington Farallon PN: 502-001 Analytical Results (milligrams per kilogram) Sample Identification Sample Date Sample Location Deptlt (feet)' DROZ ORO' GR03 Benzenes Toluene IJtltytbenzene' Xylenes' B 1-5-6 5/2/2006 B l 5-6 <28 <55 <4.6 _ <0.020_ _ <0.046 _ <0.046 <0.092 B2-5-6 5/2/2006 132 5-6 <30 <60 M <4.7 <0.020 <0.047 <0.047 _ _ <0.094 - B3-3-4 5/2/2006 - B3 - - 3-4 <27 <54 <5.1 <0.020_ <0.051 <0.051 <0.102 B3-7-8 5/2/2006 B3 7-8 <31 . ; _ <62 <5.7 - <0.020 <0.057 .<0.057 -- <0.114 - B_4-3-4 2006 B4 3-4 <28 <57 - - <3.9 <0.020 _ <0.039 —.. <0.039 ... <0.07 ——.......... B5-3-4 _512/ _ - 5/2/2006 - - BS T 3-4 - r <17 <54 <4, t <0.020 <0.041 <0.041 <0.082 LTCA Method A CleanuR Levels for Soil$ 2,000 2,000 100 0,03 7 6 9 NOTES: <Indicates concentrations not identified above the stated laboratory practical quangtation limit. 'Feet below ground surface. 'Analyzed by Northwest Method NWTPH-Dx, 'Analyzed by Northwest Method NWTPFi-Gx. 'Analyzed by U.S. Environmental Protection Agency Method 8021I3. 'Washington State Department of Ecology Model Taxics Control Act Cleanup Regulation Method A Soil Cleanup Levels for Unrestricted Land Uses, Table 740-1 of Section 900 of Chapter 173-340 of tlic Washington Administrative Code, as amended February 2001. 13TL•X = benzene, toluene, cthylbenzenc, and xylenes DRO = total petroleum hydrocarbons as diesel -range organics GRO = total petroleum hydrocarbons as gasoline -range organics ORO = total petroleum hydrocarbons its oil -range organics TPH = Iota[ petroleum hydrocarbons loft G:N'mltclsl3n: GPr1\50200t Old Dtial.wm%RgorlsV9wm 11 npltTAW.Sall-TI'li Table 2 Summary of Soil Analytical Results - Total Metals Old Milltown Building Edmonds, Washington Farallon PN: 502-001 Sample Sample Depth Identification Sample Date Location (feet), Arsenic2 - _ B 1-5-6_ 5/2/2_00_6 B l 5-6 <1 l _ B2-5-6 5/2/2006 B2 5-6 _<I2 _ B3-3-4 5/2/2006 B3 _3-4 _ <11 _ B3-7-8_T 5/2/20_06 - B3 7-8 -- <12_ B4-3-4 5/2/2006 - B4 3-4 <I 1 B5-3-4 5/2/2006 B5 3-4 <I l Cleanuu Levels for Soil3.41 203 A.:alyt:cal Results (milligrams per l6logral-11) Barium Cadmium Chromium2 Lead2 Mercury2 Seleuium2 Silver 30 - <0.55 41� <5.5 _ <0.27 <11_ _<0.55 46 <0.60� 28 _ _<6.0 <0.30 _ <12 _ <0.60 60 <0.54 19 <5.4 <0.27 <11 <0.54 40 <0.62 36 <6.2 <0.31 <12 <0.62 <0.57 28 - - <5.7 _ <0.28 _ <11_ <0.57 _42- 32 _ <0.54 28 <5.4 <0.27 <I1 <0.54 5,6004 23 2,000315 250' 23 4004 400a NOTES: <Indicates concentrations not identified above the stated laboratory practical quanulation limn. IFeet below ground surface. 2Analyzed by U.S. Environmental Protection Agency Method 601 OB. J Washington Slate Department of Ecology (Ecology) Model Toxics Control Act Cleanup Regulation (MTCA) Method A Soil Cleanup Levels for Unrestricted Land Uses, Table 740-1 of Scction 900 of Chapler 173-340 of the Washington Administrative Code, as amended February 2001. 4Ecology NITCA Cleanup Levels and Risk Calculations, Version 3.1 Soil cleanup Levels for Direct Contact Pallnvay, Ecology Publication No. 94-145, as updated November 2001. 3Clcanup level far chromium III Iofl c.%Pmicc1sl502 GPAX50200I OW nnnivavnVtcporE Phase 11 IIpOTnbic*Saii•M1lemis Table 3 Summary of Groundwater Analytical Results - Total Petroleum Hydrocarbons Old Milltown Building Edmonds, Washington Farallon PN: 502-001 rrnal -tica Results (imcroarorns per liter) Sample Sample Sample Identification Location Date DROI ORO' GR02 Benzene" Toluene' Eth ibenzene" X lenes" BI-RGW B1 5/2/2006 <250 <400 <100 <1.0 _ <1.0 <1.0 <2.0 B2-ROW B2 5/2/2006 4,400 <400 <100 <1.0 <1.0 <1.0 <2.0 B4-RGW B4 5/2/2006 <250 ` <400 <100 <1.0 <1.0 <1.0 <2.0 B5-RGW B5 5/2/2006 <250 <400 <100 <1.0 <1.0 <1.0 <2.0 TCA Method A Cleanup Levels for rGroundwater r 500 500 11000/800 5 11000 700 11000 NOTES! <Idicates concentrations not identified above the stated laboratory practical quanlnauon limn. BOLD indicates sample result exceeds Washington Department of Ecology (Ecology) Model Taxies Control Act Clcanup Regulation (MTCA) Cleanup Level. ]Analyzed by Northwest Method NWTPH-Dx. Analyzed by Northwest Method NWTPFI-Gx. 'Analyzed by U.S. Environmental Protection Agency Method 8021 B. 4Ecology MTCA Method A Cleanup Levels for Groundwater, Table 720-1 of Section 900 ofChapter 173-340 ofthe Washington Administrative Code, as amended February 2001. BTEX = benzene, toluene, ethylbenzene, and xylenes DRO = total petroleum hydrocarbons as diesel -range organics GRO = total petroleum hydrocarbons as gasoline -range organics ORO = total petroleum hydrocarbons as oil -range organics TPH=total petroleum hydrocarbons GAProjecLsUO2 GPAU02001 Old hlilltmmMepansTlime 11 RpaTabWGWTPH I Of 1 Table 4 Summary of Groundwater Analytical Results - Dissolved Metals Old Milltown Building Edmonds, Washington Farallon PN; 502-001 Analvtica€ Resuits (micrograms per liter) Sample Sample Dissolved Dissolved Dissolved Dissolved Dissolved Dissolved Dissolved Dissolved Identification Location Sample Date Arsenic' Barium' Cadmium' Cliromium' Lead' Mercury Selenium' Silver' B1-RGW BI 5/2/2006 <3.0 <25 _ <4.4 <10 <1._0 <0.50 <5.0 <10 B2-RGW 132 5/2/2006 <3.0 <25 <4.0 <10 8.5 <0.50 <5.0 <10 B4-RG_W B4 5/2/2006 <3.0 � <Z5 <4.0 <10 - <1.0 Y <0.50 <5.0 <10 BS-RGW BS _ 5/2/2006 <3.0Y <25 <4.0 <I0 <1.0 <0.50 <5.0 <10 MTCA Cleanup Levels for Groundwater3'41 53 1.1204 53 503 15-1 23 804 804 NOTES: <indicates concentrations not identified above the stated laboratory practical quanutatlon limit. RCRA = Resource Consen-anon and Recovery Act 'Analyzed by U.S. Environmental Protection Agency (EPA) Method 200.8. Analyzed by EPA Method 7470A. i Washington Stale Department of Ecology (Ecology) Model Toxics Control Act Cleanup Regulation (MTCA) Method A Cleanup Levels for Groundwater, Table 720-I of Section 900 of Chapter 173-340 of the Washington Administrative Code, as amended February 2001. 'Ecology MTCA Cleanup Levels and Risk Calculations, Version 3.i. Standard Method B Values for Groundwater, Ecology Publication No. 94-I45, as updated November 2001. GAProteasl502 GPA14a2ael Old hltllimwUtepoTb%Plime 11 AplWablalGW-Monts I of i APPENDIX A HISTORICAL REPORT PHASE II SUBSURFACE INVESTIGATION Old Milltown Building Edmonds, Washington Farallon PN: 502-001 GAProjectAW2 GPAN502DOI Old MilhoamlReportsThm 11 RplNhnse 11 Rpt doc T H L : ENVIRONMENTAL A IG Comoorry July 6, 1989 University Savings Bank 6400 Roosevelt Way N.E. Seattle, Washington 98115-1000 Attention: Mr. Michael H. Voss Commercial Real Estate Loan Officer Subject: Results of Limited Subsurface Exploration and Soil Sampling Old Mill Site Edmonds, Washington 5E- 1044-1 i. Mr. Voss: Thorne Environmental, Inc. is pleased to provide the following report on the above referenced project. The report describes our observations and findings during the recent subsurface exploration at the site. Please contact us should you have any questions about this report. Sincerely, RNE ENVIRONMENTAL, INC. Steven R. Bruce Environmental Manager Maurice W. Gallarda, P.E. Principal Engineer J 11/A ('D' ']L - '�l.^:_1 '77C University Savings Bank July 6, 1989 SUMMARY V ;ig rz4anqR� ENVIRONMENI Page 1 5E-1044-1 At the request of University Savings Bank, Thorne Environmental, Inc. conducted a limited subsurface exploration program at the Old lvlill site in Edmonds, Washington. The intent of this work was to: 1) explore for underground fuel -storage tanks remaining beneath the site; 2) evaluate whether the fuels stored in any located tanks had impacted the subsurface soils in the vicinity of the tanks; and 3) provide general recommendations for abandoning the located tanks and any associated piping. The scope of work consisted of. 1) observing and documenting the subsurface conditions exposed in test pit explorations adjacent to an underground storage tank in the upper parking lot and a used oil tank near the western building entrance; 2) observing an FM radio -band survey and limited subsurface explorations to trace piping in the western landscaped area; 3) collecting soil samples in the test pits adjacent to the tanks as well as from two soils borings subsequently completed by others; 4) conducting quantitative chemistry analyses on selected soil samples; 5) interpreting the collected data; and 6) preparing this letter report. Our findings indicated the following: �--_r • o The 10,000-gallon rapacity underground storage tank at the northeastern side of the upper parking lot was aligned in a nortb-south direction- Test pits excavated to about 11 feet below ground surface on the south, west and north sides of the tank indicate the tank is surrounded by trace silty, sand FILL. Groundwater was not encountered in the test pits, and hydrocarbon odors or sheens were not detected in the test pit soils. Quantitative chennistry analyses of three soil samples obtained from the three test pits showed fuel f hydrocarbons and volatile aromatic hydrocarbon concentrations to be non -detected at the analytical detection limits. The detection limits for the analyzes were all below the t Washington State Department of Ecology (WD0E) action limits. We .recommend that this tank be abandoned in place due to slope stability concerns, provided that approval l� can be obtained from the local fire department. o The FM radio -band piping survey and subsurface explorations indicated that piping connected to three tank fill caps on Maple Street is truncated near the northern edge of the sidewalk This information, and conversations with Lt. Stan Olsen of the Edmonds Fire Department and other local residents suggest that the underground storage tanks on { the western side of the site were removed prior to the conversion of the Old All into a retail mall in 1973. In addition, the fuel pump at the western building entrance was decorative; no piping connections were observed on the surface of the concrete slab beneath the pump. We recommend that the piping connected to the fill caps along Maple Street be abandoned in place, assuming that the abandoned piping will not impact future usage of this area of the site. F` o An underground storage tank with an estimated capacity of 1,000- Gallons was discovered in a landscaped area on the southern side of the western building entrance. This tank was located within one foot of a main structural wall. A measurement in the tank L indicated that the tank was full of oil. Subsurface explorations on the western side of the tank indicated that about three feet of imported topsoil overlay native, silty SAND, and f that the surface of unconfined Qoundwater was about seven feet belov., ground surface at the time of our explorations. University Savings Bank July 6, 1989 U ENYfRQlF1VlEN' Page 5E-1044.1 a Hydrocarbon -like staining and odors were detected in a test pit at the western edge of the 1,000-gallon capacity tank. Analysis of soil samples from this test pit showed Total Petroleum Hydrocarbon (TPH) concentrations of 941 and 415 mg/kg in the samples collected at depths of about 65 and nine feet below ground surface, respectively. Additional analysis of the sample with the elevated TPH showed: 1) the concentrations of selected chlorinated solvents and polychlorinated biphenyls (PCB) were non -detected at the analytical limits of detection; and 2) EP Toxicity metals were within federal regulatory limits. Subsequent analysis of samples collected at depths of about five and nine feet below ground surface in a boring about five feet west of the tank showed 92.2 mg/kg and non -detected concezitrations of TPH, respectively. The detection limit for these two TPH analyses was 5.0 mg/kg. o Due to the proximity of the structural foundation wall, we recommend abandoning the 1,000-gallon tank in place after the tank contents are removed and the tank triple -rinsed. We also recommend obtaining WDOE permission to leave the TPH-impacted sons in place to avoid excavating adjacent to the building foundations. o All tank and piping system abandonment activities will need to be in accordance with the federal, state and local permitting and regulations in effect at the time of the i abandonments. We recommend that the work be accomplished by a contractor t . experienced with in situ tank and piping abandonment. We also suggest that University Savings Bank permanently retain copies of the abandonment records. i This summary is presented only for introductory purposes and is intended for use in conjunction with the full text of this report. This report contains a site and project description, soil sampling procedures, analytical chemistry methods and results, and our conclusions. L IfnjENVIRONMEN University Savings Bank Page July 6, 1989 5E-1044- 1.0 INTRODUC nON On May 25, 1989, Thorne Environmental, Inc. was authorized by University Savings Bank tc provide professional services related to assessment and abandonment of existing buried fue. storage tanks at the Old Mill., Edmonds, Washington. The field activities were conductec between May 30 and June 2, 1989. Subsequent to this work, additional soil sampling in boring: 1 to be completed by others was verbally authorized by Mr. Mike Voss on June 19, 1989. These services were completed on June 19, 1989, 1.1 Purpose and Scope of Work The purpose of our services was to: 1) explore for underground fu6l-storage tanks remaining beneath the site; 2) evaluate whether the fuels stored in any located tanks had impacted the subsurface soils in the vicinity of the tanks; and 3) provide general recommendations fox abandoning the located tanks and any associated piping. The scope of work implemented on this project consisted of: 1) observing and documenting the subsurface conditions exposed in test [ pit excavations adjacent to a buried storage tank in the upper parking lot; 2) observing an FM radio -band piping survey and limited subsurface exploration to trace piping in the lower landscaped area; 3) collecting soil samples in the test pits adjacent to the underground tanks as ' well as from two borings later completed by others; 4) conducting quantitative chemistry analyses J on selected soil samples; 5) interpreting the collected data; and 6) preparing this report We have prepared this report for the use of University Savings Bank, and their agents, in accordance with our proposal dated May 16, 1989, a change order dated June 20, 1989, and generally accepted hydrogeological and environmental engineering practices in existence in the project area at the time the work was performed. The statements and conclusions contained in this report are based on the explorations and sampling completed for this project by Thorne Environmental, Inc. No other warranties, either express or implied, are provided. r- i 1.2 Site Location and Description The project site is the old Mill retail mall in Edmonds, Washington (see Figure 1). The property is bounded on the south by Maple Street, on the west by Fifth Avenue, on the north by Dayton Street, and on the east by property owned by others. Surface cover consists of asphaltic pavement in the upper parking lot, and imported top -soil in the landscaped area on the western side of the site_ Topography across the site slopes to the west with an estimated L . relief of approximately twenty feet. We understand that the existing building at the site was originally used for the maintenance and. manufacturing of buses. Later changes included the addition of service station facilities. About 1973, the building was remodeled to serve as a retail mall. An underground storage tank was known to exist in the upper parking lot at the site. The till neck for this tank was located about 35 feet south of the upper mall entrance. A previous report by others indicated that this tank contained about three inches of a fluid that was determined to be mostly water. 'Three fill caps existed along Maple Street about 30 feet east of 5th Avenue South, however, it was uncertain if the tanks connected to the fill pipes remained on -site. A vent line also existed -near the public restrooms as did an antigce fuel pump. It was unknown whether the vent and punip were connec' ,d to :ranks. ENVIRONMENT t' University Savings Bank Page 4 July 6, 1989 5E-1044-1 2.0 FIELD ACTIVITIES The subsurface test pit explorations were conducted at the site by A.I. Sleister & Sons Construction of Edmonds, Washington between May 30 and June 2, 1989. A total of six test pits were excavated at the locations shown on the attached Figure 2. Under a subsequent scope of work, we were retained to observe the conditions exposed in soils borings completed by others on June 19, 1989. These borings were intented to provide soils engineering data. The locations of the two borings we observed, B-2 and B-3, are also indicated on Figure 2. A photoionization detector (PID) was used to field screen the soils for organic vapors. However, the concentrations detected were considered to be semi -quantitative since the measurements were obtained in the open atmosphere about one to two inches .above the excavated soils. The instrument used was a Thermo Environmental Instruments, Inc. Model 580A OVK calibrated to benzene. The PID had an operating range from 0 to 2,000 parts per million (ppm) with a minimum detection limit of 0.1 ppm. FSelected samples were obtained from the materials excavated from the test pits since the unshored excavations could not be entered. The soil samples collected from the borings were obtained from split -spoon samplers. Hand tools used to collect the soil samples into containers were decontaminated prior to each use by washing with detergent, followed by a distilled water ? rinse. However, the augers and sampling rods used in the geotechnical study completed by others were not steam cleaned prior to use since the borings were intended only for soils engineering data. I� Glass jars sealed with Teflon -lined lids were used to contain each sample. The jars were labeled as to their respective origins and placed in a chilled ice chest for transport to the contract laboratory. Chain -of -custody procedures were used to document the sample handling. 2.1 Subsurface Explorations in the Upper Parking Lot Test pits TP-1, TP-2, and TP-3 were excavated with a backhoe on May 30, 1989. These excavations extended to a depth of about eleven feet below the existing ground surface at the south, north and west sides of the estimated 10,000-gallon capacity steel tank underlying the } upper parking lot. The excavations indicated that the tank was aligned north to south with a length of about 28 feet and a diameter of eight feet. The soils encountered in the test pits r consisted of trace silty, sand FILL which extended to the full depths explored by the test pits. Groundwater was not observed in the test pits. No hydrocarbon odors or sheens were detected in the excavated soils and the PID did not indicate the presence of detectable organic vapor concentrations. Soil samples for laboratory analysis were collected from the bottom of test pits . TP-1, TP-2 and TP-3; these samples were identified as 'Tank 1 S1", "Tank 1 S2" and 'Tank 1 SY', respectively. The test pits in the upper parking lot were backfilled by compacting about one -foot thick lifts of the excavated soils with the backhoe bucket: The final three soil lifts were each compacted with a portable, gasoline -powered compactor. The densities of the compacted soils were not measured, as this was outside the scope of work. University Savings Bank July 6, 1989 �ol,, T H 0 1 k � ENVIRONMENT Page 5 5E-1044-1 On June 19, 1989, a truck -mounted Mobile B-61 drill with hollow -stem augers was used to com- plete boring B-2 which was east of the upper tank as shown on Figure 2. Although this boring was part of a separate geotechnical engineering study by others, we had been requested by F- University Savings Bank to observe the drilling and collect soil samples. The boring penetrated to about 24 feet below ground surface in unsaturated, gravelly SAND. The P1D showed a max- imtim of 0.2 ppm of organic vapors in the split -spoon drive samples obtained, at about five feet intervals in the boring. Soil samples for chemistry analyses were collected at about 16 and 21 j feet below ground surface; these samples were identified as 'B-2 S-4" and "B-2 S-6", respectively. f 2.2 Subsurface Explorations on the Western Portion of the Site 2.2.1 Southern Side of Landscaped Area An FM radio -band survey was conducted on May 30, 1989 in the south side of the landscaped area to explore the extent of the piping connected to the three fill caps on Maple Street. The survey was completed by attaching a wire to the.pipe and searching the surrounding area with a FM receiver for a return signal. This survey indicated the three fill pipes converged to the north under the sidewalk However, the response did not persist ten feet to the north of the fill caps and a signal could not be found elsewhere in the landscaped area. Test pits TP-5 and ` TP-6 were then excavated to a depth of about four feet below the existing ground surface in the landscaped area in an attempt to locate the piping. However, no piping could be located in these explorations. Conversations with Lt. Stan Olsen of the Edmonds Fire Department and with other local residents indicated that other underground storage tanks in the lower landscaped area were L removed prior to the conversion of the Old Mill into a site for small shops in 1973. 2.2.2 Northern Side of Landscaped Area The antique fuel pump on the northern side of the landscaped area was unbolted from the concrete pad on May 30, 1989 to check for piping that may have connected to a tank No piping was observed on the surface of the concrete slab. On May 30, 1989, an estimated 1,000-gallon capacity steel tank was discovered below the exposed vent line near the public restrooms. This tank was about 3.5 feet in diameter by more ! than eight feet in length and appeared to be filled with oil. The east end of the tank was overlain by a wooden boardwalk and immediately north of the tank was a building foundation. Test pit TP-4 was hand -bored to a depth of about seven feet below ground surface on the western end of the tank. Soils encountered in the test pit consisted of about three feet of imported organic -rich, sandy SILT (top -soil) overlying native, silty SAND with cobbles. A soil sample for quantitative chemistry analyses was obtained at depth of about 6.5 below the existing ground surface in the hand boring. This sample was identified as 'Tank 2 S1". Groundwater was observed in test pit T7?-4 at a depth of about seven feet below the existing ground surface. t ' Hydrocarbon -like odors were detected below a depth of about six feet in the test pit. Based on the hydrocarbon odors and discussions with Mr. Voss, the hand boring was deepened on June 2, 1989. A soil sample identified as 'Tank 2 ST' was collected in this test pit at approximately nine feet below the existing ground surface; auger refusal in gravels was then encountered below this depth. J nakCze)ENVIRONMEND University Savings Bank Page 6 July 6, 1989 5E-1044-1 On June 19, 1989, a boring was drilled about five feet south of the 1,000-gallon capacity tank. This boring, identified as B-3, . was completed by others as part of a geotechnical engineering study. A portable Acker drilling rig equipped with hollow -stem augers was used to drill and sample the soils. Groundwater was encountered in the boring beneath a depth of about 5.5 feet below ground surface. We collected soil samples "B-3 S-3" and 'B-3 S-4" in the boring at depths of about five feet and nine feet below ground surface, respectively. The boring was terminated at about 12.5 feet below the existing ground surface due to auger refusal in gravelly soils. 3.0 i.ABORATORY ANALYSES 3.1 Analysis Procedures Chemical analysis of the collected soil samples was performed by AmTest, Inc. of Redmond, Washington. The three samples collected in test pits TP-1, TP-2 and TP-3 by the tank in the upper parking lot (identified as samples .Tank 1 S1, Tank 1 S2 and Tank 1 S3) were analyzed for the concentrations of fuel hydrocarbons and selected volatile aromatic hydrocarbons common to automotive fuels (specifically, benzene, toluene, ethylbenzene, and xylenes, hereafter referred to as BTEX). EPA Methods 8015(modified) and 8020 were used to complete the fuel hydrocarbon and BTEX analyses, respectively. These tests were selected since the size of the tank and the L J historic site information suggested that diesel or gasoline fuels were stored in the tank. Since the 1,000-gallon capacity tank appeared to have contained oil, sample 'Tank 2 S1" from near the water -table surface in test pit TP-4 was selected for quantitative chemistry analyses. • This sample, from a depth of about 6.5 feet below ground surface, was analyzed for: 1) 'Total Petroleum Hydrocarbon (TPH) concentrations by EPA Method 418.1; 2) EP-toxicity for metals by EPA Method 1320; 3) chlorinated solvents by EPA Method 8010; and 4) polychlorinated 1 biphenyls (PCB) by EPA Method 8080. Sample 'Tank 2 ST from about nine feet below the existing ground surface in test pit TP-4 was then analyzed after the "Tank 2 S-1" results were ' reported to us. The soil samples from borings B-2 and B-3 were analyzed for the TPH concentrations by EPA Method 418.1. The analytical results and detection limits are shown in the laboratory analysis reports in Appendix A. The mg/kg units reported by the analytical laboratory approximate part per million (ppm) concentrations. 31 Analytical Results 3.2.1 Upper Parking Lot Tank The fuel hydrocarbon analyses on the samples from the test pits adjacent to the tipper parkir-g lot tank (samples Tanis 1 S1, Tank 1 S2 and Tank 1 S3) showed that gasoline, diesel hr 1 and . diesel #2 concentrations were non -detected at the analytical detection limits of 20, 25 and 40 mg/kg, respectively. The results of the BTEX analyses also demonstrated that the ;e com; ,ow-ds r were non -detected at the analytical detection limits. The BTEX analysis limits were: ') 0 f mg/kg for benzene, toluene, ethylbenzene and o-xylene; and 2) 0.010 mg/kg for m-and as University Savings Bank July 6, 1989 ENVIRONMENT Page 7 5E-1044-1 since these isomers coelute during the analysis. The laboratory analysis reports for these analyses are contained in Tables A-1 and A-2 in Appendix A. r The analysis results for the two samples from boring B-2 (B-2 S4 and B-2 S-6) showed non - detected concentrations of TPH at the analytical detection limits of 5 mg/kg. These results are contained in Table A-3. 3.2.2 Landscaped Area Tank The soil sample collected from a depth of about 6.5 feet below ground surface in the test pit adjacent to the 1,000-gallon tank in the lower landscaped area was identified as "Tank- 2 Sl". 'I he TPH analysis on this sample detected a concentration of 941 mg/kg as shown in Table A- 4. Additional analysis on this sample showed PCBs to be non -detected at the analytical detection limit of 0.05 mg/kg (see Table A�5). The EP Toxicity metals were also non -detected at the limits of detection (see Table A-6). In addition, a chlorinated solvent analysis showed the analytes to be non -detected at the detection limits, except for 0.720 ug/kg of methylene chloride which was also present in the Quality Assurance (QA) blank as shown in Table A 7. Since the TPH concentration were elevated in the 'Tank 2 S1" sample, the sample collected �- - from about nine feet below ground surface (Tank 2 S2) was subsequently analyzed. The analysis showed a concentration of 41.5 mg/kg of TPH. The laboratory report is provided in Table A- .' 8. The analyses for the boring B-3 samples showed TPH concentrations to be: 1) 92.2 mg/kg for the B-3 S-3 sample; and 2) non -detected at the analytical detection limit of 5.0 mg/kg for the B-3 S-4 sample. These results are shown on Table A 3. 4.0 CONCLUSIONS + The results of our explorations indicated that two buried storage tanks remained at the site. One tank, of an estimated 10,000-gallons capacity, was Iocated at the north side of the upper parking lot. The other tank, estimated to have a 1,000-gallon capacity, was west of the entrance to the public restrooms. Based on the attempts to trace the piping connected to the three Maple Street fill pipes and conversations with local individuals, the tanks that were formerly connected to these fill pipes have apparently been removed from the site. In addition, the antique fuel pump near the western entrance to the site appeared to be only for decorative purposes. The field observations and the analytical chemistry results indicate that the subsurface soils in the vicinity of the 10,000-gallon capacity tank meet the WDOE petroleum hydrocarbon compliance limits in effect at the time of this report, assuming that the soils sampled were r ' representative of the area. This is further supported by the non -detected concentrations of TPH in boring B-2 which was in the alley about 25 feet east of this tank. Based on the analytical chemistry results, the soils in the vicinity of the 1,000-gallon caps�.`ry L tank locally only exceed the 200 mg/kg WDOE guideline for TPH concentrations. University Savings Bank July 6, 1989 1 77*-�'j T � M ENVIRONMENT Page 8 5E-1044-1 5.0 RECOMME.NDATIONS f- 5.1 Tank and Piping Abandonments We recommend abandoning the 1,000-gallon and 10,000-gallon capacity tanks in place due to the potential impacts to the .e dsting nearby structures. In addition, the piping connected to the three fill caps along Maple Street should be abandoned in place unless future site development will be impaired. Our discussions with Lt. Stan Olsen of the Edmonds Fire Department and Mr. Joseph Hickey of the Washington State Department of Ecology (WDOE) on June 1, 1989 r indicate that in -place abandonments should be possible, provided the Chief of the Edmonds Fire Department concurs and approves the permits. We suggest that in -place abandonments should be evaluated in terms of future site usage before this work is completed, however. _ We recommend leaving the TPH-impacted soils near the 1,000-gallon capacity tank in place, provided that the WDOE approves. This is due to the potential to disturb the building's foundations during any excavation to remove or treat the soils. The WDOE approval for leaving the soils untreated in situ should be obtained before abandoning this tank. The abandonments should be completed by a qualified contractor experienced with in situ tank and piping abandonment procedures. The contractor should arrange for the required permits and notifications. All of the tank abandonment work should be completed in accordance with the existing federal, state and local regulations in effect at the time of the tank abandonments. i Prior to starting the actual abandonment activities, we recommend having a licensed hazardous waste removal contractor pump the contents out of both tanks. The waste removal contractor should then triple rinse the tanks and remove all rinsate. i Finally, we recommend that University Savings Bank notify the WDOE of the abandonments once the work is completed. We would be pleased to do this on your behalf, if requested. We also suggest that University Savings Bank permanently retain copies of the abandonment documents. THORNE ENVIRONMENTAL, INC. ' Steven R. Bruce Environmental Manager - A)l = Maurice W. Gallarda, P.E. ' Principal Engineer t L w Antique z Z Fuel w Pump r TP-40 C B-3 q Landscaped Area TP-55 I TP-t;A I 000 FII DAYTON STREET Old Mill Retail Shops 1000-gat -� Tank TP-20 1 a,000-gal Tank Upper Parking Lot TP-1 5 MAPLE STREET Number and Approximate Not to Scale ❑ Test Pit Location Number and Approximate Boring Location By Others THI�I�E University Savinggs Bank v 1 g Old Mill, Edmonds, WA Figure �� ENVIRONMENTAL— — - Dar June 1989 S'TE PUN AND SA .<A?LE LOCA-flON MAP Pra;Ect Num:,E-: 5E-SO4�t--7i B-2 C r•� APPENDIX A { ANALYTTCAL CHEMISTRY DATA f CLIENT: Thorne Environmental DATE RECEIVED: 5/31/89 REPORT TO: Steve Bruce DATE REPORTED: 6/15/89 PROJECT NO.; 5E 1644 FUEL ANALYSIS (EPA METHOD 8015 MODIFIED) IN SOIL Laboratory Client Sample No. Identification Gasoline Diesel #1 Diesel #2 908621 Tank 1 S1 ND ND ND 908622 Tank 1 S2 ND ND ND 908623 TAnk 1 S3 ND ND ND Detection Limit 20. 25. 40. All concentrations reported in mg/kg on an "as received" basis. ND = Not Detected tl: TABLE A-1 AIVI7EST CLIENT: Thorne Environmental DATE RECEIVED: 5/31/89 REPORT TO: Steve Bruce DATE REPORTED: 6/14/89 PROJECT NO.: SE-1044 BTEX BY EPA METHOD 8020 Laboratory Sample Number 908621 908622 908623 Detection Limit Client identification Tank ? Tank 1 Tank 1 (mg/kg) S1 S2 S3 Benzene ND ND ND 0.005 Toluene ND ND ND 0.005 f� m+p-Xylene ND ND ND 0.010 __. o-Xylene ND ND ND 0.005 Ethyl Benzene ND ND ND 0.005 ND = Not Detected ] REPORTED BY: MH/ja _ Mark Hamilton TABLE A-2 9 6 AMU —Sr AmT—i Inc Prafessional Analytical % t Sarvicaa 14603 N c 871h Radmond WA 96052 Fax: 206 383 343 ANALYSIS REPORT Te1:2069851664 CLIENT: Thorne Environmental Lab DATE RECEIVED: 6/21/89 REPORT TO: Steve Bruce DATE REPORTED: 6/30/89 f 19730 - 64th Avenue West Suite 205 P.O. NO.: 5E-10444 r Lynnwood, WA 9SQ36 I Laboratory Client Total Petroleum Hydrocarbons Sample Nos. Identification (mg/kg) 910113 B-2, S-4 ND ND I T . 910114 B-2 , S-6 ND L910115 B-31 S-3 92.2 { 910116 B-3, S-4 ND I� DETECTION LIMIT 5.0 ND = Nothing Detected. Analysis by EPA Method 418.1. r r REPORTED BY JTD/pb John T. jai { TABLE A- 3 iJ 6 Am Test Inc Vi Professional Analytical oervice% 14603 N E. 87th Radmand. WA 98052 Fax: 206 803 349� ANALYSIS REPORT Ta1:206885166: CLIENT: Thorne Environmental DATE RECEIVED: 5/31/89 REPORT TO: Steve Bruce DATE REPORTED: 6/16/89 19730 64th Avenue West Suite 205 PROJECT NO.: 5E 1044 Lynnwood, WA 98036 Laboratory Client Total Petroleum Hydrocarbon Sample No. Identification (mg/kg) 908624 Tank 2 S1 941. UNM CLIENT: Thorne Environmental REPORT TO: Steve Bruce W.k.11, . —:� DATE RECEIVED: 5/31/89 DATE REPORTED: �T6/15/89 pP 01i'iCi A- : -,E 1044 PCB'S IN SOIL BY EPA METHOD 8080 Detection Laboratory Client Conc. Limit Sample No. Identification Arochlor (mg/kg) (mg/kg) 908624 Tank 2 S1 ND - 0.05 ND = Not Detected Results reported on an "as received" basis. TABLE A-5 6 V V ! 7 .,.S1 CLIENT: Thorne Environmental DATE RECEIVED: 5/31/89 REPORT TO: Steve Bruce DATE REPORTED: 6/14/89 rRO,,,''ECT NO.; 5E-1044 r E.P. TOXICITY Laboratory Sample Number Client Identification 908624 Tank 2 S1 Maximum Allowable - Concentration (mg/1) Arsenic <0.02 5.0 Barium <1.0 100.0 Cadmium <0.05 1.0 Chromium <0.10 5.0 -- r Lead <0.10 5.0 F Mercury <0.001 0.20 r i; Selenium <0.05 1.0 Silver i <0.05 5.0 All values in mg/1. r < = Less than i r TABLE A= 6 -4- CLIENT: Thorne Environmental DATE RECEIVED: 5/31/89 REPORT TO: Steve Bruce DATE REPORTED: 6/14/89 DATE REVISED: 7/14/89** PROJECT NO.! 51'-1 rn y n GC ANALYSIS OF PURGEABLE HALOCARBONS By EPA Method 8010 .Laboratory Sample Number Blank 908624 Detection Limit 1 1 Client Identification Tank 2 S1 (mg/kg) Chloromethane ND ND - 0.040 Vinyl Chloride ND ND 0.040 Bromomethane ND ND 0.040 Chloroethane ND ND 0.040 r Dichlorodifluoromethane ND ND 0.040 Trichlorofluoromethane ND ND 0.040 1,1-Dichloroethylene ND ND 0.040 Methylene Chloride 0.660 0.720 0.040 {,-- Trans-1,2-Dichloroethylene ND ND 0.020 1,1-Dichloroethane ND ND 0.020 chloroform ND ND 0.020 1,1,1-Trichloroethane ND ND 0.020 Carbon Tetrachloride ND ND 0.020 1,2-Dichloroethane ND ND 0.020 Trichloroethylene ND ND 0.020 1,2-Dichloropropane ND ND 0.020 Dichlorobromomethane ND ND 0.020 Trans -1,3-Dichloropropens ND ND 0.020 Cis-1,3-Dichloropropene ND ND 0.020 1,1,2-Trichloroethane ND ND 0.020 Tetrachloroethylene ND ND 0.020 Dibromochloromethane ND ND 0.020 Bromoform ND ND 0.020 1, 1, 2, 2 -Tetrachl oroethane ND ND 0.020 ND = Not Detected All results in mg/kg. *Methylene Chloride is found both in the Blank and sample, so th background laboratory contamination is suspected. Conversion of un IS involved, causing elevated value. **Report revised due to typographical error. �t t TABLE A-7 L; A r �� AmTest Inc Professional Analytical Ser.ices 14603 Alf 67tb St Hedntand WA 96052 Fax: 206 003 :495 ANALYSIS REPORT Tel: 206 885 1604 CLIENT: Thorne Environmental DATE RECEIVED: 6119189 REPORT TO: Steve Bruce DATE REPORTED: 6/26/89 19730 64th Avenue West Suite 205 PROJECT NO.: 5E 1.044 Lynnwood, WA 98036 Laboratory Client Total Petroleum Hydrocarbon* Sample No. Identification {mg/kg} 909989 Tank 2 - S2 tI *EPA Method 418.1 41.5 Q REPORTED BY: rE"1411 - JTD/ja John T. Dalley ty- TABILE A-8 TANK CLEANING CERTIFICATION Northwest EnvkvoSemice g,Lt I j-DA R-G D . ATIR.0 To- whom -it may -b6r.cern: ifr thdt-thIs tank(s), Phis letter is to cert V,tvc�d- have been pumped and-rri for rauxft-1. Mork was preformed alt Cot -A-L- perely, 40kTRIKEST ERVIROSERVIM, INC. inderground Tank OPetati.OM irKote.a This letter does not .certify that- thg above tank(s) have- been cleanee-. for disposal or be considered gas frde. Vj- A.o . SO 'EDMONDS FIRE DEPT. 40 T5STING, INC-' ` .A 10204 gip{ [}S, WA 98116 1932 02D6 7. MARTNU .��L: O. Will ym of vr:ma - sl...� - A o a .. �'�itr�Z '-Yo2 Dom..:... C AT 9- - Zp N. It I "AIL `t 6�i� � y�•^ e. ' f•��.�c�2r�� t��. may' � • �„, �Y �_[R•r v..•� _�•.��"y�: i�� .. ..16 ..•f. 7CL�1 - WE .. + s"j• -- r iIl >�iir� -W sA b� COrMi�1 t ,�•- _ 4+',FS--:rt e'; -_k. . y to gas >I A " "'' =un7be ar61r?r. ansl iirnA�riy r aPP nt'n+� wf{ ifrta� r!rf�?+ SfANDAffQ5AF 7YDEVGNA716NS p ;j gdlt►til.fa3 erlelgnrird- - ,' = a �r+w�sir+,�ot tha aemDsfiSlsre rs ateest t9,S ptrnG! i rrrtterrt or sPa sv gumud lal •hco>Yg arcek.tcatre eo!prudutrrtg [mcrc SAFE -PO f WGRKER5. ldcarts that 11 t�sa Cu si,Gte mnixrW,ANnns.•and that.{cfther�� nit• a a?rr? �rr R.slF,s� s Getirlreale rrnt: tnwa rna[r+ea so dessgnatad. ihh requrfetnt nts of Safe far Wtukets #las rrvt rdtrfna.•urirhtfia P �! �:_oendµroi.swlt+tn ',' `A� iitat+rtihnc0enpallll+e[:cmSWt� isatkaez19.5?am' �N yte d: fa] aXygtn 8s5ntant of the aunccvh X' j hfder+S r# tfn rite t hmg�tm o� 1 Z } th¢ r arraxt[satinn df [iasrima�la tz ar ax [ttlpw m extmnd tFat work is La be � � s ;her cnrtce-nWi4on dwn � wepa frarah-M �i � F and ih�L i cz are P43t C�� 4f SCettlfir�te' xrd Farfiter. 1 3t. hKy 6Mer ifwr*5d RCd-aIIcfad arl the iR7tsrlrr C7ter+�C'[• rlr a an >0. . ar asr4'ste tooth or &a saem ,s!•. ::;r�.�••:: T _ f;=. and W feia rTM came of foal txi s. C 1 lfta of rota ar aro �ac�trrn'n°d of. ke dra traled. she rcyurrrmenrs o! Safe lu+t' W°r!`� nnE Ae�r!�+ s' arl'neitl so de3sy v+dearner so de•St4r've t gyp g FClft IiCL�FAaaru If+ar ur trr4 corr4+ rend F[ss LlR2tr ftl P?r xi Ln? fiE?AIR YAND FJ�71i! hlcarrs drat tlla r�tutdhmana lard a b ex ai 9ft5 htt 1 a tw M1 • 'ZIt 0.80�i98G� - E. a site ar-inpheee t�tad to >st atw pe ^ ' ; s}aieons. results rr�ecu Ur It 11marinrt rrmeTIP ><+asy r+tQ - .. thal'alf sW7n d era f� +rr'�• _ �`rz.` •- a �, _•.• tnerted halal+ r+rr slay delerrrla'�d Zi��' • X ! . ■ ct.is §rT r=NVORSWE" fo h'sts tr tutr[ftl th of wdt to be i+t aeeaedas*c= wrrRns asu4n d ' 3• _ .,.•, v�tt "ytksF�C�t.re µxa; liazarps mr V - - .. _,,..ne. r nkn thtrt Lerld+ow *+, � K itd livw Lr•. ,- • •- ' I ter` rl= - Ly r f Wd _._ F Fug ? - ----- A7?IV15 S-- APPENDIX B BORING LOGS PHASE II SUBSURFACE INVESTIGATION Old Milltown Building Edmonds, Washington Farallon PN: 502-001 0 \ProjcctOGZ GPA%502001 Old Milltowa\Rcpotts\Plt It RpiThmc 11 Rpt.doc FARALLON CONSULTING, :, 320 3rd Avenue NE USCS Classification and Graphic Legend Issaquah, WA 98027 � o rn T U � CL z Major Divisions �; Lithologic Description U U W U) Coarse- GRAVEL CLEAN GRAVEL (Little Op' ° ' GW Well graded GRAVEL, well graded GRAVEL with sand Grained AND or no fines) - GP Poorly y graded GRAVEL, GRAVEL with sand Soil More ( GRAVELLY than 50% SOIL (More of material than 50% of GRAVEL WITH FINES GP -GM Poorly graded GRAVEL - GRAVEL with sand and silt is larger coarse (Appreciable amount of GM Silty GRAVEL than No fraction fines) 200 sieve retained on size) No. 4 sieve) GC Clayey GRAVEL SAND AND CLEAN SAND (Little or SW Well graded SAND SANDY no fines) SP Poorly graded SAND SOIL (More than 50% of _ coarse SAND WITH FINES SP-SM Poorly graded SAND - silty SAND fraction (Appreciable amount of SM Silty SAND passed fines) through No 4 sieve) SC Clayey SAND 9 SM-ML SILT - Silty SAND Fine- SILT AND ML SILT Grained CLAY (Liquid — CL CLAY Soil (More limit less than 50% than 50) OL Organic SILT of material is smaller I I I I I I than No. 200 sieve SILT AND MH Inorganic SILT size) CLAY (Liquid limit greater CH Inorganic CLAY than 50) OH Organic CLAY Highly Organic Soil PT Peat OTHER PAVEMENT AC Asphalt concrete MATERIALS CO Concrete RK Bedrock OTHER �•'tx WD Wood Debris DS Debris (Miscellaneous) PC Portland cement Legend Sample Interval Solid line indicates sharp ❑ Grab Sample Interval°? Cement Grout contact between units well defined. U C� ------- Dashed line indicates gradational Water level at time of drilling �Illllll Bentonite contact between units II Water level at time of sampling feel bgs = feet below ground surface n Sand Pack NE = Not Encountered Blank Casing L. ` NA = Not Applicable PID = Photoionization Detector Well Cap PN = Project Number Screened Casing ppm = Parts per Million E_lForm5%BollerplateslLogPlollUlhologylCoverpage USCS = Unified Soil Classification System FARALLON CONSULTING — --- --- Log of Boring: B1 320 3rd Avenue IJE Issoquoh, WA 98027 Page 1 of i Date/TimeStarted: 5102/061600 Sampler Type: 4'w/polysleve Client: GPA, Inc. Project: Old Milltown Building DateMme Completed: 5/02/06 1730 Drive Hammer (lbs.): NA Location: Edmonds, WA Equipment: Geo Probe Depth of Water ATD (ft bgs): 6 Drilling Company: Cascade Drilling, IncTotal Boring Depth (ft bgs): 8 Drilling Foreman: Casey Total Well Depth (ft bgs): 8 Farallon PN: 502-001 Drilling Method: Direct Push Logged By: John Schmitt m c s m r Boring/Well m Lithologic Description t? a Q a Construction r a rn uJ m `✓ Sample ID a Details N ❑ m > V% > e m ❑ a E U) 0 0-2' Hand dig 0-1' Topsoil. SP-SM 1'-2' SAND with gravel, minor silt, brown, moist. Attempt to drive probe 2'-6', no recovery due to rock, move off hole and attempt second drive_ Hand auger to 4' 4'-5' Silty SAND, minor gravel, dark brown to black, loose, moist, no SM odor 5 5'-6' Becomes SAND, fine to medium grained, minor gravel, minor slit, SP gray 01 B1-5-6 X 6'-B' Becomes trace silt, fine to coarse gravel, coarse gravel at 8', 100 _ Temporary well screen brown, wet, no odor Collect reconnaissance groundwater sample, cloudy. yellowish brown. B1-7-8 02 B1-RGW X Well Construction Information Ground Surface Elevation ftNA Monument Type: NA � NA ()• Filter Pack: Casing Diameter (inches): 1 Top of Casing Elevation (ft): NA Screen Slot Size (inches): 0 010 Surface Seal: NA Boring Abandonment: Bentonite Screened Interval (ft bgs): 3-B Annular Seal: NA Surveyed Location: X: NA Y: NA FARALLON CONSULTING, ��. Logof Boring:B2 ,320 -3rd Avenue NE Issoquoh, WA 9BO27 Page 1 of 1 Client: GPA, Inc. Datelrime Started: 5/02106 1740 Sampler Type: 4' w/poly sleve Project: Old Milltown Building Date/Time Completed: 5/02106 1825 Drive Hammer (lbs.): NA Location: Edmonds, WA Equipment: Geo Probe Depth of Water ATD (ft bgs): 5 5 Drilling Company: Cascade Drilling, lncTotal Boring Depth (ft bgs): 8 Drilling Foreman: Casey Total Well Depth (ft bgs): 8 Farallon PN: 502-001 Drilling Method: Direct Push Logged By: John Schmitt 0p � 17 � v co mmN T Boring/Well w v Lithologic Description 0 p o Construction a E ij 3 ,c'. Sample ID a Details m ❑ N M v) ❑ o o M o 0. E M 0 0-4" CONCRETE CO 4"-5.5' SAND, fine to medium grained, trace fine gravel, trace silt, SP brown, moist, no odor 100 0.0 B2-2-4 5 5 5'-8' Becomes fine to coarse grained, wet 01 82-5-6 X 100 Temporary Well Screen Collect reconnaissance groundwater sample, slightly yellowish B2-RGW X Well Construction Information Ground Surface Elevation (ft): NA Monument Type: NA ( ) NA Casing Diameter (inches): 1 Filter Pack: Top of Casing Elevation (ft): NA Screen Slot Size (inches): 0 010 Surface Seal: NA Boring Abandonment: Bentonite Screened Interval (ft bgs): 3-8 Annular Seal: NA Surveyed Location: X: NA Y: NA FARALLON CONSULTING Log of Boring: B3 320 3rd Avenue IAE Issaquoh, WA 98027 Page 1 of 1 Date/Time Started: 5102/06 1825 Sampler Type: 4' w/poly sleve Client: GPA, Inc. Project: Old Milltown Building Dalelrime Completed: 5/02/06 1900 Drive Hammer (lbs.): NA Location: Edmonds, WA Equipment: Geo Probe Depth of Water ATD (ft bgs): NA Drilling Company: Cascade Drilling. Inc Total Boring Depth (ft bgs): e Drilling Foreman: Casey Total Well Depth (ft bgs): NA Farallon PN: 502-001 Drilling Method: Direct Push Logged By: John Schmitt vl v co co m w y S z y = = BonnglWell m Lithologic Description t; o o a Construction Q E v a 3 Sample ID n Details ❑ m W W W D o o m ❑ o E W 0 0-4" CONCRETE — — — CO ---� 4"-5' SAND, fine to medium grained, minor fine gravel. trace to monor SP silt, brown, moist, no odor, roots present 75 01 B3-3-4 X 5 5'-6' Sandy SILT. brown, moist, no odor, organics and wood ash NIL (black) 01 B3-5-6 75 — 6'-8' SAND with silt, fine to medium grained, brown- moist, no odor SM Refusal at 8' 00 63-7-8 X Well Construction Information ft): NA Monument Type: NA Ground Surface Elevation (ft): NA Filter Pack: Casing Diameter (inches): NA Top of Casing Elevation (ft): NA Screen Slot Size (inches): NA Surface Seal: NA Boring Abandonment: Bentonile Screened Interval (ft bgs): NA Annular Seal: NA Surveyed Location: X: NA Y: NA FARALLON CONSULTING _ ._.. Log of Boring: B4 g' �320 3rd Avenue NEg Issaquah, WA 98027 Page 1 of 1 Client: GPA, Inc. Daterrime Started: 5/02/061900 Sampler Type: 4' w/poly sleve Project: Old Milltown Building Daterrime Completed: 5102/06 1945 Drive Hammer (lbs.): NA Location: Edmonds, WA Equipment: Geo Probe Depth of Water ATD (ft bgs): 6 Drilling Company: Cascade Drilling, Inc Total Boring Depth (ft bgs): 8 Drilling Foreman: Casey Total Well Depth (ft bgs): 8 Farallon PN: 602-001 Drilling Method: Direct Push Logged By: John Schmitt b G ad+ U � � W co � M T BoringlWell m Lithologic Description o o a Construction c E 0 � � 3 ._� Sample ID a Details a 0 m W uJ U) o ❑ E uJ 0 04" CONCRETE CO — 4"-3' SAND, with gravel, trace silt, brown, moist, no odor Sp T-4 6'Becomes SAND, fine grained, minor silt, grey -brown, molst, no P-SM odor 02 B4-3-4 X ------------------------------------------------------ 4 6-8'Becomes SAND, fine to medium grained, trace silt, brown. with SP orange mottling at 6' 5 01 B4-5-6 Collect reconnaissance groundwater sample, cloudy, yellow -orange • 100 T = Temporary well screen 02 B4-7-B B4-RGW X Well Construction Information Monument Type: NA Ground Surface Elevation (ft): NA Casing Diameter (inches): 1 Filler Pack: NA Top of Casing Elevation (ft): NA Screen Slot Size (inches): 0 010 Surface Seal: NA Boring Abandonment: Bentonite Screened Interval (It bgs): 3-8 Annular Seal: NA Surveyed Location: X: NA Y: NA FARALLON CONSULTING - Log of Boring: B5 320 3rd Avenue NE Issaquah, WA 9B027 Page 1 of 1 Date[Time Started: 5102106 1945 Sampler Type: 4'w/poly sleve Client: GPA, Inc. Project: Old Milltown Building Daterrime Completed: 5/02106 2030 Drive Hammer (lbs.): NA Location: Edmonds, WA Equipment: Geo Probe Depth of Water ATD (ft bgs): 6 Drilling Company: Cascade Drilling. Inc Total Boring Depth (ft bgs): 8 Drilling Foreman: Casey Total Well Depth (ft bgs): 8 Farallon PN: 502-001 Drilling Method: Direct Push Logged By: John Schmitt 2 o. z 22 co V ai T M BoringlVllell Lithologic Description �; o i; < Construction mE V 0 0 3 y Sample ID o. Details o co N m > U) > o m O a E w 0 0-4" CONCRETE CO 4"-5' SAND. Fine to medium grained, trace fine gravel, trace silt. SP 100 B5-34 X 5 ----...-..------------------------------------- - 5'-6' Becomes fine to coarse B5-5-6 -------------------------------------------- 6'-8' Becomes wet 100 _ s Temporary well screen i Collect reconnalssance groundwater sample, cloudy, yellowish 85-7-8 B5-RGW X Well Construction Information MonumentType: NA Ground Surface Elevation (ft): NA ( ) NA Casing Diameter (inches): 1 Filter Pack: Top of Casing Elevation (ft): NA Screen Slot Size (inches): 0 010 Surface Seal: NA Boring Abandonment: Benlonite Screened Interval (ft bgs): 3-8 Annular Seal: NA Surveyed Location: X: NA Y: NA APPENDIX C LABORATORY ANALYTICAL RESULTS PHASE II SUBSURFACE INVESTIGATION {old Milltown Building Edmonds, Washington Farallon PN: 502-001 GAkgmsM2 6PAUO-1001 Old h111ho%"1Aepor1APhu 11 Rpl%Pha c 11 Rpi dm onSite Environmental Inc. 14648 NE 95" Street, Redmond, WA 98052 • (425) 883-3881 May 10, 2006 Carla Brock Farallon Consulting, LLC 320 3'd Avenue NE, Suite 200 Issaquah, WA 98027 Re: Analytical Data for Project 502-001 Laboratory Reference No. 0605-028 Dear Carla: Enclosed are the analytical results and associated quality control data for samples submitted on May 3, 2006. The standard policy of OnSite Environmental Inc is to store your samples for 30 days from the date of receipt. If you require longer storage, please contact the laboratory. We appreciate the opportunity to be of service to you on this project. If you have any questions concerning the data, or need additional information, please feel free to call me. Sincerely, David Baumeister Project Manager Enclosures OnSite Environmental, Inc. 14648 NE 95'" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance With the chain of custody, and Is in!ended only for the use of the individual or company to whom it is addressed. Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 Case Narrative Samples were collected on May 2, 2006 and received by the laboratory on May 3, 2006. They were maintained at the laboratory at a temperature of 20C to 60C except as noted below. (general QA1QC issues associated with the analytical data enclosed in this laboratory report will be indicated with a reference to a comment or explanation on the Data Qualifier page. More complex and involved QA/QC issues will be discussed in detail below. OnSite Environmental, Inc 14648 NE 951' Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 3 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 NWTPH-Gx/BTEX Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Water Units: ug/L (ppb) Client ID: Bi-RGW B2-RGW Lab ID: 05-028-01 05-028-02 Result Flags PQL Result Flags PQL Benzene ND 1.0 ND 1.0 Toluene ND 10 ND 1'0 Ethyl Benzene ND 1.0 ND 1'0 m,p-Xylene ND 1.0 ND 1 0 o-Xylene ND 1.0 ND 10 TPH-Gas ND 100 ND 100 Surrogate Recovery: Fluorobenzene 107% 104% OnSite Environmental, Inc. 14648 NE 95'n Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 4 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 NWTPH-Gx/BTEX Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Water Units: ug/L (ppb) Client ID: B4-RGW B5-RGW Lab ID: 05-028-03 05-028-04 Result Flags PQL Result Flags PQL Benzene ND 1.0 ND 1.0 Toluene ND 1.0 ND 10 Ethyl Benzene ND 1.0 ND 1 0 m,p-Xylene ND 1.0 ND 1.0 o-Xylene ND 1.0 ND 1.0 TPH-Gas ND 100 ND 100 Surrogate Recovery: Fluorobenzene 1040/. 103% QnSite Environmental, Inc 1464E NE 95' Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 5 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 NWTPH-Gx/BTEX METHOD BLANK QUALITY CONTROL Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Water Units: ug/L (ppb) Lab ID: MB0505WI Result Flags PQL Benzene ND 1 0 Toluene ND 1.0 Ethyl Benzene ND 1.0 m,p-Xylene ND 1.0 o-Xylene ND 1.0 TPH-Gas ND 100 Surrogate Recovery: Fluorobenzene 105% OnSite Environmental, Inc 14648 NE 95"' Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is inlended only for the use of the individual or company to whom it is addressed. C Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 NWTPH-GX/STEX DUPLICATE QUALITY CONTROL Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Water Units: ug/L (ppb) Lab ID: 05-028-01 05-028-01 Original Duplicate RPD Flags Benzene ND ND NA Toluene ND ND NA Ethyl Benzene ND ND NA m,p-Xylene ND ND NA o-Xylene ND ND NA TPH-Gas ND ND NA Surrogate Recovery: Fluorobenzene 107% 104% OnSite Environmental, Inc_ 14648 NE 95`" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 Date Extracted: Date Analyzed: Matrix: Water Units: ug/L (ppb) Spike Level: 50.0 ppb Lab ID: N WTPH-Gx/BTEX MS/MSD (QUALITY CONTROL 5-5-06 5-5-06 05-028-01 Percent 05-028-01 Percent MS Recovery MSD Recovery Benzene 50.6 101 51.2 '102 Toluene 50.8 102 51.3 103 Ethyl Benzene 51.1 102 51.3 103 m,p-Xylene 50.8 102 51.3 103 o-Xytene 51.3 103 51.2 102 Surrogate Recovery: Fluorobenzene 92% 95% 7 RPD Flags 1 1 0 1 0 OnSite Environmental, Inc 14648 NE 951' Street, Redmond, WA 98052 (426) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom 11 is addressed 3 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 NWTPH-Dx Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Water Units: mg/L (ppm) Client ID: B1-RGW B2-RGW B4-RGW Lab ID: 05-028-01 05-028-02 05-028-03 Diesel Range: ND 4.4 ND PQL: 025 0.25 025 Identification: -- Diesel Range Organics Lube Oil Range: ND ND ND PQL: 0.40 0.40 0.40 Identification: Surrogate Recovery o-Terphenyl: 85% 96% 77% Flags: Y Y Y OnSite Environmental, Inc. 14648 NE 95111 Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 41 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 NWTPH-Dx Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Water Units: mg/L (ppm) Client ID: B5-RGW Lab ID: 05-028-04 Diesel Range: ND PQL: 0.25 Identification: - Luhc Oil Range-- ND PQL- 0.40 Identification: - Surrogate Recovery o-Terphenyl : 83% Flags: Y OnSite Environmental, Inc. 14648 NE 95,n Street, Redmond, WA 98052 (425) 883-3881 This report perlains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company Io whom it is addressed. 10 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 NWTPH-Dx METHOD BLANK QUALITY CONTROL Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Water Units: mg/L (ppm) Lab ID: MB0505W 1 Diesel Range: ND PQL: 025 Identification: Lube Oil Range: ND PQL: 040 Identification: Surrogate Recovery o-Terphenyl: 80% Flags: Y OnSite Environmental, Inc 14648 NE 95' Street, Redmond, WA 98052 (425) 683-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom 0 Is addressed 11 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 NWTPH-Dx DUPLICATE QUALITY CONTROL Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Water Units: mg/L (ppm) Lab ID: 05-028-01 05-028-01 DUP Diesel Range: ND ND PQL: 025 0.25 RPD: N/A Surrogate Recovery o-Terphenyl : 85% 135% Flags: Y Y OnSite Environmental, Inc. 14648 NE 95'" Street, Redmond, WA 98052 (425) 883-3881 This report p-rtains to the samples analyzed in accordance with the chain of custody. and is inlendod only for the use of the individual or carpany to whom it is addressed. 12 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 DISSOLVED METALS EPA 200.8f7470A Date Filtered: 5-4-06 Date Analyzed: 5-8&9-06 Matrix: Water Units: ug/L (ppb) Lab ID: 05-028-01 Client ID: B1-RGW Analyte Method Result PQL Arsenic 2008 ND 3.0 Barium 200.8 ND 25 Cadmium 200,8 ND 4.0 Chromium 200,8 ND 10 Lead 200.8 ND 1.0 Mercury 7470A ND 0.50 Selenium 2008 ND 5.0 Silver 200.8 ND 10 OnSite Environmental, Inc. 14648 NE 95'" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 13 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 DISSOLVED METALS EPA 200.817470A Date Filtered: 5-4-06 Date Analyzed: 5-8&9-06 Matrix: Water Units: ug/L (ppb) Lab ID: 05-028-02 Client ID: B2-RGW Analyte Method Result PQL Arsenic 200.8 ND 3.0 Barium 200.8 ND 25 Cadmium 200.8 ND 4.0 Chromium 2008 ND 10 Lead 200.8 8.5 1.0 Mercury 7470A ND 0.50 Selenium 2008 ND 5.0 Silver 2008 ND 10 OnSite Environmental, Inc. 14648 NE 95"' Street, Redmond, WA 98052 (425) 883-3681 This rcpor; pertalns to the samples analyzed in accordance with the chain of custody, and is inionded only for the use of the individual or company to whom it is addressed 14 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 DISSOLVED METALS EPA 200.8/7470A Date Filtered: 5-4-06 Date Analyzed: 5-8&9-06 Matrix: Water Units: ug/L (ppb) Lab ID: 05-028-03 Client ID: B4-RGW Analyte Method Result PQL Arsenic 2003 ND 3.0 Barium 200.8 ND 25 Cadmium 200.8 ND 4.0 Chromium 200.8 ND 10 Lead 200.8 ND 1.0 Mercury 7470A ND 0.50 Selenium 2008 ND 5.0 Silver 200.8 ND 10 OnSite Environmental, Inc 14648 NE 95u Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is Intended only for the use of the individual or company to whom It is addressed 15 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 DISSOLVED METALS EPA 200.6/7470A Date Filtered: 5-4-06 Date Analyzed: 5-8&9-06 Matrix: Water Units: ug/L (ppb) Lab ID: 05-028-04 Client ID: B5-RGW Analyte Method Result PQL Arsenic 200.8 NO 3.0 Barium 200.8 ND 25 Cadmium 200.8 NO 4.0 Chromium 200.8 NO 10 Lead 2008 ND 1.0 Mercury 7470A ND 0.50 Selenium 2008 NO 5.0 Silver 200.8 NO 10 QnSite Environmental, Inc 14648 NE 951" Street, Redmond, WA 98052 (425) 883-3881 This sport pertains to the samples analyzed in accordancewhh the chain alcuslody, and is ir�tcnded only for the use of the individual or company to whom it Is addressed ii[: Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 DISSOLVED METALS EPA 200.817470A METHOD BLANK QUALITY CONTROL Date Filtered: 5-4-06 Date Analyzed: 5-8&9-06 Matrix: Water Units: ug/L (ppb) Lab ID: MB0504DI Analyte Method Result PQL Arsenic 200.8 ND 3.0 Barium 2008 ND 25 Cadmium 2008 ND 40 Chromium 200.8 ND 10 Lead 200.8 ND to Mercury 7470A ND 0.50 Selenium 200.8 ND 5.0 Silver 200-8 ND 10 OnSite Environmental, Inc_ 14648 NE 95"` Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed. 17 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 DISSOLVED METALS EPA 200.8/7470A DUPLICATE QUALITY CONTROL Date Filtered: 5-4-06 Date Analyzed: 5-8&9-06 Matrix: Water Units: ug/L (ppb) Lab ID: 05-028-01 Sample Duplicate Analyte Result Result RPD PQL Arsenic ND ND NA 3.0 Barium ND ND NA 25 Cadmium ND ND NA 4.0 Chromium ND ND NA 10 Lead ND ND NA 1.0 Mercury ND ND NA 0.50 Selenium ND ND NA 5.0 Silver ND ND NA 10 Flags OnSite Environmental, Inc 14648 NE 95'" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed. Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-028 Project: 502-001 DISSOLVED METALS EPA 200.817470A MS/MSD QUALITY CONTROL Date Filtered: 5-4-06 Date Analyzed: 5-8&9-06 Matrix: Water Units: ug/L (ppb) Lab ID: 05-028-01 Spike Percent Percent Analyte Level MS Recovery MSD Recovery RPD Arsenic 250 246 98 249 100 1 Barium 250 260 104 264 106 2 Cadmium 250 247 99 251 100 2 Chromium 250 241 96 242 97 1 Lead 250 250 100 253 101 1 Mercury 12.5 11.9 95 11.8 94 1 Selenium 250 239 96 243 97 2 Silver 250 247 99 254 102 3 OnSite Environmental, Inc. 14648 NE 95,n Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordence with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed Flags 18 19 onsite Environmental Inc. Data Qualifiers and Abbreviations A - Due to a high sample concentration, the amount spiked is insufficient for meaningful MS/MSD recovery data B - The analyte indicated was also found in the blank sample. C - The duplicate RPD is outside control limits due to high result variability when analyte concentrations are within five times the quanfitalion limit. E - The value reported exceeds the quantitation range and is an estimate F - Surrogate recovery data is not available due to the high concentration of coeluting target compounds. G - Insufficient sample quantity for duplicate analysis H - The analyte indicated is a common labwataty solvent and may have been introduced during sample preparation, and be impacting the sample result I - Compound recovery is outside of the control limits_ J - The value reported was below the practical quantitation limit_ The value Is an estimate K - Sample duplicate RPD is outside control limits due to sample inhomogeneity. The sample was re -extracted and re -analyzed with similar results L - The RPD is outside of the control limits. M - Hydrocarbons in the gasoline range (toluene-napthalene) are present in the sample. O - Hydrocarbons indicative of diesel fuel are present in the sample and are impacting the gasoline result. P - The RPD of the detected concentrations between the two columns is greater than 40. Q - Surrogate recovery is outside of the control limits. S - Surrogate recovery data is not available due to the necessary dilution of the sample T - The sample chromatogram is not similar to a typical U - The analyte was analyzed for, but was not detected above the reported sample quantitation limit. V - Matrix Spike/Matrix Spike Duplicate recoveries are outside control limits due to matrix effects. W - Matrix Spike/Matrix Spike Duplicate RPD are outside control limits due to matrix effects. X - Sample extract treated with a silica gel cleanup procedure_ Y - Sample extract treated with an acid/silica gel cleanup procedure. Z- ND - Not Detected at PQL PQL - Practical Quantilation Limit RPD - Relative Percent Difference OnSite Environmental, Inc 14648 NE 95'" Street, Redmond, WA 98052 (425) 883-38B1 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed Chain of Custody Page of onsite boratory Number: Q 5 — Q 2 Environmental Inc. M., 14646 NE 951h SIre91 • Aodmon0, WA 8e052 pry�g; {425} 6a3.3661 • Fux: j425i 9e5�603 r Company; 1 Check One) Prolecl Number: ❑ Same Day ❑ 1 Day o m Project interne: ❑ 2 Day ❑ 3 Day U ar t� 1.4 v.1 J , i Protect Nfarsager: .Standard (7 working days) x m gulf = ti g m ¢ Q m ; in sam r t` aU+t a d�. �•se G w o o vcc m U m m m �� � a (other) 2 ti a toa m�� UJt o r, imeo 2 2 . an T N m n- a � a e�i.l a- I 2 T a ax. iiJ n Lab r r r Sampled Cant. 1z I Zo W ,z.L--twSignature Company Relinquished by , cil r i -Date 15/ -Vo 1 '0 Received by ` �j 5-7 J 6,.G i L f c> Relinquished by Received by Relinquished by Received by Reviewed by/Date Reviewed by/Date Chromatograms with final report ❑ DISTRIBUTION LEGEND: White - OnSlte Copy Yellow - Report Copy Pink - Client Copy .3 OnSite Environmental Inc. 14648 NE 95t" Street, Redmond, WA 98052 • (425) 883-3881 May 10, 2006 Carla Brack Farallon Consulting, LLC 320 TO Avenue NE, Suite 200 Issaquah, WA 98027 Re: Analytical Data for Project 502-001 Laboratory Reference No. 0605-029 Dear Carla: Enclosed are the analytical results and associated quality control data for samples submitted on May 3, 2006. The standard policy of OnSite Environmental Inc. is to store your samples for 30 days from the date of receipt. It you require longer storage, please contact the laboratory. We appreciate the opportunity to be of service to you on this project.. If you have any questions concerning the data, or need additional information, please feel free to call me. Sincerely, David Baumeister Project Manager Enclosures OnSite Environmental, Inc 14648 NE 95i" Street, Redmond, WA 9BO52 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 2 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 Case Narrative Samples were collected on May 2, 2006 and received by the laboratory on May 3, 2006. They were maintained at the laboratory at a temperature of 2 0 C to 6°C except as noted below. General QA/QC issues associated with the analytical data enclosed in this laboratory report will be indicated with a reference to a comment or explanation on the Data Qualifier page. More complex and involved QA/QC issues will be discussed in detail below, NWTPH Gx/91E7C Analysis Per EPA Method 5035A, samples were received by the laboratory in pre -weighed 40 mL VOA vials within 48 hours of sample collection, They were stored in a freezer at between -7°C and -200C until extraction or analysis. Any other QA/QC issues associated with this extraction and analysis will be indicated with a footnote reference and discussed in detail on the Data Qualifier page.. OnSite Environmental, Inc_ 14648 NE 95" Street, Redmond, WA 98052 (425) 883-3881 This report perlalns to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the Individual or company to whom it is addressed K Date of Report: May 10, 2006 Samples Submitted. May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 Date Extracted: Date Analyzed: Matrix: Soil Units: mg/kg (ppm) ClientlD: Lab ID: Benzene Toluene Ethyl Benzene m,p-Xyiene o-Xylene TPH-Gas Surrogate Recovery: Fluorobenzene NWTPH-Gx/BTEX 5-8-06 5-8-06 Bi-5-6 B2-5-6 05-029-01 05-029-04 Result Flags PQL Result Flags PQL ND 0.020 ND 0.020 ND 0.046 ND 0.047 ND 0.046 ND 0.047 ND 0.046 ND 0,047 ND 0.046 ND 0.047 ND 4.6 ND 4.7 102% 93% OnSite Environmental, Inc. 14648 NE 95"" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed. 4 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reterence: 0605.029 Project: 502-001 NWTPH-Gx/BTEX Date Extracted: 5-8-06 Date Analyzed: 5-8-06 Matrix: Soil Units: mg/kg (ppm) Client ID: B3-3-4 133-7-8 Lab ID: 05-029-05 05-029-07 Result Flags PQL Result Flags PQL Benzene ND 0.020 ND 0.020 Toluene ND 0.051 ND 0.057 Ethyl Benzene ND 0.051 ND 0.057 m,p-Xylene ND 0.051 ND 0.057 o-Xylene ND 0.051 ND 0.057 TPH-Gas ND 5.1 ND 57 Surrogate Recovery: Fluorobenzene 109% 85% OnShe Environmental, Inc_ 14648 NE 95'" Street, Redmond, WA 98052 (425) 883-3881 Thls report pertains 10 the samples anaiy:ed in accordance with The chain of custody, and is intended only for the use of the indvtdual or company to whom it is addressed. 5 Date of Report: May 10, 2006 Samples Suhrnit ed: May 3, 2006 Laboratory Reference: 0605.029 Project: 502-001 Date Extracted: Date Analyzed: Matrix: Soil Units: mg/kg (ppm) Client ID: Lab ID: Benzene Toluene Ethyl Benzene m,p-Xylene o-Xylene TPH-Gas Surrogate Recovery: Fluorobenzene NWiPH-Gx/BTEX 5-8-06 5-8-06 64-3-4 B5-3-4 05-029-08 05-029-11 Result Flags PQL Result Flags PQL ND 0.020 ND 0 020 ND 0.039 ND 0..041 ND 0.039 ND 0 041 ND 0 039 ND 0.041 ND 0.039 ND 0.041 ND 39 ND 4.1 91% 105% OnSite Environmental, Inc. 14648 NE 951" Street, Redmond, WA 9B052 (425) 883-3881 This report pertains to the samples analyzed in accordance wioi7 the chain of custody, and is intended only for the use of the individual or company to wham it is addressed 6 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 NWTPH-Gx/BTEX METHOD BLANK QUALITY CONTROL Date Extracted: 5-8-06 Date Analyzed: 5-8-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: MB0508S2 Result Benzene NO Toluene NO Ethyl Benzene NO m,p-Xylene NO o-Xylene NO TPH-Gas NO Surrogate Recovery: Fluorobenzene 95% Flags PQL 0.020 0 050 0.050 0.050 0.050 50 OnSite Environmental, Inc. 14648 NE 95"' Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the indlvidual or company to whom it is addressed 7 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 NWTPH-Gx1BTEX DUPLICATE QUALITY CONTROL Date Extracted: 5-8-06 Date Analyzed: 5-8-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-045-01 05-045-01 Original Duplicate RPD Flags Benzene ND ND NA Toluene ND ND NA Ethyl Benzene ND ND NA m,p-Xylene ND ND NA o-Xylene ND ND NA TPH-Gas ND ND NA Surrogate Recovery: Fluorobenzene 64% 83% OnSite Environmental, Inc 14648 NE 95'" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance wilh the chain of custody, and is Intended only for the use of the indlvidual or company to whom it is addressed Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 NWTPH-Gx/BTEX MS/MSD QUALITY CONTROL Date Extracted: 5-8-06 Date Analyzed: 5-8-06 Matrix: Soil Units: mg/kg (ppm) Spike Level (ppm): 2.63 Lab ID: 05-008-01 MS Percent 05-008-01 Percent Recovery MSD Recovery 8 RPD Flags Benzene 2.64 101 2.71 103 3 Toluene 2.65 101 2.71 103 3 Ethyl Benzene 2.67 102 2.73 104 2 m,p-Xylene 2,67 102 2.73 104 2 o-Xylene 2.68 102 2.74 '104 2 Surrogate Recovery: Fluorobenzene 92% 93% OnSite Environmental, Inc 14648 NE 9Vt Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of cush;dy, and is intended only for the use of the individual or company to whom it is addr?ssed W Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 NWTPH-Dx Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Soil Units: mg/kg (ppm) Client 1D: B1-5-6 62-5-6 B3-3-4 Lab ID: 05-029-01 05-029-04 05-029-05 Diesel Range: ND ND ND PQL: 28 30 27 Identification: --- Lube Oil Range: ND ND ND PQL: 55 60 54 Identification: --- Surrogate Recovery o-Terphenyl : 98% 98% 104% Flags: Y Y Y OnSite Environmental, Inc 14648 NE 95,n Street, Redmond, WA 98052 (425) 8133-3861 This report pertains to the samples analyzed In accordance w]Ih the chain of custody, and is intended only for the use of the irrdividual or company to whom it is addressed 10 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 NWTPIi-Dx Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Soil Units: mg/kg (ppm) Client ID: I33-7-8 B4-3-4 135-3-4 Lab ID: 05-029-07 05-029-08 05-029-11 Diesel Range: ND ND ND PQL: 31 28 27 Identification: --• Lube Oil Range: ND ND ND PQL: 62 57 54 Identification: --- Surrogate Recovery o-Terphenyl: 86% 95% 97% Flags: Y Y Y OnSite Environmental, Inc_ 14648 NE 9VStreet, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is Intended only for the use of the individual or company to whom it is addressed. 11 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 NWTPH-Dx METHOD BLANK QUALITY CONTROL Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: M130505S1 Diesel Range: ND PQL: 25 Identification: --- Lube Oil Range: ND PQL: 50 Identification: Surrogate Recovery o-Terphenyl: 106% Flags: Y OnSite Environmental, Inc. 14648 NE 95'" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is Intended only for the use of the individual or company to whom it is addressed. 12 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 NWTPH-Dx DUPLICATE QUALITY CONTROL Date Extracted: 5-5-06 Date Analyzed: 5-5-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-029-05 05-029-05 DUP Diesel Range: ND ND PQL: 25 25 RPD: N/A Surrogate Recovery o-Terphenyl: 1040/6 107% Flags: Y Y OnSite Environmental, Inc_ 14648 NE 951h Street, Redmond, WA 98052 (425) 883-3881 This repo# pertains to the samples analyzed In accordance with the chain of custody, and is iniended only for the use of the IndNI-dual or company to whom it is addressed. 13 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 601013/7471 A Date Extracted: 5-4&10-6 Date Analyzed: 5.4&10-6 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-029-01 Client ID: 131-5-6 Analyte Method Result POL Arsenic 6010B ND 11 Barium 6010B 30 2.7 Cadmium 6010E ND 0.55 Chromium 6010B 41 055 Lead 6010B ND 5.5 Mercury 7471 A ND 0.27 Selenium 6010B ND 11 Silver 6010E ND 0.55 OnSile Environmental, Inc. 14648 NE 95'" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 14 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference:0605-029 Project: 502-001 TOTAL METALS EPA 601013/7471 A Date Extracted: 5-4&10-6 Date Analyzed: 5-4&10-6 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-029-04 Client ID: 132-5-6 Analyte Method Result PQL Arsenic 6010E ND 12 Barium 6010E 46 3.0 Cadmium 6010B ND 0.60 Chromium 6010B 28 0.60 Lead 6010B ND 6.0 Mercury 7471 A ND 0.30 Selenium 6010B ND 12 Silver 6010B ND 0.60 OnSite Environmental, Inc 14648 NE 951" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 15 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 60101317471 A Date Extracted: 5-4&10-6 Date Analyzed: 5-4&10-6 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-029-05 Client ID- 133-3-4 Analyte Method Result PQL Arsenic 6010E ND 11 Barium 6010B 60 2.7 Cadmium 6010B ND 0.54 Chromium 6010B 19 0.54 Lead 6010B ND 54 Mercury 7471 A ND 0.27 Selenium 6010B ND 11 Silver 6010B ND 0.54 OnSite Environmental, Inc. 14648 NE 9P Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the Individual or company to whom it is addressed 16 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 601013/7471 A Date Extracted: 5-4&10-6 Date Analyzed: 5-4&10-6 Matrix: Soil Units: mglkg (ppm) Lab ID: 05-029-07 Client ID: B3-7-8 Analyte Method Result PQL Arsenic 6010E ND 12 Barium 601 OB 40 3.1 Cadmium 6010B ND 0.62 Chromium 6010B 36 062 Lead 6010B ND 62 Mercury 7471 A ND 0.31 Selenium 6010E ND 12 Silver 6010B ND 0.62 OnSite Environmental, Inc. 14648 NE 950 Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed In accordance with the chain of custody, and is untended only for the use of the iodividual or couipany to whom it is addressed. 17 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 601OB/7471A Date Extracted: 5-4&10-6 Date Analyzed: 5-4&10-6 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-029-08 Client ID: 134-3-4 Analyte Method Result PQL Arsenic 6010B ND 11 Barium 6010B 42 2.8 Cadmium 6010B ND 0.57 Chromium 6010B 28 0-57 Lead 6010E ND 5.7 Mercury 7471 A ND 028 Selenium 6010B ND 11 Silver 6010B ND 0.57 OnSite Environmental, Inc- 14648 NE 95"' Street, Redmond, WA Utiu5Z t4z5) tttid-sntsl This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed. 18 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 6010B/7471 A Date Extracted: 5-4&10-6 Date Analyzed: 5-4&10-6 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-029-11 Client ID: B5-3-4 Analyte Method Result PQL Arsenic 6010E ND 11 Barium 6010E 32 2.7 Cadmium 6010B ND 0.54 Chromium 6010B 28 0.54 Lead 6010E ND 54 Mercury 7471 A ND 0.27 Selenium 6010B ND 11 Silver 6010B ND 054 OnSite Environmental, Inc 14648 NE 95`n Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom It is addressed 19 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 6010B METHOD BLANK QUALITY CONTROL Date Extracted: 5-4-06 Date Analyzed: 5-4-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: MB0504S1 Analyte Method Result PQL Arsenic 6010B ND 10 Barium 6010B ND 2.5 Cadmium 6010B ND 050 Chromium 6010E ND 0.50 Lead 6010E ND 50 Selenium 6010E ND 10 Silver 6010E ND 0.50 OnSlte Environmental, Inc. 14648 NE 950' Street, Redmond, WA 98052 (425) 883-3881 This report perlains to the samples analyzed in accordance with the chain of custody, and is inlended only for the use of the individual or company to whom it is addressed 20 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 7471 A METHOD BLANK QUALITY CONTROL Date Extracted: 5-10-06 Date Analyzed: 5-10-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: MB0510S1 Analyte Method Result POL Mercury 7471 A ND 0.25 OnSile Environmental, Inc. 14648 NE 951h Street, Redmond, WA 9BO52 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or corn, fiany to whom it is addressed 21 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 6010E DUPLICATE QUALITY CONTROL Date Extracted: 5-4-06 Date Analyzed: 5-4-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-031-01 Sample Duplicate Analyte Result Result RPD POL Arsenic ND ND NA 10 Barium 127 140 9 2.5 Cadmium ND ND NA 0.50 Chromium 6.52 5,76 12 050 Lead ND ND NA 50 Selenium ND ND NA 10 Silver ND ND NA 0.50 Flags OnSile Environmental, Inc. 14648 NE 95'" Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 Date Extracted: 5-10-06 Date Analyzed: 5-10-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-029-08 Analyte Mercury TOTAL METALS EPA 7471 A DUPLICATE QUALITY CONTROL Sample Duplicate Result Result RPD POL Flags ND ND NA 0.25 OnSite Environmental, Inc. 14648 NE 95"' Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is Intended only for the use of the individual or company to whom It is addressed, 22 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 TOTAL METALS EPA 601013 MS/MSD QUALITY CONTROL Date Extracted; 5-4-06 Date Analyzed: 5-4-06 Matrix: Soil Units: mg/kg (ppm) Lab ID: 05-031-01 Spike Percent Percent Analyte Level MS Recovery MSD Recovery RPD Arsenic 100 84.9 85 85.8 86 1 Barium 100 228 101 234 107 2 Cadmium 50 43.5 87 43.8 88 1 Chromium 100 94.3 88 99.4 93 5 Lead 250 221 89 222 89 0 Selenium 100 79.3 79 83.4 83 5 Silver 25 19.1 77 21.6 86 12 OnSite Environmental, Inc 14648 NE 9V' Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom it is addressed 23 Flags 25 Date of Report: May 10, 2006 Samples Submitted: May 3, 2006 Laboratory Reference: 0605-029 Project: 502-001 % MOISTURE Date Analyzed: 5-4-06 Client ID Lab ID % Moisture 131-5-6 05-029-01 9 62-5-6 05-029-04 16 B3-3-4 05-029-05 7 133-7-8 05-029-07 19 134-3-4 05-029-08 12 B5-3-4 05-029-11 7 OnSite Environmental, Inc. 14648 NE 950' Street, Redmond, WA 98052 (425) 883-3881 This report pertains to the samples analyzed in accordance with the chain of custody, and is intended only for the use of the individual or company to whom It Is addressed 26 �+ Onsite Environmental Inc. Data Qualifiers and Abbreviations A - Due to a high sample concentration, the amount spiked is insufficient for meaningful MS/MSD recovery data. 6 - The analyte indicated was also found in the blank sample C - The duplicate RPD is outside control limits due to high result variability when analyte concentrations are within five times the quantitation limit. E - The value reported exceeds the quantitation range and is an estimate. F - Surrogate recovery data is not available due to the high concentration of coeluting target compounds. G - Insufficient sample quantity for duplicate analysis. H - The analyte indicated is a common labora[ory solvent and may have been introduced during sample preparation, and be impacting the sample result. I - Compound recovery is outside of the control limits J - The value reported was below the practical quantitation limit. The value is an estimate. K- Sample duplicate RPD is outside control limits due to sample inhomogenetty. The sample was re -extracted and re -analyzed with similar results. L - The RPD is outside of the control limits M - Hydrocarbons in the gasoline range (toluene-napthalene) are present in the sample 0 - Hydrocarbons indicative of diesel fuel are present in the sample and are impacting the gasoline resull- P - The RPD of the detected concentrations between the two columns is greater than 40. Q - Surrogate recovery is outside of the control limits. S - Surrogate recovery data is not available due to the necessary dilution of the sample. T - The sample chromatogram is not similar to a typical U - The analyte was analyzed for, but was not detected above the reported sample quantitation limit V - Matrix Spike/Matrix Spike Duplicate recoveries are outside control limits due to matrix effects. W - Matrix Spike/Matrix Spike Duplicate RPD are outside control limits due to matrix effects X - Sample extract treated with a silica gel cleanup procedure. Y - Sample extract treated with an acid/silica gel cleanup procedure. Z- ND - Not Detected at PQL PQL - Practical Quantitation Limit RPD - Relative Percent Difference QnSite Environmental, Inc. 14648 NE 95°i Street, Redmond, WA 98052 (425) 883-3881 This report pertalm to the samples analyzed in accordance with the chain of custody, and is intended of,ly for the use of the individual or company to whom it is addressed. Chain of custody Page i of ' Mite Emir "ORM@n�te1 ICC. Laboratory Number: V 5— 0 2 9 14GQ HE 05:h Str"o • Radmond, WA 1)aAS2 Phcuro: [d25) 883+Wt . Fm! I4251 685-4W3 • . • _ . Cosnptvly: (Check One) ❑ Same Day ❑ 1 Day m Pmluci Nurn r: ame: ❑ 2 Day ❑ 3 Day ❑Standard (7 working days) Xlcr- anager. `✓L tsamwd 1r-0r�by' II __ t �l YVt 1 Y i ( other) }- U m = N a ¢ a Date ' o o m r m ¢¢ 9 ¢ a x o 5 z z 0. i o ., � �• •� 5 sz x x z 7� z 7C 3 DL - -y S40 �x x 9 �o 9:79 - Relinquished by [c� Q� -5 61 r r� I I "' Received by : L c i- 3 6, ( 7 Relinquished by Received by Relinquished by Received by Reviewed by/Date Reviewed by/Date Chromatograms with final report ❑ DISTRIBUTION LEGEND: Wivle - OnSRe Copy YGII'-- Report Copy Pink- Client Copy Chain of Custody Page �nl 2 320 3rd Ave RE Issaquah, WA 98027 FARALLON CONCONSULTINGT. 42'25 427006I F: . 27 0067 Quelirr Semite for Emdronmenud Solutions PHASE I ENVIRONMENTAL SITE ASSESSMENT REPORT OLD MILLTOWN BUILDING 201 FIFTH AVENUE SOUTH EDMONDS, WASHINGTON Submitted by: Farallon Consulting, L.L.C. 320 3rd Avenue Northeast Issaquah, Washington 98027 Farallon PN: 502-001 For: GPA, Incorporated 51 West Dayton Street, Suite 304 Edmonds, Washington 98020 May 15, 2006 Prepared by: e Keller Staff Chemist TABLE OF CONTENTS EXECUTIVE SUMMARY "' 1.0 INTRODUCTION .......................................... .......... .......................................... 1-1 1.1 PROJECT AUTHORIZATION............................................................... 1-1 1.2 PROJECT PURPOSE AND OBJECTIVE .... ............... ....................... ....1-1 1.3 PROJECT SCOPE OF SERVICES ........... t........ ........... I-1 2.0 SITE OVERVIEW.............................................................................................2-1 2-1 SITE LOCATION...---.... .............................. ..........•--- •---...--................... 2-1 2.2 SITE DESCRIPTION......................................................... ............... ...... 2-1 2.3 SITE OPERATION................................................................................ 2-1 2.4 ADJACENT AND SURROUNDING LAND USE ................................ 2-1 3.0 PHYSICAL SETTING......................................................................................3-1 3.1 TOPOGRAPHY.... .................................................... --•-- ................. 3-1 3.2 GEOLOGY ......... ....---------- .............................................................. ....... ..3-1 3.3 HYDROGEOLOGY................................................................................3-1 3A SENSITIVE RECEPTORS. .......... ..................................... . ................... 3-1 4.0 SITE BACKGROUND AND HISTORY......................................................... 4-1 4.1 AERIAL PHOTOGRAPHS..................................................................... 4-1 4.2 CITY DIRECTORIES............................................................................. 4-1 4.3 BUILDING PERMITS............................................................................ 4-1 4.4 FIRE INSURANCE MAPS-------..... ........................ ., ... ....... .................. ... 4-1 4.5 PREVIOUS ENVIRONMENTAL STUDIES ......................................... 4-2 4.6 TOPOGRAPHIC MAPS......................................................................... 4-3 4.7 TAX ASSESSOR RECORDS.................................................-.......,----. 4-3 5.0 SITE RECONNAISSANCE................................................ ...... ....................... 5-1 5.1 SITE RECONNAISSANCE OBSERVATIONS......................v............. 5-1 5.2 ABOVEGROUND STORAGE TANKS ................................................ 5-1 5.3 UNDERGROUND STORAGE TANKS ... --......................................... 5-1 5A POLYCHLORINATED BIPHENYLS.................................................... 5-1 5-5 HAZARDOUS MATERIALS................................................................. 5-2 5.5.1 Interior Areas.... ... -- ....... ....................................... . ............... - 5-2 5-5.2 Exterior Areas ............ ....................... ..... .......... .................. .,........ 5-2 5.6 HAZARDOUS WASTE.. ....... ....... ........ ------ ............... .... - .............. 5-2 5.7 SOLID (NONHAZARDOUS) WASTE ............... .......... ...................... ... 5-2 5.8 WATER, WASTEWATER, AND STORMWATER .............................. 5-2 5.9 EVIDENCE OF DUMPING.................................................................... 5-2 5.10 USE OF FILL MATERIAL................................................................... 5-2 5,11 INTERVIEWS.......................................................................................... 5-3 H.Tmjccls\502 GPA1502001 Old hVbawnVkportsWhm I FSAThs 1 Rps doc 6.0 REGULATORY REVIEW............................................................................... 6-1 6.1 ON -SITE LISTINGS........................................................................... 6-2 6.2 ADJACENT AND OTHER FACILITY LISTINGS ............................... 6-3 6.3 UNMAPPABLE LISTINGS.................................................................... 6-4 7.0 HISTORICAL RECOGNIZED ENVIRONMENTAL CONDITIONS ....... 7-1 8.0 FINDINGS AND CONCLUSIONS.................................................................. 8-1 9.0 REFERENCES...................................................................................................9-1 10.0 STATEMENT OF LINIITATIONS...............................................................10-1 FIGURES Figure 1 Site Vicinity Map Figure 2 Site Plan APPENDICES Appendix A Site Photographs Appendix B EDR Sanborn Inc. Fire Insurance Maps Appendix C Environmental Data Resources, Inc. Report Appendix D Qualifications ii H:IIhnj=u\502 GPA\502D01 Old 1 ESAWhs 1 Rpl doe EXECUTIVE SUMMARY Farallon Consulting, L.L.C. (Farallon) has prepared this Phase I Environmental Site Assessment (Phase I ESA) Report for the Old Milltown Building located at 201 Fifth Avenue South in Edmonds, Washington (herein referred to as the Site). The Phase I ESA was conducted by Mr. Jeff Keller, and reviewed and approved by Mr. Peter Jewett. Both are experienced professionals in the field of Phase I ESAs and related environmental investigations. The scope of work for this Phase I ESA Report is consistent with the American Society for Testing and Materials Standard Practice for Environmental Site Assessments: Phase I Environmental Site Assessment Process, Designation E1527-05 (ASTM E1527-05) and the Proposal for Phase I Environmental Site Assessment dated April 7, 2006, prepared by Farallon, There were no exceptions to or deletions from ASTM E1527-05. The purpose of the Phase I ESA was to identify, as practicable, recognized environmental conditions on the Site or within close proximity to the Site that have caused and/or may cause an adverse environmental condition. This Phase I ESA Report provides the results of investigation into past and present ownership and uses of the Site, consistent with good commercial and/or customary practice. The Site consists of two tax parcels totaling approximately 0.71 acre, developed with a two-story, approximately 36,000-square foot retail building constructed in the early 1900s, and a single -story, approximately 4,900-square foot antique store constructed in 1947. At the time of the site reconnaissance, the retail building was occupied by boutiques, antique dealers, several small eateries, and a barbershop. The two buildings occupy approximately 95 percent of the Site, with the remaining 5 percent improved with landscaping and parking. During the site reconnaissance, three fill ports were observed in the sidewalk near the southwestern corner of the Site, and a vent pipe was observed attached to the northern exterior wall of the retail building. The fill ports reportedly were associated with underground storage tanks (USTs) formerly used at the Site. No information pertaining to the function of the vent pipe was available. The UST that may be present beneath the sidewalk on the northern Site boundary that has not been investigated represents a recognized environmental condition to the Site. Farallon also identified one gasoline UST located in the street south of the Site on the 1926 and 1932 Sanborn maps. This UST has not been investigated, and represents a recognized condition to the Site. The Site has been developed since the early 1900s. The northern portion of the Site was first developed in approximately 1910 as an automobile sales facility, and was later used as a bus manufacturing facility and as a truck repair business until 1973, when it was converted into the Old Milltown Mall. The southern portion of the Site was developed in the 1920s as a retail fuel service station, which operated until the 1940s, when it was converted into retail and commercial space. rn E-:1502 GPA1502001 Old h1il11awmMX9onsTha 1 ESAThs ] Rpt doc Several subsurface investigations were performed at the Site by others between 1989 and 2001. The subsurface investigations concluded that two USTs and two concrete sumps were located at the Site. The USTs included a 10,000-gallon steel tank containing diesel fuel, and a 1,000-gallon steel tank containing oil. Test pits were excavated in the vicinity of the USTs and sumps in 1989. Analytical results from soil and groundwater samples detected concentrations of petroleum products in soil. Petroleum products were detected at concentrations below Washington State Model Toxics Control Act Cleanup Regulation Method A cleanup levels near a 1,000-gallon UST located in the western portion of the Site, and beneath one of the sumps located beneath the retail building on the Site. The USTs reportedly were closed in -place in 1989. The age of the USTs at the time of closure was unknown. The Washington State Department of Ecology issued a No Further Action determination for the Site in 2001. These USTs represent a historic recognized environmental condition. At the time of the site reconnaissance, adjacent properties were occupied by mixed -use commercial and retail properties. Historically, all adjacent properties have been used as commercial and retail properties. Stained soil, stressed vegetation, chemical storage areas, or other- potential sources of recognized environmental conditions were not observed during reconnaissance of the adjacent properties. A retail fuel service station (ARCO) was located on the west -adjacent property. Concentrations of petroleum products have been detected in soil and groundwater at the west -adjacent ARCO service station. Based on documents reviewed by Farallon, the groundwater flow direction at the Site is to the west, toward Puget Sound; therefore, the petroleum release at the ARCO service station does not represent a recognized environmental condition to the Site. Based on the review of the Site history, interviews with persons knowledgeable about the Site, reconnaissance of the Site and adjacent properties, and review of regulatory agency lists and files, the results of this Phase I ESA identified the presence of a UST that may be located beneath the sidewalk on the northern Site boundary as a recognized environmental condition in connection with the Site. Farallon also identified the presence of a gasoline tank beneath the south -adjacent street in the 1920s and 1930s as a recognized environmental condition to the Site. Farallon identified the I0,000-gallon and 1,000-gallon USTs that were closed in -place in 1989 as a historical recognized environmental condition for the Site. iv HAProjms\502 GPAISD2001 old 1`4111owoTt p.mTh— I ESAWIo I Apt do. �J 1.0 INTRODUCTION 1.1 PROJECT AUTHORIZATION This Phase I Environmental Site Assessment (Phase I ESA) Report was prepared by Farallon Consulting, L.L.C. (Farallon) for the Old Milltown Building located at 201 Fifth Avenue South in Edmonds, Washington (herein referred to as the Site) (Figure 1). This Phase I ESA Report was prepared for GPA, Incorporated in accordance with the American Society for Testing and Materials Standard Practice,for Environmental Site Assessments..- Phase I Environmental Site Assessment Process, Designation E1527-05 (ASTM E1527-05) and the Proposal for Phase I Environmental Site Assessment dated April 7, 2006, prepared by Farallon (2006a). The Phase I ESA was conducted by Mr. Jeff Keller, and reviewed and approved by Mr. Peter Jewett. Both are experienced professionals in the field of Phase I ESAs and related environmental investigations. 1.2 PROJECT PURPOSE AND OBJECTIVE The purpose of the Phase I ESA was to identify, as practicable, recognized environmental conditions on the Site and within the appropriate study area that have caused and/or may cause an adverse environmental impact_ The objective of the Phase I ESA was to perform an appropriate inquiry into past and present ownership and uses of the Site, consistent with good commercial and/or customary practice. For the purpose of this Phase I ESA Report, the term "recognized environmental condition" is defined as the presence or likely presence of any hazardous substance or petroleum product on the Site under conditions that indicate a past or existing release or material threat of release of any hazardous substance into a structure on the Site, or into the ground, groundwater, or surface water of the Site. The term is not intended to include de minimis conditions that generally would not be the subject of an enforcement action if brought to the attention of the appropriate governmental agencies.. 1.3 PROJECT SCOPE OF SERVICES This Phase I ESA Report has been prepared in accordance with the scope of work in ASTM E1527-05.. There were no exceptions to or deletions from ASTM El527-05. 1-1 !-I:1[iojeac1502 GPA%502001 Old Ttilllow Vt pDmkPlu 1 FSAThs 1 Rpt.doc 2.0 SITE OVERVIEW 2.1 SITE LOCATION The Site is located at 201 Fifth Avenue South in Edmonds, Washington, southeast of the intersection of Fifth Avenue South and Dayton Street. The Site is located in downtown Edmonds in a mixed -use commercial and retail area (Figure 1). 2.2 SITE DESCRIPTION The Site consists of two tax parcels totaling approximately 0.71 acre, developed with a two-story, approximately 36,000-square foot retail building constructed in the early 1900s, and a single -story, approximately 4,900-square foot antique store constructed in 1947. The buildings occupy approximately 95 percent of the Site, with the remaining 5 percent improved with landscaping and parking. Figure 2 presents a not -to -scale plan of the Site. Additional details pertaining to the Site are provided in Section 5.1, Site Reconnaissance Observations. Site photographs are provided in Appendix A. 2.3 SITE OPERATION At the time of the site reconnaissance, the building was occupied by boutiques, antiques dealers, several small eateries, and a barber shop. 2.4 ADJACENT AND SURROUNDING LAND USE According to information provided by the Snohomish County Assessor (2006), the Site and vicinity are zoned Commercial. The Site is bordered by the following: • Dayton Street and retail buildings to the north; • Fifth Avenue South and a closed ARCO retail fuel service station and commercial office building to the west; • Residences and apartment buildings to the east; and • Maple Street and retail buildings to the south. No visual evidence of recognized environmental conditions was observed on the abutting or nearby properties during the site reconnaissance. Observations were restricted to areas readily observable from the Site, and to the public right-of-way within an approximately 0.25-mile radius of the Site. 2-1 HAP,.j=s\502 GPA1502001 Old MIIIown R pwtsn-1 ESATlu I Rpl d- 3.0 PHYSICAL SETTING 3.1 TOPOGRAPHY Farallon reviewed the U.S. Geological Survey (USGS) topographic map, Ednionds West, Washington, 7.54finute Quadrangle dated 1978 (USGS 1978). The map depicted that the Site is at an elevation of approximately 60 feet above mean sea level. Regional topography in the vicinity slopes to the west, toward Puget Sound. 3.2 GEOLOGY The geology of the Site vicinity consists of gravelly sandy loam from the surface to a depth of approximately 2 feet overlying unconsolidated continental sediments. The regional stratigraphy consists of stratified clay, silty sand and gravel underlain by unconsolidated advance glacial outwash sediments consisting of glaciofluvial sand and gravel, and lacustrine clay, silt, and sand (Dragovich et al 2002). According to previous investigations conducted by others, soils at the Site consist of sandy silt overlain by native silty sand with cobbles (Thorne 1989). 3.3 HYDROGEOLOGY Groundwater migration in the Puget Sound region generally is confined to the most recent alluvial deposits of sands and gravel. These materials are commonly underlain and occasionally overlain by relatively impermeable glacial till deposits. Lateral and vertical ngration of the groundwater is impeded by the dense and relatively impermeable nature of the till, and by the commonly laterally discontinuous nature of the aquifer -bearing materials. Perched and discontinuous zones of shallow groundwater may be present seasonally and locally above the impervious till. Shallow groundwater flow direction typically can be estimated by examining surface topography. Groundwater generally flows from areas of high elevation to areas of low elevation. Shallow groundwater flow usually parallels or migrates toward nearby surface water bodies. Surface features such as streets, utility trenches, and paved areas can locally alter the flow direction of shallow groundwater. Test pits conducted at the Site by others in 1989 reported groundwater depth at 7 feet below ground surface (Thorne 1989). Information derived from previous investigations at the west - adjoining property indicated that shallow groundwater flow direction is to the west, toward Puget Sound (Delta Environmental 2004). However, Farallon cannot define the actual direction of groundwater flow at the Site without the installation of groundwater monitoring wells. 3.4 SENSITIVE RECEPTORS Farallon conducted a limited assessment of sensitive receptors on or in the vicinity of the Site that was limited to visually apparent features such as surface water bodies (e.g., low-lying wet areas, streams, ponds) and residential and recreational areas. Farallon's assessment of sensitive 3-1 H:WtojwtsX502 OPA1502001 Old Milh—Vkponffha IFSATbh IApl-d- receptors also included a review of readily ascertainable information relating to the presence of private, semiprivate, public, and industrial water wells. The nearest sensitive receptor identified was Puget Sound, located approximately 0.5 mile west of the Site. The nearest public water supply wells are located less than 0.125 mile north of the Site. According to Environmental Data Resources, Inc. (EDR), no federal violations have been reported with respect to the well. 3-2 H:\Projc0A502 GPA\502001 Old hylltomVtcpnrts\Ph= I FSAWhs I Rpl doc 4.0 SITE BACKGROUND AND HISTORY According to Farallon's historical research and the information provided by aerial photographs, city directories, building permits, fire insurance maps, previous environmental studies, maps, county assessor records, and the Site representative, the Site has been developed since approximately 1910_ The northern portion of the Site was first developed in approximately 1910 as Yost Auto Company, an automotive sales company, The Site was used as a bus manufacturing facility, and as a truck repair facility, which operated until 1973, when the northern Site building was converted into the current retail building. The southern portion of the Site was developed as a service station, which operated until the 1940s, when the current single -story building was constructed. 4.1 AERIAL PHOTOGRAPHS The general type of activity and land use at a location often can be discerned from the type and layout of structures visible in aerial photographs. Specific elements of a Site's operation normally cannot be determined from the photographs. Farallon reviewed aerial photographs of the Site dated 1952 and 1990 that were obtained from EDR (2006a). The following information regarding the Site and adjacent properties was obtained from this review: • 1952—The Site appeared to be developed with the current buildings. The east -adjoining property appeared to be predominantly undeveloped, with the exception of a residence located to the northeast of the Site. The north-, south-, and west -adjoining properties appeared to be developed with several medium-sized structures. • 1990—The Site and surrounding properties appeared as they currently exist. 4.2 CITY DIRECTORIES EDR performed a multi -tenant review using Polk City Directories for Edmonds for the years 1980, 1990, 1999, and 2006 (EDR 2006b). The Site was listed as boutiques and antique stores in all directories reviewed. Adjacent properties were not listed in the directories reviewed. 4.3 BUILDING PERMITS Farallon researched historical building permit information for the Site available from the Snohomish County Assessor (2006). The records indicated that the northern portion of the Site was converted into the current Old Milltown Mall in 1973. The southern portion of the Site was converted from a service station to the current building in the 1940s. 4.4 FIRE INSURANCE MAPS Fire insurance maps have been developed for many locations throughout the United States to assist insurance companies in depicting properties, facilities, and their uses. These maps, which 4-1 H:Uhoje0s1502 GPA1507001 Old WhownVtryrortsftu I ESA\Plu I Rpt doe have been updated periodically since the late 19th century, provide information about historical site uses, and aid in assessment of potential environmental contamination on or near a site. Farallon retained EDR Sanborn Inc. to provide historical fire insurance maps for the Site. Farallon reviewed EDR Sanborn Inc. Fire Insurance Maps for the years 1909, 1926, and 1932 (2006c) (Appendix B). The following information regarding the Site and adjacent properties was obtained from this review. • 1909—Structures were located in the southwestern and northeastern portions of the Site. The structures were labeled Liberty Feed and Hay Storage. Residential dwellings were depicted to the north and east of the Site. ■ 1926—A garage and truck repair facility was depicted on the northern portion of the Site, and a retail fuel service station was depicted on the southern portion of the Site. Residential dwellings were depicted on the north-, south-, and east -adjacent properties. An automobile parts store was depicted on the west -adjoining property. A gasoline tank was identified in the street south of the Site. 1932—The Site and adjacent properties appeared predominantly unchanged the 1926 map,. The gasoline tank was still depicted in the street south of the Site. 4.5 PREVIOUS ENVIRONMENTAL STUDIES Farallon reviewed previous environmental reports for the Site that were provided by GPA, Incorporated. Thorne Environmental (Thorne) performed a Limited Subsurface Investigation at the Site in May 1989 to assess subsurface soil conditions and determine whether a release of petroleum hydrocarbons had occurred at the Site due to the presence of a 10,000-gallon steel underground storage tank (UST) containing diesel, and a 1,000-gallon steel UST containing oil (Thorne 1989). The Limited Subsurface Investigation included an FM radio band piping survey, excavation of six test pits, and collection of soil samples from two geotechnical borings advanced by another consultant not identified in the Thorne report. The results of the Limited Subsurface Investigation revealed the locations of a I0,000-gallon UST, a 1,000-gallon UST, and three fill caps in the sidewalk near the southwestern comer of the Site. Analytical results from soil samples collected in the test pits and the borings detected concentrations of total petroleum hydrocarbons (TPH) in a soil sample collected from a test pit excavated near the western end of the 1,000-gallon UST. TPH was detected in samples collected at 6.5 and 9 feet below ground surface at concentrations of 941 and 41.5 milligrams per kilogram (mg/kg), respectively. Due to structural and soil stability concerns, Thorne (1989) recommended that both USTs be closed in - place, and that the limited TPH contamination near the 1,000-gallon UST be left in -place. The USTs reportedly were decommissioned by closure -in -place in 1989 in accordance with Ecology guidelines_ Kane Environmental (2001) performed a Limited Phase 11 Subsurface Investigation at the Site in April 2001 to investigate two concrete sumps located in the crawl space beneath the building floor in the northeastern corner of the Site, The Limited Phase II Subsurface Investigation included application of the oil sorbent EP 99 to clean the concrete floor in the crawl space, advancement of two borings, and collection of six soil samples and one groundwater sample 4-2 HAPmjt=\502 GPAU020D1 Old T1ilhawn\Agwts\Phase 1 CSAThs 1 R{n.doc beneath the sumps. Analytical results detected TPH as oil -range organics (ORO) in the two soil samples collected beneath the south sump at concentrations of 960 and 940 mg/kg. Kane Environmental (2001) concluded that no adverse environmental impact had resulted from the abandoned sumps located in the crawl space. Ecology issued an NFA determination for the closed USTs and concrete sumps in 2001. The USTs represent a historical recognized environmental condition for the Site. Prezant Consulting (2001) performed indoor air monitoring at the Site in April 2001 to determine whether petroleum odors reported by a Site tenant posed a health risk to personnel working in the Site building. The air monitoring report stated, "the concentrations of analytes detected in the air would not be expected to result in adverse health effects, based on the exposure limits set by the Washington State Department of Labor and Industry" (Prezant Consulting 2001). No further action was necessary_ 4.6 TOPOGRAPHIC MAPS Farallon reviewed the USGS topographic maps, Edmonds West, Washington, 7.5-Minute Quadrangle dated 1897, 1944, 1947, 1953, photo revised in 1968, 1973, and 1978, to identify past physiographic features such as streams, lakes, and Site and vicinity development (EDR 2006d). The Site and adjacent properties are shaded on all maps reviewed, indicating dense urban development. 4.7 TAX ASSESSOR RECORDS Farallon reviewed historical tax records available from the Snohomish County Assessor (2006). The tax records indicate that the Site consists of two tax parcels totaling approximately 0.71 acre. According to assessor records, the building on the northern parcel was constructed in 1910, and the building on the southern parcel was constructed in 1947. 4-3 HAPmJ=002 GPffi502001 Old tv haw VLepons%M=c I ESAH9ss I Rpt doc Mir 5.0 SITE RECONNAISSANCE 5.1 SITE RECONNAISSANCE OBSERVATIONS Farallon conducted a site reconnaissance on April 6, 2006 to observe the Site for physical evidence of recognized environmental conditions. Farallon completed a walls around the Site perimeter, and inspected various portions of the two Site buildings. A description of the Site is provided in Section 2.2, Site Description. Photographs taken during the site reconnaissance are presented in Appendix A. Weather conditions at the time of the reconnaissance were sunny, with a temperature of approximately 60 degrees Fahrenheit. There were no weather -related Site -access restrictions encountered during the reconnaissance. The Site is developed as Old Milltown Mall. The northern portion of the Site consists of a two-story, slab -on -grade wooden building. The southern portion of the Site consists of a single -story, slab -on -grade wooden structure with rooftop parking. At the time of the site reconnaissance, the northern building was occupied by various retail businesses. Three UST fill ports were observed in the sidewalk near the southwestern comer of the Site and a vent pipe was observed attached to the northern exterior wall of the northern building on the Site. 5.2 ABOVEGROUND STORAGE TANKS No evidence of existing aboveground storage tanks was reported or observed at the Site. 5.3 UNDERGROUND STORAGE TANKS Three LJST fill ports were observed in the sidewalk near the southwestern corner of the Site, and a vent pipe was observed attached to the northern exterior wall of the northern building on the Site. The fill ports reportedly were associated with the USTs closed in -place at the Site (Section 4.5, Previous Environmental Studies). The age of the USTs at the time of closure was unknown. The vent pipe indicates that a UST may be located beneath the sidewalk on the northern Site boundary and therefore represents a recognized environmental condition for the Site. No fill ports were observed in association with the vent pipe. According to Farallon's historical review, a gasoline tank was located in the south -adjacent street in the 1926 and 1932 Sanborn maps. This UST has not been investigated, and represents a recognized environmental condition for the Site. 5.4 POLYCHLORINATED BIPHENYLS No hydraulic equipment, capacitors, or similar devices potentially containing polychlorinated biphenyls were observed on the Site during the reconnaissance. 5-1 H:Tmj.cts\502 GPA\502D01 Old Milhov %,pon0h=1 ESASPhs I Rpt.doc 5.5 HAZARDOUS MATERIALS No evidence of extensive use of pesticides, herbicides, soil conditioners, fertilizers, or other potentially hazardous materials was reported or observed on the Site at the time of the reconnaissance. 5.5.1 Interior Areas No hazardous materials were observed- or reported on the Site at the time of the reconnaissance, with the exception of small quantities of cleaning chemicals, and latex and spray paints. 5.5.2 Exterior Areas No exterior hazardous material storage areas were reported or observed on the Site. 5.6 HAZARDOUS WASTE No evidence of hazardous waste storage, treatment, generation, or disposal was reported or observed at the Site. No hazardous materials were reported or observed at the Site at the time of the reconnaissance. 5.7 SOLID (NONHAZARDOUS) WASTE Several dumpsters were observed in the loading dock area. There was no evidence of hazardous materials in or around the dumpsters at the time of the site reconnaissance. 5.8 WATER, WASTEWATER, AND STORMWATER Domestic water is supplied to the Site by the City of Edmonds. No industrial process wastewater was reported or observed on the Site. Sanitary sewage generated from the Site discharges into the City of Edmonds sanitary sewer system. Stormwater reportedly drains into catch basins located on and adjacent to the Site, which discharge to the City of Edmonds stormwater conveyance system. 5.9 EVIDENCE OF DUMPING No evidence of hazardous material disposal or dumping was observed on the Site during the reconnaissance. 5.10 USE OF FILL MATERIAL The Site appeared to be constructed at grade with neighboring properties, with no evidence of fill material having been used. 5-2 H:1Pmjm1sl5D2 GPAN502DOI Old MlltownVLtponsxrt s I UATIn I Rpm doe 5.11 INTERVIEWS Farallon interviewed Site representative Larry Miller, representative of Lorig Properties, the current Site owner (Farallon 2006b)_ The following information was obtained from this interview: • The northern building was constructed on the Site in the early 1900s, and the southern building was constructed on the Site in the 1940s; ■ There currently are 12 to 15 retail tenants in the Site buildings; ■ The tenants do not store hazardous chemicals at the Site; and ■ There are two decommissioned USTs located on the Site, Mr, Miller stated that he has not been made aware of any pending, threatened, or past: • Litigation relevant to hazardous substances or petroleum products in, on, or from the Site; Administrative proceedings relevant to hazardous substances or petroleum products in, on, or from the Site; or a Notices from a governmental entity regarding violations of environmental laws or liability relating to hazardous substances or petroleum products. 5-3 H.XPmjccs�S02 GPA1502001 Old N6111 TrpomlPl— I ESA%Plu 114A.doc 6.0 REGULATORY REVIEW EDR performed a review of environmental regulatory agency database listings to identify reported environmental issues related to the Site and facilities in the Site vicinity. Farallon used the greater of each approximate minimum search distance from the Site for each of the referenced federal and state environmental databases, as specified in ASTM E1527-05. The descriptions of the databases searched, and the associated search distances from the Site are provided in the environmental regulatory agency database search report presented in Appendix C. Farallon reviewed the results of the database search report to note reported facilities in the vicinity of the Site that were considered to have a potential to adversely impact the Site (Le., are known to have resulted in or are expected to result in a recognized environmental condition). Reported facilities that were identified in the regulatory agency database search report were evaluated with respect to the nature and extent of a given release, the distance of the reported facility from the Site, the stratigraphy of soils, the expected soil permeability, and the topographic position of a reported facility with respect to known or expected local and/or regional groundwater flow direction. A summary of the databases identified in the EDR (2006e) report for the Site dated April 25, 2006 is presented in the table on the following page. A discussion of the facilities follows. 6-1 H.\PmjetsX502 OPAl5D2001 Old k fho \R portsl?]u 1FSA1PIu1Bpi d- E mm Number of Listings in Specified Search Radius Type of Databases Site and 0.125 to 0.25 to 0.5 0.5 to 1 Adjacent 0.25 mile mile from mile from from Site Site Site National Priority List (NPL) 0 0 0 0 Resource Conservation and Recovery Act (RCRA) 0 0 0 0 Corrective Action Treatment, Storage, and Disposal (TSD) State Equivalent NPL/Comprehensive Environmental Response, Compensation, and Liability Information 0 0 0 0 System (CERCLIS) National CE-RCLIS/No Further Remedial Action Planned 0 0 0 (NFRAP) RCRA-Permitted TSD 0 0 Leaking Underground Storage Tanks (LUSTs) Site and 1 3 3 State Landfill 0 0 1 Registered USTs Site and 3 6 Confirmed and Suspected Contaminated Sites List 1 0 3 I (CSCSL) CSCSL No Further Action (NFA) Site and 2 2 2 Independent Cleanup Report (ICR) 4 3 2 Voluntary Cleanup Program (VCP) Site and 3 Site SQG, 2 1 Resource Conservation and Recovery Information System (RCR1S) Generators: Small Quantity Generators (SQG) 2 SQG 7 (SQG) and Large Quantity Generators (LQG) Dry Cleaners 0 1 NOTES 'See Appendix C for complete database search report and maps identifying facilities summarized above, including a description of each database reviewed QSheded areas not searched 6.1 ON -SITE LISTINGS The Site was identified on the CSCSL-NFA, VCP, LUST, UST, and RCRIS-SQG databases. According to a review of the documents provided by GPA, Incorporated, a Limited Subsurface Investigation was performed at the Site by Thorne in 1989. The Limited Subsurface Investigation revealed the presence of a 10,000-gallon UST and a 1,000-gallon UST at the Site. Thorne advanced several borings and test pits near the USTs. Analytical results detected concentrations of petroleum hydrocarbons in soil near the 1,000-gallon UST below the current Washington State Model Toxics Control Act Cleanup Regulation (MTCA) cleanup level of 2,000 mg/kg. Thorne (1989) recommended closing the USTs in -place due to their proximity to 6-2 HAPmjctls\502 GM502001 Old Mlhow Wq m %Phase I ESAThs 1 Bpi dm the building walls and concerns about slope stability at the Site. The USTs were closed in -place in 1989. The age of the USTs at the time of closure was unknown. Ecology issued an NFA determination for the USTs in 2001. Based on the current status of the Site, the presence of the decommissioned USTs represents a historical recognized environmental condition. 6.2 ADJACENT AND OTHER FACILITY LISTINGS Reported facilities located within 0.25 mile up -gradient of the Site, or 0.125 mile cross -gradient or adjacent down -gradient of the Site are considered to have a potential to have impacted the Site, and were further assessed through review of agency records and/or interviews with agency personnel. Facilities that were listed in the database search report but not identified as a reported facility (e.g., a facility listed as a hazardous waste generator but not as having had a release) and facilities that were listed as "closed" were not considered to have a potential to have impacted the Site. Based on the above criteria, none of the facilities listed in the database search report are considered a recognized environmental condition to the Site. Supplemental information for the following facilities was reviewed to assess their status with respect to environmental conditions at the Site: ARCO #822 is located across Fifth Avenue South to the west of the Site, and was identified on the ICR, RCRIS-SQG, Registered UST, CSCSL, and VCP databases. According to documents provided to Farallon by GPA, Incorporated, several subsurface investigations have been performed at this property_ Delta Environmental (2004) performed a subsurface investigation at the property in July 2004, which included advancement and installation of four monitoring wells. Analytical results from soil and groundwater samples collected during the investigation indicated that a release of TPH to soil and groundwater had occurred at the property. Delta Environmental (2004) prepared a groundwater contour map for the property, and determined that the groundwater flow direction was to the west, away from the Site. Based on the groundwater flow direction, this property does not represent a recognized environmental condition to the Site. ■ 210 5"' Avenue South Property is located approximately 200 feet southwest of the Site, and was identified on the VCP and CSCSL-NFA lists. According to EDR, the property received NFA status in 2000. Based on the current status and down -gradient location of this property, it does not represent a recognized environmental condition to the Site. ■ Edmonds Veterinary Hospital is located less than 0.125 mile south of the Site, and was identified on the RCRIS-SQG and ICR lists. According to EDR, a release of petroleum products to subsurface soils occurred at this property in 1993, and Ecology received a final cleanup report for the Site, also in 1993. No violations have been reported at this property with respect to the RCRIS-SQG status. Based on the current status of this property, it does not represent a recognized environmental condition to the Site. 6-.3 H:Trojens1502 GPA\5D'_DDI old ATillta"VtcponsNh= I PSAIPIu I Rpuloc ■ Lakeshore Investment Corp. is located less than 0.125 mile south of the Site, and was identified on the Registered UST database. According to EDP, this property formerly used three USTs for petroleum storage., The USTs reportedly were removed from this property. Based on the current status of this property, it does not represent a recognized environmental condition to the Site. Joe Erga-Edmonds Bakery is located Iess than 0.125 mile northwest of the Site, and was identified on the Registered UST database. According to EDR, this property formerly used a UST for petroleum storage, and the UST has since been closed in -place. Based on the current status of this property, it does not represent a recognized environmental condition to the Site. • P Avenue Building is located less than 0.125 mile northwest of the Site, and was identified on the CSCSL-NFA database. This property received NFA status in 1999, and does not represent a recognized environmental condition to the Site. • Hummel Development and Construction Company is located less than 0.125 mile southwest of the Site, and was identified on the ICR database. According to EDR, a petroleum release to soil was reported at this property and was cleaned up in 1993, Based on the current status of this property, it does not represent a recognized environmental condition to the Site_ Based on Farallon's review of the database search report, none of the identified facilities represents a recognized environmental condition for the Site. 6.3 UNMAPPABLE LISTINGS EDR identified seven facilities as "orphan sites," which they were unable to map due to inaccurate or inadequate address information. Farallon located these orphan sites and, according to the addresses provided by EDR, the facilities are not located within the respective search radii of the Site. Therefore, these orphan sites do not represent a recognized environmental condition for the Site. 6-4 H:1Prvjats\502 OPA\502001 Old N1AhmvnUtgwns\Phue I ESA\Phs I Rptdx 7.0 HISTORICAL RECOGNIZED ENVII20NMENTAL CONDITIONS Farallon identified the USTs closed in -place at the Site in 1989 as a recognized environmental condition for the Site. Information regarding the USTs is presented in Section 4.5, Previous Environmental Studies. 7-1 H,-TmjcctA502 GPA1502001 Old MlhamMtq mU\Ph= I FSATfis I RPIAM 8.0 FINDINGS AND CONCLUSIONS Farallon has prepared this Phase I ESA Report for the Old Milltown Building located at 201 Fifth Avenue South in Edmonds, Washington in conformance with the scope and limitations of ASTM E1527-05. There were no exceptions to or deletions from ASTM E1527-05. The results of this Phase I ESA have revealed evidence of two recognized environmental conditions in connection with the Site, including: • Farallon observed a vent pipe attached to the northern exterior wail of the northern Site building. The presence of the vent pipe suggests that a UST may be present beneath the sidewalk on the northern Site boundary. * Farallon also identified a gasoline tank- located in the south-adiacent street in the 1920s and 1930s- This tank has not been investigated. Farallon also identified 10,000-gallon and 1,000-gallon USTs that were closed in -place at the Site as a historical recognized environmental condition for the Site. 8-1 H.T,gjmu002 GPA1502001 Old hElh."Wcp.,Ls\Ph— I FSATIu 1 Rpt.d= I I I k-A V-,A -9- 9.0 REFERENCES Delta Environmental Consultants. 2004. Subsurface Investigation Report, ARCO Facility No. 822, 202 5ih Avenue South, Edmonds, Washington, August 10. Dragovich, Joe D. et al. 2002. Geologic Map of Washington — Northwest Quadrant. Washington State Department of Natural Resources, Division of Geology and Earth Resources. Geologic Map GM-50. Environmental Data Resources, Inc. (EDR). 2006a. Aerial Photograph Decade Package, Old Milltown, 201 Sir' Avenue South, Edmonds, Washington. Inquiry Number 1661061 A. April 26. 2006b. The EDR City Directory Abstract, Old Milltown, 201 5'r' Avenue South, Edmonds, Washington. Inquiry Number 1661061.6. April 28. 2006c. The EDR Sanborn Map Report, Old Milltown, 201 5"' Avenue South, Ednionds, Washington. Inquiry Number 1661061.3s. April 25. 2006d. The EDR Historical Topographic Map Report, Old Milltown, 201 Sih Avenue South, Edmonds, Washington_ Inquiry Number 1661061.4. April 26. 2006e. The EDR Radius Map with Geocheck; Old Milltown, 201 Sir' Avenue South, Edmonds, Washington. Inquiry Number 1661061.2s, April 25. Farallon Consulting, L.L.C. (Farallon). 2006a. Proposal _ for Phase I Environmental Site Assessment, Old Milltown Building_ April 7. 2006b. Interview Regarding Site Operations between Mr. Jeff Keller, Regulatory Specialist, and Mr. Larry Miller, Site Representative. April 26. Galster, Richard W. and William T. Laprade. 1991. "Geology of Seattle, Washington, United States of America." Bulletin of the Association of Engineering Geologists. 28 (no. 3): 235-302. Kane Environmental, Incorporated. 2001. Concrete Floor and Suinp Cleaning and Limited Phase 11 Investigation Report, Old Milltown Building, Edmonds, Washingtonn. June 19. Prezant Consulting. 2001. Indoor Air Quality Report for the Old Milltown Mall, Edmonds, Washington. August 26. Snohomish County Assessor. 2006. Online building permits and property records. 2006. h,R:/fp,is.co.snohomish.wa.us/rnaps/-propeE!Y/ind".htTn (May 2, 2006.) Thorne Environmental (Thorne). 1989- Results of Limited Subsurface Exploration and Soil Sampling, Old Mill Site, Edmonds, Washington, July 6. 9-1 HAProjema1502 GPANS02DOI Old Milli—Mcponsftm I FSAIPhs T Rpt.doe o U.S. Geological Survey (USES). 1978. U.S. Geological Survey Topographic Map, Edmonds West, Quadrangle Washington, 7.5-Minute Series, 9-2 H-Trojmsl5oZ GPAx5o3o01 Old l.LlfiomMteporls\Ph= l FSAWhs1 RpLdm 10.0 STATEMENT OF LIMITATIONS The conclusions and recommendations contained in this report/assessment are based on professional opinions with regard to the subject matter. These opinions have been arrived at in accordance with currently accepted hydrogeologic and engineering standards and practices applicable to this location, and are subject to the following inherent limitations: • Accuracy of Information. Certain information used by Farallon in this report/assessment has been obtained, reviewed, and evaluated from various sources believed to be reliable, including local health districts, fire departments, and the previously discussed interviews. Although Farallon's conclusions, opinions, and recommendations are based in part on such information, Farallon's services did not include verification of its accuracy or authenticity. Should such information prove to be inaccurate or unreliable, Farallon reserves the right to amend or revise its conclusions, opinions, and/or recommendations. ■ Reconnaissance. Farallon performed a reconnaissance of the Site that is the subject of this report/assessment to document current conditions. Farallon focused on areas deemed more likely to exhibit hazardous material conditions, while other areas received limited attention, or were inaccessible at the time of the reconnaissance. Limitations. Because Farallon's report is based on information, the accuracy of which has not been determined, and because Farallon's observations made during site reconnaissance are limited, Farallon cannot and does not guarantee that the Site is free of hazardous or potentially hazardous materials or conditions, or that latent or undiscovered conditions will not become evident in the future_ Since Site activities beyond our control could change at any time after the completion of this report/assessment, our observations, findings, and opinions can be considered valid only as of the date of the report hereof. This report/assessment is prepared in accordance with the client contract and currently accepted industry standards, and no other warranties, representations, or certifications are made. Unless stated otherwise herein, this report is intended for and restricted to the sole use of GPA, Incorporated. Any use, interpretation, or reliance upon this report/assessment by anyone other than GPA, Incorporated is at the sole risk of that party, and Farallon will have no liability for such unauthorized use, interpretation, or reliance. 10-1 1L\Pfojccts%502 GPA150200I Old "Ifto \RcponsTba I GSANhs I ltpLdoc FIGURES PHASE I ENVIRONMENTAL SITE ASSESSMENT Old Milltown Building 201 Fifth Avenue South Edmonds, Washington Farallon PN: 502-001 K-%PsojmsX5D2 GPV302DD I Old NLlhownVLcpunsThssc 1 ESAWhs 1 RplAm + fLilu�l,-�r�r •• �.�" � fill''.+'I } i g. • • '' : TQ. 55Ip_: a .IT _q: IF k 24 1:, :::. • r SITELOCATIdN Edwards 'PCkri , . •�Jatoa3 v;ar ...�. r vQ��3� Tarili :� e is 1l ��� �ty '''� •'�V' .• - �; �` -.c.t . r _ :;} yy q •i,•,;r=•1 I1.rxr :�' 1. --':4:':�::::! '. }. •. _� . any` �p -. �r� ���- ,.,s.:' ::. • L•� � - _ �� ... i .,} .. ' � � `fit,'-� �� 7 ��� I � � �rT ;:-+ _ i � • �; �.++rz; ��Iq •_. �����II �i` : E 'I f71: ' ::: u.i� �� .I{:: I' ti- • �i s ..r r�� ��� li -,� ��' ;•.'� ••.. Y=`i r� -n II '.irk �:,� : ,' '1- 1 � ;-_� � •• _ ; •, : � �,..' • 't �i -i III-- �— ' �_ci it �aekvr •f I; •.i 1 ::il ,�Y'— •• '��.i�'' 31 .(f I, , 1 •y �'. � �� y - _G C�F7 II JI I1, i�• •. 1�' ,e.. lip 1�. __'� !�$�1 I) •' t. f .il �'- }, ,lr F 3• RLighl Cllt?dankst f i[il1 f �, _� s n=F4ankA. s , r • IJ•} "' '_' uiin�• r :, ^i .t :...._I,. Point Wells �•i •rpaeae: '__ �' lio •Ire ���'"'•- �. �'I' '��1 -�r��� lIhi NfaleYf TS1�ks -', � I ' � _1L •.� `" _ . �' I .i SNOFi4h1I5 3 CO.iiu 7oriiu e r r i . I is I. IY[ a.. I KING CO ,,.. 1,,.- -. ,_],•w—= ~n� � -' �1 tt ':3 '�'x 1 ••:}.,..•:. i -t i`i, i. i l:-' '•I;i`�•r i : 113 fn �_ I �• T,:i 41] t••.,� 4�•• r_ ;fir - �`_.i 41 1 lrit�cr ]�77�.� �•c�f r •�r" I .Il? a ]ni:.�"3 t •• I : ..' I 1 . i+ REFERENCE: 7 5 MINUTE USGS QUADRANGLE EDMONDS EAST AND WEST. WASHINGTON DATED 1953 AND PHOTOREVISED 1981 a FIGURE 1 Q eauoxos �� -- SITE VICINITY MAP OLD MILL TOWN EDMONDS, WASHINGTON FARALLON CONSULTING 320 3rd Ave. NE WASHINGTON Issaquah. WA 9e027 FARALLON PN:502-001 Drown By: DEW lChecked By; CB I Date:4/6/06 I Disk Reference:502001 ❑AYTON STREET — — SUSPECTED UST VENTLINE I I � I w I w I:e I � FORMER GARAGE L) FORMER TRUCK STORE I 4 I i i I i APPROXIMATE LOCATION OF CLOSED -IN -PLACE 1,000-GALLON UST I I f -1 APPROXIMATE LOCATION OF I CLOSED -IN -PLACE 10,000-GALLON LIST € I I I L_J ! � �c wA. ! DLLI 2nd STORY PARKING t� O I I I I I € APPROXIMATE SCALE IN FEET I I 0 0 o—FILL PORTS MAPLE STREET — — — -- — - — LEGEND FIGURE 2 — — SITE BOUNDARY -` SITE PLAN — - — CENTER LINE OLD MILL TOWN j 7 HISTORICAL GASOLINE EDMONDS, WASHINGTON UNDERGROUND STORAGE TANK (_UST) IDENTIFIED ON 1926 SANBORN FIRE INSURANCE MAP FARALLON CONSULTING ALL LOCATIONS ARE APPROXIMATE 320 3rd Ave. NE Issaquah. WA 98027 FARALLON PN: 502-001 Drawn By: DEW I Checked By: CB Date:4/6/06 I Disk Reference:502001 APPENDIX A SITE PHOTOGRAPHS PHASE I ENVIRONMENTAL SITE ASSESSMENT Old Milltown Building 201 Fifth Avenue South Edmonds, Washington FARALLON PN: 502-001 HAN.jatsl502GPA\502DD1 old KlltwMk Dm\Ph= i ESA1Phs I Kptclm SITE PHOTOGRAPHS Phase I ESA Old Milltown Farallon PN: 502-001 Photograph 1: Facing northeast at Site building. Photograph 2: Facing east at vent pipe observed on northern building exterior. Photograph 3: View facing north at location of former 10,000-gallon UST. Photograph 4: Facing northwest at Site parking lot. Photograph 5: Facing southwest at adjoining former ARCO service station. Photograph 6: Facing southeast at southern portion of Site building. EA502 GPA\502001 Old Mlllown\ReponsTha I ESAThotologThotolog.doc Site Photographs Phase I ESA Old Milltown Photograph 1: Facing northeast at Site building. Photograph 2: Facing east at vent pipe observed on northern building exterior. e:M2 gpa\502001 old milhownvepons\phase i esa\photolog\phololop.doc i SITE PHOTOGRAPHS (continued) Phase I ESA Old Milltown Photograph 3: View facing north at location of former 10,000-gallon UST. Photograph 4: Facing northwest at Site parking lot. e:\502 6pa\502001 old milltown\reports\phase i e \photolog\photolog-doc SITE PHOTOGRAPHS (continued) Phase I ESA Old Milltown Photograph 5: Facing southwest at adjoining former ARCO service station. Photograph 6: Facing southeast at southern portion of Site building. e:\502 gpa\502001 old milllown\reporls\phase i esa\phololog\pholologdoc APPENDIX B EDR SANBORN INC. FIRE INSURANCE MAPS PHASE I ENVIRONMENTAL SITE ASSESSMENT Old Milltown Building 201 Fifth Avenue South Edmonds, Washington Farallon PN: 502-001 x:NWojms' M GPA'602001 ow I EMT]. i Rpt dw Ship To: Jeff Keller Farallon Consulting, LLC 320 3rd Avenue NE Issaquah, WA 98027 Customer Project: Old Milltown 2010003BRU 425-427-0061 DR' Environmental Data Resmrces Inc "Linking Technology with Tradition"0 Sanborn® Map Report Order Date: 4/24/2006 Completion: Date: 4/25/2006 Inquiry #: 1661061.3s P.O.#: 502-001 Site Name: Old Milltown Address: 201 5th Avenue South City/State: \Edmonds, WA 98020 Cross Streets: Based on client -supplied information, fire insurance maps for the following years were identified 1909 - 2 Maps 1926 - 3 Maps 1932 - 3 Maps Limited Permission to Photocopy Total Maps: 8 F.imllon C=ulltng, LLC (the client) Is permhlad to make up to THREE pholomples of this Sanborn Map transmittal and each fire Insurance map accompanyingg this report solely for the limited use U is customer. 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REPORT PHASE I ENVIRONMENTAL SITE ASSESSMENT Old Milltown Building 201 Fifth Avenue South Edmonds, Washington Farallon PN: 502-001 }i:1P,i3.toMGYAx5o_ jowKjh—%epooM—)ESATh.eFtptaoc The EDR Radius Map with GeoCheck° Old Milltown 201 5th Avenue South Edmonds, WA 98020 Inquiry Number: 1661061.2s April 25, 2006 R® Environmental Data Resources Inc The Standard in Environmental Risk Management information 440 Wheelers Farms Road Milford, Connecticut 06461 Nationwide Customer Service Telephone: 1-800-352-0050 Fax: 1-800-231-6802 Internet: www.edrnet.com TABLE OF CONTENTS SECTION PAGE Executive Summary------------------------------- _ __ __ _ -------------- _ _. ES1 OverviewMap ----------------------------------------------------------------- 2 DetailMap ------------------------------------------------------------- 3 Map Findings Summary ------ ..__._____________... _-._ ________________. 4 MapFindings- -- ------------------- ------------------------ --.-...- ..-... 6 Orphan Summary------------------------------------------------------- 46 Government Records Searched/Data Currency Tracking -------------------------- GR-1 GEOCHECK ADDENDUM Physical Setting Source Addendum- . _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ . _ _ .. _ _ _ _ _ .- _ _ A-1 Physical Setting Source Summary ------........-____________________________. _ A-2 Physical Setting SSURGOSoil Map ------------------------------------------ A-5 Physical Setting Source Map-_._. - ---------------------- ----------------- A-12 Physical Setting Source Map Findings- _ _ - - - - - - _ _ _ _ _ _ _ _ _ _ _ _ _ _ .. -. A-13 Physical Setting Source Records Searched-....--------------------------------- A-27 Thank you for your business. Please contact EDR at 1-800-352-0050 with any questions or comments. Disclaimer - Copyright and Trademark Notice This Report contains certain information obtained from a variety of public and olher sources reasonably available to Environmental Data Resources, Inc. It cannot be concluded from this Report that coverage information for the target and surrounding properties does not exist from other sources. NO WARRANTY EXPRESSED OR IMPLIED, IS MADE WHATSOEVER IN CONNECTI ON WITH THIS REPORT. ENVIRONMENTAL DATA RESOURCES, INC. SPECIFICALLY DISCLAIMS THE MAKING OF ANY SUCH WARRANTIES, INCLUDING WITHOUT LIMITATION, MERCHANTABILITY OR FITNESS FOR A PARTICULAR USE OR PURPOSE. ALL RISK IS ASSUMED BY THE USER. IN NO EVENT SHALL ENVIRONMENTAL DATA RESOURCES, INC. BE LIABLE TO ANYONE, WHETHER ARISING OUT OF ERRORS OR OMISSIONS, NEGLIGENCE, ACCIDENT OR ANY OTHER CAUSE, FOR ANY LOSS OF DAMAGE, INCLUDING, WITHOUT LIMITATION, SPECIAL, INCIDENTAL, CONSEQUENTIAL, OR EXEMPLARY DAMAGES. ANY LIABILITY ON THE PART OF ENVIRONMENTAL DATA RESOURCES, INC. IS STRICTLY LIMITED TO A REFUND OF THE AMOUNT PAID FOR THIS REPORT. Purchaser accepts this Report "AS IS". Any analyses, estimates, ratings, environmental risk levels or risk codes provided in this Report are provided for illustrative purposes only, and are not inlerided lu provide, nor should they be interpreted as providing any facts regarding, or prediction or forecast of, any environmental risk for any prnr,e:rty Only a Phase I Environmental Site Assessment performed by an environmental professional can provide information regarding the environmental risk for any property. Additionally, the information provided in this Report is not to be construed as legal advice. Copyright 2006 by Environmental Data Resources, Inc. All rights reserved. Reproduction in any media or format, in whole or in part, of any report or map of Environmental Data Resources, Inc„ or its affiliates, is prohibited without prior wrMen permission. EDR and its logos (including Sanborn and Sanborn Map) are trademarks of Environmental Data Resources, Inc. or its affiliates. All other trademarks used herein are the property of their respective owners. TC1661061.2s Page 1 EXECUTIVE SUMMARY 71 A search of available environmental records was conducted by Environmental Data Resources, Inc (EDR). The report was designed to assist parties seeking to meet the search requirements of EPA's Standards and Practices for All Appropriate Inquiries (40 CFR Part 312), the ASTM Standard Practice for Environmental Site Assessments (E 1527-05) or custom requirements developed for the evaluation of environmental risk associated with a parcel of real estate_ TARGET PROPERTY INFORMATION ADDRESS 201 5TH AVENUE SOUTH EDMONDS, WA 98020 COORDINATES Latitude (North): 47.809700 - 47` 48' 34.9" Longitude (West): 122.377600 - 122' 22' 39.4" Universal Tranverse Mercator: Zone 10 UTM X (Meters): 546600.1 UTM Y (Meters): 5295118.0 Elevation: 61 ft. above sea level USGS TOPOGRAPHIC MAP ASSOCIATED WITH TARGET PROPERTY Target Property Map: Most Recent Revision: East Map: Most Recent Revision: TARGET PROPERTY SEARCH RESULTS 47122-G4 EDMONDS WEST, WA 1978 47122-G3 EDMONDS EAST, WA 1978 The target property was identified in the following government records. For more information on this property see page 6 of the attached EDR Radius Map report: Site OLD MILL TOWN MALL 201 5TH AVE S EDMONDS, WA 98020 Database(s) RCRA-SQG FINDS CSCSLNFA VCP EPA ID WAH000015917 DATABASES WITH NO MAPPED SITES No mapped sites were found in EDR's search of available ("reasonably ascertainable ") government records either on the target property or within the search radius around the target property for the following databases: FEDERAL RECORDS NPL--- _-------------- _------- National Priority List TC1661061.2s EXECUTIVE SUMMARY 1 EXECUTIVE SUMMARY Proposed NPL -------------- Proposed National Priority List Sites Delisted NPL________________ National Priority List Deletions NPL RECOVERY____________ Federal Superfund Liens CERCLIS____________________ Comprehensive Environmental Response, Compensation, and Liability Information System CERC-NFRAP--------------- CERCLIS No Further Remedial Action Planned CORRACTS_________________ Corrective Action Report RCRA TSDF_________________ Resource Conservation and Recovery Act Information RCRA-LQG------------------ Resource Conservation and Recovery Act Information ERNS________________________ Emergency Response Notification System HMIRS_______________________ Hazardous Materials Information Reporting System US ENG CONTROLS________ Engineering Controls Sites List US INST CONTROL ---------- Sites with Institutional Controls DOD_________________________ Department of Defense Sites FUDS________________________ Formerly Used Defense Sites US BROWNFIELDS__________ A Listing of Brownfields Sites CONSENT ------------------- Superfund (CERCLA) Consent Decrees ROD ------------------------- Records Of Decision UMTRA______________________ Uranium Mill Tailings Sites ODI__________________________ Open Dump Inventory TRIS_________________________ Toxic Chemical Release Inventory System TSCA ------------------------ Toxic Substances Control Act FTTS________________________ FIFRA/ TSCA Tracking System - FIFRA (Federal Insecticide, Fungicide, & Rodenticide Act)/TSCA (Toxic Substances Control Act) SSTS________________________ Section 7 Tracking Systems PADS ------------------------ PCB Activity Database System MLTS________________________ Material Licensing Tracking System MINES_______________________ Mines Master Index File RAATS---------------------- RCRA Administrative Action Tracking System STATE AND LOCAL RECORDS HSL_________________________ Hazardous Sites List SWTIRE--------------------- Solid Waste Tire Facilities AST_ _......___:.------------ Aboveground Storage Tank Locations SPILLS______________________ Reported Spills CDL_________________________ Clandestine Drug Lab Contaminated Site List EMI__________________________ Washington Emissions Data System TRIBAL RECORDS INDIAN RESERV------------- Indian Reservations INDIAN LUST________________ Leaking Underground Storage Tanks on Indian Land INDIAN UST .. _ _ _ Underground Storage Tanks on Indian Land EDR PROPRIETARY RECORDS Manufactured Gas Plants___ EDR Proprietary Manufactured Gas Plants EDR Historical Auto StationsEDR Proprietary Historic Gas Stations EDR Historical Cleaners____. EDR Proprietary Historic Dry Cleaners SURROUNDING SITES: SEARCH RESULTS Surrounding sites were identified. TC1661061.2s EXECUTIVE SUMMARY 2 IF - EXECUTIVE SUMMARY Elevations have been determined from the USGS Digital Elevation Model and should be evaluated on a relative (not an absolute) basis. Relative elevation information between sites of close proximity should be field verified. Sites with an elevation equal to or higher than the target property have been differentiated below from sites with an elevation lower than the target property. Page numbers and map identification numbers refer to the EDR Radius Map report where detailed data on individual sites can be reviewed. Sites listed in bold italics are in multiple databases. Unmappable (orphan) sites are not considered in the foregoing analysis. FEDERAL RECORDS RCRAInfo: RCRAInfo is EPA's comprehensive information system, providing access to data supporting the Resource Conservation and Recovery Act ( RCRA) of 1976 and the Hazardous and Solid Waste Amendments (HSWA) of 1984. RCRAInfo replaces the data recording and reporting abilities of the Resource Conservation and Recovery Information System(RCRIS). The database includes selective information on sites which generate, transport, store , treat and/or dispose of hazardous waste as defined by the Resource Conservation and Recovery Act (RCRA). Conditionally exempt small quantity generators (CESQGs) generate less than 100 kg of hazardous waste, or less than 1 kg of acutely hazardous waste per month. Small quantity generators (SQGs) generate between 100 kg and 1,000 kg of hazardous waste per month Large quantity generators generate over 1,000 kilograms (kg) of hazardous waste, or over 1 kg of acutely hazardous waste per month. Transporters are individuals or entities that move hazardous waste from the generator offsite to a facility that can recycle, treat, store, or dispose of the waste. TSDFs treat, store, or dispose of the waste. A review of the RCRA-SQG list, as provided by EDR, and dated 02/24/2006 has revealed that there are 9 RCRA-SQG sites within approximately 0.25 miles of the target property. Equal/Higher Elevation Address Dist / Dir Map ID Page ARCO 0822 202 5TH AVE S 0-118 S A3 7 EDMONDS VETERINARY HOSPITAL 313 5TH AVE S 0-118 S C6 8 5TH AVE DRY CLEANERS 540 5TH AVE S 118 - 114 S 32 28 Lower Elevation Address Dist / Dir Map ID Page EDMONDS DRY CLEANERS 102 3RD AVE S 118 - 114 NW 16 13 EDMONDS CITY MAINT & OPS CENTE 200 DAYTON ST 118 - 114 W F20 17 EDMONDS STP 200 2ND AVE S 118 - 114 W F21 18 TECHNIGRAPHIC SYSTEMS INC 111 JAMES ST 118 - 114 WNW 23 19 ALASKA NORTHWEST PUBLISHING CO 130 2ND AVE S 118 - 114 WNW 24 24 MAR VEL MARBLE LLC 202 MAIN ST 118 - 114 NW G29 27 STATE AND LOCAL RECORDS CSCSL: The State Hazardous Waste Sites records are the states' equivalent to CERCLIS. These sites may or may not already be listed on the federal CERCLIS list. Priority sites planned for cleanup using state funds (state equivalent of Superfund) are identified along with sites where cleanup will be paid for by potentially responsible parties. The data come from the Department of Ecology's Confirmed & Suspected Contaminated Sites List. A review of the CSCSL list, as provided by EDR, and dated 03/08/2006 has revealed that there are 5 TC1661061.2s EXECUTIVE SUMMARY 3 EXECUTIVE SUMMARY CSCSL sites within approximately 1 mile of the target property- Equal/Higher Elevation Address Dist I Dir Map ID Page ARCO 0822 202 5TH AVE S 0-118 S A3 7 ALLEN RESIDENCE 810 WALNUT ST 114 - 112ESE 38 38 Lower Elevation Address Dist / Dir Map ID Page EDMONDS PORT W DAYTON 120-190 W DAYTON ST 1/4 - 1/2W H36 34 UNOCAL EDMONDS BULK FUEL TERM 11720 UNOCO RD 114 - 112W 41 42 EDMONDS DRY STORAGE PORT OF ED 400 ADMIRAL WAY DRY STO 1/2-1 W 42 43 CSCSL NFA: The data set contains information about sites previously on the Confirmed and Suspected Contaminated Sites list that have received a No Further Action (NFA) determination. Because it is necessary to maintain historical records of sites that have been investigated and cleaned up, sites are not deleted from the database when cleanup activities are completed. Instead a No Further Action code is entered based upon the type of NFA determination the site received. A review of the CSCSL NFA list, as provided by EDR, and dated 02/09/2006 has revealed that there are 4 CSCSL NFA sites within approximately 0.5 miles of the target property. Equal/Higher Elevation Address Dist / Dir Map ID Page 210 5TH AVE S PROPERTY 210 5TH AVE S 0-1/8 S B4 8 Lower Elevation Address Dist / Dir Map ID Page 4TH AVE. BUILDING 130 4TH AVE. N. 0 - 118 NNW D13 12 ALASKA NORTHWEST PUBLISHING CO 130 2ND AVE S 118 - 114 WNW 24 24 EDMONDS OFFICE SITE (FUTURE OF 131 2ND AVE S 118 - 114 WNW E25 25 SWF/LF: The Solid Waste Facilities/Landfill Sites records typically contain an inventory of solid waste disposal facilities or landfills in a particular state. The data come from the Department of Ecology's Solid Waste Facilities Handbook. A review of the SWF/LF list, as provided by EDR, and dated 10/01/2004 has revealed that there is 1 SWF/LF site within approximately 0.5 miles of the target property. Lower Elevation Address Dist / Dir Map ID Page PORT OF EDMONDS MODERATE RISK 336 ADMIRAL WY 114 - 112W 140 41 LUST: The Leaking Underground Storage Tank Incident Reports contain an inventory of reported leaking underground storage tank incidents. The data come from the Department of Ecology's Leaking Underground Storage Tanks Site List. A review of the LUST list, as provided by EDR, and dated 03/08/2006 has revealed that there are 8 LUST sites within approximately 0.5 miles of the target property. Equal/Higher Elevation Address Dist / Dir Map ID Page OLD MILL BUS BARN 400 BLOCK MAPLE ST 0 - 1/8 SSE C8 10 ARCO FACILITY #00822/MARAL PAL 202 FIFTH AVE S 0-1/8 E 11 12 CITY OF EDMONDS FIRE & POLICE 250 5TH AVE N 118 - 114 NNE 17 14 Lower Elevation Address Dist / Dir Map ID Page CITY OF EDMONDS PUBLIC WORKS/O 200 DAYTON ST 118 - 114 W F19 15 TC1661061 2s EXECUTIVE SUMMARY 4 I EXECUTIVE SUMMARY Lower Elevation Address Dist / Dir Map ID Page U S POSTAL SERVICE - EDMONDS 201 MAIN ST 1/8 - 1/4NW G31 28 ANDERSON MARINE CORP 100 RAILROAD AVE 1/4 - 112NW 33 30 EDMONDS WA LINE SEG 50 PRINT 4 211 RAILROAD AVE 1/4 - 1/2WNW 34 31 PORT OF EDMONDS FUR BREEDERS B 335 ADMIRAL WY 114 - 112W 139 41 UST: The Underground Storage Tank database contains registered USTs_ USTs are regulated under Subtitle I of the Resource Conservation and Recovery Act (RCRA)_ The data come from the Department of Ecology's Statewide UST Site/Tank Report. A review of the UST list, as provided by EDR, and dated 01/03/2006 has revealed that there are 10 UST sites within approximately 0.25 miles of the target property. Equal/Higher Elevation Address Dist / Dir Map ID Page LAKESHORE INVESTMENT CORP. 313 5TH AVE S 0-1/8 S C7 9 OLD MILL BUS BARN 400 BLOCK MAPLE ST 0 - 1/8 SE 9 10 ARCO FACILITY #00822/MARAL PAL 202 FIFTH AVE S 0 - 1/8 SSE 10 11 CITY OF EDMONDS FIRE & POLICE 250 5TH AVE N 1/8 - 114 NNE 17 14 Lower Elevation Address Dist / Dir Map ID Page JOE ERGA-EDMONDS BAKERY 418 MAIN ST 0 - 1/8 NNW 12 12 CONNEL SOUTH/EDMONDS DRY CLEAN 102-3RD SO. 1/8 - 1/4NW E18 14 CITY OF EDMONDS PUBLIC WORKS/O 200 DAYTON ST 118 - 114 W F19 15 EDMONDS OFFICE SITE (FUTURE OF 131 2ND AVE S 1/8 - 114 WNW E25 25 EDMONDS AUTOMOTIVE SERVICE INC 218 3RD AVE NORTH 1/8 - 1/4NNW 28 26 U S POSTAL SERVICE - EDMONDS 201 MAIN ST 1/8 - 1/4NW G30 27 INST CONTROL: Sites that have institutional controls. A review of the INST CONTROL list, as provided by EDR, and dated 03/07/2006 has revealed that there is 1 INST CONTROL site within approximately 0.5 miles of the target property. Lower Elevation Address Dist / Dir Map ID Page EDMONDS PORT W DAYTON 120-190 W DAYTON ST 114 - 112W H35 32 VCP: Sites that have entered either the Voluntary Cleanup Program or its predecessor Independent Remedial Action Program. A review of the VCP list, as provided by EDR, and dated 03/08/2006 has revealed that there are 6 VCP sites within approximately 0.5 miles of the target property. Equal/Higher Elevation Address Dist / Dir Map ID Page ARCO 0822 202 5TH AVE S 210 5TH AVE S PROPERTY 210 5TH AVE S Lower Elevation Address 4TH AVE N BUILDING 130 4TH AVE N ALASKA NORTHWEST PUBLISHING CO 130 2ND AVE S EDMONDS OFFICE SITE 131 2ND AVE S EDMONDS PORT W DAYTON 120-190 W DAYTON ST 0-1/8 S A3 7 0 - 118 S B5 8 Dist / Dir Map ID Page 0 - 1/8 NNW D14 12 1/8 - 114 WNW 24 24 1/8 - 1/4 WNW E27 26 114 - 112 W H35 32 TC1661061.2s EXECUTIVE SUMMARY 5 EXECUTIVE SUMMARY ICR: These are remedial action reports Ecology has received from either the owner or operator of the site. These actions have been conducted without department oversight or approval and are not under an order or decree. A review of the ICR list, as provided by EDR, and dated 12/01/2002 has revealed that there are 9 ICR sites within approximately 0.5 miles of the target property. Equal/Higher Elevation Address Dist / Dir Map ID Page ARCO #822 202 S. 5TH ST. 0-1/8 E A2 6 EDMONDS VETERINARY HOSPITAL 313 5TH AVE S 0 - 1/8 S C6 8 CITY OF EDMONDS FIRE & POLICE 250 5TH AVE N 118 - 1/4 NNE 17 14 Lower Elevation Address Dist / Dir Map ID Page 4TH AVE. BUILDING 130 4TH AVE. N. 0 - 1/8 NNW D13 12 HUMMEL DEVELOPMENT AND CONSTRU 261 4TH AVE. S. 0 - 1/8 SSW 15 13 EDMONDS PUBLIC WORKS 200 DAYTON ST. 1/8 - 1/4W F22 18 EDMONDS OFFICE SITE 131 2ND AVE. S. 1/8 - 1/4WNW E26 26 ANDERSON MARINE CORP 100 RAILROAD AVE 1/4 - 1/2NW 33 30 PORT OF EDMONDS/HARBOR SQUARE 120-190 W. DAYTON ST. 1/4 - 1/2W H37 38 DRYCLEANERS: A listing of registered drycleaners who registered with the Department of Ecology (using the SIC code of 7215 and 7216) as hazardous waste generators. A review of the DRYCLEANERS list, as provided by EDR, and dated 01/12/2006 has revealed that there is 1 DRYCLEANERS site within approximately 0.25 miles of the target property. Equal/Higher Elevation 5TH AVE DRY CLEANERS Address 540 5TH AVE S INACTIVE DRYCLEANERS: A listing of inactive drycleaner facility locations. Dist / Dir Map ID Page 118 - 114 S 32 28 A review of the INACTIVE DRYCLEANERS list, as provided by EDR, and dated 01/12/2006 has revealed that there is 1 INACTIVE DRYCLEANERS site within approximately 0.25 miles of the target property. Lower Elevation Address EDMONDS DRY CLEANERS 102 3RD AVE S Dist / Dir Map ID Page 1/8 - 114NW 16 13 TC1661061.2s EXECUTIVE SUMMARY 6 EXECUTIVE SUMMARY Due to poor or inadequate address information, the following sites were not mapped: Site Name UNOCAL EDMONDS FUEL TERMINAL GW AUTO REBUILD INC EDMONDS USAVE MINI MART B & M CONTRACTORS OLD MILL BUS BARN ALASKA PUBLISHING PORT OF EDMONDS/HARBOR SQUARE Database(s) SPILLS, ICR RCRA-SQG, FINDS FINDS, VCP FINDS, VCP FINDS ICR ICR TC1661061.2s EXECUTIVE SUMMARY 7 OVERVIEW MAP - 1661061.2s * Target Property A Sites at elevations higher than or equal to the target property • Sites at elevations lower than the target property A Manufactured Gas Plants National Priority List Sites Landfill Sites Dept. Defense Sites O 1/4 l/z i roues 0 Indian Reservations BIA Oil & Gas pipelines 100-year flood zone E] 500-year flood zone � F �•:� National Wetland Inventory This report includes Interactive Map Layers to display and/or hide map information. The legend includes only those icons for the default map view. SITE NAME: Old Milltown CLIENT: Farallon Consulting, LLC ADDRESS: 201 5th Avenue South CONTACT: Jeff Keller Edmonds WA 98020 INQUIRY #: 1661061.2s LAT/LONG: 47.8097 / 122.3776 DATE: April 25, 2006 Copyrlghl worm FOR lnc,: 2FC6 iele dlUn Flcl VIM. DETAIL MAP - 1661061.2s J j 5 e O BF(t ti S T SPRA ST e o s T � e S s M 4 g ST ST O � e 6 2r BELL ST aT �r;1s r 13 ALLEY :3 R 5 MAI N S T MA I N S T M A l 11 5 W W O 1 c I �1 D A Y T 0 N ST A?APLE ST � MAPLE ST a 1S A L D E ST ALDER ST A BECK LN WALNUT S7 W NUT kT 7- HOLLY DR n � S Target Property o uie va U4 MACS ® Sites at elevations higher than or equal to the target property F71 Indian Reservations BIA • Sites at elevations lower than ` ,' Oil & Gas pipelines the target property 100-year flood zone 1 Manufactured Gas Plants � 500-year flood zone r Sensitive Receptors National Wetland Inventory El National Priority List Sites 0 Landfill Sites Dept. Defense Sites This report includes Interactive Map Layers to display and/Or hide map information. The legend Includes only those icons for the default map view. SITE NAME: Old Milltown CLIENT: Farallon Consulting, LLC ADDRESS: 201 5th Avenue South CONTACT: Jeff Keller Edmonds WA 98020 INQUIRY#: 1661061.2s LAT/LONG: 47.80971 122.3776 DATE: April 25, 2006 Cnp 101 M MR. Inc . 2DM Tile Allu rkl. 072005. Database FEDERAL RECORDS MAP FINDINGS SUMMARY Search Target Distance Total Property (Miles) < 1/8 1/8-1/4 1/4-1/2 1/2-1 > 1 Plotted NPL 1.000 0 0 0 0 NR 0 Proposed NPL 1.000 0 0 0 0 NR 0 Delisted NPL 1.000 0 0 0 0 NR 0 NPL RECOVERY TP NR NR NR NR NR 0 CERCLIS 0.500 0 0 0 NR NR 0 CERC-NFRAP 0.500 0 0 0 NR NR 0 CORRACTS 1.000 0 0 0 0 NR 0 RCRA TSD 0.500 0 0 0 NR NR 0 RCRA Lg. Quan. Gen. 0.250 0 0 NR NR NR 0 RCRA Sm. Quan. Gen, X 0.250 2 7 NR NR NR 9 ERNS TP NR NR NR NR NR 0 HMIRS TP NR NR NR NR NR 0 US ENG CONTROLS 0.500 0 0 0 NR NR 0 US INST CONTROL 0.500 0 0 0 NR NR 0 DOD 1.000 0 0 0 0 NR 0 FUDS 1.000 0 0 0 0 NR 0 US BROWNFIELDS 0.500 0 0 0 NR NR 0 CONSENT 1.000 0 0 0 0 NR 0 ROD 1.000 0 0 0 0 NR 0 UMTRA 0.500 0 0 0 NR NR 0 ODI 0.500 0 0 0 NR NR 0 TRIS TP NR NR NR NR NR 0 TSCA TP NR NR NR NR NR 0 FTTS TP NR NR NR NR NR 0 SSTS TP NR NR NR NR NR 0 PADS TP NR NR NR NR NR 0 MLTS TP NR NR NR NR NR 0 MINES 0.250 0 0 NR NR NR 0 FINDS X TP NR NR NR NR NR 0 RAATS TP NR NR NR NR NR 0 STATE AND LOCAL RECORDS CSCSL 1.000 1 0 3 1 NR 5 HSL 1.000 0 0 0 0 NR 0 CSCSL NFA X 0.500 2 2 0 NR NR 4 State Landfill 0.500 0 0 1 NR NR 1 SWTIRE 0.500 0 0 0 NR NR 0 LUST 0.500 2 3 3 NR NR 8 UST 0.250 4 6 NR NR NR 10 AST 0.250 0 0 NR NR NR 0 SPILLS TP NR NR NR NR NR 0 INST CONTROL 0.500 0 0 1 NR NR 1 VCP X 0.500 3 2 1 NR NR 6 ICR 0.500 4 3 2 NR NR 9 DRYCLEANERS 0.250 0 1 NR NR NR 1 CDL TP NR NR NR NR NR 0 WA Emissions TP NR NR NR NR NR 0 TC1661061.2s Page 4 MAP FINDINGS SUMMARY Search Target Distance Total Database Property (Miles) < 1/8 1/8-1/4 1/4-1/2 1/2-1 > 1 Plotted INACTIVE DRYCLEANERS 0.250 0 1 NR NR NR 1 TRIBAL RECORDS INDIAN RESERV 1.000 0 0 0 0 NR 0 INDIAN LUST 0.500 0 0 0 NR NR 0 INDIAN UST 0.250 0 0 NR NR NR 0 EDR PROPRIETARY RECORDS Manufactured Gas Plants 1.000 0 0 0 0 NR 0 EDR Historical Auto Stations 0.250 0 0 NR NR NR 0 EDR Historical Cleaners 0.250 0 0 NR NR NR 0 NOTES: TP = Target Property NR = Not Requested at this Search Distance Sites may be listed in more than one database TC1661061.2s Page 5 Map ID MAP FINDINGS Direction Distance Distance (ft.) EDR ID Number Elevation Site Database(s) EPA ID Number Al OLD MILL TOWN MALL RCRA-SQG 1005445322 Target 201 5TH AVE S FINDS WAH000015917 Property EDMONDS, WA 98020 CSCSL NFA VCP Site 1 of 3 in cluster A Actual: 62 ft. RCRAInfo: Owner: YUE'S OLD MILLTOWN MALL (206)441-3171 EPA ID: WAH000015917 Contact: CONNIE STRADER (206)441-3171 3 Classification: Small Quantity Generator TSDF Activities: Not reported Violation Status: No violations found FINDS: Other Pertinent Environmental Activity Identified at Site: RESOURCE CONSERVATION AND RECOVERY ACT INFORMATION SYSTEM WASH I NGTON-DEPARTMENT OF ECOLOGY FACILITY/SITE IDENTIFICATION SYSTEM WA NFA: Facility/Site Id : 85976766 Ecology Status : Independent Remedial Action Independent Status Code : Final Independant RA Report received WARM Bin Number: Not reported NFA Code: NFA after Assesment IRAP or VCP NFA Date: 10/20/2003 00:00:00 Program Plan Code : 4 VCP: Facility ID : 85976766 WARM BIN # : Not reported Ecology Status : Independent Remedial Action NFA Code: NFA after assessment, TRAP, or VCP Program Plan Code : 4 A2 ARCO #822 ICR 1000838697 East 202 S. 5TH ST. N/A < 1/8 EDMONDS, WA 98020 10 ft. Site 2 of 3 in cluster A Relative: Higher WA ICR: Date Ecology Received Report: 11/14/1995 Actual: Contaminants Found at Site: Petroleum products 62 ft. Media Contaminated: Soil Cause of Contamination: Tank Region: North Western Type of Report Ecology Received: Interim cleanup report Site Register Issue: 94-13 County Code: 31.00000 Contact: Not reported Report Title: Not reported TC1661061.2s Page 6 Map ID MAP FINDINGS Direction Distance Distance (ft.) Elevation Site A3 ARCO 0822 South 202 5TH AVE S < 1/8 EDMONDS, WA 98020 34 ft. Site 3 of 3 in cluster A Relative: Higher RCRAInfo: Owner: ARCO Actual: (714)670-5423 62 ft. EPA ID: WAD988514923 Contact: Not reported Classification: Small Quantity Generator TSDF Activities: Not reported Violation Status: No violations found EDR ID Number Database(s) EPA ID Number RCRASQG 1004794466 CSCSL WAD988514923 FINDS VCP FINDS: Other Pertinent Environmental Activity Identified at Site: RESOURCE CONSERVATION AND RECOVERY ACT INFORMATION SYSTEM WASH INGTON-DEPARTMENT OF ECOLOGY FACILITY/SITE IDENTIFICATION SYSTEM SHWS: Facility ID: 67151754 MTBE Code: Not reported Prog plan code: 4 UXO Code: Not reported Lat/Long : 48.151250000000005 /-122.20805 Responsible Unit: Northwest Region Ecology Site Status relative to the MTCA cleanup process: Independent Remedial Action Independent Site Status - those sites undergoing an independent cleanup: Independent Site Assessment of Interim Remedial Action Report received WARM Bin Number indicates the outcome of the Washington Ranking Model (WARM): Affected Media Status: C (Confirmed) - The presence of hazardous substances above MTCA cleanup levels has been confirmed by laboratory analysis (or field determination in the case of petroleum contamination) Affected Media : Soil Arsenic Code: Not reported Base/Neutral/Acid Organics: Not reported Halogenated Organic Compounds: Not reported EPA Priority Pollutants - Metals and Cyanide: Not reported Metals - Other non -priority pollutant medals: Not reported Polychlorinated biPhenyls (PCBs): Not reported Pesticides: Not reported Petroleum Products: Confirmed above MTCA cleanup levels Phenolic Compounds: Not reported Non -Halogenated Solvents: Not reported Dioxin: Not reported Polynuclear Aromatic Hydrocarbons (PAH): Not reported Reactive Wastes: Not reported Corrosive Wastes: Not reported Radioactive Wastes: Not reported Asbestos: Not reported Conventional Contaminants, Organic: Not reported Conventional Contaminants, Inorganic: Not reported Lat/Long : 48° 9' 4" / 122` 12' 28" Media Id: 6657 Media Type Description : Soil Media Status Description : Confirmed TC1661061.2s Page 7 Map ID MAP FINDINGS Direction E- Distance Distance (ft.) Elevation Site ARCO 0822 (Continued) Tibutyl Tin Contaminant Group : Not reported Bioassay/benthic Failures Contam group : Not reported Wood Debris Contaminant Group : Not reported Other Deleterious Substance Group : Not reported VCP: Facility ID : 67151754 WARM BIN # : Not reported Ecology Status : Independent Remedial Action NFA Code: Not reported Program Plan Code 4 B4 210 5TH AVE S PROPERTY South 210 5TH AVE S < 1/8 EDMONDS, WA 98020 166 ft. Site 1 of 2 in cluster B Relative: Higher WA NFA: Facility/Site Id : Actual: Ecology Status 62 ft. Independent Status Code WARM Bin Number: NFA Code: NFA Date: Program Plan Code 16487462 Independent Remedial Action Final Independant RA Report received Not reported NFA after Assesment IRAP or VCP 7/11/2000 00:00:00 4 EDR ID Number Database(s) EPA ID Number 1004794466 CSCSL NFA S104972055 N/A B5 210 5TH AVE S PROPERTY South 210 5TH AVE S < 1/8 EDMONDS, WA 98020 166 ft. Site 2 of 2 in cluster B Relative: Higher FINDS: Other Pertinent Environmental Activity Identified at Site: Actual: WASH INGTON-DEPARTMENT OF ECOLOGY FACILITY/SITE IDENTIFICATION SYSTEM 62 ft. VCP: Facility ID : 16487462 WARM BIN # : Not reported Ecology Status : Independent Remedial Action NFA Code: NFA after assessment, TRAP, or VCP Program Plan Code : 4 C6 EDMONDS VETERINARY HOSPITAL South 313 5TH AVE S < 1/8 EDMONDS, WA 98020 332 ft. Site 1 of 3 in cluster C Relative: Higher Actual: 62 ft. FINDS 1007075201 VCP 110015518493 RCRA-SQG 1000838620 FINDS WAD988514113 ICR TC16610612s Page 8 Map ID MAP FINDINGS Direction Distance Distance (ft.) Elevation Site EDMONDS VETERINARY HOSPITAL (Continued) RCRAInfo: Owner: EDMONDS VETERINARY HOSPITAL EPA ID: WAD988514113 Contact: ALLEN GRAY (425) 774-6599 Classification: Small Quantity Generator TSDF Activities: Not reported Violation Status: No violations found FINDS: Other Pertinent Environmental Activity Identified at Site: RESOURCE CONSERVATION AND RECOVERY ACT INFORMATION SYSTEM WA ICR: Date Ecology Received Report: 05/03/1993 Contaminants Found at Site: Petroleum products Media Contaminated: Soil Cause of Contamination: Tank Region: North Western Type of Report Ecology Received: Final cleanup report Site Register Issue: 93-01 County Code: 31.00000 Contact: Not reported Report Title: Not reported C7 LAKESHORE INVESTMENT CORP. South 313 5TH AVE S < 1/8 EDMONDS, WA 98020 332 ft. Site 2 of 3 in cluster C Relative: Higher UST: Facility ID: Actual: Site ID: 62 ft. Install Date: Capacity: Status: Tank Name: Substance: Compartment #: Ecology Region: 54243266 2809 1964-12-31 00:00:00 Not reported Removed 0286578 UNLEADED GASOLINE 1 North Western Facility ID: 54243266 Site ID: 2809 Install Date: 1964-12-31 00:00:00 Capacity: 111 to 1,100 Gallons Status: Removed Tank Name: 0286575 Substance: USED OIL/WASTE OIL Compartment #: 1 Ecology Region: North Western EDR ID Number Database(s) EPA ID Number 1000838620 UST 0004021032 N/A TC1661061.2s Page 9 Map ID �— MAP FINDINGS Direction Distance Distance (ft.) Elevation Site LAKESHORE INVESTMENT CORP. (Continued) Facility ID: 54243266 Site ID: 2809 Install Date: 1964-12-31 00:00:00 Capacity: Not reported Status: Removed Tank Name: 0286580 Substance: LEADED GASOLINE Compartment #: 1 Ecology Region: North Western C8 OLD MILL BUS BARN SSE 400 BLOCK MAPLE ST < 1/8 EDMONDS, WA 98020 346 ft. Site 3 of 3 in cluster C Relative: Higher LUST: Facility ID: 200151 Actual: Facility Status: Cleanup Started 73 ft. Release ID: 1357 Release Notification Date: 5/31/1989 00:00:00 Release Status Date: 5/21/1995 00:00:00 Alternate Name: OLD MILL BUS BARN Lat/Lon: 47.808735 /-122.377355 Affected Media: Soil FSID: 35262175 Site Response Code Unit: NW Facility ID: 200151 Facility Status: Reported Cleaned Up Release ID: 1357 Release Notification Date: 5/31/1989 00:00:00 Release Status Date: 4/5/2000 00:00:00 Alternate Name: OLD MILL BUS BARN Lat/Lon: 47.808735 /-122.377355 Affected Media: Soil FSID: 35262175 Site Response Code Unit: NW EDR ID Number Database(s) EPA ID Number 0004021032 LUST S101509230 NIA 9 OLD MILL BUS BARN UST 0003749965 SE 400 BLOCK MAPLE ST N/A < 1/8 EDMONDS, WA 98020 353 ft. Relative: UST: Higher Facility ID: 35262175 Site ID: 200151 Actual: Install Date: 1900-01-02 00:00:00 90 ft. Capacity: 111 TO 1,000 GALLONS Status: Unknown Tank Name: 2 Substance: Not reported Compartment #: 1 Ecology Region: North Western TC1661061.2s Page 10 Map ID MAP FINDINGS Direction Distance Distance (ft.) EDR ID Number Elevation Site Database(s) EPA ID Number OLD MILL BUS BARN (Continued) 0003749965 Facility ID: 35262175 Site ID: 200151 Install Date: 1900-01-02 00:00:00 Capacity: 10,000 TO 19,999 GALLONS Status: Unknown Tank Name: 1 Substance: DIESEL Compartment #: 1 Ecology Region: North Western 10 ARCO FACILITY#00822/MARAL PALOULIAN UST 0003028636 SSE 202 FIFTH AVE S N/A < 1/8 EDMONDS, WA 98020 359 ft. Relative: UST: Higher Facility ID: 67151754 Site ID: 8738 Actual: Install Date: 1964-12-31 00:00:00 76 ft. Capacity: 111 to 1,100 Gallons Status: Removed Tank Name: 1 Substance: USED OIL/WASTE OIL Compartment #: 1 Ecology Region: North Western Facility ID: 67151754 Site ID: 8738 Install Date: 1982-12-01 00:00:00 Capacity: 10,000 TO 19,999 GALLONS Status: Operational Tank Name: 2 Substance: LEADED GASOLINE Compartment #: 1 Ecology Region: North Western Facility ID: 67151754 Site ID: 8738 Install Date: 1982-12-01 00:00:00 Capacity: 10,000 TO 19,999 GALLONS Status: Operational Tank Name: 3 Substance: UNLEADED GASOLINE Compartment #: 1 Ecology Region: North Western Facility ID: 67151754 Site ID: 8738 Install Date: 1982-12-01 00:00:00 Capacity: 10,000 TO 19,999 GALLONS Status: Operational Tank Name: 4 Substance: UNLEADED GASOLINE Compartment #: 1 Ecology Region: North Western TC1661061.2s Page 11 Map ID Direction Distance Distance (ft.) Elevation Site 11 East < 1/8 404 ft. Relative: Higher Actual: 79 ft. 12 NNW < 1 /8 479 ft. Relative: Lower Actual: 58 ft. ARCO FACILITY #00822/MARAL PALOULIAN 202 FIFTH AVE S EDMONDS, WA 98020 MAP FINDINGS LUST: Facility ID: 8738 Facility Status: Awaiting Cleanup Release ID: 324040 Release Notification Date: 10/18/1995 00:00:00 Release Status Date: 11/20/1995 10:50:47.96 Alternate Name: ARCO STATION # 822 Lat/Lon: 48.15125 /-122.20805 Affected Media: Soil FSID: 67151754 Site Response Code Unit: NW JOE ERGA-EDMONDS BAKERY 418 MAIN ST EDMONDS, WA 98020 UST: Facility ID: 41651225 Site ID: 12017 Install Date: 1964-12-31 00:00:00 Capacity: 111 to 1,100 Gallons Status: Closed in Place Tank Name: 1 Substance: Not reported Compartment #: 1 Ecology Region: North Western D13 4TH AVE. BUILDING NNW 130 4TH AVE. N. < 118 EDMONDS, WA 98020 606 ft. Site 1 of 2 in cluster D Relative: Lower WA NFA: Facility/Site Id Actual: Ecology Status 57 ft. Independent Status Code WARM Bin Number: NFA Code: NFA Date: Program Plan Code : D14 4TH AVE N BUILDING NNW 130 4TH AVE N < 118 EDMONDS, WA 98020 606 ft. Site 2 of 2 in cluster D Relative: Lower Actual: 57 ft. 20277377 Independent Remedial Action Not reported Not reported NFA after Assesment IRAP or VCP 12/25/1999 00:00:00 4 EDR ID Number Database(s) EPA ID Number LUST 1004614860 N/A UST 0001127048 N/A CSCSL NFA S106249993 ICR N/A FINDS 1007074578 VCP 110015512195 TC1661061.2s Page 12 Map ID Direction Distance Distance (ft.) Elevation Site 4TH AVE N BUILDING (Continued) MAP FINDINGS EDR ID Number Database(s) EPA ID Number FINDS: Other Pertinent Environmental Activity Identified at Site: WASH INGTON-DEPARTMENT OF ECOLOGY FACILITY/SITE IDENTIFICATION SYSTEM VCP: Facility ID : 20277377 WARM BIN # : Not reported Ecology Status Independent Remedial Action NFA Code: NFA after assessment, TRAP, or VCP Program Plan Code 4 15 HUMMEL DEVELOPMENT AND CONSTRUCTION CO. SSW 261 4TH AVE. S. < 1/8 EDMONDS, WA 98020 624 ft. Relative: WA ICR: Lower Date Ecology Received Report: 07/15/1993 Contaminants Found at Site: Petroleum products Actual: Media Contaminated: Soil 54 ft. Cause of Contamination: Tank Region: North Western Type of Report Ecology Received. Final cleanup report Site Register Issue: 93-08 County Code: 31.00000 Contact: Not reported Report Title: Not reported 16 EDMONDS DRY CLEANERS NW 102 3RD AVE S 1/8-1/4 EDMONDS, WA 98020 794 ft. Relative: RCRAInfo: Lower Owner: JERRY SOUTH (425) 778-3187 Actual: EPA ID: WAD988478079 46 ft. Contact: Not reported Classification: Small Quantity Generator TSDF Activities: Not reported Violation Status: No violations found 1007074578 ICR S104486935 N/A RCRA-SQG 1000473814 FINDS WAD988478079 INACTIVE DRYCLEANERS FINDS: Other Pertinent Environmental Activity Identified at Site: RESOURCE CONSERVATION AND RECOVERY ACT INFORMATION SYSTEM WASH INGTON-DEPARTMENT OF ECOLOGY FACILITY/SITE IDENTIFICATION SYSTEM WA DRYCLN INACTIVE: FS ID: 3144 Facility ID: WAD988478079 NAICS Code: 81232 TC1661061.2s Page 13 Map ID Direction ll Distance Distance (ft.) Elevation Site MAP FINDINGS 17 CITY OF EDMONDS FIRE & POLICE STATION NNE 250 5TH AVE N 1/8-1/4 EDMONDS, WA 98020 954 ft. Relative: LUST: Higher Facility ID: 481677 Facility Status: Cleanup Started Actual: Release ID: 481691 66 ft. Release Notification Date: 8/21/1998 00:00:00 Release Status Date: 10/16/1998 00:00:00 Alternate Name: EDMONDS CITY OF, FIRE & POLICE Lat/Lon: 47.811898 /-122.377294 Affected Media: Soil FSID: 44622633 Site Response Code Unit: NW WA ICR: Date Ecology Received Report: 08/21/1998 Contaminants Found at Site: Petroleum products Media Contaminated: Soil Cause of Contamination: Tank Region: North Western Type of Report Ecology Received: Interim cleanup report Site Register Issue: 98-11 County Code: 31.00000 Contact: Not reported Report Title: Not reported UST: Facility ID: 44622633 Site ID: 481677 Install Date: 1900-01-02 00:00:00 Capacity: Not reported Status: Removed Tank Name: 1 Substance: UNKNOWN Compartment #: 1 Ecology Region: North Western Facility ID: 44622633 Site ID: 481677 Install Date: 1900-01-02 00:00:00 Capacity: Not reported Status: Removed Tank Name: 2 Substance: DIESEL Compartment #: 1 Ecology Region: North Western E18 CONNEL SOUTH/EDMONDS DRY CLEANERS NW 102-3RD SO. 1/8-1/4 EDMONDS, WA 98020 974 ft. Site 1 of 4 in cluster E Relative: Lower Actual: 31 ft. EDR ID Number Database(s) EPA ID Number LUST 0003402750 UST N/A ICR UST 0000920057 NIA TC1661061.2s Page 14 Map ID MAP FINDINGS Direction Distance Distance (ft.) Elevation Site F19 West 1/8-1/4 1040 ft. Relative: Lower Actual: 21 ft. CONNEL SOUTH/EDMONDS DRY CLEANERS (Continued) UST: Facility ID: 31746884 Site ID: 2558 Install Date: 1964-12-31 00:00:00 Capacity: 111 to 1,100 Gallons Status: Removed Tank Name: 2 Substance: Not reported Compartment #: 1 Ecology Region: North Western Facility ID: 31746884 Site ID: 2558 Install Date: 1964-12-31 00:00:00 Capacity: 111 to 1,100 Gallons Status: Removed Tank Name: 1 Substance: Not reported Compartment #: 1 Ecology Region: North Western CITY OF EDMONDS PUBLIC WORKS/OLD 200 DAYTON ST EDMONDS, WA 98020 Site 1 of 4 in cluster F LUST: Facility ID: Facility Status: Release ID: Release Notification Date: Release Status Date: Alternate Name: Lat/Lon: Affected Media: FS ID: Site Response Code Unit: Facility ID: Facility Status: Release ID: Release Notification Date: Release Status Date: Alternate Name: Lat/Lon: Affected Media: FS ID: Site Response Code Unit: 2722 Cleanup Started 5183 2/7/1994 00:00:00 9/25/1995 00:00:00 EDMONDS PUBLIC WORKS 47.809588 /-122.382464 Soil 61177691 NW 2722 Reported Cleaned Up 5183 2/7/1994 00:00:00 3/8/1996 00:00:00 EDMONDS PUBLIC WORKS 47.809588 /-122.382464 Soil 61177691 NW EDR ID Number Database(s) EPA ID Number 0000920057 LUST 0000587838 UST NIA TC1661061.2s Page 15 Map ID Direction Distance Distance (ft.) Elevation Site MAP FINDINGS EDR ID Number Database(s) EPA ID Number CITY OF EDMONDS PUBLIC WORKS/OLD (Continued) 0000587838 UST: Facility ID: 61177691 Site ID: 2722 Install Date: 1964-12-31 00:00:00 Capacity: 111 to 1,100 Gallons Status: Removed Tank Name: 6 Substance: Not reported Compartment #: 1 Ecology Region: North Western Facility ID: 61177691 Site ID: 2722 Install Date: 1964-12-31 00:00:00 Capacity: Not reported Status: Removed Tank Name: 2 Substance: UNLEADED GASOLINE Compartment #: 1 Ecology Region: North Western Facility ID: 61177691 Site ID: 2722 Install Date: 1964-12-31 00:00:00 Capacity: 111 to 1,100 Gallons Status: Exempt Tank Name: 8 Substance: HEATING FUEL Compartment #: 1 Ecology Region: North Western Facility ID: 61177691 Site ID: 2722 Install Date: 1964-12-31 00:00:00 Capacity: Not reported Status: Removed Tank Name: 7 Substance: Not reported Compartment #: 1 Ecology Region: North Western Facility ID: 61177691 Site ID: 2722 Install Date: 1964-12-31 00:00:00 Capacity: Not reported Status: Removed Tank Name: 1 Substance: UNLEADED GASOLINE Compartment #: 1 Ecology Region: North Western TC1661061.2s Page 16 Map ID f MAP FINDINGS Direction Distance Distance (ft.) Elevation Site CITY OF EDMONDS PUBLIC WORKS/OLD (Continued) Facility ID: 61177691 Site ID: 2722 Install Date: 1964-12-31 00:00:00 Capacity: 111 to 1,100 Gallons Status: Removed Tank Name: 5 Substance: Not reported Compartment #: 1 Ecology Region: North Western Facility ID: 61177691 Site ID: 2722 Install Date: 1975-07-15 00:00:00 Capacity: 111 to 1,100 Gallons Status: Removed Tank Name: 4 Substance: Not reported Compartment #: 1 Ecology Region: North Western Facility ID: 61177691 Site ID: 2722 Install Date: 1975-07-01 00:00:00 Capacity: Not reported Status: Removed Tank Name: 3 Substance: UNLEADED GASOLINE Compartment #: 1 Ecology Region: North Western EDR ID Number Database(s) EPA ID Number 0000587838 F20 EDMONDS CITY MAINT & OPS CENTER RCRASQG 1001490413 West 200 DAYTON ST FINDS WAD981764582 1/8-1/4 EDMONDS, WA 98020 1040 ft. Site 2 of 4 in cluster F Relative: Lower RCRAlnfo: Owner: EDMONDS CITY Actual: EPA ID: WAD981764582 21 ft. Contact: Not reported Classification: Conditionally Exempt Small Quantity Generator TSDF Activities: Not reported Violation Status: No violations found FINDS: Other Pertinent Environmental Activity Identified at Site: RESOURCE CONSERVATION AND RECOVERY ACT INFORMATION SYSTEM WASH I NGTON-DEPARTMENT OF ECOLOGY FACILITY/SITE IDENTIFICATION SYSTEM TC1661061.2s Page 17 Map ID MAP FINDINGS Direction Distance Distance (ft.) EDR ID Number Elevation Site Database(s) EPA ID Number F21 EDMONDS STP RCRASQG 1000658247 West 200 2ND AVE S FINDS WAD980738736 1/8-1/4 EDMONDS, WA 98020 1040 ft. Site 3 of 4 in cluster F Relative: Lower RCRAInfo: Owner: EDMONDS WWPT Actual: EPA ID: WAD980738736 21 ft. Contact: STEPHEN KOHO (425) 771-0237 Classification: Small Quantity Generator TSDF Activities: Not reported Violation Status: No violations found FINDS: Other Pertinent Environmental Activity Identified at Site: AEROMETRIC INFORMATION RETRIEVAL SYSTEM/AIRS FACILITY SYSTEM PERMIT COMPLIANCE SYSTEM RESOURCE CONSERVATION AND RECOVERY ACT INFORMATION SYSTEM WASHINGTON-DEPARTMENT OF ECOLOGY FACILITY/SITE IDENTIFICATION SYSTEM F22 EDMONDS PUBLIC WORKS ICR S103506749 West 200 DAYTON ST. N/A 118-1/4 EDMONDS, WA 98020 1040 ft. Site 4 of 4 in cluster F Relative: Lower WA ICR: Date Ecology Received Report: 03/08/1996 Actual: Contaminants Found at Site: Petroleum products 21 ft. Media Contaminated: Soil Cause of Contamination: Tank Region: North Western Type of Report Ecology Received: Final cleanup report Site Register Issue: 94-44 County Code: 31.00000 Contact: Not reported Report Title: Not reported Date Ecology Received Report: 02/07/1994 Contaminants Found at Site: Petroleum products Media Contaminated: Soil Cause of Contamination: Tank Region: North Western Type of Report Ecology Received: Final cleanup report Site Register Issue: 93-23 County Code: 31.00000 Contact: Not reported Report Title: Not reported Date Ecology Received Report: 03/08/1996 Contaminants Found at Site: Petroleum products Media Contaminated: Soil Cause of Contamination: Tank Region: North Western Type of Report Ecology Received: Final cleanup report Site Register Issue: 94-24 County Code: 31.00000 TC1661061.2s Page 18 Map ID MAP FINDINGS Direction Distance Distance (ft.) EDR ID Number Elevation Site Database(s) EPA ID Number EDMONDS PUBLIC WORKS (Continued) S103506749 Contact: Not reported Report Title: Not reported 23 TECHNIGRAPHIC SYSTEMS INC RCRASQG 1001031639 WNW 111 JAMES ST FINDS WAR000003467 1/8-1/4 EDMONDS, WA 98020 MANIFEST 1048 ft. Relative: RCRAInfo: Lower Owner: TECHNIGRAPHIC SYSTEMS INC (425)672-2963 Actual: EPA ID: WAR000003467 22 ft. Contact: Not reported Classification: Small Quantity Generator TSDF Activities: Not reported Violation Status: Violations exist Regulation Violated: 200(1)(d) Area of Violation: GENERATOR -GENERAL REQUIREMENTS Date Violation Determined: 12/17/1997 Actual Date Achieved Compliance: 12/19/1997 Enforcement Action: WRITTEN INFORMAL Enforcement Action Date: 12/17/1997 Penalty Type: Not reported Regulation Violated: 630(7) Area of Violation: GENERATOR -GENERAL REQUIREMENTS Date Violation Determined: 12/17/1997 Actual Date Achieved Compliance: 01/24/1998 Enforcement Action: WRITTEN INFORMAL Enforcement Action Date: 12/17/1997 Penalty Type: Not reported Regulation Violated: 210 Area of Violation: GENERATOR -GENERAL REQUIREMENTS Date Violation Determined: 12/17/1997 Actual Date Achieved Compliance: 02/05/1998 Enforcement Action: WRITTEN INFORMAL Enforcement Action Date: 12/17/1997 Penalty Type: Not reported Regulation Violated: 060(2) Area of Violation: GENERATOR -GENERAL REQUIREMENTS Date Violation Determined: 12/17/1997 Actual Date Achieved Compliance: 12/30/1997 Enforcement Action: WRITTEN INFORMAL Enforcement Action Date: 12/17/1997 Penalty Type: Not reported Regulation Violated: 220 Area of Violation: GENERATOR -GENERAL REQUIREMENTS Date Violation Determined: 12/17/1997 Actual Date Achieved Compliance: 02/05/1998 Enforcement Action: WRITTEN INFORMAL Enforcement Action Date: 12/17/1997 Penalty Type: Not reported Regulation Violated: 630(6) TC16610612s Page19 Map ID E:=77FINDINGSSDirection Distance Distance (ft.) Elevation Site TECHNIGRAPHIC SYSTEMS INC (Continued) Area of Violation: GENERATOR -GENERAL REQUIREMENTS Date Violation Determined: 12/17/1997 Actual Date Achieved Compliance: 12/23/1997 Enforcement Action: WRITTEN INFORMAL Enforcement Action Date: 12/17/1997 Penalty Type: Not reported There are 6 violation record(s) reported at this site: Evaluation Area of Violation Compliance Evaluation Inspection GENERATOR -GENERAL REQUIREMENTS GENERATOR -GENERAL REQUIREMENTS GENERATOR -GENERAL REQUIREMENTS GENERATOR -GENERAL REQUIREMENTS GENERATOR -GENERAL REQUIREMENTS GENERATOR -GENERAL REQUIREMENTS FINDS: Other Pertinent Environmental Activity Identified at Site: RESOURCE CONSERVATION AND RECOVERY ACT INFORMATION SYSTEM NY MANIFEST: Document ID: NYB7115121 Manifest Status: K Transl State ID: 11282PNY Trans2 State ID: 12134PNY Generator Ship Date: 961007 Transl Recv Date: 961007 Trans2 Recv Date: Not reported TSD Site Recv Date: 961025 Part A Recv Date: Not reported Part B Recv Date: 961202 Generator EPA ID: WAR000003467 Transl EPA ID: NYD980769947 Trans2 EPA ID: Not reported TSDF ID: NYD045604964 Waste Code(s) Description- D002 - NON -LISTED CORROSIVE WASTES Waste Code: D002 - NON -LISTED CORROSIVE WASTES Quantity: 00060 Units: G - Gallons (liquids only)* (8.3 pounds) Number of Containers: 006 Container Type: DF - Fiberboard or plastic drums (glass) Handling Method: R Specific Gravity: 120 Waste Code: Not reported Quantity: Not reported Units: Not reported Number of Containers: Not reported Container Type: Not reported Handling Method: Not reported Specific Gravity: Not reported Waste Code: Not reported Quantity: Not reported Units: Not reported Number of Containers: Not reported Container Type: Not reported Handling Method: Not reported EDR ID Number Database(s) EPA ID Number 1001031639 Date of Compliance 19971219 19980124 19980205 19971230 19980205 19971223 TC1661061.2s Page 20 Map ID Direction Distance Distance (ft.) Elevation Site �( MAP FINDINGS EDR ID Number Database(s) EPA ID Number TECHNIGRAPHIC SYSTEMS INC (Continued) 1001031639 Specific Gravity: Not reported Waste Code: Not reported Quantity: Not reported Units: Not reported Number of Containers: Not reported Container Type: Not reported Handling Method: Not reported Specific Gravity: Not reported Waste Code: Not reported Quantity: Not reported Units: Not reported Number of Containers: Not reported Container Type: Not reported Handling Method: Not reported Specific Gravity: Not reported Waste Code: Not reported Quantity: Not reported Units: Not reported Number of Containers: Not reported Container Type: Not reported Handling Method: Not reported Specific Gravity: Not reported Year: 96 Facility Type: GEN EPA ID: WAR000003467 Facility Name: TECHNIGRAPHIC SYSTEMS INC Facility Address: 111 JAMES STREET Facility City: EDMONDS Facility Zip 4: Not reported Country: Not reported County: Not reported Mailing Name: TECHNIGRAPHIC SYSTEMS INC Mailing Contact: RICHARD C GOOD JR Mailing Address: 111 JAMES STREET Mailing City: EDMONDS Mailing State: WA Mailing Zip: 98020 Mailing Zip4: Not reported Mailing Country: Not reported Mailing Phone: 206-672-2963 Document ID: NYB7116021 Manifest Status: C Trans1 State ID: Not reported Trans2 State ID: Not reported Generator Ship Date: 970418 Trans1 Recv Date: 970418 Trans2 Recv Date: Not reported TSD Site Recv Date: 970430 Part A Recv Date: Not reported Part B Recv Date: 970509 Generator EPA ID: WAR000003467 Trans1 EPA ID: NYD980769947 Trans2 EPA ID: Not reported TSDF ID: NYD045604964 Waste Code(s) Description: D002 - NON -LISTED CORROSIVE WASTES Waste Code: D002 - NON -LISTED CORROSIVE WASTES TC1661061.2s Page 21 Map ID MAP FINDINGS Direction Distance Distance (ft.) Elevation Site TECHNIGRAPHIC SYSTEMS INC (Continued) Quantity: 00045 Units: G - Gallons (liquids only)* (8.3 pounds) Number of Containers: 003 Container Type: DF - Fiberboard or plastic drums (glass) Handling Method: R Specific Gravity: 120 Waste Code: Not reported Quantity: Not reported Units: Not reported Number of Containers: Not reported Container Type: Not reported Handling Method: Not reported Specific Gravity: Not reported Waste Code: Not reported Quantity: Not reported Units: Not reported Number of Containers: Not reported Container Type: Not reported Handling Method: Not reported Specific Gravity: Not reported Waste Code: Not reported Quantity: Not reported Units: Not reported Number of Containers: Not reported Container Type: Not reported Handling Method: Not reported Specific Gravity: Not reported Waste Code: Not reported Quantity: Not reported Units: Not reported Number of Containers: Not reported Container Type: Not reported Handling Method: Not reported Specific Gravity: Not reported Waste Code: Not reported Quantity: Not reported Units: Not reported Number of Containers: Not reported Container Type: Not reported Handling Method: Not reported Specific Gravity: Not reported Year: 97 Facility Type: GEN EPA ID: WAR000003467 Facility Name: TECHNIGRAPHIC SYSTEMS INC Facility Address: 111 JAMES STREET Facility City: EDMONDS Facility Zip 4: Not reported Country: Not reported County: Not reported Mailing Name: TECHNIGRAPHIC SYSTEMS INC Mailing Contact: RICHARD C GOOD JR Mailing Address: 111 JAMES STREET Mailing City: EDMONDS Mailing State: WA Mailing Zip: 98020 Mailing Zip4: Not reported EDR ID Number Database(s) EPA ID Number 1001031639 TC1661061.2s Page 22 Map ID Direction Distance Distance (ft.) Elevation Site E:::IM�APFIND�INGS EDR ID Number Database(s) EPA ID Number TECHNIGRAPHIC SYSTEMS INC (Continued) 1001031639 Mailing Country: Not reported Mailing Phone: 206-672-2963 Document ID: NYB7115634 Manifest Status: K Trans1 State ID: 11283PNY Trans2 State ID: Not reported Generator Ship Date: 970113 Trans1 Recv Date: 970113 Trans2 Recv Date: Not reported TSD Site Recv Date: 970211 Part A Recv Date: Not reported Part B Recv Date: 970313 Generator EPA ID: WAR000003467 Trans1 EPA ID: NYD980769947 Trans2 EPA ID: Not reported TSDF ID: NYD045604964 Waste Code(s) Description: D002 - NON -LISTED CORROSIVE WASTES Waste Code: D002 - NON -LISTED CORROSIVE WASTES Quantity: 00075 Units: G - Gallons (liquids only)* (8.3 pounds) Number of Containers: 005 Container Type: DF - Fiberboard or plastic drums (glass) Handling Method: R Specific Gravity: 120 Waste Code: Not reported Quantity: Not reported Units: Not reported Number of Containers: Not reported Container Type: Not reported Handling Method: Not reported Specific Gravity: Not reported Waste Code: Not reported Quantity: Not reported Units: Not reported Number of Containers: Not reported Container Type: Not reported Handling Method: Not reported Specific Gravity: Not reported Waste Code: Not reported Quantity: Not reported Units: Not reported Number of Containers: Not reported Container Type: Not reported Handling Method: Not reported Specific Gravity: Not reported Waste Code: Not reported Quantity: Not reported Units: Not reported Number of Containers: Not reported Container Type: Not reported Handling Method: Not reported Specific Gravity: Not reported Waste Code: Not reported Quantity: Not reported Units: Not reported Number of Containers: Not reported TC1661061.2s Page 23 Map ID MAP FINDINGS Direction Distance Distance (ft.) Elevation Site TECHNIGRAPHIC SYSTEMS INC (Continued) Container Type: Not reported Handling Method: Not reported Specific Gravity: Not reported Year: 97 Facility Type: GEN EPA ID: WAR000003467 Facility Name: TECHNIGRAPHIC SYSTEMS INC Facility Address: 111 JAMES STREET Facility City: EDMONDS Facility Zip 4: Not reported Country: Not reported County: Not reported Mailing Name: TECHNIGRAPHIC SYSTEMS INC Mailing Contact: RICHARD C GOOD JR Mailing Address: 111 JAMES STREET Mailing City: EDMONDS Mailing State: WA Mailing Zip: 98020 Mailing Zip4: Not reported Mailing Country: Not reported Mailing Phone: 206-672-2963 24 ALASKA NORTHWEST PUBLISHING CO WNW 130 2ND AVE S 1/8-1/4 EDMONDS, WA 98020 1056 ft. Relative: RCRAInfo: Lower Owner: ALASKA NORTHWEST PUBLISHING CO EPA ID: WAD009490061 Actual: Contact: HAROLD SONDERLAND 25 ft. (425) 774-9009 Classification: Small Quantity Generator TSDF Activities: Not reported Violation Status: No violations found EDR ID Number Database(s) EPA ID Number 1001031639 RCRA-SQG 1000382676 FINDS WAD009490061 CSCSL NFA VCP FINDS: Other Pertinent Environmental Activity Identified at Site: RESOURCE CONSERVATION AND RECOVERY ACT INFORMATION SYSTEM WASH I NGTON-DEPARTMENT OF ECOLOGY FACILITY/SITE IDENTIFICATION SYSTEM WA NFA: Facility/Site Id: Ecology Status Independent Status Code WARM Bin Number: NFA Code: NFA Date: Program Plan Code: VCP: Facility ID WARM BIN # : Ecology Status NFA Code: Program Plan Code: 72376856 Independent Remedial Action Final Independant RA Report received Not reported NFA after Assesment IRAP or VCP 2/4/2002 00:00:00 4 72376856 Not reported Independent Remedial Action NFA after assessment, IRAP, or VCP 4 TC16610612s Page 24 Map ID Direction Distance Distance (ft.) Elevation Site E25 WNW 1/8-1/4 1061 ft. Relative: Lower Actual: 26 ft. MAP FINDINGS EDMONDS OFFICE SITE (FUTURE OFFICE BLDG) 131 2ND AVE S EDMONDS, WA 98020 Site 2 of 4 in cluster E WA NFA: Facility/Site Id : Ecology Status Independent Status Code WARM Bin Number: NFA Code: NFA Date: Program Plan Code: 10461932 Independent Remedial Action Final Independant RA Report received Not reported NFA after Assesment IRAP or VCP 12/20/2001 00:00:00 4 UST: Facility ID: 10461932 Site ID: 584825 Install Date: 1900-01-02 00:00:00 Capacity: 111 TO 1,000 GALLONS Status: Exempt Tank Name: 3 Substance: LEADED GASOLINE Compartment #: 1 Ecology Region: North Western Facility ID: 10461932 Site ID: 584825 Install Date: 1900-01-02 00:00:00 Capacity: 111 TO 1,000 GALLONS Status: Exempt Tank Name: 1 Substance: DIESEL Compartment #: 1 Ecology Region: North Western Facility ID: 10461932 Site ID: 584825 Install Date: 1900-01-02 00:00:00 Capacity: 111 TO 1,000 GALLONS Status: Exempt Tank Name: 4 Substance: LEADED GASOLINE Compartment #: 1 Ecology Region: North Western Facility ID: 10461932 Site ID: 584825 Install Date: 1900-01-02 00:00:00 Capacity: 111 TO 1,000 GALLONS Status: Exempt Tank Name: 2 Substance: DIESEL Compartment #: 1 Ecology Region: North Western EDR ID Number Database(s) EPA ID Number UST 0003800982 CSCSL NFA N/A TC16610612s Page 25 Map ID HIAP FINDINGS Direction Distance Distance (ft.) EDR ID Number Elevation Site Database(s) EPA ID Number E26 EDMONDS OFFICE SITE ICR S105124726 WNW 131 2ND AVE. S. N/A 1/8-1/4 EDMONDS, WA 98020 1061 ft. Site 3 of 4 in cluster E Relative: Lower WA ICR: Date Ecology Received Report: 08/18/2001 Actual: Contaminants Found at Site: Petroleum products 26 ft. Media Contaminated: Soil Cause of Contamination: Tank Region: North Western Type of Report Ecology Received: Final cleanup report Site Register Issue: 98-42 County Code: 31.00000 Contact: Not reported Report Title: Independent Remedial Action E27 EDMONDS OFFICE SITE FINDS 1007076223 WNW 131 2ND AVE S VCP 110015528758 1/8-1/4 EDMONDS, WA 98020 1061 ft. Site 4 of 4 in cluster E Relative: Lower FINDS: Other Pertinent Environmental Activity Identified at Site: Actual: WASH I NGTON-DEPARTMENT OF ECOLOGY FACILITY/SITE IDENTIFICATION SYSTEM 26 ft. VCP: Facility ID : 10461932 WARM BIN # : Not reported Ecology Status : Independent Remedial Action NFA Code : NFA after assessment, IRAP, or VCP Program Plan Code 4 28 EDMONDS AUTOMOTIVE SERVICE INC UST 0000797970 NNW 218 3RD AVE NORTH N/A 1/8-1/4 EDMONDS, WA 98020 1089 ft. Relative: UST: Lower Facility ID: 1856697 Site ID: 2427 Actual Install Date: 1969-01-01 00:00:00 50 ft. Capacity: 111 to 1,100 Gallons Status: Removed Tank Name: 1 Substance: USED OIL/WASTE OIL Compartment #: 1 Ecology Region: North Western Facility ID: 1856697 Site ID: 2427 Install Date: 1969-01-01 00:00:00 Capacity: 111 to 1,100 Gallons Status: Removed Tank Name: 1 Substance: Not reported Compartment #: 2 Ecology Region: North Western TC1661061.2s Page 26 Map ID MAP FINDINGS Direction Distance Distance (ft.) EDR ID Number Elevation Site Database(s) EPA ID Number EDMONDS AUTOMOTIVE SERVICE INC (Continued) 0000797970 Facility ID: 1856697 Site ID: 2427 Install Date: 1969-01-01 00:00:00 Capacity: 111 to 1,100 Gallons Status: Removed Tank Name: 1 Substance: Not reported Compartment #: 3 Ecology Region: North Western G29 MAR VEL MARBLE LLC RCRA-SQG 1004794103 NW 202 MAIN ST FINDS WAD988490363 1/8-1/4 EDMONDS, WA 98020 1095 ft. Site 1 of 3 in cluster G Relative: Lower RCRAInfo: Owner: MAR VEL MARBLE LLC Actual: (425) 778-1400 28 ft. EPA ID: WAD988490363 Contact: Not reported Classification: Conditionally Exempt Small Quantity Generator TSDF Activities: Not reported Violation Status: No violations found FINDS: Other Pertinent Environmental Activity Identified at Site: RESOURCE CONSERVATION AND RECOVERY ACT INFORMATION SYSTEM WASH I NGTON-DEPARTMENT OF ECOLOGY FACILITY/SITE IDENTIFICATION SYSTEM G30 U S POSTAL SERVICE - EDMONDS UST 0003604741 NW 201 MAIN ST N/A 118-114 EDMONDS, WA 98020 1100 ft. Site 2 of 3 in cluster G Relative: Lower UST: Facility ID: 86553376 Actual: Site ID: 493806 28 ft. Install Date: 1900-01-02 00:00:00 Capacity: Not reported Status: Exempt Tank Name: 1 Substance: HEATING FUEL Compartment #: 1 Ecology Region: North Western TC1661061.2s Page 27 Map ID MAP FINDINGS Direction Distance Distance (ft.) EDR ID Number Elevation Site Database(s) EPA ID Number G31 U S POSTAL SERVICE - EDMONDS LUST S103917924 NW 201 MAIN ST N/A 1/8-1/4 EDMONDS, WA 98020 1100 ft. Site 3 of 3 in cluster G Relative: Lower LUST: Facility ID: 493806 Actual: Facility Status: Cleanup Started 28 ft. Release ID: 493817 Release Notification Date: 3/22/1999 00:00:00 Release Status Date: 3/22/1999 00:00:00 Alternate Name: U S POSTAL SERVICE - EDMONDS Lat/Lon: 47.811729 /-122.381547 Affected Media: Soil FSID: 86553376 Site Response Code Unit: NW Facility ID: 493806 Facility Status: Reported Cleaned Up Release ID: 493817 Release Notification Date: 3/22/1999 00:00:00 Release Status Date: 5/28/1999 00:00:00 Alternate Name: U S POSTAL SERVICE - EDMONDS Lat/Lon: 47.811729 /-122.381547 Affected Media: Soil FSID: 86553376 Site Response Code Unit: NW 32 5TH AVE DRY CLEANERS RCRA-SQG 1004794031 South 540 5TH AVE S FINDS WAD988484101 1/8-1/4 EDMONDS, WA 98020 DRYCLEANERS 1155 ft. Relative: RCRAInfo: Higher Owner: 5TH AVE DRY CLEANERS (425)672-0450 Actual: EPA ID: WAD988484101 68 ft. Contact: HYEUNG YOUN (425)672-0450 Classification: Conditionally Exempt Small Quantity Generator TSDF Activities: Not reported Violation Status: No violations found FINDS: Other Pertinent Environmental Activity Identified at Site: RESOURCE CONSERVATION AND RECOVERY ACT INFORMATION SYSTEM WASH I NGTON-DEPARTMENT OF ECOLOGY FACILITY/SITE IDENTIFICATION SYSTEM Drycleaners: Facility ID: WAD988484101 Facility Addr 2 : Not reported NAICS Code: 81232 Fs Id : 64382488 Tax Reg Nbr: 602218871 Business Type : Dry Cleaner Mail Name: 5th Ave Dry Cleaners Mail Address : 540 5TH AVE S EDMONDS, WA 98020 TC1661061.2s Page 28 Map ID MAP FINDINGS Direction Distance Distance (ft.) Elevation Site 5TH AVE DRY CLEANERS (Continued) Mail Country: Legal Org Name: Legal Person Name Legal Address : Legal Country: Legal Phone Nbr: Legal Effective Date Legal Organization Type Land Org Name: Land Person Name Land Address: Land Country: Land Phone Nbr: Land Organization Type Operator Org Name : Operator Person Name Operator Address : Operator Country : Operator Phone Nbr: Operator Effective Date Operator Organization Type Site Contact Country: Site Contact Name: Operator Address : Site Contact Phone Nbr Site Contact Email : Form Contact Name Form Contact Address Form Contact Country : Form Contact Phone Nbr Form Contact Email : Gen Status Cd : Monthly Generation Batch Generation : One Time Generation: Transports Own Waste Transports Others Waste Recycler Onsite : Transfer Facility Pbr: Tbg Mixed Radioactive Importer : Tsdr Facility Immediate Recycler : Gen Dang Fuel: Gen Market To Burner: Gen Other Marketers Utility Boiler Burner *- Industry Boiler Burner Furnace Burner: Smelter Deferral UNITED STATES 5th Ave Dry Cleaners Hyeung T Youn 540 5TH AVE S EDMONDS, WA 98020 UNITED STATES (425)672-0450 11 /29/2003 Private Wilson Investments Not reported 403 Howell Way EDMONDS, WA 98020 UNITED STATES (425)672-1100 Private Not reported Hyeung T Youn 540 5TH AVE S EDMONDS, WA 98020 UNITED STATES (425)672-0450 Not reported Private UNITED STATES Hyeung T Youn 540 5TH AVE S EDMONDS, WA 98020 (425)672-0450 Not reported Hyeung T Youn 540 5TH AVE S EDMONDS, WA 98020 UNITED STATES 425672-0450 Not reported SQG No No No No Yes No No No No No No No No No No No No No No No EDR ID Number Database(s) EPA ID Number 1004794031 TC1661061.2s Page 29 Map ID MAP FINDINGS Direction Distance Distance (ft.) Elevation Site 5TH AVE DRY CLEANERS (Continued) Small Qty Exemption: No Other Exemption : Not reported Uw Battery Gen: No Uw Thermostats Gen: No Uw Mercury Gen: No Uw Lamps Gen: No Uw Battery Accum : No Uw Thermostats Accum : No Uw Mercury Accum : No Uw Lamps Accum : No Uw Destination Facility : No Off Spec Utility Boiler: No Off Spec Industry Boiler: No Off Spec Furnace: No Used Oil Transporter : No Used Oil Transfer Facility : No Used Oil Processor: No Used Oil Rerefiner : No Used Oil Fuel marketer directs shipments : No Used Oil Fuel marketer meets specs : No Comments: 1-12-06 Per Hyeung withdraw Site ID #. TW Federal Desc: Not reported State Desc: Not reported 33 ANDERSON MARINE CORP NW 100 RAILROAD AVE 1/4-112 EDMONDS, WA 98020 1642 ft. Relative: LUST: Lower Facility ID: Facility Status: Actual: Release ID: 8 ft. Release Notification Date: Release Status Date: Alternate Name: Lat/Lon: Affected Media: FS ID: Site Response Code Unit: Facility ID: Facility Status: Release ID: Release Notification Date: Release Status Date: Alternate Name: Lat/Lon: Affected Media: FS ID: Site Response Code Unit: 9761 Cleanup Started 4800 11/2/1993 00:00:00 6/1/1995 00:00:00 ANDERSON MARINE 47.812428 /-122.383994 Soil 32339542 NW 9761 Reported Cleaned Up 4800 11/2/1993 00:00:00 5/10/1996 00:00:00 ANDERSON MARINE 47.812428 /-122.383994 Soil 32339542 NW WA ICR: Date Ecology Received Report: 05/10/1996 Contaminants Found at Site: Petroleum products Media Contaminated: Soil Cause of Contamination: Tank Region: North Western Type of Report Ecology Received: Final cleanup report EDR ID Number Database(s) EPA ID Number 1004794031 LUST 0001126040 UST NIA ICR TC1661061.2s Page 30 Map ID MAP RNDINGS Direction Distance Distance (ft.) Elevation Site ANDERSON MARINE CORP (Continued) Site Register Issue: 94-37 County Code: 31.00000 Contact: Not reported Report Title: Not reported UST: Facility ID: 32339542 Site ID: 9761 Install Date: 1964-12-31 00:00:00 Capacity: 111 to 1,100 Gallons Status: Closed in Place Tank Name: 2 Substance: UNLEADED GASOLINE Compartment #: 1 Ecology Region: North Western Facility ID: 32339542 Site ID: 9761 Install Date: 1964-12-31 00:00:00 Capacity: 111 to 1,100 Gallons Status: Closed in Place Tank Name: 1 Substance: UNLEADED GASOLINE Compartment #: 1 Ecology Region: North Western 34 EDMONDS WA LINE SEG 50 PRINT 477 WNW 211 RAILROAD AVE 1/4-1/2 EDMONDS, WA 98022 1745 ft. Relative: Lower Actual 8 ft. LUST: Facility ID: Facility Status: Release ID: Release Notification Date: Release Status Date: Alternate Name: Lat/Lon: Affected Media: FS ID: Site Response Code Unit: Facility ID: Facility Status: Release ID: Release Notification Date: Release Status Date: Alternate Name: Lat/Lon: Affected Media: FS ID: Site Response Code Unit: Facility ID: Facility Status: Release ID: Release Notification Date: Release Status Date: 9410 Cleanup Started 2584 9/5/1990 00:00:00 9/15/1992 00:00:00 AMTRAK DEPOT EDMONDS 47.810888 /-122.384682 Ground Water 29652492 NW 9410 Cleanup Started 2584 9/5/1990 00:00:00 9/15/1992 00:00:00 AMTRAK DEPOT EDMONDS 47.810888 /-122.384682 Soil 29652492 NW 9410 Reported Cleaned Up 2584 9/5/1990 00:00:00 6/14/1996 00:00:00 EDR ID Number Database(s) EPA ID Number 0001126040 LUST 0001125895 UST N/A TC1661061.2s Page 31 Map ID MAP FINDINGS Direction - Distance Distance (ft.) Elevation Site H35 West 114-1/2 1857 ft. Relative: Lower Actual 9 ft. EDMONDS WA LINE SEG 50 PRINT 477 (Continued) Alternate Name: Lat/Lon: Affected Media: FS ID: Site Response Code Unit: Facility ID: Facility Status: Release ID: Release Notification Date: Release Status Date: Alternate Name: Lat/Lon: Affected Media: FS ID: Site Response Code Unit: AMTRAK DEPOT EDMONDS 47.810888 /-122.384682 Ground Water 29652492 NW 9410 Reported Cleaned Up 2584 9/5/1990 00:00:00 6/14/1996 00:00:00 AMTRAK DEPOT EDMONDS 47.810888 /-122.384682 Soil 29652492 NW UST: Facility ID: 29652492 Site ID: 9410 Install Date: 1964-12-31 00:00:00 Capacity: Not reported Status: Exempt Tank Name: EDMA Substance: HEATING FUEL Compartment #: 1 Ecology Region: North Western EDMONDS PORT W DAYTON 120-190 W DAYTON ST EDMONDS, WA 98020 Site 1 of 3 in cluster H EDR ID Number Database(s) EPA ID Number 0001125895 FINDS 1007080256 VCP 110015569749 INST CONTROL FINDS: Other Pertinent Environmental Activity Identified at Site: WASH I NGTON-DEPARTMENT OF ECOLOGY FACILITY/SITE IDENTIFICATION SYSTEM WA INSTUTIONAL CONTROL: Facility Site Id : 2796 Nfa Code : Not reported Nfa Date : Not reported Decision Document Id : 179 Document Type : VCP Filing Num (county) : Not reported Filing Date : 9/13/2001 00:00:00 Inst Control Doc Id : 1 IC Document Type: 6 Status Of IC Doc Type : Rescinded County Filing # For Individual IC Doc: Not reported Filing Date Of Individual IC Doc: 9/13/2001 00:00:00 Status Date : 4/14/2003 00:00:00 IC Category Id : 326 IC Category : Maintenance Requirements Comments: RC and NFA was rescinded because petroleum product was discovered flowing in a nearby marsh area. RC and NFA was rescinded because petroleum product was discovered flowing in a nearby marsh area. RC and NFA was rescinded because petroleum product was discovered flowing in a nearby marsh area. TC1661061.2s Page 32 Map ID MAP FINDINGS Direction Distance Distance (ft.) EDR ID Number Elevation Site Database(s) EPA ID Number EDMONDS PORT W DAYTON (Continued) 1007080256 NFA Desc : Not reported IC Doc Type: VCP IC Doc Status : Rescinded IC Category Desc : Maintenance Requirements Facility Site Id : 2796 Nfa Code : Not reported Nfa Date : Not reported Decision Document Id : 179 Document Type: VCP Filing Num (county) : Not reported Filing Date : 9/13/2001 00:00:00 Inst Control Doc Id : 1 IC Document Type: 6 Status Of IC Doc Type: Rescinded County Filing # For Individual IC Doc : Not reported Filing Date Of Individual IC Doc: 9/13/2001 00:00:00 Status Date : 4/14/2003 00:00:00 IC Category Id : 327 IC Category : Property Use Restriction Comments: RC and NFA was rescinded because petroleum product was discovered flowing in a nearby marsh area. RC and NFA was rescinded because petroleum product was discovered flowing in a nearby marsh area. RC and NFA was rescinded because petroleum product was discovered flowing in a nearby marsh area. NFA Desc : Not reported IC Doc Type: VCP IC Doc Status : Rescinded IC Category Desc : Property Use Restriction Facility Site Id : 2796 Nfa Code: Not reported Nfa Date : Not reported Decision Document Id : 179 Document Type : VCP Filing Num (county) : Not reported Filing Date : 9/13/2001 00:00:00 Inst Control Doc Id : 1 IC Document Type : 6 Status Of IC Doc Type : Rescinded County Filing # For Individual IC Doc. Not reported Filing Date Of Individual IC Doc: 9/13/2001 00:00:00 Status Date : 4/14/2003 00:00:00 IC Category Id : 328 IC Category: Soil Restriction Comments: RC and NFA was rescinded because petroleum product was discovered flowing in a nearby marsh area. RC and NFA was rescinded because petroleum product was discovered flowing in a nearby marsh area. RC and NFA was rescinded because petroleum product was discovered flowing in a nearby marsh area. NFA Desc : Not reported IC Doc Type: VCP IC Doc Status : Rescinded IC Category Desc : Soil Restriction TC1661061.2s Page 33 Map ID MAP FINDINGS Direction Distance Distance (ft.) EDR ID Number Elevation Site Database(s) EPA ID Number EDMONDS PORT W DAYTON (Continued) 1007080256 VCP: Facility ID : 2796 WARM BIN # : 5 Ecology Status : Independent Remedial Action NFA Code: Not reported Program Plan Code: 4 Facility ID : 2796 WARM BIN # : 5 Ecology Status : Independent Remedial Action NFA Code : Not reported Program Plan Code: 4 Facility ID : 2796 WARM BIN # : 5 Ecology Status : Independent Remedial Action NFA Code: Not reported Program Plan Code: 4 Facility ID : 2796 WARM BIN # : 5 Ecology Status : Independent Remedial Action NFA Code: Not reported Program Plan Code: 4 Facility ID : 2796 WARM BIN # : 5 Ecology Status : Independent Remedial Action NFA Code: Not reported Program Plan Code - 4 H36 EDMONDS PORT W DAYTON CSCSL S102364223 West 120-190 W DAYTON ST N/A 1/4-1/2 EDMONDS, WA 98020 1857 ft. Site 2 of 3 in cluster H Relative: Lower SHWS: Facility ID: 2796 Actual: MTBE Code: Not reported 9 ft. Prog plan code : 4 UXO Code: Not reported Lat/Long : 47.82638 /-122.07416000000001 Responsible Unit: Northwest Region Ecology Site Status relative to the MTCA cleanup process: Independent Remedial Action Independent Site Status - those sites undergoing an independent cleanup: Final Independent Remedial Action Report received WARM Bin Number indicates the outcome of the Washington Ranking Model (WARM): Affected Media Status: C (Confirmed) - The presence of hazardous substances above MTCA cleanup levels has been confirmed by laboratory analysis (or field determination in the case of petroleum contamination) Affected Media : Soil Arsenic Code: Not reported Base/Neutral/Acid Organics: Not reported Halogenated Organic Compounds: Suspected to be present EPA Priority Pollutants - Metals and Cyanide: Not reported Metals - Other non -priority pollutant medals: Not reported TC1661061.2s Page 34 Map ID Direction Distance Distance (ft.) Elevation Site EDMONDS PORT W DAYTON (Continued) Polychlorinated biPhenyls (PCBs): Pesticides: Petroleum Products: Phenolic Compounds: Non -Halogenated Solvents: Dioxin: Polynuclear Aromatic Hydrocarbons (PAH): Reactive Wastes: Corrosive Wastes: Radioactive Wastes: Asbestos: Conventional Contaminants, Organic: Conventional Contaminants, Inorganic: LaULong : 47° 49' 34" / 122" 4' 26" Media Id: Media Type Description Media Status Description Tibutyl Tin Contaminant Group Bioassay/benthic Failures Contam group : Wood Debris Contaminant Group: Other Deleterious Substance Group MAP FINDINGS Not reported Not reported Confirmed above MTCA cleanup levels Not reported Confirmed above MTCA cleanup levels Not reported Confirmed above MTCA cleanup levels Not reported Not reported Not reported Not reported Not reported Not reported 4515 Soil Confirmed Not reported Not reported Not reported Not reported Facility ID: 2796 MTBE Code: Not reported Prog plan code : 4 UXO Code: Not reported LaULong : 47.82638 /-122.07416000000001 Responsible Unit: Northwest Region Ecology Site Status relative to the MTCA cleanup process EDR ID Number Database(s) EPA ID Number S102364223 Independent Remedial Action Independent Site Status - those sites undergoing an independent cleanup: Final Independent Remedial Action Report received WARM Bin Number indicates the outcome of the Washington Ranking Model (WARM): Affected Media Status: C (Confirmed) - The presence of hazardous substances above MTCA cleanup levels has been confirmed by laboratory analysis (or field determination in the case of petroleum contamination) Affected Media : Ground Water Arsenic Code: Not reported Base/Neutral/Acid Organics: Not reported Halogenated Organic Compounds: Suspected to be present EPA Priority Pollutants - Metals and Cyanide: Not reported Metals - Other non -priority pollutant medals: Not reported Polychlorinated biPhenyls (PCBs): Not reported Pesticides: Not reported Petroleum Products: Confirmed above MTCA cleanup levels Phenolic Compounds: Not reported Non -Halogenated Solvents: Suspected to be present Dioxin: Not reported Polynuclear Aromatic Hydrocarbons (PAH): Suspected to be present Reactive Wastes: Not reported Corrosive Wastes: Not reported Radioactive Wastes: Not reported Asbestos: Not reported Conventional Contaminants, Organic: Not reported Conventional Contaminants, Inorganic: Not reported LaULong : 47` 49' 34- / 122° 4' 26" Media Id : 4516 TC1661061.2s Page 35 Map ID Direction Distance Distance (ft.) Elevation Site MAP FINDINGS EDR ID Number Database(s) EPA ID Number EDMONDS PORT W DAYTON (Continued) S102364223 Media Type Description : Groundwater Media Status Description : Confirmed Tibutyl Tin Contaminant Group : Not reported Bioassay/benthic Failures Contam group: Not reported Wood Debris Contaminant Group: Not reported Other Deleterious Substance Group : Not reported Facility ID: 2796 MTBE Code: Not reported Prog plan code : 4 UXO Code: Not reported Lat/Long : 47.82638 /-122.07416000000001 Responsible Unit: Northwest Region Ecology Site Status relative to the MTCA cleanup process Independent Remedial Action Independent Site Status - those sites undergoing an independent cleanup: Final Independent Remedial Action Report received WARM Bin Number indicates the outcome of the Washington Ranking Model (WARM): Affected Media Status: S (Suspected) - Due to preliminary investigations or the nature of business operations or manufacturing processes, certain contaminants are suspected to be present at the site Affected Media : Surface Water Arsenic Code: Not reported Base/Neutral/Acid Organics: Not reported Halogenated Organic Compounds: Suspected to be present EPA Priority Pollutants - Metals and Cyanide: Not reported Metals - Other non -priority pollutant medals: Not reported Polychlorinated biPhenyls (PCBs): Not reported Pesticides: Not reported Petroleum Products: Suspected to be present Phenolic Compounds: Not reported Non -Halogenated Solvents: Suspected to be present Dioxin: Not reported Polynuclear Aromatic Hydrocarbons (PAH): Suspected to be present Reactive Wastes: Not reported Corrosive Wastes: Not reported Radioactive Wastes: Not reported Asbestos: Not reported Conventional Contaminants, Organic: Not reported Conventional Contaminants, Inorganic: Not reported Lat/Long : 47° 49' 34" / 122` 4' 26" Media Id: 4517 Media Type Description : Surface Water Media Status Description : Suspected Tibutyl Tin Contaminant Group : Not reported Bioassay/benthic Failures Contam group : Not reported Wood Debris Contaminant Group: Not reported Other Deleterious Substance Group : Not reported Facility ID: 2796 MTBE Code: Not reported Prog plan code : 4 UXO Code: Not reported Lat/Long : 47.82638 /-122.07416000000001 Responsible Unit: Northwest Region Ecology Site Status relative to the MTCA cleanup process: Independent Remedial Action TC1661061.2s Page 36 Map ID MAP FINDINGS Direction Distance Distance (ft.) Elevation Site EDMONDS PORT W DAYTON (Continued) Independent Site Status - those sites undergoing an independent cleanup: EDR ID Number Database(s) EPA ID Number S102364223 Final Independent Remedial Action Report received WARM Bin Number indicates the outcome of the Washington Ranking Model (WARM): Affected Media Status: S (Suspected) - Due to preliminary investigations or the nature of business operations or manufacturing processes, certain contaminants are suspected to be present at the site Affected Media : Air Arsenic Code: Not reported Base/Neutral/Acid Organics: Not reported Halogenated Organic Compounds: Suspected to be present EPA Priority Pollutants - Metals and Cyanide: Not reported Metals - Other non -priority pollutant medals: Not reported Polychlorinated biPhenyls (PCBs): Not reported Pesticides: Not reported Petroleum Products: Suspected to be present Phenolic Compounds: Not reported Non -Halogenated Solvents: Suspected to be present Dioxin: Not reported Polynuclear Aromatic Hydrocarbons (PAH): Suspected to be present Reactive Wastes: Not reported Corrosive Wastes: Not reported Radioactive Wastes: Not reported Asbestos: Not reported Conventional Contaminants, Organic: Not reported Conventional Contaminants, Inorganic: Not reported Lat/Long : 47° 49" 34"/ 122° 4' 26" Media Id: 4518 Media Type Description : Air Media Status Description : Suspected Tibutyl Tin Contaminant Group : Not reported Bioassay/benthic Failures Contam group : Not reported Wood Debris Contaminant Group : Not reported Other Deleterious Substance Group : Not reported Facility ID: 2796 MTBE Code: Not reported Prog plan code: 4 UXO Code: Not reported Lat/Long : 47.82638 /-122.07416000000001 Responsible Unit: Northwest Region Ecology Site Status relative to the MTCA cleanup process: Independent Remedial Action Independent Site Status - those sites undergoing an independent cleanup: Final Independent Remedial Action Report received WARM Bin Number indicates the outcome of the Washington Ranking Model (WARM): Affected Media Status: S (Suspected) - Due to preliminary investigations or the nature of business operations or manufacturing processes, certain contaminants are suspected to be present at the site Affected Media: Sediments Arsenic Code: Not reported Base/Neutral/Acid Organics: Not reported Halogenated Organic Compounds: Suspected to be present EPA Priority Pollutants - Metals and Cyanide: Not reported Metals - Other non -priority pollutant medals: Not reported Polychlorinated biPhenyls (PCBs): Not reported Pesticides: Not reported Petroleum Products: Suspected to be present TC1661061.2s Page 37 Map ID MAP FINDINGS Direction Distance Distance (ft.) EDR ID Number Elevation Site Database(s) EPA ID Number EDMONDS PORT W DAYTON (Continued) S102364223 Phenolic Compounds: Not reported Non -Halogenated Solvents: Suspected to be present Dioxin: Not reported Polynuclear Aromatic Hydrocarbons (PAH): Suspected to be present Reactive Wastes: Not reported Corrosive Wastes: Not reported Radioactive Wastes: Not reported Asbestos: Not reported Conventional Contaminants, Organic: Not reported Conventional Contaminants, Inorganic: Not reported Lat/Long : 47` 49" 34" / 122° 4' 26" Media Id: 4519 Media Type Description : Sediment Media Status Description : Suspected Tibutyl Tin Contaminant Group : Not reported Bioassay/benthic Failures Contam group : Not reported Wood Debris Contaminant Group: Not reported Other Deleterious Substance Group : Not reported H37 PORT OF EDMONDSIHARBOR SQUARE ICR S104873212 West 120-190 W. DAYTON ST. N/A 1/4-1/2 EDMONDS, WA 98020 1857 ft. Site 3 of 3 in cluster H Relative: Lower WA ICR: Date Ecology Received Report: 07/16/1999 Actual: Contaminants Found at Site: Petroleum products 9 ft. Polynuclear aromatic hydrocarbons Media Contaminated: Groundwater, Soil Cause of Contamination: Not reported Region: North Western Type of Report Ecology Received: Interim cleanup report Site Register Issue: 98-32 County Code: 31.00000 Contact: Not reported Report Title: Remedial Action 38 ALLEN RESIDENCE CSCSL 1008245329 ESE 810 WALNUT ST FINDS 110021365468 1/4-1/2 EDMONDS, WA 98020 2209 ft. Relative: FINDS: Equal Other Pertinent Environmental Activity Identified at Site: WASH I NGTOWDEPARTMENT OF ECOLOGY FACILITY/SITE IDENTIFICATION SYSTEM Actual: SHWS: 61 ft. Facility ID: 6777901 MTBE Code: Not reported Prog plan code : Not reported UXO Code: Not reported Lat/Long: 47.807222000000003 / -122.36930599999999 Responsible Unit: Northwest Region Ecology Site Status relative to the MTCA cleanup process: Independent Remedial Action Independent Site Status - those sites undergoing an independent cleanup: Independent Site Assessment of Interim Remedial Action Report received WARM Bin Number indicates the outcome of the Washington Ranking Model (WARM): TC1661061.2s Page 38 Map ID MAP FINDINGS Direction Distance Distance (ft.) EDR ID Number Elevation Site Database(s) EPA ID Number ALLEN RESIDENCE (Continued) 1008245329 Affected Media Status: C (Confirmed) -The presence of hazardous substances above MTCA cleanup levels has been confirmed by laboratory analysis (or field determination in the case of petroleum contamination) Affected Media : Soil Arsenic Code: Not reported Base/Neutral/Acid Organics: Not reported Halogenated Organic Compounds: Not reported EPA Priority Pollutants - Metals and Cyanide: Not reported Metals - Other non -priority pollutant medals: Not reported Polychlorinated biPhenyls (PCBs): Not reported Pesticides: Not reported Petroleum Products: Confirmed above MTCA cleanup levels Phenolic Compounds: Not reported Non -Halogenated Solvents: Not reported Dioxin: Not reported Polynuclear Aromatic Hydrocarbons (PAH): Not reported Reactive Wastes: Not reported Corrosive Wastes: Not reported Radioactive Wastes: Not reported Asbestos: Not reported Conventional Contaminants, Organic: Not reported Conventional Contaminants, Inorganic: Not reported Lat/Long : 47` 48' 25.999200000010799" / 122` 22' 9.5015999999805008" Media Id: 11307 Media Type Description : Soil Media Status Description : Confirmed Tibutyl Tin Contaminant Group : Not reported Bioassay/benthic Failures Contam group : Not reported Wood Debris Contaminant Group : Not reported Other Deleterious Substance Group : Not reported Facility ID: 6777901 MTBE Code: Not reported Prog plan code : Not reported UXO Code: Not reported Lat/Long: 47.807222000000003 / -122.36930599999999 Responsible Unit: Northwest Region Ecology Site Status relative to the MTCA cleanup process: Independent Remedial Action Independent Site Status - those sites undergoing an independent cleanup: Independent Site Assessment of Interim Remedial Action Report received WARM Bin Number indicates the outcome of the Washington Ranking Model (WARM): Affected Media Status: R (Remediated) - Contaminants have been treated, removed, or contained to meet cleanup levels established for the site. (This status determination may only be made by Ecology Affected Media : Surface Water Arsenic Code: Not reported Base/Neutral/Acid Organics: Not reported Halogenated Organic Compounds: Not reported EPA Priority Pollutants - Metals and Cyanide: Not reported Metals - Other non -priority pollutant medals: Not reported Polychlorinated biPhenyls (PCBs): Not reported Pesticides: Not reported Petroleum Products: Treated, removed, or contained Phenolic Compounds: Not reported Non -Halogenated Solvents: Not reported Dioxin: Not reported TC1661061.2s Page 39 Map ID MAP FINDINGS Direction Distance Distance (ft.) EDR ID Number Elevation Site Database(s) EPA ID Number ALLEN RESIDENCE (Continued) 1008245329 Polynuclear Aromatic Hydrocarbons (PAH): Not reported Reactive Wastes: Not reported Corrosive Wastes: Not reported Radioactive Wastes: Not reported Asbestos: Not reported Conventional Contaminants, Organic: Not reported Conventional Contaminants, Inorganic: Not reported Lat/Long : 47' 48' 25.999200000010799" / 122° 22' 9.5015999999805008- Media Id: 11306 Media Type Description : Surface Water Media Status Description : Remediated Tibutyl Tin Contaminant Group : Not reported Bioassay/benthic Failures Contam group : Not reported Wood Debris Contaminant Group : Not reported Other Deleterious Substance Group : Not reported Facility ID: 6777901 MTBE Code: Not reported Prog plan code : Not reported UXO Code: Not reported Lat/Long: 47.807222000000003 / -122.36930599999999 Responsible Unit: Northwest Region Ecology Site Status relative to the MTCA cleanup process: Independent Remedial Action Independent Site Status - those sites undergoing an independent cleanup: Independent Site Assessment of Interim Remedial Action Report received WARM Bin Number indicates the outcome of the Washington Ranking Model (WARM): Affected Media Status: C (Confirmed) - The presence of hazardous substances above MTCA cleanup levels has been confirmed by laboratory analysis (or field determination in the case of petroleum contamination) Affected Media : Ground Water Arsenic Code: Not reported Base/Neutral/Acid Organics: Not reported Halogenated Organic Compounds: Not reported EPA Priority Pollutants - Metals and Cyanide: Not reported Metals - Other non -priority pollutant medals: Not reported Polychlorinated biPhenyls (PCBs): Not reported Pesticides: Not reported Petroleum Products: Confirmed above MTCA cleanup levels Phenolic Compounds: Not reported Non -Halogenated Solvents: Not reported Dioxin: Not reported Polynuclear Aromatic Hydrocarbons (PAH): Not reported Reactive Wastes: Not reported Corrosive Wastes: Not reported Radioactive Wastes: Not reported Asbestos: Not reported Conventional Contaminants, Organic: Not reported Conventional Contaminants, Inorganic: Not reported Lat/Long : 47` 48' 25.999200000010799" / 122° 22' 9.5015999999805008" Media Id: 11305 Media Type Description: Groundwater Media Status Description : Confirmed Tibutyl Tin Contaminant Group : Not reported Bioassay/benthic Failures Contam group : Not reported Wood Debris Contaminant Group : Not reported Other Deleterious Substance Group : Not reported TC1661061.2s Page 40 Map ID MAP FINDINGS Direction Distance Distance (ft.) EDR ID Number Elevation Site Database(s) EPA ID Number 139 PORT OF EDMONDS FUR BREEDERS BLDG LUST 0003026457 West 335 ADMIRAL WY UST N/A 114-1/2 EDMONDS, WA 98020 2473 ft. Site 1 of 2 in cluster I Relative: Lower LUST: Facility ID: 309497 Actual: Facility Status: Cleanup Started 6 ft. Release ID: 309504 Release Notification Date: 5/10/1995 00:00:00 Release Status Date: 8/17/1995 00:00:00 Alternate Name: EDMONDS, PORT OF, FUR BREEDERS BLDG Lat/Lon: 47.809288 /-122.388714 Affected Media: Ground Water FSID: 85413457 Site Response Code Unit: NW Facility ID: 309497 Facility Status: Cleanup Started Release ID: 309504 Release Notification Date: 5/10/1995 00:00:00 Release Status Date: 8/17/1995 00:00:00 Alternate Name: EDMONDS, PORT OF, FUR BREEDERS BLDG Lat/Lon: 47.809288 /-122.388714 Affected Media: Soil FSID: 85413457 Site Response Code Unit: NW UST: Facility ID: 85413457 Site ID: 309497 Install Date: 1900-01-02 00:00:00 Capacity: Not reported Status: Removed Tank Name: 1 Substance: DIESEL Compartment #: 1 Ecology Region: North Western 140 PORT OF EDMONDS MODERATE RISK WASTE SWF/LF 1004643832 West 336 ADMIRAL WY SPILLS N/A 1/4-1/2 EDMONDS, WA 98020 2487 ft. Site 2 of 2 in cluster I Relative: Lower LF SNOHOMISH : Region: SNOHOMISH Actual: Facility Status: Active 6 ft. WA SPILL: Facility ID: 503625 Material Desc : UNKNOWN Medium: SURFACE WATER -MARINE Material Qty: 1 Material Units: SHEEN Date Received: 04/15/99 Contact Name: Not reported Company Name: LINK TC1661061.2s Page 41 Map ID MAP FINDINGS Direction Distance Distance (ft.) EDR ID Number Elevation Site Database(s) EPA ID Number 41 UNOCAL EDMONDS BULK FUEL TERM 0178 CSCSL S100562916 West 11720 UNOCO RD SPILLS N/A 1/4-1/2 EDMONDS, WA 98020 2507 ft. Relative: SHWS: Lower Facility ID: 2720 MTBE Code: Not reported Actual: Prog plan code : 2 6 ft. UXO Code: Not reported Lat/Long : 48.277419999999999 /-121.80511 Responsible Unit: Northwest Region Ecology Site Status relative to the MTCA cleanup process: Remedial Action in progress Independent Site Status - those sites undergoing an independent cleanup: Not reported WARM Bin Number indicates the outcome of the Washington Ranking Model (WARM): Affected Media Status: C (Confirmed) - The presence of hazardous substances above MTCA cleanup levels has been confirmed by laboratory analysis (or field determination in the case of petroleum contamination) Affected Media : Ground Water Arsenic Code: Not reported Base/Neutral/Acid Organics: Not reported Halogenated Organic Compounds: Not reported EPA Priority Pollutants - Metals and Cyanide: Not reported Metals - Other non -priority pollutant medals: Not reported Polychlorinated biPhenyls (PCBs): Not reported Pesticides: Not reported Petroleum Products: Confirmed above MTCA cleanup levels Phenolic Compounds: Not reported Non -Halogenated Solvents: Not reported Dioxin: Not reported Polynuclear Aromatic Hydrocarbons (PAH): Not reported Reactive Wastes: Not reported Corrosive Wastes: Not reported Radioactive Wastes: Not reported Asbestos: Not reported Conventional Contaminants, Organic: Not reported Conventional Contaminants, Inorganic: Not reported Lat/Long : 48° 16' 38- / 121' 48' 18- Media Id: 4241 Media Type Description : Groundwater Media Status Description : Confirmed Tibutyl Tin Contaminant Group : Not reported Bioassay/benthic Failures Contam group : Not reported Wood Debris Contaminant Group : Not reported Other Deleterious Substance Group : Not reported Facility ID: 2720 MTBE Code: Not reported Frog plan code : 2 UXO Code: Not reported Lat/Long : 48.277419999999999 /-121.80511 Responsible Unit: Northwest Region Ecology Site Status relative to the MTCA cleanup process: Remedial Action in progress Independent Site Status - those sites undergoing an independent cleanup: Not reported WARM Bin Number indicates the outcome of the Washington Ranking Model (WARM): TC1661061.2s Page 42 Map ID MAP FINDINGS Direction Distance Distance (ft.) EDR ID Number Elevation Site Database(s) EPA ID Number UNOCAL EDMONDS BULK FUEL TERM 0178 (Continued) S100562916 Affected Media Status: C (Confirmed) -The presence of hazardous substances above MTCA cleanup levels has been confirmed by laboratory analysis (or field determination in the case of petroleum contamination) Affected Media : Soil Arsenic Code: Not reported Base/Neutral/Acid Organics: Not reported Halogenated Organic Compounds: Not reported EPA Priority Pollutants - Metals and Cyanide: Not reported Metals - Other non -priority pollutant medals: Not reported Polychlorinated biPhenyls (PCBs): Not reported Pesticides: Not reported Petroleum Products: Confirmed above MTCA cleanup levels Phenolic Compounds: Not reported Non -Halogenated Solvents: Not reported Dioxin: Not reported Polynuclear Aromatic Hydrocarbons (PAH): Suspected to be present Reactive Wastes: Not reported Corrosive Wastes: Not reported Radioactive Wastes: Not reported Asbestos: Not reported Conventional Contaminants, Organic: Not reported Conventional Contaminants, Inorganic: Not reported Lat/Long : 48° 16" 38" / 121 ° 48" 18" Media Id : 4242 Media Type Description: Soil Media Status Description : Confirmed Tibutyl Tin Contaminant Group : Not reported Bioassay/benthic Failures Contam group : Not reported Wood Debris Contaminant Group : Not reported Other Deleterious Substance Group : Not reported WA SPILL: Facility ID: 425832 Material Desc : UNKNOWN Medium: UNKNOWN Material Qty: Not reported Material Units: Not reported Date Received: 01/01/97 Contact Name: Not reported Company Name: UNKNOWN 42 EDMONDS DRY STORAGE PORT OF EDMONDS West 400 ADMIRAL WAY DRY STORAGE 1/2-1 EDMONDS, WA 98020 2896 ft. CSCSL S104918178 N/A Relative: SHWS: Lower Facility ID: 34732418 MTBE Code: Not reported Actual: Prog plan code : Not reported 6 ft. UXO Code: Not reported Lat/Long : 47.808638000000002 /-122.389027 Responsible Unit: Northwest Region Ecology Site Status relative to the MTCA cleanup process: Ranked, Awaiting Remedial Action (RA) Independent Site Status - those sites undergoing an independent cleanup: Not reported WARM Bin Number indicates the outcome of the Washington Ranking Model (WARM): Affected Media Status: C (Confirmed) - The presence of hazardous substances above MTCA cleanup levels has TC1661061.2s Page 43 Map ID Direction Distance Distance (ft.) Elevation Site MAP FINDINGS EDR ID Number Database(s) EPA ID Number EDMONDS DRY STORAGE PORT OF EDMONDS (Continued) S104918178 been confirmed by laboratory analysis (or field determination in the case of petroleum contamination) Affected Media : Ground Water Arsenic Code: Not reported Base/Neutral/Acid Organics: Not reported Halogenated Organic Compounds: Not reported EPA Priority Pollutants - Metals and Cyanide: Not reported Metals - Other non -priority pollutant medals: Not reported Polychlorinated biPhenyls (PCBs): Not reported Pesticides: Not reported Petroleum Products: Confirmed above MTCA cleanup levels Phenolic Compounds: Not reported Non -Halogenated Solvents: Suspected to be present Dioxin: Not reported Polynuclear Aromatic Hydrocarbons (PAH): Suspected to be present Reactive Wastes: Not reported Corrosive Wastes: Not reported Radioactive Wastes: Not reported Asbestos: Not reported Conventional Contaminants, Organic: Not reported Conventional Contaminants, Inorganic: Not reported Lat/Long : 47` 48' 31.100000000000001" / 122° 23" 20.5" Media Id: 7089 Media Type Description : Groundwater Media Status Description : Confirmed Tibutyl Tin Contaminant Group : Not reported Bioassay/benthic Failures Contam group : Not reported Wood Debris Contaminant Group: Not reported Other Deleterious Substance Group : Not reported Facility ID: 34732418 MTBE Code: Not reported Prog plan code : Not reported UXO Code: Not reported Lat/Long : 47.808638000000002 /-122.389027 Responsible Unit: Northwest Region Ecology Site Status relative to the MTCA cleanup process Ranked, Awaiting Remedial Action (RA) Independent Site Status - those sites undergoing an independent cleanup: Not reported WARM Bin Number indicates the outcome of the Washington Ranking Model (WARM): Affected Media Status: C (Confirmed) - The presence of hazardous substances above MTCA cleanup levels has been confirmed by laboratory analysis (or field determination in the case of petroleum contamination) Affected Media: Soil Arsenic Code: Not reported Base/Neutral/Acid Organics: Not reported Halogenated Organic Compounds: Not reported EPA Priority Pollutants - Metals and Cyanide: Not reported Metals - Other non -priority pollutant medals: Not reported Polychlorinated biPhenyls (PCBs): Not reported Pesticides: Not reported Petroleum Products: Confirmed above MTCA cleanup levels Phenolic Compounds: Not reported Non -Halogenated Solvents: Suspected to be present Dioxin: Not reported Polynuclear Aromatic Hydrocarbons (PAH): Suspected to be present TC1661061.2s Page 44 Map ID MAP FINDINGS Direction Distance Distance (ft.) Elevation Site EDMONDS DRY STORAGE PORT OF EDMONDS (Continued) Reactive Wastes: Not reported Corrosive Wastes: Not reported Radioactive Wastes: Not reported Asbestos: Not reported Conventional Contaminants, Organic: Not reported Conventional Contaminants, Inorganic: Not reported Lat/Long : 47' 48' 31.100000000000001" / 122° 23" 20.5" Media Id: 7090 Media Type Description : Soil Media Status Description : Confirmed Tibutyl Tin Contaminant Group : Not reported Bioassay/benthic Failures Contam group : Not reported Wood Debris Contaminant Group: Not reported Other Deleterious Substance Group : Not reported EDR ID Number Database(s) EPA ID Number S104918178 TC1661061.2s Page 45 ORPHAN SUMMARY City EDR ID Site Name Site Address Zip Database(s) EDMONDS 1004793554 GW AUTO REBUILD INC 23510 HWY 99 98020 RCRA-SC1G, FINDS EDMONDS 1007067165 EDMONDS USAVE MINI MART 22625 HWY 99 98020 FINDS, VCP EDMONDS 1007072907 B & M CONTRACTORS 21400 HWY 99 98020 FINDS, VCP EDMONDS 0003750373 ALASKA PUBLISHING 130 2ND AVE. 98020 ICR EDMONDS 1007072145 OLD MILL BUS BARN 400 BLOCK MAPLE ST 98020 FINDS EDMONDS S104873031 PORT OF EDMONDS/HARBOR SQUARE 100 BLOCK W. OF DAYTON STREET 98020 ICR EDMONDS S103510890 UNOCAL EDMONDS FUEL TERMINAL 11720 UNOCO ROAD 98020 SPILLS, ICR TC1661061.2s Page 46 GOVERNMENT RECORDS SEARCHED / DATA CURRENCY TRACKING To maintain currency of the following federal and state databases, EDR contacts the appropriate governmental agency on a monthly or quarterly basis, as required. Number of Days to Update: Provides confirmation that EDR is reporting records that have been updated within 90 days from the date the government agency made the information available to the public. FEDERAL RECORDS NPL: National Priority List National Priorities List (Superfund). The NPL is a subset of CERCLIS and identifies over 1,200 sites for priority cleanup under the Superfund Program. NPL sites may encompass relatively large areas. As such, EDR provides polygon coverage for over 1,000 NPL site boundaries produced by EPA's Environmental Photographic Interpretation Center (EPIC) and regional EPA offices. Date of Government Version: 02/24/2006 Date Data Arrived at EDR: 03/01/2006 Date Made Active in Reports: 03/31/2006 Number of Days to Update: 30 NPL Site Boundaries Source: EPA Telephone: N/A Last EDR Contact: 03/01/2006 Next Scheduled EDR Contact: 05/01/2006 Data Release Frequency: Quarterly Sources: EPA's Environmental Photographic Interpretation Center (EPIC) Telephone: 202-564-7333 EPA Region 1 Telephone 617-918-1143 EPA Region 3 Telephone 215-814-5418 EPA Region 4 Telephone 404-562-8033 Proposed NPL: Proposed National Priority List Sites EPA Region 6 Telephone: 214-655-6659 EPA Region 8 Telephone: 303-312-6774 Date of Government Version: 02/24/2006 Source: EPA Date Data Arrived at EDR: 03/01/2006 Telephone: N/A Date Made Active in Reports: 03/31/2006 Last EDR Contact: 03/01/2006 Number of Days to Update: 30 Next Scheduled EDR Contact: 05/01/2006 Data Release Frequency: Quarterly DELISTED NPL: National Priority List Deletions The National Oil and Hazardous Substances Pollution Contingency Plan (NCP) establishes the criteria that the EPA uses to delete sites from the NPL. In accordance with 40 CFR 300.425.(e), sites may be deleted from the NPL where no further response is appropriate. Date of Government Version: 02/24/2006 Date Data Arrived at EDR: 03/01/2006 Date Made Active in Reports: 03/31/2006 Number of Days to Update: 30 Source: EPA Telephone: N/A Last EDR Contact: 03/01/2006 Next Scheduled EDR Contact: 05/01/2006 Data Release Frequency: Quarterly NPL RECOVERY: Federal Superfund Liens Federal Superfund Liens. Under the authority granted the USEPA by CERCLA of 1980, the USEPA has the authority to file liens against real property in order to recover remedial action expenditures or when the property owner received notification of potential liability. USEPA compiles a listing of filed notices of Superfund Liens. Date of Government Version: 10/15/1991 Date Data Arrived at EDR: 02/02/1994 Date Made Active in Reports: 03/30/1994 Number of Days to Update: 56 Source: EPA Telephone: 202-564-4267 Last EDR Contact: 03/06/2006 Next Scheduled EDR Contact: 05/22/2006 Data Release Frequency: No Update Planned TC1661061.2s Page GR-1 GOVERNMENT RECORDS SEARCHED / DATA CURRENCY TRACKING CERCLIS: Comprehensive Environmental Response, Compensation, and Liability Information System CERCLIS contains data on potentially hazardous waste sites that have been reported to the USEPA by states, municipalities, private companies and private persons, pursuant to Section 103 of the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA). CERCLIS contains sites which are either proposed to or on the National Priorities List (NPL) and sites which are in the screening and assessment phase for possible inclusion on the NPL. Date of Government Version: 02/01/2006 Date Data Arrived at EDR: 03/21/2006 Date Made Active in Reports: 04/13/2006 Number of Days to Update: 23 Source: EPA Telephone: 703-413-0223 Last EDR Contact: 03/21/2006 Next Scheduled EDR Contact: 06/19/2006 Data Release Frequency: Quarterly CERCLIS-NFRAP: CERCLIS No Further Remedial Action Planned Archived sites are sites that have been removed and archived from the inventory of CERCLIS sites. Archived status indicates that, to the best of EPA's knowledge, assessment at a site has been completed and that EPA has determined no further steps will be taken to list this site on the National Priorities List (NPL), unless information indicates this decision was not appropriate or other considerations require a recommendation for listing at a later time. This decision does not necessarily mean that there is no hazard associated with a given site; it only means that, based upon available information, the location is not judged to be a potential NPL site. Date of Government Version: 02/01/2006 Date Data Arrived at EDR: 03/21/2006 Date Made Active in Reports: 04/13/2006 Number of Days to Update: 23 Source: EPA Telephone: 703-413-0223 Last EDR Contact: 03/21/2006 Next Scheduled EDR Contact: 06/19/2006 Data Release Frequency: Quarterly CORRACTS: Corrective Action Report CORRACTS identifies hazardous waste handlers with RCRA corrective action activity. Date of Government Version: 03/15/2006 Date Data Arrived at EDR: 03/17/2006 Date Made Active in Reports: 04/13/2006 Number of Days to Update: 27 Source: EPA Telephone: 800-424-9346 Last EDR Contact: 03/06/2006 Next Scheduled EDR Contact: 06/05/2006 Data Release Frequency: Quarterly RCRA: Resource Conservation and Recovery Act Information RCRAInfo is EPA's comprehensive information system, providing access to data supporting the Resource Conservation and Recovery Act (RCRA) of 1976 and the Hazardous and Solid Waste Amendments (HSWA) of 1984. RCRAInfo replaces the data recording and reporting abilities of the Resource Conservation and Recovery Information System (RCRIS). The database includes selective information on sites which generate, transport, store, treat and/or dispose of hazardous waste as defined by the Resource Conservation and Recovery Act (RCRA). Conditionally exempt small quantity generators (CESQGs) generate less than 100 kg of hazardous waste, or less than 1 kg of acutely hazardous waste per month. Small quantity generators (SQGs) generate between 100 kg and 1,000 kg of hazardous waste per month. Large quantity generators (LQGs) generate over 1,000 kilograms (kg) of hazardous waste, or over 1 kg of acutely hazardous waste per month. Transporters are individuals or entities that move hazardous waste from the generator off -site to a facility that can recycle, treat, store, or dispose of the waste. TSDFs treat, store, or dispose of the waste. Date of Government Version: 02/21/2006 Date Data Arrived at EDR: 03/01/2006 Date Made Active in Reports: 03/31/2006 Number of Days to Update: 30 Source: EPA Telephone: 800-424-9346 Last EDR Contact: 03/01/2006 Next Scheduled EDR Contact: 04/24/2006 Data Release Frequency: Quarterly ERNS: Emergency Response Notification System Emergency Response Notification System. ERNS records and stores information on reported releases of oil and hazardous substances. Date of Government Version: 12/31/2005 Source: National Response Center, United States Coast Guard Date Data Arrived at EDR: 01/12/2006 Telephone: 202-260-2342 Date Made Active in Reports: 02/21/2006 Last EDR Contact: 01/12/2006 Number of Days to Update: 40 Next Scheduled EDR Contact: 04/24/2006 Data Release Frequency: Annually TC1661061.2s Page GR-2 GOVERNMENT RECORDS SEARCHED 1 DATA CURRENCY TRACKING HMIRS: Hazardous Materials Information Reporting System Hazardous Materials Incident Report System. HMIRS contains hazardous material spill incidents reported to DOT. Date of Government Version: 12/31/2005 Date Data Arrived at EDR: 01/16/2006 Date Made Active in Reports: 02/21/2006 Number of Days to Update: 36 Source: U.S. Department of Transportation Telephone: 202-366-4555 Last EDR Contact: 04/14/2006 Next Scheduled EDR Contact: 07/17/2006 Data Release Frequency: Annually US ENG CONTROLS: Engineering Controls Sites List A listing of sites with engineering controls in place. Engineering controls include various forms of caps, building foundations, liners, and treatment methods to create pathway elimination for regulated substances to enter environmental media or effect human health. Date of Government Version: 08/02/2005 Date Data Arrived at EDR: 08/12/2005 Date Made Active in Reports: 10/06/2005 Number of Days to Update: 55 Source: Environmental Protection Agency Telephone: 703-603-8905 Last EDR Contact: 03/03/2006 Next Scheduled EDR Contact: 07/03/2006 Data Release Frequency: Varies US INST CONTROL: Sites with Institutional Controls A listing of sites with institutional controls in place. Institutional controls include administrative measures, such as groundwater use restrictions, construction restrictions, property use restrictions, and post remediation care requirements intended to prevent exposure to contaminants remaining on site. Deed restrictions are generally required as part of the institutional controls. Date of Government Version: 01/10/2005 Date Data Arrived at EDR: 02/11/2005 Date Made Active in Reports: 04/06/2005 Number of Days to Update: 54 Source: Environmental Protection Agency Telephone: 703-603-8905 Last EDR Contact: 03/03/2006 Next Scheduled EDR Contact: 07/03/2006 Data Release Frequency: Varies DOD: Department of Defense Sites This data set consists of federally owned or administered lands, administered by the Department of Defense, that have any area equal to or greater than 640 acres of the United States, Puerto Rico, and the U.S. Virgin Islands. Date of Government Version: 12131 /2004 Date Data Arrived at EDR: 02/08/2005 Date Made Active in Reports: 08/04/2005 Number of Days to Update: 177 Source: USGS Telephone: 703-692-8801 Last EDR Contact: 02/06/2006 Next Scheduled EDR Contact: 05/08/2006 Data Release Frequency: Semi -Annually FUDS: Formerly Used Defense Sites The listing includes locations of Formerly Used Defense Sites properties where the US Army Corps of Engineers is actively working or will take necessary cleanup actions. Date of Government Version: 12/05/2005 Date Data Arrived at EDR: 01/19/2006 Date Made Active in Reports: 02/21/2006 Number of Days to Update: 33 US BROWNFIELDS: A Listing of Brownfields Sites Source: U.S. Army Corps of Engineers Telephone: 202-528-4285 Last EDR Contact: 04/03/2006 Next Scheduled EDR Contact: 07/03/2006 Data Release Frequency: Varies TC1661061.2s Page GR-3 GOVERNMENT RECORDS SEARCHED / DATA CURRENCY TRACKING Included in the listing are brownfields properties addresses by Cooperative Agreement Recipients and brownfields properties addressed by Targeted Brownfields Assessments. Targeted Brownfields Assessments-EPA's Targeted Brownfields Assessments (TBA) program is designed to help states, tribes, and municipalities --especially those without EPA Brownfields Assessment Demonstration Pilots —minimize the uncertainties of contamination often associated with brownfields. Under the TBA program, EPA provides funding and/or technical assistance for environmental assessments at brownfields sites throughout the country. Targeted Brownfields Assessments supplement and work with other efforts under EPA's Brownfields Initiative to promote cleanup and redevelopment of brownfields. Cooperative Agreement Recipients -States, political subdivisions, territories, and Indian tribes become Brownfields Cleanup Revolving Loan Fund (BCRLF) cooperative agreement recipients when they enter into BCRLF cooperative agreements with the U.S. EPA. EPA selects BCRLF cooperative agreement recipients based on a proposal and application process. BCRLF cooperative agreement recipients must use EPA funds provided through BCRLF cooperative agreement for specified brownfields-related cleanup activities. Date of Government Version: 11 /29/2005 Date Data Arrived at EDR: 12/05/2005 Date Made Active in Reports: 01/30/2006 Number of Days to Update: 56 Source: Environmental Protection Agency Telephone: 202-566-2777 Last EDR Contact: 03/13/2006 Next Scheduled EDR Contact: 06/12/2006 Data Release Frequency: Semi -Annually CONSENT: Superfund (CERCLA) Consent Decrees Major legal settlements that establish responsibility and standards for cleanup at NPL (Superfund) sites. Released periodically by United States District Courts after settlement by parties to litigation matters. Date of Government Version: 12/14/2004 Source: Department of Justice, Consent Decree Library Date Data Arrived at EDR: 02/15/2005 Telephone: Varies Date Made Active in Reports: 04/25/2005 Last EDR Contact: 03/13/2006 Number of Days to Update: 69 Next Scheduled EDR Contact: 07/24/2006 Data Release Frequency: Varies ROD: Records Of Decision Record of Decision. ROD documents mandate a permanent remedy at an NPL (Superfund) site containing technical and health information to aid in the cleanup. Date of Government Version: 12/07/2005 Date Data Arrived at EDR: 01/06/2006 Date Made Active in Reports: 02/21/2006 Number of Days to Update: 46 Source: EPA Telephone: 703-416-0223 Last EDR Contact: 04/05/2006 Next Scheduled EDR Contact: 07/03/2006 Data Release Frequency: Annually UMTRA: Uranium Mill Tailings Sites Uranium ore was mined by private companies for federal government use in national defense programs. When the mills shut down, large piles of the sand -like material (mill tailings) remain after uranium has been extracted from the ore. Levels of human exposure to radioactive materials from the piles are low; however, in some cases tailings were used as construction materials before the potential health hazards of the tailings were recognized. Date of Government Version: 11/04/2005 Date Data Arrived at EDR: 11/28/2005 Date Made Active in Reports: 01/30/2006 Number of Days to Update: 63 Source: Department of Energy Telephone: 505-845-0011 Last EDR Contact: 03/20/2006 Next Scheduled EDR Contact: 06/19/2006 Data Release Frequency: Varies ODI: Open Dump Inventory An open dump is defined as a disposal facility that does not comply with one or more of the Part 257 or Part 258 Subtitle D Criteria. Date of Government Version: 06/30/1985 Date Data Arrived at EDR: 08/09/2004 Date Made Active in Reports: 09/17/2004 Number of Days to Update: 39 Source: Environmental Protection Agency Telephone: 800-424-9346 Last EDR Contact: 06/09/2004 Next Scheduled EDR Contact: N/A Data Release Frequency: No Update Planned TC1661061.2s Page GR-4 GOVERNMENT RECORDS SEARCHED / DATA CURRENCY TRACKING TRIS: Toxic Chemical Release Inventory System Toxic Release Inventory System. TRIS identifies facilities which release toxic chemicals to the air, water and land in reportable quantities under SARA Title III Section 313. Date of Government Version: 12/31 /2003 Date Data Arrived at EDR: 07/13/2005 Date Made Active in Reports: 08/17/2005 Number of Days to Update: 35 Source: EPA Telephone: 202-566-0250 Last EDR Contact: 03/21/2006 Next Scheduled EDR Contact: 06/19/2006 Data Release Frequency: Annually TSCA: Toxic Substances Control Act Toxic Substances Control Act. TSCA identifies manufacturers and importers of chemical substances included on the TSCA Chemical Substance Inventory list. It includes data on the production volume of these substances by plant site. Date of Government Version: 12/31/2002 Date Data Arrived at EDR: 04/27/2004 Date Made Active in Reports: 05/21/2004 Number of Days to Update: 24 Source: EPA Telephone: 202-260-5521 Last EDR Contact: 04/12/2006 Next Scheduled EDR Contact: 07/17/2006 Data Release Frequency: Every 4 Years FITS: FIFRA/ TSCA Tracking System - FIFRA (Federal Insecticide, Fungicide, & Rodenticide Act)/TSCA (Toxic Substances Control Act) FTTS tracks administrative cases and pesticide enforcement actions and compliance activities related to FIFRA, TSCA and EPCRA (Emergency Planning and Community Right -to -Know Act). To maintain currency, EDR contacts the Agency on a quarterly basis. Date of Government Version: 01/17/2006 Source: EPA/Office of Prevention, Pesticides and Toxic Substances Date Data Arrived at EDR: 01/24/2006 Telephone: 202-566-1667 Date Made Active in Reports: 02/27/2006 Last EDR Contact: 03/20/2006 Number of Days to Update: 34 Next Scheduled EDR Contact: 06/19/2006 Data Release Frequency: Quarterly FTTS INSP: FIFRA/ TSCA Tracking System - FIFRA (Federal Insecticide, Fungicide, & Rodenticide Act)/TSCA (Toxic Substances Control Act) Date of Government Version: 01/17/2006 Date Data Arrived at EDR: 01/24/2006 Date Made Active in Reports: 02/27/2006 Number of Days to Update: 34 Source: EPA Telephone: 202-566-1667 Last EDR Contact: 03/20/2006 Next Scheduled EDR Contact: 06/19/2006 Data Release Frequency: Quarterly SSTS: Section 7 Tracking Systems Section 7 of the Federal Insecticide, Fungicide and Rodenticide Act, as amended (92 Stat. 829) requires all registered pesticide -producing establishments to submit a report to the Environmental Protection Agency by March 1 st each year. Each establishment must report the types and amounts of pesticides, active ingredients and devices being produced, and those having been produced and sold or distributed in the past year. Date of Government Version: 12/31/2003 Date Data Arrived at EDR: 01/03/2005 Date Made Active in Reports: 01/25/2005 Number of Days to Update: 22 Source: EPA Telephone: 202-564-4203 Last EDR Contact: 03/06/2006 Next Scheduled EDR Contact: 07/17/2006 Data Release Frequency: Annually PADS: PCB Activity Database System PCB Activity Database. PADS Identifies generators, transporters, commercial storers and/or brokers and disposers of PCB's who are required to notify the EPA of such activities. Date of Government Version: 12/27/2005 Date Data Arrived at EDR: 02/08/2006 Date Made Active in Reports: 02/27/2006 Number of Days to Update: 19 Source: EPA Telephone: 202-566-0500 Last EDR Contact: 02/08/2006 Next Scheduled EDR Contact: 05/08/2006 Data Release Frequency: Annually TC1661061.2s Page GR-5 :GOVERNMENT RECORDS SEARCHED 1 DATA CURRENCY TRACKING C MILTS: Material Licensing Tracking System MLTS is maintained by the Nuclear Regulatory Commission and contains a list of approximately 8,100 sites which possess or use radioactive materials and which are subject to NRC licensing requirements. To maintain currency, EDR contacts the Agency on a quarterly basis. Date of Government Version: 02/10/2006 Date Data Arrived at EDR: 02/16/2006 Date Made Active in Reports: 03/31/2006 Number of Days to Update: 43 Source: Nuclear Regulatory Commission Telephone: 301-415-7169 Last EDR Contact: 04/03/2006 Next Scheduled EDR Contact: 07/03/2006 Data Release Frequency: Quarterly MINES: Mines Master Index File Contains all mine identification numbers issued for mines active or opened since 1971. The data also includes violation information. Date of Government Version: 11/08/2005 Source: Department of Labor, Mine Safety and Health Administration Date Data Arrived at EDR: 12/27/2005 Telephone: 303-231-5959 Date Made Active in Reports: 01/30/2006 Last EDR Contact: 03/29/2006 Number of Days to Update: 34 Next Scheduled EDR Contact: 06/26/2006 Data Release Frequency: Semi -Annually FINDS: Facility Index System/Facility Registry System Facility Index System. FINDS contains both facility information and 'pointers' to other sources that contain more detail. EDR includes the following FINDS databases in this report: PCS (Permit Compliance System), AIRS (Aerometric Information Retrieval System), DOCKET (Enforcement Docket used to manage and track information on civil judicial enforcement cases for all environmental statutes), FURS (Federal Underground Injection Control), C-DOCKET (Criminal Docket System used to track criminal enforcement actions for all environmental statutes), FFIS (Federal Facilities Information System), STATE (State Environmental Laws and Statutes), and PADS (PCB Activity Data System). Date of Government Version: 01/09/2006 Date Data Arrived at EDR: 01/16/2006 Date Made Active in Reports: 02/21/2006 Number of Days to Update: 36 Source: EPA Telephone: N/A Last EDR Contact: 04/03/2006 Next Scheduled EDR Contact: 07/03/2006 Data Release Frequency: Quarterly RAATS: RCRA Administrative Action Tracking System RCRA Administration Action Tracking System. RAATS contains records based on enforcement actions issued under RCRA pertaining to major violators and includes administrative and civil actions brought by the EPA. For administration actions after September 30, 1995, data entry in the RAATS database was discontinued. EPA will retain a copy of the database for historical records. It was necessary to terminate RAATS because a decrease in agency resources made it impossible to continue to update the information contained in the database. Date of Government Version: 04/17/1995 Date Data Arrived at EDR: 07/03/1995 Date Made Active in Reports: 08/07/1995 Number of Days to Update: 35 Source: EPA Telephone: 202-564-4104 Last EDR Contact: 03/06/2006 Next Scheduled EDR Contact: 06/05/2006 Data Release Frequency: No Update Planned BRS: Biennial Reporting System The Biennial Reporting System is a national system administered by the EPA that collects data on the generation and management of hazardous waste. BRS captures detailed data from two groups: Large Quantity Generators (LQG) and Treatment, Storage, and Disposal Facilities. Date of Government Version: 12/31/2003 Date Data Arrived at EDR: 06/17/2005 Date Made Active in Reports: 08/04/2005 Number of Days to Update: 48 Source: EPA/NTIS Telephone: 800-424-9346 Last EDR Contact: 03/17/2006 Next Scheduled EDR Contact: 06/12/2006 Data Release Frequency: Biennially TC1661061.2s Page GR-6 GOVERNMENT RECORDS SEARCHED I DATA CURRENCY TRACKING STATE AND LOCAL RECORDS CSCSL: Confirmed & Suspected Contaminated Sites List State Hazardous Waste Sites. State hazardous waste site records are the states' equivalent to CERCLIS. These sites may or may not already be listed on the federal CERCLIS list. Priority sites planned for cleanup using state funds (state equivalent of Superfund) are identified along with sites where cleanup will be paid for by potentially responsible parties. Available information varies by state. Date of Government Version: 03/08/2006 Date Data Arrived at EDR: 03/08/2006 Date Made Active in Reports: 04/13/2006 Number of Days to Update: 36 Source: Department of Ecology Telephone: 360-407-7200 Last EDR Contact: 03/08/2006 Next Scheduled EDR Contact: 05/15/2006 Data Release Frequency: Semi -Annually HSL: Hazardous Sites List The Hazardous Sites List is a subset of the CSCSL Report. It includes sites which have been assessed and ranked using the Washington Ranking Method (WARM). Date of Government Version: 02/22/2006 Date Data Arrived at EDR: 03/27/2006 Date Made Active in Reports: 04/1312006 Number of Days to Update: 17 Source: Department of Ecology Telephone: 360-407-7200 Last EDR Contact: 03/07/2006 Next Scheduled EDR Contact: 06/05/2006 Data Release Frequency: Semi -Annually CSCSL NFA: Confirmed & Contaminated Sites - No Further Action The data set contains information about sites previously on the Confirmed and Suspected Contaminated Sites list that have received a No Further Action (NFA) determination. Because it is necessary to maintain historical records of sites that have been investigated and cleaned up, sites are not deleted from the database when cleanup activities are completed. Instead, a No Further Action code is entered based upon the type of NFA determination the site received. Date of Government Version: 02/09/2006 Date Data Arrived at EDR: 02/14/2006 Date Made Active in Reports: 03/15/2006 Number of Days to Update: 29 Source: Department of Ecology Telephone: 360-407-7170 Last EDR Contact: 02/14/2006 Next Scheduled EDR Contact: 05/15/2006 Data Release Frequency: Semi -Annually SWF/LF: Solid Waste Facility Database Solid Waste Facilities/Landfill Sites. SWF/LF type records typically contain an inventory of solid waste disposal facilities or landfills in a particular state. Depending on the state, these may be active or inactive facilities or open dumps that failed to meet RCRA Subtitle D Section 4004 criteria for solid waste landfills or disposal sites. Date of Government Version: 10/01/2004 Date Data Arrived at EDR: 01/06/2005 Date Made Active in Reports: 02/02/2005 Number of Days to Update: 27 Source: Department of Ecology Telephone: 360-407-6132 Last EDR Contact: 04/05/2006 Next Scheduled EDR Contact: 07/03/2006 Data Release Frequency: Annually SWTIRE: Solid Waste Tire Facilities This study identified sites statewide with unauthorized accumulations of scrap tires. Date of Government Version: 11/01/2005 Date Data Arrived at EDR: 03/16/2006 Date Made Active in Reports: 04/13/2006 Number of Days to Update: 28 Source: Department of Ecology Telephone: N/A Last EDR Contact: 04/05/2006 Next Scheduled EDR Contact: 07/03/2006 Data Release Frequency: Varies LUST: Leaking Underground Storage Tanks Site List Leaking Underground Storage Tank Incident Reports. LUST records contain an inventory of reported leaking underground storage tank incidents. Not all states maintain these records, and the information stored varies by state. TC1661061.2s Page GR-7 t - ---- GOVERNMENT RECORDS SEARCHED 1 DATA CURRENCY TRACKING Date of Government Version: 03/08/2006 Date Data Arrived at EDR: 03/16/2006 Date Made Active in Reports: 04/13/2006 Number of Days to Update: 28 Source: Department of Ecology Telephone: 360-407-7200 Last EDR Contact: 03/16/2006 Next Scheduled EDR Contact: 06/12/2006 Data Release Frequency: Quarterly UST: Underground Storage Tank Database Registered Underground Storage Tanks. UST's are regulated under Subtitle I of the Resource Conservation and Recovery Act (RCRA) and must be registered with the state department responsible for administering the UST program. Available information varies by state program. Date of Government Version: 01/03/2006 Date Data Arrived at EDR: 01/10/2006 Date Made Active in Reports: 01/31/2006 Number of Days to Update: 21 Source: Department of Ecology Telephone: 360-407-7170 Last EDR Contact: 03/15/2006 Next Scheduled EDR Contact: 06/12/2006 Data Release Frequency: Quarterly AST: Aboveground Storage Tank Locations A listing of aboveground storage tank locations regulated by the Department of Ecology's Spill Prevention, Preparedness and Response Program. Date of Government Version: 12/13/2005 Date Data Arrived at EDR: 12/14/2005 Date Made Active in Reports: 01/16/2006 Number of Days to Update: 33 Source: Department of Ecology Telephone: 360-407-7562 Last EDR Contact: 02/27/2006 Next Scheduled EDR Contact: 05/29/2006 Data Release Frequency: Varies SPILLS: Reported Spills Spills reported to the Spill Prevention, Preparedness and Response Division. Date of Government Version: 12/31/2005 Date Data Arrived at EDR: 01/11/2006 Date Made Active in Reports: 02/01/2006 Number of Days to Update: 21 INST CONTROL: Institutional Control Site List Sites that have institutional controls. Date of Government Version: 03/07/2006 Date Data Arrived at EDR: 03/08/2006 Date Made Active in Reports: 04/13/2006 Number of Days to Update: 36 Source: Department of Ecology Telephone: 360-407-7450 Last EDR Contact: 04/12/2006 Next Scheduled EDR Contact: 07/03/2006 Data Release Frequency: Semi -Annually Source: Department of Ecology Telephone: 360-407-7170 Last EDR Contact: 03/06/2006 Next Scheduled EDR Contact: 06/05/2006 Data Release Frequency: Varies VCP: Voluntary Cleanup Program Sites Sites that have entered either the Voluntary Cleanup Program or its predecessor Independent Remedial Action Program. Date of Government Version: 03/08/2006 Date Data Arrived at EDR: 03/08/2006 Date Made Active in Reports: 04/13/2006 Number of Days to Update: 36 Source: Department of Ecology Telephone: 360-407-7200 Last EDR Contact: 03/08/2006 Next Scheduled EDR Contact: 05/15/2006 Data Release Frequency: Varies ICR: Independent Cleanup Reports These are remedial action reports Ecology has received from either the owner or operator of the sites. These actions have been conducted without department oversight or approval and are not under an order or decree. This database is no longer updated by the Department of Ecology. TC1661061.2s Page GR-8 GOVERNMENT RECORDS SEARCHED 1 DATA CURRENCY TRACKING Date of Government Version: 12/01/2002 Date Data Arrived at EDR: 01/03/2003 Date Made Active in Reports: 01/22/2003 Number of Days to Update: 19 Source: Department of Ecology Telephone: 360-407-7200 Last EDR Contact: 02/13/2006 Next Scheduled EDR Contact: 05/15/2006 Data Release Frequency: No Update Planned DRYCLEANERS: Drycleaner List A listing of registered drycleaners who registered with the Department of Ecology (using the SIC code of 7215 and 7216) as hazardous waste generators. Date of Government Version: 01/12/2006 Date Data Arrived at EDR: 03/23/2006 Date Made Active in Reports: 04/13/2006 Number of Days to Update: 21 Source: Department of Ecology Telephone: 360-407-6732 Last EDR Contact: 03/13/2006 Next Scheduled EDR Contact: 05/15/2006 Data Release Frequency: Varies CDL: Clandestine Drug Lab Contaminated Site List Illegal methamphetamine labs use hazardous chemicals that create public health hazards. Chemicals and residues can cause burns, respiratory and neurological damage, and death. Biological hazards associated with intravenous needles, feces, and blood also pose health risks. Date of Government Version: 02/16/2006 Date Data Arrived at EDR: 03/07/2006 Date Made Active in Reports: 04/13/2006 Number of Days to Update: 37 EMI: Washington Emissions Data System Date of Government Version: 12/31/2004 Date Data Arrived at EDR: 03/16/2006 Date Made Active in Reports: 04/13/2006 Number of Days to Update: 28 INACTIVE DRYCLEANERS: Inactive Drycleaners A listing of inactive drycleaner facility locations. Date of Government Version: 01/12/2006 Date Data Arrived at EDR: 03/23/2006 Date Made Active in Reports: 04/13/2006 Number of Days to Update: 21 TRIR01_ RECORDS Source: Department of Health Telephone: 360-236-3380 Last EDR Contact: 03/07/2006 Next Scheduled EDR Contact: 06/05/2006 Data Release Frequency: Varies Source: Department of Ecology Telephone: 360-407-6040 Last EDR Contact: 04/11/2006 Next Scheduled EDR Contact: 07/17/2006 Data Release Frequency: Annually Source: Department of Ecology Telephone: 360-407-6732 Last EDR Contact: 03/23/0206 Next Scheduled EDR Contact: 05/15/2006 Data Release Frequency: Annually INDIAN RESERV: Indian Reservations This map layer portrays Indian administered lands of the United States that have any area equal to or greater than 640 acres. Date of Government Version: 12/31/2004 Date Data Arrived at EDR: 02/08/2005 Date Made Active in Reports: 08/04/2005 Number of Days to Update: 177 Source: USGS Telephone: 202-208-3710 Last EDR Contact: 02/06/2006 Next Scheduled EDR Contact: 05/08/2006 Data Release Frequency: Semi -Annually INDIAN LUST: Leaking Underground Storage Tanks on Indian Land LUSTS on Indian land in Alaska, Idaho, Oregon and Washington. Date of Government Version: 03/14/2006 Date Data Arrived at EDR: 03/21/2006 Date Made Active in Reports: 04/1312006 Number of Days to Update: 23 Source: EPA Region 10 Telephone: 206-553-2857 Last EDR Contact: 02/20/2006 Next Scheduled EDR Contact: 05/22/2006 Data Release Frequency: Varies TC1661061.2s Page GR-9 GOVERNMENT RECORDS SEARCHED / DATA CURRENCY TRACKING INDIAN UST: Underground Storage Tanks on Indian Land Date of Government Version: 04/05/2006 Date Data Arrived at EDR: 04/05/2006 Date Made Active in Reports: 04/13/2006 Number of Days to Update: 8 EDR PROPRIETARY RECORDS Source: EPA Region 10 Telephone: 206-553-2857 Last EDR Contact: 04/05/2006 Next Scheduled EDR Contact: 05/22/2006 Data Release Frequency: Varies Manufactured Gas Plants: EDR Proprietary Manufactured Gas Plants The EDR Proprietary Manufactured Gas Plant Database includes records of coal gas plants (manufactured gas plants) compiled by EDR's researchers. Manufactured gas sites were used in the United States from the 1800's to 1950's to produce a gas that could be distributed and used as fuel. These plants used whale oil, rosin, coal, or a mixture of coal, oil, and water that also produced a significant amount of waste. Many of the byproducts of the gas production, such as coal tar (oily waste containing volatile and non-volatile chemicals), sludges, oils and other compounds are potentially hazardous to human health and the environment. The byproduct from this process was frequently disposed of directly at the plant site and can remain or spread slowly, serving as a continuous source of soil and groundwater contamination. Date of Government Version: N/A Source: EDR, Inc. Date Data Arrived at EDR: N/A Telephone: N/A Date Made Active in Reports: N/A Last EDR Contact: N/A Number of Days to Update: N/A Next Scheduled EDR Contact: N/A Data Release Frequency: No Update Planned EDR Historical Auto Stations: EDR Proprietary Historic Gas Stations EDR has searched selected national collections of business directories and has collected listings of potential gas station/filling station/service station sites that were available to EDR researchers. EDR's review was limited to those categories of sources that might, in EDR's opinion, include gas station/filling station/service station establishments. The categories reviewed included, but were not limited to gas, gas station, gasoline station, filling station, auto, automobile repair, auto service station, service station, etc. Date of Government Version: N/A Date Data Arrived at EDR: N/A Date Made Active in Reports: N/A Number of Days to Update: N/A Source: EDR, Inc. Telephone: N/A Last EDR Contact: N/A Next Scheduled EDR Contact: N/A Data Release Frequency: Varies EDR Historical Cleaners: EDR Proprietary Historic Dry Cleaners EDR has searched selected national collections of business directories and has collected listings of potential dry cleaner sites that were available to EDR researchers. EDR's review was limited to those categories of sources that might, in EDR's opinion, include dry cleaning establishments. The categories reviewed included, but were not limited to dry cleaners, cleaners, laundry, laundromat, cleaning/laundry, wash & dry etc. Date of Government Version: N/A Date Data Arrived at EDR: N/A Date Made Active in Reports: N/A Number of Days to Update: N/A COUNTY RECORDS KING COUNTY: Source: EDR, Inc. Telephone: N/A Last EDR Contact: N/A Next Scheduled EDR Contact: N/A Data Release Frequency: Varies Abandoned Landfill Study in King County The King County Abandoned Landfill Survey was conducted from October through December 1984 by the Health Department's Environmental Health Division at the request of the King County Council. The primary objective of the survey was to determine if any public health problems existed at the predetermined 24 sites. TC1661061.2s Page GR-10 GOVERNMENT RECORDS SEARCHED / DATA CURRENCY TRACKING Date of Government Version: 04/30/1985 Date Data Arrived at EDR: 11/07/1994 Date Made Active in Reports: N/A Number of Days to Update: 0 SEATTLE COUNTY: Source: Seattle -King County Department of Public Health Telephone: 206-296-4785 Last EDR Contact: 10/21/1994 Next Scheduled EDR Contact: N/A Data Release Frequency: No Update Planned Abandoned Landfill Study in the City of Seattle The Seattle Abandoned Landfill Survey was conducted in June and July of 1984 by the Health Department's Environmental Health Division at the request of the Mayor's Office. The primary objective of the survey was to determine if any public health problems existed at the predetermined 12 sites. Date of Government Version: 07/30/1984 Date Data Arrived at EDR: 11/07/1994 Date Made Active in Reports: N/A Number of Days to Update: 0 SEATTLE/KING COUNTY: Source: Seattle - King County Department of Public Health Telephone: 206-296-4785 Last EDR Contact: 10/21/1994 Next Scheduled EDR Contact: N/A Data Release Frequency: No Update Planned Seattle - King County Abandoned Landfill Toxicity / Hazard Assessment Project This report presents the Seattle -King County Health Department's follow-up investigation of two city owned and four county owned abandoned landfills which was conducted from February to December 1986. Date of Govemment Version: 12/31/1986 Date Data Arrived at EDR: 08/18/1995 Date Made Active in Reports: 09/20/1995 Number of Days to Update: 33 SNOHOMISH COUNTY: Source: Department of Public Health Telephone: 206-296-4785 Last EDR Contact: 08/14/1995 Next Scheduled EDR Contact: N/A Data Release Frequency: No Update Planned Solid Waste Sites of Record at Snohomish Health District Date of Government Version: 02/28/2005 Date Data Arrived at EDR: 04/28/2005 Date Made Active in Reports: 05/26/2005 Number of Days to Update: 28 TACOMA/PIERCE COUNTY: Source: Snohomish Health District Telephone: 206-339-5250 Last EDR Contact: 04/12/2006 Next Scheduled EDR Contact: 07/17/2006 Data Release Frequency: Semi -Annually Closed Landfill Survey Following numerous requests for information about closed dumpsites and landfills in Pierce County, the Tacoma -Pierce County Health Department decided to conduct a study on the matter. The aim of the study was to evaluate public health risks associated with the closed dumpsites and landfills, and to determine the need, if any, for further investigations of a more detailed nature. The sites represent all of the known dumpsites and landfills closed after1950. Date of Government Version: 09/01 /2002 Date Data Arrived at EDR: 03/24/2003 Date Made Active in Reports: 05/14/2003 Number of Days to Update: 51 Source: Tacoma -Pierce County Health Department Telephone: 206-591-6500 Last EDR Contact: 03/19/2003 Next Scheduled EDR Contact: N/A Data Release Frequency: No Update Planned TC1661061.2s Page GR-11 GOVERNMENT RECORDS SEARCHED 1 DATA CURRENCY TRACKING OTHER DATABASE(S) Depending on the geographic area covered by this report, the data provided in these specialty databases may or may not be complete. For example, the existence of wetlands information data in a specific report does not mean that all wetlands in the area covered by the report are included. Moreover, the absence of any reported wetlands information does not necessarily mean that wetlands do not exist in the area covered by the report. Oil/Gas Pipelines: This data was obtained by EDR from the USGS in 1994. It is referred to by USGS as GeoData Digital Line Graphs from 1:100,000-Scale Maps. It was extracted from the transportation category including some oil, but primarily gas pipelines. Electric Power Transmission Line Data Source: PennWell Corporation Telephone: (800) 823-6277 This map includes information copyrighted by PennWell Corporation. This information is provided on a best effort basis and PennWell Corporation does not guarantee its accuracy nor warrant its fitness for any particular purpose. Such information has been reprinted with the permission of PennWell. Sensitive Receptors: There are individuals deemed sensitive receptors due to their fragile immune systems and special sensitivity to environmental discharges. These sensitive receptors typically include the elderly, the sick, and children. While the location of all sensitive receptors cannot be determined, EDR indicates those buildings and facilities - schools, daycares, hospitals, medical centers, and nursing homes - where individuals who are sensitive receptors are likely to be located. AHA Hospitals: Source: American Hospital Association, Inc. Telephone: 312-280-5991 The database includes a listing of hospitals based on the American Hospital Association's annual surrey of hospitals. Medical Centers: Provider of Services Listing Source: Centers for Medicare & Medicaid Services Telephone: 410-786-3000 A listing of hospitals with Medicare provider number, produced by Centers of Medicare & Medicaid Services, a federal agency within the U.S. Department of Health and Human Services. Nursing Homes Source: National Institutes of Health Telephone: 301-594-6248 Information on Medicare and Medicaid certified nursing homes in the United States. Public Schools Source: National Center for Education Statistics Telephone: 202-502-7300 The National Center for Education Statistics' primary database on elementary and secondary public education in the United States. It is a comprehensive, annual, national statistical database of all public elementary and secondary schools and school districts, which contains data that are comparable across all states. Private Schools Source: National Center for Education Statistics Telephone: 202-502-7300 The National Center for Education Statistics' primary database on private school locations in the United States. Daycare Centers: Daycare Center Listing Source: Department of Social & Health Services Telephone: 253-383-1735 Flood Zone Data: This data, available in select counties across the country, was obtained by EDR in 1999 from the Federal Emergency Management Agency (FEMA). Data depicts 100-year and 500-year flood zones as defined by FEMA. NWI: National Wetlands Inventory. This data, available in select counties across the country, was obtained by EDR in 2002 from the U.S. Fish and Wildlife Service. Scanned Digital USGS 7.5' Topographic Map (DRG) Source: United States Geologic Survey A digital raster graphic (DRG) is a scanned image of a U.S. Geological Survey topographic map. The map images are made by scanning published paper maps on high -resolution scanners. The raster image is georeferenced and fit to the Universal Transverse Mercator (UTM) projection. TC1661061.2s Page GR-12 GOVERNMENT RECORDS SEARCHED f DATA CURRENCY TRACKING STREET AND ADDRESS INFORMATION © 2006 Tele Atlas North America, Inc. All rights reserved. This material is proprietary and the subject of copyright protection and other intellectual property rights owned by or licensed to Tele Atlas North America, Inc. The use of this material is subject to the terms of a license agreement. You will be held liable for any unauthorized copying or disclosure of this material. TC1661061.2s Page GR-13 GEOCHECK®- PHYSICAL SETTING SOURCE ADDENDUM TARGET PROPERTY ADDRESS OLD MILLTOWN 201 5TH AVENUE SOUTH EDMONDS, WA 98020 TARGET PROPERTY COORDINATES Latitude (North): Longitude (West): Universal Tranverse Mercator: UTM X (Meters): UTM Y (Meters): Elevation: USGS TOPOGRAPHIC MAP Target Property Map: Most Recent Revision: East Map: Most Recent Revision: 47.80970 - 47° 48' 34.9" 122.3776 - 122' 22' 39.4" Zone 10 546600.1 5295118.0 61 ft. above sea level 47122-G4 EDMONDS WEST, WA 1978 47122-G3 EDMONDS EAST, WA 1978 EDR's GeoCheck Physical Setting Source Addendum is provided to assist the environmental professional in forming an opinion about the impact of potential contaminant migration. Assessment of the impact of contaminant migration generally has two principle investigative components: 1. Groundwater flow direction, and 2. Groundwater flow velocity. Groundwater flow direction may be impacted by surface topography, hydrology, hydrogeology, characteristics of the soil, and nearby wells. Groundwater flow velocity is generally impacted by the nature of the geologic strata. TC1661061.2s Page A-1 GEOCHECWK - PHYSICAL SETTING SOURCE SUMMARY GROUNDWATER FLOW DIRECTION INFORMATION Groundwater flow direction for a particular site is best determined by a qualified environmental professional using site -specific well data. If such data is not reasonably ascertainable, it may be necessary to rely on other sources of information, such as surface topographic information, hydrologic information, hydrogeologic data collected on nearby properties, and regional groundwater flow information (from deep aquifers). TOPOGRAPHIC INFORMATION Surface topography may be indicative of the direction of surficial groundwater flow. This information can be used to assist the environmental professional in forming an opinion about the impact of nearby contaminated properties or, should contamination exist on the target property, what downgradient sites might be impacted. TARGET PROPERTY TOPOGRAPHY General Topographic Gradient: General West SURROUNDING TOPOGRAPHY: ELEVATION PROFILES t R cc N O O N 2 J - N p W N O e r -+ North z TP O � - A N � N i m W N N A O O O O OI m• - West South East TP 0 1/2 1 Miles Target Property Elevation: 62 ft. Source: Topography has been determined from the USGS 7.5' Digital Elevation Model and should be evaluated on a relative (not an absolute) basis. Relative elevation information between sites of close proximity should be field verified. TC1661061.2s Page A-2 I GEOCHECK® - PHYSICAL SETTING SOURCE SUMMARY HYDROLOGIC INFORMATION Surface water can act as a hydrologic barrier to groundwater flow. Such hydrologic information can be used to assist the environmental professional in forming an opinion about the impact of nearby contaminated properties or, should contamination exist on the target property, what downgradient sites might be impacted. Refer to the Physical Setting Source Map following this summary for hydrologic information (major waterways and bodies of water). FEMA FLOOD ZONE Tarqet Property County SNOHOMISH, WA Flood Plain Panel at Target Property: Additional Panels in search area NATIONAL WETLAND INVENTORY NWI Quad at Target Pro ert EDMONDS WEST FEMA Flood Electronic Data YES - refer to the Overview Map and Detail Map 5301630005D 5355340465B 5303080001A 5355340470C NWI Electronic Data Coverage YES - refer to the Overview Map and Detail Map HYDROGEOLOGIC INFORMATION Hydrogeologic information obtained by installation of wells on a specific site can often be an indicator of groundwater flow direction in the immediate area. Such hydrogeologic information can be used to assist the environmental professional in forming an opinion about the impact of nearby contaminated properties or, should contamination exist on the target property, what downgradient sites might be impacted. Site -Specific Hydrogeological Data*., Search Radius: 1.25 miles Status: Not found AQUIFLOW® Search Radius: 1.000 Mile. EDR has developed the AQUIFLOW Information System to provide data on the general direction of groundwater flow at specific points. EDR has reviewed reports submitted by environmental professionals to regulatory authorities at select sites and has extracted the date of the report, groundwater flow direction as determined hydrogeologically, and the depth to water table. LOCATION MAP ID FROM TP 3 1/4 - 1/2 Mile NW 10 1/2 - 1 Mile WSW GENERAL DIRECTION GROUNDWATER FLOW NNW Not Reported For additional site information, refer to Physical Setting Source Map Findings 01990 Sde-qp fic hydrogenlogwol data gatherod dY CERCLIS Alerts, Inc , Hainbodge fylaod, WA All nghla meson ed All of the information and opinions presented are those of the cited EPA reporl(s), which were completed under a Cnrnlveb frksive Environrnpnlld "onse 0tb'-1nsplion and Liability Intormafran SyNom (CERCLIS) inrefliyalion. TC1661061.2s Page A-3 GEOCHECK@ - PHYSICAL SETTING SOURCE SUMMARY GROUNDWATER FLOW VELOCITY INFORMATION Groundwater flow velocity information for a particular site is best determined by a qualified environmental professional using site specific geologic and soil strata data. If such data are not reasonably ascertainable, it may be necessary to rely on other sources of information, including geologic age identification, rock stratigraphic unit and soil characteristics data collected on nearby properties and regional soil information. In general, contaminant plumes move more quickly through sandy -gravelly types of soils than silty -clayey types of soils. GEOLOGIC INFORMATION IN GENERAL AREA OF TARGET PROPERTY Geologic information can be used by the environmental professional in forming an opinion about the relative speed at which contaminant migration may be occurring. ROCK STRATIGRAPHIC UNIT GEOLOGIC AGE IDENTIFICATION Era: Cenozoic Category: Stratifed Sequence System: Quaternary Series: Quaternary Code: Q (decoded above as Era, System & Series) Geologic Age and Rock Stratigraphic Unit Source: P-G. Schruben, R.E. Arndt and W.J. Bawiec, Geology of the Conterminous U.S_ at 1:2,500,000 Scale - a digital representation of the 1974 P.B. King and H.M. Beikman Map, USGS Digital Data Series DDS - 11 (1994). TC1661061.2s Page A-4 SSURGO SOIL MAP - 1661061.2s Target Property "•, SSURGO Soil Water SITE NAME: Old Milltown ADDRESS: 201 5th Avenue South Edmonds WA 98020 LAT/LONG: 47.8097 / 122.3776 CLIENT: Farallon Consulting, LLC CONTACT: Jeff Keller INQUIRY #: 1661061.2s DATE: April 25, 2006 Ccppright 's F GEOCHECW - PHYSICAL SETTING SOURCE SUMMARY DOMINANT SOIL COMPOSITION IN GENERAL AREA OF TARGET PROPERTY The U.S. Department of Agriculture's (USDA) Soil Conservation Service (SCS) leads the National Cooperative Soil Survey (NCSS) and is responsible for collecting, storing, maintaining and distributing soil survey information for privately owned lands in the United States. A soil map in a soil survey is a representation of soil patterns in a landscape. The following information is based on Soil Conservation Service SSURGO data. Soil Map ID: 7 Soil Component Name: ALDERWOOD Soil Surface Texture: gravelly - sandy loam Hydrologic Group: Class C - Slow infiltration rates. Soils with layers impeding downward movement of water, or soils with moderately fine or fine textures. Soil Drainage Class: Moderately well drained. Soils have a layer of low hydraulic conductivity, wet state high in the profile. Depth to water table is 3 to 6 feet. Hydric Status: Soil does not meet the requirements for a hydric soil. Corrosion Potential - Uncoated Steel: MODERATE Depth to Bedrock Min: > 0 inches Depth to Bedrock Max: > 0 inches Soil Layer Information Boundary Classification Layer Upper Lower Soil Texture Class AASHTO Group Unified Soil Permeability Soil Reaction (Rate (in/hr) (pH) 1 0 inches 7 inches gravelly - Granular COARSE -GRAINED Max: 6.00 Max: 6.50 sandy loam materials (35 SOILS, Gravels, Min: 2.00 Min: 5.10 pct. or less Gravels with passing No. fines, Silty 200), Stone Gravel Fragments, Gravel and Sand. 2 7 inches 35 inches very gravelly - Granular COARSE -GRAINED Max: 6.00 Max: 6.50 loam materials (35 SOILS, Gravels, Min: 2.00 Min: 5.60 pct. or less Gravels with passing No. fines, Silty 200), Stone Gravel Fragments, Gravel and Sand. 3 35 inches 60 inches cemented Not reported Not reported Max: 0.00 Max: 0.00 Min: 0.00 Min: 0.00 TC1661061.2s Page A-6 GEOCHECW"' - PHYSICAL SETTING SOURCE SUMMARY Soil Map ID: 2 Soil Component Name: EVERETT Soil Surface Texture: gravelly - sandy loam Hydrologic Group: Class A - High infiltration rates. Soils are deep, well drained to excessively drained sands and gravels. Soil Drainage Class: Somewhat excessive. Soils have high hydraulic conductivity and low water holding capacity. Depth to water table is more than 6 feet. Hydric Status: Soil does not meet the requirements for a hydric soil. Corrosion Potential - Uncoated Steel: MODERATE Depth to Bedrock Min: > 0 inches Depth to Bedrock Max: > 0 inches Soil Layer Information Boundary Classification Layer Upper Lower ,soil Texture Class AASHTO Group Unified Soil Permeability Soil Reaction Rate (in/hr) (pH) 1 0 inches 6 inches gravelly - Granular COARSE -GRAINED Max: 6.00 Max: 6.50 sandy loam materials (35 SOILS, Sands, Min: 2.00 Min: 5.60 pct. or less Sands with fines, passing No. Silty Sand. 200), Stone Fragments, Gravel and Sand. 2 6 inches 18 inches very gravelly - Granular COARSE -GRAINED Max: 20.00 Max: 6.50 sandy loam materials (35 SOILS, Gravels, Min: 6.00 Min: 5.60 pct. or less Gravels with passing No. fines, Silty 200), Stone Gravel Fragments, Gravel and Sand. 3 18 inches 60 inches very gravelly - Granular COARSE -GRAINED Max: 20.00 Max: 6.50 coarse sand materials (35 SOILS, Gravels, Min: 20.00 Min: 5.60 pct. or less Clean gravels, passing No. Poorly Graded 200), Stone Gravel. Fragments, Gravel and Sand. TC1661061.2s Page A-7 GEOCHECW - PHYSICAL. SETTING SOURCE SUMMARY Soil Map ID: 3 Soil Component Name: EVERETT Soil Surface Texture: gravelly - sandy loam Hydrologic Group: Class A - High infiltration rates. Soils are deep, well drained to excessively drained sands and gravels. Soil Drainage Class: Somewhat excessive. Soils have high hydraulic conductivity and low water holding capacity_ Depth to water table is more than 6 feet. Hydric Status: Soil does not meet the requirements for a hydric soil. Corrosion Potential - Uncoated Steel: MODERATE Depth to Bedrock Min: > 0 inches Depth to Bedrock Max: > 0 inches Soil Layer Information Boundary Classification Layer Upper Lower Soil Texture Class AASHTO Group Unified Soil Permeability Soil Reaction Rate (inlhr) (pH) 1 0 inches 6 inches gravelly - Granular COARSE -GRAINED Max: 6.00 Max: 6.50 sandy loam materials (35 SOILS, Sands, Min: 2.00 Min: 5.60 pct. or less Sands with fines, passing No. Silty Sand. 200), Stone Fragments, Gravel and Sand. 2 6 inches 18 inches very gravelly - Granular COARSE -GRAINED Max: 20.00 Max: 6.50 sandy loam materials (35 SOILS, Gravels, Min: 6.00 Min: 5.60 pct. or less Gravels with passing No. fines, Silty 200), Stone Gravel Fragments, Gravel and Sand. 3 18 inches 60 inches very gravelly - Granular COARSE -GRAINED Max: 20.00 Max: 6.50 coarse sand materials (35 SOILS, Gravels, Min: 20.00 Min: 5.60 pct. or less Clean gravels, passing No. Poorly Graded 200), Stone Gravel. Fragments, Gravel and Sand. TC1661061.2s Page A-8 GEOCHECK®- PHYSICAL SETTING SOURCE SUMMARY Soil Map ID: 4 Soil Component Name: KITSAP Soil Surface Texture: silt loam Hydrologic Group: Class C - Slow infiltration rates. Soils with layers impeding downward movement of water, or soils with moderately fine or fine textures. Soil Drainage Class: Moderately well drained. Soils have a layer of low hydraulic conductivity, wet state high in the profile. Depth to water table is 3 to 6 feet. Hydric Status: Soil does not meet the requirements for a hydric soil. Corrosion Potential - Uncoated Steel: MODERATE Depth to Bedrock Min: > 0 inches Depth to Bedrock Max: > 0 inches Soil Layer Information Boundary Classification Layer Upper Lower .soil Texture Class AASHTO Group Unified Soil (Permeability Soil Reaction (Rate (in/hr) (pH) 1 0 inches 6 inches silt loam Silt -Clay FINE-GRAINED Max: 2.00 Max: 7.30 Materials (more SOILS, Silts and Min: 0.60 Min: 5.60 than 35 pct. Clays (liquid passing No. limit less than 200), Silty 50%), silt. Soils. 2 6 inches 33 inches silt loam Silt -Clay FINE-GRAINED Max: 2.00 Max: 7.30 Materials (more SOILS, Silts and Min: 0.60 Min: 5.60 than 35 pct. Clays (liquid passing No. limit 50% or 200), Silty more), Elastic Soils. silt. 3 33 inches Winches stratified Silt -Clay FINE-GRAINED Max: 0.10 Max: 7.30 Materials (more SOILS, Silts and Min: 0.00 Min: 5.60 than 35 pct. Clays (liquid passing No. limit 50% or 200), Silty more), Elastic Soils. I silt. Soil Map ID: 5 Soil Component Name: Soil Surface Texture: Hydrologic Group: Soil Drainage Class: ALDERWOOD gravelly - sandy loam Class C - Slow infiltration rates. Soils with layers impeding downward movement of water, or soils with moderately fine or fine textures. Moderately well drained. Soils have a layer of low hydraulic conductivity, wet state high in the profile. Depth to water table is 3 to 6 feet. TC1661061.2s Page A-9 GEOCHECK® - PHYSICAL SETTING SOURCE SUMMARY Hydric Status: Soil does not meet the requirements for a hydric soil. Corrosion Potential - Uncoated Steel: MODERATE Depth to Bedrock Min: > 0 inches Depth to Bedrock Max: > 0 inches Soil Layer Information Boundary Classification Layer Upper Lower Soil Texture Class AASHTO Group Unified Soil Permeability Rate (in/hr) Soil Reaction (pH) 1 0 inches 7 inches gravelly - Granular COARSE -GRAINED Max: 6.00 Max: 6.50 sandy loam materials (35 SOILS, Gravels, Min: 2.00 Min: 5.10 pct. or less Gravels with passing No. fines, Silty 200), Stone Gravel Fragments, Gravel and Sand. 2 7 inches 35 inches very gravelly - Granular COARSE -GRAINED Max: 6.00 Max: 6.50 loam materials (35 SOILS, Gravels, Min: 2.00 Min: 5.60 pct. or less Gravels with passing No. fines, Silty 200), Stone Gravel Fragments, Gravel and Sand. 3 35 inches Winches cemented Not reported Not reported Max: 0.00 Max: 0.00 Min: 0.00 Min: 0.00 Soil Map ID: 6 Soil Component Name: URBAN LAND Soil Surface Texture: variable Hydrologic Group: Class C - Slow infiltration rates. Soils with layers impeding downward movement of water, or soils with moderately fine or fine textures. Soil Drainage Class: Moderately well drained. Soils have a layer of low hydraulic conductivity, wet state high in the profile. Depth to water table is 3 to 6 feet. Hydric Status: Soil does not meet the requirements for a hydric soil. Corrosion Potential - Uncoated Steel: Not Reported Depth to Bedrock Min: > 0 inches Depth to Bedrock Max: > 0 inches TC1661061.2s Page A-10 1: __ __ - GEOCHECK® - PHYSICAL SETTING SOURCE SUMMARY Soil Layer Information Boundary Classification Layer Upper Lower Soil Texture Class AASHTO Group Unified Soil Permeability Soil Reaction Rate (in/hr) (pH) 1 0 inches 6 inches variable Not reported Not reported Max: 0.00 Max: 0.00 Min: 0.00 Min: 0.00 Soil Map ID: 7 Soil Component Name: MUKILTEO Soil Surface Texture: muck Hydrologic Group: Class D - Very slow infiltration rates. Soils are clayey, have a high water table, or are shallow to an impervious layer. Soil Drainage Class: Very poorly. Soils are wet to the surface most of the time. Depth to water table is less than 1 foot, or is ponded. Hydric Status: Soil meets the requirements for a hydric soil. Corrosion Potential - Uncoated Steel: HIGH Depth to Bedrock Min: > 0 inches Depth to Bedrock Max: > 0 inches Soil Layer Information Boundary Classification Layer Upper Lower Soil Texture Class AASHTO Group Unified Soil (Permeability Soil Reaction (Rate (in/hr) (pH) 1 0 inches 4 inches muck A-8 Highly organic Max: 2.00 Max: 5.00 soils, Peat. Min: 0.60 Min: 4.50 2 4 inches 35 inches mucky -peat A-8 Highly organic Max: 2.00 Max: 5.50 soils, Peat. Min: 0.60 Min: 4.50 3 35 inches 54 inches mucky -peat A-8 Highly organic Max: 2.00 Max: 5.50 soils, Peat. Min: 0.60 Min: 4.50 4 54 inches 60 inches fine sandy loam Silt -Clay FINE-GRAINED Max: 6.00 Max: 7.30 Materials (more SOILS, Silts and Min: 2.00 Min: 6.60 than 35 pct. Clays (liquid passing No. limit less than 200), Silty 50%), silt. Soils. TC1661061.2s Page A-11 GEOCHECK® - PHYSICAL SETTING SOURCE SUMMARY LOCAL ! REGIONAL WATER AGENCY RECORDS EDR Local/Regional Water Agency records provide water well information to assist the environmental professional in assessing sources that may impact ground water flow direction, and in forming an opinion about the impact of contaminant migration on nearby drinking water wells. WELL SEARCH DISTANCE INFORMATION DATABASE SEARCH DISTANCE {miles Federal USGS 1.000 Federal FRDS PWS Nearest PWS within 1 mile State Database 1.000 FEDERAL USGS WELL INFORMATION LOCATION MAP ID WELL ID FROM TP 2 USGS3280977 1/8 - 1/4 Mile WSW 4 USGS3280885 1/2 - 1 Mile SW A5 USGS3280999 1/2-1 Mile East A6 USGS3280993 1/2-1 Mile East A7 USGS3280987 1/2 - 1 Mile East B8 USGS3280983 1/2 - 1 Mile East B9 USGS3280981 1/2-1 Mile East B11 USGS3280976 1/2-1 Mile East 12 USGS3280915 1/2 - 1 Mile ESE C13 USGS3281095 1/2-1 Mile North C14 USGS3281098 1/2-1 Mile North 15 USGS3280836 1/2 - 1 Mile SSE C16 USGS3281102 1/2 - 1 Mile North 17 USGS3281046 1/2 - 1 Mile ENE D18 USGS3280975 1/2-1 Mile East D19 USGS3280969 112 -1 Mile East D20 USGS3280965 1/2-1 Mile East 21 USGS3280802 112 - 1 Mile SSW FEDERAL FRDS PUBLIC WATER SUPPLY SYSTEM INFORMATION LOCATION MAP ID WELL ID FROM TP 1 WA5315136 0 - 1/8 Mile NNE Note: PWS System location is not always the same as well location. STATE DATABASE WELL INFORMATION LOCATION MAP ID WELL ID FROM TP No Wells Found TC1661061.2s Page A-12 PHYSICAL SETTING SOURCE MAP-1661061.2s A/ N G County Boundary Major Roads Contour Lines Earthquake epicenter, Richter 5 or greater Water Wells Public Water Supply Wells Cluster of Multiple Icons 0 114 112 1 Miles Groundwater Flow Direction c i Indeterminate Groundwater Flow at Location c V Groundwater Flow Varies at Location ® Closest Hydrogeological Data SITE NAME: Old Milltown CLIENT: Farallon Consulting, LLC ADDRESS: 201 5th Avenue South CONTACT: Jeff Keller Edmonds WA 98020 INQUIRY #: 1661061.2s LAT/LONG: 47.8097 / 122.3776 DATE: April 25, 2006 Coprrlght ,c 200H EOR. Tm 4 2006 rek Albs nu . 07RW5. GEOCHECK"" - PHYSICAL SETTING SOURCE MAP FINDINGS Map ID Direction Distance Elevation Database EDR ID Number 1 NNE FRDS PWS WA5315136 0 -1/8 Mile Higher PWS ID: WA5315136 PWS Status: Active Date Initiated: 7706 Date Deactivated: Not Reported PWS Name: COUGAR GLEN %911 CARRY RD EDMONDS, WA 98020 Addressee / Facility: Not Reported Facility Latitude: 47 48 38 Facility Longitude: 122 22 33 City Served: Not Reported Treatment Class: Untreated Population: 00000025 PWS currently has or had major violation(s) or enforcement: No 2 WSW FED USGS USGS3280977 1/8 -1/4 Mile Lower Agency cd: USGS Site no: 474833122225101 Site name: 27N/03E-23R01 Latitude: 474833 Longitude: 1222251 Dec lat: 47.80898544 Dec Ion: -122.3820775 Coor meth: M Coor accr: F Latlong datum: NAD27 Dec latlong datum: NAD83 District: 53 State: 53 County: 061 Country: US Land net: SE SE S23 T27N R03E W Location map: EDMONDS WEST Map scale: 24000 Altitude: 10 Altitude method: M Altitude accuracy: 5 Altitude datum: NGVD29 Hydrologic: Puget Sound. Washington. Area = 2550 sq.mi. Topographic: Not Reported Site type: Ground -water other than Spring Date construction: 19880126 Date inventoried: 19920610 Mean greenwich time offset: PST Local standard time flag: Y Type of ground water site: Test hole, not completed as a well Aquifer Type: Not Reported Aquifer: Not Reported Well depth: 49 Hole depth: 50 Source of depth data: driller Project number: WA37600 Real time data flag: 0 Daily flow data begin date: 0000-00-00 Daily flow data end date: 0000-00-00 Daily flow data count: 0 Peak flow data begin date: 0000-00-00 Peak flow data end date: 0000-00-00 Peak flow data count: 0 Water quality data begin date: 0000-00-00 Water quality data end date:0000-00-00 Water quality data count: 0 Ground water data begin date: 1988-01-29 Ground water data end date: 1988-01-29 Ground water data count: 1 TC1661061.2s Page A-13 GEOCHECK®- PHYSICAL SETTING SOURCE MAP FINDINGS Ground -water levels, Number of Measurements: 1 Feet below Feet to Date Surface Sealevel 1988-01-29 1 3 Site ID: 4800 NW Groundwater Flow: NNW AQUIFLOW 42081 1/4 -112 Mile Shallowest Water Table Depth: 8 Lower Deepest Water Table Depth: 12 Average Water Table Depth: Not Reported Date: 05/30/1996 4 SW FED USGS USGS3280885 1/2 -1 Mile Lower Agency cd: USGS Site no: 474813122225801 Site name: 27N/03E-26B01 Latitude: 474813 Longitude: 1222258 Dec lat: 47.80342996 Dec Ion: -122.38402172 Coor meth: M Coor accr: F Latlong datum: NAD27 Dec latlong datum: NAD83 District: 53 State: 53 County: 061 Country: us Land net: NW NE S26 T27N R03E W Location map: EDMONDS WEST Map scale: 24000 Altitude: 30 Altitude method: M Altitude accuracy: 10 Altitude datum: NGVD29 Hydrologic: Puget Sound, Washington. Area = 2550 sq.mi. Topographic: Not Reported Site type: Ground -water other than Spring Date construction: 19910125 Date inventoried: 19920610 Mean greenwich time offset: PST Local standard time flag: Y Type of ground water site: Single well, other than collector or Ranney type Aquifer Type: Not Reported Aquifer: Not Reported Well depth: 55 Hole depth: 60 Source of depth data: driller Project number: WA37600 Real time data flag: 0 Daily flow data begin date: 0000-00-00 Daily flow data end date: 0000-00-00 Daily flow data count: 0 Peak flow data begin date: 0000-00-00 Peak flow data end date: 0000-00-00 Peak flow data count: 0 Water quality data begin date: 0000-00-00 Water quality data end date:0000-00-00 Water quality data count: 0 Ground water data begin date: 1991-02-01 Ground water data end date: 1992-06-10 Ground water data count: 2 Ground -water levels, Number of Measurements: 2 Feet below Feet to Date Surface Sealevel 1992-06-10 14.53 A5 East 1/2 -1 Mile Higher Feet below Feet to Date Surface Sealevel 1991-02-01 10 FED USGS USGS3280999 TC1661061.2s Page A-14 GEOCHECK®- PHYSICAL SETTING SOURCE MAP FINDINGS Agency cd: USGS Site no: 474838122215401 Site name: 27N/03E-24Q06 Latitude: 474838 Longitude: 1222154 Dec ]at: 47.8103744 Dec Ion: -122.36624368 Coor meth: M Coor accr: S Latlong datum: NAD27 Dec latlong datum: NAD83 District: 53 State: 53 County: 061 Country: US Land net: SW SE S24 T27N R03E W Location map: EDMONDS EAST Map scale: 24000 Altitude: 280 Altitude method: M Altitude accuracy: 10 Altitude datum: NGVD29 Hydrologic: Puget Sound. Washington. Area = 2550 sq.mi. Topographic: Not Reported Site type: Ground -water other than Spring Date construction: 19010101 Date inventoried: Not Reported Mean greenwich time offset: PST Local standard time flag: Y Type of ground water site: Single well, other than collector or Ranney type Aquifer Type: Not Reported Aquifer: Not Reported Well depth: 60 Hole depth: Not Reported Source of depth data: driller Project number: Not Reported Real time data flag: Not Reported Daily flow data begin date: Not Reported Daily flow data end date: Not Reported Daily flow data count: Not Reported Peak flow data begin date: Not Reported Peak flow data end date: Not Reported Peak flow data count: Not Reported Water quality data begin date: Not Reported Water quality data end date:Not Reported Water quality data count: Not Reported Ground water data begin date: Not Reported Ground water data end date: Not Reported Ground water data count: Not Reported Ground -water levels, Number of Measurements: 0 A6 East 1/2 -1 Mile Higher Agency cd: Site name: Latitude: Longitude: Dec Ion: Coor accr: Dec latlong datum: State: Country: Location map: Altitude: Altitude accuracy: Hydrologic: Topographic: Site type: Date inventoried: Local standard time flag: Type of ground water site: Aquifer Type: Aquifer: Well depth: Source of depth data: Real time data flag: Daily flow data end date: Peak flow data begin date: USGS Site no: 27N/03E-24Q05 474837 1222153 Dec lat: -122.36596587 Coor meth: S Latlong datum: NAD83 District: 53 County: US Land net: EDMONDS EAST Map scale: 280 Altitude method: 10 Altitude datum: Puget Sound. Washington. Area = 2550 sq.mi. Not Reported FED USGS USGS3280993 474837122215301 47.81009663 M NAD27 53 061 SW SE S24 T27N R03E W 24000 M NGVD29 Ground -water other than Spring Date construction: 19310101 Not Reported Mean greenwich time offset: PST Y Single well, other than collector or Ranney type Not Reported Not Reported 50 Hole depth: Not Reported driller Project number: Not Reported 0 Daily flow data begin date: 0000-00-00 0000-00-00 Daily flow data count: 0 0000-00-00 Peak flow data end date: 0000-00-00 TC1661061.2s Page A-15 GEOCHECKO- PHYSICAL SETTING SOURCE MAP FINDINGS Peak flow data count: 0 Water quality data end date:0000-00-00 Ground water data begin date: 1931-01-01 Ground water data count: 1 Ground -water levels, Number of Measurements: 1 Feet below Feet to Date Surface Sealevel 1931-01-01 6 A7 East 1/2 -1 Mile Higher Water quality data begin date: 0000-00-00 Water quality data count: 0 Ground water data end date: 1931-01-01 Agency cd: USGS Site no: Site name: 27N/03E-24Q04 Latitude: 474836 Longitude: 1222152 Dec lat: Dec Ion: -122.36568807 Coor meth: Coor accr: S Latlong datum: Dec latlong datum: NAD83 District: State: 53 County: Country: us Land net: Location map: EDMONDS EAST Map scale: Altitude: 280 Altitude method: Altitude accuracy: 10 Altitude datum: Hydrologic: Puget Sound. Washington. Area = 2550 sq.mi. Topographic: Not Reported FED USGS USGS3280987 474836122215201 47.80981886 M NAD27 53 061 SW SE S24 T27N R03E W 24000 M NGVD29 Site type: Ground -water other than Spring Date construction: 19010101 Date inventoried: Not Reported Mean greenwich time offset: PST Local standard time flag: Y Type of ground water site: Single well, other than collector or Ranney type Aquifer Type: Not Reported Aquifer: Not Reported Well depth: 100 Hole depth: Not Reported Source of depth data: driller Project number: Not Reported Real time data flag: 0 Daily flow data begin date: 0000-00-00 Daily flow data end date: 0000-00-00 Daily flow data count: 0 Peak flow data begin date: 0000-00-00 Peak flow data end date: 0000-00-00 Peak flow data count: 0 Water quality data begin date: 0000-00-00 Water quality data end date:0000-00-00 Water quality data count: 0 Ground water data begin date: 1931-01-01 Ground water data end date: 1931-01-01 Ground water data count: 1 Ground -water levels, Number of Measurements: 1 Feet below Feet to Date Surface Sealevel 1931-01-01 54 B8 East FED USGS 1/2 -1 Mile Higher USGS3280983 TC1661061,2s Page A-16 GEOCHECK,k- PHYSICAL SETTING SOURCE MAP FINDINGS Agency cd: USGS Site no: 474835122215101 Site name: 27N/03E-24Q03 Latitude: 474835 Longitude: 1222151 Dec lat: 47.80954108 Dec Ion: -122.36541027 Coor meth: M Coor accr: S Latlong datum: NAD27 Dec latlong datum: NAD83 District: 53 State: 53 County: 061 Country: US Land net: SW SE S24 T27N R03E W Location map: EDMONDS EAST Map scale: 24000 Altitude: 280 Altitude method: M Altitude accuracy: 10 Altitude datum: NGVD29 Hydrologic: Puget Sound. Washington. Area = 2550 sq.mi. Topographic: Not Reported Site type: Ground -water other than Spring Date construction: 19060101 Date inventoried: Not Reported Mean greenwich time offset: PST Local standard time flag: Y Type of ground water site: Single well, other than collector or Ranney type Aquifer Type: Not Reported Aquifer: Not Reported Well depth: 106 Hole depth: Not Reported Source of depth data: other Project number: Not Reported Real time data flag: 0 Daily flow data begin date: 0000-00-00 Daily flow data end date: 0000-00-00 Daily flow data count: 0 Peak flow data begin date: 0000-00-00 Peak flow data end date: 0000-00-00 Peak flow data count: 0 Water quality data begin date: 1959-12-18 Water quality data end date:1960-05-16 Water quality data count: 2 Ground water data begin date: 0000-00-00 Ground water data end date: 0000-00-00 Ground water data count: 0 Ground -water levels, Number of Measurements: 0 B9 East FED USGS USGS3280981 1/2 -1 Mile Higher Agency cd: USGS Site no: 474834122215001 Site name: 27N/03E-24Q02 Latitude: 474834 Longitude: 1222150 Dec lat: 47.80926331 Dec Ion: -122.36513247 Coor meth: M Coor accr: S Latlong datum: NAD27 Dec latlong datum: NAD83 District: 53 State: 53 County: 061 Country: US Land net: SW SE S24 T27N R03E W Location map: EDMONDS EAST Map scale: 24000 Altitude: 280 Altitude method: M Altitude accuracy: 10 Altitude datum: NGVD29 Hydrologic: Puget Sound. Washington. Area = 2550 sq.mi. Topographic: Not Reported Site type: Ground -water other than Spring Date construction: 19280101 Date inventoried: Not Reported Mean greenwich time offset: PST Local standard time flag: Y Type of ground water site: Single well, other than collector or Ranney type Aquifer Type: Not Reported Aquifer: Not Reported Well depth: 390 Hole depth: Not Reported Source of depth data: driller Project number: Not Reported Real time data flag: Not Reported Daily flow data begin date: Not Reported Daily flow data end date: Not Reported Daily flow data count: Not Reported Peak flow data begin date: Not Reported Peak flow data end date: Not Reported TC1661061.2s Page A-17 GEOCHECK®- PHYSICAL SETTING SOURCE MAP FINDINGS Peak flow data count: Not Reported Water quality data end date:Not Reported Ground water data begin date: Not Reported Ground water data count: Not Reported Ground -water levels, Number of Measurements: 0 10 Site ID: 1237 WSW Groundwater Flow: Not Reported 112 -1 Mile Lower Shallowest Water Table Depth: Not Reported Deepest Water Table Depth: Not Reported Average Water Table Depth: 4 Date: 02/28/1995 B11 East 112 -1 Mile Higher Water quality data begin date: Not Reported Water quality data count: Not Reported Ground water data end date: Not Reported Agency cd: USGS Site no: Site name: 27N/03E-24Q01 Latitude: 474833 Longitude: 1222149 Dec lat: Dec Ion: -122.36485467 Coor meth: Coor accr: S Latlong datum: Dec latlong datum: NAD83 District: State: 53 County: Country: US Land net: Location map: EDMONDS EAST Map scale: Altitude: 280 Altitude method: Altitude accuracy: 10 Altitude datum: Hydrologic: Puget Sound. Washington. Area = 2550 sq.mi. Topographic: Not Reported AQUIFLOW 41774 FED USGS USGS3280976 474833122214901 47.80898554 M NAD27 53 061 SW SE S24 T27N R03E W 24000 M NGVD29 Site type: Ground -water other than Spring Date construction: 19290101 Date inventoried: Not Reported Mean greenwich time offset: PST Local standard time flag: Y Type of ground water site: Single well, other than collector or Ranney type Aquifer Type: Not Reported Aquifer: Not Reported Well depth: 992 Hole depth: Not Reported Source of depth data: driller Project number: Not Reported Real time data flag: Not Reported Daily flow data begin date: Not Reported Daily flow data end date: Not Reported Daily flow data count: Not Reported Peak flow data begin date: Not Reported Peak flow data end date: Not Reported Peak flow data count: Not Reported Water quality data begin date: Not Reported Water quality data end date:Not Reported Water quality data count: Not Reported Ground water data begin date: Not Reported Ground water data end date: Not Reported Ground water data count: Not Reported Ground -water levels, Number of Measurements: 0 12 ESE 1/2 -1 Mile Higher FED USGS USGS3280915 TC1661061.2s Page A-18 GEOCHECKV- PHYSICAL SETTING SOURCE MAP FINDINGS Agency cd: USGS Site no: 474820122215301 Site name: 27N/04E-18P01 Latitude: 474820 Longitude: 1222153 Dec lat: 47.80537448 Dec Ion: -122.36596563 Coor meth: M Coor accr: S Latlong datum: NAD27 Dec latlong datum: NAD83 District: 53 State: 53 County: 061 Country: US Land net: SE SW S18 T27N R04E W Location map: EDMONDS EAST Map scale: 24000 Altitude: 390 Altitude method: M Altitude accuracy: 10 Altitude datum: NGVD29 Hydrologic: Puget Sound. Washington. Area = 2550 sq.mi. Topographic: Not Reported Site type: Ground -water other than Spring Date construction: 19280101 Date inventoried: Not Reported Mean greenwich time offset: PST Local standard time flag: Y Type of ground water site: Single well, other than collector or Ranney type Aquifer Type: Not Reported Aquifer: Not Reported Well depth: 170 Hole depth: Not Reported Source of depth data: driller Project number: Not Reported Real time data flag: 0 Daily flow data begin (late: 0000-00-00 Daily flow data end date: 0000-00-00 Daily flow data count: 0 Peak flow data begin date: 0000-00-00 Peak flow data end date: 0000-00-00 Peak flow data count: 0 Water quality data begin date: 0000-00-00 Water quality data end date:0000-00-00 Water quality data count: 0 Ground water data begin date: 1928-01-01 Ground water data end date: 1928-01-01 Ground water data count: 1 Ground -water levels, Number of Measurements: 1 Feet below Feet to Date Surface Sealevel 1928-01-01 150 C13 North 1/2 -1 Mile Lower Agency cd: Site name: Latitude: Longitude: Dec Ion: Coor accr: Dec latlong datum: State: Country: Location map: Altitude: Altitude accuracy: Hydrologic: Topographic: Site type: Date inventoried: USGS Site no: 27N/04E-20D01 474912 1222227 Dec lat: -122.37541115 Coor meth: S Latlong datum: NAD83 District: 53 County: US Land net: EDMONDS EAST Map scale: 420 Altitude method 10 Altitude datum: Puget Sound. Washington. Area = 2550 sq.mi. Not Reported FED USGS USGS3281095 474912122222701 47.81981865 M NAD27 53 061 NW NW S20 T27N R04E W 24000 M NGVD29 Ground -water other than Spring Date construction: 19250101 Not Reported Mean greenwich time offset: PST TC1661061.2s Page A-19 GEOCHECK@- PHYSICAL SETTING SOURCE MAP FINDINGS Local standard time flag: Y Type of ground water site: Single well, other than collector or Ranney type Aquifer Type: Not Reported Aquifer: Not Reported Well depth: 185 Hole depth: Not Reported Source of depth data: driller Project number: Not Reported Real time data flag: Not Reported Daily flow data begin date: Not Reported Daily flow data end date: Not Reported Daily flow data count: Not Reported Peak flow data begin date: Not Reported Peak flow data end date: Not Reported Peak flow data count: Not Reported Water quality data begin date: Not Reported Water quality data end date:Not Reported Water quality data count: Not Reported Ground water data begin date: Not Reported Ground water data end date: Not Reported Ground water data count: Not Reported Ground -water levels, Number of Measurements: 0 C14 North 1/2 - 1 Mile Lower Agency cd: USGS Site no: Site name: 27N/04E-20D02 Latitude: 474913 Longitude: 1222228 Dec lat: Dec Ion: -122.37568895 Coor meth: Coor accr: S Latlong datum: Dec latlong datum: NAD83 District: State: 53 County: Country: US Land net: Location map: EDMONDS EAST Map scale: Altitude: 420 Altitude method: Altitude accuracy: 10 Altitude datum: Hydrologic: Puget Sound. Washington. Area = 2550 sq.mi. Topographic: Not Reported FED USGS USGS3281098 474913122222801 47.82009642 M NAD27 53 061 NW NW S20 T27N R04E W 24000 M NGVD29 Site type: Ground -water other than Spring Date construction: 19280101 Date inventoried: Not Reported Mean greenwich time offset: PST Local standard time flag: Y Type of ground water site: Single well, other than collector or Ranney type Aquifer Type: Not Reported Aquifer: Not Reported Well depth: 162 Hole depth: Not Reported Source of depth data: driller Project number: Not Reported Real time data flag: 0 Daily flow data begin date: 0000-00-00 Daily flow data end date: 0000-00-00 Daily flow data count: 0 Peak flow data begin date: 0000-00-00 Peak flow data end date: 0000-00-00 Peak flow data count: 0 Water quality data begin date: 0000-00-00 Water quality data end date:0000-00-00 Water quality data count: 0 Ground water data begin date: 1928-01-01 Ground water data end date: 1928-01-01 Ground water data count: 1 Ground -water levels, Number of Measurements: 1 Feet below Feet to Date Surface Sealevel 1928-01-01 130 TC1661061.2s Page A-20 GEOCHECKPHYSICAL. SETTING SOURCE MAP FINDINGS Map ID Direction Distance Elevation Database EDR ID Number 15 SSE FED USGS USGS3280836 1/2 -1 Mile Higher Agency cd: USGS Site no: 474801122221101 Site name: 27N/03E-25F01S Latitude: 474801 Longitude: 1222211 Dec lat: 47.80009675 Dec Ion: -122.37096554 Coor meth: M Coor accr: F Latlong datum: NAD27 Dec latlong datum: NAD83 District: 53 State: 53 County: 061 Country: US Land net: SE NW S25 T27N R03E W Location map: EDMONDS EAST Map scale: 24000 Altitude: 220 Altitude method: M Altitude accuracy: 10 Altitude datum: NGVD29 Hydrologic: Puget Sound. Washington. Area = 2550 sq.mi. Topographic: Not Reported Site type: Spring Date construction: 19930923 Date inventoried: 19930923 Mean greenwich time offset: PST Local standard time flag: Y Type of ground water site: Spring Aquifer Type: Not Reported Aquifer: Not Reported Well depth: Not Reported Hole depth: Not Reported Source of depth data: Not Reported Project number: WA37600 Real time data flag: 0 Daily flow data begin date: 0000-00-00 Daily flow data end date: 0000-00-00 Daily flow data count: 0 Peak flow data begin date: 0000-00-00 Peak flow data end date: 0000-00-00 Peak flow data count: 0 Water quality data begin date: 1993-09-29 Water quality data end date:1993-09-29 Water quality data count: 1 Ground water data begin date: 0000-00-00 Ground water data end date: 0000-00-00 Ground water data count: 0 Ground -water levels, Number of Measurements: 0 C16 North 1/2 -1 Mile Lower Agency cd: Site name: Latitude: Longitude: Dec Ion: Coor accr: Dec latlong datum: State: Country: Location map: Altitude: Altitude accuracy: Hydrologic: Topographic: Site type: Date inventoried: USGS Site no: 27N/04E-20D03 474914 1222229 Dec lat: -122.37596675 Coor meth: S Latlong datum: NAD83 District: 53 County: US Land net: EDMONDS EAST Map scale: 420 Altitude method 10 Altitude datum: Puget Sound. Washington. Area = 2550 sq.mi. FED USGS USGS3281102 474914122222901 47.8203742 M NAD27 53 061 NW NW S20 T27N R04E W 24000 M NGVD29 Not Reported Ground -water other than Spring Date construction: 19340101 Not Reported Mean greenwich time offset: PST TC1661061.2s Page A-21 GEOCHECK®- PHYSICAL SETTING SOURCE MAP FINDINGS Local standard time flag: Y Type of ground water site: Single well, other than collector or Ranney type Aquifer Type: Not Reported Aquifer: Not Reported Well depth: 185 Hole depth: Not Reported Source of depth data: driller Project number: Not Reported Real time data flag: 0 Daily flow data begin date: 0000-00-00 Daily flow data end date: 0000-00-00 Daily flow data count: 0 Peak flow data begin date: 0000-00-00 Peak flow data end date: 0000-00-00 Peak flow data count: 0 Water quality data begin date: 0000-00-00 Water quality data end date:0000-00-00 Water quality data count: 0 Ground water data begin date: 1945-01-24 Ground water data end date: 1945-01-24 Ground water data count: 1 Ground -water levels, Number of Measurements: 1 Feet below Feet to Date Surface Sealevel 1945-01-24 120 17 ENE FED USGS USGS3281046 112 - 1 Mile Higher Agency cd: USGS Site no: 474852122214001 Site name: 27N/04E-19D01 Latitude: 474852 Longitude: 1222140 Dec lat: 47.81426326 Dec Ion: -122.36235485 Coor meth: M Coor accr: S Latlong datum: NAD27 Dec latlong datum: NAD83 District: 53 State: 53 County: 061 Country: US Land net: NW NW S19 T27N R04E W Location map: EDMONDS EAST Map scale: 24000 Altitude: 360 Altitude method: M Altitude accuracy: 10 Altitude datum: NGVD29 Hydrologic: Puget Sound. Washington. Area = 2550 sq.mi. Topographic: Not Reported Site type: Ground -water other than Spring Date construction: 19010101 Date inventoried: Not Reported Mean greenwich time offset: PST Local standard time flag: Y Type of ground water site: Single well, other than collector or Ranney type Aquifer Type: Not Reported Aquifer: Not Reported Well depth: 170 Hole depth: Not Reported Source of depth data: driller Project number: Not Reported Real time data flag: 0 Daily flow data begin date: 0000-00-00 Daily flow data end date: 0000-00-00 Daily flow data count: 0 Peak flow data begin date: 0000-00-00 Peak flow data end date: 0000-00-00 Peak flow data count: 0 Water quality data begin date: 0000-00-00 Water quality data end date:0000-00-00 Water quality data count: 0 Ground water data begin date: 1901-01-01 Ground water data end date: 1901-01-01 Ground water data count: 1 TC1661061.2s Page A-22 GEOCHECKrN - PHYSICAL SETTING SOURCE MAP FINDINGS Ground -water levels, Number of Measurements: 1 Feet below Feet to Date Surface Sealevel 1901-01-01 150 D18 East 1/2 -1 Mile Higher Agency cd: USGS Site no: Site name: 27N/03E-24R03 Latitude: 474833 Longitude: 1222131 Dec lat: Dec Ion: -122.35985449 Coor meth: Coor accr: S Latlong datum: Dec latlong datum: NAD83 District: State: 53 County: Country: US Land net: Location map: EDMONDS EAST Map scale: Altitude: 300 Altitude method: Altitude accuracy: 10 Altitude datum: Hydrologic: Puget Sound. Washington. Area = 2550 sq.mi. Topographic: Not Reported FED USGS USGS3280975 474833122213101 47.80898557 M NAD27 53 061 SE SE S24 T27N R03E W 24000 M NGVD29 Site type: Ground -water other than Spring Date construction: 19570320 Date inventoried: Not Reported Mean greenwich time offset: PST Local standard time flag: Y Type of ground water site: Single well, other than collector or Ranney type Aquifer Type: Not Reported Aquifer: Not Reported Well depth: 281 Hole depth: Not Reported Source of depth data: driller Project number: Not Reported Real time data flag: Not Reported Daily flow data begin date: Not Reported Daily flow data end date: Not Reported Daily flow data count: Not Reported Peak flow data begin date: Not Reported Peak flow data end date: Not Reported Peak flow data count: Not Reported Water quality data begin date: Not Reported Water quality data end date:Not Reported Water quality data count: Not Reported Ground water data begin date: Not Reported Ground water data end date: Not Reported Ground water data count: Not Reported Ground -water levels, Number of Measurements: 0 D19 East FED USGS USGS3280969 1/2 -1 Mile Higher Agency cd: USGS Site no: 474832122213001 Site name: 27N/03E-24R02 Latitude: 474832 Longitude: 1222130 Dec lat: 47.8087078 Dec Ion: -122.35957669 Coor meth: M Coor accr: S Latlong datum: NAD27 Dec latlong datum: NAD83 District: 53 State: 53 County: 061 Country: US Land net: SE SE S24 T27N R03E W Location map: EDMONDS EAST Map scale: 24000 TC1661061.2s Page A-23 GEOCHECK®- PHYSICAL SETTING SOURCE MAP FINDINGS Altitude: 300 Altitude method: M Altitude accuracy: 10 Altitude datum: NGVD29 Hydrologic: Puget Sound. Washington. Area = 2550 sq.mi. Topographic: Not Reported Site type: Ground -water other than Spring Date construction: 19510225 Date inventoried: Not Reported Mean greenwich time offset: PST Local standard time flag: Y Type of ground water site: Single well, other than collector or Ranney type Aquifer Type: Not Reported Aquifer: Not Reported Well depth: 122 Hole depth: Not Reported Source of depth data: driller Project number: Not Reported Real time data flag: Not Reported Daily flow data begin date: Not Reported Daily flow data end date: Not Reported Daily flow data count: Not Reported Peak flow data begin date: Not Reported Peak flow data end date: Not Reported Peak flow data count: Not Reported Water quality data begin date: Not Reported Water quality data end date:Not Reported Water quality data count: Not Reported Ground water data begin date: Not Reported Ground water data end date: Not Reported Ground water data count: Not Reported Ground -water levels, Number of Measurements: 0 D20 East 1/2 -1 Mile Higher Agency cd: USGS Site no: Site name: 27N/03E-24R01 Latitude: 474831 Longitude: 1222129 Dec lat: Dec Ion: -122.35929889 Coor meth: Coor accr: S Latlong datum: Dec latlong datum: NAD83 District: State: 53 County: Country: US Land net: Location map: EDMONDS EAST Map scale: Altitude: 300 Altitude method: Altitude accuracy: 10 Altitude datum: Hydrologic: Puget Sound. Washington. Area = 2550 sq.mi. Topographic: Not Reported FED USGS USGS3280965 474831122212901 47.80843002 M NAD27 53 061 SE SE S24 T27N R03E W 24000 M NGVD29 Site type: Ground -water other than Spring Date construction: 19570130 Date inventoried: Not Reported Mean greenwich time offset: PST Local standard time flag: Y Type of ground water site: Single well, other than collector or Ranney type Aquifer Type: Not Reported Aquifer: Not Reported Well depth: 167 Hole depth: Not Reported Source of depth data: driller Project number: Not Reported Real time data flag: Not Reported Daily flow data begin date: Not Reported Daily flow data end date: Not Reported Daily flow data count: Not Reported Peak flow data begin date: Not Reported Peak flow data end date: Not Reported Peak flow data count: Not Reported Water quality data begin date: Not Reported Water quality data end date:Not Reported Water quality data count: Not Reported Ground water data begin date: Not Reported Ground water data end date: Not Reported Ground water data count: Not Reported Ground -water levels, Number of Measurements: 0 TC1661061.2s Page A-24 GEOCHECK®- PHYSICAL SETTING SOURCE MAP FINDINGS Map ID Direction Distance Elevation Database EDR ID Number 21 SSW FED USGS USGS3280802 1/2 -1 Mile Higher Agency cd: USGS Site no: 474753122231701 Site name: 27N/03E-26L01 Latitude: 474753 Longitude: 1222317 Dec lat: 47.79787445 Dec Ion: -122.3892994 Coor meth: M Coor accr: F Latlong datum: NAD27 Dec latlong datum: NAD83 District: 53 State: 53 County: 061 Country: US Land net: NE SW S26 T27N R03E W Location map: EDMONDS WEST Map scale: 24000 Altitude: 220 Altitude method: M Altitude accuracy: 10 Altitude datum: NGVD29 Hydrologic: Puget Sound. Washington. Area = 2550 sq.mi. Topographic: Not Reported Site type: Ground -water other than Spring Date construction: 19920205 Date inventoried: 19930819 Mean greenwich time offset: PST Local standard time flag: Y Type of ground water site: Single well, other than collector or Ranney type Aquifer Type: Not Reported Aquifer: Not Reported Well depth: 256 Hole depth: 258 Source of depth data: driller Project number: WA37600 Real time data flag: Not Reported Daily flow data begin date: Not Reported Daily flow data end date: Not Reported Daily flow data count: Not Reported Peak flow data begin date: Not Reported Peak flow data end date: Not Reported Peak flow data count: Not Reported Water quality data begin date: Not Reported Water quality data end date:Not Reported Water quality data count: Not Reported Ground water data begin date: Not Reported Ground water data end date: Not Reported Ground water data count: Not Reported Ground -water levels, Number of Measurements: 0 TC1661061,2s Page A-25 GEOCHECK®- PHYSICAL SETTING SOURCE MAP FINDINGS RADON AREA RADON INFORMATION Federal EPA Radon Zone for SNOHOMISH County: 3 Note: Zone 1 indoor average level > 4 pCi/L. : Zone 2 indoor average level >= 2 pCi/L and <= 4 pCi/L. : Zone 3 indoor average level < 2 pCi/L. Federal Area Radon Information for Zip Code: 98020 Number of sites tested: 3 Area Average Activity % <4 pCi/L % 4-20 pCi/L % >20 pCi/L Living Area - 1st Floor 0.267 pCi/L 100% 0% 0% Living Area - 2nd Floor Not Reported Not Reported Not Reported Not Reported Basement Not Reported Not Reported Not Reported Not Reported TC1661061.2s Page A-26 PHYSICAL SETTING SOURCE RECORDS SEARCHED TOPOGRAPHIC INFORMATION USGS 7.5' Digital Elevation Model (DEM) Source: United States Geologic Survey EDR acquired the USGS 7.5' Digital Elevation Model in 2002 and updated it in 2006. The 7.5 minute DEM corresponds to the USGS 1:24,000- and 1:25,000-scale topographic quadrangle maps. The DEM provides elevation data with consistent elevation units and projection. Scanned Digital USGS 7.5' Topographic Map (DRG) Source: United States Geologic Survey A digital raster graphic (DRG) is a scanned image of a U.S. Geological Survey topographic map. The map images are made by scanning published paper maps on high -resolution scanners. The raster image is georeferenced and fit to the Universal Transverse Mercator (UTM) projection. HYDROLOGIC INFORMATION Flood Zone Data: This data, available in select counties across the country, was obtained by EDR in 1999 from the Federal Emergency Management Agency (FEMA). Data depicts 100-year and 500-year flood zones as defined by FEMA. NWI: National Wetlands Inventory. This data, available in select counties across the country, was obtained by EDR in 2002 from the U.S. Fish and Wildlife Service. HYDROGEOLOGIC INFORMATION AQUIFLOWR Information System Source: EDR proprietary database of groundwater flow information EDR has developed the AQUIFLOW Information System (AIS) to provide data on the general direction of groundwater flow at specific points. EDR has reviewed reports submitted to regulatory authorities at select sites and has extracted the date of the report, hydrogeologically determined groundwater flow direction and depth to water table information. GEOLOGIC INFORMATION Geologic Age and Rock Stratigraphic Unit Source: P.G. Schruben, R.E. Arndt and W.J. Bawiec, Geology of the Conterminous U.S. at 1:2,500,000 Scale - A digital representation of the 1974 P.B. King and H.M. Beikman Map, USGS Digital Data Series DDS - 11 (1994). STATSGO: State Soil Geographic Database Source: Department of Agriculture, Natural Resources Conservation Services The U.S. Department of Agriculture's (USDA) Natural Resources Conservation Service (NRCS) leads the national Conservation Soil Survey (NCSS) and is responsible for collecting, storing, maintaining and distributing soil survey information for privately owned lands in the United States. A soil map in a soil survey is a representation of soil patterns in a landscape. Soil maps for STATSGO are compiled by generalizing more detailed (SSURGO) soil survey maps. SSURGO: Soil Survey Geographic Database Source: Department of Agriculture, Natural Resources Conservation Services (NRCS) Telephone: 800-672-5559 SSURGO is the most detailed level of mapping done by the Natural Resources Conservation Services, mapping scales generally range from 1:12,000 to 1:63,360. Field mapping methods using national standards are used to construct the soil maps in the Soil Survey Geographic (SSURGO) database. SSURGO digitizing duplicates the original soil survey maps. This level of mapping is designed for use by landowners, townships and county natural resource planning and management. TC1661061.2s Page A-27 PHYSICAL SETTING SOURCE RECORDS SEARCHED LOCAL / REGIONAL WATER AGENCY RECORDS FEDERAL WATER WELLS PWS: Public Water Systems Source: EPA/Office of Drinking Water Telephone: 202-564-3750 Public Water System data from the Federal Reporting Data System. A PWS is any water system which provides water to at least 25 people for at least 60 days annually. PWSs provide water from wells, rivers and other sources. PWS ENF: Public Water Systems Violation and Enforcement Data Source: EPA/Office of Drinking Water Telephone: 202-564-3750 Violation and Enforcement data for Public Water Systems from the Safe Drinking Water Information System (SDWIS) after August 1995. Prior to August 1995, the data came from the Federal Reporting Data System (FRDS). USGS Water Wells: USGS National Water Inventory System (NWIS) This database contains descriptive information on sites where the USGS collects or has collected data on surface water and/or groundwater. The groundwater data includes information on wells, springs, and other sources of groundwater. STATE RECORDS Water Wells Source: Department of Transportation Telephone: 360-705-7444 Group A well location points in Washington State. Kitsap County Water Wells in Washington Source: Public Utility District No. 1 of Kitsap County Telephone: 206-779-7656 STATE DATABASE INFORMATION RADON Area Radon Information Source: USGS Telephone: 703-356-4020 The National Radon Database has been developed by the U.S, Environmental Protection Agency (USEPA) and is a compilation of the EPA/State Residential Radon Survey and the National Residential Radon Survey. The study covers the years 1986 - 1992. Where necessary data has been supplemented by information collected at private sources such as universities and research institutions. EPA Radon Zones Source: EPA Telephone: 703-356-4020 Sections 307 & 309 of IRAA directed EPA to list and identify areas of U.S. with the potential for elevated indoor radon levels. OTHER Airport Landing Facilities: Private and public use landing facilities Source: Federal Aviation Administration, 800-457-6656 Epicenters: World earthquake epicenters, Richter 5 or greater Source: Department of Commerce, National Oceanic and Atmospheric Administration TC1661061.2s Page A-28 PHYSICAL SETTING SOURCE RECORDS SEARCHED STREET AND ADDRESS INFORMATION © 2006 Tele Atlas North America, Inc. All rights reserved. This material is proprietary and the subject of copyright protection and other intellectual property rights owned by or licensed to Tele Atlas North America, Inc. The use of this material is subject to the terms of a license agreement. You will be held liable for any unauthorized copying or disclosure of this material. TC1661061 2s Page A-29 APPENDIX D QUALIFICATIONS PHASE I ENVIRONMENTAL SITE ASSESSMENT Old Milltown Building 201 Fifth Avenue South Edmonds, Washington Farallon PN: 502-001 I-LV*cos\502 GPA15020D1 Old 14ftwnlRq u uTMsc I ESA\Phs I npt duo Farallon Consulting, L.L.C. JEFF A. KELLER Staff Chemist B.S. Chemistry, with a minor in Environmental Science and Regional Planning, 1999 Washington State University Mr. Keller has over 5 years of professional experience in the environmental sciences, including oil and hazardous waste spill responses, site investigations, Phase I environmental site assessments, and analytical sampling and testing. Mr. Keller's background also comprises asbestos and lead sampling, Stormwater surveys, and biological assays of marine life. He has conducted data validation and review, stormwater surveys, and database development for comprehensive oil spill responses. PROJECT EXPERIENCE • Long -Term Phase H Groundwater Monitoring and Sampling Performed groundwater sampling at a variety of Coast Guard and privately owned properties. Monitored and characterized contaminant concentrations and determined contaminant plume migration. Maintained, repaired, and programmed soil sparging systems for contaminant removal. Developed groundwater remediation plans and monitored clean-up efforts. • Stormwater, Catch Basin, and Best Management Practices (BMPs) Sampling and Monitoring Performed sediment sampling for Seattle Public Utilities at several city storm sewer sites, and sediment sampling from storm drains in western Washington for the Washington State Department of Transportation (WSDOT). Drafted project summary reports and assessed the need for additional sampling events. Performed stormwater and sediment sampling from experimental BMPs for WSDOT. Monitored a variety of constituents to assess BMP adherence to state and federal stormwater guidelines. • Stormwater Ontfall Inventory and Prioritization Pilot Program Performed and managed field surveys to identify WSDOT stormwater outfalls within the state of Washington. Surveys included inventorying outfalls, identifying specific conveyance structures within the outfalls, identifying receiving water bodies, determining percentage of WSDOT contributions to sub -watersheds, and recommending BMPs installation, improvements, and/or retrofits. Interpreted field observations for inclusion in the stormwater database to prioritize WSDOT outfalls, using a variety of environmental, structural, and economic parameters obtained through field observation, government resources, and GIS maps of'sub-watersheds in the state of Washington. E. 1A1rhrftV?e-m.1X,11,A2006UK R-mu d- I of 3 Jeff Keller "Z_ • Phase I Environmental Site Assessments and Phase II Follow-up Sampling Examined over 100 potential wireless communication locations for possible contamination from past or current practices at subject or surrounding properties, Inspected industrial, residential, commercial, and mixed -use properties for possible environmental hazards. Conducted National Environmental Policy Act (NEPA) consultations with local Native American Tribes, U.S. Fish and Wildlife, and the State Historical Preservation Offices. Performed follow-up Phase II sampling at potentially contaminated locations. Prepared biological evaluations for properties adjacent to endangered or threatened species habitat. ■ Good Faith Asbestos and Lead Surveys Performed surveys and interior and exterior sampling for asbestos -containing building materials (ACBMs) at structures on over 100 properties, in conformance with the Asbestos Hazard Emergency Response Act (AHERA) protocols and state regulations. Provided sample data interpretation, reporting, cost estimates for removal and disposal, and recommendations for health and safety procedures. Performed lead -based paint sampling at commercial and industrial buildings, residences, and water towers. • Oil Spill Response Team Collected ephemeral data at Puget Sound shoreline sites to establish oil spill liability baselines. Conducted biological assays to determine bioaccumulation rates of hydrocarbons among marine life in northern Puget Sound. Classified and sampled marine organisms for the Puget Sound Ambient Monitoring Program. ■ Analytical Chemistry Projects Prepared and analyzed a wide variety of matrices for metals determination, reviewed data for adherence to QA/QC procedures, and reported results. Developed the laboratory method for Gel Permeation chromatography_ Maintained instrumentation, and trained personnel on a broad range of inorganic and organic instrumentation. TECHNICAL EXPERTISE • Experienced with differential Global Positioning System (GPS) software, soil sparging units, photoionization detectors, Trimble GEO-XT sub -meter GPS unit, and soil and groundwater sampling equipment. • Knowledgeable about state hazardous waste regulations, NEPA, Washington State Environmental Policy Act, Washington State Model Toxics Control Act, AHERA, and U.S. Army Corps of Engineers Wetlands Delineation regulations. E_1hf-)x11nglRavme Wdk,i2Q06L& hcsumr d— 2 of 3 7. PROFESSIONAL CERTIFICATIONS 40-Hour OSHA Health and Safety Training (29 CFR 1910.120), 2003 AHERA-Accredited Building Inspector, Certification Number 01-3593 Washington State Site Assessor, Number 5223836 38-Hour Wetlands Delineation Training, 2003 American Red Cross Adult CPR Certification, 2003 US Awry Corps of Engineers Construction Quality Management Training BNSF Contractor Orientation Course Jeff Keller E.Ui-keringlR,"malKeUcrl2Og6UKRm-mI duc 3 of Farallon Consulting, L.L.C. PETER D. JEWETT, L.G., L.E.G. Principal Engineering Geologist M.S. Geology, 1984 Western Washington University B,S. Geology, 1980 Western Washington University Mr'. Jewett is an Engineering Geologist with over 20 years of experience in remediation engineering, environmental investigations, site assessments, and facility audits. He has had extensive experience in providing technical support and management of complex studies involving the identification and remediation of hazardous wastes, review and evaluation of site historical data, and evaluation of environmental liabilities. He has conducted and managed Remedial Investigations/Feasibility Studies (RI/FS), remediation designs for soil and groundwater cleanup, reviewed and evaluated cost allocations associated with multiple party environmental liabilities, Phase I environmental assessment reports, Phase 11 Subsurface Investigations, and managed construction of large-scale remediation projects. His project experience follows, PRIOR WORK EXPERIENCE • 1982-1984- Dresser Atlas. Exploration Geologist ■ 1984-1991 — Cascade Geotechnical. Engineering Geologist ■ 1990-1999 — SECOR International. Environmental Geologist 1999-Present —Farallon Consulting, L.L.C. Principal Engineering Geologist PROJECT EXPERIENCE Phase I Environmental Site Assessments ■ Coordinator for Prudential Mortgage Capital Company for Phase I Environmental Site Assessments prepared by Farallon. Provides review and oversight of all Phase I ESA prepared for Prudential. • Coordinator for Vermont National Life for Phase I Environmental Site Assessments prepared by Farallon. Provides review and oversight of all Phase I ESA prepared for VNL. E AAldx 1 of Peter A Jewett, 1.G, LE.G. Manages and reviews all Phase I ESA reports prepared by Farallon for a numerous clients. Mr. Jewett has conducted and provided senior review and oversight on Phase I ESA for over 15 years. Remedial Invesfi ation/Feasibility Study Currently manages the Remedial Investigation/Feasibility Study of the Hamilton-Labree Superfund Site under the National Contingency Plan (NCP) and USEPA NPL site. The site consists of'soil and groundwater contaminated with tetracholorethene (PCE) from known and unknown sources. Concentrations of PCE have been identified in water supply wells that have required the implementation of a bottled drinking water program. The sources of the PCE have not been identified. The vertical and lateral extent of PCE in groundwater has not been defined. The ongoing RI/FS is in progress to determine the source(s) of PCE, the extent of PCE in groundwater, and to develop technically feasible cleanup alternatives in accordance with USEPA NCP guidelines. Managed the Remedial Investigation (RI) of a six square mile area for tetrachloroethene (PCE) located within a large urban center in eastern Washington State for a multi -party group under a Consent Decree with the Washington State Department of Ecology. The RI focused on evaluating the extent and migration pathway of PCE and associated degradation products in soil and groundwater from multiple sources. An extensive subsurface investigation coupled with an aquifer pump test, long-term monitoring, and population surveys of water use were included within the scope of the project. The results of the RI identified the distribution of PCE in groundwater, potential receptors of groundwater contamination, and migration pathways. Mr. Jewett is currently assisting the multi -party group with negotiations with Ecology. Manages the Manhole 34 negotiations for a PLP group consisting of ARCO, Texaco, and Time Oil Company with the Washington State Department of Ecology for completion of a Corrective Action Plan. The contamination consisted of floating product, which extended across multiple sites and city streets and had entered an underground storm -sewer system. Buildup of floating product in the storm sewer had created an explosive environment and a risk to utility workers. The storm system was remediated and a long-term remediation plan for the site was negotiated by the PRP group with Ecology. The remediation plan will include passive remediation and long term monitoring. Negotiations are in progress for a construction schedule for the passive system installation. Completed a RI/FS of a wrecking yard subsequently developed as a medical clinic with residual concentrations of chlorinated solvents in the groundwater. Provided a detailed evaluation of site conditions and feasible remediation technologies associated with the site cleanup. Provided technical support for negotiations with property owners and regulatory agencies for site cleanup_ • Managed a site investigation of soil and groundwater for the concentration and distribution of PCE released from dry cleaners in Bremerton, Washington_ Extremely high concentrations E N1.rkamgV?--Uc rJl00SVJ Raw—AAJ dnc 2 of 4 PeterD_ Jewett, L.G, L.E.C. of PCE have been detected in soil based on a soil gas survey and soil sampling. Installation and sampling of groundwater wells for an evaluation of PCE concentrations and DNAPL. Completed an emergency interim remedial action and completing a RI/FS of a site with concentrations of' pesticides, including chlordane, dieldrin, DDT, and Heptachlor in a residential neighborhood in close proximity to a day care facility. The project has included immediate removal of contaminated soil in the day care playground, installation of a surface water control and recovery system, and collection of over 120 soil samples to delineate the concentrations and extent of'pesticide contamination on -site. A remedial action plan and cost estimate is currently in development for cleanup of the soil, which is designated a land -ban dangerous waste. Completed a revision of•a Remedial Investigation/Feasibility Study for a RCRA Part B Clean Closure of an ethylene glycol recycling facility located in the Commencement Bay Superfund Area. The revision of the RI/FS with additional soil and groundwater sampling resulted in a decrease of the remediation and sampling requirements and eliminated chemicals of concern which had been identified by the previous consultant. A detailed review of the data, QA/QC procedures, regulatory requirements, and additional sampling decreased the cost of the remediation and sampling by 50 percent. Remediation Programs Completed remediation of soil and groundwater contaminated with petroleum products and PCBs near an existing salmon bearing stream and the shoreline at a large pulp and paper mill in Port Angeles, Washington. The remediation required extensive permits, negotiations with regulatory agencies, and public comments. The close proximity to the shoreline and the sensitive receptors required communication with the regulatory agencies and public interest groups. The remediation successfully completed cleanup of 10,000 cubic yards of'soil and the underling groundwater. • Completed numerous Iarge-scale remediation projects for cleanup of soil and groundwater contaminated with Total Petroleum Hydrocarbons (TPH). Cleanup technologies included thermal desorption, off -site disposal, vapor extraction, air sparing and groundwater extraction and treatment. Designed an aboveground storm water detention pond for run-off from a large dairy in Oregon. The detention pond consisted of soil berms constructed above compacted soils sized to meet the design requirements of the regulatory agencies, estimated volume of'run-off, and other factors. The construction of the berms required approximately 35,000 cubic yards of soil. The design package consisted of D-size drawings, a specification book, and equipment lists_ All documentation was submitted and reviewed by the regulatory agencies prior to submittal for contractor bids. The construction of the pond was completed and successfully retained the storm water run off. E: U! kefingVtesunrclVnrcu11005V'JR—we AAJ-d- 3 of4 PeterD. Jewett, L.G., L.E.G Directed and managed cleanup of PCP -contaminated soils and remediation of contaminated groundwater under an operating plywood mill in Port Angeles, Washington. Required excavation of affected soils from beneath the building, and design and construction of structural supports, shoring, and underpinning. Designed and installed a groundwater extraction system with free -product separation within the building. Long-term compliance monitoring is in progress. • Managed remediation of a large auto wrecking yard contaminated with TPH, lead, and PCBs. The cleanup required excavation and off -site disposal of 15,000 cubic yards of soil at a waste storage facility. The site was managed by a multiple parties involved in on -going litigation for cleanup cost recovery. The project was successfully remediated and a no further action designation was issued by Ecology. Directed the remediation of groundwater at a food processing facility in Seattle with hydraulic oil floating on groundwater. A floating product recovery system with dissolved phase groundwater cleanup was installed beneath the operating facility_ Groundwater cleanup will continue until the product is removed and remediation of soil can be completed. Managed the cleanup of soil and groundwater contamination at a fruit packing plant in Wenatchee associated with leaking of gasoline from an underground storage tank. The contamination extended beneath the building and required a remedial system, which could accommodate the existing buildings and operations. An air sparging and vapor extraction system was installed which successfully remediated the site. A no further action designation was issued for the site by Ecology. PROFESSIONAL CERTIFICATIONS AND REGISTRATIONS Washington State Licensed Geologist/Engineering Geologist No. 908 Association of Engineering Geologists Certification, Slope Stability and Landslide Analysis, University of Wisconsin 40-Hour OSHA Health & Safety Training (29 CFR 1910.120), 1991 8-Hour OSHA Health & Safety Annual Refresher Training, 1999 8-Hour OSHA Supervisor's Training, 1992 PUBLICATIONS GSA Abstracts, 1983 E'N4arJrfir g Vknnres Vnr errLt0051PJ Rcsumc AAI d- 4 of 4