HomeMy WebLinkAboutAmerican Solar Integrators Midwest OPTION F;OR LICENSE OF REAL ESTATE
This Option for License of Real Estate is entered into by and between the City of Jeffersonville
1N, ("Optionor "), and American Solar Integrators Midwest, i.LC, an Indiana limited liability company,
("Optionee ") this al day of April, 2011.
WHEREAS, Optionor is the owner of certain real estate located in Jeffersonville, Clark County,
Indiana, which is more particularly described in Exhibit "A ", attached hereto and made a part hereof (the
"Real Estate "); and
WHEREAS, Optionee has expressed an interest in obtaining a license from the Optionor for the
use and development of the Real Estate; and
WIIEREAS, Optionor is interested in possibly granting a license to the Optionee for the use and
development of the Real Estate;
THEREFORE, IN CONSIDERATION of the premises and other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as
follows:
Optionor grants Optionee an exclusive option ( "Option ") for Six (6) months from the date hereof
(the "Option Period ") to request a license (the "License ") for the use and development of the Real
Estate upon such terms and conditions to be set forth in a mutually acceptable license agreement
to be negotiated and executed by the parties. During the Option Period, Optionor shall not
license, sell or othenvise convey or transfer any interest in the Real Estate.
2. Optionee may exercise this Option by sending a written notice to the Optionor on or before the
expiration of the Option Period.
3. Upon receipt by Optionor of Optionee's notice of its exercise of the Option, the parties shall •
immediately commence negotiations for a mutually acceptable agreement for the License;
provided, however, either party may withdraw from such negotiations at any time without
liability or penalty by sending written notice thereof to the other party, and neither party will have
any claim as a result of such a withdrawal that the withdrawing party did not act in good faith.
This Option is intended to grant Optionee the exclusive right to request the License prior to the
execution of a license agreement between the parties. It shall not constitute a formal binding agreement by
Optionee to license the Real Estate nor create any legal rights or obligations between the parties except as
expressly provided for herein.
M WITNESS WHEREOF, the parties hereto have caused this instrument to be duly executed as
of the day and year first above written.
"OPTIONOR" "OPTIONEE"
CITY OF JEFFERSONVILLE, INDIANA AMERICAN SOLAR INTEGRATORS -
� j MIDWEST, LLC
By:( By:
1 04-1 .q-LL ( 7 /Ir
Printed Signature Printed Signature
KD 3331540 1.We:X
LETTER OF INTENT
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This Non - Binding Letter of intent, dated April t ,2011, details thc terms and conditions of the
proposed 120 day standstill review and proposal period by American Solar Integrators Midwest, LLC
("ASIM ") upon certain real estate owned by City of Jeffersonville, Indiana (the "City ").
WHEREAS, the City desires to understand options for the development and use of a solar farm
array on the Property (as defined below); and
WHEREAS, ASIM desires to contract with the City to install thc PV Solar Array on the Property;
and
WHEREAS, prior to the installation of a PV Solar Array on the Property, certain preliminary
studies and due diligence must be performed to determine feasibility and to develop the appropriate plans
and specifications to install the PV Solar Array on the Property; and
WHEREAS, ASIM is willing to undertake certain preliminary studies to determine the feasibility
of installing the PV Solar Array on the Property, but only upon the receipt from the City of certain rights
to access the property as well as receiving the exclusive right to conduct a Photovoltaic Solar Array
feasibility study on the Property for the 120 day period.
WHEREAS, ASIM and the City, in their mutual interest, wish to enter into this Agreement as set
forth below.
NOW THEREFORE, in consideration of the foregoing and other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, ASIM and the City agree as
follows:
Property: ASIM shall conduct a study of the viability for construction of a PV Solar
Array on the following locations owned or leased by the City (collective the
"PronertV'):
The Property shall include from twenty-five (25) to thirty (30) acres of usable
ground space in the general vicinity of Clark County Airport or other
• designated properties.
Preliminary Study: 1. City hereby grants to ASIM (and to those parties contracting with
ASIM and any public or private utility which will be connecting to the
PV Solar Array), arms to the Property during business hours from
Monday through Friday, for all appropriate testing and analysis
deemed appropriate by ASIM in its reasonable discretion, without the
requirement of notice by ASIM to the Company.
2. ASIM will provide a complete site evaluation for the best possible use.
3. ASIM will provide a preliminary system design.
4. ASIM will provide a detailed system construction phase -in schedule.
5. ASIM will consult and assist City with all connectivity issues.
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6. Airport will consult with and assist ASIM in securing a Power
Purchase Agreement with utility.
7. ASIM will consult and assist with the 1603 Grant in Lieu application.
8. ASIM will provide financial models to City.
9. ASIM shall obtain all licenses and permits for the construction and
operation of, or otherwise in connection with, the Project, provided,
however, City shall use all commercially reasonable efforts to assist
ASIM to obtain all licenses and permits for the construction and
operation of, or otherwise in connection with, the Project.
10. ASIM's EPC Contractor shall install all electrical interconnections
between the Project and the local utility grid and related equipment.
ASIM shall install all other interconnections to the Facility as required
to interconnect with the local utility grid. The electrical
interconnection to the Facility shall be designed to allow the Project to
disconnect from the utility grid when permitted by law or regulation.
11. City shall have the right to review and approve all electrical
interconnection designs which involve the Facility, such approval not
to be unreasonably withheld or delayed. Approval will be deemed to
have been granted if the interconnection design is not rejected, with
reasons, within 15 days following submittal to City.
12. Airport will supply any environmental reports currently existing.
Confidentiality: The terms of this Agreement shall be strictly confidential and neither party
shall disclose or divulge such terms to any third party, except for each party's
lenders, attorneys, accountants and advisors. The City agrees that it will not
have any discussions, negotiations or agreements with any person (other than
ASIM) relating to the installation of a photovoltaic solar electric generation
facility on the Property during this 120 day period.
Termination: This Agreement shall terminate upon the earliest of (i) the execution of an
EPC Agreement by and between ASIM and the Airport, (ii) 60 days following
the completion by ASIM of the Preliminary Study or 120 days following the
execution of this Agreement.
Miscellaneous The following miscellaneous provisions shall apply: (i) This Agreement
Provisions: contains the entire understanding of the parties with respect to the subject
matter hereof and supersedes any and all other oral or written agreements or
understandings between the parties. Neither party has made nor relied on any
promise, understanding, warranty or representation other than as specifically
set forth herein. 77tis Agreement may not be changed, modified, or amended
except by a written instrument signed by both parties hereto. Both parties
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have had the opportunity to review this Agreement prior to execution and this
Agreement, in its final form, reflects the understanding of both parties and
shall not be construed against any one party. (ii) This Agreement shall be
construed under and governed by the laws of the state of Indiana, without
regard to it conflict of law provisions. (iii) Each party shall bear its own costs
and attorneys' fees in connection with the negotiation and execution of this
Agreement. However, in the event litigation is needed to enforce this
Agreement, the prevailing party, whether by lawsuit or whether by settlement
before or after any lawsuit is filed, shall be entitled to recover its costs,
expenses, and reasonable attorneys' fees incurred in the enforcement of this
Agreement, including enforcing it as a defense. (iv) Notwithstanding any
obligation from one party to the other herein, the parties hereto state that they
have not created and do not intend to create by this Agreement a joint venture
or partnership relation between them. (v) This Agreement may be executed in
any number of counterparts, each of which shall be an original, but such
counterparts shall together constitute one and the same agreement.
IN WITNESS WHEREOF, this Letter of Intent is hereby executed as of the first date written above.
"ASIM" "City"
AMERICAN SOLAR INTEGRATORS MIDWEST, LLC CITY OF JEFFERSONVILLE, INDIANA
By: By 0 at � // S
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Printed: Printed: rN6 -d' ' /' Afar) Pe
Title: .Title: A/4-y
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