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HomeMy WebLinkAbout24036 E Cama_PC Email_Pkg_Plat_202205241 Minnich, Carolyn From:Minnich, Carolyn Sent:Tuesday, May 24, 2022 11:18 AM To:Dan Broderick; Tom Zabor; rmcgee@harthickman.com; John Lopez; Bobby Hinson; Chris S. Walker - Alexander Ricks PLLC (chris.walker@alexanderricks.com) Cc:Dave Canaan; Caldwell, Shawna W. (Shawna.Caldwell@mecklenburgcountync.gov); Morris, Brett L.:; Joe Hack ; Smithberger, Jeffrey:; John McCulloch; David Caldwell; Pierce, Ieshishua:; Pierotti, Doug:; michael scott; Julie Woosley; Nicholson, Bruce; Wahl, Tracy; Leonard, Laura; Liggins, Shirley; Hardison, Sarah; Day, Collin (collin.day@ncdenr.gov); Macdonald, Janet K; Channell, Ryan; Tatum, Katie; Watson, Samuel Subject:24036 Approval to Public Comment East Cama Street, Mecklenburg County Attachments:24036_E Cama PC Approval Pkg_Plat 20220524.pdf Dear Mr. Zabor and Mr. Broderick: Based on acceptance by the Prospective Developer of drafts of all four required brownfields documents -- the Notice of Intent to Redevelop a Brownfields Property (NI), Summary of Notice of Intent to Redevelop a Brownfields Property (SNI), Notice of Brownfields Property (NBP) and the Brownfields Agreement (Exhibit A to the NBP) -- and DEQ's approval of the plat component of the NBP, Prospective Developer may now proceed to the tasks required by NCGS § 130.310.34(a) in connection with the required public notice and comment period of at least 30 days regarding the subject brownfields project. Those tasks are as follows: 1. Publish the approved SNI in a newspaper of general circulation serving the area in which the brownfields property is located; 2. Conspicuously post a copy of the SNI at the Brownfields Property; 3. Mail or deliver the SNI to each owner of property contiguous to the Brownfields Property; and 4. Provide a copy of the full NI, consisting of the one-page NI and the NBP with its three exhibits (Exhibit A, the Brownfields Agreement with its Exhibit 1, Exhibit 2 if used, and Exhibit 3 if used; Exhibit B, the survey plat, and Exhibit C, the legal description), to all local governments having jurisdiction over the Brownfields Property. 5. Provide a copy of the full NI to the local location where it will be available for public review as stated in the SNI; Pursuant to NCGS § 130.310.34.(b), the public comment period shall begin the day following completion of the above public notice tasks. The date by which you have represented to the Brownfields Program that the last of the above tasks will be completed is May 27, 2022. The NI and SNI, with this date filled in, are attached hereto for public notice purposes. The comment period shall not end any sooner than 30 days after you complete the public notice tasks, or 30 days after this published date, whichever is later. NCGS § 130.310.34(b) also requires the Prospective Developer to submit documentation of the public notices to DEQ prior to DEQ entering into a Brownfields Agreement. That documentation shall be submitted promptly after each task has been accomplished by providing to me, preferably at Carolyn.minnich@ncdenr.gov or at Brownfields Program, 1646 Mail Service Center, Raleigh, NC 27699-1646, the following:  Affidavit of publication of the SNI from the newspaper or a copy of the SNI published in the newspaper which shows the name of the newspaper and the date of publication;  Photos of the SNI posted at the site, one close up to show the wording and one far enough to show the posting location relative to the property;  Copies of the cover letters and copies of the mailing receipts stamped by the post office or copies of the delivery service receipts for the SNI sent to contiguous property owners; and 2  Delivery confirmation either from the receiving entity or from the carrier (i.e. certified mail receipt, fed ex tracking information) confirming receipt of the full NI from each local government entity and the entity where the document will be available for viewing. Thank you for your attention to these matters. If you have any questions or require additional information, please contact me. Sincerely, Carolyn         24036-20-060/E Cama/2022.05.20 NOTICE OF INTENT TO REDEVELOP A BROWNFIELDS PROPERTY Brownfields Property Name: East Cama Street Brownfields Project Number: 24036-20-060 North Carolina’s Brownfields Property Reuse Act (the “Act”), North Carolina General Statutes (“NCGS”) § 130A-310.30 through 130A-310.40, provides for the safe redevelopment of abandoned, idled, or underused properties at which expansion or redevelopment is hindered by actual or potential environmental contamination. One of the Act’s requirements is the submittal of this Notice of Intent to Redevelop a Brownfields Property (“NI”) that has been approved by the North Carolina Department of Environmental Quality (“DEQ”) for public notification purposes as per NCGS § 130A-310.34(a). The NI shall provide, to the extent known, a legal description of the location of the Brownfields Property, a map showing the location of the Brownfields Property, a description of the contaminants involved and their concentrations in the media of the Brownfields Property, a description of the intended future use of the Brownfields Property, any proposed investigation and remediation, and a proposed Notice of Brownfields Property (“NBP”) prepared in accordance with NCGS § 130A-310.35. The proposed NBP for a particular brownfields project is attached hereto. The proposed NBP includes the proposed Brownfields Agreement, which is attached as Exhibit A, and the other required elements of this NI. A Summary of this Notice of Intent (“SNI”) shall include a statement as to the public availability of the full NI. The party (“Prospective Developer”) who desires to enter into a Brownfields Agreement with DEQ must provide a full copy of this NI to all local governments having jurisdiction over the Brownfields Property. The Act requires a public comment period of at least 30 days. The first day of public comment is defined as the day after which all of the following public notice tasks have occurred: the date the required SNI is: (1) published in a newspaper of general circulation serving the area in which the Brownfields Property is located; (2) conspicuously posted at the Brownfields Property; and (3) mailed or delivered to each owner of property contiguous to the Brownfields Property. Written public comments may be submitted to DEQ within 30 days after the public comment period begins. Written requests for a public meeting may be submitted to DEQ within 21 days after the public comment period begins. These periods will start no sooner than May 27, 2022, and will end no sooner than the later of: 1) 30 and 21 days, respectively, after that; or 2) 30 and 21 days, respectively, after completion of the latest of the three (3) above-referenced tasks, if such completion occurs later than the date stated herein. All comments and meeting requests should be addressed as follows: Mr. Bruce Nicholson Brownfields Program Manager Division of Waste Management NC Department of Environmental Quality 1646 Mail Service Center Raleigh, North Carolina 27699-1646 24036-20-060/E Cama/20220524 SUMMARY OF NOTICE OF INTENT TO REDEVELOP A BROWNFIELDS PROPERTY Brownfields Property Name: East Cama Street Brownfields Project Number: 24036-20-060 Pursuant to the North Carolina Brownfields Property Reuse Act (the “Act”) authorized by North Carolina General Statutes (NCGS) § 130A-310.30 through 130A-310.40, and specifically pursuant to NCGS § 130A-310.34, AHC Cama II LLC, as Prospective Developer, has filed with the North Carolina Department of Environmental Quality (“DEQ”) a Notice of Intent to Redevelop a Brownfields Property (“Brownfields Property”) located at 235 East Cama Street, Charlotte, Mecklenburg County. The Brownfields Property, which was used as a former office, warehouse, and miscellaneous uses including automotive repair and painting, consists of approximately 0.5600 acres. Environmental contamination exists on the Brownfields Property in soil, groundwater and soil gas. AHC Cama II LLC has committed itself to redevelop the Brownfields Property for no uses other than multi-family residential, for-rent only townhomes, townhomes, office, parking, retail, recreation, restaurant, brewery and food production facility, and, subject to DEQ’s prior written approval, other commercial uses. The Notice of Intent to Redevelop a Brownfields Property includes: (1) a proposed Brownfields Agreement between DEQ and AHC Cama II LLC, which in turn includes (a) a map showing the location of the Property, (b) a description of the contaminants involved and their concentrations in the media of the Property, (c) the above-stated description of the intended future use of the Brownfields Property, and (d) proposed investigation and remediation; and (2) a proposed Notice of Brownfields Property prepared in accordance with NCGS § 130A-310.35. The full Notice of Intent to Redevelop a Brownfields Property may be reviewed at Charlotte Mecklenburg Library – South Boulevard, 4429 South Boulevard, Charlotte, NC 28209, (704) 416-6400; or at the offices of the N.C. Brownfields Program, 217 West Jones Street, Raleigh, NC or by contacting Shirley Liggins at that address, at shirley.liggins@ncdenr.gov, or at (919) 707-8383. The full Notice of Intent may also be viewed online at the DEQ public record database, Laserfiche, by entering the project number 24036-20-060 into the search bar at the following web address: https://edocs.deq.nc.gov/WasteManagement/Welcome.aspx?dbid=0&repo=WasteManagement The Act requires a public comment period of at least 30 days. The first day of public comment is defined as the day after which all of the following public notice tasks have occurred: the date this Notice is: (1) published in a newspaper of general circulation serving the area in which the Brownfields Property is located; (2) conspicuously posted at the Brownfields Property; and (3) mailed or delivered to each owner of property contiguous to the Brownfields Property. Written public comments may be submitted to DEQ within 30 days after the public comment period begins. Written requests for a public meeting may be submitted to DEQ within 21 days after the public comment period begins. These periods will start no sooner than May 27, , 2022, and will end no sooner than the later of: 1) 30 and 21 days, respectively, after that; or 2) 30 and 21 days, respectively, after completion of the latest of the three (3) above-referenced tasks, if such completion occurs later than the date stated herein. All public comments and public meeting requests should be addressed as follows: Mr. Bruce Nicholson Brownfields Program Manager Division of Waste Management NC Department of Environmental Quality 1646 Mail Service Center Raleigh, North Carolina 27699-1646 E Cama/24036-20-060/20220524 1 Property Owner: AHC Cama II LLC Recorded in Book ____, Page ____ Associated plat recorded in Plat Book ____, Page ____ NOTICE OF BROWNFIELDS PROPERTY Brownfields Property Name: East Cama Street Brownfields Project Number: 24036-20-060 This documentary component of a Notice of Brownfields Property (“Notice”), as well as the plat component, have been filed this _____ day of __________________, 202__ by AHC Cama II LLC (“Prospective Developer”). This Notice concerns contaminated property. A copy of this Notice certified by the North Carolina Department of Environmental Quality (“DEQ”) is required to be filed in the Register of Deeds’ Office in the county or counties in which the land is located, pursuant to North Carolina General Statutes (“NCGS”), § 130A-310.35(b). This Notice is required by NCGS § 130A-310.35(a), in order to reduce or eliminate the danger to public health or the environment posed by environmental contamination at a property (“Brownfields Property”) being addressed under the Brownfields Property Reuse Act of 1997, NCGS § 130A, Article 9, Part 5 (“Act”). Pursuant to NCGS § 130A-310.35(b), the Prospective Developer must file a certified copy of this Notice within 15 days of Prospective Developer’s receipt of DEQ’s approval of the Notice or Prospective Developer’s entry into the Brownfields Agreement required by the Act, whichever is later. The copy of the Notice certified by DEQ must be recorded in the grantor index under the names of the owners of the land and, if Prospective Developer is not the owner, also under the Prospective Developer’s name. The Brownfields Property is located on approximately 0.56 acres at 235 East Cama Street, Charlotte, Mecklenburg County. The Brownfields Property was formerly used for offices, warehouses, automotive repair and painting, a tree landscaping company, an office for an HVAC repair company, and construction storage between 1964 through 2021. The Prospective Developer has committed to redevelop the Brownfields Property for no uses other than multi-family E Cama/24036-20-060/20220524 2 residential, for-rent only townhomes, townhomes, office, parking, retail, recreation, restaurant, brewery and food production facility, and, subject to DEQ’s prior written approval, other commercial uses. Soil, groundwater and soil gas are contaminated at the Brownfields Property. The Brownfields Agreement between Prospective Developer and DEQ is attached hereto as Exhibit A. It is required by NCGS § 130A-310.32 and sets forth the use that may be made of the Brownfields Property and the measures to be taken to protect public health and the environment. The Brownfields Agreement’s Exhibit 2 consists of one or more data tables reflecting the concentrations of and other information regarding the Brownfields Property’s regulated substances and contaminants. Attached as Exhibit B to this Notice is a reduction, to 8.5 inches x 11 inches, of the survey plat component of this Notice. This plat shows areas designated by DEQ, has been prepared and certified by a professional land surveyor, meets the requirements of NCGS § 47-30, and complies with NCGS § 130A-310.35(a)’s requirement that the Notice identify: (1) The location and dimensions of the areas of potential environmental concern with respect to permanently surveyed benchmarks. (2) The type, location and quantity of regulated substances and contaminants known to exist on the Brownfields Property. Attached hereto as Exhibit C is a legal description of the Brownfields Property that would be sufficient as a description of the property in an instrument of conveyance. LAND USE RESTRICTIONS NCGS § 130A-310.35(a) also requires that the Notice identify any restrictions on the current and future use of the Brownfields Property that are necessary or useful to maintain the level of protection appropriate for the designated current or future use of the Brownfields Property and that are designated in the Brownfields Agreement. The restrictions shall remain in force in perpetuity unless canceled by the Secretary of DEQ (or its successor in function), or his/her designee, after the hazards have been eliminated, pursuant to NCGS § 130A-310.35(e). All references to DEQ shall be understood to include any successor in function. The land use restrictions below have been excerpted verbatim from paragraph 13 of the Brownfields Agreement, and all subparagraph letters/numbers are the same as those used in the Brownfields Agreement. The following land use restrictions are hereby imposed on the Brownfields Property: a. No use may be made of the Brownfields Property other than for multi-family residential, for-rent only townhomes, townhomes, office, parking, retail, recreation, restaurant, brewery and food production facility, and subject to DEQ’s prior written approval, other commercial uses. For purposes of this restriction, the following definitions apply. i. Multi-Family Residential is defined as permanent dwellings where residential units are attached to each other with common walls, such as condominia, apartments, E Cama/24036-20-060/20220524 3 group homes, dormitories or boarding houses, and any property outside the dwelling structures is usable by all residents and not privately owned as part of a particular unit (e.g., privately-owned courtyards are prohibited), and may include related amenities, such as pools, clubhouses, courtyards, common areas, recreation areas and parking garages. Single family homes, duplexes or other units with yards are prohibited excluding For-Rent Only Townhomes and Townhomes as defined in Paragraphs 13.a.ii. and 13.a.iii, respectively, unless approved in writing by DEQ in advance. ii. For-Rent Only Townhome is defined as a residential unit that shall only be occupied by residents under lease and shall not be sold to individual owners for occupation or subletting. It may also include related amenities owned in common such as pools, clubhouses, courtyards, dog runs, recreation areas and parking garages. iii. Townhome is defined as a residential unit that is privately owned and is attached to one or more similar privately owned units via one or more walls. It may or may not include a small amount of land ownership beyond the building footprint, such as a courtyard. It may also include related amenities owned in common such as pools, clubhouses, courtyards, dog runs, recreation areas and parking garages. For purposes of this Agreement, For-Rent Only Townhomes are not considered Townhomes. iv. Office is defined as the provision of business or professional services. v. Parking is defined as the temporary accommodation of motor vehicles in an area designed for same. vi. Retail is defined as the sale of goods or services, products, or merchandise directly to the consumer or businesses and includes showrooms, personal service, and the sales and/or service of food and/or beverage products. vii. Recreation is defined as indoor and outdoor exercise-related, physically focused, or leisure-related activities, whether active or passive, and the facilities for same, including, but not limited to, studios, swimming pools, sports-related courts and fields, open space, greenways, parks, playgrounds, walking paths, and picnic and public gathering areas. viii. Restaurant is defined as a commercial business establishment that prepares and/or serves food and/or beverages to patrons. ix. Brewery and Food Production Facility is defined as an establishment for the manufacture, sale and/or distribution of beverages or food products, including without limitation beer and ale, together with associated public roadways and related infrastructure. x. Commercial is defined as an enterprise carried on for profit or nonprofit by the owner, lessee or licensee. b. Prior to construction and/or the initial sale of newly constructed Townhomes on the Brownfields Property, all owner(s) who construct and/or offer for initial sale newly constructed Townhomes, but not individual owners who offer their individual Townhome for subsequent sale, on the Brownfields Property must comply to DEQ’s written satisfaction, with Work to be Performed Paragraph 12 above and the most recent version of DEQ’s North Carolina Brownfields Program Minimum Requirements for Townhome Developments. E Cama/24036-20-060/20220524 4 c. All owners of Townhomes or individually owned units that include land ownership (if any) shall be subject to and abide by the Declaration referenced in Paragraph 12. d. Physical redevelopment of the Brownfields Property may not occur other than in accord, as determined by DEQ, with an Environmental Management Plan (EMP) approved in writing by DEQ in advance (and revised to DEQ’s written satisfaction prior to each subsequent redevelopment phase) that is consistent with all the other land use restrictions and describes redevelopment activities at the Brownfields Property, the timing of redevelopment phases, and addresses health, safety and environmental issues that may arise from use of the Brownfields Property during construction or redevelopment in any other form, including without limitation: i. demolition of existing structures, if applicable; ii. issues related to known or potential sources of contamination, including without limitation those resulting from contamination identified in Paragraph 3 above, and Exhibit 2; iii. contingency plans for addressing, including without limitation the testing of soil and groundwater, newly discovered or newly accessible potential sources of environmental contamination (e.g., USTs, ASTs, drums, septic drain fields, oil-water separators, soil contamination); iv. plans for the proper characterization of, and, as necessary, disposal of building materials or contaminated soils excavated during redevelopment; and v. plans for the proper characterization and DEQ approval of both fill soil before import to the Brownfields Property and the disposition of all soil excavated from the Brownfields Property during redevelopment. For the purposes of this subparagraph 13.d., “physical redevelopment” is defined as construction activities that disturb soil, groundwater, building utilities, or any pentrations of the building slab that may impact the integrity of the vapor mitigation system (if any) at the Brownfields Property and does not include interior renovations that do not affect soil or groundwater. e. No later than January 31 after each one-year anniversary of the effective date of this Agreement for as long as physical redevelopment of the Brownfields Property continues (except that the final deadline shall fall 90 days after the conclusion of physical redevelopment), the then-owner of the Brownfields Property shall provide DEQ a report subject to written DEQ approval on environment-related activities since the last report, with a summary and drawings, that describes: i. actions taken on the Brownfields Property in accordance with Section VI: Work to be Performed above; ii. soil grading and cut and fill actions; iii. methodology(ies) employed for field screening, sampling and laboratory analysis of environmental media; iv. stockpiling, containerizing, decontaminating, treating, handling, laboratory analysis and ultimate disposition of any soil, groundwater, or other materials suspected or confirmed to be contaminated with regulated substances; and E Cama/24036-20-060/20220524 5 v. removal of any contaminated soil, water, or other contaminated materials (for example, concrete, demolition debris) from the Brownfields Property (copies of all legally required manifests shall be included). f. Unless compliance with this Land Use Restriction is waived in writing in advance by DEQ in relation to particular buildings, demolition and/or renovation of any or all buildings on the Brownfields Property depicted on the plat component of the Notice referenced in Paragraph 17 below shall be in accordance with applicable legal requirements, including without limitation those related to lead and asbestos abatement that are administered by the Health Hazards Control Unit within the Division of Public Health of the North Carolina Department of Health and Human Services. g. Groundwater at the Brownfields Property may not be used for any purpose without the prior written approval of DEQ, along with any measures DEQ deems necessary to ensure that the Brownfields Property will be suitable for the uses specified in subparagraph 13.a above while fully protecting public health and the environment. Should groundwater be encountered or exposed during any activity on the Brownfields Property, it shall be managed in accordance with the DEQ-approved EMP outlined in subparagraph 13.d., or a plan approved in writing in advance by DEQ. h. No use of areas of the Brownfields Property may occur until the then owner of the Brownfields Property conducts representative final grade soil sampling, pursuant to a plan approved in writing by DEQ, of any area within the Brownfields Property that is not covered by building foundations, sidewalks, or asphaltic or concrete parking areas and driveways, two feet of documented clean fill material, or another cover approved in writing by DEQ. i. Unless otherwise approved by DEQ in writing after results of final grade soil sampling are received in accordance with subparagraph 13.h, above, no activity that disturbs soil on the Brownfields Property may occur unless and until DEQ states in writing, in advance of the proposed activity, that said activity may occur if carried out along with any measures DEQ deems necessary to ensure the Brownfields Property will be suitable for the uses specified in subparagraph 13.a. above while fully protecting public health and the environment, except: i. in connection with landscape planting to depths not exceeding 24 inches; ii. mowing and pruning of above-ground vegetation; iii. for repair of underground infrastructure, provided that DEQ shall be given written notice at least seven days in advance of a scheduled repair (if only by email) of any such repair, or in emergency circumstances no later than the next business day, and that any related assessment and remedial measures required by DEQ shall be taken; and iv. in connection with work conducted in accordance with a DEQ- approved EMP as outlined above in subparagraph 13.d. j. Soil may not be removed from, or brought onto, the Brownfields Property without prior sampling and analysis to DEQ’s satisfaction and the written approval of DEQ, unless conducted in accordance with an approved EMP as outlined above in subparagraph 13.d. k. No enclosed building may be constructed on the Brownfields Property, and no E Cama/24036-20-060/20220524 6 existing building, defined as those depicted on the plat component of the Notice of Brownfields Property referenced in Paragraph 17, below, may be occupied until DEQ determines in writing that: i. the building is or would be protective of the building’s users and public health from risk of vapor intrusion based on site assessment data, or a site-specific risk assessment approved in writing by DEQ; or ii. a vapor intrusion mitigation system (VIMS) has been: 1. designed to mitigate the intrusion of subsurface vapors into building features in accordance with the most recent and applicable DWM Vapor Intrusion Guidance, Interstate Technology & Regulatory Council (ITRC) guidance, and American National Standards Institute (ANSI)/American Association of Radon Scientists and Technologists (AARST) standards, and that a professional engineer licensed in North Carolina, as evidenced by said engineer’s professional seal, is satisfied that the design is fully protective of public health, and shall include a performance monitoring plan detailing methodologies and schedule, both of which are subject to prior written DEQ approval; and 2. installed and an installation report is submitted for written DEQ approval that includes as-built diagrams, photographs, and a description of the installation, with said engineer’s professional seal confirming that the engineer is satisfied that the system was installed per the DEQ approved design. If any deviations from the system design were necessary during installation, then the report shall include details on said deviations, as well as the engineer’s seal certifying the VIMS, as installed, was installed in such a manner so as to be fully protective of public health. l. In the event Townhomes are constructed, no occupancy of the Brownfields Property for such use may occur until a work plan for the installation and sampling of each proposed Townhome building slab is approved by DEQ, and until the first round of sampling activities under the work plan is completed to DEQ’s written satisfaction. The work plan will include, at a minimum, details on schedule and methodology for installation and sampling of permanent sub slab soil gas monitoring points for VOCs by EPA Method TO-15 within one month after monitoring point installation and then annually. At the completion of the second sampling event, a request to terminate future monitoring of the permanent sub-slab soil gas monitoring points may be submitted to DEQ for review and approval, that includes the public health rationale for such termination. Should the analytical results obtained from the sub slab soil gas sampling indicate exposures at the Brownfields Property that raise the risk to public health or the environment associated with the Brownfields Property beyond an acceptable range and in a manner or to a degree not anticipated in this Agreement, DEQ may require that the then owner(s) re- evaluate that risk for areas potentially subject to said risk and to take action to reduce said risk to make the Brownfields Property suitable for Townhomes while fully protecting public health and the environment. m. Neither DEQ, nor any party conducting environmental assessment or remediation at the Brownfields Property at the direction of, or pursuant to a permit, order or E Cama/24036-20-060/20220524 7 agreement issued or entered into by DEQ, may be denied access to the Brownfields Property for purposes of conducting such assessment or remediation, which is to be conducted using reasonable efforts to minimize interference with authorized uses of the Brownfields Property. n. The owner of any portion of the Brownfields Property where any existing, or subsequently installed, DEQ-approved monitoring well or vapor sample point is damaged by the owner, its contractors, or its tenants shall be responsible for repair of any such wells or sample points to DEQ’s written satisfaction and within a time period acceptable to DEQ, unless compliance with this land use restriction is waived in writing by DEQ in advance. o. Any deed or other instrument conveying an interest in the Brownfields Property shall contain the following notice: “This property is subject to the Brownfields Agreement attached as Exhibit A to the Notice of Brownfields Property recorded in the Mecklenburg County land records, Book ____, Page ____.” A copy of any such instrument shall be sent to the persons listed in Section XVII (Notices and Submissions), though financial figures and other confidential information related to the conveyance may be redacted to the extent said redactions comply with the confidentiality and trade secret provisions of the North Carolina Public Records Law. The owner conveying an interest may use the following mechanisms to comply with the obligations of this subparagraph: (i) If every lease or rider is identical in form, the owner conveying an interest may provide DEQ with copies of a form lease or rider evidencing compliance with this subparagraph, in lieu of sending copies of actual, executed leases, to the persons listed in Section XVII (Notice and Submissions); or (ii) The owner conveying an interest may provide abstracts of leases, rather than full copies of said leases, to the persons listed in Section XVII. p. None of the contaminants known to be present in the environmental media at the Brownfields Property, as described in Exhibit 2 of this Agreement and as modified by DEQ in writing if additional contaminants in excess of applicable standards are discovered at the Brownfields Property, may be used or stored at the Brownfields Property without the prior written approval of DEQ, except: i. in de minimis quantities for cleaning and other routine housekeeping and maintenance activities; ii. as fuel or other fluids customarily used in vehicles, landscaping equipment, machinery, and emergency generators, or in flammable liquid storage containers of no more than 25 gallons; and iii. as constituents of products or materials customarily used and stored in multi-family residential, for-rent only townhomes, townhomes, office, parking, retail, recreation, restaurant, brewery and food production facility, and with prior DEQ written approval, other commercial uses, provided such products and materials are stored in original retail packaging and used and disposed of in accordance with applicable laws. q. During January of each year after the year in which the Notice referenced below in Paragraph 17 is recorded, the owner of any part of the Brownfields Property as of January 1st of that year shall submit a notarized Land Use Restrictions Update (“LURU”) to DEQ, and to the chief public health and environmental officials of Mecklenburg County, certifying that, as of said E Cama/24036-20-060/20220524 8 January 1st, the Notice of Brownfields Property containing these land use restrictions remains recorded at the Mecklenburg County Register of Deeds office and that the land use restrictions are being complied with. If the Brownfields Property is transferred, the grantor shall submit a LURU (as outlined above) which covers the period of time the grantor owned the Brownfields Property during the calendar year of the transfer. The submitted LURU shall state the following: i. the Brownfields Property address, and the name, mailing address, telephone number, and contact person’s e-mail address of the owner, or board, association or approved entity, submitting the LURU if said owner, or each of the owners on whose behalf a joint LURU is submitted, acquired any part of the Brownfields Property during the previous calendar year; ii. the transferee’s name, mailing address, telephone number, and contact person’s e-mail address, if said owner, or each of the owners on whose behalf a joint LURU is submitted, transferred any part of the Brownfields Property during the previous calendar year; iii. whether any vapor barrier and/or mitigation systems installed pursuant to subparagraph 13.k above are performing as designed, and whether the uses of the ground floors of any buildings containing such vapor barrier and/or mitigation systems have changed, and, if so, how; iv. A joint LURU may be submitted for multiple owners by a duly constituted board or association and shall include the name, mailing address, telephone and facsimile numbers, and contact person’s e-mail address of the entity submitting the joint LURU as well as for each of the owners on whose behalf the joint LURU is submitted. v. A LURU submitted for rental units shall include the rent roll and enough of each lease entered into during the previous calendar year to demonstrate compliance with lessee notification requirements in Paragraphs 13.o. and 18 of this Agreement provided that if abstracts of leases are sent, rather than full copies of leases, or standard form leases or riders are used in every instance, a copy of such abstract, standard form lease or rider may be sent in lieu of copies of actual leases; and vi. A property owners’ association or other entity may perform this LURU’s duties, on behalf of some or all owners of the Brownfields Property, if said association or entity has accepted responsibility for such performance pursuant to a notarized instrument satisfactory to DEQ (it being agreed that the Declaration, if approved by DEQ pursuant to Paragraph 12.f., shall satisfy this requirement). For purposes of the land use restrictions set forth above, the DEQ point of contact shall be the DEQ Brownfields Property Management Unit referenced in subparagraph 32.a. of Exhibit A hereto, at the address stated therein. ENFORCEMENT The above land use restrictions shall be enforceable without regard to lack of privity of estate or contract, lack of benefit to particular land, or lack of any property interest in particular E Cama/24036-20-060/20220524 9 land. The land use restrictions shall be enforced by any owner of the Brownfields Property. The land use restrictions may also be enforced by DEQ through the remedies provided in NCGS § 130A, Article 1, Part 2 or by means of a civil action; by any unit of local government having jurisdiction over any part of the Brownfields Property; and by any person eligible for liability protection under the Brownfields Property Reuse Act who will lose liability protection if the restrictions are violated. Any attempt to cancel any or all of this Notice without the approval of the Secretary of DEQ (or its successor in function), or his/her delegate, shall be subject to enforcement by DEQ to the full extent of the law. Failure by any party required or authorized to enforce any of the above restrictions shall in no event be deemed a waiver of the right to do so thereafter as to the same violation or as to one occurring prior or subsequent thereto. FUTURE SALES, LEASES, CONVEYANCES AND TRANSFERS When any portion of the Brownfields Property is sold, leased, conveyed or transferred, pursuant to NCGS § 130A-310.35(d) the deed or other instrument of transfer shall contain in the description section, in no smaller type than that used in the body of the deed or instrument, a statement that the Brownfields Property has been classified and, if appropriate, cleaned up as a brownfields property under the Brownfields Property Reuse Act. E Cama/24036-20-060/20220524 10 IN WITNESS WHEREOF, Prospective Developer has caused this instrument to be duly executed this _____ day of _______________, 202__. AHC CAMA II LLC By: AHC Equity Charlotte LLC, its manager By: AHC Investment Group LLC, its manager By: _________________________________________ Tom Zabor Authorized Signatory _________________________ _______________ COUNTY I certify that the following person(s) personally appeared before me this day, each acknowledging to me that he or she voluntarily signed the foregoing document for the purpose stated therein and in the capacity indicated: ________________________________. Date: ___________________ ___________________________________ Official Signature of Notary ___________________________________ (Official Seal) Notary’s printed or typed name, Notary Public My commission expires: _____________________ ************************************ APPROVAL AND CERTIFICATION OF NORTH CAROLINA DEPARTMENT OF ENVIRONMENTAL QUALITY The foregoing Notice of Brownfields Property is hereby approved and certified. North Carolina Department of Environmental Quality By: _________________________________________ ________________________ Michael E. Scott Date Director, Division of Waste Management 1 E Cama/24036-20-06/202200524 EXHIBIT A NORTH CAROLINA DEPARTMENT OF ENVIRONMENTAL QUALITY IN THE MATTER OF: AHC Cama II LLC UNDER THE AUTHORITY OF THE ) BROWNFIELDS AGREEMENT re: BROWNFIELDS PROPERTY REUSE ACT ) East Cama Street OF 1997, NCGS § 130A-310.30, et seq. ) 235 E Cama Street Brownfields Project No. 24036-20-060 ) Charlotte, Mecklenburg County I. INTRODUCTION This Brownfields Agreement (“Agreement”) is entered into by the North Carolina Department of Environmental Quality (“DEQ”) and AHC Cama II LLC (collectively the "Parties") pursuant to the Brownfields Property Reuse Act of 1997, NCGS § 130A-310.30, et seq. (the “Act”) for the property located at 235 East Cama Street, Charlotte, Mecklenburg County (the “Brownfields Property”). A map showing the location of the Brownfields Property that is the subject of this Agreement is attached hereto as Exhibit 1. The Prospective Developer is AHC Cama II LLC, a North Carolina limited liability company, with its principal office located at 1603 Orrington Avenue, Suite 990, Evanston, IL 60201. Its manager is AHC Equity Charlotte LLC, which is managed by AHC Investment Group LLC. Tom Zabor is an Authorized Signatory of AHC Investment Group LLC at the same address as AHC Cama II LLC. The Parties agree to undertake all actions required by the terms and conditions of this Agreement. The purpose of this Agreement is to settle and resolve, subject to reservations and limitations contained in Section X (Certification), Section XI (DEQ’s Covenant Not to Sue and Reservation of Rights) and Section XII (Prospective Developer’s Covenant Not to Sue), the potential liability of AHC Cama II LLC for contaminants at the Brownfields Property. The Parties agree that AHC Cama II LLC’s entry into this Agreement, and the actions 2 E Cama/24036-20-06/202200524 undertaken by AHC Cama II LLC in accordance with the Agreement, do not constitute an admission of any liability by AHC Cama II LLC for contaminants at the Brownfields Property. The resolution of this potential liability, in exchange for the benefit AHC Cama II LLC shall provide to DEQ, is in the public interest. II. DEFINITIONS Unless otherwise expressly provided herein, terms used in this Agreement which are defined in the Act or elsewhere in NCGS § 130A, Article 9 shall have the meaning assigned to them in those statutory provisions, including any amendments thereto. 1. “Brownfields Property” shall mean the property which is the subject of this Agreement, and which is depicted in Exhibit 1 to the Agreement. 2. “Prospective Developer” shall mean AHC Cama II LLC. III. BROWNFIELDS PROPERTY INFORMATION SUMMARY 3. Relevant information about the history, ownership, and uses of the Brownfields Property is provided in the following summary table. Refer to Exhibit 2 to this Agreement that presents data table(s) of the contaminants present at the Brownfields Property at concentrations above their applicable standards or screening levels for each media sampled. BROWNFIELDS PROPERTY INFORMATION SUMMARY Parcel Address(es) & Parcel ID 235 East Cama Street, Charlotte, Mecklenburg County 14902301 Acreage 0.5600 acres Current Property Owner AHC Cama II LLC Current Land Use(s) Currently vacant with warehouse building and storage shed. Site Vicinity Land Use(s) Industrial, commercial, and residential Proposed Reuse(s) Multi-family residential, for-rent only townhomes, townhomes, office, parking, retail, recreation, restaurant, brewery and food production facility, and, subject to DEQ’s prior written approval, other commercial uses. Public Benefits of Reuse Creation of approximately 100 temporary construction jobs and approximately 10 permanent jobs; tax base increase; 3 E Cama/24036-20-06/202200524 BROWNFIELDS PROPERTY INFORMATION SUMMARY additional residential, office, retail, parking, recreational, restaurant, and/or brewery and food production facility space for the area; revitalization of blighted areas; and expanded use of public transportation. Existing Land Use Restrictions Prior to Brownfields Agreement None ENVIRONMENTAL INFORMATION SUMMARY Historical Operations & Contaminant Sources Developed in 1964 with a warehouse building (2100 sq ft), then used as an automotive repair operation until the late 1970s. The site was historically serviced by an on-site septic system. From 1979-1984, Appling Building owned and operated on the Brownfields Property, and tenants have included a tree removal company, car painting and repair businesses, and an HVAC service business. Reportedly, no HVAC repair and maintenance activities were conducted on the Brownfields Property. Beginning in 1984, the Brownfields Property was used for storage of construction material supplies. Current Operations/Activities In recent years, the site warehouse building was used for local band rehearsal, office and storage space, and small-scale mechanical repair projects. The Brownfields Property is currently vacant. Contaminated Media Soil: Limited soil impacts found during the assessment. Metal concentrations detected are consistent with the surrounding area. Groundwater: Tetrachloroethylene (PCE) and lead were detected at concentrations that exceed their respective North Carolina 15A NCAC 02L .0202 Groundwater Standards (2L). The PCE groundwater impact is originating from an off-site unknown source. No other volatile organic compounds (VOCs), semi-volatile organic compounds (SVOCs) or metals were detected in groundwater at concentrations above the 2L standard. Soil Gas Vapor: Several compounds were detected above their Division of Waste Management (DWM) Residential Vapor Intrusion Screening Levels (VISLs): chloroform, 1,2- dichloroethane, ethylbenzene, and naphthalene. Other compounds with no established screening level were detected and are listed on the Exhibit 2 Sub-Slab Vapor or Soil Gas Table. ID Numbers/Permits None 4 E Cama/24036-20-06/202200524 ENVIRONMENTAL INFORMATION SUMMARY Onsite Receptors Considered Residents, on-site workers, construction workers, and visitors Potential Offsite Receptors Considered i. The NCBP Receptor Survey is on file. ii. Water supply wells: No water supply wells were identified within 1,500 feet of the Brownfields Property. Water is supplied to the Brownfields Property and surrounding area by Charlotte Water. iii. Surface Water: No surface water bodies are located on the Brownfields Property. The nearest surface water body feature is a piped, unnamed tributary of Irwin Creek beyond the southern property boundary. Potential offsite migration pathways Limited impacts were identified in the assessment reports; no offsite migration is expected. 4. Environmental reports regarding the Brownfields Property referred to hereinafter as the “Environmental Reports,” include, but are not limited to: a. Those that the Prospective Developer obtained or commissioned regarding the Brownfields Property: Title Prepared by Date of Report Phase I and II ESA Commercial Property Hart & Hickman, PC July 2, 2020 Soil Gas Assessment Report Hart & Hickman, PC September 17, 2021 b. Other available reports Title Prepared by Date of Report Phase I Environmental Site Assessment Proposed Mixed Use Development South Boulevard/Freelance Lane S&ME Inc. October 9, 2007 Phase I ESA Carter York Agency Hart & Hickman, PC June 29, 2017 (revised July 5, 2017) Phase II Environmental Site Assessment Carter York Agency Hart & Hickman, PC August 25, 2017 IV. PROSPECTIVE DEVELOPER’S INVOLVEMENT 5. For purposes of this Agreement DEQ relies on Prospective Developer’s representations that Prospective Developer's involvement with the Brownfields Property has been limited to obtaining or commissioning the Environmental Reports, preparing and 5 E Cama/24036-20-06/202200524 submitting to DEQ a Brownfields Property Application (BPA) dated July 2, 2020, submitting a BPA Update on April 20, 2021 and a BPA Amendment on March 4, 2022 and purchasing the Brownfields Property on February 3, 2022. 6. Prospective Developer has provided DEQ with information, or sworn certifications regarding that information on which DEQ relies for purposes of this Agreement, sufficient to demonstrate that: a. Prospective Developer and any parent, subsidiary, or other affiliate has substantially complied with federal and state laws, regulations and rules for protection of the environment, and with the other agreements and requirements cited at NCGS § 130A- 310.32(a)(1); b. As a result of the implementation of this Agreement, the Brownfields Property will be suitable for the uses specified in the Agreement while fully protecting public health and the environment; c. Prospective Developer's reuse of the Brownfields Property will produce a public benefit commensurate with the liability protection provided to Prospective Developer hereunder; d. Prospective Developer has or can obtain the financial, managerial, and technical means to fully implement this Agreement and assure the safe use of the Brownfields Property; and e. Prospective Developer has complied with all applicable procedural requirements. 7. The Parties agree that a $30,000 “Redevelopment Now” fee Prospective Developer has paid suffices as the $2,000 fee to seek a brownfields agreement required by NCGS § 130A- 310.39(a)(1), and, within the meaning of NCGS § 130A-310.39(a)(2), the full cost to DEQ and 6 E Cama/24036-20-06/202200524 the North Carolina Department of Justice of all activities related to this Agreement, unless a change is sought to a Brownfields document after it is in effect, in which case there shall be an additional fee of at least $1,000. V. BENEFIT TO COMMUNITY 8. The redevelopment of the Brownfields Property proposed herein would provide the following public benefits: a. an increase in the Brownfields Property’s productivity; b. a spur to additional community investment and redevelopment, through improved neighborhood appearance and otherwise; c. the creation of approximately 100 construction jobs and approximately 10 full- time jobs; d. an increase in tax revenue for affected jurisdictions; e. expanded use of public transportation which reduces traffic, improves air quality, and reduces our carbon footprint; and f. “smart growth” through use of land in an already developed area, which avoids development of land beyond the urban fringe (“greenfields”). VI. WORK TO BE PERFORMED 9. The guidelines as embodied in their most current version, including parameters, principles and policies within which the desired results are to be accomplished are (as to: field procedures, laboratory testing, Brownfields Program requirements, and remedial or mitigation measures): a. the Guidelines of the Inactive Hazardous Sites Branch of DEQ’s Superfund Section; b. the Division of Waste Management Vapor Intrusion Guidance; 7 E Cama/24036-20-06/202200524 c. the Brownfields Program Assessment Work Plan Checklist; and d. the Brownfields Survey Plat Checklist. 10. In redeveloping the Brownfields Property, Prospective Developer shall make reasonable efforts to evaluate applying sustainability principles at the Brownfields Property, using the nine (9) credit categories incorporated into the U.S. Green Building Council Leadership in Energy and Environmental Design (LEED) certification program (Integrative Process, Location and Transportation, Sustainable Sites, Water Efficiency, Energy & Atmosphere, Materials & Resources, Indoor Environmental Quality, Innovation, and Regional Priority), or a similar program. 11. Based on the information in the Environmental Reports, other available reports, and subject to imposition of and compliance with the land use restrictions set forth below, and subject to Section XI of this Agreement (DEQ’s Covenant Not to Sue and Reservation of Rights), DEQ is not requiring Prospective Developer to perform any active remediation at the Brownfields Property other than remediation that may be required pursuant to a DEQ-approved Environmental Management Plan (EMP) as specified in subparagraph 13.d.below. 12. In the event of and prior to the initial sale of any Townhome (defined below in paragraph 13.a.iii), the then owner of the Brownfields Property proposing for-sale residential Townhomes shall cause the Brownfields Property to be subject to a declaration of covenants, conditions, and restrictions, or a functionally equivalent instrument recorded or to be recorded in the Mecklenburg County Public Registry (the "Declaration"), and shall also establish or, if an existing homeowners’ association is extended to serve the Brownfields Property, participate in a homeowners’ association, a lot owners’ association, or similar entity associated with the Brownfields Property ("Property Association") consistent with the Declaration requirements in this Agreement and ensure it is initialized with resources consistent with subparagraph 12.e. 8 E Cama/24036-20-06/202200524 below. This Paragrah 12 does not apply to the sale of a Multi-Family Residential or For-Rent Only Townhome building, defined below in paragraphs 13.a.i. and 13.a.ii., respectively. a. The Declaration shall provide that all owners of all or part of the Brownfields Property shall strictly comply with the terms and conditions of this Agreement and the Notice of Brownfields Property referenced below in Paragraph 17. b. For the purposes of N.C.G.S. §130A-310.35(f), which authorizes various persons to enforce land use restrictions, the Declaration shall provide that the Property Association is such a person authorized to administer and enforce the land use restrictions on behalf of the owner of land and person eligible for liability protection pursuant to the Act. Further, the Declaration shall provide that the Property Association has the authority and obligation to administer and enforce the land use restrictions on behalf of all lot owners and members of the Property Association. c. The Declaration shall provide the Property Association the authority and obligation, to the extent permissible under North Carolina law, to treat any violation of the terms and conditions of this Agreement or of the Notice of Brownfields Property, referenced below in Paragraph 17, by any owner of any part of the Brownfields Property as a violation of the Declaration and to undertake any and all enforcement remedies provided in the Declaration for such a violation. The Declaration shall provide that, in the event a violation of this Agreement or the Notice of Brownfields Property by any owner of any part of the Brownfields Property becomes known to the Property Association, the Property Association shall undertake reasonable enforcement actions to correct said violation. Furthermore, the Declaration shall specifically provide that failure by any owner of any part of the Brownfields Property to remedy or correct such violations of this Agreement and the Notice of Brownfields Property after any applicable notice and cure periods to the reasonable satisfaction of DEQ could result in that owner's loss of 9 E Cama/24036-20-06/202200524 liability protection afforded by this Agreement and the Act. d. The Declaration shall provide that the Property Association will notify DEQ of violations of this Agreement or the Notice of Brownfields Property by any owner of any part of the Brownfields Property and any associated enforcement actions taken or planned within thirty (30) days of such violation becoming known to the Property Association. e. The Declaration shall provide that the Property Association maintain a cash reserve dedicated for use in undertaking the obligations set forth in this Agreement, including, without limitation, potential legal fees. The cash reserve shall initially be maintained at not less than Fifty Thousand Dollars ($50,000.00) Dollars, and shall be increased in the future as deemed necessary by the Property Association in order to ensure its obligations to enforce the land use restrictions can be carried out. The cash reserve may be used to fulfill the obligations set forth in this Agreement, provided that it is replenished annually. The permanent amount of the cash reserve may be decreased with DEQ’s prior written consent, which shall not be unreasonably withheld, conditioned, or delayed. f. The portions of the Declaration, and the portions of the bylaws of the Property Association, pertaining to the subject matter of this Paragraph 12 shall be submitted to DEQ for review and comment as to the subject matter of this Paragraph 12, which shall not be unreasonably withheld, conditioned, or delayed, and shall be deemed approved if DEQ does not respond to such submittal within thirty (30) business days. g. The Declaration shall further provide that the Property Association will be responsible for submission of copies of deeds and other instruments of conveyance to the persons listed in Section XVII (Notices and Submissions) of this Agreement in accordance with Paragraph 13.o below. VII. LAND USE RESTRICTIONS 10 E Cama/24036-20-06/202200524 13. By way of the Notice of Brownfields Property referenced below in Paragraph 17, Prospective Developer shall impose the following land use restrictions under the Act, running with the land, to make the Brownfields Property suitable for the uses specified in this Agreement while fully protecting public health and the environment instead of remediation to unrestricted use standards. All references to DEQ shall be understood to include any successor in function. a. No use may be made of the Brownfields Property other than for multi-family residential, for-rent only townhomes, townhomes, office, parking, retail, recreation, restaurant, brewery and food production facility, and subject to DEQ’s prior written approval, other commercial uses. For purposes of this restriction, the following definitions apply. i. Multi-Family Residential is defined as permanent dwellings where residential units are attached to each other with common walls, such as condominia, apartments, group homes, dormitories or boarding houses, and any property outside the dwelling structures is usable by all residents and not privately owned as part of a particular unit (e.g., privately-owned courtyards are prohibited), and may include related amenities, such as pools, clubhouses, courtyards, common areas, recreation areas and parking garages. Single family homes, duplexes or other units with yards are prohibited excluding For-Rent Only Townhomes and Townhomes as defined in Paragraphs 13.a.ii. and 13.a.iii, respectively, unless approved in writing by DEQ in advance. ii. For-Rent Only Townhome is defined as a residential unit that shall only be occupied by residents under lease and shall not be sold to individual owners for occupation or subletting. It may also include related amenities owned in common such as pools, clubhouses, courtyards, dog runs, recreation areas and parking garages. iii. Townhome is defined as a residential unit that is privately owned and is attached to one or more similar privately owned units via one or more walls. It may or may not 11 E Cama/24036-20-06/202200524 include a small amount of land ownership beyond the building footprint, such as a courtyard. It may also include related amenities owned in common such as pools, clubhouses, courtyards, dog runs, recreation areas and parking garages. For purposes of this Agreement, For-Rent Only Townhomes are not considered Townhomes. iv. Office is defined as the provision of business or professional services. v. Parking is defined as the temporary accommodation of motor vehicles in an area designed for same. vi. Retail is defined as the sale of goods or services, products, or merchandise directly to the consumer or businesses and includes showrooms, personal service, and the sales and/or service of food and/or beverage products. vii. Recreation is defined as indoor and outdoor exercise-related, physically focused, or leisure-related activities, whether active or passive, and the facilities for same, including, but not limited to, studios, swimming pools, sports-related courts and fields, open space, greenways, parks, playgrounds, walking paths, and picnic and public gathering areas. viii. Restaurant is defined as a commercial business establishment that prepares and/or serves food and/or beverages to patrons. ix. Brewery and Food Production Facility is defined as an establishment for the manufacture, sale and/or distribution of beverages or food products, including without limitation beer and ale, together with associated public roadways and related infrastructure. x. Commercial is defined as an enterprise carried on for profit or nonprofit by the owner, lessee or licensee. b. Prior to construction and/or the initial sale of newly constructed Townhomes on the Brownfields Property, all owner(s) who construct and/or offer for initial sale newly 12 E Cama/24036-20-06/202200524 constructed Townhomes, but not individual owners who offer their individual Townhome for subsequent sale, on the Brownfields Property must comply to DEQ’s written satisfaction, with Work to be Performed Paragraph 12 above and the most recent version of DEQ’s North Carolina Brownfields Program Minimum Requirements for Townhome Developments. c. All owners of Townhomes or individually owned units that include land ownership (if any) shall be subject to and abide by the Declaration referenced in Paragraph 12. d. Physical redevelopment of the Brownfields Property may not occur other than in accord, as determined by DEQ, with an Environmental Management Plan (EMP) approved in writing by DEQ in advance (and revised to DEQ’s written satisfaction prior to each subsequent redevelopment phase) that is consistent with all the other land use restrictions and describes redevelopment activities at the Brownfields Property, the timing of redevelopment phases, and addresses health, safety and environmental issues that may arise from use of the Brownfields Property during construction or redevelopment in any other form, including without limitation: i. demolition of existing structures, if applicable; ii. issues related to known or potential sources of contamination, including without limitation those resulting from contamination identified in Paragraph 3 above, and Exhibit 2; iii. contingency plans for addressing, including without limitation the testing of soil and groundwater, newly discovered or newly accessible potential sources of environmental contamination (e.g., USTs, ASTs, drums, septic drain fields, oil-water separators, soil contamination); iv. plans for the proper characterization of, and, as necessary, disposal of building materials or contaminated soils excavated during redevelopment; and 13 E Cama/24036-20-06/202200524 v. plans for the proper characterization and DEQ approval of both fill soil before import to the Brownfields Property and the disposition of all soil excavated from the Brownfields Property during redevelopment. For the purposes of this subparagraph 13.d., “physical redevelopment” is defined as construction activities that disturb soil, groundwater, building utilities, or any pentrations of the building slab that may impact the integrity of the vapor mitigation system (if any) at the Brownfields Property and does not include interior renovations that do not affect soil or groundwater. e. No later than January 31 after each one-year anniversary of the effective date of this Agreement for as long as physical redevelopment of the Brownfields Property continues (except that the final deadline shall fall 90 days after the conclusion of physical redevelopment), the then-owner of the Brownfields Property shall provide DEQ a report subject to written DEQ approval on environment-related activities since the last report, with a summary and drawings, that describes: i. actions taken on the Brownfields Property in accordance with Section VI: Work to be Performed above; ii. soil grading and cut and fill actions; iii. methodology(ies) employed for field screening, sampling and laboratory analysis of environmental media; iv. stockpiling, containerizing, decontaminating, treating, handling, laboratory analysis and ultimate disposition of any soil, groundwater, or other materials suspected or confirmed to be contaminated with regulated substances; and v. removal of any contaminated soil, water, or other contaminated materials (for example, concrete, demolition debris) from the Brownfields Property (copies of all legally required manifests shall be included). 14 E Cama/24036-20-06/202200524 f. Unless compliance with this Land Use Restriction is waived in writing in advance by DEQ in relation to particular buildings, demolition and/or renovation of any or all buildings on the Brownfields Property depicted on the plat component of the Notice referenced in Paragraph 17 below shall be in accordance with applicable legal requirements, including without limitation those related to lead and asbestos abatement that are administered by the Health Hazards Control Unit within the Division of Public Health of the North Carolina Department of Health and Human Services. g. Groundwater at the Brownfields Property may not be used for any purpose without the prior written approval of DEQ, along with any measures DEQ deems necessary to ensure that the Brownfields Property will be suitable for the uses specified in subparagraph 13.a above while fully protecting public health and the environment. Should groundwater be encountered or exposed during any activity on the Brownfields Property, it shall be managed in accordance with the DEQ-approved EMP outlined in subparagraph 13.d., or a plan approved in writing in advance by DEQ. h. No use of areas of the Brownfields Property may occur until the then owner of the Brownfields Property conducts representative final grade soil sampling, pursuant to a plan approved in writing by DEQ, of any area within the Brownfields Property that is not covered by building foundations, sidewalks, or asphaltic or concrete parking areas and driveways, two feet of documented clean fill material, or another cover approved in writing by DEQ. i. Unless otherwise approved by DEQ in writing after results of final grade soil sampling are received in accordance with subparagraph 13.h, above, no activity that disturbs soil on the Brownfields Property may occur unless and until DEQ states in writing, in advance of the proposed activity, that said activity may occur if carried out along with any measures DEQ deems necessary to ensure the Brownfields Property will be suitable for the uses specified in 15 E Cama/24036-20-06/202200524 subparagraph 13.a. above while fully protecting public health and the environment, except: i. in connection with landscape planting to depths not exceeding 24 inches; ii. mowing and pruning of above-ground vegetation; iii. for repair of underground infrastructure, provided that DEQ shall be given written notice at least seven days in advance of a scheduled repair (if only by email) of any such repair, or in emergency circumstances no later than the next business day, and that any related assessment and remedial measures required by DEQ shall be taken; and iv. in connection with work conducted in accordance with a DEQ- approved EMP as outlined above in subparagraph 13.d. j. Soil may not be removed from, or brought onto, the Brownfields Property without prior sampling and analysis to DEQ’s satisfaction and the written approval of DEQ, unless conducted in accordance with an approved EMP as outlined above in subparagraph 13.d. k. No enclosed building may be constructed on the Brownfields Property, and no existing building, defined as those depicted on the plat component of the Notice of Brownfields Property referenced in Paragraph 17, below, may be occupied until DEQ determines in writing that: i. the building is or would be protective of the building’s users and public health from risk of vapor intrusion based on site assessment data, or a site-specific risk assessment approved in writing by DEQ; or ii. a vapor intrusion mitigation system (VIMS) has been: 1. designed to mitigate the intrusion of subsurface vapors into building features in accordance with the most recent and applicable DWM Vapor Intrusion Guidance, Interstate Technology & Regulatory Council (ITRC) guidance, and American National Standards Institute (ANSI)/American Association of Radon Scientists and 16 E Cama/24036-20-06/202200524 Technologists (AARST) standards, and that a professional engineer licensed in North Carolina, as evidenced by said engineer’s professional seal, is satisfied that the design is fully protective of public health, and shall include a performance monitoring plan detailing methodologies and schedule, both of which are subject to prior written DEQ approval; and 2. installed and an installation report is submitted for written DEQ approval that includes as-built diagrams, photographs, and a description of the installation, with said engineer’s professional seal confirming that the engineer is satisfied that the system was installed per the DEQ approved design. If any deviations from the system design were necessary during installation, then the report shall include details on said deviations, as well as the engineer’s seal certifying the VIMS, as installed, was installed in such a manner so as to be fully protective of public health. l. In the event Townhomes are constructed, no occupancy of the Brownfields Property for such use may occur until a work plan for the installation and sampling of each proposed Townhome building slab is approved by DEQ, and until the first round of sampling activities under the work plan is completed to DEQ’s written satisfaction. The work plan will include, at a minimum, details on schedule and methodology for installation and sampling of permanent sub slab soil gas monitoring points for VOCs by EPA Method TO-15 within one month after monitoring point installation and then annually. At the completion of the second sampling event, a request to terminate future monitoring of the permanent sub-slab soil gas monitoring points may be submitted to DEQ for review and approval, that includes the public health rationale for such termination. Should the analytical results obtained from the sub slab soil gas sampling indicate exposures at the Brownfields Property that raise the risk to public health or the environment associated with the Brownfields Property beyond an acceptable range and in a manner or to a degree not anticipated in this Agreement, DEQ may require that the then 17 E Cama/24036-20-06/202200524 owner(s) re-evaluate that risk for areas potentially subject to said risk and to take action to reduce said risk to make the Brownfields Property suitable for Townhomes while fully protecting public health and the environment. m. Neither DEQ, nor any party conducting environmental assessment or remediation at the Brownfields Property at the direction of, or pursuant to a permit, order or agreement issued or entered into by DEQ, may be denied access to the Brownfields Property for purposes of conducting such assessment or remediation, which is to be conducted using reasonable efforts to minimize interference with authorized uses of the Brownfields Property. n. The owner of any portion of the Brownfields Property where any existing, or subsequently installed, DEQ-approved monitoring well or vapor sample point is damaged by the owner, its contractors, or its tenants shall be responsible for repair of any such wells or sample points to DEQ’s written satisfaction and within a time period acceptable to DEQ, unless compliance with this land use restriction is waived in writing by DEQ in advance. o. Any deed or other instrument conveying an interest in the Brownfields Property shall contain the following notice: “This property is subject to the Brownfields Agreement attached as Exhibit A to the Notice of Brownfields Property recorded in the Mecklenburg County land records, Book ____, Page ____.” A copy of any such instrument shall be sent to the persons listed in Section XVII (Notices and Submissions), though financial figures and other confidential information related to the conveyance may be redacted to the extent said redactions comply with the confidentiality and trade secret provisions of the North Carolina Public Records Law. The owner conveying an interest may use the following mechanisms to comply with the obligations of this subparagraph: (i) If every lease or rider is identical in form, the owner conveying an interest may provide DEQ with copies of a form lease or rider evidencing compliance with this subparagraph, in lieu of sending copies of actual, executed leases, to the 18 E Cama/24036-20-06/202200524 persons listed in Section XVII (Notice and Submissions); or (ii) The owner conveying an interest may provide abstracts of leases, rather than full copies of said leases, to the persons listed in Section XVII. p. None of the contaminants known to be present in the environmental media at the Brownfields Property, as described in Exhibit 2 of this Agreement and as modified by DEQ in writing if additional contaminants in excess of applicable standards are discovered at the Brownfields Property, may be used or stored at the Brownfields Property without the prior written approval of DEQ, except: i. in de minimis quantities for cleaning and other routine housekeeping and maintenance activities; ii. as fuel or other fluids customarily used in vehicles, landscaping equipment, machinery, and emergency generators, or in flammable liquid storage containers of no more than 25 gallons; and iii. as constituents of products or materials customarily used and stored in multi-family residential, for-rent only townhomes, townhomes, office, parking, retail, recreation, restaurant, brewery and food production facility, and with prior DEQ written approval, other commercial uses, provided such products and materials are stored in original retail packaging and used and disposed of in accordance with applicable laws. q. During January of each year after the year in which the Notice referenced below in Paragraph 17 is recorded, the owner of any part of the Brownfields Property as of January 1st of that year shall submit a notarized Land Use Restrictions Update (“LURU”) to DEQ, and to the chief public health and environmental officials of Mecklenburg County, certifying that, as of said January 1st, the Notice of Brownfields Property containing these land use restrictions remains recorded at the Mecklenburg County Register of Deeds office and that 19 E Cama/24036-20-06/202200524 the land use restrictions are being complied with. If the Brownfields Property is transferred, the grantor shall submit a LURU (as outlined above) which covers the period of time the grantor owned the Brownfields Property during the calendar year of the transfer. The submitted LURU shall state the following: i. the Brownfields Property address, and the name, mailing address, telephone number, and contact person’s e-mail address of the owner, or board, association or approved entity, submitting the LURU if said owner, or each of the owners on whose behalf a joint LURU is submitted, acquired any part of the Brownfields Property during the previous calendar year; ii. the transferee’s name, mailing address, telephone number, and contact person’s e-mail address, if said owner, or each of the owners on whose behalf a joint LURU is submitted, transferred any part of the Brownfields Property during the previous calendar year; iii. whether any vapor barrier and/or mitigation systems installed pursuant to subparagraph 13.k above are performing as designed, and whether the uses of the ground floors of any buildings containing such vapor barrier and/or mitigation systems have changed, and, if so, how; iv. A joint LURU may be submitted for multiple owners by a duly constituted board or association and shall include the name, mailing address, telephone and facsimile numbers, and contact person’s e-mail address of the entity submitting the joint LURU as well as for each of the owners on whose behalf the joint LURU is submitted. v. A LURU submitted for rental units shall include the rent roll and enough of each lease entered into during the previous calendar year to demonstrate compliance with lessee notification requirements in Paragraphs 13.o. and 18 of this Agreement provided that 20 E Cama/24036-20-06/202200524 if abstracts of leases are sent, rather than full copies of leases, or standard form leases or riders are used in every instance, a copy of such abstract, standard form lease or rider may be sent in lieu of copies of actual leases; and vi. A property owners’ association or other entity may perform this LURU’s duties, on behalf of some or all owners of the Brownfields Property, if said association or entity has accepted responsibility for such performance pursuant to a notarized instrument satisfactory to DEQ (it being agreed that the Declaration, if approved by DEQ pursuant to Paragraph 12.f., shall satisfy this requirement). 14. The desired result of the above-referenced land use restrictions is to make the Brownfields Property suitable for the uses specified in this Agreement while fully protecting public health and the environment. 15. The consequence of achieving the desired results will be that the Brownfields Property will be suitable for the uses specified in the Agreement while fully protecting public health and the environment. The consequence of not achieving the desired results will be that modifications to land use restrictions and/or remediation in some form may be necessary to fully protect public health and/or the environment. VIII. ACCESS/NOTICE TO SUCCESSORS IN INTEREST 16. In addition to providing access to the Brownfields Property pursuant to subparagraph 13.m. above, Prospective Developer shall provide DEQ, its authorized officers, employees, representatives, and all other persons performing response actions under DEQ oversight, access at all reasonable times to other property controlled by Prospective Developer in connection with the performance or oversight of any response actions at the Brownfields Property under applicable law. Such access is to occur after prior notice and using reasonable efforts to minimize interference with authorized uses of such other property except in response to 21 E Cama/24036-20-06/202200524 emergencies and/or imminent threats to public health and the environment. While Prospective Developer owns the Brownfields Property, DEQ shall provide reasonable notice to Prospective Developer of the timing of any response actions to be undertaken by or under the oversight of DEQ at the Brownfields Property. Except as may be set forth in the Agreement, DEQ retains all of its authorities and rights, including enforcement authorities related thereto, under the Act and any other applicable statute or regulation, including any amendments thereto. 17. DEQ has approved, pursuant to NCGS § 130A-310.35, a Notice of Brownfields Property (“Notice”) for the Brownfields Property containing, inter alia, the land use restrictions set forth in Section VI (Work to Be Performed) of this Agreement and a survey plat of the Brownfields Property. Pursuant to NCGS § 130A-310.35(b), within 15 days of the effective date of this Agreement, Prospective Developer shall file the Notice in the Mecklenburg County, North Carolina, Register of Deeds’ Office. Within three (3) days thereafter, Prospective Developer shall furnish DEQ a copy of the documentary component of the Notice containing a certification by the register of deeds as to the Book and Page numbers where both the documentary and plat components of the Notice are recorded, and a copy of the plat with notations indicating its recordation. 18. This Agreement shall be attached as Exhibit A to the Notice. Subsequent to recordation of said Notice, any deed or other instrument conveying an interest in the Brownfields Property shall contain the following notice: “This property is subject to the Brownfields Agreement attached as Exhibit A to the Notice of Brownfields Property recorded in the Mecklenburg County land records, Book ___________, Page ____________.” A copy of any such instrument shall be sent to the persons listed in Section XVII (Notices and Submissions), though financial figures and other confidential information related to the conveyance may be redacted to the extent said redactions comply with the confidentiality and trade secret provisions 22 E Cama/24036-20-06/202200524 of the North Carolina Public Records Law. Prospective Developer may use the following mechanisms to comply with the obligations of this paragraph: (i) If every lease or rider is identical in form, Prospective Developer may provide DEQ with copies of a form lease or rider evidencing compliance with this paragraph, in lieu of sending copies of actual, executed leases, to the persons listed in Section XVII (Notices and Submissions); or (ii) Prospective Developer may provide abstracts of leases, rather than full copies of said leases, to the persons listed in Section XVII. 19. The Prospective Developer shall ensure that a copy of this Agreement is provided to any current lessee or sublessee on the Brownfields Property within seven days of the effective date of this Agreement. IX. DUE CARE/COOPERATION 20. The Prospective Developer shall exercise due care at the Brownfields Property with respect to the manner in which regulated substances are handled at the Brownfields Property and shall comply with all applicable local, State, and federal laws and regulations. The Prospective Developer agrees to cooperate fully with any assessment or remediation of the Brownfields Property by DEQ and further agrees not to interfere with any such assessment or remediation. In the event the Prospective Developer becomes aware of any action or occurrence which causes or threatens a release of contaminants at or from the Brownfields Property while Prospective Developer owns the Brownfields Property, the Prospective Developer shall immediately take all appropriate action to prevent, abate, or minimize such release or threat of release, shall comply with any applicable notification requirements under NCGS § 130A-310.1 and 143-215.85, Section 103 of CERCLA, 42 USC § 9603, and/or any other law, and shall immediately notify the DEQ Official referenced in subparagraph 32.a. below of any such required notification. 23 E Cama/24036-20-06/202200524 X. CERTIFICATION 21. By entering into this Agreement, the Prospective Developer certifies that, without DEQ approval, it will make no use of the Brownfields Property other than that committed to in the Brownfields Property Application dated July 2, 2020 and the Brownfields Property Application Update dated April 20, 2021 and the Brownfields Application Amendment dated March 4, 2022 by which it applied for this Agreement, except as provided herein. That use is that which is provided in subparagraph 13.a. of this Agreement. Prospective Developer also certifies that to the best of its knowledge and belief it has fully and accurately disclosed to DEQ all information known to Prospective Developer and all information in the possession or control of its officers, directors, employees, contractors and agents which relates in any way to any past use of regulated substances or known contaminants at the Brownfields Property and to its qualification for this Agreement, including the requirement that it not have caused or contributed to the contamination at the Brownfields Property. XI. DEQ’S COVENANT NOT TO SUE AND RESERVATION OF RIGHTS 22. Unless any of the following apply, Prospective Developer shall not be liable to DEQ, and DEQ covenants not to sue Prospective Developer, for remediation of the Brownfields Property except as specified in this Agreement: a. The Prospective Developer fails to comply with this Agreement. b. The activities conducted on the Brownfields Property by or under the control or direction of the Prospective Developer increase the risk of harm to public health or the environment, in which case Prospective Developer shall be liable for remediation of the areas of the Brownfields Property, remediation of which is required by this Agreement, to the extent necessary to eliminate such risk of harm to public health or the environment. c. A land use restriction set out in the Notice of Brownfields Property required 24 E Cama/24036-20-06/202200524 under NCGS § 130A-310.35 is violated while the Prospective Developer owns the Brownfields Property, in which case the Prospective Developer shall be responsible for remediation of the Brownfields Property to unrestricted use standards. d. The Prospective Developer knowingly or recklessly provided false information that formed a basis for this Agreement or knowingly or recklessly offers false information to demonstrate compliance with this Agreement or fails to disclose relevant information about contamination at the Brownfields Property. e. New information indicates the existence of previously unreported contaminants or an area of previously unreported contamination on or associated with the Brownfields Property that has not been remediated to unrestricted use standards, unless this Agreement is amended to include any previously unreported contaminants and any additional areas of contamination. If this Agreement sets maximum concentrations for contaminants, and new information indicates the existence of previously unreported areas of these contaminants, further remediation shall be required only if the areas of previously unreported contaminants raise the risk of the contamination to public health or the environment to a level less protective of public health and the environment than that required by this Agreement. f. The level of risk to public health or the environment from contaminants is unacceptable at or in the vicinity of the Brownfields Property due to changes in exposure conditions, including (i) a change in land use that increases the probability of exposure to contaminants at or in the vicinity of the Brownfields Property or (ii) the failure of remediation to mitigate risks to the extent required to make the Brownfields Property fully protective of public health and the environment as planned in this Agreement. g. DEQ obtains new information about a contaminant associated with the Brownfields Property or exposures at or around the Brownfields Property that raises the risk to 25 E Cama/24036-20-06/202200524 public health or the environment associated with the Brownfields Property beyond an acceptable range and in a manner or to a degree not anticipated in this Agreement. h. The Prospective Developer fails to file a timely and proper Notice of Brownfields Property under NCGS § 130A-310.35. 23. Except as may be provided herein, DEQ reserves its rights against Prospective Developer as to liabilities beyond the scope of the Act. 24. This Agreement does not waive any applicable requirement to obtain a permit, license or certification, or to comply with any and all other applicable law, including the North Carolina Environmental Policy Act, NCGS § 113A-1, et seq. 25. Consistent with NCGS § 130A-310.33, the liability protections provided herein, and any statutory limitations in Paragraphs 22 through 24 above, apply to all of the persons listed in NCGS § 130A-310.33, including future owners of the Brownfields Property, to the same extent as Prospective Developer, so long as these persons are not otherwise potentially responsible parties or parents, subsidiaries, or affiliates of potentially responsible parties. XII. PROSPECTIVE DEVELOPER'S COVENANT NOT TO SUE 26. In consideration of DEQ’s Covenant Not To Sue in Section XI of this Agreement and in recognition of the absolute State immunity provided in NCGS § 130A-310.37(b), the Prospective Developer hereby covenants not to sue and not to assert any claims or causes of action against DEQ, its authorized officers, employees, or representatives with respect to any action implementing the Act, including negotiating, entering, monitoring or enforcing this Agreement or the above-referenced Notice of Brownfields Property. XIII. PARTIES BOUND 27. This Agreement shall apply to and be binding upon DEQ, and on the Prospective Developer, its officers, directors, employees, and agents. Each Party’s signatory to this 26 E Cama/24036-20-06/202200524 Agreement represents that she or he is fully authorized to enter into the terms and conditions of this Agreement and to legally bind the Party for whom she or he signs. XIV. DISCLAIMER 28. Prospective Developer and DEQ agree that this Agreement meets the requirements of the Act, including but not limited to the requirements set forth in NCGS § 130A-310.32(a)(2). However, this Agreement in no way constitutes a finding by DEQ as to the risks to public health and the environment which may be posed by regulated substances at the Brownfields Property, a representation by DEQ that the Brownfields Property is fit for any particular purpose, nor a waiver of Prospective Developer’s duty to seek applicable permits or of the provisions of NCGS § 130A-310.37. 29. Except for the land use restrictions set forth in Paragraph 13 above and NCGS § 130A-310.33(a)(1)-(5)'s provision of the Act's liability protection to certain persons to the same extent as to a prospective developer, no rights, benefits or obligations conferred or imposed upon Prospective Developer under this Agreement are conferred or imposed upon any other person. XV. DOCUMENT RETENTION 30. The Prospective Developer agrees to retain and make available to DEQ all business and operating records, contracts, site studies and investigations, remediation reports, and documents generated by and/or in the control of the Prospective Developer, its affiliates or subsidiaries relating to storage, generation, use, disposal and management of regulated substances at the Brownfields Property, including without limitation all Material Safety Data Sheets or Safety Data Sheets, for six (6) years following the effective date of this Agreement, unless otherwise agreed to in writing by the Parties. Said records may be retained electronically such that they can be retrieved and submitted to DEQ upon request. At the end of six (6) years, the Prospective Developer shall notify DEQ of the location of such documents and shall provide 27 E Cama/24036-20-06/202200524 DEQ with an opportunity to copy any documents at the expense of DEQ. By entering into this Agreement, Prospective Developer waives no rights of confidentiality or privilege provided by the North Carolina Public Records Act or otherwise and, at the time DEQ requests to copy or inspect said documents, Prospective Developer shall provide DEQ with a log of documents withheld from DEQ, including a specific description of the document(s) and the alleged legal basis upon which they are being withheld. To the extent DEQ retains any copies of such documents, Prospective Developer retains all rights it then may have to seek protection from disclosure of such documents as confidential business information. XVI. PAYMENT OF ENFORCEMENT COSTS 31. If the Prospective Developer fails to comply with the terms of this Agreement, including, but not limited to, the provisions of Section VI (Work to be Performed) and Section VII (Land Use Restrictions), it shall be liable for all litigation and other enforcement costs incurred by DEQ to enforce this Agreement or otherwise obtain compliance. XVII. NOTICES AND SUBMISSIONS 32. Unless otherwise required by DEQ or a Party notifies the other Party in writing of a change in contact information or delivery method, all notices and submissions pursuant to this Agreement shall be sent by prepaid first-class U.S. mail, courier service, or e-mail, as follows: a. for DEQ: Brownfields Property Management Unit (or successor in function) N.C. Division of Waste Management Brownfields Program Mail Service Center 1646 Raleigh, NC 27699-1646 BFPropertyManagement@ncdenr.gov b. for Prospective Developer: Tom Zabor and Dan Broderick (or successor in function) AHC Cama II LLC 28 E Cama/24036-20-06/202200524 1603 Orrington Avenue, Suite 990 Evanston, IL 60201 tzabor@ahcfunds.com dbroderick@ahcfunds.com Notices and submissions sent by prepaid first-class U.S. mail shall be effective on the third day following postmarking. Notices and submissions sent by hand or by other means affording written evidence of date of receipt shall be effective on such date. XVIII. EFFECTIVE DATE 33. This Agreement shall become effective on the date the Prospective Developer signs it, after receiving the signed, conditionally approved Agreement from DEQ. DEQ’s approval of this Agreement is conditioned upon the complete and timely execution and filing of this Agreement in the manner set forth herein. Prospective Developer shall expeditiously sign the Agreement in order to effect the recordation of the full Notice of Brownfields Property within the statutory deadline set forth in NCGS § 130A-310.35(b). If the Agreement is not signed by Prospective Developer within 45 days after such receipt, DEQ has the right to revoke its approval and certification of this Agreement, and to invalidate its signature on this Agreement. XIX. TERMINATION OF CERTAIN PROVISIONS 34. If any Party believes that any or all of the obligations under Section VIII (Access/Notice to Successors in Interest) are no longer necessary to ensure compliance with the requirements of the Agreement, that Party may request in writing that the other Party agree to terminate the provision(s) establishing such obligations; provided, however, that the provision(s) in question shall continue in force unless and until the Party requesting such termination receives written agreement from the other Party to terminate such provision(s). XX. CONTRIBUTION PROTECTION 35. With regard to claims for contribution against Prospective Developer in relation to 29 E Cama/24036-20-06/202200524 the subject matter of this Agreement, Prospective Developer is entitled to protection from such claims to the extent provided by NCGS § 130A-310.37(a)(5)-(6). The subject matter of this Agreement is all remediation taken or to be taken and response costs incurred or to be incurred by DEQ or any other person in relation to the Brownfields Property. 36. The Prospective Developer agrees that, with respect to any suit or claim for contribution brought by it in relation to the subject matter of this Agreement, it will notify DEQ in writing no later than 60 days prior to the initiation of such suit or claim. 37. The Prospective Developer also agrees that, with respect to any suit or claim for contribution brought against it in relation to the subject matter of this Agreement, it will notify DEQ in writing within 10 days of receiving said suit or claim. XXI. PUBLIC COMMENT 38. This Agreement shall be subject to a public comment period of at least 30 days starting the day after the last of the following public notice tasks occurs: publication of the approved summary of the Notice of Intent to Redevelop a Brownfields Property required by NCGS § 130A-310.34 in a newspaper of general circulation serving the area in which the Brownfields Property is located; conspicuous posting of a copy of said summary at the Brownfields Property; and mailing or delivery of a copy of the summary to each owner of property contiguous to the Brownfields Property. After expiration of that period, or following a public meeting if DEQ holds one pursuant to NCGS § 130A-310.34(c), DEQ may modify or withdraw its consent to this Agreement if comments received disclose facts or considerations which indicate that this Agreement is inappropriate, improper or inadequate. 30 E Cama/24036-20-06/202200524 IT IS SO AGREED: NORTH CAROLINA DEPARTMENT OF ENVIRONMENTAL QUALITY By: ____________________________________________________________________________ Michael E. Scott Date Director, Division of Waste Management IT IS SO AGREED: AHC CAMA II LLC By: AHC Equity Charlotte LLC, its manager By: AHC Investment Group LLC, its manager By: ____________________________________________________________________________ Tom Zabor Date Authorized Signatory SITE LOCATION MAP EAST CAMA STREET 235 E. CAMA STREET CHARLOTTE, NORTH CAROLINA DATE: JOB NO: REVISION NO: FIGURE NO: 4-13-20 0 1BOU-016 0 2000 4000 APPROXIMATE SCALE IN FEET N U.S.G.S. QUADRANGLE MAP 7.5 MINUTE SERIES (TOPOGRAPHIC) 2923 S. Tryon Street, Suite 100 Charlotte, NC 28203 704.586.0007(p) 704.586.0373(f) CHARLOTTE WEST, NORTH CAROLINA 1996 SITE Exhibit 1 24036-20-060/E Cama/draft 2022.05.16 1 Exhibit 2 Brownfields Property Name: East Cama Street Brownfields Project Number: 24036-20-060 The most recent environmental sampling at the Brownfields Property reported in the Environmental Reports occurred on June 8, 2020. The following tables set forth, for contaminants present at the Brownfields Property above unrestricted use standards or screening levels, the concentration found at each sample location, and the applicable standard or screening level. Screening levels and standards are shown for reference only and are not set forth as cleanup or mitigation levels for purposes of this Agreement. GROUNDWATER Groundwater contaminants in micrograms per liter (the equivalent of parts per billion), the standards for which are contained in Title 15A of the North Carolina Administrative Code, Subchapter 2L (2L), Rule .0202, or the 2L Groundwater Interim Maximum Allowable Concentrations (IMACS) (April 1, 2022 version): Groundwater Contaminant Sample Location Date of Sampling Concentration Exceeding Standard (µg/L) Standard (µg/L) Tetrachloroethylene TMW-1 5/4/2020 1.9 0.7 MW-1 5/19/2020 4.3 Lead TMW-2 5/4/2020 17.4 15 GROUNDWATER VAPOR INTRUSION RISK Groundwater contaminants with potential for vapor intrusion (VI) in micrograms per liter (the equivalent of parts per billion), the vapor intrusion screening levels for which are contained in the Division of Waste Management Vapor Intrusion Guidance, Residential Vapor Intrusion Screening Levels (VISL) (January 2022 version): Groundwater Contaminant with Potential for Vapor Intrusion Sample Location Date of Sampling Concentration Exceeding Screening Level (µg/L) Residential VI Screening Level1 (µg/L) Cis-1,2-Dichloroethene TMW-1 5/4/2020 0.65J NE MW-1 5/19/2020 0.66J Trichlorofluoromethane TMW-1 5/4/2020 0.33J NE MW-1 5/19/2020 1.1 1 Screening levels displayed for non-carcinogens are for a hazard quotient equal to 0.2. Screening levels displayed for carcinogens are for a 1.0E-5 lifetime incremental cancer risk. 2 NE – No established screening level. 3 J – compound detected above laboratory method detection limit, but below the laboratory reporting limit results in a laboratory estimated concentration. 24036-20-060/E Cama/draft 2022.05.16 2 SOIL Soil contaminants in milligrams per kilogram (the equivalent of parts per million), the screening levels for which are derived from the Preliminary Industrial Health- Based Soil Remediation Goals of the Inactive Hazardous Sites Branch of DEQ’s Superfund Section (January 2022 version): Soil Contaminant Sample Location Depth (ft) Date of Sampling Concentration Exceeding Screening Level (mg/kg) Residential Screening Level1 (mg/kg) Arsenic4 SB-1 3-4 5/4/2020 1.71 0.68 SB-2 4-5 1.21J SB-4 2-3 1.35 Hexavalent Chromium SB-1 3-4 5/4/2020 0.542J 0.31 SB-3 2-3 0.407J Phenanthrene SB-4 2-3 5/4/2020 0.256J NE 1Screening levels displayed for non-carcinogens are for a hazard quotient equal to 0.2. Screening levels displayed for carcinogens are for a 1.0E-6 lifetime incremental cancer risk. 2 J – compound detected above laboratory method detection limit, but below the laboratory reporting limit results in a laboratory estimated concentration. 3 NE – No established screening level. 4The IHSB’s tabulated generic residential use preliminary remediation goal (“remedial goal”) for arsenic is 0.68 mg/kg. Based on site specific assessment data, the arsenic impacts on the Brownfields Property appear to be naturally occurring. Further, based on a site specific risk calculation using the current NCDEQ Risk Calculator, arsenic levels on the Brownfields Property do not exceed a Hazard Index of 1. SUB-SLAB VAPOR OR SOIL GAS Soil gas contaminants in micrograms per cubic meter, the screening levels for which are derived from Residential Vapor Intrusion Screening Levels of the Division of Waste Management (January 2022 version): Soil Gas Contaminant Sample Location Date of Sampling Concentration Exceeding Screening Level (µg/m3) Residential Screening Limit1 (µg/m3) Chloroform SG-2 6/8/2021 27.7 4.1 1,3-Dichlorobenzene SG-2 6/8/2021 5.6J NE SG-4 6/7/2021 8.5 SG-5 16.7 SG-6 9.0 SG-7 8.1 SG-DUP 8.2 1,2-Dichloroethane SG-7 6/7/2021 4.2 3.6 Cis-1,2-Dichloroethene SG-5 6/7/2021 1.2 J NE SG-8 13.1 SG-9 2.9 24036-20-060/E Cama/draft 2022.05.16 3 Soil Gas Contaminant Sample Location Date of Sampling Concentration Exceeding Screening Level (µg/m3) Residential Screening Limit1 (µg/m3) Ethanol SG-1 6/8/2021 50.1 NE SG-2 52.4 SG-3 6/7/2021 27.5 SG-4 37.3 SG-5 104 SG-6 42.8 SG-7 59.7 SG-DUP 55.7 SG-8 5.2 SG-9 29.3 Ethylbenzene SG-1 6/8/2021 67.1 37 SG-7 6/7/2021 44 SG-DUP 45.2 4-Ethyltoluene SG-1 6/8/2021 35.8 NE SG-2 13.7 SG-3 6/7/2021 17 SG-4 14.5 SG-5 13.8 SG-6 7.3 SG-7 26.7 SG-DUP 26.4 SG-8 9.4 SG-9 10.8 Naphthalene SG-3 6/7/2021 4.9 J 2.8 SG-4 6.0 SG-5 5.6 Trichlorofluoromethane SG-3 06/07/2021 1.9 J NE SG-5 4.3 SG-7 1.7 J SG-DUP 1.4 J SG-8 0.98 J SG-9 1.3 J 1Screening levels displayed for non-carcinogens are for a hazard quotient equal to 0.2. Screening levels displayed for carcinogens are for a 1.0E-6 lifetime incremental cancer risk. 2 NE – No established screening level. 3 J – compound detected above laboratory method detection limit, but below the laboratory reporting limit results in a laboratory estimated concentration. SG-DUP collected at sample location SG-7 Exhibit C Brownfields Property Name: East Cama Street Brownfields Project Number: 24036-20-060 BROWNFIELDS PROPERTY LEGAL DESCRIPTION That certain tract or parcel of land situated, lying and being in the City of Charlotte, County of Mecklenburg, State of North Carolina and being more particularly described as follows: BEGINNING at an existing 1/2 inch iron rod on the southerly right-of-way margin of East Cama Street (60 foot public R/W), said iron being the northwest corner of the property of Automatic Technology Inc. (now or formerly) as described in Deed Book 6832, Page 616 in the Mecklenburg County Public Registry (the “Registry”); thence with and along the westerly boundary of aforesaid property of Automatic Technology Inc. S 25°21'30" W a distance of 167.32 feet to a new 1/2 inch iron rod on the northerly boundary of the property of Peterson Drive LLC (now or formerly) as described in Deed Book 33677, Page 189 in said Registry; thence with and along aforesaid northerly boundary of the property of Peterson Drive LLC N 71°41'14" W a distance of 111.32 feet to a new 1/2 inch iron rod on the easterly right-of-way margin of Heriot Avenue (50 foot public R/W); thence with and along the aforesaid easterly margin of Heriot Avenue the following two (2) courses and distances: 1) N 08°38'46" E a distance of 166.46 feet to a new 1/2 inch iron rod; 2) with the arc of a circular curve turning to the right having a radius of 20.00 feet and an arc length of 37.85 feet (chord: N 62°52'09" E a distance of 32.45 feet) to a new 1/2 inch iron rod on the southerly right-of-way margin of aforementioned East Cama Street; thence with the southerly margin of East Cama Street S 62°54'27" E a distance of 138.65 feet to the point of BEGINNING, having an area of 24,395 square feet or 0.5600 acres of land, according to a map by R.B. Pharr & Associates, P.A. dated October 12, 2021, bearing Job No. 93485.