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MIS2015-00002 MIS2015 - 00002 Bl* amp Systems NOTICE OF TYPE I DECISION il BIAMP SYSTEMS MoNONCONFORMING USE DETERMINATION 120 DAYS = February 25, 2015 SECTION I. APPLICATION SUMMARY FILE NAME: BIAMP SYSTEMS NONCONFORMING USE DETERMINATION CASE NO.: Miscellaneous Permit(MIS) MIS2015-00002 PROPOSAL: The applicant requests a nonconforming use determination for the proper located at 10575 SW Cascade Avenue, Suite 130 (WCTM 1S1351313, Tax Lot 501) to allow the continuation a light industrial land use. APPLICANT: Kidder Matthews Attn: Steven Klein One SW Columbia Street Suite 950 Portland, OR 97258 OWNER: Indcor Properties 2 North Riverside Plaza Suite 2350 Chicago,IL 60606 COMPREHENSIVE PLAN DESIGNATION: Mixed Use Commercial ZONING DESIGNATION: MUC: Mixed Use Commercial District. The MUC zoning district includes land around the Washington Square Mall and land immediately west of Highway 217. Primary uses permitted include office buildings, retail, and service uses. Also Permitted are mixed-use developments and housing at densities of 50 units per acre. Larger buildings are encouraged in this area with parking under, behind or to the sides of buildings. LOCATION: 10575 SW Cascade Avenue,Suite 130;WCTM 1S135BB,Tax Lot 501 APPLICABLE REVIEW CRITERIA: Community Development Code Chapter 18.760.020(A). SECTION II. DETERMINATION Notice is hereby given that the City of Tigard Community Development Director's designee has APPROVED the legal status of a nonconforming use, subject to the findings and conclusions on which the determination is based,noted in Section IV of this decision. MIS2015-00002 BIAMP SYSTEMS NONCONFORMING USE DETERMINATION PAGE 1 OF 5 SECTION III. BACKGROUND INFORMATION The applicant is seeking a nonconforming use determination to allow the continuation of a land use category no longer allowed in the underlying zoning district. More specifically, BIAMP Systems Corporation proposes use of the existing building for light industrial manufacturing, assembly, and packaging of electronic equipment, a use not permitted at this location since 2002. The subject property is located at 10575 SW Cascade Avenue. The 4.5-acre development site contains approximately 64,000-square-foot commercial building, 200 parking spaces, and associated landscaping. A search of city records did not reveal any permits related to the original construction of the building. Aerial photographs on file with the City of Tigard Community Development Department show,the site to be vacant in 1983, and developed with a commercial building in 1986, providing an approximate window for construction. The City approved a 5,812-square-foot expansion in 2007, as documented in a Minor Modification to Existing Development (MMD2007-00010), a building permit (BUP2007-00191), and a site work permit (SIT2007-00013). The property is located in the Washington Square Regional Center Plan District. The property is zoned Mixed Use Commercial (MUC), as are properties to the north, south, and east; properties to the west are zoned Mixed Use Employment (MUE-1). These zoning designations have been effective since March 28, 2002 as part of series of regulatory amendments related to adoption of the Washington Square Regional Center Plan under City Council Ordinance 00-12, Ordinance 02-12, and Resolution 02-12. A zoning map dated January 11, 2000 identifies the project site as being located in the I-P: Industrial Park Zone prior to adoption of the Washington Square Regional Center Plan District in 2002. One effect of the zone change from I-P to MUC was to change "Light Industrial" land uses from a permitted to a prohibited use. HemCon Medical Technologies occupied the project site from September 26, 2002 until March 31, 2015, as documented in a lease agreement and tenant move-out form provided by the landlord and contained in the application file. Hemcon's active tenancy is also confirmed by the issuance of 76 building permits and one land use permit on record with the City of Tigard Community Development Department between October 15, 2002 and March 3, 2015. Records are unclear regarding the previous tenant of the HemCon space due to addressing changes, changes in building management, incomplete building permit files, and a lack of land use permits that would verify use determinations. SECTION IV. APPLICABLE REVIEW CRITERIA AND FINDINGS 18.760.020 Determination of Nonconforming Use Status A. Director's determination. The Director shall make a determination regarding the legal status of a nonconforming use by means of a Type I procedure, governed by Section 18.390.030, using the following criteria: 1. Proof that the use was permitted by this title at the time it was established, by any of the following: a. Copies of building and/or land use permits issued at the time the use was established; b. Copies of zoning code provisions and/or maps; c. Demonstration that the use was established before the first development code for the community was adopted. MIS2015-00002 BIAMP SYSTEMS NONCONFORMING USE DETERMINATION PAGE 2 OF 5 City records reveal the earliest building permit for Hemcon to have been issued on October 15, 2002 with the following description, "Commercial TI — Create Demising walls. Deferred: clean room, mechanical, and plumbing" (BUP2002-00453). This description is contained within the City's permit tracking database (Accela), and no further information is available as the full contents of that record could not be located on paper or microfiche. The earliest available floorplan dates to 2004 (BUP2004- 00561), which describes an integrated facility with administrative offices, research and development space, and production and packaging facilities related to the development of medical supplies. Based on this floorplan, the facility would meet the definition of "Light Industrial" at the time of establishment. According to the January, 2000, version of Chapter 18.30 (Use Classifications), a light industrial use included the following activities at the time of permit issuance: "Light Industrial: Includes production, processing, assembling, packaging or treatment of finished products from previously prepared materials or components. All activities and storage is contained within buildings. Examples include the manufacturing and assembly of small scale machinery, appliances, computers and other electronic equipment, pharmaceuticals; science and musical instruments; art work, toys and other previous goods; sign-making;and catering facilities." As discussed in Section III of this determination, the Tigard Development Code had not permitted Light Industrial Uses since March 28, 2002, or six months and 17 days prior to issuance of the first building permit for HemCon. It must therefore be determined that use of the site for light industrial purposes was not abandoned for more than six months. A search of the permit history revealed a building permit application dated April 4, 2002 to improve the project site, then described as "spec space" (BUP2002-00122). This building permit provides evidence of active marketing and investment in the facility to attract a new industrial user to the building. The applicant has also provided a lease for Hemcom showing an establishment date of September 26, 2002. The space of time between these two actions is 5 months and 22 days, or less than six months, and as such there is evidence that light industrial use of the property was permitted when HemCon was issued the first of 77 permits from the Community Development Department. Based on the evidence above, this standard is met. 2. Proof that the use has been maintained over time. This includes copies of one or more of the following evidence for every other year from the time the use was established until the current year. Standard evidence that the use has been maintained over time includes: a. Utility bills; b. Income tax records; c. Business licenses; d. Listings in telephone,business and Polk directories; e. Advertisements in dated publications, e.g., trade magazines, and/or; f. Building, land use or development permits. There is evidence that the use has been maintained over time. A search of city records revealed 76 building permits and one land use permit issued to HemCon, issued between October 2002 and March 2015. The applicant has also provided two lease agreements. The first agreement verifies HemCon's control of the building between September 26, 2002 and March 31, 2015 (see "Fifth Amendment to Lease" dated November 26, 2013). The second lease verify's BIAMP's control of the space beginning September 29, 2015. The difference between the two dates is 5 months and 29 days, which is within the six month allowance provided in Tigard Development Code Subsection 18.760.040.B.3 (Nonconforming Uses). This standard is met. CONCLUSION: Based on the analysis above, BIAMP Systems may continue to use 10575 SW Cascade for light industrial land uses such as the manufacturing, assembly, and packaging of electronics. MIS2015-00002 BIAMP SYSTEMS NONCONFORMING USE DL-'TERMINATION PAGE 3 OF 5 SECTION V. PROCEDURE AND APPEAL INFORMATION Final Decision: A Nonconforming Use Determination is a Type I procedure. As such, the Director's decision is final on the date it is mailed or otherwise provided to the applicant, whichever occurs first. The Director's decision may not be appealed locally and is the final decision of the City. THIS DECISION IS FINAL ON NOVEMBER 17, 2015 AND BECOMES EFFECTIVE ON NOVEMBER 18, 2015 Questions: If you have any questions,please contact John Floyd at (503) 718-2429 or TohnFlQa Bard-or.gov. /t/l-/7,){l/, A D BY: John Floyd November 17, 2015 Associate Planner MIS2015-00002 BIAMP SYSTEMS NONCONFORMING USE DETERMINATION PAGE 4 OF 5 ASHINGTON SQUARE RD N Plan Districts Mridgeport Village ODurham Ad\anced Wastmater Treatment Facility ORiver Terrace Mimard Do\%ntox+n Mivard Triangle - 0\\'ashington Square ILL Regional Center Zoning-General �- Residential y. -L o MMixed Use Residential Mixed Use Central Bus t Dist °z a o I MCommercial MMixed Use Employment C MIndustrial EWA-CNT)- R-7 (PD) JQ'� a > a M.o I r 10 x AN on 31-.r.1a y,.•ca.a 1s..r.0 me 4asan O w[w.o.u.amerc�ecy.�+d.a,or ...a,.,.n..a.o .<..►a F�c11a1�.�ow<w Fee t t�T 50.1�1p2�3r�a11f�HY 8►0 0 Soo te7`� a-+, Iris R-12 ( W. 59"-a go- 0 Na'ZOIs- Kidder Mathews September 30, 2014 � g DECEIVED Mr. John Floyd SEP 3 0 2.0115 City of Tigard CITY OF TI::aAPD Associate Planner PLANNINGI 13125 SW Hall Blvd ENGIPdEBIN Tigard, OR Re: Continuation of a non-conforming use for 10575 SW Cascade Ave., Tigard, Oregon Dear Mr. Floyd, This letter shall serve as a request for a non-conforming use determination. BIAMP plans on occupying the building located at 10575 SW Cascade Ave. most recently occupied by Hemcon, a manufacturer of products to control bleeding. The subject building was used for general office, R & D, and state of the art manufacturing and production of their products, a permitted use in the "Light Industrial" zoning. Previous to Hemcon, the building was utilized by Sentrol, a manufacturer of security systems. The facility was used for light manufacturing and assembly of primarily electronic components. This use was also permitted in the "Light Industrial" zone. BIAMP intends to use the building for general office, the manufacturing and assembly of electronic audio equipment (www.BIAMP.com). Lloyd Purdy, the city of Tigard Economic Development Director, has visited their current facility in Beaverton to see this operation first hand. BIAMP's use meets the characteristics of permitted uses as set forth in Section 18.130.030 (D). LIGHT INDUSTRIAL of the Development code. In reviewing Section 18.630.030, Pre-existing Uses Within The Washington Square Regional Center Plan District, the BIAMP use meets the criteria of a pre-existing use. Additionally, BIAMP's use meets the criteria for Non-conforming Situations as set forth in Section 18.760.040. It should be noted that several of the buildings, including the subject, within the Cascade Business Center were planned and designed as light industrial buildings. The design allows for light manufacturing and warehousing with features like higher ceiling clear heights, dock high and drive-in loading, appropriate truck staging, and heavy power distributed throughout just to name a few of these features. Practically, the building design and layout, the amount of parking, their overall size and other features of these industrial designed buildings, do not work for these permitted uses in MUC zone. To not allow iight indust al uses �;,o,-0d he de*r!mental t. u,.�_n .. t he ability to ! sae there buildings resulting in significant monetary loss for the ownership. Please let us know if you need anything additional. We respectfully request your earliest determination. Thank you. Sincerely, Steven Klein Senior Vice President - SW Columbia - 950 Portland, OR 972581 ••11 F 503.221.2277 ••- • CITY OF TIGARD RECEIPT q 13125 SW Hall Blvd.,Tigard OR 97223 503.639.4171 p Receipt Number: 202794 - 09/30/2015 CASE NO. FEE DESCRIPTION REVENUE ACCOUNT NUMBER PAID MIS2015-00002 Non-Conforming Use Confirmation 100-0000-43116 $718.00 Total: $718.00 PAYMENT METHOD CHECK# CC AUTH.CODE ACCT ID CASHIER ID RECEIPT DATE RECEIPT AMT Check 8168 CCAINES 09/30/2015 $718.00 Payor: STEVEN T KLEIN Total Payments: $718.00 Balance Due: $0.00 Page 1 of 1 RECEIVED •� SEP 3 0 2015 CITY OF TIGARD FIFTH AMENDMENT TO LEASE PI A�IN!NG/ENGINEERING THIS FIFTH AMENDMENT TO LEASE("Amendment") is executed effective October 16, 2013 by and between CH Realty III/Portland Industrial,L.L.C.,a Delaware limited liability company, successor in interest to AMB Property,LP,a Delaware limited partnership("Landlord"), and HemCon Medical Technologies,Inc.,an Oregon corporation,f/k/a HemCon,Inc.,an Oregon corporation ("Tenant"). RECITALS: A. Landlord and Tenant are parties to that certain Lease dated September 26,2002,as amended by the 11 Amendment to Lease dated October 23,2002,2nd Amendment to Lease dated November 4, 2004,Third Amendment to Lease dated March 14,2011, and Fourth Amendment to Lease dated December 11,2012(as amended,the"Lease"). Pursuant to the Lease,Tenant is leasing space located in Cascade Business Park, 10575 SW Cascade Boulevard, Suite 130,Portland,Oregon(the "Premises"). Such Premises consists of approximately 36,658 rentable square feet and is comprised of the Original Premises of approximately 31,808 square feet and the Expansion Space which is approximately 4,850 square feet. The defined,capitalized terms used in the Lease shall have the same meanings when used herein. B. Tenant commenced a bankruptcy case under Chapter 11 of Title 11 of the United States Code(the"Bankruptcy Case")on April 10,2012 in the U.S.Bankruptcy Court,District of Oregon,Case No. 12-32652-elpl l (the"Bankruptcy Court"). C. On April 26,2013,Tenant filed Debtor's Fifth Amended Plan of Reorganization(April 25,2013)(the"Plan"). On May 6,2013,the Bankruptcy Court entered the Order Confirming Debtor's Fifth Amended Plan of Reorganization(April 26,2013)(the"Confirmation Order"). Pursuant to(1) Debtor's Notice of Assumption and Assignment of Executory Contracts and Cure Amounts(Dkt.#374 filed in the Bankruptcy Case)and(2)the Confirmation Order the amount required to cure Debtor's defaults under the Lease, is$8,020.14(the"Cure Amount"). D. Pursuant to the Plan and Confirmation Order,TriStar Wellness Solutions,Inc., a Nevada corporation("TriStar")entered into an Agreement for Purchase and Sale of Stock dated April 18,2013 with Tenant to acquire 100% of Tenant's stock. As a result,on or about May 6,2013,TriStar acquired 100%of Tenant's stock. E. The current term of the Lease expires October 31,2014,and Landlord and Tenant desire to modify the term of the Lease,provide for payment of additional Security Deposit to Landlord,and provide for the payment of certain sums due to Landlord from Tenant, on the terms and conditions provided in this Amendment. F. All capitalized terms used in this Amendment shall have the meanings given to them in the Lease,as amended hereby,unless otherwise defined herein. NOW,THEREFORE, for good and valuable consideration,the receipt and adequacy of which are acknowledged by each of the parties hereto, it is agreed as follows. 1. Term. The Term of the Lease is hereby extended such that the expiration date of the Lease shall be March 31,2015. Except as provided in the Renewal Option described below,Tenant has no further right to extend the Lease unless agreed to in writing by both Landlord and Tenant. 1 —FIFTH AMENDMENT TO LEASE PDX\114622\l 77772\AP\11505249.5 2. Security Deposit. On or before mutual execution of this Amendment,Tenant shall deposit with Landlord, in cash,the sum of$12,987.00 which,when added to the current deposit amount of$23,871.00,provides the sum of$36,858.00 as a Security Deposit to secure Tenant's obligations under the Lease. - 3. Payment of the Cure Amount. Tenant has paid,and Landlord acknowledges receipt of, $8,020.14,which amount represents the sum of the outstanding 2012 late fees and 2012 operating expense reconciliation owed by Tenant to Landlord. 4. Assignment of the Lease. Landlord and Tenant agree that notwithstanding the assignment of the Lease under the Plan and the Confirmation Order,Landlord's consent has not been provided for any future assignment or sublease and Landlord has not waived Tenant's obligation under the Lease to seek and obtain Landlord's consent for an assignment of the Lease or sublease. S. Liens. Tenant represents and warrants to Landlord that as of the date of mutual execution of this Amendment and continuing throughout the Term and.any extensions of the Term of the Lease,Tenant has kept,and shall keep the Premises,Common Areas,Building,and the real property upon which the Building is situated free from any liens arising out of any work performed,materials furnished,or other obligations incurred by Tenant. 6. Acknowledgment. Excepting the obligations assumed by.Landlord'hereunder,Tenant acknowledges and agrees that Landlord and all predecessor lessors have fully and timely performed each and all of their obligations under the Lease. 7. Effect of Amendment. Submission of this Amendment for review does not constitute an offer by Landlord to Tenant. This document may not be relied upon,nor may any claim for reliance or estoppel be made based upon this document,unless and until this document is fully executed and delivered by each party. 8. Representations. Tenant hereby represents and warrants to Landlord that(a)this Amendment constitutes the binding obligation of Tenant and:is enforceable against the Tenant in accordance with its terms,(b)Tenant has not made any assignment;sublease;transfer,conveyance or other disposition of its interest in the Lease or in the Premises(including assignments for security purposes),(c)except as expressly set forth in this Amendment,,no=nsent of any third party is necessary for Tenant to execute,deliver and perform this Amendment,.and(d)Tenant has dealt with no broker regarding this Amendment. The person executing this Amendment on behalf of Tenant warrants his or - her authority to do so. 9. Determination of Charges. Landlord and Tenant agree that each provision of the Lease (as amended by this Amendment)for determining charges and amounts payable by Tenant(including, without limitation,provisions regarding Additional Rent and Tenant's Proportionate Share of Taxes)is commercially,reasonable and,as to each such charge or amount,constitutes a statement of the amount of the charge or a method by which the charge is to be computed for purposes of all applicable laws. 10. Prohibited Persons and Transactions. Tenant represents and warrants to Landlord that Tenant is currently in compliance with,and shall at all times during the Term(including any extension thereof)remain in compliance with,the regulations of the Office of Foreign Asset Control("OFAC")of the Department of the Treasury(including those named on OFAC's Specially Designated Nationals and Blocked Persons List)and any statute,executive order(including the September 24,2001,Executive 2—FIFTH AMENDMENT TO LEASE PDX\114622\1777 72\AP\11505249.5 Order Blocking Property and Prohibiting Transactions with Persons Who Commit,Threaten to Commit, or Support Terrorism),or other governmental action relating thereto. 11. Ratification. Tenant hereby ratifies and confirms its obligations under the Lease,and represents and warrants to Landlord that Tenant has no defenses thereto. Additionally,Tenant further confirms and ratifies that,as of the date hereof, 1)except as expressly modified by this Amendment,the Lease is and remains in good standing and in full force and effect,.2)Tenant has no claims, counterclaims,set-offs or defenses against Landlord arising out of the Lease or in any way relating thereto or arising out of any other-transaction between Landlord and Tenant,and 3)all tenant finish-work allowances provided to Tenant under the Lease or otherwise, if any,have been paid,in full by Landlord to Tenant,and Landlord'has no further obligations with respect thereto. 12. Renewal Option. Notwithstanding anything to the contrary contained in this Amendment,Tenant may extend the Term of the Lease subject.and pursuant to the terms and conditions of the Renewal Option,which is attached and incorporated as Exhibit 1. 1`3. Counterparts. This Amendment may be executed and delivered in counterparts; delivery by facsimile or pdfis sufficient. LANDLORD: CH Realty IIILPortland'Industrial,'L.L.C.,a Delaware limited liability company,'successor in interest to AMB Property,LP,a Delaware limited partnership By: CH Realty Investors I11,L.P.,a Delaware limited partnership,in its capacity as sole member and manager By: MF Funding,Inc.,a Delaware, corporation, in.:its capacity as,4eneral partner By: Name: Title: `' Date: 1V0!,` Z6 Bl TENANT: HemCon Medical Technologies,Inc.,an Oregon corporation, o ,Inc.,an Oregon corporation By: Name: sr*xxn4M Title: Gan Date: �o I as I�ot3 3 FIFTH AMENDMENT TO LEASE PDx\114622\177772WP\l 1505249.5 EXHIBIT 1 RENEWAL OPTION 1. Provided that (A) there is no Default by Tenant, and (B) Tenant is occupying the Original Premises, Tenant may renew the Lease with respect to the Original Premises for two (2) additional periods of three(3)years each,by delivering written notice of the exercise thereof to Landlord not earlier than ten(10)months nor later than nine(9)months before the expiration of the then applicable Term. 2. For each extended Term exercised by Tenant in accordance with this Renewal Option,the Lease shall be deemed extended and shall be continued in full force and effect with respect to every applicable term and condition contained therein, except that the Base Rent payable with respect to the Original Premises for such option period shall be as follows: A. The Base Rent for the renewal term shall be based on the then prevailing rental rates for properties of equivalent quality, size, utility and location, with the length of the Term,and credit standing of the Tenant,to be taken into account. B. Upon notification from Tenant of the exercise of this renewal option, Landlord shall, within fifteen (15) days thereafter, notify Tenant in writing of the proposed Base Rent for the renewal term; Tenant shall, within fifteen (15) days following receipt of same, notify Landlord in writing of the acceptance or rejection of the proposed Base Rent. In the.event of rejection of the proposed.Base Rent by Tenant, the Base Rent for the renewal term shall be determined as follows: Within fifteen (15) days following notification of rejection, Landlord and Tenant shall each appoint a disinterested and qualified real estate brokerage or appraisal professional (the "professional" or "professionals"). If these two professionals cannot agree upon a Base Rent within thirty(30)days following their appointment,the two professionals shall forthwith select a third disinterested and qualified professional, and the decision of any two professionals shall be binding. The professionals shall make notification in writing of this decision to Landlord and Tenant within thirty(30)days following the selection of the third professional: Landlord and Tenant shall bear the expense of the professional appointed by each, and the expense of the third professional shall be shared equally by both parties. 3. In the event Tenant fails to exercise any option within the time and in the manner provided herein, such option, and all subsequent options, shall be deemed waived by Tenant and shall not be exercisable thereafter. 4. The option provided herein is for the sole benefit of Tenant and may not be exercised by any subtenant or assignee of Tenant, regardless of whether Landlord has consented to or approved such subletting or assignment. 5. Except as provided above, Tenant shall have no further renewal option unless expressly granted by Landlord in writing. 6. Landlord shall lease to Tenant the Original Premises in its then-current condition, and Landlord shall not provide to Tenant any allowances(e.g., moving allowance,construction allowance, and the like) or other tenant inducements. 4—FIFTH AMENDMENT TO LEASE PDX\114622\177772\AP\115 05249.5 7. Tenant shall pay for the parking spaces which it is entitled to use at the rates from time to time charged to patrons of the parking area associated with the Building during the extended Term (plus applicable taxes). 8. Tenant's rights under this Renewal Option shall terminate if(A)this Lease or Tenant's right to possession of the Premises is terminated or expires,(B)Tenant assigns any of its interest in this Lease or sublets any portion of the Premises without Landlord's written consent, (C)Tenant fails to timely exercise its option under this Renewal Option,time being of the essence with respect to Tenant's exercise thereof, or (D)Landlord determines, in its sole discretion, that Tenant's financial condition or creditworthiness has materially deteriorated since the date of the Fifth Amendment to Lease. 5—FIFTH AMENDMENT TO LEASE PDX\114622\177 772\AP\11505249.5 e GLP Properties Inc. TENANT MOVE-OUT FORM j`�'''`••..-..++�ycyP ,+..r--•.r� ��r}. yds+'-1r .i v'�-�xLf°x<4i ..._.���ir'"`_r x T k�. �--r1 � � ..a" Name: Jessica .dies Phone Number: 503.221:2293 Date: 4/23/201:5 woi- Property Name Cascade Business.Conter Property BU#: _ . . . Tenant Name: ; ..'..';. ,. Tenant ID: Q96;�413 5— ....-....... . . .. , Unit Number: Forwarding Address: "fi2I cSW asliengtorl t Ste.:20G; Portland; OR 97205 Forwarding Contact: Stuart Sands Forwarding Phone: 50:3'-24570459 Date Lease Should Be Ended: These dates should be entered even though actual damages may not have been assessed yet.If the Tenant Is In default,these fields should be left blank until the lease term ends naturally,the space is re-leased,or the court provides a judgment: Date Rent Due Through: 3131120.15::;' Natural Lease Expiration L-M Default Date GLP regained legal possession of the premises g,-W Early Termination Termination Fee? r. :'` :' (Y/N) Amount Due: Other End space; actual damages assessed End space; awaiting damages assessment $om Comments: .::........:. . ... . TENANT MOVE-OUT FORM (Cont'd) Actual Damanes Summary: Amount Description p; 2$0 Ter antinstalleti items to be removed ' $150 Ot} 'Paint Eiiterior bldg: where signvtis removed TOTAL AMOUNT DUE - N Settlement in Full Bill Final Reconciliation at Year End fflBill Final Reconciliation as of Lease End Date ` 3/3X15 - ,.ir:.=S"- — z _23� +3, ��,-s_ 73* r+ a •Ag..a,�.c--`-`g` -,`�xx.r.�'",. �`- �.""„' xys� ;. _r Af' ; 36,858:00 Security Deposit on Hand _-($4294: A):Less: Balance Due- Rent X81Z-4-3): Less: Balance Due- Recoveries (Estimates and/or Actuals) ...—Less:. Balance Due - Miscellaneous Charges 60) Less: Damages Assessment -$149,851.47 Total Amount Due r SINGLE TENANT INDUSTRIAL TRIPLE NFT LEASE ER'ective Date: w--21 2015 BASIC LEASE INFORMATION Landlord: ICON OWNER POOL 3 WEST.LLC,a Delaware limited liability company Landlord's Address For Notice: c/o GLP US Management LLC Two North Riverside Plaza,Suite 2350 Chicago,IL 60606 Attn:Lease Administration With a Copy To: clo GLP US Management LLC 7887 East Beileview Avenue,Suite 325 Denver,CO 80111 Ann:Chicf Operating Officer Landlord's Address U S.Mail. For Payment of Rent: ICON OWNER POOL 3 WEST,LLC PO BOX 043962 LOS ANGELES,CA 90084-3962 BIAMP SYSTEMS CORPORATION, Tenant: n Delaware corporation Tenant's Address 9300 S.W.Gemini Drive For Notice and Tenant's Portland,Oregon 97008 Representative: Attn:Dayna Lyons Telephone:(503)705-8349 Email:daynp.lyons@biamp.com Fax:(503)924-4766 Project: 10575 SW Cascade Ave.,Tigard,Oregon Land: The parcel(s)of land upon which the Building and improvements are located. Building: An industrial building located on the Land and containing approximately 63,809 rentable square feet,generally depleted in attached Extlb!A. Phase I Premises: Approximately 42,882 rentable square feet located within the Building and such other areas as generally shown in Exhibit A. Phase Il Premises: Approximately 20,927 rentable square feet constituting the remainder of the Building,together with all loading and parking areas located on the Land,as generally shown in Exhibit A-I. Premises: Collectively,the Phase 1 Premises and the Phase 11 Premises,subject to the terms of Section 1.1 below. Premises Address: Street: 10575 SW Cascade Ave. City and State: Tigard,Oregon Phase I Commencement Date: September 30,2015 Phase 11 Commencement Date: December 1,2015,subject to Section 2 below. Base Rent; • See Section 3.1.2 for Base Rent Abatement Building; 67.20%during the period from the Phase I Commencement Date Tenant's Share: through the day immediately prior to the Phase 11 Commencement Date(the "Multi-Tenant Period");IOOa/6 from and after the Phase 11 Commencement Date (the"Single Tenant Period") Project: 6710%during the Multi-Tenant Period; 100ala during the Single Tenant Period Security Deposit: $57,092.46 Tenant's Broker: Newmark Grubb Knight Frank Permitted Uses: Electronics manufacturing,assembly,testing,warchouse and distribution,with ancillary office uses,subject to Section 1.2 below. ADDENDA 1. Early Access 2. Renewal Options 3. Hazardous Materials Addendum 4. Back Up Ocncrutor EXHIBITS A. Phase I Premises.Depiction A—I. Phase II Premises Depiction A—2. Phase If Premises Configuration B. Work Letter B-1, Description of the Tenant's Work C. Prohibited Uses D. Rules and Regulations E. Minimum HVAC System Service Contract Requirements F. Requirements for Improvements or Alterations by Tenant F-1. Depiction of Permitted Staging Areas O. Estoppel Certificate H. Move-Out Conditions 1. Locations of Five Exterior Windows With Leaking Seals The Basic Lease Information set forth above and the Addenda,Exhibits and Schedules attached hereto are incorporated into and trade apart of the following lease(the"Lease"). Each reference in this Lease to any of the Basic Lease Information shall mean the respective information above. In the event of any conflict between the Basic Lease Information and the provisions o the Lease,the provisions of the Lease shall control. LANDLORD ANDTENANT (fin AGREE. initial initial _2. r i IN WITNESS WHEREOF,the patties have executed this Lease as ofthe date set forth above. 1 "Landlord" "Tenant" E [CON OWNER POOL 3 WEST,LLC, BIAMP SYSTEMS CORPORATION,a Delaware a Delaware limited liability company corporation By:SNarne: C, ty company, By: gv� Name: �L- Q uArJF1 — t Its: U�G P2FCt f1=f1T__1=1AA_f1 E____ ? Its: ChiefO'perating Officer •z I- John Floyd From: Dayna Lyons <Dayna.Lyons@biamp.com> Sent: Wednesday, October 28, 2015 4:53 PM To: John Floyd Cc: 'sklein@kiddermathews.com' Subject: Biamp/GLP Cascade Lease Attachments: Biamp Systems Lease (excerpt)_Redacted.pdf Hi John, Here is the first and the last pages of our lease. It shows the signatures and the date filed. We redacted out financial information that is not pertinent to your questions. Let me know if you need anything else from Biamp. Thank you, Dayna Dayna Lyons • Director of Human and Legal Development and Compliance,SPHR Biamp Systems • 9300 SW Gemini Drive, Beaverton,OR 97008 www.biamp.com o tel. +1.503.641.7287 • fax+1.503.626.0281 • cell +1.503.705.8349 BIAMP SYSTEMS EMAIL NOTICE The information contained in this email and any attachments is confidential and may be subject to copyright or other intellectual property protection. If you are not the intended recipient, you are not authorized to use or disclose this information, and we request that you notify us by reply mail or telephone and delete the original message from your mail system. i John Floyd From: Steven Klein <sklein@kiddermathews.com> Sent: Tuesday, November 03, 2015 8:38 AM To: John Floyd; Dayna Lyons Cc: Lloyd Purdy Subject: RE: Biamp/GLP Cascade Lease Hello John I just confirmed this morning with the property manager that Kidder Mathews took over the management and leasing of the property on 2/28/14. She said that the previous owner provided only minimum files and records and she does not have anything on the historical occupancy of the property beyond those tenants leasing at the time she took over management. Since 2002 there have been four different owner starting with AMB, CH Realty III, GE Investment Advisors and now Global Logistics Properties. In looking through the spreadsheet you sent, in the description section of Case BUP880704 there is a reference to Sentrol and that is who I was referring to as previous occupant in the building,just not sure when they moved out. Sorry, I am unable to be of more help. Thank you, Steven Steven Klein Senior Vice President KIDDER IVIATHEWS One SW Columbia St., Suite 950, Portland, OR 97258 T 503.221.2260 1 F 503.221.2277 1 C 503.318.0916 §klein@kiddermathews.com I kiddertnathews.com ............................................................................... download vcard I view profile Please consider the environment before printing this email. From: John Floyd [mailto:Johnfl@tigard-or.gov] Sent: Monday, November 02, 2015 6:42 PM To: Steven Klein; Dayna Lyons Cc: Lloyd Purdy Subject: RE: Biamp/GLP Cascade Lease Hi Steven, Thanks for this and I appreciate the background history, though the business names on our records for 10575 are different, so we may be talking about different portions of a larger complex, or different names for the same company. The records available to me are dominated by Allegiant, Pacific Microelectric, Computer Forms, and Cal Seal. Do you have any documentation specific to 10575 Cascade (leases, correspondence, utility bills, etc.)that show occupancy of the structure between February 22, 2002 and September 26, 2002? The only record I have from that time period is a building permit for spec space. I'm trying to button down the chain of occupancy between the time the zoning changed and Hemcon took over the site. I believe we can make a leap without these records, but I'd rather everything down when I present it to my supervisor for final signature. Do you have time to discuss by phone tomorrow? Thanks, John 1 From: Steven Klein [mailto:sklein(�Dkiddermathews.com] Sent: Thursday, October 29, 2015 4:13 PM To: John Floyd; Dayna Lyons Cc: Lloyd Purdy Subject: RE: Biamp/GLP Cascade Lease Good afternoon John Attached is a move out form that I received from the property manager. Tenant's lease expired on March 31, 2015. If you would like to confirm or discuss with the property manager you can Call Jessica Gies at 503.221.2293. Several of the building in the project were originally owned by a gentleman by the name of Tom Holce who founded a company by the name of Sentrol. Sentrol operated in the two older buildings and then Mr. Holce built two more buildings, primarily to accommodate the growth of Sentrol. Sentrol later moved to Tualatin and consolidated in a single large building. Sentrol had occupied a portion of the space that later became Hemcon, but I am not sure the timing between the two. Sentrol manufactured security systems, so much of the space they occupied as fabrication and assembly of both home and commercial security systems.They later were sold to GE Security. The manufacturing and assembly operation of Sentrol was very similar in many respects with that of BIAMP's. Please let us know if you need anything else. Thank you, Steven Steven Klein Senior Vice President KIDDER MATHEWS One SW Columbia St., Suite 950, Portland, OR 97258 T 503.221.2260 I F 503.221.2277 1 C 503.318.0916 sklein a)kiddermathews.com I kiddermathews.com ............................................................................... ............................................................................... download vcard I view profile Please consider the environment before printing this email. From: John Floyd [mailto:Johnfl@tigard-or.gov] Sent: Wednesday, October 28, 2015 4:57 PM To: Dayna Lyons Cc: Steven Klein; Lloyd Purdy Subject: RE: Biamp/GLP Cascade Lease Hi Dayna, Got the lease, this looks sufficient. I'm out of the office today, but may call you tomorrow. Thanks for the quick turnaround. John Floyd Associate Planner City of Tigard 503-718-2429 From: Dayna Lyons [Dayna.Lyons@biamp.com] Sent: Wednesday, October 28, 2015 4:52 PM To: John Floyd Cc: 'sklein@kiddermathews.com' Subject: Biamp/GLP Cascade Lease Hi John, 2 Here is the first and the last pages of our lease. It shows the signatures and the date filed. We redacted out financial information that is not pertinent to your questions. Let me know if you need anything else from Biamp. Thank you, Dayna Dayna Lyons • Director of Human and Legal Development and Compliance,SPHR Biamp.Systems v 9300 SW Gemini Drive, Beaverton, OR 97008 www.biamp.com • tel.+1.503.641.7287 • fax+1.503.626.0281 e cell +1.503.705.8349 BIAMP SYSTEMS EMAIL NOTICE The information contained in this email and any attachments is confidential and may be subject to copyright or other intellectual property protection. If you are not the intended recipient, you are not authorized to use or disclose this information, and we request that you notify us by reply mail or telephone and delete the original message from your mail system. DISCLAIMER: E-mails sent or received by City of Tigard employees are subject to public record laws. If requested, e-mail may be disclosed to another party unless exempt from disclosure under Oregon Public Records Law. E-mails are retained by the City of Tigard in compliance with the Oregon Administrative Rules "City General Records Retention Schedule." 3 Oregon Local News - HemCon moving to downtown Portland Page 1 of 2 HemCon moving to downtown Portland Created on Thursday,ii September 2014 01:00 1 Written by Pamplin Media Group Ij o Comments Tigard-based HemCon Medical Technologies Inc.announced last week that they will be moving their offices to downtown Portland and outsourcing their manufacturing to other medical contractors. HemCon,which is a wholly owned subsidiary of TriStar Wellness Solutions Inc.,is a developer and marketer of medical products,which have been manufactured in Tigard in a 36,000-square foot facility.The company said that they intend to focus on marketing and sales,new product development and technological innovations,best of class regulatory and quality systems and upgrading all internal information systems immediately. "This significant operational transformation and realignment of our strategic priorities support our defined mission to build a leading global wound care company that leverages our rich history,while allowing us to expand beyond our current products and markets."said HemCon President and CEO,Michael Wax, "We are moving ahead towards establishing a more efficient organization capable of driving customer focused innovation." The move comes after being purchased out of bankruptcy in 2012 for$3 million. The company was founded in,2ooi by Dr.Kenton Gregory,who invented a bandage that incorporates material from shrimp shells and stops bleeding.Gregory developed the product in the laboratories at Providence St. Vincent Medical Center. The company has arranged for all manufacturing to be outsourced to certified leading medical contractors in the United States, and HemCon will remain the specification developer for its hemostatic products.Fewer than io people will lose their jobs as.a result of the shuttering of the manufacturing facility. HemCon will maintain its existing distribution network and will continue servicing customers worldwide.The medical products made by HemCon will continue to comply with all regulatory and quality standards for both international and domestic markets. The new facility,located in downtown Portland will house the 28 people making the move to the new office. f E i ! i i f i i j i f { t t http://portlandtribune.com/pt/239-business/2323 86-96610-hemcon-moving-to-downtown... 10/27/2015 Biotech firm HemCon to shutter Tigard manufacturing facility, move to downtown Portland Page 1 of 2 0 OREGONLIVE Biotech firm HemCon to shutter Tigard manufacturing facility, move to downtown Portland hemcon manufacturing tigard In this 2006 file photo, HemCon Medical Technologies workers prepare a solution for its bandages, designed to rapidly slow or stop bleeding. The company plans to shutter its Tigard manufacturing operation and move its offices and development lab to downtown Portland. (Benjamin Brink/The 0regonian/2006) Elliot Njus I The Oregonian/OregonLive By Elliot Njus I The Oregonian/OregonLive Email the author I Follow on Twitter on September 03, 2014 at 6:00 AM, updated September 03, 2014 at 10:16 AM HemCon Medical Technologies, a biotech firm bought out of bankruptcy for $3 million in 2012 after losing a bitter patent dispute, is getting out of the manufacturing business. The company, known for its bandages treated with shrimp-derived clotting agents, is shuttering its 36,000- square-foot facility in Tigard. It will instead contract with other U.S. firms to manufacture its products, shifting its focus to marketing and development. At the same time, HemCon will move its headquarters into a 7,000- to 8,000-square-foot office and laboratory in downtown Portland. (It's negotiating with three landlords and expects to finalize a lease next week.) "This is all part of our vision for the company, to move it from a 20th century model built around machines and industrialization," said chief executive Michael Wax. "We really want to build a company that's knowledge-based." The company is looking at a downtown location to be close to other medical-technology innovators, notably those at the Oregon Health & Science University. HemCon entered bankruptcy in 2012 in the face of a $34 million patent-infringement verdict from a company whose products used a similar clotting agent, but derived from algae instead of shrimp. The verdict led HemCon to file for Chapter 11 bankruptcy protection, and TriStar Wellness Solutions Inc. of Connecticut bought the company at auction. (Wax, a longtime medical technology executive and investor, represented TriStar in the transaction.) The $34 million award was discharged in bankruptcy, Wax said, and the competing patent has since expired. Bandages treated with chitosan derived from shrimp remain the core of the company's business. http:/iblog.oregonlive.com/business_impact/print.html?entry=/2014/09/biotech_firm_he... 10/27/2015 Biotech firm HemCon to shutter Tigard manufacturing facility, move to downtown Portland Page 2 of 2 But the company shrank from 120 people before the verdict to only 28 who will make the move to the new downtown office. Nine workers in the Tigard manufacturing operation will lose their jobs in December, when manufacturing shuts down. The company has hired an outplacement firm to help them find other work. HemCon has long focused on dressings for traumatic wounds — it was founded in 2001 with funding from the U.S. Army — but has aggressively sought in recent years to expand into the civilian market. Wax said HemCon has seen growth in its international sales and in its line of products for cardiac procedures. The company had $6.5 million in revenue in 2012, but declined to release more recent figures except to say July 2014 was the first month since 2008 with more than $1 million in revenue. -- Elliot Njus © 2015 OregonLive.com. All rights reserved. http://blog.oregonlive.com/business_impact/print.html?entry=/2014/09/biotech_firm_he... 10/27/2015 John Floyd From: Steven Klein <sklein@kiddermathews.com> Sent: Thursday, October 29, 2015 4:13 PM To: John Floyd; Dayna Lyons Cc: Lloyd Purdy Subject: RE: Biamp/GLP Cascade Lease Attachments: SKM BT_C65415102916030.pdf Good afternoon John Attached is a move out form that I received from the property manager. Tenant's lease expired on March 31, 2015. If you would like to confirm or discuss with the property manager you can Call Jessica Gies at 503.221.2293. Several of the building in the project were originally owned by a gentleman by the name of Tom Holce who founded a company by the name of Sentrol. Sentrol operated in the two older buildings and then Mr. Holce built two more buildings, primarily to accommodate the growth of Sentrol. Sentrol later moved to Tualatin and consolidated in a single large building. Sentrol had occupied a portion of the space that later became Hemcon, but I am not sure the timing between the two. Sentrol manufactured security systems, so much of the space they occupied as fabrication and assembly of both home and commercial security systems.They later were sold to GE Security. The manufacturing and assembly operation of Sentrol was very similar in many respects with that of BIAMP's. Please let us know if you need anything else. Thank you, Steven Steven Klein Senior Vice President KIDDER MATHEWS One SW Columbia St., Suite 950, Portland, OR 97258 T 503.221.2260 1 F 503.221.2277 1 C 503.318.0916 sklein(o)kiddermathews.com I kiddennathews.com ............................................................................... download vcard I view profile Please consider the environment before printing this email. From: John Floyd [mailto:Johnfl(o)tigard-or.gov] Sent: Wednesday, October 28, 2015 4:57 PM To: Dayna Lyons Cc: Steven Klein; Lloyd Purdy Subject: RE: Biamp/GLP Cascade Lease Hi Dayna, Got the lease, this looks sufficient. I'm out of the office today, but may call you tomorrow. Thanks for the quick turnaround. John Floyd Associate Planner City of Tigard 503-718-2429 From: Dayna Lyons [Dayna.Lyons@biamp.com] Sent: Wednesday, October 28, 2015 4:52 PM To: John Floyd Cc: 'sklein@kiddermathews.com' Subject: Biamp/GLP Cascade Lease Hi John, Here is the first and the last pages of our lease. It shows the signatures and the date filed. We redacted out financial information that is not pertinent to your questions. Let me know if you need anything else from Biamp. Thank you, Dayna Dayna Lyons • Director of Human and Legal Development and Compliance,SPHR Biamp Systems • 9300 SW Gemini Drive, Beaverton, OR 97008 www.biamp.com • tel.+1.503.641.7287 • fax+1.503.626.0281 • cell+1.503.705.8349 BIAMP SYSTEMS EMAIL NOTICE The information contained in this email and any attachments is confidential and may be subject to copyright or other intellectual property protection. If you are not the intended recipient, you are not authorized to use or disclose this information, and'we request that you notify us by reply mail or telephone and delete the original message from your mail system. DISCLAIMER: E-mails sent or received by City of Tigard employees are subject to public record laws. If requested, e-mail may be disclosed to another party unless exempt from disclosure under Oregon Public Records Law. E-mails are retained by the City of Tigard in compliance with the Oregon Administrative Rules"City General Records Retention Schedule." 2