Exhibit 10.175
AGREEMENT
THIS AGREEMENT (this "Agreement") made as of this 10th day of August, 1999
by and between CAREMATRIX OF MASSACHUSETTS, INC., a Delaware corporation ("CMI")
and CHANCELLOR OF SACO, INC., a Delaware corporation ("Chancellor").
W I T N E S S E T H
WHEREAS, Chancellor is the owner and operator of a certain senior housing
facility (the "Facility") located in Saco, Maine; and
WHEREAS, CMI and Chancellor are parties to a certain Management Agreement
dated as of April 17, 1998 with respect to the Facility (as the same may have
been amended to date, the "Management Agreement"), pursuant to which CMI
provides certain management services to Chancellor with respect to the Facility;
and
WHEREAS, pursuant to the terms of the Management Agreement, CMI (or its
affiliate) has the option to lease the Facility (the "Lease Option");
NOW, THEREFORE, in consideration of the premises and the mutual covenants
herein contained, the parties hereto hereby agree as follows:
1. Concurrent with the execution and delivery of this Agreement, and in
connection with CMI's Lease Option, CMI has paid to Chancellor the
sum of $492,000, as a lease commitment fee (the "Lease Commitment
Fee"), representing payment in full of any and all amounts due from
CMI to Chancellor with respect to the Lease Option.
2. Chancellor hereby acknowledges receipt of the Lease Commitment Fee,
and agrees that the Lease Commitment Fee represents payment in full
of any and all amounts due from CMI to Chancellor with respect to
the Lease Option.
3. In consideration of the payment of the Lease Commitment Fee, (a) the
lease entered into pursuant to the Lease Option shall be triple net,
with base rent equal to the debt service in effect as of the date
hereof, with CMI being entitled to retain all revenue from the
Facility during the term of the lease, (b) any refinance or
modification of such debt service which would impact such base rent,
or any other financial commitment by Chancellor with respect to the
Facility which would have a financial impact on CMI, shall be
subject to the prior approval of CMI, and (c) shall otherwise be in
substantially in the form attached hereto as Exhibit A.
4. Chancellor hereby acknowledges that CMI is in possession of the
Facility.
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5. Chancellor and CMI each hereby covenant and agree to take such
further actions as the other deems reasonably necessary to enable
the parties to receive the respective benefits contemplated by this
Agreement.
6. This Agreement (i) shall be binding upon and inure to the benefit of
the parties hereto and their respective successors and assigns, (ii)
shall be governed by the laws of the Commonwealth of Massachusetts,
and (iii) may not be modified orally, but only by a writing signed
by each of CMI and Chancellor.
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IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement
as of the date and year first above written.
CHANCELLOR OF SACO, INC.
By: /s/ Xxxxxxx X. Xxxxxx
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Name:
Title:
hereunto duly authorized
CAREMATRIX OF MASSACHUSETTS, INC.
By: /s/ Xxxxx X. Xxxxxx
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Name: Xxxxx X. Xxxxxx
Title: Senior Vice President
hereunto duly authorized
