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ARTICLE II Representations Section 2.1. Representations by the City. The City makes the following representations as the basis for the undertaking on its part herein contained: (a) The City is a home rule charter city organized and existing under the laws of the State. Under the laws of the State, the City has the power to enter into this Agreement and to perform its obligations hereunder. (b) The Property is directly accessible to city sewer and water located in the adjacent right-of-way or in a utility easement. (c) To the best of the City's knowledge and belief, at the time of execution by the City of this Agreement, there are no environmental proceedings, applications, ordinances, petitions, court pleadings, resolutions, investigations by public or private agencies, or other matters pending which could prohibit, impede, delay or adversely effect the contemplated use of the Property. (d) To the best of the City's knowledge and belief, no underground storage tanks or Hazardous Substances have been, or pending the conveyance of the Property shall be, installed, used, incorporated into, discharged, released, stored, generated, disposed of, or allowed to escape in,to, or upon the Property. (e) To the best of the City's knowledge and belief, no investigation, administrative order, consent order or agreement, litigation, or settlement with respect to Hazardous Substances is proposed,threatened,.anticipated or in existence with respect to the Property. (f) The Property: (i) consists of approximately 1 acre; (ii) is currently zoned I-1; (iii) is not in the designated 100 year flood plain area; and (iv) does not currently receive preferential tax treatment(i.e. Green Acres). Section 2.2. Representations by the Developer. The Developer represents that: (a) The Developer consists of a married couple both of whom are residents of the State and both of whom have the legal capacity to enter into this Agreement and to perform the Developer's obligations set forth herein. (b) The Developer will construct the Improvements in accordance with the terms of this Agreement and all local, state and federal laws and regulations (including,but not limited to, environmental, zoning, building code and public health laws and regulations), except for variances necessary to construct the improvements contemplated in the Construction Plans and site plan approved by the City. 4